Form 4: BofA Subsidiary Exchanges PIMCO Preferred Shares

Bank of America's subsidiary, Banc of America Preferred Funding Corp, exchanged preferred shares in PIMCO Municipal Income Fund II as part of a fund reorganization.

Summary

• Bank of America Corporation and its wholly-owned subsidiary, Banc of America Preferred Funding Corporation (PFC), filed a Form 4 regarding their beneficial ownership in PIMCO Municipal Income Fund II (PML).
• PFC acquired 2,580 Remarketable Variable Rate MuniFund Term Preferred Shares (RVMTP Shares) of PML.
• This acquisition was a cashless exchange of 2,580 RVMTP Shares previously held in PIMCO Municipal Income Fund III and PIMCO Municipal Income Fund (the 'Target Funds') into PML, as a result of a fund reorganization.
• The transaction date for this exchange was August 1, 2025.
• Following this reported transaction, Bank of America Corporation indirectly beneficially owns a total of 5,110 RVMTP Shares through its subsidiary, PFC.

Sentiment

Score: 5

Explanation: The filing is a standard Form 4 reporting a change in beneficial ownership due to a fund reorganization. It is neutral in sentiment as it reflects a procedural transaction rather than a strategic investment or divestment decision by the reporting entity that would imply positive or negative sentiment towards the issuer.

Risks

• Reporting persons explicitly state that neither the filing of this statement nor anything contained within it should be construed as an admission that such person is acting (or has agreed or is agreeing to act together with any other person) as a partnership, limited partnership, syndicate, or other group for the purpose of acquiring, holding, or disposing of securities of the Issuer or otherwise with respect to the Issuer or any securities of the Issuer, for the purposes of Section 13(d) of the US Securities Exchange Act of 1934 or any other purpose.

Future Outlook

The filing primarily reports a past transaction related to a fund reorganization and does not provide forward-looking statements or guidance regarding the issuer's future performance or strategic direction.

Management Comments

• Each reporting person declares that neither the filing of this statement nor anything herein shall be construed as an admission that such person is, for the purposes of Section 13(d) of the US Securities Exchange Act of 1934 or any other purpose, (i) acting (or has agreed or is agreeing to act together with any other person) as a partnership, limited partnership, syndicate or other group for the purpose of acquiring, holding or disposing of securities of the Issuer or otherwise with respect to the Issuer or any securities of the Issuer or (ii) a member of any group with respect to the Issuer or any securities of the Issuer.

Industry Context

This transaction reflects a routine change in beneficial ownership for preferred shares as a result of a fund reorganization within the PIMCO municipal income fund complex. Such reorganizations are common in the investment fund industry to streamline fund structures or optimize portfolios, and this specific filing indicates a consolidation of preferred share holdings into PIMCO Municipal Income Fund II.

Related Party Transactions

• The transaction involves Banc of America Preferred Funding Corporation, a wholly-owned subsidiary of Bank of America Corporation, exchanging preferred shares with PIMCO Municipal Income Fund II, where Bank of America Corporation is listed as a 10% owner and director, indicating a related party relationship.

Stakeholder Impact

• Minimal direct impact on common shareholders of PIMCO Municipal Income Fund II, as the filing reports a cashless exchange of preferred shares as part of a fund reorganization, primarily affecting the beneficial ownership structure of the reporting entities.

Next Steps

• No specific future actions or milestones are mentioned beyond the reported transaction.

Key Dates

Keywords

PIMCO Municipal Income Fund II, PML, Bank of America, Banc of America Preferred Funding Corp, SEC Form 4, Beneficial Ownership, Preferred Shares, Fund Reorganization, RVMTP Shares, Section 16, 10% Owner