Company: MYI
Filing Date: 2025-07-16
Form Type: N-14 8C
Source: 0001193125-25-159991
Chunk: 211

Company: BLACKROCK MUNIYIELD QUALITY FUND III, INC.
Filing Date: 2025-07-16
Form: N-14 8C
Chunk 211
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 sold prior to such downgrade.

100

MVF may also purchase MVF Municipal Bonds that are additionally secured by insurance, bank credit agreements
or escrow accounts. The credit quality of companies which provide these credit enhancements will affect the value of those securities. Although the insurance feature reduces certain financial risks, the premiums for insurance and the higher market
price paid for insured obligations may reduce MVF’s income. The insurance feature does not guarantee the market value of the insured obligations or the net asset value of the common stock. MVF may purchase insured bonds and may purchase
insurance for bonds in its portfolio.

MVF may invest in certain tax exempt securities classified as PABs (in general, bonds that benefit non-governmental entities) that may subject certain investors in MVF to an alternative minimum tax. The percentage of MVF’s total assets invested in PABs will vary from time to time. MVF has not established any
limit on the percentage of its portfolio that may be invested in MVF Municipal Bonds subject to the federal alternative minimum tax provisions of federal tax law, and MVF expects that a portion of the income it produces will be includable in
alternative minimum taxable income.

MVF also may not invest more than 25% of its total assets (taken at market value at the time of each investment) in
MVF Municipal Bonds whose issuers are located in the same state.

The average maturity of MVF’s portfolio securities varies from time to time based
upon an assessment of economic and market conditions by the Investment Advisor. MVF’s portfolio at any given time may include both long-term, intermediate-term and short-term MVF Municipal Bonds.

MVF’s stated expectation is that it will invest in MVF Municipal Bonds that, in the Investment Advisor’s opinion, are underrated or undervalued.
Underrated MVF Municipal Bonds are those whose ratings do not, in the opinion of the Investment Advisor, reflect their true higher creditworthiness. Undervalued MVF Municipal Bonds are bonds that, in the opinion of the Investment Advisor, are worth
more than the value assigned to them in the marketplace. The Investment Advisor may at times believe that bonds associated with a particular municipal market sector (for example, but not limited to electric utilities), or issued by a particular
municipal issuer, are undervalued. The Investment Advisor may purchase those bonds for MVF’s portfolio because they represent a market sector or issuer that the Investment Advisor considers undervalued, even if the value of those particular
bonds appears