-----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, DiRhMJq2pbM2e4Nb8vGD3FmIMBEkfbviQa2QLlJGE+vCto6OTtV3V5uIlPCHpLVQ SmEwwkREhmhLBi9+qRVfBA== 0000891804-08-002094.txt : 20080709 0000891804-08-002094.hdr.sgml : 20080709 20080709162121 ACCESSION NUMBER: 0000891804-08-002094 CONFORMED SUBMISSION TYPE: N-CSRS PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20080430 FILED AS OF DATE: 20080709 DATE AS OF CHANGE: 20080709 EFFECTIVENESS DATE: 20080709 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: 08945214 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, 2008 ------------------ 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. Semi-Annual Report | Nuveen Investments April 30, 2008 | Municipal Closed-End Funds Photo of: Small child 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 | [LOGO] It's not what you earn, it's what you keep.(R) | NUVEEN | Investments Photo of: Man working on computer Life is complex. Nuveen makes things e-simple. -------------------------------------------------- It only takes a minute to sign up for e-Reports. Once enrolled, you'll receive an e-mail as soon as your Nuveen 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. Free e-Reports right to your e-mail! - -------------------------------------------------------------------------------- www.investordelivery.com | www.nuveen.com/accountaccess If you receive your Nuveen Fund | If you receive your Nuveen Fund dividends and statements from your OR dividends and statements directly financial advisor or brokerage account. | from Nuveen. | - -------------------------------------------------------------------------------- [LOGO] NUVEEN Investments Chairman's LETTER TO SHAREHOLDERS - -------------------------------------------------------------------------------- Photo of: Timothy R. Schwertfeger Timothy R. Schwertfeger Chairman of the Board It is with a variety of emotions that I write my last letter to Nuveen Fund shareholders. For a dozen years, it has been my privilege to communicate periodically with you through these annual and semi-annual reports about the performance and uses of your Fund. Over that time, I've tried to emphasize the central role that quality municipal bonds can play in creating attractive opportunities for current tax-free income, long-term return and portfolio diversification. I firmly believe that all our Fund shareholders, working in conjunction with a trusted financial advisor, have the potential to reach their financial objectives by using Nuveen Funds as a core component of a well-balanced portfolio. As I noted in your Fund's last shareholder report, Nuveen Investments was acquired in November 2007 by a group led by Madison Dearborn Partners, LLC. While this event had no impact on the investment objectives, portfolio management strategies or dividend policies of your Fund, it did provide a convenient point to begin implementing a long-planned transition in the senior management team at Nuveen. As a part of this process, I will be leaving the Board of the Nuveen Funds on June 30, 2008. In addition, Nuveen and your Fund's Board determined that Fund shareholders would be best served by having an independent director serve as the new chairman of the Fund Board. Therefore, I am very excited and pleased to report that I will be succeeded as chairman of your Nuveen Fund Board by Robert Bremner. A member of the Board since 1997, Bob is a management consultant and private investor not affiliated with Nuveen. Over the years, he has played a critical role on the Fund Board, most recently as the lead independent director, and I know Bob and the other Board members are determined to maintain the standards and commitment to quality that you have come to expect from your Nuveen investment. Please take the time to review the Portfolio Managers' Comments, the Common Share Dividend and Share Price Information, and the Performance Overview sections of this report. All of us are grateful that you have chosen Nuveen Investments as a partner as you pursue your financial goals, and, on behalf of Bob Bremner and the other members of your Fund's Board, let me say we look forward to continuing to earn your trust in the months and years ahead. Sincerely, /s/ Timothy R. Schwertfeger Timothy R. Schwertfeger Chairman of the Board June 16, 2008 Portfolio Managers' COMMENTS - -------------------------------------------------------------------------------- | NPP, NMA, NMO Nuveen Investments Municipal Closed-End Funds | NAD, NXZ, NZF Portfolio managers Tom Spalding and Paul Brennan review key investment strategies and the six-month performance of these six national Funds. A 31-year veteran of Nuveen, Tom has managed NXZ since its inception in 2001 and NPP, NMA, NMO, and NAD since 2003. With 19 years of industry experience, including 17 years at Nuveen, Paul assumed portfolio management responsibility for NZF in 2006. WHAT KEY STRATEGIES WERE USED TO MANAGE THESE FUNDS DURING THE SIX-MONTH REPORTING PERIOD ENDED APRIL 30, 2008? During this six-month period, the municipal market experienced a great deal of volatility, as issues related to the sub-prime mortgage industry had an indirect but important, influence on the municipal market's performance. Other major factors influencing the municipal market included tighter liquidity stemming from problems in the credit markets, a flight to quality driven by dislocations in the financial markets, and continued uncertainty about municipal bond insurers. We sought to capitalize on this turbulent environment by continuing to focus on relative value, using a fundamental approach to find undervalued sectors and individual credits with the potential to perform well over the long term. As the market discounted bonds that were out of favor, such as those with lower credit quality and higher yields, we took advantage of opportunities that we considered overlooked and undervalued to selectively add these types of bonds to our portfolios, including bonds rated BBB. In addition, we believed that the steepening municipal yield curve began to offer better reward opportunities for purchases made further out on the curve. As a result, many of the additions to our portfolios emphasized longer maturities. Among the credits we added to the Funds were uninsured health care bonds, marking the first time in a while that we found bonds in this sector at attractive levels relative to their credit quality. NPP, NMA, NMO, NAD, and NXZ also purchased zero coupon bonds, which we believed offered good long-term potential at discounted prices. In NZF, we added exposure to the short end of the yield curve by purchasing variable rate demand obligations (VRDOs) at very attractive yields. VRDOs are floating-rate securities that offer interest rates set daily or weekly based on an index of short-term municipal rates. To generate cash for purchases, we selectively sold holdings with shorter durations, (1) including pre-refunded bonds, (2) at attractive prices resulting from high demand. Selling shorter duration bonds and reinvesting further out on the yield curve also helped to improve the Funds' overall call protection profiles. In addition, a number of our new purchases were funded with cash generated by bond redemptions. Discussions of specific investments are for illustrative purposes only and are not intended as recommendations of individual investments. The views expressed in this commentary represent those of the portfolio managers as of the date of this report and are subject to change at any time, based on market conditions and other factors. The Funds disclaim any obligation to advise shareholders of such changes. - ---------- (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) 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 - ---- As noted earlier, over the course of the entire reporting period, we saw the municipal yield curve steepen, as municipal bond interest rates at the short end of the curve declined while longer-term rates rose. In this environment, we continued to emphasize a disciplined approach to duration management. As part of this strategy, we use inverse floating rate securities, (3) a type of derivative financial instrument, in all six of these Funds. Inverse floaters typically provide the dual benefit of lengthening the Funds' durations to be closer to our strategic target and enhancing their income-generation capabilities. NZF also used forward interest rate swaps, another type of derivative financial instrument. The goal of this strategy was to help us manage NZF's common share net asset value (NAV) volatility without having a negative impact on its income stream or common share dividends over the short term. 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 Common Share Net Asset Value* For periods ended 4/30/08 Six-Month 1-Year 5-Year 10-Year NPP -1.07% -0.96% 4.49% 5.72% NMA -1.98% -2.36% 4.49% 5.75% NMO -1.73% -1.73% 4.67% 5.12% NAD -1.63% -1.96% 4.68% N/A NXZ -0.58% 0.09% 6.22% N/A NZF -0.56% -0.11% 5.60% N/A Lipper General Leveraged Municipal Debt Funds Average(4) -2.54% -3.47% 4.64% 5.24% Lehman Brothers Municipal Bond Index(5) 1.47% 2.79% 4.03% 5.16% For the six months ended April 30, 2008, the cumulative returns on common share NAV for all six of the Funds in this report underperformed the return on the Lehman Brothers Municipal Bond Index. At the same time, the six-month returns for all six Funds outperformed the average return for the Lipper General Leveraged Municipal Debt Funds Average. One of the major factors impacting the six-month performance of these Funds in relation to that of the unleveraged Lehman Brothers Municipal Bond Index was the use of financial leverage. While leverage provides opportunities for additional income and total returns for common shareholders, the benefits of leveraging are tied in part to the - ---------- *Six-month returns are cumulative; returns for one-year, five-year, and ten-year are annualized. 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. (3) An inverse floating rate security 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 this reporting period, are further defined within the Notes to Financial Statements and Glossary of Terms Used in This Report sections of this shareholder report. (4) 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: six months, 54; 1 year, 54; 5 years, 52; and 10 years, 38. Fund and Lipper returns assume reinvestment of dividends. (5) 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 index do not reflect any expenses. ---- 5 ---- short-term rates that leveraged Funds pay their preferred shareholders. During this period, as the yields on longer-term bonds rose and their prices correspondingly fell, declining valuations had a negative effect on performance that was magnified by the use of leverage. In addition, the Funds' borrowing costs remained relatively high, negatively impacting their total returns. (See Recent Developments in the Auction Rate Preferred Markets at the end of this commentary.) Other key factors that influenced the Funds' returns included yield curve and duration positioning, the use of derivatives, credit exposure and sector allocations, and holdings of bonds backed by certain municipal bond insurers. Bonds in the Lehman Brothers Municipal Bond Index with maturities of eight years or less, especially those maturing in two to six years, benefited the most from changes in the interest rate environment. As a result, these shorter maturity bonds generally outperformed credits with longer maturities. Bonds having the longest maturities (22 years and longer) posted the worst returns. While NXZ benefited from having the shortest duration among these Funds, on the whole the Funds were overexposed to the underperforming longer part of the yield curve, with NAD and NMA having the longest durations. This generally had a negative impact on performance. As previously mentioned, NZF used forward interest rate swaps to synthetically extend its duration and move the Fund closer to our strategic duration target. Despite the fact that longer duration instruments generally performed poorly, the use of forward interest rate swaps had a positive impact on NZF's return performance. This was because the interest rate swaps provided exposure to taxable markets during a period when, in contrast to historical trends, the U.S. Treasury market and the municipal market moved in the opposite directions. As municipal market performance lagged the significant gains made by Treasuries, the interest rate swaps performed very well. However, the inverse floaters used by all six of these Funds had a negative impact on performance. This resulted from the fact that the inverse floaters effectively increased the Funds' exposure to longer maturity bonds during a period when shorter maturities were in favor in the market. However, the inverse floaters also benefited the Funds by helping to support their income streams. As credit spreads widened, bonds rated BBB or below posted poor returns. The under-performance of the lower credit quality sector was largely the result of risk-averse investors' flight to quality as disruptions in the financial and housing markets deepened. As of April 30, 2008, the Funds' holdings of bonds rated BBB ranged from approximately 6% in NZF to 14% in NMA. The Funds' allocations to this credit quality sector were generally higher than that of the Lehman Brothers Municipal Bond Index, and the - ---- 6 - ---- negative impact of this greater exposure to credit risk accounted for some of the performance differential between these Funds and the index. In general, bonds that carried any credit risk, regardless of sector, tended to perform poorly. Revenue bonds as a whole, and especially the industrial development and health care sectors that had ranked among the top performers in the Lehman Brothers Municipal Bond Index over the past few years, underperformed the general municipal market. The housing sector also performed poorly, as did lower-rated bonds backed by the 1998 master tobacco settlement agreement. Sectors of the market that generally contributed to the Funds' performances included general obligation bonds, water and sewer, electric utilities and special tax issues. Pre-refunded bonds performed exceptionally well, due primarily to their shorter effective maturities and higher credit quality. Among these six Funds, NXZ had the heaviest allocation of bonds that had been advance refunded. Another factor that had an impact on the performance of these Funds was their position in bonds backed by certain municipal insurers. NMA, in particular, had much heavier exposure to bonds insured by Financial Guaranty Insurance Company (FGIC), which accounted for some of this Fund's underperformance relative to the other Funds in this report (See Recent Developments Regarding Bond Insurance Companies And Fund Policy Changes). On the whole, the holdings of all of our Funds continued to be well diversified not only between insured and uninsured bonds, but also within the insured bond category. RECENT DEVELOPMENTS REGARDING BOND INSURANCE COMPANIES AND FUND POLICY CHANGES The portfolios of investments reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. During the period covered by this report, at least one rating agency reduced the rating for AMBAC-insured and MBIA-insured bonds to AA and at least one rating agency further reduced the ratings for FGIC-insured and XLCA-insured bonds to BB. Subsequent to April 30, 2008, and at the time this report was prepared, at least one rating agency further reduced the rating for MBIA-insured bonds to A. As of April 30, 2008, at least one rating agency has placed XLCA-insured bonds on "negative credit watch" and one or more rating agencies have placed each of these insurers on "negative outlook", which may presage one or more rating reductions for such insurer or insurers in the future. If one or more insurers' ratings are reduced by these rating agencies, it would likely reduce the effective rating of many of the bonds insured by that insurer or insurers. It is important to note that municipal bonds historically have had a very low rate of default. ---- 7 ---- RECENT DEVELOPMENTS IN THE AUCTION RATE PREFERRED MARKETS Beginning in February 2008, more shares for sale were submitted in the regularly scheduled auctions for the preferred shares issued by these Funds than there were offers to buy. This meant that these auctions "failed to clear" and that many or all auction preferred shareholders who wanted to sell their shares in these auctions were unable to do so. This decline in liquidity in auction preferred shares did not lower the credit quality of these shares, and auction preferred shareholders unable to sell their shares received distributions at the "maximum rate" applicable to failed auctions as calculated in accordance with the pre-established terms of the auction preferred shares. At the time this report was prepared, the Funds' managers could not predict when future auctions might succeed in attracting sufficient buyers for the shares offered, if ever. The Funds' managers are working diligently to refund the auction preferred shares, and have made progress in these efforts, but at present there is no assurance that these efforts will succeed. These developments generally do not affect the management or investment policies of these Funds. However, one implication of these auction failures for common shareholders is that the Funds' cost of leverage will likely be higher, at least temporarily, than it otherwise would have been had the auctions continued to be successful. As a result, the Funds' future common share earnings may be lower than they otherwise would have been. For current, up-to-date information, please visit the Nuveen CEF Auction Rate Preferred Resource Center at: http://www.nuveen.com/ResourceCenter/AuctionRatePreferred.aspx. - ---- 8 - ---- Common Share Dividend and Share Price INFORMATION - -------------------------------------------------------------------------------- As previously noted, all of the Funds in this report use leverage to potentially enhance opportunities for additional income for common shareholders. This strategy continued to provide support for the Funds' income streams during this turbulent period. As a result, the dividends of all six of these Funds remained stable throughout the six-month reporting period ended April 30, 2008. Due to capital gains generated by normal portfolio activity, common shareholders of the following Funds received capital gains or net ordinary income distributions at the end of December 2007 as follows: Short-Term Capital Gains Long-Term Capital Gains and/or Ordinary Income (per share) (per share) NMA $0.0238 -- NAD -- $0.0033 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 common share 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 common share NAV. Each Fund will, over time, pay all of its net investment income as dividends to shareholders. As of April 30, 2008, all of the Funds in this report had positive UNII balances, based upon our best estimate, for tax purposes. NPP, NMA and NAD had positive UNII balances and NMO, NXZ and NZF had negative UNII balances for financial statement purposes. ---- 9 ---- As of April 30, 2008, the Funds' common share prices were trading at discounts to their common share NAVs as shown in the accompanying chart: 4/30/08 Six-Month Discount Average Discount NPP -9.31% -10.37% NMA -6.49% -7.07% NMO -7.46% -8.13% NAD -6.17% -7.53% NXZ -0.13% -1.66% NZF -5.77% -7.45% - ----- 10 - ----- NPP | Nuveen Performance Performance | Plus Municipal OVERVIEW | Fund, Inc. as of April 30, 2008 Credit Quality (as a % of total investments)(1) PIE CHART: AAA/U.S. Guaranteed 65% AA 12% A 9% BBB 10% BB or Lower 2% N/R 2% BAR CHART: 2007-2008 Monthly Tax-Free Dividends Per Common Share May 0.0640 Jun 0.0605 Jul 0.0605 Aug 0.0605 Sep 0.0605 Oct 0.0575 Nov 0.0575 Dec 0.0575 Jan 0.0575 Feb 0.0575 Mar 0.0575 Apr 0.0575 LINE CHART: Common Share Price Performance -- Weekly Closing Price 5/01/07 15.18 15.23 15.27 15.26 15.21 15.14 14.67 14.32 14.17 14.21 14.21 14.02 13.92 14.00 14.11 13.90 13.82 13.78 13.98 14.46 14.01 13.91 13.99 13.88 13.63 13.59 13.50 13.62 13.19 12.87 13.07 13.17 13.27 13.05 13.10 13.27 13.85 13.94 13.74 13.95 13.96 14.20 13.37 13.15 12.83 13.30 13.00 13.08 13.40 13.50 13.47 13.37 13.27 4/30/08 13.34 Fund Snapshot - -------------------------------------------------------------------------------- Common Share Price $ 13.34 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 14.71 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -9.31% - -------------------------------------------------------------------------------- Market Yield 5.17% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield(2) 7.18% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 881,130 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 14.60 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 10.62 - -------------------------------------------------------------------------------- Average Annual Total Return (Inception 6/22/89) - -------------------------------------------------------------------------------- On Share Price On NAV - -------------------------------------------------------------------------------- 6-Month (Cumulative) 0.71% -1.07% - -------------------------------------------------------------------------------- 1-Year -7.57% -0.96% - -------------------------------------------------------------------------------- 5-Year 3.98% 4.49% - -------------------------------------------------------------------------------- 10-Year 4.78% 5.72% - -------------------------------------------------------------------------------- States (as a % of total investments) - -------------------------------------------------------------------------------- Illinois 14.4% - -------------------------------------------------------------------------------- California 10.3% - -------------------------------------------------------------------------------- New York 6.5% - -------------------------------------------------------------------------------- New Jersey 5.2% - -------------------------------------------------------------------------------- Indiana 4.9% - -------------------------------------------------------------------------------- Texas 4.9% - -------------------------------------------------------------------------------- Florida 4.5% - -------------------------------------------------------------------------------- Colorado 4.3% - -------------------------------------------------------------------------------- Massachusetts 3.8% - -------------------------------------------------------------------------------- Ohio 3.5% - -------------------------------------------------------------------------------- Washington 3.3% - -------------------------------------------------------------------------------- Michigan 3.1% - -------------------------------------------------------------------------------- South Carolina 2.7% - -------------------------------------------------------------------------------- Nevada 2.3% - -------------------------------------------------------------------------------- Georgia 2.1% - -------------------------------------------------------------------------------- Pennsylvania 2.1% - -------------------------------------------------------------------------------- Utah 2.0% - -------------------------------------------------------------------------------- Minnesota 1.9% - -------------------------------------------------------------------------------- Louisiana 1.9% - -------------------------------------------------------------------------------- Wisconsin 1.6% - -------------------------------------------------------------------------------- Other 14.7% - -------------------------------------------------------------------------------- Industries (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 25.3% - -------------------------------------------------------------------------------- Tax Obligation/Limited 16.4% - -------------------------------------------------------------------------------- Tax Obligation/General 14.4% - -------------------------------------------------------------------------------- Transportation 10.8% - -------------------------------------------------------------------------------- Health Care 9.3% - -------------------------------------------------------------------------------- Utilities 9.0% - -------------------------------------------------------------------------------- Consumer Staples 5.4% - -------------------------------------------------------------------------------- Other 9.4% - -------------------------------------------------------------------------------- (1) The percentages shown in the foregoing chart may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (2) 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. ----- 11 ----- NMA | Nuveen Municipal Performance | Advantage OVERVIEW | Fund, Inc. as of April 30, 2008 Credit Quality (as a % of total investments)(1) PIE CHART: AAA/U.S. Guaranteed 58% AA 14% A 9% BBB 14% BB or Lower 5% BAR CHART: 2007-2008 Monthly Tax-Free Dividends Per Common Share(3) May 0.0715 Jun 0.0675 Jul 0.0675 Aug 0.0675 Sep 0.0675 Oct 0.0640 Nov 0.0640 Dec 0.0640 Jan 0.0640 Feb 0.0640 Mar 0.0640 Apr 0.0640 LINE CHART: Common Share Price Performance -- Weekly Closing Price 5/01/07 16.07 16.21 16.28 16.13 16.05 16.06 15.50 15.07 14.98 14.93 14.80 14.65 14.55 14.74 14.85 14.48 14.01 14.24 14.62 15.12 14.57 14.42 14.48 14.26 13.94 14.10 13.92 13.96 13.52 13.17 13.24 13.46 13.59 13.36 13.24 13.69 14.39 14.59 14.26 14.46 14.51 14.58 13.67 13.47 13.08 13.45 13.28 13.20 13.37 13.56 13.65 13.52 13.55 4/30/08 13.55 Fund Snapshot - -------------------------------------------------------------------------------- Common Share Price $ 13.55 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 14.49 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -6.49% - -------------------------------------------------------------------------------- Market Yield 5.67% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield(2) 7.88% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 626,115 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 15.15 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 11.68 - -------------------------------------------------------------------------------- Average Annual Total Return (Inception 12/19/89) - -------------------------------------------------------------------------------- On Share Price On NAV - -------------------------------------------------------------------------------- 6-Month (Cumulative) 0.04% -1.98% - -------------------------------------------------------------------------------- 1-Year -10.63% -2.36% - -------------------------------------------------------------------------------- 5-Year 3.79% 4.49% - -------------------------------------------------------------------------------- 10-Year 5.04% 5.75% - -------------------------------------------------------------------------------- States (as a % of total investments) - -------------------------------------------------------------------------------- Texas 9.7% - -------------------------------------------------------------------------------- Louisiana 9.7% - -------------------------------------------------------------------------------- Washington 9.1% - -------------------------------------------------------------------------------- California 9.0% - -------------------------------------------------------------------------------- Illinois 8.6% - -------------------------------------------------------------------------------- New York 7.5% - -------------------------------------------------------------------------------- Colorado 5.4% - -------------------------------------------------------------------------------- Ohio 4.2% - -------------------------------------------------------------------------------- Nevada 3.8% - -------------------------------------------------------------------------------- Tennessee 3.6% - -------------------------------------------------------------------------------- Oklahoma 2.8% - -------------------------------------------------------------------------------- South Carolina 2.7% - -------------------------------------------------------------------------------- New Jersey 2.4% - -------------------------------------------------------------------------------- Alabama 2.0% - -------------------------------------------------------------------------------- Puerto Rico 1.9% - -------------------------------------------------------------------------------- Michigan 1.8% - -------------------------------------------------------------------------------- Wisconsin 1.7% - -------------------------------------------------------------------------------- Other 14.1% - -------------------------------------------------------------------------------- Industries (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 29.1% - -------------------------------------------------------------------------------- Utilities 13.1% - -------------------------------------------------------------------------------- Health Care 12.8% - -------------------------------------------------------------------------------- Tax Obligation/Limited 12.3% - -------------------------------------------------------------------------------- Transportation 8.3% - -------------------------------------------------------------------------------- Tax Obligation/General 8.1% - -------------------------------------------------------------------------------- Consumer Staples 5.3% - -------------------------------------------------------------------------------- Other 11.0% - -------------------------------------------------------------------------------- (1) The percentages shown in the foregoing chart may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (2) 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. (3) The Fund paid shareholders a capital gains distribution in December 2007 of $0.0238 per share. - ----- 12 - ----- NMO | Nuveen Municipal Performance | Market Opportunity OVERVIEW | Fund, Inc. as of April 30, 2008 Credit Quality (as a % of total investments)(1) PIE CHART: AAA/U.S. Guaranteed 77% AA 8% A 5% BBB 8% BB or Lower 2% BAR CHART: 2007-2008 Monthly Tax-Free Dividends Per Common Share May 0.0635 Jun 0.0605 Jul 0.0605 Aug 0.0605 Sep 0.0605 Oct 0.0605 Nov 0.0605 Dec 0.0605 Jan 0.0605 Feb 0.0605 Mar 0.0605 Apr 0.0605 LINE CHART: Common Share Price Performance -- Weekly Closing Price 5/01/07 15.00 15.13 15.00 15.02 14.88 14.94 14.64 14.13 14.01 14.03 13.91 13.75 13.73 13.61 13.76 13.44 13.21 13.47 13.79 14.09 13.77 13.59 13.79 13.73 13.60 13.47 13.46 13.59 13.12 12.59 12.95 13.13 13.25 13.00 12.72 13.08 13.73 14.02 13.74 14.10 14.13 14.23 13.35 13.10 12.90 13.15 12.91 12.73 12.97 13.19 13.08 13.17 13.18 4/30/08 13.15 Fund Snapshot - -------------------------------------------------------------------------------- Common Share Price $ 13.15 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 14.21 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -7.46% - -------------------------------------------------------------------------------- Market Yield 5.52% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield(2) 7.67% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 647,419 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 12.48 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 10.73 - -------------------------------------------------------------------------------- Average Annual Total Return (Inception 3/21/90) - -------------------------------------------------------------------------------- On Share Price On NAV - -------------------------------------------------------------------------------- 6-Month (Cumulative) -0.15% -1.73% - -------------------------------------------------------------------------------- 1-Year -7.43% -1.73% - -------------------------------------------------------------------------------- 5-Year 4.21% 4.67% - -------------------------------------------------------------------------------- 10-Year 4.45% 5.12% - -------------------------------------------------------------------------------- States (as a % of total investments) - -------------------------------------------------------------------------------- Texas 15.3% - -------------------------------------------------------------------------------- Washington 9.8% - -------------------------------------------------------------------------------- Illinois 8.3% - -------------------------------------------------------------------------------- California 7.7% - -------------------------------------------------------------------------------- New York 6.6% - -------------------------------------------------------------------------------- Minnesota 5.1% - -------------------------------------------------------------------------------- South Carolina 4.7% - -------------------------------------------------------------------------------- Colorado 3.9% - -------------------------------------------------------------------------------- New Jersey 3.9% - -------------------------------------------------------------------------------- Nevada 3.3% - -------------------------------------------------------------------------------- Ohio 3.0% - -------------------------------------------------------------------------------- Georgia 2.9% - -------------------------------------------------------------------------------- North Dakota 2.8% - -------------------------------------------------------------------------------- Pennsylvania 2.5% - -------------------------------------------------------------------------------- Massachusetts 2.3% - -------------------------------------------------------------------------------- Puerto Rico 2.2% - -------------------------------------------------------------------------------- Oregon 1.6% - -------------------------------------------------------------------------------- Other 14.1% - -------------------------------------------------------------------------------- Industries (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 36.2% - -------------------------------------------------------------------------------- Tax Obligation/General 16.2% - -------------------------------------------------------------------------------- Transportation 10.7% - -------------------------------------------------------------------------------- Tax Obligation/Limited 8.8% - -------------------------------------------------------------------------------- Health Care 8.6% - -------------------------------------------------------------------------------- Utilities 5.7% - -------------------------------------------------------------------------------- Consumer Staples 5.4% - -------------------------------------------------------------------------------- Other 8.4% - -------------------------------------------------------------------------------- (1) The percentages shown in the foregoing chart may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (2) 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 ----- NAD | Nuveen Dividend Performance | Advantage OVERVIEW | Municipal Fund as of April 30, 2008 Credit Quality (as a % of municipal bonds)(1) PIE CHART: AAA/U.S. Guaranteed 58% AA 20% A 8% BBB 7% BB or Lower 5% N/R 2% BAR CHART: 2007-2008 Monthly Tax-Free Dividends Per Common Share(3) May 0.0665 Jun 0.0665 Jul 0.0665 Aug 0.0665 Sep 0.0665 Oct 0.0635 Nov 0.0635 Dec 0.0635 Jan 0.0635 Feb 0.0635 Mar 0.0635 Apr 0.0635 LINE CHART: Common Share Price Performance -- Weekly Closing Price 5/01/07 15.11 15.29 15.36 15.27 15.16 15.07 14.82 14.81 14.71 14.76 14.60 14.46 14.38 14.27 14.31 14.09 14.23 14.24 14.28 14.54 14.35 14.26 14.30 14.15 13.76 13.73 13.66 13.66 13.27 12.88 13.20 13.37 13.31 13.26 12.95 13.24 14.15 14.06 13.79 14.13 14.09 14.09 13.42 13.00 12.60 13.16 12.85 12.88 13.27 13.58 13.43 13.51 13.30 4/30/08 13.39 Fund Snapshot - -------------------------------------------------------------------------------- Common Share Price $ 13.39 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 14.27 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -6.17% - -------------------------------------------------------------------------------- Market Yield 5.69% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield(2) 7.90% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 560,697 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 15.18 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 12.62 - -------------------------------------------------------------------------------- Average Annual Total Return (Inception 5/26/99) - -------------------------------------------------------------------------------- On Share Price On NAV - -------------------------------------------------------------------------------- 6-Month (Cumulative) 1.11% -1.63% - -------------------------------------------------------------------------------- 1-Year -5.95% -1.96% - -------------------------------------------------------------------------------- 5-Year 3.86% 4.68% - -------------------------------------------------------------------------------- Since Inception 5.05% 6.23% - -------------------------------------------------------------------------------- States (as a % of municipal bonds) - -------------------------------------------------------------------------------- Illinois 18.6% - -------------------------------------------------------------------------------- Texas 9.5% - -------------------------------------------------------------------------------- New York 7.6% - -------------------------------------------------------------------------------- Washington 7.1% - -------------------------------------------------------------------------------- Florida 6.3% - -------------------------------------------------------------------------------- Wisconsin 5.3% - -------------------------------------------------------------------------------- Louisiana 4.5% - -------------------------------------------------------------------------------- New Jersey 3.8% - -------------------------------------------------------------------------------- Indiana 3.8% - -------------------------------------------------------------------------------- Colorado 3.6% - -------------------------------------------------------------------------------- Ohio 3.4% - -------------------------------------------------------------------------------- Pennsylvania 3.3% - -------------------------------------------------------------------------------- Michigan 2.9% - -------------------------------------------------------------------------------- Nevada 2.7% - -------------------------------------------------------------------------------- California 2.3% - -------------------------------------------------------------------------------- Rhode Island 2.2% - -------------------------------------------------------------------------------- Other 13.1% - -------------------------------------------------------------------------------- Industries (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 20.7% - -------------------------------------------------------------------------------- Health Care 16.4% - -------------------------------------------------------------------------------- Tax Obligation/Limited 15.8% - -------------------------------------------------------------------------------- Tax Obligation/General 13.8% - -------------------------------------------------------------------------------- Transportation 12.1% - -------------------------------------------------------------------------------- Utilities 5.5% - -------------------------------------------------------------------------------- Consumer Staples 5.5% - -------------------------------------------------------------------------------- Other 10.2% - -------------------------------------------------------------------------------- (1) The percentages shown in the foregoing chart may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (2) 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. (3) The Fund paid shareholders a net ordinary income distribution in December 2007 of $.0033 per share. - ----- 14 - ----- NXZ | Nuveen Dividend Performance | Advantage OVERVIEW | Municipal Fund 2 as of April 30, 2008 Credit Quality (as a % of total investments)(1) PIE CHART: AAA/U.S. Guaranteed 66% AA 9% A 9% BBB 10% BB or Lower 5% N/R 1% BAR CHART: 2007-2008 Monthly Tax-Free Dividends Per Common Share May 0.0765 Jun 0.0730 Jul 0.0730 Aug 0.0730 Sep 0.0730 Oct 0.0730 Nov 0.0730 Dec 0.0730 Jan 0.0730 Feb 0.0730 Mar 0.0730 Apr 0.0730 LINE CHART: Common Share Price Performance -- Weekly Closing Price 5/01/07 17.10 17.19 17.16 17.06 16.84 16.80 16.12 15.76 15.60 15.81 15.76 15.47 15.54 15.55 15.62 15.26 14.61 14.95 15.30 15.94 15.48 15.32 15.50 15.34 15.35 15.56 15.37 15.50 14.95 14.47 14.62 14.92 15.17 15.17 15.08 14.80 15.56 15.68 15.55 15.90 15.97 16.15 14.85 14.56 14.24 14.65 14.11 14.18 14.65 14.70 14.63 14.72 14.95 4/30/08 15.00 Fund Snapshot - -------------------------------------------------------------------------------- Common Share Price $ 15.00 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 15.02 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -0.13% - -------------------------------------------------------------------------------- Market Yield 5.84% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield(2) 8.11% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 441,733 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 14.79 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 8.65 - -------------------------------------------------------------------------------- Average Annual Total Return (Inception 3/27/01) - -------------------------------------------------------------------------------- On Share Price On NAV - -------------------------------------------------------------------------------- 6-Month (Cumulative) -0.25% -0.58% - -------------------------------------------------------------------------------- 1-Year -6.57% 0.09% - -------------------------------------------------------------------------------- 5-Year 6.87% 6.22% - -------------------------------------------------------------------------------- Since Inception 6.46% 7.12% - -------------------------------------------------------------------------------- States (as a % of total investments) - -------------------------------------------------------------------------------- Texas 16.0% - -------------------------------------------------------------------------------- Michigan 9.4% - -------------------------------------------------------------------------------- California 7.9% - -------------------------------------------------------------------------------- Illinois 7.7% - -------------------------------------------------------------------------------- New York 6.0% - -------------------------------------------------------------------------------- Colorado 5.7% - -------------------------------------------------------------------------------- Nevada 4.0% - -------------------------------------------------------------------------------- New Mexico 3.6% - -------------------------------------------------------------------------------- Louisiana 3.4% - -------------------------------------------------------------------------------- Washington 3.3% - -------------------------------------------------------------------------------- Missouri 3.2% - -------------------------------------------------------------------------------- Florida 3.2% - -------------------------------------------------------------------------------- Alabama 2.9% - -------------------------------------------------------------------------------- Oregon 2.5% - -------------------------------------------------------------------------------- Kansas 2.5% - -------------------------------------------------------------------------------- Massachusetts 2.2% - -------------------------------------------------------------------------------- Pennsylvania 2.2% - -------------------------------------------------------------------------------- Other 14.3% - -------------------------------------------------------------------------------- Industries (as a % of total investments) - -------------------------------------------------------------------------------- U.S. Guaranteed 36.4% - -------------------------------------------------------------------------------- Tax Obligation/Limited 18.0% - -------------------------------------------------------------------------------- Health Care 13.0% - -------------------------------------------------------------------------------- Transportation 10.6% - -------------------------------------------------------------------------------- Utilities 5.6% - -------------------------------------------------------------------------------- Consumer Staples 4.2% - -------------------------------------------------------------------------------- Other 12.2% - -------------------------------------------------------------------------------- (1) The percentages shown in the foregoing chart may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (2) 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. ----- 15 ----- NZF | Nuveen Dividend Performance | Advantage OVERVIEW | Municipal Fund 3 as of April 30, 2008 Credit Quality (as a % of municipal bonds)(1,2) PIE CHART: AAA/U.S. Guaranteed 68% AA 11% A 6% BBB 6% BB or Lower 2% N/R 7% BAR CHART: 2007-2008 Monthly Tax-Free Dividends Per Common Share May 0.0705 Jun 0.0675 Jul 0.0675 Aug 0.0675 Sep 0.0675 Oct 0.0640 Nov 0.0640 Dec 0.0640 Jan 0.0640 Feb 0.0640 Mar 0.0640 Apr 0.0640 LINE CHART: Common Share Price Performance -- Weekly Closing Price 5/01/07 15.80 15.86 15.90 15.82 15.60 15.47 14.96 14.65 14.67 14.88 14.96 14.73 14.66 14.39 14.44 14.26 14.10 14.08 14.45 14.66 14.58 14.25 14.32 14.13 13.95 13.98 13.90 13.77 13.21 13.01 13.16 13.41 13.52 13.28 13.16 13.41 14.29 14.43 14.40 14.65 14.61 14.82 13.55 13.42 13.08 13.73 13.22 13.05 13.36 13.62 13.54 13.62 13.66 4/30/08 13.72 Fund Snapshot - -------------------------------------------------------------------------------- Common Share Price $ 13.72 - -------------------------------------------------------------------------------- Common Share Net Asset Value $ 14.56 - -------------------------------------------------------------------------------- Premium/(Discount) to NAV -5.77% - -------------------------------------------------------------------------------- Market Yield 5.60% - -------------------------------------------------------------------------------- Taxable-Equivalent Yield(3) 7.78% - -------------------------------------------------------------------------------- Net Assets Applicable to Common Shares ($000) $ 587,814 - -------------------------------------------------------------------------------- Average Effective Maturity on Securities (Years) 15.99 - -------------------------------------------------------------------------------- Leverage-Adjusted Duration 11.01 - -------------------------------------------------------------------------------- Average Annual Total Return (Inception 9/25/01) - -------------------------------------------------------------------------------- On Share Price On NAV - -------------------------------------------------------------------------------- 6-Month (Cumulative) 1.87% -0.56% - -------------------------------------------------------------------------------- 1-Year -8.31% -0.11% - -------------------------------------------------------------------------------- 5-Year 5.85% 5.60% - -------------------------------------------------------------------------------- Since Inception 4.95% 6.40% - -------------------------------------------------------------------------------- States (as a % of municipal bonds)(2) - -------------------------------------------------------------------------------- Illinois 12.4% - -------------------------------------------------------------------------------- Texas 11.2% - -------------------------------------------------------------------------------- Washington 10.0% - -------------------------------------------------------------------------------- California 8.9% - -------------------------------------------------------------------------------- Michigan 6.3% - -------------------------------------------------------------------------------- Colorado 4.3% - -------------------------------------------------------------------------------- Iowa 4.0% - -------------------------------------------------------------------------------- Indiana 3.8% - -------------------------------------------------------------------------------- Louisiana 3.0% - -------------------------------------------------------------------------------- Wisconsin 2.9% - -------------------------------------------------------------------------------- New Jersey 2.5% - -------------------------------------------------------------------------------- New York 2.5% - -------------------------------------------------------------------------------- Kentucky 2.1% - -------------------------------------------------------------------------------- Ohio 2.0% - -------------------------------------------------------------------------------- Missouri 1.9% - -------------------------------------------------------------------------------- Oklahoma 1.7% - -------------------------------------------------------------------------------- Oregon 1.6% - -------------------------------------------------------------------------------- Maryland 1.6% - -------------------------------------------------------------------------------- Georgia 1.6% - -------------------------------------------------------------------------------- Florida 1.6% - -------------------------------------------------------------------------------- Other 14.1% - -------------------------------------------------------------------------------- Industries (as a % of total investments)(2) - -------------------------------------------------------------------------------- U.S. Guaranteed 24.6% - -------------------------------------------------------------------------------- Transportation 15.3% - -------------------------------------------------------------------------------- Health Care 14.0% - -------------------------------------------------------------------------------- Tax Obligation/General 11.1% - -------------------------------------------------------------------------------- Utilities 6.2% - -------------------------------------------------------------------------------- Tax Obligation/Limited 6.1% - -------------------------------------------------------------------------------- Education and Civic Organizations 4.8% - -------------------------------------------------------------------------------- Consumer Staples 4.0% - -------------------------------------------------------------------------------- Other 13.9% - -------------------------------------------------------------------------------- (1) The percentages shown in the foregoing chart may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (2) Excluding derivative transactions. (3) 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. - ----- 16 - ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Alabama - 0.2% (0.1% of Total Investments) Jefferson County, Alabama, Sewer Revenue Refunding Warrants, Series 1997A: $ 1,435 5.625%, 2/01/22 - FGIC Insured 8/08 at 100.50 Baa3 $ 934,572 1,505 5.375%, 2/01/27 - FGIC Insured 8/08 at 100.00 BB 980,056 - ------------------------------------------------------------------------------------------------------------------------------------ 2,940 Total Alabama 1,914,628 - ------------------------------------------------------------------------------------------------------------------------------------ Alaska - 0.2% (0.1% of Total Investments) 2,200 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 1,718,970 Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ Arizona - 1.3% (0.9% of Total Investments) 1,000 Arizona State Transportation Board, Highway Revenue Bonds, Series 7/12 at 100.00 AAA 1,090,600 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 AA- 5,568,441 5,055 5.750%, 7/01/16 - FGIC Insured (Alternative Minimum Tax) 7/12 at 100.00 AA- 5,220,652 - ------------------------------------------------------------------------------------------------------------------------------------ 11,420 Total Arizona 11,879,693 - ------------------------------------------------------------------------------------------------------------------------------------ Arkansas - 0.5% (0.4% of Total Investments) 5,080 Independence County, Arkansas, Hydroelectric Power Revenue Bonds, 5/13 at 100.00 B 3,903,574 Series 2003, 5.350%, 5/01/28 - ACA Insured 1,000 Washington County, Arkansas, Hospital Revenue Bonds, Washington 2/15 at 100.00 BBB 904,410 Regional Medical Center, Series 2005A, 5.000%, 2/01/35 - ------------------------------------------------------------------------------------------------------------------------------------ 6,080 Total Arkansas 4,807,984 - ------------------------------------------------------------------------------------------------------------------------------------ California - 16.0% (10.3% of Total Investments) 3,500 Alameda Corridor Transportation Authority, California, Subordinate 10/17 at 100.00 AAA 2,895,060 Lien Revenue Bonds, Series 2004A, 0.000%, 10/01/25 - AMBAC Insured 11,000 Anaheim Public Finance Authority, California, Subordinate Lease No Opt. Call AAA 6,024,920 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 4,508,840 3,175 5.375%, 5/01/22 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 3,504,343 3,365 California Health Facilities Financing Authority, Health Facility 3/13 at 100.00 A 3,173,094 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+ 4,843,800 7,000 5.250%, 4/01/39 4/16 at 100.00 A+ 6,957,300 2,380 California Infrastructure Economic Development Bank, Revenue 10/11 at 101.00 A- 2,384,546 Bonds, J. David Gladstone Institutes, Series 2001, 5.250%, 10/01/34 3,500 California Pollution Control Financing Authority, Revenue Bonds, 6/17 at 100.00 A3 3,037,755 Pacific Gas and Electric Company, Series 2004C, 4.750%, 12/01/23 - FGIC Insured (Alternative Minimum Tax) 5,000 California, General Obligation Bonds, Series 2005, 5.000%, 3/01/31 3/16 at 100.00 A+ 5,022,200 16,000 California, Variable Purpose Bonds, 5.000%, 6/01/37 (UB) 6/17 at 100.00 A1 15,998,080
----- 17 ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ California (continued) $ 6,435 California, General Obligation Refunding Bonds, Series 2002, 6.000%, 4/01/16 - AMBAC Insured No Opt. Call AAA $ 7,392,785 5,000 Coast Community College District, Orange County, California, General 8/18 at 100.00 AAA 3,770,400 Obligation Bonds, Series 2006C, 0.000%, 8/01/32 - FSA Insured 1,500 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 1,213,965 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 10,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 11,521,900 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, California, 6/15 at 100.00 A 7,550,160 Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 5.000%, 6/01/45 1,000 Mt. Diablo Hospital District, California, Insured Hospital Revenue 6/08 at 100.00 AAA 1,051,640 Bonds, Series 1993A, 5.125%, 12/01/23 - AMBAC Insured (ETM) 13,450 Ontario Redevelopment Financing Authority, San Bernardino County, No Opt. Call AAA 16,103,685 California, Revenue Refunding Bonds, Redevelopment Project 1, Series 1995, 7.200%, 8/01/17 - MBIA Insured 7,770 Palmdale Community Redevelopment Agency, California, Residential No Opt. Call AAA 8,158,811 Mortgage Revenue Refunding Bonds, Series 1991A, 7.150%, 2/01/10 (ETM) 2,325 Palmdale Community Redevelopment Agency, California, Restructured No Opt. Call AAA 3,033,730 Single Family Mortgage Revenue Bonds, Series 1986D, 8.000%, 4/01/16 (Alternative Minimum Tax) (ETM) 2,000 San Francisco Airports Commission, California, Revenue Bonds, San 5/09 at 101.00 A1(4) 2,079,060 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 Refunding 5/11 at 100.00 A1 2,026,340 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, Orange County, No Opt. Call AAA 602,760 California, Toll Road Revenue Refunding Bonds, Series 1997A, 0.000%, 1/15/35 - MBIA Insured 15,745 Walnut Valley Unified School District, Los Angeles County, 8/11 at 103.00 AAA 18,128,005 California, General Obligation Refunding Bonds, Series 1997A, 7.200%, 2/01/16 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 142,145 Total California 140,983,179 - ------------------------------------------------------------------------------------------------------------------------------------ Colorado - 6.7% (4.3% of Total Investments) 5,240 Adams 12 Five Star Schools, Adams County, Colorado, General 12/15 at 100.00 AAA 5,441,530 Obligation Bonds, Series 2005, 5.000%, 12/15/24 - FSA Insured 3,000 Colorado Educational and Cultural Facilities Authority, Charter 8/14 at 100.00 A 3,038,220 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 Bonds, 9/11 at 100.00 AA(4) 6,313,623 Catholic Health Initiatives, Series 2001, 5.250%, 9/01/21 (Pre-refunded 9/01/11) 20,000 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 A3(4) 21,664,799 Revenue Bonds, Convention Center Hotel, Series 2003A, 5.000%, 12/01/33 (Pre-refunded 12/01/13) - XLCA Insured 12,615 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, No Opt. Call AAA 6,166,212 Series 1997B, 0.000%, 9/01/21 - MBIA Insured E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2000B: 15,700 0.000%, 9/01/32 - MBIA Insured No Opt. Call AAA 3,751,201 33,000 0.000%, 9/01/33 - MBIA Insured No Opt. Call AAA 7,415,760 18,500 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, Series No Opt. Call AAA 3,530,170 2004A, 0.000%, 3/01/36 - MBIA Insured 755 Jefferson County School District R1, Colorado, General Obligation 12/14 at 100.00 AAA 787,359 Bonds, Series 2004, 5.000%, 12/15/22 - FSA Insured 1,330 University of Colorado Hospital Authority, Revenue Bonds, Series 11/09 at 101.00 Aaa 1,331,849 1999A, 5.000%, 11/15/29 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 116,000 Total Colorado 59,440,723 - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 18 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ District of Columbia - 1.8% (1.2% of Total Investments) $ 5,275 District of Columbia Tobacco Settlement Corporation, Tobacco 5/11 at 101.00 BBB $ 5,323,425 Settlement Asset-Backed Bonds, Series 2001, 6.250%, 5/15/24 5,590 District of Columbia, General Obligation Bonds, Series 1999B, 6/09 at 101.00 AAA 5,814,606 5.500%, 6/01/13 - FSA Insured 5,000 Washington Convention Center Authority, District of Columbia, Senior 10/16 at 100.00 AAA 4,710,050 Lien Dedicated Tax Revenue Bonds, Series 2007A, 4.500%, 10/01/30 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 15,865 Total District of Columbia 15,848,081 - ------------------------------------------------------------------------------------------------------------------------------------ Florida - 7.0% (4.5% 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 1,501,879 1,805 5.800%, 1/01/36 - FSA Insured (Alternative Minimum Tax) 7/11 at 100.00 AAA 1,758,756 5,300 Escambia County Health Facilities Authority, Florida, Revenue Bonds, No Opt. Call Aa1 5,753,468 Ascension Health Credit Group, Series 2003A, 5.250%, 11/15/14 2,100 Florida Housing Finance Corporation, Homeowner Mortgage Revenue 1/10 at 100.00 AAA 2,120,979 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 Public 6/10 at 101.00 AAA 10,594,208 Education Capital Outlay Refunding Bonds, Series 2000D, 5.750%, 6/01/22 7,000 Hillsborough County Aviation Authority, Florida, Revenue Bonds, 10/13 at 100.00 AAA 7,109,410 Tampa International Airport, Series 2003A, 5.250%, 10/01/17 - MBIA Insured (Alternative Minimum Tax) 10,000 JEA, Florida, Electric System Revenue Bonds, Series 2006-3A, 5.000%, 4/15 at 100.00 AAA 10,139,100 10/01/41 - FSA Insured 10,750 Martin County Industrial Development Authority, Florida, Industrial 6/08 at 100.00 BB+ 10,773,435 Development Revenue Bonds, Indiantown Cogeneration LP, Series 1994A, 7.875%, 12/15/25 (Alternative Minimum Tax) 2,570 Miami-Dade County Housing Finance Authority, Florida, Multifamily 6/11 at 100.00 AAA 2,587,836 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 Bonds, Miami 10/15 at 100.00 A2 3,217,550 International Airport, Series 2005A, 5.000%, 10/01/37 - XLCA Insured (Alternative Minimum Tax) 1,700 Miami-Dade County, Florida, Beacon Tradeport Community Development 5/12 at 102.00 AA 1,706,426 District, Special Assessment Bonds, Commercial Project, Series 2002A, 5.625%, 5/01/32 - RAAI Insured 4,500 Port Saint Lucie. Florida, Special Assessment Revenue Bonds, 7/17 at 100.00 AAA 4,538,925 Southwest Annexation District 1B, Series 2007, 5.000%, 7/01/40 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 60,820 Total Florida 61,801,972 - ------------------------------------------------------------------------------------------------------------------------------------ Georgia - 3.2% (2.1% of Total Investments) 4,920 Atlanta, Georgia, Airport General Revenue Refunding Bonds, Series 1/10 at 101.00 A+(4) 5,216,135 2000A, 5.600%, 1/01/30 (Pre-refunded 1/01/10) - FGIC Insured 5,000 Atlanta, Georgia, Water and Wastewater Revenue Bonds, Series 1999A, No Opt. Call A 5,290,150 5.500%, 11/01/22 - FGIC Insured 2,000 George L. Smith II World Congress Center Authority, Atlanta, 7/10 at 101.00 AAA 2,023,860 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, Georgia, Revenue Bonds, 11/09 at 101.00 AA(4) 15,829,500 Emory University, Series 1999A, 5.500%, 11/01/25 (Pre-refunded 11/01/09) - ------------------------------------------------------------------------------------------------------------------------------------ 26,920 Total Georgia 28,359,645 - ------------------------------------------------------------------------------------------------------------------------------------ Idaho - 0.1% (0.1% of Total Investments) 450 Idaho Housing and Finance Association, Single Family Mortgage Bonds, 1/10 at 100.00 Aa3 456,372 Series 2000D, 6.200%, 7/01/14 (Alternative Minimum Tax) 285 Idaho Housing and Finance Association, Single Family Mortgage Bonds, 7/10 at 100.00 Aa2 292,079 Series 2000G-2, 5.950%, 7/01/25 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 735 Total Idaho 748,451 - ------------------------------------------------------------------------------------------------------------------------------------
----- 19 ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois - 22.4% (14.4% of Total Investments) $ 10,000 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- $ 5,759,000 Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1, 0.000%, 12/01/19 - FGIC Insured 10,000 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- 5,424,000 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 AA- 16,954,233 32,670 0.000%, 1/01/22 - FGIC Insured No Opt. Call AA- 16,260,186 9,145 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 1996A, 7/08 at 100.50 AAA 9,202,705 5.500%, 1/01/29 - MBIA Insured 1,665 Chicago, Illinois, Third Lien General Airport Revenue Bonds, O'Hare 1/16 at 100.00 A1 1,623,408 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 5,044,080 15,285 0.000%, 11/01/19 No Opt. Call AAA 9,089,378 2,000 Illinois Finance Authority, Revenue Bonds, Children's Memorial 8/18 at 100.00 AAA 1,957,500 Hospital, Series 2008A, 5.250%, 8/15/47 (WI/DD, Settling 5/15/08) AGC Insured 3,530 Illinois Finance Authority, Revenue Bonds, University of 7/17 at 100.00 AA 3,474,932 Chicago, Series 2007, Trust 73TP, 9.858%, 7/01/46 (IF) 4,000 Illinois Health Facilities Authority, FHA-Insured Mortgage 8/13 at 100.00 AAA 4,009,600 Revenue Refunding Bonds, Sinai Health System, Series 2003, 5.150%, 2/15/37 1,180 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/12 at 100.00 A- 1,204,166 Forest Hospital, Series 2002A, 5.750%, 7/01/29 3,000 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/13 at 100.00 A- 3,092,940 Forest Hospital, Series 2003, 6.000%, 7/01/33 4,580 Illinois Health Facilities Authority, Revenue Bonds, Midwest 8/10 at 102.00 Aaa 4,783,535 Care Center IX Inc., Series 2000, 6.250%, 8/20/35 2,410 Illinois Health Facilities Authority, Revenue Bonds, Silver 8/09 at 101.00 A 2,501,942 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, Community 12/13 at 57.71 AA- 2,941,688 College District 516, General Obligation Bonds, Series 2005E, 0.000%, 12/15/24 - FGIC Insured 3,700 Libertyville, Illinois, Affordable Housing Revenue Bonds, 11/09 at 100.00 Aaa 3,938,465 Liberty Towers Project, Series 1999A, 7.000%, 11/01/29 (Pre-refunded 11/01/09) (Alternative Minimum Tax) 6,000 McHenry County Conservation District, Illinois, General 2/11 at 100.00 Aa1(4) 6,473,580 Obligation Bonds, Series 2001A, 5.625%, 2/01/21 (Pre-refunded 2/01/11) - FGIC Insured 5,000 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/12 at 101.00 AAA 5,114,750 Bonds, McCormick Place Expansion Project, Series 2002A, 5.250%, 6/15/42 - MBIA Insured 10,650 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 13,457,979 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 5,858,456 16,570 0.000%, 12/15/20 - MBIA Insured No Opt. Call AAA 9,138,024 23,550 0.000%, 12/15/22 - MBIA Insured No Opt. Call AAA 11,519,012 13,000 0.000%, 12/15/24 - MBIA Insured No Opt. Call AAA 5,664,360 5,100 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 5,679,768 Refunding Bonds, McCormick Place Expansion Project, Series 1998A, 5.500%, 12/15/23 - FGIC Insured 5,180 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 5,829,935 Refunding Bonds, McCormick Place Expansion Project, Series 1998A, 5.500%, 12/15/23 - FGIC Insured (ETM) 17,865 Regional Transportation Authority, Cook, DuPage, Kane, Lake, No Opt. Call AAA 20,445,241 McHenry and Will Counties, Illinois, General Obligation Bonds, Series 1999, 5.750%, 6/01/23 - FSA Insured
- ----- 20 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois (continued) $ 6,090 Sherman, Illinois, GNMA Mortgage Revenue Refunding Bonds, Villa 10/09 at 102.00 AAA $ 6,337,498 Vianney, Series 1999A, 6.450%, 10/01/29 10,000 Will County Community High School District 210 Lincoln-Way, No Opt. Call Aaa 4,880,700 Illinois, General Obligation Bonds, Series 2006, 0.000%, 1/01/23 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 278,990 Total Illinois 197,661,061 - ------------------------------------------------------------------------------------------------------------------------------------ Indiana - 7.7% (4.9% of Total Investments) 2,465 Danville Multi-School Building Corporation, Indiana, First Mortgage 7/11 at 100.00 AAA 2,557,142 Refunding Bonds, Series 2001, 5.250%, 7/15/18 - AMBAC Insured 3,000 Hospital Authority of Delaware County, Indiana, Hospital Revenue 8/16 at 100.00 Baa2 2,544,660 Bonds, Cardinal Health System, Series 2006, 5.250%, 8/01/36 14,000 Indiana Health Facility Financing Authority, Hospital Revenue Bonds, 8/10 at 101.50 AAA 15,124,620 Clarian Health Obligated Group, Series 2000A, 5.500%, 2/15/30 (Pre-refunded 8/15/10) - MBIA Insured 750 Indiana Health Facility Financing Authority, Hospital Revenue Bonds, 2/16 at 100.00 A+ 749,948 Clarian Health Obligation Group, Series 2006B, 5.000%, 2/15/23 2,500 Indiana Health Facility Financing Authority, Hospital Revenue No Opt. Call AAA 2,862,075 Refunding Bonds, Columbus Regional Hospital, Series 1993, 7.000%, 8/15/15 - FSA Insured Indiana Health Facility Financing Authority, Revenue Bonds, Ancilla Systems Inc. Obligated Group, Series 1997: 15,380 5.250%, 7/01/17 - MBIA Insured (ETM) 6/08 at 101.00 AAA 15,565,175 4,320 5.250%, 7/01/22 - MBIA Insured (ETM) 6/08 at 101.00 AAA 4,368,816 2,250 5.250%, 7/01/22 - MBIA Insured (ETM) 6/08 at 101.00 AAA 2,275,425 3,000 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB- 2,635,770 Community Foundation of Northwest Indiana, Series 2007, 5.500%, 3/01/37 2,000 Indiana Health Facility Financing Authority, Revenue Bonds, 5/15 at 100.00 AAA 2,000,000 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) 1,376,196 6,715 5.375%, 12/01/25 (Pre-refunded 12/01/10) 12/10 at 100.00 AA(4) 7,191,564 3,105 Indiana University, Student Fee Revenue Bonds, Series 2003O, 8/13 at 100.00 Aa1 3,263,759 5.250%, 8/01/20 - FGIC Insured 1,000 Marion County Convention and Recreational Facilities Authority, 6/11 at 100.00 AAA 1,020,920 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 Corporation, 7/15 at 100.00 AAA 2,323,126 Indiana, First Mortgage Bonds, Series 2005, 4.375%, 7/15/26 - MBIA Insured 1,800 Sunman Dearborn High School Building Corporation, Indiana, First 1/15 at 100.00 AAA 1,856,754 Mortgage Bonds, Series 2005, 5.000%, 7/15/25 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 65,965 Total Indiana 67,715,950 - ------------------------------------------------------------------------------------------------------------------------------------ Iowa - 1.8% (1.1% of Total Investments) 1,500 Iowa Finance Authority, Health Facility Revenue Bonds, Care 7/16 at 100.00 BBB- 1,429,620 Initiatives Project, Series 2006A, 5.500%, 7/01/21 Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue Bonds, Series 2005C: 5,000 5.375%, 6/01/38 6/15 at 100.00 BBB 4,254,800 5,300 5.625%, 6/01/46 6/15 at 100.00 BBB 4,602,308 5,000 Iowa Tobacco Settlement Authority, Tobacco Settlement Asset-Backed 6/11 at 101.00 AAA 5,443,250 Revenue Bonds, Series 2001B, 5.600%, 6/01/35 (Pre-refunded 6/01/11) - ------------------------------------------------------------------------------------------------------------------------------------ 16,800 Total Iowa 15,729,978 - ------------------------------------------------------------------------------------------------------------------------------------
----- 21 ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Kansas - 1.4% (0.9% of Total Investments) $ 3,790 Kansas Department of Transportation, Highway Revenue Bonds, Series 3/14 at 100.00 AAA $ 3,949,256 2004A, 5.000%, 3/01/23 5,790 Sedgwick County Unified School District 259, Wichita, Kansas, 9/10 at 100.00 AA 5,675,300 General Obligation Bonds, Series 2000, 3.500%, 9/01/17 3,200 Wyandotte County Unified School District 500, Kansas, General 9/11 at 100.00 AAA 3,158,496 Obligation Bonds, Series 2001, 4.000%, 9/01/21 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 12,780 Total Kansas 12,783,052 - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana - 2.9% (1.9% of Total Investments) 770 East Baton Rouge Mortgage Finance Authority, Louisiana, GNMA/FNMA 10/08 at 101.50 Aaa 779,794 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, Utilities Revenue Bonds, 11/14 at 100.00 AAA 4,169,800 Series 2004, 5.250%, 11/01/25 - MBIA Insured 4,650 Louisiana Public Facilities Authority, Revenue Bonds, Baton Rouge 7/14 at 100.00 AAA 4,720,587 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 9,698,000 6,680 5.875%, 5/15/39 5/11 at 101.00 BBB 6,320,883 - ------------------------------------------------------------------------------------------------------------------------------------ 26,100 Total Louisiana 25,689,064 - ------------------------------------------------------------------------------------------------------------------------------------ Maine - 0.7% (0.4% of Total Investments) 5,680 Portland, Maine, Airport Revenue Bonds, Series 2003A, 5.000%, 7/13 at 100.00 AAA 5,733,676 7/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ Maryland - 1.7% (1.1% of Total Investments) 7,720 Maryland Transportation Authority, Airport Parking Revenue Bonds, 3/12 at 101.00 AAA 7,741,462 Baltimore-Washington International Airport Passenger Facility, Series 2002B, 5.125%, 3/01/20 - AMBAC Insured (Alternative Minimum Tax) 6,865 Takoma Park, Maryland, Hospital Facilities Revenue Refunding and No Opt. Call AAA 7,450,790 Improvement Bonds, Washington Adventist Hospital, Series 1995, 6.500%, 9/01/12 - FSA Insured (ETM) - ------------------------------------------------------------------------------------------------------------------------------------ 14,585 Total Maryland 15,192,252 - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts - 6.0% (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 4,064,440 5,625 5.125%, 2/01/34 - MBIA Insured 2/12 at 100.00 AAA 5,690,531 995 Massachusetts Educational Finance Authority, Student Loan Revenue 12/09 at 101.00 N/R 1,027,238 Refunding Bonds, Series 2000G, 5.700%, 12/01/11 - MBIA Insured (Alternative Minimum Tax) 8,730 Massachusetts Health and Educational Facilities Authority, Revenue 10/15 at 100.00 AAA 9,162,484 Bonds, Berkshire Health System, Series 2005F, 5.000%, 10/01/19 - AGC Insured 1,530 Massachusetts Health and Educational Facilities Authority, Revenue 7/08 at 101.00 Aaa 1,475,762 Bonds, Southcoast Health System Obligated Group, Series 1998A, 4.750%, 7/01/27 - MBIA Insured 5,745 Massachusetts Industrial Finance Agency, Resource Recovery Revenue 12/08 at 102.00 BBB 5,753,273 Refunding Bonds, Ogden Haverhill Project, Series 1998A, 5.600%, 12/01/19 (Alternative Minimum Tax) 10,150 Massachusetts Turnpike Authority, Metropolitan Highway System 7/08 at 101.00 AAA 10,156,598 Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - MBIA Insured 890 Massachusetts, General Obligation Bonds, Consolidated Loan, Series 11/12 at 100.00 AA(4) 965,748 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 AA(4) 1,359,190 3,745 5.250%, 1/01/22 (Pre-refunded 1/01/13) - FGIC Insured 1/13 at 100.00 AA(4) 4,055,910
- ----- 22 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts (continued) $ 8,500 Route 3 North Transportation Improvements Association, 6/10 at 100.00 AAA $ 9,020,625 Massachusetts, Lease Revenue Bonds, Series 2000, 5.375%, 6/15/33 (Pre-refunded 6/15/10) - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 51,165 Total Massachusetts 52,731,799 - ------------------------------------------------------------------------------------------------------------------------------------ Michigan - 4.8% (3.1% of Total Investments) 6,155 Birmingham City School District, Oakland County, Michigan, School 5/08 at 100.00 AAA 6,165,894 Building and Site Bonds, Series 1998, 4.750%, 11/01/24 - FSA Insured 5,000 Detroit, Michigan, Second Lien Sewerage Disposal System Revenue 7/15 at 100.00 AAA 5,017,600 Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA Insured 3,930 Hancock Hospital Finance Authority, Michigan, FHA-Insured Mortgage 8/08 at 100.00 AAA 3,962,698 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 Bonds, Facilities 10/11 at 100.00 A+ 1,530,150 Program, Series 2001I, 5.000%, 10/15/24 5,000 Michigan State Building Authority, Revenue Refunding Bonds, 10/13 at 100.00 AAA 5,052,200 Facilities Program, Series 2003II, 5.000%, 10/15/29 - MBIA Insured 7,115 Michigan State Hospital Finance Authority, Hospital Revenue 3/13 at 100.00 A1(4) 7,847,560 Refunding Bonds, Henry Ford Health System, Series 2003A, 5.500%, 3/01/16 (Pre-refunded 3/01/13) 3,000 Michigan Strategic Fund, Collateralized Limited Obligation 9/09 at 102.00 AAA 3,015,150 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, Detroit Metropolitan 12/08 at 101.00 AAA 10,130,200 Wayne County Airport, Series 1998A, 5.375%, 12/01/16 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 41,700 Total Michigan 42,721,452 - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota - 3.0% (1.9% of Total Investments) 3,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 A(4) 3,202,440 Subordinate Airport Revenue Bonds, Series 2001C, 5.250%, 1/01/26 (Pre-refunded 1/01/11) - FGIC Insured 19,515 St. Paul Housing and Redevelopment Authority, Minnesota, Sales Tax 11/15 at 103.00 AAA 23,421,314 Revenue Refunding Bonds, Civic Center Project, Series 1996, 7.100%, 11/01/23 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 22,515 Total Minnesota 26,623,754 - ------------------------------------------------------------------------------------------------------------------------------------ Mississippi - 1.4% (0.9% of Total Investments) 9,750 Mississippi Business Finance Corporation, Pollution Control Revenue 10/08 at 100.00 BBB 9,711,878 Refunding Bonds, System Energy Resources Inc. Project, Series 1998, 5.875%, 4/01/22 2,475 Mississippi Hospital Equipment and Facilities Authority, Revenue 9/14 at 100.00 AA 2,488,167 Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%, 9/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ 12,225 Total Mississippi 12,200,045 - ------------------------------------------------------------------------------------------------------------------------------------ Missouri - 1.7% (1.1% of Total Investments) 6,350 Kansas City, Missouri, Airport Revenue Bonds, General Improvement 9/12 at 100.00 A+ 6,580,124 Projects, Series 2003B, 5.250%, 9/01/17 - FGIC Insured 1,845 Missouri Health and Educational Facilities Authority, Revenue 5/13 at 100.00 AA 1,917,472 Bonds, BJC Health System, Series 2003, 5.250%, 5/15/18 3,815 Missouri Health and Educational Facilities Authority, Revenue 6/11 at 101.00 AAA 4,131,721 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 Development 10/13 at 100.00 AAA 2,036,000 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 14,665,317 - ------------------------------------------------------------------------------------------------------------------------------------
----- 23 ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Montana - 0.6% (0.4% of Total Investments) $ 595 Montana Board of Housing, Single Family Mortgage Bonds, Series 12/09 at 100.00 AA+ $ 612,422 2000A-2, 6.450%, 6/01/29 (Alternative Minimum Tax) 4,795 Montana Higher Education Student Assistance Corporation, Student 12/08 at 101.00 A2 4,744,748 Loan Revenue Bonds, Subordinate Series 1998B, 5.500%, 12/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 5,390 Total Montana 5,357,170 - ------------------------------------------------------------------------------------------------------------------------------------ Nebraska - 0.2% (0.1% of Total Investments) 1,370 Nebraska Investment Finance Authority, Single Family Housing 9/10 at 100.00 AAA 1,386,303 Revenue Bonds, Series 2000E, 5.850%, 9/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Nevada - 3.7% (2.3% of Total Investments) 10,900 Clark County School District, Nevada, General Obligation Bonds, 6/12 at 100.00 AAA 11,983,242 Series 2002C, 5.500%, 6/15/19 (Pre-refunded 6/15/12) - MBIA Insured 6,980 Director of Nevada State Department of Business and Industry, 1/10 at 100.00 AAA 5,577,020 Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured Reno, Nevada, Health Facilities Revenue Bonds, Catholic Healthcare West, Series 2007A, 10,000 5.250%, 07/01/31 (UB) 7/17 at 100.00 A 9,737,800 5,000 5.250%, 7/01/31 7/17 at 100.00 A 4,868,900 - ------------------------------------------------------------------------------------------------------------------------------------ 32,880 Total Nevada 32,166,962 - ------------------------------------------------------------------------------------------------------------------------------------ New Hampshire - 1.6% (1.0% of Total Investments) 3,265 New Hampshire Health and Education Facilities Authority, Revenue 1/15 at 100.00 BBB- 2,788,963 Bonds, Southern New Hampshire University, Series 2005, 5.000%, 1/01/30 - ACA Insured 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 3,834,627 6,945 6.100%, 7/01/24 (Alternative Minimum Tax) 7/10 at 101.00 Aaa 7,091,956 - ------------------------------------------------------------------------------------------------------------------------------------ 13,935 Total New Hampshire 13,715,546 - ------------------------------------------------------------------------------------------------------------------------------------ New Jersey - 8.1% (5.2% of Total Investments) 3,000 New Jersey Economic Development Authority, Transportation Sublease 5/09 at 100.00 AAA 3,093,120 Revenue Bonds, Light Rail Transit System, Series 1999A, 5.250%, 5/01/17 (Pre-refunded 5/01/09) - FSA Insured 2,110 New Jersey Higher Education Assistance Authority, Student Loan 6/10 at 101.00 AAA 2,199,506 Revenue Bonds, Series 2000A, 6.000%, 6/01/13 - MBIA Insured (Alternative Minimum Tax) 4,500 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 5,147,325 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 10,325,775 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 11,679,850 10,000 0.000%, 12/15/30 - FGIC Insured No Opt. Call AA- 3,076,900 10,000 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 5.000%, 7/13 at 100.00 AAA 10,489,000 1/01/20 - FSA Insured 11,960 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 12,975,882 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 5,181,402 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 Baa1(4) 3,367,319 3,335 5.500%, 9/01/22 (Pre-refunded 9/01/10) - FGIC Insured 9/10 at 100.00 Baa1(4) 3,565,082 - ------------------------------------------------------------------------------------------------------------------------------------ 96,755 Total New Jersey 71,101,161 - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 24 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ New York - 10.1% (6.5% of Total Investments) $ 5,500 Dormitory Authority of the State of New York, FHA-Insured Mortgage 2/14 at 100.00 AAA $ 5,655,155 Revenue Bonds, Kaleida Health, Series 2004, 5.050%, 2/15/25 2,070 Dormitory Authority of the State of New York, Insured Revenue 7/08 at 101.00 AAA 2,097,842 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, Lease Revenue Bonds, 7/09 at 101.00 AAA 2,359,125 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 1,656,662 9,235 6.125%, 7/01/21 - RAAI Insured 7/09 at 101.00 AA 9,528,488 1,500 Dormitory Authority of the State of New York, Revenue Bonds, St. 8/08 at 100.00 AAA 1,505,955 Barnabas Hospital, Series 1997, 5.450%, 8/01/35 - AMBAC Insured 17,000 Dormitory Authority of the State of New York, Third General 7/09 at 101.00 AAA 17,824,500 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, Resource No Opt. Call Baa3 1,498,320 Recovery Revenue Refunding Bonds, American Ref-Fuel Company of Hempstead LP, Series 2001, 5.000%, 12/01/10 (Mandatory put 6/01/10) 13,220 Metropolitan Transportation Authority, New York, Dedicated Tax Fund 11/12 at 100.00 AAA 14,075,334 Bonds, Series 2002A, 5.500%, 11/15/26 - FSA Insured 4,545 Metropolitan Transportation Authority, New York, Transportation 11/16 at 100.00 AAA 4,286,571 Revenue Bonds, Series 2006B, Drivers 1662, 8.132%, 11/15/32 - FSA Insured (IF) 10,000 New York City Municipal Water Finance Authority, New York, Water 6/09 at 101.00 AA+(4) 10,498,800 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, New York, Future Tax 8/09 at 101.00 AAA 8,239,472 Secured Bonds, Fiscal Series 2000A, 5.750%, 8/15/24 (Pre-refunded 8/15/09) 5 New York City, New York, General Obligation Bonds, Fiscal Series No Opt. Call AA 5,079 1987D, 8.500%, 8/01/08 6,300 New York City, New York, General Obligation Bonds, Fiscal Series 5/10 at 101.00 AAA 6,780,501 2000A, 6.250%, 5/15/26 - FSA Insured 3,000 New York State Energy Research and Development Authority, Pollution 9/08 at 102.00 AAA 3,034,050 Control Revenue Bonds, Rochester Gas and Electric Corporation, Series 1998A, 5.950%, 9/01/33 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 85,515 Total New York 89,045,854 - ------------------------------------------------------------------------------------------------------------------------------------ North Carolina - 0.8% (0.5% of Total Investments) 4,900 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/15 at 100.00 AA-(4) 5,321,792 Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 5.000%, 1/15/45 (Pre-refunded 1/15/15) 2,000 North Carolina Municipal Power Agency 1, Catawba Electric Revenue 7/08 at 102.00 AAA 2,038,860 Bonds, Series 1998A, 5.000%, 1/01/20 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 6,900 Total North Carolina 7,360,652 - ------------------------------------------------------------------------------------------------------------------------------------ Ohio - 5.5% (3.5% of Total Investments) Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: 355 5.125%, 6/01/24 6/17 at 100.00 BBB 334,385 3,570 5.875%, 6/01/30 6/17 at 100.00 BBB 3,321,885 3,475 5.750%, 6/01/34 6/17 at 100.00 BBB 3,141,365 9,355 5.875%, 6/01/47 6/17 at 100.00 BBB 8,278,427 5,150 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco 6/22 at 100.00 BBB 3,400,288 Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-3, 0.000%, 6/01/37 6,720 Cleveland, Ohio, Airport System Revenue Bonds, Series 2001A, 1/10 at 101.00 AAA 6,756,221 5.000%, 1/01/31 - FSA Insured
----- 25 ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Ohio (continued) $ 780 Cleveland, Ohio, Airport System Revenue Bonds, Series 2001A, 1/10 at 101.00 AAA $ 819,078 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 3,650,000 Initiatives, Series 2004A, 5.000%, 5/01/30 95 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 7/09 at 100.00 Aaa 96,058 Program Residential Mortgage Revenue Bonds, Series 1999C, 5.750%, 9/01/30 (Alternative Minimum Tax) 6,100 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/08 at 102.00 N/R 5,811,531 Bonds, Bay Shore Power, Series 1998A, 5.875%, 9/01/20 (Alternative Minimum Tax) 12,900 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/09 at 102.00 N/R 12,950,955 Bonds, Bay Shore Power, Series 1998B, 6.625%, 9/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 52,150 Total Ohio 48,560,193 - ------------------------------------------------------------------------------------------------------------------------------------ Oklahoma - 0.4% (0.2% of Total Investments) 3,400 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding Bonds, 12/08 at 100.00 B 3,384,428 American Airlines Inc., Series 2000B, 6.000%, 6/01/35 (Mandatory put 12/01/08) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Oregon - 1.1% (0.7% of Total Investments) 9,150 Port of St. Helens, Oregon, Pollution Control Revenue Bonds, No Opt. Call BBB 9,283,316 Portland General Electric Company, Series 1985B, 4.800%, 6/01/10 - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania - 3.2% (2.1% 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 1,587,938 3,125 0.000%, 5/15/23 - FSA Insured No Opt. Call AAA 1,497,719 3,135 0.000%, 5/15/24 - FSA Insured No Opt. Call AAA 1,419,653 3,155 0.000%, 5/15/26 - FSA Insured No Opt. Call AAA 1,273,989 4,145 0.000%, 11/15/26 - FSA Insured No Opt. Call AAA 1,632,218 2,800 0.000%, 5/15/28 - FSA Insured No Opt. Call AAA 1,004,696 3,000 0.000%, 11/15/28 - FSA Insured No Opt. Call AAA 1,049,280 2,050 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 2,080,955 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, Catholic 11/08 at 102.00 AAA 11,157,410 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: 700 6.400%, 1/01/09 (Alternative Minimum Tax) 7/08 at 100.00 B+ 696,808 4,500 6.500%, 1/01/13 (Alternative Minimum Tax) 7/08 at 100.00 B+ 4,513,185 400 Pennsylvania Economic Development Financing Authority, Subordinate 7/08 at 100.00 N/R 393,620 Resource Recovery Revenue Bonds, Northampton Generating Project, Series 1994C, 6.875%, 1/01/11 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 41,135 Total Pennsylvania 28,307,471 - ------------------------------------------------------------------------------------------------------------------------------------ Puerto Rico - 2.2% (1.4% of Total Investments) 1,250 Puerto Rico Highway and Transportation Authority, Highway Revenue 7/10 at 101.00 AAA 1,354,088 Bonds, Series 2000B, 5.875%, 7/01/21 (Pre-refunded 7/01/10) - MBIA Insured 25,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue No Opt. Call AAA 2,757,500 Bonds, Series 2007A, 0.000%, 8/01/47 - AMBAC Insured 15,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue 8/17 at 100.00 A1 15,031,350 Bonds, 5.250%, 8/01/57 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 41,250 Total Puerto Rico 19,142,938 - ------------------------------------------------------------------------------------------------------------------------------------ Rhode Island - 0.7% (0.4% of Total Investments) 2,000 Kent County Water Authority, Rhode Island, General Revenue Bonds, 7/12 at 100.00 AAA 2,048,600 Series 2002A, 5.000%, 7/15/23 - MBIA Insured
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Rhode Island (continued) 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 $ 1,297,724 1,080 5.250%, 3/15/18 - RAAI Insured 3/12 at 101.00 AA 1,107,896 1,335 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 1,317,378 Settlement Asset-Backed Bonds, Series 2002A, 6.125%, 6/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ 5,675 Total Rhode Island 5,771,598 - ------------------------------------------------------------------------------------------------------------------------------------ South Carolina - 4.2% (2.7% of Total Investments) 2,625 Medical University Hospital Authority, South Carolina, FHA-Insured 8/14 at 100.00 AAA 2,709,866 Mortgage Revenue Bonds, Series 2004A, 5.250%, 2/15/25 - MBIA Insured 22,855 Piedmont Municipal Power Agency, South Carolina, Electric Revenue No Opt. Call AAA 6,350,033 Bonds, Series 2004A-2, 0.000%, 1/01/31 - AMBAC Insured 6,925 South Carolina, General Obligation Bonds, Series 1999A, 4.000%, 10/09 at 101.00 Aaa 7,059,345 10/01/14 21,050 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 21,206,611 Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.000%, 5/15/22 - ------------------------------------------------------------------------------------------------------------------------------------ 53,455 Total South Carolina 37,325,855 - ------------------------------------------------------------------------------------------------------------------------------------ Tennessee - 1.3% (0.8% of Total Investments) 2,860 Johnson City Health and Educational Facilities Board, Tennessee, 7/23 at 100.00 AAA 2,914,083 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 Revenue 3/10 at 101.00 AAA 1,731,705 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 6,983,700 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 11,629,488 - ------------------------------------------------------------------------------------------------------------------------------------ Texas - 7.6% (4.9% of Total Investments) 3,975 Bell County Health Facilities Development Corporation, Texas, 2/10 at 101.00 AAA 4,266,686 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 Revenue 5/16 at 100.00 AAA 5,052,550 Bonds, Series 2006, 5.000%, 5/01/35 - MBIA Insured 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 BBB- 3,618,200 13,000 5.000%, 1/01/45 - FGIC Insured 1/15 at 100.00 BBB- 11,488,490 1,625 Harris County Health Facilities Development Corporation, Texas, 7/09 at 101.00 AAA 1,692,990 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 Obligation 2/13 at 100.00 AAA 4,081,640 Bonds, Series 2003, 5.000%, 2/15/27 - AMBAC Insured 3,885 Houston Independent School District, Public Facility Corporation, No Opt. Call AAA 2,272,570 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 5,677,822 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 8/08 at 51.84 AAA 2,519,279 3,705 0.000%, 8/15/22 8/08 at 46.15 AAA 1,684,886
----- 27 ----- NPP | Nuveen Performance Plus Municipal Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ----------------------------------------------------------------------------------------------------------------------------------- Texas (continued) $ 225 Lubbock Housing Finance Corporation, Texas, GNMA Mortgage-Backed 5/08 at 102.00 AAA $ 227,961 Securities Program Single Family Mortgage Revenue Refunding Bonds, Series 1997A, 6.125%, 12/01/17 3,480 Pearland, Texas, General Obligation Bonds, Series 2002, 5.000%, 3/12 at 100.00 Aaa 3,741,000 3/01/27 (Pre-refunded 3/01/12) - FGIC Insured 6,835 San Antonio, Texas, Electric and Gas System Revenue Refunding 2/09 at 100.00 Aa1 6,846,551 Bonds, New Series 1998A, 4.500%, 2/01/21 6,000 Spring Branch Independent School District, Harris County, Texas, 2/11 at 100.00 AAA 6,394,440 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 Refunding and 3/13 at 100.00 AAA 4,172,320 Improvement Bonds, Series 1999, 5.000%, 3/01/22 - FSA Insured 1,740 Texas, General Obligation Bonds, Water Financial Assistance, State 8/09 at 100.00 AAA 1,775,322 Participation Program, Series 1999C, 5.500%, 8/01/29 - MBIA Insured 1,690 Webb County, Laredo, Texas, Combination Tax and Sewer System, 8/08 at 100.00 AAA 1,690,541 Revenue Certificates of Obligation, Series 1998A, 4.500%, 2/15/18 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 101,945 Total Texas 67,203,248 - ------------------------------------------------------------------------------------------------------------------------------------ Utah - 3.1% (2.0% of Total Investments) Utah County, Utah, Hospital Revenue Bonds, IHC Health Services Inc., Series 1997: 12,885 5.250%, 8/15/21 - MBIA Insured (ETM) 6/08 at 101.00 AAA 12,984,343 3,900 5.250%, 8/15/26 - MBIA Insured (ETM) 6/08 at 101.00 AAA 3,930,069 2,510 Utah Housing Corporation, Single Family Mortgage Bonds, Series 1/12 at 100.00 AA- 2,608,292 2002A-1, 5.300%, 7/01/18 (Alternative Minimum Tax) 10 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 1/10 at 100.00 AA 10,290 2000B, 6.250%, 7/01/22 (Alternative Minimum Tax) 1,070 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/10 at 100.00 AA- 1,084,295 2000D-1, 6.050%, 7/01/14 (Alternative Minimum Tax) 590 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/10 at 100.00 AA 606,609 2000E-1, Class II, 6.150%, 1/01/27 (Alternative Minimum Tax) 1,340 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/10 at 100.00 AA- 1,357,165 2000E-1, Class III, 6.000%, 1/01/15 (Alternative Minimum Tax) 835 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/11 at 100.00 AA 835,409 2001A-2, 5.650%, 7/01/27 (Alternative Minimum Tax) 650 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 1/11 at 100.00 Aaa 665,841 2001B-1, 5.750%, 7/01/19 (Alternative Minimum Tax) 3,000 Utah Water Finance Agency, Revenue Bonds, Pooled Loan Financing 10/12 at 100.00 Aaa 3,287,130 Program, Series 2002C, 5.250%, 10/01/28 (Pre-refunded 10/01/12) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 26,790 Total Utah 27,369,443 - ------------------------------------------------------------------------------------------------------------------------------------ Virgin Islands - 0.8% (0.5% of Total Investments) 4,700 Virgin Islands Public Finance Authority, Gross Receipts Taxes Loan 10/14 at 100.00 AA 4,422,935 Note, Series 2003, 5.000%, 10/01/33 - RAAI Insured 2,500 Virgin Islands Public Finance Authority, Revenue Bonds, Refinery 1/14 at 100.00 BBB 2,502,700 Project - Hovensa LLC, Series 2003, 6.125%, 7/01/22 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 7,200 Total Virgin Islands 6,925,635 - ------------------------------------------------------------------------------------------------------------------------------------ Washington - 5.1% (3.3% of Total Investments) 12,235 Chelan County Public Utility District 1, Washington, Columbia No Opt. Call AAA 4,700,442 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, Electric 9/14 at 100.00 A- 3,104,805 Production Revenue Bonds, Series 2004, 5.000%, 9/01/28 - FGIC Insured
- ----- 28 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Washington (continued) $ 5,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/13 at 100.00 Aaa $ 5,419,650 Nuclear Project 1, Series 2003A, 5.500%, 7/01/16 10,000 Washington State Healthcare Facilities Authority, Revenue Bonds, 10/16 at 100.00 AA 9,495,200 Providence Health Care Services, Series 2006A, 4.625%, 10/01/34 - FGIC Insured 4,685 Washington State Healthcare Facilities Authority, Revenue Bonds, 12/09 at 101.00 AAA 4,953,076 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 Housing 7/09 at 101.00 AA 5,072,800 Revenue Bonds, Kline Galland Center, Series 1999, 6.000%, 7/01/29 - RAAI Insured 12,000 Washington, Motor Vehicle Fuel Tax General Obligation Bonds, Series 1/11 at 100.00 AA+ 12,247,440 2001D, 5.250%, 1/01/26 - ------------------------------------------------------------------------------------------------------------------------------------ 52,020 Total Washington 44,993,413 - ------------------------------------------------------------------------------------------------------------------------------------ West Virginia - 0.6% (0.4% of Total Investments) 5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 4,895,100 Appalachian Power Company, Series 2003L, 5.500%, 10/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin - 2.5% (1.6% of Total Investments) 11,620 Wisconsin Health and Educational Facilities Authority, Revenue 2/10 at 101.00 AA 12,079,920 Bonds, Marshfield Clinic, Series 1999, 6.250%, 2/15/29 - RAAI Insured 7,490 Wisconsin Health and Educational Facilities Authority, Revenue 7/08 at 103.00 N/R 7,466,257 Bonds, Millennium Housing Foundation Inc., Series 1998, 6.100%, 1/01/28 3,270 Wisconsin Housing and Economic Development Authority, Home 9/14 at 100.00 AA 2,171,476 Ownership Revenue Bonds, Residual Trust 1517, 9.214%, 3/01/36 (IF) - ------------------------------------------------------------------------------------------------------------------------------------ 22,380 Total Wisconsin 21,717,653 - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,622,495 Total Investments (cost $1,329,591,698) - 155.9% 1,373,594,153 ============------------------------------------------------------------------------------------------------------------------------ Floating Rate Obligations - (3.5)% (30,750,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.0% 17,285,400 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (54.4)% (5) (479,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 881,129,553 =====================================================================================================================
(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 Group ("Standard & Poor's") or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by Standard & Poor's or Baa by Moody's are considered to be below investment grade. The Portfolio of Investments may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (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) Preferred Shares, at Liquidation Value as a percentage of total investments is (34.9)%. N/R Not rated. WI/DD Purchased on a when-issued or delayed delivery basis. (ETM) Escrowed to maturity. (IF) Inverse floating rate investment. (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. ----- 29 ----- NMA | Nuveen Municipal Advantage Fund, Inc. | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Alabama - 3.3% (2.0% of Total Investments) $ 10,000 Jefferson County, Alabama, Sewer Revenue Capital Improvement 2/09 at 101.00 AAA $ 10,338,000 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 5,204,920 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 5,105,512 Improvement Revenue Bonds, MeadWestvaco Corporation, Series 2002A, 6.350%, 5/15/35 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 20,230 Total Alabama 20,648,432 - ------------------------------------------------------------------------------------------------------------------------------------ Alaska - 0.8% (0.5% 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 AA 1,151,978 1,280 5.250%, 12/01/41 - FGIC Insured 12/14 at 100.00 AA 1,317,235 3,050 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 2,383,118 Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 5,455 Total Alaska 4,852,331 - ------------------------------------------------------------------------------------------------------------------------------------ Arizona - 1.5% (0.9% of Total Investments) 4,905 Maricopa County Industrial Development Authority, Arizona, Health 7/17 at 100.00 A 4,818,966 Facility Revenue Bonds, Catholic Healthcare West, Series 2007A, 5.250%, 7/01/32 5,000 Maricopa County Pollution Control Corporation, Arizona, Remarketed 5/08 at 100.00 Baa3 4,802,950 Revenue Refunding Bonds, Public Service Company of New Mexico, Series 1992A, 5.750%, 11/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ 9,905 Total Arizona 9,621,916 - ------------------------------------------------------------------------------------------------------------------------------------ California - 14.8% (9.0% of Total Investments) 2,500 Alameda Corridor Transportation Authority, California, Subordinate 10/17 at 100.00 AAA 2,067,900 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 BBB+ 1,001,912 6,410 0.000%, 8/01/34 - FGIC Insured No Opt. Call BBB+ 1,399,944 3,000 California Health Facilities Financing Authority, Health Facility 3/13 at 100.00 A 2,828,910 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 7,556,175 Department of Mental Health, Coalinga State Hospital, Series 2004A, 5.125%, 6/01/29 16,000 California, General Obligation Bonds, 5.000%, 6/01/37 (UB) 6/17 at 100.00 A1 15,998,080 9,955 Capistrano Unified School District, Orange County, California, No Opt. Call Baa3 2,675,804 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 A 927,352 3,795 0.000%, 2/01/37 - FGIC Insured No Opt. Call A 739,418 7,535 Contra Costa County, California, GNMA Mortgage-Backed Securities No Opt. Call AAA 9,417,318 Program Home Mortgage Revenue Bonds, Series 1989, 7.750%, 5/01/22 (Alternative Minimum Tax) (ETM)
- ----- 30 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ California (continued) $ 8,145 Cupertino Union School District, Santa Clara County, California, 8/13 at 55.54 AA $ 3,151,545 General Obligation Bonds, Series 2003B, 0.000%, 8/01/25 - FGIC Insured 2,510 Folsom Cordova Unified School District, Sacramento County, No Opt. Call AAA 860,830 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 1,241,923 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 A- 599,377 Bonds, Series 2004B, 0.000%, 8/01/32 - FGIC Insured 1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 809,310 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 1,173,840 Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 0.000%, 6/01/26 - FSA Insured 1,275 Madera Unified School District, Madera County, California, General 8/12 at 100.00 AAA 1,347,407 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 AA 3,163,460 4,000 0.000%, 8/01/26 - FGIC Insured No Opt. Call AA 1,545,040 5,000 Palmdale Community Redevelopment Agency, California, Residential No Opt. Call AAA 5,635,700 Mortgage Revenue Refunding Bonds, Series 1991B, 7.375%, 2/01/12 (ETM) 5,000 Palmdale Community Redevelopment Agency, California, Single Family No Opt. Call AAA 6,510,850 Restructured Mortgage Revenue Bonds, Series 1986A, 8.000%, 3/01/16 (Alternative Minimum Tax) (ETM) 9,315 Perris, California, GNMA Mortgage-Backed Securities Program Single No Opt. Call AAA 11,295,555 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 3,687,677 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 4,621,160 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 County, 9/15 at 100.00 AAA 2,340,518 California, General Obligation Bonds, Series 2005A, 0.000%, 9/01/29 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 155,130 Total California 92,597,005 - ------------------------------------------------------------------------------------------------------------------------------------ Colorado - 8.8% (5.4% of Total Investments) 1,600 Arkansas River Power Authority, Colorado, Power Revenue Bonds, 10/16 at 100.00 A- 1,553,376 Series 2006, 5.250%, 10/01/40 - XLCA Insured 9,440 Colorado Health Facilities Authority, Colorado, Revenue Bonds, 9/16 at 100.00 AA 8,678,853 Catholic Health Initiatives, Series 2006A, 4.500%, 9/01/38 8,350 Colorado Health Facilities Authority, Remarketed Revenue Bonds, 6/08 at 101.50 AAA 8,493,704 Kaiser Permanente System, Series 1994A, 5.350%, 11/01/16 (ETM) 1,150 Colorado Health Facilities Authority, Revenue Bonds, Poudre Valley 9/18 at 102.00 AAA 1,168,205 Health System, Series 2005C, 5.250%, 3/01/40 - FSA Insured 2,000 Denver Convention Center Hotel Authority, Colorado, Senior Revenue 11/16 at 100.00 A- 1,732,320 Bonds, Convention Center Hotel, Series 2006, 4.750%, 12/01/35 - XLCA Insured 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 A1 5,390,806 3,300 5.000%, 11/15/24 - FGIC Insured (UB) 11/16 at 100.00 A1 3,300,792 4,335 5.000%, 11/15/25 - FGIC Insured (UB) 11/16 at 100.00 A1 4,314,929 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 1997B: 2,650 0.000%, 9/01/16 - MBIA Insured No Opt. Call AAA 1,796,621 8,645 0.000%, 9/01/26 - MBIA Insured No Opt. Call AAA 3,051,858
----- 31 ----- NMA | Nuveen Municipal Advantage Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Colorado (continued) $ 1,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 102.00 AAA $ 1,089,450 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 2,173,500 10,000 0.000%, 9/01/31 - MBIA Insured No Opt. Call AAA 2,528,300 10,000 0.000%, 9/01/32 - MBIA Insured No Opt. Call AAA 2,389,300 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) 1,126,583 4,890 5.375%, 6/01/18 (Pre-refunded 6/01/12) 6/12 at 100.00 Aa2(4) 5,348,535 Platte River Power Authority, Colorado, Power Revenue Refunding Bonds, Series 2002EE: 970 5.375%, 6/01/17 6/12 at 100.00 AA 1,045,476 110 5.375%, 6/01/18 6/12 at 100.00 AA 116,988 - ------------------------------------------------------------------------------------------------------------------------------------ 82,335 Total Colorado 55,299,596 - ------------------------------------------------------------------------------------------------------------------------------------ District of Columbia - 0.2% (0.1% of Total Investments) 1,450 District of Columbia Housing Finance Agency, GNMA/FNMA Single 6/08 at 101.00 AAA 1,484,380 Family Mortgage Revenue Bonds, Series 1997B, 5.900%, 12/01/28 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Florida - 2.8% (1.7% of Total Investments) 2,770 Florida Housing Finance Corporation, Housing Revenue Bonds, 12/10 at 100.00 AAA 2,792,243 Stratford Point Apartments, Series 2000O-1, 5.850%, 12/01/31 - FSA Insured (Alternative Minimum Tax) 4,910 South Miami Health Facilities Authority, FLorida, Revenue Bonds, 8/17 at 100.00 AA- 4,555,154 Baptist Health Systems of South Florida, Trust 1025, 9.397%, 8/15/42 (IF) 10,130 Tampa, Florida, Healthcare System Revenue Bonds, Allegany Health 6/08 at 100.00 AAA 10,268,173 System - St. Mary's Hospital, Series 1993, 5.125%, 12/01/23 - MBIA Insured (ETM) - ------------------------------------------------------------------------------------------------------------------------------------ 17,810 Total Florida 17,615,570 - ------------------------------------------------------------------------------------------------------------------------------------ Georgia - 1.0% (0.6% of Total Investments) 4,000 Augusta, Georgia, Water and Sewerage Revenue Bonds, Series 2004, 10/14 at 100.00 AAA 4,128,160 5.250%, 10/01/39 - FSA Insured 2,900 Coffee County Hospital Authority, Georgia, Revenue Bonds, Coffee 12/14 at 100.00 BBB 2,408,450 County Regional Medical Center, Series 2004, 5.000%, 12/01/26 - ------------------------------------------------------------------------------------------------------------------------------------ 6,900 Total Georgia 6,536,610 - ------------------------------------------------------------------------------------------------------------------------------------ Hawaii - 0.5% (0.3% of Total Investments) 2,215 Hawaii Housing and Community Development Corporation, GNMA 7/10 at 102.00 AAA 2,262,689 Collateralized Multifamily Housing Revenue Bonds, Sunset Villas, Series 2000, 5.700%, 7/20/31 525 Hawaii Housing Finance and Development Corporation, Single Family 7/08 at 101.00 AAA 536,855 Mortgage Purchase Revenue Bonds, Series 1997A, 5.750%, 7/01/30 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 2,740 Total Hawaii 2,799,544 - ------------------------------------------------------------------------------------------------------------------------------------ Illinois - 14.1% (8.6% of Total Investments) 4,345 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- 1,459,572 Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1, 0.000%, 12/01/28 - FGIC Insured 3,420 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- 962,149 Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 0.000%, 12/01/31 - FGIC Insured 5,865 Chicago, Illinois, General Obligation Bonds, Neighborhoods Alive 21 7/10 at 101.00 AAA 6,425,166 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 4,950,050 Bonds, O'Hare International Airport, Series 2001A, 5.375%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 2,000 Illinois Finance Authority, Revenue Bonds, Children's Memorial 8/18 at 100.00 AAA 1,957,500 Hospital, Series 2008A, 5.250%, 8/15/47 (WI/DD, Settling 5/15/08) - AGC Insured
- ----- 32 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois (continued) $ 5,645 Illinois Finance Authority, Revenue Bonds, University of Chicago, 7/17 at 100.00 AA $ 5,556,938 Series 2007, Trust 73TP, 9.858%, 7/01/46 (IF) 6,000 Illinois Health Facilities Authority, Revenue Bonds, Condell Medical 5/12 at 100.00 Baa3 6,088,200 Center, Series 2002, 5.750%, 5/15/22 6,165 Illinois Health Facilities Authority, Revenue Bonds, Sarah Bush 8/08 at 101.00 A 6,205,874 Lincoln Health Center, Series 1996B, 5.750%, 2/15/22 10,740 Lake and McHenry Counties Community Unit School District 118, 1/15 at 66.94 Aaa 5,036,093 Wauconda, Illinois, General Obligation Bonds, Series 2005B, 0.000%, 1/01/23 - FSA Insured 1,090 Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, No Opt. Call A1 575,204 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 13,948,933 10,430 5.250%, 12/15/28 - FGIC Insured 12/09 at 101.00 AAA 10,642,772 3,175 Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, No Opt. Call AAA 540,004 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 2,680,440 Refunding Bonds, McCormick Place Expansion Project, Series 1996A, 0.000%, 6/15/24 - MBIA Insured 4,600 Regional Transportation Authority, Cook, DuPage, Kane, Lake, McHenry No Opt. Call AAA 5,537,664 and Will Counties, Illinois, General Obligation Bonds, Series 1990A, 7.200%, 11/01/20 - AMBAC Insured 1,940 University of Illinois, Auxiliary Facilities Systems Revenue Bonds, 4/13 at 100.00 AAA 1,997,831 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 3,127,650 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 10,666,175 Illinois, General Obligation Bonds, Series 2006, 0.000%, 1/01/24 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 120,495 Total Illinois 88,358,215 - ------------------------------------------------------------------------------------------------------------------------------------ Indiana - 2.6% (1.6% of Total Investments) 5,205 Indiana Health Facility Financing Authority, Hospital Revenue Bonds, 8/10 at 101.50 AAA 5,623,118 Clarian Health Obligated Group, Series 2000A, 5.500%, 2/15/30 (Pre-refunded 8/15/10) - MBIA Insured 2,435 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB- 2,139,367 Community Foundation of Northwest Indiana, Series 2007, 5.500%, 3/01/37 6,075 LaGrange County Jail Building Corporation, Indiana, First Mortgage 10/09 at 101.00 A3(4) 6,400,924 Jail Bonds, Series 1998, 5.400%, 10/01/21 (Pre-refunded 10/01/09) 1,915 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/09 at 102.00 BBB 1,961,477 Madison Center Inc., Series 1999, 5.450%, 2/15/12 - ------------------------------------------------------------------------------------------------------------------------------------ 15,630 Total Indiana 16,124,886 - ------------------------------------------------------------------------------------------------------------------------------------ Iowa - 0.5% (0.3% of Total Investments) 4,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue 6/15 at 100.00 BBB 3,403,841 Bonds, Series 2005C, 5.375%, 6/01/38 - ------------------------------------------------------------------------------------------------------------------------------------ Kansas - 0.3% (0.2% of Total Investments) 1,750 Wamego, Kansas, Pollution Control Revenue Bonds, Kansas Gas and 6/14 at 100.00 AAA 1,776,443 Electric Company, Series 2004, 5.300%, 6/01/31 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ Kentucky - 0.9% (0.5% of Total Investments) 5,500 Louisville and Jefferson County Metropolitan Sewer District, 5/08 at 100.50 AAA 5,533,440 Kentucky, Sewer and Drainage System Revenue Bonds, Series 1997A, 5.250%, 5/15/27 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------
----- 33 ----- NMA | Nuveen Municipal Advantage Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana - 13.5% (8.2% of Total Investments) $ 13,500 DeSoto Parish, Louisiana, Pollution Control Revenue Refunding 9/09 at 102.00 AAA $ 14,083,198 Bonds, Cleco Utility Group Inc. Project, Series 1999, 5.875%, 9/01/29 - AMBAC Insured 6,460 Louisiana Public Facilities Authority, Extended Care Facilities No Opt. Call BBB 7,523,251 Revenue Bonds, Comm-Care Corporation Project, Series 1994, 11.000%, 2/01/14 720 Louisiana Public Facilities Authority, Extended Care Facilities No Opt. Call N/R(4) 891,446 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 6,750,947 General Hospital, Series 2004, 5.250%, 7/01/33 - MBIA Insured 9,000 Louisiana Public Facilities Authority, Revenue Bonds, Ochsner 5/17 at 100.00 A3 8,647,200 Clinic Foundation Project, Series 2007A, 5.500%, 5/15/47 28 Louisiana State, Gasoline Tax Revenue Bonds, Series 2006, 5/16 at 100.00 Aa3 23,863 Residuals 660-1, 5.082%, 5/01/41 - FGIC Insured (IF) Louisiana State, Gasoline Tax Revenue Bonds, Series 2006: 20,690 4.500%, 5/01/41 - FGIC Insured (UB) 5/16 at 100.00 Aa3 19,601,913 10,000 5.000%, 5/01/41 - FGIC Insured (UB) 5/16 at 100.00 Aa3 10,072,100 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 5,818,800 11,750 5.875%, 5/15/39 5/11 at 101.00 BBB 11,118,320 - ------------------------------------------------------------------------------------------------------------------------------------ 84,798 Total Louisiana 84,531,038 - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts - 1.8% (1.1% of Total Investments) 1,750 Massachusetts Health and Educational Facilities Authority, 1/09 at 101.00 AAA 1,750,753 Revenue Bonds, UMass Memorial Healthcare, Series 1998A, 5.000%, 7/01/28 - AMBAC Insured 370 Massachusetts Housing Finance Agency, Single Family Housing 12/09 at 100.00 AAA 376,649 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 2,023,500 500 5.000%, 1/01/27 - MBIA Insured 1/09 at 100.00 AAA 501,305 5,000 5.000%, 1/01/37 - MBIA Insured 7/08 at 101.00 AAA 5,003,250 1,875 Massachusetts Turnpike Authority, Metropolitan Highway System 1/09 at 100.00 AAA 1,880,494 Revenue Bonds, Subordinate Series 1997B, 5.250%, 1/01/29 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 11,495 Total Massachusetts 11,535,951 - ------------------------------------------------------------------------------------------------------------------------------------ Michigan - 2.9% (1.8% of Total Investments) 8,000 Detroit, Michigan, Second Lien Sewerage Disposal System Revenue 7/15 at 100.00 AAA 8,028,160 Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA Insured 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 Ba3 4,504,891 3,000 5.250%, 8/15/28 8/08 at 101.00 BB- 2,606,160 3,275 Michigan State Hospital Finance Authority, Revenue Refunding 8/08 at 100.00 BB- 3,276,212 Bonds, Detroit Medical Center Obligated Group, Series 1993A, 6.500%, 8/15/18 - ------------------------------------------------------------------------------------------------------------------------------------ 19,270 Total Michigan 18,415,423 - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota - 1.3% (0.8% of Total Investments) 5,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 A(4) 5,337,400 Subordinate Airport Revenue Bonds, Series 2001C, 5.250%, 1/01/32 (Pre-refunded 1/01/11) - FGIC Insured 1,140 Minnesota Housing Finance Agency, Single Family Mortgage Revenue 7/09 at 100.00 AA+ 1,149,690 Bonds, Series 2000C, 5.550%, 7/01/24 (Alternative Minimum Tax)
- ----- 34 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota (continued) $ 1,360 Minnesota Housing Finance Agency, Single Family Mortgage Revenue 1/10 at 100.00 AA+ $ 1,369,588 Bonds, Series 2000J, 5.400%, 1/01/23 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 7,500 Total Minnesota 7,856,678 - ------------------------------------------------------------------------------------------------------------------------------------ Missouri - 0.9% (0.5% of Total Investments) 12,005 Kansas City Municipal Assistance Corporation, Missouri, Leasehold No Opt. Call AAA 3,994,424 Revenue Bonds, Series 2004B-1, 0.000%, 4/15/29 - AMBAC Insured 140 Missouri Housing Development Commission, Single Family Mortgage 9/09 at 102.00 AAA 147,503 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 1,527,000 Agency, Mass Transit Sales Tax Appropriation Bonds, Metrolink Cross County Extension Project, Series 2002B, 5.000%, 10/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 13,645 Total Missouri 5,668,927 - ------------------------------------------------------------------------------------------------------------------------------------ Nevada - 6.3% (3.8% of Total Investments) 7,310 Clark County, Nevada, Limited Tax General Obligation Bank Bonds, 7/10 at 100.00 AA+(4) 7,785,223 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 8,137,500 Series 1999A, 6.000%, 7/01/29 (Pre-refunded 7/01/10) - MBIA Insured Director of Nevada State Department of Business and Industry, Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000: 3,025 0.000%, 1/01/16 - AMBAC Insured No Opt. Call AAA 1,817,390 7,910 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 6,320,090 15,000 Henderson, Nevada, Healthcare Facility Revenue Refunding Bonds, 7/17 at 100.00 A2 14,607,000 Catholic Healthcare West, Series 2007B, 5.250%, 7/01/31 (UB) 320 Nevada Housing Division, Single Family Mortgage Bonds, Senior 10/08 at 101.00 Aaa 323,491 Series 1997C-2, 5.750%, 4/01/29 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 41,065 Total Nevada 38,990,694 - ------------------------------------------------------------------------------------------------------------------------------------ New Jersey - 3.9% (2.4% of Total Investments) 15,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AA- 4,615,350 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 14,153,040 5,050 6.125%, 6/01/42 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 5,633,326 - ------------------------------------------------------------------------------------------------------------------------------------ 33,095 Total New Jersey 24,401,716 - ------------------------------------------------------------------------------------------------------------------------------------ New Mexico - 1.2% (0.7% of Total Investments) 7,500 Farmington, New Mexico, Pollution Control Revenue Refunding Bonds, 10/08 at 100.00 Baa3 7,488,975 Public Service Company of New Mexico - San Juan Project, Series 1997B, 5.800%, 4/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ New York - 12.4% (7.5% of Total Investments) 440 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 410,480 Series 2006A, 4.500%, 2/15/47 - MBIA Insured 7,000 Metropolitan Transportation Authority, New York, State Service 7/12 at 100.00 AA- 7,116,270 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 4,313,365 4,070 7.000%, 3/01/12 (Pre-refunded 3/01/10) - FSA Insured 3/10 at 100.00 AAA 4,410,903 3,925 7.000%, 3/01/15 (Pre-refunded 3/01/10) - FSA Insured 3/10 at 100.00 AAA 4,253,758 4,975 New York City Industrial Development Agency, New York, Special 12/08 at 102.00 BB+ 3,684,336 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 BB+ 3,010,470 Facilities Revenue Bonds, British Airways PLC, Series 2002, 7.625%, 12/01/32 (Alternative Minimum Tax)
----- 35 ----- NMA | Nuveen Municipal Advantage Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ New York (continued) $ 10,000 New York City Municipal Water Finance Authority, New York, Water 12/14 at 100.00 AAA $ 10,202,750 and Sewer System Revenue Bonds, 5.000%, 6/15/36 - FSA Insured (UB) 9,850 New York City Municipal Water Finance Authority, New York, Water 6/09 at 101.00 AA+(4) 10,341,318 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 Transitional Finance Authority, New York, Future 5/10 at 101.00 AAA 10,825,000 Tax Secured Bonds, Fiscal Series 2000B, 6.000%, 11/15/29 (Pre-refunded 5/15/10) 7,435 New York City, New York, General Obligation Bonds, Fiscal Series 5/10 at 101.00 AA(4) 8,011,510 2000A, 5.750%, 5/15/20 (Pre-refunded 5/15/10) 5,815 New York State Mortgage Agency, Homeowner Mortgage Revenue Bonds, 4/10 at 100.00 Aa1 5,892,805 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 5,178,250 Revenue Bonds, Correctional Facilities, Series 1999C, 6.000%, 1/01/29 (Pre-refunded 1/01/09) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 75,490 Total New York 77,651,215 - ------------------------------------------------------------------------------------------------------------------------------------ North Carolina - 2.0% (1.2% of Total Investments) 1,150 North Carolina Housing Finance Agency, Home Ownership Revenue 7/10 at 100.00 AAA 1,140,708 Bonds, 1998 Trust Agreement, Series 10A, 5.400%, 7/01/32 - AMBAC Insured (Alternative Minimum Tax) 5,045 North Carolina Housing Finance Agency, Home Ownership Revenue 7/09 at 100.00 AA 5,082,838 Bonds, 1998 Trust Agreement, Series 7A, 6.250%, 1/01/29 (Alternative Minimum Tax) 1,725 North Carolina Housing Finance Agency, Home Ownership Revenue 1/10 at 100.00 AA 1,741,422 Bonds, 1998 Trust Agreement, Series 8A, 5.950%, 1/01/27 (Alternative Minimum Tax) 4,465 North Carolina Housing Finance Agency, Home Ownership Revenue 1/10 at 100.00 AA 4,476,163 Bonds, 1998 Trust Agreement, Series 9A, 5.875%, 7/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 12,385 Total North Carolina 12,441,131 - ------------------------------------------------------------------------------------------------------------------------------------ North Dakota - 0.6% (0.4% of Total Investments) 1,615 North Dakota Housing Finance Agency, Home Mortgage Finance 7/08 at 102.00 Aaa 1,649,383 Program 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+ 2,144,835 Obligated Group, Series 2006, 5.125%, 7/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ 3,865 Total North Dakota 3,794,218 - ------------------------------------------------------------------------------------------------------------------------------------ Ohio - 6.9% (4.2% of Total Investments) 5,000 Akron, Bath and Copley Joint Township Hospital District, Ohio, 11/09 at 101.00 Baa1 5,056,000 Hospital Facilities Revenue Bonds, Summa Health System, Series 1998A, 5.375%, 11/15/18 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: 270 5.125%, 6/01/24 6/17 at 100.00 BBB 254,321 2,700 5.875%, 6/01/30 6/17 at 100.00 BBB 2,512,350 2,635 5.750%, 6/01/34 6/17 at 100.00 BBB 2,382,014 5,895 5.875%, 6/01/47 6/17 at 100.00 BBB 5,216,603 5,150 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco 6/22 at 100.00 BBB 3,400,288 Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-3, 0.000%, 6/01/37 6,000 Cuyahoga County, Ohio, Hospital Revenue Bonds, University 7/09 at 101.00 AAA 6,282,720 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) 8,543,718 5,000 6.750%, 4/01/22 (Pre-refunded 4/01/10) 4/10 at 101.00 A(4) 5,448,800 1,305 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 8/10 at 100.00 Aaa 1,327,537 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+ 2,767,846 5.000%, 5/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ 44,445 Total Ohio 43,192,197 - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 36 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Oklahoma - 4.6% (2.8% of Total Investments) $ 12,000 Oklahoma Development Finance Authority, Revenue Bonds, Saint 2/17 at 100.00 AA- $ 11,731,080 John Health System, Series 2007, 5.000%, 2/15/42 2,000 Oklahoma Municipal Power Authority, Power Supply System Revenue 1/17 at 100.00 A 1,774,880 Bonds, Series 2007, 4.500%, 1/01/47 - FGIC Insured Oklahoma State Industries Authority, Health System Revenue Bonds, Integris Baptist Medical Center, Series 1999A: 2,110 5.750%, 8/15/29 (Pre-refunded 8/15/09) - MBIA Insured 8/09 at 101.00 AAA 2,225,755 2,890 5.750%, 8/15/29 (Pre-refunded 8/15/09) - MBIA Insured 8/09 at 101.00 AAA 3,048,545 10,000 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding 12/08 at 100.00 B 9,951,200 Bonds, American Airlines Inc., Series 2001B, 5.650%, 12/01/35 (Mandatory put 12/01/08) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 29,000 Total Oklahoma 28,731,460 - ------------------------------------------------------------------------------------------------------------------------------------ Oregon - 0.5% (0.3% of Total Investments) 3,000 Oregon State Facilities Authority, Revenue Bonds, Willamette 10/17 at 100.00 A 2,946,270 University, Series 2007A, 5.000%, 10/01/36 - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania - 0.9% (0.6% of Total Investments) 1,160 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 1,177,516 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+ 1,329,570 Revenue 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 2,727,790 2004A, 5.500%, 12/01/31 - AMBAC Insured 465 Washington County Authority, Pennsylvania, Capital Funding No Opt. Call AAA 463,865 Revenue Bonds, Capital Projects and Equipment Acquisition Program, Series 1999, 6.150%, 12/01/29 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 5,725 Total Pennsylvania 5,698,741 - ------------------------------------------------------------------------------------------------------------------------------------ Puerto Rico - 3.0% (1.9% of Total Investments) 5,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 A- 4,888,750 Series 2005RR, 5.000%, 7/01/26 - XLCA Insured 10,070 Puerto Rico Highway and Transportation Authority, Highway No Opt. Call BBB+ 10,030,928 Revenue Bonds, Series 2007N, 5.250%, 7/01/39 - FGIC Insured 4,000 Puerto Rico, General Obligation Bonds, Series 2000B, 5.625%, 7/10 at 100.00 AAA 4,102,560 7/01/19 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 19,070 Total Puerto Rico 19,022,238 - ------------------------------------------------------------------------------------------------------------------------------------ Rhode Island - 1.2% (0.8% of Total Investments) 1,235 Rhode Island Health and Educational Building Corporation, 5/08 at 101.00 AAA 1,250,055 Hospital Financing Revenue Bonds, Lifespan Obligated Group, Series 1996, 5.500%, 5/15/16 - MBIA Insured 7,000 Rhode Island Housing and Mortgage Finance Corporation, 10/14 at 100.00 AA+ 6,491,730 Homeownership Opportunity Bond Program, Series 50A, 4.650%, 10/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ 8,235 Total Rhode Island 7,741,785 - ------------------------------------------------------------------------------------------------------------------------------------ South Carolina - 4.4% (2.7% of Total Investments) 10,000 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA-(4) 11,425,800 Purchase Revenue Bonds, Series 2002, 6.000%, 12/01/20 (Pre-refunded 12/01/12) 2,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A+(4) 2,798,975 Hospital Revenue Refunding and Improvement Bonds, Series 2003, 5.750%, 11/01/28 (Pre-refunded 11/01/13) 3,000 Myrtle Beach, South Carolina, Hospitality and Accommodation Fee 6/14 at 100.00 A+ 2,946,540 Revenue Bonds, Series 2004A, 5.000%, 6/01/36 - FGIC Insured 1,220 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call Baa1 525,857 Revenue Bonds, Series 2004A-2, 0.000%, 1/01/23 - FGIC Insured
----- 37 ----- NMA | Nuveen Municipal Advantage Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ South Carolina (continued) $ 2,125 South Carolina Public Service Authority, Revenue Refunding 7/13 at 100.00 AAA $ 2,197,654 Bonds, 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 7,545,450 Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%, 5/15/28 - ------------------------------------------------------------------------------------------------------------------------------------ 26,345 Total South Carolina 27,440,276 - ------------------------------------------------------------------------------------------------------------------------------------ South Dakota - 0.5% (0.3% of Total Investments) 2,945 South Dakota Health and Educational Facilities Authority, 5/17 at 100.00 AA- 2,802,197 Revenue Bonds, Sanford Health, Series 2007, 5.000%, 11/01/40 - ------------------------------------------------------------------------------------------------------------------------------------ Tennessee - 5.9% (3.6% of Total Investments) 6,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 Ba2 6,213,780 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 12,479,690 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 15,296,144 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 1,780,783 Electric System Revenue Bonds, Series 2001A, 5.125%, 5/15/26 1,500 Sumner County Health, Educational, and Housing Facilities Board, 11/17 at 100.00 N/R 1,360,095 Tennessee, Revenue Refunding Bonds, Sumner Regional Health System Inc., Series 2007, 5.500%, 11/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 44,050 Total Tennessee 37,130,492 - ------------------------------------------------------------------------------------------------------------------------------------ Texas - 16.0% (9.7% of Total Investments) 11,810 Brazos River Authority, Texas, Pollution Control Revenue No Opt. Call Caa1 11,034,083 Refunding 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 6,008,700 Lighting and Power Company, Series 1998, 5.050%, 11/01/18 - AMBAC Insured (Alternative Minimum Tax) 4,250 Ennis Independent School District, Ellis County, Texas, General 8/16 at 60.73 Aaa 1,603,610 Obligation Bonds, Series 2006, 0.000%, 8/15/26 8,400 Gulf Coast Waste Disposal Authority, Texas, Waste Disposal 4/09 at 101.00 BBB 7,761,516 Revenue Bonds, Valero Energy Corporation, Series 1999, 5.700%, 4/01/32 (Alternative Minimum Tax) 7,500 Harris County Health Facilities Development Corporation, Texas, 11/13 at 100.00 AAA 7,539,450 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 1,567,443 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 3,761,401 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 13,962,281 Series 2000B, 5.500%, 7/01/30 (Pre-refunded 7/01/10) - 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 6,010,287 2,000 6.800%, 12/15/11 - AMBAC Insured No Opt. Call AAA 2,237,440 9,345 Leander Independent School District, Williamson and Travis 8/15 at 35.34 AA- 2,165,237 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- 15,156,963 Reliant Energy Inc., Series 1999B, 5.950%, 5/01/30 (Alternative Minimum Tax) 3,425 Sabine River Authority, Texas, Pollution Control Revenue No Opt. Call Caa1 3,193,984 Refunding Bonds, TXU Electric Company, Series 2001A, 5.500%, 5/01/22 (Mandatory put 11/01/11)
- ----- 38 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Texas (continued) $ 4,700 Sam Rayburn Municipal Power Agency, Texas, Power Supply System 10/12 at 100.00 Baa2 $ 4,804,669 Revenue Refunding Bonds, Series 2002A, 6.000%, 10/01/21 4,000 Texas, General Obligation Bonds, Water Financial Assistance, 8/09 at 100.00 Aa1 4,085,640 State Participation Program, Series 1999C, 5.500%, 8/01/35 6,840 Travis County Health Facilities Development Corporation, Texas, 11/09 at 101.00 AAA 7,273,246 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 6/08 at 100.00 AAA 246,046 Section 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 1,564,230 Obligation Bonds, Series 2005, 0.000%, 8/15/21 - ------------------------------------------------------------------------------------------------------------------------------------ 111,420 Total Texas 99,976,226 - ------------------------------------------------------------------------------------------------------------------------------------ Virginia - 0.3% (0.2% of Total Investments) 2,855 Tobacco Settlement Financing Corporation of Virginia, Tobacco 6/17 at 100.00 BBB 1,842,503 Settlement Asset-Backed Bonds, Series 2007B2, 0.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ Washington - 15.0% (9.1% of Total Investments) 8,810 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 8,844,976 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 5,459,927 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 10,808,222 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 11,725,100 Tax General Obligation Bonds, Series 2000, 6.250%, 12/01/17 (Pre-refunded 12/01/10) - FSA Insured 10,550 Port of Seattle, Washington, Limited Tax General Obligation 12/10 at 100.00 AAA 10,852,047 Bonds, Series 2000B, 5.750%, 12/01/25 (Alternative Minimum Tax) 5,315 Port of Seattle, Washington, Revenue Bonds, Series 2000B, No Opt. Call AAA 5,511,283 6.000%, 2/01/10 - MBIA Insured (Alternative Minimum Tax) 19,475 Port of Seattle, Washington, Special Facility Revenue Bonds, 3/10 at 101.00 AAA 20,925,496 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 5,112,650 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 8,946,788 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 5,286,100 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 No Opt. Call AAA 556,235 Bonds, Series 2003F, 0.000%, 12/01/24 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 91,295 Total Washington 94,028,824 - ------------------------------------------------------------------------------------------------------------------------------------ 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 4,895,100 Appalachian Power Company, Series 2003L, 5.500%, 10/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin - 2.8% (1.7% of Total Investments) Badger Tobacco Asset Securitization Corporation, Wisconsin, Tobacco Settlement Asset-Backed Bonds, Series 2002: 1,100 6.000%, 6/01/17 6/12 at 100.00 BBB 1,109,031 6,555 6.125%, 6/01/27 6/12 at 100.00 BBB 6,569,814 565 Green Bay, Wisconsin, Water System Revenue Bonds, Series 2004, 11/14 at 100.00 Aaa 578,215 5.000%, 11/01/29 - FSA Insured
----- 39 ----- NMA | Nuveen Municipal Advantage Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin (continued) $ 5,000 Madison, Wisconsin, Industrial Development Revenue Refunding 4/12 at 100.00 AA- $ 5,116,250 Bonds, 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 No Opt. Call AAA 3,403,290 Tax Revenue Refunding Bonds, Series 1998A, 5.500%, 12/15/19 - MBIA Insured 905 Wisconsin Housing and Economic Development Authority, Home 3/10 at 100.00 AA 919,860 Ownership Revenue Bonds, Series 2000B, 5.750%, 3/01/22 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 17,125 Total Wisconsin 17,696,460 - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,169,948 Total Long-Term Investments (cost $990,304,418) - 161.7% 1,012,572,944 ============------------------------------------------------------------------------------------------------------------------------ Short-Term Investments - 2.4% (1.5% of Total Investments) $ 15,140 Louisiana State, Gasoline Tax Revenue Bonds, Series 2006, ROCS VMIG-1 15,140,000 660, Variable Rate Demand Obligations, 4.010%, 5/01/41 - FGIC Insured (5) ============------------------------------------------------------------------------------------------------------------------------ Total Short-Term Investments (cost $15,140,000) 15,140,000 --------------------------------------------------------------------------------------------------------------------- Total Investments (cost $1,005,444,418) - 164.1% 1,027,712,944 --------------------------------------------------------------------------------------------------------------------- Floating Rate Obligations - (9.6)% (60,124,983) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.7% 16,527,329 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (57.2)% (6) (358,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 626,115,290 =====================================================================================================================
(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 Group ("Standard & Poor's") or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by Standard & Poor's or Baa by Moody's are considered to be below investment grade. The Portfolio of Investments may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (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. (6) Preferred Shares, at Liquidation Value as a percentage of total investments is (34.8)%. N/R Not rated. WI/DD Purchased on a when-issued or delayed delivery basis. (ETM) Escrowed to maturity. (IF) Inverse floating rate investment. (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. - ----- 40 - ----- NMO | Nuveen Municipal Market Opportunity Fund, Inc. | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Alabama - 0.6% (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 $ 1,834,961 2,485 5.000%, 1/01/41 - RAAI Insured 1/16 at 100.00 AA 2,339,901 - ------------------------------------------------------------------------------------------------------------------------------------ 4,420 Total Alabama 4,174,862 - ------------------------------------------------------------------------------------------------------------------------------------ Alaska - 1.9% (1.1% 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 AA 1,151,978 1,275 5.250%, 12/01/41 - FGIC Insured 12/14 at 100.00 AA 1,312,090 12,280 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 9,594,978 Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 14,680 Total Alaska 12,059,046 - ------------------------------------------------------------------------------------------------------------------------------------ Arkansas - 1.4% (0.8% of Total Investments) 5,000 Arkansas Development Finance Authority, Hospital Revenue Bonds, 2/10 at 100.00 BBB(4) 5,381,000 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 Obligation 8/08 at 100.00 Aaa 3,483,410 Refunding Bonds, Series 2003, 5.000%, 2/01/27 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 8,480 Total Arkansas 8,864,410 - ------------------------------------------------------------------------------------------------------------------------------------ California - 12.5% (7.7% of Total Investments) 12,500 Anaheim Public Finance Authority, California, Subordinate Lease No Opt. Call AAA 2,754,625 Revenue Bonds, Public Improvement Project, Series 1997C, 0.000%, 9/01/35 - FSA Insured 1,350 Antelope Valley Union High School District, Los Angeles County, No Opt. Call AAA 440,478 California, General Obligation Bonds, Series 2004B, 0.000%, 8/01/29 - MBIA Insured 7,800 California County Tobacco Securitization Agency, Tobacco Settlement 12/18 at 100.00 Baa3 5,706,792 Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 0.000%, 6/01/36 (Mandatory put 6/01/11) 1,350 California Educational Facilities Authority, Revenue Refunding No Opt. Call Aaa 247,725 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 4,050,056 Revenue Bonds, Adventist Health System/West, Series 2003A, 5.000%, 3/01/33 9,000 California Health Facilities Financing Authority, Revenue Bonds, 3/16 at 100.00 A+ 8,869,410 Kaiser Permanante System, Series 2006, 5.250%, 3/01/45 25,000 California, General Obligation Bonds, Series 2005, 4.750%, 3/01/35 - 3/16 at 100.00 AAA 24,736,750 MBIA Insured (UB) 1,550 California Statewide Community Development Authority, Revenue Bonds, 7/18 at 100.00 AA- 1,610,466 St. Joseph Health System, Series 2007A, 5.750%, 7/01/47 - FGIC Insured 10,445 Castaic Lake Water Agency, California, Certificates of No Opt. Call AAA 3,407,995 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 AA 3,047,035 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 5,356,150 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2003B, 5.000%, 6/01/38 (Pre-refunded 6/01/13) - AMBAC Insured
----- 41 ----- NMO | Nuveen Municipal Market Opportunity Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
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 $ 809,310 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 3,500 Golden State Tobacco Securitization Corporation, California, Tobacco No Opt. Call AAA 1,369,480 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 539,055 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 6/08 at 100.00 AA-(4) 490,539 Plant Revenue Bonds, Second Series 1993, 4.750%, 10/15/20 (ETM) 995 Los Angeles Department of Water and Power, California, Electric 6/08 at 100.00 AA-(4) 996,393 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 335,180 California, General Obligation Bonds, Series 2005B, 0.000%, 8/01/29 - FSA Insured 8,040 Placentia-Yorba Linda Unified School District, Orange County, No Opt. Call A+ 1,810,126 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 5,295,500 26,000 0.000%, 1/15/35 - MBIA Insured No Opt. Call AAA 5,223,920 5,000 San Jose-Evergreen Community College District, Santa Clara County, 9/15 at 100.00 AAA 1,708,750 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 1,885,803 California, General Obligation Bonds, Series 2005C, 0.000%, 8/01/25 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 144,005 Total California 80,691,538 - ------------------------------------------------------------------------------------------------------------------------------------ Colorado - 6.4% (3.9% of Total Investments) 1,085 Arkansas River Power Authority, Colorado, Power Revenue Bonds, 10/16 at 100.00 A- 1,053,383 Series 2006, 5.250%, 10/01/40 - XLCA Insured 3,000 Broomfield, Colorado, Master Facilities Lease Purchase Agreement, 12/09 at 100.00 Aaa 3,088,650 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 6,646,513 Improvement Bonds, Series 2002A, 5.500%, 12/01/22 - AMBAC Insured 11,465 Denver City and County, Colorado, Airport System Revenue Refunding 11/10 at 100.00 AAA 11,717,345 Bonds, Series 2000A, 6.000%, 11/15/18 - AMBAC Insured (Alternative Minimum Tax) E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2000B: 7,000 0.000%, 9/01/30 - MBIA Insured No Opt. Call AAA 1,885,380 15,960 0.000%, 9/01/33 - MBIA Insured No Opt. Call AAA 3,586,531 20,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 31.42 AAA 5,903,200 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 1,257,914 13,300 0.000%, 9/01/31 - MBIA Insured 9/20 at 53.77 AAA 3,362,639 6,250 0.000%, 9/01/32 - MBIA Insured 9/20 at 50.83 AAA 1,493,313 8,000 0.000%, 3/01/36 - MBIA Insured No Opt. Call AAA 1,526,560 - ------------------------------------------------------------------------------------------------------------------------------------ 96,145 Total Colorado 41,521,428 - ------------------------------------------------------------------------------------------------------------------------------------ District of Columbia - 1.5% (0.9% of Total Investments) 10,000 Washington Convention Center Authority, District of Columbia, Senior 10/16 at 100.00 AAA 9,420,100 Lien Dedicated Tax Revenue Bonds, Series 2007A, 4.500%, 10/01/30 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ Florida - 0.8% (0.5% of Total Investments) 6,960 Florida Housing Finance Corporation, Homeowner Mortgage Revenue 1/17 at 100.00 Aa1 5,069,246 Bonds, RITES Series 1515, 8.985%, 7/01/32 (Alternative Minimum Tax) (IF) - ------------------------------------------------------------------------------------------------------------------------------------
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Georgia - 4.8% (2.9% of Total Investments) $ 15,000 Atlanta, Georgia, Airport General Revenue Refunding Bonds, Series 1/10 at 101.00 A+(4) $ 15,902,850 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 15,080,749 Participation, Public Purpose Project, Series 1999, 5.500%, 11/01/18 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 29,330 Total Georgia 30,983,599 - ------------------------------------------------------------------------------------------------------------------------------------ Illinois - 13.5% (8.3% of Total Investments) 4,595 Bolingbrook, Illinois, General Obligation Refunding Bonds, Series No Opt. Call A2 1,257,606 2002B, 0.000%, 1/01/32 - FGIC Insured 4,600 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- 2,495,040 Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 0.000%, 12/01/20 - FGIC Insured 4,000 Chicago, Illinois, Motor Fuel Tax Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 4,059,760 5.000%, 1/01/33 - AMBAC Insured 2,300 Chicago, Illinois, Motor Fuel Tax Revenue Refunding Bonds, Series No Opt. Call AAA 2,498,950 1993, 5.375%, 1/01/14 - AMBAC Insured 5,250 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 1998B, 1/09 at 101.00 AAA 5,266,538 5.000%, 1/01/28 - MBIA Insured 10,000 Illinois Finance Authority, Illinois, Northwestern University, 12/15 at 100.00 Aaa 10,138,200 Revenue Bonds, Series 2006, 5.000%, 12/01/42 (UB) 38,645 Illinois, General Obligation Bonds, Illinois FIRST Program, Series 4/10 at 100.00 AAA 39,790,818 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 5,118,785 6,780 0.000%, 1/01/24 - FSA Insured 1/15 at 63.44 Aaa 2,928,418 1,975 Lake County Community High School District 127, Grayslake, Illinois, No Opt. Call AA- 2,469,935 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 2,179,613 3,270 5.000%, 12/15/28 - MBIA Insured 6/12 at 101.00 AAA 3,336,414 3,700 0.000%, 6/15/30 - MBIA Insured No Opt. Call AAA 1,175,564 3,280 0.000%, 6/15/37 - MBIA Insured No Opt. Call AAA 696,836 11,715 0.000%, 12/15/38 - MBIA Insured No Opt. Call AAA 2,291,103 9,170 0.000%, 6/15/39 - MBIA Insured No Opt. Call AAA 1,746,243 - ------------------------------------------------------------------------------------------------------------------------------------ 122,760 Total Illinois 87,449,823 - ------------------------------------------------------------------------------------------------------------------------------------ Indiana - 1.1% (0.7% of Total Investments) 4,695 Indiana Educational Facilities Authority, Revenue Bonds, Butler 2/11 at 100.00 AAA 4,867,870 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 1,991,540 Indianapolis Power and Light Company, Series 1991, 5.750%, 8/01/21 - ------------------------------------------------------------------------------------------------------------------------------------ 6,695 Total Indiana 6,859,410 - ------------------------------------------------------------------------------------------------------------------------------------ Kansas - 0.5% (0.3% of Total Investments) 2,500 Kansas Development Finance Authority, Water Pollution Control 11/12 at 100.00 AAA 2,679,725 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 456,885 Center, Series 2006, 4.625%, 10/01/31 - ------------------------------------------------------------------------------------------------------------------------------------ 3,000 Total Kansas 3,136,610 - ------------------------------------------------------------------------------------------------------------------------------------
----- 43 ----- NMO | Nuveen Municipal Market Opportunity Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Kentucky - 1.7% (1.1% 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 $ 3,218,169 7,490 5.250%, 7/01/20 (Pre-refunded 1/01/10) - FSA Insured 1/10 at 101.00 AAA 7,915,956 - ------------------------------------------------------------------------------------------------------------------------------------ 10,535 Total Kentucky 11,134,125 - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana - 1.7% (1.0% of Total Investments) 7,415 Louisiana Local Government Environmental Facilities and Community 12/12 at 100.00 AAA 7,373,105 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 3,400,853 General Hospital, Series 2004, 5.250%, 7/01/33 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 10,765 Total Louisiana 10,773,958 - ------------------------------------------------------------------------------------------------------------------------------------ Maryland - 1.0% (0.6% of Total Investments) 4,410 Maryland Community Development Administration, Department of 3/17 at 100.00 Aa2 3,959,651 Housing and Community Development, Residential Revenue Bonds, Series 2007D, 4.900%, 9/01/42 (Alternative Minimum Tax) 2,500 Maryland Department of Transportation, Consolidated Transportation No Opt. Call AAA 2,846,800 Revenue Bonds, Series 2002, 5.500%, 2/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ 6,910 Total Maryland 6,806,451 - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts - 3.8% (2.3% of Total Investments) 440 Massachusetts Bay Transportation Authority, Assessment Bonds, 7/10 at 100.00 AAA 453,086 Series 2000A, 5.250%, 7/01/30 Massachusetts Bay Transportation Authority, Assessment Bonds, Series 2000A: 4,150 5.250%, 7/01/30 (Pre-refunded 7/01/10) 7/10 at 100.00 AAA 4,397,963 660 5.250%, 7/01/30 (Pre-refunded 7/01/10) 7/10 at 100.00 Aa1(4) 699,435 8,315 Massachusetts Turnpike Authority, Metropolitan Highway System 7/08 at 101.00 AAA 8,320,405 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 AA(4) 10,795,100 Series 2000A, 5.750%, 8/01/39 (Pre-refunded 8/01/10) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 23,565 Total Massachusetts 24,665,989 - ------------------------------------------------------------------------------------------------------------------------------------ Michigan - 1.1% (0.7% of Total Investments) 5,000 Detroit Water Supply System, Michigan, Water Supply System Revenue 7/16 at 100.00 AAA 4,967,300 Bonds, Series 2006D, 4.625%, 7/01/32 - FSA Insured 2,090 Grand Rapids Building Authority, Kent County, Michigan, Limited Tax 8/10 at 100.00 AAA 2,193,476 General Obligation Bonds, Series 2000, 5.375%, 8/01/17 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 7,090 Total Michigan 7,160,776 - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota - 8.2% (5.1% of Total Investments) 930 Minnesota Agricultural and Economic Development Board, Healthcare 11/10 at 101.00 A 966,651 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) 32,069,441 System Revenue Bonds, Fairview Hospital and Healthcare Services, Series 2000A, 6.375%, 11/15/29 (Pre-refunded 11/15/10) 2,145 Minnesota Housing Finance Agency, Single Family Remarketed Mortgage 1/11 at 101.00 AA+ 2,173,807 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 14,418,647 3,030 St. Paul Housing and Redevelopment Authority, Minnesota, Sales Tax 11/15 at 103.00 AAA 3,636,515 Revenue Refunding Bonds, Civic Center Project, Series 1996, 7.100%, 11/01/23 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 48,850 Total Minnesota 53,265,061 - ------------------------------------------------------------------------------------------------------------------------------------
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Mississippi - 1.1% (0.7% of Total Investments) $ 5,900 Mississippi Business Finance Corporation, Pollution Control Revenue 10/08 at 100.00 BBB $ 5,876,931 Refunding Bonds, System Energy Resources Inc. Project, Series 1998, 5.875%, 4/01/22 1,030 Mississippi Home Corporation, GNMA Mortgage-Backed Securities 7/08 at 104.00 Aaa 1,063,259 Program Single Family Mortgage Revenue Bonds, Series 1997D-5, 6.750%, 7/01/29 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 6,930 Total Mississippi 6,940,190 - ------------------------------------------------------------------------------------------------------------------------------------ Missouri - 0.6% (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 2,625,560 5,000 0.000%, 4/15/31 - AMBAC Insured No Opt. Call AAA 1,481,200 - ------------------------------------------------------------------------------------------------------------------------------------ 12,000 Total Missouri 4,106,760 - ------------------------------------------------------------------------------------------------------------------------------------ Nebraska - 0.6% (0.3% of Total Investments) 3,900 Omaha Convention Hotel Corporation, Nebraska, Convention Center 2/17 at 100.00 AAA 3,596,151 Revenue Bonds, Series 2007, 7.067%, 2/01/35 - AMBAC Insured (IF) - ------------------------------------------------------------------------------------------------------------------------------------ Nevada - 5.3% (3.3% 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 3,434,655 8,500 0.000%, 1/01/26 - AMBAC Insured No Opt. Call AAA 2,570,230 5,685 0.000%, 1/01/27 - AMBAC Insured No Opt. Call AAA 1,606,524 21,000 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 16,779,000 2,135 Reno, Nevada, Capital Improvement Revenue Bonds, Series 2005B, 6/15 at 33.61 A 385,752 0.000%, 6/01/37 - FGIC Insured 10,000 Reno, Nevada, Health Facility, Revenue Bonds, Catholic Healthcare 7/17 at 100.00 A2 9,737,800 West, Series 2007A, 5.250%, 7/01/31 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 53,445 Total Nevada 34,513,961 - ------------------------------------------------------------------------------------------------------------------------------------ New Jersey - 6.3% (3.9% of Total Investments) 18,000 New Jersey Transportation Trust Fund Authority, Transportation 6/10 at 100.00 AAA 19,245,240 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 8,657,600 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 3,599,950 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 1,251,750 Series 2005A, 0.000%, 9/01/25 - MBIA Insured 3,525 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 3,932,173 Settlement Asset-Backed Bonds, Series 2002, 6.125%, 6/01/42 (Pre-refunded 6/01/12) 2,100 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/13 at 100.00 AAA 2,358,594 Settlement Asset-Backed Bonds, Series 2003, 6.375%, 6/01/32 (Pre-refunded 6/01/13) 2,000 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 1,600,760 Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%, 6/01/41 - ------------------------------------------------------------------------------------------------------------------------------------ 68,625 Total New Jersey 40,646,067 - ------------------------------------------------------------------------------------------------------------------------------------ New Mexico - 1.9% (1.2% of Total Investments) 5,925 New Mexico Hospital Equipment Loan Council, Hospital Revenue Bonds, 8/11 at 101.00 AA-(4) 6,475,255 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 6,052,331 6.250%, 6/01/12 - ------------------------------------------------------------------------------------------------------------------------------------ 11,600 Total New Mexico 12,527,586 - ------------------------------------------------------------------------------------------------------------------------------------ New York - 10.7% (6.6% of Total Investments) 3,000 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 A- 3,033,690 Revenue Bonds, Series 2006B, 5.000%, 12/01/35
----- 45 ----- NMO | Nuveen Municipal Market Opportunity Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ New York (continued) $ 6,750 Nassau County Tobacco Settlement Corporation, New York, Tobacco 7/09 at 101.00 AAA $ 7,152,503 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 18,852,671 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, Fiscal Series 8/09 at 100.00 AA 5,065 1997H, 6.125%, 8/01/25 New York City, New York, General Obligation Bonds, Fiscal Series 2002G: 1,000 5.000%, 8/01/17 8/12 at 100.00 AA 1,038,730 6,530 5.750%, 8/01/18 8/12 at 100.00 AAA 7,065,264 5,000 New York City, New York, General Obligation Bonds, Fiscal Series 8/12 at 100.00 AA 5,455,500 2003A, 5.750%, 8/01/16 10,000 Port Authority of New York and New Jersey, Special Project 6/08 at 102.00 AAA 10,033,900 Bonds, 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(4) 8,502,845 Series 2002A, 5.000%, 11/15/21 (Pre-refunded 11/15/12) 8,000 TSASC Inc., New York, Tobacco Flexible Amortization Bonds, 7/09 at 101.00 AAA 8,462,800 Series 1999-1, 6.250%, 7/15/34 (Mandatory put 7/15/24) (Pre-refunded 7/15/09) - ------------------------------------------------------------------------------------------------------------------------------------ 65,960 Total New York 69,602,968 - ------------------------------------------------------------------------------------------------------------------------------------ North Carolina - 2.1% (1.3% of Total Investments) 1,900 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/15 at 100.00 AA-(4) 2,063,552 Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 5.000%, 1/15/45 (Pre-refunded 1/15/15) 4,000 North Carolina Medical Care Commission, Health System Revenue 10/17 at 100.00 AA 3,699,680 Bonds, Mission St. Joseph's Health System, Series 2007, 4.500%, 10/01/31 7,500 North Carolina Municipal Power Agency 1, Catawba Electric 1/13 at 100.00 AAA 7,857,825 Revenue Bonds, Series 2003A, 5.250%, 1/01/19 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 13,400 Total North Carolina 13,621,057 - ------------------------------------------------------------------------------------------------------------------------------------ North Dakota - 4.5% (2.8% of Total Investments) 23,035 Fargo, North Dakota, Health System Revenue Bonds, MeritCare 6/10 at 101.00 AAA 24,087,237 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 2,388,888 2,450 5.750%, 8/01/19 (Pre-refunded 8/01/10) - MBIA Insured 8/10 at 100.00 AAA 2,627,209 - ------------------------------------------------------------------------------------------------------------------------------------ 27,715 Total North Dakota 29,103,334 - ------------------------------------------------------------------------------------------------------------------------------------ Ohio - 4.9% (3.0% of Total Investments) Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: 125 5.125%, 6/01/24 6/17 at 100.00 BBB 117,741 1,250 5.875%, 6/01/30 6/17 at 100.00 BBB 1,163,125 1,215 5.750%, 6/01/34 6/17 at 100.00 BBB 1,098,348 2,750 5.875%, 6/01/47 6/17 at 100.00 BBB 2,433,530 10,000 Columbus City School District, Franklin County, Ohio, General 12/16 at 100.00 AAA 9,389,500 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 17,603,252 Kettering Medical Center, Series 1999, 6.300%, 4/01/12 - ------------------------------------------------------------------------------------------------------------------------------------ 31,480 Total Ohio 31,805,496 - ------------------------------------------------------------------------------------------------------------------------------------ Oklahoma - 0.0% (0.0% of Total Investments) 300 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding 12/08 at 100.00 B 298,626 Bonds, American Airlines Inc., Series 2000B, 6.000%, 6/01/35 (Mandatory put 12/01/08) (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 46 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Oregon - 2.6% (1.6% of Total Investments) $ 5,000 Oregon Health Sciences University, Revenue Bonds, Series 2002A, 1/13 at 100.00 AAA $ 5,222,350 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) 7,216,564 3,880 5.500%, 8/01/20 (Pre-refunded 8/01/10) 8/10 at 100.00 Aa1(4) 4,140,426 - ------------------------------------------------------------------------------------------------------------------------------------ 15,660 Total Oregon 16,579,340 - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania - 4.1% (2.5% of Total Investments) 5,000 Delaware County Industrial Development Authority, Pennsylvania, 7/08 at 102.00 BB+ 5,032,850 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 5,421,600 Acquisition Revenue Bonds, Series 2000, 5.875%, 12/15/30 (Pre-refunded 12/15/10) - MBIA Insured 15,050 Pennsylvania, General Obligation Bonds, Second Series 2001, 9/11 at 101.00 AA 16,057,297 5.000%, 9/15/14 - ------------------------------------------------------------------------------------------------------------------------------------ 25,050 Total Pennsylvania 26,511,747 - ------------------------------------------------------------------------------------------------------------------------------------ Puerto Rico - 3.5% (2.2% of Total Investments) 3,330 Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, 7/18 at 100.00 BBB- 3,487,143 Senior Lien Series 2008A, 6.000%, 7/01/44 12,500 Puerto Rico Housing Finance Authority, Capital Fund Program No Opt. Call AA 12,402,750 Revenue Bonds, Series 2003, 4.500%, 12/01/23 7,265 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 5/12 at 100.00 BBB 7,017,699 Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 23,095 Total Puerto Rico 22,907,592 - ------------------------------------------------------------------------------------------------------------------------------------ South Carolina - 7.6% (4.7% of Total Investments) 24,730 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA-(4) 27,728,263 Purchase Revenue Bonds, Series 2002, 5.500%, 12/01/22 (Pre-refunded 12/01/12) 21,570 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call AAA 6,368,111 Revenue Bonds, Series 2004A-2, 0.000%, 1/01/30 - AMBAC Insured 3,560 South Carolina Public Service Authority, Revenue Refunding 7/13 at 100.00 AAA 3,700,122 Bonds, Santee Cooper Electric System, Series 2003A, 5.000%, 1/01/20 - AMBAC Insured 11,665 Tobacco Settlement Revenue Management Authority, South Carolina, 5/11 at 101.00 BBB 11,735,690 Tobacco Settlement Asset-Backed Bonds, Series 2001B, 6.375%, 5/15/28 - ------------------------------------------------------------------------------------------------------------------------------------ 61,525 Total South Carolina 49,532,186 - ------------------------------------------------------------------------------------------------------------------------------------ Tennessee - 0.8% (0.5% of Total Investments) 5,000 Knox County Health, Educational and Housing Facilities Board, 7/13 at 100.00 AA 4,957,700 Tennessee, Hospital Revenue Bonds, East Tennessee Children's Hospital, Series 2003A, 5.000%, 7/01/23 - RAAI Insured - ------------------------------------------------------------------------------------------------------------------------------------ Texas - 24.9% (15.3% of Total Investments) 2,500 Alliance Airport Authority, Texas, Special Facilities Revenue 12/12 at 100.00 CCC+ 1,453,575 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 12,902,313 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 Caa1 10,515,547 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 5,233,403 8,825 5.625%, 8/15/29 (Pre-refunded 8/15/09) 8/09 at 100.00 AAA 9,209,329 1,000 Cedar Hill Independent School District, Dallas County, Texas, No Opt. Call A 258,350 General Obligation Bonds, Series 2002, 0.000%, 8/15/32 - FGIC Insured
----- 47 ----- NMO | Nuveen Municipal Market Opportunity Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Texas (continued) $ 15,000 Central Texas Regional Mobility Authority, Travis and Williamson 1/15 at 100.00 BBB- $ 13,255,950 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 605,253 340 5.650%, 2/15/19 2/10 at 100.00 AAA 353,739 235 5.700%, 2/15/20 2/10 at 100.00 AAA 244,783 270 5.700%, 2/15/21 2/10 at 100.00 AAA 281,240 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 17,627,053 9,660 5.650%, 2/15/19 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 10,214,001 6,645 5.700%, 2/15/20 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 7,031,872 7,750 5.700%, 2/15/21 (Pre-refunded 2/15/10) 2/10 at 100.00 AAA 8,201,205 2,500 Comal Independent School District, Comal, Bexar, Guadalupe, No Opt. Call Aaa 1,215,200 Hays, 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+ 3,963,240 Corporation, Texas, Revenue Bonds, American Airlines Inc., Series 1999, 6.375%, 5/01/35 (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 1,168,292 4,000 0.000%, 8/15/31 8/16 at 46.64 Aaa 1,115,120 1,440 Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, No Opt. Call AAA 368,482 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 1,300,438 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 22,897,715 Series 2000B, 5.500%, 7/01/30 (Pre-refunded 7/01/10) - FSA Insured 9,350 Leander Independent School District, Williamson and Travis 8/15 at 39.49 AA- 2,438,480 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 1,513,620 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 15,688,500 General Obligation Bonds, Series 1999, 5.800%, 8/15/29 (Pre-refunded 8/15/09) 4,390 Tarrant County, Texas, Cultural & Educational Facilities 2/17 at 100.00 AA- 4,194,645 Financing Corporation, Revenue Bonds, Series 2007, Residuals 1760-3, 9.810%, 2/15/36 (IF) 5,000 White Settlement Independent School District, Tarrant County, 8/15 at 36.81 AAA 1,170,400 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 4,252,624 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 1,397,220 2,000 0.000%, 8/15/24 8/15 at 63.56 AAA 879,060 - ------------------------------------------------------------------------------------------------------------------------------------ 187,420 Total Texas 160,950,649 - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 48 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Washington - 16.0% (9.8% of Total Investments) $ 5,500 Clark County Public Utility District 1, Washington, Generating 1/11 at 100.00 AAA $ 5,647,510 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 A- 2,985,924 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 10,770,100 Nuclear Project 3, Series 2001A, 5.500%, 7/01/17 - FSA Insured 2,500 King County, Washington, Sewer Revenue Bonds, Series 2001, 1/12 at 100.00 AA 2,562,075 5.000%, 1/01/23 - FGIC Insured 33,490 Port of Seattle, Washington, Revenue Bonds, Series 2000A, 8/10 at 100.00 AAA 35,798,464 5.625%, 2/01/30 (Pre-refunded 8/01/10) - MBIA Insured 6,950 Port of Seattle, Washington, Revenue Bonds, Series 2000B, 8/10 at 100.00 AAA 7,005,531 5.625%, 2/01/24 - MBIA Insured (Alternative Minimum Tax) 2,150 Seattle, Washington, General Obligation Refunding and 12/12 at 100.00 AAA 2,190,141 Improvement Bonds, Series 2002, 4.500%, 12/01/20 3,000 Spokane County School District 81, Spokane, Washington, General 6/15 at 100.00 AAA 2,960,190 Obligation Bonds, Series 2005, 0.000%, 6/01/24 - MBIA Insured 3,520 Washington State Healthcare Facilities Authority, Revenue Bonds, 10/11 at 100.00 Aaa 3,777,312 Children's Hospital and Regional Medical Center, Series 2001, 5.000%, 10/01/21 (Pre-refunded 10/01/11) - AMBAC Insured 7,890 Washington State Higher Education Facilities Authority, Revenue 11/09 at 101.00 AA(4) 8,392,988 Bonds, Pacific Lutheran University, Series 1999, 5.950%, 11/01/29 (Pre-refunded 11/01/09) - RAAI Insured 11,600 Washington State Tobacco Settlement Authority, Tobacco 6/13 at 100.00 BBB 11,835,016 Settlement 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 9,367,470 Series 2002C, 5.000%, 1/01/21 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 98,355 Total Washington 103,292,721 - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin - 1.0% (0.6% of Total Investments) 3,745 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 BBB 3,753,464 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 1,583,852 Bonds, Divine Savior Healthcare, Series 2006, 4.750%, 5/01/25 1,250 Wisconsin Health and Educational Facilities Authority, Revenue 9/08 at 101.00 N/R 1,120,713 Bonds, United Lutheran Program for the Aging Inc., Series 1998, 5.700%, 3/01/28 - ------------------------------------------------------------------------------------------------------------------------------------ 6,750 Total Wisconsin 6,458,029 - ------------------------------------------------------------------------------------------------------------------------------------ Wyoming - 0.4% (0.3% of Total Investments) 2,800 Jackson National Rural Utilities Cooperative Financing 5/08 at 100.50 A 2,815,064 Corporation, Wyoming, Guaranteed Gas Supply Revenue Bonds, Lower Valley Power and Light Inc., Series 1997B, 5.875%, 5/01/26 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,275,200 Total Long-Term Investments (cost $1,019,650,585) - 161.4% 1,044,803,656 ============------------------------------------------------------------------------------------------------------------------------
----- 49 ----- NMO | Nuveen Municipal Market Opportunity Fund, Inc. (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Amount (000) Description (1) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Short-Term Investments - 1.2% (0.7% of Total Investments) $ 7,790 Omaha Convention Hotel Corporation, Nebraska, Convention Center A-1+ $ 7,790,000 Revenue Bonds, Variable Rate Demand Obligations, Series 2007, 3.760%, 2/01/35 - AMBAC Insured (5) ============------------------------------------------------------------------------------------------------------------------------ Total Short-Term Investments (cost $7,790,000) 7,790,000 --------------------------------------------------------------------------------------------------------------------- Total Investments (cost $1,027,440,585) - 162.6% 1,052,593,656 --------------------------------------------------------------------------------------------------------------------- Floating Rate Obligations - (5.8)% (37,495,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 1.9% 12,320,054 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (58.7)% (6) (380,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 647,418,710 =====================================================================================================================
(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 Group ("Standard & Poor's") or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by Standard & Poor's or Baa by Moody's are considered to be below investment grade. The Portfolio of Investments may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (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. (6) Preferred Shares, at Liquidation Value as a percentage of total investments is (36.1)%. N/R Not rated. (ETM) Escrowed to maturity. (IF) Inverse floating rate investment. (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. - ----- 50 - ----- NAD | Nuveen Dividend Advantage Municipal Fund | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Long-Term Municipal Bonds - 157.4% (99.6% of Total Investments) Alabama - 0.3% (0.2% of Total Investments) $ 1,500 Alabama 21st Century Authority, Tobacco Settlement Revenue Bonds, 6/10 at 102.00 A- $ 1,509,660 Series 2000, 5.750%, 12/01/20 - ------------------------------------------------------------------------------------------------------------------------------------ Alaska - 0.2% (0.1% of Total Investments) 750 Alaska Housing Finance Corporation, General Housing Purpose Bonds, 12/14 at 100.00 AA 767,985 Series 2005A, 5.250%, 12/01/34 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ Arizona - 0.8% (0.5% of Total Investments) 5,000 Salt Verde Financial Corporation, Arizona, Senior Gas Revenue No Opt. Call AA- 4,489,000 Bonds, Series 2007, 5.000%, 12/01/37 - ------------------------------------------------------------------------------------------------------------------------------------ California - 3.6% (2.3% of Total Investments) 1,535 Alameda Corridor Transportation Authority, California, Senior Lien No Opt. Call AAA 299,033 Revenue Bonds, Series 1999A, 0.000%, 10/01/37 - MBIA Insured 5,500 Anaheim Public Finance Authority, California, Subordinate Lease No Opt. Call AAA 1,828,200 Revenue Bonds, Public Improvement Project, Series 1997C, 0.000%, 9/01/28 - FSA Insured 65 California, General Obligation Bonds, Series 1997, 5.000%, 10/01/18 - 10/08 at 100.00 AAA 65,562 AMBAC Insured 5,000 California, General Obligation Bonds, Series 2005, 5.000%, 3/01/31 3/16 at 100.00 A+ 5,022,200 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 4,269,350 1,000 5.125%, 6/01/47 6/17 at 100.00 BBB 809,310 3,210 Golden State Tobacco Securitization Corporation, California, 6/15 at 100.00 AAA 3,131,516 Enhanced Tobacco Settlement Revenue Bonds, Residual Trust 07-1034, 10.210%, 6/01/45 - AGC Insured (IF) 3,500 Golden State Tobacco Securitization Corporation, California, No Opt. Call AAA 1,369,480 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 3,415,640 California, Toll Road Revenue Refunding Bonds, Series 1997A, 0.000%, 1/15/35 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 41,810 Total California 20,210,291 - ------------------------------------------------------------------------------------------------------------------------------------ Colorado - 5.8% (3.6% of Total Investments) 1,125 Antelope Heights Metropolitan District, Colorado, Limited Tax 12/17 at 100.00 AA 1,040,434 General Obligation Bonds, Series 2007, 5.000%, 12/01/37 - RAAI Insured 3,205 Denver City and County, Colorado, Airport Special Facilities 1/09 at 101.00 AAA 3,273,202 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 A3(4) 3,195,558 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, 10/08 at 101.00 AAA 1,478,894 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 3,197,723 Series 1997B, 0.000%, 9/01/25 - MBIA Insured 25,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, No Opt. Call AAA 6,320,750 Series 2000B, 0.000%, 9/01/31 - MBIA Insured
----- 51 ----- NAD | Nuveen Dividend Advantage Municipal Fund (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Colorado (continued) $ 60,000 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, No Opt. Call AAA $ 11,449,200 Series 2004A, 0.000%, 3/01/36 - MBIA Insured 12,500 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, 9/26 at 54.77 AAA 2,013,625 Series 2006A, 0.000%, 9/01/38 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 114,770 Total Colorado 31,969,386 - ------------------------------------------------------------------------------------------------------------------------------------ Connecticut - 0.7% (0.4% of Total Investments) 4,335 Mashantucket Western Pequot Tribe, Connecticut, Subordinate Special 11/17 at 100.00 Baa3 3,937,784 Revenue Bonds, Series 2007A, 5.750%, 9/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ Florida - 10.0% (6.3% of Total Investments) 1,630 Florida Housing Finance Agency, Housing Revenue Bonds, Mar Lago 6/08 at 102.00 AAA 1,652,885 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 Aa1 14,387,400 Bonds, Series 2005E, 4.500%, 6/01/35 (UB) 2,500 Marion County Hospital District, Florida, Revenue Bonds, Munroe 10/17 at 100.00 A2 2,363,375 Regional Medical Center, Series 2007, 5.000%, 10/01/34 13,625 Martin County Industrial Development Authority, Florida, Industrial 6/08 at 100.00 BB+ 13,654,702 Development Revenue Bonds, Indiantown Cogeneration LP, Series 1994A, 7.875%, 12/15/25 (Alternative Minimum Tax) 22,000 South Miami Health Facilities Authority, Florida, Revenue Bonds, 8/17 at 100.00 AA- 21,633,260 Baptist Health Systems of South Florida, Series 2007, 5.000%, 8/15/37 (UB) 2,460 South Miami Health Facilities Authority, FLorida, Revenue Bonds, 8/17 at 100.00 AA- 2,282,216 Baptist Health Systems of South Florida, Trust 1025, 9.397%, 8/15/42 (IF) - ------------------------------------------------------------------------------------------------------------------------------------ 57,215 Total Florida 55,973,838 - ------------------------------------------------------------------------------------------------------------------------------------ Georgia - 2.3% (1.5% of Total Investments) 5,000 Cobb County Development Authority, Georgia, Student Housing Revenue 7/17 at 100.00 Aaa 5,050,500 Bonds, KSU Village II Real Estate Foundation LLC Project, Series 2007A, 5.250%, 7/15/38 - AMBAC Insured 4,000 Forsyth County Water and Sewerage Authority, Georgia, Revenue 4/10 at 101.00 AA+(4) 4,307,840 Bonds, Series 2000, 6.000%, 4/01/25 (Pre-refunded 4/01/10) Gainesville and Hall County Hospital Authority, Georgia, Revenue Anticipation Certificates, Northeast Georgia Health Services Inc., Series 1999: 2,620 5.500%, 5/15/29 (Pre-refunded 5/15/09) - MBIA Insured 5/09 at 101.00 AAA 2,736,354 880 5.500%, 5/15/29 (Pre-refunded 5/15/09) - MBIA Insured 5/09 at 101.00 AAA 918,060 - ------------------------------------------------------------------------------------------------------------------------------------ 12,500 Total Georgia 13,012,754 - ------------------------------------------------------------------------------------------------------------------------------------ Idaho - 0.1% (0.1% of Total Investments) 150 Idaho Housing and Finance Association, Single Family Mortgage 7/09 at 101.00 Aa2 153,596 Bonds, Series 1999E, 5.750%, 1/01/21 (Alternative Minimum Tax) 190 Idaho Housing and Finance Association, Single Family Mortgage 1/10 at 100.00 Aa2 191,007 Bonds, Series 2000D, 6.350%, 7/01/22 (Alternative Minimum Tax) 290 Idaho Housing and Finance Association, Single Family Mortgage 7/10 at 100.00 Aaa 297,601 Bonds, Series 2000E, 5.950%, 7/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 630 Total Idaho 642,204 - ------------------------------------------------------------------------------------------------------------------------------------ Illinois - 29.4% (18.6% of Total Investments) 2,460 Channahon, Illinois, Revenue Refunding Bonds, Morris Hospital, 12/09 at 102.00 BBB+ 2,567,748 Series 1999, 5.750%, 12/01/12 7,250 Chicago Board of Education, Illinois, Unlimited Tax General No Opt. Call AA- 7,991,893 Obligation Bonds, Dedicated Tax Revenues, Series 1999A, 5.500%, 12/01/26 - FGIC Insured
- ----- 52 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois (continued) Chicago, Illinois, FHA/GNMA Multifamily Housing Revenue Bonds, Archer Court Apartments, Series 1999A: $ 770 5.500%, 12/20/19 (Alternative Minimum Tax) 10/10 at 101.00 AAA $ 782,636 1,210 5.600%, 12/20/29 (Alternative Minimum Tax) 10/10 at 101.00 AAA 1,205,402 1,925 5.650%, 12/20/40 (Alternative Minimum Tax) 10/10 at 101.00 AAA 1,883,863 22,750 Chicago, Illinois, General Obligation Refunding Bonds, Emergency No Opt. Call AA- 25,249,769 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 2,846,630 1993, 5.375%, 1/01/14 - AMBAC Insured 3,340 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 A1 3,256,567 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 203,224 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 899,124 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 520,090 Obligation Bonds, Series 1999, 5.375%, 12/01/29 - MBIA Insured 3,935 Illinois Development Finance Authority, Local Government Program No Opt. Call Aaa 2,968,682 Revenue Bonds, Lake County School District 116 - Round Lake, Series 1999, 0.000%, 1/01/15 - MBIA Insured 2,000 Illinois Finance Authority, Revenue Bonds, Children's Memorial 8/18 at 100.00 AAA 1,957,500 Hospital, Series 2008A, 5.250%,8/15/47 (WI/DD, Settling 5/15/08) - AGC Insured 1,000 Illinois Finance Authority, Revenue Bonds, Edward Health Services 2/18 at 100.00 AAA 1,025,710 Corporation, Series 2008A, 5.500%, 2/01/40 - AMBAC Insured 5,570 Illinois Finance Authority, Revenue Bonds, University of Chicago, 7/14 at 100.00 Aa1 5,649,317 Series 2004A, 5.000%, 7/01/34 9,860 Illinois Health Facilities Authority, Remarketed Revenue Bonds, 8/11 at 103.00 Aa1 10,408,610 University of Chicago Project, Series 1985A, 5.500%, 8/01/20 5,400 Illinois Health Facilities Authority, Revenue Bonds, Loyola 7/08 at 100.50 AAA 5,431,266 University Health System, Series 1997A, 5.000%, 7/01/24 - MBIA Insured 5,490 Illinois Health Facilities Authority, Revenue Bonds, Sarah Bush 8/08 at 101.00 A 5,536,940 Lincoln Health Center, Series 1996B, 5.500%, 2/15/16 1,500 Illinois Housing Development Authority, Housing Finance Bonds, 1/15 at 100.00 A+ 1,381,470 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 4,667,220 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 3,059,820 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 23,325,974 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: 12,250 0.000%, 12/15/22 - MBIA Insured No Opt. Call AAA 5,991,843 13,000 0.000%, 12/15/23 - MBIA Insured No Opt. Call AAA 5,991,050 1,840 Oak Park, Illinois, General Obligation Bonds, Series 2005B, 11/15 at 54.13 AA- 630,218 0.000%, 11/01/27 - XLCA Insured 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 26,329,488 3,500 5.750%, 6/01/23 - FSA Insured No Opt. Call AAA 4,005,505 1,300 Schaumburg, Illinois, General Obligation Bonds, Series 2004B, 12/14 at 100.00 AA+ 1,346,748 5.250%, 12/01/34 - FGIC Insured 10,000 Will County Community High School District 210 Lincoln-Way, No Opt. Call Aaa 4,880,700 Illinois, General Obligation Bonds, Series 2006, 0.000%, 1/01/23 - FSA Insured
----- 53 ----- NAD | Nuveen Dividend Advantage Municipal Fund (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois (continued) $ 4,500 Will County School District 122, New Lenox, Illinois, General No Opt. Call Aaa $ 2,837,295 Obligation Bonds, Series 2000B, 0.000%, 11/01/18 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 184,465 Total Illinois 164,832,302 - ------------------------------------------------------------------------------------------------------------------------------------ Indiana - 6.0% (3.8% of Total Investments) 8,755 Indiana Health Facility Financing Authority, Hospital Revenue 11/09 at 101.00 AAA 9,260,164 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 8,642,640 Bonds, Clarian Health Obligated Group, Series 2000A, 5.500%, 2/15/26 (Pre-refunded 8/15/10) - MBIA Insured 2,000 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB- 1,757,180 Community Foundation of Northwest Indiana, Series 2007, 5.500%, 3/01/37 3,870 Indiana Housing and Community Development Authority, Single Family 1/17 at 100.00 Aaa 2,847,623 Mortgage Revenue Bonds, Series 2007A-1 Drivers 1847, 8.912%, 7/01/32 (Alternative Minimum Tax) (IF) 6,675 Indiana Municipal Power Agency, Power Supply Revenue Bonds, Series 1/17 at 100.00 AAA 6,669,126 2007A, 5.000%, 1/01/42 - MBIA Insured 4,190 Indianapolis, Indiana, Economic Development Revenue Bonds, Park 6/09 at 101.00 Aa3(4) 4,390,869 Tudor Foundation Inc., Project, Series 1999, 5.700%, 6/01/24 (Pre-refunded 6/01/09) - ------------------------------------------------------------------------------------------------------------------------------------ 33,490 Total Indiana 33,567,602 - ------------------------------------------------------------------------------------------------------------------------------------ Iowa - 1.1% (0.7% of Total Investments) 7,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue 6/15 at 100.00 BBB 6,078,520 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 10/08 at 100.00 A1 3,708,070 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 967,750 Special Obligation Bonds, Redevelopment Project Area B, Series 2005, 5.000%, 12/01/20 - ------------------------------------------------------------------------------------------------------------------------------------ 4,825 Total Kansas 4,675,820 - ------------------------------------------------------------------------------------------------------------------------------------ Kentucky - 1.7% (1.1% of Total Investments) 3,030 Hardin County School District Finance Corporation, Kentucky, 2/10 at 101.00 Aa3(4) 3,234,586 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 10/08 at 102.00 BB- 1,786,971 5,000 5.875%, 10/01/22 10/08 at 102.00 BB- 4,674,600 - ------------------------------------------------------------------------------------------------------------------------------------ 9,880 Total Kentucky 9,696,157 - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana - 6.6% (4.2% of Total Investments) 2,245 Lafayette, Louisiana, Sales Tax Revenue Bonds, Public 5/10 at 101.50 AA-(4) 2,418,539 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 1,878,975 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 5,431,213 General Hospital, Series2004, 5.250%, 7/01/33 - MBIA Insured 9,000 Louisiana Public Facilities Authority, Revenue Bonds, Ochsner 5/17 at 100.00 A3 8,647,200 Clinic Foundation Project, Series 2007A, 5.500%, 5/15/47 5,445 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 5/16 at 100.00 AA- 5,158,647 2006, 4.500%, 5/01/41 - FGIC Insured (UB)
- ----- 54 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana (continued) $ 13,570 Louisiana Transportation Authority, Senior Lien Toll Road Revenue 12/10 at 38.73 AAA $ 4,292,462 Bonds, Series 2005B, 0.000%, 12/01/28 - AMBAC Insured 9,545 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 9,256,741 Settlement Asset-Backed Bonds, Series 2001B, 5.500%, 5/15/30 - ------------------------------------------------------------------------------------------------------------------------------------ 46,905 Total Louisiana 37,083,777 - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts - 1.6% (1.0% of Total Investments) 1,470 Boston Industrial Development Financing Authority, Massachusetts, 9/12 at 102.00 N/R 1,352,444 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 4,581,242 Bonds, Berkshire Health System, Series 2005F, 5.000%, 10/01/19 - AGC Insured 785 Massachusetts Port Authority, Special Facilities Revenue Bonds, US 9/08 at 100.00 AAA 784,937 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 2,023,500 Revenue Bonds, Senior Series 1997A, 5.125%, 1/01/17 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 8,620 Total Massachusetts 8,742,123 - ------------------------------------------------------------------------------------------------------------------------------------ Michigan - 4.6% (2.9% of Total Investments) 6,000 Detroit, Michigan, Second Lien Sewerage Disposal System Revenue 7/15 at 100.00 AAA 6,021,120 Bonds, Series 2005A, 5.000%, 7/01/35 - MBIA Insured 2,435 Detroit, Michigan, Senior Lien Water Supply System Revenue Bonds, 7/11 at 100.00 A+(4) 2,622,690 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- 13,252,324 Detroit Medical Center Obligated Group, Series 1998A, 5.250%, 8/15/28 4,000 Wayne County, Michigan, Airport Revenue Bonds, Detroit Metropolitan 12/08 at 101.00 AAA 4,052,080 Wayne County Airport, Series 1998A, 5.375%, 12/01/16 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 27,690 Total Michigan 25,948,214 - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota - 0.2% (0.1% of Total Investments) 845 Minnesota Housing Finance Agency, Single Family Mortgage Bonds, 1/10 at 101.00 AA+ 869,885 Series 1998H-1, 5.650%, 7/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Missouri - 2.3% (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 2,625,560 5,000 0.000%, 4/15/29 - AMBAC Insured No Opt. Call AAA 1,663,650 2,185 Missouri Health and Educational Facilities Authority, Revenue 6/11 at 101.00 AAA 2,282,167 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 2,366,399 3,670 5.250%, 6/01/28 (Pre-refunded 6/01/11) - AMBAC Insured 6/11 at 101.00 AAA 3,974,683 - ------------------------------------------------------------------------------------------------------------------------------------ 20,040 Total Missouri 12,912,459 - ------------------------------------------------------------------------------------------------------------------------------------ Montana - 0.3% (0.2% of Total Investments) 815 Montana Board of Housing, Single Family Mortgage Bonds, Series 12/09 at 100.00 AA+ 838,863 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 1,012,090 Loan Revenue Bonds, Subordinate Series 1999B, 6.400%, 12/01/32 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 1,815 Total Montana 1,850,953 - ------------------------------------------------------------------------------------------------------------------------------------
----- 55 ----- NAD | Nuveen Dividend Advantage Municipal Fund (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Nebraska - 0.2% (0.1% of Total Investments) $ 1,100 NebHelp Inc., Nebraska, Senior Subordinate Bonds, Student Loan No Opt. Call Aaa $ 1,106,820 Program, Series 1993A-5A, 6.200%, 6/01/13 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Nevada - 4.4% (2.7% of Total Investments) 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 3,885,360 4,000 5.625%, 1/01/32 - AMBAC Insured 1/10 at 102.00 AAA 3,588,920 3,000 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 2,397,000 15,000 Henderson, Nevada, Healthcare Facility Revenue Refunding Bonds, 7/17 at 100.00 A2 14,607,000 Catholic Healthcare West, Series 2007B, 5.250%, 7/01/31 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 30,000 Total Nevada 24,478,280 - ------------------------------------------------------------------------------------------------------------------------------------ New Hampshire - 0.1% (0.1% of Total Investments) 695 New Hampshire Housing Finance Authority, Single Family Mortgage 7/08 at 100.00 Aa2 716,823 Acquisition Revenue Bonds, Series 1995D, 6.550%, 7/01/26 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ New Jersey - 6.0% (3.8% of Total Investments) 565 New Jersey Health Care Facilities Financing Authority, FHA-Insured 8/11 at 100.00 AAA 570,514 Mortgage Revenue Bonds, Jersey City Medical Center, Series 2001, 4.800%, 8/01/21 - AMBAC Insured 1,830 New Jersey Higher Education Assistance Authority, Student Loan 6/10 at 101.00 AAA 1,907,629 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 4,514,627 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- 4,643,720 System Bonds, Series 1999A, 5.750%, 6/15/18 20,000 New Jersey Transportation Trust Fund Authority, Transportation No Opt. Call AAA 7,021,600 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 10,095,367 3,165 6.125%, 6/01/42 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 3,530,589 1,365 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/13 at 100.00 AAA 1,589,351 Settlement Asset-Backed Bonds, Series 2003, 6.750%, 6/01/39 (Pre-refunded 6/01/13) - ------------------------------------------------------------------------------------------------------------------------------------ 44,360 Total New Jersey 33,873,397 - ------------------------------------------------------------------------------------------------------------------------------------ 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 4,074,080 Bonds, Series 2004, 5.000%, 7/01/32 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ New York - 12.0% (7.6% of Total Investments) 2,170 Dormitory Authority of the State of New York, Insured Revenue Bonds, 7/08 at 101.00 AA 2,218,022 Franciscan Health Partnership Obligated Group - Frances Shervier Home and Hospital, Series 1997, 5.500%, 7/01/17 - RAAI Insured 7,500 Dormitory Authority of the State of New York, Secured Hospital 8/08 at 101.50 AAA 7,623,975 Revenue Refunding Bonds, Wyckoff Heights Medical Center, Series 1998H, 5.300%, 8/15/21 - MBIA Insured 5,000 Long Island Power Authority, New York, Electric System General 6/08 at 101.00 AAA 5,063,800 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 4,208,414 7,005 5.250%, 6/01/21 (Pre-refunded 6/01/09) - AMBAC Insured 6/09 at 102.00 AAA 7,360,784 6,000 New York City Industrial Development Agency, New York, American 8/16 at 101.00 B 5,883,120 Airlines-JFK International Airport Special Facility Revenue Bonds, Series 2005, 7.750%, 8/01/31 (Alternative Minimum Tax)
- ----- 56 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ New York (continued) $ 5,000 New York City Municipal Water Finance Authority, New York, Water and 12/14 at 100.00 AAA $ 5,101,375 Sewer System Revenue Bonds, 5.000%, 6/15/36 - FSA Insured (UB) 8,800 New York City Sales Tax Asset Receivable Corporation, New York, 10/14 at 100.00 AAA 8,984,712 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 10,549,900 Secured Bonds, Fiscal Series 2000A, 5.750%, 8/15/24 (Pre-refunded 8/15/09) 10,000 Port Authority of New York and New Jersey, Special Project Bonds, 6/08 at 102.00 AAA 10,148,200 JFK International Air Terminal LLC, Sixth Series 1997, 5.900%, 12/01/17 - MBIA Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 65,480 Total New York 67,142,302 - ------------------------------------------------------------------------------------------------------------------------------------ North Carolina - 0.7% (0.5% of Total Investments) 3,830 Charlotte-Mecklenburg Hospital Authority, North Carolina, Healthcare 1/15 at 100.00 AA-(4) 4,159,686 System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 5.000%, 1/15/45 (Pre-refunded 1/15/15) - ------------------------------------------------------------------------------------------------------------------------------------ Ohio - 5.4% (3.4% of Total Investments) 2,300 Amherst Exempted Village School District, Ohio, Unlimited Tax 12/11 at 100.00 A1(4) 2,484,046 General Obligation School Improvement Bonds, Series 2001, 5.125%, 12/01/21 (Pre-refunded 12/01/11) - FGIC Insured Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: 180 5.125%, 6/01/24 6/17 at 100.00 BBB 169,547 1,800 5.875%, 6/01/30 6/17 at 100.00 BBB 1,674,900 1,740 5.750%, 6/01/34 6/17 at 100.00 BBB 1,572,943 3,930 5.875%, 6/01/47 6/17 at 100.00 BBB 3,477,736 3,635 Franklin County, Ohio, FHA-Insured Multifamily Housing Mortgage 7/08 at 100.00 Aa2 3,634,891 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 Initiatives, 5/14 at 100.00 AA 3,650,000 Series 2004A, 5.000%, 5/01/30 12,300 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/09 at 102.00 N/R 12,348,585 Bonds, Bay Shore Power, Series 1998B, 6.625%, 9/01/20 (Alternative Minimum Tax) 1,115 Warren County, Ohio, Limited Tax General Obligations, Series 1997, 6/08 at 101.00 Aa2 1,128,826 5.500%, 12/01/17 - ------------------------------------------------------------------------------------------------------------------------------------ 30,650 Total Ohio 30,141,474 - ------------------------------------------------------------------------------------------------------------------------------------ Oregon - 0.4% (0.3% of Total Investments) 2,355 Portland, Oregon, Downtown Waterfront Urban Renewal and 6/10 at 101.00 Aaa 2,468,111 Redevelopment Revenue Bonds, Series 2000A, 5.500%, 6/15/20 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania - 5.2% (3.3% of Total Investments) 3,480 Allegheny County Hospital Development Authority, Pennsylvania, 11/10 at 102.00 AAA 4,096,030 Revenue Bonds, West Penn Allegheny Health System, Series 2000B, 9.250%, 11/15/22 (Pre-refunded 11/15/10) 1,030 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 1,045,553 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+ 1,329,570 Bonds, Series 96A, 4.650%, 10/01/31 (Alternative Minimum Tax) 18,900 Philadelphia Airport System, Pennsylvania, Revenue Bonds, Series 6/08 at 102.00 A+ 19,019,825 1998A, 5.500%, 6/15/18 - FGIC Insured (Alternative Minimum Tax) 3,205 Philadelphia School District, Pennsylvania, General Obligation 8/12 at 100.00 Aa3(4) 3,548,512 Bonds, Series 2002B, 5.625%, 8/01/16 (Pre-refunded 8/01/12) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 28,115 Total Pennsylvania 29,039,490 - ------------------------------------------------------------------------------------------------------------------------------------ Puerto Rico - 3.0% (1.9% of Total Investments) 2,500 Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, Senior 7/18 at 100.00 BBB- 2,617,975 Lien Series 2008A, 6.000%, 7/01/44
----- 57 ----- NAD | Nuveen Dividend Advantage Municipal Fund (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Puerto Rico (continued) $ 12,500 Puerto Rico Housing Finance Authority, Capital Fund Program Revenue No Opt. Call AA $ 12,402,750 Bonds, Series 2003, 4.500%, 12/01/23 12,845 Puerto Rico Infrastructure Financing Authority, Special Tax Revenue No Opt. Call BBB+ 1,699,394 Bonds, Series 2005A, 0.000%, 7/01/42 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 27,845 Total Puerto Rico 16,720,119 - ------------------------------------------------------------------------------------------------------------------------------------ Rhode Island - 3.5% (2.2% of Total Investments) 2,015 Central Falls, Rhode Island, General Obligation School Bonds, Series 5/09 at 102.00 AA 2,094,371 1999, 6.250%, 5/15/20 - RAAI Insured 3,500 Providence Redevelopment Agency, Rhode Island, Revenue Bonds, Public 4/10 at 101.00 Aaa 3,753,750 Safety and Municipal Building Projects, Series 1999A, 5.750%, 4/01/29 (Pre-refunded 4/01/10) - AMBAC Insured Rhode Island Housing & Mortgage Finance Corporation, Homeownership Opportunity Bond Program, Residual Trust 1038: 1,000 10.342%, 10/01/27 (Alternative Minimum Tax) (IF) 4/17 at 100.00 AA+ 956,660 670 10.483%, 10/01/32 (Alternative Minimum Tax) (IF) 4/17 at 100.00 AA+ 598,350 12,500 Rhode Island Tobacco Settlement Financing Corporation, Tobacco 6/12 at 100.00 BBB 12,335,000 Settlement Asset-Backed Bonds, Series 2002A, 6.125%, 6/01/32 - ------------------------------------------------------------------------------------------------------------------------------------ 19,685 Total Rhode Island 19,738,131 - ------------------------------------------------------------------------------------------------------------------------------------ South Carolina - 0.3% (0.2% of Total Investments) 1,500 Greenville, South Carolina, Hospital Facilities Revenue Bonds, 5/11 at 101.00 AAA 1,501,080 Series 2001, 5.000%, 5/01/31 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ Tennessee - 2.1% (1.4% of Total Investments) 6,400 Memphis-Shelby County Airport Authority, Tennessee, Airport Revenue 3/10 at 101.00 AAA 6,519,360 Bonds, Series 1999D, 6.000%, 3/01/24 - AMBAC Insured (Alternative Minimum Tax) 2,425 Memphis-Shelby County Airport Authority, Tennessee, Airport Revenue 3/11 at 100.00 AAA 2,457,762 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+ 1,715,791 Tennessee, Revenue Bonds, Wellmont Health System, Series 2006C, 5.250%, 9/01/36 1,500 Sumner County Health, Educational, and Housing Facilities Board, 11/17 at 100.00 N/R 1,360,095 Tennessee, Revenue Refunding Bonds, Sumner Regional Health System Inc., Series 2007, 5.500%, 11/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 12,235 Total Tennessee 12,053,008 - ------------------------------------------------------------------------------------------------------------------------------------ Texas - 15.0% (9.5% of Total Investments) 2,560 Brazos River Authority, Texas, Pollution Control Revenue Refunding 4/13 at 101.00 Caa1 2,503,654 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 4,817,401 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 BBB- 2,492,119 Counties, Toll Road Revenue Bonds, Series 2005, 5.000%, 1/01/45 - FGIC Insured Coppell Independent School District, Dallas County, Texas, Unlimited Tax School Building and Refunding Bonds, Series 1999: 1,535 0.000%, 8/15/20 8/09 at 52.47 AAA 768,283 2,100 0.000%, 8/15/21 8/09 at 49.48 AAA 987,630 2,200 0.000%, 8/15/23 8/09 at 52.47 AAA 920,172 2,100 0.000%, 8/15/24 8/09 at 41.50 AAA 828,324 2,200 0.000%, 8/15/25 8/09 at 39.14 AAA 816,508 2,095 0.000%, 8/15/26 8/09 at 36.91 AAA 732,873
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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: $ 3,595 0.000%, 8/15/20 (Pre-refunded 8/15/09) 8/09 at 52.47 N/R(4) $ 1,828,417 4,900 0.000%, 8/15/21 (Pre-refunded 8/15/09) 8/09 at 49.48 N/R(4) 2,350,187 5,145 0.000%, 8/15/23 (Pre-refunded 8/15/09) 8/09 at 44.01 N/R(4) 2,194,651 4,900 0.000%, 8/15/24 (Pre-refunded 8/15/09) 8/09 at 41.50 N/R(4) 1,971,123 5,150 0.000%, 8/15/25 (Pre-refunded 8/15/09) 8/09 at 39.14 N/R(4) 1,953,704 4,905 0.000%, 8/15/26 (Pre-refunded 8/15/09) 8/09 at 36.91 N/R(4) 1,754,813 820 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax Revenue 12/11 at 100.00 AAA 882,140 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 12,752,122 11,180 5.375%, 7/01/29 (Pre-refunded 7/01/09) - MBIA Insured 7/09 at 101.00 AAA 11,647,771 2,205 Harris County-Houston Sports Authority, Texas, Senior Lien Revenue No Opt. Call AAA 1,159,654 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 715,550 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 2,694,450 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 A-(4) 2,051,720 5.300%, 3/15/26 (Pre-refunded 3/15/09) - FGIC Insured 30,095 Leander Independent School District, Williamson and Travis Counties, 8/12 at 27.94 AAA 6,985,651 Texas, General Obligation Bonds, Series 2004, 0.000%, 8/15/34 9,345 Leander Independent School District, Williamson and Travis Counties, 8/15 at 37.33 AA- 2,300,365 Texas, General Obligation Bonds, Series 2005, 0.000%, 8/15/33 - FGIC Insured 33,160 Leander Independent School District, Williamson and Travis Counties, 8/14 at 26.50 AAA 6,235,406 Texas, General Obligation Bonds, Series 2006, 0.000%, 8/15/38 1,000 San Antonio, Texas, Water System Revenue Bonds, Series 2005, 4.750%, 5/15 at 100.00 AAA 987,560 5/15/37 - MBIA Insured 4,390 Tarrant County, Texas, Cultural & Educational Facilities Financing 2/17 at 100.00 AA- 4,194,645 Corporation, Revenue Bonds, Series 2007 Residuals 1760-3, 9.810%, 2/15/36 (IF) 7,000 White Settlement Independent School District, Tarrant County, Texas, 8/15 at 34.92 AAA 1,536,570 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 1,659,720 3,000 0.000%, 8/15/22 8/15 at 70.77 AAA 1,481,130 - ------------------------------------------------------------------------------------------------------------------------------------ 175,315 Total Texas 84,204,313 - ------------------------------------------------------------------------------------------------------------------------------------ Utah - 0.2% (0.1% of Total Investments) Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 1999C-2, Class II: 285 5.700%, 7/01/19 (Alternative Minimum Tax) 1/10 at 101.50 Aaa 291,877 95 5.750%, 7/01/21 (Alternative Minimum Tax) 1/10 at 101.50 AA 97,239 65 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/09 at 101.00 AA 66,621 1999D, 5.850%, 7/01/21 (Alternative Minimum Tax) 15 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/09 at 101.50 Aa3 15,440 1999F, 6.300%, 7/01/21 (Alternative Minimum Tax) 780 Utah Housing Finance Agency, Single Family Mortgage Bonds, Series 7/10 at 100.00 AA- 790,187 2000F-2, Class III, 6.000%, 1/01/15 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 1,240 Total Utah 1,261,364 - ------------------------------------------------------------------------------------------------------------------------------------
----- 59 ----- NAD | Nuveen Dividend Advantage Municipal Fund (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Virginia - 0.0% (0.0% of Total Investments) $ 3,395 Virginia Small Business Financing Authority, Industrial Development 11/09 at 102.00 N/R $ 110,337 Water Revenue Bonds, S.I.L. Clean Water, LLC Project, Series 1999, 7.250%, 11/01/24 (Alternative Minimum Tax) (5) - ------------------------------------------------------------------------------------------------------------------------------------ Washington - 11.3% (7.1% of Total Investments) 4,000 Energy Northwest, Washington, Electric Revenue Refunding Bonds, 7/13 at 100.00 AA- 4,323,040 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 1,811,827 2,590 6.000%, 9/01/16 - MBIA Insured (Alternative Minimum Tax) 3/10 at 101.00 AAA 2,667,415 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 903,333 1,260 6.000%, 9/01/16 - MBIA Insured (Alternative Minimum Tax) 3/10 at 101.00 AAA 1,297,661 9,760 Tacoma, Washington, Electric System Revenue Refunding Bonds, Series 1/11 at 101.00 AAA 10,603,362 2001A, 5.625%, 1/01/21 (Pre-refunded 1/01/11) - FSA Insured 6,935 Washington State Tobacco Settlement Authority, Tobacco Settlement 6/13 at 100.00 BBB 7,075,503 Asset-Backed Revenue Bonds, Series 2002, 6.500%, 6/01/26 11,605 Washington, Certificates of Participation, Washington Convention and 7/09 at 100.00 AAA 11,887,582 Trade Center, Series 1999, 5.250%, 7/01/16 - MBIA Insured 3,350 Washington, General Obligation Compound Interest Bonds, Series No Opt. Call AAA 2,193,011 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 AA+ 10,298,952 18,470 0.000%, 1/01/21 No Opt. Call AA+ 10,152,036 - ------------------------------------------------------------------------------------------------------------------------------------ 78,250 Total Washington 63,213,722 - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin - 8.5% (5.3% of Total Investments) 650 Badger Tobacco Asset Securitization Corporation, Wisconsin, Tobacco 6/12 at 100.00 BBB 655,337 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 1,862,938 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 573,098 5.000%, 11/01/29 - FSA Insured 3,810 La Crosse, Wisconsin, Industrial Development Revenue Refunding 12/08 at 102.00 Aaa 3,918,128 Bonds, Dairyland Power Cooperative, Series 1997C, 5.550%, 2/01/15 - AMBAC Insured 7,410 Wisconsin Health and Educational Facilities Authority, Revenue 11/16 at 100.00 Aa1 7,321,006 Bonds, Ascension Health, Series 2006A, 5.000%, 11/15/36 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) 8,952,791 5,000 6.250%, 11/15/28 (Pre-refunded 11/15/09) 11/09 at 101.00 N/R(4) 5,344,950 4,180 Wisconsin Health and Educational Facilities Authority, Revenue 5/09 at 101.00 A 4,214,276 Bonds, Kenosha Hospital and Medical Center Inc., Series 1999, 5.625%, 5/15/29 12,700 Wisconsin Health and Educational Facilities Authority, Revenue 8/09 at 101.00 Aaa 12,820,523 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- 1,862,696 Bonds, Wheaton Franciscan Services Inc., Series 2003A, 5.125%, 8/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 46,575 Total Wisconsin 47,525,743 - ------------------------------------------------------------------------------------------------------------------------------------ $ 1,160,710 Total Long-Term Municipal Bonds (cost $864,658,836) 882,298,994 ============------------------------------------------------------------------------------------------------------------------------
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Shares Description (1) Value - ------------------------------------------------------------------------------------------------------------------------------------ Investment Companies - 0.1% (0.1% of Total Investments) 9,000 BlackRock MuniHoldings Fund Inc. $ 132,930 32,332 Morgan Stanley Quality Municipal Income Trust 408,030 - ------------------------------------------------------------------------------------------------------------------------------------ Total Investment Companies (cost $531,086) 540,960 --------------------------------------------------------------------------------------------------------------------- Total Long-Term Investments (cost $865,189,922) - 157.5% 882,839,954 ---------------------------------------------------------------------------------------------------------------------
Principal Amount (000) Description (1) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Short-Term Investments - 0.4% (0.3% of Total Investments) $ 2,680 Louisiana State, Gasoline Tax Revenue Bonds, Series 2006, ROCS 660, VMIG-1 2,680,000 Variable Rate Demand Obligations, 4.010%, 5/01/41 - FGIC Insured (6) ============------------------------------------------------------------------------------------------------------------------------ Total Short-Term Investments (cost $2,680,000) 2,680,000 --------------------------------------------------------------------------------------------------------------------- Total Investments (cost $867,869,922) - 157.9% 885,519,954 --------------------------------------------------------------------------------------------------------------------- Floating Rate Obligations - (7.6)% (42,875,000) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.3% 13,052,438 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (52.6)% (7) (295,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 560,697,392 =====================================================================================================================
(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 Group ("Standard & Poor's") or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by Standard & Poor's or Baa by Moody's are considered to be below investment grade. The Portfolio of Investments may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (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) Non-income producing security, in the case of a bond, generally denotes that the issuer has defaulted on the payment of principal or interest or has filed for bankruptcy. (6) 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. (7) Preferred Shares, at Liquidation Value as a percentage of total investments is (33.3)%. N/R Not rated. WI/DD Purchased on a when-issued or delayed delivery basis. (IF) Inverse floating rate investment. (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. ----- 61 ----- NXZ | Nuveen Dividend Advantage Municipal Fund 2 | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Alabama - 4.6% (2.9% of Total Investments) $ 18,500 Huntsville Healthcare Authority, Alabama, Revenue Bonds, Series 6/11 at 101.00 A2(4) $ 20,250,100 2001A, 5.750%, 6/01/31 (Pre-refunded 6/01/11) - ------------------------------------------------------------------------------------------------------------------------------------ Alaska - 1.1% (0.7% of Total Investments) 2,955 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/11 at 100.00 AAA 3,167,701 Settlement Asset-Backed Bonds, Series 2001, 5.500%, 6/01/29 (Pre-refunded 6/01/11) 2,200 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 1,718,970 Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 5,155 Total Alaska 4,886,671 - ------------------------------------------------------------------------------------------------------------------------------------ Arizona - 0.7% (0.4% of Total Investments) 3,120 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/12 at 100.00 AA- 3,012,110 Airport Revenue Bonds, Series 2002B, 5.250%, 7/01/32 - FGIC Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Arkansas - 0.3% (0.2% of Total Investments) 1,185 Arkansas Development Finance Authority, Single Family Mortgage 1/12 at 100.00 AAA 1,171,918 Revenue Bonds, GNMA Mortgage-Backed Securities Program, Series 2002C, 5.400%, 1/01/34 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ California - 12.6% (7.9% of Total Investments) 9,000 California County Tobacco Securitization Agency, Tobacco Settlement 12/18 at 100.00 Baa3 6,584,760 Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 0.000%, 6/01/36 (Mandatory put 6/01/11) 6,000 California Educational Facilities Authority, Revenue Bonds, 6/11 at 101.00 AAA 6,168,240 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+ 11,498,704 1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 809,310 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 5,000 Golden State Tobacco Securitization Corporation, California, Tobacco 6/13 at 100.00 AAA 5,760,950 Settlement Asset-Backed Bonds, Series 2003A-1, 6.750%, 6/01/39 (Pre-refunded 6/01/13) 20,000 Golden State Tobacco Securitization Corporation, California, Tobacco 6/15 at 100.00 AAA 18,968,000 Settlement Asset-Backed Revenue Bonds, Series 2005A, 5.000%, 6/01/45 - FGIC Insured (UB) 6,000 Los Angeles Regional Airports Improvement Corporation, California, 12/12 at 102.00 B 5,740,200 Sublease Revenue Bonds, Los Angeles International Airport, American Airlines Inc. Terminal 4 Project, Series 2002C, 7.500%, 12/01/24 (Alternative Minimum Tax) 120 Yuba County Water Agency, California, Yuba River Development Revenue 9/08 at 100.00 Baa3 119,340 Bonds, Pacific Gas and Electric Company, Series 1966A, 4.000%, 3/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ 58,320 Total California 55,649,504 - ------------------------------------------------------------------------------------------------------------------------------------ Colorado - 9.0% (5.7% of Total Investments) 2,625 Colorado Educational and Cultural Facilities Authority, Charter 8/11 at 100.00 AAA 2,968,219 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: 5,365 5.000%, 11/15/23 - FGIC Insured (UB) 11/16 at 100.00 A1 5,390,806 3,300 5.000%, 11/15/24 - FGIC Insured (UB) 11/16 at 100.00 A1 3,300,792 4,335 5.000%, 11/15/25 - FGIC Insured (UB) 11/16 at 100.00 A1 4,314,929
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Colorado (continued) $ 10,000 E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, 9/10 at 31.42 AAA $ 2,951,600 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 1,308,698 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 787,359 Bonds, Series 2004, 5.000%,12/15/22 - FSA Insured 5,000 Northwest Parkway Public Highway Authority, Colorado, Revenue Bonds, 6/11 at 102.00 AAA 5,408,350 Senior Series 2001A, 5.250%, 6/15/41 (Pre-refunded 6/15/11) - FSA Insured Northwest Parkway Public Highway Authority, Colorado, Senior Lien Revenue Bonds, Series 2001B: 22,000 0.000%, 6/15/28 (Pre-refunded 6/15/11) - FSA Insured 6/11 at 35.65 AAA 7,037,140 17,650 0.000%, 6/15/29 (Pre-refunded 6/15/11) - AMBAC Insured 6/11 at 33.45 AAA 5,376,720 1,000 Plaza Metropolitan District 1, Lakewood, Colorado, Tax Increment 6/14 at 101.00 N/R 1,056,280 Revenue Bonds, Series 2003, 8.000%, 12/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ 73,310 Total Colorado 39,900,893 - ------------------------------------------------------------------------------------------------------------------------------------ District of Columbia - 1.3% (0.8% of Total Investments) 985 District of Columbia Tobacco Settlement Corporation, Tobacco 5/11 at 101.00 BBB 994,042 Settlement Asset-Backed Bonds, Series 2001, 6.250%, 5/15/24 5,000 Washington Convention Center Authority, District of Columbia, Senior 10/16 at 100.00 AAA 4,710,050 Lien Dedicated Tax Revenue Bonds, Series 2007A, 4.500%, 10/01/30 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 5,985 Total District of Columbia 5,704,092 - ------------------------------------------------------------------------------------------------------------------------------------ Florida - 5.1% (3.2% of Total Investments) 15,000 Jacksonville, Florida, Transportation Revenue Bonds, Series 2001, 10/11 at 100.00 AAA 15,403,500 5.250%, 10/01/29 - MBIA Insured 4,000 Miami-Dade County Health Facility Authority, Florida, Hospital 8/11 at 101.00 AAA 4,327,480 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 A2 2,945,850 International Airport, Series 2002, 5.375%, 10/01/32 - FGIC Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 22,000 Total Florida 22,676,830 - ------------------------------------------------------------------------------------------------------------------------------------ Hawaii - 2.4% (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 3,232,200 6,725 5.250%, 7/01/31 (Pre-refunded 7/01/11) - FSA Insured 7/11 at 100.00 AAA 7,245,515 - ------------------------------------------------------------------------------------------------------------------------------------ 9,725 Total Hawaii 10,477,715 - ------------------------------------------------------------------------------------------------------------------------------------ Illinois - 12.2% (7.7% of Total Investments) 3,590 Chicago, Illinois, FHA/GNMA Collateralized Multifamily Housing 12/11 at 100.00 A+ 3,615,417 Revenue Bonds, Stone Terrace Apartments, Series 2001A, 5.750%, 12/20/42 (Alternative Minimum Tax) 970 Chicago, Illinois, FNMA/GNMA Collateralized Single Family Mortgage 4/11 at 105.00 AAA 996,714 Revenue Bonds, Series 2001A, 6.250%, 10/01/32 (Alternative Minimum Tax) 3,985 Chicago, Illinois, General Obligation Bonds, Series 2001A, 5.250%, 1/11 at 101.00 AAA 4,064,541 1/01/33 - MBIA Insured 11,285 Chicago, Illinois, General Obligation Bonds, Series 2001A, 5.250%, 1/11 at 101.00 AAA 12,151,801 1/01/33 (Pre-refunded 1/01/11) - MBIA Insured 3,180 Illinois Development Finance Authority, Revenue Bonds, Chicago 12/12 at 100.00 BBB(4) 3,618,904 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 928,236 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 4,451,229 Wesleyan University, Series 2001, 5.500%, 9/01/32 (Pre-refunded 9/01/11) - AMBAC Insured
----- 63 ----- NXZ | Nuveen Dividend Advantage Municipal Fund 2 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois (continued) $ 3,100 Illinois Development Finance Authority, Revenue Bonds, Midwestern 5/11 at 101.00 AAA $ 3,425,810 University, Series 2001B, 6.000%, 5/15/31 (Pre-refunded 5/15/11) 3,150 Illinois Finance Authority, Revenue Bonds, Palos Community Hospital, 5/17 at 100.00 AAA 3,140,361 Series 2007A, Residuals 07-1028, 4.470%, 5/15/32 - MBIA Insured (IF) 5,000 Illinois Health Facilities Authority, Revenue Bonds, Edward Hospital 2/11 at 101.00 AAA 5,386,800 Obligated Group, Series 2001B, 5.250%, 2/15/34 (Pre-refunded 2/15/11) - FSA Insured 2,500 Illinois Housing Development Authority, Homeowner Mortgage Revenue 2/16 at 100.00 AA 2,413,250 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 2,439,642 4,980 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/08 at 100.00 AAA 4,987,022 Refunding Bonds, McCormick Place Expansion Project, Series 1996A, 5.250%, 6/15/27 - AMBAC Insured 986 Montgomery, Illinois, Lakewood Creek Project Special Assessment 3/16 at 100.00 AA 896,629 Bonds, Series 2007, 4.700%, 3/01/30 - RAAI Insured 3,360 Northfield Township High School District 225, Cook County, Illinois, 12/16 at 69.01 AAA 1,361,774 Glenbrook, General Obligation School Bonds, Series 2007B, 0.000%, 12/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ 53,361 Total Illinois 53,878,130 - ------------------------------------------------------------------------------------------------------------------------------------ Indiana - 3.4% (2.1% of Total Investments) 2,000 Indiana Health Facility Financing Authority, Hospital Revenue Bonds, 9/11 at 100.00 BBB+ 1,774,260 Methodist Hospitals Inc., Series 2001, 5.500%, 9/15/31 2,500 Indiana Health Facility Financing Authority, Hospital Revenue No Opt. Call AAA 2,862,075 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 4,173,680 Series 2003A, 5.000%, 6/01/23 - FSA Insured 6,100 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/09 at 102.00 BBB 6,103,111 Madison Center Inc., Series 1999, 5.800%, 2/15/24 - ------------------------------------------------------------------------------------------------------------------------------------ 14,600 Total Indiana 14,913,126 - ------------------------------------------------------------------------------------------------------------------------------------ Iowa - 0.3% (0.2% of Total Investments) 1,000 Iowa Higher Education Loan Authority, Private College Facility 10/12 at 100.00 N/R(4) 1,102,510 Revenue Bonds, Wartburg College, Series 2002, 5.500%, 10/01/28 (Pre-refunded 10/01/12) - ACA Insured - ------------------------------------------------------------------------------------------------------------------------------------ Kansas - 3.9% (2.5% of Total Investments) 17,000 Wichita, Kansas, Hospital Facilities Revenue Refunding and 11/11 at 101.00 A+ 17,343,570 Improvement Bonds, Via Christi Health System Inc., Series 2001-III, 5.625%, 11/15/31 - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana - 4.9% (3.1% of Total Investments) 3,960 Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series 2006, 5/16 at 100.00 AA- 3,751,744 4.500%, 5/01/41 - FGIC Insured (UB) 18,825 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 17,812,968 Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39 - ------------------------------------------------------------------------------------------------------------------------------------ 22,785 Total Louisiana 21,564,712 - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts - 3.5% (2.2% of Total Investments) 15,585 Massachusetts Turnpike Authority, Metropolitan Highway System 7/08 at 101.00 AAA 15,595,130 Revenue Bonds, Senior Series1997A, 5.000%, 1/01/37 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ Michigan - 15.0% (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 A(4) 21,876,200 15,390 5.250%, 7/01/33 (Pre-refunded 7/01/11) - FGIC Insured 7/11 at 100.00 A+(4) 16,532,554 14,610 5.250%, 7/01/33 (Pre-refunded 7/01/11) - FGIC Insured 7/11 at 100.00 A+(4) 15,736,139
- ----- 64 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Michigan (continued) $ 4,000 Michigan Municipal Bond Authority, Public School Academy Revenue 10/09 at 102.00 Ba1 $ 4,110,280 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 Bonds, 8/08 at 101.00 BB- 1,876,820 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 8/08 at 100.00 BB- 2,001,660 4,000 6.500%, 8/15/18 8/08 at 100.00 BB- 4,001,480 - ------------------------------------------------------------------------------------------------------------------------------------ 62,000 Total Michigan 66,135,133 - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota - 3.4% (2.1% of Total Investments) 14,000 Minneapolis-St. Paul Metropolitan Airports Commission, Minnesota, 1/11 at 100.00 AAA 14,944,720 Airport Revenue Bonds, Series 2001A, 5.250%, 1/01/32 (Pre-refunded 1/01/11) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ Missouri - 5.1% (3.2% of Total Investments) 21,000 Missouri Health and Educational Facilities Authority, Revenue Bonds, 6/11 at 101.00 AAA 22,743,420 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) 2,490 Montana Board of Housing, Single Family Program Bonds, Series 12/10 at 100.00 AA+ 2,496,499 2001A-2, 5.700%, 6/01/32 (Alternative Minimum Tax) - ----------------------------------------------------------------------------------------------------------------------------------- Nevada - 6.3% (4.0% of Total Investments) 12,275 Director of Nevada State Department of Business and Industry, Revenue 1/10 at 100.00 AAA 9,807,725 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, Revenue 1/10 at 102.00 N/R 1,115,975 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) 2,365,533 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 A2 7,790,400 Catholic Healthcare West, Series 2007B, 5.250%, 7/01/31 (UB) 7,000 Reno, Nevada, Health Facility Revenue Bonds, Catholic Healthcare 7/17 at 100.00 A2 6,816,460 West, Series 2007A, 5.250%, 7/01/31 (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 33,105 Total Nevada 27,896,093 - ------------------------------------------------------------------------------------------------------------------------------------ New Hampshire - 2.1% (1.3% of Total Investments) 8,000 New Hampshire Business Finance Authority, Pollution Control 10/08 at 102.00 Baa1 8,095,600 Remarketed Revenue Refunding Bonds, Connecticut Light and Power Company, Series 1992A, 5.850%, 12/01/22 1,210 New Hampshire Housing Finance Authority, Single Family Mortgage 5/11 at 100.00 Aa2 1,237,116 Acquisition Bonds, Series 2001A, 5.700%, 1/01/31 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 9,210 Total New Hampshire 9,332,716 - ------------------------------------------------------------------------------------------------------------------------------------ New Jersey - 2.4% (1.5% of Total Investments) 3,995 New Jersey Economic Development Authority, Special Facilities 11/10 at 101.00 B 3,663,974 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 450,250 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 2,470,908 425 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 494,853 3,085 6.250%, 6/01/43 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 3,520,201 - ------------------------------------------------------------------------------------------------------------------------------------ 10,120 Total New Jersey 10,600,186 - ------------------------------------------------------------------------------------------------------------------------------------
----- 65 ----- NXZ | Nuveen Dividend Advantage Municipal Fund 2 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ New Mexico - 5.6% (3.6% 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) $ 13,114,440 10,800 5.500%, 8/01/30 (Pre-refunded 8/01/11) 8/11 at 101.00 AA-(4) 11,802,996 - ------------------------------------------------------------------------------------------------------------------------------------ 22,800 Total New Mexico 24,917,436 - ------------------------------------------------------------------------------------------------------------------------------------ New York - 9.4% (6.0% of Total Investments) 1,300 Dormitory Authority of the State of New York, Revenue Bonds, Mount 7/10 at 101.00 Baa1 1,353,391 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) 3,946,032 Sinai NYU Health Obligated Group, Series 2000A, 6.625%, 7/01/19 (Pre-refunded 7/01/10) 6,000 Long Island Power Authority, New York, Electric System General 5/11 at 100.00 AAA 6,477,600 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 12,557,440 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 5,151,550 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 and 6/11 at 101.00 AA+ 12,229,080 Sewerage System Revenue Bonds, Fiscal Series 2001C, 5.125%, 6/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 40,700 Total New York 41,715,093 - ------------------------------------------------------------------------------------------------------------------------------------ North Carolina - 1.7% (1.1% of Total Investments) 2,950 North Carolina Capital Facilities Financing Agency, Revenue Bonds, 4/13 at 100.00 A- 2,876,014 Johnson and Wales University, Series 2003A, 5.000%, 4/01/33 - XLCA Insured 4,500 North Carolina Eastern Municipal Power Agency, Power System Revenue 1/09 at 102.00 Baa1 4,623,570 Refunding Bonds, Series 1999B, 5.600%, 1/01/15 - ------------------------------------------------------------------------------------------------------------------------------------ 7,450 Total North Carolina 7,499,584 - ------------------------------------------------------------------------------------------------------------------------------------ North Dakota - 0.4% (0.3% of Total Investments) 1,880 North Dakota Housing Finance Agency, Home Mortgage Finance Program 7/10 at 100.00 Aa1 1,935,328 Refunding Bonds, Series 2001A, 5.550%, 1/01/32 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Ohio - 0.2% (0.1% of Total Investments) 1,000 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco 6/17 at 100.00 BBB 884,920 Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2, 5.875%, 6/01/47 - ------------------------------------------------------------------------------------------------------------------------------------ Oklahoma - 0.9% (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 2,768,873 1,000 5.200%, 8/15/11 (Pre-refunded 8/15/09) 8/09 at 101.00 AAA 1,043,830 - ------------------------------------------------------------------------------------------------------------------------------------ 3,655 Total Oklahoma 3,812,703 - ------------------------------------------------------------------------------------------------------------------------------------ Oregon - 3.9% (2.5% of Total Investments) 8,000 Clackamas County Hospital Facility Authority, Oregon, Revenue 5/11 at 101.00 AA- 8,194,000 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 9,169,740 Participation, Series 2001D, 5.000%, 5/01/26 - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 17,000 Total Oregon 17,363,740 - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania - 3.5% (2.2% of Total Investments) 5,000 Allegheny County Hospital Development Authority, Pennsylvania, 11/10 at 102.00 AAA 5,885,100 Revenue Bonds, West Penn Allegheny Health System, Series 2000B, 9.250%, 11/15/30 (Pre-refunded 11/15/10)
- ----- 66 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania (continued) $ 1,155 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- $ 1,172,441 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 AA- 8,486,640 Bonds, UPMC Health System, Series 2001A, 6.000%, 1/15/31 - ------------------------------------------------------------------------------------------------------------------------------------ 14,155 Total Pennsylvania 15,544,181 - ------------------------------------------------------------------------------------------------------------------------------------ Texas - 25.3% (16.0% of Total Investments) 7,500 Austin, Texas, Electric Utility System Revenue Refunding Bonds, 11/10 at 100.00 AAA 7,563,900 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 15,144,450 1,750 5.200%, 1/15/31 - FSA Insured 1/09 at 100.00 AAA 1,765,995 6,000 Decatur Hospital Authority, Texas, Revenue Bonds, Wise Regional 9/14 at 100.00 N/R 6,149,340 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 10,719,200 Disposal Revenue Bonds, Citgo Petroleum Corporation Project, Series 1998, 8.000%, 4/01/28 (Alternative Minimum Tax) 30,980 Harris County-Houston Sports Authority, Texas, Junior Lien Revenue 11/11 at 100.00 AAA 31,126,223 Refunding Bonds, Series 2001B, 5.250%, 11/15/40 - MBIA Insured 40,000 Harris County-Houston Sports Authority, Texas, Senior Lien Revenue 11/30 at 54.04 AAA 5,470,000 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 4,192,994 12,940 0.000%, 8/15/26 (Pre-refunded 8/15/11) 8/11 at 40.60 AAA 4,761,920 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 1,431,100 5,540 0.000%, 9/01/31 - AMBAC Insured No Opt. Call AAA 1,495,855 5,000 Metro Health Facilities Development Corporation, Texas, Hospital 1/11 at 100.00 Ba3 5,059,850 Revenue Bonds, Wilson N. Jones Memorial Hospital, Series 2001, 7.250%, 1/01/31 4,390 Tarrant County, Texas, Cultural & Educational Facilities Financing 2/17 at 100.00 AA- 4,194,645 Corporation, Revenue Bonds, Series 2007, Residuals 1760-3, 9.810%, 2/15/36 (IF) 10,500 Texas, General Obligation Bonds, Water Financial Assistance 8/11 at 100.00 Aa1 10,754,835 Program, Series 2001, 5.250%, 8/01/35 2,000 Tom Green County Health Facilities Development Corporation, Texas, 5/11 at 101.00 Baa3 2,088,900 Hospital Revenue Bonds, Shannon Health System Project, Series 2001, 6.750%, 5/15/21 - ------------------------------------------------------------------------------------------------------------------------------------ 167,315 Total Texas 111,919,207 - ------------------------------------------------------------------------------------------------------------------------------------ Virginia - 0.3% (0.2% of Total Investments) 5,000 Pocahontas Parkway Association, Virginia, Senior Lien Revenue 8/08 at 23.55 AAA 1,170,950 Bonds, Route 895 Connector Toll Road, Series 1998B, 0.000%, 8/15/33 (Pre-refunded 8/15/08) - ------------------------------------------------------------------------------------------------------------------------------------ Washington - 5.3% (3.3% 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 5,058,590 7,250 5.125%, 3/01/26 - FSA Insured 3/11 at 100.00 AAA 7,456,625 7,500 Washington State Healthcare Facilities Authority, Revenue Bonds, 10/11 at 100.00 AAA 7,825,800 Sisters of Providence Health System, Series 2001A, 5.250%, 10/01/21 - MBIA Insured 940 Washington State Tobacco Settlement Authority, Tobacco Settlement 6/13 at 100.00 BBB 959,044 Asset-Backed Revenue Bonds, Series 2002, 6.500%, 6/01/26
----- 67 ----- NXZ | Nuveen Dividend Advantage Municipal Fund 2 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Washington (continued) $ 2,100 Washington, Certificates of Participation, Washington Convention 7/09 at 100.00 AAA $ 2,147,397 and Trade Center, Series 1999, 5.125%, 7/01/13 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 22,610 Total Washington 23,447,456 - ------------------------------------------------------------------------------------------------------------------------------------ West Virginia - 1.1% (0.7% of Total Investments) 5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 4,895,100 Appalachian Power Company, Series 2003L, 5.500%, 10/01/22 - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin - 0.3% (0.2% of Total Investments) 1,000 Wisconsin Health and Educational Facilities Authority, Revenue 5/12 at 100.00 N/R(4) 1,150,741 Bonds, Divine Savior Healthcare, Series 2002A, 7.375%, 5/01/26 (Pre-refunded 5/01/12) - ------------------------------------------------------------------------------------------------------------------------------------ $ 783,121 Total Long-Term Investments (cost $667,204,065) - 158.1% 698,532,217 ============------------------------------------------------------------------------------------------------------------------------ Short-Term Investments - 0.5% (0.3% of Total Investments) $ 1,950 Louisiana State, Gasoline Tax Revenue Bonds, Series 2006, ROCS VMIG-1 1,950,000 660, Variable Rate Demand Obligations, 4.010%, 5/01/41 - FGIC Insured (5) ============------------------------------------------------------------------------------------------------------------------------ Total Short-Term Investments (cost $1,950,000) 1,950,000 --------------------------------------------------------------------------------------------------------------------- Total Investments (cost $669,154,065) - 158.6% 700,482,217 --------------------------------------------------------------------------------------------------------------------- Floating Rate Obligations - (10.7)% (47,171,650) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 2.4% 10,421,984 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (50.3)% (6) (222,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 441,732,551 =====================================================================================================================
(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 Group ("Standard & Poor's") or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by Standard & Poor's or Baa by Moody's are considered to be below investment grade. The Portfolio of Investments may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (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. (6) Preferred Shares, at Liquidation Value as a percentage of total investments is (31.7)%. N/R Not rated. (IF) Inverse floating rate investment. (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. - ----- 68 - ----- NZF | Nuveen Dividend Advantage Municipal Fund 3 | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Long-Term Municipal Bonds - 154.8% (99.4% of Total Investments) Alabama - 1.6% (1.0% of Total Investments) $ 3,500 Alabama Special Care Facilities Financing Authority, Revenue 11/16 at 100.00 Aa1 $ 3,457,965 Bonds, Ascension Health, Series 2006C-2, 5.000%, 11/15/36 5,655 Alabama State Port Authority, Revenue Bonds, State Docks 10/11 at 100.00 AAA 6,106,552 Department Facilities, Series 2001, 5.250%, 10/01/26 (Pre-refunded 10/01/11) - AMBAC Insured (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 9,155 Total Alabama 9,564,517 - ------------------------------------------------------------------------------------------------------------------------------------ Alaska - 0.8% (0.5% of Total Investments) 4,000 Alaska Student Loan Corporation, Student Loan Revenue Bonds, 7/08 at 100.00 AAA 4,019,000 Series 1998A, 5.250%, 7/01/14 (Pre-refunded 7/01/08) - AMBAC Insured (Alternative Minimum Tax) 1,000 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 781,350 Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 - ------------------------------------------------------------------------------------------------------------------------------------ 5,000 Total Alaska 4,800,350 - ------------------------------------------------------------------------------------------------------------------------------------ Arizona - 0.3% (0.2% of Total Investments) 2,200 Salt Verde Financial Corporation, Arizona, Senior Gas Revenue No Opt. Call AA- 1,975,161 Bonds, Series 2007, 5.000%, 12/01/37 - ------------------------------------------------------------------------------------------------------------------------------------ Arkansas - 0.7% (0.4% 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 Baa3 1,872,615 1,900 5.500%, 11/01/14 11/11 at 101.00 Baa3 1,960,268 - ------------------------------------------------------------------------------------------------------------------------------------ 3,705 Total Arkansas 3,832,883 - ------------------------------------------------------------------------------------------------------------------------------------ California - 13.9% (8.9% 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 830,846 140 5.000%, 3/01/33 3/13 at 100.00 A 132,016 2,900 California Health Facilities Financing Authority, Revenue Bonds, 11/16 at 100.00 AA- 2,830,052 Sutter Health, Series 2007A, 5.000%, 11/15/42 10,000 California Infrastructure Economic Development Bank, First Lien 1/28 at 100.00 AAA 10,681,400 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+ 5,074,300 Bonds, Kaiser Hospital Assistance LLC, Series 2001A, 5.550%, 8/01/31 18,850 California, General Obligation Veterans Welfare Bonds, Series 6/08 at 100.00 AAA 18,854,145 2001BZ, 5.350%, 12/01/21 - MBIA Insured (Alternative Minimum Tax) 11,865 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 9,602,463 Enhanced Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47
----- 69 ----- NZF | Nuveen Dividend Advantage Municipal Fund 3 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ California (continued) 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 $ 14,428,354 5,000 5.375%, 1/01/21 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 5,046,750 1,500 5.250%, 1/01/23 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 1,503,855 10,000 5.500%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 1/12 at 100.00 AAA 10,032,100 10,000 San Joaquin Hills Transportation Corridor Agency, Orange County, No Opt. Call AAA 2,009,200 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 935,850 Obligation Bonds, Series 2006C, 0.000%, 9/01/30 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 93,065 Total California 81,961,331 - ------------------------------------------------------------------------------------------------------------------------------------ Colorado - 6.7% (4.3% of Total Investments) 2,250 Canterberry Crossing Metropolitan District II, Parker, Colorado, 12/12 at 100.00 N/R 2,303,145 Limited Tax General Obligation Bonds, Series 2002, 7.375%, 12/01/32 1,575 Colorado Educational and Cultural Facilities Authority, Charter 3/13 at 100.00 N/R(4) 1,830,276 School Revenue Bonds, Belle Creek Education Center, Series 2002A, 7.625%, 3/15/32 (Pre-refunded 3/15/13) 3,200 Colorado Educational and Cultural Facilities Authority, Charter 3/10 at 102.00 N/R(4) 3,514,944 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) 2,006,229 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 3,142,839 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 3,386,084 Class I, Series 2001A-1, 5.500%, 4/01/31 (Alternative Minimum Tax) 5,000 Compark Business Campus Metropolitan District, Colorado, General 12/17 at 100.00 AA 5,047,700 Obligation Limited Tax Bonds, Series 2007, 5.600%, 12/01/34 - RAAI Insured 2,000 Denver City and County, Colorado, Airport System Revenue Refunding 11/11 at 100.00 A+ 2,035,020 Bonds, Series 2001A, 5.500%, 11/15/16 - FGIC Insured (Alternative Minimum Tax) 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 A1 5,390,806 3,300 5.000%, 11/15/24 - FGIC Insured (UB) 11/16 at 100.00 A1 3,300,792 4,335 5.000%, 11/15/25 - FGIC Insured (UB) 11/16 at 100.00 A1 4,314,929 2,000 Maher Ranch Metropolitan District 4, Colorado, General Obligation 12/17 at 100.00 AA 1,919,920 Limited Tax Bonds, Series 2007, 5.250%, 12/01/36 - RAAI Insured 1,000 Plaza Metropolitan District 1, Lakewood, Colorado, Tax Increment 6/14 at 101.00 N/R 1,056,280 Revenue Bonds, Series 2003, 8.000%, 12/01/25 - ------------------------------------------------------------------------------------------------------------------------------------ 38,740 Total Colorado 39,248,964 - ------------------------------------------------------------------------------------------------------------------------------------ Delaware - 0.3% (0.2% of Total Investments) 1,700 Delaware Housing Authority, Multifamily Mortgage Revenue Bonds, 7/12 at 100.00 Aa3 1,744,795 Series 2001A, 5.400%, 7/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ District of Columbia - 0.9% (0.6% of Total Investments) 1,375 District of Columbia, Revenue Bonds, Catholic University of 10/09 at 101.00 AAA 1,417,900 America, Series 1999, 5.625%, 10/01/29 - AMBAC Insured 1,335 Washington Convention Center Authority, District of Columbia, 10/16 at 100.00 AAA 1,102,817 Senior Lien Dedicated Tax Revenue Bonds, Series 2007, Residuals 1606, 8.033%, 10/01/30 - AMBAC Insured (IF) 3,335 Washington DC Convention Center Authority, Dedicated Tax Revenue 10/16 at 100.00 AAA 2,754,977 Bonds, Residual Series 1730, 1731, 1736, 5.233%, 10/01/30 - AMBAC Insured (IF) - ------------------------------------------------------------------------------------------------------------------------------------ 6,045 Total District of Columbia 5,275,694 - ------------------------------------------------------------------------------------------------------------------------------------
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Florida - 2.3% (1.6% of Total Investments) 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 $ 1,093,077 2,195 5.450%, 12/01/41 - FSA Insured 12/11 at 100.00 AAA 2,145,283 4,175 Pace Property Finance Authority Inc., Florida, Utility System 9/08 at 101.00 AAA 4,266,224 Improvement and Revenue Refunding Bonds, Series 1997, 5.250%, 9/01/17 - AMBAC Insured 5,455 South Miami Health Facilities Authority, Florida, Hospital 8/17 at 100.00 AA- 5,323,480 Revenue, Baptist Health System Obligation Group, Series 2007, 5.000%, 8/15/42 1,000 Tolomato Community Development District, Florida, Special 5/18 at 100.00 N/R 978,620 Assessment Bonds, Series 2007, 6.650%, 5/01/40 - ------------------------------------------------------------------------------------------------------------------------------------ 13,930 Total Florida 13,806,684 - ------------------------------------------------------------------------------------------------------------------------------------ Georgia - 2.4% (1.6% of Total Investments) 5,000 Atlanta, Georgia, Airport General Revenue Bonds, Series 2000B, 1/10 at 101.00 A+ 5,023,400 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 AAA 3,193,182 Series 2001, 7.900%, 12/01/24 (Pre-refunded 12/01/11) 2,000 Fulton County Residential Care Facilities Authority, Georgia, 7/17 at 100.00 N/R 1,514,100 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-(4) 4,006,999 Anticipation Certificates, Northeast Georgia Health Services Inc., Series 2001, 5.500%, 5/15/31 (Pre-refunded 5/15/11) 500 Gainesville Redevelopment Authority, Georgia, Educational 3/17 at 100.00 N/R 401,870 Facilities Revenue Bonds, Riverside Military Academy Project, Series 2007, 5.125%, 3/01/37 - ------------------------------------------------------------------------------------------------------------------------------------ 13,940 Total Georgia 14,139,551 - ------------------------------------------------------------------------------------------------------------------------------------ Illinois - 19.4% (12.4% of Total Investments) 16,000 Chicago Greater Metropolitan Water Area Sanitary District, 12/16 at 100.00 AAA 17,850,400 Illinois, General Obligation Bonds, Series 2006, 5.000%, 12/01/35 (UB) 8,375 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 2001A, 1/11 at 101.00 AAA 8,674,825 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 1,781,150 1/01/28 - FGIC Insured 4,950 Chicago, Illinois, Second Lien Passenger Facility Charge Revenue 1/11 at 101.00 AAA 4,900,550 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 1/11 at 100.00 AAA 5,361,400 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 2,475,167 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 10,751,700 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 A1 1,623,408 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 2,437,822 Local Government Program - Kankakee County, Series 2005B, 5.000%, 12/01/24 - AMBAC Insured 2,385 Illinois Finance Authority, Revenue Bonds, Sherman Health Systems, 8/17 at 100.00 A- 2,236,844 Series 2007A, 5.500%, 8/01/37 1,130 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/10 at 101.00 Baa3 1,156,781 Medical Center, Series 2000, 6.500%, 5/15/30 ----- 71 -----
NZF | Nuveen Dividend Advantage Municipal Fund 3 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Illinois (continued) $ 9,000 Illinois Health Facilities Authority, Revenue Bonds, Covenant 12/11 at 101.00 BBB $ 9,065,340 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) 16,480,350 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 2,528,350 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 7,139,580 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 17,244,760 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 2,208,440 Refunding Bonds, McCormick Place Expansion Project, Series 1998A, 5.500%, 6/15/29 - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 110,790 Total Illinois 113,916,867 - ------------------------------------------------------------------------------------------------------------------------------------ Indiana - 6.0% (3.8% 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 1,346,239 1,000 5.000%, 1/15/26 (Pre-refunded 1/15/12) - AMBAC Insured 1/12 at 100.00 AAA 1,072,700 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 2,197,760 2,750 5.125%, 1/15/24 (Pre-refunded 1/15/12) - MBIA Insured 1/12 at 100.00 AAA 2,961,943 1,250 Hamilton Southeastern Cumberland Campus School Building 1/12 at 100.00 AAA 1,346,338 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 9,849,790 University, Series 2001, 5.500%, 2/01/26 - MBIA Insured 4,230 Indiana Finance Authority, Educational Facilities Revenue Bonds, 6/15 at 100.00 Aa3 4,297,892 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 2,800,000 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 3,568,635 5.000%, 10/01/21 - AMBAC Insured Vigo County, Indiana, Hospital Authority, Union Hospital, Revenue Bonds, Series 2007: 2,500 5.750%, 9/01/42 9/17 at 100.00 N/R 2,189,350 2,500 5.800%, 9/01/47 9/17 at 100.00 N/R 2,175,850 1,090 Wayne County Jail Holding Corporation, Indiana, First Mortgage 1/13 at 101.00 AAA 1,216,865 Bonds, Series 2001, 5.500%, 7/15/22 (Pre-refunded 1/15/13) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 34,375 Total Indiana 35,023,362 - ------------------------------------------------------------------------------------------------------------------------------------ Iowa - 6.2% (4.0% of Total Investments) 2,000 Iowa Finance Authority, Healthcare Revenue Bonds, Great River 5/11 at 100.00 Aaa 2,022,320 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 29,906,518 3,950 5.600%, 6/01/35 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 4,300,168 - ------------------------------------------------------------------------------------------------------------------------------------ 33,950 Total Iowa 36,229,006 - ------------------------------------------------------------------------------------------------------------------------------------
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Kansas - 0.3% (0.2% of Total Investments) Manhattan Health Care Facility Revenue Bonds, Kansas, Meadowlarks Hills Retirement, Series 2007B: $ 1,000 5.125%, 5/15/37 5/14 at 103.00 N/R $ 825,360 1,000 5.125%, 5/15/42 5/14 at 103.00 N/R 814,140 - ------------------------------------------------------------------------------------------------------------------------------------ 2,000 Total Kansas 1,639,500 - ------------------------------------------------------------------------------------------------------------------------------------ Kentucky - 3.2% (2.1% of Total Investments) 18,500 Louisville and Jefferson County Metropolitan Sewer District, 11/11 at 101.00 AAA 19,001,718 Kentucky, Sewer and Drainage System Revenue Bonds, Series 2001A, 5.125%, 5/15/27 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ Louisiana - 4.6% (3.0% of Total Investments) 2,000 Greystone Community Development District, Louisiana, Special 12/14 at 100.00 N/R 1,998,920 Assessment Bonds, Livingston Parish, Series 2007, 6.750%, 12/01/22 3,000 Louisiana Local Government Environmental Facilities & Community 11/17 at 100.00 BB+ 2,955,870 Development Authority, Revenue Bonds, Westlake Chemical Corporation Project, Series 2007, 6.750%, 11/01/32 3,700 Louisiana Public Facilities Authority, Revenue Bonds, Ochsner 5/17 at 100.00 A3 3,554,960 Clinic Foundation Project, Series 2007A, 5.500%, 5/15/47 19,890 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 18,820,712 Settlement Asset-Backed Bonds, Series 2001B, 5.875%, 5/15/39 - ------------------------------------------------------------------------------------------------------------------------------------ 28,590 Total Louisiana 27,330,462 - ------------------------------------------------------------------------------------------------------------------------------------ Maine - 1.1% (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+ 4,641,809 1,610 5.500%, 11/15/32 (Alternative Minimum Tax) 11/10 at 100.00 AA+ 1,627,807 - ------------------------------------------------------------------------------------------------------------------------------------ 6,220 Total Maine 6,269,616 - ------------------------------------------------------------------------------------------------------------------------------------ Maryland - 2.5% (1.6% of Total Investments) 1,000 Howard County, Maryland, Retirement Community Revenue Bonds, 4/17 at 100.00 N/R 801,250 Vantage House, Series 2007B, 5.250%, 4/01/37 1,570 Maryland Community Development Administration, Insured Multifamily 7/11 at 100.00 Aa2 1,576,924 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 1,555,520 Chesapeake Bay Hyatt Conference Center, Series 2006A, 5.000%, 12/01/31 10,600 Maryland Energy Financing Administration, Revenue Bonds, AES 6/08 at 100.00 N/R 10,232,286 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+ 478,321 Revenue Bonds, Mercy Ridge Retirement Community, Series 2007, 4.750%, 7/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ 15,725 Total Maryland 14,644,301 - ------------------------------------------------------------------------------------------------------------------------------------ Massachusetts - 1.3% (0.9% of Total Investments) 1,375 Massachusetts Development Finance Agency, Revenue Bonds, Orchard 10/12 at 102.00 BB- 1,229,883 Cove, Series 2007, 5.250%, 10/01/26 1,000 Massachusetts Health and Educational Facilities Authority, Revenue 7/15 at 100.00 BBB- 904,650 Bonds, Milton Hospital Project, Series 2005D, 5.250%, 7/01/30 5,000 Massachusetts Port Authority, Special Facilities Revenue Bonds, 1/11 at 101.00 AAA 4,818,150 Delta Air Lines Inc., Series 2001A, 5.500%, 1/01/18 - AMBAC Insured (Alternative Minimum Tax) 1,155 Massachusetts Water Resources Authority, General Revenue Bonds, 2/17 at 100.00 AAA 909,978 Residual Trust 7039, 4.069%, 8/01/46 - FSA Insured (IF) - ------------------------------------------------------------------------------------------------------------------------------------ 8,530 Total Massachusetts 7,862,661 - ------------------------------------------------------------------------------------------------------------------------------------
----- 73 ----- NZF | Nuveen Dividend Advantage Municipal Fund 3 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Michigan - 9.8% (6.3% of Total Investments) $ 15,000 Detroit City School District, Wayne County, Michigan, Unlimited No Opt. Call AAA $ 17,503,350 Tax School Building and Site Improvement Bonds, Series 2001A, 6.000%, 5/01/29 - FSA Insured 2,000 Garden City Hospital Finance Authority, Michigan, Revenue Bonds, 8/17 at 100.00 N/R 1,539,180 Garden City Hospital Obligated Group, Series 2007A, 5.000%, 8/15/38 11,000 Kent Hospital Finance Authority, Michigan, Revenue Bonds, Spectrum 7/11 at 101.00 AA(4) 11,983,730 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 A+ 1,308,371 Program, Series 2001I, 5.500%, 10/15/18 1,355 Michigan State Hospital Finance Authority, Hospital Revenue Bonds, 8/08 at 101.00 Ba3 1,222,047 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 3,772,164 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) 1,533,812 2,500 5.625%, 11/15/31 (Pre-refunded 11/15/11) 11/11 at 101.00 A+(4) 2,749,375 3,500 Michigan State Hospital Finance Authority, Revenue Bonds, Trinity 12/16 at 100.00 AA 3,490,235 Health Care Group, Series 2006A, 5.000%, 12/01/31 12,640 Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue 11/11 at 100.00 AAA 12,794,208 Bonds, William Beaumont Hospital, Series 2001M, 5.250%, 11/15/31 - MBIA Insured - ------------------------------------------------------------------------------------------------------------------------------------ 54,115 Total Michigan 57,896,472 - ------------------------------------------------------------------------------------------------------------------------------------ Minnesota - 0.6% (0.4% of Total Investments) 2,290 Dakota County Community Development Agency, Minnesota, GNMA 10/11 at 105.00 Aaa 2,335,571 Collateralized Multifamily Housing Revenue Bonds, Rose Apartments Project, Series 2001, 6.350%, 10/20/37 (Alternative Minimum Tax) 1,375 Saint Paul Port Authority, Minnesota, Lease Revenue Bonds, Regions 8/16 at 100.00 N/R 1,117,944 Hospital Parking Ramp Project, Series 2007-1, 5.000%, 8/01/36 - ------------------------------------------------------------------------------------------------------------------------------------ 3,665 Total Minnesota 3,453,515 - ------------------------------------------------------------------------------------------------------------------------------------ Mississippi - 0.9% (0.6% of Total Investments) 2,155 Mississippi Business Finance Corporation, GNMA Collateralized 5/09 at 103.00 AAA 2,163,469 Retirement Facility Mortgage Revenue Refunding Bonds, Aldersgate Retirement Community Inc. Project, Series 1999A, 5.450%, 5/20/34 3,000 Mississippi Hospital Equipment and Facilities Authority, Revenue 9/14 at 100.00 AA 3,015,960 Bonds, Baptist Memorial Healthcare, Series 2004B-1, 5.000%, 9/01/24 - ------------------------------------------------------------------------------------------------------------------------------------ 5,155 Total Mississippi 5,179,429 - ------------------------------------------------------------------------------------------------------------------------------------ Missouri - 2.9% (1.9% of Total Investments) 1,495 Cape Girardeau County Industrial Development Authority, Missouri, 6/17 at 100.00 N/R 1,268,134 Health Facilities Revenue Bonds, Southeast Missouri Hospital Association, Series 2007, 5.000%, 6/01/36 1,000 Clinton County Industrial Development Authority, Missouri, Revenue 12/17 at 100.00 N/R 806,120 Bonds, Cameron Regional Medical Center, Series 2007, 5.000%, 12/01/32 1,825 Fenton, Missouri, Tax Increment Refunding and Improvement Revenue 10/12 at 100.00 N/R(4) 2,053,326 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 3,491,578 3,510 5.250%, 12/01/20 - MBIA Insured 12/11 at 100.00 AAA 3,674,795 3,695 5.250%, 12/01/21 - MBIA Insured 12/11 at 100.00 AAA 3,868,480 2,040 5.250%, 12/01/22 - MBIA Insured 12/11 at 100.00 AAA 2,129,189 - ------------------------------------------------------------------------------------------------------------------------------------ 16,900 Total Missouri 17,291,622 - ------------------------------------------------------------------------------------------------------------------------------------
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Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Montana - 0.8% (0.5% of Total Investments) $ 5,000 Montana Board of Investments, Exempt Facility Revenue Bonds, 7/10 at 101.00 B+ $ 4,838,150 Stillwater Mining Company, Series 2000, 8.000%, 7/01/20 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ Nebraska - 1.7% (1.1% of Total Investments) Nebraska Investment Finance Authority, Single Family Housing Revenue Bonds, Series 2001D: 2,245 5.250%, 9/01/21 (Alternative Minimum Tax) 9/11 at 100.00 AAA 2,267,719 3,015 5.375%, 9/01/32 (Alternative Minimum Tax) 9/11 at 100.00 AAA 3,047,291 4,490 Omaha Public Power District, Nebraska, Separate Electric System 2/17 at 100.00 AAA 4,444,247 Revenue Bonds, Nebraska City 2, Series 2006A, 5.000%, 2/01/49 - AMBAC Insured (UB) - ------------------------------------------------------------------------------------------------------------------------------------ 9,750 Total Nebraska 9,759,257 - ------------------------------------------------------------------------------------------------------------------------------------ Nevada - 1.3% (0.8% of Total Investments) 2,000 Director of Nevada State Department of Business and Industry, 1/10 at 100.00 AAA 1,598,000 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 1,275,400 Revenue Bonds, Las Vegas Monorail Project, Second Tier, Series 2000, 7.375%, 1/01/40 200 Nevada Housing Division, Single Family Mortgage Bonds, Senior 10/08 at 101.50 Aaa 201,866 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 AA-(4) 4,636,031 Series 2001A, 5.250%, 7/01/26 (Pre-refunded 1/01/12) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 10,490 Total Nevada 7,711,297 - ------------------------------------------------------------------------------------------------------------------------------------ New Hampshire - 0.4% (0.2% of Total Investments) 2,000 New Hampshire Health and Education Authority, Hospital Revenue 10/11 at 101.00 Aaa 2,126,240 Bonds, Concord Hospital, Series 2001, 5.500%, 10/01/21 - FSA Insured - ------------------------------------------------------------------------------------------------------------------------------------ New Jersey - 3.9% (2.5% of Total Investments) 10,000 New Jersey Economic Development Authority, Water Facilities 11/12 at 101.00 Aaa 9,731,300 Revenue Bonds, American Water Company, Series 2002A, 5.250%, 11/01/32 - AMBAC Insured (Alternative Minimum Tax) 115 New Jersey Health Care Facilities Financing Authority, Revenue 7/13 at 100.00 Ba2 96,064 Bonds, Somerset Medical Center, Series 2003, 5.500%, 7/01/33 4,125 New Jersey Transit Corporation, Certificates of Participation, No Opt. Call AAA 4,509,161 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 7,021,600 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 1,581,840 Settlement Asset-Backed Bonds, Series 2007-1A, 4.750%, 6/01/34 - ------------------------------------------------------------------------------------------------------------------------------------ 36,240 Total New Jersey 22,939,965 - ------------------------------------------------------------------------------------------------------------------------------------ New York - 3.9% (2.5% of Total Investments) 900 Albany Industrial Development Agency, New York, Revenue Bonds, 4/17 at 100.00 N/R 793,170 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 1,802,375 Bonds, Gates Senior Housing Inc., Series 2001, 5.300%, 4/20/31 220 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 175,736 Driver Trust 1649, 2006, 6.799%, 2/15/47 - MBIA Insured (IF) 4,360 Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, 2/17 at 100.00 AAA 4,067,488 Series 2006A, 4.500%, 2/15/47 - MBIA Insured (UB) 4,155 Monroe County Airport Authority, New York, Revenue Refunding No Opt. Call AAA 4,416,183 Bonds, Greater Rochester International Airport, Series 1999, 5.750%, 1/01/13 - MBIA Insured (Alternative Minimum Tax)
----- 75 ----- NZF | Nuveen Dividend Advantage Municipal Fund 3 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ New York (continued) $ 7,000 New York City Industrial Development Agency, New York, American 8/16 at 101.00 B $ 6,863,640 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 1,844,757 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 870,463 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- 2,087,400 Settlement Asset-Backed and State Contingency Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/16 - ------------------------------------------------------------------------------------------------------------------------------------ 22,915 Total New York 22,921,212 - ------------------------------------------------------------------------------------------------------------------------------------ North Carolina - 0.8% (0.5% of Total Investments) 1,200 Charlotte-Mecklenburg Hospital Authority, North Carolina, Health 1/17 at 100.00 AA- 1,191,852 Care System Revenue Bonds, Carolinas Health Care, Series 2007A, 5.000%, 1/15/31 1,750 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/15 at 100.00 AA-(4) 1,887,673 Healthcare System Revenue Bonds, DBA Carolinas Healthcare System, Series 2005A, 4.875%, 1/15/32 (Pre-refunded 1/15/15) 1,800 North Carolina Municipal Power Agency 1, Catawba Electric Revenue No Opt. Call A2 1,904,436 Bonds, Series 2003A, 5.500%, 1/01/13 - ------------------------------------------------------------------------------------------------------------------------------------ 4,750 Total North Carolina 4,983,961 - ------------------------------------------------------------------------------------------------------------------------------------ Ohio - 3.2% (2.0% of Total Investments) Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: 3,535 5.125%, 6/01/24 6/17 at 100.00 BBB 3,329,723 710 5.875%, 6/01/30 6/17 at 100.00 BBB 660,655 685 5.750%, 6/01/34 6/17 at 100.00 BBB 619,233 1,570 5.875%, 6/01/47 6/17 at 100.00 BBB 1,389,324 1,715 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 9/08 at 101.50 Aaa 1,724,776 Program Residential Mortgage Revenue Bonds, Series 1998A-1, 5.300%, 9/01/19 - FSA Insured (Alternative Minimum Tax) 7,200 Ohio Water Development Authority, Solid Waste Disposal Revenue 9/09 at 102.00 N/R 7,228,440 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 AA 1,931,130 1,775 5.000%, 12/01/23 - FGIC Insured 12/11 at 100.00 AA 1,819,251 - ------------------------------------------------------------------------------------------------------------------------------------ 19,060 Total Ohio 18,702,532 - ------------------------------------------------------------------------------------------------------------------------------------ Oklahoma - 2.6% (1.7% of Total Investments) Oklahoma Development Finance Authority, Revenue Bonds, Saint John Health System, Series 2007: 6,000 5.000%, 2/15/37 2/17 at 100.00 AA- 5,909,520 2,735 5.000%, 2/15/42 2/17 at 100.00 AA- 2,673,709 2,500 Oklahoma Development Finance Authority, Revenue Refunding Bonds, 8/09 at 101.00 AAA 2,623,000 Hillcrest Healthcare System, Series 1999A, 5.625%, 8/15/29 (Pre-refunded 8/15/09) 4,305 Tulsa County Industrial Authority, Oklahoma, Health Care Revenue 12/16 at 100.00 AA 4,246,667 Bonds, Saint Francis Health System, Series 2006, 5.000%, 12/15/36 - ------------------------------------------------------------------------------------------------------------------------------------ 15,540 Total Oklahoma 15,452,896 - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 76 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Oregon - 2.5% (1.6% of Total Investments) $ 4,700 Oregon Health, Housing, Educational and Cultural Facilities 11/11 at 101.00 AAA $ 4,839,355 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 10,043,300 Housing Revenue Bonds, Series 2000A, 6.050%, 7/01/42 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 14,700 Total Oregon 14,882,655 - ------------------------------------------------------------------------------------------------------------------------------------ Pennsylvania - 2.1% (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 (Pre-refunded 11/15/10) 11/10 at 102.00 AAA 2,354,040 2,000 9.250%, 11/15/30 (Pre-refunded 11/15/10) 11/10 at 102.00 AAA 2,354,040 500 Bucks County Industrial Development Authority, Pennsylvania, 3/17 at 100.00 BBB 416,010 Charter School Revenue Bonds, School Lane Charter School, Series 2007A, 5.000%, 3/15/37 3,500 Pennsylvania Economic Development Financing Authority, Senior 7/08 at 100.00 B+ 3,500,595 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 Aa3(4) 3,548,512 Bonds, Series 2002B, 5.625%, 8/01/16 (Pre-refunded 8/01/12) - FGIC Insured - ------------------------------------------------------------------------------------------------------------------------------------ 11,205 Total Pennsylvania 12,173,197 - ------------------------------------------------------------------------------------------------------------------------------------ Puerto Rico - 0.4% (0.3% of Total Investments) 2,500 Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue 8/17 at 100.00 A+ 2,505,225 Bonds, Series 2007A, 5.250%, 8/01/57 - ------------------------------------------------------------------------------------------------------------------------------------ South Carolina - 1.3% (0.8% of Total Investments) 6,850 South Carolina Transportation Infrastructure Bank, Revenue Bonds, 10/11 at 100.00 Aaa 7,466,432 Series 2001A, 5.500%, 10/01/22 (Pre-refunded 10/01/11) - AMBAC Insured - ------------------------------------------------------------------------------------------------------------------------------------ Tennessee - 1.9% (1.2% of Total Investments) 3,680 Knox County Health, Educational and Housing Facilities Board, 1/17 at 30.07 A- 495,917 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 5,499,103 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+ 247,038 Tennessee, Revenue Bonds, Wellmont Health System, Series 2006C, 5.250%, 9/01/36 Sumner County Health, Educational, and Housing Facilities Board, Tennessee, Revenue Refunding Bonds, Sumner Regional Health System Inc., Series 2007: 800 5.500%, 11/01/37 11/17 at 100.00 N/R 743,944 2,800 5.500%, 11/01/46 11/17 at 100.00 N/R 2,538,844 745 Tennessee Housing Development Agency, Homeownership Program 1/09 at 101.00 AA 746,825 Bonds, Series 1998-2, 5.350%, 7/01/23 (Alternative Minimum Tax) 760 Tennessee Housing Development Agency, Homeownership Program 7/11 at 100.00 AA 761,262 Bonds, Series 2001-3A, 5.200%, 7/01/22 (Alternative Minimum Tax) - ------------------------------------------------------------------------------------------------------------------------------------ 14,270 Total Tennessee 11,032,933 - ------------------------------------------------------------------------------------------------------------------------------------
----- 77 ----- NZF | Nuveen Dividend Advantage Municipal Fund 3 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Texas - 17.4% (11.2% of Total Investments) $ 5,445 Board of Regents, University of Texas System, Financing System 2/17 at 100.00 AAA $ 4,681,545 Revenue Bonds, Series 2006F, 4.250%, 8/15/36 (UB) 1,125 Brushy Creek Municipal Utility District, Williamson County, 6/09 at 100.00 Aaa 1,132,571 Texas, 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 AA- 1,954,541 2,005 5.000%, 2/15/21 - FGIC Insured 2/11 at 100.00 AA- 2,041,692 3,850 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 A+ 3,769,843 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 5,079,650 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 AAA 4,102,135 Series 2001, 5.000%, 8/15/27 6,000 Houston, Texas, Junior Lien Water and Sewerage System Revenue No Opt. Call AAA 6,773,700 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 A+ 7,046,830 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 A+ 2,605,497 2,905 5.500%, 7/01/14 - FGIC Insured (Alternative Minimum Tax) 1/12 at 100.00 A+ 2,985,236 4,735 Hutto Independent School District, Williamson County, Texas, 8/16 at 100.00 AAA 4,194,026 General Obligation Bonds, Series 2007, Residuals 07-1001, 8.867%, 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 8,663,285 8,500 5.500%, 8/15/41 - AMBAC Insured 8/11 at 100.00 AAA 8,688,105 10,700 Laredo Independent School District, Webb County, Texas, General 8/11 at 100.00 AAA 10,895,168 Obligation Refunding Bonds, Series 2001, 5.000%, 8/01/25 2,500 Matagorda County Navigation District 1, Texas, Collateralized No Opt. Call AAA 2,341,825 Revenue Refunding Bonds, Houston Light and Power Company, Series 1997, 5.125%, 11/01/28 - AMBAC Insured (Alternative Minimum Tax) 3,045 Port of Houston Authority, Harris County, Texas, General 10/11 at 100.00 AA+ 3,084,646 Obligation Port Improvement Bonds, Series 2001B, 5.500%, 10/01/17 - FGIC Insured (Alternative Minimum Tax) 7,300 Tarrant County Cultural & Educational Facilities Financing 2/17 at 100.00 AA- 7,191,595 Corporation, Texas, Revenue Bonds, Series 2007A, 5.000%, 2/15/36 10,485 Texas Department of Housing and Community Affairs, Residential 7/11 at 100.00 AAA 10,753,521 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 1,776,268 9,110 0.000%, 8/15/40 8/15 at 27.11 AAA 1,480,375 7,110 0.000%, 8/15/44 8/15 at 21.88 AAA 913,422 - ------------------------------------------------------------------------------------------------------------------------------------ 122,900 Total Texas 102,155,476 - ------------------------------------------------------------------------------------------------------------------------------------
- ----- 78 - -----
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Utah - 0.7% (0.4% of Total Investments) Utah Housing Corporation, Single Family Mortgage Bonds, Series 2001E: $ 1,315 5.200%, 1/01/18 (Alternative Minimum Tax) 7/11 at 100.00 AA- $ 1,355,607 315 5.500%, 1/01/23 (Alternative Minimum Tax) 7/11 at 100.00 Aaa 325,042 Utah Housing Corporation, Single Family Mortgage Bonds, Series 2001F-1: 1,765 4.950%, 7/01/18 (Alternative Minimum Tax) 7/11 at 100.00 AA- 1,794,476 420 5.300%, 7/01/23 (Alternative Minimum Tax) 7/11 at 100.00 Aaa 428,438 - ------------------------------------------------------------------------------------------------------------------------------------ 3,815 Total Utah 3,903,563 - ------------------------------------------------------------------------------------------------------------------------------------ Virginia - 1.1% (0.7% of Total Investments) 1,000 Chesterfield County Health Center Commission, Virginia, Mortgage 12/15 at 100.00 N/R 884,610 Revenue Bonds, Lucy Corr Village, Series 2005, 5.375%, 12/01/28 7,000 Pocahontas Parkway Association, Virginia, Senior Lien Revenue 8/08 at 77.58 AAA 5,399,870 Bonds, Route 895 Connector Toll Road, Series 1998B, 0.000%, 8/15/13 (Pre-refunded 8/15/08) - ------------------------------------------------------------------------------------------------------------------------------------ 8,000 Total Virginia 6,284,480 - ------------------------------------------------------------------------------------------------------------------------------------ Washington - 15.6% (10.0% 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 1,047,910 2,000 5.600%, 12/01/36 - MBIA Insured 12/11 at 100.00 Aaa 2,084,320 12,955 Port of Seattle, Washington, Passenger Facility Charge Revenue 12/08 at 101.00 AAA 13,113,958 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 Aa2 2,570,617 16,000 5.100%, 4/01/24 - FGIC Insured (Alternative Minimum Tax) 10/08 at 100.00 Aa2 15,491,040 2,090 Public Utility District 1, Benton County, Washington, Electric 11/11 at 100.00 AAA 2,263,742 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 5,961,160 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 4,869,977 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 4,037,167 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) 6,019,342 25,435 5.625%, 10/01/31 (Pre-refunded 10/01/11) - RAAI Insured 10/11 at 101.00 AA(4) 28,041,322 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 3,152,726 2,915 5.375%, 12/01/18 - AMBAC Insured 12/11 at 101.00 AAA 3,047,166 - ------------------------------------------------------------------------------------------------------------------------------------ 87,345 Total Washington 91,700,447 - ------------------------------------------------------------------------------------------------------------------------------------
----- 79 ----- NZF | Nuveen Dividend Advantage Municipal Fund 3 (continued) | Portfolio of INVESTMENTS April 30, 2008 (Unaudited)
Principal Optional Call Amount (000) Description (1) Provisions (2) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Wisconsin - 4.5% (2.9% 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 Baa3(4) $ 4,019,851 1,850 5.000%, 1/01/21 (Pre-refunded 1/01/12) - FGIC Insured 1/12 at 100.00 Baa3(4) 1,983,237 12,250 La Crosse, Wisconsin, Pollution Control Revenue Refunding Bonds, 12/08 at 102.00 Aaa 12,597,655 Dairyland Power Cooperative, Series 1997B, 5.550%, 2/01/15 - AMBAC Insured 1,000 Wisconsin Health and Educational Facilities Authority, Revenue 9/17 at 100.00 BBB+ 852,090 Bonds, Franciscan Sisters of Christian Charity HealthCare Ministry, Series 2007, 5.000%, 9/01/33 350 Wisconsin Health and Educational Facilities Authority, Revenue 10/11 at 101.00 AA- 359,034 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 AA-(4) 3,994,451 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+ 2,557,450 Bonds, Marshfield Clinic, Series 2001B, 6.000%, 2/15/25 50 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 A- 42,334 Bonds, Wheaton Franciscan Services Inc., Series 2003A, 5.125%, 8/15/33 - ------------------------------------------------------------------------------------------------------------------------------------ 25,355 Total Wisconsin 26,406,102 - ------------------------------------------------------------------------------------------------------------------------------------ $ 948,680 Total Long-Term Municipal Bonds (cost $899,612,942) 910,034,481 ============------------------------------------------------------------------------------------------------------------------------
Shares Description (1) Value - ------------------------------------------------------------------------------------------------------------------------------------ Investment Companies - 0.3% (0.2% of Total Investments) 28,699 BlackRock MuniHoldings Fund Inc. $ 423,884 26,880 Dreyfus Strategic Municipal Fund 235,738 27,920 PIMCO Municipal Income Fund II 392,276 42,020 Van Kampen Investment Grade Municipal Trust 590,801 19,260 Van Kampen Municipal Trust 284,663 - ------------------------------------------------------------------------------------------------------------------------------------ Total Investment Companies (cost $1,835,904) 1,927,362 --------------------------------------------------------------------------------------------------------------------- Total Long-Term Investments (cost $901,448,846) - 155.1% 911,961,843 ---------------------------------------------------------------------------------------------------------------------
Principal Amount (000) Description (1) Ratings (3) Value - ------------------------------------------------------------------------------------------------------------------------------------ Short-Term Investments - 0.7% (0.4% of Total Investments) $ 3,925 Municipal Electric Authority of Georgia, General Resolution Projects Subordinated Bonds, Series 2000B, Variable Rate Demand Obligations, 2.560%, 1/01/20 - MBIA Insured (5) A-1+ $ 3,925,000 ============------------------------------------------------------------------------------------------------------------------------ Total Short-Term Investments (cost $3,925,000) 3,925,000 --------------------------------------------------------------------------------------------------------------------- Total Investments (cost $905,373,846) - 155.8% 915,886,843 --------------------------------------------------------------------------------------------------------------------- Floating Rate Obligations - (6.3)% (36,896,650) --------------------------------------------------------------------------------------------------------------------- Other Assets Less Liabilities - 3.6% 20,823,747 --------------------------------------------------------------------------------------------------------------------- Preferred Shares, at Liquidation Value - (53.1)% (6) (312,000,000) --------------------------------------------------------------------------------------------------------------------- Net Assets Applicable to Common Shares - 100% $ 587,813,940 =====================================================================================================================
- ----- 80 - ----- Forward Swaps outstanding at April 30, 2008:
Fund Fixed Rate Unrealized Notional Pay/Receive Floating Rate Fixed Rate Payment Effective Termination Appreciation Counterparty Amount Floating Rate Index (Annualized) Frequency Date (7) Date (Depreciation) - ------------------------------------------------------------------------------------------------------------------------------------ JPMorgan $21,500,000 Pay SIFM 4.383% Quarterly 8/06/08 8/06/37 $2,067,687 UBS 15,000,000 Pay 3-Month USD-LIBOR 5.718 Semi-Annually 8/06/08 8/06/28 1,803,697 - ------------------------------------------------------------------------------------------------------------------------------------ $3,871,384 ====================================================================================================================================
USD-LIBOR (United States Dollar-London Inter-Bank Offered Rate). SIFM-Security Industry and Financial Markets Municipal Swap Index (previously referred to as the Bond Market Association Index or BMA). (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 Group ("Standard & Poor's") or Moody's Investor Service, Inc. ("Moody's") rating. Ratings below BBB by Standard & Poor's or Baa by Moody's are considered to be below investment grade. The Portfolio of Investments may reflect the ratings on certain bonds insured by AMBAC, FGIC, MBIA and XLCA as of April 30, 2008. Please see the Portfolio Managers' Commentary for an expanded discussion of the affect on the Fund of changes to the ratings of certain bonds in the portfolio resulting from changes to the ratings of the underlying insurers both during the period and after period end. (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. (6) Preferred Shares, at Liquidation Value as a percentage of total investments is (34.1)%. (7) 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. (ETM) Escrowed to maturity. (IF) Inverse floating rate investment. (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. ----- 81 ----- | Statement of | ASSETS & LIABILITIES April 30, 2008 (Unaudited)
Performance Municipal Market Dividend Dividend Dividend Plus Advantage Opportunity Advantage Advantage 2 Advantage 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------------------- Assets Investments, at value (cost $1,329,591,698, $1,005,444,418, $1,027,440,585, $867,869,922, $669,154,065 and $905,373,846, respectively) $ 1,373,594,153 $ 1,027,712,944 $ 1,052,593,656 $ 885,519,954 $ 700,482,217 $ 915,886,843 Cash 2,712,521 229,721 -- 4,146,187 1,431,511 5,346,624 Unrealized appreciation on forward swaps -- -- -- -- -- 3,871,384 Receivables: Dividends and interest 20,590,181 17,192,419 15,809,825 13,414,745 11,799,516 15,404,140 Investments sold 1,265,000 4,141,550 -- 395,000 540,000 244,320 Other assets 142,261 89,733 91,366 79,814 44,917 71,444 - ----------------------------------------------------------------------------------------------------------------------------------- Total assets 1,398,304,116 1,049,366,367 1,068,494,847 903,555,700 714,298,161 940,824,755 - ----------------------------------------------------------------------------------------------------------------------------------- Liabilities Cash overdraft -- -- 373,164 -- -- -- Floating rate obligations 30,750,000 60,124,983 37,495,000 42,875,000 47,171,650 36,896,650 Payable for investments purchased 3,324,861 1,957,500 -- 1,957,500 911,574 982,104 Accrued expenses: Management fees 672,396 491,613 512,676 358,096 253,057 302,880 Other 341,935 246,137 244,649 208,652 139,847 191,804 Common share dividends payable 2,912,191 2,301,696 2,337,540 2,372,856 2,045,665 2,475,612 Preferred share dividends payable 173,180 129,148 113,108 86,204 43,817 161,765 - ----------------------------------------------------------------------------------------------------------------------------------- Total liabilities 38,174,563 65,251,077 41,076,137 47,858,308 50,565,610 41,010,815 - ----------------------------------------------------------------------------------------------------------------------------------- Preferred shares, at liquidation value 479,000,000 358,000,000 380,000,000 295,000,000 222,000,000 312,000,000 - ----------------------------------------------------------------------------------------------------------------------------------- Net assets applicable to Common shares $ 881,129,553 $ 626,115,290 $ 647,418,710 $ 560,697,392 $ 441,732,551 $ 587,813,940 =================================================================================================================================== Common shares outstanding 59,914,073 43,214,524 45,557,788 39,287,298 29,406,279 40,378,174 =================================================================================================================================== Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding) $ 14.71 $ 14.49 $ 14.21 $ 14.27 $ 15.02 $ 14.56 =================================================================================================================================== Net assets applicable to Common shares consist of: - ----------------------------------------------------------------------------------------------------------------------------------- Common shares, $.01 par value per share $ 599,141 $ 432,145 $ 455,578 $ 392,873 $ 294,063 $ 403,782 Paid-in surplus 836,422,903 604,052,660 635,757,048 558,458,542 418,172,917 573,905,413 Undistributed (Over-distribution of) net investment income 409,037 910,696 (907,993) 173,660 (64,728) (736,623) Accumulated net realized gain (loss) from investments and derivative transactions (303,983) (1,548,737) (13,038,994) (15,977,715) (7,997,853) (143,013) Net unrealized appreciation (depreciation) of investments and derivative transactions 44,002,455 22,268,526 25,153,071 17,650,032 31,328,152 14,384,381 - ----------------------------------------------------------------------------------------------------------------------------------- Net assets applicable to Common shares $ 881,129,553 $ 626,115,290 $ 647,418,710 $ 560,697,392 $ 441,732,551 $ 587,813,940 =================================================================================================================================== Authorized shares: Common 200,000,000 200,000,000 200,000,000 Unlimited Unlimited Unlimited Preferred 1,000,000 1,000,000 1,000,000 Unlimited Unlimited Unlimited ===================================================================================================================================
See accompanying notes to financial statements. - ----- 82 - ----- | Statement of | OPERATIONS Six Months Ended April 30, 2008 (Unaudited)
Performance Municipal Market Dividend Dividend Dividend Plus Advantage Opportunity Advantage Advantage 2 Advantage 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ----------------------------------------------------------------------------------------------------------------------------------- Investment Income $ 35,858,282 $ 27,753,789 $ 27,866,072 $ 24,046,823 $ 18,839,529 $ 24,502,232 - ----------------------------------------------------------------------------------------------------------------------------------- Expenses Management fees 4,120,309 3,016,706 3,145,430 2,627,960 2,050,385 2,758,698 Preferred shares - auction fees 595,479 445,056 472,405 366,735 275,983 387,869 Preferred shares - dividend disbursing agent fees 24,838 24,802 19,838 14,890 14,877 14,918 Shareholders' servicing agent fees and expenses 67,512 41,856 44,088 5,948 2,486 3,261 Interest expense on floating rate obligations 109,789 690,460 533,906 461,845 465,856 479,283 Custodian's fees and expenses 145,609 62,639 99,954 83,801 68,738 97,041 Directors'/Trustees' fees and expenses 12,905 9,515 9,323 7,868 6,221 8,535 Professional fees 34,617 27,121 27,905 29,786 19,282 24,360 Shareholders' reports - printing and mailing expenses 66,901 52,133 52,784 41,236 30,601 41,694 Stock exchange listing fees 10,383 7,656 7,914 6,830 1,792 2,462 Investor relations expense 84,710 61,910 65,008 52,791 40,216 54,076 Other expenses 28,860 22,959 25,846 15,436 13,354 16,059 - ----------------------------------------------------------------------------------------------------------------------------------- Total expenses before custodian fee credit and expense reimbursement 5,301,912 4,462,813 4,504,401 3,715,126 2,989,791 3,888,256 Custodian fee credit (50,613) (59,319) (30,078) (60,635) (15,873) (48,323) Expense reimbursement -- -- -- (430,563) (640,650) (904,863) - ----------------------------------------------------------------------------------------------------------------------------------- Net expenses 5,251,299 4,403,494 4,474,323 3,223,928 2,333,268 2,935,070 - ----------------------------------------------------------------------------------------------------------------------------------- Net investment income 30,606,983 23,350,295 23,391,749 20,822,895 16,506,261 21,567,162 - ----------------------------------------------------------------------------------------------------------------------------------- Realized and Unrealized Gain (Loss) Net realized gain (loss) from investments (198,814) (1,500,609) 137,347 (1,532,932) (1,217,493) 215,587 Change in net unrealized appreciation (depreciation) of: Investments (32,051,804) (28,416,372) (28,354,695) (23,646,296) (13,959,698) (22,207,100) Forward swaps -- -- -- -- -- 2,399,265 - ----------------------------------------------------------------------------------------------------------------------------------- Net realized and unrealized gain (loss) (32,250,618) (29,916,981) (28,217,348) (25,179,228) (15,177,191) (19,592,248) - ----------------------------------------------------------------------------------------------------------------------------------- Distributions to Preferred Shareholders From net investment income (8,622,703) (6,138,283) (6,795,011) (5,343,935) (3,857,565) (5,563,964) From accumulated net realized gains -- (363,253) -- -- -- -- - ----------------------------------------------------------------------------------------------------------------------------------- Decrease in net assets applicable to Common shares from distributions to Preferred shareholders (8,622,703) (6,501,536) (6,795,011) (5,343,935) (3,857,565) (5,563,964) - ----------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from operations $ (10,266,338) $ (13,068,222) $ (11,620,610) $ (9,700,268) $ (2,528,495) $ (3,589,050) ===================================================================================================================================
See accompanying notes to financial statements. ----- 83 ----- | Statement of | CHANGES in NET ASSETS (Unaudited)
Performance Plus (NPP) Municipal Advantage (NMA) ------------------------------ ------------------------------ Six Months Year Six Months Year Ended Ended Ended Ended 4/30/08 10/31/07 4/30/08 10/31/07 - ----------------------------------------------------------------------------------------------------------------- Operations Net investment income $ 30,606,983 $ 59,081,814 $ 23,350,295 $ 46,092,114 Net realized gain (loss) from: Investments (198,814) (114,084) (1,500,609) 1,405,723 Forward swaps -- -- -- -- Futures -- -- -- -- Change in net unrealized appreciation (depreciation) of: Investments (32,051,804) (27,296,563) (28,416,372) (28,042,883) Forward swaps -- -- -- -- Futures -- -- -- -- Distributions to Preferred shareholders: From net investment income (8,622,703) (16,373,121) (6,138,283) (12,659,658) From accumulated net realized gains -- (858,202) (363,253) -- - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from operations (10,266,338) 14,439,844 (13,068,222) 6,795,296 - ----------------------------------------------------------------------------------------------------------------- Distributions to Common Shareholders From net investment income (20,670,365) (44,830,422) (16,594,376) (36,025,128) From accumulated net realized gains -- (2,765,395) (1,028,506) -- - ----------------------------------------------------------------------------------------------------------------- Decrease in net assets applicable to Common shares from distributions to Common shareholders (20,670,365) (47,595,817) (17,622,882) (36,025,128) - ----------------------------------------------------------------------------------------------------------------- Capital Share Transactions Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- -- -- 2,361,680 - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from capital share transactions -- -- -- 2,361,680 - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares (30,936,703) (33,155,973) (30,691,104) (26,868,152) Net assets applicable to Common shares at the beginning of period 912,066,256 945,222,229 656,806,394 683,674,546 - ----------------------------------------------------------------------------------------------------------------- Net assets applicable to Common shares at the end of period $ 881,129,553 $ 912,066,256 $ 626,115,290 $ 656,806,394 ================================================================================================================= Undistributed (Over-distribution of) net investment income at the end of period $ 409,037 $ (904,878) $ 910,696 $ 293,060 ================================================================================================================= Market Opportunity (NMO) ------------------------------ Six Months Year Ended Ended 4/30/08 10/31/07 - --------------------------------------------------------------------------------- Operations Net investment income $ 23,391,749 $ 47,185,988 Net realized gain (loss) from: Investments 137,347 (2,764,433) Forward swaps -- -- Futures -- -- Change in net unrealized appreciation (depreciation) of: Investments (28,354,695) (22,450,181) Forward swaps -- -- Futures -- -- Distributions to Preferred shareholders: From net investment income (6,795,011) (13,663,433) From accumulated net realized gains -- -- - --------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from operations (11,620,610) 8,307,941 - --------------------------------------------------------------------------------- Distributions to Common Shareholders From net investment income (16,537,481) (34,547,696) From accumulated net realized gains -- -- - --------------------------------------------------------------------------------- Decrease in net assets applicable to Common shares from distributions to Common shareholders (16,537,481) (34,547,696) - --------------------------------------------------------------------------------- Capital Share Transactions Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- 257,295 - --------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from capital share transactions -- 257,295 - --------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares (28,158,091) (25,982,460) Net assets applicable to Common shares at the beginning of period 675,576,801 701,559,261 - --------------------------------------------------------------------------------- Net assets applicable to Common shares at the end of period $ 647,418,710 $ 675,576,801 ================================================================================= Undistributed (Over-distribution of) net investment income at the end of period $ (907,993) $ (967,250) =================================================================================
See accompanying notes to financial statements. - ----- 84 - -----
Dividend Advantage (NAD) Dividend Advantage 2 (NXZ) ------------------------------ ------------------------------ Six Months Year Six Months Year Ended Ended Ended Ended 4/30/08 10/31/07 4/30/08 10/31/07 - ----------------------------------------------------------------------------------------------------------------- Operations Net investment income $ 20,822,895 $ 40,737,006 $ 16,506,261 $ 33,194,589 Net realized gain (loss) from: Investments (1,532,932) 2,375,892 (1,217,493) (1,406,045) Forward swaps -- -- -- -- Futures -- -- -- -- Change in net unrealized appreciation (depreciation) of: Investments (23,646,296) (25,931,805) (13,959,698) (11,366,291) Forward swaps -- -- -- -- Futures -- -- -- -- Distributions to Preferred shareholders: From net investment income (5,343,935) (10,593,575) (3,857,565) (7,987,669) From accumulated net realized gains -- -- -- -- - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from operations (9,700,268) 6,587,518 (2,528,495) 12,434,584 - ----------------------------------------------------------------------------------------------------------------- Distributions to Common Shareholders From net investment income (15,098,111) (31,716,407) (12,877,438) (26,454,214) From accumulated net realized gains -- -- -- -- - ----------------------------------------------------------------------------------------------------------------- Decrease in net assets applicable to Common shares from distributions to Common shareholders (15,098,111) (31,716,407) (12,877,438) (26,454,214) - ----------------------------------------------------------------------------------------------------------------- Capital Share Transactions Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- 308,799 146,926 821,897 - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from capital share transactions -- 308,799 146,926 821,897 - ----------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares (24,798,379) (24,820,090) (15,259,007) (13,197,733) Net assets applicable to Common shares at the beginning of period 585,495,771 610,315,861 456,991,558 470,189,291 - ----------------------------------------------------------------------------------------------------------------- Net assets applicable to Common shares at the end of period $ 560,697,392 $ 585,495,771 $ 441,732,551 $ 456,991,558 ================================================================================================================= Undistributed (Over-distribution of) net investment income at the end of period $ 173,660 $ (207,189) $ (64,728) $ 164,014 ================================================================================================================= Dividend Advantage 3 (NZF) ------------------------------ Six Months Year Ended Ended 4/30/08 10/31/07 - --------------------------------------------------------------------------------- Operations Net investment income $ 21,567,162 $ 43,162,296 Net realized gain (loss) from: Investments 215,587 172,182 Forward swaps -- (455,000) Futures -- (418,916) Change in net unrealized appreciation (depreciation) of: Investments (22,207,100) (18,402,081) Forward swaps 2,399,265 1,331,159 Futures -- (129,711) Distributions to Preferred shareholders: From net investment income (5,563,964) (11,080,897) From accumulated net realized gains -- (226,888) - --------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from operations (3,589,050) 13,952,144 - --------------------------------------------------------------------------------- Distributions to Common Shareholders From net investment income (15,505,219) (33,803,641) From accumulated net realized gains -- (798,769) - --------------------------------------------------------------------------------- Decrease in net assets applicable to Common shares from distributions to Common shareholders (15,505,219) (34,602,410) - --------------------------------------------------------------------------------- Capital Share Transactions Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- 722,964 - --------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares from capital share transactions -- 722,964 - --------------------------------------------------------------------------------- Net increase (decrease) in net assets applicable to Common shares (19,094,269) (19,927,302) Net assets applicable to Common shares at the beginning of period 606,908,209 626,835,511 - --------------------------------------------------------------------------------- Net assets applicable to Common shares at the end of period $ 587,813,940 $ 606,908,209 ================================================================================= Undistributed (Over-distribution of) net investment income at the end of period $ (736,623) $ (1,234,602) =================================================================================
See accompanying notes to financial statements. ----- 85 ----- | Notes to | FINANCIAL STATEMENTS (Unaudited) 1. General Information and Significant Accounting Policies 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) (collectively, the "Funds"). 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 or futures contract, each Fund may use market quotes provided by major broker/dealers in such investments. If it is determined that the market price for an investment or derivative instrument is unavailable or inappropriate, the Board of Directors/Trustees of the Funds, or its designee, may establish fair value in accordance with procedures established in good faith by the Board of Directors/Trustees. 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, 2008, Performance Plus (NPP), Municipal Advantage (NMA) and Dividend Advantage (NAD) had outstanding when-issued/delayed-delivery purchase commitments of $1,957,500, $1,957,500 and $1,957,500, respectively. There were no such outstanding purchase commitments in any of the other Funds. Investment Income Interest income, which includes the amortization of premiums and accretion of discounts for financial reporting purposes, is recorded on an accrual basis. Interest income also includes paydown gains and losses, if any. Dividend income, if any, is recorded on the ex-dividend date. - ----- 86 - ----- Federal Income Taxes Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required. 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. Effective April 30, 2008, the Funds adopted Financial Accounting Standards Board (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 affirmative evaluation of tax positions taken or expected to be taken in the course of preparing the Funds' tax returns to determine whether it is "more-likely-than-not" (i.e., a greater than 50-percent likelihood) of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold may result in a tax benefit or expense in the current year. Implementation of FIN 48 required management of the Funds to analyze all open tax years, as defined by the statute of limitations, for all major jurisdictions, which includes federal and certain states. Open tax years are those that are open for examination by taxing authorities (i.e., generally the last four tax year ends and the interim tax period since then). The Funds have no examinations in progress. For all open tax years and all major taxing jurisdictions through the end of the reporting period, management of the Funds has reviewed all tax positions taken or expected to be taken in the preparation of the Funds' tax returns and concluded the adoption of FIN 48 resulted in no impact to the Funds' net assets or results of operations as of and during the six months ended April 30, 2008. The Funds are also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months. 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 at least 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 ==================================================================================================
Beginning in February 2008, more shares for sale were submitted in the regularly scheduled auctions for the Preferred shares issued by the Funds than there were offers to buy. This meant that these auctions "failed to clear," and that many Preferred shareholders who wanted to sell their shares in these auctions were unable to do so. Preferred shareholders unable to sell their shares received distributions at the "maximum rate" applicable to failed auctions as calculated in accordance with the pre-established terms of the Preferred shares. ----- 87 ----- | Notes to | FINANCIAL STATEMENTS (continued) (Unaudited) These developments generally do not affect the management or investment policies of the Funds. However, one implication of these auction failures for Common shareholders is that the Funds' cost of leverage will likely be higher, at least temporarily, than it otherwise would have been had the auctions continued to be successful. As a result, the Funds' future Common share earnings may be lower than they otherwise would have been. Inverse Floating Rate Securities Each Fund is authorized to 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"). A Fund may also enter into shortfall and forbearance agreements (sometimes referred to as a "recourse trust" or "credit recovery swap") with a broker-dealer by which a Fund agrees to reimburse the broker-dealer, in certain circumstances, for the difference between the liquidation value of the fixed-rate bond held by the trust and the liquidation value of the floating rate certificates, as well as any shortfalls in interest cash flows. The inverse floater held by a Fund gives the Fund the right (a) to cause the holders of the floating rate certificates to tender their notes at par, and (b) to have the broker transfer the fixed-rate bond held by the trust to the Fund, thereby collapsing the trust. 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, recourse trust or credit recovery swap 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 "Interest expense on floating rate obligations" in the Statement of Operations. During the six months ended April 30, 2008, each Fund invested in externally deposited inverse floaters and/or self-deposited inverse floaters. - ----- 88 - ----- 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, 2008, 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 $ 7,627,967 $ 47,143,556 $36,728,736 $ 32,293,214 $32,730,909 $33,069,948 Average annual interest rate and fees 2.89% 2.95% 2.92% 2.88% 2.86% 2.91% ============================================================================================================================
Forward Swap Transactions Each Fund is authorized to invest in forward interest rate swap transactions. 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. Dividend Advantage 3 (NZF) was the only Fund to invest in forward interest rate swap transactions during the six months ended April 30, 2008. Futures Contracts Each Fund is 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 recognized 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. None of the Funds invested in futures contracts during the six months ended April 30, 2008. 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. Zero Coupon Securities Each Fund is authorized to invest in zero coupon securities. A zero coupon security does not pay a regular interest coupon to its holders during the life of the security. Tax-exempt income to the holder of the security comes from accretion of the difference between the original purchase price of the security at issuance and the par value of the security at maturity and is effectively paid at maturity. Such securities are included in the Portfolios of Investments with a 0.000% coupon rate in their description. The market prices of zero coupon securities generally are more volatile than the market prices of securities that pay interest periodically. ----- 89 ----- | Notes to | FINANCIAL STATEMENTS (continued) (Unaudited) Custodian Fee Credit Each Fund has an arrangement with the custodian bank whereby certain custodian fees and expenses are reduced by net credits earned on each Fund's cash on deposit with the bank. Such deposit arrangements are an alternative to overnight investments. Credits for cash balances may be offset by charges for any days on which a Fund overdraws its account at the custodian bank. 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. 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 4/30/08 10/31/07 4/30/08 10/31/07 4/30/08 10/31/07 - ------------------------------------------------------------------------------------------------------------------------- Common shares issued to shareholders due to reinvestment of distributions -- -- -- 148,621 -- 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 4/30/08 10/31/07 4/30/08 10/31/07 4/30/08 10/31/07 - ------------------------------------------------------------------------------------------------------------------------- Common shares issued to shareholders due to reinvestment of distributions -- 19,807 9,780 50,467 -- 46,333 =========================================================================================================================
- ----- 90 - ----- 3. Investment Transactions Purchases and sales (including maturities but excluding short-term investments and derivative transactions) during the six months ended April 30, 2008, were as follows:
Performance Municipal Market Dividend Dividend Dividend Plus Advantage Opportunity Advantage Advantage 2 Advantage 3 (NPP) (NMA) (NMO) (NAD) (NXZ) (NZF) - ------------------------------------------------------------------------------------------------------------------------------------ Purchases $ 60,703,301 $ 66,416,819 $ 23,079,293 $ 50,710,597 $ 20,865,529 $ 13,530,271 Sales and maturities 69,531,547 109,338,563 48,148,490 53,333,737 37,455,870 20,976,516 ====================================================================================================================================
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 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, 2008, 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 $1,297,859,623 $ 943,701,677 $ 989,537,285 $ 823,532,224 $ 623,215,313 $ 868,040,295 ====================================================================================================================================
Gross unrealized appreciation and gross unrealized depreciation of investments at April 30, 2008, 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 $ 62,287,675 $ 41,855,857 $ 49,151,732 $ 39,240,425 $ 41,315,482 $ 29,550,296 Depreciation (17,302,870) (17,967,772) (23,590,216) (20,128,194) (11,218,640) (18,596,556) - ------------------------------------------------------------------------------------------------------------------------------------ Net unrealized appreciation (depreciation) of investments $ 44,984,805 $ 23,888,085 $ 25,561,516 $ 19,112,231 $ 30,096,842 $ 10,953,740 ====================================================================================================================================
The tax components of undistributed net tax-exempt income, net ordinary income and net long-term capital gains at October 31, 2007, 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 * $ 1,782,388 $ 1,392,822 $ 1,532,785 $ 967,015 $ 1,573,952 $ 1,124,939 Undistributed net ordinary income ** 17,323 -- -- 171,088 381 4,477 Undistributed net long-term capital gains -- 1,389,990 -- -- -- -- ====================================================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on October 1, 2007, paid on November 1, 2007. ** 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, 2007, 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 income $ 61,544,192 $ 49,015,900 $ 48,416,601 $ 42,441,771 $ 34,569,733 $ 45,208,503 Distributions from net ordinary income ** 58,535 -- 77,487 121,024 -- -- Distributions from net long-term capital gains 3,618,054 -- -- -- -- 1,024,327 ====================================================================================================================================
** Net ordinary income consists of taxable market discount income and net short-term capital gains, if any. ----- 91 ----- | Notes to | FINANCIAL STATEMENTS (continued) (Unaudited) At October 31, 2007, the Funds' last tax year end, the 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:
Performance Market Dividend Dividend Dividend Plus Opportunity Advantage Advantage 2 Advantage 3 (NPP) (NMO) (NAD) (NXZ) (NZF) - --------------------------------------------------------------------------------------------------------------------------- Expiration: October 31, 2008 $ -- $ -- $ 9,745,720 $ -- $ -- October 31, 2009 -- -- -- -- -- October 31, 2010 -- -- -- -- -- October 31, 2011 -- 7,158,110 4,594,300 -- -- October 31, 2012 -- 973,824 -- 246,691 -- October 31, 2013 -- -- 104,763 1,591,323 -- October 31, 2014 -- 3,141,529 -- 1,882,135 -- October 31, 2015 105,897 1,902,878 -- 961,027 359,272 - --------------------------------------------------------------------------------------------------------------------------- Total $ 105,897 $13,176,341 $14,444,783 $ 4,681,176 $ 359,272 ===========================================================================================================================
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 ===========================================================================================================================
- ----- 92 - -----
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 ===========================================================================================================================
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, 2008, the complex-level fee rate was .1855%. The complex-level fee schedule is as follows:
Complex-Level Asset Breakpoint Level (1) Effective Rate at Breakpoint Level - --------------------------------------------------------------------------------------------------------------------------- $55 billion .2000% $56 billion .1996 $57 billion .1989 $60 billion .1961 $63 billion .1931 $66 billion .1900 $71 billion .1851 $76 billion .1806 $80 billion .1773 $91 billion .1691 $125 billion .1599 $200 billion .1505 $250 billion .1469 $300 billion .1445 ===========================================================================================================================
(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. 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. 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. ----- 93 ----- | Notes to | FINANCIAL STATEMENTS (continued) (Unaudited) 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. - ----- 94 - ----- 6. New Accounting Pronouncements Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157 In September 2006, the FASB issued 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, 2008, management does 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. Financial Accounting Standards Board Statement of Financial Accounting Standards No. 161 In March 2008, the FASB issued SFAS No. 161, "Disclosures about Derivative Instruments and Hedging Activities." This standard is intended to enhance financial statement disclosures for derivative instruments and hedging activities and enable investors to understand: a) how and why a fund uses derivative instruments, b) how derivative instruments and related hedge items are accounted for, and c) how derivative instruments and related hedge items affect a fund's financial position, results of operations and cash flows. SFAS No. 161 is effective for financial statements issued for fiscal years and interim periods beginning after November 15, 2008. As of April 30, 2008, management does not believe the adoption of SFAS No. 161 will impact the financial statement amounts; however, additional footnote disclosures may be required about the use of derivative instruments and hedging items. 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 2, 2008, to shareholders of record on May 15, 2008, 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 $ .0575 $ .0640 $ .0605 $ .0635 $ .0730 $ .0640 =====================================================================================================================
Auction Rate Preferred Shares (ARPS) On June 11, 2008, Nuveen announced the Fund Board's approval of plans to use tender option bonds (TOBs), also known as inverse floating rate securities or inverse floaters, to refinance a portion of the funds' outstanding ARPS, whose auctions have been failing for several months, including an initial phase of approximately $1 billion in forty-one funds. Of this amount, Nuveen expects that approximately $560 million in ARPS redemption notices will be issued shortly for thirteen funds, including Performance Plus (NPP), Dividend Advantage (NAD) and Dividend Advantage 3 (NZF). ----- 95 ----- | Financial | HIGHLIGHTS(Unaudited) Selected data for a Common share outstanding throughout each period:
Investment Operations -------------------------------------------------------------- Distributions Distributions from Net from Beginning Investment Capital Common Net Income to Gains to Share Net Realized/ Preferred Preferred Net Asset Investment Unrealized Share- Share- Value Income Gain (Loss) holders+ holders+ Total ===================================================================================================== Performance Plus (NPP) - ----------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) $ 15.22 $ .51 $(.53) $ (.14) $ -- $ (.16) 2007 15.78 .99 (.47) (.27) (.01) .24 2006 15.51 1.00 .38 (.25) -- 1.13 2005 15.87 1.02 (.26) (.16) -- .60 2004 15.45 1.04 .42 (.07) -- 1.39 2003 15.38 1.07 .05 (.07) -- 1.05 Municipal Advantage (NMA) - ----------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 15.20 .54 (.70) (.14) (.01) (.31) 2007 15.88 1.07 (.63) (.29) -- .15 2006 15.70 1.08 .27 (.26) -- 1.09 2005 16.02 1.09 (.24) (.16) -- .69 2004 15.62 1.11 .41 (.08) -- 1.44 2003 15.41 1.13 .25 (.07) (.01) 1.30 ===================================================================================================== Less Distributions ------------------------------ Net Offering Investment Capital Costs and Ending Income to Gains to Preferred Common Common Common Share Share Ending Share- Share- Underwriting Net Asset Market holders holders Total Discounts Value Value =========================================================================================== Performance Plus (NPP) - ------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) $ (.35) $ -- $ (.35) $ -- $ 14.71 $ 13.34 2007 (.75) (.05) (.80) -- 15.22 13.59 2006 (.84) (.02) (.86) -- 15.78 15.09 2005 (.94) (.02) (.96) -- 15.51 14.43 2004 (.97) -- (.97) -- 15.87 14.95 2003 (.95) (.03) (.98) -- 15.45 14.64 Municipal Advantage (NMA) - ------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) (.38) (.02) (.40) -- 14.49 13.55 2007 (.83) -- (.83) -- 15.20 13.95 2006 (.90) (.01) (.91) -- 15.88 15.85 2005 (1.00) (.01) (1.01) -- 15.70 15.19 2004 (1.03) (.01) (1.04) -- 16.02 15.70 2003 (1.02) (.07) (1.09) -- 15.62 15.44 =========================================================================================== Ratios/Supplemental Data --------------------------------------------------------------- Ratios to Average Net Assets Applicable to Common Shares Total Returns Before Credit/Reimbursement/Refund ------------------- ------------------------------------------------ Based Ending on Net Based Common Assets on Share Net Applicable Expenses Expenses Net Market Asset to Common Including Excluding Investment Value* Value* Shares (000) Interest++(a) Interest++(a) Income++ - ----------------------------------------------------------------------------------------------------------------------------------- Performance Plus (NPP) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) .71% (1.07)% $ 881,130 1.19%*** 1.16%*** 6.85%*** 2007 (4.97) 1.53 912,066 1.16 1.14 6.38 2006 10.78 7.50 945,222 1.15 1.15 6.44 2005 3.02 3.83 929,544 1.15 1.15 6.45 2004 9.10 9.30 950,993 1.17 1.17 6.69 2003 9.58 6.97 925,525 1.18 1.18 6.89 Municipal Advantage (NMA) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) .04 (1.98) 626,115 1.41*** 1.19*** 7.33*** 2007 (7.08) 1.06 656,806 1.40 1.17 6.87 2006 10.68 7.16 683,675 1.18 1.18 6.92 2005 3.29 4.42 675,678 1.17 1.17 6.81 2004 8.82 9.57 689,190 1.19 1.19 7.00 2003 13.17 8.71 671,147 1.21 1.21 7.27 =================================================================================================================================== Ratios/Supplemental Data ---------------------------------------------------------- Ratios to Average Net Assets Applicable to Common Shares After Credit/Reimbursement/Refund** ----------------------------------------------- Expenses Expenses Net Portfolio Including Excluding Investment Turnover Interest++(a) Interest++(a) Income++ Rate - ----------------------------------------------------------------------------------------- Performance Plus (NPP) - ----------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 1.18%*** 1.15%*** 6.86%** * 4% 2007 1.14 1.13 6.39 6 2006 1.14 1.14 6.45 9 2005 1.14 1.14 6.46 6 2004 1.17 1.17 6.70 11 2003 1.18 1.18 6.90 10 Municipal Advantage (NMA) - ----------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 1.39*** 1.17*** 7.35*** 6 2007 1.38 1.15 6.89 10 2006 1.17 1.17 6.93 11 2005 1.16 1.16 6.82 8 2004 1.18 1.18 7.00 4 2003 1.20 1.20 7.27 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 ================================================================================================= Performance Plus (NPP) - ------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) $ 479,000 $ 25,000 $ 70,988 $ 30,750 $ 45,232 2007 479,000 25,000 72,603 6,665 209,712 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 -- -- Municipal Advantage (NMA) - ------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 358,000 25,000 68,723 60,125 17,368 2007 358,000 25,000 70,866 54,048 19,776 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 -- -- =================================================================================================
* 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized. 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund's market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized. ** After custodian fee credit, expense reimbursement and legal fee refund, where applicable. *** Annualized. + 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. (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, 2008. See accompanying notes to financial statements. ---------------- 96-97 spread ---------------- | Financial | HIGHLIGHTS (continued) (Unaudited) Selected data for a Common share outstanding throughout each period:
Investment Operations ----------------------------------------------------------------- Distributions Distributions from Net from Beginning Investment Capital Common Net Income to Gains to Share Net Realized/ Preferred Preferred Net Asset Investment Unrealized Share- Share- Value Income Gain (Loss) holders+ holders+ Total - -------------------------------------------------------------------------------------------------------------- Market Opportunity (NMO) - -------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) $ 14.83 $ .51 $ (.62) $ (.15) $ -- $ (.26) 2007 15.41 1.04 (.56) (.30) -- .18 2006 15.14 1.02 .34 (.26) -- 1.10 2005 15.48 1.03 (.29) (.16) -- .58 2004 15.11 1.03 .37 (.08) -- 1.32 2003 14.60 1.03 .50 (.08) -- 1.45 Dividend Advantage (NAD) - -------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 14.90 .53 (.64) (.14) -- (.25) 2007 15.54 1.04 (.60) (.27) -- .17 2006 15.28 1.04 .32 (.24) -- 1.12 2005 15.62 1.06 (.25) (.15) -- .66 2004 15.17 1.09 .46 (.07) -- 1.48 2003 14.94 1.10 .19 (.07) -- 1.22 ============================================================================================================== Less Distributions ------------------------------- Net Offering Investment Capital Costs and Ending Income to Gains to Preferred Common Common Common Share Share Ending Share- Share- Underwriting Net Asset Market holders holders Total Discounts Value Value - ------------------------------------------------------------------------------------------------------ Market Opportunity (NMO) - ------------------------------------------------------------------------------------------------------ Year Ended 10/31: 2008(b) $ (.36) $ -- $ (.36) $ -- $ 14.21 $ 13.15 2007 (.76) -- (.76) -- 14.83 13.53 2006 (.83) -- (.83) -- 15.41 15.00 2005 (.92) -- (.92) -- 15.14 14.19 2004 (.95) -- (.95) -- 15.48 14.44 2003 (.94) -- (.94) -- 15.11 14.29 Dividend Advantage (NAD) - ------------------------------------------------------------------------------------------------------ Year Ended 10/31: 2008(b) (.38) -- (.38) -- 14.27 13.39 2007 (.81) -- (.81) -- 14.90 13.63 2006 (.86) -- (.86) -- 15.54 15.30 2005 (1.00) -- (1.00) -- 15.28 14.58 2004 (1.03) -- (1.03) -- 15.62 15.31 2003 (.99) -- (.99) -- 15.17 15.12 ====================================================================================================== Total Returns -------------------- Based on Based Common on Share Net Market Asset Value* Value* - ----------------------------------------------------------------------------------------------- Market Opportunity (NMO) - ----------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) (.15)% (1.73)% 2007 (5.00) 1.20 2006 11.92 7.49 2005 4.70 3.78 2004 7.97 9.00 2003 10.62 10.24 Dividend Advantage (NAD) - ----------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 1.11 (1.63) 2007 (5.96) 1.10 2006 11.19 7.59 2005 1.77 4.27 2004 8.37 10.06 2003 11.41 8.41 =============================================================================================== 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** ---------------------------------------- ---------------------------------------- Ending Net Assets Applicable Expenses Expenses Net Expenses Expenses Net Portfolio to Common Including Excluding Investment Including Excluding Investment Turnover Shares (000) Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate - ------------------------------------------------------------------------------------------------------------------------------------ Market Opportunity (NMO) - ------------------------------------------------------------------------------------------------------------------------------------ Year Ended 10/31: 2008(b) $ 647,419 1.37%*** 1.21%*** 7.11%*** 1.36%*** 1.20%*** 7.12%*** 2% 2007 675,577 1.38 1.19 6.87 1.36 1.17 6.88 5 2006 701,559 1.19 1.19 6.73 1.18 1.18 6.74 14 2005 689,682 1.19 1.19 6.66 1.18 1.18 6.67 7 2004 704,760 1.21 1.21 6.75 1.19 1.19 6.77 4 2003 687,955 1.25 1.25 6.94 1.25 1.25 6.94 9 Dividend Advantage (NAD) - ------------------------------------------------------------------------------------------------------------------------------------ Year Ended 10/31: 2008(b) 560,697 1.31*** 1.15*** 7.16*** 1.14*** .97*** 7.34*** 6 2007 585,496 1.24 1.13 6.60 1.01 .90 6.83 11 2006 610,316 1.12 1.12 6.54 .83 .83 6.83 8 2005 599,887 1.17 1.17 6.48 .80 .80 6.84 11 2004 613,328 1.14 1.14 6.69 .70 .70 7.12 7 2003 595,266 1.35 1.35 6.78 .89 .89 7.24 3 ====================================================================================================================================
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: 2008(b) $ 380,000 $ 25,000 $ 67,593 $ 37,495 $ 28,401 2007 380,000 25,000 69,446 36,660 29,794 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 -- -- Dividend Advantage (NAD) - --------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 295,000 25,000 72,517 42,875 20,958 2007 295,000 25,000 74,618 33,200 27,521 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 -- -- ===================================================================================================
* 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized. 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund's market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized. ** After custodian fee credit, expense reimbursement and legal fee refund, where applicable. *** Annualized. + 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. (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, 2008. See accompanying notes to financial statements. ---------------- 98-99 spread ---------------- | Financial | HIGHLIGHTS (continued) (Unaudited) Selected data for a Common share outstanding throughout each period:
Investment Operations ------------------------------------------------------------------- Distributions Distributions from Net from Beginning Investment Capital Common Net Income to Gains to Share Net Realized/ Preferred Preferred Net Asset Investment Unrealized Share- Share- Value Income Gain (Loss) holders+ holders+ Total - ------------------------------------------------------------------------------------------------------------ Dividend Advantage 2 (NXZ) - ------------------------------------------------------------------------------------------------------------ Year Ended 10/31: 2008(b) $15.55 $ .56 $(.52) $(.13) $ -- $ (.09) 2007 16.02 1.13 (.43) (.27) -- .43 2006 15.80 1.12 .32 (.24) -- 1.20 2005 15.63 1.13 .22 (.15) -- 1.20 2004 15.13 1.12 .51 (.07) -- 1.56 2003 14.89 1.16 .17 (.07) -- 1.26 Dividend Advantage 3 (NZF) - ------------------------------------------------------------------------------------------------------------ Year Ended 10/31: 2008(b) 15.03 .53 (.48) (.14) -- (.09) 2007 15.54 1.07 (.44) (.27) (.01) .35 2006 15.32 1.07 .29 (.24) -- 1.12 2005 15.36 1.06 .01 (.15) -- .92 2004 14.74 1.06 .59 (.07) -- 1.58 2003 14.56 1.07 .10 (.07) -- 1.10 ============================================================================================================ Less Distributions -------------------------------- Net Offering Investment Capital Costs and Ending Income to Gains to Preferred Common Common Common Share Share Ending Share- Share- Underwriting Net Asset Market holders holders Total Discounts Value Value - -------------------------------------------------------------------------------------------------- Dividend Advantage 2 (NXZ) - -------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) $ (.44) $ -- $ (.44) $ -- $15.02 $15.00 2007 (.90) -- (.90) -- 15.55 15.48 2006 (.98) -- (.98) -- 16.02 16.50 2005 (1.03) -- (1.03) -- 15.80 15.64 2004 (1.03) (.03) (1.06) -- 15.63 15.38 2003 (1.01) (.01) (1.02) -- 15.13 14.85 Dividend Advantage 3 (NZF) - -------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) (.38) -- (.38) -- 14.56 13.72 2007 (.84) (.02) (.86) -- 15.03 13.85 2006 (.90) -- (.90) -- 15.54 15.88 2005 (.96) -- (.96) -- 15.32 14.41 2004 (.96) -- (.96) -- 15.36 14.50 2003 (.93) -- (.93) .01 14.74 13.80 ================================================================================================== Total Returns ------------------- Based on Based Common on Share Net Market Asset Value* Value* - ----------------------------------------------------------------------------------------------- Dividend Advantage 2 (NXZ) - ----------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) (.25)% (.58)% 2007 (.78) 2.76 2006 11.95 7.86 2005 8.58 7.83 2004 11.16 10.67 2003 14.39 8.67 Dividend Advantage 3 (NZF) - ----------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 1.87 (.56) 2007 (7.72) 2.31 2006 16.90 7.57 2005 6.11 6.09 2004 12.45 11.10 2003 9.04 7.82 =============================================================================================== 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** ------------------------------------------- -------------------------------------------- Ending Net Assets Applicable Expenses Expenses Net Expenses Expenses Net Portfolio to Common Including Excluding Investment Including Excluding Investment Turnover Shares (000) Interest++(a) Interest++(a) Income++ Interest++(a) Interest++(a) Income++ Rate - ----------------------------------------------------------------------------------------------------------------------------------- Dividend Advantage 2 (NXZ) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) $441,733 1.34%*** 1.13%*** 7.09%*** 1.04%*** .84%*** 7.38%*** 3% 2007 456,992 1.25 1.11 6.83 .91 .77 7.18 5 2006 470,189 1.11 1.11 6.70 .70 .70 7.11 5 2005 462,862 1.12 1.12 6.66 .67 .67 7.12 2 2004 457,552 1.14 1.14 6.87 .69 .69 7.32 3 2003 443,101 1.17 1.17 7.20 .71 .71 7.66 11 Dividend Advantage 3 (NZF) - ----------------------------------------------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 587,814 1.31*** 1.15*** 6.93*** .99*** .83*** 7.25*** 1 2007 606,908 1.32 1.13 6.65 .93 .75 7.03 14 2006 626,836 1.13 1.13 6.51 .68 .68 6.96 9 2005 617,358 1.13 1.13 6.39 .68 .68 6.84 3 2004 619,118 1.15 1.15 6.64 .69 .69 7.10 3 2003 594,154 1.17 1.17 6.80 .71 .71 7.26 3 ===================================================================================================================================
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: 2008(b) $222,000 $25,000 $74,745 $47,172 $15,071 2007 222,000 25,000 76,463 23,365 30,060 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 -- -- Dividend Advantage 3 (NZF) - ----------------------------------------------------------------------------------------------- Year Ended 10/31: 2008(b) 312,000 25,000 72,100 36,897 25,387 2007 312,000 25,000 73,630 30,345 31,282 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 -- -- ===============================================================================================
* 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized. 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund's market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized. ** After custodian fee credit, expense reimbursement and legal fee refund, where applicable. *** Annualized. + 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. (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, 2008. See accompanying notes to financial statements. ---------------- 100-101 spread ---------------- 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. - ------ 102 - ------ 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. ------ 103 ------ NOTES - -------------------------------------------------------------------------------- - ------ 104 - ------ NOTES - -------------------------------------------------------------------------------- ------ 105 ------ Glossary of TERMS USED in this REPORT -------------------------------------------------------------------------- o Auction Rate Bond: An auction rate bond is a security whose interest payments are adjusted periodically through an auction process, which process typically also serves as a means for buying and selling the bond. Auctions that fail to attract enough buyers for all the shares offered for sale are deemed to have "failed", with current holders receiving a formula-based interest rate until the next scheduled auction. o 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. o 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. o 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. o 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. o Market Yield (also known as Dividend Yield or Current Yield): An investment's current annualized dividend divided by its current market price. o Net Asset Value (NAV): A Fund's common share NAV per share is calculated by subtracting the liabilities of the Fund (including any preferred 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. o 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. o Zero Coupon Bond: A zero coupon bond does not pay a regular interest coupon to its holders during the life of the bond. Tax-exempt income to the holder of the bond comes from accretion of the difference between the original purchase price of the bond at issuance and the par value of the bond at maturity and is effectively paid at maturity. The market prices of zero coupon bonds generally are more volatile than the market prices of bonds that pay interest periodically. - ------ 106 - ------ | Other Useful INFORMATION QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION You may obtain (i) each Fund's quarterly portfolio of investments, (ii) information regarding how the Funds voted proxies relating to portfolio securities held during the twelve-month period ended June 30, 2007, and (iii) a description of the policies and procedures that the Funds used to determine how to vote proxies relating to portfolio securities 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 (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 100 F Street NE, Washington, D.C. 20549. CEO Certification Disclosure Each Fund's Chief Executive Officer has submitted to the New York Stock Exchange (NYSE) 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 Jack B. Evans William C. Hunter David J. Kundert William J. Schneider Timothy R. Schwertfeger Judith M. Stockdale Carole E. Stone 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 or preferred stock or preferred in the future at such times and in such amounts as is deemed advisable. No common or preferred shares were repurchased during the period covered by this report. Any future repurchases will be reported to shareholders in the next annual or semi-annual report. - -------------------------------------------------------------------------------- ------ 107 ------ Nuveen Investments: - ------------------- SERVING INVESTORS FOR GENERATIONS 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 $153 billion in assets, as of March 31, 2008, 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: Nuveen, a leader in fixed-income investments; NWQ, a leader in value-style equities; Rittenhouse, a leader in growth-style equities; Symphony, a leading institutional manager of market-neutral alternative investment portfolios; Santa Barbara, a leader in growth equities; and Tradewinds, a leader in global equities. 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. Learn more about Nuveen Funds at: www.nuveen.com/etf | Share prices | Fund details | Daily financial news | Investor education | Interactive planning tools ESA-B-0408D 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: See Ex-99.CERT attached hereto. (a)(3) Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons: Not applicable. (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: See Ex-99.906 CERT attached hereto. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. (Registrant) Nuveen Municipal Market Opportunity Fund, Inc. ----------------------------------------------------------- By (Signature and Title) /s/ Kevin J. McCarthy ---------------------------------------------- Kevin J. McCarthy (Vice President and Secretary) Date: July 9, 2008 ------------------------------------------------------------------- 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, 2008 ------------------------------------------------------------------- By (Signature and Title) /s/ Stephen D. Foy ---------------------------------------------- Stephen D. Foy Vice President and Controller (principal financial officer) Date: July 9, 2008 ------------------------------------------------------------------- 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, 2008 /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, 2008 /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, 2008 (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, 2008 ----------------------- /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-----