Edgar Filing: BLACKROCK MUNIENHANCED FUND, INC.

BLACKROCK MUNIENHANCED FUND, INC.

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: 811-05739

Name of Fund: BlackRock MuniEnhanced Fund, Inc. (MEN)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

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

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 04/30/2018

Date of reporting period: 10/31/2017

Item 1 – Report to Stockholders

OCTOBER 31, 2017


SEMI-ANNUAL REPORT (UNAUDITED)

BlackRock MuniAssets Fund, Inc. (MUA)

BlackRock MuniEnhanced Fund, Inc. (MEN)

BlackRock MuniHoldings Fund, Inc. (MHD)

BlackRock MuniHoldings Fund II, Inc. (MUH)

BlackRock MuniHoldings Quality Fund, Inc. (MUS)

BlackRock Muni Intermediate Duration Fund, Inc. (MUI)

BlackRock MuniVest Fund II, Inc. (MVT)

Not FDIC Insured • May Lose Value • No Bank Guarantee

The Markets in Review

Dear Shareholder,

In the 12 months ended October 31, 2017, risk assets, such as stocks and high-yield bonds, continued to deliver strong performance. These markets showed great resilience during a period with big political surprises, including the aftermath of the U.K.’s vote to leave the European Union and the outcome of the U.S. presidential election, which brought only brief spikes in equity market volatility. In contrast, closely watched elections in France, the Netherlands, and Australia countered the isolationist and nationalist political developments in the U.K. and the United States.

Interest rates rose, which worked against high-quality assets with more interest rate sensitivity. Consequently, longer-term U.S. Treasuries posted negative returns, as rising energy prices, modest wage increases, and steady job growth led to expectations of higher inflation and further interest rate increases by the U.S. Federal Reserve (the “Fed”).

The market’s performance reflected reflationary expectations early in the reporting period, as investors began to sense that a global recovery was afoot. Thereafter, many countries throughout the world experienced sustained and synchronized growth for the first time since the financial crisis. Growth rates and inflation are still relatively low, but they are finally rising together.

The Fed responded to these positive developments by increasing short-term interest rates three times and setting expectations for additional interest rate increases. The Fed also began reducing the vast balance sheet reserves that had accumulated in the wake of the financial crisis. In October 2017, the Fed reduced its $4.5 trillion balance sheet by only $10 billion, while setting expectations for additional modest reductions and rate hikes in 2018.

By contrast, the European Central Bank (“ECB”) and the Bank of Japan (“BoJ”) both continued to expand their balance sheets despite nascent signs of sustained economic growth. The Eurozone and Japan are both approaching the limits of central banks’ ownership share of debt issued by their respective governments, which is a structural pressure point that limits their capacity to deliver additional monetary stimulus. In October 2017, the ECB announced plans to cut the amount of its bond purchases in half for 2018, while the BoJ reiterated its commitment to economic stimulus until the inflation rate rises to its target of 2.0%.

Emerging market growth also stabilized, as accelerating growth in China, the second largest economy in the world and the most influential of all developing economies, improved the outlook for corporate profits and economic growth across most developing nations. Chinese demand for commodities and other raw materials allayed concerns about the country’s banking system, leading to rising equity prices and foreign investment flows.

While escalating tensions between the United States and North Korea and our nation’s divided politics are significant concerns, benign credit conditions, modest inflation, solid corporate earnings, and the positive outlook for growth in the world’s largest economies have kept markets relatively tranquil.

High valuations across most assets have laid the groundwork for muted returns going forward. At current valuation levels, potential equity gains will likely be closely tied to the pace of earnings growth, which has remained solid thus far in 2017, particularly in emerging markets. In this environment, 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 October 31, 2017
	6-month	12-month
U.S. large cap equities (S&P 500^® Index)	9.10%	23.63%
U.S. small cap equities (Russell 2000^® Index)	8.01	27.85
International equities (MSCI Europe, Australasia, Far East Index)	10.74	23.44
Emerging market equities (MSCI Emerging Markets Index)	16.14	26.45
3-month Treasury bills (BofA Merrill Lynch 3-Month U.S. Treasury Bill Index)	0.49	0.72
U.S. Treasury securities (BofA Merrill Lynch 10-Year U.S. Treasury Index)	0.15	(2.98)
U.S. investment grade bonds (Bloomberg Barclays U.S. Aggregate Bond Index)	1.58	0.90
Tax-exempt municipal bonds (S&P Municipal Bond Index)	2.22	1.80
U.S. high yield bonds (Bloomberg Barclays U.S. Corporate High Yield 2% Issuer Capped Index)	3.44	8.92
Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. You cannot invest directly in an index.


2		THIS PAGE IS NOT PART OF YOUR FUND REPORT

Table of Contents


	Page
The Markets in Review		2
Semi-Annual Report:
Municipal Market Overview		4
The Benefits and Risks of Leveraging		5
Derivative Financial Instruments		5
Fund Summaries		6
Financial Statements:
Schedules of Investments		20
Statements of Assets and Liabilities		69
Statements of Operations		71
Statements of Changes in Net Assets		73
Statements of Cash Flows		77
Financial Highlights		79
Notes to Financial Statements		86
Disclosure of Investment Advisory Agreements		95
Director and Officer Information		99
Additional Information		100
Glossary of Terms Used in this Report		103


			3

Municipal Market Overview For the Reporting Period Ended October 31, 2017

Municipal Market Conditions

Municipal bonds experienced modestly positive performance for the period as a result of rising interest rates spurring from generally stronger economic data, signs of inflation pressures, Fed monetary policy normalization, and market expectations for pro-growth fiscal policy. However, ongoing reassurance from the Fed that rates would be increased gradually and would likely remain low overall resulted in continued demand for fixed income investments. More specifically, investors favored the income, attractive relative yield, and stability of municipal bonds amid bouts of interest rate volatility (bond prices rise as rates fall) resulting from geopolitical tensions, the contentious U.S. election, and evolving global central bank policies. During the 12 months ended October 31, 2017, municipal bond funds experienced net outflows of approximately $3 billion (based on data from the Investment Company Institute). The asset class came under pressure post the November U.S. election as a result of uncertainty surrounding potential tax-reform, though expectation that tax reform was likely to be delayed or watered down quickly eased investor concerns.


For the same 12-month period, total new issuance remained healthy from a historical perspective at $376 billion (though well below the robust $441 billion issued in the prior 12-month period). A noteworthy portion of new supply during this period was attributable to refinancing activity (roughly 51%) as issuers continued to take advantage of low interest rates and a flat yield curve to reduce their borrowing costs.		S&P Municipal Bond Index
		Total Returns as of October 31, 2017
		6 months: 2.22%
		12 months: 1.80%

A Closer Look at Yields

LOGO

From October 31, 2016 to October 31, 2017, yields on AAA-rated 30-year municipal bonds increased by 27 basis points (“bps”) from 2.56% to 2.83%, while 10-year rates rose by 28 bps from 1.73% to 2.01% and 5-year rates increased 29 bps from 1.13% to 1.42% (as measured by Thomson Municipal Market Data). The municipal yield curve steepened modestly over the 12-month period with the spread between 2- and 30-year maturities steepening by just 2 bps.

During the same time period, on a relative basis, tax-exempt municipal bonds strongly outperformed U.S. Treasuries with the greatest outperformance experienced in the front and intermediate portions of the yield curve. The relative positive performance of municipal bonds was driven largely by a supply/demand imbalance within the municipal market as investors sought income and incremental yield in an environment where opportunities became increasingly scarce. The asset class is known for its lower relative volatility and preservation of principal with an emphasis on income as tax rates rise.

Financial Conditions of Municipal Issuers

The majority of municipal credits remain strong, despite well-publicized distress among a few issuers. Four of the five states with the largest amount of debt outstanding — California, New York, Texas and Florida — have exhibited markedly improved credit fundamentals during the slow national recovery. However, several states with the largest unfunded pension liabilities have seen their bond prices decline noticeably and remain vulnerable to additional price deterioration. On the local level, Chicago’s credit quality downgrade is an outlier relative to other cities due to its larger pension liability and inadequate funding remedies. BlackRock maintains the view that municipal bond defaults will remain minimal and in the periphery while the overall market is fundamentally sound. We continue to advocate careful credit research and believe that a thoughtful approach to structure and security selection remains imperative amid uncertainty in a modestly improving economic environment.

The opinions expressed are those of BlackRock as of October 31, 2017, and are subject to change at any time due to changes in market or economic conditions. The comments should not be construed as a recommendation of any individual holdings or market sectors. Investing involves risk including loss of principal. Bond values fluctuate in price so the value of your investment can go down depending on market conditions. Fixed income risks include interest-rate and credit risk. Typically, when interest rates rise, there is a corresponding decline in bond values. Credit risk refers to the possibility that the bond issuer will not be able to make principal and interest payments. There may be less information on the financial condition of municipal issuers than for public corporations. The market for municipal bonds may be less liquid than for taxable bonds. Some investors may be subject to Alternative Minimum Tax (“AMT”). Capital gains distributions, if any, are taxable.

The Standard & Poor’s Municipal Bond Index, a broad, market value-weighted index, seeks to measure the performance of the U.S. municipal bond market. All bonds in the index are exempt from U.S. federal income taxes or subject to the AMT. Past performance is no guarantee of future results. Index performance is shown for illustrative purposes only. It is not possible to invest directly in an index.


4		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

The Benefits and Risks of Leveraging

The Funds may utilize leverage to seek to enhance the distribution rate on, and net asset value (“NAV”) of, their common shares (“Common Shares”). However, these objectives cannot be achieved in all interest rate environments.

In general, the concept of leveraging is based on the premise that the financing cost of leverage, which is based on short-term interest rates, is normally lower than the income earned by a Fund on its longer-term portfolio investments purchased with the proceeds from leverage. To the extent that the total assets of the Funds (including the assets obtained from leverage) are invested in higher-yielding portfolio investments, the Funds’ shareholders benefit from the incremental net income. The interest earned on securities purchased with the proceeds from leverage is paid to shareholders in the form of dividends, and the value of these portfolio holdings is reflected in the per share NAV.

To illustrate these concepts, assume a Fund’s Common Shares capitalization is $100 million and it utilizes leverage for an additional $30 million, creating a total value of $130 million available for investment in longer-term income securities. If prevailing short-term interest rates are 3% and longer-term interest rates are 6%, the yield curve has a strongly positive slope. In this case, a Fund’s financing costs on the $30 million of proceeds obtained from leverage are based on the lower short-term interest rates. At the same time, the securities purchased by a Fund with the proceeds from leverage earn income based on longer-term interest rates. In this case, a Fund’s financing cost of leverage is significantly lower than the income earned on a Fund’s longer-term investments acquired from such leverage proceeds, and therefore the holders of Common Shares (“Common Shareholders”) are the beneficiaries of the incremental net income.

However, in order to benefit Common Shareholders, the return on assets purchased with leverage proceeds must exceed the ongoing costs associated with the leverage. If interest and other costs of leverage exceed the Funds’ return on assets purchased with leverage proceeds, income to shareholders is lower than if the Funds had not used leverage. Furthermore, the value of the Funds’ portfolio investments generally varies inversely with the direction of long-term interest rates, although other factors can influence the value of portfolio investments. In contrast, the value of the Funds’ obligations under their respective leverage arrangements generally does not fluctuate in relation to interest rates. As a result, changes in interest rates can influence the Funds’ NAVs positively or negatively. Changes in the future direction of interest rates are very difficult to predict accurately, and there is no assurance that the Funds’ intended leveraging strategy will be successful.

The use of leverage also generally causes greater changes in each Fund’s NAV, market price and dividend rates than comparable portfolios without leverage. In a declining market, leverage is likely to cause a greater decline in the NAV and market price of a Fund’s Common Shares than if the Fund were not leveraged. In addition, each Fund may be required to sell portfolio securities at inopportune times or at distressed values in order to comply with regulatory requirements applicable to the use of leverage or as required by the terms of leverage instruments, which may cause the Fund to incur losses. The use of leverage may limit a Fund’s ability to invest in certain types of securities or use certain types of hedging strategies. Each Fund incurs expenses in connection with the use of leverage, all of which are borne by Common Shareholders and may reduce income to the Common Shares. Moreover, to the extent the calculation of the Funds’ investment advisory fees includes assets purchased with the proceeds of leverage, the investment advisory fees payable to the Funds’ investment adviser will be higher than if the Funds did not use leverage.

To obtain leverage, each Fund has issued Variable Rate Demand Preferred Shares (“VRDP Shares”) and Variable Rate Muni Term Preferred Shares (“VMTP Shares”) (collectively, “Preferred Shares”) and/or leveraged its assets through the use of tender option bond trusts (“TOB Trusts”) as described in the Notes to Financial Statements.

Under the Investment Company Act of 1940, as amended (the “1940 Act”), each Fund is permitted to issue debt up to 33 1/3% of its total managed assets or equity securities (e.g., Preferred Shares) up to 50% of its total managed assets. A Fund may voluntarily elect to limit its leverage to less than the maximum amount permitted under the 1940 Act. In addition, a Fund may also be subject to certain asset coverage, leverage or portfolio composition requirements imposed by the Preferred Shares’ governing instruments or by agencies rating the Preferred Shares, which may be more stringent than those imposed by the 1940 Act.

If a Fund segregates or designates on its books and records cash or liquid assets having a value not less than the value of a Fund’s obligations under the TOB Trust (including accrued interest), then the TOB Trust is not considered a senior security and is not subject to the foregoing limitations and requirements imposed by the 1940 Act.

Derivative Financial Instruments

The Funds may invest in various derivative financial instruments. These instruments are used to obtain exposure to a security, commodity, index, market, and/or other asset 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 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 Fund can realize on an investment and/or may result in lower distributions paid to shareholders. The Funds’ investments in these instruments, if any, are discussed in detail in the Notes to Financial Statements.


THE BENEFITS AND RISKS OF LEVERAGING / DERIVATIVE FINANCIAL INSTRUMENTS			5


Fund Summary as of October 31, 2017		BlackRock MuniAssets Fund, Inc.

Investment Objective

BlackRock MuniAssets Fund, Inc.’s (MUA) (the “Fund”) investment objective is to provide high current income exempt from U.S. federal income taxes by investing primarily in a portfolio of medium- to lower-grade or unrated municipal obligations, the interest on which, in the opinion of bond counsel to the issuer, is exempt from U.S. federal income taxes. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). The Fund invests at least 65% of its assets in municipal bonds that are rated in the medium to lower rating categories by nationally recognized rating services (for example, Baa or lower by Moody’s Investors Service, Inc. (“Moody’s”) or BBB or lower by Standard & Poor’s Corporation (“S&P”), or securities that are unrated but are deemed by the investment adviser to be of comparable quality at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on New York Stock Exchange (“NYSE”)		MUA
Initial Offering Date		June 25, 1993
Yield on Closing Market Price as of October 31, 2017 ($14.94)^(a)		4.62%
Tax Equivalent Yield^(b)		8.16%
Current Monthly Distribution per Common Share^(c)		$0.0575
Current Annualized Distribution per Common Share^(c)		$0.6900
Economic Leverage as of October 31, 2017^(d)		12%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

Tax equivalent yield assumes the maximum marginal U.S. federal tax rate of 43.4%, which includes the 3.8% Medicare tax. Actual tax rates will vary based on income, exemptions and deductions. Lower taxes will result in lower tax equivalent yields.

^(c)

The monthly distribution per Common Share, declared on December 1, 2017, was decreased to $0.0545 per share. The yield on closing market price, current monthly distribution per Common Share and current annualized distribution per Common Share do not reflect the new distribution rate. The new distribution rate is not constant and is subject to change in the future.

^(d)

Represents TOB Trusts as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to TOB Trusts, minus the sum of its accrued liabilities. For a discussion of leveraging techniques utilized by the Fund, please see The Benefits and Risks of Leveraging on page 5.

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MUA^(a)(b)		3.26%		3.01%
Lipper Closed-End High Yield Municipal Debt Funds^(c)		3.73%		3.64%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund’s premium to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

Past performance is not indicative of future results. Performance results may include adjustments made for financial reporting purposes in accordance with U.S. generally accepted accounting principles.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

U.S. municipal bonds rallied in the six-month period due to the combination of fading prospects for tax reform during the early spring and summer, a positive balance of supply and demand in the market, and budget agreements in Illinois and Connecticut. Longer-term bonds outpaced shorter-term issues, reflecting the backdrop of muted inflation data and expectations for continued monetary policy tightening by the Fed.

•

The Fund’s positions in longer-dated securities made the largest contribution to performance, as bonds in the 20- to 40-year maturity range outpaced the broader market.

•

Investments in lower-rated investment-grade, below investment-grade and non-rated securities benefited performance at a time of robust investor risk appetites. Credit spreads narrowed considerably amid strong fund flows and investors’ ongoing search for yield.

•

At the sector level, the largest contributions came from health care, transportation and tobacco issues. The Fund gained an additional benefit from investments in development districts and single-site project financings.

•

Investments in high-quality, pre-refunded securities in the one- to five-year range declined in value amid the upward pressure on short-term interest rates fostered by the ongoing normalization of monetary policy. These positions, which the Fund acquired in a higher-rate environment, were retained due to their above average income.

•

The Fund’s modest exposure to general obligation bonds issued by Puerto Rico, which suffered large price declines in the wake of hurricane damage on the island, also detracted.


6		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock MuniAssets Fund, Inc.

•

The Fund sought to manage interest rate risk using U.S. Treasury futures, which had a small, positive effect on returns.

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.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change		High		Low
Market Price	$	14.94	$	14.82		0.81%	$	15.84	$	14.44
Net Asset Value	$	14.15	$	14.07		0.57%	$	14.29	$	14.05

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector	10/31/17			4/30/17
Health		20	%		22	%
County/City/Special District/School District		18			13
Tobacco		17			16
Transportation		17			19
Education		9			10
Utilities		8			8
Corporate		7			7
State		3			3
Housing		1			2

For Fund compliance purposes, the Fund’s sector classifications refer to one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment adviser. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease.

CALL/MATURITY SCHEDULE^(c)


Calendar Year Ended December 31,
2017	14	%
2018	8
2019	5
2020	13
2021	20

^(c)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(a)


Credit Rating	10/31/17			4/30/17
AA/Aa		20	%		19	%
A		6			8
BBB/Baa		21			21
BB/Ba		9			9
B/B		12			11
CCC/Caa		—			1
N/R^(b)		32			31

^(a)

For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P or Moody’s if ratings differ. These rating agencies are independent, nationally recognized statistical rating organizations and are widely used. Investment grade ratings are credit ratings of BBB/Baa or higher. Below investment grade ratings are credit ratings of BB/Ba or lower. Investments designated N/R are not rated by either rating agency. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

^(b)

The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of October 31, 2017 and April 30, 2017, the market value of unrated securities deemed by the investment adviser to be investment grade represents 1% and 5%, respectively, of the Fund’s total investments.


FUND SUMMARY			7


Fund Summary as of October 31, 2017		BlackRock MuniEnhanced Fund, Inc.

Investment Objective

BlackRock MuniEnhanced Fund, Inc.’s (MEN) (the “Fund”) investment objective is to provide shareholders with as high a level of current income exempt from U.S. federal income taxes as is consistent with its investment policies and prudent investment management. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). Under normal market conditions, the Fund invests primarily in long-term municipal bonds rated investment grade quality or, if unrated, are deemed to be of comparable quality by the investment adviser at the time of investment and invests primarily in long-term municipal bonds with maturities of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on NYSE		MEN
Initial Offering Date		March 2, 1989
Yield on Closing Market Price as of October 31, 2017 ($11.75)^(a)		5.77%
Tax Equivalent Yield^(b)		10.19%
Current Monthly Distribution per Common Share^(c)		$0.0565
Current Annualized Distribution per Common Share^(c)		$0.6780
Economic Leverage as of October 31, 2017^(d)		38%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

^(c)

The monthly distribution per Common Share, declared on December 1, 2017, was decreased to $0.048 per share. The yield on closing market price, current monthly distribution per Common Share and current annualized distribution per Common Share do not reflect the new distribution rate. The new distribution rate is not constant and is subject to change in the future.

^(d)

Represents VRDP Shares and TOB Trusts as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to VRDP Shares and TOB Trusts, minus the sum of its accrued liabilities. For a discussion of leveraging techniques utilized by the Fund, please see The Benefits and Risks of Leveraging on page 5.

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MEN^(a)(b)		3.40%		4.27%
Lipper General & Insured Municipal Debt Funds (Leveraged)^(c)		2.34%		3.81%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

Portfolio income, enhanced by leverage, produced the largest positive contribution to performance in a period characterized by a mild decline in municipal bond yields. (Prices and yields move in opposite directions.)

•

The Fund’s exposure to the long end of the yield curve aided results at a time of outperformance for longer-term bonds. Positions in lower-coupon bonds, including zero-coupon issues, contributed to performance due to their above-average interest rate sensitivity.

•

The Fund’s position in New Jersey state-appropriated debt benefited from a meaningful tightening of yield spreads. At the sector level, transportation issues made a strong contribution to performance. Municipal bonds subject to the AMT, which outperformed in anticipation of possible tax law changes, also performed well.

•

The Fund sought to manage interest rate risk using U.S. Treasury futures, which had a small, positive effect on returns.

•

Exposure to pre-refunded issues slightly hurt Fund results given the underperformance of short-term bonds.

•

Reinvestment was a further detractor, as the proceeds of higher-yielding bonds that matured or were called needed to be reinvested at materially lower prevailing rates.


8		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock MuniEnhanced Fund, Inc.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change			High		Low
Market Price	$	11.75	$	11.69		0.51	%	$	12.45	$	11.61
Net Asset Value	$	11.93	$	11.77		1.36	%	$	12.11	$	11.75

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector	10/31/17			4/30/17
Transportation		26	%		24	%
State		17			15
County/City/Special District/School District		15			18
Health		15			12
Utilities		12			15
Education		9			11
Corporate		3			3
Housing		2			1
Tobacco		1			1

CALL/MATURITY SCHEDULE^(c)


Calendar Year Ended December 31,
2017	3	%
2018	9
2019	15
2020	3
2021	12

^(c)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(a)


Credit Rating	10/31/17			4/30/17
AAA/Aaa		8	%		11	%
AA/Aa		50			57
A		24			17
BBB/Baa		10			12
BB/Ba		2			—
N/R^(b)		6			3

^(a)

^(b)

The investment adviser evaluates the credit quality of unrated investments based upon certain factors including but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of October 31, 2017 and April 30, 2017, the market value of unrated securities deemed by the investment adviser to be investment grade each represents less than 1% of the Fund’s total investments.


FUND SUMMARY			9


Fund Summary as of October 31, 2017		BlackRock MuniHoldings Fund, Inc.

Investment Objective

BlackRock MuniHoldings Fund, Inc.’s (MHD) (the “Fund”) investment objective is to provide shareholders with current income exempt from U.S. federal income taxes. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). The Fund invests, under normal market conditions, at least 75% of its assets in municipal bonds rated investment grade or, if unrated, are deemed to be of comparable quality by the investment adviser at the time of investment and invests primarily in long-term municipal bonds with a maturity of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on NYSE		MHD
Initial Offering Date		May 2, 1997
Yield on Closing Market Price as of October 31, 2017 ($16.59)^(a)		5.39%
Tax Equivalent Yield^(b)		9.52%
Current Monthly Distribution per Common Share^(c)		$0.0745
Current Annualized Distribution per Common Share^(c)		$0.8940
Economic Leverage as of October 31, 2017^(d)		38%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

^(c)

The distribution rate is not constant and is subject to change.

^(d)

Represents VMTP Shares and TOB Trusts as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to VMTP Shares and TOB Trusts, minus the sum of its accrued liabilities. For a discussion of leveraging techniques utilized by the Fund, please see The Benefits and Risks of Leveraging on page 5.

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MHD^(a)(b)		2.48%		3.95%
Lipper General & Insured Municipal Debt Funds (Leveraged)^(c)		2.34%		3.81%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

The Fund’s positions in longer-dated securities made the largest contribution to performance, as bonds in the 20- to 40-year maturity range outpaced the broader market.

•

Investments in lower-rated securities within the investment-grade market benefited performance at a time of robust investor risk appetites. Credit spreads narrowed considerably amid strong fund flows and investors’ ongoing search for yield.

•

At the sector level, the largest contributions came from state and local tax-backed, transportation and health care issues.

•

The Fund sought to manage interest rate risk using U.S. Treasury futures, which had a small, positive effect on returns.


10		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock MuniHoldings Fund, Inc.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change		High		Low
Market Price	$	16.59	$	16.65		(0.36)%	$	18.25	$	16.48
Net Asset Value	$	17.03	$	16.85		1.07%	$	17.24	$	16.82

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector	10/31/17			4/30/17
Transportation		23	%		24	%
Health		20			19
County/City/Special District/School District		16			12
State		12			12
Utilities		9			11
Education		8			11
Corporate		6			6
Tobacco		6			5
Housing^(a)		—			—

^(a)

Representing less than 1% of the Fund’s total investments.

CALL/MATURITY SCHEDULE^(d)


Calendar Year Ended December 31,
2017	5	%
2018	5
2019	24
2020	11
2021	12

^(d)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(b)


Credit Rating	10/31/17			4/30/17
AAA/Aaa		3	%		5	%
AA/Aa		47			47
A		19			19
BBB/Baa		16			16
BB/Ba		4			4
B		3			2
N/R^(c)		8			7

^(b)

^(c)

The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of October 31, 2017 and April 30, 2017, the market value of unrated securities deemed by the investment adviser to be investment grade each represents 1% of the Fund’s total investments.


FUND SUMMARY			11


Fund Summary as of October 31, 2017		BlackRock MuniHoldings Fund II, Inc.

Investment Objective

BlackRock MuniHoldings Fund II, Inc.’s (MUH) (the “Fund”) investment objective is to provide shareholders with current income exempt from U.S. federal income taxes. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). The Fund invests, under normal market conditions, at least 75% of its assets in municipal bonds rated investment grade or, if unrated, are deemed to be of comparable quality by the investment adviser at the time of investment and invests primarily in long-term municipal bonds with a maturity of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on NYSE		MUH
Initial Offering Date		February 27, 1998
Yield on Closing Market Price as of October 31, 2017 ($14.93)^(a)		5.43%
Tax Equivalent Yield^(b)		9.59%
Current Monthly Distribution per Common Share^(c)		$0.0675
Current Annualized Distribution per Common Share^(c)		$0.8100
Economic Leverage as of October 31, 2017^(d)		37%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

^(c)

The distribution rate is not constant and is subject to change.

^(d)

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MUH^(a)(b)		(1.50)%		3.72%
Lipper General & Insured Municipal Debt Funds (Leveraged)^(c)		2.34%		3.81%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund moved from a premium to NAV to a discount during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

The Fund’s positions in longer-dated securities made the largest contribution to performance, as bonds in the 20- to 40-year maturity range outpaced the broader market.

•

At the sector level, the largest contributions came from state and local tax-backed, transportation and utilities issues.

•

The Fund sought to manage interest rate risk using U.S. Treasury futures, which had a small, positive effect on returns.


12		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock MuniHoldings Fund II, Inc.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change		High		Low
Market Price	$	14.93	$	15.59		(4.23)%	$	16.63	$	14.91
Net Asset Value	$	15.65	$	15.52		0.84%	$	15.85	$	15.49

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector	10/31/17			4/30/17
Transportation		22	%		23	%
Health		19			19
County/City/Special District/School District		16			12
State		14			14
Utilities		9			11
Education		8			10
Corporate		6			6
Tobacco		5			4
Housing		1			1

CALL/MATURITY SCHEDULE^(c)


Calendar Year Ended December 31,
2017	6	%
2018	5
2019	26
2020	11
2021	12

^(c)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(a)


Credit Rating	10/31/17			4/30/17
AAA/Aaa		4	%		6	%
AA/Aa		49			50
A		18			18
BBB/Baa		15			15
BB/Ba		4			3
B		2			1
N/R^(b)		8			7

^(a)

^(b)

The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of October 31, 2017 and April 30, 2017, the market value of unrated securities deemed by the investment adviser to be investment grade each represents 1% of the Fund’s total investments.


FUND SUMMARY			13


Fund Summary as of October 31, 2017		BlackRock MuniHoldings Quality Fund, Inc.

Investment Objective

BlackRock MuniHoldings Quality Fund, Inc.’s (MUS) (the “Fund”) investment objective is to provide shareholders with current income exempt from U.S. federal income taxes. The Fund seeks to achieve its investment objective by investing primarily in long-term, investment grade municipal obligations exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). Under normal market conditions, the Fund invests at least 80% of its assets in investment grade municipal obligations, and obligations deemed to be of comparable quality by the investment adviser at the time of investment, with remaining maturities of one year or more at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on NYSE		MUS
Initial Offering Date		May 1, 1998
Yield on Closing Market Price as of October 31, 2017 ($13.34)^(a)		5.71%
Tax Equivalent Yield^(b)		10.09%
Current Monthly Distribution per Common Share^(c)		$0.0635
Current Annualized Distribution per Common Share^(c)		$0.7620
Economic Leverage as of October 31, 2017^(d)		39%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

^(c)

The distribution rate is not constant and is subject to change.

^(d)

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MUS^(a)(b)		2.50%		2.88%
Lipper General & Insured Municipal Debt Funds (Leveraged)^(c)		2.34%		3.81%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

The Fund posted a gain in the period, with positive performance coming from both income and rising bond prices.

•

Geographically, positive returns were driven by exposure to Illinois and New Jersey bonds. Illinois passed its budget and moved closer to achieving fiscal balance and saw a stabilization of its credit rating. In New Jersey, legislation that redirected roughly $1 billion annually in lottery proceeds to the state’s pension funds helped stabilize its credit rating and contributed to positive returns for the New Jersey credits held in the Fund.

•

Positions in the tax-backed (state), tax-backed (local) and transportation sectors were positive contributors to performance. Holdings in longer-term bonds also added value in the period.

•

The Fund utilized a mix of U.S. Treasury futures contracts to help manage the risk of rising interest rates. This strategy was tactically adjusted throughout the period, resulting in a modestly positive contribution to performance.

•

The Fund’s emphasis on higher-quality bonds was a headwind at a time of outperformance for issues rated below investment grade. Reinvestment was a further drag on results, as the proceeds of higher-yielding bonds that matured or were called needed to be reinvested at materially lower prevailing rates.

•

The Fund’s holdings in short-term, pre-refunded bonds, while producing positive returns, lagged somewhat due to the premium amortization that occurred as the bonds approached their call and maturity dates. (When a bond’s price trades at a premium over its face value, the difference is amortized over time. A premium occurs when the price of the bond has increased due to a decline in interest rates.)


14		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock MuniHoldings Quality Fund, Inc.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change		High		Low
Market Price		$13.34		$13.38		(0.30)%		$14.21		$13.34
Net Asset Value		$13.96		$13.95		0.07%		$14.17		$13.93

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector	10/31/17			4/30/17
Transportation		35	%		38	%
County/City/Special District/School District		24			25
Utilities		14			13
Health		10			11
State		6			5
Education		6			4
Housing		3			2
Tobacco		1			1
Corporate		1			1

CALL/MATURITY SCHEDULE^(b)


Calendar Year Ended December 31,
2017	—	%^(c)
2018	24
2019	12
2020	4
2021	18

^(b)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

^(c)

Representing less than 1% of the Fund’s total investments.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(a)


Credit Rating	10/31/17			4/30/17
AAA/Aaa		5	%		6	%
AA/Aa		50			56
A		34			29
BBB/Baa		8			7
N/R		3			2

^(a)


FUND SUMMARY			15


Fund Summary as of October 31, 2017		BlackRock Muni Intermediate Duration Fund, Inc.

Investment Objective

BlackRock Muni Intermediate Duration Fund, Inc.’s (MUI) (the “Fund”) investment objective is to provide common shareholders with high current income exempt from U.S. federal income taxes. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). Under normal market conditions, the Fund invests at least 75% of its assets in municipal bonds rated investment grade or, if unrated, are deemed to be of comparable quality by the investment adviser at the time of investment and invests at least 80% of its assets in municipal bonds with a duration of three to ten years at the time of investment. The Fund expects to maintain a dollar-weighted average portfolio duration, as calculated by the investment adviser, of three to ten years. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on NYSE		MUI
Initial Offering Date		August 1, 2003
Yield on Closing Market Price as of October 31, 2017 ($14.02)^(a)		4.24%
Tax Equivalent Yield^(b)		7.49%
Current Monthly Distribution per Common Share^(c)		$0.0495
Current Annualized Distribution per Common Share^(c)		$0.5940
Economic Leverage as of October 31, 2017^(d)		38%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

^(c)

The distribution rate is not constant and is subject to change.

^(d)

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MUI^(a)(b)		2.64%		4.43%
Lipper Intermediate Municipal Debt Funds^(c)		1.06%		3.01%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund’s discount to NAV widened during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

Concentrations in intermediate securities maturing in the 12- to 16-year range contributed to performance. The Fund’s use of leverage also boosted returns by enhancing income and amplifying the effect of rising bond prices.

•

The Fund’s allocation to A and BBB rated investment-grade debt aided results, as lower-quality bonds outperformed. Positions in the transportation and tax-backed (state) sectors further helped performance, highlighted by the strong showing of New Jersey and Illinois issues.

•

Positions in shorter-dated bonds, including high-quality pre-refunded securities, hurt results at a time in which shorter-term bonds lagged. The Fund’s more-seasoned holdings also detracted due to the premium amortization that occurred as the bonds approached their call and maturity dates. (When a bond’s price trades at a premium over its face value, the difference is amortized over time. A premium occurs when the price of the bond has increased due to a decline in interest rates.) Additionally, positions in higher-quality securities underperformed relative to lower-quality issues.


16		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock Muni Intermediate Duration Fund, Inc.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change		High		Low
Market Price	$	14.02	$	13.96		0.43%	$	14.41	$	13.79
Net Asset Value	$	15.50	$	15.17		2.18%	$	15.67	$	15.14

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector	10/31/17			4/30/17
Transportation		29	%		28	%
State		16			12
County/City/Special District/School District		13			17
Education		13			14
Health		11			10
Utilities		10			11
Corporate		5			4
Tobacco		2			2
Housing		1			2

CALL/MATURITY SCHEDULE^(c)


Calendar Year Ended December 31,
2017	2	%
2018	4
2019	8
2020	8
2021	16

^(c)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(a)


Credit Rating	10/31/17			4/30/17
AAA/Aaa		4	%		5	%
AA/Aa		40			43
A		33			31
BBB/Baa		17			16
BB/Ba		1			1
B		1			1
N/R^(b)		4			3

^(a)

For financial reporting purposes, credit quality ratings shown above reflect the highest rating assigned by either S&P’s or Moody’s if ratings differ. These rating agencies are independent, nationally recognized statistical rating organizations and are widely used. Investment grade ratings are credit ratings of BBB/Baa or higher. Below investment grade ratings are credit ratings of BB/Ba or lower. Investments designated N/R are not rated by either rating agency. Unrated investments do not necessarily indicate low credit quality. Credit quality ratings are subject to change.

^(b)

The investment adviser evaluates the credit quality of unrated Investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of October 31, 2017 and April 30, 2017, the market value of unrated securities deemed by the investment adviser to be investment grade represents less than 1% and 1%, respectively, of the Fund’s total investments.


FUND SUMMARY			17


Fund Summary as of October 31, 2017		BlackRock MuniVest Fund II, Inc.

Investment Objective

BlackRock MuniVest Fund II, Inc.’s (MVT) (the “Fund”) investment objective is to provide shareholders with as high a level of current income exempt from U.S. federal income taxes as is consistent with its investment policies and prudent investment management. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from U.S. federal income taxes (except that the interest may be subject to the U.S. federal alternative minimum tax). The Fund invests, under normal market conditions, at least 75% of its assets in municipal bonds rated investment grade or, if unrated, are deemed to be of comparable quality by the investment adviser at the time of investment and invests primarily in long-term municipal bonds with a maturity of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Fund Information


Symbol on NYSE		MVT
Initial Offering Date		March 29, 1993
Yield on Closing Market Price as of October 31, 2017 ($15.21)^(a)		5.76%
Tax Equivalent Yield^(b)		10.18%
Current Monthly Distribution per Common Share^(c)		$0.0730
Current Annualized Distribution per Common Share^(c)		$0.8760
Economic Leverage as of October 31, 2017^(d)		38%

^(a)

Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

^(b)

^(c)

The distribution rate is not constant and is subject to change.

^(d)

Performance

Returns for the six months ended October 31, 2017 were as follows:


	Returns Based On
	Market Price		NAV
MVT^(a)(b)		1.29%		3.36%
Lipper General & Insured Municipal Debt Funds (Leveraged)^(c)		2.34%		3.81%

^(a)

All returns reflect reinvestment of dividends and/or distributions at actual reinvestment prices.

^(b)

The Fund moved from a premium to NAV to a discount during the period, which accounts for the difference between performance based on market price and performance based on NAV.

^(c)

Average return. Returns reflect reinvestment of dividends and/or distributions at NAV on the ex-dividend as calculated by Lipper.

The following discussion relates to the Fund’s absolute performance based on NAV:

•

The Fund’s positions in longer-dated securities made the largest contribution to performance, as bonds in the 20- to 40-year maturity range outpaced the broader market.

•

At the sector level, the largest contributions came from state and local tax-backed, transportation and utilities issues.

•

The Fund sought to manage interest rate risk using U.S. Treasury futures, which had a small, positive effect on returns.


18		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS


Fund Summary as of October 31, 2017 (continued)		BlackRock MuniVest Fund II, Inc.

Market Price and Net Asset Value Per Share Summary


	10/31/17		4/30/17		Change		High		Low
Market Price	$	15.21	$	15.45		(1.55)%	$	16.18	$	15.10
Net Asset Value	$	15.26	$	15.19		0.46%	$	15.46	$	15.16

Market Price and Net Asset Value History For the Past Five Years

LOGO

Overview of the Fund’s Total Investments*

SECTOR ALLOCATION


Sector Allocation	10/31/17			4/30/17
Transportation		29	%		26	%
Health		18			18
County/City/Special District/School District		14			12
State		12			14
Utilities		9			11
Corporate		6			6
Tobacco		6			5
Education		5			7
Housing		1			1

CALL/MATURITY SCHEDULE^(c)


Calendar Year Ended December 31,
2017	6	%
2018	11
2019	22
2020	12
2021	11

^(c)

Scheduled maturity dates and/or bonds that are subject to potential calls by issuers over the next five years.

Excludes short-term securities.

CREDIT QUALITY ALLOCATION^(a)


Credit Rating	10/31/17			4/30/17
AAA/Aaa		4	%		5	%
AA/Aa		46			50
A		16			13
BBB/Baa		17			16
BB/Ba		4			4
B		3			2
N/R^(b)		10			10

^(a)

^(b)

The investment adviser evaluates the credit quality of unrated investments based upon certain factors including, but not limited to, credit ratings for similar investments and financial analysis of sectors and individual investments. Using this approach, the investment adviser has deemed certain of these unrated securities as investment grade quality. As of October 31, 2017 and April 30, 2017 the market value of unrated securities deemed by the investment adviser to be investment grade represents 1% and 3%, respectively, of the Fund’s total investments.


FUND SUMMARY			19

Schedule of Investments

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Municipal Bonds

Alabama — 1.3%
County of Jefferson Alabama Sewer, Refunding RB, Sub-Lien, Series D, 6.00%, 10/01/42	$	3,745	$	4,369,216
State of Alabama Docks Department, Refunding RB, 6.00%, 10/01/20^(a)		2,165		2,455,002

				6,824,218
Alaska — 1.3%
Northern Tobacco Securitization Corp., Refunding RB, Tobacco Settlement, Asset-Backed, Series A:
4.63%, 6/01/23		875		899,990
5.00%, 6/01/32		1,500		1,465,050
5.00%, 6/01/46		4,540		4,332,749

				6,697,789
Arizona — 2.2%
Arizona IDA, Refunding RB, Basis Schools, Inc. Projects, Series A, 5.13%, 7/01/37^(b)		960		1,010,342
City of Phoenix Arizona IDA, RB:
Great Hearts Academies — Veritas Project, 6.40%, 7/01/21^(a)		425		500,960
Great Hearts Academies — Veritas Projects, 6.30%, 7/01/21^(a)		500		587,585
Legacy Traditional Schools Project, Series A, 6.50%, 7/01/34^(b)		570		646,893
Legacy Traditional Schools Projects, Series A, 6.75%, 7/01/44^(b)		1,000		1,119,070
City of Phoenix Arizona IDA, Refunding RB^(b):
Basis Schools, Inc. Projects, 5.00%, 7/01/35		305		318,393
Basis Schools, Inc. Projects, 5.00%, 7/01/45		855		881,838
Basis Schools, Inc. Projects, Series A, 5.00%, 7/01/35		260		271,417
Basis Schools, Inc. Projects, Series A, 5.00%, 7/01/46		290		298,915
Legacy Traditional School Projects, 5.00%, 7/01/35		320		326,304
Legacy Traditional School Projects, 5.00%, 7/01/45		255		253,875
Salt Verde Financial Corp., RB, Senior, 5.00%, 12/01/37		1,650		2,010,162
State of Arizona IDA, RB, Academies of Math & Science Project, Series B, 5.13%, 7/01/47^(b)		665		659,441
State of Arizona IDA, Refunding RB, Basis Schools, Inc. Projects, Series A, 5.25%, 7/01/47^(b)		1,765		1,855,121
University Medical Center Corp., RB, 6.50%, 7/01/19^(a)		500		543,080

				11,283,396
California — 7.9%
California Municipal Finance Authority, RB, Urban Discovery Academy Project^(b):
5.50%, 8/01/34		315		324,264
6.00%, 8/01/44		665		680,834
6.13%, 8/01/49		580		592,934
California Municipal Finance Authority, Refunding RB, Community Medical Centers, Series A:
5.00%, 2/01/36		345		391,102
5.00%, 2/01/37		255		288,425
California School Finance Authority, RB:
Alliance for College Ready Public School — 2023 Union LLC Project, Series A, 6.40%, 7/01/48		1,570		1,789,879
Value Schools, 6.65%, 7/01/33		435		497,588
Value Schools, 6.90%, 7/01/43		975		1,086,452
California Statewide Communities Development Authority, RB, Loma Linda University Medical Center, Series A^(b):
5.00%, 12/01/46		725		778,070
5.25%, 12/01/56		620		673,921


Security	Par (000)		Value
California (continued)
California Statewide Communities Development Authority, Refunding RB:
American Baptist Homes of the West, 6.25%, 10/01/39	$	2,175	$	2,326,032
California Baptist University, Series A, 5.00%, 11/01/32^(b)		630		700,151
California Statewide Financing Authority, RB, Asset-Backed, Tobacco Settlement, Series B, 6.00%, 5/01/43		1,650		1,650,297
City & County of San Francisco California Redevelopment Agency, Tax Allocation Bonds, Mission Bay South Redevelopment Project, Series D^(b)(c):
0.00%, 8/01/26		1,250		814,300
0.00%, 8/01/43		1,500		376,635
City of San Jose California Hotel Tax, RB, Convention Center Expansion & Renovation Project:
6.50%, 5/01/36		900		1,053,099
6.50%, 5/01/42		2,220		2,597,644
City of Stockton California Public Financing Authority, RB, Delta Water Supply Project, Series A, 6.25%, 10/01/40		375		457,384
County of Los Angeles California Tobacco Securitization Agency, RB, Asset-Backed, Los Angeles County Securitization Corp.:
5.70%, 6/01/46		3,600		3,612,492
5.60%, 6/01/36		1,285		1,309,351
County of Riverside California Transportation Commission, RB, Senior Lien, Series A, 5.75%, 6/01/48		2,885		3,230,017
Golden State Tobacco Securitization Corp., Refunding RB, Asset-Backed, Senior Series A-1:
5.13%, 6/01/47		4,455		4,381,626
5.75%, 6/01/47		3,745		3,744,888
Tobacco Securitization Authority of Southern California, Refunding RB, Tobacco Settlement, Asset-Backed, Senior Series A-1:
4.75%, 6/01/25		1,230		1,230,750
5.00%, 6/01/37		5,580		5,597,633

				40,185,768
Colorado — 1.3%
Castle Oaks Metropolitan District No. 3, GO, 6.25%, 12/01/44		500		531,685
Centerra Metropolitan District No. 1, Tax Allocation Bonds, 5.00%, 12/01/47		575		589,962
City & County of Denver Colorado, Refunding RB, United Airlines, Inc. Project, AMT, 5.00%, 10/01/32		1,620		1,755,027
Colorado Health Facilities Authority, Refunding RB, Sunny Vista Living Center Project, Series A^(b):
6.13%, 12/01/45		335		352,507
6.25%, 12/01/50		1,115		1,174,853
Copperleaf Metropolitan District No. 2, GO, Refunding, 5.75%, 12/01/45		720		759,161
Regional Transportation District, RB, Denver Transit Partners Eagle P3 Project, 6.00%, 1/15/34		1,500		1,649,550

				6,812,745
Connecticut — 1.0%
Mohegan Tribal Finance Authority, RB, 7.00%, 2/01/45^(b)		1,400		1,483,328
Mohegan Tribe of Indians of Connecticut, RB, Series A, 6.75%, 2/01/45^(b)		1,271		1,366,570
Mohegan Tribe of Indians of Connecticut, Refunding RB, Public Improvement, Priority Distribution, Series C, 6.25%, 2/01/30^(b)		1,835		1,951,321

				4,801,219


20		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Delaware — 0.9%
County of Sussex Delaware, RB, NRG Energy, Inc., Indian River Power LLC Project, 6.00%, 10/01/40	$	1,000	$	1,059,020
State of Delaware EDA, RB, Exempt Facilities, Indian River Power LLC Project, 5.38%, 10/01/45		3,180		3,284,876

				4,343,896
Florida — 8.3%
Boggy Creek Improvement District, Refunding RB, Special Assessment Bonds, 5.13%, 5/01/43		1,500		1,515,375
Capital Trust Agency, Inc., RB, Silver Creek St. Augustine Project, Series A^(d):
1st Mortgage, 8.25%, 1/01/44		515		420,863
1st Mortgage, 8.25%, 1/01/49		1,105		902,785
5.75%, 1/01/50		655		586,395
County of Collier Florida IDA, Refunding RB, Arlington of Naples Project, Series A, 8.13%, 5/15/44^(b)		2,510		2,789,087
County of Palm Beach Florida Health Facilities Authority, RB, Acts Retirement Life Community, 5.50%, 11/15/20^(a)		3,500		3,936,205
County of Palm Beach Florida Health Facilities Authority, Refunding RB, Series A, 7.25%, 6/01/34		500		603,335
Florida Development Finance Corp., RB:
Renaissance Charter School, Series A, 5.75%, 6/15/29		690		741,508
Renaissance Charter School, Series A, 6.00%, 6/15/34		835		889,684
Renaissance Charter School, Series A, 6.13%, 6/15/44		3,180		3,344,120
Solid Waste Disposal Facility, Waste Pro USA, Inc. Project, AMT, 5.00%, 8/01/29^(b)(e)		1,550		1,587,339
Greeneway Improvement District, RB, Special Assessment Bonds, 5.13%, 5/01/43		1,855		1,878,466
Harbor Bay Community Development District Florida, Special Assessment Bonds, Series A, 7.00%, 5/01/33		380		381,376
Lakewood Ranch Stewardship District Special Assessment Bonds, Village of Lakewood Ranch Sector Projects, 4.00%, 5/01/21		150		152,033
Lakewood Ranch Stewardship District Special Assessment Bonds, Refunding, Lakewood Center & New Sector Projects, 8.00%, 5/01/40		1,485		1,752,508
Lakewood Ranch Stewardship District Special Assessment Bonds, Village of Lakewood Ranch Sector Projects:
4.25%, 5/01/26		150		153,368
5.13%, 5/01/46		880		913,449
Mid-Bay Florida Bridge Authority, RB, Springing Lien, Series A, 7.25%, 10/01/21^(a)		4,550		5,538,851
Midtown Miami Community Development District, Refunding, Special Assessment Bonds:
Series A, 5.00%, 5/01/37		845		891,450
Series B, 5.00%, 5/01/37		495		522,210
Santa Rosa Bay Bridge Authority, RB, 6.25%, 7/01/28^(d)		4,052		2,917,743
Tampa Palms Open Space and Transportation Community Development District, RB, Capital Improvement, Richmond Place Project, 7.50%, 5/01/18		295		296,516
Tolomato Community Development District, Refunding, Special Assessment Bonds:
Convertible CAB, Series A2, 6.61%, 5/01/39		250		249,978
Convertible CAB, Series A3, 6.61%, 5/01/40^(f)		585		539,042
Convertible CAB, Series A4, 6.61%, 5/01/40^(f)		305		235,951
Series 2015-2, 6.61%, 5/01/40^(f)		805		532,821
Series A1, 6.65%, 5/01/40		865		865,199
Tolomato Community Development District:
Series 1, 6.61%, 5/01/40^(f)		1,305		1,048,528
Series 1, 6.65%, 5/01/40^(d)(g)		50		48,805
Series 3, 6.61%, 5/01/40^(d)(g)		875		9
Series 3, 6.65%, 5/01/40^(d)(g)		710		7


Security	Par (000)		Value
Florida (continued)
Village Community Development District No. 9, Special Assessment Bonds:
6.75%, 5/01/31	$	1,525	$	1,732,522
7.00%, 5/01/41		2,500		2,921,100
5.50%, 5/01/42		1,180		1,285,103

				42,173,731
Georgia — 1.6%
County of Clayton Georgia, Tax Allocation Bonds, Ellenwood Project, 7.50%, 7/01/33		2,520		2,522,949
County of Clayton Georgia Development Authority, Refunding RB, Delta Air Lines, Inc. Project, Series A, 8.75%, 6/01/29		3,365		3,875,437
County of Gainesville & Hall Georgia Development Authority, Refunding RB, Acts Retirement Life Community, Series A-2^(a):
6.38%, 11/15/19		700		773,094
6.63%, 11/15/19		880		976,298

				8,147,778
Guam — 0.3%
Territory of Guam, GO, Series A:
6.00%, 11/15/19		270		280,200
7.00%, 11/15/19^(a)		1,115		1,243,727

				1,523,927
Illinois — 4.1%
City of Chicago Illinois, GO, Refunding, Series A, 6.00%, 1/01/38		1,260		1,442,309
Illinois Finance Authority, Refunding RB:
Friendship Village of Schaumburg, 7.25%, 2/15/45		4,000		4,179,440
Lutheran Home & Services Obligated Group, 5.63%, 5/15/42		2,395		2,524,474
Presence Health Network, Series C, 4.00%, 2/15/41		1,500		1,520,850
Primary Health Care Centers Program, 6.60%, 7/01/24		890		888,478
Rogers Park Montessori School Project, Series 2014, 6.00%, 2/01/34		365		382,155
Rogers Park Montessori School Project, Series 2014, 6.13%, 2/01/45		860		886,178
Roosevelt University Project, 6.50%, 4/01/44		2,000		2,125,560
Metropolitan Pier & Exposition Authority, RB, McCormick Place Expansion Project, Series A, 5.50%, 6/15/53		2,370		2,603,943
Railsplitter Tobacco Settlement Authority, RB:
5.50%, 6/01/23		180		203,593
6.00%, 6/01/28		710		800,042
State of Illinois, GO:
5.25%, 2/01/29		1,000		1,085,690
5.00%, 3/01/35		740		765,249
Village of Lincolnshire Illinois, Special Tax Bonds, Sedgebrook Project, 6.25%, 3/01/34		1,661		1,664,405

				21,072,366
Indiana — 2.1%
City of Valparaiso Indiana, RB, Exempt Facilities, Pratt Paper LLC Project, AMT:
6.75%, 1/01/34		825		976,973
7.00%, 1/01/44		2,000		2,380,080
City of Vincennes Indiana, Refunding RB, Southwest Indiana Regional Youth Village Project, 6.25%, 1/01/29^(b)		2,450		2,378,975
County of Allen Indiana, RB, StoryPoint Fort Wayne Project, Series A-1^(b):
6.63%, 1/15/34		290		305,155
6.75%, 1/15/43		525		550,205
6.88%, 1/15/52		860		903,215


SCHEDULES OF INVESTMENTS			21

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Indiana (continued)
Indiana Finance Authority, RB, Private Activity Bond, Ohio River Bridges East End Crossing Project, Series A, AMT:
5.00%, 7/01/44	$	470	$	505,917
5.00%, 7/01/48		1,555		1,668,873
Town of Chesterton Indiana, RB, StoryPoint Chesterton Project, Series A-1, 6.38%, 1/15/51^(b)		1,190		1,238,136

				10,907,529
Iowa — 2.7%
Iowa Finance Authority, Refunding RB:
Midwestern Disaster Area, Iowa Fertilizer Co. Project, 5.50%, 12/01/22		2,090		2,140,139
Midwestern Disaster Area, Iowa Fertilizer Co. Project, 5.25%, 12/01/25		2,190		2,333,949
Sunrise Retirement Community Project, 5.50%, 9/01/37		1,355		1,377,263
Sunrise Retirement Community Project, 5.75%, 9/01/43		2,115		2,167,304
Iowa Tobacco Settlement Authority, Refunding RB:
Asset-Backed, CAB, Series B, 5.60%, 6/01/34		795		800,318
Series C, 5.38%, 6/01/38		4,900		4,899,559

				13,718,532
Kentucky — 0.9%
Kentucky Public Transportation Infrastructure Authority, RB, Downtown Crossing, First Tier, Series A, 5.75%, 7/01/49		4,000		4,460,720

Louisiana — 3.1%
Juban Crossing Economic Development District, Refunding RB, General Infrastructure Project, Series C, 7.00%, 9/15/44^(b)		2,460		2,565,903
Louisiana Local Government Environmental Facilities & Community Development Authority, RB, Westlake Chemical Corp. Project, 6.75%, 11/01/32		5,000		5,000,000
Louisiana Public Facilities Authority, RB, Belle Chasse Educational Foundation Project, 6.75%, 5/01/41		1,745		1,885,979
Tobacco Settlement Financing Corp., Refunding RB, Asset-Backed, Series A, 5.25%, 5/15/35		5,570		6,059,547

				15,511,429
Maine — 0.6%
Maine Health & Higher Educational Facilities Authority, RB, Maine General Medical Center, 6.75%, 7/01/41		2,955		3,207,150

Maryland — 2.6%
City of Baltimore Maryland, Refunding RB, Convention Center Hotel, 5.00%, 9/01/33		470		543,861
County of Frederick Maryland, RB, Jefferson Technology Park Project, Series B, 7.13%, 7/01/43		2,840		3,083,246
Maryland EDC, RB:
Purple Line Light Rail Project, AMT, 5.00%, 3/31/51		2,185		2,423,383
Transportation Facilities Project, Series A, 5.75%, 6/01/35		3,615		3,852,578
Maryland EDC, Refunding RB, CNX Marine Terminals, Inc., 5.75%, 9/01/25		3,085		3,258,408

				13,161,476
Massachusetts — 1.4%
Massachusetts Development Finance Agency, RB:
Boston Medical Center, Series D, 5.00%, 7/01/44		1,905		2,090,166
Foxborough Regional Charter School, Series A, 7.00%, 7/01/42		1,025		1,101,117
North Hill Communities Issue, Series A, 6.50%, 11/15/43^(b)		2,020		2,271,126
Massachusetts Development Finance Agency, Refunding RB:
6.75%, 1/01/21^(a)		895		1,045,092
Series I, 6.75%, 1/01/36		595		680,424

				7,187,925


Security	Par (000)		Value
Michigan — 0.9%
City of Detroit Michigan Sewage Disposal System, Refunding RB, Senior Lien, Series A, 5.25%, 7/01/39	$	2,785	$	3,087,702
Michigan Finance Authority, RB, Detroit Water & Sewage Disposal System, Senior Lien, Series 2014 C-2, AMT, 5.00%, 7/01/44		415		444,320
Michigan Finance Authority, Refunding RB, Detroit Water & Sewage Department Project, Senior Lien, Series C-1, 5.00%, 7/01/44		920		1,000,748

				4,532,770
Minnesota — 0.1%
St. Paul Housing & Redevelopment Authority, Refunding RB, Hmong College Prep Academy Project, Series A:
5.75%, 9/01/46		195		202,593
6.00%, 9/01/51		290		304,561

				507,154
Mississippi — 0.1%
Mississippi Business Finance Corp., RB, Solid Waste Disposal Facility, Waste Pro USA, Inc. Project, AMT, 5.00%, 2/01/36^(b)(e)		620		634,936

Missouri — 1.3%
City of St. Louis Missouri IDA, Refunding RB:
4.38%, 11/15/35		685		699,618
4.75%, 11/15/47		760		777,936
Kirkwood Missouri IDA, RB, Aberdeen Heights, Series A, 8.25%, 5/15/20^(a)		2,315		2,714,453
Lees Summit Missouri IDA, RB, John Knox Obligated Group, 5.25%, 8/15/39		2,235		2,373,526

				6,565,533
New Jersey — 5.2%
Casino Reinvestment Development Authority, Refunding RB:
5.25%, 11/01/39		1,065		1,116,397
5.25%, 11/01/44		770		803,395
County of Essex New Jersey Improvement Authority, RB, AMT, 5.25%, 7/01/45^(b)		1,150		1,155,577
New Jersey EDA, RB:
Goethals Bridge Replacement Project, AMT, Private Activity Bond, 5.38%, 1/01/43		2,155		2,398,644
Kapkowski Road Landfill Project, Series B, AMT, 6.50%, 4/01/31		2,250		2,594,767
Provident Group-Kean Properties, Series A, 5.00%, 7/01/32		165		180,997
Provident Group-Kean Properties, Series A, 5.00%, 7/01/37		260		280,184
Team Academy Charter School Project, 6.00%, 10/01/43		1,530		1,714,457
New Jersey EDA, Refunding RB, Greater Brunswick Charter School, Inc. Project, Series A, 6.00%, 8/01/49^(b)		500		512,470
New Jersey Health Care Facilities Financing Authority, Refunding RB^(a):
St. Barnabas Health Care System, Series A, 5.63%, 7/01/21		2,650		3,055,635
St. Joseph’s Healthcare System, 6.63%, 7/01/18		2,590		2,685,053
New Jersey Transportation Trust Fund Authority, RB, Transportation Program, Series AA, 5.25%, 6/15/41		1,140		1,242,908
Tobacco Settlement Financing Corp., Refunding RB, Series 1A, 5.00%, 6/01/41		5,210		4,994,306
Tobacco Settlement Financing Corp. New Jersey, Refunding RB, Series 1A, 5.00%, 6/01/29		3,735		3,743,180

				26,477,970


22		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
New Mexico — 0.6%
New Mexico Hospital Equipment Loan Council, Refunding RB, Gerald Champion Regional Medical Center Project, 5.50%, 7/01/42	$	2,970	$	3,211,313

New York — 7.9%
Counties of New York Tobacco Trust IV, Refunding RB, Settlement Pass-Through Turbo, Series A:
6.25%, 6/01/41^(b)		5,300		5,484,175
5.00%, 6/01/42		3,155		3,025,645
5.00%, 6/01/45		1,185		1,122,231
Counties of New York Tobacco Trust VI, Refunding RB, Tobacco Settlement Pass-Through:
Series A-2B, 5.00%, 6/01/51		900		928,476
Series B, 5.00%, 6/01/45		1,415		1,487,448
County of Dutchess New York Industrial Development Agency, Refunding RB, Bard College Civic Facility, Series A-1, 5.00%, 8/01/46		3,315		2,730,499
County of Nassau New York Tobacco Settlement Corp., Refunding RB, Asset-Backed, Series A-3, 5.13%, 6/01/46		275		268,736
County of Westchester New York Healthcare Corp., RB, Senior Lien, Series A, 5.00%, 11/01/44		1,310		1,409,895
Erie Tobacco Asset Securitization Corp., Refunding RB, Asset-Backed, Series A, 5.00%, 6/01/45		2,890		2,834,743
Metropolitan Transportation Authority, RB, Series C:
6.50%, 11/15/18^(a)		1,490		1,573,455
6.50%, 11/15/18^(a)		125		132,001
6.50%, 11/15/28		385		406,976
New York Liberty Development Corp., Refunding RB:
2nd Priority, Bank of America Tower at One Bryant Park Project, Class 3, 6.38%, 7/15/49		1,270		1,365,428
3 World Trade Center Project, Class 1, 5.00%, 11/15/44^(b)		4,705		5,114,194
3 World Trade Center Project, Class 2, 5.15%, 11/15/34^(b)		455		502,952
3 World Trade Center Project, Class 2, 5.38%, 11/15/40^(b)		1,080		1,201,748
3 World Trade Center Project, Class 3, 7.25%, 11/15/44^(b)		1,565		1,884,870
New York Transportation Development Corp., Refunding ARB, American Airlines, Inc., AMT, 5.00%, 8/01/31		1,195		1,275,113
Niagara Area Development Corp., Refunding RB, Solid Waste Disposal Facility, Covanta Energy Project, Series A, AMT, 5.25%, 11/01/42^(b)		1,335		1,335,895
Port Authority of New York & New Jersey, ARB, Special Project, JFK International Air Terminal LLC Project, Series 8, 6.00%, 12/01/36		1,340		1,492,304
State of New York Dormitory Authority, Refunding RB, Orange Regional Medical Center, 5.00%, 12/01/33^(b)		955		1,048,857
Town of Oyster Bay New York, GO, BAN, Series A, 3.50%, 6/01/18		3,035		3,060,160
Town of Oyster Bay New York, GO, Refunding, BAN, Series B, 3.50%, 2/02/18		505		507,242

				40,193,043
North Carolina — 1.5%
North Carolina Medical Care Commission, Refunding RB, 1st Mortgage, Series A:
Deerfield Project, 6.13%, 11/01/18^(a)		4,565		4,795,167
Retirement Facilities Whitestone Project, 7.75%, 3/01/31		1,000		1,113,460
Retirement Facilities Whitestone Project, 7.75%, 3/01/41		1,420		1,566,686

				7,475,313


Security	Par (000)		Value
Ohio — 3.0%
Buckeye Tobacco Settlement Financing Authority, RB, Asset-Backed, Series A-2:
Senior Turbo Term, 5.88%, 6/01/47	$	5,570	$	5,214,690
5.75%, 6/01/34		6,745		6,326,742
6.00%, 6/01/42		3,040		2,888,030
County of Hamilton Ohio, Refunding RB, Improvement-Life Enriching Communities, 5.00%, 1/01/46		875		934,754

				15,364,216
Oklahoma — 0.2%
Tulsa Oklahoma Industrial Authority, Refunding RB, Montereau, Inc. Project, 5.25%, 11/15/37		750		840,780

Oregon — 0.8%
County of Multnomah Oregon Hospital Facilities Authority, Refunding RB, Mirabella at South Waterfront, 5.50%, 10/01/49		1,765		1,898,099
Polk County Hospital Facility Authority, RB, Dallas Retirement Village Project, Series A:
5.13%, 7/01/35		620		647,298
5.38%, 7/01/45		1,435		1,508,888

				4,054,285
Pennsylvania — 3.5%
Allentown Neighborhood Improvement Zone Development Authority, Refunding RB, Series A, 5.00%, 5/01/42		2,140		2,231,763
City of Philadelphia Pennsylvania Hospitals & Higher Education Facilities Authority, RB, Temple University Health System, Series A, 5.63%, 7/01/36		2,000		2,213,960
County of Cumberland Pennsylvania Municipal Authority, Refunding RB, Diakon Lutheran:
6.38%, 1/01/19^(a)		5,550		5,883,555
6.38%, 1/01/39		615		642,072
County of Lehigh Pennsylvania General Purpose Authority, Refunding RB, Bible Fellowship Church Homes, 5.13%, 7/01/32		1,800		1,832,346
County of Northampton Pennsylvania IDA, Route 33 Project, Tax Allocation Bonds, 7.00%, 7/01/32		2,030		2,352,486
Pennsylvania Economic Development Financing Authority, Refunding RB, National Gypsum Co., AMT, 5.50%, 11/01/44		2,710		2,871,137

				18,027,319
Puerto Rico — 1.2%
Children’s Trust Fund, Refunding RB, Tobacco Settlement, Asset-Backed Bonds:
5.50%, 5/15/39		635		623,202
5.63%, 5/15/43		2,145		2,101,585
5.38%, 5/15/33		960		948,538
Commonwealth of Puerto Rico, GO, Refunding, Series A^(d):
Public Improvement, 5.50%, 7/01/39		665		194,513
8.00%, 7/01/35		1,765		525,087
Commonwealth of Puerto Rico, GO, , 6.00%, 7/01/38^(d)		750		219,375
Commonwealth of Puerto Rico Aqueduct & Sewer Authority, RB, Senior Lien, Series A, 6.00%, 7/01/44		1,060		677,075
Commonwealth of Puerto Rico Aqueduct & Sewer Authority, Refunding RB, Senior Lien, Series A, 6.00%, 7/01/38		1,150		734,562

				6,023,937
Rhode Island — 2.3%
Central Falls Detention Facility Corp., Refunding RB, 7.25%, 7/15/35^(d)		4,190		1,047,500
Tobacco Settlement Financing Corp., Refunding RB:
Series A, 5.00%, 6/01/35		1,000		1,077,680
Series A, 5.00%, 6/01/40		980		1,041,534
Series B, 4.50%, 6/01/45		5,055		5,064,504


SCHEDULES OF INVESTMENTS			23

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Rhode Island (continued)
Tobacco Settlement Financing Corp., Refunding RB (continued):
Series B, 5.00%, 6/01/50	$	3,330	$	3,435,827

				11,667,045
Texas — 10.1%
Central Texas Regional Mobility Authority, Refunding RB:
CAB, 0.00%, 1/01/28^(c)		1,000		711,290
CAB, 0.00%, 1/01/29^(c)		2,000		1,360,680
CAB, 0.00%, 1/01/30^(c)		1,170		758,956
CAB, 5.00%, 1/01/33^(c)		3,690		2,075,809
CAB, 0.00%, 1/01/34^(c)		4,000		2,145,880
Senior Lien, 6.25%, 1/01/21^(a)		2,210		2,550,207
City of Houston Texas Airport System, Refunding ARB, AMT:
Special Facilities, Continental Airlines, Inc., Series A, 6.63%, 7/15/38		2,890		3,190,329
United Airlines, Inc. Terminal E Project, 5.00%, 7/01/29		910		997,260
Clifton Higher Education Finance Corp., ERB, Idea Public Schools^(a):
5.50%, 8/15/21		955		1,099,253
5.75%, 8/15/21		720		835,373
County of Bexar Texas Health Facilities Development Corp., RB, Army Retirement Residence Project, 6.20%, 7/01/20^(a)		5,040		5,687,287
County of Harris Texas Cultural Education Facilities Finance Corp., RB, 1st Mortgage, Brazos Presbyterian Homes, Inc. Project, Series B, 7.00%, 1/01/23^(a)		475		600,552
County of Matagorda Texas Navigation District No. 1, Refunding RB, Central Power & Light Co., Project, Series A, 6.30%, 11/01/29		2,090		2,272,729
County of Tarrant Texas Cultural Education Facilities Finance Corp., RB, Senior Living Center Project, Series A, 8.25%, 11/15/44		4,200		4,469,388
County of Tarrant Texas Cultural Education Facilities Finance Corp., Refunding RB, Trinity Terrace Project, 5.00%, 10/01/49		865		924,313
County of Travis Texas Health Facilities Development Corp., Refunding RB, 7.13%, 1/01/46		3,080		3,340,260
Mesquite Health Facility Development Corp., Refunding RB, 5.13%, 2/15/42		810		839,638
Mission Economic Development Corp., RB, Senior Lien, Natgasoline Project, Series B, AMT, 5.75%, 10/01/31^(b)		1,325		1,391,899
New Hope Cultural Education Facilities Corp., RB, Stephenville LLC Tarleton State University Project:
5.88%, 4/01/36		1,210		1,364,553
6.00%, 4/01/45		1,845		2,040,921
Newark Higher Education Finance Corp., RB, Series A^(b):
5.50%, 8/15/35		290		297,917
5.75%, 8/15/45		580		595,677
North Texas Education Finance Corp., ERB, Uplift Education, Series A, 5.25%, 12/01/47		1,600		1,735,840
Red River Health Facilities Development Corp., First MRB, Project:
Eden Home, Inc., 7.25%, 12/15/42^(d)		2,895		1,679,100
Wichita Falls Retirement Foundation, 5.13%, 1/01/41		900		928,674
Texas Private Activity Bond Surface Transportation Corp., RB, Senior Lien:
LBJ Infrastructure Group LLC, 7.00%, 6/30/40		3,775		4,260,578
NTE Mobility Partners LLC, North Tarrant Express Managed Lanes Project, 6.88%, 12/31/39		3,000		3,327,000

				51,481,363


Security	Par (000)		Value
Utah — 0.6%
State of Utah Charter School Finance Authority, Refunding RB, 6.75%, 10/15/43	$	2,950	$	2,995,165

Vermont — 0.2%
Vermont EDA, Refunding, MRB, Wake Robin Corp. Project, 5.40%, 5/01/33		770		816,246

Virginia — 2.4%
Lower Magnolia Green Community Development Authority, Special Assessment Bonds^(b):
5.00%, 3/01/35		495		505,934
5.00%, 3/01/45		505		511,459
Mosaic District Community Development Authority, Special Assessment, Series A:
6.63%, 3/01/26		1,485		1,618,858
6.88%, 3/01/36		1,300		1,420,029
Tobacco Settlement Financing Corp., Refunding RB, Senior Series B-1, 5.00%, 6/01/47		2,280		2,191,468
Virginia College Building Authority, RB, Marymount University Project, Series B, 5.00%, 7/01/45^(b)		535		558,133
Virginia College Building Authority, Refunding RB, Marymount University Project, Series A, 5.00%, 7/01/45^(b)		375		391,215
Virginia Small Business Financing Authority, RB, Senior Lien, Elizabeth River Crossings OpCo LLC Project, AMT, 6.00%, 1/01/37		4,440		5,019,642

				12,216,738
Washington — 0.8%
County of King Washington Public Hospital District No. 4, GO, Refunding, Snoqualmie Valley Hospital, 7.00%, 12/01/40		1,455		1,512,196
Greater Wenatchee Regional Events Center Public Facilities District, Refunding RB, Series A, 5.50%, 9/01/42		1,495		1,533,062
Washington State Housing Finance Commission, Refunding RB^(b):
5.75%, 1/01/35		315		319,026
6.00%, 1/01/45		850		862,750

				4,227,034
Wisconsin — 1.1%
Public Finance Authority, RB:
Delray Beach Radiation Therapy, 6.85%, 11/01/46^(b)		900		924,282
Delray Beach Radiation Therapy, 7.00%, 11/01/46^(b)		570		591,147
Series A, 5.00%, 12/01/45		1,505		1,579,964
Series A, 5.15%, 12/01/50		1,170		1,226,804
Wisconsin Health & Educational Facilities Authority, Refunding RB, St. Johns Communities, Inc., Series A^(a):
7.25%, 9/15/19		425		472,298
7.63%, 9/15/19		855		956,061

				5,750,556

Total Municipal Bonds — 87.4%				445,084,310


Municipal Bonds Transferred to Tender Option Bond Trusts^(h)

Colorado — 2.4%
Colorado Health Facilities Authority, Refunding RB, Sisters of Charity of Leavenworth Health System, Series A, 5.00%, 1/01/40		11,468		12,150,656

Florida — 4.9%
City of New York New York Housing Development Corp., RB, M/F Housing, Series D-1, Class B, 4.25%, 11/01/45		8,996		9,257,760
County of Miami-Dade Florida Aviation, Refunding ARB, Miami International Airport, Series A, AMT^(a):
5.25%, 10/01/18		11,655		12,071,899


24		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Florida (continued)
County of Miami-Dade Florida Aviation, Refunding ARB, Miami International Airport, Series A, AMT^(a) (continued):
5.25%, 10/01/18	$	3,345	$	3,464,651

				24,794,310
Illinois — 2.7%
Illinois Finance Authority, RB, Carle Foundation, Series A (AGM), 6.00%, 8/15/41		7,180		8,110,097
State of Illinois Toll Highway Authority, RB, Series A, 5.00%, 1/01/40		5,056		5,743,843

				13,853,940
New York — 11.6%
City of New York New York Water & Sewer System, Refunding RB, 2nd General Resolution:
Fiscal 2013, Series CC, 5.00%, 6/15/47		14,181		16,138,758
Series HH, 5.00%, 6/15/31⁽ⁱ⁾		8,610		9,648,337
Hudson Yards Infrastructure Corp., RB, Series A, 5.75%, 2/15/47⁽ⁱ⁾		4,520		5,135,746
New York Liberty Development Corp., RB, World Trade Center Port Authority Consolidated, 5.25%, 12/15/43		18,105		20,409,561
New York Liberty Development Corp., Refunding RB, World Trade Center Project, 5.75%, 11/15/51⁽ⁱ⁾		6,600		7,590,096

				58,922,498
Pennsylvania — 0.6%
Pennsylvania Turnpike Commission, RB, Sub-Series A, 5.50%, 12/01/42		2,505		2,944,502

Washington — 1.7%
City of Bellingham Washington Water & Sewer Revenue, RB, 5.00%, 8/01/40		7,966		8,838,204

Total Municipal Bonds Transferred to Tender Option Bond Trusts — 23.9%				121,504,110

Total Long-Term Investments — 111.3% (Cost — $530,889,788)				566,588,420


Security	Shares		Value
Short-Term Securities
BlackRock Liquidity Funds, MuniCash, Institutional Class, 0.74%^(j)(k)		3,874,985	$	3,876,148

Total Short-Term Securities — 0.8% (Cost — $3,876,148)				3,876,148


Total Investments — 112.1% (Cost — $534,765,936)				570,464,568
Other Assets Less Liabilities — 1.3%				6,475,614
Liability for TOB Trust Certificates, Including Interest Expense and Fees Payable — (13.4)%				(67,961,320	)

Net Assets Applicable to Common Shares — 100.0%			$	508,978,862

^(a)	U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par.

^(b)	Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional investors.

^(c)	Zero-coupon bond.

^(d)	Issuer filed for bankruptcy and/or is in default.

^(e)	Variable rate security. Rate shown is the rate in effect as of period end.

^(f)	Step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate as of period end.

^(g)	Non-income producing security.

^(h)	Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Fund. These bonds serve as collateral in a secured borrowing. See Note 4 of the Notes to Financial Statements for details.

⁽ⁱ⁾

All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Fund could ultimately be required to pay under the agreements, which expire between February 15, 2019 to November 15, 2019 is $11,849,809. See Note 4 of the Notes to Financial Statements for details.

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

^(k)	During the six months ended October 31, 2017, investments in issuers considered to be an affiliate of the Fund for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:


Affiliated	Shares Held at 04/30/17		Net Activity		Shares Held at 10/31/17		Value at 10/31/17		Income		Net Realized Gain^(a)		Change in Unrealized Appreciation (Depreciation)
BlackRock Liquidity Funds, MuniCash, Institutional Class		1,057,065		2,817,920		3,874,985	$	3,876,148	$	15,053	$	515	$	(96	)

^(a)

Includes capital gain distribution, if applicable.

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts


Description	Number of Contracts			Expiration Date		Notional Amount (000)		Value/ Unrealized Appreciation (Depreciation)
Short Contracts
10-Year U.S. Treasury Note		(43	)		12/19/17	$	5,372	$	78,743
Long U.S. Treasury Bond		(55	)		12/19/17		8,386		161,430
Ultra Long U.S. Treasury Bond		(20	)		12/19/17		3,296		70,048
5-Year U.S. Treasury Note		(61	)		12/29/17		7,148		67,216

								$	377,437


SCHEDULES OF INVESTMENTS			25

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniAssets Fund, Inc. (MUA)

Derivative Financial Instruments Categorized by Risk Exposure

As of period end, the fair values of derivative financial instruments located in the Statements of Assets and Liabilities were as follows:


	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts		Other Contracts		Total
Assets — Derivative Financial Instruments
Futures contracts
Net unrealized appreciation^(a)	$	—	$	—	$	—	$	—	$	377,437	$	—	$	377,437

^(a)

Includes cumulative appreciation (depreciation) on futures contracts, if any, as reported in the Schedule of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities.

For the six months ended October 31, 2017, the effect of derivative financial instruments in the Statements of Operations was as follows:


	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Currency Exchange Contracts		Interest Rate Contracts			Other Contracts		Total
Net Realized Gain (Loss) from:
Futures contracts	$	—	$	—	$	—	$	—	$	(570,618	)	$	—	$	(570,618	)

Net Change in Unrealized Appreciation (Depreciation) on:
Futures contracts	$	—	$	—	$	—	$	—	$	616,931		$	—	$	616,931

Average Quarterly Balances of Outstanding Derivative Financial Instruments


Futures contracts:
Average notional value of contracts — short	$	21,801,574

For more information about the Fund’s investment risks regarding derivative financial instruments, refer to the Notes to Financial Statements.

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of investments and derivative financial instruments. For information about the Fund’s policy regarding valuation of investments and derivative financial instruments, refer to the Notes to Financial Statements.

The following tables summarize the Fund’s investments and derivative financial instruments categorized in the disclosure hierarchy:


	Level 1		Level 2		Level 3		Total
Assets:
Investments:
Long-Term Investments^(a)	$	—	$	566,588,420	$	—	$	566,588,420
Short-Term Securities		3,876,148				—		3,876,148

	$	3,876,148	$	566,588,420	$	—	$	570,464,568

Derivative Financial Instruments^(b)
Assets:
Interest rate contracts	$	377,437	$	—	$	—	$	377,437

^(a)

See above Schedule of Investments for values in each state or political subdivision.

^(b)

Derivative financial instruments are futures contracts which are valued at the unrealized appreciation (depreciation) on the instrument.

The Fund may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of period end, TOB Trust Certificates of $67,756,523 are categorized as Level 2 within the disclosure hierarchy.

During the six months ended October 31, 2017, there were no transfers between levels.

See notes to financial statements.


26		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments

October 31, 2017 (Unaudited)

BlackRock MuniEnhanced Fund, Inc. (MEN)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Municipal Bonds

Alabama — 0.6%
County of Tuscaloosa Board of Education, RB, Special Tax School Warrants, 5.00%, 2/01/43	$	885	$	1,013,121
Homewood Educational Building Authority, Refunding RB, Educational Facilities, Samford University, Series A, 5.00%, 12/01/47		1,010		1,129,766

				2,142,887
Alaska — 0.7%
Alaska Industrial Development & Export Authority, RB, Providence Health Services, Series A, 5.50%, 10/01/41		990		1,093,029
Borough of Matanuska-Susitna Alaska, RB, Goose Creek Correctional Center (AGC):
6.00%, 9/01/19		765		831,853
6.00%, 9/01/19		435		473,015

				2,397,897
Arizona — 1.9%
County of Maricopa Arizona IDA, Refunding RB, Banner Health Obligation Group, Series A:
5.00%, 1/01/38		280		324,383
4.00%, 1/01/41		3,100		3,212,685
State of Arizona, COP, Department of Administration, Series A (AGM):
5.00%, 10/01/27		2,700		2,886,597
5.00%, 10/01/29		400		427,488

				6,851,153
California — 14.2%
Anaheim Public Financing Authority California, RB, Senior, Public Improvements Project, Series A (AGM), 6.00%, 9/01/24		5,000		6,018,850
California Health Facilities Financing Authority, RB:
St. Joseph Health System, Series A, 5.75%, 7/01/39		550		590,194
Sutter Health, Series B, 5.88%, 8/15/31		1,200		1,349,748
California Health Facilities Financing Authority, Refunding RB, St. Joseph Health System, Series A, 5.00%, 7/01/37		1,090		1,236,125
California Statewide Communities Development Authority, RB, Kaiser Permanente, Series A, 5.00%, 4/01/42		1,480		1,665,903
City & County of San Francisco California Airports Commission, Refunding ARB, Series A, AMT, 5.00%, 5/01/42		185		212,741
City of Redding California Electric System Revenue, COP, Refunding Series A, (AGM):
5.00%, 6/01/18^(a)		620		634,427
5.00%, 6/01/30		600		612,720
City of San Jose California, Refunding ARB, Norman Y Mineta San Jose International Airport SJC, AMT:
Series A, 5.00%, 3/01/36		410		475,563
Series A, 5.00%, 3/01/37		455		526,558
Series A-1, 5.75%, 3/01/34		850		959,811
County of San Joaquin California Transportation Authority, Refunding RB, Limited Tax, Measure K, Series A, 6.00%, 3/01/21^(a)		2,175		2,514,039
County of San Mateo California Community College District, GO, CAB, Election of 2001, Series C (NPFGC), 0.00%, 9/01/30^(b)		12,740		8,880,035
Mount San Antonio Community College District, GO, Refunding, CAB, Election of 2008, Series A, 6.25%, 8/01/43^(c)		2,500		2,003,725
Poway Unified School District, GO, Refunding, CAB, School Facilities Improvement, Election of 2008, Series B, 0.00%, 8/01/36^(b)		3,750		1,921,012


Security	Par (000)		Value
California (continued)
Rio Hondo Community College District California, GO, CAB, Election of 2004, Series C, 0.00%, 8/01/38^(b)	$	5,000	$	2,355,950
San Diego California Community College District, GO, CAB, Election of 2006^(b):
0.00%, 8/01/31		2,145		1,216,108
0.00%, 8/01/32		2,680		1,422,866
San Diego California Unified School District, GO, CAB, Election of 2008^(b):
Series C, 0.00%, 7/01/38		1,600		774,832
Series G, 0.00%, 7/01/34		650		307,879
Series G, 0.00%, 7/01/35		690		306,857
Series G, 0.00%, 7/01/36		1,035		432,185
Series G, 0.00%, 7/01/37		690		270,632
San Diego California Unified School District, GO, Refunding, Series R-1^(b):
0.00%, 7/01/30		5,000		3,433,550
0.00%, 7/01/31		1,280		845,274
San Marcos Unified School District, GO, Election of 2010, Series A:
5.00%, 8/01/34		700		783,230
5.00%, 8/01/38		600		670,644
Walnut Valley Unified School District, GO, CAB, Election of 2007, Series B, 0.00%, 8/01/36^(b)		5,500		2,669,920
West Basin Municipal Water District California, COP, Refunding, Series B (AGC), 5.00%, 8/01/18^(a)		5,035		5,182,928

				50,274,306
Colorado — 0.6%
Regional Transportation District, COP, Refunding, Series A, 5.38%, 6/01/31		2,000		2,175,760

District of Columbia — 1.5%
District of Columbia Ballpark Revenue, RB, Series B-1 (NPFGC), 5.00%, 2/01/31		5,360		5,458,892

Florida — 12.7%
City of Gainesville Florida Utilities System Revenue, RB, Series A, 5.00%, 10/01/37^(d)		355		419,418
County of Brevard Florida Health Facilities Authority, Refunding RB, Health First, Inc. Project, 5.00%, 4/01/39		1,600		1,759,264
County of Broward Florida Water & Sewer Utility, Refunding RB, Series A, 5.25%, 10/01/18^(a)		850		882,139
County of Highlands Florida Health Facilities Authority, RB, Adventist Health System/Sunbelt, Series B, 6.00%, 11/15/37		1,450		1,576,121
County of Hillsborough Florida Aviation Authority, RB, Series A, AMT (AGC), 5.38%, 10/01/33		4,050		4,185,837
County of Lee Florida, Refunding ARB, Series A, AMT:
5.63%, 10/01/26		960		1,086,624
5.38%, 10/01/32		3,160		3,509,085
County of Miami-Dade Florida, GO, Building Better Communities Program, Series B-1, 5.75%, 7/01/18^(a)		1,400		1,443,778
County of Miami-Dade Florida, RB, Seaport:
Department, Series A, 6.00%, 10/01/38		2,025		2,416,027
Department, Series B, AMT, 6.25%, 10/01/38		415		492,771
Department, Series B, AMT, 6.00%, 10/01/42		660		765,382
Series B, AMT, 6.00%, 10/01/30		640		754,707
County of Miami-Dade Florida Aviation, Refunding ARB, AMT, 5.00%, 10/01/34		190		215,211
County of Miami-Dade Florida Educational Facilities Authority, RB, University of Miami, Series A, 5.00%, 4/01/40		2,995		3,371,382
County of Miami-Dade Florida Health Facilities Authority, Refunding RB, Nicklaus Children’s Hospital Project, 5.00%, 8/01/42		605		685,889


SCHEDULES OF INVESTMENTS			27

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniEnhanced Fund, Inc. (MEN)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Florida (continued)
County of Miami-Dade Florida School Board Foundation, Inc., COP, Series B (AGC), 5.00%, 5/01/18^(a)	$	10,000	$	10,193,400
County of Orange Florida Health Facilities Authority, Refunding RB, Presbyterian Retirement Communities Project:
5.00%, 8/01/41		560		617,742
5.00%, 8/01/47		1,620		1,779,878
County of Palm Beach Florida Solid Waste Authority, Refunding RB, Series B:
5.00%, 10/01/21^(a)		30		34,087
5.00%, 10/01/31		1,970		2,210,360
County of Sarasota Florida Public Hospital District, RB, Sarasota Memorial Hospital Project, Series A, 5.63%, 7/01/39		275		290,048
Florida Ports Financing Commission, Refunding RB, State Transportation Trust Fund, Series B, AMT:
5.13%, 6/01/27		2,000		2,244,360
5.38%, 10/01/29		1,050		1,196,779
Greater Orlando Aviation Authority, ARB, Priority Sub-Series A, AMT, 4.00%, 10/01/47		2,880		2,958,307

				45,088,596
Georgia — 3.1%
County of Gainesville Georgia & Hall Hospital Authority, Refunding RB, Northeast Georgia Health System, Inc. Project, Series A, 5.50%, 8/15/54		500		585,995
Municipal Electric Authority of Georgia, Refunding RB, Series EE (AMBAC), 7.00%, 1/01/25		7,475		9,875,671
Private Colleges & Universities Authority, RB, Savannah College of Art & Design:
5.00%, 4/01/33		140		156,197
5.00%, 4/01/44		380		413,618

				11,031,481
Illinois — 16.3%
City of Chicago Illinois O’Hare International Airport, ARB, Senior Lien, Series D, 5.25%, 1/01/42		2,900		3,404,049
City of Chicago Illinois O’Hare International Airport, GARB:
3rd Lien, Series A, 5.75%, 1/01/21^(a)		4,290		4,876,915
3rd Lien, Series A, 5.75%, 1/01/39		820		922,123
Senior Lien, Series D, AMT, 5.00%, 1/01/42		230		258,757
City of Chicago Illinois Transit Authority, RB:
5.25%, 12/01/49		900		995,616
Sales Tax Receipts, 5.25%, 12/01/36		595		642,005
County of Cook Illinois Forest Preserve District, GO, Refunding, Limited Tax Project, Series B, 5.00%, 12/15/37		45		47,795
Illinois Finance Authority, RB, Carle Foundation, Series A:
5.75%, 8/15/34		650		732,648
6.00%, 8/15/41		1,000		1,131,140
Illinois Finance Authority, Refunding RB, Silver Cross Hospital & Medical Centers, Series C:
4.13%, 8/15/37		740		753,039
5.00%, 8/15/44		350		374,647
Illinois Sports Facilities Authority, RB, State Tax Supported (AMBAC), 5.50%, 6/15/30		10,490		10,513,078
Illinois State Toll Highway Authority, RB, Series B, 5.00%, 1/01/37		2,785		3,179,077
Kane McHenry Cook & De Kalb Counties Unit School District No. 300, GO, Refunding, 5.25%, 1/01/33		9,145		10,389,177
Metropolitan Pier & Exposition Authority, RB, CAB, McCormick Place Expansion Project, Series A (NPFGC)^(b):
0.00%, 12/15/26		5,000		3,643,750
0.00%, 12/15/33		9,950		5,188,925


Security	Par (000)		Value
Illinois (continued)
Metropolitan Pier & Exposition Authority, Refunding RB, CAB, McCormick Place Expansion Project, Series B (AGM), 0.00%, 6/15/44^(b)	$	3,450	$	1,114,591
Railsplitter Tobacco Settlement Authority, RB, 6.00%, 6/01/28		675		760,604
Regional Transportation Authority, RB, Series A (AMBAC), 7.20%, 11/01/20		3,565		3,880,502
State of Illinois, GO:
5.25%, 2/01/33		830		888,689
5.50%, 7/01/33		820		889,954
5.25%, 2/01/34		830		886,324
5.50%, 7/01/38		445		476,644
State of Illinois Toll Highway Authority, Refunding RB, Series B, 5.50%, 1/01/18^(a)		1,875		1,888,744

				57,838,793
Indiana — 1.2%
Indiana Finance Authority, RB, Series A:
CWA Authority Project, 1st Lien, 5.25%, 10/01/38		1,100		1,245,453
Private Activity Bond, Ohio River Bridges East End Crossing Project, AMT, 5.00%, 7/01/44		515		554,356
Indiana Health & Educational Facilities Financing Authority, Refunding RB, Ascension Senior Credit Group, 5.00%, 11/15/46		700		790,104
Indianapolis Local Public Improvement Bond Bank, Refunding RB, Waterworks Project, Series A (AGC):
5.25%, 1/01/19^(a)		115		120,557
5.25%, 1/01/29		485		508,668
State of Indiana Finance Authority, RB, Private Activity Bond, Ohio River Bridges, Series A, AMT, 5.00%, 7/01/40		890		961,334

				4,180,472
Iowa — 2.9%
Iowa Finance Authority, RB, Iowa Health Care Facilities, Series A (AGC), 5.63%, 8/15/19^(a)		5,725		6,176,531

Iowa Student Loan Liquidity Corp., RB, Senior Series A-2, AMT:
5.60%, 12/01/26		1,855		1,989,728
5.70%, 12/01/27		835		890,494
5.80%, 12/01/29		570		606,486
5.85%, 12/01/30		595		633,443

				10,296,682
Louisiana — 1.5%
City of New Orleans Louisiana Aviation Board, ARB, Series B, AMT, 5.00%, 1/01/40		2,795		3,118,493
City of Shreveport Louisiana Water & Sewer Revenue, RB, Series A (AGM), 5.00%, 12/01/41		855		986,687
Louisiana Public Facilities Authority, Refunding RB, Christus Health, Series B (AGC), 6.50%, 7/01/30		1,250		1,317,125

				5,422,305
Maine — 0.2%
Maine State Housing Authority, RB, Series D-1, 3.65%, 11/15/42		645		634,828

Massachusetts — 2.6%
Commonwealth of Massachusetts, GOL, Consolidated Loan, Series D, 4.00%, 2/01/47		10		10,392
Massachusetts Development Finance Agency, RB, Emerson College Issue, Series A, 5.00%, 1/01/47		2,090		2,337,351
Massachusetts HFA, Refunding RB, AMT:
Series A, 4.45%, 12/01/42		795		829,583
Series C, 5.35%, 12/01/42		640		678,797
Massachusetts Port Authority, Refunding ARB, Series B, AMT, 4.00%, 7/01/46		3,620		3,732,256


28		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniEnhanced Fund, Inc. (MEN)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Massachusetts (continued)
Massachusetts School Building Authority, RB, Dedicated Sales Tax, Senior Series A, 5.00%, 5/15/43	$	1,280	$	1,455,104

				9,043,483
Michigan — 2.7%
City of Detroit Michigan Sewage Disposal System, Refunding RB, 2nd Lien, Series E (BHAC), 5.75%, 7/01/18^(a)		2,500		2,577,325
City of Detroit Michigan Water Supply System Revenue, RB, 2nd Lien, Series B (AGM), 6.25%, 7/01/19^(a)		400		433,516
City of Lansing Michigan, RB, Board of Water & Light Utilities System, Series A, 5.50%, 7/01/41		1,700		1,923,312
Michigan Finance Authority, Refunding RB:
Henry Ford Health System, 3.25%, 11/15/42		480		439,037
Trinity Health Credit Group, 5.00%, 12/01/21^(a)		20		22,812
Michigan State Hospital Finance Authority, Refunding RB, Ascension Senior Credit Group, 4.00%, 11/15/47		600		616,032
Royal Oak Hospital Finance Authority, Refunding RB, Beaumont Health Credit Group, Series D, 5.00%, 9/01/39		1,040		1,147,931
State of Michigan Building Authority, Refunding RB, Facilities Program:
Series I-A, 5.38%, 10/15/36		145		164,929
Series I-A, 5.38%, 10/15/41		700		794,773
Series II-A (AGM), 5.25%, 10/15/36		900		1,019,421
Western Michigan University, Refunding RB, General, University and College Improvements (AGM), 5.00%, 11/15/39		380		430,186

				9,569,274
Minnesota — 0.7%
City of Minneapolis Minnesota, Refunding RB, Fairview Health Services, Series B (AGC):
6.50%, 11/15/18^(a)		385		406,441
6.50%, 11/15/38		2,115		2,222,632

				2,629,073
Nebraska — 1.8%
Central Plains Energy Project Nebraska, RB, Gas Project No. 3:
5.00%, 9/01/32		5,010		5,523,625
5.25%, 9/01/37		750		828,525

				6,352,150
Nevada — 1.6%
City of Las Vegas Nevada, GO, Limited Tax, Performing Arts Center, 6.00%, 4/01/19^(a)		850		907,894
County of Clark Nevada, ARB, Las Vegas-McCarran International Airport, Series A:
5.25%, 7/01/42		500		538,540
(AGM), 5.25%, 7/01/39		3,800		4,102,214

				5,548,648
New Jersey — 8.6%
New Jersey EDA, RB:
Goethals Bridge Replacement Project, AMT, Private Activity Bond, 5.38%, 1/01/43		895		996,189
Goethals Bridge Replacement Project, AMT, Private Activity Bond, 5.13%, 1/01/34		685		759,014
School Facilities Construction (AGC), 6.00%, 12/15/18^(a)		1,975		2,083,941
School Facilities Construction (AGC), 6.00%, 12/15/18^(a)		25		26,379
Series WW, 5.25%, 6/15/33		155		171,469
Series WW, 5.00%, 6/15/34		205		222,122
Series WW, 5.00%, 6/15/36		925		994,634
Series WW, 5.25%, 6/15/40		265		287,464
New Jersey EDA, Refunding RB:
Series B, 5.50%, 6/15/30		5,360		6,258,926
Sub Series A, 4.00%, 7/01/32		1,270		1,278,052


Security	Par (000)		Value
New Jersey (continued)
New Jersey Higher Education Student Assistance Authority, Refunding RB, Series 1, AMT:
5.50%, 12/01/26	$	375	$	409,991
5.75%, 12/01/27		2,415		2,653,602
New Jersey Housing & Mortgage Finance Agency, Refunding RB, M/F Housing, Series 2, AMT, 4.35%, 11/01/33		970		1,024,960
New Jersey Transportation Trust Fund Authority, RB:
Transportation Program, Series AA, 5.25%, 6/15/33		1,490		1,619,541
Transportation Program, Series AA, 5.00%, 6/15/38		1,885		2,017,346
Transportation System, Series A, 5.50%, 6/15/41		3,150		3,387,825
Transportation System, Series AA, 5.50%, 6/15/39		1,150		1,249,854
Transportation System, Series B, 5.50%, 6/15/31		1,000		1,095,900
Transportation System, Series B, 5.00%, 6/15/42		520		541,070
Transportation System, Series D, 5.00%, 6/15/32		735		793,337
New Jersey Turnpike Authority, Refunding RB, Series B, 4.00%, 1/01/37		2,310		2,471,261

				30,342,877
New York — 8.0%
City of New York, GO, Series B-1, 4.00%, 10/01/41		2,710		2,873,928
City of New York New York Municipal Water Finance Authority, Refunding RB, Second General Resolution, Fiscal 2012, Series BB, 5.25%, 6/15/44		1,425		1,618,116
City of New York New York Transitional Finance Authority, BARB, Fiscal 2009, Series S-4, 5.50%, 1/15/33		1,600		1,683,664
City of New York New York Transitional Finance Authority, RB, Fiscal 2009, Series S-4, 5.50%, 1/15/34		2,750		2,893,797
City of New York New York Transitional Finance Authority, Refunding RB, Future Tax Secured, Series B, 5.00%, 11/01/32		1,480		1,713,041
Hudson Yards Infrastructure Corp., RB, Senior, Fiscal 2012:
5.75%, 2/15/21^(a)		420		480,656
5.75%, 2/15/47		280		318,979
Hudson Yards Infrastructure Corp., Refunding RB, 2nd Indenture, Series A, 5.00%, 2/15/39		625		730,044
Metropolitan Transportation Authority, RB, Series C:
6.50%, 11/15/18^(a)		2,985		3,152,190
6.50%, 11/15/18^(a)		245		258,722
6.50%, 11/15/28		770		813,952
New York City Transitional Finance Authority Future Tax Secured Revenue, RB, Sub-Series B-1, 4.00%, 8/01/42		2,600		2,763,930
New York Transportation Development Corp., ARB, LaGuardia Airport Terminal B Redevelopment Project, Series A, AMT, 5.25%, 1/01/50		2,715		3,009,550
Port Authority of New York & New Jersey, Refunding ARB, Consolidated, 206th Series, AMT, 5.00%, 11/15/37		600		699,924
State of New York Dormitory Authority, RB:
Sales Tax, Group C, Series A, 4.00%, 3/15/47		1,530		1,614,395
Series B, 5.75%, 3/15/19^(a)		1,200		1,275,792
State of New York HFA, RB, Affordable Housing, M/F Housing, Series B, AMT, 5.30%, 11/01/37		2,500		2,503,075

				28,403,755
Ohio — 1.6%
County of Lucas Ohio, Refunding RB, Promedica Healthcare, Series A, 6.50%, 11/15/37		530		631,108
State of Ohio Turnpike Commission, RB, CAB, Junior Lien, Infrastructure Projects, Series A-2, 0.00%, 2/15/37^(b)		10,000		5,082,600

				5,713,708
Oregon — 1.3%
Counties of Washington & Multnomah Oregon School District No. 48J Beaverton, GO, Convertible CAB, Series D, 5.00%, 6/15/36^(c)		835		946,698


SCHEDULES OF INVESTMENTS			29

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniEnhanced Fund, Inc. (MEN)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Oregon (continued)
County of Clackamas Oregon Community College District, GO, Convertible Deferred Interest Bonds, Series A, 5.00%, 6/15/40^(c)	$	440	$	450,274
County of Clackamas Oregon School District No. 12 North Clackamas, GO, CAB, Series A, 0.00%, 6/15/38^(b)		995		433,561
State of Oregon Housing & Community Services Department, RB, Series D, 3.45%, 1/01/38		2,840		2,828,470

				4,659,003
Pennsylvania — 7.4%
Commonwealth Financing Authority, RB, Series B, 5.00%, 6/01/42		1,600		1,746,704
County of Berks Industrial Development Authority, Refunding RB, Tower Health Project, 4.00%, 11/01/47		1,855		1,862,606
Pennsylvania Economic Development Financing Authority, RB:
Pennsylvania Bridge Finco LP, 5.00%, 12/31/38		1,305		1,461,496
Pennsylvania Bridge Finco LP, AMT, 5.00%, 12/31/34		7,290		8,251,915
Pennsylvania Rapid Bridge Replacement Project, AMT, 5.00%, 6/30/42		1,035		1,147,639
Pennsylvania Higher Educational Facilities Authority, Refunding RB, Thomas Jefferson University, Series A, 5.25%, 9/01/50		2,330		2,634,927
Pennsylvania Turnpike Commission, RB:
Series A, 5.00%, 12/01/38		620		707,897
Series A-1, 5.00%, 12/01/41		2,385		2,701,012
Series B, 5.00%, 12/01/40		935		1,065,404
Series C, 5.50%, 12/01/33		555		651,792
Sub-Series B-1, 5.00%, 6/01/42		1,750		1,974,210
Subordinate, Special Motor License Fund, 6.00%, 12/01/20^(a)		575		657,093
Pennsylvania Turnpike Commission, Refunding RB, Series A-1, 5.00%, 12/01/40		765		868,589
Philadelphia School District, GO, Series E^(a):
6.00%, 9/01/18		5		5,201
6.00%, 9/01/18		395		411,017

				26,147,502
Rhode Island — 1.2%
Rhode Island Commerce Corp., RB, Airport Corp., Series D, 5.00%, 7/01/41		355		398,008
Tobacco Settlement Financing Corp., Refunding RB, Series B:
4.50%, 6/01/45		1,055		1,056,983
5.00%, 6/01/50		2,630		2,713,582

				4,168,573
South Carolina — 4.9%
South Carolina Jobs EDA, Refunding RB, Palmetto Health, Series A (AGM), 6.50%, 8/01/39		115		132,662
South Carolina Public Service Authority, Refunding RB, Series A^(a):
5.50%, 1/01/19		80		84,097
5.50%, 1/01/19		920		967,113
South Carolina Transportation Infrastructure Bank, RB, Series A, 5.25%, 10/01/19^(a)		3,000		3,228,570
State of South Carolina Ports Authority, RB, AMT, 5.25%, 7/01/50		2,330		2,601,911
State of South Carolina Public Service Authority, RB, Santee Cooper:
Series A, 5.50%, 12/01/54		6,225		7,025,037
Series E, 5.50%, 12/01/53		745		837,231
State of South Carolina Public Service Authority, Refunding RB, Santee Cooper, Series B, 5.00%, 12/01/38		2,080		2,292,576

				17,169,197


Security	Par (000)		Value
South Dakota — 0.9%
South Dakota Health & Educational Facilities Authority, Refunding RB, Avera Health Issue, 4.00%, 7/01/42	$	3,000	$	3,048,030

Tennessee — 2.1%
Metropolitan Government of Nashville & Davidson County Health & Educational Facilities Board, Refunding RB, Vanderbilt University, Series B, 5.50%, 10/01/19^(a)		5,000		5,409,500
Tennessee Housing Development Agency, RB:
3.60%, 7/01/42		550		549,626
3.65%, 7/01/47		1,470		1,466,781

				7,425,907
Texas — 14.4%
City of Houston Texas Combined Utility System Revenue, Refunding RB, Combined 1st Lien, Series A (AGC):
5.38%, 5/15/19^(a)		1,280		1,361,498
6.00%, 5/15/19^(a)		1,990		2,135,568
6.00%, 11/15/35		110		118,450
5.38%, 11/15/38		70		74,115
City of San Antonio Texas Electric & Gas Revenue, RB, Junior Lien, 5.00%, 2/01/38		575		652,522
County of Midland Texas Fresh Water Supply District No. 1, RB, CAB, City of Midland Project, Series A, 0.00%, 9/15/36^(b)		2,130		982,399
County of Tarrant Texas Cultural Education Facilities Finance Corp., Refunding RB, Cook Children’s Medical Center, 5.25%, 12/01/39		750		847,342
Dallas-Fort Worth International Airport, ARB, Joint Improvement, AMT:
Series D, 5.00%, 11/01/38		1,975		2,189,485
Series D, 5.00%, 11/01/42		1,500		1,656,240
Series H, 5.00%, 11/01/32		3,000		3,347,760
Dallas-Fort Worth International Airport, Refunding ARB, Series F, 5.25%, 11/01/33		975		1,145,410
Grand Parkway Transportation Corp., RB, Convertible CAB, Series B, 5.80%, 10/01/46^(c)		2,095		1,953,399
Leander ISD, GO, Refunding, CAB, Series D (PSF-GTD), 0.00%, 8/15/38^(b)		3,420		1,411,605
North Texas Tollway Authority, Refunding RB:
1st Tier System (NPFGC), 5.75%, 1/01/18^(a)		600		604,644
1st Tier System (NPFGC), 5.75%, 1/01/40		195		196,509
1st Tier System, Series A, 6.00%, 1/01/19^(a)		2,270		2,396,598
1st Tier System, Series A, 6.00%, 1/01/28		525		554,594
1st Tier System, Series K-2 (AGC), 6.00%, 1/01/19^(a)		4,015		4,241,326
1st Tier System, Series S (NPFGC), 5.75%, 1/01/18^(a)		805		811,231
1st Tier, Series K-1 (AGC), 5.75%, 1/01/19^(a)		3,800		4,003,262
1st Tier-Series A, 5.00%, 1/01/43^(d)		2,490		2,876,174
San Antonio Public Facilities Corp., Refunding RB, Convention Center Refinancing & Expansion Project, CAB^(b):
0.00%, 9/15/35		4,990		2,242,905
0.00%, 9/15/36		11,525		4,876,227
0.00%, 9/15/37		8,245		3,279,284
Texas Municipal Gas Acquisition & Supply Corp. III, RB, Natural Gas Utility Improvements:
5.00%, 12/15/31		1,190		1,330,884
5.00%, 12/15/32		705		785,955
Texas Private Activity Bond Surface Transportation Corp., RB, Senior Lien, AMT, Blueridge Transportation Group, 5.00%, 12/31/45		1,275		1,399,287
Texas Transportation Commission, Refunding RB, Central Texas Turnpike System, 1st Tier, Series A, 5.00%, 8/15/41		3,080		3,416,398

				50,891,071


30		2017 BLACKROCK SEMI-ANNUAL REPORT TO SHAREHOLDERS

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniEnhanced Fund, Inc. (MEN)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
Utah — 1.9%
Salt Lake City Corp. Airport Revenue, RB, Series A, AMT, 5.00%, 7/01/42	$	1,240	$	1,427,562
Utah Transit Authority, RB, Series A (AGM), 5.00%, 6/15/18^(a)		5,000		5,121,550

				6,549,112
Virginia — 0.1%
County of Fairfax Virginia IDA, Refunding RB, Health Care-Inova Health:
5.50%, 5/15/19^(a)		125		133,196
5.50%, 5/15/35		225		238,935

				372,131
Washington — 1.4%
Port of Seattle Washington, ARB, Intermediate Lien, Series C, AMT, 5.00%, 5/01/42		715		824,116
Port of Seattle Washington, RB, Series C, AMT, 5.00%, 4/01/40		1,015		1,130,822
Washington Health Care Facilities Authority, RB, Providence Health & Services, Series A:
5.00%, 10/01/39		525		555,980
5.25%, 10/01/39		625		666,756
Washington Health Care Facilities Authority, Refunding RB, Multicare Health System, Series B, 4.00%, 8/15/41^(d)		1,835		1,879,958

				5,057,632
Wisconsin — 2.0%
Public Finance Authority, RB, KU Campus Development Corp., Central District Development Project, 5.00%, 3/01/46		645		724,271
State of Wisconsin Health & Educational Facilities Authority, RB:
Ascension Health Senior Credit Group, Series E, 5.00%, 11/15/33		1,375		1,471,841
Marshfield Clinic Health System, Inc. Series C, 4.00%, 2/15/42		2,810		2,827,225
State of Wisconsin Health & Educational Facilities Authority, Refunding RB, Froedtert Health, Inc. Obligated Group, 4.00%, 4/01/39		1,900		1,955,651

				6,978,988

Total Municipal Bonds — 122.6%				433,864,166


Municipal Bonds Transferred to Tender Option Bond Trusts^(e)

Arizona — 0.4%
Phoenix Civic Improvement Corp., Refunding RB, Junior Lien, Series A, 5.00%, 7/01/19^(a)		1,200		1,275,822

California — 2.3%
Bay Area California Toll Authority, Refunding RB, San Francisco Bay Area, Series D-1, 4.00%, 4/01/47^(f)		3,827		4,031,129
County of San Diego Water Authority Financing Corp., COP, Refunding, Series A (AGM)^(a):
5.00%, 5/01/18		466		475,391
5.00%, 5/01/18		2,344		2,390,135
San Diego Community College District, GO, Election of 2002, 5.25%, 8/01/19^(a)		404		432,670
University of California, RB, Series O, 5.75%, 5/15/19^(a)		840		899,068

				8,228,393
Colorado — 2.3%
Colorado Health Facilities Authority, Refunding RB, Catholic Health Initiative, Series A:
5.50%, 7/01/34^(f)		900		946,044
5.00%, 2/01/41		7,000		7,299,600

				8,245,644


Security	Par (000)		Value
Connecticut — 0.4%
State of Connecticut Health & Educational Facility Authority, Refunding RB, Trinity Health Credit Group, 5.00%, 12/01/45	$	1,381	$	1,560,319

District of Columbia — 1.7%
District of Columbia, RB, Series A, 5.50%, 12/01/30^(f)		1,004		1,090,314
District of Columbia Water & Sewer Authority, Refunding RB, Series A, 6.00%, 10/01/18^(a)^(f)		1,779		1,856,871
Metropolitan Washington Airports Authority, Refunding ARB, Airport System, Series A, AMT, 5.00%, 10/01/30		2,530		2,870,740

				5,817,925
Florida — 3.9%
County of Miami-Dade Florida, Refunding RB, Transit System Sales Surtax, 5.00%, 7/01/42		4,480		5,054,829
County of Miami-Dade Florida Water & Sewer System, RB, (AGM), 5.00%, 10/01/39		4,620		5,036,926
County of Orange Florida School Board, COP, Series A (AGC), 5.50%, 02/01/18^(a)		3,544		3,806,492

				13,898,247
Illinois — 3.2%
State of Illinois, RB, Build Illinois, Series B, 5.25%, 6/15/19^(a)^(f)		4,399		4,684,742
State of Illinois Toll Highway Authority, RB:
Series A, 5.00%, 1/01/38		2,138		2,381,389
Series A, 5.00%, 1/01/40		2,730		3,102,016
Series B, 5.00%, 1/01/40		1,050		1,189,439

				11,357,586
Kansas — 1.6%
County of Wyandotte Unified School District No. 500 Kansas City, GO, Improvement, Series A, 5.50%, 9/01/47		4,723		5,723,768

Maryland — 0.9%
City of Baltimore Maryland, RB, Water Projects, Series A, 5.00%, 7/01/41		2,808		3,245,956

Massachusetts — 0.5%
Commonwealth of Massachusetts, GO, Series A, 5.00%, 3/01/46		1,461		1,671,956

Michigan — 3.2%
State of Michigan Finance Authority, RB, Beumont Health Credit Group, Series A, 5.00%, 11/01/44		1,970		2,195,370
State of Michigan Finance Authority, Refunding RB, Trinity Health Credit Group, 5.00%, 12/01/39		7,530		8,292,940
State of Michigan Building Authority, Refunding RB, Facilities Program, Series I, 5.00%, 10/15/45		870		989,768

				11,478,078
Nevada — 4.2%
City of Las Vegas Nevada, GO, Limited Tax, Performing Arts Center, 6.00%, 4/01/19^(a)^(f)		3,778		4,029,956
County of Clark Nevada Water Reclamation District, GO, Series B^(a):
5.50%, 7/01/19		4,499		4,817,449
5.75%, 7/01/19		1,829		1,966,455
Las Vegas Valley Water District, GO, Refunding Water Improvement, Series A, 5.00%, 6/01/46		3,460		4,009,396

				14,823,256
New Jersey — 0.8%
County of Hudson New Jersey Improvement Authority, RB, Hudson County Vocational-Techical Schools Project, 5.25%, 5/01/51		800		922,458
New Jersey Transportation Trust Fund Authority, RB, Transportation System, Series B, 5.25%, 6/15/36^(f)		1,840		1,956,432

				2,878,890


SCHEDULES OF INVESTMENTS			31

Schedule of Investments (continued)

October 31, 2017 (Unaudited)

BlackRock MuniEnhanced Fund, Inc. (MEN)

(Percentages shown are based on Net Assets)


Security	Par (000)		Value
New York — 6.5%
City of New York New York Water & Sewer System, RB, Fiscal 2009, Series A:
5.75%, 6/15/18^(a)	$	290	$	298,094
5.75%, 6/15/40		969		996,840
City of New York New York Water & Sewer System, Refunding RB, 2nd General Resolution, Fiscal 2013, Series CC, 5.00%, 6/15/47		5,680		6,464,608
Metropolitan Transportation Authority, RB, Sub-Series D-1, 5.25%, 11/15/44		3,470		4,059,883
Metropolitan Transportation Authority, Refunding RB, Series C-1, 5.25%, 11/15/56		1,500		1,753,613
New York City Transitional Finance Authority Future Tax Secured Revenue, RB, Future Tax, Sub-Series A-3, 5.00%, 8/01/40^(f)		3,059		3,586,106
New York City Water & Sewer System, RB, 2nd General Resolution, Series DD, 5.00%, 6/15/35		1,665		1,939,053
Port Authority of New York & New Jersey, Refunding ARB, Consolidated, 198th Series, 5.25%, 11/15/56		2,241		2,631,132
Triborough Bridge & Tunnel Authority, GRB, Series A-2, 5.25%, 11/15/34^(f)		1,300		1,356,647

				23,085,976
Ohio — 1.1%
Northeast Ohio Regional Sewer District, Refunding RB, 4.00%, 11/15/43		2,912		3,107,685
State of Ohio, RB, Cleveland Health Clinic, Series B, 5.50%, 1/01/34		580		609,006

				3,716,691
Pennsylvania — 0.3%
County of Westmoreland Municipal Authority, Refunding RB (BAM), 5.00%, 8/15/42		900		1,026,803

South Carolina — 1.5%
County of Tarrant Texas Cultural Education Facilities Finance Corp., Refunding RB, Texas Health Resources System , Series A, 5.00%, 2/15/41		3,440		3,942,025
South Carolina Public Service Authority, Refunding RB, Series A^(a)^(f):
5.50%, 1/01/19		102		106,718
5.50%, 1/01/19		1,175		1,233,956

				5,282,699
Washington — 1.0%
Washington Health Care Facilities Authority, Refunding RB, Seattle Children’s Hospital, Series B, 5.00%, 10/01/38		2,880		3,430,627


Security	Shares/Par (000)		Value
Wisconsin — 1.0%
Wisconsin Health & Educational Facilities Authority, Refunding RB:
Froedtert & Community Health, Inc., Series C, 5.25%, 4/01/19^(a)^(f)	$	1,430	$	1,510,921
Froedtert Health, Inc., Series A, 5.00%, 4/01/42		1,980		2,140,221

				3,651,142

Total Municipal Bonds Transferred to Tender Option Bond Trusts — 36.8%				130,399,778

Total Long-Term Investments — 159.4% (Cost — $521,863,363)				564,263,944


Short-Term Securities — 1.5%
BlackRock Liquidity Funds, MuniCash, Institutional Class, 0.74%^(g)^(h)		5,203,622		5,205,183

Total Short-Term Securities — 1.5% (Cost — $5,205,183)				5,205,183


Total Investments — 160.9% (Cost — $527,068,546)				569,469,127
Other Assets Less Liabilities — 0.3%				1,195,869
Liability for TOB Trust Certificates, Including Interest Expense and Fees Payable — (21.0)%				(74,518,577	)
VRDP Shares at Liquidation Value, Net of Deferred Offering Costs — (40.2)%				(142,264,647	)

Net Assets Applicable to Common Shares — 100.0%			$	353,881,772

^(a)	U.S. Government securities, held in escrow, are used to pay interest on this security, as well as to retire the bond in full at the date indicated, typically at a premium to par.

^(b)	Zero-coupon bond.

^(c)	Step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate as of period end.

^(d)	When-issued security.

^(e)	Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Fund. These bonds serve as collateral in a secured borrowing. See Note 4 of the Notes to Financial Statements for details.

^(f)	All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Fund could ultimately be required to pay under the agreements, which expire between May 7, 2018 to August 1, 2025 is $15,995,433. See Note 4 of the Notes to Financial Statements for details.

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

^(h)	During the six months ended October 31, 2017, investments in issuers considered to be an affiliate of the Fund for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:


Affiliate	Shares Held at 04/30/17		Net Activity		Shares Held at 10/31/17		Value at 10/31/17		Income		Net Realized Gain^(a)		Change in Unrealized Appreciation (Depreciation)
BlackRock Liquidity Funds, MuniCash, Institutional Class		1,790,782		3,412,840		5,203,622	$	5,205,183	$	11,110	$	785	$	(217	)

^(a)	Includes net capital gain distributions, if applicable.