BlackRock Credit Allocation Income Trust
About: Blackrock Credit Allocation Income Trust is a diversified, closed-end Trust engaged in providing investment advisory and risk management solutions. Its investment objective is to seek current income, current gains, and capital appreciation. The company invests under normal market conditions, at least 80% of its assets in credit-related securities, including, but not limited to, investment-grade corporate bonds, high-yields, bank loans, preferred securities or convertible bonds, or derivatives with economic characteristics similar to these credit-related securities.
0
Funds holding %
of 7,431 funds
–
Analysts bullish %
Fund manager confidence
Based on 2025 Q2 regulatory disclosures by fund managers ($100M+ AUM)
2% more capital invested
Capital invested by funds: $357M [Q1] → $364M (+$6.26M) [Q2]
0.11% less ownership
Funds ownership: 35.74% [Q1] → 35.63% (-0.11%) [Q2]
3% less funds holding
Funds holding: 145 [Q1] → 141 (-4) [Q2]
13% less first-time investments, than exits
New positions opened: 14 | Existing positions closed: 16
20% less repeat investments, than reductions
Existing positions increased: 39 | Existing positions reduced: 49
100% less funds holding in top 10
Funds holding in top 10: 1 [Q1] → 0 (-1) [Q2]
Research analyst outlook
We haven’t received any recent analyst ratings for BTZ.
Financial journalist opinion
Positive
Seeking Alpha
2 months ago
BTZ: Income Fund That May Benefit From Interest Rate Cuts
BlackRock Credit Allocation Income Trust offers a high 9.4% yield and trades at a discount to NAV, making it attractive for income-focused, long-term investors. The fund's earnings and NAV growth have been inconsistent, raising concerns about the sustainability of current dividend payouts. BTZ's performance is highly sensitive to interest rates; future rate cuts could be a positive catalyst, but timing remains uncertain.
Neutral
Seeking Alpha
4 months ago
BTZ: Now Back To Fair Value (Rating Upgrade)
We upgrade BlackRock Credit Allocation Income Trust from 'Sell' to 'Hold' due to fair valuation amidst wider spreads and macro uncertainties. Recent violent price action and a significant discount to NAV have brought BTZ to a more balanced valuation. The macro outlook remains uncertain, with potential tariff reinstatements and slowing GDP growth, warranting a cautious 'Hold' rating for BTZ.
Positive
Seeking Alpha
5 months ago
BTZ: 9.5% Yield On Bonds, Monthly Payer
Recent market volatility has driven investors to safer assets like US Treasury debt and corporate bonds, with notable ETFs and funds showing positive returns. The BlackRock Credit Allocation Income Trust offers a 9.5% dividend yield, investing primarily in credit-related securities with a diversified portfolio and significant leverage. Bonds are expected to perform well in 2025, but BTZ is recommended for watchlist consideration pending a deeper discount to its long-term average.
Neutral
Seeking Alpha
8 months ago
BTZ: Narrow Credit Spreads Make This CEF A Sell (Rating Downgrade)
BTZ, a fixed income CEF, has a high 34% leverage ratio and invests in U.S. IG and HY bonds. Current credit spreads are very tight, and a mean reversion is expected in 2025, potentially leading to a -10% drawdown. The fund's distribution is not fully covered, with only 67% from cash-flows, translating to an actual yield of 6.3%.
Neutral
Forbes
9 months ago
Wall Street Missed The Memo On These Bond Yields Up To 13%
It's a party on Wall Street! While the suits fawn over the hot “Trump trade” stocks, we dividend investors are going to dumpster dive.
Positive
Seeking Alpha
10 months ago
BTZ: Risks May Exceed Upside Potential For Bonds And This Bond CEF
The BlackRock Credit Allocation Income Trust offers a high yield of 8.96%, appealing to income-seeking investors despite its limited inflation protection. The BTZ closed-end fund's substantial allocation to fixed-income securities makes it vulnerable in an inflationary environment, which favors equities and hard assets instead. Recent economic data suggests inflation may not be under control, potentially limiting the Federal Reserve's ability to cut interest rates further.
Positive
Seeking Alpha
1 year ago
BTZ: A Hold For Now Given Where Credit Spreads Are, 9.4% Yield
This analysis argues that BTZ, a BlackRock fixed income CEF, is not a good buy right now despite its attractive yield. The analysis highlights that current credit spreads are historically low, and when they widen (which is expected), it will negatively impact BTZ's price. A significant portion of BTZ's distribution comes from ROC, which essentially returns investors' own money and can erode the fund's NAV over time.
Neutral
Business Wire
1 year ago
Distribution Dates and Amounts Announced for Certain BlackRock Closed-End Funds
NEW YORK--(BUSINESS WIRE)---- $BBN--Certain BlackRock closed-end funds (the “Funds”) announced distributions today as detailed below. Certain BlackRock Funds previously declared their June distributions on May 20, 2024 BlackRock ESG Capital Allocation Term Trust (NYSE: ECAT), BlackRock Capital Allocation Term Trust (NYSE: BCAT), BlackRock Health Sciences Term Trust (NYSE: BMEZ), BlackRock Science and Technology Term Trust (NYSE: BSTZ), and BlackRock Innovation and Growth Term Trust (NYSE: BIGZ) previous.
Negative
Seeking Alpha
1 year ago
BTZ: A Decent Multi-Sector Bond Fund, But Lack Of Floaters A Risk
BlackRock Credit Allocation Income Trust is a debt-focused closed-end fund that boasts a 9.23% current yield. The BTZ closed-end fund claims to invest in a combination of floating-rate and fixed-rate debt, but the portfolio is almost entirely in fixed-rate assets with floating-rate securities an afterthought. The BTZ fund substantially underperformed competing funds that are more flexible in the balance between floaters and fixed-rate bonds over the past three years.
Neutral
Business Wire
1 year ago
Distribution Dates and Amounts Announced for Certain BlackRock Closed-End Funds
NEW YORK--(BUSINESS WIRE)--Certain BlackRock closed-end funds (the “Funds”) announced distributions today as detailed below. Municipal Funds: Declaration- 3/1/2024 Ex-Date- 3/14/2024 Record- 3/15/2024 Payable- 4/1/2024 National Funds Ticker Distribution Change From Prior Distribution BlackRock Municipal Income Quality Trust* BYM $0.052500 - BlackRock Long-Term Municipal Advantage Trust* BTA $0.043500 - BlackRock MuniAssets Fund, Inc.* MUA $0.055500 - BlackRock Municipal Income Fund, Inc.
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