Eaton Vance Municipal Bond Fund II

 

 

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

811-21219

Investment Company Act File Number

Eaton Vance Municipal Bond Fund II

(Exact Name of Registrant as Specified in Charter)

Two International Place, Boston, Massachusetts 02110

(Address of Principal Executive Offices)

Maureen A. Gemma

Two International Place, Boston, Massachusetts 02110

(Name and Address of Agent for Services)

(617) 482-8260

(Registrant’s Telephone Number, Including Area Code)

September 30

Date of Fiscal Year End

June 30, 2013

Date of Reporting Period

 

 

 

Item 1. Schedule of Investments

Eaton Vance

Municipal Bond Fund II

June 30, 2013

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Municipal Securities — 168.6%

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Education — 12.0%

      

Connecticut Health and Educational Facilities Authority, (Wesleyan University), 5.00%, 7/1/39(1)

    $     2,200       $ 2,318,184   

Houston, TX, Higher Education Finance Corp., (William Marsh Rice University), 5.00%, 5/15/35

      1,745         1,887,130   

Massachusetts Health and Educational Facilities Authority, (Harvard University), 5.50%, 11/15/36

      2,710         3,046,392   

New Jersey Educational Facilities Authority, (Georgian Court University), 5.25%, 7/1/37

      1,500         1,510,215   

New York Dormitory Authority, (Rockefeller University), 5.00%, 7/1/40(1)

      1,500         1,595,055   

North Carolina Capital Facilities Finance Agency, (Duke University), 5.00%, 10/1/38(1)

      500         547,875   

Tennessee School Bond Authority, 5.50%, 5/1/38

      1,000         1,108,830   

University of Virginia, 5.00%, 6/1/40

      1,500         1,594,095   

Vermont Educational and Health Buildings Financing Agency, (Middlebury College), 5.00%, 11/1/40

      750         797,858   
     

 

 

  
      $     14,405,634   
     

 

 

  

Electric Utilities — 3.0%

      

Pima County, AZ, Industrial Development Authority, (Tucson Electric Power Co.), 5.25%, 10/1/40

    $ 1,300       $ 1,307,683   

South Carolina Public Service Authority, (Santee Cooper), 5.50%, 1/1/38

      1,420         1,564,599   

Wyandotte County/Kansas City, KS, Unified Government Board of Public Utilities, 5.00%, 9/1/36

      685         719,161   
     

 

 

  
      $ 3,591,443   
     

 

 

  

General Obligations — 16.5%

      

Chicago Park District, IL, (Harbor Facilities), 5.25%, 1/1/37(1)

    $ 1,680       $ 1,789,250   

Delaware Valley, PA, Regional Finance Authority, 5.75%, 7/1/32

      2,500         2,671,025   

Frisco, TX, Independent School District, (PSF Guaranteed), 5.00%, 8/15/37

      1,280         1,375,398   

Hawaii, 5.00%, 12/1/29

      2,500         2,750,425   

Hawaii, 5.00%, 12/1/30

      1,000         1,093,330   

Mississippi, 5.00%, 10/1/36(1)

      1,725         1,852,736   

New York, 5.00%, 2/15/34(1)

      2,750         2,936,643   

New York, NY, 5.00%, 8/1/31

      3,500         3,792,215   

Oregon, 5.00%, 8/1/36

      1,000         1,092,350   

Virginia Beach, VA, 4.00%, 4/1/27

      220         229,876   

Virginia Beach, VA, 4.00%, 4/1/28

      230         238,073   
     

 

 

  
      $ 19,821,321   
     

 

 

  

Hospital — 4.6%

      

Camden County, NJ, Improvement Authority, (Cooper Health System), 5.00%, 2/15/35

    $ 870       $ 885,286   

Camden County, NJ, Improvement Authority, (Cooper Health System), 5.25%, 2/15/27

      545         561,388   

Hawaii Department of Budget and Finance, (Hawaii Pacific Health), 5.60%, 7/1/33

      500         500,250   

Highlands County, FL, Health Facilities Authority, (Adventist Health System), 5.25%, 11/15/36

      1,285         1,380,116   

Knox County, TN, Health, Educational and Housing Facilities Board, (Covenant Health), 0.00%, 1/1/38

      1,850         467,735   

 

 

1

 

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Knox County, TN, Health, Educational and Housing Facilities Board, (Covenant Health), 0.00%, 1/1/39

    $ 5,000       $ 1,189,250   

Orange County, FL, Health Facilities Authority, (Orlando Health, Inc.), 5.00%, 10/1/42

      500         510,090   
     

 

 

  
      $ 5,494,115   
     

 

 

  

Industrial Development Revenue — 2.0%

      

New York Liberty Development Corp., (Goldman Sachs Group, Inc.), 5.25%, 10/1/35

    $ 1,260       $ 1,347,683   

St. John Baptist Parish, LA, (Marathon Oil Corp.), 5.125%, 6/1/37

      1,010         1,014,121   
     

 

 

  
      $ 2,361,804   
     

 

 

  

Insured – Education — 7.1%

      

Massachusetts Development Finance Agency, (Boston University), (XLCA), 6.00%, 5/15/59

    $ 2,500       $ 2,879,025   

Miami-Dade County, FL, Educational Facilities Authority, (University of Miami), (AMBAC), (BHAC), 5.00%, 4/1/31

      1,555         1,660,802   

University of South Alabama, (BHAC), 5.00%, 8/1/38

      3,900         4,058,964   
     

 

 

  
      $ 8,598,791   
     

 

 

  

Insured – Electric Utilities — 7.8%

      

American Municipal Power-Ohio, Inc., OH, (Prairie State Energy Campus), (AGC), 5.75%, 2/15/39

    $ 1,000       $ 1,079,550   

Chelan County, WA, Public Utility District No. 1, (Columbia River), (NPFG), 0.00%, 6/1/23

      6,335         4,412,454   

Mississippi Development Bank, (Municipal Energy), (XLCA), 5.00%, 3/1/41

      2,205         2,146,832   

South Carolina Public Service Authority, (Santee Cooper), (BHAC), 5.50%, 1/1/38

      1,595         1,796,066   
     

 

 

  
      $ 9,434,902   
     

 

 

  

Insured – Escrowed/Prerefunded — 7.1%

      

Centre County, PA, Hospital Authority, (Mount Nittany Medical Center), (AGC), Prerefunded to 11/15/14, 6.125%, 11/15/39

    $ 1,695       $ 1,830,668   

Centre County, PA, Hospital Authority, (Mount Nittany Medical Center), (AGC), Prerefunded to 11/15/14, 6.25%, 11/15/44

      450         486,792   

Washington, (AGM), Prerefunded to 7/1/16, 5.00%, 7/1/25(1)

      5,500         6,187,885   
     

 

 

  
      $ 8,505,345   
     

 

 

  

Insured – General Obligations — 10.3%

      

Cincinnati, OH, City School District, (AGM), (FGIC), 5.25%, 12/1/30

    $ 750       $ 873,510   

Coast Community College District, CA, (Election of 2002), (AGM), 0.00%, 8/1/33

      17,000         5,883,530   

Goodyear, AZ, (NPFG), 3.00%, 7/1/26

      1,350         1,270,499   

Palm Springs, CA, Unified School District, (Election of 2008), (AGC), 5.00%, 8/1/33

      2,750         2,920,032   

Philadelphia, PA, (AGC), 7.00%, 7/15/28

      1,250         1,415,250   
     

 

 

  
      $     12,362,821   
     

 

 

  

Insured – Hospital — 20.4%

      

Arizona Health Facilities Authority, (Banner Health), (BHAC), 5.375%, 1/1/32

    $ 1,750       $ 1,855,770   

California Statewide Communities Development Authority, (Sutter Health), (AGM), 5.05%, 8/15/38(1)

      1,500         1,532,520   

Colorado Health Facilities Authority, (Catholic Health), (AGM), 5.10%, 10/1/41(1)

      2,200         2,223,782   

Highlands County, FL, Health Facilities Authority, (Adventist Health System), (BHAC), 5.25%, 11/15/36(1)

      3,000         3,222,060   

Highlands County, FL, Health Facilities Authority, (Adventist Health System), (NPFG), 5.00%, 11/15/35

      1,490         1,504,051   

Illinois Finance Authority, (Children’s Memorial Hospital), (AGC), 5.25%, 8/15/47(1)

      2,500         2,530,850   

 

2

 

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Indiana Health and Educational Facility Finance Authority, (Sisters of St. Francis Health Services), (AGM), 5.25%, 5/15/41(1)

    $ 750       $ 764,213   

Indiana Health and Educational Facility Finance Authority, (Sisters of St. Francis Health Services), (AGM), 5.25%, 5/15/41

      1,750         1,783,162   

Maricopa County, AZ, Industrial Development Authority, (Catholic Healthcare West), (BHAC), 5.25%, 7/1/32

          2,090         2,268,841   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series V, (AGC), 5.00%, 7/1/38(1)

      500         509,190   

New Jersey Health Care Facilities Financing Authority, (Virtua Health), (AGC), 5.50%, 7/1/38

      2,245         2,335,069   

Washington Health Care Facilities Authority, (MultiCare Health System), (AGC), 6.00%, 8/15/39

      1,545         1,678,967   

Washington Health Care Facilities Authority, (Providence Health Care), (AGM), 5.25%, 10/1/33

      2,300         2,389,240   
     

 

 

  
      $ 24,597,715   
     

 

 

  

Insured – Industrial Development Revenue — 1.2%

      

Pennsylvania Economic Development Financing Authority, (Aqua Pennsylvania, Inc.), (BHAC), 5.00%, 10/1/39

    $ 1,340       $ 1,407,402   
     

 

 

  
      $ 1,407,402   
     

 

 

  

Insured – Lease Revenue/Certificates of Participation — 5.9%

      

Essex County, NJ, Improvement Authority, (NPFG), 5.50%, 10/1/30

    $ 1,000       $ 1,178,730   

New Jersey Economic Development Authority, (School Facilities Construction), (AGC), 5.50%, 12/15/34

      875         971,618   

San Diego County, CA, Water Authority, Certificates of Participation, (AGM), 5.00%, 5/1/38(1)

      3,250         3,420,690   

Tri-Creek Middle School Building Corp., IN, (AGM), 5.25%, 1/15/34(1)

      1,500         1,555,740   
     

 

 

  
      $ 7,126,778   
     

 

 

  

Insured – Other Revenue — 1.6%

      

Harris County-Houston, TX, Sports Authority, (NPFG), 0.00%, 11/15/34

    $ 2,540       $ 738,454   

New York, NY, Industrial Development Agency, (Yankee Stadium), (AGC), 7.00%, 3/1/49

      1,000         1,184,880   
     

 

 

  
      $ 1,923,334   
     

 

 

  

Insured – Solid Waste — 1.1%

      

Palm Beach County, FL, Solid Waste Authority, (BHAC), 5.00%, 10/1/24

    $ 740       $ 844,096   

Palm Beach County, FL, Solid Waste Authority, (BHAC), 5.00%, 10/1/26

      425         473,565   
     

 

 

  
      $ 1,317,661   
     

 

 

  

Insured – Special Tax Revenue — 2.5%

      

Miami-Dade County, FL, Professional Sports Franchise Facilities, (AGC), 7.00%, (0.00% until 10/1/19), 10/1/39

    $ 3,000       $ 2,359,110   

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/45

      4,440         636,829   
     

 

 

  
      $ 2,995,939   
     

 

 

  

Insured – Student Loan — 1.3%

      

Maine Educational Loan Authority, (AGC), 5.625%, 12/1/27

    $ 1,440       $ 1,555,344   
     

 

 

  
      $ 1,555,344   
     

 

 

  

Insured – Transportation — 23.5%

      

Clark County, NV, (Las Vegas-McCarran International Airport), (AGM), 5.25%, 7/1/39

    $ 1,585       $ 1,677,992   

E-470 Public Highway Authority, CO, (NPFG), 0.00%, 9/1/22

      7,800         5,186,766   

Manchester, NH, (Manchester-Boston Regional Airport), (AGM), 5.125%, 1/1/30

      1,305         1,366,426   

Maryland Transportation Authority, (AGM), 5.00%, 7/1/41(1)

      10,000         10,430,400   

 

3

 

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Metropolitan Washington, D.C., Airports Authority, (BHAC), 5.00%, 10/1/24

    $ 1,000       $ 1,134,660   

Metropolitan Washington, D.C., Airports Authority, (BHAC), 5.00%, 10/1/29

      535         576,141   

Nevada Department of Business and Industry, (Las Vegas Monorail -1st Tier), (AMBAC), 0.00%, 1/1/20(2)

      13,885         1,367,117   

New Jersey Transportation Trust Fund Authority, (AGC), 5.50%, 12/15/38

      1,040         1,146,309   

North Carolina Turnpike Authority, (Triangle Expressway System), (AGC), 5.50%, 1/1/29

      255         277,420   

North Carolina Turnpike Authority, (Triangle Expressway System), (AGC), 5.75%, 1/1/39

      290         316,364   

North Texas Tollway Authority, (BHAC), 5.75%, 1/1/48

      1,750         1,949,167   

Pennsylvania Turnpike Commission, (AGM), 5.25%, 7/15/30

          2,540         2,785,720   
     

 

 

  
   $     28,214,482   
     

 

 

  

Insured – Water and Sewer — 8.5%

      

Bossier City, LA, Utilities Revenue, (BHAC), 5.25%, 10/1/26

    $ 670       $ 722,461   

Bossier City, LA, Utilities Revenue, (BHAC), 5.25%, 10/1/27

      420         461,408   

Bossier City, LA, Utilities Revenue, (BHAC), 5.50%, 10/1/38

      660         731,247   

Chicago, IL, Wastewater Transmission Revenue, (BHAC), 5.50%, 1/1/38

      1,635         1,793,137   

District of Columbia Water and Sewer Authority, (AGC), 5.00%, 10/1/34(1)

      1,250         1,351,063   

Houston, TX, Utility System, (AGM), (BHAC), 5.00%, 11/15/33

      435         466,772   

Massachusetts Water Resources Authority, (AGM), 5.25%, 8/1/35

      1,000         1,143,110   

New York, NY, Municipal Water Finance Authority, (BHAC), 5.75%, 6/15/40

      2,205         2,504,682   

Pearland, TX, Waterworks and Sewer Systems, (NPFG), 3.50%, 9/1/31

      1,220         1,110,688   
     

 

 

  
      $     10,284,568   
     

 

 

  

Lease Revenue/Certificates of Participation — 6.6%

      

New Jersey Health Care Facilities Financing Authority, (Hospital Asset Transformation Program), 5.75%, 10/1/31

    $     2,235       $ 2,538,155   

North Carolina, Capital Improvement Limited Obligation Bonds, 5.00%, 5/1/30

      5,000         5,431,600   
     

 

 

  
      $ 7,969,755   
     

 

 

  

Other Revenue — 1.8%

      

Oregon Department of Administrative Services, Lottery Revenue, 5.25%, 4/1/30

    $ 1,300       $ 1,475,058   

Texas Municipal Gas Acquisition and Supply Corp. III, Gas Supply Revenue, 5.00%, 12/15/29

      125         125,527   

Texas Municipal Gas Acquisition and Supply Corp. III, Gas Supply Revenue, 5.00%, 12/15/32

      620         614,538   
     

 

 

  
      $ 2,215,123   
     

 

 

  

Senior Living/Life Care — 0.2%

      

Maryland Health and Higher Educational Facilities Authority, (Charlestown Community, Inc.), 6.125%, 1/1/30

    $ 235       $ 253,821   
     

 

 

  
      $ 253,821   
     

 

 

  

Special Tax Revenue — 8.8%

      

Homewood, AL, City Board of Education, 5.00%, 4/1/32

    $ 1,880       $ 1,996,052   

Illinois, Sales Tax Revenue, 5.00%, 6/15/31

      425         452,837   

Illinois, Sales Tax Revenue, 5.00%, 6/15/32

      405         429,831   

Illinois, Sales Tax Revenue, 5.00%, 6/15/33

      435         461,061   

Maryland State Department of Transportation, 5.00%, 2/15/28

      1,500         1,676,085   

Massachusetts Bay Transportation Authority, Sales Tax Revenue, 5.25%, 7/1/33

      750         858,630   

Michigan Trunk Line Fund, 5.00%, 11/15/30

      110         119,558   

Michigan Trunk Line Fund, 5.00%, 11/15/31

      125         135,488   

Michigan Trunk Line Fund, 5.00%, 11/15/33

      105         113,185   

Michigan Trunk Line Fund, 5.00%, 11/15/36

      80         85,528   

New York, NY, Transitional Finance Authority, Future Tax Revenue, 5.50%, 11/1/35(1)(3)

      3,800         4,223,130   
     

 

 

  
      $ 10,551,385   
     

 

 

  

 

4

 

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Transportation — 11.6%

      

Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/35

    $ 1,715       $ 1,809,394   

Los Angeles, CA, Department of Airports, (Los Angeles International Airport), 5.25%, 5/15/28

      465         505,172   

Metropolitan Transportation Authority, NY, 5.25%, 11/15/38

      865         905,525   

Miami-Dade County, FL, (Miami International Airport), 5.00%, 10/1/41

      2,115         2,169,186   

New York Liberty Development Corp., (4 World Trade Center), 5.00%, 11/15/31

      1,070         1,128,347   

New York Thruway Authority, 5.00%, 1/1/37

      310         325,776   

New York Thruway Authority, 5.00%, 1/1/42

      445         463,138   

Orlando-Orange County, FL, Expressway Authority, Series A, 5.00%, 7/1/35

      420         438,144   

Orlando-Orange County, FL, Expressway Authority, Series A, 5.00%, 7/1/40

      375         388,901   

Port Authority of New York and New Jersey, 4.00%, 7/15/32(1)

      1,400         1,387,078   

South Carolina Transportation Infrastructure Bank, 5.25%, 10/1/40

      1,000         1,072,830   

Texas Transportation Commission, (Central Texas Turnpike System), 5.00%, 8/15/41

      705         708,039   

Triborough Bridge and Tunnel Authority, NY, 5.00%, 11/15/37

      2,500         2,604,100   
     

 

 

  
      $ 13,905,630   
     

 

 

  

Water and Sewer — 3.2%

      

Chicago, IL, Water Revenue, 5.00%, 11/1/42

    $     1,000       $ 1,043,940   

Detroit, MI, Sewage Disposal System, 5.00%, 7/1/32

      215         208,081   

Detroit, MI, Sewage Disposal System, 5.25%, 7/1/39

      380         369,497   

Detroit, MI, Water Supply System, 5.25%, 7/1/41

      300         291,432   

Marco Island, FL, Utility System, 5.00%, 10/1/34

      205         214,764   

Marco Island, FL, Utility System, 5.00%, 10/1/40

      910         946,418   

New York, NY, Municipal Water Finance Authority, (Water and Sewer System), 5.00%, 6/15/37

      720         751,191   
     

 

 

  
      $ 3,825,323   
     

 

 

  

Total Tax-Exempt Municipal Securities — 168.6%
(identified cost $201,857,120)

       $     202,720,436   
     

 

 

  

Corporate Bonds & Notes — 0.1%

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Municipal — 0.1%

      

Las Vegas Monorail Co., Jr. Subordinated Notes, 3.00% to 12/31/15,
5.50%, 7/15/55(4)(5)

    $ 47       $ 0   

Las Vegas Monorail Co., Sr. Secured Notes, 5.50%, 7/15/19(4)(5)

      160         79,937   
     

 

 

  

Total Corporate Bonds & Notes — 0.1%
(identified cost $3,931)

       $ 79,937   
     

 

 

  

Total Investments — 168.7%
(identified cost $201,861,051)

       $ 202,800,373   
     

 

 

  

Auction Preferred Shares Plus Cumulative Unpaid Dividends — (37.2)%

       $ (44,701,046 ) 
     

 

 

  

Other Assets, Less Liabilities — (31.5)%

       $ (37,851,426 ) 
     

 

 

  

Net Assets Applicable to Common Shares — 100.0%

       $     120,247,901   
     

 

 

  

 

5

 

 

The percentage shown for each investment category in the Portfolio of Investments is based on net assets applicable to common shares.

 

AGC

   -   Assured Guaranty Corp.

AGM

   -   Assured Guaranty Municipal Corp.

AMBAC

   -   AMBAC Financial Group, Inc.

BHAC

   -   Berkshire Hathaway Assurance Corp.

FGIC

   -   Financial Guaranty Insurance Company

NPFG

   -   National Public Finance Guaranty Corp.

PSF

   -   Permanent School Fund

XLCA

   -   XL Capital Assurance, Inc.

At June 30, 2013, the concentration of the Fund’s investments in the various states, determined as a percentage of total investments, is as follows:

 

                        

New York

      12.4 % 

Others, representing less than 10% individually

      87.6 % 

The Fund invests primarily in debt securities issued by municipalities. The ability of the issuers of the debt securities to meet their obligations may be affected by economic developments in a specific industry or municipality. In order to reduce the risk associated with such economic developments, at June 30, 2013, 58.3% of total investments are backed by bond insurance of various financial institutions and financial guaranty assurance agencies. The aggregate percentage insured by an individual financial institution ranged from 0.4% to 21.9% of total investments.

 

(1) Security represents the municipal bond held by a trust that issues residual interest bonds.

 

(2) Defaulted security. Issuer has defaulted on the payment of interest or has filed for bankruptcy.

 

(3) Security (or a portion thereof) has been pledged as collateral for residual interest bond transactions. The aggregate value of such collateral is $1,373,130.

 

(4) For fair value measurement disclosure purposes, security is categorized as Level 3.

 

(5) Represents a payment-in-kind security which may pay all or a portion of interest in additional par.

A summary of open financial instruments at June 30, 2013 is as follows:

Futures Contracts

 

Expiration
Month/Year		   

Contracts

    Position    Aggregate Cost     Value     Net Unrealized
Appreciation		  
9/13    58 U.S. Long Treasury Bond    Short    $     (8,157,051 )    $     (7,878,938 )    $     278,113   

At June 30, 2013, the Fund had sufficient cash and/or securities to cover commitments under these contracts.

The Fund is subject to interest rate risk in the normal course of pursuing its investment objective. Because the Fund holds fixed-rate bonds, the value of these bonds may decrease if interest rates rise. The Fund purchases and sells U.S. Treasury futures contracts to hedge against changes in interest rates.

At June 30, 2013, the aggregate fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) in an asset position and whose primary underlying risk exposure is interest rate risk was $278,113.

The cost and unrealized appreciation (depreciation) of investments of the Fund at June 30, 2013, as determined on a federal income tax basis, were as follows:

 

Aggregate cost

    $     160,095,652   
  

 

 

  

Gross unrealized appreciation

    $ 10,644,764   

Gross unrealized depreciation

      (9,825,043 ) 
  

 

 

  

Net unrealized appreciation

    $ 819,721   
  

 

 

  

 

6

 

 

Under generally accepted accounting principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

•  

Level 1 — quoted prices in active markets for identical investments

 

•  

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

 

•  

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

In cases where the inputs used to measure fair value fall in different levels of the fair value hierarchy, the level disclosed is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

At June 30, 2013, the hierarchy of inputs used in valuing the Fund’s investments and open derivative instruments, which are carried at value, were as follows:

 

Asset Description    Level 1      Level 2      Level 3*      Total  

Tax-Exempt Municipal Securities

    $ —       $ 202,720,436       $ —       $ 202,720,436   

Corporate Bonds & Notes

      —         —         79,937         79,937   

Total Investments

    $ —       $ 202,720,436       $ 79,937       $ 202,800,373   

Futures Contracts

    $ 278,113       $ —       $ —       $ 278,113   

Total

    $     278,113       $     202,720,436       $     79,937       $     203,078,486   

 

* None of the unobservable inputs for Level 3 assets, individually or collectively, had a material impact on the Fund.

Level 3 investments at the beginning and/or end of the period in relation to net assets were not significant and accordingly, a reconciliation of Level 3 assets for the fiscal year to date ended June 30, 2013 is not presented.

At June 30, 2013, there were no investments transferred between Level 1 and Level 2 during the fiscal year to date then ended.

For information on the Fund’s policy regarding the valuation of investments and other significant accounting policies, please refer to the Fund’s most recent financial statements included in its semiannual or annual report to shareholders.

 

7

 

 

Item 2. Controls and Procedures

(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.

(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

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.

Eaton Vance Municipal Bond Fund II

 

By:   /s/ Thomas M. Metzold
  Thomas M. Metzold
  President
Date:   August 26, 2013

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/ Thomas M. Metzold
  Thomas M. Metzold
  President
Date:   August 26, 2013

 

By:   /s/ James F. Kirchner
  James F. Kirchner
  Treasurer
Date:   August 26, 2013