PIMCO California Muni Fund (NYSE: PCQ) cuts CA bond floor to 80%

Rhea-AI Filing Summary

PIMCO California Municipal Income Fund is easing one of its investment guidelines. The Board of Trustees approved reducing the Fund’s minimum guideline for California municipal bonds from 90% to 80% of net assets, effective October 20, 2025, giving the portfolio more flexibility.

The Fund will, under normal circumstances, invest at least 80% of its net assets in bonds whose interest is exempt from California income taxes. Separately, it will continue to follow its fundamental policy to invest at least 80% of its assets in investments whose income is exempt from both federal and California state income taxes. The change will appear in the annual shareholder report for the period ended December 31, 2025.

8-K Event Classification

Item 8.01 — Other Events

1 item

Item 8.01 Other Events Other

Voluntary disclosure of events the company deems important to shareholders but not covered by other items.

Understanding 8-K Material Events →

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported) September 19, 2025

PIMCO California Municipal Income Fund

(Exact Name of Registrant as Specified in Its Charter)

Massachusetts

(State or Other Jurisdiction of Incorporation)

811-10379		13-4174445
(Commission File Number)		(IRS Employer Identification No.)

1633 Broadway, New York, NY		10019
(Address of Principal Executive Offices)		(Zip Code)

(844) 337-4626

(Registrant’s Telephone Number, Including Area Code)

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common shares		PCQ		New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 8.01 Other Events.

On September 17, 2025, the Board of Trustees (the “Board”) of the PIMCO California Municipal Income Fund (the “Fund”) approved a change to the Fund’s non-fundamental investment guidelines to reduce the Fund’s minimum investment guideline for California Municipal Bonds (as defined below) from 90% to 80%. Accordingly, effective as of October 20, 2025, the Fund will invest, under normal circumstances, at least 80% of its net assets in municipal bonds which pay interest that, in the opinion of bond counsel to the issuer (or on the basis of other authority believed by PIMCO to be reliable), is exempt from California income taxes (i.e., excluded from gross income for California income tax purposes) (“California Municipal Bonds”). The Fund will continue to invest in accordance with its fundamental policy to, under normal circumstances, invest at least 80% of its “assets” (as that term is defined in Rule 35d-1 under the Investment Company Act of 1940, as amended), measured at the time of investment, in investments the income from which is, in the opinion of bond counsel to the issuer (or on the basis of other authority believed by the Fund’s portfolio manager to be reliable), exempt from federal and California state income taxes.

The change will be reflected in the Fund’s shareholder reports beginning with the Fund’s annual shareholder report on Form N-CSR for the 12-month reporting period ended December 31, 2025.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

PIMCO California Municipal Income Fund
By:		/s/ Ryan G. Leshaw
Name:		Ryan G. Leshaw
Title:		Secretary and Chief Legal Officer

Date: September 19, 2025

FAQ

What change did PIMCO California Municipal Income Fund (PCQ) make to its investment guidelines?

The Fund reduced its minimum guideline for California municipal bonds from 90% to 80% of net assets. This gives managers more flexibility while still focusing primarily on securities whose interest is exempt from California income taxes under normal circumstances.

When does the new 80% California municipal bond guideline for PCQ take effect?

The new 80% minimum guideline for California Municipal Bonds becomes effective October 20, 2025. From that date, the Fund will normally keep at least 80% of its net assets in bonds paying interest exempt from California income taxes.

Does PCQ still focus on tax-exempt income after this guideline change?

Yes. The Fund will continue to follow its fundamental policy to invest at least 80% of its assets in investments whose income is exempt from both federal and California state income taxes, maintaining its core tax-exempt income objective.

How will the PCQ guideline change be communicated to shareholders?

The change will be reflected in the Fund’s shareholder reports, starting with the annual report on Form N-CSR for the 12-month reporting period ended December 31, 2025, providing formal disclosure to investors.

What are California Municipal Bonds as defined by PCQ?

California Municipal Bonds are municipal bonds whose interest is, in the opinion of bond counsel or other reliable authority, exempt from California income taxes. PCQ plans to keep at least 80% of net assets in these securities under normal circumstances.