BFZ

BlackRock California Municipal Income Trust is a closed-end management investment company that seeks to provide high current income exempt from federal income taxes and California personal income tax by investing primarily in California municipal bonds. Managed by BlackRock Advisors, LLC, the fund maintains a portfolio of investment-grade and below-investment-grade municipal securities issued by or on behalf of the State of California and its political subdivisions, agencies, and instrumentalities. This California-focused strategy serves California residents seeking tax-advantaged income from both federal and state tax exemption. The fund's portfolio includes California municipal bonds issued for various purposes including infrastructure projects, school construction, water and sewer systems, transportation, hospitals, and other public purposes. The double tax-exempt nature of the income (exempt from both federal and California state income taxes) provides significant after-tax yield advantages for California residents, particularly those in high tax brackets. The fund's investment team conducts credit analysis across the credit spectrum, including high-yield municipal bonds that offer higher yields but carry greater credit risk. As a closed-end fund, BlackRock California Municipal Income Trust issues a fixed number of shares that trade on exchanges, often at premiums or discounts to the fund's net asset value (NAV). The fund employs leverage through borrowings, tender option bonds, or other financial instruments to potentially enhance returns and income generation, though leverage also increases risk and interest rate sensitivity. The trust provides monthly distributions of tax-exempt income to shareholders. The fund particularly appeals to California residents in higher tax brackets who benefit most from the double tax exemption, offering attractive tax-equivalent yields. The fund's performance is influenced by California fiscal conditions, interest rate movements, and overall municipal credit market dynamics.