SCHEDULE: Bank of America Amends Invesco Muni Trust Preferred Stake

Bank of America Corporation updated its Schedule 13D filing, reflecting a partial redemption of Invesco Advantage Municipal Income Trust II preferred shares and an amendment to their purchase agreement.

Summary

• Bank of America Corporation (BAC) and Banc of America Preferred Funding Corporation (BAPFC) filed Amendment No. 5 to their Schedule 13D regarding Invesco Advantage Municipal Income Trust II's Series 2015/6-VKI Variable Rate Muni Term Preferred Shares (VMTP Shares).
• The amendment reports the execution of an Amendment to the Variable Rate Muni Term Preferred Shares Purchase Agreement, dated September 5, 2025.
• A change in the Reporting Persons' ownership percentage occurred due to the redemption of 367 VMTP Shares on September 4, 2025.
• The 367 VMTP shares held by BAPFC were redeemed by the Issuer for a price equal to the liquidation preference and accumulated but unpaid dividends.
• Following the redemption, the Reporting Persons now beneficially own 1,469 VMTP Shares, representing 100.0% of the class of securities.

Sentiment

Score: 5

Explanation: The filing is neutral, reporting on a routine, planned redemption of preferred shares and an amendment to a purchase agreement. There are no unexpected positive or negative financial outcomes disclosed.

Positives

• The redemption of 367 VMTP Shares by the Issuer reduces its outstanding preferred share obligations.
• The redemption was executed at the liquidation preference plus accumulated but unpaid dividends, ensuring full value for the redeemed shares.

Negatives

• NA

Risks

• NA

Future Outlook

The filing primarily reports on past events (share redemption and agreement amendment) and does not provide explicit forward-looking statements or guidance beyond the effective date of the amended agreement.

Management Comments

• Andres Ortiz, Authorized Signatory for Bank of America Corporation and Banc of America Preferred Funding Corp, certified the information as true, complete, and correct to the best of his knowledge and belief.

Industry Context

This filing reflects a routine adjustment in a financial institution's holdings of a specific preferred share series issued by a municipal income trust. Such redemptions and agreement amendments are common in the structured finance and closed-end fund space, often occurring as part of a fund's capital management strategy or at pre-determined intervals.

Comparison to Industry Standards

• NA

Management Changes

Corporate Governance

Legal Proceedings

• NA

Related Party Transactions

• NA

Stakeholder Impact

• Shareholders of Invesco Advantage Municipal Income Trust II: The redemption of preferred shares could potentially reduce the trust's leverage or preferred dividend obligations, which might be viewed positively.
• Bank of America Corporation/Banc of America Preferred Funding Corp: The redemption reduces their exposure to this specific preferred share series, converting an investment back into cash at the agreed-upon terms.

Next Steps

• NA

Key Dates

Recommendation

This filing details a routine, planned redemption of a specific series of preferred shares and an amendment to a purchase agreement. It does not contain information that would significantly alter the investment thesis for Invesco Advantage Municipal Income Trust II's common stock or Bank of America's shares. The events are expected and procedural, thus warranting a 'hold' recommendation as there's no new material information to suggest a change in investment strategy based solely on this filing.

Keywords

Invesco Advantage Municipal Income Trust II, Bank of America Corporation, Banc of America Preferred Funding Corporation, Schedule 13D, VMTP Shares, Preferred Shares, Redemption, Municipal Income Trust, Variable Rate, SEC Filing