Form 4: Bank of America Corp Reports Redemption of Invesco Municipal Income Opportunities Trust Shares

Bank of America Corporation reports the redemption of Variable Rate Muni Term Preferred Shares held by its subsidiary, Banc of America Preferred Funding Corporation, by Invesco Municipal Income Opportunities Trust.

Summary

• Bank of America Corporation, along with its subsidiary Banc of America Preferred Funding Corporation (PFC), filed a Form 4 with the SEC.
• The filing reports the redemption of 300 Series 2020 Variable Rate Muni Term Preferred Shares (VMTP Shares) by Invesco Municipal Income Opportunities Trust on April 30, 2024.
• The shares were beneficially owned by PFC and were redeemed at a price of $100,389.12567 per share, which includes a liquidation preference of $100,000.00 and accumulated unpaid dividends of $389.12567.
• Bank of America Corporation held an indirect interest in these securities through its ownership of PFC.
• The reporting persons are analyzing additional trading activity and expect to file another Form 4 soon.
• The filing includes a joint filing agreement between Bank of America Corporation and Banc of America Preferred Funding Corporation.

Sentiment

Score: 5

Explanation: The document reports a routine transaction (redemption of shares) and doesn't contain information that would significantly sway investor sentiment positively or negatively. It's a neutral event.

Future Outlook

Bank of America Corporation expects to file another Form 4 as soon as reasonably practicable once the analysis of additional trading activity is complete.

Industry Context

This filing reflects standard transactions related to the management of investment portfolios by large financial institutions. Redemptions of preferred shares are a common occurrence in the management of closed-end funds like Invesco Municipal Income Opportunities Trust.

Comparison to Industry Standards

• Redemption of preferred shares is a common practice in the closed-end fund industry.
• Similar redemptions are often seen with other municipal bond funds managed by companies like BlackRock, Nuveen, and Eaton Vance.
• The redemption price reflects market conditions and the terms of the preferred shares, which is typical for such transactions.

Related Party Transactions

• The transaction involves Bank of America Corporation and its wholly-owned subsidiary, Banc of America Preferred Funding Corporation.

Stakeholder Impact

• The redemption impacts shareholders of Invesco Municipal Income Opportunities Trust, as it reduces the outstanding preferred shares.
• The redemption provides liquidity to Banc of America Preferred Funding Corporation.

Next Steps

• Bank of America Corporation will file another Form 4 after analyzing additional trading activity.

Key Dates