Edgar Filing: BLACKROCK CREDIT ALLOCATION INCOME TRUST IV

BlackRock Credit Allocation Income Trust IV (BTZ)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-21972

Name of Fund: BlackRock Credit Allocation Income Trust IV (BTZ)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Credit Allocation Income Trust IV, 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: 10/31/2012

Date of reporting period: 07/31/2012

Item 1 – Schedule of Investments

Schedule of Investments July 31, 2012 (Unaudited)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Asset-Backed Securities	Par (000)		Value
321 Henderson Receivables I LLC, Series 2012-1A, Class A, 4.21%, 2/16/65 (a)		USD 1,705	$	1,747,790
American Airlines Pass-Through Trust, Series 2011-2, Class A, 8.63%, 4/15/23		912		960,143
Atrium CDO Corp., Series 5A, Class A4, 0.86%, 7/20/20 (a)(b)		4,400		3,707,000
Continental Airlines Pass-Through Certificates, Series 2009-2, Class B, 9.25%, 11/10/18		1,740		1,905,204
SLM Student Loan Trust, Series 2004-B, Class A2, 0.67%, 6/15/21 (b)		3,433		3,324,303

Total Asset-Backed Securities – 1.5%				11,644,440




Corporate Bonds
Aerospace & Defense – 0.9%
BE Aerospace, Inc., 5.25%, 4/01/22		2,815		2,955,750
Huntington Ingalls Industries, Inc.:
6.88%, 3/15/18		990		1,054,350
7.13%, 3/15/21		960		1,030,800
Kratos Defense & Security Solutions, Inc., 10.00%, 6/01/17		1,662		1,786,650

				6,827,550

Airlines – 0.3%
Delta Air Lines, Inc., Series 2002-1, Class G-1, 6.72%, 7/02/24		1,949		2,105,394

Auto Components – 0.7%
Delphi Corp., 6.13%, 5/15/21		950		1,036,688
Icahn Enterprises LP:
7.75%, 1/15/16		1,180		1,240,475
8.00%, 1/15/18		3,020		3,208,750

				5,485,913

Beverages – 1.0%
Anheuser-Busch InBev Worldwide, Inc.:
1.38%, 7/15/17		1,650		1,666,457
2.50%, 7/15/22		2,425		2,472,239
Constellation Brands, Inc., 7.25%, 5/15/17		3,230		3,726,613

				7,865,309

Building Products – 0.4%
Building Materials Corp. of America (a):
7.00%, 2/15/20		790		861,100
6.75%, 5/01/21		1,770		1,933,725

				2,794,825


Corporate Bonds	Par (000)		Value
Capital Markets – 4.6%
Ameriprise Financial, Inc., 5.30%, 3/15/20 (c)	USD	4,500	$	5,216,526
E*Trade Financial Corp., 12.50%, 11/30/17		2,565		2,936,925
The Goldman Sachs Group, Inc. (c):
7.50%, 2/15/19		5,165		6,087,970
5.75%, 1/24/22		2,800		3,058,507
6.25%, 2/01/41		7,350		8,026,266
Morgan Stanley, 5.50%, 7/28/21 (c)		4,710		4,759,841
Murray Street Investment Trust I, 4.65%, 3/09/17 (d)		1,000		1,027,909
UBS AG:
2.25%, 1/28/14 (c)		2,678		2,707,051
5.88%, 7/15/16		1,575		1,687,997

				35,508,992

Chemicals – 1.5%
Celanese US Holdings LLC, 5.88%, 6/15/21		2,560		2,771,200
Hexion US Finance Corp., 6.63%, 4/15/20		1,255		1,283,238
Huntsman International LLC, 8.63%, 3/15/21		980		1,127,000
Ineos Finance Plc (a):
8.38%, 2/15/19		535		553,725
7.50%, 5/01/20		1,210		1,228,150
LyondellBasell Industries NV, 5.75%, 4/15/24		3,125		3,539,062
Solutia, Inc., 7.88%, 3/15/20		972		1,149,390

				11,651,765

Commercial Banks – 5.1%
Amsouth Bank, Series AI, 4.85%, 4/01/13		1,800		1,836,000
Asciano Finance Ltd., 5.00%, 4/07/18 (a)		1,475		1,553,233
Associated Banc-Corp, 5.13%, 3/28/16		3,645		3,927,444
Branch Banking & Trust Co. (b)(c):
0.79%, 9/13/16		1,850		1,750,925
0.77%, 5/23/17		1,100		1,019,244
CIT Group, Inc.:
7.00%, 5/02/16 (a)		2,590		2,602,950
7.00%, 5/02/17 (a)		706		709,928
4.25%, 8/15/17		2,240		2,240,000
5.25%, 3/15/18		1,980		2,096,325
5.50%, 2/15/19 (a)		1,720		1,814,600
5.00%, 8/15/22		860		860,000
Discover Bank, 8.70%, 11/18/19		1,950		2,465,198
HSBC Finance Corp., 6.68%, 1/15/21 (c)		2,525		2,815,516
Regions Financial Corp.:
4.88%, 4/26/13		4,150		4,227,812
5.75%, 6/15/15		3,000		3,198,750



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	1

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)	Value
Commercial Banks (concluded)
Wachovia Bank NA, 6.60%, 1/15/38 (c)	USD 4,520	$	6,162,125

			39,280,050

Commercial Services & Supplies – 4.0%
Aviation Capital Group Corp. (a):
7.13%, 10/15/20 (c)	15,000		15,404,655
6.75%, 4/06/21	3,850		3,859,509
Casella Waste Systems, Inc., 7.75%, 2/15/19	1,201		1,191,993
Clean Harbors, Inc.:
7.63%, 8/15/16	2,120		2,210,100
5.25%, 8/01/20 (a)	764		787,875
Corrections Corp. of America, 7.75%, 6/01/17	4,835		5,236,909
Covanta Holding Corp., 6.38%, 10/01/22	1,105		1,185,976
Mobile Mini, Inc., 7.88%, 12/01/20	455		480,594

			30,357,611

Communications Equipment – 0.9%
Avaya, Inc., 9.75%, 11/01/15 (c) 1,400			1,092,000
Brocade Communications Systems, Inc., 6.88%, 1/15/20 (c)	3,580		3,884,300
Hughes Satellite Systems Corp., 6.50%, 6/15/19	700		752,500
Zayo Group LLC /Zayo Capital, Inc., 8.13%, 1/01/20 (a)	1,240		1,311,300

			7,040,100

Construction Materials – 0.2%
HD Supply, Inc., 8.13%, 4/15/19 (a)	1,490		1,624,100

Consumer Finance – 5.6%
American Express Credit Corp., 2.75%, 9/15/15 (c)	9,850		10,386,923
Capital One Bank USA NA, 8.80%, 7/15/19	3,950		5,087,624
Daimler Finance North America LLC, 2.63%, 9/15/16 (a)(c)	5,675		5,906,489
Experian Finance Plc, 2.38%, 6/15/17 (a)	1,250		1,263,678
Ford Motor Credit Co. LLC:
7.00%, 4/15/15	4,730		5,262,125
8.00%, 12/15/16	2,195		2,594,404
Inmarsat Finance Plc, 7.38%, 12/01/17 (a)	2,515		2,716,200
SLM Corp., 6.25%, 1/25/16	8,205		8,697,300
Toll Brothers Finance Corp., 5.88%, 2/15/22	680		725,344
			42,640,087


Corporate Bonds	Par (000)	Value
Containers & Packaging – 1.2%
Ardagh Packaging Finance Plc (a):
7.38%, 10/15/17	USD 210	$	225,225
7.38%, 10/15/17	383		410,289
9.13%, 10/15/20	490		514,500
Ball Corp.:
7.13%, 9/01/16	2,000		2,172,500
6.75%, 9/15/20	3,575		3,959,312
Crown Americas LLC, 6.25%, 2/01/21	1,350		1,491,750
Sealed Air Corp., 8.38%, 9/15/21 (a)	220		250,800

			9,024,376

Diversified Financial Services – 10.1%
Ally Financial, Inc.:
4.50%, 2/11/14	1,500		1,546,875
8.30%, 2/12/15	2,890		3,211,512
8.00%, 11/01/31	2,515		3,011,712
Bank of America Corp. (c):
3.75%, 7/12/16	2,855		2,956,921
5.30%, 3/15/17	6,505		6,986,416
5.00%, 5/13/21	12,100		13,043,304
Citigroup, Inc. (c):
6.38%, 8/12/14	2,150		2,322,406
4.59%, 12/15/15	1,575		1,675,737
4.45%, 1/10/17	1,520		1,624,114
Countrywide Financial Corp., 6.25%, 5/15/16 (c)	6,500		6,908,089
DPL, Inc., 7.25%, 10/15/21 (a)	1,785		2,030,437
General Electric Capital Corp., 6.25% (b)(e)	4,500		4,603,140
General Motors Financial Co., Inc., 6.75%, 6/01/18	830		913,807
ING Bank NV, 5.00%, 6/09/21 (a)(c)	3,950		4,245,381
Intesa Sanpaolo SpA:
2.38%, 12/21/12	5,800		5,680,027
6.50%, 2/24/21 (a)(c)	747		672,479
Macquarie Bank Ltd., 5.00%, 2/22/17 (a)(c)	2,325		2,409,386
Moody’s Corp., 6.06%, 9/07/17 10,000			10,701,670
Reynolds Group Issuer, Inc.:
7.13%, 4/15/19	420		446,250
7.88%, 8/15/19	1,165		1,284,413
9.88%, 8/15/19 (a)	515		545,900
6.88%, 2/15/21	255		271,575
WMG Acquisition Corp., 9.50%, 6/15/16	340		372,725

			77,464,276

Diversified Telecommunication Services – 4.5%
AT&T, Inc. (c):
2.40%, 8/15/16	1,525		1,606,276
6.30%, 1/15/38	5,000		6,641,335
Level 3 Financing, Inc.:
8.13%, 7/01/19	5,547		5,838,218



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	2

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)		Value
Diversified Telecommunication Services (concluded)
Level 3 Financing, Inc. (concluded):
8.63%, 7/15/20	USD	1,070	$	1,147,575
Telecom Italia Capital SA, 6.18%, 6/18/14		1,650		1,674,750
Telefonica Emisiones SAU, 5.46%, 2/16/21		2,250		2,024,991
Verizon Communications, Inc. (c):
1.95%, 3/28/14		8,525		8,725,482
7.35%, 4/01/39		3,640		5,507,586
Windstream Corp., 7.88%, 11/01/17		990		1,087,763

				34,253,976

Electric Utilities – 4.5%
CMS Energy Corp., 5.05%, 3/15/22		1,850		1,972,207
Dominion Resources, Inc., 8.88%, 1/15/19 (c)		8,000		11,014,672
Duke Energy Corp., 3.55%, 9/15/21 (c)		2,825		3,055,842
Great Plains Energy, Inc., 5.29%, 6/15/22 (d)		2,725		3,011,907
Mirant Mid Atlantic Pass Through Trust, Series B, 9.13%, 6/30/17		857		908,811
Nisource Finance Corp.:
6.40%, 3/15/18		1,760		2,072,402
5.25%, 2/15/43		1,950		2,131,266
Oncor Electric Delivery Co. LLC (a):
4.10%, 6/01/22 (c)		2,050		2,179,501
5.30%, 6/01/42		1,350		1,533,489
Progress Energy, Inc., 7.00%, 10/30/31 (c)		5,000		6,738,490

				34,618,587

Electronic Equipment, Instruments & Components – 0.3%
Jabil Circuit, Inc., 8.25%, 3/15/18 1,200				1,440,000
NXP BV, 3.21%, 10/15/13 (b)		664		661,510

				2,101,510

Energy Equipment & Services – 3.5%
Atwood Oceanics, Inc., 6.50%, 2/01/20		185		197,025
Cie Generale de Geophysique - Veritas, 6.50%, 6/01/21		1,150		1,184,500
Energy Transfer Partners LP, 5.20%, 2/01/22		5,000		5,525,175
Ensco Plc, 4.70%, 3/15/21		3,255		3,651,306
Frac Tech Services LLC, 8.13%, 11/15/18 (a)		1,795		1,821,925
Hornbeck Offshore Services, Inc., 5.88%, 4/01/20 (a)		465		465,000
Key Energy Services, Inc., 6.75%, 3/01/21		1,240		1,243,100
MEG Energy Corp. (a):
6.50%, 3/15/21		1,580		1,639,250
6.38%, 1/30/23		370		378,788


Corporate Bonds	Par (000)		Value
Energy Equipment & Services (concluded)
Oil States International, Inc., 6.50%, 6/01/19	USD	835	$	878,838
Peabody Energy Corp., 6.25%, 11/15/21 (a)		2,575		2,542,812
Precision Drilling Corp., 6.50%, 12/15/21		700		728,000
Transocean, Inc.:
6.50%, 11/15/20		1,860		2,221,186
6.38%, 12/15/21		2,300		2,766,994
6.80%, 3/15/38		1,625		2,012,044

				27,255,943

Food & Staples Retailing – 0.4%
Wal-Mart Stores, Inc., 5.25%, 9/01/35 (c)		2,650		3,394,767

Food Products – 1.1%
Kraft Foods Group, Inc., 5.00%, 6/04/42 (a)		2,750		3,101,800
Kraft Foods, Inc.:
6.50%, 8/11/17		1,985		2,438,890
6.13%, 8/23/18		1,990		2,469,152
Smithfield Foods, Inc., 10.00%, 7/15/14		668		786,570

				8,796,412

Gas Utilities – 0.2%
El Paso Natural Gas Co., 8.63%, 1/15/22		1,150		1,482,096

Health Care Equipment & Supplies – 0.8%
Fresenius US Finance II, Inc., 9.00%, 7/15/15 (a)		4,250		4,903,437
Teleflex, Inc., 6.88%, 6/01/19		815		865,938

				5,769,375

Health Care Providers & Services – 3.3%
Aetna, Inc., 6.75%, 12/15/37 (c) 2,025				2,802,197
Aviv Healthcare Properties LP, 7.75%, 2/15/19		765		790,819
HCA, Inc.:
8.50%, 4/15/19		265		298,622
6.50%, 2/15/20		3,780		4,224,150
7.25%, 9/15/20		4,590		5,129,325
INC Research LLC, 11.50%, 7/15/19 (a)		1,155		1,143,450
inVentiv Health, Inc., 10.00%, 8/15/18 (a)		445		367,125
Tenet Healthcare Corp.:
10.00%, 5/01/18		2,175		2,523,000
8.88%, 7/01/19		1,825		2,069,094
UnitedHealth Group, Inc., 6.88%, 2/15/38 (c)		4,075		5,862,816

				25,210,598



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	3

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)	Value
Health Care Technology – 1.4%
Amgen, Inc.:
5.15%, 11/15/41 (c)	USD 6,280	$	6,951,169
5.65%, 6/15/42	70		82,120
5.38%, 5/15/43 (c)	3,425		3,905,264

			10,938,553

Household Durables – 0.4%
Beazer Homes USA, Inc., 6.63%, 4/15/18 (a)	1,140		1,158,525
Standard Pacific Corp., 8.38%, 1/15/21	1,480		1,661,300

			2,819,825

Independent Power Producers & Energy Traders – 1.1%
The AES Corp.:
9.75%, 4/15/16	1,620		1,948,050
7.38%, 7/01/21 (a)	225		257,344
Calpine Corp., 7.25%, 10/15/17 (a)	730		790,225
Energy Future Intermediate Holding Co. LLC, 10.00%, 12/01/20	3,135		3,452,418
Exelon Generation Co. LLC, 4.00%, 10/01/20	315		326,312
Laredo Petroleum, Inc.:
9.50%, 2/15/19	460		519,800
7.38%, 5/01/22 (a)	440		464,200
QEP Resources, Inc., 5.38%, 10/01/22	944		969,960

			8,728,309

Industrial Conglomerates – 0.3%
The ADT Corp., 4.88%, 7/15/42 (a)	2,250		2,407,264

Insurance – 4.3%
American International Group, Inc. (c):
3.80%, 3/22/17	2,500		2,598,313
8.25%, 8/15/18	1,050		1,293,617
6.40%, 12/15/20	4,275		5,001,523
Fairfax Financial Holdings Ltd., 5.80%, 5/15/21 (a)	4,975		5,073,918
Forethought Financial Group, Inc., 8.63%, 4/15/21 (a)	1,625		1,697,309
Genworth Financial, Inc., 7.63%, 9/24/21	1,615		1,581,397
Manulife Financial Corp., 4.90%, 9/17/20 (c)	3,650		3,952,048
MPL 2 Acquisition Canco, Inc., 9.88%, 8/15/18 (a)	715		602,388
Principal Financial Group, Inc., 8.88%, 5/15/19	1,145		1,522,637
Prudential Financial, Inc., 6.63%, 12/01/37 (c)	4,075		4,874,042
XL Group Ltd., 5.75%, 10/01/21 4,105			4,698,673

			32,895,865


Corporate Bonds	Par (000)	Value
IT Services – 1.1%
Ceridian Corp., 8.88%, 7/15/19 (a)	USD 2,905	$	3,057,512
Epicor Software Corp., 8.63%, 5/01/19	1,180		1,209,500
First Data Corp.:
7.38%, 6/15/19 (a)(c)	1,550		1,617,812
8.25%, 1/15/21 (a)	135		134,663
12.63%, 1/15/21	1,160		1,171,600
SunGard Data Systems, Inc., 7.38%, 11/15/18	1,210		1,285,625

			8,476,712

Life Sciences Tools & Services – 1.5%
Bio-Rad Laboratories, Inc., 8.00%, 9/15/16	5,480		6,000,600
Life Technologies Corp., 6.00%, 3/01/20	4,800		5,737,416

			11,738,016

Machinery – 0.9%
Ingersoll-Rand Global Holding Co., Ltd., 9.50%, 4/15/14	4,075		4,618,593
UR Merger Sub Corp. (a):
5.75%, 7/15/18	389		406,505
7.38%, 5/15/20	995		1,052,212
7.63%, 4/15/22	909		966,949

			7,044,259

Media – 7.5%
AMC Networks, Inc., 7.75%, 7/15/21	655		741,788
CCH II LLC, 13.50%, 11/30/16	3,851		4,264,982
Comcast Corp., 6.30%, 11/15/17 (c)	4,075		5,007,344
Cox Communications, Inc., 8.38%, 3/01/39 (a)	4,075		6,133,698
CSC Holdings LLC:
8.50%, 4/15/14	1,130		1,245,825
8.63%, 2/15/19	1,950		2,286,375
DIRECTV Holdings LLC, 5.00%, 3/01/21 (c)	4,150		4,753,269
DISH DBS Corp., 7.00%, 10/01/13	1,950		2,054,813
Intelsat Jackson Holdings SA, 7.25%, 4/01/19	320		342,000
Intelsat Luxemburg SA:
11.25%, 2/04/17	1,480		1,539,200
11.50%, 2/04/17 (f)	630		655,200
The Interpublic Group of Cos., Inc., 10.00%, 7/15/17	1,975		2,221,875
News America, Inc., 6.15%, 3/01/37 (c)	4,850		5,884,490
Time Warner Cable, Inc., 6.75%, 6/15/39	4,675		6,111,169



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	4

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)	Value
Media (concluded)
Time Warner, Inc., 7.70%, 5/01/32 (c)	USD 4,900	$	6,808,731
Unitymedia Hessen GmbH & Co. KG (a):
8.13%, 12/01/17	2,115		2,294,775
7.50%, 3/15/19	1,760		1,863,901
Virgin Media Secured Finance Plc, 6.50%, 1/15/18	3,175		3,492,500

			57,701,935

Metals & Mining – 1.9%
AngloGold Ashanti Holdings Plc, 5.13%, 8/01/22	2,450		2,514,570
Barrick Gold Corp., 2.90%, 5/30/16 (c)	1,925		2,023,547
FMG Resources August 2006 Property Ltd. (a):
6.88%, 2/01/18	165		166,650
6.88%, 4/01/22	140		139,650
Freeport-McMoRan Copper & Gold, Inc., 3.55%, 3/01/22	2,300		2,321,880
Freeport-McMoRan Corp., 7.13%, 11/01/27	3,500		4,411,652
New Gold, Inc., 7.00%, 4/15/20 (a)	215		224,137
Novelis, Inc., 8.75%, 12/15/20	1,610		1,787,100
Teck Resources Ltd., 10.75%, 5/15/19	1,000		1,210,000

			14,799,186

Multi-Utilities – 1.2%
CenterPoint Energy, Inc.:
5.95%, 2/01/17	3,600		4,141,915
6.50%, 5/01/18	3,950		4,755,903

			8,897,818

Multiline Retail – 0.3%
JC Penney Co., Inc., 5.65%, 6/01/20 (c)	2,610		2,189,138

Oil, Gas & Consumable Fuels – 12.6%
Alpha Natural Resources, Inc. (c):
6.00%, 6/01/19	170		147,900
6.25%, 6/01/21	240		207,600
Anadarko Petroleum Corp., 6.38%, 9/15/17	52		62,375
Berry Petroleum Co., 6.38%, 9/15/22	705		747,300
BP Capital Markets Plc:
5.25%, 11/07/13 (c)	2,100		2,226,905
3.88%, 3/10/15	3,085		3,326,364
Chesapeake Energy Corp. (c):
6.63%, 8/15/20	800		796,000
6.13%, 2/15/21	765		747,788
Chesapeake Midstream Partners LP:
5.88%, 4/15/21	980		977,550
6.13%, 7/15/22	785		790,888


Corporate Bonds	Par (000)	Value
Oil, Gas & Consumable Fuels (continued)
Concho Resources, Inc., 5.50%, 10/01/22	USD 700	$	708,750
CONSOL Energy, Inc., 6.38%, 3/01/21	745		726,375
Copano Energy LLC, 7.13%, 4/01/21	835		866,312
DCP Midstream LLC, 4.75%, 9/30/21 (a)	533		565,896
El Paso Pipeline Partners Operating Co. LLC:
6.50%, 4/01/20	2,525		2,966,968
5.00%, 10/01/21	900		981,718
Enbridge Energy Partners LP, 9.88%, 3/01/19	2,425		3,327,905
Energy Transfer Partners LP, 6.50%, 2/01/42	1,250		1,424,164
Energy XXI Gulf Coast, Inc., 7.75%, 6/15/19	1,700		1,785,000
Enterprise Products Operating LLC, 6.65%, 4/15/18	4,800		5,804,515
EP Energy LLC / EP Energy Finance, Inc., 6.88%, 5/01/19 (a)	790		843,325
Forest Oil Corp., 8.50%, 2/15/14 2,055			2,147,475
Kinder Morgan Energy Partners LP:
6.85%, 2/15/20	4,800		5,931,907
3.95%, 9/01/22	2,500		2,637,627
Kodiak Oil & Gas Corp., 8.13%, 12/01/19 (a)	315		335,475
Linn Energy LLC:
6.25%, 11/01/19 (a)	1,865		1,846,350
7.75%, 2/01/21	750		791,250
Marathon Petroleum Corp., 3.50%, 3/01/16	2,250		2,382,277
MarkWest Energy Partners LP, 6.25%, 6/15/22	880		921,800
Newfield Exploration Co.:
6.88%, 2/01/20	950		1,040,250
5.63%, 7/01/24	690		735,713
Nexen, Inc., 6.40%, 5/15/37	2,270		2,882,162
Oasis Petroleum, Inc.:
7.25%, 2/01/19	450		468,000
6.50%, 11/01/21	505		508,788
OGX Petroleo e Gas Participacoes SA, 8.50%, 6/01/18 (a)(c)	627		552,544
ONEOK Partners LP, 8.63%, 3/01/19	4,075		5,337,207
Petrobras International Finance Co.:
3.88%, 1/27/16	6,150		6,393,460
5.38%, 1/27/21	3,625		4,055,222
Petrohawk Energy Corp., 10.50%, 8/01/14	1,020		1,124,713
Petroleum Geo-Services ASA, 7.38%, 12/15/18 (a)	865		899,600
Phillips 66, 2.95%, 5/01/17 (a) 1,755			1,840,853



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	5

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)		Value
Oil, Gas & Consumable Fuels (concluded)
Pioneer Natural Resources Co.:
6.65%, 3/15/17	USD	1,080	$	1,268,729
6.88%, 5/01/18		820		989,021
Premier Oil Plc, 5.00%, 6/09/18 5,650				5,847,750
Range Resources Corp.:
6.75%, 8/01/20		865		951,500
5.75%, 6/01/21		550		584,375
Ruby Pipeline LLC, 6.00%, 4/01/22 (a)		4,900		5,326,153
Samson Investment Co., 9.75%, 2/15/20 (a)		100		103,750
SandRidge Energy, Inc.:
7.50%, 3/15/21		330		336,600
8.13%, 10/15/22 (a)		325		338,000
SM Energy Co.:
6.63%, 2/15/19		365		377,775
6.50%, 11/15/21		570		589,950
6.50%, 1/01/23 (a)		360		367,200
Targa Resources Partners LP, 6.88%, 2/01/21		625		659,375
Tennessee Gas Pipeline Co., 8.00%, 2/01/16		1,376		1,622,824
Western Gas Partners LP, 5.38%, 6/01/21		2,525		2,838,883
The Williams Cos., Inc., 8.75%, 3/15/32		1,175		1,635,007

				96,701,163

Paper & Forest Products – 2.2%
Boise Paper Holdings LLC:
9.00%, 11/01/17		205		229,088
8.00%, 4/01/20		795		896,362
International Paper Co.:
7.50%, 8/15/21 (c)		3,950		5,150,275
8.70%, 6/15/38		3,100		4,539,621
7.30%, 11/15/39		4,075		5,358,169
Longview Fibre Paper & Packaging, Inc., 8.00%, 6/01/16 (a)		545		562,712

				16,736,227

Pharmaceuticals – 1.7%
Merck & Co., Inc., 6.50%, 12/01/33 (c)		2,885		4,365,879
Pfizer, Inc., 7.20%, 3/15/39		2,130		3,446,078
Roche Holdings, Inc., 7.00%, 3/01/39 (a)(c)		3,020		4,696,795
Valeant Pharmaceuticals International, 6.50%, 7/15/16 (a)		450		477,000

				12,985,752

Real Estate Investment Trusts (REITs) – 2.5%
AvalonBay Communities, Inc., 6.10%, 3/15/20 (c)		4,075		5,010,343
Developers Diversified Realty Corp.:
4.75%, 4/15/18		1,025		1,090,803


Corporate Bonds	Par (000)		Value
Real Estate Investment Trusts (REITs) (concluded)
Developers Diversified Realty Corp. (concluded):
7.88%, 9/01/20	USD	1,325	$	1,636,126
ERP Operating LP, 5.75%, 6/15/17		4,080		4,809,610
HCP, Inc., 5.38%, 2/01/21		1,675		1,945,449
UDR, Inc., 4.25%, 6/01/18		2,675		2,912,628
Ventas Realty LP / Ventas Capital Corp., 4.75%, 6/01/21		1,880		2,063,048

				19,468,007

Real Estate Management & Development – 0.4%
Realogy Corp. (a)(c):
7.88%, 2/15/19		815		823,150
7.63%, 1/15/20		1,025		1,100,594
Shea Homes LP, 8.63%, 5/15/19 805				875,437

				2,799,181

Road & Rail – 1.5%
Florida East Coast Railway Corp., 8.13%, 2/01/17		320		336,800
The Hertz Corp., 6.75%, 4/15/19 564				592,200
Norfolk Southern Corp., 6.00%, 3/15/05 (c)		8,500		10,886,579

				11,815,579

Semiconductors & Semiconductor Equipment – 0.5%
Advanced Micro Devices, Inc., 7.75%, 8/01/20		1,300		1,361,750
KLA-Tencor Corp., 6.90%, 5/01/18		2,208		2,654,374

				4,016,124

Software – 0.3%
Infor US, Inc., (FKA Lawson Software, Inc.), 9.38%, 4/01/19 (a)		870		930,900
Symantec Corp., 2.75%, 6/15/17 1,000				1,013,593

				1,944,493

Specialty Retail – 1.5%
AutoNation, Inc., 6.75%, 4/15/18 2,775				3,083,719
Limited Brands, Inc., 7.00%, 5/01/20		1,370		1,522,412
QVC, Inc. (a):
7.38%, 10/15/20		175		195,768
5.13%, 7/02/22		2,470		2,574,207
Sally Holdings LLC / Sally Capital, Inc., 6.88%, 11/15/19		990		1,105,087
VF Corp., 5.95%, 11/01/17 (c)		2,450		2,919,097

				11,400,290

Tobacco – 2.9%
Altria Group, Inc., 10.20%, 2/06/39		6,607		11,446,066
BAT International Finance Plc, 3.25%, 6/07/22 (a)		2,325		2,380,156



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	6

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Corporate Bonds	Par (000)	Value
Tobacco (concluded)
Lorillard Tobacco Co., 3.50%, 8/04/16	USD 4,150	$	4,397,024
Philip Morris International, Inc., 2.50%, 5/16/16 (c)	4,200		4,430,895

			22,654,141

Trading Companies & Distributors – 0.3%
Doric Nimrod Air Finance Alpha Ltd., Series 2012-1, Class A,
5.13%, 11/30/24 (a)	2,305		2,339,575

Transportation Infrastructure – 1.0%
Penske Truck Leasing Co. LP / PTL Finance Corp. (a):
3.75%, 5/11/17	5,150		5,222,455
4.88%, 7/11/22	2,700		2,696,774

			7,919,229

Wireless Telecommunication Services – 5.3%
America Movil SAB de CV, 2.38%, 9/08/16 (c)	7,455		7,690,086
American Tower Corp.:
4.50%, 1/15/18	3,200		3,431,811
5.90%, 11/01/21	2,180		2,472,068
Cricket Communications, Inc., 7.75%, 5/15/16	780		826,800
Crown Castle International Corp., 9.00%, 1/15/15	1,185		1,292,391
Crown Castle Towers LLC (a):
5.50%, 1/15/37	1,975		2,205,601
4.17%, 8/15/37	2,000		2,124,316
6.11%, 1/15/40	2,330		2,743,822
Nextel Communications, Inc., Series E, 6.88%, 10/31/13	334		335,252
SBA Telecommunications, Inc., 5.75%, 7/15/20 (a)	411		432,577
SBA Tower Trust, 5.10%, 4/15/42 (a)	6,250		6,836,050
Sprint Capital Corp., 6.88%, 11/15/28	1,650		1,476,750
Sprint Nextel Corp. (a):
9.00%, 11/15/18	3,210		3,747,675
7.00%, 3/01/20	4,390		4,785,100

			40,400,299

Total Corporate Bonds – 109.7%			842,370,552



Floating Rate Loan Interests (b)

Oil, Gas & Consumable Fuels – 0.1%
Chesapeake Energy Corp., Unsecured Term Loan, 8.50%, 12/01/17	955		952,221


Municipal Bonds	Par (000)	Value
City of Chicago Illinois, Refunding RB, O’Hare International Airport, Build America Bonds, 6.85%, 1/01/38	USD 5,000	$	5,745,800
Metropolitan Transportation Authority, RB, Build America Bonds, 6.55%, 11/15/31	4,075		5,240,124

Total Municipal Bonds – 1.4%			10,985,924



Preferred Securities


Capital Trusts

Capital Markets – 3.4%
RBS Capital Trust I, 4.71% (b)(e)	2,000		1,210,000
RBS Capital Trust II, 6.43% (b)(e)	2,500		1,887,500
State Street Capital Trust III, 5.46% (b)(e)	1,740		1,749,396
State Street Capital Trust IV, 1.47%, 6/15/37(b)	28,195		21,029,410

			25,876,306

Commercial Banks – 3.3%
Barclays Bank Plc, 7.43% (a)(b)(e)	1,100		1,097,737
BNP Paribas, 7.20% (a)(b)(c)(e)	2,500		2,265,000
Credit Agricole SA, 8.38% (a)(b)(c)(e)	2,450		2,143,750
Dresdner Funding Trust I, 8.15%, 6/30/31 (a)	2,015		1,642,225
HSBC Capital Funding LP/Jersey Channel Islands, 10.18% (a)(b)(c)(e)	7,000		9,170,000
National City Preferred Capital Trust I, 12.00% (b)(e)	3,713		3,822,237
Standard Chartered Plc, 7.01% (a)(b)(e)	5,000		5,000,570

			25,141,519

Consumer Finance – 0.2%
Capital One Capital V, 10.25%, 8/15/39	1,275		1,319,625

Diversified Financial Services – 2.6%
JPMorgan Chase Capital XXI, Series U, 1.42%, 2/02/37 (b)	12,875		8,884,213
JPMorgan Chase Capital XXIII, 1.47%, 5/15/47 (b)	16,095		11,159,742

			20,043,955



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	7

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Capital Trusts	Par (000)	Value
Electric Utilities – 0.5%
PPL Capital Funding, 6.70%, 3/30/67 (b)	USD 3,900	$	3,987,750

Insurance – 8.2%
Ace Capital Trust II, 9.70%, 4/01/30	4,000		5,640,000
The Allstate Corp., 6.50%, 5/15/67 (b)	4,000		4,120,000
American General Capital II, 8.50%, 7/01/30	300		327,082
American International Group, Inc., 8.18%, 5/15/68 (b)	1,300		1,482,000
Aon Corp., 8.21%, 1/01/27	4,000		4,706,004
AXA SA, 6.46% (a)(b)(e)	6,000		5,197,500
The Chubb Corp., 6.38%, 3/29/67 (b)	4,000		4,180,000
Liberty Mutual Group, Inc., 10.75%, 6/15/88 (a)(b)	4,000		5,540,000
Lincoln National Corp., 7.00%, 5/17/66 (b)	4,255		4,223,088
MetLife, Inc., 6.40%, 12/15/66	4,550		4,752,370
Mitsui Sumitomo Insurance Co., Ltd., 7.00%, 3/15/72 (a)(b)	2,360		2,488,025
Northwestern Mutual Life Insurance, 6.06%, 3/30/40 (a)(c)	5,500		7,144,896
Reinsurance Group of America, 6.75%, 12/15/65 (b)(c)	7,000		6,624,268
Swiss Re Capital I LP, 6.85% (a)(b)(e)	3,000		2,934,045
ZFS Finance (USA), Trust II, 6.45%, 12/15/65 (a)(b)	3,850		3,965,500

			63,324,778

Oil, Gas & Consumable Fuels – 1.2%
Enterprise Products Operating LLC, 8.38%, 8/01/66 (b)	4,500		4,927,500
TransCanada PipeLines Ltd., 6.35%, 5/15/67 (b)	4,000		4,175,532

			9,103,032

Total Capital Trusts – 19.4%			148,796,965




Preferred Stocks	Shares
Aerospace & Defense – 0.1%
United Technologies Corp., 7.50% (g)	15,800		833,450


Preferred Stocks	Shares	Value
Auto Components – 0.1%
Dana Holding Corp., 4.00% (a)	7,000	$	795,375

Diversified Financial Services – 0.4%
Ally Financial, Inc., 7.00% (a)	3,900		3,504,637

Real Estate Investment Trusts (REITs) – 1.0%
Sovereign Real Estate Investment Trust, 12.00% (a)	7,000		7,843,150

Thrifts & Mortgage Finance – 0.0%
Fannie Mae, 8.25%, Series S (b)(h)	23,000		42,780
Freddie Mac, 8.38%, Series Z (b)(h)	23,000		46,000

			88,780

Wireless Telecommunication Services – 1.6%
Centaur Funding Corp., 9.08% (a)	10,000		11,987,500

Total Preferred Stocks – 3.2%			25,052,892



Trust Preferreds

Diversified Financial Services – 0.3%
GMAC Capital Trust I, Series 2, 8.13% (b)	89,130		2,172,989

Machinery – 0.4%
Stanley Black & Decker, Inc., 5.75%, 7/25/52	113,000		2,848,730

Total Trust Preferreds – 0.7%			5,021,719

Total Preferred Securities – 23.3%			178,871,576




	Par (000)
US Government Sponsored Agency Securities - 0.3%
Fannie Mae, 2.61%, 10/09/19 (c)(i)	USD 2,765		2,294,673



US Treasury Obligations

US Treasury Bonds (c):
3.75%, 8/15/41	945		1,180,216
3.13%, 11/15/41	935		1,042,525
3.00%, 5/15/42	5,800		6,307,500
US Treasury Notes:
0.88%, 12/31/16 (c)	6,377		6,476,641
0.88%, 1/31/17 (c)	6,000		6,091,872
0.63%, 5/31/17 (c)	1,490		1,493,609



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	8

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


US Treasury Obligations	Par (000)	Value
US Treasury Notes (concluded):
1.75%, 5/15/22	USD 75	$	76,769

Total US Treasury Obligations – 3.0%			22,669,132

Total Long-Term Investments
(Cost – $ 1,009,466,382) – 139.3%			1,069,788,518



Short-Term Securities	Shares
BlackRock Liquidity Funds, TempFund, Institutional Class, 0.15% (j)(k)	1,799,610		1,799,610

Total Short-Term Securities
(Cost – $ 1,799,610) – 0.2%			1,799,610




Options Purchased	Notional Amount (000)
Over-the-Counter Interest Rate Call Swaptions – 0.1%
Pay a fixed rate of 2.36% and receive a floating rate based on 3-month LIBOR, Expires 10/17/12, Broker Barclays Plc	USD 1,000		35,353
Pay a fixed rate of 0.71% and receive a floating rate based on 3-month LIBOR, Expires 6/28/13, Broker Deutsche Bank AG	61,000		340,868
Pay a fixed rate of 1.16% and receive a floating rate based on 3-month LIBOR, Expires 7/11/13, Broker Citigroup, Inc.	13,400		177,062
Receive a fixed rate of 2.61% and pay a floating rate based on 3-month LIBOR, expires 1/13/14, Broker Credit Suisse Group AG	1,900		143,542

			696,825

Over-the-Counter Interest Rate Put Swaptions – 0.1%
Pay a fixed rate of 2.36% and receive a floating rate based on 3-month LIBOR, Expires 10/17/12, Broker Barclays Plc	1,000		38,373


Options Purchased	Notional Amount (000)	Value
Over-the-Counter Interest Rate Put Swaptions (concluded)
Pay a fixed rate of 0.71% and receive a floating rate based on 3-month LIBOR, Expires 6/28/13, Broker Deutsche Bank AG	USD 61,000	$	107,025
Pay a fixed rate of 1.16% and receive a floating rate based on 3-month LIBOR, Expires 7/11/13, Broker Citigroup, Inc.	13,400		136,149
Pay a fixed rate of 2.61% and receive a floating rate based on 3-month LIBOR, Expires 1/13/14, Broker Credit Suisse Group AG	1,900		36,432
Pay a fixed rate of 4.50% and receive a floating rate based on 3-month LIBOR, Expires 2/02/17, Broker Deutsche Bank AG	8,000		181,440

			499,419

Total Options Purchased
(Cost – $ 1,259,921) – 0.2%			1,196,244

Total Investments Before Options Written
*(Cost – $ 1,012,525,913) – 139.7%**			1,072,784,372



Options Written
Over-the-Counter Interest Rate Call Swaptions – (0.5)%
Pay a fixed rate of 4.75% and receive a floating rate based on 3-month LIBOR, Expires 3/24/14, Broker Citigroup, Inc.	17,000		(4,247,098	)
Pay a fixed rate of 1.40% and receive a floating rate based on 3-month LIBOR, Expires 5/08/14, Broker Citigroup, Inc.	4,500		(79,156	)
Pay a fixed rate of 1.00% and receive a floating rate based on 3-month LIBOR, Expires 7/11/14, Broker Credit Suisse Group AG	13,900		(98,666	)

			(4,424,920	)

Over-the-Counter Interest Rate Put Swaptions – (0.1)%
Receive a fixed rate of 4.75% and pay a floating rate based on 3-month LIBOR, Expires 3/24/14, Broker Citigroup, Inc.	17,000		(48,180	)
Receive a fixed rate of 2.40% and pay a floating rate based on 3-month LIBOR, Expires 5/08/14, Broker Citigroup, Inc.	4,500		(31,250	)



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	9

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

(Percentages shown are based on Net Assets)


Options Written	Notional Amount (000)	Value
Over-the-Counter Interest Rate Put Swaptions (concluded)
Pay a fixed rate of 2.00% and receive a floating rate based on 3-month LIBOR, Expires 7/11/14, Broker Credit Suisse Group AG	USD 13,900	$	(164,649	)
Receive a fixed rate of 6.00% and pay a floating rate based on 3-month LIBOR, Expires 2/02/17, Broker Deutsche Bank AG	16,000		(183,099	)

			(427,178	)

Total Options Written
(Premiums Received – $2,684,180) – (0.6)%			(4,852,098	)

Total Investments, Net of Outstanding Options Written
(Cost - $1,009,841,733) – 139.1%			1,067,932,274
Liabilities in Excess of Other Assets – (39.1)%			(300,187,106	)

Net Assets – 100.0%		$	767,745,168

*	As of July 31, 2012, gross unrealized appreciation and gross unrealized depreciation based on cost for federal income tax purposes were as follows:


Tax cost	$	1,011,915,965

Gross unrealized appreciation	$	81,602,115
Gross unrealized depreciation		(20,733,708	)

Net unrealized appreciation	$	60,868,407

(a)	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.

(b)	Variable rate security. Rate shown is as of report date.

(c)	All or a portion of security has been pledged as collateral in connection with open reverse repurchase agreements.

(d)	Represents a step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate shown is as of report date.

(e)	Security is perpetual in nature and has no stated maturity date.

(f)	Represents a payment-in-kind security which may pay interest/dividends in additional par/shares.

(g)	Convertible security.

(h)	Non-income producing security.

(i)	Represents a zero-coupon bond. Rate shown reflects the current yield as of report date.

(j)	Investments in companies considered to be an affiliate of the Trust during the period, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

Affiliate

Shares

Held at

October 31,

2011

Net

Activity

Shares

Held at

July 31, 2012

Income

BlackRock Liquidity Funds, TempFund, Institutional Class

3,823,108

(2,023,498

)

1,799,610

5,315

(k)	Represents the current yield as of report date.

Portfolio Abbreviations

To simplify the listings of portfolio holdings in the Consolidated Schedule of Investments, the names and descriptions of many of the securities have been abbreviated according to the following list:


Fannie Mae		Federal National Mortgage Association
FKA		Formerly Known As
Freddie Mac		Federal Home Mortgage Corporation
LIBOR		London Interbank Offered Rate
RB		Revenue Bonds
USD		US Dollar

—

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



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	10

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

• Reverse repurchase agreements outstanding as of July 31, 2012 were as follows:


Counterparty	Interest Rate	Trade Date	Maturity Date¹	Net Closing Amount		Face Amount
UBS Securities LLC	(1.25)%	2/02/12	Open	$	863,228	$	868,687
UBS Securities LLC	0.32%	3/13/12	Open		3,915,401		3,910,500
UBS Securities LLC	0.35%	3/23/12	Open		690,958		690,079
Barclays Capital, Inc.	0.35%	4/03/12	Open		23,385,415		23,358,164
UBS Securities LLC	0.10%	4/16/12	Open		1,218,362		1,218,000
Credit Suisse Securities (USA) LLC	0.35%	4/18/12	Open		1,517,016		1,515,469
Credit Suisse Securities (USA) LLC	0.38%	4/18/12	Open		2,577,080		2,574,227
Credit Suisse Securities (USA) LLC	0.35%	4/23/12	Open		1,527,183		1,525,700
UBS Securities LLC	0.34%	4/23/12	Open		4,058,179		4,054,350
BNP Paribas Securities Corp.	0.15%	4/24/12	Open		2,199,082		2,198,175
BNP Paribas Securities Corp.	0.37%	4/24/12	Open		16,076,460		16,060,119
BNP Paribas Securities Corp.	0.35%	4/24/12	Open		2,950,837		2,948,000
Deutsche Bank Securities, Inc.	0.12%	4/24/12	Open		6,426,948		6,424,828
UBS Securities LLC	0.34%	4/24/12	Open		2,714,786		2,712,250
UBS Securities LLC	0.35%	4/25/12	Open		22,776,493		22,754,813
UBS Securities LLC	0.38%	4/25/12	Open		23,885,333		23,860,650
Merrill Lynch	0.21%	5/01/12	Open		6,048,244		6,045,000
UBS Securities LLC	0.00%	5/07/12	Open		621,562		621,562
Barclays Capital, Inc.	0.35%	5/08/12	Open		2,121,439		2,119,687
UBS Securities LLC	0.25%	5/10/12	Open		1,397,355		1,396,550
UBS Securities LLC	0.38%	5/10/12	Open		5,771,551		5,766,499
UBS Securities LLC	0.34%	5/11/12	Open		3,607,166		3,604,375
Credit Suisse Securities (USA) LLC	0.35%	5/14/12	Open		2,847,686		2,845,500
UBS Securities LLC	0.35%	5/14/12	Open		14,486,118		14,475,000
UBS Securities LLC	0.37%	5/14/12	Open		14,121,895		14,110,438
UBS Securities LLC	0.38%	5/14/12	Open		23,311,348		23,291,925
Credit Suisse Securities (USA) LLC	0.35%	5/15/12	Open		3,337,623		3,335,094
Deutsche Bank Securities, Inc.	(1.00)%	5/16/12	Open		678,546		680,000
Credit Suisse Securities (USA) LLC	0.35%	5/23/12	Open		7,217,622		7,212,713
Deutsche Bank Securities, Inc.	0.19%	5/29/12	Open		989,096		988,762
UBS Securities LLC	0.34%	5/31/12	Open		5,536,365		5,533,125
Deutsche Bank Securities, Inc.	(1.50)%	6/07/12	Open		189,764		190,200
Deutsche Bank Securities, Inc.	(1.50)%	6/11/12	Open		134,015		134,300
Merrill Lynch	0.20%	6/12/12	Open		1,484,824		1,484,412
Credit Suisse Securities (USA) LLC	0.35%	6/20/12	Open		13,765,881		13,760,262
Credit Suisse Securities (USA) LLC	0.38%	6/20/12	Open		19,837,385		19,828,594
Barclays Capital, Inc.	0.35%	6/27/12	Open		5,516,276		5,514,400
UBS Securities LLC	0.35%	6/29/12	Open		2,671,045		2,670,188



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	11

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

•	Reverse repurchase agreements outstanding as of July 31, 2012 were as follows (concluded):


Counterparty	Interest Rate	Trade Date	Maturity Date¹	Net Closing Amount		Face Amount
Deutsche Bank Securities, Inc.	(2.00)%	7/02/12	Open	$	697,697	$	698,862
BNP Paribas Securities Corp.	0.15%	7/05/12	Open		4,158,843		4,158,375
Credit Suisse Securities (USA) LLC	0.35%	7/11/12	Open		4,581,410		4,580,475
Credit Suisse Securities (USA) LLC	0.35%	7/13/12	Open		12,419,294		12,417,000
UBS Securities LLC	0.34%	7/16/12	Open		5,573,405		5,572,563
Barclays Capital, Inc.	0.35%	7/25/12	Open		11,815,301		11,814,497
Credit Suisse Securities (USA) LLC	(0.25)%	7/25/12	Open		1,671,081		1,671,162
Credit Suisse Securities (USA) LLC	0.30%	7/25/12	Open		9,961,394		9,960,813
Credit Suisse Securities (USA) LLC	0.35%	7/25/12	Open		5,999,433		5,999,025
Deutsche Bank Securities, Inc.	0.10%	7/25/12	Open		2,016,264		2,016,225
Total				$	311,369,689	$	311,171,594

¹	Certain agreements have no stated maturity and can be terminated by either party at any time.

•	Financial futures contracts purchased as of July 31, 2012 were as follows:

Contracts

Issue

Exchange

Expiration

Notional

Value

Unrealized
Appreciation

536

5-Year US Treasury Note

Chicago Board of Trade

September 2012

USD

66,882,750

488,046

30-Year US Treasury Bond

Chicago Board of Trade

September 2012

USD

10,421,156

261,472

Total

749,518

• Financial futures contracts sold as of July 31, 2012 were as follows:

Contracts

Issue

Exchange

Expiration

Notional

Value

Unrealized

Depreciation

907

10-Year US Treasury Note

Chicago Board of Trade

September 2012

USD

122,133,219

(1,412,576)

142

Ultra Long Term US Treasury Bond

Chicago Board of Trade

September 2012

USD

24,495,000

(1,135,569

)

Total

(2,548,145

)



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	12

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

•	Credit default swaps on single-name issues - buy protection outstanding as of July 31, 2012 were as follows:


Issuer	Pay Fixed Rate	Counterparty	Expiration Date	Notional Amount (000)		Unrealized Appreciation (Depreciation)
Southwest Airlines Co.	1.00%	Goldman Sachs Group, Inc.	12/20/16	USD	1,965	$	(61,144	)
Southwest Airlines Co.	1.00%	Royal Bank of Scotland Group Plc	12/20/16	USD	1,965		(68,367	)
Time Warner, Inc.	1.00%	Credit Suisse Securities Group AG	3/20/17	USD	12,300		(5,829	)
General Dynamics Corp.	1.00%	Credit Suisse Securities Group AG	9/20/17	USD	2,740		(9,886	)
Hewlett-Packard Co.	1.00%	Credit Suisse Securities Group AG	9/20/17	USD	1,335		37,591
Lockheed Martin Corp.	1.00%	Credit Suisse Securities Group AG	9/20/17	USD	2,740		(16,280	)
Northrop Grumman Corp.	1.00%	Credit Suisse Securities Group AG	9/20/17	USD	2,315		(10,705	)
Raytheon Co.	1.00%	Credit Suisse Securities Group AG	9/20/17	USD	2,315		(9,544	)
Viacom, Inc.	1.00%	Credit Suisse Securities Group AG	9/20/17	USD	5,975		(23,011	)
CIGNA Corp.	1.00%	Goldman Sachs Group, Inc.	9/20/17	USD	4,500		(3,525	)
HUMANA, Inc.	1.00%	Goldman Sachs Group, Inc.	9/20/17	USD	4,500		12,365
Hewlett-Packard Co.	1.00%	JPMorgan Chase & Co.	9/20/17	USD	1,000		22,617
Total						$	(135,718)

•	Credit default swaps on single-name issues - sold protection outstanding as of July 31, 2012 were as follows:

Issuer

Receive
Fixed
Rate

Counterparty

Expiration
Date

Issuer
Credit

Rating²

Notional
Amount
(000)³

Unrealized
Appreciation
(Depreciation)

DIRECTV Holdings LLC

1.00%

Credit Suisse Securities Group AG

3/20/17

BBB

USD

12,300

305,161

Anadarko Petroleum Corp.

1.00%

Credit Suisse Securities Group AG

6/20/17

BBB-

USD

1,685

34,155

Comcast Corp.

1.00%

Credit Suisse Securities Group AG

9/20/17

BBB+

USD

5,975

13,875

United Health Group, Inc.

1.00%

Goldman Sachs Group, Inc.

9/20/17

A-

USD

4,500

(2,395

)

Wellpoint, Inc.

1.00%

Goldman Sachs Group, Inc.

9/20/17

A-

USD

4,500

(733

)

MetLife, Inc.

1.00%

Deutsche Bank AG

3/20/18

A-

USD

1,500

(40,993

)

Total

309,070

²	Using Standard & Poor’s ratings.

³	The maximum potential amount the Trust may pay should a negative credit event take place as defined under the terms of agreement.

•	Interest rate swaps outstanding as of July 31, 2012 were as follows:

Fixed

Rate

Floating

Rate

Counterparty

Expiration

Date

Notional

Amount

(000)

Unrealized

Appreciation

(Depreciation)

1.17%⁴

3-month LIBOR

Credit Suisse Securities Group AG

4/11/17

USD

1,200

(23,917

)

1.18%⁴

3-month LIBOR

Deutsche Bank AG

4/11/17

USD

33,000

(672,960

)

1.10%⁴

3-month LIBOR

JPMorgan Chase & Co.

5/22/17

USD

42,400

(673,196

)

1.10%⁴

3-month LIBOR

Deutsche Bank AG

5/29/17

USD

7,000

(113,049

)

4.06%⁴

3-month LIBOR

Deutsche Bank AG

4/18/22

USD

3,700

(714,365

)

2.05%⁵

3-month LIBOR

Credit Suisse Securities Group AG

5/04/22

USD

2,200

94,408

2.06%⁵

3-month LIBOR

Credit Suisse Securities Group AG

5/08/22

USD

13,200

578,173

1.76%⁵

3-month LIBOR

Citigroup, Inc.

6/25/22

USD

10,500

157,208

2.48%⁴

3-month LIBOR

Credit Suisse Securities Group AG

7/05/42

USD

3,700

(103,034

)

2.26%4

3-month LIBOR

Goldman Sachs Group, Inc.

7/26/42

USD

1,900

42,303

Total

(1,428,429)

⁴	Trust pays a fixed rate and receives floating rate.

⁵	Trust pays a floating rate and receives fixed rate.



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	13

Schedule of Investments (continued)

BlackRock Credit Allocation Income Trust IV (BTZ)

—

Fair Value Measurements - Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes as follows:

—

Level 1 – unadjusted price quotations in active markets/exchanges for identical assets and liabilities

—

Level 2 – other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

—

Level 3 – unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Trust’s own assumptions used in determining the fair value of investments and derivative financial instruments)

Changes in valuation techniques may result in transfers into or out of an assigned level within the disclosure hierarchy. In accordance with the Trust’s policy, transfers between different levels of the fair value disclosure hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instrument and is not necessarily an indication of the risks associated with investing in those securities. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments and other significant accounting policies, please refer to the Trust’s most recent financial statements as contained in its semi-annual report.

The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy as of July 31, 2012:


	Level 1		Level 2		Level 3	Total
Assets:
Investments:
Long Term Investments
Asset-Backed Securities		–	$	7,937,440	$3,707,000	$	11,644,440
Corporate Bonds		–		836,522,802	5,847,750		842,370,552
Floating Rate Loan Interests		–		952,221	–		952,221
Municipal Bonds		–		10,985,924	–		10,985,924
Preferred Securities	$	3,095,219		175,776,357	–		178,871,576
US Government Sponsored Agency Securities		–		2,294,673	–		2,294,673
US Treasury Obligations		–		22,669,132	–		22,669,132
Short-Term Securities		1,799,610		–	–		1,799,610
Total	$	4,894,829	$	1,057,138,549	$9,554,750	$	1,071,588,128

	Level 1		Level 2		Level 3	Total
Derivative Financial Instruments¹
Assets
Interest rate contracts	$	–	$	2,068,336	–	$	2,068,336
Credit contracts		749,518		425,764	–		1,175,282
Liabilities
Interest rate contracts		–		(7,152,619)	–		(7,152,619)
Credit contracts		(2,548,145)		(252,412)	–		(2,800,557)
Total	$	(1,798,627)	$	(4,910,931)	–	$	(6,709,558)

¹	Derivative financial instruments are swaps, financial futures contracts and options. Swaps and financial futures contracts are valued at the unrealized appreciation/depreciation on the instrument and options are shown at value.



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	14

Schedule of Investments (concluded)

BlackRock Credit Allocation Income Trust IV (BTZ)

Certain of the Trust’s assets and liabilities are held at carrying or face amount, which approximates fair value for financial reporting purposes. As of July 31, 2012, such assets and liabilities are categorized within the disclosure hierarchy as follows:


	Level 1		Level 2	Level 3	Total
Assets:
Cash	$	22,677	–	–	$	22,677
Cash pledged as collateral for financial futures contracts		1,401,940	–	–		1,401,940
Cash pledged as collateral for Swaps		6,250,000	–	–		6,250,000
Foreign currency		41	–	–		41
Liabilities:
Cash received as collateral for Reverse Repurchase Agreements		–	(10,986,000)	–		(10,986,000)
Reverse Repurchase Agreements		–	$ (311,171,594)	–		(311,171,594)
Total	$	7,674,658	$ (322,157,594)	–	$	(314,482,936)

There were no transfers between Level 1 and Level 2 during the period ended July 31, 2012.

Certain of the Trust’s investments are categorized as Level 3 and were valued utilizing transaction prices or third party pricing information without adjustment. Such valuations are based on unobservable inputs. A significant change in the unobservable inputs could result in a significantly lower or higher value in such Level 3 investments.

The following table is a reconciliation of Level 3 investments for which significant unobservable inputs were used in determining fair value:

Asset-Backed
Securities

Corporate

Bonds

Total

Assets:

Opening Balance, as of October 31, 2011

3,410,000

5,876,000

9,286,000

Transfers into Level 3¹

–

Transfers out of Level 3¹

–

Accrued discounts/premiums

46,964

–

46,964

Net realized gain (loss)

–

Net change in unrealized appreciation/depreciation²

250,036

(28,250)

221,786

Purchases

–

Sales

–

Closing Balance, as of July 31, 2012

3,707,000

5,847,750

9,554,750

¹	Transfers into and transfers out of Level 3 represent the value as of the beginning of the reporting period.

²	The change in unrealized appreciation/depreciation on investments still held as of July 31, 2012 was $221,786.

The following table is a reconciliation of Level 3 derivative financial instruments for which significant unobservable inputs were used in determining fair value:


	Credit Contracts
Assets:
Opening Balance, as of October 31, 2011	$	8,182
Transfers into Level 3¹
Transfers out of Level 3¹
Accrued discounts/premium		–
Net realized gain (loss)		–
Net change in unrealized appreciation/depreciation³		(8,182)
Purchases		–
Issues⁴		–
Sales		–
Settlements⁵		–
Closing Balance, as of July 31, 2012	$	–

³	The change in unrealized appreciation/depreciation on derivative financial instruments still held as of July 31, 2012 was $0.

⁴	Issues represent upfront cash received on certain derivative financial instruments.

⁵	Settlements represent periodic contractual cash flows and/or cash flows to terminate certain derivative financial instruments.

A reconciliation of Level 3 investments and derivative financial instruments is presented when the Trust had a significant amount of Level 3 investments and derivative financial instruments at the beginning and/or end of the period in relation to net assets.



BLACKROCK CREDIT ALLOCATION INCOME TRUST IV	JULY 31, 2012	15

Item 2 – Controls and Procedures


2(a) –		The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

2(b) –		There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3 – Exhibits

Certifications – Attached hereto

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

BlackRock Credit Allocation Income Trust IV


By:		/s/ John M. Perlowski
		John M. Perlowski
		Chief Executive Officer (principal executive officer) of
		BlackRock Credit Allocation Income Trust IV

Date: September 25, 2012

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.


By:		/s/ John M. Perlowski
		John M. Perlowski
		Chief Executive Officer (principal executive officer) of
		BlackRock Credit Allocation Income Trust IV

Date: September 25, 2012


By:		/s/ Neal J. Andrews
		Neal J. Andrews
		Chief Financial Officer (principal financial officer) of
		BlackRock Credit Allocation Income Trust IV

Date: September 25, 2012