BIT: Revisiting This Former Holding

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Jul. 26, 2025 11:14 PM ETBlackRock Multi-Sector Income Trust (BIT)BITBinary Tree Analytics5.2K FollowersSummaryBlackRock Multi-Sector Income Trust is now heavily overweight U.S. high yield, with over 75% sub-investment grade exposure and short duration.The fund delivered middle-of-the-pack performance versus peers over the past year, with leverage and asset mix helping to normalize returns.BIT currently trades near net asset value, with a typical premium/discount range of -6% to +6%, indicating fair valuation in the current market.Given its high yield focus and fair valuation, BIT offers a compelling income option, but investors should be mindful of risk-off market shifts.georgeclerkThesisWe have not covered the BlackRock Multi-Sector Income Trust’s (NYSE:BIT) for almost a year now, with the CEF representing a former holding of ours. We were impressed how this fund navigated 2022, having interest rate hedges on whichThis article was written byBinary Tree Analytics5.2K FollowersWith an investment banking cash and derivatives trading background, Binary Tree Analytics ('BTA') aims to provide transparency and analytics in respect to capital markets instruments and trades. BTA focuses on CEFs, ETFs and Special Situations, and aims to deliver high annualized returns with a low volatility profile. We have been investing for over 20 years after obtaining a Finance major at a top university.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Comments