Hung Charley 4
4 · BLACKROCK CREDIT ALLOCATION INCOME TRUST · Filed Feb 3, 2026
Research Summary
AI-generated summary of this filing
BTZ Portfolio Manager Hung Charley Exercises, Receives Phantom Shares
What Happened Hung Charley, a portfolio manager at BlackRock Credit Allocation Income Trust (BTZ), executed conversions/exercises of derivative (phantom) share units and received a new phantom-share award on Jan 30, 2026. The filing shows a disposition to the issuer of 1,263.318 shares at $10.64 for $13,442 (likely a cash settlement/withholding), and a grant of 3,984.023 phantom shares valued at $10.64 each (total $42,390). Several other exercise/conversion entries (275.355; 241.003; 746.959 shares) are reported as derivative exercises/conversions on the same date.
Key Details
- Transaction date: January 30, 2026 (Form 4 filed Feb 3, 2026 — timely filing).
- Disposition to issuer: 1,263.318 shares @ $10.64 = $13,442 (code D).
- Grant/award: 3,984.023 phantom shares @ $10.64 = $42,390 (code A; cash-settled derivative).
- Other derivative exercises/conversions (code M) on 1/30/2026: 1,263.318 (acquired then disposed as above), 275.355 (disposed), 241.003 (disposed), 746.959 (disposed); per-share prices for these M entries are reported as N/A (cash-settled conversions).
- Shares owned after the transactions: not disclosed in the provided filing excerpt.
- Footnotes: these are phantom (cash-settled) shares. Prior grants dated Jan 31 of 2023, 2024, and 2025 vest in equal installments over the first three anniversaries (see F1–F5).
Context Phantom shares are cash-settled units that track common stock value and pay out in cash upon vesting — they do not transfer actual common stock. The disposition to the issuer for $13,442 is consistent with a cash settlement or withholding to satisfy taxes or net the payout rather than an open-market sale. This transaction is primarily an award/settlement event, not a conventional open-market purchase or sale that signals a straightforward bullish or bearish view.
Insider Transaction Report
- Exercise/Conversion
Common Stock
[F1][F2][F3][F4]2026-01-30+1,263.318→ 1,263.318 total - Disposition to Issuer
Common Stock
[F1][F2][F3][F4]2026-01-30$10.64/sh−1,263.318$13,442→ 0 total - Award
Phantom Shares
[F1][F5]2026-01-30$10.64/sh+3,984.023$42,390→ 3,984.023 total→ Common Stock (3,984.023 underlying) - Exercise/Conversion
Phantom Shares
[F1][F2]2026-01-30−275.355→ 550.711 total→ Common Stock (275.355 underlying) - Exercise/Conversion
Phantom Shares
[F1][F3]2026-01-30−241.003→ 241.003 total→ Common Stock (241.003 underlying) - Exercise/Conversion
Phantom Shares
[F1][F4]2026-01-30−746.959→ 0 total→ Common Stock (746.959 underlying)
Footnotes (5)
- [F1]A phantom share is the economic equivalent of one share of common stock and, subject to the applicable vesting requirements, becomes payable in cash.
- [F2]As previously reported on a Form 4 dated February 4, 2025, the Reporting Person was granted phantom shares on January 31, 2025 payable in cash on vesting, which occurs in equal installments on each of the first three anniversaries of the grant date.
- [F3]As previously reported on a Form 4 dated February 2, 2024, the Reporting Person was granted phantom shares on January 31, 2024 payable in cash on vesting, which occurs in equal installments on each of the first three anniversaries of the grant date.
- [F4]As previously reported on a Form 4 dated February 2, 2023, the Reporting Person was granted phantom shares on January 31, 2023 payable in cash on vesting, which occurs in equal installments on each of the first three anniversaries of the grant date.
- [F5]These phantom shares vest in equal installments on each of the first three anniversaries of the award.