BlackRock Funds III NCSR Certified annual shareholder report (management investment company)

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: 811-07332

Name of Fund:

BlackRock Funds III

BlackRock LifePath^® Index 2025 Fund

BlackRock LifePath^® Index 2030 Fund

BlackRock LifePath^® Index 2035 Fund

BlackRock LifePath^® Index 2040 Fund

BlackRock LifePath^® Index 2045 Fund

BlackRock LifePath^® Index 2050 Fund

BlackRock LifePath^® Index 2055 Fund

BlackRock LifePath^® Index 2060 Fund

BlackRock LifePath^® Index 2065 Fund

BlackRock LifePath^® Index Retirement Fund

Fund Address:

100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Funds III, 55 East 52^nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 537-4942

Date of fiscal year end: 12/31/2021

Date of reporting period: 12/31/2021

Item 1 – Report to Stockholders

(a) The Report to Shareholders is attached herewith.


		DECEMBER 31, 2021

2021 Annual Report

BlackRock Funds III

BlackRock LifePath^® Index Retirement Fund

BlackRock LifePath^® Index 2025 Fund

BlackRock LifePath^® Index 2030 Fund

BlackRock LifePath^® Index 2035 Fund

BlackRock LifePath^® Index 2040 Fund

BlackRock LifePath^® Index 2045 Fund

BlackRock LifePath^® Index 2050 Fund

BlackRock LifePath^® Index 2055 Fund

BlackRock LifePath^® Index 2060 Fund

BlackRock LifePath^® Index 2065 Fund

Not FDIC Insured • May Lose Value • No Bank Guarantee

The Markets in Review

Dear Shareholder,

The 12-month reporting period as of December 31, 2021 saw a continuation of the resurgent growth that followed the initial coronavirus (or “COVID-19”) pandemic reopening, albeit at a slower pace. The global economy weathered the emergence of several variant strains and the resulting peaks and troughs in infections amid optimism that increasing vaccinations and economic adaptation could help contain the pandemic’s disruptions. Continued growth meant that the U.S. economy regained and then surpassed its pre-pandemic output. However, a rapid rebound in consumer spending pushed up against supply constraints and led to elevated inflation.

Equity prices rose with the broader economy, as the implementation of mass vaccination campaigns and passage of an additional fiscal stimulus package and infrastructure bill further boosted stocks. In the United States, both large- and small-capitalization stocks posted a strong advance, and many equity indices neared or surpassed all-time highs late in the reporting period. International equities from developed markets also gained, although emerging market stocks declined, pressured by a strengthening U.S. dollar.

The 10-year U.S. Treasury yield (which is inversely related to bond prices) rose during the reporting period as the economy expanded rapidly and inflation reached its highest annualized reading in decades. In the corporate bond market, support from the U.S. Federal Reserve (the “Fed”) assuaged credit concerns and led to solid returns for high-yield corporate bonds, outpacing investment-grade corporate bonds, which declined.

The Fed maintained accommodative monetary policy during the reporting period by maintaining near-zero interest rates and by asserting that inflation could exceed its 2% target for a sustained period without triggering a rate increase. However, the Fed’s tone shifted late in the year, as it reduced its bond-buying program and used its market guidance to raise the prospect of higher rates in 2022.

Looking ahead, we believe that the global expansion will continue to broaden as Europe and other developed market economies gain momentum, although the Delta and Omicron variants of the coronavirus remain a threat, particularly in emerging markets. While we expect inflation to abate somewhat as supply bottlenecks are resolved, we anticipate that inflation will remain higher than the pre-COVID norm. The Fed is poised to raise interest rates next year in response, but the Fed’s policy shift means that tightening is likely to be less aggressive than what we’ve seen in previous cycles.

In this environment, we favor an overweight to equities, as we believe low interest rates and continued economic growth will support further gains, albeit likely more modest than what we saw in 2021. Sectors that are better poised to manage the transition to a lower-carbon world, such as technology and health care, are particularly attractive in the long term. U.S. and other developed-market equities have room for further growth, while we believe Chinese equities stand to gain from a more accommodative monetary and fiscal environment as the Chinese economy slows. We are underweight long-term credit, but inflation-protected U.S. Treasuries, Asian fixed income, and emerging market local-currency bonds offer potential opportunities. We believe that international diversification and a focus on sustainability can help provide portfolio resilience, and the disruption created by the coronavirus appears to be accelerating the shift toward sustainable investments.

In this environment, our view is that 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 December 31, 2021

	6-Month	12-Month

U.S. large cap equities (S&P 500^® Index)	11.67%	28.71%

U.S. small cap equities (Russell 2000^® Index)	(2.31)	14.82

International equities (MSCI Europe, Australasia, Far East Index)	2.24	11.26

Emerging market equities (MSCI Emerging Markets Index)	(9.30)	(2.54)

3-month Treasury bills (ICE BofA 3-Month U.S. Treasury Bill Index)	0.02	0.05

U.S. Treasury securities (ICE BofA 10-Year U.S. Treasury Index)	0.44	(3.68)

U.S. investment grade bonds (Bloomberg U.S. Aggregate Bond Index)	0.06	(1.54)

Tax-exempt municipal bonds (S&P Municipal Bond Index)	0.52	1.77

U.S. high yield bonds (Bloomberg U.S. Corporate High Yield 2% Issuer Capped Index)	1.59	5.26
Past performance is not an indication of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.


2		T H I S P A G E I S N O T P A R T O F Y O U R F U N D R E P O R T

Table of Contents


	Page
The Markets in Review		2
Annual Report:
Fund Summary		4
About Fund Performance		25
Disclosure of Expenses		25
Derivative Financial Instruments		27
Financial Statements:
Schedules of Investments		28
Statements of Assets and Liabilities		48
Statements of Operations		54
Statements of Changes in Net Assets		57
Financial Highlights		62
Notes to Financial Statements		102
Report of Independent Registered Public Accounting Firm		117
Important Tax Information		118
Statement Regarding Liquidity Risk Management Program		120
Trustee and Officer Information		121
Additional Information		125
Glossary of Terms Used in this Report		127

LOGO


		3


Fund Summary as of December 31, 2021		BlackRock LifePath^® Index Funds

Portfolio Management Commentary

How did each Fund perform?

The BlackRock LifePath^® Index Retirement Fund along with the BlackRock LifePath^® Index Funds with target dates of 2025, 2030, 2035, 2040, 2045, 2050, 2055, 2060 and 2065 are referred to as the “LifePath Index Funds”.

For the 12-month period ended December 31, 2021, with respect to the BlackRock LifePath Index Retirement Fund and the LifePath Index Funds with vintages of 2025 and 2030, all of the Funds’ share classes underperformed their respective custom benchmarks.

For the LifePath Index Fund with the vintage of 2035, the Fund’s Class K Shares performed in line with its respective custom benchmark, while the Fund’s Institutional, Investor A and Investor P Shares underperformed.

For the LifePath Index Funds with vintages of 2040 and 2060, the Funds’ Institutional and Class K Shares performed in line with their respective custom benchmarks, while the Funds’ Investor A and Investor P Shares underperformed.

For the LifePath Index Funds with vintages of 2045, 2055 and 2065, the Funds’ Class K Shares outperformed their respective custom benchmarks, while the Funds’ Institutional Shares performed in line with their respective custom benchmarks, and Investor A and Investor P Shares underperformed.

For the LifePath Index Fund with the vintage of 2050, the Fund’s Institutional and Class K Shares outperformed its respective custom benchmark, while the Fund’s Investor A and Investor P Shares underperformed.

What factors influenced performance?

Positions in Large Cap Index Master Portfolio, iShares Core MSCI Total International Stock ETF and iShares Developed Real Estate Index Fund made the largest contributions to performance, particularly in the longer-dated vintages with greater allocations to equities and equity-like securities. The U.S. Total Bond Index Master Portfolio was the only detractor. The effect was greatest in the shorter-dated vintages with larger allocations to fixed-income assets.

Describe recent portfolio activity.

Each LifePath Index Fund has its own time horizon, which affects its acceptable level of risk and, in turn, the strategic allocation of its holdings across asset classes. On a quarterly basis, the strategic allocation of each LifePath Index Fund (other than the BlackRock LifePath Index Retirement Fund) is systematically adjusted to reflect the shareholders’ remaining investment time horizon. During the period, the LifePath Index Funds were rebalanced in accordance with their updated strategic allocations.

Describe portfolio positioning at period end.

Each of the LifePath Index Funds was invested according to its respective strategic allocation benchmark within tolerance limits.

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.

Glide Path Evolution

Under normal circumstances, the asset allocation of each LifePath Index Fund will change over time according to a predetermined “glide path” as each LifePath Index Fund approaches its respective target date. The glide path represents the shifting of asset classes over time. Each LifePath Index Fund’s asset allocations become more conservative prior to retirement as time elapses. This reflects the need for reduced investment risks as retirement approaches and the need for lower volatility of each LifePath Index Fund, which may be a primary source of income after retirement. As each LifePath Index Fund approaches its target date, its asset allocation will shift so that each LifePath Index Fund invests a greater percentage of its assets in fixed-income index funds. The asset allocation targets are established by the portfolio managers. The investment team, including the portfolio managers, meets regularly to assess market conditions, review the asset allocation targets of each LifePath Index Fund, and determine whether any changes are required to enable each LifePath Index Fund to achieve its investment objective. Because the BlackRock LifePath Index Retirement Fund is in its most conservative phase, its allocation generally does not become more conservative over time, although its allocation may change to maintain its risk profile.

Although the asset allocation targets listed for the glide path are general, long-term targets, BlackRock Fund Advisors (“BFA” or the “Manager”) may periodically adjust the proportion of equity index funds and fixed-income index funds in each LifePath Index Fund, based on an assessment of the current market conditions, the potential contribution of each asset class to the expected risk and return characteristics of each LifePath Index Fund, reallocations of each LifePath Index Fund’s composition to reflect intra-year movement along the glide path and other factors. In general, such adjustments will be limited; however, BFA may determine that a greater degree of variation is warranted to protect a LifePath Index Fund or achieve its investment objective.


4		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index Retirement Fund

Investment Objective

BlackRock LifePath^® Index Retirement Fund’s (“LifePath Index Retirement Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index Retirement Fund will be broadly diversified across global asset classes.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index Retirement Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		39.0	%		6.3	%		1.6	%		16.6	%		32.9	%		3.6	%
01/01/13 to 12/31/13		40.9			6.6			3.1			16.0			29.7			3.7
01/01/14 to 12/31/14		42.1			6.8			3.0			16.0			28.4			3.7
01/01/15 to 12/31/15		40.4			6.7			3.3			16.9			29.3			3.4
01/01/16 to 12/31/16		51.2			8.8			0.6			13.3			22.3			3.8
01/01/17 to 12/31/17		51.2			8.8			0.5			13.3			21.8			4.4
01/01/18 to 12/31/18		51.2			8.8			0.5			13.7			21.8			4.0
01/01/19 to 12/31/19		52.0			8.0			2.2			12.3			22.1			3.4
01/01/20 to 12/31/20		52.0			8.0			2.2			12.9			21.6			3.3
01/01/21 to 12/31/21		52.0			8.0			2.2			13.3			20.9			3.6

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

Prior to August 24, 2021, the Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L) was known as the Bloomberg Barclays U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L).

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		5


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index Retirement Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						10 Years

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		6.86	%		N/A			8.19	%		N/A			6.87	%		N/A
Investor A		6.60			N/A			7.92			N/A			6.60			N/A
Investor P		6.61			1.01	%		7.93			6.77	%		6.61			6.03	%
Class K		6.92			N/A			8.25			N/A			6.91			N/A
LifePath Index Retirement Fund Custom Benchmark		7.06			N/A			8.29			N/A			7.02			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			2.90			N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96			N/A			5.34			N/A			3.09			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.64			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			7.57			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			16.54			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			13.23			N/A

^(a)

Assuming maximum sales charges, if any. Average annual total returns with and without sales charges reflect reductions for distribution and service fees. See “About Fund Performance” for a detailed description of share classes, including any related sales charges and fees, and how performance was calculated for certain share classes.

^(b)

LifePath Index Retirement Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors who are currently withdrawing, or plan in the near future to begin withdrawing, a substantial portion of their investment.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Fixed-Income Funds		60	%

Equity Funds		40

Money Market Funds		—	^(a)

Liabilities in Excess of Other Assets		(—	)^(b)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

U.S. Total Bond Index Master Portfolio		52	%

Large Cap Index Master Portfolio		21

iShares Core MSCI Total International Stock ETF		13

iShares TIPS Bond ETF		8

Master Small Cap Index Series		4

iShares Developed Real Estate Index Fund, Class K		2

BlackRock Cash Funds: Institutional, SL Agency Shares		—	^(a)

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

^(a)	Rounds to less than 1% of net assets.

^(b)	Rounds to more than (1)% of net assets.


6		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2025 Fund

Investment Objective

BlackRock LifePath^® Index 2025 Fund’s (“LifePath Index 2025 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2025 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2025 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		31.9	%		8.0	%		2.4	%		19.3	%		35.1	%		3.3	%
01/01/13 to 12/31/13		33.7			5.3			4.8			18.3			34.6			3.3
01/01/14 to 12/31/14		34.5			5.4			4.9			18.5			33.4			3.3
01/01/15 to 12/31/15		30.9			5.0			5.9			20.1			35.1			3.0
01/01/16 to 12/31/16		32.4			5.3			5.8			19.8			33.8			2.9
01/01/17 to 12/31/17		35.0			5.7			5.3			19.3			31.6			3.1
01/01/18 to 12/31/18		36.5			5.9			4.5			19.3			30.7			3.1
01/01/19 to 12/31/19		38.1			7.1			2.5			19.5			29.7			3.1
01/01/20 to 12/31/20		40.9			7.3			2.4			18.5			28.0			2.9
01/01/21 to 12/31/21		43.3			7.5			2.2			17.6			26.2			3.2

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		7


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2025 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						10 Years

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		8.89	%		N/A			9.63	%		N/A			8.61	%		N/A
Investor A		8.55			N/A			9.34			N/A			8.33			N/A
Investor P		8.60			2.90	%		9.36			8.19	%		8.34			7.75	%
Class K		8.94			N/A			9.69			N/A			8.65			N/A
LifePath Index 2025 Fund Custom Benchmark		9.04			N/A			9.70			N/A			8.73			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			2.90			N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96			N/A			5.34			N/A			3.09			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.64			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			7.57			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			16.54			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			13.23			N/A

^(a)

^(b)

LifePath Index 2025 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2025.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Fixed-Income Funds		51	%

Equity Funds		49

Money Market Funds		1

Liabilities in Excess of Other Assets		(1	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

U.S. Total Bond Index Master Portfolio		44	%

Large Cap Index Master Portfolio		26

iShares Core MSCI Total International Stock ETF		18

iShares TIPS Bond ETF		8

Master Small Cap Index Series		3

iShares Developed Real Estate Index Fund, Class K		2

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

BlackRock Cash Funds: Institutional, SL Agency Shares		—	^(a)

^(a)

Rounds to less than 1% of net assets.


8		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2030 Fund

Investment Objective

BlackRock LifePath^® Index 2030 Fund’s (“LifePath Index 2030 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2030 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2030 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		25.8	%		3.8	%		3.1	%		21.6	%		42.6	%		3.1	%
01/01/13 to 12/31/13		27.6			4.0			6.2			20.3			38.9			3.0
01/01/14 to 12/31/14		27.7			4.1			6.6			20.9			37.8			2.9
01/01/15 to 12/31/15		21.8			3.4			8.3			23.1			40.8			2.6
01/01/16 to 12/31/16		23.4			3.6			8.3			22.9			39.3			2.5
01/01/17 to 12/31/17		25.9			4.0			8.1			22.5			37.1			2.4
01/01/18 to 12/31/18		27.2			4.2			7.5			22.5			36.1			2.5
01/01/19 to 12/31/19		26.9			6.1			3.1			25.2			36.0			2.7
01/01/20 to 12/31/20		29.9			6.2			3.0			23.9			34.5			2.5
01/01/21 to 12/31/21		32.1			6.5			2.9			22.9			33.1			2.5

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		9


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2030 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						10 Years

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		11.35	%		N/A			10.83	%		N/A			9.53	%		N/A
Investor A		11.13			N/A			10.55			N/A			9.27			N/A
Investor P		11.08			5.25	%		10.56			9.38	%		9.26			8.67	%
Class K		11.42			N/A			10.88			N/A			9.57			N/A
LifePath Index 2030 Fund Custom Benchmark		11.49			N/A			10.89			N/A			9.65			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			2.90			N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96			N/A			5.34			N/A			3.09			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.64			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			7.57			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			16.54			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			13.23			N/A

^(a)

^(b)

LifePath Index 2030 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2030.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Equity Funds		61	%

Fixed-Income Funds		39

Money Market Funds		—	^(a)

Liabilities in Excess of Other Assets		(—	)^(b)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		33	%

U.S. Total Bond Index Master Portfolio		33

iShares Core MSCI Total International Stock ETF		23

iShares TIPS Bond ETF		6

iShares Developed Real Estate Index Fund, Class K		3

Master Small Cap Index Series		2

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

^(a)

Rounds to less than 1% of net assets.

^(b)

Rounds to more than (1)% of net assets.


10		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2035 Fund

Investment Objective

BlackRock LifePath^® Index 2035 Fund’s (“LifePath Index 2035 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2035 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2035 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		20.3	%		2.6	%		3.7	%		23.7	%		46.7	%		3.0	%
01/01/13 to 12/31/13		22.1			2.9			7.5			22.2			42.7			2.6
01/01/14 to 12/31/14		21.6			2.9			8.1			23.0			41.8			2.6
01/01/15 to 12/31/15		13.2			1.9			10.6			26.0			46.0			2.3
01/01/16 to 12/31/16		14.7			2.2			10.7			25.7			44.6			2.1
01/01/17 to 12/31/17		17.1			2.5			10.8			25.5			42.4			1.7
01/01/18 to 12/31/18		18.4			2.7			10.3			25.5			41.3			1.8
01/01/19 to 12/31/19		17.1			4.6			3.7			30.4			41.8			2.4
01/01/20 to 12/31/20		19.7			4.9			3.6			29.1			40.6			2.1
01/01/21 to 12/31/21		21.8			5.2			3.5			28.0			39.6			1.9

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		11


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2035 Fund

Performance


	Average Annual Total Returns^(a)(b)


	1 Year					5 Years					10 Years


		Without Sales Charge		With Sales Charge			Without Sales Charge		With Sales Charge			Without Sales Charge		With Sales Charge
Institutional		13.78	%	N/A			11.97	%	N/A			10.39	%	N/A
Investor A		13.46		N/A			11.70		N/A			10.10		N/A
Investor P		13.52		7.56	%		11.71		10.50	%		10.12		9.52	%
Class K		13.84		N/A			12.04		N/A			10.43		N/A
LifePath Index 2035 Fund Custom Benchmark		13.85		N/A			12.01		N/A			10.49		N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)	N/A			3.57		N/A			2.90		N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96		N/A			5.34		N/A			3.09		N/A
FTSE EPRA Nareit Developed Index		26.09		N/A			7.81		N/A			8.64		N/A
MSCI ACWI ex USA IMI Index		8.53		N/A			9.83		N/A			7.57		N/A
Russell 1000^® Index		26.45		N/A			18.43		N/A			16.54		N/A
Russell 2000^® Index		14.82		N/A			12.02		N/A			13.23		N/A

^(a)

^(b)

LifePath Index 2035 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2035.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Equity Funds		73	%

Fixed-Income Funds		27

Money Market Funds		1

Liabilities in Excess of Other Assets		(1	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		40	%

iShares Core MSCI Total International Stock ETF		28

U.S. Total Bond Index Master Portfolio		22

iShares TIPS Bond ETF		5

iShares Developed Real Estate Index Fund, Class K		3

Master Small Cap Index Series		2

BlackRock Cash Funds: Institutional, SL Agency Shares		1

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

^(a)	Rounds to less than 1% of net assets.


12		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2040 Fund

Investment Objective

BlackRock LifePath^® Index 2040 Fund’s (“LifePath Index 2040 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2040 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2040 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		15.3	%		1.6	%		4.2	%		25.6	%		50.5	%		2.8	%
01/01/13 to 12/31/13		17.1			1.7			8.7			23.9			46.2			2.4
01/01/14 to 12/31/14		16.3			1.6			9.5			24.9			45.3			2.4
01/01/15 to 12/31/15		5.6			0.7			12.9			28.6			50.1			2.1
01/01/16 to 12/31/16		6.9			0.9			12.9			28.5			48.9			1.9
01/01/17 to 12/31/17		9.2			1.2			13.2			28.2			47.1			1.1
01/01/18 to 12/31/18		10.3			1.4			12.8			28.3			45.9			1.3
01/01/19 to 12/31/19		8.4			3.0			4.2			35.2			47.0			2.2
01/01/20 to 12/31/20		10.8			3.2			4.1			33.9			46.2			1.8
01/01/21 to 12/31/21		12.6			3.6			4.0			32.7			45.7			1.4

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		13


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2040 Fund

Performance


	Average Annual Total Returns^(a)(b)


	1 Year					5 Years					10 Years


		Without Sales Charge		With Sales Charge			Without Sales Charge		With Sales Charge			Without Sales Charge		With Sales Charge
Institutional		15.99	%	N/A			12.98	%	N/A			11.16	%	N/A
Investor A		15.67		N/A			12.69		N/A			10.88		N/A
Investor P		15.75		9.67	%		12.70		11.50	%		10.89		10.29	%
Class K		16.05		N/A			13.03		N/A			11.21		N/A
LifePath Index 2040 Fund Custom Benchmark		16.00		N/A			13.01		N/A			11.25		N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)	N/A			3.57		N/A			2.90		N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96		N/A			5.34		N/A			3.09		N/A
FTSE EPRA Nareit Developed Index		26.09		N/A			7.81		N/A			8.64		N/A
MSCI ACWI ex USA IMI Index		8.53		N/A			9.83		N/A			7.57		N/A
Russell 1000^® Index		26.45		N/A			18.43		N/A			16.54		N/A
Russell 2000^® Index		14.82		N/A			12.02		N/A			13.23		N/A

^(a)

^(b)

LifePath Index 2040 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2040.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Equity Funds		83	%

Fixed-Income Funds		17

Money Market Funds		1

Liabilities in Excess of Other Assets		(1	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		46	%

iShares Core MSCI Total International Stock ETF		32

U.S. Total Bond Index Master Portfolio		13

iShares Developed Real Estate Index Fund, Class K		4

iShares TIPS Bond ETF		4

Master Small Cap Index Series		1

BlackRock Cash Funds: Institutional, SL Agency Shares		1

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

^(a)	Rounds to less than 1% of net assets.


14		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2045 Fund

Investment Objective

BlackRock LifePath^® Index 2045 Fund’s (“LifePath Index 2045 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2045 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2045 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		11.2	%		N/A			4.8	%		27.4	%		54.0	%		2.6	%
01/01/13 to 12/31/13		13.2			N/A			9.8			25.4			49.5			2.1
01/01/14 to 12/31/14		12.6			N/A			10.7			26.4			48.1			2.2
01/01/15 to 12/31/15		1.8			0.2	%		14.2			30.0			51.7			2.1
01/01/16 to 12/31/16		2.3			0.2			14.6			30.2			50.8			1.9
01/01/17 to 12/31/17		3.4			0.3			15.3			30.5			49.6			0.9
01/01/18 to 12/31/18		4.0			0.4			15.0			30.7			48.8			1.1
01/01/19 to 12/31/19		3.0			1.4			4.6			38.5			50.5			2.0
01/01/20 to 12/31/20		4.3			1.6			4.5			37.6			50.5			1.5
01/01/21 to 12/31/21		5.3			1.9			4.5			36.6			50.6			1.1

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		15


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2045 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						10 Years

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		17.76	%		N/A			13.76	%		N/A			11.78	%		N/A
Investor A		17.44			N/A			13.47			N/A			11.50			N/A
Investor P		17.44			11.28	%		13.47			12.25	%		11.50			10.89	%
Class K		17.81			N/A			13.81			N/A			11.84			N/A
LifePath Index 2045 Fund Custom Benchmark		17.72			N/A			13.75			N/A			11.86			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			2.90			N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96			N/A			5.34			N/A			3.09			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.64			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			7.57			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			16.54			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			13.23			N/A

^(a)

^(b)

LifePath Index 2045 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2045.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Equity Funds		93	%

Fixed-Income Funds		8

Money Market Funds		—	^(a)

Liabilities in Excess of Other Assets		(1	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		51	%

iShares Core MSCI Total International Stock ETF		36

U.S. Total Bond Index Master Portfolio		6

iShares Developed Real Estate Index Fund, Class K		5

iShares TIPS Bond ETF		2

Master Small Cap Index Series		1

BlackRock Cash Funds: Institutional, SL Agency Shares		—	^(a)

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

^(a)

Rounds to less than 1% of net assets.


16		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2050 Fund

Investment Objective

BlackRock LifePath^® Index 2050 Fund’s (“LifePath Index 2050 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2050 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2050 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		5.8	%		N/A			5.3	%		29.2	%		57.1	%		2.6	%
01/01/13 to 12/31/13		7.9			N/A			10.8			26.9			52.5			1.9
01/01/14 to 12/31/14		8.3			N/A			11.7			27.7			50.4			1.9
01/01/15 to 12/31/15		1.0			N/A			14.5			30.3			52.1			2.1
01/01/16 to 12/31/16		1.0			N/A			15.0			30.9			51.2			1.9
01/01/17 to 12/31/17		1.0			N/A			16.2			31.5			50.4			0.9
01/01/18 to 12/31/18		1.2			N/A			16.0			31.7			50.1			1.0
01/01/19 to 12/31/19		1.0			0.4	%		4.8			39.9			52.0			1.9
01/01/20 to 12/31/20		1.3			0.5			4.7			39.5			52.7			1.3
01/01/21 to 12/31/21		1.6			0.6			4.7			38.8			53.3			1.0

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		17


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2050 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						10 Years

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		18.69	%		N/A			14.10	%		N/A			12.18	%		N/A
Investor A		18.38			N/A			13.82			N/A			11.89			N/A
Investor P		18.35			12.13	%		13.81			12.59	%		11.90			11.29	%
Class K		18.75			N/A			14.15			N/A			12.23			N/A
LifePath Index 2050 Fund Custom Benchmark		18.62			N/A			14.10			N/A			12.25			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			2.90			N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96			N/A			5.34			N/A			3.09			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.64			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			7.57			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			16.54			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			13.23			N/A

^(a)

^(b)

LifePath Index 2050 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2050.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Equity Funds		98	%

Fixed-Income Funds		2

Money Market Funds		1

Liabilities in Excess of Other Assets		(1	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		53	%

iShares Core MSCI Total International Stock ETF		39

iShares Developed Real Estate Index Fund, Class K		5

U.S. Total Bond Index Master Portfolio		1

Master Small Cap Index Series		1

iShares TIPS Bond ETF		1

BlackRock Cash Funds: Institutional, SL Agency Shares		1

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

^(a)

Rounds to less than 1% of net assets.


18		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2055 Fund

Investment Objective

BlackRock LifePath^® Index 2055 Fund’s (“LifePath Index 2055 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2055 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2055 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period	Bloomberg U.S. Aggregate Bond Index^(a)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(b)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
01/01/12 to 12/31/12		1.1	%		N/A			5.9	%		31.4	%		57.4	%		4.2	%
01/01/13 to 12/31/13		2.7			N/A			12.2			28.4			54.8			1.9
01/01/14 to 12/31/14		4.2			N/A			12.8			29.0			52.1			1.9
01/01/15 to 12/31/15		1.0			N/A			14.5			30.3			52.1			2.1
01/01/16 to 12/31/16		1.0			N/A			15.0			30.9			51.2			1.9
01/01/17 to 12/31/17		1.0			N/A			16.2			31.5			50.4			0.9
01/01/18 to 12/31/18		1.0			N/A			16.1			31.8			50.1			1.0
01/01/19 to 12/31/19		0.9			0.1	%		4.8			40.2			52.0			2.0
01/01/20 to 12/31/20		0.8			0.2			4.8			39.9			52.9			1.4
01/01/21 to 12/31/21		0.9			0.2			4.8			39.3			53.8			1.0

^(a)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(b)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		19


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2055 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						10 Years

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		18.76	%		N/A			14.14	%		N/A			12.39	%		N/A
Investor A		18.51			N/A			13.85			N/A			12.11			N/A
Investor P		18.50			12.28	%		13.85			12.64	%		12.11			11.50	%
Class K		18.87			N/A			14.20			N/A			12.45			N/A
LifePath Index 2055 Fund Custom Benchmark		18.80			N/A			14.16			N/A			12.46			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			2.90			N/A
Bloomberg U.S. TIPS Index (Series L)		5.96			N/A			5.34			N/A			3.09			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.64			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			7.57			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			16.54			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			13.23			N/A

^(a)

^(b)

LifePath Index 2055 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2055.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets

Equity Funds		99	%

Fixed-Income Funds		1

Money Market Funds		—	^(a)

Liabilities in Excess of Other Assets		(—	)^(b)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio.		54	%

iShares Core MSCI Total International Stock ETF		39

iShares Developed Real Estate Index Fund, Class K		5

Master Small Cap Index Series		1

U.S. Total Bond Index Master Portfolio		1

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

iShares TIPS Bond ETF		—	^(a)

^(a)	Rounds to less than 1% of net assets.

^(b)	Rounds to more than (1)% of net assets.


20		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2060 Fund

Investment Objective

BlackRock LifePath^® Index 2060 Fund’s (“LifePath Index 2060 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2060 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

The LifePath Index Fund commenced operations on February 29, 2016.

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2060 Fund Custom Benchmark”) comprised of the indexes indicated below, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period^(a)	Bloomberg U.S. Aggregate Bond Index^(b)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(c)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
02/29/16 to 12/31/16		1.0	%		N/A			15.0	%		30.9	%		51.2	%		1.9	%
01/01/17 to 12/31/17		1.0			N/A			16.2			31.5			50.4			0.9
01/01/18 to 12/31/18		1.0			N/A			16.1			31.8			50.1			1.0
01/01/19 to 12/31/19		0.9			0.1	%		4.8			40.2			52.0			2.0
01/01/20 to 12/31/20		0.9			0.1			4.8			39.9			52.9			1.4
01/01/21 to 12/31/21		0.9			0.1			4.8			39.3			53.9			1.0

^(a)

The LifePath Index Fund commenced operations on February 29, 2016.

^(b)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(c)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		21


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2060 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						5 Years						Since Inception^(c)

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		18.81	%		N/A			14.15	%		N/A			14.80	%		N/A
Investor A		18.50			N/A			13.86			N/A			14.50			N/A
Investor P		18.53			12.31	%		13.88			12.66	%		14.52			13.48	%
Class K		18.80			N/A			14.20			N/A			14.85			N/A
LifePath Index 2060 Fund Custom Benchmark		18.79			N/A			14.16			N/A			14.80			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			3.57			N/A			3.15			N/A
Bloomberg U.S. TIPS Index (Series L)		5.96			N/A			5.34			N/A			4.92			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			7.81			N/A			8.12			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			9.83			N/A			10.70			N/A
Russell 1000^® Index		26.45			N/A			18.43			N/A			19.01			N/A
Russell 2000^® Index		14.82			N/A			12.02			N/A			15.74			N/A

^(a)

^(b)

LifePath Index 2060 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2060.

^(c)

The LifePath Index Fund commenced operations on February 29, 2016.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets
Equity Funds		100	%

Money Market Funds		5

Fixed-Income Funds		1

Liabilities in Excess of Other Assets		(6	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		54	%

iShares Core MSCI Total International Stock ETF		40

iShares Developed Real Estate Index Fund, Class K		5

BlackRock Cash Funds: Institutional, SL Agency Shares		5

Master Small Cap Index Series		1

U.S. Total Bond Index Master Portfolio		1

BlackRock Cash Funds: Treasury, SL Agency Shares		—	^(a)

iShares TIPS Bond ETF		—	^(a)

^(a)	Rounds to less than 1% of net assets.


22		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


LifePath Index Fund Summary as of December 31, 2021		BlackRock LifePath^® Index 2065 Fund

Investment Objective

BlackRock LifePath^® Index 2065 Fund’s (“LifePath Index 2065 Fund” or the “LifePath Index Fund”) investment objective is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, LifePath Index 2065 Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.

TOTAL RETURN BASED ON A $10,000 INVESTMENT

LOGO

The LifePath Index Fund commenced operations on October 30, 2019.

^(a)

The LifePath Index Fund compares its performance to that of a customized weighted index (the “LifePath Index 2065 Fund Custom Benchmark”) comprised of the indexes indicated above, which reflects the investment adviser’s changes to the benchmark’s weightings over time. The investment adviser adjusts the weightings of these indexes periodically based upon its evaluation and adjustment of the LifePath Index Fund’s asset allocation strategy. The weightings are presented annually but they are adjusted quarterly.

The LifePath Index Fund’s custom benchmark consists of the following:


Period^(a)	Bloomberg U.S. Aggregate Bond Index^(b)			Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L)^(c)			FTSE EPRA Nareit Developed Index			MSCI ACWI ex USA IMI Index			Russell 1000^® Index			Russell 2000^® Index
10/30/19 to 12/31/19		1.0	%		0.0	%		4.8	%		40.2	%		52.0	%		2.0	%
01/01/20 to 12/31/20		1.0			0.0			4.8			39.9			52.9			1.4

01/01/21 to 12/31/21		1.1			0.0			4.8			39.3			53.8			1.0

^(a)

The LifePath Index Fund commenced operations on October 30, 2019.

^(b)

Prior to August 24, 2021, the Bloomberg U.S. Aggregate Bond Index was known as the Bloomberg Barclays U.S. Aggregate Bond Index.

^(c)

See “About Fund Performance” for descriptions of the indexes.


F U N D S U M M A R Y		23


LifePath Index Fund Summary as of December 31, 2021 (continued)		BlackRock LifePath^® Index 2065 Fund

Performance


	Average Annual Total Returns^(a)(b)

	1 Year						Since Inception^(c)

	Without Sales Charge			With Sales Charge			Without Sales Charge			With Sales Charge
Institutional		18.74	%		N/A			18.61	%		N/A
Investor A		18.48			N/A			18.34			N/A
Investor P		18.52			12.29	%		18.34			15.46	%
Class K		18.87			N/A			18.70			N/A
LifePath Index 2065 Fund Custom Benchmark		18.79			N/A			18.56			N/A
Bloomberg U.S. Aggregate Bond Index		(1.54	)		N/A			2.85			N/A
Bloomberg U.S. TIPS Index (Series-L)		5.96			N/A			8.30			N/A
FTSE EPRA Nareit Developed Index		26.09			N/A			6.28			N/A
MSCI ACWI ex USA IMI Index		8.53			N/A			11.78			N/A
Russell 1000^® Index		26.45			N/A			25.22			N/A
Russell 2000^® Index		14.82			N/A			19.30			N/A

^(a)

^(b)

LifePath Index 2065 Fund normally invests its assets in underlying funds according to an asset allocation strategy designed for investors planning to retire or begin withdrawing assets around the year 2065.

^(c)

The LifePath Index Fund commenced operations on October 30, 2019.

N/A — Not applicable as the share class and index do not have a sales charge.

Past performance is not an indication of future results.

Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

PORTFOLIO ALLOCATION



Asset Type	Percent of Net Assets
Equity Funds		99	%

Fixed-Income Funds		1

Money Market Funds		1

Liabilities in Excess of Other Assets		(1	)

TEN LARGEST HOLDINGS



Security	Percent of Net Assets

Large Cap Index Master Portfolio		54	%

iShares Core MSCI Total International Stock ETF		39

iShares Developed Real Estate Index Fund, Class K		5

Master Small Cap Index Series		1

U.S. Total Bond Index Master Portfolio		1

BlackRock Cash Funds: Treasury, SL Agency Shares		1


24		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

About Fund Performance

Institutional and Class K Shares are not subject to any sales charge. These shares bear no ongoing distribution or service fees and are available only to certain eligible investors.

Investor A Shares are not subject to any sales charge and bear no ongoing distribution fee. These shares are subject to an ongoing service fee of 0.25% per year. These shares are generally available through financial intermediaries.

Investor P Shares are subject to a maximum initial sales charge (front-end load) of 5.25% and a service fee of 0.25% per year (but no distribution fee). Certain redemptions of these shares may be subject to a contingent deferred sales charge (“CDSC”) where no initial sales charge was paid at the time of purchase. These shares are only available to investors purchasing shares through registered representatives of an insurance company’s broker-dealer that has entered into an agreement with the LifePath Index Funds’ distributor to offer such shares. Except with respect to LifePath Index 2065 Fund, Investor P Shares performance shown prior to the Investor P Shares inception date of August 6, 2018 is that of Institutional Shares (which have no distribution or service fees) and was restated to reflect Investor P Shares fees.

Past performance is not an indication of future results. Financial markets have experienced extreme volatility and trading in many instruments has been disrupted. These circumstances may continue for an extended period of time, and may continue to affect adversely the value and liquidity of each LifePath Index Fund’s investments. As a result, current performance may be lower or higher than the performance data quoted. Refer to blackrock.com to obtain performance data current to the most recent month-end. Performance results do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Figures shown in the performance tables assume reinvestment of all distributions, if any, at net asset value (“NAV”) on the ex-dividend date or payable date, as applicable. Investment return and principal value of shares will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Distributions paid to each class of shares will vary because of the different levels of service, distribution and transfer agency fees applicable to each class, which are deducted from the income available to be paid to shareholders.

BlackRock Fund Advisors (“BFA” or the “Manager”) and BlackRock Advisors, LLC (“BAL” or the “Administrator”), each LifePath Index Fund’s Manager and Administrator respectively, have contractually agreed to waive and/or reimburse a portion of each LifePath Index Fund’s expenses. Without such waivers and/or reimbursements, each LifePath Index Fund’s performance would have been lower. With respect to each LifePath Index Fund’s contractual waivers, if any, the Manager and the Administrator are under no obligation to continue waiving and/or reimbursing their fees after the applicable termination date of such agreement. See Notes to Financial Statements for additional information on waivers and/or reimbursements.

The LifePath Index Funds’ custom benchmarks are hypothetical representations of the performance of the respective LifePath Index Fund’s asset classes according to their weightings as of the most recent quarter-end. The weightings of the various indexes that are included in the LifePath Index Funds’ custom benchmarks are adjusted quarterly to reflect the LifePath Index Funds’ changing asset allocations over time. As of December 31, 2021, the following indexes are used to calculate the LifePath Index Funds’ custom benchmarks: Bloomberg U.S. Aggregate Bond Index, Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L), FTSE EPRA Nareit Developed Index, MSCI ACWI ex USA IMI Index, Russell 1000^® Index and Russell 2000^® Index.

The Bloomberg U.S. Aggregate Bond Index is a broad-based flagship benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market. The Bloomberg U.S. Treasury Inflation Protected Securities (TIPS) Index (Series-L) is an unmanaged index that measures the performance of the inflation-protected public obligations of the U.S. Treasury. The FTSE EPRA Nareit Developed Index is a global market capitalization weighted index composed of listed real estate securities from developed market countries in North America, Europe, and Asia. The MSCI ACWI ex USA IMI Index is a free float-adjusted market capitalization weighted index that measures the equity market performance of the developed (excluding the U.S.) and emerging investable market universe. The Russell 1000^® Index is an index that measures the performance of the large-cap segment of the U.S. equity universe. It is a subset of the Russell 3000^® Index and includes approximately 1,000 of the largest securities based on a combination of their market capitalization and current index membership. The Index represents approximately 93% of the U.S. market. The Russell 2000^® Index is an index that measures the performance of the small-cap segment of the U.S. equity universe. It is a subset of the Russell 3000^® Index representing approximately 10% of the total market capitalization of that index. It includes approximately 2,000 of the smallest securities based on a combination of their market cap and current index membership.

Disclosure of Expenses

Shareholders of each LifePath Index Fund may incur the following charges: (a) transactional expenses, such as sales charges; and (b) operating expenses, including investment advisory fees, administration fees, service and distribution fees, including 12b-1 fees, acquired fund fees and expenses, and other fund expenses. The expense examples shown (which are based on a hypothetical investment of $1,000 invested at the beginning of the period (or from commencement of operations if less than 6 months) and held through the end of the period) are intended to assist shareholders both in calculating expenses based on an investment in each LifePath Index Fund and in comparing these expenses with similar costs of investing in other mutual funds.

The expense examples provide information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. In order to estimate the expenses a shareholder paid during the period covered by this report, shareholders can divide their account value by $1,000 and then multiply the result by the number corresponding to their LifePath Index Fund and share class under the heading entitled “Expenses Paid During the Period.”

The expense examples also provide information about hypothetical account values and hypothetical expenses based on a LifePath Index Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses. In order to assist shareholders in comparing the ongoing expenses of investing in these LifePath Index Funds and other funds, compare the 5% hypothetical examples with the 5% hypothetical examples that appear in shareholder reports of other funds.

The expenses shown in the expense examples are intended to highlight shareholders’ ongoing costs only and do not reflect transactional expenses, such as sales charges, if any. Therefore, the hypothetical examples are useful in comparing ongoing expenses only and will not help shareholders determine the relative total expenses of owning different funds. If these transactional expenses were included, shareholder expenses would have been higher.


A B O U T F U N D P E R F O R M A N C E / D I S C L O S U R E O F E X P E N S E S		25

Disclosure of Expenses (continued)

Expense Example


	Actual						Hypothetical ^(a)
	Beginning Account Value (07/01/21)		Ending Account Value (12/31/21)		Expenses Paid During the Period ^(b)		Beginning Account Value (07/01/21)		Ending Account Value (12/31/21)		Expenses Paid During the Period ^(b)		Annualized Expense Ratio
LifePath Index Retirement Fund
Institutional	$	1,000.00	$	1,023.10	$	0.56	$	1,000.00	$	1,024.65	$	0.56		0.11	%
Investor A		1,000.00		1,021.00		1.83		1,000.00		1,023.39		1.84		0.36
Investor P		1,000.00		1,021.80		1.83		1,000.00		1,023.39		1.84		0.36
Class K		1,000.00		1,022.70		0.20		1,000.00		1,025.00		0.20		0.04
LifePath Index 2025 Fund
Institutional		1,000.00		1,027.80		0.56		1,000.00		1,024.65		0.56		0.11
Investor A		1,000.00		1,025.80		1.84		1,000.00		1,023.39		1.84		0.36
Investor P		1,000.00		1,026.00		1.84		1,000.00		1,023.39		1.84		0.36
Class K		1,000.00		1,027.50		0.26		1,000.00		1,024.95		0.26		0.05
LifePath Index 2030 Fund
Institutional		1,000.00		1,033.50		0.51		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,032.70		1.79		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,032.20		1.79		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,033.80		0.21		1,000.00		1,025.00		0.20		0.04
LifePath Index 2035 Fund
Institutional		1,000.00		1,039.90		0.51		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,038.50		1.80		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,038.80		1.80		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,040.20		0.26		1,000.00		1,024.95		0.26		0.05
LifePath Index 2040 Fund
Institutional		1,000.00		1,045.00		0.52		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,043.70		1.80		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,044.30		1.80		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,045.30		0.21		1,000.00		1,025.00		0.20		0.04
LifePath Index 2045 Fund
Institutional		1,000.00		1,049.60		0.52		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,047.80		1.81		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,048.00		1.81		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,049.40		0.21		1,000.00		1,025.00		0.20		0.04
LifePath Index 2050 Fund
Institutional		1,000.00		1,051.30		0.52		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,049.90		1.81		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,050.10		1.81		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,052.00		0.21		1,000.00		1,025.00		0.20		0.04
LifePath Index 2055 Fund
Institutional		1,000.00		1,051.60		0.52		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,050.30		1.81		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,050.00		1.81		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,051.80		0.21		1,000.00		1,025.00		0.20		0.04
LifePath Index 2060 Fund
Institutional		1,000.00		1,051.50		0.52		1,000.00		1,024.70		0.51		0.10
Investor A		1,000.00		1,050.20		1.81		1,000.00		1,023.44		1.79		0.35
Investor P		1,000.00		1,050.40		1.81		1,000.00		1,023.44		1.79		0.35
Class K		1,000.00		1,051.80		0.26		1,000.00		1,024.95		0.26		0.05
LifePath Index 2065 Fund
Institutional		1,000.00		1,051.10		0.47		1,000.00		1,024.75		0.46		0.09
Investor A		1,000.00		1,050.70		1.76		1,000.00		1,023.49		1.73		0.34
Investor P		1,000.00		1,050.80		1.76		1,000.00		1,023.49		1.73		0.34
Class K		1,000.00		1,052.10		0.21		1,000.00		1,025.00		0.20		0.04

^(a)	Hypothetical 5% annual return before expenses is calculated by prorating the number of days in the most recent fiscal half year divided by 365.

^(b)	For each class of the LifePath Index Funds, expenses are equal to the annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period shown).


26		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Derivative Financial Instruments

The LifePath Index Funds 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. The LifePath Index Funds’ 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 LifePath Index Fund can realize on an investment and/or may result in lower distributions paid to shareholders. The LifePath Index Funds’ investments in these instruments, if any, are discussed in detail in the Notes to Financial Statements.


D E R I V A T I V E F I N A N C I A L I N S T R U M E N T S		27

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index Retirement Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value

Investment Companies^(a)

Equity Funds — 40.3%
iShares Core MSCI Total International Stock ETF^(b)		17,120,529	$	1,214,530,327
iShares Developed Real Estate Index Fund, Class K		18,169,284		217,122,940
Large Cap Index Master Portfolio	$	1,900,622,024		1,900,622,024
Master Small Cap Index Series	$	325,024,898		325,024,898

				3,657,300,189
Fixed-Income Funds — 59.8%
iShares TIPS Bond ETF^(b)		5,565,823		719,104,331
U.S. Total Bond Index Master Portfolio	$	4,711,516,553		4,711,516,553

				5,430,620,884


Security	Shares		Value

Money Market Funds — 0.4%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		26,865,140	$	26,873,200
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		11,699,096		11,699,096

				38,572,296


Total Investments — 100.5% (Cost: $7,219,657,038)				9,126,493,369

Liabilities in Excess of Other Assets — (0.5)%				(41,279,027	)


Net Assets — 100.0%			$	9,085,214,342

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(c)	Annualized 7-day yield as of period end.

^(d)	All or a portion of this security was purchased with the cash collateral from loaned securities.

Affiliates

Investments in issuers considered to be affiliate(s) of the LifePath Index Fund during the year ended December 31, 2021 for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	26,870,861	^(a)	$	—		$	2,339		$	—		$	26,873,200		26,865,140	$	18,788	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		19,917,066		—			(8,217,970	)^(a)		—			—			11,699,096		11,699,096		1,252			—
iShares Core MSCI Total International Stock ETF		1,166,833,433		93,571,116			(108,934,874	)		10,833,212			52,227,440			1,214,530,327		17,120,529		37,052,660			—
iShares Developed Real Estate Index Fund, Class K		205,198,393		13,146,842			(42,207,840	)		(438,014	)		41,423,559			217,122,940		18,169,284		9,328,499			345,482
iShares TIPS Bond ETF		679,406,913		54,272,876			(23,550,178	)		21,054			8,953,666			719,104,331		5,565,823		30,652,805			—
Large Cap Index Master Portfolio		1,856,708,204		—	^(a)(c)		(375,691,015	)		23,091,113			396,513,722			1,900,622,024	$	1,900,622,024		25,199,367			—
Master Small Cap Index Series		287,340,248		—			(450,734	)^(a)(c)		25,625,075			12,510,309			325,024,898	$	325,024,898		3,513,823			—
U.S. Total Bond Index Master Portfolio		4,504,235,393		377,771,135	^(a)(c)		—			2,586,669			(173,076,644	)		4,711,516,553	$	4,711,516,553		92,512,769			—

									$	61,721,448		$	338,552,052		$	9,126,493,369			$	198,279,963		$	345,482

^(a)

Represents net amount purchased (sold).

^(b)

All or a portion 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.

^(c)

Inclusive of income and expense allocated from the Master Portfolio.


28		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index Retirement Fund

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of financial instruments. For a description of the input levels and information about the LifePath Index Fund’s policy regarding valuation of financial instruments, refer to the Notes to Financial Statements.

The following table summarizes the LifePath Index Fund’s financial instruments categorized in the fair value hierarchy. The breakdown of the LifePath Index Fund’s financial instruments into major categories is disclosed in the Schedule of Investments above.



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	1,431,653,267	$	—	$	—	$	1,431,653,267
Fixed-Income Funds		719,104,331		—		—		719,104,331
Money Market Funds		38,572,296		—		—		38,572,296

	$	2,189,329,894	$	—	$	—		2,189,329,894

Investments Valued at NAV^(a)								6,937,163,475

							$	9,126,493,369

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		29

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2025 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 48.7%
iShares Core MSCI Total International Stock ETF		17,123,259	$	1,214,723,993
iShares Developed Real Estate Index Fund, Class K		13,570,096		162,162,645
Large Cap Index Master Portfolio	$	1,806,887,366		1,806,887,366
Master Small Cap Index Series	$	216,470,258		216,470,258


				3,400,244,262

Fixed-Income Funds — 51.5%
iShares TIPS Bond ETF^(b)		4,022,482		519,704,674
U.S. Total Bond Index Master Portfolio	$	3,073,425,124		3,073,425,124


				3,593,129,798


Security	Shares		Value


Money Market Funds — 0.5%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		13,130,060	$	13,133,999
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		21,469,384		21,469,384


				34,603,383


Total Investments — 100.7% (Cost: $5,560,775,054)				7,027,977,443
Liabilities in Excess of Other Assets — (0.7)%				(45,769,920	)


Net Assets — 100.0%			$	6,982,207,523

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(c)	Annualized 7-day yield as of period end.

^(d)	All or a portion of this security was purchased with the cash collateral from loaned securities.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds

BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	13,153,636	^(a)	$	—		$	(19,637	)	$	—		$	13,133,999		13,130,060	$	27,775	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		11,022,024		10,447,360	^(a)		—			—			—			21,469,384		21,469,384		1,408			—
iShares Core MSCI Total International Stock ETF		1,125,351,267		191,361,599			(160,247,132	)		3,603,995			54,654,264			1,214,723,993		17,123,259		37,263,231			—
iShares Developed Real Estate Index Fund, Class K		144,161,301		21,413,892			(33,294,284	)		257,936			29,623,800			162,162,645		13,570,096		6,916,452			262,514
iShares TIPS Bond ETF		423,705,326		101,558,473			(11,819,379	)		(77,941	)		6,338,195			519,704,674		4,022,482		20,989,322			—
Large Cap Index Master Portfolio		1,619,068,487		—			(198,936,155	)^(a)(c)		16,696,103			370,058,931			1,806,887,366	$	1,806,887,366		23,312,608			—
Master Small Cap Index Series		176,985,710		15,702,167	^(a)(c)		—			15,333,705			8,448,676			216,470,258	$	216,470,258		2,272,897			—
U.S. Total Bond Index Master Portfolio		2,454,277,664		716,251,121	^(a)(c)		—			(5,341,620	)		(91,762,041	)		3,073,425,124	$	3,073,425,124		55,256,076			—


									$	30,452,541		$	377,361,825		$	7,027,977,443			$	146,039,769		$	262,514

^(a)

Represents net amount purchased (sold).

^(b)

^(c)

Inclusive of income and expense allocated from the Master Portfolio.


30		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2025 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	1,376,886,638	$	—	$	—	$	1,376,886,638
Fixed-Income Funds		519,704,674		—		—		519,704,674
Money Market Funds		34,603,383		—		—		34,603,383


	$	1,931,194,695	$	—	$	—		1,931,194,695


Investments Valued at NAV^(a)								5,096,782,748


							$	7,027,977,443

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		31

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2030 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 61.0%
iShares Core MSCI Total International Stock ETF		36,494,321	$	2,588,907,132
iShares Developed Real Estate Index Fund, Class K		28,748,040		343,539,076
Large Cap Index Master Portfolio	$	3,772,067,042		3,772,067,042
Master Small Cap Index Series	$	271,166,860		271,166,860


				6,975,680,110

Fixed-Income Funds — 39.1%
iShares TIPS Bond ETF		5,624,576		726,695,219
U.S. Total Bond Index Master Portfolio	$	3,746,795,000		3,746,795,000


				4,473,490,219


Security	Shares		Value


Money Market Funds — 0.2%
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(b)		22,317,782	$	22,317,782


Total Investments — 100.3% (Cost: $8,684,797,386)				11,471,488,111

Liabilities in Excess of Other Assets — (0.3)%				(33,089,070	)


Net Assets — 100.0%			$	11,438,399,041

^(a)	Affiliate of the Fund.

^(b)	Annualized 7-day yield as of period end.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares^(a)	$	8,686,445	$	—		$	(8,638,561	)^(b)	$	(47,884	)	$	—		$	—		—	$	90,075	^(c)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		18,373,031		3,944,751	^(b)		—			—			—			22,317,782		22,317,782		2,334			—
iShares Core MSCI Total International Stock ETF		2,297,712,354		376,342,118			(205,310,750	)		3,725,406			116,438,004			2,588,907,132		36,494,321		78,347,646			—
iShares Developed Real Estate Index Fund, Class K		288,534,691		38,821,429			(45,349,842	)		(310,921	)		61,843,719			343,539,076		28,748,040		14,207,090			542,317
iShares TIPS Bond ETF		578,617,409		148,022,176			(8,758,563	)		(115,205	)		8,929,402			726,695,219		5,624,576		29,441,973			—
Large Cap Index Master Portfolio		3,228,535,566		—			(238,750,370	)^(b)(d)		30,693,848			751,587,998			3,772,067,042	$	3,772,067,042		47,142,410			—
Master Small Cap Index Series		242,057,849		—			(3,414,871	)^(b)(d)		21,011,460			11,512,422			271,166,860	$	271,166,860		3,005,496			—
U.S. Total Bond Index Master Portfolio		2,889,132,110		972,107,806	^(b)(d)		—			(4,012,316	)		(110,432,600	)		3,746,795,000	$	3,746,795,000		65,909,630			—


									$	50,944,388		$	839,878,945		$	11,471,488,111			$	238,146,654		$	542,317

^(a)

As of period end, the entity is no longer held.

^(b)

Represents net amount purchased (sold).

^(c)

^(d)

Inclusive of income and expense allocated from the Master Portfolio.


32		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2030 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	2,932,446,208	$	—	$	—	$	2,932,446,208
Fixed-Income Funds		726,695,219		—		—		726,695,219
Money Market Funds		22,317,782		—		—		22,317,782


	$	3,681,459,209	$	—	$	—		3,681,459,209


Investments Valued at NAV^(a)								7,790,028,902


							$	11,471,488,111

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		33

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2035 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 72.7%
iShares Core MSCI Total International Stock ETF^(b)		28,512,282	$	2,022,661,285
iShares Developed Real Estate Index Fund, Class K		22,066,215		263,691,275
Large Cap Index Master Portfolio	$	2,902,084,735		2,902,084,735
Master Small Cap Index Series	$	120,270,344		120,270,344


				5,308,707,639

Fixed-Income Funds — 27.5%
iShares TIPS Bond ETF^(b)		2,865,910		370,275,572
U.S. Total Bond Index Master Portfolio	$	1,640,150,722		1,640,150,722


				2,010,426,294


Security	Shares		Value


Money Market Funds — 1.0%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		60,110,739	$	60,128,772
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		14,442,571		14,442,571


				74,571,343


Total Investments — 101.2% (Cost: $5,547,007,556)				7,393,705,276

Liabilities in Excess of Other Assets — (1.2)%				(85,042,999	)


Net Assets — 100.0%			$	7,308,662,277

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(c)	Annualized 7-day yield as of period end.

^(d)	All or a portion of this security was purchased with the cash collateral from loaned securities.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	60,149,695	^(a)	$	—		$	(20,923	)	$	—		$	60,128,772		60,110,739	$	71,609	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		10,680,641		3,761,930	^(a)		—			—			—			14,442,571		14,442,571		1,625			—
iShares Core MSCI Total International Stock ETF		1,618,597,021		452,029,384			(130,798,631	)		(2,424,911	)		85,258,422			2,022,661,285		28,512,282		60,021,580			—
iShares Developed Real Estate Index Fund, Class K		197,985,491		44,586,351			(23,470,622	)		(473,113	)		45,063,168			263,691,275		22,066,215		10,571,085			413,461
iShares TIPS Bond ETF		267,814,551		104,400,386			(6,458,887	)		(58,794	)		4,578,316			370,275,572		2,865,910		14,585,378			—
Large Cap Index Master Portfolio		2,231,168,618		98,489,009	^(a)(c)		—			18,744,843			553,682,265			2,902,084,735	$	2,902,084,735		34,622,724			—
Master Small Cap Index Series		119,787,483		—			(15,788,489	)^(a)(c)		10,184,821			6,086,529			120,270,344	$	120,270,344		1,460,030			—
U.S. Total Bond Index Master Portfolio		1,107,175,687		578,577,990	^(a)(c)		—			(3,442,171	)		(42,160,784	)		1,640,150,722	$	1,640,150,722		27,132,664			—


									$	22,509,752		$	652,507,916		$	7,393,705,276			$	148,466,695		$	413,461

^(a)

Represents net amount purchased (sold).

^(b)

^(c)

Inclusive of income and expense allocated from the Master Portfolio.


34		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2035 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	2,286,352,560	$	—	$	—	$	2,286,352,560
Fixed-Income Funds		370,275,572		—		—		370,275,572
Money Market Funds		74,571,343		—		—		74,571,343


	$	2,731,199,475	$	—	$	—		2,731,199,475


Investments Valued at NAV^(a)								4,662,505,801


							$	7,393,705,276

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		35

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2040 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 83.6%
iShares Core MSCI Total International Stock ETF^(b)		44,731,675	$	3,173,265,025
iShares Developed Real Estate Index Fund, Class K		34,258,788		409,392,522
Large Cap Index Master Portfolio	$	4,499,777,050		4,499,777,050
Master Small Cap Index Series	$	103,532,845		103,532,845

				8,185,967,442

Fixed-Income Funds — 16.6%
iShares TIPS Bond ETF^(b)		2,680,879		346,369,567
U.S. Total Bond Index Master Portfolio	$	1,280,940,996		1,280,940,996

				1,627,310,563


Security	Shares		Value


Money Market Funds — 0.8%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		59,823,626	$	59,841,573
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		19,633,954		19,633,954

				79,475,527


Total Investments — 101.0% (Cost: $7,015,427,165)				9,892,753,532

Liabilities in Excess of Other Assets — (1.0)%				(100,248,219	)


Net Assets — 100.0%			$	9,792,505,313

(a)	Affiliate of the Fund.

(b)	All or a portion of this security is on loan.

(c)	Annualized 7-day yield as of period end.

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

Affiliates


Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	59,859,683	^(a)	$	—		$	(18,110	)	$	—		$	59,841,573		59,823,626	$	56,867	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		17,848,565		1,785,389	^(a)		—			—			—			19,633,954		19,633,954		1,959			—
iShares Core MSCI Total International Stock ETF		2,602,557,281		530,825,205			(98,241,507	)		(2,398,550	)		140,522,596			3,173,265,025		44,731,675		94,487,781			—
iShares Developed Real Estate Index Fund, Class K		319,814,829		47,619,128			(29,173,678	)		(68,897	)		71,201,140			409,392,522		34,258,788		16,623,618			642,718
iShares TIPS Bond ETF		249,158,120		95,947,042			(2,984,941	)		(14,735	)		4,264,081			346,369,567		2,680,879		13,655,964			—
Large Cap Index Master Portfolio		3,612,742,316		—			(17,846,063	)^(a)(c)		29,062,982			875,817,815			4,499,777,050	$	4,499,777,050		54,557,611			—
Master Small Cap Index Series.		142,164,372		—			(57,356,942	)^(a)(c)		11,961,850			6,763,565			103,532,845	$	103,532,845		1,507,658			—
U.S. Total Bond Index Master Portfolio		870,508,013		445,822,636	^(a)(c)		—			(2,234,495	)		(33,155,158	)		1,280,940,996	$	1,280,940,996		21,108,442			—


									$	36,290,045		$	1,065,414,039		$	9,892,753,532			$	201,999,900		$	642,718

^(a)

Represents net amount purchased (sold).

^(b)

^(c)

Inclusive of income and expense allocated from the Master Portfolio.


36		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2040 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	3,582,657,547	$	—	$	—	$	3,582,657,547
Fixed-Income Funds		346,369,567		—		—		346,369,567
Money Market Funds		79,475,527		—		—		79,475,527


	$	4,008,502,641	$	—	$	—		4,008,502,641


Investments Valued at NAV^(a)								5,884,250,891


							$	9,892,753,532

(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		37

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2045 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 92.9%
iShares Core MSCI Total International Stock ETF^(b)		29,680,890	$	2,105,562,337
iShares Developed Real Estate Index Fund, Class K		22,319,157		266,713,921
Large Cap Index Master Portfolio	$	2,927,892,266		2,927,892,266
Master Small Cap Index Series	$	60,324,977		60,324,977


				5,360,493,501

Fixed-Income Funds — 7.5%
iShares TIPS Bond ETF		860,903		111,228,667
U.S. Total Bond Index Master Portfolio	$	320,887,184		320,887,184


				432,115,851


Security	Shares		Value


Money Market Funds — 0.4%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		14,877,869	$	14,882,333
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		11,608,495		11,608,495

				26,490,828

Total Investments — 100.8% (Cost: $4,162,011,943)				5,819,100,180

Liabilities in Excess of Other Assets — (0.8)%				(48,393,291	)


Net Assets — 100.0%			$	5,770,706,889

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(c)	Annualized 7-day yield as of period end.

^(d)	All or a portion of this security was purchased with the cash collateral from loaned securities.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	14,910,482	^(a)	$	—		$	(27,501	)	$	(648	)	$	14,882,333		14,877,869	$	71,085	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		8,265,999		3,342,496	^(a)		—			—			—			11,608,495		11,608,495		1,305			—
iShares Core MSCI Total International Stock ETF		1,566,904,530		523,649,953			(65,389,120	)		(2,959,063	)		83,356,037			2,105,562,337		29,680,890		61,399,253			—
iShares Developed Real Estate Index Fund, Class K		189,987,917		47,730,559			(14,676,133	)		(685,372	)		44,356,950			266,713,921		22,319,157		10,395,691			419,373
iShares TIPS Bond ETF		71,237,508		39,877,099			(1,235,919	)		(9,871	)		1,359,850			111,228,667		860,903		4,145,042			—
Large Cap Index Master Portfolio		2,141,738,687		220,256,776	^(a)(c)		—			14,924,026			550,972,777			2,927,892,266	$	2,927,892,266		34,254,232			—
Master Small Cap Index Series		66,382,532		—			(14,997,321	)^(a)(c)		5,434,128			3,505,638			60,324,977	$	60,324,977		720,160			—
U.S. Total Bond Index Master Portfolio		185,373,116		143,250,786	^(a)(c)		—			(1,509,038	)		(6,227,680	)		320,887,184	$	320,887,184		4,837,681			—


									$	15,167,309		$	677,322,924		$	5,819,100,180			$	115,824,449		$	419,373

(a)

Represents net amount purchased (sold).

(b)

(c)

Inclusive of income and expense allocated from the Master Portfolio.


38		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2045 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	2,372,276,258	$	—	$	—	$	2,372,276,258
Fixed-Income Funds		111,228,667		—		—		111,228,667
Money Market Funds		26,490,828		—		—		26,490,828


	$	2,509,995,753	$	—	$	—		2,509,995,753


Investments Valued at NAV^(a)								3,309,104,427


							$	5,819,100,180

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		39

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2050 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 98.1%
iShares Core MSCI Total International Stock ETF^(b)		31,978,690	$	2,268,568,269
iShares Developed Real Estate Index Fund, Class K		23,811,806		284,551,080
Large Cap Index Master Portfolio	$	3,141,691,157		3,141,691,157
Master Small Cap Index Series	$	56,950,901		56,950,901


				5,751,761,407

Fixed-Income Funds — 2.2%
iShares TIPS Bond ETF^(b)		315,146		40,716,863
U.S. Total Bond Index Master Portfolio	$	89,694,292		89,694,292


				130,411,155


Security	Shares		Value


Money Market Funds — 0.9%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		36,631,461	$	36,642,450
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		11,773,635		11,773,635


				48,416,085


Total Investments — 101.2% (Cost: $4,168,557,411)				5,930,588,647

Liabilities in Excess of Other Assets — (1.2)%				(68,341,767	)


Net Assets — 100.0%			$	5,862,246,880

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(c)	Annualized 7-day yield as of period end.

^(d)	All or a portion of this security was purchased with the cash collateral from loaned securities.

Affiliates


Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	36,646,543	^(a)	$	—		$	(4,093	)	$	—		$	36,642,450		36,631,461	$	31,429	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		8,573,055		3,200,580	^(a)		—			—			—			11,773,635		11,773,635		1,311			—
iShares Core MSCI Total International Stock ETF		1,700,816,417		546,083,342			(65,596,802	)		(1,543,931	)		88,809,243			2,268,568,269		31,978,690		66,138,676			—
iShares Developed Real Estate Index Fund, Class K		205,098,460		42,662,970			(10,245,412	)		100,808			46,934,254			284,551,080		23,811,806		11,166,676			446,258
iShares TIPS Bond ETF		19,256,768		21,232,821			(214,959	)		822			441,411			40,716,863		315,146		1,248,264			—
Large Cap Index Master Portfolio.		2,306,318,251		227,931,292	^(a)(c)		—			15,575,844			591,865,770			3,141,691,157	$	3,141,691,157		36,750,725			—
Master Small Cap Index Series		63,550,321		—			(15,000,550	)^(a)(c)		5,033,784			3,367,346			56,950,901	$	56,950,901		645,479			—
U.S. Total Bond Index Master Portfolio		46,479,894		45,213,342	^(a)(c)		—			(144,500	)		(1,854,444	)		89,694,292	$	89,694,292		1,279,255			—


									$	19,018,734		$	729,563,580		$	5,930,588,647			$	117,261,815		$	446,258

^(a)	Represents net amount purchased (sold).

^(b)	All or a portion 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.

^(c)	Inclusive of income and expense allocated from the Master Portfolio.


40		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2050 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	2,553,119,349	$	—	$	—	$	2,553,119,349
Fixed-Income Funds		40,716,863		—		—		40,716,863
Money Market Funds		48,416,085		—		—		48,416,085


	$	2,642,252,297	$	—	$	—		2,642,252,297

Investments Valued at NAV^(a)								3,288,336,350


							$	5,930,588,647

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		41

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2055 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 99.2%
iShares Core MSCI Total International Stock ETF		18,434,560	$	1,307,747,686
iShares Developed Real Estate Index Fund, Class K		13,731,758		164,094,511
Large Cap Index Master Portfolio	$	1,802,473,470		1,802,473,470
Master Small Cap Index Series	$	33,806,031		33,806,031


				3,308,121,698

Fixed-Income Funds — 1.0%
iShares TIPS Bond ETF		52,489		6,781,579
U.S. Total Bond Index Master Portfolio	$	26,674,467		26,674,467


				33,456,046


Security	Shares		Value


Money Market Funds — 0.3%
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(b)		8,237,127	$	8,237,127


Total Investments — 100.5% (Cost: $2,422,392,789)				3,349,814,871

Liabilities in Excess of Other Assets — (0.5)%				(15,516,515	)


Net Assets — 100.0%			$	3,334,298,356

(a) Affiliate of the Fund.

(b) Annualized 7-day yield as of period end.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares^(a)	$	—	$	6,962	^(b)	$	—		$	(6,962	)	$	—		$	—		—	$	15,341	^(c)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		4,542,787		3,694,340	^(b)		—			—			—			8,237,127		8,237,127		796			—
iShares Core MSCI Total International Stock ETF		901,673,943		397,293,513			(36,507,077	)		(1,000,808	)		46,288,115			1,307,747,686		18,434,560		37,412,768			—
iShares Developed Real Estate Index Fund, Class K		110,282,734		33,632,184			(5,832,321	)		(254,300	)		26,266,214			164,094,511		13,731,758		6,198,624			252,273
iShares TIPS Bond ETF		4,120,542		2,637,557			(63,005	)		85			86,400			6,781,579		52,489		250,063			—
Large Cap Index Master Portfolio .		1,227,952,049		238,715,750	^(b)(d)		—			7,197,533			328,608,138			1,802,473,470	$	1,802,473,470		20,380,269			—
Master Small Cap Index Series		30,467,314		—			(763,939	)^(b)(d)		2,509,208			1,593,448			33,806,031	$	33,806,031		340,330			—
U.S. Total Bond Index Master Portfolio.		18,822,990		8,646,795	^(b)(d)		—			(50,524	)		(744,794	)		26,674,467	$	26,674,467		464,368			—


									$	8,394,232		$	402,097,521		$	3,349,814,871			$	65,062,559		$	252,273

^(a)	As of period end, the entity is no longer held.

^(b)	Represents net amount purchased (sold).

^(c)	All or a portion 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.

^(d)	Inclusive of income and expense allocated from the Master Portfolio.


42		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2055 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	1,471,842,197	$	—	$	—	$	1,471,842,197
Fixed-Income Funds		6,781,579		—		—		6,781,579
Money Market Funds		8,237,127		—		—		8,237,127

	$	1,486,860,903	$	—	$	—		1,486,860,903

Investments Valued at NAV^(a)								1,862,953,968

							$	3,349,814,871

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		43

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2060 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 99.5%
iShares Core MSCI Total International Stock ETF^(b)		7,506,854	$	532,536,223
iShares Developed Real Estate Index Fund, Class K		5,580,397		66,685,745
Large Cap Index Master Portfolio	$	730,149,170		730,149,170
Master Small Cap Index Series	$	13,358,342		13,358,342


				1,342,729,480

Fixed-Income Funds — 1.0%
iShares TIPS Bond ETF		13,009		1,680,763
U.S. Total Bond Index Master Portfolio	$	11,880,508		11,880,508


				13,561,271


Security	Shares		Value


Money Market Funds — 5.1%
BlackRock Cash Funds: Institutional, SL Agency Shares, 0.10%^(c)(d)		66,019,244	$	66,039,050
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(c)		2,691,288		2,691,288


				68,730,338


Total Investments — 105.6% (Cost: $1,101,744,741)				1,425,021,089

Liabilities in Excess of Other Assets — (5.6)%				(74,986,658	)


Net Assets — 100.0%			$	1,350,034,431

^(a)	Affiliate of the Fund.

^(b)	All or a portion of this security is on loan.

^(c)	Annualized 7-day yield as of period end.

^(d)	All or a portion of this security was purchased with the cash collateral from loaned securities.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares	$	—	$	66,047,672	^(a)	$	—		$	(2,180	)	$	(6,442	)	$	66,039,050		66,019,244	$	22,939	^(b)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		1,608,957		1,082,331	^(a)		—			—			—			2,691,288		2,691,288		356			—
iShares Core MSCI Total International Stock ETF		316,979,105		212,413,327			(11,842,593	)		(364,205	)		15,350,589			532,536,223		7,506,854		14,888,460			—
iShares Developed Real Estate Index Fund, Class K		38,841,221		19,015,237			(1,008,207	)		(12,910	)		9,850,404			66,685,745		5,580,397		2,428,121			102,494
iShares TIPS Bond ETF		815,045		868,277			(23,691	)		(76	)		21,208			1,680,763		13,009		57,773			—
Large Cap Index Master Portfolio		433,335,641		168,052,559	^(a)(c)		—			1,856,298			126,904,672			730,149,170	$	730,149,170		7,862,878			—
Master Small Cap Index Series		11,601,533		216,661	^(a)(c)		—			924,233			615,915			13,358,342	$	13,358,342		137,264			—
U.S. Total Bond Index Master Portfolio		7,301,115		4,899,593	^(a)(c)		—			(65,612	)		(254,588	)		11,880,508	$	11,880,508		196,962			—


									$	2,335,548		$	152,481,758		$	1,425,021,089			$	25,594,753		$	102,494

^(a)	Represents net amount purchased (sold).

^(b)	All or a portion 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.

^(c)	Inclusive of income and expense allocated from the Master Portfolio.


44		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2060 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	599,221,968	$	—	$	—	$	599,221,968
Fixed-Income Funds		1,680,763		—		—		1,680,763
Money Market Funds		68,730,338		—		—		68,730,338

	$	669,633,069	$	—	$	—		669,633,069

Investments Valued at NAV^(a)								755,388,020

							$	1,425,021,089

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		45

Schedule of Investments

December 31, 2021

BlackRock LifePath^® Index 2065 Fund

(Percentages shown are based on Net Assets)


Security	Shares/ Investment Value		Value


Investment Companies^(a)

Equity Funds — 99.4%
iShares Core MSCI Total International Stock ETF		745,166	$	52,862,076
iShares Developed Real Estate Index Fund, Class K		543,207		6,491,326
Large Cap Index Master Portfolio	$	72,403,896		72,403,896
Master Small Cap Index Series	$	1,379,763		1,379,763


				133,137,061

Fixed-Income Funds — 1.0%
U.S. Total Bond Index Master Portfolio	$	1,339,518		1,339,518


Security	Shares		Value


Money Market Funds — 0.7%
BlackRock Cash Funds: Treasury, SL Agency Shares, 0.01%^(b)		971,478	$	971,478


Total Investments — 101.1% (Cost: $122,860,978)				135,448,057

Liabilities in Excess of Other Assets — (1.1)%				(1,525,523	)


Net Assets — 100.0%			$	133,922,534

^(a)	Affiliate of the Fund.

^(b)	Annualized 7-day yield as of period end.

Affiliates



Affiliated Issuer	Value at 12/31/20		Purchases at Cost			Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)		Value at 12/31/21		Shares/ Investment Value Held at 12/31/21		Income			Capital Gain Distributions from Underlying Funds
BlackRock Cash Funds: Institutional, SL Agency Shares^(a)	$	—	$	—		$	(2,115	)^(b)	$	2,115		$	—	$	—		—	$	3,313	^(c)	$	—
BlackRock Cash Funds: Treasury, SL Agency Shares		49,759		921,719	^(b)		—			—			—		971,478		971,478		44			—
iShares Core MSCI Total International Stock ETF		9,740,937		45,156,815			(2,051,403	)		(79,044	)		94,771		52,862,076		745,166		1,203,793			—
iShares Developed Real Estate Index Fund, Class K		1,185,960		4,870,052			(159,202	)		(2,255	)		596,771		6,491,326		543,207		170,143			9,282
Large Cap Index Master Portfolio		13,455,100		50,983,792	^(b)(d)		—			(72,226	)		8,037,230		72,403,896	$	72,403,896		503,811			—
Master Small Cap Index Series		331,975		1,005,585	^(b)(d)		—			22,457			19,746		1,379,763	$	1,379,763		9,269			—
U.S. Total Bond Index Master Portfolio		251,595		1,107,051	^(b)(d)		—			(101,665	)		82,537		1,339,518	$	1,339,518		14,124			—


									$	(230,618	)	$	8,831,055	$	135,448,057			$	1,904,497		$	9,282

^(a)

As of period end, the entity is no longer held.

^(b)

Represents net amount purchased (sold).

^(c)

^(d)

Inclusive of income and expense allocated from the Master Portfolio.


46		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Schedule of Investments (continued)

December 31, 2021

BlackRock LifePath^® Index 2065 Fund

Fair Value Hierarchy as of Period End



	Level 1		Level 2		Level 3		Total
Assets
Investments
Investment Companies
Equity Funds	$	59,353,402	$	—	$	—	$	59,353,402
Money Market Funds		971,478		—		—		971,478


	$	60,324,880	$	—	$	—		60,324,880


Investments Valued at NAV^(a)								75,123,177


							$	135,448,057

^(a)

Certain investments of the Fund were fair valued using NAV per share or its equivalent as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

See notes to financial statements.


S C H E D U L E O F I N V E S T M E N T S		47

Statements of Assets and Liabilities

December 31, 2021


	BlackRock LifePath^® Index Retirement Fund		BlackRock LifePath^® Index 2025 Fund		BlackRock LifePath^® Index 2030 Fund			BlackRock LifePath^® Index 2035 Fund

ASSETS
Investments, at value — affiliated^(a)(b)	$	9,126,493,369	$	7,027,977,443	$	11,471,488,111		$	7,393,705,276
Receivables:
Investments sold		78,327,312		112,695,255		136,952,100			75,161,776
Securities lending income — affiliated		595		269		7,527			8,386
Capital shares sold		9,597,384		9,307,391		11,504,975			14,552,798
Dividends — affiliated		1,464,850		1,499,847		3,185,258			2,477,608
From the Manager		29,363		38,518		89,324			72,802


Total assets		9,215,912,873		7,151,518,723		11,623,227,295			7,485,978,646


LIABILITIES
Collateral on securities loaned		26,873,200		13,134,000		—			60,149,603
Payables:
Investments purchased		50,669,503		95,325,379		116,050,644			62,417,203
Administration fees		445,052		253,411		504,913			254,660
Capital gains distributions		2,252,229		1,491,154		2,039,526			1,196,910
Capital shares redeemed		46,692,449		55,533,833		61,050,879			48,752,140
Income dividend distributions		3,091,525		3,440,432		4,585,622			4,435,896
Trustees’ and Officer’s fees		19,127		19,304		27,580			14,291
Professional fees		62,582		63,032		60,104			55,609
Service fees		592,864		50,655		508,986			40,057


Total liabilities		130,698,531		169,311,200		184,828,254			177,316,369


NET ASSETS	$	9,085,214,342	$	6,982,207,523	$	11,438,399,041		$	7,308,662,277


NET ASSETS CONSIST OF
Paid-in capital	$	7,172,977,728	$	5,535,367,988	$	8,681,620,509		$	5,486,084,998
Accumulated earnings		1,912,236,614		1,446,839,535		2,756,778,532			1,822,577,279
							��

NET ASSETS	$	9,085,214,342	$	6,982,207,523	$	11,438,399,041		$	7,308,662,277


^(a)Investments, at cost — affiliated	$	7,219,657,038	$	5,560,775,054	$	8,684,797,386		$	5,547,007,556
^(b)Securities loaned, at value	$	26,302,720	$	12,855,400	$	—		$	58,858,038


48		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Assets and Liabilities (continued)

December 31, 2021


	BlackRock LifePath^® Index Retirement Fund		BlackRock LifePath^® Index 2025 Fund		BlackRock LifePath^® Index 2030 Fund		BlackRock LifePath^® Index 2035 Fund

NET ASSET VALUE

Institutional

Net assets	$	533,067,503	$	227,070,317	$	661,549,982	$	197,918,821


Shares outstanding		36,048,328		13,674,793		37,414,736		10,436,838


Net asset value	$	14.79	$	16.61	$	17.68	$	18.96


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


Investor A

Net assets	$	232,875,693	$	148,953,994	$	235,292,513	$	154,072,440


Shares outstanding		15,767,849		8,982,113		13,311,312		8,145,909


Net asset value	$	14.77	$	16.58	$	17.68	$	18.91


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


Investor P

Net assets	$	2,580,044,593	$	100,305,755	$	2,196,216,183	$	42,290,902


Shares outstanding		174,855,888		6,061,824		124,346,346		2,240,365


Net asset value	$	14.76	$	16.55	$	17.66	$	18.88


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


Class K

Net assets	$	5,739,226,553	$	6,505,877,457	$	8,345,340,363	$	6,914,380,114


Shares outstanding		388,342,660		391,647,634		472,427,259		364,949,775


Net asset value	$	14.78	$	16.61	$	17.66	$	18.95


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


F I N A N C I A L S T A T E M E N T S		49

Statements of Assets and Liabilities (continued)

December 31, 2021


	BlackRock LifePath^® Index 2040 Fund		BlackRock LifePath^® Index 2045 Fund		BlackRock LifePath^® Index 2050 Fund		BlackRock LifePath^® Index 2055 Fund


ASSETS
Investments, at value — affiliated^(a)(b)	$	9,892,753,532	$	5,819,100,180	$	5,930,588,647	$	3,349,814,871
Receivables:
Investments sold		67,433,551		38,874,688		23,652,991		9,918,644
Securities lending income — affiliated		5,071		26,449		3,849		3,496
Capital shares sold		12,449,080		8,017,236		7,248,695		4,869,546
Dividends — affiliated		3,854,494		2,567,573		2,736,110		1,573,421
From the Manager		104,273		65,780		63,487		35,999


Total assets		9,976,600,001		5,868,651,906		5,964,293,779		3,366,215,977


LIABILITIES
Collateral on securities loaned		59,850,226		14,906,000		36,642,450		—
Payables:
Investments purchased		58,417,554		14,080,448		7,102,161		3,220,408
Administration fees		437,578		195,361		222,222		114,814
Capital gains distributions		1,320,326		982,589		436,235		91,163
Capital shares redeemed		59,242,718		63,874,966		54,354,963		26,445,669
Income dividend distributions		4,337,840		3,813,292		3,077,357		1,971,330
Trustees’ and Officer’s fees		18,210		14,049		14,056		5,364
Professional fees		61,243		51,074		50,818		50,505
Service fees		408,993		27,238		146,637		18,368


Total liabilities		184,094,688		97,945,017		102,046,899		31,917,621


NET ASSETS	$	9,792,505,313	$	5,770,706,889	$	5,862,246,880	$	3,334,298,356


NET ASSETS CONSIST OF
Paid-in capital	$	6,965,571,972	$	4,147,621,358	$	4,130,946,352	$	2,428,353,599
Accumulated earnings		2,826,933,341		1,623,085,531		1,731,300,528		905,944,757


NET ASSETS	$	9,792,505,313	$	5,770,706,889	$	5,862,246,880	$	3,334,298,356


^(a)Investments, at cost — affiliated	$	7,015,427,165	$	4,162,011,943	$	4,168,557,411	$	2,422,392,789

^(b)Securities loaned, at value	$	58,576,356	$	14,585,264	$	35,854,070	$	—


50		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Assets and Liabilities (continued)

December 31, 2021


	BlackRock LifePath^® Index 2040 Fund		BlackRock LifePath^® Index 2045 Fund		BlackRock LifePath^® Index 2050 Fund		BlackRock LifePath^® Index 2055 Fund


NET ASSET VALUE

Institutional
Net assets	$	733,349,952	$	159,947,176	$	161,629,998	$	114,774,411


Shares outstanding		36,682,777		7,603,308		7,452,155		5,160,260


Net asset value	$	19.99	$	21.04	$	21.69	$	22.24


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


Investor A
Net assets	$	179,443,774	$	121,865,384	$	119,704,991	$	84,964,877


Shares outstanding		8,993,598		5,806,099		5,533,464		3,829,200


Net asset value	$	19.95	$	20.99	$	21.63	$	22.19


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


Investor P
Net assets	$	1,794,745,857	$	12,721,580	$	592,826,542	$	6,406,547


Shares outstanding		90,028,779		607,229		27,427,722		289,061


Net asset value	$	19.94	$	20.95	$	21.61	$	22.16


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


Class K
Net assets	$	7,084,965,730	$	5,476,172,749	$	4,988,085,349	$	3,128,152,521


Shares outstanding		354,447,228		260,097,593		230,012,586		140,613,878


Net asset value	$	19.99	$	21.05	$	21.69	$	22.25


Shares authorized		Unlimited		Unlimited		Unlimited		Unlimited


Par value		No par value		No par value		No par value		No par value


F I N A N C I A L S T A T E M E N T S		51

Statements of Assets and Liabilities (continued)

December 31, 2021


	BlackRock LifePath^® Index 2060 Fund		BlackRock LifePath^® Index 2065 Fund


ASSETS
Investments, at value — affiliated^(a)(b)	$	1,425,021,089	$	135,448,057
Receivables:
Investments sold		3,691,730		773,938
Securities lending income — affiliated		12,397		—
Capital shares sold		2,544,887		1,618,081
Dividends — affiliated		648,534		62,837
From the Manager		14,670		2,410


Total assets		1,431,933,307		137,905,323


LIABILITIES
Collateral on securities loaned		66,047,500		—
Payables:
Investments purchased		606,185		764,564
Administration fees		43,738		1,373
Capital shares redeemed		14,329,482		3,126,237
Income dividend distributions		810,256		54,773
Trustees’ and Officer’s fees		4,216		3,367
Professional fees		51,998		31,824
Service fees		5,501		651


Total liabilities		81,898,876		3,982,789


NET ASSETS	$	1,350,034,431	$	133,922,534


NET ASSETS CONSIST OF
Paid-in capital	$	1,048,049,576	$	122,042,865
Accumulated earnings		301,984,855		11,879,669

NET ASSETS	$	1,350,034,431	$	133,922,534


^(a)Investments, at cost — affiliated	$	1,101,744,741	$	122,860,978
^(b)Securities loaned, at value	$	64,626,340	$	—


52		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Assets and Liabilities (continued)

December 31, 2021


	BlackRock LifePath^® Index 2060 Fund		BlackRock LifePath^® Index 2065 Fund


NET ASSET VALUE

Institutional
Net assets	$	38,667,021	$	6,545,193


Shares outstanding		1,951,342		470,735


Net asset value	$	19.82	$	13.90


Shares authorized		Unlimited		Unlimited


Par value		No par value		No par value


Investor A
Net assets	$	20,045,411	$	522,530


Shares outstanding		1,014,018		37,590


Net asset value	$	19.77	$	13.90


Shares authorized		Unlimited		Unlimited


Par value		No par value		No par value


Investor P
Net assets	$	7,992,995	$	3,021,504


Shares outstanding		404,588		217,547


Net asset value	$	19.76	$	13.89


Shares authorized		Unlimited		Unlimited


Par value		No par value		No par value


Class K
Net assets	$	1,283,329,004	$	123,833,307


Shares outstanding		64,746,372		8,905,644


Net asset value	$	19.82	$	13.91


Shares authorized		Unlimited		Unlimited


Par value		No par value		No par value

See notes to financial statements.


F I N A N C I A L S T A T E M E N T S		53

Statements of Operations

Year Ended December 31, 2021


	BlackRock LifePath^® Index Retirement Fund			BlackRock LifePath^® Index 2025 Fund			BlackRock LifePath^® Index 2030 Fund			BlackRock LifePath^® Index 2035 Fund


INVESTMENT INCOME
Dividends — affiliated	$	77,035,216		$	65,170,413		$	122,015,972		$	85,183,085
Securities lending income — affiliated — net		18,788			27,775			73,146			68,192
Net investment income allocated from the applicable affiliated Underlying Master Portfolio
Dividends — affiliated		29,657,080			26,289,997			51,309,623			36,816,175
Interest — affiliated		93,822,331			56,109,131			67,094,419			27,750,676
Expenses		(2,687,454	)		(1,822,610	)		(2,674,803	)		(1,496,287	)
Fees waived		434,002			265,063			328,297			144,854


Total investment income		198,279,963			146,039,769			238,146,654			148,466,695


EXPENSES
Service — class specific		7,114,829			617,467			6,051,637			506,359
Administration — class specific		5,290,046			2,865,235			5,784,134			2,810,700
Investment advisory		4,497,844			3,286,517			5,315,215			3,272,922
Professional		55,416			51,662			48,089			48,690
Trustees and Officer		44,702			46,882			78,678			64,633
Miscellaneous		4,757			4,132			4,132			4,506


Total expenses		17,007,594			6,871,895			17,281,885			6,707,810
Less:
Fees waived and/or reimbursed by the Administrator/Manager		(4,961,445	)		(3,788,987	)		(6,328,087	)		(4,060,865	)


Total expenses after fees waived and/or reimbursed		12,046,149			3,082,908			10,953,798			2,646,945


Net investment income		186,233,814			142,956,861			227,192,856			145,819,750


REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated		10,418,591			3,764,353			3,251,396			(2,977,741	)
Capital gain distributions from underlying funds — affiliated		345,482			262,514			542,317			413,461
Net realized gain (loss) from investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions allocated from the applicable affiliated Underlying Master Portfolio		51,302,857			26,688,188			47,692,992			25,487,493


		62,066,930			30,715,055			51,486,705			22,923,213


Net change in unrealized appreciation (depreciation) on:
Investments — affiliated		102,604,665			90,616,259			187,211,125			134,899,906
Net change in unrealized appreciation (depreciation) from investments, futures contracts, forward foreign currency exchange contracts and foreign currency translations allocated from the applicable affiliated Underlying Master Portfolio		235,947,387			286,745,566			652,667,820			517,608,010


		338,552,052			377,361,825			839,878,945			652,507,916


Net realized and unrealized gain		400,618,982			408,076,880			891,365,650			675,431,129


NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	586,852,796		$	551,033,741		$	1,118,558,506		$	821,250,879

See notes to financial statements.


54		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Operations (continued)

Year Ended December 31, 2021


	BlackRock LifePath^® Index 2040 Fund			BlackRock LifePath^® Index 2045 Fund			BlackRock LifePath^® Index 2050 Fund			BlackRock LifePath^® Index 2055 Fund


INVESTMENT INCOME
Dividends — affiliated	$	124,774,590		$	75,960,742		$	78,554,927		$	43,862,271
Securities lending income — affiliated — net		51,599			51,634			31,429			15,321
Net investment income allocated from the applicable affiliated Underlying Master Portfolio
Dividends — affiliated		57,092,892			35,572,242			38,014,453			21,063,071
Interest — affiliated		21,829,682			5,190,996			1,612,756			645,277
Expenses		(1,878,770	)		(994,624	)		(980,584	)		(538,222	)
Fees waived		129,907			43,459			28,834			14,841


Total investment income		201,999,900			115,824,449			117,261,815			65,062,559


EXPENSES
Administration — class specific		4,901,666			2,190,512			2,504,634			1,247,385
Service — class specific		4,796,296			356,960			1,721,813			227,882
Investment advisory		4,492,931			2,557,153			2,609,284			1,437,434
Professional		52,000			48,347			47,714			47,462
Trustees and Officer		45,206			39,710			39,726			13,912
Miscellaneous		4,504			4,132			4,134			2,132


Total expenses		14,292,603			5,196,814			6,927,305			2,976,207
Less:
Fees waived and/or reimbursed by the Administrator/Manager		(5,561,032	)		(3,231,087	)		(3,268,154	)		(1,817,581	)


Total expenses after fees waived and/or reimbursed		8,731,571			1,965,727			3,659,151			1,158,626


Net investment income		193,268,329			113,858,722			113,602,664			63,903,933


REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated		(2,500,292	)		(3,681,807	)		(1,446,394	)		(1,261,985	)
Capital gain distributions from underlying funds — affiliated		642,718			419,373			446,258			252,273
Net realized gain (loss) from investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions allocated from the applicable affiliated Underlying Master Portfolio		38,790,337			18,849,116			20,465,128			9,656,217


		36,932,763			15,586,682			19,464,992			8,646,505


Net change in unrealized appreciation (depreciation) on:
Investments — affiliated		215,987,817			129,072,189			136,184,908			72,640,729
Net change in unrealized appreciation (depreciation) from investments, futures contracts, forward foreign currency exchange contracts and foreign currency translations allocated from the applicable affiliated Underlying Master Portfolio		849,426,222			548,250,735			593,378,672			329,456,792


		1,065,414,039			677,322,924			729,563,580			402,097,521


Net realized and unrealized gain		1,102,346,802			692,909,606			749,028,572			410,744,026


NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	1,295,615,131		$	806,768,328		$	862,631,236		$	474,647,959

See notes to financial statements.


F I N A N C I A L S T A T E M E N T S		55

Statements of Operations (continued)

Year Ended December 31, 2021


	BlackRock LifePath^® Index 2060 Fund			BlackRock LifePath^® Index 2065 Fund

INVESTMENT INCOME
Dividends — affiliated	$	17,381,680		$	1,373,980
Securities lending income — affiliated — net		15,969			3,313
Net investment income allocated from the applicable affiliated Underlying Master Portfolio Dividends — affiliated		8,132,712			521,740
Interest — affiliated		266,901			18,481
Expenses		(208,327	)		(13,391	)
Fees waived		5,818			374


Total investment income		25,594,753			1,904,497


EXPENSES
Investment advisory		555,119			35,378
Administration — class specific		472,658			31,171
Service — class specific		63,618			4,281
Professional		42,088			28,294
Trustees and Officer		9,122			7,921
Miscellaneous		1,130			58


Total expenses		1,143,735			107,103
Less:
Fees waived and/or reimbursed by the Administrator/Manager		(733,076	)		(83,425	)


Total expenses after fees waived and/or reimbursed		410,659			23,678


Net investment income		25,184,094			1,880,819


REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments — affiliated		(379,371	)		(79,184	)
Capital gain distributions from underlying funds — affiliated		102,494			9,282
Net realized gain (loss) from investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions allocated from the applicable affiliated Underlying Master Portfolio		2,714,919			(151,434	)


		2,438,042			(221,336	)

Net change in unrealized appreciation (depreciation) on:
Investments — affiliated		25,215,759			691,542
Net change in unrealized appreciation (depreciation) from investments, futures contracts, forward foreign currency exchange contracts and foreign currency translations allocated from the applicable affiliated Underlying Master Portfolio		127,265,999			8,139,513


		152,481,758			8,831,055


Net realized and unrealized gain		154,919,800			8,609,719


NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	180,103,894		$	10,490,538

See notes to financial statements.


56		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Changes in Net Assets


	BlackRock LifePath^® Index Retirement Fund						BlackRock LifePath^® Index 2025 Fund

	Year Ended December 31,						Year Ended December 31,

	2021			2020			2021			2020


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	186,233,814		$	153,324,991		$	142,956,861		$	98,981,779
Net realized gain (loss)		62,066,930			43,692,092			30,715,055			(825,707	)
Net change in unrealized appreciation (depreciation)		338,552,052			725,633,952			377,361,825			544,927,549


Net increase in net assets resulting from operations		586,852,796			922,651,035			551,033,741			643,083,621


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Institutional		(15,134,462	)		(14,238,567	)		(5,617,714	)		(4,764,746	)
Investor A		(6,282,398	)		(6,257,841	)		(3,521,386	)		(3,284,895	)
Investor P		(66,966,390	)		(62,034,231	)		(2,048,991	)		(1,156,148	)
Class K		(164,684,311	)		(136,617,429	)		(160,637,154	)		(115,378,427	)


Decrease in net assets resulting from distributions to shareholders		(253,067,561	)		(219,148,068	)		(171,825,245	)		(124,584,216	)


CAPITAL SHARE TRANSACTIONS
Net increase in net assets derived from capital share transactions		50,581,543			148,345,914			692,163,769			877,067,746


NET ASSETS
Total increase in net assets		384,366,778			851,848,881			1,071,372,265			1,395,567,151
Beginning of year		8,700,847,564			7,848,998,683			5,910,835,258			4,515,268,107


End of year	$	9,085,214,342		$	8,700,847,564		$	6,982,207,523		$	5,910,835,258

^(a)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

See notes to financial statements.


F I N A N C I A L S T A T E M E N T S		57

Statements of Changes in Net Assets (continued)


	BlackRock LifePath^® Index 2030 Fund						BlackRock LifePath^® Index 2035 Fund

	Year Ended December 31,						Year Ended December 31,

	2021			2020			2021			2020


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	227,192,856		$	152,931,743		$	145,819,750		$	87,474,732
Net realized gain (loss)		51,486,705			(20,187,068	)		22,923,213			(20,247,551	)
Net change in unrealized appreciation (depreciation)		839,878,945			941,828,933			652,507,916			603,326,930


Net increase in net assets resulting from operations		1,118,558,506			1,074,573,608			821,250,879			670,554,111


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Institutional		(17,004,693	)		(11,523,828	)		(4,557,414	)		(2,976,773	)
Investor A		(5,769,193	)		(4,248,516	)		(3,493,199	)		(2,626,742	)
Investor P		(51,485,648	)		(35,083,745	)		(817,094	)		(337,221	)
Class K		(212,710,745	)		(118,860,246	)		(160,833,130	)		(88,754,823	)


Decrease in net assets resulting from distributions to shareholders		(286,970,279	)		(169,716,335	)		(169,700,837	)		(94,695,559	)


CAPITAL SHARE TRANSACTIONS
Net increase in net assets derived from capital share transactions		1,128,649,673			772,660,876			1,142,213,455			861,294,810


NET ASSETS
Total increase in net assets		1,960,237,900			1,677,518,149			1,793,763,497			1,437,153,362
Beginning of year		9,478,161,141			7,800,642,992			5,514,898,780			4,077,745,418


End of year	$	11,438,399,041		$	9,478,161,141		$	7,308,662,277		$	5,514,898,780

^(a)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

See notes to financial statements.


58		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)


	BlackRock LifePath^® Index 2040 Fund						BlackRock LifePath^® Index 2045 Fund

	Year Ended December 31,						Year Ended December 31,

	2021			2020			2021			2020


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	193,268,329		$	119,306,852		$	113,858,722		$	63,844,856
Net realized gain (loss)		36,932,763			(49,464,754	)		15,586,682			(31,183,327	)
Net change in unrealized appreciation (depreciation)		1,065,414,039			896,933,558			677,322,924			526,007,151


Net increase in net assets resulting from operations		1,295,615,131			966,775,656			806,768,328			558,668,680


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Institutional		(17,361,244	)		(10,744,246	)		(3,582,922	)		(2,168,990	)
Investor A		(4,008,410	)		(2,566,599	)		(2,643,501	)		(1,827,801	)
Investor P		(38,709,980	)		(23,547,447	)		(250,532	)		(103,658	)
Class K		(168,518,667	)		(86,271,419	)		(124,143,549	)		(61,561,319	)


Decrease in net assets resulting from distributions to shareholders		(228,598,301	)		(123,129,711	)		(130,620,504	)		(65,661,768	)


CAPITAL SHARE TRANSACTIONS
Net increase in net assets derived from capital share transactions		928,790,520			787,329,777			876,051,772			764,664,181


NET ASSETS
Total increase in net assets		1,995,807,350			1,630,975,722			1,552,199,596			1,257,671,093
Beginning of year		7,796,697,963			6,165,722,241			4,218,507,293			2,960,836,200


End of year	$	9,792,505,313		$	7,796,697,963		$	5,770,706,889		$	4,218,507,293

^(a)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

See notes to financial statements.


F I N A N C I A L S T A T E M E N T S		59

Statements of Changes in Net Assets (continued)


	BlackRock LifePath^® Index 2050 Fund						BlackRock LifePath^® Index 2055 Fund

	Year Ended December 31,						Year Ended December 31,

	2021			2020			2021			2020


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	113,602,664		$	64,716,672		$	63,903,933		$	34,040,790
Net realized gain (loss)		19,464,992			(37,238,444	)		8,646,505			(21,198,052	)
Net change in unrealized appreciation (depreciation)		729,563,580			559,411,860			402,097,521			306,578,095


Net increase in net assets resulting from operations		862,631,236			586,890,088			474,647,959			319,420,833


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Institutional		(3,355,283	)		(2,134,309	)		(2,261,929	)		(1,412,113	)
Investor A		(2,391,539	)		(1,576,679	)		(1,567,004	)		(1,097,229	)
Investor P		(11,302,061	)		(7,343,515	)		(107,710	)		(45,780	)
Class K		(106,023,764	)		(55,261,034	)		(62,033,583	)		(32,204,254	)


Decrease in net assets resulting from distributions to shareholders		(123,072,647	)		(66,315,537	)		(65,970,226	)		(34,759,376	)


CAPITAL SHARE TRANSACTIONS
Net increase in net assets derived from capital share transactions		788,237,812			702,554,486			630,204,790			509,165,861


NET ASSETS
Total increase in net assets		1,527,796,401			1,223,129,037			1,038,882,523			793,827,318
Beginning of year		4,334,450,479			3,111,321,442			2,295,415,833			1,501,588,515


End of year	$	5,862,246,880		$	4,334,450,479		$	3,334,298,356		$	2,295,415,833

^(a)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

See notes to financial statements.


60		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Statements of Changes in Net Assets (continued)


	BlackRock LifePath^® Index 2060 Fund						BlackRock LifePath^® Index 2065 Fund
	Year Ended December 31,						Year Ended December 31,

	2021			2020			2021			2020


INCREASE (DECREASE) IN NET ASSETS

OPERATIONS
Net investment income	$	25,184,094		$	11,130,108		$	1,880,819		$	210,430
Net realized gain (loss)		2,438,042			(18,991,901	)		(221,336	)		(471,735	)
Net change in unrealized appreciation (depreciation)		152,481,758			124,824,221			8,831,055			3,682,912


Net increase in net assets resulting from operations		180,103,894			116,962,428			10,490,538			3,421,607


DISTRIBUTIONS TO SHAREHOLDERS^(a)
Institutional		(709,121	)		(319,101	)		(96,341	)		(12,917	)
Investor A		(352,814	)		(176,813	)		(6,821	)		(1,104	)
Investor P		(128,935	)		(54,790	)		(36,953	)		(3,874	)
Class K		(24,176,955	)		(10,610,001	)		(1,750,092	)		(194,014	)


Decrease in net assets resulting from distributions to shareholders		(25,367,825	)		(11,160,705	)		(1,890,207	)		(211,909	)


CAPITAL SHARE TRANSACTIONS
Net increase in net assets derived from capital share transactions		384,319,385			294,535,605			100,202,728			19,812,560


NET ASSETS
Total increase in net assets		539,055,454			400,337,328			108,803,059			23,022,258
Beginning of year		810,978,977			410,641,649			25,119,475			2,097,217


End of year	$	1,350,034,431		$	810,978,977		$	133,922,534		$	25,119,475

^(a)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

See notes to financial statements.


F I N A N C I A L S T A T E M E N T S		61

Financial Highlights

(For a share outstanding throughout each period)



	BlackRock LifePath^® Index Retirement Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	14.24		$	13.05		$	11.55		$	12.26		$	11.33


Net investment income^(a)		0.31			0.26			0.37			0.30			0.25
Net realized and unrealized gain (loss)		0.66			1.30			1.44			(0.73	)		0.96


Net increase (decrease) from investment operations		0.97			1.56			1.81			(0.43	)		1.21


Distributions^(b)
From net investment income		(0.31	)		(0.27	)		(0.30	)		(0.27	)		(0.25	)
From net realized gain		(0.11	)		(0.10	)		(0.01	)		(0.01	)		(0.03	)


Total distributions		(0.42	)		(0.37	)		(0.31	)		(0.28	)		(0.28	)


Net asset value, end of year	$	14.79		$	14.24		$	13.05		$	11.55		$	12.26


Total Return^(c)
Based on net asset value.		6.86	%		12.16	%		15.84	%		(3.55	)%		10.69	%


Ratios to Average Net Assets^(d)
Total expenses		0.17	%		0.18	%		0.17	%^(e)		0.18	%^(f)		0.17	%


Total expenses after fees waived and/or reimbursed		0.11	%		0.11	%		0.12	%^(e)		0.12	%^(f)		0.13	%


Net investment income		2.11	%		1.98	%		2.92	%		2.51	%		2.10	%


Supplemental Data
Net assets, end of year (000)	$	533,068		$	546,055		$	532,913		$	145,418		$	72,929


Portfolio turnover rate		9	%^(g)		20	%^(h)		13	%⁽ⁱ⁾		25	%⁽ⁱ⁾		10	%⁽ⁱ⁾

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization cost. Without this cost, total expenses and total expenses after fees waived and/or reimbursed would have been 0.17% and 0.12%, respectively.

^(f)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.17% and 0.12%, respectively.

^(g)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(h)

From January 1, 2020 through March 1, 2020, the rate includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and the Underlying Master Portfolios. Beginning March 2, 2020, the rate includes the LifePath Index Fund’s purchases and sales of the underlying funds and the Underlying Master Portfolios.

⁽ⁱ⁾	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


62		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)



	BlackRock LifePath^® Index Retirement Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	14.22		$	13.04		$	11.54		$	12.25		$	11.32


Net investment income^(a)		0.27			0.23			0.34			0.27			0.22
Net realized and unrealized gain (loss)		0.67			1.29			1.45			(0.73	)		0.96


Net increase (decrease) from investment operations		0.94			1.52			1.79			(0.46	)		1.18


Distributions^(b)
From net investment income		(0.28	)		(0.24	)		(0.28	)		(0.24	)		(0.22	)
From net realized gain		(0.11	)		(0.10	)		(0.01	)		(0.01	)		(0.03	)


Total distributions		(0.39	)		(0.34	)		(0.29	)		(0.25	)		(0.25	)


Net asset value, end of year	$	14.77		$	14.22		$	13.04		$	11.54		$	12.25


Total Return^(c)
Based on net asset value		6.60	%		11.81	%		15.60	%		(3.80	)%		10.43	%


Ratios to Average Net Assets^(d)
Total expenses		0.42	%		0.43	%		0.47	%^(e)		0.44	%^(f)		0.42	%


Total expenses after fees waived and/or reimbursed		0.36	%		0.36	%		0.37	%^(e)		0.38	%^(f)		0.38	%


Net investment income		1.85	%		1.72	%		2.67	%		2.24	%		1.84	%


Supplemental Data
Net assets, end of year (000)	$	232,876		$	256,714		$	306,254		$	82,454		$	89,720


Portfolio turnover rate		9	%^(g)		20	%^(h)		13	%⁽ⁱ⁾		25	%⁽ⁱ⁾		10	%⁽ⁱ⁾

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization cost. Without this cost, total expenses and total expenses after fees waived and/or reimbursed would have been 0.47% and 0.37%, respectively.

^(f)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed have been 0.43% and 0.38%, respectively.

^(g)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(h)

⁽ⁱ⁾	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		63

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index Retirement Fund (continued)

	Investor P
										Period from
	Year Ended December 31,									08/06/18^(a)
	2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	14.21		$	13.02		$	11.53		$	12.23

Net investment income^(b)		0.27			0.23			0.34			0.12
Net realized and unrealized gain (loss)		0.67			1.30			1.43			(0.67	)


Net increase (decrease) from investment operations		0.94			1.53			1.77			(0.55	)


Distributions^(c)
From net investment income		(0.28	)		(0.24	)		(0.27	)		(0.14	)
From net realized gain		(0.11	)		(0.10	)		(0.01	)		(0.01	)


Total distributions		(0.39	)		(0.34	)		(0.28	)		(0.15	)


Net asset value, end of period	$	14.76		$	14.21		$	13.02		$	11.53


Total Return^(d)
Based on net asset value		6.61	%		11.90	%		15.52	%		(4.56	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.42	%		0.43	%		0.42	%^(g)		0.41	%^(h)(i)(j)


Total expenses after fees waived and/or reimbursed		0.36	%		0.36	%		0.37	%^(g)		0.36	%^(h)(i)(j)


Net investment income		1.86	%		1.73	%		2.67	%		2.47	%⁽ⁱ⁾


Supplemental Data
Net assets, end of period (000)	$	2,580,045		$	2,590,635		$	2,547,420		$	912,090


Portfolio turnover rate		9	%^(k)		20	%^(l)		13	%^(m)		25	%^(m)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Includes reorganization cost. Without this cost, total expenses and total expenses after fees waived and/or reimbursed would have been 0.41% and 0.37%, respectively.

^(h)	Reorganization, offering, and board realignment and consolidation costs were not annualized in the calculation of the expense ratios. If these expenses were annualized, the total expenses and total expenses after fees waived and/or reimbursed would have been 0.42% and 0.37%, respectively.

⁽ⁱ⁾	Annualized.

^(j)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.39% and 0.36%, respectively.

^(k)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(l)

^(m)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


64		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath Index^® Retirement Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	14.23		$	13.04		$	11.54		$	12.25		$	11.32


Net investment income^(a)		0.32			0.27			0.38			0.31			0.26
Net realized and unrealized gain (loss)		0.66			1.30			1.44			(0.73	)		0.95


Net increase (decrease) from investment operations		0.98			1.57			1.82			(0.42	)		1.21


Distributions^(b)
From net investment income		(0.32	)		(0.28	)		(0.31	)		(0.28	)		(0.25	)
From net realized gain		(0.11	)		(0.10	)		(0.01	)		(0.01	)		(0.03	)


Total distributions		(0.43	)		(0.38	)		(0.32	)		(0.29	)		(0.28	)


Net asset value, end of year	$	14.78		$	14.23		$	13.04		$	11.54		$	12.25


Total Return^(c)
Based on net asset value		6.92	%		12.22	%		15.90	%		(3.51	)%		10.75	%


Ratios to Average Net Assets^(d)
Total expenses		0.12	%		0.12	%		0.11	%^(e)		0.13	%^(f)		0.12	%


Total expenses after fees waived and/or reimbursed		0.06	%		0.06	%		0.07	%^(e)		0.08	%^(f)		0.08	%


Net investment income		2.17	%		2.03	%		2.96	%		2.54	%		2.13	%


Supplemental Data
Net assets, end of year (000)	$	5,739,227		$	5,307,443		$	4,462,412		$	1,160,344		$	1,072,195


Portfolio turnover rate		9	%^(g)		20	%^(h)		13	%⁽ⁱ⁾		25	%⁽ⁱ⁾		10	%⁽ⁱ⁾

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization cost. Without this cost, total expenses and total expenses after fees waived and/or reimbursed would have been 0.11% and 0.07%, respectively.

^(f)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.12% and 0.08%, respectively.

^(g)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(h)

⁽ⁱ⁾	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		65

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2025 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year.	$	15.64		$	14.24		$	12.35		$	13.31		$	11.90


Net investment income^(a)		0.35			0.28			0.37			0.32			0.29
Net realized and unrealized gain (loss)		1.03			1.46			1.94			(0.95	)		1.41


Net increase (decrease) from investment operations		1.38			1.74			2.31			(0.63	)		1.70


Distributions^(b)
From net investment income		(0.34	)		(0.28	)		(0.36	)		(0.30	)		(0.28	)
From net realized gain		(0.07	)		(0.06	)		(0.06	)		(0.03	)		(0.01	)


Total distributions		(0.41	)		(0.34	)		(0.42	)		(0.33	)		(0.29	)


Net asset value, end of year	$	16.61		$	15.64		$	14.24		$	12.35		$	13.31


Total Return^(c)
Based on net asset value		8.89	%		12.44	%		18.84	%		(4.83	)%		14.38	%


Ratios to Average Net Assets^(d)
Total expenses		0.17	%		0.17	%		0.16	%		0.16	%		0.17	%


Total expenses after fees waived and/or reimbursed		0.11	%		0.10	%		0.11	%		0.12	%		0.13	%


Net investment income		2.12	%		1.94	%		2.69	%		2.41	%		2.26	%


Supplemental Data
Net assets, end of year (000)	$	227,070		$	220,702		$	189,202		$	104,908		$	102,921


Portfolio turnover rate		11	%^(e)		16	%^(f)		11	%^(g)		11	%^(g)		8	%^(g)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(f)

^(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


66		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2025 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year.	$	15.62		$	14.22		$	12.33		$	13.29		$	11.89


Net investment income^(a)		0.30			0.24			0.32			0.28			0.25
Net realized and unrealized gain (loss)		1.03			1.47			1.96			(0.94	)		1.40


Net increase (decrease) from investment operations		1.33			1.71			2.28			(0.66	)		1.65


Distributions^(b)
From net investment income		(0.30	)		(0.25	)		(0.33	)		(0.27	)		(0.24	)
From net realized gain		(0.07	)		(0.06	)		(0.06	)		(0.03	)		(0.01	)


Total distributions		(0.37	)		(0.31	)		(0.39	)		(0.30	)		(0.25	)


Net asset value, end of year	$	16.58		$	15.62		$	14.22		$	12.33		$	13.29


Total Return^(c)
Based on net asset value		8.55	%		12.18	%		18.59	%		(5.08	)%		14.03	%


Ratios to Average Net Assets^(d)
Total expenses		0.42	%		0.41	%		0.42	%		0.41	%		0.41	%


Total expenses after fees waived and/or reimbursed		0.36	%		0.35	%		0.36	%		0.37	%		0.38	%


Net investment income		1.84	%		1.69	%		2.37	%		2.10	%		1.98	%


Supplemental Data
Net assets, end of year (000)	$	148,954		$	167,418		$	157,606		$	119,566		$	157,207


Portfolio turnover rate		11	%^(e)		16	%^(f)		11	%^(g)		11	%^(g)		8	%^(g)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(f)

^(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		67

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2025 Fund (continued)
	Investor P
										Period from
	Year Ended December 31,									08/06/18^(a)
	2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	15.59		$	14.20		$	12.32		$	13.38


Net investment income^(b)		0.31			0.24			0.35			0.17
Net realized and unrealized gain (loss)		1.03			1.46			1.93			(1.04	)


Net increase (decrease) from investment operations		1.34			1.70			2.28			(0.87	)


Distributions^(c)
From net investment income		(0.31	)		(0.25	)		(0.34	)		(0.16	)
From net realized gain		(0.07	)		(0.06	)		(0.06	)		(0.03	)


Total distributions		(0.38	)		(0.31	)		(0.40	)		(0.19	)


Net asset value, end of period	$	16.55		$	15.59		$	14.20		$	12.32


Total Return^(d)
Based on net asset value		8.60	%		12.15	%		18.60	%		(6.57	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.42	%		0.42	%		0.41	%		0.40	%^(g)


Total expenses after fees waived and/or reimbursed		0.36	%		0.35	%		0.36	%		0.35	%^(g)


Net investment income		1.93	%		1.72	%		2.59	%		3.53	%^(g)


Supplemental Data
Net assets, end of period (000)	$	100,306		$	63,916		$	34,190		$	1,810


Portfolio turnover rate		11	%^(h)		16	%⁽ⁱ⁾		11	%^(j)		11	%^(j)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

⁽ⁱ⁾

^(j)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


68		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2025 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	15.64		$	14.25		$	12.35		$	13.31		$	11.90


Net investment income^(a)		0.36			0.29			0.36			0.33			0.30
Net realized and unrealized gain (loss)		1.03			1.45			1.97			(0.95	)		1.40


Net increase (decrease) from investment operations		1.39			1.74			2.33			(0.62	)		1.70


Distributions^(b)
From net investment income		(0.35	)		(0.29	)		(0.37	)		(0.31	)		(0.28	)
From net realized gain		(0.07	)		(0.06	)		(0.06	)		(0.03	)		(0.01	)


Total distributions		(0.42	)		(0.35	)		(0.43	)		(0.34	)		(0.29	)


Net asset value, end of year	$	16.61		$	15.64		$	14.25		$	12.35		$	13.31


Total Return^(c)
Based on net asset value		8.94	%		12.42	%		18.98	%		(4.78	)%		14.43	%


Ratios to Average Net Assets^(d)
Total expenses		0.12	%		0.12	%		0.10	%		0.11	%		0.11	%


Total expenses after fees waived and/or reimbursed.		0.06	%		0.05	%		0.06	%		0.07	%		0.07	%


Net investment income		2.19	%		2.00	%		2.68	%		2.47	%		2.34	%


Supplemental Data
Net assets, end of year (000)	$	6,505,877		$	5,458,799		$	4,134,270		$	2,777,710		$	2,240,495


Portfolio turnover rate.		11	%^(e)		16	%^(f)		11	%^(g)		11	%^(g)		8	%^(g)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(f)

^(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		69

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2030 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year.	$	16.30		$	14.72		$	12.57		$	13.62		$	11.99


Net investment income^(a)		0.37			0.28			0.37			0.38			0.31
Net realized and unrealized gain (loss)		1.47			1.60			2.25			(1.13	)		1.63


Net increase (decrease) from investment operations		1.84			1.88			2.62			(0.75	)		1.94


Distributions^(b)
From net investment income		(0.37	)		(0.28	)		(0.38	)		(0.29	)		(0.29	)
From net realized gain		(0.09	)		(0.02	)		(0.09	)		(0.01	)		(0.02	)


Total distributions		(0.46	)		(0.30	)		(0.47	)		(0.30	)		(0.31	)


Net asset value, end of year	$	17.68		$	16.30		$	14.72		$	12.57		$	13.62


Total Return^(c)
Based on net asset value		11.35	%		13.05	%		21.00	%		(5.60	)%		16.29	%


Ratios to Average Net Assets^(d)
Total expenses		0.16	%		0.16	%		0.17	%		0.16	%^(e)		0.16	%


Total expenses after fees waived and/or reimbursed		0.10	%		0.10	%		0.11	%		0.11	%^(e)		0.12	%


Net investment income		2.14	%		1.91	%		2.66	%		2.82	%		2.36	%


Supplemental Data
Net assets, end of year (000)	$	661,550		$	610,774		$	561,902		$	393,584		$	137,120


Portfolio turnover rate		9	%^(f)		14	%^(g)		14	%^(h)		15	%^(h)		7	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.15% and 0.11%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


70		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2030 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year.	$	16.29		$	14.72		$	12.56		$	13.62		$	11.99


Net investment income^(a)		0.32			0.24			0.33			0.30			0.27
Net realized and unrealized gain (loss)		1.48			1.60			2.26			(1.09	)		1.64


Net increase (decrease) from investment operations		1.80			1.84			2.59			(0.79	)		1.91


Distributions^(b)
From net investment income		(0.32	)		(0.25	)		(0.34	)		(0.26	)		(0.26	)
From net realized gain		(0.09	)		(0.02	)		(0.09	)		(0.01	)		(0.02	)


Total distributions		(0.41	)		(0.27	)		(0.43	)		(0.27	)		(0.28	)


Net asset value, end of year	$	17.68		$	16.29		$	14.72		$	12.56		$	13.62


Total Return^(c)
Based on net asset value		11.13	%		12.70	%		20.81	%		(5.92	)%		16.01	%


Ratios to Average Net Assets^(d)
Total expenses		0.41	%		0.42	%		0.47	%		0.41	%^(e)		0.41	%


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.36	%		0.36	%^(e)		0.37	%


Net investment income		1.85	%		1.65	%		2.36	%		2.23	%		2.10	%


Supplemental Data
Net assets, end of year (000)	$	235,293		$	251,040		$	343,033		$	283,011		$	284,679


Portfolio turnover rate		9	%^(f)		14	%^(g)		14	%^(h)		15	%^(h)		7	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.40% and 0.36%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		71

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2030 Fund (continued)
	Investor P
										Period from
		Year Ended December 31,									08/06/18	^(a)
	2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	16.28		$	14.71		$	12.56		$	13.77


Net investment income^(b)		0.32			0.24			0.33			0.21
Net realized and unrealized gain (loss)		1.47			1.60			2.25			(1.27	)


Net increase (decrease) from investment operations		1.79			1.84			2.58			(1.06	)


Distributions^(c)
From net investment income		(0.32	)		(0.25	)		(0.34	)		(0.15	)
From net realized gain		(0.09	)		(0.02	)		(0.09	)		(0.00	)^(d)


Total distributions		(0.41	)		(0.27	)		(0.43	)		(0.15	)


Net asset value, end of period	$	17.66		$	16.28		$	14.71		$	12.56


Total Return^(e)
Based on net asset value		11.08	%		12.70	%		20.72	%		(7.73	)%^(f)


Ratios to Average Net Assets^(g)
Total expenses		0.41	%		0.41	%		0.41	%		0.39	%^(h)


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.36	%		0.35	%^(h)


Net investment income		1.88	%		1.66	%		2.35	%		3.95	%^(h)


Supplemental Data
Net assets, end of period (000)	$	2,196,216		$	2,104,701		$	2,003,430		$	1,802,660


Portfolio turnover rate		9	%⁽ⁱ⁾		14	%^(j)		14	%^(k)		15	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Amount is greater than $(0.005) per share.

^(e)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(f)	Aggregate total return.

^(g)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(h)	Annualized.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


72		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2030 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	16.28		$	14.71		$	12.56		$	13.61		$	11.98


Net investment income^(a)		0.38			0.29			0.38			0.34			0.31
Net realized and unrealized gain (loss)		1.47			1.59			2.25			(1.08	)		1.64


Net increase (decrease) from investment operations		1.85			1.88			2.63			(0.74	)		1.95


Distributions^(b)
From net investment income		(0.38	)		(0.29	)		(0.39	)		(0.30	)		(0.30	)
From net realized gain		(0.09	)		(0.02	)		(0.09	)		(0.01	)		(0.02	)


Total distributions		(0.47	)		(0.31	)		(0.48	)		(0.31	)		(0.32	)


Net asset value, end of year	$	17.66		$	16.28		$	14.71		$	12.56		$	13.61


Total Return^(c)
Based on net asset value		11.42	%		13.05	%		21.08	%		(5.56	)%		16.36	%


Ratios to Average Net Assets^(d)
Total expenses		0.11	%		0.11	%		0.10	%		0.11	%^(e)		0.10	%


Total expenses after fees waived and/or reimbursed.		0.05	%		0.05	%		0.06	%		0.06	%^(e)		0.07	%


Net investment income		2.22	%		1.97	%		2.70	%		2.55	%		2.40	%


Supplemental Data
Net assets, end of year (000)	$	8,345,340		$	6,511,647		$	4,892,278		$	3,250,556		$	2,709,075
	��

Portfolio turnover rate.		9	%^(f)		14	%^(g)		14	%^(h)		15	%^(h)		7	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.10% and 0.06%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		73

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2035 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.07		$	15.33		$	12.88		$	14.08		$	12.19


Net investment income^(a)		0.40			0.28			0.40			0.34			0.33
Net realized and unrealized gain (loss)		1.94			1.76			2.55			(1.23	)		1.88


Net increase (decrease) from investment operations		2.34			2.04			2.95			(0.89	)		2.21


Distributions^(b)
From net investment income		(0.39	)		(0.28	)		(0.39	)		(0.31	)		(0.31	)
From net realized gain		(0.06	)		(0.02	)		(0.11	)		(0.00	)^(c)		(0.01	)


Total distributions		(0.45	)		(0.30	)		(0.50	)		(0.31	)		(0.32	)


Net asset value, end of year	$	18.96		$	17.07		$	15.33		$	12.88		$	14.08


Total Return^(d)
Based on net asset value		13.78	%		13.58	%		23.08	%		(6.40	)%		18.22	%


Ratios to Average Net Assets^(e)
Total expenses		0.16	%		0.16	%		0.15	%		0.16	%		0.16	%


Total expenses after fees waived and/or reimbursed		0.10	%		0.10	%		0.10	%		0.11	%		0.11	%


Net investment income		2.17	%		1.89	%		2.73	%		2.41	%		2.47	%


Supplemental Data
Net assets, end of year (000)	$	197,919		$	164,602		$	148,827		$	94,316		$	97,302


Portfolio turnover rate		9	%^(f)		10	%^(g)		13	%^(h)		10	%^(h)		6	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Amount is greater than $(0.005) per share.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


74		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2035 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.03		$	15.29		$	12.85		$	14.04		$	12.16


Net investment income^(a)		0.34			0.25			0.35			0.29			0.29
Net realized and unrealized gain (loss)		1.94			1.76			2.56			(1.21	)		1.88


Net increase (decrease) from investment operations		2.28			2.01			2.91			(0.92	)		2.17


Distributions^(b)
From net investment income		(0.34	)		(0.25	)		(0.36	)		(0.27	)		(0.28	)
From net realized gain		(0.06	)		(0.02	)		(0.11	)		(0.00	)^(c)		(0.01	)


Total distributions		(0.40	)		(0.27	)		(0.47	)		(0.27	)		(0.29	)


Net asset value, end of year	$	18.91		$	17.03		$	15.29		$	12.85		$	14.04


Total Return^(d)
Based on net asset value		13.46	%		13.34	%		22.77	%		(6.59	)%		17.89	%


Ratios to Average Net Assets^(e)
Total expenses		0.41	%		0.41	%		0.41	%		0.41	%		0.41	%


Total expenses after fees waived and/or reimbursed.		0.35	%		0.35	%		0.35	%		0.36	%		0.36	%


Net investment income		1.83	%		1.64	%		2.45	%		2.08	%		2.17	%


Supplemental Data
Net assets, end of year (000)	$	154,072		$	168,305		$	158,773		$	103,712		$	158,712


Portfolio turnover rate.		9	%^(f)		10	%^(g)		13	%^(h)		10	%^(h)		6	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Amount is greater than $(0.005) per share.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		75

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2035 Fund (continued)

	Investor P

										Period from
		Year Ended December 31,									08/06/18^(a)

	2021			2020			2019			to 12/31/18

Net asset value, beginning of period.	$	17.00		$	15.27		$	12.84		$	14.26

Net investment income^(b)		0.37			0.26			0.42			0.17
Net realized and unrealized gain (loss)		1.92			1.74			2.49			(1.43	)


Net increase (decrease) from investment operations		2.29			2.00			2.91			(1.26	)


Distributions^(c)
From net investment income		(0.35	)		(0.25	)		(0.37	)		(0.16	)
From net realized gain		(0.06	)		(0.02	)		(0.11	)		(0.00	)^(d)


Total distributions		(0.41	)		(0.27	)		(0.48	)		(0.16	)


Net asset value, end of period	$	18.88		$	17.00		$	15.27		$	12.84


Total Return^(e)
Based on net asset value.		13.52	%		13.32	%		22.79	%		(8.87	)%^(f)


Ratios to Average Net Assets^(g)
Total expenses		0.41	%		0.41	%		0.43	%		0.38	%^(h)


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.35	%		0.34	%^(h)


Net investment income		2.02	%		1.72	%		2.85	%		3.22	%^(h)


Supplemental Data
Net assets, end of period (000)	$	42,291		$	24,416		$	12,054		$	561


Portfolio turnover rate		9	%⁽ⁱ⁾		10	%^(j)		13	%^(k)		10	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Amount is greater than $(0.005) per share.

^(e)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(f)	Aggregate total return.

^(g)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(h)	Annualized.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


76		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2035 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.06		$	15.31		$	12.87		$	14.07		$	12.18


Net investment income^(a)		0.41			0.30			0.40			0.35			0.34
Net realized and unrealized gain (loss)		1.94			1.76			2.55			(1.23	)		1.88


Net increase (decrease) from investment operations		2.35			2.06			2.95			(0.88	)		2.22


Distributions^(b)
From net investment income		(0.40	)		(0.29	)		(0.40	)		(0.32	)		(0.32	)
From net realized gain		(0.06	)		(0.02	)		(0.11	)		(0.00	)^(c)		(0.01	)

Total distributions		(0.46	)		(0.31	)		(0.51	)		(0.32	)		(0.33	)


Net asset value, end of year	$	18.95		$	17.06		$	15.31		$	12.87		$	14.07


Total Return^(d)
Based on net asset value		13.84	%		13.72	%		23.08	%		(6.36	)%		18.29	%


Ratios to Average Net Assets^(e)
Total expenses		0.11	%		0.11	%		0.09	%		0.10	%		0.10	%


Total expenses after fees waived and/or reimbursed		0.05	%		0.05	%		0.05	%		0.06	%		0.06	%


Net investment income		2.24	%		1.97	%		2.74	%		2.51	%		2.52	%


Supplemental Data
Net assets, end of year (000)	$	6,914,380		$	5,157,576		$	3,758,092		$	2,393,634		$	1,860,697


Portfolio turnover rate		9	%^(f)		10	%^(g)		13	%^(h)		10	%^(h)		6	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Amount is greater than $(0.005) per share.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		77

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2040 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.66		$	15.78		$	13.07		$	14.39		$	12.29


Net investment income^(a)		0.41			0.29			0.40			0.47			0.35
Net realized and unrealized gain (loss)		2.40			1.89			2.84			(1.48	)		2.08


Net increase (decrease) from investment operations		2.81			2.18			3.24			(1.01	)		2.43


Distributions^(b)
From net investment income		(0.41	)		(0.29	)		(0.42	)		(0.30	)		(0.33	)
From net realized gain		(0.07	)		(0.01	)		(0.11	)		(0.01	)		(0.00	)^(c)


Total distributions		(0.48	)		(0.30	)		(0.53	)		(0.31	)		(0.33	)


Net asset value, end of year	$	19.99		$	17.66		$	15.78		$	13.07		$	14.39


Total Return^(d)
Based on net asset value		15.99	%		14.04	%		24.95	%		(7.12	)%		19.89	%


Ratios to Average Net Assets^(e)
Total expenses		0.16	%		0.16	%		0.17	%		0.15	%^(f)		0.15	%


Total expenses after fees waived and/or reimbursed.		0.10	%		0.10	%		0.10	%		0.10	%^(f)		0.11	%


Net investment income		2.14	%		1.87	%		2.67	%		3.29	%		2.56	%


Supplemental Data
Net assets, end of year (000)	$	733,350		$	646,477		$	577,303		$	446,192		$	107,509


Portfolio turnover rate.		7	%^(g)		9	%^(h)		14	%⁽ⁱ⁾		12	%⁽ⁱ⁾		6	%⁽ⁱ⁾

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Amount is greater than $(0.005) per share.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(f)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.14% and 0.10%, respectively.

^(g)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(h)

⁽ⁱ⁾	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


78		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2040 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.63		$	15.75		$	13.05		$	14.36		$	12.27


Net investment income^(a)		0.35			0.25			0.36			0.32			0.31
Net realized and unrealized gain (loss)		2.40			1.89			2.83			(1.35	)		2.07


Net increase (decrease) from investment operations		2.75			2.14			3.19			(1.03	)		2.38


Distributions^(b)
From net investment income		(0.36	)		(0.25	)		(0.38	)		(0.27	)		(0.29	)
From net realized gain		(0.07	)		(0.01	)		(0.11	)		(0.01	)		(0.00	)^(c)


Total distributions		(0.43	)		(0.26	)		(0.49	)		(0.28	)		(0.29	)


Net asset value, end of year	$	19.95		$	17.63		$	15.75		$	13.05		$	14.36


Total Return^(d)
Based on net asset value		15.67	%		13.78	%		24.62	%		(7.30	)%		19.56	%


Ratios to Average Net Assets^(e)
Total expenses		0.41	%		0.42	%		0.45	%		0.40	%^(f)		0.40	%


Total expenses after fees waived and/or reimbursed.		0.35	%		0.35	%		0.35	%		0.35	%^(f)		0.36	%


Net investment income		1.84	%		1.61	%		2.45	%		2.21	%		2.29	%


Supplemental Data
Net assets, end of year (000)	$	179,444		$	176,175		$	240,112		$	174,340		$	204,873


Portfolio turnover rate.		7	%^(g)		9	%^(h)		14	%⁽ⁱ⁾		12	%⁽ⁱ⁾		6	%⁽ⁱ⁾

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Amount is greater than $(0.005) per share.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(f)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.39% and 0.35%, respectively.

^(g)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(h)

⁽ⁱ⁾	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		79

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2040 Fund (continued)

	Investor P

											Period from

		Year Ended December 31,									08/06/18^(a)

		2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	17.61		$	15.74		$	13.04		$	14.64


Net investment income^(b)		0.36			0.25			0.35			0.28
Net realized and unrealized gain (loss)		2.40			1.88			2.84			(1.72	)


Net increase (decrease) from investment operations		2.76			2.13			3.19			(1.44	)


Distributions^(c)
From net investment income		(0.36	)		(0.25	)		(0.38	)		(0.15	)
From net realized gain		(0.07	)		(0.01	)		(0.11	)		(0.01	)


Total distributions		(0.43	)		(0.26	)		(0.49	)		(0.16	)


Net asset value, end of period	$	19.94		$	17.61		$	15.74		$	13.04


Total Return^(d)
Based on net asset value		15.75	%		13.73	%		24.63	%		(9.89	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.41	%		0.41	%		0.41	%		0.38	%^(g)(h)


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.35	%		0.34	%^(g)(h)


Net investment income		1.89	%		1.62	%		2.39	%		4.99	%^(g)


Supplemental Data
Net assets, end of period (000)	$	1,794,746		$	1,621,834		$	1,499,042		$	1,285,686


Portfolio turnover rate.		7	%⁽ⁱ⁾		9	%^(j)		14	%^(k)		12	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.37% and 0.34%, respectively.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


80		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2040 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.66		$	15.78		$	13.07		$	14.39		$	12.29


Net investment income^(a)		0.43			0.30			0.41			0.37			0.35
Net realized and unrealized gain (loss)		2.39			1.88			2.84			(1.37	)		2.08


Net increase (decrease) from investment operations		2.82			2.18			3.25			(1.00	)		2.43


Distributions^(b)
From net investment income		(0.42	)		(0.29	)		(0.43	)		(0.31	)		(0.33	)
From net realized gain		(0.07	)		(0.01	)		(0.11	)		(0.01	)		(0.00	)^(c)


Total distributions		(0.49	)		(0.30	)		(0.54	)		(0.32	)		(0.33	)


Net asset value, end of year	$	19.99		$	17.66		$	15.78		$	13.07		$	14.39


Total Return^(d)
Based on net asset value		16.05	%		14.10	%		25.01	%		(7.08	)%		19.95	%


Ratios to Average Net Assets^(e)
Total expenses		0.11	%		0.11	%		0.09	%		0.10	%^(f)		0.10	%


Total expenses after fees waived and/or reimbursed		0.05	%		0.05	%		0.05	%		0.05	%^(f)		0.06	%


Net investment income		2.23	%		1.95	%		2.77	%		2.57	%		2.60	%


Supplemental Data
Net assets, end of year (000)	$	7,084,966		$	5,352,212		$	3,849,265		$	2,478,916		$	2,021,824


Portfolio turnover rate		7	%^(g)		9	%^(h)		14	%⁽ⁱ⁾		12	%⁽ⁱ⁾		6	%⁽ⁱ⁾

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Amount is greater than $(0.005) per share.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(f)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.09% and 0.05%, respectively.

^(g)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(h)

⁽ⁱ⁾	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		81

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2045 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	18.29		$	16.25		$	13.33		$	14.75		$	12.48


Net investment income^(a)		0.43			0.29			0.42			0.36			0.36
Net realized and unrealized gain (loss)		2.81			2.05			3.04			(1.45	)		2.25


Net increase (decrease) from investment operations		3.24			2.34			3.46			(1.09	)		2.61


Distributions^(b)
From net investment income		(0.43	)		(0.29	)		(0.43	)		(0.32	)		(0.34	)
From net realized gain		(0.06	)		(0.01	)		(0.11	)		(0.01	)		—


Total distributions		(0.49	)		(0.30	)		(0.54	)		(0.33	)		(0.34	)


Net asset value, end of year	$	21.04		$	18.29		$	16.25		$	13.33		$	14.75


Total Return^(c)
Based on net asset value		17.76	%		14.67	%		26.14	%		(7.56	)%		21.03	%


Ratios to Average Net Assets^(d)
Total expenses		0.16	%		0.16	%		0.15	%		0.15	%		0.15	%


Total expenses after fees waived and/or reimbursed		0.10	%		0.10	%		0.10	%		0.10	%		0.10	%


Net investment income		2.16	%		1.87	%		2.78	%		2.43	%		2.63	%


Supplemental Data
Net assets, end of year (000)	$	159,947		$	132,688		$	116,727		$	70,629		$	74,092


Portfolio turnover rate		7	%^(e)		7	%^(f)		12	%^(g)		8	%^(g)		6	%^(g)

(a)	Based on average shares outstanding.

(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

(c)	Where applicable, assumes the reinvestment of distributions.

(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

(f)

(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


82		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2045 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	18.25		$	16.22		$	13.30		$	14.73		$	12.46


Net investment income^(a)		0.36			0.25			0.39			0.31			0.32
Net realized and unrealized gain (loss)		2.81			2.04			3.03			(1.45	)		2.25


Net increase (decrease) from investment operations		3.17			2.29			3.42			(1.14	)		2.57


Distributions^(b)
From net investment income		(0.37	)		(0.25	)		(0.39	)		(0.28	)		(0.30	)
From net realized gain		(0.06	)		(0.01	)		(0.11	)		(0.01	)		—


Total distributions		(0.43	)		(0.26	)		(0.50	)		(0.29	)		(0.30	)


Net asset value, end of year	$	20.99		$	18.25		$	16.22		$	13.30		$	14.73


Total Return^(c)
Based on net asset value		17.44	%		14.35	%		25.91	%		(7.87	)%		20.77	%


Ratios to Average Net Assets^(d)
Total expenses		0.41	%		0.41	%		0.41	%		0.40	%		0.40	%


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.35	%		0.35	%		0.35	%


Net investment income		1.81	%		1.62	%		2.56	%		2.12	%		2.32	%


Supplemental Data
Net assets, end of year (000)	$	121,865		$	129,106		$	120,718		$	65,642		$	83,711


Portfolio turnover rate		7	%^(e)		7	%^(f)		12	%^(g)		8	%^(g)		6	%^(g)

(a)	Based on average shares outstanding.

(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

(c)	Where applicable, assumes the reinvestment of distributions.

(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

(f)

(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		83

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2045 Fund (continued)

	Investor P

										Period from
		Year Ended December 31,									08/06/18^(a)
	2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	18.22		$	16.20		$	13.29		$	15.05

Net investment income^(b)		0.40			0.28			0.44			0.16
Net realized and unrealized gain (loss)		2.77			2.01			2.98			(1.75	)


Net increase (decrease) from investment operations		3.17			2.29			3.42			(1.59	)


Distributions^(c)
From net investment income		(0.38	)		(0.26	)		(0.40	)		(0.16	)
From net realized gain		(0.06	)		(0.01	)		(0.11	)		(0.01	)


Total distributions		(0.44	)		(0.27	)		(0.51	)		(0.17	)


Net asset value, end of period	$	20.95		$	18.22		$	16.20		$	13.29


Total Return^(d)
Based on net asset value.		17.44	%		14.34	%		25.91	%		(10.64	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.41	%		0.41	%		0.49	%		0.37	%^(g)


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.35	%		0.32	%^(g)


Net investment income		1.98	%		1.75	%		2.87	%		2.71	%^(g)


Supplemental Data
Net assets, end of period (000)	$	12,722		$	8,154		$	3,376		$	249


Portfolio turnover rate		7	%^(h)		7	%⁽ⁱ⁾		12	%^(j)		8	%^(j)

(a)	Commencement of operations. (b) Based on average shares outstanding.

(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

(e)	Aggregate total return.

(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(g)	Annualized.

(h)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

(i)

(j)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


84		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2045 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	18.30		$	16.27		$	13.34		$	14.76		$	12.49


Net investment income^(a)		0.45			0.31			0.42			0.37			0.38
Net realized and unrealized gain (loss)		2.80			2.03			3.06			(1.46	)		2.23


Net increase (decrease) from investment operations		3.25			2.34			3.48			(1.09	)		2.61


Distributions^(b)
From net investment income		(0.44	)		(0.30	)		(0.44	)		(0.32	)		(0.34	)
From net realized gain		(0.06	)		(0.01	)		(0.11	)		(0.01	)		—


Total distributions		(0.50	)		(0.31	)		(0.55	)		(0.33	)		(0.34	)


Net asset value, end of year	$	21.05		$	18.30		$	16.27		$	13.34		$	14.76


Total Return^(c)
Based on net asset value		17.81	%		14.64	%		26.25	%		(7.50	)%		21.07	%


Ratios to Average Net Assets^(d)
Total expenses		0.11	%		0.11	%		0.09	%		0.10	%		0.09	%


Total expenses after fees waived and/or reimbursed		0.05	%		0.05	%		0.05	%		0.05	%		0.05	%


Net investment income		2.24	%		1.96	%		2.80	%		2.55	%		2.72	%


Supplemental Data
Net assets, end of year (000)	$	5,476,173		$	3,948,559		$	2,720,014		$	1,645,042		$	1,228,130


Portfolio turnover rate		7	%^(e)		7	%^(f)		12	%^(g)		8	%^(g)		6	%^(g)

(a)	Based on average shares outstanding.

(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

(c)	Where applicable, assumes the reinvestment of distributions.

(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

(f)

(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		85

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2050 Fund
	Institutional
	Year Ended December 31,

	2021			2020			2019			2018			2017
Net asset value, beginning of year	$	18.68		$	16.55		$	13.51		$	14.99		$	12.65

Net investment income^(a)		0.44			0.30			0.43			0.37			0.37
Net realized and unrealized gain (loss)		3.04			2.13			3.15			(1.53	)		2.32

Net increase (decrease) from investment operations		3.48			2.43			3.58			(1.16	)		2.69

Distributions^(b)
From net investment income		(0.43	)		(0.29	)		(0.44	)		(0.31	)		(0.35	)
From net realized gain		(0.04	)		(0.01	)		(0.10	)		(0.01	)		—

Total distributions		(0.47	)		(0.30	)		(0.54	)		(0.32	)		(0.35	)

Net asset value, end of year	$	21.69		$	18.68		$	16.55		$	13.51		$	14.99

Total Return^(c)
Based on net asset value		18.69	%		14.98	%		26.71	%		(7.87	)%		21.38	%

Ratios to Average Net Assets^(d)
Total expenses		0.16	%		0.16	%		0.15	%		0.16	%^(e)		0.15	%

Total expenses after fees waived and/or reimbursed		0.10	%		0.10	%		0.10	%		0.10	%^(e)		0.10	%

Net investment income		2.14	%		1.88	%		2.78	%		2.45	%		2.68	%

Supplemental Data
Net assets, end of year (000)	$	161,630		$	132,633		$	111,105		$	68,949		$	70,450

Portfolio turnover rate		6	%^(f)		6	%^(g)		12	%^(h)		11	%^(h)		5	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.15% and 0.10%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


86		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2050 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	18.63		$	16.51		$	13.48		$	14.96		$	12.62


Net investment income^(a)		0.37			0.26			0.39			0.33			0.33
Net realized and unrealized gain (loss)		3.04			2.12			3.14			(1.52	)		2.32


Net increase (decrease) from investment operations		3.41			2.38			3.53			(1.19	)		2.65


Distributions^(b)
From net investment income		(0.37	)		(0.25	)		(0.40	)		(0.28	)		(0.31	)
From net realized gain		(0.04	)		(0.01	)		(0.10	)		(0.01	)		—


Total distributions		(0.41	)		(0.26	)		(0.50	)		(0.29	)		(0.31	)


Net asset value, end of year	$	21.63		$	18.63		$	16.51		$	13.48		$	14.96


Total Return^(c)
Based on net asset value		18.38	%		14.67	%		26.40	%		(8.11	)%		21.14	%


Ratios to Average Net Assets^(d)
Total expenses		0.41	%		0.41	%		0.44	%		0.42	%^(e)		0.40	%


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.35	%		0.35	%^(e)		0.35	%


Net investment income		1.81	%		1.62	%		2.53	%		2.18	%		2.40	%


Supplemental Data
Net assets, end of year (000)	$	119,705		$	112,240		$	138,397		$	82,677		$	95,477


Portfolio turnover rate		6	%^(f)		6	%^(g)		12	%^(h)		11	%^(h)		5	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.41% and 0.35%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		87

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2050 Fund (continued)

	Investor P

										Period from
		Year Ended December 31,									08/06/18^(a)

	2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	18.62		$	16.50		$	13.47		$	15.30

Net investment income^(b)		0.38			0.26			0.37			0.34
Net realized and unrealized gain (loss)		3.02			2.12			3.16			(2.00	)


Net increase (decrease) from investment operations		3.40			2.38			3.53			(1.66	)


Distributions^(c)
From net investment income		(0.37	)		(0.25	)		(0.40	)		(0.16	)
From net realized gain		(0.04	)		(0.01	)		(0.10	)		(0.01	)


Total distributions		(0.41	)		(0.26	)		(0.50	)		(0.17	)


Net asset value, end of period	$	21.61		$	18.62		$	16.50		$	13.47


Total Return^(d)
Based on net asset value.		18.35	%		14.67	%		26.40	%		(10.93	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.41	%		0.41	%		0.42	%		0.39	%^(g)(h)(i)


Total expenses after fees waived and/or reimbursed		0.35	%		0.35	%		0.35	%		0.34	%^(g)(h)(i)


Net investment income		1.87	%		1.62	%		2.41	%		5.73	%^(g)


Supplemental Data
Net assets, end of period (000)	$	592,827		$	522,176		$	473,345		$	393,442


Portfolio turnover rate		6	%^(j)		6	%^(k)		12	%^(l)		11	%^(l)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.38% and 0.34%, respectively.

⁽ⁱ⁾	Reorganization, offering, and board realignment and consolidation costs were not annualized in the calculation of the expense ratios. If these expenses were annualized, the total expenses and total expenses after fees waived and/or reimbursed would have been 0.40% and 0.34%, respectively.

^(j)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(k)

^(l)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


88		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2050 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	18.68		$	16.55		$	13.51		$	14.99		$	12.65


Net investment income^(a)		0.46			0.31			0.43			0.38			0.39
Net realized and unrealized gain (loss)		3.03			2.13			3.16			(1.53	)		2.30


Net increase (decrease) from investment operations		3.49			2.44			3.59			(1.15	)		2.69


Distributions^(b)
From net investment income		(0.44	)		(0.30	)		(0.45	)		(0.32	)		(0.35	)
From net realized gain		(0.04	)		(0.01	)		(0.10	)		(0.01	)		—


Total distributions		(0.48	)		(0.31	)		(0.55	)		(0.33	)		(0.35	)


Net asset value, end of year	$	21.69		$	18.68		$	16.55		$	13.51		$	14.99


Total Return^(c)
Based on net asset value		18.75	%		15.04	%		26.77	%		(7.82	)%		21.43	%


Ratios to Average Net Assets^(d)
Total expenses		0.11	%		0.11	%		0.09	%		0.11	%^(e)		0.10	%


Total expenses after fees waived and/or reimbursed		0.05	%		0.05	%		0.05	%		0.05	%^(e)		0.05	%


Net investment income		2.23	%		1.97	%		2.81	%		2.57	%		2.73	%


Supplemental Data
Net assets, end of year (000)	$	4,988,085		$	3,567,402		$	2,388,475		$	1,420,616		$	1,086,096


Portfolio turnover rate		6	%^(f)		6	%^(g)		12	%^(h)		11	%^(h)		5	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes reorganization, offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.10% and 0.05%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		89

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2055 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	19.12		$	16.93		$	13.77		$	15.27		$	12.88


Net investment income^(a)		0.46			0.31			0.42			0.38			0.39
Net realized and unrealized gain (loss)		3.11			2.19			3.24			(1.56	)		2.35

Net increase (decrease) from investment operations		3.57			2.50			3.66			(1.18	)		2.74


Distributions^(b)
From net investment income		(0.43	)		(0.30	)		(0.44	)		(0.32	)		(0.35	)
From net realized gain		(0.02	)		(0.01	)		(0.06	)		—			—


Total distributions		(0.45	)		(0.31	)		(0.50	)		(0.32	)		(0.35	)


Net asset value, end of year	$	22.24		$	19.12		$	16.93		$	13.77		$	15.27


Total Return^(c)
Based on net asset value		18.76	%		15.03	%		26.75	%		(7.83	)%		21.38	%


Ratios to Average Net Assets^(d)
Total expenses		0.16	%		0.16	%		0.16	%		0.17	%		0.16	%


Total expenses after fees waived and/or reimbursed		0.10	%		0.09	%		0.09	%		0.09	%		0.09	%


Net investment income		2.15	%		1.89	%		2.70	%		2.49	%		2.73	%


Supplemental Data
Net assets, end of year (000)	$	114,774		$	89,290		$	76,250		$	60,993		$	52,487


Portfolio turnover rate		6	%^(e)		6	%^(f)		12	%^(g)		8	%^(g)		5	%^(g)

(a)	Based on average shares outstanding.

(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

(c)	Where applicable, assumes the reinvestment of distributions.

(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

(f)

(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


90		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2055 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	19.07		$	16.89		$	13.74		$	15.24		$	12.86


Net investment income^(a)		0.38			0.26			0.40			0.34			0.34
Net realized and unrealized gain (loss)		3.14			2.19			3.22			(1.55	)		2.35


Net increase (decrease) from investment operations		3.52			2.45			3.62			(1.21	)		2.69


Distributions^(b)
From net investment income		(0.38	)		(0.26	)		(0.41	)		(0.29	)		(0.31	)
From net realized gain		(0.02	)		(0.01	)		(0.06	)		—			—


Total distributions		(0.40	)		(0.27	)		(0.47	)		(0.29	)		(0.31	)


Net asset value, end of year	$	22.19		$	19.07		$	16.89		$	13.74		$	15.24


Total Return^(c)
Based on net asset value		18.51	%		14.72	%		26.46	%		(8.08	)%		21.05	%


Ratios to Average Net Assets^(d)
Total expenses		0.41	%		0.41	%		0.43	%		0.43	%		0.41	%


Total expenses after fees waived and/or reimbursed.		0.35	%		0.34	%		0.34	%		0.34	%		0.34	%


Net investment income		1.82	%		1.61	%		2.57	%		2.23	%		2.41	%


Supplemental Data
Net assets, end of year (000)	$	84,965		$	78,100		$	78,919		$	41,909		$	41,580


Portfolio turnover rate.		6	%^(e)		6	%^(f)		12	%^(g)		8	%^(g)		5	%^(g)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(f)

^(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		91

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2055 Fund (continued)

	Investor P

										Period from
		Year Ended December 31,									08/06/18	^(a)
	2021			2020			2019			to 12/31/18

Net asset value, beginning of period.	$	19.05		$	16.88		$	13.73		$	15.60

Net investment income^(b)		0.42			0.28			0.47			0.16
Net realized and unrealized gain (loss)		3.09			2.16			3.15			(1.87	)


Net increase (decrease) from investment operations		3.51			2.44			3.62			(1.71	)


Distributions^(c)
From net investment income		(0.38	)		(0.26	)		(0.41	)		(0.16	)
From net realized gain		(0.02	)		(0.01	)		(0.06	)		—


Total distributions		(0.40	)		(0.27	)		(0.47	)		(0.16	)


Net asset value, end of period	$	22.16		$	19.05		$	16.88		$	13.73


Total Return^(d)
Based on net asset value		18.50	%		14.69	%		26.54	%		(11.00	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.41	%		0.42	%		0.59	%		0.37	%^(g)(h)


Total expenses after fees waived and/or reimbursed		0.35	%		0.34	%		0.34	%		0.32	%^(g)(h)


Net investment income		1.97	%		1.74	%		2.99	%		2.63	%^(g)


Supplemental Data
Net assets, end of period (000)	$	6,407		$	3,826		$	1,866		$	209


Portfolio turnover rate		6	%⁽ⁱ⁾		6	%^(j)		12	%^(k)		8	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Offering and board realignment and consolidation costs were not annualized in the calculation of the expense ratios. If these expenses were annualized, the total expenses and total expenses after fees waived and/or reimbursed would have been 0.38% and 0.32%, respectively.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


92		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2055 Fund (continued)

	Class K

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	19.12		$	16.94		$	13.77		$	15.27		$	12.88


Net investment income^(a)		0.48			0.32			0.45			0.40			0.41
Net realized and unrealized gain (loss)		3.11			2.18			3.23			(1.57	)		2.33


Net increase (decrease) from investment operations		3.59			2.50			3.68			(1.17	)		2.74


Distributions^(b)
From net investment income		(0.44	)		(0.31	)		(0.45	)		(0.33	)		(0.35	)
From net realized gain		(0.02	)		(0.01	)		(0.06	)		—			—


Total distributions		(0.46	)		(0.32	)		(0.51	)		(0.33	)		(0.35	)


Net asset value, end of year.	$	22.25		$	19.12		$	16.94		$	13.77		$	15.27


Total Return^(c)
Based on net asset value.		18.87	%		15.02	%		26.89	%		(7.79	)%		21.43	%


Ratios to Average Net Assets^(d)
Total expenses.		0.11	%		0.11	%		0.09	%		0.11	%		0.10	%


Total expenses after fees waived and/or reimbursed		0.05	%		0.04	%		0.04	%		0.04	%		0.04	%


Net investment income		2.24	%		1.98	%		2.86	%		2.60	%		2.79	%


Supplemental Data
Net assets, end of year (000)	$	3,128,153		$	2,124,200		$	1,344,554		$	716,634		$	484,002


Portfolio turnover rate		6	%^(e)		6	%^(f)		12	%^(g)		8	%^(g)		5	%^(g)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(f)

^(g)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series, Total International ex U.S. Index Master Portfolio and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		93

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2060 Fund

	Institutional

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.02		$	15.06		$	12.19		$	13.50		$	11.36


Net investment income^(a)		0.42			0.29			0.44			0.36			0.39
Net realized and unrealized gain (loss)		2.77			1.93			2.80			(1.40	)		2.03


Net increase (decrease) from investment operations		3.19			2.22			3.24			(1.04	)		2.42


Distributions from net investment income^(b)		(0.39	)		(0.26	)		(0.37	)		(0.27	)		(0.28	)


Net asset value, end of year	$	19.82		$	17.02		$	15.06		$	12.19		$	13.50


Total Return^(c)
Based on net asset value		18.81	%		15.02	%		26.78	%		(7.82	)%		21.38	%


Ratios to Average Net Assets^(d)
Total expenses		0.16	%		0.18	%		0.29	%		0.37	%^(e)		0.54	%


Total expenses after fees waived and/or reimbursed.		0.10	%		0.09	%		0.09	%		0.09	%^(e)		0.09	%


Net investment income		2.23	%		1.96	%		3.11	%		2.68	%		3.05	%


Supplemental Data
Net assets, end of year (000)	$	38,667		$	22,343		$	11,132		$	2,773		$	1,021


Portfolio turnover rate.		6	%^(f)		6	%^(g)		11	%^(h)		13	%^(h)		1	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.34% and 0.09%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


94		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2060 Fund (continued)

	Investor A

	Year Ended December 31,

	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	16.98		$	15.03		$	12.17		$	13.48		$	11.35


Net investment income^(a)		0.35			0.25			0.37			0.31			0.36
Net realized and unrealized gain (loss)		2.78			1.93			2.83			(1.38	)		2.02


Net increase (decrease) from investment operations		3.13			2.18			3.20			(1.07	)		2.38


Distributions from net investment income^(b)		(0.34	)		(0.23	)		(0.34	)		(0.24	)		(0.25	)


Net asset value, end of year	$	19.77		$	16.98		$	15.03		$	12.17		$	13.48


Total Return^(c)
Based on net asset value		18.50	%		14.71	%		26.46	%		(8.04	)%		21.06	%


Ratios to Average Net Assets^(d)
Total expenses		0.41	%		0.44	%		0.57	%		0.61	%^(e)		0.74	%


Total expenses after fees waived and/or reimbursed.		0.35	%		0.34	%		0.34	%		0.34	%^(e)		0.34	%


Net investment income		1.88	%		1.71	%		2.66	%		2.29	%		2.85	%


Supplemental Data
Net assets, end of year (000)	$	20,045		$	14,564		$	11,358		$	4,371		$	2,950


Portfolio turnover rate.		6	%^(f)		6	%^(g)		11	%^(h)		13	%^(h)		1	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.58% and 0.34%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		95

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2060 Fund (continued)

	Investor P

										Period from
		Year Ended December 31,									08/06/18	^(a)
	2021			2020			2019			to 12/31/18

Net asset value, beginning of period	$	16.97		$	15.03		$	12.17		$	13.81

Net investment income^(b)		0.38			0.25			0.42			0.15
Net realized and unrealized gain (loss)		2.75			1.92			2.79			(1.65	)


Net increase (decrease) from investment operations		3.13			2.17			3.21			(1.50	)


Distributions from net investment income^(c)		(0.34	)		(0.23	)		(0.35	)		(0.14	)


Net asset value, end of period	$	19.76		$	16.97		$	15.03		$	12.17


Total Return^(d)
Based on net asset value		18.53	%		14.65	%		26.51	%		(10.92	)%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.41	%		0.44	%		0.65	%		0.47	%^(g)(h)(i)


Total expenses after fees waived and/or reimbursed		0.35	%		0.34	%		0.34	%		0.33	%^(g)(h)(i)


Net investment income		1.99	%		1.74	%		2.97	%		2.86	%^(g)


Supplemental Data
Net assets, end of period (000)	$	7,993		$	4,675		$	2,039		$	259


Portfolio turnover rate		6	%^(j)		6	%^(k)		11	%^(l)		13	%^(l)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Offering costs, board realignment and consolidation costs were not annualized in the calculation of the expense ratios. If these expenses were annualized, the total expenses and total expenses after fees waived and/or reimbursed would have been 0.49% and 0.33%, respectively.

⁽ⁱ⁾	Includes offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.46% and 0.33%, respectively.

^(j)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(k)

^(l)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


96		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2060 Fund (continued)

	Class K

	Year Ended December 31,
	2021			2020			2019			2018			2017

Net asset value, beginning of year	$	17.03		$	15.07		$	12.19		$	13.51		$	11.36

Net investment income^(a)		0.43			0.29			0.42			0.36			0.41
Net realized and unrealized gain (loss)		2.76			1.94			2.84			(1.40	)		2.02


Net increase (decrease) from investment operations		3.19			2.23			3.26			(1.04	)		2.43


Distributions from net investment income^(b)		(0.40	)		(0.27	)		(0.38	)		(0.28	)		(0.28	)


Net asset value, end of year	$	19.82		$	17.03		$	15.07		$	12.19		$	13.51


Total Return^(c)
Based on net asset value		18.80	%		15.06	%		26.92	%		(7.84	)%		21.51	%


Ratios to Average Net Assets^(d)
Total expenses.		0.11	%		0.13	%		0.15	%		0.24	%^(e)		0.48	%


Total expenses after fees waived and/or reimbursed		0.05	%		0.04	%		0.04	%		0.04	%^(e)		0.04	%


Net investment income		2.28	%		2.02	%		2.98	%		2.71	%		3.20	%


Supplemental Data
Net assets, end of year (000)	$	1,283,329		$	769,397		$	386,113		$	150,118		$	70,579


Portfolio turnover rate		6	%^(f)		6	%^(g)		11	%^(h)		13	%^(h)		1	%^(h)

^(a)	Based on average shares outstanding.

^(b)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(c)	Where applicable, assumes the reinvestment of distributions.

^(d)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(e)	Includes offering, and board realignment and consolidation costs. Without these costs, total expenses and total expenses after fees waived and/or reimbursed would have been 0.21% and 0.04%, respectively.

^(f)	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(g)

^(h)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		97

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2065 Fund

	Institutional

							Period from

	Year Ended December 31,						10/30/19^(a)
	2021			2020			to 12/31/19

Net asset value, beginning of period	$	11.92		$	10.48		$	10.00


Net investment income^(b)		0.33			0.23			0.11
Net realized and unrealized gain		1.90			1.36			0.46


Net increase from investment operations		2.23			1.59			0.57


Distributions from net investment income^(c)		(0.25	)		(0.15	)		(0.09	)


Net asset value, end of period	$	13.90		$	11.92		$	10.48


Total Return^(d)
Based on net asset value		18.74	%		15.43	%		5.71	%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.21	%		0.50	%		13.00	%^(g)(h)

Total expenses after fees waived and/or reimbursed		0.09	%		0.08	%		0.11	%^(g)

Net investment income		2.50	%		2.23	%		6.26	%^(g)


Supplemental Data
Net assets, end of period (000)	$	6,545		$	1,360		$	52


Portfolio turnover rate		9	%⁽ⁱ⁾		48	%^(j)		1	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Audit, offering and organization costs were not annualized in the calculation of expense ratios. If these expenses were annualized, the total expenses would have been 44.41%.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


98		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2065 Fund (continued)

	Investor A
							Period from
	Year Ended December 31,						10/30/19^(a)

	2021			2020			to 12/31/19

Net asset value, beginning of period.	$	11.92		$	10.48		$	10.00


Net investment income^(b)		0.28			0.22			0.11
Net realized and unrealized gain		1.92			1.35			0.46


Net increase from investment operations		2.20			1.57			0.57


Distributions from net investment income^(c)		(0.22	)		(0.13	)		(0.09	)


Net asset value, end of period	$	13.90		$	11.92		$	10.48


Total Return^(d)
Based on net asset value		18.48	%		15.14	%		5.67	%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.46	%		2.02	%		13.24	%^(g)(h)

Total expenses after fees waived and/or reimbursed		0.34	%		0.34	%		0.36	%^(g)

Net investment income		2.08	%		2.10	%		6.03	%^(g)


Supplemental Data
Net assets, end of period (000)	$	523		$	123		$	53


Portfolio turnover rate		9	%⁽ⁱ⁾		48	%^(j)		1	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Audit, offering and organization costs were not annualized in the calculation of expense ratios. If these expenses were annualized, the total expenses would have been 44.60%.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		99

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2065 Fund (continued)
	Investor P
							Period from
	Year Ended December 31,						10/30/19^(a)
	2021			2020			to 12/31/19

Net asset value, beginning of period.	$	11.91		$	10.48		$	10.00


Net investment income^(b)		0.36			0.20			0.11
Net realized and unrealized gain		1.84			1.36			0.46


Net increase from investment operations		2.20			1.56			0.57


Distributions from net investment income^(c)		(0.22	)		(0.13	)		(0.09	)


Net asset value, end of period	$	13.89		$	11.91		$	10.48


Total Return^(d)
Based on net asset value		18.52	%		15.12	%		5.67	%^(e)


Ratios to Average Net Assets^(f)
Total expenses		0.46	%		1.00	%		13.25	%^(g)(h)


Total expenses after fees waived and/or reimbursed		0.34	%		0.33	%		0.36	%^(g)

Net investment income		2.68	%		1.86	%		6.01	%^(g)


Supplemental Data
Net assets, end of period (000)	$	3,022		$	532		$	52


Portfolio turnover rate		9	%⁽ⁱ⁾		48	%^(j)		1	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, excludes the effects of any sales charges and assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Audit, offering and organization costs were not annualized in the calculation of expense ratios. If these expenses were annualized, the total expenses would have been 44.67%.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


100		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Financial Highlights (continued)

(For a share outstanding throughout each period)


	BlackRock LifePath^® Index 2065 Fund (continued)
	Class K
	Year Ended December 31,							Period from 10/30/19^(a)to 12/31/19
			2021			2020		Period from 10/30/19^(a)to 12/31/19
Net asset value, beginning of period		$	11.92		$	10.48		$	10.00

Net investment income^(b)			0.36			0.24			0.12
Net realized and unrealized gain			1.88			1.36			0.45

Net increase from investment operations			2.24			1.60			0.57

Distributions from net investment income^(c)			(0.25	)		(0.16	)		(0.09	)


Net asset value, end of period		$	13.91		$	11.92		$	10.48


Total Return^(d)
Based on net asset value			18.87	%		15.47	%		5.72	%^(e)


Ratios to Average Net Assets^(f)
Total expenses			0.16	%		0.79	%		11.12	%^(g)(h)

Total expenses after fees waived and/or reimbursed			0.04	%		0.03	%		0.06	%^(g)

Net investment income			2.67	%		2.32	%		7.08	%^(g)


Supplemental Data
Net assets, end of period (000)		$	123,833		$	23,104		$	1,940

Portfolio turnover rate			9	%⁽ⁱ⁾		48	%^(j)		1	%^(k)

^(a)	Commencement of operations.

^(b)	Based on average shares outstanding.

^(c)	Distributions for annual periods determined in accordance with U.S. federal income tax regulations.

^(d)	Where applicable, assumes the reinvestment of distributions.

^(e)	Aggregate total return.

^(f)	Excludes fees and expenses incurred indirectly as a result of investments in underlying funds.

^(g)	Annualized.

^(h)	Audit, offering and organization costs were not annualized in the calculation of expense ratios. If these expenses were annualized, the total expenses would have been 35.79%.

⁽ⁱ⁾	Includes the purchases and sales of the underlying funds and the Underlying Master Portfolios.

^(j)

^(k)	Includes the LifePath Index Master Portfolio’s purchases and sales of the underlying funds and Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio.

See notes to financial statements.


F I N A N C I A L H I G H L I G H T S		101

Notes to Financial Statements

1.	*ORGANIZATION*

BlackRock Funds III (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Trust is organized as a Delaware statutory trust. The following, each of which is a series of the Trust, are referred to herein collectively as the “Funds” or individually as a “Fund”:



Fund Name	Herein Referred To As		Diversification Classification

BlackRock LifePath^® Index Retirement Fund.		LifePath Index Retirement Fund		Diversified
BlackRock LifePath^® Index 2025 Fund		LifePath Index 2025 Fund		Diversified
BlackRock LifePath^® Index 2030 Fund		LifePath Index 2030 Fund		Diversified
BlackRock LifePath^® Index 2035 Fund		LifePath Index 2035 Fund		Diversified
BlackRock LifePath^® Index 2040 Fund		LifePath Index 2040 Fund		Diversified
BlackRock LifePath^® Index 2045 Fund		LifePath Index 2045 Fund		Diversified
BlackRock LifePath^® Index 2050 Fund		LifePath Index 2050 Fund		Diversified
BlackRock LifePath^® Index 2055 Fund		LifePath Index 2055 Fund		Diversified
BlackRock LifePath^® Index 2060 Fund		LifePath Index 2060 Fund		Diversified
BlackRock LifePath^® Index 2065 Fund		LifePath Index 2065 Fund		Diversified

As of period end, the investment of LifePath Index Retirement Fund, LifePath Index 2025 Fund, LifePath Index 2030 Fund, LifePath Index 2035 Fund, LifePath Index 2040 Fund, LifePath Index 2045 Fund, LifePath Index 2050 Fund, LifePath Index 2055 Fund, LifePath Index 2060 Fund and LifePath Index 2065 Fund in Large Cap Index Master Portfolio represented 20.9%, 25.9%, 33.0%, 39.7%, 46.0%, 50.7%, 53.6%, 54.1%, 54.1% and 54.1%, respectively, of net assets. The investment of LifePath Index Retirement Fund, LifePath Index 2025 Fund, LifePath Index 2030 Fund, LifePath Index 2035 Fund, LifePath Index 2040 Fund, LifePath Index 2045 Fund, LifePath Index 2050 Fund, LifePath Index 2055 Fund, LifePath Index 2060 Fund and LifePath Index 2065 Fund in U.S. Total Bond Index Master Portfolio represented 51.9%, 44.0%, 32.8%, 22.4%, 13.1%, 5.6%, 1.5%, 0.8%, 0.9% and 1.0%, respectively, of net assets. As such, financial statements of Large Cap Index Master Portfolio and U.S. Total Bond Index Master Portfolio, including the Schedules of Investments, should be read in conjunction with each respective Fund’s financial statements. Large Cap Index Master Portfolio’s and U.S. Total Bond Index Master Portfolio’s financial statements are available, without charge, on the U.S. Securities and Exchange Commission’s (“SEC’s”) website at sec.gov.

The Funds will generally invest in other registered investment companies (each, an “Underlying Fund” and collectively, the “Underlying Funds”) that are managed by subsidiaries of BlackRock, Inc. (“BlackRock”) and its affiliates, which are affiliates of the Funds. The Funds may also invest in other master portfolios (“Underlying Master Portfolios”) that are managed by subsidiaries of BlackRock.

The value of a Fund’s investment in each of Large Cap Index Master Portfolio, Master Small Cap Index Series and U.S. Total Bond Index Master Portfolio reflects that Fund’s proportionate interest in the net assets of that master portfolio. As of period end, the Funds held interests in Underlying Master Portfolios as follows:



Fund Name	Large Cap Index Master Portfolio			Master Small Cap Index Series			U.S. Total Bond Index Master Portfolio

LifePath Index Retirement Fund		7.8	%		7.1	%		26.9	%
LifePath Index 2025 Fund		7.4			4.7			17.6
LifePath Index 2030 Fund		15.5			5.9			21.4
LifePath Index 2035 Fund		11.9			2.6			9.4
LifePath Index 2040 Fund		18.5			2.3			7.3
LifePath Index 2045 Fund		12.0			1.3			1.8
LifePath Index 2050 Fund		12.9			1.2			0.5
LifePath Index 2055 Fund		7.4			0.7			0.2
LifePath Index 2060 Fund		3.0			0.3			0.1
LifePath Index 2065 Fund		0.3			—^(a)			—^(a)

^(a)

Amount is less than 0.1%.

Prior to March 2, 2020, each Fund was a “feeder” fund that invested all of its assets in a corresponding “master” portfolio (each, a “Master Portfolio”) of Master Investment Portfolio (“MIP”), each of which had the same objective and strategies as the applicable Fund. Each Fund sought to achieve its investment objective by investing all of its assets in a corresponding Master Portfolio: LifePath Index Retirement Master Portfolio, LifePath Index 2025 Master Portfolio, LifePath Index 2030 Master Portfolio, LifePath Index 2035 Master Portfolio, LifePath Index 2040 Master Portfolio, LifePath Index 2045 Master Portfolio, LifePath Index 2050 Master Portfolio, LifePath Index 2055 Master Portfolio, LifePath Index 2060 Master Portfolio and LifePath Index 2065 Master Portfolio (each, a “Master Portfolio” and together, the “Master Portfolios”). The value of each Fund’s investment in its corresponding Master Portfolio reflected the Fund’s proportionate interest in the net assets of the Master Portfolio. The performance of the Funds was directly affected by the performance of the Master Portfolios. As of March 2, 2020, the percentage of each Master Portfolio owned by the corresponding Fund was 100%.


102		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Notes to Financial Statements (continued)

On March 2, 2020 each Fund ceased to invest in its corresponding Master Portfolio as part of a “master-feeder” structure and began to operate as a stand-alone fund. The change into a stand-alone structure did not result to a change in net assets of the Fund and did not create a taxable event for the Fund.

Each Fund offers multiple classes of shares. All classes of shares have identical voting, dividend, liquidation and other rights and are subject to the same terms and conditions, except that certain classes bear expenses related to the shareholder servicing and distribution of such shares. Institutional and Class K Shares are sold without a sales charge and only to certain eligible investors. Investor A and Investor P Shares bear certain expenses related to shareholder servicing of such shares. Investor A Shares are generally available through financial intermediaries. Investor P Shares are only available through registered representatives of an insurance company’s broker-dealer that has entered into an agreement with the Fund’s distributor to offer such shares. Each class has exclusive voting rights with respect to matters relating to its shareholder servicing and distribution expenditures.



Share Class	Initial Sales Charge	CDSC			Conversion Privilege

Institutional, Investor A and Class K Shares	No		No		None
Investor P Shares	Yes		No	^(a)	None

(a)

Investor P Shares may be subject to a contingent deferred sales charge (“CDSC”) for certain redemptions where no initial sales charge was paid at the time of purchase.

The Funds, together with certain other registered investment companies advised by BlackRock Fund Advisors (“BFA” or the “Manager”) or its affiliates, are included in a complex of open-end equity, multi-asset, index and money market funds referred to as the BlackRock Multi-Asset Complex.

2.	*SIGNIFICANT ACCOUNTING POLICIES*

The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. Below is a summary of significant accounting policies:

Investment Transactions and Income Recognition: For financial reporting purposes, investment transactions are recorded on the dates the transactions are executed. Realized gains and losses on investment transactions are determined using the specific identification method. Dividend income and capital gain distributions, if any, are recorded on the ex-dividend dates. Non-cash dividends, if any, are recorded on the ex-dividend dates at fair value. Income, expenses and realized and unrealized gains and losses are allocated daily to each class based on its relative net assets.

Each Fund records daily its proportionate share of the Underlying Master Portfolios’ income, expenses and realized and unrealized gains and losses.

Distributions: Distributions paid by the Funds are recorded on the ex-dividend dates. Distributions from net investment income are declared and paid quarterly. Distributions of capital gains are recorded on the ex-dividend dates and made at least annually. The character and timing of distributions are determined in accordance with U.S. federal income tax regulations, which may differ from U.S. GAAP.

Indemnifications: In the normal course of business, a Fund enters into contracts that contain a variety of representations that provide general indemnification. A Fund’s maximum exposure under these arrangements is unknown because it involves future potential claims against a Fund, which cannot be predicted with any certainty.

Other: Expenses directly related to a Fund or its classes are charged to that Fund or the applicable class. Expenses directly related to the Funds and other shared expenses prorated to the Funds are allocated daily to each class based on their relative net assets or other appropriate methods. Other operating expenses shared by several funds, including other funds managed by the Manager, are prorated among those funds on the basis of relative net assets or other appropriate methods.

3.	*INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS*

Investment Valuation Policies: Each Fund’s investments are valued at fair value (also referred to as “market value” within the financial statements) each day that the Fund is open for business and, for financial reporting purposes, as of the report date. U.S. GAAP defines fair value as the price a fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. Each Fund determines the fair values of its financial instruments using various independent dealers or pricing services under policies approved by the Board of Trustees of the Fund (the “Board”). If a security’s market price is not readily available or does not otherwise accurately represent the fair value of the security, the security will be valued in accordance with a policy approved by the Board as reflecting fair value. The BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) is the committee formed by management to develop global pricing policies and procedures and to oversee the pricing function for all financial instruments.

Fair Value Inputs and Methodologies: The following methods and inputs are used to establish the fair value of each Fund’s assets and liabilities:

•

Exchange-traded funds (“ETFs”) and closed-end funds traded on a recognized securities exchange are valued at that day’s official closing price, as applicable, on the exchange where the stock is primarily traded. ETFs and closed-end funds traded on a recognized exchange for which there were no sales on that day may be valued at the last available bid (long positions) or ask (short positions) price.

•

Investments in open-end U.S. mutual funds (including money market funds) are valued at that day’s published net asset value (“NAV”).

•

The Funds record their proportionate investment in the Underlying Master Portfolios at fair value, which is based upon their pro rata ownership in the net assets of the Underlying Master Portfolios.


N O T E S T O F I N A N C I A L S T A T E M E N T S		103

Notes to Financial Statements (continued)

If events (e.g., market volatility, company announcement or a natural disaster) occur that are expected to materially affect the value of such investment, or in the event that application of these methods of valuation results in a price for an investment that is deemed not to be representative of the market value of such investment, or if a price is not available, the investment will be valued by the Global Valuation Committee, or its delegate, in accordance with a policy approved by the Board as reflecting fair value (“Fair Valued Investments”). The fair valuation approaches that may be used by the Global Valuation Committee include market approach, income approach and cost approach. Valuation techniques such as discounted cash flow, use of market comparables and matrix pricing are types of valuation approaches and are typically used in determining fair value. When determining the price for Fair Valued Investments, the Global Valuation Committee, or its delegate, seeks to determine the price that each Fund might reasonably expect to receive or pay from the current sale or purchase of that asset or liability in an arm’s-length transaction. Fair value determinations shall be based upon all available factors that the Global Valuation Committee, or its delegate, deems relevant and consistent with the principles of fair value measurement. The pricing of all Fair Valued Investments is subsequently reported to the Board or a committee thereof on a quarterly basis.

Fair Value Hierarchy: Various inputs are used in determining the fair value of 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 price quotations in active markets/exchanges for identical assets or liabilities that each Fund 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); and

•

Level 3 – Unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Global Valuation Committee’s assumptions used in determining the fair value of financial instruments).

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds that may not have a secondary market and/or may have a limited number of investors. The categorization of a value determined for financial instruments is based on the pricing transparency of the financial instruments and is not necessarily an indication of the risks associated with investing in those securities.

As of December 31, 2021, certain investments of the Funds were fair valued using NAV per share as no quoted market value is available and therefore have been excluded from the fair value hierarchy.

4.	*SECURITIES AND OTHER INVESTMENTS*

Securities Lending: Certain Funds may lend their securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Funds collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. Government. The initial collateral received by each Fund is required to have a value of at least 102% of the current value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current market value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Fund and any additional required collateral is delivered to the Fund, or excess collateral returned by the Fund, on the next business day. During the term of the loan, the Funds are entitled to all distributions made on or in respect of the loaned securities, but do not receive interest income on securities received as collateral. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions.

As of period end, any securities on loan were collateralized by cash and/or U.S. Government obligations. Cash collateral invested by the securities lending agent, BlackRock Institutional Trust Company, N.A. (“BTC”), if any, is disclosed in the Schedules of Investments. Any non-cash collateral received cannot be sold, re-invested or pledged by the Fund, except in the event of borrower default. The securities on loan, if any, are disclosed in the Funds’ Schedules of Investments. The market value of any securities on loan and the value of any related collateral are shown separately in the Statements of Assets and Liabilities as a component of investments at value – affiliated and collateral on securities loaned at value, respectively.

Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements (each, an “MSLA”), which provide the right, in the event of default (including bankruptcy or insolvency), for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, the Funds, as lender, would offset the market value of the collateral received against the market value of the securities loaned. When the value of the collateral is greater than that of the market value of the securities loaned, the lender is left with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty’s bankruptcy or insolvency. Under the MSLA, absent an event of default, the borrower can resell or re-pledge the loaned securities, and the Funds can reinvest cash collateral received in connection with loaned securities. Upon an event of default, the parties’ obligations to return the securities or collateral to the other party are extinguished, and the parties can resell or re-pledge the loaned securities or the collateral received in connection with the loaned securities in order to satisfy the defaulting party’s net payment obligation for all transactions under the MSLA. The defaulting party remains liable for any deficiency.


104		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Notes to Financial Statements (continued)

As of period end, the following table is a summary of the Funds’ securities on loan by counterparty which are subject to offset under an MSLA:




LifePath Index Fund Name/Counterparty		Securities Loaned at Value		Cash Collateral Received	^(a)		Non-Cash Collateral Received at Fair Value	^(a)		Net Amount


LifePath Index Retirement Fund
J.P. Morgan Securities LLC	$	1,418,800	$	(1,418,800	)	$	—		$	—
UBS AG		24,883,920		(24,883,920	)		—			—

	$	26,302,720	$	(26,302,720	)	$	—		$	—


LifePath Index 2025 Fund
UBS AG	$	12,842,480	$	(12,842,480	)	$	—		$	—
UBS Securities LLC		12,920		(12,920	)		—			—

	$	12,855,400	$	(12,855,400	)	$	—		$	—


LifePath Index 2035 Fund
BofA Securities, Inc	$	276,666	$	(276,666	)	$	—		$	—
J.P. Morgan Securities LLC		32,689,152		(32,689,152	)		—			—
Morgan Stanley & Co. LLC		15,950,504		(15,950,504	)		—			—
UBS Securities LLC		8,359,754		(8,359,754	)		—			—
Virtu Americas LLC		1,440,082		(1,440,082	)		—			—
Wells Fargo Securities LLC		141,880		(141,880	)		—			—

	$	58,858,038	$	(58,858,038	)	$	—		$	—


LifePath Index 2040 Fund
BNP Paribas SA	$	248,290	$	(248,290	)	$	—		$	—
BofA Securities, Inc		57,207,214		(57,207,214	)		—			—
Morgan Stanley & Co. LLC		1,028,630		(1,028,630	)		—			—
UBS AG		28,376		(28,376	)		—			—
UBS Securities LLC		63,846		(63,846	)		—			—

	$	58,576,356	$	(58,576,356	)	$	—		$	—


LifePath Index 2045 Fund
J.P. Morgan Securities LLC	$	14,585,264	$	(14,585,264	)	$	—		$	—


LifePath Index 2050 Fund
BofA Securities, Inc	$	3,873,324	$	(3,873,324	)	$	—		$	—
J.P. Morgan Securities LLC		31,774,026		(31,774,026	)		—			—
UBS Securities LLC		206,720		(206,720	)		—			—

	$	35,854,070	$	(35,854,070	)	$	—		$	—


LifePath Index 2060 Fund
BofA Securities, Inc	$	64,626,340	$	(64,626,340	)	$	—		$	—

^(a)

Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund’s Statements of Assets and Liabilities.

The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Funds benefit from a borrower default indemnity provided by BlackRock. BlackRock’s indemnity allows for full replacement of the securities loaned to the extent the collateral received does not cover the value on the securities loaned in the event of borrower default. Each Fund could incur a loss if the value of an investment purchased with cash collateral falls below the market value of loaned securities or if the value of an investment purchased with cash collateral falls below the value of the original cash collateral received. Such losses are borne entirely by the Funds.

5.	*INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES*

Investment Advisory: The Trust, on behalf of the Funds, entered into an Investment Advisory Agreement with BFA, the Funds’ investment adviser and an indirect, wholly-owned subsidiary of BlackRock, to provide investment advisory services. The Manager is responsible for the management of each Fund’s portfolio and provides the personnel, facilities, equipment and certain other services necessary to the operations of each Fund.

For such services, each Fund pays the Manager a monthly fee at an annual rate equal to 0.05% of the average daily value of each Fund’s net assets.

Service Fees: The Trust, on behalf of the Funds, entered into a Distribution Agreement and a Distribution and Service Plan with BlackRock Investments, LLC (“BRIL”), an affiliate of the Manager. Pursuant to the Distribution and Service Plan and in accordance with Rule 12b-1 under the 1940 Act, each Fund pays BRIL ongoing service fees. The fees are accrued daily and paid monthly at an annual rate of 0.25% based upon the average daily net assets of each Fund’s Investor A and Investor P Shares.

BRIL and broker-dealers, pursuant to sub-agreements with BRIL, provide shareholder servicing to the Funds. The ongoing service fee compensates BRIL and each broker-dealer for providing shareholder servicing related services to shareholders.


N O T E S T O F I N A N C I A L S T A T E M E N T S		105

Notes to Financial Statements (continued)

For the year ended December 31, 2021, the following table shows the class specific service fees borne directly by each share class of each Fund:



Fund Name	Investor A		Investor P		Total

LifePath Index Retirement Fund	$	628,989	$	6,485,840	$ 7,114,829
LifePath Index 2025 Fund		413,492		203,975	617,467
LifePath Index 2030 Fund		631,176		5,420,461	6,051,637
LifePath Index 2035 Fund		424,526		81,833	506,359
LifePath Index 2040 Fund		464,572		4,331,724	4,796,296
LifePath Index 2045 Fund		330,280		26,680	356,960
LifePath Index 2050 Fund		310,425		1,411,388	1,721,813
LifePath Index 2055 Fund		214,964		12,918	227,882
LifePath Index 2060 Fund		47,637		15,981	63,618
LifePath Index 2065 Fund		858		3,423	4,281

Administration: The Trust, on behalf of the Funds, entered into an Administration Agreement with BlackRock Advisors, LLC (“BAL” or the “Administrator”), an indirect, wholly-owned subsidiary of BlackRock, to provide general administrative services (other than investment advice and related portfolio activities). BAL has agreed to bear all of the Funds’ ordinary operating expenses, excluding, generally, investment advisory fees, distribution fees, brokerage and other expenses related to the execution of portfolio transactions, extraordinary expenses and certain other expenses which are borne by the Funds. BAL may delegate certain of its administration duties to sub-administrators. BAL is entitled to receive for these administrative services an annual fee of 0.09% based on the average daily net assets of each Fund’s Institutional, Investor A and Investor P Shares and 0.04% of the average daily net assets of each Fund’s Class K Shares.

From time to time, BAL may waive such fees in whole or in part. Any such waiver will reduce the expenses of the Funds and, accordingly, have a favorable impact on their performance. BAL may delegate certain of its administration duties to sub-administrators.

For the year ended December 31, 2021, the following table shows the class specific administration fees borne directly by each share class of each Fund:



Fund Name	Institutional		Investor A		Investor P		Class K		Total

LifePath Index Retirement Fund	$	483,849	$	226,436	$	2,334,903	$	2,244,858	$	5,290,046
LifePath Index 2025 Fund		202,551		148,857		73,431		2,440,396		2,865,235
LifePath Index 2030 Fund		578,944		227,223		1,951,366		3,026,601		5,784,134
LifePath Index 2035 Fund		163,963		152,829		29,460		2,464,448		2,810,700
LifePath Index 2040 Fund		626,511		167,246		1,559,421		2,548,488		4,901,666
LifePath Index 2045 Fund		132,115		118,901		9,605		1,929,891		2,190,512
LifePath Index 2050 Fund		131,120		111,753		508,100		1,753,661		2,504,634
LifePath Index 2055 Fund		93,351		77,387		4,650		1,071,997		1,247,385
LifePath Index 2060 Fund		28,510		17,149		5,754		421,245		472,658
LifePath Index 2065 Fund		3,623		309		1,232		26,007		31,171

Transfer Agent: Pursuant to written agreements, certain financial intermediaries, some of which may be affiliates, provide the Funds with sub-accounting, recordkeeping, sub-transfer agency and other administrative services with respect to servicing of underlying investor accounts. For these services, these entities receive an asset-based fee or an annual fee per shareholder account, which will vary depending on share class and/or net assets. For the year ended December 31, 2021, the Funds did not pay any amounts to affiliates in return for these services.

Other Fees: For the year ended December 31, 2021, affiliates earned underwriting discounts, direct commissions and dealer concessions on sales of each Fund’s Investor P Shares as follows:



Fund Name		Investor P

LifePath Index Retirement Fund		$ 169,870
LifePath Index 2025 Fund		62,989
LifePath Index 2030 Fund		143,729
LifePath Index 2035 Fund		24,329
LifePath Index 2040 Fund		153,716
LifePath Index 2045 Fund		5,616
LifePath Index 2050 Fund		67,159
LifePath Index 2055 Fund		3,617
LifePath Index 2060 Fund		5,022
LifePath Index 2065 Fund		3,292

For the year ended December 31, 2021, affiliates received CDSCs as follows:



Fund Name		Investor P

LifePath Index Retirement Fund		$ 1,055
LifePath Index 2025 Fund		28
LifePath Index 2030 Fund		59
LifePath Index 2040 Fund		20
LifePath Index 2050 Fund		50
LifePath Index 2065 Fund		21


106		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Notes to Financial Statements (continued)

Expense Waivers and Reimbursements: With respect to each Fund, the Manager has contractually agreed to waive its investment advisory fees by the amount of investment advisory fees each Fund pays to BFA indirectly through its investment in affiliated money market funds (the “affiliated money market fund waiver”) through June 30, 2023. The contractual agreement may be terminated upon 90 days’ notice by a majority of the trustees who are not “interested persons” of the Funds, as defined in the 1940 Act (“Independent Trustees”), or by a vote of a majority of the outstanding voting securities of the Funds. These amounts are included in fees waived and/or reimbursed by the Administrator/Manager in the Statements of Operations. For the year ended December 31, 2021, the amounts waived were as follows:



Fund Name		Fees Waived and/or Reimbursed by the Administrator/Manager

LifePath Index Retirement Fund.		$ 8,475
LifePath Index 2025 Fund		9,925
LifePath Index 2030 Fund		16,539
LifePath Index 2035 Fund		11,728
LifePath Index 2040 Fund		14,156
LifePath Index 2045 Fund		9,553
LifePath Index 2050 Fund		9,542
LifePath Index 2055 Fund		5,854
LifePath Index 2060 Fund		2,625
LifePath Index 2065 Fund		331

The Manager and Administrator have contractually agreed to reimburse each Fund for acquired fund fees and expenses up to a maximum amount equal to the combined investment advisory fee and administration fee of each share class through June 30, 2023. The contractual agreement may be terminated upon 90 days’ notice by a majority of the Independent Trustees, or by a vote of a majority of the outstanding voting securities of the Funds. These amounts are included in fees waived and/or reimbursed by the Administrator/Manager in the Statements of Operations. For the year ended December 31, 2021, the amounts waived in investment advisory fees pursuant to these arrangements were as follows:



LifePath Index Fund Name	Fees Waived and/or Reimbursed by the Administrator/Manager

LifePath Index Retirement Fund.	$	4,852,852
LifePath Index 2025 Fund		3,680,518
LifePath Index 2030 Fund		6,184,781
LifePath Index 2035 Fund		3,935,814
LifePath Index 2040 Fund		5,449,670
LifePath Index 2045 Fund		3,133,477
LifePath Index 2050 Fund		3,171,172
LifePath Index 2055 Fund		1,750,353
LifePath Index 2060 Fund		679,241
LifePath Index 2065 Fund		46,878

The fees and expenses of the Funds’ Independent Trustees, counsel to the Independent Trustees and the Funds’ independent registered public accounting firm (together, the “independent expenses”) are paid directly by the Funds. BAL and BFA has contractually agreed to reimburse the Funds or provide an offsetting credit for such Independent Expenses through June 30, 2031. These amounts are included in fees waived and/or reimbursed by the Administrator/Manager in the Statements of Operations. For the year ended December 31, 2021, the amounts waived were as follows:



Fund Name	Fees Waived and/or Reimbursed by the Administrator/Manager

LifePath Index Retirement Fund.	$	100,118
LifePath Index 2025 Fund		98,544
LifePath Index 2030 Fund		126,767
LifePath Index 2035 Fund		113,323
LifePath Index 2040 Fund		97,206
LifePath Index 2045 Fund		88,057
LifePath Index 2050 Fund		87,440
LifePath Index 2055 Fund		61,374
LifePath Index 2060 Fund		51,210
LifePath Index 2065 Fund		36,216

Securities Lending: The SEC has issued an exemptive order which permits BTC, an affiliate of the Manager, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending, including any custodial costs. The Funds are responsible for fees in connection with the investment of cash collateral received for securities on loan (the “collateral investment fees”). The cash collateral is invested in a money market fund, BlackRock Cash Funds: Institutional or BlackRock Cash Funds: Treasury, managed by the Manager or its affiliates. However, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees the Funds bear to an annual rate of 0.04%. The SL Agency Shares of such money market fund will not be subject to a sales load, distribution fee or service fee. The money market fund in which the cash collateral has been invested may, under certain circumstances, impose a liquidity fee of up to 2% of the value redeemed or temporarily restrict redemptions for up to 10 business days during a 90 day period, in the event that the money market fund’s weekly liquid assets fall below certain thresholds.


N O T E S T O F I N A N C I A L S T A T E M E N T S		107

Notes to Financial Statements (continued)

Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. Each Fund retains a portion of securities lending income and remits a remaining portion to BTC as compensation for its services as securities lending agent.

Pursuant to the current securities lending agreement, each Fund retains 82% of securities lending income (which excludes collateral investment fees), and this amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

In addition, commencing the business day following the date that the aggregate securities lending income earned across the BlackRock Multi-Asset Complex in a calendar year exceeds a specified threshold, each Fund, pursuant to the securities lending agreement, will retain for the remainder of that calendar year securities lending income in an amount equal to 85% of securities lending income (which excludes collateral investment fees), and this amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees.

The share of securities lending income earned by each Fund is shown as securities lending income — affiliated — net in the Statements of Operations. For the year ended December 31, 2021, each Fund paid BTC the following amounts for securities lending agent services:



Fund Name		Amounts

LifePath Index Retirement Fund		$ 7,891
LifePath Index 2025 Fund.		11,816
LifePath Index 2030 Fund		31,509
LifePath Index 2035 Fund		29,452
LifePath Index 2040 Fund		22,229
LifePath Index 2045 Fund		22,819
LifePath Index 2050 Fund		13,509
LifePath Index 2055 Fund		6,559
LifePath Index 2060 Fund		7,010
LifePath Index 2065 Fund		1,420

Interfund Lending: In accordance with an exemptive order (the “Order”) from the SEC, each Fund may participate in a joint lending and borrowing facility for temporary purposes (the “Interfund Lending Program”), subject to compliance with the terms and conditions of the Order, and to the extent permitted by each Fund’s investment policies and restrictions. Each Fund is currently permitted to borrow and lend under the Interfund Lending Program.

A lending BlackRock fund may lend in aggregate up to 15% of its net assets but may not lend more than 5% of its net assets to any one borrowing fund through the Interfund Lending Program. A borrowing BlackRock fund may not borrow through the Interfund Lending Program or from any other source more than 33 1/3% of its total assets (or any lower threshold provided for by the fund’s investment restrictions). If a borrowing BlackRock fund’s total outstanding borrowings exceed 10% of its total assets, each of its outstanding interfund loans will be subject to collateralization of at least 102% of the outstanding principal value of the loan. All interfund loans are for temporary or emergency purposes and the interest rate to be charged will be the average of the highest current overnight repurchase agreement rate available to a lending fund and the bank loan rate, as calculated according to a formula established by the Board.

During the year ended December 31, 2021, the Funds did not participate in the Interfund Lending Program.

Trustees and Officers: Certain trustees and/or officers of the Trust are directors and/or officers of BlackRock or its affiliates.

Other Transactions: Each Fund may invest its positive cash balances in certain money market funds managed by the Manager or an affiliate. The income earned on these temporary cash investments is shown as income-affiliated in the Statements of Operations.

The Funds may purchase securities from, or sell securities to, an affiliated fund provided the affiliation is due solely to having a common investment adviser, common officers, or common trustees. For the year ended December 31, 2021, the purchase and sale transactions and any net realized gains (losses) with affiliated funds in compliance with Rule 17a-7 under the 1940 Act were as follows:




LifePath Index Fund Name	Purchases		Sales		Net Realized Gain (Loss)


LifePath Index Retirement Fund	$	13,447,163	$	3,716,120	$	354,984
LifePath Index 2025 Fund		—		11,425,579		(127,944	)
LifePath Index 2030 Fund		—		6,533,699		(119,905	)
LifePath Index 2035 Fund		227,364		11,387,870		(619,810	)
LifePath Index 2040 Fund		633,918		—		—
LifePath Index 2045 Fund		2,874,247		—		—
LifePath Index 2050 Fund		10,029,882		—		—
LifePath Index 2055 Fund		1,954,982		—		—
LifePath Index 2060 Fund		6,630,091		2,058,278		(108,121	)


108		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Notes to Financial Statements (continued)

6.	*PURCHASES AND SALES*

For the year ended December 31, 2021, purchases and sales of investments in the Underlying Funds and the Underlying Master Portfolios, excluding short-term investments, were as follows:



LifePath Index Fund Name	Purchases		Sales

LifePath Index Retirement Fund	$	789,898,806	$	923,197,437
LifePath Index 2025 Fund		1,301,311,272		740,162,550
LifePath Index 2030 Fund		1,901,515,654		983,864,086
LifePath Index 2035 Fund		1,628,034,788		589,683,716
LifePath Index 2040 Fund		1,489,687,486		652,250,360
LifePath Index 2045 Fund		1,180,812,810		342,158,202
LifePath Index 2050 Fund		1,056,461,183		303,070,604
LifePath Index 2055 Fund		782,403,575		165,829,086
LifePath Index 2060 Fund		446,652,719		62,258,660
LifePath Index 2065 Fund		106,736,602		6,351,117

7.	*INCOME TAX INFORMATION*

It is each Fund’s policy to comply with the requirements of the Internal Revenue Code of 1986, as amended, applicable to regulated investment companies, and to distribute substantially all of its taxable income to its shareholders. Therefore, no U.S. federal income tax provision is required.

Each Fund files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on each Fund’s U.S. federal tax returns generally remains open for a period of three fiscal years after they are filed. The statutes of limitations on each Fund’s state and local tax returns may remain open for an additional year depending upon the jurisdiction.

Management has analyzed tax laws and regulations and their application to the Funds as of December 31, 2021, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the Funds’ financial statements.

The tax character of distributions paid was as follows:



Fund Name	Year Ended 12/31/21		Year Ended 12/31/20
LifePath Index Retirement Fund
Ordinary income	$	200,209,120	$	194,830,533
Long-term capital gains		52,858,441		24,317,535

	$	253,067,561	$	219,148,068

LifePath Index 2025 Fund
Ordinary income	$	147,248,029	$	119,803,166
Long-term capital gains		24,577,216		4,781,050

	$	171,825,245	$	124,584,216

LifePath Index 2030 Fund
Ordinary income	$	248,476,242	$	168,762,322
Long-term capital gains		38,494,037		954,013

	$	286,970,279	$	169,716,335

LifePath Index 2035 Fund
Ordinary income	$	156,838,083	$	93,925,157
Long-term capital gains		12,862,754		770,402

	$	169,700,837	$	94,695,559

LifePath Index 2040 Fund
Ordinary income	$	209,581,940	$	122,442,537
Long-term capital gains		19,016,361		687,174

	$	228,598,301	$	123,129,711

LifePath Index 2045 Fund
Ordinary income	$	119,639,618	$	65,119,488
Long-term capital gains		10,980,886		542,280

	$	130,620,504	$	65,661,768

LifePath Index 2050 Fund
Ordinary income	$	118,911,237	$	65,848,266
Long-term capital gains		4,161,410		467,271

	$	123,072,647	$	66,315,537


N O T E S T O F I N A N C I A L S T A T E M E N T S		109

Notes to Financial Statements (continued)



Fund Name	Year Ended 12/31/21		Year Ended 12/31/20
LifePath Index 2055 Fund
Ordinary income	$	65,970,226	$	34,547,160
Long-term capital gains		—		212,216


	$	65,970,226	$	34,759,376

LifePath Index 2060 Fund
Ordinary income	$	25,367,825	$	11,160,705

LifePath Index 2065 Fund
Ordinary income	$	1,890,207	$	211,909

As of December 31, 2021, the tax components of accumulated earnings (loss) were as follows:



Fund Name	Undistributed Ordinary Income		Undistributed Long-Term Capital Gains		Non-Expiring Capital Loss Carryforwards^(a)			Net Unrealized Gains (Losses)^(b)		Total
LifePath Index Retirement Fund	$	549,266	$	11,896,608	$	—		$	1,899,790,740	$	1,912,236,614
LifePath Index 2025 Fund		450,906		2,415,050		—			1,443,973,579		1,446,839,535
LifePath Index 2030 Fund		1,024,639		13,467,808		—			2,742,286,085		2,756,778,532
LifePath Index 2035 Fund		304,286		7,274,176		—			1,814,998,817		1,822,577,279
LifePath Index 2040 Fund		1,225,280		12,078,058		—			2,813,630,003		2,826,933,341
LifePath Index 2045 Fund		420,958		222,914		—			1,622,441,659		1,623,085,531
LifePath Index 2050 Fund		2,794,648		5,582,120		—			1,722,923,760		1,731,300,528
LifePath Index 2055 Fund		2,039,236		2,610,467		—			901,295,054		905,944,757
LifePath Index 2060 Fund		—		—		(8,823,153	)		310,808,008		301,984,855
LifePath Index 2065 Fund		—		—		(162,631	)		12,042,300		11,879,669

^(a)

Amounts available to offset future realized capital gains.

^(b)

The difference between book-basis and tax-basis net unrealized gains was attributable primarily to tax deferral of losses on wash sales, and the timing and recognition of partnership

During the year ended December 31, 2021, the Funds listed below utilized the following amounts of their respective capital loss carryforward:



LifePath Index Fund Name	Amounts
LifePath Index 2050 Fund	$	1,892,105
LifePath Index 2055 Fund		3,532,453
LifePath Index 2060 Fund		3,576,639

As of December 31, 2021, gross unrealized appreciation and depreciation based on cost of investments (including short positions and derivatives, if any) for U.S. federal income tax purposes were as follows:



Fund Name	Tax Cost		Gross Unrealized Appreciation		Gross Unrealized Depreciation			Net Unrealized Appreciation (Depreciation)
LifePath Index Retirement Fund	$	7,226,704,732	$	2,086,646,821	$	(186,856,081	)	$	1,899,790,740
LifePath Index 2025 Fund		5,584,003,865		1,632,784,168		(188,810,589	)		1,443,973,579
LifePath Index 2030 Fund		8,729,202,067		3,191,722,394		(449,436,309	)		2,742,286,085
LifePath Index 2035 Fund		5,578,706,471		2,001,856,989		(186,858,172	)		1,814,998,817
LifePath Index 2040 Fund		7,079,123,527		3,010,183,818		(196,553,815	)		2,813,630,003
LifePath Index 2045 Fund		4,207,621,879		1,770,784,963		(148,343,304	)		1,622,441,659
LifePath Index 2050 Fund		4,207,664,909		1,733,199,505		(10,275,745	)		1,722,923,760
LifePath Index 2055 Fund		2,448,519,833		904,909,669		(3,614,615	)		901,295,054
LifePath Index 2060 Fund		1,113,924,911		314,824,025		(4,304,204	)		310,519,821
LifePath Index 2065 Fund		123,382,603		12,097,215		(74,880	)		12,022,335

8.	*BANK BORROWINGS*

The Trust, on behalf of the Funds, along with certain other funds managed by the Manager and its affiliates (“Participating Funds”), is a party to a 364-day, $2.25 billion credit agreement with a group of lenders. Under this agreement, the Funds may borrow to fund shareholder redemptions. Excluding commitments designated for certain individual funds, the Participating Funds, including the Funds, can borrow up to an aggregate commitment amount of $1.75 billion at any time outstanding, subject to asset coverage and other limitations as specified in the agreement. The credit agreement has the following terms: a fee of 0.10% per annum on unused commitment amounts and interest at a rate equal to the higher of (a) one-month London Interbank Offered Rate (“LIBOR”) (but, in any event, not less than 0.00%) on the date the loan is made plus 0.80% per annum or (b) the Fed Funds rate (but, in any event, not less than 0.00%) in effect from time to time plus 0.80% per annum on amounts borrowed. The agreement expires in April 2022 unless extended or renewed. These fees were allocated among such funds based upon portions of the aggregate commitment available to them and relative net assets of Participating Funds. During the year ended December 31, 2021, the Funds did not borrow under the credit agreement.


110		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Notes to Financial Statements (continued)

9.	*PRINCIPAL RISKS*

In the normal course of business, the Funds invest in securities or other instruments and may enter into certain transactions, and such activities subject each Fund to various risks, including among others, fluctuations in the market (market risk) or failure of an issuer to meet all of its obligations. The value of securities or other instruments may also be affected by various factors, including, without limitation: (i) the general economy; (ii) the overall market as well as local, regional or global political and/or social instability; (iii) regulation, taxation or international tax treaties between various countries; or (iv) currency, interest rate and price fluctuations. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, or other events could have a significant impact on the Funds and their investments. Each Fund’s prospectus provides details of the risks to which each Fund is subject.

The Funds may be exposed to additional risks when reinvesting cash collateral in money market funds that do not seek to maintain a stable NAV per share of $1.00, which may be subject to redemption gates or liquidity fees under certain circumstances.

Market Risk: An outbreak of respiratory disease caused by a novel coronavirus has developed into a global pandemic and has resulted in closing borders, quarantines, disruptions to supply chains and customer activity, as well as general concern and uncertainty. The impact of this pandemic, and other global health crises that may arise in the future, could affect the economies of many nations, individual companies and the market in general in ways that cannot necessarily be foreseen at the present time. This pandemic may result in substantial market volatility and may adversely impact the prices and liquidity of a fund’s investments. The duration of this pandemic and its effects cannot be determined with certainty.

Counterparty Credit Risk: The Funds may be exposed to counterparty credit risk, or the risk that an entity may fail to or be unable to perform on its commitments related to unsettled or open transactions, including making timely interest and/or principal payments or otherwise honoring its obligations. The Funds manage counterparty credit risk by entering into transactions only with counterparties that the Manager believes have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to market, issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of the Funds’ exposure to market, issuer and counterparty credit risks with respect to these financial assets is approximately their value recorded in the Statements of Assets and Liabilities, less any collateral held by the Funds.

Concentration Risk: A diversified portfolio, where this is appropriate and consistent with a fund’s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within each Fund’s portfolio are disclosed in its Schedule of Investments.

Certain Funds invest a significant portion of their assets in fixed-income securities and/or use derivatives tied to the fixed-income markets. Changes in market interest rates or economic conditions may affect the value and/or liquidity of such investments. Interest rate risk is the risk that prices of bonds and other fixed-income securities will increase as interest rates fall and decrease as interest rates rise. The Funds may be subject to a greater risk of rising interest rates due to the current period of historically low rates.

LIBOR Transition Risk: The United Kingdom’s Financial Conduct Authority announced a phase out of the LIBOR. Although many LIBOR rates will cease to be published or no longer will be representative of the underlying market they seek to measure after December 31, 2021, a selection of widely used USD LIBOR rates will continue to be published through June 2023 in order to assist with the transition. The Funds may be exposed to financial instruments tied to LIBOR to determine payment obligations, financing terms, hedging strategies or investment value. The transition process away from LIBOR might lead to increased volatility and illiquidity in markets for, and reduce the effectiveness of new hedges placed against instruments whose terms currently include LIBOR. The ultimate effect of the LIBOR transition process on the Funds is uncertain.

10.

CAPITAL SHARE TRANSACTIONS

Transactions in capital shares for each class were as follows:



	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts

LifePath Index Retirement Fund
Institutional
Shares sold		3,751,788		$	54,792,998			6,411,178		$	85,405,180
Shares issued in reinvestment of distributions		1,031,009			15,134,459			1,057,267			14,238,568
Shares redeemed		(7,075,257	)		(103,279,309	)		(9,957,927	)		(131,022,660	)


		(2,292,460	)	$	(33,351,852	)		(2,489,482	)	$	(31,378,912	)

Investor A
Shares sold		3,308,198		$	48,377,947			3,579,665		$	47,410,878
Shares issued in reinvestment of distributions		426,845			6,260,739			463,749			6,242,175
Shares redeemed		(6,015,284	)		(88,450,956	)		(9,488,553	)		(124,345,695	)


		(2,280,241	)	$	(33,812,270	)		(5,445,139	)	$	(70,692,642	)

Investor P
Shares sold		9,337,906		$	136,349,301			9,154,231		$	120,687,650
Shares issued in reinvestment of distributions		4,567,973			66,953,936			4,610,446			62,023,248
Shares redeemed		(21,339,515	)		(311,869,651	)		(27,061,917	)		(354,174,944	)


		(7,433,636	)	$	(108,566,414	)		(13,297,240	)	$	(171,464,046	)


N O T E S T O F I N A N C I A L S T A T E M E N T S		111

Notes to Financial Statements (continued)



	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class (continued)	Shares			Amounts			Shares			Amounts

LifePath Index Retirement Fund (continued)
Class K
Shares sold		95,303,751		$	1,396,969,047			105,963,382		$	1,402,545,576
Shares issued in reinvestment of distributions		11,208,598			164,483,301			10,113,405			136,299,487
Shares redeemed		(91,038,339	)		(1,335,140,269	)		(85,290,662	)		(1,116,963,549	)


		15,474,010		$	226,312,079			30,786,125		$	421,881,514


		3,467,673		$	50,581,543			9,554,264		$	148,345,914



	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts

LifePath Index 2025 Fund
Institutional
Shares sold		3,108,606		$	50,467,119			4,488,208		$	63,902,271
Shares issued in reinvestment of distributions		342,302			5,617,714			328,551			4,764,746
Shares redeemed		(3,889,288	)		(63,061,445	)		(3,989,763	)		(57,542,159	)


		(438,380	)	$	(6,976,612	)		826,996		$	11,124,858

Investor A
Shares sold		2,223,904		$	36,068,232			2,975,846		$	42,394,123
Shares issued in reinvestment of distributions		214,867			3,521,034			226,350			3,284,604
Shares redeemed		(4,176,751	)		(68,590,249	)		(3,563,422	)		(50,210,045	)


		(1,737,980	)	$	(29,000,983	)		(361,226	)	$	(4,531,318	)

Investor P
Shares sold		2,624,830		$	42,825,132			2,862,117		$	40,836,822
Shares issued in reinvestment of distributions		124,696			2,043,400			79,020			1,151,539
Shares redeemed		(788,161	)		(12,878,946	)		(1,248,779	)		(18,156,542	)


		1,961,365		$	31,989,586			1,692,358		$	23,831,819

Class K
Shares sold		106,844,489		$	1,745,955,793			110,816,788		$	1,581,687,835
Shares issued in reinvestment of distributions		9,777,868			160,551,824			7,923,442			115,174,542
Shares redeemed		(73,909,800	)		(1,210,355,839	)		(60,016,767	)		(850,219,990	)


		42,712,557		$	696,151,778			58,723,463		$	846,642,387


		42,497,562		$	692,163,769			60,881,591		$	877,067,746



	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts

LifePath Index 2030 Fund
Institutional
Shares sold		4,179,948		$	71,692,699			6,168,595		$	88,879,902
Shares issued in reinvestment of distributions		975,586			17,003,935			782,743			11,523,829
Shares redeemed		(5,213,017	)		(89,488,029	)		(7,639,971	)		(111,026,084	)


		(57,483	)	$	(791,395	)		(688,633	)	$	(10,622,353	)

Investor A
Shares sold		2,675,123		$	45,995,725			3,716,581		$	53,852,654
Shares issued in reinvestment of distributions		330,252			5,756,812			287,987			4,242,483
Shares redeemed		(5,101,834	)		(88,782,944	)		(11,899,734	)		(173,328,831	)


		(2,096,459	)	$	(37,030,407	)		(7,895,166	)	$	(115,233,694	)

Investor P
Shares sold		6,264,215		$	107,815,062			6,586,802		$	95,560,279
Shares issued in reinvestment of distributions		2,954,072			51,479,618			2,381,822			35,079,841
Shares redeemed		(14,139,724	)		(243,036,439	)		(15,909,202	)		(229,583,620	)


		(4,921,437	)	$	(83,741,759	)		(6,940,578	)	$	(98,943,500	)


112		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Notes to Financial Statements (continued)




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class (continued)	Shares			Amounts			Shares			Amounts


LifePath Index 2030 Fund (continued)
Class K

Shares sold		121,837,778		$	2,101,533,352			117,212,131		$	1,714,626,590
Shares issued in reinvestment of distributions		12,206,714			212,627,649			8,038,796			118,723,200
Shares redeemed		(61,483,228	)		(1,063,947,767	)		(57,932,819	)		(835,889,367	)


		72,561,264		$	1,250,213,234			67,318,108		$	997,460,423


		65,485,885		$	1,128,649,673			51,793,731		$	772,660,876




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2035 Fund
Institutional

Shares sold		2,579,797		$	47,053,215			2,997,708		$	44,477,542
Shares issued in reinvestment of distributions		244,649			4,557,207			195,873			2,976,772
Shares redeemed		(2,029,057	)		(36,810,681	)		(3,262,000	)		(49,067,743	)


		795,389		$	14,799,741			(68,419	)	$	(1,613,429	)

Investor A

Shares sold		2,225,554		$	40,603,091			2,557,156		$	38,239,410
Shares issued in reinvestment of distributions		188,101			3,493,199			172,554			2,626,971
Shares redeemed		(4,152,161	)		(76,828,765	)		(3,230,885	)		(47,200,222	)


		(1,738,506	)	$	(32,732,475	)		(501,175	)	$	(6,333,841	)

Investor P

Shares sold		975,399		$	17,876,124			817,784		$	12,265,667
Shares issued in reinvestment of distributions		43,616			811,372			21,687			333,445
Shares redeemed		(214,963	)		(3,932,413	)		(192,726	)		(2,901,074	)


		804,052		$	14,755,083			646,745		$	9,698,038

Class K

Shares sold		102,251,869		$	1,874,324,832			93,574,533		$	1,405,158,063
Shares issued in reinvestment of distributions		8,637,481			160,798,184			5,805,521			88,621,083
Shares redeemed		(48,316,467	)		(889,731,910	)		(42,407,319	)		(634,235,104	)


		62,572,883		$	1,145,391,106			56,972,735		$	859,544,042


		62,433,818		$	1,142,213,455			57,049,886		$	861,294,810




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2040 Fund
Institutional

Shares sold		3,990,720		$	76,317,755			5,495,802		$	82,299,000
Shares issued in reinvestment of distributions		885,176			17,358,012			693,610			10,744,188
Shares redeemed		(4,795,998	)		(91,196,006	)		(6,166,241	)		(94,233,237	)


		79,898		$	2,479,761			23,171		$	(1,190,049	)

Investor A

Shares sold		2,149,241		$	40,966,655			2,664,493		$	40,186,781
Shares issued in reinvestment of distributions		204,347			4,002,391			165,416			2,563,559
Shares redeemed		(3,354,215	)		(65,007,062	)		(8,079,520	)		(125,191,455	)


		(1,000,627	)	$	(20,038,016	)		(5,249,611	)	$	(82,441,115	)

Investor P

Shares sold		4,718,137		$	90,279,276			5,580,129		$	84,017,413
Shares issued in reinvestment of distributions		1,975,787			38,704,069			1,519,819			23,543,969
Shares redeemed		(8,744,820	)		(167,059,012	)		(10,264,293	)		(155,569,393	)


		(2,050,896	)	$	(38,075,667	)		(3,164,345	)	$	(48,008,011	)


N O T E S T O F I N A N C I A L S T A T E M E N T S		113

Notes to Financial Statements (continued)




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class (continued)	Shares			Amounts			Shares			Amounts


LifePath Index 2040 Fund (continued)
Class K

Shares sold		88,270,697		$	1,694,773,272			92,627,551		$	1,427,174,683
Shares issued in reinvestment of distributions		8,589,820			168,487,588			5,533,810			86,134,498
Shares redeemed		(45,490,602	)		(878,836,418	)		(39,011,856	)		(594,340,229	)


		51,369,915		$	984,424,442			59,149,505		$	918,968,952


		48,398,290		$	928,790,520			50,758,720		$	787,329,777




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2045 Fund
Institutional

Shares sold		1,800,579		$	36,025,831			2,575,776		$	39,999,883
Shares issued in reinvestment of distributions		173,783			3,582,921			136,309			2,168,990
Shares redeemed		(1,626,651	)		(32,140,028	)		(2,637,618	)		(41,975,225	)


		347,711		$	7,468,724			74,467		$	193,648

Investor A

Shares sold		1,641,743		$	32,791,396			1,928,747		$	29,891,359
Shares issued in reinvestment of distributions		128,467			2,643,449			114,600			1,827,801
Shares redeemed		(3,039,874	)		(61,817,335	)		(2,410,497	)		(36,559,131	)


		(1,269,664	)	$	(26,382,490	)		(367,150	)	$	(4,839,971	)

Investor P

Shares sold		200,755		$	3,984,750			270,589		$	4,028,297
Shares issued in reinvestment of distributions		11,882			244,726			6,182			100,167
Shares redeemed		(53,022	)		(1,055,025	)		(37,576	)		(570,747	)


		159,615		$	3,174,451			239,195		$	3,557,717

Class K

Shares sold		71,955,684		$	1,449,065,948			70,663,578		$	1,112,352,347
Shares issued in reinvestment of distributions		6,014,683			124,109,443			3,831,996			61,420,676
Shares redeemed		(33,609,340	)		(681,384,304	)		(25,957,531	)		(408,020,236	)


		44,361,027		$	891,791,087			48,538,043		$	765,752,787


		43,598,689		$	876,051,772			48,484,555		$	764,664,181




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2050 Fund
Institutional

Shares sold		2,103,979		$	43,339,523			3,135,948		$	48,707,434
Shares issued in reinvestment of distributions		158,110			3,355,283			131,633			2,134,309
Shares redeemed		(1,910,826	)		(38,813,495	)		(2,878,908	)		(46,705,889	)


		351,263		$	7,881,311			388,673		$	4,135,854

Investor A

Shares sold		1,717,133		$	35,062,088			1,921,434		$	30,138,833
Shares issued in reinvestment of distributions		112,836			2,389,213			97,169			1,576,073
Shares redeemed		(2,321,226	)		(48,704,036	)		(4,375,628	)		(69,762,032	)


		(491,257	)	$	(11,252,735	)		(2,357,025	)	$	(38,047,126	)

Investor P

Shares sold		2,049,756		$	42,144,734			2,375,774		$	36,995,368
Shares issued in reinvestment of distributions		533,333			11,296,633			452,970			7,340,103
Shares redeemed		(3,206,097	)		(65,467,384	)		(3,468,125	)		(54,771,512	)


		(623,008	)	$	(12,026,017	)		(639,381	)	$	(10,436,041	)


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Notes to Financial Statements (continued)




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class (continued)	Shares			Amounts			Shares			Amounts


LifePath Index 2050 Fund (continued)
Class K

Shares sold		63,867,577		$	1,318,753,038			65,638,791		$	1,047,890,163
Shares issued in reinvestment of distributions		4,996,672			106,010,358			3,382,391			55,128,483
Shares redeemed		(29,867,183	)		(621,128,143	)		(22,304,163	)		(356,116,847	)


		38,997,066		$	803,635,253			46,717,019		$	746,901,799


		38,234,064		$	788,237,812			44,109,286		$	702,554,486




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2055 Fund
Institutional

Shares sold.		1,482,520		$	31,197,391			1,929,556		$	31,041,305
Shares issued in reinvestment of distributions		104,120			2,261,929			85,105			1,412,113
Shares redeemed		(1,097,199	)		(23,014,442	)		(1,847,217	)		(30,324,619	)


		489,441		$	10,444,878			167,444		$	2,128,799

Investor A

Shares sold.		1,497,344		$	31,505,420			1,707,868		$	27,192,000
Shares issued in reinvestment of distributions		72,213			1,566,891			66,279			1,097,213
Shares redeemed		(1,835,688	)		(39,338,925	)		(2,350,849	)		(35,618,494	)


		(266,131	)	$	(6,266,614	)		(576,702	)	$	(7,329,281	)

Investor P

Shares sold.		113,419		$	2,399,786			99,289		$	1,646,550
Shares issued in reinvestment of distributions		4,717			102,543			2,503			42,341
Shares redeemed		(29,875	)		(643,323	)		(11,517	)		(203,920	)


		88,261		$	1,859,006			90,275		$	1,484,971

Class K

Shares sold.		45,561,411		$	964,096,968			44,104,499		$	715,694,070
Shares issued in reinvestment of distributions		2,853,130			62,027,536			1,921,900			32,126,668
Shares redeemed		(18,897,485	)		(401,956,984	)		(14,323,722	)		(234,939,366	)


		29,517,056		$	624,167,520			31,702,677		$	512,881,372


		29,828,627		$	630,204,790			31,383,694		$	509,165,861




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2060 Fund
Institutional

Shares sold.		1,031,864		$	19,316,851			1,164,490		$	16,519,680
Shares issued in reinvestment of distributions		36,600			709,121			21,353			319,101
Shares redeemed		(429,706	)		(8,087,217	)		(612,187	)		(9,146,431	)


		638,758		$	11,938,755			573,656		$	7,692,350

Investor A

Shares sold.		628,940		$	11,671,091			529,045		$	7,589,266
Shares issued in reinvestment of distributions		18,250			352,818			11,770			176,809
Shares redeemed		(490,783	)		(9,371,287	)		(438,723	)		(6,491,076	)


		156,407		$	2,652,622			102,092		$	1,274,999

Investor P

Shares sold.		179,361		$	3,356,099			156,054		$	2,140,007
Shares issued in reinvestment of distributions		6,398			123,945			3,410			51,493
Shares redeemed		(56,585	)		(1,061,959	)		(19,784	)		(285,548	)


		129,174		$	2,418,085			139,680		$	1,905,952


N O T E S T O F I N A N C I A L S T A T E M E N T S		115

Notes to Financial Statements (continued)




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class (continued)	Shares			Amounts			Shares			Amounts


LifePath Index 2060 Fund (continued)
Class K

Shares sold.		28,994,517		$	546,224,454			25,904,179		$	376,149,311
Shares issued in reinvestment of distributions		1,248,079			24,174,378			705,001			10,594,289
Shares redeemed		(10,686,119	)		(203,088,909	)		(7,044,735	)		(103,081,296	)


		19,556,477		$	367,309,923			19,564,445		$	283,662,304


		20,480,816		$	384,319,385			20,379,873		$	294,535,605




	Year Ended 12/31/21						Year Ended 12/31/20

LifePath Index Fund Name / Share Class	Shares			Amounts			Shares			Amounts


LifePath Index 2065 Fund
Institutional

Shares sold		406,790		$	5,358,025			123,710		$	1,181,363
Shares issued in reinvestment of distributions		6,972			95,113			1,124			12,150
Shares redeemed		(57,121	)		(766,522	)		(15,740	)		(166,390	)


		356,641		$	4,686,616			109,094		$	1,027,123

Investor A

Shares sold		47,080		$	626,809			5,533		$	56,288
Shares issued in reinvestment of distributions		419			5,736			42			461
Shares redeemed		(20,262	)		(273,274	)		(256	)		(2,692	)


		27,237		$	359,271			5,319		$	54,057

Investor P

Shares sold		181,793		$	2,433,004			55,535		$	555,532
Shares issued in reinvestment of distributions		2,616			35,855			289			3,203
Shares redeemed		(11,511	)		(147,778	)		(16,175	)		(167,753	)


		172,898		$	2,321,081			39,649		$	390,982

Class K

Shares sold		8,743,994		$	116,589,057			2,324,257		$	24,212,963
Shares issued in reinvestment of distributions		126,418			1,728,646			16,321			180,649
Shares redeemed		(1,902,794	)		(25,481,943	)		(587,588	)		(6,053,214	)


		6,967,618		$	92,835,760			1,752,990		$	18,340,398

		7,524,394		$	100,202,728			1,907,052		$	19,812,560

As of December 31, 2021, shares owned by BlackRock Financial Management, Inc., an affiliate of the Funds, were as follows:



Fund Name	Institutional		Investor A		Investor P		Class K		Total

LifePath Index Retirement Fund		—		—		32,483		—	32,483
LifePath Index 2025 Fund		—		—		14,948		—	14,948
LifePath Index 2030 Fund		—		—		14,524		—	14,524
LifePath Index 2035 Fund		—		—		14,025		—	14,025
LifePath Index 2040 Fund		—		—		13,661		—	13,661
LifePath Index 2045 Fund		—		—		13,289		—	13,289
LifePath Index 2050 Fund		—		—		13,072		—	13,072
LifePath Index 2055 Fund		—		—		12,821		—	12,821
LifePath Index 2060 Fund		—		—		14,482		—	14,482
LifePath Index 2065 Fund		5,000		5,000		5,000		85,000	100,000

11.

SUBSEQUENT EVENTS

Management has evaluated the impact of all subsequent events on the Funds through the date the financial statements were issued and has determined that there were no subsequent events requiring adjustment or additional disclosure in the financial statements.


116		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Report of Independent Registered Public Accounting Firm

To the Board of Trustees of BlackRock Funds III and Shareholders of BlackRock LifePath Index Retirement Fund, BlackRock LifePath Index 2025 Fund, BlackRock LifePath Index 2030 Fund, BlackRock LifePath Index 2035 Fund, BlackRock LifePath Index 2040 Fund, BlackRock LifePath Index 2045 Fund, BlackRock LifePath Index 2050 Fund, BlackRock LifePath Index 2055 Fund, BlackRock LifePath Index 2060 Fund and BlackRock LifePath Index 2065 Fund

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of BlackRock LifePath Index Retirement Fund, BlackRock LifePath Index 2025 Fund, BlackRock LifePath Index 2030 Fund, BlackRock LifePath Index 2035 Fund, BlackRock LifePath Index 2040 Fund, BlackRock LifePath Index 2045 Fund, BlackRock LifePath Index 2050 Fund, BlackRock LifePath Index 2055 Fund, BlackRock LifePath Index 2060 Fund and BlackRock LifePath Index 2065 Fund (ten of the series constituting BlackRock Funds III, hereafter collectively referred to as the “Funds”) as of December 31, 2021, the related statements of operations for the year ended December 31, 2021, the statements of changes in net assets for each of the two years in the period ended December 31, 2021, including the related notes, and the financial highlights for each of the periods indicated therein (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the Funds as of December 31, 2021, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period ended December 31, 2021, and each of the financial highlights for each of the periods indicated therein in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinions

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of December 31, 2021 by correspondence with the custodian, administrator of the Underlying Master Portfolios, transfer agents and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinions.

/s/PricewaterhouseCoopers LLP

Philadelphia, Pennsylvania

February 24, 2022

We have served as the auditor of one or more BlackRock investment companies since 2000.


R E P O R T O F I N D E P E N D E N T R E G I S T E R E D P U B L I C A C C O U N TI N G F I R M		117


Important Tax Information (unaudited)

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified dividend income for individuals for the fiscal year ended December 31, 2021:



LifePath Index Fund Name	Qualified Dividend Income

LifePath Index Retirement Fund	$	51,065,559
LifePath Index 2025 Fund		48,527,463
LifePath Index 2030 Fund		98,895,579
LifePath Index 2035 Fund		73,753,530
LifePath Index 2040 Fund		115,488,816
LifePath Index 2045 Fund		73,779,445
LifePath Index 2050 Fund		79,234,731
LifePath Index 2055 Fund		44,441,669
LifePath Index 2060 Fund		17,472,607
LifePath Index 2065 Fund		1,294,271

The following amounts, or maximum amounts allowable by law, are hereby designated as qualified business income for individuals for the fiscal year ended December 31, 2021:



LifePath Index Fund Name	Qualified Business Income

LifePath Index Retirement Fund	$	3,471,186
LifePath Index 2025 Fund		2,628,731
LifePath Index 2030 Fund		4,943,909
LifePath Index 2035 Fund		3,451,173
LifePath Index 2040 Fund		5,252,498
LifePath Index 2045 Fund		3,175,107
LifePath Index 2050 Fund		3,338,855
LifePath Index 2055 Fund		1,806,482
LifePath Index 2060 Fund		630,205
LifePath Index 2065 Fund		24,850

The LifePath Index Funds hereby designate the following amounts, or maximum amounts allowable by law, as capital gain dividends, subject to a long-term capital gains tax rate of not greater than 20%, for the fiscal year ended December 31, 2021:



LifePath Index Fund Name	20% Rate Long-Term Capital Gain Dividends

LifePath Index Retirement Fund	$	52,858,441
LifePath Index 2025 Fund		24,577,216
LifePath Index 2030 Fund		38,494,037
LifePath Index 2035 Fund		12,862,754
LifePath Index 2040 Fund		19,016,361
LifePath Index 2045 Fund		10,980,886
LifePath Index 2050 Fund		4,161,410
LifePath Index 2055 Fund		—
LifePath Index 2060 Fund		—
LifePath Index 2065 Fund		—

The LifePath Index Funds hereby designate the following amounts, or maximum amounts allowable by law, of distributions from direct federal obligation interest for the fiscal year ended December 31, 2021:



LifePath Index Fund Name	Federal Obligation Interest

LifePath Index Retirement Fund	$	38,070,651
LifePath Index 2025 Fund		25,422,451
LifePath Index 2030 Fund		34,729,896
LifePath Index 2035 Fund		16,763,289
LifePath Index 2040 Fund		15,350,496
LifePath Index 2045 Fund		4,534,011
LifePath Index 2050 Fund		1,351,681
LifePath Index 2055 Fund		287,790
LifePath Index 2060 Fund		73,779
LifePath Index 2065 Fund		1,146

The law varies in each state as to whether and what percent of ordinary income dividends attributable to federal obligations is exempt from state income tax. Shareholders are advised to check with their tax advisers to determine if any portion of the dividends received is exempt from state income tax.


118		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S


Important Tax Information (unaudited) (continued)

The following percentages, or maximum percentages allowable by law, of ordinary income distributions paid during the fiscal year ended December 31, 2021 qualified for the dividends-received deduction for corporate shareholders:



LifePath Index Fund Name	Dividends-Received Deduction

LifePath Index Retirement Fund		12.32	%
LifePath Index 2025 Fund		14.97
LifePath Index 2030 Fund		17.44
LifePath Index 2035 Fund		19.92
LifePath Index 2040 Fund		23.18
LifePath Index 2045 Fund		25.36
LifePath Index 2050 Fund		27.29
LifePath Index 2055 Fund		27.26
LifePath Index 2060 Fund		27.37
LifePath Index 2065 Fund		23.57

The LifePath Index Funds hereby designate the following amounts, or maximum amounts allowable by law, as interest income eligible to be treated as a Section 163(j) interest dividend for the fiscal year ended December 31, 2021:



LifePath Index Fund Name	Interest Dividend

LifePath Index Retirement Fund	$	113,402,753
LifePath Index 2025 Fund		73,273,306
LifePath Index 2030 Fund		89,408,370
LifePath Index 2035 Fund		40,330,825
LifePath Index 2040 Fund		32,767,284
LifePath Index 2045 Fund		8,710,601
LifePath Index 2050 Fund		2,416,452
LifePath Index 2055 Fund		691,812
LifePath Index 2060 Fund		246,993
LifePath Index 2065 Fund		13,754

The LifePath Index Funds hereby designate the following amounts, or maximum amounts allowable by law, as interest-related dividends and qualified short-term capital gains eligible for exemption from U.S. withholding tax for nonresident aliens and foreign corporations for the fiscal year ended December 31, 2021:


LifePath Index Fund Name	Interest Related Dividends		Qualified Short-Term Capital Gains

LifePath Index Retirement Fund	$	107,727,991	$	12,576,554
LifePath Index 2025 Fund.		69,011,966		3,297,316
LifePath Index 2030 Fund		85,256,768		19,670,187
LifePath Index 2035 Fund		38,245,445		10,008,920
LifePath Index 2040 Fund		31,566,079		14,893,812
LifePath Index 2045 Fund		8,357,334		4,968,144
LifePath Index 2050 Fund		2,346,614		4,443,115
LifePath Index 2055 Fund		650,281		1,590,896
LifePath Index 2060 Fund		233,735		—
LifePath Index 2065 Fund		12,571		—


I M P O R T A N T T A X I N F O R M A T I O N		119

Statement Regarding Liquidity Risk Management Program

In compliance with Rule 22e-4 under the Investment Company Act of 1940, as amended (the “Liquidity Rule”), BlackRock Funds III (the “Trust”) has adopted and implemented a liquidity risk management program (the “Program”) for BlackRock LifePath^® Index Retirement Fund, BlackRock LifePath^® Index 2025 Fund, BlackRock LifePath^® Index 2030 Fund, BlackRock LifePath^® Index 2035 Fund, BlackRock LifePath^® Index 2040 Fund, BlackRock LifePath^® Index 2045 Fund, BlackRock LifePath^® Index 2050 Fund, BlackRock LifePath^® Index 2055 Fund, BlackRock LifePath^® Index 2060 Fund and BlackRock LifePath^® Index 2065 Fund (each, a “Fund” and collectively, the “Funds”), each a series of the Trust, which is reasonably designed to assess and manage each Fund’s liquidity risk.

The Board of Trustees (the “Board”) of the Trust, on behalf of the Funds, met on November 9-10, 2021 (the “Meeting”) to review the Program. The Board previously appointed BlackRock Advisors, LLC or BlackRock Fund Advisors (“BlackRock”), each an investment adviser to certain BlackRock funds, as the program administrator for each Fund’s Program, as applicable. BlackRock also previously delegated oversight of the Program to the 40 Act Liquidity Risk Management Committee (the “Committee”). At the Meeting, the Committee, on behalf of BlackRock, provided the Board with a report that addressed the operation of the Program and assessed its adequacy and effectiveness of implementation, including the management of each Fund’s Highly Liquid Investment Minimum (“HLIM”) where applicable, and any material changes to the Program (the “Report”). The Report covered the period from October 1, 2020 through September 30, 2021 (the “Program Reporting Period”).

The Report described the Program’s liquidity classification methodology for categorizing each Fund’s investments (including derivative transactions) into one of four liquidity buckets. It also referenced the methodology used by BlackRock to establish each Fund’s HLIM and noted that the Committee reviews and ratifies the HLIM assigned to each Fund no less frequently than annually. The Report also discussed notable events affecting liquidity over the Program Reporting Period, including the imposition of capital controls in certain countries.

The Report noted that the Program complied with the key factors for consideration under the Liquidity Rule for assessing, managing and periodically reviewing each Fund’s liquidity risk, as follows:

The Fund’s investment strategy and liquidity of portfolio investments during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed whether each Fund’s strategy is appropriate for an open-end fund structure with a focus on funds with more significant and consistent holdings of less liquid and illiquid assets. The Committee also factored a fund’s concentration in an issuer into the liquidity classification methodology by taking issuer position sizes into account. Where a fund participated in borrowings for investment purposes (such as tender option bonds or reverse repurchase agreements), such borrowings were factored into the Program’s calculation of a fund’s liquidity bucketing. Derivative exposure was also considered in such calculation.

Short-term and long-term cash flow projections during both normal and reasonably foreseeable stressed conditions. During the Program Reporting Period, the Committee reviewed historical redemption activity and used this information as a component to establish each Fund’s reasonably anticipated trading size (“RATS”). Each Fund has adopted an in-kind redemption policy which may be utilized to meet larger redemption requests. The Committee may also take into consideration a fund’s shareholder ownership concentration (which, depending on product type and distribution channel, may or may not be available), a fund’s distribution channels, and the degree of certainty associated with a fund’s short-term and long-term cash flow projections.

Holdings of cash and cash equivalents, as well as borrowing arrangements. The Committee considered the terms of the credit facility committed to each Fund, the financial health of the institution providing the facility and the fact that the credit facility is shared among multiple funds (including that a portion of the aggregate commitment amount is specifically designated for BlackRock Floating Rate Income Portfolio, a series of BlackRock Funds V). The Committee also considered other types of borrowing available to the Funds, such as the ability to use reverse repurchase agreements and interfund lending, as applicable.

There were no material changes to the Program during the Program Reporting Period other than the enhancement of certain model components in the Program’s methodology. The Report provided to the Board stated that the Committee concluded that based on the operation of the functions, as described in the Report, the Program is operating as intended and is effective in implementing the requirements of the Liquidity Rule.


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Trustee and Officer Information


		Independent Trustees^(a)

Name Year of Birth^(b)	Position(s) Held (Length of Service)^(c)	Principal Occupation(s) During Past Five Years	Number of BlackRock-Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen	Public Company and Other Investment Company Directorships Held During Past Five Years

Mark Stalnecker 1951	Chair of the Board (Since 2019) and Trustee (Since 2015)	Chief Investment Officer, University of Delaware from 1999 to 2013; Trustee and Chair of the Finance and Investment Committees, Winterthur Museum and Country Estate from 2005 to 2016; Member of the Investment Committee, Delaware Public Employees’ Retirement System since 2002; Member of the Investment Committee, Christiana Care Health System from 2009 to 2017; Member of the Investment Committee, Delaware Community Foundation from 2013 to 2014; Director and Chair of the Audit Committee, SEI Private Trust Co. from 2001 to 2014.	30 RICs consisting of 159 Portfolios	None

Bruce R. Bond 1946	Trustee (Since 2019)	Board Member, Amsphere Limited (software) since 2018; Trustee and Member of the Governance Committee, State Street Research Mutual Funds from 1997 to 2005; Board Member of Governance, Audit and Finance Committee, Avaya Inc. (computer equipment) from 2003 to 2007.	30 RICs consisting of 159 Portfolios	None

Susan J. Carter 1956	Trustee (Since 2016)	Director, Pacific Pension Institute from 2014 to 2018; Advisory Board Member, Center for Private Equity and Entrepreneurship at Tuck School of Business since 1997; Senior Advisor, Commonfund Capital, Inc. (“CCI”) (investment adviser) in 2015; Chief Executive Officer, CCI from 2013 to 2014; President & Chief Executive Officer, CCI from 1997 to 2013; Advisory Board Member, Girls Who Invest from 2015 to 2018 and Board Member thereof since 2018; Advisory Board Member, Bridges Fund Management since 2016; Trustee, Financial Accounting Foundation since 2017; Practitioner Advisory Board Member, Private Capital Research Institute (“PCRI”) since 2017; Lecturer in the Practice of Management, Yale School of Management since 2019; Advisor to Finance Committee, Altman Foundation since 2020.	30 RICs consisting of 159 Portfolios	None

Collette Chilton 1958	Trustee (Since 2015)	Chief Investment Officer, Williams College since 2006; Chief Investment Officer, Lucent Asset Management Corporation from 1998 to 2006; Director, Boys and Girls Club of Boston since 2017; Director, B1 Capital since 2018; Director, David and Lucile Packard Foundation since 2020.	30 RICs consisting of 159 Portfolios	None

Neil A. Cotty 1954	Trustee (Since 2016)	Bank of America Corporation from 1996 to 2015, serving in various senior finance leadership roles, including Chief Accounting Officer from 2009 to 2015, Chief Financial Officer of Global Banking, Markets and Wealth Management from 2008 to 2009, Chief Accounting Officer from 2004 to 2008, Chief Financial Officer of Consumer Bank from 2003 to 2004, Chief Financial Officer of Global Corporate Investment Bank from 1999 to 2002.	30 RICs consisting of 159 Portfolios	None

Lena G. Goldberg 1949	Trustee (Since 2019)	Director, Charles Stark Draper Laboratory, Inc. since 2013; Senior Lecturer, Harvard Business School, from 2008 to 2021; FMR LLC/Fidelity Investments (financial services) from 1996 to 2008, serving in various senior roles including Executive Vice President - Strategic Corporate Initiatives and Executive Vice President and General Counsel; Partner, Sullivan & Worcester LLP from 1985 to 1996 and Associate thereof from 1979 to 1985.	30 RICs consisting of 159 Portfolios	None


T R U S T E E A N D O F F I C E R I N F O R M A T I O N		121

Trustee and Officer Information (continued)


		Independent Trustees^(a)(continued)

Name Year of Birth^(b)	Position(s) Held (Length of Service)^(c)	Principal Occupation(s) During Past Five Years	Number of BlackRock-Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen	Public Company and Other Investment Company Directorships Held During Past Five Years

Henry R. Keizer 1956	Trustee (Since 2019)	Director, Park Indemnity Ltd. (captive insurer) since 2010; Director, MUFG Americas Holdings Corporation and MUFG Union Bank, N.A. (financial and bank holding company) from 2014 to 2016; Director, American Institute of Certified Public Accountants from 2009 to 2011; Director, KPMG LLP (audit, tax and advisory services) from 2004 to 2005 and 2010 to 2012; Director, KPMG International in 2012, Deputy Chairman and Chief Operating Officer thereof from 2010 to 2012 and U.S. Vice Chairman of Audit thereof from 2005 to 2010; Global Head of Audit, KPMGI (consortium of KPMG firms) from 2006 to 2010; Director, YMCA of Greater New York from 2006 to 2010.	30 RICs consisting of 159 Portfolios	Hertz Global Holdings (car rental); Sealed Air Corp. (packaging); GrafTech International Ltd. (materials manufacturing); Montpelier Re Holdings, Ltd. (publicly held property and casualty reinsurance) from 2013 to 2015; WABCO (commercial vehicle safety systems) from 2015 to 2020.

Cynthia A. Montgomery 1952	Trustee (Since 2009)	Professor, Harvard Business School since 1989.	30 RICs consisting of 159 Portfolios	Newell Rubbermaid, Inc. (manufacturing) from 1995 to 2016.

Donald C. Opatrny 1952	Trustee (Since 2019)	Trustee, Vice Chair, Member of the Executive Committee and Chair of the Investment Committee, Cornell University from 2004 to 2019; President, Trustee and Member of the Investment Committee, The Aldrich Contemporary Art Museum from 2007 to 2014; Member of the Board and Investment Committee, University School from 2007 to 2018; Member of the Investment Committee, Mellon Foundation from 2009 to 2015; Trustee, Artstor (a Mellon Foundation affiliate) from 2010 to 2015; President and Trustee, the Center for the Arts, Jackson Hole from 2011 to 2018; Director, Athena Capital Advisors LLC (investment management firm) since 2013; Trustee and Chair of the Investment Committee, Community Foundation of Jackson Hole since 2014; Member of Affordable Housing Supply Board of Jackson, Wyoming since 2017; Member, Investment Funds Committee, State of Wyoming since 2017; Trustee, Phoenix Art Museum since 2018; Trustee, Arizona Community Foundation and Member of Investment Committee since 2020.	30 RICs consisting of 159 Portfolios	None

Joseph P. Platt 1947	Trustee (Since 2009)	General Partner, Thorn Partners, LP (private investments) since 1998; Director, WQED Multi-Media (public broadcasting not-for-profit) since 2001; Chair, Basic Health International (non-profit) since 2015.	30 RICs consisting of 159 Portfolios	Greenlight Capital Re, Ltd. (reinsurance company); Consol Energy Inc.


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Trustee and Officer Information (continued)


		Independent Trustees^(a)(continued)

Name Year of Birth^(b)	Position(s) Held (Length of Service)^(c)	Principal Occupation(s) During Past Five Years	Number of BlackRock-Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen	Public Company and Other Investment Company Directorships Held During Past Five Years

Kenneth L. Urish 1951	Trustee (Since 2009)	Managing Partner, Urish Popeck & Co., LLC (certified public accountants and consultants) since 1976; Past- Chairman of the Professional Ethics Committee of the Pennsylvania Institute of Certified Public Accountants and Committee Member thereof since 2007; Member of External Advisory Board, The Pennsylvania State University Accounting Department since founding in 2001; Principal, UP Strategic Wealth Investment Advisors, LLC since 2013; Trustee, The Holy Family Institute from 2001 to 2010; President and Trustee, Pittsburgh Catholic Publishing Associates from 2003 to 2008; Director, Inter- Tel from 2006 to 2007; Member, Advisory Board, ESG Competent Boards since 2020.	30 RICs consisting of 159 Portfolios	None

Claire A. Walton 1957	Trustee (Since 2016)	Chief Operating Officer and Chief Financial Officer of Liberty Square Asset Management, LP from 1998 to 2015; General Partner of Neon Liberty Capital Management, LLC since 2003; Director, Boston Hedge Fund Group from 2009 to 2018; Director, Woodstock Ski Runners since 2013; Director, Massachusetts Council on Economic Education from 2013 to 2015.	30 RICs consisting of 159 Portfolios	None

		Interested Trustees^(a)(d)

Name Year of Birth^(b)	Position(s) Held (Length of Service)^(c)	Principal Occupation(s) During Past Five Years	Number of BlackRock-Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen	Public Company and Other Investment Company Directorships Held During Past Five Years

Robert Fairbairn 1965	Trustee (Since 2018)	Vice Chairman of BlackRock, Inc. since 2019; Member of BlackRock’s Global Executive and Global Operating Committees; Co-Chair of BlackRock’s Human Capital Committee; Senior Managing Director of BlackRock, Inc. from 2010 to 2019; oversaw BlackRock’s Strategic Partner Program and Strategic Product Management Group from 2012 to 2019; Member of the Board of Managers of BlackRock Investments, LLC from 2011 to 2018; Global Head of BlackRock’s Retail and iShares^® businesses from 2012 to 2016.	103 RICs consisting of 261 Portfolios	None

John M. Perlowski^(e) 1964	Trustee (Since 2015) President and Chief Executive Officer (Since 2010)	Managing Director of BlackRock, Inc. since 2009; Head of BlackRock Global Accounting and Product Services since 2009; Advisory Director of Family Resource Network (charitable foundation) since 2009.	105 RICs consisting of 263 Portfolios	None

^(a)	The address of each Trustee is c/o BlackRock, Inc., 55 East 52nd Street, New York, New York 10055.

^(b)	Independent Trustees serve until their resignation, retirement, removal or death, or until December 31 of the year in which they turn 75. The Board may determine to extend the terms of Independent Trustees on a case-by-case basis, as appropriate.

^(c)

In connection with the acquisition of Barclays Global Investors by BlackRock, Inc. in December 2009, certain Independent Trustees were elected to the Board. Furthermore, effective January 1, 2019, three BlackRock Fund Complexes were realigned and consolidated into two BlackRock Fund Complexes. As a result, although the chart shows the year that each Independent Trustee joined the Board, certain Independent Trustees first became members of the boards of other BlackRock-advised Funds or legacy BlackRock funds as follows: Bruce R. Bond, 2005; Cynthia A. Montgomery, 1994; Joseph P. Platt, 1999; Kenneth L. Urish, 1999; Lena G. Goldberg, 2016; Henry R. Keizer, 2016; Donald C. Opatrny, 2015.

^(d)	Mr. Fairbairn and Mr. Perlowski are both “interested persons,” as defined in the 1940 Act, of the Trust/MIP based on their positions with BlackRock, Inc. and its affiliates. Mr. Fairbairn and Mr. Perlowski are also board members of the BlackRock Fixed-Income Complex.

^(e)	Mr. Perlowski is also a trustee of the BlackRock Credit Strategies Fund and BlackRock Private Investments Fund.


T R U S T E E A N D O F F I C E R I N F O R M A T I O N		123

Trustee and Officer Information (continued)


Officers Who Are Not Trustees^(a)

Name Year of Birth^(b)	Position(s) Held (Length of Service)	Principal Occupation(s) During Past Five Years

Thomas Callahan 1968	Vice President (Since 2016)	Managing Director of BlackRock, Inc. since 2013; Member of the Board of Managers of BlackRock Investments, LLC (principal underwriter) since 2019 and Managing Director thereof since 2017; Head of BlackRock’s Global Cash Management Business since 2016; Co-Head of the Global Cash Management Business from 2014 to 2016; Deputy Head of the Global Cash Management Business from 2013 to 2014; Member of the Cash Management Group Executive Committee since 2013; Chief Executive Officer of NYSE Liffe U.S. from 2008 to 2013.

Jennifer McGovern 1977	Vice President (Since 2014)	Managing Director of BlackRock, Inc. since 2016; Director of BlackRock, Inc. from 2011 to 2015; Head of Americas Product Development and Governance for BlackRock’s Global Product Group since 2019; Head of Product Structure and Oversight for BlackRock’s U.S. Wealth Advisory Group from 2013 to 2019.

Trent Walker 1974	Chief Financial Officer (Since 2021)	Managing Director of BlackRock, Inc. since September 2019; Executive Vice President of PIMCO from 2016 to 2019; Senior Vice President of PIMCO from 2008 to 2015; Treasurer from 2013 to 2019 and Assistant Treasurer from 2007 to 2017 of PIMCO Funds, PIMCO Variable Insurance Trust, PIMCO ETF Trust, PIMCO Equity Series, PIMCO Equity Series VIT, PIMCO Managed Accounts Trust, 2 PIMCO-sponsored interval funds and 21 PIMCO-sponsored closed-end funds.

Jay M. Fife 1970	Treasurer (Since 2009)	Managing Director of BlackRock, Inc. since 2007.

Charles Park 1967	Chief Compliance Officer (Since 2014)	Anti-Money Laundering Compliance Officer for certain BlackRock-advised Funds from 2014 to 2015; Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income Complex since 2014; Principal of and Chief Compliance Officer for iShares^® Delaware Trust Sponsor LLC since 2012 and BlackRock Fund Advisors (“BFA”) since 2006; Chief Compliance Officer for the BFA-advised iShares^® exchange traded funds since 2006; Chief Compliance Officer for BlackRock Asset Management International Inc. since 2012.

Lisa Belle 1968	Anti-Money Laundering Compliance Officer (Since 2019)	Managing Director of BlackRock, Inc. since 2019; Global Financial Crime Head for Asset and Wealth Management of JP Morgan from 2013 to 2019; Managing Director of RBS Securities from 2012 to 2013; Head of Financial Crimes for Barclays Wealth Americas from 2010 to 2012.

Janey Ahn 1975	Secretary (Since 2019)	Managing Director of BlackRock, Inc. since 2018; Director of BlackRock, Inc. from 2009 to 2017.

^(a)	The address of each Officer is c/o BlackRock, Inc., 55 East 52nd Street, New York, New York 10055.

^(b)	Officers of the Trust serve at the pleasure of the Board.

Further information about the Trust’s Trustees and Officers is available in the Trust’s Statement of Additional Information, which can be obtained without charge by calling (800) 441-7762.

Effective December 31, 2021, Bruce R. Bond retired as a Trustee of the Trust.


124		2 0 2 1 B L A C K R O C K A N N U A L R E P O R T T O S H A R E H O L D E R S

Additional Information

Regulation Regarding Derivatives

On October 28, 2020, the Securities and Exchange Commission (the “SEC”) adopted regulations governing the use of derivatives by registered investment companies (“Rule 18f-4”). The Funds will be required to implement and comply with Rule 18f-4 by August 19, 2022. Once implemented, Rule 18f-4 will impose limits on the amount of derivatives a fund can enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, treat derivatives as senior securities and require funds whose use of derivatives is more than a limited specified exposure amount to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager.

General Information

Quarterly performance, semi-annual and annual reports, current net asset value and other information regarding the Funds may be found on BlackRock’s website, which can be accessed at blackrock.com. Any reference to BlackRock’s website in this report is intended to allow investors public access to information regarding the Funds and does not, and is not intended to, incorporate BlackRock’s website in this report.

Householding

The Funds will mail only one copy of shareholder documents, including prospectuses, annual and semi-annual reports, Rule 30e-3 notices and proxy statements, to shareholders with multiple accounts at the same address. This practice is commonly called “householding” and is intended to reduce expenses and eliminate duplicate mailings of shareholder documents. Mailings of your shareholder documents may be householded indefinitely unless you instruct us otherwise. If you do not want the mailing of these documents to be combined with those for other members of your household, please call the Funds at (800) 441-7762.

Availability of Quarterly Schedule of Investments

The Funds file their complete schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to their reports on Form N-PORT. The Funds’ Forms N-PORT are available on the SEC’s website at sec.gov. Additionally, each Fund makes its portfolio holdings for the first and third quarters of each fiscal year available at blackrock.com/fundreports.

Availability of Proxy Voting Policies, Procedures and Voting Records

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities and information about how the Funds voted proxies relating to securities held in the Funds’ portfolios during the most recent 12-month period ended June 30 is available without charge, upon request (1) by calling (800) 441-7762; (2) on the BlackRock website at blackrock.com; and (3) on the SEC’s website at sec.gov.

BlackRock’s Mutual Fund Family

BlackRock offers a diverse lineup of open-end mutual funds crossing all investment styles and managed by experts in equity, fixed-income and tax-exempt investing. Visit blackrock.com for more information.

Shareholder Privileges

Account Information

Call us at (800) 441-7762 from 8:00 AM to 6:00 PM ET on any business day to get information about your account balances, recent transactions and share prices. You can also visit blackrock.com for more information.

Automatic Investment Plans

Investor class shareholders who want to invest regularly can arrange to have $50 or more automatically deducted from their checking or savings account and invested in any of the BlackRock funds.

Systematic Withdrawal Plans

Investor class shareholders can establish a systematic withdrawal plan and receive periodic payments of $50 or more from their BlackRock funds, as long as their account balance is at least $10,000.

Retirement Plans

Shareholders may make investments in conjunction with Traditional, Rollover, Roth, Coverdell, Simple IRAs, SEP IRAs and 403(b) Plans.


A D D I T I O N A L I N F O R M A T I O N		125

Additional Information (continued)

BlackRock Privacy Principles

BlackRock is committed to maintaining the privacy of its current and former fund investors and individual clients (collectively, “Clients”) and to safeguarding their non-public personal information. The following information is provided to help you understand what personal information BlackRock collects, how we protect that information and why in certain cases we share such information with select parties.

If you are located in a jurisdiction where specific laws, rules or regulations require BlackRock to provide you with additional or different privacy-related rights beyond what is set forth below, then BlackRock will comply with those specific laws, rules or regulations.

BlackRock obtains or verifies personal non-public information from and about you from different sources, including the following: (i) information we receive from you or, if applicable, your financial intermediary, on applications, forms or other documents; (ii) information about your transactions with us, our affiliates, or others; (iii) information we receive from a consumer reporting agency; and (iv) from visits to our websites.

BlackRock does not sell or disclose to non-affiliated third parties any non-public personal information about its Clients, except as permitted by law or as is necessary to respond to regulatory requests or to service Client accounts. These non-affiliated third parties are required to protect the confidentiality and security of this information and to use it only for its intended purpose.

We may share information with our affiliates to service your account or to provide you with information about other BlackRock products or services that may be of interest to you. In addition, BlackRock restricts access to non-public personal information about its Clients to those BlackRock employees with a legitimate business need for the information. BlackRock maintains physical, electronic and procedural safeguards that are designed to protect the non-public personal information of its Clients, including procedures relating to the proper storage and disposal of such information.

LifePath Index Fund and Service Providers


Investment Adviser		Distributor
BlackRock Fund Advisors		BlackRock Investments, LLC
San Francisco, CA 94105		New York, NY 10022

Administrator		Independent Registered Public Accounting Firm
BlackRock Advisors, LLC		PricewaterhouseCoopers LLP
Wilmington, DE 19809		Philadelphia, PA 19103

Accounting Agent and Custodian		Legal Counsel
State Street Bank and Trust Company		Sidley Austin LLP
Boston, MA 02111		New York, NY 10019

Transfer Agent		Address of the Funds
BNY Mellon Investment Servicing (US) Inc.		400 Howard Street
Wilmington, DE 19809		San Francisco, CA 94105


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Glossary of Terms Used in this Report

Portfolio Abbreviation



ETF		Exchange-Traded Fund

MSCI		Morgan Stanley Capital International


G L O S S A R Y O F T E R M S U S E D I N T H I S R E P O R T		127

Want to know more?

blackrock.com | 800-441-7762

This report is intended for current holders. It is not authorized for use as an offer of sale or a solicitation of an offer to buy shares of the Funds unless preceded or accompanied by the Funds’ current prospectus. Past performance results shown in this report should not be considered a representation of future performance. Investment returns and principal value of shares will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Statements and other information herein are as dated and are subject to change.

LPindex-12/21-AR

(b) Not Applicable

Item 2 –

Code of Ethics – The registrant (or the “Fund”) has adopted a code of ethics, as of the end of the period covered by this report, applicable to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. During the period covered by this report, the code of ethics was amended to update certain information and to make other non-material changes. During the period covered by this report, there have been no waivers granted under the code of ethics. The registrant undertakes to provide a copy of the code of ethics to any person upon request, without charge, who calls 1-800-441-7762.

Item 3 –

Audit Committee Financial Expert –The registrant’s board of directors (the “board of directors”), has determined that (i) the registrant has the following audit committee financial experts serving on its audit committee and (ii) each audit committee financial expert is independent:

Neil A. Cotty

Henry R. Keizer

Kenneth L. Urish

Under applicable securities laws, a person determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification. The designation or identification of a person as an audit committee financial expert does not affect the duties, obligations, or liability of any other member of the audit committee or board of directors.

Item 4 –

Principal Accountant Fees and Services

The following table presents fees billed by PricewaterhouseCoopers LLP (“PwC”) in each of the last two fiscal years for the services rendered to the Fund:



	(a) Audit Fees		(b) Audit-Related Fees¹		(c) Tax Fees²		(d) All Other Fees

Entity Name	Current Fiscal Year End	Previous Fiscal Year End	Current Fiscal Year End	Previous Fiscal Year End	Current Fiscal Year End	Previous Fiscal Year End	Current Fiscal Year End	Previous Fiscal Year End
BlackRock LifePath Index 2025 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2030 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2035 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2040 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2045 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2050 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0


BlackRock LifePath Index 2055 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2060 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index 2065 Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0
BlackRock LifePath Index Retirement Fund	$22,000	$22,000	$323	$0	$9,600	$9,600	$0	$0

The following table presents fees billed by PwC that were required to be approved by the registrant’s audit committee (the “Committee”) for services that relate directly to the operations or financial reporting of the Fund and that are rendered on behalf of BlackRock Advisors, LLC (the “Investment Adviser” or “BlackRock”)and entities controlling, controlled by, or under common control with BlackRock (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) that provide ongoing services to the Fund (“Affiliated Service Providers”):


	Current Fiscal Year End	Previous Fiscal Year End
(b) Audit-Related Fees¹	$0	$0
(c) Tax Fees²	$0	$0
(d) All Other Fees³	$0	$0

¹ The nature of the services includes assurance and related services reasonably related to the performance of the audit or review of financial statements not included in Audit Fees, including accounting consultations, agreed-upon procedure reports, attestation reports, comfort letters, out-of-pocket expenses and internal control reviews not required by regulators.

² The nature of the services includes tax compliance and/or tax preparation, including services relating to the filing or amendment of federal, state or local income tax returns, regulated investment company qualification reviews, taxable income and tax distribution calculations.

³ Aggregate fees borne by BlackRock in connection with the review of compliance procedures and attestation thereto performed by PwC with respect to all of the registered closed-end funds and some of the registered open-end funds advised by BlackRock.

(e)(1) Audit Committee Pre-Approval Policies and Procedures:

The Committee has adopted policies and procedures with regard to the pre-approval of services. Audit, audit-related and tax compliance services provided to the registrant on an annual basis require specific pre-approval by the Committee. The Committee also must approve other non-audit services provided to the registrant and those non-audit services provided to the Investment Adviser and Affiliated Service Providers that relate directly to the operations and the financial reporting of the registrant. Certain of these non-audit services that the Committee believes are (a) consistent with the SEC’s auditor independence rules and (b) routine and recurring services that will not impair the independence of the independent accountants may be approved by the Committee without consideration on a specific case-by-case basis (“general pre-approval”). The term of any general pre-approval is 12 months from the date of the pre-approval, unless the Committee provides for a different period. Tax or other non-audit services provided to the registrant which have a direct impact on the operations or financial reporting of the registrant will only be deemed pre-approved provided that any individual project does not exceed $10,000 attributable to the registrant or $50,000 per project. For this purpose, multiple projects will be aggregated to determine if they exceed the previously mentioned cost levels.

Any proposed services exceeding the pre-approved cost levels will require specific pre-approval by the registrant’s Committee, as will any other services not subject to general pre-approval (e.g., unanticipated but permissible services). The Committee is informed of each service approved subject to general pre-approval at the next regularly scheduled in-person board meeting. At this meeting, an analysis of such services is presented to the Committee for ratification. The Committee may delegate to the

Committee Chairman the authority to approve the provision of and fees for any specific engagement of permitted non-audit services, including services exceeding pre-approved cost levels.

(e)(2) None of the services described in each of Items 4(b) through (d) were approved by the Committee pursuant to the de minimis exception in paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f) Not Applicable

(g) The aggregate non-audit fees, defined as the sum of the fees shown under “Audit-Related Fees,” “Tax Fees” and “All Other Fees,” paid to the accountant for services rendered by the accountant to the registrant, the Investment Adviser and the Affiliated Service Providers were:



Entity Name	Current Fiscal Year End	Previous Fiscal Year End
BlackRock LifePath Index 2025 Fund	$9,923	$9,600
BlackRock LifePath Index 2030 Fund	$9,923	$9,600
BlackRock LifePath Index 2035 Fund	$9,923	$9,600
BlackRock LifePath Index 2040 Fund	$9,923	$9,600
BlackRock LifePath Index 2045 Fund	$9,923	$9,600
BlackRock LifePath Index 2050 Fund	$9,923	$9,600
BlackRock LifePath Index 2055 Fund	$9,923	$9,600
BlackRock LlifePath Index 2060 Fund	$9,923	$9,600
BlackRock LifePath Index 2065 Fund	$9,923	$9,600
BlackRock LifePath Index Retirement Fund	$9,923	$9,600

(h) The Committee has considered and determined that the provision of non-audit services that were rendered to the Investment Adviser and the Affiliated Service Providers that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.

Item 5 –

Audit Committee of Listed Registrant – Not Applicable

Item 6 –

Investments

(a) The registrant’s Schedule of Investments is included as part of the Report to Stockholders filed under Item 1(a) of this Form.

(b) Not Applicable due to no such divestments during the semi-annual period covered since the previous Form N-CSR filing.

Item 7 –

Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies – Not Applicable

Item 8 –

Portfolio Managers of Closed-End Management Investment Companies – Not Applicable

Item 9 –

Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers – Not Applicable

Item 10 –

Submission of Matters to a Vote of Security Holders – There have been no material changes to these procedures.

Item 11 –

Controls and Procedures

(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 15d-15(b) under the Securities Exchange Act of 1934, as amended.

(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 period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12 –

Disclosure of Securities Lending Activities for Closed-End Management Investment Companies – Not Applicable

Item 13 –

Exhibits attached hereto

(a)(1) Code of Ethics – See Item 2

(a)(2) Section 302 Certifications are attached

(a)(3) Any written solicitation to purchase securities under Rule 23c-1 – Not Applicable

(a)(4) Change in Registrant’s independent public accountant – Not Applicable

(b) Section 906 Certifications are attached

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 Funds III


		By:		/s/ John M. Perlowski
				John M. Perlowski
				Chief Executive Officer (principal executive officer) of
				BlackRock Funds III

Date: February 24, 2022

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 Funds III

Date: February 24, 2022


		By:		/s/ Trent Walker
				Trent Walker
				Chief Financial Officer (principal financial officer) of
				BlackRock Funds III

Date: February 24, 2022

BlackRock Funds III N-CSRCertified annual shareholder report (management investment company)