SCHEDULE: Bank of America Reduces Holdings in PIMCO Muni Fund

Bank of America Corporation and its subsidiary, Banc of America Preferred Funding Corp, have amended their Schedule 13D filing to reflect a reduction in their beneficial ownership of PIMCO New York Municipal Income Fund II's remarketable variable rate munifund term preferred shares.

Summary

• This filing is an amendment (Amendment No. 4) to a previous Schedule 13D filing by Bank of America Corporation (BAC) and Banc of America Preferred Funding Corporation (BAPFC).
• The amendment pertains to the remarketable variable rate munifund term preferred shares, series 2054 (RVMTP Shares) of PIMCO New York Municipal Income Fund II.
• The primary reason for the amendment is a change in the Reporting Persons' ownership percentage due to the redemption of 150 RVMTP shares held by BAPFC.
• Additionally, 149 Series 2054-A shares, not held by the Reporting Persons, were also redeemed by the Issuer.
• These redemptions were conducted on a pro rata basis among the holders of such Series.
• As a result of the redemption of BAPFC's 150 RVMTP shares on August 24, 2026, the Reporting Persons now beneficially own 760 RVMTP Shares.
• The redemption price included the liquidation preference and any accumulated but unpaid dividends.
• The filing confirms that Bank of America Corp /DE/ and Banc of America Preferred Funding Corp are the reporting persons, both organized in Delaware.
• Both entities now report 0.00 sole voting and dispositive power, and 760.00 shared voting and dispositive power, representing 100.0% of the class of securities held after the redemption.

Sentiment

Score: 3

Explanation: StockSavvy.ai views this as a neutral to slightly negative filing, primarily due to a reduction in holdings and the nature of the security, which is a preferred share with a fixed redemption date.

Positives

• The redemption of shares was executed on a pro rata basis, indicating fair treatment among shareholders.
• The redemption price included liquidation preference and accumulated dividends, ensuring holders receive their due value.

Negatives

• Bank of America's beneficial ownership of the RVMTP Shares has decreased from an unspecified prior amount to 760 shares.
• The filing indicates a redemption event, which for preferred shares often signifies the end of their term or a specific call event, potentially limiting future upside.

Risks

• The redemption of preferred shares by the Issuer could indicate a call or maturity event, which may limit further participation in potential market upside for these specific securities.
• While not explicitly stated as a risk, the reduction in holdings by a significant entity like Bank of America could be interpreted by the market, though the pro rata nature of the redemption mitigates direct negative signaling.

Future Outlook

The filing does not contain explicit forward-looking statements or guidance regarding future performance of the Issuer. It primarily reports on a past event: the redemption of preferred shares.

Management Comments

• "This Amendment is being filed in relation to a change in the Reporting Persons ownership percentage of the Issuer as a result of the redemption of 150 RVMTP held by the Reporting Persons and 149 Series 2054-A shares, not held by the Reporting Persons, as described in the Notice of Intention to Redeem Securities, N-23C-2, filed by the Issuer with the SEC on July 24, 2026."
• "Such redemption(s) were made on a pro rata basis among the holders of such Series."
• "The 150 RVMTP shares held by BAPFC were redeemed by the Issuer on August 24, 2026, for a redemption price of the liquidation preference and accumulated but unpaid dividends and as result of the redemption, the Reporting Persons now own 760 RVMTP Shares."

Industry Context

StockSavvy.ai notes that this filing relates to a specific type of municipal preferred security. The redemption event on a fixed date is typical for term preferred shares, which are designed to mature or be called at a predetermined time, often with a liquidation preference plus accrued dividends. This contrasts with perpetual preferred stock or common equity, which do not have such fixed redemption dates.

Stakeholder Impact

• Shareholders of PIMCO New York Municipal Income Fund II: Holders of the RVMTP Shares experienced a redemption, receiving their liquidation preference and accrued dividends. This marks the end of their investment in this specific security.
• Bank of America Corporation and Banc of America Preferred Funding Corp: Their beneficial ownership in this specific series of preferred shares has been reduced due to the redemption event.

Next Steps

• The Reporting Persons will continue to hold the remaining 760 RVMTP Shares.
• Further actions by the Issuer regarding these securities would be disclosed in subsequent filings.

Key Dates

Keywords

Municipal Income Fund, Preferred Shares, Redemption, Schedule 13D, Beneficial Ownership, PIMCO, Bank of America