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: 811-03942
LORD ABBETT MUNICIPAL INCOME FUND, INC.
(Exact name of Registrant as specified in charter)
| 90 Hudson Street, Jersey City, NJ 07302 | ||
| (Address of principal executive offices) (Zip code) |
Thomas R. Phillips, Esq., Vice President & Assistant Secretary
| 90 Hudson Street, Jersey City, NJ 07302 | ||
| (Name and address of agent for service) |
Registrant’s telephone number, including area code: (800) 201-6984
Date of fiscal year end: 9/30
Date of reporting period: 9/30/2013
| Item 1: | Report(s) to Shareholders. |
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L O R D A B B E T T
A N N U A L
R E P O R T
Lord Abbett
Municipal Income Fund
Short Duration Tax Free Fund
Intermediate Tax Free Fund
AMT Free Municipal Bond Fund
National Tax Free Income Fund
High Yield Municipal Bond Fund
California Tax Free Income Fund
New Jersey Tax Free Income Fund
New York Tax Free Income Fund
For the fiscal year ended September 30, 2013
Table of Contents
Lord Abbett Municipal Income Fund
Annual Report
For the fiscal year ended September 30, 2013
Daria L. Foster, Director, President and Chief Executive Officer of the Lord Abbett Funds and E. Thayer Bigelow, Independent Chairman of the Lord Abbett Funds.
Dear Shareholders: We are pleased to provide you with this overview of the performance of the Funds for the fiscal year ended September 30, 2013. On this page and the following pages, we discuss the major factors that influenced fiscal year performance. For detailed and more timely information about the Funds, please visit our Website at www.lordabbett.com, where you also can access quarterly commentaries that provide updates on each Fund’s performance and other portfolio related updates.
Thank you for investing in Lord Abbett mutual funds. We value the trust that you place in us and look forward to serving your investment needs in the years to come.
Best regards,
Daria L. Foster
Director, President and Chief Executive Officer
Municipal Bond Market Review
The municipal bond market for the 12-month period experienced a high degree of volatility. After a relatively calm first six months, municipal bonds suffered erratic investor demand. Historically, the municipal and Treasury markets have tended to move in tandem; however, municipal bonds recently underperformed particularly in longer securities, and their yields are currently above those of Treasury securities across most maturities.
Municipal bond issuance for the calendar year-to-date period ended August 31, 2013, totaled approximately $229 billion, a more than 10% decrease in
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issuance compared with the year-ago period. As interest rates increased, refunding issuance declined approximately 20% as municipalities could no longer gain the same economic advantage from refunding outstanding bonds.
Municipal bond outflows intensified during the second half of the period. The municipal yield curve steepened as investors became concerned that the U.S. Federal Reserve might eventually slow its pace of asset purchases of Treasury and mortgage-backed securities, even though the Federal Open Market Committee decided, in September 2013, that it would refrain from doing so for the time being.
Despite numerous negative headlines regarding a few large municipalities, municipal bond defaults have remained exceedingly rare within the investment-grade segment of the market. There were, admittedly, pockets of distress in the municipal bond market, but the general trend has been one of an improving credit profile supported by appreciating home prices and rising state and local tax revenues. This prompted Moody’s to revise their U.S. states sector outlook to “stable” after five years of “negative” outlooks. Unemployment began the period at 7.8% before dropping to 7.3% by August, the lowest level since December of 2008.
The table below shows each Fund’s performance relative to its benchmark for the year ended September 30, 2013.
| Class
A Shares @ NAV 9/30/2013 12-Mo. Return | Lipper Funds Average1 | Barclays Muni Bond Index2 | Barclays
1-15 Yr. Muni Bond Index3 | Barclays High Yield Muni Bond Index4 | Barclays Muni Bond Short 1-5 Yr. Index5 |
||||||||||||||
| Short Duration Tax Free Fund | -0.28 | % | -0.07 | % | — | — | — | 0.57 | % | ||||||||||
| Intermediate Tax Free Fund | -1.99 | -1.97 | — | -0.95 | % | — | — | ||||||||||||
| AMT Free Municipal Bond Fund | -4.88 | -3.44 | -2.21 | % | — | — | — | ||||||||||||
| National Tax Free Fund | -4.40 | -3.44 | -2.21 | — | — | — | |||||||||||||
| High Yield Municipal Bond Fund | -4.11 | -4.50 | — | — | -1.54 | % | — | ||||||||||||
| California Tax Free Fund | -2.51 | -2.98 | -2.21 | — | — | — | |||||||||||||
| New Jersey Tax Free Fund | -4.85 | -4.46 | -2.21 | — | — | — | |||||||||||||
| New York Tax Free Fund | -3.80 | -4.61 | -2.21 | — | — | — | |||||||||||||
Short Duration Tax Free Fund
The Short Duration Tax Free Fund underperformed its benchmark, the Barclays Municipal Bond Short 1-5 Year Index,5 during the 12-month period. The Fund’s bonds with maturities longer than five years underperformed, as rising interest rates negatively affected most longer bond maturities. The Fund’s exposure to bonds shorter than five years performed better as demand was strong
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from investors seeking to avoid any interest rate risk. The Fund’s overweight to bonds rated ‘BBB’ and lower detracted from relative performance. Among the sectors, electric revenue bonds detracted the most from absolute performance, while government lease appropriation obligations was the Fund’s best contributing sector.
Intermediate Tax Free Fund
The Intermediate Tax Free Fund underperformed its benchmark, the Barclays 1-15 Year Municipal Bond Index,3 during the 12-month period. The Fund’s exposure to longer-maturity bonds detracted from absolute performance, as rising interest rates negatively affected most longer bond maturities along the yield curve. The Fund’s exposure to shorter-maturity bonds contributed the most to absolute performance as demand was strong from investors seeking to avoid any interest rate risk. Furthermore, the Fund’s overweight to lower-quality bonds detracted from relative performance, as demand remained stronger for higher-quality securities relative to lower-quality securities. Among the sectors, state general obligation bonds were among the performance laggards, while tobacco bonds provided the strongest returns on an absolute basis.
AMT Free Municipal Bond Fund
The AMT Free Municipal Bond Fund underperformed its benchmark, the Barclays Municipal Bond Index,2 during the 12-month period. The Fund’s exposure to longer-maturity bonds detracted from absolute performance, as rising interest rates negatively affected longer-maturity bonds. The Fund’s exposure to shorter-maturity bonds contributed to absolute performance, as demand was strong from investors seeking to avoid any interest rate risk. Furthermore, the Fund’s exposure to lower-quality bonds detracted from absolute performance, as demand remained stronger for higher-quality securities relative to lower-quality securities. Among the sectors, state general obligation bonds were among the performance laggards, while tobacco bonds provided the strongest returns on an absolute basis.
National Tax Free Fund
The National Tax Free Fund underperformed its benchmark, the Barclays Municipal Bond Index,2 during the 12-month period. The Fund’s exposure to longer-maturity bonds detracted from absolute performance, as rising interest rates negatively affected longer-maturity bonds. The Fund’s exposure to shorter-maturity bonds contributed to absolute performance, as demand was strong from investors seeking to avoid interest rate risk. Furthermore, the Fund’s overweight to bonds rated ‘BBB’ and lower detracted from relative performance, as demand remained stronger for higher-quality securities relative to lower-quality securities. Among the sectors, state general obligation bonds were among the
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performance laggards, while tobacco bonds provided the strongest returns on an absolute basis.
High Yield Municipal Bond Fund
The High Yield Municipal Bond Fund underperformed its benchmark, the Barclays High Yield Municipal Bond Index,4 during the 12-month period. The Fund’s exposure to longer-maturity bonds detracted from absolute performance, as rising interest rates negatively affected longer-maturity bonds. The Fund’s exposure to shorter-maturity bonds contributed to absolute performance, as demand was strong from investors seeking to avoid any interest rate risk. Furthermore, the Fund’s exposure to bonds rated ‘BBB’ detracted from absolute performance, as demand remained stronger for higher-quality securities relative to lower-quality securities. Among the sectors, state general obligation bonds were among the performance laggards, while tobacco bonds provided the strongest contribution to returns on an absolute basis.
California Tax Free Fund
The California Tax Free Fund underperformed its benchmark, the Barclays Municipal Bond Index,2 during the 12-month period. The Fund’s exposure to bonds in the 20- to 24-year range and to bonds rated ‘BBB’ detracted from absolute performance. Long bonds were most negatively impacted by rising interest rates across most fixed income markets while lower quality bonds faced significantly reduced demand. The Fund’s exposure to shorter-maturity bonds contributed to absolute performance, as demand was strong from investors who sought to avoid any interest rate risk. Within the sectors, state general obligation bonds were among the performance laggards, while special tax bonds contributed the most to absolute performance.
General obligation debt issued by the State of California was rated ‘A1’ by Moody’s and ‘A’ by Standard & Poor’s, as of September 30, 2013. During the period, California’s bonds were upgraded to ‘A’ from ‘A-’ by Standard & Poor’s. In-state demand for California bonds remained strong due to approved tax increases from the end of 2012 that helped strengthen the state budget.
Although California’s unemployment rate is higher than the unemployment rate in most other states, it boasts a gross domestic product (GDP) of $2 trillion. The state’s economy continues to have the benefit of a well-educated work force and above-average share of jobs in the professional/business services, and information industries, due in part to the state’s leadership in technology and film.
New Jersey Tax Free Fund
The Fund underperformed its benchmark, the Barclays Municipal Bond Index,2 during the 12-month period. The Fund’s exposure to bonds longer than 16 years detracted from absolute performance as long bonds were most negatively impacted by rising
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interest rates in most fixed income markets. The Fund’s exposure to shorter-maturity bonds contributed to absolute performance as demand was strong from investors seeking to avoid any interest rate risk. Furthermore, the Fund’s exposure to bonds rated ‘BBB’ detracted from absolute performance. Within the sectors, government lease appropriation bonds were among the performance laggards, while airline bonds contributed the most to absolute performance.
General obligation debt issued by the State of New Jersey was rated ‘Aa3’ by Moody’s and ‘AA-’ by Standard & Poor’s, as of September 30, 2013. Standard & Poor’s maintained its “negative” outlook due to the state’s overly optimistic revenue targets.
New Jersey’s unemployment rate remains elevated. As of August 2013, the Bureau of Labor Statistics reported the unemployment rate at 8.5% for the state, well above the 7.3% national average. New Jersey’s high investment-grade ratings do, however, reflect a strong economic base and high wealth levels.
New York Tax Free Fund
The Fund underperformed its benchmark, the Barclays Municipal Bond Index,2 during the 12-month period. The Fund’s exposure to bonds in the 20- to 24-year range and to bonds rated ‘BBB’ detracted from absolute performance. Long bonds were most negatively impacted by rising interest rates across most fixed income markets while lower quality bonds faced significantly reduced demand. The Fund’s exposure to shorter-maturity bonds contributed to absolute performance, as demand was strong from investors seeking to avoid any interest rate risk. Within the sectors, electric revenue bonds were among the performance laggards, while tobacco bonds were among the best performing sectors on an absolute basis.
General obligation debt issued by the State of New York was rated ‘Aa2’ by Moody’s and ‘AA’ by Standard & Poor’s, as of September 30, 2013.
As of September 30, 2013, New York’s unemployment rate lagged the unemployment rates in most other states. The Bureau of Labor Statistics reported the unemployment rate at 7.6% for the state, slightly above the 7.3% national average. New York is one of nine states to have regained all of the private sector jobs lost during the recession.
Each Fund’s portfolio is actively managed and, therefore, its holdings and the weightings of a particular issuer or particular sector as a percentage of portfolio assets are subject to change. Sectors may include many industries.
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1 The Lipper Funds Average: Lipper, Inc. is a nationally recognized organization that reports on mutual fund total return performance, calculates fund rankings and is a global leader in benchmarking and classifying mutual funds. Peer averages are based on universes of funds with similar investment objectives. Peer group averages include reinvested dividends and capital gains, if any, and exclude sales charges.
2 The Barclays Municipal Bond Index is a rules-based, market-value-weighted index engineered for the long-term tax-exempt bond market. The index is a broad measure of the municipal bond market with maturities of at least one year. To be included in the index, bonds must be rated investment-grade (Baa3/BBB- or higher) by at least two of the following ratings agencies: Moody’s, S&P, Fitch. If only two of the three agencies rate the security, the lower rating is used to determine index eligibility. If only one of the three agencies rates a security, the rating must be investment-grade. Bonds must have an outstanding par value of at least $7 million and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have a dated-date after December 31, 1990, and must be at least one year from their maturity date.
3 The Barclays 1-15 Year Municipal Bond Index is the 1-15 year component of the Municipal Bond index. The Barclays Municipal Bond Index is a rules-based, market value-weighted index engineered for the long-term tax-exempt bond market. The index is a broad measure of the municipal bond market with maturities of at least one year. To be included in the index, bonds must be rated investment grade (Baa3/BBB- or higher) by at least two of the following ratings agencies: Moody’s, Standard & Poor’s, and Fitch. If only two of the three agencies rate the security, the lower rating is used to determine index eligibility. If only one of the three agencies rates a security, the rating must be investment-grade. They must have an outstanding par value of at least $7 million and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have a dated-date after December 31, 1990, and must be at least one year from their maturity date.
4 The Barclays High Yield Municipal Bond Index is an unmanaged index consisting of noninvestment-grade, unrated or below Ba1 bonds. The Barclays High Yield Municipal Bond Index is a subset of the Barclays Municipal Bond Index; a rules-based, market value-weighted index engineered for the long-term tax-exempt bond market.
5 The Barclays Municipal Bond Short 1-5 Year Index is the Muni Short 1-5 year component of the Municipal Bond index. The Barclays Municipal Bond Index is a rules-based, market value-weighted index engineered for the long-term tax-exempt bond market. The index is a broad measure of the municipal bond market with maturities of at least one year. To be included in the index, bonds must be rated investment-grade (Baa3/BBB- or higher) by at least two of the following ratings agencies: Moody’s, Standard & Poor’s, or Fitch. If only two of the three agencies rate the security, the lower rating is used to determine index eligibility. If only one of the three agencies rates a security, the rating must be investment-grade. They must have an outstanding par value of at least $7 million and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have a dated-date after December 31, 1990, and must be at least one year from their maturity date.
Unless otherwise specified, indexes reflect total return, with all dividends reinvested. Indexes are unmanaged, do not reflect the deduction of fees or expenses, and are not available for direct investment.
Important Performance and Other Information Performance data quoted in the following pages reflect past performance and are no guarantee of future results. Current performance may be higher or lower than the performance quoted. The investment return and principal value of an investment in the Funds will fluctuate so that shares, on any given day or when redeemed, may be worth more or less than their original cost. You can obtain performance data current to the most recent month end by calling Lord Abbett at 888-522-2388 or referring to www.lordabbett.com.
Except where noted, comparative Fund performance does not account for the deduction of sales charges and would be different if sales charges were included. Each Fund offers several classes of shares with distinct pricing options. For a full description of the differences in pricing alternatives, please see each Fund’s prospectus.
During certain periods shown, expense waivers and reimbursements were in place. Without such expense reimbursements, the Funds’ returns would have been lower.
The annual commentary above discusses the views of the Funds’ management and various portfolio holdings of the Funds as of September 30, 2013. These views and portfolio holdings may have changed after this date. Information provided in the commentary is not a recommendation to buy or sell securities.
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Because the Funds’ portfolios are actively managed and may change significantly, the Funds may no longer own the securities described above or may have otherwise changed their positions in the securities. For more recent information about the Funds’ portfolio holdings, please visit www.lordabbett.com.
A Note about Risk: See Notes to Financial Statements for a discussion of investment risks. For a more detailed discussion of the risks associated with each Fund, please see each Fund’s prospectus.
Mutual funds are not insured by the FDIC, are not deposits or other obligations of, or guaranteed by, banks, and are subject to investment risks including possible loss of principal amount invested.
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Short Duration Tax Free Fund
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index: 1 Year (1-2), Barclays Municipal Bond Short 1-5 Year Index and the Lipper Short Municipal Debt Funds Average, assuming reinvestment of all dividends and distributions. Because the Fund believes that the Barclays Municipal Bond Short 1-5 Year Index is more accurately reflective of the Fund’s investment strategies than the Barclays Municipal Bond Index: 1 Year (1-2), the Fund is adding the Barclays Municipal Bond Short 1-5 Year Index to this annual report and will delete the Barclays Municipal Bond Index: 1 Year (1-2) from its next annual report. The performance of other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund’s returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | Life of Class | |||||||
| Class A4 | -2.53 | % | 2.36 | % | ||||
| Class C5 | -1.92 | % | 2.10 | % | ||||
| Class F6 | -0.18 | % | 2.95 | % | ||||
| Class I7 | -0.08 | % | 3.05 | % | ||||
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class C | Class F | Class I | ||||
| 0.97% | 0.34% | 1.08% | 1.16% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
4 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for period shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return. Class A shares commenced operations on December 12, 2008. Performance for the Class began December 31, 2008.
5 Class C shares commenced operations on December 12, 2008. The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for the Class began December 31, 2008. Performance for other periods is at net asset value.
6 Class F shares commenced operations on December 12, 2008. Performance for the Class began December 31, 2008. Performance is at net asset value.
7 Class I shares commenced operations on December 12, 2008. Performance for the Class began December 31, 2008. Performance is at net asset value.
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Intermediate Tax Free Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index: 7 Year (6-8) and the Barclays 1-15 Year Municipal Bond Index assuming reinvestment of all dividends and distributions. Because the Fund believes that the Barclays 1-15 Year Municipal Bond Index is more accurately reflective of the Fund’s investment strategies than the Barclays Municipal Bond Index: 7 Year (6-8), the Fund is adding the Barclays 1-15 Year Municipal Bond Index to this annual report and will delete the Barclays Municipal Bond Index: 7 Year (6-8) from its next annual report. The performance of other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | 5 Years | 10 Years | Life of Class | |||||
| Class A3 | -4.17% | 5.25% | 3.76% | — | ||||
| Class B4 | -7.55% | 4.58% | 3.36% | — | ||||
| Class C5 | -3.61% | 5.01% | 3.25% | — | ||||
| Class F6 | -1.89% | 5.85% | — | 4.94% | ||||
| Class I7 | -1.89% | — | — | 5.37% | ||||
| Class P8 | -2.32% | 5.50% | 3.78% | — |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class B | Class C | Class F | Class I | Class P | ||||||
| 2.92% | 2.20% | 2.34% | 3.08% | 3.18% | 2.75% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for periods shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return. The Class A share inception date is June 30, 2003.
4 Class B shares were first offered on June 30, 2003. Performance reflects the deduction of CDSC of 5% for 1 year, 2% for 5 years and 0% for the life of the Class. Class B shares automatically convert to Class A shares after approximately 8 years. (There is no initial sales charge for automatic conversions.)
5 Class C shares were first offered on June 30, 2003. The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.
6 Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.
7 Class I shares commenced operations and performance for the Class began on January 31, 2011. Performance is at net asset value.
8 Class P shares were first offered on June 30, 2003. Performance is at net asset value.
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AMT Free Municipal Bond Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index and the Lipper General Municipal Debt Funds Average assuming reinvestment of all dividends and distributions. The performance of other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | Life of Class | |||
| Class A4 | -7.03% | 3.43% | ||
| Class C5 | -6.44% | 3.43% | ||
| Class F6 | -4.78% | 4.34% | ||
| Class I7 | -4.65% | 4.49% |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class C | Class F | Class I | ||||
| 4.37% | 3.76% | 4.65% | 4.57% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
4 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for period shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return. Class A shares commenced operations on October 26, 2010. Performance for the Class began October 29, 2010.
5 Class C shares Commenced operations on October 26, 2010. The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for the Class began October 29, 2010. Performance for other periods is at net asset value.
6 Class F shares commenced operations on October 26, 2010. Performance for the Class began October 29, 2010. Performance is at net asset value.
7 Class I shares commenced operations on October 26, 2010. Performance for the Class began October 29, 2010. Performance is at net asset value.
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National Tax Free Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index and the Lipper General Municipal Debt Funds Average, assuming reinvestment of all dividends and distributions. The performance of other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | 5 Years | 10 Years | Life of Class | |||||
| Class A4 | -6.59% | 6.23% | 3.51% | — | ||||
| Class B5 | -9.80% | 5.52% | 3.14% | — | ||||
| Class C6 | -5.94% | 5.99% | 3.07% | — | ||||
| Class F7 | -4.31% | 6.79% | — | 4.11% | ||||
| Class I8 | -4.23% | — | — | 4.81% |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class B | Class C | Class F | Class I | |||||
| 4.37% | 3.68% | 3.83% | 4.56% | 4.66% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
4 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for periods shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return.
5 Performance reflects the deduction of a CDSC of 5% for 1 year, 2% for 5 years and 0% for 10 years. Class B sharess automatically convert to Class A shares after approximately 8 years. (There is no initial sales charge for automatic conversions.) All returns for periods greater than 8 years reflect this conversion.
6 The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.
7 Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.
8 Class I shares commenced operations and performance for the Class began on July 26, 2010. Performance is at net asset value.
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High Yield Municipal Bond Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays High Yield Municipal Bond Index and the Lipper High Yield Municipal Debt Funds Average, assuming reinvestment of all dividends and distributions. The performance of other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | 5 Years | Life of Class | ||||
| Class A4 | -6.23% | 3.79% | 1.47% | |||
| Class C5 | -5.55% | 3.59% | 1.32% | |||
| Class F6 | -4.01% | 4.35% | 0.61% | |||
| Class I7 | -3.92% | — | 3.81% | |||
| Class P8 | -4.29% | 4.04% | 1.73% |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class C | Class F | Class I | Class P | |||||
| 5.33% | 4.83% | 5.56% | 5.60% | 5.24% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged indexes does not reflect any fees or expenses. The performance of the indexes is not necessarily representative of the Fund's performance. Indexes and average are calculated from December 31, 2004 to September 30, 2013.
3 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
4 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for periods shown ended September 30, 2013, is calculated using SEC required uniform method to compute such return. The Class A inception date is December 30, 2004.
5 Class C shares were first offered on December 30, 2004. The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.
6 Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.
7 Class I shares commenced operations and performance for the Class began on July 26, 2010. Performance is at net asset value.
8 Class P shares were first offered on December 30, 2004. Performance is at net asset value.
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California Tax Free Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index and the Lipper California Municipal Debt Funds Average, assuming reinvestment of all dividends and distributions. The performance of other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | 5 Years | 10 Years | Life of Class | |||||
| Class A5 | -4.73% | 5.60% | 3.41% | — | ||||
| Class C6 | -4.09% | 5.39% | 2.99% | — | ||||
| Class F7 | -2.42% | 6.20% | — | 3.86% | ||||
| Class I8 | -2.40% | — | — | 7.91% |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class C | Class F | Class I | ||||
| 3.84% | 3.28% | 4.12% | 4.02% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 The Index is composed of municipal bonds from many states while the Fund is a single-state municipal bond portfolio.
4 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
5 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for periods shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return.
6 The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.
7 Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.
8 Class I shares commenced operations and performance for the Class began on January 31, 2011. Performance is at net asset value.
13
New Jersey Tax Free Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index and the Lipper New Jersey Municipal Debt Funds Average, assuming reinvestment of all dividends and distributions. The performance of the other class will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | 5 Years | 10 Years | Life of Class | |||||
| Class A5 | -7.05% | 4.92% | 2.91% | — | ||||
| Class F6 | -4.76% | 5.49% | — | 3.24% | ||||
| Class I7 | -4.63% | — | — | 6.32% |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class F | Class I | |||
| 3.95% | 4.26% | 4.15% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 The Index is composed of municipal bonds from many states while the Fund is a single-state municipal bond portfolio.
4 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
5 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for periods shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return.
6 Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.
7 Class I shares commenced operations and performance for the Class began on January 31, 2011. Performance is at net asset value.
14
New York Tax Free Fund
Investment Comparison
Below is a comparison of a $10,000 investment in Class A shares to the same investment in the Barclays Municipal Bond Index and the Lipper New York Municipal Debt Funds Average, assuming reinvestment of all dividends and distributions. The performance of the other classes will be greater than or less than the performance shown in the graph below due to different sales loads and expenses applicable to such classes. The graph and performance table below do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. During certain periods, expenses of the Fund have been waived or reimbursed by Lord Abbett; without such waiver or reimbursement of expenses, the Fund's returns would have been lower. Past performance is no guarantee of future results.
Average Annual Total Returns at Maximum
Applicable
Sales Charge for the Periods Ended September 30, 2013
| 1 Year | 5 Years | 10 Years | Life of Class | |||||
| Class A5 | -5.95% | 5.68% | 3.34% | — | ||||
| Class C6 | -5.36% | 5.48% | 2.91% | — | ||||
| Class F7 | -3.70% | 6.26% | — | 3.89% | ||||
| Class I8 | -3.60% | — | — | 6.10% |
Standardized Yield for the Period Ended September 30, 2013
| Class A | Class C | Class F | Class I | ||||
| 3.79% | 3.22% | 4.06% | 3.97% |
1 Reflects the deduction of the maximum initial sales charge of 2.25%.
2 Performance for the unmanaged index does not reflect any fees or expenses. The performance of the index is not necessarily representative of the Fund's performance.
3 The Index is composed of municipal bonds from many states while the Fund is a single-state municipal bond portfolio.
4 Source: Lipper Inc. The performance of the average is not necessarily representative of the Fund’s performance.
5 Total return, which is the percent change in value, after deduction of the maximum initial sales charge of 2.25% applicable to Class A shares, with all dividends and distributions reinvested for periods shown ended September 30, 2013, is calculated using the SEC required uniform method to compute such return.
6 The 1% CDSC for Class C shares normally applies before the first anniversary of the purchase date. Performance for other periods is at net asset value.
7 Class F shares commenced operations and performance for the Class began on September 28, 2007. Performance is at net asset value.
8 Class I shares commenced operations and performance for the Class began on January 30, 2011. Performance is at net asset value.
15
As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments (these charges vary among the share classes); and (2) ongoing costs, including management fees; distribution and service (12b-1) fees (these charges vary among the share classes); and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (April 1, 2013 through September 30, 2013).
Actual Expenses
For each class of each Fund, the first line of the table on the following pages provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading titled “Expenses Paid During Period 4/1/13 – 9/30/13” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
For each class of each Fund, the second line of the table on the following pages provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
16
Short Duration Tax Free Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 991.60 | $ | 3.15 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.89 | $ | 3.19 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 988.40 | $ | 6.43 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,018.59 | $ | 6.53 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 992.10 | $ | 2.65 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.39 | $ | 2.69 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 992.60 | $ | 2.15 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.91 | $ | 2.18 | |||||
| † | For each class of the Fund, net expenses (including interest expense) are equal to the annualized expense ratio for such class (0.63% for Class A, 1.29% for Class C, 0.53% for Class F and 0.43% for Class I) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 9.52 | % | ||
| AA+ | 8.59 | % | ||
| AA | 16.47 | % | ||
| AA- | 16.85 | % | ||
| A+ | 12.95 | % | ||
| A | 10.32 | % | ||
| A- | 6.47 | % | ||
| BBB+ | 4.42 | % | ||
| BBB | 6.62 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BBB- | 1.77 | % | ||
| BB+ | 1.49 | % | ||
| BB | 0.40 | % | ||
| BB- | 0.27 | % | ||
| B+ | 0.26 | % | ||
| B3 | 0.10 | % | ||
| NR | 3.50 | % | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
17
Intermediate Tax Free Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 965.60 | $ | 3.40 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.59 | $ | 3.50 | |||||
| Class B | ||||||||||
| Actual | $1,000.00 | $ | 961.70 | $ | 7.33 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,017.58 | $ | 7.54 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 963.20 | $ | 6.74 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,018.20 | $ | 6.93 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 967.00 | $ | 2.91 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.09 | $ | 2.99 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 966.60 | $ | 2.42 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.61 | $ | 2.48 | |||||
| Class P | ||||||||||
| Actual | $1,000.00 | $ | 964.40 | $ | 4.58 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,020.39 | $ | 4.71 | |||||
| † | For each class of the Fund, net expenses (including interest expense) are equal to the annualized expense ratio for such class (0.69% for Class A, 1.49% for Class B, 1.37% for C, 0.59% for Class F, 0.49% for Class I and 0.93% for Class P) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 6.56 | % | ||
| AA+ | 5.96 | % | ||
| AA | 10.44 | % | ||
| AA- | 11.77 | % | ||
| A+ | 17.61 | % | ||
| A | 11.17 | % | ||
| A- | 8.54 | % | ||
| BBB+ | 4.32 | % | ||
| BBB | 5.79 | % | ||
| BBB- | 5.89 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BB+ | 2.00 | % | ||
| BB | 0.85 | % | ||
| BB- | 0.71 | % | ||
| B+ | 0.87 | % | ||
| B | 1.87 | % | ||
| B- | 1.80 | % | ||
| NR | 3.85 | % | ||
| Money Market Mutual Fund | 0.00 | %** | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
| ** | Amount is less than 0.01%. |
18
AMT Free Municipal Bond Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 931.10 | $ | 2.90 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.05 | $ | 3.04 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 927.70 | $ | 6.43 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,018.38 | $ | 6.73 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 931.60 | $ | 2.42 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.55 | $ | 2.54 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 931.90 | $ | 1.94 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,023.03 | $ | 2.03 | |||||
| † | For each class of the Fund, net expenses are equal to the annualized expense ratio for such class (0.60% for Class A, 1.33% for Class C, 0.50% for Class F and 0.40% for Class I) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 0.56 | % | ||
| AA+ | 0.78 | % | ||
| AA | 6.41 | % | ||
| AA- | 13.55 | % | ||
| A+ | 14.33 | % | ||
| A | 14.37 | % | ||
| A- | 11.86 | % | ||
| BBB+ | 4.79 | % | ||
| BBB | 10.53 | % | ||
| BBB- | 8.44 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BB+ | 5.25 | % | ||
| BB | 1.48 | % | ||
| BB- | 0.51 | % | ||
| B+ | 0.70 | % | ||
| B | 0.88 | % | ||
| B- | 1.77 | % | ||
| CC | 0.06 | % | ||
| NR | 3.73 | % | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
19
National Tax Free Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 933.40 | $ | 3.78 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.16 | $ | 3.95 | |||||
| Class B | ||||||||||
| Actual | $1,000.00 | $ | 929.20 | $ | 7.64 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,017.14 | $ | 7.99 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 930.40 | $ | 6.97 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,017.85 | $ | 7.28 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 933.80 | $ | 3.30 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.66 | $ | 3.45 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 934.30 | $ | 2.81 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.17 | $ | 2.94 | |||||
| † | For each class of the Fund, net expenses (including interest expense) are equal to the annualized expense ratio for such class (0.78% for Class A, 1.58% for Class B, 1.44% for Class C, 0.68% for Class F and 0.58% for Class I) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 2.23 | % | ||
| AA+ | 5.52 | % | ||
| AA | 10.29 | % | ||
| AA- | 12.80 | % | ||
| A+ | 15.39 | % | ||
| A | 7.56 | % | ||
| A- | 10.79 | % | ||
| BBB+ | 5.12 | % | ||
| BBB | 6.98 | % | ||
| BBB- | 6.95 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BB+ | 2.91 | % | ||
| BB | 1.80 | % | ||
| BB- | 1.21 | % | ||
| B+ | 0.59 | % | ||
| B | 1.95 | % | ||
| B- | 1.38 | % | ||
| CC | 0.32 | % | ||
| NR | 6.21 | % | ||
| Money Market Mutual Fund | 0.00 | %** | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
| ** | Amount is less than 0.01%. |
20
High Yield Municipal Bond Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 914.90 | $ | 4.22 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,020.67 | $ | 4.46 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 912.80 | $ | 7.34 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,017.41 | $ | 7.74 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 916.20 | $ | 3.70 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.18 | $ | 3.90 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 916.70 | $ | 3.22 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.68 | $ | 3.40 | |||||
| Class P | ||||||||||
| Actual | $1,000.00 | $ | 914.80 | $ | 5.33 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,019.58 | $ | 5.62 | |||||
| † | For each class of the Fund, net expenses (including interest expense) are equal to the annualized expense ratio for such class (0.88% for Class A, 1.53% for Class C, 0.77% for Class F, 0.67% for Class I and 1.11% for Class P) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 0.59 | % | ||
| AA+ | 1.54 | % | ||
| AA | 3.96 | % | ||
| AA- | 1.07 | % | ||
| A+ | 0.56 | % | ||
| A | 2.83 | % | ||
| A- | 3.44 | % | ||
| BBB+ | 3.37 | % | ||
| BBB | 5.39 | % | ||
| BBB- | 9.98 | % | ||
| BB+ | 7.32 | % | ||
| BB | 5.37 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BB- | 3.27 | % | ||
| B+ | 1.61 | % | ||
| B | 8.83 | % | ||
| B- | 7.71 | % | ||
| CCC | 0.95 | % | ||
| CC | 0.02 | % | ||
| C | 0.00 | %** | ||
| D | 0.24 | % | ||
| NR | 31.95 | % | ||
| Money Market Mutual Fund | 0.00 | %** | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
| ** | Amount is less than 0.01%. |
21
California Tax Free Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value |
Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 953.80 | $ | 4.07 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,020.91 | $ | 4.20 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 949.80 | $ | 7.28 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,017.60 | $ | 7.54 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 954.30 | $ | 3.58 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.42 | $ | 3.70 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 953.90 | $ | 3.13 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.87 | $ | 3.24 | |||||
| † | For each class of the Fund, net expenses (including interest expense) are equal to the annualized expense ratio for such class (0.83% for Class A, 1.49% for Class C, 0.73% for Class F and 0.64% for Class I) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 2.01 | % | ||
| AA+ | 3.05 | % | ||
| AA | 10.87 | % | ||
| AA- | 17.78 | % | ||
| A+ | 18.86 | % | ||
| A | 17.33 | % | ||
| A- | 8.13 | % | ||
| BBB+ | 2.67 | % | ||
| BBB | 4.50 | % | ||
| BBB- | 3.57 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BB+ | 2.47 | % | ||
| BB | 1.43 | % | ||
| BB- | 0.38 | % | ||
| B+ | 0.19 | % | ||
| B | 1.42 | % | ||
| B- | 1.70 | % | ||
| NR | 3.64 | % | ||
| Money Market Mutual Fund | 0.00 | %** | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
| ** | Amount is less than 0.01%. |
22
New Jersey Tax Free Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 939.30 | $ | 4.04 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,020.89 | $ | 4.20 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 939.70 | $ | 3.55 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.40 | $ | 3.70 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 940.40 | $ | 3.02 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.94 | $ | 3.14 | |||||
| † | For each class of the Fund, net expenses are equal to the annualized expense ratio for such class (0.83% for Class A, 0.73% for Class F and 0.62% for Class I) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 4.53 | % | ||
| AA+ | 3.11 | % | ||
| AA | 2.81 | % | ||
| AA- | 13.79 | % | ||
| A+ | 29.10 | % | ||
| A | 10.46 | % | ||
| A- | 4.29 | % | ||
| BBB+ | 9.45 | % | ||
| BBB | 2.72 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BBB- | 6.89 | % | ||
| BB+ | 0.60 | % | ||
| Ba2 | 1.04 | % | ||
| B+ | 2.82 | % | ||
| B | 3.88 | % | ||
| NR | 4.51 | % | ||
| Money Market Mutual Fund | 0.00 | %** | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
| ** | Amount is less than 0.01%. |
23
New York Tax Free Fund
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads). Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| Beginning Account Value | Ending Account Value | Expenses Paid During Period† | ||||||||
| 4/1/13 | 9/30/13 | 4/1/13 - 9/30/13 | ||||||||
| Class A | ||||||||||
| Actual | $1,000.00 | $ | 949.00 | $ | 3.86 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.10 | $ | 4.00 | |||||
| Class C | ||||||||||
| Actual | $1,000.00 | $ | 946.60 | $ | 7.08 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,017.78 | $ | 7.33 | |||||
| Class F | ||||||||||
| Actual | $1,000.00 | $ | 949.50 | $ | 3.37 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,021.60 | $ | 3.50 | |||||
| Class I | ||||||||||
| Actual | $1,000.00 | $ | 950.80 | $ | 2.89 | |||||
| Hypothetical (5% Return Before Expenses) | $1,000.00 | $ | 1,022.10 | $ | 2.99 | |||||
| † | For each class of the Fund, net expenses (including interest expense) are equal to the annualized expense ratio for such class (0.79% for Class A, 1.45% for Class C, 0.69% for Class F and 0.59% for Class I) multiplied by the average account value over the period, multiplied by 183/365 (to reflect one-half year period). |
Portfolio Holdings Presented by Credit Rating
September 30, 2013
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| AAA | 12.64 | % | ||
| AA+ | 4.92 | % | ||
| AA | 11.53 | % | ||
| AA- | 24.34 | % | ||
| A+ | 3.92 | % | ||
| A | 7.11 | % | ||
| A- | 10.38 | % | ||
| BBB+ | 3.50 | % | ||
| BBB | 2.69 | % | ||
| BBB- | 7.76 | % | ||
| Credit Rating: | ||||
| S&P or Moody’s(a) | %* | |||
| BB+ | 2.39 | % | ||
| BB | 1.66 | % | ||
| BB- | 0.62 | % | ||
| B+ | 0.71 | % | ||
| B | 0.64 | % | ||
| B- | 0.72 | % | ||
| NR | 4.47 | % | ||
| Money Market Mutual Fund | 0.00 | %** | ||
| Total | 100.00 | % | ||
| (a) | Certain investments have been rated by Fitch IBCA. |
| * | Represents percent of total investments. |
| ** | Amount is less than 0.01%. |
24
Schedule of Investments
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 82.27% | ||||||||||||||||
| Corporate-Backed 5.71% | ||||||||||||||||
| Beaver Co IDA—FirstEnergy Rmkt | 2.50 | % | 12/1/2041 | BBB- | $ | 10,000 | $ | 9,658,900 | ||||||||
| Beaver Co IDA—FirstEnergy Rmkt | 2.70 | % | 4/1/2035 | BBB- | 12,000 | 11,555,280 | ||||||||||
| Burke Co Dev—GA Power | 0.319 | % | # | 1/1/2024 | AA- | 13,400 | 11,976,263 | |||||||||
| Burke Co Dev—GA Power | 1.75 | % | 12/1/2049 | A | 15,000 | 15,090,300 | ||||||||||
| Burke Co Dev—GA Power | 2.40 | % | 1/1/2040 | A | 6,505 | 6,194,647 | ||||||||||
| Burke Co Dev—GA Transmission | 1.25 | % | 1/1/2052 | AA- | 7,250 | 7,306,768 | ||||||||||
| CA Poll Ctl—Waste Mgmt | 2.00 | % | 2/1/2019 | BBB | 4,000 | 4,049,120 | ||||||||||
| Charles City Co EDA—Waste Mgmt | 3.125 | % | 2/1/2029 | BBB | 5,000 | 5,129,350 | ||||||||||
| Citizens Property Insurance Corp | 4.25 | % | 6/1/2017 | A+ | 2,690 | 2,927,419 | ||||||||||
| Citizens Property Insurance Corp | 5.00 | % | 6/1/2015 | A+ | 15,275 | 16,315,533 | ||||||||||
| Citizens Property Insurance Corp | 5.00 | % | 6/1/2018 | A+ | 8,000 | 9,051,360 | ||||||||||
| Citizens Property Insurance Corp | 5.50 | % | 6/1/2017 | A+ | 3,365 | 3,828,495 | ||||||||||
| Coconino Co Poll Ctl—AZ Pub Svc | 5.50 | % | 6/1/2034 | BBB+ | 2,000 | 2,064,140 | ||||||||||
| Farmington Poll Ctl—So Cal Edison | 2.875 | % | 4/1/2029 | A1 | 7,500 | 7,721,625 | ||||||||||
| Gloucester Co Impt Auth—Waste Mgmt | 2.125 | % | 12/1/2029 | BBB | 4,500 | 4,438,890 | ||||||||||
| Gulf Coast Waste Disp—US Steel | 5.75 | % | 9/1/2017 | BB- | 6,850 | 7,066,871 | ||||||||||
| Mobile Indl Poll Ctl—AL Power Co Rmkt | 1.65 | % | 6/1/2034 | A | 3,000 | 3,015,120 | ||||||||||
| Navajo Co Poll Ctl—AZ Pub Svc | 1.25 | % | 6/1/2034 | Baa1 | 6,000 | 6,024,360 | ||||||||||
| NY Env Facs—Waste Mgmt | 2.75 | % | 7/1/2017 | BBB | 1,000 | 1,009,930 | ||||||||||
| St Charles Parish—Valero Energy | 4.00 | % | 12/1/2040 | BBB | 2,000 | 1,995,280 | ||||||||||
| Valdez Marine Term—BP Rmkt | 5.00 | % | 1/1/2018 | A | 10,000 | 11,332,400 | ||||||||||
| Total | 147,752,051 | |||||||||||||||
| Education 6.18% | ||||||||||||||||
| AZ Brd Regents COP—Univ of AZ | 4.00 | % | 6/1/2017 | AA- | 2,050 | 2,249,547 | ||||||||||
| AZ Brd Regents COP—Univ of AZ | 4.00 | % | 6/1/2018 | AA- | 2,140 | 2,366,712 | ||||||||||
| AZ Brd Regents COP—Univ of AZ | 5.00 | % | 6/1/2017 | AA- | 5,750 | 6,514,750 | ||||||||||
| AZ Brd Regents COP—Univ of AZ | 5.00 | % | 6/1/2018 | AA- | 3,215 | 3,699,340 | ||||||||||
| CA State Univ Sys | 5.00 | % | 11/1/2020 | Aa2 | 5,000 | 5,916,450 | ||||||||||
| Cleveland State Univ | 5.00 | % | 6/1/2018 | A+ | 1,000 | 1,142,910 | ||||||||||
| Cleveland State Univ | 5.00 | % | 6/1/2019 | A+ | 1,265 | 1,453,257 | ||||||||||
| Curators Univ Sys | 5.00 | % | 11/1/2019 | AA+ | 5,000 | 5,904,550 | ||||||||||
| Harris Co Cultural Ed—Baylor Clg / Med | 1.12 | % | # | 11/15/2045 | A- | 10,000 | 10,011,300 | |||||||||
| Hudson Co BAN | 1.00 | % | 12/6/2013 | NR | 25,000 | 25,030,000 | ||||||||||
| IL Ed Facs—Univ of Chicago | 1.875 | % | 7/1/2036 | Aa1 | 5,250 | 5,341,140 | ||||||||||
| MA DFA—Boston Univ | 2.875 | % | 10/1/2014 | A1 | 1,595 | 1,637,858 | ||||||||||
| See Notes to Financial Statements. | 25 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| MA Hlth & Ed—Amherst Clg | 1.70 | % | 11/1/2038 | Aaa | $ | 4,850 | $ | 4,921,586 | ||||||||
| NC Cap Facs—High Point Univ | 4.00 | % | 5/1/2016 | BBB+ | 1,770 | 1,835,862 | ||||||||||
| NC Cap Facs—High Point Univ | 4.00 | % | 5/1/2017 | BBB+ | 2,785 | 2,901,831 | ||||||||||
| NC Cap Facs—High Point Univ | 5.00 | % | 5/1/2018 | BBB+ | 1,640 | 1,774,906 | ||||||||||
| NJ Ed Facs—Univ Med & Dent | 5.50 | % | 12/1/2013 | NR | 1,000 | 1,008,630 | ||||||||||
| NY Dorm—CUNY (NPFGC)(FGIC) | 5.00 | % | 7/1/2015 | AA- | 1,565 | 1,687,446 | ||||||||||
| NY Dorm—St Johns Univ ETM (NPFGC) | 5.00 | % | 7/1/2014 | A | 2,000 | 2,071,520 | ||||||||||
| NY Dorm—St Lawrence Univ | 5.00 | % | 7/1/2014 | A2 | 4,000 | 4,143,040 | ||||||||||
| NYC Cultural—Julliard Sch(b) | 2.10 | % | 4/1/2036 | AA | 14,000 | 14,388,780 | ||||||||||
| PR Indl Tourist—Inter American Univ | 4.00 | % | 10/1/2014 | A- | 500 | 506,925 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2015 | A- | 800 | 821,992 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2016 | A- | 1,000 | 1,029,380 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2018 | A- | 2,500 | 2,564,350 | ||||||||||
| SC Ed Facs Auth—Furman Univ | 4.00 | % | 10/1/2015 | A1 | 1,000 | 1,057,460 | ||||||||||
| Univ of Delaware | 0.70 | % | 11/1/2037 | AA+ | 8,175 | 8,094,149 | ||||||||||
| Univ of North Carolina—Chapel Hill | 0.872 | % | # | 12/1/2041 | Aaa | 25,000 | 25,077,750 | |||||||||
| Univ of Texas | 4.00 | % | 8/15/2014 | AAA | 1,000 | 1,032,890 | ||||||||||
| Univ of Texas | 5.00 | % | 7/1/2014 | AAA | 1,400 | 1,449,966 | ||||||||||
| Univ Sys of MD | 1.25 | % | 7/1/2023 | AA+ | 8,100 | 7,866,153 | ||||||||||
| Wayne State Univ | 5.00 | % | 11/15/2015 | Aa2 | 3,975 | 4,304,527 | ||||||||||
| Total | 159,806,957 | |||||||||||||||
| General Obligation 17.36% | ||||||||||||||||
| AK Muni Bond Bank | 3.00 | % | 3/1/2014 | Aa2 | 1,000 | 1,011,580 | ||||||||||
| Bedford Park GO (AG) | 5.00 | % | 12/1/2013 | AA- | 1,275 | 1,283,045 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2018 | A1 | 3,750 | 4,384,613 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2018 | A1 | 7,500 | 8,769,225 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2018 | A1 | 8,050 | 9,412,301 | ||||||||||
| CA State GO | 5.00 | % | 11/1/2018 | A1 | 12,150 | 14,234,454 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2020 | A1 | 10,000 | 11,821,100 | ||||||||||
| CA State GO | 5.00 | % | 10/1/2018 | A1 | 6,595 | 7,719,052 | ||||||||||
| CA State GO | 5.50 | % | 4/1/2019 | A1 | 8,715 | 10,430,025 | ||||||||||
| CA State GO | 6.00 | % | 4/1/2019 | A1 | 2,500 | 3,057,225 | ||||||||||
| Carmel Sch Bld Corp (AGM) | 4.75 | % | 7/15/2019 | AA | 6,105 | 6,668,369 | ||||||||||
| Centennial Auth (AG) | 5.00 | % | 9/1/2014 | Aa2 | 3,460 | 3,579,059 | ||||||||||
| Chicago Brd Ed | 5.00 | % | 12/1/2014 | A+ | 2,255 | 2,378,551 | ||||||||||
| Chicago GO | 5.25 | % | 1/1/2022 | A+ | 5,135 | 5,328,127 | ||||||||||
| Chicago GO (AGM) | 5.00 | % | 1/1/2017 | AA- | 9,000 | 9,341,280 | ||||||||||
| 26 | See Notes to Financial Statements. |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| Clark Co Sch Dist Ltd Tax | 5.00 | % | 6/15/2016 | AA- | $ | 7,500 | $ | 8,297,100 | ||||||||
| Cook Co GO | 5.00 | % | 11/15/2017 | AA | 5,010 | 5,611,551 | ||||||||||
| Cook Co GO (AMBAC) | 5.00 | % | 11/15/2014 | AA | 1,000 | 1,036,870 | ||||||||||
| Cook Co Sch Dist #99—Cicero (AGM) | 5.00 | % | 12/1/2014 | Aa3 | 1,690 | 1,768,230 | ||||||||||
| CT State GO | 5.00 | % | 8/15/2021 | AA | 5,000 | 5,914,950 | ||||||||||
| CT State GO (SIFMA) | 0.99 | % | # | 5/15/2018 | AA | 4,000 | 4,015,720 | |||||||||
| Cumberland Co COP | 4.00 | % | 12/1/2014 | AA | 3,500 | 3,637,865 | ||||||||||
| Detroit—State Aid GO | 5.00 | % | 11/1/2015 | AA | 6,775 | 7,090,444 | ||||||||||
| Douglas Co Sch Dist #206— Eastmont (NPFGC) | 5.00 | % | 12/1/2014 | Aa1 | 1,000 | 1,049,030 | ||||||||||
| Douglas Co SD | 4.00 | % | 11/15/2018 | Aa1 | 5,085 | 5,690,166 | ||||||||||
| FL St Dept Trans | 5.00 | % | 7/1/2020 | AAA | 9,330 | 11,055,210 | ||||||||||
| Frederick Co GO | 4.00 | % | 8/1/2018 | AA+ | 6,820 | 7,621,214 | ||||||||||
| Guam GO | 5.75 | % | 11/15/2014 | B+ | 1,740 | 1,767,388 | ||||||||||
| Hawaii Co GO (AMBAC) | 5.00 | % | 7/15/2014 | Aa2 | 1,750 | 1,815,713 | ||||||||||
| HI State GO | 5.00 | % | 11/1/2021 | AA | 5,000 | 5,945,300 | ||||||||||
| Honolulu City & Co GO (NPFGC) | 5.00 | % | 7/1/2014 | Aa1 | 2,475 | 2,563,704 | ||||||||||
| Houston GO | 5.00 | % | 3/1/2018 | AA | 7,365 | 8,526,019 | ||||||||||
| IL State GO | 5.00 | % | 8/1/2016 | A- | 7,000 | 7,651,210 | ||||||||||
| IL State GO | 5.00 | % | 10/1/2017 | A- | 4,575 | 4,590,463 | ||||||||||
| IL State GO | 5.00 | % | 7/1/2017 | A- | 6,000 | 6,616,380 | ||||||||||
| IL State GO (AGM) | 5.50 | % | 5/1/2016 | AA- | 7,000 | 7,697,830 | ||||||||||
| Kane Cook & Du Page Co Sch Dist #46 | 4.00 | % | 1/1/2015 | AA- | 9,450 | 9,845,293 | ||||||||||
| Kansas City MO GO | 4.00 | % | 2/1/2018 | AA | 9,000 | 9,975,150 | ||||||||||
| Katy ISD PSF GTD | 0.772 | % | # | 8/15/2036 | AAA | 20,000 | 20,089,600 | |||||||||
| Madison Co CUSD #2—Triad (NPFGC) | 5.25 | % | 1/1/2015 | A+ | 2,035 | 2,111,740 | ||||||||||
| Maricopa Co Sch Dist #11—Peoria USD (AGM) | 5.00 | % | 7/1/2014 | AA- | 70 | 72,487 | ||||||||||
| Miami Dade Co GO | 4.25 | % | 10/1/2017 | Aa2 | 6,320 | 7,027,777 | ||||||||||
| MN State GO | 5.00 | % | 8/1/2014 | AA+ | 1,200 | 1,247,820 | ||||||||||
| MS Dev Bank—Marshall Co | 5.00 | % | 1/1/2018 | AA- | 2,225 | 2,522,438 | ||||||||||
| Newark BAN | 2.00 | % | 12/11/2013 | NR | 3,360 | 3,364,234 | ||||||||||
| NJ State GO | 5.00 | % | 6/1/2019 | AA- | 13,400 | 15,705,604 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2019 | AA | 5,585 | 6,525,626 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2017 | AA | 5,890 | 6,741,458 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2021 | AA | 7,410 | 8,713,641 | ||||||||||
| NYC GO(c) | 5.00 | % | 8/1/2019 | AA | 14,885 | 17,391,932 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2018 | AA | 10,000 | 11,603,700 | ||||||||||
| See Notes to Financial Statements. | 27 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| OH State GO | 5.00 | % | 9/15/2014 | AA+ | $ | 8,525 | $ | 8,914,848 | ||||||||
| OH State GO | 5.00 | % | 9/15/2018 | AA+ | 6,200 | 7,244,390 | ||||||||||
| OH State GO | 5.35 | % | 8/1/2014 | AA+ | 1,000 | 1,042,740 | ||||||||||
| PA State GO | 5.00 | % | 11/15/2017 | AA | 10,000 | 11,552,300 | ||||||||||
| PA State GO | 5.00 | % | 2/15/2015 | AA | 11,400 | 12,133,476 | ||||||||||
| Pittsburgh PA Sch District | 4.00 | % | 9/1/2018 | Aa3 | 7,090 | 7,788,365 | ||||||||||
| PR Comwlth GO (FGIC) | 5.50 | % | 7/1/2014 | Baa3 | 4,025 | 4,025,201 | ||||||||||
| Ramsey Co | 5.00 | % | 2/1/2016 | AAA | 4,785 | 5,285,032 | ||||||||||
| Rangely CO Hosp Dist | 4.50 | % | 11/1/2021 | Baa1 | 5,500 | 5,816,470 | ||||||||||
| RI State GO | 5.00 | % | 8/1/2017 | AA | 5,000 | 5,656,500 | ||||||||||
| RI State GO | 5.00 | % | 8/1/2018 | AA | 5,000 | 5,716,600 | ||||||||||
| San Francisco City & Co GO | 5.00 | % | 6/15/2018 | Aa1 | 8,725 | 10,222,559 | ||||||||||
| Shelby Co GO | 4.75 | % | 3/1/2018 | AA+ | 5,525 | 6,334,412 | ||||||||||
| Socorro ISD PSF GTD | 5.00 | % | 8/15/2014 | AAA | 1,000 | 1,041,540 | ||||||||||
| South San Francisco USD | 4.00 | % | 6/15/2018 | NR | 6,165 | 6,767,629 | ||||||||||
| Virgin Islands PFA—Tobacco & Liq Tax | 5.00 | % | 10/1/2014 | BBB | 2,750 | 2,863,053 | ||||||||||
| WA State GO | 5.00 | % | 2/1/2019 | AA+ | 5,640 | 6,606,019 | ||||||||||
| Waterbury GO (AG) | 4.00 | % | 9/1/2014 | AA- | 1,700 | 1,751,646 | ||||||||||
| Williamson Co GO | 4.00 | % | 2/15/2018 | AAA | 3,000 | 3,341,370 | ||||||||||
| Woonsocket GO | 7.125 | % | 6/15/2016 | B3 | 2,610 | 2,674,650 | ||||||||||
| Total | 449,097,663 | |||||||||||||||
| Health Care 11.09% | ||||||||||||||||
| Abag Fin Auth—Episcopal Senior | 2.50 | % | 7/1/2019 | BBB | 2,625 | 2,601,323 | ||||||||||
| Alachua Co Hlth—Bonita Springs | 7.125 | % | 11/15/2016 | NR | 4,500 | 4,552,920 | ||||||||||
| Allegheny Co Hsp—Univ Pitt Med | 5.00 | % | 9/1/2014 | Aa3 | 9,440 | 9,854,038 | ||||||||||
| AZ Hlth Facs—Phoenix Childrens Hsp | 1.92 | % | # | 2/1/2048 | BBB+ | 11,500 | 11,283,110 | |||||||||
| CA Fin Auth—Cmnty Hsps COP | 5.00 | % | 2/1/2014 | BBB | 1,220 | 1,232,371 | ||||||||||
| CA Hlth—Adventist Hlth W | 5.00 | % | 3/1/2014 | A | 2,000 | 2,037,320 | ||||||||||
| CA Hlth—Catholic Hlthcare W | 5.00 | % | 7/1/2027 | A | 3,500 | 3,617,110 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 1.87 | % | # | 7/1/2042 | BBB+ | 9,250 | 9,331,770 | |||||||||
| CA Hlth—City of Hope | 5.00 | % | 11/15/2017 | A+ | 1,050 | 1,200,234 | ||||||||||
| CA Hlth—Packard Childrens Hsp | 1.45 | % | 8/15/2023 | AA | 3,500 | 3,500,000 | ||||||||||
| CA Hlth—St Joseph Hlth | 5.00 | % | 7/1/2043 | AA- | 5,000 | 5,643,450 | ||||||||||
| CA Hlth—St Joseph Hlth | 5.00 | % | 7/1/2043 | AA- | 5,000 | 5,708,000 | ||||||||||
| CA Hlth—Sutter Hlth | 5.00 | % | 8/15/2014 | AA- | 1,205 | 1,253,224 | ||||||||||
| CA Stwde—So Cal Presbyterian | 5.25 | % | 11/15/2014 | BBB- | 555 | 571,006 | ||||||||||
| CA Stwde—Terraces San Joaquin | 4.00 | % | 10/1/2018 | NR | 6,000 | 5,970,480 | ||||||||||
| 28 | See Notes to Financial Statements. |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| Charlotte Meck Hsp—Carolinas Hlth (NPFGC)(IBC) | 5.00 | % | 1/15/2015 | AA- | $ | 2,275 | $ | 2,407,291 | ||||||||
| Clackamas Co Hsp—Legacy Hlth Sys | 5.00 | % | 7/15/2037 | A+ | 2,000 | 2,057,920 | ||||||||||
| CO Hlth Facs—Catholic Hlth | 5.00 | % | 7/1/2039 | AA- | 5,500 | 5,792,655 | ||||||||||
| CO Hlth Facs—Evangelical Lutheran | 5.00 | % | 6/1/2039 | A- | 4,900 | 5,095,412 | ||||||||||
| CO Hlth Facs—Total Longterm Care | 4.25 | % | 11/15/2015 | BBB- | (d) | 615 | 628,985 | |||||||||
| CT Hlth & Ed—Lawrence Mem Hsp | 5.00 | % | 7/1/2018 | A+ | 2,705 | 3,057,380 | ||||||||||
| CT Hlth & Ed—Lawrence Mem Hsp | 5.00 | % | 7/1/2019 | A+ | 2,835 | 3,205,478 | ||||||||||
| CT Hlth & Ed—Stamford Hsp | 5.00 | % | 7/1/2014 | A- | 2,050 | 2,112,976 | ||||||||||
| CT Hlth & Ed—Stamford Hsp | 5.00 | % | 7/1/2015 | A- | 1,980 | 2,108,759 | ||||||||||
| Duluth EDA—St Lukes Hsp | 4.75 | % | 6/15/2022 | NR | 5,000 | 4,779,700 | ||||||||||
| Gaithersburg Econ Dev—Asbury | 5.00 | % | 1/1/2014 | BBB | (d) | 2,965 | 2,987,415 | |||||||||
| Gaithersburg Econ Dev—Asbury | 5.00 | % | 1/1/2015 | BBB | (d) | 2,950 | 3,038,235 | |||||||||
| Harris Co Cultural Ed—Methodist Hsp | 5.25 | % | 12/1/2013 | AA | 3,000 | 3,024,780 | ||||||||||
| HFDC Cent TX—Legacy/Willow Bend | 5.25 | % | 11/1/2014 | NR | 1,195 | 1,214,610 | ||||||||||
| IA Fin Auth—Genesis Hlth Sys | 5.00 | % | 7/1/2014 | A1 | 1,065 | 1,100,156 | ||||||||||
| IL Fin Auth—Provena Hlth | 5.25 | % | 5/1/2015 | BBB+ | 2,000 | 2,090,860 | ||||||||||
| IL Hlth—Advocate Hlth | 4.375 | % | 11/15/2022 | AA | 3,105 | 3,188,369 | ||||||||||
| IN Hlth Facs—Ascension Hlth | 1.60 | % | 11/15/2036 | AA+ | 11,500 | 11,525,990 | ||||||||||
| Jackson Co Hospital Fin Auth | 4.00 | % | 6/1/2014 | A- | 3,680 | 3,756,213 | ||||||||||
| Jackson Co Hospital Fin Auth | 4.00 | % | 6/1/2015 | A- | 3,600 | 3,764,016 | ||||||||||
| Jackson Co Hospital Fin Auth | 4.00 | % | 6/1/2016 | A- | 2,855 | 3,020,504 | ||||||||||
| Kaweah Delta Hlth Care Dist | 5.00 | % | 6/1/2017 | A3 | 2,000 | 2,224,980 | ||||||||||
| LA PFA—Christus Hlth | 5.00 | % | 7/1/2014 | A+ | 3,000 | 3,098,100 | ||||||||||
| Lubbock Hlth—St Joseph Hlth | 1.125 | % | 7/1/2030 | AA- | 13,395 | 13,301,503 | ||||||||||
| MA DFA—Boston Med Ctr | 5.00 | % | 7/1/2017 | BBB+ | 2,000 | 2,191,100 | ||||||||||
| MA DFA—Boston Med Ctr | 5.00 | % | 7/1/2018 | BBB+ | 5,090 | 5,636,564 | ||||||||||
| MA DFA—Groves in Lincoln(e) | 6.25 | % | 6/1/2014 | NR | 3,240 | 200,880 | ||||||||||
| Med Ctr Ed Bldg Corp—Univ MS Med Ctr | 4.00 | % | 6/1/2014 | Aa2 | 1,000 | 1,023,880 | ||||||||||
| MI Hsp—Ascension Hlth(b) | 1.87 | % | 11/1/2027 | AA | 20,000 | 19,765,600 | ||||||||||
| MN Agric & Econ Dev—Essentia Hlth Rmkt (AG) |
5.00 | % | 2/15/2015 | AA- | 1,335 | 1,408,412 | ||||||||||
| MO Hlth & Ed—St Lukes Hlth Sys | 5.00 | % | 11/15/2014 | A+ | 2,140 | 2,231,613 | ||||||||||
| Muskingum Co Hsp Facs—Genesis Hlthcare | 5.00 | % | 2/15/2018 | BB+ | 1,000 | 1,033,180 | ||||||||||
| Muskingum Co Hsp Facs—Genesis Hlthcare | 5.00 | % | 2/15/2019 | BB+ | 1,450 | 1,493,906 | ||||||||||
| Muskingum Co Hsp Facs—Genesis Hlthcare | 5.00 | % | 2/15/2020 | BB+ | 1,305 | 1,321,234 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.00 | % | 7/1/2019 | BBB+ | 10,000 | 10,975,700 | ||||||||||
| NJ Hlth—St Peters Univ Hsp | 5.00 | % | 7/1/2016 | BB+ | 3,160 | 3,286,210 | ||||||||||
| See Notes to Financial Statements. | 29 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| NJ Hlth—St Peters Univ Hsp | 5.00 | % | 7/1/2017 | BB+ | $ | 3,850 | $ | 4,016,435 | ||||||||
| NY Dorm—Mental Hlth (NPFGC)(FGIC) | 5.00 | % | 8/15/2015 | AA- | 4,670 | 4,961,128 | ||||||||||
| Oklahoma Co Fin Auth—Epworth Villa | 5.00 | % | 4/1/2023 | NR | 1,400 | 1,409,464 | ||||||||||
| Onondaga CDC—St Josephs Hsp | 5.00 | % | 7/1/2017 | BB+ | 5,000 | 5,322,250 | ||||||||||
| Palm Beach Co Hlth—Bethesda Hlthcare (AGM) | 5.00 | % | 7/1/2014 | AA- | 2,420 | 2,480,597 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.00 | % | 7/1/2015 | BB+ | 1,500 | 1,531,545 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.00 | % | 7/1/2016 | BB+ | 1,500 | 1,538,925 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.00 | % | 7/1/2017 | BB+ | 1,500 | 1,544,745 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.00 | % | 7/1/2018 | BB+ | 8,385 | 8,554,545 | ||||||||||
| PR Indl Tourist—Hsp Auxilio Mutuo | 5.00 | % | 7/1/2016 | A- | 3,385 | 3,476,395 | ||||||||||
| PR Indl Tourist—Hsp Auxilio Mutuo | 5.00 | % | 7/1/2017 | A- | 2,555 | 2,616,090 | ||||||||||
| Rochester Hlth Care—Mayo Clinic | 4.00 | % | 11/15/2038 | AA | 5,500 | 6,103,075 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 5.00 | % | 12/1/2016 | BB | 1,750 | 1,833,178 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 5.25 | % | 12/1/2017 | BB | 1,750 | 1,846,723 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 5.75 | % | 12/1/2018 | BB | 1,800 | 1,945,476 | ||||||||||
| Sartell Hlth Care—Country Manor | 4.00 | % | 9/1/2020 | NR | 2,300 | 2,182,378 | ||||||||||
| SC Jobs EDA—Tuomey Hsp (CIFG) | 5.00 | % | 11/1/2013 | BB | 1,685 | 1,684,781 | ||||||||||
| SC Jobs EDA—Tuomey Hsp (CIFG) | 5.00 | % | 11/1/2014 | BB | 1,035 | 1,033,458 | ||||||||||
| SD Hlth & Ed Facs—Rapid City Regl Hsp | 5.00 | % | 9/1/2014 | A1 | 1,000 | 1,039,170 | ||||||||||
| SE Port Auth—Memorial Hlth | 5.00 | % | 12/1/2022 | NR | 3,400 | 3,353,148 | ||||||||||
| Shelby Co Hlth Ed Hsg—Baptist Mem Hlth | 5.00 | % | 9/1/2014 | AA- | 1,500 | 1,558,470 | ||||||||||
| Travis Co Hlth—Longhorn Vlg | 5.50 | % | 1/1/2017 | NR | 1,740 | 1,730,674 | ||||||||||
| Westchester Co Medical | 5.00 | % | 11/1/2015 | A3 | 3,215 | 3,410,954 | ||||||||||
| WI Hlth & Ed—Aurora Hlth | 4.75 | % | 8/15/2025 | A3 | 3,000 | 3,097,080 | ||||||||||
| WI Hlth & Ed—Aurora Hlth | 5.125 | % | 8/15/2027 | A3 | 9,000 | 9,826,920 | ||||||||||
| WI Hlth & Ed—Froedtert & Cmnty Hlth | 4.00 | % | 4/1/2014 | AA- | 1,300 | 1,322,243 | ||||||||||
| Total | 286,926,769 | |||||||||||||||
| Housing 0.13% | ||||||||||||||||
| CA Stwde—American Baptist | 2.40 | % | 10/1/2020 | BBB | 1,250 | 1,193,838 | ||||||||||
| WA Hsg—Emerald Heights | 3.00 | % | 7/1/2016 | A- | (d) | 1,020 | 1,028,017 | |||||||||
| WA Hsg—Emerald Heights | 4.00 | % | 7/1/2018 | A- | (d) | 1,000 | 1,030,030 | |||||||||
| Total | 3,251,885 | |||||||||||||||
| Lease Obligations 10.15% | ||||||||||||||||
| Anaheim Pub Fin Auth (AGM) | 6.00 | % | 9/1/2014 | AA- | 1,500 | 1,576,035 | ||||||||||
| Atlanta Dtown Dev—Undg Atlanta (AG) | 5.00 | % | 7/1/2014 | Aa2 | 3,500 | 3,624,915 | ||||||||||
| 30 | See Notes to Financial Statements. |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| CA Pub Wks—Dept Hsps | 4.00 | % | 6/1/2017 | A2 | $ | 2,395 | $ | 2,629,950 | ||||||||
| CA Pub Wks—Dept Hsps | 4.00 | % | 6/1/2018 | A2 | 4,790 | 5,281,598 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 10/1/2014 | A2 | 14,175 | 14,837,539 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 4/1/2018 | A2 | 2,800 | 3,212,580 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 11/1/2018 | A2 | 2,000 | 2,314,480 | ||||||||||
| Cleveland COP—Cleveland Stadium | 5.00 | % | 11/15/2014 | A | 5,320 | 5,510,296 | ||||||||||
| Cleveland COP—Cleveland Stadium | 5.00 | % | 11/15/2015 | A | 5,420 | 5,853,871 | ||||||||||
| Erie Co IDA—Sch Facs | 5.00 | % | 5/1/2018 | AA- | 3,000 | 3,452,760 | ||||||||||
| Golden Empire Schs—Kern HSD | 0.37 | % | # | 5/1/2014 | NR | 11,700 | 11,700,702 | |||||||||
| IN Office Bldg Commn—New Castle Corr (NPFGC)(FGIC) | 5.25 | % | 7/1/2016 | Aa1 | 1,785 | 1,966,302 | ||||||||||
| KY Ppty & Bldgs Commn—Proj #82 (AGM) | 5.25 | % | 10/1/2014 | AA- | 5,500 | 5,767,850 | ||||||||||
| KY Ppty & Bldgs Commn—Proj #83 (AMBAC) | 5.00 | % | 10/1/2015 | Aa3 | 6,085 | 6,623,948 | ||||||||||
| KY Ppty & Bldgs Commn—Proj #88 (NPFGC)(FGIC) |
5.00 | % | 11/1/2014 | Aa3 | 2,815 | 2,955,694 | ||||||||||
| Los Angeles Co Cap Asset Corp | 5.00 | % | 6/1/2015 | AA- | 4,595 | 4,931,032 | ||||||||||
| Los Angeles Co Cap Asset Corp | 5.00 | % | 12/1/2015 | AA- | 4,195 | 4,526,489 | ||||||||||
| Los Angeles Co Pub Wks | 5.00 | % | 8/1/2019 | AA- | 1,000 | 1,145,270 | ||||||||||
| Los Angeles Mun Impt Corp | 5.00 | % | 3/1/2018 | A+ | 5,000 | 5,607,750 | ||||||||||
| Los Angeles Mun Impt Corp | 5.00 | % | 3/1/2019 | A+ | 9,500 | 10,689,685 | ||||||||||
| Los Angeles USD COP | 4.00 | % | 12/1/2014 | A+ | 6,360 | 6,619,615 | ||||||||||
| Los Angeles USD COP | 5.00 | % | 10/1/2017 | A+ | 3,000 | 3,421,890 | ||||||||||
| Los Angeles USD COP | 5.00 | % | 10/1/2018 | A+ | 3,000 | 3,464,340 | ||||||||||
| MA State GO | 0.73 | % | # | 2/1/2015 | AA+ | 2,500 | 2,510,300 | |||||||||
| Maricopa Co PFC (AMBAC) | 5.00 | % | 7/1/2014 | AA+ | 3,000 | 3,107,520 | ||||||||||
| MI Bldg Auth | 5.00 | % | 10/15/2014 | Aa3 | 2,000 | 2,090,720 | ||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.00 | % | 6/1/2016 | A+ | 11,500 | 12,231,975 | ||||||||||
| Miami Dade Co Entlmt GTD (NPFGC)(FGIC) | 5.00 | % | 8/1/2014 | Aa3 | 5,665 | 5,870,923 | ||||||||||
| MN State Gen Fund | 5.00 | % | 3/1/2018 | AA | 8,000 | 9,257,440 | ||||||||||
| NJ Ed Facs—Higher Ed Cap Impt (AGM) | 5.00 | % | 9/1/2014 | AA- | 2,975 | 3,098,760 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2017 | A+ | 20,000 | 22,496,800 | ||||||||||
| NJ EDA—Sch Facs | 5.25 | % | 3/1/2014 | A+ | 2,625 | 2,679,443 | ||||||||||
| NJ EDA—Sch Facs Rmkt (AGM) | 5.00 | % | 9/1/2020 | AA- | 1,830 | 1,909,568 | ||||||||||
| NJ EDA—Sch Facs Rmkt (AGM) | 5.00 | % | 9/1/2029 | AA- | 5,000 | 5,440,450 | ||||||||||
| NJ State COP—Equip Lease COP | 5.00 | % | 6/15/2015 | A+ | 3,150 | 3,250,926 | ||||||||||
| NJ Trans Trust Fund (AGM) | 5.75 | % | 12/15/2014 | AA- | 2,910 | 3,100,169 | ||||||||||
| NJ Trans Trust Fund (NPFGC) | 5.50 | % | 12/15/2016 | A+ | 1,225 | 1,398,583 | ||||||||||
| See Notes to Financial Statements. | 31 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| NY Dorm—Cons Svc Contract | 4.00 | % | 7/1/2014 | AA- | $ | 1,425 | $ | 1,464,829 | ||||||||
| NY Dorm—Mental Hlth | 5.00 | % | 2/15/2014 | AA- | 7,075 | 7,199,095 | ||||||||||
| NY Twy Auth | 5.00 | % | 4/1/2018 | AA- | 7,500 | 8,689,875 | ||||||||||
| Palm Beach Co Sch Brd COP | 5.00 | % | 8/1/2032 | Aa3 | 2,500 | 2,770,700 | ||||||||||
| Philadelphia Redev Auth | 5.00 | % | 4/15/2017 | A2 | 1,135 | 1,251,814 | ||||||||||
| Philadelphia Redev Auth | 5.00 | % | 4/15/2018 | A2 | 1,670 | 1,856,205 | ||||||||||
| PR Pub Bldg Auth GTD | 5.75 | % | 7/1/2016 | BBB- | 4,145 | 4,042,245 | ||||||||||
| Sacramento USD Rmkt COP (AGM) | 3.07 | % | # | 3/1/2040 | A3 | 3,530 | 3,538,154 | |||||||||
| Salt Lake Co Mun Bldg Auth | 4.00 | % | 12/1/2014 | AA+ | 1,000 | 1,043,690 | ||||||||||
| San Diego Conv Ctr Fing Auth | 4.00 | % | 4/15/2016 | A+ | 1,665 | 1,774,524 | ||||||||||
| San Diego Conv Ctr Fing Auth | 4.00 | % | 4/15/2017 | A+ | 1,250 | 1,345,950 | ||||||||||
| San Diego Conv Ctr Fing Auth | 4.00 | % | 4/15/2018 | A+ | 2,100 | 2,265,060 | ||||||||||
| San Francisco City & Co COP | 5.00 | % | 9/1/2017 | AA- | 12,640 | 14,314,294 | ||||||||||
| Santa Clara Co Fin Auth | 5.00 | % | 11/15/2014 | AA | 2,670 | 2,800,216 | ||||||||||
| Scago Ed Facs Corp—Pickens Sch Dist (AGM) | 5.00 | % | 12/1/2013 | AA- | 1,000 | 1,007,580 | ||||||||||
| SW Allen Multi Sch Bldg Corp (NPFGC) | 5.00 | % | 1/15/2014 | Aa2 | 2,705 | 2,742,140 | ||||||||||
| Twin Rivers USD (AGM) | 3.20 | % | 6/1/2035 | AA- | 920 | 905,308 | ||||||||||
| Twin Rivers USD (AGM) | 3.20 | % | 6/1/2041 | AA- | 2,250 | 2,198,340 | ||||||||||
| Twin Rivers USD (AGM) | 3.20 | % | 6/1/2027 | AA- | 1,750 | 1,743,718 | ||||||||||
| VA Biotech Research Ptnrs—Cons Labs | 4.00 | % | 9/1/2014 | AA+ | 3,270 | 3,383,665 | ||||||||||
| Total | 262,495,570 | |||||||||||||||
| Other Revenue 4.61% | ||||||||||||||||
| Austin Convention† | 6.00 | % | 1/1/2015 | Ba2 | 1,580 | 1,612,279 | ||||||||||
| Farmington Poll Ctl—El Paso Elec | 1.875 | % | 6/1/2032 | BBB | 5,000 | 4,911,500 | ||||||||||
| FL Brd Ed—Lottery Rev | 5.00 | % | 7/1/2014 | AAA | 5,000 | 5,176,900 | ||||||||||
| FL Brd Ed—Lottery Rev (AMBAC) | 5.00 | % | 7/1/2015 | AAA | 3,200 | 3,453,856 | ||||||||||
| Florence Twn IDA—Legacy Trad Sch | 4.00 | % | 7/1/2018 | BB | 500 | 482,765 | ||||||||||
| IL Fin Auth—Prairie Power Rmkt | 3.00 | % | 7/1/2042 | A | 10,000 | 10,093,300 | ||||||||||
| IN Bd Bk—Common School Fund (NPFGC) | 4.75 | % | 2/1/2014 | A | 4,000 | 4,011,120 | ||||||||||
| Indianapolis Local Pub Impt Bd Bk | 5.00 | % | 6/1/2022 | A1 | 4,040 | 4,530,456 | ||||||||||
| La Paz Co IDA—Imperial Regl Jail | 6.75 | % | 10/1/2023 | NR | 2,000 | 1,989,960 | ||||||||||
| Maricopa Co Poll Ctl—NM Pub Svc | 4.00 | % | 6/1/2043 | BBB | 10,000 | 10,268,700 | ||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.00 | % | 6/1/2015 | A+ | 1,700 | 1,791,460 | ||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.00 | % | 6/1/2016 | A+ | 1,600 | 1,714,704 | ||||||||||
| MI Strategic Fd—Waste Mgmt | 2.80 | % | 12/1/2013 | BBB | 3,000 | 3,011,370 | ||||||||||
| Minneapolis National Marrow Donor Prog | 4.00 | % | 8/1/2014 | BBB | 4,060 | 4,138,196 | ||||||||||
| Minneapolis National Marrow Donor Prog | 4.00 | % | 8/1/2015 | BBB | 4,535 | 4,669,780 | ||||||||||
| 32 | See Notes to Financial Statements. |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Other Revenue (continued) | ||||||||||||||||
| NYC Cultural—Whitney Museum | 5.00 | % | 7/1/2017 | A | $ | 6,175 | $ | 6,958,978 | ||||||||
| PA Econ Dev—PPL Energy Supply | 3.00 | % | 12/1/2038 | BBB | 3,000 | 3,077,010 | ||||||||||
| PA Econ Dev—PPL Energy Supply Rmkt | 3.00 | % | 12/1/2037 | BBB | 12,000 | 12,308,040 | ||||||||||
| PA IDA—Economic Dev | 5.00 | % | 7/1/2018 | A1 | 2,595 | 2,965,851 | ||||||||||
| PR Comwlth Govt Dev Bank Rmkt GTD (NPFGC) |
4.75 | % | 12/1/2015 | A | 10,000 | 9,856,400 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2018 | BBB | 10,040 | 8,952,568 | ||||||||||
| Public Gas Partners Inc | 5.00 | % | 10/1/2014 | A+ | 3,000 | 3,119,070 | ||||||||||
| Wise Co IDA—VA Elec & Pwr CO | 2.375 | % | 11/1/2040 | A- | 10,000 | 10,232,100 | ||||||||||
| Total | 119,326,363 | |||||||||||||||
| Special Tax 0.34% | ||||||||||||||||
| CA Reassmt Dist 12/1 Irvine | 4.00 | % | 9/2/2017 | BBB+ | 2,000 | 2,164,760 | ||||||||||
| CA Reassmt Dist 12/1 Irvine | 4.00 | % | 9/2/2018 | BBB+ | 1,250 | 1,357,875 | ||||||||||
| Denver Urban Renewal—Stapleton | 4.00 | % | 12/1/2014 | Aa3 | 5,045 | 5,216,227 | ||||||||||
| Total | 8,738,862 | |||||||||||||||
| Tax Revenue 5.11% | ||||||||||||||||
| Akron PIT | 3.00 | % | 12/1/2014 | AA+ | 1,465 | 1,508,906 | ||||||||||
| Akron PIT | 4.00 | % | 12/1/2015 | AA+ | 3,190 | 3,407,526 | ||||||||||
| Akron PIT | 4.00 | % | 12/1/2016 | AA+ | 4,090 | 4,453,437 | ||||||||||
| AL Pub Sch & Clg Auth | 5.00 | % | 5/1/2015 | Aa1 | 2,800 | 3,004,680 | ||||||||||
| CA State Economic Recovery (NPFGC)(FGIC) | 5.25 | % | 7/1/2014 | Aa2 | 1,610 | 1,670,439 | ||||||||||
| CA State Economic Recovery ETM | 5.25 | % | 7/1/2014 | Aaa | 1,130 | 1,172,511 | ||||||||||
| Contra Costa Trsp—Sales Tax | 0.492 | % | # | 3/1/2034 | AA+ | 14,500 | 14,550,315 | |||||||||
| Des Moines ISD | 5.00 | % | 6/1/2015 | A+ | 2,810 | 3,021,818 | ||||||||||
| FL Hurricane Catastrophe Fund | 5.00 | % | 7/1/2016 | AA- | 8,500 | 9,435,170 | ||||||||||
| IL State—Unemployment Insurance Fund Bldg | 5.00 | % | 12/15/2018 | AA | 5,000 | 5,486,400 | ||||||||||
| MA Spl Oblig—Fed Hwy GANs (AGM) | 5.00 | % | 12/15/2014 | AAA | 7,000 | 7,399,840 | ||||||||||
| MTA NY—Dedicated Tax | 4.00 | % | 11/15/2018 | AA | 4,490 | 5,012,636 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2016 | BBB+ | 1,880 | 2,022,316 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2018 | BBB+ | 8,500 | 9,376,945 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2017 | BBB+ | 3,000 | 3,266,700 | ||||||||||
| NJ EDA—Cigarette Tax ETM | 5.375 | % | 6/15/2014 | AA+ | 2,560 | 2,653,184 | ||||||||||
| NY LGAC | 5.00 | % | 4/1/2015 | AAA | 2,475 | 2,647,161 | ||||||||||
| NY UDC—PIT | 5.00 | % | 3/15/2018 | AAA | 10,000 | 11,604,100 | ||||||||||
| NY UDC—PIT | 5.00 | % | 3/15/2017 | AAA | 10,000 | 11,408,000 | ||||||||||
| NYC TFA—Future Tax | 5.00 | % | 11/1/2016 | AAA | 5,500 | 6,209,830 | ||||||||||
| See Notes to Financial Statements. | 33 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tax Revenue (continued) | ||||||||||||||||
| Orlando Redev TIF | 5.00 | % | 9/1/2014 | A | $ | 1,025 | $ | 1,055,156 | ||||||||
| PA Econ Dev—Unemployment Comp | 5.00 | % | 7/1/2022 | Aaa | 9,075 | 9,956,545 | ||||||||||
| Phoenix Civic Impt Corp—Light Rail Proj | 5.00 | % | 7/1/2019 | AA | 4,670 | 5,456,942 | ||||||||||
| Volusia Co Sch Brd (NPFGC) | 5.00 | % | 10/1/2013 | A | 4,150 | 4,150,000 | ||||||||||
| WV Sch Bldg Auth—Lottery | 5.00 | % | 7/1/2014 | AAA | 2,290 | 2,369,623 | ||||||||||
| Total | 132,300,180 | |||||||||||||||
| Tobacco 1.85% | ||||||||||||||||
| Buckeye Tobacco | 5.00 | % | 6/1/2014 | A1 | 5,500 | 5,627,545 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2020 | A2 | 5,300 | 5,990,113 | ||||||||||
| Railsplitter Tobacco Settlement Auth | 5.00 | % | 6/1/2015 | A | 8,085 | 8,627,423 | ||||||||||
| Railsplitter Tobacco Settlement Auth | 5.25 | % | 6/1/2021 | A | 5,020 | 5,506,639 | ||||||||||
| Tobacco Settlement Fin Corp | 4.50 | % | 6/1/2023 | B1 | 5,270 | 4,984,629 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2017 | AA- | 5,850 | 6,643,845 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2018 | A3 | 5,000 | 5,499,000 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 5/15/2016 | A | 2,500 | 2,727,700 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 5/15/2017 | A | 2,000 | 2,224,560 | ||||||||||
| Total | 47,831,454 | |||||||||||||||
| Transportation 8.24% | ||||||||||||||||
| Alameda Corridor Trsp Auth | 5.00 | % | 10/1/2019 | A- | 1,000 | 1,160,710 | ||||||||||
| Bay Area Toll Auth | 0.77 | % | # | 4/1/2047 | AA | 8,000 | 7,919,600 | |||||||||
| Bay Area Toll Auth Rmkt | 0.984 | % | # | 4/1/2045 | AA | 15,000 | 15,085,650 | |||||||||
| Chicago Midway Arpt | 5.00 | % | 1/1/2034 | A- | 2,725 | 2,863,185 | ||||||||||
| CT Spl Tax—Trans Infra | 5.00 | % | 12/1/2014 | AA | 10,000 | 10,547,900 | ||||||||||
| Delaware River Jt Toll Brdg Commn (NPFGC) | 5.50 | % | 7/1/2014 | A | 2,455 | 2,549,100 | ||||||||||
| DFW Arpt | 4.00 | % | 11/1/2014 | A+ | 2,500 | 2,598,900 | ||||||||||
| Fairfax Co EDA—Silver Line Phase I | 5.00 | % | 4/1/2017 | AA | 2,000 | 2,247,620 | ||||||||||
| GA Rd & Twy Auth (NPFGC) | 5.00 | % | 6/1/2014 | AA- | 1,000 | 1,031,630 | ||||||||||
| Harris Co Toll Rd | 0.71 | % | # | 8/15/2021 | Aa3 | 4,000 | 3,993,120 | |||||||||
| Houston Arpt | 5.00 | % | 7/1/2017 | A | 1,500 | 1,698,645 | ||||||||||
| IL Toll Hwy Auth | 5.00 | % | 12/1/2017 | AA- | 5,000 | 5,714,150 | ||||||||||
| Illinois St Toll Hwy Auth Toll Highway Rev Sr Priority—Ser A (AGM) | 5.00 | % | 1/1/2018 | AA- | 5,205 | 5,628,375 | ||||||||||
| LA Offshore Term Auth—LOOP LLC | 2.10 | % | 10/1/2040 | A- | 3,500 | 3,541,300 | ||||||||||
| MTA NY | 0.36 | % | 11/1/2022 | AA- | 17,825 | 17,191,446 | ||||||||||
| MTA NY | 0.962 | % | # | 11/1/2030 | A | 7,500 | 7,452,975 | |||||||||
| MTA NY | 5.00 | % | 11/15/2018 | A | 3,235 | 3,719,991 | ||||||||||
| 34 | See Notes to Financial Statements. |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| MTA NY—Dedicated Tax | 5.00 | % | 11/15/2014 | AA | $ | 1,000 | $ | 1,051,770 | ||||||||
| NC State GARVEE | 4.00 | % | 3/1/2023 | AA | 10,000 | 10,760,400 | ||||||||||
| NJ Tpk Auth | 5.00 | % | 1/1/2020 | A+ | 5,000 | 5,787,200 | ||||||||||
| NJ Trans Trust Fund (NPFGC) | 5.25 | % | 12/15/2014 | A+ | 5,000 | 5,296,850 | ||||||||||
| NJ Trans Trust Fund (NPFGC)(FGIC) | 5.00 | % | 6/15/2015 | A1 | 2,950 | 3,169,716 | ||||||||||
| NJ Trans Trust Fund (NPFGC)(FGIC) | 5.25 | % | 12/15/2018 | AA+ | 5,000 | 5,530,600 | ||||||||||
| NY Twy Auth | 5.00 | % | 1/1/2016 | A+ | 500 | 546,025 | ||||||||||
| NY Twy Auth | 5.00 | % | 1/1/2018 | A+ | 1,250 | 1,414,900 | ||||||||||
| NY Twy Auth—Hwy & Brdg | 5.00 | % | 4/1/2018 | AA | 3,405 | 3,945,203 | ||||||||||
| OH Infrastructure | 5.50 | % | 6/15/2014 | AA | 1,460 | 1,513,042 | ||||||||||
| Orlando & Orange Co Expwy Auth | 5.00 | % | 7/1/2018 | A | 4,000 | 4,591,240 | ||||||||||
| PA Tpk Commn | 0.62 | % | # | 12/1/2016 | A+ | 10,000 | 9,962,800 | |||||||||
| PA Tpk Commn | 0.75 | % | # | 12/1/2018 | A+ | 3,000 | 2,948,760 | |||||||||
| PA Tpk Commn (NPFGC)(FGIC) | 5.50 | % | 12/1/2013 | A+ | 825 | 832,054 | ||||||||||
| PR Hwy & Trans Auth (AGM) | 5.50 | % | 7/1/2014 | AA- | 5,000 | 5,067,750 | ||||||||||
| South Jersey Trans Auth | 4.00 | % | 11/1/2013 | A- | 4,000 | 4,011,520 | ||||||||||
| Southeastern PA Transp Auth | 5.00 | % | 6/1/2017 | A+ | 1,425 | 1,606,345 | ||||||||||
| Southeastern PA Transp Auth | 5.00 | % | 6/1/2018 | A+ | 1,280 | 1,462,925 | ||||||||||
| St Louis Arpt—Lambert Intl Airport | 5.00 | % | 7/1/2016 | A- | 630 | 695,873 | ||||||||||
| St Louis Arpt—Lambert Intl Airport | 5.00 | % | 7/1/2018 | A- | 1,530 | 1,749,402 | ||||||||||
| Tri Co Met Trsp Dist | 3.00 | % | 11/1/2018 | Aa3 | 8,400 | 8,816,304 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2018 | AA- | 3,750 | 4,390,012 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2019 | AA- | 5,000 | 5,897,300 | ||||||||||
| Triborough Brdg & Tunl Auth (NPFGC) | 5.50 | % | 11/15/2021 | A+ | 6,345 | 7,673,135 | ||||||||||
| WA St GARVEE—520 Corridor | 5.00 | % | 9/1/2017 | AA | 16,930 | 19,359,794 | ||||||||||
| Total | 213,025,217 | |||||||||||||||
| Utilities 11.50% | ||||||||||||||||
| Amr Muni Pwr—Fremont Energy | 5.00 | % | 2/15/2016 | A1 | 675 | 738,153 | ||||||||||
| Amr Muni Pwr—Fremont Energy | 5.00 | % | 2/15/2017 | A1 | 1,000 | 1,120,780 | ||||||||||
| Amr Muni Pwr—Fremont Energy | 5.00 | % | 2/15/2018 | A1 | 2,900 | 3,289,267 | ||||||||||
| Atlanta Wtr & Wastewtr | 5.00 | % | 11/1/2017 | Aa3 | 3,000 | 3,457,500 | ||||||||||
| Atlanta Wtr & Wastewtr | 5.00 | % | 11/1/2018 | Aa3 | 2,500 | 2,895,725 | ||||||||||
| Burke Co Dev—GA Power | 1.40 | % | 11/1/2048 | A | 4,000 | 4,038,560 | ||||||||||
| Butler Co Sewer Sys (AGM) | 5.00 | % | 12/1/2013 | Aa3 | 1,225 | 1,232,877 | ||||||||||
| Central Plains—Goldman Sachs | 5.00 | % | 12/1/2014 | A- | 3,050 | 3,170,932 | ||||||||||
| East Bay MUD Wastewater | 0.39 | % | # | 6/1/2038 | AAA | 5,345 | 5,345,160 | |||||||||
| Escambia Co Solid Waste—Gulf Pwr | 1.35 | % | 4/1/2039 | A | 7,500 | 7,519,650 | ||||||||||
| See Notes to Financial Statements. | 35 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| FL Dept Env Protn—Florida Forever (NPFGC) | 5.00 | % | 7/1/2014 | AA- | $ | 5,180 | $ | 5,361,300 | ||||||||
| Floyd Co Dev—GA Power Rmkt | 0.85 | % | 7/1/2022 | A | 5,000 | 4,996,850 | ||||||||||
| Guam Pwr Auth (AGM) | 5.00 | % | 10/1/2019 | AA- | 1,000 | 1,157,660 | ||||||||||
| Houston Util Sys (SIFMA) | 0.82 | % | # | 5/15/2034 | AA | 23,000 | 22,985,970 | |||||||||
| IL Fin Auth—Peoples Gas | 2.125 | % | 3/1/2030 | A1 | 12,750 | 12,891,270 | ||||||||||
| IL Fin Auth—Peoples Gas | 2.625 | % | 2/1/2033 | A1 | 4,000 | 4,115,920 | ||||||||||
| Indianapolis Util Dist (NPFGC)(FGIC) | 4.00 | % | 6/1/2014 | AA | 3,535 | 3,616,552 | ||||||||||
| Kissimmee Util Auth (AGM) | 5.25 | % | 10/1/2014 | A1 | 1,000 | 1,048,700 | ||||||||||
| Lakeland Energy | 0.82 | % | # | 10/1/2017 | AA | 17,000 | 16,895,450 | |||||||||
| Long Island Power Auth | 4.00 | % | 5/1/2018 | A- | 3,940 | 4,263,277 | ||||||||||
| Long Island Power Auth | 5.00 | % | 5/1/2014 | A- | 2,790 | 2,859,052 | ||||||||||
| Los Alamos Co Util Sys (AGM) | 5.00 | % | 7/1/2014 | AA- | 4,410 | 4,426,185 | ||||||||||
| Los Angeles Wastewater | 5.00 | % | 6/1/2018 | AA | 3,000 | 3,495,960 | ||||||||||
| Louisville/Jeff Co Met—Louisville Gas & Elec Co | 1.15 | % | 6/1/2033 | A2 | 3,750 | 3,708,675 | ||||||||||
| Louisville/Jeff Co Met—Louisville Gas & Elec Co | 1.60 | % | 6/1/2033 | A- | 4,000 | 4,019,880 | ||||||||||
| Louisville/Jeff Co Poll Ctl—Louisville Gas & Elec Co | 1.65 | % | 10/1/2033 | A2 | 6,000 | 6,038,760 | ||||||||||
| MEAG—Proj 1 | 5.00 | % | 1/1/2018 | A | 3,145 | 3,586,181 | ||||||||||
| MEAG—Proj 1 | 5.00 | % | 1/1/2021 | A | 7,000 | 8,087,520 | ||||||||||
| Met Govt Nashville Water & Sewer | 5.00 | % | 7/1/2018 | A+ | 4,415 | 5,098,089 | ||||||||||
| Morehouse Parish Poll Ctl—Intl Paper | 5.25 | % | 11/15/2013 | BBB | 2,855 | 2,869,589 | ||||||||||
| MS Bus Fin Corp—Coast Elec Pwr Rmkt | 0.43 | % | 5/1/2037 | A | 5,455 | 5,455,273 | ||||||||||
| Navajo Co Poll Ctl—AZ Pub Svc | 5.50 | % | 6/1/2034 | BBB+ | 5,000 | 5,160,350 | ||||||||||
| NC Eastern Muni Pwr | 5.00 | % | 1/1/2015 | A- | 1,000 | 1,056,650 | ||||||||||
| NC Eastern Muni Pwr | 5.50 | % | 1/1/2014 | A- | 5,000 | 5,063,100 | ||||||||||
| NC Muni Pwr Agy #1—Catawba Elec | 5.00 | % | 1/1/2018 | A | 15,000 | 17,130,750 | ||||||||||
| NY Energy—NY St Elec & Gas Corp | 2.25 | % | 12/1/2015 | BBB+ | 10,000 | 10,099,100 | ||||||||||
| OH Air Quality—Columbus So Pwr | 3.875 | % | 12/1/2038 | Baa1 | 3,500 | 3,555,125 | ||||||||||
| OH Air Quality—FirstEnergy | 2.25 | % | 8/1/2029 | BBB- | 5,000 | 4,894,850 | ||||||||||
| OH Air Quality—OH Power CO | 3.25 | % | 6/1/2041 | Baa1 | 4,000 | 4,047,360 | ||||||||||
| OH Wtr Dev Auth | 0.47 | % | # | 7/15/2035 | AAA | 7,500 | 7,501,125 | |||||||||
| PA Econ Dev—Philadelphia Biosolids | 5.00 | % | 1/1/2014 | Baa3 | 1,000 | 1,007,140 | ||||||||||
| Peninsula Ports Auth—Dominion Proj | 2.375 | % | 10/1/2033 | A- | 5,000 | 5,028,100 | ||||||||||
| Philadelphia Gas Works | 5.00 | % | 8/1/2014 | BBB+ | 3,000 | 3,098,880 | ||||||||||
| PR Aqueduct & Swr Auth | 5.00 | % | 7/1/2019 | BB+ | 10,350 | 8,795,947 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2018 | BBB | 10,000 | 8,941,400 | ||||||||||
| 36 | See Notes to Financial Statements. |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| Rockport Poll Ctl—IN Michigan Pwr | 6.25 | % | 6/1/2025 | BBB | $ | 1,000 | $ | 1,034,910 | ||||||||
| Salt River Imp & Pwr Dist | 4.00 | % | 1/1/2015 | Aa1 | 2,550 | 2,667,428 | ||||||||||
| San Antonio Elec & Gas | 2.00 | % | 12/1/2027 | Aa2 | 7,500 | 7,647,975 | ||||||||||
| So MN Muni Pwr Agy (AMBAC) | 5.25 | % | 1/1/2015 | A+ | 5,000 | 5,290,350 | ||||||||||
| Southern CA Met Wtr | 3.00 | % | 7/1/2035 | AAA | 6,000 | 6,261,240 | ||||||||||
| Southern CA Met Wtr | 3.50 | % | 7/1/2037 | AAA | 9,515 | 10,251,366 | ||||||||||
| TEAC—Goldman Sachs | 5.25 | % | 9/1/2018 | A- | 5,755 | 6,403,186 | ||||||||||
| Truckee Meadows Water Auth | 5.00 | % | 7/1/2015 | Aa2 | 5,000 | 5,389,350 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2018 | A3 | 3,000 | 3,271,680 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2019 | A3 | 1,000 | 1,086,390 | ||||||||||
| Vernon Elec Sys | 5.25 | % | 8/1/2014 | A- | 1,000 | 1,036,210 | ||||||||||
| York Co EDA—VA Elec & Pwr | 4.05 | % | 5/1/2033 | A- | 2,000 | 2,038,200 | ||||||||||
| Total | 297,544,879 | |||||||||||||||
| Total Municipal Bonds (cost $2,121,170,898) | 2,128,097,850 | |||||||||||||||
| SHORT-TERM INVESTMENTS 17.71% | ||||||||||||||||
| Municipal Bonds 0.57% | ||||||||||||||||
| General Obligation | ||||||||||||||||
| CA Sch Cash Reserve Prog | 2.00 | % | 10/1/2013 | NR | 6,500 | 6,500,000 | ||||||||||
| Newark TAN | 1.50 | % | 2/20/2014 | NR | 4,000 | 4,003,680 | ||||||||||
| Seaside Heights GO | 2.00 | % | 12/19/2013 | NR | 4,100 | 4,108,569 | ||||||||||
| Total Municipal Bonds (cost $14,609,123) | 14,612,249 | |||||||||||||||
| Interest Rate# | Interest Rate Reset Date(f) | Final Maturity Date | ||||||||||||||||
| Variable Rate Demand Notes 17.14% | ||||||||||||||||||
| Corporate-Backed 0.48% | ||||||||||||||||||
| Met Govt Nashville IDA— Commerce St |
0.80 | % | 10/3/2013 | 1/1/2014 | NR | 505 | 505,000 | |||||||||||
| MS Bus Fin Corp— Grand Alliance | 0.55 | % | 10/3/2013 | 1/1/2033 | BBB | 11,915 | 11,915,000 | |||||||||||
| Total | 12,420,000 | |||||||||||||||||
| See Notes to Financial Statements. | 37 |
Schedule of Investments (continued)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate# | Interest Rate Reset Date(f) | Final Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | ||||||||||||
| Education 2.23% | ||||||||||||||||||
| Birmingham Ed—Miles Clg | 0.80 | % | 10/3/2013 | 2/1/2029 | Baa3 | $ | 1,385 | $ | 1,385,000 | |||||||||
| Met Govt Nashville H & E—Fisk Univ | 0.60 | % | 10/3/2013 | 12/1/2020 | Baa3 | 4,735 | 4,735,000 | |||||||||||
| NE Ed Fin Auth—Creighton Univ | 0.06 | % | 10/1/2013 | 7/1/2035 | Aa1 | 14,480 | 14,480,000 | |||||||||||
| NH Hlth & Ed—Univ Sys of NH | 0.07 | % | 10/1/2013 | 7/1/2033 | Aa3 | 31,975 | 31,975,000 | |||||||||||
| OH Hi Ed—Univ Dayton | 1.32 | % | 10/3/2013 | 7/1/2016 | A | 5,000 | 5,009,950 | |||||||||||
| Total | 57,584,950 | |||||||||||||||||
| General Obligation 5.62% | ||||||||||||||||||
| Anaheim City COP (NPFGC)† | 0.22 | % | 10/1/2013 | 7/16/2023 | A | (d) | 11,995 | 11,995,000 | ||||||||||
| IL State GO | 2.00 | % | 10/2/2013 | 10/1/2033 | A2 | 17,900 | 17,900,000 | |||||||||||
| NYC GO | 0.10 | % | 10/1/2013 | 8/1/2038 | AAA | 50,400 | 50,400,000 | |||||||||||
| NYC GO | 0.39 | % | 10/1/2013 | 1/1/2036 | BBB | 36,110 | 36,110,000 | |||||||||||
| NYC GO | 0.40 | % | 10/1/2013 | 4/1/2035 | AA | 29,000 | 29,000,000 | |||||||||||
| Total | 145,405,000 | |||||||||||||||||
| Health Care 1.01% | ||||||||||||||||||
| Gulf Shores Med—Colonial Pinnacle |
0.55 | % | 10/3/2013 | 7/1/2034 | Baa3 | 3,155 | 3,155,000 | |||||||||||
| MD Hlth & Hi Ed—LifeBridge Hlth (AG)† |
0.27 | % | 10/3/2013 | 1/1/2038 | AA- | 13,110 | 13,110,000 | |||||||||||
| NJ Hlth—Christian Hlth Care Ctr | 0.30 | % | 10/3/2013 | 7/1/2038 | A- | 8,550 | 8,550,000 | |||||||||||
| WI Hlth & Ed—Pooled Loan Fin | 0.82 | % | 10/2/2013 | 2/1/2022 | A3 | 1,225 | 1,225,000 | |||||||||||
| Total | 26,040,000 | |||||||||||||||||
| Housing 1.54% | ||||||||||||||||||
| AK Hsg Fin Corp | 0.29 | % | 10/3/2013 | 12/1/2041 | AA+ | 39,820 | 39,820,000 | |||||||||||
| Lease Obligations 1.46% | ||||||||||||||||||
| Palm Beach Co Sch Brd COP | 0.50 | % | 10/1/2013 | 8/1/2029 | BBB | 28,500 | 28,500,000 | |||||||||||
| Pima Co IDA—HQ Metro† | 0.12 | % | 10/3/2013 | 7/1/2017 | AA | 9,300 | 9,300,000 | |||||||||||
| Total | 37,800,000 | |||||||||||||||||
| Other Revenue 0.50% | ||||||||||||||||||
| Morton Grove Cultural—IL | ||||||||||||||||||
| Holocaust Mus | 0.12 | % | 10/3/2013 | 12/1/2041 | A3 | 4,700 | 4,700,000 | |||||||||||
| WI Hlth & Ed—Maranatha Baptist | 0.82 | % | 10/3/2013 | 8/1/2026 | BBB+ | 8,275 | 8,275,000 | |||||||||||
| Total | 12,975,000 | |||||||||||||||||
| 38 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
SHORT DURATION TAX FREE FUND September 30, 2013
| Investments | Interest Rate# | Interest Rate Reset Date(f) | Final Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | ||||||||||||
| Tax Revenue 0.25% | ||||||||||||||||||
| MidCities Co Met District #1 | 0.25 | % | 10/3/2013 | 12/1/2020 | A+ | $ | 6,425 | $ | 6,425,000 | |||||||||
| Transportation 1.22% | ||||||||||||||||||
| Orlando & Orange Co Expwy Auth | 0.07 | % | 10/3/2013 | 7/1/2040 | AAA | 31,700 | 31,700,000 | |||||||||||
| Utilities 2.83% | ||||||||||||||||||
| Las Vegas Valley Water District | 0.30 | % | 10/1/2013 | 6/1/2036 | AA+ | 9,500 | 9,500,000 | |||||||||||
| Las Vegas Valley Water District | 0.30 | % | 10/1/2013 | 6/1/2036 | AA+ | 11,355 | 11,355,000 | |||||||||||
| Pittsburgh Wtr & Swr | 0.20 | % | 10/3/2013 | 9/1/2033 | AA- | 18,565 | 18,565,000 | |||||||||||
| Pittsburgh Wtr & Swr | 0.20 | % | 10/3/2013 | 9/1/2035 | AA- | 24,135 | 24,135,000 | |||||||||||
| Vallejo Water | 0.10 | % | 10/2/2013 | 6/1/2031 | A+ | 9,765 | 9,765,000 | |||||||||||
| Total | 73,320,000 | |||||||||||||||||
| Total Variable Rate Demand Notes (cost $443,480,000) | 443,489,950 | |||||||||||||||||
| Total Short-Term Investments (cost $458,089,123) | 458,102,199 | |||||||||||||||||
| Total Investments in Securities 99.98% (cost $2,579,260,021) | 2,586,200,049 | |||||||||||||||||
| Cash and Other Assets in Excess of Liabilities 0.02% | 605,961 | |||||||||||||||||
| Net Assets 100.00% | $ | 2,586,806,010 | ||||||||||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s financial instruments carried at fair value(1):
| Investment Type(2)(3) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 2,142,710,099 | $ | — | $ | 2,142,710,099 | ||||||||
| Variable Rate Demand Notes | — | 443,489,950 | — | 443,489,950 | ||||||||||||
| Total | $ | — | $ | 2,586,200,049 | $ | — | $ | 2,586,200,049 | ||||||||
| Liabilities | ||||||||||||||||
| Trust Certificates | $ | — | $ | (17,000,000 | ) | $ | — | $ | (17,000,000 | ) | ||||||
| Total | $ | — | $ | (17,000,000 | ) | $ | — | $ | (17,000,000 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. |
| (3) | There were no level transfers during the fiscal year ended September 30, 2013. |
| See Notes to Financial Statements. | 39 |
Schedule of Investments
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 96.82% | ||||||||||||||||
| Corporate-Backed 6.39% | ||||||||||||||||
| AL IDA—Office Max Rmkt AMT | 6.45 | % | 12/1/2023 | B2 | $ | 2,300 | $ | 2,299,816 | ||||||||
| Allegheny Co IDA—US Steel | 5.50 | % | 11/1/2016 | BB- | 1,500 | 1,542,165 | ||||||||||
| Allegheny Co IDA—US Steel | 6.50 | % | 5/1/2017 | BB- | 3,315 | 3,496,960 | ||||||||||
| Allegheny Co IDA—US Steel | 6.75 | % | 11/1/2024 | BB- | 3,800 | 3,869,654 | ||||||||||
| Alliance Arpt—FedEx AMT | 4.85 | % | 4/1/2021 | Baa1 | 1,000 | 1,035,850 | ||||||||||
| Babylon IDA—Covanta | 5.00 | % | 1/1/2019 | AA | 4,000 | 4,459,360 | ||||||||||
| Beaver Co IDA—FirstEnergy Rmkt | 2.50 | % | 12/1/2041 | BBB- | 6,000 | 5,795,340 | ||||||||||
| Burke Co Dev—GA Power | 1.75 | % | 12/1/2049 | A | 15,000 | 14,983,950 | ||||||||||
| Burke Co Dev—GA Power | 2.40 | % | 1/1/2040 | A | 8,500 | 8,094,465 | ||||||||||
| Charlotte Spl Facs—US Airways AMT | 5.60 | % | 7/1/2027 | NR | 5,000 | 4,836,750 | ||||||||||
| Citizens Property Insurance Corp | 5.00 | % | 6/1/2018 | A+ | 10,000 | 11,304,700 | ||||||||||
| Citizens Property Insurance Corp | 5.25 | % | 6/1/2017 | A+ | 7,000 | 7,864,990 | ||||||||||
| Clayton Co SFR—Delta Airlines AMT | 9.00 | % | 6/1/2035 | B | 3,300 | 3,562,317 | ||||||||||
| DeSoto Parish Env Impt—Intl Paper AMT | 4.75 | % | 3/1/2019 | BBB | 6,480 | 6,670,771 | ||||||||||
| Farmington Poll Ctl—NM Pub Svc | 4.75 | % | 6/1/2040 | BBB | 10,000 | 10,616,400 | ||||||||||
| Greater Orlando Aviation—Jet Blue AMT | 5.00 | % | 11/15/2026 | NR | 2,000 | 1,820,040 | ||||||||||
| Gulf Coast IDA—CITGO AMT | 4.875 | % | 5/1/2025 | BB+ | 4,000 | 3,758,440 | ||||||||||
| IN Fin Auth—US Steel | 6.00 | % | 12/1/2019 | BB- | 5,000 | 5,139,200 | ||||||||||
| Jay Solid Waste—Intl Paper AMT | 4.90 | % | 11/1/2017 | BBB | 2,890 | 2,957,973 | ||||||||||
| LA Citizens Property Insurance Corp (AMBAC) | 5.00 | % | 6/1/2021 | A- | 3,500 | 3,762,220 | ||||||||||
| LA Env Facs—Westlake Chem Rmkt | 6.50 | % | 8/1/2029 | BBB | 6,630 | 7,295,254 | ||||||||||
| Love Field Arpt—Southwest Airlines AMT | 5.00 | % | 11/1/2028 | BBB- | 1,800 | 1,792,386 | ||||||||||
| MA Port Auth—Delta Airlines AMT (AMBAC) | 5.50 | % | 1/1/2022 | NR | 1,500 | 1,492,020 | ||||||||||
| Martin Co IDA—Indiantown Cogen AMT | 4.20 | % | 12/15/2025 | Ba1 | 4,500 | 3,812,940 | ||||||||||
| Matagorda Co Nav Dist—AEP TX Central | 4.00 | % | 6/1/2030 | BBB | 5,600 | 4,851,168 | ||||||||||
| Matagorda Co Nav Dist—AEP TX Central | 4.00 | % | 6/1/2030 | BBB | 8,000 | 6,930,240 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.00 | % | 12/1/2016 | NR | 2,570 | 1,772,658 | ||||||||||
| MD IDA—Synagro-Baltimore AMT | 5.25 | % | 12/1/2013 | BBB+ | (d) | 750 | 753,008 | |||||||||
| MD IDA—Synagro-Baltimore AMT | 5.375 | % | 12/1/2014 | BBB+ | (d) | 1,000 | 1,024,320 | |||||||||
| Nez Perce Co Poll Ctl—Potlatch | 6.00 | % | 10/1/2024 | BB+ | 1,000 | 1,000,060 | ||||||||||
| NH Poll Ctl—United Illuminating AMT | 4.50 | % | 7/1/2027 | BBB | 5,000 | 5,180,800 | ||||||||||
| Niagara Area Dev Corp—Covanta | 4.00 | % | 11/1/2024 | Ba2 | 5,300 | 4,790,140 | ||||||||||
| NJ EDA—Continental Airlines AMT | 4.875 | % | 9/15/2019 | B | 4,410 | 4,158,321 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.125 | % | 9/15/2023 | B | 6,725 | 6,444,029 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.25 | % | 9/15/2029 | B | 13,820 | 12,671,834 | ||||||||||
| 40 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Corporate-Backed (continued) | ||||||||||||||||
| NYC Cap Res—Arthur Mgmt | 7.00 | % | 8/1/2025 | NR | $ | 4,780 | $ | 4,949,403 | ||||||||
| NYC IDA—Jetblue AMT | 5.00 | % | 5/15/2020 | B | 2,445 | 2,400,354 | ||||||||||
| NYC IDA—TRIPS AMT | 5.00 | % | 7/1/2028 | BBB- | 3,500 | 3,244,360 | ||||||||||
| Seminole Tribe Spl Oblig† | 5.125 | % | 10/1/2017 | BBB- | 2,450 | 2,541,067 | ||||||||||
| St Charles Parish—Valero Energy | 4.00 | % | 12/1/2040 | BBB | 4,000 | 3,990,560 | ||||||||||
| Valdez Marine Term—BP | 5.00 | % | 1/1/2021 | A | 2,800 | 3,211,152 | ||||||||||
| Valdez Marine Term—BP | 5.00 | % | 1/1/2021 | A | 10,000 | 11,468,400 | ||||||||||
| West Pace Coop Dist | 9.125 | % | 5/1/2039 | NR | 4,950 | 4,472,622 | ||||||||||
| Whiting Env Facs—BP Rmkt | 5.25 | % | 1/1/2021 | A | 6,000 | 6,996,060 | ||||||||||
| WI PFA—TRIPS AMT | 5.25 | % | 7/1/2028 | BBB- | 3,750 | 3,522,338 | ||||||||||
| Total | 218,636,855 | |||||||||||||||
| Education 5.22% | ||||||||||||||||
| AZ Brd Regents COP—Univ of AZ | 5.00 | % | 6/1/2020 | AA- | 5,000 | 5,789,050 | ||||||||||
| AZ Brd Regents COP—Univ of AZ | 5.00 | % | 6/1/2021 | AA- | 6,745 | 7,751,489 | ||||||||||
| CA Fin Auth—Biola Univ | 5.00 | % | 10/1/2028 | Baa1 | 420 | 423,616 | ||||||||||
| CA Fin Auth—Biola Univ | 5.00 | % | 10/1/2030 | Baa1 | 430 | 428,052 | ||||||||||
| CA Fin Auth—Biola Univ | 5.625 | % | 10/1/2023 | Baa1 | 1,015 | 1,100,027 | ||||||||||
| CA State Univ Sys | 5.00 | % | 11/1/2024 | Aa2 | 5,000 | 5,693,300 | ||||||||||
| CA Stwde—Thomas Jeff Sch of Law† | 7.25 | % | 10/1/2032 | B+ | 1,000 | 994,900 | ||||||||||
| Cleveland State Univ | 5.00 | % | 6/1/2024 | A+ | 1,775 | 1,965,173 | ||||||||||
| Cuyahoga CCD | 5.00 | % | 8/1/2020 | Aa2 | 1,800 | 2,081,178 | ||||||||||
| DC University Rev—Georgetown Univ | 5.00 | % | 4/1/2030 | A- | 5,000 | 5,549,800 | ||||||||||
| E Hempfield Twp IDA—Millersville Univ | 5.00 | % | 7/1/2030 | BBB- | 1,000 | 973,380 | ||||||||||
| Fulton Co Dev—GA Tech Athletic Assoc | 5.00 | % | 10/1/2022 | A2 | 17,480 | 19,907,622 | ||||||||||
| Harris Co Cultural Ed—Baylor Clg / Med | 5.00 | % | 11/15/2019 | A- | 1,910 | 2,117,617 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2016 | Baa3 | 2,500 | 2,574,350 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2020 | Baa3 | 1,000 | 997,800 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 6.50 | % | 2/1/2023 | Baa3 | 2,000 | 2,110,900 | ||||||||||
| IL Fin Auth—Loyola Univ Chicago | 5.00 | % | 7/1/2025 | A | 8,620 | 9,336,322 | ||||||||||
| IL Fin Auth—Univ of Chicago | 5.50 | % | 7/1/2021 | Aa1 | 5,000 | 5,815,250 | ||||||||||
| MA DFA—Boston Univ | 0.62 | % | # | 10/1/2042 | A1 | 7,000 | 6,953,310 | |||||||||
| MA DFA—Boston Univ | 0.65 | % | # | 10/1/2040 | A1 | 3,000 | 2,996,940 | |||||||||
| MA Hlth & Ed—Harvard Univ | 5.25 | % | 11/15/2019 | AAA | 2,850 | 3,396,145 | ||||||||||
| Marietta Dev Auth—Life Univ | 6.25 | % | 6/15/2020 | Ba3 | 2,300 | 2,329,555 | ||||||||||
| MD Hlth & Hi Ed—Wash Christian Admy(e) | 5.25 | % | 7/1/2018 | NR | 250 | 72,500 | ||||||||||
| MI Hi Ed—Creative Studies | 5.00 | % | 12/1/2016 | Baa3 | 1,235 | 1,324,365 | ||||||||||
| MI Hi Ed—Creative Studies | 5.25 | % | 12/1/2018 | Baa3 | 1,120 | 1,194,861 | ||||||||||
| See Notes to Financial Statements. | 41 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| MO Hlth & Ed—Washington Univ | 5.25 | % | 3/15/2018 | AAA | $ | 660 | $ | 775,177 | ||||||||
| NC Cap Facs—High Point Univ | 5.00 | % | 5/1/2032 | BBB+ | 2,500 | 2,434,975 | ||||||||||
| NH Hlth & Ed—Univ Sys of NH | 5.50 | % | 7/1/2020 | Aa3 | 1,890 | 2,208,106 | ||||||||||
| NJ Ed Facs—Higher Ed Cap Impt (AGM) | 5.00 | % | 9/1/2019 | AA- | 4,270 | 4,433,626 | ||||||||||
| NJ Ed Facs—Univ Med & Dent | 6.50 | % | 12/1/2019 | NR | 5,595 | 7,059,156 | ||||||||||
| NY Dorm—Montefiore Med Ctr (NPFGC)(FGIC)(FHA) | 5.00 | % | 2/1/2022 | A | 2,500 | 2,591,025 | ||||||||||
| NY Dorm—Pace Univ | 4.00 | % | 5/1/2022 | BBB- | 1,000 | 993,520 | ||||||||||
| NY Dorm—Pace Univ | 5.00 | % | 5/1/2021 | BBB- | 1,750 | 1,879,938 | ||||||||||
| NY Dorm—Pace Univ | 5.00 | % | 5/1/2023 | BBB- | 1,000 | 1,053,640 | ||||||||||
| NY Dorm—Pace Univ | 5.00 | % | 5/1/2026 | BBB- | 1,000 | 1,002,980 | ||||||||||
| OH Hi Ed—Ashland Univ | 6.25 | % | 9/1/2024 | B3 | 3,670 | 3,673,817 | ||||||||||
| PA Hi Ed | 5.25 | % | 6/15/2018 | Aa3 | 1,000 | 1,160,170 | ||||||||||
| PA Hi Ed—Shippensburg Univ | 5.00 | % | 10/1/2030 | BBB- | 1,000 | 971,020 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2019 | A- | 1,000 | 1,013,430 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2020 | A- | 1,000 | 994,760 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2022 | A- | 350 | 340,372 | ||||||||||
| RI Hlth & Ed—Pub Sch Fin (AGM) | 5.00 | % | 5/15/2018 | Aa3 | 1,855 | 2,066,247 | ||||||||||
| Texas A&M Univ | 5.00 | % | 7/1/2021 | AAA | 7,870 | 9,387,729 | ||||||||||
| TX Univ Sys | 5.25 | % | 3/15/2019 | Aa2 | 5,000 | 5,722,950 | ||||||||||
| Univ of California | 5.00 | % | 5/15/2030 | Aa2 | 8,880 | 9,629,294 | ||||||||||
| Univ of Minnesota—Stadium | 5.00 | % | 8/1/2018 | Aa1 | 1,000 | 1,109,160 | ||||||||||
| Univ of North Carolina—Chapel Hill | 0.872 | % | # | 12/1/2041 | AAA | 15,000 | 15,046,650 | |||||||||
| Univ of Toledo | 5.00 | % | 6/1/2018 | A+ | 1,145 | 1,305,884 | ||||||||||
| Univ of Toledo | 5.00 | % | 6/1/2019 | A+ | 2,800 | 3,200,652 | ||||||||||
| Western MI Univ (AG) | 5.25 | % | 11/15/2020 | AA- | 3,980 | 4,484,147 | ||||||||||
| Total | 178,415,927 | |||||||||||||||
| General Obligation 14.20% | ||||||||||||||||
| Arkansas City Bldg—So Cent Reg Med | 6.25 | % | 9/1/2024 | Baa3 | 2,335 | 2,571,606 | ||||||||||
| Bellwood GO | 5.875 | % | 12/1/2027 | NR | 3,000 | 2,729,580 | ||||||||||
| Bellwood GO | 6.15 | % | 12/1/2032 | NR | 2,770 | 2,475,161 | ||||||||||
| Boone McHenry & Dekalb Co CUSD #100 (NPFGC) | 5.00 | % | 1/1/2018 | Aa3 | 2,500 | 2,607,750 | ||||||||||
| CA State GO | 5.00 | % | 8/1/2018 | A1 | 3,000 | 3,382,290 | ||||||||||
| CA State GO | 5.00 | % | 2/1/2021 | A1 | 21,090 | 24,784,757 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2021 | A1 | 13,685 | 16,137,352 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2021 | A1 | 15,500 | 18,277,600 | ||||||||||
| 42 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| CA State GO | 5.00 | % | 2/1/2022 | A1 | $ | 20,000 | $ | 23,425,600 | ||||||||
| CA State GO | 5.25 | % | 10/1/2020 | A1 | 10,000 | 11,728,600 | ||||||||||
| CA State GO | 5.25 | % | 3/1/2022 | A1 | 6,320 | 7,238,738 | ||||||||||
| CA State GO | 5.25 | % | 9/1/2024 | A1 | 10,000 | 11,467,600 | ||||||||||
| Chabot/Las Positas CCD | 5.00 | % | 8/1/2023 | Aa3 | 3,000 | 3,496,170 | ||||||||||
| Chicago Pk Dist | 5.50 | % | 1/1/2022 | AA+ | 1,750 | 1,949,972 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2019 | AA | 1,405 | 1,582,662 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2020 | AA | 5,000 | 5,588,800 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2021 | AA | 5,000 | 5,481,350 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2021 | AA | 8,435 | 9,116,295 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2022 | AA | 2,000 | 2,180,160 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2023 | AA | 2,000 | 2,151,440 | ||||||||||
| CT State GO | 5.00 | % | 11/1/2018 | AA | 9,500 | 11,099,420 | ||||||||||
| CT State GO | 5.00 | % | 6/1/2021 | AA | 10,000 | 11,809,300 | ||||||||||
| Cumberland Valley Sch Dist (AGM) | 5.00 | % | 11/15/2019 | Aa3 | 3,000 | 3,221,820 | ||||||||||
| DC GO (BHAC) | 5.00 | % | 6/1/2021 | AA+ | 3,500 | 3,931,795 | ||||||||||
| Detroit—State Aid GO | 4.50 | % | 11/1/2023 | AA | 13,105 | 12,691,537 | ||||||||||
| Detroit—State Aid GO | 5.00 | % | 11/1/2018 | AA | 3,320 | 3,535,435 | ||||||||||
| Florida St Dept Trans | 5.00 | % | 7/1/2021 | AAA | 7,760 | 9,189,935 | ||||||||||
| Fresno USD (NPFGC) | 5.25 | % | 2/1/2024 | A+ | 3,285 | 3,629,432 | ||||||||||
| Guam GO | 5.75 | % | 11/15/2014 | B+ | 870 | 883,694 | ||||||||||
| Guam GO | 6.75 | % | 11/15/2029 | B+ | 6,475 | 6,852,233 | ||||||||||
| Gwinnett Co Dev—Gwinnett Co Pub Sch COP (NPFGC) | 5.25 | % | 1/1/2020 | AA+ | 5,000 | 5,824,750 | ||||||||||
| Harris Co GO | 5.00 | % | 8/15/2024 | AA- | 5,000 | 5,610,700 | ||||||||||
| Henry Co Sch Dist | 4.50 | % | 8/1/2022 | AA+ | 5,000 | 5,749,150 | ||||||||||
| HI State GO (AMBAC) | 5.00 | % | 7/1/2015 | AA | 40 | 43,224 | ||||||||||
| IL State GO | 4.00 | % | 1/1/2022 | A- | 5,000 | 4,968,500 | ||||||||||
| IL State GO | 5.00 | % | 10/1/2017 | A- | 4,035 | 4,048,638 | ||||||||||
| IL State GO | 5.00 | % | 7/1/2022 | A- | 6,500 | 6,930,755 | ||||||||||
| IL State GO | 5.00 | % | 8/1/2023 | A- | 5,350 | 5,700,318 | ||||||||||
| Kane Cook & De Kalb Co Sch Dist #30 (AG)(AMBAC) | 5.00 | % | 1/1/2023 | AA- | 2,700 | 2,869,074 | ||||||||||
| Katy ISD PSF GTD | 0.772 | % | # | 8/15/2036 | AAA | 17,500 | 17,578,400 | |||||||||
| King Co Sch Dist #414—Lake Washington | 5.00 | % | 12/1/2019 | Aaa | 2,500 | 2,907,275 | ||||||||||
| LA State GO | 5.00 | % | 9/1/2022 | Aa2 | 5,120 | 6,009,293 | ||||||||||
| Los Angeles GO | 5.00 | % | 9/1/2021 | Aa2 | 5,180 | 6,186,267 | ||||||||||
| Los Angeles USD (NPFGC) | 4.50 | % | 7/1/2025 | Aa2 | 6,290 | 6,701,995 | ||||||||||
| See Notes to Financial Statements. | 43 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| Met Govt Nashville GO | 5.00 | % | 1/1/2018 | Aa1 | $ | 8,325 | $ | 9,581,659 | ||||||||
| Met Govt Nashville GO | 5.00 | % | 7/1/2022 | Aa1 | 10,380 | 12,281,305 | ||||||||||
| Miami Dade Co GO | 5.25 | % | 7/1/2019 | Aa2 | 3,225 | 3,731,873 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2021 | AA | 15,000 | 17,638,950 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2022 | AA | 10,000 | 11,597,400 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2025 | AA | 12,000 | 13,743,240 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2026 | AA | 5,235 | 5,825,770 | ||||||||||
| OH Infrastructure | 5.50 | % | 6/15/2020 | AA | 4,500 | 5,174,685 | ||||||||||
| Onondaga Co GO | 5.00 | % | 3/1/2020 | AA+ | 1,150 | 1,335,691 | ||||||||||
| Otsego Pub Sch Dist (AGM) | 4.00 | % | 5/1/2021 | AA- | 2,245 | 2,315,179 | ||||||||||
| Peralta CCD | 5.00 | % | 8/1/2021 | AA- | 3,000 | 3,499,950 | ||||||||||
| Pittsburgh PA Sch District | 4.00 | % | 9/1/2019 | Aa3 | 5,900 | 6,437,667 | ||||||||||
| PR Comwlth GO | 5.375 | % | 7/1/2030 | BBB- | 10,000 | 7,607,300 | ||||||||||
| PR Comwlth GO (XLCA) | 5.50 | % | 7/1/2017 | BBB- | 6,490 | 5,972,942 | ||||||||||
| PR Pub Bldg Auth GTD | 5.75 | % | 7/1/2022 | BBB- | 9,305 | 7,787,448 | ||||||||||
| San Francisco City & Co USD | 4.00 | % | 6/15/2021 | Aa2 | 9,740 | 10,730,655 | ||||||||||
| San Jose USD (NPFGC)(FGIC) | 4.50 | % | 8/1/2023 | AA | 2,825 | 3,001,308 | ||||||||||
| WA State GO | 5.00 | % | 8/1/2022 | AA+ | 14,245 | 16,728,901 | ||||||||||
| WA State GO | 5.00 | % | 1/1/2024 | AA+ | 5,000 | 5,696,650 | ||||||||||
| WI State GO | 5.00 | % | 11/1/2020 | AA | 5,000 | 5,930,900 | ||||||||||
| WI State GO (NPFGC) | 5.00 | % | 5/1/2019 | AA | 10,000 | 10,616,400 | ||||||||||
| Williamson Co GO | 5.00 | % | 2/15/2021 | AAA | 5,640 | 6,670,541 | ||||||||||
| Woonsocket GO | 7.125 | % | 6/15/2016 | B3 | 2,935 | 3,007,700 | ||||||||||
| Worcester GO (AGM) | 5.25 | % | 10/1/2019 | AA- | 1,000 | 1,085,190 | ||||||||||
| Worcester GO (AGM) | 5.25 | % | 10/1/2020 | AA- | 1,195 | 1,288,521 | ||||||||||
| Total | 485,634,248 | |||||||||||||||
| Health Care 16.17% | ||||||||||||||||
| Abag Fin Auth—Episcopal Senior | 2.15 | % | 7/1/2019 | BBB | 3,000 | 2,917,380 | ||||||||||
| Alachua Co Hlth—Bonita Springs | 7.125 | % | 11/15/2016 | NR | 8,000 | 8,094,080 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.625 | % | 11/15/2022 | NR | 2,000 | 1,894,020 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.75 | % | 11/15/2026 | NR | 6,000 | 5,551,500 | ||||||||||
| Albany IDA—St Peters Hsp | 5.00 | % | 11/15/2015 | A- | 200 | 213,964 | ||||||||||
| Atlantic Bch Hlth—Fleet Landing | 5.00 | % | 11/15/2028 | BBB | (d) | 2,020 | 2,015,637 | |||||||||
| AZ Hlth Facs—Phoenix Childrens Hsp | 1.92 | % | # | 2/1/2048 | BBB+ | 14,500 | 14,226,530 | |||||||||
| AZ Hlth Facs—Phoenix Childrens Hsp | 5.00 | % | 2/1/2030 | BBB+ | 6,000 | 5,804,520 | ||||||||||
| Birmingham Baptist Med Ctr—Baptist Hlth | 5.25 | % | 11/15/2016 | Baa2 | 2,605 | 2,768,386 | ||||||||||
| Blount Co Hlth & Ed—Asbury | 5.125 | % | 4/1/2023 | NR | 4,875 | 4,878,851 | ||||||||||
| 44 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| CA Fin Auth—Cmnty Hsps COP | 5.00 | % | 2/1/2016 | BBB | $ | 2,000 | $ | 2,101,180 | ||||||||
| CA Fin Auth—Cmnty Hsps COP | 5.00 | % | 2/1/2017 | BBB | 2,245 | 2,388,298 | ||||||||||
| CA Hlth—Catholic Hlthcare W | 5.125 | % | 7/1/2022 | A | 1,130 | 1,195,212 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2022 | BBB+ | 1,540 | 1,652,959 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2023 | BBB+ | 1,000 | 1,056,150 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2024 | BBB+ | 2,000 | 2,092,280 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2025 | BBB+ | 4,880 | 5,060,560 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2026 | BBB+ | 3,705 | 3,819,744 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2027 | BBB+ | 4,000 | 4,020,160 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2029 | BBB+ | 1,300 | 1,271,790 | ||||||||||
| CA Hlth—City of Hope | 4.00 | % | 11/15/2020 | A+ | 1,450 | 1,583,052 | ||||||||||
| CA Hlth—City of Hope | 5.00 | % | 11/15/2023 | A+ | 1,470 | 1,681,489 | ||||||||||
| CA Hlth—Episcopal Home | 5.50 | % | 2/1/2024 | A | 2,000 | 2,448,700 | ||||||||||
| CA Hlth—St Joseph Hlth | 5.00 | % | 7/1/2043 | AA- | 5,000 | 5,708,000 | ||||||||||
| CA Hlth—Sutter Hlth | 5.25 | % | 8/15/2024 | AA- | 6,920 | 7,870,254 | ||||||||||
| CA Stwde—So Cal Presbyterian | 6.25 | % | 11/15/2019 | BBB- | 1,600 | 1,759,840 | ||||||||||
| Camden Co Impt Auth—Cooper Hlth | 5.25 | % | 2/15/2027 | BBB | 12,500 | 12,523,625 | ||||||||||
| CO Hlth Facs—American Baptist | 7.00 | % | 8/1/2019 | NR | 1,500 | 1,616,160 | ||||||||||
| CO Hlth Facs—Christian Living Cmnty | 5.125 | % | 1/1/2030 | NR | 600 | 552,954 | ||||||||||
| CO Hlth Facs—Sisters Leavenworth | 5.00 | % | 1/1/2019 | AA | 6,000 | 6,827,640 | ||||||||||
| CO Hlth Facs—Sisters Leavenworth | 5.00 | % | 1/1/2021 | AA | 6,555 | 7,280,442 | ||||||||||
| Cumberland Co Mun Auth—Asbury | 5.25 | % | 1/1/2032 | NR | 1,200 | 1,146,996 | ||||||||||
| Delaware Co Hsp—Crozer-Keystone | 5.00 | % | 12/15/2019 | BBB- | 1,000 | 1,017,660 | ||||||||||
| Doylestown Hsp Auth (AG) | 5.00 | % | 7/1/2022 | AA- | 1,000 | 1,015,100 | ||||||||||
| Duluth EDA—St Lukes Hsp | 5.75 | % | 6/15/2032 | NR | 4,250 | 4,126,452 | ||||||||||
| Eden Twp Hlthcare Dist COP | 5.375 | % | 6/1/2023 | BBB+ | (d) | 3,085 | 3,231,445 | |||||||||
| Fairfax Co EDA—Vinson Hall | 4.50 | % | 12/1/2032 | NR | 2,500 | 2,155,425 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 6.00 | % | 7/1/2020 | Ba1 | 1,015 | 1,016,411 | ||||||||||
| Gaithersburg Econ Dev—Asbury | 5.50 | % | 1/1/2018 | BBB | (d) | 3,535 | 3,844,843 | |||||||||
| Gaithersburg Econ Dev—Asbury | 5.65 | % | 1/1/2019 | BBB | (d) | 2,000 | 2,212,360 | |||||||||
| Glynn Brunswick Mem Hsp—SE GA Hlth | 4.75 | % | 8/1/2019 | A2 | 3,840 | 4,224,998 | ||||||||||
| Hanover Co EDA—Covenant Woods | 4.50 | % | 7/1/2030 | NR | 2,790 | 2,315,254 | ||||||||||
| Harris Co Cultural Ed—Brazos | 4.00 | % | 1/1/2023 | NR | 1,325 | 1,219,464 | ||||||||||
| Harris Co Cultural Ed—Brazos | 5.00 | % | 1/1/2033 | NR | 545 | 497,149 | ||||||||||
| HI Dept Budget—Kahala Nui | 5.00 | % | 11/15/2027 | BBB- | (d) | 1,500 | 1,490,910 | |||||||||
| Howard Co Retmt Cmnty—Vantage House | 5.25 | % | 4/1/2027 | NR | 2,000 | 1,894,440 | ||||||||||
| IL Fin Auth—Ascension Hlth | 5.00 | % | 11/15/2042 | AA+ | 3,000 | 3,376,680 | ||||||||||
| See Notes to Financial Statements. | 45 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| IL Fin Auth—Hsp Sisters Hlth | 5.00 | % | 8/15/2020 | AA- | $ | 2,695 | $ | 3,095,612 | ||||||||
| IL Fin Auth—Hsp Sisters Hlth | 5.00 | % | 8/15/2021 | AA- | 5,510 | 6,301,842 | ||||||||||
| IL Fin Auth—Northwestern Mem Hsp(b) | 5.75 | % | 8/15/2030 | AA+ | 2,500 | 2,740,638 | ||||||||||
| IL Fin Auth—Provena Hlth | 5.75 | % | 5/1/2018 | BBB+ | 1,000 | 1,124,980 | ||||||||||
| IL Fin Auth—Provena Hlth | 5.75 | % | 5/1/2019 | BBB+ | 3,000 | 3,399,330 | ||||||||||
| IL Fin Auth—Provena Hlth | 6.00 | % | 5/1/2020 | BBB+ | 4,000 | 4,585,400 | ||||||||||
| IL Fin Auth—Rush Univ Med | 6.00 | % | 11/1/2019 | A | 1,000 | 1,147,910 | ||||||||||
| IN Bd Bk—Hendricks Regl Hlth | 5.00 | % | 2/1/2019 | AA | 1,765 | 2,000,716 | ||||||||||
| Iron River Hsp—Iron Co Comnty Hsps | 6.00 | % | 5/15/2020 | NR | 590 | 609,848 | ||||||||||
| Jackson Co Hospital Fin Auth Rmkt (AG) | 5.00 | % | 6/1/2018 | AA- | 4,350 | 4,817,451 | ||||||||||
| Jackson Co Hospital Fin Auth Rmkt (AG) | 5.00 | % | 6/1/2019 | AA- | 4,400 | 4,881,448 | ||||||||||
| Kansas City IDA—Bishop Spencer | 6.25 | % | 1/1/2024 | NR | 895 | 902,232 | ||||||||||
| Kansas City IDA—Bishop Spencer | 6.50 | % | 1/1/2035 | NR | 2,500 | 2,504,700 | ||||||||||
| Kaweah Delta Hlth Care Dist | 5.00 | % | 6/1/2020 | A3 | 2,000 | 2,221,940 | ||||||||||
| Kent Hsp Fin Auth—Metropolitan Hsp | 5.50 | % | 7/1/2020 | BB+ | 3,275 | 3,311,025 | ||||||||||
| KS DFA—Adventist Hlth | 5.00 | % | 11/15/2020 | AA- | 1,775 | 2,018,725 | ||||||||||
| KS DFA—Adventist Hlth | 5.25 | % | 11/15/2019 | AA- | 1,580 | 1,840,574 | ||||||||||
| KY EDA—Masonic Homes | 5.375 | % | 11/15/2032 | NR | 2,385 | 2,252,871 | ||||||||||
| LA PFA—Christus Hlth | 5.25 | % | 7/1/2020 | A+ | 3,200 | 3,616,832 | ||||||||||
| Lufkin Hlth—Mem Hlth | 6.00 | % | 2/15/2024 | BBB- | 7,535 | 7,888,919 | ||||||||||
| MA DFA—Boston Med Ctr | 5.00 | % | 7/1/2020 | BBB+ | 5,185 | 5,645,117 | ||||||||||
| MA DFA—Boston Med Ctr | 5.00 | % | 7/1/2021 | BBB+ | 5,705 | 6,164,195 | ||||||||||
| MA DFA—Groves in Lincoln(e) | 7.25 | % | 6/1/2016 | NR | 5,000 | 310,000 | ||||||||||
| MD Hlth & Ed—Mercy Med Ctr | 5.00 | % | 7/1/2031 | BBB | 1,100 | 1,058,585 | ||||||||||
| MD Hlth & Hi Ed—Univ MD Med Sys | 5.00 | % | 7/1/2020 | A2 | 4,905 | 5,579,683 | ||||||||||
| MD Hlth & Hi Ed—Univ MD Med Sys | 5.00 | % | 7/1/2021 | A2 | 5,550 | 6,224,824 | ||||||||||
| ME Hlth & Hi Ed—Eastern ME Med | 5.00 | % | 7/1/2033 | Baa1 | 3,000 | 3,041,370 | ||||||||||
| ME Hlth & Hi Ed—MaineGeneral Hlth | 6.00 | % | 7/1/2026 | Ba1 | 7,755 | 8,308,940 | ||||||||||
| ME Hlth & Hi Ed—Pooled Fing | 4.50 | % | 7/1/2018 | A1 | 2,605 | 2,898,297 | ||||||||||
| ME Hlth & Hi Ed—Pooled Fing (NPFGC) | 5.375 | % | 7/1/2018 | A1 | 2,700 | 2,785,698 | ||||||||||
| ME Hlth & Hi Ed—Pooled Fing ETM | 4.50 | % | 7/1/2018 | NR | 35 | 40,032 | ||||||||||
| Mesquite Hlth—Christian Care Ctrs | 5.50 | % | 2/15/2025 | BBB- | 3,250 | 3,282,012 | ||||||||||
| MI Fin Auth—Crittenton Hospital | 5.00 | % | 6/1/2019 | A- | 2,660 | 2,967,257 | ||||||||||
| MI Fin Auth—Crittenton Hospital | 5.00 | % | 6/1/2022 | A- | 2,960 | 3,208,551 | ||||||||||
| MI Fin Auth—Crittenton Hospital | 5.00 | % | 6/1/2027 | A- | 7,250 | 7,423,565 | ||||||||||
| MI Hsp—Ascension Hlth(b) | 1.87 | % | 11/1/2027 | AA | 8,950 | 8,845,106 | ||||||||||
| MI Hsp—McLaren Hlthcare | 5.00 | % | 6/1/2018 | Aa3 | 3,175 | 3,610,451 | ||||||||||
| 46 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| MI Hsp—McLaren Hlthcare | 5.00 | % | 6/1/2019 | Aa3 | $ | 3,345 | $ | 3,825,543 | ||||||||
| MI Hsp—McLaren Hlthcare | 5.00 | % | 6/1/2020 | Aa3 | 5,540 | 6,362,801 | ||||||||||
| Miami Beach Hlth—Mount Sinai Med Ctr | 6.75 | % | 11/15/2021 | Baa2 | 2,585 | 2,684,755 | ||||||||||
| MN Agric & Econ Dev—Essential Hlth Rmkt (AG) | 5.50 | % | 2/15/2025 | AA- | 4,500 | 5,009,490 | ||||||||||
| Montgomery Co IDA—New Regl Med Ctr (FHA) | 5.00 | % | 8/1/2018 | AA | 1,605 | 1,825,495 | ||||||||||
| Montgomery Co IDA—New Regl Med Ctr (FHA) | 5.00 | % | 8/1/2019 | AA | 1,790 | 2,017,760 | ||||||||||
| Montgomery Co IDA—New Regl Med Ctr (FHA) | 5.00 | % | 8/1/2020 | AA | 1,000 | 1,127,870 | ||||||||||
| MS Hsp—Baptist Health | 5.00 | % | 8/15/2017 | A- | 2,500 | 2,791,525 | ||||||||||
| MS Hsp—Baptist Health | 5.00 | % | 8/15/2018 | A- | 3,000 | 3,304,980 | ||||||||||
| MS Hsp—North MS Hlth Svcs | 5.00 | % | 10/1/2017 | AA | 2,500 | 2,851,575 | ||||||||||
| Muskingum Co Hsp Facs—Genesis Hlthcare | 5.00 | % | 2/15/2033 | BB+ | 6,500 | 5,607,355 | ||||||||||
| Nassau Co LEAC—S Nassau Cmntys Hsp | 5.00 | % | 7/1/2027 | A3 | 1,500 | 1,558,020 | ||||||||||
| Nassau Co LEAC—S Nassau Cmntys Hsp | 5.00 | % | 7/1/2031 | A3 | 2,000 | 2,009,700 | ||||||||||
| Nassau Co LEAC—Winthrop Univ Hsp | 5.00 | % | 7/1/2027 | Baa1 | 3,000 | 3,025,140 | ||||||||||
| Nassau Co LEAC—Winthrop Univ Hsp | 5.00 | % | 7/1/2032 | Baa1 | 4,000 | 3,821,600 | ||||||||||
| NC Med—Lutheran Svcs | 4.75 | % | 3/1/2032 | NR | 2,550 | 2,273,223 | ||||||||||
| NJ Hlth—AHS Hsp Corp | 5.125 | % | 7/1/2019 | A+ | 1,500 | 1,677,915 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.00 | % | 7/1/2019 | BBB+ | 10,000 | 10,975,700 | ||||||||||
| NJ Hlth—St Josephs Hlth | 6.00 | % | 7/1/2018 | BBB- | 6,590 | 7,141,649 | ||||||||||
| NJ Hlth—St Peters Univ Hsp | 5.25 | % | 7/1/2021 | BB+ | 2,045 | 2,066,186 | ||||||||||
| NJ Hlth—St Peters Univ Hsp | 6.00 | % | 7/1/2026 | BB+ | 5,500 | 5,651,085 | ||||||||||
| NJ Hlth—Trinitas Hsp | 5.25 | % | 7/1/2023 | BBB- | 5,000 | 5,236,300 | ||||||||||
| NJ Hlth—Virtua Hlth (AG) | 5.50 | % | 7/1/2020 | AA- | 5,455 | 6,190,989 | ||||||||||
| NM Hsp—Haverland | 5.00 | % | 7/1/2032 | BBB- | (d) | 1,000 | 886,210 | |||||||||
| Northampton Co GPA—St Lukes Hsp | 5.00 | % | 8/15/2019 | A3 | 2,000 | 2,164,720 | ||||||||||
| NY Dorm—North Shore LI Jewish | 5.00 | % | 5/1/2019 | A- | 4,000 | 4,573,520 | ||||||||||
| NY Dorm—NYU Hsps Ctr | 5.00 | % | 7/1/2019 | A- | 2,000 | 2,269,360 | ||||||||||
| NY Dorm—Orange Regl Med | 6.50 | % | 12/1/2021 | Ba1 | 1,000 | 1,039,760 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2021 | Aa3 | 1,635 | 1,889,373 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2022 | Aa3 | 5,000 | 5,766,900 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2023 | Aa3 | 4,000 | 4,596,040 | ||||||||||
| Oklahoma Co Fin Auth—Epworth Villa | 5.00 | % | 4/1/2033 | NR | 1,000 | 928,240 | ||||||||||
| Orange Co Hlth—Orlando Hlth | 5.25 | % | 10/1/2020 | A | 5,000 | 5,636,400 | ||||||||||
| Palomar Hlth Care Dist COP | 5.25 | % | 11/1/2021 | Baa3 | 5,000 | 5,026,200 | ||||||||||
| See Notes to Financial Statements. | 47 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 6.25 | % | 7/1/2023 | BB+ | $ | 9,500 | $ | 9,962,840 | ||||||||
| Roanoke EDA—Carilion Clinic | 5.00 | % | 7/1/2025 | A+ | 10,000 | 10,713,600 | ||||||||||
| Rochester Hlth Care—Mayo Clinic | 4.50 | % | 11/15/2038 | AA | 9,500 | 10,679,710 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 8.00 | % | 12/1/2026 | BB | 10,000 | 11,856,500 | ||||||||||
| Sartell Hlth Care—Country Manor | 5.25 | % | 9/1/2030 | NR | 1,000 | 940,150 | ||||||||||
| SC Jobs EDA—Tuomey Hsp (AMBAC) | 5.00 | % | 11/1/2018 | NR | 1,895 | 1,814,519 | ||||||||||
| SC Jobs EDA—Tuomey Hsp (CIFG) | 5.00 | % | 11/1/2019 | BB | 3,620 | 3,430,819 | ||||||||||
| Scottsdale IDA—Scottsdale Hlthcare | 5.00 | % | 9/1/2017 | A2 | 2,000 | 2,219,820 | ||||||||||
| SE Port Auth—Memorial Hlth | 5.75 | % | 12/1/2032 | NR | 1,900 | 1,827,344 | ||||||||||
| Shelby Co Hlth Ed Hsg—Baptist Mem Hlth | 5.00 | % | 9/1/2017 | AA- | 4,000 | 4,478,040 | ||||||||||
| Shelby Co Hlth Ed Hsg—Vlg Germantwn | 5.00 | % | 12/1/2032 | NR | 3,880 | 3,453,510 | ||||||||||
| So Broward Hsp Dist—Memorial Hlthcare (NPFGC) | 5.00 | % | 5/1/2019 | AA- | 5,130 | 5,530,858 | ||||||||||
| So Broward Hsp Dist—Memorial Hlthcare (NPFGC) | 5.00 | % | 5/1/2022 | AA- | 2,710 | 2,871,787 | ||||||||||
| St Paul Hsg & Redev—Healtheast | 5.00 | % | 11/15/2017 | BBB- | 2,900 | 3,062,023 | ||||||||||
| Sylacauga Hlth—Coosa Vy Med Ctr | 5.375 | % | 8/1/2015 | NR | 1,005 | 1,023,020 | ||||||||||
| Sylacauga Hlth—Coosa Vy Med Ctr | 6.00 | % | 8/1/2025 | NR | 3,525 | 3,400,391 | ||||||||||
| Tarrant Co Cultural—Christus Hlth (AG) | 5.75 | % | 7/1/2018 | AA- | 2,685 | 2,839,038 | ||||||||||
| Thomasville Hsp Auth—John Archbold | 4.75 | % | 11/1/2025 | A | 6,150 | 6,291,450 | ||||||||||
| Travis Co Hlth—Longhorn Vlg | 5.50 | % | 1/1/2017 | NR | 1,805 | 1,795,325 | ||||||||||
| Tyler Hlth—Mother Frances Hsp | 5.50 | % | 7/1/2027 | Baa1 | 3,975 | 4,070,241 | ||||||||||
| Univ Alabama Birmingham Hsp | 5.25 | % | 9/1/2017 | A+ | 1,180 | 1,330,202 | ||||||||||
| Univ Med Ctr Corp | 6.00 | % | 7/1/2024 | BBB+ | 1,000 | 1,109,790 | ||||||||||
| Westchester Co Hlth Care | 5.00 | % | 11/1/2019 | A3 | 4,000 | 4,436,680 | ||||||||||
| Westchester Co Hlth Care | 5.125 | % | 11/1/2020 | A3 | 5,500 | 6,103,185 | ||||||||||
| Westchester Co LDC—Kendal Hudson | 5.00 | % | 1/1/2028 | BBB | (d) | 1,350 | 1,329,628 | |||||||||
| WI Hlth & Ed—Ascension Hlth(b) | 5.00 | % | 11/15/2033 | AA+ | 7,000 | 7,164,745 | ||||||||||
| WI Hlth & Ed—Aurora Hlth | 5.00 | % | 7/15/2026 | A3 | 5,575 | 5,770,794 | ||||||||||
| WI Hlth & Ed—Froedtert & Cmnty Hlth | 5.00 | % | 4/1/2019 | AA- | 1,110 | 1,262,015 | ||||||||||
| WI Hlth & Ed—Wheaton Franciscan Hlth | 5.25 | % | 8/15/2017 | A- | 8,160 | 8,760,413 | ||||||||||
| WI Hlth & Ed—Wheaton Franciscan Hlth | 5.25 | % | 8/15/2018 | A- | 2,000 | 2,124,360 | ||||||||||
| Wood Co Hsp Facs—Wood Co Hsp | 5.00 | % | 12/1/2027 | Baa2 | 3,450 | 3,505,545 | ||||||||||
| Wood Co Hsp Facs—Wood Co Hsp | 5.00 | % | 12/1/2032 | Baa2 | 2,275 | 2,212,005 | ||||||||||
| WV Hsp—Herbert Thomas Hlth | 6.00 | % | 10/1/2020 | NR | 1,600 | 1,614,384 | ||||||||||
| Total | 553,115,730 | |||||||||||||||
| 48 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit
Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Housing 0.41% | ||||||||||||||||
| Alachua Co Hlth—Oak Hammock | 8.00 | % | 10/1/2032 | NR | $ | 500 | $ | 570,845 | ||||||||
| Athens Hsg Auth—UGA E Campus Hsg | 4.00 | % | 12/1/2019 | Aa2 | 2,045 | 2,252,240 | ||||||||||
| CA Stwde—American Baptist | 2.10 | % | 10/1/2019 | BBB | 2,200 | 2,133,340 | ||||||||||
| CA Stwde—CHF-Irvine LLC | 6.00 | % | 5/15/2023 | Baa2 | 2,000 | 2,133,120 | ||||||||||
| MI Strategic Fd—Evangelical Homes | 5.25 | % | 6/1/2032 | BB+ | (d) | 1,500 | 1,374,585 | |||||||||
| NJ EDA—Montclair St Std Hsg | 5.00 | % | 6/1/2018 | Baa3 | 1,390 | 1,516,991 | ||||||||||
| NJ EDA—Montclair St Std Hsg | 5.25 | % | 6/1/2019 | Baa3 | 1,610 | 1,778,712 | ||||||||||
| PA Hi Ed—Edinboro Univ | 5.00 | % | 7/1/2018 | Baa3 | 215 | 220,734 | ||||||||||
| WA Hsg—Emerald Heights | 4.00 | % | 7/1/2019 | A- | (d) | 1,130 | 1,152,046 | |||||||||
| WA Hsg—Emerald Heights | 5.00 | % | 7/1/2022 | A- | (d) | 1,000 | 1,046,790 | |||||||||
| Total | 14,179,403 | |||||||||||||||
| Lease Obligations 9.44% | ||||||||||||||||
| AZ Sch Brd COP (NPFGC)(FGIC) | 5.00 | % | 9/1/2019 | A+ | 4,850 | 5,202,886 | ||||||||||
| Broward Co Sch Brd COP | 5.00 | % | 7/1/2021 | Aa3 | 5,000 | 5,745,850 | ||||||||||
| CA Pub Wks—Dept Gen Svcs | 5.00 | % | 4/1/2020 | A2 | 4,085 | 4,660,291 | ||||||||||
| CA Pub Wks—Dept Hsps | 5.00 | % | 6/1/2023 | A2 | 3,000 | 3,397,590 | ||||||||||
| CA Pub Wks—Dept Hsps | 5.00 | % | 6/1/2024 | A2 | 10,000 | 11,281,400 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 3/1/2018 | A2 | 7,490 | 8,573,803 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 11/1/2019 | A2 | 1,000 | 1,171,490 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 11/1/2020 | A2 | 1,500 | 1,735,530 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 4/1/2021 | A2 | 3,250 | 3,749,330 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 11/1/2021 | A2 | 1,000 | 1,155,690 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 4/1/2022 | A2 | 4,200 | 4,835,964 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.25 | % | 10/1/2019 | A2 | 11,370 | 13,539,737 | ||||||||||
| Cleveland COP—Cleveland Stadium | 5.00 | % | 11/15/2019 | A2 | 2,450 | 2,752,453 | ||||||||||
| Dallas Civic Ctr (AG) | 5.00 | % | 8/15/2021 | AA- | 3,800 | 4,212,376 | ||||||||||
| Dallas Conv Ctr Hotel Dev Corp | 5.25 | % | 1/1/2020 | A+ | 4,000 | 4,437,640 | ||||||||||
| Dallas Conv Ctr Hotel Dev Corp | 5.25 | % | 1/1/2022 | A+ | 6,405 | 6,969,473 | ||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.00 | % | 5/1/2024 | AA- | 5,930 | 6,664,312 | ||||||||||
| Erie Co IDA—Sch Facs | 5.00 | % | 5/1/2019 | AA- | 2,500 | 2,895,375 | ||||||||||
| Erie Co IDA—Sch Facs | 5.00 | % | 5/1/2020 | AA- | 3,650 | 4,250,753 | ||||||||||
| FL Dept of Children’s & Family Svcs COP (NPFGC) | 5.00 | % | 10/1/2022 | AA+ | 2,870 | 3,100,777 | ||||||||||
| Greenville Co Sch Dist | 5.50 | % | 12/1/2017 | AA | 3,000 | 3,502,080 | ||||||||||
| Houston Co Coop Dist—Country Crossing(e) | 12.50 | % | 6/7/2013 | NR | 1,768 | 247,520 | ||||||||||
| Kansas City IDA—Downtown Redev Dist | 5.00 | % | 9/1/2022 | AA- | 7,470 | 8,342,122 | ||||||||||
| KY Ppty & Bldgs Commn—Proj #93 (AG) | 5.25 | % | 2/1/2020 | AA- | 2,000 | 2,323,600 | ||||||||||
| See Notes to Financial Statements. | 49 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| LA PFA—Hurricane Recovery (AG) | 5.00 | % | 6/1/2020 | AA- | $ | 5,000 | $ | 5,311,950 | ||||||||
| Los Angeles Co COPS—Disney Concert Hall | 5.00 | % | 9/1/2022 | AA- | 1,250 | 1,437,850 | ||||||||||
| Los Angeles Co Pub Wks | 5.00 | % | 8/1/2023 | AA- | 1,000 | 1,130,040 | ||||||||||
| MD EDC—Public Hlth Lab | 5.00 | % | 6/1/2019 | AA+ | 5,415 | 6,330,839 | ||||||||||
| Mecklenburg Co COP | 5.00 | % | 2/1/2020 | AA+ | 3,565 | 4,085,383 | ||||||||||
| Mecklenburg Co PFC | 5.00 | % | 3/1/2020 | AA+ | 2,525 | 2,913,017 | ||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.00 | % | 6/1/2016 | A+ | 11,500 | 12,231,975 | ||||||||||
| MI Strategic Fd—Cadillac Place | 5.25 | % | 10/15/2023 | A+ | 3,865 | 4,297,841 | ||||||||||
| MI Strategic Fd—Cadillac Place | 5.25 | % | 10/15/2024 | A+ | 6,915 | 7,578,425 | ||||||||||
| Miami Dade Co Sch Brd COP (NPFGC)(FGIC) | 5.00 | % | 5/1/2022 | A1 | 11,550 | 12,635,815 | ||||||||||
| MN State Gen Fund | 5.00 | % | 3/1/2021 | AA | 4,000 | 4,723,000 | ||||||||||
| Montgomery Co IDA | 5.00 | % | 2/1/2018 | AA- | 1,000 | 1,133,530 | ||||||||||
| NC Infra Fin Corp (AGM) | 5.00 | % | 5/1/2017 | AA+ | 2,000 | 2,275,160 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2022 | A+ | 8,000 | 9,104,880 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2022 | A+ | 5,695 | 6,508,702 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2023 | A+ | 7,445 | 8,480,972 | ||||||||||
| NJ EDA—Sch Facs | 5.25 | % | 12/15/2020 | A+ | 8,125 | 9,281,675 | ||||||||||
| NJ EDA—Sch Facs | 5.25 | % | 9/1/2023 | A+ | 10,000 | 11,342,800 | ||||||||||
| NJ EDA—Sch Facs | 5.25 | % | 9/1/2025 | A+ | 5,550 | 6,175,207 | ||||||||||
| NJ EDA—Transit Proj | 5.00 | % | 5/1/2018 | A+ | 1,425 | 1,620,467 | ||||||||||
| NJ EDA—Transit Proj | 5.00 | % | 5/1/2019 | A+ | 3,000 | 3,438,600 | ||||||||||
| NJ Sports & Expo Auth | 5.00 | % | 9/1/2018 | A+ | 4,950 | 5,623,893 | ||||||||||
| NJ Trans Trust Fund (NPFGC)(FGIC) | 5.50 | % | 12/15/2020 | A+ | 1,000 | 1,192,160 | ||||||||||
| NW Allen Sch Bldg Corp (AGM) | 5.00 | % | 7/15/2020 | AA+ | 3,140 | 3,391,828 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2025 | AAA | 1,320 | 1,455,049 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2026 | AAA | 1,920 | 2,116,436 | ||||||||||
| NY UDC—Svc Contract | 5.00 | % | 1/1/2022 | AA- | 3,705 | 4,198,358 | ||||||||||
| Oakland/Alameda Co Coliseum Auth—Oakland Coliseum | 5.00 | % | 2/1/2020 | A1 | 8,030 | 9,132,439 | ||||||||||
| Oakland/Alameda Co Coliseum Auth—Oakland Coliseum | 5.00 | % | 2/1/2021 | A1 | 8,750 | 9,905,437 | ||||||||||
| Philadelphia Redev Auth | 5.00 | % | 4/15/2019 | A2 | 2,215 | 2,464,365 | ||||||||||
| Philadelphia Redev Auth | 5.00 | % | 4/15/2020 | A2 | 3,525 | 3,920,505 | ||||||||||
| Philadelphia Redev Auth | 5.00 | % | 4/15/2021 | A2 | 2,000 | 2,216,680 | ||||||||||
| Philadelphia Redev Auth | 5.00 | % | 4/15/2022 | A2 | 5,195 | 5,745,306 | ||||||||||
| PR Pub Bldg Auth GTD | 7.00 | % | 7/1/2021 | BBB- | 5,000 | 4,522,050 | ||||||||||
| San Diego Conv Ctr Fing Auth | 5.00 | % | 4/15/2019 | A+ | 2,000 | 2,245,880 | ||||||||||
| San Diego Conv Ctr Fing Auth | 5.00 | % | 4/15/2020 | A+ | 4,100 | 4,578,019 | ||||||||||
| 50 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| San Diego Conv Ctr Fing Auth | 5.00 | % | 4/15/2021 | A+ | $ | 3,750 | $ | 4,174,762 | ||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2019 | AA | 1,000 | 1,158,050 | ||||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2020 | AA | 825 | 955,193 | ||||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2022 | AA | 1,000 | 1,152,340 | ||||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2023 | AA | 1,000 | 1,145,850 | ||||||||||
| Santa Clara Co Fin Auth | 4.00 | % | 2/1/2024 | AA | 9,810 | 10,190,039 | ||||||||||
| Twin Rivers USD (AGM) | 3.20 | % | 6/1/2027 | AA- | 1,750 | 1,743,718 | ||||||||||
| Twin Rivers USD (AGM) | 3.20 | % | 6/1/2035 | AA- | 920 | 905,308 | ||||||||||
| Twin Rivers USD (AGM) | 3.20 | % | 6/1/2041 | AA- | 2,250 | 2,198,340 | ||||||||||
| Total | 323,118,175 | |||||||||||||||
| Other Revenue 5.11% | ||||||||||||||||
| Apache Co Poll Ctl—Tucson Elec | 4.50 | % | 3/1/2030 | BBB | 17,300 | 16,063,569 | ||||||||||
| Austin Convention† | 6.00 | % | 1/1/2017 | Ba2 | 1,935 | 2,051,526 | ||||||||||
| Baker Correctional Dev | 7.50 | % | 2/1/2030 | NR | 1,200 | 998,760 | ||||||||||
| Baytown Twp—St Croix Prep Admy | 6.00 | % | 8/1/2018 | BB | 1,830 | 1,831,336 | ||||||||||
| Brooklyn Arena LDC—Barclays Ctr | 5.75 | % | 7/15/2019 | BBB- | 2,715 | 3,032,166 | ||||||||||
| CA Infra & Econ Dev—Broad Museum | 5.00 | % | 6/1/2021 | Aa1 | 5,425 | 6,452,495 | ||||||||||
| CA Infra & Econ Dev—Gladstone Instn | 5.25 | % | 10/1/2026 | A- | 10,250 | 11,024,900 | ||||||||||
| Chester Co IDA—Collegium Chtr Sch | 5.25 | % | 10/15/2032 | BBB- | 6,410 | 5,882,265 | ||||||||||
| Cleveland Arpt | 5.00 | % | 1/1/2028 | A- | 2,500 | 2,567,800 | ||||||||||
| Cleveland Arpt | 5.00 | % | 1/1/2029 | A- | 2,500 | 2,538,625 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 3.75 | % | 8/15/2022 | BBB | 3,265 | 3,057,836 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 5.00 | % | 8/15/2032 | BBB | 915 | 854,518 | ||||||||||
| Clifton Higher Ed—Uplift Education | 5.70 | % | 12/1/2025 | BBB- | 5,110 | 5,319,612 | ||||||||||
| DC Rev—Friendship Pub Chtr Sch | 5.00 | % | 6/1/2032 | BBB | 3,000 | 2,786,460 | ||||||||||
| FL Brd Ed—Lottery Rev | 5.00 | % | 7/1/2020 | AAA | 7,645 | 8,979,664 | ||||||||||
| FL Dept Env Protn—Florida Forever | 5.00 | % | 7/1/2018 | AA- | 14,650 | 16,815,416 | ||||||||||
| FL DFC—Renaissance Chtr Sch | 6.00 | % | 6/15/2032 | NR | 2,250 | 2,017,080 | ||||||||||
| FL DFC—Renaissance Chtr Sch | 7.50 | % | 6/15/2033 | BB- | (d) | 4,650 | 4,785,873 | |||||||||
| Florence Twn IDA—Legacy Trad Sch | 5.75 | % | 7/1/2033 | BB | 3,000 | 2,760,780 | ||||||||||
| Houston Hi Ed—Cosmos Fndtn | 4.00 | % | 2/15/2022 | BBB | 1,000 | 943,380 | ||||||||||
| Houston Hi Ed—Cosmos Fndtn | 5.00 | % | 2/15/2032 | BBB | 2,250 | 2,033,955 | ||||||||||
| Indianapolis Local Pub Impt Bd Bk | 5.00 | % | 6/1/2024 | A1 | 4,000 | 4,394,320 | ||||||||||
| La Paz Co IDA—Imperial Regl Jail | 7.375 | % | 10/1/2032 | NR | 5,000 | 4,952,150 | ||||||||||
| La Vernia Hi Ed—Life Schools of Dallas | 7.00 | % | 8/15/2026 | BBB- | 4,455 | 4,987,061 | ||||||||||
| Maverick Co PFC | 6.25 | % | 2/1/2024 | NR | 1,825 | 1,286,972 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.00 | % | 12/1/2016 | NR | 700 | 482,825 | ||||||||||
| See Notes to Financial Statements. | 51 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Other Revenue (continued) | ||||||||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.00 | % | 6/1/2019 | A+ | $ | 1,900 | $ | 2,078,809 | ||||||||
| MI Fin Auth—Detroit Sch Dist | 5.00 | % | 6/1/2020 | A+ | 1,400 | 1,538,586 | ||||||||||
| MI St Strategic Fd(g) | — | — | (h) | NR | 400 | 40 | ||||||||||
| Minneapolis—Ntl Marrow Donor | 4.875 | % | 8/1/2025 | BBB | 5,000 | 5,028,500 | ||||||||||
| Mohave Co IDA—Mohave Prison | 7.50 | % | 5/1/2019 | BBB+ | 3,225 | 3,750,772 | ||||||||||
| Mohave Co IDA—Mohave Prison | 8.00 | % | 5/1/2025 | BBB+ | 5,000 | 5,827,700 | ||||||||||
| NYC Cultural—Lincoln Ctr | 5.75 | % | 12/1/2018 | A+ | 2,500 | 2,941,375 | ||||||||||
| NYC Cultural—Whitney Museum | 5.00 | % | 7/1/2021 | A | 5,000 | 5,727,100 | ||||||||||
| PA IDA—Economic Dev | 5.00 | % | 7/1/2019 | A1 | 3,500 | 4,028,045 | ||||||||||
| PA IDA—Economic Dev | 5.00 | % | 7/1/2020 | A1 | 2,000 | 2,316,540 | ||||||||||
| PR Comwlth Govt Dev Bank Rmkt GTD (NPFGC) | 4.75 | % | 12/1/2015 | A | 5,000 | 4,928,200 | ||||||||||
| SC Transp | 5.00 | % | 10/1/2020 | A1 | 13,105 | 15,213,725 | ||||||||||
| Seminole Tribe Spl Oblig† | 5.50 | % | 10/1/2024 | BBB- | 2,400 | 2,520,840 | ||||||||||
| Total | 174,801,576 | |||||||||||||||
| Pre-Refunded 0.03% | ||||||||||||||||
| Met Govt Nashville GO | 5.00 | % | 5/15/2020 | NR | 775 | 889,607 | ||||||||||
| Special Tax 1.49% | ||||||||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2031 | Baa2 | 5,500 | 5,151,190 | ||||||||||
| Atlanta Tax Alloc—Beltline Rmkt | 6.75 | % | 1/1/2020 | A2 | 2,600 | 3,112,980 | ||||||||||
| CA Reassmt Dist 12/1 Irvine | 4.00 | % | 9/2/2019 | BBB+ | 2,000 | 2,146,860 | ||||||||||
| CA Reassmt Dist 12/1 Irvine | 4.00 | % | 9/2/2020 | BBB+ | 1,000 | 1,055,600 | ||||||||||
| CA Reassmt Dist 12/1 Irvine | 4.00 | % | 9/2/2022 | BBB+ | 1,500 | 1,547,685 | ||||||||||
| Glendale Redev Agy | 5.50 | % | 12/1/2024 | A | 6,000 | 6,215,700 | ||||||||||
| Houston Co Coop Dist—Country Crossing | 10.00 | % | 5/1/2039 | NR | 5,000 | 941,665 | ||||||||||
| Orlando Redev TIF | 5.25 | % | 9/1/2021 | A | 6,415 | 7,209,818 | ||||||||||
| Plaza Met Dist #1 | 4.50 | % | 12/1/2030 | NR | 4,300 | 3,906,120 | ||||||||||
| Sparks Loc Impt Dists—Dist #3 | 6.50 | % | 9/1/2020 | NR | 360 | 370,458 | ||||||||||
| Sparks Tourism Impt Dist† | 6.50 | % | 6/15/2020 | B2 | 5,755 | 5,835,455 | ||||||||||
| Village CDD #10 | 4.50 | % | 5/1/2023 | NR | 2,325 | 2,241,207 | ||||||||||
| Village CDD #9 | 5.00 | % | 5/1/2022 | NR | 1,830 | 1,868,320 | ||||||||||
| Village CDD #9 | 5.25 | % | 5/1/2031 | NR | 1,985 | 2,040,104 | ||||||||||
| Village CDD #9 | 5.75 | % | 5/1/2021 | NR | 3,955 | 4,325,307 | ||||||||||
| Village CDD #9 | 6.75 | % | 5/1/2031 | NR | 2,820 | 3,156,257 | ||||||||||
| Total | 51,124,726 | |||||||||||||||
| 52 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tax Revenue 6.38% | ||||||||||||||||
| CA State Economic Recovery | 5.00 | % | 7/1/2018 | Aa2 | $ | 7,105 | $ | 8,321,376 | ||||||||
| Contra Costa Trsp—Sales Tax | 0.492 | % | # | 3/1/2034 | AA+ | 5,000 | 5,017,350 | |||||||||
| El Paso Dev Corp—Downtown Ballpark | 6.25 | % | 8/15/2023 | AA- | 5,000 | 5,555,850 | ||||||||||
| Gtr Wenatchee Regl Events Ctr | 5.00 | % | 9/1/2027 | NR | 1,000 | 966,870 | ||||||||||
| Gtr Wenatchee Regl Events Ctr | 5.25 | % | 9/1/2032 | NR | 1,000 | 966,230 | ||||||||||
| Guam Ltd Oblig—Section 30 Landfill | 5.375 | % | 12/1/2024 | BBB+ | 1,000 | 1,046,560 | ||||||||||
| Guam Ltd Oblig—Section 30 Landfill | 5.50 | % | 12/1/2019 | BBB+ | 1,000 | 1,078,310 | ||||||||||
| IL Sales Tax | 5.00 | % | 6/15/2019 | AAA | 5,000 | 5,830,500 | ||||||||||
| IL State—Unemployment Insurance Fund Bldg | 5.00 | % | 12/15/2019 | AA | 2,500 | 2,677,350 | ||||||||||
| Jacksonville Sales Tax | 5.00 | % | 10/1/2021 | A1 | 2,500 | 2,835,950 | ||||||||||
| LA Stadium & Expo Dist | 5.00 | % | 7/1/2021 | A3 | 1,000 | 1,132,820 | ||||||||||
| MA Sch Bldg Auth—Sales Tax | 5.00 | % | 8/15/2030 | AA+ | 5,665 | 6,181,308 | ||||||||||
| Martin Co Hospital District | 7.00 | % | 4/1/2031 | BBB | (d) | 3,250 | 3,457,967 | |||||||||
| Met Govt Nashville—Cnty Conv Ctr | 5.00 | % | 7/1/2022 | A1 | 3,245 | 3,708,710 | ||||||||||
| Met Pier & Expo Auth—McCormick Place | 5.00 | % | 12/15/2020 | AAA | 2,500 | 2,907,600 | ||||||||||
| MTA NY—Dedicated Tax | 5.00 | % | 11/15/2020 | AA | 5,105 | 5,990,309 | ||||||||||
| MTA NY—Dedicated Tax | 5.00 | % | 11/15/2021 | AA | 3,145 | 3,688,991 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2024 | BBB+ | 3,000 | 3,168,720 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2028 | BBB+ | 6,650 | 6,682,119 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2029 | BBB+ | 500 | 498,885 | ||||||||||
| NY Dorm—PIT | 5.00 | % | 12/15/2019 | AAA | 15,000 | 17,668,650 | ||||||||||
| NY Dorm—PIT | 5.00 | % | 3/15/2024 | AAA | 15,585 | 17,707,521 | ||||||||||
| NY Dorm—Sch Dist Fin (AG) | 5.00 | % | 10/1/2017 | AA- | 5,000 | 5,655,250 | ||||||||||
| NY UDC—PIT | 5.00 | % | 3/15/2018 | AAA | 10,000 | 11,604,100 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2024 | AA- | 10,000 | 11,371,200 | ||||||||||
| NYC TFA—Future Tax | 5.00 | % | 5/1/2024 | AAA | 14,745 | 16,431,238 | ||||||||||
| NYC TFA—Future Tax | 5.00 | % | 5/1/2025 | AAA | 9,000 | 10,025,100 | ||||||||||
| NYC TFA—Future Tax ETM | 5.00 | % | 11/1/2016 | NR | 1,395 | 1,578,694 | ||||||||||
| Oneida Tribe Salex Tax Rev† | 5.50 | % | 2/1/2021 | AA- | 2,545 | 2,785,630 | ||||||||||
| Orange Co Tourist Dev Tax (NPFGC) | 5.00 | % | 10/1/2018 | A+ | 1,680 | 1,902,953 | ||||||||||
| PA Econ Dev—Unemployment Comp | 5.00 | % | 7/1/2021 | Aaa | 4,000 | 4,520,680 | ||||||||||
| PA Econ Dev—Unemployment Comp | 5.00 | % | 7/1/2022 | Aaa | 15,000 | 16,457,100 | ||||||||||
| Polk Co Trans Rev | 5.00 | % | 12/1/2021 | A1 | 2,825 | 3,211,912 | ||||||||||
| PR Corp Sales Tax | 5.00 | % | 8/1/2022 | AA- | 1,500 | 1,561,995 | ||||||||||
| PR Corp Sales Tax | 5.50 | % | 8/1/2023 | A+ | 5,000 | 4,947,300 | ||||||||||
| PR Corp Sales Tax | 5.50 | % | 8/1/2028 | A+ | 7,265 | 6,484,158 | ||||||||||
| See Notes to Financial Statements. | 53 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tax Revenue (continued) | ||||||||||||||||
| San Mateo Co Trans Dist (NPFGC) | 4.50 | % | 6/1/2022 | AA | $ | 1,830 | $ | 1,914,766 | ||||||||
| Sonoma Marin Area Rail Rmkt | 5.00 | % | 3/1/2019 | AA | 1,950 | 2,268,142 | ||||||||||
| Sonoma Marin Area Rail Rmkt | 5.00 | % | 3/1/2020 | AA | 1,025 | 1,203,084 | ||||||||||
| Virgin Islands PFA—Diageo Rum Tax | 6.75 | % | 10/1/2019 | Baa3 | 2,500 | 2,782,175 | ||||||||||
| Virgin Islands PFA—Gross Tax Rcpts (NPFGC)(FGIC) | 5.00 | % | 10/1/2018 | A | 1,000 | 1,061,000 | ||||||||||
| Virgin Islands PFA—Tobacco & Liq Tax | 5.00 | % | 10/1/2019 | BBB | 3,000 | 3,297,570 | ||||||||||
| Total | 218,153,993 | |||||||||||||||
| Tobacco 4.09% | ||||||||||||||||
| Buckeye Tobacco | 5.125 | % | 6/1/2024 | B- | 31,490 | 26,848,689 | ||||||||||
| Buckeye Tobacco | 5.75 | % | 6/1/2034 | B- | 1,360 | 1,043,990 | ||||||||||
| Buckeye Tobacco | 5.875 | % | 6/1/2030 | B- | 9,500 | 7,562,285 | ||||||||||
| Golden St Tobacco | 4.50 | % | 6/1/2027 | B | 8,765 | 7,542,896 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2014 | A1 | 2,500 | 2,554,950 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2033 | B- | 10,000 | 7,721,400 | ||||||||||
| Inland Empire Tobacco | 4.625 | % | 6/1/2021 | B | (d) | 2,530 | 2,307,006 | |||||||||
| Inland Empire Tobacco | 5.00 | % | 6/1/2021 | B | (d) | 3,350 | 3,140,491 | |||||||||
| MI Tob Settlement | 5.125 | % | 6/1/2022 | B- | 5,125 | 4,382,695 | ||||||||||
| MI Tob Settlement | 5.25 | % | 6/1/2022 | B- | 6,885 | 5,942,030 | ||||||||||
| Nthrn AK Tobacco | 4.625 | % | 6/1/2023 | Ba1 | 3,700 | 3,507,452 | ||||||||||
| Railsplitter Tobacco Settlement Auth | 5.00 | % | 6/1/2017 | A | 10,095 | 11,207,873 | ||||||||||
| Railsplitter Tobacco Settlement Auth | 6.25 | % | 6/1/2024 | A- | 8,500 | 9,137,840 | ||||||||||
| SD Edu Enhancement Fding Corp | 5.00 | % | 6/1/2023 | A | 1,000 | 1,086,110 | ||||||||||
| SD Edu Enhancement Fding Corp | 5.00 | % | 6/1/2024 | A- | 1,000 | 1,069,500 | ||||||||||
| SD Edu Enhancement Fding Corp | 5.00 | % | 6/1/2025 | A- | 1,000 | 1,054,810 | ||||||||||
| Tobacco Settlement Fin Corp | 4.50 | % | 6/1/2023 | B1 | 12,030 | 11,378,576 | ||||||||||
| Tobacco Settlement Fin Corp | 4.625 | % | 6/1/2026 | B1 | 10,000 | 8,775,500 | ||||||||||
| Tobacco Settlement Fin Corp | 4.75 | % | 6/1/2034 | B2 | 10,500 | 7,691,775 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2018 | AA- | 5,000 | 5,755,650 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 5/15/2022 | A | 5,000 | 5,545,700 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2029 | B2 | 5,000 | 4,256,300 | ||||||||||
| Tobacco Settlement Fin Corp | 5.50 | % | 6/1/2019 | AA- | 495 | 496,807 | ||||||||||
| Total | 140,010,325 | |||||||||||||||
| Transportation 12.12% | ||||||||||||||||
| Alameda Corridor Trsp Auth | 5.00 | % | 10/1/2020 | A- | 1,730 | 2,005,952 | ||||||||||
| Alameda Corridor Trsp Auth | 5.00 | % | 10/1/2021 | A- | 1,500 | 1,731,420 | ||||||||||
| 54 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| Atlanta Airport | 5.50 | % | 1/1/2021 | A1 | $ | 3,000 | $ | 3,553,560 | ||||||||
| AZ Transp Brd Hwy | 5.00 | % | 7/1/2021 | AA+ | 10,000 | 11,834,900 | ||||||||||
| Bay Area Toll Auth | 0.77 | % | # | 4/1/2047 | AA | 6,000 | 5,939,700 | |||||||||
| Central TX Mobility Auth | 5.00 | % | 1/1/2033 | Baa3 | 3,000 | 2,675,730 | ||||||||||
| Central TX Mobility Auth | 5.75 | % | 1/1/2019 | Baa2 | 750 | 842,003 | ||||||||||
| Central TX Mobility Auth | 5.75 | % | 1/1/2020 | Baa2 | 1,000 | 1,119,220 | ||||||||||
| Central TX Mobility Auth | 5.75 | % | 1/1/2031 | Baa2 | 2,000 | 2,042,520 | ||||||||||
| Chicago O’Hare Arpt | 5.00 | % | 1/1/2022 | A2 | 2,250 | 2,483,888 | ||||||||||
| Chicago O’Hare Arpt (AGM) | 5.00 | % | 1/1/2020 | AA- | 3,500 | 3,800,545 | ||||||||||
| Chicago O’Hare Arpt AMT | 5.00 | % | 1/1/2020 | A2 | 6,320 | 7,107,346 | ||||||||||
| Chicago O’Hare Arpt AMT | 5.00 | % | 1/1/2021 | A2 | 11,740 | 13,201,160 | ||||||||||
| Clark Co Arpt (AGM) | 5.00 | % | 7/1/2022 | AA- | 3,905 | 4,379,809 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2022 | AA+ | 635 | 706,847 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2023 | AA+ | 390 | 434,126 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2024 | AA+ | 515 | 573,270 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2028 | AA+ | 460 | 512,047 | ||||||||||
| Delaware River Port Auth | 5.00 | % | 1/1/2027 | BBB- | 1,835 | 1,847,019 | ||||||||||
| Denver City & Co Arpt (NPFGC)(FGIC) | 5.00 | % | 11/15/2022 | A+ | 13,625 | 14,849,479 | ||||||||||
| E470 Pub Hwy Auth (NPFGC) | Zero Coupon | 9/1/2018 | A | 10,900 | 9,371,602 | |||||||||||
| Foothill / Eastern Corridor Toll Rd | 5.80 | % | 1/15/2020 | BBB- | 7,000 | 7,105,350 | ||||||||||
| Foothill / Eastern Corridor Toll Rd (NPFGC)(IBC) | 5.80 | % | 1/15/2020 | A | 3,495 | 3,547,600 | ||||||||||
| HI Arpts Sys AMT | 5.00 | % | 7/1/2017 | A | 5,000 | 5,632,850 | ||||||||||
| HI Arpts Sys AMT | 5.00 | % | 7/1/2022 | A | 5,130 | 5,784,998 | ||||||||||
| Houston Arpt AMT | 5.00 | % | 7/1/2021 | A | 5,000 | 5,623,750 | ||||||||||
| KY Tpk Auth | 5.00 | % | 7/1/2026 | AA+ | 5,215 | 5,812,118 | ||||||||||
| Los Angeles Harbor | 5.00 | % | 8/1/2024 | AA | 1,500 | 1,701,135 | ||||||||||
| MD EDC—CNX Consol Energy | 5.75 | % | 9/1/2025 | BB | 1,500 | 1,571,220 | ||||||||||
| MD EDC—Maryland Port | 5.125 | % | 6/1/2020 | Baa3 | 2,590 | 2,733,952 | ||||||||||
| MD EDC—Maryland Port | 5.125 | % | 6/1/2020 | Baa3 | 1,000 | 1,055,580 | ||||||||||
| Miami Dade Co Expwy Auth | 5.00 | % | 7/1/2022 | A- | 1,500 | 1,715,520 | ||||||||||
| Miami Dade Co Expwy Auth | 5.00 | % | 7/1/2023 | A- | 2,000 | 2,259,580 | ||||||||||
| Miami Dade Co Expwy Auth | 5.00 | % | 7/1/2024 | A- | 3,500 | 3,906,315 | ||||||||||
| Minneapolis / St Paul Met Arpt | 5.00 | % | 1/1/2020 | AA- | 2,190 | 2,533,414 | ||||||||||
| Minneapolis / St Paul Met Arpt (AMBAC) | 5.00 | % | 1/1/2024 | AA- | 10,250 | 11,221,187 | ||||||||||
| Montgomery Co | 4.00 | % | 3/1/2019 | Aa1 | 2,435 | 2,692,769 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2021 | A | 1,500 | 1,727,490 | ||||||||||
| See Notes to Financial Statements. | 55 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| MTA NY | 5.00 | % | 11/1/2023 | A | $ | 5,640 | $ | 6,391,417 | ||||||||
| MTA NY | 5.00 | % | 11/15/2023 | A | 9,250 | 10,486,817 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2025 | A | 2,000 | 2,170,560 | ||||||||||
| MTA NY—Dedicated Tax | 5.00 | % | 11/15/2019 | AA | 1,375 | 1,616,546 | ||||||||||
| NC State GARVEE | 5.00 | % | 3/1/2018 | AA | 11,660 | 13,320,384 | ||||||||||
| NJ Tpk Auth | 5.00 | % | 1/1/2021 | A+ | 5,000 | 5,748,350 | ||||||||||
| NJ Tpk Auth | 5.00 | % | 1/1/2023 | A+ | 3,835 | 4,347,356 | ||||||||||
| NJ Tpk Auth | 5.00 | % | 1/1/2024 | A+ | 3,000 | 3,374,790 | ||||||||||
| NJ Trans Trust Fund | 5.75 | % | 6/15/2020 | A+ | 7,645 | 9,132,258 | ||||||||||
| NJ Trans Trust Fund CR (AGM) | 5.00 | % | 6/15/2024 | AA- | 10,165 | 11,275,425 | ||||||||||
| North TX Twy Auth | 6.25 | % | 1/1/2024 | A2 | 5,000 | 5,907,900 | ||||||||||
| NY Twy Auth | 5.00 | % | 1/1/2020 | A+ | 1,500 | 1,731,450 | ||||||||||
| Orlando & Orange Co Expwy Auth | 5.00 | % | 7/1/2020 | A | 2,000 | 2,327,360 | ||||||||||
| PA Tpk Commn | 0.75 | % | # | 12/1/2018 | A+ | 3,000 | 2,948,760 | |||||||||
| PA Tpk Commn | 5.00 | % | 12/1/2017 | A+ | 6,440 | 7,421,778 | ||||||||||
| PA Tpk Commn | 5.00 | % | 12/1/2022 | A+ | 3,500 | 4,038,755 | ||||||||||
| PA Tpk Commn (AG) | 5.00 | % | 6/1/2018 | AA- | 2,500 | 2,856,075 | ||||||||||
| PA Tpk Commn—Registration Fee (AGM) | 5.25 | % | 7/15/2019 | AA- | 1,270 | 1,453,985 | ||||||||||
| Phoenix Airport | 5.00 | % | 7/1/2023 | A+ | 7,000 | 7,767,550 | ||||||||||
| Phoenix Airport AMT | 5.00 | % | 7/1/2021 | AA- | 3,050 | 3,486,730 | ||||||||||
| Phoenix Airport AMT | 5.00 | % | 7/1/2022 | AA- | 1,500 | 1,717,995 | ||||||||||
| Port Auth NY & NJ—JFK IAT | 5.00 | % | 12/1/2020 | BBB | 6,000 | 6,420,240 | ||||||||||
| Port Oakland AMT | 5.00 | % | 5/1/2021 | A+ | 1,000 | 1,104,660 | ||||||||||
| Port Oakland AMT | 5.00 | % | 5/1/2022 | A+ | 11,000 | 12,084,930 | ||||||||||
| Port Seattle PFC | 5.00 | % | 12/1/2020 | A+ | 6,500 | 7,549,945 | ||||||||||
| Regional Trans Dist—Denver Trans | 5.00 | % | 7/15/2021 | Baa3 | 3,460 | 3,630,024 | ||||||||||
| Regional Trans Dist—Denver Trans | 5.00 | % | 1/15/2022 | Baa3 | 2,800 | 2,897,412 | ||||||||||
| Regional Trans Dist—Denver Trans | 5.125 | % | 1/15/2023 | Baa3 | 2,835 | 2,920,674 | ||||||||||
| Regional Trans Dist—Denver Trans | 5.125 | % | 7/15/2023 | Baa3 | 5,670 | 5,841,347 | ||||||||||
| San Francisco Arpt AMT | 5.00 | % | 5/1/2026 | A+ | 10,000 | 10,607,900 | ||||||||||
| San Francisco Arpt AMT | 5.00 | % | 5/1/2028 | A+ | 7,450 | 7,766,253 | ||||||||||
| South Jersey Trans Auth | 5.00 | % | 11/1/2020 | A- | 2,000 | 2,257,400 | ||||||||||
| South Jersey Trans Auth | 5.00 | % | 11/1/2021 | A- | 5,305 | 5,963,775 | ||||||||||
| Southeastern PA Transp Auth | 5.00 | % | 6/1/2023 | A+ | 2,500 | 2,836,200 | ||||||||||
| St Louis Arpt—Lambert Intl Airport (AGM) | 5.00 | % | 7/1/2017 | AA- | 1,650 | 1,868,510 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2020 | AA- | 7,525 | 8,911,255 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2022 | A+ | 4,715 | 5,515,418 | ||||||||||
| 56 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2023 | AA- | $ | 5,000 | $ | 5,840,100 | ||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2023 | A+ | 2,000 | 2,324,680 | ||||||||||
| Triborough Brdg & Tunl Auth (NPFGC) | 5.50 | % | 11/15/2021 | A+ | 10,000 | 12,093,200 | ||||||||||
| VA Small Bus Fing—95 Express Lanes AMT | 5.00 | % | 7/1/2034 | BBB- | 3,650 | 3,275,656 | ||||||||||
| VA Small Bus Fing—Elizabeth River AMT | 5.25 | % | 1/1/2032 | BBB- | 10,500 | 9,842,910 | ||||||||||
| VA Transp Brd—Cap Proj | 5.00 | % | 5/15/2021 | AA+ | 10,000 | 11,815,000 | ||||||||||
| WA St GARVEE—520 Corridor | 5.00 | % | 9/1/2021 | AA | 10,000 | 11,659,300 | ||||||||||
| WI Trans | 5.00 | % | 7/1/2019 | AA+ | 2,000 | 2,298,580 | ||||||||||
| Total | 414,484,581 | |||||||||||||||
| Utilities 15.77% | ||||||||||||||||
| Amr Muni Pwr—Fremont Energy | 5.00 | % | 2/15/2020 | A1 | 2,000 | 2,274,880 | ||||||||||
| Amr Muni Pwr—Fremont Energy | 5.00 | % | 2/15/2021 | A1 | 1,300 | 1,474,330 | ||||||||||
| Brownsville Utility Sys CR (AGM)(AMBAC) | 5.00 | % | 9/1/2020 | AA- | 3,320 | 3,615,779 | ||||||||||
| Brownsville Utility Sys CR (AGM)(AMBAC) | 5.00 | % | 9/1/2020 | AA- | 1,480 | 1,586,516 | ||||||||||
| CA Dept Wtr Res Pwr | 5.00 | % | 5/1/2018 | AA- | 4,050 | 4,725,621 | ||||||||||
| CA Dept Wtr Res Pwr | 5.00 | % | 5/1/2019 | AA- | 16,695 | 19,712,120 | ||||||||||
| Central Plains—Goldman Sachs | 5.00 | % | 9/1/2027 | A- | 15,000 | 15,010,050 | ||||||||||
| Detroit Sewer | 5.50 | % | 7/1/2024 | BB- | 2,500 | 2,525,850 | ||||||||||
| East Bay Utility Water District | 5.00 | % | 6/1/2021 | AAA | 13,260 | 15,957,349 | ||||||||||
| Energy Northwest—Columbia Station (AMBAC) | 5.00 | % | 7/1/2024 | Aa1 | 11,665 | 12,741,913 | ||||||||||
| Farmington Poll Ctl—AZ Pub Svc | 4.70 | % | 5/1/2024 | BBB+ | 5,265 | 5,444,115 | ||||||||||
| FL Muni Pwr Agy | 5.25 | % | 10/1/2022 | A2 | 3,115 | 3,505,995 | ||||||||||
| FL Muni Pwr Agy—St Lucie | 5.00 | % | 10/1/2021 | A2 | 3,650 | 4,131,180 | ||||||||||
| GA Env Loan Acquisition Corp | 4.00 | % | 3/15/2021 | Aaa | 3,695 | 3,698,547 | ||||||||||
| Hampton Rds Santn Dist | 5.00 | % | 4/1/2022 | AAA | 5,000 | 5,625,650 | ||||||||||
| HI Dept Budget—Hawaiian Electric AMT (FGIC) | 4.80 | % | 1/1/2025 | Baa1 | 15,000 | 14,642,400 | ||||||||||
| IA Fin Auth—Revolving Fund | 5.25 | % | 8/1/2020 | AAA | 2,500 | 2,898,300 | ||||||||||
| IL DFA—Peoples Gas AMT (AMBAC) | 4.875 | % | 11/1/2038 | A1 | 7,500 | 7,597,500 | ||||||||||
| IN Fin Auth Waste Wtr | 5.25 | % | 10/1/2026 | AA | 5,000 | 5,576,050 | ||||||||||
| Indianapolis Local Pub Impt Bd Bk (NPFGC) | 5.00 | % | 7/1/2019 | A+ | 340 | 380,858 | ||||||||||
| Intermountain Pwr Agy | 5.00 | % | 7/1/2021 | A+ | 3,000 | 3,417,000 | ||||||||||
| Intermountain Pwr Agy | 5.00 | % | 7/1/2022 | A+ | 1,500 | 1,697,580 | ||||||||||
| JEA St Johns Riv Pwr Pk Sys | 5.00 | % | 10/1/2022 | Aa2 | 1,625 | 1,833,455 | ||||||||||
| KS DFA—Dept Hlth & Env | 5.00 | % | 3/1/2021 | AAA | 6,680 | 7,818,740 | ||||||||||
| KS Env Impt—Kansas City Pwr & Lt | 2.95 | % | 12/1/2023 | A- | 9,500 | 8,978,070 | ||||||||||
| See Notes to Financial Statements. | 57 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| KS Env Impt—Kansas City Pwr & Lt | 2.95 | % | 12/1/2023 | A- | $ | 2,400 | $ | 2,268,144 | ||||||||
| LA Env Facs—East Baton Rouge Swr | 0.827 | % | # | 2/1/2049 | A+ | 15,000 | 14,896,950 | |||||||||
| Lakeland Energy (AGM) | 5.00 | % | 10/1/2018 | AA | 3,975 | 4,596,412 | ||||||||||
| Long Beach Nat Gas—ML | 1.607 | % | # | 11/15/2026 | A- | 4,000 | 3,520,760 | |||||||||
| Long Island Power Auth | 5.00 | % | 5/1/2019 | A- | 1,000 | 1,133,280 | ||||||||||
| Long Island Power Auth | 5.00 | % | 5/1/2020 | A- | 2,930 | 3,327,923 | ||||||||||
| Long Island Power Auth (NPFGC)(FGIC) | 5.00 | % | 12/1/2019 | A | 3,000 | 3,229,590 | ||||||||||
| Los Angeles DEWAP—Pwr Sys | 5.00 | % | 7/1/2022 | AA- | 4,250 | 5,016,658 | ||||||||||
| Los Angeles Solid Waste | 5.00 | % | 2/1/2020 | AA | 2,000 | 2,311,600 | ||||||||||
| Louisville/Jeff Co Met Swr Dist | 5.00 | % | 5/15/2019 | AA | 4,705 | 5,533,315 | ||||||||||
| Lower Colo Riv Auth | 5.00 | % | 5/15/2018 | A | 6,345 | 7,286,027 | ||||||||||
| Lower Colo Riv Auth | 5.00 | % | 5/15/2020 | A1 | 3,130 | 3,608,514 | ||||||||||
| Lower Colo Riv Auth | 5.00 | % | 5/15/2020 | A1 | 3,930 | 4,530,818 | ||||||||||
| Lower Colo Riv Auth | 5.00 | % | 5/15/2021 | A | 5,225 | 6,043,287 | ||||||||||
| Lower Colo Riv Auth | 5.00 | % | 5/15/2022 | A | 10,005 | 11,394,694 | ||||||||||
| MA DFA—Dominion Energy | 5.75 | % | 12/1/2042 | A- | 1,000 | 1,225,380 | ||||||||||
| Main St Nat Gas—ML | 5.00 | % | 3/15/2021 | A- | 2,500 | 2,740,575 | ||||||||||
| MD EDC—Potomac Elec Rmkt | 6.20 | % | 9/1/2022 | A | 1,650 | 1,950,729 | ||||||||||
| MEAG—Gen Resolution Projects | 5.00 | % | 1/1/2020 | A | 6,190 | 7,148,955 | ||||||||||
| MEAG—Proj 1 | 5.00 | % | 1/1/2021 | A | 4,185 | 4,835,182 | ||||||||||
| Met Govt Nashville Water & Sewer | 5.00 | % | 7/1/2022 | A+ | 1,000 | 1,180,600 | ||||||||||
| Met Govt Nashville Water & Sewer | 5.00 | % | 7/1/2029 | AA- | 8,515 | 9,413,247 | ||||||||||
| Miami Dade Co Wtr & Swr (AGM) | 5.25 | % | 10/1/2018 | AA- | 3,000 | 3,507,870 | ||||||||||
| Modesto Irrigation Dist | 5.00 | % | 7/1/2022 | A+ | 1,000 | 1,167,010 | ||||||||||
| Modesto Irrigation Dist | 5.00 | % | 7/1/2023 | A+ | 1,800 | 2,098,836 | ||||||||||
| Modesto Irrigation Dist | 5.00 | % | 7/1/2024 | A+ | 3,720 | 4,269,853 | ||||||||||
| NC Eastern Muni Pwr | 5.00 | % | 1/1/2019 | A- | 2,245 | 2,571,445 | ||||||||||
| NC Eastern Muni Pwr | 5.00 | % | 1/1/2020 | A- | 1,000 | 1,125,270 | ||||||||||
| NC Muni Pwr Agy #1 Catawba Elec | 5.00 | % | 1/1/2019 | A | 6,500 | 7,490,600 | ||||||||||
| NE Public Power | 5.00 | % | 1/1/2029 | A1 | 1,500 | 1,620,780 | ||||||||||
| North Sumter Co Util Dep Dist | 5.00 | % | 10/1/2032 | BBB- | 8,000 | 7,451,920 | ||||||||||
| Northern CA Pwr—Hydroelec #1 | 5.00 | % | 7/1/2026 | A+ | 3,600 | 3,943,908 | ||||||||||
| Northern CA Pwr—Morgan Stanley | 0.814 | % | # | 7/1/2019 | A- | 10,000 | 9,276,600 | |||||||||
| Northern CA Pwr—Morgan Stanley | 0.904 | % | # | 7/1/2027 | A- | 4,265 | 3,571,255 | |||||||||
| NY Energy—Rochester Gas & Elec (NPFGC) | 5.00 | % | 8/1/2032 | A | 5,000 | 5,288,500 | ||||||||||
| OH Air Quality—FirstEnergy | 5.70 | % | 8/1/2020 | BBB- | 4,250 | 4,731,355 | ||||||||||
| OH Air Quality—FirstEnergy | 5.75 | % | 6/1/2033 | BBB- | 3,000 | 3,209,370 | ||||||||||
| 58 | See Notes to Financial Statements. |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| OH Air Quality—Ohio Vly Elec | 5.625 | % | 10/1/2019 | BBB- | $ | 8,000 | $ | 8,686,800 | ||||||||
| PA Econ Dev—Philadelphia Biosolids | 5.25 | % | 1/1/2016 | Baa3 | 2,225 | 2,331,778 | ||||||||||
| PA Econ Dev—Philadelphia Biosolids | 5.50 | % | 1/1/2018 | Baa3 | 1,030 | 1,089,287 | ||||||||||
| PA Econ Dev—PPL Electric Utility Rmkt | 4.00 | % | 10/1/2023 | A- | 12,500 | 12,675,250 | ||||||||||
| Philadelphia Gas Works | 5.00 | % | 8/1/2016 | BBB+ | 1,000 | 1,088,390 | ||||||||||
| Philadelphia Wastewater | 5.00 | % | 11/1/2026 | A1 | 5,000 | 5,448,850 | ||||||||||
| Piedmont Muni Pwr Agy | 5.00 | % | 1/1/2019 | A- | 1,250 | 1,434,438 | ||||||||||
| Piedmont Muni Pwr Agy | 5.00 | % | 1/1/2022 | A- | 4,750 | 5,351,065 | ||||||||||
| Piedmont Muni Pwr Agy | 5.00 | % | 1/1/2024 | A- | 7,920 | 8,770,133 | ||||||||||
| Piedmont Muni Pwr Agy | 5.25 | % | 1/1/2019 | A- | 2,000 | 2,270,160 | ||||||||||
| Pima Co IDA—Tucson Elec | 4.95 | % | 10/1/2020 | BBB | 10,640 | 11,298,084 | ||||||||||
| PR Aqueduct & Swr Auth | 5.25 | % | 7/1/2029 | BB+ | 10,000 | 7,324,200 | ||||||||||
| PR Aqueduct & Swr Auth | 6.125 | % | 7/1/2024 | BB+ | 10,555 | 9,110,337 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2024 | BBB | 4,900 | 3,975,223 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2029 | BBB | 8,205 | 6,093,361 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2019 | BBB | 2,000 | 1,701,760 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2026 | BBB | 4,900 | 3,874,724 | ||||||||||
| PR Elec Pwr Auth | 7.00 | % | 7/1/2033 | BBB | 7,500 | 6,244,650 | ||||||||||
| Public Gas Partners Inc | 5.00 | % | 10/1/2019 | A+ | 5,950 | 6,730,819 | ||||||||||
| Sa Energy Acquisition Pub Fac | 5.50 | % | 8/1/2021 | A- | 2,360 | 2,625,948 | ||||||||||
| Salt River Imp & Pwr Dist | 5.00 | % | 1/1/2021 | Aa1 | 1,000 | 1,131,580 | ||||||||||
| Salt River Proj Agric Imp & Pwr Dist | 5.00 | % | 12/1/2023 | Aa1 | 8,980 | 10,454,875 | ||||||||||
| Salt Verde Fin Corp—Citi | 5.00 | % | 12/1/2032 | A- | 5,000 | 5,011,900 | ||||||||||
| Salt Verde Fin Corp—Citi | 5.50 | % | 12/1/2029 | A- | 5,000 | 5,378,350 | ||||||||||
| San Diego PFA Swr | 5.00 | % | 5/15/2020 | AA- | 5,000 | 5,761,450 | ||||||||||
| San Diego PFA Swr | 5.50 | % | 5/15/2023 | AA- | 5,000 | 5,841,250 | ||||||||||
| San Francisco City & Co Pub Util Sys | 5.00 | % | 11/1/2023 | AA- | 5,450 | 6,349,850 | ||||||||||
| Snohomish Co PUD #1 (AGM) | 5.00 | % | 12/1/2020 | AA- | 5,000 | 5,382,900 | ||||||||||
| TEAC—Goldman Sachs | 5.00 | % | 2/1/2018 | BBB | 1,055 | 1,147,597 | ||||||||||
| TEAC—Goldman Sachs | 5.25 | % | 9/1/2021 | A- | 3,000 | 3,271,170 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2024 | A3 | 13,000 | 13,307,190 | ||||||||||
| TX Muni Gas Acq & Supply—ML | 5.25 | % | 12/15/2021 | A- | 4,685 | 5,190,839 | ||||||||||
| TX Muni Gas Acq & Supply—ML | 5.25 | % | 12/15/2023 | A- | 2,925 | 3,187,636 | ||||||||||
| TX Muni Gas Acq & Supply—ML | 5.625 | % | 12/15/2017 | A- | 7,010 | 7,886,951 | ||||||||||
| TX Muni Pwr Agy | 4.00 | % | 9/1/2017 | A+ | 2,000 | 2,192,420 | ||||||||||
| TX Muni Pwr Agy | 4.00 | % | 9/1/2018 | A+ | 2,675 | 2,926,664 | ||||||||||
| UT Muni Pwr—Payson Pwr | 5.00 | % | 4/1/2021 | A- | 5,300 | 6,056,363 | ||||||||||
| See Notes to Financial Statements. | 59 |
Schedule of Investments (continued)
INTERMEDIATE TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| VA Res Auth Clean Wtr—Revolving Fd | 5.00 | % | 10/1/2018 | AAA | $ | 2,150 | $ | 2,496,021 | ||||||||
| Western Genr Agy—Wauna Cogen AMT | 5.00 | % | 1/1/2016 | NR | 1,510 | 1,509,879 | ||||||||||
| Wichita Wtr & Swr | 5.00 | % | 10/1/2020 | AA- | 6,795 | 7,969,312 | ||||||||||
| Wyandotte Co Unified Govt Utility Sys | 5.00 | % | 9/1/2021 | A+ | 3,105 | 3,577,147 | ||||||||||
| Total | 539,543,661 | |||||||||||||||
| Total Municipal Bonds (cost $3,299,849,064) | 3,312,108,807 | |||||||||||||||
| Shares (000) | ||||||||||||||||
| SHORT-TERM INVESTMENTS 0.77% | ||||||||||||||||
| Money Market Mutual Fund 0.00% | ||||||||||||||||
| Dreyfus Municipal Cash Management Plus (cost $1,775) | 2 | 1,775 | ||||||||||||||
| Interest Rate# | Interest Rate Reset Date(f) | Final Maturity Date | Principal Amount (000) | |||||||||||||||
| Variable Rate Demand Notes 0.77% | ||||||||||||||||||
| Lease Obligations 0.33% | ||||||||||||||||||
| Palm Beach Co Sch Brd COP | 0.50 | % | 10/1/2013 | 8/1/2029 | BBB | $ | 11,500 | 11,500,000 | ||||||||||
| Utilities 0.44% | ||||||||||||||||||
| Las Vegas Valley Water District | 0.30 | % | 10/1/2013 | 6/1/2036 | AA+ | 15,015 | 15,015,000 | |||||||||||
| Total Variable Rate Demand Notes (cost $26,515,000) | 26,515,000 | |||||||||||||||||
| Total Short-Term Investments (cost $26,516,775) | 26,516,775 | |||||||||||||||||
| Total Investments in Securities 97.59% (cost $3,326,365,839) | 3,338,625,582 | |||||||||||||||||
| Cash and Other Assets in Excess of Liabilities(i) 2.41% | 82,297,691 | |||||||||||||||||
| Net Assets 100.00% | $ | 3,420,923,273 | ||||||||||||||||
Open Futures Contracts at September 30, 2013:
| Type | Expiration | Contracts | Position | Fair Value | Unrealized Depreciation | ||||||||||
| U.S. 30-Year Treasury Bond | December 2013 | 73 | Short | $(9,736,375 | ) | $(307,521 | ) | ||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
| 60 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
INTERMEDIATE TAX FREE FUND September 30, 2013
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s financial instruments carried at fair value(1):
| Investment Type(2) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 3,137,307,231 | $ | — | $ | 3,137,307,231 | ||||||||
| Other Revenue | — | 174,801,536 | 40 | (3) | 174,801,576 | |||||||||||
| Money Market Mutual Fund | 1,775 | — | — | 1,775 | ||||||||||||
| Variable Rate Demand Notes | — | 26,515,000 | — | 26,515,000 | ||||||||||||
| Total | $ | 1,775 | $ | 3,338,623,767 | $ | 40 | $ | 3,338,625,582 | ||||||||
| Liabilities | ||||||||||||||||
| Trust Certificates | $ | — | $ | (11,815,000 | ) | $ | — | $ | (11,815,000 | ) | ||||||
| Total | $ | — | $ | (11,815,000 | ) | $ | — | $ | (11,815,000 | ) | ||||||
| Other Financial Instruments | ||||||||||||||||
| Futures Contracts | ||||||||||||||||
| Assets | $ | — | $ | — | $ | — | $ | — | ||||||||
| Liabilities | (307,521 | ) | — | — | (307,521 | ) | ||||||||||
| Total | $ | (307,521 | ) | $ | — | $ | — | $ | (307,521 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. The table above is presented by Investment Type. Industries are presented within an Investment type should such Investment Type include securities classified as two or more levels within the three-tier fair value hierarchy. |
| (3) | Municipal Bond categorized as Level 3 investment includes MI St Strategic Fd. |
The following is a reconciliation of investments with unobservable inputs (Level 3) that were used in determining fair value:
| Investment Type | Municipal Bonds | |||
| Balance as of October 1, 2012 | $ | — | ||
| Accrued discounts/premiums | — | |||
| Realized gain (loss) | — | |||
| Change in unrealized appreciation/depreciation | (2,460 | ) | ||
| Purchases | — | |||
| Sales | — | |||
| Net transfers in/(out) of Level 3 | 2,500 | |||
| Balance as of September 30, 2013 | $ | 40 | ||
| See Notes to Financial Statements. | 61 |
Schedule of Investments
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 98.30% | ||||||||||||||||
| Corporate-Backed 5.46% | ||||||||||||||||
| Aleutians E Burough—Pribilof Islands (ACA) | 5.50 | % | 6/1/2025 | NR | $ | 375 | $ | 369,270 | ||||||||
| Beaver Co IDA—FirstEnergy Rmkt | 2.70 | % | 4/1/2035 | BBB- | 1,500 | 1,444,410 | ||||||||||
| Citizens Property Insurance Corp | 5.00 | % | 6/1/2020 | A+ | 1,000 | 1,131,510 | ||||||||||
| Citizens Property Insurance Corp | 5.00 | % | 6/1/2021 | A+ | 1,500 | 1,692,960 | ||||||||||
| LA Env Facs—Westlake Chem | 6.50 | % | 11/1/2035 | BBB | 150 | 160,410 | ||||||||||
| LA Env Facs—Westlake Chem Rmkt | 6.50 | % | 8/1/2029 | BBB | 640 | 704,218 | ||||||||||
| Nez Perce Co Poll Ctl—Potlatch | 6.00 | % | 10/1/2024 | BB+ | 120 | 120,007 | ||||||||||
| NYC Cap Res—Arthur Mgmt | 7.00 | % | 8/1/2025 | NR | 140 | 144,962 | ||||||||||
| Warren Co—Intl Paper | 5.80 | % | 5/1/2034 | BBB | 100 | 102,797 | ||||||||||
| Warren Co—Intl Paper | 6.50 | % | 9/1/2032 | BBB | 255 | 272,605 | ||||||||||
| Whiting Env Facs—BP Rmkt | 5.25 | % | 1/1/2021 | A | 1,545 | 1,801,485 | ||||||||||
| Total | 7,944,634 | |||||||||||||||
| Education 12.24% | ||||||||||||||||
| Allegheny Co Hi Ed—Duquesne Univ | 5.50 | % | 3/1/2029 | A2 | 140 | 152,226 | ||||||||||
| Bourbonnais Vlg Ind—Olivet Nazarene Univ | 5.50 | % | 11/1/2042 | BBB | 300 | 297,834 | ||||||||||
| CA Ed Facs—Santa Clara Univ | 5.50 | % | 4/1/2033 | Aa3 | 265 | 283,452 | ||||||||||
| CA Fin Auth—Emerson Clg | 6.00 | % | 1/1/2042 | BBB+ | 250 | 261,712 | ||||||||||
| CA Pub Wks—Regents UCal | 5.00 | % | 4/1/2034 | Aa2 | 170 | 175,265 | ||||||||||
| Dutchess Co LDC—Anderson Ctr | 6.00 | % | 10/1/2030 | BB+ | 100 | 98,432 | ||||||||||
| Fulton Co Dev—GA Tech Athletic Assoc | 5.75 | % | 10/1/2031 | A2 | 80 | 88,498 | ||||||||||
| Fulton Co Dev—Spelman Clg | 5.00 | % | 6/1/2026 | A1 | 175 | 186,480 | ||||||||||
| Fulton Co Dev—Tuff/Atlanta Hsg | 5.00 | % | 9/1/2032 | A+ | 775 | 798,963 | ||||||||||
| Gainesville Redev—Riverside Mil Admy | 5.125 | % | 3/1/2027 | BB+ | (d) | 1,000 | 942,070 | |||||||||
| IL Fin Auth—DePaul Univ | 6.00 | % | 10/1/2032 | A | 485 | 534,737 | ||||||||||
| IL Fin Auth—DePaul Univ | 6.125 | % | 10/1/2040 | A | 55 | 60,266 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2020 | Baa3 | 100 | 99,780 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2021 | Baa3 | 500 | 495,690 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2031 | Baa3 | 500 | 440,370 | ||||||||||
| LA PFA—Loyola Univ | 5.25 | % | 10/1/2029 | A+ | 680 | 741,071 | ||||||||||
| McAllister Academic Vlg—AZ State Univ | 5.25 | % | 7/1/2030 | AA- | 105 | 110,661 | ||||||||||
| MD Hlth & HI Ed—Loyola Univ | 5.00 | % | 10/1/2039 | A | 1,000 | 1,018,120 | ||||||||||
| Morgan State Univ | 5.00 | % | 7/1/2027 | Aa3 | 670 | 745,107 | ||||||||||
| Morgan State Univ | 5.00 | % | 7/1/2030 | Aa3 | 350 | 381,524 | ||||||||||
| Morgan State Univ | 5.00 | % | 7/1/2032 | Aa3 | 450 | 485,316 | ||||||||||
| NC Cap Facs—High Point Univ | 5.00 | % | 5/1/2025 | BBB+ | 1,075 | 1,092,576 | ||||||||||
| 62 | See Notes to Financial Statements. |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| NH Hlth & Ed—Sthrn NH Univ | 5.00 | % | 1/1/2019 | BBB | $ | 800 | $ | 848,728 | ||||||||
| NH Hlth & Ed—Sthrn NH Univ | 5.00 | % | 1/1/2027 | BBB | 250 | 250,483 | ||||||||||
| Niagara Area Dev Corp—Niagara Univ | 5.00 | % | 5/1/2030 | BBB+ | 750 | 760,942 | ||||||||||
| NJ Ed Facs—Kean Univ | 5.00 | % | 9/1/2024 | A2 | 350 | 386,652 | ||||||||||
| NJ Ed Facs—Kean Univ | 5.25 | % | 9/1/2029 | A2 | 160 | 173,496 | ||||||||||
| NJ Ed Facs—Univ Med & Dent | 6.50 | % | 12/1/2020 | NR | 555 | 700,238 | ||||||||||
| NY Dorm—Cornell Univ | 5.00 | % | 7/1/2034 | Aa1 | 250 | 259,195 | ||||||||||
| NY Dorm—New School | 5.50 | % | 7/1/2040 | A- | 400 | 417,576 | ||||||||||
| NY Dorm—NYU(c) | 5.00 | % | 7/1/2043 | AA- | 1,000 | 1,037,430 | ||||||||||
| Olmos Park Hi Ed—Univ Incarnate Word | 5.00 | % | 12/1/2021 | A3 | 1,000 | 1,132,950 | ||||||||||
| PA Hi Ed—La Salle Univ | 4.00 | % | 5/1/2032 | BBB | 1,085 | 931,060 | ||||||||||
| PA Hi Ed—St Josephs Univ | 5.00 | % | 11/1/2030 | A- | 795 | 822,245 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2022 | A- | 600 | 583,494 | ||||||||||
| Total | 17,794,639 | |||||||||||||||
| General Obligation 10.61% | ||||||||||||||||
| Atlantic City Brd Ed (AGM) | 6.00 | % | 4/1/2034 | AA- | 550 | 607,882 | ||||||||||
| CA State GO | 5.375 | % | 11/1/2035 | A1 | 400 | 430,536 | ||||||||||
| CA State GO | 5.50 | % | 3/1/2040 | A1 | 975 | 1,039,350 | ||||||||||
| CA State GO | 6.50 | % | 4/1/2033 | A1 | 300 | 356,334 | ||||||||||
| CA State GO (CIFG) | 4.50 | % | 8/1/2028 | A1 | 200 | 203,264 | ||||||||||
| Chabot/Las Positas CCD | 5.00 | % | 8/1/2022 | Aa3 | 1,000 | 1,177,830 | ||||||||||
| Chicago GO | 5.25 | % | 1/1/2027 | A+ | 250 | 252,630 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2024 | AA | 1,600 | 1,701,040 | ||||||||||
| Fraser Pub Sch Dist | 5.75 | % | 5/1/2033 | AA- | 400 | 433,124 | ||||||||||
| HI State GO | 5.00 | % | 12/1/2028 | AA | 1,000 | 1,104,890 | ||||||||||
| Hudson Co Impt Auth—Solid Waste GTD | 5.75 | % | 1/1/2035 | Aa3 | 225 | 246,553 | ||||||||||
| IL State GO | 5.00 | % | 8/1/2023 | A- | 450 | 479,466 | ||||||||||
| IL State GO | 5.00 | % | 1/1/2034 | A- | 770 | 732,293 | ||||||||||
| Kendall Kane & WIll Co CUSD #308 | 5.00 | % | 2/1/2029 | Aa2 | 1,000 | 1,062,920 | ||||||||||
| Los Alamitos USD | 5.50 | % | 8/1/2033 | AA | 150 | 165,764 | ||||||||||
| Oakland USD (NPFGC)(FGIC) | 5.00 | % | 8/1/2026 | A | 125 | 125,216 | ||||||||||
| PR Comwlth GO | 5.00 | % | 7/1/2031 | BBB- | 100 | 72,035 | ||||||||||
| PR Comwlth GO | 5.125 | % | 7/1/2037 | BBB- | 1,660 | 1,178,899 | ||||||||||
| PR Comwlth GO | 5.25 | % | 7/1/2030 | BBB- | 205 | 152,081 | ||||||||||
| PR Comwlth GO | 5.375 | % | 7/1/2030 | BBB- | 910 | 692,264 | ||||||||||
| PR Comwlth GO | 5.50 | % | 7/1/2031 | BBB- | 385 | 290,979 | ||||||||||
| PR Comwlth GO | 5.50 | % | 7/1/2032 | BBB- | 515 | 383,351 | ||||||||||
| See Notes to Financial Statements. | 63 |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| PR Pub Bldg Auth GTD | 6.00 | % | 7/1/2020 | BBB- | $ | 200 | $ | 171,112 | ||||||||
| PR Pub Bldg Auth GTD | 6.25 | % | 7/1/2026 | BBB- | 315 | 259,790 | ||||||||||
| PR Pub Bldg Auth GTD | 6.75 | % | 7/1/2036 | BBB- | 300 | 245,430 | ||||||||||
| St Pub SBA—Philadelphia Sch Dist | 5.00 | % | 4/1/2023 | Aa3 | 1,000 | 1,092,490 | ||||||||||
| Stockton USD (AGM) | 5.00 | % | 7/1/2028 | AA- | 750 | 779,557 | ||||||||||
| Total | 15,437,080 | |||||||||||||||
| Health Care 21.20% | ||||||||||||||||
| Abag Fin Auth—Eskaton Pptys | 5.00 | % | 11/15/2035 | BBB | 300 | 274,824 | ||||||||||
| Abag Fin Auth—Sharp Hlthcare | 5.00 | % | 8/1/2027 | A+ | 300 | 316,269 | ||||||||||
| Abag Fin Auth—Sharp Hlthcare | 5.00 | % | 8/1/2028 | A+ | 250 | 260,703 | ||||||||||
| Akron Bath Copley Hsp—Akron Gen | 5.00 | % | 1/1/2031 | BBB- | 750 | 735,502 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.875 | % | 11/15/2042 | NR | 250 | 215,493 | ||||||||||
| Athens Clarke Co Dev—Catholic Hlth E | 6.25 | % | 11/15/2032 | A+ | 690 | 778,092 | ||||||||||
| AZ Hlth Facs—Banner Hlth | 5.50 | % | 1/1/2038 | AA- | 1,245 | 1,298,871 | ||||||||||
| Butler Co Hsp Facs—Kettering Hlth | 5.00 | % | 4/1/2025 | A | 850 | 915,407 | ||||||||||
| CA Hlth—Sutter Hlth | 5.25 | % | 8/15/2031 | AA- | 700 | 743,470 | ||||||||||
| CA Hlth—Sutter Hlth | 5.50 | % | 8/15/2026 | AA- | 275 | 310,447 | ||||||||||
| CA Stwde—Catholic Hlthcare W | 5.50 | % | 7/1/2031 | A | 100 | 106,486 | ||||||||||
| CA Stwde—Catholic Hlthcare W | 5.625 | % | 7/1/2035 | A | 105 | 110,584 | ||||||||||
| CA Stwde—Eskaton Pptys | 5.25 | % | 11/15/2034 | BBB | 500 | 477,260 | ||||||||||
| CA Stwde—So Cal Presbyterian | 6.625 | % | 11/15/2024 | BBB- | 110 | 120,769 | ||||||||||
| CA Stwde—Terraces San Joaquin | 6.00 | % | 10/1/2042 | NR | 680 | 680,932 | ||||||||||
| CO Hlth Facs—Boulder Cmnty Hsp | 5.00 | % | 10/1/2032 | A | 280 | 283,438 | ||||||||||
| CO Hlth Facs—Catholic Hlth | 5.25 | % | 2/1/2031 | AA- | 750 | 798,067 | ||||||||||
| CO Hlth Facs—Catholic Hlth | 6.125 | % | 10/1/2028 | AA- | 155 | 176,387 | ||||||||||
| CO Hlth Facs—Evangelical Lutheran(c) | 5.625 | % | 6/1/2043 | A- | 250 | 251,368 | ||||||||||
| CT Hlth & Ed—Hartford Hlthcare | 5.00 | % | 7/1/2032 | A | 600 | 628,182 | ||||||||||
| CT Hlth & Ed—Yale New Haven Hsp | 5.75 | % | 7/1/2034 | Aa3 | 250 | 273,305 | ||||||||||
| Cumberland Co Mun Auth—Diakon Lutheran | 5.00 | % | 1/1/2036 | BBB+ | (d) | 100 | 96,989 | |||||||||
| Cumberland Co Mun Auth—Diakon Lutheran | 6.25 | % | 1/1/2024 | BBB+ | (d) | 130 | 142,162 | |||||||||
| Cumberland Mun Auth—Asbury | 5.25 | % | 1/1/2021 | NR | 140 | 146,038 | ||||||||||
| Cumberland Mun Auth—Asbury | 5.40 | % | 1/1/2022 | NR | 150 | 153,495 | ||||||||||
| DeKalb Co Hsp—Children’s Hlthcare | 5.00 | % | 11/15/2029 | AA | 530 | 554,968 | ||||||||||
| East Rochester Hsg—Woodland Vlg | 5.50 | % | 8/1/2033 | NR | 160 | 150,429 | ||||||||||
| Glynn Brunswick Mem Hsp—SE GA Hlth | 5.625 | % | 8/1/2034 | A2 | 260 | 274,859 | ||||||||||
| Howard Co Retmt Cmnty—Vantage House | 5.25 | % | 4/1/2037 | NR | 100 | 85,261 | ||||||||||
| IL Fin Auth—Friendship Vlg Shaumburg | 7.125 | % | 2/15/2039 | BB- | (d) | 210 | 211,733 | |||||||||
| 64 | See Notes to Financial Statements. |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| IL Fin Auth—Memorial Hlth Sys | 5.50 | % | 4/1/2034 | A+ | $ | 485 | $ | 502,407 | ||||||||
| IL Fin Auth—Northwestern Mem Hsp | 5.75 | % | 8/15/2030 | AA+ | 150 | 164,666 | ||||||||||
| IL Fin Auth—Rush Univ Med | 6.375 | % | 11/1/2027 | A | 315 | 357,953 | ||||||||||
| IL Fin Auth—Rush Univ Med | 6.375 | % | 11/1/2029 | A | 175 | 197,358 | ||||||||||
| IL Fin Auth—Rush Univ Med | 6.375 | % | 11/1/2029 | A | 35 | 39,472 | ||||||||||
| IL Fin Auth—Rush Univ Med | 7.25 | % | 11/1/2030 | A | 250 | 297,742 | ||||||||||
| IL Fin Auth—Rush Univ Med (NPFGC) | 5.25 | % | 11/1/2035 | A | 305 | 312,350 | ||||||||||
| IL Fin Auth—Univ of Chicago Med Ctr | 5.50 | % | 8/15/2036 | AA- | 195 | 207,425 | ||||||||||
| Lucas Co Hsp—ProMedica Hlthcare | 5.75 | % | 11/15/2031 | AA | 300 | 334,527 | ||||||||||
| MA Hlth & Ed—Catholic Hlth E | 6.25 | % | 11/15/2032 | A+ | 800 | 902,136 | ||||||||||
| Martin Co Hlth—Martin Mem Med | 5.50 | % | 11/15/2032 | Baa1 | 750 | 757,282 | ||||||||||
| Martin Hsp Dist | 7.25 | % | 4/1/2036 | BBB | (d) | 250 | 265,853 | |||||||||
| MD Hlth & Ed—Mercy Med Ctr | 6.25 | % | 7/1/2031 | BBB | 445 | 473,556 | ||||||||||
| ME Hlth & Hi Ed—Eastern ME Med | 5.00 | % | 7/1/2043 | Baa1 | 565 | 547,943 | ||||||||||
| ME Hlth & Hi Ed—MaineGeneral Hlth | 6.00 | % | 7/1/2026 | Ba1 | 620 | 664,287 | ||||||||||
| ME Hlth & Hi Ed—MaineGeneral Hlth | 6.75 | % | 7/1/2036 | Ba1 | 400 | 433,764 | ||||||||||
| MI Fin Auth—Trinity Hlth | 5.00 | % | 12/1/2035 | AA | 500 | 509,360 | ||||||||||
| MO Hlth & Ed—Cox Hlth | 5.50 | % | 11/15/2033 | A2 | 100 | 105,126 | ||||||||||
| Montgomery Co Hlth—Catholic Hlth E | 6.25 | % | 11/15/2034 | A+ | 105 | 115,389 | ||||||||||
| Montgomery Co IDA—Jefferson Hlth | 5.00 | % | 10/1/2027 | AA | 1,000 | 1,084,910 | ||||||||||
| Muskingum Co Hsp—Genesis Hlthcare | 5.00 | % | 2/15/2044 | BB+ | 450 | 359,509 | ||||||||||
| NH Hlth & Ed—Wentworth Douglass Hsp | 6.00 | % | 1/1/2034 | A | 100 | 108,342 | ||||||||||
| NJ EDA—Seashore Gardens | 5.375 | % | 11/1/2036 | NR | 250 | 212,385 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.625 | % | 7/1/2032 | BBB+ | 575 | 595,550 | ||||||||||
| NJ Hlth—St Josephs Hlth | 6.625 | % | 7/1/2038 | BBB- | 165 | 165,276 | ||||||||||
| NM Hsp—Gerald Champion Hsp | 5.50 | % | 7/1/2042 | B+ | 375 | 319,702 | ||||||||||
| NM Hsp—Haverland | 5.00 | % | 7/1/2042 | BBB-(d) | 250 | 212,313 | ||||||||||
| NY Dorm—NYU Hsps Ctr | 5.75 | % | 7/1/2031 | A- | 250 | 273,150 | ||||||||||
| Onondaga CDC—St Josephs Hsp | 5.00 | % | 7/1/2042 | BB+ | 335 | 290,164 | ||||||||||
| Pell City Spl Care Facs—Noland Hlth | 5.00 | % | 12/1/2031 | A | 1,190 | 1,201,840 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.50 | % | 7/1/2026 | BB+ | 500 | 501,125 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.50 | % | 7/1/2030 | BB+ | 1,040 | 953,566 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 8.00 | % | 12/1/2026 | BB | 950 | 1,126,367 | ||||||||||
| Univ Med Ctr Corp | 5.00 | % | 7/1/2020 | BBB+ | 1,395 | 1,528,446 | ||||||||||
| Upland COP—San Antonio Cmnty Hsp COP | 6.375 | % | 1/1/2032 | A | 140 | 157,167 | ||||||||||
| Westchester Co Hlth Care | 6.00 | % | 11/1/2030 | A3 | 150 | 165,894 | ||||||||||
| Westchester Co Hlth Care | 6.125 | % | 11/1/2037 | A3 | 275 | 300,946 | ||||||||||
| See Notes to Financial Statements. | 65 |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| WI Hlth & Ed—Aurora Hlth | 5.25 | % | 4/15/2035 | A3 | $ | 400 | $ | 399,992 | ||||||||
| WI Hlth & Ed—Aurora Hlth | 5.625 | % | 4/15/2039 | A3 | 155 | 162,096 | ||||||||||
| WI Hlth & Ed—Wheaton Franciscan Hlth | 5.25 | % | 8/15/2023 | A- | 350 | 355,274 | ||||||||||
| WI Hlth & Ed—Wheaton Franciscan Hlth | 5.25 | % | 8/15/2024 | A- | 430 | 434,184 | ||||||||||
| WI Hlth—Sauk-Prairie Mem Hsp | 5.375 | % | 2/1/2048 | Ba1 | 1,000 | 894,850 | ||||||||||
| Wood Co Hsp Facs—Wood Co Hsp | 5.00 | % | 12/1/2032 | Baa2 | 280 | 272,247 | ||||||||||
| Total | 30,835,681 | |||||||||||||||
| Housing 0.23% | ||||||||||||||||
| Alachua Co Hlth—Oak Hammock | 8.00 | % | 10/1/2042 | NR | 300 | 339,600 | ||||||||||
| Lease Obligations 8.77% | ||||||||||||||||
| CA Pub Wks—Dept Gen Svcs | 5.00 | % | 4/1/2030 | A2 | 130 | 134,337 | ||||||||||
| CA Pub Wks—Riverside Campus | 6.00 | % | 4/1/2027 | A2 | 250 | 289,515 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 10/1/2028 | A2 | 535 | 566,790 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.75 | % | 3/1/2030 | A2 | 300 | 331,740 | ||||||||||
| CA Pub Wks—Various Cap Proj | 6.625 | % | 11/1/2034 | A2 | 215 | 215,456 | ||||||||||
| Carrollton Payroll Dev—UWG Athletic | 6.25 | % | 6/15/2034 | A1 | 290 | 314,067 | ||||||||||
| Delano Earlimart Irrigation Dist COP | 5.00 | % | 2/1/2028 | AA- | 475 | 483,730 | ||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.00 | % | 5/1/2026 | AA- | 1,140 | 1,270,245 | ||||||||||
| Essex Co Impt Auth—Newark | 6.25 | % | 11/1/2030 | Baa1 | 250 | 264,155 | ||||||||||
| GA Hi Ed—USG Real Estate Fndtn | 6.00 | % | 6/15/2028 | A2 | 125 | 139,230 | ||||||||||
| Los Angeles USD | 5.00 | % | 10/1/2025 | A+ | 1,000 | 1,081,990 | ||||||||||
| McLennan Co PFC | 6.625 | % | 6/1/2035 | AA- | 555 | 593,922 | ||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.50 | % | 6/1/2021 | A+ | 650 | 732,602 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2023 | A+ | 1,500 | 1,695,330 | ||||||||||
| NJ EDA—Sch Facs | 5.875 | % | 12/15/2034 | A+ | 125 | 137,002 | ||||||||||
| NJ Hlth—Hsp Asset Trans | 5.00 | % | 10/1/2028 | A+ | 120 | 128,410 | ||||||||||
| North Hudson Sewerage Auth | 5.00 | % | 6/1/2024 | A- | 1,000 | 1,119,920 | ||||||||||
| NY Liberty Dev Corp—4 WTC | 5.00 | % | 11/15/2031 | A+ | 400 | 414,280 | ||||||||||
| Philadelphia Muni Auth | 6.375 | % | 4/1/2029 | A2 | 625 | 690,469 | ||||||||||
| Pima Co IDA—HQ Metro | 6.00 | % | 7/1/2041 | AA | 600 | 632,646 | ||||||||||
| San Diego PFA—Master Lease | 5.125 | % | 9/1/2030 | A+ | 1,000 | 1,034,930 | ||||||||||
| VA Transportation | 4.75 | % | 5/15/2035 | AA+ | 470 | 488,856 | ||||||||||
| Total | 12,759,622 | |||||||||||||||
| 66 | See Notes to Financial Statements. |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Other Revenue 6.83% | ||||||||||||||||
| Arlington Hi Ed Fin Corp—Arlington Classics | 7.65 | % | 8/15/2040 | BB | $ | 155 | $ | 163,337 | ||||||||
| Austin Convention† | 5.75 | % | 1/1/2034 | Ba2 | 590 | 589,941 | ||||||||||
| Austin Convention CR (BHAC)(XLCA) | 5.00 | % | 1/1/2034 | AA+ | 200 | 201,892 | ||||||||||
| Baltimore Conv Ctr—Hilton Hotel | 5.875 | % | 9/1/2039 | Ba2 | 250 | 235,890 | ||||||||||
| Baltimore Conv Ctr—Hilton Hotel (XLCA) | 5.25 | % | 9/1/2025 | BB+ | 595 | 588,747 | ||||||||||
| Baltimore Conv Ctr—Hilton Hotel (XLCA) | 5.25 | % | 9/1/2026 | BB+ | 100 | 97,525 | ||||||||||
| Brooklyn Arena LDC—Barclays Ctr | 6.00 | % | 7/15/2030 | BBB- | 25 | 26,373 | ||||||||||
| Brooklyn Arena LDC—Barclays Ctr | 6.25 | % | 7/15/2040 | BBB- | 605 | 634,657 | ||||||||||
| Childrens Trust Fund Tob Settlement | 5.625 | % | 5/15/2043 | Baa3 | 1,165 | 1,004,533 | ||||||||||
| Cleveland Arpt | 5.00 | % | 1/1/2029 | A- | 425 | 431,566 | ||||||||||
| Cleveland Arpt | 5.00 | % | 1/1/2030 | A- | 555 | 558,685 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 5.00 | % | 8/15/2042 | BBB | 275 | 244,681 | ||||||||||
| DC Rev—Brookings Institution | 5.75 | % | 10/1/2039 | Aa3 | 125 | 131,848 | ||||||||||
| DC Rev—Friendship Pub Chtr Sch | 5.00 | % | 6/1/2032 | BBB | 500 | 464,410 | ||||||||||
| DC Rev—KIPP Chtr Sch | 6.00 | % | 7/1/2043 | BBB+ | 300 | 308,886 | ||||||||||
| DC Rev—KIPP Chtr Sch | 6.00 | % | 7/1/2048 | BBB+ | 200 | 203,968 | ||||||||||
| DC Rev—Natl Pub Radio | 5.00 | % | 4/1/2035 | AA- | 130 | 134,142 | ||||||||||
| FL DFC—Renaissance Chtr Sch | 7.625 | % | 6/15/2041 | BB- | (d) | 500 | 515,285 | |||||||||
| Houston Hi Ed—Cosmos Fndtn | 5.875 | % | 5/15/2021 | BBB | 230 | 245,454 | ||||||||||
| La Paz Co IDA—Imperial Regl Jail | 7.80 | % | 10/1/2039 | NR | 500 | 496,145 | ||||||||||
| La Vernia Hi Ed—Life Schools of Dallas | 7.25 | % | 8/15/2031 | BBB- | 250 | 279,635 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.00 | % | 12/1/2031 | NR | 100 | 59,776 | ||||||||||
| North TX Edu Fin Corp—Uplift Education | 4.875 | % | 12/1/2032 | BBB- | 400 | 358,360 | ||||||||||
| NYC Cultural—Whitney Museum | 5.25 | % | 7/1/2026 | A | 500 | 547,830 | ||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2036 | Ba1 | 950 | 853,423 | ||||||||||
| Philadelphia IDA—Please Touch Museum(e) | 5.25 | % | 9/1/2036 | CC | 150 | 90,228 | ||||||||||
| TX PFA—Cosmos Fndtn | 5.375 | % | 2/15/2037 | BBB | 500 | 465,110 | ||||||||||
| Total | 9,932,327 | |||||||||||||||
| Special Tax 2.11% | ||||||||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2027 | Baa2 | 250 | 247,080 | ||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2032 | Baa2 | 325 | 301,935 | ||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2035 | Baa2 | 300 | 273,408 | ||||||||||
| Hesperia Pub Fin Auth (XLCA) | 5.00 | % | 9/1/2031 | NR | 315 | 282,605 | ||||||||||
| Hesperia Pub Fin Auth (XLCA) | 5.00 | % | 9/1/2037 | NR | 175 | 151,723 | ||||||||||
| Lancaster Redev | 6.00 | % | 8/1/2024 | BBB | 250 | 263,128 | ||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2018 | Ba1 | 200 | 206,016 | ||||||||||
| San Jose Spl Tax—Conv Ctr | 5.50 | % | 5/1/2024 | A2 | 460 | 514,588 | ||||||||||
| See Notes to Financial Statements. | 67 |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Special Tax (continued) | ||||||||||||||||
| Village CDD #10 | 4.50 | % | 5/1/2023 | NR | $ | 865 | $ | 833,826 | ||||||||
| Total | 3,074,309 | |||||||||||||||
| Tax Revenue 3.76% | ||||||||||||||||
| AZ Sports & Tourism Auth—Stadium | 5.00 | % | 7/1/2028 | A1 | 1,000 | 1,057,980 | ||||||||||
| Hudson Yards | 5.75 | % | 2/15/2047 | A | 900 | 954,189 | ||||||||||
| IL Sales Tax (NPFGC)(FGIC) | 6.00 | % | 6/15/2024 | AAA | 220 | 267,185 | ||||||||||
| MTA NY—Dedicated Tax | 5.50 | % | 11/15/2039 | AA | 200 | 209,972 | ||||||||||
| PR Corp Sales Tax | 5.25 | % | 8/1/2041 | A+ | 1,000 | 762,050 | ||||||||||
| Regional Trsp Auth (NPFGC)(FGIC) | 5.50 | % | 7/1/2022 | AA | 160 | 187,867 | ||||||||||
| San Jose Spl Tax—Conv Ctr | 5.50 | % | 5/1/2026 | A2 | 175 | 190,934 | ||||||||||
| San Jose Spl Tax—Conv Ctr | 6.50 | % | 5/1/2036 | A2 | 530 | 592,715 | ||||||||||
| Sonoma Marin Area Rail Rmkt | 5.00 | % | 3/1/2028 | AA | 510 | 553,692 | ||||||||||
| Virgin Islands PFA—Matching Fund | 5.00 | % | 10/1/2025 | Baa2 | 215 | 222,041 | ||||||||||
| Virgin Islands PFA—Matching Fund | 5.25 | % | 10/1/2029 | Baa2 | 180 | 183,053 | ||||||||||
| Yorba Linda Redev Agy | 6.50 | % | 9/1/2032 | A- | 250 | 284,385 | ||||||||||
| Total | 5,466,063 | |||||||||||||||
| Tobacco 4.81% | ||||||||||||||||
| Buckeye Tobacco | 5.125 | % | 6/1/2024 | B- | 1,350 | 1,151,023 | ||||||||||
| Golden St Tobacco (FGIC) | 5.00 | % | 6/1/2035 | A2 | 690 | 683,645 | ||||||||||
| Golden St Tobacco (FGIC) | 5.00 | % | 6/1/2038 | A2 | 375 | 370,781 | ||||||||||
| MI Tob Settlement | 5.125 | % | 6/1/2022 | B- | 725 | 619,991 | ||||||||||
| Nthrn CA Tobacco | 5.50 | % | 6/1/2045 | B- | 1,000 | 756,260 | ||||||||||
| Railsplitter Tobacco Settlement Auth | 6.00 | % | 6/1/2028 | A- | 1,060 | 1,130,861 | ||||||||||
| SD Edu Enhancement Fding Corp | 5.00 | % | 6/1/2026 | A- | 250 | 260,288 | ||||||||||
| Tobacco Settlement Auth IA | 5.625 | % | 6/1/2046 | B+ | 100 | 80,285 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2019 | Baa1 | 75 | 81,409 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2029 | B2 | 425 | 361,786 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2047 | B2 | 830 | 535,516 | ||||||||||
| TSASC | 5.00 | % | 6/1/2026 | B+ | 680 | 604,146 | ||||||||||
| TSASC | 5.00 | % | 6/1/2034 | B | 455 | 355,919 | ||||||||||
| Total | 6,991,910 | |||||||||||||||
| Transportation 9.62% | ||||||||||||||||
| Atlanta Airport | 5.25 | % | 1/1/2030 | A1 | 575 | 616,791 | ||||||||||
| Charlotte Airport | 5.00 | % | 7/1/2033 | Aa3 | 575 | 598,931 | ||||||||||
| Chicago O’Hare Arpt | 5.00 | % | 1/1/2035 | A2 | 940 | 939,925 | ||||||||||
| 68 | See Notes to Financial Statements. |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| Chicago O’Hare Arpt | 5.50 | % | 1/1/2031 | A2 | $ | 90 | $ | 93,587 | ||||||||
| Chicago O’Hare Arpt (NPFGC) | 5.00 | % | 1/1/2030 | A | 100 | 103,190 | ||||||||||
| Chicago O’Hare Arpt (XLCA) | 5.25 | % | 1/1/2034 | A2 | 200 | 201,202 | ||||||||||
| Denver City & Co Arpt | 5.00 | % | 11/15/2023 | A+ | 500 | 577,240 | ||||||||||
| FL Tpk Auth—Dept Trans | 5.00 | % | 7/1/2034 | AA- | 500 | 536,775 | ||||||||||
| Foothill / Eastern Corridor Toll Rd | 5.75 | % | 1/15/2040 | BBB- | 500 | 485,450 | ||||||||||
| Foothill / Eastern Corridor Toll Rd (NPFGC)(IBC) | Zero Coupon | 1/15/2030 | A | 350 | 118,367 | |||||||||||
| Foothill / Eastern Corridor Toll Rd (NPFGC)(IBC) | Zero Coupon | 1/15/2031 | A | 255 | 79,879 | |||||||||||
| Los Angeles Dept Arpts—LAX | 5.00 | % | 5/15/2035 | AA- | 645 | 667,723 | ||||||||||
| Met DC Airport | 5.00 | % | 10/1/2035 | AA- | 205 | 217,015 | ||||||||||
| Miami Dade Co Aviation—MIA | 5.50 | % | 10/1/2029 | A | 490 | 526,417 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2038 | A | 1,050 | 1,068,301 | ||||||||||
| MTA NY—Dedicated Tax | 5.25 | % | 11/15/2029 | AA | 525 | 566,475 | ||||||||||
| NJ Trans Trust Fund | 5.75 | % | 12/15/2031 | A+ | 350 | 384,507 | ||||||||||
| NJ Trans Trust Fund | 6.00 | % | 6/15/2035 | A+ | 180 | 203,261 | ||||||||||
| North TX Twy Auth | 5.75 | % | 1/1/2033 | A3 | 200 | 210,810 | ||||||||||
| North TX Twy Auth | 6.00 | % | 1/1/2043 | A2 | 775 | 840,146 | ||||||||||
| PA Tpk Commn | 5.00 | % | 12/1/2022 | A- | 1,000 | 1,136,800 | ||||||||||
| PA Tpk Commn | 5.50 | % | 6/1/2033 | A- | 185 | 194,753 | ||||||||||
| PR Hwy & Trans Auth | 5.50 | % | 7/1/2021 | BBB | 1,660 | 1,388,026 | ||||||||||
| Regional Trans Dist—Denver Trans | 5.375 | % | 1/15/2025 | Baa3 | 85 | 86,856 | ||||||||||
| Regional Trans Dist—Denver Trans | 5.375 | % | 7/15/2025 | Baa3 | 770 | 786,817 | ||||||||||
| Regional Trans Dist—Denver Trans | 6.00 | % | 1/15/2026 | Baa3 | 120 | 125,696 | ||||||||||
| Regional Trans Dist—Denver Trans | 6.00 | % | 1/15/2034 | Baa3 | 185 | 187,653 | ||||||||||
| Regional Trans Dist COP | 5.375 | % | 6/1/2031 | Aa3 | 485 | 512,878 | ||||||||||
| San Antonio Arpt (AGM) | 5.00 | % | 7/1/2026 | AA- | 495 | 537,689 | ||||||||||
| Total | 13,993,160 | |||||||||||||||
| Utilities 12.66% | ||||||||||||||||
| Adelanto Util Sys | 6.00 | % | 7/1/2024 | NR | 200 | 208,544 | ||||||||||
| Adelanto Util Sys | 6.625 | % | 7/1/2031 | NR | 100 | 105,065 | ||||||||||
| Amr Muni Pwr—Fremont Energy | 5.00 | % | 2/15/2025 | A1 | 1,000 | 1,089,760 | ||||||||||
| Central Plains—Goldman Sachs | 5.00 | % | 9/1/2032 | A- | 1,000 | 989,110 | ||||||||||
| Colorado Springs Utilities | 5.25 | % | 11/15/2033 | AA | 150 | 166,404 | ||||||||||
| CT Muni Elec | 5.00 | % | 1/1/2026 | Aa3 | 1,000 | 1,110,870 | ||||||||||
| CT Muni Elec | 5.00 | % | 1/1/2027 | Aa3 | 1,000 | 1,099,300 | ||||||||||
| See Notes to Financial Statements. | 69 |
Schedule of Investments (continued)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| Detroit Water (AGM) | 4.625 | % | 7/1/2032 | AA- | $ | 130 | $ | 114,980 | ||||||||
| Detroit Water (NPFGC)(FGIC) | 4.50 | % | 7/1/2031 | A | 150 | 131,428 | ||||||||||
| Detroit Water Rmkt (AGM) | 6.25 | % | 7/1/2036 | AA- | 55 | 55,786 | ||||||||||
| FL Muni Pwr Agy | 5.00 | % | 10/1/2026 | A2 | 700 | 783,860 | ||||||||||
| Gainesville Utility | 5.25 | % | 10/1/2034 | AA | 150 | 158,808 | ||||||||||
| IN Fin Auth—Ohio Vly Elec | 5.00 | % | 6/1/2032 | BBB- | 500 | 475,500 | ||||||||||
| Long Island Power Auth | 5.00 | % | 9/1/2026 | A- | 510 | 542,783 | ||||||||||
| Maricopa Co Poll Ctl—So Cal Edison Rmkt | 5.00 | % | 6/1/2035 | A1 | 535 | 549,290 | ||||||||||
| North Sumter Co Util Dep Dist | 5.375 | % | 10/1/2030 | BBB+ | 200 | 208,210 | ||||||||||
| NY Env Facs—Clean Wtr & Drinking | 5.125 | % | 6/15/2038 | AAA | 500 | 530,220 | ||||||||||
| OH Air Quality—Ohio Vly Elec | 5.625 | % | 10/1/2019 | BBB- | 425 | 461,486 | ||||||||||
| Pima Co IDA—Tucson Elec | 4.95 | % | 10/1/2020 | BBB | 320 | 339,792 | ||||||||||
| PR Aqueduct & Swr Auth | 6.125 | % | 7/1/2024 | BB+ | 590 | 509,247 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2028 | BBB | 270 | 203,440 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2029 | BBB | 750 | 556,980 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2027 | BBB | 950 | 720,062 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2027 | BBB | 450 | 341,082 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2028 | BBB | 850 | 655,732 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2033 | BBB | 425 | 323,667 | ||||||||||
| PR Elec Pwr Auth | 6.75 | % | 7/1/2036 | BBB | 1,000 | 818,100 | ||||||||||
| Rowland Water Dist COP | 6.50 | % | 12/1/2035 | AA- | 100 | 113,744 | ||||||||||
| Salt Verde Fin Corp—Citi | 5.25 | % | 12/1/2026 | A- | 730 | 773,450 | ||||||||||
| TEAC—Goldman Sachs | 5.00 | % | 2/1/2027 | BBB | 1,445 | 1,463,164 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2029 | A3 | 1,000 | 976,070 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2032 | A3 | 1,000 | 950,180 | ||||||||||
| TX Muni Gas Acq & Supply—ML | 5.25 | % | 12/15/2022 | A- | 800 | 878,880 | ||||||||||
| Total | 18,404,994 | |||||||||||||||
| Total Investments in Municipal Bonds 98.30% (cost $147,486,384) | 142,974,019 | |||||||||||||||
| Cash and Other Assets in Excess of Liabilities 1.70% | 2,466,386 | |||||||||||||||
| Net Assets 100.00% | $ | 145,440,405 | ||||||||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
| 70 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
AMT FREE MUNICIPAL BOND FUND September 30, 2013
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s investments carried at fair value(1):
| Investment Type(2)(3) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 142,974,019 | $ | — | $ | 142,974,019 | ||||||||
| Total | $ | — | $ | 142,974,019 | $ | — | $ | 142,974,019 | ||||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. |
| (3) | There were no level transfers during the fiscal year ended September 30, 2013. |
| See Notes to Financial Statements. | 71 |
Schedule of Investments
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 102.24% | ||||||||||||||||
| Corporate-Backed 4.05% | ||||||||||||||||
| Broward Co Fuel Sys AMT (AGM) | 5.00 | % | 4/1/2033 | AA- | $ | 740 | $ | 740,000 | ||||||||
| Broward Co Fuel Sys AMT (AGM) | 5.00 | % | 4/1/2038 | AA- | 2,815 | 2,707,354 | ||||||||||
| Citizens Property Insurance Corp | 5.00 | % | 6/1/2020 | A+ | 5,210 | 5,895,167 | ||||||||||
| Clayton Co SFR—Delta Airlines AMT | 9.00 | % | 6/1/2035 | B | 3,575 | 3,859,177 | ||||||||||
| Columbus Co Ind Facs—Intl Paper | 5.70 | % | 5/1/2034 | BBB | 2,000 | 2,044,960 | ||||||||||
| Gloucester Co Impt Auth—Waste Mgmt AMT | 2.50 | % | 12/1/2029 | BBB | 1,125 | 1,114,864 | ||||||||||
| IL Fin Auth—Leafs Hockey Club(e) | 6.00 | % | 3/1/2037 | NR | 1,550 | 527,000 | ||||||||||
| IL Fin Auth—United Sports/ Barrington†(e) | 6.25 | % | 10/1/2037 | NR | 2,000 | 360,000 | ||||||||||
| LA Citizens Property Insurance Corp (AMBAC) | 5.00 | % | 6/1/2021 | A- | 1,580 | 1,698,374 | ||||||||||
| LA Env Facs—Westlake Chem | 6.75 | % | 11/1/2032 | BBB | 7,650 | 8,034,489 | ||||||||||
| Love Field Arpt—Southwest Airlines AMT | 5.00 | % | 11/1/2028 | BBB- | 1,425 | 1,418,972 | ||||||||||
| MA DFA—Waste Mgmt AMT | 2.125 | % | 12/1/2029 | BBB | 1,500 | 1,509,000 | ||||||||||
| MA Port Auth—Delta Airlines AMT (AMBAC) | 5.50 | % | 1/1/2019 | NR | 1,495 | 1,495,568 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.00 | % | 12/1/2016 | NR | 855 | 589,736 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.50 | % | 6/1/2033 | B | 3,765 | 3,447,573 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.75 | % | 9/15/2027 | B | 5,000 | 4,841,550 | ||||||||||
| NYC Cap Res—Arthur Mgmt | 7.00 | % | 8/1/2025 | NR | 8,745 | 9,054,923 | ||||||||||
| Onondaga Co IDA—Bristol Meyers AMT | 5.75 | % | 3/1/2024 | A+ | 2,000 | 2,368,620 | ||||||||||
| PA Econ Dev—US Airways | 7.50 | % | 5/1/2020 | B- | 1,500 | 1,602,255 | ||||||||||
| PA Econ Dev—US Airways | 8.00 | % | 5/1/2029 | B- | 1,475 | 1,654,537 | ||||||||||
| PR Ports Auth—American Airlines AMT(e) | 6.25 | % | 6/1/2026 | NR | 5,715 | 6,055,271 | ||||||||||
| Selma IDB—Intl Paper | 6.25 | % | 11/1/2033 | BBB | 2,500 | 2,675,425 | ||||||||||
| West Pace Coop Dist | 9.125 | % | 5/1/2039 | NR | 4,955 | 4,477,140 | ||||||||||
| WI PFA—TRIPS AMT | 5.00 | % | 7/1/2042 | BBB- | 2,000 | 1,663,380 | ||||||||||
| Total | 69,835,335 | |||||||||||||||
| Education 7.06% | ||||||||||||||||
| Athens Clarke Ed—Ugaref Cent Precinct | 5.00 | % | 6/15/2031 | Aa2 | 2,500 | 2,606,000 | ||||||||||
| Athens Clarke Ed—Ugaref O’Malleys Bldg | 5.00 | % | 6/15/2028 | Aa2 | 2,000 | 2,165,520 | ||||||||||
| Bourbonnais Vlg Ind—Olivet Nazarene Univ | 5.50 | % | 11/1/2042 | BBB | 1,700 | 1,687,726 | ||||||||||
| Bulloch Co Dev—GA So Univ Hsg (AG) | 5.25 | % | 7/1/2028 | A1 | 2,465 | 2,630,820 | ||||||||||
| CA Fin Auth—Biola Univ | 5.80 | % | 10/1/2028 | Baa1 | 1,000 | 1,061,130 | ||||||||||
| CA Fin Auth—Emerson Clg | 6.00 | % | 1/1/2042 | BBB+ | 1,875 | 1,962,844 | ||||||||||
| CA Stwde—Windrush Sch(e) | 5.50 | % | 7/1/2037 | NR | 1,000 | 10 | ||||||||||
| CT Hlth & Ed—Quinnipiac Univ (NPFGC) | 5.00 | % | 7/1/2026 | A | 3,000 | 3,195,540 | ||||||||||
| 72 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| Detroit Mich City Sch Dist | 5.00 | % | 5/1/2029 | Aa2 | $ | 4,000 | $ | 3,978,440 | ||||||||
| Detroit Mich City Sch Dist | 5.00 | % | 5/1/2033 | Aa2 | 4,385 | 4,241,303 | ||||||||||
| Dutchess Co LDC—Anderson Ctr | 6.00 | % | 10/1/2030 | BB+ | 1,000 | 984,320 | ||||||||||
| East Hempfield Twp IDA—Millersville Univ | 5.00 | % | 7/1/2045 | BBB- | 1,500 | 1,328,640 | ||||||||||
| Gainesville Redev—Riverside Mil Admy | 5.125 | % | 3/1/2027 | BB+ | (d) | 4,575 | 4,309,970 | |||||||||
| Hale Ctr—Wayland Baptist Univ | 5.00 | % | 3/1/2035 | A- | 6,300 | 6,357,960 | ||||||||||
| Harrisburg Auth—Univ of Science(e) | 6.00 | % | 9/1/2036 | NR | 4,000 | 2,346,800 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2019 | Baa3 | 1,000 | 1,003,020 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2020 | Baa3 | 1,900 | 1,895,820 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 6.25 | % | 2/1/2019 | Baa3 | 2,635 | 2,796,921 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 7.125 | % | 2/1/2034 | Baa3 | 1,000 | 1,055,660 | ||||||||||
| IL Fin Auth—Univ of Chicago | 5.75 | % | 7/1/2033 | Aa1 | 4,300 | 4,715,380 | ||||||||||
| IN Fin Auth—Earlham Clg | 5.00 | % | 10/1/2042 | A1 | 6,470 | 6,430,727 | ||||||||||
| Louisville/Jeff Co Met Clg—Bellarmine | 6.00 | % | 5/1/2038 | Baa3 | 2,500 | 2,573,250 | ||||||||||
| MA DFA—Wheelock Clg | 5.25 | % | 10/1/2037 | BBB | 5,000 | 5,005,350 | ||||||||||
| Marietta Dev Auth—Life Univ | 7.00 | % | 6/15/2030 | Ba3 | 5,000 | 5,127,600 | ||||||||||
| Marietta Dev Auth—Life Univ | 7.00 | % | 6/15/2039 | Ba3 | 2,000 | 2,042,920 | ||||||||||
| MD Hlth & HI Ed—Loyola Univ | 5.00 | % | 10/1/2039 | A | 1,000 | 1,018,120 | ||||||||||
| MD Hlth & Hi Ed—Wash Christian Admy(e) | 5.50 | % | 7/1/2038 | NR | 2,200 | 638,000 | ||||||||||
| MI Hi Ed—Creative Studies | 5.875 | % | 12/1/2028 | Baa3 | 2,365 | 2,463,266 | ||||||||||
| NC Cap Facs—High Point Univ | 4.375 | % | 5/1/2034 | BBB+ | 1,000 | 882,630 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2026 | A+ | 3,325 | 3,619,828 | ||||||||||
| NY Dorm—NYU(c) | 5.00 | % | 7/1/2030 | AA- | 2,155 | 2,338,240 | ||||||||||
| NY Dorm—NYU(c) | 5.00 | % | 7/1/2031 | AA- | 4,215 | 4,545,077 | ||||||||||
| NY Dorm—NYU(c) | 5.00 | % | 7/1/2043 | AA- | 2,650 | 2,749,189 | ||||||||||
| NY Dorm—Rochester Inst Tech | 6.25 | % | 7/1/2029 | A1 | 5,000 | 6,140,250 | ||||||||||
| NY Dorm—SUNY | 5.00 | % | 7/1/2035 | Aa2 | 2,100 | 2,197,230 | ||||||||||
| NY Dorm—SUNY | 5.00 | % | 7/1/2038 | Aa3 | 5,000 | 5,123,700 | ||||||||||
| Olmos Park Hi Ed—Univ Incarnate Word | 5.00 | % | 12/1/2021 | A3 | 1,780 | 2,016,651 | ||||||||||
| Olmos Park Hi Ed—Univ Incarnate Word | 5.00 | % | 12/1/2022 | A3 | 1,950 | 2,210,169 | ||||||||||
| Olmos Park Hi Ed—Univ Incarnate Word | 5.00 | % | 12/1/2023 | A3 | 1,285 | 1,438,108 | ||||||||||
| PA Hi Ed—Drexel Univ | 5.00 | % | 5/1/2031 | A | 4,645 | 4,819,745 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2021 | A- | 700 | 690,039 | ||||||||||
| PR Indl Tourist—Inter American Univ | 5.00 | % | 10/1/2031 | A- | 500 | 410,980 | ||||||||||
| Quad Cities Regl Econ Dev—Augustana Clg | 5.00 | % | 10/1/2023 | Baa1 | 590 | 600,260 | ||||||||||
| Quad Cities Regl Econ Dev—Augustana Clg | 5.00 | % | 10/1/2024 | Baa1 | 550 | 555,956 | ||||||||||
| Quad Cities Regl Econ Dev—Augustana Clg | 5.00 | % | 10/1/2027 | Baa1 | 900 | 891,963 | ||||||||||
| See Notes to Financial Statements. | 73 |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| Univ of Arkansas | 5.00 | % | 11/1/2026 | Aa2 | $ | 1,655 | $ | 1,859,757 | ||||||||
| Univ of Arkansas | 5.00 | % | 11/1/2027 | Aa2 | 1,000 | 1,108,500 | ||||||||||
| Univ of Hawaii | 6.00 | % | 10/1/2038 | Aa2 | 1,750 | 1,941,800 | ||||||||||
| Total | 121,763,129 | |||||||||||||||
| General Obligation 13.64% | ||||||||||||||||
| Bellwood GO | 6.15 | % | 12/1/2032 | NR | 2,765 | 2,470,693 | ||||||||||
| CA State GO | 5.00 | % | 2/1/2033 | A1 | 15,035 | 15,732,173 | ||||||||||
| CA State GO | 5.25 | % | 9/1/2024 | A1 | 15,000 | 17,201,400 | ||||||||||
| CA State GO | 5.50 | % | 3/1/2040 | A1 | 9,250 | 9,860,500 | ||||||||||
| CA State GO | 5.60 | % | 3/1/2036 | A1 | 7,330 | 7,914,054 | ||||||||||
| CA State GO | 6.50 | % | 4/1/2033 | A1 | 13,400 | 15,916,252 | ||||||||||
| Central USD (AG) | 5.625 | % | 8/1/2033 | AA- | 2,360 | 2,546,015 | ||||||||||
| Chabot/Las Positas CCD | 5.00 | % | 8/1/2022 | Aa3 | 1,795 | 2,114,205 | ||||||||||
| Colton Jt USD | 5.00 | % | 8/1/2026 | AA- | 1,000 | 1,101,910 | ||||||||||
| Cook Co GO | 5.00 | % | 11/15/2024 | AA | 10,000 | 10,631,500 | ||||||||||
| CT State GO(b) | 5.00 | % | 11/1/2027 | AA | 10,000 | 11,158,800 | ||||||||||
| CT State GO(b) | 5.00 | % | 11/1/2028 | AA | 10,000 | 11,158,800 | ||||||||||
| Guam GO | 7.00 | % | 11/15/2039 | B+ | 2,240 | 2,376,573 | ||||||||||
| HI St Ser DZ(b) | 5.00 | % | 12/1/2027 | AA | 10,000 | 11,171,550 | ||||||||||
| IL State GO | 5.00 | % | 8/1/2023 | A- | 8,000 | 8,523,840 | ||||||||||
| IL State GO | 5.00 | % | 3/1/2030 | A- | 11,500 | 11,185,820 | ||||||||||
| IL State GO | 5.00 | % | 3/1/2031 | A- | 4,750 | 4,599,520 | ||||||||||
| Maricopa Co Elem Sch Dist #33 | 5.70 | % | 7/1/2025 | A1 | 2,385 | 2,562,730 | ||||||||||
| Midlothian Water Dist (AGM) | Zero Coupon | 9/1/2022 | AA- | 2,000 | 1,505,880 | |||||||||||
| Northern Mariana Islands Comwlth | 5.00 | % | 6/1/2030 | NR | 5,310 | 3,988,447 | ||||||||||
| NYC GO | 5.00 | % | 10/1/2026 | AA | 26,860 | 29,786,666 | ||||||||||
| NYC GO | 6.25 | % | 10/15/2028 | AA | 5,000 | 5,855,750 | ||||||||||
| Philadelphia GO (AGM) | 5.25 | % | 12/15/2027 | AA- | 2,500 | 2,657,325 | ||||||||||
| Port Houston Auth AMT | 6.25 | % | 10/1/2029 | AAA | 1,000 | 1,113,870 | ||||||||||
| PR Comwlth GO | 5.125 | % | 7/1/2037 | BBB- | 360 | 255,665 | ||||||||||
| PR Comwlth GO | 5.50 | % | 7/1/2039 | BBB- | 1,165 | 787,657 | ||||||||||
| PR Comwlth GO | 6.00 | % | 7/1/2039 | BBB- | 5,000 | 3,616,800 | ||||||||||
| PR Pub Bldg Auth GTD | 5.25 | % | 7/1/2042 | BBB- | 13,250 | 8,944,015 | ||||||||||
| San Diego USD | 5.00 | % | 7/1/2027 | AA- | 3,295 | 3,702,822 | ||||||||||
| San Diego USD | 5.00 | % | 7/1/2035 | AA- | 8,000 | 8,434,960 | ||||||||||
| St Pub SBA—Philadelphia Sch Dist | 5.00 | % | 4/1/2021 | Aa3 | 2,250 | 2,484,833 | ||||||||||
| St Pub SBA—Philadelphia Sch Dist | 5.00 | % | 4/1/2022 | Aa3 | 2,250 | 2,478,780 | ||||||||||
| 74 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| St Pub SBA—Philadelphia Sch Dist | 5.00 | % | 4/1/2023 | Aa3 | $ | 3,250 | $ | 3,550,592 | ||||||||
| Stockton USD (AGM) | 5.00 | % | 7/1/2023 | AA- | 1,300 | 1,426,217 | ||||||||||
| Stockton USD (AGM) | 5.00 | % | 7/1/2024 | AA- | 1,335 | 1,447,994 | ||||||||||
| Stockton USD (AGM) | 5.00 | % | 7/1/2026 | AA- | 1,110 | 1,176,023 | ||||||||||
| Union Co Util Auth—Covanta GTD AMT | 4.75 | % | 12/1/2031 | AA+ | 4,000 | 3,929,080 | ||||||||||
| Total | 235,369,711 | |||||||||||||||
| Health Care 19.32% | ||||||||||||||||
| Abag Fin Auth—Episcopal Senior | 5.00 | % | 7/1/2042 | BBB | 2,775 | 2,431,011 | ||||||||||
| Abag Fin Auth—Eskaton Pptys | 5.00 | % | 11/15/2035 | BBB | 2,600 | 2,381,808 | ||||||||||
| Akron Bath Copley Hsp—Akron Gen | 5.00 | % | 1/1/2031 | BBB- | 5,250 | 5,148,517 | ||||||||||
| Alachua Co Hlth—Bonita Springs | 8.125 | % | 11/15/2046 | NR | 5,000 | 5,356,000 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.875 | % | 11/15/2036 | NR | 2,500 | 2,211,050 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.875 | % | 11/15/2042 | NR | 3,250 | 2,801,403 | ||||||||||
| Allen Co Hsp—Catholic Hlth Ptnrs | 5.00 | % | 5/1/2033 | AA- | 12,000 | 12,268,320 | ||||||||||
| AZ Hlth Facs—Phoenix Childrens Hsp | 5.00 | % | 2/1/2034 | BBB+ | 3,150 | 2,962,103 | ||||||||||
| Brevard Co Hlth—Health First | 7.00 | % | 4/1/2033 | A- | 1,000 | 1,149,320 | ||||||||||
| Butler Hlth Sys Hsp | 7.125 | % | 7/1/2029 | Baa1 | 1,500 | 1,767,810 | ||||||||||
| Butler Hlth Sys Hsp | 7.25 | % | 7/1/2039 | Baa1 | 3,600 | 4,160,916 | ||||||||||
| CA Hlth—Adventist Hlth W | 4.00 | % | 3/1/2033 | A | 1,805 | 1,594,573 | ||||||||||
| CA Hlth—City of Hope | 5.00 | % | 11/15/2024 | A+ | 1,600 | 1,809,904 | ||||||||||
| CA Hlth—City of Hope | 5.00 | % | 11/15/2025 | A+ | 1,135 | 1,264,992 | ||||||||||
| CA Hlth—City of Hope | 5.00 | % | 11/15/2026 | A+ | 2,350 | 2,563,592 | ||||||||||
| CA Hlth—Providence Hlth | 6.25 | % | 10/1/2024 | AA | 2,000 | 2,345,980 | ||||||||||
| CA Hlth—Sutter Hlth | 5.25 | % | 8/15/2031 | AA- | 4,500 | 4,779,450 | ||||||||||
| CA Stwde—Eskaton Pptys | 5.25 | % | 11/15/2034 | BBB | 1,375 | 1,312,465 | ||||||||||
| Cass Co—Essentia Hlth Rmkt (AG) | 5.125 | % | 2/15/2037 | AA- | 5,000 | 5,121,000 | ||||||||||
| Chautauqua Co—Woman’s Christian Assn | 8.00 | % | 11/15/2030 | NR | 7,000 | 7,291,200 | ||||||||||
| Chautauqua Co—Woman’s Christian Assn | 8.00 | % | 11/15/2035 | NR | 1,625 | 1,685,661 | ||||||||||
| CO Hlth Facs—Evangelical Lutheran(c) | 5.625 | % | 6/1/2043 | A- | 2,100 | 2,111,487 | ||||||||||
| Cumberland Co Mun Auth—Diakon Lutheran | 5.00 | % | 1/1/2036 | BBB+ | (d) | 500 | 484,945 | |||||||||
| Cumberland Co Mun Auth—Diakon Lutheran | 6.125 | % | 1/1/2029 | BBB+ | (d) | 1,000 | 1,061,650 | |||||||||
| Delaware Co Hsp Auth—Cardinal Hlth | 5.00 | % | 8/1/2024 | A3 | 2,000 | 2,059,880 | ||||||||||
| Delaware Co Hsp Auth—Cardinal Hlth | 5.25 | % | 8/1/2036 | A3 | 4,500 | 4,537,260 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 7.00 | % | 7/1/2030 | Ba1 | 1,510 | 1,609,766 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 7.50 | % | 7/1/2039 | Ba1 | 3,000 | 3,211,890 | ||||||||||
| Gaithersburg Eco Dev—Asbury | 5.125 | % | 1/1/2036 | BBB | (d) | 4,300 | 4,020,930 | |||||||||
| Glynn Brunswick Mem Hsp—SE GA Hlth | 5.50 | % | 8/1/2028 | A2 | 5,140 | 5,521,799 | ||||||||||
| See Notes to Financial Statements. | 75 |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| Harris Co Hlth—Mem Hermann Hlth | 7.125 | % | 12/1/2031 | A+ | $ | 3,000 | $ | 3,843,570 | ||||||||
| HI Dept Budget—Hawaii Pacific Hlth(c) | 5.50 | % | 7/1/2043 | A2 | 8,000 | 8,174,800 | ||||||||||
| Howard Co Retmt Cmnty—Vantage House | 5.25 | % | 4/1/2033 | NR | 2,000 | 1,762,060 | ||||||||||
| Huntsville Redstone Vlg | 5.50 | % | 1/1/2028 | NR | 760 | 701,951 | ||||||||||
| Huntsville Redstone Vlg | 5.50 | % | 1/1/2043 | NR | 1,350 | 1,153,913 | ||||||||||
| IL Fin Auth—Friendship Vlg Shaumburg | 7.125 | % | 2/15/2039 | BB- | (d) | 1,500 | 1,512,375 | |||||||||
| IL Fin Auth—Friendship Vlg Shaumburg | 7.25 | % | 2/15/2045 | BB- | (d) | 1,500 | 1,518,060 | |||||||||
| IL Fin Auth—Northwestern Mem Hsp(b) | 5.75 | % | 8/15/2030 | AA+ | 2,500 | 2,740,638 | ||||||||||
| IL Fin Auth—Rush Univ Med | 7.25 | % | 11/1/2030 | A | 3,000 | 3,572,910 | ||||||||||
| IN Fin Auth—Deaconess Hlth | 5.00 | % | 3/1/2035 | A | 3,210 | 3,160,117 | ||||||||||
| IN Fin Auth—NW Cmnty Fndtn | 5.00 | % | 3/1/2023 | A- | 750 | 826,740 | ||||||||||
| IN Fin Auth—NW Cmnty Fndtn | 5.00 | % | 3/1/2024 | A- | 1,000 | 1,087,920 | ||||||||||
| IN Fin Auth—NW Cmnty Fndtn | 5.00 | % | 3/1/2025 | A- | 690 | 739,356 | ||||||||||
| Johnston Mem Hsp (AGM)(FHA) | 5.25 | % | 10/1/2024 | AA- | 4,900 | 5,345,263 | ||||||||||
| Kirkwood IDA—Aberdeen Hts | 8.00 | % | 5/15/2021 | NR | 1,000 | 1,100,650 | ||||||||||
| Kirkwood IDA—Aberdeen Hts | 8.00 | % | 5/15/2029 | NR | 3,820 | 4,218,655 | ||||||||||
| LA PFA—Ochsner Clinic | 6.25 | % | 5/15/2031 | Baa1 | 8,090 | 8,623,293 | ||||||||||
| Lincoln Hsp—Great Plains Rgl Med | 5.00 | % | 11/1/2023 | A- | 500 | 542,470 | ||||||||||
| Lincoln Hsp—Great Plains Rgl Med | 5.00 | % | 11/1/2024 | A- | 1,250 | 1,331,075 | ||||||||||
| Lincoln Hsp—Great Plains Rgl Med | 5.00 | % | 11/1/2025 | A- | 1,000 | 1,053,590 | ||||||||||
| Lucas Co Hsp—ProMedica Hlthcare | 5.75 | % | 11/15/2031 | AA | 3,700 | 4,125,833 | ||||||||||
| MA DFA—Groves in Lincoln(e) | 7.25 | % | 6/1/2016 | NR | 3,000 | 186,000 | ||||||||||
| Martin Co Hlth—Martin Mem Med | 5.50 | % | 11/15/2042 | Baa1 | 4,175 | 4,144,731 | ||||||||||
| Martin Hsp Dist | 7.25 | % | 4/1/2036 | BBB | (d) | 3,000 | 3,190,230 | |||||||||
| MD Hlth & Ed—Calvert Hlth | 5.00 | % | 7/1/2038 | A3 | 3,545 | 3,524,793 | ||||||||||
| MD Hlth & Ed—Mercy Med Ctr | 6.25 | % | 7/1/2031 | BBB | 11,190 | 11,908,062 | ||||||||||
| ME Hlth & Hi Ed—Eastern ME Med | 5.00 | % | 7/1/2043 | Baa1 | 5,625 | 5,455,181 | ||||||||||
| ME Hlth & Hi Ed—MaineGeneral Hlth | 7.50 | % | 7/1/2032 | Ba1 | 11,150 | 12,728,282 | ||||||||||
| Medford Hsp—Rogue Valley Manor | 5.00 | % | 10/1/2042 | BBB+ | 6,000 | 5,709,300 | ||||||||||
| MO Hlth & Ed—Lutheran Senior Svcs | 5.375 | % | 2/1/2035 | BBB+ | (d) | 3,355 | 3,331,582 | |||||||||
| Montgomery Co IDA—ACTS Retirement | 5.00 | % | 11/15/2024 | BBB+ | 3,150 | 3,231,868 | ||||||||||
| Montgomery Co IDA—ACTS Retirement | 5.00 | % | 11/15/2025 | BBB+ | 1,300 | 1,319,942 | ||||||||||
| Montgomery Co IDA—Jefferson Hlth | 5.00 | % | 10/1/2027 | AA | 3,500 | 3,797,185 | ||||||||||
| Muskingum Co Hsp—Genesis Hlthcare | 5.00 | % | 2/15/2044 | BB+ | 4,275 | 3,415,340 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.00 | % | 7/1/2025 | BBB+ | 1,000 | 1,039,410 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.625 | % | 7/1/2032 | BBB+ | 3,900 | 4,039,386 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.625 | % | 7/1/2037 | BBB+ | 3,675 | 3,780,289 | ||||||||||
| 76 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| NJ Hlth—St Josephs Hlth | 6.625 | % | 7/1/2038 | BBB- | $ | 5,500 | $ | 5,509,185 | ||||||||
| NM Hsp—Haverland | 5.00 | % | 7/1/2042 | BBB- | (d) | 2,250 | 1,910,813 | |||||||||
| NY Dorm—NYU Hsps Ctr | 5.75 | % | 7/1/2031 | A- | 1,985 | 2,168,811 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2025 | Aa3 | 2,400 | 2,618,064 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2030 | Aa3 | 5,640 | 5,879,869 | ||||||||||
| Onondaga CDC—St Josephs Hsp | 5.00 | % | 7/1/2042 | BB+ | 2,500 | 2,165,400 | ||||||||||
| Orange Co Hlth—Orlando Lutheran | 5.50 | % | 7/1/2032 | NR | 7,200 | 6,675,192 | ||||||||||
| Palomar Hlth Care Dist COP | 6.00 | % | 11/1/2030 | Baa3 | 3,500 | 3,496,080 | ||||||||||
| Pell City Spl Care Facs—Noland Hlth | 5.00 | % | 12/1/2031 | A | 5,000 | 5,049,750 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.625 | % | 7/1/2036 | BB+ | 3,645 | 3,171,296 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.625 | % | 7/1/2042 | BB+ | 4,000 | 3,391,800 | ||||||||||
| Regents UCal Med Ctr | 5.25 | % | 5/15/2038 | Aa2 | 8,000 | 8,286,720 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 7.50 | % | 12/1/2041 | BB | 10,000 | 10,969,200 | ||||||||||
| Sarasota Hlth—Manatee | 5.75 | % | 7/1/2037 | NR | 1,000 | 893,170 | ||||||||||
| SE Port Auth—Memorial Hlth | 5.75 | % | 12/1/2032 | NR | 1,900 | 1,827,344 | ||||||||||
| SE Port Auth—Memorial Hlth | 6.00 | % | 12/1/2042 | NR | 2,250 | 2,148,660 | ||||||||||
| Southcentral PA Auth—Wellspan Hlth | 6.00 | % | 6/1/2029 | Aa3 | 1,010 | 1,143,512 | ||||||||||
| Spartanburg Co Regl Hlth | 5.00 | % | 4/15/2032 | A1 | 6,410 | 6,530,252 | ||||||||||
| Sullivan Co Hlth & Ed—Wellmont Hlth | 5.25 | % | 9/1/2036 | BBB+ | 2,000 | 1,902,740 | ||||||||||
| Sweetwater Co Hsp—Memorial Hsp | 5.00 | % | 9/1/2037 | BBB | 3,500 | 3,186,365 | ||||||||||
| Tarrant Co Cultural—Christus Hlth (AG) | 6.25 | % | 7/1/2028 | AA- | 1,500 | 1,674,660 | ||||||||||
| Thomasville Hsp Auth—John Archbold | 5.125 | % | 11/1/2030 | A | 2,500 | 2,586,075 | ||||||||||
| Tulsa IDA—Montereau | 7.25 | % | 11/1/2045 | NR | 3,000 | 3,167,820 | ||||||||||
| Univ Med Ctr Corp | 6.25 | % | 7/1/2029 | BBB+ | 895 | 981,018 | ||||||||||
| Univ Med Ctr Corp | 6.50 | % | 7/1/2039 | BBB+ | 3,025 | 3,308,805 | ||||||||||
| Upland COP—San Antonio Cmnty Hsp COP | 6.375 | % | 1/1/2032 | A | 5,000 | 5,613,100 | ||||||||||
| WI Hlth & Ed—Aurora Hlth | 5.25 | % | 4/15/2035 | A3 | 3,600 | 3,599,928 | ||||||||||
| WI Hlth & Ed—Wheaton Franciscan Hlth | 5.25 | % | 8/15/2023 | A- | 6,350 | 6,445,694 | ||||||||||
| WV Hsp—Herbert Thomas Hlth | 6.25 | % | 10/1/2023 | NR | 2,000 | 2,020,440 | ||||||||||
| Total | 333,285,265 | |||||||||||||||
| Housing 1.15% | ||||||||||||||||
| CA Stwde—CHF-Irvine LLC | 6.00 | % | 5/15/2023 | Baa2 | 5,000 | 5,332,800 | ||||||||||
| Dekalb Newton Gwinnett Co—GGC Fndtn | 6.00 | % | 7/1/2034 | A+ | 1,500 | 1,609,530 | ||||||||||
| East Point Hsg—Laurel Ridge Apts AMT (FNMA) | 5.00 | % | 10/1/2032 | AA+ | 2,475 | 2,510,368 | ||||||||||
| HI Hsg Fin & Dev—Rent Hsg Sys Rmkt (AGM) | 6.50 | % | 7/1/2033 | A2 | 2,000 | 2,142,840 | ||||||||||
| LA HFA—GMF-LA Chateau | 8.00 | % | 9/1/2039 | BB | 1,445 | 1,511,701 | ||||||||||
| See Notes to Financial Statements. | 77 |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Housing (continued) | ||||||||||||||||
| Los Angeles Hsg | 6.25 | % | 6/1/2034 | NR | $ | 4,220 | $ | 4,613,810 | ||||||||
| MO Hsg—Homeownership Ln AMT (GNMA)(FNMA) | 5.90 | % | 9/1/2035 | Aaa | 65 | 66,089 | ||||||||||
| PA Hi Ed—Edinboro Univ | 5.75 | % | 7/1/2028 | Baa3 | 1,000 | 1,006,080 | ||||||||||
| PA Hi Ed—Edinboro Univ | 5.80 | % | 7/1/2030 | Baa3 | 1,000 | 999,900 | ||||||||||
| Total | 19,793,118 | |||||||||||||||
| Lease Obligations 10.31% | ||||||||||||||||
| CA Pub Wks—Judicial Council | 5.00 | % | 12/1/2028 | A2 | 5,600 | 5,938,296 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 4/1/2033 | A2 | 8,500 | 8,779,055 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.125 | % | 10/1/2031 | A2 | 2,500 | 2,659,150 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.375 | % | 11/1/2022 | A2 | 5,000 | 5,784,400 | ||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.00 | % | 5/1/2026 | AA- | 10,275 | 11,448,919 | ||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.25 | % | 5/1/2028 | AA- | 7,000 | 7,662,690 | ||||||||||
| Goodyear Pub Impt | 6.00 | % | 7/1/2031 | AA- | 2,350 | 2,554,285 | ||||||||||
| Houston Co Coop Dist—Country Crossing(e) | 12.50 | % | 6/7/2013 | NR | 1,768 | 247,520 | ||||||||||
| IN Fin Auth—OH River Brdgs AMT | 5.00 | % | 7/1/2035 | BBB | 5,000 | 4,666,700 | ||||||||||
| Indianapolis Local Pub Impt Bd Bk(b) | 5.50 | % | 2/1/2033 | AA | 12,000 | 13,004,340 | ||||||||||
| Los Angeles USD | 5.00 | % | 10/1/2025 | A+ | 6,525 | 7,059,985 | ||||||||||
| McLennan Co PFC | 6.625 | % | 6/1/2035 | AA- | 7,135 | 7,635,378 | ||||||||||
| MI Fin Auth—Detroit Sch Dist | 5.50 | % | 6/1/2021 | A+ | 10,000 | 11,270,800 | ||||||||||
| Miami Dade Co Spl Oblig (NPFGC)(FGIC) | 3.572 | % | # | 4/1/2014 | Aa3 | 3,300 | 3,311,253 | |||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2023 | A+ | 9,160 | 10,434,614 | ||||||||||
| NJ Trans Trust Fund | 5.00 | % | 12/15/2023 | A+ | 8,675 | 9,967,401 | ||||||||||
| North Hudson Sewerage Auth | 5.00 | % | 6/1/2024 | A- | 2,585 | 2,894,993 | ||||||||||
| NY Liberty Dev Corp—4 WTC | 5.00 | % | 11/15/2031 | A+ | 2,500 | 2,589,250 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2025 | AAA | 1,980 | 2,176,841 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2026 | AAA | 2,870 | 3,155,319 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2030 | AA- | 10,000 | 10,780,000 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2031 | AA- | 6,000 | 6,431,160 | ||||||||||
| PA IDA—Economic Dev | 5.50 | % | 7/1/2023 | A1 | 2,630 | 2,934,633 | ||||||||||
| Philadelphia Muni Auth | 6.375 | % | 4/1/2029 | A2 | 2,000 | 2,209,500 | ||||||||||
| PR Pub Bldg Auth GTD | 5.25 | % | 7/1/2033 | BBB- | 3,805 | 2,789,484 | ||||||||||
| PR Pub Bldg Auth GTD | 6.50 | % | 7/1/2030 | BBB- | 9,000 | 7,344,180 | ||||||||||
| PR Pub Fin Corp | 5.50 | % | 8/1/2031 | BBB- | 8,000 | 5,921,440 | ||||||||||
| Sacramento City Fing Auth (AMBAC) | 5.25 | % | 12/1/2023 | A | 3,150 | 3,517,794 | ||||||||||
| San Diego PFA—Master Lease | 5.25 | % | 9/1/2035 | A+ | 5,000 | 5,098,400 | ||||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2025 | AA | 2,500 | 2,783,350 | ||||||||||
| 78 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2027 | AA | $ | 4,500 | $ | 4,879,980 | ||||||||
| Total | 177,931,110 | |||||||||||||||
| Other Revenue 7.74% | ||||||||||||||||
| Apache Co Poll Ctl—Tucson Elec | 4.50 | % | 3/1/2030 | BBB | 7,985 | 7,414,312 | ||||||||||
| Arlington Hi Ed Fin Corp—Arlington Classics | 7.65 | % | 8/15/2040 | BB | 5,750 | 6,059,292 | ||||||||||
| Austin Convention† | 5.75 | % | 1/1/2034 | Ba2 | 5,000 | 4,999,500 | ||||||||||
| Austin Convention CR (BHAC)(XLCA) | 5.00 | % | 1/1/2034 | AA+ | 2,400 | 2,422,704 | ||||||||||
| Baker Correctional Dev | 7.50 | % | 2/1/2030 | NR | 3,500 | 2,913,050 | ||||||||||
| Baytown Twp—St Croix Prep Admy | 6.75 | % | 8/1/2028 | BB | 1,455 | 1,471,543 | ||||||||||
| Brooklyn Arena LDC—Barclays Ctr | 6.375 | % | 7/15/2043 | BBB- | 6,000 | 6,333,720 | ||||||||||
| CA Infra & Econ Dev—Gladstone Inst | 5.25 | % | 10/1/2034 | A- | 8,100 | 8,248,068 | ||||||||||
| CA Stwde—Huntington Pk | 5.15 | % | 7/1/2030 | NR | 1,000 | 841,730 | ||||||||||
| CA Stwde—Huntington Pk | 5.25 | % | 7/1/2042 | NR | 1,500 | 1,178,250 | ||||||||||
| Chester Co IDA—Collegium Chtr Sch | 5.00 | % | 10/15/2022 | BBB- | 1,000 | 985,710 | ||||||||||
| Chester Co IDA—Collegium Chtr Sch | 5.375 | % | 10/15/2042 | BBB- | 5,000 | 4,453,700 | ||||||||||
| Cleveland Arpt | 5.00 | % | 1/1/2030 | A- | 2,000 | 2,013,280 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 5.00 | % | 8/15/2032 | BBB | 915 | 854,519 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 5.00 | % | 8/15/2042 | BBB | 1,235 | 1,098,841 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs(c) | 6.00 | % | 8/15/2043 | BBB | 1,000 | 1,013,280 | ||||||||||
| Clifton Higher Ed—Uplift Education | 5.70 | % | 12/1/2025 | BBB- | 2,000 | 2,082,040 | ||||||||||
| Clifton Higher Ed—Uplift Education | 6.00 | % | 12/1/2030 | BBB- | 1,000 | 1,037,560 | ||||||||||
| DC Rev—Friendship Pub Chtr Sch | 5.00 | % | 6/1/2042 | BBB | 2,000 | 1,759,880 | ||||||||||
| DC Rev—KIPP Chtr Sch | 6.00 | % | 7/1/2043 | BBB+ | 1,000 | 1,029,620 | ||||||||||
| DC Rev—KIPP Chtr Sch | 6.00 | % | 7/1/2048 | BBB+ | 1,000 | 1,019,840 | ||||||||||
| Doctor Charles Drew Admy COP | 5.70 | % | 11/1/2036 | NR | 1,535 | 1,087,885 | ||||||||||
| FL DFC—Renaissance Chtr Sch | 7.625 | % | 6/15/2041 | BB- | (d) | 9,000 | 9,275,130 | |||||||||
| Hammond Loc Pub Impt—Charter Sch | 6.75 | % | 8/15/2035 | BBB- | 1,000 | 1,021,290 | ||||||||||
| IN Fin Auth—Drexel Foundation | 6.625 | % | 10/1/2029 | BB- | 750 | 742,350 | ||||||||||
| IN Fin Auth—Drexel Foundation | 7.00 | % | 10/1/2039 | BB- | 1,250 | 1,230,888 | ||||||||||
| Kansas City IDA—Derrick Thomas Sch† | 5.875 | % | 1/1/2037 | NR | 1,850 | 425,500 | ||||||||||
| La Paz Co IDA—Imperial Regl Jail | 7.80 | % | 10/1/2039 | NR | 2,000 | 1,984,580 | ||||||||||
| MA Dev Fin—Broad Inst | 5.25 | % | 4/1/2037 | AA- | 7,250 | 7,522,600 | ||||||||||
| Maverick Co PFC | 6.375 | % | 2/1/2029 | NR | 2,580 | 1,626,071 | ||||||||||
| Met Boston Trans Pkg Corp | 5.25 | % | 7/1/2033 | A+ | 11,000 | 11,778,690 | ||||||||||
| MI Pub Ed—Bradford Admy | 8.75 | % | 9/1/2039 | NR | 2,250 | 1,170,000 | ||||||||||
| MI Pub Ed—Landmark Admy | 6.625 | % | 6/1/2030 | BBB- | 2,000 | 2,024,940 | ||||||||||
| Middlesex Co Impt Auth—Heldrich Ctr(e) | 6.125 | % | 1/1/2025 | NR | 1,250 | 125,000 | ||||||||||
| See Notes to Financial Statements. | 79 |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Other Revenue (continued) | ||||||||||||||||
| Middlesex Co Impt Auth—Heldrich Ctr(e) | 6.25 | % | 1/1/2037 | NR | $ | 1,700 | $ | 170,000 | ||||||||
| Milwaukee Redev—Admy of Learning(e) | 5.50 | % | 8/1/2022 | NR | 300 | 108,000 | ||||||||||
| Milwaukee Redev—Admy of Learning(e) | 5.65 | % | 8/1/2037 | NR | 250 | 90,000 | ||||||||||
| Mohave Co IDA—Mohave Prison | 8.00 | % | 5/1/2025 | BBB+ | 6,500 | 7,576,010 | ||||||||||
| NYC IDA—United Jewish Appeal | 5.00 | % | 7/1/2034 | Aa1 | 4,685 | 4,936,912 | ||||||||||
| Otero Co Jail | 5.75 | % | 4/1/2018 | NR | 825 | 787,331 | ||||||||||
| Otero Co Jail | 6.00 | % | 4/1/2028 | NR | 1,400 | 1,128,064 | ||||||||||
| Philadelphia IDA—Please Touch Museum(e) | 5.25 | % | 9/1/2026 | CC | 1,600 | 962,560 | ||||||||||
| Philadelphia IDA—Please Touch Museum(e) | 5.25 | % | 9/1/2036 | CC | 7,700 | 4,631,704 | ||||||||||
| Pima Co IDA—American Charter Sch | 5.50 | % | 7/1/2026 | BB | (d) | 4,500 | 4,224,780 | |||||||||
| San Antonio Hotel & Conv Ctr AMT (AMBAC) | 5.00 | % | 7/15/2034 | BBB | 870 | 830,963 | ||||||||||
| San Antonio Hotel & Conv Ctr AMT (AMBAC) | 5.00 | % | 7/15/2039 | BBB | 7,000 | 6,538,420 | ||||||||||
| TX PFA—Cosmos Fndtn | 5.375 | % | 2/15/2037 | BBB | 1,230 | 1,144,171 | ||||||||||
| TX PFA—Uplift Education | 5.875 | % | 12/1/2036 | BBB- | 1,145 | 1,145,515 | ||||||||||
| Total | 133,519,793 | |||||||||||||||
| Special Tax 2.36% | ||||||||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2032 | Baa2 | 1,250 | 1,161,288 | ||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2035 | Baa2 | 1,500 | 1,367,040 | ||||||||||
| Altoona Urban Renewal | 6.00 | % | 6/1/2034 | BBB+ | 1,000 | 1,041,890 | ||||||||||
| Aurora TIF—East River | 6.75 | % | 12/30/2027 | NR | 905 | 912,403 | ||||||||||
| Baltimore Spl Oblig—East Baltimore Resrch | 7.00 | % | 9/1/2038 | NR | 1,500 | 1,574,565 | ||||||||||
| Fontana PFA—North Fontana Redev (AMBAC) | 5.50 | % | 9/1/2032 | A+ | 2,000 | 2,004,440 | ||||||||||
| Gramercy Farms CDD~ | Zero Coupon | 5/1/2039 | NR | 5,240 | 786,000 | |||||||||||
| Gramercy Farms Cmnty Dev Dist | 5.25 | % | 5/1/2039 | NR | 1,340 | 13 | ||||||||||
| HI Dept Homelands | 5.875 | % | 4/1/2034 | A1 | 3,000 | 3,165,990 | ||||||||||
| Houston Co Coop Dist—Country Crossing | 10.00 | % | 5/1/2039 | NR | 5,000 | 941,665 | ||||||||||
| Mesquite Redev TIF | 6.625 | % | 6/1/2017 | BBB+ | 1,605 | 1,630,728 | ||||||||||
| Millsboro Spl Oblig—Plantation Lakes | 5.45 | % | 7/1/2036 | NR | 2,073 | 1,433,811 | ||||||||||
| NJ EDA—Kapkowski Rd Landfill | 6.50 | % | 4/1/2028 | Ba2 | 2,325 | 2,574,868 | ||||||||||
| Riverside Co Redev Agy—Tax Alloc | 6.50 | % | 10/1/2040 | A- | 2,000 | 2,125,540 | ||||||||||
| Riverside Co Redev Agy—Tax Alloc (8.50% after 10/1/2021)~ | Zero Coupon | 10/1/2041 | A- | 11,195 | 7,066,060 | |||||||||||
| San Diego Redev Agy—No Pk Redev | 7.00 | % | 11/1/2039 | A- | 2,500 | 2,830,425 | ||||||||||
| San Francisco Redev—Mission Bay South | 7.00 | % | 8/1/2033 | BBB | 1,000 | 1,105,220 | ||||||||||
| 80 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Special Tax (continued) | ||||||||||||||||
| San Francisco Redev—Mission Bay South | 7.00 | % | 8/1/2041 | BBB | $ | 1,400 | $ | 1,535,716 | ||||||||
| Sparks Tourism Impt Dist† | 6.50 | % | 6/15/2020 | B2 | 1,690 | 1,713,626 | ||||||||||
| Sparks Tourism Impt Dist† | 6.75 | % | 6/15/2028 | B2 | 2,500 | 2,503,650 | ||||||||||
| Stone Canyon CID(e) | 5.70 | % | 4/1/2022 | NR | 1,000 | 520,000 | ||||||||||
| Stone Canyon CID(e) | 5.75 | % | 4/1/2027 | NR | 1,300 | 676,000 | ||||||||||
| Village CDD # 10 | 4.50 | % | 5/1/2023 | NR | 2,055 | 1,980,938 | ||||||||||
| Total | 40,651,876 | |||||||||||||||
| Tax Revenue 8.11% | ||||||||||||||||
| AZ Sports & Tourism Auth—Stadium | 5.00 | % | 7/1/2028 | A1 | 18,000 | 19,043,640 | ||||||||||
| Guam Ltd Oblig—Section 30 Landfill | 5.75 | % | 12/1/2034 | BBB+ | 3,690 | 3,825,017 | ||||||||||
| MA Sch Bldg Auth—Sales Tax(b) | 5.00 | % | 10/15/2032 | AA+ | 20,000 | 21,502,800 | ||||||||||
| Miami Dade Co Transit | 5.00 | % | 7/1/2037 | AA | 5,425 | 5,520,751 | ||||||||||
| NJ EDA—Cigarette Tax | 4.25 | % | 6/15/2027 | BBB+ | 4,000 | 3,765,520 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2023 | BBB+ | 2,000 | 2,142,580 | ||||||||||
| NY Dorm—PIT | 5.00 | % | 3/15/2025 | AAA | 4,590 | 5,166,091 | ||||||||||
| NY Dorm—PIT | 5.00 | % | 3/15/2026 | AAA | 2,580 | 2,871,153 | ||||||||||
| NY UDC—PIT | 5.00 | % | 3/15/2028 | AAA | 5,000 | 5,472,950 | ||||||||||
| NYC TFA—Future Tax(b) | 5.00 | % | 2/1/2027 | AAA | 12,000 | 13,179,480 | ||||||||||
| NYC TFA—Future Tax(b) | 5.00 | % | 2/1/2028 | AAA | 4,000 | 4,393,160 | ||||||||||
| PR Corp Sales Tax | 5.25 | % | 8/1/2041 | A+ | 10,000 | 7,620,500 | ||||||||||
| PR Corp Sales Tax | 5.375 | % | 8/1/2039 | A+ | 5,000 | 3,931,200 | ||||||||||
| PR Corp Sales Tax | 5.50 | % | 8/1/2037 | A+ | 9,000 | 7,241,940 | ||||||||||
| PR Corp Sales Tax | 5.50 | % | 8/1/2042 | A+ | 6,000 | 4,730,940 | ||||||||||
| San Joaquin Co Trsp Auth | 5.50 | % | 3/1/2041 | AA | 14,000 | 15,176,140 | ||||||||||
| San Jose Spl Tax—Conv Ctr | 6.125 | % | 5/1/2031 | A2 | 4,190 | 4,662,716 | ||||||||||
| Sonoma Marin Area Rail Rmkt | 5.00 | % | 3/1/2028 | AA | 1,500 | 1,628,505 | ||||||||||
| Virgin Islands PFA—Matching Fund | 5.25 | % | 10/1/2029 | Baa2 | 4,500 | 4,576,320 | ||||||||||
| Yorba Linda Redev Agy | 6.00 | % | 9/1/2026 | A- | 1,145 | 1,280,007 | ||||||||||
| Yorba Linda Redev Agy | 6.50 | % | 9/1/2032 | A- | 2,000 | 2,275,080 | ||||||||||
| Total | 140,006,490 | |||||||||||||||
| Tobacco 3.06% | ||||||||||||||||
| Buckeye Tobacco | 5.125 | % | 6/1/2024 | B- | 14,000 | 11,936,540 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2033 | B- | 6,000 | 4,632,840 | ||||||||||
| Golden St Tobacco | 5.30 | % | 6/1/2037 | B- | 6,000 | 4,515,600 | ||||||||||
| Inland Empire Tobacco | 4.625 | % | 6/1/2021 | B | (d) | 4,530 | 4,130,726 | |||||||||
| Railsplitter Tobacco Settlement Auth | 6.00 | % | 6/1/2028 | A- | 5,600 | 5,974,360 | ||||||||||
| See Notes to Financial Statements. | 81 |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tobacco (continued) | ||||||||||||||||
| SD Edu Enhancement Fding Corp | 5.00 | % | 6/1/2026 | A- | $ | 2,005 | $ | 2,087,506 | ||||||||
| Tobacco Settlement Fin Corp | 4.625 | % | 6/1/2026 | B1 | 5,500 | 4,826,525 | ||||||||||
| Tobacco Settlement Fin Corp | 4.75 | % | 6/1/2034 | B2 | 15,755 | 11,541,325 | ||||||||||
| TSASC | 5.00 | % | 6/1/2026 | B+ | 3,640 | 3,233,958 | ||||||||||
| Total | 52,879,380 | |||||||||||||||
| Transportation 15.03% | ||||||||||||||||
| Central TX Reg Mobility Auth | 6.00 | % | 1/1/2041 | Baa2 | 10,000 | 10,098,200 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2022 | AA+ | 9,645 | 10,736,759 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2023 | AA+ | 6,135 | 6,829,447 | ||||||||||
| Dallas Area Rapid Transit(b) | 5.00 | % | 12/1/2028 | AA+ | 7,160 | 7,970,471 | ||||||||||
| DFW Arpt AMT | 5.00 | % | 11/1/2037 | A+ | 4,840 | 4,643,593 | ||||||||||
| Foothill / Eastern Corridor Toll Rd | Zero Coupon | 1/15/2035 | BBB- | 10,000 | 2,326,600 | |||||||||||
| HI Arpt | 5.00 | % | 7/1/2034 | A | 3,000 | 3,073,950 | ||||||||||
| Houston Arpt—Continental Airlines AMT | 6.625 | % | 7/15/2038 | B | 2,500 | 2,468,225 | ||||||||||
| IL Toll Hwy Auth | 5.00 | % | 1/1/2027 | AA- | 1,000 | 1,083,020 | ||||||||||
| Lee Co Arpt AMT | 5.375 | % | 10/1/2032 | A2 | 3,500 | 3,621,100 | ||||||||||
| Met DC Airport AMT | 5.00 | % | 10/1/2024 | AA- | 5,230 | 5,792,591 | ||||||||||
| Met DC Airport AMT | 5.00 | % | 10/1/2026 | AA- | 2,500 | 2,706,425 | ||||||||||
| Met DC Airport AMT | 5.00 | % | 10/1/2028 | AA- | 2,000 | 2,107,780 | ||||||||||
| Mid—Bay Bridge Auth | 7.25 | % | 10/1/2034 | BBB- | 7,500 | 8,283,675 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2025 | A | 4,000 | 4,428,520 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2025 | A | 3,065 | 3,393,354 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2030 | A | 5,000 | 5,265,300 | ||||||||||
| MTA NY | 6.50 | % | 11/15/2028 | A | 7,500 | 8,888,700 | ||||||||||
| NJ Trans Trust Fund | 5.25 | % | 6/15/2026 | A+ | 1,500 | 1,661,880 | ||||||||||
| NJ Trans Trust Fund | 6.00 | % | 6/15/2035 | A+ | 4,500 | 5,081,535 | ||||||||||
| North Hudson Sewerage Auth | 5.00 | % | 6/1/2025 | A- | 3,225 | 3,570,914 | ||||||||||
| North Hudson Sewerage Auth | 5.00 | % | 6/1/2026 | A- | 4,915 | 5,373,127 | ||||||||||
| North TX Twy Auth | 5.00 | % | 9/1/2028 | AA+ | 10,000 | 10,813,000 | ||||||||||
| North TX Twy Auth | 5.75 | % | 1/1/2033 | A3 | 5,705 | 6,013,355 | ||||||||||
| North TX Twy Auth | 6.00 | % | 1/1/2025 | A2 | 5,000 | 5,640,150 | ||||||||||
| OK Tpk Auth(b) | 5.00 | % | 1/1/2026 | AA- | 11,000 | 12,238,325 | ||||||||||
| OK Tpk Auth(b) | 5.00 | % | 1/1/2027 | AA- | 5,000 | 5,562,875 | ||||||||||
| Orlando & Orange Co Expwy Auth | 5.00 | % | 7/1/2030 | A | 1,500 | 1,577,850 | ||||||||||
| PA Tpk Commn | 5.00 | % | 12/1/2032 | A- | 7,000 | 7,173,950 | ||||||||||
| PA Tpk Commn | 5.625 | % | 6/1/2029 | A- | 3,310 | 3,577,382 | ||||||||||
| 82 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| PA Tpk Commn (6.00% after 12/1/2015)~ | Zero Coupon | 12/1/2034 | A- | $ | 12,000 | $ | 11,278,920 | |||||||||
| Port Auth NY & NJ AMT | 5.00 | % | 10/1/2033 | AA- | 17,500 | 18,111,975 | ||||||||||
| Port Oakland AMT | 5.00 | % | 5/1/2028 | A+ | 2,275 | 2,356,149 | ||||||||||
| Port Oakland AMT (NPFGC) | 5.00 | % | 11/1/2026 | A | 2,285 | 2,422,169 | ||||||||||
| PR Hwy & Trans Auth (AG)(AGM) | 5.50 | % | 7/1/2025 | AA- | 2,000 | 1,882,620 | ||||||||||
| Regional Trans Dist—Denver Trans | 6.00 | % | 1/15/2034 | Baa3 | 1,800 | 1,825,812 | ||||||||||
| Regional Trans Dist COP | 5.375 | % | 6/1/2031 | Aa3 | 5,200 | 5,498,896 | ||||||||||
| San Francisco Arpt AMT | 5.00 | % | 5/1/2025 | A+ | 15,000 | 16,012,200 | ||||||||||
| San Francisco Arpt AMT | 5.25 | % | 5/1/2033 | A+ | 7,000 | 7,201,390 | ||||||||||
| San Jose Arpt AMT | 6.25 | % | 3/1/2034 | A2 | 5,000 | 5,522,800 | ||||||||||
| South Jersey Trans Auth | 5.00 | % | 11/1/2028 | A- | 1,750 | 1,860,145 | ||||||||||
| St Louis Arpt—Lambert Intl Airport | 6.25 | % | 7/1/2029 | A- | 3,020 | 3,324,748 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2022 | A+ | 3,190 | 3,731,534 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2027 | A+ | 2,770 | 3,054,341 | ||||||||||
| VA Small Bus Fing—95 Express Lanes AMT | 5.00 | % | 7/1/2034 | BBB- | 3,550 | 3,185,912 | ||||||||||
| VA Small Bus Fing—95 Express Lanes AMT | 5.00 | % | 1/1/2040 | BBB- | 4,850 | 4,235,602 | ||||||||||
| VA Small Bus Fing—Elizabeth River AMT | 5.25 | % | 1/1/2032 | BBB- | 6,100 | 5,718,262 | ||||||||||
| Total | 259,225,528 | |||||||||||||||
| Utilities 10.41% | ||||||||||||||||
| Amr Muni Pwr—Prairie St Energy | 5.25 | % | 2/15/2027 | A1 | 3,000 | 3,184,530 | ||||||||||
| Atlanta Wtr & Wastewtr | 6.00 | % | 11/1/2028 | Aa3 | 3,000 | 3,449,820 | ||||||||||
| Atlanta Wtr & Wastewtr | 6.00 | % | 11/1/2029 | Aa3 | 4,000 | 4,571,320 | ||||||||||
| Central Plains—Goldman Sachs | 0.675 | % | # | 12/1/2017 | A- | 5,000 | 4,650,450 | |||||||||
| Central Plains—Goldman Sachs | 5.00 | % | 9/1/2032 | A- | 5,000 | 4,945,550 | ||||||||||
| Central Plains—Goldman Sachs | 5.25 | % | 9/1/2037 | A- | 5,000 | 5,035,150 | ||||||||||
| Chula Vista IDR—San Diego G & E Rmkt | 5.875 | % | 1/1/2034 | Aa3 | 2,125 | 2,301,439 | ||||||||||
| Compton Water | 6.00 | % | 8/1/2039 | NR | 5,500 | 5,351,775 | ||||||||||
| FL Muni Pwr Agy | 6.25 | % | 10/1/2031 | A2 | 4,000 | 4,446,240 | ||||||||||
| Hartford Co Met Dist—Clean Wtr | 5.00 | % | 4/1/2036 | AA | 9,500 | 9,948,400 | ||||||||||
| IN Fin Auth—Ohio Vly Elec | 5.00 | % | 6/1/2032 | BBB- | 2,250 | 2,139,750 | ||||||||||
| IN Fin Auth—Ohio Vly Elec | 5.00 | % | 6/1/2039 | BBB- | 2,000 | 1,819,800 | ||||||||||
| Lansing Brd Wtr & Light | 5.00 | % | 7/1/2030 | AA- | 4,735 | 5,002,149 | ||||||||||
| Long Island Power Auth | 5.00 | % | 9/1/2026 | A- | 6,000 | 6,385,680 | ||||||||||
| Long Island Power Auth | 6.25 | % | 4/1/2033 | A- | 1,000 | 1,128,380 | ||||||||||
| Los Angeles DEWAP—Pwr Sys (AMBAC) | 5.00 | % | 7/1/2028 | AA- | 4,925 | 5,305,604 | ||||||||||
| Louisville/Jeff Co Met Swr Dist | 5.00 | % | 5/15/2028 | AA | 9,710 | 10,716,539 | ||||||||||
| See Notes to Financial Statements. | 83 |
Schedule of Investments (continued)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| Main St Nat Gas—JPM | 5.00 | % | 3/15/2022 | A | $ | 5,000 | $ | 5,362,850 | ||||||||
| Maricopa Co Poll Ctl—El Paso Elec | 7.25 | % | 2/1/2040 | BBB | 3,500 | 3,870,895 | ||||||||||
| Maricopa Co Poll Ctl—So Cal Edison Rmkt | 5.00 | % | 6/1/2035 | A1 | 2,400 | 2,464,104 | ||||||||||
| Met Atlanta Rapid Trans Auth (AGM) | 5.00 | % | 7/1/2034 | AA+ | 10,000 | 10,232,100 | ||||||||||
| Met St Louis Sewer Dist | 5.75 | % | 5/1/2038 | AAA | 1,760 | 1,924,243 | ||||||||||
| NJ EDA—UMM Energy AMT | 5.00 | % | 6/15/2037 | Baa3 | 1,000 | 942,970 | ||||||||||
| North Sumter Co Util Dep Dist | 5.375 | % | 10/1/2030 | BBB+ | 5,000 | 5,205,250 | ||||||||||
| Northern CA Pwr—Morgan Stanley | 0.904 | % | # | 7/1/2027 | A- | 5,000 | 4,186,700 | |||||||||
| OH Air Quality—FirstEnergy | 5.70 | % | 8/1/2020 | BBB- | 3,250 | 3,618,095 | ||||||||||
| OH Air Quality—Ohio Vly Elec | 5.625 | % | 10/1/2019 | BBB- | 4,500 | 4,886,325 | ||||||||||
| PA Econ Dev—Allegheny Energy | 7.00 | % | 7/15/2039 | BBB- | 1,000 | 1,021,240 | ||||||||||
| Palm Beach Co Solid Waste | 5.50 | % | 10/1/2028 | AA+ | 3,000 | 3,327,840 | ||||||||||
| Pinal Co Elec Dist #4 | 6.00 | % | 12/1/2028 | A- | 740 | 798,334 | ||||||||||
| PR Aqueduct & Swr Auth | 5.00 | % | 7/1/2033 | BB+ | 2,495 | 1,748,371 | ||||||||||
| PR Aqueduct & Swr Auth | 5.25 | % | 7/1/2024 | BB+ | 1,755 | 1,427,657 | ||||||||||
| PR Aqueduct & Swr Auth | 5.25 | % | 7/1/2042 | BB+ | 13,870 | 9,589,024 | ||||||||||
| PR Aqueduct & Swr Auth | 5.75 | % | 7/1/2037 | BB+ | 5,000 | 3,694,050 | ||||||||||
| PR Elec Pwr Auth | 0.884 | % | # | 7/1/2031 | BBB | 4,000 | 2,250,680 | |||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2042 | BBB | 6,775 | 4,663,504 | ||||||||||
| PR Elec Pwr Auth | 6.75 | % | 7/1/2036 | BBB | 10,585 | 8,659,588 | ||||||||||
| Sabine River Auth—TXU | 5.80 | % | 7/1/2022 | CC | 1,000 | 35,000 | ||||||||||
| Sacramento MUD | 5.00 | % | 8/15/2027 | AA- | 1,650 | 1,830,213 | ||||||||||
| Salt Verde Fin Corp—Citi | 5.25 | % | 12/1/2027 | A- | 3,435 | 3,628,528 | ||||||||||
| Southern CA Pub Pwr Auth—Nat Gas | 1.648 | % | # | 11/1/2038 | A- | 5,000 | 3,963,250 | |||||||||
| TEAC—Goldman Sachs | 5.625 | % | 9/1/2026 | BBB | (d) | 3,000 | 3,073,230 | |||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2028 | A3 | 3,000 | 2,965,200 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2029 | A3 | 4,000 | 3,904,280 | ||||||||||
| Total | 179,656,097 | |||||||||||||||
| Total Municipal Bonds (cost $1,783,782,557) | 1,763,916,832 | |||||||||||||||
| Shares (000) |
||||||||||||||||
| SHORT-TERM INVESTMENTS 0.29% | ||||||||||||||||
| Money Market Mutual Fund 0.00% | ||||||||||||||||
| Dreyfus Municipal Cash Management Plus (cost $909) |
1 | 909 | ||||||||||||||
| 84 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
NATIONAL TAX FREE FUND September 30, 2013
| Investments | Interest Rate# | Interest Rate Reset Date(f) | Final Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | ||||||||||||
| Variable Rate Demand Note 0.29% | ||||||||||||||||||
| Utilities | ||||||||||||||||||
| Las Vegas Valley Water District (cost $5,000,000) | 0.30 | % | 10/1/2013 | 6/1/2036 | AA+ | $ | 5,000 | $ | 5,000,000 | |||||||||
| Total Short-Term Investments (cost $5,000,909) | 5,000,909 | |||||||||||||||||
| Total Investments in Securities 102.53% (cost $1,788,783,466) | 1,768,917,741 | |||||||||||||||||
| Liabilities in Excess of Cash and Other Assets(i) (2.53%) | (43,730,802 | ) | ||||||||||||||||
| Net Assets 100.00% | $ | 1,725,186,939 | ||||||||||||||||
Open Futures Contracts at September 30, 2013:
| Type | Expiration | Contracts | Position | Fair Value | Unrealized Depreciation | ||||||||||
| U.S. 10-Year Treasury Note | December 2013 | 31 | Short | $ | (3,918,109 | ) | $ | (77,310 | ) | ||||||
| U.S. 30-Year Treasury Bond | December 2013 | 293 | Short | (39,078,875 | ) | (1,022,961 | ) | ||||||||
| Totals | $ | (42,996,984 | ) | $ | (1,100,271 | ) | |||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s financial instruments carried at fair value(1):
| Investment Type(2)(3) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 1,763,916,832 | $ | — | $ | 1,763,916,832 | ||||||||
| Money Market Mutual Fund | 909 | — | — | 909 | ||||||||||||
| Variable Rate Demand Note | — | 5,000,000 | — | 5,000,000 | ||||||||||||
| Total | $ | 909 | $ | 1,768,916,832 | $ | — | $ | 1,768,917,741 | ||||||||
| Liabilities | ||||||||||||||||
| Trust Certificates | $ | — | $ | (62,165,000 | ) | $ | — | $ | (62,165,000 | ) | ||||||
| Total | $ | — | $ | (62,165,000 | ) | $ | — | $ | (62,165,000 | ) | ||||||
| Other Financial Instruments | ||||||||||||||||
| Futures Contracts | ||||||||||||||||
| Assets | $ | — | $ | — | $ | — | $ | — | ||||||||
| Liabilities | (1,100,271 | ) | — | — | (1,100,271 | ) | ||||||||||
| Total | $ | (1,100,271 | ) | $ | — | $ | — | $ | (1,100,271 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. |
| (3) | There were no level transfers during the fiscal year ended September 30, 2013. |
| See Notes to Financial Statements. | 85 |
Schedule of Investments
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 100.04% | ||||||||||||||||
| Corporate-Backed 11.23% | ||||||||||||||||
| AK IDA—Anchorage Sportsplex(e) | 6.12 | % | 8/1/2031 | NR | $ | 3,285 | $ | 1,314,000 | ||||||||
| Aleutians E Burough—Pribilof Islands (ACA) | 5.50 | % | 6/1/2025 | NR | 1,375 | 1,353,990 | ||||||||||
| Aleutians E Burough—Pribilof Islands (ACA) | 5.50 | % | 6/1/2036 | NR | 3,210 | 2,982,315 | ||||||||||
| Allegheny Co IDA—US Steel | 6.875 | % | 5/1/2030 | BB- | 6,050 | 6,107,717 | ||||||||||
| Beauregard Parish—Office Max | 6.80 | % | 2/1/2027 | B2 | 6,250 | 6,275,750 | ||||||||||
| Brazos River Auth—TXU Rmkt AMT | 7.70 | % | 4/1/2033 | CC | 2,000 | 70,000 | ||||||||||
| Brazos River Auth—TXU Rmkt AMT† | 8.25 | % | 5/1/2033 | C | 2,000 | 70,000 | ||||||||||
| CA Co Tobacco Sec—Sonoma Co | 5.125 | % | 6/1/2038 | B- | 5,040 | 3,854,995 | ||||||||||
| Clayton Co SFR—Delta Airlines AMT | 9.00 | % | 6/1/2035 | B | 7,640 | 8,247,304 | ||||||||||
| Cleveland Arpt—Continental Airlines AMT | 5.375 | % | 9/15/2027 | B | 16,240 | 15,000,401 | ||||||||||
| Courtland IDB—Intl Paper AMT | 5.20 | % | 6/1/2025 | BBB | 5,545 | 5,576,995 | ||||||||||
| DFW Arpt—American Airlines Rmkt AMT(e) | 9.125 | % | 5/1/2029 | NR | 13,500 | 13,171,815 | ||||||||||
| Fort Bend Co IDC—NRG Energy Rmkt | 4.75 | % | 5/1/2038 | Baa3 | 1,725 | 1,467,251 | ||||||||||
| Greater Orlando Aviation—Jet Blue AMT | 5.00 | % | 11/15/2036 | NR | 1,670 | 1,372,339 | ||||||||||
| Houston Arpt—Continental Airlines AMT | 5.70 | % | 7/15/2029 | B | 3,760 | 3,437,730 | ||||||||||
| IL Fin Auth—Leafs Hockey Club(e) | 5.875 | % | 3/1/2027 | NR | 1,500 | 510,000 | ||||||||||
| IL Fin Auth—Leafs Hockey Club(e) | 6.00 | % | 3/1/2037 | NR | 1,450 | 493,000 | ||||||||||
| IL Fin Auth—United Sports/ Barrington†(e) | 6.125 | % | 10/1/2027 | NR | 1,475 | 265,500 | ||||||||||
| IL Fin Auth—United Sports/ Barrington†(e) | 6.25 | % | 10/1/2037 | NR | 6,525 | 1,174,500 | ||||||||||
| Love Field Arpt—Southwest Airlines AMT | 5.00 | % | 11/1/2028 | BBB- | 3,075 | 3,061,993 | ||||||||||
| MA Port Auth—Delta Airlines AMT (AMBAC) | 5.50 | % | 1/1/2016 | NR | 1,830 | 1,831,409 | ||||||||||
| MA Port Auth—Delta Airlines AMT (AMBAC) | 5.50 | % | 1/1/2022 | NR | 10,015 | 9,961,720 | ||||||||||
| Martin Co IDA—Indiantown Cogen AMT | 4.20 | % | 12/15/2025 | Ba1 | 3,000 | 2,541,960 | ||||||||||
| Matagorda Co Nav Dist—AEP TX Central | 4.00 | % | 6/1/2030 | BBB | 2,000 | 1,732,560 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.00 | % | 12/1/2016 | NR | 3,430 | 2,365,843 | ||||||||||
| Niagara Area Dev Corp—Covanta AMT | 5.25 | % | 11/1/2042 | Ba2 | 14,760 | 12,429,839 | ||||||||||
| NJ EDA—Continental Airlines AMT | 4.875 | % | 9/15/2019 | B | 1,765 | 1,664,271 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.125 | % | 9/15/2023 | B | 5,125 | 4,910,877 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.25 | % | 9/15/2029 | B | 16,435 | 15,069,580 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.50 | % | 4/1/2028 | B | 5,965 | 5,292,446 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.50 | % | 6/1/2033 | B | 1,885 | 1,726,076 | ||||||||||
| NJ EDA—Continental Airlines AMT | 7.20 | % | 11/15/2030 | B | 755 | 757,054 | ||||||||||
| NJ EDA—Glimcher Pptys AMT | 6.00 | % | 11/1/2028 | NR | 6,190 | 5,754,595 | ||||||||||
| NYC IDA—British Airways AMT | 5.25 | % | 12/1/2032 | BB | 7,580 | 6,825,487 | ||||||||||
| NYC IDA—Jetblue AMT | 5.00 | % | 5/15/2020 | B | 1,285 | 1,261,536 | ||||||||||
| NYC IDA—Jetblue AMT | 5.125 | % | 5/15/2030 | B | 1,000 | 875,290 | ||||||||||
| 86 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Corporate-Backed (continued) | ||||||||||||||||
| NYC IDA—TRIPS AMT | 5.00 | % | 7/1/2028 | BBB- | $ | 1,500 | $ | 1,390,440 | ||||||||
| PA Econ Dev—US Airways | 8.00 | % | 5/1/2029 | B- | 2,460 | 2,759,431 | ||||||||||
| Phoenix IDA—US Airways AMT | 6.25 | % | 6/1/2019 | Caa2 | 1,955 | 1,956,349 | ||||||||||
| Phoenix IDA—US Airways AMT | 6.30 | % | 4/1/2023 | Caa2 | 3,685 | 3,695,613 | ||||||||||
| Port Bay City Auth—Celanese AMT | 6.50 | % | 5/1/2026 | BB- | 6,120 | 6,127,650 | ||||||||||
| Port Corpus Christi Auth—Celanese | 6.45 | % | 11/1/2030 | BB- | 3,450 | 3,452,070 | ||||||||||
| Rockdale Co Dev—Visy Paper AMT | 6.125 | % | 1/1/2034 | NR | 6,000 | 6,059,820 | ||||||||||
| Rumford Solid Waste—Office Max AMT | 6.875 | % | 10/1/2026 | B2 | 1,500 | 1,506,180 | ||||||||||
| West Pace Coop Dist | 9.125 | % | 5/1/2039 | NR | 13,915 | 12,573,037 | ||||||||||
| WI PFA—TRIPS AMT | 5.00 | % | 7/1/2042 | BBB- | 2,000 | 1,663,380 | ||||||||||
| Total | 191,992,108 | |||||||||||||||
| Education 4.95% | ||||||||||||||||
| Buffalo & Erie IDC—Medaille Clg | 5.00 | % | 4/1/2022 | BB+ | 1,185 | 1,176,101 | ||||||||||
| Buffalo & Erie IDC—Medaille Clg | 5.25 | % | 4/1/2035 | BB+ | 2,885 | 2,625,581 | ||||||||||
| CA Stwde—Thomas Jeff Sch of Law† | 7.25 | % | 10/1/2032 | B+ | 3,500 | 3,482,150 | ||||||||||
| CA Stwde—Windrush Sch(e) | 5.50 | % | 7/1/2037 | NR | 7,225 | 72 | ||||||||||
| Dutchess Co LDC—Anderson Ctr | 6.00 | % | 10/1/2030 | BB+ | 1,720 | 1,693,030 | ||||||||||
| Gainesville Redev—Riverside Mil Admy | 5.125 | % | 3/1/2027 | BB+ | (d) | 1,375 | 1,295,346 | |||||||||
| Gainesville Redev—Riverside Mil Admy | 5.125 | % | 3/1/2037 | BB+ | (d) | 4,000 | 3,517,040 | |||||||||
| Harrisburg Auth—Univ of Science(e) | 6.00 | % | 9/1/2036 | NR | 12,725 | 7,465,757 | ||||||||||
| IA Hi Ed—Central Clg | 5.00 | % | 10/1/2031 | Baa3 | 3,900 | 3,818,451 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2021 | Baa3 | 4,325 | 4,287,718 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2023 | Baa3 | 4,000 | 3,899,720 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2025 | Baa3 | 2,500 | 2,384,300 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2026 | Baa3 | 2,000 | 1,884,600 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 5.00 | % | 4/1/2031 | Baa3 | 2,700 | 2,377,998 | ||||||||||
| IL Fin Auth—IL Inst of Tech | 7.125 | % | 2/1/2034 | Baa3 | 2,500 | 2,639,150 | ||||||||||
| Marietta Dev Auth—Life Univ | 7.00 | % | 6/15/2030 | Ba3 | 5,000 | 5,127,600 | ||||||||||
| MD Hlth & Hi Ed—Wash Christian Admy(e) | 5.25 | % | 7/1/2018 | NR | 250 | 72,500 | ||||||||||
| MD Hlth & Hi Ed—Wash Christian Admy(e) | 5.50 | % | 7/1/2038 | NR | 2,300 | 667,000 | ||||||||||
| NC Cap Facs—High Point Univ | 4.375 | % | 5/1/2034 | BBB+ | 3,580 | 3,159,815 | ||||||||||
| NH Hlth & Ed—Sthrn NH Univ | 5.00 | % | 1/1/2034 | BBB | 2,800 | 2,666,188 | ||||||||||
| NJ Ed Facs—Univ Med & Dent | 7.125 | % | 12/1/2023 | NR | 4,000 | 5,181,400 | ||||||||||
| NJ Ed Facs—Univ Med & Dent | 7.50 | % | 12/1/2032 | NR | 2,000 | 2,631,080 | ||||||||||
| NY Dorm—NYU(c) | 5.00 | % | 7/1/2043 | AA- | 1,350 | 1,400,531 | ||||||||||
| NYC IDA—Vaughn Clg | 5.00 | % | 12/1/2031 | BB | 1,510 | 1,347,298 | ||||||||||
| NYC IDA—Vaughn Clg | 5.25 | % | 12/1/2036 | BB | 3,640 | 3,165,271 | ||||||||||
| See Notes to Financial Statements. | 87 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| OH Hi Ed—Ashland Univ | 6.25 | % | 9/1/2024 | B3 | $ | 6,265 | $ | 6,271,516 | ||||||||
| PA Hi Ed—Shippensburg Univ | 5.00 | % | 10/1/2035 | BBB- | 800 | 743,544 | ||||||||||
| Quad Cities Econ Dev—Augustana Clg | 4.75 | % | 10/1/2029 | Baa1 | 845 | 799,649 | ||||||||||
| Quad Cities Econ Dev—Augustana Clg | 4.75 | % | 10/1/2032 | Baa1 | 1,000 | 927,860 | ||||||||||
| Univ of California(b) | 5.75 | % | 5/15/2031 | Aa1 | 7,000 | 7,852,110 | ||||||||||
| Total | 84,560,376 | |||||||||||||||
| General Obligation 6.16% | ||||||||||||||||
| Arkansas City Bldg—So Cent Reg Med | 6.75 | % | 9/1/2038 | Baa3 | 6,360 | 6,953,770 | ||||||||||
| Bellwood GO | 5.875 | % | 12/1/2027 | NR | 3,000 | 2,729,580 | ||||||||||
| Bellwood GO | 6.15 | % | 12/1/2032 | NR | 2,770 | 2,475,161 | ||||||||||
| Guam GO | 6.75 | % | 11/15/2029 | B+ | 8,690 | 9,196,279 | ||||||||||
| Guam GO | 7.00 | % | 11/15/2039 | B+ | 2,175 | 2,307,610 | ||||||||||
| IL State GO | 5.00 | % | 8/1/2025 | A- | 2,685 | 2,779,781 | ||||||||||
| IL State GO | 5.00 | % | 3/1/2031 | A- | 2,250 | 2,178,720 | ||||||||||
| IL State GO | 5.00 | % | 3/1/2032 | A- | 6,000 | 5,789,760 | ||||||||||
| IL State GO | 5.00 | % | 1/1/2034 | A- | 2,275 | 2,163,593 | ||||||||||
| Kendall Kane & WIll Co CUSD #308 | 5.00 | % | 2/1/2029 | Aa2 | 11,000 | 11,692,120 | ||||||||||
| Maverick Co GO | 8.75 | % | 3/1/2034 | NR | 2,500 | 2,527,050 | ||||||||||
| Maverick Co GO | 8.75 | % | 3/1/2034 | NR | 5,500 | 5,559,510 | ||||||||||
| NYC GO(b) | 5.125 | % | 3/1/2026 | AA | 10,000 | 11,285,900 | ||||||||||
| Oakland USD | 6.125 | % | 8/1/2029 | NR | 1,500 | 1,569,630 | ||||||||||
| PR Comwlth GO | 5.00 | % | 7/1/2041 | BBB- | 4,920 | 3,225,060 | ||||||||||
| PR Comwlth GO | 5.25 | % | 7/1/2037 | BBB- | 5,000 | 3,576,200 | ||||||||||
| PR Comwlth GO | 5.50 | % | 7/1/2039 | BBB- | 16,600 | 11,223,260 | ||||||||||
| PR Comwlth GO | 5.625 | % | 7/1/2033 | BBB- | 4,000 | 2,893,000 | ||||||||||
| PR Pub Bldg Auth GTD | 5.25 | % | 7/1/2042 | BBB- | 16,395 | 11,066,953 | ||||||||||
| PR Pub Bldg Auth GTD | 5.625 | % | 7/1/2039 | BBB- | 2,800 | 2,100,560 | ||||||||||
| Woonsocket GO | 7.125 | % | 6/15/2016 | B3 | 1,955 | 2,003,425 | ||||||||||
| Total | 105,296,922 | |||||||||||||||
| Health Care 27.08% | ||||||||||||||||
| Abag Fin Auth—Eskaton Pptys | 5.00 | % | 11/15/2035 | BBB | 2,350 | 2,152,788 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.875 | % | 11/15/2036 | NR | 10,000 | 8,844,200 | ||||||||||
| Alachua Co IDA—No FL Retirement Vlg | 5.875 | % | 11/15/2042 | NR | 4,500 | 3,878,865 | ||||||||||
| Atlantic Bch Hlth—Fleet Landing | 5.00 | % | 11/15/2037 | BBB | (d) | 1,300 | 1,212,029 | |||||||||
| AZ Hlth Facs—Beatitudes | 5.20 | % | 10/1/2037 | NR | 9,710 | 7,749,163 | ||||||||||
| CA Stwde—Eskaton Pptys | 5.25 | % | 11/15/2034 | BBB | 1,640 | 1,565,413 | ||||||||||
| 88 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| CA Stwde—So Cal Presbyterian | 7.00 | % | 11/15/2029 | BBB- | $ | 1,000 | $ | 1,107,540 | ||||||||
| CA Stwde—So Cal Presbyterian | 7.25 | % | 11/15/2041 | BBB- | 2,500 | 2,738,000 | ||||||||||
| CA Stwde—Terraces San Joaquin | 5.625 | % | 10/1/2032 | NR | 1,000 | 980,010 | ||||||||||
| CA Stwde—Terraces San Joaquin | 6.00 | % | 10/1/2042 | NR | 1,070 | 1,071,466 | ||||||||||
| CA Stwde—Terraces San Joaquin | 6.00 | % | 10/1/2047 | NR | 1,000 | 988,550 | ||||||||||
| Chesterfield Co EDA—Brandermill Woods | 5.00 | % | 1/1/2032 | NR | 2,000 | 1,823,260 | ||||||||||
| Chesterfield Co EDA—Brandermill Woods | 5.125 | % | 1/1/2043 | NR | 1,000 | 875,000 | ||||||||||
| CO Hlth Facs—American Baptist | 7.75 | % | 8/1/2029 | NR | 5,770 | 6,186,594 | ||||||||||
| CO Hlth Facs—American Baptist | 7.75 | % | 8/1/2039 | NR | 5,045 | 5,338,720 | ||||||||||
| CO Hlth Facs—Christian Living Cmnty | 5.25 | % | 1/1/2037 | NR | 1,000 | 914,710 | ||||||||||
| CO Hlth Facs—Evangelical Lutheran(c) | 5.625 | % | 6/1/2043 | A- | 1,150 | 1,156,291 | ||||||||||
| Cumberland Co Mun Auth—Asbury | 5.25 | % | 1/1/2041 | NR | 2,000 | 1,819,640 | ||||||||||
| Cumberland Mun Auth—Asbury | 5.40 | % | 1/1/2022 | NR | 585 | 598,631 | ||||||||||
| Cumberland Mun Auth—Asbury | 6.00 | % | 1/1/2040 | NR | 2,000 | 2,055,240 | ||||||||||
| Cuyahoga Co Hlth—Eliza Jennings | 6.00 | % | 5/15/2037 | NR | 4,300 | 4,173,021 | ||||||||||
| Cuyahoga Co Hlth—Eliza Jennings | 6.00 | % | 5/15/2042 | NR | 2,500 | 2,404,125 | ||||||||||
| Fairfax Co EDA—Vinson Hall | 5.00 | % | 12/1/2032 | NR | 1,000 | 933,310 | ||||||||||
| Fairfax Co EDA—Vinson Hall | 5.00 | % | 12/1/2042 | NR | 2,800 | 2,497,264 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 5.25 | % | 7/1/2039 | Ba1 | 1,250 | 1,069,625 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 7.00 | % | 7/1/2030 | Ba1 | 4,225 | 4,504,146 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 7.375 | % | 7/1/2035 | Ba1 | 2,620 | 2,817,076 | ||||||||||
| Flint Hsp Bldg Auth—Hurley Med Ctr | 7.50 | % | 7/1/2039 | Ba1 | 800 | 856,504 | ||||||||||
| Gaithersburg Eco Dev—Asbury | 5.125 | % | 1/1/2036 | BBB | (d) | 4,700 | 4,394,970 | |||||||||
| Gaithersburg Eco Dev—Asbury | 6.00 | % | 1/1/2023 | BBB | (d) | 3,385 | 3,618,565 | |||||||||
| Hanover Co EDA—Covenant Woods | 5.00 | % | 7/1/2042 | NR | 2,000 | 1,633,840 | ||||||||||
| Hanover Co EDA—Covenant Woods | 5.00 | % | 7/1/2047 | NR | 1,985 | 1,593,240 | ||||||||||
| Harris Co—Childrens Med | 5.00 | % | 10/1/2024 | AA | 6,000 | 6,520,020 | ||||||||||
| Harris Co—Childrens Med | 5.25 | % | 10/1/2029 | AA | 4,000 | 4,384,640 | ||||||||||
| Harris Co Cultural Ed—Brazos | 5.00 | % | 1/1/2033 | NR | 545 | 497,149 | ||||||||||
| Harris Co Cultural Ed—Brazos | 5.00 | % | 1/1/2038 | NR | 510 | 448,769 | ||||||||||
| Harris Co Cultural Ed—Brazos | 5.00 | % | 1/1/2043 | NR | 520 | 446,129 | ||||||||||
| Harris Co Cultural Ed—Brazos | 5.125 | % | 1/1/2048 | NR | 1,535 | 1,309,232 | ||||||||||
| HFDC Cent TX—Legacy/Willow Bend | 5.625 | % | 11/1/2026 | NR | 1,850 | 1,883,059 | ||||||||||
| HFDC Cent TX—Legacy/Willow Bend | 5.75 | % | 11/1/2036 | NR | 5,500 | 5,513,530 | ||||||||||
| HI Dept Budget—Hawaii Pacific Hlth(c) | 5.50 | % | 7/1/2043 | A2 | 1,090 | 1,113,817 | ||||||||||
| Holmes Co Hsp—Doctors Mem Hsp | 5.75 | % | 11/1/2026 | NR | 5,385 | 5,146,498 | ||||||||||
| Holmes Co Hsp—Doctors Mem Hsp | 6.00 | % | 11/1/2038 | NR | 7,115 | 6,473,583 | ||||||||||
| See Notes to Financial Statements. | 89 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| Howard Co Retmt Cmnty—Vantage House | 5.25 | % | 4/1/2027 | NR | $ | 1,200 | $ | 1,136,664 | ||||||||
| Howard Co Retmt Cmnty—Vantage House | 5.25 | % | 4/1/2033 | NR | 2,990 | 2,634,280 | ||||||||||
| Howard Co Retmt Cmnty—Vantage House | 5.25 | % | 4/1/2037 | NR | 6,270 | 5,345,865 | ||||||||||
| Huntsville Redstone Vlg | 5.50 | % | 1/1/2028 | NR | 1,990 | 1,838,004 | ||||||||||
| IL Fin Auth—Clare At Water Tower(e) | Zero Coupon | 5/15/2050 | NR | 4,800 | 480 | |||||||||||
| IL Fin Auth—Clare At Water Tower(e) | 5.125 | % | 5/15/2018 | NR | 3,500 | 350 | ||||||||||
| IL Fin Auth—Clare At Water Tower(e) | 5.20 | % | 5/15/2015 | NR | 700 | 70 | ||||||||||
| IL Fin Auth—Clare At Water Tower(e) | 5.30 | % | 5/15/2016 | NR | 700 | 70 | ||||||||||
| IL Fin Auth—Clare At Water Tower(e) | 6.00 | % | 5/15/2028 | NR | 2,800 | 280 | ||||||||||
| IL Fin Auth—Clare At Water Tower(e) | 6.125 | % | 5/15/2041 | NR | 3,500 | 350 | ||||||||||
| IL Fin Auth—Clare Oaks | Zero Coupon | 11/15/2052 | NR | 2,845 | 55,618 | |||||||||||
| IL Fin Auth—Clare Oaks~ | Zero Coupon | 11/15/2052 | NR | 569 | 189,436 | |||||||||||
| IL Fin Auth—Clare Oaks~ | Zero Coupon | 11/15/2052 | NR | 569 | 138,421 | |||||||||||
| IL Fin Auth—Clare Oaks | 4.00 | % | 11/15/2052 | NR | 4,550 | 2,536,481 | ||||||||||
| IL Fin Auth—Clare Oaks | 7.00 | % | 11/15/2017 | NR | 520 | 513,214 | ||||||||||
| IL Fin Auth—Clare Oaks | 7.00 | % | 11/15/2027 | NR | 830 | 767,011 | ||||||||||
| IL Fin Auth—Clare Oaks | 7.00 | % | 11/15/2027 | NR | 1,040 | 958,974 | ||||||||||
| IL Fin Auth—Friendship Vlg Shaumburg | 5.375 | % | 2/15/2025 | BB- | (d) | 4,000 | 3,911,640 | |||||||||
| IL Fin Auth—Friendship Vlg Shaumburg | 5.625 | % | 2/15/2037 | BB- | (d) | 7,975 | 7,375,360 | |||||||||
| IL Fin Auth—Friendship Vlg Shaumburg | 7.25 | % | 2/15/2045 | BB- | (d) | 3,500 | 3,542,140 | |||||||||
| IL Fin Auth—Landing / Plymouth Place | 6.00 | % | 5/15/2043 | NR | 2,165 | 1,767,658 | ||||||||||
| IL Fin Auth—Northwestern Mem Hsp(b) | 5.75 | % | 8/15/2030 | AA+ | 5,000 | 5,481,275 | ||||||||||
| IL Fin Auth—Rush Univ Med | 7.25 | % | 11/1/2030 | A | 3,000 | 3,572,910 | ||||||||||
| IL Fin Auth—Smith Vlg | 5.25 | % | 11/15/2016 | NR | 3,005 | 3,039,227 | ||||||||||
| IL Fin Auth—Three Crowns Pk Plaza | 5.875 | % | 2/15/2038 | NR | 4,500 | 4,295,295 | ||||||||||
| Iron River Hsp—Iron Co Comnty Hsps | 6.50 | % | 5/15/2033 | NR | 5,000 | 4,999,550 | ||||||||||
| Kent Hsp Fin Auth—Metropolitan Hsp | 5.75 | % | 7/1/2025 | BB+ | 3,325 | 3,332,315 | ||||||||||
| Kent Hsp Fin Auth—Metropolitan Hsp | 6.00 | % | 7/1/2035 | BB+ | 4,575 | 4,541,557 | ||||||||||
| Kirkwood IDA—Aberdeen Hts | 8.00 | % | 5/15/2021 | NR | 1,000 | 1,100,650 | ||||||||||
| Kirkwood IDA—Aberdeen Hts | 8.00 | % | 5/15/2029 | NR | 2,820 | 3,114,295 | ||||||||||
| Kirkwood IDA—Aberdeen Hts | 8.25 | % | 5/15/2039 | NR | 6,695 | 7,426,161 | ||||||||||
| KY EDA—Masonic Homes | 5.375 | % | 11/15/2032 | NR | 3,000 | 2,833,800 | ||||||||||
| LA PFA—Lake Charles Mem Hsp† | 6.375 | % | 12/1/2034 | NR | 5,840 | 5,738,267 | ||||||||||
| LA PFA—Ochsner Clinic | 6.50 | % | 5/15/2037 | Baa1 | 8,250 | 8,825,932 | ||||||||||
| Lubbock Hlth—Carillon | 6.30 | % | 7/1/2019 | NR | 4,010 | 4,133,187 | ||||||||||
| MA DFA—Boston Med Ctr | 5.00 | % | 7/1/2029 | BBB+ | 2,500 | 2,438,625 | ||||||||||
| MA DFA—Boston Med Ctr | 5.25 | % | 7/1/2026 | BBB+ | 3,000 | 3,067,290 | ||||||||||
| 90 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| MA DFA—Groves in Lincoln(e) | 7.50 | % | 6/1/2029 | NR | $ | 4,000 | $ | 248,000 | ||||||||
| MA DFA—Groves in Lincoln(e) | 7.75 | % | 6/1/2039 | NR | 2,000 | 124,000 | ||||||||||
| MA Hlth & Ed—Emerson Hsp (RADIAN) | 5.00 | % | 8/15/2025 | NR | 4,000 | 3,657,240 | ||||||||||
| Martin Co Hlth—Martin Mem Med | 5.50 | % | 11/15/2032 | Baa1 | 2,250 | 2,271,847 | ||||||||||
| Martin Co Hlth—Martin Mem Med | 5.50 | % | 11/15/2042 | Baa1 | 4,125 | 4,095,094 | ||||||||||
| Martin Hsp Dist | 7.25 | % | 4/1/2036 | BBB | (d) | 3,450 | 3,668,764 | |||||||||
| ME Hlth & Hi Ed—Eastern ME Med | 5.00 | % | 7/1/2043 | Baa1 | 2,810 | 2,725,166 | ||||||||||
| Montgomery Co IDA—Whitemarsh | 6.25 | % | 2/1/2035 | NR | 10,225 | 9,977,146 | ||||||||||
| Muskingum Co Hsp—Genesis Hlthcare | 5.00 | % | 2/15/2044 | BB+ | 8,175 | 6,531,089 | ||||||||||
| NC Med—Lutheran Svcs | 4.75 | % | 3/1/2032 | NR | 1,250 | 1,114,325 | ||||||||||
| NC Med—Lutheran Svcs | 5.00 | % | 3/1/2037 | NR | 1,000 | 901,730 | ||||||||||
| NC Med—Lutheran Svcs | 5.00 | % | 3/1/2042 | NR | 1,000 | 887,930 | ||||||||||
| NJ EDA—Seashore Gardens | 5.30 | % | 11/1/2026 | NR | 1,250 | 1,160,713 | ||||||||||
| NJ EDA—Seashore Gardens | 5.375 | % | 11/1/2036 | NR | 4,705 | 3,997,086 | ||||||||||
| NJ Hlth—Somerset Med Ctr | 5.50 | % | 7/1/2033 | Ba2 | 6,130 | 6,129,387 | ||||||||||
| NM Hsp—Gerald Champion Hsp | 5.50 | % | 7/1/2042 | B+ | 2,625 | 2,237,917 | ||||||||||
| NM Hsp—Haverland | 5.00 | % | 7/1/2032 | BBB- | (d) | 2,800 | 2,481,388 | |||||||||
| NM Hsp—Haverland | 5.00 | % | 7/1/2042 | BBB- | (d) | 1,500 | 1,273,875 | |||||||||
| NY Dorm—Orange Regl Med | 6.125 | % | 12/1/2029 | Ba1 | 5,650 | 5,690,341 | ||||||||||
| OH Hsp—Cleveland Clinic(b) | 5.50 | % | 1/1/2034 | AA- | 13,500 | 14,332,410 | ||||||||||
| Onondaga CDC—St Josephs Hsp | 4.50 | % | 7/1/2032 | BB+ | 7,000 | 6,017,970 | ||||||||||
| Orange Co Hlth—Orlando Lutheran | 5.375 | % | 7/1/2020 | NR | 1,100 | 1,093,455 | ||||||||||
| Orange Co Hlth—Orlando Lutheran | 5.50 | % | 7/1/2038 | NR | 6,550 | 5,927,095 | ||||||||||
| Orange Co Hlth—Orlando Lutheran | 5.70 | % | 7/1/2026 | NR | 2,920 | 2,878,156 | ||||||||||
| Palomar Hlth Care Dist COP | 5.50 | % | 11/1/2019 | Baa3 | 5,000 | 5,244,150 | ||||||||||
| Palomar Hlth Care Dist COP | 6.00 | % | 11/1/2030 | Baa3 | 500 | 499,440 | ||||||||||
| Palomar Hlth Care Dist COP | 6.625 | % | 11/1/2029 | Baa3 | 5,000 | 5,242,300 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.50 | % | 7/1/2026 | BB+ | 1,850 | 1,854,162 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.625 | % | 7/1/2036 | BB+ | 6,250 | 5,437,750 | ||||||||||
| Philadelphia Hsps—Temple Univ Hlth | 5.625 | % | 7/1/2042 | BB+ | 2,000 | 1,695,900 | ||||||||||
| RI Hlth & Ed—St Joseph Hlth | 5.50 | % | 10/1/2029 | CCC | 15,270 | 10,615,093 | ||||||||||
| Rochester Hlth Care—Samaritan Bethany | 6.875 | % | 12/1/2029 | NR | 1,945 | 2,061,116 | ||||||||||
| Rochester Hlth Care—Samaritan Bethany | 7.375 | % | 12/1/2041 | NR | 6,000 | 6,368,340 | ||||||||||
| Salem Hsp Fac—Capital Manor | 5.625 | % | 5/15/2032 | NR | 1,000 | 984,630 | ||||||||||
| Salem Hsp Fac—Capital Manor | 6.00 | % | 5/15/2047 | NR | 1,600 | 1,563,712 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 7.50 | % | 12/1/2041 | BB | 3,100 | 3,400,452 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 8.00 | % | 12/1/2026 | BB | 10,000 | 11,856,500 | ||||||||||
| See Notes to Financial Statements. | 91 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| Sarasota Hlth—Manatee | 5.75 | % | 7/1/2037 | NR | $ | 2,895 | $ | 2,585,727 | ||||||||
| Sarasota Hlth—Manatee | 5.75 | % | 7/1/2045 | NR | 6,435 | 5,522,646 | ||||||||||
| Sayre Mem Hsp Auth | 6.00 | % | 7/1/2037 | NR | 4,000 | 2,623,680 | ||||||||||
| SC Jobs EDA—Hampton Regl Med | 5.25 | % | 11/1/2028 | NR | 12,000 | 11,036,280 | ||||||||||
| SE Port Auth—Memorial Hlth | 5.75 | % | 12/1/2032 | NR | 3,800 | 3,654,688 | ||||||||||
| SE Port Auth—Memorial Hlth | 6.00 | % | 12/1/2042 | NR | 6,750 | 6,445,980 | ||||||||||
| Shelby Co Hlth Ed Hsg—Vlg Germantwn | 5.00 | % | 12/1/2032 | NR | 2,100 | 1,869,168 | ||||||||||
| Shelby Co Hlth Ed Hsg—Vlg Germantwn | 5.25 | % | 12/1/2042 | NR | 1,800 | 1,574,892 | ||||||||||
| St Paul Port Auth—Healtheast Midway | 5.75 | % | 5/1/2025 | BB+ | 1,520 | 1,559,292 | ||||||||||
| St Paul Port Auth—Healtheast Midway | 5.875 | % | 5/1/2030 | BB+ | 1,000 | 1,013,370 | ||||||||||
| Sylacauga Hlth—Coosa Vy Med Ctr | 5.375 | % | 8/1/2015 | NR | 1,010 | 1,028,109 | ||||||||||
| Sylacauga Hlth—Coosa Vy Med Ctr | 6.00 | % | 8/1/2025 | NR | 3,000 | 2,893,950 | ||||||||||
| Sylacauga Hlth—Coosa Vy Med Ctr | 6.00 | % | 8/1/2035 | NR | 3,000 | 2,741,400 | ||||||||||
| Upper IL River Vy—Pleasant View | 7.25 | % | 11/15/2040 | NR | 1,200 | 1,223,856 | ||||||||||
| Upper IL River Vy—Pleasant View | 7.375 | % | 11/15/2045 | NR | 1,550 | 1,581,109 | ||||||||||
| Vigo Co Hsp—Union Hsp† | 5.70 | % | 9/1/2037 | NR | 9,250 | 9,271,922 | ||||||||||
| Vigo Co Hsp—Union Hsp† | 5.75 | % | 9/1/2042 | NR | 2,000 | 2,004,740 | ||||||||||
| Vigo Co Hsp—Union Hsp | 8.00 | % | 9/1/2041 | NR | 2,955 | 3,392,872 | ||||||||||
| WA Hlth Care—Kadlec Regl Med Ctr | 5.00 | % | 12/1/2042 | Baa3 | 2,745 | 2,352,163 | ||||||||||
| WA Hsg—Mirabella | 6.50 | % | 10/1/2032 | NR | 2,000 | 1,875,880 | ||||||||||
| WA Hsg—Mirabella | 6.75 | % | 10/1/2047 | NR | 1,000 | 917,280 | ||||||||||
| Westchester Co LDC—Kendal Hudson | 5.00 | % | 1/1/2034 | BBB | (d) | 1,250 | 1,221,888 | |||||||||
| Western IL EDA—Carthage Mem Hsp | 7.00 | % | 6/1/2033 | NR | 2,890 | 2,835,263 | ||||||||||
| WI Hlth & Ed—Wheaton Franciscan Hlth | 5.125 | % | 8/15/2030 | A- | 5,000 | 4,913,850 | ||||||||||
| WI Hlth—Sauk-Prairie Mem Hsp | 5.375 | % | 2/1/2048 | Ba1 | 4,000 | 3,579,400 | ||||||||||
| WI PFA—Las Ventanas Retirement Ser B-1 | Zero Coupon | 10/1/2042 | NR | 2,961 | 903,283 | |||||||||||
| WI PFA—Las Ventanas Retirement Ser C-1 | Zero Coupon | 10/1/2042 | NR | 2,961 | 30 | |||||||||||
| WI PFA—Las Ventanas Retirement | 7.00 | % | 10/1/2042 | NR | 6,895 | 6,353,122 | ||||||||||
| Wilson Co Hsp | 5.60 | % | 9/1/2036 | NR | 3,530 | 3,016,032 | ||||||||||
| Wood Co Hsp Facs—Wood Co Hsp | 5.00 | % | 12/1/2032 | Baa2 | 1,445 | 1,404,988 | ||||||||||
| WV Hsp—Herbert Thomas Hlth | 6.50 | % | 10/1/2028 | NR | 7,425 | 7,424,926 | ||||||||||
| Total | 463,008,379 | |||||||||||||||
| Housing 0.73% | ||||||||||||||||
| Alachua Co Hlth—Oak Hammock | 8.00 | % | 10/1/2042 | NR | 700 | 792,400 | ||||||||||
| Alachua Co Hlth—Oak Hammock | 8.00 | % | 10/1/2046 | NR | 1,000 | 1,123,150 | ||||||||||
| 92 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Housing (continued) | ||||||||||||||||
| CA Stwde—American Baptist | 5.00 | % | 10/1/2043 | BBB | $ | 2,450 | $ | 2,123,146 | ||||||||
| LA HFA—GMF-LA Chateau | 8.00 | % | 9/1/2039 | BB | 3,370 | 3,525,559 | ||||||||||
| Met Govt Nashville H & E—Prestige Pt(e) | 7.50 | % | 12/20/2040 | NR | 3,930 | 2,358,000 | ||||||||||
| MI Strategic Fd—Evangelical Homes | 5.50 | % | 6/1/2047 | BB+ | (d) | 1,250 | 1,126,825 | |||||||||
| Saline EDC—Evangelical Homes | 5.50 | % | 6/1/2047 | BB+ | (d) | 1,500 | 1,352,190 | |||||||||
| Total | 12,401,270 | |||||||||||||||
| Lease Obligations 1.31% | ||||||||||||||||
| CA Pub Wks—State Prisons | 5.75 | % | 10/1/2031 | A2 | 1,500 | 1,677,015 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 4/1/2034 | A2 | 5,000 | 5,128,700 | ||||||||||
| Houston Co Coop Dist—Country Crossing(e) | 12.50 | % | 6/7/2013 | NR | 4,199 | 587,860 | ||||||||||
| Philadelphia Muni Auth | 6.375 | % | 4/1/2029 | A2 | 2,000 | 2,209,500 | ||||||||||
| PR Pub Bldg Auth GTD | 5.25 | % | 7/1/2033 | BBB- | 5,000 | 3,665,550 | ||||||||||
| PR Pub Fin Corp | 5.50 | % | 8/1/2031 | BBB- | 12,250 | 9,067,205 | ||||||||||
| Total | 22,335,830 | |||||||||||||||
| Other Revenue 12.78% | ||||||||||||||||
| Apache Co Poll Ctl—Tucson Elec | 4.50 | % | 3/1/2030 | BBB | 7,000 | 6,499,710 | ||||||||||
| Baker Correctional Dev | 7.50 | % | 2/1/2030 | NR | 8,400 | 6,991,320 | ||||||||||
| Baltimore Conv Ctr—Hilton Hotel | 5.875 | % | 9/1/2039 | Ba2 | 10,845 | 10,232,908 | ||||||||||
| Baltimore Conv Ctr—Hilton Hotel (XLCA) | 5.25 | % | 9/1/2039 | BB+ | 2,975 | 2,658,282 | ||||||||||
| Baytown Twp—St Croix Prep Admy | 6.75 | % | 8/1/2028 | BB | 3,450 | 3,489,226 | ||||||||||
| Baytown Twp—St Croix Prep Admy | 7.00 | % | 8/1/2038 | BB | 3,000 | 3,030,210 | ||||||||||
| CA Fin Auth—High Tech† | 6.125 | % | 7/1/2038 | BB | (d) | 1,250 | 1,157,900 | |||||||||
| CA Stwde—Huntington Pk | 5.15 | % | 7/1/2030 | NR | 2,340 | 1,969,648 | ||||||||||
| CA Stwde—Huntington Pk | 5.25 | % | 7/1/2042 | NR | 1,500 | 1,178,250 | ||||||||||
| Charyl Stockwell Admy COP | 5.75 | % | 10/1/2025 | NR | 4,130 | 3,950,799 | ||||||||||
| Charyl Stockwell Admy COP | 5.90 | % | 10/1/2035 | NR | 3,000 | 2,703,600 | ||||||||||
| Chester Co IDA—Collegium Chtr Sch | 5.00 | % | 10/15/2022 | BBB- | 1,000 | 985,710 | ||||||||||
| Chester Co IDA—Collegium Chtr Sch | 5.375 | % | 10/15/2042 | BBB- | 5,000 | 4,453,700 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 5.00 | % | 8/15/2032 | BBB | 915 | 854,519 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs | 5.00 | % | 8/15/2042 | BBB | 1,240 | 1,103,290 | ||||||||||
| Clifton Higher Ed—IDEA Pub Schs(c) | 6.00 | % | 8/15/2043 | BBB | 1,000 | 1,013,280 | ||||||||||
| Doctor Charles Drew Admy COP | 5.70 | % | 11/1/2036 | NR | 1,800 | 1,275,696 | ||||||||||
| Downtown Phoenix Hotel Corp (FGIC) | 5.00 | % | 7/1/2036 | BB+ | 5,000 | 4,515,300 | ||||||||||
| FL DFC—Palm Bay Admy(e) | 6.00 | % | 5/15/2036 | NR | 2,000 | 1,351,720 | ||||||||||
| FL DFC—Palm Bay Admy(e) | 6.125 | % | 5/15/2037 | NR | 1,855 | 1,253,590 | ||||||||||
| FL DFC—Renaissance Chtr Sch | 6.125 | % | 6/15/2043 | NR | 3,000 | 2,590,230 | ||||||||||
| FL DFC—Renaissance Chtr Sch | 7.50 | % | 6/15/2033 | BB- | (d) | 9,350 | 9,623,207 | |||||||||
| See Notes to Financial Statements. | 93 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Other Revenue (continued) | ||||||||||||||||
| Florence Twn IDA—Legacy Trad Sch | 6.00 | % | 7/1/2043 | BB | $ | 3,250 | $ | 2,985,157 | ||||||||
| IA Fin Auth—Childserve | 5.375 | % | 6/1/2026 | NR | 1,795 | 1,661,793 | ||||||||||
| IA Fin Auth—Childserve | 5.50 | % | 6/1/2031 | NR | 4,260 | 3,758,939 | ||||||||||
| IA Fin Auth—Childserve | 5.55 | % | 6/1/2036 | NR | 5,960 | 5,098,422 | ||||||||||
| IN Fin Auth—Drexel Foundation | 6.625 | % | 10/1/2029 | BB- | 750 | 742,350 | ||||||||||
| IN Fin Auth—Drexel Foundation | 7.00 | % | 10/1/2039 | BB- | 1,250 | 1,230,888 | ||||||||||
| Kansas City IDA—Derrick Thomas Sch† | 5.875 | % | 1/1/2037 | NR | 6,570 | 1,511,100 | ||||||||||
| La Paz Co IDA—Imperial Regl Jail | 7.80 | % | 10/1/2039 | NR | 5,500 | 5,457,595 | ||||||||||
| La Vernia Hi Ed—Amigos/Friends Life | 6.25 | % | 2/15/2026 | NR | 1,000 | 959,230 | ||||||||||
| La Vernia Hi Ed—Amigos/Friends Life | 6.375 | % | 2/15/2037 | NR | 1,220 | 1,089,228 | ||||||||||
| La Vernia Hi Ed—Cosmos Fndtn | 7.125 | % | 2/15/2038 | BBB | 6,515 | 6,886,941 | ||||||||||
| La Vernia Hi Ed—Life Schools of Dallas | 7.25 | % | 8/15/2031 | BBB- | 4,750 | 5,313,065 | ||||||||||
| Lombard PFC—Conf Ctr & Hotel | 7.125 | % | 1/1/2036 | NR | 8,500 | 5,820,460 | ||||||||||
| Maverick Co PFC | 6.25 | % | 2/1/2024 | NR | 4,430 | 3,123,992 | ||||||||||
| Maverick Co PFC | 6.375 | % | 2/1/2029 | NR | 1,640 | 1,033,626 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.00 | % | 12/1/2031 | NR | 15,200 | 9,085,952 | ||||||||||
| MD EDC—Chesapeake Bay Hyatt | 5.25 | % | 12/1/2031 | NR | 3,000 | 1,793,340 | ||||||||||
| MI Pub Ed—Bradford Admy† | 6.50 | % | 9/1/2037 | D | 5,500 | 2,860,000 | ||||||||||
| MI Pub Ed—Bradford Admy | 8.75 | % | 9/1/2039 | D | 2,250 | 1,170,000 | ||||||||||
| MI Pub Ed—Crescent Admy | 7.00 | % | 10/1/2036 | NR | 707 | 654,494 | ||||||||||
| MI Pub Ed—Landmark Admy | 6.625 | % | 6/1/2030 | BBB- | 1,955 | 1,979,379 | ||||||||||
| MI Pub Ed—Old Redford | 5.875 | % | 12/1/2030 | BB | 3,720 | 3,463,097 | ||||||||||
| MI St Strategic Fd(g) | — | — | (h) | NR | 5,000 | 500 | ||||||||||
| Middlesex Co Impt Auth—Heldrich Ctr(e) | 6.125 | % | 1/1/2025 | NR | 2,790 | 279,000 | ||||||||||
| Middlesex Co Impt Auth—Heldrich Ctr(e) | 6.25 | % | 1/1/2037 | NR | 5,755 | 575,500 | ||||||||||
| Milwaukee Redev—Admy of Learning(e) | 5.65 | % | 8/1/2037 | NR | 3,340 | 1,202,400 | ||||||||||
| Mohave Co IDA—Mohave Prison | 8.00 | % | 5/1/2025 | BBB+ | 10,250 | 11,946,785 | ||||||||||
| North TX Edu Fin Corp—Uplift Education | 4.875 | % | 12/1/2032 | BBB- | 2,085 | 1,867,952 | ||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2023 | Ba1 | 635 | 638,156 | ||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2036 | Ba1 | 2,380 | 2,138,049 | ||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2039 | Ba1 | 4,460 | 3,935,995 | ||||||||||
| Ohio St Pollution Ctl Rev | 5.625 | % | 3/1/2015 | NR | 2,965 | 297 | ||||||||||
| Otero Co Jail | 5.75 | % | 4/1/2018 | NR | 1,955 | 1,865,735 | ||||||||||
| Otero Co Jail | 6.00 | % | 4/1/2023 | NR | 1,350 | 1,189,121 | ||||||||||
| Otero Co Jail | 6.00 | % | 4/1/2028 | NR | 1,925 | 1,551,088 | ||||||||||
| Overland Pk Dev—Conv Ctr (AMBAC) | 5.125 | % | 1/1/2032 | BB+ | 5,000 | 4,617,400 | ||||||||||
| Palm Bay Ed—Patriot Charter Sch(e) | 6.75 | % | 7/1/2022 | NR | 1,460 | 335,800 | ||||||||||
| Palm Bay Ed—Patriot Charter Sch(e) | 7.00 | % | 7/1/2036 | NR | 5,000 | 1,150,000 | ||||||||||
| 94 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Other Revenue (continued) | ||||||||||||||||
| Palm Beach Co—G Star Sch of Arts | 6.75 | % | 5/15/2035 | BB | $ | 2,455 | $ | 2,311,554 | ||||||||
| Pima Co IDA—American Charter Sch | 5.50 | % | 7/1/2026 | BB | (d) | 5,000 | 4,694,200 | |||||||||
| Pima Co IDA—American Charter Sch | 5.625 | % | 7/1/2038 | BB | (d) | 12,270 | 10,424,469 | |||||||||
| Pima Co IDA—Horizon Learning Ctr | 5.25 | % | 6/1/2035 | BBB | 10,000 | 8,951,700 | ||||||||||
| Plymouth Ed Ctr Charter Sch | 5.375 | % | 11/1/2030 | BB- | 1,475 | 1,235,667 | ||||||||||
| Provo Charter Sch—Freedom Admy | 5.50 | % | 6/15/2037 | NR | 3,750 | 3,051,562 | ||||||||||
| San Antonio Hotel & Conv Ctr AMT (AMBAC) | 5.00 | % | 7/15/2034 | BBB | 2,575 | 2,459,460 | ||||||||||
| San Antonio Hotel & Conv Ctr AMT (AMBAC) | 5.00 | % | 7/15/2039 | BBB | 7,540 | 7,042,812 | ||||||||||
| TX PFA—Cosmos Fndtn | 5.375 | % | 2/15/2037 | BBB | 3,410 | 3,172,050 | ||||||||||
| Yonkers EDC—Charter Sch Ed Excellence | 6.00 | % | 10/15/2030 | BB | 1,300 | 1,305,135 | ||||||||||
| Total | 218,503,530 | |||||||||||||||
| Special Tax 7.24% | ||||||||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2032 | Baa2 | 1,000 | 929,030 | ||||||||||
| Allentown Neighborhood Impt | 5.00 | % | 5/1/2035 | Baa2 | 1,200 | 1,093,632 | ||||||||||
| Anne Arundel Co—Natl Business Pk | 5.625 | % | 7/1/2025 | NR | 1,000 | 1,042,880 | ||||||||||
| Anne Arundel Co—Natl Business Pk | 6.10 | % | 7/1/2040 | NR | 2,250 | 2,345,558 | ||||||||||
| Arborwood CDD(e) | 5.10 | % | 5/1/2014 | NR | 35 | 21,000 | ||||||||||
| Arborwood CDD | 5.10 | % | 5/1/2014 | NR | 95 | 95,315 | ||||||||||
| Arborwood CDD(e) | 5.35 | % | 5/1/2036 | NR | 1,320 | 792,000 | ||||||||||
| Arborwood CDD | 5.35 | % | 5/1/2036 | NR | 5,105 | 4,621,352 | ||||||||||
| Arborwood CDD(e) | 5.50 | % | 5/1/2036 | NR | 1,235 | 741,000 | ||||||||||
| Aurora TIF—East River | 6.50 | % | 12/30/2023 | NR | 2,560 | 2,585,651 | ||||||||||
| Aurora TIF—East River | 6.75 | % | 12/30/2027 | NR | 1,490 | 1,502,188 | ||||||||||
| Baltimore Spl Oblig—East Baltimore Resrch | 7.00 | % | 9/1/2038 | NR | 3,500 | 3,673,985 | ||||||||||
| Capital Region CDD—St Joe Company | 7.00 | % | 5/1/2039 | NR | 4,395 | 4,274,050 | ||||||||||
| Compton Redev Agy | 6.00 | % | 8/1/2042 | NR | 4,750 | 4,591,730 | ||||||||||
| Corona Norco Sch Dist PFA | 5.00 | % | 9/1/2023 | BBB+ | 790 | 844,747 | ||||||||||
| Corona Norco Sch Dist PFA | 5.00 | % | 9/1/2026 | BBB+ | 625 | 633,756 | ||||||||||
| Corona Norco Sch Dist PFA | 5.00 | % | 9/1/2027 | BBB+ | 1,250 | 1,257,713 | ||||||||||
| Corona Norco Sch Dist PFA | 5.00 | % | 9/1/2032 | BBB+ | 1,190 | 1,155,930 | ||||||||||
| Corona Norco Sch Dist PFA | 5.00 | % | 9/1/2035 | BBB+ | 585 | 562,384 | ||||||||||
| Durbin Crossing CDD | 5.50 | % | 5/1/2037 | NR | 5,400 | 4,794,282 | ||||||||||
| Grandview IDA—Grandview Crossing(e) | 5.75 | % | 12/1/2028 | NR | 1,000 | 260,000 | ||||||||||
| Henderson Impt Dists—Inspirada | 5.25 | % | 9/1/2026 | NR | 8,090 | 6,676,434 | ||||||||||
| Henderson Impt Dists—Inspirada | 5.30 | % | 9/1/2035 | NR | 2,480 | 1,819,402 | ||||||||||
| Hesperia Pub Fin Auth (XLCA) | 5.00 | % | 9/1/2031 | NR | 6,615 | 5,934,714 | ||||||||||
| Houston Co Coop Dist—Country Crossing | 10.00 | % | 5/1/2039 | NR | 11,325 | 2,132,871 | ||||||||||
| See Notes to Financial Statements. | 95 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Special Tax (continued) | ||||||||||||||||
| Inglewood Redev Agy (AMBAC) | 5.00 | % | 5/1/2033 | BB+ | $ | 12,000 | $ | 11,069,400 | ||||||||
| Lancaster Redev Agy | 6.875 | % | 8/1/2034 | BBB | 1,000 | 1,085,280 | ||||||||||
| Lancaster Redev Agy | 6.875 | % | 8/1/2039 | BBB | 1,000 | 1,080,580 | ||||||||||
| Magnolia West CDD(e) | 5.35 | % | 5/1/2037 | NR | 3,830 | 2,100,027 | ||||||||||
| Mesquite Redev TIF | 7.125 | % | 6/1/2021 | BBB+ | 1,000 | 1,011,990 | ||||||||||
| Mesquite Redev TIF | 7.375 | % | 6/1/2024 | BBB+ | 1,655 | 1,674,264 | ||||||||||
| Millsboro Spl Oblig—Plantation Lakes | 5.45 | % | 7/1/2036 | NR | 5,428 | 3,754,331 | ||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2031 | Ba1 | 2,895 | 2,659,202 | ||||||||||
| Orange Grove CDD(e) | 5.30 | % | 11/1/2021 | NR | 1,705 | 540,485 | ||||||||||
| Plaza Met Dist #1 | 5.00 | % | 12/1/2022 | NR | 500 | 517,810 | ||||||||||
| Plaza Met Dist #1 | 5.00 | % | 12/1/2040 | NR | 2,500 | 2,314,675 | ||||||||||
| Poway USD PFA | 5.00 | % | 9/15/2024 | BBB | 500 | 529,740 | ||||||||||
| Poway USD PFA | 5.00 | % | 9/15/2027 | BBB | 1,035 | 1,066,060 | ||||||||||
| Poway USD PFA | 5.00 | % | 9/15/2032 | BBB | 995 | 965,339 | ||||||||||
| Rancho Cordova CFD | 5.00 | % | 9/1/2027 | NR | 860 | 836,445 | ||||||||||
| Rancho Cordova CFD | 5.00 | % | 9/1/2032 | NR | 1,260 | 1,190,687 | ||||||||||
| Rancho Cordova CFD | 5.00 | % | 9/1/2037 | NR | 1,250 | 1,159,525 | ||||||||||
| Rancho Cucamonga CFD—Etiwanda | 5.375 | % | 9/1/2036 | NR | 3,455 | 3,253,297 | ||||||||||
| Riverside Co Redev Agy—Tax Alloc | 6.50 | % | 10/1/2040 | A- | 2,000 | 2,125,540 | ||||||||||
| Riverside Co Tax Alloc—Jurupa (NPFGC) | 4.75 | % | 10/1/2035 | A | 9,000 | 8,219,790 | ||||||||||
| San Francisco Redev—Mission Bay South | 5.00 | % | 8/1/2029 | NR | 1,300 | 1,292,889 | ||||||||||
| San Francisco Redev—Mission Bay South | 5.00 | % | 8/1/2031 | NR | 1,140 | 1,117,519 | ||||||||||
| San Jose Redev Agy (XLCA) | 4.25 | % | 8/1/2036 | BBB | 2,300 | 1,887,127 | ||||||||||
| San Jose Redev Agy (AMBAC) | 5.00 | % | 8/1/2022 | BBB | 565 | 578,786 | ||||||||||
| San Jose Redev Agy (AMBAC) | 5.00 | % | 8/1/2023 | BBB | 100 | 101,840 | ||||||||||
| San Jose Redev Agy (NPFGC) | 4.90 | % | 8/1/2033 | A | 960 | 903,053 | ||||||||||
| San Jose Redev Agy (NPFGC)(FGIC) | 5.00 | % | 8/1/2024 | A | 1,010 | 1,017,969 | ||||||||||
| San Jose Redev Agy (RADIAN) | 4.50 | % | 8/1/2035 | BBB | 1,100 | 968,748 | ||||||||||
| San Mateo CFD—Bay Meadows | 5.00 | % | 9/1/2042 | NR | 2,000 | 1,834,360 | ||||||||||
| Sparks Loc Impt Dist | 6.75 | % | 9/1/2027 | NR | 1,000 | 1,020,790 | ||||||||||
| Sparks Tourism Impt Dist† | 6.75 | % | 6/15/2028 | B2 | 5,500 | 5,508,030 | ||||||||||
| Stone Canyon CID(e) | 5.70 | % | 4/1/2022 | NR | 1,485 | 772,200 | ||||||||||
| Tern Bay CDD(e) | 5.375 | % | 5/1/2037 | NR | 13,145 | 3,286,250 | ||||||||||
| Village CDD #10 | 4.50 | % | 5/1/2023 | NR | 1,575 | 1,518,237 | ||||||||||
| Whispering Springs CDD(e) | 5.20 | % | 10/1/2021 | NR | 2,290 | 412,200 | ||||||||||
| Total | 123,756,069 | |||||||||||||||
| 96 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tax Revenue 1.58% | ||||||||||||||||
| Coop Dist Ft Spanish—Hwy 181 | 9.00 | % | 2/1/2029 | NR | $ | 2,840 | $ | 3,222,775 | ||||||||
| Gtr Wenatchee Regl Events Ctr | 5.50 | % | 9/1/2042 | NR | 3,150 | 3,030,899 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2025 | AAA | 3,730 | 4,103,450 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2026 | AAA | 5,420 | 5,962,654 | ||||||||||
| PR Corp Sales Tax | 5.25 | % | 8/1/2041 | A+ | 8,500 | 6,477,425 | ||||||||||
| San Jose Redev Agy (NPFGC) | 5.00 | % | 8/1/2026 | A | 260 | 259,810 | ||||||||||
| Virgin Islands PFA—Gross Tax Rcpts | 5.00 | % | 10/1/2032 | BBB+ | 4,000 | 3,956,480 | ||||||||||
| Total | 27,013,493 | |||||||||||||||
| Tobacco 12.54% | ||||||||||||||||
| Buckeye Tobacco | 5.125 | % | 6/1/2024 | B- | 30,980 | 26,413,858 | ||||||||||
| Buckeye Tobacco | 5.75 | % | 6/1/2034 | B- | 12,295 | 9,438,134 | ||||||||||
| Buckeye Tobacco | 5.875 | % | 6/1/2030 | B- | 11,000 | 8,756,330 | ||||||||||
| Buckeye Tobacco | 5.875 | % | 6/1/2047 | B- | 10,195 | 7,650,940 | ||||||||||
| Buckeye Tobacco | 6.25 | % | 6/1/2037 | B- | 13,370 | 10,628,615 | ||||||||||
| Childrens Trust Fund Tob Settlement | 5.50 | % | 5/15/2039 | Baa3 | 390 | 346,047 | ||||||||||
| Golden St Tobacco | 4.50 | % | 6/1/2027 | B | 15,775 | 13,575,492 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2033 | B- | 31,105 | 24,017,415 | ||||||||||
| Golden St Tobacco | 5.125 | % | 6/1/2047 | B- | 5,500 | 3,838,945 | ||||||||||
| Golden St Tobacco | 5.30 | % | 6/1/2037 | B- | 7,000 | 5,268,200 | ||||||||||
| Inland Empire Tobacco | 4.625 | % | 6/1/2021 | B | (d) | 4,570 | 4,167,200 | |||||||||
| Inland Empire Tobacco | 5.00 | % | 6/1/2021 | B | (d) | 2,250 | 2,109,285 | |||||||||
| MI Tob Settlement | 5.125 | % | 6/1/2022 | B- | 1,050 | 897,918 | ||||||||||
| MI Tob Settlement | 5.25 | % | 6/1/2022 | B- | 4,210 | 3,633,398 | ||||||||||
| MI Tob Settlement | 6.00 | % | 6/1/2034 | B- | 11,000 | 8,681,200 | ||||||||||
| Nthrn AK Tobacco | 5.00 | % | 6/1/2032 | B2 | 5,000 | 4,010,950 | ||||||||||
| Nthrn CA Tobacco | 5.50 | % | 6/1/2045 | B- | 5,265 | 3,981,709 | ||||||||||
| Sthrn CA Tobacco | 5.00 | % | 6/1/2037 | BB+ | 10,120 | 7,625,319 | ||||||||||
| Suffolk Tobacco Asset Sec Corp | 5.375 | % | 6/1/2028 | BBB- | (d) | 2,400 | 2,189,328 | |||||||||
| Tobacco Settlement Auth IA | 5.375 | % | 6/1/2038 | B+ | 1,000 | 800,420 | ||||||||||
| Tobacco Settlement Auth IA | 5.60 | % | 6/1/2034 | B+ | 8,260 | 6,997,872 | ||||||||||
| Tobacco Settlement Auth IA | 5.625 | % | 6/1/2046 | B+ | 240 | 192,684 | ||||||||||
| Tobacco Settlement Fin Corp | 4.625 | % | 6/1/2026 | B1 | 2,580 | 2,264,079 | ||||||||||
| Tobacco Settlement Fin Corp | 4.75 | % | 6/1/2034 | B2 | 8,990 | 6,585,624 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2029 | B2 | 12,590 | 10,717,363 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2041 | B2 | 35,125 | 25,160,740 | ||||||||||
| Tobacco Settlement Fin Corp | 5.00 | % | 6/1/2047 | B2 | 15,800 | 10,194,160 | ||||||||||
| See Notes to Financial Statements. | 97 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tobacco (continued) | ||||||||||||||||
| TSASC | 5.00 | % | 6/1/2034 | B | $ | 600 | $ | 469,344 | ||||||||
| TSASC | 5.125 | % | 6/1/2042 | B- | 5,000 | 3,757,950 | ||||||||||
| Total | 214,370,519 | |||||||||||||||
| Transportation 5.17% | ||||||||||||||||
| Central TX Mobility Auth | 5.00 | % | 1/1/2033 | Baa2 | 2,100 | 1,976,121 | ||||||||||
| Central TX Mobility Auth | 5.00 | % | 1/1/2042 | Baa3 | 2,500 | 2,076,200 | ||||||||||
| E470 Pub Hwy Auth | Zero Coupon | 9/1/2037 | BBB | 5,000 | 1,268,300 | |||||||||||
| E470 Pub Hwy Auth (NPFGC) | Zero Coupon | 9/1/2031 | A | 25,000 | 9,361,500 | |||||||||||
| E470 Pub Hwy Auth (NPFGC) | Zero Coupon | 9/1/2034 | A | 5,885 | 1,809,520 | |||||||||||
| Foothill / Eastern Corridor Toll Rd | Zero Coupon | 1/15/2030 | BBB- | 35,000 | 11,836,650 | |||||||||||
| Foothill / Eastern Corridor Toll Rd | Zero Coupon | 1/15/2033 | BBB- | 5,000 | 1,349,150 | |||||||||||
| Foothill / Eastern Corridor Toll Rd | Zero Coupon | 1/15/2034 | BBB- | 25,535 | 6,399,837 | |||||||||||
| Foothill / Eastern Corridor Toll Rd | Zero Coupon | 1/15/2035 | BBB- | 3,445 | 801,514 | |||||||||||
| Foothill / Eastern Corridor Toll Rd | Zero Coupon | 1/15/2038 | BBB- | 1,000 | 186,350 | |||||||||||
| Houston Arpt—Continental Airlines AMT | 6.625 | % | 7/15/2038 | B | 2,500 | 2,468,225 | ||||||||||
| Met DC Airport | 5.00 | % | 10/1/2043 | AA- | 2,500 | 2,517,600 | ||||||||||
| Mid—Bay Bridge Auth | 7.25 | % | 10/1/2034 | BBB- | 7,500 | 8,283,675 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2025 | A | 5,000 | 5,535,650 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2038 | A | 5,250 | 5,341,507 | ||||||||||
| NJ Trans Trust Fund | 6.00 | % | 6/15/2035 | A+ | 2,700 | 3,048,921 | ||||||||||
| Port New Orleans AMT | 5.00 | % | 4/1/2030 | BBB+ | 250 | 248,335 | ||||||||||
| Port New Orleans AMT | 5.00 | % | 4/1/2031 | BBB+ | 1,000 | 981,710 | ||||||||||
| Port New Orleans AMT | 5.00 | % | 4/1/2033 | BBB+ | 550 | 532,367 | ||||||||||
| San Joaquin Hills Trsp Corridor | 5.00 | % | 1/1/2033 | BB- | 255 | 235,401 | ||||||||||
| San Joaquin Hills Trsp Corridor (NPFGC) | Zero Coupon | 1/15/2022 | A | 400 | 258,512 | |||||||||||
| San Joaquin Hills Trsp Corridor (NPFGC) | 5.25 | % | 1/15/2030 | A | 1,425 | 1,284,595 | ||||||||||
| San Joaquin Hills Trsp Corridor (NPFGC) | 5.375 | % | 1/15/2029 | A | 845 | 783,780 | ||||||||||
| Susquehanna Area Regl Arpt AMT | 6.50 | % | 1/1/2038 | Baa3 | 7,870 | 8,405,553 | ||||||||||
| TX Tpk (AMBAC) | Zero Coupon | 8/15/2031 | A- | 24,500 | 8,440,495 | |||||||||||
| VA Small Bus Fing—95 Express Lanes AMT | 5.00 | % | 7/1/2034 | BBB- | 3,200 | 2,871,808 | ||||||||||
| Total | 88,303,276 | |||||||||||||||
| Utilities 9.27% | ||||||||||||||||
| Adelanto Util Sys | 6.625 | % | 7/1/2031 | NR | 11,000 | 11,557,150 | ||||||||||
| Arborwood CDD | 5.50 | % | 5/1/2036 | NR | 615 | 603,284 | ||||||||||
| Brazos River Auth—TXU AMT | 5.00 | % | 3/1/2041 | CC | 6,000 | 210,000 | ||||||||||
| Brazos River Auth—TXU AMT | 6.30 | % | 7/1/2032 | CC | 2,000 | 70,000 | ||||||||||
| 98 | See Notes to Financial Statements. |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities (continued) | ||||||||||||||||
| Central Plains—Goldman Sachs | 5.00 | % | 9/1/2032 | A- | $ | 12,000 | $ | 11,869,320 | ||||||||
| Compton Water | 6.00 | % | 8/1/2039 | NR | 3,710 | 3,610,015 | ||||||||||
| Detroit Water | 5.00 | % | 7/1/2036 | BB- | 3,000 | 2,670,930 | ||||||||||
| Detroit Water | 5.25 | % | 7/1/2041 | BB- | 5,000 | 4,501,950 | ||||||||||
| IN Fin Auth—Ohio Vly Elec | 5.00 | % | 6/1/2032 | BBB- | 2,250 | 2,139,750 | ||||||||||
| IN Fin Auth—Ohio Vly Elec | 5.00 | % | 6/1/2039 | BBB- | 4,575 | 4,162,792 | ||||||||||
| LA PFA—Cleco Pwr | 4.25 | % | 12/1/2038 | BBB+ | 5,000 | 4,446,500 | ||||||||||
| Lathrop Fin Auth | 5.90 | % | 6/1/2027 | NR | 4,440 | 4,441,465 | ||||||||||
| Lathrop Fin Auth | 6.00 | % | 6/1/2035 | NR | 5,940 | 5,939,050 | ||||||||||
| Long Island Power Auth | 5.00 | % | 9/1/2026 | A- | 3,500 | 3,724,980 | ||||||||||
| Maricopa Co Poll Ctl—El Paso Elec | 7.25 | % | 2/1/2040 | BBB | 3,500 | 3,870,895 | ||||||||||
| Moraine Ohio Solid Waste Disp AMT | 6.75 | % | 7/1/2014 | NR | 525 | 53 | ||||||||||
| MSR Energy Auth—Citi | 6.50 | % | 11/1/2039 | A- | 5,350 | 6,201,131 | ||||||||||
| NJ EDA—UMM Energy AMT | 4.75 | % | 6/15/2032 | Baa3 | 730 | 682,674 | ||||||||||
| NYC Muni Water(b) | 5.00 | % | 6/15/2029 | AA+ | 11,000 | 12,002,815 | ||||||||||
| NYC Muni Water(b) | 5.125 | % | 6/15/2030 | AA+ | 1,000 | 1,091,165 | ||||||||||
| Padre Dam Municipal Water Authority | 5.25 | % | 10/1/2034 | AA | 5,600 | 5,842,424 | ||||||||||
| Pima Co IDA—Global Water AMT | 5.60 | % | 12/1/2022 | NR | 2,000 | 2,044,440 | ||||||||||
| Pima Co IDA—Global Water AMT | 5.75 | % | 12/1/2032 | NR | 5,000 | 4,776,200 | ||||||||||
| PR Aqueduct & Swr Auth | 5.125 | % | 7/1/2037 | BB+ | 1,575 | 1,086,624 | ||||||||||
| PR Aqueduct & Swr Auth | 5.25 | % | 7/1/2042 | BB+ | 12,775 | 8,831,996 | ||||||||||
| PR Aqueduct & Swr Auth | 5.75 | % | 7/1/2037 | BB+ | 10,865 | 8,027,171 | ||||||||||
| PR Aqueduct & Swr Auth | 6.00 | % | 7/1/2047 | BB+ | 2,075 | 1,524,067 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2029 | BBB | 1,500 | 1,113,960 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2042 | BBB | 3,315 | 2,281,847 | ||||||||||
| PR Elec Pwr Auth | 6.75 | % | 7/1/2036 | BBB | 2,585 | 2,114,789 | ||||||||||
| Sabine River Auth—TXU AMT | 6.45 | % | 6/1/2021 | CC | 2,000 | 70,000 | ||||||||||
| Salt Verde Fin Corp—Citi | 5.00 | % | 12/1/2032 | A- | 2,500 | 2,505,950 | ||||||||||
| San Antonio Elec & Gas(b) | 5.25 | % | 2/1/2029 | AA | 19,375 | 21,214,143 | ||||||||||
| San Antonio Elec & Gas(b) | 5.25 | % | 2/1/2031 | AA | 6,270 | 6,865,170 | ||||||||||
| TX Muni Gas Acq & Supply—Macquarie | 5.00 | % | 12/15/2028 | A3 | 5,000 | 4,942,000 | ||||||||||
| Western Genr Agy—Wauna Cogen AMT | 5.00 | % | 1/1/2016 | NR | 1,500 | 1,499,880 | ||||||||||
| Total | 158,536,580 | |||||||||||||||
| Total Municipal Bonds (cost $1,846,080,932) | 1,710,078,352 | |||||||||||||||
| See Notes to Financial Statements. | 99 |
Schedule of Investments (continued)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
| Investments | Shares (000) | Fair Value | ||||||
| SHORT-TERM INVESTMENT 0.00% | ||||||||
| Money Market Mutual Fund | ||||||||
| Dreyfus Municipal Cash Management Plus (cost $797) | — | (j) | $ | 797 | ||||
| Total Investments in Securities 100.04% (cost $1,846,081,729) | 1,710,079,149 | |||||||
| Liabilities in Excess of Cash and Other Assets(i) (0.04%) | (600,826 | ) | ||||||
| Net Assets 100.00% | $ | 1,709,478,323 | ||||||
Open Futures Contracts at September 30, 2013:
| Type | Expiration | Contracts | Position | Fair Value | Unrealized Depreciation | |||||||||||
| U.S. 10-Year Treasury Note | December 2013 | 57 | Short | $ | (7,204,266 | ) | $ | (142,151 | ) | |||||||
| U.S. 30-Year Treasury Bond | December 2013 | 200 | Short | (26,675,000 | ) | (775,695 | ) | |||||||||
| Totals | $ | (33,879,266 | ) | $ | (917,846 | ) | ||||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
| 100 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
HIGH YIELD MUNICIPAL BOND FUND September 30, 2013
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s financial instruments carried at fair value(1):
| Investment Type(2) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 1,333,038,242 | $ | — | $ | 1,333,038,242 | ||||||||
| Other Revenue | — | 218,502,733 | 797 | (3) | 218,503,530 | |||||||||||
| Utilities | — | 158,536,527 | 53 | (3) | 158,536,580 | |||||||||||
| Money Market Mutual Fund | 797 | — | — | 797 | ||||||||||||
| Total | $ | 797 | $ | 1,710,077,502 | $ | 850 | $ | 1,710,079,149 | ||||||||
| Liabilities | ||||||||||||||||
| Trust Certificates | $ | — | $ | (41,160,000 | ) | $ | — | $ | (41,160,000 | ) | ||||||
| Total | $ | — | $ | (41,160,000 | ) | $ | — | $ | (41,160,000 | ) | ||||||
| Other Financial Instruments | ||||||||||||||||
| Futures Contracts | ||||||||||||||||
| Assets | $ | — | $ | — | $ | — | $ | — | ||||||||
| Liabilities | (917,846 | ) | — | — | (917,846 | ) | ||||||||||
| Total | $ | (917,846 | ) | $ | — | $ | — | $ | (917,846 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. The table above is presented by Investment Type. Industries are presented within an Investment type should such Investment Type include securities classified as two or more levels within the three-tier fair value hierarchy. |
| (3) | Municipal Bonds categorized as Level 3 investments include MI St Strategic Fd, Moraine Ohio Solid Waste Disp AMT, and Ohio St Pollution Ctl Rev. |
The following is a reconciliation of investments with unobservable inputs (Level 3) that were used in determining fair value:
| Investment Type | Municipal Bonds | |||
| Balance as of October 1, 2012 | $ | — | ||
| Accrued discounts/premiums | — | |||
| Realized gain (loss) | — | |||
| Change in unrealized appreciation/depreciation | (52,213 | ) | ||
| Purchases | — | |||
| Sales | — | |||
| Net transfers in/(out) of Level 3 | 53,063 | |||
| Balance as of September 30, 2013 | $ | 850 | ||
| See Notes to Financial Statements. | 101 |
Schedule of Investments
CALIFORNIA TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 98.93% | ||||||||||||||||
| Corporate-Backed 0.17% | ||||||||||||||||
| CA Co Tobacco Sec—Sonoma Co | 5.125 | % | 6/1/2038 | B- | $ | 500 | $ | 382,440 | ||||||||
| Education 7.18% | ||||||||||||||||
| CA Ed Facs—Clg & Univ Fin Prog | 5.00 | % | 2/1/2037 | Ba1 | 1,000 | 807,740 | ||||||||||
| CA Ed Facs—Occidental Clg | 5.00 | % | 10/1/2036 | Aa3 | 1,125 | 1,169,876 | ||||||||||
| CA Fin Auth—Biola Univ | 5.00 | % | 10/1/2029 | Baa1 | 330 | 330,257 | ||||||||||
| CA Fin Auth—Biola Univ | 5.80 | % | 10/1/2028 | Baa1 | 1,085 | 1,151,326 | ||||||||||
| CA Fin Auth—Emerson Clg | 5.75 | % | 1/1/2033 | BBB+ | 1,250 | 1,304,025 | ||||||||||
| CA Fin Auth—Univ of San Diego | 5.00 | % | 10/1/2029 | A2 | 2,225 | 2,355,474 | ||||||||||
| CA Infra & Econ Dev—Pepperdine Univ | 5.00 | % | 11/1/2028 | Aa3 | 1,000 | 1,055,110 | ||||||||||
| CA Pub Wks—UC Irvine Campus | 5.00 | % | 6/1/2027 | Aa2 | 1,250 | 1,388,013 | ||||||||||
| CA State Univ Sys | 5.00 | % | 11/1/2037 | Aa2 | 1,250 | 1,297,900 | ||||||||||
| CA Stwde—Windrush Sch(e) | 5.50 | % | 7/1/2037 | NR | 1,250 | 13 | ||||||||||
| Tustin Unified School District | 6.00 | % | 8/1/2036 | AA | 1,500 | 1,695,525 | ||||||||||
| Univ of California(b) | 5.75 | % | 5/15/2031 | Aa1 | 3,000 | 3,365,190 | ||||||||||
| Total | 15,920,449 | |||||||||||||||
| General Obligation 21.19% | ||||||||||||||||
| CA State GO | 5.00 | % | 9/1/2021 | A1 | 2,000 | 2,358,400 | ||||||||||
| CA State GO | 5.00 | % | 9/1/2029 | A1 | 485 | 516,583 | ||||||||||
| CA State GO | 5.00 | % | 2/1/2032 | A1 | 2,000 | 2,098,440 | ||||||||||
| CA State GO | 5.00 | % | 2/1/2033 | A1 | 2,000 | 2,092,740 | ||||||||||
| CA State GO | 5.25 | % | 9/1/2024 | A1 | 2,000 | 2,293,520 | ||||||||||
| CA State GO | 5.25 | % | 10/1/2029 | A1 | 1,500 | 1,604,835 | ||||||||||
| CA State GO | 5.25 | % | 10/1/2032 | A1 | 4,000 | 4,277,120 | ||||||||||
| CA State GO | 5.25 | % | 4/1/2035 | A1 | 3,000 | 3,190,050 | ||||||||||
| CA State GO | 5.50 | % | 3/1/2040 | A1 | 2,000 | 2,132,000 | ||||||||||
| CA State GO | 6.50 | % | 4/1/2033 | A1 | 3,500 | 4,157,230 | ||||||||||
| Chabot/Las Positas CCD | 5.00 | % | 8/1/2022 | Aa3 | 1,000 | 1,177,830 | ||||||||||
| Colton Jt USD (AGM) | 5.00 | % | 8/1/2027 | AA- | 1,000 | 1,087,330 | ||||||||||
| Guam GO | 7.00 | % | 11/15/2039 | B+ | 390 | 413,778 | ||||||||||
| Kern HSD | 5.00 | % | 8/1/2021 | Aa2 | 1,000 | 1,177,480 | ||||||||||
| Los Angeles USD | 5.00 | % | 7/1/2029 | Aa2 | 2,225 | 2,375,699 | ||||||||||
| Los Angeles USD (FGIC) | 5.00 | % | 7/1/2030 | Aa2 | 2,000 | 2,122,440 | ||||||||||
| Montebello USD (AGM) | 5.00 | % | 8/1/2028 | AA- | 1,335 | 1,423,177 | ||||||||||
| Mount Diablo USD | 5.00 | % | 8/1/2025 | Aa3 | 2,000 | 2,195,760 | ||||||||||
| Oakland USD | 6.125 | % | 8/1/2029 | NR | 1,000 | 1,046,420 | ||||||||||
| 102 | See Notes to Financial Statements. |
Schedule of Investments (continued)
CALIFORNIA TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| Piedmont USD | 5.00 | % | 8/1/2033 | AA | $ | 1,070 | $ | 1,124,506 | ||||||||
| Piedmont USD | 5.00 | % | 8/1/2034 | AA | 1,200 | 1,256,052 | ||||||||||
| PR Comwlth GO | 5.50 | % | 7/1/2031 | BBB- | 3,000 | 2,267,370 | ||||||||||
| San Diego USD | 5.00 | % | 7/1/2027 | AA- | 2,000 | 2,247,540 | ||||||||||
| Stockton USD (AGM) | 5.00 | % | 7/1/2025 | AA- | 1,060 | 1,136,691 | ||||||||||
| West Contra Costa USD | 6.00 | % | 8/1/2027 | Aa3 | 1,000 | 1,225,160 | ||||||||||
| Total | 46,998,151 | |||||||||||||||
| Health Care 13.45% | ||||||||||||||||
| Abag Fin Auth—Episcopal Senior | 5.00 | % | 7/1/2032 | BBB | 1,060 | 1,005,526 | ||||||||||
| Abag Fin Auth—Eskaton Pptys | 5.00 | % | 11/15/2035 | BBB | 1,000 | 916,080 | ||||||||||
| Abag Fin Auth—Sharp Hlthcare | 5.00 | % | 8/1/2022 | A+ | 100 | 113,141 | ||||||||||
| CA Hlth—Catholic Hlthcare W | 5.50 | % | 7/1/2025 | A | 2,500 | 2,739,575 | ||||||||||
| CA Hlth—Childrens Hsp Los Angeles | 5.00 | % | 11/15/2029 | BBB+ | 1,000 | 978,300 | ||||||||||
| CA Hlth—Childrens Hsp Orange Co | 5.25 | % | 11/1/2035 | A- | 2,000 | 2,051,520 | ||||||||||
| CA Hlth—City of Hope | 5.00 | % | 11/15/2025 | A+ | 1,000 | 1,114,530 | ||||||||||
| CA Hlth—Memorial Hlth | 5.00 | % | 10/1/2024 | AA- | 2,110 | 2,367,990 | ||||||||||
| CA Hlth—Providence Hlth | 6.25 | % | 10/1/2024 | AA | 1,025 | 1,202,315 | ||||||||||
| CA Hlth—Rady Childrens Hsp | 5.50 | % | 8/15/2033 | A2 | 2,000 | 2,140,720 | ||||||||||
| CA Hlth—Sutter Hlth | 5.50 | % | 8/15/2026 | AA- | 2,000 | 2,257,800 | ||||||||||
| CA Stwde—Episcopal Cmntys | 5.00 | % | 5/15/2020 | A- | (d) | 605 | 636,605 | |||||||||
| CA Stwde—Episcopal Cmntys | 5.00 | % | 5/15/2021 | A- | (d) | 505 | 528,063 | |||||||||
| CA Stwde—Episcopal Cmntys | 5.00 | % | 5/15/2024 | A- | (d) | 300 | 303,123 | |||||||||
| CA Stwde—So Cal Presbyterian | 7.00 | % | 11/15/2029 | BBB- | 1,000 | 1,107,540 | ||||||||||
| CA Stwde—Terraces San Joaquin | 6.00 | % | 10/1/2042 | NR | 500 | 500,685 | ||||||||||
| Newport Beach—Hoag Mem Hsp | 5.875 | % | 12/1/2030 | AA | 500 | 635,710 | ||||||||||
| Palomar Hlth Care Dist COP | 5.50 | % | 11/1/2019 | Baa3 | 520 | 545,392 | ||||||||||
| PR Indl Tourist—Hsp Auxilio Mutuo | 6.00 | % | 7/1/2033 | A- | 2,000 | 1,919,440 | ||||||||||
| San Buenaventura—Cmnty Mem Hlth | 8.00 | % | 12/1/2031 | BB | 2,000 | 2,320,720 | ||||||||||
| Turlock Hlth—Emanuel Med Ctr COP | 5.50 | % | 10/15/2037 | BBB- | 1,000 | 1,066,080 | ||||||||||
| Upland COP—San Antonio Cmnty Hsp | 6.00 | % | 1/1/2026 | A | 2,000 | 2,281,660 | ||||||||||
| Whittier Hlth Fac—Presbyterian Intercmnty Hsp | 5.75 | % | 6/1/2029 | A+ | 1,000 | 1,099,890 | ||||||||||
| Total | 29,832,405 | |||||||||||||||
| Housing 1.10% | ||||||||||||||||
| CA Stwde—CHF-Irvine LLC | 5.00 | % | 5/15/2038 | Baa2 | 1,000 | 940,640 | ||||||||||
| CA Stwde—CHF-Irvine LLC | 5.125 | % | 5/15/2031 | Baa2 | 1,500 | 1,495,605 | ||||||||||
| Total | 2,436,245 | |||||||||||||||
| See Notes to Financial Statements. | 103 |
Schedule of Investments (continued)
CALIFORNIA TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations 8.05% | ||||||||||||||||
| CA Pub Wks—Dept Forestry & Fire | 5.00 | % | 11/1/2024 | A2 | $ | 1,550 | $ | 1,689,252 | ||||||||
| CA Pub Wks—Judicial Council | 5.00 | % | 12/1/2028 | A2 | 1,000 | 1,060,410 | ||||||||||
| CA Pub Wks—State Prisons | 5.75 | % | 10/1/2031 | A2 | 2,000 | 2,236,020 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.00 | % | 4/1/2037 | A2 | 1,000 | 1,008,260 | ||||||||||
| CA Pub Wks—Various Cap Proj | 5.375 | % | 11/1/2022 | A2 | 1,000 | 1,156,880 | ||||||||||
| CA Pub Wks—Various Cap Proj | 6.375 | % | 11/1/2034 | A2 | 2,000 | 2,322,980 | ||||||||||
| PR Pub Bldg Auth GTD | 6.50 | % | 7/1/2030 | BBB- | 1,000 | 816,020 | ||||||||||
| San Diego PFA—Master Lease | 5.25 | % | 9/1/2035 | A+ | 1,220 | 1,244,010 | ||||||||||
| San Jose Fing Auth—Civic Ctr | 5.00 | % | 6/1/2027 | AA | 1,000 | 1,084,440 | ||||||||||
| San Mateo Jt Pwrs Fin Auth | 5.25 | % | 7/15/2026 | AA+ | 3,000 | 3,322,200 | ||||||||||
| Santa Ana USD COP (AGM) | Zero Coupon | 4/1/2019 | AA- | 2,295 | 1,912,079 | |||||||||||
| Total | 17,852,551 | |||||||||||||||
| Other Revenue 3.59% | ||||||||||||||||
| CA Fin Auth—Amern Heritage Fndtn | 5.25 | % | 6/1/2036 | BB- | 1,000 | 832,100 | ||||||||||
| CA Fin Auth—High Tech† | 6.00 | % | 7/1/2028 | BB | (d) | 850 | 822,477 | |||||||||
| CA Fin Auth—OCEAA | 6.75 | % | 10/1/2028 | NR | 1,445 | 1,352,086 | ||||||||||
| CA Infra & Econ Dev—Gladstone Inst | 5.25 | % | 10/1/2034 | A- | 2,000 | 2,036,560 | ||||||||||
| CA Stwde—Huntington Pk | 5.15 | % | 7/1/2030 | NR | 500 | 420,865 | ||||||||||
| CA Stwde—Huntington Pk | 5.25 | % | 7/1/2042 | NR | 1,225 | 962,238 | ||||||||||
| Guam Privilege Tax | 5.25 | % | 1/1/2036 | A | 1,500 | 1,530,045 | ||||||||||
| Total | 7,956,371 | |||||||||||||||
| Special Tax 6.75% | ||||||||||||||||
| Corona Norco Sch Dist PFA | 5.00 | % | 9/1/2021 | BBB+ | 350 | 375,242 | ||||||||||
| Inglewood Redev Agy (AMBAC) | 5.00 | % | 5/1/2033 | BB+ | 1,535 | 1,415,961 | ||||||||||
| Irvine Pub Facs & Infra Auth | 4.50 | % | 9/2/2025 | BBB+ | 650 | 642,304 | ||||||||||
| Lancaster Redev Agy | 6.875 | % | 8/1/2034 | BBB | 1,000 | 1,085,280 | ||||||||||
| Norco Redev Agy—Proj #1 | 6.00 | % | 3/1/2036 | A | 1,120 | 1,211,448 | ||||||||||
| Poway USD PFA | 5.00 | % | 9/15/2024 | BBB | 280 | 296,654 | ||||||||||
| Riverside Co Redev Agy—Tax Alloc | 6.00 | % | 10/1/2037 | BBB | 2,000 | 1,970,000 | ||||||||||
| San Diego Redev Agy—No Pk Redev | 7.00 | % | 11/1/2039 | A- | 1,000 | 1,132,170 | ||||||||||
| San Francisco Redev—Mission Bay North | 6.75 | % | 8/1/2033 | A- | 500 | 580,350 | ||||||||||
| San Francisco Redev—Mission Bay North | 6.75 | % | 8/1/2041 | A- | 1,000 | 1,151,170 | ||||||||||
| San Francisco Redev—Mission Bay South | 6.625 | % | 8/1/2039 | BBB | 1,500 | 1,610,040 | ||||||||||
| San Mateo CFD—Bay Meadows | 5.00 | % | 9/1/2032 | NR | 600 | 580,728 | ||||||||||
| Santa Cruz Redev Agy—Live Oak | 6.625 | % | 9/1/2029 | A | 500 | 559,810 | ||||||||||
| Santa Cruz Redev Agy—Live Oak | 7.00 | % | 9/1/2036 | A | 500 | 567,550 | ||||||||||
| 104 | See Notes to Financial Statements. |
Schedule of Investments (continued)
CALIFORNIA TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Special Tax (continued) | ||||||||||||||||
| Union City Redev Agy—Tax Alloc | 6.875 | % | 12/1/2033 | A | $ | 1,500 | $ | 1,784,985 | ||||||||
| Total | 14,963,692 | |||||||||||||||
| Tax Revenue 3.42% | ||||||||||||||||
| Guam Ltd Oblig—Section 30 Landfill | 5.75 | % | 12/1/2034 | BBB+ | 1,030 | 1,067,688 | ||||||||||
| Sacramento Trsp Dist | 5.00 | % | 3/1/2020 | A2 | 500 | 560,395 | ||||||||||
| Sacramento Trsp Dist | 5.00 | % | 3/1/2024 | A2 | 500 | 540,255 | ||||||||||
| San Diego Co Regl Trsp Commn | 5.00 | % | 4/1/2025 | AAA | 1,895 | 2,174,266 | ||||||||||
| San Joaquin Co Trsp Auth | 5.75 | % | 3/1/2028 | AA | 450 | 513,684 | ||||||||||
| San Jose Spl Tax—Conv Ctr | 6.125 | % | 5/1/2031 | A2 | 1,000 | 1,112,820 | ||||||||||
| Sonoma Marin Area Rail Rmkt | 5.00 | % | 3/1/2029 | AA | 1,500 | 1,612,845 | ||||||||||
| Total | 7,581,953 | |||||||||||||||
| Tobacco 7.00% | ||||||||||||||||
| CA Co Tobacco Sec—LA Co | 5.45 | % | 6/1/2028 | B2 | 1,000 | 913,070 | ||||||||||
| Golden St Tobacco | 4.50 | % | 6/1/2027 | B | 875 | 752,999 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2033 | B- | 1,070 | 826,190 | ||||||||||
| Golden St Tobacco | 5.00 | % | 6/1/2045 | A2 | 3,000 | 2,893,590 | ||||||||||
| Golden St Tobacco | 5.125 | % | 6/1/2047 | B- | 2,520 | 1,758,935 | ||||||||||
| Golden St Tobacco | 5.75 | % | 6/1/2047 | B- | 1,000 | 768,460 | ||||||||||
| Golden St Tobacco (FGIC) | 5.00 | % | 6/1/2035 | A2 | 4,555 | 4,513,048 | ||||||||||
| Inland Empire Tobacco | 4.625 | % | 6/1/2021 | B | (d) | 745 | 679,336 | |||||||||
| Inland Empire Tobacco | 5.00 | % | 6/1/2021 | B | (d) | 825 | 773,404 | |||||||||
| Sthrn CA Tobacco | 5.00 | % | 6/1/2037 | BB+ | 2,175 | 1,638,841 | ||||||||||
| Total | 15,517,873 | |||||||||||||||
| Transportation 8.63% | ||||||||||||||||
| Alameda Corridor Trsp Auth | 5.00 | % | 10/1/2021 | A- | 800 | 923,424 | ||||||||||
| Bay Area Toll Auth | 0.77 | % | # | 4/1/2047 | AA | 1,000 | 989,950 | |||||||||
| Bay Area Toll Auth | 5.00 | % | 10/1/2033 | A+ | 2,905 | 3,008,970 | ||||||||||
| Foothill / Eastern Corridor Toll Rd | 5.80 | % | 1/15/2020 | BBB- | 2,000 | 2,030,100 | ||||||||||
| Los Angeles Dept Arpts—LAX | 5.00 | % | 5/15/2035 | AA | 2,000 | 2,078,620 | ||||||||||
| Los Angeles Dept Arpts—LAX AMT | 5.00 | % | 5/15/2021 | AA | 1,325 | 1,509,042 | ||||||||||
| Port Oakland AMT | 5.00 | % | 5/1/2021 | A+ | 1,000 | 1,104,660 | ||||||||||
| Port Oakland AMT | 5.125 | % | 5/1/2031 | A+ | 1,250 | 1,281,088 | ||||||||||
| San Diego Co Regl Arpt Auth AMT | 5.00 | % | 7/1/2022 | A+ | 1,705 | 1,948,576 | ||||||||||
| San Francisco Arpt | 4.00 | % | 5/1/2023 | A+ | 1,010 | 1,100,547 | ||||||||||
| San Francisco Arpt AMT | 5.00 | % | 5/1/2027 | A+ | 1,430 | 1,496,924 | ||||||||||
| See Notes to Financial Statements. | 105 |
Schedule of Investments (continued)
CALIFORNIA TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Transportation (continued) | ||||||||||||||||
| San Jose Arpt AMT | 6.25 | % | 3/1/2034 | A2 | $ | 1,500 | $ | 1,656,840 | ||||||||
| Total | 19,128,741 | |||||||||||||||
| Utilities 18.40% | ||||||||||||||||
| Adelanto Util Sys | 6.625 | % | 7/1/2031 | NR | 1,000 | 1,050,650 | ||||||||||
| Burbank Water & Pwr Elec | 5.00 | % | 6/1/2023 | AA- | 2,000 | 2,205,520 | ||||||||||
| CA Dept Wtr Res Wtr—Central Valley | 5.00 | % | 12/1/2026 | AAA | 2,000 | 2,246,740 | ||||||||||
| Chino Basin Desalter Auth (AG) | 5.00 | % | 6/1/2027 | AA- | 2,000 | 2,158,260 | ||||||||||
| Chula Vista IDR—San Diego G & E Rmkt | 5.875 | % | 1/1/2034 | Aa3 | 1,000 | 1,083,030 | ||||||||||
| Dublin San Ramon Svcs Dist Wtr | 5.25 | % | 8/1/2029 | AA- | 1,250 | 1,392,812 | ||||||||||
| El Dorado Irrigation Dist (AGM) | 5.00 | % | 3/1/2025 | AA- | 750 | 819,330 | ||||||||||
| Lathrop Fin Auth | 6.00 | % | 6/1/2035 | NR | 2,075 | 2,074,668 | ||||||||||
| Long Beach Nat Gas—ML | 1.607 | % | # | 11/15/2026 | A- | 1,000 | 880,190 | |||||||||
| Long Beach Nat Gas—ML | 5.25 | % | 11/15/2020 | A- | 1,505 | 1,662,604 | ||||||||||
| Los Angeles DEWAP—Pwr Sys | 5.00 | % | 7/1/2026 | AA- | 2,000 | 2,245,020 | ||||||||||
| Modesto Irrigation Dist | 5.00 | % | 7/1/2021 | A+ | 750 | 877,215 | ||||||||||
| MSR Energy Auth—Citi | 7.00 | % | 11/1/2034 | A- | 1,000 | 1,220,000 | ||||||||||
| Northern CA Pwr—Geothermal #3 | 5.50 | % | 7/1/2022 | A1 | 1,985 | 2,256,191 | ||||||||||
| Northern CA Pwr—Hydroelec #1 (AG) | 5.00 | % | 7/1/2024 | AA- | 1,770 | 1,960,062 | ||||||||||
| Northern CA Pwr (AG) | 0.904 | % | # | 7/1/2027 | A- | 1,000 | 837,340 | |||||||||
| PR Aqueduct & Swr Auth | 5.75 | % | 7/1/2037 | BB+ | 2,100 | 1,551,501 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2029 | BBB | 750 | 556,980 | ||||||||||
| Riverside Elec (AGM) | 5.00 | % | 10/1/2027 | AA- | 1,000 | 1,061,130 | ||||||||||
| Rowland Water Dist COP | 6.50 | % | 12/1/2035 | AA- | 1,500 | 1,706,160 | ||||||||||
| Sacramento Co Santn Dist (NPFGC) | 5.25 | % | 12/1/2023 | AA | 1,500 | 1,780,635 | ||||||||||
| Sacramento MUD | 5.00 | % | 8/15/2026 | AA- | 1,500 | 1,682,310 | ||||||||||
| Santa Maria Wtr & Wastewtr | 5.00 | % | 2/1/2027 | A | 2,000 | 2,098,440 | ||||||||||
| Santa Rosa Wastewtr | 5.00 | % | 9/1/2025 | AA- | 2,025 | 2,278,854 | ||||||||||
| Southern CA Pub Pwr Auth—Nat Gas | 5.00 | % | 11/1/2033 | A- | 2,000 | 1,965,100 | ||||||||||
| Southern CA Pub Pwr Auth—So Transmn | 5.00 | % | 7/1/2020 | AA- | 1,000 | 1,153,480 | ||||||||||
| Total | 40,804,222 | |||||||||||||||
| Total Municipal Bonds (cost $214,962,554) | 219,375,093 | |||||||||||||||
| 106 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
CALIFORNIA TAX FREE FUND September 30, 2013
| Investments | Shares (000) | Fair Value | ||||||
| SHORT-TERM INVESTMENT 0.00% | ||||||||
| Money Market Mutual Fund | ||||||||
| Dreyfus General CA Municipal (cost $26) | — | (j) | $ | 26 | ||||
| Total Investments in Securities 98.93% (cost $214,962,580) | 219,375,119 | |||||||
| Cash and Other Assets in Excess of Liabilities(i) 1.07% | 2,370,190 | |||||||
| Net Assets 100.00% | $ | 221,745,309 | ||||||
Open Futures Contracts at September 30, 2013:
| Type | Expiration | Contracts | Position | Fair Value | Unrealized Depreciation | ||||||||||
| U.S. 10-Year Treasury Note | December 2013 | 11 | Short | $ | (1,390,297 | ) | $ | (27,432 | ) | ||||||
| U.S. 30-Year Treasury Bond | December 2013 | 9 | Short | (1,200,375 | ) | (37,914 | ) | ||||||||
| Totals | $ | (2,590,672 | ) | $ | (65,346 | ) | |||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s financial instruments carried at fair value(1):
| Investment Type(2)(3) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 219,375,093 | $ | — | $ | 219,375,093 | ||||||||
| Money Market Mutual Fund | 26 | — | — | 26 | ||||||||||||
| Total | $ | 26 | $ | 219,375,093 | $ | — | $ | 219,375,119 | ||||||||
| Liabilities | ||||||||||||||||
| Trust Certificates | $ | — | $ | (1,500,000 | ) | $ | — | $ | (1,500,000 | ) | ||||||
| Total | $ | — | $ | (1,500,000 | ) | $ | — | $ | (1,500,000 | ) | ||||||
| Other Financial Instruments | ||||||||||||||||
| Futures Contracts | ||||||||||||||||
| Assets | $ | — | $ | — | $ | — | $ | — | ||||||||
| Liabilities | (65,346 | ) | — | — | (65,346 | ) | ||||||||||
| Total | $ | (65,346 | ) | $ | — | $ | — | $ | (65,346 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. |
| (3) | There were no level transfers during the fiscal year ended September 30, 2013. |
| See Notes to Financial Statements. | 107 |
Schedule of Investments
NEW JERSEY TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 96.71% | ||||||||||||||||
| Corporate-Backed 3.56% | ||||||||||||||||
| NJ EDA—Continental Airlines AMT | 5.25 | % | 9/15/2029 | B | $ | 2,000 | $ | 1,833,840 | ||||||||
| NJ EDA—Continental Airlines AMT | 5.50 | % | 4/1/2028 | B | 320 | 283,920 | ||||||||||
| NJ EDA—Continental Airlines AMT | 5.50 | % | 6/1/2033 | B | 350 | 320,492 | ||||||||||
| NJ EDA—Glimcher Pptys AMT | 6.00 | % | 11/1/2028 | NR | 1,085 | 1,008,681 | ||||||||||
| PR Ports Auth—American Airlines AMT(e) | 6.25 | % | 6/1/2026 | NR | 1,000 | 1,059,540 | ||||||||||
| Total | 4,506,473 | |||||||||||||||
| Education 12.14% | ||||||||||||||||
| NJ Ed Facs—Kean Univ | 5.25 | % | 9/1/2029 | A2 | 1,750 | 1,897,612 | ||||||||||
| NJ Ed Facs—Montclair State Univ | 5.00 | % | 7/1/2029 | A1 | 1,000 | 1,064,550 | ||||||||||
| NJ Ed Facs—Ramapo Clg | 4.00 | % | 7/1/2024 | A | 1,035 | 1,067,344 | ||||||||||
| NJ Ed Facs—Rider Univ | 5.00 | % | 7/1/2032 | BBB+ | 500 | 503,150 | ||||||||||
| NJ Ed Facs—Rider Univ | 5.00 | % | 7/1/2037 | BBB+ | 500 | 489,750 | ||||||||||
| NJ Ed Facs—Rowan Univ | 5.00 | % | 7/1/2022 | A+ | 425 | 473,386 | ||||||||||
| NJ Ed Facs—Rowan Univ (AG) | 5.00 | % | 7/1/2027 | AA- | 1,000 | 1,077,230 | ||||||||||
| NJ Ed Facs—Seton Hall Univ | 5.00 | % | 7/1/2038 | A | 1,000 | 1,023,950 | ||||||||||
| NJ Ed Facs—Seton Hall Univ | 6.00 | % | 7/1/2028 | A | 2,450 | 2,792,069 | ||||||||||
| NJ EDA—Rutgers State Univ | 5.00 | % | 6/15/2038 | AA- | 500 | 523,850 | ||||||||||
| NJ Higher Ed Assistance Auth | 5.00 | % | 12/1/2021 | AA | 1,000 | 1,074,760 | ||||||||||
| NJ Higher Ed Assistance Auth AMT | 4.125 | % | 12/1/2024 | AA | 1,250 | 1,250,413 | ||||||||||
| NJ Inst of Tech | 5.00 | % | 7/1/2032 | A+ | 500 | 535,795 | ||||||||||
| Rutgers State Univ | 5.00 | % | 5/1/2031 | AA- | 1,500 | 1,581,180 | ||||||||||
| Total | 15,355,039 | |||||||||||||||
| General Obligation 8.42% | ||||||||||||||||
| Atlantic City Brd Ed (AGM) | 5.00 | % | 4/1/2022 | AA- | 1,150 | 1,266,035 | ||||||||||
| Atlantic City GO (AGM) | 4.00 | % | 11/1/2023 | AA- | 1,000 | 1,019,830 | ||||||||||
| Guam GO | 7.00 | % | 11/15/2039 | B+ | 140 | 148,536 | ||||||||||
| Hudson Co Impt—Lease Revenue GTD | 5.00 | % | 4/1/2023 | Aa3 | 545 | 613,577 | ||||||||||
| Hudson Co Impt Auth—Solid Waste GTD | 5.75 | % | 1/1/2035 | Aa3 | 1,840 | 2,016,254 | ||||||||||
| Monroe Twp Brd Ed | 5.00 | % | 8/1/2025 | AA- | 840 | 947,864 | ||||||||||
| New Brunswick GO | 5.00 | % | 10/1/2023 | AA- | 1,000 | 1,115,990 | ||||||||||
| Northern Mariana Islands Comwlth | 5.00 | % | 10/1/2033 | NR | 995 | 709,664 | ||||||||||
| PR Comwlth GO | 5.375 | % | 7/1/2030 | BBB- | 1,000 | 760,730 | ||||||||||
| Rahway GO (AGM) | 4.125 | % | 12/15/2026 | A1 | 5 | 5,103 | ||||||||||
| Union Co Util Auth—Covanta GTD AMT | 4.75 | % | 12/1/2031 | AA+ | 1,000 | 982,270 | ||||||||||
| 108 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NEW JERSEY TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| General Obligation (continued) | ||||||||||||||||
| Woodbridge Twp Sewer Utility | 4.00 | % | 7/1/2024 | AA- | $ | 1,020 | $ | 1,068,399 | ||||||||
| Total | 10,654,252 | |||||||||||||||
| Health Care 14.55% | ||||||||||||||||
| NJ EDA—Seabrook Vlg | 5.25 | % | 11/15/2036 | NR | 1,000 | 925,610 | ||||||||||
| NJ EDA—Seashore Gardens | 5.375 | % | 11/1/2036 | NR | 1,000 | 849,540 | ||||||||||
| NJ Hlth—AHS Hsp Corp | 5.00 | % | 7/1/2027 | A+ | 1,000 | 1,043,200 | ||||||||||
| NJ Hlth—AHS Hsp Corp | 6.00 | % | 7/1/2037 | A+ | 650 | 724,347 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.00 | % | 7/1/2023 | BBB+ | 1,605 | 1,693,243 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.625 | % | 7/1/2032 | BBB+ | 925 | 958,060 | ||||||||||
| NJ Hlth—Barnabas Hlth | 5.625 | % | 7/1/2037 | BBB+ | 875 | 900,069 | ||||||||||
| NJ Hlth—Catholic Hlth E | 4.75 | % | 11/15/2029 | A+ | 625 | 632,875 | ||||||||||
| NJ Hlth—Chilton Mem Hsp | 5.75 | % | 7/1/2039 | BBB+ | 2,000 | 2,078,980 | ||||||||||
| NJ Hlth—Kennedy Hlth Sys | 5.00 | % | 7/1/2037 | A3 | 500 | 497,210 | ||||||||||
| NJ Hlth—Kennedy Hlth Sys | 5.00 | % | 7/1/2042 | A3 | 500 | 482,235 | ||||||||||
| NJ Hlth—Robert Wood Hsp | 5.25 | % | 7/1/2028 | A | 500 | 532,125 | ||||||||||
| NJ Hlth—St Josephs Hlth | 6.625 | % | 7/1/2038 | BBB- | 1,500 | 1,502,505 | ||||||||||
| NJ Hlth—St Lukes Warren Hsp | 5.00 | % | 8/15/2031 | A3 | 1,000 | 1,032,190 | ||||||||||
| NJ Hlth—Trinitas Hsp | 5.25 | % | 7/1/2030 | BBB- | 1,000 | 1,000,920 | ||||||||||
| NJ Hlth—Virtua Hlth | 5.75 | % | 7/1/2033 | A+ | 2,000 | 2,134,540 | ||||||||||
| PR Indl Tourist—Ascension Hlth | 6.125 | % | 11/15/2025 | AA+ | 415 | 416,506 | ||||||||||
| PR Indl Tourist—Ascension Hlth | 6.125 | % | 11/15/2030 | AA+ | 1,000 | 1,003,440 | ||||||||||
| Total | 18,407,595 | |||||||||||||||
| Housing 1.67% | ||||||||||||||||
| NJ EDA—Montclair St Std Hsg | 5.75 | % | 6/1/2031 | Baa3 | 1,000 | 1,058,210 | ||||||||||
| NJ EDA—Montclair St Std Hsg | 5.875 | % | 6/1/2042 | Baa3 | 1,000 | 1,050,130 | ||||||||||
| Total | 2,108,340 | |||||||||||||||
| Lease Obligations 22.65% | ||||||||||||||||
| Essex Co Impt Auth—Newark | 6.25 | % | 11/1/2030 | Baa1 | 1,250 | 1,320,775 | ||||||||||
| Middlesex Co COP | 5.00 | % | 10/15/2026 | AA+ | 1,265 | 1,399,280 | ||||||||||
| Newark Hsg—Police Fac (AG) | 6.75 | % | 12/1/2038 | A3 | 750 | 864,240 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2022 | A+ | 2,000 | 2,285,760 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 9/1/2033 | A+ | 1,020 | 1,039,961 | ||||||||||
| NJ EDA—Sch Facs | 5.00 | % | 3/1/2035 | A+ | 2,000 | 2,050,520 | ||||||||||
| NJ EDA—Sch Facs | 5.25 | % | 9/1/2026 | A+ | 755 | 831,255 | ||||||||||
| NJ EDA—Sch Facs | 5.50 | % | 12/15/2029 | A+ | 1,275 | 1,391,892 | ||||||||||
| See Notes to Financial Statements. | 109 |
Schedule of Investments (continued)
NEW JERSEY TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| NJ EDA—Sch Facs (AMBAC) | 5.50 | % | 9/1/2024 | A+ | $ | 1,000 | $ | 1,171,140 | ||||||||
| NJ EDA—Seeing Eye | 5.00 | % | 6/1/2032 | A | 1,000 | 1,031,860 | ||||||||||
| NJ Hlth—Hsp Asset Trans | 5.00 | % | 10/1/2028 | A+ | 2,950 | 3,156,736 | ||||||||||
| NJ Hlth—Hsp Asset Trans | 5.75 | % | 10/1/2031 | A+ | 1,425 | 1,581,579 | ||||||||||
| NJ State COP—Equip Lease COP | 5.25 | % | 6/15/2029 | A+ | 1,000 | 1,063,610 | ||||||||||
| NJ Trans Trust Fund | Zero Coupon | 12/15/2031 | A+ | 5,000 | 1,919,550 | |||||||||||
| NJ Trans Trust Fund | Zero Coupon | 12/15/2038 | A+ | 5,000 | 1,186,600 | |||||||||||
| NJ Trans Trust Fund | 5.00 | % | 6/15/2022 | A+ | 1,500 | 1,723,200 | ||||||||||
| NJ Trans Trust Fund TCRS (AMBAC) | 5.25 | % | 12/15/2022 | A+ | 1,640 | 1,924,589 | ||||||||||
| North Hudson Sewerage Auth | 5.00 | % | 6/1/2028 | A- | 1,000 | 1,069,520 | ||||||||||
| PR Infra Fin Auth—Mepsi Campus | 6.50 | % | 10/1/2037 | NR | 1,000 | 833,680 | ||||||||||
| PR Pub Bldg Auth GTD | 6.50 | % | 7/1/2030 | BBB- | 1,000 | 816,020 | ||||||||||
| Total | 28,661,767 | |||||||||||||||
| Other Revenue 0.91% | ||||||||||||||||
| Guam Privilege Tax | 5.25 | % | 1/1/2036 | A | 1,000 | 1,020,030 | ||||||||||
| Middlesex Co Impt Auth—Heldrich Ctr(e) | 6.25 | % | 1/1/2037 | NR | 1,300 | 130,000 | ||||||||||
| Total | 1,150,030 | |||||||||||||||
| Special Tax 1.00% | ||||||||||||||||
| NJ EDA—Kapkowski Rd Landfill | 5.75 | % | 10/1/2021 | Ba2 | 500 | 519,455 | ||||||||||
| NJ EDA—Kapkowski Rd Landfill | 6.50 | % | 4/1/2028 | Ba2 | 675 | 747,542 | ||||||||||
| Total | 1,266,997 | |||||||||||||||
| Tax Revenue 7.03% | ||||||||||||||||
| Garden St Preservation Trust (AGM) | 5.75 | % | 11/1/2028 | AAA | 2,805 | 3,404,036 | ||||||||||
| Guam Ltd Oblig—Section 30 Landfill | 5.75 | % | 12/1/2034 | BBB+ | 375 | 388,721 | ||||||||||
| NJ EDA—Cigarette Tax | 4.25 | % | 6/15/2027 | BBB+ | 500 | 470,690 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2024 | BBB+ | 1,000 | 1,056,240 | ||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2025 | BBB+ | 140 | 140,774 | ||||||||||
| PR Corp Sales Tax | 5.00 | % | 8/1/2035 | A+ | 1,750 | 1,372,630 | ||||||||||
| PR Corp Sales Tax | 5.25 | % | 8/1/2027 | A+ | 1,020 | 903,037 | ||||||||||
| Virgin Islands PFA—Matching Fund | 5.00 | % | 10/1/2029 | BBB | 650 | 645,755 | ||||||||||
| Virgin Islands PFA—Matching Fund | 5.25 | % | 10/1/2029 | Baa2 | 500 | 508,480 | ||||||||||
| Total | 8,890,363 | |||||||||||||||
| Tobacco 5.67% | ||||||||||||||||
| NJ EDA—Cigarette Tax | 5.00 | % | 6/15/2026 | BBB+ | 1,520 | 1,559,794 | ||||||||||
| Tobacco Settlement Fin Corp | 4.50 | % | 6/1/2023 | B1 | 1,560 | 1,475,526 | ||||||||||
| 110 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NEW JERSEY TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tobacco (continued) | ||||||||||||||||
| Tobacco Settlement Fin Corp | 4.625 | % | 6/1/2026 | B1 | $ | 2,085 | $ | 1,829,692 | ||||||||
| Tobacco Settlement Fin Corp | 4.75 | % | 6/1/2034 | B2 | 3,155 | 2,311,195 | ||||||||||
| Total | 7,176,207 | |||||||||||||||
| Transportation 11.58% | ||||||||||||||||
| Delaware River & Bay Auth | 5.00 | % | 1/1/2042 | A1 | 1,000 | 1,023,720 | ||||||||||
| Delaware River Jt Toll Brdg Commn | 4.00 | % | 7/1/2027 | A2 | 1,000 | 1,006,560 | ||||||||||
| Delaware River Port Auth | 5.00 | % | 1/1/2022 | BBB- | 1,250 | 1,303,938 | ||||||||||
| Hudson Co Impt—Harrison Pkg GTD (AG) | 5.125 | % | 1/1/2031 | AA- | 1,500 | 1,553,175 | ||||||||||
| NJ Tpk Auth | 5.00 | % | 1/1/2028 | A+ | 1,000 | 1,076,580 | ||||||||||
| NJ Tpk Auth (AGM) | 5.25 | % | 1/1/2028 | AA- | 1,750 | 1,975,505 | ||||||||||
| NJ Trans Trust Fund | 6.00 | % | 6/15/2035 | A+ | 2,000 | 2,258,460 | ||||||||||
| Port Auth NY & NJ | 4.75 | % | 11/1/2036 | AA- | 1,000 | 1,015,630 | ||||||||||
| Port Auth NY & NJ AMT | 5.75 | % | 11/1/2030 | AA- | 1,000 | 1,099,260 | ||||||||||
| South Jersey Port Corp—Marine Terminal AMT | 4.00 | % | 1/1/2021 | A1 | 1,000 | 1,029,770 | ||||||||||
| South Jersey Trans Auth | 5.00 | % | 11/1/2029 | A- | 1,250 | 1,304,637 | ||||||||||
| Total | 14,647,235 | |||||||||||||||
| Utilities 7.53% | ||||||||||||||||
| Essex Co Utils Auth Solid Waste (AG) | 5.00 | % | 4/1/2020 | Aa2 | 1,000 | 1,116,710 | ||||||||||
| NJ EDA—UMM Energy AMT | 4.75 | % | 6/15/2032 | Baa3 | 1,000 | 935,170 | ||||||||||
| NJ Env Infra Trust | 5.00 | % | 9/1/2021 | AAA | 1,795 | 2,139,407 | ||||||||||
| Passaic Valley Swr Sys (NPFGC) | 2.50 | % | 12/1/2032 | A2 | 525 | 353,335 | ||||||||||
| PR Aqueduct & Swr Auth | 5.75 | % | 7/1/2037 | BB+ | 1,000 | 738,810 | ||||||||||
| PR Elec Pwr Auth | 5.00 | % | 7/1/2028 | BBB | 1,000 | 725,540 | ||||||||||
| PR Elec Pwr Auth | 5.25 | % | 7/1/2040 | BBB | 1,000 | 695,830 | ||||||||||
| PR Elec Pwr Auth | 5.75 | % | 7/1/2036 | BBB | 1,000 | 746,650 | ||||||||||
| Salem Co Poll Ctl—Atlantic City Elec | 4.875 | % | 6/1/2029 | A | $ | 2,000 | 2,074,220 | |||||||||
| Total | 9,525,672 | |||||||||||||||
| Total Municipal Bonds (cost $124,955,458) | 122,349,970 | |||||||||||||||
| See Notes to Financial Statements. | 111 |
Schedule of Investments (concluded)
NEW JERSEY TAX FREE FUND September 30, 2013
| Investments | Shares (000) | Fair Value | ||||||
| SHORT-TERM INVESTMENT 0.00% | ||||||||
| Money Market Mutual Fund | ||||||||
| Dreyfus NJ Municipal Cash Management (cost $5) | — | (j) | $ | 5 | ||||
| Total Investments in Securities 96.71% (cost $124,955,463) | 122,349,975 | |||||||
| Cash and Other Assets in Excess of Liabilities(i) 3.29% | 4,166,205 | |||||||
| Net Assets 100.00% | $ | 126,516,180 | ||||||
Open Futures Contracts at September 30, 2013:
| Type | Expiration | Contracts | Position | Fair Value | Unrealized Depreciation | ||||||||||
| U.S. 10-Year Treasury Note | December 2013 | 3 | Short | $ | (379,172 | ) | $ | (7,481 | ) | ||||||
| U.S. 30-Year Treasury Bond | December 2013 | 19 | Short | (2,534,125 | ) | (80,040 | ) | ||||||||
| Totals | $ | (2,913,297 | ) | $ | (87,521 | ) | |||||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s investments carried at fair value(1):
| Investment Type(2)(3) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 122,349,970 | $ | — | $ | 122,349,970 | ||||||||
| Money Market Mutual Fund | 5 | — | — | 5 | ||||||||||||
| Total | $ | 5 | $ | 122,349,970 | $ | — | $ | 122,349,975 | ||||||||
| Other Financial Instruments | ||||||||||||||||
| Futures Contracts | ||||||||||||||||
| Assets | $ | — | $ | — | $ | — | $ | — | ||||||||
| Liabilities | (87,521 | ) | — | — | (87,521 | ) | ||||||||||
| Total | $ | (87,521 | ) | $ | — | $ | — | $ | (87,521 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. |
| (3) | There were no level transfers during the fiscal year ended September 30, 2013. |
| 112 | See Notes to Financial Statements. |
Schedule of Investments
NEW YORK TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| MUNICIPAL BONDS 99.30% | ||||||||||||||||
| Corporate-Backed 7.23% | ||||||||||||||||
| Broome Co IDA—University Plaza (ACA) | 5.10 | % | 8/1/2036 | NR | $ | 500 | $ | 409,590 | ||||||||
| Broome Co IDA—University Plaza (ACA) | 5.20 | % | 8/1/2030 | NR | 750 | 647,603 | ||||||||||
| Broome Co IDA—University Plaza (ACA) | 5.20 | % | 8/1/2036 | NR | 1,000 | 830,840 | ||||||||||
| Essex Co IDA—Intl Paper AMT | 4.60 | % | 12/1/2030 | BBB | 1,400 | 1,300,796 | ||||||||||
| Liberty Dev Corp—Goldman Sachs | 5.25 | % | 10/1/2035 | A- | 1,750 | 1,861,177 | ||||||||||
| Niagara Area Dev Corp—Covanta | 4.00 | % | 11/1/2024 | Ba2 | 500 | 451,900 | ||||||||||
| Niagara Area Dev Corp—Covanta AMT | 5.25 | % | 11/1/2042 | Ba2 | 500 | 421,065 | ||||||||||
| NY Liberty Dev Corp—7 WTC | 5.00 | % | 9/15/2040 | Aaa | 2,000 | 2,051,220 | ||||||||||
| NY Liberty Dev Corp—B of A Tower | 5.625 | % | 7/15/2047 | AA | 1,600 | 1,694,752 | ||||||||||
| NYC Cap Res—Arthur Mgmt | 7.00 | % | 8/1/2025 | NR | 1,435 | 1,485,856 | ||||||||||
| NYC IDA—British Airways AMT | 5.25 | % | 12/1/2032 | BB | 2,265 | 2,039,542 | ||||||||||
| NYC IDA—InterActive Corp | 5.00 | % | 9/1/2035 | BBB | 1,315 | 1,246,226 | ||||||||||
| NYC IDA—Jetblue AMT | 5.125 | % | 5/15/2030 | B | 2,350 | 2,056,931 | ||||||||||
| NYC IDA—TRIPS AMT | 5.00 | % | 7/1/2028 | BBB- | 1,750 | 1,622,180 | ||||||||||
| NYC IDA—Yankee Stadium (FGIC) | 4.50 | % | 3/1/2039 | BBB | 495 | 462,969 | ||||||||||
| Syracuse IDA—Carousel Ctr AMT (XLCA) | 5.00 | % | 1/1/2036 | BBB- | 5,000 | 4,900,950 | ||||||||||
| Total | 23,483,597 | |||||||||||||||
| Education 13.22% | ||||||||||||||||
| Buffalo & Erie IDC—Buffalo State College | 5.75 | % | 10/1/2026 | A+ | 1,350 | 1,536,314 | ||||||||||
| Cattaraugus Co IDA—St Bonaventure Univ | 5.00 | % | 5/1/2023 | BBB- | 500 | 510,520 | ||||||||||
| Cattaraugus Co IDA—St Bonaventure Univ | 5.10 | % | 5/1/2031 | BBB- | 1,075 | 1,077,526 | ||||||||||
| Dutchess Co LDC—Anderson Ctr | 6.00 | % | 10/1/2030 | BB+ | 1,000 | 984,320 | ||||||||||
| Monroe Co IDC—Univ of Rochester | 5.00 | % | 7/1/2036 | AA- | 3,500 | 3,640,980 | ||||||||||
| Niagara Area Dev Corp—Niagara Univ | 5.00 | % | 5/1/2035 | BBB+ | 500 | 490,275 | ||||||||||
| Niagara Area Dev Corp—Niagara Univ | 5.00 | % | 5/1/2042 | BBB+ | 1,200 | 1,166,172 | ||||||||||
| NY Dorm—Brooklyn Law School | 5.00 | % | 7/1/2024 | BBB+ | 1,000 | 1,046,050 | ||||||||||
| NY Dorm—Brooklyn Law School | 5.00 | % | 7/1/2025 | BBB+ | 1,000 | 1,038,680 | ||||||||||
| NY Dorm—Cornell Univ | 5.00 | % | 7/1/2040 | Aa1 | 1,250 | 1,283,725 | ||||||||||
| NY Dorm—Fordham University | 5.25 | % | 7/1/2031 | A | 2,275 | 2,436,047 | ||||||||||
| NY Dorm—Long Island Univ | 5.00 | % | 9/1/2026 | BBB- | 1,000 | 1,031,150 | ||||||||||
| NY Dorm—NYU | 5.25 | % | 7/1/2034 | AA- | 5,500 | 6,050,715 | ||||||||||
| NY Dorm—Pace Univ | 4.00 | % | 5/1/2022 | BBB- | 500 | 496,760 | ||||||||||
| NY Dorm—Pace Univ | 5.00 | % | 5/1/2023 | BBB- | 500 | 526,820 | ||||||||||
| NY Dorm—Rockefeller Univ | 5.00 | % | 7/1/2038 | AA+ | 2,155 | 2,275,098 | ||||||||||
| NY Dorm—SUNY | 5.00 | % | 7/1/2021 | Aa3 | 1,000 | 1,154,430 | ||||||||||
| See Notes to Financial Statements. | 113 |
Schedule of Investments (continued)
NEW YORK TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Education (continued) | ||||||||||||||||
| NY Dorm—SUNY | 5.00 | % | 7/1/2022 | Aa3 | $ | 735 | $ | 849,131 | ||||||||
| NY Dorm—SUNY | 5.00 | % | 7/1/2035 | Aa2 | 1,750 | 1,831,025 | ||||||||||
| NY Dorm—Teachers Clg | 5.375 | % | 3/1/2029 | A1 | 1,025 | 1,080,688 | ||||||||||
| NYC IDA—Polytechnic Univ (ACA) | 5.25 | % | 11/1/2037 | BBB- | 4,295 | 4,370,420 | ||||||||||
| NYC IDA—Vaughn Clg | 5.00 | % | 12/1/2031 | BB | 1,510 | 1,347,298 | ||||||||||
| Onondaga CDC—Upstate Prop Dev | 5.50 | % | 12/1/2031 | A+ | 1,000 | 1,058,500 | ||||||||||
| Onondaga Co Cultural—Syracuse Univ | 5.00 | % | 12/1/2036 | AA- | 500 | 519,310 | ||||||||||
| Onondage CO Cultural—Syracuse Univ | 5.00 | % | 12/1/2038 | AA- | 1,210 | 1,255,835 | ||||||||||
| St Lawrence IDA—Clarkson Univ | 6.00 | % | 9/1/2034 | A3 | 1,575 | 1,723,050 | ||||||||||
| Troy IDA—Rensselaer Poly | 5.00 | % | 9/1/2030 | A- | 1,000 | 1,045,080 | ||||||||||
| Yonkers IDA—Sarah Lawrence Clg | 6.00 | % | 6/1/2029 | BBB | 1,000 | 1,077,780 | ||||||||||
| Total | 42,903,699 | |||||||||||||||
| General Obligation 8.89% | ||||||||||||||||
| Guam GO | 7.00 | % | 11/15/2039 | B+ | 280 | 297,072 | ||||||||||
| Northern Mariana Islands Comwlth | 5.00 | % | 10/1/2033 | NR | 1,990 | 1,419,328 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2021 | AA | 1,070 | 1,239,092 | ||||||||||
| NYC GO | 5.00 | % | 4/1/2022 | AA | 2,500 | 2,940,075 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2022 | AA | 1,200 | 1,414,428 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2022 | AA | 2,000 | 2,357,380 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2023 | AA | 1,895 | 2,147,357 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2023 | AA | 2,405 | 2,787,659 | ||||||||||
| NYC GO | 5.00 | % | 10/1/2024 | AA | 1,500 | 1,700,430 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2025 | AA | 2,500 | 2,831,250 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2026 | AA | 1,500 | 1,677,990 | ||||||||||
| NYC GO | 5.00 | % | 8/1/2027 | AA | 1,410 | 1,561,462 | ||||||||||
| NYC GO | 5.00 | % | 10/1/2034 | AA | 1,500 | 1,586,820 | ||||||||||
| PR Comwlth GO | 5.375 | % | 7/1/2030 | BBB- | 3,500 | 2,662,555 | ||||||||||
| Yonkers City | 5.00 | % | 10/1/2020 | BBB+ | 2,000 | 2,243,980 | ||||||||||
| Total | 28,866,878 | |||||||||||||||
| Health Care 10.92% | ||||||||||||||||
| Albany IDA—St Peters Hsp | 5.25 | % | 11/15/2027 | A- | 1,500 | 1,558,905 | ||||||||||
| Albany IDA—St Peters Hsp | 5.50 | % | 11/15/2027 | A- | 1,000 | 1,048,240 | ||||||||||
| Chautauqua Co—Woman’s Christian Assn | 8.00 | % | 11/15/2030 | NR | 1,000 | 1,041,600 | ||||||||||
| East Rochester Hsg—Woodland Vlg | 5.50 | % | 8/1/2033 | NR | 1,700 | 1,598,306 | ||||||||||
| Genesee Co IDA—United Mem Med Ctr | 5.00 | % | 12/1/2032 | NR | 1,000 | 878,660 | ||||||||||
| Madison Co IDA—Oneida Hlth | 5.25 | % | 2/1/2027 | BBB- | 750 | 730,320 | ||||||||||
| 114 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NEW YORK TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Health Care (continued) | ||||||||||||||||
| Madison Co IDA—Oneida Hlth | 5.50 | % | 2/1/2032 | BBB- | $ | 750 | $ | 728,040 | ||||||||
| Nassau Co LEAC—S Nassau Cmntys Hsp | 5.00 | % | 7/1/2027 | A3 | 1,000 | 1,038,680 | ||||||||||
| Nassau Co LEAC—Winthrop Univ Hsp | 5.00 | % | 7/1/2032 | Baa1 | 2,000 | 1,910,800 | ||||||||||
| NY Dorm—Catholic Hlth | 5.00 | % | 7/1/2032 | BBB+ | 500 | 503,840 | ||||||||||
| NY Dorm—Miriam Osborn Mem Home | 5.00 | % | 7/1/2042 | A- | (d) | 750 | 753,660 | |||||||||
| NY Dorm—Mt Sinai Hsp | 5.00 | % | 7/1/2026 | A2 | 3,950 | 4,224,604 | ||||||||||
| NY Dorm—North Shore LI Jewish | 5.00 | % | 5/1/2022 | A- | 1,215 | 1,363,704 | ||||||||||
| NY Dorm—North Shore LI Jewish | 5.25 | % | 5/1/2034 | A- | 1,000 | 1,063,510 | ||||||||||
| NY Dorm—NYU Hsps Ctr | 5.75 | % | 7/1/2031 | A- | 1,500 | 1,638,900 | ||||||||||
| NY Dorm—Orange Regl Med | 6.125 | % | 12/1/2029 | Ba1 | 2,000 | 2,014,280 | ||||||||||
| NY Dorm—United Cerebral Palsy (AMBAC) | 5.75 | % | 7/1/2018 | NR | 1,000 | 1,000,630 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2021 | Aa3 | 1,000 | 1,155,580 | ||||||||||
| NYC Hlth & Hsp Corp | 5.00 | % | 2/15/2025 | Aa3 | 1,550 | 1,690,833 | ||||||||||
| NYC Hlth & Hsp Corp | 5.50 | % | 2/15/2023 | Aa3 | 1,090 | 1,213,933 | ||||||||||
| Onondaga CDC—St Josephs Hsp | 5.00 | % | 7/1/2042 | BB+ | 1,000 | 866,160 | ||||||||||
| Suffolk Co EDC—Catholic Hlth Long Island | 5.00 | % | 7/1/2028 | BBB+ | 1,000 | 1,012,740 | ||||||||||
| Suffolk Co IDA—Eastern LI Hsp Assn† | 5.375 | % | 1/1/2027 | NR | 1,105 | 1,029,959 | ||||||||||
| Suffolk Co IDA—Eastern LI Hsp Assn† | 5.50 | % | 1/1/2037 | NR | 1,000 | 887,380 | ||||||||||
| Ulster Co IDA—Kingston Lvg Ctr | 6.00 | % | 9/15/2027 | NR | 3,000 | 2,351,580 | ||||||||||
| Westchester Co Hlth Care | 6.00 | % | 11/1/2030 | A3 | 850 | 940,066 | ||||||||||
| Westchester Co LDC—Kendal Hudson | 5.00 | % | 1/1/2034 | BBB | (d) | 1,250 | 1,221,888 | |||||||||
| Total | 35,466,798 | |||||||||||||||
| Housing 0.71% | ||||||||||||||||
| NY Mtg Agy—Homeowner Mtg AMT | 4.875 | % | 10/1/2030 | Aa1 | 2,255 | 2,301,047 | ||||||||||
| Lease Obligations 12.97% | ||||||||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.00 | % | 5/1/2023 | AA- | 1,000 | 1,135,370 | ||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.25 | % | 5/1/2030 | AA- | 2,575 | 2,776,571 | ||||||||||
| Erie Co IDA—Buffalo Sch Dist | 5.25 | % | 5/1/2032 | AA- | 1,000 | 1,061,510 | ||||||||||
| Monroe Co IDA—Rochester Schools | 5.00 | % | 5/1/2021 | AA- | 2,500 | 2,878,650 | ||||||||||
| NY Dorm—Court Facs | Zero Coupon | 8/1/2021 | AA+ | 3,265 | 2,731,956 | |||||||||||
| NY Dorm—Master BOCES | 5.50 | % | 8/15/2026 | Aa3 | 1,560 | 1,746,670 | ||||||||||
| NY Dorm—NY Downtown Hospital | 5.00 | % | 2/15/2022 | AA- | 1,000 | 1,140,490 | ||||||||||
| NY Dorm—Oneida | 5.25 | % | 8/15/2028 | Aa3 | 3,375 | 3,682,800 | ||||||||||
| NY Dorm—State Univ—Third Resolution | 5.00 | % | 5/15/2026 | AA- | 2,840 | 3,181,339 | ||||||||||
| NY Liberty Dev Corp—4 WTC | 5.00 | % | 11/15/2031 | A+ | 1,000 | 1,035,700 | ||||||||||
| NY UDC | 5.70 | % | 4/1/2020 | AA- | 4,150 | 4,818,731 | ||||||||||
| See Notes to Financial Statements. | 115 |
Schedule of Investments (continued)
NEW YORK TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Lease Obligations (continued) | ||||||||||||||||
| NYC IDA—Stock Exchange | 4.75 | % | 5/1/2029 | AA- | $ | 2,500 | $ | 2,576,450 | ||||||||
| NYC IDA—USTA National Tennis Ctr (AGM) | 5.00 | % | 11/15/2023 | AA- | 1,830 | 1,945,455 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2022 | AA- | 2,150 | 2,490,044 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2025 | AA- | 2,840 | 3,187,531 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2025 | AA- | 1,500 | 1,697,880 | ||||||||||
| NYC TFA—Bldg Aid | 5.00 | % | 7/15/2027 | AA- | 1,425 | 1,562,341 | ||||||||||
| PR Infra Fin Auth—Mepsi Campus | 6.50 | % | 10/1/2037 | NR | 1,000 | 833,680 | ||||||||||
| PR Pub Bldg Auth GTD | 6.50 | % | 7/1/2030 | BBB- | 2,000 | 1,632,040 | ||||||||||
| Total | 42,115,208 | |||||||||||||||
| Other Revenue 5.99% | ||||||||||||||||
| Brooklyn Arena LDC—Barclays Ctr | 6.25 | % | 7/15/2040 | BBB- | 3,000 | 3,147,060 | ||||||||||
| Build NYC Res Corp—YMCA | 5.00 | % | 8/1/2042 | A- | 1,265 | 1,262,989 | ||||||||||
| NY Dorm—NYSARC Inc | 5.125 | % | 7/1/2030 | Aa3 | 2,000 | 2,108,760 | ||||||||||
| NY Dorm—SUNY | 5.00 | % | 7/1/2037 | Aa2 | 1,000 | 1,040,890 | ||||||||||
| NYC Cultural—Museum Modern Art | 5.00 | % | 4/1/2031 | AA | 4,500 | 4,932,045 | ||||||||||
| NYC Cultural—Whitney Museum | 5.00 | % | 7/1/2031 | A | 2,000 | 2,064,840 | ||||||||||
| NYC Cultural—Wildlife Conservation Society | 5.00 | % | 8/1/2033 | AA- | 2,000 | 2,127,640 | ||||||||||
| NYS Muni Bd Bk—Lease | 5.00 | % | 12/1/2022 | AA- | 1,410 | 1,659,076 | ||||||||||
| Yonkers EDC—Charter Sch Ed Excellence | 6.25 | % | 10/15/2040 | BB | 1,100 | 1,102,442 | ||||||||||
| Total | 19,445,742 | |||||||||||||||
| Special Tax 0.59% | ||||||||||||||||
| NYC IDA—Queens Stadium (AMBAC) | 5.00 | % | 1/1/2031 | Ba1 | 2,075 | 1,905,991 | ||||||||||
| Tax Revenue 11.88% | ||||||||||||||||
| Guam Ltd Oblig—Section 30 Landfill | 5.75 | % | 12/1/2034 | BBB+ | 755 | 782,625 | ||||||||||
| Hudson Yards | 5.75 | % | 2/15/2047 | A | 2,650 | 2,809,556 | ||||||||||
| MTA NY—Dedicated Tax | 5.00 | % | 11/15/2022 | AA | 1,010 | 1,190,336 | ||||||||||
| MTA NY—Dedicated Tax | 5.00 | % | 11/15/2034 | AA | 2,000 | 2,083,240 | ||||||||||
| NY Dorm—PIT | 5.00 | % | 12/15/2025 | AAA | 2,740 | 3,118,531 | ||||||||||
| NY Twy Auth—PIT | 5.00 | % | 3/15/2023 | AAA | 2,025 | 2,331,484 | ||||||||||
| NY Twy Auth—PIT | 5.00 | % | 3/15/2024 | AAA | 500 | 568,095 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2025 | AAA | 3,290 | 3,621,299 | ||||||||||
| NY UDC—PIT(b) | 5.00 | % | 12/15/2026 | AAA | 4,790 | 5,272,346 | ||||||||||
| NY UDC—PIT | 5.00 | % | 12/15/2028 | AAA | 3,500 | 3,816,960 | ||||||||||
| NYC TFA—Future Tax | 4.00 | % | 11/1/2022 | AAA | 1,000 | 1,107,420 | ||||||||||
| NYC TFA—Future Tax | 5.00 | % | 11/1/2021 | AAA | 2,000 | 2,368,440 | ||||||||||
| NYC TFA—Future Tax | 5.00 | % | 2/1/2022 | AAA | 2,000 | 2,365,480 | ||||||||||
| 116 | See Notes to Financial Statements. |
Schedule of Investments (continued)
NEW YORK TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Tax Revenue (continued) | ||||||||||||||||
| NYC TFA—Future Tax | 5.00 | % | 11/1/2023 | AAA | $ | 1,000 | $ | 1,176,130 | ||||||||
| NYC TFA—Future Tax | 5.00 | % | 2/1/2027 | AAA | 1,500 | 1,652,400 | ||||||||||
| NYC TFA—Future Tax | 5.00 | % | 5/1/2034 | AAA | 2,500 | 2,640,425 | ||||||||||
| PR Corp Sales Tax | 5.75 | % | 8/1/2037 | A+ | 2,000 | 1,655,940 | ||||||||||
| Total | 38,560,707 | |||||||||||||||
| Tobacco 3.15% | ||||||||||||||||
| Suffolk Tobacco Asset Sec Corp | 5.00 | % | 6/1/2032 | A- | 1,335 | 1,251,389 | ||||||||||
| Suffolk Tobacco Asset Sec Corp | 5.25 | % | 6/1/2037 | BBB+ | 1,145 | 1,081,258 | ||||||||||
| Suffolk Tobacco Asset Sec Corp | 5.375 | % | 6/1/2028 | BBB- | (d) | 1,745 | 1,591,824 | |||||||||
| Suffolk Tobacco Asset Sec Corp | 6.00 | % | 6/1/2048 | BB- | (d) | 2,350 | 1,986,620 | |||||||||
| TSASC | 5.00 | % | 6/1/2026 | B+ | 2,250 | 1,999,012 | ||||||||||
| TSASC | 5.125 | % | 6/1/2042 | B- | 3,100 | 2,329,929 | ||||||||||
| Total | 10,240,032 | |||||||||||||||
| Transportation 13.07% | ||||||||||||||||
| MTA NY | 5.00 | % | 11/15/2021 | A | 1,040 | 1,180,213 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2023 | A | 2,455 | 2,783,258 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2023 | A | 1,000 | 1,128,520 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2023 | A | 1,395 | 1,563,669 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2028 | A | 1,000 | 1,071,770 | ||||||||||
| MTA NY | 5.00 | % | 11/15/2031 | A | 2,500 | 2,559,950 | ||||||||||
| MTA NY | 5.25 | % | 11/15/2029 | A | 1,000 | 1,087,490 | ||||||||||
| NY Bridge Auth | 4.00 | % | 1/1/2027 | AA- | 3,250 | 3,348,897 | ||||||||||
| NY Twy Auth | 5.00 | % | 1/1/2028 | A+ | 2,000 | 2,183,180 | ||||||||||
| NY Twy Auth—Hwy & Brdg | 5.00 | % | 4/1/2028 | AA | 2,000 | 2,160,160 | ||||||||||
| NYC IDA—Terminal One Group AMT | 5.50 | % | 1/1/2021 | A3 | 1,250 | 1,337,813 | ||||||||||
| NYC IDA—Terminal One Group AMT | 5.50 | % | 1/1/2024 | A3 | 2,000 | 2,130,080 | ||||||||||
| Port Auth NY & NJ | 4.00 | % | 12/1/2022 | AA- | 2,060 | 2,237,325 | ||||||||||
| Port Auth NY & NJ AMT | 5.00 | % | 9/15/2024 | AA- | 1,000 | 1,111,460 | ||||||||||
| Port Auth NY & NJ AMT | 5.00 | % | 10/15/2024 | AA- | 1,250 | 1,398,875 | ||||||||||
| Port Auth NY & NJ AMT | 5.00 | % | 10/1/2033 | AA- | 1,525 | 1,578,329 | ||||||||||
| Port Auth NY & NJ AMT | 5.00 | % | 10/15/2041 | AA- | 1,250 | 1,266,475 | ||||||||||
| Triborough Brdg & Tunl Auth | 4.75 | % | 11/15/2030 | AA- | 5,455 | 5,686,401 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2022 | A+ | 1,000 | 1,169,760 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2023 | A+ | 2,525 | 2,934,909 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2023 | AA- | 1,000 | 1,183,910 | ||||||||||
| Triborough Brdg & Tunl Auth | 5.00 | % | 11/15/2029 | AA- | 1,250 | 1,341,338 | ||||||||||
| Total | 42,443,782 | |||||||||||||||
| See Notes to Financial Statements. | 117 |
Schedule of Investments (continued)
NEW YORK TAX FREE FUND September 30, 2013
| Investments | Interest Rate | Maturity Date | Credit Rating: S&P or Moody’s(a) | Principal Amount (000) | Fair Value | |||||||||||
| Utilities 10.68% | ||||||||||||||||
| Long Island Power Auth | 5.00 | % | 9/1/2025 | A- | $ | 1,000 | $ | 1,085,240 | ||||||||
| Long Island Power Auth | 5.00 | % | 5/1/2038 | A- | 1,880 | 1,894,081 | ||||||||||
| Long Island Power Auth | 5.50 | % | 4/1/2024 | A- | 2,215 | 2,458,052 | ||||||||||
| NY Energy—Brooklyn Union Gas RIBs AMT | 6.952 | % | 7/1/2026 | A3 | 8,000 | 8,026,160 | ||||||||||
| NY Env Facs—Clean Wtr & Drinking | 4.75 | % | 6/15/2032 | AAA | 5,000 | 5,103,350 | ||||||||||
| NY Env Facs—Clean Wtr & Drinking | 5.00 | % | 6/15/2029 | AAA | 2,000 | 2,221,340 | ||||||||||
| NY Env Facs—Clean Wtr & Drinking | 5.00 | % | 6/15/2036 | AAA | 1,250 | 1,325,263 | ||||||||||
| NYC Muni Water | 5.00 | % | 6/15/2029 | AA+ | 2,000 | 2,185,060 | ||||||||||
| NYC Muni Water | 5.00 | % | 6/15/2034 | AA+ | 3,525 | 3,749,683 | ||||||||||
| NYC Muni Water | 5.00 | % | 6/15/2035 | AA+ | 1,250 | 1,330,975 | ||||||||||
| PR Aqueduct & Swr Auth | 5.75 | % | 7/1/2037 | BB+ | 2,600 | 1,920,906 | ||||||||||
| PR Elec Pwr Auth | 5.75 | % | 7/1/2036 | BBB | 4,500 | 3,359,925 | ||||||||||
| Total | 34,660,035 | |||||||||||||||
| Total Municipal Bonds (cost $325,474,696) | 322,393,516 | |||||||||||||||
| Shares (000) | ||||||||||||||||
| SHORT-TERM INVESTMENT 0.00% | ||||||||||||||||
| Money Market Mutual Fund | ||||||||||||||||
| Dreyfus NY Municipal Cash Management (cost $331) | — | (j) | 331 | |||||||||||||
| Total Investments in Securities 99.30% (cost $325,475,027) | 322,393,847 | |||||||||||||||
| Cash and Other Assets in Excess of Liabilities(i) 0.70% | 2,278,704 | |||||||||||||||
| Net Assets 100.00% | $ | 324,672,551 | ||||||||||||||
Open Futures Contracts at September 30, 2013:
| Type | Expiration | Contracts | Position | Fair Value | Unrealized Depreciation | ||||||||||
| U.S. 30-Year Treasury Bond | December 2013 | 45 | Short | $ | (6,001,875 | ) | $ | (189,568 | ) | ||||||
Note: See Footnotes to Schedules of Investments on page 120 of this report.
| 118 | See Notes to Financial Statements. |
Schedule of Investments (concluded)
NEW YORK TAX FREE FUND September 30, 2013
The following is a summary of the inputs used as of September 30, 2013 in valuing the Fund’s financial instruments carried at fair value(1):
| Investment Type(2)(3) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Municipal Bonds | $ | — | $ | 322,393,516 | $ | — | $ | 322,393,516 | ||||||||
| Money Market Mutual Fund | 331 | — | — | 331 | ||||||||||||
| Total | $ | 331 | $ | 322,393,516 | $ | — | $ | 322,393,847 | ||||||||
| Liabilities | ||||||||||||||||
| Trust Certificates | $ | — | $ | (4,030,000 | ) | $ | — | $ | (4,030,000 | ) | ||||||
| Total | $ | — | $ | (4,030,000 | ) | $ | — | $ | (4,030,000 | ) | ||||||
| Other Financial Instruments | ||||||||||||||||
| Futures Contracts | ||||||||||||||||
| Assets | $ | — | $ | — | $ | — | $ | — | ||||||||
| Liabilities | (189,568 | ) | — | — | (189,568 | ) | ||||||||||
| Total | $ | (189,568 | ) | $ | — | $ | — | $ | (189,568 | ) | ||||||
| (1) | Refer to note 2(i) for a description of fair value measurements and the three-tier hierarchy of inputs. |
| (2) | See Schedule of Investments for fair values in each industry and identification of foreign issuers and/or geography. |
| (3) | There were no level transfers during the fiscal year ended September 30, 2013. |
| See Notes to Financial Statements. | 119 |
Footnotes to Schedules of Investments
September 30, 2013
| AMT | Income from this security may be subject to Alternative Minimum Tax. | |
| COP | Certificates of Participation. | |
| CR | Custodial Receipt. | |
| ETM | Escrow to Maturity. | |
| GTD | Guaranteed. | |
| NR | Not Rated. | |
| Pre-Refunded | Bonds A second bond has been issued in order to pay off the first bond issue. Proceeds from the sale of the second bond are held in an “escrow fund” consisting of U.S. Government debt until the first bond issue reaches maturity. | |
| PSF | Permanent School Fund. | |
| RIBs | Residual Interest Bonds. The interest rate is subject to change periodically and inversely to the prevailing market rate. The interest rate shown is the rate in effect at September 30, 2013. | |
| TCRS | Transferable Custodial Receipts. | |
| † | Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and, unless registered under such Act or exempted from registration, may only be resold to qualified institutional buyers. | |
| # | Variable rate security. The interest rate shown is the rate in effect at September 30, 2013. | |
| ~ | Deferred interest debentures pay no interest for a stipulated number of years, after which they pay a predetermined interest rate. | |
| (a) | Unaudited. | |
| (b) | Municipal Bonds Held in Trust - Securities represent underlying bonds transferred to a separate securitization trust established in a tender option bond transaction in which the Fund acquired the residual interest certificates. These securities serve as collateral in a financing transaction. See Note 2(h) for details of Municipal Bonds Held in Trust. | |
| (c) | Securities purchased on a when-issued basis (See Note 2(g)). | |
| (d) | This investment has been rated by Fitch IBCA. | |
| (e) | Defaulted security. | |
| (f) | The interest rate reset date shown represents the date in which the Fund has the right to sell a Variable Rate Demand Note back to the issuer for Principal Amount. | |
| (g) | Stub Rights issued in connection with a plan of reorganization. | |
| (h) | Security is perpetual and has no stated maturity date. | |
| (i) | Cash and Other Assets in Excess of Liabilities (Liabilities in Excess of Cash and Other Assets) include net unrealized appreciation (depreciation) on open futures contracts. | |
| (j) | Amount represents less than 1,000 shares. | |
| Insured or guaranteed by the indicated municipal bond insurance corporation or Federal agency: | ||
| ACA | American Capital Access Holding Ltd. | |
| AMBAC | AMBAC Assurance Corporation | |
| AG | Assured Guaranty | |
| AGM | Assured Guaranty Municipal Corporation | |
| BHAC | Berkshire Hathaway Assurance Corporation | |
| CIFG | CIFG Guaranty | |
| FHA | Federal Housing Administration | |
| FNMA | Federal National Mortgage Association | |
| FGIC | Financial Guaranty Insurance Company | |
| GNMA | Government National Mortgage Association | |
| IBC | Insurance Bond Certificate | |
| NPFGC | National Public Finance Guarantee Corporation | |
| RADIAN | Radian Asset Assurance, Inc. | |
| SIFMA | Securities Industry and Financial Markets Association | |
| VA | Department of Veterans Affairs | |
| XLCA | XL Capital Assurance, Inc. | |
| 120 | See Notes to Financial Statements. |
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Statements of Assets and Liabilities
September 30, 2013
| Short Duration | Intermediate | AMT Free | ||||||||||
| ASSETS: | ||||||||||||
| Investments in securities, at cost | $ | 2,579,260,021 | $ | 3,326,365,839 | $ | 147,486,384 | ||||||
| Investments in securities, at fair value | $ | 2,586,200,049 | $ | 3,338,625,582 | $ | 142,974,019 | ||||||
| Cash | 28,044,121 | 53,588,797 | 2,006,399 | |||||||||
| Deposits with brokers for futures collateral | — | 182,500 | — | |||||||||
| Receivables: | ||||||||||||
| Interest | 21,230,079 | 44,000,923 | 2,215,322 | |||||||||
| Investment securities sold | 1,303,819 | 8,499,635 | 94,225 | |||||||||
| Capital shares sold | 9,170,309 | 12,110,318 | 946,659 | |||||||||
| From advisor (See Note 3) | 174,727 | 74,242 | 37,464 | |||||||||
| Variation margin | — | 4,595 | — | |||||||||
| Prepaid expenses and other assets | 202,626 | 208,078 | 50,439 | |||||||||
| Total assets | 2,646,325,730 | 3,457,294,670 | 148,324,527 | |||||||||
| LIABILITIES: | ||||||||||||
| Payables: | ||||||||||||
| Investment securities purchased | 23,986,816 | — | 1,376,024 | |||||||||
| Trust certificates (See Note 2(h)) | 17,000,000 | 11,815,000 | — | |||||||||
| Capital shares reacquired | 13,982,023 | 13,301,500 | 869,057 | |||||||||
| Management fee | 834,035 | 1,117,892 | 60,565 | |||||||||
| 12b-1 distribution fees | 653,424 | 1,064,584 | 44,250 | |||||||||
| Interest expense and fees (See Note 2(h)) | 34,960 | 24,575 | — | |||||||||
| Directors’ fees | 148,780 | 215,580 | 6,649 | |||||||||
| Fund administration | 84,580 | 114,858 | 4,845 | |||||||||
| Distributions payable | 2,546,641 | 8,208,720 | 470,254 | |||||||||
| Accrued expenses | 248,461 | 508,688 | 52,478 | |||||||||
| Total liabilities | 59,519,720 | 36,371,397 | 2,884,122 | |||||||||
| NET ASSETS | $ | 2,586,806,010 | $ | 3,420,923,273 | $ | 145,440,405 | ||||||
| COMPOSITION OF NET ASSETS: | ||||||||||||
| Paid-in capital | $ | 2,579,100,578 | $ | 3,386,002,532 | $ | 150,344,852 | ||||||
| Undistributed (distributions in excess of) net investment income | 321,075 | 4,376,579 | 201,796 | |||||||||
| Accumulated net realized gain (loss) on investments and futures contracts | 444,329 | 18,591,940 | (593,878 | ) | ||||||||
| Net unrealized appreciation (depreciation) on investments and futures contracts | 6,940,028 | 11,952,222 | (4,512,365 | ) | ||||||||
| Net Assets | $ | 2,586,806,010 | $ | 3,420,923,273 | $ | 145,440,405 | ||||||
| 122 | See Notes to Financial Statements. |
| National | High Yield | California | New Jersey | New York | |||||||||||||||
| $ | 1,788,783,466 | $ | 1,846,081,729 | $ | 214,962,580 | $ | 124,955,463 | $ | 325,475,027 | ||||||||||
| $ | 1,768,917,741 | $ | 1,710,079,149 | $ | 219,375,119 | $ | 122,349,975 | $ | 322,393,847 | ||||||||||
| 20,356,007 | 20,758,231 | 1,261,005 | 1,524,191 | 613,852 | |||||||||||||||
| 778,225 | 584,075 | 38,725 | 51,925 | 112,500 | |||||||||||||||
| 27,342,275 | 30,425,440 | 3,429,497 | 1,786,380 | 4,715,049 | |||||||||||||||
| 1,785,086 | 455,116 | — | 1,179,284 | 1,510,000 | |||||||||||||||
| 7,117,185 | 9,541,331 | 792,298 | 257,371 | 1,175,603 | |||||||||||||||
| — | — | — | — | — | |||||||||||||||
| 16,986 | 10,055 | 74 | 1,059 | 2,841 | |||||||||||||||
| 82,334 | 102,278 | 22,758 | 17,617 | 23,665 | |||||||||||||||
| 1,826,395,839 | 1,771,955,675 | 224,919,476 | 127,167,802 | 330,547,357 | |||||||||||||||
| 25,713,159 | 4,619,229 | — | — | — | |||||||||||||||
| 62,165,000 | 41,160,000 | 1,500,000 | — | 4,030,000 | |||||||||||||||
| 5,301,191 | 7,618,002 | 620,954 | 87,190 | 476,830 | |||||||||||||||
| 604,145 | 657,607 | 81,983 | 46,678 | 118,916 | |||||||||||||||
| 559,379 | 492,989 | 68,583 | 31,858 | 105,970 | |||||||||||||||
| 127,413 | 60,381 | 3,879 | — | 7,588 | |||||||||||||||
| 469,139 | 183,528 | 119,467 | 37,893 | 111,983 | |||||||||||||||
| 56,305 | 54,801 | 7,288 | 4,149 | 10,570 | |||||||||||||||
| 5,899,338 | 7,123,547 | 697,426 | 396,917 | 943,675 | |||||||||||||||
| 313,831 | 507,268 | 74,587 | 46,937 | 69,274 | |||||||||||||||
| 101,208,900 | 62,477,352 | 3,174,167 | 651,622 | 5,874,806 | |||||||||||||||
| $ | 1,725,186,939 | $ | 1,709,478,323 | $ | 221,745,309 | $ | 126,516,180 | $ | 324,672,551 | ||||||||||
| $ | 1,767,711,157 | $ | 2,176,962,781 | $ | 229,065,171 | $ | 136,072,497 | $ | 339,367,969 | ||||||||||
| 4,178,657 | 9,171,667 | (167,050 | ) | (153,528 | ) | (635,342 | ) | ||||||||||||
| (25,736,879 | ) | (339,735,699 | ) | (11,500,005 | ) | (6,709,780 | ) | (10,789,328 | ) | ||||||||||
| (20,965,996 | ) | (136,920,426 | ) | 4,347,193 | (2,693,009 | ) | (3,270,748 | ) | |||||||||||
| $ | 1,725,186,939 | $ | 1,709,478,323 | $ | 221,745,309 | $ | 126,516,180 | $ | 324,672,551 |
| See Notes to Financial Statements. | 123 |
Statements of Assets and Liabilities (concluded)
September 30, 2013
| Short Duration | Intermediate | AMT Free | ||||||||||
| Net assets by class: | ||||||||||||
| Class A Shares | $ | 1,476,264,296 | $ | 1,829,613,899 | $ | 106,851,537 | ||||||
| Class B Shares | — | $ | 4,586,688 | — | ||||||||
| Class C Shares | $ | 285,610,624 | $ | 634,304,897 | $ | 19,779,399 | ||||||
| Class F Shares | $ | 757,444,467 | $ | 899,589,555 | $ | 18,701,921 | ||||||
| Class I Shares | $ | 67,486,623 | $ | 52,813,672 | $ | 107,548 | ||||||
| Class P Shares | — | $ | 14,562 | — | ||||||||
| Outstanding shares by class*: | ||||||||||||
| Class A Shares | 93,990,087 | 174,372,954 | 7,107,159 | |||||||||
| Class B Shares | — | 437,483 | — | |||||||||
| Class C Shares | 18,183,450 | 60,526,030 | 1,315,987 | |||||||||
| Class F Shares | 48,221,377 | 85,747,578 | 1,244,012 | |||||||||
| Class I Shares | 4,296,688 | 5,032,730 | 7,149 | |||||||||
| Class P Shares | — | 1,388 | — | |||||||||
| Net asset value, offering and redemption price per share (Net assets divided by outstanding shares): | ||||||||||||
| Class A Shares-Net asset value | $15.71 | $10.49 | $15.03 | |||||||||
| Class A Shares-Maximum offering price (Net asset value plus sales charge of 2.25%) | $16.07 | $10.73 | $15.38 | |||||||||
| Class B Shares-Net asset value | — | $10.48 | — | |||||||||
| Class C Shares-Net asset value | $15.71 | $10.48 | $15.03 | |||||||||
| Class F Shares-Net asset value | $15.71 | $10.49 | $15.03 | |||||||||
| Class I Shares-Net asset value | $15.71 | $10.49 | $15.04 | |||||||||
| Class P Shares-Net asset value | — | $10.49 | — | |||||||||
| * | Lord Abbett Municipal Income Fund, Inc. has 4,400,001,000 authorized shares of capital stock (par value $.001), of which 4,080,001,000 are designated as follows: 900,001,000 to Short Duration, 930,000,000 to Intermediate, 140,000,000 to AMT Free, 465,000,000 to National, 925,000,000 to High Yield and 240,000,000 to each of California, New Jersey and New York. |
| 124 | See Notes to Financial Statements. |
| National | High Yield | California | New Jersey | New York | |||||||||||||||
| $ | 1,438,697,030 | $ | 1,071,511,047 | $ | 166,442,659 | $ | 121,722,275 | $ | 262,088,822 | ||||||||||
| $ | 5,442,841 | — | — | — | — | ||||||||||||||
| $ | 177,168,582 | $ | 407,216,936 | $ | 33,741,276 | — | $ | 45,152,310 | |||||||||||
| $ | 103,159,539 | $ | 228,483,625 | $ | 21,549,072 | $ | 4,782,076 | $ | 16,844,333 | ||||||||||
| $ | 718,947 | $ | 2,254,895 | $ | 12,302 | $ | 11,829 | $ | 587,086 | ||||||||||
| — | $ | 11,820 | — | — | — | ||||||||||||||
| 135,718,853 | 98,186,208 | 16,486,410 | 26,121,871 | 24,744,905 | |||||||||||||||
| 510,900 | — | — | — | — | |||||||||||||||
| 16,694,334 | 37,302,730 | 3,340,889 | — | 4,268,888 | |||||||||||||||
| 9,738,755 | 20,920,746 | 2,134,561 | 1,025,666 | 1,589,005 | |||||||||||||||
| 67,828 | 206,555 | 1,219 | 2,536 | 55,403 | |||||||||||||||
| — | 1,082 | — | — | — | |||||||||||||||
| $10.60 | $10.91 | $10.10 | $4.66 | $10.59 | |||||||||||||||
| $10.84 | $11.16 | $10.33 | $4.77 | $10.83 | |||||||||||||||
| $10.65 | — | — | — | — | |||||||||||||||
| $10.61 | $10.92 | $10.10 | — | $10.58 | |||||||||||||||
| $10.59 | $10.92 | $10.10 | $4.66 | $10.60 | |||||||||||||||
| $10.60 | $10.92 | $10.09 | $4.66 | $10.60 | |||||||||||||||
| — | $10.92 | — | — | — |
| See Notes to Financial Statements. | 125 |
For the Year Ended September 30, 2013
| Short Duration | Intermediate | AMT Free | ||||||||||
| Investment income: | ||||||||||||
| Interest and other | $ | 51,055,343 | $ | 136,314,839 | $ | 7,801,432 | ||||||
| Total investment income | 51,055,343 | 136,314,839 | 7,801,432 | |||||||||
| Expenses: | ||||||||||||
| Management fee | 10,318,451 | 15,728,953 | 929,858 | |||||||||
| 12b-1 distribution plan-Class A | 3,107,235 | 4,298,153 | 253,911 | |||||||||
| 12b-1 distribution plan-Class B | — | 54,090 | — | |||||||||
| 12b-1 distribution plan-Class C | 2,587,850 | 6,412,159 | 217,759 | |||||||||
| 12b-1 distribution plan-Class F | 734,720 | 1,130,375 | 32,595 | |||||||||
| 12b-1 distribution plan-Class P | — | 68 | — | |||||||||
| Interest expense and fees (See Note 2(h)) | 108,307 | 75,189 | — | |||||||||
| Shareholder servicing | 916,112 | 2,091,755 | 98,797 | |||||||||
| Professional | 62,999 | 72,258 | 43,030 | |||||||||
| Reports to shareholders | 84,863 | 191,094 | 11,083 | |||||||||
| Fund administration | 1,047,301 | 1,624,422 | 74,389 | |||||||||
| Custody | 35,816 | 57,442 | 7,227 | |||||||||
| Directors’ fees | 101,364 | 157,517 | 7,242 | |||||||||
| Registration | 379,262 | 342,395 | 69,668 | |||||||||
| Other | 53,315 | 77,839 | 11,141 | |||||||||
| Gross expenses | 19,537,595 | 32,313,709 | 1,756,700 | |||||||||
| Expense reductions (See Note 8) | (2,600 | ) | (4,074 | ) | (188 | ) | ||||||
| Management fee waived (See Note 3) | (1,914,730 | ) | (713,976 | ) | (539,285 | ) | ||||||
| Net expenses | 17,620,265 | 31,595,659 | 1,217,227 | |||||||||
| Net investment income | 33,435,078 | 104,719,180 | 6,584,205 | |||||||||
| Net realized and unrealized loss: | ||||||||||||
| Net realized gain (loss) on investments and futures contracts | 2,054,318 | 20,190,158 | 253,871 | |||||||||
| Net change in unrealized appreciation/depreciation on investments and futures contracts | (45,441,251 | ) | (221,927,561 | ) | (17,358,196 | ) | ||||||
| Net realized and unrealized loss | (43,386,933 | ) | (201,737,403 | ) | (17,104,325 | ) | ||||||
| Net Decrease in Net
Assets Resulting From Operations | $ | (9,951,855 | ) | $ | (97,018,223 | ) | $ | (10,520,120 | ) | |||
| 126 | See Notes to Financial Statements. |
| National | High Yield | California | New Jersey | New York | |||||||||||||||
| $ | 95,442,747 | $ | 117,626,571 | $ | 11,243,308 | $ | 6,320,156 | $ | 15,326,025 | ||||||||||
| 95,442,747 | 117,626,571 | 11,243,308 | 6,320,156 | 15,326,025 | |||||||||||||||
| 8,695,468 | 9,716,194 | 1,162,585 | 662,961 | 1,678,222 | |||||||||||||||
| 3,393,516 | 2,465,177 | 387,236 | 279,395 | 601,817 | |||||||||||||||
| 69,713 | — | — | — | — | |||||||||||||||
| 1,869,729 | 4,356,910 | 338,618 | — | 443,066 | |||||||||||||||
| 136,618 | 310,858 | 25,139 | 7,578 | 19,254 | |||||||||||||||
| — | 57 | — | — | — | |||||||||||||||
| 457,787 | 323,591 | 10,842 | — | 28,128 | |||||||||||||||
| 1,096,442 | 1,088,795 | 109,026 | 83,842 | 170,521 | |||||||||||||||
| 144,545 | 781,719 | 104,638 | 38,211 | 42,583 | |||||||||||||||
| 96,426 | 111,519 | 14,878 | 6,854 | 15,239 | |||||||||||||||
| 825,165 | 824,765 | 103,341 | 58,930 | 149,175 | |||||||||||||||
| 31,383 | 32,230 | 6,397 | 4,871 | 8,764 | |||||||||||||||
| 80,297 | 79,758 | 10,060 | 5,717 | 14,475 | |||||||||||||||
| 153,785 | 212,739 | 50,529 | 39,483 | 55,316 | |||||||||||||||
| 45,126 | 44,147 | 12,665 | 10,346 | 14,312 | |||||||||||||||
| 17,096,000 | 20,348,459 | 2,335,954 | 1,198,188 | 3,240,872 | |||||||||||||||
| (2,062 | ) | (2,071 | ) | (258 | ) | (147 | ) | (374 | ) | ||||||||||
| — | — | — | — | — | |||||||||||||||
| 17,093,938 | 20,346,388 | 2,335,696 | 1,198,041 | 3,240,498 | |||||||||||||||
| 78,348,809 | 97,280,183 | 8,907,612 | 5,122,115 | 12,085,527 | |||||||||||||||
| 20,409,334 | (15,394,153 | ) | 2,542,351 | 1,752,734 | 2,313,040 | ||||||||||||||
| (192,053,862 | ) | (164,982,136 | ) | (18,907,848 | ) | (14,317,328 | ) | (30,186,862 | ) | ||||||||||
| (171,644,528 | ) | (180,376,289 | ) | (16,365,497 | ) | (12,564,594 | ) | (27,873,822 | ) | ||||||||||
| $ | (93,295,719 | ) | $ | (83,096,106 | ) | $ | (7,457,885 | ) | $ | (7,442,479 | ) | $ | (15,788,295 | ) |
| See Notes to Financial Statements. | 127 |
Statements of Changes in Net Assets
| Short Duration | ||||||||
| For the | For the | |||||||
| Year Ended | Year Ended | |||||||
| INCREASE (DECREASE) IN NET ASSETS | September 30, 2013 | September 30, 2012 | ||||||
| Operations: | ||||||||
| Net investment income | $ | 33,435,078 | $ | 34,443,281 | ||||
| Net realized gain (loss) on investments and futures contracts | 2,054,318 | (464,551 | ) | |||||
| Net change in unrealized appreciation/depreciation on investments and futures contracts | (45,441,251 | ) | 21,505,754 | |||||
| Net increase (decrease) in net assets resulting from operations | (9,951,855 | ) | 55,484,484 | |||||
| Distributions to shareholders from: | ||||||||
| Net investment income | ||||||||
| Class A | (20,483,348 | ) | (22,359,668 | ) | ||||
| Class B | — | — | ||||||
| Class C | (1,979,967 | ) | (2,674,252 | ) | ||||
| Class F | (10,376,523 | ) | (9,009,268 | ) | ||||
| Class I | (444,534 | ) | (293,820 | ) | ||||
| Class P | — | — | ||||||
| Net realized gain | ||||||||
| Class A | (704,626 | ) | (846,074 | ) | ||||
| Class C | (136,979 | ) | (171,996 | ) | ||||
| Class F | (332,734 | ) | (297,799 | ) | ||||
| Class I | (12,716 | ) | (10,321 | ) | ||||
| Total distributions to shareholders | (34,471,427 | ) | (35,663,198 | ) | ||||
| Capital share transactions (Net of share conversions) (See Note 12): | ||||||||
| Net proceeds from sales of shares | 1,470,576,771 | 1,420,928,413 | ||||||
| Reinvestment of distributions | 20,775,673 | 21,528,512 | ||||||
| Cost of shares reacquired | (1,397,079,850 | ) | (791,558,177 | ) | ||||
| Net increase (decrease) in net assets resulting from capital share transactions | 94,272,594 | 650,898,748 | ||||||
| Net increase (decrease) in net assets | 49,849,312 | 670,720,034 | ||||||
| NET ASSETS: | ||||||||
| Beginning of year | $ | 2,536,956,698 | $ | 1,866,236,664 | ||||
| End of year | $ | 2,586,806,010 | $ | 2,536,956,698 | ||||
| Undistributed net investment income | $ | 321,075 | $ | 260,826 | ||||
| 128 | See Notes to Financial Statements. |
| Intermediate | AMT Free | ||||||||||||||
| For the | For the | For the | For the | ||||||||||||
| Year Ended | Year Ended | Year Ended | Year Ended | ||||||||||||
| September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||
| $ | 104,719,180 | $ | 92,720,748 | $ | 6,584,205 | $ | 4,711,600 | ||||||||
| 20,190,158 | 10,796,363 | 253,871 | (486,689 | ) | |||||||||||
| (221,927,561 | ) | 128,879,848 | (17,358,196 | ) | 9,879,097 | ||||||||||
| (97,018,223 | ) | 232,396,959 | (10,520,120 | ) | 14,104,008 | ||||||||||
| (56,590,879 | ) | (52,205,880 | ) | (4,536,902 | ) | (3,547,198 | ) | ||||||||
| (99,376 | ) | (142,990 | ) | — | — | ||||||||||
| (14,298,868 | ) | (13,658,169 | ) | (654,598 | ) | (294,085 | ) | ||||||||
| (30,921,841 | ) | (24,736,756 | ) | (1,194,378 | ) | (605,084 | ) | ||||||||
| (1,287,224 | ) | (630,532 | ) | (123,125 | ) | (192,821 | ) | ||||||||
| (357 | ) | (409 | ) | — | — | ||||||||||
| — | — | — | — | ||||||||||||
| — | — | — | — | ||||||||||||
| — | — | — | — | ||||||||||||
| — | — | — | — | ||||||||||||
| (103,198,545 | ) | (91,374,736 | ) | (6,509,003 | ) | (4,639,188 | ) | ||||||||
| 1,618,626,671 | 1,928,294,655 | 112,053,906 | 142,271,448 | ||||||||||||
| 68,989,684 | 57,708,104 | 5,043,190 | 2,972,202 | ||||||||||||
| (1,881,393,026 | ) | (707,729,786 | ) | (129,656,853 | ) | (48,270,525 | ) | ||||||||
| (193,776,671 | ) | 1,278,272,973 | (12,559,757 | ) | 96,973,125 | ||||||||||
| (393,993,439 | ) | 1,419,295,196 | (29,588,880 | ) | 106,437,945 | ||||||||||
| $ | 3,814,916,712 | $ | 2,395,621,516 | $ | 175,029,285 | $ | 68,591,340 | ||||||||
| $ | 3,420,923,273 | $ | 3,814,916,712 | $ | 145,440,405 | $ | 175,029,285 | ||||||||
| $ | 4,376,579 | $ | 2,935,222 | $ | 201,796 | $ | 135,301 | ||||||||
| See Notes to Financial Statements. | 129 |
Statements of Changes in Net Assets (continued)
| National | ||||||||
| For the | For the | |||||||
| Year Ended | Year Ended | |||||||
| INCREASE (DECREASE) IN NET ASSETS | September 30, 2013 | September 30, 2012 | ||||||
| Operations: | ||||||||
| Net investment income | $ | 78,348,809 | $ | 80,765,348 | ||||
| Net realized gain (loss) on investments and futures contracts | 20,409,334 | 25,163,787 | ||||||
| Net change in unrealized appreciation/depreciation on investments and futures contracts | (192,053,862 | ) | 135,610,284 | |||||
| Net increase (decrease)
in net assets resulting from operations | (93,295,719 | ) | 241,539,419 | |||||
| Distributions to shareholders from: | ||||||||
| Net investment income | ||||||||
| Class A | (64,586,573 | ) | (67,778,224 | ) | ||||
| Class B | (209,346 | ) | (316,036 | ) | ||||
| Class C | (6,892,498 | ) | (6,959,541 | ) | ||||
| Class F | (5,309,367 | ) | (4,213,750 | ) | ||||
| Class I | (24,919 | ) | (691 | ) | ||||
| Class P | — | — | ||||||
| Total distributions to shareholders | (77,022,703 | ) | (79,268,242 | ) | ||||
| Capital share transactions (Net of share conversions) (See Note 12): | ||||||||
| Net proceeds from sales of shares | 437,915,576 | 441,338,756 | ||||||
| Reinvestment of distributions | 63,013,557 | 62,190,720 | ||||||
| Cost of shares reacquired | (646,628,236 | ) | (273,072,767 | ) | ||||
| Net increase (decrease)
in net assets resulting from capital share transactions | (145,699,103 | ) | 230,456,709 | |||||
| Net increase (decrease) in net assets | (316,017,525 | ) | 392,727,886 | |||||
| NET ASSETS: | ||||||||
| Beginning of year | $ | 2,041,204,464 | $ | 1,648,476,578 | ||||
| End of year | $ | 1,725,186,939 | $ | 2,041,204,464 | ||||
| Undistributed (distributions in excess of) net investment income | $ | 4,178,657 | $ | 3,013,489 | ||||
| 130 | See Notes to Financial Statements. |
| High Yield | California | ||||||||||||||
| For the | For the | For the | For the | ||||||||||||
| Year Ended | Year Ended | Year Ended | Year Ended | ||||||||||||
| September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||
| $ | 97,280,183 | $ | 89,790,144 | $ | 8,907,612 | $ | 8,865,613 | ||||||||
| (15,394,153 | ) | (30,573,526 | ) | 2,542,351 | (1,270,821 | ) | |||||||||
| (164,982,136 | ) | 155,073,931 | (18,907,848 | ) | 18,233,732 | ||||||||||
| (83,096,106 | ) | 214,290,549 | (7,457,885 | ) | 25,828,524 | ||||||||||
| (57,944,026 | ) | (53,090,674 | ) | (6,764,904 | ) | (6,855,427 | ) | ||||||||
| — | (513 | ) | — | — | |||||||||||
| (20,938,392 | ) | (22,299,473 | ) | (1,116,857 | ) | (1,120,992 | ) | ||||||||
| (14,833,632 | ) | (11,033,831 | ) | (901,582 | ) | (771,882 | ) | ||||||||
| (122,828 | ) | (119,465 | ) | (471 | ) | (515 | ) | ||||||||
| (567 | ) | (593 | ) | — | — | ||||||||||
| (93,839,445 | ) | (86,544,549 | ) | (8,783,814 | ) | (8,748,816 | ) | ||||||||
| 806,595,645 | 642,846,669 | 62,306,691 | 72,999,015 | ||||||||||||
| 74,584,538 | 65,845,017 | 6,730,119 | 6,322,161 | ||||||||||||
| (967,626,215 | ) | (411,469,709 | ) | (83,245,179 | ) | (37,267,519 | ) | ||||||||
| (86,446,032 | ) | 297,221,977 | (14,208,369 | ) | 42,053,657 | ||||||||||
| (263,381,583 | ) | 424,967,977 | (30,450,068 | ) | 59,133,365 | ||||||||||
| $ | 1,972,859,906 | $ | 1,547,891,929 | $ | 252,195,377 | $ | 193,062,012 | ||||||||
| $ | 1,709,478,323 | $ | 1,972,859,906 | $ | 221,745,309 | $ | 252,195,377 | ||||||||
| $ | 9,171,667 | $ | 5,752,777 | $ | (167,050 | ) | $ | (281,826 | ) | ||||||
| See Notes to Financial Statements. | 131 |
Statements of Changes in Net Assets (concluded)
| New Jersey | ||||||||
| For the | For the | |||||||
| Year Ended | Year Ended | |||||||
| INCREASE (DECREASE) IN NET ASSETS | September 30, 2013 | September 30, 2012 | ||||||
| Operations: | ||||||||
| Net investment income | $ | 5,122,115 | $ | 5,195,380 | ||||
| Net realized gain (loss) on investments and futures contracts | 1,752,734 | 543,709 | ||||||
| Net change in unrealized appreciation/depreciation on investments and futures contracts | (14,317,328 | ) | 9,711,729 | |||||
| Net increase (decrease)
in net assets resulting from operations | (7,442,479 | ) | 15,450,818 | |||||
| Distributions to shareholders from: | ||||||||
| Net investment income | ||||||||
| Class A | (4,809,534 | ) | (4,925,407 | ) | ||||
| Class C | — | — | ||||||
| Class F | (266,643 | ) | (223,034 | ) | ||||
| Class I | (454 | ) | (487 | ) | ||||
| Total distributions to shareholders | (5,076,631 | ) | (5,148,928 | ) | ||||
| Capital share transactions (Net of share conversions) (See Note 12): | ||||||||
| Net proceeds from sales of shares | 21,606,051 | 45,630,626 | ||||||
| Reinvestment of distributions | 3,290,527 | 3,957,276 | ||||||
| Cost of shares reacquired | (29,358,660 | ) | (34,135,448 | ) | ||||
| Net increase (decrease)
in net assets resulting from capital share transactions | (4,462,082 | ) | 15,452,454 | |||||
| Net increase (decrease) in net assets | (16,981,192 | ) | 25,754,344 | |||||
| NET ASSETS: | ||||||||
| Beginning of year | $ | 143,497,372 | $ | 117,743,028 | ||||
| End of year | $ | 126,516,180 | $ | 143,497,372 | ||||
| Distributions in excess of net investment income | $ | (153,528 | ) | $ | (202,418 | ) | ||
| 132 | See Notes to Financial Statements. |
| New York | |||||||
| For the | For the | ||||||
| Year Ended | Year Ended | ||||||
| September 30, 2013 | September 30, 2012 | ||||||
| $ | 12,085,527 | $ | 11,398,356 | ||||
| 2,313,040 | (1,800,255 | ) | |||||
| (30,186,862 | ) | 20,964,457 | |||||
| (15,788,295 | ) | 30,562,558 | |||||
| (9,962,891 | ) | (9,414,311 | ) | ||||
| (1,376,762 | ) | (1,421,009 | ) | ||||
| (654,229 | ) | (491,047 | ) | ||||
| (15,450 | ) | (2,141 | ) | ||||
| (12,009,332 | ) | (11,328,508 | ) | ||||
| 92,708,180 | 100,503,194 | ||||||
| 9,188,316 | 7,878,560 | ||||||
| (102,035,821 | ) | (37,676,228 | ) | ||||
| (139,325 | ) | 70,705,526 | |||||
| (27,936,952 | ) | 89,939,576 | |||||
| $ | 352,609,503 | $ | 262,669,927 | ||||
| $ | 324,672,551 | $ | 352,609,503 | ||||
| $ | (635,342 | ) | $ | (700,859 | ) | ||
| See Notes to Financial Statements. | 133 |
SHORT DURATION TAX FREE FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | 12/12/2008(a) to | ||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 9/30/2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of period | $15.97 | $15.83 | $15.80 | $15.60 | $15.00 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(b) | .21 | .26 | .33 | .30 | .33 | ||||||||||
| Net realized and unrealized gain (loss) | (.25 | ) | .15 | .03 | .20 | .68 | |||||||||
| Total from investment operations | (.04 | ) | .41 | .36 | .50 | 1.01 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.21 | ) | (.26 | ) | (.33 | ) | (.30 | ) | (.41 | ) | |||||
| Net realized gain | (.01 | ) | (.01 | ) | — | — | — | ||||||||
| Total distributions | (.22 | ) | (.27 | ) | (.33 | ) | (.30 | ) | (.41 | ) | |||||
| Net asset value, end of period | $15.71 | $15.97 | $15.83 | $15.80 | $15.60 | ||||||||||
| Total Return(c) | (.28 | )% | 2.65 | % | 2.30 | % | 3.24 | % | 6.82 | %(d) | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .63 | % | .61 | % | .59 | % | .55 | % | .44 | %(e) | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | .62 | %(f) | .60 | %(f) | .58 | %(f) | .55 | %(f) | .44 | %(e) | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .70 | % | .70 | % | .70 | % | .70 | % | .75 | %(e) | |||||
| Net investment income | 1.32 | % | 1.65 | % | 2.08 | % | 1.91 | % | 2.68 | %(e) | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of period (000) | $1,476,264 | $1,511,237 | $1,249,341 | $1,326,511 | $609,072 | ||||||||||
| Portfolio turnover rate | 23.80 | % | 18.11 | % | 52.51 | % | 36.21 | % | 64.00 | % | |||||
| (a) | Commencement of operations was 12/12/2008, SEC effective date was 12/10/2008 and date shares became available to the public was 1/2/2009. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 134 | See Notes to Financial Statements. |
Financial Highlights (continued)
SHORT DURATION TAX FREE FUND
| Class C Shares | |||||||||||||||
| Year Ended 9/30 | 12/12/2008(a) to | ||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 9/30/2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of period | $15.97 | $15.83 | $15.80 | $15.60 | $15.00 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(b) | .11 | .16 | .21 | .18 | .23 | ||||||||||
| Net realized and unrealized gain (loss) | (.26 | ) | .15 | .03 | .19 | .68 | |||||||||
| Total from investment operations | (.15 | ) | .31 | .24 | .37 | .91 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.10 | ) | (.16 | ) | (.21 | ) | (.17 | ) | (.31 | ) | |||||
| Net realized gain | (.01 | ) | (.01 | ) | — | — | — | ||||||||
| Total distributions | (.11 | ) | (.17 | ) | (.21 | ) | (.17 | ) | (.31 | ) | |||||
| Net asset value, end of period | $15.71 | $15.97 | $15.83 | $15.80 | $15.60 | ||||||||||
| Total Return(c) | (.93 | )% | 1.97 | % | 1.56 | % | 2.42 | % | 6.10 | %(d) | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | 1.29 | % | 1.27 | % | 1.31 | % | 1.35 | % | 1.23 | %(e) | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | 1.29 | %(f) | 1.26 | %(f) | 1.31 | %(f) | 1.35 | %(f) | 1.23 | %(e) | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | 1.36 | % | 1.36 | % | 1.41 | % | 1.50 | % | 1.51 | %(e) | |||||
| Net investment income | .67 | % | 1.00 | % | 1.36 | % | 1.12 | % | 1.88 | %(e) | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of period (000) | $285,611 | $298,123 | $244,872 | $251,390 | $128,116 | ||||||||||
| Portfolio turnover rate | 23.80 | % | 18.11 | % | 52.51 | % | 36.21 | % | 64.00 | % | |||||
| (a) | Commencement of operations was 12/12/2008, SEC effective date was 12/10/2008 and date shares became available to the public was 1/2/2009. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 135 |
Financial Highlights (continued)
SHORT DURATION TAX FREE FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | 12/12/2008(a) to | ||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 9/30/2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of period | $15.97 | $15.83 | $15.80 | $15.60 | $15.00 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(b) | .23 | .27 | .34 | .32 | .36 | ||||||||||
| Net realized and unrealized gain (loss) | (.25 | ) | .16 | .03 | .20 | .66 | |||||||||
| Total from investment operations | (.02 | ) | .43 | .37 | .52 | 1.02 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.23 | ) | (.28 | ) | (.34 | ) | (.32 | ) | (.42 | ) | |||||
| Net realized gain | (.01 | ) | (.01 | ) | — | — | — | ||||||||
| Total distributions | (.24 | ) | (.29 | ) | (.34 | ) | (.32 | ) | (.42 | ) | |||||
| Net asset value, end of period | $15.71 | $15.97 | $15.83 | $15.80 | $15.60 | ||||||||||
| Total Return(c) | (.18 | )% | 2.75 | % | 2.40 | % | 3.34 | % | 6.90 | %(d) | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .53 | % | .51 | % | .49 | % | .45 | % | .34 | %(e) | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | .52 | %(f) | .50 | %(f) | .48 | %(f) | .45 | %(f) | .34 | %(e) | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .60 | % | .60 | % | .60 | % | .61 | % | .64 | %(e) | |||||
| Net investment income | 1.42 | % | 1.72 | % | 2.18 | % | 2.02 | % | 2.88 | %(e) | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of period (000) | $757,444 | $704,486 | $365,694 | $284,289 | $100,723 | ||||||||||
| Portfolio turnover rate | 23.80 | % | 18.11 | % | 52.51 | % | 36.21 | % | 64.00 | % | |||||
| (a) | Commencement of operations was 12/12/2008, SEC effective date was 12/10/2008 and date shares became available to the public was 1/2/2009. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 136 | See Notes to Financial Statements. |
Financial Highlights (concluded)
SHORT DURATION TAX FREE FUND
| Class I Shares | |||||||||||||||
| Year Ended 9/30 | 12/12/2008(a) to | ||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 9/30/2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of period | $15.97 | $15.83 | $15.80 | $15.60 | $15.00 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(b) | .24 | .28 | .35 | .33 | .34 | ||||||||||
| Net realized and unrealized gain (loss) | (.25 | ) | .16 | .04 | .20 | .70 | |||||||||
| Total from investment operations | (.01 | ) | .44 | .39 | .53 | 1.04 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.24 | ) | (.29 | ) | (.36 | ) | (.33 | ) | (.44 | ) | |||||
| Net realized gain | (.01 | ) | (.01 | ) | — | — | — | ||||||||
| Total distributions | (.25 | ) | (.30 | ) | (.36 | ) | (.33 | ) | (.44 | ) | |||||
| Net asset value, end of period | $15.71 | $15.97 | $15.83 | $15.80 | $15.60 | ||||||||||
| Total Return(c) | (.08 | )% | 2.83 | % | 2.48 | % | 3.43 | % | 7.04 | %(d) | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .43 | % | .41 | % | .39 | % | .35 | % | .25 | %(e) | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | .42 | %(f) | .40 | %(f) | .39 | %(f) | .34 | %(f) | .25 | %(e) | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .50 | % | .50 | % | .49 | % | .50 | % | .57 | %(e) | |||||
| Net investment income | 1.50 | % | 1.77 | % | 2.22 | % | 2.11 | % | 2.71 | %(e) | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of period (000) | $67,487 | $23,111 | $6,330 | $2,221 | $3,407 | ||||||||||
| Portfolio turnover rate | 23.80 | % | 18.11 | % | 52.51 | % | 36.21 | % | 64.00 | % | |||||
| (a) | Commencement of operations was 12/12/2008, SEC effective date was 12/10/2008 and date shares became available to the public was 1/2/2009. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 137 |
Financial Highlights
INTERMEDIATE TAX FREE FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.99 | $10.49 | $10.52 | $10.28 | $ 9.42 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .29 | .33 | .39 | .39 | .38 | ||||||||||
| Net realized and unrealized gain (loss) | (.50 | ) | .50 | (.03 | ) | .23 | .86 | ||||||||
| Total from investment operations | (.21 | ) | .83 | .36 | .62 | 1.24 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.29 | ) | (.33 | ) | (.39 | ) | (.38 | ) | (.38 | ) | |||||
| Net asset value, end of year | $10.49 | $10.99 | $10.49 | $10.52 | $10.28 | ||||||||||
| Total Return(b) | (1.99 | )% | 8.04 | % | 3.55 | % | 6.22 | % | 13.50 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .69 | % | .67 | % | .65 | % | .63 | % | .44 | % | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed(c) | .68 | % | .66 | % | .64 | % | .63 | % | .44 | % | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .70 | % | .70 | % | .72 | % | .71 | % | .72 | % | |||||
| Net investment income | 2.67 | % | 3.10 | % | 3.82 | % | 3.76 | % | 3.89 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $1,829,614 | $2,064,377 | $1,385,337 | $1,320,285 | $798,344 | ||||||||||
| Portfolio turnover rate | 30.59 | % | 21.39 | % | 38.81 | % | 30.23 | % | 15.70 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 138 | See Notes to Financial Statements. |
Financial Highlights (continued)
INTERMEDIATE TAX FREE FUND
| Class B Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.98 | $10.48 | $10.51 | $10.27 | $ 9.41 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .20 | .25 | .31 | .31 | .30 | ||||||||||
| Net realized and unrealized gain (loss) | (.50 | ) | .50 | (.04 | ) | .23 | .87 | ||||||||
| Total from investment operations | (.30 | ) | .75 | .27 | .54 | 1.17 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.20 | ) | (.25 | ) | (.30 | ) | (.30 | ) | (.31 | ) | |||||
| Net asset value, end of year | $10.48 | $10.98 | $10.48 | $10.51 | $10.27 | ||||||||||
| Total Return(b) | (2.78 | )% | 7.19 | % | 2.73 | % | 5.38 | % | 12.65 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | 1.49 | % | 1.47 | % | 1.45 | % | 1.43 | % | 1.24 | % | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed(c) | 1.48 | % | 1.46 | % | 1.44 | % | 1.43 | % | 1.23 | % | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | 1.50 | % | 1.50 | % | 1.52 | % | 1.51 | % | 1.52 | % | |||||
| Net investment income | 1.88 | % | 2.34 | % | 3.03 | % | 2.98 | % | 3.10 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $4,587 | $5,933 | $6,526 | $7,725 | $6,315 | ||||||||||
| Portfolio turnover rate | 30.59 | % | 21.39 | % | 38.81 | % | 30.23 | % | 15.70 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 139 |
Financial Highlights (continued)
INTERMEDIATE TAX FREE FUND
| Class C Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.98 | $10.48 | $10.51 | $10.27 | $ 9.41 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .22 | .26 | .32 | .31 | .31 | ||||||||||
| Net realized and unrealized gain (loss) | (.51 | ) | .50 | (.04 | ) | .24 | .87 | ||||||||
| Total from investment operations | (.29 | ) | .76 | .28 | .55 | 1.18 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.21 | ) | (.26 | ) | (.31 | ) | (.31 | ) | (.32 | ) | |||||
| Net asset value, end of year | $10.48 | $10.98 | $10.48 | $10.51 | $10.27 | ||||||||||
| Total Return(b) | (2.66 | )% | 7.32 | % | 2.81 | % | 5.44 | % | 12.76 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | 1.36 | % | 1.34 | % | 1.37 | % | 1.37 | % | 1.10 | % | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed(c) | 1.36 | % | 1.34 | % | 1.36 | % | 1.37 | % | 1.09 | % | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | 1.38 | % | 1.38 | % | 1.43 | % | 1.46 | % | 1.47 | % | |||||
| Net investment income | 2.00 | % | 2.42 | % | 3.10 | % | 3.01 | % | 3.22 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $634,305 | $699,128 | $453,450 | $391,138 | $180,270 | ||||||||||
| Portfolio turnover rate | 30.59 | % | 21.39 | % | 38.81 | % | 30.23 | % | 15.70 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 140 | See Notes to Financial Statements. |
Financial Highlights (continued)
INTERMEDIATE TAX FREE FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.99 | $10.49 | $10.52 | $10.28 | $ 9.42 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .30 | .34 | .40 | .40 | .38 | ||||||||||
| Net realized and unrealized gain (loss) | (.50 | ) | .50 | (.03 | ) | .23 | .87 | ||||||||
| Total from investment operations | (.20 | ) | .84 | .37 | .63 | 1.25 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.30 | ) | (.34 | ) | (.40 | ) | (.39 | ) | (.39 | ) | |||||
| Net asset value, end of year | $10.49 | $10.99 | $10.49 | $10.52 | $10.28 | ||||||||||
| Total Return(b) | (1.89 | )% | 8.15 | % | 3.66 | % | 6.33 | % | 13.61 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .59 | % | .57 | % | .55 | % | .53 | % | .40 | % | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed(c) | .58 | % | .56 | % | .54 | % | .53 | % | .39 | % | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .60 | % | .61 | % | .62 | % | .61 | % | .64 | % | |||||
| Net investment income | 2.77 | % | 3.19 | % | 3.92 | % | 3.86 | % | 3.90 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $899,590 | $1,007,950 | $547,652 | $307,256 | $103,873 | ||||||||||
| Portfolio turnover rate | 30.59 | % | 21.39 | % | 38.81 | % | 30.23 | % | 15.70 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 141 |
Financial Highlights (continued)
INTERMEDIATE TAX FREE FUND
| Class I Shares | |||||||||
| Year Ended 9/30 | 1/31/2011(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $11.00 | $10.50 | $ 9.96 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | — | (c) | |||||||
| Net realized and unrealized loss | (.01 | ) | |||||||
| Total from investment operations | (.01 | ) | |||||||
| Net asset value on SEC Effective Date, 2/1/2011 | $ 9.95 | ||||||||
| Investment operations: | |||||||||
| Net investment income(b) | .31 | .34 | .27 | ||||||
| Net realized and unrealized gain (loss) | (.51 | ) | .51 | .55 | (d) | ||||
| Total from investment operations | (.20 | ) | .85 | .82 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.31 | ) | (.35 | ) | (.27 | ) | |||
| Net asset value, end of period | $10.49 | $11.00 | $10.50 | ||||||
| Total Return(e) | 8.26 | %(f)(g) | |||||||
| Total Return(e) | (1.89 | )% | 8.22 | % | 8.35 | %(f)(h) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .49 | % | .47 | % | .45 | %(i) | |||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed(j) | .48 | % | .46 | % | .44 | %(i) | |||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .50 | % | .51 | % | .54 | %(i) | |||
| Net investment income | 2.87 | % | 3.17 | % | 3.81 | %(i) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $52,814 | $37,514 | $2,572 | ||||||
| Portfolio turnover rate | 30.59 | % | 21.39 | % | 38.81 | % | |||
| (a) | Commencement of operations was 1/31/2011, SEC effective date and date shares first became available to the public was 2/1/2011. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Amount is less than $.01. |
| (d) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (e) | Total return assumes the reinvestment of all distributions. |
| (f) | Not annualized. |
| (g) | Total return for the period 1/31/2011 through 9/30/2011. |
| (h) | Total return for the period 2/1/2011 through 9/30/2011. |
| (i) | Annualized. |
| (j) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 142 | See Notes to Financial Statements. |
Financial Highlights (concluded)
INTERMEDIATE TAX FREE FUND
| Class P Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.00 | $10.50 | $10.52 | $10.28 | $ 9.42 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .27 | .31 | .37 | .36 | .36 | ||||||||||
| Net realized and unrealized gain (loss) | (.52 | ) | .50 | (.03 | ) | .24 | .86 | ||||||||
| Total from investment operations | (.25 | ) | .81 | .34 | .60 | 1.22 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.26 | ) | (.31 | ) | (.36 | ) | (.36 | ) | (.36 | ) | |||||
| Net asset value, end of year | $10.49 | $11.00 | $10.50 | $10.52 | $10.28 | ||||||||||
| Total Return(b) | (2.32 | )% | 7.79 | % | 3.41 | % | 5.99 | % | 13.27 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .92 | % | .90 | % | .89 | % | .86 | % | .65 | % | |||||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed(c) | .92 | % | .90 | % | .88 | % | .86 | % | .64 | % | |||||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .94 | % | .94 | % | .96 | % | .94 | % | .96 | % | |||||
| Net investment income | 2.44 | % | 2.90 | % | 3.60 | % | 3.56 | % | 3.73 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $15 | $15 | $14 | $13 | $13 | ||||||||||
| Portfolio turnover rate | 30.59 | % | 21.39 | % | 38.81 | % | 30.23 | % | 15.70 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 143 |
Financial Highlights
AMT FREE MUNICIPAL BOND FUND
| Class A Shares | |||||||||
| Year Ended 9/30 | 10/26/2010(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $16.38 | $15.08 | $15.00 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | .58 | .65 | .65 | ||||||
| Net realized and unrealized gain (loss) | (1.35 | ) | 1.30 | .05 | |||||
| Total from investment operations | (.77 | ) | 1.95 | .70 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.58 | ) | (.65 | ) | (.62 | ) | |||
| Net asset value, end of period | $15.03 | $16.38 | $15.08 | ||||||
| Total Return(c) | (4.88 | )% | 13.16 | % | 4.90 | %(d) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .58 | % | .55 | % | .50 | %(e) | |||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | .58 | % | .53 | %(f) | .50 | %(e)(f) | |||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .87 | % | .91 | % | 1.13 | %(e) | |||
| Net investment income | 3.62 | % | 4.12 | % | 4.81 | %(e) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $106,852 | $115,862 | $62,280 | ||||||
| Portfolio turnover rate | 45.96 | % | 17.32 | % | 54.63 | % | |||
| (a) | Commencement of operations and SEC effective date was 10/26/2010 and date shares first became available to the public was 11/1/2010. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 144 | See Notes to Financial Statements. |
Financial Highlights (continued)
AMT FREE MUNICIPAL BOND FUND
| Class C Shares | |||||||||
| Year Ended 9/30 | 10/26/2010(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $16.38 | $15.07 | $15.00 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | .46 | .51 | .54 | ||||||
| Net realized and unrealized gain (loss) | (1.35 | ) | 1.32 | .04 | |||||
| Total from investment operations | (.89 | ) | 1.83 | .58 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.46 | ) | (.52 | ) | (.51 | ) | |||
| Net asset value, end of period | $15.03 | $16.38 | $15.07 | ||||||
| Total Return(c) | (5.53 | )% | 12.29 | % | 4.03 | %(d) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | 1.33 | % | 1.32 | % | 1.29 | %(e) | |||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | 1.33 | % | 1.30 | %(f) | 1.29 | %(e)(f) | |||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | 1.62 | % | 1.66 | % | 1.84 | %(e) | |||
| Net investment income | 2.87 | % | 3.22 | % | 3.97 | %(e) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $19,779 | $18,242 | $2,532 | ||||||
| Portfolio turnover rate | 45.96 | % | 17.32 | % | 54.63 | % | |||
| (a) | Commencement of operations and SEC effective date was 10/26/2010 and date shares first became available to the public was 11/1/2010. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 145 |
Financial Highlights (continued)
AMT FREE MUNICIPAL BOND FUND
| Class F Shares | |||||||||
| Year Ended 9/30 | 10/26/2010(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $16.38 | $15.09 | $15.00 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | .60 | .65 | .67 | ||||||
| Net realized and unrealized gain (loss) | (1.36 | ) | 1.30 | .05 | |||||
| Total from investment operations | (.76 | ) | 1.95 | .72 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.59 | ) | (.66 | ) | (.63 | ) | |||
| Net asset value, end of period | $15.03 | $16.38 | $15.09 | ||||||
| Total Return(c) | (4.78 | )% | 13.20 | % | 5.04 | %(d) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .48 | % | .45 | % | .40 | %(e) | |||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | .48 | % | .44 | %(f) | .39 | %(e)(f) | |||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .77 | % | .80 | % | .90 | %(e) | |||
| Net investment income | 3.71 | % | 4.08 | % | 4.85 | %(e) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $18,702 | $32,554 | $3,769 | ||||||
| Portfolio turnover rate | 45.96 | % | 17.32 | % | 54.63 | % | |||
| (a) | Commencement of operations and SEC effective date was 10/26/2010 and date shares first became available to the public was 11/1/2010. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 146 | See Notes to Financial Statements. |
Financial Highlights (concluded)
AMT FREE MUNICIPAL BOND FUND
| Class I Shares | |||||||||
| Year Ended 9/30 | 10/26/2010(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $16.39 | $15.08 | $15.00 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | .63 | .66 | .66 | ||||||
| Net realized and unrealized gain (loss) | (1.37 | ) | 1.33 | .07 | |||||
| Total from investment operations | (.74 | ) | 1.99 | .73 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.61 | ) | (.68 | ) | (.65 | ) | |||
| Net asset value, end of period | $15.04 | $16.39 | $15.08 | ||||||
| Total Return(c) | (4.65 | )% | 13.41 | % | 5.13 | %(d) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding expense reductions and including management fee waived and expenses reimbursed | .37 | % | .36 | % | .29 | %(e) | |||
| Expenses, excluding interest expense, including expense reductions, management fee waived and expenses reimbursed | .37 | % | .35 | %(f) | .29 | %(e)(f) | |||
| Expenses, excluding expense reductions, management fee waived and expenses reimbursed | .67 | % | .69 | % | 2.12 | %(e) | |||
| Net investment income | 3.80 | % | 4.10 | % | 4.91 | %(e) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $108 | $8,372 | $11 | ||||||
| Portfolio turnover rate | 45.96 | % | 17.32 | % | 54.63 | % | |||
| (a) | Commencement of operations and SEC effective date was 10/26/2010 and date shares first became available to the public was 11/1/2010. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 147 |
Financial Highlights
NATIONAL TAX FREE FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.52 | $10.53 | $10.84 | $10.62 | $ 9.71 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .44 | .50 | .52 | .54 | .52 | ||||||||||
| Net realized and unrealized gain (loss) | (.93 | ) | .98 | (.31 | ) | .21 | .90 | ||||||||
| Total from investment operations | (.49 | ) | 1.48 | .21 | .75 | 1.42 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.43 | ) | (.49 | ) | (.52 | ) | (.53 | ) | (.51 | ) | |||||
| Net asset value, end of year | $10.60 | $11.52 | $10.53 | $10.84 | $10.62 | ||||||||||
| Total Return(b) | (4.40 | )% | 14.37 | % | 2.15 | % | 7.34 | % | 15.40 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .76 | % | .79 | % | .83 | % | .86 | % | .92 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | .74 | % | .73 | % | .76 | % | .77 | % | .77 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .76 | % | .79 | % | .83 | % | .86 | % | .92 | % | |||||
| Net investment income | 3.87 | % | 4.52 | % | 5.12 | % | 5.12 | % | 5.49 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $1,438,697 | $1,694,729 | $1,406,579 | $1,007,123 | $889,665 | ||||||||||
| Portfolio turnover rate | 33.78 | % | 43.81 | % | 87.43 | % | 63.31 | % | 45.22 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 148 | See Notes to Financial Statements. |
Financial Highlights (continued)
NATIONAL TAX FREE FUND
| Class B Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.58 | $10.58 | $10.90 | $10.68 | $ 9.75 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .35 | .42 | .45 | .46 | .45 | ||||||||||
| Net realized and unrealized gain (loss) | (.94 | ) | .99 | (.33 | ) | .21 | .91 | ||||||||
| Total from investment operations | (.59 | ) | 1.41 | .12 | .67 | 1.36 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.34 | ) | (.41 | ) | (.44 | ) | (.45 | ) | (.43 | ) | |||||
| Net asset value, end of year | $10.65 | $11.58 | $10.58 | $10.90 | $10.68 | ||||||||||
| Total Return(b) | (5.21 | )% | 13.52 | % | 1.26 | % | 6.48 | % | 14.48 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | 1.57 | % | 1.60 | % | 1.64 | % | 1.66 | % | 1.72 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | 1.54 | % | 1.53 | % | 1.57 | % | 1.57 | % | 1.57 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | 1.57 | % | 1.60 | % | 1.64 | % | 1.66 | % | 1.72 | % | |||||
| Net investment income | 3.07 | % | 3.77 | % | 4.31 | % | 4.33 | % | 4.70 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $5,443 | $7,762 | $9,190 | $16,143 | $18,540 | ||||||||||
| Portfolio turnover rate | 33.78 | % | 43.81 | % | 87.43 | % | 63.31 | % | 45.22 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 149 |
Financial Highlights (continued)
NATIONAL TAX FREE FUND
| Class C Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.53 | $10.54 | $10.86 | $10.63 | $ 9.73 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .37 | .43 | .46 | .46 | .46 | ||||||||||
| Net realized and unrealized gain (loss) | (.93 | ) | .98 | (.33 | ) | .23 | .89 | ||||||||
| Total from investment operations | (.56 | ) | 1.41 | .13 | .69 | 1.35 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.36 | ) | (.42 | ) | (.45 | ) | (.46 | ) | (.45 | ) | |||||
| Net asset value, end of year | $10.61 | $11.53 | $10.54 | $10.86 | $10.63 | ||||||||||
| Total Return(b) | (5.02 | )% | 13.64 | % | 1.38 | % | 6.69 | % | 14.58 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | 1.42 | % | 1.43 | % | 1.50 | % | 1.56 | % | 1.59 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | 1.40 | % | 1.37 | % | 1.43 | % | 1.47 | % | 1.45 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | 1.42 | % | 1.43 | % | 1.50 | % | 1.56 | % | 1.59 | % | |||||
| Net investment income | 3.21 | % | 3.87 | % | 4.44 | % | 4.40 | % | 4.78 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $177,169 | $215,692 | $158,714 | $181,209 | $133,922 | ||||||||||
| Portfolio turnover rate | 33.78 | % | 43.81 | % | 87.43 | % | 63.31 | % | 45.22 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 150 | See Notes to Financial Statements. |
Financial Highlights (continued)
NATIONAL TAX FREE FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.51 | $10.52 | $10.83 | $10.61 | $ 9.71 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .45 | .51 | .53 | .55 | .53 | ||||||||||
| Net realized and unrealized gain (loss) | (.93 | ) | .98 | (.31 | ) | .21 | .89 | ||||||||
| Total from investment operations | (.48 | ) | 1.49 | .22 | .76 | 1.42 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.44 | ) | (.50 | ) | (.53 | ) | (.54 | ) | (.52 | ) | |||||
| Net asset value, end of year | $10.59 | $11.51 | $10.52 | $10.83 | $10.61 | ||||||||||
| Total Return(b) | (4.31 | )% | 14.48 | % | 2.24 | % | 7.43 | % | 15.44 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .66 | % | .69 | % | .73 | % | .76 | % | .81 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | .64 | % | .63 | % | .66 | % | .66 | % | .67 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .66 | % | .69 | % | .73 | % | .76 | % | .81 | % | |||||
| Net investment income | 3.95 | % | 4.58 | % | 5.21 | % | 5.18 | % | 5.45 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $103,160 | $122,943 | $73,983 | $62,200 | $28,791 | ||||||||||
| Portfolio turnover rate | 33.78 | % | 43.81 | % | 87.43 | % | 63.31 | % | 45.22 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 151 |
Financial Highlights (concluded)
NATIONAL TAX FREE FUND
| Class I Shares | ||||||||||||
| Year Ended 9/30 | 7/26/2010(a) to | |||||||||||
| 2013 | 2012 | 2011 | 9/30/2010 | |||||||||
| Per Share Operating Performance | ||||||||||||
| Net asset value, beginning of period | $11.52 | $10.53 | $10.84 | $10.59 | ||||||||
| Investment operations: | ||||||||||||
| Net investment income(b) | .46 | .51 | .55 | .10 | ||||||||
| Net realized and unrealized gain (loss) | (.93 | ) | 1.00 | (.32 | ) | .25 | ||||||
| Total from investment operations | (.47 | ) | 1.51 | .23 | .35 | |||||||
| Distributions to shareholders from: | ||||||||||||
| Net investment income | (.45 | ) | (.52 | ) | (.54 | ) | (.10 | ) | ||||
| Net asset value, end of period | $10.60 | $11.52 | $10.53 | $10.84 | ||||||||
| Total Return(c) | (4.23 | )% | 14.62 | % | 2.40 | % | 3.31 | %(d) | ||||
| Ratios to Average Net Assets: | ||||||||||||
| Expenses, excluding interest expense and including expense reductions(e) | .54 | % | .52 | % | .54 | % | .55 | %(f) | ||||
| Expenses, excluding expense reductions | .57 | % | .59 | % | .61 | % | .64 | %(f) | ||||
| Net investment income | 4.05 | % | 4.58 | % | 5.35 | % | 5.21 | %(f) | ||||
| Supplemental Data: | ||||||||||||
| Net assets, end of period (000) | $719 | $78 | $11 | $10 | ||||||||
| Portfolio turnover rate | 33.78 | % | 43.81 | % | 87.43 | % | 63.31 | % | ||||
| (a) | Commencement of operations was 7/26/2010 and the SEC effective date was 4/30/2007. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| (f) | Annualized. |
| 152 | See Notes to Financial Statements. |
Financial Highlights
HIGH YIELD MUNICIPAL BOND FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.93 | $11.06 | $11.81 | $11.49 | $11.89 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .58 | .63 | .69 | .67 | .72 | ||||||||||
| Net realized and unrealized gain (loss) | (1.04 | ) | .85 | (.77 | ) | .31 | (.37 | )(b) | |||||||
| Total from investment operations | (.46 | ) | 1.48 | (.08 | ) | .98 | .35 | ||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.56 | ) | (.61 | ) | (.67 | ) | (.66 | ) | (.75 | ) | |||||
| Net asset value, end of year | $10.91 | $11.93 | $11.06 | $11.81 | $11.49 | ||||||||||
| Total Return(c) | (4.11 | )% | 13.79 | % | (.46 | )% | 8.88 | % | 4.14 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .84 | % | .86 | % | .89 | % | .91 | % | 1.03 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(d) | .83 | % | .80 | % | .82 | % | .80 | % | .84 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .84 | % | .86 | % | .89 | % | .91 | % | 1.03 | % | |||||
| Net investment income | 4.87 | % | 5.52 | % | 6.24 | % | 5.88 | % | 7.13 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $1,071,511 | $1,185,644 | $919,758 | $1,236,637 | $976,708 | ||||||||||
| Portfolio turnover rate | 24.47 | % | 27.20 | % | 40.94 | % | 37.68 | % | 32.88 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (c) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (d) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 153 |
Financial Highlights (continued)
HIGH YIELD MUNICIPAL BOND FUND
| Class C Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.93 | $11.06 | $11.81 | $11.50 | $11.89 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .50 | .56 | .62 | .59 | .66 | ||||||||||
| Net realized and unrealized gain (loss) | (1.03 | ) | .85 | (.77 | ) | .30 | (.37 | )(b) | |||||||
| Total from investment operations | (.53 | ) | 1.41 | (.15 | ) | .89 | .29 | ||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.48 | ) | (.54 | ) | (.60 | ) | (.58 | ) | (.68 | ) | |||||
| Net asset value, end of year | $10.92 | $11.93 | $11.06 | $11.81 | $11.50 | ||||||||||
| Total Return(c) | (4.64 | )% | 13.08 | % | (1.11 | )% | 7.99 | % | 3.57 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | 1.49 | % | 1.49 | % | 1.56 | % | 1.65 | % | 1.66 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(d) | 1.47 | % | 1.44 | % | 1.48 | % | 1.55 | % | 1.48 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | 1.49 | % | 1.49 | % | 1.56 | % | 1.65 | % | 1.67 | % | |||||
| Net investment income | 4.23 | % | 4.91 | % | 5.59 | % | 5.14 | % | 6.55 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $407,217 | $526,880 | $450,802 | $585,366 | $455,042 | ||||||||||
| Portfolio turnover rate | 24.47 | % | 27.20 | % | 40.94 | % | 37.68 | % | 32.88 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (c) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (d) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 154 | See Notes to Financial Statements. |
Financial Highlights (continued)
HIGH YIELD MUNICIPAL BOND FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.94 | $11.07 | $11.82 | $11.50 | $11.90 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .59 | .64 | .70 | .69 | .70 | ||||||||||
| Net realized and unrealized gain (loss) | (1.04 | ) | .85 | (.76 | ) | .30 | (.34 | )(b) | |||||||
| Total from investment operations | (.45 | ) | 1.49 | (.06 | ) | .99 | .36 | ||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.57 | ) | (.62 | ) | (.69 | ) | (.67 | ) | (.76 | ) | |||||
| Net asset value, end of year | $10.92 | $11.94 | $11.07 | $11.82 | $11.50 | ||||||||||
| Total Return(c) | (4.01 | )% | 13.89 | % | (.35 | )% | 8.98 | % | 4.25 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .74 | % | .76 | % | .79 | % | .81 | % | .91 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(d) | .72 | % | .70 | % | .72 | % | .71 | % | .73 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .74 | % | .76 | % | .79 | % | .81 | % | .91 | % | |||||
| Net investment income | 4.94 | % | 5.60 | % | 6.35 | % | 5.97 | % | 6.83 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $228,484 | $258,682 | $175,052 | $215,479 | $112,500 | ||||||||||
| Portfolio turnover rate | 24.47 | % | 27.20 | % | 40.94 | % | 37.68 | % | 32.88 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 155 |
Financial Highlights (continued)
HIGH YIELD MUNICIPAL BOND FUND
| Class I Shares | ||||||||||||
| Year Ended 9/30 | 7/26/2010(a) to | |||||||||||
| 2013 | 2012 | 2011 | 9/30/2010 | |||||||||
| Per Share Operating Performance | ||||||||||||
| Net asset value, beginning of period | $11.94 | $11.06 | $11.81 | $11.58 | ||||||||
| Investment operations: | ||||||||||||
| Net investment income(b) | .60 | .66 | .68 | .12 | ||||||||
| Net realized and unrealized gain (loss) | (1.04 | ) | .85 | (.74 | ) | .23 | ||||||
| Total from investment operations | (.44 | ) | 1.51 | (.06 | ) | .35 | ||||||
| Distributions to shareholders from: | ||||||||||||
| Net investment income | (.58 | ) | (.63 | ) | (.69 | ) | (.12 | ) | ||||
| Net asset value, end of period | $10.92 | $11.94 | $11.06 | $11.81 | ||||||||
| Total Return(c) | (3.92 | )% | 14.08 | % | (.28 | )% | 3.05 | %(d) | ||||
| Ratios to Average Net Assets: | ||||||||||||
| Expenses, excluding interest expense and including expense reductions(e) | .62 | % | .60 | % | .62 | % | .62 | %(f) | ||||
| Expenses, excluding expense reductions | .64 | % | .66 | % | .70 | % | .72 | %(f) | ||||
| Net investment income | 5.04 | % | 5.78 | % | 6.18 | % | 5.75 | %(f) | ||||
| Supplemental Data: | ||||||||||||
| Net assets, end of period (000) | $2,255 | $1,629 | $2,258 | $112 | ||||||||
| Portfolio turnover rate | 24.47 | % | 27.20 | % | 40.94 | % | 37.68 | % | ||||
| (a) | Commencement of operations was 7/26/2010 and the SEC effective date was 4/30/2007. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Not annualized. |
| (e) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| (f) | Annualized. |
| 156 | See Notes to Financial Statements. |
Financial Highlights (concluded)
HIGH YIELD MUNICIPAL BOND FUND
| Class P Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.94 | $11.07 | $11.82 | $11.50 | $11.90 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .56 | .61 | .67 | .66 | .71 | ||||||||||
| Net realized and unrealized gain (loss) | (1.04 | ) | .85 | (.77 | ) | .30 | (.39 | )(b) | |||||||
| Total from investment operations | (.48 | ) | 1.46 | (.10 | ) | .96 | .32 | ||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.54 | ) | (.59 | ) | (.65 | ) | (.64 | ) | (.72 | ) | |||||
| Net asset value, end of year | $10.92 | $11.94 | $11.07 | $11.82 | $11.50 | ||||||||||
| Total Return(c) | (4.29 | )% | 13.56 | % | (.65 | )% | 8.67 | % | 3.87 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | 1.07 | % | 1.08 | % | 1.11 | % | 1.12 | % | 1.26 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(d) | 1.05 | % | 1.02 | % | 1.04 | % | 1.02 | % | 1.08 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | 1.07 | % | 1.08 | % | 1.11 | % | 1.12 | % | 1.26 | % | |||||
| Net investment income | 4.69 | % | 5.36 | % | 6.07 | % | 5.71 | % | 7.04 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $12 | $12 | $11 | $11 | $10 | ||||||||||
| Portfolio turnover rate | 24.47 | % | 27.20 | % | 40.94 | % | 37.68 | % | 32.88 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (c) | Total return assumes the reinvestment of all distributions. |
| (d) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 157 |
Financial Highlights
CALIFORNIA TAX FREE FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.73 | $ 9.90 | $10.24 | $10.17 | $ 9.38 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .38 | .43 | .48 | .47 | .45 | ||||||||||
| Net realized and unrealized gain (loss) | (.64 | ) | .83 | (.35 | ) | .07 | .80 | ||||||||
| Total from investment operations | (.26 | ) | 1.26 | .13 | .54 | 1.25 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.37 | ) | (.43 | ) | (.47 | ) | (.47 | ) | (.46 | ) | |||||
| Net asset value, end of year | $10.10 | $10.73 | $ 9.90 | $10.24 | $10.17 | ||||||||||
| Total Return(b) | (2.51 | )% | 12.94 | % | 1.56 | % | 5.52 | % | 13.92 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .81 | % | .82 | % | .85 | % | .84 | % | .91 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | .81 | % | .79 | % | .79 | % | .78 | % | .78 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .81 | % | .82 | % | .85 | % | .84 | % | .91 | % | |||||
| Net investment income | 3.54 | % | 4.16 | % | 4.96 | % | 4.74 | % | 4.87 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $166,443 | $191,127 | $150,423 | $166,247 | $159,768 | ||||||||||
| Portfolio turnover rate | 18.05 | % | 28.15 | % | 36.60 | % | 47.68 | % | 34.04 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 158 | See Notes to Financial Statements. |
Financial Highlights (continued)
CALIFORNIA TAX FREE FUND
| Class C Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.73 | $ 9.90 | $10.25 | $10.17 | $ 9.39 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .31 | .36 | .42 | .40 | .38 | ||||||||||
| Net realized and unrealized gain (loss) | (.64 | ) | .83 | (.36 | ) | .08 | .80 | ||||||||
| Total from investment operations | (.33 | ) | 1.19 | .06 | .48 | 1.18 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.30 | ) | (.36 | ) | (.41 | ) | (.40 | ) | (.40 | ) | |||||
| Net asset value, end of year | $10.10 | $10.73 | $ 9.90 | $10.25 | $10.17 | ||||||||||
| Total Return(b) | (3.15 | )% | 12.23 | % | .80 | % | 4.88 | % | 13.13 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | 1.47 | % | 1.45 | % | 1.50 | % | 1.55 | % | 1.60 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | 1.47 | % | 1.42 | % | 1.44 | % | 1.49 | % | 1.48 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | 1.47 | % | 1.45 | % | 1.50 | % | 1.55 | % | 1.60 | % | |||||
| Net investment income | 2.88 | % | 3.51 | % | 4.32 | % | 4.02 | % | 4.14 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $33,741 | $38,712 | $28,023 | $33,280 | $28,896 | ||||||||||
| Portfolio turnover rate | 18.05 | % | 28.15 | % | 36.60 | % | 47.68 | % | 34.04 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 159 |
Financial Highlights (continued)
CALIFORNIA TAX FREE FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $10.73 | $ 9.90 | $10.24 | $10.17 | $ 9.38 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .39 | .44 | .49 | .48 | .46 | ||||||||||
| Net realized and unrealized gain (loss) | (.64 | ) | .83 | (.35 | ) | .07 | .80 | ||||||||
| Total from investment operations | (.25 | ) | 1.27 | .14 | .55 | 1.26 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.38 | ) | (.44 | ) | (.48 | ) | (.48 | ) | (.47 | ) | |||||
| Net asset value, end of year | $10.10 | $10.73 | $ 9.90 | $10.24 | $10.17 | ||||||||||
| Total Return(b) | (2.42 | )% | 13.04 | % | 1.65 | % | 5.62 | % | 14.06 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .71 | % | .72 | % | .75 | % | .74 | % | .79 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | .71 | % | .69 | % | .69 | % | .68 | % | .67 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .71 | % | .72 | % | .75 | % | .74 | % | .79 | % | |||||
| Net investment income | 3.63 | % | 4.23 | % | 5.06 | % | 4.81 | % | 4.84 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $21,549 | $22,344 | $14,605 | $12,683 | $6,578 | ||||||||||
| Portfolio turnover rate | 18.05 | % | 28.15 | % | 36.60 | % | 47.68 | % | 34.04 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 160 | See Notes to Financial Statements. |
Financial Highlights (concluded)
CALIFORNIA TAX FREE FUND
| Class I Shares | |||||||||
| Year Ended 9/30 | 1/31/2011(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $10.73 | $ 9.90 | $9.24 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | — | (c) | |||||||
| Net realized and unrealized loss | (.01 | ) | |||||||
| Total from investment operations | (.01 | ) | |||||||
| Net asset value on SEC Effective Date, 2/1/2011 | $9.23 | ||||||||
| Investment operations: | |||||||||
| Net investment income(b) | .40 | .45 | .33 | ||||||
| Net realized and unrealized gain (loss) | (.65 | ) | .83 | .67 | (d) | ||||
| Total from investment operations | (.25 | ) | 1.28 | 1.00 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.39 | ) | (.45 | ) | (.33 | ) | |||
| Net asset value, end of period | $10.09 | $10.73 | $9.90 | ||||||
| Total Return(e) | 10.89 | %(f)(g) | |||||||
| Total Return(e) | (2.40 | )% | 13.17 | % | 10.99 | %(f)(h) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding interest expense and including expense reductions(i) | .61 | % | .59 | % | .60 | %(j) | |||
| Expenses, excluding expense reductions | .62 | % | .62 | % | .69 | %(j) | |||
| Net investment income | 3.77 | % | 4.39 | % | 5.24 | %(j) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $12 | $13 | $11 | ||||||
| Portfolio turnover rate | 18.05 | % | 28.15 | % | 36.60 | % | |||
| (a) | Commencement of operations was 1/31/2011, SEC effective date and date shares first became available to the public was 2/1/2011. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Amount is less than $.01. |
| (d) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (e) | Total return assumes the reinvestment of all distributions. |
| (f) | Not annualized. |
| (g) | Total return for the period 1/31/2011 through 9/30/2011. |
| (h) | Total return for the period 2/1/2011 through 9/30/2011. |
| (i) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| (j) | Annualized. |
| See Notes to Financial Statements. | 161 |
Financial Highlights
NEW JERSEY TAX FREE FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $5.07 | $4.69 | $4.85 | $4.78 | $4.43 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .17 | .19 | .21 | .21 | .21 | ||||||||||
| Net realized and unrealized gain (loss) | (.41 | ) | .38 | (.16 | ) | .07 | .35 | ||||||||
| Total from investment operations | (.24 | ) | .57 | .05 | .28 | .56 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.17 | ) | (.19 | ) | (.21 | ) | (.21 | ) | (.21 | ) | |||||
| Net asset value, end of year | $4.66 | $5.07 | $4.69 | $4.85 | $4.78 | ||||||||||
| Total Return(b) | (4.85 | )% | 12.41 | % | 1.23 | % | 6.13 | % | 13.13 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .82 | % | .83 | % | .85 | % | .83 | % | .81 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed | .82 | % | .82 | %(c) | .82 | %(c) | .80 | %(c) | .81 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .82 | % | .83 | % | .85 | % | .83 | % | .81 | % | |||||
| Net investment income | 3.47 | % | 3.96 | % | 4.62 | % | 4.53 | % | 4.78 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $121,722 | $136,085 | $113,783 | $125,722 | $128,778 | ||||||||||
| Portfolio turnover rate | 18.17 | % | 31.06 | % | 23.14 | % | 32.22 | % | 20.68 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 162 | See Notes to Financial Statements. |
Financial Highlights (continued)
NEW JERSEY TAX FREE FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $5.07 | $4.69 | $4.85 | $4.78 | $4.43 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .18 | .20 | .22 | .22 | .21 | ||||||||||
| Net realized and unrealized gain (loss) | (.41 | ) | .38 | (.17 | ) | .07 | .35 | ||||||||
| Total from investment operations | (.23 | ) | .58 | .05 | .29 | .56 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.18 | ) | (.20 | ) | (.21 | ) | (.22 | ) | (.21 | ) | |||||
| Net asset value, end of year | $4.66 | $5.07 | $4.69 | $4.85 | $4.78 | ||||||||||
| Total Return(b) | (4.76 | )% | 12.51 | % | 1.33 | % | 6.23 | % | 13.26 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .72 | % | .73 | % | .75 | % | .72 | % | .70 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed | .72 | % | .72 | %(c) | .72 | %(c) | .70 | %(c) | .70 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .72 | % | .73 | % | .75 | % | .72 | % | .70 | % | |||||
| Net investment income | 3.55 | % | 3.98 | % | 4.70 | % | 4.61 | % | 4.73 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $4,782 | $7,400 | $3,949 | $2,775 | $969 | ||||||||||
| Portfolio turnover rate | 18.17 | % | 31.06 | % | 23.14 | % | 32.22 | % | 20.68 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 163 |
Financial Highlights (concluded)
NEW JERSEY TAX FREE FUND
| Class I Shares | |||||||||
| Year Ended 9/30 | 1/31/2011(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $5.07 | $4.69 | $4.42 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | — | (c) | |||||||
| Net realized and unrealized loss | (.01 | ) | |||||||
| Total from investment operations | (.01 | ) | |||||||
| Net asset value on SEC Effective Date, 2/1/2011 | $4.41 | ||||||||
| Investment operations: | |||||||||
| Net investment income(b) | .18 | .21 | .15 | ||||||
| Net realized and unrealized gain (loss) | (.41 | ) | .37 | .28 | (d) | ||||
| Total from investment operations | (.23 | ) | .58 | .43 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.18 | ) | (.20 | ) | (.15 | ) | |||
| Net asset value, end of period | $4.66 | $5.07 | $4.69 | ||||||
| Total Return(e) | 9.79 | %(f)(g) | |||||||
| Total Return(e) | (4.63 | )% | 12.43 | % | 10.02 | %(f)(h) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding interest expense and including expense reductions | .61 | % | .60 | %(i) | .59 | %(i)(j) | |||
| Expenses, excluding expense reductions | .61 | % | .61 | % | .64 | %(j) | |||
| Net investment income | 3.70 | % | 4.18 | % | 4.85 | %(j) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $12 | $12 | $11 | ||||||
| Portfolio turnover rate | 18.17 | % | 31.06 | % | 23.14 | % | |||
| (a) | Commencement of operations was 1/31/2011, SEC effective date and date shares first became available to the public was 2/1/2011. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Amount is less than $.01. |
| (d) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (e) | Total return assumes the reinvestment of all distributions. |
| (f) | Not annualized. |
| (g) | Total return for the period 1/31/2011 through 9/30/2011. |
| (h) | Total return for the period 2/1/2011 through 9/30/2011. |
| (i) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| (j) | Annualized. |
| 164 | See Notes to Financial Statements. |
Financial Highlights
NEW YORK TAX FREE FUND
| Class A Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.38 | $10.66 | $10.96 | $10.78 | $ 9.71 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .37 | .43 | .48 | .49 | .48 | ||||||||||
| Net realized and unrealized gain (loss) | (.79 | ) | .73 | (.30 | ) | .17 | 1.06 | ||||||||
| Total from investment operations | (.42 | ) | 1.16 | .18 | .66 | 1.54 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.37 | ) | (.44 | ) | (.48 | ) | (.48 | ) | (.47 | ) | |||||
| Net asset value, end of year | $10.59 | $11.38 | $10.66 | $10.96 | $10.78 | ||||||||||
| Total Return(b) | (3.80 | )% | 11.05 | % | 1.85 | % | 6.37 | % | 16.49 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .78 | % | .84 | % | .85 | % | .85 | % | .87 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | .78 | % | .78 | % | .78 | % | .77 | % | .78 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .78 | % | .84 | % | .85 | % | .85 | % | .87 | % | |||||
| Net investment income | 3.33 | % | 3.95 | % | 4.64 | % | 4.55 | % | 4.90 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $262,089 | $285,447 | $216,126 | $238,259 | $231,452 | ||||||||||
| Portfolio turnover rate | 16.89 | % | 18.34 | % | 47.37 | % | 30.34 | % | 22.34 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 165 |
Financial Highlights (continued)
NEW YORK TAX FREE FUND
| Class C Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.37 | $10.65 | $10.95 | $10.76 | $ 9.70 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .30 | .36 | .42 | .41 | .41 | ||||||||||
| Net realized and unrealized gain (loss) | (.79 | ) | .72 | (.31 | ) | .19 | 1.06 | ||||||||
| Total from investment operations | (.49 | ) | 1.08 | .11 | .60 | 1.47 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.30 | ) | (.36 | ) | (.41 | ) | (.41 | ) | (.41 | ) | |||||
| Net asset value, end of year | $10.58 | $11.37 | $10.65 | $10.95 | $10.76 | ||||||||||
| Total Return(b) | (4.43 | )% | 10.36 | % | 1.19 | % | 5.74 | % | 15.69 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | 1.44 | % | 1.47 | % | 1.50 | % | 1.54 | % | 1.55 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | 1.43 | % | 1.42 | % | 1.43 | % | 1.46 | % | 1.46 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | 1.44 | % | 1.47 | % | 1.50 | % | 1.54 | % | 1.55 | % | |||||
| Net investment income | 2.67 | % | 3.31 | % | 3.99 | % | 3.85 | % | 4.21 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $45,152 | $50,407 | $38,627 | $42,397 | $37,554 | ||||||||||
| Portfolio turnover rate | 16.89 | % | 18.34 | % | 47.37 | % | 30.34 | % | 22.34 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return does not consider the effects of sales loads and assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| 166 | See Notes to Financial Statements. |
Financial Highlights (continued)
NEW YORK TAX FREE FUND
| Class F Shares | |||||||||||||||
| Year Ended 9/30 | |||||||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | |||||||||||
| Per Share Operating Performance | |||||||||||||||
| Net asset value, beginning of year | $11.39 | $10.67 | $10.97 | $10.78 | $ 9.72 | ||||||||||
| Investment operations: | |||||||||||||||
| Net investment income(a) | .38 | .44 | .49 | .50 | .48 | ||||||||||
| Net realized and unrealized gain (loss) | (.79 | ) | .73 | (.30 | ) | .18 | 1.06 | ||||||||
| Total from investment operations | (.41 | ) | 1.17 | .19 | .68 | 1.54 | |||||||||
| Distributions to shareholders from: | |||||||||||||||
| Net investment income | (.38 | ) | (.45 | ) | (.49 | ) | (.49 | ) | (.48 | ) | |||||
| Net asset value, end of year | $10.60 | $11.39 | $10.67 | $10.97 | $10.78 | ||||||||||
| Total Return(b) | (3.70 | )% | 11.15 | % | 1.95 | % | 6.57 | % | 16.51 | % | |||||
| Ratios to Average Net Assets: | |||||||||||||||
| Expenses, excluding expense reductions and including expenses reimbursed | .68 | % | .74 | % | .75 | % | .75 | % | .77 | % | |||||
| Expenses, excluding interest expense, including expense reductions and expenses reimbursed(c) | .68 | % | .68 | % | .68 | % | .67 | % | .68 | % | |||||
| Expenses, excluding expense reductions and expenses reimbursed | .68 | % | .74 | % | .75 | % | .75 | % | .77 | % | |||||
| Net investment income | 3.42 | % | 3.99 | % | 4.73 | % | 4.64 | % | 4.81 | % | |||||
| Supplemental Data: | |||||||||||||||
| Net assets, end of year (000) | $16,844 | $16,491 | $7,907 | $7,631 | $3,143 | ||||||||||
| Portfolio turnover rate | 16.89 | % | 18.34 | % | 47.37 | % | 30.34 | % | 22.34 | % | |||||
| (a) | Calculated using average shares outstanding during the year. |
| (b) | Total return assumes the reinvestment of all distributions. |
| (c) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| See Notes to Financial Statements. | 167 |
Financial Highlights (concluded)
NEW YORK TAX FREE FUND
| Class I Shares | |||||||||
| Year Ended 9/30 | 1/31/2011(a) to | ||||||||
| 2013 | 2012 | 9/30/2011 | |||||||
| Per Share Operating Performance | |||||||||
| Net asset value, beginning of period | $11.39 | $10.67 | $10.10 | ||||||
| Investment operations: | |||||||||
| Net investment income(b) | — | (c) | |||||||
| Net realized and unrealized loss | (.01 | ) | |||||||
| Total from investment operations | (.01 | ) | |||||||
| Net asset value on SEC Effective Date, 2/1/2011 | $10.09 | ||||||||
| Investment operations: | |||||||||
| Net investment income(b) | .39 | .41 | .34 | ||||||
| Net realized and unrealized gain (loss) | (.79 | ) | .77 | .58 | (d) | ||||
| Total from investment operations | (.40 | ) | 1.18 | .92 | |||||
| Distributions to shareholders from: | |||||||||
| Net investment income | (.39 | ) | (.46 | ) | (.34 | ) | |||
| Net asset value, end of period | $10.60 | $11.39 | $10.67 | ||||||
| Total Return(e) | 9.12 | %(f)(g) | |||||||
| Total Return(e) | (3.60 | )% | 11.30 | % | 9.21 | %(f)(h) | |||
| Ratios to Average Net Assets: | |||||||||
| Expenses, excluding interest expense and including expense reductions(i) | .58 | % | .58 | % | .57 | %(j) | |||
| Expenses, excluding expense reductions | .59 | % | .64 | % | .67 | %(j) | |||
| Net investment income | 3.54 | % | 3.68 | % | 4.91 | %(j) | |||
| Supplemental Data: | |||||||||
| Net assets, end of period (000) | $587 | $265 | $11 | ||||||
| Portfolio turnover rate | 16.89 | % | 18.34 | % | 47.37 | % | |||
| (a) | Commencement of operations was 1/31/2011, SEC effective date and date shares first became available to the public was 2/1/2011. |
| (b) | Calculated using average shares outstanding during the period. |
| (c) | Amount is less than $.01. |
| (d) | The per share amount does not represent the net realized and unrealized gain (loss) as presented on the Statements of Operations for the period due to the timing of sales of Fund shares and the amount of per share realized and unrealized gains and losses at such time. |
| (e) | Total return assumes the reinvestment of all distributions. |
| (f) | Not annualized. |
| (g) | Total return for the period 1/31/2011 through 9/30/2011. |
| (h) | Total return for the period 2/1/2011 through 9/30/2011. |
| (i) | Interest expense relates to the liability for floating rate notes issued in conjunction with tender option bond trusts. |
| (j) | Annualized. |
| 168 | See Notes to Financial Statements. |
| 1. | ORGANIZATION |
Lord Abbett Municipal Income Fund, Inc. (the “Company”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. The Company was organized as a Maryland corporation on December 27, 1983.
The Company consists of the following eight portfolios (separately, a “Fund” and collectively, the “Funds”) and their respective classes:
| Funds | Classes |
| Lord Abbett Short Duration Tax Free Fund (“Short Duration”) | A,B,C,F and I |
| Lord Abbett Intermediate Tax Free Fund (“Intermediate”) | A,B,C,F,I and P |
| Lord Abbett AMT Free Municipal Bond Fund (“AMT Free”) | A,C,F and I |
| Lord Abbett National Tax-Free Income Fund (“National”) | A,B,C,F,I and P |
| Lord Abbett High Yield Municipal Bond Fund (“High Yield”) | A,B,C,F,I and P |
| Lord Abbett California Tax-Free Income Fund (“California”) | A,C,F,I and P |
| Lord Abbett New Jersey Tax-Free Income Fund (“New Jersey”) | A,F and I |
| Lord Abbett New York Tax-Free Income Fund (“New York”) | A,C,F,I and P |
Short Duration, Intermediate, AMT Free and National are diversified as defined in the Act. High Yield, California, New Jersey and New York are non-diversified as defined in the Act. Short Duration has not issued Class B shares and only Intermediate and High Yield have issued Class P shares. High Yield’s Class B shares were fully redeemed on March 12, 2013. The Funds no longer issue Class B shares for purchase. The Funds’ Class P shares are closed to substantially all investors, with certain exceptions as set forth in the Funds’ prospectus.
The investment objective of each Fund (except for High Yield) is to seek the maximum amount of interest income exempt from federal income tax as is consistent with reasonable risk. The investment objective of High Yield is to seek a high level of income exempt from federal income tax. Each of California, New Jersey and New York also seeks as high a level of interest income exempt from the personal income tax of its corresponding state as is consistent with reasonable risk. In addition, New York seeks as high a level of interest income exempt from New York City personal income tax as is consistent with reasonable risk.
Each class has different expenses and dividends. A front-end sales charge is normally added to the net asset value (“NAV”) for Class A shares. There is no front-end sales charge in the case of Class B, C, F, I and P shares, although there may be a contingent deferred sales charge (“CDSC”) in certain cases as follows: Class A shares purchased without a sales charge and redeemed before the first day of the month in which the one-year anniversary of the purchase falls (subject to certain exceptions as set forth in each Fund’s prospectus); Class B shares redeemed before the sixth anniversary of purchase; and Class C shares redeemed before the first anniversary of purchase. Class B shares will automatically convert to Class A shares on the 25th day of the month (or, if the 25th day is not a business day, the next business day thereafter) following the eighth anniversary of the day on which the purchase order was accepted.
The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.
169
Notes to Financial Statements (continued)
| 2. | SIGNIFICANT ACCOUNTING POLICIES |
| (a) | Investment Valuation–Under procedures approved by the Funds’ Board of Directors (the “Board”), Lord, Abbett & Co. LLC (“Lord Abbett”), each Fund’s investment manager, has formed a Pricing Committee to administer the pricing and valuation of portfolio investments and to ensure that prices utilized reasonably reflect fair value. Among other things, these procedures allow the Funds to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value. |
| Securities are valued at the mean between the bid and asked prices on the basis of prices supplied by independent pricing services, which reflect broker/dealer supplied valuations and the independent pricing services’ own electronic data processing techniques. Exchange traded options and futures contracts are valued at the last sale price in the market where they are principally traded. If no sale has occurred, the mean between the most recently quoted bid and asked prices is used. | |
| Securities for which prices are not readily available are valued at fair value as determined by the Pricing Committee and approved by the Board. The Pricing Committee considers a number of factors, including observable and unobservable inputs, when arriving at fair value. The Pricing Committee may use observable inputs such as yield curves, broker quotes, observable trading activity, option adjusted spread models and other relevant information to determine fair value of portfolio investments. The Board or a designated committee thereof regularly reviews fair value determinations made by the Pricing Committee and employs techniques such as reviewing related market activity, reviewing inputs and assumptions, and retrospectively comparing prices of subsequent purchases and sales transactions to fair value determinations made by the Pricing Committee. | |
| Investments in open-end money market mutual funds are valued at their NAV as of the close of each business day. Short-term securities with 60 days or less remaining to maturity are valued using the amortized cost method, which approximates fair value. | |
| (b) | Security Transactions–Security transactions are recorded as of the date that the securities are purchased or sold (trade date). Realized gains and losses on sales of portfolio securities are calculated using the identified-cost method. Realized and unrealized gains (losses) are allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day. |
| (c) | Investment Income–Dividend income is recorded on the ex-dividend date. Interest income is recorded on the accrual basis as earned. Discounts are accreted and premiums are amortized using the effective interest method and are included in Interest and other income on the Statements of Operations. Investment income is allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day. |
| (d) | Income Taxes–It is the policy of each Fund to meet the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all taxable income and capital gains to its shareholders. Therefore, no income tax provision is required. |
| Each Fund files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The statute of limitations on each Fund’s filed U.S. federal tax returns remains open for the fiscal years ended September 30, 2010 through September 30, |
170
Notes to Financial Statements (continued)
| 2013. The statutes of limitations on the Company’s state and local tax returns may remain open for an additional year depending upon the jurisdiction. | |
| (e) | Expenses–Expenses incurred by the Company that do not specifically relate to an individual fund are generally allocated to the Funds within the Company on a pro rata basis by relative net assets. Expenses, excluding class-specific expenses, are allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day. Class A, B, C, F and P shares bear their class-specific share of all expenses and fees relating to the Funds’ 12b-1 Distribution Plan. |
| (f) | Futures Contracts–Each Fund may purchase and sell futures contracts to enhance returns, to attempt to hedge some of its investment risk, or as a substitute position for holding the underlying asset on which the instrument is based. At the time of entering into a futures transaction, an investor is required to deposit and maintain a specified amount of cash or eligible securities called “initial margin.” Subsequent payments made or received by a Fund called “variation margin” are made on a daily basis as the market price of the futures contract fluctuates. Each Fund will record an unrealized gain (loss) based on the amount of variation margin. When a contract is closed, a realized gain (loss) is recorded equal to the difference between the opening and closing value of the contract. As of September 30, 2013, each Fund, except Short Duration and AMT Free, had open futures contracts. |
| (g) | When-Issued Municipal Bonds–Each Fund may purchase new issues of municipal bonds, which are generally offered on a when-issued basis, with delivery and payment normally taking place approximately one month after the purchase date. |
| (h) | Municipal Bonds Held in Trust–Each Fund may invest in leveraged residual certificates (“TOB Residuals”) issued by tender option bond trusts (“TOBs”). A TOB is established by a third party sponsor forming a special purpose entity into which a Fund, or an agent on behalf of the Fund, transfers municipal securities. A TOB typically issues two classes of beneficial interests: short-term floating rate certificates (trust certificates), which are sold to third party investors, and residual certificates, which are generally issued to a Fund which made the transfer or to affiliates of the Fund. Each Fund’s transfer of the municipal securities to a TOB is accounted for as a secured borrowing, therefore the municipal securities deposited into a TOB are presented as investments in a Fund’s Schedule of Investments and the proceeds from the transactions are reported as a liability for trust certificates on the Statements of Assets and Liabilities. Similarly, proceeds from residual certificates issued to affiliates, if any, from the transaction are included in the liability for trust certificates. Interest income from the underlying security is recorded by a Fund on an accrual basis. Interest expense incurred on the secured borrowing and other expenses related to remarketing, administration and trustee services to a TOB are reported as expenses of a Fund. The floating rate certificates have interest rates that generally reset weekly and their holders have the option to tender certificates to the TOB for redemption at par at each reset date. The residual interests held by a Fund include the right of each Fund (1) to cause the holders of a proportional share of floating rate certificates to tender their certificates at par and (2) to transfer a corresponding share of the municipal securities from the TOB to the Fund. The TOB may also be terminated without the consent of the Fund upon the occurrence of certain events as defined in the TOB agreements. Such termination events may include the bankruptcy or default of the municipal bond, a substantial downgrade in credit quality of the municipal bond, the inability of the TOB to obtain quarterly or annual renewal of the liquidity |
171
Notes to Financial Statements (continued)
| support agreement, a substantial decline in market value of the municipal bond or the inability to remarket the short-term floating rate certificates to third party investors. | |
| The following is a summary of each Fund’s liability for trust certificates, range of interest rates for such certificates and the aggregate value of the underlying municipal securities transferred to TOBs as of September 30, 2013, as well as the average trust certificates outstanding for the fiscal year ended September 30, 2013: |
| Fund | Liability for Trust Certificates | Interest Rate or Range of Interest Rates | Underlying Municipal Bonds Transferred to TOBs | Average Trust Certificates Outstanding | |||||||||||
| Short Duration | $ | 17,000,000 | .08% | $ | 34,154,380 | $ | 17,000,000 | ||||||||
| Intermediate | 11,815,000 | .07% - .09% | 24,548,264 | 11,815,000 | |||||||||||
| AMT Free | — | — | — | — | |||||||||||
| National | 62,165,000 | .07% - .12% | 136,979,605 | 68,351,000 | |||||||||||
| High Yield | 41,160,000 | .07% - .12% | 90,191,092 | 47,460,000 | |||||||||||
| California | 1,500,000 | .08% | 3,365,190 | 1,500,000 | |||||||||||
| New Jersey | — | — | — | — | |||||||||||
| New York | 4,030,000 | .08% | 8,893,645 | 4,030,000 | |||||||||||
| Financial transactions executed through TOBs generally will underperform the market for fixed rate municipal bonds in a rising interest rate environment, but tend to outperform the market for fixed rate municipal bonds when interest rates decline or remain relatively stable. Should short-term interest rates rise, a Fund’s investment in TOB Residuals likely will adversely affect a Fund’s net investment income and distributions to shareholders. Fluctuations in the market value of municipal securities deposited into the TOB may adversely affect a Fund’s NAV per share. As of September 30, 2013, the carrying value of each Fund’s Liability for Trust Certificates approximates its fair value. | |
| While the Funds’ investment policies and restrictions expressly permit investments in inverse floating rate securities such as TOB Residuals, they generally do not allow the Funds to borrow money for purposes of making investments. The Funds’ management believes that the Funds’ restrictions on borrowings do not apply to the secured borrowings for TOB transactions. | |
| (i) | Fair Value Measurements–Fair value is defined as the price that each Fund would receive upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market of the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk – for example, the risk inherent in a particular valuation technique used to measure fair value (such as a pricing model) and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. |
172
Notes to Financial Statements (continued)
| The three-tier hierarchy of inputs is summarized in the three broad Levels listed below: | |||
| • | Level 1 – | unadjusted quoted prices in active markets for identical investments; | |
| • | Level 2 – | other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.); and | |
| • | Level 3 – | significant unobservable inputs (including each Fund’s own assumptions in determining the fair value of investments). | |
| A summary of inputs used in valuing each Fund’s investments and other financial instruments as of September 30, 2013 and, if applicable, Level 1/Level 2 transfers and Level 3 rollforwards for the fiscal year then ended is included in each Fund’s Schedule of Investments. | |||
| Changes in valuation techniques may result in transfers into or out of an assigned level within the three-tier hierarchy. All transfers between different levels within the three-tier hierarchy are deemed to have occurred as of the beginning of the reporting period. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. | |||
| 3. | MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES |
Management Fees
The Company has a management agreement with Lord Abbett, pursuant to which Lord Abbett supplies each Fund with investment management services and executive and other personnel, provides office space and pays for ordinary and necessary office and clerical expenses relating to research and statistical work and supervision of each Fund’s investment portfolio.
The management fee for each of National, California, New Jersey and New York is based on each Fund’s average daily net assets at the following annual rate:
| First $1 billion | .45 | % | ||
| Next $1 billion | .40 | % | ||
| Over $2 billion | .35 | % |
The management fee for Short Duration is based on the Fund’s average daily net assets at the following annual rate:
| First $2 billion | .40 | % | ||
| Next $3 billion | .375 | % | ||
| Over $5 billion | .35 | % |
The management fee for Intermediate is based on the Fund’s average daily net assets. Effective February 1, 2013, the management agreement was amended, resulting in the following annual rates:
| Effective February 1, 2013 |
Prior to February 1, 2013 | ||
| First $2 billion | .40% | .40% | |
| Next $3 billion | .375% | .375% | |
| Next $5 billion | .35% | .35% | |
| Over $10 billion | .32% | .35% |
The management fee for each of AMT Free and High Yield is based on each Fund’s average daily net assets at the following annual rate:
| First $1 billion | .50 | % | ||
| Next $1 billion | .45 | % | ||
| Over $2 billion | .40 | % |
173
Notes to Financial Statements (continued)
For the fiscal year ended September 30, 2013, the effective management fee, net of waivers, was at the following annualized rate of each Fund’s average daily net assets:
| Effective Management | |
| Fee | |
| Short Duration | .32% |
| Intermediate | .37% |
| AMT Free | .21% |
| National | .42% |
| High Yield | .47% |
| California | .45% |
| New Jersey | .45% |
| New York | .45% |
In addition, Lord Abbett provides certain administrative services to each Fund pursuant to an Administrative Services Agreement in return for a fee at an annual rate of .04% of each Fund’s average daily net assets.
For the period February 1, 2013 through January 31, 2014, Lord Abbett has contractually agreed to waive all or a portion of its management fee for Short Duration, Intermediate and AMT Free and, if necessary, waive all or a portion of its administrative fee and reimburse each Fund’s other expenses to the extent necessary so that the total net annual operating expenses for each class, excluding 12b-1 fees and interest related expenses, do not exceed an annualized rate of .43%, .49% and .40%, respectively. This agreement may be terminated only upon the approval of the Board.
For the twelve month period through January 31, 2013, Lord Abbett had contractually agreed to waive all or a portion of its management fee for Short Duration, Intermediate and AMT Free and, if necessary, waive all or a portion of its administrative fee and reimburse each Fund’s other expenses to the extent necessary so that the total net annual operating expenses for each class, excluding 12b-1 fees and interest related expenses, did not exceed an annualized rate of .41%, .47% and .35%, respectively.
12b-1 Distribution Plan
Each Fund has adopted a distribution plan with respect to Class A, B, C, F and P shares pursuant to Rule 12b-1 under the Act, which provides for the payment of ongoing distribution and service fees to Lord Abbett Distributor LLC (the “Distributor”), an affiliate of Lord Abbett. The following annual rates have been approved by the Board pursuant to the plan:
| Fees | Class A | Class B | Class C(1) | Class F | Class P |
| Service | .15% | .25% | .25% | — | .25% |
| Distribution | .05% | .75% | .75% | .10% | .20% |
| (1) | The Rule 12b-1 fee each Fund pays on Class C shares is a blended rate based on 1.00% of each Fund’s average daily net assets attributable to Class C shares held for less than one year and .80% (.25% service, .55% distribution) of each Fund’s average daily net assets attributable to Class C shares held for one year or more. All Class C shareholders of a Fund will bear Rule 12b-1 fees at the same rate. |
Class I shares do not have a distribution plan.
Commissions
Distributor received the following commissions on sales of shares of the Funds, after concessions were paid to authorized dealers, for the fiscal year ended September 30, 2013:
174
Notes to Financial Statements (continued)
| Distributor Commissions | Dealers’ Concessions | |||||||
| Short Duration | $ | 85,576 | $ | 515,185 | ||||
| Intermediate | 296,263 | 1,749,013 | ||||||
| AMT Free | 31,773 | 185,947 | ||||||
| National | 263,744 | 1,573,937 | ||||||
| High Yield | 229,179 | 1,458,049 | ||||||
| California | 19,497 | 108,593 | ||||||
| New Jersey | 8,220 | 49,562 | ||||||
| New York | 22,400 | 141,981 | ||||||
Distributor received the following amount of CDSCs for the fiscal year ended September 30, 2013:
| Class A | Class C | |||||||
| Short Duration | $ | 483,936 | $ | 113,184 | ||||
| Intermediate | 420,120 | 220,301 | ||||||
| AMT Free | 35,817 | 16,031 | ||||||
| National | 114,516 | 64,792 | ||||||
| High Yield | 236,517 | 99,509 | ||||||
| California | 32,159 | 16,300 | ||||||
| New Jersey | 195 | — | ||||||
| New York | 41,361 | 9,799 | ||||||
A Director and certain of the Company’s officers have an interest in Lord Abbett.
| 4. | DISTRIBUTIONS AND CAPITAL LOSS CARRYFORWARDS |
Dividends from net investment income, if any, are declared daily and paid monthly. Taxable net realized gains from investment transactions, reduced by allowable capital loss carryforwards, if any, are declared and distributed to shareholders at least annually. The capital loss carryforward amount, if any, is available to offset future net capital gains. Dividends and distributions to shareholders are recorded on the ex-dividend date. The amounts of dividends and distributions from net investment income and net realized capital gains are determined in accordance with federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. These book/tax differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the components of net assets based on their federal tax basis treatment; temporary differences do not require reclassification. Dividends and distributions, which exceed earnings and profits for tax purposes, are reported as a tax return of capital.
The tax character of distributions paid during the fiscal years ended September 30, 2013 and 2012 was as follows:
| Short Duration | Intermediate | |||||||||||||||
| Year Ended 9/30/2013 | Year Ended 9/30/2012 | Year Ended 9/30/2013 | Year Ended 9/30/2012 | |||||||||||||
| Distributions paid from: | ||||||||||||||||
| Tax-exempt income | $ | 33,284,372 | $ | 34,337,008 | $ | 103,198,545 | $ | 91,374,736 | ||||||||
| Net long-term capital gains | 1,187,055 | 1,326,190 | — | — | ||||||||||||
| Total distributions paid | $ | 34,471,427 | $ | 35,663,198 | $ | 103,198,545 | $ | 91,374,736 | ||||||||
175
Notes to Financial Statements (continued)
| AMT Free | National | |||||||||||||||
| Year Ended 9/30/2013 | Year Ended 9/30/2012 | Year Ended 9/30/2013 | Year Ended 9/30/2012 | |||||||||||||
| Distributions paid from: | ||||||||||||||||
| Tax-exempt income | $ | 6,467,944 | $ | 4,639,188 | $ | 75,945,903 | $ | 79,268,242 | ||||||||
| Ordinary income | 41,059 | — | 1,076,800 | — | ||||||||||||
| Total distributions paid | $ | 6,509,003 | $ | 4,639,188 | $ | 77,022,703 | $ | 79,268,242 | ||||||||
| High Yield | California | |||||||||||||||
| Year Ended 9/30/2013 | Year Ended 9/30/2012 | Year Ended 9/30/2013 | Year Ended 9/30/2012 | |||||||||||||
| Distributions paid from: | ||||||||||||||||
| Tax-exempt income | $ | 92,541,609 | $ | 85,717,155 | $ | 8,736,647 | $ | 8,748,816 | ||||||||
| Ordinary income | 1,297,836 | 827,394 | 47,167 | — | ||||||||||||
| Total distributions paid | $ | 93,839,445 | $ | 86,544,549 | $ | 8,783,814 | $ | 8,748,816 | ||||||||
| New Jersey | New York | |||||||||||||||
| Year Ended 9/30/2013 | Year Ended 9/30/2012 | Year Ended 9/30/2013 | Year Ended 9/30/2012 | |||||||||||||
| Distributions paid from: | ||||||||||||||||
| Tax-exempt income | $ | 5,076,631 | $ | 5,148,928 | $ | 12,009,332 | $ | 11,328,508 | ||||||||
| Total distributions paid | $ | 5,076,631 | $ | 5,148,928 | $ | 12,009,332 | $ | 11,328,508 | ||||||||
As of September 30, 2013, the components of accumulated gains (losses) on a tax-basis were as follows:
| Short Duration | Intermediate | |||||||||||
| Undistributed tax-exempt income-net | $ | 232,023 | $ | 1,025,694 | ||||||||
| Undistributed long-term capital gains | 1,909,036 | 21,275,393 | ||||||||||
| Total undistributed earnings | 2,141,059 | 22,301,087 | ||||||||||
| Temporary differences | (148,780 | ) | (215,580 | ) | ||||||||
| Unrealized gains-net | 5,713,153 | 12,835,234 | ||||||||||
| Total accumulated gains-net | $ | 7,705,432 | $ | 34,920,741 | ||||||||
| AMT Free | National | |||||||||||
| Undistributed tax-exempt income-net | $ | 94,996 | $ | 1,926,758 | ||||||||
| Total undistributed earnings | 94,996 | 1,926,758 | ||||||||||
| Capital loss carryforwards* | — | (11,663,983 | ) | |||||||||
| Temporary differences | (600,368 | ) | (13,288,685 | ) | ||||||||
| Unrealized losses-net | (4,399,075 | ) | (19,498,308 | ) | ||||||||
| Total accumulated losses-net | $ | (4,904,447 | ) | $ | (42,524,218 | ) | ||||||
| High Yield | California | |||||||||||
| Undistributed tax-exempt income-net | $ | 1,287,152 | $ | — | ||||||||
| Total undistributed earnings | 1,287,152 | — | ||||||||||
| Capital loss carryforwards* | (323,097,007 | ) | (10,751,072 | ) | ||||||||
| Temporary differences | (12,002,939 | ) | (651,898 | ) | ||||||||
| Unrealized gains (losses)-net | (133,671,664 | ) | 4,083,108 | |||||||||
| Total accumulated losses-net | $ | (467,484,458 | ) | $ | (7,319,862 | ) | ||||||
176
Notes to Financial Statements (continued)
| New Jersey | New York | |||||||
| Capital loss carryforwards* | $ | (6,797,300 | ) | $ | (10,338,312 | ) | ||
| Temporary differences | (262,721 | ) | (1,526,149 | ) | ||||
| Unrealized losses-net | (2,496,296 | ) | (2,830,957 | ) | ||||
| Total accumulated losses-net | $ | (9,556,317 | ) | $ | (14,695,418 | ) | ||
| * | As of September 30, 2013, the capital loss carryforwards, along with the related expiration dates, were as follows: |
| 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | Indefinite | Total | |||||||||||||||||||||||||
| National | $ | — | $ | — | $ | — | $ | — | $ | 11,663,983 | $ | — | $ | — | $ | 11,663,983 | ||||||||||||||||
| High Yield | 1,759,893 | 9,152,078 | 16,838,530 | 112,613,733 | 77,996,014 | 36,257,876 | 68,478,883 | 323,097,007 | ||||||||||||||||||||||||
| California | — | 429,137 | 3,345 | 1,405,669 | 5,151,330 | 502,921 | 3,258,670 | 10,751,072 | ||||||||||||||||||||||||
| New Jersey | 87,412 | — | — | — | 4,168,179 | 1,290,500 | 1,251,209 | 6,797,300 | ||||||||||||||||||||||||
| New York | 562,562 | — | — | 1,280,143 | 5,906,184 | 2,268,803 | 320,620 | 10,338,312 | ||||||||||||||||||||||||
In accordance with the Regulated Investment Company Modernization Act of 2010, each Fund will carryforward capital losses incurred in taxable years beginning after December 22, 2010 (“post-enactment losses”) indefinitely. Post-enactment losses will also retain their character as either short-term or long-term and be utilized before any pre-enactment losses.
At each Fund’s election, certain losses incurred within the taxable year (Qualified Late-Year Losses) are deemed to arise on the first business day of the Fund’s next taxable year. The following Funds incurred and will elect to defer post-October capital losses during the fiscal 2013 as follows:
| AMT Free | $ | 593,719 | ||
| National | 12,819,548 | |||
| High Yield | 11,819,410 | |||
| California | 162,011 | |||
| New York | 640,588 |
As of September 30, 2013, the aggregate unrealized security gains and losses based on cost for U.S. federal income tax purposes were as follows:
| Tax Cost | Gross Unrealized Gain | Gross Unrealized Loss | Net Unrealized Gain/(Loss) | |||||||||||||
| Short Duration | $ | 2,563,486,896 | $ | 23,314,955 | $ | (17,601,802 | ) | $ | 5,713,153 | |||||||
| Intermediate | 3,313,975,348 | 100,763,215 | (87,927,981 | ) | 12,835,234 | |||||||||||
| AMT Free | 147,373,094 | 2,733,213 | (7,132,288 | ) | (4,399,075 | ) | ||||||||||
| National | 1,726,251,049 | 67,439,059 | (86,937,367 | ) | (19,498,308 | ) | ||||||||||
| High Yield | 1,802,590,813 | 67,041,786 | (200,713,450 | ) | (133,671,664 | ) | ||||||||||
| California | 213,792,011 | 10,120,217 | (6,037,109 | ) | 4,083,108 | |||||||||||
| New Jersey | 124,846,271 | 4,129,701 | (6,625,997 | ) | (2,496,296 | ) | ||||||||||
| New York | 321,194,804 | 9,992,282 | (12,823,239 | ) | (2,830,957 | ) | ||||||||||
The difference between book-basis and tax-basis unrealized gains (losses) is attributable to the tax treatment of accretion on market discount, tender option bond trusts, wash sales and other temporary adjustments.
177
Notes to Financial Statements (continued)
Permanent items identified during the fiscal year ended September 30, 2013 have been reclassified among the components of net assets based on their tax basis treatment as follows:
| Undistributed (Distributions in Excess of) Net Investment Income | Accumulated Net Realized Gain (Loss) | |||||||
| Short Duration | $ | (90,457 | ) | $ | 90,457 | |||
| Intermediate | (79,278 | ) | 79,278 | |||||
| AMT Free | (8,707 | ) | 8,707 | |||||
| National | (160,938 | ) | 160,938 | |||||
| High Yield | (21,848 | ) | 21,848 | |||||
| California | (9,022 | ) | 9,022 | |||||
| New Jersey | 3,406 | (3,406 | ) | |||||
| New York | (10,678 | ) | 10,678 | |||||
The permanent differences are attributable to the tax treatment of accretion on market discount.
| 5. | PORTFOLIO SECURITIES TRANSACTIONS |
Purchases and sales of investment securities (excluding short-term investments) for the fiscal year ended September 30, 2013 were as follows:
| Purchases | Sales | |||||||
| Short Duration | $ | 631,496,428 | $ | 510,611,732 | ||||
| Intermediate | 1,196,753,797 | 1,302,494,789 | ||||||
| AMT Free | 82,968,776 | 93,007,493 | ||||||
| National | 704,990,887 | 849,804,195 | ||||||
| High Yield | 501,131,098 | 615,023,349 | ||||||
| California | 45,826,356 | 57,876,831 | ||||||
| New Jersey | 26,131,084 | 30,542,559 | ||||||
| New York | 66,967,074 | 62,136,231 | ||||||
There were no purchases or sales of U.S. Government securities for the fiscal year ended September 30, 2013.
| 6. | DISCLOSURES ABOUT DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES |
Each Fund except Short Duration entered into U.S. Treasury futures contracts during the fiscal year ended September 30, 2013 (as described in note 2(f)) to hedge against changes in interest rates. The Funds bear the risk of interest rates moving unexpectedly, in which case the Funds may not achieve the anticipated benefits of the futures contracts and realize a loss. There is minimal counterparty credit risk to the Funds since futures are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees futures against default.
As of September 30, 2013, the Funds had interest rate futures contracts with cumulative net unrealized appreciation/depreciation which are included in the Schedules of Investments. Only the current day’s variation margin is included in the Statements of Assets and Liabilities. The net realized gain/(loss) and net change in unrealized appreciation/depreciation on futures contracts are included in the Statements of Operations under the captions Net realized gain (loss) on investments and futures contracts and Net change in unrealized appreciation/depreciation on investments and futures contracts, respectively.
178
Notes to Financial Statements (continued)
The following is a summary of U.S. Treasury futures contracts as of and during the fiscal year ended September 30, 2013:
| Net Unrealized Depreciation as of September 30, 2013 | Net Realized Gain | Net Change in Unrealized Appreciation/ Depreciation | Average Number of Contracts* | |||||||||||||
| Intermediate | $ | (307,521 | ) | $ | 8,985,268 | $ | 138,521 | 832 | ||||||||
| AMT Free | — | 377,949 | 17,553 | 57 | ||||||||||||
| National | (1,100,271 | ) | 5,972,083 | (1,024,313 | ) | 629 | ||||||||||
| High Yield | (917,846 | ) | 4,774,620 | (828,179 | ) | 618 | ||||||||||
| California | (65,346 | ) | 596,139 | 3,012 | 88 | |||||||||||
| New Jersey | (87,521 | ) | 428,477 | (79,103 | ) | 50 | ||||||||||
| New York | (189,568 | ) | 1,092,724 | (169,427 | ) | 111 | ||||||||||
| * | Calculated based on the number of contracts for the fiscal year ended September 30, 2013. |
| 7. | DIRECTORS’ REMUNERATION |
The Company’s officers and a Director, who are associated with Lord Abbett, do not receive any compensation from the Company for serving in such capacities. Independent Directors’ fees are allocated among all Lord Abbett-sponsored funds based on the net assets of each fund. There is an equity-based plan available to all Independent Directors under which Independent Directors must defer receipt of a portion of, and may elect to defer receipt of an additional portion of Directors’ fees. The deferred amounts are treated as though equivalent dollar amounts had been invested in the funds. Such amounts and earnings accrued thereon are included in Directors’ fees on the Statements of Operations and in Directors’ fees payable on the Statements of Assets and Liabilities and are not deductible for U.S. federal income tax purposes until such amounts are paid.
| 8. | EXPENSE REDUCTIONS |
The Company has entered into an arrangement with its transfer agent and custodian, whereby credits realized as a result of uninvested cash balances are used to reduce a portion of each Fund’s expenses.
| 9. | LINE OF CREDIT |
During the fiscal year ended September 30, 2013, the Funds and certain other funds managed by Lord Abbett (the “participating funds”) participated in an unsecured revolving credit facility (“Facility”) with State Street Bank and Trust Company (“SSB”). The Facility is to be used for temporary or emergency purposes as an additional source of liquidity to fund redemptions of investor shares. The Board considers annual renewal of the Facility under terms that depend on market conditions at the time of the renewal. The amounts available under the Facility are (i) the lesser of either $250,000,000 or 33.33% of total assets per participating fund and (ii) $350,000,000 in the aggregate for all participating funds. The annual fee to maintain the Facility is .09% of the amount available under the Facility. Each participating fund pays its pro rata share based on the net assets of each participating fund. This amount is included in Other expenses on each Fund’s Statement of Operations. Any borrowings under this Facility will bear interest at current market rates as set forth in the credit agreement.
Effective July 1, 2013, the Funds and participating funds renewed the Facility through June 30, 2014 under the same terms as described above.
179
Notes to Financial Statements (continued)
During the fiscal year ended September 30, 2013, a participating fund also managed by Lord Abbett utilized the Facility and fully repaid its borrowings on June 13, 2013. As of September 30, 2013, there were no loans outstanding pursuant to this Facility.
| 10. | CUSTODIAN AND ACCOUNTING AGENT |
SSB is the Company’s custodian and accounting agent. SSB performs custodial, accounting and recordkeeping functions relating to portfolio transactions and calculating each Fund’s NAV.
| 11. | INVESTMENT RISKS |
Each Fund’s performance and the fair value of its investments will vary in response to changes in interest rates and other market factors. As interest rates rise, a Fund’s investments typically will lose value. This risk is usually greater for long-term bonds and particularly for inverse floaters than for shorter-term bonds. As a result, each Fund, to the extent it invests in long-term bonds and inverse floaters, is subject to such greater market risk.
Additional risks that could reduce each Fund’s performance or increase volatility include call risk, credit risk, derivatives risk, extension risk, governmental risk, industry risk, liquidity risk, market and portfolio management risks, state and territory risks, and taxability risk. Credit risk varies among states based upon the economic and fiscal conditions of each state and the municipalities within the state.
There is the risk that an issuer of a municipal bond may fail to make timely payments of principal or interest to a Fund, a risk that is greater with municipal bonds rated below investment grade (sometimes called “lower rated bonds” or “junk bonds”). High Yield invests a significant portion of its assets in such bonds. AMT Free and National may invest up to 35% and all other Funds (excluding High Yield) may invest up to 20% of their respective assets in such bonds. Some issuers, particularly of junk bonds, may default as to principal and/or interest payments after a Fund purchases their securities. A default, or concerns in the market about an increase in risk of default or the deterioration in the creditworthiness of an issuer, may result in losses to the Fund. Junk bonds are considered predominantly speculative by traditional investment standards. In addition, the market for lower rated municipal bonds generally is less liquid than the market for higher rated bonds, subjecting them to greater price fluctuations which could result in losses.
Each of High Yield, California, New Jersey and New York is non-diversified, which means that it may invest a greater portion of its assets in a single issuer than a diversified fund. Thus, it may be exposed to greater risk.
Because each of California, New Jersey and New York focuses on a particular state or territory, each Fund’s performance may be more affected by local, state and regional factors than a Fund that invests in municipal bonds issued in many states. These factors may include, for example, economic or political developments, erosion of the tax base and the possibility of credit problems. In addition, downturns or developments in the U.S. economy or in foreign economies or significant world events may harm the performance of any of the Funds (including Short Duration, Intermediate, AMT Free, National, and High Yield), and may do so disproportionately as a result of the corresponding disproportionate impact of such occurrences on particular state, territory, or local economies.
Each Fund (except AMT Free and High Yield) may invest up to 20% of its net assets in private activity bonds (sometimes called “AMT paper”). AMT Free may not invest in AMT paper. High Yield
180
Notes to Financial Statements (continued)
may invest up to 100% of its net assets in AMT paper. The credit quality of such bonds usually is directly related to the credit standing of the private user of the facilities.
Each Fund may invest no more than 20% of its net assets in TOB Residuals, except High Yield, which may invest up to 100% of its net assets in TOB Residuals. A TOB Residual, sometimes referred to as an inverse floater or a residual interest bond (“RIB”), is a type of “derivative” debt instrument with a floating or variable interest rate that moves in the opposite direction of the interest rate on another specific fixed-rate security (“specific fixed-rate security”). Changes in the interest rate on the specific fixed-rate security inversely affect the residual interest paid on the TOB Residual, with the result that when interest rates rise, TOB Residuals’ interest payments are lowered and their value falls faster than securities similar to the specific fixed-rate security. When interest rates fall, not only do TOB Residuals generally provide interest payments that are higher than securities similar to the specific fixed-rate security, but their values generally also rise faster than such similar securities.
In addition, loss may result from a Fund’s investments in certain derivative transactions such as futures contracts, swap transactions, interest rate caps, inverse floaters and similar transactions. These instruments may be leveraged so that small changes may produce disproportionate and substantial losses to the Fund. They also may increase a Fund’s interest rate risk.
Each Fund may purchase securities on a forward commitment or when-issued basis. Delivery and payment for such securities can take place a month or more after the transaction date. During this period such securities are subject to market fluctuations.
| 12. | SUMMARY OF CAPITAL TRANSACTIONS |
Transactions in shares of capital stock were as follows:
| Short Duration | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 40,427,080 | $ | 642,925,053 | 42,634,932 | $ | 677,233,559 | ||||||||||
| Reinvestment of distributions | 917,815 | 14,572,874 | 962,340 | 15,283,241 | ||||||||||||
| Shares reacquired | (41,978,110 | ) | (666,124,307 | ) | (27,890,001 | ) | (442,708,942 | ) | ||||||||
| Increase (decrease) | (633,215 | ) | $ | (8,626,380 | ) | 15,707,271 | $ | 249,807,858 | ||||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 6,098,242 | $ | 96,872,477 | 6,990,353 | $ | 111,023,211 | ||||||||||
| Reinvestment of distributions | 83,037 | 1,319,056 | 102,850 | 1,632,797 | ||||||||||||
| Shares reacquired | (6,663,608 | ) | (105,666,893 | ) | (3,894,296 | ) | (61,852,259 | ) | ||||||||
| Increase (decrease) | (482,329 | ) | $ | (7,475,360 | ) | 3,198,907 | $ | 50,803,749 | ||||||||
| Class F Shares | ||||||||||||||||
| Shares sold | 40,838,069 | $ | 648,324,294 | 37,232,554 | $ | 591,634,817 | ||||||||||
| Reinvestment of distributions | 282,655 | 4,488,181 | 274,754 | 4,364,848 | ||||||||||||
| Shares reacquired | (37,007,827 | ) | (587,157,501 | ) | (16,502,555 | ) | (262,303,705 | ) | ||||||||
| Increase | 4,112,897 | $ | 65,654,974 | 21,004,753 | $ | 333,695,960 | ||||||||||
| Class I Shares | ||||||||||||||||
| Shares sold | 5,227,262 | $ | 82,454,947 | 2,584,913 | $ | 41,036,826 | ||||||||||
| Reinvestment of distributions | 24,935 | 395,562 | 15,568 | 247,626 | ||||||||||||
| Shares reacquired | (2,402,569 | ) | (38,131,149 | ) | (1,553,382 | ) | (24,693,271 | ) | ||||||||
| Increase | 2,849,628 | $ | 44,719,360 | 1,047,099 | $ | 16,591,181 | ||||||||||
181
Notes to Financial Statements (continued)
| Intermediate | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 73,834,189 | $ | 809,597,096 | 93,112,669 | $ | 1,002,185,243 | ||||||||||
| Converted from Class B* | 24,921 | 270,660 | 34,912 | 375,792 | ||||||||||||
| Reinvestment of distributions | 4,173,006 | 45,271,282 | 3,565,467 | 38,478,162 | ||||||||||||
| Shares reacquired | (91,435,385 | ) | (985,095,405 | ) | (40,951,426 | ) | (439,417,803 | ) | ||||||||
| Increase (decrease) | (13,403,269 | ) | $ | (129,956,367 | ) | 55,761,622 | $ | 601,621,394 | ||||||||
| Class B Shares | ||||||||||||||||
| Shares sold | 48,010 | $ | 522,066 | 29,128 | $ | 313,376 | ||||||||||
| Reinvestment of distributions | 6,043 | 65,556 | 8,701 | 93,516 | ||||||||||||
| Shares reacquired | (131,802 | ) | (1,423,668 | ) | (85,187 | ) | (913,705 | ) | ||||||||
| Converted to Class A* | (24,943 | ) | (270,660 | ) | (34,944 | ) | (375,792 | ) | ||||||||
| Decrease | (102,692 | ) | $ | (1,106,706 | ) | (82,302 | ) | $ | (882,605 | ) | ||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 17,160,063 | $ | 188,293,927 | 26,726,818 | $ | 287,280,002 | ||||||||||
| Reinvestment of distributions | 865,592 | 9,374,231 | 775,821 | 8,358,675 | ||||||||||||
| Shares reacquired | (21,169,831 | ) | (226,914,490 | ) | (7,103,145 | ) | (76,377,675 | ) | ||||||||
| Increase (decrease) | (3,144,176 | ) | $ | (29,246,332 | ) | 20,399,494 | $ | 219,261,002 | ||||||||
| Class F Shares | ||||||||||||||||
| Shares sold | 52,836,876 | $ | 578,923,973 | 55,913,926 | $ | 600,833,634 | ||||||||||
| Reinvestment of distributions | 1,256,977 | 13,635,709 | 973,940 | 10,522,333 | ||||||||||||
| Shares reacquired | (60,041,670 | ) | (643,628,093 | ) | (17,386,747 | ) | (187,081,406 | ) | ||||||||
| Increase (decrease) | (5,947,817 | ) | $ | (51,068,411 | ) | 39,501,119 | $ | 424,274,561 | ||||||||
| Class I Shares | ||||||||||||||||
| Shares sold | 3,793,533 | $ | 41,289,609 | 3,505,459 | $ | 37,682,400 | ||||||||||
| Reinvestment of distributions | 59,182 | 642,548 | 23,494 | 255,009 | ||||||||||||
| Shares reacquired | (2,231,633 | ) | (24,331,370 | ) | (362,249 | ) | (3,939,197 | ) | ||||||||
| Increase | 1,621,082 | $ | 17,600,787 | 3,166,704 | $ | 33,998,212 | ||||||||||
| Class P Shares | ||||||||||||||||
| Reinvestment of distributions | 33.437 | $ | 358 | 37.982 | $ | 409 | ||||||||||
| Increase | 33.437 | $ | 358 | 37.982 | $ | 409 | ||||||||||
| AMT Free | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 4,771,823 | $ | 78,414,729 | 5,125,553 | $ | 80,830,989 | ||||||||||
| Reinvestment of distributions | 247,248 | 3,963,850 | 159,905 | 2,542,938 | ||||||||||||
| Shares reacquired | (4,985,348 | ) | (79,318,161 | ) | (2,341,903 | ) | (37,010,690 | ) | ||||||||
| Increase | 33,723 | $ | 3,060,418 | 2,943,555 | $ | 46,363,237 | ||||||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 722,547 | $ | 11,927,539 | 1,004,269 | $ | 15,895,353 | ||||||||||
| Reinvestment of distributions | 26,115 | 418,440 | 12,078 | 192,957 | ||||||||||||
| Shares reacquired | (546,636 | ) | (8,626,986 | ) | (70,344 | ) | (1,119,948 | ) | ||||||||
| Increase | 202,026 | $ | 3,718,993 | 946,003 | $ | 14,968,362 | ||||||||||
182
Notes to Financial Statements (continued)
| AMT Free | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class F Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 1,322,162 | $ | 21,691,638 | 1,972,709 | $ | 31,322,368 | ||||||||||
| Reinvestment of distributions | 37,137 | 598,767 | 14,665 | 235,359 | ||||||||||||
| Shares reacquired | (2,102,645 | ) | (33,491,915 | ) | (249,847 | ) | (3,989,887 | ) | ||||||||
| Increase (decrease) | (743,346 | ) | $ | (11,201,510 | ) | 1,737,527 | $ | 27,567,840 | ||||||||
| Class I Shares | ||||||||||||||||
| Shares sold | 1,218 | $ | 20,000 | 893,026 | $ | 14,222,738 | ||||||||||
| Reinvestment of distributions | 3,753 | 62,133 | 59 | 948 | ||||||||||||
| Shares reacquired | (508,734 | ) | (8,219,791 | ) | (382,874 | ) | (6,150,000 | ) | ||||||||
| Increase (decrease) | (503,763 | ) | $ | (8,137,658 | ) | 510,211 | $ | 8,073,686 | ||||||||
| National | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 26,550,235 | $ | 305,968,554 | 28,420,946 | $ | 315,267,233 | ||||||||||
| Converted from Class B* | 64,076 | 728,359 | 120,130 | 1,323,114 | ||||||||||||
| Reinvestment of distributions | 4,876,144 | 55,115,049 | 5,018,202 | 55,496,738 | ||||||||||||
| Shares reacquired | (42,882,010 | ) | (478,436,502 | ) | (20,036,068 | ) | (220,598,682 | ) | ||||||||
| Increase (decrease) | (11,391,555 | ) | $ | (116,624,540 | ) | 13,523,210 | $ | 151,488,403 | ||||||||
| Class B Shares | ||||||||||||||||
| Shares sold | 24,447 | $ | 281,007 | 31,421 | $ | 339,685 | ||||||||||
| Reinvestment of distributions | 13,624 | 154,992 | 21,004 | 232,543 | ||||||||||||
| Shares reacquired | (133,874 | ) | (1,496,893 | ) | (130,923 | ) | (1,450,927 | ) | ||||||||
| Converted to Class A* | (63,765 | ) | (728,359 | ) | (119,536 | ) | (1,323,114 | ) | ||||||||
| Decrease | (159,568 | ) | $ | (1,789,253 | ) | (198,034 | ) | $ | (2,201,813 | ) | ||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 4,467,729 | $ | 51,718,089 | 5,516,258 | $ | 61,212,972 | ||||||||||
| Reinvestment of distributions | 396,175 | 4,482,770 | 371,609 | 4,118,872 | ||||||||||||
| Shares reacquired | (6,871,545 | ) | (76,530,016 | ) | (2,242,441 | ) | (24,765,890 | ) | ||||||||
| Increase (decrease) | (2,007,641 | ) | $ | (20,329,157 | ) | 3,645,426 | $ | 40,565,954 | ||||||||
| Class F Shares | ||||||||||||||||
| Shares sold | 6,886,175 | $ | 79,063,508 | 5,825,691 | $ | 64,453,660 | ||||||||||
| Reinvestment of distributions | 286,662 | 3,242,014 | 210,971 | 2,341,872 | ||||||||||||
| Shares reacquired | (8,114,480 | ) | (89,985,759 | ) | (2,388,365 | ) | (26,257,268 | ) | ||||||||
| Increase (decrease) | (941,643 | ) | $ | (7,680,237 | ) | 3,648,297 | $ | 40,538,264 | ||||||||
| Class I Shares | ||||||||||||||||
| Shares sold | 76,223 | $ | 884,418 | 5,686 | $ | 65,206 | ||||||||||
| Reinvestment of distributions | 1,680 | 18,732 | 62 | 695 | ||||||||||||
| Shares reacquired | (16,832 | ) | (179,066 | ) | — | — | ||||||||||
| Increase | 61,071 | $ | 724,084 | 5,748 | $ | 65,901 | ||||||||||
183
Notes to Financial Statements (continued)
| High Yield | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 40,708,559 | $ | 481,261,804 | 33,169,150 | $ | 380,677,984 | ||||||||||
| Converted from Class B* | 1,003 | 12,204 | — | — | ||||||||||||
| Reinvestment of distributions | 4,316,702 | 50,978,450 | 3,917,450 | 44,772,742 | ||||||||||||
| Shares reacquired | (46,215,107 | ) | (539,890,865 | ) | (20,893,388 | ) | (235,241,433 | ) | ||||||||
| Increase (decrease) | (1,188,843 | ) | $ | (7,638,407 | ) | 16,193,212 | $ | 190,209,293 | ||||||||
| Class B Shares | ||||||||||||||||
| Reinvestment of distributions | 6 | $ | 78 | 44.665 | $ | 512 | ||||||||||
| Shares reacquired | (3 | ) | (44 | ) | — | — | ||||||||||
| Converted to Class A* | (1,002 | ) | (12,204 | ) | — | — | ||||||||||
| Increase (decrease) | (999 | ) | $ | (12,170 | ) | 44.665 | $ | 512 | ||||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 7,547,244 | $ | 91,004,457 | 9,914,109 | $ | 113,874,665 | ||||||||||
| Reinvestment of distributions | 1,264,557 | 14,948,397 | 1,321,792 | 15,090,829 | ||||||||||||
| Shares reacquired | (15,655,364 | ) | (183,113,266 | ) | (7,844,922 | ) | (88,941,259 | ) | ||||||||
| Increase (decrease) | (6,843,563 | ) | $ | (77,160,412 | ) | 3,390,979 | $ | 40,024,235 | ||||||||
| Class F Shares | ||||||||||||||||
| Shares sold | 19,096,685 | $ | 230,409,225 | 12,839,207 | $ | 147,250,418 | ||||||||||
| Reinvestment of distributions | 725,875 | 8,590,763 | 520,235 | 5,968,087 | ||||||||||||
| Shares reacquired | (20,568,708 | ) | (241,506,034 | ) | (7,512,729 | ) | (85,432,106 | ) | ||||||||
| Increase (decrease) | (746,148 | ) | $ | (2,506,046 | ) | 5,846,713 | $ | 67,786,399 | ||||||||
| Class I Shares | ||||||||||||||||
| Shares sold | 325,375 | $ | 3,920,159 | 90,432 | $ | 1,043,602 | ||||||||||
| Reinvestment of distributions | 5,621 | 66,285 | 1,050 | 12,256 | ||||||||||||
| Shares reacquired | (260,895 | ) | (3,116,006 | ) | (159,093 | ) | (1,854,911 | ) | ||||||||
| Increase (decrease) | 70,101 | $ | 870,438 | (67,611 | ) | $ | (799,053 | ) | ||||||||
| Class P Shares | ||||||||||||||||
| Reinvestment of distributions | 48 | $ | 565 | 51.365 | $ | 591 | ||||||||||
| Increase | 48 | $ | 565 | 51.365 | $ | 591 | ||||||||||
| California | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 3,767,244 | $ | 40,401,981 | 4,558,879 | $ | 47,597,103 | ||||||||||
| Reinvestment of distributions | 512,794 | 5,423,959 | 502,520 | 5,218,897 | ||||||||||||
| Shares reacquired | (5,608,736 | ) | (58,454,980 | ) | (2,442,508 | ) | (25,218,536 | ) | ||||||||
| Increase (decrease) | (1,328,698 | ) | $ | (12,629,040 | ) | 2,618,891 | $ | 27,597,464 | ||||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 909,491 | $ | 9,782,806 | 1,239,388 | $ | 12,927,225 | ||||||||||
| Reinvestment of distributions | 76,201 | 806,615 | 69,196 | 719,790 | ||||||||||||
| Shares reacquired | (1,251,815 | ) | (13,058,316 | ) | (531,315 | ) | (5,515,593 | ) | ||||||||
| Increase (decrease) | (266,123 | ) | $ | (2,468,895 | ) | 777,269 | $ | 8,131,422 | ||||||||
184
Notes to Financial Statements (continued)
| California | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class F Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 1,127,752 | $ | 12,121,904 | 1,195,948 | $ | 12,474,687 | ||||||||||
| Reinvestment of distributions | 47,176 | 499,076 | 36,780 | 382,961 | ||||||||||||
| Shares reacquired | (1,123,161 | ) | (11,731,883 | ) | (625,484 | ) | (6,533,390 | ) | ||||||||
| Increase | 51,767 | $ | 889,097 | 607,244 | $ | 6,324,258 | ||||||||||
| Class I Shares | ||||||||||||||||
| Reinvestment of distributions | 45 | $ | 469 | 49 | $ | 513 | ||||||||||
| Increase | 45 | $ | 469 | 49 | $ | 513 | ||||||||||
| New Jersey | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 3,764,261 | $ | 19,106,426 | 8,392,260 | $ | 40,514,369 | ||||||||||
| Reinvestment of distributions | 634,657 | 3,142,480 | 782,762 | 3,836,105 | ||||||||||||
| Shares reacquired | (5,118,826 | ) | (24,775,700 | ) | (6,583,445 | ) | (31,927,739 | ) | ||||||||
| Increase (decrease) | (719,908 | ) | $ | (2,526,794 | ) | 2,591,577 | $ | 12,422,735 | ||||||||
| Class F Shares | ||||||||||||||||
| Shares sold | 495,293 | $ | 2,499,625 | 1,041,622 | $ | 5,116,257 | ||||||||||
| Reinvestment of distributions | 29,795 | 147,596 | 24,444 | 120,686 | ||||||||||||
| Shares reacquired | (958,148 | ) | (4,582,960 | ) | (448,666 | ) | (2,207,709 | ) | ||||||||
| Increase (decrease) | (433,060 | ) | $ | (1,935,739 | ) | 617,400 | $ | 3,029,234 | ||||||||
| Class I Shares | ||||||||||||||||
| Reinvestment of distributions | 91 | $ | 451 | 98 | $ | 485 | ||||||||||
| Increase | 91 | $ | 451 | 98 | $ | 485 | ||||||||||
| New York | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 6,157,810 | $ | 70,282,466 | 6,773,327 | $ | 75,297,315 | ||||||||||
| Reinvestment of distributions | 712,573 | 7,934,450 | 610,578 | 6,745,539 | ||||||||||||
| Shares reacquired | (7,203,158 | ) | (79,186,772 | ) | (2,571,509 | ) | (28,328,743 | ) | ||||||||
| Increase (decrease) | (332,775 | ) | $ | (969,856 | ) | 4,812,396 | $ | 53,714,111 | ||||||||
| Class C Shares | ||||||||||||||||
| Shares sold | 912,372 | $ | 10,354,785 | 1,339,145 | $ | 14,844,381 | ||||||||||
| Reinvestment of distributions | 77,383 | 860,498 | 73,210 | 807,397 | ||||||||||||
| Shares reacquired | (1,155,453 | ) | (12,690,140 | ) | (604,643 | ) | (6,677,400 | ) | ||||||||
| Increase (decrease) | (165,698 | ) | $ | (1,474,857 | ) | 807,712 | $ | 8,974,378 | ||||||||
| Class F Shares | ||||||||||||||||
| Shares sold | 1,032,465 | $ | 11,720,929 | 918,529 | $ | 10,111,498 | ||||||||||
| Reinvestment of distributions | 33,901 | 377,885 | 29,164 | 323,460 | ||||||||||||
| Shares reacquired | (924,924 | ) | (10,157,826 | ) | (240,832 | ) | (2,670,085 | ) | ||||||||
| Increase | 141,442 | $ | 1,940,988 | 706,861 | $ | 7,764,873 | ||||||||||
185
Notes to Financial Statements (concluded)
| New York | Year Ended September 30, 2013 | Year Ended September 30, 2012 | ||||||||||||||
| Class I Shares | Shares | Amount | Shares | Amount | ||||||||||||
| Shares sold | 30,837 | $ | 350,000 | 22,038 | $ | 250,000 | ||||||||||
| Reinvestment of distributions | 1,405 | 15,483 | 192 | 2,164 | ||||||||||||
| Shares reacquired | (96 | ) | (1,083 | ) | — | — | ||||||||||
| Increase | 32,146 | $ | 364,400 | 22,230 | $ | 252,164 | ||||||||||
| * | Automatic conversion of Class B shares occurs on the 25th day of the month (or, if the 25th day is not a business day, the next business day thereafter) following the eighth anniversary of the day on which the purchase order was accepted. |
| 13. | RECENT ACCOUNTING STANDARD |
In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2011–11 “Disclosures about Offsetting Assets and Liabilities” (“ASU 2011–11”). This disclosure requirement is intended to help investors and other financial statement users better assess the effect or potential effect of offsetting arrangements on a fund’s financial position. ASU 2011–11 requires entities to disclose both gross and net information about both instruments and transactions eligible for offset in the statement of assets and liabilities; and disclose instruments and transactions subject to an agreement similar to a master netting agreement. In addition, in January 2013, FASB issued Accounting Standards Update No. 2013–01 “Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities” (“ASU 2013–01”), specifying exactly which transactions are subject to disclosures about offsetting. ASU 2011–11 and ASU 2013–01 are effective for public entities for interim and annual periods beginning on or after January 1, 2013. Management is currently evaluating the impact the adoption of ASU 2011–11 and ASU 2013–01 will have on the Funds’ financial statement disclosures.
186
Report of Independent Registered Public Accounting Firm
To the Board of Directors of Lord Abbett Municipal Income Fund, Inc. and the Shareholders of Lord Abbett Short Duration Tax Free Fund, Lord Abbett Intermediate Tax Free Fund, Lord Abbett AMT Free Municipal Bond Fund, Lord Abbett National Tax-Free Income Fund, Lord Abbett High Yield Municipal Bond Fund, Lord Abbett California Tax-Free Income Fund, Lord Abbett New Jersey Tax-Free Income Fund and Lord Abbett New York Tax-Free Income Fund:
We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Lord Abbett Municipal Income Fund, Inc. (the “Company”) comprising the Lord Abbett Short Duration Tax Free Fund, Lord Abbett Intermediate Tax Free Fund, Lord Abbett AMT Free Municipal Bond Fund, Lord Abbett National Tax-Free Income Fund, Lord Abbett High Yield Municipal Bond Fund, Lord Abbett California Tax-Free Income Fund, Lord Abbett New Jersey Tax-Free Income Fund, and Lord Abbett New York Tax-Free Income Fund (collectively, the “Funds”), as of September 30, 2013, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented. These financial statements and financial highlights are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of September 30, 2013, by correspondence with the custodian and brokers; where replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds constituting the Lord Abbett Municipal Income Fund, Inc. as of September 30, 2013, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America.
DELOITTE & TOUCHE LLP
New York, New York
November 26, 2013
187
Basic Information About Management
The Board is responsible for the management of the business and affairs of the Company in accordance with the laws of the State of Maryland. The Board elects officers who are responsible for the day-to-day operations of each Fund and who execute policies authorized by the Board. The Board also approves an investment adviser to each Fund and continues to monitor the cost and quality of the services the investment adviser provides, and annually considers whether to renew the contract with the adviser. Generally, each Director holds office until his/her successor is elected and qualified or until his/her earlier resignation or removal, as provided in the Company’s organizational documents.
Lord Abbett, a Delaware limited liability company, is the Company’s investment adviser. Designated Lord Abbett personnel are responsible for the day-to-day management of the Funds.
Interested Director
Ms. Foster is affiliated with Lord Abbett and is an “interested person” of the Company as defined in the Act. Ms. Foster is a director/trustee and officer of each of the 12 Lord Abbett-sponsored funds, which consist of 55 portfolios or series.
| Name, Address and Year of Birth |
Current Position and Length of Service with the Company |
Principal
Occupation and Other Directorships During the Past Five Years | ||
| Daria L. Foster Lord, Abbett & Co. LLC 90 Hudson Street Jersey City, NJ 07302 (1954) |
Director and President since 2006; Chief Executive Officer since 2012 |
Principal Occupation: Managing Partner of Lord Abbett (since 2007), and was formerly Director of Marketing and Client Service, joined Lord Abbett in 1990. | ||
| Other Directorships: None. |
Independent Directors
The following Independent Directors also are directors/trustees of each of the 12 Lord Abbett-sponsored funds, which consist of 56 portfolios or series.
| Name,
Address and Year of Birth |
Current Position and Length of Service with the Company |
Principal Occupation and Other Directorships During the Past Five Years | ||
| E. Thayer Bigelow Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1941) |
Director since 1994; Chairman since 2013 |
Principal Occupation: Managing General Partner, Bigelow Media, LLC (since 2000); Senior Adviser, Time Warner Inc. (1998 - 2000). Other Directorships: Currently serves as director of Crane Co. (since 1984) and Huttig Building Products Inc. (since 1998). Previously served as a director of R.H. Donnelley Inc. (2009 - 2010). | ||
| Robert B. Calhoun, Jr. Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1942) |
Director since 1998 | Principal
Occupation: Senior Advisor of Monitor Clipper Partners, a private equity investment fund (since 1997); President of Clipper
Asset Management Corp. (1991 - 2009). Other Directorships: Previously served as a director of Interstate Bakeries Corp. (1991 - 2008). |
188
Basic Information About Management (continued)
| Name,
Address and Year of Birth |
Current Position and Length of Service with the Company |
Principal
Occupation and Other Directorships During the Past Five Years | ||
| Evelyn E. Guernsey Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1955) |
Director since 2011 | Principal Occupation: CEO, Americas of J.P. Morgan Asset Management (2004 - 2010). Other Directorships: None. | ||
| Julie A. Hill Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1946) |
Director since 2004 | Principal
Occupation: Owner and CEO of The Hill Company, a business consulting firm (since 1998). Other Directorships: Currently serves as director of WellPoint, Inc., a health benefits company (since 1994). Previously served as a director of Lend Lease Corporation Limited, an international retail and residential property group (2006 - 2012). | ||
| Franklin W. Hobbs Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1947) |
Director since 2000 | Principal Occupation: Advisor of One Equity Partners, a private equity firm (since 2004). Other Directorships: Currently serves as director and Chairman of the Board of Ally Financial Inc., a financial services firm (since 2009), and as director of Molson Coors Brewing Company (since 2002). | ||
| James M. McTaggart Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1947) |
Director since 2012 | Principal Occupation: Independent management advisor and consultant (since 2012); Vice President, CRA International, Inc. (doing business as Charles River Associates), a global management consulting firm (2009 - 2012); Founder and Chairman of Marakon Associates, Inc., a strategy consulting firm (1978 - 2009); and Officer and Director of Trinsum Group, a holding company (2007 - 2009). Other Directorships: Currently serves as director of Blyth, Inc., a home products company (since 2004). | ||
| James L.L. Tullis Lord, Abbett & Co. LLC c/o Legal Dept. 90 Hudson Street Jersey City, NJ 07302 (1947) |
Director since 2006 | Principal
Occupation: CEO of Tullis-Dickerson and Co. Inc., a venture capital management firm (since 1990). Other Directorships: Currently serves as director of Crane Co. (since 1998). Previously served as a director of Synageva BioPharma Corp., a biopharmaceutical company (2009 - 2011). |
189
Basic Information About Management (continued)
Officers
None of the officers listed below have received compensation from the Company. All of the officers of the Company also may be officers of the other Lord Abbett-sponsored funds and maintain offices at 90 Hudson Street, Jersey City, NJ 07302. Unless otherwise indicated, the position(s) and title(s) listed under the “Principal Occupation During the Past Five Years” column indicate each officer’s position(s) and title(s) with Lord Abbett.
| Name and Year of Birth |
Current
Position with the Company |
Length
of Service of Current Position |
Principal Occupation During the Past Five Years | |||
| Daria L. Foster (1954) |
President and Chief Executive Officer |
Elected as President in 2006 and Chief Executive Officer in 2012 | Managing Partner of Lord Abbett (since 2007), and was formerly Director of Marketing and Client Service, joined Lord Abbett in 1990. | |||
| Robert I. Gerber (1954) |
Executive Vice President | Elected in 2006 | Partner and Chief Investment Officer (since 2007), joined Lord Abbett in 1997 as Director of Taxable Fixed Income Management. | |||
| Daniel S. Solender (1965) |
Executive Vice President | Elected in 2006 | Partner and Director, joined Lord Abbett in 2006. | |||
| Joan A. Binstock (1954) |
Chief Financial Officer and Vice President |
Elected in 1999 | Partner and Chief Operations Officer, joined Lord Abbett in 1999. | |||
| John K. Forst (1960) |
Vice President and Assistant Secretary |
Elected in 2005 | Partner and Deputy General Counsel, joined Lord Abbett in 2004. | |||
| Philip B. Herman (1977) |
Vice President | Elected in 2010 | Portfolio Manager, joined Lord Abbett in 2007. | |||
| Lawrence H. Kaplan (1957) |
Chief Compliance Officer, Vice President and Secretary |
Elected as Vice President and Secretary in 1997 and Chief Compliance Officer in 2013 | Partner, General Counsel, and Chief Compliance Officer, joined Lord Abbett in 1997. | |||
| Paul A. Langlois (1968) |
Vice President | Elected in 2012 | Portfolio Manager, joined Lord Abbett in 2009 and was formerly a Senior Vice President and Investment Officer at J. & W. Seligman & Co. Incorporated and a Vice President and Analyst at Delaware Investments. | |||
| A. Edward Oberhaus, III (1959) |
Vice President | Elected in 1996 | Partner and Director, joined Lord Abbett in 1983. | |||
| Thomas R. Phillips (1960) |
Vice President and Assistant Secretary |
Elected in 2008 | Partner and Deputy General Counsel, joined Lord Abbett in 2006. |
190
Basic Information About Management (concluded)
| Name and Year of Birth |
Current
Position with the Company |
Length of Service of Current Position |
Principal Occupation During the Past Five Years | |||
| Lawrence
B. Stoller (1963) |
Vice President and Assistant Secretary |
Elected in 2007 | Partner and Senior Deputy General Counsel, joined Lord Abbett in 2007. | |||
| Daniel T. Vande Velde (1967) |
Vice President | Elected in 2008 | Partner and Portfolio Manager, joined Lord Abbett in 2007. | |||
| Scott S. Wallner (1955) |
AML Compliance Officer | Elected in 2011 | Assistant General Counsel, joined Lord Abbett in 2004. | |||
| Bernard J. Grzelak (1971) |
Treasurer | Elected in 2003 | Partner and Director of Fund Administration, joined Lord Abbett in 2003. |
Please call 888-522-2388 for a copy of the statement of additional information, which contains further information about the Company’s Directors. It is available free upon request.
191
Householding
The Company has adopted a policy that allows it to send only one copy of each Fund’s prospectus, proxy material, annual report and semiannual report to certain shareholders residing at the same “household.” This reduces Fund expenses, which benefits you and other shareholders. If you need additional copies or do not want your mailings to be “householded,” please call Lord Abbett at 888-522-2388 or send a written request with your name, the name of your fund or funds and your account number or numbers to Lord Abbett Family of Funds, P.O. Box 219336, Kansas City, MO 64121.
Proxy Voting Policies, Procedures and Records
A description of the policies and procedures that Lord Abbett uses to vote proxies related to each Fund’s portfolio securities, and information on how Lord Abbett voted each Fund’s proxies during the 12-month period ended June 30 are available without charge, upon request, (i) by calling 888-522-2388; (ii) on Lord Abbett’s Website at www.lordabbett.com; and (iii) on the Securities and Exchange Commission’s (“SEC”) Website at www.sec.gov.
Shareholder Reports and Quarterly Portfolio Disclosure
The Funds are required to file their complete schedule of portfolio holdings with the SEC for their first and third fiscal quarters on Form N-Q. Copies of the filings are available without charge, upon request on the SEC’s Website at www.sec.gov and may be available by calling Lord Abbett at 888-522-2388. You can also obtain copies of Form N-Q by visiting the SEC’s Public Reference Room in Washington, DC (information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330).
Tax Information
100% of the income distributions paid by Short Duration, Intermediate, New Jersey and New York during the fiscal year ended September 30, 2013 is tax-exempt dividend income.
99% of the income distributions paid by AMT Free, National, High Yield and California during the fiscal year ended September 30, 2013 is tax-exempt dividend income.
Of the distributions paid by Short Duration to shareholders during the fiscal year ended September 30, 2013, $1,187,055 represents long-term capital gains.
192
 |
Lord Abbett Municipal Income Fund, Inc. | ||
| Lord Abbett Short Duration Tax Free Fund | |||
| Lord Abbett Intermediate Tax Free Fund | |||
|
|
Lord Abbett AMT Free Municipal Bond Fund Lord Abbett National Tax-Free Income Fund Lord Abbett High Yield Municipal Bond Fund Lord Abbett California Tax-Free Income Fund Lord Abbett New Jersey Tax-Free Income Fund Lord Abbett New York Tax-Free Income Fund |
LATFI-2-0913 (11/13) |
| Item 2: | Code of Ethics. |
| (a) | In accordance with applicable requirements, the Registrant adopted a Sarbanes-Oxley Code of Ethics on June 19, 2003 that applies to the principal executive officer and senior financial officers of the Registrant (“Code of Ethics”). The Code of Ethics was in effect during the fiscal year ended September 30, 2013 (the “Period”). | |
| (b) | Not applicable. | |
| (c) | The Registrant has not amended the Code of Ethics as described in Form N-CSR during the Period. | |
| (d) | The Registrant has not granted any waiver, including an implicit waiver, from a provision of the Code of Ethics as described in Form N-CSR during the Period. | |
| (e) | Not applicable. | |
| (f) | See Item 12(a)(1) concerning the filing of the Code of Ethics. |
| Item 3: | Audit Committee Financial Expert. |
| The Registrant’s board of directors has determined that each of the following independent directors who are members of the audit committee is an audit committee financial expert: E. Thayer Bigelow and Robert B. Calhoun, Jr. Each of these persons is independent within the meaning of the Form N-CSR. |
| Item 4: | Principal Accountant Fees and Services. |
In response to sections (a), (b), (c) and (d) of Item 4, the aggregate fees billed to the Registrant for the fiscal years ended September 30, 2013 and 2012 by the Registrant’s principal accounting firm, Deloitte & Touche LLP, the member firms of Deloitte Touche Tohmatsu and their respective affiliates (collectively, “Deloitte”) were as follows:
| Fiscal year ended: | ||||||||
| 2013 | 2012 | |||||||
| Audit Fees {a} | $ | 315,000 | $ | 308,000 | ||||
| Audit-Related Fees | - 0 - | - 0 - | ||||||
| Total audit and audit-related fees | 315,000 | 308,000 | ||||||
| Tax Fees {b} | 48,150 | 46,953 | ||||||
| All Other Fees | - 0 - | - 0 - | ||||||
| Total Fees | $ | 363,150 | $ | 354,953 | ||||
| {a} Consists of fees for audits of the Registrant’s annual financial statements. | |
| {b} Fees for the fiscal year ended September 30, 2013 and 2012 consist of fees for preparing the U.S. Income Tax Return for Regulated Investment Companies, New Jersey Corporation Business Tax Return, New Jersey Annual Report Form, U.S. Return of Excise Tax on Undistributed Income of Investment Companies, IRS Forms 1099-MISC and 1096 Annual Summary and Transmittal of U.S. Information Returns. |
(e) (1) Pursuant to Rule 2-01(c) (7) of Regulation S-X, the Registrant’s Audit Committee has adopted pre-approval policies and procedures. Such policies and procedures generally provide that the Audit Committee must pre-approve:
| · | any audit, audit-related, tax, and other services to be provided to the Lord Abbett Funds, including the Registrant, and | |
| · | any audit-related, tax, and other services to be provided to the Registrant’s investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to one or more Funds comprising the Registrant if the engagement relates directly to operations and financial reporting of a Fund, by the independent auditor to assure that the provision of such services does not impair the auditor’s independence. |
The Audit Committee has delegated pre-approval authority to its Chairman, subject to a fee limit of $10,000 per event, and not to exceed $25,000 annually. The Chairman will report any pre-approval decisions to the Audit Committee at its next scheduled meeting. Unless a type of service to be provided by the independent auditor has received general pre-approval, it must be pre-approved by the Audit Committee. Any proposed services exceeding pre-approved cost levels will require specific pre-approval by the Audit Committee.
(e) (2) The Registrant’s Audit Committee has approved 100% of the services described in this Item 4 (b) through (d).
(f) Not applicable.
(g) The aggregate non-audit fees billed by Deloitte for services rendered to the Registrant are shown above in the response to Item 4 (a), (b), (c) and (d) as “All Other Fees”.
The aggregate non-audit fees billed by Deloitte for services rendered to the Registrant’s investment adviser, Lord, Abbett & Co. LLC (“Lord Abbett”), for the fiscal years ended September 30, 2013 and 2012 were:
| Fiscal year ended: | ||||||||
| 2013 | 2012 | |||||||
| All Other Fees {a} | $ | 180,602 | $ | 170,618 | ||||
| {a} Consist of fees for Independent Services Auditors’ Report on Controls Placed in Operation and Tests of Operating Effectiveness related to Lord Abbett’s Asset Management Services (“SOC-1 Report”). |
The aggregate non-audit fees billed by Deloitte for services rendered to entities under the common control of Lord Abbett for the fiscal years ended September 30, 2013 and 2012 were:
| Fiscal year ended: | ||||||||
| 2013 | 2012 | |||||||
| All Other Fees | $ | - 0 - | $ | - 0 - | ||||
(h) The Registrant’s Audit Committee has considered the provision of non-audit services that were rendered to the Registrant’s investment adviser, and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Registrant, that were not pre-approved pursuant to Rule 2-01 (c)(7)(ii) of Regulation S-X and has determined that the provision of such services is compatible with maintaining Deloitte’s independence.
| Item 5: | Audit Committee of Listed Registrants. |
| Not applicable. | |
| Item 6: | Investments. |
| Not applicable. | |
| Item 7: | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. |
| Not applicable. | |
| Item 8: | Portfolio Managers of Closed-End Management Investment Companies. |
| Not applicable. | |
| Item 9: | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. |
| Not applicable. | |
| Item 10: | Submission of Matters to a Vote of Security Holders. |
| Not applicable. | |
| Item 11: | Controls and Procedures. |
| (a) | Based on their evaluation of the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) as of a date within 90 days prior to the filing date of this report, the Chief Executive Officer and Chief Financial Officer of the Registrant have concluded that such disclosure controls and procedures are reasonably designed and effective to |
| ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to them by others within those entities. | ||
| (b) | There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting. |
| Item 12: | Exhibits. |
| (a)(1) | The Lord Abbett Family of Funds Sarbanes Oxley Code of Ethics for the Principal Executive Officer and Senior Financial Officers is attached hereto as part of Ex-99. CODEETH. | |
| (a)(2) | Certification of each Principal Executive Officer and Principal Financial Officer of the Registrant as required by Rule 30a-2 under the Investment Company Act of 1940 is attached hereto as a part of EX-99.CERT. | |
| (b) | Certification of each Principal Executive Officer and Principal Financial Officer of the Registrant as required by Section 906 of the Sarbanes-Oxley Act of 2002 is provided as a part of EX-99.906CERT. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
LORD ABBETT MUNICIPAL INCOME FUND, INC.
| By: | /s/ Daria L. Foster | ||
| Daria L. Foster | |||
| President and Chief Executive Officer | |||
Date: November 22, 2013
| By: | /s/ Joan A. Binstock | ||
| Joan A. Binstock | |||
| Chief Financial Officer and Vice President | |||
Date: November 22, 2013
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.
| By: | /s/ Daria L. Foster | ||
| Daria L. Foster | |||
| President and Chief Executive Officer | |||
Date: November 22, 2013
| By: | /s/ Joan A. Binstock | ||
| Joan A. Binstock | |||
| Chief Financial Officer and Vice President | |||
Date: November 22, 2013