UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number: 811-21077
PIMCO California Municipal Income Fund II
(Exact name of registrant as specified in charter)
1633 Broadway, New York, NY 10019
(Address of principal executive offices)
Trent W. Walker
Treasurer (Principal Financial & Accounting Officer)
650 Newport Center Drive, Newport Beach, CA 92660
(Name and address of agent for service)
Copies to:
David C. Sullivan
Ropes & Gray LLP
Prudential Tower
800 Boylston Street
Boston, MA 02199
Registrants telephone number, including area code: (844) 337-4626
Date of fiscal year end: December 31
Date of reporting period: December 31, 2018
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (OMB) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Shareholders.
The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended (the 1940 Act) (17 CFR 270.30e-1).
PIMCO CLOSED-END FUNDS
Annual Report
December 31, 2018
PIMCO Municipal Income Fund | PMF | NYSE
PIMCO Municipal Income Fund II | PML | NYSE
PIMCO Municipal Income Fund III | PMX | NYSE
PIMCO California Municipal Income Fund | PCQ | NYSE
PIMCO California Municipal Income Fund II | PCK | NYSE
PIMCO California Municipal Income Fund III | PZC | NYSE
PIMCO New York Municipal Income Fund | PNF | NYSE
PIMCO New York Municipal Income Fund II | PNI | NYSE
Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of the Funds annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports. Instead, the reports will be made available on the Funds website, pimco.com/literature, and you will be notified by mail each time a report is posted and provided with a website link to access the report.
If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from the Fund electronically by visiting pimco.com/edelivery or by contacting your financial intermediary, such as a broker-dealer or bank.
Beginning January 1, 2019, you may elect to receive all future reports in paper free of charge. If you own these shares through a financial intermediary, such as a broker-dealer or bank, you may contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports. If you invest directly with the Fund, you can inform the Fund that you wish to continue receiving paper copies of your shareholder reports by calling 844.337.4626. Your election to receive reports in paper will apply to all funds held with the fund complex if you invest directly with the Fund or to all funds held in your account if you invest through a financial intermediary, such as a broker-dealer or bank.
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Letter from the Chair of the Board & President
Dear Shareholder,
Following this letter is the PIMCO Closed-End Funds Annual Report, which covers the 12-month reporting period ended December 31, 2018. On the subsequent pages you will find specific details regarding investment results and discussion of the factors that most affected performance during the reporting period.
For the 12-month reporting period ended December 31, 2018
The U.S. economy continued to expand during the reporting period. Looking back, U.S. gross domestic product (GDP) grew at an annual pace of 2.2% during the first quarter of 2018. During the second quarter of 2018, GDP growth rose to an annual pace of 4.2%, the strongest since the third quarter of 2014. GDP then expanded at an annual pace of 3.4% during the third quarter of the year. Finally, the Commerce Departments initial reading for fourth-quarter 2018 GDP has been delayed due to the partial government shutdown.
The Federal Reserve (the Fed) continued to normalize monetary policy during the reporting period. During its meetings that concluded in March, June, September and December 2018, the Fed raised the federal funds rate in 0.25% increments. The Feds December rate hike pushed the federal funds rate to a range between 2.25% and 2.50%. In addition, the Fed continued to reduce its balance sheet during the reporting period.
Economic activity outside the U.S. initially accelerated during the reporting period, but moderated as it progressed. Against this backdrop, the European Central Bank (the ECB) and the Bank of Japan largely maintained their highly accommodative monetary policies, while other central banks took a more hawkish stance. The Bank of England raised rates at its meeting in August 2018 and the Bank of Canada raised rates twice during the reporting period. Meanwhile, the ECB ended its quantitative easing program in December 2018, but indicated that it does not expect to raise interest rates at least through the summer of 2019.
The U.S. Treasury yield curve flattened during the reporting period as short-term rates moved up more than longer-term rates. In our view, the increase in rates at the short end of the yield curve was mostly due to Fed interest rate increases. The yield on the benchmark 10-year U.S. Treasury note was 2.69% at the end of the reporting period, up from 2.40% on December 31, 2017. U.S. Treasuries, as measured by the Bloomberg Barclays U.S. Treasury Index, returned 0.86% over the 12 months ended December 31, 2018. Meanwhile, the Bloomberg Barclays U.S. Aggregate Bond Index, a widely used index of U.S. investment grade bonds, returned 0.01% over the period. Riskier fixed income asset classes, including high yield corporate bonds and emerging market debt, generated weak results versus the broad U.S. market. The ICE BofAML U.S. High Yield Index returned -2.27% over the reporting period, whereas emerging market external debt, as represented by the JPMorgan Emerging Markets Bond Index (EMBI) Global, returned -4.61% over the reporting period. Emerging market local bonds, as represented by the JPMorgan Government Bond Index-Emerging Markets Global Diversified Index (Unhedged), returned -6.21% over the period.
The municipal (or muni) market experienced periods of volatility during the reporting period. After declining over the first two months, the muni market posted positive returns during five of the next six months. The muni market then fell over the next two months, but finished strongly by rallying in November and December 2018. As was the case with the taxable U.S. bond market, munis were negatively impacted by rising interest rates, which tempered their gains during the year. All told, the Bloomberg Barclays Municipal Bond Index returned 1.28% during the 12 months ended December 31, 2018.
2 | PIMCO CLOSED-END FUNDS |
Thank you for the assets you have placed with us. We deeply value your trust, and we will continue to work diligently to meet your broad investment needs. For any questions regarding your PIMCO Closed-End Funds investments, please contact your financial advisor, or call the Funds shareholder servicing agent at (844) 33-PIMCO. We also invite you to visit our website at pimco.com to learn more about our global viewpoints.
Sincerely,
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Deborah A. DeCotis |
Peter G. Strelow | |
Chair of the Board of Trustees | President |
Past performance is no guarantee of future results. Unless otherwise noted, index returns reflect the reinvestment of income distributions and capital gains, if any, but do not reflect fees, brokerage commissions or other expenses of investing. It is not possible to invest directly in an unmanaged index.
ANNUAL REPORT | DECEMBER 31, 2018 | 3 |
Important Information About the Funds
4 | PIMCO CLOSED-END FUNDS |
ANNUAL REPORT | DECEMBER 31, 2018 | 5 |
Important Information About the Funds (Cont.)
6 | PIMCO CLOSED-END FUNDS |
ANNUAL REPORT | DECEMBER 31, 2018 | 7 |
Important Information About the Funds (Cont.)
8 | PIMCO CLOSED-END FUNDS |
Symbol on NYSE - PMF |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (06/29/01) |
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Market Price | 2.22% | 7.14% | 12.68% | 5.95% | ||||||||||||
NAV | 1.72% | 8.43% | 12.56% | 6.67% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO Municipal Income Funds investment objective is to seek to provide current income exempt from federal income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Select exposure within the revenue segment contributed to performance. |
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Select exposure within the special tax sector contributed to performance. |
» | Duration positioning detracted from performance, as municipal yields rose. |
» | Exposure to the electric utility sector detracted from performance, as the sector underperformed the general municipal market. |
» | Lack of exposure to the housing sector detracted from performance, as the sector outperformed the general municipal market. |
ANNUAL REPORT | DECEMBER 31, 2018 | 9 |
PIMCO Municipal Income Fund II
Symbol on NYSE - PML |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (06/28/02) |
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Market Price | 7.57% | 11.40% | 14.66% | 6.14% | ||||||||||||
NAV | 2.38% | 8.23% | 12.52% | 5.61% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO Municipal Income Fund IIs investment objective is to seek to provide current income exempt from federal income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Select exposure to the revenue segment contributed to performance. |
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Select exposure to the special tax sector contributed to performance. |
» | The Funds duration exposure detracted from performance, as municipal yields moved higher. |
» | Exposure to the electric utility sector detracted from performance, as the sector underperformed the broader municipal market. |
» | Lack of exposure to the housing sector detracted from performance, as the sector outperformed the broader municipal market. |
10 | PIMCO CLOSED-END FUNDS |
PIMCO Municipal Income Fund III
Symbol on NYSE - PMX |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (10/31/02) |
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Market Price | 3.39% | 9.30% | 13.80% | 5.32% | ||||||||||||
NAV | 2.04% | 9.48% | 12.30% | 5.45% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO Municipal Income Fund IIIs investment objective is to seek to provide current income exempt from federal income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Select exposure within the revenue segment contributed to performance. |
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Exposure to the tobacco sector contributed to performance, as the sector outperformed the general municipal market. |
» | Duration positioning detracted from performance, as municipal yields rose over the period. |
» | Exposure to the electric utility sector detracted from performance, as the sector underperformed the general municipal market. |
» | Lack of exposure to the housing sector detracted from performance, as the sector underperformed the general municipal market. |
ANNUAL REPORT | DECEMBER 31, 2018 | 11 |
PIMCO California Municipal Income Fund
Symbol on NYSE - PCQ |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (06/29/01) |
|||||||||||||
Market Price | (0.66)% | 11.03% | 13.79% | 7.17% | ||||||||||||
NAV | 0.42% | 7.76% | 11.04% | 6.55% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO California Municipal Income Funds investment objective is to seek to provide current income exempt from federal and California income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Exposure to the tobacco sector contributed to performance, as the sector outperformed the general municipal market. |
» | Exposure to the lease-backed sector contributed to performance, as the sector outperformed the general municipal market. |
» | Duration positioning detracted from performance, as municipal yields rose. |
» | Exposure to the industrial revenue sector detracted from performance, as the sector underperformed the general municipal market. |
» | Exposure to the education sector detracted from performance, as the sector underperformed the general municipal market. |
12 | PIMCO CLOSED-END FUNDS |
PIMCO California Municipal Income Fund II
Symbol on NYSE - PCK |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (06/28/02) |
|||||||||||||
Market Price | (19.01)% | 3.56% | 10.36% | 3.14% | ||||||||||||
NAV | 0.32% | 8.83% | 11.20% | 4.28% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO California Municipal Income Fund IIs investment objective is to seek to provide current income exempt from federal and California income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Exposure to the general obligation segment contributed to performance, as the segment outperformed the broader municipal market. |
» | Select exposure to the special tax sector contributed to performance. |
» | The Funds duration exposure detracted from performance, as municipal yields moved higher. |
» | Exposure to the industrial revenue sector detracted from performance, as the sector underperformed the broader municipal market. |
» | Exposure to the education sector detracted from performance, as the sector underperformed the broader municipal market. |
ANNUAL REPORT | DECEMBER 31, 2018 | 13 |
PIMCO California Municipal Income Fund III
Symbol on NYSE - PZC |
Average Annual Total Return(1) for the period ended December 31, 2018 |
||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (10/31/02) |
|||||||||||||
Market Price | (3.49)% | 7.30% | 12.16% | 4.02% | ||||||||||||
NAV | 0.29% | 8.17% | 11.10% | 4.45% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions.Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO California Municipal Income Fund IIIs investment objective is to seek to provide current income exempt from federal and California income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Exposure to the tobacco sector contributed to performance, as the sector outperformed the general municipal market. |
» | Exposure to the pre-refunded sector contributed to performance, as the sector outperformed the general municipal market. |
» | Duration positioning detracted from performance, as municipal yields rose over the period. |
» | Exposure to the industrial revenue sector detracted from performance, as the sector underperformed the general municipal market. |
» | Select exposure within the healthcare sector detracted from performance. |
14 | PIMCO CLOSED-END FUNDS |
PIMCO New York Municipal Income Fund
Symbol on NYSE - PNF |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (06/29/01) |
|||||||||||||
Market Price | (2.90)% | 9.00% | 12.11% | 4.81% | ||||||||||||
NAV | (0.66)% | 7.84% | 10.25% | 4.91% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO New York Municipal Income Funds investment objective is to seek to provide current income exempt from federal, New York State and New York City income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Exposure to pre-refunded debt contributed to performance, as the sector outperformed the general municipal market. |
» | Exposure to the healthcare sector contributed to performance, as the sector outperformed the general municipal market. |
» | Duration positioning detracted from performance, as municipal yields rose. |
» | Exposure to the transportation sector detracted from performance, as the sector underperformed the general municipal market. |
» | Lack of exposure to the housing sector detracted from performance, as the sector outperformed the general municipal market. |
ANNUAL REPORT | DECEMBER 31, 2018 | 15 |
PIMCO New York Municipal Income Fund II
Symbol on NYSE - PNI |
Average Annual Total Return(1) for the period ended December 31, 2018 | ||||||||||||||||
1 Year | 5 Year | 10 Year | Commencement of Operations (06/28/02) |
|||||||||||||
Market Price | (7.67)% | 6.96% | 11.32% | 4.50% | ||||||||||||
NAV | 1.09% | 8.38% | 10.58% | 5.07% |
All Fund returns are net of fees and expenses.
(1) | Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. Total return, market price, NAV, market price distribution rate, and NAV distribution rate will fluctuate with changes in market conditions. Performance current to the most recent month-end is available at www.pimco.com or via (844) 33-PIMCO. Performance is calculated assuming all dividends and distributions are reinvested at prices obtained under the Funds dividend reinvestment plan. Performance does not reflect any brokerage commissions in connection with the purchase or sale of Fund shares. |
(2) | Distribution rates are not performance and are calculated by annualizing the most recent distribution per share and dividing by the NAV or Market Price, as applicable, as of the reported date. Distributions may be comprised of ordinary income, net capital gains, and/or a return of capital (ROC) of your investment in the Fund. Because the distribution rate may include a ROC, it should not be confused with yield or income. If the Fund estimates that a portion of its distribution may be comprised of amounts from sources other than net investment income in accordance with its policies and good accounting practices, the Fund will notify shareholders of the estimated composition of such distribution through a Section 19 Notice. Please refer to the most recent Section 19 Notice, if applicable, for additional information regarding the estimated composition of distributions. Please visit www.pimco.com for most recent Section 19 Notice, if applicable. Final determination of a distributions tax character will be made on Form 1099 DIV sent to shareholders each January. |
(3) | Represents total effective leverage outstanding, as a percentage of total managed assets. Total effective leverage consists of auction rate and variable rate munifund term preferred shares, reverse repurchase agreements and other borrowings, credit default swap notional and floating rate notes issued in tender option bond transactions, as applicable (collectively Total Effective Leverage). The Fund may engage in other transactions not included in Total Effective Leverage disclosed above that may give rise to a form of leverage, including certain derivative transactions. For the purpose of calculating Total Effective Leverage outstanding as a percentage of total managed assets, total managed assets refer to total assets (including assets attributable to Total Effective Leverage that may be outstanding) minus accrued liabilities (other than liabilities representing Total Effective Leverage). |
Investment Objective and Strategy Overview
PIMCO New York Municipal Income Fund IIs investment objective is to seek to provide current income exempt from federal, New York State and New York City income tax.
Fund Insights at NAV
The following affected performance during the reporting period:
» | Auction-rate preferred shares tendered at a discount contributed to performance. |
» | Select exposure to the revenue segment contributed to performance. |
» | Select exposure to the special tax sector contributed to performance. |
» | The Funds duration exposure detracted from performance, as municipal yields moved higher. |
» | Exposure to the transportation sector detracted from performance, as the sector underperformed the broader municipal market. |
» | Exposure to the electric utility sector detracted from performance, as the sector underperformed the broader municipal market. |
16 | PIMCO CLOSED-END FUNDS |
(THIS PAGE INTENTIONALLY LEFT BLANK)
ANNUAL REPORT | DECEMBER 31, 2018 | 17 |
Investment Operations | Less Distributions to ARPS(b) |
Less Distributions to Common Shareholders(c) | ||||||||||||||||||||||||||||||||||||||||||
Selected Per Share Data for the Year or Period Ended^: |
Net Asset Value Beginning of Year or Period |
Net Investment Income(a) |
Net Realized/ Unrealized Gain (Loss) |
From Net Investment Income |
From Net Realized Capital Gains |
Net Increase (Decrease) in Net Assets Applicable to Common Shareholders Resulting from Operations |
From Net Investment Income |
From Net Realized Capital Gains |
Tax Basis Return of Capital |
Total | Increase Resulting from Tender of ARPS(b) |
|||||||||||||||||||||||||||||||||
PIMCO Municipal Income Fund |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 12.87 | $ | 0.89 | $ | (0.65 | ) | $ | (0.16 | ) | $ | 0.00 | $ | 0.08 | $ | (0.72 | ) | $ | 0.00 | $ | 0.00 | $ | (0.72 | ) | $ | 0.13 | ||||||||||||||||||
12/31/2017 |
12.44 | 0.91 | 0.36 | (0.10 | ) | 0.00 | 1.17 | (0.74 | ) | 0.00 | 0.00 | (0.74 | ) | 0.00 | ||||||||||||||||||||||||||||||
12/31/2016 |
13.26 | 0.90 | (0.68 | ) | (0.06 | ) | 0.00 | 0.16 | (0.98 | ) | 0.00 | 0.00 | (0.98 | ) | 0.00 | |||||||||||||||||||||||||||||
05/01/2015 - 12/31/2015(g) |
13.15 | 0.65 | 0.12 | (0.01 | ) | 0.00 | 0.76 | (0.65 | ) | 0.00 | 0.00 | (0.65 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
04/30/2015 |
12.57 | 0.93 | 0.64 | (0.01 | ) | 0.00 | 1.56 | (0.98 | ) | 0.00 | 0.00 | (0.98 | ) | 0.00 | ||||||||||||||||||||||||||||||
04/30/2014 |
13.75 | 0.94 | (1.13 | ) | (0.01 | ) | 0.00 | (0.20 | ) | (0.98 | ) | 0.00 | 0.00 | (0.98 | ) | 0.00 | ||||||||||||||||||||||||||||
PIMCO Municipal Income Fund II |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 12.13 | $ | 0.81 | $ | (0.57 | ) | $ | (0.13 | ) | $ | 0.00 | $ | 0.11 | $ | (0.78 | ) | $ | 0.00 | $ | 0.00 | $ | (0.78 | ) | $ | 0.16 | ||||||||||||||||||
12/31/2017 |
11.81 | 0.81 | 0.37 | (0.08 | ) | 0.00 | 1.10 | (0.78 | ) | 0.00 | 0.00 | (0.78 | ) | 0.00 | ||||||||||||||||||||||||||||||
12/31/2016 |
12.39 | 0.79 | (0.55 | ) | (0.04 | ) | 0.00 | 0.20 | (0.78 | ) | 0.00 | 0.00 | (0.78 | ) | 0.00 | |||||||||||||||||||||||||||||
06/01/2015 - 12/31/2015(h) |
12.11 | 0.47 | 0.28 | (0.01 | ) | 0.00 | 0.74 | (0.46 | ) | 0.00 | 0.00 | (0.46 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
05/31/2015 |
11.94 | 0.81 | 0.15 | (0.01 | ) | 0.00 | 0.95 | (0.78 | ) | 0.00 | 0.00 | (0.78 | ) | 0.00 | ||||||||||||||||||||||||||||||
05/31/2014 |
12.17 | 0.81 | (0.25 | ) | (0.01 | ) | 0.00 | 0.55 | (0.78 | ) | 0.00 | 0.00 | (0.78 | ) | 0.00 | |||||||||||||||||||||||||||||
PIMCO Municipal Income Fund III |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 11.06 | $ | 0.76 | $ | (0.57 | ) | $ | (0.13 | ) | $ | 0.00 | $ | 0.06 | $ | (0.67 | ) | $ | (0.11 | ) | $ | 0.00 | $ | (0.78 | ) | $ | 0.15 | |||||||||||||||||
12/31/2017 |
10.67 | 0.77 | 0.38 | (0.08 | ) | 0.00 | 1.07 | (0.68 | ) | 0.00 | 0.00 | (0.68 | ) | 0.00 | ||||||||||||||||||||||||||||||
12/31/2016 |
11.13 | 0.77 | (0.44 | ) | (0.04 | ) | 0.00 | 0.29 | (0.75 | ) | 0.00 | 0.00 | (0.75 | ) | 0.00 | |||||||||||||||||||||||||||||
10/01/2015 - 12/31/2015(i) |
10.88 | 0.20 | 0.24 | (0.00 | ) | 0.00 | 0.44 | (0.19 | ) | 0.00 | 0.00 | (0.19 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
09/30/2016 |
10.78 | 0.78 | 0.08 | (0.01 | ) | 0.00 | 0.85 | (0.75 | ) | 0.00 | 0.00 | (0.75 | ) | 0.00 | ||||||||||||||||||||||||||||||
09/30/2015 |
9.58 | 0.75 | 1.25 | (0.01 | ) | 0.00 | 1.99 | (0.79 | ) | 0.00 | 0.00 | (0.79 | ) | 0.00 | ||||||||||||||||||||||||||||||
PIMCO California Municipal Income Fund |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 14.20 | $ | 0.92 | $ | (0.94 | ) | $ | (0.17 | ) | $ | 0.00 | $ | (0.19 | ) | $ | (0.92 | ) | $ | 0.00 | $ | 0.00 | $ | (0.92 | ) | $ | 0.23 | |||||||||||||||||
12/31/2017 |
13.83 | 0.97 | 0.43 | (0.11 | ) | 0.00 | 1.29 | (0.92 | ) | 0.00 | 0.00 | (0.92 | ) | 0.00 | ||||||||||||||||||||||||||||||
12/31/2016 |
14.61 | 0.95 | (0.75 | ) | (0.06 | ) | 0.00 | 0.14 | (0.92 | ) | 0.00 | 0.00 | (0.92 | ) | 0.00 | |||||||||||||||||||||||||||||
05/01/2015 - 12/31/2015(g) |
14.33 | 0.65 | 0.26 | (0.01 | ) | 0.00 | 0.90 | (0.62 | ) | 0.00 | 0.00 | (0.62 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
04/30/2015 |
13.77 | 0.95 | 0.54 | (0.01 | ) | 0.00 | 1.48 | (0.92 | ) | 0.00 | 0.00 | (0.92 | ) | 0.00 | ||||||||||||||||||||||||||||||
04/30/2014 |
14.71 | 0.99 | (1.00 | ) | (0.01 | ) | 0.00 | (0.02 | ) | (0.92 | ) | 0.00 | 0.00 | (0.92 | ) | 0.00 | ||||||||||||||||||||||||||||
PIMCO California Municipal Income Fund II |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 8.69 | $ | 0.54 | $ | (0.57 | ) | $ | (0.11 | ) | $ | 0.00 | $ | (0.14 | ) | $ | (0.42 | ) | $ | 0.00 | $ | 0.00 | $ | (0.42 | ) | $ | 0.16 | |||||||||||||||||
12/31/2017 |
8.39 | 0.60 | 0.34 | (0.07 | ) | 0.00 | 0.87 | (0.56 | ) | 0.00 | (0.01 | ) | (0.57 | ) | 0.00 | |||||||||||||||||||||||||||||
12/31/2016 |
8.95 | 0.62 | (0.53 | ) | (0.04 | ) | 0.00 | 0.05 | (0.61 | ) | 0.00 | 0.00 | (0.61 | ) | 0.00 | |||||||||||||||||||||||||||||
06/01/2015 - 12/31/2015(h) |
8.69 | 0.38 | 0.27 | (0.01 | ) | 0.00 | 0.64 | (0.38 | ) | 0.00 | 0.00 | (0.38 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
05/31/2015 |
8.61 | 0.66 | 0.08 | (0.01 | ) | 0.00 | 0.73 | (0.65 | ) | 0.00 | 0.00 | (0.65 | ) | 0.00 | ||||||||||||||||||||||||||||||
05/31/2014 |
8.93 | 0.68 | (0.26 | ) | (0.01 | ) | 0.00 | 0.41 | (0.66 | ) | 0.00 | (0.07 | ) | (0.73 | ) | 0.00 | ||||||||||||||||||||||||||||
PIMCO California Municipal Income Fund III |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 9.98 | $ | 0.64 | $ | (0.68 | ) | $ | (0.12 | ) | $ | 0.00 | $ | (0.16 | ) | $ | (0.54 | ) | $ | 0.00 | $ | 0.00 | $ | (0.54 | ) | $ | 0.18 | |||||||||||||||||
12/31/2017 |
9.67 | 0.67 | 0.35 | (0.08 | ) | 0.00 | 0.94 | (0.63 | ) | 0.00 | 0.00 | (0.63 | ) | 0.00 | ||||||||||||||||||||||||||||||
12/31/2016 |
10.31 | 0.65 | (0.53 | ) | (0.04 | ) | 0.00 | 0.08 | (0.72 | ) | 0.00 | 0.00 | (0.72 | ) | 0.00 | |||||||||||||||||||||||||||||
10/01/2015 - 12/31/2015(i) |
10.08 | 0.17 | 0.24 | (0.00 | ) | 0.00 | 0.41 | (0.18 | ) | 0.00 | 0.00 | (0.18 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
09/30/2016 |
10.02 | 0.68 | 0.11 | (0.01 | ) | 0.00 | 0.78 | (0.72 | ) | 0.00 | 0.00 | (0.72 | ) | 0.00 | ||||||||||||||||||||||||||||||
09/30/2015 |
9.09 | 0.69 | 0.97 | (0.01 | ) | 0.00 | 1.65 | (0.72 | ) | 0.00 | 0.00 | (0.72 | ) | 0.00 | ||||||||||||||||||||||||||||||
PIMCO New York Municipal Income Fund |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 12.06 | $ | 0.70 | $ | (0.77 | ) | $ | (0.13 | ) | $ | 0.00 | $ | (0.20 | ) | $ | (0.68 | ) | $ | 0.00 | $ | 0.00 | $ | (0.68 | ) | $ | 0.11 | |||||||||||||||||
12/31/2017 |
11.62 | 0.69 | 0.51 | (0.08 | ) | 0.00 | 1.12 | (0.68 | ) | 0.00 | 0.00 | (0.68 | ) | 0.00 | ||||||||||||||||||||||||||||||
12/31/2016 |
12.10 | 0.70 | (0.45 | ) | (0.05 | ) | 0.00 | 0.20 | (0.68 | ) | 0.00 | 0.00 | (0.68 | ) | 0.00 | |||||||||||||||||||||||||||||
05/01/2015 - 12/31/2015(g) |
11.92 | 0.47 | 0.18 | (0.01 | ) | 0.00 | 0.64 | (0.46 | ) | 0.00 | 0.00 | (0.46 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
04/31/2015 |
11.20 | 0.68 | 0.73 | (0.01 | ) | 0.00 | 1.40 | (0.68 | ) | 0.00 | 0.00 | (0.68 | ) | 0.00 | ||||||||||||||||||||||||||||||
04/31/2014 |
12.04 | 0.67 | (0.82 | ) | (0.01 | ) | 0.00 | (0.16 | ) | (0.68 | ) | 0.00 | 0.00 | (0.68 | ) | 0.00 |
18 | PIMCO CLOSED-END FUNDS | See Accompanying Notes |
Common Share |
Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||
Ratios to Average Net Assets Applicable to Common Shareholders | ||||||||||||||||||||||||||||||||||||||||||||||
Net Asset Value End of Year or Period |
Market Price End of Year or Period |
Total Investment Return(d) |
Net Assets Applicable to Common Shareholders (000s) |
Expenses(e)(f) | Expenses Excluding Waivers(e)(f) |
Expenses Excluding Interest Expense(e) |
Expenses Excluding Interest Expense and Waivers(e) |
Net Investment Income (Loss)(e) |
ARPS Asset Coverage Per Share(b) |
VMTP Asset Coverage Per Share** |
Portfolio Turnover Rate |
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|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 12.36 | $ | 12.55 | 2.22 | % | $ | 318,313 | 1.77 | % | 1.77 | % | 1.23 | % | 1.23 | % | 7.16 | % | $ | 66,868 | $ | 267,440 | 24 | % | |||||||||||||||||||||||
12.87 | 13.00 | (4.44 | ) | 330,523 | 1.37 | 1.37 | 1.21 | 1.21 | 7.16 | 68,475 | N/A | 12 | ||||||||||||||||||||||||||||||||||
12.44 | 14.39 | (0.71 | ) | 318,473 | 1.25 | 1.25 | 1.18 | 1.18 | 6.72 | 66,896 | N/A | 16 | ||||||||||||||||||||||||||||||||||
13.26 | 15.45 | 5.27 | 338,342 | 1.22 | * | 1.22 | * | 1.21 | * | 1.21 | * | 7.42 | * | 69,516 | N/A | 15 | ||||||||||||||||||||||||||||||
13.15 | 15.38 | 21.47 | 334,775 | 1.25 | 1.25 | 1.22 | 1.22 | 7.12 | 69,049 | N/A | 9 | |||||||||||||||||||||||||||||||||||
12.57 | 13.58 | (8.45 | ) | 319,155 | 1.30 | 1.30 | 1.27 | 1.27 | 7.74 | 66,993 | N/A | 15 | ||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 11.62 | $ | 13.31 | 7.57 | % | $ | 723,713 | 1.93 | % | 1.93 | % | 1.13 | % | 1.13 | % | 6.94 | % | $ | 74,285 | $ | 297,110 | 23 | % | |||||||||||||||||||||||
12.13 | 13.18 | 14.85 | 751,337 | 1.30 | 1.30 | 1.10 | 1.10 | 6.74 | 76,136 | N/A | 12 | |||||||||||||||||||||||||||||||||||
11.81 | 12.22 | 3.90 | 727,513 | 1.16 | 1.16 | 1.08 | 1.08 | 6.27 | 74,548 | N/A | 12 | |||||||||||||||||||||||||||||||||||
12.39 | 12.51 | 6.56 | 760,212 | 1.11 | * | 1.11 | * | 1.10 | * | 1.10 | * | 6.57 | * | 76,782 | N/A | 10 | ||||||||||||||||||||||||||||||
12.11 | 12.19 | 6.15 | 742,133 | 1.16 | 1.16 | 1.11 | 1.11 | 6.65 | 75,553 | N/A | 10 | |||||||||||||||||||||||||||||||||||
11.94 | 12.25 | 7.76 | 730,088 | 1.21 | 1.21 | 1.16 | 1.16 | 7.22 | 74,733 | N/A | 16 | |||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 10.49 | $ | 11.14 | 3.39 | % | $ | 345,557 | 1.89 | % | 1.89 | % | 1.19 | % | 1.19 | % | 7.11 | % | $ | 70,693 | $ | 282,740 | 25 | % | |||||||||||||||||||||||
11.06 | 11.58 | 8.19 | 363,063 | 1.39 | 1.39 | 1.19 | 1.19 | 7.07 | 73,007 | N/A | 14 | |||||||||||||||||||||||||||||||||||
10.67 | 11.37 | 5.33 | 349,423 | 1.23 | 1.23 | 1.13 | 1.13 | 6.80 | 71,211 | N/A | 9 | |||||||||||||||||||||||||||||||||||
11.13 | 11.51 | 6.70 | 363,382 | 1.19 | * | 1.19 | * | 1.17 | * | 1.17 | * | 7.09 | * | 73,123 | N/A | 2 | ||||||||||||||||||||||||||||||
10.88 | 10.97 | 9.65 | 355,368 | 1.23 | 1.23 | 1.17 | 1.17 | 7.14 | 72,006 | N/A | 5 | |||||||||||||||||||||||||||||||||||
10.78 | 10.71 | 10.69 | 351,139 | 1.29 | 1.29 | 1.23 | 1.23 | 7.47 | 71,447 | N/A | 15 | |||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 13.32 | $ | 16.15 | (0.66 | )% | $ | 250,306 | 2.10 | % | 2.10 | % | 1.23 | % | 1.23 | % | 6.80 | % | $ | 66,725 | $ | 266,870 | 29 | % | |||||||||||||||||||||||
14.20 | 17.28 | 16.74 | 266,019 | 1.60 | 1.60 | 1.21 | 1.21 | 6.86 | 69,320 | N/A | 13 | |||||||||||||||||||||||||||||||||||
13.83 | 15.68 | 5.96 | 258,476 | 1.29 | 1.29 | 1.17 | 1.17 | 6.49 | 68,070 | N/A | 15 | |||||||||||||||||||||||||||||||||||
14.61 | 15.70 | 4.60 | 272,345 | 1.24 | * | 1.24 | * | 1.21 | * | 1.21 | * | 6.76 | * | 70,388 | N/A | 13 | ||||||||||||||||||||||||||||||
14.33 | 15.66 | 16.08 | 266,838 | 1.32 | 1.32 | 1.22 | 1.22 | 6.67 | 69,473 | N/A | 11 | |||||||||||||||||||||||||||||||||||
13.77 | 14.38 | 0.61 | 255,751 | 1.36 | 1.36 | 1.27 | 1.27 | 7.55 | 67,624 | N/A | 21 | |||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 8.29 | $ | 7.83 | (19.01 | )% | $ | 265,245 | 1.88 | % | 1.88 | % | 1.29 | % | 1.29 | % | 6.51 | % | $ | 65,675 | $ | 262,670 | 37 | % | |||||||||||||||||||||||
8.69 | 10.17 | 17.31 | 277,787 | 1.49 | 1.49 | 1.24 | 1.24 | 6.94 | 67,590 | N/A | 14 | |||||||||||||||||||||||||||||||||||
8.39 | 9.20 | (1.58 | ) | 267,645 | 1.37 | 1.37 | 1.22 | 1.22 | 6.84 | 66,042 | N/A | 20 | ||||||||||||||||||||||||||||||||||
8.95 | 9.94 | 6.19 | 285,097 | 1.25 | * | 1.25 | * | 1.23 | * | 1.23 | * | 7.42 | * | 68,724 | N/A | 10 | ||||||||||||||||||||||||||||||
8.69 | 9.75 | 9.85 | 276,525 | 1.32 | 1.32 | 1.21 | 1.21 | 7.48 | 67,411 | N/A | 12 | |||||||||||||||||||||||||||||||||||
8.61 | 9.52 | (1.76 | ) | 273,289 | 1.41 | 1.41 | 1.30 | 1.30 | 8.51 | 66,915 | N/A | 14 | ||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 9.46 | $ | 9.53 | (3.49 | )% | $ | 210,974 | 2.13 | % | 2.13 | % | 1.25 | % | 1.25 | % | 6.70 | % | $ | 67,188 | $ | 268,720 | 21 | % | |||||||||||||||||||||||
9.98 | 10.44 | (2.46 | ) | 221,976 | 1.65 | 1.65 | 1.23 | 1.23 | 6.77 | 69,379 | N/A | 9 | ||||||||||||||||||||||||||||||||||
9.67 | 11.34 | 1.27 | 214,646 | 1.33 | 1.33 | 1.19 | 1.19 | 6.31 | 67,922 | N/A | 15 | |||||||||||||||||||||||||||||||||||
10.31 | 11.92 | 10.76 | 228,221 | 1.25 | * | 1.25 | * | 1.21 | * | 1.21 | * | 6.44 | * | 70,641 | N/A | 2 | ||||||||||||||||||||||||||||||
10.08 | 10.94 | 12.80 | 223,030 | 1.30 | 1.30 | 1.21 | 1.21 | 6.68 | 69,605 | N/A | 24 | |||||||||||||||||||||||||||||||||||
10.02 | 10.40 | 19.73 | 221,415 | 1.37 | 1.37 | 1.26 | 1.26 | 7.29 | 69,282 | N/A | 11 | |||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 11.29 | $ | 11.70 | (2.90 | )% | $ | 87,913 | 1.81 | % | 1.81 | % | 1.27 | % | 1.27 | % | 6.11 | % | $ | 78,545 | N/A | 22 | % | ||||||||||||||||||||||||
12.06 | 12.78 | 13.44 | 93,564 | 1.55 | 1.55 | 1.30 | 1.30 | 5.73 | 74,749 | N/A | 22 | |||||||||||||||||||||||||||||||||||
11.62 | 11.91 | 5.71 | 89,825 | 1.36 | 1.36 | 1.25 | 1.25 | 5.69 | 72,769 | N/A | 10 | |||||||||||||||||||||||||||||||||||
12.10 | 11.90 | 7.23 | 93,205 | 1.27 | * | 1.27 | * | 1.26 | * | 1.26 | * | 5.82 | * | 74,574 | N/A | 5 | ||||||||||||||||||||||||||||||
11.92 | 11.54 | 7.72 | 91,832 | 1.39 | 1.39 | 1.31 | 1.31 | 5.78 | 73,847 | N/A | 1 | |||||||||||||||||||||||||||||||||||
11.20 | 11.36 | (3.21 | ) | 86,211 | 1.46 | 1.46 | 1.40 | 1.40 | 6.28 | 70,857 | N/A | 10 |
ANNUAL REPORT | DECEMBER 31, 2018 | 19 |
Financial Highlights (Cont.)
Investment Operations | Less Distributions to ARPS(b) |
Less Distributions to Common Shareholders(c) | ||||||||||||||||||||||||||||||||||||||||||
Selected Per Share Data for the Year or Period Ended^: |
Net Asset Value Beginning of Year or Period |
Net Investment Income(a) |
Net Realized/ Unrealized Gain (Loss) |
From Net Investment Income |
From Net Realized Capital Gains |
Net Increase (Decrease) in Net Assets Applicable to Common Shareholders Resulting from Operations |
From Net Investment Income |
From Net Realized Capital Gains |
Tax Basis Return of Capital |
Total | Increase Resulting from Tender of ARPS(b) |
|||||||||||||||||||||||||||||||||
PIMCO New York Municipal Income Fund II |
||||||||||||||||||||||||||||||||||||||||||||
12/31/2018 |
$ | 11.17 | $ | 0.71 | $ | (0.73 | ) | $ | (0.15 | ) | $ | 0.00 | $ | (0.17 | ) | $ | (0.57 | ) | $ | 0.00 | $ | (0.04 | ) | $ | (0.61 | ) | $ | 0.28 | ||||||||||||||||
12/31/2017 |
10.71 | 0.72 | 0.46 | (0.10 | ) | 0.00 | 1.08 | (0.60 | ) | 0.00 | (0.02 | ) | (0.62 | ) | 0.00 | |||||||||||||||||||||||||||||
12/31/2016 |
11.41 | 0.72 | (0.57 | ) | (0.05 | ) | 0.00 | 0.10 | (0.76 | ) | 0.00 | (0.04 | ) | (0.80 | ) | 0.00 | ||||||||||||||||||||||||||||
06/01/2015 - 12/31/2015(h) |
11.28 | 0.43 | 0.17 | (0.01 | ) | 0.00 | 0.59 | (0.46 | ) | 0.00 | 0.00 | (0.46 | )(j) | 0.00 | ||||||||||||||||||||||||||||||
05/31/2015 |
10.98 | 0.75 | 0.36 | (0.01 | ) | 0.00 | 1.10 | (0.80 | ) | 0.00 | 0.00 | (0.80 | ) | 0.00 | ||||||||||||||||||||||||||||||
05/31/2014 |
11.32 | 0.75 | (0.28 | ) | (0.01 | ) | 0.00 | 0.46 | (0.80 | ) | 0.00 | 0.00 | (0.80 | ) | 0.00 |
^ | A zero balance may reflect actual amounts rounding to less than $0.01 or 0.01%. |
* | Annualized |
** | Variable Rate MuniFund Term Preferred Shares (VMTP). See Note 12, Variable Rate MuniFund Term Preferred Shares, in the Notes to the Financial Statements for more information. |
(a) | Per share amounts based on average number of common shares outstanding during the year or period. |
(b) | Auction Rate Preferred Shares (ARPS). See Note 12, Auction Rate Preferred Shares, in the Notes to Financial Statements for more information. |
(c) | The tax characterization of distributions is determined in accordance with Federal income tax regulations. See Note 2, Distributions Common Shares, in the Notes to Financial Statements for more information. |
(d) | Total investment return is calculated assuming a purchase of a common share at the market price on the first day and a sale of a common share at the market price on the last day of each year or period reported. Dividends and distributions, if any, are assumed, for purposes of this calculation, to be reinvested at prices obtained under the Funds dividend reinvestment plan. Total investment return does not reflect brokerage commissions in connection with the purchase or sale of Fund shares. |
(e) | Calculated on the basis of income and expenses applicable to both common and preferred shares relative to the average net assets of common shareholders. |
(f) | Ratio includes interest expense which primarily relates to participation in borrowing and financing transactions, dividends paid to VMTP shareholders and the amortization of debt issuance costs of VMTP Shares. See Note 5, Borrowings and Other Financing Transactions and Note 12, Variable Rate MuniFund Term Preferred Shares in the Notes to Financial Statements for more information. |
(g) | Fiscal year end changed from April 30th to December 31st. |
(h) | Fiscal year end changed from May 31st to December 31st. |
(i) | Fiscal year end changed from September 30th to December 31st. |
(j) | Total distributions for the period ended December 31, 2015 may be lower than prior fiscal years due to fiscal year end changes resulting in a reduction of the amount of days in the period ended December 31, 2015. |
20 | PIMCO CLOSED-END FUNDS | See Accompanying Notes |
Common Share |
Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||
Ratios to Average Net Assets Applicable to Common Shareholders | ||||||||||||||||||||||||||||||||||||||||||||||
Net Asset Value End of Year or Period |
Market Price End of Year or Period |
Total Investment Return(d) |
Net Assets Applicable to Common Shareholders (000s) |
Expenses(e)(f) | Expenses Excluding Waivers(e)(f) |
Expenses Excluding Interest Expense(e) |
Expenses Excluding Interest Expense and Waivers(e) |
Net Investment Income (Loss)(e) |
ARPS Asset Coverage Per Share(b) |
VMTP Asset Coverage Per Share** |
Portfolio Turnover Rate |
|||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||
$ | 10.67 | $ | 10.47 | (7.67 | )% | $ | 119,014 | 2.15 | % | 2.15 | % | 1.40 | % | 1.40 | % | 6.64 | % | $ | 62,655 | $ | 250,600 | 24 | % | |||||||||||||||||||||||
11.17 | 12.00 | 5.77 | 124,295 | 1.63 | 1.63 | 1.35 | 1.35 | 6.51 | 64,320 | N/A | 16 | |||||||||||||||||||||||||||||||||||
10.71 | 11.98 | 3.28 | 118,817 | 1.42 | 1.42 | 1.33 | 1.33 | 6.22 | 62,593 | N/A | 20 | |||||||||||||||||||||||||||||||||||
11.41 | 12.35 | 4.36 | 126,085 | 1.35 | * | 1.35 | * | 1.33 | * | 1.33 | * | 6.48 | * | 64,898 | N/A | 7 | ||||||||||||||||||||||||||||||
11.28 | 12.32 | 9.89 | 124,424 | 1.40 | 1.40 | 1.33 | 1.33 | 6.65 | 64,373 | N/A | 7 | |||||||||||||||||||||||||||||||||||
10.98 | 12.01 | 7.83 | 120,520 | 1.51 | 1.51 | 1.45 | 1.45 | 7.30 | 63,139 | N/A | 5 |
ANNUAL REPORT | DECEMBER 31, 2018 | 21 |
Statements of Assets and Liabilities
(Amounts in thousands, except per share amounts) | PIMCO Municipal Income Fund |
PIMCO Municipal Income Fund II |
PIMCO Municipal Income Fund III |
PIMCO California Municipal Income Fund |
||||||||||||
Assets: |
||||||||||||||||
Investments, at value |
||||||||||||||||
Investments in securities* |
$ | 589,458 | $ | 1,380,355 | $ | 641,533 | $ | 486,937 | ||||||||
Cash |
0 | 0 | 1 | 1 | ||||||||||||
Interest and/or dividends receivable |
7,664 | 16,222 | 7,774 | 6,899 | ||||||||||||
Other assets |
46 | 1,020 | 55 | 45 | ||||||||||||
Total Assets |
597,168 | 1,397,597 | 649,363 | 493,882 | ||||||||||||
Liabilities: |
||||||||||||||||
Borrowings & Other Financing Transactions |
||||||||||||||||
Payable for tender option bond floating rate certificates |
$ | 86,762 | $ | 298,694 | $ | 112,388 | $ | 91,729 | ||||||||
Variable Rate MuniFund Term Preferred Shares, at liquidation value** |
23,130 | 68,328 | 34,087 | 29,106 | ||||||||||||
Payable for investments purchased |
0 | 3,045 | 0 | 0 | ||||||||||||
Distributions payable to common shareholders |
1,537 | 4,048 | 1,835 | 1,446 | ||||||||||||
Distributions payable to auction rate preferred shareholders |
68 | 122 | 62 | 45 | ||||||||||||
Accrued management fees |
294 | 613 | 310 | 232 | ||||||||||||
Other liabilities |
364 | 759 | 424 | 393 | ||||||||||||
Total Liabilities |
112,155 | 375,609 | 149,106 | 122,951 | ||||||||||||
Auction Rate Preferred Shares ($0.00001 par value and $25,000 liquidation preference per share) |
166,700 | 298,275 | 154,700 | 120,625 | ||||||||||||
Net Assets Applicable to Common Shareholders |
$ | 318,313 | $ | 723,713 | $ | 345,557 | $ | 250,306 | ||||||||
Net Assets Applicable to Common Shareholders Consist of: |
||||||||||||||||
Par value^ |
$ | 0 | $ | 1 | $ | 0 | $ | 0 | ||||||||
Paid in capital in excess of par |
286,423 | 651,991 | 313,665 | 226,580 | ||||||||||||
Distributable earnings (accumulated loss) |
31,890 | 71,721 | 31,892 | 23,726 | ||||||||||||
Net Assets Applicable to Common Shareholders |
$ | 318,313 | $ | 723,713 | $ | 345,557 | $ | 250,306 | ||||||||
Net Asset Value Per Common Share |
$ | 12.36 | $ | 11.62 | $ | 10.49 | $ | 13.32 | ||||||||
Common Shares Outstanding |
25,751 | 62,282 | 32,943 | 18,784 | ||||||||||||
Auction Rate Preferred Shares Issued and Outstanding |
7 | 12 | 6 | 5 | ||||||||||||
Cost of investments in securities |
$ | 559,144 | $ | 1,322,995 | $ | 608,202 | $ | 470,414 | ||||||||
* Includes repurchase agreements of: |
$ | 3,248 | $ | 36,462 | $ | 1,750 | $ | 229 | ||||||||
** Includes unamortized debt issuance cost of: |
$ | 170 | $ | 372 | $ | 213 | $ | 193 |
| A zero balance may reflect actual amounts rounding to less than one thousand. |
^ | ($0.00001 per share) |
22 | PIMCO CLOSED-END FUNDS | See Accompanying Notes |
December 31, 2018
PIMCO California Municipal Income Fund II |
PIMCO California Municipal Income Fund III |
PIMCO New York Municipal Income Fund |
PIMCO New York Municipal Income Fund II |
|||||||||||
$ | 496,094 | $ | 405,137 | $ | 151,743 | $ | 222,793 | |||||||
0 | 0 | 0 | 1 | |||||||||||
6,380 | 5,515 | 2,022 | 2,701 | |||||||||||
25 | 28 | 531 | 11 | |||||||||||
502,499 | 410,680 | 154,296 | 225,506 | |||||||||||
$ | 72,613 | $ | 73,334 | $ | 24,755 | $ | 26,348 | |||||||
34,087 | 26,915 | 0 | 20,840 | |||||||||||
0 | 0 | 0 | 0 | |||||||||||
1,120 | 1,003 | 444 | 566 | |||||||||||
53 | 44 | 22 | 17 | |||||||||||
248 | 197 | 82 | 119 | |||||||||||
458 | 338 | 55 | 602 | |||||||||||
108,579 | 101,831 | 25,358 | 48,492 | |||||||||||
|
128,675 |
|
97,875 | 41,025 | 58,000 | |||||||||
$ | 265,245 | $ | 210,974 | $ | 87,913 | $ | 119,014 | |||||||
$ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||
235,767 | 196,136 | 82,603 | 113,648 | |||||||||||
29,478 | 14,838 | 5,310 | 5,366 | |||||||||||
$ | 265,245 | $ | 210,974 | $ | 87,913 | $ | 119,014 | |||||||
$ | 8.29 | $ | 9.46 | $ | 11.29 | $ | 10.67 | |||||||
31,997 | 22,293 | 7,790 | 11,158 | |||||||||||
5 | 4 | 2 | 2 | |||||||||||
$ | 470,449 | $ | 390,699 | $ | 147,348 | $ | 214,178 | |||||||
$ | 3,336 | $ | 190 | $ | 742 | $ | 5,433 | |||||||
$ | 213 | $ | 185 | $ | 0 | $ | 160 |
ANNUAL REPORT | DECEMBER 31, 2018 | 23 |
Year Ended December 31, 2018 | ||||||||||||||||
(Amounts in thousands) | PIMCO Municipal Income Fund |
PIMCO Municipal Income Fund II |
PIMCO Municipal Income Fund III |
PIMCO California Municipal Income Fund |
||||||||||||
Investment Income: |
||||||||||||||||
Interest |
$ | 28,650 | $ | 64,634 | $ | 31,677 | $ | 22,664 | ||||||||
Total Income |
28,650 | 64,634 | 31,677 | 22,664 | ||||||||||||
Expenses: |
||||||||||||||||
Management fees |
3,598 | 7,502 | 3,808 | 2,849 | ||||||||||||
Trustee fees and related expenses |
45 | 95 | 48 | 36 | ||||||||||||
Interest expense |
1,743 | 5,826 | 2,471 | 2,221 | ||||||||||||
Auction agent fees and commissions |
203 | 422 | 230 | 153 | ||||||||||||
Auction rate preferred shares related expenses |
109 | 236 | 134 | 119 | ||||||||||||
Miscellaneous expense |
3 | 19 | 17 | 10 | ||||||||||||
Total Expenses |
5,701 | 14,100 | 6,708 | 5,388 | ||||||||||||
Net Investment Income (Loss) |
22,949 | 50,534 | 24,969 | 17,276 | ||||||||||||
Net Realized Gain (Loss): |
||||||||||||||||
Investments in securities |
4,438 | 6,957 | 2,476 | 6,731 | ||||||||||||
Net Realized Gain (Loss) |
4,438 | 6,957 | 2,476 | 6,731 | ||||||||||||
Net Change in Unrealized Appreciation (Depreciation): |
||||||||||||||||
Investments in securities |
(21,320 | ) | (43,230 | ) | (21,517 | ) | (24,288 | ) | ||||||||
Net Change in Unrealized Appreciation (Depreciation) |
(21,320 | ) | (43,230 | ) | (21,517 | ) | (24,288 | ) | ||||||||
Net Increase (Decrease) in Net Assets Resulting from Operations |
$ | 6,067 | $ | 14,261 | $ | 5,928 | $ | (281 | ) | |||||||
Distributions on Auction Rate Preferred Shares from Net Investment and/or Net Realized Capital Gains |
$ | (4,241 | ) | $ | (8,007 | ) | $ | (4,132 | ) | $ | (3,267 | ) | ||||
Net Increase (Decrease) in Net Assets Applicable to Common Shareholders Resulting from Operations |
$ | 1,826 | $ | 6,254 | $ | 1,796 | $ | (3,548 | ) |
| A zero balance may reflect actual amounts rounding to less than one thousand. |
24 | PIMCO CLOSED-END FUNDS | See Accompanying Notes |
PIMCO California Municipal Income Fund II |
PIMCO California Municipal Income Fund III |
PIMCO New York Municipal Income Fund |
PIMCO New York Municipal Income Fund II |
|||||||||||
$ | 22,380 | $ | 18,835 | $ | 7,099 | $ | 10,518 | |||||||
22,380 | 18,835 | 7,099 | 10,518 | |||||||||||
3,030 | 2,416 | 1,038 | 1,459 | |||||||||||
37 | 30 | 12 | 18 | |||||||||||
1,564 | 1,883 | 484 | 893 | |||||||||||
220 | 125 | 45 | 101 | |||||||||||
132 | 110 | 44 | 91 | |||||||||||
18 | 1 | 3 | 17 | |||||||||||
5,001 | 4,565 | 1,626 | 2,579 | |||||||||||
17,379 | 14,270 | 5,473 | 7,939 | |||||||||||
3,696 | 3,287 | (443 | ) | (198 | ) | |||||||||
3,696 | 3,287 | (443 | ) | (198 | ) | |||||||||
(21,961 | ) | (18,393 | ) | (5,572 | ) | (8,010 | ) | |||||||
(21,961 | ) | (18,393 | ) | (5,572 | ) | (8,010 | ) | |||||||
$ |
(886 |
) |
$ | (836 | ) | $ | (542 | ) | $ | (269 | ) | |||
$ | (3,525 | ) | $ | (2,691 | ) | $ | (1,045 | ) | $ | (1,679 | ) | |||
$ |
(4,411 |
) |
$ | (3,527 | ) | $ | (1,587 | ) | $ | (1,948 | ) |
ANNUAL REPORT | DECEMBER 31, 2018 | 25 |
Statements of Changes in Net Assets
PIMCO Municipal Income Fund |
PIMCO Municipal Income Fund II |
|||||||||||||||
(Amounts in thousands) | Year Ended December 31, 2018 |
Year Ended December 31, 2017 |
Year Ended December 31, 2018 |
Year Ended December 31, 2017 |
||||||||||||
Increase (Decrease) in Net Assets from: |
||||||||||||||||
Operations: |
||||||||||||||||
Net investment income (loss) |
$ | 22,949 | $ | 23,408 | $ | 50,534 | $ | 50,249 | ||||||||
Net realized gain (loss) |
4,438 | (1,751 | ) | 6,957 | 751 | |||||||||||
Net change in unrealized appreciation (depreciation) |
(21,320 | ) | 10,872 | (43,230 | ) | 22,225 | ||||||||||
Net Increase (Decrease) in Net Assets Applicable to Common Shareholders Resulting from Operations |
6,067 | 32,529 | 14,261 | 73,225 | ||||||||||||
Distributions on auction rate preferred shares from net investment income and/or net realized capital gains* |
(4,241 | ) | (2,622 | ) | (8,007 | ) | (5,064 | ) | ||||||||
Net Increase (Decrease) in Net Assets Applicable to Common Shareholders Resulting from Operations |
1,826 | 29,907 | 6,254 | 68,161 | ||||||||||||
Distributions to Common Shareholders: |
||||||||||||||||
From net investment income and/or net realized capital gains* |
(18,413 | ) | (18,916 | ) | (48,454 | ) | (48,197 | ) | ||||||||
Tax basis return of capital |
0 | 0 | 0 | 0 | ||||||||||||
Total Distributions to Common Shareholders(a) |
(18,413 | ) | (18,916 | ) | (48,454 | ) | (48,197 | ) | ||||||||
Auction Rate Preferred Share Transactions**: |
||||||||||||||||
Net Increase (Decrease) resulting from tender of Auction Rate Preferred Shares |
3,495 | 0 | 10,309 | 0 | ||||||||||||
Common Share Transactions***: |
||||||||||||||||
Issued as reinvestment of distributions |
882 | 1,059 | 4,267 | 3,860 | ||||||||||||
Total increase (decrease) in net assets applicable to common shareholders |
(12,210 | ) | 12,050 | (27,624 | ) | 23,824 | ||||||||||
Net Assets Applicable to Common Shareholders: |
||||||||||||||||
Beginning of year |
330,523 | 318,473 | 751,337 | 727,513 | ||||||||||||
End of year |
$ | 318,313 | $ | 330,523 | $ | 723,713 | $ | 751,337 | ||||||||
*** Common Share Transactions: |
||||||||||||||||
Shares issued as reinvestment of distributions |
71 | 80 | 347 | 314 |
| A zero balance may reflect actual amounts rounding to less than one thousand. |
* | See Note 2, New Accounting Pronouncements, in the Notes to Financials Statements for more information. |
** | See Note 12, Auction Rate Preferred Shares, in the Notes to Financials Statements. |
(a) | The tax characterization of distributions is determined in accordance with Federal income tax regulations. See Note 2, DistributionsCommon Shares, in the Notes to Financial Statements for more information. |
26 | PIMCO CLOSED-END FUNDS | See Accompanying Notes |
PIMCO Municipal Income Fund III |
PIMCO California Municipal Income Fund |
PIMCO California Municipal Income Fund II |
PIMCO California Municipal Income Fund III |
|||||||||||||||||||||||||||
Year Ended December 31, 2018 |
Year Ended December 31, 2017 |
Year Ended December 31, 2018 |
Year Ended December 31, 2017 |
Year Ended December 31, 2018 |
Year Ended December 31, 2017 |
Year Ended December 31, 2018 |
Year Ended December 31, 2017 |
|||||||||||||||||||||||
$ | 24,969 | $ | 25,374 | $ | 17,276 | $ | 18,076 | $ | 17,379 | $ | 19,045 | $ | 14,270 | $ | 14,805 | |||||||||||||||
2,476 | 8,779 | 6,731 | 1,030 | 3,696 | 3,228 | 3,287 | 2,790 | |||||||||||||||||||||||
(21,517 | ) | 3,381 | (24,288 | ) | 7,068 | (21,961 | ) | 7,655 | (18,393 | ) | 4,888 | |||||||||||||||||||
5,928 | 37,534 | (281 | ) | 26,174 |
|
(886 |
) |
29,928 | (836 | ) | 22,483 | |||||||||||||||||||
(4,132 | ) | (2,608 | ) | (3,267 | ) | (2,067 | ) | |
(3,525 |
) |
(2,249 | ) | (2,691 | ) | (1,727 | ) | ||||||||||||||
1,796 | 34,926 | (3,548 | ) | 24,107 | |
(4,411 |
) |
27,679 | (3,527 | ) | 20,756 | |||||||||||||||||||
(25,618 |