Nuveen Investment Funds, Inc.
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 811-05309
Nuveen Investment Funds, Inc.
(Exact name of registrant as specified in
charter)
Nuveen Investments
333 West Wacker Drive, Chicago, IL 60606
(Address of principal executive offices) (Zip code)
Christopher M. Rohrbacher
Vice President and Secretary
333 West Wacker Drive, Chicago, IL 60606
(Name and address of agent for
service)
Registrants telephone number, including area code: (312) 917-7700
Date of fiscal year end: October 31
Date of reporting period: April 30, 2019
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the
transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its
regulatory, disclosure review, inspection, and policy making roles.
A registrant is required to disclose the information
specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and
Budget (OMB) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss.3507.
Item 1. Reports to Stockholders.
Nuveen Equity Funds
Fund
Name |
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Nuveen
Dividend Value Fund |
FFEIX
|
FFECX
|
FEISX
|
FFEFX
|
FAQIX
|
Nuveen
Mid Cap Value Fund |
FASEX
|
FACSX
|
FMVSX
|
FMVQX
|
FSEIX
|
Nuveen
Small Cap Value Fund |
FSCAX
|
FSCVX
|
FSVSX
|
FSCWX
|
FSCCX
|
Beginning on January 1, 2021, as permitted by regulations
adopted by the Securities and Exchange Commission, paper copies of the Funds' annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports. Instead, the reports will be made
available on the Funds' website (www.nuveen.com), and you will be notified by mail each time a report is posted and provided with a website link to access the report.
If you have already elected to receive shareholder reports
electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from the Funds electronically anytime by contacting the financial intermediary (such as a
broker-dealer or bank) through which you hold your Fund shares or, if you are a direct investor, by enrolling at www.nuveen.com/e-reports.
You may elect to receive all future shareholder reports in
paper free of charge at any time by contacting your financial intermediary or, if you are a direct investor, by calling 800-257-8787 and selecting option #1. Your election to receive reports in paper will apply to all funds held in your account with
your financial intermediary or, if you are a direct investor, to all your directly held Nuveen Funds and any other directly held funds within the same group of related investment companies.
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If you receive your Nuveen Fund
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Must be preceded by or accompanied by a
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NOT FDIC INSURED MAY
LOSE VALUE NO BANK GUARANTEE
Chairman’s Letter to Shareholders
Dear Shareholders,
The worries weighing on markets at the end of 2018 appeared to
dissipate in early 2019 as positive economic and corporate earnings news, more dovish signals from central banks and trade progress boosted investor confidence. However, political noise and trade disputes have resurfaced in the headlines more
recently, knocking stock market indexes off their recent highs and rallying U.S. Treasury bonds and other safe-haven assets. Investors are concerned that increased tariffs and a protracted stalemate between the U.S. and China, Mexico and other
trading partners could dampen business and consumer sentiment, weakening spending and potentially impacting the global economy. Additionally, political uncertainty and the risk of policy error appear elevated. In the U.S. in particular, low interest
rate levels and the widening federal deficit have constrained the available policy tools for countering recessionary pressures. As the current U.S. economic expansion reaches the 10-year mark this summer, it’s important to note that economic
expansions don’t die of old age, but mature economic cycles can be more vulnerable to an exogenous shock.
Until a clearer picture on trade emerges, more bouts of market
turbulence are likely in the meantime. While the downside risks warrant careful monitoring, we believe the likelihood of a near-term recession remains low. Global economic growth is moderating, with demand driven by the historically low unemployment
in the U.S., Japan and across Europe. Central banks across the developed world continue to emphasize their readiness to adjust policy, and China’s authorities remain committed to keeping economic growth rates steady with fiscal and monetary
policy.
The opportunity set may be narrower, but there
is still scope for gains in this environment. Patience and maintaining perspective can help you weather periodic market volatility. We encourage you to work with your financial advisor to assess short-term market movements in the context of your
time horizon, risk tolerance and investment goals. On behalf of the other members of the Nuveen Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
Sincerely,
Terence J. Toth
Chairman of the Board
June 24, 2019
Portfolio Managers’
Comments
Nuveen Dividend Value
Fund
Nuveen Mid Cap Value Fund
Nuveen Small Cap Value Fund
These Funds feature portfolio management by Nuveen Asset
Management, LLC (NAM), an affiliate of Nuveen, LLC.
Throughout the reporting period, David Chalupnik, CFA, was the
portfolio manager for the Nuveen Dividend Value Fund. He joined the portfolio management team for the Fund in 2015. Effective March 19, 2019, Derek Sadowsky, CFA, was no longer a portfolio manager of the Nuveen Dividend Value Fund and Evan Staples,
CFA, was added as a portfolio manager.
Karen Bowie, CFA,
is the portfolio manager for the Nuveen Mid Cap Value Fund and the Nuveen Small Cap Value Fund. Karen assumed portfolio management responsibilities for the Nuveen Mid Cap Value Fund in 2012 and the Nuveen Small Cap Value Fund in 2006. David Johnson,
CFA, and Andrew Rem, CFA, joined the portfolio management team for the Nuveen Small Cap Value Fund in 2017.
On the following pages, the portfolio management teams for the
Funds discuss key investment strategies and the Funds’ performance for the six-month reporting period ended April 30, 2019.
Nuveen Dividend Value Fund
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year, ten-year and since inception periods ended April 30, 2019. Comparative performance information is provided for the Fund’s
Class A Shares at net asset value (NAV) only. The Fund’s Class A Shares at NAV underperformed the Russell 1000® Value Index, the S&P 500® and the Lipper Equity Income Funds Classification Average during the six-month reporting period.
What strategies were used to manage the Fund during the reporting
period and how did these strategies influence performance?
During the reporting period, we continued to implement the
Fund’s disciplined investment strategy. We seek to achieve consistent, long-term outperformance with lower volatility by building and managing a diversified portfolio of stocks with a focus on what we believe are attractively valued companies
with above average current income or dividend growth. We use an integrated, multi-perspective research and analysis approach that involves a team of portfolio managers, fundamental research analysts and quantitative analysts. The Fund’s
holdings exhibit attractive valuations and identifiable catalysts that we believe will offer the potential for future stock appreciation. The Fund is also actively managed in an effort to minimize distributed capital gains and maximize after-tax
returns using a typical investment horizon of at least two to three years. We adhere to portfolio guidelines to manage volatility and maintain diversification, generally selling a security if it no longer is expected to meet our dividend growth or
price appreciation expectations or if we find a better alternative in the marketplace.
The Fund’s underperformance versus the Russell 1000® Value benchmark and Lipper peers was primarily the result of stock selection in the health care, energy and consumer discretionary sectors. The
environment for health care stocks in particular was extremely challenging in early 2019 after uncertainties surrounding two proposals in Washington negatively impacted the sector. Company-specific
This material is not intended to be a recommendation or investment advice,
does not constitute a solicitation to buy, sell or hold a security or an investment strategy, and is not provided in a fiduciary capacity. The information provided does not take into account the specific objectives or circumstances of any particular
investor, or suggest any specific course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with his or her advisors.
Certain statements in this report are forward-looking
statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio managers as of
the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements and the views expressed herein are subject to change at any time, due to numerous market and other
factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
Refer to the Glossary of Terms Used in this Report for further
definition of the terms used within this section.
Portfolio Managers’ Comments (continued)
factors also weighed on several of the Fund’s holdings. For example,
Cigna Corporation reported a fourth-quarter 2018 earnings per share (EPS) figure that was generally in line with consensus; however, investors focused on guidance, which came in below expectations. The company is typically conservative in its
guidance and management indicated that Cigna remains on track to meet its 2021 EPS target. Management also continued to project confidence in the potential growth provided by the Express Scripts deal. Therefore, we maintained our position in Cigna
in the portfolio.
Shares of private insurer UnitedHealth
Group Inc. sold off sharply following a proposal by the Department of Health and Human Services to lower prescription drug prices by discontinuing the rebates that drug makers offer to insurance companies and pharmacy benefit managers (PBMs). These
rebates have been an important revenue stream for companies like UnitedHealth. Shares were pressured further after the “Medicare-for-All” bill was introduced in Congress, which offers a simplified health care system using a single-payer
model. While most analysts do not believe the legislation will become a reality in the near-to-intermediate term, its emergence in recent policy discussions has unnerved investors as Congress is pressured to reduce health care costs. We continued to
hold our position in UnitedHealth in the Fund.
Also in
health care, shares of retail pharmacy and PBM company CVS Health Corporation traded lower despite the company posting a solid fourth-quarter earnings report. The primary issue for CVS Health revolved around the firm’s 2019 guidance, which
came in well below analysts’ estimates. Management indicated that earnings from the retail segment are expected to be down double digits. Following the release, the stock was down and while the valuation has become more attractive, growth
visibility and confidence in management has fallen. Given a lack of near-term catalysts for the stock, we exited the Fund’s position in CVS Health.
In the energy sector, refiners such as HollyFrontier
Corporation experienced a pullback given falling oil prices earlier in the reporting period, global slowdown concerns and an increase in global refining capacity, which narrowed crude differentials. At recent valuation levels, HollyFrontier, a
producer of light petroleum products, was pricing in further margin pressure despite a more constructive outlook given tight domestic fuel inventories. We expect that overall global demand should start to strengthen in the second half of 2019 due to
higher highway travel expectations versus a year ago driven by employment and wage growth. Therefore, we have maintained the Fund’s position in HollyFrontier.
Also in energy, a position in independent exploration and
production (E&P) company Anadarko Petroleum Corporation detracted. Early in the reporting period, the company’s management reported quarterly results that were generally in line with consensus. Despite these results, the name traded lower
as falling oil prices weighed on sector sentiment. We sold our position in Anadarko Petroleum in early March 2019; however, its shares subsequently surged back because of merger and acquisition (M&A) interest as well as the company’s
strong first-quarter execution across most areas. Shortly after the end of the reporting period, Anadarko Petroleum announced it had agreed to be purchased by Occidental Petroleum Corporation, while terminating its previously announced merger
agreement with Chevron Corporation.
In the discretionary
sector, we saw weak results from Newell Brands Inc., a worldwide marketer of consumer and commercial products including more than 200 brands such as Rubbermaid, Graco, Paper Mate, Sunbeam and Coleman. The company reported a low quality earnings beat
aided by a lower tax rate as revenues missed and organic sales were below consensus. All three of Newell’s segments showed signs of weakness, but the company noted better-than-expected pricing and results from some of its new merchandising
initiatives. Revenue guidance for 2019 was also disappointing and based on negative low single-digit organic growth, and EPS guidance came in below expectations. Given what may be overly conservative guidance from management and the company’s
ability to implement cost take-outs, we continued to hold Newell Brands in the portfolio.
Finally, in the consumer staples sector, the Fund was hindered
by its position in Altria Group Inc., one of the world’s largest producers and marketers of tobacco, cigarettes and related products. Investors have become more skeptical of combustible volumes, pricing power, regulation and the values of
Altria’s recently purchased stakes in e-cigarette maker Juul and cannabis company Cronos. The concern is that the combination of these issues could potentially result in deteriorating cash flow and negative impacts on Altria’s dividend
among other things. We continue to hold Altria in the Fund’s portfolio given its attractive risk/reward profile at this point.
On the positive side of the equation, the Fund’s results
benefited from stock selection and an overweight position in the information technology sector. An underweight position in poorly performing health care area also proved helpful.
The technology sector featured a number of standout performers
during the reporting period led by a position in semiconductor firm Qualcomm Inc. We initiated a position in late February 2019 after poor sentiment presented an attractive buying opportunity and the stock subsequently rallied. While
Qualcomm’s licensing business remains a risk, the company is well positioned to benefit from the 5G upgrade and we continue to hold our position.
The Fund also saw strong results from Lam Research
Corporation, the designer and manufacturer of advanced wafer fab equipment (WFE) to the largest chip and memory companies in the world. The company delivered a beat in the quarter ending March 2019, supporting its prior quarter commentary that WFE
fundamentals and memory spending weakness should bottom out in the first half of 2019. This view has fueled a year-to-date recovery in Lam Research’s shares following last year’s downturn and China-driven sentiment softness. In the near
term, we will continue to watch memory pricing and cycle dynamics (DRAM and NAND) and China trade war news flow. Lam Research appears likely to continue to benefit long term as computing needs are rising with artificial intelligence (AI), autonomous
driving, cloud datacenter growth and other new technologies that are supporting new chip designs and continued chip demand. Therefore, we remain invested.
Also, Broadcom Inc. reported strong quarterly results
reflecting a beat on the top line, gross margin, EPS and free cash flow. Free cash flow margin expanded in 2018 and there is additional room for it to grow. Although not unexpected, Broadcom also announced a hefty dividend increase of 50% and is one
of the highest yielding stocks in the semiconductor sector. The combination of strong results, expected accretion, strong cash generation and increased return to shareholders led to the company’s positive stock movement during the reporting
period. We continued to hold Broadcom in the Fund.
Networking equipment provider Cisco Systems, Inc. reported
more favorable results for second quarter 2019 and saw broad-based strength across all products and geographies, with the one exception still being service provider weakness. Revenue was up and ahead of consensus as strength in switching, software
applications and security drove the beat. Also, guidance for revenue growth in the third quarter 2019 was above consensus and is anticipated to be sustainable with opportunities stemming from multi-cloud, 5G Mobility, 400 Gig and perhaps from the
Huawei backlash in China. Management’s tone remained upbeat against an increasingly uncertain backdrop, however, we continue to believe the trend toward multi-cloud favors Cisco Systems. The company also raised its dividend and increased its
planned stock buyback amount. For these and other reasons, we continued to hold Cisco Systems in the Fund.
Elsewhere in the Fund’s portfolio, a position in
independent investment banking and financial services firm Raymond James Financial Inc. was a positive contributor. The company reported quarterly EPS beats for the last quarter of 2018 and first quarter of 2019. A strong recovery in asset prices
earlier in 2019 offset declines in late 2018 and should be beneficial to commissions, which typically trail by a quarter. Raymond James also saw strength from M&A advisory fees, which helped offset softer equity underwriting in the latest
quarter. Net interest margin (NIM) also came in above expectations in the latest quarter as most firms did not pass along the Federal Reserve rate hike in December 2018. Investors will continue to watch expenses closely, which have been on a
positive trend, but have disappointed in the past. We continued to own Raymond James in the portfolio.
Finally, in the real estate area, the Fund saw favorable
results from a position in Crown Castle International Corp., which leases and operates wireless communication towers and other communication infrastructure. The company was a strong performer during the reporting period after it reported solid
earnings reports for the end of 2018 and beginning of 2019. Crown Castle’s management also raised guidance early in 2019. The company’s results have been driven by a consistently high level of spending at the major wireless carriers
across the U.S. Crown Castle is focused on investing in fiber and the small cell segment and is well positioned to benefit from increased spending on 5G and growth in mobile data traffic. For these and other reasons, we remained invested in Crown
Castle in the Fund.
Nuveen Mid Cap Value Fund
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year, ten-year and since inception periods ended April 30, 2019. Comparative performance information is provided for the Fund’s
Class A Shares at net asset value (NAV). The Fund’s Class A Shares at NAV underperformed the Russell Midcap® Value Index and the Lipper
Mid-Cap Value Funds Classification Average during the six-month reporting period.
Portfolio Managers’ Comments (continued)
What strategies were used to manage the Fund during the reporting
period and how did these strategies influence performance?
The Fund seeks to provide long-term capital appreciation by
investing primarily in the common stocks of companies with market capitalizations at the time of purchase between approximately $603.1 million and $65.0 billion, which is based on the June 30, 2018 reconstitution of the Russell Midcap® Index. During the reporting period, we continued to implement the Fund’s investment process of selecting mid-cap companies that we believed were
undervalued relative to other companies in the same industry or market. These companies demonstrated or are expected to demonstrate improving fundamentals and have an identifiable catalyst that could close the gap between market value and our
perception of fair value. We look for companies that generate strong free cash flow, which allows them to pay down debt, increase dividends, repurchase shares or engage in merger and acquisition (M&A) activities. At the same time, we identify a
short- or long-term catalyst we can track and monitor over time that could potentially propel each stock to realize its value. Generally, we sell a holding if the stock price reaches its target, the company’s fundamentals or competitive
position significantly deteriorate or if a better alternative exists in the marketplace.
The Fund’s underperformance versus the Russell benchmark
and Lipper peers was primarily due to stock selection in the industrials, health care and consumer staples sectors. The most significant detractor in industrials was XPO Logistics Inc. The company provides a range of logistics services across North
America and Europe including an asset-light logistics business and a transportation business that provides freight brokerage, less-than-truckload (LTL), last mile delivery and European transport. During the company’s fourth quarter 2018, its
largest customer, believed to be Amazon although XPO Logistics won’t confirm, pulled $600 million of its total $900 million of business. This incident was the latest in a string of issues over six months including the loss of key executives, a
reduction in guidance and the bankruptcy of a key European customer that resulted in the company missing third-quarter 2018 expectations. We believed XPO Logistics was facing challenging headwinds including replacing the lost business on a
profitable basis near term, a soft European market and cycle duration of its LTL business, which represents 40-45% of company profits. Consequently, we exited our position.
Also in industrials, the Fund saw weak results from Alaska Air
Group Inc., which provides passenger and air cargo transportation services to more than 110 destinations in the U.S., Mexico and Cuba. During the reporting period, the company reported strong results and a favorable outlook. However, in March 2019,
Alaska Air had to reduce its outlook for revenue per available seat mile (RASM) to 1% to 2% year over year down from 2.5% to 4.5%, which weighed on the shares. We continue to hold Alaska Air Group because we believe there remains upside to numbers
throughout 2019.
Health care was a detractor from
relative performance during the reporting period with Centene Corporation and Cigna Corporation weighing on results in the sector. Centene is the largest managed care organization operating in the Medicaid and specialty services markets. Its
Medicaid business provides health insurance sponsored by the state and federal government for qualified lower income individuals. Share weakness was primarily due to Washington rhetoric, particularly the “Medicare-for-All” proposals from
Democratic candidates, but also renewed efforts by the administration to scuttle the Affordable Care Act and the proposed rebate rule for government insurance programs. Adding to this pressure, Centene announced at the end of March 2019 that it was
acquiring WellCare Health Plans. Accretion from the acquisition is mid-single digits in 2020, and combined, the company is expected to have 22 million members across 50 states and more than $95 billion in revenues. Therefore, we continued to hold
the Fund’s position in Centene.
Cigna reported a
fourth-quarter 2018 earnings per share (EPS) figure that was generally in line with consensus; however, investors focused on guidance, which came in below expectations. The company is typically conservative in its guidance and management indicated
that Cigna remains on track to meet its 2021 EPS target. Management also continued to project confidence in the potential growth provided by the Express Scripts deal. Therefore, we maintained our position in Cigna in the portfolio.
In the consumer staples sector, the Fund experienced weak
results from a position in packaged and processed food manufacturer Conagra Brands Inc. During the reporting period, the company reported a revenue miss for the second quarter 2019, but beat consensus expectations for gross and operating margins, as
well as EPS. Although the company’s legacy Conagra business fared relatively well, the performance of its Pinnacle Foods segment was below expectations both in terms of revenues and profit, with key leadership brands experiencing declines.
Issues arose in the Pinnacle Foods segment including a recall, inefficient promotions and pricing, a lack
of innovation and increased innovation from competitors, which weighed on
Conagra’s stock. Although the company is already making improvements to restore confidence, the calendar and timing of many retail agreements on the Pinnacle Foods side are locked, which limits Conagra’s options. Also, with a large
amount of debt leverage, we believe the company’s balance sheet may likely weaken, therefore, we exited the position.
In the communication services sector, a position in Take-Two
Interactive Software Inc. lagged during the reporting period. The company is a leading video game developer with brands that include Grand Theft Auto, Red Dead Redemption and Max Payne. Shares of Take-Two were weak during the reporting period
because of concerns about recurring consumer spend with Grand Theft Auto online and the delayed monetization of Red Dead online. However, we continued to hold the name because we believe a strong release slate for Take-Two has the potential to drive
favorable results in 2020.
On the positive side of the
equation, stock selection was favorable in the utilities, consumer discretionary and financials sectors. An underweight position in the poorly performing consumer staples sector also proved beneficial.
In utilities, the Fund saw favorable results from a position
in electric and natural gas utility CenterPoint Energy Inc. The company also operates a midstream (oil and gas infrastructure) segment through its joint ownership in Enable Midstream Partners. In 2018, the electric transmission and distribution
businesses produced $568 million in operating income and invested $952 million in infrastructure to support growth and improve reliability of their systems. Also during 2018, the natural gas distribution business produced $266 million in operating
income and added more than 36,000 customers. CenterPoint Energy recently filed a proposal in Minnesota that would make it one of the first natural gas providers in the country to offer renewable natural gas (RNG), also known as biomethane, to some
of its customers. In addition, the company reached a significant milestone in 2018 by substantially completing the elimination of cast-iron pipes in its natural gas distribution system, which is expected to improve the safety, integrity and
reliability of the system. We continued to hold CenterPoint Energy in the portfolio.
Consumer discretionary generated positive results with
Norwegian Cruise Line Holdings Ltd. reporting an EPS beat with better-than-expected passenger ticket revenues as management also provided positive commentary on pricing and forward bookings for 2019. In addition, guidance came out ahead of consensus
for 2019 and management expects the company’s return to the Eastern Mediterranean to be a catalyst in 2020. Travel continues to be an industry of growth on a global basis and Norwegian Cruise Line is well positioned to benefit from that
growth. As such, we maintained our position in the portfolio.
Also in discretionary, a position in national single-family
homebuilder DR Horton Inc. provided favorable results. The housing industry backdrop improved mid-way through the reporting period with the spring selling season evolving better than feared, driven by lower rates and stable consumers. DR Horton has
recently been making acquisitions of small, mid-U.S. regional builders, which are creating new markets and greater share. We remained invested because we believe DR Horton is well positioned in terms of product trends and geographic diversification
with its lower-than-average exposure to some of the housing market’s biggest problem areas such as the California Coast, New York, New Jersey and Connecticut.
In financials, a position in one the world’s largest
insurance brokers, Willis Tower Watson PLC, was a top contributor for the Fund. The key catalyst for the stock during the reporting period was a strong third-quarter 2018 earnings report highlighted by good organic growth, expense discipline and a
lower-than-expected tax rate. Management expects earnings margin expansion in 2019 and continued improvement in free cash flow in the coming quarters. We continued to hold Willis Tower Watson in the Fund.
Also in financials, the Fund benefited from a position in
Evercore Inc., a leading investment banking advisory company. The company reported fourth-quarter 2018 results that were very strong on both the top and bottom line, exceeding consensus expectations by a wide margin. As testimony to Evercore’s
strong reputation, the company advised on some high-profile deals during the reporting period in both health care and financial services. These deals are translating into a strengthening pipeline. We continue to like and own Evercore because the
company still trades at a discount to its peer group and to historic absolute valuation metrics.
Portfolio Managers’ Comments (continued)
Although the information technology sector detracted slightly,
the Fund saw strong results from its position in First Data Corporation, a global leader in providing electronic commerce and payment solutions for merchants, financial institutions and card issuers. In January 2019, Fiserv announced an all-stock
acquisition of First Data in a $22 billion deal that equated to an approximately 30% premium to the prior close. The company also reported favorable revenue and EPS results that beat expectations and favorable 2019 earnings growth guidance. We
continued to hold our position because we believed the combined entity would benefit from significant accretion and will be a good strategic fit.
Results were mixed in the energy sector where strong results
from independent exploration and production (E&P) company Anadarko Petroleum Corporation were partially offset by weakness from independent petroleum refiner and marketer HollyFrontier Corporation. In the case of Anadarko Petroleum, the Delaware
Basin remained the company’s primary growth driver and results continued to outpace historical performance. However, Anadarko Petroleum also continued to make progress on its Mozambique liquid natural gas (LNG) project with announced long-term
agreements with customers. The M&A situation also remained a focus for Anadarko Petroleum during the reporting period with strong first-quarter 2019 execution across most areas supporting near-term value creation to the bid winner. Shortly after
the end of the reporting period, Anadarko Petroleum announced it had agreed to be purchased by Occidental Petroleum Corporation, while terminating its previously announced merger agreement with Chevron Corporation. We began trimming the Fund’s
position after the deal announcement.
On the other hand,
HollyFrontier and other refiners experienced a pullback given falling oil prices earlier in the reporting period, global slowdown concerns and an increase in global refining capacity, which narrowed crude differentials. At current valuation levels,
HollyFrontier is pricing in further margin pressure despite a more constructive outlook given tight domestic fuel inventories. We expect that overall global demand should start to strengthen in the second half of 2019 due to higher highway travel
expectations versus a year ago driven by employment and wage growth. Therefore, we have maintained the Fund’s position in HollyFrontier.
Nuveen Small Cap Value Fund
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year, ten-year and since inception periods ended April 30, 2019. Comparative performance information is provided for the Fund’s
Class A Shares at net asset value (NAV). The Fund’s Class A Shares at NAV outperformed both the Russell 2000® Value Index and the Lipper
Small-Cap Value Funds Classification Average during the six-month reporting period.
What strategies were used to manage the Fund during the reporting
period and how did these strategies influence performance?
The Fund seeks to provide long-term capital appreciation by
investing primarily in the common stocks of companies within the Russell 2000® Index, which has a market capitalization range of $52.0 million to
$6.7 billion based on the June 30, 2018 reconstitution. During the reporting period, we continued to focus on building a well-diversified portfolio of small-cap stocks from companies with strengthening balance sheets and free cash flow
characteristics. We also continued to target companies with sound business models and strong competitive advantages that we believe can gain market share opportunistically in the current environment. We remained committed to our approach of
investing in quality companies that are trading at a discount to both intrinsic and relative value metrics.
The Fund’s outperformance versus the Russell benchmark
and Lipper peers was primarily due to stock selection in the energy, consumer discretionary, industrials and utilities sectors. An underweight position in the poorly performing health care sector also proved beneficial. In addition, several broader
style themes worked in favor of the Fund, particularly in the second half of the reporting period. As the reporting period progressed, the market shifted to a risk-on environment that was almost a complete reversal of the 2018 year-end sell-off. The
Fund benefited from several style tilts that came back in favor during the reporting period including an emphasis on companies with larger average market capitalizations within the small-cap universe and a tilt toward companies with lower
price-to-earnings (P/E) ratios. Also, the Fund’s results were aided by a snap back among some of its cyclical holdings that benefited from the retraction in high yield credit spreads that had previously widened dramatically in the final months
of 2018.
The Fund benefited from security selection in the energy
sector where our strategy of investing in best-in-class service companies that are focused on one or two business lines proved beneficial. ProPetro Holding Corp., a leading oil well completion services company with operations exclusively in the
Permian basin, continued to outperform its peer group. The company was able to weather a substantial drop in oil prices in late 2018, which subsequently recovered by more than 30% through April 2019 due to tightening global supply and a slowdown in
U.S. output. We trimmed our position in ProPetro during the reporting period, but were pleased with the company’s strategic acquisition of one of its customer’s vertically-integrated well completion assets in exchange for a long-term
agreement. The company’s balance sheet following the transaction remained solid, allowing for additional market share gains. Consequently, we remained invested in this company.
Several holdings in the consumer discretionary sector
benefited the Fund’s performance. Dana Incorporated, a supplier of driveline and power technology products to the auto and commercial vehicle sector, experienced price strength after sentiment around trade and tariffs turned positive. The
company continued to demonstrate fundamental progress and we remain excited about its buildout of electrification capabilities both organically and through acquisitions. We believe this higher margin business should help improve Dana’s overall
margins and lift sales for the firm and therefore, we remained invested.
The Fund also experienced favorable results from furniture
wholesaler and retailer La-Z-Boy Inc., which continued to execute on its strategy to improve margins and position the franchise for long-term growth. La-Z-Boy’s management is seeing good traction in its technology enhancements and on-line
presence, while new products are also aiding in increasing in-store traffic and higher average ticket amounts per customer. The company has acquired several of its prior franchised stores and is repositioning them to generate higher same-store sales
results. We remained invested in La-Z-Boy at the end of the reporting period.
In addition, the Fund benefited from G-III Apparel Group Ltd.,
a wholesale and retail distributor of global outerwear and sportswear brands. We added this holding to the Fund’s portfolio in the first quarter of 2019 due to its attractive relative valuation coupled with drivers to enhance profitability and
close the valuation gap. The company’s key global brands, such as Calvin Klein and DKNY, continued to display good sales traction and stable-to-improving margins during the reporting period. We have maintained a position in G-III
Apparel.
The industrials sector was another source of
strength during the reporting period led by a position in The Brink’s Co, the global armed security services company focused primarily on highly valuable precious gemstones and high value merchandise. In 2018, Brink’s fought an ongoing
headwind of foreign currency translation effect, which masked underlying performance because the company’s costs are denominated in local currency. Additionally, the company was negatively impacted by high inflation in one of the countries it
operates in, Argentina. Adjusting for these factors, results have been in line to better across the third-quarter 2018 to first-quarter 2019 reporting seasons. As a result, we trimmed back our exposure somewhat based on valuation, but maintained a
position because fundamentals still appear solid.
Also
in the industrials area, the Fund saw strong results from an out-of-index position in Air Transport Services Group Inc. The company primarily leases aircraft to airfreight companies as well as providing additional services around core leasing.
Although the company’s third-quarter 2018 report was slightly below expectations and 2018 guidance was tightened, overall demand was robust. Air Transport announced the acquisition of Omni Air, which significantly diversified its business and
contributed more than expected in the company’s fourth-quarter 2018 report. In addition, the company extended its existing 20 plane contract with Amazon and expanded it to include 10 additional planes, which will be delivered in second half of
2019 and 2020. Overall demand remains strong, while management continues to diversify the business and execute well. As a result, we continued to hold Air Transport in the Fund’s portfolio.
In the utilities area, the Fund benefited from a position in
Black Hills Corporation, a diversified regulated utility (both gas distribution and electric generation) serving the upper-Midwest and Mountain regions. The company regained its growth footing with solid regulatory updates, allowing management to
establish a rate base capital spending plan through 2022 that was above expectations. We continue to remain invested in Black Hills.
On the negative side of the equation, stock selection
detracted in the information technology and communication services sectors. In technology, a position in Plantronics Inc., a leading global provider of enterprise headsets, lagged during the reporting period. The company recently closed on its
acquisition of Polycom in order to cost effectively increase its overall exposure to the growing Unified Communications market. We remained invested in Plantronics.
Portfolio Managers’ Comments (continued)
We also saw weak results from Arlo Technologies Inc., a
leading provider of security video camera solutions for do-it-yourself residential customers. One of the Fund’s other holdings, NETGEAR Inc., monetized its investment of this growth company through both an initial public offering (IPO) in
third-quarter 2018 and subsequent stock spin-off of its remaining majority ownership in late 2018. After we participated in the successful IPO, the shares subsequently came under pressure due to concerns regarding Amazon’s increased emphasis
on its proprietary security camera and doorbell offering as well as poor execution surrounding Arlo’s new products for the key holiday season. As a result, we exited Arlo Technologies at the end of 2018 in lieu of our new investment in
Alarm.com Holdings Inc.
Although the information
technology sector detracted on an overall basis, the Fund’s position in Synnex Corp was beneficial during the reporting period. The company is a diversified and leading technology solutions distributor to primarily small- to mid-sized
enterprises and on a global basis. We built our position in Synnex during fourth quarter 2018 after its shares came under pressure due to uncertainty surrounding the company’s purchase of leading business solutions provider Convergys. Having
owned Synnex back in 2012 and 2013, we were confident in management’s ability. In subsequent quarterly milestones, the company delivered above-consensus growth and margins, driven by both sustainable growth from its Technology Solutions
segment and synergies from the recent acquisition. We continued to own the stock.
On the other hand, stock selection was weak in the
communication services sector, including positions in Vonage Holdings Corporation and Cars.com Inc. Vonage is the leading provider of cloud-based communication services to both businesses and consumers. Shares came under pressure in the second half
of 2018 as Vonage was digesting two recent critical acquisitions that better positioned the company for sustained growth as it moved up market into the mid-to-large enterprise segments. The company’s most recent first-quarter 2019 earnings
report demonstrated accelerating revenue and bookings growth in the mid-sized enterprise area. We remained invested in Vonage given that all the pieces are in place and the company is executing on its new go-to-market strategy.
Cars.com Inc. is the leading branded provider of digital leads
and services to 19,000 auto dealers in the United States. The company was originally spun out of TEGNA in May 2017 and we subsequently invested in first quarter 2018. The stock came under pressure in late 2018 after management lowered guidance as
Cars.com continued to invest in critical services that will increase both key dealer retention as well as a growing share of advertising spend from its dealer network in a very competitive market. We remain invested because the company continues to
achieve key milestones, which verifies the potential for emergent returns from its recent investments. Cars.com is also undergoing a strategic review per the direction of activist investor Starboard Value LP, one of its largest shareholders.
In health care, Tivity Health Inc. experienced company
specific issues that compounded the sector’s significant underperformance during the reporting period. The company provides fitness and health improvement programs primarily focused on the elderly within the Medicare Advantage program. In
December 2018, Tivity Health announced it would enter the diet and nutrition segment with an acquisition of Nutrisystem Inc. We exited our position because of the significant leverage the company was taking on and because we did not believe the
acquisition made strategic sense.
In the materials
sector, the Fund experienced weakness from a position in SunCoke Energy Inc., the leading provider of coke material to domestic integrated steel producers under long-term contracts. SunCoke Energy also operates a profitable Logistics segment. The
stock came under pressure during the reporting period following a decline in thermal coal export prices and the announcement of an accretive “simplification” stock-for-stock purchase of the remaining 40% stake in its master limited
partnership (MLP), SunCoke Energy Partners. We believe that once the MLP transaction closes by third quarter 2019, it should prove to be both accretive and beneficial to improving SunCoke Energy’s capital structure and we remained
invested.
Finally, in the financials area, we saw weak
results from a position in Heartland Financial USA Inc., a diversified central-U.S. focused regional bank with key locations in 12 states including Iowa, Illinois and Wisconsin. Management has been in the process of integrating recent acquisitions
and enhancing product mix in new geographies, while pruning low return branches and revenue lines. This transition has been causing the company’s near-term underperformance. However, we believe changes made in the franchise will lead to a
higher earnings growth profile, improved operating efficiency and a stronger, more flexible balance sheet and therefore, maintained the Fund’s position in Heartland Financial.
Nuveen
Dividend Value Fund
Mutual fund investing involves risk;
principal loss is possible. There is no guarantee the Fund’s investment objectives will be achieved. Dividends are not guaranteed. Prices of equity securities may decline significantly over short or
extended periods of time. Non-U.S. investments involve risks such as currency fluctuation, political and economic instability, lack of liquidity and differing legal and accounting standards. These risks are
magnified in emerging markets. These and other risk considerations, such as credit, derivatives, high yield securities, and interest rate risks, are described in detail in the Fund’s prospectus.
Nuveen Mid Cap Value Fund
Mutual fund investing involves risk; principal loss is
possible. There is no guarantee the Fund’s investment objectives will be achieved. Prices of equity securities may decline significantly over short or extended periods of time. Investments in mid-cap companies are subject to greater volatility than those of larger companies, but may be less volatile than investments in smaller companies. Non-U.S. investments involve
risks such as currency fluctuation, political and economic instability, lack of liquidity and differing legal and accounting standards. These risks are magnified in emerging markets. These and other risk
considerations, such as derivatives risk, are described in detail in the Fund’s prospectus.
Nuveen Small Cap Value Fund
Mutual fund investing involves risk; principal loss is
possible. There is no guarantee the Fund’s investment objectives will be achieved. Prices of equity securities may decline significantly over short or extended periods of time. Investments in smaller companies are subject to greater volatility than those of larger companies. Non-U.S. investments involve risks such as currency fluctuation, political and economic
instability, lack of liquidity and differing legal and accounting standards. These risks are magnified in emerging markets. These and other risk considerations, such as derivatives risk, are described in detail
in the Fund’s prospectus.
THIS PAGE INTENTIONALLY LEFT BLANK
Fund Performance and Expense Ratios
The Fund
Performance and Expense Ratios for each Fund are shown within this section of the report.
Returns quoted represent past performance, which is no guarantee
of future results. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than their original cost. Current performance may be higher or lower than the
performance shown. Total returns for a period of less than one year are not annualized. Returns at net asset value (NAV) would be lower if the sales charge were included. Returns assume reinvestment of dividends and capital gains. For performance,
current to the most recent month-end visit nuveen.com or call (800) 257-8787.
Returns do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or the redemption of Fund Shares.
Returns may reflect fee waivers and/or expense reimbursements
by the investment adviser during the periods presented. If any such waivers and/or reimbursements had not been in place, returns would have been reduced. See Notes to Financial Statements, Note 7—Management Fees and Other Transactions with
Affiliates for more information.
Returns reflect
differences in sales charges and expenses, which are primarily differences in distribution and service fees, and assume reinvestment of dividends and capital gains.
Comparative index and Lipper return information is provided
for Class A Shares at NAV only.
The expense ratios shown
reflect total operating expenses (before fee waivers and/or expense reimbursements, if any) as shown in the most recent prospectus. The expense ratios include management fees and other fees and expenses.
Fund Performance and Expense Ratios (continued)
Nuveen Dividend Value Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
6.41%
|
|
5.03%
|
7.77%
|
12.90%
|
Class
A Shares at maximum Offering Price |
0.31%
|
|
(1.00)%
|
6.50%
|
12.23%
|
Russell
1000® Value Index |
7.90%
|
|
9.06%
|
8.27%
|
13.76%
|
S&P
500® Index |
9.76%
|
|
13.49%
|
11.63%
|
15.32%
|
Lipper
Equity Income Funds Classification Average |
7.38%
|
|
8.48%
|
7.70%
|
12.59%
|
Class
C Shares |
5.94%
|
|
4.21%
|
6.95%
|
12.04%
|
Class
R3 Shares |
6.22%
|
|
4.78%
|
7.49%
|
12.60%
|
Class
I Shares |
6.48%
|
|
5.26%
|
8.03%
|
13.17%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
Since
Inception |
Class
R6 Shares |
6.59%
|
|
5.46%
|
8.16%
|
10.65%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(6.24)%
|
|
1.93%
|
6.84%
|
13.29%
|
Class
A Shares at maximum Offering Price |
(11.65)%
|
|
(3.96)%
|
5.58%
|
12.63%
|
Class
C Shares |
(6.67)%
|
|
1.15%
|
6.04%
|
12.43%
|
Class
R3 Shares |
(6.39)%
|
|
1.66%
|
6.58%
|
13.00%
|
Class
I Shares |
(6.15)%
|
|
2.19%
|
7.11%
|
13.57%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
Since
Inception |
Class
R6 Shares |
(6.16)%
|
|
2.26%
|
7.22%
|
9.92%
|
Since inception return for Class R6
Shares 2/28/13. Indexes and Lipper averages are not available for direct investment.
Class A Shares have a maximum 5.75% sales charge (Offering
Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1% if redeemed within eighteen months of purchase. Class C Shares
have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares have no sales charge and are only available
for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. Class I Shares have no sales charge and may be purchased under limited
circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Expense
Ratios |
1.08%
|
1.83%
|
1.33%
|
0.72%
|
0.83%
|
Fund Performance and Expense Ratios (continued)
Nuveen Mid Cap Value Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
6.70%
|
|
2.06%
|
7.83%
|
12.37%
|
Class
A Shares at maximum Offering Price |
0.58%
|
|
(3.80)%
|
6.56%
|
11.71%
|
Russell
Midcap® Value Index |
8.28%
|
|
5.76%
|
7.83%
|
14.98%
|
Lipper
Mid-Cap Value Funds Classification Average |
6.99%
|
|
2.28%
|
6.03%
|
13.12%
|
Class
C Shares |
6.32%
|
|
1.30%
|
7.03%
|
11.53%
|
Class
R3 Shares |
6.57%
|
|
1.82%
|
7.57%
|
12.09%
|
Class
I Shares |
6.84%
|
|
2.33%
|
8.11%
|
12.64%
|
|
Cumulative
|
|
6-Month
|
Since
Inception |
Class
R6 Shares |
6.91%
|
(2.86)%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(7.89)%
|
|
(0.04)%
|
6.84%
|
13.29%
|
Class
A Shares at maximum Offering Price |
(13.19)%
|
|
(5.79)%
|
5.58%
|
12.62%
|
Class
C Shares |
(8.24)%
|
|
(0.82)%
|
6.03%
|
12.43%
|
Class
R3 Shares |
(8.02)%
|
|
(0.30)%
|
6.57%
|
13.01%
|
Class
I Shares |
(7.80)%
|
|
0.18%
|
7.10%
|
13.56%
|
|
Cumulative
|
|
6-Month
|
Since
Inception |
Class
R6 Shares |
(7.72)%
|
(6.13)%
|
Since inception returns for Class R6
Shares are from 6/20/18. Since inception returns for Class R6 Shares are cumulative. Indexes and Lipper averages are not available for direct investment.
Class A Shares have a maximum 5.75% sales charge (Offering
Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1%, if redeemed within eighteen months of purchase. Class C Shares
have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares have no sales charge and are only available
for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. Class I Shares have no sales charge and may be purchased under limited
circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Gross
Expense Ratios |
1.31%
|
2.06%
|
1.56%
|
0.98%
|
1.07%
|
Net
Expense Ratios |
1.17%
|
1.92%
|
1.42%
|
0.83%
|
0.92%
|
The Fund’s investment adviser
has contractually agreed to waive fees and/or reimburse other Fund expenses through July 31, 2020, so that total annual fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and
expenses, fees incurred in acquiring and disposing or portfolio securities and extraordinary expenses) do not exceed 0.92% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer
agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. This expense limitation may be terminated or modified prior to that time without the approval of the Board of
Directors of the Fund.
Fund Performance and Expense Ratios (continued)
Nuveen Small Cap Value Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
4.47%
|
|
(4.21)%
|
6.82%
|
13.56%
|
Class
A Shares at maximum Offering Price |
(1.53)%
|
|
(9.72)%
|
5.56%
|
12.88%
|
Russell
2000® Value Index |
3.77%
|
|
2.19%
|
6.94%
|
12.87%
|
Lipper
Small-Cap Value Funds Classification Average |
3.56%
|
|
0.37%
|
5.02%
|
12.59%
|
Class
C Shares |
4.06%
|
|
(4.96)%
|
6.02%
|
12.71%
|
Class
R3 Shares |
4.32%
|
|
(4.45)%
|
6.55%
|
13.27%
|
Class
I Shares |
4.58%
|
|
(3.97)%
|
7.08%
|
13.82%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
Since
Inception |
Class
R6 Shares |
4.71%
|
|
(3.77)%
|
7.52%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(10.38)%
|
|
(7.79)%
|
5.36%
|
14.52%
|
Class
A Shares at maximum Offering Price |
(15.53)%
|
|
(13.10)%
|
4.12%
|
13.85%
|
Class
C Shares |
(10.73)%
|
|
(8.49)%
|
4.58%
|
13.67%
|
Class
R3 Shares |
(10.53)%
|
|
(8.07)%
|
5.09%
|
14.23%
|
Class
I Shares |
(10.29)%
|
|
(7.57)%
|
5.63%
|
14.80%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
Since
Inception |
Class
R6 Shares |
(10.20)%
|
|
(7.41)%
|
6.04%
|
Since inception return for Class R6
Shares are from 6/30/16. Indexes and Lipper averages are not available for direct investment.
Class A Shares have a maximum 5.75% sales charge (Offering
Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1% if redeemed within eighteen months of purchase. Class C Shares
have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares have no sales charge and are only available
for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. Class I Shares have no sales charge and may be purchased under limited
circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Gross
Expense Ratios |
1.24%
|
1.99%
|
1.49%
|
0.82%
|
0.99%
|
Net
Expense Ratios |
1.20%
|
1.95%
|
1.45%
|
0.78%
|
0.95%
|
The Fund’s investment adviser
has contractually agreed to waive fees and/or reimburse other Fund expenses through July 31, 2020, so that the total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and
expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.99% of the average daily net assets of any class of Fund shares. However, because Class R6 shares are not subject to sub-transfer
agent and similar fees, the total annual Fund operating expenses for the Class R6 shares will be less than the expense limitation. This expense limitation may be terminated or modified prior to that date only with the approval of the Board of
Directors of the Fund.
Holding Summaries as of April 30, 2019
This data relates to the securities held in each Fund's
portfolio of investments as of the end of this reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Nuveen Dividend Value Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
99.4%
|
Investments
Purchased with Collateral from Securities Lending |
0.0%
|
Money
Market Funds |
0.6%
|
Other
Assets Less Liabilities |
0.0%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Banks
|
12.5%
|
Oil,
Gas & Consumable Fuels |
10.0%
|
Semiconductors
& Semiconductor Equipment |
7.6%
|
Capital
Markets |
6.0%
|
Communications
Equipment |
5.1%
|
Equity
Real Estate Investment Trust |
5.1%
|
Pharmaceuticals
|
4.5%
|
Chemicals
|
4.1%
|
Diversified
Telecommunication Services |
3.5%
|
Hotels,
Restaurants & Leisure |
3.5%
|
Electric
Utilities |
3.4%
|
Multi-Utilities
|
3.4%
|
Media
|
3.2%
|
Health
Care Providers & Services |
3.1%
|
Consumer
Finance |
3.1%
|
Machinery
|
2.5%
|
Other
|
18.8%
|
Investments
Purchased with Collateral from Securities Lending |
0.0%
|
Money
Market Funds |
0.6%
|
Other
Assets Less Liabilities |
0.0%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
Cisco
Systems Inc |
4.0%
|
AT&T
Inc |
3.5%
|
QUALCOMM
Inc |
3.4%
|
Citigroup
Inc. |
3.4%
|
Comcast
Corp |
3.2%
|
Nuveen Mid Cap Value Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
99.3%
|
Money
Market Funds |
0.8%
|
Other
Assets Less Liabilities |
(0.1)%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Equity
Real Estate Investment Trust |
12.7%
|
Multi-Utilities
|
6.0%
|
Banks
|
5.9%
|
Oil,
Gas & Consumable Fuels |
5.5%
|
Capital
Markets |
5.2%
|
Insurance
|
4.7%
|
Chemicals
|
4.0%
|
Hotels,
Restaurants & Leisure |
3.9%
|
Software
|
3.9%
|
IT
Services |
3.5%
|
Electric
Utilities |
3.5%
|
Airlines
|
2.7%
|
Health
Care Equipment & Supplies |
2.5%
|
Machinery
|
2.5%
|
Entertainment
|
2.3%
|
Household
Durables |
2.1%
|
Aerospace
& Defense |
2.1%
|
Mortgage
Real Estate Investment Trust |
2.1%
|
Health
Care Providers & Services |
1.9%
|
Electrical
Equipment |
1.8%
|
Consumer
Finance |
1.7%
|
Other
|
18.8%
|
Money
Market Funds |
0.8%
|
Other
Assets Less Liabilities |
(0.1)%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
L3
Technologies Inc. |
2.1%
|
CF
Industries Holdings Inc |
2.1%
|
Starwood
Property Trust Inc. |
2.1%
|
FirstEnergy
Corp |
2.0%
|
Digital
Realty Trust Inc. |
2.0%
|
Holding Summaries as of April 30, 2019 (continued)
Nuveen Small Cap Value Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
99.3%
|
Investments
Purchased with Collateral from Securities Lending |
0.9%
|
Money
Market Funds |
0.4%
|
Other
Assets Less Liabilities |
(0.6)%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Banks
|
17.0%
|
Equity
Real Estate Investment Trust |
9.6%
|
Communications
Equipment |
4.6%
|
Thrifts
& Mortgage Finance |
4.4%
|
Electronic
Equipment, Instruments & Components |
3.7%
|
Commercial
Services & Supplies |
3.6%
|
Insurance
|
3.6%
|
Construction
& Engineering |
3.1%
|
Capital
Markets |
3.1%
|
Oil,
Gas & Consumable Fuels |
2.9%
|
Metals
& Mining |
2.8%
|
Household
Durables |
2.7%
|
Energy
Equipment & Services |
2.7%
|
Mortgage
Real Estate Investment Trust |
2.5%
|
Gas
Utilities |
2.5%
|
Auto
Components |
2.3%
|
Software
|
1.9%
|
Building
Products |
1.8%
|
Textiles,
Apparel & Luxury Goods |
1.7%
|
Semiconductors
& Semiconductor Equipment |
1.7%
|
Machinery
|
1.7%
|
Other
|
19.4%
|
Investments
Purchased with Collateral from Securities Lending |
0.9%
|
Money
Market Funds |
0.4%
|
Other
Assets Less Liabilities |
(0.6)%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
Plantronics
Inc. |
2.0%
|
IBERIABANK
Corp |
2.0%
|
Radware
Ltd |
1.9%
|
Gibraltar
Industries Inc |
1.8%
|
Brink's
Co/The |
1.8%
|
As a
shareholder of one or more of the Funds, you incur two types of costs: (1) transaction costs, including up-front and back-end sales charges (loads) or redemption fees, where applicable; and (2) ongoing costs, including management fees; distribution
and service (12b-1) fees, where applicable; and other Fund expenses. The Examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in
other mutual funds.
The Examples below are based on an
investment of $1,000 invested at the beginning of the period and held through the period ended April 30, 2019.
The beginning of the period is November 1, 2018.
The information under “Actual Performance,”
together with the amount you invested, allows you to estimate actual expenses incurred over the reporting period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60) and multiply the result by
the cost shown for your share class, in the row entitled “Expenses Incurred During Period” to estimate the expenses incurred on your account during this period.
The information under “Hypothetical Performance,”
provides information about hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratios 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 expense you incurred for the period. You may use this information to compare the ongoing costs of investing in the 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.
Please note that the expenses shown in the following tables
are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different
funds or share classes. In addition, if these transaction costs were included, your costs would have been higher.
Nuveen Dividend Value Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Actual
Performance |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,064.10
|
$1,059.40
|
$1,062.20
|
$1,065.90
|
$1,064.80
|
Expenses
Incurred During the Period |
$
5.68 |
$
9.50 |
$
6.95 |
$
3.69 |
$
4.35 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,019.29
|
$1,015.57
|
$1,018.05
|
$1,021.22
|
$1,020.58
|
Expenses
Incurred During the Period |
$
5.56 |
$
9.30 |
$
6.80 |
$
3.61 |
$
4.26 |
For each class of the Fund, expenses are equal to the
Fund’s annualized net expense ratio of 1.11%, 1.86%, 1.36%, 0.72% and 0.85% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year
period).
Expense Examples (continued)
Nuveen Mid Cap Value Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Actual
Performance |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,067.00
|
$1,063.20
|
$1,065.70
|
$1,069.10
|
$1,068.40
|
Expenses
Incurred During the Period |
$
6.00 |
$
9.82 |
$
7.27 |
$
4.00 |
$
4.72 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,018.99
|
$1,015.27
|
$1,017.75
|
$1,020.93
|
$1,020.23
|
Expenses
Incurred During the Period |
$
5.86 |
$
9.59 |
$
7.10 |
$
3.91 |
$
4.61 |
For each class of the Fund, expenses are equal to the
Fund’s annualized net expense ratio of 1.17%, 1.92%, 1.42%, 0.78% and 0.92% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year
period).
Nuveen Small Cap Value Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Actual
Performance |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,044.70
|
$1,040.60
|
$1,043.20
|
$1,047.10
|
$1,045.80
|
Expenses
Incurred During the Period |
$
6.08 |
$
9.87 |
$
7.35 |
$
3.55 |
$
4.82 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,018.84
|
$1,015.12
|
$1,017.60
|
$1,021.32
|
$1,020.08
|
Expenses
Incurred During the Period |
$
6.01 |
$
9.74 |
$
7.25 |
$
3.51 |
$
4.76 |
For each class of the Fund, expenses are equal to the
Fund’s annualized net expense ratio of 1.20%, 1.95%, 1.45%, 0.70% and 0.95% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year
period).
Nuveen Dividend Value Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 99.4% |
|
|
|
|
|
|
COMMON
STOCKS – 99.4% |
|
|
|
|
|
|
Aerospace
& Defense – 1.3% |
|
|
|
|
85,276
|
|
Harris
Corp |
|
|
|
$
14,369,006 |
|
|
Airlines – 1.2%
|
|
|
|
|
211,481
|
|
Alaska
Air Group Inc |
|
|
|
13,090,674
|
|
|
Banks – 12.5%
|
|
|
|
|
1,090,382
|
|
Bank
of America Corp |
|
|
|
33,343,882
|
539,215
|
|
Citigroup
Inc. |
|
|
|
38,122,501
|
334,082
|
|
East
West Bancorp Inc. |
|
|
|
17,198,541
|
302,227
|
|
JPMorgan
Chase & Co |
|
|
|
35,073,443
|
1,034,526
|
|
KeyCorp
|
|
|
|
18,155,931
|
|
|
Total
Banks |
|
|
|
141,894,298
|
|
|
Biotechnology – 0.9%
|
|
|
|
|
161,163
|
|
Gilead
Sciences Inc. |
|
|
|
10,482,041
|
|
|
Capital
Markets – 6.0% |
|
|
|
|
397,296
|
|
E*TRADE
Financial Corp |
|
|
|
20,127,015
|
521,559
|
|
Morgan
Stanley |
|
|
|
25,165,222
|
243,581
|
|
Raymond
James Financial Inc. |
|
|
|
22,304,712
|
|
|
Total
Capital Markets |
|
|
|
67,596,949
|
|
|
Chemicals – 4.1%
|
|
|
|
|
131,738
|
|
Celanese
Corp |
|
|
|
14,213,213
|
317,531
|
|
CF
Industries Holdings Inc |
|
|
|
14,219,038
|
100,826
|
|
Linde
PLC |
|
|
|
18,174,895
|
|
|
Total
Chemicals |
|
|
|
46,607,146
|
|
|
Communications
Equipment – 5.1% |
|
|
|
|
803,225
|
|
Cisco
Systems Inc |
|
|
|
44,940,439
|
92,446
|
|
Motorola
Solutions Inc |
|
|
|
13,396,350
|
|
|
Total
Communications Equipment |
|
|
|
58,336,789
|
|
|
Consumer
Finance – 3.1% |
|
|
|
|
145,404
|
|
American
Express Co |
|
|
|
17,045,711
|
222,602
|
|
Discover
Financial Services |
|
|
|
18,139,837
|
|
|
Total
Consumer Finance |
|
|
|
35,185,548
|
|
|
Diversified
Telecommunication Services – 3.5% |
|
|
|
|
1,299,806
|
|
AT&T
Inc |
|
|
|
40,241,994
|
Nuveen Dividend Value Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Electric
Utilities – 3.4% |
|
|
|
|
358,851
|
|
Evergy
Inc |
|
|
|
$20,748,765 |
417,329
|
|
FirstEnergy
Corp |
|
|
|
17,540,338
|
|
|
Total
Electric Utilities |
|
|
|
38,289,103
|
|
|
Electrical
Equipment – 0.9% |
|
|
|
|
78,671
|
|
Hubbell
Inc. |
|
|
|
10,038,420
|
|
|
Equity
Real Estate Investment Trust – 5.1% |
|
|
|
|
176,614
|
|
Crown
Castle International Corp |
|
|
|
22,214,509
|
116,989
|
|
Digital
Realty Trust Inc. |
|
|
|
13,770,775
|
686,137
|
|
Park
Hotels & Resorts Inc. |
|
|
|
22,011,275
|
|
|
Total
Equity Real Estate Investment Trust |
|
|
|
57,996,559
|
|
|
Food
Products – 1.7% |
|
|
|
|
260,520
|
|
Tyson
Foods Inc |
|
|
|
19,541,605
|
|
|
Health
Care Providers & Services – 3.1% |
|
|
|
|
71,120
|
|
Cigna
Corp |
|
|
|
11,296,701
|
104,780
|
|
UnitedHealth
Group Inc |
|
|
|
24,421,074
|
|
|
Total
Health Care Providers & Services |
|
|
|
35,717,775
|
|
|
Hotels,
Restaurants & Leisure – 3.5% |
|
|
|
|
128,044
|
|
Hilton
Worldwide Holdings Inc. |
|
|
|
11,138,562
|
502,672
|
|
MGM
Resorts International |
|
|
|
13,386,155
|
122,695
|
|
Royal
Caribbean Cruises Ltd |
|
|
|
14,838,733
|
|
|
Total
Hotels, Restaurants & Leisure |
|
|
|
39,363,450
|
|
|
Household
Durables – 1.4% |
|
|
|
|
1,108,340
|
|
Newell
Brands Inc., (2) |
|
|
|
15,937,929
|
|
|
Insurance – 1.4%
|
|
|
|
|
711,978
|
|
Old
Republic International Corp |
|
|
|
15,919,828
|
|
|
IT
Services – 1.1% |
|
|
|
|
188,521
|
|
DXC
Technology Co |
|
|
|
12,393,370
|
|
|
Machinery – 2.5%
|
|
|
|
|
81,787
|
|
Caterpillar
Inc. |
|
|
|
11,402,744
|
92,702
|
|
Parker-Hannifin
Corp |
|
|
|
16,786,478
|
|
|
Total
Machinery |
|
|
|
28,189,222
|
|
|
Media – 3.2%
|
|
|
|
|
845,296
|
|
Comcast
Corp |
|
|
|
36,795,735
|
|
|
Mortgage
Real Estate Investment Trust – 1.6% |
|
|
|
|
808,446
|
|
Starwood
Property Trust Inc. |
|
|
|
18,634,680
|
|
|
Multi-Utilities – 3.4%
|
|
|
|
|
189,143
|
|
Ameren
Corp |
|
|
|
13,763,936
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Multi-Utilities
(continued) |
|
|
|
|
410,070
|
|
Public
Service Enterprise Group Inc. |
|
|
|
$
24,460,676 |
|
|
Total
Multi-Utilities |
|
|
|
38,224,612
|
|
|
Oil,
Gas & Consumable Fuels – 10.0% |
|
|
|
|
298,913
|
|
Chevron
Corp |
|
|
|
35,887,495
|
215,645
|
|
HollyFrontier
Corp |
|
|
|
10,292,736
|
627,692
|
|
Marathon
Oil Corp |
|
|
|
10,695,872
|
264,176
|
|
Marathon
Petroleum Corp |
|
|
|
16,080,393
|
208,294
|
|
Occidental
Petroleum Corp |
|
|
|
12,264,351
|
45,342
|
|
Pioneer
Natural Resources Co |
|
|
|
7,547,629
|
737,261
|
|
Williams
Cos Inc/The |
|
|
|
20,886,604
|
|
|
Total
Oil, Gas & Consumable Fuels |
|
|
|
113,655,080
|
|
|
Personal
Products – 1.5% |
|
|
|
|
275,287
|
|
Unilever
NV |
|
|
|
16,657,616
|
|
|
Pharmaceuticals – 4.5%
|
|
|
|
|
125,374
|
|
Allergan
PLC |
|
|
|
18,429,978
|
800,865
|
|
Pfizer
Inc |
|
|
|
32,523,128
|
|
|
Total
Pharmaceuticals |
|
|
|
50,953,106
|
|
|
Road
& Rail – 2.2% |
|
|
|
|
309,809
|
|
CSX
Corp |
|
|
|
24,670,091
|
|
|
Semiconductors
& Semiconductor Equipment – 7.6% |
|
|
|
|
64,155
|
|
Broadcom
Inc |
|
|
|
20,426,952
|
71,820
|
|
Lam
Research Corp |
|
|
|
14,897,623
|
449,380
|
|
QUALCOMM
Inc |
|
|
|
38,705,099
|
104,064
|
|
Xilinx
Inc. |
|
|
|
12,502,249
|
|
|
Total
Semiconductors & Semiconductor Equipment |
|
|
|
86,531,923
|
|
|
Software – 1.8%
|
|
|
|
|
154,802
|
|
Microsoft
Corp |
|
|
|
20,217,141
|
|
|
Tobacco – 1.8%
|
|
|
|
|
375,803
|
|
Altria
Group Inc |
|
|
|
20,417,377
|
|
|
Total
Long-Term Investments (cost $903,805,700) |
|
|
|
1,127,949,067
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
INVESTMENTS
PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 0.0% |
|
|
|
|
|
MONEY
MARKET FUNDS – 0.0% |
|
|
|
|
314,175
|
|
First
American Government Obligations Fund, Class X, (3) |
2.356%
(4) |
|
|
$
314,175 |
|
|
Total
Investments Purchased with Collateral from Securities Lending (cost $314,175) |
|
|
314,175
|
Nuveen Dividend Value Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
SHORT-TERM
INVESTMENTS – 0.6% |
|
|
|
|
|
|
MONEY
MARKET FUNDS – 0.6% |
|
|
|
|
6,060,910
|
|
First
American Treasury Obligations Fund, Class Z |
2.324%
(4) |
|
|
$
6,060,910 |
|
|
Total
Short-Term Investments (cost $6,060,910) |
|
|
|
6,060,910
|
|
|
Total
Investments (cost $910,180,785) – 100.0% |
|
|
|
1,134,324,152
|
|
|
Other
Assets Less Liabilities – 0.0% |
|
|
|
135,560
|
|
|
Net
Assets – 100% |
|
|
|
$
1,134,459,712 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Investment,
or a portion of investment, is out on loan for securities lending. The total value of the securities out on loan as of the end of the reporting period was $306,294. |
|
(3)
|
The
Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker dealers, banks, and other institutions. The Fund maintains collateral equal to at least 100% of
the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Securities
Lending for more information. |
|
(4)
|
The
rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
|
See accompanying notes to financial statements.
Nuveen Mid Cap Value Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 99.3% |
|
|
|
|
|
|
COMMON
STOCKS – 99.3% |
|
|
|
|
|
|
Aerospace
& Defense – 2.1% |
|
|
|
|
33,743
|
|
L3
Technologies Inc. |
|
|
|
$
7,375,545 |
|
|
Airlines – 2.7%
|
|
|
|
|
69,053
|
|
Alaska
Air Group Inc |
|
|
|
4,274,381
|
58,660
|
|
United
Continental Holdings Inc, (2) |
|
|
|
5,212,527
|
|
|
Total
Airlines |
|
|
|
9,486,908
|
|
|
Auto
Components – 0.7% |
|
|
|
|
57,454
|
|
BorgWarner
Inc. |
|
|
|
2,399,854
|
|
|
Banks – 5.9%
|
|
|
|
|
117,976
|
|
East
West Bancorp Inc. |
|
|
|
6,073,405
|
334,966
|
|
KeyCorp
|
|
|
|
5,878,653
|
14,983
|
|
SVB
Financial Group, (2) |
|
|
|
3,771,521
|
100,727
|
|
Western
Alliance Bancorp, (2) |
|
|
|
4,812,736
|
|
|
Total
Banks |
|
|
|
20,536,315
|
|
|
Building
Products – 1.3% |
|
|
|
|
118,178
|
|
Masco
Corp |
|
|
|
4,616,033
|
|
|
Capital
Markets – 5.2% |
|
|
|
|
90,293
|
|
E*TRADE
Financial Corp |
|
|
|
4,574,243
|
41,060
|
|
Evercore
Inc. |
|
|
|
4,000,476
|
43,255
|
|
Nasdaq
Inc |
|
|
|
3,988,111
|
58,367
|
|
Raymond
James Financial Inc. |
|
|
|
5,344,666
|
|
|
Total
Capital Markets |
|
|
|
17,907,496
|
|
|
Chemicals – 4.0%
|
|
|
|
|
61,444
|
|
Celanese
Corp |
|
|
|
6,629,193
|
163,209
|
|
CF
Industries Holdings Inc |
|
|
|
7,308,499
|
|
|
Total
Chemicals |
|
|
|
13,937,692
|
|
|
Construction
& Engineering – 0.5% |
|
|
|
|
46,421
|
|
Fluor
Corp |
|
|
|
1,844,306
|
|
|
Consumer
Finance – 1.7% |
|
|
|
|
72,007
|
|
Discover
Financial Services |
|
|
|
5,867,850
|
|
|
Diversified
Financial Services – 1.5% |
|
|
|
|
96,618
|
|
Voya
Financial Inc. |
|
|
|
5,303,362
|
Nuveen Mid Cap Value Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Electric
Utilities – 3.5% |
|
|
|
|
89,343
|
|
Evergy
Inc |
|
|
|
$5,165,812 |
168,871
|
|
FirstEnergy
Corp |
|
|
|
7,097,648
|
|
|
Total
Electric Utilities |
|
|
|
12,263,460
|
|
|
Electrical
Equipment – 1.8% |
|
|
|
|
45,380
|
|
AMETEK
Inc |
|
|
|
4,001,154
|
17,543
|
|
Hubbell
Inc. |
|
|
|
2,238,487
|
|
|
Total
Electrical Equipment |
|
|
|
6,239,641
|
|
|
Energy
Equipment & Services – 0.8% |
|
|
|
|
67,283
|
|
Apergy
Corp, (2) |
|
|
|
2,670,462
|
|
|
Entertainment – 2.3%
|
|
|
|
|
245,750
|
|
Lions
Gate Entertainment Corp |
|
|
|
3,585,492
|
44,495
|
|
Take-Two
Interactive Software Inc., (2) |
|
|
|
4,308,451
|
|
|
Total
Entertainment |
|
|
|
7,893,943
|
|
|
Equity
Real Estate Investment Trust – 12.7% |
|
|
|
|
303,690
|
|
Brandywine
Realty Trust |
|
|
|
4,673,789
|
58,595
|
|
Digital
Realty Trust Inc. |
|
|
|
6,897,217
|
20,866
|
|
Essex
Property Trust Inc |
|
|
|
5,894,645
|
162,684
|
|
First
Industrial Realty Trust Inc |
|
|
|
5,737,865
|
47,850
|
|
Mid-America
Apartment Communities Inc. |
|
|
|
5,235,268
|
148,807
|
|
Park
Hotels & Resorts Inc. |
|
|
|
4,773,729
|
64,574
|
|
SL
Green Realty Corp |
|
|
|
5,704,467
|
178,770
|
|
Washington
Real Estate Investment Trust |
|
|
|
5,048,465
|
|
|
Total
Equity Real Estate Investment Trust |
|
|
|
43,965,445
|
|
|
Food
Products – 1.2% |
|
|
|
|
56,265
|
|
Tyson
Foods Inc |
|
|
|
4,220,438
|
|
|
Health
Care Equipment & Supplies – 2.5% |
|
|
|
|
11,555
|
|
Teleflex
Inc. |
|
|
|
3,306,810
|
44,177
|
|
Zimmer
Biomet Holdings Inc |
|
|
|
5,440,839
|
|
|
Total
Health Care Equipment & Supplies |
|
|
|
8,747,649
|
|
|
Health
Care Providers & Services – 1.9% |
|
|
|
|
80,387
|
|
Centene
Corp, (2) |
|
|
|
4,144,754
|
14,364
|
|
Cigna
Corp |
|
|
|
2,281,578
|
|
|
Total
Health Care Providers & Services |
|
|
|
6,426,332
|
|
|
Hotels,
Restaurants & Leisure – 3.9% |
|
|
|
|
32,276
|
|
Hyatt
Hotels Corp |
|
|
|
2,476,537
|
191,812
|
|
MGM
Resorts International |
|
|
|
5,107,954
|
107,323
|
|
Norwegian
Cruise Line Holdings Ltd, (2) |
|
|
|
6,051,944
|
|
|
Total
Hotels, Restaurants & Leisure |
|
|
|
13,636,435
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Household
Durables – 2.1% |
|
|
|
|
91,055
|
|
DR
Horton Inc |
|
|
|
$4,034,647 |
236,430
|
|
Newell
Brands Inc. |
|
|
|
3,399,864
|
|
|
Total
Household Durables |
|
|
|
7,434,511
|
|
|
Independent
Power & Renewable Electricity Producers – 1.4% |
|
|
|
|
121,944
|
|
NRG
Energy Inc |
|
|
|
5,020,435
|
|
|
Insurance – 4.7%
|
|
|
|
|
115,327
|
|
Hartford
Financial Services Group Inc/The |
|
|
|
6,032,755
|
268,140
|
|
Old
Republic International Corp |
|
|
|
5,995,611
|
22,606
|
|
Willis
Towers Watson PLC |
|
|
|
4,167,190
|
|
|
Total
Insurance |
|
|
|
16,195,556
|
|
|
IT
Services – 3.5% |
|
|
|
|
39,230
|
|
DXC
Technology Co |
|
|
|
2,578,980
|
193,896
|
|
First
Data Corp, (2) |
|
|
|
5,014,151
|
202,855
|
|
Perspecta
Inc |
|
|
|
4,681,893
|
|
|
Total
IT Services |
|
|
|
12,275,024
|
|
|
Leisure
Products – 1.7% |
|
|
|
|
111,867
|
|
Brunswick
Corp/DE |
|
|
|
5,728,709
|
|
|
Life
Sciences Tools & Services – 1.2% |
|
|
|
|
51,208
|
|
Agilent
Technologies Inc. |
|
|
|
4,019,828
|
|
|
Machinery – 2.5%
|
|
|
|
|
46,798
|
|
Crane
Co |
|
|
|
3,980,170
|
22,435
|
|
Ingersoll-Rand
PLC |
|
|
|
2,750,755
|
10,062
|
|
Parker-Hannifin
Corp |
|
|
|
1,822,027
|
|
|
Total
Machinery |
|
|
|
8,552,952
|
|
|
Media – 1.4%
|
|
|
|
|
300,727
|
|
TEGNA
Inc. |
|
|
|
4,787,574
|
|
|
Mortgage
Real Estate Investment Trust – 2.1% |
|
|
|
|
314,119
|
|
Starwood
Property Trust Inc. |
|
|
|
7,240,443
|
|
|
Multiline
Retail – 1.5% |
|
|
|
|
40,441
|
|
Dollar
General Corp |
|
|
|
5,099,206
|
|
|
Multi-Utilities – 6.0%
|
|
|
|
|
73,117
|
|
Ameren
Corp |
|
|
|
5,320,724
|
109,271
|
|
CenterPoint
Energy Inc |
|
|
|
3,387,401
|
214,058
|
|
NiSource
Inc. |
|
|
|
5,946,531
|
101,787
|
|
Public
Service Enterprise Group Inc. |
|
|
|
6,071,595
|
|
|
Total
Multi-Utilities |
|
|
|
20,726,251
|
Nuveen Mid Cap Value Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Oil,
Gas & Consumable Fuels – 5.5% |
|
|
|
|
48,636
|
|
Anadarko
Petroleum Corp |
|
|
|
$3,543,133 |
477,754
|
|
Encana
Corp |
|
|
|
3,310,835
|
66,575
|
|
HollyFrontier
Corp |
|
|
|
3,177,625
|
280,166
|
|
Marathon
Oil Corp |
|
|
|
4,774,029
|
151,295
|
|
Williams
Cos Inc/The |
|
|
|
4,286,187
|
|
|
Total
Oil, Gas & Consumable Fuels |
|
|
|
19,091,809
|
|
|
Pharmaceuticals – 1.5%
|
|
|
|
|
53,633
|
|
Elanco
Animal Health Inc, (2) |
|
|
|
1,689,440
|
125,094
|
|
Mylan
NV, (2) |
|
|
|
3,376,287
|
|
|
Total
Pharmaceuticals |
|
|
|
5,065,727
|
|
|
Real
Estate Management & Development – 1.1% |
|
|
|
|
25,434
|
|
Jones
Lang LaSalle Inc. |
|
|
|
3,931,333
|
|
|
Road
& Rail – 0.7% |
|
|
|
|
28,633
|
|
Genesee
& Wyoming Inc., (2) |
|
|
|
2,538,315
|
|
|
Semiconductors
& Semiconductor Equipment – 0.9% |
|
|
|
|
191,762
|
|
Cypress
Semiconductor Corp |
|
|
|
3,294,471
|
|
|
Software – 3.9%
|
|
|
|
|
24,080
|
|
Autodesk
Inc., (2) |
|
|
|
4,291,297
|
43,357
|
|
PTC
Inc., (2) |
|
|
|
3,922,507
|
44,098
|
|
Synopsys
Inc, (2) |
|
|
|
5,339,386
|
|
|
Total
Software |
|
|
|
13,553,190
|
|
|
Specialty
Retail – 1.4% |
|
|
|
|
66,465
|
|
Best
Buy Co Inc. |
|
|
|
4,945,661
|
|
|
Total
Long-Term Investments (cost $316,068,397) |
|
|
|
344,840,161
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
SHORT-TERM
INVESTMENTS – 0.8% |
|
|
|
|
|
|
MONEY
MARKET FUNDS – 0.8% |
|
|
|
|
2,751,653
|
|
First
American Treasury Obligations Fund, Class Z |
2.324%
(3) |
|
|
$
2,751,653 |
|
|
Total
Short-Term Investments (cost $2,751,653) |
|
|
|
2,751,653
|
|
|
Total
Investments (cost $318,820,050) – 100.1% |
|
|
|
347,591,814
|
|
|
Other
Assets Less Liabilities – (0.1)% |
|
|
|
(390,322)
|
|
|
Net
Assets – 100% |
|
|
|
$
347,201,492 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Non-income
producing; issuer has not declared a dividend within the past twelve months. |
|
(3)
|
The
rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
|
See accompanying notes to financial statements.
Nuveen Small Cap Value Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 99.3% |
|
|
|
|
|
|
COMMON
STOCKS – 99.3% |
|
|
|
|
|
|
Air
Freight & Logistics – 1.4% |
|
|
|
|
1,167,034
|
|
Air
Transport Services Group Inc, (2) |
|
|
|
$
27,460,310 |
|
|
Auto
Components – 2.3% |
|
|
|
|
599,027
|
|
Cooper
Tire & Rubber Co |
|
|
|
17,886,946
|
1,443,701
|
|
Dana
Inc |
|
|
|
28,152,170
|
|
|
Total
Auto Components |
|
|
|
46,039,116
|
|
|
Banks – 17.0%
|
|
|
|
|
662,875
|
|
Banner
Corp |
|
|
|
35,145,632
|
641,245
|
|
Berkshire
Hills Bancorp Inc |
|
|
|
19,230,938
|
991,880
|
|
Cathay
General Bancorp |
|
|
|
36,491,265
|
1,080,319
|
|
First
Busey Corp |
|
|
|
27,915,443
|
598,611
|
|
Heartland
Financial USA Inc. |
|
|
|
26,877,634
|
497,002
|
|
IBERIABANK
Corp |
|
|
|
39,511,659
|
491,298
|
|
Pinnacle
Financial Partners Inc. |
|
|
|
28,529,675
|
618,063
|
|
Preferred
Bank/Los Angeles CA |
|
|
|
30,402,519
|
789,533
|
|
Renasant
Corp |
|
|
|
28,628,467
|
994,343
|
|
Sterling
Bancorp/DE |
|
|
|
21,298,827
|
451,866
|
|
Western
Alliance Bancorp, (2) |
|
|
|
21,590,157
|
388,681
|
|
Wintrust
Financial Corp |
|
|
|
29,617,492
|
|
|
Total
Banks |
|
|
|
345,239,708
|
|
|
Beverages – 1.4%
|
|
|
|
|
1,754,211
|
|
Primo
Water Corp, (2) |
|
|
|
27,628,823
|
|
|
Building
Products – 1.8% |
|
|
|
|
937,833
|
|
Gibraltar
Industries Inc |
|
|
|
37,203,835
|
|
|
Capital
Markets – 3.1% |
|
|
|
|
347,452
|
|
Evercore
Inc. |
|
|
|
33,852,248
|
364,363
|
|
Piper
Jaffray Cos |
|
|
|
29,367,658
|
|
|
Total
Capital Markets |
|
|
|
63,219,906
|
|
|
Chemicals – 1.5%
|
|
|
|
|
488,039
|
|
Minerals
Technologies Inc. |
|
|
|
30,634,208
|
|
|
Commercial
Services & Supplies – 3.6% |
|
|
|
|
463,459
|
|
Brink's
Co/The |
|
|
|
37,044,278
|
920,102
|
|
Quad/Graphics
Inc |
|
|
|
11,234,446
|
Nuveen Small Cap Value Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Commercial
Services & Supplies (continued) |
|
|
|
|
744,943
|
|
SP
Plus Corp, (2) |
|
|
|
$
25,715,432 |
|
|
Total
Commercial Services & Supplies |
|
|
|
73,994,156
|
|
|
Communications
Equipment – 4.6% |
|
|
|
|
480,899
|
|
NETGEAR
Inc, (2) |
|
|
|
14,922,296
|
776,614
|
|
Plantronics
Inc. |
|
|
|
39,980,089
|
1,460,960
|
|
Radware
Ltd, (2) |
|
|
|
38,116,446
|
|
|
Total
Communications Equipment |
|
|
|
93,018,831
|
|
|
Construction
& Engineering – 3.1% |
|
|
|
|
989,737
|
|
Aegion
Corp, (2) |
|
|
|
19,705,664
|
320,221
|
|
EMCOR
Group Inc. |
|
|
|
26,943,395
|
843,034
|
|
Tutor
Perini Corp, (2) |
|
|
|
16,835,389
|
|
|
Total
Construction & Engineering |
|
|
|
63,484,448
|
|
|
Diversified
Telecommunication Services – 1.0% |
|
|
|
|
2,149,799
|
|
Vonage
Holdings Corp, (2) |
|
|
|
20,896,046
|
|
|
Electric
Utilities – 1.0% |
|
|
|
|
344,310
|
|
El
Paso Electric Co |
|
|
|
21,040,784
|
|
|
Electronic
Equipment, Instruments & Components – 3.7% |
|
|
|
|
437,905
|
|
Avnet
Inc |
|
|
|
21,286,562
|
302,252
|
|
SYNNEX
Corp |
|
|
|
32,606,946
|
1,659,067
|
|
TTM
Technologies Inc, (2) |
|
|
|
21,966,047
|
|
|
Total
Electronic Equipment, Instruments & Components |
|
|
|
75,859,555
|
|
|
Energy
Equipment & Services – 2.7% |
|
|
|
|
503,903
|
|
Apergy
Corp, (2) |
|
|
|
19,999,910
|
1,529,856
|
|
ProPetro
Holding Corp, (2) |
|
|
|
33,855,713
|
|
|
Total
Energy Equipment & Services |
|
|
|
53,855,623
|
|
|
Equity
Real Estate Investment Trust – 9.6% |
|
|
|
|
1,977,879
|
|
Brandywine
Realty Trust |
|
|
|
30,439,558
|
1,020,752
|
|
Kite
Realty Group Trust |
|
|
|
16,117,674
|
1,212,636
|
|
Preferred
Apartment Communities Inc |
|
|
|
18,965,627
|
1,837,226
|
|
RLJ
Lodging Trust |
|
|
|
33,823,331
|
1,179,027
|
|
STAG
Industrial Inc |
|
|
|
33,932,397
|
2,486,476
|
|
Summit
Hotel Properties Inc |
|
|
|
28,867,986
|
1,137,742
|
|
Washington
Real Estate Investment Trust |
|
|
|
32,129,834
|
|
|
Total
Equity Real Estate Investment Trust |
|
|
|
194,276,407
|
|
|
Food
Products – 1.2% |
|
|
|
|
1,863,363
|
|
Hostess
Brands Inc, (2) |
|
|
|
24,969,064
|
|
|
Gas
Utilities – 2.5% |
|
|
|
|
587,562
|
|
South
Jersey Industries Inc |
|
|
|
18,872,492
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Gas
Utilities (continued) |
|
|
|
|
367,785
|
|
Spire
Inc |
|
|
|
$
30,963,819 |
|
|
Total
Gas Utilities |
|
|
|
49,836,311
|
|
|
Health
Care Equipment & Supplies – 0.9% |
|
|
|
|
713,125
|
|
Natus
Medical Inc, (2) |
|
|
|
19,083,225
|
|
|
Health
Care Providers & Services – 0.7% |
|
|
|
|
284,100
|
|
AMN
Healthcare Services Inc., (2) |
|
|
|
14,790,246
|
|
|
Hotels,
Restaurants & Leisure – 0.9% |
|
|
|
|
236,225
|
|
Jack
in the Box Inc. |
|
|
|
18,212,947
|
|
|
Household
Durables – 2.7% |
|
|
|
|
892,712
|
|
La-Z-Boy
Inc. |
|
|
|
29,280,953
|
903,623
|
|
M/I
Homes Inc |
|
|
|
25,455,060
|
|
|
Total
Household Durables |
|
|
|
54,736,013
|
|
|
Insurance – 3.6%
|
|
|
|
|
223,477
|
|
AMERISAFE
Inc |
|
|
|
13,234,308
|
272,736
|
|
Argo
Group International Holdings Ltd |
|
|
|
21,292,500
|
1,724,044
|
|
CNO
Financial Group Inc |
|
|
|
28,532,928
|
270,336
|
|
Horace
Mann Educators Corp |
|
|
|
10,429,563
|
|
|
Total
Insurance |
|
|
|
73,489,299
|
|
|
Interactive
Media & Services – 1.2% |
|
|
|
|
1,149,677
|
|
Carscom
Inc, (2) |
|
|
|
23,924,778
|
|
|
Leisure
Products – 0.6% |
|
|
|
|
234,938
|
|
Brunswick
Corp/DE |
|
|
|
12,031,175
|
|
|
Machinery – 1.7%
|
|
|
|
|
2,331,437
|
|
Milacron
Holdings Corp, (2) |
|
|
|
34,062,295
|
|
|
Media – 1.1%
|
|
|
|
|
361,531
|
|
Meredith
Corp, (3) |
|
|
|
21,330,329
|
|
|
Metals
& Mining – 2.8% |
|
|
|
|
1,288,541
|
|
Allegheny
Technologies Inc |
|
|
|
32,110,441
|
2,750,852
|
|
SunCoke
Energy Inc |
|
|
|
23,684,836
|
|
|
Total
Metals & Mining |
|
|
|
55,795,277
|
|
|
Mortgage
Real Estate Investment Trust – 2.5% |
|
|
|
|
1,499,042
|
|
Invesco
Mortgage Capital Inc |
|
|
|
24,464,366
|
1,482,873
|
|
Ladder
Capital Corp |
|
|
|
25,801,990
|
|
|
Total
Mortgage Real Estate Investment Trust |
|
|
|
50,266,356
|
|
|
Multi-Utilities – 1.5%
|
|
|
|
|
412,063
|
|
Black
Hills Corp |
|
|
|
29,981,704
|
Nuveen Small Cap Value Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Oil,
Gas & Consumable Fuels – 2.9% |
|
|
|
|
183,091
|
|
Brigham
Minerals Inc, (2) |
|
|
|
$3,755,196 |
2,651,367
|
|
Callon
Petroleum Co, (2) |
|
|
|
19,911,766
|
648,392
|
|
Delek
US Holdings Inc. |
|
|
|
24,029,408
|
2,979,212
|
|
Southwestern
Energy Co, (2) |
|
|
|
11,767,887
|
|
|
Total
Oil, Gas & Consumable Fuels |
|
|
|
59,464,257
|
|
|
Pharmaceuticals – 0.9%
|
|
|
|
|
647,303
|
|
Prestige
Consumer Healthcare Inc, (2) |
|
|
|
19,043,654
|
|
|
Professional
Services – 1.3% |
|
|
|
|
558,291
|
|
Korn
Ferry |
|
|
|
26,250,843
|
|
|
Semiconductors
& Semiconductor Equipment – 1.7% |
|
|
|
|
1,073,680
|
|
Cypress
Semiconductor Corp |
|
|
|
18,445,822
|
172,049
|
|
MKS
Instruments Inc |
|
|
|
15,658,180
|
|
|
Total
Semiconductors & Semiconductor Equipment |
|
|
|
34,104,002
|
|
|
Software – 1.9%
|
|
|
|
|
241,234
|
|
Alarmcom
Holdings Inc, (2) |
|
|
|
17,098,666
|
2,253,857
|
|
TiVo
Corp |
|
|
|
21,118,640
|
|
|
Total
Software |
|
|
|
38,217,306
|
|
|
Specialty
Retail – 1.5% |
|
|
|
|
533,759
|
|
Aaron's
Inc. |
|
|
|
29,725,039
|
|
|
Textiles,
Apparel & Luxury Goods – 1.7% |
|
|
|
|
309,482
|
|
Culp
Inc |
|
|
|
6,350,570
|
674,619
|
|
G-III
Apparel Group Ltd, (2) |
|
|
|
29,109,810
|
|
|
Total
Textiles, Apparel & Luxury Goods |
|
|
|
35,460,380
|
|
|
Thrifts
& Mortgage Finance – 4.4% |
|
|
|
|
935,681
|
|
Flagstar
Bancorp Inc. |
|
|
|
33,450,596
|
1,401,281
|
|
Radian
Group Inc |
|
|
|
32,818,001
|
519,649
|
|
WSFS
Financial Corp |
|
|
|
22,438,444
|
|
|
Total
Thrifts & Mortgage Finance |
|
|
|
88,707,041
|
|
|
Water
Utilities – 1.3% |
|
|
|
|
511,768
|
|
California
Water Service Group |
|
|
|
25,787,990
|
|
|
Total
Long-Term Investments (cost $1,935,468,736) |
|
|
|
2,013,121,287
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
INVESTMENTS
PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 0.9% |
|
|
|
|
|
MONEY
MARKET FUNDS – 0.9% |
|
|
|
|
17,720,500
|
|
First
American Government Obligations Fund, Class X, (4) |
2.356%
(5) |
|
|
$
17,720,500 |
|
|
Total
Investments Purchased with Collateral from Securities Lending (cost $17,720,500) |
|
|
17,720,500
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
SHORT-TERM
INVESTMENTS – 0.4% |
|
|
|
|
|
|
MONEY
MARKET FUNDS – 0.4% |
|
|
|
|
8,451,301
|
|
First
American Treasury Obligations Fund, Class Z |
2.324%
(5) |
|
|
$
8,451,301 |
|
|
Total
Short-Term Investments (cost $8,451,301) |
|
|
|
8,451,301
|
|
|
Total
Investments (cost $1,961,640,537) – 100.6% |
|
|
|
2,039,293,088
|
|
|
Other
Assets Less Liabilities – (0.6)% |
|
|
|
(13,034,097)
|
|
|
Net
Assets – 100% |
|
|
|
$
2,026,258,991 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Non-income
producing; issuer has not declared a dividend within the past twelve months. |
|
(3)
|
Investment,
or a portion of investment, is out on loan for securities lending. The total value of the securities out on loan as of the end of the reporting period was $17,139,500. |
|
(4)
|
The
Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker dealers, banks, and other institutions. The Fund maintains collateral equal to at least 100% of
the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Securities
Lending for more information. |
|
(5)
|
The
rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
|
See accompanying notes to financial statements.
Statement of Assets and Liabilities
April 30, 2019
(Unaudited)
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Assets
|
|
|
|
Long-term
investments, at value (cost $903,805,700, $316,068,397 and $1,935,468,736, respectively) |
$1,127,949,067
|
$344,840,161
|
$2,013,121,287
|
Investment
purchased with collateral from securities lending, at value (cost approximates value) |
314,175
|
—
|
17,720,500
|
Short-term
investments, at value (cost approximates value) |
6,060,910
|
2,751,653
|
8,451,301
|
Receivable
for: |
|
|
|
Dividends
|
1,049,626
|
130,531
|
140,501
|
Due
from broker |
35
|
13
|
1,724
|
Interest
|
16,355
|
5,584
|
38,099
|
Investments
sold |
—
|
3,481,075
|
7,178,599
|
Reclaims
|
—
|
275
|
—
|
Shares
sold |
1,359,017
|
476,332
|
4,499,985
|
Other
assets |
120,514
|
60,900
|
110,051
|
Total
assets |
1,136,869,699
|
351,746,524
|
2,051,262,047
|
Liabilities
|
|
|
|
Payable
for: |
|
|
|
Collateral
from securities lending program |
314,175
|
—
|
17,720,500
|
Investments
purchased |
—
|
3,488,138
|
—
|
Shares
redeemed |
853,942
|
654,855
|
4,717,210
|
Accrued
expenses: |
|
|
|
Directors
fees |
85,315
|
11,304
|
54,908
|
Management
fees |
611,110
|
226,436
|
1,141,434
|
Shareholder
servicing agent fees |
369,194
|
101,145
|
967,110
|
12b-1
distribution and service fees |
77,987
|
22,710
|
119,142
|
Other
|
98,264
|
40,444
|
282,752
|
Total
liabilities |
2,409,987
|
4,545,032
|
25,003,056
|
Net
assets |
$1,134,459,712
|
$347,201,492
|
$2,026,258,991
|
|
|
|
|
See accompanying notes to financial statements.
Statement of Assets and Liabilities (Unaudited) (continued)
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Class
A Shares |
|
|
|
Net
assets |
$
223,344,987 |
$
59,239,804 |
$
260,024,408 |
Shares
outstanding |
16,081,471
|
1,489,536
|
11,267,318
|
Net
asset value ("NAV") per share |
$
13.89 |
$
39.77 |
$
23.08 |
Offering
price per share (NAV per share plus maximum sales charge of 5.75% of offering price) |
$
14.74 |
$
42.20 |
$
24.49 |
Class
C Shares |
|
|
|
Net
assets |
$
26,992,210 |
$
8,304,273 |
$
58,031,787 |
Shares
outstanding |
1,982,906
|
222,005
|
2,986,456
|
NAV
and offering price per share |
$
13.61 |
$
37.41 |
$
19.43 |
Class
R3 Shares |
|
|
|
Net
assets |
$
26,002,006 |
$
9,587,020 |
$
43,653,989 |
Shares
outstanding |
1,881,489
|
243,124
|
1,934,239
|
NAV
and offering price per share |
$
13.82 |
$
39.43 |
$
22.57 |
Class
R6 Shares |
|
|
|
Net
assets |
$
182,401,402 |
$
11,391,594 |
$
118,274,134 |
Shares
outstanding |
12,849,337
|
285,317
|
4,936,205
|
NAV
and offering price per share |
$
14.20 |
$
39.93 |
$
23.96 |
Class
I Shares |
|
|
|
Net
assets |
$
675,719,107 |
$258,678,801
|
$1,546,274,673
|
Shares
outstanding |
47,978,488
|
6,486,607
|
64,724,524
|
NAV
and offering price per share |
$
14.08 |
$
39.88 |
$
23.89 |
Fund
level net assets consist of: |
|
|
|
Capital
paid-in |
$
856,556,191 |
$322,910,381
|
$2,076,871,749
|
Total
distributable earnings |
277,903,521
|
24,291,111
|
(50,612,758)
|
Fund
level net assets |
$1,134,459,712
|
$347,201,492
|
$2,026,258,991
|
Authorized
shares - per class |
2
billion |
2
billion |
2
billion |
Par
value per share |
$
0.0001 |
$
0.0001 |
$
0.0001 |
See accompanying notes to financial statements.
Statement of Operations
Six Months Ended April 30, 2019
(Unaudited)
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Investment
Income |
|
|
|
Dividends
|
$15,251,011
|
$
2,875,698 |
$
19,132,926 |
Interest
|
95,021
|
55,112
|
164,363
|
Securities
lending income |
341
|
938
|
57,990
|
Foreign
tax withheld on dividend income |
(30,427)
|
(1,344)
|
—
|
Total
investment income |
15,315,946
|
2,930,404
|
19,355,279
|
Expenses
|
|
|
|
Management
fees |
3,565,255
|
1,119,605
|
7,948,385
|
12b-1
service fees - Class A Shares |
281,381
|
67,402
|
322,345
|
12b-1
distibution and service fees - Class C Shares |
138,997
|
36,646
|
303,463
|
12b-1
distibution and service fees - Class R3 Shares |
64,463
|
21,235
|
109,999
|
Shareholder
servicing agent fees |
644,693
|
172,991
|
2,464,222
|
Custodian
fees |
54,810
|
16,981
|
105,772
|
Professional
fees |
38,273
|
22,001
|
61,165
|
Directors
fees |
16,418
|
4,321
|
31,315
|
Shareholder
reporting expenses |
47,928
|
32,270
|
229,145
|
Federal
and state registration fees |
55,466
|
51,130
|
78,500
|
Other
|
9,085
|
1,748
|
21,208
|
Total
expenses before fee waiver/expense reimbursement |
4,916,769
|
1,546,330
|
11,675,519
|
Fee
waiver/expense reimbursement |
—
|
(122,211)
|
(1,279,267)
|
Net
expenses |
4,916,769
|
1,424,119
|
10,396,252
|
Net
investment income (loss) |
10,399,177
|
1,506,285
|
8,959,027
|
Realized
and Unrealized Gain (Loss) |
|
|
|
Net
realized gain (loss) from investments and foreign currency |
54,789,708
|
(5,786,619)
|
(125,759,458)
|
Change
in net unrealized appreciation (depreciation) of investments and foreign currency |
2,675,669
|
28,936,652
|
192,615,224
|
Net
realized and unrealized gain (loss) |
57,465,377
|
23,150,033
|
66,855,766
|
Net
increase (decrease) in net assets from operations |
$67,864,554
|
$24,656,318
|
$
75,814,793 |
See accompanying notes to financial statements.
Statement of Changes in Net Assets
(Unaudited)
|
Dividend
Value |
|
Mid
Cap Value |
|
Small
Cap Value |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
Operations
|
|
|
|
|
|
|
|
|
Net
investment income (loss) |
$
10,399,177 |
$
21,243,012 |
|
$
1,506,285 |
$
1,095,201 |
|
$
8,959,027 |
$
15,230,890 |
Net
realized gain (loss) from investments and foreign currency |
54,789,708
|
89,289,516
|
|
(5,786,619)
|
10,169,487
|
|
(125,759,458)
|
69,259,453
|
Change
in net unrealized appreciation (depreciation) of investments and foreign currency |
2,675,669
|
(66,520,545)
|
|
28,936,652
|
(20,528,631)
|
|
192,615,224
|
(307,403,692)
|
Net
increase (decrease) in net assets from operations |
67,864,554
|
44,011,983
|
|
24,656,318
|
(9,263,943)
|
|
75,814,793
|
(222,913,349)
|
Distributions
to Shareholders |
|
|
|
|
|
|
|
|
Dividends
|
|
|
|
|
|
|
|
|
Class
A Shares |
(19,607,046)
|
(34,728,444)
|
|
(2,090,136)
|
(2,999,640)
|
|
(9,218,364)
|
(2,578,153)
|
Class
C Shares |
(2,446,987)
|
(4,635,415)
|
|
(269,609)
|
(562,327)
|
|
(2,213,805)
|
(346,671)
|
Class
R3 Shares |
(2,237,229)
|
(4,035,422)
|
|
(305,976)
|
(390,060)
|
|
(1,486,197)
|
(248,991)
|
Class
R6 Shares(1) |
(14,520,410)
|
(23,647,109)
|
|
(150,144)
|
—
|
|
(4,532,713)
|
(610,197)
|
Class
I Shares |
(53,266,972)
|
(73,268,294)
|
|
(7,324,416)
|
(4,709,016)
|
|
(59,648,995)
|
(16,222,943)
|
Class
T Shares(2) |
—
|
(3,267)
|
|
—
|
—
|
|
—
|
(218)
|
Decrease
in net assets from distributions to shareholders |
(92,078,644)
|
(140,317,951)
|
|
(10,140,281)
|
(8,661,043)
|
|
(77,100,074)
|
(20,007,173)
|
Fund
Share Transactions |
|
|
|
|
|
|
|
|
Proceeds
from sale of shares |
134,471,168
|
323,024,720
|
|
156,546,125
|
144,755,470
|
|
434,787,145
|
1,445,452,753
|
Proceeds
from shares issued to shareholders due to reinvestment of distributions |
81,113,868
|
116,630,287
|
|
9,082,541
|
6,501,180
|
|
61,854,103
|
15,787,250
|
|
215,585,036
|
439,655,007
|
|
165,628,666
|
151,256,650
|
|
496,641,248
|
1,461,240,003
|
Cost
of shares redeemed |
(169,544,852)
|
(322,670,588)
|
|
(39,512,596)
|
(37,204,641)
|
|
(811,912,964)
|
(813,996,405)
|
Net
increase (decrease) in net assets from Fund share transactions |
46,040,184
|
116,984,419
|
|
126,116,070
|
114,052,009
|
|
(315,271,716)
|
647,243,598
|
Net
increase (decrease) in net assets |
21,826,094
|
20,678,451
|
|
140,632,107
|
96,127,023
|
|
(316,556,997)
|
404,323,076
|
Net
assets at the beginning of period |
1,112,633,618
|
1,091,955,167
|
|
206,569,385
|
110,442,362
|
|
2,342,815,988
|
1,938,492,912
|
Net
assets at the end of period |
$1,134,459,712
|
$1,112,633,618
|
|
$347,201,492
|
$206,569,385
|
|
$2,026,258,991
|
$2,342,815,988
|
(1)
|
Mid Cap
Value’s Class R6 Shares were established on June 20, 2018. |
(2)
|
Class T
Shares were not available for public offering. |
See accompanying notes to financial statements.
Financial Highlights
(Unaudited)
Dividend Value
Selected data for a share outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (12/92) |
|
|
|
|
|
|
|
|
|
2019(d)
|
$14.32
|
$0.12
|
$
0.66 |
$
0.78 |
|
$(0.16)
|
$(1.05)
|
$(1.21)
|
$13.89
|
2018
|
15.67
|
0.25
|
0.35
|
0.60
|
|
(0.24)
|
(1.71)
|
(1.95)
|
14.32
|
2017
|
15.12
|
0.22
|
2.72
|
2.94
|
|
(0.22)
|
(2.17)
|
(2.39)
|
15.67
|
2016
|
15.81
|
0.25
|
0.48
|
0.73
|
|
(0.30)
|
(1.12)
|
(1.42)
|
15.12
|
2015
|
17.44
|
0.28
|
(0.44)
|
(0.16)
|
|
(0.34)
|
(1.13)
|
(1.47)
|
15.81
|
2014
|
17.79
|
0.37
|
1.36
|
1.73
|
|
(0.38)
|
(1.70)
|
(2.08)
|
17.44
|
Class
C (02/99) |
|
|
|
|
|
|
|
|
|
2019(d)
|
14.06
|
0.07
|
0.63
|
0.70
|
|
(0.10)
|
(1.05)
|
(1.15)
|
13.61
|
2018
|
15.41
|
0.14
|
0.35
|
0.49
|
|
(0.13)
|
(1.71)
|
(1.84)
|
14.06
|
2017
|
14.90
|
0.11
|
2.68
|
2.79
|
|
(0.11)
|
(2.17)
|
(2.28)
|
15.41
|
2016
|
15.60
|
0.14
|
0.47
|
0.61
|
|
(0.19)
|
(1.12)
|
(1.31)
|
14.90
|
2015
|
17.23
|
0.16
|
(0.44)
|
(0.28)
|
|
(0.22)
|
(1.13)
|
(1.35)
|
15.60
|
2014
|
17.59
|
0.24
|
1.34
|
1.58
|
|
(0.24)
|
(1.70)
|
(1.94)
|
17.23
|
Class
R3 (09/01) |
|
|
|
|
|
|
|
|
|
2019(d)
|
14.26
|
0.10
|
0.65
|
0.75
|
|
(0.14)
|
(1.05)
|
(1.19)
|
13.82
|
2018
|
15.60
|
0.22
|
0.36
|
0.58
|
|
(0.21)
|
(1.71)
|
(1.92)
|
14.26
|
2017
|
15.08
|
0.18
|
2.71
|
2.89
|
|
(0.20)
|
(2.17)
|
(2.37)
|
15.60
|
2016
|
15.77
|
0.22
|
0.47
|
0.69
|
|
(0.26)
|
(1.12)
|
(1.38)
|
15.08
|
2015
|
17.41
|
0.24
|
(0.45)
|
(0.21)
|
|
(0.30)
|
(1.13)
|
(1.43)
|
15.77
|
2014
|
17.75
|
0.33
|
1.36
|
1.69
|
|
(0.33)
|
(1.70)
|
(2.03)
|
17.41
|
Class
R6 (02/13) |
|
|
|
|
|
|
|
|
|
2019(d)
|
14.61
|
0.15
|
0.67
|
0.82
|
|
(0.18)
|
(1.05)
|
(1.23)
|
14.20
|
2018
|
15.93
|
0.32
|
0.36
|
0.68
|
|
(0.29)
|
(1.71)
|
(2.00)
|
14.61
|
2017
|
15.32
|
0.25
|
2.79
|
3.04
|
|
(0.26)
|
(2.17)
|
(2.43)
|
15.93
|
2016
|
15.99
|
0.30
|
0.49
|
0.79
|
|
(0.34)
|
(1.12)
|
(1.46)
|
15.32
|
2015
|
17.62
|
0.34
|
(0.45)
|
(0.11)
|
|
(0.39)
|
(1.13)
|
(1.52)
|
15.99
|
2014
|
17.93
|
0.43
|
1.38
|
1.81
|
|
(0.42)
|
(1.70)
|
(2.12)
|
17.62
|
Class
I (08/94) |
|
|
|
|
|
|
|
|
|
2019(d)
|
14.51
|
0.14
|
0.66
|
0.80
|
|
(0.18)
|
(1.05)
|
(1.23)
|
14.08
|
2018
|
15.85
|
0.30
|
0.36
|
0.66
|
|
(0.29)
|
(1.71)
|
(2.00)
|
14.51
|
2017
|
15.27
|
0.26
|
2.75
|
3.01
|
|
(0.26)
|
(2.17)
|
(2.43)
|
15.85
|
2016
|
15.95
|
0.29
|
0.49
|
0.78
|
|
(0.34)
|
(1.12)
|
(1.46)
|
15.27
|
2015
|
17.60
|
0.33
|
(0.46)
|
(0.13)
|
|
(0.39)
|
(1.13)
|
(1.52)
|
15.95
|
2014
|
17.93
|
0.42
|
1.37
|
1.79
|
|
(0.42)
|
(1.70)
|
(2.12)
|
17.60
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(c) |
|
|
|
|
|
6.41%
|
$
223,345 |
1.11%*
|
1.80%*
|
41%
|
3.72
|
264,271
|
1.08
|
1.68
|
68
|
20.95
|
269,063
|
1.08
|
1.46
|
56
|
5.33
|
259,457
|
1.14
|
1.69
|
67
|
(0.87)
|
310,055
|
1.15
|
1.72
|
53
|
10.78
|
371,703
|
1.15
|
2.19
|
27
|
|
|
|
|
|
5.94
|
26,992
|
1.86*
|
1.07*
|
41
|
2.98
|
31,111
|
1.83
|
0.95
|
68
|
20.09
|
39,825
|
1.83
|
0.72
|
56
|
4.46
|
43,097
|
1.89
|
0.94
|
67
|
(1.59)
|
53,507
|
1.90
|
0.98
|
53
|
10.01
|
65,366
|
1.90
|
1.43
|
27
|
|
|
|
|
|
6.22
|
26,002
|
1.36*
|
1.54*
|
41
|
3.53
|
27,927
|
1.33
|
1.44
|
68
|
20.64
|
33,639
|
1.33
|
1.21
|
56
|
5.01
|
31,758
|
1.39
|
1.49
|
67
|
(1.12)
|
42,618
|
1.40
|
1.45
|
53
|
10.59
|
48,476
|
1.40
|
1.92
|
27
|
|
|
|
|
|
6.59
|
182,401
|
0.72*
|
2.16*
|
41
|
4.15
|
172,215
|
0.72
|
2.05
|
68
|
21.40
|
188,356
|
0.73
|
1.63
|
56
|
5.63
|
50,588
|
0.79
|
2.04
|
67
|
(0.51)
|
56,123
|
0.81
|
2.03
|
53
|
11.23
|
62,309
|
0.81
|
2.52
|
27
|
|
|
|
|
|
6.48
|
675,719
|
0.85*
|
2.01*
|
41
|
4.02
|
617,086
|
0.83
|
1.94
|
68
|
21.25
|
561,047
|
0.83
|
1.73
|
56
|
5.56
|
654,967
|
0.89
|
1.95
|
67
|
(0.64)
|
930,850
|
0.90
|
1.99
|
53
|
11.11
|
1,178,972
|
0.90
|
2.42
|
27
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(d)
|
For the
six months ended April 30, 2019. |
*
|
Annualized.
|
See
accompanying notes to financial statements.
Financial Highlights (Unaudited) (continued)
Mid Cap Value
Selected data for a share
outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (12/87) |
|
|
|
|
|
|
|
|
|
2019(e)
|
$38.91
|
$
0.17 |
$
2.22 |
$
2.39 |
|
$(0.09)
|
$(1.44)
|
$(1.53)
|
$39.77
|
2018
|
42.32
|
0.29
|
(0.46)
|
(0.17)
|
|
(0.26)
|
(2.98)
|
(3.24)
|
38.91
|
2017
|
35.23
|
0.26
|
8.17
|
8.43
|
|
(0.32)
|
(1.02)
|
(1.34)
|
42.32
|
2016
|
35.39
|
0.30
|
0.72
|
1.02
|
|
(0.09)
|
(1.09)
|
(1.18)
|
35.23
|
2015
|
35.37
|
0.10
|
0.22
|
0.32
|
|
(0.30)
|
—
|
(0.30)
|
35.39
|
2014
|
31.00
|
0.23
|
4.30
|
4.53
|
|
(0.16)
|
—
|
(0.16)
|
35.37
|
Class
C (02/99) |
|
|
|
|
|
|
|
|
|
2019(e)
|
36.73
|
0.03
|
2.09
|
2.12
|
|
—
|
(1.44)
|
(1.44)
|
37.41
|
2018
|
40.17
|
—* |
(0.46)
|
(0.46)
|
|
—
|
(2.98)
|
(2.98)
|
36.73
|
2017
|
33.50
|
(0.03)
|
7.78
|
7.75
|
|
(0.06)
|
(1.02)
|
(1.08)
|
40.17
|
2016
|
33.86
|
0.04
|
0.69
|
0.73
|
|
—
|
(1.09)
|
(1.09)
|
33.50
|
2015
|
33.86
|
(0.16)
|
0.20
|
0.04
|
|
(0.04)
|
—
|
(0.04)
|
33.86
|
2014
|
29.76
|
(0.02)
|
4.12
|
4.10
|
|
—
|
—
|
—
|
33.86
|
Class
R3 (09/01) |
|
|
|
|
|
|
|
|
|
2019(e)
|
38.55
|
0.12
|
2.20
|
2.32
|
|
—
|
(1.44)
|
(1.44)
|
39.43
|
2018
|
41.95
|
0.18
|
(0.44)
|
(0.26)
|
|
(0.16)
|
(2.98)
|
(3.14)
|
38.55
|
2017
|
34.94
|
0.17
|
8.09
|
8.26
|
|
(0.23)
|
(1.02)
|
(1.25)
|
41.95
|
2016
|
35.17
|
0.21
|
0.65
|
0.86
|
|
—
|
(1.09)
|
(1.09)
|
34.94
|
2015
|
35.15
|
0.02
|
0.21
|
0.23
|
|
(0.21)
|
—
|
(0.21)
|
35.17
|
2014
|
30.82
|
0.15
|
4.27
|
4.42
|
|
(0.09)
|
—
|
(0.09)
|
35.15
|
Class
R6 (06/18) |
|
|
|
|
|
|
|
|
|
2019(e)
|
39.10
|
0.21
|
2.25
|
2.46
|
|
(0.19)
|
(1.44)
|
(1.63)
|
39.93
|
2018(f)
|
42.86
|
0.11
|
(3.87)
|
(3.76)
|
|
—
|
—
|
—
|
39.10
|
Class
I (02/94) |
|
|
|
|
|
|
|
|
|
2019(e)
|
39.08
|
0.22
|
2.21
|
2.43
|
|
(0.19)
|
(1.44)
|
(1.63)
|
39.88
|
2018
|
42.49
|
0.40
|
(0.47)
|
(0.07)
|
|
(0.36)
|
(2.98)
|
(3.34)
|
39.08
|
2017
|
35.36
|
0.36
|
8.20
|
8.56
|
|
(0.41)
|
(1.02)
|
(1.43)
|
42.49
|
2016
|
35.52
|
0.38
|
0.73
|
1.11
|
|
(0.18)
|
(1.09)
|
(1.27)
|
35.36
|
2015
|
35.50
|
0.20
|
0.20
|
0.40
|
|
(0.38)
|
—
|
(0.38)
|
35.52
|
2014
|
31.10
|
0.32
|
4.31
|
4.63
|
|
(0.23)
|
—
|
(0.23)
|
35.50
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets Before Waiver/Reimbursement |
|
Ratios
to Average Net Assets After Waiver/Reimbursement(c) |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
|
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(d) |
|
|
|
|
|
|
|
|
6.70%
|
$
59,240 |
1.26%***
|
0.82%***
|
|
1.17%***
|
0.91%***
|
18%
|
(0.65)
|
51,202
|
1.31
|
0.55
|
|
1.17
|
0.69
|
49
|
24.43
|
40,319
|
1.32
|
0.52
|
|
1.17
|
0.67
|
43
|
3.12
|
34,230
|
1.39
|
0.73
|
|
1.26
|
0.86
|
44
|
0.89
|
36,378
|
1.41
|
0.20
|
|
1.32
|
0.29
|
111
|
14.65
|
39,858
|
1.42
|
0.61
|
|
1.34
|
0.69
|
127
|
|
|
|
|
|
|
|
|
6.32
|
8,304
|
2.01***
|
0.07***
|
|
1.92***
|
0.16***
|
18
|
(1.41)
|
6,899
|
2.06
|
(0.14)
|
|
1.92
|
—**
|
49
|
23.52
|
7,474
|
2.07
|
(0.23)
|
|
1.92
|
(0.08)
|
43
|
2.32
|
6,529
|
2.14
|
(0.02)
|
|
2.01
|
0.11
|
44
|
0.15
|
7,379
|
2.16
|
(0.55)
|
|
2.07
|
(0.46)
|
111
|
13.78
|
8,066
|
2.17
|
(0.14)
|
|
2.09
|
(0.06)
|
127
|
|
|
|
|
|
|
|
|
6.57
|
9,587
|
1.51***
|
0.57***
|
|
1.42***
|
0.66***
|
18
|
(0.90)
|
7,670
|
1.56
|
0.30
|
|
1.42
|
0.44
|
49
|
24.11
|
5,284
|
1.57
|
0.28
|
|
1.42
|
0.43
|
43
|
2.86
|
5,206
|
1.64
|
0.48
|
|
1.51
|
0.61
|
44
|
0.65
|
6,942
|
1.66
|
(0.04)
|
|
1.57
|
0.05
|
111
|
14.35
|
8,401
|
1.67
|
0.37
|
|
1.59
|
0.46
|
127
|
|
|
|
|
|
|
|
|
6.91
|
11,392
|
0.86***
|
1.04***
|
|
0.78***
|
1.12***
|
18
|
(8.77)
|
958
|
0.93***
|
0.56***
|
|
0.79***
|
0.71***
|
49
|
|
|
|
|
|
|
|
|
6.84
|
258,679
|
1.00***
|
1.06***
|
|
0.92***
|
1.15***
|
18
|
(0.40)
|
139,841
|
1.07
|
0.80
|
|
0.92
|
0.95
|
49
|
24.75
|
57,365
|
1.07
|
0.77
|
|
0.92
|
0.92
|
43
|
3.38
|
53,631
|
1.14
|
0.98
|
|
1.01
|
1.11
|
44
|
1.12
|
67,834
|
1.16
|
0.46
|
|
1.07
|
0.55
|
111
|
14.95
|
75,981
|
1.17
|
0.86
|
|
1.09
|
0.94
|
127
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
After fee
waiver and/or expense reimbursement from the Adviser, when applicable. See Note 7 – Management Fees and Other Transactions with Affiliates, Management Fees for more information. |
(d)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e)
|
For the
six months ended April 30, 2019. |
(f)
|
For the
period June 20, 2018 (commencement of operations) through October 31, 2018. |
*
|
Rounds to
less than $(0.01). |
**
|
Rounds to
less than 0.01%. |
***
|
Annualized.
|
See
accompanying notes to financial statements.
Financial Highlights (Unaudited) (continued)
Small Cap Value
Selected data for a share
outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (08/94) |
|
|
|
|
|
|
|
|
|
2019(e)
|
$22.96
|
$
0.07 |
$
0.83 |
$
0.90 |
|
$(0.13)
|
$(0.65)
|
$(0.78)
|
$23.08
|
2018
|
25.19
|
0.12
|
(2.15)
|
(2.03)
|
|
(0.10)
|
(0.10)
|
(0.20)
|
22.96
|
2017
|
20.98
|
0.11
|
4.70
|
4.81
|
|
(0.09)
|
(0.51)
|
(0.60)
|
25.19
|
2016
|
19.95
|
0.14
|
1.20
|
1.34
|
|
(0.01)
|
(0.30)
|
(0.31)
|
20.98
|
2015
|
18.55
|
0.07
|
1.40
|
1.47
|
|
(0.07)
|
—
|
(0.07)
|
19.95
|
2014
|
16.98
|
0.05
|
1.58
|
1.63
|
|
(0.06)
|
—
|
(0.06)
|
18.55
|
Class
C (02/99) |
|
|
|
|
|
|
|
|
|
2019(e)
|
19.39
|
(0.01)
|
0.70
|
0.69
|
|
—
|
(0.65)
|
(0.65)
|
19.43
|
2018
|
21.36
|
(0.06)
|
(1.81)
|
(1.87)
|
|
—
|
(0.10)
|
(0.10)
|
19.39
|
2017
|
17.92
|
(0.06)
|
4.01
|
3.95
|
|
—
|
(0.51)
|
(0.51)
|
21.36
|
2016
|
17.20
|
(0.01)
|
1.03
|
1.02
|
|
—
|
(0.30)
|
(0.30)
|
17.92
|
2015
|
16.06
|
(0.07)
|
1.21
|
1.14
|
|
—
|
—
|
—
|
17.20
|
2014
|
14.76
|
(0.07)
|
1.37
|
1.30
|
|
—
|
—
|
—
|
16.06
|
Class
R3 (09/01) |
|
|
|
|
|
|
|
|
|
2019(e)
|
22.43
|
0.04
|
0.82
|
0.86
|
|
(0.07)
|
(0.65)
|
(0.72)
|
22.57
|
2018
|
24.61
|
0.05
|
(2.09)
|
(2.04)
|
|
(0.04)
|
(0.10)
|
(0.14)
|
22.43
|
2017
|
20.51
|
0.05
|
4.60
|
4.65
|
|
(0.04)
|
(0.51)
|
(0.55)
|
24.61
|
2016
|
19.56
|
0.09
|
1.16
|
1.25
|
|
—
|
(0.30)
|
(0.30)
|
20.51
|
2015
|
18.19
|
0.02
|
1.38
|
1.40
|
|
(0.03)
|
—
|
(0.03)
|
19.56
|
2014
|
16.65
|
0.01
|
1.55
|
1.56
|
|
(0.02)
|
—
|
(0.02)
|
18.19
|
Class
R6 (06/16) |
|
|
|
|
|
|
|
|
|
2019(e)
|
23.83
|
0.13
|
0.85
|
0.98
|
|
(0.20)
|
(0.65)
|
(0.85)
|
23.96
|
2018
|
26.09
|
0.23
|
(2.22)
|
(1.99)
|
|
(0.17)
|
(0.10)
|
(0.27)
|
23.83
|
2017
|
21.71
|
0.21
|
4.84
|
5.05
|
|
(0.16)
|
(0.51)
|
(0.67)
|
26.09
|
2016(f)
|
21.08
|
0.07
|
0.56
|
0.63
|
|
—
|
—*
|
—*
|
21.71
|
Class
I (08/94) |
|
|
|
|
|
|
|
|
|
2019(e)
|
23.79
|
0.11
|
0.84
|
0.95
|
|
(0.20)
|
(0.65)
|
(0.85)
|
23.89
|
2018
|
26.09
|
0.19
|
(2.22)
|
(2.03)
|
|
(0.17)
|
(0.10)
|
(0.27)
|
23.79
|
2017
|
21.70
|
0.17
|
4.88
|
5.05
|
|
(0.15)
|
(0.51)
|
(0.66)
|
26.09
|
2016
|
20.63
|
0.19
|
1.24
|
1.43
|
|
(0.06)
|
(0.30)
|
(0.36)
|
21.70
|
2015
|
19.18
|
0.12
|
1.45
|
1.57
|
|
(0.12)
|
—
|
(0.12)
|
20.63
|
2014
|
17.55
|
0.10
|
1.63
|
1.73
|
|
(0.10)
|
—
|
(0.10)
|
19.18
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets Before Waiver/Reimbursement |
|
Ratios
to Average Net Assets After Waiver/Reimbursement(c) |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
|
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(d) |
|
|
|
|
|
|
|
|
4.47%
|
$
260,024 |
1.33%**
|
0.54%**
|
|
1.20%**
|
0.67%**
|
14%
|
(8.12)
|
291,122
|
1.24
|
0.43
|
|
1.20
|
0.47
|
35
|
23.06
|
326,495
|
1.26
|
0.43
|
|
1.22
|
0.46
|
29
|
6.85
|
167,840
|
1.34
|
0.65
|
|
1.30
|
0.68
|
40
|
7.95
|
48,656
|
1.40
|
0.32
|
|
1.39
|
0.34
|
49
|
9.61
|
44,739
|
1.47
|
0.25
|
|
1.43
|
0.28
|
55
|
|
|
|
|
|
|
|
|
4.06
|
58,032
|
2.08**
|
(0.19)**
|
|
1.95**
|
(0.06)**
|
14
|
(8.80)
|
70,077
|
1.99
|
(0.32)
|
|
1.95
|
(0.28)
|
35
|
22.14
|
71,902
|
2.01
|
(0.33)
|
|
1.97
|
(0.29)
|
29
|
6.08
|
26,815
|
2.09
|
(0.11)
|
|
2.05
|
(0.08)
|
40
|
7.10
|
4,507
|
2.15
|
(0.44)
|
|
2.14
|
(0.42)
|
49
|
8.81
|
3,008
|
2.21
|
(0.51)
|
|
2.18
|
(0.48)
|
55
|
|
|
|
|
|
|
|
|
4.32
|
43,654
|
1.57**
|
0.30**
|
|
1.45**
|
0.42**
|
14
|
(8.34)
|
47,205
|
1.49
|
0.17
|
|
1.45
|
0.21
|
35
|
22.79
|
42,975
|
1.51
|
0.18
|
|
1.47
|
0.22
|
29
|
6.58
|
26,510
|
1.59
|
0.43
|
|
1.56
|
0.46
|
40
|
7.62
|
14,516
|
1.65
|
0.07
|
|
1.64
|
0.09
|
49
|
9.38
|
11,530
|
1.72
|
0.01
|
|
1.68
|
0.04
|
55
|
|
|
|
|
|
|
|
|
4.71
|
118,274
|
0.83**
|
1.05**
|
|
0.70**
|
1.17**
|
14
|
(7.73)
|
121,943
|
0.82
|
0.82
|
|
0.78
|
0.86
|
35
|
23.40
|
52,508
|
0.85
|
0.82
|
|
0.81
|
0.86
|
29
|
3.00
|
19,967
|
0.89**
|
0.85**
|
|
0.83**
|
0.91**
|
40
|
|
|
|
|
|
|
|
|
4.58
|
1,546,275
|
1.08**
|
0.80**
|
|
0.95**
|
0.93**
|
14
|
(7.88)
|
1,812,444
|
0.99
|
0.67
|
|
0.95
|
0.71
|
35
|
23.40
|
1,444,587
|
1.01
|
0.66
|
|
0.97
|
0.70
|
29
|
7.09
|
369,016
|
1.09
|
0.90
|
|
1.05
|
0.93
|
40
|
8.22
|
91,044
|
1.15
|
0.58
|
|
1.14
|
0.59
|
49
|
9.89
|
71,521
|
1.22
|
0.51
|
|
1.18
|
0.54
|
55
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
After fee
waiver and/or expense reimbursement from the Adviser, where applicable. See Note 7 – Management Fees and Other Transactions with Affiliates, Management Fees for more information. |
(d)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e)
|
For the
six months ended April 30, 2019. |
(f)
|
For the
period June 30, 2016 (commencement of operations) through October 31, 2016. |
*
|
Rounds to
less than $(0.01). |
**
|
Annualized.
|
See accompanying notes to financial statements.
Notes to Financial Statements
(Unaudited)
1. General Information and Significant Accounting
Policies
General Information
Trust and Fund Information
Nuveen Investment Funds, Inc. (the “Trust”), is an
open-end management investment company registered under the Investment Company Act of 1940, as amended. The Trust is comprised of Nuveen Dividend Value Fund (“Dividend Value”), Nuveen Mid Cap Value Fund (“Mid Cap Value”) and
Nuveen Small Cap Value Fund (“Small Cap Value”), (each a “Fund” and collectively, the “Funds”), as diversified funds, among others. The Trust was incorporated in the State of Maryland on August 20, 1987.
The end of the reporting period for the Funds is April 30,
2019, and the period covered by these Notes to Financial Statements is the six months ended April 30, 2019 (the “current fiscal period”).
Investment Adviser
The Funds' investment adviser is Nuveen Fund Advisors, LLC (the
“Adviser”), a subsidiary of Nuveen, LLC (“Nuveen”). Nuveen is the investment management arm of Teachers Insurance and Annuity Association of America (TIAA). The Adviser has overall responsibility for management of the Funds,
oversees the management of the Funds' portfolios, manages the Funds' business affairs and provides certain clerical, bookkeeping and other administrative services, and, if necessary, asset allocation decisions. The Adviser has entered into
sub-advisory agreements with Nuveen Asset Management, LLC, (the “Sub-Adviser”), a subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds.
Investment Objectives
Dividend Value’s investment objective is long-term growth
of capital and income while Mid Cap Value’s and Small Cap Value’s is capital appreciation.
The Funds’ most recent prospectus provides further
descriptions of each Fund’s investment objective, principal investment strategies and principal risks.
Significant Accounting Policies
Each Fund is an investment company and follows accounting and
reporting guidance under Financial Accounting Standards Board ("FASB") Accounting Standards Codification (ASC) Topic 946 "Financial Services-Investment Companies." The following is a summary of significant accounting policies followed by the Funds
in the preparation of their financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).
Investment Transactions
Investment transactions are recorded on a trade date basis.
Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have
extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have earmarked securities in their portfolios with a current value at least equal to the amount of the when-issued/delayed
delivery purchase commitments.
As of the end of the
reporting period, the Funds did not have any outstanding when-issued/delayed delivery purchase commitments.
Investment Income
Dividend income is recorded on the ex-dividend date or, for
foreign securities, when information is available. Non-cash dividends received in the form of stock, if any, are recognized on the ex-dividend date and recorded at fair value. Interest income is recorded on an accrual basis. Securities lending
income is comprised of fees earned from borrowers and income earned on cash collateral investments.
Professional Fees
Professional fees presented on the Statement of Operations
consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment or to pursue other
claims or legal actions on behalf of Fund shareholders. If a refund is received for workout expenditures paid in a prior reporting period, such amounts will be recognized as “Legal fee refund” on the Statement of Operations.
Dividends and Distributions to Shareholders
Dividends from net investment income, if any, are declared and
distributed to shareholders annually (except for Dividend Value, which are declared and distributed to shareholders quarterly). Net realized capital gains from investment transactions, if any, are declared and distributed to shareholders at least
annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards.
Distributions to shareholders are recorded on the ex-dividend
date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP.
Share Classes and Sales Charges
Class A Shares are generally sold with an up-front sales charge
and incur a 0.25% annual 12b-1 service fee. Class A Share purchases of $1 million or more are sold at net asset value (“NAV”) without an up-front sales charge but may be subject to a contingent deferred sales charge (“CDSC”)
of 1% if redeemed within eighteen months of purchase. Class C Shares are sold without an up-front sales charge but incur a 0.75% annual 12b-1 distribution fee and a 0.25% annual 12b-1 service fee. Class C Shares are subject to a CDSC of 1% if
redeemed within twelve months of purchase. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares are sold without an up-front sales charge but incur a 0.25% annual 12b-1 distribution fee and a 0.25% annual
12b-1 service fee. Class R6 Shares and Class I Shares are not subject to any sales charge or 12b-1 distribution or service fees.
Multiclass Operations and Allocations
Income and expenses of the Funds that are not directly
attributable to a specific class of shares are prorated among the classes based on the relative net assets of each class. Expenses directly attributable to a class of shares are recorded to the specific class. Currently, the only expenses that are
allocated on a class-specific basis are 12b-1 distribution and service fees.
Sub-transfer agent fees and similar fees, which are recognized
as a component of “Shareholder servicing agent fees” on the Statement of Operations, are not charged to Class R6 Shares and are prorated among the other classes based on their relative net assets.
Realized and unrealized capital gains and losses of the Funds
are prorated among the classes based on the relative net assets of each class.
Compensation
The Trust pays no compensation directly to those of its
directors who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Trust from the Adviser or its affiliates. The Funds' Board of Directors (the "Board") has adopted a deferred compensation
plan for independent directors that enables directors to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though
equal dollar amounts had been invested in shares of select Nuveen-advised funds.
Indemnifications
Under the Trust’s organizational documents, its officers
and directors are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, in the normal course of business, the Trust enters into contracts that provide general indemnifications to other
parties. The Trust's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred. However, the Trust has not had prior claims or losses pursuant to these
contracts and expects the risk of loss to be remote.
Netting Agreements
In the ordinary course of business, the Funds may enter into
transactions subject to enforceable master repurchase agreements, International Swaps and Derivative Association, Inc. (ISDA) master agreements or other similar arrangements (“netting agreements”). Generally, the right to offset in
netting agreements allows each Fund to offset certain securities and derivatives with a specific counterparty, when applicable, as well as any collateral received or delivered to that counterparty based on the terms of the agreements. Generally,
each Fund manages its cash collateral and securities collateral on a counterparty basis.
The Funds' investments subject to netting agreements as of the
end of the reporting period, if any, are further described in Note 3 – Portfolio Securities and Investments in Derivatives.
Use of Estimates
The preparation of financial statements in conformity with U.S.
GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during
the current fiscal period. Actual results may differ from those estimates.
2. Investment Valuation and Fair Value
Measurements
The fair valuation input levels as described
below are for fair value measurement purposes.
Fair value
is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used
to maximize the use of observable market
Notes to Financial Statements (Unaudited) (continued)
data and minimize the use of unobservable inputs and to establish
classification of fair value measurements for disclosure purposes. 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. The following is a summary of the three-tiered hierarchy of valuation input levels.
Level 1
– Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
Level 2
– Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, credit spreads, etc.).
Level 3
– Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
Common stocks and other equity-type securities are valued at
the last sales price on the securities exchange on which such securities are primarily traded and are generally classified as Level 1. Securities primarily traded on the Nasdaq National Market (“Nasdaq”) are valued at the Nasdaq Official
Closing Price and are generally classified as Level 1. However, securities traded on a securities exchange or Nasdaq for which there were no transactions on a given day or securities not listed on a securities exchange or Nasdaq are valued at the
quoted bid price and are generally classified as Level 2. Prices of certain American Depositary Receipts (“ADR”) held by the Funds that trade in the United States are valued based on the last traded price, official closing price or the
most recent bid price of the underlying non-U.S.-traded stock, adjusted as appropriate for the underlying-to-ADR conversion ratio and foreign exchange rate, and from time-to-time may also be adjusted further to take into account material events that
may take place after the close of the local non-U.S. market but before the close of the New York Stock Exchange (“NYSE”), which may represent a transfer from a Level 1 to a Level 2 security.
Investments in investment companies are valued at their
respective NAVs on the valuation date and are generally classified as Level 1.
Investments initially valued in currencies other than the U.S.
dollar are converted to the U.S. dollar using exchange rates obtained from independent pricing services (“pricing service”). As a result, the NAV of the Fund's shares may be affected by changes in the value of currencies in relation to
the U.S. dollar. The value of securities traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the NYSE is closed and an investor is not able to purchase,
redeem or exchange shares. If significant market events occur between the time of determination of the closing price of a foreign security on an exchange and the time that the Fund's NAV is determined, or if under the Fund's procedures, the closing
price of a foreign security is not deemed to be reliable, the security would be valued at fair value as determined in accordance with procedures established in good faith by the Board. These securities are generally classified as Level 2 or Level 3
depending on the observability of the significant inputs.
Certain securities may not be able to be priced by the
pre-established pricing methods as described above. Such securities may be valued by the Board and/or its appointee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be
publicly sold without registration under the Securities Act of 1933, as amended) for which a pricing service is unable to provide a market price; securities whose trading has been formally suspended; debt securities that have gone into default and
for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially affect the value of the
security after the market has closed but before the calculation of a Fund’s NAV (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable market quotation; and a
security whose price, as provided by the pricing service, is not deemed to reflect the security’s fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might reasonably expect to receive
for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon,
maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics
considered relevant. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs. Regardless of the method employed to value a particular security, all valuations are subject to review by
the Board and/or its appointee.
The inputs or
methodologies used for valuing securities are not an indication of the risks associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:
Dividend
Value |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$1,127,949,067
|
$ —
|
$ —
|
$1,127,949,067
|
Investments
Purchased with Collateral from Securities Lending |
314,175
|
—
|
—
|
314,175
|
Short-Term
Investments: |
|
|
|
|
Money
Market Funds |
6,060,910
|
—
|
—
|
6,060,910
|
Total
|
$1,134,324,152
|
$ —
|
$ —
|
$1,134,324,152
|
Mid
Cap Value |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$344,840,161
|
$ —
|
$ —
|
$344,840,161
|
Short-Term
Investments: |
|
|
|
|
Money
Market Funds |
2,751,653
|
—
|
—
|
2,751,653
|
Total
|
$347,591,814
|
$ —
|
$ —
|
$347,591,814
|
Small
Cap Value |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$2,013,121,287
|
$ —
|
$ —
|
$2,013,121,287
|
Investments
Purchased with Collateral from Securities Lending |
17,720,500
|
—
|
—
|
17,720,500
|
Short-Term
Investments: |
|
|
|
|
Money
Market Funds |
8,451,301
|
—
|
—
|
8,451,301
|
Total
|
$2,039,293,088
|
$ —
|
$ —
|
$2,039,293,088
|
*
|
Refer
to the Fund's Portfolio of Investments for industry classifications. |
3. Portfolio Securities and Investments in
Derivatives
Foreign Currency Transactions
To the extent that the Funds invest in securities and/or
contracts that are denominated in a currency other than U.S. dollars, the Funds will be subject to currency risk, which is the risk that an increase in the U.S. dollar relative to the foreign currency will reduce returns or portfolio value.
Generally, when the U.S. dollar rises in value against a foreign currency, the Funds' investments denominated in that currency will lose value because their currency is worth fewer U.S. dollars; the opposite effect occurs if the U.S. dollar falls in
relative value. Investments and other assets and liabilities denominated in foreign currencies are converted into U.S. dollars on a spot (i.e. cash) basis at the spot rate prevailing in the foreign currency exchange market at the time of valuation.
Purchases and sales of investments and income denominated in foreign currencies are translated into U.S. dollars on the respective dates of such transactions.
The books and records of the Funds are maintained in U.S.
dollars. Foreign currencies, assets and liabilities are translated into U.S. dollars at 4:00 p.m. Eastern Time. Investment transactions, income and expenses are translated on the respective dates of such transactions. Net realized foreign currency
gains and losses resulting from changes in exchange rates include foreign currency gains and losses between trade date and settlement date of the transactions, foreign currency transactions, and the difference between the amounts of interest and
dividends recorded on the books of the Funds and the amounts actually received.
The realized gains and losses resulting from changes in foreign
currency exchange rates and changes in foreign exchange rates associated with (i) foreign currency, (ii) investments (iii) investments in derivatives and (iv) other assets and liabilities are recognized as a component of “Net realized gain
(loss) from investments and foreign currency” on the Statement of Operations, when applicable.
The unrealized gains and losses resulting from changes in
foreign currency exchange rates and changes in foreign exchange rates associated with (i) investments and (ii) other assets and liabilities are recognized as a component of “Change in net unrealized appreciation (depreciation) of investments
and foreign currency” on the Statement of Operations, when applicable. The unrealized gains and losses resulting from changes in foreign exchange rates associated with investments in derivatives are recognized as a component of the respective
derivative’s related “Change in net unrealized appreciation (depreciation)” on the Statement of Operations, when applicable.
Securities Lending
In order to generate additional income, the Funds may lend
securities representing up to one-third of the value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks or other institutions. When loaning securities, each Fund retains the benefits of owning the
securities, including the economic equivalent of dividends or interest generated by the security. The Funds also have the ability to recall the securities on loan at any time.
Each Fund’s policy is to receive, at the inception of a
loan, cash collateral equal to at least 102% of the value of securities loaned, which is recognized as “Payable for collateral from securities lending program” on the Statement of Assets and Liabilities. Collateral for securities on loan
is invested in a money market fund, which is recognized as “Investments purchased with collateral from securities lending, at value” on the Statement of Assets and Liabilities. The market value of the securities loaned is determined at
the close of each business day in order to determine the adequacy of the collateral. If the value of the securities on loan increases such that the level of collateralization falls below 100%, additional collateral is received from the borrower on
the next business day, which is recognized as “Due from broker” on the Statement of Assets and Liabilities.
Securities out on loan are subject to termination at any time
at the option of the borrower or the Fund. Upon termination, the borrower is required to return to the Fund securities identical to the securities loaned. Generally, in the event the borrower defaults on its obligation to return the loaned
secu-
Notes to Financial Statements (Unaudited) (continued)
rities, the Fund has the right to use the collateral to acquire identical
securities. In the event the Fund is delayed or prevented from exercising its right to dispose of the collateral, there may be a loss to the Fund. Under the Funds’ securities lending agreement, however, the securities lending agent has
indemnified the Fund against losses resulting from borrower default, except to the extent that those losses result from a decrease in the value of the collateral due to its investment by the Funds. The Funds bear the risk of loss with respect to the
investment of collateral.
The Funds’ custodian,
U.S. Bank National Association, serves as their securities lending agent. Income earned from the securities lending program is paid to the Funds. Income from securities lending, is recognized as “Securities lending income” on the
Statement of Operations.
The following table presents the
securities out on loan for the following Funds, and the collateral delivered related to those securities, as of the end of the reporting period.
Fund
|
Asset
Class out on Loan |
Long-Term
Investments, at Value |
Collateral
Pledged (From) Counterparty* |
Net
Exposure |
Dividend
Value |
Common
Stocks |
$
306,294 |
$
(306,294) |
$ –
|
Small
Cap Value |
Common
Stocks |
17,139,500
|
(17,139,500)
|
–
|
* As of the end of the reporting
period, the value of the collateral pledged from the counterparty exceeded the value of the securities out on loan. Refer to the Fund’s Portfolio of Investments for details on the securities out on loan.
Investments in Derivatives
Each Fund is authorized to invest in certain derivative
instruments. The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds’ investments in derivatives may represent economic hedges, they
are not considered to be hedge transactions for financial reporting purposes.
Although the Funds are authorized to invest in derivative
instruments, and may do so in the future, they did not make any such investments during the current fiscal period.
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in
financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss
could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap
transactions, when applicable. The extent of each Fund’s exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities.
Each Fund helps manage counterparty credit risk by entering
into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to
pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an
unrealized loss, the Funds have instructed the custodian to pledge assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and
subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold amount.
4. Fund Shares
On December 12, 2018, Class T Shares were liquidated.
Transactions in Fund shares during the current and prior fiscal
period were as follows:
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Dividend
Value |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
1,070,624
|
$
14,037,367 |
|
5,789,126
|
$
86,271,698 |
Class
A – automatic conversion of Class C Shares |
40
|
503
|
|
29,018
|
427,811
|
Class
C |
196,416
|
2,478,660
|
|
253,170
|
3,702,096
|
Class
R3 |
62,203
|
803,102
|
|
155,234
|
2,316,358
|
Class
R6 |
672,369
|
8,705,864
|
|
794,027
|
12,158,135
|
Class
I |
8,017,910
|
108,445,672
|
|
14,229,038
|
218,148,622
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
1,447,117
|
18,148,068
|
|
2,163,746
|
31,854,985
|
Class
C |
182,487
|
2,239,125
|
|
288,294
|
4,159,311
|
Class
R3 |
170,532
|
2,126,660
|
|
246,914
|
3,617,734
|
Class
R6 |
1,132,751
|
14,515,471
|
|
1,569,413
|
23,552,126
|
Class
I |
3,464,127
|
44,084,544
|
|
3,579,638
|
53,446,131
|
|
16,416,576
|
215,585,036
|
|
29,097,618
|
439,655,007
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(4,889,024)
|
(67,658,721)
|
|
(6,701,785)
|
(100,566,373)
|
Class
C |
(609,323)
|
(7,823,744)
|
|
(883,400)
|
(13,014,741)
|
Class
C – automatic conversion to Class A Shares |
(41)
|
(503)
|
|
(29,560)
|
(427,811)
|
Class
R3 |
(310,279)
|
(4,134,238)
|
|
(599,099)
|
(9,023,109)
|
Class
R6 |
(746,217)
|
(10,251,781)
|
|
(2,395,873)
|
(36,553,415)
|
Class
I |
(6,035,952)
|
(79,652,082)
|
|
(10,671,696)
|
(163,085,139)
|
Class
T |
(1,667)
|
(23,783)
|
|
—
|
—
|
|
(12,592,503)
|
(169,544,852)
|
|
(21,281,413)
|
(322,670,588)
|
Net
increase (decrease) |
3,824,073
|
$
46,040,184 |
|
7,816,205
|
$
116,984,419 |
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Mid
Cap Value |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
373,102
|
$
13,896,314 |
|
504,154
|
$
21,150,656 |
Class
A – automatic conversion of Class C Shares |
152
|
5,812
|
|
3,862
|
162,100
|
Class
C |
50,918
|
1,755,428
|
|
131,905
|
5,251,382
|
Class
R3 |
63,115
|
2,304,424
|
|
111,702
|
4,715,378
|
Class
R6 |
292,417
|
10,832,495
|
|
24,807
|
1,070,916
|
Class
I |
3,431,025
|
127,751,652
|
|
2,648,894
|
112,405,038
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
57,804
|
2,013,596
|
|
73,053
|
2,956,152
|
Class
C |
8,113
|
266,263
|
|
14,507
|
553,571
|
Class
R3 |
8,859
|
305,976
|
|
9,739
|
390,060
|
Class
R6 |
4,274
|
149,193
|
|
—
|
—
|
Class
I |
181,850
|
6,347,513
|
|
64,012
|
2,601,397
|
|
4,471,629
|
165,628,666
|
|
3,586,635
|
151,256,650
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(257,318)
|
(9,631,373)
|
|
(217,896)
|
(9,165,758)
|
Class
C |
(24,684)
|
(873,348)
|
|
(140,592)
|
(5,586,483)
|
Class
C – automatic conversion to Class A Shares |
(161)
|
(5,812)
|
|
(4,081)
|
(162,100)
|
Class
R3 |
(27,842)
|
(1,021,011)
|
|
(48,404)
|
(2,017,859)
|
Class
R6 |
(35,873)
|
(1,396,351)
|
|
(308)
|
(13,342)
|
Class
I |
(704,377)
|
(26,584,701)
|
|
(484,850)
|
(20,259,099)
|
|
(1,050,255)
|
(39,512,596)
|
|
(896,131)
|
(37,204,641)
|
Net
increase (decrease) |
3,421,374
|
$126,116,070
|
|
2,690,504
|
$114,052,009
|
Notes to Financial Statements (Unaudited) (continued)
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Small
Cap Value |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
1,776,958
|
$
38,674,896 |
|
5,230,243
|
$
134,186,274 |
Class
A – automatic conversion of Class C Shares |
13
|
286
|
|
35
|
911
|
Class
C |
192,986
|
3,542,611
|
|
1,117,851
|
24,391,147
|
Class
R3 |
198,841
|
4,222,557
|
|
1,165,064
|
29,195,083
|
Class
R6 |
1,633,876
|
37,330,628
|
|
4,035,887
|
108,067,191
|
Class
I |
15,616,605
|
351,016,167
|
|
43,274,349
|
1,149,612,147
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
369,605
|
7,401,118
|
|
81,794
|
2,113,652
|
Class
C |
119,856
|
2,024,376
|
|
14,332
|
312,864
|
Class
R3 |
69,740
|
1,366,231
|
|
8,226
|
207,560
|
Class
R6 |
193,478
|
4,015,160
|
|
22,803
|
610,196
|
Class
I |
2,270,710
|
47,047,218
|
|
468,758
|
12,542,978
|
|
22,442,668
|
496,641,248
|
|
55,419,342
|
1,461,240,003
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(3,558,223)
|
(77,921,489)
|
|
(5,595,699)
|
(143,396,780)
|
Class
C |
(940,374)
|
(17,218,219)
|
|
(884,376)
|
(19,196,642)
|
Class
C – automatic conversion to Class A Shares |
(15)
|
(286)
|
|
(41)
|
(911)
|
Class
R3 |
(439,094)
|
(9,525,469)
|
|
(814,893)
|
(20,471,841)
|
Class
R6 |
(2,008,861)
|
(45,621,979)
|
|
(953,783)
|
(25,396,792)
|
Class
I |
(29,350,238)
|
(661,602,191)
|
|
(22,927,932)
|
(605,533,439)
|
Class
T |
(1,036)
|
(23,331)
|
|
—
|
—
|
|
(36,297,841)
|
(811,912,964)
|
|
(31,176,724)
|
(813,996,405)
|
Net
increase (decrease) |
(13,855,173)
|
$(315,271,716)
|
|
24,242,618
|
$
647,243,598 |
5. Investment Transactions
Long-term purchases and sales (excluding investments purchased
with collateral from securities lending, where applicable) during the current fiscal period were as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Purchases
|
$441,731,609
|
$169,735,593
|
$285,976,052
|
Sales
|
470,823,900
|
50,499,158
|
663,079,200
|
6. Income Tax
Information
Each Fund is a separate taxpayer for federal
income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to
regulated investment companies. Therefore, no federal income tax provision is required.
For all open tax years and all major taxing jurisdictions,
management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally the
last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly
change in the next twelve months.
The following
information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing certain gains and losses on investment transactions. To the
extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts as detailed below. Temporary differences do not require reclassification. Temporary and permanent differences do not impact the
NAVs of the Funds.
The table below presents the cost and
unrealized appreciation (depreciation) of each Fund’s investment portfolio, as determined on a federal income tax basis, as of April 30, 2019.
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Tax
cost of investments |
$911,831,776
|
$319,007,111
|
$1,965,781,695
|
Gross
unrealized: |
|
|
|
Appreciation
|
$246,209,686
|
$
36,346,114 |
$
197,524,574 |
Depreciation
|
(23,717,310)
|
(7,761,411)
|
(124,013,181)
|
Net
unrealized appreciation (depreciation) of investments |
$222,492,376
|
$
28,584,703 |
$
73,511,393 |
Permanent differences, primarily due to the federal taxes
paid, securities litigation settlements and tax equalization, resulted in reclassifications among the Funds’ components of net assets as of October 31, 2018, the Funds’ last tax year end.
The tax components of undistributed net ordinary income and net
long-term capital gains as of October 31, 2018, the Funds' last tax year end, were as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Undistributed
net ordinary income1 |
$
3,786,653 |
$1,108,350
|
$17,888,912
|
Undistributed
net long-term capital gains |
78,600,137
|
9,027,947
|
51,924,244
|
1 |
Net ordinary
income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any. |
The tax character of distributions paid during the
Funds’ last tax year ended October 31, 2018 was designated for purposes of the dividends paid deduction as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Distributions
from net ordinary income1 |
$43,461,880
|
$1,864,112
|
$12,080,019
|
Distributions
from net long-term capital gains |
96,856,071
|
6,796,931
|
7,927,154
|
1 |
Net
ordinary income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any. |
7. Management Fees and Other Transactions with
Affiliates
Management Fees
Each Fund’s management fee compensates the Adviser for
the overall investment advisory and administrative services and general office facilities. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
Each Fund’s management fee consists of two components
– a fund-level fee, based only on the amount of assets within each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables each
Fund’s shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
The annual fund-level fee, payable monthly, for each Fund is
calculated according to the following schedule:
Average
Daily Net Assets |
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
For
the first $125 million |
0.5000%
|
0.6000%
|
0.6500%
|
For
the next $125 million |
0.4875
|
0.5875
|
0.6375
|
For
the next $250 million |
0.4750
|
0.5750
|
0.6250
|
For
the next $500 million |
0.4625
|
0.5625
|
0.6125
|
For
the next $1 billion |
0.4500
|
0.5500
|
0.6000
|
For
the next $3 billion |
0.4250
|
0.5250
|
0.5750
|
For
the next $2.5 billion |
0.4000
|
0.5000
|
0.5500
|
For
the next $2.5 billion |
0.3875
|
0.4875
|
0.5375
|
For
net assets over $10 billion |
0.3750
|
0.4750
|
0.5250
|
Notes to Financial Statements (Unaudited) (continued)
The annual complex-level fee, payable monthly, for each Fund is determined by
taking the complex-level free rate, which is based on the aggregate amount of “eligible assets” of all Nuveen funds as set forth in the schedule below, and making, as appropriate, an upward adjustment to that rate based upon the
percentage of the particular fund’s assets that are not “eligible assets”. The complex-level fee schedule for each Fund is as follows:
Complex-Level
Eligible Asset Breakpoint Level* |
Effective
Complex-Level Fee Rate at Breakpoint Level |
$55
billion |
0.2000%
|
$56
billion |
0.1996
|
$57
billion |
0.1989
|
$60
billion |
0.1961
|
$63
billion |
0.1931
|
$66
billion |
0.1900
|
$71
billion |
0.1851
|
$76
billion |
0.1806
|
$80
billion |
0.1773
|
$91
billion |
0.1691
|
$125
billion |
0.1599
|
$200
billion |
0.1505
|
$250
billion |
0.1469
|
$300
billion |
0.1445
|
*
The complex-level fee is calculated based upon the aggregate daily “eligible assets” of all Nuveen open-end and closed-end funds. Eligible assets do not include assets attributable to investments in other Nuveen funds or
assets in excess of a determined amount (originally $2 billion) added to the Nuveen fund complex in connection with the Adviser’s assumption of the management of the former First American Funds effective January 1, 2011. Eligible assets
include closed-end fund assets managed by the Adviser that are attributable to certain types of leverage. For these purposes, leverage includes the closed-end funds’ use of preferred stock and borrowings and certain investments in the residual
interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by the TOB trust that has been effectively financed by the trust’s issuance of floating rate
securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining eligible assets in certain circumstances. As of April 30, 2019, the complex-level fee rate for each Fund was as follows:
Fund
|
Complex-Level
Fee |
Dividend
Value |
0.1971%
|
Mid
Cap Value |
0.1945%
|
Small
Cap Value |
0.1602%
|
The Adviser has agreed to waive
fees and/or reimburse expenses (“Expense Cap”) of the following Funds so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees
incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed the percentages of the average daily net assets of any class of Fund shares in the amounts and for the time period stated in the following table.
However, because Class R6 Shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expense for the Class R6 Shares will be less than the expense limitation. The expense limitation expiring July 31, 2020 may be
terminated or modified prior to that date only with the approval of the Board.
Fund
|
Expense
Cap |
Expense
Cap Expiration Date |
Mid
Cap Value |
0.92%
|
July
31, 2020 |
Small
Cap Value |
0.99
|
July
31, 2020 |
Other Transactions with
Affiliates
During the current fiscal period, Nuveen
Securities, LLC, (the “Distributor”), a wholly-owned subsidiary of Nuveen, collected sales charges on purchases of Class A Shares, the majority of which were paid out as concessions to financial intermediaries as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Sales
charges collected |
$42,482
|
$37,465
|
$85,224
|
Paid
to financial intermediaries |
37,770
|
33,435
|
75,742
|
The Distributor also received 12b-1
service fees on Class A Shares, substantially all of which were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
During the current fiscal period, the Distributor compensated financial
intermediaries directly with commission advances at the time of purchase as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
Commission
advances |
$14,119
|
$16,987
|
$35,704
|
To compensate for commissions
advanced to financial intermediaries, all 12b-1 service and distribution fees collected on Class C Shares during the first year following a purchase are retained by the Distributor. During the current fiscal period, the Distributor retained such
12b-1 fees as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
12b-1
fees retained |
$9,295
|
$19,115
|
$63,958
|
The remaining 12b-1 fees charged to
each Fund were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
The Distributor also collected and retained CDSC on share
redemptions during the current fiscal period, as follows:
|
Dividend
Value |
Mid
Cap Value |
Small
Cap Value |
CDSC
retained |
$2,195
|
$1,436
|
$19,201
|
8. Borrowing
Arrangements
Committed Line of Credit
The Funds, along with certain other funds managed by the
Adviser (“Participating Funds”), have established a 364-day, approximately $2.65 billion standby credit facility with a group of lenders, under which the Participating Funds may borrow for various purposes other than leveraging for
investment purposes. Each Participating Fund is allocated a designated proportion of the facility’s capacity (and its associated costs, as described below) based upon a multi-factor assessment of the likelihood and frequency of its need to
draw on the facility, the size of the Fund and its anticipated draws, and the potential importance of such draws to the operations and well-being of the Fund, relative to those of the other Funds. A Fund may effect draws on the facility in excess of
its designated capacity if and to the extent that other Participating Funds have undrawn capacity. The credit facility expires in July 2019 unless extended or renewed.
The credit facility has the following terms: a fee of 0.15% per
annum on unused commitment amounts, and interest at a rate equal to the higher of (a) one-month LIBOR (London Inter-Bank Offered Rate) plus 1.00% per annum or (b) the Fed Funds rate plus 1.00% per annum on amounts borrowed. Participating Funds paid
administration, legal and arrangement fees, which are recognized as a component of “Other expense” on the Statement of Operations, and along with commitment fees, have been allocated among such Participating Funds based upon the relative
proportions of the facility’s aggregate capacity reserved for them and other factors deemed relevant by the Adviser and the Board of each Participating Fund.
During the current fiscal period, the following Funds utilized
this facility. Each Fund’s maximum outstanding balance during the utilization period was as follows:
|
Dividend
Value |
Small
Cap Value |
Maximum
outstanding balance |
$1,828,444
|
$5,500,000
|
During each Fund’s
utilization period(s) during the current fiscal period, the average daily balance outstanding and average annual interest rate on the Borrowings were as follows:
|
Dividend
Value |
Small
Cap Value |
Average
daily balance outstanding |
$1,828,444
|
$5,400,000
|
Average
annual interest rate |
3.50%
|
3.41%
|
Borrowings outstanding as of the
end of the reporting period, if any, are recognized as “Borrowings” on the Statement of Assets and Liabilities. During the current fiscal period, Mid Cap Value did not utilize this facility.
Notes to Financial Statements (Unaudited) (continued)
9. New Accounting Pronouncements
Fair Value Measurement: Disclosure Framework
During August 2018, the FASB issued ASU 2018-13 (“ASU
2018-13”), Fair Value Measurement: Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurements. ASU 2018-13 modifies the disclosures required by Topic 820, Fair Value Measurements. The amendments
in ASU 2018-13 are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. During the current reporting period, management early implemented this guidance. This implementation
did not have a material impact on the Fund’s financial statements.
Additional Fund Information
Fund Manager
Nuveen Fund Advisors, LLC
333 West Wacker Drive
Chicago, IL 60606
Sub-Adviser
Nuveen Asset Management, LLC
333 West Wacker Drive
Chicago, IL 60606
Independent Registered
Public Accounting Firm
PricewaterhouseCoopers LLP
One North Wacker Drive
Chicago, IL 60606
Custodian
U.S. Bank National Association
1555 North RiverCenter Drive
Suite 302
Milwaukee, WI 53212
Legal Counsel
Chapman and Cutler LLP
Chicago, IL 60603
Transfer Agent and
Shareholder Services
DST Asset Manager
Solutions, Inc. (DST)
P.O. Box 219140
Kansas City, MO 64121-9140
(800) 257-8787
Portfolio of Investments Information: Each Fund is required to file its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year as an exhibit to its report on Form N-PORT.
You may obtain this information on the SEC's website at http://www.sec.gov.
Nuveen Funds’ Proxy Voting Information: You may obtain (i) information regarding how each fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request, by calling Nuveen
toll-free at (800) 257-8787 or on Nuveen’s website at www.nuveen.com and (ii) a description of the policies and procedures that each fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by
calling Nuveen toll-free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov.
FINRA BrokerCheck:
The Financial Industry Regulatory Authority (FINRA) provides information regarding the disciplinary history of FINRA member firms and associated investment professionals. This information as well as an investor brochure describing FINRA BrokerCheck
is available to the public by calling the FINRA BrokerCheck Hotline number at (800) 289-9999 or by visiting www.FINRA.org.
Glossary of Terms Used in this Report
Average
Annual Total Return: This is a commonly used method to express an investment’s performance over a particular, usually multi-year time period. It expresses the return that would have been necessary each year to
equal the investment’s actual cumulative performance (including change in NAV or offer price and reinvested distributions and capital gains, if any) over the time period being considered.
Lipper Equity Income Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Equity Income Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions
but do not reflect any applicable sales charges.
Lipper Mid-Cap Value Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Mid-Cap Value Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions
but do not reflect any applicable sales charges.
Lipper Small-Cap Value Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Small-Cap Value Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of
distributions but do not reflect any applicable sales charges.
Market Capitalization: The
market capitalization of a company is equal to the number of the company’s common shares outstanding multiplied by the current price of the company’s stock.
Net Asset Value (NAV) Per Share: A fund’s Net Assets is equal to its total assets (securities, cash and accrued earnings) less its total liabilities. For funds with multiple classes, Net Assets are determined separately for each share class. NAV
per share is equal to the fund’s (or share class’) Net Assets divided by its number of shares outstanding.
Russell 1000® Value Index: An index that measures the performance of those Russell 1000® companies with lower price to- book ratios and lower forecasted growth values. The index returns assume reinvestment of distributions, but do not
reflect any applicable sales charges or management fees.
Russell 2000® Value Index: An index that measures the performance of those Russell 2000® companies with lower price-to-book ratios and lower forecasted growth values. The index returns assume reinvestment of distributions, but do not
reflect any applicable sales charges or management fees.
Russell Midcap® Value Index: An index that measures the performance of the mid-cap value segment of the U.S. equity universe. It
includes those Russell Midcap Index companies with lower price-to-book ratios and lower forecasted growth values. The index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management
fees.
S&P 500®: An unmanaged index generally considered representative of the U.S. stock market. Index returns assume reinvestment
of distributions, but do not include the effects of any applicable sales charges or management fees.
Tax Equalization: The
practice of treating a portion of the distribution made to a redeeming shareholder, which represents his proportionate part of undistributed net investment income and capital gain as a distribution for tax purposes. Such amounts are referred to as
the equalization debits (or payments) and will be considered a distribution to the shareholder of net investment income and capital gain for calculation of the fund’s dividends paid deduction.
Nuveen:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied
on Nuveen to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality solutions designed to be integral components of a well-diversified core
portfolio.
Focused on meeting investor needs.
Nuveen is the investment management arm of TIAA. We have grown
into one of the world’s premier global asset managers, with specialist knowledge across all major asset classes and particular strength in solutions that provide income for investors and that draw on our expertise in alternatives and
responsible investing. Nuveen is driven not only by the independent investment processes across the firm, but also the insights, risk management, analytics and other tools and resources that a truly world-class platform provides. As a global asset
manager, our mission is to work in partnership with our clients to create solutions which help them secure their financial future.
Find out how we can help you.
To learn more about how the products and services of Nuveen
may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk
considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen,
333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: www.nuveen.com/mutual-funds
Nuveen Securities, LLC, member FINRA and SIPC | 333 West Wacker Drive |
Chicago, IL 60606 | www.nuveen.com MSA-FSTK-0419P863550-INV-B-06/20
Nuveen Equity Funds
Fund
Name |
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Nuveen
Mid Cap Growth Opportunities Fund |
FRSLX
|
FMECX
|
FMEYX
|
FMEFX
|
FISGX
|
Nuveen
Small Cap Growth Opportunities Fund |
FRMPX
|
FMPCX
|
FMPYX
|
FMPFX
|
FIMPX
|
Beginning on January 1, 2021, as permitted by regulations
adopted by the Securities and Exchange Commission, paper copies of the Funds' annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports. Instead, the reports will be made
available on the Funds' website (www.nuveen.com), and you will be notified by mail each time a report is posted and provided with a website link to access the report.
If you have already elected to receive shareholder reports
electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from the Funds electronically anytime by contacting the financial intermediary (such as a
broker-dealer or bank) through which you hold your Fund shares or, if you are a direct investor, by enrolling at www.nuveen.com/e-reports.
You may elect to receive all future shareholder reports in
paper free of charge at any time by contacting your financial intermediary or, if you are a direct investor, by calling 800-257-8787 and selecting option #1. Your election to receive reports in paper will apply to all funds held in your account with
your financial intermediary or, if you are a direct investor, to all your directly held Nuveen Funds and any other directly held funds within the same group of related investment companies.
Life is Complex.
Nuveen makes things e-simple.
It only takes a minute to sign up for
e-Reports. Once enrolled, you’ll receive an e-mail as soon as your Nuveen Fund information is ready. No more waiting for delivery by regular mail. Just click on the link within the e-mail to see the report and save it on your computer if you
wish.
Free e-Reports right to your
e-mail!
www.investordelivery.com
If you receive your Nuveen Fund
distributions and statements from your financial advisor or brokerage account.
or
www.nuveen.com/client-access
If you receive your Nuveen Fund
distributions and statements directly from Nuveen.
Must be preceded by or accompanied by a
prospectus.
NOT FDIC INSURED MAY
LOSE VALUE NO BANK GUARANTEE
Chairman’s Letter to Shareholders
Dear Shareholders,
The worries weighing on markets at the end of 2018 appeared to
dissipate in early 2019 as positive economic and corporate earnings news, more dovish signals from central banks and trade progress boosted investor confidence. However, political noise and trade disputes have resurfaced in the headlines more
recently, knocking stock market indexes off their recent highs and rallying U.S. Treasury bonds and other safe-haven assets. Investors are concerned that increased tariffs and a protracted stalemate between the U.S. and China, Mexico and other
trading partners could dampen business and consumer sentiment, weakening spending and potentially impacting the global economy. Additionally, political uncertainty and the risk of policy error appear elevated. In the U.S. in particular, low interest
rate levels and the widening federal deficit have constrained the available policy tools for countering recessionary pressures. As the current U.S. economic expansion reaches the 10-year mark this summer, it’s important to note that economic
expansions don’t die of old age, but mature economic cycles can be more vulnerable to an exogenous shock.
Until a clearer picture on trade emerges, more bouts of market
turbulence are likely in the meantime. While the downside risks warrant careful monitoring, we believe the likelihood of a near-term recession remains low. Global economic growth is moderating, with demand driven by the historically low unemployment
in the U.S., Japan and across Europe. Central banks across the developed world continue to emphasize their readiness to adjust policy, and China’s authorities remain committed to keeping economic growth rates steady with fiscal and monetary
policy.
The opportunity set may be narrower, but there
is still scope for gains in this environment. Patience and maintaining perspective can help you weather periodic market volatility. We encourage you to work with your financial advisor to assess short-term market movements in the context of your
time horizon, risk tolerance and investment goals. On behalf of the other members of the Nuveen Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
Sincerely,
Terence J. Toth
Chairman of the Board
June 24, 2019
Portfolio Managers’
Comments
Nuveen Mid Cap Growth
Opportunities Fund
Nuveen Small Cap Growth Opportunities
Fund
These Funds feature portfolio management by Nuveen
Asset Management, LLC (NAM), an affiliate of Nuveen, LLC.
Effective March 19, 2019, James Diedrich, CFA, and Harold
Goldstein are no longer portfolio managers of the Nuveen Mid Cap Growth Opportunities Fund and Gregory Ryan, CFA, was added as a portfolio manager.
Jon Loth, CFA, has been a portfolio manager for the Nuveen
Small Cap Growth Opportunities Fund since 2007.
On the
following pages, the portfolio management teams for the Funds discuss key investment strategies and the Funds’ performance for the six-month reporting period ended April 30, 2019.
Nuveen Mid Cap Growth Opportunities
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year and ten-year periods ended April 30, 2019. Comparative performance information is provided for the Fund’s Class A Shares at net
asset value (NAV). The Fund’s Class A Shares at NAV underperformed the Russell Midcap® Growth Index and performed in line with the Lipper
Multi-Cap Growth Funds Classification Average during the six-month reporting period.
What strategies were used to manage the Fund during the reporting
period and how did these strategies influence performance?
The Fund pursues a long-term capital appreciation strategy by
investing primarily in the common stocks of companies with market capitalizations at the time of purchase between approximately $603.1 million and $65.0 billion, which is based on the June 30, 2018 reconstitution of the Russell Midcap® Index. We start by identifying what we believe are exceptional growth companies with open ended growth prospects, outstanding financial
characteristics and solid management teams. From that highly selective group, we invest in companies where our expectations for earnings growth exceed consensus expectations. For each Fund holding, we develop a proprietary growth thesis. When the
growth thesis is validated, we hold or buy more; however, when our growth thesis is not validated, we sell the holding. Although we made individual position changes during the reporting period, our underlying investment strategy remained
consistent.
The Fund’s underperformance versus the
Russell benchmark was primarily due to stock selection in the industrials, health care and communication services sectors. The most significant detractor in industrials was XPO Logistics Inc. The company provides a range of logistics services across
North America and Europe. During the company’s 2018 fourth quarter, its largest customer, believed to be Amazon (although XPO Logistics won’t confirm), pulled $600 million of its total $900 million of business. This incident was the
latest in a string of issues during the reporting period including the loss of key executives, a reduction in guidance and the bankruptcy of a key European customer that resulted in the company missing third-quarter 2018 expectations. We believed
XPO Logistics was facing challenging headwinds including replacing the lost business on a profitable basis near term, a soft European market and cycle duration of its LTL business, which represents 40-45% of company profits. Consequently, we exited
our position in XPO Logistics.
This material is not intended to be a recommendation or investment advice,
does not constitute a solicitation to buy, sell or hold a security or an investment strategy, and is not provided in a fiduciary capacity. The information provided does not take into account the specific objectives or circumstances of any particular
investor, or suggest any specific course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with his or her advisors.
Certain statements in this report are forward-looking
statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio managers as of
the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements and the views expressed herein are subject to change at any time, due to numerous market and other
factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
Refer to the Glossary of Terms Used in this Report for further
definition of the terms used within this section.
Portfolio Managers’ Comments (continued)
Also in industrials, the Fund saw weak results from Alaska Air
Group Inc., which provides passenger and air cargo transportation services to more than 110 destinations. During the reporting period, the company reported strong results and a favorable outlook. However, in March 2019, Alaska Air had to reduce its
outlook for revenue per available seat mile (RASM) to 1% to 2% year over year down from 2.5% to 4.5%, which weighed on the shares. We continue to hold the name because we believe there remains upside to numbers throughout 2019.
Finally, a position in aerospace-focused industrial
conglomerate Textron Inc. detracted from performance. The firm’s three main subsidiaries include Arctic Cat, Bell Helicopter and Cessna Aircraft. Business jets and helicopters each account for 25% of revenues, defense systems are 12% of
revenues and industrial products are 12% of revenues. The stock declined after the company reported earnings per share (EPS) that were below expectations. Although Textron’s main aviation segment continued to be healthy, the miss came from the
smaller industrial segment of its business. Given our concern over the late stage nature of the business jet segment, we exited the position during the reporting period.
Despite the overall detraction from industrials, the Fund had
one bright spot in the sector, TransDigm Group Inc. The company is a leading global designer, producer and supplier of highly engineered aircraft components for commercial and military aircraft. TransDigm has executed very well over the past six
months as strong end-market demand within Defense and Commercial Original Equipment has driven double-digit topline organic growth. We have maintained the Fund’s position in TransDigm.
The health care sector detracted overall from relative
performance during the reporting period with Cigna Corporation and Centene Corp weighing on results. Health insurance behemoth Cigna reported a fourth-quarter 2018 EPS figure that was generally in line with consensus; however, investors focused on
guidance, which came in below expectations. The company is typically conservative in its guidance and management indicated that Cigna remains on track to meet its 2021 EPS target. Management also continued to project confidence in the potential
growth provided by the Express Scripts deal. We exited our position in Cigna given the uncertainty surrounding “Medicare-for-All” proposals out of Washington D.C.
Centene Corp is the largest managed care organization
operating in the Medicaid and specialty services markets. Its Medicaid business provides health insurance sponsored by the state and federal government for qualified lower income individuals. Share weakness was primarily due to Washington D.C.
rhetoric, particularly the “Medicare-for-All” proposals, but also renewed efforts by the administration to scuttle the Affordable Care Act and the proposed rebate rule for government insurance programs. Additionally, Centene announced at
the end of March 2019 that it was acquiring WellCare Health Plans. This prospective merger is being investigated by the Justice Department adding pressure to Centene. We continued to hold the Fund’s position in Centene, as accretion from the
acquisition is mid-single digits in 2020, and combined, the company will have 22 million members across 50 states and more than $95 billion in revenues.
The health care area was also home to one standout during the
reporting period, Novocure Limited. The company has developed a unique device, Optune, which uses electrical fields to disrupt cancer cell division in the treatment of solid tumors. The first indication for use is in glioblastoma, where data from
clinical trials with two years on Optune therapy in addition to chemotherapy showed an improvement in the five-year survival rate. The company has growing evidence that Optune should work in many other solid tumors and is currently seeking Food and
Drug Administration (FDA) approval to treat mesothelioma. Shares outperformed due to fourth-quarter results that showed strong performance in glioblastoma and positive backing by a Medicare reimbursement panel in March 2019 as Novocure seeks
approval for covering glioblastoma treatment. Given the run in the stock, we exited the position after it achieved our price target.
In the communication services sector, a position in Take-Two
Interactive Software Inc. lagged during the reporting period. The company is a leading video game developer with brands that include Grand Theft Auto, Red Dead Redemption and Max Payne. Shares of Take-Two were weak during the reporting period
because of concerns about recurring consumer spend with Grand Theft Auto online and the delayed monetization of Red Dead online. However, we continued to hold the name because we believe a strong release slate for Take-Two has the potential to drive
favorable results.
In the consumer discretionary sector,
shares of MGM Resorts International were under pressure during the reporting period. The company owns and operates luxury resort and gaming properties on the Las Vegas Strip and in Detroit, Mississippi and Macau. During the reporting period, MGM
Resorts reported results ahead of expectations with Las Vegas results leading the way. However, the stock lan-
guished after a cautious outlook from management for the first half of 2019
due to concerns surrounding inbound Chinese visitation, cost inflation and leisure customers. We continue to maintain our position in MGM Resorts.
Also, in the energy sector, the Fund’s position in
Marathon Oil Corp detracted from performance. Despite solid quarterly results and developments for the company, falling oil prices earlier in the reporting period weighed on energy sector sentiment and resulted in negative performance. Marathon Oil
reported quarterly results that were generally in line with consensus, while its fourth-quarter 2018 guidance came in slightly ahead of consensus. The company also maintained its capital budget and is looking to replenish and replace inventory
organically; therefore, another increase in production guidance is a positive sign. We continued to hold Marathon Oil in the Fund.
On the positive side of the equation, the Fund’s results
were in line with its Lipper peer group, with the primary benefit coming from stock selection in the information technology sector. The Fund’s top performing technology position, First Data Corp, is a global leader in providing electronic
commerce and payment solutions for merchants, financial institutions and card issuers. In January 2019, an all-stock acquisition by Fiserv was announced of First Data in a $22 billion deal that equated to an approximately 30% premium to the prior
close. The company also reported favorable revenue and EPS results that beat expectations and favorable 2019 earnings growth guidance. We continued to hold our position because we believed the combined entity would benefit from significant accretion
and may be a good strategic fit.
We also saw favorable
results from Cadence Design Systems Inc., the leading supplier of automation tools for designing semiconductor chips and electronic systems. The company continued to benefit from positive industry tailwinds including increasing silicon content in
autos, autonomous driving, Internet-of-Things, artificial intelligence (AI)/machine learning designs, and increasing chip complexity. These drivers resulted in strong 2018 fourth-quarter execution with results exceeding expectations. More
importantly, Cadence Design’s outlook for 2019 is favorable with revenue, EPS and free cash flow all coming in above expectations. Therefore, we maintained our position in Cadence Design.
Additionally, the Fund benefited from a new technology
holding, Shopify Inc., the leading multi-channel commerce platform that offers small, mid-sized and, increasingly, larger merchants the capabilities to develop and manage their businesses. With its powerful software tools, Shopify helps merchants
with the entirety of their daily operations from website management, selling to customers, inventory management, shipping and financing. Although not every customer purchases the entire suite of capabilities, an increasing number of the
company’s more than 600,000 merchant customers do. The company has worked with merchants in 175 countries, but during 2019 will be focusing on Germany, France, Japan and Singapore with more purposeful, local-language targeting. We believe this
should allow growth to exceed consensus expectations. Investors bid up the stock throughout the reporting period as Shopify continued to report earnings and revenue beats and consistent user growth. We continued to hold Shopify Inc.
The Fund also saw strong results from Lam Research Corp, the
designer and manufacturer of advanced wafer fab equipment (WFE) to the largest chip and memory companies in the world. In the near term, we will continue to watch memory pricing and cycle dynamics (DRAM and NAND) and China trade war news flow.
Although some degree of caution is warranted given DRAM pricing trends, capital expenditure indications in the second half of 2019 still seem supported by Samsung and other players. Lam Research appears likely to continue to benefit long term as
computing needs are rising with AI, autonomous driving, cloud datacenter growth and other new technologies that are supporting new chip designs and continued chip demand. Therefore, we remain invested in Lam Research Corp.
We also saw positive results in technology from Autodesk Inc.,
a leading provider of computer-aided design (CAD) software for the manufacturing and construction industries. Autodesk is benefiting from strong industry trends, including digitization within construction and manufacturing design, and an internal
business transformation to a more recurring revenue model. The company is the leader and gaining additional share in the construction market, which is rapidly moving to complete cloud-based, software-driven project automation. The company’s
transformation to a cloud-based subscription model has set Autodesk up to provide 35% annual recurring revenue (ARR) growth in fiscal 2020 and sustainable 20% plus ARR growth going forward along with accelerating margins and free cash flow. The
cloud-based approach also prevents piracy in emerging markets such as Brazil, Russia and China, which currently have more than 10 million non-paying users that will now have to pay Autodesk for its leading product, Autocad. We continue to maintain
our position in Autodesk.
Portfolio Managers’ Comments (continued)
In the financial sector, the Fund benefited from a position in
MSCI Inc., a leading provider of equity indices and portfolio management analytics for the investment industry. MSCI has continued its track record of strong execution with upside to numbers over the past two quarters. The company is benefiting from
strong growth in its core business from areas such as indexed investing, global investing and environmental, social and governance (ESG) investing. We continue to own MSCI because we believe the company can successfully capitalize on growth in
passive alternatives and develop new products that will drive future flows.
Nuveen Small Cap Growth Opportunities Fund
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year and ten-year periods ended April 30, 2019. Comparative performance information is provided for the Fund’s Class A Shares at net
asset value (NAV). The Fund’s Class A Shares at NAV underperformed the Russell 2000® Growth Index and the Lipper Small-Cap Growth Funds
Classification Average during the six-month reporting period.
What strategies were used to manage the Fund during the
reporting period and how did these strategies influence performance?
The Fund pursues a long-term capital appreciation strategy by
investing primarily in equity securities of smaller-sized companies with market capitalizations within the market capitalization range of approximately $52.0 million to $6.7 billion at the time of purchase, which is based on the most recent
reconstitution of the Russell 2000® Index that occurred on June 30, 2018. The investment process employed in the management of the Fund seeks to
exploit secular growth trends that we believe will provide an investment tailwind to above-average growth that should transcend the business cycle over the longer term. Importantly, our process also emphasizes a valuation discipline designed to find
attractive investment opportunities that should benefit from multiple expansion when particular investment catalysts become evident in the marketplace. The Fund’s portfolio typically features investments in high quality companies with
attractive or improving margin profiles, generally healthy balance sheets and prospects for above-average revenue and earnings growth.
The Fund’s underperformance versus the Russell benchmark
and Lipper peers was primarily due to stock selection in the health care, energy and financials sectors. The most significant detractor in health care was Cambrex Corporation, the producer of generic and branded molecule active pharmaceutical
ingredients (API) for other drug companies. During the reporting period, the company announced underwhelming third-quarter 2018 results. We no longer hold our position in Cambrex.
The Fund also saw weak results from Tabula Rasa HealthCare
Inc., a provider of medication management solutions for at-risk patient populations. The company announced a debt financing to fund additional technology resources that was not received well by shareholders, which led us to step away from the
position given the financing uncertainty.
In the medical
device area, the Fund experienced weakness from LivaNova PLC, the maker of devices used in cardiac surgery and neuromodulation. The company received positive feedback from the Food and Drug Administration (FDA) regarding its neuromodulation therapy
for treatment-resistant depression. However, shares dropped late in the reporting period in response to management pre-announcing a surprisingly weak calendar 2019 first quarter and withdrawing annual financial guidance. Management cited weakness in
LivaNova’s core epilepsy and aortic valve replacement products at the hands of increased competitive pressure, which led us to exit our position in LivaNova.
Also, Natera Inc., a developer of prenatal, transplant health
and oncology diagnostics, saw its shares negatively impacted by poor financial results for the third quarter of 2018 that resulted from service complications in noninvasive prenatal testing as well as increased guidance for development spending. The
share reaction was amplified by significant insider selling in the previous months and increased competitive pressure on the transplant side. As a result, we sold the Fund’s position in Natera to seek out other opportunities within the
group.
Small-cap energy producers were poor performers
during the reporting period, most notably during the final months of 2018 as investors grappled with falling oil prices, an inverted Treasury yield curve and heightened concerns about recession. Three independent oil and natural gas exploration and
production companies, Centennial Resource Development Inc., Callon Petroleum Co and Matador
Resources Co, were no exceptions. Despite the companies achieving their
production targets and outlining paths toward cash flow neutrality, their shares were negatively impacted by the broader backdrop. Given their attractive growth and valuation profiles, both Callon Petroleum and Matador Resources remained core energy
holdings for the Fund. However, we sold shares of Centennial Resource because of the company’s lack of effective hedges to offset downside commodity pressures.
The financial services sector also detracted from relative
performance during the reporting period. The most significant negative impact resulted from our position in Green Dot Corp, a leading national provider of debit cards and a prepaid card network, as well as a developer of Banking-as-a-Service (BaaS)
technology. The company reported financial results for the fourth quarter of 2018 that drew investor concerns due to slowing card growth as well as uncertainty surrounding the renewal of a significant contract with national discount retailer
Walmart. We believe both issues should be resolved in Green Dot’s favor in 2019; therefore, we continued to hold the stock.
Finally, in the industrial sector, Welbilt Inc., a global
provider of commercial food service equipment, saw its shares slump. The company issued a guidance reduction to its fourth quarter driven by mix issues, supply chain problems, cost overruns and continued demand spottiness. We exited Welbilt given
the lack of near-term catalysts, the challenging backdrop in the category and a recent CEO transition, which may extend the time needed to regain lost business momentum.
On the positive side of the equation, stock selection was
favorable in the consumer discretionary, information technology, industrials and materials sectors. An overweight position in the strongest performing sector during the reporting period, information technology, and an underweight position in the
poorly performing health care sector also proved beneficial.
Consumer discretionary was the standout sector for the Fund in
terms of stock selection with two holdings providing particularly noteworthy performance during the reporting period. The Fund saw favorable results from a position in Internet retailer Etsy Inc., an operator of a global marketplace for clothing,
accessories, home décor, furnishings, jewelry and other items. The company reported exceptional holiday sales driven by market initiatives, traffic growth and repeat buyer growth that drove shares higher. Also during the reporting period, we
initiated a position in LGI Homes Inc., a national homebuilder with a strong presence in the southern U.S. that specializes in starter homes. Despite a sluggish start to the spring homebuilders selling season due to weather, LGI’s shares
performed well. We maintained positions in both Etsy and LGI Homes during the reporting period.
The information technology sector was also home to several
standouts during the reporting period including SendGrid Inc., a leading provider of cloud-based systems to assist companies with mass e-mail delivery. Shares surged ahead based on news that the company would be acquired by Twilio, a leading
messaging application programming interface (API) company, in an all-stock deal valued at around $2 billion. Following shareholder approval of the deal, we decided to take profits and exited our position in SendGrid.
Cyber-security company Mimecast Ltd, which is focused on email
security, continuity and archiving, saw its shares rise following favorable fourth-quarter 2018 results that handily beat expectations. The company posted revenue growth of 33%, driven by continued traction and market share gains in its enterprise
segment. Mimecast also provided initial fiscal-year 2020 guidance of revenue growth of 21% to 25%, which was above expectations. We remain invested in this stock. The Fund also saw favorable results from another a cyber-security company, Rapid7
Inc., which is focused on vulnerability management to help customers identify weaknesses within their networks. The company reported strong fourth-quarter 2018 revenue growth results. More importantly, management forecasted that annual recurring
revenue (ARR) should grow an additional 30% in 2019, which was well above expectations. We believe Rapid7’s growth has the potential to exceed guidance due to strong cross-selling benefits. Therefore, we maintained our position in this
stock.
Entegris Inc., a manufacturer of semiconductor
capital equipment specializing in advanced materials and delivery processes, was a strong performer given the perception that group fundamentals had turned positive. Following a slowdown in chip demand and a resulting inventory correction in late
2018, shares recovered strongly based on a perceived improvement in semiconductor fabrication equipment and hopes for an eventual resolution in the Chinese trade dispute. We continue to hold Entegris because of its secular growth potential as a
beneficiary of increasing silicon demand driven by new technologies.
Portfolio Managers’ Comments (continued)
The final holding to highlight among technology contributors
was Smartsheet, Inc., a new addition to the Fund in 2019. The company is an early leader in the development of work management software that allows customers to better control work flows with minimal coding. During the reporting period, the company
reported strong results with billings growth of 63% and revenue growth of 58%. We believe Smartsheet has the potential to continue to exceed expectations because work management software is in the early phase of growth. Therefore, we maintained the
Fund’s position in Smartsheet.
Mercury Systems
Inc. contributed the most to the industrial sector’s favorable results during the reporting period. The company is a manufacturer of best-of-breed sensor and systems technologies for prime defense contractors that allows customers to upgrade
existing technologies without the need for entirely new systems. Shares responded strongly to calendar fourth-quarter 2018 financial results, which included a revenue and earnings beat and an uptick in 2019 guidance, partly as a result of a recent
acquisition. As a result of these positive trends, we have maintained our position in this stock.
In the materials sector, the Fund saw strong results from
Ingevity Corporation. The company is a leading producer of activated carbon emissions control products for the global automotive markets as well as pine-based industrial chemicals for oil drilling, road paving and other industrial applications, each
of which are attractive secular growth opportunities, particularly in China. During the reporting period, shares performed strongly as macro concerns related to China began to dissipate. Also, investors were likely encouraged that sales in the
company’s performance materials segment will be sustained by tightening emissions standards in China, the U.S. and Europe, as well as emerging regulations in Brazil, which all drive a dollar content and margin benefit. In addition, the
company’s growth and margins appeared to be supported by improvements in the structure of the pine chemicals industry, competitive advantages in both its performance materials and performance chemicals segments. We continued to hold this
stock.
Nuveen Mid
Cap Growth Opportunities Fund
Mutual fund investing
involves risk; principal loss is possible. There is no guarantee that the Fund’s investment objectives will be achieved. Prices of equity securities may decline significantly over short or extended
periods of time. Investments in mid-cap companies are subject to greater volatility than those of larger companies, but may be less volatile than investments in smaller companies. These and other risk
considerations, such as derivatives, investment focus (growth style), and non-U.S./emerging markets risks, are described in detail in the Fund’s prospectus.
Nuveen Small Cap Growth Opportunities Fund
Mutual fund investing involves risk; principal loss is
possible. There is no guarantee that the Fund’s investment objectives will be achieved. Prices of equity securities may decline significantly over short or extended periods of time. Investments in smaller companies are subject to greater volatility than those of larger companies. These and other risk considerations, such as derivatives, investment focus (growth style), and non-U.S./emerging markets risks, are
described in detail in the Fund’s prospectus.
THIS PAGE INTENTIONALLY LEFT BLANK
Fund Performance and Expense Ratios
The Fund
Performance and Expense Ratios for each Fund are shown within this section of the report.
Returns quoted represent past performance, which is no guarantee
of future results. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than their original cost. Current performance may be higher or lower than the
performance shown. Total returns for a period of less than one year are not annualized. Returns at net asset value (NAV) would be lower if the sales charge were included. Returns assume reinvestment of dividends and capital gains. For performance,
current to the most recent month-end visit nuveen.com or call (800) 257-8787.
Returns do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or the redemption of Fund Shares.
Returns may reflect fee waivers and/or expense reimbursements
by the investment adviser during the periods presented. If any such waivers and/or reimbursements had not been in place, returns would have been reduced. See Notes to Financial Statements, Note 7—Management Fees and Other Transactions with
Affiliates for more information.
Returns reflect
differences in sales charges and expenses, which are primarily differences in distribution and service fees, and assume reinvestment of dividends and capital gains.
Comparative index and Lipper return information is provided
for Class A Shares at NAV only.
The expense ratios shown
reflect total operating expenses (before fee waivers and/or expense reimbursements, if any) as shown in the most recent prospectus. The expense ratios include management fees and other fees and expenses.
Fund Performance and Expense Ratios (continued)
Nuveen Mid Cap Growth Opportunities Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
14.23%
|
|
11.21%
|
9.58%
|
14.49%
|
Class
A Shares at maximum Offering Price |
7.68%
|
|
4.81%
|
8.29%
|
13.81%
|
Russell
Midcap® Growth Index |
16.55%
|
|
17.64%
|
12.20%
|
16.56%
|
Lipper
Mid-Cap Growth Funds Classification Average |
14.31%
|
|
15.14%
|
11.14%
|
15.02%
|
Class
C Shares |
13.80%
|
|
10.34%
|
8.76%
|
13.63%
|
Class
R3 Shares |
14.07%
|
|
10.88%
|
9.30%
|
14.20%
|
Class
I Shares |
14.37%
|
|
11.47%
|
9.85%
|
14.78%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
Since
Inception |
Class
R6 Shares |
14.44%
|
|
11.60%
|
10.00%
|
12.20%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(3.07)%
|
|
6.01%
|
7.65%
|
15.20%
|
Class
A Shares at maximum Offering Price |
(8.65)%
|
|
(0.07)%
|
6.38%
|
14.52%
|
Class
C Shares |
(3.43)%
|
|
5.22%
|
6.84%
|
14.34%
|
Class
R3 Shares |
(3.17)%
|
|
5.75%
|
7.38%
|
14.92%
|
Class
I Shares |
(2.95)%
|
|
6.29%
|
7.92%
|
15.49%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
Since
Inception |
Class
R6 Shares |
(2.87)%
|
|
6.43%
|
8.07%
|
11.48%
|
Since inception returns for Class R6
Shares are from 2/28/13. Indexes and Lipper averages are not available for direct investment.
Class A Shares have a maximum 5.75% sales charge (Offering
Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1% if redeemed within eighteen months of purchase. Class C Shares
have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares have no sales charge and are only available
for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. Class I Shares have no sales charge and may be purchased under limited
circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Gross
Expense Ratios |
1.24%
|
1.99%
|
1.49%
|
0.85%
|
0.99%
|
Net
Expense Ratios |
1.18%
|
1.93%
|
1.43%
|
0.79%
|
0.93%
|
The Fund's investment adviser has
contractually agreed to waive fees and/or reimburse other Fund expenses through July 31, 2020, so that total annual fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses,
fees incurred in acquiring and disposing or portfolio securities and extraordinary expenses) do not exceed 0.92% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer agent and
similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. This expense limitation may be terminated or modified prior to that time without the approval of the Board of Directors of the
Fund.
Fund Performance and Expense Ratios (continued)
Nuveen Small Cap Growth Opportunities Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
6.93%
|
|
8.97%
|
9.33%
|
15.02%
|
Class
A Shares at maximum Offering Price |
0.77%
|
|
2.70%
|
8.05%
|
14.34%
|
Russel
2000® Growth Index |
8.27%
|
|
6.91%
|
10.22%
|
15.24%
|
Lipper
Small-Cap Growth Funds Classification Average |
10.00%
|
|
12.87%
|
10.78%
|
15.42%
|
Class
C Shares |
6.56%
|
|
8.18%
|
8.52%
|
14.17%
|
Class
R3 Shares |
6.80%
|
|
8.71%
|
9.06%
|
14.73%
|
Class
I Shares |
7.07%
|
|
9.23%
|
9.60%
|
15.31%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
Since
Inception |
Class
R6 Shares |
7.12%
|
|
9.32%
|
16.61%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(9.30)%
|
|
6.74%
|
7.54%
|
16.44%
|
Class
A Shares at maximum Offering Price |
(14.51)%
|
|
0.62%
|
6.27%
|
15.75%
|
Class
C Shares |
(9.66)%
|
|
5.93%
|
6.73%
|
15.57%
|
Class
R3 Shares |
(9.42)%
|
|
6.48%
|
7.27%
|
16.15%
|
Class
I Shares |
(9.19)%
|
|
7.02%
|
7.81%
|
16.74%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
Since
Inception |
Class
R6 Shares |
(9.13)%
|
|
7.12%
|
15.80%
|
Since inception returns for Class R6
Shares are from 6/30/16. Indexes and Lipper averages are not available for direct investment.
Class A Shares have a maximum 5.75% sales charge (Offering
Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1% if redeemed within eighteen months of purchase. Class C Shares
have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares have no sales charge and are only available
for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. Class I Shares have no sales charge and may be purchased under limited
circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Gross
Expense Ratios |
1.39%
|
2.14%
|
1.64%
|
1.04%
|
1.14%
|
Net
Expense Ratios |
1.25%
|
2.00%
|
1.50%
|
0.89%
|
1.00%
|
The Fund’s investment adviser
has contractually agreed to waive fees and/or reimburse other Fund expenses through July 31, 2020, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and
expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.99% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer
agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. This expense limitation may be terminated or modified prior to that date only with the approval of the Board of
Directors of the Fund.
Holding Summaries as of April 30, 2019
This data relates to the securities held in each Fund's
portfolio of investments as of the end of this reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Nuveen Mid Cap Growth Opportunities Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
99.2%
|
Investments
Purchased with Collateral from Securities Lending |
0.0%
|
Money
Market Funds |
0.9%
|
Other
Assets Less Liabilities |
(0.1)%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Software
|
14.9%
|
IT
Services |
12.5%
|
Capital
Markets |
8.6%
|
Specialty
Retail |
6.1%
|
Semiconductors
& Semiconductor Equipment |
5.4%
|
Health
Care Equipment & Supplies |
5.1%
|
Hotels,
Restaurants & Leisure |
4.6%
|
Chemicals
|
3.8%
|
Electronic
Equipment, Instruments & Components |
3.5%
|
Machinery
|
2.7%
|
Biotechnology
|
2.6%
|
Life
Sciences Tools & Services |
2.6%
|
Multiline
Retail |
2.4%
|
Textiles,
Apparel & Luxury Goods |
2.2%
|
Entertainment
|
2.1%
|
Internet
& Direct Marketing Retail |
1.9%
|
Other
|
18.2%
|
Investments
Purchased with Collateral from Securities Lending |
0.0%
|
Money
Market Funds |
0.9%
|
Other
Assets Less Liabilities |
(0.1)%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
Lam
Research Corp |
3.0%
|
First
Data Corp |
2.8%
|
Autodesk
Inc. |
2.5%
|
Dollar
General Corp |
2.3%
|
Total
System Services Inc |
2.2%
|
Nuveen Small Cap Growth Opportunities Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
95.2%
|
Exchange-Traded
Funds |
2.4%
|
Investments
Purchased with Collateral from Securities Lending |
4.6%
|
Money
Market Funds |
8.5%
|
Other
Assets Less Liabilities |
(10.7)%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Software
|
10.8%
|
Health
Care Equipment & Supplies |
5.9%
|
Hotels,
Restaurants & Leisure |
5.2%
|
Biotechnology
|
5.2%
|
Semiconductors
& Semiconductor Equipment |
4.7%
|
Building
Products |
4.5%
|
Chemicals
|
4.0%
|
Health
Care Technology |
3.9%
|
Aerospace
& Defense |
3.8%
|
Commercial
Services & Supplies |
3.7%
|
Specialty
Retail |
3.6%
|
Health
Care Providers & Services |
3.5%
|
Banks
|
3.1%
|
IT
Services |
3.0%
|
Communications
Equipment |
2.8%
|
Machinery
|
2.8%
|
Leisure
Products |
2.5%
|
Diversified
Financial Services |
2.4%
|
Oil,
Gas & Consumable Fuels |
2.1%
|
Pharmaceuticals
|
2.0%
|
Other
|
18.1%
|
Investments
Purchased with Collateral from Securities Lending |
4.6%
|
Money
Market Funds |
8.5%
|
Other
Assets Less Liabilities |
(10.7)%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
Ingevity
Corporation |
1.8%
|
Trex
Co Inc |
1.7%
|
MasTec
Inc |
1.7%
|
CSW
Industrials Inc |
1.7%
|
Lumentum
Holdings Inc. |
1.6%
|
As a
shareholder of one or more of the Funds, you incur two types of costs: (1) transaction costs, including up-front and back-end sales charges (loads) or redemption fees, where applicable; and (2) ongoing costs, including management fees; distribution
and service (12b-1) fees, where applicable; and other Fund expenses. The Examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in
other mutual funds.
The Examples below are based on an
investment of $1,000 invested at the beginning of the period and held through the period ended April 30, 2019.
The beginning of the period is November 1, 2018.
The information under “Actual Performance,”
together with the amount you invested, allows you to estimate actual expenses incurred over the reporting period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60) and multiply the result by
the cost shown for your share class, in the row entitled “Expenses Incurred During Period” to estimate the expenses incurred on your account during this period.
The information under “Hypothetical Performance,”
provides information about hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratios 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 expense you incurred for the period. You may use this information to compare the ongoing costs of investing in the 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.
Please note that the expenses shown in the following tables
are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different
funds or share classes. In addition, if these transaction costs were included, your costs would have been higher.
Nuveen Mid Cap Growth Opportunities Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Actual
Performance |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,142.30
|
$1,138.00
|
$1,140.70
|
$1,144.40
|
$1,143.70
|
Expenses
Incurred During the Period |
$
6.27 |
$
10.23 |
$
7.59 |
$
4.20 |
$
4.94 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,018.94
|
$1,015.22
|
$1,017.70
|
$1,020.88
|
$1,020.18
|
Expenses
Incurred During the Period |
$
5.91 |
$
9.64 |
$
7.15 |
$
3.96 |
$
4.66 |
For each class of the Fund, expenses are equal to the
Fund’s annualized net expense ratio of 1.18%, 1.93%, 1.43%, 0.79% and 0.93% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year
period).
Nuveen Small Cap Growth Opportunities Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Actual
Performance |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,069.30
|
$1,065.60
|
$1,068.00
|
$1,071.20
|
$1,070.70
|
Expenses
Incurred During the Period |
$
6.36 |
$
10.19 |
$
7.64 |
$
4.42 |
$
5.13 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,018.65
|
$1,014.93
|
$1,017.41
|
$1,020.53
|
$1,019.84
|
Expenses
Incurred During the Period |
$
6.21 |
$
9.94 |
$
7.45 |
$
4.31 |
$
5.01 |
For each class of the Fund, expenses are equal to the
Fund’s annualized net expense ratio of 1.24%, 1.99%, 1.49%, 0.86% and 1.00% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year
period).
Nuveen Mid Cap Growth Opportunities Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 99.2% |
|
|
|
|
|
|
COMMON
STOCKS – 99.2% |
|
|
|
|
|
|
Aerospace
& Defense – 1.8% |
|
|
|
|
18,258
|
|
TransDigm
Group Inc., (2) |
|
|
|
$
8,809,850 |
|
|
Airlines – 1.1%
|
|
|
|
|
90,390
|
|
Alaska
Air Group Inc |
|
|
|
5,595,141
|
|
|
Banks – 1.0%
|
|
|
|
|
95,116
|
|
East
West Bancorp Inc. |
|
|
|
4,896,572
|
|
|
Biotechnology – 2.6%
|
|
|
|
|
25,048
|
|
Exact
Sciences Corp, (2) |
|
|
|
2,471,987
|
28,472
|
|
Sage
Therapeutics Inc., (2) |
|
|
|
4,789,844
|
46,754
|
|
Sarepta
Therapeutics Inc, (2) |
|
|
|
5,467,413
|
|
|
Total
Biotechnology |
|
|
|
12,729,244
|
|
|
Building
Products – 0.7% |
|
|
|
|
47,790
|
|
Trex
Co Inc, (2) |
|
|
|
3,310,413
|
|
|
Capital
Markets – 8.6% |
|
|
|
|
158,507
|
|
E*TRADE
Financial Corp |
|
|
|
8,029,965
|
51,585
|
|
Evercore
Inc. |
|
|
|
5,025,927
|
44,173
|
|
Moody's
Corp |
|
|
|
8,685,295
|
42,656
|
|
MSCI
Inc |
|
|
|
9,613,809
|
48,412
|
|
Nasdaq
Inc |
|
|
|
4,463,586
|
64,529
|
|
Raymond
James Financial Inc. |
|
|
|
5,908,921
|
|
|
Total
Capital Markets |
|
|
|
41,727,503
|
|
|
Chemicals – 3.8%
|
|
|
|
|
69,742
|
|
Celanese
Corp |
|
|
|
7,524,464
|
159,637
|
|
CF
Industries Holdings Inc |
|
|
|
7,148,545
|
34,053
|
|
Ingevity
Corporation, (2) |
|
|
|
3,916,436
|
|
|
Total
Chemicals |
|
|
|
18,589,445
|
|
|
Communications
Equipment – 1.0% |
|
|
|
|
79,840
|
|
Lumentum
Holdings Inc., (2) |
|
|
|
4,947,685
|
|
|
Diversified
Consumer Services – 1.1% |
|
|
|
|
48,122
|
|
Grand
Canyon Education Inc, (2) |
|
|
|
5,576,859
|
|
|
Electrical
Equipment – 1.5% |
|
|
|
|
82,859
|
|
AMETEK
Inc |
|
|
|
7,305,678
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Electronic
Equipment, Instruments & Components – 3.5% |
|
|
|
|
89,774
|
|
Amphenol
Corp |
|
|
|
$8,937,900 |
78,799
|
|
CDW
Corp/DE |
|
|
|
8,321,174
|
|
|
Total
Electronic Equipment, Instruments & Components |
|
|
|
17,259,074
|
|
|
Entertainment – 2.1%
|
|
|
|
|
69,119
|
|
Take-Two
Interactive Software Inc., (2) |
|
|
|
6,692,793
|
43,253
|
|
World
Wrestling Entertainment Inc |
|
|
|
3,626,764
|
|
|
Total
Entertainment |
|
|
|
10,319,557
|
|
|
Food
Products – 1.0% |
|
|
|
|
64,989
|
|
Tyson
Foods Inc |
|
|
|
4,874,825
|
|
|
Health
Care Equipment & Supplies – 5.1% |
|
|
|
|
46,379
|
|
DexCom
Inc., (2) |
|
|
|
5,615,106
|
27,710
|
|
Edwards
Lifesciences Corp, (2) |
|
|
|
4,878,900
|
50,653
|
|
Insulet
Corp, (2) |
|
|
|
4,368,821
|
18,102
|
|
Teleflex
Inc. |
|
|
|
5,180,430
|
38,774
|
|
Zimmer
Biomet Holdings Inc |
|
|
|
4,775,406
|
|
|
Total
Health Care Equipment & Supplies |
|
|
|
24,818,663
|
|
|
Health
Care Providers & Services – 1.8% |
|
|
|
|
170,084
|
|
Centene
Corp, (2) |
|
|
|
8,769,531
|
|
|
Hotels,
Restaurants & Leisure – 4.6% |
|
|
|
|
369,331
|
|
MGM
Resorts International |
|
|
|
9,835,285
|
127,174
|
|
Norwegian
Cruise Line Holdings Ltd, (2) |
|
|
|
7,171,342
|
37,063
|
|
Wynn
Resorts Ltd |
|
|
|
5,353,750
|
|
|
Total
Hotels, Restaurants & Leisure |
|
|
|
22,360,377
|
|
|
Industrial
Conglomerates – 1.3% |
|
|
|
|
17,635
|
|
Roper
Technologies Inc. |
|
|
|
6,343,309
|
|
|
Interactive
Media & Services – 1.0% |
|
|
|
|
21,738
|
|
IAC/InterActiveCorp
|
|
|
|
4,887,572
|
|
|
Internet
& Direct Marketing Retail – 1.9% |
|
|
|
|
70,317
|
|
Expedia
Group Inc |
|
|
|
9,129,959
|
|
|
IT
Services – 12.5% |
|
|
|
|
73,459
|
|
DXC
Technology Co |
|
|
|
4,829,195
|
524,682
|
|
First
Data Corp, (2) |
|
|
|
13,568,276
|
34,757
|
|
FleetCor
Technologies Inc, (2) |
|
|
|
9,069,839
|
69,916
|
|
GoDaddy
Inc, Class A, (2) |
|
|
|
5,698,154
|
51,532
|
|
MAXIMUS
Inc |
|
|
|
3,795,332
|
44,753
|
|
Okta
Inc, (2) |
|
|
|
4,655,654
|
21,559
|
|
Shopify
Inc, (2) |
|
|
|
5,250,263
|
104,399
|
|
Total
System Services Inc |
|
|
|
10,673,754
|
Nuveen Mid Cap Growth Opportunities Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
IT
Services (continued) |
|
|
|
|
22,811
|
|
Wixcom
Ltd, (2) |
|
|
|
$
3,060,324 |
|
|
Total
IT Services |
|
|
|
60,600,791
|
|
|
Life
Sciences Tools & Services – 2.6% |
|
|
|
|
317,748
|
|
Accelerate
Diagnostics Inc, (2) |
|
|
|
6,196,086
|
46,507
|
|
IQVIA
Holdings Inc., (2) |
|
|
|
6,459,822
|
|
|
Total
Life Sciences Tools & Services |
|
|
|
12,655,908
|
|
|
Machinery – 2.7%
|
|
|
|
|
42,441
|
|
IDEX
Corp |
|
|
|
6,648,807
|
34,684
|
|
Parker-Hannifin
Corp |
|
|
|
6,280,579
|
|
|
Total
Machinery |
|
|
|
12,929,386
|
|
|
Multiline
Retail – 2.4% |
|
|
|
|
90,714
|
|
Dollar
General Corp |
|
|
|
11,438,128
|
|
|
Oil,
Gas & Consumable Fuels – 1.1% |
|
|
|
|
328,314
|
|
Marathon
Oil Corp |
|
|
|
5,594,470
|
|
|
Pharmaceuticals – 1.4%
|
|
|
|
|
211,982
|
|
Elanco
Animal Health Inc, (2) |
|
|
|
6,677,433
|
|
|
Professional
Services – 1.4% |
|
|
|
|
120,369
|
|
IHS
Markit Ltd, (2) |
|
|
|
6,892,329
|
|
|
Road
& Rail – 1.0% |
|
|
|
|
39,008
|
|
Kansas
City Southern |
|
|
|
4,803,445
|
|
|
Semiconductors
& Semiconductor Equipment – 5.4% |
|
|
|
|
69,397
|
|
Lam
Research Corp |
|
|
|
14,395,020
|
280,358
|
|
Marvell
Technology Group Ltd |
|
|
|
7,014,557
|
29,966
|
|
Monolithic
Power Systems Inc |
|
|
|
4,666,006
|
|
|
Total
Semiconductors & Semiconductor Equipment |
|
|
|
26,075,583
|
|
|
Software – 14.9%
|
|
|
|
|
48,959
|
|
Atlassian
Corp PLC, (2) |
|
|
|
5,392,834
|
67,025
|
|
Autodesk
Inc., (2) |
|
|
|
11,944,525
|
131,116
|
|
Cadence
Design Systems Inc., (2) |
|
|
|
9,096,828
|
31,336
|
|
Palo
Alto Networks Inc, (2) |
|
|
|
7,797,337
|
38,011
|
|
Proofpoint
Inc, (2) |
|
|
|
4,767,340
|
55,400
|
|
PTC
Inc., (2) |
|
|
|
5,012,038
|
91,568
|
|
RealPage
Inc, (2) |
|
|
|
5,971,149
|
34,987
|
|
ServiceNow
Inc, (2) |
|
|
|
9,499,320
|
58,147
|
|
Splunk
Inc, (2) |
|
|
|
8,026,612
|
21,314
|
|
Trade
Desk Inc/The, (2) |
|
|
|
4,720,625
|
|
|
Total
Software |
|
|
|
72,228,608
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Specialty
Retail – 6.1% |
|
|
|
|
28,521
|
|
Five
Below Inc., (2) |
|
|
|
$4,175,189 |
23,407
|
|
O'Reilly
Automotive Inc, (2) |
|
|
|
8,861,188
|
72,675
|
|
Tractor
Supply Co, (3) |
|
|
|
7,521,863
|
25,730
|
|
Ulta
Beauty Inc., (2) |
|
|
|
8,979,255
|
|
|
Total
Specialty Retail |
|
|
|
29,537,495
|
|
|
Textiles,
Apparel & Luxury Goods – 2.2% |
|
|
|
|
40,813
|
|
Ralph
Lauren Corp |
|
|
|
5,370,175
|
53,971
|
|
VF
Corp |
|
|
|
5,095,402
|
|
|
Total
Textiles, Apparel & Luxury Goods |
|
|
|
10,465,577
|
|
|
Total
Long-Term Investments (cost $361,796,980) |
|
|
|
482,150,410
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
INVESTMENTS
PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 0.0% |
|
|
|
|
|
MONEY
MARKET FUNDS – 0.0% |
|
|
|
|
139,100
|
|
First
American Government Obligations Fund, Class X, (4) |
2.356%
(5) |
|
|
$
139,100 |
|
|
Total
Investments Purchased with Collateral from Securities Lending (cost $139,100) |
|
|
139,100
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
SHORT-TERM
INVESTMENTS – 0.9% |
|
|
|
|
|
|
MONEY
MARKET FUNDS – 0.9% |
|
|
|
|
4,306,902
|
|
First
American Treasury Obligations Fund, Class Z |
2.324%
(5) |
|
|
$
4,306,902 |
|
|
Total
Short-Term Investments (cost $4,306,902) |
|
|
|
4,306,902
|
|
|
Total
Investments (cost $366,242,982) – 100.1% |
|
|
|
486,596,412
|
|
|
Other
Assets Less Liabilities – (0.1)% |
|
|
|
(621,418)
|
|
|
Net
Assets – 100% |
|
|
|
$
485,974,994 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Non-income
producing; issuer has not declared a dividend within the past twelve months. |
|
(3)
|
Investment,
or a portion of investment, is out on loan for securities lending. The total value of the securities out on loan as of the end of the reporting period was $134,550. |
|
(4)
|
The
Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker dealers, banks, and other institutions. The Fund maintains collateral equal to at least 100% of
the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Securities
Lending for more information. |
|
(5)
|
The
rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
|
See accompanying notes to financial statements.
Nuveen Small Cap Growth Opportunities Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 97.6% |
|
|
|
|
|
|
COMMON
STOCKS – 95.2% |
|
|
|
|
|
|
Aerospace
& Defense – 3.8% |
|
|
|
|
31,054
|
|
Axon
Enterprise Inc., (2) |
|
|
|
$1,971,929 |
30,469
|
|
Mercury
Systems Inc., (2) |
|
|
|
2,224,846
|
25,057
|
|
Moog
Inc |
|
|
|
2,346,338
|
|
|
Total
Aerospace & Defense |
|
|
|
6,543,113
|
|
|
Banks – 3.1%
|
|
|
|
|
51,437
|
|
Cathay
General Bancorp |
|
|
|
1,892,367
|
30,635
|
|
Pinnacle
Financial Partners Inc. |
|
|
|
1,778,975
|
35,823
|
|
Preferred
Bank/Los Angeles CA |
|
|
|
1,762,133
|
|
|
Total
Banks |
|
|
|
5,433,475
|
|
|
Biotechnology – 5.2%
|
|
|
|
|
6,070
|
|
Argenx
SE, (2) |
|
|
|
777,385
|
39,317
|
|
Array
BioPharma Inc, (2) |
|
|
|
888,957
|
6,187
|
|
Ascendis
Pharma A/S, (2) |
|
|
|
689,108
|
14,320
|
|
Blueprint
Medicines Corp, (2) |
|
|
|
1,082,735
|
36,866
|
|
CareDx
Inc, (2) |
|
|
|
1,003,124
|
48,903
|
|
Fate
Therapeutics Inc, (2) |
|
|
|
821,570
|
12,386
|
|
FibroGen
Inc., (2) |
|
|
|
578,798
|
8,711
|
|
Intercept
Pharmaceuticals Inc., (2) |
|
|
|
750,714
|
57,204
|
|
Iovance
Biotherapeutics Inc, (2) |
|
|
|
652,126
|
24,765
|
|
Repligen
Corp, (2) |
|
|
|
1,668,666
|
|
|
Total
Biotechnology |
|
|
|
8,913,183
|
|
|
Building
Products – 4.5% |
|
|
|
|
47,522
|
|
CSW
Industrials Inc |
|
|
|
2,848,944
|
49,356
|
|
Gibraltar
Industries Inc |
|
|
|
1,957,953
|
42,701
|
|
Trex
Co Inc, (2) |
|
|
|
2,957,898
|
|
|
Total
Building Products |
|
|
|
7,764,795
|
|
|
Capital
Markets – 1.4% |
|
|
|
|
24,748
|
|
Evercore
Inc. |
|
|
|
2,411,198
|
|
|
Chemicals – 4.0%
|
|
|
|
|
103,525
|
|
Ferro
Corp |
|
|
|
1,849,992
|
68,397
|
|
GCP
Applied Technologies Inc, (2) |
|
|
|
1,969,150
|
26,934
|
|
Ingevity
Corporation, (2) |
|
|
|
3,097,679
|
|
|
Total
Chemicals |
|
|
|
6,916,821
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Commercial
Services & Supplies – 3.7% |
|
|
|
|
65,787
|
|
Casella
Waste Systems Inc, (2) |
|
|
|
$2,455,171 |
88,384
|
|
Interface
Inc. |
|
|
|
1,417,679
|
22,734
|
|
MSA
Safety Inc. |
|
|
|
2,498,694
|
|
|
Total
Commercial Services & Supplies |
|
|
|
6,371,544
|
|
|
Communications
Equipment – 2.8% |
|
|
|
|
45,762
|
|
Lumentum
Holdings Inc., (2) |
|
|
|
2,835,871
|
38,771
|
|
Plantronics
Inc. |
|
|
|
1,995,931
|
|
|
Total
Communications Equipment |
|
|
|
4,831,802
|
|
|
Construction
& Engineering – 1.7% |
|
|
|
|
57,344
|
|
MasTec
Inc, (2) |
|
|
|
2,904,473
|
|
|
Consumer
Finance – 1.2% |
|
|
|
|
33,168
|
|
Green
Dot Corp, (2) |
|
|
|
2,115,123
|
|
|
Entertainment – 1.5%
|
|
|
|
|
31,085
|
|
World
Wrestling Entertainment Inc |
|
|
|
2,606,477
|
|
|
Food
Products – 1.4% |
|
|
|
|
114,366
|
|
Nomad
Foods Ltd |
|
|
|
2,378,813
|
|
|
Health
Care Equipment & Supplies – 5.9% |
|
|
|
|
75,970
|
|
AtriCure
Inc., (2) |
|
|
|
2,280,619
|
25,054
|
|
Insulet
Corp, (2) |
|
|
|
2,160,908
|
26,358
|
|
iRhythm
Technologies Inc., (2), (3) |
|
|
|
2,011,379
|
35,432
|
|
Merit
Medical Systems Inc., (2) |
|
|
|
1,990,570
|
53,873
|
|
STAAR
Surgical Co, (2) |
|
|
|
1,749,795
|
|
|
Total
Health Care Equipment & Supplies |
|
|
|
10,193,271
|
|
|
Health
Care Providers & Services – 3.5% |
|
|
|
|
13,782
|
|
Amedisys
Inc, (2) |
|
|
|
1,761,615
|
50,128
|
|
AMN
Healthcare Services Inc., (2) |
|
|
|
2,609,664
|
15,785
|
|
LHC
Group Inc, (2) |
|
|
|
1,753,871
|
|
|
Total
Health Care Providers & Services |
|
|
|
6,125,150
|
|
|
Health
Care Technology – 3.9% |
|
|
|
|
31,084
|
|
Omnicell
Inc, (2) |
|
|
|
2,497,910
|
32,748
|
|
Teladoc
Health Inc., (2) |
|
|
|
1,862,706
|
74,050
|
|
Vocera
Communications Inc., (2) |
|
|
|
2,358,493
|
|
|
Total
Health Care Technology |
|
|
|
6,719,109
|
|
|
Hotels,
Restaurants & Leisure – 5.2% |
|
|
|
|
55,521
|
|
Eldorado
Resorts Inc, (2) |
|
|
|
2,741,072
|
26,280
|
|
Jack
in the Box Inc. |
|
|
|
2,026,188
|
38,272
|
|
Papa
John's International Inc, (3) |
|
|
|
1,957,996
|
Nuveen Small Cap Growth Opportunities Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Hotels,
Restaurants & Leisure (continued) |
|
|
|
|
29,442
|
|
Wingstop
Inc, (3) |
|
|
|
$
2,216,099 |
|
|
Total
Hotels, Restaurants & Leisure |
|
|
|
8,941,355
|
|
|
Household
Durables – 1.6% |
|
|
|
|
43,123
|
|
La-Z-Boy
Inc. |
|
|
|
1,414,434
|
19,193
|
|
LGI
Homes Inc., (2), (3) |
|
|
|
1,330,267
|
|
|
Total
Household Durables |
|
|
|
2,744,701
|
|
|
Insurance – 1.4%
|
|
|
|
|
34,363
|
|
Kinsale
Capital Group Inc |
|
|
|
2,494,754
|
|
|
Internet
& Direct Marketing Retail – 1.6% |
|
|
|
|
41,318
|
|
Etsy
Inc., (2) |
|
|
|
2,790,618
|
|
|
IT
Services – 3.0% |
|
|
|
|
36,374
|
|
InterXion
Holding NV, (2) |
|
|
|
2,516,717
|
36,308
|
|
MAXIMUS
Inc |
|
|
|
2,674,084
|
|
|
Total
IT Services |
|
|
|
5,190,801
|
|
|
Leisure
Products – 2.5% |
|
|
|
|
123,367
|
|
Callaway
Golf Co |
|
|
|
2,166,324
|
50,453
|
|
Malibu
Boats Inc, (2) |
|
|
|
2,099,854
|
|
|
Total
Leisure Products |
|
|
|
4,266,178
|
|
|
Machinery – 2.8%
|
|
|
|
|
59,574
|
|
Altra
Industrial Motion Corp |
|
|
|
2,233,429
|
63,025
|
|
Kennametal
Inc |
|
|
|
2,565,118
|
|
|
Total
Machinery |
|
|
|
4,798,547
|
|
|
Multiline
Retail – 1.4% |
|
|
|
|
26,271
|
|
Ollie's
Bargain Outlet Holdings Inc, (2) |
|
|
|
2,512,558
|
|
|
Oil,
Gas & Consumable Fuels – 2.1% |
|
|
|
|
15,760
|
|
Brigham
Minerals Inc, (2) |
|
|
|
323,238
|
212,969
|
|
Callon
Petroleum Co, (2) |
|
|
|
1,599,397
|
86,248
|
|
Matador
Resources Co, (2) |
|
|
|
1,698,223
|
|
|
Total
Oil, Gas & Consumable Fuels |
|
|
|
3,620,858
|
|
|
Pharmaceuticals – 2.0%
|
|
|
|
|
86,009
|
|
Horizon
Pharma Plc, (2) |
|
|
|
2,195,810
|
13,758
|
|
MyoKardia
Inc., (2) |
|
|
|
660,109
|
7,874
|
|
Reata
Pharmaceuticals Inc., (2) |
|
|
|
617,794
|
|
|
Total
Pharmaceuticals |
|
|
|
3,473,713
|
|
|
Professional
Services – 1.3% |
|
|
|
|
49,403
|
|
Korn
Ferry |
|
|
|
2,322,929
|
|
|
Road
& Rail – 1.0% |
|
|
|
|
51,898
|
|
Knight-Swift
Transportation Holdings Inc, (3) |
|
|
|
1,730,798
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Semiconductors
& Semiconductor Equipment – 4.7% |
|
|
|
|
52,210
|
|
Brooks
Automation Inc |
|
|
|
$1,958,397 |
61,772
|
|
Entegris
Inc. |
|
|
|
2,524,004
|
134,616
|
|
Lattice
Semiconductor Corp, (2) |
|
|
|
1,743,277
|
11,905
|
|
Monolithic
Power Systems Inc |
|
|
|
1,853,728
|
|
|
Total
Semiconductors & Semiconductor Equipment |
|
|
|
8,079,406
|
|
|
Software – 10.8%
|
|
|
|
|
142,351
|
|
Carbon
Black Inc, (2) |
|
|
|
1,955,903
|
22,880
|
|
Coupa
Software Inc., (2) |
|
|
|
2,364,190
|
35,889
|
|
Mimecast
Ltd, (2) |
|
|
|
1,848,642
|
23,840
|
|
New
Relic Inc., (2) |
|
|
|
2,508,922
|
39,840
|
|
Rapid7
Inc, (2) |
|
|
|
2,164,906
|
33,826
|
|
RealPage
Inc, (2) |
|
|
|
2,205,793
|
73,415
|
|
SailPoint
Technologies Holding Inc, (2) |
|
|
|
2,074,708
|
32,288
|
|
Smartsheet
Inc, (2) |
|
|
|
1,366,751
|
30,879
|
|
Varonis
Systems Inc, (2) |
|
|
|
2,197,041
|
591,081
|
|
Videopropulsion
Inc, (2), (4) |
|
|
|
—
|
|
|
Total
Software |
|
|
|
18,686,856
|
|
|
Specialty
Retail – 3.6% |
|
|
|
|
32,153
|
|
Aaron's
Inc. |
|
|
|
1,790,601
|
85,450
|
|
American
Eagle Outfitters Inc |
|
|
|
2,032,001
|
21,116
|
|
Children's
Place Inc/The, (3) |
|
|
|
2,382,307
|
|
|
Total
Specialty Retail |
|
|
|
6,204,909
|
|
|
Technology
Hardware, Storage & Peripherals – 1.3% |
|
|
|
|
94,837
|
|
Pure
Storage Inc, (2) |
|
|
|
2,167,974
|
|
|
Textiles,
Apparel & Luxury Goods – 1.3% |
|
|
|
|
59,834
|
|
Steven
Madden Ltd |
|
|
|
2,174,966
|
|
|
Total
Common Stocks (cost $145,812,067) |
|
|
|
164,430,268
|
Shares
|
|
Description
(1), (5) |
|
|
|
Value
|
|
|
EXCHANGE-TRADED
FUNDS – 2.4% |
|
|
|
|
49,551
|
|
SPDR
S&P Biotech ETF, (3) |
|
|
|
$
4,221,745 |
|
|
Total
Exchange-Traded Funds (cost $4,062,382) |
|
|
|
4,221,745
|
|
|
Total
Long-Term Investments (cost $149,874,449) |
|
|
|
168,652,013
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
INVESTMENTS
PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 4.6% |
|
|
|
|
|
MONEY
MARKET FUNDS – 4.6% |
|
|
|
|
8,022,531
|
|
First
American Government Obligations Fund, Class X, (6) |
2.356%
(7) |
|
|
$
8,022,531 |
|
|
Total
Investments Purchased with Collateral from Securities Lending (cost $8,022,531) |
|
|
8,022,531
|
Nuveen Small Cap Growth Opportunities Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
SHORT-TERM
INVESTMENTS – 8.5% |
|
|
|
|
|
|
MONEY
MARKET FUNDS – 8.5% |
|
|
|
|
14,666,812
|
|
First
American Treasury Obligations Fund, Class Z |
2.324%
(7) |
|
|
$
14,666,812 |
|
|
Total
Short-Term Investments (cost $14,666,812) |
|
|
|
14,666,812
|
|
|
Total
Investments (cost $172,563,792) – 110.7% |
|
|
|
191,341,356
|
|
|
Other
Assets Less Liabilities – (10.7)% |
|
|
|
(18,539,771)
|
|
|
Net
Assets – 100% |
|
|
|
$
172,801,585 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Non-income
producing; issuer has not declared a dividend within the past twelve months. |
|
(3)
|
Investment,
or a portion of investment, is out on loan for securities lending. The total value of the securities out on loan as of the end of the reporting period was $7,773,856. |
|
(4)
|
Investment
valued at fair value using methods determined in good faith by, or at the discretion of, the Board. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Note 2 - Investment Valuation
and Fair Value Measurements for more information. |
|
(5)
|
A
copy of the most recent financial statements for the exchange-traded funds in which the Fund invests can be obtained directly from the Securities and Exchange Commission on its website at http://www.sec.gov. |
|
(6)
|
The
Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker dealers, banks, and other institutions. The Fund maintains collateral equal to at least 100% of
the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Securities
Lending for more information. |
|
(7)
|
The
rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
|
ETF
|
Exchange-Traded
Fund |
|
SPDR
|
Standard
& Poor's Depositary Receipt |
|
See accompanying notes to financial statements.
Statement of Assets and Liabilities
April 30, 2019
(Unaudited)
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Assets
|
|
|
Long-term
investments, at value (cost $361,796,980 and $149,874,449, respectively) |
$482,150,410
|
$168,652,013
|
Investment
purchased with collateral from securities lending, at value (cost approximates value) |
139,100
|
8,022,531
|
Short-term
investments, at value (cost approximates value) |
4,306,902
|
14,666,812
|
Receivable
for: |
|
|
Dividends
|
69,397
|
4,324
|
Due
from broker |
8
|
3,146
|
Interest
|
5,850
|
14,448
|
Investments
sold |
7,245,556
|
1,270,568
|
Shares
sold |
197,684
|
975,735
|
Other
assets |
97,869
|
38,605
|
Total
assets |
494,212,776
|
193,648,182
|
Liabilities
|
|
|
Payable
for: |
|
|
Collateral
from securities lending program |
139,100
|
8,022,531
|
Investments
purchased |
6,871,237
|
12,621,443
|
Shares
redeemed |
537,699
|
53,165
|
Accrued
expenses: |
|
|
Directors
fees |
65,135
|
805
|
Management
fees |
305,296
|
75,053
|
12b-1
distribution and service fees |
57,411
|
9,601
|
Other
|
261,904
|
63,999
|
Total
liabilities |
8,237,782
|
20,846,597
|
Net
assets |
$485,974,994
|
$172,801,585
|
|
|
|
See accompanying notes to financial statements.
Statement of Assets and Liabilities (Unaudited) (continued)
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Class
A Shares |
|
|
Net
assets |
$199,784,866
|
$
36,696,777 |
Shares
outstanding |
5,895,454
|
1,727,919
|
Net
asset value ("NAV") per share |
$
33.89 |
$
21.24 |
Offering
price per share (NAV per share plus maximum sales charge of 5.75% of offering price) |
$
35.96 |
$
22.54 |
Class
C Shares |
|
|
Net
assets |
$
7,258,783 |
$
2,007,629 |
Shares
outstanding |
323,484
|
131,506
|
NAV
and offering price per share |
$
22.44 |
$
15.27 |
Class
R3 Shares |
|
|
Net
assets |
$
26,383,414 |
$
1,287,440 |
Shares
outstanding |
857,542
|
65,224
|
NAV
and offering price per share |
$
30.77 |
$
19.74 |
Class
R6 Shares |
|
|
Net
assets |
$
35,207,843 |
$
4,333,000 |
Shares
outstanding |
813,427
|
167,098
|
NAV
and offering price per share |
$
43.28 |
$
25.93 |
Class
I Shares |
|
|
Net
assets |
$217,340,088
|
$128,476,739
|
Shares
outstanding |
5,086,159
|
4,975,586
|
NAV
and offering price per share |
$
42.73 |
$
25.82 |
Fund
level net assets consist of: |
|
|
Capital
paid-in |
$351,782,550
|
$154,483,353
|
Total
distributable earnings |
134,192,444
|
18,318,232
|
Fund
level net assets |
$485,974,994
|
$172,801,585
|
Authorized
shares - per class |
2
billion |
2
billion |
Par
value per share |
$
0.0001 |
$
0.0001 |
See accompanying notes to financial statements.
Statement of Operations
Six Months Ended April 30, 2019
(Unaudited)
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Investment
Income |
|
|
Dividends
|
$
1,729,979 |
$
207,342 |
Interest
|
23,868
|
28,424
|
Securities
lending income |
2,567
|
20,228
|
Total
investment income |
1,756,414
|
255,994
|
Expenses
|
|
|
Management
fees |
1,991,295
|
436,551
|
12b-1
service fees - Class A Shares |
233,967
|
43,645
|
12b-1
distibution and service fees - Class C Shares |
35,648
|
9,852
|
12b-1
distibution and service fees - Class R3 Shares |
61,663
|
3,032
|
Shareholder
servicing agent fees |
365,421
|
72,011
|
Custodian
fees |
27,504
|
8,145
|
Professional
fees |
19,065
|
9,102
|
Directors
fees |
7,876
|
1,522
|
Shareholder
reporting expenses |
22,444
|
13,273
|
Federal
and state registration fees |
45,939
|
43,148
|
Other
|
30,404
|
11,842
|
Total
expenses before fee waiver/expense reimbursement |
2,841,226
|
652,123
|
Fee
waiver/expense reimbursement |
(183,451)
|
(89,142)
|
Net
expenses |
2,657,775
|
562,981
|
Net
investment income (loss) |
(901,361)
|
(306,987)
|
Realized
and Unrealized Gain (Loss) |
|
|
Net
realized gain (loss) from investments |
20,510,430
|
5,670
|
Change
in net unrealized appreciation (depreciation) of investments |
38,779,888
|
8,048,170
|
Net
realized and unrealized gain (loss) |
59,290,318
|
8,053,840
|
Net
increase (decrease) in net assets from operations |
$58,388,957
|
$7,746,853
|
See accompanying notes to financial statements.
Statement of Changes in Net Assets
(Unaudited)
|
Mid
Cap Growth Opportunities |
|
Small
Cap Growth Opportunities |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
Operations
|
|
|
|
|
|
Net
investment income (loss) |
$
(901,361) |
$
(2,749,990) |
|
$
(306,987) |
$
(612,442) |
Net
realized gain (loss) from investments |
20,510,430
|
105,271,433
|
|
5,670
|
15,615,021
|
Change
in net unrealized appreciation (depreciation) of investments |
38,779,888
|
(71,584,251)
|
|
8,048,170
|
(7,650,523)
|
Net
increase (decrease) in net assets from operations |
58,388,957
|
30,937,192
|
|
7,746,853
|
7,352,056
|
Distributions
to Shareholders |
|
|
|
|
|
Dividends
|
|
|
|
|
|
Class
A Shares |
(33,688,439)
|
(42,671,318)
|
|
(5,069,833)
|
(4,209,121)
|
Class
C Shares |
(1,845,779)
|
(3,566,386)
|
|
(375,076)
|
(324,846)
|
Class
R3 Shares |
(4,617,500)
|
(6,636,934)
|
|
(170,130)
|
(201,526)
|
Class
R6 Shares |
(7,948,730)
|
(10,590,712)
|
|
(1,183,722)
|
(2,000,545)
|
Class
I Shares |
(42,429,099)
|
(63,162,628)
|
|
(6,735,700)
|
(4,579,909)
|
Decrease
in net assets from distributions to shareholders |
(90,529,547)
|
(126,627,978)
|
|
(13,534,461)
|
(11,315,947)
|
Fund
Share Transactions |
|
|
|
|
|
Proceeds
from sale of shares |
28,440,628
|
74,478,107
|
|
84,784,635
|
31,341,482
|
Proceeds
from shares issued to shareholders due to reinvestment of distributions |
82,717,140
|
118,019,725
|
|
10,691,877
|
9,469,803
|
|
111,157,768
|
192,497,832
|
|
95,476,512
|
40,811,285
|
Cost
of shares redeemed |
(211,266,257)
|
(279,032,792)
|
|
(27,354,133)
|
(27,769,950)
|
Net
increase (decrease) in net assets from Fund share transactions |
(100,108,489)
|
(86,534,960)
|
|
68,122,379
|
13,041,335
|
Net
increase (decrease) in net assets |
(132,249,079)
|
(182,225,746)
|
|
62,334,771
|
9,077,444
|
Net
assets at the beginning of period |
618,224,073
|
800,449,819
|
|
110,466,814
|
101,389,370
|
Net
assets at the end of period |
$
485,974,994 |
$
618,224,073 |
|
$172,801,585
|
$110,466,814
|
See accompanying notes to financial statements.
THIS PAGE INTENTIONALLY LEFT BLANK
Financial Highlights
(Unaudited)
Mid Cap Growth
Opportunities
Selected data for a share outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (01/95) |
|
|
|
|
|
|
|
|
|
2019(e)
|
$36.79
|
$(0.08)
|
$
3.67 |
$
3.59 |
|
$ —
|
$(6.49)
|
$(6.49)
|
$33.89
|
2018
|
43.45
|
(0.20)
|
1.16
|
0.96
|
|
—
|
(7.62)
|
(7.62)
|
36.79
|
2017
|
36.09
|
(0.17)
|
9.20
|
9.03
|
|
—
|
(1.67)
|
(1.67)
|
43.45
|
2016
|
40.91
|
(0.12)
|
(1.36)
|
(1.48)
|
|
—
|
(3.34)
|
(3.34)
|
36.09
|
2015
|
47.67
|
(0.31)
|
1.72
|
1.41
|
|
—
|
(8.17)
|
(8.17)
|
40.91
|
2014
|
51.11
|
(0.38)
|
6.09
|
5.71
|
|
—
|
(9.15)
|
(9.15)
|
47.67
|
Class
C (09/01) |
|
|
|
|
|
|
|
|
|
2019(e)
|
26.85
|
(0.13)
|
2.21
|
2.08
|
|
—
|
(6.49)
|
(6.49)
|
22.44
|
2018
|
33.94
|
(0.36)
|
0.89
|
0.53
|
|
—
|
(7.62)
|
(7.62)
|
26.85
|
2017
|
28.74
|
(0.36)
|
7.23
|
6.87
|
|
—
|
(1.67)
|
(1.67)
|
33.94
|
2016
|
33.50
|
(0.31)
|
(1.11)
|
(1.42)
|
|
—
|
(3.34)
|
(3.34)
|
28.74
|
2015
|
40.77
|
(0.52)
|
1.42
|
0.90
|
|
—
|
(8.17)
|
(8.17)
|
33.50
|
2014
|
45.29
|
(0.63)
|
5.26
|
4.63
|
|
—
|
(9.15)
|
(9.15)
|
40.77
|
Class
R3 (12/00) |
|
|
|
|
|
|
|
|
|
2019(e)
|
34.10
|
(0.11)
|
3.27
|
3.16
|
|
—
|
(6.49)
|
(6.49)
|
30.77
|
2018
|
40.90
|
(0.28)
|
1.10
|
0.82
|
|
—
|
(7.62)
|
(7.62)
|
34.10
|
2017
|
34.14
|
(0.25)
|
8.68
|
8.43
|
|
—
|
(1.67)
|
(1.67)
|
40.90
|
2016
|
38.98
|
(0.20)
|
(1.30)
|
(1.50)
|
|
—
|
(3.34)
|
(3.34)
|
34.14
|
2015
|
45.90
|
(0.40)
|
1.65
|
1.25
|
|
—
|
(8.17)
|
(8.17)
|
38.98
|
2014
|
49.65
|
(0.49)
|
5.89
|
5.40
|
|
—
|
(9.15)
|
(9.15)
|
45.90
|
Class
R6 (02/13) |
|
|
|
|
|
|
|
|
|
2019(e)
|
44.94
|
(0.02)
|
4.85
|
4.83
|
|
—
|
(6.49)
|
(6.49)
|
43.28
|
2018
|
51.24
|
(0.05)
|
1.37
|
1.32
|
|
—
|
(7.62)
|
(7.62)
|
44.94
|
2017
|
42.11
|
(0.02)
|
10.82
|
10.80
|
|
—
|
(1.67)
|
(1.67)
|
51.24
|
2016
|
47.00
|
0.06
|
(1.61)
|
(1.55)
|
|
—
|
(3.34)
|
(3.34)
|
42.11
|
2015
|
53.36
|
(0.16)
|
1.97
|
1.81
|
|
—
|
(8.17)
|
(8.17)
|
47.00
|
2014
|
55.97
|
(0.23)
|
6.77
|
6.54
|
|
—
|
(9.15)
|
(9.15)
|
53.36
|
Class
I (12/89) |
|
|
|
|
|
|
|
|
|
2019(e)
|
44.49
|
(0.05)
|
4.78
|
4.73
|
|
—
|
(6.49)
|
(6.49)
|
42.73
|
2018
|
50.85
|
(0.12)
|
1.38
|
1.26
|
|
—
|
(7.62)
|
(7.62)
|
44.49
|
2017
|
41.87
|
(0.08)
|
10.73
|
10.65
|
|
—
|
(1.67)
|
(1.67)
|
50.85
|
2016
|
46.81
|
(0.04)
|
(1.56)
|
(1.60)
|
|
—
|
(3.34)
|
(3.34)
|
41.87
|
2015
|
53.24
|
(0.23)
|
1.97
|
1.74
|
|
—
|
(8.17)
|
(8.17)
|
46.81
|
2014
|
55.93
|
(0.29)
|
6.75
|
6.46
|
|
—
|
(9.15)
|
(9.15)
|
53.24
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets Before Waiver/Reimbursement |
|
Ratios
to Average Net Assets After Waiver/Reimbursement(c) |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
|
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(d) |
|
|
|
|
|
|
|
|
14.23%
|
$199,785
|
1.25%*
|
(0.56)%*
|
|
1.18%*
|
(0.49)%*
|
45%
|
2.35
|
196,212
|
1.23
|
(0.56)
|
|
1.17
|
(0.51)
|
106
|
25.89
|
250,908
|
1.23
|
(0.48)
|
|
1.17
|
(0.43)
|
136
|
(3.78)
|
280,681
|
1.29
|
(0.35)
|
|
1.27
|
(0.33)
|
89
|
3.68
|
365,394
|
1.30
|
(0.72)
|
|
1.30
|
(0.72)
|
118
|
12.89
|
371,601
|
1.30
|
(0.81)
|
|
1.30
|
(0.81)
|
106
|
|
|
|
|
|
|
|
|
13.80
|
7,259
|
2.00*
|
(1.31)*
|
|
1.93*
|
(1.24)*
|
45
|
1.60
|
7,936
|
1.98
|
(1.30)
|
|
1.92
|
(1.25)
|
106
|
24.95
|
16,278
|
1.98
|
(1.23)
|
|
1.92
|
(1.18)
|
136
|
(4.50)
|
16,956
|
2.04
|
(1.10)
|
|
2.02
|
(1.08)
|
89
|
2.91
|
22,284
|
2.05
|
(1.47)
|
|
2.05
|
(1.47)
|
118
|
12.01
|
24,304
|
2.05
|
(1.56)
|
|
2.05
|
(1.56)
|
106
|
|
|
|
|
|
|
|
|
14.07
|
26,383
|
1.50*
|
(0.82)*
|
|
1.43*
|
(0.74)*
|
45
|
2.09
|
26,098
|
1.48
|
(0.81)
|
|
1.42
|
(0.76)
|
106
|
25.60
|
35,402
|
1.48
|
(0.72)
|
|
1.42
|
(0.66)
|
136
|
(4.04)
|
55,093
|
1.54
|
(0.59)
|
|
1.52
|
(0.57)
|
89
|
3.43
|
54,866
|
1.55
|
(0.98)
|
|
1.55
|
(0.98)
|
118
|
12.59
|
64,262
|
1.55
|
(1.10)
|
|
1.55
|
(1.10)
|
106
|
|
|
|
|
|
|
|
|
14.44
|
35,208
|
0.85*
|
(0.14)*
|
|
0.79*
|
(0.08)*
|
45
|
2.75
|
56,250
|
0.84
|
(0.17)
|
|
0.78
|
(0.11)
|
106
|
26.41
|
72,703
|
0.84
|
(0.09)
|
|
0.78
|
(0.03)
|
136
|
(3.41)
|
50,677
|
0.89
|
0.12
|
|
0.86
|
0.14
|
89
|
4.09
|
31,167
|
0.92
|
(0.33)
|
|
0.92
|
(0.33)
|
118
|
13.31
|
16,192
|
0.92
|
(0.44)
|
|
0.92
|
(0.44)
|
106
|
|
|
|
|
|
|
|
|
14.37
|
217,340
|
1.00*
|
(0.31)*
|
|
0.93*
|
(0.23)*
|
45
|
2.61
|
331,728
|
0.98
|
(0.31)
|
|
0.92
|
(0.26)
|
106
|
26.20
|
425,158
|
0.98
|
(0.23)
|
|
0.92
|
(0.18)
|
136
|
(3.54)
|
491,747
|
1.04
|
(0.10)
|
|
1.02
|
(0.08)
|
89
|
3.95
|
730,560
|
1.05
|
(0.47)
|
|
1.05
|
(0.47)
|
118
|
13.15
|
814,636
|
1.05
|
(0.56)
|
|
1.05
|
(0.56)
|
106
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
After fee
waiver and/or expense reimbursement from the Adviser, where applicable. See Note 7 – Management Fees and Other Transactions with Affiliates, Management Fees for more information. |
(d)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e)
|
For the
six months ended April 30, 2019. |
*
|
Annualized.
|
See
accompanying notes to financial statements.
Financial Highlights (Unaudited) (continued)
Small Cap Growth Opportunities
Selected
data for a share outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (08/95) |
|
|
|
|
|
|
|
|
|
2019(e)
|
$23.54
|
$(0.08)
|
$1.06
|
$
0.98 |
|
$ —
|
$(3.28)
|
$(3.28)
|
$21.24
|
2018
|
24.78
|
(0.17)
|
1.94
|
1.77
|
|
—
|
(3.01)
|
(3.01)
|
23.54
|
2017
|
19.90
|
(0.16)
|
5.14
|
4.98
|
|
—
|
(0.10)
|
(0.10)
|
24.78
|
2016
|
21.57
|
(0.10)
|
0.45
|
0.35
|
|
—
|
(2.02)
|
(2.02)
|
19.90
|
2015
|
24.41
|
(0.22)
|
0.33
|
0.11
|
|
—
|
(2.95)
|
(2.95)
|
21.57
|
2014
|
27.13
|
(0.26)
|
2.35
|
2.09
|
|
—
|
(4.81)
|
(4.81)
|
24.41
|
Class
C (09/01) |
|
|
|
|
|
|
|
|
|
2019(e)
|
18.01
|
(0.11)
|
0.65
|
0.54
|
|
—
|
(3.28)
|
(3.28)
|
15.27
|
2018
|
19.79
|
(0.27)
|
1.50
|
1.23
|
|
—
|
(3.01)
|
(3.01)
|
18.01
|
2017
|
16.02
|
(0.26)
|
4.13
|
3.87
|
|
—
|
(0.10)
|
(0.10)
|
19.79
|
2016
|
17.89
|
(0.20)
|
0.35
|
0.15
|
|
—
|
(2.02)
|
(2.02)
|
16.02
|
2015
|
20.89
|
(0.33)
|
0.28
|
(0.05)
|
|
—
|
(2.95)
|
(2.95)
|
17.89
|
2014
|
24.05
|
(0.38)
|
2.03
|
1.65
|
|
—
|
(4.81)
|
(4.81)
|
20.89
|
Class
R3 (12/00) |
|
|
|
|
|
|
|
|
|
2019(e)
|
22.16
|
(0.10)
|
0.96
|
0.86
|
|
—
|
(3.28)
|
(3.28)
|
19.74
|
2018
|
23.56
|
(0.22)
|
1.83
|
1.61
|
|
—
|
(3.01)
|
(3.01)
|
22.16
|
2017
|
18.97
|
(0.21)
|
4.90
|
4.69
|
|
—
|
(0.10)
|
(0.10)
|
23.56
|
2016
|
20.71
|
(0.14)
|
0.42
|
0.28
|
|
—
|
(2.02)
|
(2.02)
|
18.97
|
2015
|
23.60
|
(0.27)
|
0.33
|
0.06
|
|
—
|
(2.95)
|
(2.95)
|
20.71
|
2014
|
26.45
|
(0.31)
|
2.27
|
1.96
|
|
—
|
(4.81)
|
(4.81)
|
23.60
|
Class
R6 (06/16) |
|
|
|
|
|
|
|
|
|
2019(e)
|
27.88
|
(0.03)
|
1.36
|
1.33
|
|
—
|
(3.28)
|
(3.28)
|
25.93
|
2018
|
28.72
|
(0.10)
|
2.27
|
2.17
|
|
—
|
(3.01)
|
(3.01)
|
27.88
|
2017
|
22.96
|
(0.08)
|
5.94
|
5.86
|
|
—
|
(0.10)
|
(0.10)
|
28.72
|
2016(f)
|
21.63
|
(0.02)
|
1.35
|
1.33
|
|
—
|
—
|
—
|
22.96
|
Class
I (08/95) |
|
|
|
|
|
|
|
|
|
2019(e)
|
27.79
|
(0.06)
|
1.37
|
1.31
|
|
—
|
(3.28)
|
(3.28)
|
25.82
|
2018
|
28.66
|
(0.13)
|
2.27
|
2.14
|
|
—
|
(3.01)
|
(3.01)
|
27.79
|
2017
|
22.94
|
(0.12)
|
5.94
|
5.82
|
|
—
|
(0.10)
|
(0.10)
|
28.66
|
2016
|
24.51
|
(0.06)
|
0.51
|
0.45
|
|
—
|
(2.02)
|
(2.02)
|
22.94
|
2015
|
27.26
|
(0.19)
|
0.39
|
0.20
|
|
—
|
(2.95)
|
(2.95)
|
24.51
|
2014
|
29.68
|
(0.23)
|
2.62
|
2.39
|
|
—
|
(4.81)
|
(4.81)
|
27.26
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets Before Waiver/Reimbursement |
|
Ratios
to Average Net Assets After Waiver/Reimbursement(c) |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
|
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(d) |
|
|
|
|
|
|
|
|
6.93%
|
$
36,697 |
1.42%*
|
(0.92)%*
|
|
1.24%*
|
(0.74)%*
|
52%
|
7.89
|
36,452
|
1.38
|
(0.86)
|
|
1.24
|
(0.72)
|
139
|
25.07
|
34,934
|
1.41
|
(0.80)
|
|
1.30
|
(0.69)
|
95
|
1.90
|
31,255
|
1.48
|
(0.58)
|
|
1.42
|
(0.52)
|
106
|
0.72
|
33,922
|
1.50
|
(1.00)
|
|
1.47
|
(0.97)
|
128
|
9.07
|
38,990
|
1.57
|
(1.19)
|
|
1.47
|
(1.09)
|
125
|
|
|
|
|
|
|
|
|
6.56
|
2,008
|
2.17*
|
(1.66)*
|
|
1.99*
|
(1.48)*
|
52
|
7.05
|
2,141
|
2.13
|
(1.60)
|
|
1.99
|
(1.46)
|
139
|
24.21
|
2,181
|
2.16
|
(1.55)
|
|
2.05
|
(1.44)
|
95
|
1.10
|
1,971
|
2.23
|
(1.32)
|
|
2.18
|
(1.27)
|
106
|
(0.03)
|
2,278
|
2.25
|
(1.75)
|
|
2.22
|
(1.72)
|
128
|
8.26
|
2,250
|
2.32
|
(1.94)
|
|
2.22
|
(1.84)
|
125
|
|
|
|
|
|
|
|
|
6.80
|
1,287
|
1.67*
|
(1.20)*
|
|
1.49*
|
(1.03)*
|
52
|
7.60
|
1,206
|
1.63
|
(1.11)
|
|
1.49
|
(0.97)
|
139
|
24.77
|
1,608
|
1.66
|
(1.05)
|
|
1.55
|
(0.94)
|
95
|
1.62
|
1,631
|
1.73
|
(0.83)
|
|
1.67
|
(0.78)
|
106
|
0.50
|
1,439
|
1.75
|
(1.26)
|
|
1.72
|
(1.23)
|
128
|
8.77
|
2,077
|
1.82
|
(1.44)
|
|
1.72
|
(1.34)
|
125
|
|
|
|
|
|
|
|
|
7.12
|
4,333
|
1.03*
|
(0.37)*
|
|
0.86*
|
(0.20)*
|
52
|
8.24
|
14,475
|
1.03
|
(0.50)
|
|
0.88
|
(0.35)
|
139
|
25.56
|
19,108
|
1.04
|
(0.43)
|
|
0.93
|
(0.32)
|
95
|
6.15
|
19,524
|
1.02*
|
(0.29)*
|
|
0.96*
|
(0.23)*
|
106
|
|
|
|
|
|
|
|
|
7.07
|
128,477
|
1.17*
|
(0.69)*
|
|
1.00*
|
(0.52)*
|
52
|
8.14
|
56,194
|
1.13
|
(0.60)
|
|
0.99
|
(0.46)
|
139
|
25.41
|
43,557
|
1.16
|
(0.56)
|
|
1.05
|
(0.44)
|
95
|
2.10
|
34,468
|
1.24
|
(0.32)
|
|
1.19
|
(0.26)
|
106
|
1.00
|
62,403
|
1.25
|
(0.75)
|
|
1.22
|
(0.71)
|
128
|
9.34
|
62,887
|
1.32
|
(0.94)
|
|
1.22
|
(0.84)
|
125
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
After fee
waiver and/or expense reimbursement from the Adviser, where applicable. See Note 7 – Management Fees and Other Transactions with Affiliates, Management Fees for more information. |
(d)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e)
|
For the
six months ended April 30, 2019. |
(f)
|
For the
period June 30, 2016 (commencement of operations) through October 31, 2016. |
*
|
Annualized.
|
See accompanying notes to financial statements.
Notes to Financial Statements
(Unaudited)
1. General Information and Significant Accounting
Policies
General Information
Trust and Fund Information
Nuveen Investment Funds, Inc. (the “Trust”), is an
open-end management investment company registered under the Investment Company Act of 1940, as amended. The Trust is comprised of Nuveen Mid Cap Growth Opportunities Fund (“Mid Cap Growth Opportunities”) and Nuveen Small Cap Growth
Opportunities Fund (“Small Cap Growth Opportunities”), (each a “Fund” and collectively, the “Funds”), as diversified funds, among others. The Trust was incorporated in the State of Maryland on August 20,
1987.
The end of the reporting period for the Funds is
April 30, 2019 , and the period covered by these Notes to Financial Statements is the six months ended April 30, 2019 (the “current fiscal period”).
Investment Adviser
The Funds' investment adviser is Nuveen Fund Advisors, LLC (the
“Adviser”), a subsidiary of Nuveen, LLC (“Nuveen”). Nuveen is the investment management arm of Teachers Insurance and Annuity Association of America (TIAA). The Adviser has overall responsibility for management of the Funds,
oversees the management of the Funds' portfolios, manages the Funds' business affairs and provides certain clerical, bookkeeping and other administrative services, and, if necessary, asset allocation decisions. The Adviser has entered into
sub-advisory agreements with Nuveen Asset Management, LLC, (the “Sub-Adviser”), a subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds.
Investment Objectives
Mid Cap Growth Opportunities' investment objective is capital
appreciation. Small Cap Growth Opportunities' investment objective is growth of capital.
The Funds' most recent prospectus provides further descriptions
of each Fund's investment objective, principal investment strategies and principal risks.
Significant Accounting Policies
Each Fund is an investment company and follows accounting and
reporting guidance under Financial Accounting Standards Board ("FASB") Accounting Standards Codification (ASC) Topic 946 "Financial Services-Investment Companies." The following is a summary of significant accounting policies followed by the Funds
in the preparation of their financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).
Investment Transactions
Investment transactions are recorded on a trade date basis.
Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have
extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have earmarked securities in their portfolios with a current value at least equal to the amount of the when-issued/delayed
delivery purchase commitments.
As of the end of the
reporting period, the Funds did not have any outstanding when-issued/delayed delivery purchase commitments.
Investment Income
Dividend income is recorded on the ex-dividend date or, for
foreign securities, when information is available. Non-cash dividends received in the form of stock, if any, are recognized on the ex-dividend date and recorded at fair value. Interest income is recorded on an accrual basis. Securities lending
income is comprised of fees earned from borrowers and income earned on cash collateral investments.
Professional Fees
Professional fees presented on the Statement of Operations
consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment or to pursue other
claims or legal actions on behalf of Fund shareholders. If a refund is received for workout expenditures paid in a prior reporting period, such amounts will be recognized as “Legal fee refund” on the Statement of Operations.
Dividends and Distributions to Shareholders
Dividends from net investment income, if any, are declared and
distributed to shareholders annually. Net realized capital gains from investment transactions, if any, are declared and distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed
available capital loss carryforwards.
Distributions to
shareholders are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP.
Share Classes and Sales Charges
Class A Shares are generally sold with an up-front sales charge
and incur a 0.25% annual 12b-1 service fee. Class A Share purchases of $1 million or more are sold at net asset value (“NAV”) without an up-front sales charge but may be subject to a contingent deferred sales charge (“CDSC”)
of 1% if redeemed within eighteen months of purchase. Class C Shares are sold without an up-front sales charge but incur a 0.75% annual 12b-1 distribution fee and a 0.25% annual 12b-1 service fee. Class C Shares are subject to a CDSC of 1% if
redeemed within twelve months of purchase. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares are sold without an up-front sales charge but incur a 0.25% annual 12b-1 distribution fee and a 0.25% annual
12b-1 service fee. Class R6 Shares and Class I Shares are not subject to any sales charge or 12b-1 distribution or service fees.
Multiclass Operations and Allocations
Income and expenses of the Funds that are not directly
attributable to a specific class of shares are prorated among the classes based on the relative net assets of each class. Expenses directly attributable to a class of shares are recorded to the specific class. Currently, the only expenses that are
allocated on a class-specific basis are 12b-1 distribution and service fees.
Sub-transfer agent fees and similar fees, which are recognized
as a component of “Shareholder servicing agent fees” on the Statement of Operations, are not charged to Class R6 Shares and are prorated among the other classes based on their relative net assets.
Realized and unrealized capital gains and losses of the Funds
are prorated among the classes based on the relative net assets of each class.
Compensation
The Trust pays no compensation directly to those of its
directors who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Trust from the Adviser or its affiliates. The Funds' Board of Directors (the "Board") has adopted a deferred compensation
plan for independent directors that enables directors to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though
equal dollar amounts had been invested in shares of select Nuveen-advised funds.
Indemnifications
Under the Trust’s organizational documents, its officers
and directors are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, in the normal course of business, the Trust enters into contracts that provide general indemnifications to other
parties. The Trust's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred. However, the Trust has not had prior claims or losses pursuant to these
contracts and expects the risk of loss to be remote.
Netting Agreements
In the ordinary course of business, the Funds may enter into
transactions subject to enforceable International Swaps and Derivatives Association, Inc. (ISDA) master agreements or other similar arrangements (“netting agreements”). Generally, the right to offset in netting agreements allows each
Fund to offset certain securities and derivatives with a specific counterparty, when applicable, as well as any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, each Fund manages its cash
collateral and securities collateral on a counterparty basis.
The Funds' investments subject to netting agreements as of the
end of the reporting period, if any, are further described in Note 3 - Portfolio Securities and Investments in Derivatives.
Use of Estimates
The preparation of financial statements in conformity with U.S.
GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during
the current fiscal period. Actual results may differ from those estimates.
2. Investment Valuation and Fair Value
Measurements
The fair valuation input levels as described
below are for fair value measurement purposes.
Fair value
is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for 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. Observable inputs
Notes to Financial Statements (Unaudited) (continued)
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. The following is a summary of the three-tiered hierarchy of valuation input levels.
Level 1
– Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
Level 2
– Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, credit spreads, etc.).
Level 3
– Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
Common stocks and other equity-type securities are valued at
the last sales price on the securities exchange on which such securities are primarily traded and are generally classified as Level 1. Securities primarily traded on the Nasdaq National Market ("Nasdaq") are valued at the Nasdaq Official Closing
Price and are generally classified as Level 1. However, securities traded on a securities exchange or Nasdaq for which there were no transactions on a given day or securities not listed on a securities exchange or Nasdaq are valued at the quoted bid
price and are generally classified as Level 2.
Exchange-traded funds are valued at the last sales price on the
securities exchange on which such securities are primarily traded and are generally classified as Level 1.
Investments in investment companies are valued at their
respective NAVs on the valuation date and are generally classified as Level 1.
Certain securities may not be able to be priced by the
pre-established pricing methods as described above. Such securities may be valued by the Board and/or its appointee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be
publicly sold without registration under the Securities Act of 1933, as amended) for which an independent pricing service ("pricing service") is unable to provide a market price; securities whose trading has been formally suspended; debt securities
that have gone into default and for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially
affect the value of the security after the market has closed but before the calculation of a Fund’s NAV (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable
market quotation; and a security whose price, as provided by the pricing service, is not deemed to reflect the security’s fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might
reasonably expect to receive for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality,
type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s
credit characteristics considered relevant. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs. Regardless of the method employed to value a particular security, all valuations
are subject to review by the Board and/or its appointee.
The inputs or methodologies used for valuing securities are not
an indication of the risks associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:
Mid
Cap Growth Opportunities |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$482,150,410
|
$ —
|
$ —
|
$482,150,410
|
Investments
Purchased with Collateral from Securities Lending |
139,100
|
—
|
—
|
139,100
|
Short-Term
Investments: |
|
|
|
|
Money
Market Funds |
4,306,902
|
—
|
—
|
4,306,902
|
Total
|
$486,596,412
|
$ —
|
$ —
|
$486,596,412
|
Small
Cap Growth Opportunities |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$164,430,268
|
$ —
|
$ —**
|
$164,430,268
|
Exchange-Traded
Funds |
4,221,745
|
—
|
—
|
4,221,745
|
Investments
Purchased with Collateral from Securities Lending |
8,022,531
|
—
|
—
|
8,022,531
|
Short-Term
Investments: |
|
|
|
|
Money
Market Funds |
14,666,812
|
—
|
—
|
14,666,812
|
Total
|
$191,341,356
|
$ —
|
$ —
|
$191,341,356
|
*
|
Refer to the
Fund's Portfolio of Investments for industry classifications. |
**
|
Refer
to the Fund's Portfolio of Investments for securities classified as Level 3. Value equals zero as of the end of the reporting period. |
3. Portfolio Securities and Investments in Derivatives
Securities Lending
In order to generate additional income, the Funds may lend
securities representing up to one-third of the value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks or other institutions. When loaning securities, each Fund retains the benefits of owning the
securities, including the economic equivalent of dividends or interest generated by the security. The Funds also have the ability to recall the securities on loan at any time.
Each Fund’s policy is to receive, at the inception of a
loan, cash collateral equal to at least 102% of the value of securities loaned, which is recognized as “Payable for collateral from securities lending program” on the Statement of Assets and Liabilities. Collateral for securities on loan
is invested in a money market fund, which is recognized as “Investments purchased with collateral from securities lending, at value” on the Statement of Assets and Liabilities. The market value of the securities loaned is determined at
the close of each business day in order to determine the adequacy of the collateral. If the value of the securities on loan increases such that the level of collateralization falls below 100%, additional collateral is received from the borrower on
the next business day, which is recognized as “Due from broker” on the Statement of Assets and Liabilities.
Securities out on loan are subject to termination at any time
at the option of the borrower or the Fund. Upon termination, the borrower is required to return to the Fund securities identical to the securities loaned. Generally, in the event the borrower defaults on its obligation to return the loaned
securities, the Fund has the right to use the collateral to acquire identical securities. In the event the Fund is delayed or prevented from exercising its right to dispose of the collateral, there may be a loss to the Fund. Under each Fund's
securities lending agreement, however, the securities lending agent has indemnified the Fund against losses resulting from borrower default, except to the extent that those losses result from a decrease in the value of the collateral due to its
investment by the Funds. The Funds bear the risk of loss with respect to the investment of collateral.
The Funds’ custodian, U.S. Bank National Association,
serves as their securities lending agent. Income earned from the securities lending program is paid to the Funds. Income from securities lending, is recognized as “Securities lending income” on the Statement of Operations.
The following table presents the securities out on loan for the
Funds, and the collateral delivered related to those securities, as of the end of the reporting period.
Fund
|
Asset
Class out on Loan |
Long-Term
Investments, at Value |
Collateral
Pledged (From) Counterparty* |
Net
Exposure |
Mid
Cap Growth Opportunities |
Common
Stocks |
$
134,550 |
$
(134,550) |
$ —
|
Small
Cap Growth Opportunities |
|
|
|
|
|
Common
Stocks |
$4,235,330
|
$(4,235,330)
|
$ —
|
|
Exchange-Traded
Funds |
3,538,526
|
(3,538,526)
|
—
|
Total
|
|
$7,773,856
|
$(7,773,856)
|
$ —
|
* As of the end of the reporting
period, the value of the collateral pledged from the counterparty exceeded the value of the securities out on loan. Refer to the Fund’s Portfolio of Investments for details on the securities out on loan.
Investments in Derivatives
Each Fund is authorized to invest in certain derivative
instruments. The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds’ investments in derivatives may represent economic hedges, they
are not considered to be hedge transactions for financial reporting purposes.
Although the Funds are authorized to invest in derivative
instruments, and may do so in the future, they did not make any such investments during the current fiscal period.
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in
financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss
could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap
transactions, when applicable. The extent of each Fund’s exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities.
Each Fund helps manage counterparty credit risk by entering
into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to
pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an
unrealized loss, the Funds have instructed the
Notes to Financial Statements (Unaudited) (continued)
custodian to pledge assets of the Funds as collateral with a value
approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold
amount.
4. Fund Shares
Transactions in Fund shares during the current and prior fiscal
period were as follows:
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Mid
Cap Growth Opportunities |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
233,575
|
$
7,107,217 |
|
532,312
|
$
20,896,061 |
Class
A – automatic conversion of Class C Shares |
—
|
—
|
|
5,815
|
227,664
|
Class
C |
36,643
|
716,883
|
|
39,840
|
1,128,803
|
Class
R3 |
106,418
|
2,935,753
|
|
152,474
|
5,555,412
|
Class
R6 |
55,902
|
2,270,191
|
|
139,147
|
6,652,732
|
Class
I |
392,512
|
15,410,584
|
|
841,306
|
40,017,435
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
1,226,272
|
33,170,652
|
|
1,152,716
|
42,051,063
|
Class
C |
99,901
|
1,794,220
|
|
127,561
|
3,418,634
|
Class
R3 |
184,336
|
4,530,984
|
|
192,865
|
6,534,257
|
Class
R6 |
230,398
|
7,948,731
|
|
238,476
|
10,590,712
|
Class
I |
1,034,992
|
35,272,553
|
|
1,259,374
|
55,425,059
|
|
3,600,949
|
111,157,768
|
|
4,681,886
|
192,497,832
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(897,329)
|
(27,741,524)
|
|
(2,133,046)
|
(84,523,328)
|
Class
C |
(108,625)
|
(2,196,791)
|
|
(343,445)
|
(9,877,658)
|
Class
C – automatic conversion to Class A Shares |
—
|
—
|
|
(7,948)
|
(227,664)
|
Class
R3 |
(198,657)
|
(5,963,433)
|
|
(445,516)
|
(16,156,519)
|
Class
R6 |
(724,421)
|
(25,719,639)
|
|
(545,088)
|
(25,796,215)
|
Class
I |
(3,798,048)
|
(149,644,870)
|
|
(3,004,604)
|
(142,451,408)
|
|
(5,727,080)
|
(211,266,257)
|
|
(6,479,647)
|
(279,032,792)
|
Net
increase (decrease) |
(2,126,131)
|
$(100,108,489)
|
|
(1,797,761)
|
$
(86,534,960) |
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Small
Cap Growth Opportunities |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
65,401
|
$
1,322,967 |
|
137,003
|
$
3,379,320 |
Class
A – automatic conversion of Class C Shares |
—
|
—
|
|
35
|
897
|
Class
C |
14,740
|
219,689
|
|
43,035
|
814,308
|
Class
R3 |
57,061
|
987,282
|
|
38,662
|
861,790
|
Class
R6 |
365
|
9,285
|
|
5,382
|
169,074
|
Class
I |
3,254,739
|
82,245,412
|
|
894,685
|
26,116,093
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
278,640
|
4,940,279
|
|
183,808
|
4,069,501
|
Class
C |
29,198
|
373,153
|
|
18,965
|
323,348
|
Class
R3 |
10,176
|
167,910
|
|
9,604
|
200,538
|
Class
R6 |
54,751
|
1,183,722
|
|
76,532
|
2,000,545
|
Class
I |
186,946
|
4,026,813
|
|
110,271
|
2,875,871
|
|
3,952,017
|
95,476,512
|
|
1,517,982
|
40,811,285
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(164,852)
|
(3,227,613)
|
|
(181,677)
|
(4,419,661)
|
Class
C |
(31,300)
|
(476,797)
|
|
(53,326)
|
(1,002,662)
|
Class
C – automatic conversion to Class A Shares |
—
|
—
|
|
(46)
|
(897)
|
Class
R3 |
(56,423)
|
(1,034,637)
|
|
(62,133)
|
(1,375,752)
|
Class
R6 |
(407,205)
|
(10,884,935)
|
|
(228,134)
|
(6,741,215)
|
Class
I |
(488,040)
|
(11,730,151)
|
|
(502,646)
|
(14,229,763)
|
|
(1,147,820)
|
(27,354,133)
|
|
(1,027,962)
|
(27,769,950)
|
Net
increase (decrease) |
2,804,197
|
$
68,122,379 |
|
490,020
|
$
13,041,335 |
5. Investment Transactions
Long-term purchases and sales (excluding investments purchased
with collateral from securities lending) during the current fiscal period were as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Purchases
|
$233,058,681
|
$108,862,025
|
Sales
|
423,251,661
|
57,509,053
|
6. Income Tax
Information
Each Fund is a separate taxpayer for federal
income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to
regulated investment companies. Therefore, no federal income tax provision is required.
For all open tax years and all major taxing jurisdictions,
management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally the
last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly
change in the next twelve months.
The following
information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing certain gains and losses on investment transactions. To the
extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts as detailed below. Temporary differences do not require reclassification. Temporary and permanent differences do not impact the
NAVs of the Funds.
The table below presents the cost and
unrealized appreciation (depreciation) of each Fund's investment portfolio, as determined on a federal income tax basis, as of April 30, 2019.
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Tax
cost of investments |
$371,940,977
|
$172,720,300
|
Gross
unrealized: |
|
|
Appreciation
|
$122,716,570
|
$
21,882,008 |
Depreciation
|
(8,061,135)
|
(3,260,952)
|
Net
unrealized appreciation (depreciation) of investments |
$114,655,435
|
$
18,621,056 |
Permanent differences, primarily due to net operating losses,
tax equalization and federal taxes paid resulted in reclassifications among the Funds' components of net assets as of October 31, 2018, the Funds' last tax year end.
The tax components of undistributed net ordinary income and net
long-term capital gains as of October 31, 2018, the Funds' last tax year end, were as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Undistributed
net ordinary income1 |
$14,130,332
|
$
2,670,904 |
Undistributed
net long-term capital gains |
76,396,571
|
10,862,035
|
1 |
Net ordinary
income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any. |
The tax character of distributions paid during the
Funds’ last tax year ended October 31, 2018 was designated for purposes of the dividends paid deduction as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Distributions
from net ordinary income1 |
$
24,962,249 |
$5,294,904
|
Distributions
from net long-term capital gains |
101,665,729
|
6,021,043
|
1 |
Net
ordinary income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any. |
Notes to Financial Statements (Unaudited) (continued)
7. Management Fees and Other Transactions with Affiliates
Management Fees
Each Fund’s management fee compensates the Adviser for
the overall investment advisory and administrative services and general office facilities. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
Each Fund’s management fee consists of two components
– a fund-level fee, based only on the amount of assets within each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables each
Fund’s shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
The annual fund-level fee, payable monthly, for each Fund is
calculated according to the following schedule:
Average
Daily Net Assets |
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
For
the first $125 million |
0.6000%
|
0.6500%
|
For
the next $125 million |
0.5875
|
0.6375
|
For
the next $250 million |
0.5750
|
0.6250
|
For
the next $500 million |
0.5625
|
0.6125
|
For
the next $1 billion |
0.5500
|
0.6000
|
For
the next $3 billion |
0.5250
|
0.5750
|
For
the next $2.5 billion |
0.5000
|
0.5500
|
For
the next $2.5 billion |
0.4875
|
0.5375
|
For
net assets over $10 billion |
0.4750
|
0.5250
|
The annual complex-level fee,
payable monthly, for each Fund is determined by taking the complex-level fee rate, which is based on the aggregate amount of "eligible assets" of all Nuveen funds as set forth in the schedule below, and making, as appropriate, an upward adjustment
to that rate based upon the percentage of the particular fund's assets that are not "eligible assets". The complex-level fee schedule for each Fund is as follows:
Complex-Level
Eligible Asset Breakpoint Level* |
Effective
Complex-Level Fee Rate at Breakpoint Level |
$55
billion |
0.2000%
|
$56
billion |
0.1996
|
$57
billion |
0.1989
|
$60
billion |
0.1961
|
$63
billion |
0.1931
|
$66
billion |
0.1900
|
$71
billion |
0.1851
|
$76
billion |
0.1806
|
$80
billion |
0.1773
|
$91
billion |
0.1691
|
$125
billion |
0.1599
|
$200
billion |
0.1505
|
$250
billion |
0.1469
|
$300
billion |
0.1445
|
*
The complex-level fee is calculated based upon the aggregate daily “eligible assets” of all Nuveen open-end and closed-end funds. Eligible assets do not include assets attributable to investments in other Nuveen
funds or assets in excess of a determined amount (originally $2 billion) added to the Nuveen fund complex in connection with the Adviser’s assumption of the management of the former First American Funds effective January 1, 2011. Eligible
assets include closed-end fund assets managed by the Adviser that are attributable to certain types of leverage. For these purposes, leverage includes the closed-end funds’ use of preferred stock and borrowings and certain investments in the
residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust’s issuance of floating rate
securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining eligible assets in certain circumstances. As of April 30, 2019, the complex-level fee for each Fund was as follows:
Fund
|
Complex-Level
Fee |
Mid
Cap Growth Opportunities |
0.2000%
|
Small
Cap Growth Opportunities |
0.1883%
|
The Adviser has agreed to waive fees and/or reimburse expenses (“Expense
Cap”) of the Funds so that total annual Fund operating expenses, (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and
extraordinary expenses) do not exceed the percentages of the average daily net assets of any class of Fund shares in the amounts and for the time period stated in the following table. However, because Class R6 Shares are not subject to sub-transfer
agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. The expense limitation in effect thereafter may be terminated or modified only with the approval of the Board.
Fund
|
Expense
Cap |
Expense
Cap Expiration Date |
Mid
Cap Growth Opportunities |
0.92%
|
July
31, 2020 |
Small
Cap Growth Opportunities |
0.99%
|
July
31, 2020 |
Other Transactions with
Affiliates
During the current fiscal period, Nuveen
Securities, LLC, (the “Distributor”), a wholly-owned subsidiary of Nuveen, collected sales charges on purchases of Class A Shares, the majority of which were paid out as concessions to financial intermediaries as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Sales
charges collected |
$17,288
|
$16,042
|
Paid
to financial intermediaries |
15,218
|
14,193
|
The Distributor also received 12b-1
service fees on Class A Shares, substantially all of which were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
During the current fiscal period, the Distributor compensated
financial intermediaries directly with commission advances at the time of purchase as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
Commission
advances |
$2,243
|
$2,043
|
To compensate for commissions
advanced to financial intermediaries, all 12b-1 service and distribution fees collected on Class C Shares during the first year following a purchase are retained by the Distributor. During the current fiscal period, the Distributor retained such
12b-1 fees as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
12b-1
fees retained |
$1,531
|
$1,120
|
The remaining 12b-1 fees charged to
each Fund were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
The Distributor also collected and retained CDSC on share
redemptions during the current fiscal period, as follows:
|
Mid
Cap Growth Opportunities |
Small
Cap Growth Opportunities |
CDSC
retained |
$25
|
$659
|
8. Borrowing
Arrangements
Committed Line of Credit
The Funds, along with certain other funds managed by the
Adviser ("Participating Funds"), have established a 364-day, approximately $2.65 billion standby credit facility with a group of lenders, under which the Participating Funds may borrow for various purposes other than leveraging for investment
purposes. Each Participating Fund is allocated a designated proportion of the facility’s capacity (and its associated costs, as described below) based upon a multi-factor assessment of the likelihood and frequency of its need to draw on the
facility, the size of the Fund and its anticipated draws,
Notes to Financial Statements (Unaudited) (continued)
and the potential importance of such draws to the operations and well-being of
the Fund, relative to those of the other Funds. A Fund may effect draws on the facility in excess of its designated capacity if and to the extent that other Participating Funds have undrawn capacity. The credit facility expires in July 2019 unless
extended or renewed.
The credit facility has the
following terms: a fee of 0.15% per annum on unused commitment amounts, and interest at a rate equal to the higher of (a) one-month LIBOR (London Inter-Bank Offered Rate) plus 1.00% per annum or (b) the Fed Funds rate plus 1.00% per annum on amounts
borrowed. Participating Funds paid administration, legal and arrangement fees, which are recognized as a component of “Other expenses” on the Statement of Operations, and along with commitment fees, have been allocated among such
Participating Funds based upon the relative proportions of the facility’s aggregate capacity reserved for them and other factors deemed relevant by the Adviser and the Board of each Participating Fund.
During the current fiscal period, Mid Cap Growth Opportunities
utilized this facility. The Fund’s average daily balance outstanding and average annual interest rate during the utilization period(s) was $4,682,644 and 3.51%, respectively. The Fund’s maximum outstanding daily balance during the
utilization period was $10,300,000. Borrowings outstanding as of the end of the reporting period, if any, are recognized as "Borrowings" on the Statement of Assets and Liabilities.
During the current fiscal period, Small Cap Growth
Opportunities did not utilize this facility.
9. New Accounting Pronouncements
Fair Value Measurement: Disclosure Framework
During August 2018, the FASB issued ASU 2018-13 (“ASU
2018-13”), Fair Value Measurement: Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurements. ASU 2018-13 modifies the disclosures required by Topic 820, Fair Value Measurements. The amendments
in ASU 2018-13 are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. During the current reporting period, management early implemented this guidance. This implementation
did not have a material impact on the Fund’s financial statements.
Additional Fund Information
Fund Manager
Nuveen Fund Advisors, LLC
333 West Wacker Drive
Chicago, IL 60606
Sub-Adviser
Nuveen Asset Management, LLC
333 West Wacker Drive
Chicago, IL 60606
Independent Registered
Public Accounting Firm
PricewaterhouseCoopers LLP
One North Wacker Drive
Chicago, IL 60606
Custodian
U.S. Bank National Association
1555 North RiverCenter Drive
Suite 302
Milwaukee, WI 53212
Legal Counsel
Chapman and Cutler LLP
Chicago, IL 60603
Transfer Agent and
Shareholder Services
DST Asset Manager
Solutions, Inc. (DST)
P.O. Box 219140
Kansas City, MO 64121-9140
(800) 257-8787
Portfolio of Investments Information: Each Fund is required to file its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year as an exhibit to its report on Form N-PORT.
You may obtain this information on the SEC's website at http://www.sec.gov.
Nuveen Funds’ Proxy Voting Information: You may obtain (i) information regarding how each fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request, by calling Nuveen
toll-free at (800) 257-8787 or on Nuveen’s website at www.nuveen.com and (ii) a description of the policies and procedures that each fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by
calling Nuveen toll-free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov.
FINRA BrokerCheck:
The Financial Industry Regulatory Authority (FINRA) provides information regarding the disciplinary history of FINRA member firms and associated investment professionals. This information as well as an investor brochure describing FINRA BrokerCheck
is available to the public by calling the FINRA BrokerCheck Hotline number at (800) 289-9999 or by visiting www.FINRA.org.
Glossary of Terms Used in this Report
Average
Annual Total Return: This is a commonly used method to express an investment’s performance over a particular, usually multi-year time period. It expresses the return that would have been necessary each year to
equal the investment’s actual cumulative performance (including change in NAV or market price and reinvested dividends and capital gains distributions, if any) over the time period being considered.
Lipper Mid-Cap Growth Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Mid-Cap Growth Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions
but do not reflect any applicable sales charges.
Lipper Small-Cap Growth Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Small-Cap Growth Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of
distributions but do not reflect any applicable sales charges.
Market Capitalization: The
market capitalization of a company is equal to the number of the company’s common shares outstanding multiplied by the current price of the company’s stock.
Net Asset Value (NAV) Per Share: A fund’s Net Assets is equal to its total assets (securities, cash and accrued earnings) less its total liabilities. For funds with multiple classes, Net Assets are determined separately for each share class. NAV
per share is equal to the fund’s (or share class’) Net Assets divided by its number of shares outstanding.
Russell 2000® Growth Index: An index that measures the performance of those Russell 2000 companies with higher price-to-book
ratios and higher forecasted growth values. The index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
Russell 2000® Index: An index that measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000® Index is a subset of the Russell 3000® Index
representing approximately 10% of the total market capitalization of that index. It includes approximately 2,000 of the smallest securities based on a combination of their market cap and current index membership. The index returns assume
reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
Russell Midcap® Index: An index that measures the performance of the mid-cap segment of the U.S. equity universe. The Russell Midcap
Index measures the performance of the smallest 800 companies in the Russell 1000® Index. The index returns assume reinvestment of distributions, but
do not reflect any applicable sales charges or management fees.
Russell Midcap® Growth Index: An index that measures the performance of the mid-cap growth segment of the U.S. equity universe. It
includes those Russell Midcap Index companies with higher price-to-book ratios and higher forecasted growth values. The index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management
fees.
Tax Equalization: The practice of treating a portion of the distribution made to a redeeming shareholder, which represents his proportionate part of undistributed net investment income and capital gain as a distribution for tax purposes.
Such amounts are referred to as the equalization debits (or payments) and will be considered a distribution to the shareholder of net investment income and capital gain for calculation of the fund’s dividends paid deduction.
Nuveen:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied
on Nuveen to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality solutions designed to be integral components of a well-diversified core
portfolio.
Focused on meeting investor needs.
Nuveen is the investment management arm of TIAA. We have grown
into one of the world’s premier global asset managers, with specialist knowledge across all major asset classes and particular strength in solutions that provide income for investors and that draw on our expertise in alternatives and
responsible investing. Nuveen is driven not only by the independent investment processes across the firm, but also the insights, risk management, analytics and other tools and resources that a truly world-class platform provides. As a global asset
manager, our mission is to work in partnership with our clients to create solutions which help them secure their financial future.
Find out how we can help you.
To learn more about how the products and services of Nuveen
may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk
considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen,
333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: www.nuveen.com/mutual-funds
Nuveen Securities, LLC, member FINRA and SIPC | 333 West Wacker Drive |
Chicago, IL 60606 | www.nuveen.com MSA-FCGO-0419P000000-INV-B-06/20
Nuveen Equity Funds
Fund
Name |
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Nuveen
Large Cap Select Fund |
FLRAX
|
FLYCX
|
—
|
—
|
FLRYX
|
Nuveen
Small Cap Select Fund |
EMGRX
|
FHMCX
|
ASEIX
|
ASEFX
|
ARSTX
|
Beginning on January 1, 2021, as permitted by regulations
adopted by the Securities and Exchange Commission, paper copies of the Funds' annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports. Instead, the reports will be made
available on the Funds' website (www.nuveen.com), and you will be notified by mail each time a report is posted and provided with a website link to access the report.
If you have already elected to receive shareholder reports
electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from the Funds electronically anytime by contacting the financial intermediary (such as a
broker-dealer or bank) through which you hold your Fund shares or, if you are a direct investor, by enrolling at www.nuveen.com/e-reports.
You may elect to receive all future shareholder reports in
paper free of charge at any time by contacting your financial intermediary or, if you are a direct investor, by calling 800-257-8787 and selecting option #1. Your election to receive reports in paper will apply to all funds held in your account with
your financial intermediary or, if you are a direct investor, to all your directly held Nuveen Funds and any other directly held funds within the same group of related investment companies.
Life is Complex.
Nuveen makes things e-simple.
It only takes a minute to sign up for
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wish.
Free e-Reports right to your
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www.investordelivery.com
If you receive your Nuveen Fund
distributions and statements from your financial advisor or brokerage account.
or
www.nuveen.com/client-access
If you receive your Nuveen Fund
distributions and statements directly from Nuveen.
Must be preceded by or accompanied by a
prospectus.
NOT FDIC INSURED MAY
LOSE VALUE NO BANK GUARANTEE
Chairman’s Letter to Shareholders
Dear Shareholders,
The worries weighing on markets at the end of 2018 appeared to
dissipate in early 2019 as positive economic and corporate earnings news, more dovish signals from central banks and trade progress boosted investor confidence. However, political noise and trade disputes have resurfaced in the headlines more
recently, knocking stock market indexes off their recent highs and rallying U.S. Treasury bonds and other safe-haven assets. Investors are concerned that increased tariffs and a protracted stalemate between the U.S. and China, Mexico and other
trading partners could dampen business and consumer sentiment, weakening spending and potentially impacting the global economy. Additionally, political uncertainty and the risk of policy error appear elevated. In the U.S. in particular, low interest
rate levels and the widening federal deficit have constrained the available policy tools for countering recessionary pressures. As the current U.S. economic expansion reaches the 10-year mark this summer, it’s important to note that economic
expansions don’t die of old age, but mature economic cycles can be more vulnerable to an exogenous shock.
Until a clearer picture on trade emerges, more bouts of market
turbulence are likely in the meantime. While the downside risks warrant careful monitoring, we believe the likelihood of a near-term recession remains low. Global economic growth is moderating, with demand driven by the historically low unemployment
in the U.S., Japan and across Europe. Central banks across the developed world continue to emphasize their readiness to adjust policy, and China’s authorities remain committed to keeping economic growth rates steady with fiscal and monetary
policy.
The opportunity set may be narrower, but there
is still scope for gains in this environment. Patience and maintaining perspective can help you weather periodic market volatility. We encourage you to work with your financial advisor to assess short-term market movements in the context of your
time horizon, risk tolerance and investment goals. On behalf of the other members of the Nuveen Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
Sincerely,
Terence J. Toth
Chairman of the Board
June 24, 2019
Portfolio Managers’
Comments
Nuveen Large Cap Select
Fund
Nuveen Small Cap Select Fund
These Funds feature portfolio management by Nuveen Asset
Management, LLC (NAM), an affiliate of Nuveen, LLC.
David Chalupnik, CFA, and Evan Staples, CFA, are the portfolio
managers for the Nuveen Large Cap Select Fund. David assumed portfolio management responsibilities in 2003 and Evan joined the portfolio management team for the Fund in 2017.
Throughout the reporting period, Gregory Ryan, CFA, was the
portfolio manager for the Nuveen Small Cap Select Fund. He joined the portfolio management team for the Fund in 2013. Effective March 19, 2019, Mark Traster was no longer a portfolio manager of the Nuveen Small Cap Select Fund and Jon Loth, CFA, was
added as a portfolio manager.
On the following pages,
the portfolio management teams for the Funds discuss key investment strategies and the Funds’ performance for the six-month reporting period ended April 30, 2019.
Nuveen Large Cap Select Fund
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year and ten-year periods ended April 30, 2019. Comparative performance information is provided for the Fund’s Class A Shares at net
asset value (NAV) only. The Fund’s Class A Shares at NAV underperformed the S&P 500® and the Lipper Large-Cap Core Funds Classification
Average during the six-month reporting period.
What
strategies were used to manage the Fund during the reporting period and how did these strategies influence performance?
The Fund pursues long-term capital appreciation by investing
primarily in the common stocks of companies that have market capitalizations of $5 billion or greater at the time of purchase. During the reporting period, we continued to employ our deep, rigorous research approach to find and invest in stocks that
we believed had strong and/or improving fundamentals, attractive valuations and a catalyst to drive future performance. Our process focuses on constructing a portfolio that we believe offers the best opportunity to achieve superior, risk-adjusted
returns over the long term. Throughout the reporting period, the Fund remained cyclically oriented with the most significant change in positioning coming from an approximately 6% increase in its information technology weighting. We also increased
the Fund’s communication services allocation by about 3% to end the reporting period at a slight overweight. The Fund’s largest overweights versus the S&P 500® benchmark remained in the information technology and financial sectors. Conversely, we decreased the Fund’s allocations in energy by almost 5%
and industrials by about 6% and ended the reporting period with underweights in each sector. The Fund’s most significant underweight versus the benchmark continued to be its consumer staples allocation.
The Fund’s underperformance versus the S&P 500® benchmark and Lipper peers was primarily the result of stock selection issues in the health care, industrial and energy sectors. Health care was the
Fund’s main source of weakness during the reporting period. For example, Cigna Corp reported a fourth-quarter 2018 earnings per share (EPS) figure that was generally in line with consensus; how-
This material is not intended to be a recommendation or investment advice,
does not constitute a solicitation to buy, sell or hold a security or an investment strategy, and is not provided in a fiduciary capacity. The information provided does not take into account the specific objectives or circumstances of any particular
investor, or suggest any specific course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with his or her advisors.
Certain statements in this report are forward-looking
statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio managers as of
the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements and the views expressed herein are subject to change at any time, due to numerous market and other
factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
Refer to the Glossary of Terms Used in this Report for further
definition of the terms used within this section.
Portfolio Managers’ Comments (continued)
ever, investors focused on guidance, which came in below expectations. The
company is typically conservative in its guidance and management indicated that Cigna remains on track to meet its 2021 EPS target. Management also continued to project confidence in the potential growth provided by the Express Scripts deal.
Therefore, we maintained our position in Cigna in the portfolio.
Also in health care, shares of both health insurance company
Humana Inc. and retail pharmacy and pharmacy benefit manager (PBM) company CVS Health Corporation traded lower despite both firms posting solid fourth-quarter earnings reports. The primary issues for Humana revolved around headlines from Washington
D.C. regarding proposed rebates for Medicare Part D, as well as rhetoric around the proposed “Medicare for All” plan. However, given the lack of fundamental weakness, we continued to hold Humana in the Fund. In terms of CVS Health,
investors focused on the firm’s 2019 guidance, which came in well below analysts’ estimates. Management indicated that earnings from the retail segment are expected to be down double digits. Following the release, the stock was down and
while the valuation has become more attractive, growth visibility and confidence in management has fallen. Given a lack of near-term catalysts for the stock, we exited the Fund’s position in CVS Health.
Another detractor in health care was Allergan PLC, a specialty
pharmaceutical company that develops and distributes generic, branded and over-the-counter products for eye care, the central nervous system, aesthetics and gastrointestinal therapeutics. Although the firm reported a fourth-quarter 2018 earnings
beat, its conservative guidance and results from Phase 3 trials of the antidepressant Rapastinel disappointed investors. However, Allergan continues to possess a solid organic revenue base and management appears to be taking a more conservative
approach to guidance. As such, we continued to hold the position in the Fund.
Mylan NV, another generic and specialty pharmaceutical, was
also a drag on the Fund’s performance. The company reported a fourth-quarter 2018 earnings miss, but investors were most disappointed by 2019 guidance. Although top-line guidance came in as expected, gross margin guidance was lower than
expected and guidance for selling, general and administrative (SG&A) expenses moved above estimates. Given the uncertainty around additional revenue contribution from new launches, SG&A guidance and management’s strategic review, while
we continue to hold Mylan, we have reduced our exposure to seek out better opportunities.
The most significant detractor in industrials was XPO
Logistics Inc. The company provides a range of logistics services across North America and Europe including an asset-light logistics business and a transportation business that provides freight brokerage, less-than-truckload (LTL), last mile
delivery and European transport. During the company’s fourth quarter 2018, its largest customer, believed to be Amazon although XPO Logistics won’t confirm, pulled $600 million of its total $900 million of business. This incident was the
latest in a string of issues over six months including the loss of key executives, a reduction in guidance and the bankruptcy of a key European customer that resulted in the company missing third-quarter 2018 expectations. We believed XPO Logistics
was facing challenging headwinds including replacing the lost business on a profitable basis near term, a soft European market and cycle duration of its LTL business, which represents 40-45% of company profits. Consequently, we exited our
position.
In energy, a position in refiner Marathon
Petroleum Corp weighed on relative performance. Generally speaking, falling oil prices weighed on energy sector sentiment and resulted in negative performance for the name earlier in the reporting period. Marathon Petroleum also reported quarterly
results that were basically in line with consensus, but most of the attention was on its investor day where management gave additional detail and guidance regarding expected synergies around the Andeavor acquisition. The deal, which made Marathon
Petroleum the largest North American refiner with strong geographic diversification, combines three solid business lines across refining, midstream and retail gas stations. We continue to hold Marathon Petroleum in the Fund’s portfolio.
On the positive side of the equation, the Fund’s results
benefited from stock selection and an overweight position in the information technology sector. An underweight position in consumer staples also proved helpful.
The technology sector featured a number of standout performers
during the reporting period led by a position in semiconductor firm QUALCOMM Inc. We initiated a position in late February 2019 after poor sentiment presented an attractive buying opportunity and the stock subsequently rallied. While
QUALCOMM’s licensing business remains a risk, the company is well positioned to benefit from the 5G upgrade and we continue to hold our position in QUALCOMM.
We also saw strong results from a position in First Data Corp,
a global leader in providing electronic commerce and payment solutions for merchants, financial institutions and card issuers. In January 2019, an all-stock acquisition by Fiserv was announced of First Data in a $22 billion deal that equated to an
approximately 30% premium to the prior close. The company also reported favorable revenue and EPS results that beat expectations and favorable 2019 earnings growth guidance. We continued to hold our position because we believed the combined entity
would benefit from significant accretion and will be a good strategic fit.
Another top performer in the sector was ServiceNow Inc., an
enterprise information technology management software company. Although fourth-quarter 2018 revenue missed slightly, the company’s solid earnings and strong billings growth were positives from the report. In addition, ServiceNow guided fiscal
2019 subscription revenues and billings growth ahead of expectations. We continued to like and own this stock in our portfolio.
The Fund also benefited from a position in Autodesk Inc., a
leading provider of computer-aided design (CAD) software for the manufacturing and construction industries. Autodesk is benefiting from strong industry trends, including digitization within construction and manufacturing design, and an internal
business transformation to a more recurring revenue model. The company is the leader and gaining additional share in the construction market, which is rapidly moving to complete cloud-based, software-driven project automation. The company’s
transformation to a cloud-based subscription model has set Autodesk up to provide 35% annual recurring revenue (ARR) growth in fiscal 2020 and sustainable 20% plus ARR growth going forward along with accelerating margins and free cash flow. The
cloud-based approach also prevents piracy in emerging markets such as Brazil, Russia and China, which currently have more than 10 million non-paying users that will now have to pay Autodesk for its leading product, Autocad. We continue to maintain
our position in Autodesk.
The Fund also saw strong
results from Lam Research Corp, the designer and manufacturer of advanced wafer fab equipment (WFE) to the largest chip and memory companies in the world. In the near term, we will continue to watch memory pricing and cycle dynamics (DRAM and NAND)
and China trade war news flow. Although some degree of caution is warranted given DRAM pricing trends, capital expenditure indications in the second half of 2019 still seem supported by Samsung and other players. Lam Research appears likely to
continue to benefit long term as computing needs are rising with AI, autonomous driving, cloud datacenter growth and other new technologies that are supporting new chip designs and continued chip demand. Therefore, we remain invested in Lam Research
Corp.
Also, Broadcom Inc. reported strong quarterly
results reflecting a beat on the top line, gross margin, EPS and free cash flow. Free cash flow margin expanded in fiscal year 2018 and there is additional room for it to grow. Although not unexpected, Broadcom also announced a hefty dividend
increase of 50% and is one of the highest yielding stocks in the semiconductor sector. The combination of strong results, expected accretion and preliminary comments around the CA Technologies acquisition, strong cash generation and increased return
to shareholders led to the company’s positive stock movement during the reporting period. We continued to hold Broadcom in the Fund.
Payment technology company Mastercard Inc. also benefited the
Fund’s results. In the midst of a modestly weaker macroeconomic environment, investors were encouraged by the company’s solid quarterly results and encouraging guidance. Importantly, management’s new 2019 and three-year guidance
included low-teens revenue growth and high-teens EPS growth, which were not only better than feared, but also highlighted recent share gains and the sustainability of the company’s current growth profile. Mastercard’s competitive
advantage also remains strong and defensible amid new technologies such as mobile payments, while we also see additional opportunities in new payment segments such as business-to-business (B2B) and business-to-consumer (B2C). We continued to hold
Mastercard in the Fund.
Although consumer discretionary
detracted overall from results, our position in Wynn Resorts Ltd was a top contributor during the reporting period. After the company saw negative earnings revisions following its fourth-quarter report, the first quarter exceeded expectations and
commentary from management was much more positive. Wynn Palace saw strong year-over-year growth and posted a slight revenue beat. The company has a number of projects on the horizon such as the Encore Boston Harbor ramp up and a convention center
and golf course on the Las Vegas Strip. Overall, the company has opportunities to see free cash flow increase in 2019, expanded profitability and continued share gains in Macau. For these and other reasons, we continued to hold Wynn Resorts in the
portfolio.
Portfolio Managers’ Comments (continued)
On the other hand, we saw weak results in the discretionary
sector from Newell Brands Inc., a worldwide marketer of consumer and commercial products including more than 200 brands such as Rubbermaid, Graco, Papermate, Sunbeam and Coleman. The company reported a low quality earnings beat aided by a lower tax
rate as revenues missed and organic sales were below consensus. All three of Newell’s segments showed signs of weakness, but the company noted better-than-expected pricing and results from some of its new merchandising initiatives. Revenue
guidance for 2019 was also disappointing and based on negative low single-digit organic growth. In addition, EPS guidance came in below expectations. Given what may be overly conservative guidance from management and the company’s ability to
implement cost take-outs, we continued to hold Newell Brands in the Fund’s portfolio.
Nuveen Small Cap Select Fund
How did the Fund perform during the six-month reporting period
ended April 30, 2019?
The tables in the Fund Performance
and Expense Ratios section of this report provide total returns for the Fund for the six-month, one-year, five-year and ten-year periods ended April 30, 2019. Comparative performance information is provided for the Fund’s Class A Shares at net
asset value (NAV) only. The Fund’s Class A Shares at NAV outperformed both the Russell 2000® Index and the Lipper Small-Cap Core Funds
Classification Average during the six-month reporting period.
What strategies were used to manage the Fund during the reporting
period and how did these strategies influence performance?
The Fund seeks to provide long-term capital appreciation by
investing primarily in the common stocks of companies with market capitalizations of $52.0 million to $6.7 billion at the time of purchase, which is based on the most recent reconstitution of the Russell 2000® Index that occurred on June 30, 2018. During the reporting period, we continued to focus on building a well-diversified portfolio of small-cap stocks
from companies with strengthening balance sheets and free cash flow characteristics. We also continued to target companies with sound business models and strong competitive advantages that we believe can gain market share opportunistically in the
current environment. We remained committed to our approach of investing in quality companies that are trading at a discount to both intrinsic and relative value metrics.
The Fund’s outperformance versus the Russell benchmark
and Lipper peers was primarily due to stock selection in the energy, materials and communication services sectors. In energy, we saw strong results from our position in ProPetro Holding Corp. This leading oil well completion services company with
operations exclusively in the Permian basin continued to outperform its peer group via its customer service centric business model, which in turn translated into above-average equipment utilization and, consequently, margin profile. The company was
able to weather a substantial drop in oil prices in late 2018, which subsequently recovered by more than 30% through April 2019 due to tightening global supply and a slowdown in U.S. output. We trimmed our position in ProPetro during the reporting
period, but were pleased with the company’s strategic acquisition of one of its customer’s vertically-integrated well completion assets in exchange for a long-term agreement. The company’s balance sheet following the transaction
remained solid, allowing for additional market share gains. Consequently, we remained invested in this company.
In the materials sector, the Fund saw strong results from
Ingevity Corporation. The company is a leading producer of activated carbon emissions control products for the global automotive markets as well as pine-based industrial chemicals for oil drilling, road paving and other industrial applications, each
of which are attractive secular growth opportunities, particularly in China. However, with its headline exposure to both the automobile industry and China, coupled with a structurally high valuation given the company’s above-average growth
potential, Ingevity’s stock can be impacted by macro headlines at times. During the reporting period, shares performed strongly as macro concerns related to China began to dissipate. Also, investors were likely encouraged that sales in the
company’s performance materials segment will be sustained by tightening emissions standards in China, the U.S. and Europe, as well as emerging regulations in Brazil, which all drive a dollar content and margin benefit. In addition, the
company’s growth and margins appeared to be supported by improvements in the structure of the pine chemicals industry, competitive advantages in both its performance materials and performance chemicals segments. We continued to hold this
stock.
In the communication services sector, the Fund
saw favorable results from a position in New York Times Company, a media organization that engages in distributing news through print and digital subscriptions. The company represents a digital transformation play as it moves away from print and
toward an on-line subscription model. New York Times now generates more than 25% of its revenue
from digital subscriptions with 4.5 million subscribers and a goal to achieve
10 million subscribers by 2025. The company has posted strong results with the conversion to digital taking hold. We continue to like and own the name because we believe the digital conversion will continue and move toward 50% of the company’s
revenue over the next several years.
Finally, the
information technology sector was home to several standouts during the reporting period. Entegris Inc., a manufacturer of semiconductor capital equipment specializing in advanced materials and delivery processes, was a strong performer given the
perception that group fundamentals had turned positive. Following a slowdown in chip demand and a resulting inventory correction in late 2018, shares recovered strongly based on a perceived improvement in semiconductor fabrication equipment and
hopes for an eventual resolution in the Chinese trade dispute. We continue to like and hold Entegris because of its secular growth potential as a beneficiary of increasing silicon demand driven by new technologies.
Cyber-security company Mimecast Ltd, which is focused on email
security, continuity and archiving, saw its shares rise following favorable fourth-quarter 2018 results that handily beat expectations. The company posted revenue growth of 33%, driven by continued traction and market share gains in its enterprise
segment. Mimecast also provided initial fiscal-year 2020 guidance of revenue growth of 21% to 25%, which was above expectations. We remain invested in this stock. The Fund also saw favorable results from another a cyber-security company, Rapid7
Inc., which is focused on vulnerability management to help customers identify weaknesses within their networks. The company reported strong fourth-quarter 2018 results. More importantly, management forecasted that ARR should grow an additional 30%
in 2019, which was well above expectations. We believe Rapid7’s growth has the potential to exceed guidance due to strong cross-selling benefits. Therefore, we maintained our position in this stock.
Another technology standout for the Fund was SendGrid Inc., a
leading provider of cloud-based systems to assist companies with mass e-mail delivery. Shares surged ahead based on news that the company would be acquired by Twilio, a leading messaging application programming interface (API) company, in an
all-stock deal valued at around $2 billion. We exited the position in early 2019.
In the financial sector, the Fund benefited from a position in
Evercore Inc., a leading investment banking advisory company. The company reported fourth-quarter 2018 results that were very strong on both the top and bottom line, exceeding consensus expectations by a wide margin. As testimony to Evercore’s
strong reputation, the company advised on some high-profile deals during the reporting period in both health care and financial services. These deals continue to translate into a strengthening pipeline. We continue to like Evercore because the
company still trades at a discount to its peer group and to historic absolute valuation metrics.
On the negative side of the equation, stock selection
detracted in the health care and consumer discretionary sectors. In health care, several of the Fund’s holdings experienced company-specific issues that compounded the sector’s underperformance during the reporting period. We saw poor
results from Tivity Health Inc., a provider of fitness and health improvement programs primarily focused on the elderly within the Medicare Advantage program. In December 2018, Tivity Health announced it would enter the diet and nutrition segment
with a $1.3 billion acquisition of Nutrisystem Inc. While we continue to hold this position we have reduced our exposure.
The Fund also saw weak results from Cambrex Corp, the producer
of generic and branded molecule active pharmaceutical ingredients (API) for other drug companies. During the reporting period, the company announced underwhelming third-quarter 2018 results. However, we continued to hold our position in Cambrex
because we expect to see stabilization in its largest product volumes. We also believe the company has a strong product pipeline and will benefit from a number of potential synergies from its recent acquisitions.
In the medical device area, the Fund experienced weakness from
LivaNova PLC, the maker of devices used in cardiac surgery and neuromodulation. The company received positive feedback from the Food and Drug Administration (FDA) regarding its neuromodulation therapy for treatment-resistant depression. However,
shares dropped late in the reporting period in response to management pre-announcing a surprisingly weak calendar 2019 first quarter and withdrawing annual financial guidance. Management cited weakness in LivaNova’s core epilepsy and aortic
valve replacement products at the hands of increased competitive pressure, which led us to exit our position in LivaNova.
Portfolio Managers’ Comments (continued)
Also, Natera Inc., a developer of prenatal, transplant health
and oncology diagnostics, saw its shares negatively impacted by poor financial results for the third quarter of 2018 that resulted from service complications in noninvasive prenatal testing as well as increased guidance for development spending. The
share reaction was amplified by significant insider selling in the previous months and increased competitive pressure on the transplant side. As a result, we sold the Fund’s position in Natera to seek out other opportunities within the
group.
While health care detracted overall, the Fund saw
strength from its position in Horizon Pharma Plc, a biopharmaceutical company focused on rare rheumatic diseases. The company benefited from continued growth in its largest product to treat chronic gout called KRYSTEXXA. We expect the combination of
KRYSTEXXA sales and the company’s strong product pipeline will continue to drive solid revenue growth for Horizon Pharma. Therefore, we remained investors in this stock.
In the consumer discretionary sector, the most significant
detractor was Children’s Place Inc., the largest pure-play children’s specialty apparel retailer that operates more than 1,000 stores across North America. The company has reported disappointing results as liquidation from peers like
Gymboree caused deep discounting across the industry. The discounting caused gross margins to fall dramatically and earnings per share results to be well below expectations. We believe the liquidation events, while painful in the short term, are a
long-term positive as capacity exiting the industry positions Children’s Place to take market share moving forward. Therefore, we have maintained our position. Also in discretionary, the Fund saw weak results from Big Lots Inc., the operator
of more than 1,400 discount retail stores across the United States. Big Lots has been undergoing a long-term transformation as the company remodels stores into the “store of the future,” which has led to a nice lift in comparable store
sales as the stores are remodeled. Unfortunately, as the transformation has been unfolding, Big Lots has been facing rising wage and freight costs which, coupled with costs to remodel the stores, have caused deleveraging in the business model. Given
that we believe these expenses will remain at elevated levels going forward, we exited our position early in 2019.
Small-cap energy producers were poor performers during the
reporting period, most notably during the final months of 2018 as investors grappled with falling oil prices, an inverted Treasury yield curve and heightened concerns over recession. Callon Petroleum Co, an independent oil and natural gas
exploration and production company, was no exception. Despite the company achieving its production targets and outlining a path toward cash flow neutrality this year, Callon’s shares were negatively impacted by the broader backdrop. However,
given its attractive growth and valuation profile, the company remains a core energy holding for the Fund.
Finally, in the industrial sector, Welbilt Inc., a global
provider of commercial food service equipment, saw its shares slump. The company issued a guidance reduction to its fourth quarter driven by mix issues, supply chain problems, cost overruns and continued demand spottiness. We exited Welbilt given
the lack of near-term catalysts, the challenging backdrop in the category and a recent CEO transition, which may extend the time needed to regain lost business momentum.
Nuveen
Large Cap Select Fund
Mutual fund investing involves
risk; principal loss is possible. Equity investments, such as those held by the Fund, are subject to market risk, derivatives risk, and common stock risk. Foreign investments involve additional risks including currency fluctuations, political and
economic instability, and lack of liquidity. These risks are magnified in emerging markets.
Nuveen Small Cap Select Fund
Mutual fund investing involves risk; principal loss is
possible. There is no guarantee the Fund’s investment objectives will be achieved. Prices of equity securities may decline significantly over short or extended periods of time. Investments in smaller companies are subject to greater volatility than those of larger companies. Non-U.S. investments involve risks such as currency fluctuation, political and economic
instability, lack of liquidity and differing legal and accounting standards. These risks are magnified in emerging markets. These and other risk considerations, such as derivatives and growth stock risks, are
described in the Fund’s prospectus.
THIS PAGE INTENTIONALLY LEFT BLANK
Fund Performance and Expense Ratios
The Fund
Performance and Expense Ratios for each Fund are shown within this section of the report.
Returns quoted represent past performance, which is no guarantee
of future results. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than their original cost. Current performance may be higher or lower than the
performance shown. Total returns for a period of less than one year are not annualized. Returns at net asset value (NAV) would be lower if the sales charge were included. Returns assume reinvestment of dividends and capital gains. For performance,
current to the most recent month-end visit nuveen.com or call (800) 257-8787.
Returns do not reflect the deduction of taxes that a
shareholder would pay on Fund distributions or the redemption of Fund Shares.
Returns may reflect fee waivers and/or expense reimbursements
by the investment adviser during the periods presented. If any such waivers and/or reimbursements had not been in place, returns would have been reduced. See Notes to Financial Statements, Note 7—Management Fees and Other Transactions with
Affiliates for more information.
Returns reflect
differences in sales charges and expenses, which are primarily differences in distribution and service fees, and assume reinvestment of dividends and capital gains.
Comparative index and Lipper return information is provided
for Class A Shares at NAV only.
The expense ratios shown
reflect total operating expenses (before fee waivers and/or expense reimbursements, if any) as shown in the most recent prospectus. The expense ratios include management fees and other fees and expenses.
Fund Performance and Expense Ratios (continued)
Nuveen Large Cap Select Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
8.26%
|
|
7.63%
|
11.43%
|
14.61%
|
Class
A Shares at maximum Offering Price |
2.04%
|
|
1.45%
|
10.12%
|
13.94%
|
S&P
500® Index |
9.76%
|
|
13.49%
|
11.63%
|
15.32%
|
Lipper
Large-Cap Core Funds Classification Average |
9.34%
|
|
11.62%
|
10.09%
|
13.91%
|
Class
C Shares |
7.88%
|
|
6.88%
|
10.60%
|
13.75%
|
Class
I Shares |
8.40%
|
|
7.92%
|
11.71%
|
14.90%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(8.07)%
|
|
3.02%
|
9.81%
|
14.90%
|
Class
A Shares at maximum Offering Price |
(13.35)%
|
|
(2.90)%
|
8.51%
|
14.23%
|
Class
C Shares |
(8.39)%
|
|
2.30%
|
8.98%
|
14.05%
|
Class
I Shares |
(7.94)%
|
|
3.29%
|
10.08%
|
15.20%
|
Indexes and Lipper averages are not
available for direct investment.
Class A Shares have a
maximum 5.75% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1% if redeemed within eighteen
months of purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class I Shares have no
sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
I |
Gross
Expense Ratios |
1.16%
|
1.91%
|
0.91%
|
Net
Expense Ratios |
1.14%
|
1.89%
|
0.89%
|
The Fund’s investment adviser
has contractually agreed to waive fees and/or reimburse other Fund expenses through July 31, 2020, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and
expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.89% of the average daily net assets of any class of Fund shares. The expense limitations may be terminated or modified prior to
that date only with the approval of the Board.
Nuveen Small Cap Select Fund
Refer
to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this
section.
Fund Performance
Average Annual Total Returns as of April 30, 2019
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
6.54%
|
|
4.73%
|
8.70%
|
13.04%
|
Class
A Shares at maximum Offering Price |
0.46%
|
|
(1.25)%
|
7.42%
|
12.38%
|
Russell
2000® Index |
6.06%
|
|
4.61%
|
8.63%
|
14.10%
|
Lipper
Small-Cap Core Funds Classification Average |
5.83%
|
|
3.41%
|
7.07%
|
13.27%
|
Class
C Shares |
6.09%
|
|
4.01%
|
7.89%
|
12.20%
|
Class
R3 Shares |
6.49%
|
|
4.61%
|
8.46%
|
12.78%
|
Class
I Shares |
6.72%
|
|
5.04%
|
8.98%
|
13.33%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
Since
Inception |
Class
R6 Shares |
6.71%
|
|
5.20%
|
6.10%
|
Average Annual Total Returns as of
March 31, 2019 (Most Recent Calendar Quarter)
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
5-Year
|
10-Year
|
Class
A Shares at NAV |
(9.01)%
|
|
1.99%
|
7.14%
|
14.15%
|
Class
A Shares at maximum Offering Price |
(14.21)%
|
|
(3.92)%
|
5.88%
|
13.47%
|
Class
C Shares |
(9.39)%
|
|
1.28%
|
6.34%
|
13.30%
|
Class
R3 Shares |
(9.03)%
|
|
1.82%
|
6.89%
|
13.89%
|
Class
I Shares |
(8.93)%
|
|
2.30%
|
7.39%
|
14.44%
|
|
Cumulative
|
|
Average
Annual |
|
6-Month
|
|
1-Year
|
Since
Inception |
Class
R6 Shares |
(8.69)%
|
|
2.49%
|
2.53%
|
Since inception returns for Class R6
Shares are from 2/28/18. Indexes and Lipper averages are not available for direct investment.
Class A Shares have a maximum 5.75% sales charge (Offering
Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC) of 1% if redeemed within eighteen months of purchase. Class C Shares
have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the total returns. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares have no sales charge and are only available
for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. Class I Shares have no sales charge and may be purchased under limited
circumstances or by specified classes of investors.
Fund Performance and Expense Ratios (continued)
Nuveen Small Cap Select Fund
Expense
Ratios as of Most Recent Prospectus
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Gross
Expense Ratios |
1.43%
|
2.18%
|
1.68%
|
1.03%
|
1.18%
|
Net
Expense Ratios |
1.24%
|
1.99%
|
1.49%
|
0.85%
|
0.99%
|
The Fund’s investment adviser
has contractually agreed to waive fees and/or reimburse other Fund expenses through July 31, 2020, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and
expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.99% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer
agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. The expense limitations may be terminated or modified prior to that date only with the approval of the Board.
Holding Summaries as of April 30, 2019
This data relates to the securities held in each Fund's
portfolio of investments as of the end of this reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Nuveen Large Cap Select Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
100.8%
|
Other
Assets Less Liabilities |
(0.8)%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Software
|
13.5%
|
Semiconductors
& Semiconductor Equipment |
7.7%
|
IT
Services |
7.6%
|
Banks
|
6.9%
|
Capital
Markets |
6.8%
|
Interactive
Media & Services |
5.6%
|
Health
Care Providers & Services |
5.5%
|
Hotels,
Restaurants & Leisure |
4.1%
|
Pharmaceuticals
|
3.8%
|
Internet
& Direct Marketing Retail |
3.6%
|
Chemicals
|
3.5%
|
Communications
Equipment |
3.2%
|
Oil,
Gas & Consumable Fuels |
3.1%
|
Machinery
|
3.0%
|
Equity
Real Estate Investment Trust |
2.9%
|
Media
|
2.6%
|
Other
|
17.4%
|
Other
Assets Less Liabilities |
(0.8)%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
Microsoft
Corp |
5.3%
|
Alphabet
Inc., Class A |
4.1%
|
Citigroup
Inc. |
3.5%
|
Mastercard
Inc, Class A |
3.3%
|
QUALCOMM
Inc |
3.2%
|
Holding Summaries as of April 30, 2019 (continued)
Nuveen Small Cap Select Fund
Fund
Allocation (% of net assets) |
|
Common
Stocks |
97.0%
|
Exchange-Traded
Funds |
1.0%
|
Investments
Purchased with Collateral from Securities Lending |
3.4%
|
Money
Market Funds |
1.1%
|
Other
Assets Less Liabilities |
(2.5)%
|
Net
Assets |
100%
|
Portfolio
Composition (% of net assets) |
|
Banks
|
10.5%
|
Software
|
7.3%
|
Equity
Real Estate Investment Trust |
6.2%
|
Hotels,
Restaurants & Leisure |
4.7%
|
Commercial
Services & Supplies |
4.0%
|
Communications
Equipment |
3.8%
|
Specialty
Retail |
3.6%
|
Biotechnology
|
3.5%
|
Semiconductors
& Semiconductor Equipment |
3.4%
|
Health
Care Providers & Services |
3.3%
|
Building
Products |
3.1%
|
Oil,
Gas & Consumable Fuels |
2.9%
|
Machinery
|
2.8%
|
Chemicals
|
2.7%
|
IT
Services |
2.7%
|
Insurance
|
2.4%
|
Pharmaceuticals
|
2.3%
|
Household
Durables |
2.2%
|
Thrifts
& Mortgage Finance |
2.2%
|
Health
Care Equipment & Supplies |
2.1%
|
Food
Products |
1.6%
|
Multi-Utilities
|
1.6%
|
Investments
Purchased with Collateral from Securities Lending |
3.4%
|
Other
|
19.1%
|
Money
Market Funds |
1.1%
|
Other
Assets Less Liabilities |
(2.5)%
|
Net
Assets |
100%
|
Top
Five Common Stock Holdings (% of net assets) |
|
Ingevity
Corporation |
1.7%
|
CSW
Industrials Inc |
1.6%
|
Casella
Waste Systems Inc |
1.6%
|
Nomad
Foods Ltd |
1.6%
|
Black
Hills Corp |
1.6%
|
As a
shareholder of one or more of the Funds, you incur two types of costs: (1) transaction costs, including up-front and back-end sales charges (loads) or redemption fees, where applicable; and (2) ongoing costs, including management fees; distribution
and service (12b-1) fees, where applicable; and other Fund expenses. The Examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in
other mutual funds.
The Examples below are based on an
investment of $1,000 invested at the beginning of the period and held through the period ended April 30, 2019.
The beginning of the period is November 1, 2018.
The information under “Actual Performance,”
together with the amount you invested, allows you to estimate actual expenses incurred over the reporting period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60) and multiply the result by
the cost shown for your share class, in the row entitled “Expenses Incurred During Period” to estimate the expenses incurred on your account during this period.
The information under “Hypothetical Performance,”
provides information about hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratios 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 expense you incurred for the period. You may use this information to compare the ongoing costs of investing in the 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.
Please note that the expenses shown in the following tables
are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different
funds or share classes. In addition, if these transaction costs were included, your costs would have been higher.
Nuveen Large Cap Select Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
I |
Actual
Performance |
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,082.60
|
$1,078.80
|
$1,084.00
|
Expenses
Incurred During the Period |
$
5.94 |
$
9.79 |
$
4.65 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,019.09
|
$1,015.37
|
$1,020.33
|
Expenses
Incurred During the Period |
$
5.76 |
$
9.49 |
$
4.51 |
For each class of the Fund, expenses are equal to the Fund's
annualized net expense ratio of 1.15%, 1.90%, and 0.90% for Classes A, C, and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Expense Examples (continued)
Nuveen Small Cap Select Fund
|
Share
Class |
|
Class
A |
Class
C |
Class
R3 |
Class
R6 |
Class
I |
Actual
Performance |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,065.40
|
$1,060.90
|
$1,064.90
|
$1,067.10
|
$1,067.20
|
Expenses
Incurred During the Period |
$
6.35 |
$
10.17 |
$
7.63 |
$
4.36 |
$
5.07 |
Hypothetical
Performance (5% annualized return before expenses) |
|
|
|
|
|
Beginning
Account Value |
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
$1,000.00
|
Ending
Account Value |
$1,018.65
|
$1,014.93
|
$1,017.41
|
$1,020.58
|
$1,019.89
|
Expenses
Incurred During the Period |
$
6.21 |
$
9.94 |
$
7.45 |
$
4.26 |
$
4.96 |
For each class of the Fund, expenses are equal to the
Fund’s annualized net expense ratio of 1.24%, 1.99%, 1.49%, 0.85% and 0.99% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year
period).
Nuveen Large Cap Select Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 100.8% |
|
|
|
|
|
|
COMMON
STOCKS – 100.8% |
|
|
|
|
|
|
Aerospace
& Defense – 1.2% |
|
|
|
|
4,977
|
|
Harris
Corp |
|
|
|
$
838,624 |
|
|
Airlines – 1.6%
|
|
|
|
|
11,971
|
|
United
Continental Holdings Inc, (2) |
|
|
|
1,063,743
|
|
|
Banks – 6.9%
|
|
|
|
|
51,032
|
|
Bank
of America Corp |
|
|
|
1,560,558
|
33,911
|
|
Citigroup
Inc. |
|
|
|
2,397,508
|
15,497
|
|
East
West Bancorp Inc. |
|
|
|
797,786
|
|
|
Total
Banks |
|
|
|
4,755,852
|
|
|
Biotechnology – 2.3%
|
|
|
|
|
10,580
|
|
Gilead
Sciences Inc. |
|
|
|
688,123
|
5,198
|
|
Vertex
Pharmaceuticals Inc., (2) |
|
|
|
878,358
|
|
|
Total
Biotechnology |
|
|
|
1,566,481
|
|
|
Capital
Markets – 6.8% |
|
|
|
|
33,347
|
|
E*TRADE
Financial Corp |
|
|
|
1,689,359
|
39,633
|
|
Morgan
Stanley |
|
|
|
1,912,292
|
11,655
|
|
Raymond
James Financial Inc. |
|
|
|
1,067,249
|
|
|
Total
Capital Markets |
|
|
|
4,668,900
|
|
|
Chemicals – 3.5%
|
|
|
|
|
24,339
|
|
CF
Industries Holdings Inc |
|
|
|
1,089,900
|
7,281
|
|
Linde
PLC |
|
|
|
1,312,473
|
|
|
Total
Chemicals |
|
|
|
2,402,373
|
|
|
Communications
Equipment – 3.2% |
|
|
|
|
25,846
|
|
Cisco
Systems Inc |
|
|
|
1,446,084
|
5,156
|
|
Motorola
Solutions Inc |
|
|
|
747,156
|
|
|
Total
Communications Equipment |
|
|
|
2,193,240
|
|
|
Consumer
Finance – 2.0% |
|
|
|
|
14,397
|
|
Capital
One Financial Corp |
|
|
|
1,336,473
|
|
|
Diversified
Telecommunication Services – 2.4% |
|
|
|
|
53,372
|
|
AT&T
Inc |
|
|
|
1,652,397
|
|
|
Electric
Utilities – 1.9% |
|
|
|
|
26,167
|
|
Exelon
Corp |
|
|
|
1,333,209
|
Nuveen Large Cap Select Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Equity
Real Estate Investment Trust – 2.9% |
|
|
|
|
5,272
|
|
American
Tower Corp |
|
|
|
$1,029,621 |
2,088
|
|
Equinix
Inc |
|
|
|
949,414
|
|
|
Total
Equity Real Estate Investment Trust |
|
|
|
1,979,035
|
|
|
Food
Products – 1.3% |
|
|
|
|
11,528
|
|
Tyson
Foods Inc |
|
|
|
864,715
|
|
|
Health
Care Providers & Services – 5.5% |
|
|
|
|
12,671
|
|
Cigna
Corp |
|
|
|
2,012,662
|
6,805
|
|
Humana
Inc. |
|
|
|
1,738,065
|
|
|
Total
Health Care Providers & Services |
|
|
|
3,750,727
|
|
|
Hotels,
Restaurants & Leisure – 4.1% |
|
|
|
|
48,272
|
|
MGM
Resorts International |
|
|
|
1,285,483
|
11,413
|
|
Norwegian
Cruise Line Holdings Ltd, (2) |
|
|
|
643,579
|
6,057
|
|
Wynn
Resorts Ltd |
|
|
|
874,934
|
|
|
Total
Hotels, Restaurants & Leisure |
|
|
|
2,803,996
|
|
|
Household
Durables – 1.4% |
|
|
|
|
67,833
|
|
Newell
Brands Inc. |
|
|
|
975,438
|
|
|
Insurance – 1.7%
|
|
|
|
|
10,997
|
|
Prudential
Financial Inc |
|
|
|
1,162,493
|
|
|
Interactive
Media & Services – 5.6% |
|
|
|
|
2,325
|
|
Alphabet
Inc., Class A, (2) |
|
|
|
2,787,582
|
21,591
|
|
Tencent
Holdings Ltd |
|
|
|
1,063,141
|
|
|
Total
Interactive Media & Services |
|
|
|
3,850,723
|
|
|
Internet
& Direct Marketing Retail – 3.6% |
|
|
|
|
5,775
|
|
Alibaba
Group Holding Ltd, Sponsored ADR, (2) |
|
|
|
1,071,667
|
708
|
|
Amazoncom
Inc, (2) |
|
|
|
1,363,976
|
|
|
Total
Internet & Direct Marketing Retail |
|
|
|
2,435,643
|
|
|
IT
Services – 7.6% |
|
|
|
|
15,656
|
|
DXC
Technology Co |
|
|
|
1,029,225
|
74,833
|
|
First
Data Corp, (2) |
|
|
|
1,935,181
|
8,882
|
|
Mastercard
Inc, Class A |
|
|
|
2,258,160
|
|
|
Total
IT Services |
|
|
|
5,222,566
|
|
|
Machinery – 3.0%
|
|
|
|
|
9,298
|
|
Caterpillar
Inc. |
|
|
|
1,296,327
|
4,080
|
|
Parker-Hannifin
Corp |
|
|
|
738,807
|
|
|
Total
Machinery |
|
|
|
2,035,134
|
|
|
Media – 2.6%
|
|
|
|
|
41,273
|
|
Comcast
Corp |
|
|
|
1,796,614
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Oil,
Gas & Consumable Fuels – 3.1% |
|
|
|
|
11,973
|
|
Marathon
Petroleum Corp |
|
|
|
$728,796 |
10,593
|
|
Occidental
Petroleum Corp |
|
|
|
623,716
|
4,608
|
|
Pioneer
Natural Resources Co |
|
|
|
767,048
|
|
|
Total
Oil, Gas & Consumable Fuels |
|
|
|
2,119,560
|
|
|
Pharmaceuticals – 3.8%
|
|
|
|
|
8,443
|
|
Allergan
PLC |
|
|
|
1,241,121
|
21,897
|
|
Elanco
Animal Health Inc, (2) |
|
|
|
689,756
|
25,465
|
|
Mylan
NV, (2) |
|
|
|
687,300
|
|
|
Total
Pharmaceuticals |
|
|
|
2,618,177
|
|
|
Road
& Rail – 1.6% |
|
|
|
|
13,388
|
|
CSX
Corp |
|
|
|
1,066,086
|
|
|
Semiconductors
& Semiconductor Equipment – 7.7% |
|
|
|
|
3,973
|
|
Broadcom
Inc |
|
|
|
1,265,003
|
4,994
|
|
Lam
Research Corp |
|
|
|
1,035,906
|
7,747
|
|
Microchip
Technology Inc. |
|
|
|
773,848
|
25,170
|
|
QUALCOMM
Inc |
|
|
|
2,167,892
|
|
|
Total
Semiconductors & Semiconductor Equipment |
|
|
|
5,242,649
|
|
|
Software – 13.5%
|
|
|
|
|
4,698
|
|
Adobe
Inc., (2) |
|
|
|
1,358,896
|
7,389
|
|
Autodesk
Inc., (2) |
|
|
|
1,316,794
|
3,727
|
|
Intuit
Inc. |
|
|
|
935,701
|
28,060
|
|
Microsoft
Corp |
|
|
|
3,664,636
|
6,595
|
|
salesforcecom
Inc., (2) |
|
|
|
1,090,483
|
3,305
|
|
ServiceNow
Inc, (2) |
|
|
|
897,341
|
|
|
Total
Software |
|
|
|
9,263,851
|
|
|
Total
Long-Term Investments (cost $62,231,047) |
|
|
|
68,998,699
|
|
|
Other
Assets Less Liabilities – (0.8)% |
|
|
|
(518,596)
|
|
|
Net
Assets – 100% |
|
|
|
$
68,480,103 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Non-income
producing; issuer has not declared a dividend within the past twelve months. |
|
ADR
|
American
Depositary Receipt |
|
See accompanying notes to financial statements.
Nuveen Small Cap Select Fund
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
LONG-TERM
INVESTMENTS – 98.0% |
|
|
|
|
|
|
COMMON
STOCKS – 97.0% |
|
|
|
|
|
|
Aerospace
& Defense – 1.4% |
|
|
|
|
16,000
|
|
Moog
Inc |
|
|
|
$
1,498,240 |
|
|
Auto
Components – 1.0% |
|
|
|
|
37,237
|
|
Cooper
Tire & Rubber Co |
|
|
|
1,111,897
|
|
|
Banks – 10.5%
|
|
|
|
|
22,930
|
|
Banner
Corp |
|
|
|
1,215,749
|
36,188
|
|
Cathay
General Bancorp |
|
|
|
1,331,356
|
20,700
|
|
IBERIABANK
Corp |
|
|
|
1,645,650
|
18,300
|
|
Pinnacle
Financial Partners Inc. |
|
|
|
1,062,681
|
25,800
|
|
Preferred
Bank/Los Angeles CA |
|
|
|
1,269,102
|
35,300
|
|
Renasant
Corp |
|
|
|
1,279,978
|
52,700
|
|
Sterling
Bancorp/DE |
|
|
|
1,128,834
|
23,900
|
|
Western
Alliance Bancorp, (2) |
|
|
|
1,141,942
|
14,300
|
|
Wintrust
Financial Corp |
|
|
|
1,089,660
|
|
|
Total
Banks |
|
|
|
11,164,952
|
|
|
Biotechnology – 3.5%
|
|
|
|
|
23,300
|
|
Array
BioPharma Inc, (2) |
|
|
|
526,813
|
3,100
|
|
Blueprint
Medicines Corp, (2) |
|
|
|
234,391
|
23,600
|
|
Emergent
BioSolutions Inc, (2) |
|
|
|
1,219,648
|
27,200
|
|
Fate
Therapeutics Inc, (2) |
|
|
|
456,960
|
4,700
|
|
FibroGen
Inc., (2) |
|
|
|
219,631
|
2,200
|
|
Intercept
Pharmaceuticals Inc., (2) |
|
|
|
189,596
|
9,000
|
|
Repligen
Corp, (2) |
|
|
|
606,420
|
3,900
|
|
Ultragenyx
Pharmaceutical Inc., (2) |
|
|
|
257,400
|
|
|
Total
Biotechnology |
|
|
|
3,710,859
|
|
|
Building
Products – 3.1% |
|
|
|
|
28,900
|
|
CSW
Industrials Inc |
|
|
|
1,732,555
|
39,900
|
|
Gibraltar
Industries Inc |
|
|
|
1,582,833
|
|
|
Total
Building Products |
|
|
|
3,315,388
|
|
|
Capital
Markets – 1.6% |
|
|
|
|
17,000
|
|
Evercore
Inc. |
|
|
|
1,656,310
|
|
|
Chemicals – 2.7%
|
|
|
|
|
64,767
|
|
Ferro
Corp |
|
|
|
1,157,386
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Chemicals
(continued) |
|
|
|
|
15,357
|
|
Ingevity
Corporation, (2) |
|
|
|
$
1,766,209 |
|
|
Total
Chemicals |
|
|
|
2,923,595
|
|
|
Commercial
Services & Supplies – 4.0% |
|
|
|
|
46,170
|
|
Casella
Waste Systems Inc, (2) |
|
|
|
1,723,064
|
83,500
|
|
Interface
Inc. |
|
|
|
1,339,340
|
11,316
|
|
MSA
Safety Inc. |
|
|
|
1,243,742
|
|
|
Total
Commercial Services & Supplies |
|
|
|
4,306,146
|
|
|
Communications
Equipment – 3.8% |
|
|
|
|
18,370
|
|
Lumentum
Holdings Inc., (2) |
|
|
|
1,138,389
|
39,365
|
|
NETGEAR
Inc, (2) |
|
|
|
1,221,496
|
32,735
|
|
Plantronics
Inc. |
|
|
|
1,685,198
|
|
|
Total
Communications Equipment |
|
|
|
4,045,083
|
|
|
Construction
& Engineering – 1.6% |
|
|
|
|
33,254
|
|
MasTec
Inc, (2) |
|
|
|
1,684,315
|
|
|
Electronic
Equipment, Instruments & Components – 0.8% |
|
|
|
|
15,203
|
|
Belden
Inc. |
|
|
|
844,527
|
|
|
Energy
Equipment & Services – 1.1% |
|
|
|
|
54,084
|
|
ProPetro
Holding Corp, (2) |
|
|
|
1,196,879
|
|
|
Equity
Real Estate Investment Trust – 6.2% |
|
|
|
|
84,400
|
|
Brandywine
Realty Trust |
|
|
|
1,298,916
|
56,031
|
|
CareTrust
REIT Inc |
|
|
|
1,358,752
|
59,400
|
|
Industrial
Logistics Properties Trust |
|
|
|
1,179,090
|
48,700
|
|
STAG
Industrial Inc |
|
|
|
1,401,586
|
119,989
|
|
Summit
Hotel Properties Inc |
|
|
|
1,393,072
|
|
|
Total
Equity Real Estate Investment Trust |
|
|
|
6,631,416
|
|
|
Food
Products – 1.6% |
|
|
|
|
81,900
|
|
Nomad
Foods Ltd, (2) |
|
|
|
1,703,520
|
|
|
Gas
Utilities – 1.6% |
|
|
|
|
20,061
|
|
Southwest
Gas Holdings Inc. |
|
|
|
1,668,875
|
|
|
Health
Care Equipment & Supplies – 2.1% |
|
|
|
|
41,910
|
|
AtriCure
Inc., (2) |
|
|
|
1,258,138
|
11,500
|
|
Insulet
Corp, (2) |
|
|
|
991,875
|
|
|
Total
Health Care Equipment & Supplies |
|
|
|
2,250,013
|
|
|
Health
Care Providers & Services – 3.3% |
|
|
|
|
23,700
|
|
AMN
Healthcare Services Inc., (2) |
|
|
|
1,233,822
|
9,379
|
|
LHC
Group Inc, (2) |
|
|
|
1,042,101
|
55,922
|
|
Tivity
Health Inc., (2) |
|
|
|
1,209,033
|
|
|
Total
Health Care Providers & Services |
|
|
|
3,484,956
|
Nuveen Small Cap Select Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Hotels,
Restaurants & Leisure – 4.7% |
|
|
|
|
21,594
|
|
Dave
& Buster's Entertainment Inc., (2) |
|
|
|
$1,227,403 |
15,559
|
|
Jack
in the Box Inc. |
|
|
|
1,199,599
|
24,700
|
|
Papa
John's International Inc, (3) |
|
|
|
1,263,652
|
58,039
|
|
Penn
National Gaming Inc, (2) |
|
|
|
1,257,705
|
|
|
Total
Hotels, Restaurants & Leisure |
|
|
|
4,948,359
|
|
|
Household
Durables – 2.2% |
|
|
|
|
38,715
|
|
La-Z-Boy
Inc. |
|
|
|
1,269,852
|
21,335
|
|
Meritage
Homes Corp, (2) |
|
|
|
1,091,285
|
|
|
Total
Household Durables |
|
|
|
2,361,137
|
|
|
Insurance – 2.4%
|
|
|
|
|
95,200
|
|
CNO
Financial Group Inc |
|
|
|
1,575,560
|
14,141
|
|
Kinsale
Capital Group Inc |
|
|
|
1,026,637
|
|
|
Total
Insurance |
|
|
|
2,602,197
|
|
|
IT
Services – 2.7% |
|
|
|
|
19,500
|
|
InterXion
Holding NV, (2) |
|
|
|
1,349,205
|
20,354
|
|
MAXIMUS
Inc |
|
|
|
1,499,072
|
|
|
Total
IT Services |
|
|
|
2,848,277
|
|
|
Leisure
Products – 1.2% |
|
|
|
|
75,330
|
|
Callaway
Golf Co |
|
|
|
1,322,795
|
|
|
Life
Sciences Tools & Services – 1.5% |
|
|
|
|
36,000
|
|
Cambrex
Corp, (2) |
|
|
|
1,548,720
|
|
|
Machinery – 2.8%
|
|
|
|
|
40,500
|
|
Altra
Industrial Motion Corp |
|
|
|
1,518,345
|
36,953
|
|
Kennametal
Inc |
|
|
|
1,503,987
|
|
|
Total
Machinery |
|
|
|
3,022,332
|
|
|
Media – 1.0%
|
|
|
|
|
33,475
|
|
New
York Times Co/The |
|
|
|
1,109,696
|
|
|
Mortgage
Real Estate Investment Trust – 1.1% |
|
|
|
|
162,000
|
|
MFA
Financial Inc |
|
|
|
1,216,620
|
|
|
Multi-Utilities – 1.6%
|
|
|
|
|
23,179
|
|
Black
Hills Corp |
|
|
|
1,686,504
|
|
|
Oil,
Gas & Consumable Fuels – 2.9% |
|
|
|
|
20,770
|
|
Brigham
Minerals Inc, (2) |
|
|
|
425,993
|
147,000
|
|
Callon
Petroleum Co, (2) |
|
|
|
1,103,970
|
41,200
|
|
Delek
US Holdings Inc. |
|
|
|
1,526,872
|
|
|
Total
Oil, Gas & Consumable Fuels |
|
|
|
3,056,835
|
Shares
|
|
Description
(1) |
|
|
|
Value
|
|
|
Paper
& Forest Products – 0.8% |
|
|
|
|
16,781
|
|
Domtar
Corp |
|
|
|
$
820,591 |
|
|
Pharmaceuticals – 2.3%
|
|
|
|
|
63,500
|
|
Horizon
Pharma Plc, (2) |
|
|
|
1,621,155
|
27,193
|
|
Prestige
Consumer Healthcare Inc, (2) |
|
|
|
800,018
|
|
|
Total
Pharmaceuticals |
|
|
|
2,421,173
|
|
|
Professional
Services – 1.5% |
|
|
|
|
33,800
|
|
Korn
Ferry |
|
|
|
1,589,276
|
|
|
Road
& Rail – 1.0% |
|
|
|
|
31,692
|
|
Knight-Swift
Transportation Holdings Inc |
|
|
|
1,056,928
|
|
|
Semiconductors
& Semiconductor Equipment – 3.4% |
|
|
|
|
37,415
|
|
Entegris
Inc. |
|
|
|
1,528,777
|
111,828
|
|
Lattice
Semiconductor Corp, (2) |
|
|
|
1,448,173
|
4,374
|
|
Monolithic
Power Systems Inc |
|
|
|
681,075
|
|
|
Total
Semiconductors & Semiconductor Equipment |
|
|
|
3,658,025
|
|
|
Software – 7.3%
|
|
|
|
|
8,577
|
|
Coupa
Software Inc., (2) |
|
|
|
886,261
|
11,497
|
|
Mimecast
Ltd, (2) |
|
|
|
592,210
|
12,455
|
|
New
Relic Inc., (2) |
|
|
|
1,310,764
|
27,162
|
|
Rapid7
Inc, (2) |
|
|
|
1,475,983
|
18,665
|
|
RealPage
Inc, (2) |
|
|
|
1,217,145
|
38,376
|
|
SailPoint
Technologies Holding Inc, (2) |
|
|
|
1,084,506
|
16,484
|
|
Varonis
Systems Inc, (2) |
|
|
|
1,172,837
|
|
|
Total
Software |
|
|
|
7,739,706
|
|
|
Specialty
Retail – 3.6% |
|
|
|
|
25,066
|
|
Aaron's
Inc. |
|
|
|
1,395,926
|
51,613
|
|
American
Eagle Outfitters Inc |
|
|
|
1,227,357
|
11,125
|
|
Children's
Place Inc/The, (3) |
|
|
|
1,255,122
|
|
|
Total
Specialty Retail |
|
|
|
3,878,405
|
|
|
Textiles,
Apparel & Luxury Goods – 0.9% |
|
|
|
|
26,008
|
|
Steven
Madden Ltd |
|
|
|
945,391
|
|
|
Thrifts
& Mortgage Finance – 2.2% |
|
|
|
|
81,041
|
|
Bridgewater
Bancshares Inc, (2) |
|
|
|
866,328
|
61,400
|
|
Radian
Group Inc |
|
|
|
1,437,988
|
|
|
Total
Thrifts & Mortgage Finance |
|
|
|
2,304,316
|
|
|
Total
Common Stocks (cost $89,509,066) |
|
|
|
103,334,254
|
Nuveen Small Cap Select Fund (continued)
Portfolio of Investments April 30, 2019
(Unaudited)
Shares
|
|
Description
(1), (4) |
|
|
|
Value
|
|
|
EXCHANGE-TRADED
FUNDS – 1.0% |
|
|
|
|
12,100
|
|
SPDR
S&P Biotech ETF, (3) |
|
|
|
$
1,030,920 |
|
|
Total
Exchange-Traded Funds (cost $960,275) |
|
|
|
1,030,920
|
|
|
Total
Long-Term Investments (cost $90,469,341) |
|
|
|
104,365,174
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
INVESTMENTS
PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 3.4% |
|
|
|
|
|
MONEY
MARKET FUNDS – 3.4% |
|
|
|
|
3,615,795
|
|
First
American Government Obligations Fund, Class X, (5) |
2.356%
(6) |
|
|
$
3,615,795 |
|
|
Total
Investments Purchased with Collateral from Securities Lending (cost $3,615,795) |
|
|
3,615,795
|
Shares
|
|
Description
(1) |
Coupon
|
|
|
Value
|
|
|
SHORT-TERM
INVESTMENTS – 1.1% |
|
|
|
|
|
|
MONEY
MARKET FUNDS – 1.1% |
|
|
|
|
1,189,346
|
|
First
American Treasury Obligations Fund, Class Z |
2.324%
(6) |
|
|
$
1,189,346 |
|
|
Total
Short-Term Investments (cost $1,189,346) |
|
|
|
1,189,346
|
|
|
Total
Investments (cost $95,274,482) – 102.5% |
|
|
|
109,170,315
|
|
|
Other
Assets Less Liabilities – (2.5)% |
|
|
|
(2,689,986)
|
|
|
Net
Assets – 100% |
|
|
|
$
106,480,329 |
|
For
Fund portfolio compliance purposes, the Fund’s industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund
management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease. |
|
(1)
|
All
percentages shown in the Portfolio of Investments are based on net assets. |
|
(2)
|
Non-income
producing; issuer has not declared a dividend within the past twelve months. |
|
(3)
|
Investment,
or a portion of investment, is out on loan for securities lending. The total value of the securities out on loan as of the end of the reporting period was $3,512,818. |
|
(4)
|
A
copy of the most recent financial statements for the exchange-traded funds in which the Fund invests can be obtained directly from the Securities and Exchange Commission on its website at http://www.sec.gov. |
|
(5)
|
The
Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker dealers, banks, and other institutions. The Fund maintains collateral equal to at least 100% of
the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Securities
Lending for more information. |
|
(6)
|
The
rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
|
ETF
|
Exchange-Traded
Fund |
|
REIT
|
Real
Estate Investment Trust |
|
SPDR
|
Standard
& Poor's Depositary Receipt |
|
See accompanying notes to financial statements.
Statement of Assets and Liabilities
April 30, 2019
(Unaudited)
|
Large
Cap Select |
Small
Cap Select |
Assets
|
|
|
Long-term
investments, at value (cost $62,231,047 and $90,469,341, respectively) |
$68,998,699
|
$104,365,174
|
Investment
purchased with collateral from securities lending, at value (cost approximates value) |
—
|
3,615,795
|
Short-term
investments, at value (cost approximates value) |
—
|
1,189,346
|
Receivable
for: |
|
|
Dividends
|
48,084
|
28,024
|
Due
from broker |
5
|
2,249
|
Interest
|
440
|
1,905
|
Investments
sold |
3,424,105
|
2,659,272
|
Shares
sold |
36,531
|
151,569
|
Other
assets |
22,944
|
49,825
|
Total
assets |
72,530,808
|
112,063,159
|
Liabilities
|
|
|
Cash
overdraft |
1,196,523
|
—
|
Payable
for: |
|
|
Collateral
from securities lending program |
—
|
3,615,795
|
Investments
purchased |
2,161,522
|
1,672,984
|
Shares
redeemed |
611,414
|
125,029
|
Accrued
expenses: |
|
|
Directors
fees |
550
|
17,777
|
Management
fees |
38,773
|
47,747
|
12b-1
distribution and service fees |
7,067
|
15,631
|
Other
|
34,856
|
87,867
|
Total
liabilities |
4,050,705
|
5,582,830
|
Net
assets |
$68,480,103
|
$106,480,329
|
|
|
|
See accompanying notes to financial statements.
Statement of Assets and Liabilities (Unaudited) (continued)
|
Large
Cap Select |
Small
Cap Select |
Class
A Shares |
|
|
Net
assets |
$25,756,261
|
$
60,341,000 |
Shares
outstanding |
858,784
|
7,851,178
|
Net
asset value ("NAV") per share |
$
29.99 |
$
7.69 |
Offering
price per share (NAV per share plus maximum sales charge of 5.75% of offering price) |
$
31.82 |
$
8.16 |
Class
C Shares |
|
|
Net
assets |
$
2,322,951 |
$
1,274,880 |
Shares
outstanding |
83,783
|
303,937
|
NAV
and offering price per share |
$
27.73 |
$
4.19 |
Class
R3 Shares |
|
|
Net
assets |
$
— |
$
6,170,489 |
Shares
outstanding |
—
|
917,052
|
NAV
and offering price per share |
$
— |
$
6.73 |
Class
R6 Shares |
|
|
Net
assets |
$
— |
$
6,358,136 |
Shares
outstanding |
—
|
608,618
|
NAV
and offering price per share |
$
— |
$
10.45 |
Class
I Shares |
|
|
Net
assets |
$40,400,891
|
$
32,335,824 |
Shares
outstanding |
1,337,031
|
3,102,699
|
NAV
and offering price per share |
$
30.22 |
$
10.42 |
Fund
level net assets consist of: |
|
|
Capital
paid-in |
$63,753,902
|
$
95,465,185 |
Total
distributable earnings |
4,726,201
|
11,015,144
|
Fund
level net assets |
$68,480,103
|
$106,480,329
|
Authorized
shares - per class |
2
billion |
2
billion |
Par
value per share |
$
0.0001 |
$
0.0001 |
See accompanying notes to financial statements.
Statement of Operations
Six Months Ended April 30, 2019
(Unaudited)
|
Large
Cap Select |
Small
Cap Select |
Investment
Income |
|
|
Dividends
|
$
590,631 |
$
485,307 |
Interest
|
3,250
|
15,480
|
Securities
lending income |
1,654
|
53,054
|
Total
investment income |
595,535
|
553,841
|
Expenses
|
|
|
Management
fees |
243,245
|
439,889
|
12b-1
service fees - Class A Shares |
29,554
|
72,267
|
12b-1
distibution and service fees - Class C Shares |
10,951
|
6,323
|
12b-1
distibution and service fees - Class R3 Shares |
—
|
12,898
|
Shareholder
servicing agent fees |
23,388
|
84,651
|
Custodian
fees |
5,830
|
9,723
|
Professional
fees |
8,439
|
9,271
|
Trustees
fees |
1,059
|
1,590
|
Shareholder
reporting expenses |
11,112
|
4,716
|
Federal
and state registration fees |
30,471
|
41,422
|
Other
|
10,426
|
10,046
|
Total
expenses before fee waiver/expense reimbursement |
374,475
|
692,796
|
Fee
waiver/expense reimbursement |
(22,401)
|
(93,493)
|
Net
expenses |
352,074
|
599,303
|
Net
investment income (loss) |
243,461
|
(45,462)
|
Realized
and Unrealized Gain (Loss) |
|
|
Net
realized gain (loss) from investments |
(2,177,115)
|
(2,167,614)
|
Change
in net unrealized appreciation (depreciation) of investments |
7,131,009
|
8,514,398
|
Net
realized and unrealized gain (loss) |
4,953,894
|
6,346,784
|
Net
increase (decrease) in net assets from operations |
$
5,197,355 |
$
6,301,322 |
See accompanying notes to financial statements.
Statement of Changes in Net Assets
(Unaudited)
|
Large
Cap Select |
|
Small
Cap Select |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
|
Six
Months Ended 4/30/19 |
Year
Ended 10/31/18 |
Operations
|
|
|
|
|
|
Net
investment income (loss) |
$
243,461 |
$
393,830 |
|
$
(45,462) |
$
17,169 |
Net
realized gain (loss) from investments |
(2,177,115)
|
2,534,718
|
|
(2,167,614)
|
23,382,920
|
Change
in net unrealized appreciation (depreciation) of investments |
7,131,009
|
468,841
|
|
8,514,398
|
(17,991,909)
|
Net
increase (decrease) in net assets from operations |
5,197,355
|
3,397,389
|
|
6,301,322
|
5,408,180
|
Distributions
to Shareholders |
|
|
|
|
|
Dividends
|
|
|
|
|
|
Class
A Shares |
(894,092)
|
(77,536)
|
|
(11,801,893)
|
(7,904,269)
|
Class
C Shares |
(80,595)
|
—
|
|
(422,601)
|
(820,325)
|
Class
R3 Shares |
—
|
—
|
|
(1,142,174)
|
(706,127)
|
Class
R6 Shares |
—
|
—
|
|
(1,031,249)
|
—
|
Class
I Shares |
(1,910,496)
|
(329,524)
|
|
(5,461,767)
|
(4,631,487)
|
Decrease
in net assets from distributions to shareholders |
(2,885,183)
|
(407,060)
|
|
(19,859,684)
|
(14,062,208)
|
Fund
Share Transactions |
|
|
|
|
|
Proceeds
from sale of shares |
7,216,939
|
29,873,879
|
|
9,109,807
|
24,737,441
|
Proceeds
from shares issued to shareholders due to reinvestment of distributions |
2,490,169
|
323,123
|
|
19,068,666
|
13,429,298
|
|
9,707,108
|
30,197,002
|
|
28,178,473
|
38,166,739
|
Cost
of shares redeemed |
(17,282,841)
|
(21,209,894)
|
|
(19,721,494)
|
(44,779,473)
|
Net
increase (decrease) in net assets from Fund share transactions |
(7,575,733)
|
8,987,108
|
|
8,456,979
|
(6,612,734)
|
Net
increase (decrease) in net assets |
(5,263,561)
|
11,977,437
|
|
(5,101,383)
|
(15,266,762)
|
Net
assets at the beginning of period |
73,743,664
|
61,766,227
|
|
111,581,712
|
126,848,474
|
Net
assets at the end of period |
$
68,480,103 |
$
73,743,664 |
|
$106,480,329
|
$111,581,712
|
See accompanying notes to financial statements.
THIS PAGE INTENTIONALLY LEFT BLANK
Financial Highlights
(Unaudited)
Large Cap Select
Selected data for a share outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (01/03) |
|
|
|
|
|
|
|
|
|
2019(e)
|
$28.87
|
$
0.08 |
$2.13
|
$2.21
|
|
$(0.10)
|
$(0.99)
|
$(1.09)
|
$29.99
|
2018
|
27.50
|
0.12
|
1.38
|
1.50
|
|
(0.13)
|
—
|
(0.13)
|
28.87
|
2017
|
21.24
|
0.10
|
6.25
|
6.35
|
|
(0.09)
|
—
|
(0.09)
|
27.50
|
2016
|
20.59
|
0.09
|
0.61
|
0.70
|
|
(0.05)
|
—
|
(0.05)
|
21.24
|
2015
|
20.13
|
0.08
|
0.46
|
0.54
|
|
(0.08)
|
—
|
(0.08)
|
20.59
|
2014
|
17.65
|
0.05
|
2.48
|
2.53
|
|
(0.05)
|
—
|
(0.05)
|
20.13
|
Class
C (01/03) |
|
|
|
|
|
|
|
|
|
2019(e)
|
26.77
|
(0.02)
|
1.97
|
1.95
|
|
—
|
(0.99)
|
(0.99)
|
27.73
|
2018
|
25.57
|
(0.10)
|
1.30
|
1.20
|
|
—
|
—
|
—
|
26.77
|
2017
|
19.82
|
(0.08)
|
5.83
|
5.75
|
|
—
|
—
|
—
|
25.57
|
2016
|
19.31
|
(0.06)
|
0.57
|
0.51
|
|
—
|
—
|
—
|
19.82
|
2015
|
18.96
|
(0.07)
|
0.42
|
0.35
|
|
—
|
—
|
—
|
19.31
|
2014
|
16.70
|
(0.09)
|
2.35
|
2.26
|
|
—
|
—
|
—
|
18.96
|
Class
I (01/03) |
|
|
|
|
|
|
|
|
|
2019(e)
|
29.13
|
0.11
|
2.14
|
2.25
|
|
(0.17)
|
(0.99)
|
(1.16)
|
30.22
|
2018
|
27.74
|
0.19
|
1.40
|
1.59
|
|
(0.20)
|
—
|
(0.20)
|
29.13
|
2017
|
21.42
|
0.16
|
6.30
|
6.46
|
|
(0.14)
|
—
|
(0.14)
|
27.74
|
2016
|
20.76
|
0.14
|
0.62
|
0.76
|
|
(0.10)
|
—
|
(0.10)
|
21.42
|
2015
|
20.30
|
0.13
|
0.46
|
0.59
|
|
(0.13)
|
—
|
(0.13)
|
20.76
|
2014
|
17.79
|
0.09
|
2.51
|
2.60
|
|
(0.09)
|
—
|
(0.09)
|
20.30
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets Before Waiver/Reimbursement |
|
Ratios
to Average Net Assets After Waiver/Reimbursement(c) |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
|
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(d) |
|
|
|
|
|
|
|
|
8.26%
|
$25,756
|
1.21%*
|
0.49%*
|
|
1.15%*
|
0.56%*
|
55%
|
5.47
|
23,030
|
1.16
|
0.37
|
|
1.14
|
0.39
|
101
|
29.99
|
14,778
|
1.19
|
0.36
|
|
1.14
|
0.40
|
276
|
3.40
|
7,983
|
1.22
|
0.44
|
|
1.21
|
0.45
|
116
|
2.66
|
7,383
|
1.25
|
0.36
|
|
1.25
|
0.36
|
124
|
14.35
|
6,511
|
1.31
|
0.23
|
|
1.30
|
0.24
|
154
|
|
|
|
|
|
|
|
|
7.88
|
2,323
|
1.96*
|
(0.25)*
|
|
1.90*
|
(0.19)*
|
55
|
4.65
|
2,145
|
1.91
|
(0.39)
|
|
1.89
|
(0.37)
|
101
|
29.06
|
1,389
|
1.94
|
(0.39)
|
|
1.89
|
(0.34)
|
276
|
2.64
|
1,074
|
1.97
|
(0.32)
|
|
1.96
|
(0.31)
|
116
|
1.85
|
684
|
2.00
|
(0.38)
|
|
2.00
|
(0.38)
|
124
|
13.53
|
683
|
2.07
|
(0.53)
|
|
2.05
|
(0.51)
|
154
|
|
|
|
|
|
|
|
|
8.40
|
40,401
|
0.96*
|
0.76*
|
|
0.90*
|
0.82*
|
55
|
5.74
|
48,569
|
0.91
|
0.63
|
|
0.89
|
0.65
|
101
|
30.31
|
45,599
|
0.94
|
0.61
|
|
0.89
|
0.66
|
276
|
3.69
|
37,597
|
0.97
|
0.69
|
|
0.96
|
0.70
|
116
|
2.88
|
34,615
|
1.00
|
0.63
|
|
1.00
|
0.63
|
124
|
14.66
|
40,952
|
1.06
|
0.48
|
|
1.05
|
0.49
|
154
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
After fee
waiver and/or expense reimbursement from the Adviser, where applicable. See Note 7 – Management Fees and Other Transactions with Affiliates, Management Fees for more information. |
(d)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e)
|
For the
six months ended April 30, 2019. |
*
|
Annualized.
|
See
accompanying notes to financial statements.
Financial Highlights (Unaudited) (continued)
Small Cap Select
Selected data for a
share outstanding throughout each period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
Operations |
|
Less
Distributions |
|
Class
(Commencement Date) Year Ended October 31, |
Beginning
NAV |
Net
Investment Income (Loss)(a) |
Net
Realized/ Unrealized Gain (Loss) |
Total
|
|
From
Net Investment Income |
From
Accumulated Net Realized Gains |
Total
|
Ending
NAV |
Class
A (05/92) |
|
|
|
|
|
|
|
|
|
2019(e)
|
$
9.26 |
$(0.01)
|
$0.27
|
$0.26
|
|
$
— |
$(1.83)
|
$(1.83)
|
$
7.69 |
2018
|
10.13
|
(0.01)
|
0.35
|
0.34
|
|
—
|
(1.21)
|
(1.21)
|
9.26
|
2017
|
9.21
|
(0.02)
|
1.97
|
1.95
|
|
(0.01)
|
(1.02)
|
(1.03)
|
10.13
|
2016
|
11.01
|
0.01
|
0.30
|
0.31
|
|
—
|
(2.11)
|
(2.11)
|
9.21
|
2015
|
14.48
|
(0.02)
|
0.37
|
0.35
|
|
—
|
(3.82)
|
(3.82)
|
11.01
|
2014
|
15.02
|
(0.05)
|
0.87
|
0.82
|
|
(0.02)
|
(1.34)
|
(1.36)
|
14.48
|
Class
C (09/01) |
|
|
|
|
|
|
|
|
|
2019(e)
|
6.00
|
(0.02)
|
0.04
|
0.02
|
|
—
|
(1.83)
|
(1.83)
|
4.19
|
2018
|
7.02
|
(0.05)
|
0.24
|
0.19
|
|
—
|
(1.21)
|
(1.21)
|
6.00
|
2017
|
6.70
|
(0.06)
|
1.40
|
1.34
|
|
—
|
(1.02)
|
(1.02)
|
7.02
|
2016
|
8.64
|
(0.04)
|
0.21
|
0.17
|
|
—
|
(2.11)
|
(2.11)
|
6.70
|
2015
|
12.28
|
(0.08)
|
0.26
|
0.18
|
|
—
|
(3.82)
|
(3.82)
|
8.64
|
2014
|
13.00
|
(0.14)
|
0.76
|
0.62
|
|
—
|
(1.34)
|
(1.34)
|
12.28
|
Class
R3 (01/94) |
|
|
|
|
|
|
|
|
|
2019(e)
|
8.37
|
(0.01)
|
0.20
|
0.19
|
|
—
|
(1.83)
|
(1.83)
|
6.73
|
2018
|
9.28
|
(0.03)
|
0.33
|
0.30
|
|
—
|
(1.21)
|
(1.21)
|
8.37
|
2017
|
8.53
|
(0.04)
|
1.81
|
1.77
|
|
—
|
(1.02)
|
(1.02)
|
9.28
|
2016
|
10.38
|
(0.01)
|
0.27
|
0.26
|
|
—
|
(2.11)
|
(2.11)
|
8.53
|
2015
|
13.91
|
(0.04)
|
0.33
|
0.29
|
|
—
|
(3.82)
|
(3.82)
|
10.38
|
2014
|
14.49
|
(0.08)
|
0.84
|
0.76
|
|
—
|
(1.34)
|
(1.34)
|
13.91
|
Class
R6 (02/18) |
|
|
|
|
|
|
|
|
|
2019(e)
|
11.87
|
0.01
|
0.43
|
0.44
|
|
(0.03)
|
(1.83)
|
(1.86)
|
10.45
|
2018(f)
|
11.82
|
0.02
|
0.03
|
0.05
|
|
—
|
—
|
—
|
11.87
|
Class
I (05/92) |
|
|
|
|
|
|
|
|
|
2019(e)
|
11.85
|
—** |
0.43
|
0.43
|
|
(0.03)
|
(1.83)
|
(1.86)
|
10.42
|
2018
|
12.60
|
0.03
|
0.43
|
0.46
|
|
—
|
(1.21)
|
(1.21)
|
11.85
|
2017
|
11.24
|
0.01
|
2.40
|
2.41
|
|
(0.03)
|
(1.02)
|
(1.05)
|
12.60
|
2016
|
12.93
|
0.04
|
0.38
|
0.42
|
|
—
|
(2.11)
|
(2.11)
|
11.24
|
2015
|
16.30
|
0.02
|
0.43
|
0.45
|
|
—
|
(3.82)
|
(3.82)
|
12.93
|
2014
|
16.73
|
(0.02)
|
0.99
|
0.97
|
|
(0.06)
|
(1.34)
|
(1.40)
|
16.30
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data |
|
|
Ratios
to Average Net Assets Before Waiver/Reimbursement |
|
Ratios
to Average Net Assets After Waiver/Reimbursement(c) |
|
Total
Return(b) |
Ending
Net Assets (000) |
Expenses
|
Net
Investment Income (Loss) |
|
Expenses
|
Net
Investment Income (Loss) |
Portfolio
Turnover Rate(d) |
|
|
|
|
|
|
|
|
6.54%
|
$
60,341 |
1.42%*
|
(0.35)%*
|
|
1.24%*
|
(0.18)%*
|
30%
|
3.48
|
60,930
|
1.43
|
(0.24)
|
|
1.24
|
(0.06)
|
95
|
21.76
|
67,405
|
1.41
|
(0.24)
|
|
1.33
|
(0.16)
|
66
|
4.05
|
67,428
|
1.44
|
0.10
|
|
1.44
|
0.10
|
66
|
4.08
|
82,080
|
1.42
|
(0.14)
|
|
1.42
|
(0.14)
|
75
|
5.98
|
100,733
|
1.43
|
(0.37)
|
|
1.43
|
(0.37)
|
90
|
|
|
|
|
|
|
|
|
6.09
|
1,275
|
2.17*
|
(1.09)*
|
|
1.99*
|
(0.90)*
|
30
|
2.78
|
1,436
|
2.18
|
(1.00)
|
|
1.99
|
(0.81)
|
95
|
20.75
|
4,913
|
2.16
|
(0.99)
|
|
2.09
|
(0.91)
|
66
|
3.37
|
5,625
|
2.19
|
(0.65)
|
|
2.19
|
(0.65)
|
66
|
3.19
|
8,036
|
2.17
|
(0.88)
|
|
2.17
|
(0.88)
|
75
|
5.28
|
8,976
|
2.19
|
(1.12)
|
|
2.19
|
(1.12)
|
90
|
|
|
|
|
|
|
|
|
6.49
|
6,170
|
1.67*
|
(0.62)*
|
|
1.49*
|
(0.44)*
|
30
|
3.34
|
5,264
|
1.68
|
(0.50)
|
|
1.49
|
(0.31)
|
95
|
21.40
|
5,381
|
1.66
|
(0.49)
|
|
1.59
|
(0.41)
|
66
|
3.76
|
5,310
|
1.69
|
(0.12)
|
|
1.69
|
(0.12)
|
66
|
3.75
|
7,794
|
1.67
|
(0.38)
|
|
1.67
|
(0.38)
|
75
|
5.75
|
11,570
|
1.68
|
(0.61)
|
|
1.68
|
(0.61)
|
90
|
|
|
|
|
|
|
|
|
6.71
|
6,358
|
1.03*
|
0.02*
|
|
0.85*
|
0.20*
|
30
|
0.42
|
6,532
|
1.03*
|
0.06*
|
|
0.85*
|
0.24*
|
95
|
|
|
|
|
|
|
|
|
6.72
|
32,336
|
1.17*
|
(0.09)*
|
|
0.99*
|
0.09*
|
30
|
3.77
|
37,420
|
1.18
|
0.02
|
|
0.99
|
0.21
|
95
|
22.03
|
49,150
|
1.16
|
0.01
|
|
1.08
|
0.09
|
66
|
4.33
|
45,574
|
1.19
|
0.36
|
|
1.19
|
0.36
|
66
|
4.29
|
96,071
|
1.17
|
0.11
|
|
1.17
|
0.11
|
75
|
6.23
|
156,292
|
1.18
|
(0.11)
|
|
1.18
|
(0.11)
|
90
|
(a)
|
Per share Net
Investment Income (Loss) is calculated using the average daily shares method. |
(b)
|
Total
return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c)
|
After fee
waiver and/or expense reimbursement from the Adviser, where applicable. See Note 7 – Management Fees and Other Transactions with Affiliates, Management Fees for more information. |
(d)
|
Portfolio
Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e)
|
For the
six months ended April 30, 2019. |
(f)
|
For the
period February 28, 2018 (commencement of operations) through October 31, 2018. |
*
|
Annualized.
|
**
|
Rounds to
less than $.01 per share. |
See accompanying notes to financial statements.
Notes to Financial Statements
(Unaudited)
1. General Information and Significant Accounting
Policies
General Information
Trust and Fund Information
Nuveen Investment Funds, Inc. (the “Trust”), is an
open-end management investment company registered under the Investment Company Act of 1940, as amended. The Trust is comprised of Nuveen Large Cap Select Fund (“Large Cap Select”) and Nuveen Small Cap Select Fund (“Small Cap
Select”), (each a “Fund” and collectively, the “Funds”), as diversified funds, among others. The Trust was incorporated in the State of Maryland on August 20, 1987.
The end of the reporting period for the Funds is April 30,
2019, and the period covered by these Notes to Financial Statements is the six months ended April 30, 2019 (the “current fiscal period”).
Investment Adviser
The Funds' investment adviser is Nuveen Fund Advisors, LLC (the
“Adviser”), a subsidiary of Nuveen, LLC (“Nuveen”). Nuveen is the investment management arm of Teachers Insurance and Annuity Association of America (TIAA). The Adviser has overall responsibility for management of the Funds,
oversees the management of the Funds' portfolios, manages the Funds' business affairs and provides certain clerical, bookkeeping and other administrative services, and, if necessary, asset allocation decisions. The Adviser has entered into
sub-advisory agreements with Nuveen Asset Management, LLC, (the “Sub-Adviser”), a subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds.
Investment Objectives
The investment objective of Large Cap Select and Small Cap
Select is capital appreciation.
The Funds’ most
recent prospectus provides further descriptions of each Fund’s investment objective, principal investment strategies and principal risks.
Significant Accounting Policies
Each Fund is an investment company and follows accounting and
reporting guidance under Financial Accounting Standards Board ("FASB") Accounting Standards Codification (ASC) Topic 946 "Financial Services-Investment Companies." The following is a summary of significant accounting policies followed by the Funds
in the preparation of their financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).
Investment Transactions
Investment transactions are recorded on a trade date basis.
Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have
extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have earmarked securities in their portfolios with a current value at least equal to the amount of the when-issued/delayed
delivery purchase commitments.
As of the end of the
reporting period, the Funds did not have any outstanding when-issued/delayed delivery purchase commitments.
Investment Income
Dividend income is recorded on the ex-dividend date or, for
foreign securities, when information is available. Non-cash dividends received in the form of stock, if any, are recognized on the ex-dividend date and recorded at fair value. Interest income is recorded on an accrual basis. Securities lending
income is comprised of fees earned from borrowers and income earned on cash collateral investments.
Professional Fees
Professional fees presented on the Statement of Operations
consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment or to pursue other
claims or legal actions on behalf of Fund shareholders. If a refund is received for workout expenditures paid in a prior reporting period, such amounts will be recognized as “Legal fee refund” on the Statement of Operations.
Dividends and Distributions to Shareholders
Dividends from net investment income, if any, are declared and
distributed to shareholders annually. Net realized capital gains from investment transactions, if any, are declared and distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed
available capital loss carryforwards.
Distributions to
shareholders are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP.
Share Classes and Sales Charges
Class A Shares are generally sold with an up-front sales charge
and incur a 0.25% annual 12b-1 service fee. Class A Share purchases of $1 million or more are sold at net asset value (“NAV”) without an up-front sales charge but may be subject to a contingent deferred sales charge (“CDSC”)
of 1% if redeemed within eighteen months of purchase. Class C Shares are sold without an up-front sales charge but incur a 0.75% annual 12b-1 distribution fee and a 0.25% annual 12b-1 service fee. Class C Shares are subject to a CDSC of 1% if
redeemed within twelve months of purchase. Class C Shares automatically convert to Class A Shares ten years after purchase. Class R3 Shares are sold without an up-front sales charge but incur a 0.25% annual 12b-1 distribution fee and a 0.25% annual
12b-1 service fee. Class R6 Shares and Class I Shares are not subject to any sales charge or 12b-1 distribution or service fees.
Multiclass Operations and Allocations
Income and expenses of the Funds that are not directly
attributable to a specific class of shares are prorated among the classes based on the relative net assets of each class. Expenses directly attributable to a class of shares are recorded to the specific class. Currently, the only expenses that are
allocated on a class-specific basis are 12b-1 distribution and service fees.
Sub-transfer agent fees and similar fees, which are recognized
as a component of "Shareholder servicing agent fees" on the Statement of Operations, are not charged to Class R6 Shares and are prorated among the other classes based on their relative net assets.
Realized and unrealized capital gains and losses of the Funds
are prorated among the classes based on the relative net assets of each class.
Compensation
The Trust pays no compensation directly to those of its
trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Trust from the Adviser or its affiliates. The Funds' Board of Trustees (the "Board") has adopted a deferred compensation plan
for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though equal
dollar amounts had been invested in shares of select Nuveen-advised funds.
Indemnifications
Under the Trust’s organizational documents, its officers
and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, in the normal course of business, the Trust enters into contracts that provide general indemnifications to other
parties. The Trust's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred. However, the Trust has not had prior claims or losses pursuant to these
contracts and expects the risk of loss to be remote.
Netting Agreements
In the ordinary course of business, the Funds may enter into
transactions subject to enforceable International Swaps and Derivatives Association, Inc. (ISDA) master agreements or other similar arrangements (“netting agreements”). Generally, the right to offset in netting agreements allows each
Fund to offset certain securities and derivatives with a specific counterparty, when applicable, as well as any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, each Fund manages its cash
collateral and securities collateral on a counterparty basis.
The Funds' investments subject to netting agreements as of the
end of the reporting period, if any, are further described in Note 3 - Portfolio Securities and Investments in Derivatives.
Use of Estimates
The preparation of financial statements in conformity with U.S.
GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during
the current fiscal period. Actual results may differ from those estimates.
2. Investment Valuation and Fair Value
Measurements
The fair valuation input levels as described
below are for fair value measurement purposes.
Fair value
is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for 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. Observable inputs
Notes to Financial Statements (Unaudited) (continued)
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. The following is a summary of the three-tiered hierarchy of valuation input levels.
Level 1
– Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
Level 2
– Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, credit spreads, etc.).
Level 3
– Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
Common stocks and other equity-type securities are valued at
the last sales price on the securities exchange on which such securities are primarily traded and are generally classified as Level 1. Securities primarily traded on the Nasdaq National Market ("Nasdaq") are valued at the Nasdaq Official Closing
Price and are generally classified as Level 1. However, securities traded on a securities exchange or Nasdaq for which there were no transactions on a given day or securities not listed on a securities exchange or Nasdaq are valued at the quoted bid
price and are generally classified as Level 2. Prices of certain American Depositary Receipts (“ADR”) held by the Funds that trade in the United States are valued based on the last traded price, official closing price, or the most recent
bid price of the underlying non-U.S.-traded stock, adjusted as appropriate for the underlying-to-ADR conversion ratio and foreign exchange rate, and from time-to-time may also be adjusted further to take into account material events that may take
place after the close of the local non-U.S. market but before the close of the New York Stock Exchange, which may represent a transfer from a Level 1 to a Level 2 security.
Exchange-traded funds are valued at the last sales price on the
securities exchange on which such securities are primarily traded and are generally classified as Level 1.
Investments in investment companies are valued at their
respective NAVs on the valuation date and are generally classified as Level 1.
Certain securities may not be able to be priced by the
pre-established pricing methods as described above. Such securities may be valued by the Board and/or its appointee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be
publicly sold without registration under the Securities Act of 1933, as amended) for which an independent pricing service ("pricing service") is unable to provide a market price; securities whose trading has been formally suspended; debt securities
that have gone into default and for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially
affect the value of the security after the market has closed but before the calculation of a Fund’s NAV (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable
market quotation; and a security whose price, as provided by the pricing service, is not deemed to reflect the security’s fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might
reasonably expect to receive for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality,
type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s
credit characteristics considered relevant. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs. Regardless of the method employed to value a particular security, all valuations
are subject to review by the Board and/or its appointee.
The inputs or methodologies used for valuing securities are not
an indication of the risks associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:
Large
Cap Select |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$68,998,699
|
$ —
|
$ —
|
$68,998,699
|
Small
Cap Select |
Level
1 |
Level
2 |
Level
3 |
Total
|
Long-Term
Investments*: |
|
|
|
|
Common
Stocks |
$103,334,254
|
$ —
|
$ —
|
$103,334,254
|
Exchange-Traded
Funds |
1,030,920
|
—
|
—
|
1,030,920
|
Investments
Purchased with Collateral from Securities Lending |
3,615,795
|
—
|
—
|
3,615,795
|
Short-Term
Investments: |
|
|
|
|
Money
Market Funds |
1,189,346
|
—
|
—
|
1,189,346
|
Total
|
$109,170,315
|
$ —
|
$ —
|
$109,170,315
|
*
|
Refer
to the Fund's Portfolio of Investments for industry classifications. |
3. Portfolio Securities and Investments in Derivatives
Portfolio Securities
Securities Lending
In order to generate additional income, the Funds may lend
securities representing up to one-third of the value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks or other institutions. When loaning securities, each Fund retains the benefits of owning the
securities, including the economic equivalent of dividends or interest generated by the security. The Funds also have the ability to recall the securities on loan at any time.
Each Fund’s policy is to receive, at the inception of a
loan, cash collateral equal to at least 102% of the value of securities loaned, which is recognized as “Payable for collateral from securities lending program” on the Statement of Assets and Liabilities. Collateral for securities on loan
is invested in a money market fund, which is recognized as “Investments purchased with collateral from securities lending, at value” on the Statement of Assets and Liabilities. The market value of the securities loaned is determined at
the close of each business day in order to determine the adequacy of the collateral. If the value of the securities on loan increases such that the level of collateralization falls below 100%, additional collateral is received from the borrower on
the next business day, which is recognized as “Due from broker” on the Statement of Assets and Liabilities.
Securities out on loan are subject to termination at any time
at the option of the borrower or the Fund. Upon termination, the borrower is required to return to the Fund securities identical to the securities loaned. Generally, in the event the borrower defaults on its obligation to return the loaned
securities, the Fund has the right to use the collateral to acquire identical securities. In the event the Fund is delayed or prevented from exercising its right to dispose of the collateral, there may be a loss to the Fund. Under the Funds’
securities lending agreement, however, the securities lending agent has indemnified the Fund against losses resulting from borrower default, except to the extent that those losses result from a decrease in the value of the collateral due to its
investment by the Funds. The Funds bear the risk of loss with respect to the investment of collateral.
The Funds’ custodian, U.S. Bank National Association,
serves as their securities lending agent. Income earned from the securities lending program is paid to the Funds. Income from securities lending, is recognized as “Securities lending income” on the Statement of Operations.
The following table presents the securities out on loan for the
following Fund, and the collateral delivered related to those securities, as of the end of the reporting period.
Fund
|
Asset
Class out on Loan |
Long-Term
Investments, at Value |
Collateral
Pledged (From) Counterparty* |
Net
Exposure |
Small
Cap Select |
|
|
|
|
|
Common
Stocks |
$2,493,145
|
$(2,493,145)
|
$ —
|
|
Exchange-Traded
Funds |
1,019,673
|
(1,019,673)
|
—
|
Total
|
|
$3,512,818
|
$(3,512,818)
|
$ —
|
* As of the end of the reporting
period, the value of the collateral pledged from the counterparty exceeded the value of the securities out on loan. Refer to the Fund’s Portfolio of Investments for details on the securities out on loan.
Investments in Derivatives
Each Fund is authorized to invest in certain derivative
instruments. The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds’ investments in derivatives may represent economic hedges, they
are not considered to be hedge transactions for financial reporting purposes.
Although the Funds are authorized to invest in derivative
instruments, and may do so in the future, they did not make any such investments during the current fiscal period.
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in
financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss
could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap
transactions, when applicable. The extent of each Fund’s exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities.
Each Fund helps manage counterparty credit risk by entering
into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to
pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an
unrealized loss, the Funds have instructed the
Notes to Financial Statements (Unaudited) (continued)
custodian to pledge assets of the Funds as collateral with a value
approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold
amount.
4. Fund Shares
Transactions in Fund shares during the current and prior fiscal
period were as follows:
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Large
Cap Select |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
155,664
|
$
4,283,867 |
|
490,873
|
$
14,638,432 |
Class
A – automatic conversion of Class C Shares |
404
|
11,442
|
|
3,810
|
113,047
|
Class
C |
19,117
|
487,054
|
|
44,357
|
1,217,285
|
Class
I |
89,636
|
2,434,576
|
|
458,551
|
13,905,115
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
32,369
|
835,988
|
|
2,430
|
70,008
|
Class
C |
3,149
|
75,284
|
|
—
|
—
|
Class
I |
60,672
|
1,578,897
|
|
8,728
|
253,115
|
|
361,011
|
9,707,108
|
|
1,008,749
|
30,197,002
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(127,291)
|
(3,552,595)
|
|
(236,809)
|
(7,146,287)
|
Class
C |
(18,164)
|
(473,774)
|
|
(14,469)
|
(406,612)
|
Class
C – automatic conversion to Class A Shares |
(436)
|
(11,442)
|
|
(4,099)
|
(113,047)
|
Class
I |
(480,588)
|
(13,245,030)
|
|
(443,753)
|
(13,543,948)
|
|
(626,479)
|
(17,282,841)
|
|
(699,130)
|
(21,209,894)
|
Net
increase (decrease) |
(265,468)
|
$
(7,575,733) |
|
309,619
|
$
8,987,108 |
|
Six
Months Ended 4/30/19 |
|
Year
Ended 10/31/18 |
Small
Cap Select |
Shares
|
Amount
|
|
Shares
|
Amount
|
Shares
sold: |
|
|
|
|
|
Class
A |
375,659
|
$
2,706,182 |
|
730,822
|
$
7,286,992 |
Class
A – automatic conversion of Class C Shares |
769
|
6,341
|
|
13,328
|
135,169
|
Class
C |
27,435
|
114,947
|
|
102,695
|
653,752
|
Class
R3 |
198,493
|
1,295,814
|
|
136,209
|
1,201,053
|
Class
R6(1) |
3,713
|
38,346
|
|
672,638
|
7,950,581
|
Class
I |
501,246
|
4,948,177
|
|
587,441
|
7,509,894
|
Shares
issued to shareholders due to reinvestment of distributions: |
|
|
|
|
|
Class
A |
1,813,633
|
11,697,567
|
|
853,337
|
7,825,098
|
Class
C |
119,270
|
421,025
|
|
136,617
|
816,971
|
Class
R3 |
201,838
|
1,140,383
|
|
84,805
|
704,732
|
Class
R6(1) |
117,392
|
1,031,249
|
|
—
|
—
|
Class
I |
545,178
|
4,778,442
|
|
348,633
|
4,082,497
|
|
3,904,626
|
28,178,473
|
|
3,666,525
|
38,166,739
|
Shares
redeemed: |
|
|
|
|
|
Class
A |
(918,730)
|
(6,814,366)
|
|
(1,674,637)
|
(16,498,345)
|
Class
C |
(80,874)
|
(325,823)
|
|
(679,246)
|
(4,428,929)
|
Class
C – automatic conversion to Class A Shares |
(1,280)
|
(6,341)
|
|
(20,540)
|
(135,169)
|
Class
R3 |
(112,283)
|
(730,911)
|
|
(171,553)
|
(1,526,690)
|
Class
R6(1) |
(62,990)
|
(650,056)
|
|
(122,135)
|
(1,595,000)
|
Class
I |
(1,101,507)
|
(11,193,997)
|
|
(1,006,854)
|
(12,644,759)
|
Class
I – exchanges |
—
|
—
|
|
(672,638)
|
(7,950,581)
|
|
(2,277,664)
|
(19,721,494)
|
|
(4,347,603)
|
(44,779,473)
|
Net
increase (decrease) |
1,626,962
|
$
8,456,979 |
|
(681,078)
|
$
(6,612,734) |
(1)
|
Class R6
Shares were established on February 28, 2018. |
5. Investment Transactions
Long-term purchases and sales (excluding investments purchased
with collateral from securities lending, where applicable) during the current fiscal period were as follows:
|
Large
Cap Select |
Small
Cap Select |
Purchases
|
$38,359,599
|
$31,410,239
|
Sales
|
47,030,873
|
43,349,970
|
6. Income Tax
Information
Each Fund is a separate taxpayer for federal
income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to
regulated investment companies. Therefore, no federal income tax provision is required.
For all open tax years and all major taxing jurisdictions,
management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally the
last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly
change in the next twelve months.
The following
information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing certain gains and losses on investment transactions. To the
extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts as detailed below. Temporary differences do not require reclassification. Temporary and permanent differences do not impact the
NAVs of the Funds.
The table below presents the cost and
unrealized appreciation (depreciation) of each Fund's investment portfolio, as determined on a federal income tax basis, as of April 30, 2019.
|
Large
Cap Select |
Small
Cap Select |
Tax
cost of investments |
$62,263,881
|
$95,891,771
|
Gross
unrealized: |
|
|
Appreciation
|
$
8,767,623 |
$16,866,210
|
Depreciation
|
(2,032,805)
|
(3,587,666)
|
Net
unrealized appreciation (depreciation) of investments |
$
6,734,818 |
$13,278,544
|
Permanent differences, primarily
due to federal taxes paid and tax equalization, resulted in reclassifications among the Funds' components of net assets as of October 31, 2018, the Funds' last tax year end.
The tax components of undistributed net ordinary income and net
long-term capital gains as of October 31, 2018, the Funds' last tax year end, were as follows:
|
Large
Cap Select |
Small
Cap Select |
Undistributed
net ordinary income1 |
$2,678,168
|
$
5,551,437 |
Undistributed
net long-term capital gains |
132,037
|
14,276,794
|
1 |
Net ordinary
income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any. |
The tax character of distributions paid during the
Funds’ last tax year ended October 31, 2018 was designated for purposes of the dividends paid deduction as follows:
|
Large
Cap Select |
Small
Cap Select |
Distributions
from net ordinary income1 |
$407,060
|
$6,542,236
|
Distributions
from net long-term capital gains |
—
|
7,519,972
|
1 |
Net
ordinary income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any. |
7. Management Fees and Other Transactions with
Affiliates
Management Fees
Each Fund’s management fee compensates the Adviser for
the overall investment advisory and administrative services and general office facilities. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
Notes to Financial Statements (Unaudited) (continued)
Each Fund’s management fee consists of two components
– a fund-level fee, based only on the amount of assets within each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables each
Fund’s shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
The annual fund-level fee, payable monthly, for each Fund is
calculated according to the following schedule:
Average
Daily Net Assets |
Large
Cap Select |
Small
Cap Select |
For
the first $125 million |
0.5000%
|
0.6500%
|
For
the next $125 million |
0.4875
|
0.6375
|
For
the next $250 million |
0.4750
|
0.6250
|
For
the next $500 million |
0.4625
|
0.6125
|
For
the next $1 billion |
0.4500
|
0.6000
|
For
the next $3 billion |
0.4250
|
0.5750
|
For
the next $2.5 billion |
0.4000
|
0.5500
|
For
the next $2.5 billion |
0.3875
|
0.5375
|
For
net assets over $10 billion |
0.3750
|
0.5250
|
The annual complex-level fee,
payable monthly, for each Fund is determined by taking the complex-level fee rate, which is based on the aggregate amount of "eligible assets" of all Nuveen funds as set forth in the schedule below, and making, as appropriate, an upward adjustment
to that rate based upon the percentage of the particular fund's assets that are not "eligible assets". The complex-level fee schedule for each Fund is as follows:
Complex-Level
Eligible Asset Breakpoint Level* |
Effective
Complex-Level Fee Rate at Breakpoint Level |
$55
billion |
0.2000%
|
$56
billion |
0.1996
|
$57
billion |
0.1989
|
$60
billion |
0.1961
|
$63
billion |
0.1931
|
$66
billion |
0.1900
|
$71
billion |
0.1851
|
$76
billion |
0.1806
|
$80
billion |
0.1773
|
$91
billion |
0.1691
|
$125
billion |
0.1599
|
$200
billion |
0.1505
|
$250
billion |
0.1469
|
$300
billion |
0.1445
|
*
The complex-level fee is calculated based upon the aggregate daily “eligible assets” of all Nuveen open-end and closed-end funds. Eligible assets do not include assets attributable to investments in other Nuveen
funds or assets in excess of a determined amount (originally $2 billion) added to the Nuveen fund complex in connection with the Adviser’s assumption of the management of the former First American Funds effective January 1, 2011. Eligible
assets include closed-end fund assets managed by the Adviser that are attributable to certain types of leverage. For these purposes, leverage includes the closed-end funds’ use of preferred stock and borrowings and certain investments in the
residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust’s issuance of floating rate
securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining eligible assets in certain circumstances. As of April 30, 2019, the complex-level fee rate for each Fund was 0.2000%.
The Adviser has agreed to waive fees and/or reimburse expenses
(“Expense Cap”) of each Fund so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio
securities and extraordinary expenses) do not exceed the average daily net assets of any class of Fund shares in the amounts and for the time period stated in the following table. However, because Class R6 Shares are not subject to sub-transfer
agent and similar fees, the total annual fund operating expenses for the Class R6 Shares will not be less than the expense limitation. The expense limitation in effect thereafter may be terminated or modified only with the approval of the
Board.
Fund
|
Expense
Cap |
Expense
Cap Expiration Date |
Large
Cap Select |
0.89%
|
July
31, 2020 |
Small
Cap Select |
0.99
|
July
31, 2020 |
Other Transactions with
Affiliates
During the current fiscal period, Nuveen
Securities, LLC, (the “Distributor”), a wholly-owned subsidiary of Nuveen, collected sales charges on purchases of Class A Shares, the majority of which were paid out as concessions to financial intermediaries as follows:
|
Large
Cap Select |
Small
Cap Select |
Sales
charges collected |
$6,058
|
$11,626
|
Paid
to financial intermediaries |
5,450
|
10,330
|
The Distributor also received 12b-1
service fees on Class A Shares, substantially all of which were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
During the current fiscal period, the Distributor compensated
financial intermediaries directly with commission advances at the time of purchase as follows:
|
Large
Cap Select |
Small
Cap Select |
Commission
advances |
$4,771
|
$1,158
|
To compensate for commissions
advanced to financial intermediaries, all 12b-1 service and distribution fees collected on Class C Shares during the first year following a purchase are retained by the Distributor. During the current fiscal period, the Distributor retained such
12b-1 fees as follows:
|
Large
Cap Select |
Small
Cap Select |
12b-1
fees retained |
$4,013
|
$920
|
The remaining 12b-1 fees charged to
each Fund were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
The Distributor also collected and retained CDSC on share
redemptions during the current fiscal period, as follows:
|
Large
Cap Select |
Small
Cap Select |
CDSC
retained |
$ —
|
$397
|
8. Borrowing
Arrangements
Committed Line of Credit
The Funds, along with certain other funds managed by the
Adviser (“Participating Funds”), have established a 364-day, approximately $2.65 billion standby credit facility with a group of lenders, under which the Participating Funds may borrow for various purposes other than leveraging for
investment purposes. Each Participating Fund is allocated a designated proportion of the facility’s capacity (and its associated costs, as described below) based upon a multi-factor assessment of the likelihood and frequency of its need to
draw on the facility, the size of the Fund and its anticipated draws, and the potential importance of such draws to the operations and well-being of the Fund, relative to those of the other Funds. A Fund may effect draws on the facility in excess of
its designated capacity if and to the extent that other Participating Funds have undrawn capacity. The credit facility expires in July 2019 unless extended or renewed.
The credit facility has the following terms: a fee of 0.15% per
annum on unused commitment amounts, and interest at a rate equal to the higher of (a) one-month LIBOR (London Inter-Bank Offered Rate) plus 1.00% per annum or (b) the Fed Funds rate plus 1.00% per annum on amounts borrowed. Participating Funds paid
administration, legal and arrangement fees, which are recognized as a component of “Other expenses” on the Statement of Operations, and along with commitment fees, have been allocated among such Participating Funds based upon the
relative proportions of the facility’s aggregate capacity reserved for them and other factors deemed relevant by the Adviser and the Board of each Participating Fund.
During the current fiscal period, none of the Funds utilized
this facility.
Notes to Financial Statements (Unaudited) (continued)
9. New Accounting Pronouncements
Fair Value Measurement: Disclosure Framework
During August 2018, the FASB issued ASU 2018-13 (“ASU
2018-13”), Fair Value Measurement: Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurements. ASU 2018-13 modifies the disclosures required by Topic 820, Fair Value Measurements. The amendments
in ASU 2018-13 are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. During the current reporting period, management early implemented this guidance. This implementation
did not have a material impact on the Fund’s financial statements.
Additional Fund Information
Fund Manager
Nuveen Fund Advisors, LLC
333 West Wacker Drive
Chicago, IL 60606
Sub-Adviser
Nuveen Asset Management, LLC
333 West Wacker Drive
Chicago, IL 60606
Independent Registered
Public Accounting Firm
PricewaterhouseCoopers LLP
One North Wacker Drive
Chicago, IL 60606
Custodian
U.S. Bank National Association
1555 North RiverCenter Drive
Suite 302
Milwaukee, WI 53212
Legal Counsel
Chapman and Cutler LLP
Chicago, IL 60603
Transfer Agent and
Shareholder Services
DST Asset Manager
Solutions, Inc. (DST)
P.O. Box 219140
Kansas City, MO 64121-9140
(800) 257-8787
Long-Term Capital Gain Distributions: The following Fund hereby designates as long-term capital gain dividends, pursuant to Internal Revenue Code Section 852(b)(3), the amount shown in the accompanying table or, if greater, the amount necessary to reduce
earnings and profits of the Fund related to net capital gain to zero for the tax year ended October 31, 2018:
Portfolio of Investments Information: Each Fund is required to file its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year as an exhibit to its report on Form N-PORT.
You may obtain this information on the SEC's website at http://www.sec.gov.
Nuveen Funds’ Proxy Voting Information: You may obtain (i) information regarding how each Fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request by calling Nuveen
toll-free at (800) 257-8787 or Nuveen's website at www.nuveen.com and (ii) a description of the policies and procedures that each Fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling
Nuveen toll-free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov.
FINRA BrokerCheck:
The Financial Industry Regulatory Authority (FINRA) provides information regarding the disciplinary history of FINRA member firms and associated investment professionals. This information as well as an investor brochure describing FINRA BrokerCheck
is available to the public by calling the FINRA BrokerCheck Hotline number at (800) 289-9999 or by visiting www.FINRA.org.
Glossary of Terms Used in this Report
Average
Annual Total Return: This is a commonly used method to express an investment’s performance over a particular, usually multi-year time period. It expresses the return that would have been necessary each year to
equal the investment’s actual cumulative performance (including change in NAV or offer price and reinvested distributions and capital gains, if any) over the time period being considered.
Lipper Large-Cap Core Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Large-Cap Core Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of
distributions but do not reflect any applicable sales charges.
Lipper Small-Cap Core Funds Classification Average: Represents the average annualized total return for all reporting funds in the Lipper Small-Cap Core Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of
distributions but do not reflect any applicable sales charges.
Market Capitalization: The
market capitalization of a company is equal to the number of the company’s common shares outstanding multiplied by the current price of the company’s stock.
Russell 2000® Index: An index that measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000
Index is a subset of the Russell 3000® Index representing approximately 10% of the total market capitalization of that index. It includes
approximately 2,000 of the smallest securities based on a combination of their market cap and current index membership. The Russell 3000® Index
measures the performance of the 3,000 largest companies based on total market capitalization, which represents approximately 98% of the investable U.S. equity market. The index returns assume reinvestment of distributions, but do not reflect any
applicable sales charges or management fees.
S&P 500®: An unmanaged index generally considered representative of the U.S. stock market. The index returns assume
reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
Tax Equalization: The
practice of treating a portion of the distribution made to a redeeming shareholder, which represents his proportionate part of undistributed net investment income and capital gain as a distribution for tax purposes. Such amounts are referred to as
the equalization debits (or payments) and will be considered a distribution to the shareholder of net investment income and capital gain for calculation of the fund’s dividends paid deduction.
Nuveen:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied
on Nuveen to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality solutions designed to be integral components of a well-diversified core
portfolio.
Focused on meeting investor needs.
Nuveen is the investment management arm of TIAA. We have grown
into one of the world’s premier global asset managers, with specialist knowledge across all major asset classes and particular strength in solutions that provide income for investors and that draw on our expertise in alternatives and
responsible investing. Nuveen is driven not only by the independent investment processes across the firm, but also the insights, risk management, analytics and other tools and resources that a truly world-class platform provides. As a global asset
manager, our mission is to work in partnership with our clients to create solutions which help them secure their financial future.
Find out how we can help you.
To learn more about how the products and services of Nuveen
may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk
considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen,
333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: www.nuveen.com/mutual-funds
Nuveen Securities, LLC, member FINRA and SIPC | 333 West Wacker Drive |
Chicago, IL 60606 | www.nuveen.com MSA-FSLCT-0419P000000-INV-B-06/20
Item 2. Code of Ethics.
Not applicable to this filing.
Item 3. Audit Committee Financial Expert.
Not applicable to this filing.
Item 4. Principal Accountant Fees and Services.
Not applicable to this filing.
Item 5. Audit Committee of Listed Registrants.
Not applicable to this registrant.
Item 6. Schedule of Investments.
(a) See Portfolio of Investments in
Item 1.
(b) Not applicable.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable to this registrant.
Item 8. Portfolio Managers of Closed-End Management
Investment Companies.
Not applicable to this registrant.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable to this registrant.
Item 10. Submission of Matters to a Vote of Security
Holders.
There have been no material changes to the procedures by which shareholders may recommend nominees to the
registrants Board implemented after the registrant last provided disclosure in response to this Item.
Item 11. Controls and
Procedures.
(a) |
The registrants principal executive and principal financial officers, or persons performing similar functions, have concluded that the
registrants disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the 1940 Act) (17 CFR 270.30a-3(c))) are effective, as of a
date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940
Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the Exchange Act) (17 CFR 240.13a-15(b) or
240.15d-15(b)). |
(b) |
There were no changes in the registrants internal control over financial reporting (as defined in Rule
30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrants
internal control over financial reporting. |
Item 12. Disclosure of Securities Lending Activities for Closed-End Management
Investment Companies.
Not applicable.
Item 13. Exhibits.
File the exhibits listed below as part of this
Form.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the
extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: Not applicable to this filing.
(a)(2) A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact
form set forth below: See EX-99.CERT attached hereto.
(a)(3) Any written solicitation to purchase securities under Rule 23c-1
under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons: Not applicable to this registrant.
(a)(4) Change in the registrants independent public accountant. Not applicable.
(b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under
the 1940 Act (17 CFR 270.30a-2(b)), Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an Exhibit. A certification
furnished pursuant to this paragraph will not be deemed filed for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated
by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registration specifically incorporates it by reference: See EX-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
(Registrant) Nuveen Investment Funds, Inc.
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By |
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(Signature and Title) |
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/s/ Christopher M. Rohrbacher |
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Christopher M. Rohrbacher
Vice President and Secretary |
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Date: July 8, 2019
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.
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By |
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(Signature and Title) |
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/s/ Greg A. Bottjer |
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Greg A. Bottjer
Chief Administrative Officer
(principal executive officer) |
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Date: July 8, 2019
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By |
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(Signature and Title) |
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/s/ E. Scott Wickerham |
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E. Scott Wickerham
Vice President and Controller
(principal financial officer) |
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Date: July 8, 2019