BlackRock Health Sciences Trust II (BMEZ) Announces Release of First Quarter Fund Commentary

Rhea-AI Summary

BlackRock has released its first quarter commentary for the BlackRock Health Sciences Trust II (BMEZ). Since its IPO in January 2020, BMEZ has achieved a 36% market price return, outperforming the MSCI World Healthcare Index by 22%. A 45% increase in monthly distributions was announced on March 1, 2021, bringing the annualized distribution rate to 6.4%. Currently, the Trust holds 22 private investments, making up 7% of the portfolio, as it seeks to leverage illiquidity premiums.

Positive

• 36% market price return since IPO, outperforming MSCI World Healthcare Index by 22%
• 45% increase in monthly distribution announced, with an annualized distribution rate of 6.4%
• Trust has maintained a record of paying $1.25 per share in distributions since inception
• Holds 22 private investments (7% of the portfolio), seeking opportunities in private investments

Negative

• None.

BlackRock today announced the release of the first quarter fund commentary for BlackRock Health Sciences Trust II (NYSE: BMEZ, CUSIP: 09260E105 or the “Trust”). BMEZ is a closed-end fund that takes a unique approach to investing in the healthcare sector by blending “next generation” healthcare stocks and private investments along with a tactical single-stock option-writing strategy to generate income to support the Trust’s monthly distribution. Key takeaways are listed below:

• BMEZ has returned 36% on market price¹ since its IPO in January 2020, outperforming the MSCI World Healthcare Index by 22%

• On March 1, 2021 BMEZ announced a 45% increase in its monthly distribution and now has an annualized distribution rate of 6.4%². Since inception, the Trust has paid $1.25 per share in distributions³

• BMEZ holds 22 private investments⁴ (7% of the portfolio) as of 3/31/21. The Trust continues to seek opportunities to harvest the illiquidity premium by taking advantage of the “closed” structure and add exposure to private investments

Find more information on BMEZ’s portfolio positioning and performance in the commentary linked below:

BMEZ First Quarter 2021 Commentary

For more information on BlackRock’s closed-end funds, please visit www.blackrock.com/CEF

¹ As of 3/31/2021
² Distribution rate is calculated by annualizing the latest declared distribution and dividing by the closing market price on 4/22/2021.
³ The Trust has adopted a managed distribution plan to support a level distribution of income, capital gains and/or return of capital. If sufficient investment income is not available on a monthly basis, the Trust will distribute long-term capital gains and/or return capital to shareholders in order to maintain the level distribution. You should not draw any conclusions about the Trust 's investment performance from the amount of these distributions or from the terms of the Trust 's managed distribution plan. The Trust estimates that it has distributed more than its income and net realized capital gains; therefore, a portion of past distributions may be a return of capital. A return of capital may occur, for example, when some or all of the money that you invested in the fund is paid back to you. A return of capital distribution does not necessarily reflect the Trust 's investment performance and should not be confused with ‘yield’ or ‘income'.
⁴ The information above is not a prediction of future performance or any assurance that comparable investment opportunities will be available at the time of investment. It is non-representative of all underlying investments made by the Investment Team and it should not be assumed that Investment Team will invest in comparable investments, or that any future Investments made by Investment Team will be successful. To the extent that these investments prove to be profitable, it should not be assumed that the Investment Team’s other investments will be profitable or will be as profitable.”

About BlackRock

BlackRock’s purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com | Twitter: @blackrock | Blog: www.blackrockblog.com | LinkedIn: www.linkedin.com/company/blackrock

Availability of Fund Updates

BlackRock will update performance and certain other data for the Funds on a monthly basis on its website in the “Closed-end Funds” section of www.blackrock.com as well as certain other material information as necessary from time to time. Investors and others are advised to check the website for updated performance information and the release of other material information about the Funds. This reference to BlackRock’s website 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 release.

Forward-Looking Statements

This press release, and other statements that BlackRock or a Fund may make, may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act, with respect to a Fund’s or BlackRock’s future financial or business performance, strategies or expectations. Forward-looking statements are typically identified by words or phrases such as “trend,” “potential,” “opportunity,” “pipeline,” “believe,” “comfortable,” “expect,” “anticipate,” “current,” “intention,” “estimate,” “position,” “assume,” “outlook,” “continue,” “remain,” “maintain,” “sustain,” “seek,” “achieve,” and similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “may” or similar expressions.

BlackRock cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made, and BlackRock assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance.

With respect to the Funds, the following factors, among others, could cause actual events to differ materially from forward-looking statements or historical performance: (1) changes and volatility in political, economic or industry conditions, the interest rate environment, foreign exchange rates or financial and capital markets, which could result in changes in demand for the Funds or in a Fund’s net asset value; (2) the relative and absolute investment performance of a Fund and its investments; (3) the impact of increased competition; (4) the unfavorable resolution of any legal proceedings; (5) the extent and timing of any distributions or share repurchases; (6) the impact, extent and timing of technological changes; (7) the impact of legislative and regulatory actions and reforms, including the Dodd-Frank Wall Street Reform and Consumer Protection Act, and regulatory, supervisory or enforcement actions of government agencies relating to a Fund or BlackRock, as applicable; (8) terrorist activities, international hostilities and natural disasters, which may adversely affect the general economy, domestic and local financial and capital markets, specific industries or BlackRock; (9) BlackRock’s ability to attract and retain highly talented professionals; (10) the impact of BlackRock electing to provide support to its products from time to time; and (11) the impact of problems at other financial institutions or the failure or negative performance of products at other financial institutions.

Annual and Semi-Annual Reports and other regulatory filings of the Funds with the Securities and Exchange Commission (“SEC”) are accessible on the SEC's website at www.sec.gov and on BlackRock’s website at www.blackrock.com, and may discuss these or other factors that affect the Funds. The information contained on BlackRock’s website is not a part of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210426005502/en/

FAQ

What is the recent performance of BlackRock Health Sciences Trust II (BMEZ)?

BMEZ has returned 36% on market price since its IPO in January 2020, outperforming the MSCI World Healthcare Index by 22%.

What distribution increase did BMEZ announce in March 2021?

BMEZ announced a 45% increase in its monthly distribution, leading to an annualized distribution rate of 6.4%.

What are the private investments held by BMEZ?

As of March 31, 2021, BMEZ holds 22 private investments, accounting for 7% of its portfolio.