Form 4: Bank of America Corp Reports Disposition of BNY Mellon Municipal Income Fund Shares

Bank of America Corp reports the disposition of 1,209 Variable Rate MuniFund Term Preferred Shares, Series 2023-1 held by its subsidiary Banc of America Preferred Funding Corporation, due to redemption by BNY Mellon Municipal Income, Inc.

Summary

• Bank of America Corp, along with its subsidiary Banc of America Preferred Funding Corporation (PFC), filed a Form 4 regarding changes in beneficial ownership of BNY Mellon Municipal Income, Inc. securities.
• The filing reports the disposition of 1,209 Variable Rate MuniFund Term Preferred Shares, Series 2023-1 (VMTP Shares) by PFC.
• These shares were redeemed by BNY Mellon Municipal Income, Inc. on April 2, 2025.
• The redemption was executed at the liquidation preference price plus accumulated but unpaid dividends, as per the Notice of Intention to Redeem Securities filed on March 7, 2025.
• Bank of America Corporation holds an indirect interest in these securities through its wholly-owned subsidiary, PFC.
• The filing includes a joint filing agreement between Bank of America Corporation and PFC.

Sentiment

Score: 7

Explanation: The document reports a routine transaction (redemption of shares) and doesn't indicate any significant positive or negative implications for Bank of America. The sentiment is neutral to slightly positive due to the orderly execution of the redemption.

Industry Context

This filing reflects a routine transaction related to the redemption of preferred shares in a municipal income fund, which is a common occurrence in the closed-end fund industry. Banks and financial institutions often hold significant positions in these funds.

Comparison to Industry Standards

• Bank of America's role as a major financial institution often involves holding and managing significant positions in various investment vehicles, including municipal income funds.
• Redemption of preferred shares is a standard mechanism in the closed-end fund industry, similar to actions taken by other major players like BlackRock or Nuveen when managing their fund portfolios.
• The reporting requirements under Section 16 of the Securities Exchange Act are consistently followed by all major financial institutions to ensure transparency.

Stakeholder Impact

• The redemption of shares may have a minor impact on shareholders of BNY Mellon Municipal Income, Inc., depending on the fund's overall performance and investment strategy.
• The transaction has no significant impact on Bank of America's stakeholders.

Key Dates

Keywords

Form 4, Beneficial Ownership, BNY Mellon Municipal Income, Bank of America, Redemption, Variable Rate MuniFund Term Preferred Shares, PFC, Disposition