-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, TK3jvaP5tQktQmrZiU3T982jBQsZ2j/64lqHq9lR+dfxn24PMmo9ylHbCu6xhHM1 VitxeLEzfH+pJwpmls1wwA== 0000891804-07-001965.txt : 20070709 0000891804-07-001965.hdr.sgml : 20070709 20070709133239 ACCESSION NUMBER: 0000891804-07-001965 CONFORMED SUBMISSION TYPE: N-CSRS PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20070430 FILED AS OF DATE: 20070709 DATE AS OF CHANGE: 20070709 EFFECTIVENESS DATE: 20070709 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NUVEEN MUNICIPAL MARKET OPPORTUNITY FUND INC CENTRAL INDEX KEY: 0000860188 IRS NUMBER: 363689957 STATE OF INCORPORATION: MN FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: N-CSRS SEC ACT: 1940 Act SEC FILE NUMBER: 811-06040 FILM NUMBER: 07969014 BUSINESS ADDRESS: STREET 1: 333 W WACKER DR CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: 3129178200 MAIL ADDRESS: STREET 1: 333 W WACKER CITY: CHICAGO STATE: IL ZIP: 60606 N-CSRS 1 file001.txt NUVEEN MUNICIPAL MARKET OPPORTUNITY FUND, 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 811-06040 --------------------- Nuveen Municipal Market Opportunity Fund, 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) Kevin J. McCarthy Nuveen Investments 333 West Wacker Drive Chicago, IL 60606 - ------------------------------------------------------------------------------ (Name and address of agent for service) Registrant's telephone number, including area code: (312) 917-7700 ------------------- Date of fiscal year end: October 31 ------------------ Date of reporting period: April 30, 2007 ------------------ Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles. A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507. ITEM 1. REPORTS TO STOCKHOLDERS. -------------------------------- SEMIANNUAL REPORT April 30, 2007 -------------------------------- Nuveen Investments Municipal Closed-End Funds NUVEEN PERFORMANCE PLUS MUNICIPAL FUND, INC. NPP NUVEEN MUNICIPAL ADVANTAGE FUND, INC. NMA NUVEEN MUNICIPAL MARKET OPPORTUNITY FUND, INC. NMO NUVEEN DIVIDEND ADVANTAGE MUNICIPAL FUND NAD NUVEEN DIVIDEND ADVANTAGE MUNICIPAL FUND 2 NXZ NUVEEN DIVIDEND ADVANTAGE MUNICIPAL FUND 3 NZF Photo of: Woman and man at the beach. Photo of: A child. DEPENDABLE, TAX-FREE INCOME BECAUSE IT'S NOT WHAT YOU EARN, IT'S WHAT YOU KEEP.(R) [LOGO] NUVEEN INVESTMENTS Photo of: Woman Photo of: Woman Photo of: Man and child NOW YOU CAN RECEIVE YOUR NUVEEN FUND REPORTS FASTER. NO MORE WAITING. SIGN UP TODAY TO RECEIVE NUVEEN FUND INFORMATION BY E-MAIL. It only takes a minute to sign up for E-Reports. Once enrolled, you'll receive an e-mail as soon as your Nuveen Investments Fund information is ready -- no more waiting for delivery by regular mail. Just click on the link within the e-mail to see the report, and save it on your computer if you wish. ------------------ DELIVERY DIRECT TO YOUR E-MAIL INBOX ------------------ IT'S FAST, EASY & FREE: WWW.INVESTORDELIVERY.COM WWW.NUVEEN.COM/ACCOUNTACCESS if you get your Nuveen Fund dividends if you get your Nuveen Fund and statements from your financial OR dividends and statements advisor or brokerage account. directly from Nuveen. (BE SURE TO HAVE THE ADDRESS SHEET THAT ACCOMPANIED THIS REPORT HANDY. YOU'LL NEED IT TO COMPLETE THE ENROLLMENT PROCESS.) [LOGO] NUVEEN INVESTMENTS Chairman's LETTER TO SHAREHOLDERS Photo of: Timothy R. Schwertfeger Timothy R. Schwertfeger Chairman of the Board Once again, I am pleased to report that over the six-month period covered by this report your Fund continued to provide you with attractive monthly tax-free income. For more details about the management strategy and performance of your Fund, please read the Portfolio Managers' Comments, the Dividend and Share Price Information, and the Performance Overview sections of this report. For some time, I've used these letters to remind you that municipal bonds can be an important building block in a well-balanced investment portfolio. In addition to providing attractive tax-free monthly income, a municipal bond investment like your Fund may help you achieve and benefit from greater portfolio diversification. Portfolio diversification is a recognized way to try to reduce some of the risk that comes with investing. For more information about this important investment strategy, I encourage you to contact your personal financial advisor. "IN ADDITION TO PROVIDING ATTRACTIVE TAX-FREE MONTHLY INCOME, A MUNICIPAL BOND INVESTMENT LIKE YOUR FUND MAY HELP YOU ACHIEVE AND BENEFIT FROM GREATER PORTFOLIO DIVERSIFICATION." We also are pleased to be able to offer you a choice concerning how you receive your shareholder reports and other Fund information. As an alternative to mailed copies, you can sign up to receive future Fund reports and other Fund information by e-mail and the internet. The inside front cover of this report contains information on how you can sign up. We are grateful that you have chosen us as a partner as you pursue your financial goals, and we look forward to continuing to earn your trust in the months and years ahead. At Nuveen Investments, our mission continues to be to assist you and your financial advisor by offering investment services and products that can help you to secure your financial objectives. Sincerely, /s/ Timothy R. Schwertfeger Timothy R. Schwertfeger CHAIRMAN OF THE BOARD June 15, 2007 Nuveen Investments Municipal Closed-End Funds NPP, NMA, NMO, NAD, NXZ, NZF Portfolio Managers' COMMENTS PORTFOLIO MANAGERS TOM SPALDING AND PAUL BRENNAN REVIEW KEY INVESTMENT STRATEGIES AND THE SIX-MONTH PERFORMANCE OF THESE SIX NATIONAL FUNDS. A 30-YEAR VETERAN OF NUVEEN, TOM HAS MANAGED NXZ SINCE ITS INCEPTION IN 2001 AND NPP, NMA, NMO, AND NAD SINCE 2003. WITH 16 YEARS OF INVESTMENT EXPERIENCE AT NUVEEN, PAUL ASSUMED PORTFOLIO MANAGEMENT RESPONSIBILITY FOR NZF IN JULY 2006. WHAT KEY STRATEGIES WERE USED TO MANAGE THESE FUNDS DURING THE SIX-MONTH REPORTING PERIOD ENDED APRIL 30, 2007? During this six-month period, we continued to see a further flattening of the municipal bond yield curve. In this environment, where the slope of the yield curve remained a dominant market factor, we continued to emphasize a disciplined approach to duration 1 management and yield curve positioning. As part of this approach, our purchases for the Funds' portfolios focused mainly on attractively priced bonds with maturities of 20 years and longer in NPP, NMA, NMO, NAD, and NXZ and 25 years and longer in NZF. We believed that bonds in this range of the curve generally offered more attractive yields, better value, and reward opportunities more commensurate with their risk levels. Our duration management strategies during this period included the use of inverse floating rate trusts, 2 a type of derivative financial instrument, in all six of these Funds. The inverse floaters had the dual benefit of increasing the Funds' distributable income and bringing their durations closer to our preferred strategic target. In past shareholder reports, we also discussed the use of forward interest rate swaps and futures contracts, which are additional types of derivative instruments, as duration management tools. During this reporting period, NZF continued to use both of these tools to help increase net asset value (NAV) volatility. We also continued to put emphasis on individual credit selection, using a long-term relative value approach. During this period, the municipal market saw steady new money issuance as well as a number of major advance refundings 3 and debt restructurings, which provided us with an increased number of bonds from which to choose. For the six months ended April 30, 2007, municipal issuance nationwide 1 Duration is a measure of a bond's price sensitivity as interest rates change, with longer duration bonds displaying more sensitivity to these changes than bonds with shorter durations. 2 An inverse floating rate trust is a financial instrument designed to pay long-term tax-exempt interest at a rate that varies inversely with a short-term tax-exempt interest rate index. For the Nuveen Funds, the index typically used is the Securities Industry and Financial Markets (SIFM) Municipal Swap Index (previously referred to as the Bond Market Association Index or BMA). Inverse floaters, including those inverse floating rate securities in which the Funds invested during the six-month period, are further defined within the "Notes to Financial Statements" and "Glossary of Terms Used in This Report" sections of this shareholder report. 3 Advance refundings, also known as pre-refundings or refinancings, occur when an issuer sells new bonds and uses the proceeds to fund principal and interest payments of older existing bonds. This process often results in lower borrowing costs for bond issuers. 4 totaled $223.7 billion, up 32% compared with the six-month period ended April 30, 2006. During the first four months of 2007, supply increased 37% over that of the first four months of 2006--to $135.4 billion--primarily due to a 71% increase in refundings during this period. Much of the new supply was highly rated and/or insured, and this factor, combined with the enhanced credit quality resulting from a number of advance refundings, meant that the Funds' allocations of credits rated AAA generally increased over this period. We also continued to work to maintain the Funds' weightings of lower credit quality bonds because of their strong performance and support for the Funds' income streams. However, as credit spreads continued to tighten, we generally found fewer attractively structured lower-rated credit opportunities in the market. In NPP, NMA, NMO, NAD, and NXZ, most of the cash we redeployed during this period came from called holdings, which we used to enhance the Funds' diversification by investing in a variety of essential services sectors such as water and sewer and utilities. We also continued to keep these Funds well diversified geographically, looking to states with stronger issuance, including California, Texas, New York, Florida and Illinois for many of the additions to our portfolios. In NZF, in addition to reinvesting a few bond call proceeds, we selectively sold some of the Fund's holdings that were nearing redemption. We continued to redeploy proceeds to bonds that could help us increase income-generating potential, such as credits with unusual types of coupons, including zero coupon and discount bonds. This purchase activity during this period was also directed toward higher-grade bonds with interesting structures and characteristics that represented opportunities to add value, manage duration and volatility, and support earnings. 5 HOW DID THE FUNDS PERFORM? Individual results for these Funds, as well as relevant index and peer group information, are presented in the accompanying table. TOTAL RETURNS ON NET ASSET VALUE For periods ended 4/30/07 CUMULATIVE ANNUALIZED ----------- -------------------------------------- 6-MONTH 1-YEAR 5-YEAR 10-YEAR - ----------------------------------------------------------------------------- NPP 1.41% 7.32% 6.80% 6.69% - ----------------------------------------------------------------------------- NMA 1.45% 6.85% 7.29% 6.92% - ----------------------------------------------------------------------------- NMO 1.19% 6.65% 6.80% 6.20% - ----------------------------------------------------------------------------- NAD 1.44% 7.06% 7.58% NA - ----------------------------------------------------------------------------- NXZ 2.08% 7.24% 8.52% NA - ----------------------------------------------------------------------------- NZF 1.84% 6.95% 8.40% NA - ----------------------------------------------------------------------------- Lehman Municipal Bond Index 4 1.59% 5.78% 5.16% 5.81% - ----------------------------------------------------------------------------- Lipper General Leveraged Municipal Debt Funds Average 5 1.66% 7.42% 7.34% 6.60% - ----------------------------------------------------------------------------- Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares. For additional information, see the individual Performance Overview for your Fund in this report. For the six months ended April 30, 2007, the cumulative returns on NAV for NXZ and NZF exceeded the return on the Lehman Brothers Municipal Bond Index, while NPP, NMA, NMO and NAD under-performed the index return, NXZ and NZF also outperformed the average return for their Lipper peer group for this period, while the remaining four Funds trailed the group average. Factors that influenced the Funds' returns during this period included duration, individual security selection, exposure to lower-rated credits, sector allocations and advance refunding activity. As the yield curve continued to flatten over the course of this period, municipal bonds with maturities of 20 years and longer, as measured by the Lehman Brothers Municipal Bond Index, performed best, generally outpacing municipal bonds with shorter maturities. As mentioned earlier, one of our strategies during this period focused on adding 4 The Lehman Brothers Municipal Bond Index is an unleveraged, unmanaged national index comprising a broad range of investment-grade municipal bonds. Results for the Lehman Brothers Index do not reflect any expenses. 5 The Lipper General Leveraged Municipal Debt Funds Average is calculated using the returns of all closed-end funds in this category for each period as follows: 6 months, 56; 1 year, 56; 5 years, 45; and 10 years, 39. Fund and Lipper returns assume reinvestment of dividends. 6 longer bonds to our portfolios. This purchase activity and our duration management strategies helped to extend the Funds' durations and bring them closer in line with our preferred strategic range. During this period, we also continued to employ strategies that we believed could help to strengthen the future income streams of our portfolios. In addition to income potential, the Funds' holdings of zero coupon bonds, which we continued to build, also provided a positive impact on performance for this period. With bonds rated BBB or lower and non-rated bonds generally outperforming other credit quality sectors during this period, all of these Funds benefited from their weightings in lower-quality credits. The outperformance of these credit sectors was largely the result of investor demand for the higher yields typically associated with lower-rated bonds, which drove up their value. NXZ, NZF, and NAD had heavier exposures to subinvestment-grade (bonds rated BB or lower) and non-rated bonds than the other three Funds, which was especially helpful during this period. Among the lower-rated holdings making positive contributions to the Funds' returns for this period were industrial development bonds and health care (including hospitals) credits. Lower-rated bonds backed by the 1998 master tobacco settlement agreement, which comprised approximately 3% to 5% of the portfolios of these Funds as of April 30, 2007, performed well. We also continued to see positive contributions from advance refunding activity, which benefited the Funds through price appreciation and enhanced credit quality. Two of the more significant advance refundings during this period involved BBB rated tobacco bonds issued by California's Golden State Tobacco Securitization Corporation and New Jersey's Tobacco Settlement Financing Corporation, which were upgraded to AAA as a result of the refundings. At the same time, holdings of older, previously pre-refunded bonds tended to underperform the general municipal market during this period, particularly those with effective maturities between 5 and 10 years. Entering this period, NMO had a significantly heavier weighting in older pre-refunded bonds than the other Funds in this report. 7 Dividend and Share Price INFORMATION These six Funds use leverage to potentially enhance opportunities for additional income for common shareholders. Although the Funds' use of this strategy continued to provide incremental income, the extent of this benefit was reduced during this period due to high short-term interest rates that, in turn, kept the Funds' borrowing costs high. Older, higher-yielding bonds that matured or were called also had an impact on the Funds' income streams, as proceeds were reinvested into bonds currently available in the market, which generally offered lower yields. While bond calls had the greater impact, the combination of both of these factors resulted in one monthly dividend reduction in NMO, NAD, and NZF over the six-month period ended April 30, 2007. The dividends of NPP, NMA and NXZ remained stable throughout this six-month period. Due to normal portfolio activity, common shareholders of the following Funds also received capital gains and/or net ordinary income distributions at the end of December 2006, as follows: SHORT-TERM CAPITAL GAINS LONG-TERM CAPITAL GAINS AND/OR ORDINARY INCOME (PER SHARE) (PER SHARE) - -------------------------------------------------------------------------------- NPP $0.0461 $0.0008 - -------------------------------------------------------------------------------- NMO -- $0.0014 - -------------------------------------------------------------------------------- NAD -- $0.0024 - -------------------------------------------------------------------------------- NZF $0.0198 -- - -------------------------------------------------------------------------------- All of the Funds in this report seek to pay stable dividends at rates that reflect each Fund's past results and projected future performance. During certain periods, each Fund may pay dividends at a rate that may be more or less than the amount of net investment income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it holds the excess in reserve as undistributed net investment income (UNII) as part of the Fund's NAV. Conversely, if a Fund has cumulatively paid dividends in excess of its earnings, the excess constitutes negative UNII that is likewise reflected in the Fund's NAV. Each Fund will, over time, pay all of its net investment income as dividends to shareholders. As of April 30, 2007, all the Funds had positive UNII balances for both financial statements and based on our best estimate, tax purposes. As of April 30, 2007, the Funds' share prices were trading at premiums or discounts to their NAVs as shown in the accompanying chart: 4/30/07 6-MONTH AVERAGE PREMIUM/DISCOUNT PREMIUM/DISCOUNT - -------------------------------------------------------------------------------- NPP -2.44% -3.46% - -------------------------------------------------------------------------------- NMA +2.43% +1.86% - -------------------------------------------------------------------------------- NMO -1.45% -1.08% - -------------------------------------------------------------------------------- NAD -1.89% -0.52% - -------------------------------------------------------------------------------- NXZ +6.99% +6.01% - -------------------------------------------------------------------------------- NZF +2.93% +3.31% - -------------------------------------------------------------------------------- 8 Nuveen Performance Plus Municipal Fund, Inc. NPP Performance OVERVIEW As of April 30, 2007 - -------------------------------------------------------------------------------- CREDIT QUALITY (as a % of total investments) [PIE CHART] AAA/U.S. Guaranteed 77% AA 7% A 5% BBB 7% BB or Lower 2% N/R 2% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- 2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE 2 [BAR CHART] $0.0705 $0.0670 $0.0670 $0.0670 $0.0640 $0.0640 $0.0640 $0.0640 $0.0640 $0.0640 $0.0640 $0.0640 - ---------------------------------------------------------------------------------------------------------------- May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
- -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SHARE PRICE PERFORMANCE [LINE CHART] Weekly Date Closing Price -------- ------------- 5/01/06 $14.53 $14.54 $14.45 $14.34 $14.46 $14.50 $14.55 $14.43 $14.25 $14.33 $14.45 $14.35 $14.43 $14.82 $14.74 $14.65 $14.89 $14.93 $14.98 $15.10 $14.94 $14.97 $14.98 $14.93 $14.69 $14.88 $15.08 $15.18 $15.13 $15.07 $15.03 $15.20 $15.19 $14.88 $14.82 $15.15 $15.06 $15.00 $15.01 $15.12 $15.18 $15.27 $15.19 $15.22 $15.27 $15.28 $15.17 $15.24 $15.20 $15.10 $15.07 $15.12 4/30/07 $15.19 PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS. - -------------------------------------------------------------------------------- FUND SNAPSHOT - -------------------------------------------------------------------------------- Common Share Price $ 15.19 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.57 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -2.44% - -------------------------------------------------------------------------------- Market Yield 5.06% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield 1 7.03% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 933,016 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 14.46 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 8.32 - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURN (Inception 6/22/89) - ----------------------------------- ON SHARE PRICE ON NAV - ----------------------------------- 6-Month (Cumulative) 3.55% 1.41% - ----------------------------------- 1-Year 10.62% 7.32% - ----------------------------------- 5-Year 7.90% 6.80% - ----------------------------------- 10-Year 6.76% 6.69% - ----------------------------------- STATES (as a % of total investments) - -------------------------------------------------------------------------------- Illinois 14.9% - -------------------------------------------------------------------------------- California 10.2% - -------------------------------------------------------------------------------- New York 6.5% - -------------------------------------------------------------------------------- New Jersey 5.9% - -------------------------------------------------------------------------------- Michigan 4.5% - -------------------------------------------------------------------------------- Indiana 4.4% - -------------------------------------------------------------------------------- Texas 4.4% - -------------------------------------------------------------------------------- Florida 4.2% - -------------------------------------------------------------------------------- Colorado 4.2% - -------------------------------------------------------------------------------- Massachusetts 3.8% - -------------------------------------------------------------------------------- Washington 3.3% - -------------------------------------------------------------------------------- South Carolina 2.9% - -------------------------------------------------------------------------------- Utah 2.8% - -------------------------------------------------------------------------------- Nevada 2.5% - -------------------------------------------------------------------------------- Ohio 2.4% - -------------------------------------------------------------------------------- Pennsylvania 2.2% - -------------------------------------------------------------------------------- Georgia 2.1% - -------------------------------------------------------------------------------- Minnesota 2.0% - -------------------------------------------------------------------------------- Louisiana 2.0% - -------------------------------------------------------------------------------- Other 14.8% - -------------------------------------------------------------------------------- INDUSTRIES (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 27.5% - -------------------------------------------------------------------------------- Tax Obligation/Limited 15.3% - -------------------------------------------------------------------------------- Tax Obligation/General 14.3% - -------------------------------------------------------------------------------- Transportation 9.8% - -------------------------------------------------------------------------------- Utilities 9.8% - -------------------------------------------------------------------------------- Health Care 8.8% - -------------------------------------------------------------------------------- Other 14.5% - -------------------------------------------------------------------------------- 1 Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower. 2 The Fund paid shareholders capital gains and net ordinary income distributions in December 2006 of $0.0469 per share. 9 Nuveen Municipal Advantage Fund, Inc. NMA Performance OVERVIEW As of April 30, 2007 FUND SNAPSHOT - -------------------------------------------------------------------------------- Common Share Price $ 16.05 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.67 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV 2.43% - -------------------------------------------------------------------------------- Market Yield 5.35% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield 1 7.43% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 676,770 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 15.40 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 8.64 - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURN (Inception 12/19/89) - ----------------------------------- ON SHARE PRICE ON NAV - ----------------------------------- 6-Month (Cumulative) 4.00% 1.45% - ----------------------------------- 1-Year 11.73% 6.85% - ----------------------------------- 5-Year 8.55% 7.29% - ----------------------------------- 10-Year 7.38% 6.92% - ----------------------------------- STATES (as a % of total investments) - -------------------------------------------------------------------------------- Texas 10.5% - -------------------------------------------------------------------------------- Illinois 10.2% - -------------------------------------------------------------------------------- New York 9.5% - -------------------------------------------------------------------------------- Washington 8.9% - -------------------------------------------------------------------------------- California 8.0% - -------------------------------------------------------------------------------- Louisiana 7.5% - -------------------------------------------------------------------------------- Colorado 4.7% - -------------------------------------------------------------------------------- Nevada 3.7% - -------------------------------------------------------------------------------- Tennessee 3.3% - -------------------------------------------------------------------------------- Ohio 2.8% - -------------------------------------------------------------------------------- Florida 2.6% - -------------------------------------------------------------------------------- South Carolina 2.6% - -------------------------------------------------------------------------------- New Jersey 2.5% - -------------------------------------------------------------------------------- Indiana 2.2% - -------------------------------------------------------------------------------- Alabama 1.9% - -------------------------------------------------------------------------------- Wisconsin 1.9% - -------------------------------------------------------------------------------- Missouri 1.7% - -------------------------------------------------------------------------------- Oklahoma 1.6% - -------------------------------------------------------------------------------- Other 13.9% - -------------------------------------------------------------------------------- INDUSTRIES (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 32.2% - -------------------------------------------------------------------------------- Utilities 13.5% - -------------------------------------------------------------------------------- Health Care 10.9% - -------------------------------------------------------------------------------- Tax Obligation/Limited 10.7% - -------------------------------------------------------------------------------- Transportation 10.2% - -------------------------------------------------------------------------------- Tax Obligation/General 7.8% - -------------------------------------------------------------------------------- Other 14.7% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- CREDIT QUALITY (as a % of total investments) [PIE CHART] AAA/U.S. Guaranteed 72% AA 8% A 4% BBB 13% BB or Lower 3% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- 2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE [BAR CHART] $0.0755 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 $0.0715 - --------------------------------------------------------------------------------------------------------------- May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
- -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SHARE PRICE PERFORMANCE [LINE CHART] Weekly Date Closing Price -------- ------------- 5/01/06 $14.53 $14.54 $14.45 $14.34 $14.46 $14.50 $14.55 $14.43 $14.25 $14.33 $14.45 $14.35 $14.43 $14.82 $14.74 $14.65 $14.89 $14.93 $14.98 $15.10 $14.94 $14.97 $14.98 $14.93 $14.69 $14.88 $15.08 $15.18 $15.13 $15.07 $15.03 $15.20 $15.19 $14.88 $14.82 $15.15 $15.06 $15.00 $15.01 $15.12 $15.18 $15.27 $15.19 $15.22 $15.27 $15.28 $15.17 $15.24 $15.20 $15.10 $15.07 $15.12 4/30/07 $15.19 PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS. - -------------------------------------------------------------------------------- 1 Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower. 10 Nuveen Municipal Market Opportunity Fund, Inc. NMO Performance OVERVIEW As of April 30, 2007 - -------------------------------------------------------------------------------- CREDIT QUALITY (as a % of total investments) [PIE CHART] AAA/U.S. Guaranteed 79% AA 7% A 4% BBB 7% BB or Lower 2% N/R 1% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- 2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE 2 [BAR CHART] $0.0685 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0660 $0.0635 $0.0635 - ---------------------------------------------------------------------------------------------------------- May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
- -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SHARE PRICE PERFORMANCE [LINE CHART] Weekly Date Closing Price -------- ------------- 5/01/06 $14.12 $14.17 $14.24 $14.23 $14.21 $14.19 $14.11 $14.05 $13.80 $13.97 $13.90 $13.89 $13.99 $14.32 $14.42 $14.43 $14.63 $14.56 $14.58 $14.63 $14.67 $14.77 $14.93 $14.93 $14.60 $14.75 $14.92 $15.04 $15.01 $15.04 $15.11 $15.24 $15.27 $15.01 $15.09 $15.17 $15.26 $15.42 $15.35 $15.28 $15.16 $15.17 $15.23 $15.29 $15.16 $15.23 $14.99 $15.02 $15.23 $15.04 $15.00 $15.04 $14.98 $14.17 $14.24 $14.23 $14.21 $14.19 $14.11 $14.05 $13.80 $13.97 $13.90 $13.89 $13.99 $14.32 $14.42 $14.43 $14.63 $14.56 $14.58 $14.63 $14.67 $14.77 $14.93 $14.93 $14.60 $14.75 $14.92 $15.04 $15.01 $15.04 $15.11 $15.24 $15.27 $15.01 $15.09 $15.17 $15.26 $15.42 $15.35 $15.28 $15.16 $15.17 $15.23 $15.29 $15.16 $15.23 $14.99 $15.02 $15.23 $15.04 $15.00 $15.04 4/30/07 $14.98 PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS. - -------------------------------------------------------------------------------- FUND SNAPSHOT - -------------------------------------------------------------------------------- Common Share Price $ 14.98 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.20 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -1.45% - -------------------------------------------------------------------------------- Market Yield 5.09% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield 1 7.07% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 692,530 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 13.22 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 8.41 - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURN (Inception 3/21/90) - ----------------------------------- ON SHARE PRICE ON NAV - ----------------------------------- 6-Month (Cumulative) 2.48% 1.19% - ----------------------------------- 1-Year 12.12% 6.65% - ----------------------------------- 5-Year 7.45% 6.80% - ----------------------------------- 10-Year 6.42% 6.20% - ----------------------------------- STATES (as a % of total investments) - -------------------------------------------------------------------------------- Texas 16.0% - -------------------------------------------------------------------------------- Washington 11.2% - -------------------------------------------------------------------------------- Illinois 8.6% - -------------------------------------------------------------------------------- New York 7.3% - -------------------------------------------------------------------------------- California 7.3% - -------------------------------------------------------------------------------- Minnesota 4.9% - -------------------------------------------------------------------------------- South Carolina 4.8% - -------------------------------------------------------------------------------- New Jersey 4.2% - -------------------------------------------------------------------------------- Nevada 3.9% - -------------------------------------------------------------------------------- Colorado 3.4% - -------------------------------------------------------------------------------- Georgia 2.8% - -------------------------------------------------------------------------------- Massachusetts 2.8% - -------------------------------------------------------------------------------- North Dakota 2.7% - -------------------------------------------------------------------------------- Ohio 2.5% - -------------------------------------------------------------------------------- Pennsylvania 2.4% - -------------------------------------------------------------------------------- Puerto Rico 1.9% - -------------------------------------------------------------------------------- Other 13.3% - -------------------------------------------------------------------------------- INDUSTRIES (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 34.2% - -------------------------------------------------------------------------------- Tax Obligation/General 16.9% - -------------------------------------------------------------------------------- Transportation 14.6% - -------------------------------------------------------------------------------- Health Care 7.7% - -------------------------------------------------------------------------------- Tax Obligation/Limited 7.6% - -------------------------------------------------------------------------------- Utilities 6.6% - -------------------------------------------------------------------------------- Other 12.4% - -------------------------------------------------------------------------------- 1 Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower. 2 The Fund paid shareholders a net ordinary income distribution in December 2006 of $0.0014 per share. 11 Nuveen Dividend Advantage Municipal Fund NAD Performance OVERVIEW As of April 30, 2007 FUND SNAPSHOT - -------------------------------------------------------------------------------- Common Share Price $ 15.06 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.35 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -1.89% - -------------------------------------------------------------------------------- Market Yield 5.30% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield 1 7.36% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 603,112 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 14.79 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 8.58 - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURN (Inception 5/26/99) - ----------------------------------- ON SHARE PRICE ON NAV - ----------------------------------- 6-Month (Cumulative) 1.10% 1.44% - ----------------------------------- 1-Year 10.38% 7.06% - ----------------------------------- 5-Year 7.02% 7.58% - ----------------------------------- Since Inception 6.52% 7.31% - ----------------------------------- STATES (as a % of total investments) - -------------------------------------------------------------------------------- Illinois 22.9% - -------------------------------------------------------------------------------- Texas 9.9% - -------------------------------------------------------------------------------- New York 9.6% - -------------------------------------------------------------------------------- Washington 7.6% - -------------------------------------------------------------------------------- Florida 6.1% - -------------------------------------------------------------------------------- Wisconsin 4.5% - -------------------------------------------------------------------------------- New Jersey 3.8% - -------------------------------------------------------------------------------- Pennsylvania 3.3% - -------------------------------------------------------------------------------- Louisiana 3.3% - -------------------------------------------------------------------------------- Nevada 2.9% - -------------------------------------------------------------------------------- Ohio 2.7% - -------------------------------------------------------------------------------- California 2.5% - -------------------------------------------------------------------------------- Indiana 2.4% - -------------------------------------------------------------------------------- Michigan 2.4% - -------------------------------------------------------------------------------- Rhode Island 2.1% - -------------------------------------------------------------------------------- Other 14.0% - -------------------------------------------------------------------------------- INDUSTRIES (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 21.0% - -------------------------------------------------------------------------------- Tax Obligation/General 16.7% - -------------------------------------------------------------------------------- Health Care 15.0% - -------------------------------------------------------------------------------- Tax Obligation/Limited 14.2% - -------------------------------------------------------------------------------- Transportation 10.9% - -------------------------------------------------------------------------------- Utilities 6.3% - -------------------------------------------------------------------------------- Consumer Staples 5.1% - -------------------------------------------------------------------------------- Other 10.8% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- CREDIT QUALITY (as a % of total investments) [PIE CHART] AAA/U.S. Guaranteed 72% AA 11% A 4% BBB 6% BB or Lower 5% N/R 2% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- 2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE 2 [BAR CHART] $0.0715 $0.0690 $0.0690 $0.0690 $0.0690 $0.0690 $0.0690 $0.0690 $0.0690 $0.0690 $0.0665 $0.0665 - ---------------------------------------------------------------------------------------------------------- May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
- -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SHARE PRICE PERFORMANCE [LINE CHART] Weekly Date Closing Price -------- ------------- 5/01/06 $14.45 $14.52 $14.60 $14.68 $14.86 $14.98 $14.71 $14.35 $14.13 $14.35 $14.45 $14.49 $14.48 $14.74 $14.85 $14.69 $14.85 $14.88 $15.07 $15.14 $15.06 $15.13 $15.22 $15.36 $15.12 $15.14 $15.27 $15.27 $15.37 $15.35 $15.29 $15.56 $15.63 $15.48 $15.55 $15.79 $15.78 $15.78 $15.79 $15.58 $15.54 $15.46 $15.40 $15.46 $15.39 $15.45 $15.32 $14.88 $14.93 $14.94 $14.84 $14.91 4/30/07 $15.06 PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS. - -------------------------------------------------------------------------------- 1 Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower. 2 The Fund paid shareholders a net ordinary income distribution in December 2006 of $0.0024 per share. 12 Nuveen Dividend Advantage Municipal Fund 2 NXZ Performance OVERVIEW As of April 30, 2007 - -------------------------------------------------------------------------------- CREDIT QUALITY (as a % of total investments) [PIE CHART] AAA/U.S. Guaranteed 68% AA 7% A 8% BBB 9% BB or Lower 6% N/R 2% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- 2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE [BAR CHART] $0.0820 $0.0795 $0.0795 $0.0795 $0.0765 $0.0765 $0.0765 $0.0765 $0.0765 $0.0765 $0.0765 $0.0765 - --------------------------------------------------------------------------------------------------------------------- May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
- -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SHARE PRICE PERFORMANCE [LINE CHART] Weekly Date Closing Price -------- ------------- 5/01/06 $16.28 $16.48 $16.41 $16.42 $16.26 $16.32 $16.25 $16.23 $16.04 $16.08 $16.20 $16.09 $16.14 $16.36 $16.42 $16.40 $16.64 $16.91 $16.99 $16.78 $16.70 $16.76 $16.73 $16.68 $16.32 $16.39 $16.55 $16.69 $16.71 $16.75 $16.63 $16.70 $16.87 $16.74 $16.80 $16.92 $17.00 $17.12 $16.95 $16.98 $17.04 $16.94 $16.89 $16.83 $16.96 $16.98 $16.89 $17.00 $17.04 $16.96 $17.05 $17.03 4/30/07 $17.00 PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS. - -------------------------------------------------------------------------------- FUND SNAPSHOT - -------------------------------------------------------------------------------- Common Share Price $ 17.00 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.89 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV 6.99% - -------------------------------------------------------------------------------- Market Yield 5.40% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield 1 7.50% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 466,879 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 16.49 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 6.89 - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURN (Inception 3/27/01) - ----------------------------------- ON SHARE PRICE ON NAV - ----------------------------------- 6-Month (Cumulative) 5.90% 2.08% - ----------------------------------- 1-Year 10.99% 7.24% - ----------------------------------- 5-Year 10.77% 8.52% - ----------------------------------- Since Inception 8.76% 8.32% - ----------------------------------- STATES (as a % of total investments) - -------------------------------------------------------------------------------- Texas 16.6% - -------------------------------------------------------------------------------- Michigan 9.4% - -------------------------------------------------------------------------------- Illinois 7.3% - -------------------------------------------------------------------------------- New York 6.6% - -------------------------------------------------------------------------------- Nevada 4.9% - -------------------------------------------------------------------------------- Colorado 4.8% - -------------------------------------------------------------------------------- California 4.6% - -------------------------------------------------------------------------------- New Mexico 3.5% - -------------------------------------------------------------------------------- Louisiana 3.4% - -------------------------------------------------------------------------------- Washington 3.4% - -------------------------------------------------------------------------------- Florida 3.3% - -------------------------------------------------------------------------------- Missouri 3.2% - -------------------------------------------------------------------------------- Indiana 3.1% - -------------------------------------------------------------------------------- Alabama 2.9% - -------------------------------------------------------------------------------- Massachusetts 2.7% - -------------------------------------------------------------------------------- Kansas 2.6% - -------------------------------------------------------------------------------- Oregon 2.5% - -------------------------------------------------------------------------------- Pennsylvania 2.3% - -------------------------------------------------------------------------------- Other 12.9% - -------------------------------------------------------------------------------- INDUSTRIES (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 32.7% - -------------------------------------------------------------------------------- Tax Obligation/Limited 15.8% - -------------------------------------------------------------------------------- Transportation 13.9% - -------------------------------------------------------------------------------- Health Care 13.6% - -------------------------------------------------------------------------------- Tax Obligation/General 6.2% - -------------------------------------------------------------------------------- Utilities 5.8% - -------------------------------------------------------------------------------- Other 12.0% - -------------------------------------------------------------------------------- 1 Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower. 13 Nuveen Dividend Advantage Municipal Fund 3 NZF Performance OVERVIEW As of April 30, 2007 FUND SNAPSHOT - -------------------------------------------------------------------------------- Common Share Price $ 15.82 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.37 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV 2.93% - -------------------------------------------------------------------------------- Market Yield 5.35% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield 1 7.43% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 620,472 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 15.93 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 8.13 - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURN (Inception 9/25/01) - ----------------------------------- ON SHARE PRICE ON NAV - ----------------------------------- 6-Month (Cumulative) 2.51% 1.84% - ----------------------------------- 1-Year 10.93% 6.95% - ----------------------------------- 5-Year 9.47% 8.40% - ----------------------------------- Since Inception 7.51% 7.61% - ----------------------------------- STATES (as a % of total investments) - -------------------------------------------------------------------------------- Illinois 13.0% - -------------------------------------------------------------------------------- Texas 11.6% - -------------------------------------------------------------------------------- Washington 10.1% - -------------------------------------------------------------------------------- California 7.8% - -------------------------------------------------------------------------------- Michigan 6.0% - -------------------------------------------------------------------------------- Nevada 5.0% - -------------------------------------------------------------------------------- Colorado 4.1% - -------------------------------------------------------------------------------- Iowa 3.8% - -------------------------------------------------------------------------------- Indiana 3.4% - -------------------------------------------------------------------------------- Wisconsin 2.8% - -------------------------------------------------------------------------------- New York 2.7% - -------------------------------------------------------------------------------- New Jersey 2.6% - -------------------------------------------------------------------------------- Louisiana 2.2% - -------------------------------------------------------------------------------- Kentucky 2.1% - -------------------------------------------------------------------------------- Missouri 1.7% - -------------------------------------------------------------------------------- Alaska 1.7% - -------------------------------------------------------------------------------- Maryland 1.7% - -------------------------------------------------------------------------------- Oregon 1.6% - -------------------------------------------------------------------------------- Georgia 1.6% - -------------------------------------------------------------------------------- Other 14.5% - -------------------------------------------------------------------------------- INDUSTRIES (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 27.4% - -------------------------------------------------------------------------------- Transportation 15.4% - -------------------------------------------------------------------------------- Tax Obligation/General 11.7% - -------------------------------------------------------------------------------- Health Care 10.2% - -------------------------------------------------------------------------------- Utilities 6.6% - -------------------------------------------------------------------------------- Education and Civic Organizations 5.7% - -------------------------------------------------------------------------------- Tax Obligation/Limited 5.3% - -------------------------------------------------------------------------------- Water and Sewer 4.2% - -------------------------------------------------------------------------------- Other 13.5% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- CREDIT QUALITY (as a % of total investments) [PIE CHART] AAA/U.S. Guaranteed 80% AA 5% A 1% BBB 6% BB or Lower 2% N/R 6% - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- 2006-2007 MONTHLY TAX-FREE DIVIDENDS PER SHARE 2 [BAR CHART] $0.0770 $0.0730 $0.0730 $0.0730 $0.0730 $0.0730 $0.0730 $0.0730 $0.0730 $0.0730 $0.0705 $0.0705 - ------------------------------------------------------------------------------------------------------------------ May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
- -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SHARE PRICE PERFORMANCE [LINE CHART] Weekly Date Closing Price -------- ------------- 5/01/06 $15.30 $15.41 $15.58 $15.39 $15.42 $15.43 $15.39 $15.03 $14.75 $14.82 $14.92 $14.91 $15.03 $15.34 $15.28 $15.17 $15.36 $15.39 $15.40 $15.54 $15.53 $15.67 $15.78 $15.78 $15.52 $15.70 $15.80 $15.91 $15.99 $15.83 $15.88 $15.99 $16.18 $15.92 $16.25 $16.08 $16.18 $16.07 $15.89 $15.90 $16.00 $15.98 $15.83 $15.99 $16.00 $16.19 $15.91 $15.91 $15.88 $15.95 $15.80 $15.80 4/30/07 $15.82 PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE RESULTS. - -------------------------------------------------------------------------------- 1 Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower. 2 The Fund paid shareholders a capital gains distribution in December 2006 of $0.0198 per share. 14 Nuveen Performance Plus Municipal Fund, Inc. (NPP) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ALABAMA - 0.3% (0.2% OF TOTAL INVESTMENTS) Jefferson County, Alabama, Sewer Revenue Refunding Warrants, Series 1997A: $ 1,435 5.625%, 2/01/22 - FGIC Insured 8/07 at 101.00 AAA $ 1,451,359 1,505 5.375%, 2/01/27 - FGIC Insured 7/07 at 101.00 AAA 1,506,716 - ------------------------------------------------------------------------------------------------------------------------------------ 2,940 Total Alabama 2,958,075 - ------------------------------------------------------------------------------------------------------------------------------------ ARIZONA - 1.3% (0.9% OF TOTAL INVESTMENTS) 1,000 Arizona State Transportation Board, 7/12 at 100.00 AAA 1,073,000 Highway Revenue Bonds, Series 2002B, 5.250%, 7/01/22 (Pre-refunded 7/01/12) Phoenix, Arizona, Civic Improvement Corporation, Senior Lien Airport Revenue Bonds, Series 2002B: 5,365 5.750%, 7/01/15 - FGIC Insured (Alternative Minimum Tax) 7/12 at 100.00 AAA 5,803,106 5,055 5.750%, 7/01/16 - FGIC Insured (Alternative Minimum Tax) 7/12 at 100.00 AAA 5,472,695 - ------------------------------------------------------------------------------------------------------------------------------------ 11,420 Total Arizona 12,348,801 - ------------------------------------------------------------------------------------------------------------------------------------ ARKANSAS - 0.7% (0.5% OF TOTAL INVESTMENTS) 5,080 Independence County, Arkansas, Hydroelectric Power 5/13 at 100.00 A 5,343,093 Revenue Bonds, Series 2003, 5.350%, 5/01/28 - ACA Insured 1,000 Washington County, Arkansas, Hospital Revenue 2/15 at 100.00 BBB 1,016,960 Bonds, Washington Regional Medical Center, Series 2005A, 5.000%, 2/01/35 - ------------------------------------------------------------------------------------------------------------------------------------ 6,080 Total Arkansas 6,360,053 - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA - 15.3% (10.2% OF TOTAL INVESTMENTS) 3,500 Alameda Corridor Transportation Authority, California, 10/17 at 100.00 AAA 2,896,425 Subordinate Lien Revenue Bonds, Series 2004A, 0.000%, 10/01/25 - AMBAC Insured 11,000 Anaheim Public Finance Authority, California, No Opt. Call AAA 6,269,780 Subordinate Lease Revenue Bonds, Public Improvement Project, Series 1997C, 0.000%, 9/01/20 - FSA Insured California Department of Water Resources, Power Supply Revenue Bonds, Series 2002A: 4,000 6.000%, 5/01/15 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 4,470,360 3,175 5.375%, 5/01/22 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 3,458,242 3,365 California Health Facilities Financing Authority, Health 3/13 at 100.00 A 3,427,825 Facility Revenue Bonds, Adventist Health System/West, Series 2003A, 5.000%, 3/01/33 California Health Facilities Financing Authority, Revenue Bonds, Kaiser Permanante System, Series 2006: 5,000 5.000%, 4/01/37 4/16 at 100.00 A+ 5,139,250 7,000 5.250%, 4/01/39 4/16 at 100.00 A+ 7,353,080 2,380 California Infrastructure Economic Development 10/11 at 101.00 A- 2,488,195 Bank, Revenue Bonds, J. David Gladstone Institutes, Series 2001, 5.250%, 10/01/34 5,300 California, General Obligation Bonds, Series 2004, 2/09 at 100.00 A+ (4) 5,443,100 5.100%, 2/01/34 (Pre-refunded 2/01/09) 5,000 California, General Obligation Bonds, Series 2005, 5.000%, 3/01/31 3/16 at 100.00 A+ 5,260,400 6,435 California, General Obligation Refunding Bonds, Series No Opt. Call AAA 7,498,899 2002, 6.000%, 4/01/16 - AMBAC Insured 5,000 Coast Community College District, Orange County, 8/18 at 100.00 AAA 3,869,400 California, General Obligation Bonds, Series 2006C, 0.000%, 8/01/32 - FSA Insured 2,990 East Bay Municipal Utility District, Alameda and Contra 6/07 at 100.00 AAA 2,991,346 Costa Counties, California, Water System Subordinated Revenue Refunding Bonds, Series 1996, 4.750%, 6/01/21 - FGIC Insured Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1: 5,000 5.000%, 6/01/33 6/17 at 100.00 BBB 4,988,950 1,500 5.125%, 6/01/47 6/17 at 100.00 BBB 1,504,620
15 Nuveen Performance Plus Municipal Fund, Inc. (NPP) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA (continued) $ 10,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA $ 11,609,700 Tobacco Settlement Asset-Backed Bonds, Series 2003A-1, 6.750%, 6/01/39 (Pre-refunded 6/01/13) 8,000 Golden State Tobacco Securitization Corporation, 6/15 at 100.00 A 8,293,040 California, Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 5.000%, 6/01/45 1,000 Mt. Diablo Hospital District, California, Insured 7/07 at 100.00 AAA 1,063,690 Hospital Revenue Bonds, Series 1993A, 5.125%, 12/01/23 - AMBAC Insured (ETM) 13,450 Ontario Redevelopment Financing Authority, San No Opt. Call AAA 16,621,376 Bernardino County, California, Revenue Refunding Bonds, Redevelopment Project 1, Series 1995, 7.200%, 8/01/17 - MBIA Insured 11,270 Palmdale Community Redevelopment Agency, California, No Opt. Call AAA 11,834,514 Residential Mortgage Revenue Refunding Bonds, Series 1991A, 7.150%, 2/01/10 (ETM) 2,325 Palmdale Community Redevelopment Agency, California, No Opt. Call AAA 3,044,378 Restructured Single Family Mortgage Revenue Bonds, Series 1986D, 8.000%, 4/01/16 (Alternative Minimum Tax) (ETM) 2,000 San Francisco Airports Commission, California, 5/09 at 101.00 AAA 2,078,820 Revenue Bonds, San Francisco International Airport, Second Series 1999, Issue 23B, 5.125%, 5/01/30 (Pre-refunded 5/01/09) - FGIC Insured 2,000 San Francisco Airports Commission, California, Revenue 5/11 at 100.00 AAA 2,084,720 Refunding Bonds, San Francisco International Airport, Second Series 2001, Issue 27B, 5.125%, 5/01/26 - FGIC Insured 3,000 San Joaquin Hills Transportation Corridor Agency, No Opt. Call AAA 890,940 Orange County, California, Toll Road Revenue Refunding Bonds, Series 1997A, 0.000%, 1/15/35 - MBIA Insured 15,745 Walnut Valley Unified School District, Los Angeles 8/11 at 103.00 AAA 18,348,433 County, California, General Obligation Refunding Bonds, Series 1997A, 7.200%, 2/01/16 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 139,435 Total California 142,929,483 - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO - 6.2% (4.2% OF TOTAL INVESTMENTS) 5,240 Adams 12 Five Star Schools, Adams County, Colorado, 12/15 at 100.00 AAA 5,585,368 General Obligation Bonds, Series 2005, 5.000%, 12/15/24 - FSA Insured 3,000 Colorado Educational and Cultural Facilities Authority, 8/14 at 100.00 AAA 3,204,630 Charter School Revenue Bonds, Peak-to-Peak Charter School, Series 2004, 5.250%, 8/15/34 - XLCA Insured 5,860 Colorado Health Facilities Authority, Revenue Refunding 9/11 at 100.00 AA (4) 6,207,264 Bonds, Catholic Health Initiatives, Series 2001, 5.250%, 9/01/21 (Pre-refunded 9/01/11) 7,575 Denver City and County, Colorado, Airport System Revenue 11/07 at 101.00 AAA 7,703,321 Bonds, Series 1997E, 5.250%, 11/15/23 - MBIA Insured 20,000 Denver Convention Center Hotel Authority, Colorado, 12/13 at 100.00 AAA 21,500,797 Senior Revenue Bonds, Convention Center Hotel, Series 2003A, 5.000%, 12/01/33 (Pre-refunded 12/01/13) - XLCA Insured 10,615 E-470 Public Highway Authority, Colorado, Senior No Opt. Call AAA 5,768,085 Revenue Bonds, Series 1997B, 0.000%, 9/01/21 - MBIA Insured 10,000 E-470 Public Highway Authority, Colorado, Senior Revenue No Opt. Call AAA 3,262,600 Bonds, Series 2000B, 0.000%, 9/01/32 - MBIA Insured 755 Jefferson County School District R1, Colorado, General 12/14 at 100.00 AAA 805,698 Obligation Bonds, Series 2004, 5.000%, 12/15/22 - FSA Insured 4,125 Municipal Subdistrict Northern Colorado Water District, 12/07 at 101.00 AAA 4,201,931 Revenue Bonds, Series 1997G, 5.250%, 12/01/15 (Pre-refunded 12/01/07) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 67,170 Total Colorado 58,239,694 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRICT OF COLUMBIA - 1.8% (1.2% OF TOTAL INVESTMENTS) 5,745 District of Columbia Tobacco Settlement Corporation, 5/11 at 101.00 BBB 6,165,017 Tobacco Settlement Asset-Backed Bonds, Series 2001, 6.250%, 5/15/24 5,590 District of Columbia, General Obligation Bonds, 6/09 at 101.00 AAA 5,840,656 Series 1999B, 5.500%, 6/01/13 - FSA Insured 5,000 Washington Convention Center Authority, 10/16 at 100.00 AAA 4,967,600 District of Columbia, Senior Lien Dedicated Tax Revenue Bonds, Series 2007A, 4.500%, 10/01/30 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 16,335 Total District of Columbia 16,973,273 - ------------------------------------------------------------------------------------------------------------------------------------
16
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ FLORIDA - 6.3% (4.2% OF TOTAL INVESTMENTS) Broward County Housing Finance Authority, Florida, Multifamily Housing Revenue Bonds, Venice Homes Apartments, Series 2001A: $ 1,545 5.700%, 1/01/32 - FSA Insured (Alternative Minimum Tax) 7/11 at 100.00 AAA $ 1,578,666 1,805 5.800%, 1/01/36 - FSA Insured (Alternative Minimum Tax) 7/11 at 100.00 AAA 1,847,760 5,300 Escambia County Health Facilities Authority, Florida, No Opt. Call AA 5,762,796 Revenue Bonds, Ascension Health Credit Group, Series 2003A, 5.250%, 11/15/14 2,130 Florida Housing Finance Corporation, Homeowner Mortgage 1/10 at 100.00 AAA 2,188,319 Revenue Bonds, Series 2000-11, 5.850%, 1/01/22 - FSA Insured (Alternative Minimum Tax) 10,050 Florida State Board of Education, Full Faith and Credit 6/10 at 101.00 AAA 10,704,758 Public Education Capital Outlay Refunding Bonds, Series 1999D, 5.750%, 6/01/22 7,000 Hillsborough County Aviation Authority, Florida, Revenue 10/13 at 100.00 AAA 7,497,000 Bonds, Tampa International Airport, Series 2003A, 5.250%, 10/01/17 - MBIA Insured (Alternative Minimum Tax) 10,000 JEA, Florida, Electric System Revenue Bonds, 4/15 at 100.00 AAA 10,468,000 Series 2006-3A, 5.000%, 10/01/41 - FSA Insured 10,750 Martin County Industrial Development Authority, 6/07 at 100.00 BB+ 10,859,220 Florida, Industrial Development Revenue Bonds, Indiantown Cogeneration LP, Series 1994A, 7.875%, 12/15/25 (Alternative Minimum Tax) 2,570 Miami-Dade County Housing Finance Authority, 6/11 at 100.00 AAA 2,665,733 Florida, Multifamily Mortgage Revenue Bonds, Country Club Villas II Project, Series 2001-1A, 5.850%, 1/01/37 - FSA Insured (Alternative Minimum Tax) 3,500 Miami-Dade County, Florida, Aviation Revenue 10/15 at 100.00 AAA 3,661,350 Bonds, Miami International Airport, Series 2005A, 5.000%, 10/01/37 - XLCA Insured (Alternative Minimum Tax) 1,700 Miami-Dade County, Florida, Beacon Tradeport 5/12 at 102.00 AA 1,838,703 Community Development District, Special Assessment Bonds, Commercial Project, Series 2002A, 5.625%, 5/01/32 - RAAI Insured - ------------------------------------------------------------------------------------------------------------------------------------ 56,350 Total Florida 59,072,305 - ------------------------------------------------------------------------------------------------------------------------------------ GEORGIA - 3.1% (2.1% OF TOTAL INVESTMENTS) 4,920 Atlanta, Georgia, Airport General Revenue 1/10 at 101.00 AAA 5,204,376 Refunding Bonds, Series 2000A, 5.600%, 1/01/30 (Pre-refunded 1/01/10) - FGIC Insured 5,000 Atlanta, Georgia, Water and Wastewater No Opt. Call AAA 5,566,800 Revenue Bonds, Series 1999A, 5.500%, 11/01/22 - FGIC Insured 2,000 George L. Smith II World Congress Center 7/10 at 101.00 AAA 2,104,460 Authority, Atlanta, Georgia, Revenue Refunding Bonds, Domed Stadium Project, Series 2000, 5.500%, 7/01/20 - MBIA Insured (Alternative Minimum Tax) 15,000 Private Colleges and Universities Authority, 11/09 at 101.00 AA (4) 15,796,800 Georgia, Revenue Bonds, Emory University, Series 1999A, 5.500%, 11/01/25 (Pre-refunded 11/01/09) - ------------------------------------------------------------------------------------------------------------------------------------ 26,920 Total Georgia 28,672,436 - ------------------------------------------------------------------------------------------------------------------------------------ IDAHO - 0.1% (0.1% OF TOTAL INVESTMENTS) 570 Idaho Housing and Finance Association, 1/10 at 100.00 Aa3 576,926 Single Family Mortgage Bonds, Series 2000D, 6.200%, 7/01/14 (Alternative Minimum Tax) 315 Idaho Housing and Finance Association, 7/10 at 100.00 Aa2 320,021 Single Family Mortgage Bonds, Series 2000G-2, 5.950%, 7/01/25 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 885 Total Idaho 896,947 - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS - 22.3% (14.9% OF TOTAL INVESTMENTS) 10,000 Chicago Board of Education, Illinois, No Opt. Call AAA 5,919,200 Unlimited Tax General Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1, 0.000%, 12/01/19 - FGIC Insured 10,000 Chicago Board of Education, Illinois, No Opt. Call AAA 5,647,600 Unlimited Tax General Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 0.000%, 12/01/20 - FGIC Insured Chicago, Illinois, General Obligation Bonds, City Colleges, Series 1999: 32,170 0.000%, 1/01/21 - FGIC Insured No Opt. Call AAA 18,032,250 32,670 0.000%, 1/01/22 - FGIC Insured No Opt. Call AAA 17,502,626 3,000 Chicago, Illinois, General Obligation Bonds, 1/08 at 102.00 AAA 3,100,200 Library Projects, Series 1997, 5.750%, 1/01/17 (Pre-refunded 1/01/08) - FGIC Insured 9,145 Chicago, Illinois, Revenue Bonds, Midway 7/07 at 101.00 AAA 9,248,796 Airport, Series 1996A, 5.500%, 1/01/29 - MBIA Insured
17 Nuveen Performance Plus Municipal Fund, Inc. (NPP) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS (continued) $ 1,665 Chicago, Illinois, Third Lien General Airport 1/16 at 100.00 AAA $ 1,751,580 Revenue Bonds, O'Hare International Airport, Series 2005A, 5.000%, 1/01/33 - FGIC Insured DuPage County Forest Preserve District, Illinois, General Obligation Bonds, Series 2000: 8,000 0.000%, 11/01/18 No Opt. Call AAA 4,966,320 15,285 0.000%, 11/01/19 No Opt. Call AAA 9,078,984 4,000 Illinois Health Facilities Authority, FHA-Insured 8/13 at 100.00 AAA 4,170,400 Mortgage Revenue Refunding Bonds, Sinai Health System, Series 2003, 5.150%, 2/15/37 1,180 Illinois Health Facilities Authority, Revenue Bonds, 7/12 at 100.00 A- 1,258,753 Lake Forest Hospital, Series 2002A, 5.750%, 7/01/29 3,000 Illinois Health Facilities Authority, Revenue Bonds, 7/13 at 100.00 A- 3,274,440 Lake Forest Hospital, Series 2003, 6.000%, 7/01/33 4,580 Illinois Health Facilities Authority, Revenue Bonds, 8/10 at 102.00 Aaa 4,947,957 Midwest Care Center IX Inc., Series 2000, 6.250%, 8/20/35 2,645 Illinois Health Facilities Authority, Revenue Bonds, 8/09 at 101.00 A 2,711,733 Silver Cross Hospital and Medical Centers, Series 1999, 5.250%, 8/15/15 (Mandatory put 4/01/08) 7,250 Kane, Kendall, LaSalle, and Will Counties, Illinois, 12/13 at 57.71 AAA 3,119,893 Community College District 516, General Obligation Bonds, Series 2005E, 0.000%, 12/15/24 - FGIC Insured 5,000 Kane, McHenry, Cook and DeKalb Counties Community 12/11 at 100.00 AAA 5,370,800 Unit School District 300, Carpentersville, Illinois, General Obligation Bonds, Series 2000, 5.500%, 12/01/19 (Pre-refunded 12/01/11) - MBIA Insured 3,700 Libertyville, Illinois, Affordable Housing Revenue 11/09 at 100.00 A3 3,797,310 Bonds, Liberty Towers Project, Series 1999A, 7.000%, 11/01/29 (Alternative Minimum Tax) 6,000 McHenry County Conservation District, Illinois, 2/11 at 100.00 AAA 6,404,100 General Obligation Bonds, Series 2001A, 5.625%, 2/01/21 (Pre-refunded 2/01/11) - FGIC Insured 5,000 Metropolitan Pier and Exposition Authority, Illinois, 6/12 at 101.00 AAA 5,310,400 Revenue Bonds, McCormick Place Expansion Project, Series 2002A, 5.250%, 6/15/42 - MBIA Insured 10,650 Metropolitan Pier and Exposition Authority, Illinois, No Opt. Call AAA 14,095,595 Revenue Bonds, McCormick Place Hospitality Facility, Series 1996A, 7.000%, 7/01/26 (ETM) Metropolitan Pier and Exposition Authority, Illinois, Revenue Refunding Bonds, McCormick Place Expansion Project, Series 1996A: 9,400 0.000%, 12/15/18 - MBIA Insured No Opt. Call AAA 5,811,268 16,570 0.000%, 12/15/20 - MBIA Insured No Opt. Call AAA 9,342,663 23,550 0.000%, 12/15/22 - MBIA Insured No Opt. Call AAA 12,114,120 13,000 0.000%, 12/15/24 - MBIA Insured No Opt. Call AAA 6,099,470 5,100 Metropolitan Pier and Exposition Authority, Illinois, No Opt. Call AAA 5,937,471 Revenue Refunding Bonds, McCormick Place Expansion Project, Series 1998A, 5.500%, 12/15/23 - FGIC Insured 5,180 Metropolitan Pier and Exposition Authority, Illinois, No Opt. Call AAA 6,044,956 Revenue Refunding Bonds, McCormick Place Expansion Project, Series 1998A, 5.500%, 12/15/23 - FGIC Insured (ETM) 17,865 Regional Transportation Authority, Cook, DuPage, Kane, No Opt. Call AAA 21,315,979 Lake, McHenry and Will Counties, Illinois, General Obligation Bonds, Series 1999, 5.750%, 6/01/23 - FSA Insured 6,090 Sherman, Illinois, GNMA Mortgage Revenue Refunding 10/09 at 102.00 AAA 6,527,506 Bonds, Villa Vianney, Series 1999A, 6.450%, 10/01/29 10,000 Will County Community High School District 210 No Opt. Call Aaa 5,102,900 Lincoln-Way, Illinois, General Obligation Bonds, Series 2006, 0.000%, 1/01/23 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 281,695 Total Illinois 208,005,270 - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA - 6.6% (4.4% OF TOTAL INVESTMENTS) 2,465 Danville Multi-School Building Corporation, Indiana, 7/11 at 100.00 AAA 2,603,139 First Mortgage Refunding Bonds, Series 2001, 5.250%, 7/15/18 - AMBAC Insured 14,000 Indiana Health Facility Financing Authority, Hospital 8/10 at 101.50 AAA 14,937,020 Revenue Bonds, Clarian Health Obligated Group, Series 2000A, 5.500%, 2/15/30 (Pre-refunded 8/15/10) - MBIA Insured 2,500 Indiana Health Facility Financing Authority, No Opt. Call AAA 2,861,300 Hospital Revenue Refunding Bonds, Columbus Regional Hospital, Series 1993, 7.000%, 8/15/15 - FSA Insured
18
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA (continued) Indiana Health Facility Financing Authority, Revenue Bonds, Ancilla Systems Inc. Obligated Group, Series 1997: $ 15,380 5.250%, 7/01/17 - MBIA Insured (ETM) 7/07 at 101.00 AAA $ 15,570,251 4,320 5.250%, 7/01/22 - MBIA Insured (ETM) 7/07 at 101.00 AAA 4,373,006 2,250 5.250%, 7/01/22 - MBIA Insured (ETM) 7/07 at 101.00 AAA 2,277,608 2,000 Indiana Health Facility Financing Authority, Revenue 5/15 at 100.00 AAA 2,091,880 Bonds, Community Hospitals of Indiana, Series 2005A, 5.000%, 5/01/35 - AMBAC Insured Indiana Transportation Finance Authority, Highway Revenue Bonds, Series 2000: 1,285 5.375%, 12/01/25 (Pre-refunded 12/01/10) 12/10 at 100.00 AA (4) 1,357,731 6,715 5.375%, 12/01/25 (Pre-refunded 12/01/10) 12/10 at 100.00 AA (4) 7,095,069 3,105 Indiana University, Student Fee Revenue Bonds, 8/13 at 100.00 AAA 3,345,234 Series 2003O, 5.250%, 8/01/20 - FGIC Insured 1,000 Marion County Convention and Recreational 6/11 at 100.00 AAA 1,044,410 Facilities Authority, Indiana, Excise Taxes Lease Rental Revenue Refunding Senior Bonds, Series 2001A, 5.000%, 6/01/21 - MBIA Insured 2,395 Shelbyville Central Renovation School Building 7/15 at 100.00 AAA 2,376,415 Corporation, Indiana, First Mortgage Bonds, Series 2005, 4.375%, 7/15/26 - MBIA Insured 1,800 Sunman Dearborn High School Building Corporation, 1/15 at 100.00 AAA 1,896,912 Indiana, First Mortgage Bonds, Series 2005, 5.000%, 7/15/25 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 59,215 Total Indiana 61,829,975 - ------------------------------------------------------------------------------------------------------------------------------------ IOWA - 0.7% (0.5% OF TOTAL INVESTMENTS) 1,500 Iowa Finance Authority, Health Facility Revenue 7/16 at 100.00 BBB- 1,576,470 Bonds, Care Initiatives Project, Series 2006A, 5.500%, 7/01/21 5,000 Iowa Tobacco Settlement Authority, Tobacco 6/11 at 101.00 AAA 5,395,150 Settlement Asset-Backed Revenue Bonds, Series 2001B, 5.600%, 6/01/35 (Pre-refunded 6/01/11) - ------------------------------------------------------------------------------------------------------------------------------------ 6,500 Total Iowa 6,971,620 - ------------------------------------------------------------------------------------------------------------------------------------ KANSAS - 1.4% (0.9% OF TOTAL INVESTMENTS) 3,790 Kansas Department of Transportation, Highway 3/14 at 100.00 AAA 4,004,097 Revenue Bonds, Series 2004A, 5.000%, 3/01/23 5,790 Sedgwick County Unified School District 259, 9/10 at 100.00 AA 5,514,512 Wichita, Kansas, General Obligation Bonds, Series 2000, 3.500%, 9/01/17 3,200 Wyandotte County Unified School District 500, 9/11 at 100.00 AAA 3,136,512 Kansas, General Obligation Bonds, Series 2001, 4.000%, 9/01/21 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 12,780 Total Kansas 12,655,121 - ------------------------------------------------------------------------------------------------------------------------------------ LOUISIANA - 3.0% (2.0% OF TOTAL INVESTMENTS) 930 East Baton Rouge Mortgage Finance Authority, 10/07 at 102.00 Aaa 941,839 Louisiana, GNMA/FNMA Mortgage-Backed Securities Program Single Family Mortgage Revenue Refunding Bonds, Series 1997B-1, 5.750%, 10/01/26 4,000 Lafayette City and Parish, Louisiana, 11/14 at 100.00 AAA 4,326,720 Utilities Revenue Bonds, Series 2004, 5.250%, 11/01/25 - MBIA Insured 4,650 Louisiana Public Facilities Authority, 7/14 at 100.00 AAA 4,938,951 Revenue Bonds, Baton Rouge General Hospital, Series 2004, 5.250%, 7/01/33 - MBIA Insured Tobacco Settlement Financing Corporation, Louisiana, Tobacco Settlement Asset-Backed Bonds, Series 2001B: 10,000 5.500%, 5/15/30 5/11 at 101.00 BBB 10,454,200 6,680 5.875%, 5/15/39 5/11 at 101.00 BBB 7,133,906 - ------------------------------------------------------------------------------------------------------------------------------------ 26,260 Total Louisiana 27,795,616 - ------------------------------------------------------------------------------------------------------------------------------------ MAINE - 0.6% (0.4% OF TOTAL INVESTMENTS) 5,680 Portland, Maine, Airport Revenue Bonds, 7/13 at 100.00 AAA 5,919,696 Series 2003A, 5.000%, 7/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ MARYLAND - 1.7% (1.1% OF TOTAL INVESTMENTS) 7,720 Maryland Transportation Authority, Airport 3/12 at 101.00 AAA 8,092,336 Parking Revenue Bonds, Baltimore-Washington International Airport Passenger Facility, Series 2002B, 5.125%, 3/01/20 - AMBAC Insured (Alternative Minimum Tax)
19 Nuveen Performance Plus Municipal Fund, Inc. (NPP) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MARYLAND (continued) $ 7,090 Takoma Park, Maryland, Hospital Facilities Revenue Refunding and Improvement Bonds, Washington No Opt. Call AAA $ 7,690,098 Adventist Hospital, Series 1995, 6.500%, 9/01/12 - FSA Insured (ETM) - ------------------------------------------------------------------------------------------------------------------------------------ 14,810 Total Maryland 15,782,434 - ------------------------------------------------------------------------------------------------------------------------------------ MASSACHUSETTS - 5.7% (3.8% OF TOTAL INVESTMENTS) Massachusetts Development Finance Authority, Revenue Bonds, 100 Cambridge Street Redevelopment, M/SRBC Project, Series 2002A: 4,000 5.125%, 8/01/28 - MBIA Insured 2/12 at 100.00 AAA 4,178,680 5,625 5.125%, 2/01/34 - MBIA Insured 2/12 at 100.00 AAA 5,876,269 1,140 Massachusetts Educational Finance Authority, Student 12/09 at 101.00 AAA 1,164,088 Loan Revenue Refunding Bonds, Series 2000G, 5.700%, 12/01/11 - MBIA Insured (Alternative Minimum Tax) 8,730 Massachusetts Health and Educational Facilities 10/15 at 100.00 AAA 9,276,062 Authority, Revenue Bonds, Berkshire Health System, Series 2005F, 5.000%, 10/01/19 - AGC Insured 1,530 Massachusetts Health and Educational Facilities 7/08 at 101.00 Aaa 1,547,626 Authority, Revenue Bonds, Southcoast Health System Obligated Group, Series 1998A, 4.750%, 7/01/27 - MBIA Insured 5,745 Massachusetts Industrial Finance Agency, Resource 12/08 at 102.00 BBB 5,955,439 Recovery Revenue Refunding Bonds, Ogden Haverhill Project, Series 1998A, 5.600%, 12/01/19 (Alternative Minimum Tax) 10,150 Massachusetts Turnpike Authority, Metropolitan 7/07 at 102.00 AAA 10,301,946 Highway System Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - MBIA Insured 890 Massachusetts, General Obligation Bonds, 11/12 at 100.00 AA (4) 956,056 Consolidated Loan, Series 2002C, 5.250%, 11/01/30 (Pre-refunded 11/01/12) Massachusetts, General Obligation Bonds, Consolidated Loan, Series 2002E: 1,255 5.250%, 1/01/22 (Pre-refunded 1/01/13) - FGIC Insured 1/13 at 100.00 AAA 1,349,276 3,745 5.250%, 1/01/22 (Pre-refunded 1/01/13) - FGIC Insured 1/13 at 100.00 AAA 4,026,324 8,500 Route 3 North Transportation Improvements 6/10 at 100.00 AAA 8,922,535 Association, Massachusetts, Lease Revenue Bonds, Series 2000, 5.375%, 6/15/33 (Pre-refunded 6/15/10) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 51,310 Total Massachusetts 53,554,301 - ------------------------------------------------------------------------------------------------------------------------------------ MICHIGAN - 6.7% (4.5% OF TOTAL INVESTMENTS) 17,000 Birmingham City School District, Oakland County, 11/07 at 100.00 AAA 17,050,150 Michigan, School Building and Site Bonds, Series 1998, 4.750%, 11/01/24 - FSA Insured 5,000 Detroit, Michigan, Second Lien Sewerage Disposal 7/15 at 100.00 AAA 5,254,500 System Revenue Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA Insured 3,000 Detroit, Michigan, Senior Lien Water Supply 7/07 at 101.00 AAA 3,036,000 System Revenue Bonds, Series 1997A, 5.000%, 7/01/21 (Pre-refunded 7/01/07) - MBIA Insured 4,030 Hancock Hospital Finance Authority, Michigan, 8/08 at 100.00 AAA 4,114,469 FHA-Insured Mortgage Hospital Revenue Bonds, Portage Health System Inc., Series 1998, 5.450%, 8/01/47 (Pre-refunded 8/01/08) - MBIA Insured 1,500 Michigan State Building Authority, Revenue 10/11 at 100.00 AA- 1,563,780 Bonds, Facilities Program, Series 2001I, 5.000%, 10/15/24 5,000 Michigan State Building Authority, Revenue 10/13 at 100.00 AAA 5,241,400 Refunding Bonds, Facilities Program, Series 2003II, 5.000%, 10/15/29 - MBIA Insured 7,115 Michigan State Hospital Finance Authority, 3/13 at 100.00 A1 (4) 7,752,077 Hospital Revenue Refunding Bonds, Henry Ford Health System, Series 2003A, 5.500%, 3/01/16 (Pre-refunded 3/01/13) 5,000 Michigan State Hospital Finance Authority, No Opt. Call AAA 5,292,300 Hospital Revenue Refunding Bonds, Sisters of Mercy Health Corporation, Series 1993P, 5.375%, 8/15/14 - MBIA Insured (ETM) 3,000 Michigan Strategic Fund, Collateralized Limited 9/09 at 102.00 AAA 3,150,000 Obligation Pollution Control Revenue Refunding Bonds, Detroit Edison Company, Series 1999A, 5.550%, 9/01/29 - MBIA Insured (Alternative Minimum Tax) 10,000 Wayne County, Michigan, Airport Revenue Bonds, 12/08 at 101.00 AAA 10,300,500 Detroit Metropolitan Wayne County Airport, Series 1998A, 5.375%, 12/01/16 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 60,645 Total Michigan 62,755,176 - ------------------------------------------------------------------------------------------------------------------------------------
20
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MINNESOTA - 3.0% (2.0% OF TOTAL INVESTMENTS) $ 3,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 AAA $ 3,159,600 Subordinate Airport Revenue Bonds, Series 2001C, 5.250%, 1/01/26 (Pre-refunded 1/01/11) - FGIC Insured 20,165 St. Paul Housing and Redevelopment Authority, 11/15 at 103.00 AAA 24,782,580 Minnesota, Sales Tax Revenue Refunding Bonds, Civic Center Project, Series 1996, 7.100%, 11/01/23 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 23,165 Total Minnesota 27,942,180 - ------------------------------------------------------------------------------------------------------------------------------------ MISSISSIPPI - 1.3% (0.9% OF TOTAL INVESTMENTS) 9,750 Mississippi Business Finance Corporation, 10/07 at 100.00 BBB- 9,855,105 Pollution Control Revenue Refunding Bonds, System Energy Resources Inc. Project, Series 1998, 5.875%, 4/01/22 2,475 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 N/R 2,556,131 Revenue Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%, 9/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ 12,225 Total Mississippi 12,411,236 - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI - 1.6% (1.1% OF TOTAL INVESTMENTS) 6,350 Kansas City, Missouri, Airport Revenue Bonds, General 9/12 at 100.00 AAA 6,756,845 Improvement Projects, Series 2003B, 5.250%, 9/01/17 - FGIC Insured 1,845 Missouri Health and Educational Facilities Authority, 5/13 at 100.00 AA 1,963,080 Revenue Bonds, BJC Health System, Series 2003, 5.250%, 5/15/18 3,815 Missouri Health and Educational Facilities Authority, 6/11 at 101.00 AAA 4,066,332 Revenue Bonds, SSM Healthcare System, Series 2001A, 5.250%, 6/01/28 (Pre-refunded 6/01/11) - AMBAC Insured 2,000 Missouri-Illinois Metropolitan District Bi-State 10/13 at 100.00 AAA 2,096,020 Development Agency, Mass Transit Sales Tax Appropriation Bonds, Metrolink Cross County Extension Project, Series 2002B, 5.000%, 10/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 14,010 Total Missouri 14,882,277 - ------------------------------------------------------------------------------------------------------------------------------------ MONTANA - 0.7% (0.4% OF TOTAL INVESTMENTS) 535 Montana Board of Housing, Single Family Mortgage Bonds, 6/07 at 101.50 AA+ 540,591 Series 1997A-1, 6.150%, 6/01/30 (Alternative Minimum Tax) 670 Montana Board of Housing, Single Family Mortgage Bonds, 12/09 at 100.00 AA+ 683,702 Series 2000A-2, 6.450%, 6/01/29 (Alternative Minimum Tax) 4,795 Montana Higher Education Student Assistance Corporation, 12/08 at 101.00 A2 4,902,456 Student Loan Revenue Bonds, Subordinate Series 1998B, 5.500%, 12/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 6,000 Total Montana 6,126,749 - ------------------------------------------------------------------------------------------------------------------------------------ NEBRASKA - 0.2% (0.1% OF TOTAL INVESTMENTS) 1,405 Nebraska Investment Finance Authority, Single 9/10 at 100.00 AAA 1,415,636 Family Housing Revenue Bonds, Series 2000E, 5.850%, 9/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA - 3.7% (2.5% OF TOTAL INVESTMENTS) 10,900 Clark County School District, Nevada, General 6/12 at 100.00 AAA 11,815,709 Obligation Bonds, Series 2002C, 5.500%, 6/15/19 (Pre-refunded 6/15/12) - MBIA Insured 5,000 Clark County, Nevada, General Obligation Bank Bonds, 6/11 at 100.00 AAA 5,303,550 Southern Nevada Water Authority Loan, Series 2001, 5.300%, 6/01/19 (Pre-refunded 6/01/11) - FGIC Insured 6,980 Director of Nevada State Department of Business and 1/10 at 100.00 AAA 7,202,453 Industry, Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured 10,000 Reno, Nevada, Health Facilities Revenue Bonds, 7/17 at 100.00 A 10,547,500 Catholic Healthcare West, Series 2007A, 5.250%, 7/01/31 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 32,880 Total Nevada 34,869,212 - ------------------------------------------------------------------------------------------------------------------------------------ NEW HAMPSHIRE - 1.6% (1.0% OF TOTAL INVESTMENTS) 3,265 New Hampshire Health and Education Facilities Authority, 1/15 at 100.00 A 3,384,695 Revenue Bonds, Southern New Hampshire University, Series 2005, 5.000%, 1/01/30 - ACA Insured
21 Nuveen Performance Plus Municipal Fund, Inc. (NPP) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEW HAMPSHIRE (continued) New Hampshire Housing Finance Authority, FHLMC Multifamily Housing Remarketed Revenue Bonds, Countryside LP, Series 1994: $ 3,725 6.000%, 7/01/18 (Alternative Minimum Tax) 7/10 at 101.00 Aaa $ 3,901,304 6,945 6.100%, 7/01/24 (Alternative Minimum Tax) 7/10 at 101.00 Aaa 7,253,636 - ------------------------------------------------------------------------------------------------------------------------------------ 13,935 Total New Hampshire 14,539,635 - ------------------------------------------------------------------------------------------------------------------------------------ NEW JERSEY - 8.8% (5.9% OF TOTAL INVESTMENTS) 3,000 New Jersey Economic Development Authority, Transportation 5/09 at 100.00 AAA 3,093,360 Sublease Revenue Bonds, Light Rail Transit System, Series 1999A, 5.250%, 5/01/17 (Pre-refunded 5/01/09) - FSA Insured 2,260 New Jersey Higher Education Assistance Authority, Student 6/10 at 101.00 AAA 2,325,337 Loan Revenue Bonds, Series 2000A, 6.000%, 6/01/13 - MBIA Insured (Alternative Minimum Tax) 8,750 New Jersey Transportation Trust Fund Authority, 6/07 at 102.00 AAA 8,940,138 Transportation System Bonds, Series 1996B, 5.250%, 6/15/16 (Pre-refunded 6/15/07) 4,500 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 5,142,690 System Bonds, Series 2001C, 5.500%, 12/15/18 - FSA Insured 9,250 New Jersey Transportation Trust Fund Authority, Transportation 6/13 at 100.00 AAA 10,157,333 System Bonds, Series 2003C, 5.500%, 6/15/23 (Pre-refunded 6/15/13) New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Series 2006C: 35,000 0.000%, 12/15/29 - FSA Insured No Opt. Call AAA 13,103,300 10,000 0.000%, 12/15/30 - FGIC Insured No Opt. Call AAA 3,576,400 10,000 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 10,628,500 5.000%, 1/01/20 - FSA Insured 11,960 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 12,786,436 Settlement Asset-Backed Bonds, Series 2002, 5.750%, 6/01/32 (Pre-refunded 6/01/12) 4,450 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/13 at 100.00 AAA 5,174,193 Settlement Asset-Backed Bonds, Series 2003, 6.750%, 6/01/39 (Pre-refunded 6/01/13) West Deptford Township, Gloucester County, New Jersey, General Obligation Bonds, Series 2000: 3,150 5.500%, 9/01/21 (Pre-refunded 9/01/10) - FGIC Insured 9/10 at 100.00 Aaa 3,330,810 3,335 5.500%, 9/01/22 (Pre-refunded 9/01/10) - FGIC Insured 9/10 at 100.00 Aaa 3,526,429 - ------------------------------------------------------------------------------------------------------------------------------------ 105,655 Total New Jersey 81,784,926 - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK - 9.8% (6.5% OF TOTAL INVESTMENTS) 5,500 Dormitory Authority of the State of New York, FHA-Insured 2/14 at 100.00 AAA 5,772,415 Mortgage Revenue Bonds, Kaleida Health, Series 2004, 5.050%, 2/15/25 5 Dormitory Authority of the State of New York, Improvement 2/08 at 100.00 AAA 5,056 Revenue Bonds, Mental Health Services Facilities, Series 1996B, 5.375%, 2/15/26 - MBIA Insured 2,070 Dormitory Authority of the State of New York, Insured 7/08 at 101.00 AAA 2,134,750 Revenue Bonds, 853 Schools Program, Gateway-Longview Inc., Series 1998A, 5.500%, 7/01/18 - AMBAC Insured 2,250 Dormitory Authority of the State of New York, 7/09 at 101.00 AAA 2,359,395 Lease Revenue Bonds, State University Dormitory Facilities, Series 1999C, 5.500%, 7/01/29 (Pre-refunded 7/01/09) - MBIA Insured Dormitory Authority of the State of New York, Revenue Bonds, Marymount Manhattan College, Series 1999: 1,580 6.375%, 7/01/13 - RAAI Insured 7/09 at 101.00 AA 1,672,304 9,235 6.125%, 7/01/21 - RAAI Insured 7/09 at 101.00 AA 9,741,817 1,500 Dormitory Authority of the State of New York, 8/07 at 101.00 AAA 1,520,835 Revenue Bonds, St. Barnabas Hospital, Series 1997, 5.450%, 8/01/35 - AMBAC Insured 3,000 Dormitory Authority of the State of New York, 1/08 at 102.00 AAA 3,093,840 Third General Resolution Consolidated Revenue Bonds, City University System, Series 1997-1, 5.375%, 7/01/24 (Pre-refunded 1/01/08) - FSA Insured 17,000 Dormitory Authority of the State of New York, 7/09 at 101.00 AAA 17,826,540 Third General Resolution Consolidated Revenue Bonds, City University System, Series 1999-1, 5.500%, 7/01/29 (Pre-refunded 7/01/09) - FSA Insured 1,500 Hempstead Industrial Development Agency, New York, No Opt. Call BB+ 1,538,790 Resource Recovery Revenue Refunding Bonds, American Ref-Fuel Company of Hempstead LP, Series 2001, 5.000%, 12/01/10 (Mandatory put 6/01/10)
22
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK (continued) $ 13,220 Metropolitan Transportation Authority, New York, 11/12 at 100.00 AAA $ 14,264,777 Dedicated Tax Fund Bonds, Series 2002A, 5.500%, 11/15/26 - FSA Insured 10,000 New York City Municipal Water Finance Authority, 6/09 at 101.00 AA+ (4) 10,529,300 New York, Water and Sewerage System Revenue Bonds, Fiscal Series 2000A, 5.750%, 6/15/30 (Pre-refunded 6/15/09) 7,810 New York City Transitional Finance Authority, 8/09 at 101.00 AAA 8,248,610 New York, Future Tax Secured Bonds, Fiscal Series 2000A, 5.750%, 8/15/24 (Pre-refunded 8/15/09) 5 New York City, New York, General Obligation Bonds, 8/07 at 100.00 AA- 5,057 Fiscal Series 1987D, 8.500%, 8/01/08 6,300 New York City, New York, General Obligation Bonds, 5/10 at 101.00 AAA 6,789,825 Fiscal Series 2000A, 6.250%, 5/15/26 - FSA Insured 3,000 New York State Energy Research and Development 9/08 at 102.00 AAA 3,134,310 Authority, Pollution Control Revenue Bonds, Rochester Gas and Electric Corporation, Series 1998A, 5.950%, 9/01/33 - MBIA Insured (Alternative Minimum Tax) 2,320 New York State Tobacco Settlement Financing Corporation, 6/10 at 100.00 AA- 2,432,706 Tobacco Settlement Asset-Backed and State Contingency Contract-Backed Bonds, Series 2003A-1, 5.500%, 6/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ 86,295 Total New York 91,070,327 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA - 0.8% (0.5% OF TOTAL INVESTMENTS) 4,900 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/15 at 100.00 AA 5,065,816 Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 5.000%, 1/15/45 2,000 North Carolina Municipal Power Agency 1, Catawba Electric 1/08 at 102.00 AAA 2,055,080 Revenue Bonds, Series 1998A, 5.000%, 1/01/20 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 6,900 Total North Carolina 7,120,896 - ------------------------------------------------------------------------------------------------------------------------------------ OHIO - 3.5% (2.4% OF TOTAL INVESTMENTS) 6,720 Cleveland, Ohio, Airport System Revenue Bonds, Series 2001A, 1/10 at 101.00 AAA 6,892,637 5.000%, 1/01/31 - FSA Insured 780 Cleveland, Ohio, Airport System Revenue Bonds, Series 2001A, 1/10 at 101.00 Aaa 813,088 5.000%, 1/01/31 (Pre-refunded 1/01/10) - FSA Insured 3,650 Montgomery County, Ohio, Revenue Bonds, Catholic Health 5/14 at 100.00 AA 3,781,875 Initiatives, Series 2004A, 5.000%, 5/01/30 1,305 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 7/09 at 100.00 Aaa 1,313,965 Program Residential Mortgage Revenue Bonds, Series 1999C, 5.750%, 9/01/30 (Alternative Minimum Tax) 6,400 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/08 at 102.00 N/R 6,507,136 Bonds, Bay Shore Power, Series 1998A, 5.875%, 9/01/20 (Alternative Minimum Tax) 13,300 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/09 at 102.00 N/R 13,753,929 Bonds, Bay Shore Power, Series 1998B, 6.625%, 9/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 32,155 Total Ohio 33,062,630 - ------------------------------------------------------------------------------------------------------------------------------------ OKLAHOMA - 0.4% (0.2% OF TOTAL INVESTMENTS) 3,400 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding 6/09 at 100.00 B 3,466,368 Bonds, American Airlines Inc., Series 2000B, 6.000%, 6/01/35 (Mandatory put 12/01/08) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ OREGON - 1.0% (0.7% OF TOTAL INVESTMENTS) 9,150 Port of St. Helens, Oregon, Pollution Control Revenue Bonds, No Opt. Call Baa1 9,241,317 Portland General Electric Company, Series 1985B, 4.800%, 6/01/10 - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA - 3.3% (2.2% OF TOTAL INVESTMENTS) Bethlehem Authority, Northampton and Lehigh Counties, Pennsylvania, Guaranteed Water Revenue Bonds, Series 1998: 3,125 0.000%, 5/15/22 - FSA Insured No Opt. Call AAA 1,645,469 3,125 0.000%, 5/15/23 - FSA Insured No Opt. Call AAA 1,569,375 3,135 0.000%, 5/15/24 - FSA Insured No Opt. Call AAA 1,503,201 3,155 0.000%, 5/15/26 - FSA Insured No Opt. Call AAA 1,377,441 4,145 0.000%, 11/15/26 - FSA Insured No Opt. Call AAA 1,770,744 2,800 0.000%, 5/15/28 - FSA Insured No Opt. Call AAA 1,113,644 3,000 0.000%, 11/15/28 - FSA Insured No Opt. Call AAA 1,167,330
23 Nuveen Performance Plus Municipal Fund, Inc. (NPP) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA (continued) $ 2,845 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- $ 2,957,349 Resource Recovery Revenue Refunding Bonds, Panther Creek Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative Minimum Tax) 11,000 Delaware County Authority, Pennsylvania, Revenue Bonds, 11/08 at 102.00 AAA 11,276,760 Catholic Health East, Series 1998A, 4.875%, 11/15/18 - AMBAC Insured Pennsylvania Economic Development Financing Authority, Senior Lien Resource Recovery Revenue Bonds, Northampton Generating Project, Series 1994A: 1,400 6.400%, 1/01/09 (Alternative Minimum Tax) 7/07 at 100.00 BB+ 1,401,316 4,500 6.500%, 1/01/13 (Alternative Minimum Tax) 7/07 at 100.00 BB+ 4,569,255 500 Pennsylvania Economic Development Financing Authority, 7/07 at 100.00 N/R 500,025 Subordinate Resource Recovery Revenue Bonds, Northampton Generating Project, Series 1994C, 6.875%, 1/01/11 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 42,730 Total Pennsylvania 30,851,909 - ------------------------------------------------------------------------------------------------------------------------------------ PUERTO RICO - 0.1% (0.1% OF TOTAL INVESTMENTS) 1,250 Puerto Rico Highway and Transportation Authority, Highway 7/10 at 101.00 AAA 1,343,025 Revenue Bonds, Series 2000B, 5.875%, 7/01/21 (Pre-refunded 7/01/10) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ RHODE ISLAND - 1.2% (0.8% OF TOTAL INVESTMENTS) 2,000 Kent County Water Authority, Rhode Island, General Revenue 7/12 at 100.00 AAA 2,095,000 Bonds, Series 2002A, 5.000%, 7/15/23 - MBIA Insured Rhode Island Health and Educational Building Corporation, Revenue Refunding Bonds, Salve Regina University, Series 2002: 1,260 5.250%, 3/15/17 - RAAI Insured 3/12 at 101.00 AA 1,340,325 1,080 5.250%, 3/15/18 - RAAI Insured 3/12 at 101.00 AA 1,146,388 7,000 Rhode Island Housing and Mortgage Finance Corporation, 10/14 at 100.00 AA+ 7,054,390 Homeownership Opportunity Bond Program, Series 50A, 4.650%, 10/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ 11,340 Total Rhode Island 11,636,103 - ------------------------------------------------------------------------------------------------------------------------------------ SOUTH CAROLINA - 4.3% (2.9% OF TOTAL INVESTMENTS) 2,625 Medical University Hospital Authority, South Carolina, 8/14 at 100.00 AAA 2,802,345 FHA-Insured Mortgage Revenue Bonds, Series 2004A, 5.250%, 2/15/25 - MBIA Insured 22,855 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call AAA 8,026,905 Revenue Bonds, Series 2004A-2, 0.000%, 1/01/31 - AMBAC Insured 6,925 South Carolina, General Obligation Bonds, Series 1999A, 10/09 at 101.00 Aaa 6,995,427 4.000%, 10/01/14 21,000 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 22,335,177 Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.000%, 5/15/22 - ------------------------------------------------------------------------------------------------------------------------------------ 53,405 Total South Carolina 40,159,854 - ------------------------------------------------------------------------------------------------------------------------------------ TENNESSEE - 1.3% (0.8% OF TOTAL INVESTMENTS) 2,860 Johnson City Health and Educational Facilities Board, Tennessee, 7/23 at 100.00 AAA 2,942,282 Hospital Revenue Refunding and Improvement Bonds, Johnson City Medical Center, Series 1998C, 5.125%, 7/01/25 (Pre-refunded 7/01/23) - MBIA Insured 1,700 Memphis-Shelby County Airport Authority, Tennessee, Airport 3/10 at 101.00 AAA 1,803,751 Revenue Bonds, Series 1999D, 6.000%, 3/01/24 - AMBAC Insured (Alternative Minimum Tax) 6,000 Metropolitan Government of Nashville-Davidson County Health and 12/17 at 100.00 AAA 7,063,320 Educational Facilities Board, Tennessee, Revenue Refunding and Improvement Bonds, Meharry Medical College, Series 1996, 6.000%, 12/01/19 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 10,560 Total Tennessee 11,809,353 - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS - 6.6% (4.4% OF TOTAL INVESTMENTS) 3,975 Bell County Health Facilities Development Corporation, Texas, 2/10 at 101.00 AAA 4,259,133 Revenue Bonds, Scott and White Memorial Hospital and Scott, Sherwood and Brindley Foundation, Series 2000A, 6.125%, 8/15/23 (Pre-refunded 2/15/10) - MBIA Insured 5,000 Bexar Metropolitan Water District, Texas, Waterworks System 5/16 at 100.00 AAA 5,268,550 Revenue Bonds, Series 2006, 5.000%, 5/01/35 - MBIA Insured
24
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS (continued) Central Texas Regional Mobility Authority, Travis and Williamson Counties, Toll Road Revenue Bonds, Series 2005: $ 4,000 5.000%, 1/01/35 - FGIC Insured 1/15 at 100.00 AAA $ 4,174,400 3,000 5.000%, 1/01/45 - FGIC Insured 1/15 at 100.00 AAA 3,107,040 1,000 Fort Worth, Texas, Water and Sewerage Revenue Bonds, 2/08 at 100.00 AA (4) 1,012,550 Series 1998, 5.250%, 2/15/15 (Pre-refunded 2/15/08) 1,000 Harlingen Independent School District, Cameron County, Texas, 8/09 at 100.00 AAA 1,043,410 Unlimited Tax School Building Bonds, Series 1999, 5.650%, 8/15/29 (Pre-refunded 8/15/09) 1,625 Harris County Health Facilities Development Corporation, Texas, 7/09 at 101.00 AAA 1,694,258 Revenue Bonds, Christus Health, Series 1999A, 5.375%, 7/01/24 (Pre-refunded 7/01/09) - MBIA Insured 4,000 Houston Community College, Texas, Limited Tax General 2/13 at 100.00 AAA 4,171,120 Obligation Bonds, Series 2003, 5.000%, 2/15/27 - AMBAC Insured 3,885 Houston Independent School District, Public Facility No Opt. Call AAA 2,314,333 Corporation, Harris County, Texas, Lease Revenue Bonds, Cesar E. Chavez High School, Series 1998A, 0.000%, 9/15/19 - AMBAC Insured 33,855 Leander Independent School District, Williamson and Travis 8/14 at 23.67 AAA 5,714,385 Counties, Texas, General Obligation Bonds, Series 2006, 0.000%, 8/15/40 Leander Independent School District, Williamson and Travis Counties, Texas, Unlimited Tax School Building and Refunding Bonds, Series 1998: 4,930 0.000%, 8/15/20 8/07 at 49.08 AAA 2,383,803 3,705 0.000%, 8/15/22 8/07 at 43.67 AAA 1,593,706 285 Lubbock Housing Finance Corporation, Texas, GNMA Mortgage-Backed 6/07 at 102.00 AAA 287,100 Securities Program Single Family Mortgage Revenue Refunding Bonds, Series 1997A, 6.125%, 12/01/17 3,480 Pearland, Texas, General Obligation Bonds, Series 2002, 3/12 at 100.00 AAA 3,614,398 5.000%, 3/01/27 - FGIC Insured 6,835 San Antonio, Texas, Electric and Gas System Revenue 2/09 at 100.00 Aa1 6,863,707 Refunding Bonds, New Series 1998A, 4.500%, 2/01/21 6,000 Spring Branch Independent School District, Harris County, 2/11 at 100.00 AAA 6,295,620 Texas, Limited Tax Schoolhouse and Refunding Bonds, Series 2001, 5.125%, 2/01/26 (Pre-refunded 2/01/11) 4,000 Tarrant Regional Water District, Texas, Water Revenue 3/13 at 100.00 AAA 4,187,080 Refunding and Improvement Bonds, Series 1999, 5.000%, 3/01/22 - FSA Insured 1,740 Texas, General Obligation Bonds, Water Financial Assistance, 8/09 at 100.00 AAA 1,798,986 State Participation Program, Series 1999C, 5.500%, 8/01/29 - MBIA Insured 1,690 Webb County, Laredo, Texas, Combination Tax and Sewer System, 2/08 at 100.00 AAA 1,695,966 Revenue Certificates of Obligation, Series 1998A, 4.500%, 2/15/18 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 94,005 Total Texas 61,479,545 - ------------------------------------------------------------------------------------------------------------------------------------ UTAH - 4.2% (2.8% OF TOTAL INVESTMENTS) 3,315 Intermountain Power Agency, Utah, Power Supply Revenue 7/07 at 102.00 AAA 3,391,809 Refunding Bonds, Series 1997B, 5.750%, 7/01/19 (Pre-refunded 7/01/07) - MBIA Insured 6,685 Intermountain Power Agency, Utah, Power Supply Revenue 7/07 at 102.00 AAA 6,840,493 Refunding Bonds, Series 1997B, 5.750%, 7/01/19 - MBIA Insured Utah County, Utah, Hospital Revenue Bonds, IHC Health Services Inc., Series 1997: 12,885 5.250%, 8/15/21 - MBIA Insured (ETM) 8/07 at 101.00 AAA 13,068,998 3,900 5.250%, 8/15/26 - MBIA Insured (ETM) 8/07 at 101.00 AAA 3,955,692 3,255 Utah Housing Corporation, Single Family Mortgage Bonds, 1/12 at 100.00 AA- 3,367,363 Series 2002A-1, 5.300%, 7/01/18 (Alternative Minimum Tax) 20 Utah Housing Finance Agency, Single Family Mortgage Bonds, 1/10 at 100.00 AA 20,389 Series 2000B, 6.250%, 7/01/22 (Alternative Minimum Tax) 1,445 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/10 at 100.00 AA- 1,448,309 Series 2000D-1, 6.050%, 7/01/14 (Alternative Minimum Tax) 635 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/10 at 100.00 AA 646,779 Series 2000E-1, Class II, 6.150%, 1/01/27 (Alternative Minimum Tax) 1,755 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/10 at 100.00 Aa1 1,763,196 Series 2000E-1, Class III, 6.000%, 1/01/15 (Alternative Minimum Tax)
25 Nuveen Performance Plus Municipal Fund, Inc. (NPP) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ UTAH (continued) $ 895 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/11 at 100.00 AA $ 917,563 Series 2001A-2, 5.650%, 7/01/27 (Alternative Minimum Tax) 705 Utah Housing Finance Agency, Single Family Mortgage 1/11 at 100.00 Aaa 716,618 Bonds, Series 2001B-1, 5.750%, 7/01/19 (Alternative Minimum Tax) 3,000 Utah Water Finance Agency, Revenue Bonds, Pooled Loan 10/12 at 100.00 Aaa 3,179,490 Financing Program, Series 2002C, 5.250%, 10/01/28 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 38,495 Total Utah 39,316,699 - ------------------------------------------------------------------------------------------------------------------------------------ VIRGIN ISLANDS - 0.8% (0.6% OF TOTAL INVESTMENTS) 4,700 Virgin Islands Public Finance Authority, Gross Receipts 10/14 at 100.00 AA 4,917,563 Taxes Loan Note, Series 2003, 5.000%, 10/01/33 - RAAI Insured 2,500 Virgin Islands Public Finance Authority, Revenue Bonds, 1/14 at 100.00 BBB 2,759,650 Refinery Project - Hovensa LLC, Series 2003, 6.125%, 7/01/22 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 7,200 Total Virgin Islands 7,677,213 - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON - 5.0% (3.3% OF TOTAL INVESTMENTS) 12,235 Chelan County Public Utility District 1, Washington, No Opt. Call AAA 5,242,575 Columbia River-Rock Island Hydro-Electric System Revenue Refunding Bonds, Series 1997A, 0.000%, 6/01/26 - MBIA Insured 3,100 Cowlitz County Public Utilities District 1, Washington, 9/14 at 100.00 AAA 3,252,024 Electric Production Revenue Bonds, Series 2004, 5.000%, 9/01/28 - FGIC Insured 5,000 Energy Northwest, Washington, Electric Revenue Refunding 7/13 at 100.00 Aaa 5,430,350 Bonds, Nuclear Project 1, Series 2003A, 5.500%, 7/01/16 10,000 Washington State Healthcare Facilities Authority, Revenue 10/16 at 100.00 AAA 10,030,000 Bonds, Providence Health Care Services, Series 2006A, 4.625%, 10/01/34 - FGIC Insured 4,685 Washington State Healthcare Facilities Authority, Revenue 12/09 at 101.00 AAA 4,921,077 Bonds, Providence Services, Series 1999, 5.375%, 12/01/19 (Pre-refunded 12/01/09) - MBIA Insured 5,000 Washington State Housing Finance Commission, Non-Profit 7/09 at 101.00 AA 5,247,100 Housing Revenue Bonds, Kline Galland Center, Series 1999, 6.000%, 7/01/29 - RAAI Insured 12,000 Washington, Motor Vehicle Fuel Tax General Obligation 1/11 at 100.00 Aa1 12,475,320 Bonds, Series 2001D, 5.250%, 1/01/26 - ------------------------------------------------------------------------------------------------------------------------------------ 52,020 Total Washington 46,598,446 - ------------------------------------------------------------------------------------------------------------------------------------ WEST VIRGINIA - 0.6% (0.4% OF TOTAL INVESTMENTS) 5,000 Mason County, West Virginia, Pollution Control Revenue 10/11 at 100.00 BBB 5,260,550 Bonds, Appalachian Power Company, Series 2003L, 5.500%, 10/01/22 - ------------------------------------------------------------------------------------------------------------------------------------
26
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN - 2.2% (1.4% OF TOTAL INVESTMENTS) $ 11,620 Wisconsin Health and Educational Facilities Authority, 2/10 at 101.00 AA $ 12,389,825 Revenue Bonds, Marshfield Clinic, Series 1999, 6.250%, 2/15/29 - RAAI Insured 7,490 Wisconsin Health and Educational Facilities Authority, 7/08 at 103.00 N/R 7,763,460 Revenue Bonds, Millennium Housing Foundation Inc., Series 1998, 6.100%, 1/01/28 - ------------------------------------------------------------------------------------------------------------------------------------ 19,110 Total Wisconsin 20,153,285 - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,528,720 Total Investments (cost $1,302,301,741) - 149.8% 1,397,939,647 ============------------------------------------------------------------------------------------------------------------------------ Floating Rate Obligation - (0.7)% (6,665,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.2% 20,741,128 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (51.3)% (479,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 933,015,775 =====================================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. (3) Ratings: Using the higher of Standard & Poor's or Moody's rating. Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor Service, Inc. are considered to be below investment grade. (4) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensure the timely payment of principal and interest. Such investments are normally considered to be equivalent to AAA rated securities. N/R Not rated. (ETM) Escrowed to maturity. (UB) Underlying bond of an inverse floating rate trust reflected as a financing transaction pursuant to the provisions of SFAS No. 140. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 27 Nuveen Municipal Advantage Fund, Inc. (NMA) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ALABAMA - 3.1% (1.9% OF TOTAL INVESTMENTS) $ 10,000 Jefferson County, Alabama, Sewer Revenue Capital Improvement 2/09 at 101.00 AAA $ 10,382,700 Warrants, Series 1999A, 5.375%, 2/01/36 (Pre-refunded 2/01/09) - FGIC Insured 5,075 Lauderdale County and Florence Healthcare Authority, Alabama, 7/09 at 101.00 AAA 5,256,127 Revenue Bonds, Coffee Health Group, Series 1999A, 5.250%, 7/01/24 - MBIA Insured 5,155 Phenix City Industrial Development Board, Alabama, Environmental 5/12 at 100.00 BBB 5,533,222 Improvement Revenue Bonds, MeadWestvaco Corporation, Series 2002A, 6.350%, 5/15/35 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 20,230 Total Alabama 21,172,049 - ------------------------------------------------------------------------------------------------------------------------------------ ALASKA - 0.4% (0.2% OF TOTAL INVESTMENTS) Alaska Housing Finance Corporation, General Housing Purpose Bonds, Series 2005A: 1,125 5.250%, 12/01/34 - FGIC Insured 12/14 at 100.00 AAA 1,202,906 1,280 5.250%, 12/01/41 - FGIC Insured 12/14 at 100.00 AAA 1,358,374 - ------------------------------------------------------------------------------------------------------------------------------------ 2,405 Total Alaska 2,561,280 - ------------------------------------------------------------------------------------------------------------------------------------ ARIZONA - 0.7% (0.5% OF TOTAL INVESTMENTS) 5,000 Maricopa County Pollution Control Corporation, Arizona, 5/07 at 100.50 BBB 5,032,400 Remarketed Revenue Refunding Bonds, Public Service Company of New Mexico, Series 1992A, 5.750%, 11/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA - 12.7% (8.0% OF TOTAL INVESTMENTS) 2,500 Alameda Corridor Transportation Authority, California, 10/17 at 100.00 AAA 2,068,875 Subordinate Lien Revenue Bonds, Series 2004A, 0.000%, 10/01/25 - AMBAC Insured Calexico Unified School District, Imperial County, California, General Obligation Bonds, Series 2005B: 4,070 0.000%, 8/01/32 - FGIC Insured No Opt. Call AAA 1,322,954 6,410 0.000%, 8/01/34 - FGIC Insured No Opt. Call AAA 1,906,142 3,000 California Health Facilities Financing Authority, Health Facility 3/13 at 100.00 A 3,056,010 Revenue Bonds, Adventist Health System/West, Series 2003A, 5.000%, 3/01/33 7,500 California State Public Works Board, Lease Revenue Bonds, 6/14 at 100.00 A 7,890,600 Department of Mental Health, Coalinga State Hospital, Series 2004A, 5.125%, 6/01/29 9,955 Capistrano Unified School District, Orange County, California, No Opt. Call AAA 3,394,755 Special Tax Bonds, Community Facilities District, Series 2005, 0.000%, 9/01/31 - FGIC Insured Colton Joint Unified School District, San Bernardino County, California, General Obligation Bonds, Series 2006C: 3,800 0.000%, 2/01/33 - FGIC Insured 2/15 at 38.73 AAA 1,025,012 3,795 0.000%, 2/01/37 - FGIC Insured No Opt. Call AAA 1,000,931 7,535 Contra Costa County, California, GNMA Mortgage-Backed Securities No Opt. Call AAA 9,634,100 Program Home Mortgage Revenue Bonds, Series 1989, 7.750%, 5/01/22 (Alternative Minimum Tax) (ETM) 8,145 Cupertino Union School District, Santa Clara County, California, 8/13 at 55.54 AAA 3,424,973 General Obligation Bonds, Series 2003B, 0.000%, 8/01/25 - FGIC Insured 2,990 East Bay Municipal Utility District, Alameda and Contra Costa 6/07 at 100.00 AAA 2,991,346 Counties, California, Water System Subordinated Revenue Refunding Bonds, Series 1996, 4.750%, 6/01/21 - FGIC Insured 2,000 Folsom Cordova Unified School District, Sacramento County, No Opt. Call AAA 779,140 California, General Obligation Bonds, School Facilities Improvement District 1, Series 2004B, 0.000%, 10/01/28 - MBIA Insured 3,360 Folsom Cordova Unified School District, Sacramento County, No Opt. Call AAA 1,393,930 California, General Obligation Bonds, School Facilities Improvement District 2, Series 2002A, 0.000%, 7/01/27 - MBIA Insured 2,315 Gateway Unified School District, California, General Obligation No Opt. Call AAA 735,962 Bonds, Series 2004B, 0.000%, 8/01/32 - FGIC Insured
28
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA (continued) $ 1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB $ 1,003,080 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 3,000 Golden State Tobacco Securitization Corporation, California, No Opt. Call AAA 1,302,390 Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 0.000%, 6/01/26 - FSA Insured 1,275 Madera Unified School District, Madera County, California, 8/12 at 100.00 AAA 1,358,462 General Obligation Bonds, Series 2002, 5.250%, 8/01/23 - FSA Insured North Orange County Community College District, California, General Obligation Bonds, Series 2003B: 7,735 0.000%, 8/01/25 - FGIC Insured No Opt. Call AAA 3,488,794 4,000 0.000%, 8/01/26 - FGIC Insured No Opt. Call AAA 1,723,880 5,000 Palmdale Community Redevelopment Agency, California, Residential No Opt. Call AAA 5,673,150 Mortgage Revenue Refunding Bonds, Series 1991B, 7.375%, 2/01/12 (ETM) 5,000 Palmdale Community Redevelopment Agency, California, Single No Opt. Call AAA 6,534,750 Family Restructured Mortgage Revenue Bonds, Series 1986A, 8.000%, 3/01/16 (Alternative Minimum Tax) (ETM) 9,315 Perris, California, GNMA Mortgage-Backed Securities Program No Opt. Call AAA 11,493,779 Single Family Mortgage Revenue Bonds, Series 1989A, 7.600%, 1/01/23 (Alternative Minimum Tax) (ETM) 7,660 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 3,756,770 California, Senior Lien Toll Road Revenue Bonds, Series 1993, 0.000%, 1/01/24 (ETM) 23,000 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 6,830,540 California, Toll Road Revenue Refunding Bonds, Series 1997A, 0.000%, 1/15/35 - MBIA Insured 7,250 San Jose-Evergreen Community College District, Santa Clara 9/15 at 100.00 AAA 2,366,980 County, California, General Obligation Bonds, Series 2005A, 0.000%, 9/01/29 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 141,610 Total California 86,157,305 - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO - 7.5% (4.7% OF TOTAL INVESTMENTS) 8,350 Colorado Health Facilities Authority, Remarketed Revenue Bonds, 7/07 at 101.50 AAA 8,527,354 Kaiser Permanente System, Series 1994A, 5.350%, 11/01/16 (ETM) 9,440 Colorado Health Facilities Authority, Revenue Bonds, Catholic 9/16 at 100.00 AA 9,199,469 Health Initiatives, Series 2006A, 4.500%, 9/01/38 Denver City and County, Colorado, Airport Revenue Bonds, Series 2006: 5,365 5.000%, 11/15/23 - FGIC Insured (UB) 11/16 at 100.00 AAA 5,723,382 3,300 5.000%, 11/15/24 - FGIC Insured (UB) 11/16 at 100.00 AAA 3,515,094 1,445 6.601%, 11/15/25 - FGIC Insured (IF) 11/16 at 100.00 AAA 1,723,986 2,000 Denver Convention Center Hotel Authority, Colorado, Senior 11/16 at 100.00 AAA 2,051,540 Revenue Bonds, Convention Center Hotel, Series 2006, 4.750%, 12/01/35 - XLCA Insured E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 1997B: 2,650 0.000%, 9/01/16 - MBIA Insured No Opt. Call AAA 1,813,051 8,645 0.000%, 9/01/26 - MBIA Insured No Opt. Call AAA 3,705,247 1,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 102.00 AAA 1,080,270 Series 2000A, 5.750%, 9/01/35 (Pre-refunded 9/01/10) - MBIA Insured E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2000B: 7,500 0.000%, 9/01/29 - MBIA Insured No Opt. Call AAA 2,812,350 10,000 0.000%, 9/01/32 - MBIA Insured No Opt. Call AAA 3,262,600 Platte River Power Authority, Colorado, Power Revenue Refunding Bonds, Series 2002EE: 1,030 5.375%, 6/01/17 (Pre-refunded 6/01/12) 6/12 at 100.00 Aa2 (4) 1,110,917 4,890 5.375%, 6/01/18 (Pre-refunded 6/01/12) 6/12 at 100.00 Aa2 (4) 5,274,158 Platte River Power Authority, Colorado, Power Revenue Refunding Bonds, Series 2002EE: 970 5.375%, 6/01/17 6/12 at 100.00 AA 1,040,296 110 5.375%, 6/01/18 6/12 at 100.00 AA 117,966 - ------------------------------------------------------------------------------------------------------------------------------------ 66,695 Total Colorado 50,957,680 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRICT OF COLUMBIA - 0.4% (0.2% OF TOTAL INVESTMENTS) 1,725 District of Columbia Housing Finance Agency, GNMA/FNMA Single 6/07 at 102.00 AAA 1,751,048 Family Mortgage Revenue Bonds, Series 1997B, 5.900%, 12/01/28 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------
29 Nuveen Municipal Advantage Fund, Inc. (NMA) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ FLORIDA - 4.2% (2.6% OF TOTAL INVESTMENTS) $ 2,770 Florida Housing Finance Corporation, Housing Revenue Bonds, 12/10 at 100.00 AAA $ 2,867,144 Stratford Point Apartments, Series 2000O-1, 5.850%, 12/01/31 - FSA Insured (Alternative Minimum Tax) 14,730 South Miami Florida Health Facilities Authority, Hospital 8/17 at 100.00 AA- 15,128,593 Revenue, Baptist Health System Obligation Group, Series 2007, 5.000%, 8/15/42 (WI/DD, Settling 5/16/07) 10,130 Tampa, Florida, Healthcare System Revenue Bonds, Allegany Health 6/07 at 100.00 AAA 10,189,767 System - St. Mary's Hospital, Series 1993, 5.125%, 12/01/23 - MBIA Insured (ETM) - ------------------------------------------------------------------------------------------------------------------------------------ 27,630 Total Florida 28,185,504 - ------------------------------------------------------------------------------------------------------------------------------------ GEORGIA - 0.6% (0.4% OF TOTAL INVESTMENTS) 4,000 Augusta, Georgia, Water and Sewerage Revenue Bonds, Series 2004, 10/14 at 100.00 AAA 4,298,200 5.250%, 10/01/39 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ HAWAII - 0.4% (0.3% OF TOTAL INVESTMENTS) 2,215 Hawaii Housing and Community Development Corporation, GNMA 7/10 at 102.00 AAA 2,325,484 Collateralized Multifamily Housing Revenue Bonds, Sunset Villas, Series 2000, 5.700%, 7/20/31 650 Hawaii Housing Finance and Development Corporation, Single Family 7/07 at 102.00 AAA 652,789 Mortgage Purchase Revenue Bonds, Series 1997A, 5.750%, 7/01/30 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 2,865 Total Hawaii 2,978,273 - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS - 16.2% (10.2% OF TOTAL INVESTMENTS) 12,500 Chicago Board of Education, Illinois, Unlimited Tax General 12/07 at 102.00 AAA 12,833,375 Obligation Bonds, Dedicated Tax Revenues, Series 1997A, 5.250%, 12/01/27 - AMBAC Insured 4,000 Chicago Board of Education, Illinois, Unlimited Tax General 12/07 at 102.00 AAA 4,125,200 Obligation Bonds, Dedicated Tax Revenues, Series 1997, 5.750%, 12/01/20 (Pre-refunded 12/01/07) - AMBAC Insured 3,510 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AAA 1,368,900 Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1, 0.000%, 12/01/28 - FGIC Insured 2,720 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AAA 923,984 Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 0.000%, 12/01/31 - FGIC Insured 5,865 Chicago, Illinois, General Obligation Bonds, Neighborhoods 7/10 at 101.00 AAA 6,404,639 Alive 21 Program, Series 2000A, 6.500%, 1/01/35 (Pre-refunded 7/01/10) - FGIC Insured 5,000 Chicago, Illinois, Second Lien Passenger Facility Charge Revenue 1/11 at 101.00 AAA 5,231,600 Bonds, O'Hare International Airport, Series 2001A, 5.375%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 5,000 Chicago, Illinois, Second Lien Wastewater Transmission Revenue 1/08 at 102.00 AAA 5,149,600 Bonds, Series 1997, 5.250%, 1/01/28 (Pre-refunded 1/01/08) - AMBAC Insured 6,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Baa2 6,336,180 Medical Center, Series 2002, 5.750%, 5/15/22 6,165 Illinois Health Facilities Authority, Revenue Bonds, Sarah Bush 8/07 at 102.00 A 6,294,033 Lincoln Health Center, Series 1996B, 5.750%, 2/15/22 4,210 Illinois Health Facilities Authority, Revenue Bonds, Victory 8/07 at 101.00 N/R (4) 4,269,824 Health Services, Series 1997A, 5.375%, 8/15/16 (Pre-refunded 8/15/07) 10,740 Lake and McHenry Counties Community Unit School District 118, 1/15 at 66.94 Aaa 5,126,095 Wauconda, Illinois, General Obligation Bonds, Series 2005B, 0.000%, 1/01/23 - FSA Insured 1,090 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 599,304 Bonds, McCormick Place Expansion Project, Series 1993A, 0.000%, 6/15/21 - FGIC Insured Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, McCormick Place Expansion Project, Series 1999A: 13,455 5.500%, 12/15/24 - FGIC Insured 12/09 at 101.00 AAA 14,118,466 10,430 5.250%, 12/15/28 - FGIC Insured 12/09 at 101.00 AAA 10,845,323 3,175 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 697,484 Bonds, McCormick Place Expansion Project, Series 2002A, 0.000%, 6/15/41 - MBIA Insured 6,000 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 2,876,220 Refunding Bonds, McCormick Place Expansion Project, Series 1996A, 0.000%, 6/15/24 - MBIA Insured 4,600 Regional Transportation Authority, Cook, DuPage, Kane, Lake, No Opt. Call AAA 5,684,174 McHenry and Will Counties, Illinois, General Obligation Bonds, Series 1990A, 7.200%, 11/01/20 - AMBAC Insured
30
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS (continued) $ 1,940 University of Illinois, Auxiliary Facilities Systems Revenue Bonds, 4/13 at 100.00 AAA $ 2,031,917 Series 2003A, 5.000%, 4/01/23 - AMBAC Insured 7,500 Valley View Public Schools, Community Unit School District 365U of No Opt. Call AAA 3,358,275 Will County, Illinois, General Obligation Bonds, Series 2005, 0.000%, 11/01/25 - MBIA Insured 23,125 Will County Community High School District 210 Lincoln-Way, No Opt. Call Aaa 11,267,656 Illinois, General Obligation Bonds, Series 2006, 0.000%, 1/01/24 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 137,025 Total Illinois 109,542,249 - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA - 3.5% (2.2% OF TOTAL INVESTMENTS) 5,205 Indiana Health Facility Financing Authority, Hospital Revenue 8/10 at 101.50 AAA 5,553,371 Bonds, Clarian Health Obligated Group, Series 2000A, 5.500%, 2/15/30 (Pre-refunded 8/15/10) - MBIA Insured 9,000 Indiana Health Facility Financing Authority, Hospital Revenue 5/07 at 101.00 AAA 9,097,830 Refunding and Improvement Bonds, Community Hospitals of Indiana, Series 1995, 5.700%, 5/15/22 (Pre-refunded 5/17/07) - MBIA Insured 6,075 LaGrange County Jail Building Corporation, Indiana, First 10/09 at 101.00 A3 (4) 6,369,455 Mortgage Jail Bonds, Series 1998, 5.400%, 10/01/21 (Pre-refunded 10/01/09) 2,330 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/09 at 102.00 BBB 2,417,725 Madison Center Inc., Series 1999, 5.450%, 2/15/12 - ------------------------------------------------------------------------------------------------------------------------------------ 22,610 Total Indiana 23,438,381 - ------------------------------------------------------------------------------------------------------------------------------------ KANSAS - 1.8% (1.1% OF TOTAL INVESTMENTS) 5,000 Burlington, Kansas, Environmental Improvement Revenue Bonds, No Opt. Call A3 5,015,950 Kansas City Power and Light Company Project, Series 1998A, 4.750%, 9/01/15 (Mandatory put 10/01/07) 4,935 Kansas Department of Transportation, Highway Revenue Bonds, 3/14 at 100.00 AAA 5,242,549 Series 2004A, 5.000%, 3/01/22 1,750 Wamego, Kansas, Pollution Control Revenue Bonds, Kansas Gas and 6/14 at 100.00 AAA 1,875,160 Electric Company, Series 2004, 5.300%, 6/01/31 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 11,685 Total Kansas 12,133,659 - ------------------------------------------------------------------------------------------------------------------------------------ KENTUCKY - 1.6% (1.0% OF TOTAL INVESTMENTS) 5,500 Louisville and Jefferson County Metropolitan Sewer District, 5/07 at 101.00 AAA 5,560,445 Kentucky, Sewer and Drainage System Revenue Bonds, Series 1997A, 5.250%, 5/15/27 - MBIA Insured 4,950 Louisville and Jefferson County Metropolitan Sewer District, 11/07 at 101.00 AAA 5,031,329 Kentucky, Sewer and Drainage System Revenue Bonds, Series 1997B, 5.200%, 5/15/25 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 10,450 Total Kentucky 10,591,774 - ------------------------------------------------------------------------------------------------------------------------------------ LOUISIANA - 12.0% (7.5% OF TOTAL INVESTMENTS) 13,500 DeSoto Parish, Louisiana, Pollution Control Revenue Refunding 9/09 at 102.00 AAA 14,348,204 Bonds, Cleco Utility Group Inc. Project, Series 1999, 5.875%, 9/01/29 - AMBAC Insured 7,190 Louisiana Public Facilities Authority, Extended Care Facilities No Opt. Call BBB 8,924,588 Revenue Bonds, Comm-Care Corporation Project, Series 1994, 11.000%, 2/01/14 805 Louisiana Public Facilities Authority, Extended Care Facilities No Opt. Call N/R (4) 1,001,203 Revenue Bonds, Comm-Care Corporation Project, Series 1994, 11.000%, 2/01/14 (ETM) 6,650 Louisiana Public Facilities Authority, Revenue Bonds, Baton Rouge 7/14 at 100.00 AAA 7,063,231 General Hospital, Series 2004, 5.250%, 7/01/33 - MBIA Insured 20,775 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 2006, 5/16 at 100.00 AAA 20,437,199 4.500%, 5/01/41 - FGIC Insured (UB) 10,000 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 2006, 5/16 at 100.00 AAA 10,529,500 5.000%, 5/01/41 - FGIC Insured (UB) Tobacco Settlement Financing Corporation, Louisiana, Tobacco Settlement Asset-Backed Bonds, Series 2001B: 6,000 5.500%, 5/15/30 5/11 at 101.00 BBB 6,272,520 11,750 5.875%, 5/15/39 5/11 at 101.00 BBB 12,548,413 - ------------------------------------------------------------------------------------------------------------------------------------ 76,670 Total Louisiana 81,124,858 - ------------------------------------------------------------------------------------------------------------------------------------
31 Nuveen Municipal Advantage Fund, Inc. (NMA) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MASSACHUSETTS - 1.4% (0.9% OF TOTAL INVESTMENTS) $ 1,750 Massachusetts Health and Educational Facilities Authority, Revenue 1/09 at 101.00 AAA $ 1,790,705 Bonds, UMass Memorial Healthcare, Series 1998A, 5.000%, 7/01/28 - AMBAC Insured 605 Massachusetts Housing Finance Agency, Single Family Housing 12/09 at 100.00 AAA 615,715 Revenue Bonds, Series 77, 5.950%, 6/01/25 - FSA Insured (Alternative Minimum Tax) Massachusetts Turnpike Authority, Metropolitan Highway System Revenue Bonds, Senior Series 1997A: 2,000 5.125%, 1/01/17 - MBIA Insured 1/09 at 100.00 AAA 2,042,040 5,000 5.000%, 1/01/37 - MBIA Insured 7/07 at 102.00 AAA 5,074,850 - ------------------------------------------------------------------------------------------------------------------------------------ 9,355 Total Massachusetts 9,523,310 - ------------------------------------------------------------------------------------------------------------------------------------ MICHIGAN - 1.7% (1.0% OF TOTAL INVESTMENTS) Michigan State Hospital Finance Authority, Hospital Revenue Bonds, Detroit Medical Center Obligated Group, Series 1998A: 4,995 5.250%, 8/15/23 8/08 at 101.00 BB- 5,011,134 3,000 5.250%, 8/15/28 8/08 at 101.00 BB- 3,001,980 3,275 Michigan State Hospital Finance Authority, Revenue Refunding Bonds, 8/07 at 100.00 BB- 3,277,489 Detroit Medical Center Obligated Group, Series 1993A, 6.500%, 8/15/18 - ------------------------------------------------------------------------------------------------------------------------------------ 11,270 Total Michigan 11,290,603 - ------------------------------------------------------------------------------------------------------------------------------------ MINNESOTA - 1.4% (0.9% OF TOTAL INVESTMENTS) 5,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 AAA 5,266,000 Subordinate Airport Revenue Bonds, Series 2001C, 5.250%, 1/01/32 (Pre-refunded 1/01/11) - FGIC Insured 2,375 Minnesota Housing Finance Agency, Single Family Mortgage Revenue 7/09 at 100.00 AA+ 2,393,121 Bonds, Series 2000C, 5.550%, 7/01/24 (Alternative Minimum Tax) 1,795 Minnesota Housing Finance Agency, Single Family Mortgage Revenue 1/10 at 100.00 AA+ 1,806,326 Bonds, Series 2000J, 5.400%, 1/01/23 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 9,170 Total Minnesota 9,465,447 - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI - 2.7% (1.7% OF TOTAL INVESTMENTS) 12,005 Kansas City Municipal Assistance Corporation, Missouri, Leasehold No Opt. Call AAA 4,606,559 Revenue Bonds, Series 2004B-1, 0.000%, 4/15/29 - AMBAC Insured 11,000 Missouri Health and Educational Facilities Authority, Revenue 6/11 at 100.00 AAA 11,583,330 Bonds, Washington University, Series 2001A, 5.125%, 6/15/41 (Pre-refunded 6/15/11) 175 Missouri Housing Development Commission, Single Family Mortgage 9/09 at 102.00 AAA 183,234 Revenue Bonds, Homeownership Loan Program, Series 2000A-1, 7.500%, 3/01/31 (Alternative Minimum Tax) 1,500 Missouri-Illinois Metropolitan District Bi-State Development 10/13 at 100.00 AAA 1,572,015 Agency, Mass Transit Sales Tax Appropriation Bonds, Metrolink Cross County Extension Project, Series 2002B, 5.000%, 10/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 24,680 Total Missouri 17,945,138 - ------------------------------------------------------------------------------------------------------------------------------------ MONTANA - 1.0% (0.7% OF TOTAL INVESTMENTS) 6,920 Montana Board of Housing, Single Family Mortgage Bonds, 6/07 at 101.50 AA+ 7,031,204 Series 1997A-1, 6.050%, 12/01/37 - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA - 5.9% (3.7% OF TOTAL INVESTMENTS) 7,310 Clark County, Nevada, Limited Tax General Obligation Bank Bonds, 7/10 at 100.00 AA+ (4) 7,703,059 Series 2000, 5.500%, 7/01/19 (Pre-refunded 7/01/10) 7,500 Clark County, Nevada, Subordinate Lien Airport Revenue Bonds, 7/10 at 101.00 AAA 8,081,250 Series 1999A, 6.000%, 7/01/29 (Pre-refunded 7/01/10) - MBIA Insured 7,910 Director of Nevada State Department of Business and Industry, 1/10 at 100.00 AAA 8,162,092 Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured 15,000 Henderson, Nevada, Healthcare Facility Revenue Refunding Bonds, 7/17 at 100.00 A 15,759,000 Catholic Healthcare West, Series 2007B, 5.250%, 7/01/31 (UB)
32
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA (continued) $ 360 Nevada Housing Division, Single Family Mortgage Bonds, Senior 10/07 at 102.00 Aaa $ 362,444 Series 1997C-2, 5.750%, 4/01/29 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 38,080 Total Nevada 40,067,845 - ------------------------------------------------------------------------------------------------------------------------------------ NEW JERSEY - 4.0% (2.5% OF TOTAL INVESTMENTS) 15,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 5,364,600 System Bonds, Series 2006C, 0.000%, 12/15/30 - FGIC Insured Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2002: 13,045 5.750%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 13,946,410 5,050 6.125%, 6/01/42 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 5,614,085 2,500 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 2,465,250 Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%, 6/01/41 - ------------------------------------------------------------------------------------------------------------------------------------ 35,595 Total New Jersey 27,390,345 - ------------------------------------------------------------------------------------------------------------------------------------ NEW MEXICO - 1.1% (0.7% OF TOTAL INVESTMENTS) 7,500 Farmington, New Mexico, Pollution Control Revenue Refunding Bonds, 10/07 at 100.50 BBB 7,573,275 Public Service Company of New Mexico - San Juan Project, Series 1997B, 5.800%, 4/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK - 15.1% (9.5% OF TOTAL INVESTMENTS) 560 Dormitory Authority of the State of New York, Revenue Bonds, Mental 5/07 at 102.00 AA- 571,906 Health Services Facilities Improvements, Series 1997B, 5.625%, 2/15/21 3,655 Dormitory Authority of the State of New York, Revenue Bonds, State 5/08 at 101.00 AA- (4) 3,747,983 University Educational Facilities, Series 1997, 5.125%, 5/15/27 (Pre-refunded 5/15/08) 440 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 433,950 Series 2006A, 4.500%, 2/15/47 - MBIA Insured 7,000 Metropolitan Transportation Authority, New York, State Service 7/12 at 100.00 AA- 7,320,810 Contract Refunding Bonds, Series 2002A, 5.125%, 1/01/29 Nassau County, New York, General Obligation Improvement Bonds, Series 2000F: 3,980 7.000%, 3/01/11 (Pre-refunded 3/01/10) - FSA Insured 3/10 at 100.00 AAA 4,338,678 4,070 7.000%, 3/01/12 (Pre-refunded 3/01/10) - FSA Insured 3/10 at 100.00 AAA 4,436,788 3,925 7.000%, 3/01/15 (Pre-refunded 3/01/10) - FSA Insured 3/10 at 100.00 AAA 4,278,721 4,975 New York City Industrial Development Agency, New York, Special 12/08 at 102.00 Ba2 4,978,632 Facilities Revenue Bonds, British Airways PLC, Series 1998, 5.250%, 12/01/32 (Alternative Minimum Tax) 3,000 New York City Industrial Development Agency, New York, Special 12/12 at 101.00 Ba2 3,335,520 Facilities Revenue Bonds, British Airways PLC, Series 2002, 7.625%, 12/01/32 (Alternative Minimum Tax) 5,000 New York City Municipal Water Finance Authority, New York, Water 6/07 at 101.00 AAA 5,062,000 and Sewerage System Revenue Bonds, Fiscal Series 1997B, 5.750%, 6/15/29 (Pre-refunded 6/15/07) - FGIC Insured 9,850 New York City Municipal Water Finance Authority, New York, Water 6/09 at 101.00 AAA 10,371,361 and Sewerage System Revenue Bonds, Fiscal Series 2000A, 5.750%, 6/15/31 (Pre-refunded 6/15/09) - FGIC Insured 10,000 New York City Municipal Water Finance Authority, New York, Water 12/14 at 100.00 AAA 10,526,900 and Sewerage System Revenue Bonds, Fiscal Series 2005B, 5.000%, 6/15/36 - FSA Insured 10,000 New York City Transitional Finance Authority, New York, Future Tax 5/10 at 101.00 AAA 10,767,600 Secured Bonds, Fiscal Series 2000B, 6.000%, 11/15/29 (Pre-refunded 5/15/10) 10,000 New York City, New York, General Obligation Bonds, Fiscal Series 10/07 at 101.00 Aaa 10,202,400 1997G, 6.000%, 10/15/26 (Pre-refunded 10/15/07) 7,435 New York City, New York, General Obligation Bonds, Fiscal Series 5/10 at 101.00 AA- (4) 7,952,699 2000A, 5.750%, 5/15/20 (Pre-refunded 5/15/10) 8,305 New York State Mortgage Agency, Homeowner Mortgage Revenue Bonds, 4/10 at 100.00 Aa1 8,574,663 Series 94, 5.800%, 10/01/20 (Alternative Minimum Tax) 5,000 New York State Urban Development Corporation, Service Contract 1/09 at 101.00 AAA 5,240,000 Revenue Bonds, Correctional Facilities, Series 1999C, 6.000%, 1/01/29 (Pre-refunded 1/01/09) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 97,195 Total New York 102,140,611 - ------------------------------------------------------------------------------------------------------------------------------------
33 Nuveen Municipal Advantage Fund, Inc. (NMA) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA - 2.3% (1.4% OF TOTAL INVESTMENTS) $ 1,175 North Carolina Housing Finance Agency, Home Ownership Revenue 7/10 at 100.00 AAA $ 1,198,218 Bonds, 1998 Trust Agreement, Series 10A, 5.400%, 7/01/32 - AMBAC Insured (Alternative Minimum Tax) 6,240 North Carolina Housing Finance Agency, Home Ownership Revenue 7/09 at 100.00 AA 6,406,358 Bonds, 1998 Trust Agreement, Series 7A, 6.250%, 1/01/29 (Alternative Minimum Tax) 2,420 North Carolina Housing Finance Agency, Home Ownership Revenue 1/10 at 100.00 AA 2,441,586 Bonds, 1998 Trust Agreement, Series 8A, 5.950%, 1/01/27 (Alternative Minimum Tax) 5,135 North Carolina Housing Finance Agency, Home Ownership Revenue 1/10 at 100.00 AA 5,270,718 Bonds, 1998 Trust Agreement, Series 9A, 5.875%, 7/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 14,970 Total North Carolina 15,316,880 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH DAKOTA - 0.6% (0.4% OF TOTAL INVESTMENTS) 1,985 North Dakota Housing Finance Agency, Home Mortgage Finance Program 7/08 at 102.00 Aaa 2,008,919 Bonds, Series 1998B, 5.500%, 7/01/29 - MBIA Insured (Alternative Minimum Tax) 2,250 Ward County Health Care, North Dakota, Revenue Bonds, Trinity 7/16 at 100.00 BBB+ 2,321,280 Obligated Group, Series 2006, 5.125%, 7/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ 4,235 Total North Dakota 4,330,199 - ------------------------------------------------------------------------------------------------------------------------------------ OHIO - 4.4% (2.8% OF TOTAL INVESTMENTS) 5,000 Akron, Bath and Copley Joint Township Hospital District, Ohio, 11/09 at 101.00 Baa1 5,134,250 Hospital Facilities Revenue Bonds, Summa Health System, Series 1998A, 5.375%, 11/15/18 6,000 Cuyahoga County, Ohio, Hospital Revenue Bonds, University 7/09 at 101.00 AAA 6,284,220 Hospitals Health System, Series 1999, 5.500%, 1/15/30 (Pre-refunded 7/15/09) - AMBAC Insured Montgomery County, Ohio, Hospital Facilities Revenue Bonds, Kettering Medical Center, Series 1999: 7,840 6.750%, 4/01/18 (Pre-refunded 4/01/10) 4/10 at 101.00 A (4) 8,558,144 5,000 6.750%, 4/01/22 (Pre-refunded 4/01/10) 4/10 at 101.00 A (4) 5,458,000 1,475 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 8/10 at 100.00 Aaa 1,494,131 Program Residential Mortgage Revenue Bonds, Series 2000D, 5.450%, 9/01/31 (Alternative Minimum Tax) 2,650 Ohio, General Obligation Bonds, Higher Education, Series 2003A, 5/13 at 100.00 AA+ 2,782,951 5.000%, 5/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ 27,965 Total Ohio 29,711,696 - ------------------------------------------------------------------------------------------------------------------------------------ OKLAHOMA - 2.6% (1.6% OF TOTAL INVESTMENTS) 2,000 Oklahoma Municipal Power Authority, Power Supply System Revenue 1/17 at 100.00 AAA 1,974,360 Bonds, Series 2007, 4.500%, 1/01/47 - FGIC Insured 2,890 Oklahoma State Industries Authority, Health System Revenue Bonds, 8/09 at 101.00 AAA 3,025,252 Integris Baptist Medical Center, Series 1999A, 5.750%, 8/15/29 - MBIA Insured 2,110 Oklahoma State Industries Authority, Health System Revenue Bonds, 8/09 at 101.00 AAA 2,226,345 Integris Baptist Medical Center, Series 1999A, 5.750%, 8/15/29 (Pre-refunded 8/15/09) - MBIA Insured 10,000 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B 10,104,600 American Airlines Inc., Series 2001B, 5.650%, 12/01/35 (Mandatory put 12/01/08) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 17,000 Total Oklahoma 17,330,557 - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA - 1.4% (0.9% OF TOTAL INVESTMENTS) 1,610 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 1,673,579 Resource Recovery Revenue Refunding Bonds, Panther Creek Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative Minimum Tax) 1,500 Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue 10/16 at 100.00 AA+ 1,485,900 Bonds, Series 96A, 4.650%, 10/01/31 (Alternative Minimum Tax) 2,600 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Series 12/14 at 100.00 AAA 2,865,434 2004A, 5.500%, 12/01/31 - AMBAC Insured 3,240 Washington County Authority, Pennsylvania, Capital Funding Revenue No Opt. Call AAA 3,489,674 Bonds, Capital Projects and Equipment Acquisition Program, Series 1999, 6.150%, 12/01/29 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 8,950 Total Pennsylvania 9,514,587 - ------------------------------------------------------------------------------------------------------------------------------------
34
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ PUERTO RICO - 1.4% (0.9% OF TOTAL INVESTMENTS) $ 5,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, Series 7/15 at 100.00 AAA $ 5,293,400 2005RR, 5.000%, 7/01/26 - XLCA Insured 4,000 Puerto Rico, General Obligation Bonds, Series 2000B, 5.625%, 7/10 at 100.00 AAA 4,240,960 7/01/19 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 9,000 Total Puerto Rico 9,534,360 - ------------------------------------------------------------------------------------------------------------------------------------ RHODE ISLAND - 1.9% (1.2% OF TOTAL INVESTMENTS) 1,235 Rhode Island Health and Educational Building Corporation, Hospital 5/07 at 102.00 AAA 1,261,170 Financing Revenue Bonds, Lifespan Obligated Group, Series 1996, 5.500%, 5/15/16 - MBIA Insured 11,015 Rhode Island Health and Educational Building Corporation, Hospital 5/07 at 102.00 AAA 11,242,680 Financing Revenue Bonds, Lifespan Obligated Group, Series 1996, 5.500%, 5/15/16 (Pre-refunded 5/15/07) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 12,250 Total Rhode Island 12,503,850 - ------------------------------------------------------------------------------------------------------------------------------------ SOUTH CAROLINA - 4.1% (2.6% OF TOTAL INVESTMENTS) 10,000 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- (4) 11,218,800 Purchase Revenue Bonds, Series 2002, 6.000%, 12/01/20 (Pre-refunded 12/01/12) 2,500 Lexington County Health Service District, South Carolina, Hospital 11/13 at 100.00 A+ 2,699,325 Revenue Refunding and Improvement Bonds, Series 2003, 5.750%, 11/01/28 3,000 Myrtle Beach, South Carolina, Hospitality and Accommodation Fee 6/14 at 100.00 AAA 3,135,390 Revenue Bonds, Series 2004A, 5.000%, 6/01/36 - FGIC Insured 1,220 Piedmont Municipal Power Agency, South Carolina, Electric Revenue No Opt. Call AAA 620,651 Bonds, Series 2004A-2, 0.000%, 1/01/23 - FGIC Insured 2,125 South Carolina Public Service Authority, Revenue Refunding Bonds, 7/13 at 100.00 AAA 2,258,556 Santee Cooper Electric System, Series 2003A, 5.000%, 1/01/21 - AMBAC Insured 7,500 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 8,102,250 Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%, 5/15/28 - ------------------------------------------------------------------------------------------------------------------------------------ 26,345 Total South Carolina 28,034,972 - ------------------------------------------------------------------------------------------------------------------------------------ SOUTH DAKOTA - 0.5% (0.3% OF TOTAL INVESTMENTS) 2,945 South Dakota Health and Educational Facilities Authority, Revenue 5/17 at 100.00 AA- 3,045,748 Bonds, Sanford Health, Series 2007, 5.000%, 11/01/40 - ------------------------------------------------------------------------------------------------------------------------------------ TENNESSEE - 5.2% (3.3% OF TOTAL INVESTMENTS) 6,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 Ba2 6,194,220 Tennessee, Hospital Revenue Bonds, Baptist Health System of East Tennessee Inc., Series 2002, 6.500%, 4/15/31 20,415 Knox County Health, Educational and Housing Facilities Board, 1/13 at 75.87 AAA 12,175,914 Tennessee, Hospital Revenue Refunding Bonds, Covenant Health, Series 2002A, 0.000%, 1/01/18 - FSA Insured 14,385 Metropolitan Government of Nashville-Davidson County Health and 11/09 at 101.00 AAA 15,262,772 Educational Facilities Board, Tennessee, Revenue Bonds, Ascension Health Credit Group, Series 1999A, 5.875%, 11/15/28 (Pre-refunded 11/15/09) - AMBAC Insured 1,750 Metropolitan Government of Nashville-Davidson County, Tennessee, 5/11 at 100.00 AA 1,814,628 Electric System Revenue Bonds, Series 2001A, 5.125%, 5/15/26 - ------------------------------------------------------------------------------------------------------------------------------------ 42,550 Total Tennessee 35,447,534 - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS - 16.6% (10.5% OF TOTAL INVESTMENTS) 11,810 Brazos River Authority, Texas, Pollution Control Revenue Refunding No Opt. Call Baa2 12,172,803 Bonds, TXU Electric Company, Series 2001C, 5.750%, 5/01/36 (Mandatory put 11/01/11) (Alternative Minimum Tax) 6,000 Brazos River Authority, Texas, Revenue Refunding Bonds, Houston No Opt. Call AAA 6,475,680 Lighting and Power Company, Series 1998, 5.050%, 11/01/18 - AMBAC Insured (Alternative Minimum Tax) 10,000 Central Texas Regional Mobility Authority, Travis and Williamson 1/15 at 100.00 AAA 10,356,800 Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/45 - FGIC Insured 4,250 Ennis Independent School District, Ellis County, Texas, General 8/16 at 60.73 Aaa 1,685,338 Obligation Bonds, Series 2006, 0.000%, 8/15/26
35 Nuveen Municipal Advantage Fund, Inc. (NMA) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS (continued) $ 8,400 Gulf Coast Waste Disposal Authority, Texas, Waste Disposal Revenue 4/09 at 101.00 BBB $ 8,651,244 Bonds, Valero Energy Corporation, Series 1999, 5.700%, 4/01/32 (Alternative Minimum Tax) 5,000 Harris County Health Facilities Development Corporation, Texas, 11/13 at 100.00 AAA 5,190,400 Thermal Utility Revenue Bonds, TECO Project, Series 2003, 5.000%, 11/15/30 - MBIA Insured 1,540 Houston Community College, Texas, Limited Tax General Obligation 2/13 at 100.00 AAA 1,605,881 Bonds, Series 2003, 5.000%, 2/15/28 - AMBAC Insured 3,460 Houston Community College, Texas, Limited Tax General Obligation 2/13 at 100.00 AAA 3,685,869 Bonds, Series 2003, 5.000%, 2/15/28 (Pre-refunded 2/15/13) - AMBAC Insured 13,110 Houston, Texas, Subordinate Lien Airport System Revenue Bonds, 7/10 at 100.00 AAA 13,732,987 Series 2000B, 5.500%, 7/01/30 - FSA Insured Houston, Texas, Water Conveyance System Contract, Certificates of Participation, Series 1993A-J: 5,490 6.800%, 12/15/10 - AMBAC Insured No Opt. Call AAA 6,036,475 2,000 6.800%, 12/15/11 - AMBAC Insured No Opt. Call AAA 2,247,580 9,345 Leander Independent School District, Williamson and Travis 8/15 at 35.34 AAA 2,255,883 Counties, Texas, General Obligation Bonds, Series 2005, 0.000%, 8/15/34 - FGIC Insured 16,305 Matagorda County Navigation District 1, Texas, Revenue Bonds, 5/09 at 101.00 BBB- 16,758,441 Reliant Energy Inc., Series 1999B, 5.950%, 5/01/30 (Alternative Minimum Tax) 3,425 Sabine River Authority, Texas, Pollution Control Revenue Refunding No Opt. Call Baa2 3,505,042 Bonds, TXU Electric Company, Series 2001A, 5.500%, 5/01/22 (Mandatory put 11/01/11) 4,700 Sam Rayburn Municipal Power Agency, Texas, Power Supply System 10/12 at 100.00 Baa2 4,981,060 Revenue Refunding Bonds, Series 2002A, 6.000%, 10/01/21 4,000 Texas, General Obligation Bonds, Water Financial Assistance, State 8/09 at 100.00 Aa1 4,137,360 Participation Program, Series 1999C, 5.500%, 8/01/35 6,840 Travis County Health Facilities Development Corporation, Texas, 11/09 at 101.00 AAA 7,257,377 Revenue Bonds, Ascension Health Credit Group, Series 1999A, 5.875%, 11/15/24 (Pre-refunded 11/15/09) - AMBAC Insured 245 Wood Glen Housing Finance Corporation, Texas, FHA-Insured Section 7/07 at 100.00 AAA 245,786 8 Assisted Mortgage Revenue Bonds, Copperwood I Project, Series 1990A, 7.625%, 1/01/10 - MBIA Insured (ETM) 3,000 Wylie Independent School District, Taylor County, Texas, General 8/15 at 74.57 AAA 1,554,420 Obligation Bonds, Series 2005, 0.000%, 8/15/21 - ------------------------------------------------------------------------------------------------------------------------------------ 118,920 Total Texas 112,536,426 - ------------------------------------------------------------------------------------------------------------------------------------ UTAH - 0.3% (0.2% OF TOTAL INVESTMENTS) 730 Intermountain Power Agency, Utah, Power Supply Revenue Refunding 7/07 at 102.00 AAA 746,914 Bonds, Series 1997B, 5.750%, 7/01/19 (Pre-refunded 7/01/07) - MBIA Insured 1,470 Intermountain Power Agency, Utah, Power Supply Revenue Refunding 7/07 at 102.00 AAA 1,504,192 Bonds, Series 1997B, 5.750%, 7/01/19 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 2,200 Total Utah 2,251,106 - ------------------------------------------------------------------------------------------------------------------------------------ VIRGINIA - 0.3% (0.2% OF TOTAL INVESTMENTS) 2,855 Tobacco Settlement Financing Corporation of Virginia, Tobacco 6/17 at 100.00 BBB 2,264,186 Settlement Asset-Backed Bonds, Series 2007B2, 0.000%, 6/01/46 (WI/DD, Settling 5/03/07) - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON - 14.2% (8.9% OF TOTAL INVESTMENTS) 8,810 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 9,391,548 Consolidated System Revenue Bonds, Series 2001A, 5.600%, 1/01/36 - MBIA Insured (Alternative Minimum Tax) 5,665 Chelan County Public Utility District 1, Washington, Hydro 7/12 at 100.00 AAA 5,909,048 Consolidated System Revenue Bonds, Series 2002B, 5.250%, 7/01/37 - AMBAC Insured (Alternative Minimum Tax) 10,730 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 11,465,434 Consolidated System Revenue Refunding Bonds, Series 2001C, 5.650%, 7/01/32 - MBIA Insured (Alternative Minimum Tax) 10,730 Pierce County School District 320, Sumner, Washington, Unlimited 12/10 at 100.00 Aaa 11,646,235 Tax General Obligation Bonds, Series 2000, 6.250%, 12/01/17 (Pre-refunded 12/01/10) - FSA Insured
36
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON (continued) $ 10,550 Port of Seattle, Washington, Limited Tax General Obligation Bonds, 12/10 at 100.00 AAA $ 11,140,800 Series 2000B, 5.750%, 12/01/25 (Alternative Minimum Tax) 5,315 Port of Seattle, Washington, Revenue Bonds, Series 2000B, 6.000%, No Opt. Call AAA 5,618,646 2/01/10 - MBIA Insured (Alternative Minimum Tax) 19,475 Port of Seattle, Washington, Special Facility Revenue Bonds, 3/10 at 101.00 AAA 20,853,048 Terminal 18, Series 1999A, 6.000%, 9/01/29 (Pre-refunded 3/01/10) - MBIA Insured 5,000 Port of Seattle, Washington, Special Facility Revenue Bonds, 3/10 at 101.00 AAA 5,305,150 Terminal 18, Series 1999B, 6.000%, 9/01/20 - MBIA Insured (Alternative Minimum Tax) 8,750 Washington Public Power Supply System, Revenue Refunding Bonds, 7/08 at 102.00 Aaa 9,040,763 Nuclear Project 3, Series 1998A, 5.125%, 7/01/18 5,000 Washington State Healthcare Facilities Authority, Revenue Bonds, 12/09 at 101.00 AAA 5,251,950 Providence Services, Series 1999, 5.375%, 12/01/19 (Pre-refunded 12/01/09) - MBIA Insured 1,270 Washington State, Motor Vehicle Fuel Tax General Obligation Bonds, No Opt. Call AAA 592,773 Series 2003F, 0.000%, 12/01/24 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 91,295 Total Washington 96,215,395 - ------------------------------------------------------------------------------------------------------------------------------------ WEST VIRGINIA - 0.8% (0.5% OF TOTAL INVESTMENTS) 5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 5,260,550 Appalachian Power Company, Series 2003L, 5.500%, 10/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN - 3.0% (1.9% OF TOTAL INVESTMENTS) 6,995 Badger Tobacco Asset Securitization Corporation, Wisconsin, Tobacco 6/12 at 100.00 BBB 7,499,060 Settlement Asset-Backed Bonds, Series 2002, 6.125%, 6/01/27 1,685 Green Bay, Wisconsin, Water System Revenue Bonds, Series 2004, 11/14 at 100.00 Aaa 1,821,401 5.000%, 11/01/29 (Pre-refunded 11/01/14) - FSA Insured 565 Green Bay, Wisconsin, Water System Revenue Bonds, Series 2004, 11/14 at 100.00 Aaa 595,131 5.000%, 11/01/29 - FSA Insured 5,000 Madison, Wisconsin, Industrial Development Revenue Refunding Bonds, 4/12 at 100.00 AA- 5,370,400 Madison Gas and Electric Company Projects, Series 2002A, 5.875%, 10/01/34 (Alternative Minimum Tax) 3,000 Southeast Wisconsin Professional Baseball Park District, Sales Tax No Opt. Call AAA 3,437,700 Revenue Refunding Bonds, Series 1998A, 5.500%, 12/15/19 - MBIA Insured 1,525 Wisconsin Housing and Economic Development Authority, Home 3/10 at 100.00 AA 1,549,507 Ownership Revenue Bonds, Series 2000B, 5.750%, 3/01/22 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 18,770 Total Wisconsin 20,273,199 - ------------------------------------------------------------------------------------------------------------------------------------ 1,175,615 Total Investments (cost $1,004,680,494) - 159.0% 1,075,923,683 ============------------------------------------------------------------------------------------------------------------------------ Floating Rate Obligations - (5.4)% (36,290,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - (0.7)% (4,863,222) --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (52.9)% (358,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 676,770,461 =====================================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. (3) Ratings: Using the higher of Standard & Poor's or Moody's rating. Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor Service, Inc. are considered to be below investment grade. (4) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensure the timely payment of principal and interest. Such investments are normally considered to be equivalent to AAA rated securities. N/R Not rated. WI/DD Purchased on a when-issued or delayed delivery basis. (ETM) Escrowed to maturity. (UB) Underlying bond of an inverse floating rate trust reflected as a financing transaction pursuant to the provisions of SFAS No. 140. (IF) Inverse floating rate investment. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 37 Nuveen Municipal Market Opportunity Fund, Inc. (NMO) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ALABAMA - 0.7% (0.4% OF TOTAL INVESTMENTS) Henry County Water Authority, Alabama, Water Revenue Bonds, Series 2006: $ 1,935 5.000%, 1/01/36 - RAAI Insured 1/16 at 100.00 AA $ 2,011,452 2,485 5.000%, 1/01/41 - RAAI Insured 1/16 at 100.00 AA 2,580,449 - ------------------------------------------------------------------------------------------------------------------------------------ 4,420 Total Alabama 4,591,901 - ------------------------------------------------------------------------------------------------------------------------------------ ALASKA - 0.4% (0.2% OF TOTAL INVESTMENTS) Alaska Housing Finance Corporation, General Housing Purpose Bonds, Series 2005A: 1,125 5.250%, 12/01/34 - FGIC Insured 12/14 at 100.00 AAA 1,202,906 1,275 5.250%, 12/01/41 - FGIC Insured 12/14 at 100.00 AAA 1,353,068 - ------------------------------------------------------------------------------------------------------------------------------------ 2,400 Total Alaska 2,555,974 - ------------------------------------------------------------------------------------------------------------------------------------ ARKANSAS - 1.3% (0.8% OF TOTAL INVESTMENTS) 5,000 Arkansas Development Finance Authority, Hospital Revenue Bonds, 2/10 at 100.00 BBB (4) 5,403,850 Washington Regional Medical Center, Series 2000, 7.000%, 2/01/15 (Pre-refunded 2/01/10) 3,480 Cabot School District 4, Lonoke County, Arkansas, General 8/08 at 100.00 Aaa 3,521,064 Obligation Refunding Bonds, Series 2003, 5.000%, 2/01/27 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 8,480 Total Arkansas 8,924,914 - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA - 11.5% (7.3% OF TOTAL INVESTMENTS) 1,350 Antelope Valley Union High School District, Los Angeles County, No Opt. Call AAA 506,979 California, General Obligation Bonds, Series 2004B, 0.000%, 8/01/29 - MBIA Insured 7,800 California County Tobacco Securitization Agency, Tobacco 12/18 at 100.00 Baa3 6,837,324 Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 0.000%, 6/01/36 (Mandatory put 6/01/23) 1,000 California Department of Water Resources, Power Supply Revenue 5/12 at 101.00 Aaa 1,106,240 Bonds, Series 2002A, 5.750%, 5/01/17 (Pre-refunded 5/01/12) 1,350 California Educational Facilities Authority, Revenue Refunding No Opt. Call Aaa 315,266 Bonds, Loyola Marymount University, Series 2001A, 0.000%, 10/01/39 - MBIA Insured 4,295 California Health Facilities Financing Authority, Health Facility 3/13 at 100.00 A 4,375,188 Revenue Bonds, Adventist Health System/West, Series 2003A, 5.000%, 3/01/33 4,000 California Health Facilities Financing Authority, Revenue Bonds, 3/16 at 100.00 A+ 4,200,120 Kaiser Permanante System, Series 2006, 5.250%, 3/01/45 25,000 California General Obligation Bonds, Series 2005, 4.750%, 3/16 at 100.00 AAA 25,735,000 3/01/35 - MBIA Insured (UB) 10,445 Castaic Lake Water Agency, California, Revenue Certificates of No Opt. Call AAA 3,922,515 Participation, Water System Improvement Project, Series 1999, 0.000%, 8/01/29 - AMBAC Insured 8,365 Cupertino Union School District, Santa Clara County, California, 8/13 at 52.66 AAA 3,325,088 General Obligation Bonds, Series 2003B, 0.000%, 8/01/26 - FGIC Insured 5,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 5,332,900 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2003B, 5.000%, 6/01/38 (Pre-refunded 6/01/13) - AMBAC Insured 1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 1,003,080 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 3,500 Golden State Tobacco Securitization Corporation, California, No Opt. Call AAA 1,519,455 Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 0.000%, 6/01/26 - FSA Insured 1,500 Lincoln Unified School District, Placer County, California, No Opt. Call AAA 644,115 Community Facilities District 1, Special Tax Bonds, Series 2005, 0.000%, 9/01/26 - AMBAC Insured 490 Los Angeles Department of Water and Power, California, Electric 10/07 at 100.00 AA- (4) 490,417 Plant Revenue Bonds, Second Series 1993, 4.750%, 10/15/20 (ETM)
38
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA (continued) $ 995 Los Angeles Department of Water and Power, California, Electric 8/07 at 100.00 AA- (4) $ 996,234 Plant Revenue Bonds, Series 1994, 5.375%, 2/15/34 (ETM) 1,000 Pajaro Valley Unified School District, Santa Cruz County, No Opt. Call AAA 375,540 California, General Obligation Bonds, Series 2005B, 0.000%, 8/01/29 - FSA Insured 6,000 Placentia-Yorba Linda Unified School District, Orange County, No Opt. Call AAA 1,771,020 California, Certificates of Participation, Series 2006, 0.000%, 10/01/34 - FGIC Insured San Joaquin Hills Transportation Corridor Agency, Orange County, California, Toll Road Revenue Refunding Bonds, Series 1997A: 5,000 5.650%, 1/15/17 - MBIA Insured 1/14 at 102.00 AAA 5,606,000 26,000 0.000%, 1/15/35 - MBIA Insured No Opt. Call AAA 7,721,480 5,000 San Jose-Evergreen Community College District, Santa Clara 9/15 at 100.00 AAA 1,725,750 County, California, General Obligation Bonds, Series 2005A, 0.000%, 9/01/28 - MBIA Insured 4,825 Santa Monica Community College District, Los Angeles County, No Opt. Call AAA 2,047,441 California, General Obligation Bonds, Series 2005C, 0.000%, 8/01/25 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 123,915 Total California 79,557,152 - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO - 5.4% (3.4% OF TOTAL INVESTMENTS) 1,085 Arkansas River Power Authority, Colorado, Power Revenue Bonds, 10/16 at 100.00 AAA 1,168,024 Series 2006, 5.250%, 10/01/40 - XLCA Insured 3,000 Broomfield, Colorado, Master Facilities Lease Purchase Agreement, 12/09 at 100.00 Aaa 3,139,680 Certificates of Participation, Series 1999, 5.750%, 12/01/24 - AMBAC Insured 6,285 Broomfield, Colorado, Sales and Use Tax Revenue Refunding and 12/12 at 100.00 Aaa 6,801,564 Improvement Bonds, Series 2002A, 5.500%, 12/01/22 - AMBAC Insured 11,465 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 AAA 12,209,193 Refunding Bonds, Series 2000A, 6.000%, 11/15/18 - AMBAC Insured (Alternative Minimum Tax) 20,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 31.42 AAA 5,540,400 Series 2000B, 0.000%, 9/01/28 (Pre-refunded 9/01/10) - MBIA Insured E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, Series 2004B: 3,800 0.000%, 9/01/27 - MBIA Insured 9/20 at 67.94 AAA 1,416,792 13,300 0.000%, 9/01/31 - MBIA Insured 9/20 at 53.77 AAA 3,904,614 6,250 0.000%, 9/01/32 - MBIA Insured 9/20 at 50.83 AAA 1,732,000 8,000 0.000%, 3/01/36 - MBIA Insured No Opt. Call AAA 1,808,080 - ------------------------------------------------------------------------------------------------------------------------------------ 73,185 Total Colorado 37,720,347 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRICT OF COLUMBIA - 1.9% (1.2% OF TOTAL INVESTMENTS) 3,420 Washington Convention Center Authority, District of Columbia, 10/08 at 100.00 AAA 3,472,668 Senior Lien Dedicated Tax Revenue Bonds, Series 1998, 4.750%, 10/01/28 (Pre-refunded 10/01/08) - AMBAC Insured 10,000 Washington Convention Center Authority, District of Columbia, 10/16 at 100.00 AAA 9,935,200 Senior Lien Dedicated Tax Revenue Bonds, Series 2007A, 4.500%, 10/01/30 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 13,420 Total District of Columbia 13,407,868 - ------------------------------------------------------------------------------------------------------------------------------------ GEORGIA - 4.5% (2.8% OF TOTAL INVESTMENTS) 15,000 Atlanta, Georgia, Airport General Revenue Refunding Bonds, Series 1/10 at 101.00 AAA 15,867,000 2000A, 5.600%, 1/01/30 (Pre-refunded 1/01/10) - FGIC Insured 14,330 Fulton County Facilities Corporation, Georgia, Certificates of 11/10 at 101.00 AAA 15,264,459 Participation, Public Purpose Project, Series 1999, 5.500%, 11/01/18 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 29,330 Total Georgia 31,131,459 - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS - 13.7% (8.6% OF TOTAL INVESTMENTS) 4,245 Bolingbrook, Illinois, General Obligation Refunding Bonds, Series No Opt. Call AAA 1,433,324 2002B, 0.000%, 1/01/32 - FGIC Insured 4,600 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AAA 2,597,896 Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 0.000%, 12/01/20 - FGIC Insured
39 Nuveen Municipal Market Opportunity Fund, Inc. (NMO) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS (continued) $ 4,000 Chicago, Illinois, Motor Fuel Tax Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA $ 4,168,800 5.000%, 1/01/33 - AMBAC Insured 2,300 Chicago, Illinois, Motor Fuel Tax Revenue Refunding Bonds, No Opt. Call AAA 2,506,586 Series 1993, 5.375%, 1/01/14 - AMBAC Insured 5,250 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 1998B, 1/09 at 101.00 AAA 5,368,703 5.000%, 1/01/28 - MBIA Insured 10,000 Illinois Finance Authority, Northwestern University, Illinois, 2/15 at 100.00 Aaa 10,464,900 General Revenue Bonds, Series 2006, 5.000%, 12/01/42 (UB) 5,210 Illinois Housing Development Authority, Section 8 Elderly Housing 7/07 at 100.00 BBB 5,267,050 Revenue Bonds, Garden House of River Oaks West Development, Series 1992A, 6.875%, 1/01/20 38,645 Illinois, General Obligation Bonds, Illinois FIRST Program, 4/10 at 100.00 AAA 40,312,529 Series 2000, 5.500%, 4/01/25 - MBIA Insured Lake and McHenry Counties Community Unit School District 118, Wauconda, Illinois, General Obligation Bonds, Series 2005B: 10,230 0.000%, 1/01/22 - FSA Insured 1/15 at 70.63 Aaa 5,162,979 6,780 0.000%, 1/01/24 - FSA Insured 1/15 at 63.44 Aaa 3,053,102 1,975 Lake County Community High School District 127, Grayslake, No Opt. Call AAA 2,499,264 Illinois, General Obligation Bonds, Series 2002A, 9.000%, 2/01/13 - FGIC Insured Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, McCormick Place Expansion Project, Series 2002A: 3,250 0.000%, 6/15/25 - MBIA Insured 6/22 at 101.00 AAA 2,191,605 3,270 5.000%, 12/15/28 - MBIA Insured 6/12 at 101.00 AAA 3,416,136 3,700 0.000%, 6/15/30 - MBIA Insured No Opt. Call AAA 1,344,765 3,280 0.000%, 6/15/37 - MBIA Insured No Opt. Call AAA 863,427 11,715 0.000%, 12/15/38 - MBIA Insured No Opt. Call AAA 2,885,522 4,170 0.000%, 6/15/39 - MBIA Insured No Opt. Call AAA 1,003,052 - ------------------------------------------------------------------------------------------------------------------------------------ 122,620 Total Illinois 94,539,640 - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA - 1.0% (0.6% OF TOTAL INVESTMENTS) 4,695 Indiana Educational Facilities Authority, Revenue Bonds, Butler 2/11 at 100.00 AAA 4,949,563 University, Series 2001, 5.500%, 2/01/26 - MBIA Insured 2,000 Petersburg, Indiana, Pollution Control Revenue Refunding Bonds, 8/11 at 102.00 Baa1 2,104,040 Indianapolis Power and Light Company, Series 1991, 5.750%, 8/01/21 - ------------------------------------------------------------------------------------------------------------------------------------ 6,695 Total Indiana 7,053,603 - ------------------------------------------------------------------------------------------------------------------------------------ IOWA - 0.6% (0.4% OF TOTAL INVESTMENTS) 4,215 Iowa Finance Authority, Solid Waste Disposal Revenue Bonds, IPSCO No Opt. Call N/R 4,219,721 Project, Series 1997, 6.000%, 6/01/27 (Mandatory put 6/01/07) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ KANSAS - 0.5% (0.3% OF TOTAL INVESTMENTS) 2,500 Kansas Development Finance Authority, Water Pollution Control 11/12 at 100.00 AAA 2,710,550 Revolving Fund Leveraged Bonds, Series 2002-II, 5.500%, 11/01/21 500 Salina, Kansas, Hospital Revenue Bonds, Salina Regional Medical 4/16 at 100.00 A1 500,890 Center, Series 2006, 4.625%, 10/01/31 - ------------------------------------------------------------------------------------------------------------------------------------ 3,000 Total Kansas 3,211,440 - ------------------------------------------------------------------------------------------------------------------------------------ KENTUCKY - 1.6% (1.0% OF TOTAL INVESTMENTS) Jefferson County School District Finance Corporation, Kentucky, School Building Revenue Bonds, Series 2000A: 3,045 5.250%, 7/01/17 (Pre-refunded 1/01/10) - FSA Insured 1/10 at 101.00 AAA 3,192,561 7,490 5.250%, 7/01/20 (Pre-refunded 1/01/10) - FSA Insured 1/10 at 101.00 AAA 7,852,965 - ------------------------------------------------------------------------------------------------------------------------------------ 10,535 Total Kentucky 11,045,526 - ------------------------------------------------------------------------------------------------------------------------------------
40
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ LOUISIANA - 1.6% (1.0% OF TOTAL INVESTMENTS) $ 7,415 Louisiana Local Government Environmental Facilities and Community 12/12 at 100.00 AAA $ 7,686,834 Development Authority, Revenue Bonds, Baton Rouge Community College Facilities Corporation, Series 2002, 5.000%, 12/01/32 - MBIA Insured 3,350 Louisiana Public Facilities Authority, Revenue Bonds, Baton Rouge 7/14 at 100.00 AAA 3,558,169 General Hospital, Series 2004, 5.250%, 7/01/33 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 10,765 Total Louisiana 11,245,003 - ------------------------------------------------------------------------------------------------------------------------------------ MARYLAND - 0.4% (0.3% OF TOTAL INVESTMENTS) 2,500 Maryland Department of Transportation, Consolidated No Opt. Call AA 2,816,375 Transportation Revenue Bonds, Series 2002, 5.500%, 2/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ MASSACHUSETTS - 4.5% (2.8% OF TOTAL INVESTMENTS) 1,100 Massachusetts Bay Transportation Authority, Assessment Bonds, 7/10 at 100.00 AAA 1,144,143 Series 2000A, 5.250%, 7/01/30 4,150 Massachusetts Bay Transportation Authority, Assessment Bonds, 7/10 at 100.00 AAA 4,343,639 Series 2000A, 5.250%, 7/01/30 (Pre-refunded 7/01/10) 8,315 Massachusetts Turnpike Authority, Metropolitan Highway System 7/07 at 102.00 AAA 8,439,476 Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - MBIA Insured 10,000 Massachusetts Water Resources Authority, General Revenue Bonds, 8/10 at 101.00 AAA 10,696,600 Series 2000A, 5.750%, 8/01/39 (Pre-refunded 8/01/10) - FGIC Insured 6,195 University of Massachusetts Building Authority, Facilities 11/10 at 100.00 AAA 6,487,714 Revenue Bonds, Senior Series 2000A, 5.125%, 11/01/25 (Pre-refunded 11/01/10) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 29,760 Total Massachusetts 31,111,572 - ------------------------------------------------------------------------------------------------------------------------------------ MICHIGAN - 1.0% (0.7% OF TOTAL INVESTMENTS) 5,000 Detroit Water Supply System, Michigan, Water Supply System 7/16 at 100.00 AAA 5,033,150 Revenue Bonds, Series 2006D, 4.625%, 7/01/32 - FSA Insured 2,090 Grand Rapids Building Authority, Kent County, Michigan, Limited 8/10 at 100.00 AAA 2,195,587 Tax General Obligation Bonds, Series 2000, 5.375%, 8/01/17 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 7,090 Total Michigan 7,228,737 - ------------------------------------------------------------------------------------------------------------------------------------ MINNESOTA - 7.7% (4.9% OF TOTAL INVESTMENTS) 930 Minnesota Agricultural and Economic Development Board, Healthcare 11/10 at 101.00 A 1,002,494 System Revenue Bonds, Fairview Hospital and Healthcare Services, Series 2000A, 6.375%, 11/15/29 29,070 Minnesota Agricultural and Economic Development Board, Healthcare 11/10 at 101.00 A (4) 31,848,218 System Revenue Bonds, Fairview Hospital and Healthcare Services, Series 2000A, 6.375%, 11/15/29 (Pre-refunded 11/15/10) 2,290 Minnesota Housing Finance Agency, Single Family Remarketed 1/11 at 101.00 AA+ 2,310,770 Mortgage Bonds, Series 1998H-2, 6.050%, 7/01/31 (Alternative Minimum Tax) 13,675 Minnesota, General Obligation Bonds, Series 2000, 5.125%, 11/01/16 11/10 at 100.00 AAA 14,327,981 3,130 St. Paul Housing and Redevelopment Authority, Minnesota, Sales 11/15 at 103.00 AAA 3,846,739 Tax Revenue Refunding Bonds, Civic Center Project, Series 1996, 7.100%, 11/01/23 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 49,095 Total Minnesota 53,336,202 - ------------------------------------------------------------------------------------------------------------------------------------ MISSISSIPPI - 1.0% (0.6% OF TOTAL INVESTMENTS) 5,900 Mississippi Business Finance Corporation, Pollution Control 10/07 at 100.00 BBB- 5,963,602 Revenue Refunding Bonds, System Energy Resources Inc. Project, Series 1998, 5.875%, 4/01/22 1,090 Mississippi Home Corporation, GNMA Mortgage-Backed Securities 7/07 at 105.00 Aaa 1,115,484 Program Single Family Mortgage Revenue Bonds, Series 1997D-5, 6.750%, 7/01/29 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 6,990 Total Mississippi 7,079,086 - ------------------------------------------------------------------------------------------------------------------------------------
41 Nuveen Municipal Market Opportunity Fund, Inc. (NMO) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI - 0.7% (0.4% OF TOTAL INVESTMENTS) Kansas City Municipal Assistance Corporation, Missouri, Leasehold Revenue Bonds, Series 2004B-1: $ 7,000 0.000%, 4/15/27 - AMBAC Insured No Opt. Call AAA $ 2,942,380 5,000 0.000%, 4/15/31 - AMBAC Insured No Opt. Call AAA 1,750,100 - ------------------------------------------------------------------------------------------------------------------------------------ 12,000 Total Missouri 4,692,480 - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA - 6.2% (3.9% OF TOTAL INVESTMENTS) Director of Nevada State Department of Business and Industry, Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000: 6,125 0.000%, 1/01/17 - AMBAC Insured No Opt. Call AAA 4,086,233 8,500 0.000%, 1/01/26 - AMBAC Insured No Opt. Call AAA 3,721,725 5,685 0.000%, 1/01/27 - AMBAC Insured No Opt. Call AAA 2,386,506 21,000 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 21,669,270 10,000 Reno, Nevada, Health Facilities Revenue Bonds, Catholic Healthcare 7/17 at 100.00 A 10,547,500 West, Series 2007A, 5.250%, 7/01/31 (UB) 2,135 Reno, Nevada, Capital Improvement Revenue Bonds, Series 2005B, 6/15 at 33.61 AAA 482,467 0.000%, 6/01/37 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 53,445 Total Nevada 42,893,701 - ------------------------------------------------------------------------------------------------------------------------------------ NEW JERSEY - 6.7% (4.2% OF TOTAL INVESTMENTS) 18,000 New Jersey Transportation Trust Fund Authority, Transportation 6/10 at 100.00 AAA 19,103,220 System Bonds, Series 2000B, 5.750%, 6/15/17 (Pre-refunded 6/15/10) 35,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 10,404,100 System Bonds, Series 2006C, 0.000%, 12/15/34 - FSA Insured 5,000 New Jersey Turnpike Authority, Revenue Bonds, Growth and Income 1/17 at 100.00 AAA 3,608,100 Securities, Series 2004B, 0.000%, 1/01/35 - AMBAC Insured 3,000 Rahway Valley Sewerage Authority, New Jersey, Sewer Revenue Bonds, No Opt. Call Aaa 1,359,630 Series 2005A, 0.000%, 9/01/25 - MBIA Insured 3,525 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 3,918,743 Settlement Asset-Backed Bonds, Series 2002, 6.125%, 6/01/42 (Pre-refunded 6/01/12) Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2003: 2,100 6.375%, 6/01/32 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 2,388,225 2,925 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 3,401,015 2,000 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 1,972,200 Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%, 6/01/41 - ------------------------------------------------------------------------------------------------------------------------------------ 71,550 Total New Jersey 46,155,233 - ------------------------------------------------------------------------------------------------------------------------------------ NEW MEXICO - 1.8% (1.1% OF TOTAL INVESTMENTS) 5,925 New Mexico Hospital Equipment Loan Council, Hospital Revenue 8/11 at 101.00 AA- (4) 6,373,286 Bonds, Presbyterian Healthcare Services, Series 2001A, 5.500%, 8/01/21 (Pre-refunded 8/01/11) 5,675 University of New Mexico, Revenue Refunding Bonds, Series 1992A, No Opt. Call AA 6,084,735 6.250%, 6/01/12 - ------------------------------------------------------------------------------------------------------------------------------------ 11,600 Total New Mexico 12,458,021 - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK - 11.6% (7.3% OF TOTAL INVESTMENTS) 70 Dormitory Authority of the State of New York, Revenue Bonds, 5/07 at 102.00 AA- 71,497 Mental Health Services Facilities Improvements, Series 1997A, 5.750%, 2/15/27 3,000 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 A- 3,162,240 Revenue Bonds, Series 2006B, 5.000%, 12/01/35 6,750 Nassau County Tobacco Settlement Corporation, New York, Tobacco 7/09 at 101.00 AAA 7,201,508 Settlement Asset-Backed Bonds, Series 1999A, 6.400%, 7/15/33 (Pre-refunded 7/15/09) 17,870 New York City Transitional Finance Authority, New York, Future 8/09 at 101.00 AAA 18,873,579 Tax Secured Bonds, Fiscal Series 2000A, 5.750%, 8/15/24 (Pre-refunded 8/15/09) 630 New York City, New York, General Obligation Bonds, Fiscal Series 8/07 at 101.00 AA- 639,652 1997H, 6.125%, 8/01/25
42
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK (continued) $ 9,370 New York City, New York, General Obligation Bonds, Fiscal Series 8/07 at 101.00 AA- (4) $ 9,518,327 1997H, 6.125%, 8/01/25 (Pre-refunded 8/01/07) New York City, New York, General Obligation Bonds, Fiscal Series 2002G: 1,000 5.000%, 8/01/17 8/12 at 100.00 AA- 1,045,690 6,530 5.750%, 8/01/18 8/12 at 100.00 AA- 7,078,977 5,000 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 AA- 5,456,000 2003A, 5.750%, 8/01/16 10,000 Port Authority of New York and New Jersey, Special Project Bonds, 12/07 at 102.00 AAA 10,303,400 JFK International Air Terminal LLC, Sixth Series 1997, 5.750%, 12/01/22 - MBIA Insured (Alternative Minimum Tax) 7,805 Power Authority of the State of New York, General Revenue Bonds, 11/12 at 100.00 Aa2 8,229,046 Series 2002A, 5.000%, 11/15/21 8,000 TSASC Inc., New York, Tobacco Flexible Amortization Bonds, Series 7/09 at 101.00 AAA 8,509,920 1999-1, 6.250%, 7/15/34 (Mandatory put 7/15/24) (Pre-refunded 7/15/09) - ------------------------------------------------------------------------------------------------------------------------------------ 76,025 Total New York 80,089,836 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA - 2.0% (1.3% OF TOTAL INVESTMENTS) 1,900 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/15 at 100.00 AA 1,964,296 Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 5.000%, 1/15/45 4,000 North Carolina Medical Care Commission, Health System Revenue 10/17 at 100.00 AA 3,961,840 Bonds, Mission St. Joseph's Health System, Series 2007, 4.500%, 10/01/31 7,500 North Carolina Municipal Power Agency 1, Catawba Electric Revenue 1/13 at 100.00 AAA 8,031,825 Bonds, Series 2003A, 5.250%, 1/01/19 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 13,400 Total North Carolina 13,957,961 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH DAKOTA - 4.2% (2.7% OF TOTAL INVESTMENTS) 23,035 Fargo, North Dakota, Health System Revenue Bonds, MeritCare 6/10 at 101.00 AAA 24,335,324 Obligated Group, Series 2000A, 5.625%, 6/01/31 - FSA Insured North Dakota Water Commission, Water Development and Management Program Bonds, Series 2000A: 2,230 5.700%, 8/01/18 (Pre-refunded 8/01/10) - MBIA Insured 8/10 at 100.00 AAA 2,366,409 2,450 5.750%, 8/01/19 (Pre-refunded 8/01/10) - MBIA Insured 8/10 at 100.00 AAA 2,603,591 - ------------------------------------------------------------------------------------------------------------------------------------ 27,715 Total North Dakota 29,305,324 - ------------------------------------------------------------------------------------------------------------------------------------ OHIO - 4.0% (2.5% OF TOTAL INVESTMENTS) 10,000 Columbus City School District, Franklin County, Ohio, General 12/16 at 100.00 AAA 9,718,400 Obligation Bonds, Series 2006, 4.250%, 12/01/32 - FSA Insured (UB) 16,140 Montgomery County, Ohio, Hospital Facilities Revenue Bonds, No Opt. Call A 17,729,306 Kettering Medical Center, Series 1999, 6.300%, 4/01/12 - ------------------------------------------------------------------------------------------------------------------------------------ 26,140 Total Ohio 27,447,706 - ------------------------------------------------------------------------------------------------------------------------------------ OKLAHOMA - 0.0% (0.0% OF TOTAL INVESTMENTS) 300 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 6/09 at 100.00 B 305,856 American Airlines Inc., Series 2000B, 6.000%, 6/01/35 (Mandatory put 12/01/08) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ OREGON - 2.4% (1.5% OF TOTAL INVESTMENTS) 5,000 Oregon Health Sciences University, Revenue Bonds, Series 2002A, 1/13 at 100.00 AAA 5,324,400 5.250%, 7/01/22 - MBIA Insured Portland, Oregon, Water System Revenue Bonds, Series 2000A: 6,780 5.375%, 8/01/18 (Pre-refunded 8/01/10) 8/10 at 100.00 Aa1 (4) 7,133,577 3,880 5.500%, 8/01/20 (Pre-refunded 8/01/10) 8/10 at 100.00 Aa1 (4) 4,097,086 - ------------------------------------------------------------------------------------------------------------------------------------ 15,660 Total Oregon 16,555,063 - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA - 3.8% (2.4% OF TOTAL INVESTMENTS) 5,000 Delaware County Industrial Development Authority, Pennsylvania, 1/08 at 102.00 BB+ 5,153,450 Resource Recovery Revenue Refunding Bonds, Series 1997A, 6.200%, 7/01/19 5,000 Pennsylvania Higher Education Assistance Agency, Capital 12/10 at 100.00 Aaa 5,368,150 Acquisition Revenue Bonds, Series 2000, 5.875%, 12/15/30 (Pre-refunded 12/15/10) - MBIA Insured
43 Nuveen Municipal Market Opportunity Fund, Inc. (NMO) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA (continued) $ 15,050 Pennsylvania, General Obligation Bonds, Second Series 2001, 9/11 at 101.00 AA $ 15,950,592 5.000%, 9/15/14 - ------------------------------------------------------------------------------------------------------------------------------------ 25,050 Total Pennsylvania 26,472,192 - ------------------------------------------------------------------------------------------------------------------------------------ PUERTO RICO - 2.9% (1.9% OF TOTAL INVESTMENTS) 12,500 Puerto Rico Housing Finance Authority, Capital Fund Program No Opt. Call AA 12,609,500 Revenue Bonds, Series 2003, 4.500%, 12/01/23 7,325 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 5/12 at 100.00 BBB 7,670,960 Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 19,825 Total Puerto Rico 20,280,460 - ------------------------------------------------------------------------------------------------------------------------------------ SOUTH CAROLINA - 7.5% (4.8% OF TOTAL INVESTMENTS) 24,730 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- (4) 27,125,840 Purchase Revenue Bonds, Series 2002, 5.500%, 12/01/22 (Pre-refunded 12/01/12) 21,570 Piedmont Municipal Power Agency, South Carolina, Electric Revenue No Opt. Call AAA 7,935,603 Bonds, Series 2004A-2, 0.000%, 1/01/30 - AMBAC Insured 3,560 South Carolina Public Service Authority, Revenue Refunding Bonds, 7/13 at 100.00 AAA 3,779,723 Santee Cooper Electric System, Series 2003A, 5.000%, 1/01/20 - AMBAC Insured 665 Three Rivers Solid Waste Authority, South Carolina, Solid Waste 7/07 at 102.00 AAA 678,945 Disposal Facilities Revenue Bonds, Series 1997, 5.300%, 1/01/27 - MBIA Insured 11,665 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 12,601,700 Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%, 5/15/28 - ------------------------------------------------------------------------------------------------------------------------------------ 62,190 Total South Carolina 52,121,811 - ------------------------------------------------------------------------------------------------------------------------------------ TENNESSEE - 0.7% (0.5% OF TOTAL INVESTMENTS) 5,000 Knox County Health, Educational and Housing Facilities Board, 7/13 at 100.00 AA 5,183,500 Tennessee, Hospital Revenue Bonds, East Tennessee Children's Hospital, Series 2003A, 5.000%, 7/01/23 - RAAI Insured - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS - 25.3% (16.0% OF TOTAL INVESTMENTS) 2,500 Alliance Airport Authority, Texas, Special Facilities Revenue 12/12 at 100.00 CCC+ 2,432,825 Bonds, American Airlines Inc., Series 2007, 5.250%, 12/01/29 (Alternative Minimum Tax) 12,250 Austin, Texas, Subordinate Lien Hotel Occupancy Tax Revenue 11/09 at 100.00 AAA 12,881,978 Refunding Bonds, Series 1999, 5.800%, 11/15/29 (Pre-refunded 11/15/09) - AMBAC Insured 11,255 Brazos River Authority, Texas, Pollution Control Revenue No Opt. Call Baa2 11,600,754 Refunding Bonds, TXU Electric Company, Series 2001C, 5.750%, 5/01/36 (Mandatory put 11/01/11) (Alternative Minimum Tax) Brownsville Independent School District, Cameron County, Texas, General Obligation Bonds, Series 1999: 5,015 5.625%, 8/15/25 (Pre-refunded 8/15/09) 8/09 at 100.00 AAA 5,226,633 8,825 5.625%, 8/15/29 (Pre-refunded 8/15/09) 8/09 at 100.00 AAA 9,197,415 1,000 Cedar Hill Independent School District, Dallas County, Texas, No Opt. Call AAA 327,710 General Obligation Bonds, Series 2002, 0.000%, 8/15/32 - FGIC Insured 15,000 Central Texas Regional Mobility Authority, Travis and Williamson 1/15 at 100.00 AAA 15,535,200 Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/45 - FGIC Insured Clear Creek Independent School District, Galveston and Harris Counties, Texas, Unlimited Tax Schoolhouse and Refunding Bonds, Series 2000: 585 5.400%, 2/15/18 2/10 at 100.00 AAA 610,594 340 5.650%, 2/15/19 2/10 at 100.00 AAA 357,180 235 5.700%, 2/15/20 2/10 at 100.00 AAA 247,182 270 5.700%, 2/15/21 2/10 at 100.00 AAA 283,997 Clear Creek Independent School District, Galveston and Harris Counties, Texas, Unlimited Tax Schoolhouse and Refunding Bonds, Series 2000: 16,740 5.400%, 2/15/18 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 17,489,450 9,660 5.650%, 2/15/19 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 10,155,944 6,645 5.700%, 2/15/20 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 6,994,926 7,750 5.700%, 2/15/21 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 8,158,115
44
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS (continued) $ 2,500 Comal Independent School District, Comal, Bexar, Guadalupe, Hays, No Opt. Call Aaa $ 1,269,200 and Kendall Counties, Texas, General Obligation Bonds, Series 2005A, 0.000%, 2/01/23 6,000 Dallas-Ft. Worth International Airport Facility Improvement 11/09 at 101.00 CCC+ 6,215,640 Corporation, Texas, Revenue Bonds, American Airlines Inc., Series 1999, 6.375%, 5/01/35 (Alternative Minimum Tax) 11,750 Dallas-Ft. Worth International Airport Facility Improvement 11/07 at 100.00 CCC+ 11,796,295 Corporation, Texas, Revenue Refunding Bonds, American Airlines Inc., Series 2000C, 6.150%, 5/01/29 (Mandatory put 11/01/07) (Alternative Minimum Tax) Ennis Independent School District, Ellis County, Texas, General Obligation Bonds, Series 2006: 3,950 0.000%, 8/15/30 8/16 at 49.21 Aaa 1,257,680 4,000 0.000%, 8/15/31 8/16 at 46.64 Aaa 1,210,440 1,440 Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, No Opt. Call AAA 470,981 Convention and Entertainment Project, Series 2001B, 0.000%, 9/01/32 - AMBAC Insured 1,250 Houston, Texas, Junior Lien Water and Sewerage System Revenue 12/11 at 100.00 AAA 1,311,200 Refunding Bonds, Series 2001A, 5.000%, 12/01/20 - FSA Insured 21,500 Houston, Texas, Subordinate Lien Airport System Revenue Bonds, 7/10 at 100.00 AAA 22,521,680 Series 2000B, 5.500%, 7/01/30 - FSA Insured 9,350 Leander Independent School District, Williamson and Travis 8/15 at 39.49 AAA 2,524,500 Counties, Texas, General Obligation Bonds, Series 2005, 0.000%, 8/15/32 - FGIC Insured 6,000 Leander Independent School District, Williamson and Travis 8/14 at 35.27 AAA 1,514,820 Counties, Texas, General Obligation Bonds, Series 2006, 0.000%, 8/15/33 15,000 San Antonio Independent School District, Bexar County, Texas, 8/09 at 100.00 AAA 15,700,200 General Obligation Bonds, Series 1999, 5.800%, 8/15/29 (Pre-refunded 8/15/09) 5,000 White Settlement Independent School District, Tarrant County, 8/15 at 36.81 AAA 1,257,150 Texas, General Obligation Bonds, Series 2005, 0.000%, 8/15/34 3,970 Wichita Falls, Wichita County, Texas, Priority Lien Water and 8/11 at 100.00 AAA 4,170,366 Sewerage System Revenue Bonds, Series 2001, 5.000%, 8/01/21 (Pre-refunded 8/01/11) - AMBAC Insured Wylie Independent School District, Taylor County, Texas, General Obligation Bonds, Series 2005: 3,000 0.000%, 8/15/23 8/15 at 67.10 AAA 1,395,240 2,000 0.000%, 8/15/24 8/15 at 63.56 AAA 876,760 - ------------------------------------------------------------------------------------------------------------------------------------ 194,780 Total Texas 174,992,055 - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON - 17.7% (11.2% OF TOTAL INVESTMENTS) 5,500 Clark County Public Utility District 1, Washington, Generating 1/11 at 100.00 AAA 5,685,185 System Revenue Refunding Bonds, Series 2000, 5.125%, 1/01/20 - FSA Insured 2,755 Cowlitz County, Washington, Special Sewerage Revenue Refunding No Opt. Call AAA 3,067,748 Bonds, CSOB Wastewater Treatment Facilities, Series 2002, 5.500%, 11/01/16 - FGIC Insured 10,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/11 at 101.00 AAA 10,748,700 Nuclear Project 3, Series 2001A, 5.500%, 7/01/17 - FSA Insured 2,500 King County, Washington, Sewer Revenue Bonds, Series 2001, 5.000%, 1/12 at 100.00 AAA 2,606,475 1/01/23 - FGIC Insured 33,490 Port of Seattle, Washington, Revenue Bonds, Series 2000A, 5.625%, 8/10 at 100.00 AAA 35,409,645 2/01/30 (Pre-refunded 8/01/10) - MBIA Insured 6,950 Port of Seattle, Washington, Revenue Bonds, Series 2000B, 5.625%, 8/10 at 100.00 AAA 7,285,407 2/01/24 - MBIA Insured (Alternative Minimum Tax) Seattle, Washington, General Obligation Refunding and Improvement Bonds, Series 2002: 6,165 4.400%, 12/01/19 12/12 at 100.00 AAA 6,264,318 6,445 4.500%, 12/01/20 12/12 at 100.00 AAA 6,561,074 3,000 Spokane County School District 81, Spokane, Washington, General 6/15 at 100.00 AAA 2,900,130 Obligation Bonds, Series 2005, 5.000%, 6/01/24 - MBIA Insured 6,630 Tacoma, Washington, Electric System Revenue Refunding Bonds, 1/11 at 101.00 AAA 7,153,505 Series 2001A, 5.750%, 1/01/17 (Pre-refunded 1/01/11) - FSA Insured 3,520 Washington State Healthcare Facilities Authority, Revenue Bonds, 10/11 at 100.00 Aaa 3,701,210 Children's Hospital and Regional Medical Center, Series 2001, 5.000%, 10/01/21 (Pre-refunded 10/01/11) - AMBAC Insured
45 Nuveen Municipal Market Opportunity Fund, Inc. (NMO) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON (continued) $ 7,890 Washington State Higher Education Facilities Authority, Revenue 11/09 at 101.00 AA (4) $ 8,385,571 Bonds, Pacific Lutheran University, Series 1999, 5.950%, 11/01/29 (Pre-refunded 11/01/09) - RAAI Insured 11,955 Washington State Tobacco Settlement Authority, Tobacco Settlement 6/13 at 100.00 BBB 13,165,563 Asset-Backed Revenue Bonds, Series 2002, 6.500%, 6/01/26 9,000 Washington, Motor Vehicle Fuel Tax General Obligation Bonds, 1/12 at 100.00 AAA 9,447,840 Series 2002C, 5.000%, 1/01/21 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 115,800 Total Washington 122,382,371 - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN - 1.1% (0.7% OF TOTAL INVESTMENTS) 3,995 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 BBB 4,282,880 Tobacco Settlement Asset-Backed Bonds, Series 2002, 6.125%, 6/01/27 1,755 Wisconsin Health and Educational Facilities Authority, Revenue 5/16 at 100.00 BBB 1,747,647 Bonds, Divine Savior Healthcare, Series 2006, 4.750%, 5/01/25 1,250 Wisconsin Health and Educational Facilities Authority, Revenue 3/08 at 101.00 N/R 1,264,713 Bonds, United Lutheran Program for the Aging Inc., Series 1998, 5.700%, 3/01/28 - ------------------------------------------------------------------------------------------------------------------------------------ 7,000 Total Wisconsin 7,295,240 - ------------------------------------------------------------------------------------------------------------------------------------ WYOMING - 0.4% (0.3% OF TOTAL INVESTMENTS) 2,800 Jackson National Rural Utilities Cooperative Financing 5/07 at 101.00 A 2,831,360 Corporation, Wyoming, Guaranteed Gas Supply Revenue Bonds, Lower Valley Power and Light Inc., Series 1997B, 5.875%, 5/01/26 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,248,695 Total Investments (cost $1,025,584,256) - 158.3% 1,096,196,690 ============------------------------------------------------------------------------------------------------------------------------ Floating Rate Obligations - (5.3)% (36,660,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.9% 12,992,962 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (54.9)% (380,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 692,529,652 =====================================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. (3) Ratings: Using the higher of Standard & Poor's or Moody's rating. Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor Service, Inc. are considered to be below investment grade. (4) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensure the timely payment of principal and interest. Such investments are normally considered to be equivalent to AAA rated securities. N/R Not rated. (ETM) Escrowed to maturity. (UB) Underlying bond of an inverse floating rate trust reflected as a financing transaction pursuant to the provisions of SFAS No. 140. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 46 Nuveen Dividend Advantage Municipal Fund (NAD) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ALABAMA - 0.3% (0.2% OF TOTAL INVESTMENTS) $ 1,500 Alabama 21st Century Authority, Tobacco Settlement Revenue Bonds, 6/10 at 102.00 A- $ 1,581,105 Series 2000, 5.750%, 12/01/20 - ------------------------------------------------------------------------------------------------------------------------------------ ALASKA - 0.1% (0.1% OF TOTAL INVESTMENTS) 750 Alaska Housing Finance Corporation, General Housing Purpose Bonds, 12/14 at 100.00 AAA 801,938 Series 2005A, 5.250%, 12/01/34 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA - 3.8% (2.5% OF TOTAL INVESTMENTS) 1,535 Alameda Corridor Transportation Authority, California, Senior No Opt. Call AAA 395,278 Lien Revenue Bonds, Series 1999A, 0.000%, 10/01/37 - MBIA Insured 5,500 Anaheim Public Finance Authority, California, Subordinate Lease No Opt. Call AAA 2,137,080 Revenue Bonds, Public Improvement Project, Series 1997C, 0.000%, 9/01/28 - FSA Insured 200 California, General Obligation Bonds, Series 1997, 5.000%, 10/07 at 101.00 AAA 203,026 10/01/18 - AMBAC Insured California, General Obligation Bonds, Series 1997: 2,195 5.000%, 10/01/18 (Pre-refunded 10/01/07) - AMBAC Insured 10/07 at 101.00 AAA 2,228,781 210 5.000%, 10/01/18 (Pre-refunded 10/01/07) - AMBAC Insured 10/07 at 101.00 AAA 213,232 5,000 California, General Obligation Bonds, Series 2005, 5.000%, 3/01/31 3/16 at 100.00 A+ 5,260,400 Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1: 5,000 5.000%, 6/01/33 6/17 at 100.00 BBB 4,988,950 1,000 5.125%, 6/01/47 6/17 at 100.00 BBB 1,003,080 3,500 Golden State Tobacco Securitization Corporation, California, No Opt. Call AAA 1,519,455 Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 0.000%, 6/01/26 - FSA Insured 17,000 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 5,048,660 California, Toll Road Revenue Refunding Bonds, Series 1997A, 0.000%, 1/15/35 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 41,140 Total California 22,997,942 - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO - 2.4% (1.6% OF TOTAL INVESTMENTS) 3,205 Denver City and County, Colorado, Airport Special Facilities 1/09 at 101.00 AAA 3,333,617 Revenue Bonds, Rental Car Projects, Series 1999A, 6.000%, 1/01/12 - MBIA Insured (Alternative Minimum Tax) 2,950 Denver Convention Center Hotel Authority, Colorado, Senior Revenue 12/13 at 100.00 AAA 3,171,368 Bonds, Convention Center Hotel, Series 2003A, 5.000%, 12/01/22 (Pre-refunded 12/01/13) - XLCA Insured 1,475 Denver, Colorado, FHA-Insured Multifamily Housing Revenue Bonds, 10/07 at 102.00 AAA 1,504,721 Boston Lofts Project, Series 1997A, 5.750%, 10/01/27 (Alternative Minimum Tax) 8,515 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, No Opt. Call AAA 3,826,641 Series 1997B, 0.000%, 9/01/25 - MBIA Insured 12,500 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, 9/26 at 54.77 AAA 2,793,625 Series 2006A, 0.000%, 9/01/38 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 28,645 Total Colorado 14,629,972 - ------------------------------------------------------------------------------------------------------------------------------------ CONNECTICUT - 0.4% (0.3% OF TOTAL INVESTMENTS) 2,700 Connecticut Development Authority, Health Facilities Revenue 8/07 at 100.00 N/R 2,710,233 Refunding Bonds, Alzheimer's Resource Center of Connecticut Inc., Series 1994A, 7.125%, 8/15/14 - ------------------------------------------------------------------------------------------------------------------------------------ FLORIDA - 9.2% (6.1% OF TOTAL INVESTMENTS) 1,630 Florida Housing Finance Agency, Housing Revenue Bonds, Mar Lago 12/07 at 102.00 AAA 1,673,537 Village Apartments, Series 1997F, 5.800%, 12/01/17 - AMBAC Insured (Alternative Minimum Tax) 15,000 Florida State Board of Education, Public Education Capital Outlay 6/15 at 101.00 AAA 15,000,600 Bonds, Series 2005E, 4.500%, 6/01/35
47 Nuveen Dividend Advantage Municipal Fund (NAD) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ FLORIDA (continued) $ 14,350 JEA St. John's River Power Park System, Florida, Revenue Refunding 10/11 at 100.00 Aa2 $ 15,196,507 Bonds, Issue 2, Series 2002-17, 5.250%, 10/01/13 2,500 Marion County Hospital District, Florida, Revenue Bonds, Munroe 10/17 at 100.00 A2 2,547,700 Regional Medical Center, Series 2007, 5.000%, 10/01/34 (WI/DD, Settling 5/09/07) 13,625 Martin County Industrial Development Authority, Florida, 6/07 at 100.00 BB+ 13,763,430 Industrial Development Revenue Bonds, Indiantown Cogeneration LP, Series 1994A, 7.875%, 12/15/25 (Alternative Minimum Tax) 7,370 South Miami Florida Health Facilities Authority, Hospital Revenue, 8/17 at 100.00 AA- 7,569,432 Baptist Health System Obligation Group, Series 2007, 5.000%, 8/15/42 (WI/DD, Settling 5/16/07) - ------------------------------------------------------------------------------------------------------------------------------------ 54,475 Total Florida 55,751,206 - ------------------------------------------------------------------------------------------------------------------------------------ GEORGIA - 1.3% (0.9% OF TOTAL INVESTMENTS) 4,000 Forsyth County Water and Sewerage Authority, Georgia, Revenue 4/10 at 101.00 AA (4) 4,286,440 Bonds, Series 2000, 6.000%, 4/01/25 (Pre-refunded 4/01/10) 880 Gainesville and Hall County Hospital Authority, Georgia, Revenue 5/09 at 101.00 AAA 914,434 Anticipation Certificates, Northeast Georgia Health Services Inc., Series 1999, 5.500%, 5/15/29 - MBIA Insured 2,620 Gainesville and Hall County Hospital Authority, Georgia, Revenue 5/09 at 101.00 AAA 2,737,507 Anticipation Certificates, Northeast Georgia Health Services Inc., Series 1999, 5.500%, 5/15/29 (Pre-refunded 5/15/09) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 7,500 Total Georgia 7,938,381 - ------------------------------------------------------------------------------------------------------------------------------------ IDAHO - 0.2% (0.1% OF TOTAL INVESTMENTS) 210 Idaho Housing and Finance Association, Single Family Mortgage 7/09 at 101.00 Aa2 213,093 Bonds, Series 1999E, 5.750%, 1/01/21 (Alternative Minimum Tax) 255 Idaho Housing and Finance Association, Single Family Mortgage 1/10 at 100.00 Aa2 260,689 Bonds, Series 2000D, 6.350%, 7/01/22 (Alternative Minimum Tax) 400 Idaho Housing and Finance Association, Single Family Mortgage 7/10 at 100.00 Aaa 406,620 Bonds, Series 2000E, 5.950%, 7/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 865 Total Idaho 880,402 - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS - 34.5% (22.9% OF TOTAL INVESTMENTS) 2,875 Channahon, Illinois, Revenue Refunding Bonds, Morris Hospital, 12/09 at 102.00 BBB+ 2,980,714 Series 1999, 5.750%, 12/01/12 7,250 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AAA 8,569,355 Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 5.500%, 12/01/26 - FGIC Insured Chicago, Illinois, FHA/GNMA Multifamily Housing Revenue Bonds, Archer Court Apartments, Series 1999A: 810 5.500%, 12/20/19 (Alternative Minimum Tax) 10/10 at 101.00 AAA 841,307 1,210 5.600%, 12/20/29 (Alternative Minimum Tax) 10/10 at 101.00 AAA 1,243,965 1,925 5.650%, 12/20/40 (Alternative Minimum Tax) 10/10 at 101.00 AAA 1,973,703 22,750 Chicago, Illinois, General Obligation Refunding Bonds, Emergency No Opt. Call AAA 26,475,992 Telephone System, Series 1999, 5.500%, 1/01/23 - FGIC Insured 2,620 Chicago, Illinois, Motor Fuel Tax Revenue Refunding Bonds, Series No Opt. Call AAA 2,855,328 1993, 5.375%, 1/01/14 - AMBAC Insured 3,340 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 AAA 3,513,680 O'Hare International Airport, Series 2005A, 5.000%, 1/01/33 - FGIC Insured 190 DuPage County Community School District 200, Wheaton, Illinois, 11/13 at 100.00 Aaa 205,004 General Obligation Bonds, Series 2003B, 5.250%, 11/01/20 - FSA Insured 810 DuPage County Community School District 200, Wheaton, Illinois, 11/13 at 100.00 Aaa 881,240 General Obligation Bonds, Series 2003B, 5.250%, 11/01/20 (Pre-refunded 11/01/13) - FSA Insured 500 Hoffman Estates Park District, Cook County, Illinois, General 12/09 at 102.00 AAA 526,120 Obligation Bonds, Series 1999, 5.375%, 12/01/29 - MBIA Insured 3,935 Illinois Development Finance Authority, Local Government Program No Opt. Call Aaa 2,897,655 Revenue Bonds, Lake County School District 116 - Round Lake, Series 1999, 0.000%, 1/01/15 - MBIA Insured
48
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS (continued) $ 24,835 Illinois Development Finance Authority, Revenue Bonds, 9/07 at 102.00 AAA $ 25,462,827 Presbyterian Home of Lake Forest, Series 1999, 5.625%, 9/01/31 - FSA Insured 5,570 Illinois Finance Authority, Revenue Bonds, University of Chicago, 7/14 at 100.00 Aa1 5,820,260 Series 2004A, 5.000%, 7/01/34 17,280 Illinois Health Facilities Authority, Converted Adjustable Rate 10/07 at 102.00 AAA 17,780,602 Revenue Bonds, Highland Park Hospital, Series 1991A, 6.000%, 10/01/15 (Pre-refunded 10/01/07) - FGIC Insured 9,880 Illinois Health Facilities Authority, Remarketed Revenue Bonds, 8/11 at 103.00 Aa1 10,681,762 University of Chicago Project, Series 1985A, 5.500%, 8/01/20 5,400 Illinois Health Facilities Authority, Revenue Bonds, Loyola 7/07 at 101.00 AAA 5,461,020 University Health System, Series 1997A, 5.000%, 7/01/24 - MBIA Insured 5,490 Illinois Health Facilities Authority, Revenue Bonds, Sarah Bush 8/07 at 102.00 A 5,599,690 Lincoln Health Center, Series 1996B, 5.500%, 2/15/16 1,500 Illinois Housing Development Authority, Housing Finance Bonds, 1/15 at 100.00 AAA 1,527,360 Series 2005E, 4.800%, 1/01/36 - FGIC Insured 11,345 Lake and McHenry Counties Community Unit School District 118, 1/15 at 60.14 Aaa 4,835,466 Wauconda, Illinois, General Obligation Bonds, Series 2005B, 0.000%, 1/01/25 - FSA Insured 3,000 Lombard Public Facilities Corporation, Illinois, First Tier 1/16 at 100.00 N/R 3,235,320 Conference Center and Hotel Revenue Bonds, Series 2005A-1, 7.125%, 1/01/36 22,500 Metropolitan Pier and Exposition Authority, Illinois, Revenue 12/09 at 101.00 AAA 23,609,473 Bonds, McCormick Place Expansion Project, Series 1999A, 5.500%, 12/15/24 - FGIC Insured Metropolitan Pier and Exposition Authority, Illinois, Revenue Refunding Bonds, McCormick Place Expansion Project, Series 1996A: 9,750 0.000%, 12/15/22 - MBIA Insured No Opt. Call AAA 5,015,400 13,000 0.000%, 12/15/23 - MBIA Insured No Opt. Call AAA 6,387,810 Regional Transportation Authority, Cook, DuPage, Kane, Lake, McHenry and Will Counties, Illinois, General Obligation Bonds, Series 1999: 22,650 5.750%, 6/01/19 - FSA Insured No Opt. Call AAA 26,359,389 3,500 5.750%, 6/01/23 - FSA Insured No Opt. Call AAA 4,176,095 1,300 Schaumburg, Illinois, General Obligation Bonds, Series 2004B, 12/14 at 100.00 AAA 1,397,890 5.250%, 12/01/34 - FGIC Insured 10,000 Will County Community High School District 210 Lincoln-Way, No Opt. Call Aaa 5,102,900 Illinois, General Obligation Bonds, Series 2006, 0.000%, 1/01/23 - FSA Insured 4,500 Will County School District 122, New Lenox, Illinois, General No Opt. Call Aaa 2,793,555 Obligation Bonds, Series 2000B, 0.000%, 11/01/18 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 219,715 Total Illinois 208,210,882 - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA - 3.7% (2.4% OF TOTAL INVESTMENTS) 8,755 Indiana Health Facility Financing Authority, Hospital Revenue 11/09 at 101.00 AAA 9,210,260 Bonds, Charity Obligated Group, Series 1999D, 5.500%, 11/15/24 (Pre-refunded 11/15/09) - MBIA Insured 8,000 Indiana Health Facility Financing Authority, Hospital Revenue 8/10 at 101.50 AAA 8,535,440 Bonds, Clarian Health Obligated Group, Series 2000A, 5.500%, 2/15/26 (Pre-refunded 8/15/10) - MBIA Insured 4,190 Indianapolis, Indiana, Economic Development Revenue Bonds, Park 6/09 at 101.00 Aa3 (4) 4,396,735 Tudor Foundation Inc., Project, Series 1999, 5.700%, 6/01/24 (Pre-refunded 6/01/09) - ------------------------------------------------------------------------------------------------------------------------------------ 20,945 Total Indiana 22,142,435 - ------------------------------------------------------------------------------------------------------------------------------------ IOWA - 1.2% (0.8% OF TOTAL INVESTMENTS) 7,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue 6/15 at 100.00 BBB 7,330,890 Bonds, Series 2005C, 5.625%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ KANSAS - 0.8% (0.5% OF TOTAL INVESTMENTS) 3,825 Wichita, Kansas, Water and Sewerage Utility Revenue Bonds, Series 10/07 at 100.50 AAA 3,820,372 1999, 4.000%, 10/01/18 - FGIC Insured 1,000 Wyandotte County-Kansas City Unified Government, Kansas, Sales Tax 12/15 at 100.00 N/R 1,042,840 Special Obligation Bonds, Redevelopment Project Area B, Series 2005, 5.000%, 12/01/20 - ------------------------------------------------------------------------------------------------------------------------------------ 4,825 Total Kansas 4,863,212 - ------------------------------------------------------------------------------------------------------------------------------------
49 Nuveen Dividend Advantage Municipal Fund (NAD) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ KENTUCKY - 1.7% (1.1% OF TOTAL INVESTMENTS) $ 3,030 Hardin County School District Finance Corporation, Kentucky, 2/10 at 101.00 Aa3 (4) $ 3,219,587 School Building Revenue Bonds, Series 2000, 5.750%, 2/01/20 (Pre-refunded 2/01/10) Kentucky Economic Development Finance Authority, Hospital System Revenue Refunding and Improvement Bonds, Appalachian Regional Healthcare Inc., Series 1997: 1,850 5.850%, 10/01/17 4/08 at 102.00 BB- 1,888,110 5,000 5.875%, 10/01/22 4/08 at 102.00 BB- 5,097,550 - ------------------------------------------------------------------------------------------------------------------------------------ 9,880 Total Kentucky 10,205,247 - ------------------------------------------------------------------------------------------------------------------------------------ LOUISIANA - 4.9% (3.3% OF TOTAL INVESTMENTS) 2,245 Lafayette, Louisiana, Sales Tax Revenue Bonds, Public 5/10 at 101.50 AAA 2,397,907 Improvements, Series 2000B, 5.625%, 5/01/25 (Pre-refunded 5/01/10) - FGIC Insured 1,750 Louisiana Local Government Environmental Facilities and Community 6/12 at 105.00 Aaa 1,933,295 Development Authority, GNMA Collateralized Mortgage Revenue Refunding Bonds, Sharlo Apartments, Series 2002A, 6.500%, 6/20/37 5,350 Louisiana Public Facilities Authority, Revenue Bonds, Baton Rouge 7/14 at 100.00 AAA 5,682,449 General Hospital, Series 2004, 5.250%, 7/01/33 - MBIA Insured 5,445 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 5/16 at 100.00 AAA 5,356,464 2006, 4.500%, 5/01/41 - FGIC Insured (UB) 13,570 Louisiana Transportation Authority, Senior Lien Toll Road Revenue 12/10 at 38.73 AAA 4,466,023 Bonds, Series 2005B, 0.000%, 12/01/28 - AMBAC Insured 9,545 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 9,978,534 Settlement Asset-Backed Bonds, Series 2001B, 5.500%, 5/15/30 - ------------------------------------------------------------------------------------------------------------------------------------ 37,905 Total Louisiana 29,814,672 - ------------------------------------------------------------------------------------------------------------------------------------ MASSACHUSETTS - 2.7% (1.8% OF TOTAL INVESTMENTS) 1,485 Boston Industrial Development Financing Authority, Massachusetts, 9/12 at 102.00 N/R 1,507,795 Subordinate Revenue Bonds, Crosstown Center Project, Series 2002, 8.000%, 9/01/35 (Alternative Minimum Tax) 4,365 Massachusetts Health and Educational Facilities Authority, Revenue 10/15 at 100.00 AAA 4,638,031 Bonds, Berkshire Health System, Series 2005F, 5.000%, 10/01/19 - AGC Insured 7,000 Massachusetts Port Authority, Special Facilities Revenue Bonds, 7/07 at 102.00 AAA 7,155,960 BOSFUEL Corporation, Series 1997, 5.500%, 7/01/18 - MBIA Insured (Alternative Minimum Tax) 785 Massachusetts Port Authority, Special Facilities Revenue Bonds, 9/07 at 101.00 AAA 802,105 US Airways Group Inc., Series 1996A, 5.875%, 9/01/23 - MBIA Insured (Alternative Minimum Tax) 2,000 Massachusetts Turnpike Authority, Metropolitan Highway System 1/09 at 100.00 AAA 2,042,040 Revenue Bonds, Senior Series 1997A, 5.125%, 1/01/17 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 15,635 Total Massachusetts 16,145,931 - ------------------------------------------------------------------------------------------------------------------------------------ MICHIGAN - 3.6% (2.4% OF TOTAL INVESTMENTS) 2,435 Detroit, Michigan, Senior Lien Water Supply System Revenue Bonds, 7/11 at 100.00 AAA 2,581,879 Series 2001A, 5.250%, 7/01/33 (Pre-refunded 7/01/11) - FGIC Insured 15,255 Michigan State Hospital Finance Authority, Hospital Revenue Bonds, 8/08 at 101.00 BB- 15,265,068 Detroit Medical Center Obligated Group, Series 1998A, 5.250%, 8/15/28 4,000 Wayne County, Michigan, Airport Revenue Bonds, Detroit 12/08 at 101.00 AAA 4,120,200 Metropolitan Wayne County Airport, Series 1998A, 5.375%, 12/01/16 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 21,690 Total Michigan 21,967,147 - ------------------------------------------------------------------------------------------------------------------------------------ MINNESOTA - 0.2% (0.1% OF TOTAL INVESTMENTS) 990 Minnesota Housing Finance Agency, Single Family Mortgage Bonds, 1/10 at 101.00 AA+ 1,008,800 Series 1998H-1, 5.650%, 7/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI - 2.2% (1.5% OF TOTAL INVESTMENTS) Kansas City Municipal Assistance Corporation, Missouri, Leasehold Revenue Bonds, Series 2004B-1: 7,000 0.000%, 4/15/27 - AMBAC Insured No Opt. Call AAA 2,942,380 5,000 0.000%, 4/15/29 - AMBAC Insured No Opt. Call AAA 1,918,600
50
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI (continued) $ 2,185 Missouri Health and Educational Facilities Authority, Revenue 6/11 at 101.00 AAA $ 2,308,911 Bonds, SSM Healthcare System, Series 2001A, 5.250%, 6/01/21 - AMBAC Insured Missouri Health and Educational Facilities Authority, Revenue Bonds, SSM Healthcare System, Series 2001A: 2,185 5.250%, 6/01/21 (Pre-refunded 6/01/11) - AMBAC Insured 6/11 at 101.00 AAA 2,332,356 3,670 5.250%, 6/01/28 (Pre-refunded 6/01/11) - AMBAC Insured 6/11 at 101.00 AAA 3,911,780 - ------------------------------------------------------------------------------------------------------------------------------------ 20,040 Total Missouri 13,414,027 - ------------------------------------------------------------------------------------------------------------------------------------ MONTANA - 0.3% (0.2% OF TOTAL INVESTMENTS) 915 Montana Board of Housing, Single Family Mortgage Bonds, Series 12/09 at 100.00 AA+ 933,712 2000A-2, 6.450%, 6/01/29 (Alternative Minimum Tax) 1,000 Montana Higher Education Student Assistance Corporation, Student 12/09 at 100.00 A2 1,049,160 Loan Revenue Bonds, Subordinate Series 1999B, 6.400%, 12/01/32 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 1,915 Total Montana 1,982,872 - ------------------------------------------------------------------------------------------------------------------------------------ NEBRASKA - 0.2% (0.1% OF TOTAL INVESTMENTS) 1,300 NebHelp Inc., Nebraska, Senior Subordinate Bonds, Student Loan No Opt. Call AAA 1,349,855 Program, Series 1993A-5A, 6.200%, 6/01/13 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA - 4.3% (2.9% OF TOTAL INVESTMENTS) 2,115 Clark County, Nevada, General Obligation Bank Bonds, Southern 6/11 at 100.00 AAA 2,243,402 Nevada Water Authority Loan, Series 2001, 5.300%, 6/01/19 (Pre-refunded 6/01/11) - FGIC Insured Director of Nevada State Department of Business and Industry, Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000: 8,000 0.000%, 1/01/19 - AMBAC Insured No Opt. Call AAA 4,863,840 3,000 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 3,095,610 15,000 Henderson, Nevada, Healthcare Facility Revenue Refunding Bonds, 7/17 at 100.00 A 15,821,250 Catholic Healthcare West, Series 2007B, 5.250%, 7/01/31 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 28,115 Total Nevada 26,024,102 - ------------------------------------------------------------------------------------------------------------------------------------ NEW HAMPSHIRE - 0.1% (0.1% OF TOTAL INVESTMENTS) 860 New Hampshire Housing Finance Authority, Single Family Mortgage 7/07 at 100.00 Aa2 878,731 Acquisition Revenue Bonds, Series 1995D, 6.550%, 7/01/26 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ NEW JERSEY - 5.8% (3.8% OF TOTAL INVESTMENTS) 920 New Jersey Health Care Facilities Financing Authority, 8/11 at 100.00 AAA 927,682 FHA-Insured Mortgage Revenue Bonds, Jersey City Medical Center, Series 2001, 4.800%, 8/01/21 - AMBAC Insured 1,965 New Jersey Higher Education Assistance Authority, Student Loan 6/10 at 101.00 AAA 2,021,808 Revenue Bonds, Series 2000A, 6.000%, 6/01/13 - MBIA Insured (Alternative Minimum Tax) 4,130 New Jersey Transit Corporation, Certificates of Participation, No Opt. Call AAA 4,522,763 Federal Transit Administration Grants, Series 2002A, 5.500%, 9/15/13 - AMBAC Insured 4,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AA- 4,602,040 System Bonds, Series 1999A, 5.750%, 6/15/18 20,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 7,836,400 System Bonds, Series 2006C, 0.000%, 12/15/28 - AMBAC Insured Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2002: 9,305 5.750%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 9,947,976 3,165 6.125%, 6/01/42 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 3,518,531 1,365 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/13 at 100.00 AAA 1,587,140 Settlement Asset-Backed Bonds, Series 2003, 6.750%, 6/01/39 (Pre-refunded 6/01/13) - ------------------------------------------------------------------------------------------------------------------------------------ 44,850 Total New Jersey 34,964,340 - ------------------------------------------------------------------------------------------------------------------------------------
51 Nuveen Dividend Advantage Municipal Fund (NAD) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEW MEXICO - 0.7% (0.5% OF TOTAL INVESTMENTS) $ 4,000 University of New Mexico, FHA-Insured Mortgage Hospital Revenue 7/14 at 100.00 AAA $ 4,187,280 Bonds, Series 2004, 5.000%, 7/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK - 14.6% (9.6% OF TOTAL INVESTMENTS) 2,170 Dormitory Authority of the State of New York, Insured Revenue 7/07 at 102.00 AA 2,218,478 Bonds, Franciscan Health Partnership Obligated Group - Frances Shervier Home and Hospital, Series 1997, 5.500%, 7/01/17 - RAAI Insured 15 Dormitory Authority of the State of New York, Revenue Bonds, 5/07 at 101.00 AAA 15,149 Mental Health Services Facilities Improvements, Series 1996B, 5.125%, 8/15/21 - MBIA Insured 7,500 Dormitory Authority of the State of New York, Secured Hospital 2/08 at 101.50 AAA 7,707,525 Revenue Refunding Bonds, Wyckoff Heights Medical Center, Series 1998H, 5.300%, 8/15/21 - MBIA Insured 2,000 Dormitory Authority of the State of New York, Third General 1/08 at 102.00 AAA 2,062,560 Resolution Consolidated Revenue Bonds, City University System, Series 1997-1, 5.375%, 7/01/24 (Pre-refunded 1/01/08) - FSA Insured 5,000 Long Island Power Authority, New York, Electric System General 6/08 at 101.00 AAA 5,135,300 Revenue Bonds, Series 1998A, 5.250%, 12/01/26 (Pre-refunded 6/01/08) - FSA Insured Nassau County, New York, General Obligation Improvement Bonds, Series 1999B: 4,005 5.250%, 6/01/19 (Pre-refunded 6/01/09) - AMBAC Insured 6/09 at 102.00 AAA 4,211,298 7,005 5.250%, 6/01/21 (Pre-refunded 6/01/09) - AMBAC Insured 6/09 at 102.00 AAA 7,365,828 6,000 New York City Industrial Development Agency, New York, American 8/16 at 101.00 B 7,255,620 Airlines-JFK International Airport Special Facility Revenue Bonds, Series 2005, 7.750%, 8/01/31 (Alternative Minimum Tax) 5,000 New York City Municipal Water Finance Authority, New York, Water 12/14 at 100.00 AAA 5,263,450 and Sewerage System Revenue Bonds, Fiscal Series 2005B, 5.000%, 6/15/36 - FSA Insured 8,800 New York City Sales Tax Asset Receivable Corporation, New York, 10/14 at 100.00 AAA 9,313,040 Dedicated Revenue Bonds, Local Government Assistance Corporation, Series 2004A, 5.000%, 10/15/32 - AMBAC Insured 10,000 New York City Transitional Finance Authority, New York, Future Tax 8/09 at 101.00 AAA 10,561,600 Secured Bonds, Fiscal Series 2000A, 5.750%, 8/15/24 (Pre-refunded 8/15/09) New York City, New York, General Obligation Bonds, Fiscal Series 1998F: 1,980 5.250%, 8/01/14 - AMBAC Insured 2/08 at 101.00 AAA 2,020,234 13,860 5.375%, 8/01/19 - MBIA Insured 2/08 at 101.00 AAA 14,174,622 New York City, New York, General Obligation Bonds, Fiscal Series 1998F: 20 5.250%, 8/01/14 (Pre-refunded 2/01/08) - AMBAC Insured 2/08 at 101.00 Aaa 20,438 140 5.375%, 8/01/19 (Pre-refunded 2/01/08) - MBIA Insured 2/08 at 101.00 AAA 143,192 10,000 Port Authority of New York and New Jersey, Special Project Bonds, 12/07 at 102.00 AAA 10,312,600 JFK International Air Terminal LLC, Sixth Series 1997, 5.900%, 12/01/17 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 83,495 Total New York 87,780,934 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA - 0.7% (0.4% OF TOTAL INVESTMENTS) 3,830 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/15 at 100.00 AA 3,959,607 Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 5.000%, 1/15/45 - ------------------------------------------------------------------------------------------------------------------------------------ OHIO - 4.0% (2.7% OF TOTAL INVESTMENTS) 2,300 Amherst Exempted Village School District, Ohio, Unlimited Tax 12/11 at 100.00 Aaa 2,439,495 General Obligation School Improvement Bonds, Series 2001, 5.125%, 12/01/21 (Pre-refunded 12/01/11) - FGIC Insured 3,635 Franklin County, Ohio, FHA-Insured Multifamily Housing Mortgage 7/07 at 101.00 Aa2 3,652,048 Revenue Bonds, Hamilton Creek Apartments Project, Series 1994A, 5.550%, 7/01/24 (Alternative Minimum Tax) 3,650 Montgomery County, Ohio, Revenue Bonds, Catholic Health 5/14 at 100.00 AA 3,781,875 Initiatives, Series 2004A, 5.000%, 5/01/30 12,700 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/09 at 102.00 N/R 13,133,451 Bonds, Bay Shore Power, Series 1998B, 6.625%, 9/01/20 (Alternative Minimum Tax) 1,115 Warren County, Ohio, Limited Tax General Obligations, Series 12/07 at 101.00 Aa2 1,136,988 1997, 5.500%, 12/01/17 - ------------------------------------------------------------------------------------------------------------------------------------ 23,400 Total Ohio 24,143,857 - ------------------------------------------------------------------------------------------------------------------------------------
52
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ OREGON - 0.4% (0.3% OF TOTAL INVESTMENTS) $ 2,355 Portland, Oregon, Downtown Waterfront Urban Renewal and 6/10 at 101.00 Aaa $ 2,501,693 Redevelopment Revenue Bonds, Series 2000A, 5.500%, 6/15/20 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA - 5.0% (3.3% OF TOTAL INVESTMENTS) 3,480 Allegheny County Hospital Development Authority, Pennsylvania, 11/10 at 102.00 Ba3 4,102,607 Revenue Bonds, West Penn Allegheny Health System, Series 2000B, 9.250%, 11/15/22 1,425 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 1,481,273 Resource Recovery Revenue Refunding Bonds, Panther Creek Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative Minimum Tax) 1,500 Pennsylvania Housing Finance Agency, Single Family Mortgage 10/16 at 100.00 AA+ 1,485,900 Revenue Bonds, Series 96A, 4.650%, 10/01/31 (Alternative Minimum Tax) 18,900 Philadelphia Airport System, Pennsylvania, Revenue Refunding 6/08 at 102.00 AAA 19,549,213 Bonds, Series 1998A, 5.500%, 6/15/18 - FGIC Insured (Alternative Minimum Tax) 3,205 Philadelphia School District, Pennsylvania, General Obligation 8/12 at 100.00 AAA 3,499,283 Bonds, Series 2002B, 5.625%, 8/01/16 (Pre-refunded 8/01/12) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 28,510 Total Pennsylvania 30,118,276 - ------------------------------------------------------------------------------------------------------------------------------------ PUERTO RICO - 2.1% (1.4% OF TOTAL INVESTMENTS) 12,500 Puerto Rico Housing Finance Authority, Capital Fund Program No Opt. Call AA 12,609,500 Revenue Bonds, Series 2003, 4.500%, 12/01/23 - ------------------------------------------------------------------------------------------------------------------------------------ RHODE ISLAND - 3.2% (2.1% OF TOTAL INVESTMENTS) 2,015 Central Falls, Rhode Island, General Obligation School Bonds, 5/09 at 102.00 AA 2,139,708 Series 1999, 6.250%, 5/15/20 - RAAI Insured 3,500 Providence Redevelopment Agency, Rhode Island, Revenue Bonds, 4/10 at 101.00 Aaa 3,729,670 Public Safety and Municipal Building Projects, Series 1999A, 5.750%, 4/01/29 (Pre-refunded 4/01/10) - AMBAC Insured 12,500 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 13,371,500 Settlement Asset-Backed Bonds, Series 2002A, 6.125%, 6/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ 18,015 Total Rhode Island 19,240,878 - ------------------------------------------------------------------------------------------------------------------------------------ SOUTH CAROLINA - 0.3% (0.2% OF TOTAL INVESTMENTS) 1,500 Greenville, South Carolina, Hospital Facilities Revenue Bonds, 5/11 at 101.00 AAA 1,548,510 Series 2001, 5.000%, 5/01/31 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ TENNESSEE - 1.9% (1.3% OF TOTAL INVESTMENTS) 6,400 Memphis-Shelby County Airport Authority, Tennessee, Airport 3/10 at 101.00 AAA 6,790,592 Revenue Bonds, Series 1999D, 6.000%, 3/01/24 - AMBAC Insured (Alternative Minimum Tax) 2,425 Memphis-Shelby County Airport Authority, Tennessee, Airport 3/11 at 100.00 AAA 2,510,263 Revenue Bonds, Series 2001B, 5.125%, 3/01/26 - FSA Insured 1,910 Sullivan County Health Educational and Housing Facilities Board, 9/16 at 100.00 BBB+ 1,983,401 Tennessee, Revenue Bonds, Wellmont Health System, Series 2006C, 5.250%, 9/01/36 115 Tennessee Housing Development Agency, Homeownership Program Bonds, 7/10 at 100.00 AA 117,249 Series 2000-2B, 6.250%, 1/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 10,850 Total Tennessee 11,401,505 - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS - 15.0% (9.9% OF TOTAL INVESTMENTS) 2,560 Brazos River Authority, Texas, Pollution Control Revenue Refunding 4/13 at 101.00 Baa2 2,926,541 Bonds, TXU Electric Company, Series 1999C, 7.700%, 3/01/32 (Alternative Minimum Tax) 4,675 Carrollton-Farmers Branch Independent School District, Dallas 2/09 at 100.00 AAA 4,863,169 County, Texas, Unlimited Tax School Building Bonds, Series 1999, 6.000%, 2/15/20 (Pre-refunded 2/15/09) 2,820 Central Texas Regional Mobility Authority, Travis and Williamson 1/15 at 100.00 AAA 2,920,618 Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/45 - FGIC Insured
53 Nuveen Dividend Advantage Municipal Fund (NAD) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS (continued) Coppell Independent School District, Dallas County, Texas, Unlimited Tax School Building and Refunding Bonds, Series 1999: $ 5,130 0.000%, 8/15/20 8/09 at 52.47 AAA $ 2,442,393 7,000 0.000%, 8/15/21 8/09 at 49.48 AAA 3,134,810 7,345 0.000%, 8/15/23 8/09 at 44.01 AAA 2,925,367 7,000 0.000%, 8/15/24 8/09 at 41.50 AAA 2,629,200 7,350 0.000%, 8/15/25 8/09 at 39.14 AAA 2,602,268 7,000 0.000%, 8/15/26 8/09 at 36.91 AAA 2,336,180 820 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax Revenue 12/11 at 100.00 AAA 864,387 Bonds, Series 2001, 5.000%, 12/01/31 (Pre-refunded 12/01/11) - AMBAC Insured Harris County Health Facilities Development Corporation, Texas, Revenue Bonds, Christus Health, Series 1999A: 12,240 5.375%, 7/01/24 (Pre-refunded 7/01/09) - MBIA Insured 7/09 at 101.00 AAA 12,761,669 11,180 5.375%, 7/01/29 (Pre-refunded 7/01/09) - MBIA Insured 7/09 at 101.00 AAA 11,656,492 2,205 Harris County-Houston Sports Authority, Texas, Senior Lien No Opt. Call AAA 1,244,304 Revenue Refunding Bonds, Series 2001A, 0.000%, 11/15/20 - MBIA Insured 2,500 Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, No Opt. Call AAA 897,175 Convention and Entertainment Project, Series 2001B, 0.000%, 9/01/30 - AMBAC Insured 2,500 Jefferson County, Texas, Certificates of Obligation, Series 2000, 8/10 at 100.00 AAA 2,674,925 6.000%, 8/01/25 (Pre-refunded 8/01/10) - FSA Insured 2,000 Laredo, Texas, Sports Venue Sales Tax Revenue Bonds, Series 2001, 3/09 at 100.00 AAA 2,059,020 5.300%, 3/15/26 (Pre-refunded 3/15/09) - FGIC Insured 30,095 Leander Independent School District, Williamson and Travis 8/12 at 27.94 AAA 6,676,275 Counties, Texas, General Obligation Bonds, Series 2004, 0.000%, 8/15/34 9,345 Leander Independent School District, Williamson and Travis 8/15 at 37.33 AAA 2,384,751 Counties, Texas, General Obligation Bonds, Series 2005, 0.000%, 8/15/33 - FGIC Insured 33,160 Leander Independent School District, Williamson and Travis 8/14 at 26.50 AAA 6,272,214 Counties, Texas, General Obligation Bonds, Series 2006, 0.000%, 8/15/38 1,000 San Antonio, Texas, Water System Revenue Bonds, Series 2005, 5/15 at 100.00 AAA 1,022,450 4.750%, 5/15/37 - MBIA Insured 10,000 Tarrant County Health Facilities Development Corporation, Texas, 2/08 at 102.00 AAA 10,312,700 Revenue Bonds, Texas Health Resources System, Series 1997A, 5.250%, 2/15/17 - MBIA Insured 7,000 White Settlement Independent School District, Tarrant County, 8/15 at 34.92 AAA 1,668,450 Texas, General Obligation Bonds, Series 2005, 0.000%, 8/15/35 Wylie Independent School District, Taylor County, Texas, General Obligation Bonds, Series 2005: 3,000 0.000%, 8/15/20 8/15 at 78.46 AAA 1,640,820 3,000 0.000%, 8/15/22 8/15 at 70.77 AAA 1,475,190 - ------------------------------------------------------------------------------------------------------------------------------------ 180,925 Total Texas 90,391,368 - ------------------------------------------------------------------------------------------------------------------------------------ UTAH - 0.3% (0.2% OF TOTAL INVESTMENTS) Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 1999C-2, Class II: 360 5.700%, 7/01/19 (Alternative Minimum Tax) 1/10 at 101.50 AAA 365,159 120 5.750%, 7/01/21 (Alternative Minimum Tax) 1/10 at 101.50 AA 124,631 100 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/09 at 101.00 AA 101,554 1999D, 5.850%, 7/01/21 (Alternative Minimum Tax) 40 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/09 at 101.50 Aa2 40,810 1999F, 6.300%, 7/01/21 (Alternative Minimum Tax) 1,020 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/10 at 100.00 AA- 1,042,430 2000F-2, Class III, 6.000%, 1/01/15 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 1,640 Total Utah 1,674,584 - ------------------------------------------------------------------------------------------------------------------------------------
54
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ VIRGINIA - 0.4% (0.3% OF TOTAL INVESTMENTS) $ 3,395 Virginia Small Business Financing Authority, Industrial 11/09 at 102.00 N/R $ 2,371,883 Development Water Revenue Bonds, S.I.L. Clean Water, LLC Project, Series 1999, 7.250%, 11/01/24 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON - 11.5% (7.6% OF TOTAL INVESTMENTS) 4,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/13 at 100.00 AAA 4,371,760 Nuclear Project 3, Series 2003A, 5.500%, 7/01/17 - XLCA Insured Port of Seattle, Washington, Special Facility Revenue Bonds, Terminal 18, Series 1999B: 1,755 6.000%, 9/01/15 - MBIA Insured (Alternative Minimum Tax) 3/10 at 101.00 AAA 1,864,530 2,590 6.000%, 9/01/16 - MBIA Insured (Alternative Minimum Tax) 3/10 at 101.00 AAA 2,751,642 Port of Seattle, Washington, Special Facility Revenue Bonds, Terminal 18, Series 1999C: 875 6.000%, 9/01/15 - MBIA Insured (Alternative Minimum Tax) 3/10 at 101.00 AAA 929,609 1,260 6.000%, 9/01/16 - MBIA Insured (Alternative Minimum Tax) 3/10 at 101.00 AAA 1,338,637 9,760 Tacoma, Washington, Electric System Revenue Refunding Bonds, 1/11 at 101.00 AAA 10,489,170 Series 2001A, 5.625%, 1/01/21 (Pre-refunded 1/01/11) - FSA Insured 4,800 Washington Public Power Supply System, Revenue Refunding Bonds, 7/07 at 102.00 AAA 4,907,136 Nuclear Project 3, Series 1997A, 5.250%, 7/01/16 (Pre-refunded 7/01/07) - FSA Insured 7,145 Washington State Tobacco Settlement Authority, Tobacco Settlement 6/13 at 100.00 BBB 7,868,503 Asset-Backed Revenue Bonds, Series 2002, 6.500%, 6/01/26 11,605 Washington, Certificates of Participation, Washington Convention 7/09 at 100.00 AAA 11,973,575 and Trade Center, Series 1999, 5.250%, 7/01/16 - MBIA Insured 3,350 Washington, General Obligation Compound Interest Bonds, Series No Opt. Call AAA 2,154,519 1999S-2, 0.000%, 1/01/18 - FSA Insured Washington, General Obligation Compound Interest Bonds, Series 1999S-3: 17,650 0.000%, 1/01/20 No Opt. Call Aa1 10,257,474 18,470 0.000%, 1/01/21 No Opt. Call Aa1 10,229,055 - ------------------------------------------------------------------------------------------------------------------------------------ 83,260 Total Washington 69,135,610 - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN - 6.9% (4.5% OF TOTAL INVESTMENTS) 650 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 BBB 697,424 Tobacco Settlement Asset-Backed Bonds, Series 2002, 6.000%, 6/01/17 1,690 Green Bay, Wisconsin, Water System Revenue Bonds, Series 2004, 11/14 at 100.00 Aaa 1,826,806 5.000%, 11/01/29 (Pre-refunded 11/01/14) - FSA Insured 560 Green Bay, Wisconsin, Water System Revenue Bonds, Series 2004, 11/14 at 100.00 Aaa 589,865 5.000%, 11/01/29 - FSA Insured 3,810 La Crosse, Wisconsin, Industrial Development Revenue Refunding 12/08 at 102.00 AAA 3,984,079 Bonds, Dairyland Power Cooperative, Series 1997C, 5.550%, 2/01/15 - AMBAC Insured Wisconsin Health and Educational Facilities Authority, Revenue Bonds, FH Healthcare Development Inc., Series 1999: 8,375 6.250%, 11/15/20 (Pre-refunded 11/15/09) 11/09 at 101.00 N/R (4) 8,961,501 5,000 6.250%, 11/15/28 (Pre-refunded 11/15/09) 11/09 at 101.00 N/R (4) 5,350,150 4,180 Wisconsin Health and Educational Facilities Authority, Revenue 5/09 at 101.00 A 4,312,966 Bonds, Kenosha Hospital and Medical Center Inc., Series 1999, 5.625%, 5/15/29
55 Nuveen Dividend Advantage Municipal Fund (NAD) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN (continued) $ 12,700 Wisconsin Health and Educational Facilities Authority, Revenue 8/09 at 101.00 Aaa $ 13,237,210 Bonds, Mercy Health System Corporation, Series 1999, 5.500%, 8/15/25 - AMBAC Insured 2,200 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 A- 2,250,864 Bonds, Wheaton Franciscan Services Inc., Series 2003A, 5.125%, 8/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 39,165 Total Wisconsin 41,210,865 - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,070,080 Total Investments (cost $850,188,531) - 150.9% 909,870,672 ============------------------------------------------------------------------------------------------------------------------------ Floating Rate Obligations - (2.3)% (13,630,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 0.3% 1,870,874 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (48.9)% (295,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 603,111,546 =====================================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. (3) Ratings: Using the higher of Standard & Poor's or Moody's rating. Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor Service, Inc. are considered to be below investment grade. (4) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensure the timely payment of principal and interest. Such investments are normally considered to be equivalent to AAA rated securities. N/R Not rated. WI/DD Purchased on a when-issued or delayed delivery basis. (UB) Underlying bond of an inverse floating rate trust reflected as a financing transaction pursuant to the provisions of SFAS No. 140. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 56 Nuveen Dividend Advantage Municipal Fund 2 (NXZ) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ALABAMA - 4.3% (2.9% OF TOTAL INVESTMENTS) $ 18,500 Huntsville Healthcare Authority, Alabama, Revenue Bonds, Series 6/11 at 101.00 A2 (4) $ 20,044,194 2001A, 5.750%, 6/01/31 (Pre-refunded 6/01/11) - ------------------------------------------------------------------------------------------------------------------------------------ ALASKA - 0.7% (0.5% OF TOTAL INVESTMENTS) 2,955 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/11 at 100.00 AAA 3,152,010 Settlement Asset-Backed Bonds, Series 2001, 5.500%, 6/01/29 (Pre-refunded 6/01/11) - ------------------------------------------------------------------------------------------------------------------------------------ ARIZONA - 0.7% (0.5% OF TOTAL INVESTMENTS) 3,120 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/12 at 100.00 AAA 3,257,374 Airport Revenue Bonds, Series 2002B, 5.250%, 7/01/32 - FGIC Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ ARKANSAS - 0.3% (0.2% OF TOTAL INVESTMENTS) 1,540 Arkansas Development Finance Authority, Single Family Mortgage 1/12 at 100.00 AAA 1,584,290 Revenue Bonds, GNMA Mortgage-Backed Securities Program, Series 2002C, 5.400%, 1/01/34 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA - 6.9% (4.6% OF TOTAL INVESTMENTS) 6,000 California Educational Facilities Authority, Revenue Bonds, 6/11 at 101.00 AAA 6,332,340 Stanford University, Series 2001Q, 5.250%, 12/01/32 11,200 California, General Obligation Bonds, Series 2003, 5.250%, 2/01/28 8/13 at 100.00 A+ 11,963,840 1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 1,003,080 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 5,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 5,804,850 Tobacco Settlement Asset-Backed Bonds, Series 2003A-1, 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6,000 Los Angeles Regional Airports Improvement Corporation, California, 12/12 at 102.00 B 6,812,340 Sublease Revenue Bonds, Los Angeles International Airport, American Airlines Inc. Terminal 4 Project, Series 2002C, 7.500%, 12/01/24 (Alternative Minimum Tax) 150 Yuba County Water Agency, California, Yuba River Development 9/07 at 100.00 Baa3 149,993 Revenue Bonds, Pacific Gas and Electric Company, Series 1966A, 4.000%, 3/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ 29,350 Total California 32,066,443 - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO - 7.1% (4.8% OF TOTAL INVESTMENTS) 2,730 Colorado Educational and Cultural Facilities Authority, Charter 8/11 at 100.00 AAA 3,098,195 School Revenue Bonds, Peak-to-Peak Charter School, Series 2001, 7.500%, 8/15/21 (Pre-refunded 8/15/11) Denver City and County, Colorado, Airport Revenue Bonds, Series 2006: 1,790 6.601%, 11/15/23 - FGIC Insured (IF) 11/16 at 100.00 AAA 2,135,595 3,300 5.000%, 11/15/24 - FGIC Insured (UB) 11/16 at 100.00 AAA 3,515,094 1,445 6.601%, 11/15/25 - FGIC Insured (IF) 11/16 at 100.00 AAA 1,723,986 10,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 31.42 AAA 2,770,200 Series 2000B, 0.000%, 9/01/28 (Pre-refunded 9/01/10) - MBIA Insured 1,280 Eagle County Air Terminal Corporation, Colorado, Airport Terminal 5/11 at 101.00 N/R 1,385,370 Revenue Bonds, Series 2001, 7.125%, 5/01/31 (Alternative Minimum Tax) 755 Jefferson County School District R1, Colorado, General Obligation 12/14 at 100.00 AAA 805,698 Bonds, Series 2004, 5.000%, 12/15/22 - FSA Insured 5,000 Northwest Parkway Public Highway Authority, Colorado, Revenue 6/11 at 102.00 AAA 5,292,900 Bonds, Senior Series 2001A, 5.250%, 6/15/41 - FSA Insured Northwest Parkway Public Highway Authority, Colorado, Senior Lien Revenue Bonds, Series 2001B: 22,000 0.000%, 6/15/28 - FSA Insured 6/11 at 35.65 AAA 6,548,960 17,650 0.000%, 6/15/29 - AMBAC Insured 6/11 at 33.45 AAA 4,930,351
57 Nuveen Dividend Advantage Municipal Fund 2 (NXZ) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO (continued) $ 1,000 Plaza Metropolitan District 1, Lakewood, Colorado, Tax Increment 6/14 at 101.00 N/R $ 1,112,320 Revenue Bonds, Series 2003, 8.000%, 12/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ 66,950 Total Colorado 33,318,669 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRICT OF COLUMBIA - 1.3% (0.9% OF TOTAL INVESTMENTS) 1,075 District of Columbia Tobacco Settlement Corporation, Tobacco 5/11 at 101.00 BBB 1,153,593 Settlement Asset-Backed Bonds, Series 2001, 6.250%, 5/15/24 5,000 Washington Convention Center Authority, District of Columbia, 10/16 at 100.00 AAA 4,967,600 Senior Lien Dedicated Tax Revenue Bonds, Series 2007A, 4.500%, 10/01/30 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 6,075 Total District of Columbia 6,121,193 - ------------------------------------------------------------------------------------------------------------------------------------ FLORIDA - 4.9% (3.3% OF TOTAL INVESTMENTS) 15,000 Jacksonville, Florida, Transportation Revenue Bonds, Series 2001, 10/11 at 100.00 AAA 15,795,600 5.250%, 10/01/29 - MBIA Insured 4,000 Miami-Dade County Health Facility Authority, Florida, Hospital 8/11 at 101.00 AAA 4,254,120 Revenue Refunding Bonds, Miami Children's Hospital, Series 2001A, 5.125%, 8/15/26 (Pre-refunded 8/15/11) - AMBAC Insured 3,000 Miami-Dade County, Florida, Aviation Revenue Bonds, Miami 10/12 at 100.00 AAA 3,167,520 International Airport, Series 2002, 5.375%, 10/01/32 - FGIC Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 22,000 Total Florida 23,217,240 - ------------------------------------------------------------------------------------------------------------------------------------ HAWAII - 2.2% (1.5% OF TOTAL INVESTMENTS) Honolulu Board of Water Supply, Hawaii, Water System Revenue Bonds, Series 2001: 3,000 5.250%, 7/01/26 (Pre-refunded 7/01/11) - FSA Insured 7/11 at 100.00 AAA 3,184,530 6,725 5.250%, 7/01/31 (Pre-refunded 7/01/11) - FSA Insured 7/11 at 100.00 AAA 7,138,655 - ------------------------------------------------------------------------------------------------------------------------------------ 9,725 Total Hawaii 10,323,185 - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS - 11.0% (7.3% OF TOTAL INVESTMENTS) 3,620 Chicago, Illinois, FHA/GNMA Collateralized Multifamily Housing 12/11 at 100.00 A+ 3,754,411 Revenue Bonds, Stone Terrace Apartments, Series 2001A, 5.750%, 12/20/42 (Alternative Minimum Tax) 1,085 Chicago, Illinois, FNMA/GNMA Collateralized Single Family Mortgage 4/11 at 105.00 AAA 1,089,232 Revenue Bonds, Series 2001A, 6.250%, 10/01/32 (Alternative Minimum Tax) 14,920 Chicago, Illinois, General Obligation Bonds, Series 2001A, 5.250%, 1/11 at 101.00 AAA 15,658,540 1/01/33 - MBIA Insured 350 Chicago, Illinois, General Obligation Bonds, Series 2001A, 5.250%, 1/11 at 101.00 AAA 371,683 1/01/33 (Pre-refunded 1/01/11) - MBIA Insured 285 Chicago, Illinois, General Obligation Refunding Bonds, Series 7/07 at 101.00 AAA 287,157 1996B, 5.125%, 1/01/25 - FGIC Insured 3,180 Illinois Development Finance Authority, Revenue Bonds, Chicago 12/12 at 100.00 BBB (4) 3,576,355 Charter School Foundation, Series 2002A, 6.250%, 12/01/32 (Pre-refunded 12/01/12) 910 Illinois Development Finance Authority, Revenue Bonds, Illinois 9/11 at 100.00 AAA 965,656 Wesleyan University, Series 2001, 5.500%, 9/01/32 - AMBAC Insured 4,090 Illinois Development Finance Authority, Revenue Bonds, Illinois 9/11 at 100.00 Aaa 4,384,766 Wesleyan University, Series 2001, 5.500%, 9/01/32 (Pre-refunded 9/01/11) - AMBAC Insured 3,100 Illinois Development Finance Authority, Revenue Bonds, Midwestern 5/11 at 101.00 A- (4) 3,389,013 University, Series 2001B, 6.000%, 5/15/31 (Pre-refunded 5/15/11) 5,000 Illinois Health Facilities Authority, Revenue Bonds, Edward 2/11 at 101.00 AAA 5,310,500 Hospital Obligated Group, Series 2001B, 5.250%, 2/15/34 (Pre-refunded 2/15/11) - FSA Insured 2,500 Illinois Housing Development Authority, Homeowner Mortgage 2/16 at 100.00 AA 2,548,525 Revenue Bonds, Series 2006C2, 5.050%, 8/01/27 (Alternative Minimum Tax) 2,275 Illinois, Sales Tax Revenue Bonds, Series 2001, 5.500%, 6/15/16 6/11 at 100.00 AAA 2,432,476 4,980 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/07 at 101.00 AAA 5,045,935 Refunding Bonds, McCormick Place Expansion Project, Series 1996A, 5.250%, 6/15/27 - AMBAC Insured 1,000 Montgomery, Illinois, Lakewood Creek Project Special Assessment 3/16 at 100.00 AA 1,002,310 Bonds, Series 2007, 4.700%, 3/01/30 - RAAI Insured
58
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS (continued) $ 3,360 Northfield Township High School District Number 225, Cook County, 12/16 at 69.01 AAA $ 1,485,859 Illinois, Glenbrook, General Obligation School Bonds, Series 2007B, 0.000%, 12/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ 50,655 Total Illinois 51,302,418 - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA - 4.6% (3.1% OF TOTAL INVESTMENTS) 2,000 Indiana Health Facility Financing Authority, Hospital Revenue 9/11 at 100.00 A- 2,027,920 Bonds, Methodist Hospitals Inc., Series 2001, 5.500%, 9/15/31 2,500 Indiana Health Facility Financing Authority, Hospital Revenue No Opt. Call AAA 2,861,300 Refunding Bonds, Columbus Regional Hospital, Series 1993, 7.000%, 8/15/15 - FSA Insured 4,000 Indiana Transportation Finance Authority, Highway Revenue Bonds, 6/13 at 100.00 AAA 4,194,240 Series 2003A, 5.000%, 6/01/23 - FSA Insured 6,000 Indiana Transportation Finance Authority, Highway Revenue Bonds, 6/13 at 100.00 AAA 6,419,700 Series 2003A, 5.000%, 6/01/24 (Pre-refunded 6/01/13) - FSA Insured 6,100 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/09 at 102.00 BBB 6,338,937 Madison Center Inc., Series 1999, 5.800%, 2/15/24 - ------------------------------------------------------------------------------------------------------------------------------------ 20,600 Total Indiana 21,842,097 - ------------------------------------------------------------------------------------------------------------------------------------ IOWA - 0.2% (0.2% OF TOTAL INVESTMENTS) 1,000 Iowa Higher Education Loan Authority, Private College Facility 10/12 at 100.00 A (4) 1,083,800 Revenue Bonds, Wartburg College, Series 2002, 5.500%, 10/01/28 (Pre-refunded 10/01/12) - ACA Insured - ------------------------------------------------------------------------------------------------------------------------------------ KANSAS - 3.9% (2.6% OF TOTAL INVESTMENTS) 17,000 Wichita, Kansas, Hospital Facilities Revenue Refunding and 11/11 at 101.00 A+ 18,074,570 Improvement Bonds, Via Christi Health System Inc., Series 2001-III, 5.625%, 11/15/31 - ------------------------------------------------------------------------------------------------------------------------------------ LOUISIANA - 5.1% (3.4% OF TOTAL INVESTMENTS) 3,960 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 5/16 at 100.00 AAA 3,895,610 2006, 4.500%, 5/01/41 - FGIC Insured (UB) 18,825 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 20,104,158 Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39 - ------------------------------------------------------------------------------------------------------------------------------------ 22,785 Total Louisiana 23,999,768 - ------------------------------------------------------------------------------------------------------------------------------------ MASSACHUSETTS - 4.0% (2.7% OF TOTAL INVESTMENTS) 2,875 Massachusetts Port Authority, Special Facilities Revenue Bonds, 7/07 at 102.00 AAA 2,940,493 BOSFUEL Corporation, Series 1997, 5.750%, 7/01/39 - MBIA Insured (Alternative Minimum Tax) 15,585 Massachusetts Turnpike Authority, Metropolitan Highway System 7/07 at 102.00 AAA 15,818,307 Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 18,460 Total Massachusetts 18,758,800 - ------------------------------------------------------------------------------------------------------------------------------------ MICHIGAN - 14.1% (9.4% OF TOTAL INVESTMENTS) Detroit, Michigan, Senior Lien Water Supply System Revenue Bonds, Series 2001A: 20,000 5.500%, 7/01/33 (Pre-refunded 7/01/11) - FGIC Insured 7/11 at 101.00 AAA 21,569,799 15,390 5.250%, 7/01/33 (Pre-refunded 7/01/11) - FGIC Insured 7/11 at 100.00 AAA 16,293,855 14,610 5.250%, 7/01/33 (Pre-refunded 7/01/11) - FGIC Insured 7/11 at 100.00 AAA 15,491,275 4,000 Michigan Municipal Bond Authority, Public School Academy Revenue 10/09 at 102.00 Ba1 4,237,880 Bonds, Detroit Academy of Arts and Sciences Charter School, Series 2001A, 8.000%, 10/01/31 2,000 Michigan State Hospital Finance Authority, Hospital Revenue 8/08 at 101.00 BB- 2,004,560 Bonds, Detroit Medical Center Obligated Group, Series 1998A, 5.125%, 8/15/18 Michigan State Hospital Finance Authority, Revenue Refunding Bonds, Detroit Medical Center Obligated Group, Series 1993A: 2,000 6.250%, 8/15/13 8/07 at 100.00 BB- 2,001,280 4,000 6.500%, 8/15/18 8/07 at 100.00 BB- 4,003,040 - ------------------------------------------------------------------------------------------------------------------------------------ 62,000 Total Michigan 65,601,689 - ------------------------------------------------------------------------------------------------------------------------------------
59 Nuveen Dividend Advantage Municipal Fund 2 (NXZ) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MINNESOTA - 3.2% (2.1% OF TOTAL INVESTMENTS) $ 14,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 AAA $ 14,744,800 Airport Revenue Bonds, Series 2001A, 5.250%, 1/01/32 (Pre-refunded 1/01/11) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI - 4.8% (3.2% OF TOTAL INVESTMENTS) 21,000 Missouri Health and Educational Facilities Authority, Revenue 6/11 at 101.00 AAA 22,383,479 Bonds, SSM Healthcare System, Series 2001A, 5.250%, 6/01/28 (Pre-refunded 6/01/11) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ MONTANA - 0.6% (0.4% OF TOTAL INVESTMENTS) 2,600 Montana Board of Housing, Single Family Program Bonds, Series 12/10 at 100.00 AA+ 2,638,324 2001A-2, 5.700%, 6/01/32 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA - 7.4% (4.9% OF TOTAL INVESTMENTS) 12,275 Director of Nevada State Department of Business and Industry, 1/10 at 100.00 AAA 12,666,204 Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured 3,500 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 N/R 3,678,220 Revenue Bonds, Las Vegas Monorail Project, Second Tier, Series 2000, 7.375%, 1/01/40 2,330 Henderson, Nevada, Healthcare Facility Revenue Bonds, Catholic 7/08 at 101.00 A (4) 2,393,842 Healthcare West, Series 1998A, 5.250%, 7/01/18 (Pre-refunded 7/01/08) 8,000 Henderson, Nevada, Healthcare Facility Revenue Refunding Bonds, 7/17 at 100.00 A 8,404,800 Catholic Healthcare West, Series 2007B, 5.250%, 7/01/31 (UB) 7,000 Reno, Nevada, Health Facilities Revenue Bonds, Catholic 7/17 at 100.00 A 7,383,250 Healthcare West, Series 2007A, 5.250%, 7/01/31 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 33,105 Total Nevada 34,526,316 - ------------------------------------------------------------------------------------------------------------------------------------ NEW HAMPSHIRE - 2.1% (1.4% OF TOTAL INVESTMENTS) 8,000 New Hampshire Business Finance Authority, Pollution Control 10/08 at 102.00 Baa1 8,300,720 Remarketed Revenue Refunding Bonds, Connecticut Light and Power Company, Series 1992A, 5.850%, 12/01/22 1,285 New Hampshire Housing Finance Authority, Single Family Mortgage 5/11 at 100.00 Aa2 1,302,322 Acquisition Bonds, Series 2001A, 5.700%, 1/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 9,285 Total New Hampshire 9,603,042 - ------------------------------------------------------------------------------------------------------------------------------------ NEW JERSEY - 2.4% (1.6% OF TOTAL INVESTMENTS) 3,995 New Jersey Economic Development Authority, Special Facilities 11/10 at 101.00 B 4,263,664 Revenue Bonds, Continental Airlines Inc., Series 2000, 7.000%, 11/15/30 (Alternative Minimum Tax) 415 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 443,677 Settlement Asset-Backed Bonds, Series 2002, 5.750%, 6/01/32 (Pre-refunded 6/01/12) Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2003: 2,200 6.375%, 6/01/32 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 2,501,950 425 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 494,165 3,085 6.250%, 6/01/43 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 3,503,789 - ------------------------------------------------------------------------------------------------------------------------------------ 10,120 Total New Jersey 11,207,245 - ------------------------------------------------------------------------------------------------------------------------------------ NEW MEXICO - 5.3% (3.5% OF TOTAL INVESTMENTS) New Mexico Hospital Equipment Loan Council, Hospital Revenue Bonds, Presbyterian Healthcare Services, Series 2001A: 12,000 5.500%, 8/01/25 (Pre-refunded 8/01/11) 8/11 at 101.00 AA- (4) 12,907,920 10,800 5.500%, 8/01/30 (Pre-refunded 8/01/11) 8/11 at 101.00 AA- (4) 11,617,128 - ------------------------------------------------------------------------------------------------------------------------------------ 22,800 Total New Mexico 24,525,048 - ------------------------------------------------------------------------------------------------------------------------------------
60
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK - 9.6% (6.4% OF TOTAL INVESTMENTS) $ 1,300 Dormitory Authority of the State of New York, Revenue Bonds, 7/10 at 101.00 Baa1 $ 1,395,329 Mount Sinai NYU Health Obligated Group, Series 2000A, 6.625%, 7/01/19 3,600 Dormitory Authority of the State of New York, Revenue Bonds, Mount 7/10 at 101.00 Baa1 (4) 3,947,976 Sinai NYU Health Obligated Group, Series 2000A, 6.625%, 7/01/19 (Pre-refunded 7/01/10) 1,980 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 1,952,775 Series 2006A, 4.500%, 2/15/47 - MBIA Insured 6,000 Long Island Power Authority, New York, Electric System General 5/11 at 100.00 A- (4) 6,391,860 Revenue Bonds, Series 2001L, 5.375%, 5/01/33 (Pre-refunded 5/01/11) 12,800 Metropolitan Transportation Authority, New York, Transportation 11/16 at 100.00 AAA 12,834,304 Revenue Bonds, Series 2006B, 4.500%, 11/15/32 - FSA Insured (UB) 5,000 New York City Industrial Development Agency, New York, Special 8/12 at 101.00 B 5,901,100 Facilities Revenue Bonds, JFK Airport - American Airlines Inc., Series 2002B, 8.500%, 8/01/28 (Alternative Minimum Tax) 12,000 New York City Municipal Water Finance Authority, New York, Water 6/11 at 101.00 AA+ 12,568,080 and Sewerage System Revenue Bonds, Fiscal Series 2001C, 5.125%, 6/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 42,680 Total New York 44,991,424 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA - 1.7% (1.1% OF TOTAL INVESTMENTS) 2,950 North Carolina Capital Facilities Financing Agency, Revenue Bonds, 4/13 at 100.00 AAA 3,065,404 Johnson and Wales University, Series 2003A, 5.000%, 4/01/33 - XLCA Insured 4,500 North Carolina Eastern Municipal Power Agency, Power System 1/09 at 102.00 BBB 4,698,360 Revenue Refunding Bonds, Series 1999B, 5.600%, 1/01/15 - ------------------------------------------------------------------------------------------------------------------------------------ 7,450 Total North Carolina 7,763,764 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH DAKOTA - 0.5% (0.3% OF TOTAL INVESTMENTS) 2,165 North Dakota Housing Finance Agency, Home Mortgage Finance 7/10 at 100.00 Aa1 2,236,597 Program Refunding Bonds, Series 2001A, 5.550%, 1/01/32 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ OHIO - 0.4% (0.3% OF TOTAL INVESTMENTS) 1,845 Columbus City School District, Franklin County, Ohio, General 6/13 at 100.00 AAA 1,973,025 Obligation Bonds, Series 2003, 5.000%, 12/01/28 (Pre-refunded 6/01/13) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ OKLAHOMA - 0.8% (0.5% OF TOTAL INVESTMENTS) Oklahoma Development Finance Authority, Revenue Refunding Bonds, Hillcrest Healthcare System, Series 1999A: 2,655 5.125%, 8/15/10 (Pre-refunded 8/15/09) 8/09 at 101.00 AAA 2,763,457 1,000 5.200%, 8/15/11 (Pre-refunded 8/15/09) 8/09 at 101.00 AAA 1,042,480 - ------------------------------------------------------------------------------------------------------------------------------------ 3,655 Total Oklahoma 3,805,937 - ------------------------------------------------------------------------------------------------------------------------------------ OREGON - 3.8% (2.5% OF TOTAL INVESTMENTS) 8,000 Clackamas County Hospital Facility Authority, Oregon, Revenue 5/11 at 101.00 AA- 8,378,800 Refunding Bonds, Legacy Health System, Series 2001, 5.250%, 5/01/21 9,000 Oregon Department of Administrative Services, Certificates of 5/11 at 101.00 AAA 9,332,100 Participation, Series 2001D, 5.000%, 5/01/26 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 17,000 Total Oregon 17,710,900 - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA - 3.5% (2.3% OF TOTAL INVESTMENTS) 5,000 Allegheny County Hospital Development Authority, Pennsylvania, 11/10 at 102.00 Ba3 5,904,000 Revenue Bonds, West Penn Allegheny Health System, Series 2000B, 9.250%, 11/15/30 1,605 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 1,668,381 Resource Recovery Revenue Refunding Bonds, Panther Creek Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative Minimum Tax) 8,000 Pennsylvania Higher Educational Facilities Authority, Revenue 1/11 at 101.00 Aa3 8,637,840 Bonds, UPMC Health System, Series 2001A, 6.000%, 1/15/31 - ------------------------------------------------------------------------------------------------------------------------------------ 14,605 Total Pennsylvania 16,210,221 - ------------------------------------------------------------------------------------------------------------------------------------
61 Nuveen Dividend Advantage Municipal Fund 2 (NXZ) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS - 24.9% (16.6% OF TOTAL INVESTMENTS) $ 7,500 Austin, Texas, Electric Utility System Revenue Refunding Bonds, 11/10 at 100.00 AAA $ 7,740,225 Series 2001, 5.000%, 11/15/30 - FSA Insured Dallas-Fort Worth International Airport Public Facility Corporation, Texas, Airport Hotel Revenue Bonds, Series 2001: 15,000 5.250%, 1/15/26 - FSA Insured 1/09 at 100.00 AAA 15,303,150 1,750 5.200%, 1/15/31 - FSA Insured 1/09 at 100.00 AAA 1,783,250 6,000 Decatur Hospital Authority, Texas, Revenue Bonds, Wise Regional 9/14 at 100.00 N/R 6,613,800 Health System, Series 2004A, 7.125%, 9/01/34 10,000 Gulf Coast Industrial Development Authority, Texas, Solid Waste 4/12 at 100.00 Baa3 11,420,700 Disposal Revenue Bonds, Citgo Petroleum Corporation Project, Series 1998, 8.000%, 4/01/28 (Alternative Minimum Tax) 3,000 Harris County Health Facilities Development Corporation, Texas, 7/09 at 101.00 AAA 3,127,860 Revenue Bonds, Christus Health, Series 1999A, 5.375%, 7/01/24 (Pre-refunded 7/01/09) - MBIA Insured 30,980 Harris County-Houston Sports Authority, Texas, Junior Lien Revenue 11/11 at 100.00 AAA 32,586,312 Refunding Bonds, Series 2001B, 5.250%, 11/15/40 - MBIA Insured 40,000 Harris County-Houston Sports Authority, Texas, Senior Lien 11/30 at 54.04 AAA 7,274,400 Revenue Refunding Bonds, Series 2001A, 0.000%, 11/15/40 - MBIA Insured Hays Consolidated Independent School District, Hays County, Texas, General Obligation School Building Bonds, Series 2001: 10,715 0.000%, 8/15/25 (Pre-refunded 8/15/11) 8/11 at 43.18 AAA 3,927,905 12,940 0.000%, 8/15/26 (Pre-refunded 8/15/11) 8/11 at 40.60 AAA 4,460,806 Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, Convention and Entertainment Project, Series 2001B: 5,000 0.000%, 9/01/30 - AMBAC Insured No Opt. Call AAA 1,794,350 5,540 0.000%, 9/01/31 - AMBAC Insured No Opt. Call AAA 1,898,226 5,000 Metro Health Facilities Development Corporation, Texas, Hospital 1/11 at 100.00 B1 5,185,600 Revenue Bonds, Wilson N. Jones Memorial Hospital, Series 2001, 7.250%, 1/01/31 10,500 Texas, General Obligation Bonds, Water Financial Assistance 8/11 at 100.00 Aa1 11,012,085 Program, Series 2001, 5.250%, 8/01/35 2,000 Tom Green County Health Facilities Development Corporation, Texas, 5/11 at 101.00 Baa3 2,163,160 Hospital Revenue Bonds, Shannon Health System Project, Series 2001, 6.750%, 5/15/21 - ------------------------------------------------------------------------------------------------------------------------------------ 165,925 Total Texas 116,291,829 - ------------------------------------------------------------------------------------------------------------------------------------ VIRGINIA - 0.2% (0.2% OF TOTAL INVESTMENTS) 5,000 Pocahontas Parkway Association, Virginia, Senior Lien Revenue 8/08 at 23.55 AAA 1,122,100 Bonds, Route 895 Connector Toll Road, Series 1998B, 0.000%, 8/15/33 (Pre-refunded 8/15/08) - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON - 5.1% (3.4% OF TOTAL INVESTMENTS) Seattle, Washington, Municipal Light and Power Revenue Refunding and Improvement Bonds, Series 2001: 4,820 5.500%, 3/01/19 - FSA Insured 3/11 at 100.00 AAA 5,107,031 7,250 5.125%, 3/01/26 - FSA Insured 3/11 at 100.00 AAA 7,537,028 7,500 Washington State Healthcare Facilities Authority, Revenue Bonds, 10/11 at 100.00 AAA 7,854,375 Sisters of Providence Health System, Series 2001A, 5.250%, 10/01/21 - MBIA Insured 965 Washington State Tobacco Settlement Authority, Tobacco Settlement 6/13 at 100.00 BBB 1,062,716 Asset-Backed Revenue Bonds, Series 2002, 6.500%, 6/01/26 2,100 Washington, Certificates of Participation, Washington Convention 7/09 at 100.00 AAA 2,161,278 and Trade Center, Series 1999, 5.125%, 7/01/13 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 22,635 Total Washington 23,722,428 - ------------------------------------------------------------------------------------------------------------------------------------ WEST VIRGINIA - 1.1% (0.8% OF TOTAL INVESTMENTS) 5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 5,260,550 Appalachian Power Company, Series 2003L, 5.500%, 10/01/22 - ------------------------------------------------------------------------------------------------------------------------------------
62
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN - 0.7% (0.4% OF TOTAL INVESTMENTS) $ 1,000 Wisconsin Health and Educational Facilities Authority, Revenue 5/12 at 100.00 N/R (4) $ 1,147,020 Bonds, Divine Savior Healthcare, Series 2002A, 7.375%, 5/01/26 (Pre-refunded 5/01/12) 2,100 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 A- 2,148,552 Bonds, Wheaton Franciscan Services Inc., Series 2003A, 5.125%, 8/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 3,100 Total Wisconsin 3,295,572 - ------------------------------------------------------------------------------------------------------------------------------------ $ 756,685 Total Long-Term Investments (cost $642,887,561) - 149.4% 697,760,341 ============------------------------------------------------------------------------------------------------------------------------ SHORT-TERM INVESTMENTS - 0.3% (0.2% OF TOTAL INVESTMENTS) $ 1,200 New York City Municipal Water Finance Authority, New York, Water VMIG-1 1,200,000 and Sewerage System Revenue Bonds, Variable Rate Demand Obligations, Fiscal Series 1994C, 4.070%, 6/15/23 - FGIC Insured (5) ============------------------------------------------------------------------------------------------------------------------------ Total Short-Term Investments (cost $1,200,000) 1,200,000 --------------------------------------------------------------------------------------------------------------------- Total Investments (cost $644,087,561) - 149.7% 698,960,341 --------------------------------------------------------------------------------------------------------------------- Floating Rate Obligations - (5.0)% (23,365,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.8% 13,283,664 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (47.5)% (222,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 466,879,005 =====================================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. (3) Ratings: Using the higher of Standard & Poor's or Moody's rating. Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor Service, Inc. are considered to be below investment grade. (4) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensure the timely payment of principal and interest. Such investments are normally considered to be equivalent to AAA rated securities. (5) Investment has a maturity of more than one year, but has variable rate and demand features which qualify it as a short-term investment. The rate disclosed is that in effect at the end of the reporting period. This rate changes periodically based on market conditions or a specified market index. N/R Not rated. (UB) Underlying bond of an inverse floating rate trust reflected as a financing transaction pursuant to the provisions of SFAS No. 140. (IF) Inverse floating rate investment. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 63 Nuveen Dividend Advantage Municipal Fund 3 (NZF) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ ALABAMA - 1.0% (0.6% OF TOTAL INVESTMENTS) $ 5,655 Alabama State Port Authority, Revenue Bonds, State Docks 10/11 at 100.00 AAA $ 5,996,166 Department Facilities, Series 2001, 5.250%, 10/01/26 (Pre-refunded 10/01/11) - AMBAC Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ ALASKA - 2.6% (1.7% OF TOTAL INVESTMENTS) 4,000 Alaska Student Loan Corporation, Student Loan Revenue Bonds, 7/08 at 100.00 AAA 4,051,320 Series 1998A, 5.250%, 7/01/14 - AMBAC Insured (Alternative Minimum Tax) 12,500 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 12,299,000 Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 16,500 Total Alaska 16,350,320 - ------------------------------------------------------------------------------------------------------------------------------------ ARKANSAS - 0.9% (0.6% OF TOTAL INVESTMENTS) Sebastian County Health Facilities Board, Arkansas, Hospital Revenue Improvement Bonds, Sparks Regional Medical Center, Series 2001A: 1,805 5.500%, 11/01/13 11/11 at 101.00 Baa2 1,892,561 1,900 5.500%, 11/01/14 11/11 at 101.00 Baa2 1,987,457 1,745 5.250%, 11/01/21 11/11 at 101.00 Baa2 1,779,621 - ------------------------------------------------------------------------------------------------------------------------------------ 5,450 Total Arkansas 5,659,639 - ------------------------------------------------------------------------------------------------------------------------------------ CALIFORNIA - 12.0% (7.8% OF TOTAL INVESTMENTS) California Health Facilities Financing Authority, Health Facility Revenue Bonds, Adventist Health System/West, Series 2003A: 855 5.000%, 3/01/28 3/13 at 100.00 A 873,596 140 5.000%, 3/01/33 3/13 at 100.00 A 142,614 1,000 California Health Facilities Financing Authority, Revenue Bonds, 11/16 at 100.00 AA- 1,034,110 Sutter Health, Series 2007A, 5.000%, 11/15/42 (WI/DD, Settling 5/01/07) 10,000 California Infrastructure Economic Development Bank, First Lien 1/28 at 100.00 AAA 11,208,600 Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2003A, 5.000%, 7/01/33 (Pre-refunded 1/01/28) - AMBAC Insured (UB) 5,000 California Infrastructure Economic Development Bank, Revenue 8/11 at 102.00 A+ 5,289,550 Bonds, Kaiser Hospital Assistance LLC, Series 2001A, 5.550%, 8/01/31 18,850 California, General Obligation Veterans Welfare Bonds, Series 6/07 at 101.00 AAA 18,956,126 2001BZ, 5.350%, 12/01/21 - MBIA Insured (Alternative Minimum Tax) 365 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 366,124 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 Los Angeles Regional Airports Improvement Corporation, California, Lease Revenue Refunding Bonds, LAXFUEL Corporation at Los Angeles International Airport, Series 2001: 13,955 5.750%, 1/01/16 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 14,951,108 5,000 5.375%, 1/01/21 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 5,224,450 1,500 5.250%, 1/01/23 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 1,555,755 10,000 5.500%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 10,519,400 10,000 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 2,969,800 California, Toll Road Revenue Refunding Bonds, Series 1997A, 0.000%, 1/15/35 - MBIA Insured 3,000 San Mateo County Community College District, California, General No Opt. Call AAA 1,071,720 Obligation Bonds, Series 2006C, 0.000%, 9/01/30 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 79,665 Total California 74,162,953 - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO - 6.3% (4.1% OF TOTAL INVESTMENTS) 2,250 Canterberry Crossing Metropolitan District II, Parker, Colorado, 12/12 at 100.00 N/R 2,448,698 Limited Tax General Obligation Bonds, Series 2002, 7.375%, 12/01/32
64
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ COLORADO (continued) $ 1,605 Colorado Educational and Cultural Facilities Authority, Charter 3/12 at 100.00 N/R $ 1,750,590 School Revenue Bonds, Belle Creek Education Center, Series 2002A, 7.625%, 3/15/32 3,240 Colorado Educational and Cultural Facilities Authority, Charter 3/10 at 102.00 N/R (4) 3,601,292 School Revenue Bonds, Montessori Peaks Building Foundation, Series 2002A, 8.000%, 5/01/32 (Pre-refunded 3/01/10) 1,775 Colorado Educational and Cultural Facilities Authority, Charter 6/11 at 100.00 Ba1 (4) 2,000,461 School Revenue Bonds, Weld County School District 6 - Frontier Academy, Series 2001, 7.375%, 6/01/31 (Pre-refunded 6/01/11) 3,560 Colorado Educational and Cultural Facilities Authority, Revenue 5/16 at 102.00 N/R 3,541,168 Bonds, Montessori Peaks Academy, Series 2006, 5.400%, 5/01/26 3,380 Colorado Housing Finance Authority, Multifamily Project Bonds, 10/11 at 100.00 AAA 3,488,667 Class I, Series 2001A-1, 5.500%, 4/01/31 (Alternative Minimum Tax) 10,100 Colorado Springs, Colorado, Utility System Revenue Refunding and 11/07 at 100.00 AA 10,175,144 Improvement Bonds, Series 1997A, 5.375%, 11/15/26 Denver City and County, Colorado, Airport Revenue Bonds, Series 2006: 5,365 5.000%, 11/15/23 - FGIC Insured (UB) 11/16 at 100.00 AAA 5,723,382 1,100 6.601%, 11/15/24 - FGIC Insured (IF) 11/16 at 100.00 AAA 1,312,377 1,445 6.601%, 11/15/25 - FGIC Insured (IF) 11/16 at 100.00 AAA 1,723,986 2,000 Denver City and County, Colorado, Airport System Revenue 11/11 at 100.00 AAA 2,119,600 Refunding Bonds, Series 2001A, 5.500%, 11/15/16 - FGIC Insured (Alternative Minimum Tax) 1,000 Plaza Metropolitan District 1, Lakewood, Colorado, Tax Increment 6/14 at 101.00 N/R 1,112,320 Revenue Bonds, Series 2003, 8.000%, 12/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ 36,820 Total Colorado 38,997,685 - ------------------------------------------------------------------------------------------------------------------------------------ DELAWARE - 0.4% (0.3% OF TOTAL INVESTMENTS) 2,560 Delaware Housing Authority, Multifamily Mortgage Revenue Bonds, 7/12 at 100.00 Aa3 2,635,776 Series 2001A, 5.400%, 7/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRICT OF COLUMBIA - 1.7% (1.1% OF TOTAL INVESTMENTS) 6,000 District of Columbia, Revenue Bonds, Catholic University of 10/09 at 101.00 AAA 6,291,180 America, Series 1999, 5.625%, 10/01/29 - AMBAC Insured 1,000 Washington Convention Center Authority, District of Columbia, 10/16 at 100.00 Aaa 980,580 Senior Lien Dedicated Tax Revenue Bonds, Series 2007, Residuals 1606, 5.498%, 10/01/30 - AMBAC Insured (IF) 3,335 Washington DC Convention Center Authority, Dedicated Tax Revenue 10/16 at 100.00 Aaa 3,270,234 Bonds, Residual Series 1730, 1731, 1736, 7.230%, 10/01/30 (WI/DD, Settling 5/03/07) - AMBAC Insured (IF) - ------------------------------------------------------------------------------------------------------------------------------------ 10,335 Total District of Columbia 10,541,994 - ------------------------------------------------------------------------------------------------------------------------------------ FLORIDA - 2.0% (1.3% OF TOTAL INVESTMENTS) 2,000 Dade County, Florida, Water and Sewerage System Revenue Bonds, 10/07 at 102.00 AAA 2,052,760 Series 1997, 5.375%, 10/01/16 - FGIC Insured Orange County Housing Finance Authority, Florida, Multifamily Housing Revenue Bonds, Oak Glen Apartments, Series 2001G: 1,105 5.400%, 12/01/32 - FSA Insured 12/11 at 100.00 AAA 1,137,034 2,195 5.450%, 12/01/41 - FSA Insured 12/11 at 100.00 AAA 2,253,453 4,175 Pace Property Finance Authority Inc., Florida, Utility System 9/07 at 102.00 AAA 4,278,081 Improvement and Revenue Refunding Bonds, Series 1997, 5.250%, 9/01/17 - AMBAC Insured 2,455 South Miami Florida Health Facilities Authority, Hospital Revenue, 8/17 at 100.00 AA- 2,521,432 Baptist Health System Obligation Group, Series 2007, 5.000%, 8/15/42 (WI/DD, Settling 5/16/07) - ------------------------------------------------------------------------------------------------------------------------------------ 11,930 Total Florida 12,242,760 - ------------------------------------------------------------------------------------------------------------------------------------ GEORGIA - 2.3% (1.6% OF TOTAL INVESTMENTS) 5,000 Atlanta, Georgia, Airport General Revenue Bonds, Series 2000B, 1/10 at 101.00 AAA 5,234,850 5.625%, 1/01/30 - FGIC Insured (Alternative Minimum Tax) 2,700 Atlanta, Georgia, Tax Allocation Bonds, Atlantic Station Project, 12/11 at 101.00 N/R 2,990,655 Series 2001, 7.900%, 12/01/24 2,000 Fulton County Residential Care Facilities Authority, Georgia, 7/17 at 100.00 N/R 2,022,780 Revenue Bonds, Elderly Care, Lenbrook Square Project, Series 2006A, 5.125%, 7/01/42 3,740 Gainesville and Hall County Hospital Authority, Georgia, Revenue 5/11 at 100.00 A- 3,880,923 Anticipation Certificates, Northeast Georgia Health Services Inc., Series 2001, 5.500%, 5/15/31
65 Nuveen Dividend Advantage Municipal Fund 3 (NZF) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ GEORGIA (continued) $ 500 Gainesville Redevelopment Authority, Georgia, Educational 3/17 at 100.00 N/R $ 511,605 Facilities Revenue Bonds, Riverside Military Academy Project, Series 2007, 5.125%, 3/01/37 - ------------------------------------------------------------------------------------------------------------------------------------ 13,940 Total Georgia 14,640,813 - ------------------------------------------------------------------------------------------------------------------------------------ ILLINOIS - 19.9% (13.0% OF TOTAL INVESTMENTS) 16,000 Chicago Greater Metropolitan Area Sanitary District, Illinois, 12/16 at 100.00 AAA 17,523,360 General Obligation Bonds, Series 2006, 5.000%, 12/01/35 (UB) 285 Chicago, Illinois, General Obligation Refunding Bonds, Series 7/07 at 101.00 AAA 287,157 1996B, 5.125%, 1/01/25 - FGIC Insured 8,375 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 2001A, 1/11 at 101.00 AAA 8,832,108 5.500%, 1/01/19 - FSA Insured (Alternative Minimum Tax) 1,750 Chicago, Illinois, Sales Tax Revenue Bonds, Series 1998, 5.250%, 7/08 at 102.00 AAA 1,807,453 1/01/28 - FGIC Insured 5,800 Chicago, Illinois, Sales Tax Revenue Bonds, Series 1999, 5.375%, 1/09 at 101.00 AAA 6,014,426 1/01/30 (Pre-refunded 1/01/09) - FGIC Insured 4,950 Chicago, Illinois, Second Lien Passenger Facility Charge Revenue 1/11 at 101.00 AAA 5,179,284 Bonds, O'Hare International Airport, Series 2001A, 5.375%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 8,610 Chicago, Illinois, Second Lien Wastewater Transmission Revenue 1/11 at 100.00 AAA 9,141,323 Bonds, Series 2001A, 5.500%, 1/01/26 (Pre-refunded 1/01/11) - AMBAC Insured 2,220 Chicago, Illinois, Second Lien Wastewater Transmission Revenue No Opt. Call AAA 2,476,432 Bonds, Series 2001A, 5.500%, 1/01/16 - MBIA Insured 10,000 Chicago, Illinois, Senior Lien Water Revenue Bonds, Series 2001, 11/11 at 100.00 AAA 10,541,000 5.000%, 11/01/26 (Pre-refunded 11/01/11) - AMBAC Insured 1,665 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 AAA 1,751,580 O'Hare International Airport, Series 2005A, 5.000%, 1/01/33 - FGIC Insured 2,415 Illinois Finance Authority, General Obligation Debt Certificates, 12/14 at 100.00 Aaa 2,543,333 Local Government Program - Kankakee County, Series 2005B, 5.000%, 12/01/24 - AMBAC Insured 1,100 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/10 at 101.00 Baa2 1,175,515 Medical Center, Series 2000, 6.500%, 5/15/30 9,000 Illinois Health Facilities Authority, Revenue Bonds, Covenant 12/11 at 101.00 BBB 9,479,340 Retirement Communities Inc., Series 2001, 5.875%, 12/01/31 15,000 Illinois Health Facilities Authority, Revenue Bonds, Loyola 7/11 at 100.00 Baa2 (4) 16,305,000 University Health System, Series 2001A, 6.125%, 7/01/31 (Pre-refunded 7/01/11) 5,000 Lake County School District 38, Big Hallow, Illinois, General No Opt. Call Aaa 2,657,700 Obligation Bonds, Series 2005, 0.000%, 2/01/22 - AMBAC Insured 7,000 Lombard Public Facilities Corporation, Illinois, First Tier 1/16 at 100.00 N/R 7,549,080 Conference Center and Hotel Revenue Bonds, Series 2005A-1, 7.125%, 1/01/36 16,900 Metropolitan Pier and Exposition Authority, Illinois, Revenue 12/09 at 101.00 AAA 17,572,958 Bonds, McCormick Place Expansion Project, Series 1999A, 5.250%, 12/15/28 - FGIC Insured 2,000 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 2,364,120 Refunding Bonds, McCormick Place Expansion Project, Series 1998A, 5.500%, 6/15/29 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 118,070 Total Illinois 123,201,169 - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA - 5.2% (3.4% OF TOTAL INVESTMENTS) Clark-Pleasant Community School Building Corporation, Indiana, First Mortgage Bonds, Series 2001: 1,255 5.000%, 7/15/21 (Pre-refunded 1/15/12) - AMBAC Insured 1/12 at 100.00 AAA 1,326,786 1,000 5.000%, 1/15/26 (Pre-refunded 1/15/12) - AMBAC Insured 1/12 at 100.00 AAA 1,057,200 Evansville Vanderburgh Public Library Lease Corporation, Indiana, First Mortgage Bonds, Series 2001: 2,000 5.750%, 7/15/18 (Pre-refunded 1/15/12) - MBIA Insured 1/12 at 100.00 AAA 2,178,700 2,750 5.125%, 1/15/24 (Pre-refunded 1/15/12) - MBIA Insured 1/12 at 100.00 AAA 2,922,040 1,250 Hamilton Southeastern Cumberland Campus School Building 1/12 at 100.00 AAA 1,328,200 Corporation, Indiana, First Mortgage Bonds, Series 2001, 5.125%, 1/15/23 (Pre-refunded 1/15/12) - AMBAC Insured 9,500 Indiana Educational Facilities Authority, Revenue Bonds, Butler 2/11 at 100.00 AAA 10,015,090 University, Series 2001, 5.500%, 2/01/26 - MBIA Insured
66
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ INDIANA (continued) $ 4,230 Indiana Finance Authority, Educational Facilities Revenue Bonds, 6/15 at 100.00 Aa3 $ 4,422,930 Tudor Park Foundation, Series 2005B, 5.000%, 6/01/24 2,800 Indiana Health Facility Financing Authority, Revenue Bonds, 5/15 at 100.00 AAA 2,928,632 Community Hospitals of Indiana, Series 2005A, 5.000%, 5/01/35 - AMBAC Insured 3,500 University of Southern Indiana, Student Fee Bonds, Series 2001H, 10/11 at 100.00 Aaa 3,667,090 5.000%, 10/01/21 - AMBAC Insured Wayne County Jail Holding Corporation, Indiana, First Mortgage Bonds, Series 2001: 1,150 5.625%, 7/15/18 - AMBAC Insured 1/13 at 101.00 AAA 1,262,585 1,090 5.500%, 7/15/22 - AMBAC Insured 1/13 at 101.00 AAA 1,185,408 - ------------------------------------------------------------------------------------------------------------------------------------ 30,525 Total Indiana 32,294,661 - ------------------------------------------------------------------------------------------------------------------------------------ IOWA - 5.8% (3.8% OF TOTAL INVESTMENTS) 2,000 Iowa Finance Authority, Healthcare Revenue Bonds, Great River 5/11 at 100.00 Aaa 2,074,640 Medical Center, Series 2001, 5.250%, 5/15/31 - FSA Insured Iowa Tobacco Settlement Authority, Tobacco Settlement Asset-Backed Revenue Bonds, Series 2001B: 28,000 5.300%, 6/01/25 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 29,656,479 3,950 5.600%, 6/01/35 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 4,262,169 - ------------------------------------------------------------------------------------------------------------------------------------ 33,950 Total Iowa 35,993,288 - ------------------------------------------------------------------------------------------------------------------------------------ KENTUCKY - 3.1% (2.1% OF TOTAL INVESTMENTS) 18,500 Louisville and Jefferson County Metropolitan Sewer District, 11/11 at 101.00 AAA 19,510,654 Kentucky, Sewer and Drainage System Revenue Bonds, Series 2001A, 5.125%, 5/15/27 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ LOUISIANA - 3.4% (2.2% OF TOTAL INVESTMENTS) 19,890 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 21,241,525 Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39 - ------------------------------------------------------------------------------------------------------------------------------------ MAINE - 1.0% (0.7% OF TOTAL INVESTMENTS) Maine State Housing Authority, Single Family Mortgage Purchase Bonds, Series 2001B: 4,610 5.400%, 11/15/21 (Alternative Minimum Tax) 11/10 at 100.00 AA+ 4,723,129 1,690 5.500%, 11/15/32 (Alternative Minimum Tax) 11/10 at 100.00 AA+ 1,705,835 - ------------------------------------------------------------------------------------------------------------------------------------ 6,300 Total Maine 6,428,964 - ------------------------------------------------------------------------------------------------------------------------------------ MARYLAND - 2.5% (1.7% OF TOTAL INVESTMENTS) 1,000 Howard County, Maryland, Retirement Community Revenue Bonds, 4/17 at 100.00 N/R 1,024,830 Vantage House, Series 2007B, 5.250%, 4/01/37 1,570 Maryland Community Development Administration, Insured 7/11 at 100.00 Aa2 1,607,916 Multifamily Housing Mortgage Loan Revenue Bonds, Series 2001B, 5.250%, 7/01/21 (Alternative Minimum Tax) 2,000 Maryland Economic Development Corporation, Revenue Bonds, 12/16 at 100.00 N/R 2,025,000 Chesapeake Bay Hyatt Conference Center, Series 2006A, 5.000%, 12/01/31 10,600 Maryland Energy Financing Administration, Revenue Bonds, AES 9/07 at 100.00 N/R 10,589,082 Warrior Run Project, Series 1995, 7.400%, 9/01/19 (Alternative Minimum Tax) 555 Maryland Health and Higher Educational Facilities Authority, 7/17 at 100.00 BBB+ 557,187 Revenue Bonds, Mercy Ridge Retirement Community, Series 2007, 4.750%, 7/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ 15,725 Total Maryland 15,804,015 - ------------------------------------------------------------------------------------------------------------------------------------ MASSACHUSETTS - 1.2% (0.8% OF TOTAL INVESTMENTS) 1,000 Massachusetts Development Finance Agency, Revenue Bonds, Orchard 10/12 at 102.00 BBB- 1,030,310 Cove, Series 2007, 5.250%, 10/01/26 (WI/DD, Settling 5/01/07) 5,000 Massachusetts Port Authority, Special Facilities Revenue Bonds, 1/11 at 101.00 AAA 5,285,150 Delta Air Lines Inc., Series 2001A, 5.500%, 1/01/18 - AMBAC Insured (Alternative Minimum Tax) 1,000 Massachusetts Water Resources Authority, General Revenue Bonds, 2/17 at 100.00 Aaa 951,990 Series 2007, Residual Trust 7039, 5.247%, 8/01/46 - FSA Insured (IF) - ------------------------------------------------------------------------------------------------------------------------------------ 7,000 Total Massachusetts 7,267,450 - ------------------------------------------------------------------------------------------------------------------------------------
67 Nuveen Dividend Advantage Municipal Fund 3 (NZF) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ MICHIGAN - 9.2% (6.0% OF TOTAL INVESTMENTS) $ 15,000 Detroit City School District, Wayne County, Michigan, Unlimited No Opt. Call AAA $ 18,678,600 Tax School Building and Site Improvement Bonds, Series 2001A, 6.000%, 5/01/29 - FSA Insured 11,000 Kent Hospital Finance Authority, Michigan, Revenue Bonds, Spectrum 7/11 at 101.00 AA (4) 11,838,640 Health, Series 2001A, 5.500%, 1/15/31 (Pre-refunded 7/15/11) 1,235 Michigan State Building Authority, Revenue Bonds, Facilities 10/11 at 100.00 AA- 1,322,166 10/15/18 Program, Series 2001I, 5.500%, 1,355 Michigan State Hospital Finance Authority, Hospital Revenue Bonds, 8/08 at 101.00 BB- 1,359,377 Detroit Medical Center Obligated Group, Series 1998A, 5.250%, 8/15/23 3,485 Michigan State Hospital Finance Authority, Hospital Revenue No Opt. Call AAA 3,688,733 Refunding Bonds, Sisters of Mercy Health Corporation, Series 1993P, 5.375%, 8/15/14 - MBIA Insured (ETM) Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Sparrow Obligated Group, Series 2001: 1,400 5.500%, 11/15/21 (Pre-refunded 11/15/11) 11/11 at 101.00 A+ (4) 1,513,540 2,500 5.625%, 11/15/31 (Pre-refunded 11/15/11) 11/11 at 101.00 A+ (4) 2,715,700 12,640 Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue 11/11 at 100.00 AAA 13,175,430 Bonds, William Beaumont Hospital, Series 2001M, 5.250%, 11/15/31 - MBIA Insured 2,395 Ypsilanti Community Utilities Authority, Washtenaw County, 5/11 at 100.00 AAA 2,526,438 Michigan, General Obligation Bonds, Sanitary Sewerage System 3, Series 2001, 5.100%, 5/01/31 (Pre-refunded 5/01/11) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 51,010 Total Michigan 56,818,624 - ------------------------------------------------------------------------------------------------------------------------------------ MINNESOTA - 0.6% (0.4% OF TOTAL INVESTMENTS) 2,320 Dakota County Community Development Agency, Minnesota, GNMA 10/11 at 105.00 Aaa 2,463,144 Collateralized Multifamily Housing Revenue Bonds, Rose Apartments Project, Series 2001, 6.350%, 10/20/37 (Alternative Minimum Tax) 1,000 Saint Paul Port Authority, Minnesota, Lease Revenue Bonds, Regions 8/16 at 100.00 N/R 1,013,610 Hospital Parking Ramp Project, Series 2007-1, 5.000%, 8/01/36 - ------------------------------------------------------------------------------------------------------------------------------------ 3,320 Total Minnesota 3,476,754 - ------------------------------------------------------------------------------------------------------------------------------------ MISSISSIPPI - 0.4% (0.2% OF TOTAL INVESTMENTS) 2,155 Mississippi Business Finance Corporation, GNMA Collateralized 5/09 at 103.00 AAA 2,242,040 Retirement Facility Mortgage Revenue Refunding Bonds, Aldersgate Retirement Community Inc. Project, Series 1999A, 5.450%, 5/20/34 - ------------------------------------------------------------------------------------------------------------------------------------ MISSOURI - 2.6% (1.7% OF TOTAL INVESTMENTS) 1,000 Cape Girardeau County Industrial Development Authority, Missouri, 6/17 at 100.00 N/R 1,017,800 Health Facilities Revenue Bonds, Southeast Missouri Hospital Association, Series 2007, 5.000%, 6/01/36 1,825 Fenton, Missouri, Tax Increment Refunding and Improvement Revenue 10/12 at 100.00 N/R (4) 2,038,087 Bonds, Gravois Bluffs Redevelopment Project, Series 2002, 6.125%, 10/01/21 (Pre-refunded 10/01/12) Missouri Development Finance Board, Cultural Facilities Revenue Bonds, Nelson Gallery Foundation, Series 2001A: 3,335 5.250%, 12/01/19 - MBIA Insured 12/11 at 100.00 AAA 3,540,269 3,510 5.250%, 12/01/20 - MBIA Insured 12/11 at 100.00 AAA 3,726,041 3,695 5.250%, 12/01/21 - MBIA Insured 12/11 at 100.00 AAA 3,922,427 2,040 5.250%, 12/01/22 - MBIA Insured 12/11 at 100.00 AAA 2,154,566 - ------------------------------------------------------------------------------------------------------------------------------------ 15,405 Total Missouri 16,399,190 - ------------------------------------------------------------------------------------------------------------------------------------ MONTANA - 0.8% (0.5% OF TOTAL INVESTMENTS) 5,000 Montana Board of Investments, Exempt Facility Revenue Bonds, 7/10 at 101.00 B2 5,171,500 Stillwater Mining Company, Series 2000, 8.000%, 7/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ NEBRASKA - 1.6% (1.1% OF TOTAL INVESTMENTS) Nebraska Investment Finance Authority, Single Family Housing Revenue Bonds, Series 2001D: 2,255 5.250%, 9/01/21 (Alternative Minimum Tax) 9/11 at 100.00 AAA 2,275,972 3,035 5.375%, 9/01/32 (Alternative Minimum Tax) 9/11 at 100.00 AAA 3,062,527 4,490 Omaha Public Power District, Nebraska, Separate Electric System 2/17 at 100.00 AAA 4,740,542 Revenue Bonds, Nebraska City 2, Series 2006A, 5.000%, 2/01/49 - AMBAC Insured (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 9,780 Total Nebraska 10,079,041 - ------------------------------------------------------------------------------------------------------------------------------------
68
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NEVADA - 7.7% (5.0% OF TOTAL INVESTMENTS) $ 35,000 Clark County, Nevada, Limited Tax General Obligation Bank Bonds, 7/10 at 100.00 AAA $ 36,881,949 Series 2000, 5.500%, 7/01/30 (Pre-refunded 7/01/10) - MBIA Insured (5) 2,000 Director of Nevada State Department of Business and Industry, 1/10 at 100.00 AAA 2,063,740 Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured 4,000 Director of Nevada State Department of Business and Industry, 1/10 at 102.00 N/R 4,203,680 Revenue Bonds, Las Vegas Monorail Project, Second Tier, Series 2000, 7.375%, 1/01/40 205 Nevada Housing Division, Single Family Mortgage Bonds, Senior 4/08 at 101.50 Aaa 206,189 Series 1998A-1, 5.300%, 4/01/18 (Alternative Minimum Tax) 4,290 University of Nevada, Revenue Bonds, Community College System, 1/12 at 100.00 AAA 4,575,371 Series 2001A, 5.250%, 7/01/26 (Pre-refunded 1/01/12) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 45,495 Total Nevada 47,930,929 - ------------------------------------------------------------------------------------------------------------------------------------ NEW HAMPSHIRE - 0.3% (0.2% OF TOTAL INVESTMENTS) 2,000 New Hampshire Health and Education Authority, Hospital Revenue 10/11 at 101.00 Aaa 2,143,020 Bonds, Concord Hospital, Series 2001, 5.500%, 10/01/21 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ NEW JERSEY - 4.0% (2.6% OF TOTAL INVESTMENTS) 10,000 New Jersey Economic Development Authority, Water Facilities 11/12 at 101.00 Aaa 10,568,800 Revenue Bonds, American Water Company, Series 2002A, 5.250%, 11/01/32 - AMBAC Insured (Alternative Minimum Tax) 4,125 New Jersey Transit Corporation, Certificates of Participation, No Opt. Call AAA 4,517,288 Federal Transit Administration Grants, Series 2002A, 5.500%, 9/15/13 - AMBAC Insured 20,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 7,836,400 System Bonds, Series 2006C, 0.000%, 12/15/28 - AMBAC Insured 2,000 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 1,903,380 Settlement Asset-Backed Bonds, Series 2007-1A, 4.750%, 6/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ 36,125 Total New Jersey 24,825,868 - ------------------------------------------------------------------------------------------------------------------------------------ NEW YORK - 4.1% (2.7% OF TOTAL INVESTMENTS) 900 Albany Industrial Development Agency, New York, Revenue Bonds, 4/17 at 100.00 N/R 914,391 Brighter Choice Charter Schools, Series 2007A, 5.000%, 4/01/32 1,780 East Rochester Housing Authority, New York, GNMA Secured Revenue 10/11 at 101.00 AAA 1,850,132 Bonds, Gates Senior Housing Inc., Series 2001, 5.300%, 4/20/31 5,015 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 4,946,044 Series 2006A, 4.500%, 2/15/47 - MBIA Insured (UB) 4,155 Monroe County Airport Authority, New York, Revenue Refunding No Opt. Call AAA 4,524,712 Bonds, Greater Rochester International Airport, Series 1999, 5.750%, 1/01/13 - MBIA Insured (Alternative Minimum Tax) 7,000 New York City Industrial Development Agency, New York, American 8/16 at 101.00 B 8,464,890 Airlines-JFK International Airport Special Facility Revenue Bonds, Series 2005, 7.750%, 8/01/31 (Alternative Minimum Tax) 1,715 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 AAA 1,873,329 2002G, 5.625%, 8/01/20 - MBIA Insured 785 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 Aaa 859,434 2002G, 5.625%, 8/01/20 (Pre-refunded 8/01/12) - MBIA Insured 2,000 New York State Tobacco Settlement Financing Corporation, Tobacco 6/11 at 100.00 AA- 2,123,980 Settlement Asset-Backed and State Contingency Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ 23,350 Total New York 25,556,912 - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA - 1.1% (0.7% OF TOTAL INVESTMENTS) Charlotte-Mecklenburg Hospital Authority, North Carolina, Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A: 1,750 4.875%, 1/15/32 1/15 at 100.00 AA 1,788,220 3,000 5.000%, 1/15/45 1/15 at 100.00 AA 3,101,520
69 Nuveen Dividend Advantage Municipal Fund 3 (NZF) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ NORTH CAROLINA (continued) $ 1,800 North Carolina Municipal Power Agency 1, Catawba Electric Revenue No Opt. Call A3 $ 1,941,318 Bonds, Series 2003A, 5.500%, 1/01/13 - ------------------------------------------------------------------------------------------------------------------------------------ 6,550 Total North Carolina 6,831,058 - ------------------------------------------------------------------------------------------------------------------------------------ OHIO - 2.2% (1.4% OF TOTAL INVESTMENTS) 2,030 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 3/08 at 101.50 AAA 2,072,346 Program Residential Mortgage Revenue Bonds, Series 1998A-1, 5.300%, 9/01/19 - FSA Insured (Alternative Minimum Tax) 7,400 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/09 at 102.00 N/R 7,652,562 Bonds, Bay Shore Power, Series 1998B, 6.625%, 9/01/20 (Alternative Minimum Tax) Portage County, Ohio, General Obligation Bonds, Series 2001: 1,870 5.000%, 12/01/21 - FGIC Insured 12/11 at 100.00 AAA 1,963,163 1,775 5.000%, 12/01/23 - FGIC Insured 12/11 at 100.00 AAA 1,853,934 - ------------------------------------------------------------------------------------------------------------------------------------ 13,075 Total Ohio 13,542,005 - ------------------------------------------------------------------------------------------------------------------------------------ OKLAHOMA - 0.4% (0.3% OF TOTAL INVESTMENTS) 2,500 Oklahoma Development Finance Authority, Revenue Refunding Bonds, 8/09 at 101.00 AAA 2,629,325 Hillcrest Healthcare System, Series 1999A, 5.625%, 8/15/29 (Pre-refunded 8/15/09) - ------------------------------------------------------------------------------------------------------------------------------------ OREGON - 2.5% (1.6% OF TOTAL INVESTMENTS) 4,700 Oregon Health, Housing, Educational and Cultural Facilities 11/11 at 101.00 AAA 4,967,900 Authority, Revenue Bonds, PeaceHealth Project, Series 2001, 5.250%, 11/15/21 - AMBAC Insured 10,000 Oregon Housing and Community Services Department, Multifamily 7/10 at 100.00 Aaa 10,283,100 Housing Revenue Bonds, Series 2000A, 6.050%, 7/01/42 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 14,700 Total Oregon 15,251,000 - ------------------------------------------------------------------------------------------------------------------------------------ PENNSYLVANIA - 2.0% (1.3% OF TOTAL INVESTMENTS) Allegheny County Hospital Development Authority, Pennsylvania, Revenue Bonds, West Penn Allegheny Health System, Series 2000B: 2,000 9.250%, 11/15/22 11/10 at 102.00 Ba3 2,357,820 2,000 9.250%, 11/15/30 11/10 at 102.00 Ba3 2,361,600 500 Bucks County Industrial Development Authority, Pennsylvania, 3/17 at 100.00 BBB 503,655 Charter School Revenue Bonds, School Lane Charter School, Series 2007A, 5.000%, 3/15/37 3,500 Pennsylvania Economic Development Financing Authority, Senior 7/07 at 100.00 B+ 3,535,350 Lien Resource Recovery Revenue Bonds, Northampton Generating Project, Series 1994A, 6.600%, 1/01/19 (Alternative Minimum Tax) 3,205 Philadelphia School District, Pennsylvania, General Obligation 8/12 at 100.00 AAA 3,499,283 Bonds, Series 2002B, 5.625%, 8/01/16 (Pre-refunded 8/01/12) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 11,205 Total Pennsylvania 12,257,708 - ------------------------------------------------------------------------------------------------------------------------------------ SOUTH CAROLINA - 1.6% (1.0% OF TOTAL INVESTMENTS) 2,185 Greenville County, South Carolina, Special Source Revenue Bonds, 4/11 at 101.00 AAA 2,347,367 Road Improvement Project, Series 2001, 5.500%, 4/01/21 (Pre-refunded 4/01/11) - AMBAC Insured 6,850 South Carolina Transportation Infrastructure Bank, Revenue Bonds, 10/11 at 100.00 Aaa 7,341,008 Series 2001A, 5.500%, 10/01/22 (Pre-refunded 10/01/11) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 9,035 Total South Carolina 9,688,375 - ------------------------------------------------------------------------------------------------------------------------------------ TENNESSEE - 1.4% (0.9% OF TOTAL INVESTMENTS) 3,680 Knox County Health, Educational and Housing Facilities Board, 1/17 at 30.07 A- 677,451 Tennessee, Hospital Revenue Refunding Bonds, Covenant Health, Series 2006, 0.000%, 1/01/41 5,210 Memphis-Shelby County Airport Authority, Tennessee, Airport 3/11 at 100.00 AAA 5,469,562 Revenue Bonds, Series 2001A, 5.500%, 3/01/14 - FSA Insured (Alternative Minimum Tax) 275 Sullivan County Health Educational and Housing Facilities Board, 9/16 at 100.00 BBB+ 285,568 Tennessee, Revenue Bonds, Wellmont Health System, Series 2006C, 5.250%, 9/01/36 945 Tennessee Housing Development Agency, Homeownership Program Bonds, 1/09 at 101.00 AA 962,284 Series 1998-2, 5.350%, 7/01/23 (Alternative Minimum Tax)
70
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ TENNESSEE (continued) $ 975 Tennessee Housing Development Agency, Homeownership Program Bonds, 7/11 at 100.00 AA $ 997,942 Series 2001-3A, 5.200%, 7/01/22 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 11,085 Total Tennessee 8,392,807 - ------------------------------------------------------------------------------------------------------------------------------------ TEXAS - 17.8% (11.6% OF TOTAL INVESTMENTS) 5,445 Board of Regents, University of Texas System, Financing System 2/17 at 100.00 AAA 5,254,479 Revenue Bonds, Series 2006F, 4.250%, 8/15/36 (UB) 1,125 Brushy Creek Municipal Utility District, Williamson County, Texas, 6/09 at 100.00 Aaa 1,149,593 Combination Unlimited Tax and Revenue Refunding Bonds, Series 2001, 5.125%, 6/01/26 - FSA Insured Collins and Denton Counties, Frisco, Texas, General Obligation Bonds, Series 2001: 1,910 5.000%, 2/15/20 - FGIC Insured 2/11 at 100.00 AAA 1,985,674 2,005 5.000%, 2/15/21 - FGIC Insured 2/11 at 100.00 AAA 2,087,305 3,850 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 AAA 4,067,140 Refunding and Improvement Bonds, Series 2001A, 5.500%, 11/01/35 - FGIC Insured (Alternative Minimum Tax) 5,000 Decatur Hospital Authority, Texas, Revenue Bonds, Wise Regional 9/14 at 100.00 N/R 5,497,850 Health System, Series 2004A, 7.000%, 9/01/25 4,040 Harris County, Texas, Tax and Revenue Certificates of Obligation, 8/11 at 100.00 AA+ 4,169,482 Series 2001, 5.000%, 8/15/27 6,000 Houston, Texas, Junior Lien Water and Sewerage System Revenue No Opt. Call AAA 7,184,640 Refunding Bonds, Series 2001B, 5.500%, 12/01/29 - MBIA Insured (ETM) 7,000 Houston, Texas, Subordinate Lien Airport System Revenue Bonds, 7/08 at 101.00 AAA 7,174,300 Series 1998B, 5.250%, 7/01/14 - FGIC Insured (Alternative Minimum Tax) Houston, Texas, Subordinate Lien Airport System Revenue Refunding Bonds, Series 2001A: 2,525 5.500%, 7/01/13 - FGIC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 2,685,817 2,905 5.500%, 7/01/14 - FGIC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 3,102,133 4,735 Hutto Independent School District, Williamson County, Texas, 8/16 at 100.00 AAA 5,005,842 General Obligation Bonds, Series 2007, Residuals 07-1001, 5.871%, 8/01/43 (IF) Jefferson County Health Facilities Development Corporation, Texas, FHA-Insured Mortgage Revenue Bonds, Baptist Hospital of Southeast Texas, Series 2001: 8,500 5.400%, 8/15/31 - AMBAC Insured 8/11 at 100.00 AAA 8,922,790 8,500 5.500%, 8/15/41 - AMBAC Insured 8/11 at 100.00 AAA 8,966,820 10,700 Laredo Independent School District, Webb County, Texas, General 8/11 at 100.00 AAA 11,139,449 Obligation Refunding Bonds, Series 2001, 5.000%, 8/01/25 2,500 Matagorda County Navigation District 1, Texas, Collateralized No Opt. Call AAA 2,741,175 Revenue Refunding Bonds, Houston Light and Power Company, Series 1997, 5.125%, 11/01/28 - AMBAC Insured (Alternative Minimum Tax) 1,540 Medina Valley Independent School District, Medina County, Texas, 2/11 at 100.00 Aaa 1,623,360 General Obligation Bonds, Series 2001, 5.250%, 2/15/26 (Pre-refunded 2/15/11) 5,430 Mineral Wells Independent School District, Pale Pinto and Parker 2/08 at 100.00 Aaa 5,455,630 Counties, Texas, Unlimited School Tax Building and Refunding Bonds, Series 1998, 4.750%, 2/15/22 2,905 North Central Texas Health Facilities Development Corporation, 2/08 at 102.00 AAA 2,990,552 Revenue Bonds, Texas Health Resources System, Series 1997B, 5.375%, 2/15/26 - MBIA Insured 95 North Central Texas Health Facilities Development Corporation, 2/08 at 102.00 Aaa 98,108 Revenue Bonds, Texas Health Resources System, Series 1997B, 5.375%, 2/15/26 (Pre-refunded 2/15/08) - MBIA Insured 3,045 Port of Houston Authority, Harris County, Texas, General 10/11 at 100.00 AAA 3,212,475 Obligation Port Improvement Bonds, Series 2001B, 5.500%, 10/01/17 - FGIC Insured (Alternative Minimum Tax) 10,665 Texas Department of Housing and Community Affairs, Residential 7/11 at 100.00 AAA 10,971,512 Mortgage Revenue Bonds, Series 2001A, 5.350%, 7/01/33 (Alternative Minimum Tax) White Settlement Independent School District, Tarrant County, Texas, General Obligation Bonds, Series 2006: 9,110 0.000%, 8/15/37 8/15 at 31.98 AAA 1,985,069 9,110 0.000%, 8/15/40 8/15 at 27.11 AAA 1,681,433 7,110 0.000%, 8/15/44 8/15 at 21.88 AAA 1,055,764 - ------------------------------------------------------------------------------------------------------------------------------------ 125,750 Total Texas 110,208,392 - ------------------------------------------------------------------------------------------------------------------------------------
71 Nuveen Dividend Advantage Municipal Fund 3 (NZF) (continued) Portfolio of INVESTMENTS April 30, 2007 (Unaudited)
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ UTAH - 0.8% (0.5% OF TOTAL INVESTMENTS) Utah Housing Corporation, Single Family Mortgage Bonds, Series 2001E: $ 1,695 5.200%, 1/01/18 (Alternative Minimum Tax) 7/11 at 100.00 AA- $ 1,729,205 535 5.500%, 1/01/23 (Alternative Minimum Tax) 7/11 at 100.00 Aaa 546,813 Utah Housing Corporation, Single Family Mortgage Bonds, Series 2001F-1: 2,175 4.950%, 7/01/18 (Alternative Minimum Tax) 7/11 at 100.00 Aaa 2,189,660 550 5.300%, 7/01/23 (Alternative Minimum Tax) 7/11 at 100.00 Aaa 555,627 - ------------------------------------------------------------------------------------------------------------------------------------ 4,955 Total Utah 5,021,305 - ------------------------------------------------------------------------------------------------------------------------------------ VIRGINIA - 0.9% (0.6% OF TOTAL INVESTMENTS) 250 Albemarle County Industrial Development Authority, Virginia, 1/17 at 100.00 N/R 252,948 Residential Care Facilities Mortgage Revenue Bonds, Westminster-Cantebury of the Blue Ridge, Series 2007, 5.000%, 1/01/31 7,000 Pocahontas Parkway Association, Virginia, Senior Lien Revenue 8/08 at 77.58 AAA 5,174,470 Bonds, Route 895 Connector Toll Road, Series 1998B, 0.000%, 8/15/13 (Pre-refunded 8/15/08) - ------------------------------------------------------------------------------------------------------------------------------------ 7,250 Total Virginia 5,427,418 - ------------------------------------------------------------------------------------------------------------------------------------ WASHINGTON - 15.5% (10.1% OF TOTAL INVESTMENTS) Bellingham Housing Authority, Washington, Housing Revenue Bonds, Varsity Village Project, Series 2001A: 1,000 5.500%, 12/01/27 - MBIA Insured 12/11 at 100.00 Aaa 1,063,110 2,000 5.600%, 12/01/36 - MBIA Insured 12/11 at 100.00 Aaa 2,134,520 1,500 Grays Harbor County Public Utility District 1, Washington, 1/11 at 100.00 AAA 1,573,425 Electric System Revenue Bonds, Series 2001, 5.125%, 1/01/22 (Pre-refunded 1/01/11) - AMBAC Insured 2,475 Klickitat County Public Utility District 1, Washington, Electric 12/11 at 100.00 AAA 2,611,100 Revenue Bonds, Series 2001B, 5.000%, 12/01/26 (Pre-refunded 12/01/11) - AMBAC Insured 12,955 Port of Seattle, Washington, Passenger Facility Charge Revenue 12/08 at 101.00 AAA 13,321,497 Bonds, Series 1998B, 5.300%, 12/01/16 - AMBAC Insured (Alternative Minimum Tax) Port of Seattle, Washington, Revenue Bonds, Series 2001B: 2,535 5.625%, 4/01/18 - FGIC Insured (Alternative Minimum Tax) 10/11 at 100.00 AAA 2,696,581 16,000 5.100%, 4/01/24 - FGIC Insured (Alternative Minimum Tax) 10/08 at 100.00 AAA 16,168,320 2,090 Public Utility District 1, Benton County, Washington, Electric 11/11 at 100.00 AAA 2,252,059 Revenue Refunding Bonds, Series 2001A, 5.625%, 11/01/15 - FSA Insured 5,680 Seattle, Washington, Municipal Light and Power Revenue Refunding 3/11 at 100.00 AAA 6,018,244 and Improvement Bonds, Series 2001, 5.500%, 3/01/18 - FSA Insured 4,530 Tacoma, Washington, Solid Waste Utility Revenue Refunding Bonds, 12/11 at 100.00 AAA 4,826,489 Series 2001, 5.250%, 12/01/21 (Pre-refunded 12/01/11) - AMBAC Insured 3,720 Washington State Healthcare Facilities Authority, Revenue Bonds, 10/11 at 100.00 Aaa 3,967,864 Children's Hospital and Regional Medical Center, Series 2001, 5.375%, 10/01/18 (Pre-refunded 10/01/11) - AMBAC Insured Washington State Healthcare Facilities Authority, Revenue Bonds, Good Samaritan Hospital, Series 2001: 5,480 5.500%, 10/01/21 (Pre-refunded 10/01/11) - RAAI Insured 10/11 at 101.00 AA (4) 5,912,372 25,435 5.625%, 10/01/31 (Pre-refunded 10/01/11) - RAAI Insured 10/11 at 101.00 AA (4) 27,570,267 Washington State Healthcare Facilities Authority, Revenue Bonds, Group Health Cooperative of Puget Sound, Series 2001: 3,005 5.375%, 12/01/17 - AMBAC Insured 12/11 at 101.00 AAA 3,197,230 2,915 5.375%, 12/01/18 - AMBAC Insured 12/11 at 101.00 AAA 3,098,820 - ------------------------------------------------------------------------------------------------------------------------------------ 91,320 Total Washington 96,411,898 - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN - 4.3% (2.8% OF TOTAL INVESTMENTS) Appleton, Wisconsin, Waterworks Revenue Refunding Bonds, Series 2001: 3,705 5.375%, 1/01/20 (Pre-refunded 1/01/12) - FGIC Insured 1/12 at 100.00 Aaa 3,971,167 1,850 5.000%, 1/01/21 (Pre-refunded 1/01/12) - FGIC Insured 1/12 at 100.00 Aaa 1,953,397 12,250 La Crosse, Wisconsin, Pollution Control Revenue Refunding Bonds, 12/08 at 102.00 AAA 12,809,703 Dairyland Power Cooperative, Series 1997B, 5.550%, 2/01/15 - AMBAC Insured
72
PRINCIPAL OPTIONAL CALL AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE - ------------------------------------------------------------------------------------------------------------------------------------ WISCONSIN (continued) $ 1,000 Wisconsin Health and Educational Facilities Authority, Revenue 9/17 at 100.00 BBB+ $ 1,005,950 Bonds, Franciscan Sisters of Christian Charity HealthCare Ministry, Series 2007, 5.000%, 9/01/33 (WI/DD, Settling 5/01/07) 350 Wisconsin Health and Educational Facilities Authority, Revenue 10/11 at 101.00 AA- 371,952 Bonds, Froedtert and Community Health Obligated Group, Series 2001, 5.375%, 10/01/30 3,650 Wisconsin Health and Educational Facilities Authority, Revenue 10/11 at 101.00 N/R (4) 3,916,487 Bonds, Froedtert and Community Health Obligated Group, Series 2001, 5.375%, 10/01/30 (Pre-refunded 10/01/11) 2,500 Wisconsin Health and Educational Facilities Authority, Revenue 2/12 at 100.00 BBB+ 2,681,525 Bonds, Marshfield Clinic, Series 2001B, 6.000%, 2/15/25 50 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 A- 51,156 Bonds, Wheaton Franciscan Services Inc., Series 2003A, 5.125%, 8/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 25,355 Total Wisconsin 26,761,337 - ------------------------------------------------------------------------------------------------------------------------------------ $ 949,235 Total Investments (cost $902,961,739) - 153.1% 950,036,338 ============------------------------------------------------------------------------------------------------------------------------ Floating Rate Obligations - (5.0)% (30,780,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.2% 13,215,197 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (50.3)% (312,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 620,471,535 =====================================================================================================================
FORWARD SWAPS OUTSTANDING AT APRIL 30, 2007:
FUND FIXED RATE NOTIONAL PAY/RECEIVE FLOATING RATE FIXED RATE PAYMENT COUNTERPARTY AMOUNT FLOATING RATE INDEX (ANNUALIZED) FREQUENCY ---------------------------------------------------------------------------------------------- Merrill Lynch $26,750,000 Pay 3-Month USD-LIBOR 5.184% Semi-Annually ============================================================================================== UNREALIZED EFFECTIVE TERMINATION APPRECIATION COUNTERPARTY DATE (6) DATE (DEPRECIATION) -------------------------------------------------------- Merrill Lynch 10/30/07 10/30/16 $106,542 ========================================================
USD-LIBOR (United States Dollar-London Inter-Bank Offered Rate) FUTURES CONTRACTS OUTSTANDING AT APRIL 30, 2007:
UNREALIZED CONTRACT NUMBER OF CONTRACT VALUE AT APPRECIATION COUNTERPARTY POSITION CONTRACTS EXPIRATION APRIL 30, 2007 (DEPRECIATION) -------------------------------------------------------------------------------------------------------------- U.S. 3-Year Treasury Bond Long 159 6/07 $17,768,250 $25,609 ==============================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted. (2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. (3) Ratings: Using the higher of Standard & Poor's or Moody's rating. Ratings below BBB by Standard & Poor's Group or Baa by Moody's Investor Service, Inc. are considered to be below investment grade. (4) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities which ensure the timely payment of principal and interest. Such investments are normally considered to be equivalent to AAA rated securities. (5) Portion of the investment, with an aggregate market value of $179,141, has been pledged to collateralize the net payment obligations under forward swap contract. (6) Effective date represents the date on which both the Fund and counterparty commence interest payment accruals on each forward swap contract. N/R Not rated. WI/DD Purchased on a when-issued or delayed delivery basis. (ETM) Escrowed to maturity. (UB) Underlying bond of an inverse floating rate trust reflected as a financing transaction pursuant to the provisions of SFAS No. 140. (IF) Inverse floating rate investment. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 73 Statement of ASSETS AND LIABILITIES April 30, 2007 (Unaudited)
PERFORMANCE MUNICIPAL MARKET PLUS ADVANTAGE OPPORTUNITY (NPP) (NMA) (NMO) - ------------------------------------------------------------------------------------------------------------------ ASSETS Investments, at value (cost $1,302,301,741, $1,004,680,494, $1,025,584,256, $850,188,531, $644,087,561, $902,961,739, respectively) $1,397,939,647 $1,075,923,683 $1,096,196,690 Cash -- -- -- Receivables: Interest 20,183,764 16,604,749 15,971,921 Investments sold 6,182,000 2,646,836 170,000 Variation margin on futures contracts -- -- -- Unrealized appreciation on forward swaps -- -- -- Other assets 122,474 83,404 84,826 - ------------------------------------------------------------------------------------------------------------------ Total assets 1,424,427,885 1,095,258,672 1,112,423,437 - ------------------------------------------------------------------------------------------------------------------ LIABILITIES Cash overdraft 4,534,538 5,977,364 2,291,689 Floating rate obligations 6,665,000 36,290,000 36,660,000 Payable for investments purchased -- 17,318,032 -- Accrued expenses: Management fees 694,916 514,504 532,582 Other 293,736 217,398 220,144 Preferred share dividends payable 223,920 170,913 189,370 - ------------------------------------------------------------------------------------------------------------------ Total liabilities 12,412,110 60,488,211 39,893,785 - ------------------------------------------------------------------------------------------------------------------ Preferred shares, at liquidation value 479,000,000 358,000,000 380,000,000 - ------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares $ 933,015,775 $ 676,770,461 $ 692,529,652 ================================================================================================================== Common shares outstanding 59,914,073 43,176,828 45,557,788 ================================================================================================================== Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding) $ 15.57 $ 15.67 $ 15.20 ================================================================================================================== NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF: - ------------------------------------------------------------------------------------------------------------------ Common shares, $.01 par value per share $ 599,141 $ 431,768 $ 455,578 Paid-in surplus 836,423,631 603,443,947 635,757,048 Undistributed (Over-distribution of) net investment income 207,135 1,399,715 481,125 Accumulated net realized gain (loss) from investments and derivative transactions 147,962 251,842 (14,776,533) Net unrealized appreciation (depreciation) of investments and derivative transactions 95,637,906 71,243,189 70,612,434 - ------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares $ 933,015,775 $ 676,770,461 $ 692,529,652 ================================================================================================================== Authorized shares: Common 200,000,000 200,000,000 200,000,000 Preferred 1,000,000 1,000,000 1,000,000 ================================================================================================================== DIVIDEND DIVIDEND DIVIDEND ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------- ASSETS Investments, at value (cost $1,302,301,741, $1,004,680,494, $1,025,584,256, $850,188,531, $644,087,561, $902,961,739, respectively) $ 909,870,672 $ 698,960,341 $ 950,036,338 Cash -- -- 2,010,519 Receivables: Interest 12,442,983 11,217,603 15,049,199 Investments sold 1,460,000 9,676,500 5,066,054 Variation margin on futures contracts -- -- 134,156 Unrealized appreciation on forward swaps -- -- 106,542 Other assets 72,931 38,926 74,255 - ----------------------------------------------------------------------------------------------------------------- Total assets 923,846,586 719,893,370 972,477,063 - ----------------------------------------------------------------------------------------------------------------- LIABILITIES Cash overdraft 1,305,209 7,194,474 -- Floating rate obligations 13,630,000 23,365,000 30,780,000 Payable for investments purchased 10,071,929 -- 8,715,237 Accrued expenses: Management fees 337,373 232,780 273,386 Other 224,044 111,929 126,581 Preferred share dividends payable 166,485 110,182 110,324 - ----------------------------------------------------------------------------------------------------------------- Total liabilities 25,735,040 31,014,365 40,005,528 - ----------------------------------------------------------------------------------------------------------------- Preferred shares, at liquidation value 295,000,000 222,000,000 312,000,000 - ----------------------------------------------------------------------------------------------------------------- Net assets applicable to Common shares $ 603,111,546 $ 466,879,005 $ 620,471,535 ================================================================================================================= Common shares outstanding 39,287,298 29,377,055 40,363,448 ================================================================================================================= Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding) $ 15.35 $ 15.89 $ 15.37 ================================================================================================================= NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF: - ----------------------------------------------------------------------------------------------------------------- Common shares, $.01 par value per share $ 392,873 $ 293,771 $ 403,634 Paid-in surplus 558,458,540 417,695,640 573,681,457 Undistributed (Over-distribution of) net investment income 428,824 1,485,485 20,387 Accumulated net realized gain (loss) from investments and derivative transactions (15,850,832) (7,468,671) (840,693) Net unrealized appreciation (depreciation) of investments and derivative transactions 59,682,141 54,872,780 47,206,750 - ----------------------------------------------------------------------------------------------------------------- Net assets applicable to Common shares $ 603,111,546 $ 466,879,005 $ 620,471,535 ================================================================================================================= Authorized shares: Common Unlimited Unlimited Unlimited Preferred Unlimited Unlimited Unlimited =================================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 74 Statement of OPERATIONS Six Months Ended April 30, 2007 (Unaudited)
PERFORMANCE MUNICIPAL MARKET PLUS ADVANTAGE OPPORTUNITY (NPP) (NMA) (NMO) - ------------------------------------------------------------------------------------------------------------------ INVESTMENT INCOME $ 34,839,091 $ 27,478,148 $ 28,644,361 - ------------------------------------------------------------------------------------------------------------------ EXPENSES Management fees 4,221,967 3,125,160 3,235,675 Preferred shares - auction fees 593,828 443,821 471,096 Preferred shares - dividend disbursing agent fees 24,795 24,795 19,836 Shareholders' servicing agent fees and expenses 73,529 45,398 47,965 Floating rate obligations interest expense and fees 3,757 506,589 576,733 Custodian's fees and expenses 124,785 108,433 112,719 Directors'/Trustees' fees and expenses 12,337 9,122 9,371 Professional fees 27,123 22,905 25,366 Shareholders' reports - printing and mailing expenses 73,375 52,101 58,017 Stock exchange listing fees 10,719 7,796 8,147 Investor relations expense 88,960 64,894 68,201 Other expenses 37,966 24,861 25,932 - ------------------------------------------------------------------------------------------------------------------ Total expenses before custodian fee credit and expense reimbursement 5,293,141 4,435,875 4,659,058 Custodian fee credit (55,939) (61,700) (62,049) Expense reimbursement -- -- -- - ------------------------------------------------------------------------------------------------------------------ Net expenses 5,237,202 4,374,175 4,597,009 - ------------------------------------------------------------------------------------------------------------------ Net investment income 29,601,889 23,103,973 24,047,352 - ------------------------------------------------------------------------------------------------------------------ REALIZED AND UNREALIZED GAIN (LOSS) Net realized gain (loss) from investments 153,505 333,242 (3,503,072) Net realized gain (loss) from futures -- -- -- Change in net unrealized appreciation (depreciation) of investments (7,712,916) (7,484,592) (5,345,513) Change in net unrealized appreciation (depreciation) of futures -- -- -- Change in net unrealized appreciation (depreciation) of forward swaps -- -- -- - ------------------------------------------------------------------------------------------------------------------ Net realized and unrealized gain (loss) (7,559,411) (7,151,350) (8,848,585) - ------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO PREFERRED SHAREHOLDERS From net investment income (7,573,679) (6,129,088) (6,612,130) From accumulated net realized gains (858,202) -- -- - ------------------------------------------------------------------------------------------------------------------ Decrease in net assets applicable to Common shares from distributions to Preferred shareholders (8,431,881) (6,129,088) (6,612,130) - ------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from operations $ 13,610,597 $ 9,823,535 $ 8,586,637 ================================================================================================================== DIVIDEND DIVIDEND DIVIDEND ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------- INVESTMENT INCOME $ 23,035,851 $ 18,737,450 $ 24,648,291 - ----------------------------------------------------------------------------------------------------------------- EXPENSES Management fees 2,722,177 2,096,342 2,820,513 Preferred shares - auction fees 365,720 275,220 386,795 Preferred shares - dividend disbursing agent fees 14,877 14,877 14,877 Shareholders' servicing agent fees and expenses 6,477 2,760 3,628 Floating rate obligations interest expense and fees 74,730 202,925 537,823 Custodian's fees and expenses 103,492 67,769 102,513 Directors'/Trustees' fees and expenses 8,452 6,202 8,236 Professional fees 18,768 17,367 21,535 Shareholders' reports - printing and mailing expenses 46,776 36,220 46,400 Stock exchange listing fees 7,025 1,237 1,700 Investor relations expense 55,878 42,410 57,176 Other expenses 18,774 16,040 22,513 - ----------------------------------------------------------------------------------------------------------------- Total expenses before custodian fee credit and expense reimbursement 3,443,146 2,779,369 4,023,709 Custodian fee credit (53,317) (40,470) (31,090) Expense reimbursement (670,821) (827,491) (1,159,243) - ----------------------------------------------------------------------------------------------------------------- Net expenses 2,719,008 1,911,408 2,833,376 - ----------------------------------------------------------------------------------------------------------------- Net investment income 20,316,843 16,826,042 21,814,915 - ----------------------------------------------------------------------------------------------------------------- REALIZED AND UNREALIZED GAIN (LOSS) Net realized gain (loss) from investments 978,560 (1,539,980) (671,479) Net realized gain (loss) from futures -- -- (38,174) Change in net unrealized appreciation (depreciation) of investments (7,545,992) (1,781,361) (4,047,579) Change in net unrealized appreciation (depreciation) of futures -- -- (104,102) Change in net unrealized appreciation (depreciation) of forward swaps -- -- (34,418) - ----------------------------------------------------------------------------------------------------------------- Net realized and unrealized gain (loss) (6,567,432) (3,321,341) (4,895,752) - ----------------------------------------------------------------------------------------------------------------- DISTRIBUTIONS TO PREFERRED SHAREHOLDERS From net investment income (5,103,886) (3,851,431) (5,285,583) From accumulated net realized gains -- -- (226,888) - ----------------------------------------------------------------------------------------------------------------- Decrease in net assets applicable to Common shares from distributions to Preferred shareholders (5,103,886) (3,851,431) (5,512,471) - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from operations $ 8,645,525 $ 9,653,270 $ 11,406,692 =================================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 75 Statement of CHANGES IN NET ASSETS (Unaudited)
PERFORMANCE PLUS (NPP) MUNICIPAL ADVANTAGE (NMA) MARKET OPPORTUNITY (NMO) --------------------------- --------------------------- --------------------------- SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR ENDED ENDED ENDED ENDED ENDED ENDED 4/30/07 10/31/06 4/30/07 10/31/06 4/30/07 10/31/06 - ------------------------------------------------------------------------------------------------------------------------------------ OPERATIONS Net investment income $ 29,601,889 $ 59,826,874 $ 23,103,973 $ 46,635,201 $ 24,047,352 $ 46,502,877 Net realized gain (loss) from investments 153,505 3,609,041 333,242 (38,686) (3,503,072) (3,186,736) Net realized gain (loss) from futures -- -- -- -- -- -- Change in net unrealized appreciation (depreciation) of investments (7,712,916) 18,585,165 (7,484,592) 11,410,086 (5,345,513) 18,252,758 Change in net unrealized appreciation (depreciation) of futures -- -- -- -- -- -- Change in net unrealized appreciation (depreciation) of forward swaps -- -- -- -- -- -- Distributions to Preferred shareholders: From net investment income (7,573,679) (14,851,985) (6,129,088) (11,096,228) (6,612,130) (11,933,888) From accumulated net realized gains (858,202) (204,889) -- (95,203) -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from operations 13,610,597 66,964,206 9,823,535 46,815,170 8,586,637 49,635,011 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO COMMON SHAREHOLDERS From net investment income (23,051,656) (50,243,956) (18,502,996) (38,834,236) (17,873,541) (37,757,943) From accumulated net realized gains (2,765,395) (1,042,505) -- (628,192) -- -- - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets applicable to Common shares from distributions to Common shareholders (25,817,051) (51,286,461) (18,502,996) (39,462,428) (17,873,541) (37,757,943) - ------------------------------------------------------------------------------------------------------------------------------------ CAPITAL SHARE TRANSACTIONS Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- -- 1,775,376 643,731 257,295 -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from capital share transactions -- -- 1,775,376 643,731 257,295 -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) net assets applicable to Common shares (12,206,454) 15,677,745 (6,904,085) 7,996,473 (9,029,609) 11,877,068 Net assets applicable to Common shares at the beginning of period 945,222,229 929,544,484 683,674,546 675,678,073 701,559,261 689,682,193 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares at the end of period $933,015,775 $945,222,229 $676,770,461 $683,674,546 $692,529,652 $701,559,261 ==================================================================================================================================== Undistributed (Over-distribution of) net investment income at the end of period $ 207,135 $ 1,230,581 $ 1,399,715 $ 2,927,826 $ 481,125 $ 919,444 ====================================================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 76
DIVIDEND ADVANTAGE (NAD) DIVIDEND ADVANTAGE 2 (NXZ) DIVIDEND ADVANTAGE 3 (NZF) --------------------------- --------------------------- ---------------------------- SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR ENDED ENDED ENDED ENDED ENDED ENDED 4/30/07 10/31/06 4/30/07 10/31/06 4/30/07 10/31/06 - ------------------------------------------------------------------------------------------------------------------------------------ OPERATIONS Net investment income $ 20,316,843 $ 40,993,576 $ 16,826,042 $ 32,992,169 $ 21,814,915 $ 43,005,594 Net realized gain (loss) from investments 978,560 4,172,514 (1,539,980) (1,053,678) (671,479) 1,509,431 Net realized gain (loss) from futures -- -- -- -- (38,174) -- Change in net unrealized appreciation (depreciation) of investments (7,545,992) 8,567,260 (1,781,361) 10,301,195 (4,047,579) 10,632,281 Change in net unrealized appreciation (depreciation) of futures -- -- -- -- (104,102) 129,711 Change in net unrealized appreciation (depreciation) of forward swaps -- -- -- -- (34,418) 140,960 Distributions to Preferred shareholders: From net investment income (5,103,886) (9,396,656) (3,851,431) (7,047,610) (5,285,583) (9,830,888) From accumulated net realized gains -- -- -- -- (226,888) -- - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from operations 8,645,525 44,336,694 9,653,270 35,192,076 11,406,692 45,587,089 - ------------------------------------------------------------------------------------------------------------------------------------ DISTRIBUTIONS TO COMMON SHAREHOLDERS From net investment income (16,158,637) (33,907,479) (13,478,052) (28,774,873) (17,471,682) (36,446,494) From accumulated net realized gains -- -- -- -- (798,769) -- - ------------------------------------------------------------------------------------------------------------------------------------ Decrease in net assets applicable to Common shares from distributions to Common shareholders (16,158,637) (33,907,479) (13,478,052) (28,774,873) (18,270,451) (36,446,494) - ------------------------------------------------------------------------------------------------------------------------------------ CAPITAL SHARE TRANSACTIONS Net proceeds from Common shares issued to shareholders due to reinvestment of distributions 308,797 -- 514,496 909,885 499,783 337,160 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares from capital share transactions 308,797 -- 514,496 909,885 499,783 337,160 - ------------------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) in net assets applicable to Common shares (7,204,315) 10,429,215 (3,310,286) 7,327,088 (6,363,976) 9,477,755 Net assets applicable to Common shares at the beginning of period 610,315,861 599,886,646 470,189,291 462,862,203 626,835,511 617,357,756 - ------------------------------------------------------------------------------------------------------------------------------------ Net assets applicable to Common shares at the end of period $603,111,546 $610,315,861 $466,879,005 $470,189,291 $620,471,535 $626,835,511 ==================================================================================================================================== Undistributed (Over-distribution of) net investment income at the end of period $ 428,824 $ 1,374,504 $ 1,485,485 $ 1,988,926 $ 20,387 $ 962,737 ====================================================================================================================================
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. 77 Notes to FINANCIAL STATEMENTS (Unaudited) 1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES The funds (the "Funds") covered in this report and their corresponding Common share stock exchange symbols are Nuveen Performance Plus Municipal Fund, Inc. (NPP), Nuveen Municipal Advantage Fund, Inc. (NMA), Nuveen Municipal Market Opportunity Fund, Inc. (NMO), Nuveen Dividend Advantage Municipal Fund (NAD), Nuveen Dividend Advantage Municipal Fund 2 (NXZ) and Nuveen Dividend Advantage Municipal Fund 3 (NZF). Performance Plus (NPP), Municipal Advantage (NMA), Market Opportunity (NMO) and Dividend Advantage (NAD) are traded on the New York Stock Exchange while Dividend Advantage 2 (NXZ) and Dividend Advantage 3 (NZF) are traded on the American Stock Exchange. The Funds are registered under the Investment Company Act of 1940, as amended, as closed-end, diversified management investment companies. Each Fund seeks to provide current income exempt from regular federal income tax by investing primarily in a diversified portfolio of municipal obligations issued by state and local government authorities or certain U.S. territories. The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with U.S. generally accepted accounting principles. INVESTMENT VALUATION The prices of municipal bonds in each Fund's investment portfolio are provided by a pricing service approved by the Fund's Board of Directors/Trustees. When market price quotes are not readily available (which is usually the case for municipal securities), the pricing service may establish fair value based on yields or prices of municipal bonds of comparable quality, type of issue, coupon, maturity and rating, indications of value from securities dealers, evaluations of anticipated cash flows or collateral and general market conditions. Prices of forward swap contracts are also provided by an independent pricing service approved by each Fund's Board of Directors/Trustees. Futures contracts are valued using the closing settlement price, or, in the absence of such a price, at the mean of the bid and asked prices. If the pricing service is unable to supply a price for a municipal bond, forward swap contract or futures contract, each Fund may use a market price or fair market value quote provided by a major broker/dealer in such investments. If it is determined that the market price or fair market value for an investment is unavailable or inappropriate, the Board of Directors/Trustees of the Funds, or its designee, may establish a fair value for the investment. Temporary investments in securities that have variable rate and demand features qualifying them as short-term investments are valued at amortized cost, which approximates market value. INVESTMENT TRANSACTIONS Investment transactions are recorded on a trade date basis. Realized gains and losses from transactions are determined on the specific identification method. 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 instructed the custodian to segregate assets with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments. At April 30, 2007, Municipal Advantage (NMA), Dividend Advantage (NAD) and Dividend Advantage 3 (NZF) had outstanding when-issued/delayed delivery purchase commitments of $17,318,032, $10,071,929, and $8,715,237, respectively. There were no such outstanding purchase commitments in either Performance Plus (NPP), Market Opportunity (NMO) or Dividend Advantage 2 (NXZ) at April 30, 2007. INVESTMENT INCOME Interest income, which includes the amortization of premiums and accretion of discounts for financial reporting purposes, is recorded on an accrual basis. Investment income also includes paydown gains and losses, if any. FEDERAL INCOME TAXES Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required. Furthermore, each Fund intends to satisfy conditions which will enable interest from municipal securities, which is exempt from regular federal income tax, to retain such tax-exempt status when distributed to shareholders of the Funds. Net realized capital gains and ordinary income distributions paid by the Funds are subject to federal taxation. 78 DIVIDENDS AND DISTRIBUTIONS TO COMMON SHAREHOLDERS Dividends from tax-exempt net investment income are declared monthly. Net realized capital gains and/or market discount from investment transactions, if any, are distributed to shareholders not less frequently than annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards. Distributions to Common shareholders of tax-exempt net investment income, net realized capital gains and/or market discount, if any, are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. generally accepted accounting principles. PREFERRED SHARES The Funds have issued and outstanding Preferred shares, $25,000 stated value per share, as a means of effecting financial leverage. Each Fund's Preferred shares are issued in more than one Series. The dividend rate paid by the Funds on each Series is determined every seven days, pursuant to a dutch auction process overseen by the auction agent, and is payable at the end of each rate period. The number of Preferred shares outstanding, by Series and in total, for each Fund is as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - --------------------------------------------------------------------------------------------------------- Number of shares: Series M 4,000 3,000 4,000 4,000 3,000 -- Series T 4,000 3,000 4,000 4,000 3,000 -- Series W 4,000 3,000 3,200 -- -- 4,160 Series TH 3,160 2,320 -- 3,800 -- 4,160 Series F 4,000 3,000 4,000 -- 2,880 4,160 - --------------------------------------------------------------------------------------------------------- Total 19,160 14,320 15,200 11,800 8,880 12,480 =========================================================================================================
INVERSE FLOATING RATE SECURITIES Each Fund may invest in inverse floating rate securities. An inverse floating rate security is created by depositing a municipal bond, typically with a fixed interest rate, into a special purpose trust created by a broker-dealer. In turn, this trust (a) issues floating rate certificates, in face amounts equal to some fraction of the deposited bond's par amount or market value, that typically pay short-term tax-exempt interest rates to third parties, and (b) issues to a long-term investor (such as one of the Funds) an inverse floating rate certificate (sometimes referred to as an "inverse floater") that represents all remaining or residual interest in the trust. The income received by the inverse floater holder varies inversely with the short-term rate paid to the floating rate certificates' holders, and in most circumstances the inverse floater holder bears substantially all of the underlying bond's downside investment risk and also benefits disproportionately from any potential appreciation of the underlying bond's value. The price of an inverse floating rate security will be more volatile than that of the underlying bond because the interest rate is dependent on not only the fixed coupon rate of the underlying bond but also on the short-term interest paid on the floating rate certificates, and because the inverse floating rate security essentially bears the risk of loss of the greater face value of the underlying bond. A Fund may purchase an inverse floating rate security in a secondary market transaction without first owning the underlying bond (referred to as an "externally-deposited inverse floater"), or instead by first selling a fixed-rate bond to a broker-dealer for deposit into the special purpose trust and receiving in turn the residual interest in the trust (referred to as a "self-deposited inverse floater"). An investment in an externally-deposited inverse floater is identified in the Portfolio of Investments as an "Inverse floating rate investment". An investment in a self-deposited inverse floater is accounted for as a financing transaction in accordance with Statement of Financial Accounting Standards (SFAS) No. 140 "Accounting for Transfers and Servicing of Financial Assets and Extinguishment of Liabilities". In such instances, a fixed-rate bond deposited into a special purpose trust is identified in the Portfolio of Investments as an "Underlying bond of an inverse floating rate trust", with the Fund accounting for the short-term floating rate certificates issued by the trust as "Floating rate obligations" on the Statement of Assets and Liabilities. In addition, the Fund reflects in Investment Income the entire earnings of the underlying bond and accounts for the related interest paid to the holders of the short-term floating rate certificates as "Floating rate obligations interest expense and fees" in the Statement of Operations. During the six months ended April 30, 2007, each Fund invested in externally deposited inverse floaters and/or self-deposited inverse floaters. The average floating rate obligations outstanding and average annual interest rate and fees related to self-deposited inverse floaters during the six months ended April 30, 2007, were as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ------------------------------------------------------------------------------------------------------------------------- Average floating rate obligations $184,116 $26,452,901 $30,179,116 $3,886,188 $10,615,387 $28,114,420 Average annual interest rate and fees 4.11% 3.86% 3.85% 3.88% 3.85% 3.86% =========================================================================================================================
79 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) FORWARD SWAP TRANSACTIONS The Funds are authorized to invest in certain derivative financial instruments. Each Fund's use of forward interest rate swap transactions is intended to help the Fund manage its overall interest rate sensitivity, either shorter or longer, generally to more closely align the Fund's interest rate sensitivity with that of the broader municipal market. Forward interest rate swap transactions involve each Fund's agreement with a counterparty to pay, in the future, a fixed or variable rate payment in exchange for the counterparty paying the Fund a variable or fixed rate payment, the accruals for which would begin at a specified date in the future (the "effective date"). The amount of the payment obligation is based on the notional amount of the forward swap contract and the termination date of the swap (which is akin to a bond's maturity). The value of the Fund's swap commitment would increase or decrease based primarily on the extent to which long-term interest rates for bonds having a maturity of the swap's termination date increases or decreases. The Funds may terminate a swap contract prior to the effective date, at which point a realized gain or loss is recognized. When a forward swap is terminated, it ordinarily does not involve the delivery of securities or other underlying assets or principal, but rather is settled in cash on a net basis. Each Fund intends, but is not obligated, to terminate its forward swaps before the effective date. Accordingly, the risk of loss with respect to the swap counterparty on such transactions is limited to the credit risk associated with a counterparty failing to honor its commitment to pay any realized gain to the Fund upon termination. To reduce such credit risk, all counterparties are required to pledge collateral daily (based on the daily valuation of each swap) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when any of the Funds have an unrealized loss on a swap contract, the Funds have instructed the custodian to pledge assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the swap valuations fluctuate, either up or down, by at least the predetermined threshold amount. FUTURES CONTRACTS The Funds are authorized to invest in futures contracts. Upon entering into a futures contract, a Fund is required to deposit with the broker an amount of cash or liquid securities equal to a specified percentage of the contract amount. This is known as the "initial margin." Subsequent payments ("variation margin") are made or received by a Fund each day, depending on the daily fluctuation of the value of the contract. During the period the futures contract is open, changes in the value of the contract are recognized as an unrealized gain or loss by "marking-to-market" on a daily basis to reflect the changes in market value of the contract. When the contract is closed or expired, a Fund records a realized gain or loss equal to the difference between the value of the contract on the closing date and value of the contract when originally entered into. Cash held by the broker to cover initial margin requirements on open futures contracts, if any, is noted in the Statement of Assets and Liabilities. Additionally, the Statement of Assets and Liabilities reflects a receivable or payable for the variation margin when applicable. Risks of investments in futures contracts include the possible adverse movement of the securities or indices underlying the contracts, the possibility that there may not be a liquid secondary market for the contracts and/or that a change in the value of the contract may not correlate with a change in the value of the underlying securities or indices. CUSTODIAN FEE CREDIT Each Fund has an arrangement with the custodian bank whereby certain custodian fees and expenses are reduced by credits earned on each Fund's cash on deposit with the bank. Such deposit arrangements are an alternative to overnight investments. INDEMNIFICATIONS Under the Funds' organizational documents, their Officers and Director/Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Funds enter into contracts that provide general indemnifications to other parties. The Funds' maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote. 80 USE OF ESTIMATES The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets applicable to Common shares from operations during the reporting period. Actual results may differ from those estimates. 2. FUND SHARES Transactions in Common shares were as follows:
MUNICIPAL MARKET PERFORMANCE PLUS (NPP) ADVANTAGE (NMA) OPPORTUNITY (NMO) ----------------------- ----------------------- ----------------------- SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR ENDED ENDED ENDED ENDED ENDED ENDED 4/30/07 10/31/06 4/30/07 10/31/06 4/30/07 10/31/06 - --------------------------------------------------------------------------------------------------------------- Common shares issued to shareholders due to reinvestment of distributions -- -- 110,925 40,309 16,916 -- ===============================================================================================================
DIVIDEND DIVIDEND DIVIDEND ADVANTAGE (NAD) ADVANTAGE 2 (NXZ) ADVANTAGE 3 (NZF) ----------------------- ----------------------- ----------------------- SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR ENDED ENDED ENDED ENDED ENDED ENDED 4/30/07 10/31/06 4/30/07 10/31/06 4/30/07 10/31/06 - --------------------------------------------------------------------------------------------------------------- Common shares issued to shareholders due to reinvestment of distributions 19,807 -- 31,023 55,164 31,607 21,722 ===============================================================================================================
3. INVESTMENT TRANSACTIONS Purchases and sales (including maturities but excluding short-term investments and derivative transactions) during the six months ended April 30, 2007, were as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------- Purchases $24,019,379 $62,792,969 $31,586,262 $38,728,509 $39,720,239 $56,708,135 Sales and maturities 28,094,680 14,536,000 26,793,287 17,080,850 25,267,346 42,485,117 =======================================================================================================================
4. INCOME TAX INFORMATION The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to the treatment of paydown gains and losses, timing differences in recognizing taxable market discount, timing differences in recognizing certain gains and losses on investment transactions and the treatment of investments in inverse floating rate transactions subject to SFAS No. 140. To the extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts on the Statement of Assets and Liabilities presented in the annual report, based on their federal tax basis treatment; temporary differences do not require reclassification. Temporary and permanent differences do not impact the net asset values of the Funds. At April 30, 2007, the cost of investments was as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------- Cost of investments $1,294,828,878 $966,808,482 $988,622,888 $835,229,954 $622,273,494 $871,904,950 =======================================================================================================================
81 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) Gross unrealized appreciation and gross unrealized depreciation of investments at April 30, 2007, were as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------- Gross unrealized: Appreciation $96,957,012 $72,963,682 $71,194,926 $62,181,459 $55,748,110 $47,855,501 Depreciation (494,261) (128,854) (264,003) (1,208,091) (2,403,221) (464,429) - ----------------------------------------------------------------------------------------------------------------------- Net unrealized appreciation (depreciation) of investments $96,462,751 $72,834,828 $70,930,923 $60,973,368 $53,344,889 $47,391,072 =======================================================================================================================
The tax components of undistributed net tax-exempt income, net ordinary income and net long-term capital gains at October 31, 2006, the Funds' last tax year end, were as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------- Undistributed net tax-exempt income * $ 4,425,692 $ 4,620,835 $ 3,659,265 $ 2,916,963 $ 3,653,096 $ 3,738,588 Undistributed net ordinary income ** 58,535 26,427 77,487 118,459 23,339 -- Undistributed net long-term capital gains 3,618,054 -- -- -- -- 1,024,327 =======================================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on October 2, 2006, paid on November 1, 2006. ** Net ordinary income consists of taxable market discount income and net short-term capital gains, if any. The tax character of distributions paid during the Funds' last tax year ended October 31, 2006, was designated for purposes of the dividends paid deduction as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------- Distributions from net tax-exempt $65,689,928 $50,218,101 $49,767,991 $43,683,872 $36,096,315 $46,380,901 income Distributions from net ordinary income ** 6,686 154,403 196,171 -- -- -- Distributions from net long-term capital gains 1,247,394 593,511 -- -- -- -- =======================================================================================================================
** Net ordinary income consists of taxable market discount income and net short-term capital gains, if any. 82 At October 31, 2006, the Funds' last tax year end, the following Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as follows:
MUNICIPAL MARKET DIVIDEND DIVIDEND ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 (NMA) (NMO) (NAD) (NXZ) - ---------------------------------------------------------------------------------------------- Expiration year: 2008 $ -- $ -- $12,130,329 $ -- 2009 -- -- -- -- 2010 -- -- -- -- 2011 -- 7,158,110 4,594,300 -- 2012 -- 973,824 -- 246,691 2013 -- -- 104,762 1,591,323 2014 35,364 3,141,529 -- 1,882,135 - ---------------------------------------------------------------------------------------------- Total $ 35,364 $11,273,463 $16,829,391 $ 3,720,149 ==============================================================================================
5. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES Each Fund's management fee is separated into two components - a complex-level component, based on the aggregate amount of all fund assets managed by Nuveen Asset Management (the "Adviser"), a wholly owned subsidiary of Nuveen Investments, Inc., ("Nuveen"), and a specific fund-level component, based only on the amount of assets within each individual fund. This pricing structure enables Nuveen fund shareholders to benefit from growth in the assets within each individual fund as well as from growth in the amount of complex-wide assets managed by the Adviser. The annual fund-level fee, payable monthly, for each Fund is based upon the average daily net assets (including net assets attributable to Preferred shares) of each Fund as follows:
PERFORMANCE PLUS (NPP) MUNICIPAL ADVANTAGE (NMA) MARKET OPPORTUNITY (NMO) AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE - ------------------------------------------------------------------------------------------------------------ For the first $125 million .4500% For the next $125 million .4375 For the next $250 million .4250 For the next $500 million .4125 For the next $1 billion .4000 For the next $3 billion .3875 For net assets over $5 billion .3750 ============================================================================================================
DIVIDEND ADVANTAGE (NAD) DIVIDEND ADVANTAGE 2 (NXZ) DIVIDEND ADVANTAGE 3 (NZF) AVERAGE DAILY NET ASSETS (INCLUDING NET ASSETS ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE - ------------------------------------------------------------------------------------------------------------ For the first $125 million .4500% For the next $125 million .4375 For the next $250 million .4250 For the next $500 million .4125 For the next $1 billion .4000 For net assets over $2 billion .3750 ============================================================================================================
83 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) The annual complex-level fee, payable monthly, which is additive to the fund-level fee, for all Nuveen sponsored funds in the U.S., is based on the aggregate amount of total fund assets managed as stated in the table below. As of April 30, 2007, the complex-level fee rate was .1824%.
COMPLEX-LEVEL ASSETS(1) COMPLEX-LEVEL FEE RATE - ----------------------------------------------------------------------------------------------------------- For the first $55 billion .2000% For the next $1 billion .1800 For the next $1 billion .1600 For the next $3 billion .1425 For the next $3 billion .1325 For the next $3 billion .1250 For the next $5 billion .1200 For the next $5 billion .1175 For the next $15 billion .1150 For Managed Assets over $91 billion(2) .1400 ===========================================================================================================
(1) The complex-level fee component of the management fee for the funds is calculated based upon the aggregate Managed Assets ("Managed Assets" means the average daily net assets of each fund including assets attributable to preferred stock issued by or borrowings by the Nuveen funds) of Nuveen-sponsored funds in the U.S. (2) With respect to the complex-wide Managed Assets over $91 billion, the fee rate or rates that will apply to such assets will be determined at a later date. In the unlikely event that complex-wide Managed Assets reach $91 billion prior to a determination of the complex-level fee rate or rates to be applied to Managed Assets in excess of $91 billion, the complex-level fee rate for such complex-wide Managed Assets shall be .1400% until such time as a different rate or rates is determined. The management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Funds pay no compensation directly to those of its Directors/Trustees who are affiliated with the Adviser or to its Officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Board of Directors/Trustees has adopted a deferred compensation plan for independent Directors/Trustees that enables Directors/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. 84 For the first ten years of Dividend Advantage's (NAD) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily net assets (including net assets attributable to Preferred shares), for fees and expenses in the amounts and for the time periods set forth below: YEAR ENDING YEAR ENDING JULY 31, JULY 31, - -------------------------------------------------------------------------------- 1999* .30% 2005 .25% 2000 .30 2006 .20 2001 .30 2007 .15 2002 .30 2008 .10 2003 .30 2009 .05 2004 .30 ================================================================================ * From the commencement of operations. The Adviser has not agreed to reimburse Dividend Advantage (NAD) for any portion of its fees and expenses beyond July 31, 2009. For the first ten years of Dividend Advantage 2's (NXZ) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily net assets (including net assets attributable to Preferred shares), for fees and expenses in the amounts and for the time periods set forth below: YEAR ENDING YEAR ENDING MARCH 31, MARCH 31, - -------------------------------------------------------------------------------- 2001* .30% 2007 .25% 2002 .30 2008 .20 2003 .30 2009 .15 2004 .30 2010 .10 2005 .30 2011 .05 2006 .30 ================================================================================ * From the commencement of operations. The Adviser has not agreed to reimburse Dividend Advantage 2 (NXZ) for any portion of its fees and expenses beyond March 31, 2011. For the first ten years of Dividend Advantage 3's (NZF) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily net assets (including net assets attributable to Preferred shares), for fees and expenses in the amounts and for the time periods set forth below: YEAR ENDING YEAR ENDING SEPTEMBER 30, SEPTEMBER 30, - -------------------------------------------------------------------------------- 2001* .30% 2007 .25% 2002 .30 2008 .20 2003 .30 2009 .15 2004 .30 2010 .10 2005 .30 2011 .05 2006 .30 ================================================================================ * From the commencement of operations. The Adviser has not agreed to reimburse Dividend Advantage 3 (NZF) for any portion of its fees and expenses beyond September 30, 2011. 85 Notes to FINANCIAL STATEMENTS (Unaudited) (continued) 6. NEW ACCOUNTING PRONOUNCEMENTS FINANCIAL ACCOUNTING STANDARDS BOARD INTERPRETATION NO. 48 On July 13, 2006, the Financial Accounting Standards Board (FASB) released FASB Interpretation No. 48, "Accounting for Uncertainty in Income Taxes" (FIN 48). FIN 48 provides guidance for how uncertain tax positions should be recognized, measured, presented and disclosed in the financial statements. FIN 48 requires the evaluation of tax positions taken or expected to be taken in the course of preparing the Funds' tax returns to determine whether the tax positions are "more-likely-than-not" of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Adoption of FIN 48 is required for fiscal years beginning after December 15, 2006, and is to be applied to all open tax years as of the effective date. Recent SEC guidance allows funds to delay implementing FIN 48 into NAV calculations until the fund's last NAV calculation in the first required financial statement reporting period. As a result, the Funds must begin to incorporate FIN 48 into their NAV calculations by October 31, 2007. At this time, management is continuing to evaluate the implications of FIN 48 and does not expect the adoption of FIN 48 will have a significant impact on the net assets or results of operations of the Funds. FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 157 In September 2006, the Financial Accounting Standards Board (FASB) issued Statement of Financial Accounting Standards (SFAS) No. 157, "Fair Value Measurements." This standard establishes a single authoritative definition of fair value, sets out a framework for measuring fair value and requires additional disclosures about fair value measurements. SFAS No. 157 applies to fair value measurements already required or permitted by existing standards. SFAS No. 157 is effective for financial statements issued for fiscal years beginning after November 15, 2007, and interim periods within those fiscal years. The changes to current generally accepted accounting principles from the application of this standard relate to the definition of fair value, the methods used to measure fair value, and the expanded disclosures about fair value measurements. As of April 30, 2007, the Funds do not believe the adoption of SFAS No. 157 will impact the financial statement amounts; however, additional disclosures may be required about the inputs used to develop the measurements and the effect of certain of the measurements included within the Statement of Operations for the period. 7. SUBSEQUENT EVENTS DISTRIBUTIONS TO COMMON SHAREHOLDERS The Funds declared Common share dividend distributions from their tax-exempt net investment income which were paid on June 1, 2007, to shareholders of record on May 15, 2007, as follows:
PERFORMANCE MUNICIPAL MARKET DIVIDEND DIVIDEND DIVIDEND PLUS ADVANTAGE OPPORTUNITY ADVANTAGE ADVANTAGE 2 ADVANTAGE 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - --------------------------------------------------------------------------------------------------------- Dividend per share $.0640 $.0715 $.0635 $.0665 $.0765 $.0705 =========================================================================================================
AGREEMENT AND PLAN OF MERGER On June 20, 2007, Nuveen Investments announced that it had entered into a definitive Agreement and Plan of Merger ("Merger Agreement") with an investor group majority-led by Madison Dearborn Partners, LLC. Madison Dearborn Partners, LLC is a private equity investment firm based in Chicago, Illinois. The investor group includes affiliates of Merrill Lynch, Wachovia, Citigroup, Deutsche Bank and Morgan Stanley. It is anticipated that Merrill Lynch and its affiliates will be indirect "affiliated persons" (as that term is defined in the Investment Company Act of 1940) of the Funds. Under the terms of the merger, each outstanding share of Nuveen Investments' common stock (other than dissenting shares) will be converted into the right to receive a specified amount of cash, without interest. The merger is expected to be completed by the end of the year, subject to customary conditions, including obtaining the approval of Nuveen Investments shareholders, obtaining necessary fund and client consents sufficient to satisfy the terms of the Merger Agreement, and expiration of certain regulatory waiting periods. The obligations of Madison Dearborn Partners, LLC to consummate the merger are not conditioned on its obtaining financing. The Merger Agreement includes a "go shop" provision through July 19, 2007 during which Nuveen Investments may actively solicit and negotiate competing takeover proposals. The consummation of the merger will be deemed to be an "assignment" (as defined in the 1940 Act) of the investment management agreement between each Fund and the Adviser, and will result in the automatic termination of each Fund's agreement. Prior to the consummation of the merger, it is anticipated that the Board of Trustees of each Fund will consider a new investment management agreement with the Adviser. If approved by the Board, the new agreement would be presented to the Fund's shareholders for approval, and, if so approved by shareholders, would take effect upon consummation of the merger. There can be no assurance that the merger described above will be consummated as contemplated or that necessary shareholder approvals will be obtained. 86 Financial HIGHLIGHTS (Unaudited) 87 Financial HIGHLIGHTS (Unaudited) Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions --------------------------------------------------------------- ------------------------------- Distributions Distributions from Net from Net Beginning Investment Capital Investment Capital Common Net Income to Gains to Income to Gains to Share Net Realized/ Preferred Preferred Common Common Net Asset Investment Unrealized Share- Share- Share- Share- Value Income Gain (Loss) holders+ holders+ Total holders holders Total - ----------------------------------------------------------------------------------------------------------------------------------- PERFORMANCE PLUS (NPP) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) $15.78 $ .49 $(.13) $(.13) $ (.01) $ .22 $ (.38) $ (.05) $ (.43) 2006 15.51 1.00 .38 (.25) -- 1.13 (.84) (.02) (.86) 2005 15.87 1.02 (.26) (.16) -- .60 (.94) (.02) (.96) 2004 15.45 1.04 .42 (.07) -- 1.39 (.97) -- (.97) 2003 15.38 1.07 .05 (.07) -- 1.05 (.95) (.03) (.98) 2002 15.57 1.09 (.22) (.10) (.01) .76 (.90) (.04) (.94) MUNICIPAL ADVANTAGE (NMA) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 15.88 .54 (.18) (.14) -- .22 (.43) -- (.43) 2006 15.70 1.08 .27 (.26) -- 1.09 (.90) (.01) (.91) 2005 16.02 1.09 (.24) (.16) -- .69 (1.00) (.01) (1.01) 2004 15.62 1.11 .41 (.08) -- 1.44 (1.03) (.01) (1.04) 2003 15.41 1.13 .25 (.07) (.01) 1.30 (1.02) (.07) (1.09) 2002 15.56 1.15 (.22) (.10) (.03) .80 (.94) (.10) (1.04) =================================================================================================================================== Total Returns --------------------- Offering Based Ending Costs and Ending on Net Preferred Common Based Common Assets Share Share Ending on Share Net Applicable Underwriting Net Asset Market Market Asset to Common Discounts Value Value Value** Value** Shares (000) - ------------------------------------------------------------------------------------------------ PERFORMANCE PLUS (NPP) - ------------------------------------------------------------------------------------------------ Year Ended 10/31: 2007(b) $ -- $15.57 $15.19 3.55% 1.41% $ 933,016 2006 -- 15.78 15.09 10.78 7.50 945,222 2005 -- 15.51 14.43 3.02 3.83 929,544 2004 -- 15.87 14.95 9.10 9.30 950,993 2003 -- 15.45 14.64 9.58 6.97 925,525 2002 (.01) 15.38 14.28 4.51 5.03 921,376 MUNICIPAL ADVANTAGE (NMA) - ------------------------------------------------------------------------------------------------ Year Ended 10/31: 2007(b) -- 15.67 16.05 4.00 1.45 676,770 2006 -- 15.88 15.85 10.68 7.16 683,675 2005 -- 15.70 15.19 3.29 4.42 675,678 2004 -- 16.02 15.70 8.82 9.57 689,190 2003 -- 15.62 15.44 13.17 8.71 671,147 2002 -- 15.41 14.66 5.89 5.39 662,270 ================================================================================================ Ratios/Supplemental Data ------------------------------------------------------------------------------------------------ Ratios to Average Net Assets Ratios to Average Net Assets Applicable to Common Shares Applicable to Common Shares Before Credit/Reimbursement/Refund After Credit/Reimbursement/Refund*** ---------------------------------------- ----------------------------------------------------- Expenses Expenses Net Expenses Expenses Net Portfolio Including Excluding Investment Including Excluding Investment Turnover Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate - ------------------------------------------------------------------------------------------------------------------------- PERFORMANCE PLUS (NPP) - ------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 1.14%* 1.14%* 6.35%* 1.13%* 1.12%* 6.36%* 2% 2006 1.15 1.15 6.44 1.14 1.14 6.45 9 2005 1.15 1.15 6.45 1.14 1.14 6.46 6 2004 1.17 1.17 6.69 1.17 1.17 6.70 11 2003 1.18 1.18 6.89 1.18 1.18 6.90 10 2002 1.18 1.18 7.11 1.17 1.17 7.12 11 MUNICIPAL ADVANTAGE (NMA) - ------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 1.31* 1.16* 6.82* 1.30* 1.15* 6.84* 1 2006 1.18 1.18 6.92 1.17 1.17 6.93 11 2005 1.17 1.17 6.81 1.16 1.16 6.82 8 2004 1.19 1.19 7.00 1.18 1.18 7.00 4 2003 1.21 1.21 7.27 1.20 1.20 7.27 7 2002 1.22 1.22 7.55 1.22 1.22 7.55 17 ========================================================================================================================= Floating Rate Obligations Preferred Shares at End of Period at End of Period -------------------------------------- --------------------------- Aggregate Liquidation Aggregate Amount and Market Asset Amount Asset Outstanding Value Coverage Outstanding Coverage (000) Per Share Per Share (000) Per $1,000 - -------------------------------------------------------------------------------------------- PERFORMANCE PLUS (NPP) - -------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) $479,000 $25,000 $73,696 $ 6,665 $212,855 2006 479,000 25,000 74,333 -- -- 2005 479,000 25,000 73,515 -- -- 2004 479,000 25,000 74,634 -- -- 2003 479,000 25,000 73,305 -- -- 2002 479,000 25,000 73,089 -- -- MUNICIPAL ADVANTAGE (NMA) - -------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 358,000 25,000 72,261 36,290 29,514 2006 358,000 25,000 72,743 -- -- 2005 358,000 25,000 72,184 -- -- 2004 358,000 25,000 73,128 -- -- 2003 358,000 25,000 71,868 -- -- 2002 358,000 25,000 71,248 -- -- ============================================================================================
* Annualized. ** Total Return on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. Total Return on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. *** After custodian fee credit, expense reimbursement, and legal fee refund, where applicable. + The amounts shown are based on Common share equivalents. ++ Ratios do not reflect the effect of dividend payments to Preferred shareholders; income ratios reflect income earned on assets attributable to Preferred shares, where applicable. (a) Interest expense arises from the application of SFAS No. 140 to certain inverse floating rate transactions entered into by the Fund as more fully described in Footnote 1 - Inverse Floating Rate Securities. (b) For the six months ended April 30, 2007. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. Spread 88-89 Financial HIGHLIGHTS (Unaudited) (continued) Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions --------------------------------------------------------------- ------------------------------- Distributions Distributions from Net from Net Beginning Investment Capital Investment Capital Common Net Income to Gains to Income to Gains to Share Net Realized/ Preferred Preferred Common Common Net Asset Investment Unrealized Share- Share- Share- Share- Value Income Gain (Loss) holders+ holders+ Total holders holders Total - ----------------------------------------------------------------------------------------------------------------------------------- MARKET OPPORTUNITY (NMO) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) $15.41 $ .53 $(.20) $(.15) $ -- $ .18 $ (.39) $ -- $ (.39) 2006 15.14 1.02 .34 (.26) -- 1.10 (.83) -- (.83) 2005 15.48 1.03 (.29) (.16) -- .58 (.92) -- (.92) 2004 15.11 1.03 .37 (.08) -- 1.32 (.95) -- (.95) 2003 14.60 1.03 .50 (.08) -- 1.45 (.94) -- (.94) 2002 15.24 1.11 (.70) (.11) (.01) .29 (.91) (.02) (.93) DIVIDEND ADVANTAGE (NAD) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 15.54 .52 (.17) (.13) -- .22 (.41) -- (.41) 2006 15.28 1.04 .32 (.24) -- 1.12 (.86) -- (.86) 2005 15.62 1.06 (.25) (.15) -- .66 (1.00) -- (1.00) 2004 15.17 1.09 .46 (.07) -- 1.48 (1.03) -- (1.03) 2003 14.94 1.10 .19 (.07) -- 1.22 (.99) -- (.99) 2002 14.84 1.13 .01 (.10) -- 1.04 (.94) -- (.94) =================================================================================================================================== Total Returns --------------------- Offering Based Ending Costs and Ending on Net Preferred Common Based Common Assets Share Share Ending on Share Net Applicable Underwriting Net Asset Market Market Asset to Common Discounts Value Value Value** Value** Shares (000) - ------------------------------------------------------------------------------------------------ MARKET OPPORTUNITY (NMO) - ------------------------------------------------------------------------------------------------ Year Ended 10/31: 2007(b) $ -- $15.20 $14.98 2.48% 1.19% $ 692,530 2006 -- 15.41 15.00 11.92 7.49 701,559 2005 -- 15.14 14.19 4.70 3.78 689,682 2004 -- 15.48 14.44 7.97 9.00 704,760 2003 -- 15.11 14.29 10.62 10.24 687,955 2002 -- 14.60 13.80 .49 2.03 664,914 DIVIDEND ADVANTAGE (NAD) - ------------------------------------------------------------------------------------------------ Year Ended 10/31: 2007(b) -- 15.35 15.06 1.10 1.44 603,112 2006 -- 15.54 15.30 11.19 7.59 610,316 2005 -- 15.28 14.58 1.77 4.27 599,887 2004 -- 15.62 15.31 8.37 10.06 613,328 2003 -- 15.17 15.12 11.41 8.41 595,266 2002 -- 14.94 14.50 2.01 7.26 586,045 ================================================================================================ Ratios/Supplemental Data ------------------------------------------------------------------------------------------------ Ratios to Average Net Assets Ratios to Average Net Assets Applicable to Common Shares Applicable to Common Shares Before Credit/Reimbursement/Refund After Credit/Reimbursement/Refund*** ---------------------------------------- ----------------------------------------------------- Expenses Expenses Net Expenses Expenses Net Portfolio Including Excluding Investment Including Excluding Investment Turnover Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate - ------------------------------------------------------------------------------------------------------------------------- MARKET OPPORTUNITY (NMO) - ------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 1.35%* 1.18%* 6.94%* 1.33%* 1.16%* 6.96%* 2% 2006 1.19 1.19 6.73 1.18 1.18 6.74 14 2005 1.19 1.19 6.66 1.18 1.18 6.67 7 2004 1.21 1.21 6.75 1.19 1.19 6.77 4 2003 1.25 1.25 6.94 1.25 1.25 6.94 9 2002 1.24 1.24 7.50 1.24 1.24 7.51 13 DIVIDEND ADVANTAGE (NAD) - ------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 1.14* 1.12* 6.51* .90* .88* 6.75* 2 2006 1.12 1.12 6.54 .83 .83 6.83 8 2005 1.17 1.17 6.48 .80 .80 6.84 11 2004 1.14 1.14 6.69 .70 .70 7.12 7 2003 1.35 1.35 6.78 .89 .89 7.24 3 2002 1.25 1.25 7.24 .80 .80 7.70 7 ========================================================================================================================= Floating Rate Obligations Preferred Shares at End of Period at End of Period -------------------------------------- --------------------------- Aggregate Liquidation Aggregate Amount and Market Asset Amount Asset Outstanding Value Coverage Outstanding Coverage (000) Per Share Per Share (000) Per $1,000 - -------------------------------------------------------------------------------------------- MARKET OPPORTUNITY (NMO) - -------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) $380,000 $25,000 $70,561 $36,660 $ 30,256 2006 380,000 25,000 71,155 -- -- 2005 380,000 25,000 70,374 -- -- 2004 380,000 25,000 71,366 -- -- 2003 380,000 25,000 70,260 -- -- 2002 380,000 25,000 68,744 -- -- DIVIDEND ADVANTAGE (NAD) - -------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 295,000 25,000 76,111 13,630 66,892 2006 295,000 25,000 76,722 -- -- 2005 295,000 25,000 75,838 -- -- 2004 295,000 25,000 76,977 -- -- 2003 295,000 25,000 75,446 -- -- 2002 295,000 25,000 74,665 -- -- ============================================================================================
* Annualized. ** Total Return on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. Total Return on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. *** After custodian fee credit, expense reimbursement, and legal fee refund, where applicable. + The amounts shown are based on Common share equivalents. ++ Ratios do not reflect the effect of dividend payments to Preferred shareholders; income ratios reflect income earned on assets attributable to Preferred shares, where applicable. (a) Interest expense arises from the application of SFAS No. 140 to certain inverse floating rate transactions entered into by the Fund as more fully described in Footnote 1 - Inverse Floating Rate Securities. (b) For the six months ended April 30, 2007. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. Spread 90-91 Financial HIGHLIGHTS (Unaudited) (continued) Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions --------------------------------------------------------------- ------------------------------- Distributions Distributions from Net from Net Beginning Investment Capital Investment Capital Common Net Income to Gains to Income to Gains to Share Net Realized/ Preferred Preferred Common Common Net Asset Investment Unrealized Share- Share- Share- Share- Value Income Gain (Loss) holders+ holders+ Total holders holders Total - ----------------------------------------------------------------------------------------------------------------------------------- DIVIDEND ADVANTAGE 2 (NXZ) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) $16.02 $ .57 $(.11) $(.13) $ -- $ .33 $ (.46) $ -- $ (.46) 2006 15.80 1.12 .32 (.24) -- 1.20 (.98) -- (.98) 2005 15.63 1.13 .22 (.15) -- 1.20 (1.03) -- (1.03) 2004 15.13 1.12 .51 (.07) -- 1.56 (1.03) (.03) (1.06) 2003 14.89 1.16 .17 (.07) -- 1.26 (1.01) (.01) (1.02) 2002 15.07 1.15 (.32) (.10) -- .73 (.91) (.01) (.92) DIVIDEND ADVANTAGE 3 (NZF) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 15.54 .54 (.12) (.13) (.01) .28 (.43) (.02) (.45) 2006 15.32 1.07 .29 (.24) -- 1.12 (.90) -- (.90) 2005 15.36 1.06 .01 (.15) -- .92 (.96) -- (.96) 2004 14.74 1.06 .59 (.07) -- 1.58 (.96) -- (.96) 2003 14.56 1.07 .10 (.07) -- 1.10 (.93) -- (.93) 2002 14.47 1.03 .16 (.10) -- 1.09 (.91) -- (.91) =================================================================================================================================== Total Returns --------------------- Offering Based Ending Costs and Ending on Net Preferred Common Based Common Assets Share Share Ending on Share Net Applicable Underwriting Net Asset Market Market Asset to Common Discounts Value Value Value** Value** Shares (000) - ------------------------------------------------------------------------------------------------ DIVIDEND ADVANTAGE 2 (NXZ) - ------------------------------------------------------------------------------------------------ Year Ended 10/31: 2007(b) $ -- $15.89 $17.00 5.90% 2.08% $ 466,879 2006 -- 16.02 16.50 11.95 7.86 470,189 2005 -- 15.80 15.64 8.58 7.83 462,862 2004 -- 15.63 15.38 11.16 10.67 457,552 2003 -- 15.13 14.85 14.39 8.67 443,101 2002 .01 14.89 13.91 (.81) 5.16 435,907 DIVIDEND ADVANTAGE 3 (NZF) - ------------------------------------------------------------------------------------------------ Year Ended 10/31: 2007(b) -- 15.37 15.82 2.51 1.84 620,472 2006 -- 15.54 15.88 16.90 7.57 626,836 2005 -- 15.32 14.41 6.11 6.09 617,358 2004 -- 15.36 14.50 12.45 11.10 619,118 2003 .01 14.74 13.80 9.04 7.82 594,154 2002 (.09) 14.56 13.53 (4.26) 7.20 586,799 ================================================================================================ Ratios/Supplemental Data ------------------------------------------------------------------------------------------------ Ratios to Average Net Assets Ratios to Average Net Assets Applicable to Common Shares Applicable to Common Shares Before Credit/Reimbursement/Refund After Credit/Reimbursement/Refund*** ---------------------------------------- ----------------------------------------------------- Expenses Expenses Net Expenses Expenses Net Portfolio Including Excluding Investment Including Excluding Investment Turnover Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate - ------------------------------------------------------------------------------------------------------------------------- DIVIDEND ADVANTAGE 2 (NXZ) - ------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 1.20%* 1.11%* 6.87%* .82%* .74%* 7.25%* 4% 2006 1.11 1.11 6.70 .70 .70 7.11 5 2005 1.12 1.12 6.66 .67 .67 7.12 2 2004 1.14 1.14 6.87 .69 .69 7.32 3 2003 1.17 1.17 7.20 .71 .71 7.66 11 2002 1.17 1.17 7.32 .70 .70 7.79 9 DIVIDEND ADVANTAGE 3 (NZF) - ------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 1.30* 1.13* 6.68* .92* .74* 7.06* 4 2006 1.13 1.13 6.51 .68 .68 6.96 9 2005 1.13 1.13 6.39 .68 .68 6.84 3 2004 1.15 1.15 6.64 .69 .69 7.10 3 2003 1.17 1.17 6.80 .71 .71 7.26 3 2002 1.17 1.17 6.78 .70 .70 7.25 7 ========================================================================================================================= Floating Rate Obligations Preferred Shares at End of Period at End of Period -------------------------------------- --------------------------- Aggregate Liquidation Aggregate Amount and Market Asset Amount Asset Outstanding Value Coverage Outstanding Coverage (000) Per Share Per Share (000) Per $1,000 - -------------------------------------------------------------------------------------------- DIVIDEND ADVANTAGE 2 (NXZ) - -------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) $222,000 $25,000 $77,576 $23,365 $ 30,483 2006 222,000 25,000 77,949 -- -- 2005 222,000 25,000 77,124 -- -- 2004 222,000 25,000 76,526 -- -- 2003 222,000 25,000 74,899 -- -- 2002 222,000 25,000 74,089 -- -- DIVIDEND ADVANTAGE 3 (NZF) - -------------------------------------------------------------------------------------------- Year Ended 10/31: 2007(b) 312,000 25,000 74,717 30,780 31,295 2006 312,000 25,000 75,227 -- -- 2005 312,000 25,000 74,468 -- -- 2004 312,000 25,000 74,609 -- -- 2003 312,000 25,000 72,608 -- -- 2002 312,000 25,000 72,019 -- -- ============================================================================================
* Annualized. ** Total Return on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. Total Return on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. *** After custodian fee credit, expense reimbursement, and legal fee refund, where applicable. + The amounts shown are based on Common share equivalents. ++ Ratios do not reflect the effect of dividend payments to Preferred shareholders; income ratios reflect income earned on assets attributable to Preferred shares, where applicable. (a) Interest expense arises from the application of SFAS No. 140 to certain inverse floating rate transactions entered into by the Fund as more fully described in Footnote 1 - Inverse Floating Rate Securities. (b) For the six months ended April 30, 2007. SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS. Spread 92-93 Reinvest Automatically EASILY AND CONVENIENTLY NUVEEN MAKES REINVESTING EASY. A PHONE CALL IS ALL IT TAKES TO SET UP YOUR REINVESTMENT ACCOUNT. NUVEEN CLOSED-END FUNDS DIVIDEND REINVESTMENT PLAN Your Nuveen Closed-End Fund allows you to conveniently reinvest dividends and/or capital gains distributions in additional Fund shares. By choosing to reinvest, you'll be able to invest money regularly and automatically, and watch your investment grow through the power of tax-free compounding. Just like dividends or distributions in cash, there may be times when income or capital gains taxes may be payable on dividends or distributions that are reinvested. It is important to note that an automatic reinvestment plan does not ensure a profit, nor does it protect you against loss in a declining market. EASY AND CONVENIENT To make recordkeeping easy and convenient, each month you'll receive a statement showing your total dividends and distributions, the date of investment, the shares acquired and the price per share, and the total number of shares you own. HOW SHARES ARE PURCHASED The shares you acquire by reinvesting will either be purchased on the open market or newly issued by the Fund. If the shares are trading at or above net asset value at the time of valuation, the Fund will issue new shares at the greater of the net asset value or 95% of the then-current market price. If the shares are trading at less than net asset value, shares for your account will be purchased on the open market. If the Plan Agent begins purchasing Fund shares on the open market while shares are trading below net asset value, but the Fund's shares subsequently trade at or above their net asset value before the Plan Agent is able to complete its purchases, the Plan Agent may cease open-market purchases and may invest the uninvested portion of the distribution in newly-issued Fund shares at a price equal to the greater of the shares' net asset value or 95% of the shares' market value on the last business day immediately prior to the purchase date. Dividends and distributions received to purchase shares in the open market will normally be invested shortly after the dividend payment date. No interest will be paid on dividends and distributions awaiting reinvestment. Because the market price of the shares may increase before purchases are completed, the average purchase price per share may exceed the market price at the time of valuation, resulting in the acquisition of fewer shares than if the dividend or distribution had been paid in shares issued by the Fund. A pro rata portion of any applicable brokerage commissions on open market purchases will be paid by Plan participants. These commissions usually will be lower than those charged on individual transactions. 94 FLEXIBLE You may change your distribution option or withdraw from the Plan at any time, should your needs or situation change. Should you withdraw, you can receive a certificate for all whole shares credited to your reinvestment account and cash payment for fractional shares, or cash payment for all reinvestment account shares, less brokerage commissions and a $2.50 service fee. You can reinvest whether your shares are registered in your name, or in the name of a brokerage firm, bank, or other nominee. Ask your investment advisor if his or her firm will participate on your behalf. Participants whose shares are registered in the name of one firm may not be able to transfer the shares to another firm and continue to participate in the Plan. The Fund reserves the right to amend or terminate the Plan at any time. Although the Fund reserves the right to amend the Plan to include a service charge payable by the participants, there is no direct service charge to participants in the Plan at this time. CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial advisor or call us at (800) 257-8787. 95 Glossary of TERMS USED IN THIS REPORT AVERAGE ANNUAL TOTAL RETURN: This is a commonly used method to express an investment's performance over a particular, usually multi-year time period. It expresses the return that would have been necessary each year to equal the investment's actual cumulative performance (including change in NAV or market price and reinvested dividends and capital gains distributions, if any) over the time period being considered. AVERAGE EFFECTIVE MATURITY: The average of the number of years to maturity of the bonds in a Fund's portfolio, computed by weighting each bond's time to maturity (the date the security comes due) by the market value of the security. This figure does not account for the likelihood of prepayments or the exercise of call provisions unless an escrow account has been established to redeem the bond before maturity. The market value weighting for an investment in an inverse floating rate security is the value of the portfolio's residual interest in the inverse floating rate trust, and does not include the value of the floating rate securities issued by the trust. INVERSE FLOATERS: Inverse floating rate securities are created by depositing a municipal bond, typically with a fixed interest rate, into a special purpose trust created by a broker-dealer. This trust, in turn, (a) issues floating rate certificates typically paying short-term tax-exempt interest rates to third parties in amounts equal to some fraction of the deposited bond's par amount or market value, and (b) issues an inverse floating rate certificate (sometimes referred to as an "inverse floater") to an investor (such as a Fund) interested in gaining investment exposure to a long-term municipal bond. The income received by the holder of the inverse floater varies inversely with the short-term rate paid to the floating rate certificates' holders, and in most circumstances the holder of the inverse floater bears substantially all of the underlying bond's downside investment risk. The holder of the inverse floater typically also benefits disproportionately from any potential appreciation of the underlying bond's value. Hence, an inverse floater essentially represents an investment in the underlying bond on a leveraged basis. LEVERAGE-ADJUSTED DURATION: Duration is a measure of the expected period over which a bond's principal and interest will be paid, and consequently is a measure of the sensitivity of a bond's or bond Fund's value to changes when market interest rates change. Generally, the longer a bond's or Fund's duration, the more the price of the bond or Fund will change as interest rates change. Leverage-adjusted duration takes into account the leveraging process for a Fund and therefore is longer than the duration of the Fund's portfolio of bonds. MARKET YIELD (ALSO KNOWN AS DIVIDEND YIELD OR CURRENT YIELD): An investment's current annualized dividend divided by its current market price. NET ASSET VALUE (NAV): A Fund's common share NAV per share is calculated by subtracting the liabilities of the Fund (including any MuniPreferred shares issued in order to leverage the Fund) from its total assets and then dividing the remainder by the number of shares outstanding. Fund NAVs are calculated at the end of each business day. TAXABLE-EQUIVALENT YIELD: The yield necessary from a fully taxable investment to equal, on an after-tax basis, the yield of a municipal bond investment. 96 Notes 97 Notes 98 Other Useful INFORMATION QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION Each Fund's (i) quarterly portfolio of investments, (ii) information regarding how the Funds voted proxies relating to portfolio securities held during the 12-month period ended June 30, 2006, and (iii) a description of the policies and procedures that the Funds used to determine how to vote proxies relating to portfolio securities are available without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website at www.nuveen.com. You may also obtain this and other Fund information directly from the Securities and Exchange Commission ("SEC"). The SEC may charge a copying fee for this information. Visit the SEC on-line at http://www.sec.gov or in person at the SEC's Public Reference Room in Washington, D.C. Call the SEC at 1-202-942-8090 for room hours and operation. You may also request Fund information by sending an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public References Section at 450 Fifth Street NW, Washington, D.C. 20549. CEO CERTIFICATION DISCLOSURE For Funds listed on the New York Stock Exchange, each Fund's Chief Executive Officer has submitted to the Exchange the annual CEO certification as required by Section 303A.12(a) of the NYSE Listed Company Manual. Each Fund has filed with the Securities and Exchange Commission the certification of its Chief Executive Officer and Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act. BOARD OF DIRECTORS/TRUSTEES Robert P. Bremner Lawrence H. Brown Jack B. Evans William C. Hunter David J. Kundert William J. Schneider Timothy R. Schwertfeger Judith M. Stockdale Carol E. Stone Eugene S. Sunshine FUND MANAGER Nuveen Asset Management 333 West Wacker Drive Chicago, IL 60606 CUSTODIAN State Street Bank & Trust Company Boston, MA TRANSFER AGENT AND SHAREHOLDER SERVICES State Street Bank & Trust Company Nuveen Funds P.O. Box 43071 Providence, RI 02940-3071 (800) 257-8787 LEGAL COUNSEL Chapman and Cutler LLP Chicago, IL INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM Ernst & Young LLP Chicago, IL EACH FUND INTENDS TO REPURCHASE SHARES OF ITS OWN COMMON STOCK IN THE FUTURE AT SUCH TIMES AND IN SUCH AMOUNTS AS IS DEEMED ADVISABLE. NO SHARES WERE REPURCHASED DURING THE PERIOD COVERED BY THIS REPORT. ANY FUTURE REPURCHASES WILL BE REPORTED TO SHAREHOLDERS IN THE NEXT ANNUAL OR SEMIANNUAL REPORT. 99 Nuveen Investments: SERVING Investors For GENERATIONS Photo of: 2 women looking at a photo album. Since 1898, financial advisors and their clients have relied on Nuveen Investments to provide dependable investment solutions. For the past century, Nuveen Investments has adhered to the belief that the best approach to investing is to apply conservative risk-management principles to help minimize volatility. Building on this tradition, we today offer a range of high quality equity and fixed-income solutions that are integral to a well-diversified core portfolio. Our clients have come to appreciate this diversity, as well as our continued adherence to proven, long-term investing principles. WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS. Managing $166 billion in assets, as of March 31, 2007, Nuveen Investments offers access to a number of different asset classes and investing solutions through a variety of products. Nuveen Investments markets its capabilities under six distinct brands: NWQ, specializing in value-style equities; Nuveen, managing fixed-income investments; Santa Barbara, committed to growth equities; Tradewinds, specializing in global value equities; Rittenhouse, focused on "blue-chip" growth equities; and Symphony, with expertise in alternative investments as well as equity and income portfolios. FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS. To learn more about the products and services Nuveen Investments offers, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. BE SURE TO OBTAIN A PROSPECTUS, WHERE APPLICABLE. INVESTORS SHOULD CONSIDER THE INVESTMENT OBJECTIVE AND POLICIES, RISK CONSIDERATIONS, CHARGES AND EXPENSES OF THE FUND CAREFULLY BEFORE INVESTING. THE PROSPECTUS CONTAINS THIS AND OTHER INFORMATION RELEVANT TO AN INVESTMENT IN THE FUND. FOR A PROSPECTUS, PLEASE CONTACT YOUR SECURITIES REPRESENTATIVE OR NUVEEN INVESTMENTS, 333 W. WACKER DR., CHICAGO, IL 60606. PLEASE READ THE PROSPECTUS CAREFULLY BEFORE YOU INVEST OR SEND MONEY. o Share prices o Fund details o Daily financial news o Investor education o Interactive planning tools Learn more about Nuveen Funds at www.nuveen.com/cef [LOGO] NUVEEN INVESTMENTS ESA-B-0407D ITEM 2. CODE OF ETHICS. Not applicable to this filing. ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT. Not applicable to this filing. ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES. Not applicable to this filing. ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS. Not applicable to this filing. ITEM 6. SCHEDULE OF INVESTMENTS. See Portfolio of Investments in Item 1. ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES. Not applicable to this filing. ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES. Not applicable to this filing. ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS. Not applicable. ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant's Board implemented after the registrant last provided disclosure in response to this Item. ITEM 11. CONTROLS AND PROCEDURES. (a) The registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the "1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR 240.13a-15(b) or 240.15d-15(b)). (b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting. ITEM 12. EXHIBITS. File the exhibits listed below as part of this Form. (a)(1) Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: Not applicable to this filing. (a)(2) A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT attached hereto. (a)(3) Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons: Not applicable. (b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR 270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed "filed" for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registrant specifically incorporates it by reference. Ex-99.906 CERT attached hereto. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. (Registrant) Nuveen Municipal Market Opportunity Fund, Inc. ----------------------------------------------------------- By (Signature and Title)* /s/ Kevin J. McCarthy ---------------------------------------------- Kevin J. McCarthy Vice President and Secretary Date: July 9, 2007 ------------------------------------------------------------------- Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. By (Signature and Title)* /s/ Gifford R. Zimmerman ---------------------------------------------- Gifford R. Zimmerman Chief Administrative Officer (principal executive officer) Date: July 9, 2007 ------------------------------------------------------------------- By (Signature and Title)* /s/ Stephen D. Foy ---------------------------------------------- Stephen D. Foy Vice President and Controller (principal financial officer) Date: July 9, 2007 ------------------------------------------------------------------- * Print the name and title of each signing officer under his or her signature. EX-99.CERT 2 file002.txt CERTIFICATIONS CERTIFICATION I, Gifford R. Zimmerman, certify that: 1. I have reviewed this report on Form N-CSR of Nuveen Municipal Market Opportunity Fund, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: (a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; (c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and (d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: July 9, 2007 /s/ Gifford R. Zimmerman ------------------------- -------------------------------- Gifford R. Zimmerman Chief Administrative Officer (principal executive officer) CERTIFICATION I, Stephen D. Foy, certify that: 1. I have reviewed this report on Form N-CSR of Nuveen Municipal Market Opportunity Fund, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: (a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; (c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and (d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: July 9, 2007 /s/ Stephen D. Foy ------------------------- -------------------------------- Stephen D. Foy Vice President and Controller (principal financial officer) EX-99.906CERT 3 file003.txt CERTIFICATIONS Certification Pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002; provided by the Chief Executive Officer and Chief Financial Officer, based on each such officer's knowledge and belief. The undersigned officers of Nuveen Municipal Market Opportunity Fund, Inc. (the "Fund"), certify that, to the best of each such officer's knowledge and belief: 1. The Form N-CSR of the Fund for the period ended April 30, 2007 (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and 2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Fund. Date: July 9, 2007 ----------------------- /s/ Gifford R. Zimmerman --------------------------------- Gifford R. Zimmerman Chief Administrative Officer (principal executive officer) /s/ Stephen D. Foy --------------------------------- Stephen D. Foy Vice President, Controller (principal financial officer) -----END PRIVACY-ENHANCED MESSAGE-----