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W. Carl Kester

Vice Chair of the Board and Trustee at BLACKROCK MUNIYIELD PENNSYLVANIA QUALITY FUND
Board

About W. Carl Kester

W. Carl Kester (born 1951) is Vice Chair of the Board and an Independent Board Member of MPA, serving since 2007; he first joined legacy MLIM/BlackRock fund boards in 1995 . He is Baker Foundation Professor and George Fisher Baker Jr. Professor of Business Administration, Emeritus at Harvard Business School, with prior roles as Deputy Dean for Academic Affairs (2006–2010), Finance Unit Chair (2005–2006), and Senior Associate Dean/MBA Program Chair (1999–2005), underscoring deep expertise in corporate finance and governance . Independence is explicitly affirmed in the proxy .

Past Roles

OrganizationRoleTenureCommittees/Impact
Harvard Business SchoolBaker Foundation Professor; George Fisher Baker Jr. Professor (Emeritus)2022–present Academic leadership in finance/governance
Harvard Business SchoolGeorge Fisher Baker Jr. Professor2008–2022 Authored/edited finance governance case studies
Harvard Business SchoolDeputy Dean for Academic Affairs2006–2010 Senior academic governance leadership
Harvard Business SchoolFinance Unit Chair2005–2006 Led finance faculty/unit governance
Harvard Business SchoolSenior Associate Dean & MBA Program Chair1999–2005 Program governance and curriculum oversight
Harvard Business SchoolFaculty Member1981–present Corporate finance/governance scholarship

External Roles

OrganizationRoleTenureCommittees/Impact
BlackRock Credit Strategies FundTrusteeNot disclosed; current per proxy complex note Board oversight within Fixed-Income Complex
BlackRock Private Investments FundTrusteeNot disclosed; current per proxy complex note Board oversight within Fixed-Income Complex
Public Company DirectorshipsNoneNo public company board service disclosed

Board Governance

  • Board leadership: Vice Chair of the Board (Independent) .
  • Committee memberships and chair roles:
    • Governance Committee: Chair
    • Executive Committee: Member
    • Compliance Committee: Member
    • Performance Oversight Committee: Member
    • Discount Committee: Member
    • Securities Lending Committee: Member
    • Audit Committee: Not a member; committee chaired by Catherine A. Lynch
  • Independence and executive sessions: Independent Chair and all committee chairs are Independent; Independent Board Members meet regularly outside management .
  • Attendance: In calendar 2024 the Board met 10 times; in fiscal year ended July 31, 2024 it met 12 times. No incumbent Board Member attended less than 75% of Board and committee meetings during the most recent fiscal year .

Committee Meeting Frequency (most recent fiscal year)

MetricCount
Audit Committee Meetings8
Governance Committee Meetings6
Compliance Committee Meetings4
Performance Oversight Committee Meetings4
Discount Committee Meetings1
Securities Lending Committee Meetings2
Executive Committee Meetings1

Fixed Compensation

ComponentAmountNotes
Independent Board Member annual retainer$370,000Paid across BlackRock-advised funds, pro rata to each fund
Vice Chair additional retainer$84,000Increased effective Jan 1, 2024 from $60,000
Chair of Board additional retainer$140,000Increased effective Jan 1, 2024 from $100,000
Committee Chair retainersAudit $55,000; Performance $42,500; Compliance $50,000; Governance $42,500; Discount $25,000; Securities Lending $20,000Annual retainers by committee
Committee member retainersAudit $30,000; Compliance $25,000; Governance $25,000; Discount $20,000; Securities Lending $15,000Annual retainers by committee
MPA fund-level compensation paid to Kester$1,672Fund fiscal year ended July 31; pro rata share
Total compensation from all BlackRock-advised funds (calendar 2024)$746,500Kester aggregate; includes deferrals
Deferred compensation balance (as of Dec 31, 2024)$2,155,608Accrued under complex deferred compensation plan
Deferred amount (calendar 2024)$58,641Amount Kester deferred in 2024
Deferred compensation plan termsUp to 50% may be deferred; return tracks selected fund share equivalents; unfunded obligationPlan mechanics and structure

Performance Compensation

Directors are paid fixed cash retainers and committee fees; no equity grants, options, or disclosed performance-based metrics tied to compensation. The complex offers an optional unfunded deferred compensation plan that tracks fund share-equivalent returns but is not a performance award and does not vest based on KPIs .

Performance-linked elementDisclosure
Bonus targets/actualsNot disclosed/applicable for directors
Stock awards (RSUs/PSUs)Not disclosed/applicable for directors
Options (strike/vesting)Not disclosed/applicable for directors
Compensation KPIs (TSR, revenue, EBITDA, ESG)None disclosed for directors
Clawback/change-in-control provisionsNot disclosed for directors

Other Directorships & Interlocks

Company/FundRolePotential Interlock/Conflict
BlackRock Credit Strategies FundTrusteePart of BlackRock Fixed-Income Complex; standard complex-level overlap
BlackRock Private Investments FundTrusteePart of BlackRock Fixed-Income Complex; standard complex-level overlap
Public companiesNoneNo public company boards disclosed

Expertise & Qualifications

  • Corporate finance and governance scholar with decades at Harvard Business School; authored/edited widely used finance case studies .
  • Long-standing service across BlackRock Fixed-Income Complex funds (68 RICs/102 portfolios overseen), providing deep understanding of fund operations and regulation .
  • Independent status enhances role effectiveness as Vice Chair and Governance Committee Chair .

Equity Ownership

Holding CategoryKester Position
Aggregate Dollar Range of Common Shares in MPANone
Aggregate Dollar Range of Common Shares in MQY (Acquiring Fund in complex)$1–$10,000
Aggregate Dollar Range of Common Shares in Supervised Funds (complex-wide)Over $100,000
Officers/Board Members as a group ownership (MPA)<1% of outstanding common shares
5%+ beneficial owners of MPA (reference)Wells Fargo & Company: 670,599 shares (5.20%)
  • Related-party and affiliate holdings: As of July 31, 2025, no Independent Board Member or immediate family beneficially owned securities of BlackRock or its affiliates/underwriters; no material interest in transactions over the last two calendar years involving the Fund or BlackRock/affiliates .

Governance Assessment

  • Strengths:

    • Independent Vice Chair with deep governance expertise and broad complex oversight; chairs Governance Committee and serves on several key committees (Executive, Compliance, Performance, Discount, Securities Lending), signaling high engagement and board effectiveness .
    • Attendance robust: no incumbent director fell below 75% attendance; active committee cadence supports oversight (e.g., 8 Audit; 6 Governance meetings) .
    • No related-party transactions or affiliate security ownership by Independent Board Members; independence protections and executive sessions are in place .
  • Watch items / potential red flags:

    • Direct ownership in MPA disclosed as “None,” which may suggest limited direct alignment at the fund-level despite “Over $100,000” aggregate in supervised funds; typical for complex-wide boards but still a monitoring point for investor alignment .
    • Compensation step-up: Vice Chair and Chair retainers increased effective Jan 1, 2024 (Vice Chair from $60,000 to $84,000; Chair from $100,000 to $140,000), and substantial aggregate complex compensation ($746,500) could be scrutinized for pay inflation absent performance linkage, though director roles are oversight-focused and complex-wide .
    • No performance-based compensation features disclosed (no KPIs, RSUs/PSUs/options), aligning with fund governance norms but offering limited pay-for-performance signals .

Overall, Kester’s profile indicates high governance competency and independence, broad committee involvement, and strong attendance. Alignment is primarily through service and oversight rather than fund-level equity stakes, consistent with closed-end fund governance structures .