BLACKROCK FUND INVESTORS I
N-30D, 1995-06-29
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BlackRock Fund Investors I
- --------------------------------------------------------------------------------
Semi-Annual Report
April 30, 1995
(Unaudited)



<PAGE>

<TABLE>

BlackRock Fund Investors I
Statement of Assets and Liabilities
April 30, 1995
(Unaudited)
- -------------------------------------------------------------------------------------------------------------------
<S>                                                                                          <C>
Assets
Investment in BlackRock Asset Investors, at value (cost $5,216,498)
     (Note 1).......................................................................         $       4,755,534
Notes receivable (Note 4)...........................................................                    64,000
Deferred organization expenses and other assets (Note 1)............................                   130,418
                                                                                                       -------
                                                                                                     4,949,952

Liabilities
Advisory fee payable (Note 2).......................................................                   156,320
Payable for organization expenses...................................................                   128,850
Notes payable (Note 4)..............................................................                    64,000
Directors' fee payable..............................................................                    25,417
Other accrued expenses..............................................................                    16,913
                                                                                                        ------
                                                                                                       391,500

Net Assets..........................................................................         $       4,558,452
                                                                                             =       =========

Net assets were comprised of:
     Shares of beneficial interest, at par (Note 4).................................         $              52
     Paid-in capital in excess of par...............................................                 6,517,165
     Receivable for shares of beneficial interest (Note 4)..........................                (1,300,719)
                                                                                                    ---------- 
                                                                                                     5,216,498
     Net investment income (loss)...................................................                  (197,082)
     Net unrealized depreciation on investments.....................................                  (460,964)
                                                                                                      -------- 

     Net assets, April 30,1995......................................................         $       4,558,452
                                                                                             =       =========

Net asset value per share...........................................................         $          873.85
                                                                                             =          ======


Total shares outstanding at end of period...........................................                 5,216.498

- -------------------------------------------------------------------------------------------------------------------
</TABLE>











See Notes to Financial Statements.



                                       1
<PAGE>

<TABLE>
BlackRock Fund Investors I
Statement of Operations
For the Period March 30, 1995* through April 30,1995
(Unaudited)
- -------------------------------------------------------------------------------------------------------------------
<S>                                                                                          <C>
Net Investment Income

Income
Interest (net of interest expense of $480)..........................................         $              --
                                                                                             -                



Expenses
    Investment advisory.............................................................                   156,320
    Directors.......................................................................                    25,417
    Audit...........................................................................                     7,032
    Legal...........................................................................                     4,236
    Amortization of deferred organization expenses..................................                     2,189
    Custodian.......................................................................                     1,094
    Transfer agent..................................................................                       446
    Miscellaneous...................................................................                       348
                                                                                                           ---
       Total expenses...............................................................                   197,082
                                                                                                       -------
    Net investment income (loss)....................................................                  (197,082)
                                                                                                      -------- 

Realized and Unrealized Loss
    on Investments (Note 3)
Net unrealized depreciation on investments..........................................                  (460,964)
                                                                                                      -------- 

Net Decrease In Net Assets
    Resulting from Operations.......................................................         $        (658,046)
                                                                                             =        ======== 

- -------------------------------------------------------------------------------------------------------------------
</TABLE>

*Commencement of operations.













See Notes to Financial Statements.



                                       2
<PAGE>

<TABLE>
BlackRock Fund Investors I
Statement of Cash Flows
For the Period March 30, 1995* through April 30, 1995
(Unaudited)
- -------------------------------------------------------------------------------------------------------------------
<S>                                                                                              <C>
Increase (Decrease) in Cash Cash flows used for operating activities:
    Purchase of long-term portfolio investments ......................                           $    (5,216,498)
                                                                                                 -    ---------- 
Net cash flows used for operating activities .........................                                (5,216,498)
                                                                                                      ---------- 
Cash flows provided by financing activities:
    Proceeds from Trust shares issued ................................                                 5,216,498
Proceeds from notes sold .............................................                                    64,000
    Cost of notes purchased ..........................................                                   (64,000)
                                                                                                         ------- 
Net cash flows provided by financing activities ......................                                 5,216,498
                                                                                                       ---------
Net increase in cash .................................................                                        --
Cash at beginning of period...........................................                                        --
Cash at end of period ................................................                           $            --
                                                                                                 =              

Reconciliation of Net Decrease in Net
    Assets Resulting from Operations
    to Net Cash Flows Used for
    Operating Activities
Net decrease in net assets resulting from operations .................                           $      (658,046)
                                                                                                 -      -------- 
Increase in investments ..............................................                                (5,216,498)
Increase in unrealized depreciation ..................................                                   460,964
Increase in deferred organization expenses and other assets ..........                                  (130,418)
Increase in accrued expenses and other liabilities....................                                   327,500
                                                                                                         -------
    Total adjustments ................................................                                (4,558,452)
                                                                                                      ---------- 
Net cash flows used for operating activities .........................                           $    (5,216,498)
                                                                                                 =    ========== 
- -------------------------------------------------------------------------------------------------------------------
</TABLE>

*Commencement of operations.

















See Notes to Financial Statements.




                                       3
<PAGE>

<TABLE>
BlackRock Fund Investors I
Statement of Changes in Net Assets
For the Period March 30, 1995* through April 30, 1995
(Unaudited)
- -------------------------------------------------------------------------------------------------------------------
<S>                                                                                          <C>
Increase (Decrease) in Net Assets

Operations:

    Net investment income (loss)....................................................         $        (197,082)

    Net unrealized depreciation
       on investments...............................................................                  (460,964)
                                                                                                      -------- 

    Net decrease in net assets resulting
       from operations..............................................................                  (658,046)
                                                                                                      -------- 


 Transactions in shares of beneficial interest:

    Proceeds from shares issued.....................................................                 5,216,498
                                                                                                     ---------


    Net increase....................................................................                 4,558,452

Net Assets

Beginning of period.................................................................                        --

End of period.......................................................................         $       4,558,452
                                                                                             =       =========

- -------------------------------------------------------------------------------------------------------------------
</TABLE>

* Commencement of operations.













See Notes to Financial Statements.




                                       4
<PAGE>

<TABLE>
BlackRock Fund Investors I
Financial Highlights
- ---------------------------------------------------------------------------------------------------------------------
For the Period March 30, 1995* through April 30, 1995
- ---------------------------------------------------------------------------------------------------------------------
(Unaudited)
- ---------------------------------------------------------------------------------------------------------------------
<S>                                                                           <C>
PER SHARE OPERATING
   PERFORMANCE:
Net asset value, beginning of period......................                    $   1,000.00
                                                                              -   --------
   Net investment income (loss)...........................                          (37.78)
   Net unrealized loss on
      investments.........................................                          (88.37)
                                                                                    ------ 
Net decrease from investment operations...................                         (126.15)
                                                                                   ------- 
Net asset value, end of period............................                    $     873.85
                                                                              =     ======

TOTAL INVESTMENT RETURN (a)...............................                        (12.62)%

RATIOS TO AVERAGE NET ASSETS:
Expenses .................................................                             45%  (b)
Net investment loss ......................................                           (44)%  (b)

SUPPLEMENTAL DATA:
Average net assets (in thousands) ........................                          $5,056
Portfolio turnover .......................................                              --
Net assets, end of period (in thousands)..................                          $4,558

- ---------------------------------------------------------------------------------------------------------------------
</TABLE>

 *   Commencement of investment operations.
(a)  Total  investment  return is  calculated  assuming a purchase of a share of
     beneficial  interest  at net  asset  value per share on the first day and a
     sale at net asset  value per share on the last day of the period  reported.
     Dividends are assumed,  for purposes of this calculation,  to be reinvested
     at the net asset  value per share on the  payment  date.  Total  investment
     return for periods of less than one full year are not annualized.
(b)  Annualized.


     Contained  above is  unaudited  operating  performance  based on an average
     share of beneficial interest  outstanding,  total investment return, ratios
     to  average  net  assets  and  other  supplemental  data,  for  the  period
     indicated.  This  information  has been  determined  based  upon  financial
     information provided in the financial statements.














See Notes to Financial Statements.



                                       5
<PAGE>

BlackRock Fund Investors I
Notes to Financial Statements
(Unaudited)
- --------------------------------------------------------------------------------

Note 1.       Organization and Accounting Policies

     BlackRock  Fund  Investors  I ("Fund  I") is a  non-diversified  closed-end
investment company organized as a Delaware business trust. Fund I invests all of
assets in BlackRock Asset  Investors  ("BAI" or the "Trust") which is a Delaware
business  trust  registered  under  the  Investment  Company  Act of  1940  as a
non-diversified  closed-end  investment  company.  Fund  I  invests  all  of its
investable assets in BAI which has the same investment  objective as Fund I. The
value of Fund I's investment in BAI reflects Fund I's proportionate  interest in
the net assets of BAI (27.82% at April 30, 1995).  The  performance of Fund I is
directly affected by the performance of BAI. The financial statements of BAI are
included  in this  report  and  should  be read in  conjunction  with  Fund  I's
financial statements.

     The following is a summary of significant  accounting  policies followed by
Fund I.

Securities  Valuation:  Fund  I's  interest  in BAI is  valued  by Fund I at its
proportionate interest in the Net Asset Value of BAI. Valuation of securities by
BAI is  discussed  in Note 1 of BAI's Notes to  Financial  Statements  which are
included elsewhere in this report.

Securities  Transactions  and Investment  Income:  Securities  transactions  are
recorded  on the trade  date.  Realized  and  unrealized  gains and  losses  are
calculated  on the  identified  cost basis.  Interest  income is recorded on the
accrual  basis and Fund I accretes  premium or amortizes  discount on securities
purchased using the interest method.

Taxes:  It is Fund I's  intention  to continue to meet the  requirements  of the
Internal  Revenue Code  applicable  to  regulated  investment  companies  and to
distribute substantially all of its taxable income to shareholders.
Therefore, no federal income or excise tax provision is required.

Dividends and Distributions:  Fund I declares and distributes dividends at least
annually first from net investment income, then from realized short-term capital
gains and other sources. Fund I also expects to pay distributions in the form of
return of paid-in  capital.  Net long-term  capital gains,  if any, in excess of
loss   carryforwards   are   distributed  at  least   annually.   Dividends  and
distributions  are recorded on the ex-dividend  date.  Income  distributions and
capital  gain  distributions  are  determined  in  accordance  with  income  tax
regulations which may differ from generally accepted accounting principles.

Investment  Advisory,  Administration and Other Expenses:  Investment  advisory,
administration and other expenses are recorded on the accrual basis.

Deferred Organization  Expenses: A total expenditure of $128,850 was incurred in
connection  with the  organization of Fund I. These costs have been deferred and
are being  amortized  ratably  over a period  of 60 months  from the date Fund I
commenced investment operations.

Note 2.       Agreements

     Fund  I  has  Master  Administration  Agreement  with  BlackRock  Financial
Management,  Inc. (the  "Advisor")  which  provides  that during the  Commitment
Period  the Trust will pay to the  Advisor  for its  services  (which are solely
administrative  in nature) a semi-annual fee, in arrears,  in an amount equal to
 .50% of the aggregate Capital Commitments, on an annualized basis. 



                                       6
<PAGE>

Subsequent to the Commitment  Period,  the semi-annual fee payable in arrears to
the Advisor is .50% of the weighted average capital invested during the relevant
period on an annualized basis.

     Fund I has also entered into an Administration  Agreement with State Street
Bank  and  Trust  Company   ("State   Street").   For  its  services  under  the
Administration Agreement, State Street receives no fees from Fund I.

     Pursuant to the agreements,  the Advisor  provides  various  administrative
services, provides office space and pays the compensation of officers of Fund I,
who are  affiliated  persons of the  Advisor.  State Street pays  occupancy  and
certain  clerical and  accounting  costs of Fund I. Fund I bears all other costs
and expenses.

      Certain  trustees of Fund I who are not interested  parties are paid a fee
for their services in the amount of $40,000 each on an annual basis.

Note 3.       Portfolio Securities

     Purchases  of  investment  securities  for the period  ended April 30, 1995
aggregated $5,216,498. The federal income tax basis of the investments of Fund I
at  April  30,  1995  was  substantially  the same as the  basis  for  financial
reporting and,  accordingly,  net and gross unrealized  depreciation for federal
income tax purposes was $460,964.

Note 4.       Notes

     Fund I has issued and sold $64,000 aggregate principal amount of notes (the
"Notes")  paying  interest  at a per annum  rate of 2.50%  over the yield of the
one-year constant maturity Treasury,  redeemable  annually by the holder and due
on dissolution of the issuer.

Note 5.       Capital

     Fund  I has  obtained  Capital  Commitments  from  institutions  and  other
accredited  investors in the form of  subscription  agreements  to engage in the
real estate debt investment  activities  described herein. When notified by Fund
I, in accordance with the Declaration of Trust, the investors shall make capital
contributions  as are required to fill their  outstanding  Capital  Commitments.
Fund I must give fourteen days advance notice before  contributions  are due. As
of April 30, 1995, the total outstanding  Capital Commitments from investors was
$161,653,718.  On March 15, 1995, Fund I made a capital call,  received on March
30, 1995, totaling  $5,216,498.  Additionally,  on April 28, 1995, Fund I made a
capital call totaling  $1,300,719.  This amount was  outstanding as of April 30,
1995 and is recorded net in the capital  account of Fund I. On May 15, 1995, the
outstanding capital call was received in cash by Fund I.

     On May 24, 1995,  Fund I made  another  capital  call,  received on June 8,
1995, totaling $3,153,036.

Note 6.       Quarterly Data
<TABLE>
<CAPTION>
- -------------------- ---------------- ------------------------ ------------------------ ---------------------- -------------
                                                                  Net realized and
                                                                      unrealized
                                          Net Investment          gains (losses) on         Dividends and       Period end
     Quarterly            Total            Income (loss)             investments            Distributions       net asset
      Period          income (loss)   Amount       Per Share   Amount      Per Share    Amount   Per Share        value
      ------          -------------   ------       ---------   ------      ---------    ------   ---------        -----
<S>                   <C>               <C>        <C>         <C>         <C>          <C>      <C>              <C>

March 30, 1995*
to April 30, 1995              -        ($197,082) ($37.78)      ($460,964) ($88.37)       -         -            $ 873.85

- -------------------- ---------------- ------------------------ ------------------------ ---------------------- -------------
</TABLE>

- ---------------
*  Commencement of operations.



                                       7
<PAGE>

Trustees
Laurence D. Fink, Chairman
John C. Deterding
Thomas E. Dobrowski
Donald G. Drapkin
Wesley R. Edens
James Grosfeld
Philip Halpern
Laurence E. Hirsch
Kendrick R. Wilson, III

Officers
Ralph L. Schlosstein, President
Wesley R. Edens, Chief Operating Officer
John R. Herbert, Vice President
Robert I. Kauffman, Vice President
Randal A. Nardone, Vice President
Erik P. Nygaard, Vice President
Henry Gabbay, Treasurer
Susan L. Wagner, Secretary
James Kong, Assistant Treasurer
J. Robert Small, Assistant Secretary

Investment Adviser
BlackRock Financial Management, Inc.
345 Park Avenue
New York, NY  10154

Administrator, Custodian and Transfer Agent
State Street Bank and Trust Company
Two Heritage Drive
North Quincy, MA  02171

Independent Auditors
Deloitte & Touche LLP
2 World Financial Center
New York, NY  10281-1431

Legal Counsel
Skadden, Arps, Slate, Meagher & Flom
919 Third Avenue
New York, NY  10022



The accompanying financial statements as of April 30, 1995 were not audited and,
accordingly, no opinion is expressed on them.

This report is for shareholder  information.  This is not a prospectus  intended
for use in the purchase or sale of Trust shares.

BlackRock Fund Investors I
Two Heritage Drive
North Quincy, MA  02171




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