N-CSR 1 lp1-591.htm ANNUAL REPORT

 

 

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 811-05021
   
  BNY Mellon Short-Intermediate Municipal Bond Fund  
  (Exact name of Registrant as specified in charter)  
     
 

 

c/o BNY Mellon Investment Adviser, Inc.

240 Greenwich Street

New York, New York 10286

 
  (Address of principal executive offices)        (Zip code)  
     
 

Deirdre Cunnane, Esq.

240 Greenwich Street

New York, New York 10286

 
  (Name and address of agent for service)  
 
Registrant's telephone number, including area code:   (212) 922-6400
   

Date of fiscal year end:

 

03/31  
Date of reporting period:

03/31/2022

 

 

 

 
             

 

 

 
 

FORM N-CSR

Item 1. Reports to Stockholders.

 

BNY Mellon Short-Intermediate Municipal Bond Fund

 

ANNUAL REPORT

March 31, 2022

 

 

 

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The views expressed in this report reflect those of the portfolio manager(s) only through the end of the period covered and do not necessarily represent the views of BNY Mellon Investment Adviser, Inc. or any other person in the BNY Mellon Investment Adviser, Inc. organization. Any such views are subject to change at any time based upon market or other conditions and BNY Mellon Investment Adviser, Inc. disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a fund in the BNY Mellon Family of Funds are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any fund in the BNY Mellon Family of Funds.

 

Not FDIC-Insured • Not Bank-Guaranteed • May Lose Value

 

Contents

THE FUND

  

Discussion of Fund Performance

2

Fund Performance

5

Understanding Your Fund’s Expenses

8

Comparing Your Fund’s Expenses
With Those of Other Funds

8

Statement of Investments

9

Statement of Assets and Liabilities

21

Statement of Operations

22

Statement of Changes in Net Assets

23

Financial Highlights

25

Notes to Financial Statements

29

Report of Independent Registered
Public Accounting Firm

38

Important Tax Information

39

Board Members Information

40

Officers of the Fund

44

FOR MORE INFORMATION

 

Back Cover

 

DISCUSSION OF FUND PERFORMANCE (Unaudited)

For the period from April 1, 2021, through March 31, 2022, as provided by portfolio managers Thomas Casey and Jeffrey Burger of Insight North America LLC, Sub-adviser

Market and Fund Performance Overview

For the 12-month period ended March 31, 2022, BNY Mellon Short-Intermediate Municipal Bond Fund’s (the “fund”) Class A shares produced a total return of −3.65%, Class D shares returned −3.51%, Class I shares returned −3.33% and Class Y shares returned −3.35%.1 In comparison, the fund’s benchmark, the Bloomberg Municipal Bond: 3 Year Index (2-4) (the “Index”), which is not subject to fees and expenses like a mutual fund, produced a total return of −3.31% for the same period.2

Municipal bonds generally lost ground during the reporting period, after recovering from the COVID-19 pandemic amid steady demand and improving economic fundamentals. The fund underperformed the Index, in part due to exposure to the long end of the municipal bond curve, which underperformed due to rising rates. Exposure to certain segments of the revenue bond sector also hindered relative returns.

The Fund’s Investment Approach

The fund seeks to maximize current income exempt from federal income tax to the extent consistent with the preservation of capital. To pursue its goal, the fund normally invests substantially all of its net assets in municipal bonds that provide income exempt from federal personal income tax. The fund invests only in municipal bonds rated investment grade, or the unrated equivalent as determined by BNY Mellon Investment Adviser, Inc. at the time of purchase. The fund invests primarily in municipal bonds with remaining maturities of five years or less and generally maintains a dollar-weighted average portfolio maturity of two to three years.

The portfolio managers focus on identifying undervalued sectors and securities and minimizing the use of interest-rate forecasting. The portfolio managers select municipal bonds by using fundamental credit analysis to estimate the relative value and attractiveness of various sectors and securities and to exploit pricing inefficiencies in the municipal bond market. They also actively trade among various sectors, such as pre-refunded, general obligation and revenue, based on their apparent relative values. The fund seeks to invest in several of these sectors.

Market Strength Falters as Inflation and Rising Rates Take Hold

Early in the reporting period, the market continued to benefit from policies put in place in response to the COVID-19 pandemic, including support from the federal government. This, and a number of other factors, produced strong inflows to the

2

 

market, but late in the period, inflation concerns and rising interest rates created turmoil.

A strengthening economy, combined with federal support, have supported the fiscal health of issuers. During much of the pandemic, real estate and income tax collections failed to decline as much as predicted, and progressive tax regimes proved beneficial because higher-earning, white-collar workers were largely able to work from home. Strong stock market returns also boosted revenues from capital gains taxes.

Later in the reporting period, however, a number of headwinds emerged. The outlook for inflation shifted away from the view that pricing pressures were “transitory” as oil prices rose, and inflation measures reached multi-decade highs. In addition, investors began to anticipate that the Federal Reserve (the “Fed”) would move to a policy of tightening. Fed officials signaled that short-term interest rates would be raised, and in March 2022, they did raise the federal funds rate by 25 basis points.

Historically, municipal bonds have been perceived as a safe haven from turmoil in fixed-income markets. But the persistence of higher-than-expected inflation, combined with measures from the Fed to combat it, led to significant outflows from municipal bond mutual funds, especially late in the reporting period. The need for fund managers to meet redemptions only added to the downward momentum. In addition, the latter part of the period was characterized by volatility stemming from these headwinds as well as the war in Ukraine.

While these headwinds have hindered returns in the near term, credit fundamentals remain strong. In addition, the market turmoil has resulted in more attractive valuations in many segments of the market, creating the potential for outperformance in the future.

Exposure to Longer Maturities Hindered Returns

The fund’s performance versus the Index was hindered partially by the composition of the Index, which focuses on securities with maturities of two to four years. The fund’s holdings include those, as well as securities with shorter and longer maturities. So, although the fund’s duration was roughly the same as that of the Index, the fund’s holdings of longer maturities detracted from performance because the long part of the municipal bond curve underperformed. In addition, the fund’s overweight positions in revenue bonds detracted, as these lagged. Within this sector, the fund’s pre-refunded bonds were a detractor.

On a more positive note, the fund’s overweight positions in the water, power, essential services and special tax segments of the market contributed positively to performance. In addition, while exposure to the long end of the municipal bond

3

 

DISCUSSION OF FUND PERFORMANCE (Unaudited) (continued)

curve hindered returns, exposure to the short end was beneficial. The fund did not make use of derivatives during the reporting period.

Credit Fundamentals and Attractive Valuations Bode Well for the Market

We remain sanguine about the market. Some volatility is to be expected over the medium-to-long term, with the Fed beginning to taper its purchases of Treasuries soon. But we believe that the Fed’s anticipated actions are reflected in current market conditions. In addition, credit fundamentals remain strong, and we have little concern about credit risk in the near term. The market’s recent volatility has also resulted in more attractive valuations, creating more plentiful opportunities.

April 15, 2022

1  Total return includes reinvestment of dividends and any capital gains paid and does not take into consideration the maximum initial sales charge in the case of Class A shares. Class D shares, Class I shares and Class Y shares are not subject to any initial or deferred sales charge. Share price, yield and investment return fluctuate such that upon redemption, fund shares may be worth more or less than their original cost. Income may be subject to state and local taxes, and some income may be subject to the federal alternative minimum tax (AMT) for certain investors. Capital gains, if any, are taxable. Return figures provided reflect the absorption of certain fund expenses by BNY Mellon Investment Adviser, Inc. pursuant to an agreement in effect until July 30, 2022, at which time it may be extended, modified or terminated. Had these expenses not been absorbed, the fund’s returns would have been lower. Past performance is no guarantee of future results.

2  Source: Lipper Inc. — The Bloomberg Municipal Bond: 3 Year Index (2-4) covers the U.S.-dollar-denominated, 2-4 year, tax-exempt bond market. Investors cannot invest directly in any index.

Bonds are subject generally to interest-rate, credit, liquidity and market risks, to varying degrees, all of which are more fully described in the fund’s prospectus. Generally, all other factors being equal, bond prices are inversely related to interest-rate changes, and rate increases can cause price declines.

Recent market risks include pandemic risks related to COVID-19. The effects of COVID-19 have contributed to increased volatility in global markets and will likely affect certain countries, companies, industries and market sectors more dramatically than others. To the extent the fund may overweight its investments in certain countries, companies, industries or market sectors, such positions will increase the fund’s exposure to risk of loss from adverse developments affecting those countries, companies, industries or sectors.

4

 

FUND PERFORMANCE (Unaudited)


Comparison of change in value of a $10,000 investment in Class A shares, Class D shares and Class I shares of BNY Mellon Short-Intermediate Municipal Bond Fund with a hypothetical investment of $10,000 in the Bloomberg Municipal Bond: 3 Year Index (2-4) (the “Index”)

 Source: Lipper Inc.

Past performance is not predictive of future performance.

The above graph compares a hypothetical $10,000 investment made in Class A shares, Class D shares and Class I shares of BNY Mellon Short-Intermediate Municipal Bond Fund on 3/31/12 to a hypothetical investment of $10,000 made in the Index on that date. All dividends and capital gain distributions are reinvested.

The fund’s performance shown in the line graph above takes into account the maximum initial sales charge on Class A shares and all other applicable fees and expenses of the applicable classes. The Index covers the U.S. dollar denominated 2-4 year tax-exempt bond market. Unlike a mutual fund, the Index is not subject to charges, fees and other expenses. Investors cannot invest directly in any index. Further information relating to fund performance, including expense reimbursements, if applicable, is contained in the Financial Highlights section of the prospectus and elsewhere in this report.

5

 

FUND PERFORMANCE (Unaudited) (continued)


Comparison of change in value of a $1,000,000 investment in Class Y shares of BNY Mellon Short-Intermediate Municipal Bond Fund with a hypothetical investment of $1,000,000 in the Bloomberg Municipal Bond: 3 Year Index (2-4) (the “Index”)

 Source: Lipper Inc.

††  The total return figures presented for Class Y shares of the fund reflect the performance of the fund’s Class D shares for the period prior to 7/1/13 (the inception date for Class Y shares).

Past performance is not predictive of future performance.

The above graph compares a hypothetical $1,000,000 investment made in Class Y shares of BNY Mellon Short-Intermediate Municipal Bond Fund on 3/31/12 to a hypothetical investment of $1,000,000 made in the Index on that date. All dividends and capital gain distributions are reinvested.

The fund’s performance shown in the graph above takes into account all applicable fees and expenses of the fund’s Class Y shares. The Index covers the U.S. dollar denominated 2-4 year tax-exempt bond market. Unlike a mutual fund, the Index is not subject to charges, fees and other expenses. Investors cannot invest directly in any index. Further information relating to fund performance, including expense reimbursements, if applicable, is contained in the Financial Highlights section of the prospectus and elsewhere in this report.

6

 

     

Average Annual Total Returns as of 3/31/2022

 

Inception
Date

1 Year

5 Years

10 Years

Class A shares

    

with maximum sales charge (2.5%)

8/3/09

-6.09%

-0.08%

0.29%

without sales charge

8/3/09

-3.65%

0.43%

0.55%

Class D shares

4/30/87

-3.51%

0.60%

0.71%

Class I shares

12/15/08

-3.33%

0.70%

0.81%

Class Y shares

7/1/13

-3.35%

0.64%

0.78%

Bloomberg Municipal
Bond: 3 Year Index (2-4)

 

-3.31%

1.08%

1.15%

 The total return performance figures presented for Class Y shares of the fund reflect the performance of the fund’s Class D shares for the period prior to 7/1/13 (the inception date for Class Y shares).

The performance data quoted represents past performance, which is no guarantee of future results. Share price and investment return fluctuate and an investor’s shares may be worth more or less than original cost upon redemption. Current performance may be lower or higher than the performance quoted. Go to www.im.bnymellon.com for the fund’s most recent month-end returns.

The fund’s performance shown in the graphs and table does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. In addition to the performance of Class A shares shown with and without a maximum sales charge, the fund’s performance shown in the table takes into account all other applicable fees and expenses on all classes.

7

 

UNDERSTANDING YOUR FUND’S EXPENSES (Unaudited)

As a mutual fund investor, you pay ongoing expenses, such as management fees and other expenses. Using the information below, you can estimate how these expenses affect your investment and compare them with the expenses of other funds. You also may pay one-time transaction expenses, including sales charges (loads) and redemption fees, which are not shown in this section and would have resulted in higher total expenses. For more information, see your fund’s prospectus or talk to your financial adviser.

Review your fund’s expenses

The table below shows the expenses you would have paid on a $1,000 investment in BNY Mellon Short-Intermediate Municipal Bond Fund from October 1, 2021 to March 31, 2022. It also shows how much a $1,000 investment would be worth at the close of the period, assuming actual returns and expenses.

       

Expenses and Value of a $1,000 Investment

 

Assume actual returns for the six months ended March 31, 2022

 

 

 

 

 

 

 

 

 

 

Class A

Class D

Class I

Class Y

 

Expenses paid per $1,000

$3.13

$2.40

$1.91

$1.91

 

Ending value (after expenses)

$963.50

$964.30

$964.70

$964.60

 

COMPARING YOUR FUND’S EXPENSES
WITH THOSE OF OTHER FUNDS (Unaudited)

Using the SEC’s method to compare expenses

The Securities and Exchange Commission (“SEC”) has established guidelines to help investors assess fund expenses. Per these guidelines, the table below shows your fund’s expenses based on a $1,000 investment, assuming a hypothetical 5% annualized return. You can use this information to compare the ongoing expenses (but not transaction expenses or total cost) of investing in the fund with those of other funds. All mutual fund shareholder reports will provide this information to help you make this comparison. Please note that you cannot use this information to estimate your actual ending account balance and expenses paid during the period.

       

Expenses and Value of a $1,000 Investment

 

Assuming a hypothetical 5% annualized return for the six months ended March 31, 2022

 

 

 

 

 

 

 

 

 

 

Class A

Class D

Class I

Class Y

 

Expenses paid per $1,000

$3.23

$2.47

$1.97

$1.97

 

Ending value (after expenses)

$1,021.74

$1,022.49

$1,022.99

$1,022.99

 

Expenses are equal to the fund’s annualized expense ratio of .64% for Class A, .49% for Class D, .39% for Class I and .39% for Class Y, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).

8

 

STATEMENT OF INVESTMENTS

March 31, 2022

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7%

     

Alabama - 1.7%

     

Auburn University, Revenue Bonds, Refunding, Ser. A

 

5.00

 

6/1/2024

 

1,200,000

 

1,278,426

 

Black Belt Energy Gas District, Revenue Bonds (Project No. 4) Ser. A1

 

4.00

 

12/1/2025

 

1,250,000

a 

1,301,584

 

Jefferson County, GO, Refunding, Ser. A

 

5.00

 

4/1/2022

 

1,800,000

 

1,800,000

 
 

4,380,010

 

Arizona - 4.3%

     

Arizona, COP, Refunding, Ser. A

 

5.00

 

10/1/2025

 

5,000,000

 

5,504,311

 

Arizona Industrial Development Authority, Revenue Bonds (Equitable School Revolving Obligated Group) Ser. A

 

4.00

 

11/1/2025

 

600,000

 

632,945

 

Arizona Industrial Development Authority, Revenue Bonds (Equitable School Revolving Obligated Group) Ser. A

 

4.00

 

11/1/2024

 

600,000

 

625,184

 

Maricopa County Pollution Control Corp., Revenue Bonds, Refunding (Public Service Co. of New Mexico)

 

1.05

 

6/1/2022

 

1,000,000

a 

999,047

 

Maricopa County Unified School District No. 4, GO, Ser. A

 

5.00

 

7/1/2025

 

1,840,000

 

2,013,802

 

The University of Arizona, Revenue Bonds (Green Bond)

 

5.00

 

6/1/2025

 

1,140,000

 

1,244,376

 
 

11,019,665

 

California - 3.3%

     

California, GO, Refunding

 

5.00

 

4/1/2025

 

1,000,000

 

1,088,893

 

California, GO, Refunding

 

5.00

 

4/1/2024

 

1,500,000

 

1,591,871

 

California County Tobacco Securitization Agency, Revenue Bonds, Refunding, Ser. A

 

5.00

 

6/1/2024

 

400,000

 

421,165

 

California County Tobacco Securitization Agency, Revenue Bonds, Refunding, Ser. A

 

5.00

 

6/1/2025

 

500,000

 

536,583

 

California Municipal Finance Authority, Revenue Bonds (Green Bond) (Insured; Build America Mutual)

 

5.00

 

5/15/2025

 

350,000

 

375,264

 

California Pollution Control Financing Authority, Revenue Bonds (Waste Management Project) Ser. A

 

2.50

 

5/1/2024

 

2,625,000

a 

2,639,306

 

9

 

STATEMENT OF INVESTMENTS (continued)

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

California - 3.3% (continued)

     

California University, Revenue Bonds, Refunding, Ser. B2

 

0.55

 

11/1/2026

 

2,000,000

a 

1,834,058

 
 

8,487,140

 

Colorado - 1.9%

     

Colorado, COP, Ser. A

 

5.00

 

12/15/2024

 

1,000,000

 

1,080,035

 

Colorado Health Facilities Authority, Revenue Bonds, Refunding (Sisters of Charity of Leavenworth Health System Obligated Group) Ser. A

 

5.00

 

1/1/2024

 

2,145,000

 

2,260,316

 

Regional Transportation District, Revenue Bonds, Refunding (Denver Transit Partners) Ser. A

 

3.00

 

1/15/2026

 

600,000

 

606,086

 

Regional Transportation District, Revenue Bonds, Refunding (Denver Transit Partners) Ser. A

 

5.00

 

1/15/2025

 

650,000

 

690,762

 

Vauxmont Metropolitan District, GO, Refunding (Insured; Assured Guaranty Municipal Corp.)

 

5.00

 

12/15/2024

 

130,000

 

139,421

 
 

4,776,620

 

Connecticut - 2.9%

     

Connecticut, Revenue Bonds, Ser. D

 

5.00

 

11/1/2025

 

3,800,000

 

4,173,714

 

Connecticut, Special Tax Bonds, Ser. A

 

5.00

 

5/1/2025

 

850,000

 

922,736

 

Connecticut Housing Finance Authority, Revenue Bonds, Refunding, Ser. C2

 

5.00

 

11/15/2025

 

1,000,000

 

1,085,145

 

New Haven, GO (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

5.00

 

8/1/2024

 

1,140,000

 

1,216,617

 
 

7,398,212

 

District of Columbia - 2.3%

     

Metropolitan Washington Airports Authority, Revenue Bonds, Refunding

 

5.00

 

10/1/2022

 

4,635,000

 

4,718,831

 

Metropolitan Washington Airports Authority, Revenue Bonds, Refunding, Ser. A

 

5.00

 

10/1/2022

 

1,200,000

 

1,221,704

 
 

5,940,535

 

Florida - .8%

     

Florida Department of Management Services, COP, Ser. A

 

5.00

 

11/1/2024

 

2,000,000

 

2,150,299

 

Georgia - .4%

     

Savannah Economic Development Authority, Revenue Bonds, Refunding (International Paper Co.)

 

1.90

 

8/1/2024

 

1,000,000

 

988,414

 

10

 

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

Illinois - 6.4%

     

Chicago Board of Education, GO, Refunding (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

5.00

 

12/1/2023

 

1,000,000

 

1,048,747

 

Chicago II Waterworks, Revenue Bonds, Refunding, Ser. 2017-2

 

5.00

 

11/1/2022

 

1,200,000

 

1,225,067

 

Chicago Metropolitan Water Reclamation District, GO, Refunding, Ser. C

 

5.00

 

12/1/2025

 

3,680,000

 

4,045,499

 

Chicago Park District, GO, Refunding, Ser. B

 

5.00

 

1/1/2025

 

1,000,000

 

1,047,173

 

Cook County II, GO, Refunding, Ser. A

 

5.00

 

11/15/2026

 

1,000,000

 

1,116,888

 

Illinois Finance Authority, Revenue Bonds, Refunding (OSF Healthcare System Obligated Group) Ser. B1

 

5.00

 

11/15/2024

 

2,000,000

a 

2,114,945

 

Illinois Toll Highway Authority, Revenue Bonds, Refunding, Ser. B

 

5.00

 

1/1/2025

 

1,500,000

 

1,617,685

 

Railsplitter Tobacco Settlement Authority, Revenue Bonds

 

5.00

 

6/1/2022

 

3,220,000

 

3,238,827

 

Sales Tax Securitization Corp., Revenue Bonds, Refunding, Ser. A

 

5.00

 

1/1/2025

 

1,000,000

 

1,069,331

 
 

16,524,162

 

Indiana - 6.7%

     

Indiana Finance Authority, Revenue Bonds (Green Bond)

 

5.00

 

2/1/2024

 

1,025,000

 

1,083,800

 

Indiana Finance Authority, Revenue Bonds, Refunding (CWA Authority Project)

 

5.00

 

10/1/2025

 

3,240,000

 

3,565,643

 

Indiana Finance Authority, Revenue Bonds, Refunding (Indianapolis Power & Light Co.) Ser. A

 

3.13

 

12/1/2024

 

3,000,000

 

3,059,800

 

Indiana Finance Authority, Revenue Bonds, Refunding (Parkview Health System Obligated Group) Ser. A

 

5.00

 

11/1/2022

 

1,135,000

 

1,159,570

 

Indiana Health Facility Financing Authority, Revenue Bonds (Ascension Health Credit Group) Ser. A

 

4.00

 

11/1/2024

 

800,000

 

840,962

 

Indiana Health Facility Financing Authority, Revenue Bonds (Ascension Health Credit Group) Ser. A

 

4.00

 

11/1/2025

 

1,295,000

 

1,383,083

 

Indiana Health Facility Financing Authority, Revenue Bonds (Ascension Health Credit Group) Ser. A

 

4.00

 

10/1/2024

 

865,000

 

908,017

 

11

 

STATEMENT OF INVESTMENTS (continued)

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

Indiana - 6.7% (continued)

     

Whiting, Revenue Bonds (BP Products North America)

 

5.00

 

11/1/2022

 

5,000,000

a 

5,091,047

 
 

17,091,922

 

Louisiana - 1.8%

     

East Baton Rouge Sewerage Commission, Revenue Bonds, Refunding, Ser. B

 

5.00

 

2/1/2025

 

1,000,000

 

1,083,205

 

Louisiana Offshore Terminal Authority, Revenue Bonds, Refunding (Loop Project)

 

1.65

 

12/1/2023

 

2,500,000

a 

2,483,138

 

St. John the Baptist Parish, Revenue Bonds, Refunding (Marathon Oil Corp.)

 

2.10

 

7/1/2024

 

1,000,000

a 

985,731

 
 

4,552,074

 

Maine - .4%

     

Maine Finance Authority, Revenue Bonds, Refunding (Insured; Assured Guaranty Municipal Corp.) Ser. A1

 

5.00

 

12/1/2024

 

1,000,000

 

1,065,305

 

Maryland - 4.4%

     

Maryland Department of Transportation, Revenue Bonds, Refunding, Ser. B

 

5.00

 

12/1/2025

 

2,000,000

 

2,218,744

 

Maryland Health & Higher Educational Facilities Authority, Revenue Bonds, Refunding (University of Maryland Medical System Obligated Group) Ser. B

 

5.00

 

7/1/2022

 

1,600,000

 

1,615,141

 

Maryland Health & Higher Educational Facilities Authority, Revenue Bonds, Refunding (University of Maryland Medical System Obligated Group) Ser. B1

 

5.00

 

7/1/2025

 

4,000,000

a 

4,302,726

 

Maryland Transportation Authority, Revenue Bonds

 

5.00

 

6/1/2023

 

2,990,000

 

3,097,993

 
 

11,234,604

 

Massachusetts - 1.8%

     

Massachusetts Development Finance Agency, Revenue Bonds, Refunding (Northeastern University) Ser. A

 

5.00

 

10/1/2024

 

1,580,000

 

1,698,421

 

Massachusetts Educational Financing Authority, Revenue Bonds

 

5.00

 

7/1/2025

 

750,000

 

808,579

 

12

 

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

Massachusetts - 1.8% (continued)

     

Massachusetts Transportation Trust Fund Metropolitan Highway System, Revenue Bonds, Refunding, Ser. A

 

5.00

 

1/1/2025

 

1,950,000

 

2,102,449

 
 

4,609,449

 

Michigan - 3.0%

     

Lansing Board of Water & Light, Revenue Bonds, Ser. B

 

2.00

 

7/1/2026

 

2,000,000

a 

2,000,724

 

Michigan Finance Authority, Revenue Bonds, Refunding (Beaumont Health Credit Obligated Group)

 

5.00

 

8/1/2025

 

2,115,000

 

2,251,179

 

Michigan Strategic Fund, Revenue Bonds (I-75 Improvement Project)

 

5.00

 

6/30/2024

 

2,000,000

 

2,101,456

 

Saginaw Hospital Finance Authority, Revenue Bonds, Refunding

 

5.00

 

7/1/2025

 

625,000

 

679,107

 

Saginaw Hospital Finance Authority, Revenue Bonds, Refunding

 

5.00

 

7/1/2024

 

715,000

 

759,672

 
 

7,792,138

 

Minnesota - .5%

     

Minneapolis-St. Paul Metropolitan Airports Commission, Revenue Bonds, Refunding, Ser. A

 

5.00

 

1/1/2025

 

150,000

 

161,311

 

Minneapolis-St. Paul Metropolitan Airports Commission, Revenue Bonds, Refunding, Ser. C

 

5.00

 

1/1/2025

 

1,000,000

 

1,074,851

 
 

1,236,162

 

Missouri - .4%

     

Missouri Joint Municipal Electric Utility Commission, Revenue Bonds, Refunding (Iatan 2 Project) Ser. A

 

5.00

 

1/1/2026

 

1,000,000

 

1,051,995

 

Nebraska - 1.1%

     

University of Nebraska Facilities Corp., Revenue Bonds (UNMC Cancer Center) Ser. A

 

5.00

 

2/15/2024

 

2,670,000

 

2,826,818

 

Nevada - .5%

     

Clark County School District, GO (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

3.00

 

6/15/2025

 

1,300,000

 

1,339,026

 

New Jersey - 2.7%

     

New Jersey, GO (COVID-19 Emergency Bonds) Ser. A

 

5.00

 

6/1/2025

 

2,000,000

 

2,167,126

 

New Jersey Higher Education Student Assistance Authority, Revenue Bonds, Ser. B

 

5.00

 

12/1/2025

 

850,000

 

927,217

 

13

 

STATEMENT OF INVESTMENTS (continued)

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

New Jersey - 2.7% (continued)

     

Tobacco Settlement Financing Corp., Revenue Bonds, Refunding, Ser. A

 

5.00

 

6/1/2024

 

2,500,000

 

2,631,379

 

Tobacco Settlement Financing Corp., Revenue Bonds, Refunding, Ser. A

 

5.00

 

6/1/2023

 

1,040,000

 

1,073,012

 
 

6,798,734

 

New Mexico - 4.2%

     

New Mexico Finance Authority, Revenue Bonds, Ser. A

 

5.00

 

6/15/2026

 

2,850,000

 

3,190,911

 

New Mexico Finance Authority, Revenue Bonds, Ser. A

 

5.00

 

6/15/2025

 

1,625,000

 

1,778,649

 

New Mexico Severance Tax Permanent Fund, Revenue Bonds, Ser. A

 

5.00

 

7/1/2027

 

5,000,000

 

5,723,303

 
 

10,692,863

 

New York - 9.7%

     

Metropolitan Transportation Authority, BAN, Ser. A1

 

5.00

 

2/1/2023

 

1,710,000

 

1,751,831

 

Metropolitan Transportation Authority, Revenue Bonds, Refunding (Green Bond) Ser. B

 

5.00

 

11/15/2022

 

790,000

 

806,525

 

New York City, GO, Refunding, Ser. A1

 

5.00

 

8/1/2025

 

2,000,000

 

2,189,368

 

New York City Housing Development Corp., Revenue Bonds (LOC; Federal Housing Administration) Ser. F2

 

0.60

 

7/1/2025

 

1,000,000

a 

932,967

 

New York City Municipal Water Finance Authority, Revenue Bonds, Refunding, Ser. BB2

 

5.00

 

6/15/2027

 

4,000,000

 

4,416,119

 

New York City Transitional Finance Authority, Revenue Bonds, Ser. B1

 

5.00

 

8/1/2024

 

4,500,000

 

4,805,618

 

New York State Dormitory Authority, Revenue Bonds, Refunding (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

5.00

 

10/1/2025

 

1,450,000

 

1,595,735

 

New York State Dormitory Authority, Revenue Bonds, Refunding, Ser. C

 

5.00

 

3/15/2023

 

3,425,000

 

3,536,931

 

New York State Dormitory Authority, Revenue Bonds, Refunding, Ser. D

 

5.00

 

2/15/2025

 

1,500,000

 

1,623,740

 

New York State Urban Development Corp., Revenue Bonds, Refunding (State of New York Personal Income Tax)

 

5.00

 

3/15/2025

 

2,000,000

 

2,166,981

 

14

 

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

New York - 9.7% (continued)

     

New York Transportation Development Corp., Revenue Bonds, Refunding (JFK International Air Terminal)

 

5.00

 

12/1/2025

 

1,000,000

 

1,077,008

 
 

24,902,823

 

North Carolina - 3.0%

     

North Carolina Medical Care Commission, Revenue Bonds (Caromont Health Obligated Group) Ser. B

 

5.00

 

2/1/2026

 

2,000,000

a 

2,199,148

 

North Carolina Turnpike Authority, BAN

 

5.00

 

2/1/2024

 

2,500,000

 

2,627,708

 

The Charlotte-Mecklenburg Hospital Authority, Revenue Bonds (Atrium Health Obligated Group) Ser. B

 

5.00

 

12/2/2024

 

2,750,000

a 

2,948,866

 
 

7,775,722

 

Ohio - 4.8%

     

Cincinnati Water System, Revenue Bonds, Refunding, Ser. B

 

5.00

 

12/1/2024

 

1,020,000

 

1,101,666

 

Miami University, Revenue Bonds, Refunding

 

5.00

 

9/1/2024

 

1,000,000

 

1,073,105

 

Ohio, Revenue Bonds, Ser. 2019-1

 

5.00

 

12/15/2024

 

1,500,000

 

1,619,641

 

Ohio, Revenue Bonds, Ser. A

 

5.00

 

6/1/2025

 

2,790,000

 

3,042,759

 

Sycamore Community School District, GO, Refunding

 

4.00

 

12/1/2025

 

2,845,000

 

3,050,857

 

Sycamore Community School District, GO, Refunding

 

4.00

 

12/1/2024

 

2,415,000

 

2,546,049

 
 

12,434,077

 

Oklahoma - 1.2%

     

Oklahoma Development Finance Authority, Revenue Bonds (Gilcrease Expressway)

 

1.63

 

7/6/2023

 

1,000,000

 

991,697

 

Oklahoma Municipal Power Authority, Revenue Bonds, Refunding (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

5.00

 

1/1/2024

 

1,000,000

 

1,053,937

 

Oklahoma Turnpike Authority, Revenue Bonds, Refunding, Ser. A

 

5.00

 

1/1/2025

 

1,000,000

 

1,081,241

 
 

3,126,875

 

Pennsylvania - 8.0%

     

Allegheny County Hospital Development Authority, Revenue Bonds, Refunding (Allegheny Health Network Obligated Group) Ser. A

 

5.00

 

4/1/2024

 

2,000,000

 

2,114,025

 

15

 

STATEMENT OF INVESTMENTS (continued)

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

Pennsylvania - 8.0% (continued)

     

Commonwealth Financing Authority, Revenue Bonds

 

5.00

 

6/1/2023

 

1,000,000

 

1,033,895

 

Delaware River Joint Toll Bridge Commission, Revenue Bonds, Ser. A

 

5.00

 

7/1/2025

 

1,000,000

 

1,093,468

 

Pennsylvania, GO, Refunding (Assured Guaranty Municipal Corp.) Ser. 1st

 

5.00

 

9/15/2025

 

3,000,000

 

3,310,593

 

Pennsylvania Economic Development Financing Authority, Revenue Bonds (Waste Management Project)

 

2.15

 

7/1/2024

 

2,500,000

a 

2,477,227

 

Pennsylvania Turnpike Commission, Revenue Bonds, Refunding (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

5.25

 

7/15/2028

 

185,000

 

218,656

 

Pennsylvania Turnpike Commission, Revenue Bonds, Ser. B

 

5.00

 

12/1/2025

 

1,000,000

 

1,095,994

 

Philadelphia, GO, Refunding, Ser. A

 

5.00

 

8/1/2024

 

2,000,000

 

2,131,593

 

Philadelphia, GO, Ser. A

 

5.00

 

5/1/2025

 

5,000,000

 

5,420,085

 

Philadelphia Gas Works, Revenue Bonds (Insured; Assured Guaranty Municipal Corp.) Ser. A

 

5.00

 

8/1/2025

 

500,000

 

548,187

 

Southcentral Pennsylvania General Authority, Revenue Bonds, Refunding (WellSpan Health Obligated Group)

 

5.00

 

6/1/2022

 

1,000,000

 

1,006,543

 
 

20,450,266

 

Rhode Island - .3%

     

Rhode Island Student Loan Authority, Revenue Bonds, Ser. A

 

5.00

 

12/1/2026

 

725,000

 

806,037

 

South Carolina - 2.7%

     

Piedmont Municipal Power Agency, Revenue Bonds, Refunding, Ser. B

 

5.00

 

1/1/2027

 

4,000,000

 

4,484,304

 

Piedmont Municipal Power Agency, Revenue Bonds, Refunding, Ser. E

 

5.00

 

1/1/2023

 

900,000

 

922,178

 

South Carolina Public Service Authority, Revenue Bonds, Refunding, Ser. B

 

5.00

 

12/1/2024

 

1,400,000

 

1,504,536

 
 

6,911,018

 

Texas - 11.0%

     

Brazos Higher Education Authority, Revenue Bonds, Ser. 1A

 

5.00

 

4/1/2025

 

685,000

 

726,183

 

Brazos Higher Education Authority, Revenue Bonds, Ser. 1A

 

5.00

 

4/1/2024

 

600,000

 

626,900

 

Central Texas Regional Mobility Authority, BAN, Ser. F

 

5.00

 

1/1/2025

 

1,500,000

 

1,579,797

 

16

 

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

Texas - 11.0% (continued)

     

Clifton Higher Education Finance Corp., Revenue Bonds, Refunding (IDEA Public Schools) (Insured; Permanent School Fund Guarantee Program)

 

4.00

 

8/15/2022

 

1,600,000

 

1,615,524

 

Grand Parkway Transportation Corp., BAN

 

5.00

 

2/1/2023

 

5,000,000

 

5,136,737

 

Houston Combined Utility System, Revenue Bonds, Refunding, Ser. C

 

5.00

 

5/15/2025

 

1,705,000

 

1,811,000

 

Lewisville Independent School District, GO, Refunding (Insured; Permanent School Fund Guarantee Program)

 

5.00

 

8/15/2025

 

1,000,000

 

1,099,134

 

Lower Colorado River Authority, Revenue Bonds, Refunding (LCRA Transmission Services Corp.)

 

5.00

 

5/15/2024

 

1,475,000

 

1,568,281

 

Lower Colorado River Authority, Revenue Bonds, Refunding (LCRA Transmission Services Corp.) Ser. A

 

5.00

 

5/15/2024

 

1,040,000

 

1,105,771

 

Lower Colorado River Authority, Revenue Bonds, Refunding, Ser. B

 

5.00

 

5/15/2026

 

1,390,000

 

1,515,161

 

Lubbock Electric Light & Power System, Revenue Bonds, Refunding

 

5.00

 

4/15/2026

 

675,000

 

751,801

 

North Texas Tollway Authority, Revenue Bonds, Refunding, Ser. B

 

5.00

 

1/1/2025

 

2,500,000

 

2,691,976

 

Pflugerville Independent School District, GO (Insured; Permanent School Fund Guarantee Program) Ser. B

 

2.50

 

8/15/2023

 

3,500,000

a 

3,536,262

 

Tarrant County College District, GO

 

5.00

 

8/15/2025

 

4,180,000

 

4,591,514

 
 

28,356,041

 

Utah - 1.2%

     

Salt Lake City Airport, Revenue Bonds, Ser. A

 

5.00

 

7/1/2022

 

2,000,000

 

2,017,301

 

Utah, GO, Ser. B

 

5.00

 

7/1/2025

 

1,000,000

 

1,097,764

 
 

3,115,065

 

Virginia - 3.2%

     

Hampton Roads Transportation Accountability Commission, BAN

 

5.00

 

7/1/2026

 

4,000,000

 

4,465,690

 

Roanoke Economic Development Authority, Revenue Bonds, Refunding (Carilion Clinic Obligated Group)

 

5.00

 

7/1/2024

 

1,000,000

 

1,067,700

 

17

 

STATEMENT OF INVESTMENTS (continued)

          
 

Description

Coupon
Rate (%)

 

Maturity

Date

 

Principal

Amount ($)

 

Value ($)

 

Long-Term Municipal Investments - 98.7% (continued)

     

Virginia - 3.2% (continued)

     

Virginia Public School Authority, Revenue Bonds, Ser. VIII

 

5.00

 

4/15/2025

 

2,500,000

 

2,724,143

 
 

8,257,533

 

Washington - 2.0%

     

Grant County Public Utility District No. 2, Revenue Bonds, Refunding, Ser. R

 

2.00

 

12/1/2025

 

2,000,000

a 

1,993,607

 

Port of Seattle, Revenue Bonds

 

5.00

 

4/1/2024

 

2,000,000

 

2,114,427

 

Washington Health Care Facilities Authority, Revenue Bonds, Refunding (CommonSpirit Health Obligated Group) Ser. B1

 

5.00

 

8/1/2024

 

1,040,000

a 

1,091,597

 
 

5,199,631

 

Wisconsin - .1%

     

Wisconsin Department of Transportation, Revenue Bonds, Refunding, Ser. 1

 

5.00

 

7/1/2022

 

330,000

b 

333,212

 

Total Investments (cost $260,857,914)

 

98.7%

253,624,447

 

Cash and Receivables (Net)

 

1.3%

3,277,475

 

Net Assets

 

100.0%

256,901,922

 

a These securities have a put feature; the date shown represents the put date and the bond holder can take a specific action to retain the bond after the put date.

b These securities are prerefunded; the date shown represents the prerefunded date. Bonds which are prerefunded are collateralized by U.S. Government securities which are held in escrow and are used to pay principal and interest on the municipal issue and to retire the bonds in full at the earliest refunding date.

18

 

  

Portfolio Summary (Unaudited)

Value (%)

General

18.0

Transportation

13.6

General Obligation

12.8

Medical

11.2

Development

8.3

Power

5.9

School District

5.7

Water

5.5

Education

5.2

Airport

4.8

Tobacco Settlement

3.5

Student Loan

1.9

Utilities

1.3

Single Family Housing

.4

Multifamily Housing

.4

Housing

.1

Prerefunded

.1

 

98.7

 Based on net assets.

See notes to financial statements.

19

 

    
 

Summary of Abbreviations (Unaudited)

 

ABAG

Association of Bay Area Governments

AGC

ACE Guaranty Corporation

AGIC

Asset Guaranty Insurance Company

AMBAC

American Municipal Bond Assurance Corporation

BAN

Bond Anticipation Notes

BSBY

Bloomberg Short-Term Bank Yield Index

CIFG

CDC Ixis Financial Guaranty

COP

Certificate of Participation

CP

Commercial Paper

DRIVERS

Derivative Inverse Tax-Exempt Receipts

EFFR

Effective Federal Funds Rate

FGIC

Financial Guaranty Insurance Company

FHA

Federal Housing Administration

FHLB

Federal Home Loan Bank

FHLMC

Federal Home Loan Mortgage Corporation

FNMA

Federal National Mortgage Association

GAN

Grant Anticipation Notes

GIC

Guaranteed Investment Contract

GNMA

Government National Mortgage Association

GO

General Obligation

IDC

Industrial Development Corporation

LIBOR

London Interbank Offered Rate

LOC

Letter of Credit

LR

Lease Revenue

NAN

Note Anticipation Notes

MFHR

Multi-Family Housing Revenue

MFMR

Multi-Family Mortgage Revenue

MUNIPSA

Securities Industry and Financial Markets Association Municipal Swap Index Yield

OBFR

Overnight Bank Funding Rate

PILOT

Payment in Lieu of Taxes

PRIME

Prime Lending Rate

PUTTERS

Puttable Tax-Exempt Receipts

RAC

Revenue Anticipation Certificates

RAN

Revenue Anticipation Notes

RIB

Residual Interest Bonds

SFHR

Single Family Housing Revenue

SFMR

Single Family Mortgage Revenue

SOFR

Secured Overnight Financing Rate

TAN

Tax Anticipation Notes

TRAN

Tax and Revenue Anticipation Notes

U.S. T-BILL

U.S. Treasury Bill Money Market Yield

XLCA

XL Capital Assurance

    

See notes to financial statements.

20

 

STATEMENT OF ASSETS AND LIABILITIES

March 31, 2022

       

 

 

 

 

 

 

 

 

 

 

Cost

 

Value

 

Assets ($):

 

 

 

 

Investments in securities—See Statement of Investments

260,857,914

 

253,624,447

 

Cash

 

 

 

 

765,270

 

Interest receivable

 

3,411,953

 

Receivable for shares of Beneficial Interest subscribed

 

370,220

 

Prepaid expenses

 

 

 

 

39,085

 

 

 

 

 

 

258,210,975

 

Liabilities ($):

 

 

 

 

Due to BNY Mellon Investment Adviser, Inc. and affiliates—Note 3(c)

 

82,605

 

Payable for shares of Beneficial Interest redeemed

 

1,148,059

 

Other accrued expenses

 

 

 

 

78,389

 

 

 

 

 

 

1,309,053

 

Net Assets ($)

 

 

256,901,922

 

Composition of Net Assets ($):

 

 

 

 

Paid-in capital

 

 

 

 

264,733,980

 

Total distributable earnings (loss)

 

 

 

 

(7,832,058)

 

Net Assets ($)

 

 

256,901,922

 

      

Net Asset Value Per Share

Class A

Class D

Class I

Class Y

 

Net Assets ($)

21,910,178

168,255,530

66,720,706

15,508

 

Shares Outstanding

1,745,190

13,404,660

5,314,071

1,239

 

Net Asset Value Per Share ($)

12.55

12.55

12.56

12.52

 

 

 

 

 

 

 

See notes to financial statements.

 

 

 

 

 

21

 

STATEMENT OF OPERATIONS

Year Ended March 31, 2022

       

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment Income ($):

 

 

 

 

Interest Income

 

 

3,607,953

 

Expenses:

 

 

 

 

Management fee—Note 3(a)

 

 

845,053

 

Service plan fees—Note 3(b)

 

 

186,300

 

Shareholder servicing costs—Note 3(c)

 

 

177,355

 

Professional fees

 

 

100,940

 

Registration fees

 

 

71,658

 

Trustees’ fees and expenses—Note 3(d)

 

 

22,658

 

Prospectus and shareholders’ reports

 

 

16,139

 

Chief Compliance Officer fees—Note 3(c)

 

 

15,181

 

Custodian fees—Note 3(c)

 

 

6,041

 

Loan commitment fees—Note 2

 

 

2,885

 

Miscellaneous

 

 

37,641

 

Total Expenses

 

 

1,481,851

 

Less—reduction in expenses due to undertaking—Note 3(a)

 

 

(129,557)

 

Less—reduction in fees due to earnings credits—Note 3(c)

 

 

(1,877)

 

Net Expenses

 

 

1,350,417

 

Net Investment Income

 

 

2,257,536

 

Realized and Unrealized Gain (Loss) on Investments—Note 4 ($):

 

 

Net realized gain (loss) on investments

177,667

 

Net change in unrealized appreciation (depreciation) on investments

(11,957,370)

 

Net Realized and Unrealized Gain (Loss) on Investments

 

 

(11,779,703)

 

Net (Decrease) in Net Assets Resulting from Operations

 

(9,522,167)

 

 

 

 

 

 

 

 

See notes to financial statements.

     

22

 

STATEMENT OF CHANGES IN NET ASSETS

          

 

 

 

 

Year Ended March 31,

 

 

 

 

2022

 

2021

 

Operations ($):

 

 

 

 

 

 

 

 

Net investment income

 

 

2,257,536

 

 

 

3,221,270

 

Net realized gain (loss) on investments

 

177,667

 

 

 

19,214

 

Net change in unrealized appreciation
(depreciation) on investments

 

(11,957,370)

 

 

 

4,287,730

 

Net Increase (Decrease) in Net Assets
Resulting from Operations

(9,522,167)

 

 

 

7,528,214

 

Distributions ($):

 

Distributions to shareholders:

 

 

 

 

 

 

 

 

Class A

 

 

(168,753)

 

 

 

(309,452)

 

Class D

 

 

(1,479,686)

 

 

 

(2,065,043)

 

Class I

 

 

(607,647)

 

 

 

(845,890)

 

Class Y

 

 

(143)

 

 

 

(195)

 

Total Distributions

 

 

(2,256,229)

 

 

 

(3,220,580)

 

Beneficial Interest Transactions ($):

 

Net proceeds from shares sold:

 

 

 

 

 

 

 

 

Class A

 

 

7,863,738

 

 

 

13,904,603

 

Class D

 

 

29,100,528

 

 

 

31,703,162

 

Class I

 

 

58,875,749

 

 

 

37,338,365

 

Distributions reinvested:

 

 

 

 

 

 

 

 

Class A

 

 

156,065

 

 

 

289,177

 

Class D

 

 

1,362,751

 

 

 

1,895,045

 

Class I

 

 

601,906

 

 

 

838,833

 

Class Y

 

 

135

 

 

 

183

 

Cost of shares redeemed:

 

 

 

 

 

 

 

 

Class A

 

 

(14,899,810)

 

 

 

(14,953,565)

 

Class D

 

 

(40,407,740)

 

 

 

(33,162,132)

 

Class I

 

 

(52,662,705)

 

 

 

(45,950,498)

 

Class Y

 

 

(11)

 

 

 

-

 

Increase (Decrease) in Net Assets
from Beneficial Interest Transactions

(10,009,394)

 

 

 

(8,096,827)

 

Total Increase (Decrease) in Net Assets

(21,787,790)

 

 

 

(3,789,193)

 

Net Assets ($):

 

Beginning of Period

 

 

278,689,712

 

 

 

282,478,905

 

End of Period

 

 

256,901,922

 

 

 

278,689,712

 

23

 

STATEMENT OF CHANGES IN NET ASSETS (continued)

          

 

 

 

 

Year Ended March 31,

 

 

 

 

2022

 

2021

 

Capital Share Transactions (Shares):

 

Class A

 

 

 

 

 

 

 

 

Shares sold

 

 

603,243

 

 

 

1,063,127

 

Shares issued for distributions reinvested

 

 

11,982

 

 

 

22,067

 

Shares redeemed

 

 

(1,142,191)

 

 

 

(1,143,038)

 

Net Increase (Decrease) in Shares Outstanding

(526,966)

 

 

 

(57,844)

 

Class D

 

 

 

 

 

 

 

 

Shares sold

 

 

2,225,897

 

 

 

2,418,294

 

Shares issued for distributions reinvested

 

 

104,749

 

 

 

144,658

 

Shares redeemed

 

 

(3,111,914)

 

 

 

(2,529,893)

 

Net Increase (Decrease) in Shares Outstanding

(781,268)

 

 

 

33,059

 

Class I

 

 

 

 

 

 

 

 

Shares sold

 

 

4,510,118

 

 

 

2,856,218

 

Shares issued for distributions reinvested

 

 

46,302

 

 

 

64,018

 

Shares redeemed

 

 

(4,046,849)

 

 

 

(3,510,483)

 

Net Increase (Decrease) in Shares Outstanding

509,571

 

 

 

(590,247)

 

Class Y

 

 

 

 

 

 

 

 

Shares issued for distributions reinvested

 

 

11

 

 

 

14

 

Shares redeemed

 

 

(1)

 

 

 

-

 

Net Increase (Decrease) in Shares Outstanding

10

 

 

 

14

 

 

 

 

 

 

 

 

 

 

 

See notes to financial statements.

        

24

 

FINANCIAL HIGHLIGHTS

The following tables describe the performance for each share class for the fiscal periods indicated. All information (except portfolio turnover rate) reflects financial results for a single fund share. Net asset value total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption at net asset value on the last day of the period. Net asset value total return includes adjustments in accordance with accounting principles generally accepted in the United States of America and as such, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset value and returns for shareholder transactions. These figures have been derived from the fund’s financial statements.

        
   
 

Year Ended March 31,

Class A Shares

 

2022

2021

2020

2019

2018

Per Share Data ($):

      

Net asset value, beginning of period

 

13.11

12.91

12.91

12.79

12.92

Investment Operations:

      

Net investment incomea

 

.09

.13

.16

.15

.12

Net realized and unrealized
gain (loss) on investments

 

(.57)

.20

.01

.12

(.13)

Total from Investment Operations

 

(.48)

.33

.17

.27

(.01)

Distributions:

      

Dividends from
net investment income

 

(.08)

(.13)

(.17)

(.15)

(.12)

Net asset value, end of period

 

12.55

13.11

12.91

12.91

12.79

Total Return (%)b

 

(3.65)

2.54

1.29

2.16

(.06)

Ratios/Supplemental Data (%):

      

Ratio of total expenses
to average net assets

 

.67

.67

.68

.66

.67

Ratio of net expenses
to average net assets

 

.64

.64

.64

.64

.65

Ratio of net investment income
to average net assets

 

.65

.97

1.27

1.19

.95

Portfolio Turnover Rate

 

31.30

21.22

47.12

17.10

13.40

Net Assets, end of period ($ x 1,000)

 

21,910

29,784

30,087

19,457

43,209

a Based on average shares outstanding.

b Exclusive of sales charge.

See notes to financial statements.

25

 

FINANCIAL HIGHLIGHTS (continued)

        
   
 

Year Ended March 31,

Class D Shares

 

2022

2021

2020

2019

2018

Per Share Data ($):

      

Net asset value, beginning of period

 

13.11

12.91

12.91

12.78

12.91

Investment Operations:

      

Net investment incomea

 

.10

.15

.18

.17

.14

Net realized and unrealized
gain (loss) on investments

 

(.56)

.20

.01

.13

(.13)

Total from Investment Operations

 

(.46)

.35

.19

.30

.01

Distributions:

      

Dividends from
net investment income

 

(.10)

(.15)

(.19)

(.17)

(.14)

Net asset value, end of period

 

12.55

13.11

12.91

12.91

12.78

Total Return (%)

 

(3.51)

2.70

1.44

2.40

.08

Ratios/Supplemental Data (%):

      

Ratio of total expenses
to average net assets

 

.53

.53

.53

.51

.54

Ratio of net expenses
to average net assets

 

.49

.49

.49

.49

.50

Ratio of net investment income
to average net assets

 

.79

1.12

1.43

1.36

1.10

Portfolio Turnover Rate

 

31.30

21.22

47.12

17.10

13.40

Net Assets, end of period ($ x 1,000)

 

168,256

185,909

182,713

198,508

230,789

a Based on average shares outstanding.

See notes to financial statements.

26

 

         
   
 

Year Ended March 31,

Class I Shares

 

2022

2021

2020

2019

2018

Per Share Data ($):

      

Net asset value, beginning of period

 

13.11

12.91

12.91

12.79

12.92

Investment Operations:

      

Net investment incomea

 

.11

.16

.20

.18

.15

Net realized and unrealized
gain (loss) on investments

 

(.54)

.20

-

.13

(.13)

Total from Investment Operations

 

(.43)

.36

.20

.31

.02

Distributions:

      

Dividends from
net investment income

 

(.12)

(.16)

(.20)

(.19)

(.15)

Net asset value, end of period

 

12.56

13.11

12.91

12.91

12.79

Total Return (%)

 

(3.33)

2.79

1.54

2.41

.18

Ratios/Supplemental Data (%):

      

Ratio of total expenses
to average net assets

 

.47

.47

.49

.43

.46

Ratio of net expenses
to average net assets

 

.39

.39

.39

.39

.40

Ratio of net investment income
to average net assets

 

.87

1.22

1.53

1.44

1.20

Portfolio Turnover Rate

 

31.30

21.22

47.12

17.10

13.40

Net Assets, end of period ($ x 1,000)

 

66,721

62,981

69,664

70,043

103,960

a Based on average shares outstanding.

See notes to financial statements.

27

 

FINANCIAL HIGHLIGHTS (continued)

        
   
 

Year Ended March 31,

Class Y Shares

 

2022

2021

2020

2019

2018

Per Share Data ($):

      

Net asset value, beginning of period

 

13.07

12.88

12.87

12.79

12.92

Investment Operations:

      

Net investment incomea

 

.12

.16

.20

.19

.16

Net realized and unrealized
gain (loss) on investments

 

(.55)

.19

.01

.08

(.14)

Total from Investment Operations

 

(.43)

.35

.21

.27

.02

Distributions:

      

Dividends from
net investment income

 

(.12)

(.16)

(.20)

(.19)

(.15)

Net asset value, end of period

 

12.52

13.07

12.88

12.87

12.79

Total Return (%)

 

(3.35)

2.73

1.64

2.10

.19

Ratios/Supplemental Data (%):

      

Ratio of total expenses
to average net assets

 

.75

.75

1.99

.65

.54

Ratio of net expenses
to average net assets

 

.39

.39

.39

.39

.40

Ratio of net investment income
to average net assets

 

.89

1.22

1.54

1.51

1.20

Portfolio Turnover Rate

 

31.30

21.22

47.12

17.10

13.40

Net Assets, end of period ($ x 1,000)

 

16

16

16

1

34

a Based on average shares outstanding.

See notes to financial statements.

28

 

NOTES TO FINANCIAL STATEMENTS

NOTE 1—Significant Accounting Policies:

BNY Mellon Short-Intermediate Municipal Bond Fund (the “fund”), which is registered under the Investment Company Act of 1940, as amended (the “Act”), is a diversified open-end management investment company. The fund’s investment objective is to seek to maximize current income exempt from federal income tax to the extent consistent with the preservation of capital. BNY Mellon Investment Adviser, Inc. (the “Adviser”), a wholly-owned subsidiary of The Bank of New York Mellon Corporation (“BNY Mellon”), serves as the fund’s investment adviser. Effective September 1, 2021 (the “Effective Date”), the Adviser has engaged its affiliate, Insight North America LLC (the “Sub-adviser”) as the fund’s sub-investment adviser pursuant to a sub-investment advisory agreement between the Adviser and the Sub-adviser. As the fund’s sub-investment adviser, the Sub-adviser provides the day-to-day management of the fund’s investments, subject to the Adviser’s supervision and approval. The Adviser (and not the fund) pays the Sub-adviser for its sub-advisory services. As of the Effective Date, portfolio managers responsible for managing the fund’s investments who were employees of Mellon Investments Corporation (“Mellon”) in a dual employment arrangement with the Adviser, have become employees of the Sub-adviser, and are no longer employees of Mellon.

BNY Mellon Securities Corporation (the “Distributor”), a wholly-owned subsidiary of the Adviser, is the distributor of the fund’s shares. The fund is authorized to issue an unlimited number of $.001 par value shares of Beneficial Interest in each of the following classes of shares: Class A, Class D, Class I and Class Y. Class A shares generally are subject to a sales charge imposed at the time of purchase. Class A shares bought without an initial sales charge as part of an investment of $1 million or more may be charged a contingent deferred sales charge (“CDSC”) of 1.00% if redeemed within one year and bear Shareholder Services Plan fees. Class D shares are sold at net asset value per share directly by the Adviser and through certain banks and fund supermarkets, and as a part of certain wrap-fee programs and bear Service Plan fees. Class I shares are sold primarily to bank trust departments and other financial service providers (including BNY Mellon and its affiliates), acting on behalf of customers having a qualified trust or an investment account or relationship at such institution, and bear no Service or Shareholder Services Plan fees. Class Y shares are sold at net asset value per share generally to institutional investors, and bear no Service or Shareholder Services Plan fees. Class I and Class Y shares are offered without a front-end sales charge or CDSC. Other differences between the classes include the services offered to and

29

 

NOTES TO FINANCIAL STATEMENTS (continued)

the expenses borne by each class, the allocation of certain transfer agency costs, and certain voting rights. Income, expenses (other than expenses attributable to a specific class), and realized and unrealized gains or losses on investments are allocated to each class of shares based on its relative net assets.

The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) is the exclusive reference of authoritative U.S. generally accepted accounting principles (“GAAP”) recognized by the FASB to be applied by nongovernmental entities. Rules and interpretive releases of the SEC under authority of federal laws are also sources of authoritative GAAP for SEC registrants. The fund is an investment company and applies the accounting and reporting guidance of the FASB ASC Topic 946 Financial Services-Investment Companies. The fund’s financial statements are prepared in accordance with GAAP, which may require the use of management estimates and assumptions. Actual results could differ from those estimates.

The fund enters into contracts that contain a variety of indemnifications. The fund’s maximum exposure under these arrangements is unknown. The fund does not anticipate recognizing any loss related to these arrangements.

As of March 31, 2022, MBC Investments Corporation, an indirect subsidiary of BNY Mellon, held 77 Class Y shares.

(a) Portfolio valuation: The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). GAAP establishes a fair value hierarchy that prioritizes the inputs of valuation techniques used to measure fair value. This hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).

Additionally, GAAP provides guidance on determining whether the volume and activity in a market has decreased significantly and whether such a decrease in activity results in transactions that are not orderly. GAAP requires enhanced disclosures around valuation inputs and techniques used during annual and interim periods.

Various inputs are used in determining the value of the fund’s investments relating to fair value measurements. These inputs are summarized in the three broad levels listed below:

30

 

Level 1—unadjusted quoted prices in active markets for identical investments.

Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.).

Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments).

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. Valuation techniques used to value the fund’s investments are as follows:

Investments in securities are valued each business day by an independent pricing service (the “Service”) approved by the fund’s Board of Trustees (the “Board”). Investments for which quoted bid prices are readily available and are representative of the bid side of the market in the judgment of the Service are valued at the mean between the quoted bid prices (as obtained by the Service from dealers in such securities) and asked prices (as calculated by the Service based upon its evaluation of the market for such securities). Debt investments (which constitute a majority of the portfolio securities) are carried at fair value as determined by the Service, based on methods which include consideration of the following: yields or prices of municipal securities of comparable quality, coupon, maturity and type; indications as to values from dealers; and general market conditions. All of the preceding securities are generally categorized within Level 2 of the fair value hierarchy.

The Service is engaged under the general oversight of the Board.

When market quotations or official closing prices are not readily available, or are determined not to accurately reflect fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded, but before the fund calculates its net asset value, the fund may value these investments at fair value as determined in accordance with the procedures approved by the Board. Certain factors may be considered when fair valuing investments such as: fundamental analytical data, the nature and duration of restrictions on disposition, an evaluation of the forces that influence the market in which the securities are purchased and sold, and public trading in similar securities of the issuer or comparable issuers.

31

 

NOTES TO FINANCIAL STATEMENTS (continued)

These securities are either categorized within Level 2 or 3 of the fair value hierarchy depending on the relevant inputs used.

For securities where observable inputs are limited, assumptions about market activity and risk are used and such securities are generally categorized within Level 3 of the fair value hierarchy.

The following is a summary of the inputs used as of March 31, 2022 in valuing the fund’s investments:

       
 

Level 1-Unadjusted Quoted Prices

Level 2- Other Significant Observable Inputs

 

Level 3-Significant Unobservable Inputs

Total

 

Assets ($)

  

Investments in Securities:

  

Municipal Securities

-

253,624,447

 

-

253,624,447

 

 See Statement of Investments for additional detailed categorizations, if any.

(b) Securities transactions and investment income: Securities transactions are recorded on a trade date basis. Realized gains and losses from securities transactions are recorded on the identified cost basis. Interest income, adjusted for accretion of discount and amortization of premium on investments, is earned from settlement date and recognized on the accrual basis. Securities purchased or sold on a when-issued or delayed delivery basis may be settled a month or more after the trade date.

(c) Risk: Certain events particular to the industries in which the fund’s investments conduct their operations, as well as general economic, political and public health conditions, may have a significant negative impact on the investee’s operations and profitability. In addition, turbulence in financial markets and reduced liquidity in equity, credit and/or fixed income markets may negatively affect many issuers, which could adversely affect the fund. Global economies and financial markets are becoming increasingly interconnected, and conditions and events in one country, region or financial market may adversely impact issuers in a different country, region or financial market. These risks may be magnified if certain events or developments adversely interrupt the global supply chain; in these and other circumstances, such risks might affect companies world-wide. Recent examples include pandemic risks related to COVID-19 and aggressive measures taken world-wide in response by governments, including closing borders, restricting international and domestic travel, and the imposition of prolonged quarantines of large populations, and by businesses, including changes to operations and reducing staff. The effects of COVID-19 have contributed to increased volatility in global markets

32

 

and will likely affect certain countries, companies, industries and market sectors more dramatically than others. The COVID-19 pandemic has had, and any other outbreak of an infectious disease or other serious public health concern could have, a significant negative impact on economic and market conditions and could trigger a prolonged period of global economic slowdown. To the extent the fund may overweight its investments in certain countries, companies, industries or market sectors, such positions will increase the fund’s exposure to risk of loss from adverse developments affecting those countries, companies, industries or sectors.

(d) Dividends and distributions to shareholders: It is the policy of the fund to declare dividends daily from net investment income. Such dividends are paid monthly. Dividends from net realized capital gains, if any, are normally declared and paid annually, but the fund may make distributions on a more frequent basis to comply with the distribution requirements of the Internal Revenue Code of 1986, as amended (the “Code”). To the extent that net realized capital gains can be offset by capital loss carryovers, it is the policy of the fund not to distribute such gains. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.

(e) Federal income taxes: It is the policy of the fund to continue to qualify as a regulated investment company, which can distribute tax-exempt dividends, by complying with the applicable provisions of the Code, and to make distributions of income and net realized capital gain sufficient to relieve it from substantially all federal income and excise taxes.

As of and during the period ended March 31, 2022, the fund did not have any liabilities for any uncertain tax positions. The fund recognizes interest and penalties, if any, related to uncertain tax positions as income tax expense in the Statement of Operations. During the period ended March 31, 2022, the fund did not incur any interest or penalties.

Each tax year in the four-year period ended March 31, 2022 remains subject to examination by the Internal Revenue Service and state taxing authorities.

At March 31, 2022, the components of accumulated earnings on a tax basis were as follows: undistributed tax-exempt income $269,479, accumulated capital losses $869,047 and unrealized depreciation $7,232,002.

The fund is permitted to carry forward capital losses for an unlimited period. Furthermore, capital loss carryovers retain their character as either short-term or long-term capital losses.

33

 

NOTES TO FINANCIAL STATEMENTS (continued)

The accumulated capital loss carryover is available for federal income tax purposes to be applied against future net realized capital gains, if any, realized subsequent to March 31, 2022. The fund has $365,566 of short-term capital losses and $503,481 of long-term capital losses which can be carried forward for an unlimited period.

The tax character of distributions paid to shareholders during the fiscal years ended March 31, 2022 and March 31, 2021 were as follows: tax-exempt income $2,256,229 and $3,220,580, respectively.

(f) New accounting pronouncements: In March 2020, the FASB issued Accounting Standards Update 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”), and in January 2021, the FASB issued Accounting Standards Update 2021-01, Reference Rate Reform (Topic 848): Scope (“ASU 2021-01”), which provides optional, temporary relief with respect to the financial reporting of contracts subject to certain types of modifications due to the planned discontinuation of the LIBOR and other interbank offered rates as of the end of 2021. The temporary relief provided by ASU 2020-04 and ASU 2021-01 is effective for certain reference rate-related contract modifications that occur during the period from March 12, 2020 through December 31, 2022. Management is evaluating the impact of ASU 2020-04 and ASU 2021-01 on the fund’s investments, derivatives, debt and other contracts that will undergo reference rate-related modifications as a result of the reference rate reform. Management is also currently actively working with other financial institutions and counterparties to modify contracts as required by applicable regulation and within the regulatory deadlines.

NOTE 2—Bank Lines of Credit:

The fund participates with other long-term open-end funds managed by the Adviser in a $823.5 million unsecured credit facility led by Citibank, N.A. (the “Citibank Credit Facility”) and a $300 million unsecured credit facility provided by BNY Mellon (the “BNYM Credit Facility”), a subsidiary of BNY Mellon and an affiliate of the Adviser, each to be utilized primarily for temporary or emergency purposes, including the financing of redemptions (each, a “Facility”). The Citibank Credit Facility is available in two tranches: (i) Tranche A is in an amount equal to $688.5 million and is available to all long-term open-ended funds, including the fund, and (ii) Tranche B is an amount equal to $135 million and is available only to BNY Mellon Floating Rate Income Fund, a series of BNY Mellon Investment Funds IV, Inc. In connection therewith, the fund has agreed to pay its pro rata portion of commitment fees for Tranche A of the Citibank Credit Facility and the BNYM Credit Facility. Interest is charged to the

34

 

fund based on rates determined pursuant to the terms of the respective Facility at the time of borrowing. During the period ended March 31, 2022, the fund did not borrow under the Facilities.

NOTE 3—Management Fee, Sub-Investment Advisory Fee and Other Transactions with Affiliates:

(a) Pursuant to a management agreement with the Adviser, the management fee is computed at the annual rate of .30% of the value of the fund’s average daily net assets and is payable monthly. The Adviser has contractually agreed, from April 1, 2021 through July 30, 2022, to waive receipt of its fees and/or assume the direct expenses of the fund, so that the direct expenses of none of the fund’s share classes (excluding Rule 12b-1 Service Plan fees, Shareholder Services Plan fees, taxes, interest expense, brokerage commissions, commitment fees on borrowings and extraordinary expenses) exceed .39% of the value of the fund’s average daily net assets. On or after July 30, 2022, the Adviser may terminate this expense limitation at any time. The reduction in expenses, pursuant to the undertaking, amounted to $129,557 during the period ended March 31, 2022.

As of the Effective Date, pursuant to a sub-investment advisory agreement between the Adviser and the Sub-adviser, the Adviser pays the Sub-adviser a monthly fee at an annual rate of .144% of the value of the fund’s average daily net assets.

During the period ended March 31, 2022, the Distributor retained $1,451 from commissions earned on sales of the fund’s Class A shares and $2,000 from CDSC fees on redemptions of the fund’s Class A shares.

(b) Under the Service Plan (the “Plan”) adopted pursuant to Rule 12b-1 under the Act, Class D shares pay the Distributor for distributing its shares at an annual rate of .10% of the value of its average daily net assets. The Distributor may pay one or more Service Agents in respect of shares owned by shareholders with whom the Service Agent has a servicing relationship or for whom the Service Agent is the dealer or holder of record and determines the amounts, if any, to be paid to Service Agents and the basis on which such payments are made. Pursuant to the Plan, Class D shares bear (i) the costs of preparing, printing and distributing prospectuses and statements of additional information used other than for regulatory purposes or distribution to existing shareholders, and (ii) the costs associated with implementing and operating the Plan (such as costs of printing and mailing service agreements), the aggregate of such amounts not to exceed in any fiscal year of the fund the greater of $100,000 or .005% of the value of its average daily net assets for any full fiscal year.

35

 

NOTES TO FINANCIAL STATEMENTS (continued)

During the period ended March 31, 2022, Class D shares were charged $186,300 pursuant to the Service Plan.

(c) Under the Shareholder Services Plan, Class A shares pay the Distributor at an annual rate of .25% of the value of its average daily net assets for the provision of certain services. The services provided may include personal services relating to shareholder accounts, such as answering shareholder inquiries regarding the fund and providing reports and other information, and services related to the maintenance of shareholder accounts. The Distributor may make payments to Service Agents (securities dealers, financial institutions or other industry professionals) with respect to these services. The Distributor determines the amounts to be paid to Service Agents. During the period ended March 31, 2022, Class A shares were charged $64,626, pursuant to the Shareholder Services Plan.

The fund has arrangements with the transfer agent and the custodian whereby the fund may receive earnings credits when positive cash balances are maintained, which are used to offset transfer agency and custody fees. For financial reporting purposes, the fund includes transfer agent net earnings credits, if any, as shareholder servicing costs and includes custody net earnings credits, if any, as an expense offset in the Statement of Operations.

The fund compensates BNY Mellon Transfer, Inc., a wholly-owned subsidiary of the Adviser, under a transfer agency agreement for providing transfer agency and cash management services inclusive of earnings credits, if any, for the fund. The majority of transfer agency fees are comprised of amounts paid on a per account basis, while cash management fees are related to fund subscriptions and redemptions. During the period ended March 31, 2022, the fund was charged $37,701 for transfer agency services, inclusive of earnings credit, if any. These fees are included in Shareholder servicing costs in the Statement of Operations.

The fund compensates The Bank of New York Mellon, a subsidiary of BNY Mellon and an affiliate of the Adviser, under a custody agreement, for providing custodial services for the fund. These fees are determined based on net assets, geographic region and transaction activity. During the period ended March 31, 2022, the fund was charged $6,041 pursuant to the custody agreement. These fees were partially offset by earnings credits of $1,877.

The fund compensates BNY Mellon under a shareholder redemption draft processing agreement for providing certain services related to the fund’s check writing privilege. During the period ended March 31, 2022, the fund

36

 

was charged $1,957 pursuant to the agreement, which is included in Shareholder servicing costs in the Statement of Operations.

During the period ended March 31, 2022, the fund was charged $15,181 for services performed by the Chief Compliance Officer and his staff. These fees are included in Chief Compliance Officer fees in the Statement of Operations.

The components of “Due to BNY Mellon Investment Adviser, Inc. and affiliates” in the Statement of Assets and Liabilities consist of: management fees of $66,957, Service Plan fees of $14,602, Shareholder Services Plan fees of $4,738, custodian fees of $1,304, Chief Compliance Officer fees of $3,918 and transfer agency fees of $6,467, which are offset against expense reimbursement currently in effect in the amount of $15,381.

(d) Each Board member also serves as a Board member of other funds in the BNY Mellon Family of Funds complex. Annual retainer fees and attendance fees are allocated to each fund based on net assets.

NOTE 4—Securities Transactions:

The aggregate amount of purchases and sales of investment securities, excluding short-term securities, during the period ended March 31, 2022, amounted to $88,082,066 and $86,054,156, respectively.

At March 31, 2022, the cost of investments for federal income tax purposes was $260,856,449; accordingly, accumulated net unrealized depreciation on investments was $7,232,002, consisting of $274,219 gross unrealized appreciation and $7,506,221 gross unrealized depreciation.

NOTE 5—Subsequent Event:

Effective on or about June 30, 2022, the fund will change its name to “BNY Mellon Short Term Municipal Bond Fund”. On June 30, 2022, the fund’s management fee will be reduced from .30% to .25% of the value of the fund’s average daily net assets.

37

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders and the Board of Trustees of BNY Mellon Short-Intermediate Municipal Bond Fund

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of BNY Mellon Short-Intermediate Municipal Bond Fund (the “Fund”), including the statement of investments, as of March 31, 2022, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund at March 31, 2022, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and its financial highlights for each of the five years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of the Fund’s internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of March 31, 2022, by correspondence with the custodian and others or by other appropriate auditing procedures where replies from others were not received. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

We have served as the auditor of one or more investment companies in the BNY Mellon Family of Funds since at least 1957, but we are unable to determine the specific year.

New York, New York
May 23, 2022

38

 

IMPORTANT TAX INFORMATION (Unaudited)

In accordance with federal tax law, the fund hereby reports all the dividends paid from investment income-net during the fiscal year ended March 31, 2022 as “exempt-interest dividends” (not generally subject to regular federal income tax). Where required by federal tax law rules, shareholders will receive notification of their portion of the fund’s taxable ordinary dividends (if any), capital gains distributions (if any) and tax-exempt dividends paid for the 2022 calendar year on Form 1099-DIV which will be mailed in early 2023.

39

 

BOARD MEMBERS INFORMATION (Unaudited)

Independent Board Members

Joseph S. DiMartino (78)

Chairman of the Board (1995)

Principal Occupation During Past 5 Years:

· Director or Trustee of funds in the BNY Mellon Family of Funds and certain other entities (as described in the fund’s Statement of Additional Information) (1995-Present)

Other Public Company Board Memberships During Past 5 Years:

· CBIZ, Inc., a public company providing professional business services, products and solutions, Director (1997-Present)

No. of Portfolios for which Board Member Serves: 96

———————

Francine J. Bovich (70)

Board Member (2015)

Principal Occupation During Past 5 Years:

· The Bradley Trusts, private trust funds, Trustee (2011-Present)

Other Public Company Board Memberships During Past 5 Years:

· Annaly Capital Management, Inc., a real estate investment trust, Director (2014-Present)

No. of Portfolios for which Board Member Serves: 54

———————

J. Charles Cardona (66)

Board Member (2014)

Principal Occupation During Past 5 Years:

· President and Director of the Adviser (2008-2016)

· Chief Executive Officer of Dreyfus Cash Investment Strategies, a division of the Adviser (2009-2016)

· Chairman of the Distributor (2013–2016)

Other Public Company Board Memberships During Past 5 Years:

· BNY Mellon ETF Trust, Chairman and Trustee (2020-Present)

· BNY Mellon Liquidity Funds, Director (2004-Present) and Chairman (2019-2021)

No. of Portfolios for which Board Member Serves: 36

———————

40

 

Andrew J. Donohue (71)

Board Member (2019)

Principal Occupation During Past 5 Years:

· Attorney, Solo Law Practice (2019-Present)

· Shearman & Sterling LLP, a law firm, Of Counsel (2017-2019)

· Chief of Staff to the Chair of the SEC (2015-2017)

Other Public Company Board Memberships During Past 5 Years:

· Oppenheimer Funds (58 funds), Director (2017-2019)

No. of Portfolios for which Board Member Serves: 44

———————

Isabel P. Dunst (75)

Board Member (2014)

Principal Occupation During Past 5 Years:

· Hogan Lovells LLP, a law firm, Retired (2019-Present); Senior Counsel (2018-2019); Of Counsel (2015-2018); Partner (1990-2014)

· Hebrew Union College Jewish Institute of Religion, Member of the Board of Governors (2015-Present)

· Bend the ARC, a civil rights organization, Board Member (2016-Present)

No. of Portfolios for which Board Member Serves: 22

———————

Nathan Leventhal (79)

Board Member (2009)

Principal Occupation During Past 5 Years:

· Lincoln Center for the Performing Arts, President Emeritus (2001-Present)

· Palm Beach Opera, President (2016-Present)

Other Public Company Board Memberships During Past 5 Years:

· Movado Group, Inc., a public company that designs, sources, markets and distributes watches Director (2003-2020)

No. of Portfolios for which Board Member Serves: 32

———————

41

 

BOARD MEMBERS INFORMATION (Unaudited) (continued)

Robin A. Melvin (58)

Board Member (2014)

Principal Occupation During Past 5 Years:

· Westover School, a private girls' boarding school in Middlebury, Connecticut, Trustee (2019-Present)

· Mentor Illinois, a non-profit organization dedicated to increasing the quality of mentoring services in Illinois, Co-Chair (2014-2020); Board Member, Mentor Illinois (2013-2020)

· JDRF, a non-profit juvenile diabetes research foundation, Board Member (June 2021-Present)

Other Public Company Board Memberships During Past 5 Years:

· HPS Corporate Lending Fund, a closed-end management investment company regulated as a business development company, Trustee (August 2021-Present)

No. of Portfolios for which Board Member Serves: 74

———————

Roslyn M. Watson (72)

Board Member (2014)

Principal Occupation During Past 5 Years:

· Watson Ventures, Inc., a real estate investment company. Principal (1993-Present)

Other Public Company Board Memberships During Past 5 Years:

· American Express Bank, FSB, Director (1993-2018)

No. of Portfolios for which Board Member Serves: 44

———————

Benaree Pratt Wiley (75)

Board Member (2009)

Principal Occupation During Past 5 Years:

· The Wiley Group, a firm specializing in strategy and business development, Principal (2005-Present)

Other Public Company Board Memberships During Past 5 Years:

· CBIZ, Inc., a public company providing professional business services, products and solutions, Director (2008-Present)

· Blue Cross Blue Shield of Massachusetts, Director (2004-2020)

No. of Portfolios for which Board Member Serves: 62

———————

42

 

Tamara Belinfanti (46)

Advisory Board Member (2021)

Principal Occupation During Past 5 Years:

· New York Law School, Lester Martin Professor of Law (2009-Present)

No. of Portfolios for which Advisory Board Member Serves: 22

———————

Gordon J. Davis (80)

Advisory Board Member (2021)

Principal Occupation During Past 5 Years:

· Venable LLP, a law firm Partner (2012-Present)

Other Public Company Board Memberships During Past 5 Years:

· BNY Mellon Family of Funds (53 funds), Board Member (1995-August 2021)

No. of Portfolios for which Advisory Board Member Serves: 40

———————

The address of the Board Members and Officers is c/o BNY Mellon Investment Adviser, Inc., 240 Greenwich Street, New York, New York 10286. Additional information about each Board Member is available in the fund’s Statement of Additional Information which can be obtained from the Adviser free of charge by calling this toll free number: 1-800-373-9387.

43

 

OFFICERS OF THE FUND (Unaudited)

DAVID DIPETRILLO, President since January 2021.

Vice President and Director of the Adviser since February 2021; Head of North America Product, BNY Mellon Investment Management since January 2018; and Director of Product Strategy, BNY Mellon Investment Management from January 2016 to December 2017. He is an officer of 56 investment companies (comprised of 110 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 44 years old and has been an employee of BNY Mellon since 2005.

JAMES WINDELS, Treasurer since November 2001.

Vice President of the Adviser since September 2020; Director–BNY Mellon Fund Administration, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 63 years old and has been an employee of the Adviser since April 1985.

PETER M. SULLIVAN, Chief Legal Officer since July 2021 and Vice President and Assistant Secretary since March 2019.

Chief Legal Officer of the Adviser and Associate General Counsel of BNY Mellon since July 2021; Senior Managing Counsel of BNY Mellon from December 2020 to July 2021; Managing Counsel of BNY Mellon from March 2009 to December 2020, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 54 years old and has been an employee of BNY Mellon since April 2004.

JAMES BITETTO, Vice President since August 2005 and Secretary since February 2018.

Senior Managing Counsel of BNY Mellon since December 2019; Managing Counsel of BNY Mellon from April 2014 to December 2019; Secretary of the Adviser, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 55 years old and has been an employee of the Adviser since December 1996.

DEIRDRE CUNNANE, Vice President and Assistant Secretary since March 2019.

Managing Counsel of BNY Mellon since December 2021, Counsel of BNY Mellon from August 2018 to December 2021; and Senior Regulatory Specialist at BNY Mellon Investment Management Services from February 2016 to August 2018. She is an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. She is 31 years old and has been an employee of the Adviser since August 2018.

SARAH S. KELLEHER, Vice President and Assistant Secretary since April 2014.

Vice President of BNY Mellon ETF Investment Adviser; LLC since February 2020; Senior Managing Counsel of BNY Mellon since September 2021; Managing Counsel of BNY Mellon from December 2017 to September 2021; and Senior Counsel of BNY Mellon from March 2013 to December 2017. She is an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. She is 46 years old and has been an employee of the Adviser since March 2013.

JEFF PRUSNOFSKY, Vice President and Assistant Secretary since August 2005.

Senior Managing Counsel of BNY Mellon, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 56 years old and has been an employee of the Adviser since October 1990.

AMANDA QUINN, Vice President and Assistant Secretary since March 2020.

Counsel of BNY Mellon since June 2019; Regulatory Administration Manager at BNY Mellon Investment Management Services from September 2018 to May 2019; and Senior Regulatory Specialist at BNY Mellon Investment Management Services from April 2015 to August 2018. She is an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. She is 36 years old and has been an employee of the Adviser since June 2019.

44

 

NATALYA ZELENSKY, Vice President and Assistant Secretary since March 2017.

Chief Compliance Officer since August 2021 and Vice President since February 2020 of BNY Mellon ETF Investment Adviser, LLC; Chief Compliance Officer since August 2021 and Vice President and Assistant Secretary since February 2020 of BNY Mellon ETF Trust; Managing Counsel of BNY Mellon from December 2019 to August 2021; Counsel of BNY Mellon from May 2016 to December 2019; and Assistant Secretary of the Adviser from April 2018 to August 2021. She is an officer of 56 investment companies (comprised of 130 portfolios) managed by the Adviser or an affiliate of the Adviser. She is 36 years old and has been an employee of BNY Mellon since May 2016.

DANIEL GOLDSTEIN, Vice President since March 2022.

Vice President and Head of Product Development of North America Product, BNY Mellon Investment Management since January 2018; Co-Head of Product Management, Development & Oversight of North America Product, BNY Mellon Investment Management from January 2010 to January 2018; and Senior Vice President, Development & Oversight of North America Product, BNY Mellon Investment Management since 2010. He is an officer of 56 investment companies (comprised of 110 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 52 years old and has been an employee of the Distributor since 1991.

JOSEPH MARTELLA, Vice President since March 2022.

Vice President and Head of Product Management of North America Product, BNY Mellon Investment Management since January 2018; Director of Product Research and Analytics of North America Product, BNY Mellon Investment Management from January 2010 to January 2018; and Senior Vice President of North America Product, BNY Mellon Investment Management since 2010. He is an officer of 56 investment companies (comprised of 110 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 45 years old and has been an employee of the Distributor since 1999.

GAVIN C. REILLY, Assistant Treasurer since December 2005.

Tax Manager–BNY Mellon Fund Administration, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 53 years old and has been an employee of the Adviser since April 1991.

ROBERT SALVIOLO, Assistant Treasurer since July 2007.

Senior Accounting Manager–BNY Mellon Fund Administration, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 54 years old and has been an employee of the Adviser since June 1989.

ROBERT SVAGNA, Assistant Treasurer since August 2005.

Senior Accounting Manager–BNY Mellon Fund Administration, and an officer of 57 investment companies (comprised of 131 portfolios) managed by the Adviser or an affiliate of the Adviser. He is 55 years old and has been an employee of the Adviser since November 1990.

JOSEPH W. CONNOLLY, Chief Compliance Officer since October 2004.

Chief Compliance Officer of the BNY Mellon Family of Funds and BNY Mellon Funds Trust since 2004; and Chief Compliance Officer of the Adviser from 2004 until June 2021. He is an officer of 56 investment companies (comprised of 117 portfolios) managed by the Adviser. He is 64 years old.

CARIDAD M. CAROSELLA, Anti-Money Laundering Compliance Officer since January 2016.

Anti-Money Laundering Compliance Officer of the BNY Mellon Family of Funds and BNY Mellon Funds Trust. She is an officer of 49 investment companies (comprised of 123 portfolios) managed by the Adviser or an affiliate of the Adviser. She is 53 years old and has been an employee of the Distributor since 1997.

45

 

For More Information

BNY Mellon Short-Intermediate Municipal Bond Fund

240 Greenwich Street

New York, NY 10286

Adviser

BNY Mellon Investment Adviser, Inc.

240 Greenwich Street

New York, NY 10286

Sub-adviser

Insight North America LLC
200 Park Avenue, 7th Floor

New York, NY 10166

Custodian

The Bank of New York Mellon

240 Greenwich Street

New York, NY 10286

Transfer Agent &
Dividend Disbursing Agent

BNY Mellon Transfer, Inc.

240 Greenwich Street

New York, NY 10286

Distributor

BNY Mellon Securities Corporation

240 Greenwich Street

New York, NY 10286

  

Ticker Symbols:

Class A: DMBAX      Class D: DSIBX      Class I: DIMIX      Class Y: DMYBX

Telephone Call your financial representative or 1-800-373-9387

Mail The BNY Mellon Family of Funds, 144 Glenn Curtiss Boulevard, Uniondale, NY 11556-0144

E-mail Send your request to info@bnymellon.com

Internet Information can be viewed online or downloaded at www.im.bnymellon.com

The fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year on Form N-PORT. The fund’s Forms N-PORT are available on the SEC’s website at www.sec.gov.

A description of the policies and procedures that the fund uses to determine how to vote proxies relating to portfolio securities and information regarding how the fund voted these proxies for the most recent 12-month period ended June 30 is available at www.im.bnymellon.com and on the SEC’s website at www.sec.gov and without charge, upon request, by calling 1-800-373-9387.

  

© 2022 BNY Mellon Securities Corporation
6219AR0322

 

 

Item 2. Code of Ethics.

The Registrant has adopted a code of ethics that applies to the Registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There have been no amendments to, or waivers in connection with, the Code of Ethics during the period covered by this Report.

Item 3. Audit Committee Financial Expert.

The Registrant's Board has determined that J. Charles Cardona, a member of the Audit Committee of the Board, is an audit committee financial expert as defined by the Securities and Exchange Commission (the "SEC"). Mr. Cardona is "independent" as defined by the SEC for purposes of audit committee financial expert determinations.

Item 4. Principal Accountant Fees and Services.

 

(a) Audit Fees. The aggregate fees billed for each of the last two fiscal years (the "Reporting Periods") for professional services rendered by the Registrant's principal accountant (the "Auditor") for the audit of the Registrant's annual financial statements or services that are normally provided by the Auditor in connection with the statutory and regulatory filings or engagements for the Reporting Periods, were $35,494 in 2021 and $36,204 in 2022.

 

(b) Audit-Related Fees. The aggregate fees billed in the Reporting Periods for assurance and related services by the Auditor that are reasonably related to the performance of the audit of the Registrant's financial statements and are not reported under paragraph (a) of this Item 4 were $12,575 in 2021 and $10,143 in 2022. These services consisted of one or more of the following: (i) agreed upon procedures related to compliance with Internal Revenue Code section 817(h), (ii) security counts required by Rule 17f-2 under the Investment Company Act of 1940, as amended, (iii) advisory services as to the accounting or disclosure treatment of Registrant transactions or events and (iv) advisory services to the accounting or disclosure treatment of the actual or potential impact to the Registrant of final or proposed rules, standards or interpretations by the Securities and Exchange Commission, the Financial Accounting Standards Boards or other regulatory or standard-setting bodies.

 

The aggregate fees billed in the Reporting Periods for non-audit assurance and related services by the Auditor to the Registrant's investment adviser (not including any sub-investment adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Registrant ("Service Affiliates"), that were reasonably related to the performance of the annual audit of the Service Affiliate, which required pre-approval by the Audit Committee were $0 in 2021 and $0 in 2022.

 

(c) Tax Fees. The aggregate fees billed in the Reporting Periods for professional services rendered by the Auditor for tax compliance, tax advice, and tax planning ("Tax Services") were $5,369 in 2021 and $3,342 in 2022. These services consisted of: (i) review or preparation of U.S. federal, state, local and excise tax returns; (ii) U.S. federal, state and local tax planning, advice and assistance regarding statutory, regulatory or administrative developments; (iii) tax advice regarding tax qualification matters and/or treatment of various

 
 

financial instruments held or proposed to be acquired or held, and (iv) determination of Passive Foreign Investment Companies. The aggregate fees billed in the Reporting Periods for Tax Services by the Auditor to Service Affiliates, which required pre-approval by the Audit Committee were $0 in 2021 and $8,158 in 2022.

 

(d) All Other Fees. The aggregate fees billed in the Reporting Periods for products and services provided by the Auditor, other than the services reported in paragraphs (a) through (c) of this Item, were $575 in 2021 and $601 in 2022. These services consisted of a review of the Registrant's anti-money laundering program.

 

The aggregate fees billed in the Reporting Periods for Non-Audit Services by the Auditor to Service Affiliates, other than the services reported in paragraphs (b) through (c) of this Item, which required pre-approval by the Audit Committee, were $0 in 2021 and $0 in 2022.

 

(e)(1) Audit Committee Pre-Approval Policies and Procedures. The Registrant's Audit Committee has established policies and procedures (the "Policy") for pre-approval (within specified fee limits) of the Auditor's engagements for non-audit services to the Registrant and Service Affiliates without specific case-by-case consideration. The pre-approved services in the Policy can include pre-approved audit services, pre-approved audit-related services, pre-approved tax services and pre-approved all other services. Pre-approval considerations include whether the proposed services are compatible with maintaining the Auditor's independence. Pre-approvals pursuant to the Policy are considered annually.

(e)(2) Note. None of the services described in paragraphs (b) through (d) of this Item 4 were approved by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

 

(f) None of the hours expended on the principal accountant's engagement to audit the registrant's financial statements for the most recent fiscal year were attributed to work performed by persons other than the principal accountant's full-time, permanent employees.

Non-Audit Fees. The aggregate non-audit fees billed by the Auditor for services rendered to the Registrant, and rendered to Service Affiliates, for the Reporting Periods were $2,168,933 in 2021 and $2,674,559 in 2022.

 

Auditor Independence. The Registrant's Audit Committee has considered whether the provision of non-audit services that were rendered to Service Affiliates, which were not pre-approved (not requiring pre-approval), is compatible with maintaining the Auditor's independence.

 

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Investments.

(a) Not applicable.

Item 7.Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

 
 
Item 9.Purchases of Equity Securities by Closed-End Management Investment Companies and Affiliated Purchasers.

Not applicable.

Item 10.Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures applicable to Item 10.

Item 11.Controls and Procedures.

(a)       The Registrant's principal executive and principal financial officers have concluded, based on their evaluation of the Registrant's disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant's disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-CSR is accumulated and communicated to the Registrant's management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.

(b)       There were no changes to the Registrant's internal control over financial reporting that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.

Item 12.Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 13.Exhibits.

(a)(1) Code of ethics referred to in Item 2.

(a)(2) Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940.

(a)(3) Not applicable.

(b)       Certification of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940.

 
 

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.

BNY Mellon Short-Intermediate Municipal Bond Fund

By: /s/ David DiPetrillo

      David DiPetrillo

      President (Principal Executive Officer)

 

Date: May 20, 2022

 

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 dates indicated.

 

By: /s/ David DiPetrillo

      David DiPetrillo

      President (Principal Executive Officer)

 

Date: May 20, 2022

 

By: /s/ James Windels

      James Windels

      Treasurer (Principal Financial Officer)

 

Date: May 20, 2022

 

 

 
 

 

EXHIBIT INDEX

(a)(1) Code of ethics referred to in Item 2.

(a)(2) Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940. (EX-99.CERT)

(b)       Certification of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940. (EX-99.906CERT)