UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM N-Q

       OMB APPROVAL
OMB Number: 3235-0578
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QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

Investment Company Act File Number: 811-21238

Registrant Name: Nicholas-Applegate Convertible & Income Fund II

Address of Principal Executive Offices: 1345 Avenue of the Americas New York, New York 10105

Name and Address of Agent for Service: Lawrence G. Altadonna – 1345 Avenue of the Americas New York, New York 10105

Registrant’s telephone number, including area code: 212-739-3371

Date of Fiscal Year End: February 28, 2007

Date of Reporting Period: November 30, 2006

Form N-Q is to be used by the registered management investment company, other than a small business investment company registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b 1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1 -5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to the collection of information contained in Form N-Q 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 the 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. Schedule of Investments

Nicholas-Applegate Convertible & Income Fund II Schedule of Investments 
November 30, 2006 (unaudited) 
Principal        
Amount     Credit Rating    
(000)     (Moody's/S&P)   Value*
CORPORATE BONDS & NOTES-40.3%     
  Advertising-0.7%     
$9,150   Affinion Group, Inc., 11.50%, 10/15/15  Caa1/B-   $ 9,653,250 
 
  Apparel-1.1%     
  Levi Strauss & Co.,     
2,000    9.75%, 1/15/15  B3/B-   2,147,500 
11,010    12.25%, 12/15/12  B3/B-   12,289,913 
      14,437,413 
  Automotive-1.2%     
6,430   General Motors Corp., 8.375%, 7/15/33  Caa1/B-   5,859,337 
9,260   Goodyear Tire & Rubber Co., 11.25%, 3/1/11  B2/B-   10,255,450 
      16,114,787 
  Chemicals-3.1%     
6,910   Georgia Gulf Corp., 10.75%, 10/15/16 (a)  B2/B   6,581,775 
3,998   Huntsman LLC, 11.625%, 10/15/10  Ba3/BB-   4,417,790 
  Lyondell Chemical Co.,     
4,315    10.875%, 5/1/09  B2/B   4,401,300 
4,565    11.125%, 7/15/12  Ba2/BB   4,941,613 
11,410   Mosaic Global Holdings, Inc., 11.25%, 6/1/11, Ser. B  B1/BB   12,051,813 
4,765   PolyOne Corp., 10.625%, 5/15/10  B2/B+   5,098,550 
3,609   Rhodia S.A., 10.25%, 6/1/10  B2/B-   4,123,283 
      41,616,124 
  Coal-0.5%     
7,190   James River Coal Co., 9.375%, 6/1/12  Caa2/CCC-   6,327,200 
 
  Commercial Services-2.1%     
8,470   Cenveo Corp., 7.875%, 12/1/13  B3/B-   8,173,550 
8,285   Hertz Corp., 10.50%, 1/1/16 (a)  B2/B   9,030,650 
10,585   Vertrue, Inc., 9.25%, 4/1/14  Ba3/B   11,061,325 
      28,265,525 
  Computers-0.5%     
7,235   Unisys Corp., 8.00%, 10/15/12  B2/B+   7,054,125 
 
  Electric-2.5%     
10,645   AES Corp., 9.50%, 6/1/09  B1/B   11,390,150 
10,250   Mission Energy Holdings Co., 13.50%, 7/15/08  B2/B-   11,377,500 
10,570   PSEG Energy Holdings LLC, 10.00%, 10/1/09  Ba3/BB-   11,574,150 
      34,341,800 
  Electronics-1.4%     
10,725   IMAX Corp., 9.625%, 12/1/10  Caa1/B-   9,250,312 
10,335   Stoneridge, Inc., 11.50%, 5/1/12  B2/B   10,438,350 
      19,688,662 
  Financial Services-2.8%     
9,400   Alamosa Delaware, Inc., 11.00%, 7/31/10  Baa3/BBB+   10,198,069 
6,755   AMR Holdings Co., 10.00%, 2/15/15  B3/B-   7,312,288 
9,205   Ford Motor Credit Co., 7.00%, 10/1/13  B1/B   8,829,003 
4,370   MedCath Holdings Corp., 9.875%, 7/15/12  Caa1/B-   4,697,750 
6,450   Sally Holdings LLC, 10.50%, 11/15/16 (a)  Caa1/CCC+   6,619,312 
      37,656,422 
  Food Products-0.8%     
10,815   Pilgrim's Pride Corp., 9.625%, 9/15/11  Ba3/BB-   11,355,750 
 
  Healthcare-0.8%     
6,325   Alliance Imaging, Inc., 7.25%, 12/15/12  B3/B-   5,882,250 
5,525   Hanger Orthopedic Group, Inc., 10.25%, 6/1/14  Caa2/CCC+   5,676,937 
      11,559,187 
  Home Builders-0.7%     
10,260   William Lyon Homes, Inc., 10.75%, 4/1/13  B3/B   9,670,050 
 
  Home Furnishings-1.8%     
9,670   Central Garden & Pet Co., 9.125%, 2/1/13  B2/B   10,056,800 
13,400   Jarden Corp., 9.75%, 5/1/12  B3/B-   14,170,500 
      24,227,300 
  Machinery-0.8%     
10,730   Case New Holland, Inc., 9.25%, 8/1/11  Ba3/BB   11,387,213 

Nicholas-Applegate Convertible & Income Fund II Schedule of Investments 
November 30, 2006 (unaudited) 
Principal        
Amount     Credit Rating    
(000)     (Moody's/S&P)   Value*
  Manufacturing-0.4%     
$5,825   Clarke American Corp., 11.75%, 12/15/13  B3/B-   $ 6,058,000 
 
  Metals & Mining-2.5%     
6,490   AK Steel Corp., 7.875%, 2/15/09  B2/B+   6,490,000 
9,835   Freeport-McMoRan Copper & Gold, Inc., 10.125%, 2/1/10  B1/B+   10,375,925 
4,145   PNA Group, Inc., 10.75%, 9/1/16 (a)  B3/B-   4,290,075 
11,450   United States Steel LLC, 10.75%, 8/1/08  Ba1/BB   12,451,875 
      33,607,875 
  Miscellaneous-0.7%     
8,797   Dow Jones CDX High Yield, 10.50%, 12/29/09 (a) (b)  NR/NR   9,358,340 
 
  Multi-Media-1.8%     
12,291   CCH I LLC, 11.00%, 10/1/15  Caa2/CCC-   12,106,635 
3,725   Lodgenet Entertainment Corp., 9.50%, 6/15/13  B2/B-   3,985,750 
9,165   Sirius Satellite Radio, Inc., 9.625%, 8/1/13  Caa1/CCC   9,096,262 
      25,188,647 
  Office Furnishings-1.1%     
  Interface, Inc.,     
4,625    9.50%, 2/1/14  B3/CCC+   4,833,125 
5,625    10.375%, 2/1/10  B1/B   6,145,313 
3,199   Tempur-Pedic, Inc., 10.25%, 8/15/10  B2/B   3,454,920 
      14,433,358 
  Oil & Gas- 0.5%     
5,000   Seitel, Inc., 11.75%, 7/15/11  B3/NR   6,225,000 
 
  Paper Products-1.1%     
4,013   Buckeye Technologies, Inc., 9.25%, 9/15/08  Caa1/B   4,013,000 
11,055   NewPage Corp., 12.00%, 5/1/13  B3/CCC+   11,663,025 
      15,676,025 
  Pharmaceuticals-0.5%     
6,085   Leiner Health Products, Inc., 11.00%, 6/1/12  Caa1/CCC   6,176,275 
 
  Pipelines-0.9%     
12,240   Sonat, Inc., 7.625%, 7/15/11  B2/B   12,699,000 
 
  Retail-4.2%     
12,160   Bon-Ton Stores, Inc., 10.25%, 3/15/14  B3/B-   12,524,800 
4,580   EPL Finance Corp., 11.75%, 11/15/13  Caa1/CCC+   4,877,700 
1,910   GSC Holdings Corp., 8.00%, 10/1/12  B1/B+   1,991,175 
6,671   Mothers Work, Inc., 11.25%, 8/1/10  Caa1/B   7,046,244 
8,290   Neiman-Marcus Group, Inc., 10.375%, 10/15/15  B3/B-   9,170,813 
10,000   R.H. Donnelley, Inc., 10.875%, 12/15/12  B2/B   10,900,000 
9,690   Star Gas Partners L.P., 10.25%, 2/15/13, Ser. B  Caa3/B-   10,041,262 
      56,551,994 
  Semi-Conductors-0.5%     
6,910   Freescale Semiconductor, Inc., 10.125%, 12/15/16 (a)  B2/B   6,987,737 
 
  Telecommunications-4.1%     
7,225   Hawaiian Telcom Communications, Inc., 12.50%, 5/1/15, Ser. B  B3/CCC+   7,532,063 
10,600   Intelsat Bermuda Ltd, 11.25%, 6/15/16 (a)  Caa1/B   11,620,250 
10,948   Level 3 Financing, Inc., 12.25%, 3/15/13  B2/CCC-   12,371,240 
12,350   Millicom International Cellular S.A., 10.00%, 12/1/13  B2/B-   13,384,312 
10,820   Nortel Networks Ltd, 10.75%, 7/15/16 (a)  B3/B-   11,590,925 
      56,498,790 
  Transportation-0.4%     
5,210   PHI, Inc., 7.125%, 4/15/13 (a)  B2/BB-   5,001,600 
 
  Travel Services-0.8%     
11,060   TDS Investor Corp., 11.875%, 9/1/16 (a)  Caa1/B-   10,866,450 
 
  Total Corporate Bonds & Notes (cost-$536,952,440)    548,683,899 

Nicholas-Applegate Convertible & Income Fund II Schedule of Investments 
November 30, 2006 (unaudited) 
Shares     Credit Rating    
(000)     (Moody's/S&P)   Value*
CONVERTIBLE PREFERRED STOCK-29.2%     
  Automotive-2.3%     
483   Ford Motor Co., Capital Trust II, 6.50%, 1/15/32  Caa2/CCC-   $ 16,756,630 
680   General Motors Corp., 5.25%, 3/6/32, Ser. B  Caa1/B-   14,123,600 
      30,880,230 
  Banking-1.1%     
263   Washington Mutual Capital Trust, 5.375%, 5/3/41  Baa1/BBB   14,608,125 
 
  Commercial Services-1.0%     
287   United Rentals, Inc., 6.50%, 8/1/28  B3/B-   14,054,327 
 
  Electric-3.6%     
350   AES Trust III, 6.75%, 10/15/29  B3/B   17,220,262 
278   Entergy Corp., 7.625%, 2/17/09  NR/BBB   16,435,360 
58   NRG Energy, Inc., 5.75%, 3/16/09  B2/CCC+   15,848,500 
      49,504,122 
  Financial Services-10.9%     
490   Citigroup Funding, Inc., 0.00%, 9/27/08, Ser. GNW (c)  Aa1/AA-   15,435,000 
370   E*Trade Financial Corp., 6.125%, 11/18/08  Ba3/NA   11,483,950 
616   Goldman Sachs Group, Inc., 12.00%, 12/12/07, Ser. CSCO  NR/NR   16,410,830 
  Lehman Brothers Holdings, Inc.,     
650    6.25%, 10/15/07, Ser. GIS  A1/A+   17,745,000 
455    20.00%, 3/17/07, Ser. HPQ  A1/A+   15,160,600 
235    20.00%, 8/15/07, Ser. UTX  A1/A+   14,187,349 
  Morgan Stanley,     
190    20.00%, 12/14/06, Ser. WLP  NR/A+   12,867,750 
250    20.00%, 12/22/06, Ser. XOM  Aa3/A+   15,054,048 
535    20.00%, 3/9/07, Ser. T  Aa3/A+   14,923,825 
492    20.00%, 6/2/07, Ser. DIS  Aa3/A+   14,416,070 
      147,684,422 
  Insurance-4.5%     
408   Genworth Financial, Inc., 6.00%, 5/16/07  A2/A   14,376,600 
526   Metlife, Inc., 6.375%, 8/15/08  NR/BBB+   15,943,670 
470   Platinum Underwriters Holdings Ltd, 6.00%, 2/15/09, Ser. A  NR/BB+   14,217,500 
707   XL Capital Ltd, 6.50%, 5/15/07  A3/A-   16,289,280 
      60,827,050 
  Oil & Gas-1.1%     
138   Chesapeake Energy Corp., 5.00%, 12/31/49  NR/B   15,571,400 
 
  Pharmaceuticals-1.2%     
304   Schering-Plough Corp., 6.00%, 9/14/07  Baa3/BBB   16,486,304 
 
  Real Estate-1.1%     
606   FelCor Lodging Trust, Inc., 1.95%, 12/31/49, Ser. A, REIT  B2/B-   15,364,562 
 
  Telecommunications-1.3%     
310   Crown Castle International Corp., 6.25%, 8/15/12  NR/NR   17,282,500 
 
  Waste Disposal-1.1%     
45   Allied Waste Industries, Inc., 6.25%, 3/1/08, Ser. D  Caa1/B   15,265,600 
 
  Total Convertible Preferred Stock (cost-$384,106,978)    397,528,642 
         
 
CONVERTIBLE BONDS & NOTES-24.0%     
Principal        
Amount        
(000)        
  Airlines-1.3%     
$16,300   Continental Airlines, Inc., 4.50%, 2/1/07  Caa1/CCC+   17,502,125 
 
  Banks-0.8%     
11,000   UBS AG Jersey Branch, 22.00%, 8/15/07 (a)  NR/NR   11,206,250 
 
  Commercial Services-3.0%     
10,125   Bowne & Co., Inc., 5.00%, 10/1/33  B2/B-   10,509,750 
11,000   Memberworks, Inc., 5.50%, 10/1/10  NR/B-   12,526,250 
17,985   Quebecor World USA, Inc., 6.00%, 10/1/07  Caa1/B-   17,782,669 
      40,818,669 
  Computers-1.2%     
14,400   Maxtor Corp., 6.80%, 4/30/10  Ba1/NR   16,488,000 

Nicholas-Applegate Convertible & Income Fund II Schedule of Investments 
November 30, 2006 (unaudited) 
Principal        
Amount     Credit Rating    
(000)     (Moody's/S&P)   Value*
  Electric-1.3%     
$5,425   PG&E Corp., 9.50%, 6/30/10  NR/NR   $ 18,011,000 
 
  Multi-Media-1.4%     
18,500   EchoStar Communications Corp., 5.75%, 5/15/08  B1/B   18,870,000 
 
  Oil & Gas-1.3%     
12,500   Devon Energy Corp., 4.95%, 8/15/08  Baa2/BBB   17,203,125 
 
  Pharmaceuticals-1.4%     
18,550   Sepracor, Inc., 5.00%, 2/15/07  NR/B-   18,550,000 
 
  Retail-1.3%     
18,535   Sonic Automotive, Inc., 5.25%, 5/7/09  B2/B   17,654,588 
 
  Semi-Conductors-2.1%     
14,300   Amkor Technology, Inc., 5.00%, 3/15/07, Ser. AMKR  Caa3/CCC   14,282,125 
15,000   Fairchild Semiconductor Corp., 5.00%, 11/1/08  NR/B   14,943,750 
      29,225,875 
  Telecommunications-7.4%     
16,250   American Tower Corp., 5.00%, 2/15/10  Ba3/BB-   16,270,312 
13,600   CenturyTel, Inc., 4.75%, 8/1/32  Baa2/BBB   14,705,000 
2,800   Ciena Corp., 3.75%, 2/1/08  B2/B   2,726,500 
17,500   Level 3 Communications, Inc., 6.00%, 3/15/10  Caa3/CCC-   16,012,500 
17,500   Lucent Technologies, Inc., 8.00%, 8/1/31  B2/B   17,609,375 
18,500   Nextel Communications, Inc., 5.25%, 1/15/10  Baa3/BBB+   18,361,250 
15,440   Nortel Networks Corp., 4.25%, 9/1/08  B3/B-   14,918,900 
      100,603,837 
  Trucking/Leasing-1.5%     
15,150   GATX Corp., 7.50%, 2/1/07  Baa3/BBB   20,585,062 
 
  Total Convertible Bonds & Notes (cost-$318,097,895)    326,718,531 
         
 
U.S. GOVERNMENT SECURITIES-1.8%     
  United States Treasury Notes,     
9,215    10.375%, 11/15/12    9,687,638 
13,725    12.00%, 8/15/13    15,366,647 
  Total U.S. Government Securities (cost-$27,196,356)    25,054,285 
         
 
Common Stock-0.5%     
Shares        
(000 )       
  Oil & Gas-0.5%     
147   Hess Corp. (cost-$3,960,233)    7,389,589 
         
 
SHORT-TERM INVESTMENTS-4.2%     
Principal        
Amount        
(000 )       
  Corporate Bonds & Notes-1.0%     
  Hotels/Gaming-0.8%     
$11,080   Mandalay Resort Group, Inc., 10.25%, 8/1/07, Ser. B  B1/B+   11,384,700 
 
  Real Estate-0.2%     
2,285   Host Marriot L.P., 9.50%, 1/15/07, Ser. I, REIT  NR/NR   2,293,569 
 
  Total Corporate Bonds & Notes (cost-$13,603,856)    13,678,269 
 
  Time Deposit-3.2%     
42,937   Bank of America – London, 4.61%, 12/1/06    42,937,098 
 (cost-$42,937,098) 
 
  Total Short-Term Investments (cost-$56,540,954)    56,615,367 
 
  Total Investments (cost-$1,326,854,856)—100.0%    $ 1,361,990,313 
         

Other Investments:  

Interest rate cap agreement outstanding at November 30, 2006:

  Notional  Termination    Payment received  Unrealized
Counterparty  Amount  Date  Premium  by Fund  Depreciation
UBS AG  $505,000,000  1/15/08  $14,468,250  1 month LIBOR-BBA  $(2,589,250)
        over 3% strike price 

Nicholas-Applegate Convertible & Income Fund II Schedule of Investments 
November 30, 2006 (unaudited) 
 
Notes to Schedule of Investments

* Portfolio securities and other financial instruments for which market quotations are readily available are stated at market value. Portfolio securities and other financial instruments for which market quotations are not readily available or if a development/event occurs that may significantly impact the value of a security, are fair-valued, in good faith, pursuant to guidelines established by the Board of Trustees. The Fund's investments are valued daily by an independent pricing service or dealer quotations or by using the last sale price on the exchange that is the primary market for such securities, or the last quoted bid price on corporate bonds and notes or the last quoted mean price on convertible securities for which the over-the- counter market is the primary market or for listed securities in which there were no sales. Independent pricing services use information provided by market makers or estimates of market values obtained from yield data relating to investments or securities with similar characteristics. Short-term securities maturing in 60 days or less are valued at amortized cost, if their original term to maturity was 60 days or less, or by amortizing their value on the 61st day prior to maturity, if the original term to maturity exceeded 60 days. The prices used by the Fund to value securities may differ from the value that would be realized if the securities were sold. The Fund's net asset value is determined daily as of the close of regular trading (normally, 4:00 p.m. Eastern time) on the New York Stock Exchange (“NYSE”) on each day the NYSE is open for business.
 
(a) 144A-security - Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, typically only to qualified institutional buyers. Unless otherwise indicated these securities are not considered to be illiquid.
 
(b) Credit-linked trust certificate.
 
(c) Variable rate security. Interest rate disclosed reflects the rate in effect on November 30, 2006.

Glossary:
LIBOR - London Interbank Offered Rate
NR - Not Rated
REIT - Real Estate Investment Trust

Item 2. Controls and Procedures

(a) The registrant’s President and Chief Executive Officer and Principal Financial Officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-2(c) under the Investment Company Act of 1940, as amended are effective based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b) There were no significant changes in the registrant’s internal controls or in factors that could affect these controls subsequent to the date of their evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.

Item 3. Exhibits

(a) Exhibit 99.302 Cert. – Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Registrant: Nicholas-Applegate Convertible & Income Fund II

By /s/ Brian S. Shlissel
President & Chief Executive Officer

Date: January 24, 2007

By /s/ Lawrence G. Altadonna
Treasurer, Principal Financial & Accounting Officer

Date: January 24, 2007

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dated indicated.

By /s/ Brian S. Shlissel
President & Chief Executive Officer

Date: January 24, 2007

By /s/ Lawrence G. Altadonna
Treasurer, Principal Financial & Accounting Officer

Date: January 24, 2007