PML - After We Correct For Return Of Capital A Middling Performance
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Tim Worstall5.24K FollowersFollow5ShareSavePlay(16min)CommentsSummaryPIMCO Municipal Income Fund II (PML) is a standard, diversified municipal bond closed-end fund, with middling-to-high credit quality and moderate tenor exposure.PML’s headline yield is inflated by return of capital; after adjustment, the real income yield is approximately 4.2%, which is unremarkable versus alternatives.The fund’s strategy emphasizes safety and tax-free income, but avoids the unrated or lower-rated muni bonds that may offer superior risk-adjusted returns.I prefer higher nominal credit risk funds, like SHYM or NMZ, which offer comparable or better after-adjustment yields, with either less interest rate risk or higher income. Andrii Dodonov/iStock via Getty Images Machines work because of their parts Within a machine this little bit whizzes around that way and interacts with this other one to trigger that flip there which......produces the outcome of the machine. To work out what the machine does, how wellThis article was written byTim Worstall5.24K FollowersFollowTim Worstall is a wholesaler of rare earth metals and one of the global experts in the metal scandium. He is also a Fellow at the Adam Smith Inst in London and an writer for a number of media outlets, including The Times (London), Telegraph, The Register and even, very occasionally indeed, for the WSJ. This account is linked with that of Mohamad Machine-Chian: https://seekingalpha.com/user/52914142/commentsAnalyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.