-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, UMhHSUH/Wmnr2qPPLPWrEId9k3zRowIy/aHC1VGsXaHzQe/cFCz/WZpBS8LL5Cpk CtWOmLltymuB6BVrvXYYgQ== 0000891804-05-000934.txt : 20050309 0000891804-05-000934.hdr.sgml : 20050309 20050309120246 ACCESSION NUMBER: 0000891804-05-000934 CONFORMED SUBMISSION TYPE: N-CSRS PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20041231 FILED AS OF DATE: 20050309 DATE AS OF CHANGE: 20050309 EFFECTIVENESS DATE: 20050309 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NUVEEN INSURED FLORIDA TAX FREE ADVANTAGE MUNICIPAL FUND CENTRAL INDEX KEY: 0001196362 IRS NUMBER: 362639476 STATE OF INCORPORATION: MA FILING VALUES: FORM TYPE: N-CSRS SEC ACT: 1940 Act SEC FILE NUMBER: 811-21215 FILM NUMBER: 05668567 BUSINESS ADDRESS: STREET 1: 333 W WACKER DR CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: 3129178146 N-CSRS 1 file001.txt NUVEEN INSURED FLORIDA TAX-FREE ADV MUNI FUND 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 811-21215 --------------------- Nuveen Insured Florida Tax-Free Advantage Municipal Fund ------------------------------------------------------------------------------ (Exact name of registrant as specified in charter) Nuveen Investments 333 West Wacker Drive Chicago, IL 60606 - ------------------------------------------------------------------------------ (Address of principal executive offices) (Zip code) Jessica R. Droeger Nuveen Investments 333 West Wacker Drive Chicago, IL 60606 - ------------------------------------------------------------------------------ (Name and address of agent for service) Registrant's telephone number, including area code: (312) 917-7700 ------------------- Date of fiscal year end: June 30 ------------------ Date of reporting period: December 31, 2004 ------------------ Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles. A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507. ITEM 1. REPORTS TO STOCKHOLDERS. SEMIANNUAL REPORT December 31, 2004 Nuveen Investments Municipal Closed-End Exchange-Traded Funds NUVEEN FLORIDA INVESTMENT QUALITY MUNICIPAL FUND NQF NUVEEN FLORIDA QUALITY INCOME MUNICIPAL FUND NUF NUVEEN INSURED FLORIDA PREMIUM INCOME MUNICIPAL FUND NFL NUVEEN INSURED FLORIDA TAX-FREE ADVANTAGE MUNICIPAL FUND NWF Photo of: Man and woman sitting on porch. Photo of: 2 children sitting in the grass. DEPENDABLE, TAX-FREE INCOME BECAUSE IT'S NOT WHAT YOU EARN, IT'S WHAT YOU KEEP.(R) Logo: NUVEEN Investments Photo of: Woman Photo of: Man and child Photo of: Woman NOW YOU CAN RECEIVE YOUR NUVEEN FUND REPORTS FASTER. NO MORE WAITING. SIGN UP TODAY TO RECEIVE NUVEEN FUND INFORMATION BY E-MAIL. It only takes a minute to sign up for E-Reports. Once enrolled, you'll receive an e-mail as soon as your Nuveen Investments Fund information is ready -- no more waiting for delivery by regular mail. Just click on the link within the e-mail to see the report, and save it on your computer if you wish. ------------------ DELIVERY DIRECT TO YOUR E-MAIL INBOX ------------------ IT'S FAST, EASY & FREE: WWW.INVESTORDELIVERY.COM if you get your Nuveen Fund dividends and statements from your financial advisor or brokerage account. OR WWW.NUVEEN.COM/ACCOUNTACCESS if you get your Nuveen Fund dividends and statements directly from Nuveen. (Be sure to have the address sheet that accompanied this report handy. You'll need it to complete the enrollment process.) Logo: NUVEEN Investments Timothy R. Schwertfeger Chairman of the Board Photo of: Timothy R. Schwertfeger Chairman's LETTER TO SHAREHOLDERS I am pleased to report that over the six-month period covered by this semiannual report your Fund continued to provide you with monthly tax-free income and an attractive total return. For more details about the management strategy and performance of your Fund, please see the Portfolio Managers' Perspective and Performance Overview sections of this report. As I noted in my last letter to you, our conversations with financial advisors and investors suggest that many of you may be wondering whether long-term interest rates will soon begin to rise substantially, how high they might go, and whether that makes this a good time to adjust your holdings of fixed-income investments. We can't answer that question for you - no one knows what the future will bring. "OUR MISSION CONTINUES TO BE TO ASSIST YOU AND YOUR FINANCIAL ADVISOR BY OFFERING INVESTMENT SERVICES AND PRODUCTS THAT CAN HELP YOU TO SECURE YOUR FINANCIAL OBJECTIVES." From our experience, what we do know is that a well-balanced portfolio, structured and carefully monitored with the help of a trusted investment professional, can be an important component in achieving your long-term financial goals. In fact, a well-diversified portfolio may actually help to reduce your overall investment risk. That is one reason why we believe that a municipal bond investment like your Nuveen Fund can be an important building block in a comprehensive investment program designed to perform well in a variety of market conditions. As in past reports, I'd also like to direct your attention to the inside front cover, which explains the quick and easy process to begin receiving these Fund reports via e-mail and the internet. Thousands of Nuveen Fund shareholders already have signed-up, and they are getting their Fund information faster and more conveniently than ever. I urge you to consider joining them. At Nuveen Investments, our mission continues to be to assist you and your financial advisor by offering investment services and products that can help you to secure your financial objectives. We are grateful that you have chosen us as a partner as you pursue your financial goals, and we look forward to continuing to earn your trust in the months and years ahead. Sincerely, /s/ Timothy R. Schwertfeger Timothy R. Schwertfeger Chairman of the Board February 15, 2005 Nuveen Florida Municipal Closed-End Exchange-Traded Funds (NQF, NUF, NFL, NWF) Portfolio Managers' PERSPECTIVE Portfolio managers Dan Solender and Cathryn Steeves discuss key investment strategies and the semiannual performance of these four Florida Funds. With thirteen years of investment experience, including nine at Nuveen, Dan assumed portfolio management responsibility for NQF and NUF in November 2003 and for NFL and NWF in May 2004. In January 2005, Dan turned over management responsibility for NQF and NUF to Cathryn, who has been with Nuveen since 1996. WHAT KEY STRATEGIES WERE USED TO MANAGE THESE FUNDS DURING THE SIX MONTHS ENDED DECEMBER 31, 2004? Between June and December 2004, the Federal Reserve announced five quarter-point increases in the fed funds rate, raising this short-term interest rate benchmark to 2.25% from 1%. (On February 2, 2005, after the close of this reporting period, the Federal Reserve raised the fed funds rate by another 0.25% to 2.50%.) At the same time, long-term municipal interest rates trended lower. In this flattening yield curve environment, our focus centered on finding bonds that we believed had the potential to add value to the Funds' portfolios and perform well under a variety of market scenarios. In general, our purchase activity over this period centered on securities in the intermediate part of the yield curve (that is, bonds that mature in 15 to 20 years). In many cases, bonds in this part of the curve offered yields similar to those of longer-term bonds with less inherent interest rate risk (the risk that the value of a Fund's portfolio will decline if market interest rates rise, since bond prices move in the opposite direction of interest rates). In addition, in NQF and NUF we took advantage of opportunities to selectively trim some of our nonrated holdings, particularly nonrated multifamily housing bonds. We then reinvested the proceeds from these sales largely into insured credits. Because lower-rated bonds performed well in 2004, demand -- and bids -- for these bonds improved, and we were able to obtain what we believed were attractive prices for the bonds we sold, while also reducing some of our more concentrated positions and improving the Funds' diversification. At the same time, our purchases of insured bonds enhanced the overall credit quality of these Funds' portfolios. One of our longer-term goals is to position each of these Funds so that they provide return variability and interest rate risk exposure roughly comparable to the variability and risk of the markets in which they invest. As one strategy to reach this goal for NWF, we 4 attempted to manage some of its inherent interest rate risk by utilizing interest rate swaps to hedge some of this risk. Our only objective with this hedge was to reduce the duration of the Fund without having a negative impact on its income stream or dividend-paying capability over the short-term. The cost of the hedge is reflected as an addition or subtraction from the Fund's net asset value as the value of the hedge fluctuates. While the hedge position did mitigate some of the Fund's exposure to interest rate risk, it had a negative impact on the Fund's performance for the period ended December 31, 2004, because long-term interest rates fell and bond prices rose during the period in which the hedge was in place. However, this loss in value was at least partly offset by the fact that some of the municipal bonds in the Fund's portfolio, because they had longer-than-target durations, increased in value by more as a result of these interest rate decreases than they would have if the they had had durations closer to the target. HOW DID THE FUNDS PERFORM? Individual results for the Funds, as well as for comparative indexes, are presented in the accompanying table. TOTAL RETURNS ON NET ASSET VALUE* For periods ended 12/31/04 FLORIDA FUNDS 6-MONTH 1-YEAR 5-YEAR 10-YEAR - -------------------------------------------------------------------------------- NQF 7.73% 6.42% 9.16% 7.50% - -------------------------------------------------------------------------------- NUF 8.22% 6.82% 8.54% 7.56% - -------------------------------------------------------------------------------- Lehman Brothers Municipal Bond Index1 5.19% 4.48% 7.20% 7.06% - -------------------------------------------------------------------------------- Lipper Florida Municipal Debt Funds average2 7.47% 5.62% 9.03% 7.84% - -------------------------------------------------------------------------------- INSURED FLORIDA FUNDS - -------------------------------------------------------------------------------- NFL 7.45% 5.36% 9.55% 8.65% - -------------------------------------------------------------------------------- NWF 8.27% 5.75% NA NA - -------------------------------------------------------------------------------- Lehman Brothers Insured Municipal Bond Index1 5.43% 4.54% 7.70% 7.31% - -------------------------------------------------------------------------------- Lipper Florida Municipal Debt Funds average2 7.47% 5.62% 9.03% 7.84% - -------------------------------------------------------------------------------- *Six-month returns are cumulative; returns for one year, five years and ten years are annualized. Past performance does not guarantee future results. Returns do not reflect the deduction of taxes that a shareholder may have to pay on Fund distributions or upon the sale of Fund shares. For additional information, see the individual Performance Overview for your Fund in this report. 1 The Lehman Brothers Municipal Bond Index is an unleveraged, unmanaged national index comprising a broad range of investment-grade municipal bonds, while the Lehman Insured Municipal Bond Index is an unleveraged, unmanaged national index containing a broad range of insured municipal bonds. Results for the Lehman indexes do not reflect any expenses. 2 The Lipper Florida Municipal Debt Funds category average is calculated using the returns of all closed-end exchange-traded funds in this category for each period as follows: 6 months, 18 funds; 1 year, 18 funds; 5 years, 12 funds; and 10 years, 10 funds. Fund and Lipper returns assume reinvestment of dividends. 5 For the six months ended December 31, 2004, the cumulative returns on NAV for NQF and NUF outperformed the return on the Lehman Brothers Municipal Bond Index, while the two insured Funds -- NFL and NWF -- beat the return on the Lehman Brothers Insured Municipal Bond Index. NQF, NUF and NWF also outperformed the average return for the Lipper Florida peer group for this period, while NFL performed in line with this measure. One of the primary factors benefiting the six-month performances of these Funds relative to the two unmanaged Lehman Brothers indexes was the Funds' use of financial leverage. While leveraging can add volatility to a Fund's NAV and share price, especially during periods of rising interest rates, this strategy can also provide opportunities for additional income and total returns for common shareholders when short-term interest rates remain relatively low and long-term rates fall or remain relatively constant, as they did during this reporting period. As discussed earlier, one of our key strategies over this six-month period involved working to enhance the Funds' yield curve positioning by purchasing intermediate-term bonds. As a result of this effort, we believe that all of these Funds were relatively well positioned for the rate environment of this period. This also played a role in their outperformance relative to the Lehman indexes. In contrast, NFL had a relatively large exposure to shorter duration securities over this period. This detracted somewhat from its performance. Among the Funds' holdings making positive contributions to their cumulative returns during this six-month period were healthcare sector bonds, especially hospital credits. This sector ranked second in terms of performance among the Lehman municipal revenue sectors for this six-month period. NQF and NUF in particular benefited from the strong performance of hospital credits, including holdings such as Orange County Health for Adventist Health System and Pinellas County for Baycare Health System. Both NQF and NUF also benefited from their allocations of lower quality bonds, which generally outperformed other credit quality sectors as the economy improved. Among these holdings, NQF held a 1% position in bonds issued by Puerto Rico and backed by the 1998 master tobacco settlement agreement. These bonds produced exceptionally 6 strong results during this period, as the litigation environment seemed to improve and a relative lack of supply faced continued strong demand. NWF, which can invest up to 20% of its assets in uninsured investment-grade quality securities, saw its performance for the 6-month period enhanced by its allocation to AA and A rated bonds (2% and 9%, respectively, as of December 31, 2004). HOW ABOUT THE FUNDS' DIVIDENDS AND SHARE PRICES? As short-term interest rates remained relatively low throughout this reporting period, the leveraged structures of these four Funds continued to help support their dividend-paying capabilities. The extent of this benefit is tied in part to the short-term rates these Funds pay their MuniPreferred(R) shareholders. During periods of low short-term rates, leveraged Funds generally pay lower dividends to their MuniPreferred shareholders, which can leave more earnings to support common share dividends. This strategy helped to maintain the dividend of NFL throughout the reporting period. However, as part of our efforts to reduce credit risk in NQF and NUF during this period, we sold selected lower-rated bonds with higher embedded yields in order to increase the Funds' weightings in insured credits. This reduced these Funds' income streams and led to a dividend cut in each Fund in December 2004. In NWF, which was initially invested during the low interest rate environment of late 2002, continued relatively low intermediate- and long-term rates over the past two years have meant fewer opportunities to make trades that would enhance this Fund's income. This necessitated two dividend cuts in NWF as short-term rates rose during this reporting period. All of these Funds seek to pay stable dividends at rates that reflect each Fund's past results and projected future performance. During certain periods, each Fund may pay dividends at a rate that may be more or less than the amount of net investment income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it holds the excess in reserve as undistributed net investment income (UNII) as part of the Fund's NAV. Conversely, if a Fund has cumulatively paid dividends in excess of its earnings, the excess constitutes negative UNII that is likewise reflected in the Fund's NAV. Each Fund will, over time, pay all of its net investment income as dividends to shareholders. As of December 31, 2004, NQF, NUF 7 and NFL had positive UNII balances for both financial statement and tax purposes. NWF had a negative UNIIbalances for both financial statement and tax purposes. As of December 31, 2004, the Funds were trading at premiums or discounts to their net asset values as shown in the accompanying chart. FUND 12/31 PREM/DISC PERIOD AVG. PREM/DISC - -------------------------------------------------------------------------------- NQF -1.49% 0.14% - -------------------------------------------------------------------------------- NUF 0.19% -1.84% - -------------------------------------------------------------------------------- NFL -0.50% -3.01% - -------------------------------------------------------------------------------- NWF -6.56% -1.64% - -------------------------------------------------------------------------------- HOW WERE THE FUNDS POSITIONED IN TERMS OF CREDIT QUALITY AND BOND CALLS AS OF DECEMBER 31, 2004? We continued to believe that, given the current geopolitical and economic climate, maintaining strong credit quality was an important requirement. As of December 31, 2004, NQF and NUF continued to offer excellent credit quality, with allocations of bonds rated AAA/U.S. guaranteed and AA comprising 84% of NQF's portfolio and 80% in NUF. NFL continued to be 100% invested in insured and/or U.S. guaranteed securities, while NWF, which can invest up to 20% of its assets in uninsured investment-grade quality securities, had allocated 88% of its portfolio to insured bonds as of December 31, 2004. At the end of December 2004, potential call exposure in these four Funds during 2005 and 2006 ranged from 0% in NWF to 8% in both NQF and NUF to 14% in NFL. The number of actual bond calls in all of these Funds depends largely on future market interest rates. 8 Nuveen Florida Investment Quality Municipal Fund NQF Performance OVERVIEW As of December 31, 2004 NQF Pie Chart: Credit Quality (as a % of total investments) AAA/U.S. Guaranteed 71% AA 13% A 10% BBB 4% NR 2% Bar Chart: 2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE Jan 0.0845 Feb 0.0845 Mar 0.0845 Apr 0.0845 May 0.0845 Jun 0.0845 Jul 0.0845 Aug 0.0845 Sep 0.0845 Oct 0.0845 Nov 0.0845 Dec 0.0815 Line Chart: SHARE PRICE PERFORMANCE Weekly Closing Price Past performance is not predictive of future results. 1/1/04 16.5 16.43 16.58 16.6 16.6 16.77 16.97 17.08 17 17.12 17.23 17.03 17.1 17.2 16.95 16.92 17.05 17.08 16.84 16.82 16.82 16.57 16.62 16.62 16.65 16.74 16.73 16.73 16.68 16.64 16.72 16.78 16.9 16.85 16.98 16.99 16.96 16.89 16.96 16.95 16.95 16.93 16.95 17.03 16.75 16.86 16.92 16.89 16.8 16.8 16.84 16.88 16.78 16.81 16.87 16.8 16.87 16.85 16.87 16.86 16.84 17.05 17.03 17 17 16.88 16.7 16.28 16.08 16.01 15.8 15.28 15.01 15.03 15.1 15.39 15.3 14.95 15.12 14.93 14.64 14.44 14.13 14.21 14.27 14.47 14.31 14.3 14.2 13.98 13.51 13.85 14.02 14.12 13.99 14.13 14.03 13.99 14.2 14.2 14.11 14.33 14.32 14.31 14.43 14.43 14.37 14.4 14.4 14.46 14.26 14.5 14.51 14.42 14.28 14.2 14.08 13.93 14.01 13.99 13.98 13.96 14.18 14.13 14.01 14.04 14.03 14.34 14.42 14.35 14.45 14.48 14.62 14.61 14.74 14.6 14.69 14.68 14.65 14.82 14.67 14.62 14.63 14.69 14.77 14.64 14.82 14.8 14.8 14.8 14.87 14.91 14.81 15.06 15.07 15.02 15.032 15.04 15.29 15.07 15.19 15.19 15.18 15.25 15.48 15.55 15.85 15.79 15.53 15.61 15.73 15.46 15.4 15.48 15.5 15.47 15.59 15.7 15.76 15.77 15.75 15.7 15.51 15.31 15.29 15.41 15.43 15.34 15.46 15.55 15.34 15.33 15.22 15.4 15.41 15.4 15.68 15.94 15.75 15.72 15.56 15.7 15.7 15.66 15.59 15.74 15.95 15.81 15.79 15.76 15.73 15.7 15.73 15.73 15.81 16.11 16.15 16.37 15.99 15.68 15.62 15.59 15.58 15.67 15.7 15.71 15.66 15.73 15.67 15.49 15.53 15.45 15.64 15.52 15.39 15.45 15.25 15.37 15.24 15.33 15.25 15.3 15.27 15.3 15.27 15.45 15.14 15.26 15.32 15.19 15.13 15.1 15.14 15.05 15.05 15.17 12/31/04 15.21 FUND SNAPSHOT - ------------------------------------ Share Price $15.21 - ------------------------------------ Common Share Net Asset Value $15.44 - ------------------------------------ Premium/(Discount) to NAV -1.49% - ------------------------------------ Market Yield 6.43% - ------------------------------------ Taxable-Equivalent Yield1 8.93% - ------------------------------------ Net Assets Applicable to Common Shares ($000) $255,825 - ------------------------------------ Average Effective Maturity on Securities (Years) 17.48 - ------------------------------------ Leverage-Adjusted Duration 9.16 - ------------------------------------ AVERAGE ANNUAL TOTAL RETURN (Inception 2/21/91) - ------------------------------------ ON SHARE PRICE ON NAV - ------------------------------------ 6-Month (Cumulative) 12.02% 7.73% - ------------------------------------ 1-Year -2.18% 6.42% - ------------------------------------ 5-Year 10.13% 9.16% - ------------------------------------ 10-Year 8.21% 7.50% - ------------------------------------ SECTORS (as a % of total investments) - ------------------------------------ Tax Obligation/Limited 23.2% - ------------------------------------ Transportation 16.4% - ------------------------------------ Healthcare 13.2% - ------------------------------------ U.S. Guaranteed 9.9% - ------------------------------------ Utilities 9.4% - ------------------------------------ Water and Sewer 8.3% - ------------------------------------ Tax Obligation/General 7.9% - ------------------------------------ Other 11.7% - ------------------------------------ 1 Taxable equivalent yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. For investments that generate qualified dividend income, the taxable equivalent yield is lower. 9 Nuveen Florida Quality Income Municipal Fund NUF Performance OVERVIEW As of December 31, 2004 Pie Chart: Credit Quality (as a % of total investments) AAA/U.S. Guaranteed 68% AA 12% A 14% BBB 4% NR 2% Bar Chart: 2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE Jan 0.083 Feb 0.083 Mar 0.083 Apr 0.083 May 0.083 Jun 0.083 Jul 0.083 Aug 0.083 Sep 0.083 Oct 0.083 Nov 0.083 Dec 0.08 Line Chart: SHARE PRICE PERFORMANCE Weekly Closing Price Past performance is not predictive of future results. 1/1/04 16.22 16.36 16.46 16.37 16.57 16.69 16.55 16.51 16.65 16.47 16.9 16.66 16.65 16.65 16.61 16.75 16.78 16.81 16.65 16.64 16.64 16.49 16.39 16.4 16.35 16.52 16.51 16.6 16.45 16.47 16.54 16.5 16.6 16.57 16.4 16.25 16.26 16.32 16.36 16.58 16.58 16.82 16.59 16.82 16.73 16.74 16.87 16.99 16.8 16.85 16.89 16.69 16.51 16.59 16.62 16.58 16.64 16.7 16.81 16.75 16.7 16.81 16.48 16.5 16.4 16.29 15.5 15.48 15.59 15.46 15.5 15.01 14.57 14.66 15.35 15.27 15.08 14.79 14.65 14.63 14.53 14.33 14.32 14.16 14.25 14.24 14.16 14.11 14.07 13.55 13.56 13.95 13.6 13.51 13.68 13.64 13.97 14 14.05 14.02 14.22 14.15 14.2 14.3 14.18 14.18 14.3 14.29 14.25 14.17 14.18 14.26 14.12 14.1 14.1 14.1 14.01 13.88 13.9 13.86 13.71 13.71 13.8 13.77 13.74 13.74 13.84 14.03 14.32 14.37 14.3 14.54 14.54 14.55 14.53 14.5 14.46 14.54 14.45 14.48 14.41 14.32 14.38 14.29 14.32 14.41 14.51 14.56 14.56 14.57 14.65 14.73 14.7 14.83 14.88 14.92 14.8 14.73 14.82 14.79 14.71 14.69 14.8 14.81 14.84 14.87 14.93 15.02 15.17 15.23 15.32 15.08 15.12 15.19 15.07 15.33 15.43 15.6 15.3 15.31 15.41 15.25 15.3 15.23 15.2 15.24 15.2 15.1 15.15 15.17 15.12 15.08 15.14 15.14 15.15 15.46 15.28 15.33 15.29 15.26 15.17 15.32 15.16 15.19 15.13 15.22 15.27 15.45 15.5 15.62 15.7 15.6 15.8 15.8 15.68 15.95 16.01 15.72 15.2 15.12 15.11 15.22 15.24 15.69 15.85 15.72 15.66 15.53 15.46 15.39 15.34 15.39 15.56 15.37 15.53 15.22 15.15 15.21 15.29 15.12 15.23 15.3 15.16 15.11 14.88 15.06 14.81 15.03 15.1 15.1 15.14 15.09 15.09 15.2 15.1 15.29 15.55 15.5 15.62 15.7 15.6 15.8 15.8 15.68 15.95 16.01 15.72 15.2 15.12 15.11 15.22 15.24 15.69 15.85 15.72 15.66 15.53 15.46 15.39 15.34 15.39 15.56 15.37 15.53 15.22 15.15 15.21 15.29 15.12 15.23 15.3 15.16 15.11 14.88 15.06 14.81 15.03 15.1 15.1 15.14 15.09 15.09 15.2 15.1 15.29 12/31/04 15.55 FUND SNAPSHOT - ------------------------------------ Share Price $15.55 - ------------------------------------ Common Share Net Asset Value $15.52 - ------------------------------------ Premium/(Discount) to NAV 0.19% - ------------------------------------ Market Yield 6.17% - ------------------------------------ Taxable-Equivalent Yield1 8.57% - ------------------------------------ Net Assets Applicable to Common Shares ($000) $221,856 - ------------------------------------ Average Effective Maturity on Securities (Years) 17.65 - ------------------------------------ Leverage-Adjusted Duration 9.12 - ------------------------------------ AVERAGE ANNUAL TOTAL RETURN (Inception 10/17/91) - ------------------------------------ ON SHARE PRICE ON NAV - ------------------------------------ 6-Month (Cumulative) 16.06% 8.22% - ------------------------------------ 1-Year 2.45% 6.82% - ------------------------------------ 5-Year 10.94% 8.54% - ------------------------------------ 10-Year 8.97% 7.56% - ------------------------------------ SECTORS (as a % of total investments) - ------------------------------------ Tax Obligation/Limited 29.1% - ------------------------------------ Healthcare 15.9% - ------------------------------------ Transportation 14.4% - ------------------------------------ Utilities 7.9% - ------------------------------------ Water and Sewer 6.6% - ------------------------------------ Education and Civic Organizations 6.5% - ------------------------------------ Tax Obligation/General 6.1% - ------------------------------------ Housing/Multifamily 6.0% - ------------------------------------ Other 7.5% - ------------------------------------ 1 Taxable equivalent yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. For investments that generate qualified dividend income, the taxable equivalent yield is lower. 10 Nuveen Insured Florida Premium Income Municipal Fund NFL Performance OVERVIEW As of December 31, 2004 Pie Chart: Credit Quality (as a % of total investments) Insured 91% Insured and U.S. Guaranteed 9% Bar Chart: 2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2 Jan 0.08 Feb 0.08 Mar 0.08 Apr 0.08 May 0.08 Jun 0.08 Jul 0.08 Aug 0.08 Sep 0.08 Oct 0.08 Nov 0.08 Dec 0.08 Line Chart: SHARE PRICE PERFORMANCE Weekly Closing Price Past performance is not predictive of future results. 1/1/04 16.83 16.78 16.87 16.92 16.97 17.08 17.02 17.1 17.15 17.1 17.16 17.23 17.45 17.5 17.31 17.16 17 17 16.84 17.05 17.05 17.06 17 17.05 17.05 17 16.92 16.9 16.88 16.87 16.85 16.88 16.94 16.9 16.84 16.8 16.7 16.61 16.69 16.7 16.7 16.85 16.89 16.81 16.91 16.95 16.98 16.91 16.95 16.88 16.78 16.78 16.82 16.83 16.85 16.97 16.82 16.91 16.79 16.83 16.79 16.83 16.81 16.82 16.7 16.5 16.05 15.67 15.8 15.75 15.6 15.5 15.35 15.26 15.37 15.38 15.3 15.01 15.05 14.95 14.95 14.84 14.88 14.89 14.88 15.01 14.95 15 14.86 14.37 13.95 14.33 14.09 13.92 14.13 14.07 14.21 14.29 14.3 14.4 14.5 14.48 14.59 14.65 14.68 14.68 14.73 14.73 14.7 14.62 14.56 14.77 14.79 14.71 14.18 14.27 14.2 14.09 14.1 14.15 14.18 14.18 14.3 14.17 14.1 14.15 14.24 14.61 14.77 14.64 14.91 14.8 14.87 14.9 14.98 14.87 14.9 15 14.93 14.85 14.81 14.83 14.86 14.88 14.82 14.79 14.78 14.94 14.94 14.98 15.12 15.18 15.19 15.17 15.24 15.26 15.17 15.14 15.26 15.2 15.36 15.36 15.33 15.37 15.35 15.37 15.46 15.44 15.52 15.5 15.56 15.64 15.63 15.45 15.52 15.35 15.48 15.52 15.52 15.58 15.75 15.64 15.73 15.66 15.76 15.72 15.77 15.72 15.84 15.98 15.94 15.88 15.8 15.8 16.01 16.05 15.95 16.27 16.28 16.27 16.35 16.32 16.24 16.27 16.18 16.39 16.27 16.3 16.33 16.33 16.55 16.56 16.59 16.59 16.83 16.77 16.9 16.63 16.6 16.2 16.03 16.08 16.05 16.21 16.14 16.15 16.1 16.1 16.06 15.9 15.91 15.89 15.91 15.79 15.62 15.52 15.25 15.42 15.53 15.5 15.6 15.65 15.78 15.65 15.4 15.43 15.25 15.27 15.29 15.4 15.52 15.46 15.65 15.73 15.79 15.85 12/31/04 16.07 FUND SNAPSHOT - ------------------------------------ Share Price $16.07 - ------------------------------------ Common Share Net Asset Value $16.15 - ------------------------------------ Premium/(Discount) to NAV -0.50% - ------------------------------------ Market Yield 5.97% - ------------------------------------ Taxable-Equivalent Yield1 8.29% - ------------------------------------ Net Assets Applicable to Common Shares ($000) $232,095 - ------------------------------------ Average Effective Maturity on Securities (Years) 17.05 - ------------------------------------ Leverage-Adjusted Duration 7.58 - ------------------------------------ AVERAGE ANNUAL TOTAL RETURN (Inception 12/17/92) - ------------------------------------ ON SHARE PRICE ON NAV - ------------------------------------ 6-Month (Cumulative) 17.12% 7.45% - ------------------------------------ 1-Year 0.29% 5.36% - ------------------------------------ 5-Year 11.28% 9.55% - ------------------------------------ 10-Year 10.21% 8.65% - ------------------------------------ SECTORS (as a % of total investments) - ------------------------------------ Tax Obligation/Limited 32.6% - ------------------------------------ Water and Sewer 20.1% - ------------------------------------ Transportation 12.3% - ------------------------------------ Housing/Multifamily 10.1% - ------------------------------------ U.S. Guaranteed 8.8% - ------------------------------------ Healthcare 8.5% - ------------------------------------ Other 7.6% - ------------------------------------ 1 Taxable equivalent yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. For investments that generate qualified dividend income, the taxable equivalent yield is lower. 2 The Fund also paid shareholders capital gains and net ordinary income distributions in December 2004 of $0.1112 per share. 11 Nuveen Insured Florida Tax-Free Advantage Municipal Fund NWF Performance OVERVIEW As of December 31, 2004 Pie Chart: Credit Quality (as a % of total investments) Insured 88% AAA (uninsured) 1% AA (uninsured) 2% A (uninsured) 9% Bar Chart: 2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE Jan 0.072 Feb 0.072 Mar 0.072 Apr 0.072 May 0.072 Jun 0.072 Jul 0.072 Aug 0.072 Sep 0.0695 Oct 0.0695 Nov 0.0695 Dec 0.0665 Line Chart: SHARE PRICE PERFORMANCE Weekly Closing Price Past performance is not predictive of future results. 1/1/04 15.46 15.46 15.69 15.51 15.66 16.06 16.1 15.82 15.96 15.81 15.74 15.85 15.9 16.12 15.95 15.85 15.71 15.8 15.74 15.8 15.8 15.8 15.84 15.92 15.93 15.9 15.81 15.9 15.96 15.86 15.86 15.92 16.01 15.87 15.91 15.9 15.81 15.91 15.92 15.82 15.82 15.81 15.92 15.92 15.92 15.98 15.95 15.81 15.87 15.94 15.98 15.96 15.93 15.89 16.01 16.03 16.01 15.97 15.98 15.9 15.86 15.85 15.8 15.69 15.69 15.45 15.38 14.82 14.77 14.78 14.52 14.26 13.85 13.85 14 14.15 14.05 14.05 13.65 13.43 13.26 13.35 13.25 13.21 13.24 13.49 13.35 13.24 13.2 13.01 12.62 12.81 12.61 12.42 12.49 12.64 12.74 12.79 12.57 12.73 12.67 12.79 12.9 13.04 13.3 13.3 13.41 13.41 13.33 13.34 12.99 13.01 12.99 13.05 12.87 12.9 12.99 12.87 12.96 13.3 13.19 13.09 13 13.09 12.9 12.93 12.94 13.2 13.3 13.39 13.45 13.49 13.64 13.63 14 13.77 13.47 13.89 14.08 13.92 13.9 13.92 13.85 13.8 13.79 13.79 13.7 13.75 13.75 13.75 13.71 13.71 13.79 13.84 13.84 13.89 13.82 13.95 13.94 13.96 13.88 13.88 13.73 13.77 13.71 13.75 13.83 13.82 13.92 13.99 14.04 14.14 14.25 14.18 13.9 13.83 13.91 13.98 14 14.44 14.25 14.21 14.25 14.4 14.4 14.21 14.35 14.26 14.27 14.55 14.65 14.6 14.59 14.59 14.49 14.49 14.49 14.67 14.79 14.79 14.88 14.98 14.98 14.89 14.95 14.8 14.9 14.95 14.78 14.8 14.85 14.84 14.94 14.94 14.99 14.94 14.94 15 14.65 14.2 14.26 14.3 14.32 14.35 14.52 14.58 14.53 14.48 14.28 14.26 14.13 14.19 14.19 14.17 14.11 14 13.56 13.75 13.7 13.69 13.6 13.65 13.62 13.62 13.61 13.58 13.55 13.45 13.42 13.5 13.48 13.51 13.45 13.4 13.37 13.4 12/31/04 13.54 FUND SNAPSHOT - ------------------------------------ Share Price $13.54 - ------------------------------------ Common Share Net Asset Value $14.49 - ------------------------------------ Premium/(Discount) to NAV -6.56% - ------------------------------------ Market Yield 5.89% - ------------------------------------ Taxable-Equivalent Yield1 8.18% - ------------------------------------ Net Assets Applicable to Common Shares ($000) $56,261 - ------------------------------------ Average Effective Maturity on Securities (Years) 19.64 - ------------------------------------ Leverage-Adjusted Duration 7.26 - ------------------------------------ AVERAGE ANNUAL TOTAL RETURN (Inception 11/21/02) - ------------------------------------ ON SHARE PRICE ON NAV - ------------------------------------ 6-Month (Cumulative) 7.76% 8.27% - ------------------------------------ 1-Year -7.08% 5.75% - ------------------------------------ Since Inception 0.63% 6.38% - ------------------------------------ SECTORS (as a % of total investments) - ------------------------------------ Tax Obligation/Limited 52.1% - ------------------------------------ Water and Sewer 12.5% - ------------------------------------ Healthcare 10.7% - ------------------------------------ Education and Civic Organizations 8.2% - ------------------------------------ Transportation 7.3% - ------------------------------------ Tax Obligation/General 5.4% - ------------------------------------ Other 3.8% - ------------------------------------ 1 Taxable equivalent yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. For investments that generate qualified dividend income, the taxable equivalent yield is lower. 12 Shareholder MEETING REPORT The Shareholder Meeting was held in the Embassy Room of the Mandarin Oriental Hotel, 222 Sansome Street, San Francisco, California on November 17, 2004.
NQF NUF - ------------------------------------------------------------------------------------------------------------------------------------ APPROVAL OF THE BOARD MEMBERS WAS REACHED AS FOLLOWS: Common and Common and MuniPreferred MuniPreferred MuniPreferred MuniPreferred shares voting shares voting shares voting shares voting together together together together as a class as a class as a class as a class ==================================================================================================================================== Robert P. Bremner For 15,145,795 -- 13,119,888 -- Withhold 106,080 -- 145,951 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 15,251,875 -- 13,265,839 -- ==================================================================================================================================== Lawrence H. Brown For 15,137,208 -- 13,142,127 -- Withhold 114,667 -- 123,712 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 15,251,875 -- 13,265,839 -- ==================================================================================================================================== Jack B. Evans For 15,142,462 -- 13,145,377 -- Withhold 109,413 -- 120,462 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 15,251,875 -- 13,265,839 -- ==================================================================================================================================== William C. Hunter For 15,135,645 -- 13,134,785 -- Withhold 116,230 -- 131,054 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 15,251,875 -- 13,265,839 -- ==================================================================================================================================== William J. Schneider For -- 4,772 -- 4,311 Withhold -- 235 -- 15 - ------------------------------------------------------------------------------------------------------------------------------------ Total -- 5,007 -- 4,326 ==================================================================================================================================== Timothy R. Schwertfeger For -- 4,772 -- 4,311 Withhold -- 235 -- 15 - ------------------------------------------------------------------------------------------------------------------------------------ Total -- 5,007 -- 4,326 ==================================================================================================================================== Judith M. Stockdale For 15,136,595 -- 13,136,929 -- Withhold 115,280 -- 128,910 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 15,251,875 -- 13,265,839 -- ====================================================================================================================================
13 Shareholder MEETING REPORT (continued)
NFL NWF - ------------------------------------------------------------------------------------------------------------------------------------ APPROVAL OF THE BOARD MEMBERS WAS REACHED AS FOLLOWS: Common and Common and MuniPreferred MuniPreferred MuniPreferred MuniPreferred shares voting shares voting shares voting shares voting together together together together as a class as a class as a class as a class ==================================================================================================================================== Robert P. Bremner For 13,368,229 -- 3,797,104 -- Withhold 117,380 -- 31,052 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 13,485,609 -- 3,828,156 -- ==================================================================================================================================== Lawrence H. Brown For 13,353,770 -- 3,797,952 -- Withhold 131,839 -- 30,204 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 13,485,609 -- 3,828,156 -- ==================================================================================================================================== Jack B. Evans For 13,368,425 -- 3,801,954 -- Withhold 117,184 -- 26,202 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 13,485,609 -- 3,828,156 -- ==================================================================================================================================== William C. Hunter For 13,366,489 -- 3,801,954 -- Withhold 119,120 -- 26,202 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 13,485,609 -- 3,828,156 -- ==================================================================================================================================== William J. Schneider For -- 4,215 -- 1,146 Withhold -- 8 -- 11 - ------------------------------------------------------------------------------------------------------------------------------------ Total -- 4,223 -- 1,157 ==================================================================================================================================== Timothy R. Schwertfeger For -- 4,215 -- 1,146 Withhold -- 8 -- 11 - ------------------------------------------------------------------------------------------------------------------------------------ Total -- 4,223 -- 1,157 ==================================================================================================================================== Judith M. Stockdale For 13,363,902 -- 3,800,104 -- Withhold 121,707 -- 28,052 -- - ------------------------------------------------------------------------------------------------------------------------------------ Total 13,485,609 -- 3,828,156 -- ====================================================================================================================================
14 Nuveen Florida Investment Quality Municipal Fund (NQF) Portfolio of INVESTMENTS December 31, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CONSUMER STAPLES - 1.8% (1.1% OF TOTAL INVESTMENTS) $ 5,000 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 5/12 at 100.00 BBB $ 4,586,850 Asset-Backed Refunding Bonds, Series 2002, 5.500%, 5/15/39 - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 5.7% (3.8% OF TOTAL INVESTMENTS) 1,295 Broward County Educational Facilities Authority, Florida, 4/14 at 100.00 AAA 1,437,554 Revenue Bonds, Nova Southeastern University, Series 2004A, 5.250%, 4/01/16 - AMBAC Insured 2,000 Broward County Educational Facilities Authority, Florida, 4/14 at 100.00 BBB 2,073,200 Revenue Bonds, Nova Southeastern University, Series 2004B, 5.625%, 4/01/34 3,000 Florida, Board of Education Lottery Revenue Bonds, 1/13 at 101.00 AAA 3,297,960 Series 2002C, 5.000%, 1/01/15 - MBIA Insured Miami-Dade County Educational Facilities Authority, Florida, Revenue Bonds, University of Miami, Series 2004A: 2,290 5.000%, 4/01/19 - AMBAC Insured 4/14 at 100.00 AAA 2,464,544 3,305 5.000%, 4/01/22 - AMBAC Insured 4/14 at 100.00 AAA 3,507,035 1,655 5.000%, 4/01/25 - AMBAC Insured 4/14 at 100.00 AAA 1,737,005 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 19.7% (13.2% OF TOTAL INVESTMENTS) 4,600 Highlands County Health Facilities Authority, Florida, Hospital 11/11 at 101.00 A 4,974,118 Revenue Bonds, Adventist Health System/Sunbelt Obligated Group, Series 2001A, 6.000%, 11/15/31 Hillsborough County Industrial Development Authority, Florida, Hospital Revenue Bonds, Tampa General Hospital, Series 2003B: 1,000 5.250%, 10/01/28 10/13 at 100.00 Baa1 1,013,220 2,330 5.250%, 10/01/34 10/13 at 100.00 Baa1 2,362,597 2,345 Leesburg, Florida, Hospital Revenue Bonds, Leesburg Regional 7/12 at 100.00 A 2,411,246 Medical Center Project, Series 2002, 5.375%, 7/01/22 3,000 Miami-Dade County Health Facility Authority, Florida, Hospital 8/11 at 101.00 AAA 3,122,640 Revenue Refunding Bonds, Miami Children's Hospital, Series 2001A, 5.125%, 8/15/26 - AMBAC Insured 6,000 North Broward Hospital District, Florida, Revenue and 1/11 at 101.00 A- 6,390,900 Improvement Bonds, Series 2001, 6.000%, 1/15/31 6,000 Orange County Health Facilities Authority, Florida, Hospital 11/10 at 101.00 A 6,602,940 Revenue Bonds, Adventist Health System/Sunbelt Obligated Group, Series 2000, 6.500%, 11/15/30 3,695 Orange County Health Facilities Authority, Florida, Hospital 12/12 at 100.00 A 3,950,620 Revenue Bonds, Orlando Regional Healthcare System, Series 2002, 5.750%, 12/01/27 Palm Beach County Health Facilities Authority, Florida, Hospital Revenue Refunding Bonds, BRCH Corporation Obligated Group, Series 2001: 3,410 5.500%, 12/01/21 12/11 at 101.00 A 3,624,353 2,340 5.625%, 12/01/31 12/11 at 101.00 A 2,427,563 7,500 Pinellas County Health Facilities Authority, Florida, Revenue 5/13 at 100.00 A1 7,792,500 Bonds, Baycare Health System, Series 2003, 5.500%, 11/15/33 5,375 South Broward Hospital District, Florida, Hospital Revenue 5/12 at 101.00 AA- 5,704,649 Bonds, Series 2002, 5.625%, 5/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 2.7% (1.8% OF TOTAL INVESTMENTS) 1,090 Broward County Housing Finance Authority, Florida, Multifamily 5/10 at 101.00 AAA 1,140,870 Housing Revenue Bonds, Emerald Palms Apartments, Series 2001A, 5.600%, 7/01/21 (Alternative Minimum Tax) 135 Florida Housing Finance Agency, General Mortgage Revenue 6/05 at 100.00 AAA 138,308 Refunding Bonds, Series 1992A, 6.400%, 6/01/24 2,500 Florida Housing Finance Agency, Housing Revenue Bonds, 9/06 at 102.00 AAA 2,591,175 Mariner Club Apartments, Series 1996K-1, 6.375%, 9/01/36 (Alternative Minimum Tax) - AMBAC Insured 3,050 Florida Housing Finance Corporation, Revenue Bonds, Mission 1/12 at 100.00 AAA 3,149,522 Bay Apartments, Series 2001N, 5.500%, 7/15/29 (Alternative Minimum Tax) 15 Nuveen Florida Investment Quality Municipal Fund (NQF) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 3.4% (2.3% OF TOTAL INVESTMENTS) $ 4,835 Florida Housing Finance Agency, Homeowner Mortgage 1/06 at 102.00 AA $ 4,983,580 Revenue Bonds, New Money and Refunding Issue, Series 1995-2, 6.200%, 7/01/27 (Alternative Minimum Tax) 1,015 Florida Housing Finance Agency, Homeowner Mortgage 1/07 at 102.00 AA 1,045,014 Revenue Bonds, New Money and Refunding Issue, Series 1996-2, 6.350%, 7/01/28 (Alternative Minimum Tax) 1,860 Florida Housing Finance Agency, Homeowner Mortgage 7/07 at 102.00 AAA 1,928,467 Revenue Bonds, Series 1997-2, 5.900%, 7/01/29 (Alternative Minimum Tax) - MBIA Insured 430 Manatee County Housing Finance Authority, Florida, Single 11/05 at 102.00 Aaa 443,094 Family Mortgage Revenue Bonds, Series 1994-3, 7.600%, 11/01/26 (Alternative Minimum Tax) 340 Manatee County Housing Finance Authority, Florida, Single 5/06 at 105.00 Aaa 359,084 Family Mortgage Revenue Bonds, Series 1996-1, 7.450%, 5/01/27 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ LONG-TERM CARE - 1.8% (1.1% OF TOTAL INVESTMENTS) 1,750 Palm Beach County Health Facilities Authority, Florida, 11/06 at 102.00 BBB+ 1,800,855 Retirement Community Revenue Bonds, Adult Communities Total Services Inc. Obligated Group, Series 1996, 5.625%, 11/15/20 St. John's County Industrial Development Authority, Florida, First Mortgage Revenue Bonds, Presbyterian Retirement Communities, Series 2004A: 1,125 5.850%, 8/01/24 8/14 at 101.00 N/R 1,210,174 1,565 5.625%, 8/01/34 8/14 at 101.00 N/R 1,642,186 - ------------------------------------------------------------------------------------------------------------------------------------ MATERIALS - 2.3% (1.6% OF TOTAL INVESTMENTS) 5,400 Hillsborough County Industrial Development Authority, Florida, 4/10 at 101.00 N/R 5,961,276 Exempt Facilities Remarketed Revenue Bonds, National Gypsum Company, Apollo Beach Project, Series 2000B, 7.125%, 4/01/30 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 11.8% (7.9% OF TOTAL INVESTMENTS) 1,920 Florida Department of Transportation, Full Faith and Credit 7/14 at 101.00 AA+ 2,138,246 Right-of-Way Acquisition and Bridge Construction Bonds, Series 2004A, 5.250%, 7/01/19 9,230 Florida State Board of Education, Full Faith and Credit, 6/11 at 101.00 AAA 9,545,851 Public Education Capital Outlay Bonds, Series 2001C, 5.125%, 6/01/31 - FGIC Insured 1,500 Florida State Board of Education, Full Faith and Credit 6/12 at 101.00 AAA 1,593,915 Public Education Capital Outlay Bonds, Series 2002F, 5.000%, 6/01/22 - MBIA Insured 2,080 Florida State Board of Education, Full Faith and Credit Public 6/13 at 100.00 AAA 2,227,472 Education Capital Outlay Bonds, Series 2003J, 5.000%, 6/01/21 - AMBAC Insured 8,000 Florida State Board of Education, Full Faith and Credit, 6/12 at 100.00 AA+ 8,922,320 Public Education Capital Outlay Refunding Bonds, Series 2002D, 5.375%, 6/01/16 Reedy Creek Improvement District, Orange and Osceola Counties, Florida, General Obligation Bonds, Series 2004A: 3,510 5.000%, 6/01/19 - MBIA Insured 4/14 at 100.00 AAA 3,777,532 1,750 5.000%, 6/01/20 - MBIA Insured 4/14 at 100.00 AAA 1,873,603 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 34.8% (23.2% OF TOTAL INVESTMENTS) Miami-Dade County, Florida, Beacon Tradeport Community Development District, Special Assessment Bonds, Commercial Project, Series 2002A: 2,365 5.250%, 5/01/16 - RAAI Insured 5/12 at 102.00 AA 2,572,316 1,700 5.625%, 5/01/32 - RAAI Insured 5/12 at 102.00 AA 1,830,509 5,625 Broward County School Board, Florida, Certificates of 7/14 at 100.00 AAA 6,211,294 Participation, Series 2004C, 5.250%, 7/01/18 - FSA Insured 1,000 Escambia County, Florida, Sales Tax Revenue Refunding 10/12 at 101.00 AAA 1,066,690 Bonds, Series 2002, 5.000%, 10/01/21 - AMBAC Insured 1,280 Florida Intergovernmental Finance Commission, Capital 8/11 at 100.00 Aaa 1,371,226 Revenue Bonds, Daytona Beach Community Redevelopment Agency, Series 2001C-1, 5.000%, 2/01/20 - AMBAC Insured 5,000 Florida Ports Financing Commission, Revenue Bonds, State 6/07 at 101.00 AAA 5,130,400 Transportation Trust Fund, Series 1996, 5.375%, 6/01/27 (Alternative Minimum Tax) - MBIA Insured 1,685 Florida Municipal Loan Council, Revenue Bonds, Series 2003A, 5/13 at 100.00 AAA 1,778,248 5.000%, 5/01/22 - MBIA Insured 16 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED (continued) $ 5,000 Hernando County, Florida, Revenue Bonds, Criminal Justice No Opt. Call AAA $ 6,727,600 Complex Financing Program, Series 1986, 7.650%, 7/01/16 - FGIC Insured 1,575 Hillsborough County, Florida, Community Investment Tax 11/13 at 101.00 AAA 1,661,909 Revenue Bonds, Series 2004, 5.000%, 5/01/24 - AMBAC Insured 2,000 Jacksonville, Florida, Guaranteed Entitlement Revenue 10/12 at 100.00 AAA 2,110,880 Refunding and Improvement Bonds, Series 2002, 5.000%, 10/01/22 - FGIC Insured 5,015 Jacksonville, Florida, Better Jacksonville Sales Tax Revenue 10/13 at 100.00 AAA 5,505,116 Bonds, Series 2003, 5.250%, 10/01/21 - MBIA Insured 2,195 Manatee County, Florida, Revenue Bonds, Series 2004, 10/14 at 100.00 AAA 2,342,306 5.000%, 10/01/22 - FGIC Insured Orlando Community Redevelopment Agency, Florida, Tax Increment Revenue Bonds, Republic Drive-Universal Boulevard - I-4 Interchange Project, Series 2002: 1,375 5.125%, 4/01/19 - AMBAC Insured 4/12 at 100.00 AAA 1,470,989 1,495 5.125%, 4/01/20 -AMBAC Insured 4/12 at 100.00 AAA 1,595,494 1,225 5.125%, 4/01/21 - AMBAC Insured 4/12 at 100.00 AAA 1,302,592 575 Osceola County Industrial Development Authority, Florida, 8/11 at 101.00 AAA 600,225 Industrial Development Revenue Bonds, P.M. Wells Charter School Project, Series 2001A, 5.000%, 8/01/23 - MBIA Insured Osceola County, Florida, Transportation Revenue Bonds, Osceola Parkway, Series 2004: 3,460 5.000%, 4/01/18 - MBIA Insured 4/14 at 100.00 Aaa 3,751,574 3,660 5.000%, 4/01/21 - MBIA Insured 4/14 at 100.00 Aaa 3,915,614 4,000 5.000%, 4/01/23 - MBIA Insured 4/14 at 100.00 Aaa 4,238,200 4,000 Palm Beach County School Board, Florida, Certificates of 8/12 at 100.00 AAA 4,107,760 Participation, Series 2002D, 5.000%, 8/01/28 - FSA Insured 2,560 Palm Beach County School Board, Florida, Certificates of 8/14 at 100.00 AAA 2,706,662 Participation, Series 2004A, 5.000%, 8/01/23 - FGIC Insured Pasco County School Board, Florida, Certificates of Participation, Series 2004A: 1,000 5.000%, 8/01/19 - AMBAC Insured No Opt. Call AAA 1,073,570 2,335 5.000%, 8/01/21 - AMBAC Insured 8/14 at 100.00 AAA 2,483,880 2,500 Polk County School District, Florida, Sales Tax Revenue 10/14 at 100.00 AAA 2,778,900 Bonds, Series 2004, 5.250%, 10/01/18 - FSA Insured 2,750 St. John's County, Florida, Transportation Improvement Revenue 10/13 at 100.00 AAA 2,906,420 Bonds, Series 2003, 5.000%, 10/01/23 - AMBAC Insured 1,000 Sarasota County School Board, Florida, Certificates of No Opt. Call Aaa 1,107,210 Participation, Series 2004, 5.000%, 7/01/15 - FGIC Insured Tampa Sports Authority, Florida, Special Purpose Bonds, State Sales Tax Payment, Tampa Bay Arena Project, Series 1995: 1,250 5.750%, 10/01/20 - MBIA Insured No Opt. Call AAA 1,493,150 2,585 5.750%, 10/01/25 - MBIA Insured No Opt. Call AAA 3,082,044 2,075 Volusia County, Florida, Gas Tax Revenue Bonds, Series 2004, 10/14 at 100.00 AAA 2,226,309 5.000%, 10/01/21 - FSA Insured 8,605 Volusia County School Board, Florida, Sales Tax Revenue 10/12 at 100.00 AAA 9,678,990 Bonds, Series 2002, 5.375%, 10/01/15 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 24.5% (16.4% OF TOTAL INVESTMENTS) 11,500 Broward County, Florida, Airport System Revenue Bonds, 10/11 at 101.00 AAA 11,917,335 Series 2001J-1, 5.250%, 10/01/26 (Alternative Minimum Tax) - AMBAC Insured 2,150 Broward County, Florida, Airport System Revenue Bonds, 10/14 at 100.00 AAA 2,266,057 Series 2004L, 5.000%, 10/01/23 - AMBAC Insured 3,500 Dade County, Florida, Aviation Revenue Bonds, Series 1996A, 10/06 at 102.00 AAA 3,707,760 5.750%, 10/01/26 (Alternative Minimum Tax) - MBIA Insured 12,000 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/09 at 101.00 AAA 12,182,160 Revenue Bonds, Series 1999A, 5.125%, 10/01/28 (Alternative Minimum Tax) - FGIC Insured 4,000 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/12 at 100.00 AAA 4,178,800 Revenue Bonds, Series 2002B, 5.125%, 10/01/21 (Alternative Minimum Tax) - FSA Insured 17 Nuveen Florida Investment Quality Municipal Fund (NQF) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION (continued) $ 2,590 Hillsborough County Aviation Authority, Florida, Revenue 10/06 at 102.00 AAA $ 2,769,383 Bonds, Tampa International Airport, Series 1996A, 6.000%, 10/01/23 (Alternative Minimum Tax) - FGIC Insured 3,500 Hillsborough County Aviation Authority, Florida, Revenue 10/06 at 102.00 AAA 3,756,270 Bonds, Tampa International Airport, Series 1996B, 5.875%, 10/01/23 - FGIC Insured 2,090 Lee County, Florida, Transportation Facilities Revenue Bonds, 10/14 at 100.00 AAA 2,263,386 Series 2004B, 5.000%, 10/01/19 - AMBAC Insured 1,750 Miami-Dade County Industrial Development Authority, Florida, 10/09 at 101.00 AAA 1,949,430 Industrial Development Revenue Bonds, Airis Miami II LLC - Miami International Airport, Series 1999, 6.000%, 10/15/25 (Alternative Minimum Tax) - AMBAC Insured 5,390 Miami-Dade County, Florida, Aviation Revenue Bonds, 10/12 at 100.00 AAA 6,054,910 Miami International Airport, Series 2002, 5.750%, 10/01/18 (Alternative Minimum Tax) - FGIC Insured Miami-Dade County Expressway Authority, Florida, Toll System Revenue Bonds, Series 2004B: 4,135 5.000%, 7/01/19 - FGIC Insured 7/14 at 100.00 AAA 4,464,229 6,690 5.000%, 7/01/20 - FGIC Insured 7/14 at 100.00 AAA 7,184,324 - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED *** - 14.8% (9.9% OF TOTAL INVESTMENTS) 7,225 Dade County, Florida, Special Obligation and Refunding Bonds, 10/08 at 48.83 AAA 3,191,283 Series 1996B, 0.000%, 10/01/20 (Pre-refunded to 10/01/08) - AMBAC Insured 20,000 Escambia County Health Facilities Authority, Florida, Revenue 11/09 at 101.00 AAA 23,094,600 Bonds, Ascension Health Credit Group, Series 1999A-2, 6.000%, 11/15/31 (Pre-refunded to 11/15/09) 6,955 Florida State Board of Education, Full Faith and Credit Public 6/05 at 101.00 AAA 7,139,586 Education Capital Outlay Bonds, Series 1993F, 6.000%, 6/01/20 (Pre-refunded to 6/01/05) 3,570 Seminole County, Florida, Water and Sewer Revenue No Opt. Call AAA 4,388,744 Refunding and Improvement Bonds, Series 1992, 6.000%, 10/01/19 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 14.0% (9.4% OF TOTAL INVESTMENTS) 4,330 Hillsborough County Industrial Development Authority, 10/12 at 100.00 Baa2 4,485,187 Florida, Pollution Control Revenue Bonds, Tampa Electric Company Project, Series 2002, 5.100%, 10/01/13 1,050 Jacksonville Beach, Florida, Utility Revenue Refunding Bonds, 10/10 at 100.00 Aaa 1,130,084 Series 2002, 5.000%, 4/01/17 - AMBAC Insured 4,250 Lakeland, Florida, Energy System Revenue Refunding Bonds, No Opt. Call AAA 4,989,415 Series 1999C, 6.050%, 10/01/11 - FSA Insured 7,345 Orlando Utilities Commission, Florida, Water and Electric 10/11 at 101.00 Aa1 8,096,320 Revenue Refunding Bonds, Series 2001, 5.250%, 10/01/18 5,000 Orlando Utilities Commission, Florida, Water and Electric 10/12 at 100.00 Aa1 5,512,450 Revenue Refunding Bonds, Series 2002C, 5.250%, 10/01/18 5,000 Orlando Utilities Commission, Florida, Water and Electric No Opt. Call Aa1 5,786,250 Revenue Refunding Bonds, Series 1992, 6.000%, 10/01/10 5,550 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/12 at 101.00 AAA 5,901,149 Series 2002II, 5.125%, 7/01/26 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 12.4% (8.3% OF TOTAL INVESTMENTS) 3,310 Cocoa, Florida, Water and Sewerage System Revenue No Opt. Call AAA 3,833,311 Refunding Bonds, Series 2003, 5.500%, 10/01/23 - AMBAC Insured Hollywood, Florida, Water and Sewer Revenue Refunding and Improvement Bonds, Series 2003: 2,000 5.000%, 10/01/19 - FSA Insured 10/13 at 100.00 Aaa 2,151,660 3,390 5.000%, 10/01/21 - FSA Insured 10/13 at 100.00 Aaa 3,616,079 1,000 Jacksonville, Florida, Water and Sewer Revenue Bonds, 8/05 at 102.00 AAA 1,041,870 United Water Florida Project, Series 1995, 6.350%, 8/01/25 (Alternative Minimum Tax) - AMBAC Insured 1,525 Lee County, Florida, Water and Sewer Revenue Refunding 10/13 at 100.00 Aaa 1,632,497 Bonds, Series 2003A, 5.000%, 10/01/20 - MBIA Insured 8,300 Miami-Dade County, Florida, Water and Sewer System 10/09 at 101.00 AAA 8,487,746 Revenue Bonds, Series 1999A, 5.000%, 10/01/29 - FGIC Insured 18 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER (continued) $ 1,175 Naples, Florida, Water and Sewer Revenue Bonds, 9/12 at 100.00 Aa2 $ 1,286,518 Series 2002, 5.000%, 9/01/14 2,060 Polk County, Florida, Utility System Revenue Bonds, 10/13 at 100.00 Aaa 2,253,186 Series 2003, 5.250%, 10/01/22 - FGIC Insured 2,780 Riviera Beach, Palm Beach County, Florida, Water and 10/14 at 100.00 Aaa 2,936,874 Sewerage Revenue Bonds, Series 2004, 5.000%, 10/01/24 - FGIC Insured 1,680 Seminole County, Florida, Water and Sewer Revenue No Opt. Call AAA 2,034,731 Refunding and Improvement Bonds, Series 1992, 6.000%, 10/01/19 - MBIA Insured Winter Springs, Florida, Water and Sewer Revenue Refunding Bonds, Series 2001: 700 5.250%, 4/01/16 - MBIA Insured 4/11 at 101.00 AAA 774,241 1,585 5.000%, 4/01/20 - MBIA Insured 4/11 at 101.00 AAA 1,680,226 - ------------------------------------------------------------------------------------------------------------------------------------ $ 359,190 Total Long-Term Investments (cost $358,033,426) - 149.7% 382,920,166 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.9% 4,905,193 -------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (51.6)% (132,000,000) -------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 255,825,359 ==================================================================================================================== (1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. * Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings: Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. N/R Investment is not rated. See accompanying notes to financial statements. 19 Nuveen Florida Quality Income Municipal Fund (NUF) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 9.9% (6.5% OF TOTAL INVESTMENTS) Broward County Educational Facilities Authority, Florida, Revenue Bonds, Nova Southeastern University, Series 2004B: $ 1,000 5.500%, 4/01/24 4/14 at 100.00 BBB $ 1,050,950 500 5.625%, 4/01/34 4/14 at 100.00 BBB 518,300 2,345 FSU Financial Assistance Inc., Florida, General Revenue 10/14 at 100.00 AAA 2,569,346 Bonds, Educational and Athletic Facilities Improvements, Series 2004, 5.000%, 10/01/16 - AMBAC Insured 4,965 Florida, Board of Education Lottery Revenue Bonds, 7/11 at 101.00 AAA 5,272,433 Series 2001B, 5.000%, 7/01/20 - FGIC Insured 2,685 Florida, Board of Education Lottery Revenue Bonds, 1/13 at 101.00 AAA 2,951,674 Series 2002C, 5.000%, 1/01/15 - MBIA Insured 2,580 Florida State Education System, Housing Facility Revenue No Opt. Call AAA 2,871,746 Bonds, Florida International University, Series 2004A, 5.000%, 7/01/14 - MBIA Insured 3,905 Miami-Dade County Educational Facilities Authority, Florida, 4/14 at 100.00 AAA 4,180,810 Revenue Bonds, University of Miami, Series 2004A, 5.000%, 4/01/20 - AMBAC Insured 2,275 University of Central Florida, Certificates of Participation, 10/14 at 100.00 AAA 2,459,776 Athletic Association, Series 2004A, 5.125%, 10/01/21 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 23.9% (15.9% OF TOTAL INVESTMENTS) 1,500 Citrus County Hospital Board, Florida, Revenue Refunding 8/13 at 100.00 Baa3 1,581,570 Bonds, Citrus Memorial Hospital, Series 2002, 6.375%, 8/15/32 2,600 Highlands County Health Facilities Authority, Florida, 11/11 at 101.00 A 2,811,458 Hospital Revenue Bonds, Adventist Health System/Sunbelt Obligated Group, Series 2001A, 6.000%, 11/15/31 Hillsborough County Industrial Development Authority, Florida, Hospital Revenue Bonds, Tampa General Hospital, Series 2003B: 500 5.250%, 10/01/28 10/13 at 100.00 Baa1 506,610 1,590 5.250%, 10/01/34 10/13 at 100.00 Baa1 1,612,244 8,500 Jacksonville Economic Development Commission, Florida, 11/11 at 101.00 AA 8,953,475 Healthcare Facilities Revenue Bonds, Mayo Clinic, Series 2001A, 5.500%, 11/15/36 3,430 Leesburg, Florida, Hospital Revenue Refunding Bonds, No Opt. Call A- 3,636,692 Leesburg Regional Medical Center Project, Series 2003, 5.000%, 7/01/12 9,000 North Broward Hospital District, Florida, Revenue and 1/11 at 101.00 A- 9,586,350 Improvement Bonds, Series 2001, 6.000%, 1/15/31 6,000 Orange County Health Facilities Authority, Florida, Hospital 12/12 at 100.00 A 6,382,020 Revenue Bonds, Orlando Regional Healthcare System, Series 2002, 5.750%, 12/01/32 5,000 Orange County Health Facilities Authority, Florida, Hospital 11/12 at 101.00 A 5,341,600 Revenue Bonds, Adventist Health System/Sunbelt Obligated Group, Series 2002, 5.250%, 11/15/18 7,500 Pinellas County Health Facilities Authority, Florida, Revenue 5/13 at 100.00 A1 7,792,500 Bonds, Baycare Health System, Series 2003, 5.500%, 11/15/33 4,625 South Broward Hospital District, Florida, Hospital Revenue 5/12 at 101.00 AA- 4,908,651 Bonds, Series 2002, 5.625%, 5/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 9.1% (6.0% OF TOTAL INVESTMENTS) Broward County Housing Finance Authority, Florida, GNMA Collateralized Multifamily Housing Revenue Refunding Bonds, Tamarac Pointe Apartments, Series 1996: 1,500 6.250%, 7/01/26 7/06 at 102.00 AAA 1,559,940 1,000 6.300%, 1/01/32 7/06 at 102.00 AAA 1,037,700 120 Florida Housing Finance Agency, General Mortgage Revenue 6/05 at 100.00 AAA 122,940 Refunding Bonds, Series 1992A, 6.400%, 6/01/24 1,000 Florida Housing Finance Agency, Housing Revenue Bonds, 10/05 at 102.00 AAA 1,028,000 Holly Cove Apartments, Series 1995F, 6.150%, 10/01/25 (Alternative Minimum Tax) - AMBAC Insured 3,170 Florida Housing Finance Corporation, Housing Revenue 12/08 at 102.00 A+ 3,185,184 Refunding Bonds, Hunters Ridge at Deerwood Apartments, Series 1998-0, 5.300%, 12/01/28 20 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY (continued) $ 5,790 Florida Housing Finance Corporation, Housing Revenue 10/10 at 102.00 Aaa $ 6,106,366 Bonds, Villa de Mallorca Apartments, Series 2000H-1, 6.000%, 7/01/33 (Alternative Minimum Tax) 3,630 Miami-Dade County Housing Finance Authority, Florida, 1/11 at 102.00 AAA 3,784,384 Multifamily Housing Revenue Bonds, Sunset Bay Apartments, Series 2000-5A, 5.950%, 7/01/30 (Alternative Minimum Tax) - FSA Insured 3,240 Pinellas County Housing Finance Authority, Florida, Multifamily 1/08 at 100.00 AAA 3,410,132 Housing Revenue Bonds, Emerald Bay Apartments, Series 1998A, 5.000%, 4/01/28 (Alternative Minimum Tax) (Mandatory put 4/01/08) - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 2.7% (1.8% OF TOTAL INVESTMENTS) 1,385 Broward County Housing Finance Authority, Florida, Single 4/09 at 25.51 Aaa 263,233 Family Mortgage Revenue Refunding Bonds, Series 2000B, 0.000%, 4/01/29 (Alternative Minimum Tax) 1,285 Broward County Housing Finance Authority, Florida, Single 4/10 at 25.36 Aaa 240,603 Family Mortgage Revenue Bonds, Series 2001C, 0.000%, 4/01/33 (Alternative Minimum Tax) 2,475 Florida Housing Finance Agency, Homeowner Mortgage 1/06 at 102.00 AA 2,551,057 Revenue Bonds, New Money and Refunding Issue, Series 1995-2, 6.200%, 7/01/27 (Alternative Minimum Tax) 385 Florida Housing Finance Agency, GNMA Collateralized Home No Opt. Call AAA 407,730 Ownership Revenue Refunding Bonds, Series 1987G-1, 8.595%, 11/01/17 360 Lee County Housing Finance Authority, Florida, Single 3/07 at 105.00 Aaa 377,165 Family Mortgage Revenue Bonds, Multi-County Program, Series 1997A, Subseries 1, 7.200%, 3/01/27 (Alternative Minimum Tax) 135 Miami-Dade County Housing Authority, Florida, Home Owner 4/08 at 101.50 Aaa 141,314 Mortgage Revenue Bonds, Series 1999A-1, 5.550%, 10/01/19 (Alternative Minimum Tax) 1,335 Orange County Housing Finance Authority, Florida, Single 4/06 at 102.00 AAA 1,378,628 Family Mortgage Revenue Bonds, Series 1996A, 6.300%, 4/01/28 (Alternative Minimum Tax) 595 Orange County Housing Finance Authority, Florida, Single 9/07 at 102.00 AAA 597,457 Family Mortgage Revenue Bonds, Series 1997B, 5.100%, 9/01/27 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ LONG-TERM CARE - 5.6% (3.7% OF TOTAL INVESTMENTS) 7,285 Atlantic Beach, Florida, Health Care Facilities Revenue 10/09 at 101.00 A 7,735,359 Refunding Bonds, Fleet Landing Project, Series 1999, 5.750%, 10/01/18 - ACA Insured 1,750 Palm Beach County Health Facilities Authority, Florida, 11/06 at 102.00 BBB+ 1,800,855 Retirement Community Revenue Bonds, Adult Communities Total Services Inc. Obligated Group, Series 1996, 5.625%, 11/15/20 St. John's County Industrial Development Authority, Florida, First Mortgage Revenue Bonds, Presbyterian Retirement Communities, Series 2004A: 1,125 5.850%, 8/01/24 8/14 at 101.00 N/R 1,210,174 1,570 5.625%, 8/01/34 8/14 at 101.00 N/R 1,647,432 - ------------------------------------------------------------------------------------------------------------------------------------ MATERIALS - 2.3% (1.5% OF TOTAL INVESTMENTS) 4,600 Hillsborough County Industrial Development Authority, 4/10 at 101.00 N/R 5,078,124 Florida, Exempt Facilities Remarketed Revenue Bonds, National Gypsum Company, Apollo Beach Project, Series 2000B, 7.125%, 4/01/30 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 9.3% (6.1% OF TOTAL INVESTMENTS) 15,925 Florida State Board of Education, Full Faith and Credit Public 6/12 at 101.00 AAA 17,083,703 Education Capital Outlay Bonds, Series 2002B, 5.000%, 6/01/20 - MBIA Insured 3,240 Reedy Creek Improvement District, Orange and Osceola 4/14 at 100.00 AAA 3,438,061 Counties, Florida, General Obligation Bonds, Series 2004A, 5.000%, 6/01/22 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 43.8% (29.1% OF TOTAL INVESTMENTS) 1,000 Alachua County School Board, Florida, Certificates of 7/11 at 101.00 Aaa 1,055,290 Participation, Series 2001, 5.000%, 7/01/21 - AMBAC Insured 1,055 Bay County School Board, Florida, Certificates of Participation, 7/14 at 100.00 Aaa 1,109,153 Series 2004, 5.000%, 7/01/24 - AMBAC Insured Miami-Dade County, Florida, Beacon Tradeport Community Development District, Special Assessment Bonds, Commercial Project, Series 2002A: 1,975 5.500%, 5/01/22 - RAAI Insured 5/12 at 102.00 AA 2,139,794 850 5.625%, 5/01/32 - RAAI Insured 5/12 at 102.00 AA 915,255 21 Nuveen Florida Quality Income Municipal Fund (NUF) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED (continued) $ 3,870 Broward County School Board, Florida, Certificates of 7/14 at 100.00 AAA $ 4,254,020 Participation, Series 2004C, 5.250%, 7/01/20 - FSA Insured 1,290 Escambia County, Florida, Tourist Development Tax Revenue 10/12 at 100.00 AAA 1,381,822 Refunding Bonds, Series 2002, 5.000%, 10/01/18 - MBIA Insured 8,425 Florida Department of Environmental Protection, Florida 7/13 at 101.00 AAA 9,109,363 Forever Revenue Bonds, Series 2003C, 5.000%, 7/01/19 - AMBAC Insured Florida Municipal Loan Council, Revenue Bonds, Series 2000B: 1,040 0.000%, 11/01/25 - MBIA Insured No Opt. Call AAA 367,578 1,590 0.000%, 11/01/26 - MBIA Insured No Opt. Call AAA 526,703 3,145 Jacksonville, Florida, Excise Taxes Revenue Refunding Bonds, 10/13 at 100.00 AAA 3,428,994 Series 2003C, 5.250%, 10/01/18 (Alternative Minimum Tax) - MBIA Insured 2,230 Jacksonville, Florida, Guaranteed Entitlement Revenue 10/12 at 100.00 AAA 2,364,246 Refunding and Improvement Bonds, Series 2002, 5.000%, 10/01/21 - FGIC Insured 1,000 Jacksonville, Florida, Local Government Sales Tax Revenue No Opt. Call AAA 1,155,900 Refunding Bonds, Series 2001, 5.500%, 10/01/14 - FGIC Insured 1,430 Jacksonville, Florida, Better Jacksonville Sales Tax Revenue 10/11 at 100.00 AAA 1,495,265 Bonds, Series 2001, 5.000%, 10/01/23 - AMBAC Insured 2,750 Jacksonville, Florida, Local Government Sales Tax Revenue 10/12 at 100.00 AAA 3,078,982 Refunding and Improvement Bonds, Series 2002, 5.375%, 10/01/17 - FGIC Insured 2,090 Jacksonville, Florida, Better Jacksonville Sales Tax Revenue 10/13 at 100.00 AAA 2,218,326 Bonds, Series 2003, 5.000%, 10/01/22 - MBIA Insured Lake County School Board, Florida, Certificates of Participation, Series 2004A: 1,190 5.000%, 7/01/20 - AMBAC Insured 7/14 at 100.00 AAA 1,277,929 1,280 5.000%, 7/01/21 - AMBAC Insured 7/14 at 100.00 AAA 1,369,370 1,340 5.000%, 7/01/22 - AMBAC Insured 7/14 at 100.00 AAA 1,425,961 1,410 5.000%, 7/01/23 - AMBAC Insured 7/14 at 100.00 AAA 1,493,655 1,470 5.000%, 7/01/24 - AMBAC Insured 7/14 at 100.00 AAA 1,548,968 2,220 Lee County, Florida, Local Option Gas Tax Revenue Bonds, 10/14 at 100.00 Aaa 2,391,140 Series 2004, 5.000%, 10/01/19 - FGIC Insured Manatee County School District, Florida, Sales Tax Revenue Bonds, Series 2003: 4,660 5.000%, 10/01/14 - AMBAC Insured 10/13 at 100.00 AAA 5,142,030 5,130 5.000%, 10/01/17 - AMBAC Insured 10/13 at 100.00 AAA 5,558,509 2,475 Northern Palm Beach County Improvement District, Florida, 8/10 at 102.00 AA 2,785,365 Revenue Bonds, Water Control and Improvement Development Unit 19, Series 2000, 6.100%, 8/01/21 - RAAI Insured 2,000 Opa-Locka, Florida, Capital Improvement Revenue Bonds, 1/05 at 101.00 AAA 2,026,360 Series 1994, 6.125%, 1/01/24 - FGIC Insured Orange County, Florida, Sales Tax Revenue Bonds, Series 2002A: 3,265 5.125%, 1/01/20 - FGIC Insured 1/13 at 100.00 AAA 3,515,523 3,400 5.125%, 1/01/23 - FGIC Insured 1/13 at 100.00 AAA 3,615,390 2,440 Orange County School Board, Florida, Certificates of 8/14 at 100.00 Aaa 2,581,764 Participation, Series 2004A, 5.000%, 8/01/22 - AMBAC Insured 1,000 Orlando Community Redevelopment Agency, Florida, Tax 4/12 at 100.00 AAA 1,069,810 Increment Revenue Bonds, Republic Drive-Universal Boulevard - I-4 Interchange Project, Series 2002, 5.125%, 4/01/19 - AMBAC Insured 2,500 Osceola County, Florida, Transportation Revenue Bonds, 4/14 at 100.00 Aaa 2,674,600 Osceola Parkway, Series 2004, 5.000%, 4/01/21 - MBIA Insured 2,040 Palm Beach County School Board, Florida, Certificates of 8/12 at 100.00 AAA 2,212,666 Participation, Series 2002D, 5.250%, 8/01/21 - FSA Insured Palm Beach County School Board, Florida, Certificates of Participation, Series 2004A: 1,000 5.000%, 8/01/20 - FGIC Insured 8/14 at 100.00 AAA 1,071,930 1,500 5.000%, 8/01/22 - FGIC Insured 8/14 at 100.00 AAA 1,593,210 1,000 Pasco County, Florida, Sales Tax Revenue Bonds, 12/13 at 100.00 Aaa 1,086,460 Series 2003, 5.000%, 12/01/17 - AMBAC Insured 2,355 Plantation, Florida, Non-Ad Valorem Revenue Refunding 8/13 at 100.00 Aaa 2,531,437 and Improvement Bonds, Series 2003, 5.000%, 8/15/19 - FSA Insured 22 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED (continued) $ 1,350 Port St. Lucie, Florida, Sales Tax Revenue Bonds, Series 2003, 9/13 at 100.00 AAA $ 1,439,316 5.000%, 9/01/21 - MBIA Insured 1,000 Volusia County, Florida, Tax Revenue Bonds, Tourist 12/14 at 100.00 Aaa 1,057,240 Development, Series 2004, 5.000%, 12/01/24 - FSA Insured 11,815 Volusia County School Board, Florida, Sales Tax Revenue 10/12 at 100.00 AAA 13,289,630 Bonds, Series 2002, 5.375%, 10/01/14 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 21.7% (14.4% OF TOTAL INVESTMENTS) 2,225 Broward County, Florida, Airport System Revenue Bonds, 10/11 at 101.00 AAA 2,347,152 Series 2001J-1, 5.250%, 10/01/21 (Alternative Minimum Tax) - AMBAC Insured 12,000 Dade County, Florida, Aviation Revenue Bonds, Series 1996A, 10/06 at 102.00 AAA 12,712,320 5.750%, 10/01/26 (Alternative Minimum Tax) - MBIA Insured 1,500 Dade County, Florida, Aviation Revenue Bonds, Series 1995B, 10/05 at 102.00 AAA 1,565,550 6.000%, 10/01/24 (Alternative Minimum Tax) - MBIA Insured 3,500 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/07 at 101.00 AAA 3,677,590 Revenue Bonds, Series 1997, 5.250%, 10/01/23 (Alternative Minimum Tax) - FGIC Insured 4,000 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/12 at 100.00 AAA 4,178,800 Revenue Bonds, Series 2002B, 5.125%, 10/01/21 (Alternative Minimum Tax) - FSA Insured 1,000 Lee County, Florida, Transportation Facilities Revenue Bonds, No Opt. Call AAA 1,115,080 Series 2004B, 5.000%, 10/01/14 - AMBAC Insured 7,500 Miami-Dade County, Florida, Aviation Revenue Bonds, 10/08 at 101.00 AAA 7,638,900 Miami International Airport, Series 1998A, 5.000%, 10/01/24 (Alternative Minimum Tax) - FGIC Insured 4,000 Miami-Dade County, Florida, Aviation Revenue Bonds, 10/08 at 101.00 AAA 4,092,960 Miami International Airport, Series 1998C, 5.000%, 10/01/23 (Alternative Minimum Tax) - MBIA Insured 2,000 Miami-Dade County Expressway Authority, Florida, Toll 7/11 at 101.00 Aaa 2,117,200 System Revenue Refunding Bonds, Series 2001, 5.000%, 7/01/21 - FGIC Insured Miami-Dade County Expressway Authority, Florida, Toll System Revenue Bonds, Series 2004B: 3,955 5.250%, 7/01/17 - FGIC Insured 7/14 at 100.00 AAA 4,400,412 2,000 5.250%, 7/01/18 - FGIC Insured 7/14 at 100.00 AAA 2,215,160 2,000 5.000%, 7/01/23 - FGIC Insured 7/14 at 100.00 AAA 2,118,660 - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED *** - 0.8% (0.5% OF TOTAL INVESTMENTS) 1,500 Bradford County Health Facility Authority, Florida, Revenue No Opt. Call AAA 1,766,340 Refunding Bonds, Santa Fe Healthcare Inc., Series 1993, 6.050%, 11/15/16 - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 11.9% (7.9% OF TOTAL INVESTMENTS) 750 Gainesville, Florida, Utilities System Revenue Bonds, 10/13 at 100.00 AA 823,298 Series 2003A, 5.250%, 10/01/21 4,800 Hillsborough County Industrial Development Authority, 10/12 at 100.00 Baa2 4,972,032 Florida, Pollution Control Revenue Bonds, Tampa Electric Company Project, Series 2002, 5.100%, 10/01/13 9,440 JEA St. John's River Power Park System, Florida, Revenue 10/11 at 100.00 Aa2 10,257,598 Refunding Bonds, Series 2002-17 Issue 2, 5.000%, 10/01/15 3,290 Orlando Utilities Commission, Florida, Water and Electric 10/11 at 101.00 Aa1 3,639,233 Revenue Refunding Bonds, Series 2001, 5.250%, 10/01/17 3,170 Orlando Utilities Commission, Florida, Water and Electric 10/12 at 100.00 Aa1 3,506,813 Revenue Refunding Bonds, Series 2002C, 5.250%, 10/01/17 3,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/12 at 101.00 AAA 3,189,810 Series 2002II, 5.125%, 7/01/26 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 10.0% (6.6% OF TOTAL INVESTMENTS) 2,000 Broward County, Florida, Water and Sewer Utility Revenue 10/13 at 100.00 AAA 2,133,380 Bonds, Series 2003, 5.000%, 10/01/21 - MBIA Insured 1,365 Florida Governmental Utility Authority, Utility System Revenue 10/13 at 100.00 AAA 1,461,219 Bonds, Lehigh Project, Series 2003, 5.000%, 10/01/20 - AMBAC Insured 23 Nuveen Florida Quality Income Municipal Fund (NUF) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER (continued) Hollywood, Florida, Water and Sewer Revenue Refunding and Improvement Bonds, Series 2003: $ 1,000 5.000%, 10/01/19 - FSA Insured 10/13 at 100.00 Aaa $ 1,075,830 4,000 5.000%, 10/01/20 - FSA Insured 10/13 at 100.00 Aaa 4,281,960 JEA, Florida, Water and Sewerage System Revenue Bonds, Series 2004A: 3,235 5.000%, 10/01/18 - FGIC Insured 10/13 at 100.00 AAA 3,495,223 5,090 5.000%, 10/01/19 - FGIC Insured 10/13 at 100.00 AAA 5,475,976 3,000 5.000%, 10/01/23 - FGIC Insured 10/13 at 100.00 AAA 3,170,640 1,065 Lee County Industrial Development Authority, Florida, 11/12 at 100.00 AAA 1,127,506 Utilities Revenue Bonds, Bonita Springs Utilities Inc. Project, Series 2002, 5.000%, 11/01/19 (Alternative Minimum Tax) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ $ 317,365 Total Long-Term Investments (cost $319,664,835) - 151.0% 335,089,342 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.7% 3,766,394 -------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (52.7)% (117,000,000) -------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 221,855,736 ====================================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. * Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings: Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. N/R Investment is not rated. See accompanying notes to financial statements. 24 Nuveen Insured Florida Premium Income Municipal Fund (NFL) Portfolio of INVESTMENTS December 31, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 2.5% (1.7% OF TOTAL INVESTMENTS) $ 5,325 Escambia County Housing Finance Authority, Florida, Dormitory 6/09 at 101.00 AAA $ 5,889,130 Revenue Bonds, University of West Florida Foundation Inc. Project, Series 1999, 5.750%, 6/01/31 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 12.4% (8.5% OF TOTAL INVESTMENTS) 2,000 Brevard County Health Facilities Authority, Florida, Hospital 10/06 at 101.00 AAA 2,122,060 Revenue Bonds, Holmes Regional Medical Center Project, Series 1996, 5.625%, 10/01/14 - MBIA Insured 2,500 Hillsborough County Industrial Development Authority, No Opt. Call AAA 3,112,750 Florida, Industrial Development Revenue Bonds, University Community Hospital, Series 1994, 6.500%, 8/15/19 - MBIA Insured 5,000 Lee County Hospital Board, Florida, Fixed-Rate Hospital 4/07 at 102.00 AAA 5,404,000 Revenue Bonds, Lee Memorial Health System, Series 1997A, 5.750%, 4/01/22 - MBIA Insured 7,220 Miami-Dade County Health Facility Authority, Florida, 8/11 at 101.00 AAA 7,515,154 Hospital Revenue Refunding Bonds, Miami Children's Hospital, Series 2001A, 5.125%, 8/15/26 - AMBAC Insured 5,000 North Broward Hospital District, Florida, Revenue Refunding 1/07 at 101.00 AAA 5,261,850 and Improvement Bonds, Series 1997, 5.375%, 1/15/24 - MBIA Insured 5,255 Polk County Industrial Development Authority, Florida, 3/05 at 100.50 AAA 5,323,735 Revenue Bonds, Winter Haven Hospital, Series 1985-2, 6.250%, 9/01/15 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY - 14.7% (10.1% OF TOTAL INVESTMENTS) 980 Broward County Housing Finance Authority, Florida, GNMA 6/07 at 102.00 AAA 1,015,809 Collateralized Multifamily Housing Revenue Refunding Bonds, Pompano Oaks Apartments, Series 1997, 6.000%, 12/01/27 (Alternative Minimum Tax) Collier County Housing Finance Authority, Florida, Multifamily Housing Revenue Refunding Bonds, Saxon Manor Isles Project, Series 1998A, Subseries 1: 1,040 5.350%, 9/01/18 (Alternative Minimum Tax) - FSA Insured 3/08 at 101.00 AAA 1,081,122 1,400 5.400%, 9/01/23 (Alternative Minimum Tax) - FSA Insured 3/08 at 101.00 AAA 1,439,634 Collier County Housing Finance Authority, Florida, Multifamily Housing Revenue Bonds, Saxon Manor Isles Project, Series 1998B: 1,260 5.350%, 9/01/18 (Alternative Minimum Tax) - FSA Insured 3/08 at 101.00 AAA 1,309,820 1,000 5.400%, 9/01/23 (Alternative Minimum Tax) - FSA Insured 3/08 at 101.00 AAA 1,028,310 Dade County Housing Finance Authority, Florida, Multifamily Mortgage Revenue Bonds, Siesta Pointe Apartments Project, Series 1997A: 1,230 5.650%, 9/01/17 (Alternative Minimum Tax) - FSA Insured 9/07 at 101.00 AAA 1,279,385 1,890 5.750%, 9/01/29 (Alternative Minimum Tax) - FSA Insured 9/07 at 101.00 AAA 1,939,027 1,400 Florida Housing Finance Agency, Housing Revenue Bonds, 4/07 at 102.00 AAA 1,459,136 Riverfront Apartments, Series 1997A, 6.250%, 4/01/37 (Alternative Minimum Tax) - AMBAC Insured 1,590 Florida Housing Finance Agency, Housing Revenue Bonds, 12/05 at 102.00 AAA 1,640,101 Williamsburg Village Apartments, Series 1995E, 6.100%, 12/01/20 (Alternative Minimum Tax) - AMBAC Insured 1,000 Florida Housing Finance Agency, Housing Revenue Bonds, 5/06 at 102.00 AAA 1,037,520 Turtle Creek Apartments, Series 1996C-1, 6.100%, 5/01/16 (Alternative Minimum Tax) - AMBAC Insured Florida Housing Finance Agency, Housing Revenue Bonds, Sterling Palms Apartments, Series 1996D-1: 975 6.300%, 12/01/16 (Alternative Minimum Tax) - AMBAC Insured 6/06 at 102.00 AAA 1,014,010 1,500 6.400%, 12/01/26 (Alternative Minimum Tax) - AMBAC Insured 6/06 at 102.00 AAA 1,554,660 750 Florida Housing Finance Agency, Housing Revenue Bonds, 12/06 at 102.00 AAA 778,358 Crossings at Indian Run Apartments, Series 1996V, 6.100%, 12/01/26 (Alternative Minimum Tax) - AMBAC Insured 2,500 Florida Housing Finance Corporation, GNMA Collateralized 9/10 at 102.00 AAA 2,613,725 Housing Revenue Bonds, Raintree Apartments, Series 2000J-1, 5.950%, 3/01/35 (Alternative Minimum Tax) 2,075 Florida Housing Finance Corporation, GNMA Collateralized 12/10 at 102.00 AAA 2,190,453 Housing Revenue Bonds, Cobblestone Apartments, Series 2000K-1, 6.000%, 12/01/33 (Alternative Minimum Tax) 25 Nuveen Insured Florida Premium Income Municipal Fund (NFL) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/MULTIFAMILY (continued) Florida Housing Finance Corporation, Housing Revenue Bonds, Augustine Club Apartments, Series 2000D-1: $ 1,500 5.500%, 10/01/20 - MBIA Insured 10/10 at 102.00 Aaa $ 1,608,645 4,750 5.750%, 10/01/30 - MBIA Insured 10/10 at 102.00 Aaa 4,988,593 3,605 Jacksonville, Florida, GNMA Collateralized Housing Revenue 3/05 at 101.00 AAA 3,631,641 Refunding Bonds, Windermere Manor Apartments, Series 1993A, 5.875%, 3/20/28 1,425 Miami-Dade County Housing Finance Authority, Florida, 6/11 at 100.00 AAA 1,488,142 Multifamily Mortgage Revenue Bonds, Country Club Villas II Project, Series 2001-1A, 5.750%, 7/01/27 (Alternative Minimum Tax) - FSA Insured 1,065 Palm Beach County Housing Finance Authority, Florida, 7/12 at 100.00 AAA 1,101,050 Multifamily Housing Revenue Bonds, Westlake Apartments Phase II, Series 2002, 5.150%, 7/01/22 (Alternative Minimum Tax) - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 1.3% (1.0% OF TOTAL INVESTMENTS) 420 Broward County Housing Finance Authority, Florida, Single 4/09 at 101.00 Aaa 427,006 Family Mortgage Revenue Refunding Bonds, Series 1999B, 5.250%, 4/01/31 (Alternative Minimum Tax) - MBIA Insured 1,410 Escambia County Housing Finance Authority, Florida, 4/08 at 102.00 Aaa 1,429,712 Multi-County Single Family Mortgage Revenue Bonds, Series 1999, 5.200%, 4/01/32 (Alternative Minimum Tax) - MBIA Insured 6,890 Florida Housing Finance Corporation, Homeowner Mortgage 1/10 at 24.65 AAA 1,225,249 Revenue Bonds, Series 2000-4, 0.000%, 7/01/30 (Alternative Minimum Tax) - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 2.8% (1.9% OF TOTAL INVESTMENTS) 4,940 Florida State Board of Education, Full Faith and Credit, Public 6/11 at 101.00 AAA 5,121,644 Education Capital Outlay Bonds, Series 2001C, 5.125%, 6/01/29 - FGIC Insured 1,390 Venice, Florida, General Obligation Bonds, Series 2004, 2/14 at 100.00 AAA 1,464,087 5.000%, 2/01/24 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 47.7% (32.6% OF TOTAL INVESTMENTS) 3,820 Broward County School Board, Florida, Certificates of 7/13 at 100.00 AAA 4,174,152 Participation, Series 2003, 5.250%, 7/01/19 - MBIA Insured 4,835 Cape Coral, Florida, Capital Improvement Revenue Bonds, 10/09 at 101.00 Aaa 5,295,534 Series 1999, 5.375%, 10/01/24 - FSA Insured 1,250 Dade County, Florida, Special Obligation and Refunding Bonds, 10/06 at 102.00 AAA 1,264,213 Series 1996B, 5.000%, 10/01/35 - AMBAC Insured 1,555 DeSoto County, Florida, Capital Improvement Revenue Bonds, 4/12 at 101.00 AAA 1,705,975 Series 2002, 5.250%, 10/01/20 - MBIA Insured Destin, Florida, Capital Improvement Revenue Bonds, Series 2002: 1,000 5.000%, 8/01/27 - MBIA Insured 8/12 at 101.00 Aaa 1,036,460 1,000 5.125%, 8/01/31 - MBIA Insured 8/12 at 101.00 Aaa 1,034,620 2,500 Escambia County School Board, Florida, Certificates of 2/15 at 100.00 AAA 2,661,875 Participation, Series 2004, 5.000%, 2/01/22 - MBIA Insured 2,230 Florida Ports Financing Commission, Revenue Bonds, State 10/09 at 101.00 AAA 2,415,893 Transportation Trust Fund - Intermodal Program, Series 1999, 5.500%, 10/01/23 (Alternative Minimum Tax) - FGIC Insured 1,435 Florida Department of Environmental Protection, Florida 7/13 at 101.00 AAA 1,551,565 Forever Revenue Bonds, Series 2003A, 5.000%, 7/01/19 - FGIC Insured Florida Municipal Loan Council, Revenue Bonds, Series 2000B: 3,365 5.375%, 11/01/25 - MBIA Insured 11/10 at 101.00 AAA 3,659,438 3,345 5.375%, 11/01/30 - MBIA Insured 11/10 at 101.00 AAA 3,574,668 1,000 Florida Municipal Loan Council, Revenue Bonds, Series 2001A, 11/11 at 101.00 AAA 1,102,800 5.250%, 11/01/18 - MBIA Insured 1,080 Gulf Breeze, Florida, Local Government Loan Program, 12/06 at 101.00 AAA 1,161,616 Remarketed 6-3-1996, Series 1985B, 5.900%, 12/01/15 (Mandatory put 12/01/10) - FGIC Insured 1,020 Gulf Breeze, Florida, Local Government Loan Program, 12/06 at 101.00 AAA 1,097,081 Remarketed 6-3-1996, Series 1985C, 5.900%, 12/01/15 (Mandatory put 12/01/08) - FGIC Insured 1,500 Gulf Breeze, Florida, Local Government Loan Program, 12/10 at 101.00 AAA 1,618,050 Remarketed 7-3-2000, Series 1985E, 5.750%, 12/01/20 (Mandatory put 12/01/19) - FGIC Insured 5,200 Gulf Breeze, Florida, Local Government Loan Program, 12/11 at 101.00 AAA 5,559,840 Remarketed 6-1-2001, Series 1985E, 4.750%, 12/01/20 (Mandatory put 12/01/11) - FGIC Insured 26 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED (continued) $ 2,000 Hillsborough County, Florida, Community Investment Tax 11/13 at 101.00 AAA $ 2,121,900 Revenue Bonds, Series 2004, 5.000%, 5/01/23 - AMBAC Insured 6,000 Hillsborough County School Board, Florida, Certificates of 7/13 at 100.00 AAA 6,186,420 Participation, Series 2003, 5.000%, 7/01/29 - MBIA Insured 1,500 Jacksonville, Florida, Better Jacksonville Sales Tax Revenue 10/13 at 100.00 AAA 1,653,255 Bonds, Series 2003, 5.250%, 10/01/20 - MBIA Insured Lakeland, Florida, Utility Tax Revenue Bonds, Series 2003B: 1,730 5.000%, 10/01/18 - AMBAC Insured 10/12 at 100.00 AAA 1,855,529 2,000 5.000%, 10/01/19 - AMBAC Insured 10/12 at 100.00 AAA 2,136,840 1,330 Lee County, Florida, Local Option Gas Tax Revenue Bonds, 10/14 at 100.00 Aaa 1,428,088 Series 2004, 5.000%, 10/01/20 - FGIC Insured 18,000 Miami-Dade County, Florida, Subordinate Special Obligation 4/08 at 49.54 AAA 7,590,780 Bonds, Series 1997A, 0.000%, 10/01/21 - MBIA Insured 1,000 Opa-Locka, Florida, Capital Improvement Revenue Bonds, 1/05 at 101.00 AAA 1,013,990 Series 1994, 7.000%, 1/01/14 - FGIC Insured 3,180 Orange County, Florida, Sales Tax Revenue Bonds, 1/13 at 100.00 AAA 3,435,290 Series 2002B, 5.125%, 1/01/19 - FGIC Insured 4,770 Orange County School Board, Florida, Master Lease Program, 8/07 at 101.00 Aaa 5,088,731 Certificates of Participation, Series 1997A, 5.375%, 8/01/22 - MBIA Insured 5,820 Osceola County, Florida, Transportation Revenue Bonds, 4/14 at 100.00 Aaa 6,166,581 Osceola Parkway, Series 2004, 5.000%, 4/01/23 - MBIA Insured 6,500 Palm Beach County, Florida, Administrative Complex Revenue No Opt. Call AAA 7,306,130 Refunding Bonds, Series 1993, 5.250%, 6/01/11 - FGIC Insured Palm Beach County, Florida, Revenue Refunding Bonds, Criminal Justice Facilities, Series 1993: 2,500 5.375%, 6/01/08 - FGIC Insured No Opt. Call AAA 2,739,500 4,000 5.375%, 6/01/10 - FGIC Insured No Opt. Call AAA 4,487,960 2,150 Palm Beach County School Board, Florida, Certificates of 8/14 at 100.00 AAA 2,261,069 Participation, Series 2004A, 5.000%, 8/01/24 - FGIC Insured 1,300 Plantation, Florida, Non-Ad Valorem Revenue Refunding and 8/13 at 100.00 Aaa 1,385,657 Improvement Bonds, Series 2003, 5.000%, 8/15/21 - FSA Insured 4,260 St. Lucie County School Board, Florida, Certificates of 7/14 at 100.00 AAA 4,478,666 Participation, Master Lease Program, Series 2004A, 5.000%, 7/01/24 - FSA Insured St. Petersburg, Florida, Sales Tax Revenue Bonds, Professional Sports Facility, Series 2003: 1,405 5.125%, 10/01/19 - FSA Insured 10/13 at 100.00 Aaa 1,526,589 1,475 5.125%, 10/01/20 - FSA Insured 10/13 at 100.00 Aaa 1,596,968 1,555 5.125%, 10/01/21 - FSA Insured 10/13 at 100.00 Aaa 1,676,430 1,245 Tamarac, Florida, Sales Tax Revenue Bonds, Series 2002, 4/12 at 100.00 AAA 1,310,201 5.000%, 4/01/22 - FGIC Insured 2,000 Volusia County, Florida, Gas Tax Revenue Bonds, Series 2004, 10/14 at 100.00 AAA 2,145,840 5.000%, 10/01/21 - FSA Insured 1,785 Volusia County, Florida, Tax Revenue Bonds, Tourist 12/14 at 100.00 Aaa 1,887,173 Development, Series 2004, 5.000%, 12/01/24 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 18.0% (12.3% OF TOTAL INVESTMENTS) 9,000 Broward County, Florida, Airport System Revenue Bonds, 10/11 at 101.00 AAA 9,326,610 Series 2001J-1, 5.250%, 10/01/26 (Alternative Minimum Tax) - AMBAC Insured 2,150 Broward County, Florida, Airport System Revenue Bonds, 10/14 at 100.00 AAA 2,266,057 Series 2004L, 5.000%, 10/01/23 - AMBAC Insured 1,100 Dade County, Florida, Seaport Revenue Refunding Bonds, 10/05 at 102.00 AAA 1,150,446 Series 1995, 5.750%, 10/01/15 - MBIA Insured 2,000 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/13 at 100.00 AAA 2,154,740 Revenue Refunding Bonds, Series 2003A, 5.000%, 10/01/17 - FSA Insured 3,800 Jacksonville Port Authority, Florida, Port Facilities Revenue 11/06 at 102.00 AAA 4,026,974 Bonds, Series 1996, 5.625%, 11/01/18 (Alternative Minimum Tax) - MBIA Insured 15,025 Lee County, Florida, Airport Revenue Bonds, Series 2000A, 10/10 at 101.00 AAA 16,587,149 6.000%, 10/01/32 (Alternative Minimum Tax) - FSA Insured 27 Nuveen Insured Florida Premium Income Municipal Fund (NFL) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION (continued) $ 5,615 Miami-Dade County, Florida, Aviation Revenue Bonds, 10/12 at 100.00 AAA $ 6,284,926 Miami International Airport, Series 2002, 5.750%, 10/01/19 (Alternative Minimum Tax) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ U.S. GUARANTEED *** - 12.9% (8.8% OF TOTAL INVESTMENTS) 3,750 Broward County Health Facilities Authority, Florida, Hospital 6/05 at 100.00 AAA 3,799,350 Revenue Bonds, Holy Cross Hospital, Series 1993, 5.850%, 6/01/12 (Pre-refunded to 6/01/05) - AMBAC Insured 10,000 Port St. Lucie, Florida, Utility System Revenue Bonds, 9/11 at 34.97 AAA 2,753,600 Series 2001, 0.000%, 9/01/29 (Pre-refunded to 9/01/11) - MBIA Insured St. Lucie County, Florida, Utility System Revenue Refunding Bonds, Series 1993: 5,000 5.500%, 10/01/15 - FGIC Insured No Opt. Call AAA 5,529,500 1,200 5.500%, 10/01/21 - FGIC Insured No Opt. Call AAA 1,328,052 7,855 Seminole County, Florida, Water and Sewer Revenue No Opt. Call AAA 9,656,466 Refunding and Improvement Bonds, Series 1992, 6.000%, 10/01/19 - MBIA Insured 5,000 Sunrise, Florida, Utility System Revenue Bonds, Series 1996A, 10/06 at 101.00 AAA 5,352,350 5.750%, 10/01/21 (Pre-refunded to 10/01/06) - AMBAC Insured 1,500 Tampa, Florida, Healthcare System Revenue Bonds, Allegany 6/05 at 100.50 AAA 1,537,635 Health System - St. Joseph's Hospital, Series 1993, 5.125%, 12/01/23 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 4.0% (2.8% OF TOTAL INVESTMENTS) 3,525 Palm Beach County Solid Waste Authority, Florida, Revenue No Opt. Call AAA 4,014,023 Refunding Bonds, Series 1997A, 6.000%, 10/01/09 - AMBAC Insured 8,000 Palm Beach County Solid Waste Authority, Florida, Revenue No Opt. Call AAA 5,303,920 Bonds, Series 2002B, 0.000%, 10/01/14 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 29.4% (20.1% OF TOTAL INVESTMENTS) Broward County, Florida, Water and Sewer Utility Revenue Bonds, Series 2003: 4,775 5.000%, 10/01/21 - MBIA Insured 10/13 at 100.00 AAA 5,093,445 4,500 5.000%, 10/01/24 - MBIA Insured 10/13 at 100.00 AAA 4,732,425 Davie, Florida, Water and Sewer Revenue Refunding and Improvement Bonds, Series 2003: 910 5.250%, 10/01/17 - AMBAC Insured 10/13 at 100.00 AAA 1,010,682 475 5.250%, 10/01/18 - AMBAC Insured 10/13 at 100.00 AAA 525,835 Deltona, Florida, Utility Systems Water and Sewer Revenue Bonds, Series 2003: 1,250 5.250%, 10/01/22 - MBIA Insured 10/13 at 100.00 AAA 1,367,225 1,095 5.000%, 10/01/23 - MBIA Insured 10/13 at 100.00 AAA 1,157,284 1,225 5.000%, 10/01/24 - MBIA Insured 10/13 at 100.00 AAA 1,288,271 1,000 Florida Governmental Utility Authority, Utility System Revenue 7/09 at 101.00 Aaa 1,021,970 Bonds, Golden Gate Project, Series 1999, 5.000%, 7/01/29 - AMBAC Insured 3,945 Florida Governmental Utility Authority, Utility System Revenue 10/13 at 100.00 AAA 4,169,392 Bonds, Citrus Project, Series 2003, 5.000%, 10/01/23 - AMBAC Insured 8,000 Indian River County, Florida, Water and Sewer Revenue 9/08 at 102.00 AAA 8,641,120 Bonds, Series 1993A, 5.250%, 9/01/24 - FGIC Insured 2,000 Indian Trail Water Control District, Florida, Water Control 8/07 at 101.00 AAA 2,142,380 and Improvement Bonds - Unit 17, Series 1996, 5.500%, 8/01/22 - MBIA Insured 3,450 JEA, Florida, Water and Sewerage System Revenue Bonds, 4/07 at 100.00 AAA 3,605,354 Series 2002A, 5.375%, 10/01/30 - MBIA Insured 2,510 JEA, Florida, Water and Sewerage System Revenue Bonds, 10/13 at 100.00 AAA 2,773,600 Series 2004A, 5.000%, 10/01/14 - FGIC Insured 1,450 Jupiter, Florida, Water Revenue Bonds, Series 2003, 10/13 at 100.00 AAA 1,539,030 5.000%, 10/01/22 - AMBAC Insured 2,000 Manatee County, Florida, Public Utilities Revenue Bonds, 10/13 at 100.00 Aaa 2,165,380 Series 2003, 5.125%, 10/01/20 - MBIA Insured Marco Island, Florida, Water Utility System Revenue Bonds, Series 2003: 1,350 5.250%, 10/01/17 - MBIA Insured 10/13 at 100.00 AAA 1,499,364 1,000 5.250%, 10/01/18 - MBIA Insured 10/13 at 100.00 AAA 1,107,020 28 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER (continued) $ 1,750 Palm Bay, Florida, Utility System Revenue Bonds, Palm Bay 10/13 at 100.00 AAA $ 1,873,358 Utility Corporation, Series 2003, 5.000%, 10/01/20 - MBIA Insured Palm Coast, Florida, Water Utility System Revenue Bonds, Series 2003: 1,000 5.250%, 10/01/19 - MBIA Insured 10/13 at 100.00 AAA 1,105,610 500 5.250%, 10/01/20 - MBIA Insured 10/13 at 100.00 AAA 551,085 500 5.250%, 10/01/21 - MBIA Insured 10/13 at 100.00 AAA 548,865 1,170 Polk County, Florida, Utility System Revenue Bonds, 10/14 at 100.00 AAA 1,236,023 Series 2004A, 5.000%, 10/01/24 - FGIC Insured Port St. Lucie, Florida, Stormwater Utility System Revenue Refunding Bonds, Series 2002: 1,190 5.250%, 5/01/15 - MBIA Insured 5/12 at 100.00 AAA 1,321,982 1,980 5.250%, 5/01/17 - MBIA Insured 5/12 at 100.00 AAA 2,185,068 2,330 Port St. Lucie, Florida, Utility System Revenue Bonds, 9/13 at 100.00 AAA 2,484,152 Series 2003, 5.000%, 9/01/21 - MBIA Insured 1,000 Port St. Lucie, Florida, Utility System Revenue Bonds, 9/14 at 100.00 Aaa 1,072,420 Series 2004, 5.000%, 9/01/21 - MBIA Insured Sebring, Florida, Water and Wastewater Revenue Refunding Bonds, Series 2002: 1,360 5.250%, 1/01/17 - FGIC Insured 1/13 at 100.00 AAA 1,503,630 770 5.250%, 1/01/18 - FGIC Insured 1/13 at 100.00 AAA 849,024 500 5.250%, 1/01/20 - FGIC Insured 1/13 at 100.00 AAA 549,360 3,530 Seminole County, Florida, Water and Sewer Revenue No Opt. Call AAA 4,275,358 Refunding and Improvement Bonds, Series 1992, 6.000%, 10/01/19 - MBIA Insured 1,300 Sunrise, Florida, Utility System Revenue Refunding Bonds, 10/06 at 102.00 AAA 1,400,346 Series 1996, 5.800%, 10/01/11 - AMBAC Insured 2,000 Village Center Community Development District, Florida, 10/13 at 101.00 AAA 2,168,500 Utility Revenue Bonds, Series 2003, 5.250%, 10/01/23 - MBIA Insured 1,100 Wauchula, Florida, Utility Revenue Bonds, Series 2001A, 10/11 at 101.00 AAA 1,129,413 5.000%, 10/01/31 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ $ 341,360 Total Long-Term Investments (cost $313,281,762) - 145.7% 338,054,654 =============----------------------------------------------------------------------------------------------------------------------- SHORT-TERM INVESTMENTS - 0.3% (0.2% OF TOTAL INVESTMENTS) 700 Puerto Rico Government Development Bank, Adjustable A-1 700,000 Refunding Bonds, Variable Rate Demand Obligations, Series 1985, 1.920%, 12/01/15 - MBIA Insured+ - ------------------------------------------------------------------------------------------------------------------------------------ $ 700 Total Short-Term Investments (cost $700,000) 700,000 =============----------------------------------------------------------------------------------------------------------------------- Total Investments (cost $313,981,762) - 146.0% 338,754,654 -------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.8% 4,339,861 -------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (47.8)% (111,000,000) -------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 232,094,515 ====================================================================================================================
All of the bonds in the portfolio are either covered by Original Issue Insurance, Secondary Market Insurance or Portfolio Insurance, or are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, any of which ensure the timely payment of principal and interest. (1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. * Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings: Using the higher of Standard & Poor's or Moody's rating. *** Securities are backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensures the timely payment of principal and interest. + Security has a maturity of more than one year, but has variable rate and demand features which qualify it as a short-term security. The rate disclosed is that currently in effect. This rate changes periodically based on market conditions or a specified market index. See accompanying notes to financial statements. 29 Nuveen Insured Florida Tax-Free Advantage Municipal Fund (NWF) Portfolio of INVESTMENTS December 31, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ EDUCATION AND CIVIC ORGANIZATIONS - 12.3% (8.2% OF TOTAL INVESTMENTS) $ 2,240 FSU Financial Assistance Inc., Florida, General Revenue No Opt. Call AAA $ 2,489,984 Bonds, Educational and Athletic Facilities Improvements, Series 2004, 5.000%, 10/01/14 - AMBAC Insured 1,985 North Miami, Florida, Educational Facilities Revenue 4/13 at 100.00 AAA 2,113,866 Refunding Bonds, Johnson and Wales University, Series 2003A, 5.000%, 4/01/19 - XLCA Insured Volusia County Educational Facilities Authority, Florida, Revenue Refunding Bonds, Embry-Riddle Aeronautical University Project, Series 2003: 1,000 5.200%, 10/15/26 - RAAI Insured 10/13 at 100.00 AA 1,042,320 1,250 5.200%, 10/15/33 - RAAI Insured 10/13 at 100.00 AA 1,286,138 - ------------------------------------------------------------------------------------------------------------------------------------ HEALTHCARE - 16.1% (10.7% OF TOTAL INVESTMENTS) 4,000 Highlands County Health Facilities Authority, Florida, Hospital 11/13 at 100.00 A 4,336,000 Revenue Bonds, Adventist Health System/Sunbelt Obligated Group, Series 2003D, 5.875%, 11/15/29 3,000 Pinellas County Health Facilities Authority, Florida, Revenue 5/13 at 100.00 A1 3,189,090 Bonds, Baycare Health System, Series 2003, 5.750%, 11/15/27 1,500 South Miami Health Facilities Authority, Florida, Hospital 2/13 at 100.00 AA- 1,539,645 Revenue Bonds, Baptist Health Systems of South Florida, Series 2003, 5.200%, 11/15/28 - ------------------------------------------------------------------------------------------------------------------------------------ HOUSING/SINGLE FAMILY - 1.9% (1.3% OF TOTAL INVESTMENTS) 1,010 Florida Housing Finance Agency, GNMA Collateralized Home No Opt. Call AAA 1,069,630 Ownership Revenue Refunding Bonds, Series 1987G-1, 8.595%, 11/01/17 - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/GENERAL - 8.2% (5.4% OF TOTAL INVESTMENTS) 1,665 Florida State Board of Education, Full Faith and Credit Public 6/12 at 101.00 AAA 1,710,638 Education Capital Outlay Bonds, Series 2002A, 5.000%, 6/01/32 - MBIA Insured 2,660 Grand Prairie Independent School District, Dallas County, 2/13 at 100.00 AAA 2,883,759 Texas, General Obligation Bonds, Series 2003, 5.375%, 2/15/26 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED - 78.3% (52.1% OF TOTAL INVESTMENTS) 1,000 Escambia County, Florida, Sales Tax Revenue Refunding 10/12 at 101.00 AAA 1,106,300 Bonds, Series 2002, 5.250%, 10/01/17 - AMBAC Insured 1,525 Fernandina Beach, Florida, Utility Acquisition and Improvement 9/13 at 100.00 AAA 1,611,071 Revenue Bonds, Series 2003, 5.000%, 9/01/23 - FGIC Insured 3,000 Florida Municipal Loan Council, Revenue Bonds, 12/13 at 100.00 AAA 3,099,030 Series 2003B, 5.000%, 12/01/28 - MBIA Insured 4,000 Hillsborough County School Board, Florida, Certificates 7/13 at 100.00 AAA 4,124,280 of Participation, Series 2003, 5.000%, 7/01/29 - MBIA Insured (PLG) 2,270 Jacksonville, Florida, Local Government Sales Tax Revenue 10/12 at 100.00 AAA 2,534,387 Refunding and Improvement Bonds, Series 2002, 5.375%, 10/01/18 - FGIC Insured 2,265 Lakeland, Florida, Utility Tax Revenue Bonds, Series 2003B, 10/12 at 100.00 AAA 2,409,099 5.000%, 10/01/20 - AMBAC Insured 1,000 Lee County, Florida, Local Option Gas Tax Revenue Bonds, 10/14 at 100.00 Aaa 1,073,750 Series 2004, 5.000%, 10/01/20 - FGIC Insured 2,000 Orange County, Florida, Sales Tax Revenue Bonds, 1/13 at 100.00 AAA 2,174,860 Series 2002A, 5.125%, 1/01/17 - FGIC Insured 1,500 Orange County, Florida, Sales Tax Revenue Bonds, 1/13 at 100.00 AAA 1,554,750 Series 2002B, 5.125%, 1/01/32 - FGIC Insured 3,370 Osceola County School Board, Florida, Certificates of 6/12 at 101.00 Aaa 3,632,860 Participation, Series 2002A, 5.125%, 6/01/20 - AMBAC Insured 3,335 Palm Bay, Florida, Local Optional Gas Tax Revenue Bonds, 10/14 at 100.00 AAA 3,687,076 Series 2004, 5.250%, 10/01/20 - MBIA Insured 30 PRINCIPAL OPTIONAL CALL MARKET AMOUNT (000) DESCRIPTION(1) PROVISIONS* RATINGS** VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TAX OBLIGATION/LIMITED (continued) $ Palm Beach County School Board, Florida, Certificates of Participation, Series 2002D: 2,950 5.250%, 8/01/20 - FSA Insured 8/12 at 100.00 AAA $ 3,213,612 3,670 5.000%, 8/01/28 - FSA Insured 8/12 at 100.00 AAA 3,768,870 3,460 Palm Beach Gardens, Florida, Special Obligation Revenue 2/13 at 100.00 AAA 3,694,104 Bonds, Series 2004, 5.000%, 5/01/20 - AMBAC Insured 2,115 Port St. Lucie, Florida, Sales Tax Revenue Bonds, 9/13 at 100.00 AAA 2,234,371 Series 2003, 5.000%, 9/01/23 - MBIA Insured 4,000 St. Lucie County School Board, Florida, Certificates 7/14 at 100.00 AAA 4,205,320 of Participation, Master Lease Program, Series 2004A, 5.000%, 7/01/24 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ TRANSPORTATION - 11.0% (7.3% OF TOTAL INVESTMENTS) 2,000 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/12 at 100.00 AAA 2,052,300 Revenue Bonds, Series 2002A, 5.125%, 10/01/32 - FSA Insured 2,105 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/13 at 100.00 AAA 2,267,864 Revenue Refunding Bonds, Series 2003A, 5.000%, 10/01/17 - FSA Insured 1,730 Lee County, Florida, Transportation Facilities Revenue Bonds, 10/14 at 100.00 AAA 1,846,100 Series 2004B, 5.000%, 10/01/22 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ UTILITIES - 3.8% (2.5% OF TOTAL INVESTMENTS) 2,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/12 at 101.00 AAA 2,126,540 Series 2002II, 5.125%, 7/01/26 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ WATER AND SEWER - 18.8% (12.5% OF TOTAL INVESTMENTS) 2,000 JEA, Florida, Water and Sewerage System Revenue Bonds, 4/07 at 100.00 AAA 2,090,060 Series 2002A, 5.375%, 10/01/30 - MBIA Insured 3,000 Marco Island, Florida, Water Utility System Revenue Bonds, 10/13 at 100.00 AAA 3,117,210 Series 2003, 5.000%, 10/01/27 - MBIA Insured 2,000 Miami-Dade County, Florida, Water and Sewer System 10/09 at 101.00 AAA 2,045,240 Revenue Bonds, Series 1999A, 5.000%, 10/01/29 - FGIC Insured 500 North Port, Florida, Utility System Revenue Bonds, 10/10 at 101.00 Aaa 517,705 Series 2000, 5.000%, 10/01/25 - FSA Insured 1,095 Palm Bay, Florida, Utility System Revenue Bonds, 10/14 at 100.00 AAA 1,210,599 Series 2004, 5.250%, 10/01/20 - MBIA Insured 1,500 Port St. Lucie, Florida, Stormwater Utility System Revenue 5/12 at 100.00 AAA 1,569,674 Refunding Bonds, Series 2002, 5.000%, 5/01/23 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ $ 79,700 Total Long-Term Investments (cost $81,538,451) - 150.4% 84,628,102 =============----------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.1% 632,519 -------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (51.5)% (29,000,000) -------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 56,260,621 ====================================================================================================================
31 Nuveen Insured Florida Tax-Free Advantage Municipal Fund (NWF) (continued) Portfolio of INVESTMENTS December 31, 2004 (Unaudited) FORWARD SWAP CONTRACTS OUTSTANDING AT DECEMBER 31, 2004:
SWAP UNREALIZED NOTIONAL EFFECTIVE TERMINATION APPRECIATION AMOUNT DATE(2) DATE (DEPRECIATION) - ------------------------------------------------------------------------------------------------------------------------------------ Agreement with JPMorgan dated July 1, 2004, to pay semi-annually the notional amount multiplied by 5.805% (annualized) and receive quarterly the notional amount multiplied by the three-month USD-LIBOR (United States Dollar - London Inter-Bank Offered Rates). $3,400,000 2/02/05 2/02/25 $(282,811) Agreement with Morgan Stanley dated July 15, 2004, to pay semi-annually the notional amount multiplied by 5.717% (annualized) and receive quarterly the notional amount multiplied by the three-month USD-LIBOR (United States Dollar - London Inter-Bank Offered Rates). 2,200,000 1/14/05 1/14/35 (163,820) Agreement with Morgan Stanley dated December 8, 2004, to pay semi-annually the notional amount multiplied by 5.313% (annualized) and receive quarterly the notional amount multiplied by the three-month USD-LIBOR (United States Dollar - London Inter-Bank Offered Rates). 700,000 7/18/05 7/18/35 (194) - ------------------------------------------------------------------------------------------------------------------------------------ $(446,825) - ------------------------------------------------------------------------------------------------------------------------------------
At least 80% of the Fund's net assets (including net assets applicable to Preferred shares) are invested in municipal securities that are either covered by Original Issue Insurance, Secondary Market Insurance or Portfolio Insurance which ensures the timely payment of principal and interest. Up to 20% of the Fund's net assets (including net assets applicable to Preferred shares) may be invested in municipal securities that are (i) either backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities (also ensuring the timely payment of principal and interest), or (ii) municipal bonds that are rated, at the time of investment, within the four highest grades (Baa or BBB or better by Moody's, S&P or Fitch) or unrated but judged to be of comparable quality by the Adviser. (1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Effective date represents the date on which both the Fund and counterparty commence interest payment accruals on each forward swap contract. * Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. ** Ratings: Using the higher of Standard & Poor's or Moody's rating. (PLG) Portion of security, with an aggregate market value of $360,875, has been pledged to collateralize the net payment obligations under forward swap contracts. See accompanying notes to financial statements. 32 Statement of ASSETS AND LIABILITIES December 31, 2004 (Unaudited)
FLORIDA FLORIDA INSURED FLORIDA INSURED FLORIDA INVESTMENT QUALITY QUALITY INCOME PREMIUM INCOME TAX-FREE ADVANTAGE (NQF) (NUF) (NFL) (NWF) - ------------------------------------------------------------------------------------------------------------------------------------ ASSETS Investments, at market value (cost $358,033,426, $319,664,835, $313,981,762 and $81,538,451, respectively) $382,920,166 $335,089,342 $338,754,654 $84,628,102 Cash -- -- 144,223 -- Receivables: Interest 4,869,306 4,680,742 4,240,522 1,167,861 Investments sold 700,000 165,000 186,524 5,000 Other assets 22,706 36,626 22,435 970 - ------------------------------------------------------------------------------------------------------------------------------------ Total assets 388,512,178 339,971,710 343,348,358 85,801,933 - ------------------------------------------------------------------------------------------------------------------------------------ LIABILITIES Bank borrowings 413,273 877,643 -- 56,200 Forward swaps, at value -- -- -- 446,825 Accrued expenses: Management fees 206,888 181,209 183,806 23,295 Other 60,850 55,400 67,799 14,833 Preferred share dividends payable 5,808 1,722 2,238 159 - ------------------------------------------------------------------------------------------------------------------------------------ Total liabilities 686,819 1,115,974 253,843 541,312 - ------------------------------------------------------------------------------------------------------------------------------------ Preferred shares, at liquidation value 132,000,000 117,000,000 111,000,000 29,000,000 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares $255,825,359 $221,855,736 $232,094,515 $56,260,621 ==================================================================================================================================== Common shares outstanding 16,566,145 14,293,688 14,369,451 3,882,034 ==================================================================================================================================== Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding) $ 15.44 $ 15.52 $ 16.15 $ 14.49 ==================================================================================================================================== NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF: - ------------------------------------------------------------------------------------------------------------------------------------ Common shares, $.01 par value per share $ 165,661 $ 142,937 $ 143,695 $ 38,820 Paid-in surplus 231,376,814 205,962,145 203,992,898 54,741,760 Undistributed (Over-distribution of) net investment income 2,112,275 1,662,851 2,453,885 (177,455) Accumulated net realized gain (loss) from investments and forward swaps (2,716,131) (1,336,704) 731,145 (985,330) Net unrealized appreciation (depreciation) of investments and forward swaps 24,886,740 15,424,507 24,772,892 2,642,826 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares $255,825,359 $221,855,736 $232,094,515 $56,260,621 ==================================================================================================================================== Authorized shares: Common Unlimited Unlimited Unlimited Unlimited Preferred Unlimited Unlimited Unlimited Unlimited ====================================================================================================================================
See accompanying notes to financial statements. 33 Statement of OPERATIONS Six Months Ended December 31, 2004 (Unaudited)
FLORIDA FLORIDA INSURED FLORIDA INSURED FLORIDA INVESTMENT QUALITY QUALITY INCOME PREMIUM INCOME TAX-FREE ADVANTAGE (NQF) (NUF) (NFL) (NWF) - ------------------------------------------------------------------------------------------------------------------------------------ INVESTMENT INCOME $ 9,682,388 $ 8,163,462 $ 8,547,520 $1,977,099 - ------------------------------------------------------------------------------------------------------------------------------------ EXPENSES Management fees 1,227,114 1,074,449 1,092,984 274,673 Preferred shares - auction fees 166,356 147,452 139,890 36,548 Preferred shares - dividend disbursing agent fees 10,081 15,123 10,081 5,042 Shareholders' servicing agent fees and expenses 14,417 11,175 10,786 475 Custodian's fees and expenses 53,684 40,435 37,971 11,246 Trustees' fees and expenses 4,803 4,223 4,345 1,107 Professional fees 61,276 36,788 9,783 4,805 Shareholders' reports - printing and mailing expenses 18,378 11,370 10,816 2,988 Stock exchange listing fees 5,494 5,590 5,551 166 Investor relations expense 22,373 19,445 19,734 5,021 Other expenses 11,322 11,993 10,527 5,015 - ------------------------------------------------------------------------------------------------------------------------------------ Total expenses before custodian fee credit and expense reimbursement 1,595,298 1,378,043 1,352,468 347,086 Custodian fee credit (5,771) (6,468) (7,014) (2,677) Expense reimbursement -- -- -- (136,334) - ------------------------------------------------------------------------------------------------------------------------------------ Net expenses 1,589,527 1,371,575 1,345,454 208,075 - ------------------------------------------------------------------------------------------------------------------------------------ Net investment income 8,092,861 6,791,887 7,202,066 1,769,024 - ------------------------------------------------------------------------------------------------------------------------------------ REALIZED AND UNREALIZED GAIN (LOSS) Net realized gain (loss) from investments 78,821 (1,323,675) 1,108,195 (33,002) Net realized gain (loss) from forward swaps -- -- -- (102,111) Change in net unrealized appreciation (depreciation) of investments 11,293,396 12,226,464 8,855,583 3,320,963 Change in net unrealized appreciation (depreciation) of forward swaps -- -- -- (446,825) - ------------------------------------------------------------------------------------------------------------------------------------ Net realized and unrealized gain 11,372,217 10,902,789 9,963,778 2,739,025 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO PREFERRED SHAREHOLDERS From net investment income (630,486) (527,846) (530,250) (134,580) From accumulated net realized gains from investments -- -- (74,233) -- - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets applicable to Common shares from distributions to Preferred shareholders (630,486) (527,846) (604,483) (134,580) - ------------------------------------------------------------------------------------------------------------------------------------ Net increase in net assets applicable to Common shares from operations $18,834,592 $17,166,830 $16,561,361 $4,373,469 ====================================================================================================================================
See accompanying notes to financial statements. 34 Statement of CHANGES IN NET ASSETS (Unaudited)
FLORIDA INVESTMENT QUALITY (NQF) FLORIDA QUALITY INCOME (NUF) ------------------------------------- ------------------------------------- SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED 12/31/04 6/30/04 12/31/04 6/30/04 - ------------------------------------------------------------------------------------------------------------------------------------ OPERATIONS Net investment income $ 8,092,861 $ 17,514,092 $ 6,791,887 $ 14,877,577 Net realized gain (loss) from investments 78,821 (2,803,982) (1,323,675) (32,845) Net realized gain (loss) from forward swaps -- -- -- -- Change in net unrealized appreciation (depreciation) of investments 11,293,396 (11,261,628) 12,226,464 (11,076,128) Change in net unrealized appreciation (depreciation) of forward swaps -- -- -- -- Distributions to Preferred shareholders: From net investment income (630,486) (935,071) (527,846) (760,122) From accumulated net realized gains from investments -- (222,346) -- (126,819) - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from operations 18,834,592 2,291,065 17,166,830 2,881,663 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO COMMON SHAREHOLDERS From net investment income (8,343,902) (16,718,800) (7,072,876) (14,211,785) From accumulated net realized gains from investments -- (3,231,994) -- (2,042,597) - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets applicable to Common shares from distributions to Common shareholders (8,343,902) (19,950,794) (7,072,876) (16,254,382) - ------------------------------------------------------------------------------------------------------------------------------------ CAPITAL SHARE TRANSACTIONS Net proceeds from Common shares issued to shareholders due to reinvestment of distributions 289,622 848,891 103,211 720,589 Preferred shares offering costs -- -- -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase in net assets applicable to Common shares from capital share transactions 289,622 848,891 103,211 720,589 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares 10,780,312 (16,810,838) 10,197,165 (12,652,130) Net assets applicable to Common shares at the beginning of period 245,045,047 261,855,885 211,658,571 224,310,701 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares at the end of period $255,825,359 $245,045,047 $221,855,736 $211,658,571 ==================================================================================================================================== Undistributed (Over-distribution of) net investment income at the end of period $ 2,112,275 $ 2,993,802 $ 1,662,851 $ 2,471,686 ====================================================================================================================================
See accompanying notes to financial statements. 35 Statement of CHANGES IN NET ASSETS (Unaudited) (continued)
INSURED FLORIDA INSURED FLORIDA PREMIUM INCOME (NFL) TAX-FREE ADVANTAGE (NWF) ------------------------------------- ------------------------------------- SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED 12/31/04 6/30/04 12/31/04 6/30/04 - ------------------------------------------------------------------------------------------------------------------------------------ OPERATIONS Net investment income $ 7,202,066 $ 14,694,385 $ 1,769,024 $ 3,621,778 Net realized gain (loss) from investments 1,108,195 1,274,638 (33,002) (853,466) Net realized gain (loss) from forward swaps -- -- (102,111) -- Change in net unrealized appreciation (depreciation) of investments 8,855,583 (13,917,598) 3,320,963 (2,969,559) Change in net unrealized appreciation (depreciation) of forward swaps -- -- (446,825) -- Distributions to Preferred shareholders: From net investment income (530,250) (788,965) (134,580) (201,060) From accumulated net realized gains from investments (74,233) (113,631) -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from operations 16,561,361 1,148,829 4,373,469 (402,307) - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO COMMON SHAREHOLDERS From net investment income (6,917,713) (13,709,147) (1,626,406) (3,352,591) From accumulated net realized gains from investments (1,576,329) (1,461,384) -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets applicable to Common shares from distributions to Common shareholders (8,494,042) (15,170,531) (1,626,406) (3,352,591) - ------------------------------------------------------------------------------------------------------------------------------------ CAPITAL SHARE TRANSACTIONS Net proceeds from Common shares issued to shareholders due to reinvestment of distributions 61,945 496,462 9,908 43,015 Preferred shares offering costs -- -- -- (7,003) - ------------------------------------------------------------------------------------------------------------------------------------ Net increase in net assets applicable to Common shares from capital share transactions 61,945 496,462 9,908 36,012 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares 8,129,264 (13,525,240) 2,756,971 (3,718,886) Net assets applicable to Common shares at the beginning of period 223,965,251 237,490,491 53,503,650 57,222,536 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares at the end of period $232,094,515 $223,965,251 $56,260,621 $53,503,650 ==================================================================================================================================== Undistributed (Over-distribution of) net investment income at the end of period $ 2,453,885 $ 2,699,782 $ (177,455) $ (185,493) ====================================================================================================================================
See accompanying notes to financial statements. 36 Notes to FINANCIAL STATEMENTS (Unaudited) 1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES The state funds (the "Funds") covered in this report and their corresponding Common share stock exchange symbols are Nuveen Florida Investment Quality Municipal Fund (NQF), Nuveen Florida Quality Income Municipal Fund (NUF), Nuveen Insured Florida Premium Income Municipal Fund (NFL) and Nuveen Insured Florida Tax-Free Advantage Municipal Fund (NWF). Common shares of Florida Investment Quality (NQF), Florida Quality Income (NUF) and Insured Florida Premium Income (NFL) are traded on the New York Stock Exchange while Common shares of Insured Florida Tax-Free Advantage (NWF) are traded on the American Stock Exchange. The Funds are registered under the Investment Company Act of 1940, as amended, as closed-end management investment companies. Each Fund seeks to provide current income exempt from regular federal income tax, and in the case of Insured Florida Tax-Free Advantage (NWF) the alternative minimum tax applicable to individuals, by investing primarily in a diversified portfolio of municipal obligations issued by state and local government authorities within the state of Florida. The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with U.S. generally accepted accounting principles. Investment Valuation The prices of municipal bonds in each Fund's investment portfolio are provided by a pricing service approved by the Fund's Board of Trustees. When price quotes are not readily available (which is usually the case for municipal securities), the pricing service establishes fair market value based on yields or prices of municipal bonds of comparable quality, type of issue, coupon, maturity and rating, indications of value from securities dealers, evaluations of anticipated cash flows or collateral and general market conditions. Prices of derivative investments are also provided by an independent pricing service approved by each Fund's Board of Trustees. If the pricing service is unable to supply a price for a derivative investment each Fund may use a market quote provided by a major broker/dealer in such investments. If it is determined that market prices for an investment are unavailable or inappropriate, the Board of Trustees of the Funds, or its designee, may establish a fair value for the investment. Temporary investments in securities that have variable rate and demand features qualifying them as short-term securities are valued at amortized cost, which approximates market value. Securities Transactions Securities transactions are recorded on a trade date basis. Realized gains and losses from transactions are determined on the specific identification method. Securities purchased on a when-issued or delayed delivery basis may have extended settlement periods. Any securities so purchased are subject to market fluctuation during this period. The Funds have instructed the custodian to segregate assets with a current value at least equal to the amount of the when-issued and delayed delivery purchase commitments. At December 31, 2004, there were no such outstanding purchase commitments in any of the Funds. Investment Income Interest income, which includes the amortization of premiums and accretion of discounts for financial reporting purposes, is recorded on an accrual basis. Investment income also includes paydown gains and losses, if any. Professional Fees Professional fees presented in the Statement of Operations consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment, or to pursue other claims or legal actions on behalf of the Fund's shareholders. Income Taxes Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required. Furthermore, each Fund intends to satisfy conditions which will enable interest from municipal securities, which is exempt from regular federal income tax, and in the case of Insured Florida Tax-Free Advantage (NWF) the alternative minimum tax applicable to individuals, to retain such tax-exempt status when distributed to shareholders of the Funds. The investment policies of Insured Florida Tax-Free Advantage (NWF) permit the Fund to invest in a limited amount of out-of-state securities. Although the Fund may pursue this strategy from time to time, this strategy will not impact the tax-exempt status of the Fund's shares or of its distributions to its shareholders. Net realized capital gains and ordinary income distributions paid by the Funds are subject to federal taxation. 37 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) Dividends and Distributions to Common Shareholders Dividends from tax-exempt net investment income are declared monthly. Net realized capital gains and/or market discount from investment transactions, if any, are distributed to shareholders not less frequently than annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards. Distributions to Common shareholders of tax-exempt net investment income, net realized capital gains and/or market discount, if any, are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. generally accepted accounting principles. Preferred Shares The Funds have issued and outstanding Preferred shares, $25,000 stated value per share, as a means of effecting financial leverage. Each Fund's Preferred shares are issued in one or more Series. The dividend rate on each Series is determined every seven days, pursuant to a dutch auction process overseen by the auction agent, and is payable weekly at the end of each rate period. The number of Preferred shares outstanding, by Series and in total, for each Fund is as follows: INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - -------------------------------------------------------------------------------- Number of shares: Series M -- 1,700 -- -- Series T 3,080 -- -- -- Series W -- -- 1,640 1,160 Series TH -- 1,700 2,800 -- Series F 2,200 1,280 -- -- - -------------------------------------------------------------------------------- Total 5,280 4,680 4,440 1,160 ================================================================================ Forward Swap Transactions The Funds may invest in certain derivative financial instruments. The Funds' use of forward interest rate swap transactions is intended to mitigate the negative impact that an increase in long-term interest rates could have on Common share net asset value. Forward interest rate swap transactions involve each Fund's agreement with the counterparty to pay, in the future, a fixed rate payment in exchange for the counterparty paying the Fund a variable rate payment. The amount of the payment obligation is based on the notional amount of the forward swap contract. The Funds may close out a contract prior to the effective date at which point a realized gain or loss would be recognized. When a forward swap is terminated, it does not involve the delivery of securities or other underlying assets or principal, but rather is settled in cash. Each Fund intends, but is not obligated to, terminate its forward swaps before the effective date. Accordingly, the risk of loss with respect to the swap counterparty on such transactions is limited to the credit risk associated with a counterparty failing to honor its commitment to pay any realized gain to the Fund upon termination. To minimize such credit risk, all counterparties are required to pledge collateral daily (based on the daily valuation of each swap) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when any of the Funds have an unrealized loss on a swap contract, the Funds have instructed the custodian to pledge assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the swap valuations fluctuate, either up or down, by at least the pre-determined threshold amount. Insurance Insured Florida Premium Income (NFL) invests in municipal securities which are either covered by insurance or are backed by an escrow or trust account containing sufficient U.S. Government or U.S. Government agency securities, both of which ensure the timely payment of principal and interest. 38 Insured Florida Tax-Free Advantage (NWF) invests at least 80% of its net assets (including net assets applicable to Preferred shares) in municipal securities that are covered by insurance. The Fund may also invest up to 20% of its net assets (including net assets applicable to Preferred shares) in municipal securities which are either (i) backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, or (ii) municipal bonds that are rated, at the time of investment, within the four highest grades (Baa or BBB or better by Moody's, S&P or Fitch) or unrated but judged to be of comparable quality by the Adviser. Each insured municipal security is covered by Original Issue Insurance, Secondary Market Insurance or Portfolio Insurance. Such insurance does not guarantee the market value of the municipal securities or the value of the Funds' Common shares. Original Issue Insurance and Secondary Market Insurance remain in effect as long as the municipal securities covered thereby remain outstanding and the insurer remains in business, regardless of whether the Funds ultimately dispose of such municipal securities. Consequently, the market value of the municipal securities covered by Original Issue Insurance or Secondary Market Insurance may reflect value attributable to the insurance. Portfolio Insurance, in contrast, is effective only while the municipal securities are held by the Funds. Accordingly, neither the prices used in determining the market value of the underlying municipal securities nor the Common share net asset value of the Funds include value, if any, attributable to the Portfolio Insurance. Each policy of the Portfolio Insurance does, however, give the Funds the right to obtain permanent insurance with respect to the municipal security covered by the Portfolio Insurance policy at the time of its sale. Bank Borrowings The Funds' have an unsecured bank line of credit under which outstanding balances bear interest at a variable rate equal to the Federal Funds Rate plus ..45% per annum. As of December 31, 2004, the Funds were paying interest at 2.7625% per year on their respective outstanding borrowings. No compensating balances are required. Custodian Fee Credit Each Fund has an arrangement with the custodian bank whereby certain custodian fees and expenses are reduced by credits earned on each Fund's cash on deposit with the bank. Such deposit arrangements are an alternative to overnight investments. Indemnifications Under the Fund's organizational documents, its Officers and Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Funds enter into contracts that provide general indemnifications to other parties. The Funds' maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets applicable to Common shares from operations during the reporting period. Actual results may differ from those estimates. 2. FUND SHARES Transactions in Common shares were as follows:
FLORIDA FLORIDA INVESTMENT QUALITY (NQF) QUALITY INCOME (NUF) ------------------------ ------------------------ SIX MONTHS SIX MONTHS ENDED YEAR ENDED ENDED YEAR ENDED 12/31/04 6/30/04 12/31/04 6/30/04 - --------------------------------------------------------------------------------------------------------- Common shares issued to shareholders due to reinvestment of distributions 18,713 51,656 6,682 44,713 ========================================================================================================= INSURED FLORIDA INSURED FLORIDA PREMIUM INCOME (NFL) TAX-FREE ADVANTAGE (NWF) ---------------------- ------------------------ SIX MONTHS SIX MONTHS ENDED YEAR ENDED ENDED YEAR ENDED 12/31/04 6/30/04 12/31/04 6/30/04 - --------------------------------------------------------------------------------------------------------- Common shares issued to shareholders due to reinvestment of distributions 3,680 29,319 670 2,781 =========================================================================================================
39 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) 3. SECURITIES TRANSACTIONS Purchases and sales (including maturities) of investments in long-term municipal securities during the six months ended December 31, 2004, were as follows: INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - -------------------------------------------------------------------------------- Purchases $43,278,672 $62,577,623 $20,072,579 $1,073,460 Sales and maturities 48,067,050 58,826,525 21,186,333 240,000 ================================================================================ 4. INCOME TAX INFORMATION The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to the treatment of paydown gains and losses on investments, timing differences in recognizing income on taxable market discount securities and timing differences in recognizing certain gains and losses on security transactions. At December 31, 2004, the cost of investments was as follows: INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - -------------------------------------------------------------------------------- Cost of investments $357,800,249 $319,661,218 $313,925,355 $81,538,449 ================================================================================ Gross unrealized appreciation and gross unrealized depreciation of investments at December 31, 2004, were as follows: INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - -------------------------------------------------------------------------------- Gross unrealized: Appreciation $25,492,162 $15,487,662 $24,977,516 $3,167,073 Depreciation (372,245) (59,538) (148,217) (77,420) - -------------------------------------------------------------------------------- Net unrealized appreciation of investments $25,119,917 $15,428,124 $24,829,299 $3,089,653 ================================================================================ The tax components of undistributed net investment income and net realized gains at June 30, 2004, the Funds' last fiscal year end, were as follows:
INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - ---------------------------------------------------------------------------------------------------------- Undistributed net tax-exempt income * $4,152,700 $3,661,789 $3,661,547 $97,307 Undistributed net ordinary income ** 31,488 3,752 22,105 -- Undistributed net long-term capital gains -- -- 1,419,016 -- =========================================================================================================
* Undistributed net tax exempt income (on a tax basis) has not been reduced for the dividend declared on June 1, 2004, paid on July 1, 2004. ** Net ordinary income consists of taxable market discount income and net short-term capital gains, if any. 40 The tax character of distributions paid during the fiscal year ended June 30, 2004, the Funds' last fiscal year end, was designated for purposes of the dividends paid deduction as follows:
INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - --------------------------------------------------------------------------------------------------------- Distributions from net tax-exempt income $17,592,549 $14,970,905 $14,475,786 $3,554,044 Distributions from net ordinary income ** 212,385 266,129 328,384 -- Distributions from net long-term capital gains 3,289,856 1,903,287 1,248,969 -- =========================================================================================================
** Net ordinary income consists of taxable market discount income and net short-term capital gains, if any. At June 30, 2004, the Funds' last fiscal year end, the following Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as follows: INSURED FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY TAX-FREE QUALITY INCOME ADVANTAGE (NQF) (NUF) (NWF) - -------------------------------------------------------------------------------- Expiration year: 2012 $150,118 $13,592 $837,725 ================================================================================ The following Funds elected to defer net realized losses from investments incurred from November 1, 2003 through June 30, 2004 ("post-October losses") in accordance with Federal income tax regulations. The following post-October losses are treated as having arisen on the first day of the current fiscal year: INSURED FLORIDA FLORIDA INVESTMENT TAX-FREE QUALITY ADVANTAGE (NQF) (NWF) - -------------------------------------------------------------------------------- $2,650,488 $12,492 ================================================================================ 5. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES As approved by the Board of Trustees, effective August 1, 2004, a complex-wide management fee structure was adopted for all funds sponsored by Nuveen Advisory Corp. (the "Adviser"), a wholly owned subsidiary of Nuveen Investments, Inc. ("Nuveen") and its affiliates. This fee structure separates each fund's management fee into two components - a complex-level component, based on the aggregate amount of all funds assets managed by the Adviser and its affiliates, and a specific fund-level component, based only on the amount of assets within each individual fund. This pricing structure enables Nuveen fund shareholders to benefit from growth in the assets within each individual fund as well as from growth in the amount of complex-wide assets managed by the Adviser and its affiliates. Under no circumstances will this pricing structure result in a fund paying management fees at a rate higher than would otherwise have been applicable had the complex-wide management fee structure not been implemented. As a consequence of this new management fee structure, the funds' effective management fees were reduced by approximately .009% as of January 31, 2005. Effective August 1, 2004, the annual fund-level fee, payable monthly, for each of the Funds is based upon the average daily net assets (including net assets attributable to Preferred shares) of each Fund as follows: FLORIDA INVESTMENT QUALITY (NQF) AVERAGE DAILY NET ASSETS FLORIDA QUALITY INCOME (NUF) (INCLUDING NET ASSETS INSURED FLORIDA PREMIUM INCOME (NFL) ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE - -------------------------------------------------------------------------------- For the first $125 million .4500% For the next $125 million .4375 For the next $250 million .4250 For the next $500 million .4125 For the next $1 billion .4000 For the next $3 billion .3875 For net assets over $5 billion .3750 ================================================================================ 41 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS INSURED FLORIDA TAX-FREE ADVANTAGE (NWF) ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE - -------------------------------------------------------------------------------- For the first $125 million .4500% For the next $125 million .4375 For the next $250 million .4250 For the next $500 million .4125 For the next $1 billion .4000 For net assets over $2 billion .3750 ================================================================================ Effective August 1, 2004, the annual complex-level fee, payable monthly, which is additive to the fund-level fee, for all Nuveen sponsored funds in the U.S., is based on the aggregate amount of total fund assets managed as follows: COMPLEX-LEVEL ASSETS(1) COMPLEX-LEVEL FEE RATE - -------------------------------------------------------------------------------- For the first $55 billion .2000% For the next $1 billion .1800 For the next $1 billion .1600 For the next $3 billion .1425 For the next $3 billion .1325 For the next $3 billion .1250 For the next $5 billion .1200 For the next $5 billion .1175 For the next $15 billion .1150 For Managed Assets over $91 billion (2) .1400 ================================================================================ (1) The complex-level fee component of the management fee for the funds is calculated based upon the aggregate Managed Assets ("Managed Assets" means the average daily net assets of each fund including assets attributable to all types of leverage used by the Nuveen funds) of Nuveen-sponsored funds in the U.S. (2) With respect to the complex-wide Managed Assets over $91 billion, the fee rate or rates that will apply to such assets will be determined at a later date. In the unlikely event that complex-wide Managed Assets reach $91 billion prior to a determination of the complex-level fee rate or rates to be applied to Managed Assets in excess of $91 billion, the complex-level fee rate for such complex-wide Managed Assets shall be .1400% until such time as a different rate or rates is determined. Each Fund paid through July 31, 2004, an annual management fee, payable monthly, at the rates set forth below, which were based upon the average daily net assets (including net assets attributable to Preferred shares) of each Fund as follows: FLORIDA INVESTMENT QUALITY (NQF) AVERAGE DAILY NET ASSETS FLORIDA QUALITY INCOME (NUF) (INCLUDING NET ASSETS INSURED FLORIDA PREMIUM INCOME (NFL) ATTRIBUTABLE TO PREFERRED SHARES) MANAGEMENT FEE RATE - -------------------------------------------------------------------------------- For the first $125 million .6500% For the next $125 million .6375 For the next $250 million .6250 For the next $500 million .6125 For the next $1 billion .6000 For the next $3 billion .5875 For net assets over $5 billion .5750 ================================================================================ AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS INSURED FLORIDA TAX-FREE ADVANTAGE (NWF) ATTRIBUTABLE TO PREFERRED SHARES) MANAGEMENT FEE RATE - -------------------------------------------------------------------------------- For the first $125 million .6500% For the next $125 million .6375 For the next $250 million .6250 For the next $500 million .6125 For the next $1 billion .6000 For net assets over $2 billion .5750 ================================================================================ 42 The management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Funds pay no compensation directly to those of its Trustees who are affiliated with the Adviser or to their officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Board of Trustees has adopted a deferred compensation plan for independent Trustees that enable Trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen advised Funds. Under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of select Nuveen advised Funds. For the first eight years of Insured Florida Tax-Free Advantage's (NWF) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily net assets (including net assets attributable to Preferred shares), for fees and expenses in the amounts and for the time periods set forth below: YEAR ENDING YEAR ENDING NOVEMBER 30, NOVEMBER 30, - -------------------------------------------------------------------------------- 2002* .32% 2007 .32% 2003 .32 2008 .24 2004 .32 2009 .16 2005 .32 2010 .08 2006 .32 ================================================================================ * From the commencement of operations. The Adviser has not agreed to reimburse Insured Florida Tax-Free Advantage (NWF) for any portion of its fees and expenses beyond November 30, 2010. 6. SUBSEQUENT EVENTS Distributions to Common Shareholders The Funds declared Common share dividend distributions from their tax-exempt net investment income which were paid on February 1, 2005, to shareholders of record on January 15, 2005, as follows: INSURED INSURED FLORIDA FLORIDA FLORIDA FLORIDA INVESTMENT QUALITY PREMIUM TAX-FREE QUALITY INCOME INCOME ADVANTAGE (NQF) (NUF) (NFL) (NWF) - -------------------------------------------------------------------------------- Dividend per share $.0815 $.0800 $.0800 $.0665 ================================================================================ Adviser Merger Effective January 1, 2005, the Adviser and its affiliate, Nuveen Institutional Advisory Corp. ("NIAC"), were merged into Nuveen Asset Management ("NAM"), also a wholly owned subsidiary of Nuveen. As a result of the merger, NAM is now the Adviser to all funds previously advised by either NIAC or the Adviser. Announcement Regarding Parent Company of Adviser After the close of trading on the New York Stock Exchange on January 31, 2005, The St. Paul Travelers Companies, Inc. announced that it intended to explore strategic alternatives to divest its equity stake in Nuveen. 43 Financial Highlights (Unaudited) Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions ------------------------------------------------------------------- -------------------------------- Distributions Distributions from Net from Net Beginning Net Investment Capital Investment Capital Common Realized/ Income to Gains to Income to Gains to Share Net Unrealized Preferred Preferred Common Common Net Asset Investment Investment Share- Share- Share- Share- Value Income Gain (Loss) holders+ holders+ Total holders holders Total ==================================================================================================================================== FLORIDA INVESTMENT QUALITY (NQF) - ------------------------------------------------------------------------------------------------------------------------------------ Year Ended 6/30: 2005(b) $14.81 $ .49 $ .68 $(.04) $ -- $1.13 $ (.50) $ -- $ (.50) 2004 15.87 1.06 (.84) (.06) (.01) .15 (1.01) (.20) (1.21) 2003 15.19 1.10 .76 (.07) (.01) 1.78 (.97) (.13) (1.10) 2002 14.76 1.13 .41 (.11) (.02) 1.41 (.92) (.06) (.98) 2001 14.24 1.19 .52 (.30) -- 1.41 (.89) -- (.89) 2000 15.03 1.21 (.71) (.29) (.01) .20 (.94) (.03) (.97) FLORIDA QUALITY INCOME (NUF) - ------------------------------------------------------------------------------------------------------------------------------------ Year Ended 6/30: 2005(b) 14.81 .48 .77 (.04) -- 1.21 (.50) -- (.50) 2004 15.75 1.04 (.78) (.05) (.01) .20 (1.00) (.14) (1.14) 2003 15.23 1.08 .71 (.07) (.02) 1.70 (1.00) (.18) (1.18) 2002 15.02 1.18 .14 (.12) (.01) 1.19 (.94) (.04) (.98) 2001 14.57 1.20 .43 (.30) -- 1.33 (.88) -- (.88) 2000 15.37 1.19 (.77) (.29) -- .13 (.91) -- (.91) INSURED FLORIDA PREMIUM INCOME (NFL) - ------------------------------------------------------------------------------------------------------------------------------------ Year Ended 6/30: 2005(b) 15.59 .50 .70 (.04) (.01) 1.15 (.48) (.11) (.59) 2004 16.57 1.02 (.88) (.05) (.01) .08 (.96) (.10) (1.06) 2003 15.66 1.04 .89 (.08) -- 1.85 (.93) (.01) (.94) 2002 15.30 1.07 .27 (.12) -- 1.22 (.86) -- (.86) 2001 14.25 1.09 1.02 (.28) -- 1.83 (.78) -- (.78) 2000 14.86 1.06 (.59) (.28) -- .19 (.80) -- (.80) INSURED FLORIDA TAX-FREE ADVANTAGE (NWF) - ------------------------------------------------------------------------------------------------------------------------------------ Year Ended 6/30: 2005(b) 13.78 .46 .70 (.03) -- 1.13 (.42) -- (.42) 2004 14.75 .93 (.99) (.05) -- (.11) (.86) -- (.86) 2003(a) 14.33 .40 .70 (.03) -- 1.07 (.43) -- (.43) ==================================================================================================================================== Total Returns -------------------- Based Offering on Costs and Ending Common Preferred Common Based Share Share Share Ending on Net Underwriting Net Asset Market Market Asset Discounts Value Value Value** Value** ====================================================================================== FLORIDA INVESTMENT QUALITY (NQF) - -------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) $ -- $15.44 $15.2100 12.02% 7.73% 2004 -- 14.81 14.0300 (9.61) .95 2003 -- 15.87 16.7500 13.28 12.02 2002 -- 15.19 15.8300 13.27 9.77 2001 -- 14.76 14.8900 12.03 10.11 2000 (.02) 14.24 14.1250 (5.54) 1.39 FLORIDA QUALITY INCOME (NUF) - -------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) -- 15.52 15.5500 16.06 8.22 2004 -- 14.81 13.8400 (10.29) 1.29 2003 -- 15.75 16.6000 11.56 11.45 2002 -- 15.23 15.9900 13.80 8.15 2001 -- 15.02 14.9700 12.58 9.37 2000 (.02) 14.57 14.1250 (4.28) .87 INSURED FLORIDA PREMIUM INCOME (NFL) - -------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) -- 16.15 16.0700 17.12 7.45 2004 -- 15.59 14.2400 (11.70) .46 2003 -- 16.57 17.2200 16.05 12.10 2002 -- 15.66 15.7100 14.29 8.13 2001 -- 15.30 14.5400 18.32 13.09 2000 -- 14.25 13.0000 (5.17) 1.47 INSURED FLORIDA TAX-FREE ADVANTAGE (NWF) - -------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) -- 14.49 13.5400 7.76 8.27 2004 -- 13.78 12.9400 (13.56) (.79) 2003(a) (.22) 14.75 15.8700 8.82 6.08 ====================================================================================== Ratios/Supplemental Data -------------------------------------------------------------------------------------------------- Before Credit/Reimbursement After Credit/Reimbursement*** ------------------------------ -------------------------------- Ratio of Net Ratio of Net Ratio of Investment Ratio of Investment Ending Expenses Income to Expenses Income to Net to Average Average to Average Average Assets Net Assets Net Assets Net Assets Net Assets Applicable Applicable Applicable Applicable Applicable Portfolio to Common to Common to Common to Common to Common Turnover Shares (000) Shares++ Shares++ Shares++ Shares++ Rate ============================================================================================================================ FLORIDA INVESTMENT QUALITY (NQF) - ---------------------------------------------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) $255,825 1.25%* 6.33%* 1.24%* 6.34%* 11% 2004 245,045 1.25 6.92 1.25 6.92 23 2003 261,856 1.20 7.00 1.19 7.01 16 2002 249,833 1.26 7.53 1.23 7.56 34 2001 242,223 1.33 8.10 1.29 8.14 28 2000 233,290 1.26 8.45 1.24 8.48 16 FLORIDA QUALITY INCOME (NUF) - ---------------------------------------------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) 221,856 1.25* 6.13* 1.24* 6.14* 18 2004 211,659 1.25 6.83 1.25 6.83 38 2003 224,311 1.24 6.92 1.23 6.94 28 2002 216,044 1.28 7.81 1.26 7.83 30 2001 212,618 1.33 8.00 1.25 8.08 20 2000 206,212 1.26 8.08 1.23 8.10 20 INSURED FLORIDA PREMIUM INCOME (NFL) - ---------------------------------------------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) 232,095 1.16* 6.17* 1.15* 6.17* 6 2004 223,965 1.16 6.36 1.15 6.36 38 2003 237,490 1.18 6.41 1.16 6.42 14 2002 223,961 1.21 6.89 1.21 6.89 8 2001 218,642 1.27 7.22 1.26 7.23 20 2000 203,591 1.30 7.53 1.29 7.54 22 INSURED FLORIDA TAX-FREE ADVANTAGE (NWF) - ---------------------------------------------------------------------------------------------------------------------------- Year Ended 6/30: 2005(b) 56,261 1.24* 5.82* .74* 6.32* 0 2004 53,504 1.25 6.04 .74 6.56 130 2003(a) 57,223 1.15* 4.18* .67* 4.66* 46 ============================================================================================================================ Preferred Shares at End of Period ------------------------------------------ Aggregate Liquidation Amount and Market Asset Outstanding Value Coverage (000) Per Share Per Share ================================================================== FLORIDA INVESTMENT QUALITY (NQF) - ------------------------------------------------------------------ Year Ended 6/30: 2005(b) $132,000 $25,000 $73,452 2004 132,000 25,000 71,410 2003 132,000 25,000 74,594 2002 132,000 25,000 72,317 2001 132,000 25,000 70,876 2000 132,000 25,000 69,184 FLORIDA QUALITY INCOME (NUF) - ------------------------------------------------------------------ Year Ended 6/30: 2005(b) 117,000 25,000 72,405 2004 117,000 25,000 70,226 2003 117,000 25,000 72,930 2002 117,000 25,000 71,163 2001 117,000 25,000 70,431 2000 117,000 25,000 69,062 INSURED FLORIDA PREMIUM INCOME (NFL) - ------------------------------------------------------------------ Year Ended 6/30: 2005(b) 111,000 25,000 77,274 2004 111,000 25,000 75,443 2003 111,000 25,000 78,489 2002 111,000 25,000 75,442 2001 111,000 25,000 74,244 2000 111,000 25,000 70,854 INSURED FLORIDA TAX-FREE ADVANTAGE (NWF) - ------------------------------------------------------------------ Year Ended 6/30: 2005(b) 29,000 25,000 73,501 2004 29,000 25,000 71,124 2003(a) 29,000 25,000 74,330 ==================================================================
* Annualized. ** Total Investment Return on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. Total Return on Common Share Net Asset Value is the combination of changes in Common Share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. *** After custodian fee credit and expense reimbursement, where applicable. + The amounts shown are based on Common share equivalents. ++ Ratios do not reflect the effect of dividend payments to Preferred shareholders; income ratios reflect income earned on assets attributable to Preferred shares, where applicable. (a) For the period November 21, 2002 (commencement of operations) through June 30, 2003. (b) For the six months ended December 31, 2004. See accompanying notes to financial statements. 44-45 SPREAD Reinvest Automatically EASILY AND CONVENIENTLY Sidebar text: NUVEEN MAKES REINVESTING EASY. A PHONE CALL IS ALL IT TAKES TO SET UP YOUR REINVESTMENT ACCOUNT. NUVEEN CLOSED-END EXCHANGE-TRADED FUNDS DIVIDEND REINVESTMENT PLAN Your Nuveen Closed-End Exchange-Traded Fund allows you to conveniently reinvest dividends and/or capital gains distributions in additional fund shares. By choosing to reinvest, you'll be able to invest money regularly and automatically, and watch your investment grow through the power of tax-free compounding. Just like dividends or distributions in cash, there may be times when income or capital gains taxes may be payable on dividends or distributions that are reinvested. It is important to note that an automatic reinvestment plan does not ensure a profit, nor does it protect you against loss in a declining market. EASY AND CONVENIENT To make recordkeeping easy and convenient, each month you'll receive a statement showing your total dividends and distributions, the date of investment, the shares acquired and the price per share, and the total number of shares you own. HOW SHARES ARE PURCHASED The shares you acquire by reinvesting will either be purchased on the open market or newly issued by the Fund. If the shares are trading at or above net asset value at the time of valuation, the Fund will issue new shares at the then-current market price. If the shares are trading at less than net asset value, shares for your account will be purchased on the open market. Dividends and distributions received to purchase shares in the open market will normally be invested shortly after the dividend payment date. No interest will be paid on dividends and distributions awaiting reinvestment. Because the market price of the shares may increase before purchases are completed, the average purchase price per share may exceed the market price at the time of valuation, resulting in the acquisition of fewer shares than if the dividend or distribution had been paid in shares issued by the Fund. A pro rata portion of any applicable brokerage commissions on open market purchases will be paid by Plan participants. These commissions usually will be lower than those charged on individual transactions. FLEXIBLE You may change your distribution option or withdraw from the Plan at any time, should your needs or situation change. Should you withdraw, you can receive a certificate for all whole shares credited to your reinvestment account and cash payment for fractional shares, or cash payment for all reinvestment account shares, less brokerage commissions and a $2.50 service fee. You can reinvest whether your shares are registered in your name, or in the name of a brokerage firm, bank, or other nominee. Ask your investment advisor if his or her firm will participate on your behalf. Participants whose shares are registered in the name of one firm may not be able to transfer the shares to another firm and continue to participate in the Plan. The Fund reserves the right to amend or terminate the Plan at any time. Although the Fund reserves the right to amend the Plan to include a service charge payable by the participants, there is no direct service charge to participants in the Plan at this time. CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial advisor or call us at (800) 257-8787. 46 Other Useful INFORMATION Effective Jan. 1, 2005, the asset management services and operations of Nuveen Advisory Corp. (NAC) and Nuveen Institutional Advisory Corp (NIAC) became part of Nuveen Asset Management (NAM). This internal consolidation is intended to simplify the delivery of services to the investment management clients of Nuveen Investments. It does not affect the investment objectives or portfolio management of any Fund. QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION Each Fund's (i) quarterly portfolio of investments, (ii) information regarding how the Funds voted proxies relating to portfolio securities held during the most recent 12-month period ended June 30, 2004, and (iii) a description of the policies and procedures that the Funds used to determine how to vote proxies relating to portfolio securities are available without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website at www.nuveen.com. You may also obtain this and other Fund information directly from the Securities and Exchange Commission ("SEC"). The SEC may charge a copying fee for this information. Visit the SEC on-line at http://www.sec.gov or in person at the SEC's Public Reference Room in Washington, D.C. Call the SEC at 1-202-942-8090 for room hours and operation. You may also request Fund information by sending an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public Reference Section at 450 Fifth Street NW, Washington, D.C. 20549. GLOSSARY OF TERMS USED IN THIS REPORT AVERAGE ANNUAL TOTAL RETURN: This is a commonly used method to express an investment's performance over a particular, usually multi-year time period. It expresses the return that would have been necessary each year to equal the investment's actual cumulative performance (including change in NAV or market price and reinvested dividends and capital gains distributions, if any) over the time period being considered. AVERAGE EFFECTIVE MATURITY: The average of all the maturities of the bonds in a Fund's portfolio, computed by weighting each maturity date (the date the security comes due) by the market value of the security. This figure does not account for the likelihood of prepayments or the exercise of call provisions. LEVERAGE-ADJUSTED DURATION: Duration is a measure of the sensitivity of a bond or bond Fund's value to changes when interest rates change. Generally, the longer a bond or Fund's duration, the more the price of the bond or Fund will change as interest rates change. Leverage-adjusted duration takes into account the leveraging process for a Fund and therefore is longer than the duration of the Fund's portfolio of bonds. MARKET YIELD (ALSO KNOWN AS DIVIDEND YIELD OR CURRENT YIELD): An investment's current annualized dividend divided by its current market price. NET ASSET VALUE (NAV): A Fund's common share NAV per share is calculated by subtracting the liabilities of the Fund (including any MuniPreferred shares issued in order to leverage the Fund) from its total assets and then dividing the remainder by the number of shares outstanding. Fund NAVs are calculated at the end of each business day. TAXABLE-EQUIVALENT YIELD: The yield necessary from a fully taxable investment to equal, on an after-tax basis, the yield of a municipal bond investment. BOARD OF TRUSTEES Robert P. Bremner Lawrence H. Brown Jack B. Evans William C. Hunter David J. Kundert William J. Schneider Timothy R. Schwertfeger Judith M. Stockdale Eugene S. Sunshine FUND MANAGER Nuveen Asset Management 333 West Wacker Drive Chicago, IL 60606 CUSTODIAN State Street Bank & Trust Boston, MA TRANSFER AGENT AND SHAREHOLDER SERVICES State Street Bank & Trust Nuveen Funds P.O. Box 43071 Providence, RI 02940-3071 (800) 257-8787 LEGAL COUNSEL Chapman and Cutler LLP Chicago, IL INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM Ernst & Young LLP Chicago, IL Each Fund intends to repurchase shares of its own common or preferred stock in the future at such times and in such amounts as is deemed advisable. No shares were repurchased during the period covered by this report. Any future repurchases will be reported to shareholders in the next annual or semiannual report. 47 Nuveen Investments: SERVING Investors For GENERATIONS Photo of: 2 women looking at a photo album. Since 1898, financial advisors and their clients have relied on Nuveen Investments to provide dependable investment solutions. For the past century, Nuveen Investments has adhered to the belief that the best approach to investing is to apply conservative risk-management principles to help minimize volatility. Building on this tradition, we today offer a range of high quality equity and fixed-income solutions that are integral to a well-diversified core portfolio. Our clients have come to appreciate this diversity, as well as our continued adherence to proven, long-term investing principles. WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS. Managing more than $115 billion in assets, Nuveen Investments offers access to a number of different asset classes and investing solutions through a variety of products. Nuveen Investments markets its capabilities under four distinct brands: Nuveen, a leader in fixed-income investments; NWQ, a leader in value-style equities; Rittenhouse, a leader in growth-style equities; and Symphony, a leading institutional manager of market-neutral alternative investment portfolios. FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS. To learn more about the products and services Nuveen Investments offers, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Be sure to obtain a prospectus, where applicable. Investors should consider the investment objective and policies, risk considerations, charges and expenses of the Fund carefully before investing. The prospectus contains this and other information relevant to an investment in the Fund. For a prospectus, please contact your securities representative or Nuveen Investments, 333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money. o Share prices Learn more o Fund details about Nuveen Funds at o Daily financial news WWW.NUVEEN.COM/ETF o Investor education o Interactive planning tools Logo: NUVEEN Investments ESA-A-1204D ITEM 2. CODE OF ETHICS. Not applicable to this filing. ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT. Not applicable to this filing. ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES. Not applicable to this filing. ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS. Not applicable to this filing. ITEM 6. SCHEDULE OF INVESTMENTS. See Schedule I in Item 1. ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES. Not applicable to this filing. ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES. Not applicable to this filing. 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. In the event of a vacancy on the Board, the nominating and governance committee receives suggestions from various sources, including shareholders, as to suitable candidates. Suggestions should be sent in writing to Lorna Ferguson, Vice President for Board Relations, Nuveen Investments, 333 West Wacker Drive, Chicago, IL 60606. The nominating and governance committee sets appropriate standards and requirements for nominations for new directors and reserves the right to interview all candidates and to make the final selection of any new directors. ITEM 11. CONTROLS AND PROCEDURES. (a) The registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the "1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR 240.13a-15(b) or 240.15d-15(b)). (b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting. ITEM 12. EXHIBITS. File the exhibits listed below as part of this Form. (a)(1) Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: Not applicable to this filing. (a)(2) A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT attached hereto. (a)(3) Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons: Not applicable. (b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR 270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed "filed" for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registrant specifically incorporates it by reference. Ex-99.906 CERT attached hereto. 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) Nuveen Insured Florida Tax-Free Advantage Municipal Fund ----------------------------------------------------------- By (Signature and Title)* /s/ Jessica R. Droeger ---------------------------------------------- Jessica R. Droeger Vice President and Secretary Date: March 9, 2005 ------------------------------------------------------------------- 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 (Signature and Title)* /s/ Gifford R. Zimmerman ---------------------------------------------- Gifford R. Zimmerman Chief Administrative Officer (principal executive officer) Date: March 9, 2005 ------------------------------------------------------------------- By (Signature and Title)* /s/ Stephen D. Foy ---------------------------------------------- Stephen D. Foy Vice President and Controller (principal financial officer) Date: March 9, 2005 ------------------------------------------------------------------- * Print the name and title of each signing officer under his or her signature. EX-99.CERT 2 file002.txt CERTIFICATIONS CERTIFICATION I, Gifford R. Zimmerman, certify that: 1. I have reviewed this report on Form N-CSR of Nuveen Insured Florida Tax-Free Advantage Municipal Fund; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) for the registrant and have: (a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and (c) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: March 9, 2005 /s/ Gifford R. Zimmerman ------------------------- -------------------------------- Chief Administrative Officer (principal executive officer) CERTIFICATION I, Stephen D. Foy, certify that: 1. I have reviewed this report on Form N-CSR of Nuveen Insured Florida Tax-Free Advantage Municipal Fund; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) for the registrant and have: (a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and (c) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: March 9, 2005 /s/ Stephen D. Foy ------------------------- -------------------------------- Vice President and Controller (principal financial officer) EX-99.906CERT 3 file003.txt CERTIFICATIONS Certification Pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002; provided by the Chief Executive Officer and Chief Financial Officer, based on each such officer's knowledge and belief. The undersigned officers of Nuveen Insured Florida Tax-Free Advantage Municipal Fund (the "Fund"), certify that, to the best of each such officer's knowledge and belief: 1. The Form N-CSR of the Fund for the period ended December 31, 2004 (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and 2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Fund. Date: March 9, 2005 ----------------------- /s/ Gifford R. Zimmerman --------------------- Chief Administrative Officer (principal executive officer) /s/ Stephen D. Foy --------------------- Vice President, Controller (principal financial officer) -----END PRIVACY-ENHANCED MESSAGE-----