N-CSRS 1 acctfmf22916n-csr.htm N-CSRS N-CSR


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
811-03706
 
 
AMERICAN CENTURY CALIFORNIA TAX-FREE AND MUNICIPAL FUNDS
(Exact name of registrant as specified in charter)
 
 
4500 MAIN STREET, KANSAS CITY, MISSOURI
64111
(Address of principal executive offices)
(Zip Code)
 
 
CHARLES A. ETHERINGTON
4500 MAIN STREET, KANSAS CITY, MISSOURI 64111
(Name and address of agent for service)
 
 
Registrant’s telephone number, including area code:
816-531-5575
 
 
Date of fiscal year end:
08-31
 
 
Date of reporting period:
02-29-2016




ITEM 1.  REPORTS TO STOCKHOLDERS.



SEMIANNUAL REPORT
FEBRUARY 29, 2016

 
 


California Long-Term Tax-Free Fund







Table of Contents
President’s Letter
2

Fund Characteristics

Shareholder Fee Example

Schedule of Investments

Statement of Assets and Liabilities

Statement of Operations

Statement of Changes in Net Assets

Notes to Financial Statements

Financial Highlights

Additional Information































Any opinions expressed in this report reflect those of the author as of the date of the report, and do not necessarily represent the opinions of American Century Investments® or any other person in the American Century Investments organization. Any such opinions are subject to change at any time based upon market or other conditions and American Century Investments disclaims any responsibility to update such opinions. These opinions may not be relied upon as investment advice and, because investment decisions made by American Century Investments funds are based on numerous factors, may not be relied upon as an indication of trading intent on behalf of any American Century Investments fund. Security examples are used for representational purposes only and are not intended as recommendations to purchase or sell securities. Performance information for comparative indices and securities is provided to American Century Investments by third party vendors. To the best of American Century Investments’ knowledge, such information is accurate at the time of printing.



President’s Letter

Dear Investor:

Thank you for reviewing this semiannual report for the six months ended February 29, 2016. It provides a macroeconomic and financial market overview (below), followed by a schedule of fund investments and other financial information.

For additional commentary and information on fund performance, key factors that affected asset returns, and other insights regarding the investment markets, we encourage you to visit our website, americancentury.com.
Jonathan Thomas

Municipal Bonds (Munis) Outperformed During a Volatile Period

Widespread concerns about global economic growth sparked sharp financial market volatility during the reporting period. China was the primary catalyst, where market-moving events included slowing economic growth, currency devaluations, and massive monetary policy easing. These events sent shock waves through the global markets last summer and re-emerged in January and early February, triggering sell-offs in riskier assets such as stocks and high-yield bonds, and a plunge in commodity prices, most notably oil. The U.S. dollar advanced against other major currencies for the six-month period as U.S. investment instruments generally outperformed their non-U.S. counterparts. In the U.S. stock market, relatively defensive sectors such as utilities, real estate investment trusts (REITs), and large-cap growth stocks performed best. In the U.S. bond market, high-quality sectors including munis and Treasuries were market leaders.

Despite default threats in Puerto Rico and financial concerns facing the city of Chicago and the states of Illinois and New Jersey, the broader muni market was viewed as a relative bastion of stability because of its comparatively high overall credit quality. Investors also focused on munis because this sector has historically performed relatively well in periods of rising interest rates, particularly if the rate increases reflect stronger economic conditions. The Barclays Municipal Bond Index advanced 3.62% for the six months.

Speaking of rising interest rates, the U.S. Federal Reserve (the Fed) finally began the process of gradually increasing its overnight interest rate target. But we don’t expect a big increase in intermediate- to longer-maturity bond yields in the near term because of deflationary threats and other headwinds still facing the global economy. We believe the Fed’s moves (and conjecture about these moves) will be accompanied by further market volatility. This could present both challenges and opportunities for active investment managers. In this environment, we continue to believe in a disciplined, diversified, risk-aware investment approach, using professionally managed portfolios to meet financial goals. We appreciate your trust in us.

Sincerely,
Jonathan Thomas
President and Chief Executive Officer
American Century Investments


2


Fund Characteristics 
FEBRUARY 29, 2016
Portfolio at a Glance
 
Weighted Average Maturity
17.2 years
Average Duration (Modified)
5.1 years
 
Top Five Sectors
% of fund investments
General Obligation (GO) - Local
14%
Hospital
14%
General Obligation (GO) - State
12%
Lease Revenue
8%
Prerefunded
7%
 
Types of Investments in Portfolio
% of net assets
Municipal Securities
95.6%
Temporary Cash Investments
3.3%
Other Assets and Liabilities
1.1%

3


Shareholder Fee Example 

Fund shareholders may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption/exchange fees; and (2) ongoing costs, including management fees; distribution and service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in your fund and to compare these costs with the ongoing cost of investing in other mutual funds.

The example is based on an investment of $1,000 made at the beginning of the period and held for the entire period from September 1, 2015 to February 29, 2016.

Actual Expenses

The table provides information about actual account values and actual expenses for each class. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. First, identify the share class you own. Then simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

If you hold Investor Class shares of any American Century Investments fund, or Institutional Class shares of the American Century Diversified Bond Fund, in an American Century Investments account (i.e., not a financial intermediary or retirement plan account), American Century Investments may charge you a $12.50 semiannual account maintenance fee if the value of those shares is less than $10,000. We will redeem shares automatically in one of your accounts to pay the $12.50 fee. In determining your total eligible investment amount, we will include your investments in all personal accounts (including American Century Investments Brokerage accounts) registered under your Social Security number. Personal accounts include individual accounts, joint accounts, UGMA/UTMA accounts, personal trusts, Coverdell Education Savings Accounts and IRAs (including traditional, Roth, Rollover, SEP-, SARSEP- and SIMPLE-IRAs), and certain other retirement accounts. If you have only business, business retirement, employer-sponsored or American Century Investments Brokerage accounts, you are currently not subject to this fee. If you are subject to the Account Maintenance Fee, your account value could be reduced by the fee amount.

Hypothetical Example for Comparison Purposes

The table also provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio of each class of your fund and an assumed rate of return of 5% per year before expenses, which is not the actual return of a fund’s share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in your fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) or redemption/exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

4




Beginning
Account Value
9/1/15
Ending
Account Value
2/29/16
Expenses Paid
During Period(1)9/1/15 - 2/29/16

Annualized
Expense Ratio(1)
Actual
 
 
 
 
Investor Class
$1,000
$1,035.20
$2.38
0.47%
Institutional Class
$1,000
$1,036.20
$1.37
0.27%
A Class
$1,000
$1,033.90
$3.64
0.72%
C Class
$1,000
$1,030.10
$7.42
1.47%
Hypothetical
 
 
 
 
Investor Class
$1,000
$1,022.53
$2.36
0.47%
Institutional Class
$1,000
$1,023.52
$1.36
0.27%
A Class
$1,000
$1,021.28
$3.62
0.72%
C Class
$1,000
$1,017.55
$7.37
1.47%
(1)
Expenses are equal to the class's annualized expense ratio listed in the table above, multiplied by the average account value over the period, multiplied by 182, the number of days in the most recent fiscal half-year, divided by 366, to reflect the one-half year period.


5


Schedule of Investments
 
FEBRUARY 29, 2016 (UNAUDITED)
 
Principal Amount
Value
MUNICIPAL SECURITIES — 95.6%
 
 
California — 94.9%
 
 
ABAG Finance Authority for Nonprofit Corps. Rev., (Sharp HealthCare), 6.25%, 8/1/39
$
1,200,000

$
1,392,492

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2011 A, (Sharp HealthCare), 6.00%, 8/1/30
1,000,000

1,221,240

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2014 A, (Sharp HealthCare), 5.00%, 8/1/43
500,000

570,010

Alameda Corridor Transportation Authority Rev., Capital Appreciation, Series 1999 A, 0.00%, 10/1/32 (NATL-RE)(1)
1,000,000

548,350

Alameda Corridor Transportation Authority Rev., Capital Appreciation, Series 1999 A, (Senior Lien), 0.00%, 10/1/35 (NATL-RE)(1)
3,750,000

1,788,675

Alum Rock Union Elementary School District GO, Series 2013 A, (Election of 2012), 6.00%, 8/1/39
1,000,000

1,270,530

Anaheim Public Financing Authority Rev., (Electric System Distribution), 5.25%, 10/1/39
2,500,000

2,788,775

Anaheim Public Financing Authority Rev., Series 2011 A, (Electric System Distribution Facilities), 5.375%, 10/1/36
300,000

352,764

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/46
2,200,000

2,506,438

Bay Area Toll Authority Toll Bridge Rev., Series 2001 A, (San Francisco Bay Area), VRDN, 1.26%, 3/3/16
500,000

493,655

Bay Area Toll Authority Toll Bridge Rev., Series 2006 F, (San Francisco Bay Area), 5.00%, 4/1/16, Prerefunded at 100% of Par(2)
3,000,000

3,013,080

Bay Area Toll Authority Toll Bridge Rev., Series 2007 A-1, (San Francisco Bay Area), VRDN, 0.71%, 3/3/16
550,000

549,335

Bay Area Toll Authority Toll Bridge Rev., Series 2008 G-1, (San Francisco Bay Area), VRDN, 1.11%, 3/3/16
1,250,000

1,240,262

Bay Area Toll Authority Toll Bridge Rev., Series 2009 F-1, (San Francisco Bay Area), 5.25%, 4/1/19, Prerefunded at 100% of Par(2)
1,500,000

1,707,195

Bay Area Toll Authority Toll Bridge Rev., Series 2013 S-4, (San Francisco Bay Area), 5.00%, 4/1/43
2,655,000

3,066,897

Bay Area Toll Authority Toll Bridge Rev., Series 2014 S-6, (San Francisco Bay Area), 5.00%, 10/1/54
2,500,000

2,877,750

Brea Redevelopment Agency Tax Allocation Rev., 4.00%, 8/1/16
1,245,000

1,264,584

California Department of Water Resources Power Supply Rev., Series 2005 G-4, 5.00%, 5/1/16
1,450,000

1,462,397

California Department of Water Resources Power Supply Rev., Series 2008 H, 5.00%, 5/1/21
715,000

782,839

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/18
2,000,000

2,192,980

California Economic Recovery GO, Series 2009 A, 5.00%, 7/1/16(2)
1,700,000

1,728,067

California Educational Facilities Authority Rev., (Chapman University), 5.00%, 4/1/25
285,000

352,465

California Educational Facilities Authority Rev., (Harvey Mudd College), 5.25%, 12/1/41
2,000,000

2,355,360

California Educational Facilities Authority Rev., (Santa Clara University), 5.625%, 4/1/18, Prerefunded at 100% of Par(2)
4,675,000

5,157,787

California Educational Facilities Authority Rev., (Santa Clara University), 5.625%, 4/1/37
325,000

355,339


6


 
Principal Amount
Value
California Educational Facilities Authority Rev., (University of the Pacific), 5.00%, 11/1/33
$
500,000

$
588,450

California Educational Facilities Authority Rev., Series 2009 A, (University of Southern California), 5.00%, 10/1/39
2,000,000

2,206,780

California Educational Facilities Authority Rev., Series 2015 A, (Claremont McKenna College), 5.00%, 1/1/32
750,000

917,018

California GO, 5.00%, 2/1/27
3,000,000

3,621,750

California GO, 5.00%, 2/1/28
1,000,000

1,202,680

California GO, 5.00%, 3/1/28
2,000,000

2,465,980

California GO, 5.25%, 9/1/32
2,000,000

2,368,180

California GO, 6.50%, 4/1/33
5,000,000

5,837,700

California GO, 5.00%, 4/1/38
2,500,000

2,694,300

California GO, 6.00%, 4/1/38
2,500,000

2,872,650

California GO, 6.00%, 11/1/39
5,000,000

5,877,350

California GO, 5.50%, 3/1/40
3,000,000

3,474,960

California GO, 5.00%, 10/1/41
2,000,000

2,308,880

California GO, 5.00%, 8/1/45
2,795,000

3,278,339

California GO, Series 2012 B, VRN, 0.91%, 3/3/16
2,000,000

2,014,220

California GO, Series 2012 B, VRN, 1.01%, 3/3/16
800,000

807,376

California GO, Series 2012 B, VRN, 1.16%, 3/3/16
960,000

975,744

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 8/15/21
1,000,000

1,205,000

California Health Facilities Financing Authority Rev., Series 2007 A, (Sutter Health), 5.25%, 11/15/46
1,500,000

1,545,375

California Health Facilities Financing Authority Rev., Series 2008 A, (Lucile Salter Packard Children's Hospital), VRDN, 1.45%, 3/15/17
150,000

151,572

California Health Facilities Financing Authority Rev., Series 2008 C, (Providence Health & Services), 6.50%, 10/1/18, Prerefunded at 100% of Par(2)
1,000,000

1,149,370

California Health Facilities Financing Authority Rev., Series 2009 A, (Catholic Healthcare West), 6.00%, 7/1/39
3,400,000

3,892,796

California Health Facilities Financing Authority Rev., Series 2009 A, (Children's Hospital of Orange County), 6.50%, 11/1/38
4,500,000

5,310,585

California Health Facilities Financing Authority Rev., Series 2009 A, (St. Joseph Health System), 5.75%, 7/1/39
1,000,000

1,143,860

California Health Facilities Financing Authority Rev., Series 2009 B, (Providence Health & Services), 5.50%, 10/1/39
1,000,000

1,138,490

California Health Facilities Financing Authority Rev., Series 2010 A, (Scripps Memorial Hospital), 5.00%, 11/15/19
1,000,000

1,149,600

California Health Facilities Financing Authority Rev., Series 2011 B, (Sutter Health), 6.00%, 8/15/42
1,500,000

1,800,990

California Health Facilities Financing Authority Rev., Series 2012 A, (Stanford Hospital & Clinics), 5.00%, 8/15/51
500,000

553,280

California Health Facilities Financing Authority Rev., Series 2013 A, (St. Joseph Health System), 5.00%, 7/1/37
180,000

208,427

California Health Facilities Financing Authority Rev., Series 2013 A, (Sutter Health), 5.00%, 8/15/52
1,500,000

1,681,260

California Health Facilities Financing Authority Rev., Series 2014 A, (Lucile Salter Packard Children's Hospital), 5.00%, 8/15/43
1,000,000

1,146,850

California Health Facilities Financing Authority Rev., Series 2015, (Cedars-Sinai Medical Center), 5.00%, 11/15/32
400,000

490,376

California Health Facilities Financing Authority Rev., Series 2015 A, (Sutter Health), 5.00%, 8/15/43
720,000

833,983

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/46
2,000,000

2,318,920


7


 
Principal Amount
Value
California Infrastructure & Economic Development Bank Rev., (Academy Motion Picture Arts and Sciences Obligated Group), 5.00%, 11/1/41
$
740,000

$
851,673

California Infrastructure & Economic Development Bank Rev., Series 2013 A, (Los Angeles County Museum of Art Project), VRDN, 2.05%, 3/3/16
1,000,000

1,023,750

California Infrastructure & Economic Development Bank Rev., Series 2015 A, (The Colburn School), VRDN, 1.01%, 3/3/16
935,000

936,402

California Municipal Finance Authority Rev., Series 2010 A, (University of La Verne), 6.25%, 6/1/40
1,000,000

1,145,050

California Municipal Finance Authority Rev., Series 2011 B, (Azusa Pacific University), 8.00%, 4/1/21, Prerefunded at 100% of Par(2)
665,000

889,132

California Municipal Finance Authority Rev., Series 2011, (Emerson College), 6.00%, 1/1/42
2,000,000

2,392,420

California Municipal Finance Authority Rev., Series 2014 A, (Touro College and University System), 5.25%, 1/1/34
300,000

330,261

California Municipal Finance Authority Rev., Series 2014 A, (Touro College and University System), 5.25%, 1/1/40
1,000,000

1,083,780

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/40
1,420,000

1,595,299

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/46
1,000,000

1,114,480

California Municipal Finance Authority Rev., Series 2015 B, (Azusa Pacific University), 5.00%, 4/1/41
500,000

545,440

California Pollution Control Financing Authority Rev., 5.00%, 11/21/45(3)
1,000,000

1,023,640

California Pollution Control Financing Authority Rev., Series 1996 F, (Pacific Gas & Electric Co.), VRDN, 0.01%, 3/1/16 (LOC: TD Bank N.A.)
1,000,000

1,000,000

California Public Works Board Lease Rev., Series 2009 G-1, (Various Capital Projects), 5.75%, 10/1/30
2,000,000

2,335,400

California Public Works Board Lease Rev., Series 2009 H, (Department of Correction and Rehabilitation), 5.75%, 11/1/29
1,685,000

1,974,618

California Public Works Board Lease Rev., Series 2011 D, (Judicial Council Projects), 5.25%, 12/1/26
1,000,000

1,214,940

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/37
2,170,000

2,491,768

California Public Works Board Lease Rev., Series 2012 D, (California State University Projects), 5.00%, 9/1/36
500,000

580,480

California Public Works Board Lease Rev., Series 2013 H, (California State University Projects), 5.00%, 9/1/38
1,865,000

2,135,574

California Public Works Board Lease Rev., Series 2013 I, (Various Capital Projects), 5.00%, 11/1/38
1,500,000

1,731,960

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/46(3)
250,000

277,365

California State University Rev., Series 2015 A, 5.00%, 11/1/19
1,000,000

1,157,320

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.25%, 11/1/30
1,000,000

1,144,250

California Statewide Communities Development Authority Rev., (Trinity Health Corp.), 5.00%, 12/1/41
500,000

559,770

California Statewide Communities Development Authority Rev., Series 2001 C, (Kaiser Permanente), 5.25%, 8/1/31
3,000,000

3,050,100

California Statewide Communities Development Authority Rev., Series 2008 C, (John Muir Health), VRDN, 0.01%, 3/1/16 (LOC: Wells Fargo Bank N.A.)
600,000

600,000

California Statewide Communities Development Authority Rev., Series 2012 A, (Kaiser Permanente), 5.00%, 4/1/42
2,780,000

3,164,335


8


 
Principal Amount
Value
California Statewide Communities Development Authority Rev., Series 2014 A, (Henry Mayo Newhall Memorial Hospital), 5.25%, 10/1/43 (AGM)
$
750,000

$
865,560

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/34
500,000

573,075

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/44
1,300,000

1,472,562

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/35
715,000

842,892

California Statewide Communities Development Authority Rev., Series 2015, (American Baptist Homes of the West), 5.00%, 10/1/45
600,000

671,460

California University Systemwide Rev., Series 2009 A, 5.25%, 11/1/34
2,230,000

2,519,989

Carson Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2014 A, (Project Area No. 1), 5.00%, 10/1/19 (AGM)
485,000

549,267

Carson Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2014 A, (Project Area No. 1), 5.00%, 10/1/20 (AGM)
785,000

910,349

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 4.00%, 9/2/17
365,000

382,659

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 4.00%, 9/2/18
375,000

403,339

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 4.00%, 9/2/19
600,000

659,994

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 15-1), 5.00%, 9/2/26
1,000,000

1,231,480

City of Riverside Rev., Series 2015 A, (Sewer), 5.00%, 8/1/40
500,000

577,355

Del Mar Race Track Authority Rev., 5.00%, 10/1/35(3)
660,000

721,162

Eastern Municipal Water District Water & Sewer Rev., Series 2011 A, 4.00%, 7/1/16
400,000

405,144

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2013 A, 0.00%, 1/15/24(4)
700,000

560,714

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2013 A, 0.00%, 1/15/42(1)
1,250,000

389,825

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2015 A, 0.00%, 1/15/33(1)
600,000

284,286

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 A, 5.75%, 1/15/46
1,000,000

1,170,970

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 A, 6.00%, 1/15/49
3,250,000

3,849,267

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 B-3, VRDN, 5.50%, 1/15/23
1,000,000

1,194,360

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 C, 6.50%, 1/15/43
500,000

596,585

Golden State Tobacco Securitization Corp. Settlement Rev., Capital Appreciation, Series 2005 A, 0.00%, 6/1/25 (AGM)(1)
1,000,000

803,340

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 4.50%, 6/1/27
445,000

446,647

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 5.00%, 6/1/33
750,000

711,855

Grossmont Union High School District GO, Series 2013 E, (Election of 2008), 5.00%, 8/1/43
1,000,000

1,168,380

Hayward Area Recreation and Park District COP, 5.125%, 1/1/39
1,000,000

1,128,050

Inland Valley Development Agency Tax Allocation Rev., Series 2014 A, 5.25%, 9/1/37
555,000

642,857

Inland Valley Development Agency Tax Allocation Rev., Series 2014 A, 5.00%, 9/1/44
590,000

658,741


9


 
Principal Amount
Value
Irvine Community Facilities District No. 2013-3 Special Tax Rev., (Great Park Improvement Area No. 1), 5.00%, 9/1/49
$
1,000,000

$
1,118,890

Kaweah Delta Health Care District Rev., Series 2015 B, 4.00%, 6/1/45
750,000

760,118

La Verne COP, (Brethren Hillcrest Homes), 5.00%, 5/15/29
635,000

706,571

Long Beach Bond Finance Authority Natural Gas Purchase Rev., Series 2007 A, 5.00%, 11/15/35
330,000

387,602

Long Beach Bond Finance Authority Natural Gas Purchase Rev., Series 2007 A, 5.50%, 11/15/37
695,000

874,519

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/40
1,250,000

1,385,062

Los Alamitos Unified School District COP, Capital Appreciation, (Capital Projects), 0.00%, 8/1/24(4)
1,100,000

867,636

Los Angeles Community College District GO, Series 2007 A, (Election of 2001), 5.00%, 8/1/17, Prerefunded at 100% of Par (NATL-RE/FGIC)(2)
1,425,000

1,517,226

Los Angeles County Regional Financing Authority Rev., Series 2014 B-1, (MonteCedro, Inc.), 3.00%, 11/15/21 (California Mortgage Insurance)
355,000

355,859

Los Angeles County Regional Financing Authority Rev., Series 2014 B-2, (MonteCedro, Inc.), 3.00%, 11/15/20 (California Mortgage Insurance)
275,000

275,663

Los Angeles County Regional Financing Authority Rev., Series 2014 B-3, (MonteCedro, Inc.), 2.50%, 11/15/20 (California Mortgage Insurance)
390,000

390,772

Los Angeles County Sanitation Districts Financing Authority Rev., Series 2015 A, (Capital Projects), 5.00%, 10/1/35
1,500,000

1,784,130

Los Angeles Department of Airports Rev., Series 2008 C, (Los Angeles International Airport), 5.25%, 5/15/18, Prerefunded at 100% of Par(2)
2,120,000

2,335,858

Los Angeles Department of Airports Rev., Series 2010 A, (Los Angeles International Airport), 5.00%, 5/15/40
1,000,000

1,133,730

Los Angeles Department of Airports Rev., Series 2010 B, (Los Angeles International Airport), 5.00%, 5/15/40
2,000,000

2,263,980

Los Angeles Department of Water & Power System Rev., Series 2008 A-1, 5.25%, 7/1/38
4,000,000

4,383,680

Los Angeles Department of Water & Power System Rev., Series 2011 A, 5.00%, 7/1/19
1,000,000

1,141,650

Los Angeles Harbor Department Rev., Series 2009 A, 5.00%, 8/1/27
500,000

569,325

Los Angeles Unified School District GO, Series 2006 F, (Election of 2004), 5.00%, 7/1/16, Prerefunded at 100% of Par (FGIC)(2)
2,000,000

2,032,820

Los Angeles Unified School District GO, Series 2007 H, (Election of 2004), 5.00%, 7/1/32 (AGM)
1,020,000

1,074,611

Los Angeles Unified School District GO, Series 2009 I, (Election of 2004), 5.00%, 7/1/29
2,000,000

2,265,220

Los Angeles Unified School District GO, Series 2010 KRY, 5.25%, 7/1/26
1,000,000

1,174,660

Los Angeles Unified School District GO, Series 2011 A-1, 4.00%, 7/1/17
1,000,000

1,047,880

Los Angeles Unified School District GO, Series 2011 A-1, 5.00%, 7/1/18
1,280,000

1,411,866

Los Angeles Unified School District GO, Series 2014 B, 5.00%, 7/1/18
2,000,000

2,206,040

Los Angeles Unified School District GO, Series 2014 C, 5.00%, 7/1/30
690,000

835,852

M-S-R Energy Authority Rev., Series 2009 A, 7.00%, 11/1/34 (GA: Citigroup, Inc.)
1,000,000

1,459,260


10


 
Principal Amount
Value
M-S-R Energy Authority Rev., Series 2009 B, 7.00%, 11/1/34 (GA: Citigroup, Inc.)
$
880,000

$
1,284,149

M-S-R Energy Authority Rev., Series 2009 B, 6.50%, 11/1/39 (GA: Citigroup, Inc.)
425,000

594,749

Manhattan Beach Unified School District GO, Capital Appreciation, Series 2009 A, (Election of 2008), 0.00%, 9/1/29(1)
5,905,000

3,930,486

Modesto Irrigation District COP, Series 2009 A, 5.75%, 10/1/34
2,500,000

2,820,750

Mount San Antonio Community College District GO, Series 2013 A, (Election of 2008), 5.00%, 8/1/34
1,000,000

1,193,780

New Haven Unified School District GO, 12.00%, 8/1/18 (AGM)
880,000

1,118,691

New Haven Unified School District GO, Series 2015 A, (Election 2014), 5.00%, 8/1/45
1,500,000

1,745,940

Newport Beach Rev., Series 2011 A, (Hoag Memorial Hospital Presbyterian), 6.00%, 12/1/21, Prerefunded at 100% of Par(2)
1,000,000

1,274,560

North Lake Tahoe Public Financing Authority Rev., 5.00%, 12/1/21
500,000

605,445

Oakland Unified School District Alameda County GO, Series 2012 A, (Election of 2006), 5.50%, 8/1/32
1,000,000

1,166,620

Oakland Unified School District Alameda County GO, Series 2013, (Election of 2012), 6.625%, 8/1/38
460,000

564,618

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/40
450,000

505,305

Ontario Public Financing Authority Rev., 5.00%, 7/1/43
1,000,000

1,144,280

Orange County District Special Tax Rev., Series 2015 A, (Communities Facilities District No. 2015-1, Village of Esencia), 5.00%, 8/15/35
1,000,000

1,151,120

Orange County Sanitation District Rev., Series 2014 B, 4.00%, 11/15/16
2,000,000

2,051,140

Orange County Transportation Authority Rev., (Senior Lien), 5.00%, 8/15/25
1,000,000

1,218,410

Oxnard Financing Authority Rev., 5.00%, 6/1/32 (AGM)
1,500,000

1,722,600

Oxnard Financing Authority Wastewater Rev., 5.00%, 6/1/33 (AGM)
1,000,000

1,138,190

Oxnard School District GO, Series 2015 D, (Election of 2012), 3.00%, 8/1/20 (AGM)(4)
700,000

738,668

Palomar Pomerado Health Care District COP, 6.75%, 11/1/39
500,000

560,550

Palomar Pomerado Health Care District COP, 6.00%, 11/1/41
750,000

800,783

Palomar Pomerado Health GO, Capital Appreciation, Series 2009 A, (Election of 2004), 0.00%, 8/1/19 (AGC)(4)
1,670,000

1,899,441

Palos Verdes Peninsula Unified School District GO, Series 2009 R, (Election of 2005), 0.00%, 8/1/33(1)
2,600,000

1,452,490

Paramount Unified School District GO, Capital Appreciation, (Election of 2006), 0.00%, 8/1/51 (BAM)(1)
7,500,000

820,575

Pomona Unified School District GO, Series 2000 A, 6.55%, 8/1/29 (NATL-RE)
1,000,000

1,345,310

Pomona Unified School District GO, Series 2001 A, 6.15%, 8/1/30 (NATL-RE)
855,000

1,061,115

Porterville Public Financing Authority Sewer Rev., 5.625%, 10/1/36
1,500,000

1,788,555

Poway Unified School District GO, Capital Appreciation, (School Facilities Improvement), 0.00%, 8/1/41(1)
2,110,000

792,157

Poway Unified School District Public Financing Authority Rev., 7.875%, 9/15/39
1,010,000

1,188,992

Riverside County Asset Leasing Corp. Rev., Series 2013 A, (Public Defender and Probation Building), 5.00%, 11/1/43
1,000,000

1,123,720

Riverside County Redevelopment Agency Tax Allocation Rev., Series 2010 E, (Interstate 215 Corridor), 6.50%, 10/1/40
625,000

733,988

Sacramento County Airport System Rev., Series 2009 D, (Grant Revenue Bonds), 5.625%, 7/1/29
1,000,000

1,101,860


11


 
Principal Amount
Value
Sacramento County Sanitation Districts Financing Authority Rev., Series 2007 B, VRN, 0.81%, 3/1/16 (NATL-RE/FGIC)
$
1,500,000

$
1,390,125

Sacramento Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2015 A, 5.00%, 12/1/34 (BAM)
385,000

443,358

Saddleback Valley Unified School District Public Financing Authority Special Tax Rev., Series 1997 A, 6.00%, 9/1/16 (AGM)
1,000,000

1,027,510

San Bernardino Community College District GO, Capital Appreciation, Series 2009 B, (Election of 2008), 0.00%, 8/1/19(4)
7,400,000

7,854,434

San Buenaventura Rev., (Community Memorial Health System), 7.50%, 12/1/41
1,350,000

1,654,830

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/25
275,000

340,574

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/26
175,000

213,691

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/30
225,000

267,624

San Diego County Regional Airport Authority Rev., Series 2010 A, 5.00%, 7/1/40
1,500,000

1,694,430

San Diego County Regional Airport Authority Rev., Series 2013 A, 5.00%, 7/1/43
1,000,000

1,128,020

San Diego County Water Authority Rev., Series 2011 S-1, (Subordinate Lien), 5.00%, 7/1/16
1,665,000

1,685,579

San Diego Public Facilities Financing Authority Lease Rev., Series 2015 A, (Capital Improvement Projects), 5.00%, 10/15/44
1,300,000

1,519,531

San Diego Public Facilities Financing Authority Sewer Rev., Series 2009 A, 5.25%, 5/15/34
2,000,000

2,268,180

San Diego Public Facilities Financing Authority Water Rev., Series 2012 A, 5.00%, 8/1/30
2,000,000

2,391,300

San Diego Unified Port District Rev., Series 2013 A, 5.00%, 9/1/24
500,000

606,765

San Diego Unified School District GO, Capital Appreciation, Series 2010 C, (Election of 2008), 0.00%, 7/1/44(1)
2,880,000

933,552

San Diego Unified School District GO, Capital Appreciation, Series 2012 E, (Election of 2008), 0.00%, 7/1/49(1)
1,000,000

261,420

San Francisco City and County Airports Commission Rev., Series 2009 E, (San Francisco International Airport), 5.25%, 5/1/23
3,000,000

3,415,980

San Francisco City and County Airports Commission Rev., Series 2010 F, (San Francisco International Airport), 5.00%, 5/1/40
2,150,000

2,413,332

San Francisco City and County COP, Series 2009 A, (Multiple Capital Improvement Projects), 5.00%, 4/1/29
1,170,000

1,313,711

San Francisco City and County Public Utilities Commission Rev., Series 2011 A, 5.00%, 11/1/41
1,000,000

1,158,900

San Francisco City and County Public Utilities Commission Rev., Series 2015 A, 5.00%, 11/1/45
1,000,000

1,161,030

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 6.625%, 8/1/27
500,000

614,045

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/31
400,000

459,460

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/43
500,000

554,670

San Joaquin Hills Transportation Corridor Agency Rev., (Senior Lien), 5.00%, 1/15/34
1,000,000

1,117,540

San Joaquin Hills Transportation Corridor Agency Rev., (Senior Lien), 5.00%, 1/15/44
1,000,000

1,101,550

San Joaquin Hills Transportation Corridor Agency Rev., Series 2014 B, (Junior Lien), 5.25%, 1/15/44
1,000,000

1,092,590


12


 
Principal Amount/Shares
Value
San Mateo Special Tax Rev., (Community Facilities District No. 2008-1-Bay Meadows), 5.875%, 9/1/32
$
685,000

$
799,210

San Mateo Special Tax Rev., (Community Facilities District No. 2008-1-Bay Meadows), 5.50%, 9/1/44
750,000

842,783

Santa Clara Electric Rev., Series 2011 A, 5.00%, 7/1/30
500,000

560,900

Santa Cruz County Redevelopment Successor Agency Tax Allocation Rev., Series 2015 A, 5.00%, 9/1/35 (AGM)
1,500,000

1,746,510

Santa Monica Redevelopment Agency Tax Allocation, (Earthquake Recovery Redevelopment), 5.00%, 7/1/42
400,000

458,068

Santa Monica Redevelopment Agency Tax Allocation, (Earthquake Recovery Redevelopment), 5.875%, 7/1/42
400,000

478,892

Santa Rosa Wastewater Rev., Capital Appreciation, Series 2002 B, 0.00%, 9/1/24 (Ambac)(1)
2,000,000

1,663,860

Silicon Valley Clean Water Rev., 5.00%, 8/1/45
1,205,000

1,417,731

Sonoma Community Development Agency Successor Agency Tax Allocation Rev., (Sonoma Redevelopment Project), 5.00%, 6/1/33 (NATL-RE)
1,325,000

1,570,257

South Placer Wastewater Authority Rev., VRN, 0.34%, 3/3/16
1,650,000

1,638,994

Southern California Public Power Authority Rev., Series 2013 A, (Southern Transmission), 5.00%, 7/1/17
1,050,000

1,114,281

Stockton Public Financing Authority Rev., Series 2010 A, (Delta Water Supply Project), 6.25%, 10/1/40
750,000

933,615

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/27 (BAM)
1,000,000

1,195,270

Stockton Unified School District GO, 5.00%, 8/1/29
3,485,000

4,204,374

Stockton Unified School District GO, 5.00%, 8/1/31
1,000,000

1,187,510

Stockton Unified School District GO, Series 2014 A, (Election of 2012), 5.00%, 8/1/42 (AGM)
430,000

488,097

Successor Agency to the Redevelopment Agency of the City of Cathedral City Tax Allocation Rev., Series 2014 A, (Merged Redevelopment Project Area), 5.00%, 8/1/28 (AGM)
1,190,000

1,398,928

Susanville Public Financing Authority Rev., Series 2010 B, (Utility Enterprises), 6.00%, 6/1/45
1,000,000

1,108,590

Tobacco Securitization Authority of Southern California Settlement Rev., Series 2006 A-1, 5.00%, 6/1/37
500,000

475,460

Tuolumne Wind Project Authority Rev., Series 2009 A, 5.625%, 1/1/29
1,200,000

1,356,024

Tustin Unified School District Special Tax Rev., (Community Facilities District No. 06-1), 6.00%, 9/1/40
2,000,000

2,313,420

University of California Rev., Series 2013 AF, 5.00%, 5/15/25
1,000,000

1,234,830

University of California Rev., Series 2013 AK, VRDN, 5.00%, 5/15/23
2,000,000

2,481,260

Ventura County Community College District GO, Series 2008 C, (Election of 2002), 5.50%, 8/1/18, Prerefunded at 100% of Par(2)
3,000,000

3,350,100

Yosemite Community College District GO, Capital Appreciation, Series 2010 D, (Election of 2004), 0.00%, 8/1/38(1)
3,000,000

1,252,140

 
 
324,768,080

Guam — 0.7%
 
 
Guam Power Authority Rev., Series 2010 A, 5.50%, 10/1/40
2,150,000

2,372,955

TOTAL MUNICIPAL SECURITIES
(Cost $291,316,652)
 
327,141,035

TEMPORARY CASH INVESTMENTS — 3.3%
 
 
Federated California Municipal Cash Trust, Wealth Shares
(Cost $11,306,818)
11,306,818

11,306,818

TOTAL INVESTMENT SECURITIES — 98.9%
(Cost $302,623,470)
 
338,447,853

OTHER ASSETS AND LIABILITIES — 1.1%
 
3,785,105

TOTAL NET ASSETS — 100.0%
 
$
342,232,958


13



NOTES TO SCHEDULE OF INVESTMENTS
AGC
-
Assured Guaranty Corporation
AGM
-
Assured Guaranty Municipal Corporation
BAM
-
Build America Mutual Assurance Company
COP
-
Certificates of Participation
FGIC
-
Financial Guaranty Insurance Company
GA
-
Guaranty Agreement
GO
-
General Obligation
LOC
-
Letter of Credit
NATL-RE
-
National Public Finance Guarantee Corporation - Reinsured
VRDN
-
Variable Rate Demand Note. Interest reset date is indicated. Rate shown is effective at the period end.
VRN
-
Variable Rate Note. Interest reset date is indicated. Rate shown is effective at the period end.
(1)
Security is a zero-coupon bond. Zero-coupon securities are issued at a substantial discount from their value at maturity.
(2)
Escrowed to maturity in U.S. government securities or state and local government securities.
(3)
Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration, normally to qualified institutional investors. The aggregate value of these securities at the period end was $2,022,167, which represented 0.6% of total net assets.
(4)
Coupon rate adjusts periodically based upon a predetermined schedule. Interest reset date is indicated. Rate shown is effective at the period end.
See Notes to Financial Statements.

14


Statement of Assets and Liabilities
 
FEBRUARY 29, 2016 (UNAUDITED)
Assets
Investment securities, at value (cost of $302,623,470)
$
338,447,853

Cash
664,835

Receivable for capital shares sold
13,433

Interest receivable
3,705,427

 
342,831,548

 
 
Liabilities
Payable for capital shares redeemed
249,477

Accrued management fees
126,620

Distribution and service fees payable
6,808

Dividends payable
215,685

 
598,590

 
 
Net Assets
$
342,232,958

 
 
Net Assets Consist of:
Capital paid in
$
305,497,948

Undistributed net investment income
6,536

Undistributed net realized gain
904,091

Net unrealized appreciation
35,824,383

 
$
342,232,958

 
 
Net Assets
Shares Outstanding
Net Asset Value Per Share
Investor Class

$328,582,193

27,583,760

$11.91
Institutional Class

$312,024

26,194

$11.91
A Class

$6,384,253

536,041

$11.91*
C Class

$6,954,488

583,748

$11.91
*Maximum offering price $12.47 (net asset value divided by 0.955).


See Notes to Financial Statements.

15


Statement of Operations
FOR THE SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED)
Investment Income (Loss)
Income:
 
Interest
$
6,605,572

 
 
Expenses:
 
Management fees
795,301

Distribution and service fees:
 
A Class
7,842

C Class
34,559

Trustees' fees and expenses
10,249

Other expenses
14

 
847,965

 
 
Net investment income (loss)
5,757,607

 
 
Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
 
Investment transactions
2,500,259

Futures contract transactions
20,910

 
2,521,169

 
 
Change in net unrealized appreciation (depreciation) on:
 
Investments
3,683,289

Futures contracts
(16,875
)
 
3,666,414

 
 
Net realized and unrealized gain (loss)
6,187,583

 
 
Net Increase (Decrease) in Net Assets Resulting from Operations
$
11,945,190



See Notes to Financial Statements.

16


Statement of Changes in Net Assets
SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED) AND YEAR ENDED AUGUST 31, 2015
Increase (Decrease) in Net Assets
February 29, 2016
August 31, 2015
Operations
Net investment income (loss)
$
5,757,607

$
11,665,482

Net realized gain (loss)
2,521,169

(319,618
)
Change in net unrealized appreciation (depreciation)
3,666,414

(1,586,988
)
Net increase (decrease) in net assets resulting from operations
11,945,190

9,758,876

 
 
 
Distributions to Shareholders
From net investment income:
 
 
Investor Class
(5,564,638
)
(11,274,436
)
Institutional Class
(5,472
)
(9,947
)
A Class
(98,459
)
(213,905
)
C Class
(82,502
)
(167,194
)
Decrease in net assets from distributions
(5,751,071
)
(11,665,482
)
 
 
 
Capital Share Transactions
Net increase (decrease) in net assets from capital share transactions (Note 5)
(7,134,664
)
(14,190,101
)
 
 
 
Net increase (decrease) in net assets
(940,545
)
(16,096,707
)
 
 
 
Net Assets
Beginning of period
343,173,503

359,270,210

End of period
$
342,232,958

$
343,173,503

 
 
 
Undistributed net investment income
$
6,536

$
—



See Notes to Financial Statements.

17


Notes to Financial Statements
 
FEBRUARY 29, 2016 (UNAUDITED)

1. Organization

American Century California Tax-Free and Municipal Funds (the trust) is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company and is organized as a Massachusetts business trust. California Long-Term Tax-Free Fund (the fund) is one fund in a series issued by the trust. The fund’s investment objective is to seek safety of principal and high current income that is exempt from federal and California income taxes.

The fund offers the Investor Class, the Institutional Class, the A Class and the C Class. The A Class may incur an initial sales charge. The A Class and C Class may be subject to a contingent deferred sales charge. The share classes differ principally in their respective sales charges and distribution and shareholder servicing expenses and arrangements. The Institutional Class is made available to institutional shareholders or through financial intermediaries whose clients do not require the same level of shareholder and administrative services as shareholders of other classes. As a result, the Institutional Class is charged a lower unified management fee.

2. Significant Accounting Policies

The following is a summary of significant accounting policies consistently followed by the fund in preparation of its financial statements. The fund is an investment company and follows accounting and reporting guidance in accordance with accounting principles generally accepted in the United States of America. This may require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from these estimates. Management evaluated the impact of events or transactions occurring through the date the financial statements were issued that would merit recognition or disclosure.

Investment Valuations — The fund determines the fair value of its investments and computes its net asset value per share at the close of regular trading (usually 4 p.m. Eastern time) on the New York Stock Exchange (NYSE) on each day the NYSE is open. The Board of Trustees has adopted valuation policies and procedures to guide the investment advisor in the fund’s investment valuation process and to provide methodologies for the oversight of the fund’s pricing function.

Fixed income securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Municipal securities are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information.
 
Open-end management investment companies are valued at the reported net asset value per share. Exchange-traded futures contracts are valued at the settlement price as provided by the appropriate clearing corporation.

If the fund determines that the market price for an investment is not readily available or the valuation methods mentioned above do not reflect an investment’s fair value, such investment is valued as determined in good faith by the Board of Trustees or its delegate, in accordance with policies and procedures adopted by the Board of Trustees. In its determination of fair value, the fund may review several factors including, but not limited to, market information regarding the specific investment or comparable investments and correlation with other investment types, futures indices or general market indicators. Circumstances that may cause the fund to use these procedures to value an investment include, but are not limited to: an investment has been declared in default or is distressed; trading in a security has been suspended during the trading day or a security is not actively trading on its principal exchange; prices received from a regular pricing source are deemed unreliable; or there is a foreign market holiday and no trading occurred.

The fund monitors for significant events occurring after the close of an investment’s primary exchange but before the fund’s net asset value per share is determined. Significant events may include, but are not limited to: corporate announcements and transactions; governmental action and political unrest that could impact a specific investment or an investment sector; or armed conflicts, natural disasters and similar events that could affect investments in a specific country or region.
 

18


Security Transactions — Security transactions are accounted for as of the trade date. Net realized gains and losses are determined on the identified cost basis, which is also used for federal income tax purposes.
 
Investment Income — Interest income is recorded on the accrual basis and includes accretion of discounts and amortization of premiums.

Segregated Assets — In accordance with the 1940 Act, the fund segregates assets on its books and records to cover certain types of investments, including, but not limited to, futures contracts and when-issued securities. American Century Investment Management, Inc. (ACIM) (the investment advisor) monitors, on a daily basis, the securities segregated to ensure the fund designates a sufficient amount of liquid assets, marked-to-market daily. The fund may also receive assets or be required to pledge assets at the custodian bank or with a broker for margin requirements on futures contracts.

Income Tax Status — It is the fund’s policy to distribute substantially all net investment income and net realized gains to shareholders and to otherwise qualify as a regulated investment company under provisions of the Internal Revenue Code. Accordingly, no provision has been made for income taxes. The fund files U.S. federal, state, local and non-U.S. tax returns as applicable. The fund's tax returns are subject to examination by the relevant taxing authority until expiration of the applicable statute of limitations, which is generally three years from the date of filing but can be longer in certain jurisdictions. At this time, management believes there are no uncertain tax positions which, based on their technical merit, would not be sustained upon examination and for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Multiple Class — All shares of the fund represent an equal pro rata interest in the net assets of the class to which such shares belong, and have identical voting, dividend, liquidation and other rights and the same terms and conditions, except for class specific expenses and exclusive rights to vote on matters affecting only individual classes. Income, non-class specific expenses, and realized and unrealized capital gains and losses of the fund are allocated to each class of shares based on their relative net assets.

Distributions to Shareholders — Distributions from net investment income, if any, are declared daily and paid monthly. Distributions from net realized gains, if any, are generally declared and paid annually.
 
Indemnifications — Under the trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the fund. In addition, in the normal course of business, the fund enters into contracts that provide general indemnifications. The maximum exposure under these arrangements is unknown as this would involve future claims that may be made against a fund. The risk of material loss from such claims is considered by management to be remote.

3. Fees and Transactions with Related Parties

Certain officers and trustees of the trust are also officers and/or directors of American Century Companies, Inc. (ACC). The trust's investment advisor, ACIM, the trust's distributor, American Century Investment Services, Inc. (ACIS), and the trust's transfer agent, American Century Services, LLC, are wholly owned, directly or indirectly, by ACC.
 
Management Fees — The trust has entered into a management agreement with ACIM, under which ACIM provides the fund with investment advisory and management services in exchange for a single, unified management fee (the fee) per class. The agreement provides that all expenses of managing and operating the fund, except distribution and service fees, brokerage expenses, taxes, interest, fees and expenses of the independent trustees (including legal counsel fees), and extraordinary expenses, will be paid by ACIM. The fee is computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fee consists of (1) an Investment Category Fee based on the daily net assets of the fund and certain other accounts managed by the investment advisor that are in the same broad investment category as the fund and (2) a Complex Fee based on the assets of all the funds in the American Century Investments family of funds. The rates for the Investment Category Fee range from 0.1625% to 0.2800%. The rates for the Complex Fee range from 0.2500% to 0.3100% for the Investor Class, A Class and C Class. The rates for the Complex Fee range from 0.0500% to 0.1100% for the Institutional Class. The effective annual management fee for each class for the six months ended February 29, 2016 was 0.47% for the Investor Class, A Class and C Class and 0.27% for the Institutional Class.
 

19


Distribution and Service Fees — The Board of Trustees has adopted a separate Master Distribution and Individual Shareholder Services Plan for each of the A Class and C Class (collectively the plans), pursuant to Rule 12b-1 of the 1940 Act. The plans provide that the A Class will pay ACIS an annual distribution and service fee of 0.25%. The plans provide that the C Class will pay ACIS an annual distribution and service fee of 1.00%, of which 0.25% is paid for individual shareholder services and 0.75% is paid for distribution services. The fees are computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fees are used to pay financial intermediaries for distribution and individual shareholder services. Fees incurred under the plans during the six months ended February 29, 2016 are detailed in the Statement of Operations.

Trustees’ Fees and Expenses — The Board of Trustees is responsible for overseeing the investment advisor’s management and operations of the fund. The trustees receive detailed information about the fund and its investment advisor regularly throughout the year, and meet at least quarterly with management of the investment advisor to review reports about fund operations. The fund’s officers do not receive compensation from the fund.

4. Investment Transactions

Purchases and sales of investment securities, excluding short-term investments, for the six months ended February 29, 2016 were $24,143,244 and $41,752,266, respectively.

5. Capital Share Transactions

Transactions in shares of the fund were as follows (unlimited number of shares authorized):
 
Six months ended
February 29, 2016
Year ended
August 31, 2015
 
Shares
Amount
Shares
Amount
Investor Class
 
 
 
 
Sold
588,392

$
6,955,309

1,043,154

$
12,296,446

Issued in reinvestment of distributions
360,884

4,269,019

721,400

8,508,080

Redeemed
(1,499,056
)
(17,745,779
)
(2,905,163
)
(34,174,882
)
 
(549,780
)
(6,521,451
)
(1,140,609
)
(13,370,356
)
Institutional Class
 
 
 
 
Sold
—

—

22,124

259,950

Issued in reinvestment of distributions
463

5,472

843

9,947

 
463

5,472

22,967

269,897

A Class
 
 
 
 
Sold
13,327

158,618

51,183

601,935

Issued in reinvestment of distributions
8,250

97,556

17,971

211,962

Redeemed
(54,439
)
(639,186
)
(161,544
)
(1,910,307
)
 
(32,862
)
(383,012
)
(92,390
)
(1,096,410
)
C Class
 
 
 
 
Sold
47,482

562,983

44,530

529,113

Issued in reinvestment of distributions
4,138

48,952

8,302

97,919

Redeemed
(71,750
)
(847,608
)
(52,774
)
(620,264
)
 
(20,130
)
(235,673
)
58

6,768

Net increase (decrease)
(602,309
)
$
(7,134,664
)
(1,209,974
)
$
(14,190,101
)


20


6. Fair Value Measurements

The fund’s investments valuation process is based on several considerations and may use multiple inputs to determine the fair value of the investments held by the fund. In conformity with accounting principles generally accepted in the United States of America, the inputs used to determine a valuation are classified into three broad levels.

•
Level 1 valuation inputs consist of unadjusted quoted prices in an active market for identical investments.

•
Level 2 valuation inputs consist of direct or indirect observable market data (including quoted prices for comparable investments, evaluations of subsequent market events, interest rates, prepayment speeds, credit risk, etc.). These inputs also consist of quoted prices for identical investments initially expressed in local currencies that are adjusted through translation into U.S. dollars.

•
Level 3 valuation inputs consist of unobservable data (including a fund’s own assumptions).

The level classification is based on the lowest level input that is significant to the fair valuation measurement. The valuation inputs are not necessarily an indication of the risks associated with investing in these securities or other financial instruments. There were no significant transfers between levels during the period.

The following is a summary of the level classifications as of period end. The Schedule of Investments provides additional information on the fund’s portfolio holdings.
 
Level 1
Level 2
Level 3
Assets
Investment Securities
Municipal Securities
—

$
327,141,035

—

Temporary Cash Investments
$
11,306,818

—

—

 
$
11,306,818

$
327,141,035

—


7. Derivative Instruments

Interest Rate Risk — The fund is subject to interest rate risk in the normal course of pursuing its investment objectives. The value of bonds generally declines as interest rates rise. A fund may enter into futures contracts based on a bond index or a specific underlying security. A fund may purchase futures contracts to gain exposure to increases in market value or sell futures contracts to protect against a decline in market value. Upon entering into a futures contract, a fund will segregate cash, cash equivalents or other appropriate liquid securities on its records in amounts sufficient to meet requirements. Subsequent payments (variation margin) are made or received daily, in cash, by a fund. The variation margin is equal to the daily change in the contract value and is recorded as unrealized gains and losses. A fund recognizes a realized gain or loss when the futures contract is closed or expires. Net realized and unrealized gains or losses occurring during the holding period of futures contracts are a component of net realized gain (loss) on futures contract transactions and change in net unrealized appreciation (depreciation) on futures contracts, respectively. One of the risks of entering into futures contracts is the possibility that the change in value of the contract may not correlate with the changes in value of the underlying securities. During the period, the fund participated in interest rate risk derivative instruments for temporary investment purposes.
 
At period end, the fund did not have any derivative instruments disclosed on the Statement of Assets and Liabilities. For the six months ended February 29, 2016, the effect of interest rate risk derivative instruments on the Statement of Operations was $20,910 in net realized gain (loss) on futures contract transactions and $(16,875) in change in net unrealized appreciation (depreciation) on futures contracts.

8. Risk Factors

The fund concentrates its investments in a single state and therefore may have more exposure to credit risk related to the state of California than a fund with a broader geographical diversification.


21


9. Federal Tax Information

The book-basis character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. These differences reflect the differing character of certain income items and net realized gains and losses for financial statement and tax purposes, and may result in reclassification among certain capital accounts on the financial statements.
 
As of February 29, 2016, the components of investments for federal income tax purposes were as follows:
Federal tax cost of investments
$
302,623,470

Gross tax appreciation of investments
$
35,860,537

Gross tax depreciation of investments
(36,154
)
Net tax appreciation (depreciation) of investments
$
35,824,383


The cost of investments for federal income tax purposes was the same as the cost for financial reporting purposes.
 
As of August 31, 2015, the fund had accumulated short-term capital losses of $(1,442,386) and accumulated long-term capital losses of $(117,576), which represent net capital loss carryovers that may be used to offset future realized capital gains for federal income tax purposes. Any unlimited losses will be required to be utilized prior to the losses which carry an expiration date. Future capital loss carryover utilization in any given year may be subject to Internal Revenue Code limitations. Capital loss carryovers expire as follows:
2019
Unlimited (Short-Term)
Unlimited (Long-Term)
$(457,823)
$(984,563)
$(117,576)



22


Financial Highlights
For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
Income From Investment Operations:
 
 
 
Ratio to Average Net Assets of:
 
 
 
Net Asset
Value,
Beginning
of Period
Net
Investment
Income (Loss)(1)
Net
Realized and
Unrealized
Gain (Loss)
Total From Investment Operations
Distributions From Net
Investment Income
Net Asset
Value, End
of Period
Total
Return(2)
Operating Expenses
Net
Investment Income
(Loss)
Portfolio Turnover
Rate
Net Assets,
End of Period (in thousands)
Investor Class
2016(3)
$11.70
0.20
0.21
0.41
(0.20)
$11.91
3.52%
0.47%(4)
3.40%(4)
7%

$328,582

2015
$11.76
0.39
(0.06)
0.33
(0.39)
$11.70
2.86%
0.47%
3.33%
31%

$329,152

2014
$10.94
0.38
0.82
1.20
(0.38)
$11.76
11.10%
0.47%
3.32%
46%

$344,356

2013
$11.70
0.37
(0.76)
(0.39)
(0.37)
$10.94
(3.45)%
0.47%
3.19%
44%

$346,396

2012
$10.94
0.41
0.77
1.18
(0.42)
$11.70
10.92%
0.47%
3.65%
76%

$412,713

2011
$11.20
0.47
(0.27)
0.20
(0.46)
$10.94
2.02%
0.48%
4.38%
63%

$379,586

Institutional Class
2016(3)
$11.70
0.21
0.21
0.42
(0.21)
$11.91
3.62%
0.27%(4)
3.60%(4)
7%

$312

2015
$11.77
0.42
(0.07)
0.35
(0.42)
$11.70
2.97%
0.27%
3.53%
31%

$301

2014
$10.94
0.40
0.83
1.23
(0.40)
$11.77
11.42%
0.27%
3.52%
46%

$33

2013
$11.70
0.40
(0.76)
(0.36)
(0.40)
$10.94
(3.26)%
0.27%
3.39%
44%

$29

2012
$10.94
0.44
0.76
1.20
(0.44)
$11.70
11.14%
0.27%
3.85%
76%

$30

2011
$11.20
0.49
(0.26)
0.23
(0.49)
$10.94
2.22%
0.28%
4.58%
63%

$27


23


For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
Income From Investment Operations:
 
 
 
Ratio to Average Net Assets of:
 
 
 
Net Asset
Value,
Beginning
of Period
Net
Investment
Income (Loss)(1)
Net
Realized and
Unrealized
Gain (Loss)
Total From Investment Operations
Distributions From Net
Investment Income
Net Asset
Value, End
of Period
Total
Return(2)
Operating Expenses
Net
Investment Income
(Loss)
Portfolio Turnover
Rate
Net Assets,
End of Period (in thousands)
A Class
 
 
 
 
 
 
 
 
 
 
 
2016(3)
$11.70
0.18
0.21
0.39
(0.18)
$11.91
3.39%
0.72%(4)
3.15%(4)
7%

$6,384

2015
$11.76
0.36
(0.06)
0.30
(0.36)
$11.70
2.60%
0.72%
3.08%
31%

$6,655

2014
$10.94
0.35
0.82
1.17
(0.35)
$11.76
10.83%
0.72%
3.07%
46%

$7,778

2013
$11.70
0.34
(0.76)
(0.42)
(0.34)
$10.94
(3.70)%
0.72%
2.94%
44%

$8,572

2012
$10.94
0.38
0.77
1.15
(0.39)
$11.70
10.64%
0.72%
3.40%
76%

$16,214

2011
$11.20
0.44
(0.26)
0.18
(0.44)
$10.94
1.77%
0.73%
4.13%
63%

$11,044

C Class
 
 
 
 
 
 
 
 
 
 
 
2016(3)
$11.70
0.14
0.21
0.35
(0.14)
$11.91
3.01%
1.47%(4)
2.40%(4)
7%

$6,954

2015
$11.76
0.28
(0.06)
0.22
(0.28)
$11.70
1.83%
1.47%
2.33%
31%

$7,066

2014
$10.94
0.26
0.82
1.08
(0.26)
$11.76
10.00%
1.47%
2.32%
46%

$7,104

2013
$11.70
0.26
(0.76)
(0.50)
(0.26)
$10.94
(4.41)%
1.47%
2.19%
44%

$7,471

2012
$10.94
0.30
0.76
1.06
(0.30)
$11.70
9.82%
1.47%
2.65%
76%

$11,321

2011
$11.20
0.36
(0.26)
0.10
(0.36)
$10.94
1.01%
1.48%
3.38%
63%

$7,120

Notes to Financial Highlights
(1) Computed using average shares outstanding throughout the period.
(2) Total returns are calculated based on the net asset value of the last business day and do not reflect applicable sales charges, if any. Total returns for periods less than one year are not annualized.
(3) Six months ended February 29, 2016 (unaudited).
(4) Annualized.

See Notes to Financial Statements.

24


Additional Information
 
Proxy Voting Policies
 
Descriptions of the principles and policies that the fund's investment advisor uses in exercising the voting rights associated with the securities purchased and/or held by the fund are available without charge, upon request, by calling 1-800-345-2021 or visiting the "About Us" page of American Century Investments’ website at americancentury.com. A description of the policies is also available on the Securities and Exchange Commission’s website at sec.gov. Information regarding how the investment advisor voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available on the "About Us" page at americancentury.com. It is also available at sec.gov.
 

Quarterly Portfolio Disclosure

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-Q. The fund’s Forms N-Q are available on the SEC’s website at sec.gov, and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The fund also makes its complete schedule of portfolio holdings for the most recent quarter of its fiscal year available on its website at americancentury.com and, upon request, by calling 1-800-345-2021.



25


Notes

26


Notes

27


Notes



28







 
 
 
 
Contact Us
americancentury.com
 
Automated Information Line
1-800-345-8765
 
Investor Services Representative
1-800-345-2021
or 816-531-5575
 
Investors Using Advisors
1-800-378-9878
 
Business, Not-For-Profit, Employer-Sponsored Retirement Plans
1-800-345-3533
 
Banks and Trust Companies, Broker-Dealers, Financial Professionals, Insurance Companies
1-800-345-6488
 
Telecommunications Relay Service for the Deaf
711
 
 
 
 
American Century California Tax-Free and Municipal Funds
 
 
 
 
Investment Advisor:
American Century Investment Management, Inc.
Kansas City, Missouri
 
 
 
 
This report and the statements it contains are submitted for the general information of our shareholders. The report is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus.
 
 
 
 
©2016 American Century Proprietary Holdings, Inc. All rights reserved.
CL-SAN-88535   1604
 



SEMIANNUAL REPORT
FEBRUARY 29, 2016
 
  



California Tax-Free Money Market Fund







Table of Contents
 
President’s Letter
Fund Characteristics
Shareholder Fee Example
Schedule of Investments
Statement of Assets and Liabilities
Statement of Operations
Statement of Changes in Net Assets
Notes to Financial Statements
Financial Highlights
Additional Information






























Any opinions expressed in this report reflect those of the author as of the date of the report, and do not necessarily represent the opinions of American Century Investments® or any other person in the American Century Investments organization. Any such opinions are subject to change at any time based upon market or other conditions and American Century Investments disclaims any responsibility to update such opinions. These opinions may not be relied upon as investment advice and, because investment decisions made by American Century Investments funds are based on numerous factors, may not be relied upon as an indication of trading intent on behalf of any American Century Investments fund. Security examples are used for representational purposes only and are not intended as recommendations to purchase or sell securities. Performance information for comparative indices and securities is provided to American Century Investments by third party vendors. To the best of American Century Investments’ knowledge, such information is accurate at the time of printing.



President’s Letter

Dear Investor:

Thank you for reviewing this semiannual report for the six months ended February 29, 2016. It provides a macroeconomic and financial market overview (below), followed by a schedule of fund investments and other financial information.

For additional commentary and information on fund performance, key factors that affected asset returns, and other insights regarding the investment markets, we encourage you to visit our website, americancentury.com.
Jonathan Thomas

Municipal Bonds (Munis) Outperformed During a Volatile Period

Widespread concerns about global economic growth sparked sharp financial market volatility during the reporting period. China was the primary catalyst, where market-moving events included slowing economic growth, currency devaluations, and massive monetary policy easing. These events sent shock waves through the global markets last summer and re-emerged in January and early February, triggering sell-offs in riskier assets such as stocks and high-yield bonds, and a plunge in commodity prices, most notably oil. The U.S. dollar advanced against other major currencies for the six-month period as U.S. investment instruments generally outperformed their non-U.S. counterparts. In the U.S. stock market, relatively defensive sectors such as utilities, real estate investment trusts (REITs), and large-cap growth stocks performed best. In the U.S. bond market, high-quality sectors including munis and Treasuries were market leaders.

Despite default threats in Puerto Rico and financial concerns facing the city of Chicago and the states of Illinois and New Jersey, the broader muni market was viewed as a relative bastion of stability because of its comparatively high overall credit quality. Investors also focused on munis because this sector has historically performed relatively well in periods of rising interest rates, particularly if the rate increases reflect stronger economic conditions. The Barclays Municipal Bond Index advanced 3.62% for the six months.

Speaking of rising interest rates, the U.S. Federal Reserve (the Fed) finally began the process of gradually increasing its overnight interest rate target. But we don’t expect a big increase in intermediate- to longer-maturity bond yields in the near term because of deflationary threats and other headwinds still facing the global economy. We believe the Fed’s moves (and conjecture about these moves) will be accompanied by further market volatility. This could present both challenges and opportunities for active investment managers. In this environment, we continue to believe in a disciplined, diversified, risk-aware investment approach, using professionally managed portfolios to meet financial goals. We appreciate your trust in us.

Sincerely,
Jonathan Thomas
President and Chief Executive Officer
American Century Investments


2


Fund Characteristics
FEBRUARY 29, 2016
 
7-Day Current Yield
 
After waiver(1)
0.01%
Before waiver
(0.32)%
7-Day Effective Yield
 
After waiver(1)
0.01%
(1) Yields would have been lower if a portion of the management fee had not been waived.
 
 
Portfolio at a Glance
 
Weighted Average Maturity
25 days
Weighted Average Life
76 days
 
 
Portfolio Composition by Maturity
% of fund investments
1-30 days
86%
31-90 days
1%
91-180 days
10%
More than 180 days
3%

3


Shareholder Fee Example

Fund shareholders may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption/exchange fees; and (2) ongoing costs, including management fees; distribution and service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in your fund and to compare these costs with the ongoing cost of investing in other mutual funds.

The example is based on an investment of $1,000 made at the beginning of the period and held for the entire period from September 1, 2015 to February 29, 2016.

Actual Expenses

The table provides information about actual account values and actual expenses for each class. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. First, identify the share class you own. Then simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

If you hold Investor Class shares of any American Century Investments fund, or Institutional Class shares of the American Century Diversified Bond Fund, in an American Century Investments account (i.e., not a financial intermediary or retirement plan account), American Century Investments may charge you a $12.50 semiannual account maintenance fee if the value of those shares is less than $10,000. We will redeem shares automatically in one of your accounts to pay the $12.50 fee. In determining your total eligible investment amount, we will include your investments in all personal accounts (including American Century Investments Brokerage accounts) registered under your Social Security number. Personal accounts include individual accounts, joint accounts, UGMA/UTMA accounts, personal trusts, Coverdell Education Savings Accounts and IRAs (including traditional, Roth, Rollover, SEP-, SARSEP- and SIMPLE-IRAs), and certain other retirement accounts. If you have only business, business retirement, employer-sponsored or American Century Investments Brokerage accounts, you are currently not subject to this fee. If you are subject to the Account Maintenance Fee, your account value could be reduced by the fee amount.

Hypothetical Example for Comparison Purposes

The table also provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio of each class of your fund and an assumed rate of return of 5% per year before expenses, which is not the actual return of a fund’s share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in your fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) or redemption/exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.


4


 
Beginning
Account Value
9/1/15
Ending
Account Value
2/29/16
Expenses Paid
During Period(1)9/1/15 - 2/29/16
Annualized
Expense Ratio(1)
Actual
 
 
 
 
Investor Class (after waiver)
$1,000
$1,000.10
$0.65
0.13%
Investor Class (before waiver)
$1,000
$1,000.10(2)
$2.49
0.50%
Hypothetical
 
 
 
Investor Class (after waiver)
$1,000
$1,024.22
$0.65
0.13%
Investor Class (before waiver)
$1,000
$1,022.38
$2.51
0.50%
(1)
Expenses are equal to the class's annualized expense ratio listed in the table above, multiplied by the average account value over the period, multiplied by 182, the number of days in the most recent fiscal half-year, divided by 366, to reflect the one-half year period.
(2)
Ending account value assumes the return earned after waiver and would have been lower if a portion of the management fee had not been waived.

5


Schedule of Investments
 

FEBRUARY 29, 2016 (UNAUDITED)
 
Principal Amount
Value
MUNICIPAL SECURITIES — 98.4%
 
 
California — 98.4%
 
 
Anaheim Public Financing Authority Rev., Series 2014 A, 5.00%, 5/1/16
$
1,000,000

$
1,007,807

California GO, Series 2004 B-2, (Kindergarten), VRDN, 0.01%, 3/1/16 (LOC: Citibank N.A.)
2,500,000

2,500,000

California Health Facilities Financing Authority Rev., Series 1988 B, (Catholic Healthcare), VRDN, 0.10%, 3/2/16 (NATL-RE)(LOC: JPMorgan Chase Bank N.A.)
1,700,000

1,700,000

California Health Facilities Financing Authority Rev., Series 2011 B, (Sutter Health), 5.00%, 8/15/16
1,000,000

1,021,398

California Infrastructure & Economic Development Bank Rev., (Bay Area Toll Bridges), VRDN, 0.05%, 3/3/16 (LOC: MUFG Union Bank N.A.)
2,030,000

2,030,000

California Infrastructure & Economic Development Bank Rev., (Catalina Museum Project), VRDN, 0.05%, 3/3/16 (LOC: Bank of the West)
1,000,000

1,000,000

California Infrastructure & Economic Development Bank Rev., (Columbia College), VRDN, 0.06%, 3/3/16 (LOC: Rabobank Nederland N.V.)
3,205,000

3,205,000

California Infrastructure & Economic Development Bank Rev., (Goodwill Industries of Orange County), VRDN, 0.07%, 3/3/16 (LOC: Wells Fargo Bank N.A.)
2,315,000

2,315,000

California Infrastructure & Economic Development Bank Rev., (Kennfoods USA), VRDN, 0.03%, 3/3/16 (LOC: Bank of the West)
1,000,000

1,000,000

California Infrastructure & Economic Development Bank Rev., (SRI International), VRDN, 0.02%, 3/3/16 (LOC: Wells Fargo Bank N.A.)
6,200,000

6,200,000

California Infrastructure & Economic Development Bank Rev., Series 2008 A, (iWorks, Inc.), VRDN, 0.02%, 3/3/16 (LOC: City National Bank and FHLB)
1,335,000

1,335,000

California Municipal Finance Authority Rev., Series 2008 A, (Central Coast YMCA), VRDN, 0.05%, 3/3/16 (LOC: Pacific Capital Bank N.A. and FHLB)
4,710,000

4,710,000

California Municipal Finance Authority Rev., Series 2010 A, (Southwest Community Health Center), VRDN, 0.07%, 3/3/16 (LOC: Comerica Bank)
3,805,000

3,805,000

California Municipal Finance Authority Rev., Series 2012 A, (High Desert Partnership in Academic Excellence Foundation), VRDN, 0.05%, 3/3/16 (LOC: MUFG Union Bank N.A.)
2,000,000

2,000,000

California Pollution Control Financing Authority Rev., (Musco Family Olive), VRDN, 0.05%, 3/3/16 (LOC: Bank of the West)
3,200,000

3,200,000

California Pollution Control Financing Authority Rev., Series 2010 A, (Alameda Country Industries), VRDN, 0.03%, 3/2/16 (LOC: Bank of the West)
2,460,000

2,460,000

California State Enterprise Development Authority Rev., (Community Hospice, Inc.), VRDN, 0.02%, 3/3/16 (LOC: Bank of Stockton and FHLB)
3,495,000

3,495,000

California State Enterprise Development Authority Rev., (Humane Society Silicon Valley), VRDN, 0.02%, 3/3/16 (LOC: First Republic Bank and FHLB)
6,395,000

6,395,000

California State Enterprise Development Authority Rev., (LBM Partnership LP), VRDN, 0.03%, 3/3/16 (LOC: Wells Fargo Bank N.A.)
2,750,000

2,750,000

California State University PUTTERs Rev., Series 2008-2646Z, VRDN, 0.06%, 3/3/16 (AGM)(LIQ FAC: JPMorgan Chase Bank N.A.)(1)
3,590,000

3,590,000


6


 
Principal Amount
Value
California State University Rev., Series 2011 A, 5.00%, 11/1/16
$
750,000

$
773,228

California Statewide Communities Development Authority Rev., (Goodwill of Santa Cruz), VRDN, 0.11%, 3/3/16 (LOC: Wells Fargo Bank N.A.)
2,200,000

2,200,000

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 87-8), VRDN, 0.01%, 3/1/16 (LOC: State Street Bank & Trust Co.)
1,000,000

1,000,000

City of Los Angeles GO, 2.00%, 6/30/16
5,000,000

5,027,742

City of Oroville Rev., Series 2012 A, (Oroville Hospital), VRDN, 0.12%, 3/3/16 (LOC: Comerica Bank)
6,135,000

6,135,000

City of Reedley COP, (Mennonite Brethren Homes), VRDN, 0.02%, 3/3/16 (LOC: Bank of the Sierra and FHLB)
7,000,000

7,000,000

City of Riverside Water Rev., Series 2011 A, VRN, 0.16%, 3/3/16
9,000,000

9,000,000

Contra Costa County Public Financing Authority Rev., Series 2015 B, (Capital Projects), 3.00%, 6/1/16
1,000,000

1,006,633

County of Los Angeles Rev., 5.00%, 6/30/16
3,500,000

3,554,336

County of Riverside Rev., Series 2015 D, 2.00%, 10/12/16
5,000,000

5,052,078

County of San Bernardino Rev., Series 2004 A, (WLP Parkview Place Apartments), VRDN, 0.03%, 3/3/16 (LOC: FNMA)
3,420,000

3,420,000

County of Yolo Rev., (Beckett Hall, Inc.), VRDN, 0.08%, 3/3/16 (LOC: Bank of the West and California State Teacher's Retirement System)
5,800,000

5,800,000

Eastern Municipal Water District Water & Sewer Rev., Series 2012 A, VRN, 0.05%, 3/3/16
4,000,000

4,000,000

Eastern Municipal Water District Water & Sewer Rev., Series 2015 A, VRN, 0.06%, 3/3/16
5,175,000

5,175,000

Hesperia Public Financing Authority Rev., Series 1998 B, (Water & Administration Facilities), VRDN, 0.07%, 3/2/16 (LOC: Bank of the West)
710,000

710,000

Irvine Ranch Water District Rev., Series 2009 B, VRDN, 0.01%, 3/1/16 (LOC: Bank of America N.A.)
3,740,000

3,740,000

Irvine Ranch Water District Rev., Series 2011 A-1, VRN, 0.09%, 3/3/16
6,000,000

6,000,000

Irvine Ranch Water District Rev., Series 2011 A-2, VRN, 0.09%, 3/3/16
3,000,000

3,000,000

JP Morgan Chase PUTTERs/DRIVERs Trust, Series 2011-4005Z, VRDN, 0.06%, 3/3/16 (AGM)(LIQ FAC: JPMorgan Chase Bank N.A.)(1)
6,590,000

6,590,000

Long Beach Unified School District GO, Series 2015 D, 3.00%, 8/1/16
1,150,000

1,163,005

Metropolitan Water District of Southern California Rev., Series 2011 A-1, VRN, 0.21%, 3/3/16
3,500,000

3,500,000

Metropolitan Water District of Southern California Rev., Series 2011 A-3, VRN, 0.21%, 3/3/16
2,500,000

2,500,000

Metropolitan Water District of Southern California Rev., Series 2013 E, VRN, 0.09%, 3/3/16
5,000,000

5,000,000

Monterey Peninsula Water Management District COP, (Wastewater Reclamation), VRDN, 0.03%, 3/3/16 (LOC: Wells Fargo Bank N.A.)
2,700,000

2,700,000

Pittsburg Public Financing Authority Rev., VRDN, 0.02%, 3/3/16 (LOC: Bank of the West)
3,395,000

3,395,000

Sacramento Municipal Utility District Rev., Series 2008 U, 5.00%, 8/15/16 (AGM)
1,200,000

1,225,690

San Diego Unified School District GO, Series 2014 R-3, 5.00%, 7/1/16
1,290,000

1,309,886

San Mateo Joint Powers Financing Authority Rev., Series 2016 A, 2.00%, 7/15/16
3,375,000

3,395,994

Santa Clara County Housing Authority Rev., Series 2003 A, VRDN, 0.04%, 3/3/16 (LOC: Citibank N.A.)
1,130,000

1,130,000


7


 
Principal Amount/Shares
Value
State of California Puttable Floating Options Rev., VRDN, 0.14%, 3/3/16 (LIQ FAC: Bank of America N.A.)(1)
$
5,000,000

$
5,000,000

Town of Apple Valley COP, (Public Facilities Financing), VRDN, 0.05%, 3/3/16 (LOC: MUFG Union Bank N.A.)
1,480,000

1,480,000

Town of Hillsborough COP, Series 2003 A, (Water & Sewer System), VRDN, 0.01%, 3/3/16 (SBBPA: JPMorgan Chase Bank N.A.)
2,790,000

2,790,000

Town of Hillsborough COP, Series 2006 A, (Water & Sewer System), VRDN, 0.01%, 3/3/16 (SBBPA: JPMorgan Chase Bank N.A.)
2,075,000

2,075,000

Victorville Joint Powers Finance Authority Lease Rev., Series 2007 A, (Cogeneration Facility), VRDN, 0.87%, 3/3/16 (LOC: BNP Paribas)
12,475,000

12,475,000

TOTAL MUNICIPAL SECURITIES
 
184,042,797

TEMPORARY CASH INVESTMENTS — 1.0%
 
 
Federated California Municipal Cash Trust, Wealth Shares
1,904,974

1,904,974

TOTAL INVESTMENT SECURITIES — 99.4%
 
185,947,771

OTHER ASSETS AND LIABILITIES — 0.6%
 
1,201,722

TOTAL NET ASSETS — 100.0%
 
$
187,149,493

 
NOTES TO SCHEDULE OF INVESTMENTS
AGM
-
Assured Guaranty Municipal Corporation
COP
-
Certificates of Participation
DRIVERs
-
Derivative Inverse Tax-Exempt Receipts
FHLB
-
Federal Home Loan Bank
FNMA
-
Federal National Mortgage Association
GO
-
General Obligation
LIQ FAC
-
Liquidity Facilities
LOC
-
Letter of Credit
NATL-RE
-
National Public Finance Guarantee Corporation - Reinsured
PUTTERs
-
Puttable Tax-Exempt Receipts
SBBPA
-
Standby Bond Purchase Agreement
VRDN
-
Variable Rate Demand Note. Interest reset date is indicated. Rate shown is effective at the period end.
VRN
-
Variable Rate Note. Interest reset date is indicated. Rate shown is effective at the period end.
 
(1)
Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration, normally to qualified institutional investors. The aggregate value of these securities at the period end was $15,180,000, which represented 8.1% of total net assets.

See Notes to Financial Statements.

8


Statement of Assets and Liabilities
 
FEBRUARY 29, 2016 (UNAUDITED)
Assets
Investment securities, at value (amortized cost and cost for federal income tax purposes)
$
185,947,771

Cash
627,794

Receivable for investments sold
260,000

Receivable for capital shares sold
336,180

Interest receivable
299,628

 
187,471,373

 
 
Liabilities
 
Payable for capital shares redeemed
295,920

Accrued management fees
25,947

Dividends payable
13

 
321,880

 
 
Net Assets
$
187,149,493

 
 
Investor Class Capital Shares
 
Shares outstanding (unlimited number of shares authorized)
187,135,336

 
 
Net Asset Value Per Share
$
1.00

 
 
Net Assets Consist of:
 
Capital paid in
$
187,135,342

Undistributed net investment income
4,784

Undistributed net realized gain
9,367

 
$
187,149,493


 
See Notes to Financial Statements.

9


Statement of Operations
 
FOR THE SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED)
Investment Income (Loss)
Income:
 
Interest
$
132,521

 
 
Expenses:
 
Management fees
467,688

Trustees' fees and expenses
4,973

Other expenses
293

 
472,954

Fees waived
(354,714
)
 
118,240

 
 
Net investment income (loss)
14,281

 
 
Net realized gain (loss) on investment transactions
9,383

 
 
Net Increase (Decrease) in Net Assets Resulting from Operations
$
23,664


 
See Notes to Financial Statements.

10


Statement of Changes in Net Assets
SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED) AND YEAR ENDED AUGUST 31, 2015
Increase (Decrease) in Net Assets
February 29, 2016
August 31,
2015
Operations
 
 
Net investment income (loss)
$
14,281

$
20,678

Net realized gain (loss)
9,383

2,697

Net increase (decrease) in net assets resulting from operations
23,664

23,375

 
 
 
Distributions to Shareholders
 
 
From net investment income
(9,497
)
(20,678
)
From net realized gains
(720
)
—

Decrease in net assets from distributions
(10,217
)
(20,678
)
 
 
 
Capital Share Transactions
 
 
Proceeds from shares sold
28,021,304

56,838,279

Proceeds from reinvestment of distributions
10,004

20,265

Payments for shares redeemed
(40,538,769
)
(78,259,625
)
Net increase (decrease) in net assets from capital share transactions
(12,507,461
)
(21,401,081
)
 
 
 
Net increase (decrease) in net assets
(12,494,014
)
(21,398,384
)
 
 
 
Net Assets
 
 
Beginning of period
199,643,507

221,041,891

End of period
$
187,149,493

$
199,643,507

 
 
 
Undistributed net investment income
$
4,784

$
—

 
 
 
Transactions in Shares of the Fund
 
 
Sold
28,021,304

56,838,279

Issued in reinvestment of distributions
10,004

20,265

Redeemed
(40,538,769
)
(78,259,625
)
Net increase (decrease) in shares of the fund
(12,507,461
)
(21,401,081
)

 
See Notes to Financial Statements.

11


Notes to Financial Statements
 
FEBRUARY 29, 2016 (UNAUDITED)

1. Organization

American Century California Tax-Free and Municipal Funds (the trust) is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company and is organized as a Massachusetts business trust. California Tax-Free Money Market Fund (the fund) is one fund in a series issued by the trust. The fund’s investment objective is to seek safety of principal and high current income that is exempt from federal and California income taxes.

2. Significant Accounting Policies

The following is a summary of significant accounting policies consistently followed by the fund in preparation of its financial statements. The fund is an investment company and follows accounting and reporting guidance in accordance with accounting principles generally accepted in the United States of America. This may require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from these estimates. Management evaluated the impact of events or transactions occurring through the date the financial statements were issued that would merit recognition or disclosure.

Investment Valuations — The fund determines the fair value of its investments and computes its net asset value (NAV) per share at the close of regular trading (usually 4 p.m. Eastern time) on the New York Stock Exchange (NYSE) on each day the NYSE is open. Investments are generally valued at amortized cost, which approximates fair value. Open-end management investment companies are valued at the reported NAV per share. If the fund determines that the valuation methods do not reflect an investment’s fair value, such investment is valued as determined in good faith by the Board of Trustees or its delegate, in accordance with policies and procedures adopted by the Board of Trustees.

Security Transactions — Security transactions are accounted for as of the trade date. Net realized gains and losses are determined on the identified cost basis, which is also used for federal income tax purposes.
 
Investment Income — Interest income is recorded on the accrual basis and includes accretion of discounts and amortization of premiums.

Income Tax Status — It is the fund’s policy to distribute substantially all net investment income and net realized gains to shareholders and to otherwise qualify as a regulated investment company under provisions of the Internal Revenue Code. Accordingly, no provision has been made for income taxes. The fund files U.S. federal, state, local and non-U.S. tax returns as applicable. The fund's tax returns are subject to examination by the relevant taxing authority until expiration of the applicable statute of limitations, which is generally three years from the date of filing but can be longer in certain jurisdictions. At this time, management believes there are no uncertain tax positions which, based on their technical merit, would not be sustained upon examination and for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Distributions to Shareholders — Distributions from net investment income, if any, are declared daily and paid monthly. The fund may make short-term capital gains distributions to comply with the distribution requirements of the Internal Revenue Code. The fund does not expect to realize any long-term capital gains, and accordingly, does not expect to pay any long-term capital gains distributions.

Indemnifications — Under the trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the fund. In addition, in the normal course of business, the fund enters into contracts that provide general indemnifications. The maximum exposure under these arrangements is unknown as this would involve future claims that may be made against a fund. The risk of material loss from such claims is considered by management to be remote.


12


3. Fees and Transactions with Related Parties

Certain officers and trustees of the trust are also officers and/or directors of American Century Companies, Inc. (ACC). The trust's investment advisor, American Century Investment Management, Inc. (ACIM), the trust's distributor, American Century Investment Services, Inc., and the trust's transfer agent, American Century Services, LLC, are wholly owned, directly or indirectly, by ACC.

Management Fees — The trust has entered into a management agreement with ACIM, under which ACIM provides the fund with investment advisory and management services in exchange for a single, unified management fee (the fee). The agreement provides that all expenses of managing and operating the fund, except distribution and service fees, brokerage expenses, taxes, interest, fees and expenses of the independent trustees (including legal counsel fees), and extraordinary expenses, will be paid by ACIM. The fee is computed and accrued daily based on the daily net assets of the fund and paid monthly in arrears. The fee consists of (1) an Investment Category Fee based on the daily net assets of the fund and certain other accounts managed by the investment advisor that are in the same broad investment category as the fund and (2) a Complex Fee based on the assets of all the funds in the American Century Investments family of funds. The rates for the Investment Category Fee range from 0.1570% to 0.2700%. The rates for the Complex Fee range from 0.2500% to 0.3100%. In order to maintain a positive yield, ACIM may voluntarily waive a portion of the management fee on a daily basis. The fee waiver may be revised or terminated at any time by the investment advisor without notice. The effective annual management fee for the six months ended February 29, 2016 was 0.49% before waiver and 0.12% after waiver.

Trustees’ Fees and Expenses — The Board of Trustees is responsible for overseeing the investment advisor’s management and operations of the fund. The trustees receive detailed information about the fund and its investment advisor regularly throughout the year, and meet at least quarterly with management of the investment advisor to review reports about fund operations. The fund’s officers do not receive compensation from the fund.

4. Fair Value Measurements

The fund’s investments valuation process is based on several considerations and may use multiple inputs to determine the fair value of the investments held by the fund. In conformity with accounting principles generally accepted in the United States of America, the inputs used to determine a valuation are classified into three broad levels.

•
Level 1 valuation inputs consist of unadjusted quoted prices in an active market for identical investments.

•
Level 2 valuation inputs consist of direct or indirect observable market data (including quoted prices for comparable investments, evaluations of subsequent market events, interest rates, prepayment speeds, credit risk, etc.). These inputs also consist of quoted prices for identical investments initially expressed in local currencies that are adjusted through translation into U.S. dollars.

•
Level 3 valuation inputs consist of unobservable data (including a fund’s own assumptions).

The level classification is based on the lowest level input that is significant to the fair valuation measurement. The valuation inputs are not necessarily an indication of the risks associated with investing in these securities or other financial instruments. There were no significant transfers between levels during the period.

The following is a summary of the level classifications as of period end. The Schedule of Investments provides additional information on the fund’s portfolio holdings.
 
Level 1
Level 2
Level 3
Assets
Investment Securities
Municipal Securities
—

$
184,042,797

—

Temporary Cash Investments
$
1,904,974

—

—

 
$
1,904,974

$
184,042,797

—



13


5. Risk Factors

The fund concentrates its investments in a single state and therefore may have more exposure to credit risk related to the state of California than a fund with a broader geographical diversification.

6. Federal Tax Information

The book-basis character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. These differences reflect the differing character of certain income items and net realized gains and losses for financial statement and tax purposes, and may result in reclassification among certain capital accounts on the financial statements.


14


Financial Highlights
For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
 
Distributions From:
 
 
Ratio to Average Net Assets of:
 
 
Net Asset
Value,
Beginning
of Period
Income From Investment Operations:
Net Investment Income (Loss)
Net Investment Income
Net
Realized
Gains
Total
Distributions
Net Asset
Value,
End of Period
Total
Return(1)
Operating Expenses
Operating Expenses
(before expense waiver)
Net
Investment Income
(Loss)
Net Investment Income
(Loss) (before expense waiver)
Net Assets,
End of Period
(in thousands)
Investor Class
2016(2)
$1.00
—(3)
—(3)
—(3)
—(3)
$1.00
0.01%
0.13%(4)
0.50%(4)
0.01%(4)
(0.36)%(4)

$187,149

2015
$1.00
—(3)
—(3)
—
—(3)
$1.00
0.01%
0.13%
0.50%
0.01%
(0.36)%

$199,644

2014
$1.00
—(3)
—(3)
—
—(3)
$1.00
0.01%
0.16%
0.50%
0.01%
(0.33)%

$221,042

2013
$1.00
—(3)
—(3)
—
—(3)
$1.00
0.01%
0.28%
0.50%
0.01%
(0.21)%

$241,081

2012
$1.00
—(3)
—(3)
—(3)
—(3)
$1.00
0.01%
0.40%
0.50%
0.01%
(0.09)%

$263,397

2011
$1.00
—(3)
—(3)
—(3)
—(3)
$1.00
0.01%
0.38%
0.50%
0.01%
(0.11)%

$299,366

Notes to Financial Highlights
(1)
Total returns are calculated based on the net asset value of the last business day. Total returns for periods less than one year are not annualized.
(2)
Six months ended February 29, 2016 (unaudited).
(3)
Per-share amount was less than $0.005.
(4)
Annualized.

See Notes to Financial Statements.

15


Additional Information

Proxy Voting Policies
 
Descriptions of the principles and policies that the fund's investment advisor uses in exercising the voting rights associated with the securities purchased and/or held by the fund are available without charge, upon request, by calling 1-800-345-2021 or visiting the "About Us" page of American Century Investments’ website at americancentury.com. A description of the policies is also available on the Securities and Exchange Commission’s website at sec.gov. Information regarding how the investment advisor voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available on the "About Us" page at americancentury.com. It is also available at sec.gov.
 

Quarterly Portfolio Disclosure

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-Q. The fund’s Forms N-Q are available on the SEC’s website at sec.gov, and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The fund also makes its complete schedule of portfolio holdings for the most recent quarter of its fiscal year available on its website at americancentury.com and, upon request, by calling 1-800-345-2021.



16






 
 
 
 
Contact Us
americancentury.com
 
Automated Information Line
1-800-345-8765
 
Investor Services Representative
1-800-345-2021
or 816-531-5575
 
Investors Using Advisors
1-800-378-9878
 
Business, Not-For-Profit, Employer-Sponsored Retirement Plans
1-800-345-3533
 
Banks and Trust Companies, Broker-Dealers, Financial Professionals, Insurance Companies
1-800-345-6488
 
Telecommunications Relay Service for the Deaf
711
 
 
 
 
American Century California Tax-Free and Municipal Funds
 
 
 
 
Investment Advisor:
American Century Investment Management, Inc.
Kansas City, Missouri
 
 
 
 
This report and the statements it contains are submitted for the general information of our shareholders. The report is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus.
 
 
 
 
©2016 American Century Proprietary Holdings, Inc. All rights reserved.
CL-SAN-88537   1604
 



SEMIANNUAL REPORT
FEBRUARY 29, 2016
 
  



California Intermediate-Term Tax-Free Bond Fund







Table of Contents
President’s Letter
2

Fund Characteristics

Shareholder Fee Example

Schedule of Investments

Statement of Assets and Liabilities

Statement of Operations

Statement of Changes in Net Assets

Notes to Financial Statements

Financial Highlights

Additional Information





























Any opinions expressed in this report reflect those of the author as of the date of the report, and do not necessarily represent the opinions of American Century Investments® or any other person in the American Century Investments organization. Any such opinions are subject to change at any time based upon market or other conditions and American Century Investments disclaims any responsibility to update such opinions. These opinions may not be relied upon as investment advice and, because investment decisions made by American Century Investments funds are based on numerous factors, may not be relied upon as an indication of trading intent on behalf of any American Century Investments fund. Security examples are used for representational purposes only and are not intended as recommendations to purchase or sell securities. Performance information for comparative indices and securities is provided to American Century Investments by third party vendors. To the best of American Century Investments’ knowledge, such information is accurate at the time of printing.



President’s Letter

Dear Investor:

Thank you for reviewing this semiannual report for the six months ended February 29, 2016. It provides a macroeconomic and financial market overview (below), followed by a schedule of fund investments and other financial information.

For additional commentary and information on fund performance, key factors that affected asset returns, and other insights regarding the investment markets, we encourage you to visit our website, americancentury.com.
Jonathan Thomas

Municipal Bonds (Munis) Outperformed During a Volatile Period

Widespread concerns about global economic growth sparked sharp financial market volatility during the reporting period. China was the primary catalyst, where market-moving events included slowing economic growth, currency devaluations, and massive monetary policy easing. These events sent shock waves through the global markets last summer and re-emerged in January and early February, triggering sell-offs in riskier assets such as stocks and high-yield bonds, and a plunge in commodity prices, most notably oil. The U.S. dollar advanced against other major currencies for the six-month period as U.S. investment instruments generally outperformed their non-U.S. counterparts. In the U.S. stock market, relatively defensive sectors such as utilities, real estate investment trusts (REITs), and large-cap growth stocks performed best. In the U.S. bond market, high-quality sectors including munis and Treasuries were market leaders.

Despite default threats in Puerto Rico and financial concerns facing the city of Chicago and the states of Illinois and New Jersey, the broader muni market was viewed as a relative bastion of stability because of its comparatively high overall credit quality. Investors also focused on munis because this sector has historically performed relatively well in periods of rising interest rates, particularly if the rate increases reflect stronger economic conditions. The Barclays Municipal Bond Index advanced 3.62% for the six months.

Speaking of rising interest rates, the U.S. Federal Reserve (the Fed) finally began the process of gradually increasing its overnight interest rate target. But we don’t expect a big increase in intermediate- to longer-maturity bond yields in the near term because of deflationary threats and other headwinds still facing the global economy. We believe the Fed’s moves (and conjecture about these moves) will be accompanied by further market volatility. This could present both challenges and opportunities for active investment managers. In this environment, we continue to believe in a disciplined, diversified, risk-aware investment approach, using professionally managed portfolios to meet financial goals. We appreciate your trust in us.

Sincerely,
Jonathan Thomas
President and Chief Executive Officer
American Century Investments


2


Fund Characteristics
 
FEBRUARY 29, 2016
Portfolio at a Glance
 
Weighted Average Maturity
9.1 years
Average Duration (Modified)
4.5 years
 
 
Top Five Sectors
% of fund investments
Public Power
12%
General Obligation (GO) - Local
11%
Lease Revenue
10%
Hospital
10%
General Obligation (GO) - State
9%
 
 
Types of Investments in Portfolio  
% of net assets
Municipal Securities
97.7%
Temporary Cash Investments
1.8%
Other Assets and Liabilities
0.5%

3


Shareholder Fee Example
 
Fund shareholders may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption/exchange fees; and (2) ongoing costs, including management fees; distribution and service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in your fund and to compare these costs with the ongoing cost of investing in other mutual funds.

The example is based on an investment of $1,000 made at the beginning of the period and held for the entire period from September 1, 2015 to February 29, 2016.

Actual Expenses

The table provides information about actual account values and actual expenses for each class. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. First, identify the share class you own. Then simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

If you hold Investor Class shares of any American Century Investments fund, or Institutional Class shares of the American Century Diversified Bond Fund, in an American Century Investments account (i.e., not a financial intermediary or retirement plan account), American Century Investments may charge you a $12.50 semiannual account maintenance fee if the value of those shares is less than $10,000. We will redeem shares automatically in one of your accounts to pay the $12.50 fee. In determining your total eligible investment amount, we will include your investments in all personal accounts (including American Century Investments Brokerage accounts) registered under your Social Security number. Personal accounts include individual accounts, joint accounts, UGMA/UTMA accounts, personal trusts, Coverdell Education Savings Accounts and IRAs (including traditional, Roth, Rollover, SEP-, SARSEP- and SIMPLE-IRAs), and certain other retirement accounts. If you have only business, business retirement, employer-sponsored or American Century Investments Brokerage accounts, you are currently not subject to this fee. If you are subject to the Account Maintenance Fee, your account value could be reduced by the fee amount.

Hypothetical Example for Comparison Purposes

The table also provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio of each class of your fund and an assumed rate of return of 5% per year before expenses, which is not the actual return of a fund’s share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in your fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) or redemption/exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.




4




Beginning
Account Value
9/1/15
Ending
Account Value
2/29/16
Expenses Paid
During Period(1)9/1/15 - 2/29/16

Annualized
Expense Ratio(1)
Actual
 
 
 
 
Investor Class
$1,000
$1,031.50
$2.37
0.47%
Institutional Class
$1,000
$1,032.60
$1.36
0.27%
A Class
$1,000
$1,030.30
$3.63
0.72%
C Class
$1,000
$1,025.60
$7.40
1.47%
Hypothetical
 
 
 
 
Investor Class
$1,000
$1,022.53
$2.36
0.47%
Institutional Class
$1,000
$1,023.52
$1.36
0.27%
A Class
$1,000
$1,021.28
$3.62
0.72%
C Class
$1,000
$1,017.55
$7.37
1.47%
(1)
Expenses are equal to the class's annualized expense ratio listed in the table above, multiplied by the average account value over the period, multiplied by 182, the number of days in the most recent fiscal half-year, divided by 366, to reflect the one-half year period.

5


Schedule of Investments

FEBRUARY 29, 2016 (UNAUDITED)
 
Principal Amount
Value
MUNICIPAL SECURITIES — 97.7%
 
 
California — 97.6%
 
 
ABAG Finance Authority for Nonprofit Corps. Rev., Series 2011 A, (Sharp HealthCare), 6.00%, 8/1/30
$
2,500,000

$
3,053,100

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2012, (Jackson Laboratory), 4.00%, 7/1/16
270,000

273,270

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2012, (Jackson Laboratory), 5.00%, 7/1/17
1,000,000

1,055,950

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2012, (Jackson Laboratory), 5.00%, 7/1/18
500,000

546,480

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2014 A, (Sharp HealthCare), 5.00%, 8/1/33
1,450,000

1,690,947

Alameda Corridor Transportation Authority Rev., Capital Appreciation, Series 1999 A, (Senior Lien), 0.00%, 10/1/35 (NATL-RE)(1)
9,000,000

4,292,820

Alameda Corridor Transportation Authority Rev., Series 2013 A, (Senior Lien), 5.00%, 10/1/20
3,010,000

3,550,867

Alameda Corridor Transportation Authority Rev., Series 2013 A, (Senior Lien), 5.00%, 10/1/24
2,000,000

2,456,420

Alum Rock Union Elementary School District GO, Series 2013 A, (Election of 2012), 6.00%, 8/1/39
1,500,000

1,905,795

Anaheim Public Financing Authority Rev., Series 2011 A, (Electric System Distribution Facilities), 5.375%, 10/1/36
700,000

823,116

Anaheim Public Financing Authority Rev., Series 2012 A, (Electric System Distribution Facilities), 5.00%, 10/1/23
1,200,000

1,494,492

Anaheim Public Financing Authority Rev., Series 2012 A, (Electric System Distribution Facilities), 5.00%, 10/1/24
2,275,000

2,811,718

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/25
1,000,000

1,227,400

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/28
1,100,000

1,324,334

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/29
1,250,000

1,497,713

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/34
1,360,000

1,587,963

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/39
1,550,000

1,780,407

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/46
2,000,000

2,278,580

Bay Area Toll Authority Toll Bridge Rev., Series 2001 A, (San Francisco Bay Area), VRDN, 1.26%, 3/3/16
3,500,000

3,455,585

Bay Area Toll Authority Toll Bridge Rev., Series 2007 A-1, (San Francisco Bay Area), VRDN, 0.71%, 3/3/16
1,000,000

998,790

Bay Area Toll Authority Toll Bridge Rev., Series 2007 F, (San Francisco Bay Area), 5.00%, 4/1/17, Prerefunded at 100% of Par(2)
2,000,000

2,099,960

Bay Area Toll Authority Toll Bridge Rev., Series 2008 G-1, (San Francisco Bay Area), VRDN, 1.11%, 3/3/16
2,500,000

2,480,525

Bay Area Toll Authority Toll Bridge Rev., Series 2009 F-1, (San Francisco Bay Area), 5.25%, 4/1/19, Prerefunded at 100% of Par(2)
5,000,000

5,690,650

Bay Area Toll Authority Toll Bridge Rev., Series 2012 F-1, (San Francisco Bay Area), 5.00%, 4/1/24
1,500,000

1,839,675

Bay Area Toll Authority Toll Bridge Rev., Series 2012 F-1, (San Francisco Bay Area), 5.00%, 4/1/25
3,500,000

4,270,665


6


 
Principal Amount
Value
Bay Area Toll Authority Toll Bridge Rev., Series 2012 F-1, (San Francisco Bay Area), 5.00%, 4/1/28
$
7,185,000

$
8,679,193

Bay Area Toll Authority Toll Bridge Rev., Series 2013 S-4, (San Francisco Bay Area), 5.00%, 4/1/43
5,610,000

6,480,335

Bay Area Toll Authority Toll Bridge Rev., Series 2014 B, (San Francisco Bay Area), VRDN, 1.50%, 4/2/18
3,000,000

3,035,940

Bay Area Toll Authority Toll Bridge Rev., Series 2014 E, (San Francisco Bay Area), 2.00%, 4/1/34
2,000,000

2,068,520

Bay Area Toll Authority Toll Bridge Rev., Series 2014 S-6, (San Francisco Bay Area), 5.00%, 10/1/54
7,000,000

8,057,700

California Department of Water Resources Power Supply Rev., Series 2005 F-5, 5.00%, 5/1/22
1,800,000

1,968,318

California Department of Water Resources Power Supply Rev., Series 2005 G-4, 5.00%, 5/1/16
3,230,000

3,257,616

California Department of Water Resources Power Supply Rev., Series 2008 H, 5.00%, 5/1/21
1,430,000

1,565,678

California Department of Water Resources Power Supply Rev., Series 2009 AG, (Center Valley Project), 5.00%, 12/1/19, Prerefunded at 100% of Par(2)
905,000

1,047,094

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/16
5,000,000

5,042,750

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/17
5,000,000

5,270,500

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/18
3,000,000

3,289,470

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/19
7,000,000

7,955,220

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/20, Prerefunded at 100% of Par(2)
1,860,000

2,177,818

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/20, Prerefunded at 100% of Par(2)
8,000,000

9,366,960

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/21
1,140,000

1,331,132

California Department of Water Resources Power Supply Rev., Series 2010 L, 5.00%, 5/1/22
6,835,000

7,962,638

California Department of Water Resources Power Supply Rev., Series 2010 M, 5.00%, 5/1/16
2,000,000

2,017,100

California Department of Water Resources Power Supply Rev., Series 2011 N, 5.00%, 5/1/20
14,215,000

16,664,102

California Department of Water Resources Power Supply Rev., Series 2011 N, 5.00%, 5/1/21
10,000,000

12,056,200

California Department of Water Resources Rev., Series 2014 AT, (Center Valley Project), VRDN, 0.31%, 3/3/16
4,500,000

4,480,245

California Economic Recovery GO, Series 2009 A, 5.00%, 7/1/16, Prerefunded at 100% of Par(2)
2,000,000

2,033,020

California Economic Recovery GO, Series 2009 A, 5.00%, 7/1/18(2)
5,435,000

5,986,218

California Economic Recovery GO, Series 2009 A, 5.00%, 7/1/18(2)
1,565,000

1,723,722

California Economic Recovery GO, Series 2009 A, 5.00%, 7/1/19(2)
4,505,000

5,137,547

California Educational Facilities Authority Rev., (Chapman University), 5.00%, 4/1/21
750,000

886,215

California Educational Facilities Authority Rev., (Chapman University), 5.00%, 4/1/24
930,000

1,139,938

California Educational Facilities Authority Rev., (Chapman University), 5.00%, 4/1/31
1,455,000

1,635,915

California Educational Facilities Authority Rev., (San Francisco University), 5.00%, 10/1/16
1,200,000

1,233,552


7


 
Principal Amount
Value
California Educational Facilities Authority Rev., (San Francisco University), 5.00%, 10/1/21
$
750,000

$
902,693

California Educational Facilities Authority Rev., (Santa Clara University), 5.00%, 4/1/18, Prerefunded at 100% of Par(2)
655,000

714,160

California Educational Facilities Authority Rev., (Santa Clara University), 5.00%, 4/1/18
500,000

544,780

California Educational Facilities Authority Rev., (Santa Clara University), 5.25%, 4/1/18, Prerefunded at 100% of Par(2)
1,875,000

2,054,062

California Educational Facilities Authority Rev., (Santa Clara University), 5.00%, 4/1/19
45,000

49,259

California Educational Facilities Authority Rev., (Santa Clara University), 5.25%, 4/1/23
125,000

136,739

California Educational Facilities Authority Rev., (University of the Pacific), 5.00%, 11/1/33
1,000,000

1,176,900

California Educational Facilities Authority Rev., Series 2009 A, (Pomona College), 5.00%, 1/1/24
2,100,000

2,357,796

California Educational Facilities Authority Rev., Series 2009 A, (University of Southern California), 5.00%, 10/1/39
2,950,000

3,255,000

California Educational Facilities Authority Rev., Series 2010 A, (Loyola Marymount University), 5.00%, 10/1/30
1,365,000

1,534,738

California Educational Facilities Authority Rev., Series 2012 A, (University of the Pacific), 4.50%, 11/1/17
1,000,000

1,062,420

California Educational Facilities Authority Rev., Series 2015 A, (University of Southern California), 5.00%, 10/1/25
1,875,000

2,439,112

California GO, 5.00%, 11/1/16 (Ambac)
1,575,000

1,625,274

California GO, 5.00%, 9/1/17
2,500,000

2,671,000

California GO, 5.00%, 10/1/17
2,170,000

2,326,131

California GO, 5.50%, 4/1/18
2,535,000

2,794,990

California GO, 5.00%, 8/1/18
2,260,000

2,358,220

California GO, 5.00%, 9/1/18
1,000,000

1,109,250

California GO, 5.00%, 9/1/19
7,645,000

8,771,797

California GO, 5.00%, 3/1/20
1,690,000

1,833,126

California GO, 5.00%, 8/1/20
5,000,000

5,216,350

California GO, 5.25%, 10/1/20
5,000,000

5,777,900

California GO, 5.00%, 3/1/22
5,000,000

5,020,700

California GO, 5.00%, 9/1/22
2,000,000

2,473,300

California GO, 5.00%, 3/1/23
10,000,000

12,408,600

California GO, 5.50%, 4/1/24
4,600,000

5,249,198

California GO, 5.00%, 8/1/24
1,260,000

1,313,323

California GO, 5.00%, 8/1/26
4,800,000

6,047,424

California GO, 5.00%, 12/1/26
1,045,000

1,291,411

California GO, 5.00%, 2/1/27
14,000,000

16,901,500

California GO, 5.00%, 2/1/28
5,795,000

6,969,531

California GO, 5.00%, 3/1/28
8,000,000

9,863,920

California GO, 5.75%, 4/1/28
5,000,000

5,705,800

California GO, 5.00%, 11/1/29
2,625,000

3,185,910

California GO, 5.75%, 4/1/31
5,000,000

5,686,150

California GO, 5.00%, 11/1/32
1,890,000

2,016,989

California GO, 6.50%, 4/1/33
5,000,000

5,837,700

California GO, 6.00%, 4/1/38
3,000,000

3,447,180

California GO, 5.00%, 8/1/45
5,000,000

5,864,650

California GO, Series 2012 B, VRN, 0.91%, 3/3/16
2,000,000

2,014,220


8


 
Principal Amount
Value
California GO, Series 2012 B, VRN, 1.01%, 3/3/16
$
800,000

$
807,376

California GO, Series 2012 B, VRN, 1.16%, 3/3/16
960,000

975,744

California GO, VRDN, 4.00%, 12/1/16
3,000,000

3,028,320

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 8/15/18
1,000,000

1,105,650

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 11/15/22
3,000,000

3,720,090

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 11/15/23
2,150,000

2,712,977

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 11/15/24
1,450,000

1,850,040

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 11/15/26
3,000,000

3,791,100

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 11/15/27
6,000,000

7,524,960

California Health Facilities Financing Authority Rev., (NCROC Paradise Valley Estates), 5.70%, 12/1/24 (Ambac/California Mortgage Insurance)
1,455,000

1,640,513

California Health Facilities Financing Authority Rev., Series 2008 A, (Lucile Salter Packard Children's Hospital), VRDN, 1.45%, 3/15/17
2,000,000

2,020,960

California Health Facilities Financing Authority Rev., Series 2008 A, (Scripps Health), 5.00%, 10/1/17
1,400,000

1,500,030

California Health Facilities Financing Authority Rev., Series 2008 A, (Sutter Health), 5.50%, 8/15/17
1,000,000

1,074,760

California Health Facilities Financing Authority Rev., Series 2008 A, (Sutter Health), 5.25%, 8/15/22
3,335,000

3,714,890

California Health Facilities Financing Authority Rev., Series 2008 B, (Lucile Salter Packard Children's Hospital), VRDN, 1.45%, 3/15/17
2,200,000

2,223,056

California Health Facilities Financing Authority Rev., Series 2008 C, (Lucile Salter Packard Children's Hospital), VRDN, 1.45%, 3/15/17
1,355,000

1,369,200

California Health Facilities Financing Authority Rev., Series 2008 C, (Providence Health & Services), 6.25%, 10/1/18, Prerefunded at 100% of Par(2)
3,250,000

3,714,620

California Health Facilities Financing Authority Rev., Series 2008 C, (Providence Health & Services), 6.50%, 10/1/18, Prerefunded at 100% of Par(2)
40,000

45,930

California Health Facilities Financing Authority Rev., Series 2008 C, (Providence Health & Services), 6.50%, 10/1/18, Prerefunded at 100% of Par(2)
2,085,000

2,394,101

California Health Facilities Financing Authority Rev., Series 2009 A, (Catholic Healthcare West), 5.00%, 7/1/18
3,000,000

3,296,880

California Health Facilities Financing Authority Rev., Series 2009 A, (Children's Hospital of Orange County), 6.25%, 11/1/29
5,000,000

5,919,200

California Health Facilities Financing Authority Rev., Series 2009 A, (St. Joseph Health System), 5.50%, 7/1/29
1,500,000

1,714,170

California Health Facilities Financing Authority Rev., Series 2009 A, (St. Joseph Health System), 5.75%, 7/1/39
1,000,000

1,143,860

California Health Facilities Financing Authority Rev., Series 2009 C, (St. Joseph Health System), VRDN, 5.00%, 10/18/22
7,000,000

8,568,980

California Health Facilities Financing Authority Rev., Series 2010 A, (Stanford Hospital), 5.00%, 11/15/25
2,000,000

2,327,360

California Health Facilities Financing Authority Rev., Series 2011 B, (St. Joseph Health System), VRDN, 0.01%, 3/1/16 (LOC: U.S. Bank N.A.)
2,900,000

2,900,000

California Health Facilities Financing Authority Rev., Series 2011 B, (Sutter Health), 6.00%, 8/15/42
1,000,000

1,200,660

California Health Facilities Financing Authority Rev., Series 2011 D, (Sutter Health), 5.00%, 8/15/18
1,305,000

1,445,679


9


 
Principal Amount
Value
California Health Facilities Financing Authority Rev., Series 2011 D, (Sutter Health), 5.00%, 8/15/22
$
1,650,000

$
2,022,949

California Health Facilities Financing Authority Rev., Series 2012 A, (Stanford Hospital & Clinics), 5.00%, 8/15/51
1,000,000

1,106,560

California Health Facilities Financing Authority Rev., Series 2012 B, (Lucile Salter Packard Children's Hospital), 5.00%, 8/15/25
5,855,000

6,960,658

California Health Facilities Financing Authority Rev., Series 2013 A, (St. Joseph Health System), 5.00%, 7/1/37
890,000

1,030,558

California Health Facilities Financing Authority Rev., Series 2013 A, (Sutter Health), 5.00%, 8/15/52
3,650,000

4,091,066

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/21
300,000

364,962

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/22
200,000

248,444

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/23
600,000

751,632

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/28
465,000

573,750

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/29
1,000,000

1,229,840

California Health Facilities Financing Authority Rev., Series 2016 A, (Sutter Health), 5.00%, 11/15/30
750,000

914,363

California Infrastructure & Economic Development Bank Rev., (Academy Motion Picture Arts and Sciences Obligated Group), 5.00%, 11/1/27
1,010,000

1,226,221

California Infrastructure & Economic Development Bank Rev., (Academy Motion Picture Arts and Sciences Obligated Group), 5.00%, 11/1/28
1,205,000

1,455,025

California Infrastructure & Economic Development Bank Rev., (Academy Motion Picture Arts and Sciences Obligated Group), 5.00%, 11/1/29
1,000,000

1,202,640

California Infrastructure & Economic Development Bank Rev., (Academy Motion Picture Arts and Sciences Obligated Group), 5.00%, 11/1/30
1,370,000

1,639,589

California Infrastructure & Economic Development Bank Rev., (Academy Motion Picture Arts and Sciences Obligated Group), 5.00%, 11/1/41
1,000,000

1,150,910

California Infrastructure & Economic Development Bank Rev., (Columbia College), VRDN, 0.06%, 3/3/16 (LOC: Rabobank Nederland N.V.)
1,480,000

1,480,000

California Infrastructure & Economic Development Bank Rev., Series 2000 A, (Scripps Research Institute), 5.625%, 7/1/20
675,000

678,058

California Infrastructure & Economic Development Bank Rev., Series 2010 A, (University of California, San Francisco Neuroscience Building), 5.00%, 5/15/22
3,735,000

4,371,668

California Infrastructure & Economic Development Bank Rev., Series 2011 A-1, (J. Paul Getty Trust), VRDN, 0.29%, 3/3/16
5,000,000

5,000,000

California Infrastructure & Economic Development Bank Rev., Series 2013 A, (Los Angeles County Museum of Art Project), VRDN, 2.05%, 3/3/16
3,000,000

3,071,250

California Infrastructure & Economic Development Bank Rev., Series 2015 A, (The Colburn School), VRDN, 1.01%, 3/3/16
4,375,000

4,381,562

California Infrastructure & Economic Development Bank Rev., Series 2015 B-2, (J. Paul Getty Trust), VRDN, 0.29%, 3/3/16
2,750,000

2,726,597

California Municipal Finance Authority Rev., (Community Hospitals Central), 5.00%, 2/1/17
2,000,000

2,076,660

California Municipal Finance Authority Rev., Series 2007, (Loma Linda University), 5.00%, 4/1/23
1,145,000

1,197,372


10


 
Principal Amount
Value
California Municipal Finance Authority Rev., Series 2007, (Loma Linda University), 5.00%, 4/1/28
$
2,000,000

$
2,085,900

California Municipal Finance Authority Rev., Series 2008 A, (Biola University), 5.00%, 10/1/18
1,000,000

1,091,330

California Municipal Finance Authority Rev., Series 2010 A, (Eisenhower Medical Center), 5.00%, 7/1/19
605,000

672,337

California Municipal Finance Authority Rev., Series 2010 A, (Eisenhower Medical Center), 5.25%, 7/1/21
1,760,000

2,024,616

California Municipal Finance Authority Rev., Series 2010 A, (University of Louisiana Verne), 5.00%, 6/1/17
2,290,000

2,397,584

California Municipal Finance Authority Rev., Series 2011, (Emerson College), 5.75%, 1/1/33
2,250,000

2,618,325

California Municipal Finance Authority Rev., Series 2011, (Emerson College), 6.00%, 1/1/42
1,000,000

1,196,210

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/22
1,000,000

1,184,370

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/23
520,000

622,497

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/25
1,925,000

2,343,610

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/27
295,000

352,625

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/28
735,000

871,056

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/29
1,000,000

1,178,220

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/46
4,000,000

4,457,920

California Municipal Finance Authority Rev., Series 2015 B, (Azusa Pacific University), 5.00%, 4/1/27
1,165,000

1,327,518

California Public Works Board Lease Rev., Series 2006 A, (California State University), 5.00%, 10/1/16 (NATL-RE/FGIC)
1,500,000

1,541,760

California Public Works Board Lease Rev., Series 2009 A, (Department of General Services - Building 8 & 9), 6.25%, 4/1/34
2,435,000

2,843,593

California Public Works Board Lease Rev., Series 2009 B, (Department of Education - Riverside Campus), 6.00%, 4/1/27
2,130,000

2,475,976

California Public Works Board Lease Rev., Series 2009 I-1, (Various Capital Projects), 6.375%, 11/1/34
2,500,000

2,998,275

California Public Works Board Lease Rev., Series 2011 D, (Judicial Council Projects), 5.25%, 12/1/26
2,000,000

2,429,880

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/21
3,000,000

3,583,230

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/22
2,100,000

2,556,897

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/23
2,000,000

2,410,440

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/25
1,800,000

2,169,954

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/37
4,545,000

5,218,933

California Public Works Board Lease Rev., Series 2012 D, (California State University Projects), 5.00%, 9/1/36
1,000,000

1,160,960

California Public Works Board Lease Rev., Series 2012 G, (Various Capital Projects), 4.00%, 11/1/17
1,250,000

1,321,813

California Public Works Board Lease Rev., Series 2013 H, (California State University Projects), 5.00%, 9/1/38
4,500,000

5,152,860

California Public Works Board Lease Rev., Series 2013 I, (Various Capital Projects), 5.00%, 11/1/38
2,400,000

2,771,136


11


 
Principal Amount
Value
California Public Works Board Lease Rev., Series 2014 A, (Various Correctional Facilities), 5.00%, 9/1/25
$
5,000,000

$
6,243,150

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/46(3)
1,000,000

1,109,460

California School Finance Authority Rev., Series 2015 A, (Alliance for College-Ready Public School Project), 3.00%, 7/1/19(3)
1,025,000

1,055,996

California School Finance Authority Rev., Series 2015 A, (Alliance for College-Ready Public School Project), 3.00%, 7/1/20(3)
1,115,000

1,150,011

California Public Works Board Lease Rev., Series 2015 F, 5.00%, 5/1/27
5,000,000

6,210,250

California State University Rev., Series 2011 A, 5.00%, 11/1/20
1,250,000

1,491,963

California State University Rev., Series 2011 A, 5.00%, 11/1/24
5,000,000

6,004,750

California State University Rev., Series 2014 A, 5.00%, 11/1/32
1,750,000

2,092,160

California State University Rev., Series 2015 A, 5.00%, 11/1/18
1,800,000

2,012,328

California State University Rev., Series 2015 A, 5.00%, 11/1/19
1,000,000

1,157,320

California State University Rev., Series 2015 A, 5.00%, 11/1/21
1,000,000

1,223,100

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/16
750,000

773,138

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/17
815,000

874,308

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 4.00%, 11/1/18
200,000

217,040

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/18
515,000

572,474

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 4.00%, 11/1/19
200,000

222,152

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/20
100,000

117,553

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 4.00%, 11/1/21
150,000

171,879

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/22
125,000

153,476

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/23
150,000

186,924

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.00%, 11/1/24
200,000

249,498

California Statewide Communities Development Authority Rev., (John Muir Health), 5.00%, 7/1/20
2,225,000

2,531,071

California Statewide Communities Development Authority Rev., (Southern California Edison Co.), VRDN, 1.375%, 4/2/18
1,775,000

1,789,093

California Statewide Communities Development Authority Rev., (St. Joseph Remarketing), 5.125%, 7/1/24 (NATL-RE)
2,000,000

2,202,200

California Statewide Communities Development Authority Rev., (Trinity Health Corp.), 5.00%, 12/1/41
1,570,000

1,757,678

California Statewide Communities Development Authority Rev., Series 2002 B, (Pooled Financing Program), 5.20%, 3/31/16, Prerefunded at 100% of Par (AGM)(2)
440,000

441,835

California Statewide Communities Development Authority Rev., Series 2007 A, (California Baptist University), 5.30%, 11/1/18
1,300,000

1,366,326

California Statewide Communities Development Authority Rev., Series 2007 A, (California Baptist University), 5.40%, 11/1/27
1,000,000

1,039,860

California Statewide Communities Development Authority Rev., Series 2007 A, (Henry Mayo Newhall Memorial Hospital), 5.00%, 10/1/17, Prerefunded at 100% of Par (California Mortgage Insurance)(2)
1,000,000

1,071,280

California Statewide Communities Development Authority Rev., Series 2007 A, (Valleycare Health System), 4.80%, 7/15/17(2)
1,325,000

1,376,039


12


 
Principal Amount
Value
California Statewide Communities Development Authority Rev., Series 2007 A, (Valleycare Health System), 5.00%, 7/15/17, Prerefunded at 100% of Par(2)
$
2,460,000

$
2,614,390

California Statewide Communities Development Authority Rev., Series 2009 A, (Kaiser Permanente), 5.00%, 4/1/19
1,450,000

1,638,283

California Statewide Communities Development Authority Rev., Series 2009 E-2, (Kaiser Permanente), VRDN, 5.00%, 5/1/17
5,000,000

5,263,650

California Statewide Communities Development Authority Rev., Series 2012 A, (Kaiser Permanente), 5.00%, 4/1/42
8,400,000

9,561,300

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/22
475,000

571,031

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/23
600,000

729,138

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/24
750,000

920,393

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/25
800,000

965,064

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/26
885,000

1,058,318

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/27
1,880,000

2,230,206

California Statewide Communities Development Authority Rev., Series 2014 B, (Los Angeles Jewish Home), 3.00%, 8/1/21 (GA: Jewish Home Foundation/California Mortgage Insurance)
3,900,000

3,949,608

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/23
1,190,000

1,446,612

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/24
800,000

983,496

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/25
750,000

932,048

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/26
1,000,000

1,254,530

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/27
1,590,000

1,982,523

Calleguas-Las Virgenes Public Financing Authority Rev., Series 2007 A, (Municipal Water District), 5.00%, 7/1/16, Prerefunded at 100% of Par (NATL-RE/FGIC)(2)
1,000,000

1,016,410

Capistrano Unified School District Special Tax Rev., (Community Facilities District No. 87-1), 5.00%, 9/1/18 (Ambac)
3,115,000

3,186,302

Carson Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2014 A, (Merged and Amended Project Area), 4.00%, 10/1/16
525,000

536,387

Carson Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2014 A, (Merged and Amended Project Area), 4.00%, 10/1/17
675,000

711,288

Carson Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2014 A, (Project Area No. 1), 5.00%, 10/1/19 (AGM)
315,000

356,741

Chaffey Joint Union High School District GO, Series 2013 A, (Election of 2012), 5.00%, 8/1/30
3,125,000

3,799,875

Chaffey Joint Union High School District GO, Series 2013 A, (Election of 2012), 5.00%, 8/1/32
1,220,000

1,466,611

Chula Vista Rev., Series 2006 A, (San Diego Gas and Electric), 1.65%, 7/1/18
8,165,000

8,173,328

City of Fontana Special Tax Rev., (Community Facilities District No. 22), 4.00%, 9/1/18
740,000

791,874

City of Fontana Special Tax Rev., (Community Facilities District No. 22), 4.00%, 9/1/19
390,000

425,315

City of Fontana Special Tax Rev., (Community Facilities District No. 22), 5.00%, 9/1/20
545,000

625,742


13


 
Principal Amount
Value
City of Fontana Special Tax Rev., (Community Facilities District No. 22), 5.00%, 9/1/22
$
520,000

$
617,739

City of Fontana Special Tax Rev., (Community Facilities District No. 22), 5.00%, 9/1/24
575,000

695,451

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 15-1), 2.00%, 9/2/16
850,000

856,732

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 4.00%, 9/2/17
850,000

891,123

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 15-1), 4.00%, 9/2/17
360,000

377,417

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 4.00%, 9/2/18
875,000

941,124

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 4.00%, 9/2/19
1,400,000

1,539,986

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 15-1), 4.00%, 9/2/19
1,375,000

1,510,809

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 15-1), 5.00%, 9/2/26
500,000

615,740

City of La Verne COP, (Brethren Hillcrest Homes), 5.00%, 5/15/20
640,000

721,440

City of La Verne COP, (Brethren Hillcrest Homes), 5.00%, 5/15/21
315,000

361,670

City of La Verne COP, (Brethren Hillcrest Homes), 5.00%, 5/15/22
225,000

261,974

City of Riverside Sewer Rev., Series 2015 A, 5.00%, 8/1/25
1,630,000

2,034,680

City of Riverside Sewer Rev., Series 2015 A, 5.00%, 8/1/26
3,400,000

4,192,268

City of Roseville Water Utility COP, 5.00%, 12/1/26
1,690,000

2,119,801

City of Roseville Water Utility COP, 5.00%, 12/1/27
2,250,000

2,790,292

Clovis Unified School District GO, Capital Appreciation, Series 2004 A, (Election of 2004), 0.00%, 8/1/24 (NATL-RE)(1)
5,935,000

4,981,602

Corcoran Joint Unified School District COP, VRDN, 2.70%, 12/1/21 (AGM)
4,500,000

4,551,390

Del Mar Race Track Authority Rev., 4.00%, 10/1/19(3)
1,275,000

1,369,337

Del Mar Race Track Authority Rev., 4.00%, 10/1/20(3)
1,330,000

1,441,986

East Side Union High School District GO, Series 2012, 5.00%, 8/1/25
1,405,000

1,680,984

Eastern Municipal Water District Water & Sewer COP, Series 2008 H, 5.00%, 7/1/24
1,000,000

1,098,950

Eastern Municipal Water District Water & Sewer Rev., Series 2011 A, 4.00%, 7/1/16
600,000

607,716

Fairfield Redevelopment Agency Tax Allocation Rev., 4.00%, 8/1/16
1,525,000

1,548,470

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2013 A, 0.00%, 1/15/24(4)
1,600,000

1,281,632

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2013 A, 0.00%, 1/15/42(1)
4,820,000

1,503,165

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 A, 6.00%, 1/15/49
3,000,000

3,553,170

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 B-1, VRDN, 5.00%, 1/15/18
3,750,000

3,940,725

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 B-2, VRDN, 5.00%, 1/15/20
5,000,000

5,523,350

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 B-3, VRDN, 5.50%, 1/15/23
2,750,000

3,284,490

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 C, (Junior Lien), 6.25%, 1/15/33
3,000,000

3,562,470

Garden Grove Agency Community Development Successor Agency Tax Allocation Rev., (Garden Grove Community Project), 5.00%, 10/1/22 (BAM)(5)
500,000

610,610


14


 
Principal Amount
Value
Garden Grove Agency Community Development Successor Agency Tax Allocation Rev., (Garden Grove Community Project), 5.00%, 10/1/23 (BAM)(5)
$
500,000

$
617,480

Golden State Tobacco Securitization Corp. Settlement Rev., Capital Appreciation, Series 2005 A, 0.00%, 6/1/25 (AGM)(1)
2,000,000

1,606,680

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 4.50%, 6/1/27
1,270,000

1,274,699

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 5.00%, 6/1/33
1,250,000

1,186,425

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2013 A, 5.00%, 6/1/21
1,000,000

1,194,650

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2013 A, 5.00%, 6/1/29
6,650,000

7,850,325

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2013 A, 5.00%, 6/1/30
1,000,000

1,168,230

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2015 A, 3.00%, 6/1/17
1,000,000

1,031,160

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2015 A, 4.00%, 6/1/18
2,885,000

3,098,894

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2015 A, 5.00%, 6/1/19
1,000,000

1,134,230

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2015 A, 5.00%, 6/1/20
1,000,000

1,164,710

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2015 A, 5.00%, 6/1/21
3,000,000

3,583,950

Grossmont-Cuyamaca Community College District GO, Series 2013 A, (Election of 2012), 5.25%, 8/1/27
750,000

938,873

Hayward Area Recreation and Park District COP, 5.125%, 1/1/39
1,750,000

1,974,087

Huntington Beach Union High School District GO, 5.00%, 8/1/26
3,030,000

3,729,597

Inland Valley Development Agency Tax Allocation Rev., Series 2014 A, 5.25%, 9/1/37
1,110,000

1,285,713

Inland Valley Development Agency Tax Allocation Rev., Series 2014 A, 5.00%, 9/1/44
1,175,000

1,311,899

Irvine Community Facilities District No. 2013-3 Special Tax Rev., (Great Park Improvement Area No.1), 5.00%, 9/1/39
1,000,000

1,124,650

Irvine Unified School District Financing Authority Special Tax Rev., Series 2006 A, (Group II), 4.75%, 9/1/16
600,000

612,738

Irvine Unified School District Financing Authority Special Tax Rev., Series 2006 A, (Group II), 5.00%, 9/1/20
745,000

762,917

Jurupa Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/1/23
625,000

763,838

Jurupa Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/1/24
680,000

838,617

Jurupa Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/1/25
1,000,000

1,221,610

La Quinta Redevelopment Successor Agency Tax Allocation Rev., Series 2013 A, (La Quinta Redevelopment Project Areas 1&2), 5.00%, 9/1/19
1,150,000

1,302,950

La Quinta Redevelopment Successor Agency Tax Allocation Rev., Series 2013 A, (La Quinta Redevelopment Project Areas 1&2), 5.00%, 9/1/20
1,045,000

1,209,514

La Quinta Redevelopment Successor Agency Tax Allocation Rev., Series 2014 A, (La Quinta Redevelopment Project Areas 1&2), 5.00%, 9/1/31
4,265,000

5,037,989

Long Beach Bond Finance Authority Natural Gas Purchase Rev., Series 2007 A, 5.00%, 11/15/35
1,215,000

1,427,078

Long Beach Harbor Rev., Series 2014 C, 5.00%, 11/15/18
22,000,000

24,603,920


15


 
Principal Amount
Value
Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/23
$
650,000

$
770,783

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/24
250,000

298,700

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/25
500,000

597,405

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/27
800,000

940,872

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/28
600,000

700,680

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/40
2,500,000

2,770,125

Los Alamitos Unified School District COP, Capital Appreciation, (Capital Projects), 0.00%, 8/1/42(4)
2,100,000

1,656,396

Los Altos Elementary School District GO, 5.00%, 8/1/16, Prerefunded at 100% of Par (Ambac)(2)
1,045,000

1,066,234

Los Altos Elementary School District GO, 5.00%, 8/1/19 (Ambac)
1,455,000

1,484,769

Los Angeles Community College District GO, Series 2007 A, (Election of 2001), 5.00%, 8/1/17, Prerefunded at 100% of Par (NATL-RE/FGIC)(2)
2,000,000

2,129,440

Los Angeles Community College District GO, Series 2015 C, 5.00%, 6/1/26
2,115,000

2,755,020

Los Angeles County COP, (Disney Concert Hall), 5.00%, 3/1/21
1,195,000

1,419,576

Los Angeles County COP, (Disney Concert Hall), 5.00%, 3/1/22
1,000,000

1,211,750

Los Angeles County COP, (Disney Concert Hall), 5.00%, 3/1/23
1,955,000

2,393,702

Los Angeles County Metropolitan Transportation Authority Sales Tax Rev., Series 2008 B, (Proposition A), 5.00%, 7/1/31
1,000,000

1,087,860

Los Angeles County Metropolitan Transportation Authority Sales Tax Rev., Series 2010 A, (General Union Station), 5.00%, 7/1/20
3,000,000

3,532,020

Los Angeles County Metropolitan Transportation Authority Sales Tax Rev., Series 2013 A, (Proposition A), 5.00%, 7/1/21
2,470,000

2,995,270

Los Angeles County Redevelopment Authority Tax Allocation Rev., Series 2013 D, (Redevelopment Project Areas), 5.00%, 9/1/16
2,000,000

2,046,580

Los Angeles County Redevelopment Authority Tax Allocation Rev., Capital Appreciation, Series 2013 E, (Covina Revitalization Redevelopment Project No. 1), 0.00%, 12/1/19 (AGM)(1)
1,500,000

1,419,975

Los Angeles County Regional Financing Authority Rev., Series 2014 B-1, (MonteCedro, Inc.), 3.00%, 11/15/21 (California Mortgage Insurance)
1,170,000

1,172,831

Los Angeles County Regional Financing Authority Rev., Series 2014 B-2, (MonteCedro, Inc.), 3.00%, 11/15/20 (California Mortgage Insurance)
950,000

952,290

Los Angeles County Regional Financing Authority Rev., Series 2014 B-3, (MonteCedro, Inc.), 2.50%, 11/15/20 (California Mortgage Insurance)
1,250,000

1,252,475

Los Angeles County Sanitation Districts Financing Authority Rev., Series 2015 A, (Capital Projects), 5.00%, 10/1/23
2,855,000

3,558,757

Los Angeles County Sanitation Districts Financing Authority Rev., Series 2015 A, (Capital Projects), 5.00%, 10/1/26
2,700,000

3,392,793

Los Angeles Department of Airports Rev., Series 2008 C, (Los Angeles International Airport), 5.00%, 5/15/18
750,000

822,945

Los Angeles Department of Airports Rev., Series 2010 A, (Los Angeles International Airport), 5.00%, 5/15/40
3,000,000

3,401,190

Los Angeles Department of Airports Rev., Series 2010 D, (Los Angeles International Airport), 5.00%, 5/15/24
3,040,000

3,561,482

Los Angeles Department of Airports Rev., Series 2015 C, (Los Angeles International Airport), 5.00%, 5/15/26
1,500,000

1,886,940


16


 
Principal Amount
Value
Los Angeles Department of Airports Rev., Series 2015 C, (Los Angeles International Airport), 5.00%, 5/15/27
$
1,280,000

$
1,589,568

Los Angeles Department of Water & Power System Rev., Series 2001 B-2, VRDN, 0.01%, 3/1/16 (SBBPA: Royal Bank of Canada)
3,500,000

3,500,000

Los Angeles Department of Water & Power System Rev., Series 2008 A-1, 5.25%, 7/1/38
5,000,000

5,479,600

Los Angeles Department of Water & Power System Rev., Series 2008 A-2, 5.25%, 7/1/32
3,535,000

3,892,247

Los Angeles Department of Water & Power System Rev., Series 2011 A, 4.00%, 7/1/16
1,000,000

1,013,110

Los Angeles Department of Water & Power System Rev., Series 2011 A, 5.00%, 7/1/18
780,000

860,738

Los Angeles Department of Water & Power System Rev., Series 2012 A, 5.00%, 7/1/26
1,000,000

1,218,650

Los Angeles Department of Water & Power System Rev., Series 2012 C, 5.00%, 7/1/24
1,500,000

1,845,375

Los Angeles Department of Water & Power System Rev., Series 2013 B, 5.00%, 7/1/27
6,470,000

7,949,754

Los Angeles Department of Water & Power System Rev., Series 2014 B, 5.00%, 7/1/26
1,300,000

1,602,328

Los Angeles Municipal Improvement Corp. Rev., Series 2012 C, 5.00%, 3/1/25
3,000,000

3,603,810

Los Angeles Unified School District COP, Series 2012 B, (Headquarters Building Project), 5.00%, 10/1/29
1,700,000

2,031,007

Los Angeles Unified School District GO, Series 2006 F, (Election of 2004), 5.00%, 7/1/16, Prerefunded at 100% of Par (FGIC)(2)
4,000,000

4,065,640

Los Angeles Unified School District GO, Series 2006 F, (Election of 2004), 5.00%, 7/1/16, Prerefunded at 100% of Par (FGIC)(2)
175,000

177,872

Los Angeles Unified School District GO, Series 2006 F, (Election of 2004), 5.00%, 7/1/18 (FGIC)
1,055,000

1,072,355

Los Angeles Unified School District GO, Series 2007 H, (Election of 2004), 5.00%, 7/1/32 (AGM)
2,000,000

2,107,080

Los Angeles Unified School District GO, Series 2009 I, (Election of 2004), 5.00%, 7/1/29
4,000,000

4,530,440

Los Angeles Unified School District GO, Series 2010 KRY, 5.25%, 7/1/26
3,000,000

3,523,980

Los Angeles Unified School District GO, Series 2011 A-1, 4.00%, 7/1/17
1,000,000

1,047,880

Los Angeles Unified School District GO, Series 2011 A-1, 5.00%, 7/1/18
2,565,000

2,829,246

Los Angeles Unified School District GO, Series 2011 A-1, 5.00%, 7/1/24
5,140,000

6,173,654

Los Angeles Unified School District GO, Series 2011 A-2, 5.00%, 7/1/21
3,000,000

3,629,250

Los Angeles Unified School District GO, Series 2014 B, 5.00%, 7/1/18
6,665,000

7,351,628

Los Angeles Unified School District GO, Series 2014 C, 5.00%, 7/1/24
5,000,000

6,362,400

Los Angeles Unified School District GO, Series 2014 C, 5.00%, 7/1/26
3,555,000

4,454,095

Los Angeles Unified School District GO, Series 2014 C, 5.00%, 7/1/27
1,050,000

1,300,824

Los Angeles Unified School District GO, Series 2014 C, 5.00%, 7/1/30
1,155,000

1,399,144

Los Angeles Wastewater System Rev., Series 2009 A, 5.75%, 6/1/34
1,325,000

1,522,187

M-S-R Energy Authority Rev., Series 2009 B, 7.00%, 11/1/34 (GA: Citigroup, Inc.)
5,000,000

7,296,300


17


 
Principal Amount
Value
M-S-R Energy Authority Rev., Series 2009 B, 6.50%, 11/1/39 (GA: Citigroup, Inc.)
$
1,000,000

$
1,399,410

Menlo Park Community Development Agency Successor Agency Tax Allocation Rev., (Las Pulgas Community Development Project), 3.00%, 10/1/17
650,000

674,999

Menlo Park Community Development Agency Successor Agency Tax Allocation Rev., (Las Pulgas Community Development Project), 4.00%, 10/1/18
885,000

958,128

Menlo Park Community Development Agency Successor Agency Tax Allocation Rev., (Las Pulgas Community Development Project), 5.00%, 10/1/19
420,000

480,115

Menlo Park Community Development Agency Successor Agency Tax Allocation Rev., (Las Pulgas Community Development Project), 5.00%, 10/1/20
325,000

381,963

Metropolitan Water District of Southern California Rev., Series 2011 A-2, VRDN, 0.39%, 3/3/16
10,000,000

9,975,400

Metropolitan Water District of Southern California Rev., Series 2011 A-4, VRDN, 0.39%, 3/3/16
5,000,000

4,987,700

Mount San Antonio Community College District GO, Capital Appreciation, Series 2005 A, (Election of 2001), 0.00%, 8/1/16 (NATL-RE)(1)(2)
5,000,000

4,992,950

Mount San Antonio Community College District GO, Series 2013 A, (Election of 2008), 5.00%, 8/1/34
2,000,000

2,387,560

Murrieta Public Financing Authority Special Tax Rev., 5.00%, 9/1/17
1,000,000

1,060,500

Murrieta Public Financing Authority Special Tax Rev., 5.00%, 9/1/21
1,200,000

1,411,632

Natomas Unified School District GO, 5.00%, 9/1/26 (BAM)
1,785,000

2,164,330

Newark Unified School District GO, Series 2014 B, 5.00%, 8/1/44
6,030,000

6,907,063

Newport Beach Rev., Series 2011 A, (Hoag Memorial Hospital Presbyterian), 6.00%, 12/1/21, Prerefunded at 100% of Par(2)
1,000,000

1,274,560

North Lake Tahoe Public Financing Authority Rev., 4.00%, 12/1/19
1,000,000

1,115,320

Northern California Power Agency Rev., Series 2010 A, 5.00%, 7/1/16
1,000,000

1,016,460

Northern California Power Agency Rev., Series 2010 A, 5.00%, 8/1/19
2,000,000

2,259,920

Northern California Power Agency Rev., Series 2010 A, 5.00%, 8/1/20
1,515,000

1,731,251

Northern California Power Agency Rev., Series 2010 A, 5.00%, 8/1/21
2,050,000

2,324,495

Northern California Power Agency Rev., Series 2010 A, 5.25%, 8/1/22
4,250,000

4,868,672

Northern California Power Agency Rev., Series 2012 A, 5.00%, 7/1/26
1,750,000

2,112,582

Northern California Power Agency Rev., Series 2012 A, 5.00%, 7/1/27
2,000,000

2,407,680

Northern California Transmission Agency Rev., Series 2016 A, (California-Oregon Project), 5.00%, 5/1/21(5)
800,000

962,448

Northern California Transmission Agency Rev., Series 2016 A, (California-Oregon Project), 5.00%, 5/1/28(5)
1,000,000

1,250,230

Northern California Transmission Agency Rev., Series 2016 A, (California-Oregon Project), 5.00%, 5/1/29(5)
1,000,000

1,239,630

Northern California Transmission Agency Rev., Series 2016 A, (California-Oregon Project), 5.00%, 5/1/30(5)
1,855,000

2,286,306

Oakland Sewer Rev., Series 2014 A, 5.00%, 6/15/26
1,200,000

1,480,992

Oakland State Building Authority Lease Rev., Series 2015 A, (Elihu M. Harris State Office), 5.00%, 12/1/19
2,445,000

2,813,168

Oakland Unified School District Alameda County GO, Series 2012 A, (Election of 2006), 5.00%, 8/1/22
750,000

880,028


18


 
Principal Amount
Value
Oakland Unified School District Alameda County GO, Series 2012 A, (Election of 2006), 5.50%, 8/1/32
$
2,150,000

$
2,508,233

Oakland Unified School District Alameda County GO, Series 2013, (Election of 2012), 6.625%, 8/1/38
1,410,000

1,730,676

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/20
1,670,000

1,914,404

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/21
610,000

712,340

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/22
500,000

592,240

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/23
1,400,000

1,677,494

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/25
650,000

791,239

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/40
950,000

1,066,755

Oakland-Alameda County Coliseum Authority Lease Rev., Series 2012 A, 5.00%, 2/1/18
3,345,000

3,617,651

Oakland-Alameda County Coliseum Authority Lease Rev., Series 2012 A, 5.00%, 2/1/25
4,065,000

4,740,928

Ontario Public Financing Authority Rev., 5.00%, 7/1/43
2,000,000

2,288,560

Orange County Community Facilities District Special Tax Rev., Series 2014 A, (Ladera Ranch), 5.00%, 8/15/28
1,960,000

2,254,470

Orange County Improvement Bond Act of 1915 Special Assessment Rev., (Newport Coast Phase IV Assessment District No. 01-1), 4.55%, 9/2/16
210,000

214,181

Orange County Sanitation District COP, Series 2007 B, 5.00%, 2/1/17, Prerefunded at 100% of Par (AGM)(2)
2,750,000

2,867,535

Orange County Sanitation District Rev., Series 2014 B, 4.00%, 11/15/16
6,500,000

6,666,205

Orange County Transportation Authority Rev., (Senior Lien 91 Express Lanes), 5.00%, 8/15/24
1,000,000

1,230,440

Orange County Water District Rev., Series 2013 A, 5.00%, 8/15/33
4,000,000

4,806,360

Oxnard Financing Authority Rev., 5.00%, 6/1/25 (AGM)
2,000,000

2,417,680

Oxnard Financing Authority Rev., 5.00%, 6/1/26 (AGM)
3,690,000

4,417,004

Oxnard Financing Authority Rev., 5.00%, 6/1/28 (AGM)
1,515,000

1,789,594

Oxnard Financing Authority Rev., 5.00%, 6/1/32 (AGM)
1,000,000

1,148,400

Oxnard School District GO, Series 2015 D, (Election of 2012), 3.00%, 8/1/20 (AGM)(4)
2,800,000

2,954,672

Palm Springs Financing Authority Lease Rev., Series 2012 B, (Downtown Revitalization Project), 4.00%, 6/1/16
1,335,000

1,347,362

Palm Springs Financing Authority Lease Rev., Series 2012 B, (Downtown Revitalization Project), 5.00%, 6/1/23
1,230,000

1,482,248

Palomar Pomerado Health Care District COP, 5.25%, 11/1/21
880,000

954,492

Palomar Pomerado Health Care District COP, 6.00%, 11/1/41
1,120,000

1,195,835

Palomar Pomerado Health GO, Capital Appreciation, 0.00%, 8/1/18 (NATL-RE)(1)
3,615,000

3,519,058

Palomar Pomerado Health GO, Capital Appreciation, Series 2009 A, (Election of 2004), 0.00%, 8/1/19 (AGC)(4)
1,660,000

1,888,067

Peralta Community College District GO, 5.00%, 8/1/17
2,085,000

2,220,191

Peralta Community College District GO, 5.00%, 8/1/22
2,145,000

2,643,498

Pittsburg Successor Agency Redevelopment Agency Tax Allocation Rev., Series 2016 A, 5.00%, 9/1/29 (AGM)
3,000,000

3,616,290

Port of Oakland Rev., Series 2007 C, (Intermediate Lien), 5.00%, 11/1/17 (NATL-RE)
2,375,000

2,553,671


19


 
Principal Amount
Value
Port of Oakland Rev., Series 2007 C, (Intermediate Lien), 5.00%, 11/1/16 (NATL-RE)
$
1,270,000

$
1,310,869

Porterville Public Financing Authority Sewer Rev., 5.625%, 10/1/36
2,500,000

2,980,925

Poway Unified School District GO, Capital Appreciation, (School Facilities Improvement), 0.00%, 8/1/41(1)
2,780,000

1,043,695

Poway Unified School District Public Financing Authority Special Tax Rev., 5.00%, 9/15/19 (Ambac)
1,150,000

1,220,978

Poway Unified School District Public Financing Authority Special Tax Rev., 5.00%, 9/15/20 (Ambac)
1,205,000

1,279,373

Poway Unified School District Public Financing Authority Special Tax Rev., Series 2015 A, 2.00%, 9/1/16
1,285,000

1,294,483

Poway Unified School District Public Financing Authority Special Tax Rev., Series 2015 A, 3.00%, 9/1/17
670,000

689,758

Rancho Mirage Joint Powers Financing Authority Rev., Series 2007 A, (Eisenhower Medical Center), 5.00%, 7/1/21
1,000,000

1,045,590

Rancho Santa Fe Community Services District Special Tax Rev., Series 2011 A, (Superior Lien), 5.125%, 9/1/22
790,000

926,038

Rancho Santa Fe Community Services District Special Tax Rev., Series 2011 A, (Superior Lien), 5.25%, 9/1/23
1,300,000

1,519,466

Rancho Santa Fe Community Services District Special Tax Rev., Series 2011 A, (Superior Lien), 5.375%, 9/1/24
1,410,000

1,644,370

Regents of the University of California Rev., Series 2009 Q, 5.25%, 5/15/17, Prerefunded at 101% of Par(2)
1,910,000

2,040,453

Regents of the University of California Rev., Series 2009 Q, 5.25%, 5/15/23
90,000

96,242

Rio Elementary School District Community Facilities District No. 1 Special Tax Rev., 5.00%, 9/1/24
700,000

834,701

Riverside County Asset Leasing Corp. Rev., Series 2013 A, (Public Defender and Probation Building), 5.00%, 11/1/43
1,000,000

1,123,720

Riverside County Redevelopment Agency Tax Allocation Rev., Series 2010 E, (Interstate 215 Corridor), 6.50%, 10/1/40
935,000

1,098,045

Riverside County Transportation Commission Rev., Series 2013 A, (Limited Tax), 5.25%, 6/1/39
1,335,000

1,605,645

Sacramento City Financing Authority Lease Rev., Series 1993 A, 5.40%, 11/1/20 (Ambac)
2,145,000

2,363,104

Sacramento County Airport System Rev., Series 2009 B, 4.25%, 7/1/16
1,000,000

1,013,190

Sacramento County Airport System Rev., Series 2010, 5.00%, 7/1/20
1,000,000

1,156,500

Sacramento County Airport System Rev., Series 2010, 5.00%, 7/1/23
1,000,000

1,143,080

Sacramento County Airport System Rev., Series 2010, 5.00%, 7/1/24
1,000,000

1,156,510

Sacramento County Sanitation Districts Financing Authority Rev., Series 2007 A, 5.25%, 12/1/21 (NATL-RE/FGIC)
1,000,000

1,232,900

Sacramento County Sanitation Districts Financing Authority Rev., Series 2007 B, VRN, 0.81%, 3/1/16 (NATL-RE/FGIC)
2,500,000

2,316,875

Sacramento County Sanitation Districts Financing Authority Rev., Series 2015, (Cosumnes Project), 3.00%, 7/1/17
18,730,000

19,376,934

Sacramento County Sanitation Districts Financing Authority Rev., Series 2015, (Cosumnes Project), 4.00%, 7/1/18
6,000,000

6,478,920

Sacramento Municipal Utility District Electric Rev., Series 1997 K, 5.70%, 7/1/17 (Ambac)
3,105,000

3,324,058

Sacramento Municipal Utility District Electric Rev., Series 1997 K, 5.25%, 7/1/24 (Ambac)
3,000,000

3,729,390

Sacramento Municipal Utility District Electric Rev., Series 2012 Y, 5.00%, 8/15/24
1,500,000

1,850,370


20


 
Principal Amount
Value
Sacramento Municipal Utility District Electric Rev., Series 2012 Y, 5.00%, 8/15/25
$
5,000,000

$
6,152,600

Sacramento Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2015 A, 4.00%, 12/1/18
2,000,000

2,160,360

Sacramento Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2015 A, 5.00%, 12/1/34 (BAM)
970,000

1,117,033

Sacramento Regional Transit District Rev., (Farebox Revenue), 4.00%, 3/1/16
440,000

440,088

Sacramento Regional Transit District Rev., (Farebox Revenue), 4.00%, 3/1/17
1,000,000

1,031,780

Sacramento Regional Transit District Rev., (Farebox Revenue), 5.00%, 3/1/18
250,000

269,930

Salinas Union High School District GO, Capital Appreciation, 0.00%, 8/1/20(1)
5,000,000

4,624,350

San Bernardino Community College District GO, Series 2008 A, (Election of 2002), 5.25%, 8/1/18
350,000

388,910

San Bernardino Community College District GO, Series 2008 A, (Election of 2002), 5.50%, 8/1/18, Prerefunded at 100% of Par(2)
300,000

334,626

San Bernardino Community College District GO, Series 2008 A, (Election of 2002), 6.25%, 8/1/18, Prerefunded at 100% of Par(2)
8,000,000

9,067,200

San Bernardino Community College District GO, Capital Appreciation, Series 2009 B, (Election of 2008), 0.00%, 8/1/19(4)
9,840,000

10,444,274

San Buenaventura Rev., (Community Memorial Health System), 8.00%, 12/1/26
2,000,000

2,626,520

San Buenaventura Rev., (Community Memorial Health System), 7.50%, 12/1/41
1,200,000

1,470,960

San Diego Community College District GO, (Election of 2002), 5.00%, 8/1/30
3,000,000

3,647,880

San Diego Convention Center Expansion Financing Authority Rev., Series 2012 A, 4.00%, 4/15/17
1,250,000

1,298,763

San Diego Convention Center Expansion Financing Authority Rev., Series 2012 A, 4.00%, 4/15/18
1,160,000

1,236,908

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 4.00%, 11/1/17
300,000

316,227

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/18
300,000

332,271

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/19
300,000

341,853

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/22
1,525,000

1,851,838

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/30
450,000

535,248

San Diego County Regional Airport Authority Rev., Series 2010 A, 5.00%, 7/1/19
1,290,000

1,460,370

San Diego County Regional Airport Authority Rev., Series 2010 A, 5.00%, 7/1/21
2,000,000

2,347,680

San Diego County Regional Airport Authority Rev., Series 2010 A, 5.00%, 7/1/34
750,000

847,215

San Diego County Regional Airport Authority Rev., Series 2010 A, 5.00%, 7/1/40
740,000

835,919

San Diego County Regional Airport Authority Rev., Series 2013 A, 4.00%, 7/1/18
300,000

324,018

San Diego County Regional Airport Authority Rev., Series 2013 A, 4.00%, 7/1/19
400,000

442,224

San Diego County Regional Transportation Commission Rev., Series 2012 A, 5.00%, 4/1/21
5,940,000

7,171,778

San Diego County Water Authority Financing Corp. Rev., 5.00%, 5/1/25
5,250,000

6,724,200


21


 
Principal Amount
Value
San Diego County Water Authority Financing Corp. Rev., 5.00%, 5/1/26
$
2,390,000

$
3,027,054

San Diego County Water Authority Financing Corp. Rev., 5.00%, 5/1/27
3,485,000

4,364,858

San Diego County Water Authority Rev., Series 2011 S-1, (Subordinate Lien), 5.00%, 7/1/16
2,780,000

2,814,361

San Diego Public Facilities Financing Authority Lease Rev., Series 2015 A, (Capital Improvement Projects), 5.00%, 10/15/44
3,970,000

4,640,414

San Diego Public Facilities Financing Authority Sewer Rev., Series 2009 B, 5.00%, 5/15/19, Prerefunded at 100% of Par(2)
3,680,000

4,178,125

San Diego Public Facilities Financing Authority Sewer Rev., Series 2010 A, 5.25%, 5/15/20, Prerefunded at 100% of Par(2)
3,400,000

4,021,044

San Diego Public Facilities Financing Authority Tax Allocation Rev., Series 2007 B, (Southcrest and Central Imperial Redevelopment), 5.125%, 10/1/22 (AGC)
1,230,000

1,294,944

San Diego Public Facilities Financing Authority Water Rev., Series 2009 A, 5.00%, 8/1/21
1,000,000

1,107,190

San Diego Public Facilities Financing Authority Water Rev., Series 2012 A, 5.00%, 8/1/21
2,000,000

2,418,420

San Diego Public Facilities Financing Authority Water Rev., Series 2012 A, 5.00%, 8/1/24
2,000,000

2,458,900

San Diego Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2016 A, 5.00%, 9/1/22
1,000,000

1,228,920

San Diego Redevelopment Agency Successor Agency Tax Allocation Rev., Series 2016 A, 5.00%, 9/1/23
1,000,000

1,246,490

San Diego Unified Port District Rev., Series 2013 A, 5.00%, 9/1/23
250,000

305,535

San Diego Unified Port District Rev., Series 2013 A, 5.00%, 9/1/26
750,000

891,510

San Diego Unified School District GO, Capital Appreciation, Series 2010 C, (Election of 2008), 0.00%, 7/1/36(1)
7,895,000

3,704,650

San Diego Unified School District GO, Series 2015 R-4, 5.00%, 7/1/28
5,000,000

6,209,350

San Francisco Bay Area Rapid Transit District Rev., Series 2015 A, 5.00%, 7/1/28
1,500,000

1,887,390

San Francisco City and County Airports Commission Rev., Series 2008 34-D, (San Francisco International Airport), 5.00%, 5/1/17 (AGC)
3,375,000

3,558,566

San Francisco City and County Airports Commission Rev., Series 2008 34-D, (San Francisco International Airport), 5.00%, 5/1/18 (AGC)
2,000,000

2,192,680

San Francisco City and County Airports Commission Rev., Series 2009 D, (San Francisco International Airport), 4.00%, 5/1/24
1,625,000

1,872,000

San Francisco City and County Airports Commission Rev., Series 2009 E, (San Francisco International Airport), 5.25%, 5/1/23
3,500,000

3,985,310

San Francisco City and County Airports Commission Rev., Series 2010 C, (San Francisco International Airport), (Governmental Purpose), 5.00%, 5/1/19
1,500,000

1,702,500

San Francisco City and County Airports Commission Rev., Series 2011 D, (San Francisco International Airport), 5.00%, 5/1/24
4,025,000

4,831,570

San Francisco City and County Airports Commission Rev., Series 2011 D, (San Francisco International Airport), 5.00%, 5/1/29
6,270,000

7,441,800

San Francisco City and County Airports Commission Rev., Series 2012 B, (San Francisco International Airport), 5.00%, 5/1/26
1,250,000

1,512,738

San Francisco City and County COP, Series 2009 A, (Multiple Capital Improvement Projects), 5.00%, 4/1/17
2,440,000

2,561,414

San Francisco City and County COP, Series 2009 A, (Multiple Capital Improvement Projects), 5.00%, 4/1/29
1,170,000

1,313,711

San Francisco City and County COP, Series 2010 A, 5.00%, 10/1/19
2,930,000

3,362,790


22


 
Principal Amount
Value
San Francisco City and County GO, Series 2015 R-1, 5.00%, 6/15/25
$
1,880,000

$
2,334,076

San Francisco City and County Public Utilities Water Commission Rev., Series 2010 A, 5.00%, 10/1/21
5,000,000

6,084,400

San Francisco City and County Public Utilities Water Commission Rev., Series 2010 A, 5.00%, 11/1/28
2,780,000

3,232,445

San Francisco City and County Public Utilities Water Commission Rev., Series 2015 A, 5.00%, 11/1/28
1,055,000

1,305,858

San Francisco City and County Public Utilities Water Commission Rev., Series 2015 A, 5.00%, 11/1/35
1,415,000

1,695,609

San Francisco City and County Redevelopment Agency Tax Allocation Rev., Series 2014 C, 3.00%, 8/1/16
3,000,000

3,034,050

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 5.00%, 8/1/16
440,000

447,229

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 5.00%, 8/1/17
465,000

488,492

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 5.50%, 8/1/18
485,000

528,505

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 6.00%, 8/1/19
510,000

590,034

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 6.00%, 8/1/20
515,000

614,395

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/21
460,000

536,397

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/26
425,000

500,671

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/27
550,000

642,428

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/28
370,000

429,281

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/43
1,000,000

1,109,340

San Joaquin Hills Transportation Corridor Agency Rev., Capital Appreciation, (Senior Lien), 0.00%, 1/1/17(1)(2)
1,000,000

996,360

San Joaquin Hills Transportation Corridor Agency Rev., (Senior Lien), 5.00%, 1/15/34
9,000,000

10,057,860

San Jose Airport Rev., Series 2014 C, 5.00%, 3/1/27
1,295,000

1,570,252

San Jose Airport Rev., Series 2014 C, 5.00%, 3/1/28
1,500,000

1,818,825

San Jose Airport Rev., Series 2014 C, 5.00%, 3/1/30
1,750,000

2,095,100

San Jose Airport Rev., Series 2014 C, 5.00%, 3/1/31
1,000,000

1,195,580

San Jose Unified School District GO, Series 2015 C, 5.00%, 8/1/16
1,100,000

1,122,803

San Jose Unified School District GO, Series 2015 C, 5.00%, 8/1/17
900,000

959,562

San Jose Unified School District GO, Series 2015, 5.00%, 8/1/17
1,160,000

1,236,769

San Jose Unified School District GO, Series 2015, 5.00%, 8/1/18
2,100,000

2,328,291

San Jose Unified School District GO, Series 2015, 5.00%, 8/1/19
1,000,000

1,147,770

San Mateo County Transportation District Sales Tax Rev., Series 1993 A, 5.25%, 6/1/18 (NATL-RE)(2)
2,680,000

2,957,889


23


 
Principal Amount
Value
San Mateo Joint Powers Financing Authority Rev., (Maple Street Correctional Center), 5.00%, 6/15/17
$
860,000

$
910,929

San Mateo Joint Powers Financing Authority Rev., (Maple Street Correctional Center), 5.00%, 6/15/18
1,000,000

1,100,700

San Mateo Special Tax Rev., (Community Facilities District No. 2008-1-Bay Meadows), 5.875%, 9/1/32
690,000

805,044

San Ramon Valley Unified School District GO, (Election of 2002), 5.00%, 8/1/16, Prerefunded at 100% of Par (NATL-RE)(2)
1,000,000

1,020,320

Santa Clara County Financing Authority Lease Rev., Series 2012 A, (Capital Projects), 4.00%, 2/1/17
2,055,000

2,121,253

Santa Clara Electric Rev., Series 2011 A, 5.00%, 7/1/30
1,000,000

1,121,800

Santa Clara Valley Transportation Authority Sales Tax Rev., Series 2010 B, 5.00%, 4/1/20
4,000,000

4,686,800

Santa Fe Springs Community Development Commission Tax Allocation Rev., 5.375%, 9/1/16 (NATL-RE)
430,000

431,879

Santa Monica Redevelopment Agency Tax Allocation, (Earthquake Recovery Redevelopment), 5.00%, 7/1/42
600,000

687,102

Santa Monica Redevelopment Agency Tax Allocation, (Earthquake Recovery Redevelopment), 5.875%, 7/1/42
600,000

718,338

Santa Monica-Malibu Unified School District GO, Series 2015 B, (Election of 2012), 5.00%, 7/1/17
3,375,000

3,583,946

Santa Rosa Wastewater Rev., Capital Appreciation, Series 2002 B, 0.00%, 9/1/24 (Ambac)(1)
7,000,000

5,823,510

Silicon Valley Clean Water Rev., 5.00%, 8/1/40
2,340,000

2,767,963

Sonoma Community Development Agency Successor Agency Tax Allocation Rev., (Sonoma Redevelopment Project), 5.00%, 6/1/23 (NATL-RE)
1,000,000

1,224,800

Sonoma Community Development Agency Successor Agency Tax Allocation Rev., (Sonoma Redevelopment Project), 5.00%, 6/1/25 (NATL-RE)
1,390,000

1,731,982

Sonoma Community Development Agency Successor Agency Tax Allocation Rev., (Sonoma Redevelopment Project), 5.00%, 6/1/29 (NATL-RE)
1,100,000

1,338,865

South Orange County Public Financing Authority Rev., (Juvenile Justice Center), 4.25%, 6/1/17
2,000,000

2,090,680

South Orange County Public Financing Authority Rev., (Juvenile Justice Center), 4.50%, 6/1/18
2,700,000

2,923,371

South Placer Wastewater Authority Rev., VRN, 0.34%, 3/3/16
4,400,000

4,370,652

South San Francisco Unified School District GO, Capital Appreciation, Series 2012 C, 0.00%, 6/1/16(1)(2)
2,000,000

1,998,300

Southern California Public Power Authority Rev., Series 2008 A, (Southern Transmission), 5.00%, 7/1/22
2,875,000

3,177,191

Southern California Public Power Authority Rev., Series 2008 B, (Southern Transmission), 6.00%, 7/1/18, Prerefunded at 100% of Par(2)
2,000,000

2,249,200

Southern California Public Power Authority Rev., Series 2011 A, (Southern Transmission), 5.00%, 7/1/21
2,780,000

3,342,227

Southern California Public Power Authority Rev., Series 2012 A, (Southern Transmission), 4.00%, 7/1/16
2,055,000

2,081,797

Southern California Public Power Authority Rev., Series 2012 A, (Southern Transmission), 5.00%, 7/1/18
1,880,000

2,073,678

Southern California Public Power Authority Rev., Series 2013 A, (Southern Transmission), 5.00%, 7/1/18
2,000,000

2,206,040

Southern California Public Power Authority Rev., Series 2013 A, (Southern Transmission), 5.00%, 7/1/20
4,000,000

4,709,360

Southern California Water Replenishment District Authority Rev., 5.00%, 8/1/21
1,000,000

1,215,300


24


 
Principal Amount
Value
Stockton Public Financing Authority Rev., Series 2010 A, (Delta Water Supply Project), 6.25%, 10/1/38
$
1,500,000

$
1,867,230

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/22 (BAM)
1,410,000

1,708,934

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/23 (BAM)
1,435,000

1,755,651

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/24 (BAM)
1,090,000

1,346,172

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/25 (BAM)
2,255,000

2,754,731

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/26 (BAM)
1,495,000

1,802,222

Stockton Unified School District GO, 5.00%, 8/1/30
11,165,000

13,359,146

Stockton Unified School District GO, Series 2014 A, (Election of 2012), 5.00%, 8/1/27 (AGM)
530,000

638,131

Stockton Unified School District GO, Series 2014 A, (Election of 2012), 5.00%, 8/1/28 (AGM)
255,000

304,100

Stockton Unified School District GO, Series 2014 A, (Election of 2012), 5.00%, 8/1/42 (AGM)
865,000

981,870

Successor Agency to the Former Milpitas Redevelopment Agency Tax Allocation Rev., (Redevelopment Project Area No. 1), 5.00%, 9/1/25
2,325,000

2,924,524

Successor Agency to the Former Milpitas Redevelopment Agency Tax Allocation Rev., (Redevelopment Project Area No. 1), 5.00%, 9/1/26
6,285,000

7,825,642

Temecula Valley Unified School District Financing Authority Special Tax Rev., 4.00%, 9/1/17 (BAM)
415,000

435,663

Temecula Valley Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/18 (BAM)
325,000

358,365

Temecula Valley Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/19 (BAM)
265,000

301,554

Temecula Valley Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/20 (BAM)
400,000

466,976

Temecula Valley Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/21 (BAM)
515,000

616,414

Temecula Valley Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/22 (BAM)
275,000

332,987

Tobacco Securitization Authority of Southern California Settlement Rev., Series 2006 A-1, 5.00%, 6/1/37
1,750,000

1,664,110

Town of Hillsborough COP, Series 2006 A, (Water & Sewer System), VRDN, 0.01%, 3/3/16 (SBBPA: JPMorgan Chase Bank N.A.)
5,000,000

5,000,000

Tuolumne Wind Project Authority Rev., Series 2009 A, 5.625%, 1/1/29
1,000,000

1,130,020

Tustin Community Facilities District No. 06-1 Special Tax Rev., Series 2015 A, (Tustin Legacy / Columbus Villages), 5.00%, 9/1/22
480,000

569,251

Tustin Community Facilities District No. 06-1 Special Tax Rev., Series 2015 A, (Tustin Legacy / Columbus Villages), 5.00%, 9/1/23
725,000

867,506

Tustin Community Facilities District No. 06-1 Special Tax Rev., Series 2015 A, (Tustin Legacy / Columbus Villages), 5.00%, 9/1/28
1,000,000

1,182,170

Tustin Community Facilities District No. 06-1 Special Tax Rev., Series 2015 A, (Tustin Legacy / Columbus Villages), 5.00%, 9/1/30
1,000,000

1,168,550

Twin Rivers Unified School District COP, (School Facilities Bridge Funding Program), VRDN, 3.45%, 7/1/18 (AGM)
3,000,000

3,005,970

Twin Rivers Unified School District COP, (School Facilities Bridge Funding Program), VRDN, 3.20%, 6/1/20 (AGM)
3,750,000

3,756,487

Twin Rivers Unified School District COP, (School Facilities Bridge Funding Program), VRDN, 3.20%, 6/1/20 (AGM)
2,500,000

2,504,325


25


 
Principal Amount/Shares
Value
University of California Regents Medical Center Pooled Rev., Series 2008 D, 5.00%, 5/15/27
$
1,000,000

$
1,019,720

University of California Rev., Series 2009 O, 5.25%, 5/15/19, Prerefunded at 100% of Par(2)
1,255,000

1,433,524

University of California Rev., Series 2009 O, 5.25%, 5/15/39
6,495,000

7,324,087

University of California Rev., Series 2010 S, 5.00%, 5/15/20
1,405,000

1,556,782

University of California Rev., Series 2010 S, 5.00%, 5/15/40
1,250,000

1,369,450

University of California Rev., Series 2012 G, (Limited Project), 5.00%, 5/15/26
6,150,000

7,473,480

University of California Rev., Series 2012 G, (Limited Project), 5.00%, 5/15/42
1,640,000

1,900,908

University of California Rev., Series 2013 AF, 5.00%, 5/15/25
7,250,000

8,952,517

University of California Rev., Series 2013 AK, VRDN, 5.00%, 5/15/23
7,935,000

9,844,399

University of California Rev., Series 2015 I, 5.00%, 5/15/26
11,300,000

14,243,537

Upper Santa Clara Valley Joint Powers Authority Rev., Series 2015 A, 4.00%, 8/1/18
600,000

647,340

Upper Santa Clara Valley Joint Powers Authority Rev., Series 2015 A, 4.00%, 8/1/19
600,000

663,858

West Contra Costa Unified School District GO, Series 2014 A, 5.00%, 8/1/30
2,000,000

2,389,320

West Contra Costa Unified School District GO, Series 2014 A, 5.00%, 8/1/33
3,000,000

3,533,940

West Contra Costa Unified School District GO, Series 2014 A, 5.00%, 8/1/34
1,200,000

1,407,636

West Contra Costa Unified School District GO, Series 2014 A, 5.00%, 8/1/35
1,500,000

1,753,395

West Sacramento Financing Authority Special Tax Rev., Series 2006 A, 5.00%, 9/1/18 (XLCA)
1,500,000

1,645,080

West Sacramento Financing Authority Special Tax Rev., Series 2006 A, 5.00%, 9/1/19 (XLCA)
1,000,000

1,126,380

West Sacramento Financing Authority Special Tax Rev., Series 2006 A, 5.00%, 9/1/20 (XLCA)
1,200,000

1,384,368

Yosemite Community College District GO, Capital Appreciation, Series 2010 D, (Election of 2004), 0.00%, 8/1/38(1)
6,000,000

2,504,280

 
 
1,515,562,563

Guam — 0.1%
 
 
Guam Government GO, Series 2009 A, 6.00%, 11/15/19
825,000

914,942

Guam Power Authority Rev., Series 2012 A, 5.00%, 10/1/19 (AGM)
1,000,000

1,139,320

 
 
2,054,262

TOTAL MUNICIPAL SECURITIES
(Cost $1,419,268,611)
 
1,517,616,825

TEMPORARY CASH INVESTMENTS — 1.8%
 
 
Federated California Municipal Cash Trust, Wealth Shares
(Cost $28,321,808)
28,321,808

28,321,808

TOTAL INVESTMENT SECURITIES — 99.5%
(Cost $1,447,590,419)
 
1,545,938,633

OTHER ASSETS AND LIABILITIES — 0.5%
 
7,459,380

TOTAL NET ASSETS — 100.0%
 
$
1,553,398,013



26


NOTES TO SCHEDULE OF INVESTMENTS
AGC
-
Assured Guaranty Corporation
AGM
-
Assured Guaranty Municipal Corporation
BAM
-
Build America Mutual Assurance Company
COP
-
Certificates of Participation
FGIC
-
Financial Guaranty Insurance Company
GA
-
Guaranty Agreement
GO
-
General Obligation
LOC
-
Letter of Credit
NATL-RE
-
National Public Finance Guarantee Corporation - Reinsured
SBBPA
-
Standby Bond Purchase Agreement
VRDN
-
Variable Rate Demand Note. Interest reset date is indicated. Rate shown is effective at the period end.
VRN
-
Variable Rate Note. Interest reset date is indicated. Rate shown is effective at the period end.
XLCA
-
XL Capital Ltd.
(1)
Security is a zero-coupon bond. Zero-coupon securities are issued at a substantial discount from their value at maturity.
(2)
Escrowed to maturity in U.S. government securities or state and local government securities.
(3)
Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration, normally to qualified institutional investors. The aggregate value of these securities at the period end was $6,126,790, which represented 0.4% of total net assets.
(4)
Coupon rate adjusts periodically based upon a predetermined schedule. Interest reset date is indicated. Rate shown is effective at the period end.
(5)
When-issued security. The issue price and yield are fixed on the date of the commitment, but payment and delivery are scheduled for a future date.

See Notes to Financial Statements.

27


Statement of Assets and Liabilities
FEBRUARY 29, 2016 (UNAUDITED)
Assets
Investment securities, at value (cost of $1,447,590,419)
$
1,545,938,633

Cash
15,027

Receivable for investments sold
1,768,077

Receivable for capital shares sold
1,587,526

Interest receivable
16,260,740

 
1,565,570,003

 
 
Liabilities
 
Payable for investments purchased
9,395,361

Payable for capital shares redeemed
1,577,579

Accrued management fees
536,156

Distribution and service fees payable
21,521

Dividends payable
641,373

 
12,171,990

 
 
Net Assets
$
1,553,398,013

 
 
Net Assets Consist of:
 
Capital paid in
$
1,459,762,321

Undistributed net investment income
18,902

Accumulated net realized loss
(4,731,424
)
Net unrealized appreciation
98,348,214

 
$
1,553,398,013

 
 
Net Assets
Shares Outstanding
Net Asset Value Per Share
Investor Class

$1,251,383,127

103,626,612

$12.08
Institutional Class

$245,476,328

20,325,280

$12.08
A Class

$38,369,871

3,177,005

$12.08*
C Class

$18,168,687

1,503,583

$12.08
*Maximum offering price $12.65 (net asset value divided by 0.955).
 

See Notes to Financial Statements.

28


Statement of Operations
 
FOR THE SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED)
Investment Income (Loss)
Income:
 
Interest
$
21,769,513

 
 
Expenses:
 
Management fees
3,311,103

Distribution and service fees:
 
A Class
47,016

C Class
85,137

Trustees' fees and expenses
45,550

 
3,488,806

 
 
Net investment income (loss)
18,280,707

 
 
Realized and Unrealized Gain (Loss)
 
Net realized gain (loss) on investment transactions
6,388,647

Change in net unrealized appreciation (depreciation) on investments
22,233,662

 
 
Net realized and unrealized gain (loss)
28,622,309

 
 
Net Increase (Decrease) in Net Assets Resulting from Operations
$
46,903,016


 
See Notes to Financial Statements.

29


Statement of Changes in Net Assets
 
SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED) AND YEAR ENDED AUGUST 31, 2015
Increase (Decrease) in Net Assets
February 29, 2016
August 31, 2015
Operations
Net investment income (loss)
$
18,280,707

$
34,665,041

Net realized gain (loss)
6,388,647

(4,011,300
)
Change in net unrealized appreciation (depreciation)
22,233,662

(6,569,308
)
Net increase (decrease) in net assets resulting from operations
46,903,016

24,084,433

 
 
 
Distributions to Shareholders
 
 
From net investment income:
 
 
Investor Class
(14,685,076
)
(27,681,317
)
Institutional Class
(3,056,449
)
(5,936,358
)
A Class
(400,851
)
(805,038
)
C Class
(117,511
)
(242,328
)
Decrease in net assets from distributions
(18,259,887
)
(34,665,041
)
 
 
 
Capital Share Transactions
 
 
Net increase (decrease) in net assets from capital share transactions (Note 5)
19,081,562

193,414,589

 
 
 
Net increase (decrease) in net assets
47,724,691

182,833,981

 
 
 
Net Assets
 
 
Beginning of period
1,505,673,322

1,322,839,341

End of period
$
1,553,398,013

$
1,505,673,322

 
 
 
Undistributed (distributions in excess of) net investment income
$
18,902

$
(1,918
)


See Notes to Financial Statements.

30


Notes to Financial Statements
 
FEBRUARY 29, 2016 (UNAUDITED)

1. Organization

American Century California Tax-Free and Municipal Funds (the trust) is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company and is organized as a Massachusetts business trust. California Intermediate-Term Tax-Free Bond Fund (the fund) is one fund in a series issued by the trust. The fund’s investment objective is to seek safety of principal and high current income that is exempt from federal and California income taxes.

The fund offers the Investor Class, the Institutional Class, the A Class and the C Class. The A Class may incur an initial sales charge. The A Class and C Class may be subject to a contingent deferred sales charge. The share classes differ principally in their respective sales charges and distribution and shareholder servicing expenses and arrangements. The Institutional Class is made available to institutional shareholders or through financial intermediaries whose clients do not require the same level of shareholder and administrative services as shareholders of other classes. As a result, the Institutional Class is charged a lower unified management fee.

2. Significant Accounting Policies

The following is a summary of significant accounting policies consistently followed by the fund in preparation of its financial statements. The fund is an investment company and follows accounting and reporting guidance in accordance with accounting principles generally accepted in the United States of America. This may require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from these estimates. Management evaluated the impact of events or transactions occurring through the date the financial statements were issued that would merit recognition or disclosure.

Investment Valuations — The fund determines the fair value of its investments and computes its net asset value per share at the close of regular trading (usually 4 p.m. Eastern time) on the New York Stock Exchange (NYSE) on each day the NYSE is open. The Board of Trustees has adopted valuation policies and procedures to guide the investment advisor in the fund’s investment valuation process and to provide methodologies for the oversight of the fund’s pricing function.

Fixed income securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Municipal securities are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information.
 
Open-end management investment companies are valued at the reported net asset value per share.

If the fund determines that the market price for an investment is not readily available or the valuation methods mentioned above do not reflect an investment’s fair value, such investment is valued as determined in good faith by the Board of Trustees or its delegate, in accordance with policies and procedures adopted by the Board of Trustees. In its determination of fair value, the fund may review several factors including, but not limited to, market information regarding the specific investment or comparable investments and correlation with other investment types, futures indices or general market indicators. Circumstances that may cause the fund to use these procedures to value an investment include, but are not limited to: an investment has been declared in default or is distressed; trading in a security has been suspended during the trading day or a security is not actively trading on its principal exchange; prices received from a regular pricing source are deemed unreliable; or there is a foreign market holiday and no trading occurred.

The fund monitors for significant events occurring after the close of an investment’s primary exchange but before the fund’s net asset value per share is determined. Significant events may include, but are not limited to: corporate announcements and transactions; governmental action and political unrest that could impact a specific investment or an investment sector; or armed conflicts, natural disasters and similar events that could affect investments in a specific country or region.
 
Security Transactions — Security transactions are accounted for as of the trade date. Net realized gains and losses are determined on the identified cost basis, which is also used for federal income tax purposes.

31


 
Investment Income — Interest income is recorded on the accrual basis and includes accretion of discounts and amortization of premiums.

Segregated Assets — In accordance with the 1940 Act, the fund segregates assets on its books and records to cover certain types of investments, including, but not limited to, futures contracts and when-issued securities. American Century Investment Management, Inc. (ACIM) (the investment advisor) monitors, on a daily basis, the securities segregated to ensure the fund designates a sufficient amount of liquid assets, marked-to-market daily. The fund may also receive assets or be required to pledge assets at the custodian bank or with a broker for margin requirements on futures contracts.

Income Tax Status — It is the fund’s policy to distribute substantially all net investment income and net realized gains to shareholders and to otherwise qualify as a regulated investment company under provisions of the Internal Revenue Code. Accordingly, no provision has been made for income taxes. The fund files U.S. federal, state, local and non-U.S. tax returns as applicable. The fund's tax returns are subject to examination by the relevant taxing authority until expiration of the applicable statute of limitations, which is generally three years from the date of filing but can be longer in certain jurisdictions. At this time, management believes there are no uncertain tax positions which, based on their technical merit, would not be sustained upon examination and for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Multiple Class — All shares of the fund represent an equal pro rata interest in the net assets of the class to which such shares belong, and have identical voting, dividend, liquidation and other rights and the same terms and conditions, except for class specific expenses and exclusive rights to vote on matters affecting only individual classes. Income, non-class specific expenses, and realized and unrealized capital gains and losses of the fund are allocated to each class of shares based on their relative net assets.

Distributions to Shareholders — Distributions from net investment income, if any, are declared daily and paid monthly. Distributions from net realized gains, if any, are generally declared and paid annually.
 
Indemnifications — Under the trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the fund. In addition, in the normal course of business, the fund enters into contracts that provide general indemnifications. The maximum exposure under these arrangements is unknown as this would involve future claims that may be made against a fund. The risk of material loss from such claims is considered by management to be remote.

3. Fees and Transactions with Related Parties

Certain officers and trustees of the trust are also officers and/or directors of American Century Companies, Inc. (ACC). The trust's investment advisor, American Century Investment Management, Inc. (ACIM), the trust's distributor, American Century Investment Services, Inc. (ACIS), and the trust's transfer agent, American Century Services, LLC, are wholly owned, directly or indirectly, by ACC.
 
Management Fees — The trust has entered into a management agreement with ACIM, under which ACIM provides the fund with investment advisory and management services in exchange for a single, unified management fee (the fee) per class. The agreement provides that all expenses of managing and operating the fund, except distribution and service fees, brokerage expenses, taxes, interest, fees and expenses of the independent trustees (including legal counsel fees), and extraordinary expenses, will be paid by ACIM. The fee is computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fee consists of (1) an Investment Category Fee based on the daily net assets of the fund and certain other accounts managed by the investment advisor that are in the same broad investment category as the fund and (2) a Complex Fee based on the assets of all the funds in the American Century Investments family of funds. The rates for the Investment Category Fee range from 0.1625% to 0.2800%. The rates for the Complex Fee range from 0.2500% to 0.3100% for the Investor Class, A Class and C Class. The rates for the Complex Fee range from 0.0500% to 0.1100% for the Institutional Class. The effective annual management fee for each class for the six months ended February 29, 2016 was 0.47% for the Investor Class, A Class and C Class and 0.27% for the Institutional Class.

Distribution and Service Fees — The Board of Trustees has adopted a separate Master Distribution and Individual Shareholder Services Plan for each of the A Class and C Class (collectively the plans), pursuant to Rule 12b-1 of the 1940 Act. The plans provide that the A Class will pay ACIS an annual distribution and service fee of 0.25%. The plans provide that the C Class will pay ACIS an annual distribution and service fee of 1.00%, of which 0.25% is paid for individual shareholder services and 0.75% is paid for distribution

32


services. The fees are computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fees are used to pay financial intermediaries for distribution and individual shareholder services. Fees incurred under the plans during the six months ended February 29, 2016 are detailed in the Statement of Operations.

Trustees’ Fees and Expenses — The Board of Trustees is responsible for overseeing the investment advisor’s management and operations of the fund. The trustees receive detailed information about the fund and its investment advisor regularly throughout the year, and meet at least quarterly with management of the investment advisor to review reports about fund operations. The fund’s officers do not receive compensation from the fund.

4. Investment Transactions

Purchases and sales of investment securities, excluding short-term investments, for the six months ended February 29, 2016 were $146,397,860 and $136,752,636, respectively.

5. Capital Share Transactions

Transactions in shares of the fund were as follows (unlimited number of shares authorized):
 
Six months ended
February 29, 2016
Year ended
August 31, 2015
 
Shares
Amount
Shares
Amount
Investor Class
 
 
 
 
Sold
9,739,253

$
116,460,375

26,776,444

$
319,070,899

Issued in reinvestment of distributions
922,340

11,049,664

1,802,765

21,478,133

Redeemed
(9,701,477
)
(116,234,750
)
(15,057,358
)
(179,336,810
)
 
960,116

11,275,289

13,521,851

161,212,222

Institutional Class
 
 
 
 
Sold
2,702,347

32,297,122

5,629,481

67,112,507

Issued in reinvestment of distributions
249,741

2,992,172

488,458

5,819,299

Redeemed
(2,272,145
)
(27,173,676
)
(3,891,831
)
(46,318,259
)
 
679,943

8,115,618

2,226,108

26,613,547

A Class
 
 
 
 
Sold
400,853

4,819,166

1,248,227

14,886,390

Issued in reinvestment of distributions
29,687

355,606

60,961

726,450

Redeemed
(569,322
)
(6,803,643
)
(748,912
)
(8,926,577
)
 
(138,782
)
(1,628,871
)
560,276

6,686,263

C Class
 
 
 
 
Sold
230,480

2,762,341

312,075

3,713,825

Issued in reinvestment of distributions
7,869

94,302

16,567

197,590

Redeemed
(128,502
)
(1,537,117
)
(419,832
)
(5,008,858
)
 
109,847

1,319,526

(91,190
)
(1,097,443
)
Net increase (decrease)
1,611,124

$
19,081,562

16,217,045

$
193,414,589


6. Fair Value Measurements

The fund’s investments valuation process is based on several considerations and may use multiple inputs to determine the fair value of the investments held by the fund. In conformity with accounting principles generally accepted in the United States of America, the inputs used to determine a valuation are classified into three broad levels.

•
Level 1 valuation inputs consist of unadjusted quoted prices in an active market for identical investments.

•
Level 2 valuation inputs consist of direct or indirect observable market data (including quoted prices for comparable investments, evaluations of subsequent market events, interest rates, prepayment speeds, credit risk, etc.). These inputs also consist of quoted prices for identical investments initially expressed in local currencies that are adjusted through translation into U.S. dollars.


33


•
Level 3 valuation inputs consist of unobservable data (including a fund’s own assumptions).

The level classification is based on the lowest level input that is significant to the fair valuation measurement. The valuation inputs are not necessarily an indication of the risks associated with investing in these securities or other financial instruments. There were no significant transfers between levels during the period.

The following is a summary of the level classifications as of period end. The Schedule of Investments provides additional information on the fund’s portfolio holdings.
 
Level 1
Level 2
Level 3
Assets
Investment Securities
Municipal Securities
—

$
1,517,616,825

—

Temporary Cash Investments
$
28,321,808

—

—

 
$
28,321,808

$
1,517,616,825

—


7. Risk Factors

The fund concentrates its investments in a single state and therefore may have more exposure to credit risk related to the state of California than a fund with a broader geographical diversification.

8. Federal Tax Information

The book-basis character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. These differences reflect the differing character of certain income items and net realized gains and losses for financial statement and tax purposes, and may result in reclassification among certain capital accounts on the financial statements.
 
As of February 29, 2016, the components of investments for federal income tax purposes were as follows:
Federal tax cost of investments
$
1,447,590,419

Gross tax appreciation of investments
$
98,662,521

Gross tax depreciation of investments
(314,307
)
Net tax appreciation (depreciation) of investments
$
98,348,214


The cost of investments for federal income tax purposes was the same as the cost for financial reporting purposes.
 
As of August 31, 2015, the fund had accumulated short-term capital losses of $(4,461,809) and accumulated long-term capital losses of $(6,622,789), which represent net capital loss carryovers that may be used to offset future realized capital gains for federal income tax purposes. The capital loss carryovers may be carried forward for an unlimited period. Future capital loss carryover utilization in any given year may be subject to Internal Revenue Code limitations.

34


Financial Highlights
For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
Income From Investment Operations:
Distributions From:
 
 
Ratio to Average Net Assets of:
 
 
 
Net Asset
Value,
Beginning
of Period
Net
Investment Income
(Loss)(1)
Net
Realized and Unrealized
Gain (Loss)
Total From Investment Operations
Net
Investment Income
Net
Realized Gains
Total Distributions
Net Asset
Value,
End of Period
Total
Return(2)
Operating Expenses
Net
Investment Income
(Loss)
Portfolio Turnover
Rate
Net Assets,
End of Period (in thousands)
Investor Class
2016(3)
$11.85
0.14
0.23
0.37
(0.14)
—
(0.14)
$12.08
3.15%
0.47%(4)
2.39%(4)
9%

$1,251,383

2015
$11.94
0.29
(0.09)
0.20
(0.29)
—
(0.29)
$11.85
1.68%
0.47%
2.42%
30%

$1,216,943

2014
$11.36
0.29
0.58
0.87
(0.29)
—
(0.29)
$11.94
7.68%
0.47%
2.52%
52%

$1,064,224

2013
$11.96
0.30
(0.60)
(0.30)
(0.30)
—(5)
(0.30)
$11.36
(2.51)%
0.47%
2.48%
46%

$1,000,450

2012
$11.41
0.36
0.55
0.91
(0.36)
—
(0.36)
$11.96
8.06%
0.47%
3.04%
55%

$1,026,796

2011
$11.56
0.40
(0.15)
0.25
(0.40)
—
(0.40)
$11.41
2.27%
0.48%
3.57%
49%

$814,078

Institutional Class
2016(3)
$11.85
0.15
0.23
0.38
(0.15)
—
(0.15)
$12.08
3.26%
0.27%(4)
2.59%(4)
9%

$245,476

2015
$11.94
0.31
(0.09)
0.22
(0.31)
—
(0.31)
$11.85
1.88%
0.27%
2.62%
30%

$232,892

2014
$11.37
0.32
0.57
0.89
(0.32)
—
(0.32)
$11.94
7.90%
0.27%
2.72%
52%

$207,978

2013
$11.96
0.32
(0.59)
(0.27)
(0.32)
—(5)
(0.32)
$11.37
(2.32)%
0.27%
2.68%
46%

$160,329

2012
$11.41
0.38
0.55
0.93
(0.38)
—
(0.38)
$11.96
8.28%
0.27%
3.24%
55%

$87,170

2011
$11.57
0.42
(0.16)
0.26
(0.42)
—
(0.42)
$11.41
2.39%
0.28%
3.77%
49%

$37,381


35


For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
Income From Investment Operations:
Distributions From:
 
 
Ratio to Average Net Assets of:
 
 
 
Net Asset
Value,
Beginning
of Period
Net
Investment Income
(Loss)(1)
Net
Realized and Unrealized
Gain (Loss)
Total From Investment Operations
Net
Investment Income
Net
Realized Gains
Total Distributions
Net Asset
Value,
End of Period
Total
Return(2)
Operating Expenses
Net
Investment Income
(Loss)
Portfolio Turnover
Rate
Net Assets,
End of Period (in thousands)
A Class
2016(3)
$11.85
0.13
0.23
0.36
(0.13)
—
(0.13)
$12.08
3.03%
0.72%(4)
2.14%(4)
9%

$38,370

2015
$11.94
0.26
(0.09)
0.17
(0.26)
—
(0.26)
$11.85
1.42%
0.72%
2.17%
30%

$39,308

2014
$11.37
0.27
0.57
0.84
(0.27)
—
(0.27)
$11.94
7.41%
0.72%
2.27%
52%

$32,899

2013
$11.96
0.27
(0.59)
(0.32)
(0.27)
—(5)
(0.27)
$11.37
(2.76)%
0.72%
2.23%
46%

$36,644

2012
$11.41
0.32
0.56
0.88
(0.33)
—
(0.33)
$11.96
7.79%
0.72%
2.79%
55%

$36,341

2011
$11.57
0.37
(0.16)
0.21
(0.37)
—
(0.37)
$11.41
1.93%
0.73%
3.32%
49%

$15,077

C Class
2016(3)
$11.86
0.08
0.22
0.30
(0.08)
—
(0.08)
$12.08
2.56%
1.47%(4)
1.39%(4)
9%

$18,169

2015
$11.95
0.17
(0.09)
0.08
(0.17)
—
(0.17)
$11.86
0.67%
1.47%
1.42%
30%

$16,531

2014
$11.37
0.18
0.58
0.76
(0.18)
—
(0.18)
$11.95
6.71%
1.47%
1.52%
52%

$17,738

2013
$11.97
0.18
(0.60)
(0.42)
(0.18)
—(5)
(0.18)
$11.37
(3.56)%
1.47%
1.48%
46%

$19,555

2012
$11.42
0.23
0.56
0.79
(0.24)
—
(0.24)
$11.97
6.99%
1.47%
2.04%
55%

$14,361

2011
$11.57
0.29
(0.15)
0.14
(0.29)
—
(0.29)
$11.42
1.27%
1.48%
2.57%
49%

$4,157

 

36


Notes to Financial Highlights
(1)
Computed using average shares outstanding throughout the period.
(2)
Total returns are calculated based on the net asset value of the last business day and do not reflect applicable sales charges, if any. Total returns for periods less than one year are not annualized.
(3)
Six months ended February 29, 2016 (unaudited).
(4)
Annualized.
(5)
Per-share amount was less than $0.005.

See Notes to Financial Statements.

37


Additional Information
 
Proxy Voting Policies
 
Descriptions of the principles and policies that the fund's investment advisor uses in exercising the voting rights associated with the securities purchased and/or held by the fund are available without charge, upon request, by calling 1-800-345-2021 or visiting the "About Us" page of American Century Investments’ website at americancentury.com. A description of the policies is also available on the Securities and Exchange Commission’s website at sec.gov. Information regarding how the investment advisor voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available on the "About Us" page at americancentury.com. It is also available at sec.gov.
 

Quarterly Portfolio Disclosure

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-Q. The fund’s Forms N-Q are available on the SEC’s website at sec.gov, and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The fund also makes its complete schedule of portfolio holdings for the most recent quarter of its fiscal year available on its website at americancentury.com and, upon request, by calling 1-800-345-2021.




38


Notes

39


Notes


40







 
 
 
 
Contact Us
americancentury.com
 
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1-800-345-8765
 
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1-800-345-2021
or 816-531-5575
 
Investors Using Advisors
1-800-378-9878
 
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1-800-345-3533
 
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1-800-345-6488
 
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711
 
 
 
 
American Century California Tax-Free and Municipal Funds
 
 
 
 
Investment Advisor:
American Century Investment Management, Inc.
Kansas City, Missouri
 
 
 
 
This report and the statements it contains are submitted for the general information of our shareholders. The report is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus.
 
 
 
 
©2016 American Century Proprietary Holdings, Inc. All rights reserved.
CL-SAN-88536   1604
 



SEMIANNUAL REPORT
FEBRUARY 29, 2016
 
  



California High-Yield Municipal Fund







Table of Contents
President’s Letter
2

Fund Characteristics

Shareholder Fee Example

Schedule of Investments

Statement of Assets and Liabilities

Statement of Operations

Statement of Changes in Net Assets

Notes to Financial Statements

Financial Highlights

Additional Information

 



























Any opinions expressed in this report reflect those of the author as of the date of the report, and do not necessarily represent the opinions of American Century Investments® or any other person in the American Century Investments organization. Any such opinions are subject to change at any time based upon market or other conditions and American Century Investments disclaims any responsibility to update such opinions. These opinions may not be relied upon as investment advice and, because investment decisions made by American Century Investments funds are based on numerous factors, may not be relied upon as an indication of trading intent on behalf of any American Century Investments fund. Security examples are used for representational purposes only and are not intended as recommendations to purchase or sell securities. Performance information for comparative indices and securities is provided to American Century Investments by third party vendors. To the best of American Century Investments’ knowledge, such information is accurate at the time of printing.



President’s Letter

Dear Investor:

Thank you for reviewing this semiannual report for the six months ended February 29, 2016. It provides a macroeconomic and financial market overview (below), followed by a schedule of fund investments and other financial information.

For additional commentary and information on fund performance, key factors that affected asset returns, and other insights regarding the investment markets, we encourage you to visit our website, americancentury.com.
Jonathan Thomas

Municipal Bonds (Munis) Outperformed During a Volatile Period

Widespread concerns about global economic growth sparked sharp financial market volatility during the reporting period. China was the primary catalyst, where market-moving events included slowing economic growth, currency devaluations, and massive monetary policy easing. These events sent shock waves through the global markets last summer and re-emerged in January and early February, triggering sell-offs in riskier assets such as stocks and high-yield bonds, and a plunge in commodity prices, most notably oil. The U.S. dollar advanced against other major currencies for the six-month period as U.S. investment instruments generally outperformed their non-U.S. counterparts. In the U.S. stock market, relatively defensive sectors such as utilities, real estate investment trusts (REITs), and large-cap growth stocks performed best. In the U.S. bond market, high-quality sectors including munis and Treasuries were market leaders.

Despite default threats in Puerto Rico and financial concerns facing the city of Chicago and the states of Illinois and New Jersey, the broader muni market was viewed as a relative bastion of stability because of its comparatively high overall credit quality. Investors also focused on munis because this sector has historically performed relatively well in periods of rising interest rates, particularly if the rate increases reflect stronger economic conditions. The Barclays Municipal Bond Index advanced 3.62% for the six months.

Speaking of rising interest rates, the U.S. Federal Reserve (the Fed) finally began the process of gradually increasing its overnight interest rate target. But we don’t expect a big increase in intermediate- to longer-maturity bond yields in the near term because of deflationary threats and other headwinds still facing the global economy. We believe the Fed’s moves (and conjecture about these moves) will be accompanied by further market volatility. This could present both challenges and opportunities for active investment managers. In this environment, we continue to believe in a disciplined, diversified, risk-aware investment approach, using professionally managed portfolios to meet financial goals. We appreciate your trust in us.

Sincerely,
Jonathan Thomas
President and Chief Executive Officer
American Century Investments


2


Fund Characteristics
FEBRUARY 29, 2016
Portfolio at a Glance
Weighted Average Maturity
19.3 years
Average Duration (Modified)
6.0 years
 
 
Top Five Sectors
% of fund investments
Special Tax
23%
Hospital
10%
General Obligation (GO) - Local
9%
Tollroads
9%
Lease Revenue
7%
 
 
Types of Investments in Portfolio
% of net assets
Municipal Securities
95.8%
Temporary Cash Investments
3.1%
Other Assets and Liabilities
1.1%

3


Shareholder Fee Example

Fund shareholders may incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption/exchange fees; and (2) ongoing costs, including management fees; distribution and service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in your fund and to compare these costs with the ongoing cost of investing in other mutual funds.

The example is based on an investment of $1,000 made at the beginning of the period and held for the entire period from September 1, 2015 to February 29, 2016.

Actual Expenses

The table provides information about actual account values and actual expenses for each class. You may use the information, together with the amount you invested, to estimate the expenses that you paid over the period. First, identify the share class you own. Then simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

If you hold Investor Class shares of any American Century Investments fund, or Institutional Class shares of the American Century Diversified Bond Fund, in an American Century Investments account (i.e., not a financial intermediary or retirement plan account), American Century Investments may charge you a $12.50 semiannual account maintenance fee if the value of those shares is less than $10,000. We will redeem shares automatically in one of your accounts to pay the $12.50 fee. In determining your total eligible investment amount, we will include your investments in all personal accounts (including American Century Investments Brokerage accounts) registered under your Social Security number. Personal accounts include individual accounts, joint accounts, UGMA/UTMA accounts, personal trusts, Coverdell Education Savings Accounts and IRAs (including traditional, Roth, Rollover, SEP-, SARSEP- and SIMPLE-IRAs), and certain other retirement accounts. If you have only business, business retirement, employer-sponsored or American Century Investments Brokerage accounts, you are currently not subject to this fee. If you are subject to the Account Maintenance Fee, your account value could be reduced by the fee amount.

Hypothetical Example for Comparison Purposes

The table also provides information about hypothetical account values and hypothetical expenses based on the actual expense ratio of each class of your fund and an assumed rate of return of 5% per year before expenses, which is not the actual return of a fund’s share class. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in your fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) or redemption/exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

4


 
Beginning
Account Value
9/1/15
Ending
Account Value
2/29/16
Expenses Paid
During Period(1)9/1/15 - 2/29/16
Annualized
Expense Ratio(1)
Actual
Investor Class
$1,000
$1,048.80
$2.55
0.50%
Institutional Class
$1,000
$1,049.90
$1.53
0.30%
A Class
$1,000
$1,047.50
$3.82
0.75%
C Class
$1,000
$1,043.60
$7.62
1.50%
Hypothetical
Investor Class
$1,000
$1,022.38
$2.51
0.50%
Institutional Class
$1,000
$1,023.37
$1.51
0.30%
A Class
$1,000
$1,021.13
$3.77
0.75%
C Class
$1,000
$1,017.40
$7.52
1.50%
(1)
Expenses are equal to the class's annualized expense ratio listed in the table above, multiplied by the average account value over the period, multiplied by 182, the number of days in the most recent fiscal half-year, divided by 366, to reflect the one-half year period.

5


Schedule of Investments
 
FEBRUARY 29, 2016 (UNAUDITED)
 
Principal Amount
Value
MUNICIPAL SECURITIES — 95.8%
 
 
California — 93.8%
 
 
ABAG Finance Authority for Nonprofit Corps. Rev., (Jackson Laboratory), 5.00%, 7/1/37
$
2,000,000

$
2,245,220

ABAG Finance Authority for Nonprofit Corps. Rev., Series 2014 A, (Sharp HealthCare), 5.00%, 8/1/43
3,500,000

3,990,070

ABC Unified School District GO, Capital Appreciation, Series 2000 B, 0.00%, 8/1/21 (NATL-RE)(1)
1,000,000

921,780

Alameda Corridor Transportation Authority Rev., Series 2013 A, 5.00%, 10/1/26
2,000,000

2,414,220

Alameda Corridor Transportation Authority Rev., Series 2013 A, 5.00%, 10/1/27 (AGM)
2,000,000

2,415,000

Alhambra Rev., Series 2010 A, (Atherton Baptist Homes), 7.50%, 1/1/30
1,480,000

1,622,243

Anaheim Public Financing Authority Rev., Series 2014 A, (Anaheim Convention Center Expansion Project), 5.00%, 5/1/46
4,400,000

5,012,876

Arcadia Unified School District GO, Series 2014 B, 5.00%, 6/1/44
5,000,000

5,750,100

Bay Area Toll Authority Toll Bridge Rev., Series 2001 A, (San Francisco Bay Area), VRDN, 1.26%, 3/3/16
1,000,000

987,310

Bay Area Toll Authority Toll Bridge Rev., Series 2007 A-1, (San Francisco Bay Area), VRDN, 0.71%, 3/3/16
1,450,000

1,448,246

Bay Area Toll Authority Toll Bridge Rev., Series 2008 G-1, (San Francisco Bay Area), VRDN, 1.11%, 3/3/16
2,500,000

2,480,525

Bay Area Toll Authority Toll Bridge Rev., Series 2013 S-4, (San Francisco Bay Area), 5.00%, 4/1/43
1,000,000

1,155,140

Bay Area Toll Authority Toll Bridge Rev., Series 2014 S-6, (San Francisco Bay Area), 5.00%, 10/1/54
5,000,000

5,755,500

Beaumont Financing Authority Local Agency Special Tax Rev., Series 2008 A, (Improvement Area No. 19C), 6.875%, 9/1/36
1,050,000

1,070,895

Beaumont Unified School District GO, Capital Appreciation, Series 2011 C, (Election of 2008), 0.00%, 8/1/40 (AGM)(1)
2,000,000

742,440

Berryessa Union School District GO, Capital Appreciation, Series 2000 A, 0.00%, 8/1/21 (AGM)(1)
1,190,000

1,087,862

Berryessa Union School District GO, Capital Appreciation, Series 2000 A, 0.00%, 8/1/22 (AGM)(1)
1,220,000

1,071,367

Berryessa Union School District GO, Capital Appreciation, Series 2000 A, 0.00%, 8/1/23 (AGM)(1)
1,000,000

839,620

California County Tobacco Securitization Agency Rev., 5.65%, 6/1/41
1,500,000

1,501,740

California County Tobacco Securitization Agency Rev., Series 2006 A, 0.00%, 6/1/50(1)
20,000,000

1,440,000

California Educational Facilities Authority Rev., (Chapman University), 5.00%, 4/1/25
715,000

884,255

California Educational Facilities Authority Rev., (Chapman University), 5.00%, 4/1/31
1,820,000

2,046,299

California Educational Facilities Authority Rev., (Pepperdine University), 5.00%, 9/1/33
2,000,000

2,358,960

California GO, 5.00%, 11/1/19
5,000,000

5,768,850

California GO, 5.25%, 2/1/30
5,000,000

5,952,450

California GO, 6.00%, 4/1/38
5,000,000

5,745,300

California GO, 5.00%, 2/1/43
5,650,000

6,499,986


6


 
Principal Amount
Value
California GO, Series 2004 A-1, (Kindergarten), VRDN, 0.01%, 3/1/16 (LOC: Citibank N.A.)
$
4,400,000

$
4,400,000

California GO, Series 2012 B, VRN, 0.91%, 3/3/16
2,000,000

2,014,220

California GO, Series 2012 B, VRN, 1.01%, 3/3/16
800,000

807,376

California GO, Series 2012 B, VRN, 1.16%, 3/3/16
960,000

975,744

California GO, Series 2013, 5.00%, 2/1/38
4,635,000

5,376,832

California GO, VRDN, 4.00%, 12/1/16
2,000,000

2,018,880

California Health Facilities Financing Authority Rev., (Cedars-Sinai Medical Center), 5.00%, 8/15/39
2,000,000

2,216,640

California Health Facilities Financing Authority Rev., Series 2008 A, (Lucile Salter Packard Children's Hospital), VRDN, 1.45%, 3/15/17
1,910,000

1,930,017

California Health Facilities Financing Authority Rev., Series 2008 A, (Scripps Health), 5.50%, 10/1/20
1,500,000

1,693,155

California Health Facilities Financing Authority Rev., Series 2008 C, (Providence Health & Services), 6.50%, 10/1/18, Prerefunded at 100% of Par(2)
1,000,000

1,149,370

California Health Facilities Financing Authority Rev., Series 2009 A, (Catholic Healthcare West), 6.00%, 7/1/39
4,300,000

4,923,242

California Health Facilities Financing Authority Rev., Series 2009 A, (Children's Hospital of Orange County), 6.50%, 11/1/38
3,000,000

3,540,390

California Health Facilities Financing Authority Rev., Series 2009 C, (St. Joseph Health System), VRDN, 5.00%, 10/18/22
2,200,000

2,693,108

California Health Facilities Financing Authority Rev., Series 2011 B, (St. Joseph Health System), VRDN, 0.01%, 3/1/16 (LOC: U.S. Bank N.A.)
8,800,000

8,800,000

California Health Facilities Financing Authority Rev., Series 2011 D, (Sutter Health), 5.25%, 8/15/31
2,030,000

2,418,319

California Health Facilities Financing Authority Rev., Series 2011 D, (Sutter Health), 5.00%, 8/15/35
2,000,000

2,323,540

California Health Facilities Financing Authority Rev., Series 2012 A, (City of Hope), 5.00%, 11/15/39
1,910,000

2,148,597

California Health Facilities Financing Authority Rev., Series 2012 A, (Stanford Hospital & Clinics), 5.00%, 8/15/51
2,500,000

2,766,400

California Health Facilities Financing Authority Rev., Series 2012 B, (Lucile Salter Packard Children's Hospital), 5.00%, 8/15/26
1,020,000

1,202,845

California Health Facilities Financing Authority Rev., Series 2013 A, (St. Joseph Health System), 5.00%, 7/1/37
445,000

515,279

California Health Facilities Financing Authority Rev., Series 2013 A, (Sutter Health), 5.00%, 8/15/52
5,000,000

5,604,200

California Health Facilities Financing Authority Rev., Series 2014 A, (Providence Health and Services), 5.00%, 10/1/38
2,000,000

2,322,200

California Health Facilities Financing Authority Rev., Series 2015 A, (Sutter Health), 5.00%, 8/15/43
2,880,000

3,335,933

California Infrastructure & Economic Development Bank Rev., Series 2013 A, (Los Angeles County Museum of Art Project), VRDN, 2.05%, 3/3/16
1,000,000

1,023,750

California Infrastructure & Economic Development Bank Rev., Series 2015 A, (The Colburn School), VRDN, 1.01%, 3/3/16
2,190,000

2,193,285

California Mobile Home Park Financing Authority Rev., Series 2006 B, (Union City Tropics), 5.50%, 12/15/41
2,000,000

2,021,920

California Municipal Finance Authority COP, Series 2009, (Community Hospitals of Central California Obligated Group), 5.50%, 2/1/39
1,450,000

1,607,281

California Municipal Finance Authority Rev., (Biola University), 5.875%, 10/1/34
1,000,000

1,079,680

California Municipal Finance Authority Rev., (Northbay Healthcare Group), Series 2015, 5.00%, 11/1/35
350,000

391,041


7


 
Principal Amount
Value
California Municipal Finance Authority Rev., (Northbay Healthcare Group), Series 2015, 5.00%, 11/1/40
$
500,000

$
553,490

California Municipal Finance Authority Rev., (Northbay Healthcare Group), Series 2015, 5.00%, 11/1/44
300,000

330,915

California Municipal Finance Authority Rev., (Santa Rosa Academy Project), 5.125%, 7/1/35(3)
905,000

947,336

California Municipal Finance Authority Rev., (Santa Rosa Academy Project), 5.375%, 7/1/45(3)
1,400,000

1,465,828

California Municipal Finance Authority Rev., Series 2011 B, (Azusa Pacific University), 8.00%, 4/1/21, Prerefunded at 100% of Par(2)
3,335,000

4,459,028

California Municipal Finance Authority Rev., Series 2014 A, (Caritas Affordable Housing, Inc. Project), 5.00%, 8/15/20
600,000

687,468

California Municipal Finance Authority Rev., Series 2014 A, (Caritas Affordable Housing, Inc. Project), 5.00%, 8/15/22
360,000

423,266

California Municipal Finance Authority Rev., Series 2014 A, (Touro College and University System), 5.25%, 1/1/34
950,000

1,045,827

California Municipal Finance Authority Rev., Series 2014 A, (Touro College and University System), 5.25%, 1/1/40
1,750,000

1,896,615

California Municipal Finance Authority Rev., Series 2015 A, (Bowles Hall Foundation), 5.00%, 6/1/50
1,750,000

1,919,960

California Municipal Finance Authority Rev., Series 2015 A, (Community Medical Centers), 5.00%, 2/1/46
3,615,000

4,028,845

California Municipal Finance Authority Rev., Series 2015 B, (Azusa Pacific University), 5.00%, 4/1/41
1,860,000

2,029,037

California Pollution Control Financing Authority Rev., 5.00%, 11/21/45(3)
3,165,000

3,239,821

California Pollution Control Financing Authority Rev., Series 1996 F, (Pacific Gas & Electric Co.), VRDN, 0.01%, 3/1/16 (LOC: TD Bank N.A.)
3,600,000

3,600,000

California Public Works Board Lease Rev., Series 2009 G-1, (Various Capital Projects), 5.75%, 10/1/30
2,000,000

2,335,400

California Public Works Board Lease Rev., Series 2010 A-1, (Various Capital Projects), 5.00%, 3/1/17
1,000,000

1,045,570

California Public Works Board Lease Rev., Series 2010 A-1, (Various Capital Projects), 6.00%, 3/1/35
1,250,000

1,477,263

California Public Works Board Lease Rev., Series 2011 C, (State Prisons), 5.75%, 10/1/31
1,000,000

1,230,630

California Public Works Board Lease Rev., Series 2011 D, (Judicial Council Projects), 5.00%, 12/1/31
975,000

1,157,150

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/25
1,500,000

1,808,295

California Public Works Board Lease Rev., Series 2012 A, (Various Capital Projects), 5.00%, 4/1/37
5,465,000

6,275,350

California Public Works Board Lease Rev., Series 2012 D, (California State University Projects), 5.00%, 9/1/36
500,000

580,480

California Public Works Board Lease Rev., Series 2012 G, (Various Capital Projects), 4.00%, 11/1/17
1,235,000

1,305,951

California Public Works Board Lease Rev., Series 2013 H, (California State University Projects), 5.00%, 9/1/38
1,500,000

1,717,620

California Public Works Board Lease Rev., Series 2013 I, (Various Capital Projects), 5.00%, 11/1/38
2,350,000

2,713,404

California Public Works Board Lease Rev., Series 2014 A, (Various Correctional Facilities), 5.00%, 9/1/39
7,000,000

8,169,910

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/27(3)
500,000

584,745

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/28(3)
685,000

794,984


8


 
Principal Amount
Value
California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/29(3)
$
795,000

$
918,408

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/30(3)
400,000

460,328

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/31(3)
500,000

571,900

California School Finance Authority Rev., (Aspire Public Schools Obligated Group), 5.00%, 8/1/46(3)
1,000,000

1,109,460

California School Finance Authority Rev., (KIPP LA Projects), 5.00%, 7/1/45(3)
1,650,000

1,788,418

California School Finance Authority Rev., Series 2014 A, (KIPP LA Projects), 4.125%, 7/1/24
475,000

512,150

California School Finance Authority Rev., Series 2014 A, (KIPP LA Projects), 5.125%, 7/1/44
700,000

760,249

California School Finance Authority Rev., Series 2014 A, (KIPP LA Projects), 5.00%, 7/1/34
500,000

549,450

California School Finance Authority Rev., Series 2014 A, (View Park Elementary and Middle Schools), 6.00%, 10/1/49
700,000

757,148

California School Finance Authority Rev., Series 2015 A, (Alliance College-Ready Public School Project), 5.00%, 7/1/45(3)
5,000,000

5,374,100

California School Finance Authority Rev., Series 2015 A, (Aspire Public Schools Obligated Group), 5.00%, 8/1/40(3)
1,000,000

1,116,910

California School Finance Authority Rev., Series 2015 A, (Green Dot Public School Project), 5.00%, 8/1/45(3)
3,500,000

3,753,015

California School Finance Authority Rev., Series 2016 A, (Launchpad Development Obligated Group), 5.00%, 6/1/21(3)
400,000

441,360

California School Finance Authority Rev., Series 2016 A, (Launchpad Development Obligated Group), 5.00%, 6/1/26(3)
500,000

553,095

California School Finance Authority Rev., Series 2016 A, (Launchpad Development Obligated Group), 5.00%, 6/1/31(3)
870,000

928,525

California School Finance Authority Rev., Series 2016 A, (Launchpad Development Obligated Group), 5.00%, 6/1/36(3)
1,000,000

1,046,100

California School Finance Authority Rev., Series 2016 A, (Launchpad Development Obligated Group), 5.00%, 6/1/46(3)
2,100,000

2,156,574

California Statewide Communities Development Authority Rev., (Cottage Health System Obligated Group), 5.25%, 11/1/30
1,250,000

1,430,313

California Statewide Communities Development Authority Rev., (Episcopal Communities and Services), 5.00%, 5/15/42
1,500,000

1,635,480

California Statewide Communities Development Authority Rev., (Lancer Educational Student Housing), 5.625%, 6/1/33
2,500,000

2,568,100

California Statewide Communities Development Authority Rev., (Orinda Wilder Project), 5.00%, 9/1/37
4,515,000

5,005,961

California Statewide Communities Development Authority Rev., (Southern California Edison Co.), VRDN, 1.375%, 4/2/18
4,350,000

4,384,539

California Statewide Communities Development Authority Rev., (Southern California Presbyterian Homes), 7.25%, 11/15/41(3)
2,500,000

2,906,175

California Statewide Communities Development Authority Rev., (Trinity Health Corp.), 5.00%, 12/1/41
1,100,000

1,231,494

California Statewide Communities Development Authority Rev., Series 2001 C, (Kaiser Permanente), 5.25%, 8/1/31
4,000,000

4,066,800

California Statewide Communities Development Authority Rev., Series 2004 D, (Sutter Health), 5.05%, 8/15/38 (AGM)
1,650,000

1,757,134

California Statewide Communities Development Authority Rev., Series 2007 A, (California Baptist University), 5.50%, 11/1/38
7,000,000

7,153,230

California Statewide Communities Development Authority Rev., Series 2012 A, (Kaiser Permanente), 5.00%, 4/1/42
6,000,000

6,829,500


9


 
Principal Amount
Value
California Statewide Communities Development Authority Rev., Series 2013 A, (American Baptist Homes of the West), 5.00%, 10/1/43
$
1,200,000

$
1,314,300

California Statewide Communities Development Authority Rev., Series 2014 A, (899 Charleston Project), 5.25%, 11/1/44
1,500,000

1,550,010

California Statewide Communities Development Authority Rev., Series 2014 A, (Henry Mayo Newhall Memorial Hospital), 5.25%, 10/1/43 (AGM)
1,000,000

1,154,080

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/34
1,500,000

1,719,225

California Statewide Communities Development Authority Rev., Series 2014 B, (Huntington Memorial Hospital), 5.00%, 7/1/44
2,760,000

3,126,362

California Statewide Communities Development Authority Rev., Series 2014 B, (Los Angeles Jewish Home), 3.00%, 8/1/21 (GA: Jewish Home Foundation/California Mortgage Insurance)
1,300,000

1,316,536

California Statewide Communities Development Authority Rev., Series 2015 A, (Adventist Health System/West), 5.00%, 3/1/35
1,785,000

2,104,283

California Statewide Communities Development Authority Rev., Series 2015, (American Baptist Homes of the West), 5.00%, 10/1/45
2,400,000

2,685,840

California Statewide Communities Development Authority Rev., Series 2015, (Independence Support LLC Project), 7.00%, 6/1/45
7,000,000

6,947,290

California Statewide Communities Development Authority Special Assessment Rev., (Emerson Ranch Project), 2.70%, 9/2/22
345,000

346,297

California Statewide Communities Development Authority Special Assessment Rev., (Emerson Ranch Project), 3.00%, 9/2/23
355,000

356,697

California Statewide Communities Development Authority Special Assessment Rev., (Emerson Ranch Project), 3.00%, 9/2/24
365,000

366,759

California Statewide Communities Development Authority Special Assessment Rev., (Emerson Ranch Project), 5.00%, 9/2/35
1,920,000

2,135,866

California Statewide Communities Development Authority Special Assessment Rev., (Emerson Ranch Project), 5.00%, 9/2/45
3,810,000

4,179,418

Carson Redevelopment Agency Tax Allocation Rev., Series 2009 A, (Project Area No. 1), 7.00%, 10/1/36
2,000,000

2,335,140

Chaffey Joint Union High School District GO, Series 2013 A, (Election of 2012), 5.00%, 8/1/32
2,000,000

2,404,280

Chula Vista Industrial Development Rev., Series 2004 D, (San Diego Gas), 5.875%, 1/1/34
1,000,000

1,154,200

City of Dixon Special Tax Rev., (Community Facilities District No. 2013-1), 5.00%, 9/1/45
4,780,000

5,156,186

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 5.00%, 9/2/24
700,000

827,379

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 12-1), 5.00%, 9/2/26
600,000

699,234

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 13-1), 5.00%, 9/2/29
700,000

809,088

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 13-1), 5.00%, 9/2/30
350,000

403,942

City of Irvine Improvement Bond Act of 1915 Special Assessment Rev., (Assessment District No. 15-2), 5.00%, 9/2/42
1,500,000

1,651,500

City of Riverside Rev., Series 2015 A, (Sewer), 5.00%, 8/1/40
2,000,000

2,309,420

City of Tulare Sewer Rev., 5.00%, 11/15/22 (AGM)
500,000

612,895

City of Tulare Sewer Rev., 5.00%, 11/15/24 (AGM)
500,000

625,485

City of Tulare Sewer Rev., 5.00%, 11/15/25 (AGM)
400,000

503,520

Clovis Unified School District GO, Series 2013 B, (Election of 2012), 5.00%, 8/1/38
3,000,000

3,534,060

Corcoran COP, 8.75%, 6/1/16 (Acquired 4/28/92, cost $110,000)(4)
110,000

111,177


10


 
Principal Amount
Value
Corona-Norca Unified School District Special Tax Rev., (Community Facilities District No. 05-1), 4.00%, 9/1/45
$
2,000,000

$
2,047,160

Del Mar Race Track Authority Rev., 5.00%, 10/1/29(3)
1,010,000

1,114,222

Del Mar Race Track Authority Rev., 5.00%, 10/1/35(3)
2,000,000

2,185,340

Duarte Unified School District GO, Capital Appreciation, Series 1999 B, 0.00%, 11/1/23 (AGM)(1)
1,150,000

952,085

Eastern Municipal Water District Community Facilities District No. 2000-01 Special Tax Rev., (French Valley), 5.00%, 9/1/36
3,575,000

3,909,370

Eastern Municipal Water District Water and Sewer COP, Series 2008 H, 5.00%, 7/1/33
4,000,000

4,363,600

Emeryville Redevelopment Agency Tax Allocation Rev., Series 2014 A, 5.00%, 9/1/31 (AGM)
590,000

696,442

Emeryville Redevelopment Agency Tax Allocation Rev., Series 2014 A, 5.00%, 9/1/34 (AGM)
1,000,000

1,163,840

Escondido Joint Powers Financing Authority Rev., (Water Systems Financing), 5.00%, 9/1/31
1,355,000

1,596,732

Fairfield Redevelopment Agency Tax Allocation Rev., 4.00%, 8/1/16
1,000,000

1,015,390

Foothill-De Anza Community College District GO, Capital Appreciation, 0.00%, 8/1/21 (NATL-RE)(1)
3,000,000

2,773,650

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2013 A, 0.00%, 1/15/24(5)
2,200,000

1,762,244

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Capital Appreciation, Series 2013 A, 0.00%, 1/15/42(1)
6,000,000

1,871,160

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 A, 6.00%, 1/15/49
27,500,000

32,570,725

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 B-3, VRDN, 5.50%, 1/15/23
3,750,000

4,478,850

Foothill / Eastern Transportation Corridor Agency Toll Road Rev., Series 2013 C, 6.50%, 1/15/43
4,000,000

4,772,680

Fremont Community Facilities District No. 1 Special Tax Rev., (Pacific Commons), 5.00%, 9/1/40
3,000,000

3,356,910

Fremont Community Facilities District No. 1 Special Tax Rev., (Pacific Commons), 5.00%, 9/1/45
2,000,000

2,227,680

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 4.50%, 6/1/27
4,650,000

4,667,205

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 5.00%, 6/1/33
3,000,000

2,847,420

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 5.125%, 6/1/47
15,400,000

13,825,042

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-1, 5.75%, 6/1/47
18,805,000

18,181,614

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2007 A-2, 5.30%, 6/1/37
3,000,000

2,831,790

Golden State Tobacco Securitization Corp. Settlement Rev., Series 2013 A, 5.00%, 6/1/29
1,500,000

1,770,750

Grossmont Union High School District GO, Series 2013 E, (Election of 2008), 5.00%, 8/1/43
1,225,000

1,431,266

Hayward Area Recreation and Park District COP, 5.125%, 1/1/39
1,500,000

1,692,075

Hayward Unified School District GO, 4.00%, 8/1/17 (AGM)
1,650,000

1,732,087

Hemet Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/34
350,000

397,586

Hemet Unified School District Financing Authority Special Tax Rev., 5.00%, 9/1/39
2,100,000

2,357,607

Hesperia Community Facilities District No. 2005-1 Special Tax Rev., (Belgate Development Restructuring), 5.00%, 9/1/29
1,060,000

1,179,112

Hesperia Community Facilities District No. 2005-1 Special Tax Rev., (Belgate Development Restructuring), 5.00%, 9/1/35
2,690,000

2,920,022


11


 
Principal Amount
Value
Hesperia Public Financing Authority Tax Allocation Rev., Series 2007 A, (Redevelopment and Housing), 5.50%, 9/1/32 (XLCA)
$
3,000,000

$
3,086,490

Hesperia Public Financing Authority Tax Allocation Rev., Series 2007 A, (Redevelopment and Housing), 5.50%, 9/1/37 (XLCA)
2,025,000

2,076,496

Huntington Beach Community Facilities District Special Tax Rev., (Huntington Center), 5.375%, 9/1/33
1,700,000

1,957,210

Independent Cities Finance Authority Mobile Home Park Rev., (Palomar Estates East), Series 2015, 5.00%, 9/15/36
1,000,000

1,047,130

Independent Cities Finance Authority Mobile Home Park Rev., (Palomar Estates East), Series 2015, 5.00%, 9/15/36
1,500,000

1,606,935

Independent Cities Finance Authority Mobile Home Park Rev., (Rancho Feliz and Las Casitas de Sonoma), 5.00%, 10/15/47
5,000,000

5,309,300

Independent Cities Finance Authority Mobile Home Park Rev., Series 2011 A, (Castle Mobile Estates), 6.75%, 8/15/46
2,500,000

2,914,175

Independent Cities Finance Authority Mobile Home Park Rev., Series 2012 A, (Augusta Communities), 5.00%, 5/15/39
2,500,000

2,698,900

Independent Cities Lease Finance Authority Rev., Series 2006 B, (San Juan Mobile Estates), 5.55%, 5/15/16, Prerefunded at 100% of Par(2)
500,000

505,690

Independent Cities Lease Finance Authority Rev., Series 2006 B, (San Juan Mobile Estates), 5.85%, 5/15/16, Prerefunded at 100% of Par(2)
1,150,000

1,163,823

Independent Cities Lease Finance Authority Rev., Series 2007 A, (Santa Rosa Leisure Mobile Home Park), 5.70%, 11/15/47
3,430,000

3,531,905

Inland Valley Development Agency Tax Allocation Rev., Series 2014 A, 5.25%, 9/1/37
1,110,000

1,285,713

Inland Valley Development Agency Tax Allocation Rev., Series 2014 A, 5.00%, 9/1/44
2,680,000

2,992,247

Irvine Community Facilities District No. 2013-3 Special Tax Rev., (Great Park Improvement Area No. 1), 5.00%, 9/1/49
4,500,000

5,035,005

Irvine Unified School District Special Tax Rev., (Community Facilities District No. 06-1), 6.70%, 9/1/35
515,000

598,435

Jurupa Community Services District Special Tax Rev., Series 2008 A, (Community Facilities District No. 25), 8.875%, 9/1/18, Prerefunded at 100% of Par(2)
2,000,000

2,407,120

Jurupa Community Services District Special Tax Rev., Series 2013 A, (Community Facilities District No. 31), 5.00%, 9/1/37
250,000

276,445

Jurupa Community Services District Special Tax Rev., Series 2013 A, (Community Facilities District No. 31), 5.00%, 9/1/42
1,000,000

1,102,690

Jurupa Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/1/31
1,100,000

1,292,951

Jurupa Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/1/42
1,000,000

1,117,320

Kaweah Delta Health Care District Rev., Series 2015 B, 4.00%, 6/1/45
4,250,000

4,307,332

La Verne COP, (Brethren Hillcrest Homes), 5.00%, 5/15/36
1,100,000

1,189,628

Lake Elsinore Public Financing Authority Rev., 5.00%, 9/1/40
2,380,000

2,632,756

Lammersville Joint Unified School District Special Tax Rev., (Mountain House), 6.00%, 9/1/43
1,250,000

1,478,912

Long Beach Bond Finance Authority Natural Gas Purchase Rev., Series 2007 A, 5.50%, 11/15/37
1,150,000

1,447,045

Long Beach Marina Rev., Series 2015, (Alamitos Bay Marina Project), 5.00%, 5/15/45
5,245,000

5,777,158

Los Alamitos Unified School District COP, Capital Appreciation, (Capital Projects), 0.00%, 8/1/42(5)
1,300,000

1,025,388

Los Angeles Community College District GO, Series 2008 F-1, (Election of 2003), 5.00%, 8/1/18, Prerefunded at 100% of Par(2)
2,000,000

2,209,400


12


 
Principal Amount
Value
Los Angeles Community Facilities District No. 3 Special Tax Rev., (Cascades Business Park & Golf Course), 6.40%, 9/1/22
$
995,000

$
1,015,786

Los Angeles County COP, (Disney Concert Hall), 5.00%, 3/1/23
1,000,000

1,224,400

Los Angeles County Regional Financing Authority Rev., Series 2014 B-1, (MonteCedro, Inc.), 3.00%, 11/15/21 (California Mortgage Insurance)
475,000

476,150

Los Angeles County Regional Financing Authority Rev., Series 2014 B-2, (MonteCedro, Inc.), 3.00%, 11/15/20 (California Mortgage Insurance)
400,000

400,964

Los Angeles County Regional Financing Authority Rev., Series 2014 B-3, (MonteCedro, Inc.), 2.50%, 11/15/20 (California Mortgage Insurance)
550,000

551,089

Los Angeles County Schools COP, Series 2015 A, (Compton Unified School District), 5.00%, 6/1/20 (AGM)
1,305,000

1,513,539

Los Angeles County Schools COP, Series 2015 A, (Compton Unified School District), 5.00%, 6/1/21 (AGM)
1,895,000

2,247,906

Los Angeles County Schools COP, Series 2015 A, (Compton Unified School District), 4.00%, 6/1/18 (AGM)
1,650,000

1,760,038

Los Angeles County Schools COP, Series 2015 A, (Compton Unified School District), 5.00%, 6/1/19 (AGM)
1,200,000

1,354,728

Los Angeles Department of Airports Rev., Series 2010 A, (Los Angeles International Airport), 5.00%, 5/15/40
2,000,000

2,267,460

Los Angeles Department of Water & Power System Rev., Series 2013 B, 5.00%, 7/1/30
3,500,000

4,229,225

Los Angeles Unified School District COP, Series 2012 B, (Headquarters Building Project), 5.00%, 10/1/29
350,000

418,149

Los Angeles Unified School District GO, Series 2011 A-1, 5.00%, 7/1/24
3,430,000

4,119,773

Los Angeles Unified School District GO, Series 2014 B, 5.00%, 7/1/18
3,335,000

3,678,572

Los Angeles Unified School District GO, Series 2014 C, 5.00%, 7/1/30
1,155,000

1,399,144

Los Angeles Wastewater System Rev., Series 2012 B, 5.00%, 6/1/32
3,000,000

3,550,740

M-S-R Energy Authority Rev., Series 2009 A, 7.00%, 11/1/34 (GA: Citigroup, Inc.)
1,700,000

2,480,742

M-S-R Energy Authority Rev., Series 2009 B, 6.50%, 11/1/39 (GA: Citigroup, Inc.)
4,000,000

5,597,640

Menifee Union School District Public Financing Authority Special Tax Rev., Series 2016 A, 5.00%, 9/1/26
755,000

904,852

Menifee Union School District Public Financing Authority Special Tax Rev., Series 2016 A, 4.00%, 9/1/27
420,000

455,595

Menifee Union School District Public Financing Authority Special Tax Rev., Series 2016 A, 5.00%, 9/1/28
325,000

377,728

Modesto Irrigation District COP, Series 2009 A, (Capital Improvements), 6.00%, 10/1/39
3,000,000

3,422,130

Montebello Community Redevelopment Agency Tax Allocation Rev., Series 2009 A, (Montebello Hills Redevelopment), 8.10%, 3/1/18, Prerefunded at 100% of Par(2)
2,000,000

2,296,940

Moorpark Mobile Home Park Rev., Series 2011 A, (Villa Delaware Arroyo), 6.50%, 5/15/41
4,000,000

4,581,200

Murrieta Community Facilities District No. 2002-2 Special Tax Rev., Series 2004 A, (The Oaks Improvement Area), 6.00%, 9/1/34
1,880,000

1,880,602

Murrieta Public Financing Authority Special Tax Rev., 5.00%, 9/1/31
1,735,000

1,951,788

Northern California Power Agency Rev., Series 2012 A, (Hydroelectric Project No. 1), 5.00%, 7/1/31
1,090,000

1,283,410

Norwalk-La Mirada Unified School District GO, Capital Appreciation, Series 2009 E, (Election of 2002), 0.00%, 8/1/38 (AGC)(1)
10,000,000

4,074,100


13


 
Principal Amount
Value
Oakland Redevelopment Agency Rev., 5.00%, 9/1/16, Prerefunded at 100% of Par (Ambac)(2)
$
5,000,000

$
5,120,950

Oakland Unified School District Alameda County GO, Series 2009 A, (Election of 2006), 6.125%, 8/1/29
2,500,000

2,844,100

Oakland Unified School District Alameda County GO, Series 2012 A, (Election of 2006), 5.50%, 8/1/32
2,150,000

2,508,233

Oakland Unified School District Alameda County GO, Series 2013, (Election of 2012), 6.625%, 8/1/38
770,000

945,121

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/35
1,200,000

1,371,336

Oakland Unified School District Alameda County GO, Series 2015 A, 5.00%, 8/1/40
1,850,000

2,077,365

Ohlone Community College District GO, Series 2011 A, (Election of 2010), 5.00%, 8/1/31
3,000,000

3,492,510

Orange County Community Facilities District No. 06-1 Special Tax Rev., (Del Rio Public Improvements), 5.00%, 10/1/40 (AGM)
2,000,000

2,272,200

Orange County Community Facilities District No. 15-1 Special Tax Rev., Series 2015 A, (Village of Esencia), 5.25%, 8/15/45
4,000,000

4,602,640

Orange County Transportation Authority Rev., (Senior Lien), 5.00%, 8/15/30
2,400,000

2,860,752

Orange County Water District Rev., Series 2013 A, 5.00%, 8/15/33
1,900,000

2,283,021

Oxnard Financing Authority Wastewater Rev., 5.00%, 6/1/33 (AGM)
2,095,000

2,384,508

Oxnard Financing Authority Wastewater Rev., 5.00%, 6/1/34 (AGM)
2,750,000

3,104,365

Palm Springs Financing Authority Lease Rev., Series 2012 B, (Downtown Revitalization Project), 5.00%, 6/1/35
4,000,000

4,565,680

Palomar Pomerado Health Care District COP, 6.75%, 11/1/39
2,750,000

3,083,025

Paramount Unified School District GO, Capital Appreciation, (Election of 2006), 0.00%, 8/1/51 (BAM)(1)
12,500,000

1,367,625

Patterson Joint Unified School District GO, Capital Appreciation, Series 2009 B, (Election of 2008), 0.00%, 3/1/49 (AGM)(1)
8,160,000

2,135,390

Perris Union High School District Financing Authority Special Tax Rev., 5.00%, 9/1/41
2,000,000

2,225,660

Pleasant Valley School District/Ventura County GO, Series 2002 A, 5.85%, 8/1/31 (NATL-RE)
4,835,000

5,951,982

Poway Unified School District Public Financing Authority Rev., 7.875%, 9/15/39
3,760,000

4,426,347

Poway Unified School District Public Financing Authority Special Tax Rev., Series 2015 A, 5.00%, 9/1/34
1,000,000

1,151,240

Poway Unified School District Public Financing Authority Special Tax Rev., Series 2015 A, 5.00%, 9/1/35
1,000,000

1,142,700

Poway Unified School District Public Financing Authority Special Tax Rev., Series 2015 A, 5.00%, 9/1/36
1,250,000

1,425,088

Poway Unified School District Special Tax Rev., (Community Facilities District No. 6-4S), 5.00%, 9/1/36
585,000

643,518

Rancho Cordova Community Facilities District Special Tax Rev., (Sunridge North Douglas No. 2005-1), 5.00%, 9/1/40
1,195,000

1,304,856

Rancho Cordova Community Facilities District Special Tax Rev., (Sunridge North Douglas No. 2005-1), 5.00%, 9/1/45
1,250,000

1,371,175

Redwood City Redevelopment Agency Tax Allocation Rev., Capital Appreciation, Series 2003 A, (Redevelopment Project Area 2), 0.00%, 7/15/28 (Ambac)(1)
3,405,000

2,228,096

Rio Elementary School District Community Facilities District No. 1 Special Tax Rev., 5.00%, 9/1/35
2,550,000

2,860,488

Rio Elementary School District Community Facilities District No. 1 Special Tax Rev., Series 2013, 5.50%, 9/1/39
1,785,000

2,005,501


14


 
Principal Amount
Value
River Islands Public Financing Authority Community Facilities District No. 2003-1 Special Tax Rev., Series 2015 A-1, (Public Improvements), 5.50%, 9/1/45
$
1,500,000

$
1,633,740

River Islands Public Financing Authority Community Facilities District No. 2003-1 Special Tax Rev., Series 2015 B, (Public Improvements), 5.50%, 9/1/45
5,000,000

5,445,800

Riverside County Community Facilities Districts Special Tax Rev., (Tax No. 04-2-Lake Hills Crest), 5.00%, 9/1/30
1,035,000

1,155,433

Riverside County Community Facilities Districts Special Tax Rev., (Tax No. 04-2-Lake Hills Crest), 5.00%, 9/1/35
2,520,000

2,762,273

Riverside County Community Facilities Districts Special Tax Rev., (Tax No. 05-8 Scott Road), 5.00%, 9/1/42
3,000,000

3,253,140

Riverside County Community Facilities Districts Special Tax Rev., (Tax No. 07-2-Clinton Keith Road), 5.00%, 9/1/40
2,250,000

2,382,907

Riverside County Community Facilities Districts Special Tax Rev., (Tax No. 07-2-Clinton Keith Road), 5.00%, 9/1/44
2,735,000

2,881,240

Riverside County Redevelopment Agency Tax Allocation Rev., Series 2010 E, (Interstate 215 Corridor), 6.25%, 10/1/30
2,200,000

2,604,778

Riverside County Transportation Commission Rev., Series 2013 A, (Limited Tax), 5.25%, 6/1/39
800,000

962,184

Riverside County Transportation Commission Rev., Series 2013 A, (Senior Lien), 5.75%, 6/1/44
500,000

576,695

Riverside County Transportation Commission Rev., Capital Appreciation, Series 2013 B, (Senior Lien), 0.00%, 6/1/41(1)
2,000,000

651,020

Riverside County Transportation Commission Rev., Capital Appreciation, Series 2013 B, (Senior Lien), 0.00%, 6/1/42(1)
3,320,000

1,017,945

Riverside County Transportation Commission Rev., Capital Appreciation, Series 2013 B, (Senior Lien), 0.00%, 6/1/43(1)
5,000,000

1,427,650

Romoland School District Special Tax Rev., (Community Facilities District No. 1, Improvement Area 1), 5.00%, 9/1/35
4,685,000

5,271,937

Romoland School District Special Tax Rev., (Community Facilities District No. 1, Improvement Area 1), 5.00%, 9/1/38
2,900,000

3,249,160

Romoland School District Special Tax Rev., (Community Facilities District No. 1, Improvement Area 3), 5.00%, 9/1/43
2,640,000

2,863,714

Roseville Community Facilities District No. 1 Special Tax Rev., (The Fountains), 6.125%, 9/1/38
2,600,000

2,755,948

Roseville Finance Authority Electric System Rev., 5.00%, 2/1/37
925,000

1,033,142

Roseville Westbrook Community Facilities District No. 1 Special Tax Rev., (Public Facilities), 5.00%, 9/1/44
1,650,000

1,751,260

Roseville Westpark Community Facilities District No. 1 Special Tax Rev., 5.00%, 9/1/37
1,250,000

1,385,925

Sacramento Airport System Rev., Series 2009 D, (Grant Revenue Bonds), 6.00%, 7/1/35
4,000,000

4,440,960

Sacramento Municipal Utility District Electric Rev., Series 2012 Y, 5.00%, 8/15/31
625,000

747,806

Sacramento Municipal Utility District Electric Rev., Series 2012 Y, 5.00%, 8/15/33
1,000,000

1,196,070

Sacramento Regional Transit District Rev., (Farebox Revenue), 5.00%, 3/1/42
1,300,000

1,458,080

Sacramento Transportation Authority Sales Tax Rev., (Measure A), 5.00%, 10/1/24
1,055,000

1,302,018

San Bernardino Community Facilities District No. 2002-1 Special Tax Rev., (Kaiser Commerce Center), 5.00%, 9/1/33
3,000,000

3,328,560

San Buenaventura Rev., (Community Memorial Health System), 7.50%, 12/1/41
9,350,000

11,461,230

San Clemente Special Tax Rev., (Community Facilities District No. 2006-1), 5.00%, 9/1/46
2,000,000

2,261,540


15


 
Principal Amount
Value
San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/25
$
835,000

$
1,034,106

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/26
525,000

641,072

San Diego County Limited Rev., Series 2015 A, (Sanford Burnham Prebys Medical Discovery Institute), 5.00%, 11/1/30
725,000

862,344

San Diego County Regional Airport Authority Rev., Series 2013 A, 5.00%, 7/1/24
300,000

365,487

San Diego County Regional Airport Authority Rev., Series 2013 A, 5.00%, 7/1/25
955,000

1,150,374

San Diego County Regional Airport Authority Rev., Series 2013 A, 5.00%, 7/1/26
500,000

595,890

San Diego County Regional Airport Authority Rev., Series 2013 A, 5.00%, 7/1/43
2,500,000

2,820,050

San Diego County Regional Airport Authority Rev., Series 2014 A, (Rental Car Facility), 5.00%, 7/1/44
1,500,000

1,681,020

San Diego County Water Authority Rev., 5.00%, 5/1/33
1,500,000

1,776,645

San Diego Public Facilities Financing Authority Lease Rev., Series 2012 A, (Capital Improvement Projects), 5.00%, 4/15/37
2,000,000

2,237,760

San Diego Public Facilities Financing Authority Lease Rev., Series 2015 A, (Capital Improvement Projects), 5.00%, 10/15/44
2,660,000

3,109,194

San Diego Public Facilities Financing Authority Water Rev., Series 2012 A, 5.00%, 8/1/30
2,000,000

2,391,300

San Diego Redevelopment Agency Tax Allocation Rev., Series 2009 A, (North Park Redevelopment), 7.00%, 11/1/39
3,000,000

3,512,130

San Diego Unified Port District Rev., Series 2013 A, 5.00%, 9/1/26
750,000

891,510

San Francisco City and County Airports Commission Rev., Series 2008 34-D, (San Francisco International Airport), 5.25%, 5/1/18, Prerefunded at 100% of Par(2)
3,000,000

3,298,440

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2009 D, (Mission Bay South Redevelopment), 6.625%, 8/1/39
2,000,000

2,284,840

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 C, (Mission Bay South Redevelopment), 6.75%, 8/1/41
1,000,000

1,208,410

San Francisco City and County Redevelopment Financing Authority Tax Allocation Rev., Series 2011 D, (Mission Bay South Redevelopment), 7.00%, 8/1/41
1,250,000

1,509,962

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/33
780,000

886,618

San Francisco City and County Successor Agency Tax Allocation Rev., Series 2014 A, (Mission Bay South Redevelopment), 5.00%, 8/1/43
1,000,000

1,109,340

San Gorgonio Memorial Health Care District GO, 4.00%, 8/1/17
435,000

455,288

San Gorgonio Memorial Health Care District GO, 4.00%, 8/1/18
515,000

553,357

San Gorgonio Memorial Health Care District GO, 5.00%, 8/1/20
1,000,000

1,161,690

San Gorgonio Memorial Health Care District GO, 5.00%, 8/1/21
275,000

325,303

San Joaquin Hills Transportation Corridor Agency Rev., Series 2014 B, (Junior Lien), 5.25%, 1/15/44
6,000,000

6,555,540

San Joaquin Hills Transportation Corridor Agency Rev., Capital Appreciation, Series 1997 A, 0.00%, 1/15/36 (NATL-RE)(1)
1,335,000

550,661

San Joaquin Hills Transportation Corridor Agency Rev., Capital Appreciation, Series 1997 A, 0.00%, 1/15/25 (NATL-RE)(1)
3,090,000

2,201,625

San Joaquin Hills Transportation Corridor Agency Rev., Capital Appreciation, Series 1997 A, 0.00%, 1/15/29 (NATL-RE)(1)
165,000

97,774

San Joaquin Hills Transportation Corridor Agency Rev., Capital Appreciation, Series 1997 A, 0.00%, 1/15/31 (NATL-RE)(1)
16,000,000

8,614,720


16


 
Principal Amount
Value
San Joaquin Hills Transportation Corridor Agency Rev., Capital Appreciation, Series 1997 A, 0.00%, 1/15/32 (NATL-RE)(1)
$
290,000

$
148,616

San Jose Airport Rev., Series 2011 A-2, 5.25%, 3/1/34
2,605,000

3,001,663

San Mateo Special Tax Rev., (Community Facilities District No. 2008-1-Bay Meadows), 6.00%, 9/1/42
500,000

572,580

San Mateo Special Tax Rev., (Community Facilities District No. 2008-1-Bay Meadows), 5.50%, 9/1/44
2,250,000

2,528,347

Santa Barbara Secondary High School District GO, Series 2011 A, (Election of 2010), 0.00%, 8/1/36(1)
10,000,000

4,560,300

Santa Barbara Secondary High School District GO, Series 2011 A, (Election of 2010), 0.00%, 8/1/40(1)
3,795,000

1,449,121

Santa Cruz County Redevelopment Agency Tax Allocation Rev., Series 2009 A, (Live Oak/Soquel Community Improvement), 7.00%, 9/1/36
3,000,000

3,532,140

Santa Margarita Water District Special Tax Rev., Series 2013, (Communities Facilities District No. 2013-1, Village of Sendero), 5.625%, 9/1/43
1,250,000

1,419,875

Santaluz Community Facilities District No. 2 Special Tax Rev., Series 2011 A, (Improvement Area No. 1), 5.10%, 9/1/21, Prerefunded at 103% of Par(2)
465,000

518,229

Saugus-Castaic School Facilities Financing Authority Special Tax Rev., (Community Facilities District No. 2006-1C), 6.00%, 9/1/43
1,480,000

1,712,153

Saugus/Hart School Facilities Financing Authority Special Tax Rev., (Community Facilities District No. 2006-1), 5.00%, 9/1/41
1,235,000

1,387,288

Saugus/Hart School Facilities Financing Authority Special Tax Rev., (Community Facilities District No. 2006-1), 5.00%, 9/1/46
1,250,000

1,398,175

Silicon Valley Tobacco Securitization Authority Rev., Capital Appreciation, Series 2007 A, (Santa Clara County Tobacco Securitization Corp.), 0.00%, 6/1/36(1)
1,000,000

281,230

South Placer Wastewater Authority Rev., VRN, 0.34%, 3/3/16
2,985,000

2,965,090

Southern California Public Power Authority Rev., Series 2007 A, 5.25%, 11/1/19
2,445,000

2,755,637

Southern California Public Power Authority Rev., Series 2007 A, 5.00%, 11/1/33
3,755,000

4,465,033

Southern Mono Health Care District GO, Capital Appreciation, Series 2002 A, (Election of 2001), 0.00%, 8/1/26 (NATL-RE)(1)
1,800,000

1,176,750

Southwestern Community College District GO, Capital Appreciation, Series 2011 C, (Election of 2008), 0.00%, 8/1/46(1)
5,425,000

1,616,813

Stockton Public Financing Authority Rev., Series 2010 A, (Delta Water Supply Project), 6.25%, 10/1/40
1,750,000

2,178,435

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/28 (BAM)
2,215,000

2,619,525

Stockton Public Financing Authority Wastewater Rev., 5.00%, 9/1/29 (BAM)
1,750,000

2,053,082

Stockton Unified School District GO, 5.00%, 8/1/31
4,620,000

5,486,296

Stockton Unified School District GO, Series 2014 A, (Election of 2012), 5.00%, 8/1/42 (AGM)
705,000

800,253

Successor Agency to the Redevelopment Agency of the City & County of San Francisco Communities Facilities District No. 6 Special Tax Rev., Capital Appreciation, Series 2013 C, (Mission Bay South Public Improvements), 0.00%, 8/1/43 (BAM)(1)
5,500,000

1,242,560

Successor Agency to the Redevelopment Agency of the City of Cathedral City Tax Allocation Rev., Series 2014 A, (Merged Redevelopment Project Area), 5.00%, 8/1/29 (AGM)
1,250,000

1,464,925

Successor Agency to the Redevelopment Agency of the City of Cathedral City Tax Allocation Rev., Series 2014 A, (Merged Redevelopment Project Area), 5.00%, 8/1/30 (AGM)
1,315,000

1,533,290


17


 
Principal Amount
Value
Successor Agency to the Redevelopment Agency of the City of Cathedral City Tax Allocation Rev., Series 2014 A, (Merged Redevelopment Project Area), 5.00%, 8/1/31 (AGM)
$
1,380,000

$
1,604,098

Sunnyvale Community Facilities District No. 1 Special Tax Rev., 7.75%, 8/1/32
6,500,000

6,516,120

Susanville Public Financing Authority Rev., Series 2010 B, (Utility Enterprises), 6.00%, 6/1/45
3,000,000

3,325,770

Tahoe-Truckee Unified School District GO, Capital Appreciation, Series 1999 A, (Improvement District No. 2), 0.00%, 8/1/22 (NATL-RE)(1)
2,690,000

2,370,024

Tahoe-Truckee Unified School District GO, Capital Appreciation, Series 1999 A, (Improvement District No. 2), 0.00%, 8/1/23 (NATL-RE)(1)
2,220,000

1,883,204

Tejon Ranch Public Facilities Finance Authority Special Tax Rev., Series 2015 A, (Community Facilities District No. 2008-1), 5.00%, 9/1/45
4,000,000

4,421,400

Tobacco Securitization Authority of Northern California Settlement Rev., Series 2005 A-1, 5.50%, 6/1/45
2,000,000

1,920,940

Tobacco Securitization Authority of Southern California Settlement Rev., Series 2006 A-1, 5.00%, 6/1/37
2,250,000

2,139,570

Tobacco Securitization Authority of Southern California Settlement Rev., Series 2006 A-1, 5.125%, 6/1/46
2,000,000

1,909,120

Tracy Community Facilities District No. 2006-1 Special Tax Rev., (NEI Phase II), 5.75%, 9/1/36
3,105,000

3,108,850

Tracy Public Financing Authority Special Tax Rev., Series 2014 A, 4.00%, 9/2/18
1,900,000

2,033,133

Tracy Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/2/19
2,285,000

2,573,984

Tracy Public Financing Authority Special Tax Rev., Series 2014 A, 5.00%, 9/2/20
2,100,000

2,422,812

Tri-Dam Power Authority Rev., 4.00%, 5/1/16
2,165,000

2,174,678

Tri-Dam Power Authority Rev., 4.00%, 11/1/16
2,165,000

2,201,372

Tuolumne Wind Project Authority Rev., Series 2009 A, 5.875%, 1/1/29
2,000,000

2,281,880

Turlock Public Financing Authority Tax Allocation Rev., 7.50%, 9/1/39
2,770,000

3,454,079

Tustin Community Facilities District No. 06-1 Special Tax Rev., Series 2007 A, (Tustin Legacy/Columbus Villages), 6.00%, 9/1/17, Prerefunded at 100% of Par(2)
4,945,000

5,341,045

Tustin Community Facilities District No. 07-1 Special Tax Rev., (Tustin Legacy/Retail Center), 6.00%, 9/1/17, Prerefunded at 100% of Par(2)
1,300,000

1,404,117

Tustin Community Facilities District No. 07-1 Special Tax Rev., (Tustin Legacy/Retail Center), 5.00%, 9/1/37
3,330,000

3,821,841

Tustin Community Facilities District No. 14-1 Special Tax Rev., Series 2015 A, (Tustin Legacy/Standard Pacific), 5.00%, 9/1/40
1,100,000

1,207,382

Tustin Community Facilities District No. 14-1 Special Tax Rev., Series 2015 A, (Tustin Legacy/Standard Pacific), 5.00%, 9/1/45
2,200,000

2,411,090

Tustin Public Financing Authority Rev., 5.00%, 4/1/43
1,000,000

1,143,410

Tustin Unified School District Special Tax Rev., (Community Facilities District No. 06-1), 5.75%, 9/1/30
1,000,000

1,120,760

Tustin Unified School District Special Tax Rev., (Community Facilities District No. 06-1), 6.00%, 9/1/40
1,500,000

1,735,065

Twin Rivers Unified School District COP, (School Facilities Bridge Funding Program), VRDN, 3.20%, 6/1/20 (AGM)
1,750,000

1,753,027

Twin Rivers Unified School District COP, (School Facilities Bridge Funding Program), VRDN, 3.20%, 6/1/20 (AGM)
1,000,000

1,001,730


18


 
Principal Amount/Shares
Value
University of California System Rev., Series 2012 G, 5.00%, 5/15/37
$
5,000,000

$
5,810,500

Val Verde Unified School District Special Tax Rev., 5.00%, 9/1/37
1,750,000

1,938,912

Ventura County Community College District GO, Series 2008 C, (Election of 2002), 5.50%, 8/1/18, Prerefunded at 100% of Par(2)
1,600,000

1,786,720

Washington Township Health Care District Rev., Series 2015 A, 5.00%, 7/1/26
400,000

470,252

Washington Township Health Care District Rev., Series 2015 A, 3.25%, 7/1/27
1,000,000

1,007,210

Washington Township Health Care District Rev., Series 2015 A, 3.50%, 7/1/28
750,000

764,370

Washington Township Health Care District Rev., Series 2015 A, 3.75%, 7/1/29
1,000,000

1,024,950

Whittier Health Facilities Rev., (Presbyterian Intercommunity Hospital), 5.00%, 6/1/44
3,500,000

3,936,170

Yosemite Community College District GO, Capital Appreciation, (Election of 2004), 0.00%, 8/1/16 (AGM)(1)
3,545,000

3,540,356

Yuba City Unified School District GO, Capital Appreciation, 0.00%, 3/1/25 (NATL-RE)(1)
1,500,000

1,176,600

 
 
909,515,740

Guam — 1.5%
 
 
Guam Government Business Privilege Tax Rev., Series 2011 A, 5.125%, 1/1/42
1,000,000

1,096,720

Guam Government GO, Series 2009 A, 7.00%, 11/15/19, Prerefunded at 100% of Par(2)
7,230,000

8,868,752

Guam Government Waterworks Authority Rev., 5.00%, 1/1/46
3,000,000

3,365,280

Guam Power Authority Rev., Series 2012 A, 5.00%, 10/1/34
850,000

927,036

 
 
14,257,788

U.S. Virgin Islands — 0.5%
 
 
Virgin Islands Public Finance Authority Rev., 5.00%, 9/1/33(3)
2,500,000

2,859,700

Virgin Islands Public Finance Authority Rev., Series 2009 A, (Diageo Matching Fund Bonds), 6.75%, 10/1/37
2,000,000

2,250,480

 
 
5,110,180

TOTAL MUNICIPAL SECURITIES
(Cost $849,748,489)
 
928,883,708

TEMPORARY CASH INVESTMENTS — 3.1%
 
 
Federated California Municipal Cash Trust, Wealth Shares
(Cost $30,311,267)
30,311,267

30,311,267

TOTAL INVESTMENT SECURITIES — 98.9%
(Cost $880,059,756)
 
959,194,975

OTHER ASSETS AND LIABILITIES — 1.1%
 
10,463,348

TOTAL NET ASSETS — 100.0%
 
$
969,658,323



 

19


NOTES TO SCHEDULE OF INVESTMENTS
AGC
-
Assured Guaranty Corporation
AGM
-
Assured Guaranty Municipal Corporation
BAM
-
Build America Mutual Assurance Company
COP
-
Certificates of Participation
GA
-
Guaranty Agreement
GO
-
General Obligation
LOC
-
Letter of Credit
NATL-RE
-
National Public Finance Guarantee Corporation - Reinsured
VRDN
-
Variable Rate Demand Note. Interest reset date is indicated. Rate shown is effective at the period end.
VRN
-
Variable Rate Note. Interest reset date is indicated. Rate shown is effective at the period end.
XLCA
-
XL Capital Ltd.
(1)
Security is a zero-coupon bond. Zero-coupon securities are issued at a substantial discount from their value at maturity.
(2)
Escrowed to maturity in U.S. government securities or state and local government securities.
(3)
Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be sold in transactions exempt from registration, normally to qualified institutional investors. The aggregate value of these securities at the period end was $36,316,344, which represented 3.7% of total net assets.
(4)
Restricted security that may not be offered for public sale without being registered with the Securities and Exchange Commission and/or may be subject to resale, redemption or transferability restrictions. The aggregate value of these securities at the period end was $111,177, which represented less than 0.05% of total net assets.
(5)
Coupon rate adjusts periodically based upon a predetermined schedule. Interest reset date is indicated. Rate shown is effective at the period end.

See Notes to Financial Statements.

20


Statement of Assets and Liabilities
FEBRUARY 29, 2016 (UNAUDITED)
 
Assets
 
Investment securities, at value (cost of $880,059,756)
$
959,194,975

Cash
93,290

Receivable for investments sold
15,450

Receivable for capital shares sold
977,987

Interest receivable
11,646,428

 
971,928,130

 
 
Liabilities
 
Payable for capital shares redeemed
1,479,431

Accrued management fees
361,658

Distribution and service fees payable
48,543

Dividends payable
380,175

 
2,269,807

 
 
Net Assets
$
969,658,323

 
 
Net Assets Consist of:
 
Capital paid in
$
931,532,758

Undistributed net investment income
10,848

Accumulated net realized loss
(41,020,502
)
Net unrealized appreciation
79,135,219

 
$
969,658,323

 
 
Net Assets
Shares Outstanding
Net Asset Value Per Share
Investor Class

$710,351,824

66,944,650

$10.61
Institutional Class

$104,632,932

9,864,169

$10.61
A Class

$124,296,139

11,713,108

$10.61*
C Class

$30,377,428

2,862,331

$10.61
*Maximum offering price $11.11 (net asset value divided by 0.955).
 

See Notes to Financial Statements.

21


Statement of Operations
FOR THE SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED)
Investment Income (Loss)
Income:
 
Interest
$
18,579,193

 
 
Expenses:
 
Management fees
2,131,667

Distribution and service fees:
 
A Class
149,117

C Class
145,106

Trustees' fees and expenses
26,628

Other expenses
46

 
2,452,564

 
 
Net investment income (loss)
16,126,629

 
 
Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
 
Investment transactions
1,920,520

Futures contract transactions
69,766

 
1,990,286

 
 
Change in net unrealized appreciation (depreciation) on:
Investments
24,681,698

Futures contracts
(78,527
)
 
24,603,171

 
 
Net realized and unrealized gain (loss)
26,593,457

 
 
Net Increase (Decrease) in Net Assets Resulting from Operations
$
42,720,086



See Notes to Financial Statements.

22


Statement of Changes in Net Assets
 
SIX MONTHS ENDED FEBRUARY 29, 2016 (UNAUDITED) AND YEAR ENDED AUGUST 31, 2015
Increase (Decrease) in Net Assets
February 29, 2016
August 31, 2015
Operations
 
 
Net investment income (loss)
$
16,126,629

$
31,052,252

Net realized gain (loss)
1,990,286

(3,687,147
)
Change in net unrealized appreciation (depreciation)
24,603,171

6,737,352

Net increase (decrease) in net assets resulting from operations
42,720,086

34,102,457

 
 
 
Distributions to Shareholders
 
 
From net investment income:
 
 
Investor Class
(11,934,534
)
(22,933,451
)
Institutional Class
(1,782,113
)
(3,213,866
)
A Class
(2,017,310
)
(4,194,466
)
C Class
(381,824
)
(710,469
)
Decrease in net assets from distributions
(16,115,781
)
(31,052,252
)
 
 
 
Capital Share Transactions
 
 
Net increase (decrease) in net assets from capital share transactions (Note 5)
80,533,864

72,245,980

 
 
 
Net increase (decrease) in net assets
107,138,169

75,296,185

 
 
 
Net Assets
 
 
Beginning of period
862,520,154

787,223,969

End of period
$
969,658,323

$
862,520,154

 
 
 
Undistributed net investment income
$
10,848

$
—



See Notes to Financial Statements.

23


Notes to Financial Statements
 
FEBRUARY 29, 2016 (UNAUDITED)

1. Organization

American Century California Tax-Free and Municipal Funds (the trust) is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company and is organized as a Massachusetts business trust. California High-Yield Municipal Fund (the fund) is one fund in a series issued by the trust. The fund’s investment objective is to seek high current income that is exempt from federal and California income taxes.

The fund offers the Investor Class, the Institutional Class, the A Class and the C Class. The A Class may incur an initial sales charge. The A Class and C Class may be subject to a contingent deferred sales charge. The share classes differ principally in their respective sales charges and distribution and shareholder servicing expenses and arrangements. The Institutional Class is made available to institutional shareholders or through financial intermediaries whose clients do not require the same level of shareholder and administrative services as shareholders of other classes. As a result, the Institutional Class is charged a lower unified management fee.

2. Significant Accounting Policies

The following is a summary of significant accounting policies consistently followed by the fund in preparation of its financial statements. The fund is an investment company and follows accounting and reporting guidance in accordance with accounting principles generally accepted in the United States of America. This may require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from these estimates. Management evaluated the impact of events or transactions occurring through the date the financial statements were issued that would merit recognition or disclosure.

Investment Valuations — The fund determines the fair value of its investments and computes its net asset value per share at the close of regular trading (usually 4 p.m. Eastern time) on the New York Stock Exchange (NYSE) on each day the NYSE is open. The Board of Trustees has adopted valuation policies and procedures to guide the investment advisor in the fund’s investment valuation process and to provide methodologies for the oversight of the fund’s pricing function.

Fixed income securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Municipal securities are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information.
 
Open-end management investment companies are valued at the reported net asset value per share. Exchange-traded futures contracts are valued at the settlement price as provided by the appropriate clearing corporation.

If the fund determines that the market price for an investment is not readily available or the valuation methods mentioned above do not reflect an investment’s fair value, such investment is valued as determined in good faith by the Board of Trustees or its delegate, in accordance with policies and procedures adopted by the Board of Trustees. In its determination of fair value, the fund may review several factors including, but not limited to, market information regarding the specific investment or comparable investments and correlation with other investment types, futures indices or general market indicators. Circumstances that may cause the fund to use these procedures to value an investment include, but are not limited to: an investment has been declared in default or is distressed; trading in a security has been suspended during the trading day or a security is not actively trading on its principal exchange; prices received from a regular pricing source are deemed unreliable; or there is a foreign market holiday and no trading occurred.

The fund monitors for significant events occurring after the close of an investment’s primary exchange but before the fund’s net asset value per share is determined. Significant events may include, but are not limited to: corporate announcements and transactions; governmental action and political unrest that could impact a specific investment or an investment sector; or armed conflicts, natural disasters and similar events that could affect investments in a specific country or region.
 

24


Security Transactions — Security transactions are accounted for as of the trade date. Net realized gains and losses are determined on the identified cost basis, which is also used for federal income tax purposes.
 
Investment Income — Interest income is recorded on the accrual basis and includes accretion of discounts and amortization of premiums.

Segregated Assets — In accordance with the 1940 Act, the fund segregates assets on its books and records to cover certain types of investments, including, but not limited to, futures contracts and when-issued securities. American Century Investment Management, Inc. (ACIM) (the investment advisor) monitors, on a daily basis, the securities segregated to ensure the fund designates a sufficient amount of liquid assets, marked-to-market daily. The fund may also receive assets or be required to pledge assets at the custodian bank or with a broker for margin requirements on futures contracts.

Income Tax Status — It is the fund’s policy to distribute substantially all net investment income and net realized gains to shareholders and to otherwise qualify as a regulated investment company under provisions of the Internal Revenue Code. Accordingly, no provision has been made for income taxes. The fund files U.S. federal, state, local and non-U.S. tax returns as applicable. The fund's tax returns are subject to examination by the relevant taxing authority until expiration of the applicable statute of limitations, which is generally three years from the date of filing but can be longer in certain jurisdictions. At this time, management believes there are no uncertain tax positions which, based on their technical merit, would not be sustained upon examination and for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Multiple Class — All shares of the fund represent an equal pro rata interest in the net assets of the class to which such shares belong, and have identical voting, dividend, liquidation and other rights and the same terms and conditions, except for class specific expenses and exclusive rights to vote on matters affecting only individual classes. Income, non-class specific expenses, and realized and unrealized capital gains and losses of the fund are allocated to each class of shares based on their relative net assets.

Distributions to Shareholders — Distributions from net investment income, if any, are declared daily and paid monthly. Distributions from net realized gains, if any, are generally declared and paid annually.
 
Indemnifications — Under the trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the fund. In addition, in the normal course of business, the fund enters into contracts that provide general indemnifications. The maximum exposure under these arrangements is unknown as this would involve future claims that may be made against a fund. The risk of material loss from such claims is considered by management to be remote.

3. Fees and Transactions with Related Parties

Certain officers and trustees of the trust are also officers and/or directors of American Century Companies, Inc. (ACC). The trust's investment advisor, ACIM, the trust's distributor, American Century Investment Services, Inc. (ACIS), and the trust's transfer agent, American Century Services, LLC, are wholly owned, directly or indirectly, by ACC.
 
Management Fees — The trust has entered into a management agreement with ACIM, under which ACIM provides the fund with investment advisory and management services in exchange for a single, unified management fee (the fee) per class. The agreement provides that all expenses of managing and operating the fund, except distribution and service fees, brokerage expenses, taxes, interest, fees and expenses of the independent trustees (including legal counsel fees), and extraordinary expenses, will be paid by ACIM. The fee is computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fee consists of (1) an Investment Category Fee based on the daily net assets of the fund and certain other accounts managed by the investment advisor that are in the same broad investment category as the fund and (2) a Complex Fee based on the assets of all the funds in the American Century Investments family of funds. The rates for the Investment Category Fee range from 0.1925% to 0.3100%. The rates for the Complex Fee range from 0.2500% to 0.3100% for the Investor Class, A Class and C Class. The rates for the Complex Fee range from 0.0500% to 0.1100% for the Institutional Class. The effective annual management fee for each class for the six months ended February 29, 2016 was 0.50% for the Investor Class, A Class and C Class and 0.30% for the Institutional Class.

Distribution and Service Fees — The Board of Trustees has adopted a separate Master Distribution and Individual Shareholder Services Plan for each of the A Class and C Class (collectively the plans), pursuant to Rule 12b-1 of the 1940 Act. The plans provide that the A Class will pay ACIS an annual distribution and

25


service fee of 0.25%. The plans provide that the C Class will pay ACIS an annual distribution and service fee of 1.00%, of which 0.25% is paid for individual shareholder services and 0.75% is paid for distribution services. The fees are computed and accrued daily based on each class’s daily net assets and paid monthly in arrears. The fees are used to pay financial intermediaries for distribution and individual shareholder services. Fees incurred under the plans during the six months ended February 29, 2016 are detailed in the Statement of Operations.

Trustees’ Fees and Expenses — The Board of Trustees is responsible for overseeing the investment advisor’s management and operations of the fund. The trustees receive detailed information about the fund and its investment advisor regularly throughout the year, and meet at least quarterly with management of the investment advisor to review reports about fund operations. The fund’s officers do not receive compensation from the fund.

4. Investment Transactions

Purchases and sales of investment securities, excluding short-term investments, for the six months ended February 29, 2016 were $108,696,246 and $56,422,364, respectively.

5. Capital Share Transactions

Transactions in shares of the fund were as follows (unlimited number of shares authorized):
 
Six months ended
February 29, 2016
Year ended
August 31, 2015
 
Shares
Amount
Shares
Amount
Investor Class
 
 
 
 
Sold
9,659,384

$
101,500,519

16,300,335

$
168,967,153

Issued in reinvestment of distributions
951,594

9,974,580

1,815,379

18,804,585

Redeemed
(4,994,684
)
(52,258,580
)
(12,572,062
)
(130,008,836
)
 
5,616,294

59,216,519

5,543,652

57,762,902

Institutional Class
 
 
 
 
Sold
1,983,885

20,769,619

2,159,763

22,373,675

Issued in reinvestment of distributions
165,023

1,729,309

303,391

3,141,909

Redeemed
(418,320
)
(4,387,854
)
(1,799,790
)
(18,737,563
)
 
1,730,588

18,111,074

663,364

6,778,021

A Class
 
 
 
 
Sold
1,405,676

14,745,616

2,760,616

28,582,741

Issued in reinvestment of distributions
178,146

1,867,316

373,436

3,869,303

Redeemed
(1,437,387
)
(14,997,327
)
(2,771,772
)
(28,720,194
)
 
146,435

1,615,605

362,280

3,731,850

C Class
 
 
 
 
Sold
345,503

3,622,748

758,896

7,858,572

Issued in reinvestment of distributions
27,041

283,478

49,897

516,947

Redeemed
(220,096
)
(2,315,560
)
(425,841
)
(4,402,312
)
 
152,448

1,590,666

382,952

3,973,207

Net increase (decrease)
7,645,765

$
80,533,864

6,952,248

$
72,245,980



6. Fair Value Measurements

The fund’s investments valuation process is based on several considerations and may use multiple inputs to determine the fair value of the investments held by the fund. In conformity with accounting principles generally accepted in the United States of America, the inputs used to determine a valuation are classified into three broad levels.

•
Level 1 valuation inputs consist of unadjusted quoted prices in an active market for identical investments.

26



•
Level 2 valuation inputs consist of direct or indirect observable market data (including quoted prices for comparable investments, evaluations of subsequent market events, interest rates, prepayment speeds, credit risk, etc.). These inputs also consist of quoted prices for identical investments initially expressed in local currencies that are adjusted through translation into U.S. dollars.

•
Level 3 valuation inputs consist of unobservable data (including a fund’s own assumptions).

The level classification is based on the lowest level input that is significant to the fair valuation measurement. The valuation inputs are not necessarily an indication of the risks associated with investing in these securities or other financial instruments. There were no significant transfers between levels during the period.

The following is a summary of the level classifications as of period end. The Schedule of Investments provides additional information on the fund’s portfolio holdings.
 
Level 1
Level 2
Level 3
Assets
Investment Securities
Municipal Securities
—

$
928,883,708

—

Temporary Cash Investments
$
30,311,267

—

—

 
$
30,311,267

$
928,883,708

—


7. Derivative Instruments

Interest Rate Risk — The fund is subject to interest rate risk in the normal course of pursuing its investment objectives. The value of bonds generally declines as interest rates rise. A fund may enter into futures contracts based on a bond index or a specific underlying security. A fund may purchase futures contracts to gain exposure to increases in market value or sell futures contracts to protect against a decline in market value. Upon entering into a futures contract, a fund will segregate cash, cash equivalents or other appropriate liquid securities on its records in amounts sufficient to meet requirements. Subsequent payments (variation margin) are made or received daily, in cash, by a fund. The variation margin is equal to the daily change in the contract value and is recorded as unrealized gains and losses. A fund recognizes a realized gain or loss when the futures contract is closed or expires. Net realized and unrealized gains or losses occurring during the holding period of futures contracts are a component of net realized gain (loss) on futures contract transactions and change in net unrealized appreciation (depreciation) on futures contracts, respectively. One of the risks of entering into futures contracts is the possibility that the change in value of the contract may not correlate with the changes in value of the underlying securities. The fund's average exposure to interest rate risk derivative instruments held during the period was 37 contracts.

At period end, the fund did not have any derivative instruments disclosed on the Statement of Assets and Liabilities. For the six months ended February 29, 2016, the effect of interest rate risk derivative instruments on the Statement of Operations was $69,766 in net realized gain (loss) on futures contract transactions and $(78,527) in change in net unrealized appreciation (depreciation) on futures contracts.

8. Risk Factors

The fund concentrates its investments in a single state and therefore may have more exposure to credit risk related to the state of California than a fund with a broader geographical diversification. The fund invests in lower-rated debt securities, which are subject to substantial risks including liquidity risk and credit risk.

9. Federal Tax Information

The book-basis character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. These differences reflect the differing character of certain income items and net realized gains and losses for financial statement and tax purposes, and may result in reclassification among certain capital accounts on the financial statements.
 

27


As of February 29, 2016, the components of investments for federal income tax purposes were as follows:
Federal tax cost of investments
$
880,059,756

Gross tax appreciation of investments
$
79,212,190

Gross tax depreciation of investments
(76,971
)
Net tax appreciation (depreciation) of investments
$
79,135,219


The cost of investments for federal income tax purposes was the same as the cost for financial reporting purposes.
 
As of August 31, 2015, the fund had short-term capital losses of $(36,306,087) and long-term capital losses of $(6,499,020), which represent net capital loss carryovers that may be used to offset future realized capital gains for federal income tax purposes. Any unlimited losses will be required to be utilized prior to the losses which carry an expiration date. Future capital loss carryover utilization in any given year may be subject to Internal Revenue Code limitations. Capital loss carryovers expire as follows:
2017
2018
2019
Unlimited (Short-Term)
Unlimited (Long-Term)
$(9,518,848)
$(12,885,340)
$(6,203,529)
$(7,698,370)
$(6,499,020)







28


Financial Highlights
For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
Income From Investment Operations:
 
 
 
Ratio to Average Net Assets of:
 
 
 
Net Asset
Value,
Beginning
of Period
Net
Investment Income (Loss)(1)
Net
Realized and Unrealized
Gain (Loss)
Total
From Investment Operations
Distributions From Net Investment Income
Net Asset
Value, End
of Period
Total
Return(2)
Operating Expenses
Operating Expenses
(before
expense
waiver)
Net
Investment Income
(Loss)
Net Investment Income (Loss)
(before
expense waiver)
Portfolio Turnover
Rate
Net Assets,
End of Period
(in thousands)
Investor Class
 
 
 
 
 
 
 
 
 
 
 
 
 
2016(3)
$10.30
0.19
0.31
0.50
(0.19)
$10.61
4.88%
0.50%(4)
0.50%(4)
3.64%(4)
3.64%(4)
6%

$710,352

2015
$10.25
0.39
0.05
0.44
(0.39)
$10.30
4.32%
0.50%
0.50%
3.75%
3.75%
41%

$631,702

2014
$9.33
0.41
0.92
1.33
(0.41)
$10.25
14.50%
0.50%
0.50%
4.14%
4.14%
57%

$571,924

2013
$10.13
0.40
(0.80)
(0.40)
(0.40)
$9.33
(4.14)%
0.50%
0.50%
3.99%
3.99%
81%

$472,141

2012
$9.40
0.45
0.73
1.18
(0.45)
$10.13
12.79%
0.50%
0.50%
4.55%
4.55%
48%

$506,399

2011
$9.69
0.47
(0.29)
0.18
(0.47)
$9.40
2.07%
0.49%
0.51%
5.10%
5.08%
37%

$374,467

Institutional Class
 
 
 
 
 
 
 
 
 
 
 
2016(3)
$10.30
0.20
0.31
0.51
(0.20)
$10.61
4.99%
0.30%(4)
0.30%(4)
3.84%(4)
3.84%(4)
6%

$104,633

2015
$10.25
0.41
0.05
0.46
(0.41)
$10.30
4.53%
0.30%
0.30%
3.95%
3.95%
41%

$83,751

2014
$9.33
0.43
0.92
1.35
(0.43)
$10.25
14.73%
0.30%
0.30%
4.34%
4.34%
57%

$76,561

2013
$10.13
0.42
(0.80)
(0.38)
(0.42)
$9.33
(3.94)%
0.30%
0.30%
4.19%
4.19%
81%

$25,217

2012
$9.40
0.46
0.74
1.20
(0.47)
$10.13
13.01%
0.30%
0.30%
4.75%
4.75%
48%

$22,287

2011
$9.69
0.49
(0.29)
0.20
(0.49)
$9.40
2.27%
0.29%
0.31%
5.30%
5.28%
37%

$9,784


29


For a Share Outstanding Throughout the Years Ended August 31 (except as noted)
Per-Share Data
Ratios and Supplemental Data
 
 
Income From Investment Operations:
 
 
 
Ratio to Average Net Assets of:
 
 
 
Net Asset
Value,
Beginning
of Period
Net
Investment Income (Loss)(1)
Net
Realized and Unrealized
Gain (Loss)
Total
From Investment Operations
Distributions From Net Investment Income
Net Asset
Value, End
of Period
Total
Return(2)
Operating Expenses
Operating Expenses
(before
expense
waiver)
Net
Investment Income
(Loss)
Net Investment Income (Loss)
(before
expense waiver)
Portfolio Turnover
Rate
Net Assets,
End of Period
(in thousands)
A Class
 
 
 
 
 
 
 
 
 
 
 
 
 
2016(3)
$10.30
0.18
0.31
0.49
(0.18)
$10.61
4.75%
0.75%(4)
0.75%(4)
3.39%(4)
3.39%(4)
6%

$124,296

2015
$10.25
0.36
0.05
0.41
(0.36)
$10.30
4.06%
0.75%
0.75%
3.50%
3.50%
41%

$119,150

2014
$9.33
0.38
0.92
1.30
(0.38)
$10.25
14.21%
0.75%
0.75%
3.89%
3.89%
57%

$114,878

2013
$10.13
0.38
(0.80)
(0.42)
(0.38)
$9.33
(4.38)%
0.75%
0.75%
3.74%
3.74%
81%

$105,296

2012
$9.40
0.42
0.73
1.15
(0.42)
$10.13
12.51%
0.75%
0.75%
4.30%
4.30%
48%

$117,162

2011
$9.69
0.45
(0.29)
0.16
(0.45)
$9.40
1.82%
0.74%
0.76%
4.85%
4.83%
37%

$89,028

C Class
 
 
 
 
 
 
 
 
 
 
 
 
 
2016(3)
$10.30
0.14
0.31
0.45
(0.14)
$10.61
4.36%
1.50%(4)
1.50%(4)
2.64%(4)
2.64%(4)
6%

$30,377

2015
$10.25
0.28
0.05
0.33
(0.28)
$10.30
3.29%
1.50%
1.50%
2.75%
2.75%
41%

$27,917

2014
$9.33
0.31
0.92
1.23
(0.31)
$10.25
13.37%
1.50%
1.50%
3.14%
3.14%
57%

$23,860

2013
$10.13
0.30
(0.80)
(0.50)
(0.30)
$9.33
(5.09)%
1.50%
1.50%
2.99%
2.99%
81%

$25,056

2012
$9.40
0.35
0.73
1.08
(0.35)
$10.13
11.67%
1.50%
1.50%
3.55%
3.55%
48%

$29,388

2011
$9.69
0.38
(0.29)
0.09
(0.38)
$9.40
1.06%
1.49%
1.51%
4.10%
4.08%
37%

$23,917

 

30


Notes to Financial Highlights
(1)
Computed using average shares outstanding throughout the period.
(2)
Total returns are calculated based on the net asset value of the last business day and do not reflect applicable sales charges, if any. Total returns for periods less than one year are not annualized.
(3)
Six months ended February 29, 2016 (unaudited).
(4)
Annualized.

See Notes to Financial Statements.

31


Additional Information
 
Proxy Voting Policies
 
Descriptions of the principles and policies that the fund's investment advisor uses in exercising the voting rights associated with the securities purchased and/or held by the fund are available without charge, upon request, by calling 1-800-345-2021 or visiting the "About Us" page of American Century Investments’ website at americancentury.com. A description of the policies is also available on the Securities and Exchange Commission’s website at sec.gov. Information regarding how the investment advisor voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available on the "About Us" page at americancentury.com. It is also available at sec.gov.
 

Quarterly Portfolio Disclosure

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-Q. The fund’s Forms N-Q are available on the SEC’s website at sec.gov, and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The fund also makes its complete schedule of portfolio holdings for the most recent quarter of its fiscal year available on its website at americancentury.com and, upon request, by calling 1-800-345-2021.





32






 
 
 
 
Contact Us
americancentury.com
 
Automated Information Line
1-800-345-8765
 
Investor Services Representative
1-800-345-2021
or 816-531-5575
 
Investors Using Advisors
1-800-378-9878
 
Business, Not-For-Profit, Employer-Sponsored Retirement Plans
1-800-345-3533
 
Banks and Trust Companies, Broker-Dealers, Financial Professionals, Insurance Companies
1-800-345-6488
 
Telecommunications Relay Service for the Deaf
711
 
 
 
 
American Century California Tax-Free and Municipal Funds
 
 
 
 
Investment Advisor:
American Century Investment Management, Inc.
Kansas City, Missouri
 
 
 
 
This report and the statements it contains are submitted for the general information of our shareholders. The report is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus.
 
 
 
 
©2016 American Century Proprietary Holdings, Inc. All rights reserved.
CL-SAN-88534   1604
 



ITEM 2. CODE OF ETHICS.

Not applicable for semiannual report filings.


ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

Not applicable for semiannual report filings.


ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Not applicable for semiannual report filings.


ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable.


ITEM 6. INVESTMENTS.

(a)
The schedule of investments is included as part of the report to stockholders filed under Item 1 of this Form.

(b)
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 COMPANY AND AFFILIATED PURCHASERS.

Not applicable.


ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

During the reporting period, there were no material changes to the procedures by which shareholders may recommend nominees to the registrant’s board.


ITEM 11. CONTROLS AND PROCEDURES.

(a)
The registrant's principal executive officer and principal financial officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940)



are effective based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.

(b)
There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the registrant's second fiscal quarter of 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. EXHIBITS.

(a)(1)
Not applicable for semiannual report filings.

(a)(2)
Separate certifications by the registrant’s principal executive officer and principal financial officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and Rule 30a-2(a) under the Investment Company Act of 1940, are filed and attached hereto as EX-99.CERT.

(a)(3)
Not applicable.

(b)
A certification by the registrant’s chief executive officer and chief financial officer, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, is furnished and attached hereto as EX- 99.906CERT.




SIGNATURES

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

Registrant:
American Century California Tax-Free and Municipal Funds
 
 
 
 
 
By:
/s/ Jonathan S. Thomas
 
 
Name:
Jonathan S. Thomas
 
 
Title:
President
 
 
 
 
 
Date:
April 26, 2016
 

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/ Jonathan S. Thomas
 
Name:
Jonathan S. Thomas
 
Title:
President
 
 
(principal executive officer)
 
 
 
Date:
April 26, 2016


By:
/s/ C. Jean Wade
 
Name:
C. Jean Wade
 
Title:
Vice President, Treasurer, and
 
 
Chief Financial Officer
 
 
(principal financial officer)
 
 
 
Date:
April 26, 2016