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 811-21449
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Nuveen Municipal High Income Opportunity Fund
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(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
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(Address of principal executive offices) (Zip code)
Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
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(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
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Date of fiscal year end: October 31
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Date of reporting period: April 30, 2010
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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.
LOGO: NUVEEN INVESTMENTS
Closed-End Funds
Nuveen Investments
Municipal Closed-End Funds
IT'S NOT WHAT YOU EARN, IT'S WHAT YOU KEEP.(R)
Semi-Annual Report
April 30, 2010
------------------ ------------------ ------------------ ------------------
NUVEEN INVESTMENT NUVEEN SELECT NUVEEN QUALITY NUVEEN PREMIER
QUALITY MUNICIPAL QUALITY MUNICIPAL INCOME MUNICIPAL MUNICIPAL INCOME
FUND, INC. FUND, INC. FUND, INC. FUND, INC.
NQM NQS NQU NPF
------------------ ------------------
NUVEEN MUNICIPAL NUVEEN MUNICIPAL
HIGH INCOME HIGH INCOME
OPPORTUNITY FUND OPPORTUNITY FUND 2
NMZ NMD
APRIL 10
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LOGO: NUVEEN INVESTMENTS
Chairman's
Letter to Shareholders
[PHOTO OF ROBERT P. BREMNER]
DEAR SHAREHOLDER,
The economic environment in which your Fund operates reflects continuing but
uneven economic recovery. The U.S. and other major industrial countries are
experiencing steady but comparatively low levels of economic growth, while
emerging market countries are seeing a resumption of relatively strong economic
expansion. The potential impact of steps being considered by many governments to
counteract the extraordinary governmental spending and credit expansion to
deal with the recent financial and economic crisis is injecting uncertainty into
global financial markets. The implications for future tax rates, government
spending, interest rates and the pace of economic recovery in the U.S. and
other leading economies are extremely difficult to predict at the present time.
The long term health of the global economy depends on restoring some measure of
fiscal discipline around the world, but since all of the corrective steps
require economic pain, it is not surprising that governments are reluctant to
undertake them.
In the near term, governments remain committed to furthering economic recovery
and realizing a meaningful reduction in their national unemployment rates.
Such an environment should produce continued economic growth and, consequently,
attractive investment opportunities. Over the longer term, the larger
uncertainty mentioned earlier carries the risk of unexpected potholes in the
road to sustained recovery. For this reason, Nuveen's investment management
teams are working hard to balance return and risk by building well-diversified
portfolios, among other strategies. I encourage you to read the following
commentary on the management of your Fund. As always, I also encourage you to
contact your financial consultant if you have any questions about your Nuveen
Fund investment. Please consult the Nuveen web site for the most recent
information on your Nuveen Funds at: www.nuveen.com.
On behalf of the other members of your Fund's Board, we look forward
to continuing to earn your trust in the months and years ahead.
Sincerely,
/s/ Robert P. Bremner
-----------------------------
Robert P. Bremner
Chairman of the Board
June 21, 2010
Nuveen Investments 1
Portfolio Managers' Comments
Nuveen Investment Quality Municipal Fund, Inc. (NQM)
Nuveen Select Quality Municipal Fund, Inc. (NQS)
Nuveen Quality Income Municipal Fund, Inc. (NQU)
Nuveen Premier Municipal Income Fund, Inc. (NPF)
Nuveen Municipal High Income Opportunity Fund (NMZ)
Nuveen Municipal High Income Opportunity Fund 2 (NMD)
Portfolio managers Tom Spalding, Paul Brennan, John Miller and Johnathan Wilhelm
review key investment strategies and the six-month performance of these six
national Funds. A 33-year veteran of Nuveen, Tom has managed NQS and NQU since
2003. With 20 years of industry experience, including twelve years at Nuveen,
Paul assumed portfolio management responsibility for NPF in 2006. John, who has
15 years of municipal market experience, has managed NMZ since its inception in
2003. Johnathan, who joined Nuveen in 2001 with 20 years of industry experience,
served as co-portfolio manager of NMD beginning in 2007 and assumed full
portfolio management responsibility for this Fund as well as for NQM in March
2009.
WHAT KEY STRATEGIES WERE USED TO MANAGE THESE FUNDS DURING THE SIX-MONTH
REPORTING PERIOD ENDED APRIL 30, 2010?
Municipal market conditions began to show general signs of improvement
throughout most of the period. This trend was bolstered by the reduced issuance
of tax-exempt municipal debt, due in part to the introduction of the Build
America Bond program in April 2009. Build America Bonds are a new class of
taxable municipal debt created as part of the February 2009 economic stimulus
package. These bonds currently offer municipal issuers a federal subsidy equal
to 35% of the bonds' interest payments and therefore provide issuers with an
attractive alternative to traditional tax-exempt debt. For the six-month period
ended April 30, 2010, taxable Build America Bond issuance totaled $48.9 billion,
accounting for almost 24% of new bonds in the municipal market-place
nationwide.
Despite the constrained issuance of tax-exempt municipal bonds, we continued to
find attractive value opportunities, taking a bottom-up approach to discovering
undervalued sectors and individual credits with the potential to perform well
over the long term. In NQM, NQS, NQU and NPF, we found value in several areas of
the market, including general obligation (GO) and other tax-supported credits
and essential services revenue
CERTAIN STATEMENTS IN THIS REPORT ARE FORWARD-LOOKING STATEMENTS. DISCUSSIONS
OF SPECIFIC INVESTMENTS ARE FOR ILLUSTRATION ONLY AND ARE NOT INTENDED AS
RECOMMENDATIONS OF INDIVIDUAL INVESTMENTS. THE FORWARD-LOOKING STATEMENTS AND
OTHER VIEWS EXPRESSED HEREIN ARE THOSE OF THE PORTFOLIO MANAGERS AS OF THE DATE
OF THIS REPORT. ACTUAL FUTURE RESULTS OR OCCURRENCES MAY DIFFER SIGNIFICANTLY
FROM THOSE ANTICIPATED IN ANY FORWARD-LOOKING STATEMENTS, AND THE VIEWS
EXPRESSED HEREIN ARE SUBJECT TO CHANGE AT ANY TIME, DUE TO NUMEROUS MARKET AND
OTHER FACTORS. THE FUNDS DISCLAIM ANY OBLIGATION TO UPDATE PUBLICLY OR REVISE
ANY FORWARD-LOOKING STATEMENTS OR VIEWS EXPRESSED HEREIN.
2 Nuveen Investments
bonds in sectors such as health care, education, transportation (specifically
tollroads and airports) and water and sewer. NQM also purchased student loan and
housing credits.
In NMZ and NMD, we continued to take a fundamental approach to finding
individual credits with strong long-term outlooks and the most attractive
ratings, quality, pricing and ability to add diversity to our portfolios. Since
NMZ already had a significant allocation of non-rated credits, this Fund
focused on adding rated bonds in the lower investment grade categories, and
non-investment grade bonds that we judged to be the equivalent of BBB and BB.
Among the additions to NMZ during this period were Rhode Island tobacco bonds
(rated BBB), industrial development revenue bonds backed by U.S. Steel
(sub-investment grade), Texas tollroad credits (Baa2), bonds issued for a
Colorado private school (A) and Texas charter school (BBB-) and project finance
bonds for the new Brooklyn sports arena that will serve as the future home of
the New Jersey Nets (BBB). In NMD, our purchases included bonds issued for
community development districts, or "dirt deals" (land-secured bonds that
finance public infrastructure costs for new developments) and continuing care
retirement centers (senior living). Our focus in this Fund was on bonds in a
variety of credit sectors-primarily A, BBB, and below investment grade and
non-rated-in sectors that have not yet fully participated in the market rally.
We believe these bonds offer strong potential for price appreciation as the
economy recovers.
Some of the areas of investment opportunity that we discovered during this
period were created by the parameters of the Build America Bond program. For
example, tax-exempt supply was usually more plentiful in the health care and
higher education sectors because, as 501(c)(3) (nonprofit) organizations,
hospitals and private universities generally do not qualify for the Build
America Bond program and must continue to issue bonds in the tax-exempt
municipal market. In addition, health care entities were active issuers during
this period, as they sought to replace variable rate issuance with fixed rates.
Refunding issues also are not covered by the Build America Bond program, and
this resulted in attractive opportunities in sectors such as airports and
tollroads. The impact of the Build America Bond program was also evident in the
area of longer-term issuance, as municipal issuers sought to take full advantage
of the attractive financing terms offered by these bonds. Approximately 70% of
Build America Bonds were issued with maturities of 30 years or more. Even though
this significantly reduced the availability of tax-exempt credits with longer
maturities, we continued to find good opportunities to purchase attractive
longer-term bonds for these Funds.
Cash for new purchases during this period was generated primarily by the
proceeds from bond calls and redemptions including pre-refunded bonds. In NMD,
we took advantage of attractive opportunities to sell bonds with less
advantageous structures, such as low embedded yields or short call dates, that
had experienced most of their price appreciation potential.
Nuveen Investments 3
As of April 30, 2010, all six of these Funds continued to use inverse floating
rate securities.(1) We employ inverse floaters for a variety of reasons,
including leverage, duration management and both income and total return
enhancement. NMZ and NMD also continued to invest in additional types of
derivative instruments(2) designed to help shorten duration and moderate
interest rate risk.
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.
AVERAGE ANNUAL TOTAL RETURNS ON COMMON SHARE NET ASSET VALUE*
FOR PERIODS ENDED 4/30/10
6-MONTH 1-YEAR 5-YEAR 10-YEAR
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NQM 6.22% 16.96% 4.43% 6.75%
NQS 5.91% 20.30% 4.40% 6.77%
NQU 5.36% 15.84% 4.25% 6.45%
NPF 6.40% 16.95% 3.78% 6.19%
Standard & Poor's (S&P) National
Municipal Bond Index(3) 3.85% 10.04% 4.35% 5.73%
Lipper General Leveraged
Municipal Debt Funds Average(4) 6.90% 22.67% 3.84% 6.38%
NMZ 9.90% 42.81% 2.79% N/A
NMD 10.72% 43.58% N/A N/A
Standard & Poor's (S&P) High-Yield
Municipal Bond Index(5) 7.52% 30.27% 3.10% 5.26%
Lipper High-Yield Municipal Debt
Funds Average(4) 7.73% 31.62% 3.65% 5.34%
--------------------------------------------------------------------------------
For the six months ended April 30, 2010, the cumulative returns on common share
net asset value (NAV) for NQM, NQS, NQU and NPF exceeded the return for the
Standard & Poor's (S&P) National Municipal Bond Index and lagged the average
return for the Lipper General Leveraged Municipal Debt Funds Average. For the
same period, NMZ and NMD outperformed both the S&P High-Yield Municipal Bond
Index and the Lipper High-Yield Municipal Debt Funds Average.
Key management factors that influenced the Funds' returns during this period
included yield curve and duration positioning, credit exposure and sector
allocation. In addition,
* Six-month returns are cumulative; returns for one-year, five-year, and
ten-years 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.
(1) An inverse floating rate security, also known as an inverse floater, 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 report.
(2) Each Fund may invest in derivative instruments such as forwards,
futures, options and swap transactions. For additional information on the
derivative instruments in which each Fund was invested during and at the
end of the reporting period, see the Portfolio of Investments, Statements
and Notes to Financial Statements sections of this report.
(3) The Standard & Poor's (S&P) National Municipal Bond Index is an
unleveraged, market value-weighted index designed to measure the
performance of the investment-grade U.S. municipal bond market. This
index does not reflect any initial or ongoing expenses and is not available
for direct investment.
(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: 6-months, 48 funds; 1-year, 46 funds; 5-year, 44 funds;
and 10-year, 30 funds. The Lipper High-Yield Municipal Debt Funds Average
is calculated using the returns of all closed end funds in this category
for each period as follows: 6-months, 15 funds; 1-year, 15 funds; 5-year,
14 funds; and 10-year, 11 funds. Lipper returns account for the effects of
management fees and assume reinvestment of dividends, but do not reflect
any applicable sales charges. The Lipper averages are not available for
direct investment.
(5) The Standard & Poor's (S&P) High-Yield Municipal Bond Index comprises
all of the bonds in the S&P National Municipal Bond Index that are
non-rated or rated BB+ by S&P and/or Ba1 by Moody's or lower. The index
does not contain bonds that are pre-refunded or escrowed to maturity. This
index does not reflect any initial or ongoing expenses and is not available
for direct investment.
4 Nuveen Investments
the use of leverage was an important positive factor affecting each Fund's
performance over this period. The impact of leverage is discussed in more detail
below.
During this period, bonds with longer maturities generally outperformed credits
with shorter maturities, with bonds at the longest end of the yield curve
posting the strongest returns. The outperformance of longer bonds was due in
part to the decline in interest rates, particularly at the longer end of the
curve. The scarcity of tax-exempt bonds with longer maturities also drove up
price. Overall, duration and yield curve positioning were positive for the
performance for all of these Funds.
Credit exposure also played an important role in performance of these funds. The
demand for municipal bonds increased during this period, driven by a variety of
factors, including concerns about potential tax increases, the need to rebalance
portfolio allocations and a growing appetite for additional risk. At the same
time, the supply of new tax-exempt municipal securities declined. As investors
bid up municipal bond prices, bonds rated BBB or below generally outperformed
those rated AAA. On the whole, the Funds' performance benefited from their
allocations to lower quality credits.
Holdings that generally contributed to the Funds' performance during this period
included industrial development revenue (IDR), health care and housing bonds.
Revenue bonds as a whole performed well, with transportation, leasing and
special tax among the sectors outperforming the general municipal market for
this period. Zero coupon bonds also were among the strongest performers, as were
lower-rated bonds backed by the 1998 master tobacco settlement agreement.
Pre-refunded bonds, which are often backed by U.S. Treasury securities,
performed relatively poorly during this period. The underperformance of these
bonds can be attributed primarily to their shorter effective maturities and
higher credit quality. As of April 30, 2010, NQU had significantly heavier
weightings of pre-refunded bonds than NQM, NQS and especially NPF, which had the
smallest allocation. Because of the shorter, high-quality nature of
pre-refunded bonds, NMZ and NMD-as longer-term, higher-yielding Funds-had
little or no exposure to these credits. General obligation bonds tended to lag
the overall municipal market by a small margin, while water and sewer,
education, electric utilities and resource recovery bonds trailed the other
revenue sectors for the six months.
IMPACT OF THE FUNDS' CAPITAL STRUCTURES AND LEVERAGE STRATEGIES ON PERFORMANCE
One important factor impacting the returns of most of these Funds relative to
the comparative index was the Funds' use of financial leverage. The Funds use
leverage because their managers believe that, over time, leveraging provides
opportunities for additional income and total return for common shareholders.
However, use of leverage
Nuveen Investments 5
also can expose common shareholders to additional volatility. For example, as
the prices of securities held by a Fund decline, the negative impact of these
valuation changes on common share net asset value and common shareholder total
return is magnified by the use of leverage. Conversely, leverage may enhance
common share returns during periods when bond prices generally are rising.
Leverage made a positive contribution to the performance of these Funds over
this reporting period.
RECENT DEVELOPMENTS REGARDING THE FUNDS' LEVERAGED CAPITAL STRUCTURE
Shortly after their inceptions, each of the Funds, except NMD, issued auction
rate preferred shares (ARPS) to create financial leverage. As noted in past
shareholder reports, the ARPS issued by many closed-end funds, including these
Funds, have been hampered by a lack of liquidity since February 2008. Since that
time, more ARPS have been submitted for sale in each of their regularly
scheduled auctions than there have been offers to buy. In fact, offers to buy
have been almost completely non-existent since late February 2008. This means
that these auctions have "failed to clear," and that many, or all, of the ARPS
shareholders who wanted to sell their shares in these auctions were unable to do
so. This lack of liquidity in ARPS did not lower the credit quality of these
shares, and ARPS shareholders unable to sell their shares have continued to
receive distributions at the "maximum rate" applicable to failed auctions, as
calculated in accordance with the pre-established terms of the ARPS. In the
recent market, with short-term rates at multi-generational lows, those maximum
rates also have been low.
One continuing implication for common shareholders from the auction failures is
that each Fund's cost of leverage likely has been incrementally higher at times
than it otherwise might have been had the auctions continued to be successful.
As a result, each Fund's common share earnings likely have been incrementally
lower at times than they otherwise might have been.
As noted in past shareholder reports, the Nuveen funds' Board of
Directors/Trustees authorized several methods to refinance a portion of the
Nuveen funds' outstanding ARPS. Some funds have utilized tender option bonds
(TOBs), also known as floating rate securities, for leverage purposes. The
amount of TOBs that a fund may use varies according to the composition of each
fund's portfolio. Some funds have a greater ability to use TOBs than others.
Some funds have issued Variable Rate Demand Preferred Shares (VRDP), but these
issuances have been limited since it has been difficult to find liquidity
providers on economically viable terms given the constrained credit environ-
ment. Some funds have issued MuniFund Term Preferred Shares (MTP), a fixed rate
form of preferred stock with a mandatory redemption period of five years.
6 Nuveen Investments
While all these efforts have reduced the total amount of outstanding ARPS issued
by the Nuveen funds, the Funds cannot provide any assurance on when the
remaining outstanding ARPS might be redeemed.
On April 9, 2010, twenty-six Nuveen leveraged closed-end funds, including NQM
and NMZ, received a demand letter from a law firm on behalf of each fund's
common shareholders, alleging that Nuveen and the fund's officers and Board of
Directors/Trustees breached their fiduciary duties related to the redemption at
par of the fund's ARPS. The funds' independent Board is evaluating the demand
letter for each fund.
As of April 30, 2010, the amounts of ARPS redeemed at par by the Funds are as
shown in the accompanying table. As noted previously, NMD is an unleveraged
Fund.
AUCTION RATE % OF ORIGINAL
PREFERRED SHARES AUCTION RATE
FUND REDEEMED PREFERRED SHARES
--------------------------------------------------------------------------------
NQM $90,300,000 30.0%
NQS $27,725,000 9.9%
NQU $65,125,000 14.4%
NPF $38,150,000 23.1%
NMZ $60,000,000 38.7%
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As of April 30, 2010, 83 out of the 84 Nuveen closed-end municipal funds that
had issued ARPS have redeemed at par all or a portion of these shares. These
redemptions bring the total amount of Nuveen's municipal closed-end funds' ARPS
redemptions to approximately $4.4 billion of the approximately $11.0 billion
originally outstanding.
For up-to-date information, please visit the Nuveen CEF Auction Rate Preferred
Resource Center at: http://www.nuveen.com/arps.
Nuveen Investments 7
Common Share Dividend and Share Price Information
During the six-month reporting period ended April 30, 2010, NQM, NQS, NQU and
NPF each had one monthly dividend increase, while the dividends of NMZ and NMD
remained stable throughout the reporting period.
Due to normal portfolio activity, common shareholders of the following Funds
received capital gains or net ordinary income distributions at the end of
December 2009 as follows:
SHORT-TERM CAPITAL GAINS
LONG-TERM CAPITAL GAINS AND/OR ORDINARY INCOME
FUND (PER SHARE) (PER SHARE)
--------------------------------------------------------------------------------
NQS $0.0152 --
NQU -- $0.0015
NMZ -- $0.0043
NMD -- $0.0037
--------------------------------------------------------------------------------
All of the Funds in this report seek to pay stable dividends at rates that
reflect each Fund's past results and projected future performance. During
certain periods, each Fund may pay dividends at a rate that may be more or less
than the amount of net investment income actually earned by the Fund during the
period. If a Fund has cumulatively earned more than it has paid in dividends,
it holds the excess in reserve as undistributed net investment income (UNII) as
part of the Fund's NAV. Conversely, if a Fund has cumulatively paid dividends in
excess of its earnings, the excess constitutes negative UNII that is likewise
reflected in the Fund's NAV. Each Fund will, over time, pay all of its net
investment income as dividends to shareholders. As of April 30, 2010, all six
Funds in this report had positive UNII balances, based upon our best estimate,
for tax purposes and positive UNII balances for financial reporting purposes.
COMMON SHARE REPURCHASES AND SHARE PRICE INFORMATION
As of April 30, 2010, and since the inception of the Funds' repurchase program,
NPF has cumulatively repurchased its outstanding common shares as shown in the
accompanying table. Since the inception of the Funds' repurchase program, NQM,
NQS, NQU, NMZ and NMD have not repurchased any of their outstanding common
shares.
COMMON SHARES % OF OUTSTANDING
FUND REPURCHASED COMMON SHARES
--------------------------------------------------------------------------------
NPF 202,500 1.0%
--------------------------------------------------------------------------------
During the six-month reporting period, NPF did not repurchase any of its
outstanding common shares.
8 Nuveen Investments
SHELF EQUITY PROGRAMS
During the six-month reporting period, a registration statement filed by NMZ to
issue an additional 2.6 million common shares through a shelf offering became
effective. On October 30, 2009, NMD filed a registration statement with the SEC
authorizing the Fund to issue 1.6 million common shares through a shelf
offering. Under these equity shelf programs, the Funds, subject to market
conditions, may raise additional capital from time to time in varying amounts
and offering methods at a net price at or above each Fund's NAV per common
share.
As of April 30, 2010, NMZ and NMD had cumulatively sold 2,416,666 and 622,965
common shares, respectively, though their shelf equity programs.
During the six-month reporting period, NMZ and NMD sold common shares through
their shelf equity programs at an average premium to NAV per common share as
shown in the accompanying table.
COMMON SHARES
SOLD THROUGH PREMIUM TO NAV
FUND SHELF OFFERING PER SHARE SOLD
--------------------------------------------------------------------------------
NMZ 22,501 12.31%
NMD 622,965 5.56%
--------------------------------------------------------------------------------
As of April 30, 2010, the Funds' common share prices were trading at (+)
premiums or (-) discounts to their common share NAVs as shown in the
accompanying table.
4/30/10 SIX-MONTH AVERAGE
FUND (+) PREMIUM/(-) DISCOUNT (+) PREMIUM/(-) DISCOUNT
--------------------------------------------------------------------------------
NQM -3.27% -5.28%
NQS +1.59% +0.93%
NQU -1.44% -3.39%
NPF -5.80% -7.58%
NMZ +12.07% +9.66%
NMD +9.88% +6.18%
--------------------------------------------------------------------------------
Nuveen Investments 9
NQM Performance OVERVIEW | Nuveen Investment Quality Municipal Fund, Inc. as of
April 30, 2010
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 14.21
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 14.69
--------------------------------------------------------------------------------
Premium/(Discount) to NAV -3.27%
--------------------------------------------------------------------------------
Market Yield 6.33%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 8.79%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 526,191
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 15.56
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 10.50
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/21/90)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month (Cumulative) 11.76% 6.22%
--------------------------------------------------------------------------------
1-Year 22.96% 16.96%
--------------------------------------------------------------------------------
5-Year 5.44% 4.43%
--------------------------------------------------------------------------------
10-Year 8.01% 6.75%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
California 14.6%
--------------------------------------------------------------------------------
New York 11.1%
--------------------------------------------------------------------------------
Illinois 7.6%
--------------------------------------------------------------------------------
Texas 7.2%
--------------------------------------------------------------------------------
Minnesota 4.8%
--------------------------------------------------------------------------------
District of Columbia 4.7%
--------------------------------------------------------------------------------
Washington 3.8%
--------------------------------------------------------------------------------
Florida 3.6%
--------------------------------------------------------------------------------
Michigan 3.2%
--------------------------------------------------------------------------------
Colorado 2.6%
--------------------------------------------------------------------------------
Massachusetts 2.5%
--------------------------------------------------------------------------------
Indiana 2.4%
--------------------------------------------------------------------------------
Wisconsin 2.1%
--------------------------------------------------------------------------------
Georgia 1.9%
--------------------------------------------------------------------------------
Pennsylvania 1.9%
--------------------------------------------------------------------------------
Tennessee 1.8%
--------------------------------------------------------------------------------
Nevada 1.7%
--------------------------------------------------------------------------------
South Carolina 1.6%
--------------------------------------------------------------------------------
New Jersey 1.6%
--------------------------------------------------------------------------------
Other 19.3%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
Health Care 18.3%
--------------------------------------------------------------------------------
U.S. Guaranteed 17.3%
--------------------------------------------------------------------------------
Tax Obligation/Limited 15.6%
--------------------------------------------------------------------------------
Transportation 11.5%
--------------------------------------------------------------------------------
Tax Obligation/General 11.1%
--------------------------------------------------------------------------------
Water and Sewer 6.9%
--------------------------------------------------------------------------------
Utilities 6.0%
--------------------------------------------------------------------------------
Education and Civic Organizations 5.0%
--------------------------------------------------------------------------------
Other 8.3%
--------------------------------------------------------------------------------
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 33%
AA 21%
A 26%
BBB 14%
BB or Lower 2%
N/R 4%
2009-2010 MONTHLY TAX-FREE DIVIDENDS PER COMMON SHARE
[BAR CHART]
May $ 0.0635
Jun 0.0635
Jul 0.0635
Aug 0.0635
Sep 0.07
Oct 0.07
Nov 0.07
Dec 0.075
Jan 0.075
Feb 0.075
Mar 0.075
Apr 0.075
COMMON SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
5/01/09 $ 12.23
12.28
12.38
12.54
12.49
12.59
12.05
12.09
12.4
12.4
12.43
12.53
12.67
12.79
12.79
12.57
12.81
12.98
13.3
13.595
13.64
13.82
13.93
13.74
13.17
13.21
13.13
13.27
12.82
13.01
13.14
13.4
13.39
13.3
13.28
13.32
13.52
13.57
13.71
13.83
14
13.99
13.93
13.9
14.1
14.1
14.17
14.15
14.18
14.15
14.07
14.19
4/30/10 14.21
(1) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
(2) Ratings shown are the highest rating given by one or more national
rating agencies. AAA includes bonds with an implied AAA rating since they
are backed by U.S. Government or agency securities. AAA, AA, A and BBB are
investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade
ratings. Holdings designated N/R are not rated by a national rating agency.
10 Nuveen Investments
NQS Performance OVERVIEW | Nuveen Select Quality Municipal Fund, Inc. as of
April 30, 2010
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(3)
[PIE CHART]
AAA/U.S.
Guaranteed 34%
AA 16%
A 24%
BBB 21%
BB or Lower 2%
N/R 3%
2009-2010 MONTHLY TAX-FREE DIVIDENDS PER COMMON SHARE(2)
[BAR CHART]
May $ 0.074
Jun 0.074
Jul 0.074
Aug 0.074
Sep 0.075
Oct 0.075
Nov 0.075
Dec 0.082
Jan 0.082
Feb 0.082
Mar 0.082
Apr 0.082
COMMON SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
5/01/09 $ 12.22
12.48
12.88
12.82
12.96
13.07
12.82
12.89
12.7
12.88
13.3
13.2
13.22
13.27
13.466
13.43
13.5
13.61
13.91
14.07
14.38
14.16
14.37
14.62
13.73
13.93
13.77
14
13.7
13.69
14.269
14.2
14.42
14.06
14.09
14.07
14.02
14.2697
14.59
14.64
14.61
14.61
14.38
14.43
14.5
14.3
14.46
14.64
14.68
14.74
14.74
14.95
4/30/10 14.69
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 14.69
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 14.46
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 1.59%
--------------------------------------------------------------------------------
Market Yield 6.70%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 9.31%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 492,967
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 16.22
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 10.96
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/21/91)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month (Cumulative) 10.47% 5.91%
--------------------------------------------------------------------------------
1-Year 28.66% 20.30%
--------------------------------------------------------------------------------
5-Year 6.54% 4.40%
--------------------------------------------------------------------------------
10-Year 8.42% 6.77%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
Illinois 12.7%
--------------------------------------------------------------------------------
Texas 10.0%
--------------------------------------------------------------------------------
Colorado 7.3%
--------------------------------------------------------------------------------
New Jersey 5.2%
--------------------------------------------------------------------------------
South Carolina 4.6%
--------------------------------------------------------------------------------
California 4.1%
--------------------------------------------------------------------------------
Nevada 3.7%
--------------------------------------------------------------------------------
Ohio 3.6%
--------------------------------------------------------------------------------
Tennessee 3.4%
--------------------------------------------------------------------------------
Washington 3.3%
--------------------------------------------------------------------------------
New Mexico 3.2%
--------------------------------------------------------------------------------
North Carolina 3.2%
--------------------------------------------------------------------------------
Michigan 3.0%
--------------------------------------------------------------------------------
Utah 2.7%
--------------------------------------------------------------------------------
Florida 2.5%
--------------------------------------------------------------------------------
New York 2.3%
--------------------------------------------------------------------------------
Alabama 2.0%
--------------------------------------------------------------------------------
Arizona 1.9%
--------------------------------------------------------------------------------
Puerto Rico 1.9%
--------------------------------------------------------------------------------
Other 19.4%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 20.5%
--------------------------------------------------------------------------------
Health Care 19.6%
--------------------------------------------------------------------------------
Utilities 14.7%
--------------------------------------------------------------------------------
Transportation 13.3%
--------------------------------------------------------------------------------
Tax Obligation/Limited 9.8%
--------------------------------------------------------------------------------
Tax Obligation/General 8.2%
--------------------------------------------------------------------------------
Consumer Staples 6.6%
--------------------------------------------------------------------------------
Other 7.3%
--------------------------------------------------------------------------------
(1) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
(2) The Fund paid shareholders a capital gains distribution in December 2009
of $0.0152 per share.
(3) Ratings shown are the highest rating given by one or more national
rating agencies. AAA includes bonds with an implied AAA rating since they
are backed by U.S. Government or agency securities. AAA, AA, A and BBB are
investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade
ratings. Holdings designated N/R are not rated by a national rating agency.
Nuveen Investments 11
NQU Performance OVERVIEW | Nuveen Quality Income Municipal Fund, Inc. as of
April 30, 2010
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 14.38
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 14.59
--------------------------------------------------------------------------------
Premium/(Discount) to NAV -1.44%
--------------------------------------------------------------------------------
Market Yield 6.34%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 8.81%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 791,066
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 15.02
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 10.05
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/19/91)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month (Cumulative) 12.01% 5.36%
--------------------------------------------------------------------------------
1-Year 20.69% 15.84%
--------------------------------------------------------------------------------
5-Year 6.41% 4.25%
--------------------------------------------------------------------------------
10-Year 7.74% 6.45%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
Texas 9.8%
--------------------------------------------------------------------------------
California 9.6%
--------------------------------------------------------------------------------
Illinois 8.0%
--------------------------------------------------------------------------------
New York 6.8%
--------------------------------------------------------------------------------
Washington 6.8%
--------------------------------------------------------------------------------
South Carolina 5.4%
--------------------------------------------------------------------------------
Puerto Rico 5.1%
--------------------------------------------------------------------------------
Nevada 4.6%
--------------------------------------------------------------------------------
Massachusetts 3.9%
--------------------------------------------------------------------------------
Ohio 3.9%
--------------------------------------------------------------------------------
Colorado 3.5%
--------------------------------------------------------------------------------
New Jersey 3.4%
--------------------------------------------------------------------------------
Pennsylvania 2.7%
--------------------------------------------------------------------------------
Louisiana 2.4%
--------------------------------------------------------------------------------
Oklahoma 2.2%
--------------------------------------------------------------------------------
Virginia 2.1%
--------------------------------------------------------------------------------
Other 19.8%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 28.4%
--------------------------------------------------------------------------------
Tax Obligation/General 15.6%
--------------------------------------------------------------------------------
Transportation 13.0%
--------------------------------------------------------------------------------
Utilities 11.2%
--------------------------------------------------------------------------------
Health Care 10.0%
--------------------------------------------------------------------------------
Tax Obligation/Limited 8.2%
--------------------------------------------------------------------------------
Consumer Staples 6.0%
--------------------------------------------------------------------------------
Other 7.6%
--------------------------------------------------------------------------------
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(3)
[PIE CHART]
AAA/U.S.
Guaranteed 47%
AA 17%
A 24%
BBB 10%
BB or Lower 1%
N/R 1%
2009-2010 MONTHLY TAX-FREE DIVIDENDS PER COMMON SHARE(2)
[BAR CHART]
May $ 0.0685
Jun 0.0685
Jul 0.0685
Aug 0.0685
Sep 0.072
Oct 0.072
Nov 0.072
Dec 0.076
Jan 0.076
Feb 0.076
Mar 0.076
Apr 0.076
COMMON SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
5/01/09 $ 12.69
13.04
12.83
12.8
12.66
12.69
12.35
12.43
12.73
12.8
13.05
13.15
13.35
13.31
13.25
13.09
13.29
13.44
13.69
13.72
13.92
13.87
13.99
14.01
13.37
13.6
13.26
13.39
13.12
13.36
13.35
13.63
13.86
13.69
13.6
13.63
13.82
13.85
13.98
14.021
14.13
14.05
14.04
14.03
14.07
13.96
14.04
14.14
14.29
14.32
14.14
14.4
4/30/10 14.38
(1) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
(2) The Fund paid shareholders a net ordinary income distribution in
December 2009 of $0.0015 per share.
(3) Ratings shown are the highest rating given by one or more national
rating agencies. AAA includes bonds with an implied AAA rating since they
are backed by U.S. Government or agency securities. AAA, AA, A and BBB are
investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade
ratings. Holdings designated N/R are not rated by a national rating agency.
12 Nuveen Investments
NPF Performance OVERVIEW | Nuveen Premier Municipal Income Fund, Inc. as of
April 30, 2010
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 20%
AA 34%
A 31%
BBB 13%
BB or Lower 1%
N/R 1%
2009-2010 MONTHLY TAX-FREE DIVIDENDS PER COMMON SHARE
[BAR CHART]
May $ 0.063
Jun 0.063
Jul 0.063
Aug 0.063
Sep 0.066
Oct 0.066
Nov 0.066
Dec 0.07
Jan 0.07
Feb 0.07
Mar 0.07
Apr 0.07
COMMON SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
5/01/09 $ 11.68
11.87
12.04
12.01
11.96
12.01
11.57
11.6
11.67
11.64
11.794
11.98
12.02
12.22
12.25
12.24
12.65
12.53
12.76
13.01
13.31
13.3794
13.42
13.18
12.66
12.67
12.4
12.57
12.33
12.47
12.63
12.78
12.93
12.86
12.8305
12.96
13
13.04
13.02
13.11
13.1
13.05
12.98
13.15
13.25
13.36
13.4095
13.3566
13.27
13.31
13.2801
13.46
4/30/10 13.49
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 13.49
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 14.32
--------------------------------------------------------------------------------
Premium/(Discount) to NAV -5.80%
--------------------------------------------------------------------------------
Market Yield 6.23%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 8.65%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 284,781
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 14.60
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 10.32
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 12/19/91)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month (Cumulative) 12.28% 6.40%
--------------------------------------------------------------------------------
1-Year 22.31% 16.95%
--------------------------------------------------------------------------------
5-Year 5.45% 3.78%
--------------------------------------------------------------------------------
10-Year 6.43% 6.19%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)
--------------------------------------------------------------------------------
California 13.0%
--------------------------------------------------------------------------------
New York 10.4%
--------------------------------------------------------------------------------
Colorado 6.9%
--------------------------------------------------------------------------------
Illinois 6.7%
--------------------------------------------------------------------------------
South Carolina 5.0%
--------------------------------------------------------------------------------
Arizona 4.8%
--------------------------------------------------------------------------------
Texas 4.4%
--------------------------------------------------------------------------------
Louisiana 4.0%
--------------------------------------------------------------------------------
Wisconsin 3.7%
--------------------------------------------------------------------------------
Washington 3.6%
--------------------------------------------------------------------------------
New Jersey 3.6%
--------------------------------------------------------------------------------
Minnesota 2.8%
--------------------------------------------------------------------------------
Georgia 2.8%
--------------------------------------------------------------------------------
North Carolina 2.6%
--------------------------------------------------------------------------------
Michigan 2.5%
--------------------------------------------------------------------------------
Indiana 2.2%
--------------------------------------------------------------------------------
Ohio 1.7%
--------------------------------------------------------------------------------
Other 19.3%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
Tax Obligation/Limited 18.7%
--------------------------------------------------------------------------------
Utilities 14.9%
--------------------------------------------------------------------------------
Health Care 13.4%
--------------------------------------------------------------------------------
Transportation 13.0%
--------------------------------------------------------------------------------
U.S. Guaranteed 11.3%
--------------------------------------------------------------------------------
Tax Obligation/General 9.3%
--------------------------------------------------------------------------------
Water and Sewer 5.2%
--------------------------------------------------------------------------------
Other 14.2%
--------------------------------------------------------------------------------
(1) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
(2) Ratings shown are the highest rating given by one or more national
rating agencies. AAA includes bonds with an implied AAA rating since they
are backed by U.S. Government or agency securities. AAA, AA, A and BBB are
investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade
ratings. Holdings designated N/R are not rated by a national rating agency.
Nuveen Investments 13
NMZ Performance OVERVIEW | Nuveen Municipal High Income Opportunity Fund as of
April 30, 2010
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 13.18
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 11.76
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 12.07%
--------------------------------------------------------------------------------
Market Yield 7.60%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(2) 10.56%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 304,581
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 22.16
--------------------------------------------------------------------------------
Leverage-Adjusted Duration 12.07
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 11/19/03)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month (Cumulative) 15.25% 9.90%
--------------------------------------------------------------------------------
1-Year 40.73% 42.81%
--------------------------------------------------------------------------------
5-Year 4.51% 2.79%
--------------------------------------------------------------------------------
Since
Inception 5.55% 4.80%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)(1)
--------------------------------------------------------------------------------
Florida 9.2%
--------------------------------------------------------------------------------
Texas 8.1%
--------------------------------------------------------------------------------
Indiana 7.8%
--------------------------------------------------------------------------------
California 7.8%
--------------------------------------------------------------------------------
Illinois 6.0%
--------------------------------------------------------------------------------
Colorado 5.3%
--------------------------------------------------------------------------------
Arizona 5.1%
--------------------------------------------------------------------------------
Wisconsin 4.7%
--------------------------------------------------------------------------------
Louisiana 4.3%
--------------------------------------------------------------------------------
Ohio 3.3%
--------------------------------------------------------------------------------
Michigan 3.2%
--------------------------------------------------------------------------------
Tennessee 2.9%
--------------------------------------------------------------------------------
Nebraska 2.5%
--------------------------------------------------------------------------------
Washington 2.4%
--------------------------------------------------------------------------------
Pennsylvania 2.2%
--------------------------------------------------------------------------------
Missouri 2.1%
--------------------------------------------------------------------------------
North Carolina 2.0%
--------------------------------------------------------------------------------
New Jersey 1.9%
--------------------------------------------------------------------------------
Other 19.2%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)(1)
--------------------------------------------------------------------------------
Health Care 22.0%
--------------------------------------------------------------------------------
Tax Obligation/Limited 19.7%
--------------------------------------------------------------------------------
Utilities 8.8%
--------------------------------------------------------------------------------
Education and Civic Organizations 7.5%
--------------------------------------------------------------------------------
Water and Sewer 6.9%
--------------------------------------------------------------------------------
Transportation 6.8%
--------------------------------------------------------------------------------
Housing/Multifamily 6.4%
--------------------------------------------------------------------------------
Materials 5.4%
--------------------------------------------------------------------------------
Consumer Staples 4.5%
--------------------------------------------------------------------------------
Other 12.0%
--------------------------------------------------------------------------------
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(1,4)
[PIE CHART]
AAA/U.S.
Guaranteed 4%
AA 11%
A 7%
BBB 25%
BB or Lower 13%
N/R 40%
2009-2010 MONTHLY TAX-FREE DIVIDENDS PER COMMON SHARE(3)
[BAR CHART]
May $ 0.0835
Jun 0.0835
Jul 0.0835
Aug 0.0835
Sep 0.0835
Oct 0.0835
Nov 0.0835
Dec 0.0835
Jan 0.0835
Feb 0.0835
Mar 0.0835
Apr 0.0835
COMMON SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
5/01/09 $ 10.485
10.62
10.41
10.59
10.92
11.44
10.85
10.51
10.35
10.52
10.63
10.59
10.85
11.39
11.01
10.96
11.04
11.2
11.56
12.1
12.48
12.7532
12.99
12.87
12.3
12.71
11.92
12.32
11.87
11.75
12.08
12.42
12.5076
12.14
12.3
12.6
12.82
12.69
12.5
12.55
12.5
12.31
12.25
12.44
12.55
12.53
12.7
12.81
12.9432
13.15
13.09
13.19
4/30/10 13.18
(1) Excluding investments in derivatives.
(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 2009 of $0.0043 per share.
(4) Ratings shown are the highest rating given by one or more national
rating agencies. AAA includes bonds with an implied AAA rating since they
are backed by U.S. Government or agency securities. AAA, AA, A and BBB are
investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade
ratings. Holdings designated N/R are not rated by a national rating agency.
14 Nuveen Investments
NMD Performance OVERVIEW | Nuveen Municipal High Income Opportunity Fund 2 as of
April 30, 2010
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(1,4)
[PIE CHART]
AAA/U.S.
Guaranteed 3%
AA 11%
A 7%
BBB 26%
BB or Lower 15%
N/R 38%
2009-2010 MONTHLY TAX-FREE DIVIDENDS PER COMMON SHARE(3)
[BAR CHART]
May $ 0.08
Jun 0.08
Jul 0.08
Aug 0.08
Sep 0.08
Oct 0.08
Nov 0.08
Dec 0.08
Jan 0.08
Feb 0.08
Mar 0.08
Apr 0.08
COMMON SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
5/01/09 $ 9.99
10.36
10.1201
10.01
10.24
10.96
10.55
10.16
10.21
10.26
10.3601
10.47
10.52
10.88
11.05
10.78
11.05
11.0099
11.26
11.82
11.85
12.39
12.35
12.5099
11.8186
11.92
11.39
11.66
11.35
11.22
11.29
11.57
11.5932
11.4
11.36
11.46
12
11.98
11.9582
11.85
11.63
11.7
11.5405
11.93
12.04
12.06
12.2034
12.32
12.4
12.6
12.52
12.63
4/30/10 12.681
FUND SNAPSHOT
--------------------------------------------------------------------------------
Common Share Price $ 12.68
--------------------------------------------------------------------------------
Common Share Net Asset Value $ 11.54
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 9.88%
--------------------------------------------------------------------------------
Market Yield 7.57%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(2) 10.51%
--------------------------------------------------------------------------------
Net Assets Applicable to
Common Shares ($000) $ 192,931
--------------------------------------------------------------------------------
Average Effective Maturity on
Securities (Years) 24.09
--------------------------------------------------------------------------------
Modified Duration 10.83
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 11/15/07)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month (Cumulative) 16.11% 10.72%
--------------------------------------------------------------------------------
1-Year 41.25% 43.58%
--------------------------------------------------------------------------------
Since
Inception 1.51% -0.21%
--------------------------------------------------------------------------------
STATES
(as a % of total investments)(1)
--------------------------------------------------------------------------------
California 12.2%
--------------------------------------------------------------------------------
Florida 12.0%
--------------------------------------------------------------------------------
Texas 9.7%
--------------------------------------------------------------------------------
Illinois 8.8%
--------------------------------------------------------------------------------
Colorado 6.2%
--------------------------------------------------------------------------------
Washington 5.3%
--------------------------------------------------------------------------------
Arizona 4.1%
--------------------------------------------------------------------------------
New Jersey 3.6%
--------------------------------------------------------------------------------
Louisiana 3.3%
--------------------------------------------------------------------------------
Ohio 3.0%
--------------------------------------------------------------------------------
Utah 3.0%
--------------------------------------------------------------------------------
Indiana 2.8%
--------------------------------------------------------------------------------
Tennessee 2.7%
--------------------------------------------------------------------------------
Nevada 2.3%
--------------------------------------------------------------------------------
Georgia 2.3%
--------------------------------------------------------------------------------
Other 18.7%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)(1)
--------------------------------------------------------------------------------
Health Care 23.1%
--------------------------------------------------------------------------------
Tax Obligation/Limited 21.3%
--------------------------------------------------------------------------------
Education and Civic Organizations 13.8%
--------------------------------------------------------------------------------
Utilities 7.8%
--------------------------------------------------------------------------------
Transportation 6.9%
--------------------------------------------------------------------------------
Consumer Discretionary 5.6%
--------------------------------------------------------------------------------
Materials 4.6%
--------------------------------------------------------------------------------
Consumer Staples 4.4%
--------------------------------------------------------------------------------
Other 12.5%
--------------------------------------------------------------------------------
(1) Excluding investments in derivatives.
(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 2009 of $0.0037 per share.
(4) Ratings shown are the highest rating given by one or more national
rating agencies. AAA includes bonds with an implied AAA rating since they
are backed by U.S. Government or agency securities. AAA, AA, A and BBB are
investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade
ratings. Holdings designated N/R are not rated by a national rating agency.
Nuveen Investments 15
NQM | Nuveen Investment Quality Municipal Fund, Inc.
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.4% (0.9% OF TOTAL INVESTMENTS)
$ 3,800 Alabama Special Care Facilities Financing Authority, Revenue 11/16 at 100.00 Aa1 $ 3,850,654
Bonds, Ascension Health, Series 2006C-2, 5.000%, 11/15/36
(UB)
Birmingham Special Care Facilities Financing Authority,
Alabama, Revenue Bonds, Baptist Health System Inc., Series
2005A:
1,200 5.250%, 11/15/20 11/15 at 100.00 Baa2 1,174,332
800 5.000%, 11/15/30 11/15 at 100.00 Baa2 704,512
1,650 Courtland Industrial Development Board, Alabama, Pollution 6/15 at 100.00 BBB 1,523,082
Control Revenue Bonds, International Paper Company, Series
2005A, 5.000%, 6/01/25
-----------------------------------------------------------------------------------------------------------------------------------
7,450 Total Alabama 7,252,580
-----------------------------------------------------------------------------------------------------------------------------------
ALASKA - 1.6% (1.0% OF TOTAL INVESTMENTS)
4,000 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/10 at 100.00 AAA 4,021,040
Settlement Asset-Backed Bonds, Series 2000, 6.500%,
6/01/31 (Pre-refunded 6/01/10)
Northern Tobacco Securitization Corporation, Alaska, Tobacco
Settlement Asset-Backed Bonds, Series 2006A:
4,000 5.000%, 6/01/32 6/14 at 100.00 Baa3 3,155,880
1,500 5.000%, 6/01/46 6/14 at 100.00 Baa3 1,008,345
-----------------------------------------------------------------------------------------------------------------------------------
9,500 Total Alaska 8,185,265
-----------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 2.2% (1.4% OF TOTAL INVESTMENTS)
Glendale Industrial Development Authority, Arizona, Revenue
Bonds, John C. Lincoln Health Network, Series 2005B:
200 5.250%, 12/01/24 12/15 at 100.00 BBB 200,662
265 5.250%, 12/01/25 12/15 at 100.00 BBB 265,140
2,500 Mesa, Arizona, Utility System Revenue Bonds, Reset Option 7/17 at 100.00 AAA 2,227,150
Longs, Series 11032- 11034, 14.719%, 7/01/31 - AGM Insured
(IF)
5,000 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/18 at 100.00 AA- 5,126,500
Airport Revenue Bonds, Series 2008, Trust 1132, 9.185%,
7/01/38 (IF)
3,450 Salt Verde Financial Corporation, Arizona, Senior Gas Revenue No Opt. Call A 3,076,572
Bonds, Citigroup Energy Inc Prepay Contract Obligations,
Series 2007, 5.000%, 12/01/37
1,000 Watson Road Community Facilities District, Arizona, Special 7/16 at 100.00 N/R 812,340
Assessment Revenue Bonds, Series 2005, 6.000%, 7/01/30
-----------------------------------------------------------------------------------------------------------------------------------
12,415 Total Arizona 11,708,364
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.7% (0.5% OF TOTAL INVESTMENTS)
3,290 University of Arkansas, Pine Bluff Campus, Revenue Bonds, 12/15 at 100.00 Aa3 3,419,725
Series 2005A, 5.000%, 12/01/30 - AMBAC Insured
445 Van Buren County, Arkansas, Sales and Use Tax Revenue 12/10 at 100.00 N/R 451,243
Refunding and Construction Bonds, Series 2000, 5.600%,
12/01/25 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
3,735 Total Arkansas 3,870,968
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 22.6% (14.6% OF TOTAL INVESTMENTS)
2,250 California Educational Facilities Authority, Revenue Bonds, 10/15 at 100.00 AA+ 2,304,428
University of Southern California, Series 2005, 4.750%,
10/01/28 (UB)
1,000 California Educational Facilities Authority, Revenue Bonds, 11/15 at 100.00 A2 1,000,000
University of the Pacific, Series 2006, 5.000%, 11/01/30
2,500 California Health Facilities Financing Authority, Revenue 11/15 at 100.00 AAA 2,503,525
Bonds, Cedars-Sinai Medical Center, Series 2005, 5.000%,
11/15/27
4,285 California Health Facilities Financing Authority, Revenue 4/16 at 100.00 A+ 4,113,429
Bonds, Kaiser Permanante System, Series 2006, 5.000%,
4/01/37
5,500 California Health Facilities Financing Authority, Revenue 11/16 at 100.00 Aa3 5,069,845
Bonds, Sutter Health, Series 2007A, 5.000%, 11/15/42 (UB)
810 California State Public Works Board, Lease Revenue Bonds, 11/19 at 100.00 A2 870,288
Various Capital Projects, Series 2009I-1, 6.375%, 11/01/34
16 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 1,500 California State Public Works Board, Lease Revenue Bonds, 3/20 at 100.00 A2 $ 1,542,990
Various Capital Projects, Series 2010A-1, 5.750%, 3/01/30
2,100 California State, General Obligation Bonds, Various Purpose 3/20 at 100.00 A1 2,156,679
Series 2010, 5.250%, 3/01/30
California Statewide Communities Development Authority,
Revenue Bonds, American Baptist Homes of the West,
Series 2010:
900 6.000%, 10/01/29 10/19 at 100.00 BBB- 880,776
1,030 6.250%, 10/01/39 10/19 at 100.00 BBB- 1,029,938
1,055 California Statewide Communities Development Authority, 1/19 at 100.00 N/R 1,044,735
School Facility Revenue Bonds, Aspire Public Schools,
Series 2010, 6.000%, 7/01/40
California Statewide Community Development Authority, Revenue
Bonds, Daughters of Charity Health System, Series 2005A:
1,000 5.250%, 7/01/30 7/15 at 100.00 BBB 915,030
2,000 5.000%, 7/01/39 7/15 at 100.00 BBB 1,680,300
1,390 California Statewide Community Development Authority, Revenue 5/18 at 100.00 Aa3 1,455,441
Bonds, Sutter Health, Tender Option Bond Trust 3175,
13.554%, 11/15/48 (IF)
1,900 Chula Vista, California, Industrial Development Revenue 6/14 at 102.00 A2 2,019,966
Bonds, San Diego Gas and Electric Company, Series 1996A,
5.300%, 7/01/21
2,530 Commerce Joint Power Financing Authority, California, Tax 8/13 at 100.00 BBB 2,251,422
Allocation Refunding Bonds, Redevelopment Projects 2 and
3, Series 2003A, 5.000%, 8/01/28 - RAAI Insured
145 Commerce Joint Power Financing Authority, California, Tax 8/13 at 100.00 N/R (4) 162,860
Allocation Refunding Bonds, Redevelopment Projects 2 and
3, Series 2003A, 5.000%, 8/01/28 (Pre-refunded 8/01/13) -
RAAI Insured
2,000 Glendale, California, Redevelopment Agency, Central Glendale 12/16 at 100.00 A- 2,004,280
Redevelopment Project, Tax Allocation Bonds, Series 2010,
5.500%, 12/01/24
Golden State Tobacco Securitization Corporation, California,
Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
3,000 5.000%, 6/01/33 6/17 at 100.00 BBB 2,450,250
610 5.125%, 6/01/47 6/17 at 100.00 BBB 426,018
1,000 5.750%, 6/01/47 6/17 at 100.00 BBB 770,830
1,740 Golden State Tobacco Securitization Corporation, California, 6/22 at 100.00 BBB 1,136,046
Tobacco Settlement Asset-Backed Bonds, Series 2007A-2,
0.000%, 6/01/37
9,740 Huntington Park Redevelopment Agency, California, Single No Opt. Call AAA 13,811,710
Family Residential Mortgage Revenue Refunding Bonds,
Series 1986A, 8.000%, 12/01/19 (ETM)
2,700 M-S-R Energy Authority, California, Gas Revenue Bonds, No Opt. Call A 3,192,480
Citigroup Prepay Contracts, Series 2009A, 7.000%, 11/01/34
1,030 Natomas Union School District, Sacramento County, California, No Opt. Call A 1,181,657
General Obligation Refunding Bonds, Series 1999, 5.950%,
9/01/21 - NPFG Insured
15,770 Ontario Redevelopment Financing Authority, San Bernardino No Opt. Call A 18,357,384
County, California, Revenue Refunding Bonds, Redevelopment
Project 1, Series 1995, 7.400%, 8/01/25 - NPFG Insured
1,265 Palomar Pomerado Health Care District, California, 11/19 at 100.00 Baa2 1,325,682
Certificates of Participation, Series 2009, 6.750%,
11/01/39
13,145 Perris, California, GNMA Mortgage-Backed Securities Program No Opt. Call AAA 19,154,763
Single Family Mortgage Revenue Bonds, Series 1988B,
8.200%, 9/01/23 (Alternative Minimum Tax) (ETM)
3,415 Rancho Mirage Joint Powers Financing Authority, California, 7/14 at 100.00 A3 (4) 4,027,958
Revenue Bonds, Eisenhower Medical Center, Series 2004,
5.875%, 7/01/26 (Pre-refunded 7/01/14)
5,000 Riverside Unified School District, Riverside County, 2/12 at 101.00 Aa2 5,117,800
California, General Obligation Bonds, Series 2002A,
5.000%, 2/01/27 - FGIC Insured
San Diego County, California, Certificates of Participation,
Burnham Institute, Series 2006:
250 5.000%, 9/01/21 9/15 at 102.00 Baa3 238,325
275 5.000%, 9/01/23 9/15 at 102.00 Baa3 257,656
660 San Francisco Redevelopment Finance Authority, California, 8/19 at 100.00 A- 710,761
Tax Allocation Revenue Bonds, Mission Bay North
Redevelopment Project, Series 2009C, 6.500%, 8/01/39
5,000 San Francisco Unified School District, California, General 6/17 at 100.00 AAA 4,242,550
Obligation Bonds, Series 2007A, 3.000%, 6/15/25 - AGM
Insured
Nuveen Investments 17
NQM | Nuveen Investment Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
San Joaquin Hills Transportation Corridor Agency, Orange
County, California, Toll Road Revenue Refunding Bonds, Series
1997A:
$ 6,175 0.000%, 1/15/28 - NPFG Insured No Opt. Call A $ 1,529,054
8,135 0.000%, 1/15/34 - NPFG Insured No Opt. Call A 1,255,231
17,195 0.000%, 1/15/35 - NPFG Insured No Opt. Call A 2,423,119
1,000 Sierra View Local Health Care District, Tulare County, 7/10 at 100.00 A- 1,000,060
California, Refunding Revenue Bonds, Series 1998, 5.400%,
7/01/22
3,185 University of California, General Revenue Bonds, Series 5/13 at 101.00 Aa1 3,199,460
2005G, 4.750%, 5/15/31 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
134,185 Total California 118,814,726
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 4.0% (2.6% OF TOTAL INVESTMENTS)
1,465 Colorado Health Facilities Authority, Colorado, Revenue No Opt. Call N/R 1,492,278
Bonds, American Baptist Homes Project, Series 2009A,
7.750%, 8/01/39
12,450 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 A+ 12,748,925
Refunding Bonds, Series 2000A, 6.000%, 11/15/19 - AMBAC
Insured (Alternative Minimum Tax)
14,500 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, 9/20 at 41.72 A 2,585,060
Series 2004B, 0.000%, 3/01/36 - NPFG Insured
3,000 Park Creek Metropolitan District, Colorado, Senior Property 12/19 at 100.00 AAA 3,387,540
Tax Supported Revenue Bonds, Series 2009, 6.250%, 12/01/30
- AGC Insured
650 Public Authority for Colorado Energy, Natural Gas Purchase No Opt. Call A 715,026
Revenue Bonds, Colorado Springs Utilities, Series 2008,
6.500%, 11/15/38
-----------------------------------------------------------------------------------------------------------------------------------
32,065 Total Colorado 20,928,829
-----------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,500 Harbor Point Infrastructure Improvement District, 4/20 at 100.00 N/R 2,629,350
Connecticut, Special Obligation Revenue Bonds, Harbor
Point Project, Series 2010A, 7.875%, 4/01/39
-----------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 7.2% (4.7% OF TOTAL INVESTMENTS)
23,745 District of Columbia Water and Sewerage Authority, Public 4/09 at 160.00 AAA 28,405,906
Utility Revenue Bonds, Series 1998, 5.500%, 10/01/23 - AGM
Insured (UB)
3,000 District of Columbia, General Obligation Bonds, Series 1998B, No Opt. Call Aa2 3,529,110
6.000%, 6/01/16 - NPFG Insured
15,950 District of Columbia, Revenue Bonds, Georgetown University, 4/11 at 31.03 A (4) 4,921,213
Series 2001A, 0.000%, 4/01/31 (Pre-refunded 4/01/11) -
NPFG Insured
1,200 Washington Convention Center Authority, District of Columbia, 10/16 at 100.00 AA+ 1,188,984
Senior Lien Dedicated Tax Revenue Bonds, Series 2007,
Residuals 1606, 11.356%, 10/01/30 - AMBAC Insured (IF)
-----------------------------------------------------------------------------------------------------------------------------------
43,895 Total District of Columbia 38,045,213
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 5.6% (3.6% OF TOTAL INVESTMENTS)
1,000 Board of Regents, Florida State University, Housing Facility 5/15 at 101.00 A+ 1,019,200
Revenue Bonds, Series 2005A, 5.000%, 5/01/27 - NPFG
Insured
4,230 Brevard County Health Facilities Authority, Florida, Revenue 4/16 at 100.00 A- 4,229,831
Bonds, Health First Inc. Project, Series 2005, 5.000%,
4/01/24
250 Brevard County Health Facilities Authority, Florida, Revenue 4/19 at 100.00 A- 276,328
Bonds, Health First Inc. Project, Series 2009B, 7.000%,
4/01/39
1,200 Hillsborough County Industrial Development Authority, 4/12 at 100.00 N/R 1,051,440
Florida, Exempt Facilities Remarketed Revenue Bonds,
National Gypsum Company, Apollo Beach Project, Series
2000B, 7.125%, 4/01/30 (Alternative Minimum Tax)
14,000 Miami-Dade County, Florida, Aviation Revenue Bonds, Miami 10/17 at 100.00 A 13,015,940
International Airport Hub, Series 2007B, 4.500%, 10/01/31
- NPFG Insured
5,895 South Miami Health Facilities Authority, Florida, Hospital 8/17 at 100.00 AA- 5,792,545
Revenue, Baptist Health System Obligation Group, Series
2007, 5.000%, 8/15/42 (UB)
1,470 Tolomato Community Development District, Florida, Special 5/14 at 101.00 N/R 1,087,991
Assessment Bonds, Series 2006, 5.400%, 5/01/37
1,905 Westchester Community Development District 1, Florida, 5/13 at 101.00 N/R 1,570,996
Special Assessment Bonds, Series 2003, 6.000%, 5/01/23
18 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 1,250 Wyndam Park Community Development District, Florida, Special 5/13 at 101.00 A $ 1,276,688
Assessment Bonds,Series 2003, 6.375%, 5/01/34
-----------------------------------------------------------------------------------------------------------------------------------
31,200 Total Florida 29,320,959
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 3.0% (1.9% OF TOTAL INVESTMENTS)
1,000 Atlanta, Georgia, Tax Allocation Bonds, Beltline Project 1/19 at 100.00 N/R 1,018,950
Series 2008A. Remarketed, 7.500%, 1/01/31
1,500 Atlanta, Georgia, Water and Wastewater Revenue Bonds, Series 11/19 at 100.00 AAA 1,566,150
2009B, 5.250%, 11/01/34 - AGM Insured
2,000 Dalton Development Authority, Georgia, Revenue Certificates, No Opt. Call A 1,961,460
Hamilton Health Care System Inc., Series 1996, 5.500%,
8/15/26 - NPFG Insured
5,980 Fulton County Development Authority, Georgia, Revenue Bonds, 9/11 at 102.00 N/R 6,215,851
Georgia State University - TUFF/Atlanta Housing LLC,
Series 2001A, 5.500%, 9/01/22 - AMBAC Insured
2,500 Gainesville and Hall County Hospital Authority, Georgia, 2/20 at 100.00 A- 2,432,450
Revenue Anticipation Certificates, Northeast Georgia
Health Services Inc., Series 2010A, 5.000%, 2/15/30
2,250 Georgia Municipal Electric Authority, Project One Special No Opt. Call A+ 2,667,848
Obligation Bonds, Fourth Crossover Series 1997E, 6.500%,
1/01/20
-----------------------------------------------------------------------------------------------------------------------------------
15,230 Total Georgia 15,862,709
-----------------------------------------------------------------------------------------------------------------------------------
IDAHO - 1.7% (1.1% OF TOTAL INVESTMENTS)
4,810 Boise City, Idaho, Revenue Refunding Bonds, Series 2001A, 12/11 at 100.00 Aa2 4,987,826
5.375%, 12/01/31 - NPFG Insured
2,940 Idaho Housing and Finance Association, Single Family No Opt. Call Aa3 3,050,485
Mortgage Revenue Bonds, Series 2009BI, 5.650%, 7/01/26
Madison County, Idaho, Hospital Revenue Certificates of
Participation, Madison Memorial Hospital, Series 2006:
500 5.250%, 9/01/26 9/16 at 100.00 BBB- 462,575
500 5.250%, 9/01/30 9/16 at 100.00 BBB- 458,435
-----------------------------------------------------------------------------------------------------------------------------------
8,750 Total Idaho 8,959,321
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 11.7% (7.6% OF TOTAL INVESTMENTS)
4,775 Chicago Public Building Commission, Illinois, General 3/13 at 100.00 N/R (4) 5,325,653
Obligation Lease Bonds, Chicago Transit Authority, Series
2003, 5.250%, 3/01/23 (Pre-refunded 3/01/13) - AMBAC
Insured
2,110 Illinois Development Finance Authority, Local Government 1/11 at 100.00 Aa1 (4) 2,185,327
Program Revenue Bonds, DuPage and Cook Counties Community
Unit School District 205 - Elmhurst, Series 2000, 6.000%,
1/01/19 (Pre-refunded 1/01/11) - AGM Insured
510 Illinois Finance Authority, Revenue and Refunding Bonds, 10/19 at 100.00 Baa2 536,734
Roosevelt University Project, Series 2009, 6.500%,
4/01/44
1,125 Illinois Finance Authority, Revenue Bonds, Central DuPage 11/19 at 100.00 AA 1,173,184
Health, Series 2009B, 5.500%, 11/01/39
Illinois Finance Authority, Revenue Bonds, OSF Healthcare
System, Series 2004:
2,500 5.250%, 11/15/21 5/14 at 100.00 A 2,539,900
1,000 5.250%, 11/15/22 5/14 at 100.00 A 1,012,670
395 Illinois Finance Authority, Revenue Bonds, Proctor Hospital, 1/16 at 100.00 BB+ 342,414
Series 2006, 5.125%, 1/01/25
1,000 Illinois Finance Authority, Revenue Bonds, Provena Health, 8/19 at 100.00 BBB+ 1,133,040
Series 2009A, 7.750%, 8/15/34
1,120 Illinois Finance Authority, Revenue Bonds, Rush University 5/19 at 100.00 A- 1,211,000
Medical Center Obligated Group, Series 2009C, 6.625%,
11/01/39
1,000 Illinois Finance Authority, Revenue Bonds, Sherman Health 8/17 at 100.00 BBB 908,370
Systems, Series 2007A, 5.500%, 8/01/37
Illinois Finance Authority, Revenue Bonds, Silver Cross
Hospital and Medical Centers, Series 2009:
2,000 6.875%, 8/15/38 8/19 at 100.00 BBB 2,128,880
3,000 7.000%, 8/15/44 8/19 at 100.00 BBB 3,201,270
1,000 Illinois Finance Authority, Revenue Bonds, Southern Illinois 3/20 at 100.00 AAA 1,029,350
Healthcare Enterprises, Inc., Series 2005 Remarketed,
5.250%, 3/01/30 - AGM Insured
1,400 Illinois Finance Authority, Revenue Bonds, The University of 8/20 at 100.00 AAA 1,437,310
Chicago Medical Center, Series 2009B, 5.000%, 8/15/26
3,000 Illinois Finance Authority, Revenue Refunding Bonds, 5/19 at 100.00 BBB+ 3,059,940
Resurrection Health Care Corporation, Series 2009,
6.125%, 5/15/25
2,600 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Aaa 2,841,176
Medical Center, Series 2002, 5.500%, 5/15/32
(Pre-refunded 5/15/12)
Nuveen Investments 19
NQM | Nuveen Investment Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 4,000 Illinois Health Facilities Authority, Revenue Refunding 1/13 at 100.00 Baa1 $ 3,986,040
Bonds, Elmhurst Memorial Healthcare, Series 2002, 5.500%,
1/01/22
12,725 Kane, Cook and DuPage Counties School District 46, Elgin, No Opt. Call Aa3 14,142,438
Illinois, General Obligation School Bonds, Series 1997,
7.800%, 1/01/12 - AGM Insured
5,000 Madison County Community Unit School District 7, No Opt. Call N/R (4) 5,421,400
Edwardsville, Illinois, School Building Bonds, Series
1994, 5.850%, 2/01/13 - FGIC Insured (ETM)
6,015 Metropolitan Pier and Exposition Authority, Illinois, No Opt. Call A1 3,438,415
Revenue Refunding Bonds, McCormick Place Expansion
Project, Series 1996A, 0.000%, 12/15/21 - NPFG Insured
Will County High School District 204, Joliet, Illinois,
General Obligation Bonds, Series 2001:
1,145 8.700%, 12/01/13 - AGM Insured No Opt. Call AAA 1,426,521
1,300 8.700%, 12/01/14 - AGM Insured No Opt. Call AAA 1,678,378
1,180 Will County School District 17, Channahon, Illinois, General No Opt. Call Aa3 1,456,450
Obligation School Building Bonds, Series 2001, 8.400%,
12/01/13 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
59,900 Total Illinois 61,615,860
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.7% (2.4% OF TOTAL INVESTMENTS)
5,530 Allen County Jail Building Corporation, Indiana, First 4/11 at 101.00 N/R (4) 5,859,256
Mortgage Bonds, Series 2000, 5.750%, 4/01/20
(Pre-refunded 4/01/11)
1,050 Indiana Finance Authority, Educational Facilities Revenue 10/19 at 100.00 BBB- 1,100,789
Bonds, Drexel Foundation For Educational Excellence,
Inc., Series 2009A, 7.000%, 10/01/39
1,500 Indiana Finance Authority, Hospital Refunding Revenue Bonds, 3/20 at 100.00 A- 1,441,230
Floyd Memorial Hospital and Health Services Project,
Series 2010, 5.125%, 3/01/30
1,880 Indianapolis, Indiana, GNMA Collateralized Multifamily 7/10 at 102.00 Aaa 1,921,830
Housing Mortgage Revenue Bonds, Cloverleaf Apartments
Project Phase I, Series 2000, 6.000%, 1/20/31
2,495 Shelbyville, Indiana, GNMA Collateralized Multifamily 7/10 at 102.00 Aaa 2,550,364
Housing Revenue Bonds, Blueridge Terrace Project, Series
2000, 6.050%, 1/20/36
St. Joseph County Hospital Authority, Indiana, Revenue
Bonds, Madison Center Inc., Series 2005:
1,550 5.250%, 2/15/23 2/15 at 100.00 BB+ 1,373,409
2,500 5.375%, 2/15/34 2/15 at 100.00 BB+ 1,927,850
2,765 Wayne County Jail Holding Corporation, Indiana, First 1/13 at 101.00 A1 (4) 3,130,118
Mortgage Bonds, Series 2001, 5.750%, 7/15/14
(Pre-refunded 1/15/13) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
19,270 Total Indiana 19,304,846
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.9% (1.2% OF TOTAL INVESTMENTS)
800 Iowa Finance Authority, Health Facilities Revenue Bonds, 8/19 at 100.00 Aa3 856,376
Iowa Health System, Series 2008A, 5.625%, 8/15/37 - AGC
Insured
3,000 Iowa Student Loan Liquidity Corporation, Student Loan 12/19 at 100.00 A1 3,071,670
Revenue Bonds, Refunding Series 2009-2, 5.500%, 12/01/25
8,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 5,908,720
Revenue Bonds, Series 2005C, 5.500%, 6/01/42
-----------------------------------------------------------------------------------------------------------------------------------
11,800 Total Iowa 9,836,766
-----------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.1% (0.7% OF TOTAL INVESTMENTS)
1,000 Kansas Development Finance Authority, Health Facilities 11/15 at 100.00 A2 1,024,260
Revenue Bonds, Hays Medical Center Inc., Series 2005L,
5.000%, 11/15/22
600 Overland Park Transportation Development District, Kansas, 4/20 at 100.00 BBB 603,996
Sales Tax Revenue Bonds, Oak Park Mall Project, Series
2010, 5.900%, 4/01/32 (WI/DD, Settling 5/13/10)
375 Sedgwick and Shawnee Counties, Kansas, GNMA Mortgage-Backed No Opt. Call Aaa 403,474
Securities Program Single Family Revenue Bonds, Series
1997A-1, 6.950%, 6/01/29 (Alternative Minimum Tax)
2,865 Topeka, Kansas, Industrial Revenue Refunding Bonds, Sunwest 8/16 at 100.00 AAA 3,624,397
Hotel Corporation, Series 1988, 9.500%, 10/01/16
(Pre-refunded 8/15/16) (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
4,840 Total Kansas 5,656,127
-----------------------------------------------------------------------------------------------------------------------------------
20 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 1.1% (0.7% OF TOTAL INVESTMENTS)
$ 2,000 Jefferson County, Kentucky, Health Facilities Revenue 7/10 at 100.00 A $ 2,001,640
Refunding Bonds, Jewish Hospital HealthCare Services
Inc., Series 1996, 5.700%, 1/01/21 - AMBAC Insured
2,000 Kentucky Economic Development Finance Authority, Hospital 6/20 at 100.00 Baa2 2,042,360
Facilities Revenue Bonds, Owensboro Medical Health
System, Series 2010A, 6.000%, 6/01/30
2,010 Louisville and Jefferson County Metropolitan Government, 10/16 at 100.00 N/R 1,896,797
Kentucky, Industrial Building Revenue Bonds, Sisters of
Mercy of the Americas, Series 2006, 5.000%, 10/01/35
-----------------------------------------------------------------------------------------------------------------------------------
6,010 Total Kentucky 5,940,797
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 1.5% (1.0% OF TOTAL INVESTMENTS)
565 East Baton Rouge Mortgage Finance Authority, Louisiana, 10/10 at 100.50 Aaa 585,600
GNMA/FNMA Mortgage-Backed Securities Program Family
Mortgage Revenue Refunding Bonds, Series 1997D, 5.900%,
10/01/30 (Alternative Minimum Tax)
Jefferson Parish Home Mortgage Authority, Louisiana, Single
Family Mortgage Revenue Bonds, Series 2000G-2:
475 5.550%, 6/01/32 (Alternative Minimum Tax) 12/10 at 102.00 Aaa 487,003
680 6.300%, 6/01/32 (Alternative Minimum Tax) 12/10 at 102.00 Aaa 723,384
1,000 Louisiana Local Government Environmental Facilities & 11/17 at 100.00 BB 1,031,940
Community Development Authority, Revenue Bonds, Westlake
Chemical Corporation Project, Series 2007, 6.750%,
11/01/32
3,000 Louisiana Public Facilities Authority, Hospital Revenue 8/15 at 100.00 A+ 3,001,110
Bonds, Franciscan Missionaries of Our Lady Health System,
Series 2005A, 5.250%, 8/15/31
2,500 Louisiana Public Facilities Authority, Revenue Bonds, 5/17 at 100.00 Baa1 2,271,450
Ochsner Clinic Foundation Project, Series 2007A, 5.500%,
5/15/47
-----------------------------------------------------------------------------------------------------------------------------------
8,220 Total Louisiana 8,100,487
-----------------------------------------------------------------------------------------------------------------------------------
MAINE - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,665 Maine Health and Higher Educational Facilities Authority 7/20 at 100.00 Aa3 1,684,747
Revenue Bonds, Series 2010A, 5.000%, 7/01/40
-----------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.6% (0.4% OF TOTAL INVESTMENTS)
515 Maryland Health and Higher Educational Facilities Authority, 7/20 at 100.00 BBB- 519,645
Revenue Bonds, Patterson Park Public Charter School
Issue, Series 2010, 6.000%, 7/01/40
2,500 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A2 2,565,675
Revenue Bonds, MedStar Health, Series 2004, 5.375%,
8/15/24
-----------------------------------------------------------------------------------------------------------------------------------
3,015 Total Maryland 3,085,320
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 3.8% (2.5% OF TOTAL INVESTMENTS)
4,795 Massachusetts Development Financing Authority, Assisted 6/10 at 102.00 N/R 4,644,485
Living Revenue Bonds, Prospect House Apartments, Series
1999, 7.000%, 12/01/31
1,105 Massachusetts Health and Educational Facilities Authority, 1/11 at 100.00 BBB 1,091,033
Revenue Bonds, Caritas Christi Obligated Group, Series
1999A, 5.625%, 7/01/20
1,875 Massachusetts Health and Educational Facilities Authority, 7/11 at 100.00 BBB+ 1,904,906
Revenue Bonds, UMass Memorial Health Care, Series 2001C,
6.500%, 7/01/21
1,900 Massachusetts Health and Educational Facilities Authority, 7/19 at 100.00 BBB 1,938,475
Revenue Refunding Bonds, Suffolk University Issue, Series
2009A, 5.750%, 7/01/39
2,030 Massachusetts Industrial Finance Agency, Resource Recovery 6/10 at 101.00 BBB 2,004,300
Revenue Refunding Bonds, Ogden Haverhill Project, Series
1998A, 5.600%, 12/01/19 (Alternative Minimum Tax)
5,100 Massachusetts School Building Authority, Dedicated Sales Tax 8/15 at 100.00 AAA 5,503,410
Revenue Bonds, Series 2005A, 5.000%, 8/15/23 - AGM
Insured (UB)
3,120 Massachusetts Water Resources Authority, General Revenue 2/17 at 100.00 AAA 3,044,590
Bonds, Series 2007A, 4.500%, 8/01/46 - AGM Insured (UB)
-----------------------------------------------------------------------------------------------------------------------------------
19,925 Total Massachusetts 20,131,199
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.9% (3.2% OF TOTAL INVESTMENTS)
4,250 Detroit City School District, Wayne County, Michigan, 5/12 at 100.00 AAA 4,633,180
Unlimited Tax School Building and Site Improvement Bonds,
Series 2001A, 5.500%, 5/01/20 (Pre-refunded 5/01/12) -
AGM Insured
2,500 Detroit, Michigan, Distributable State Aid General 11/20 at 100.00 AA- 2,496,825
Obligation Bonds, Limited Tax Series 2010, 5.000%,
11/01/30
Nuveen Investments 21
NQM | Nuveen Investment Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN (continued)
$ 10,215 Detroit, Michigan, Water Supply System Revenue Refunding No Opt. Call A+ $ 11,787,804
Bonds, Series 1993, 6.500%, 7/01/15 - FGIC Insured
1,350 Michigan State Building Authority, Revenue Bonds, Facilities 10/15 at 100.00 Aa3 1,402,164
Program, Series 2005II, 5.000%, 10/15/22 - AMBAC Insured
3,240 Michigan State Hospital Finance Authority, Hospital Revenue 11/19 at 100.00 A1 3,217,126
Bonds, Henry Ford Health System, Refunding Series 2009,
5.750%, 11/15/39
2,000 Michigan State Hospital Finance Authority, Revenue Bonds, 12/16 at 100.00 AA 1,981,660
Trinity Health Care Group, Series 2006A, 5.000%, 12/01/31
(UB)
340 Monroe County Hospital Finance Authority, Michigan, Mercy 6/16 at 100.00 Baa3 282,169
Memorial Hospital Corporation Revenue Bonds, Series 2006,
5.500%, 6/01/35
-----------------------------------------------------------------------------------------------------------------------------------
23,895 Total Michigan 25,800,928
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 7.4% (4.8% OF TOTAL INVESTMENTS)
2,750 Cohasset, Minnesota, Pollution Control Revenue Bonds, Allete 7/14 at 100.00 A2 2,793,258
Inc., Series 2004, 4.950%, 7/01/22
5,000 Dakota and Washington Counties Housing and Redevelopment No Opt. Call AAA 6,665,750
Authority, Minnesota, GNMA Mortgage-Backed Securities
Program Single Family Residential Mortgage Revenue Bonds,
Series 1988, 8.450%, 9/01/19 (Alternative Minimum Tax)
(ETM)
620 Minnesota Agricultural and Economic Development Board, 11/10 at 101.00 A 628,810
Healthcare System Revenue Bonds, Fairview Hospital and
Healthcare Services, Series 2000A, 6.375%, 11/15/29
19,380 Minnesota Agricultural and Economic Development Board, 11/10 at 101.00 A (4) 20,162,758
Healthcare System Revenue Bonds, Fairview Hospital and
Healthcare Services, Series 2000A, 6.375%, 11/15/29
(Pre-refunded 11/15/10)
1,000 St. Paul Housing and Redevelopment Authority, Minnesota, 11/15 at 100.00 BB+ 995,970
Revenue Bonds, Healtheast Inc., Series 2005, 6.000%,
11/15/25
2,000 Washington County Housing & Redevelopment Authority, 5/10 at 100.50 BB+ 1,853,520
Minnesota, Hospital Facility Revenue Bonds, Healtheast
Project, Series 1998, 5.500%, 11/15/27
6,280 Washington County, Minnesota, General Obligation Bonds, 8/17 at 100.00 AAA 5,849,192
Capital Improvement Plan, Series 2007A, 3.500%, 2/01/28
-----------------------------------------------------------------------------------------------------------------------------------
37,030 Total Minnesota 38,949,258
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,000 Mississippi Business Finance Corporation, Pollution Control 10/10 at 100.00 BBB 999,890
Revenue Refunding Bonds, System Energy Resources Inc.
Project, Series 1998, 5.875%, 4/01/22
2,275 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 AA 2,335,447
Revenue Bonds, Baptist Memorial Healthcare, Series
2004B-1, 5.000%, 9/01/24 (UB)
-----------------------------------------------------------------------------------------------------------------------------------
3,275 Total Mississippi 3,335,337
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.7% (1.1% OF TOTAL INVESTMENTS)
2,000 Hanley Road Corridor Transportation Development District, 10/19 at 100.00 A- 2,055,940
Brentwood and Maplewood, Missouri, Transportation Sales
Revenue Bonds, Refunding Series 2009A, 5.875%, 10/01/36
200 Hannibal Industrial Development Authority, Missouri, Health 3/16 at 100.00 BBB+ 195,964
Facilities Revenue Bonds, Hannibal Regional Hospital,
Series 2006, 5.000%, 3/01/22
1,000 Jackson County Reorganized School District R-7, Lees Summit, 3/16 at 100.00 Aa1 1,094,200
Missouri, General Obligation Bonds, Series 2006, 5.250%,
3/01/26 - NPFG Insured
Missouri Development Finance Board, Infrastructure
Facilities Revenue Bonds, Branson Landing Project, Series
2005A:
780 6.000%, 6/01/20 No Opt. Call A 853,125
1,525 5.000%, 6/01/35 6/15 at 100.00 A 1,402,405
2,985 Missouri Development Finance Board. Infrastructure 4/14 at 100.00 A 3,104,340
Facilities Revenue Bonds, City of Independence, Missouri
- Events Center Project, Series 2009F, 6.250%, 4/01/38
-----------------------------------------------------------------------------------------------------------------------------------
8,490 Total Missouri 8,705,974
-----------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 2.1% (1.4% OF TOTAL INVESTMENTS)
11,215 Lincoln, Nebraska, Electric System Revenue Bonds, Series 9/17 at 100.00 AA 11,109,803
2007A, 4.500%, 9/01/37 - FGIC Insured (UB)
-----------------------------------------------------------------------------------------------------------------------------------
22 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 2.7% (1.7% OF TOTAL INVESTMENTS)
$ 5,000 Clark County School District, Nevada, General Obligation 6/12 at 100.00 AA (4) $ 5,480,300
Bonds, Series 2002C, 5.500%, 6/15/19 (Pre-refunded
6/15/12) - NPFG Insured
4,000 Clark County, Nevada, Airport Revenue Bonds, Subordinte Lien 1/20 at 100.00 Aa3 4,249,560
Series 2010B, 5.750%, 7/01/42
7,530 Director of Nevada State Department of Business and Industry, 1/12 at 100.00 Caa2 2,418,410
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000, 5.625%, 1/01/34 - AMBAC Insured (5)
1,600 Las Vegas Redevelopment Agency, Nevada, Tax Increment Revenue 6/19 at 100.00 A 1,834,304
Bonds, Series 2009A, 8.000%, 6/15/30
-----------------------------------------------------------------------------------------------------------------------------------
18,130 Total Nevada 13,982,574
-----------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 0.2% (0.1% OF TOTAL INVESTMENTS)
830 New Hampshire Housing Finance Authority, Single Family 7/17 at 100.00 Aa2 888,142
Mortgage Acquisition Bonds, Series 2007-E, 5.750%, 1/01/37
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.5% (1.6% OF TOTAL INVESTMENTS)
New Jersey Economic Development Authority, School Facilities
Construction Bonds, Series 2005P:
1,325 5.250%, 9/01/24 9/15 at 100.00 AA- 1,417,989
1,000 5.250%, 9/01/26 9/15 at 100.00 AA- 1,057,800
600 New Jersey Educational Facilities Authority, Revenue 6/19 at 100.00 Baa2 689,040
Refunding Bonds, University of Medicine and Dentistry of
New Jersey, Series 2009B, 7.500%, 12/01/32
680 New Jersey Health Care Facilities Financing Authority, New 7/18 at 100.00 Baa2 678,082
Jersey, Revenue Bonds, Saint Peters University Hospital,
Series 2007, 5.750%, 7/01/37
665 New Jersey Higher Education Assistance Authority, Student 6/19 at 100.00 AA 802,961
Loan Revenue Bonds, Tender Option Bond Trust PA-4643,
19.310%, 6/01/30 (IF) (6)
3,425 New Jersey Transportation Trust Fund Authority, No Opt. Call AA- 3,849,940
Transportation System Bonds, Refunding Series 2006A,
5.250%, 12/15/20
700 New Jersey Turnpike Authority, Revenue Bonds, Series 2009E, 1/19 at 100.00 A+ 734,734
5.250%, 1/01/40
1,380 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 1,479,153
Settlement Asset-Backed Bonds, Series 2002, 5.750%,
6/01/32 (Pre-refunded 6/01/12)
3,250 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 2,330,738
Settlement Asset-Backed Bonds, Series 2007-1A, 4.750%,
6/01/34
-----------------------------------------------------------------------------------------------------------------------------------
13,025 Total New Jersey 13,040,437
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.4% (0.3% OF TOTAL INVESTMENTS)
Farmington, New Mexico, Hospital Revenue Bonds, San Juan
Regional Medical Center Inc., Series 2004A:
880 5.125%, 6/01/17 6/14 at 100.00 A3 920,322
1,295 5.125%, 6/01/19 6/14 at 100.00 A3 1,337,334
-----------------------------------------------------------------------------------------------------------------------------------
2,175 Total New Mexico 2,257,656
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 17.2% (11.1% OF TOTAL INVESTMENTS)
Brooklyn Areba Local Development Corporation, New York,
Payment in Lieu of Taxes Revenue Bonds, Barclays Center
Project, Series 2009:
1,945 6.000%, 7/15/30 1/20 at 100.00 BBB- 2,003,934
3,065 6.250%, 7/15/40 No Opt. Call BBB- 3,156,797
1,665 Dormitory Authority of the State of New York, State Personal 3/15 at 100.00 AAA 1,774,907
Income Tax Revenue Bonds, Series 2005F, 5.000%, 3/15/24 -
AMBAC Insured
4,055 Hudson Yards Infrastructure Corporation, New York, Revenue 2/17 at 100.00 A 3,774,272
Bonds, Series 2006A, 4.500%, 2/15/47 - NPFG Insured
3,000 Long Island Power Authority, New York, Electric System 11/16 at 100.00 A 2,783,520
Revenue Bonds, Series 2006F, 4.250%, 5/01/33 - NPFG
Insured
1,000 Metropolitan Transportation Authority, New York, Dedicated 11/19 at 100.00 AA 1,050,300
Tax Fund Bonds, Series 2009B, 5.000%, 11/15/34
2,250 Metropolitan Transportation Authority, New York, 11/15 at 100.00 A 2,301,278
Transportation Revenue Bonds, Series 2005B, 5.000%,
11/15/30 - AMBAC Insured
3,200 Metropolitan Transportation Authority, New York, 11/15 at 100.00 A 3,272,928
Transportation Revenue Bonds, Series 2005F, 5.000%,
11/15/30
Nuveen Investments 23
NQM | Nuveen Investment Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 7,800 New York City Municipal Water Finance Authority, New York, 12/14 at 100.00 AAA $ 8,196,630
Water and Sewerage System Revenue Bonds, Fiscal Series
2005B, 5.000%, 6/15/28 - AMBAC Insured
500 New York City Municipal Water Finance Authority, New York, 6/19 at 100.00 AA+ 606,200
Water and Sewerage System Revenue Bonds, Tender Option
Bond Trust 3484, 17.554%, 6/15/39 (IF)
5,570 New York City Transitional Finance Authority, New York, 2/14 at 100.00 AAA 5,964,412
Future Tax Secured Bonds, Fiscal Series 2004C, 5.000%,
2/01/22 (UB)
1,745 New York City, New York, General Obligation Bonds, Fiscal 6/13 at 100.00 AA 1,935,676
Series 2003J, 5.500%, 6/01/20
3,255 New York City, New York, General Obligation Bonds, Fiscal 6/13 at 100.00 AA (4) 3,699,861
Series 2003J, 5.500%, 6/01/20 (Pre-refunded 6/01/13)
4,200 New York City, New York, General Obligation Bonds, Fiscal 3/15 at 100.00 AA 4,399,710
Series 2005J, 5.000%, 3/01/25
7,000 New York City, New York, General Obligation Bonds, Fiscal 4/15 at 100.00 AA 7,360,640
Series 2005M, 5.000%, 4/01/24 (UB)
5,000 New York City, New York, General Obligation Bonds, Series 8/14 at 100.00 AA 5,542,500
2004C-1, 5.250%, 8/15/20 (UB)
5,000 New York State Municipal Bond Bank Agency, Special School 6/13 at 100.00 A+ 5,407,050
Purpose Revenue Bonds, Series 2003C, 5.250%, 12/01/19
5,400 New York State Tobacco Settlement Financing Corporation, 6/10 at 100.00 AA- 5,418,306
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003A-1, 5.500%, 6/01/16
4,205 New York State Urban Development Corporation, State Personal 3/14 at 100.00 AAA 4,485,431
Income Tax Revenue Bonds, Series 2004A-1, 5.000%, 3/15/23
- FGIC Insured
16,445 Port Authority of New York and New Jersey, Special Project No Opt. Call A 17,524,121
Bonds, JFK International Air Terminal LLC, Sixth Series
1997, 7.000%, 12/01/12 - NPFG Insured (Alternative Minimum
Tax)
-----------------------------------------------------------------------------------------------------------------------------------
86,300 Total New York 90,658,473
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.5% (1.0% OF TOTAL INVESTMENTS)
7,420 North Carolina Medical Care Commission, Health System Revenue 10/11 at 101.00 AA (4) 7,986,591
Bonds, Mission St. Joseph's Health System, Series 2001,
5.250%, 10/01/26 (Pre-refunded 10/01/11)
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 1.3% (0.8% OF TOTAL INVESTMENTS)
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-2:
3,150 5.125%, 6/01/24 6/17 at 100.00 BBB 2,909,970
530 5.875%, 6/01/30 6/17 at 100.00 BBB 448,799
525 5.750%, 6/01/34 6/17 at 100.00 BBB 413,075
1,180 5.875%, 6/01/47 6/17 at 100.00 BBB 885,732
1,000 6.500%, 6/01/47 6/17 at 100.00 BBB 824,630
800 Ohio Air Quality Development Authority, Ohio, Revenue Bonds, No Opt. Call BBB- 850,752
Ohio Valley Electric Corporation Project, Series 2009E,
5.625%, 10/01/19
250 Port of Greater Cincinnati Development Authority, Ohio, 10/16 at 100.00 N/R 235,743
Economic Development Revenue Bonds, Sisters of Mercy of
the Americas, Series 2006, 5.000%, 10/01/25
-----------------------------------------------------------------------------------------------------------------------------------
7,435 Total Ohio 6,568,701
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.7% (1.1% OF TOTAL INVESTMENTS)
750 Norman Regional Hospital Authority, Oklahoma, Hospital 9/16 at 100.00 BB+ 622,148
Revenue Bonds, Series 2005, 5.375%, 9/01/36
Oklahoma Development Finance Authority, Revenue Bonds, Saint
John Health System, Series 2007:
1,900 5.000%, 2/15/37 2/17 at 100.00 A 1,795,443
990 5.000%, 2/15/42 2/17 at 100.00 A 922,967
88 Tulsa County Industrial Authority, Oklahoma, Health Care 12/16 at 100.00 AA 88,115
Revenue Bonds, Saint Francis Health System, Series 2006,
Trust 3500, 8.380%, 12/15/36 (IF)
5,280 Tulsa County Industrial Authority, Oklahoma, Health Care 12/16 at 100.00 AA 5,288,554
Revenue Bonds, Saint Francis Health System, Series 2006,
5.000%, 12/15/36 (UB)
-----------------------------------------------------------------------------------------------------------------------------------
9,008 Total Oklahoma 8,717,227
-----------------------------------------------------------------------------------------------------------------------------------
24 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.9% (1.9% OF TOTAL INVESTMENTS)
$ 1,000 Allegheny Country Industrial Development Authority, Allegheny No Opt. Call BB $ 1,065,650
County, Pennsylvania, Environmental Improvement Revenue
Bonds, United States Steel Corporation Project, Refunding
Series 2009, 6.750%, 11/01/24
2,000 Allegheny County Hospital Development Authority, 8/19 at 100.00 Aa3 2,059,540
Pennsylvania, University of Pittsburgh Medical Center
Revenue Bonds, Series 2009A, 5.375%, 8/15/29
500 Bucks County Industrial Development Authority, Pennsylvania, 3/17 at 100.00 BBB 430,675
Charter School Revenue Bonds, School Lane Charter School,
Series 2007A, 5.000%, 3/15/37
3,000 Commonwealth Financing Authority, Pennsylvania, State 6/16 at 100.00 AAA 3,158,880
Appropriation Lease Bonds, Series 2006A, 5.000%, 6/01/26 -
AGM Insured (UB)
1,000 Cumberland County Municipal Authority Revenue Bonds, 1/19 at 100.00 N/R 1,008,250
Pennsylvania, Diakon Lutheran Social Ministries Project,
Series 2009, 6.125%, 1/01/29
1,500 Pennsylvania Economic Development Financing Authority, Health No Opt. Call A3 1,628,130
System Revenue Bonds , Albert Einstein Healthcare, Series
2009A, 6.250%, 10/15/23
5,125 Pennsylvania Public School Building Authority, Lease Revenue 12/16 at 100.00 AAA 4,889,968
Bonds, School District of Philadelphia, Series 2006B,
4.500%, 6/01/32 - AGM Insured (UB)
1,000 St. Mary Hospital Authority, Pennsylvania, Health System 11/14 at 100.00 A1 (4) 1,162,790
Revenue Bonds, Catholic Health East, Series 2004B, 5.500%,
11/15/24 (Pre-refunded 11/15/14)
-----------------------------------------------------------------------------------------------------------------------------------
15,125 Total Pennsylvania 15,403,883
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 1.6% (1.0% OF TOTAL INVESTMENTS)
1,500 Puerto Rico Infrastructure Financing Authority, Special 10/10 at 101.00 AAA 1,547,805
Obligation Bonds, Series 2000A, 5.500%, 10/01/40
1,225 Puerto Rico Municipal Finance Agency, Series 2005C, 5.250%, No Opt. Call A3 1,281,411
8/01/21 - CIFG Insured
Puerto Rico Sales Tax Financing Corporation, Sales Tax
Revenue Bonds, First Subordinate Series 2009A:
1,100 6.375%, 8/01/39 8/19 at 100.00 A+ 1,238,622
2,000 6.000%, 8/01/42 8/19 at 100.00 A+ 2,169,660
14,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax No Opt. Call Aa2 2,095,660
Revenue Bonds, Series 2007A, 0.000%, 8/01/42 - FGIC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
19,825 Total Puerto Rico 8,333,158
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 1.3% (0.8% OF TOTAL INVESTMENTS)
2,410 Rhode Island Health and Educational Building Corporation, 5/10 at 100.00 A 2,411,494
Hospital Financing Revenue Bonds, Lifespan Obligated
Group, Series 1996, 5.750%, 5/15/23 - NPFG Insured
4,315 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 4,358,409
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.000%, 6/01/23
-----------------------------------------------------------------------------------------------------------------------------------
6,725 Total Rhode Island 6,769,903
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 2.5% (1.6% OF TOTAL INVESTMENTS)
2,000 Berkeley County School District, South Carolina, Installment 12/13 at 100.00 A1 2,056,420
Purchase Revenue Bonds, Securing Assets for Education,
Series 2003, 5.250%, 12/01/24
4,405 Dorchester County School District 2, South Carolina, 12/14 at 100.00 AA- 4,615,030
Installment Purchase Revenue Bonds, GROWTH, Series 2004,
5.250%, 12/01/23
1,355 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A3 (4) 1,508,982
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30 (Pre-refunded 11/15/12)
5,145 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 5,150,248
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002B, 5.625%, 11/15/30
-----------------------------------------------------------------------------------------------------------------------------------
12,905 Total South Carolina 13,330,680
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,750 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 AA- 1,784,178
Revenue Bonds, Sioux Valley Hospitals, Series 2004A,
5.500%, 11/01/31
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 25
NQM | Nuveen Investment Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 2.8% (1.8% OF TOTAL INVESTMENTS)
$ 3,200 Johnson City Health and Educational Facilities Board, 7/16 at 100.00 BBB+ $ 3,067,136
Tennessee, Revenue Bonds, Mountain States Health Alliance,
Series 2006A, 5.500%, 7/01/36
5,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 A1 5,303,700
Tennessee, Hospital Revenue Bonds, Baptist Health System
of East Tennessee Inc., Series 2002, 6.500%, 4/15/31
5,000 Metropolitan Government of Nashville-Davidson County Health 10/19 at 100.00 AA 5,314,350
and Educational Facilities Board, Tennessee, Revenue
Refunding Bonds, Vanderbilt University, Series 2009B,
5.000%, 10/01/39
Sumner County Health, Educational, and Housing Facilities
Board, Tennessee, Revenue Refunding Bonds, Sumner Regional
Health System Inc., Series 2007:
700 5.500%, 11/01/37 (8) 11/17 at 100.00 N/R 454,580
1,200 5.500%, 11/01/46 (8) 11/17 at 100.00 N/R 779,280
-----------------------------------------------------------------------------------------------------------------------------------
15,100 Total Tennessee 14,919,046
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 11.2% (7.2% OF TOTAL INVESTMENTS)
5,000 Board of Regents, University of Texas System, Financing 2/17 at 100.00 AAA 4,941,150
System Revenue Bonds, Series 2006F, 4.250%, 8/15/36 (UB)
1,250 Central Texas Regional Mobility Authority, Senior Lien 1/20 at 100.00 BBB- 1,267,475
Revenue Bonds, Series 2010, 5.750%, 1/01/25
11,950 Houston, Texas, Junior Lien Water and Sewerage System Revenue No Opt. Call AAA 7,287,827
Refunding Bonds, Series 1998A, 0.000%, 12/01/22 - AGM
Insured (ETM)
4,680 Houston, Texas, Junior Lien Water and Sewerage System Revenue No Opt. Call AAA 2,857,655
Refunding Bonds, Series 1998A, 0.000%, 12/01/22 - AGM
Insured
Kerrville Health Facilities Development Corporation, Texas,
Revenue Bonds, Sid Peterson Memorial Hospital Project, Series
2005:
800 5.250%, 8/15/21 No Opt. Call BBB- 781,960
1,220 5.125%, 8/15/26 No Opt. Call BBB- 1,120,338
1,100 North Texas Thruway Authority, First Tier System Revenue 1/18 at 100.00 AAA 1,183,842
Refunding Bonds, Series 2008A, 5.750%, 1/01/40 - AGC
Insured
3,150 North Texas Thruway Authority, Second Tier System Revenue 1/18 at 100.00 A3 3,306,902
Refunding Bonds, Series 2008, 5.750%, 1/01/38
1,100 North Texas Tollway Authority, System Revenue Bonds, First 1/19 at 100.00 A2 1,218,525
Tier Series 2009A, 6.250%, 1/01/39
2,000 Port of Bay City Authority of Matagorda County, Texas, 5/10 at 100.00 B+ 1,951,520
Revenue Bonds (Hoechst Celanese Corporation Project)
Series 1996, 6.500%, 5/01/26 (Alternative Minimum Tax)
1,000 Sabine River Authority, Texas, Pollution Control Revenue 11/15 at 100.00 CCC 468,300
Bonds, TXU Electric Company, Series 2001C, 5.200%, 5/01/28
3,960 Stafford Economic Development Corporation, Texas, Sales Tax 9/15 at 100.00 A+ 4,103,946
Revenue Bonds, Series 2000, 5.500%, 9/01/30 - FGIC Insured
7,500 Tarrant County Cultural & Educational Facilities Financing 2/17 at 100.00 AA- 7,550,925
Corporation, Texas, Revenue Bonds, Texas Health Resources,
Series 2007A, 5.000%, 2/15/36 (UB)
2,965 Tarrant County Health Facilities Development Corporation, 12/10 at 105.00 Aaa 3,150,105
Texas, GNMA Collateralized Mortgage Loan Revenue Bonds,
Eastview Nursing Home, Ebony Lake Nursing Center, Ft.
Stockton Nursing Center, Lynnhaven Nursing Center and
Mission Oaks Manor, Series 2000A-1, 7.500%, 12/20/22
650 Texas Municipal Gas Acquisition and Supply Corporation I, Gas No Opt. Call A 706,108
Supply Revenue Bonds, Senior Lien Series 2008D, 6.250%,
12/15/26
1,620 Texas Private Activity Bond Surface Transportation 12/19 at 100.00 Baa2 1,699,639
Corporation, Senior Lien Revenue Bonds, NTE Mobility
Partners LLC North Tarrant Express Managed Lanes Project,
Series 2009, 6.875%, 12/31/39
1,000 Texas Public Finance Authority, Charter School Finance 8/17 at 100.00 BBB 847,550
Corporation Revenue Bonds, Idea Public School Project,
Series 2007A, 5.000%, 8/15/37 - ACA Insured
Texas Turnpike Authority, First Tier Revenue Bonds, Central
Texas Turnpike System, Series 2002A:
10,000 0.000%, 8/15/21 - AMBAC Insured No Opt. Call BBB+ 5,341,100
12,000 0.000%, 8/15/23 - AMBAC Insured No Opt. Call BBB+ 5,581,920
2,500 Tomball Hospital Authority, Texas, Hospital Revenue Bonds, 7/15 at 100.00 Baa3 2,320,525
Tomball Regional Hospital, Series 2005, 5.000%, 7/01/20
1,125 Travis County Health Facilities Development Corporation, No Opt. Call N/R 1,136,655
Texas, Revenue Bonds, Westminster Manor, Series 2010,
7.000%, 11/01/30
-----------------------------------------------------------------------------------------------------------------------------------
76,570 Total Texas 58,823,967
-----------------------------------------------------------------------------------------------------------------------------------
26 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 0.2% (0.1% OF TOTAL INVESTMENTS)
$ 250 Virgin Islands Public Finance Authority, Matching Fund Loan 10/19 at 100.00 Baa3 $ 260,760
Notes Revenue Bonds, Subordinate Lien Series 2009A,
6.000%, 10/01/39
820 Virgin Islands Public Finance Authority, Matching Fund 10/19 at 100.00 BBB 893,767
Revenue Loan Note - Diageo Project, Series 2009A, 6.750%,
10/01/37
-----------------------------------------------------------------------------------------------------------------------------------
1,070 Total Virgin Islands 1,154,527
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.5% (0.3% OF TOTAL INVESTMENTS)
1,000 Amherst Industrial Development Authority, Virginia, Revenue 9/16 at 100.00 BBB 999,930
Bonds, Sweet Briar College, Series 2006, 5.000%, 9/01/26
1,870 Virginia Beach Development Authority, Virginia, Multifamily 10/14 at 102.00 N/R 1,809,636
Residential Rental Housing Revenue Bonds, Hamptons and
Hampton Court Apartments, Series 1999, 7.500%, 10/01/39
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
2,870 Total Virginia 2,809,566
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 5.9% (3.8% OF TOTAL INVESTMENTS)
11,345 Chelan County Public Utility District 1, Washington, Columbia No Opt. Call AA 7,820,222
River-Rock Island Hydro-Electric System Revenue Refunding
Bonds, Series 1997A, 0.000%, 6/01/19 - NPFG Insured
17,075 Port of Seattle, Washington, Limited Tax General Obligation 12/10 at 100.00 AAA 17,168,742
Bonds, Series 2000B, 5.750%, 12/01/25 (Alternative Minimum
Tax) (UB)
5,000 Port of Seattle, Washington, Revenue Bonds, Series 2001B, 10/11 at 100.00 Aa2 5,269,100
5.625%, 4/01/17 - FGIC Insured (Alternative Minimum Tax)
(UB)
1,000 Washington State Health Care Facilities Authority, Revenue No Opt. Call N/R 826,060
Bonds, Northwest Hospital and Medical Center of Seattle,
Series 2007, 5.700%, 12/01/32
-----------------------------------------------------------------------------------------------------------------------------------
34,420 Total Washington 31,084,124
-----------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.3% (0.8% OF TOTAL INVESTMENTS)
3,550 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 3,585,003
Appalachian Power Company, Series 2003L, 5.500%, 10/01/22
1,950 West Virginia Hospital Finance Authority, Hospital Revenue 9/19 at 100.00 A2 2,001,831
Bonds, Charleston Area Medical Center, Series 2009A,
5.625%, 9/01/32
1,000 West Virginia Hospital Finance Authority, Hospital Revenue 10/18 at 100.00 N/R 963,620
Bonds, Thomas Health System, Inc., Series 2008, 6.500%,
10/01/38
-----------------------------------------------------------------------------------------------------------------------------------
6,500 Total West Virginia 6,550,454
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 3.2% (2.1% OF TOTAL INVESTMENTS)
4,830 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 AAA 5,172,108
Tobacco Settlement Asset-Backed Bonds, Series 2002,
6.125%, 6/01/27 (Pre-refunded 6/01/12)
815 Monroe Redevelopment Authority, Wisconsin, Development 2/19 at 100.00 A3 827,485
Revenue Bonds, The Monroe Clinic, Inc., Series 2009,
5.875%, 2/15/39
Wisconsin Health and Educational Facilities Authority,
Revenue Bonds, Eagle River Memorial Hospital Inc., Series
2000:
1,000 5.750%, 8/15/20 - RAAI Insured 8/10 at 101.00 N/R 1,007,569
3,000 5.875%, 8/15/30 - RAAI Insured 8/10 at 101.00 N/R 2,959,469
1,150 Wisconsin Health and Educational Facilities Authority, 5/14 at 100.00 BBB+ 1,151,218
Revenue Bonds, Fort Healthcare Inc., Series 2004, 5.750%,
5/01/24
1,000 Wisconsin Health and Educational Facilities Authority, 8/16 at 100.00 BBB+ 912,969
Revenue Bonds, Wheaton Franciscan Healthcare System,
Series 2006, 5.250%, 8/15/34
4,600 Wisconsin State, General Obligation Bonds, Series 2006A, 5/16 at 100.00 AA 4,826,273
4.750%, 5/01/25 - FGIC Insured (UB)
-----------------------------------------------------------------------------------------------------------------------------------
16,395 Total Wisconsin 16,857,091
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 27
NQM | Nuveen Investment Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WYOMING - 0.8% (0.5% OF TOTAL INVESTMENTS)
$ 1,720 Sweetwater County, Wyoming, Pollution Control Revenue 8/19 at 100.00 A2 $ 1,825,160
Refunding Bonds, Idaho Power Company Project, Series 2006,
5.250%, 7/15/26 (Mandatory put 8/21/19)
2,500 Sweetwater County, Wyoming, Solid Waste Disposal Revenue 12/15 at 100.00 BBB+ 2,420,675
Bonds, FMC Corporation, Series 2005, 5.600%, 12/01/35
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
4,220 Total Wyoming 4,245,835
-----------------------------------------------------------------------------------------------------------------------------------
$ 877,273 Total Investments (cost $791,741,498) - 154.9% 815,001,946
===============--------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (17.7)% (93,297,000)
-----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.8% 15,185,817
-----------------------------------------------------------------------------------------------------------------
Auction Rate Preferred Shares, at Liquidation Value -
(40.0)% (7) (210,700,000)
-----------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 526,190,763
=================================================================================================================
(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.
(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) The Fund's Adviser has concluded this issue is not likely to meet its
future interest payment obligations and has directed the Fund's custodian
to cease accruing additional income on the Fund's records.
(6) Investment, or portion of investment, has been pledged as collateral for
inverse floating rate transactions.
(7) Auction Rate Preferred Shares, at Liquidation Value as a percentage of
Total Investments is 25.9%.
(8) For fair value measurement disclosure purposes, investment categorized as
Level 3. See Notes to Financial Statements, Footnote 2 - Fair Value
Measurements for more information.
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. See Notes to Financial Statements, Footnote 1 - Inverse
Floating Rate Securities for more information.
See accompanying notes to financial statements.
28 Nuveen Investments
NQS | Nuveen Select Quality Municipal Fund, Inc.
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 3.0% (2.0% OF TOTAL INVESTMENTS)
$ 10,000 Lauderdale County and Florence Health Authority, Alabama, 7/10 at 102.00 A $ 9,765,500
Revenue Bonds, Coffee Health Group, Series 2000A, 6.000%,
7/01/29 - NPFG Insured
5,155 Phenix City Industrial Development Board, Alabama, 5/12 at 100.00 BBB 4,772,396
Environmental Improvement Revenue Bonds, MeadWestvaco
Corporation, Series 2002A, 6.350%, 5/15/35 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
15,155 Total Alabama 14,537,896
-----------------------------------------------------------------------------------------------------------------------------------
ALASKA - 1.0% (0.7% OF TOTAL INVESTMENTS)
500 Alaska Housing Finance Corporation, General Housing Purpose 12/14 at 100.00 AA 517,775
Bonds, Series 2005A, 5.000%, 12/01/26 - FGIC Insured (UB)
2,000 Kenai Peninsula Borough, Alaska, Revenue Bonds, Central Kenai 8/13 at 100.00 A1 2,056,500
Peninsula Hospital Service Area, Series 2003, 5.000%,
8/01/23 - FGIC Insured
2,310 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 2,293,114
Settlement Asset-Backed Bonds, Series 2006A, 4.625%,
6/01/23
-----------------------------------------------------------------------------------------------------------------------------------
4,810 Total Alaska 4,867,389
-----------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 2.9% (1.9% OF TOTAL INVESTMENTS)
2,300 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/18 at 100.00 AA- 2,341,538
Airport Revenue Bonds, Series 2008A, 5.000%, 7/01/33
3,750 Salt River Project Agricultural Improvement and Power 12/13 at 100.00 Aa2 4,082,363
District, Arizona, Electric System Revenue Bonds, Series
2003, 5.000%, 12/01/18 - NPFG Insured
8,000 Salt Verde Financial Corporation, Arizona, Senior Gas Revenue No Opt. Call A 7,134,080
Bonds, Citigroup Energy Inc Prepay Contract Obligations,
Series 2007, 5.000%, 12/01/37
750 Scottsdale Industrial Development Authority, Arizona, 9/13 at 100.00 A3 744,390
Hospital Revenue Bonds, Scottsdale Healthcare, Series
2008A, 5.250%, 9/01/30
-----------------------------------------------------------------------------------------------------------------------------------
14,800 Total Arizona 14,302,371
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.0% (0.7% OF TOTAL INVESTMENTS)
4,500 Little Rock, Arkansas, Hotel and Restaurant Gross Receipts No Opt. Call A2 5,125,860
Tax Refunding Bonds, Series 1993, 7.375%, 8/01/15
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 6.1% (4.1% OF TOTAL INVESTMENTS)
Calexico Unified School District, Imperial County,
California, General Obligation Bonds, Series 2005B:
3,685 0.000%, 8/01/31 - FGIC Insured No Opt. Call A1 934,516
4,505 0.000%, 8/01/33 - FGIC Insured No Opt. Call A1 998,443
1,110 California County Tobacco Securitization Agency, Tobacco 6/15 at 100.00 BBB 970,429
Settlement Asset-Backed Bonds, Sonoma County Tobacco
Securitization Corporation, Series 2005, 5.000%, 6/01/26
550 California Pollution Control Financing Authority, Remarketed 4/11 at 102.00 A 573,392
Revenue Bonds, Pacific Gas and Electric Company, Series
1996A, 5.350%, 12/01/16 - NPFG Insured (Alternative
Minimum Tax)
1,550 California Statewide Community Development Authority, Revenue 7/18 at 100.00 AA- 1,595,942
Bonds, St. Joseph Health System, Series 2007A, 5.750%,
7/01/47 - FGIC Insured
1,000 Coachella Valley Unified School District, Riverside County, No Opt. Call A1 271,570
California, General Obligation Bonds, Series 2005A,
0.000%, 8/01/30 - FGIC Insured
Colton Joint Unified School District, San Bernardino County,
California, General Obligation Bonds, Series 2006C:
3,200 0.000%, 2/01/30 - FGIC Insured 2/15 at 45.69 Aa3 898,144
6,800 0.000%, 2/01/35 - FGIC Insured 2/15 at 34.85 Aa3 1,309,136
Cupertino Union School District, Santa Clara County,
California, General Obligation Bonds, Series 2003B:
8,100 0.000%, 8/01/24 - FGIC Insured 8/13 at 58.68 Aa1 3,834,621
11,430 0.000%, 8/01/27 - FGIC Insured 8/13 at 49.98 Aa1 4,250,931
7,000 Golden State Tobacco Securitization Corporation, California, 6/15 at 100.00 A2 5,223,400
Enhanced Tobacco Settlement Revenue Bonds, Tender Option
Bonds Trust 2040, 10.360%, 6/01/45 - FGIC Insured (IF)
1,045 Lake Tahoe Unified School District, El Dorado County, No Opt. Call Aa3 268,356
California, General Obligation Bonds, Series 2001B,
0.000%, 8/01/31 - NPFG Insured
Nuveen Investments 29
NQS | Nuveen Select Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 2,350 Palomar Pomerado Health Care District, California, 11/19 at 100.00 Baa2 $ 2,462,730
Certificates of Participation, Series 2009, 6.750%,
11/01/39
6,000 Placentia-Yorba Linda Unified School District, Orange County, No Opt. Call A+ 1,255,920
California, Certificates of Participation, Series 2006,
0.000%, 10/01/34 - FGIC Insured
5,000 Riverside County Asset Leasing Corporation, California, No Opt. Call A1 2,019,700
Leasehold Revenue Bonds, Riverside County Hospital
Project, Series 1997, 0.000%, 6/01/25 - NPFG Insured
5,000 Santa Monica Community College District, Los Angeles County, No Opt. Call Aa1 1,989,900
California, General Obligation Bonds, Series 2005C,
0.000%, 8/01/26 - NPFG Insured
2,460 Santee School District, County, California, General No Opt. Call AAA 606,956
Obligation Bonds, Capital Appreciation, Election 2006,
Series 2008D, 0.000%, 8/01/33 - AGC Insured
2,000 Yuma Community College District, California, General 8/17 at 45.45 Aa2 450,400
Obligation Bonds, Series 2007B, 0.000%, 8/01/33 - AMBAC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
72,785 Total California 29,914,486
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 10.9% (7.3% OF TOTAL INVESTMENTS)
11,000 Colorado Department of Transportation, Revenue Anticipation 6/10 at 100.50 Aaa 11,133,980
Bonds, Series 2000, 6.000%, 6/15/15 (Pre-refunded 6/15/10)
- AMBAC Insured
3,335 Colorado Health Facilities Authority, Colorado, Revenue 7/19 at 100.00 AA 3,549,574
Bonds, Catholic Health Initiatives, Series 2009A, 5.500%,
7/01/34
1,150 Colorado Health Facilities Authority, Revenue Bonds, Poudre 9/18 at 102.00 AAA 1,166,135
Valley Health System, Series 2005C, 5.250%, 3/01/40 - AGM
Insured
16,995 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 A+ 17,088,812
Refunding Bonds, Series 2000A, 5.625%, 11/15/23 - AMBAC
Insured (Alternative Minimum Tax)
4,500 Denver City and County, Colorado, Airport System Revenue 11/11 at 100.00 A+ 4,753,845
Refunding Bonds, Series 2001A, 5.500%, 11/15/16 - FGIC
Insured (Alternative Minimum Tax)
1,500 Denver Convention Center Hotel Authority, Colorado, Senior 11/16 at 100.00 BBB- 1,245,570
Revenue Bonds, Convention Center Hotel, Series 2006,
4.625%, 12/01/30 - SYNCORA GTY Insured
E-470 Public Highway Authority, Colorado, Senior Revenue
Bonds, Series 1997B:
1,420 0.000%, 9/01/23 - NPFG Insured No Opt. Call A 621,477
8,515 0.000%, 9/01/25 - NPFG Insured No Opt. Call A 3,225,993
13,000 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, 9/20 at 45.40 A 2,601,170
Series 2004B, 0.000%, 9/01/34 - NPFG Insured
5,000 Ebert Metropolitan District, Colorado, Limited Tax General 12/17 at 100.00 N/R 3,431,000
Obligation Bonds, Series 2007, 5.350%, 12/01/37 - RAAI
Insured
12,355 Northwest Parkway Public Highway Authority, Colorado, Senior 6/11 at 40.52 AAA 4,938,911
Lien Revenue Bonds, Series 2001B, 0.000%, 6/15/26
(Pre-refunded 6/15/11) - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
78,770 Total Colorado 53,756,467
-----------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 2.8% (1.9% OF TOTAL INVESTMENTS)
District of Columbia Tobacco Settlement Corporation, Tobacco
Settlement Asset-Backed Bonds, Series 2001:
2,415 6.250%, 5/15/24 5/11 at 101.00 BBB 2,428,645
5,485 6.500%, 5/15/33 No Opt. Call BBB 5,407,497
5,000 District of Columbia, General Obligation Bonds, Series 1998B, No Opt. Call Aa2 5,965,100
6.000%, 6/01/19 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
12,900 Total District of Columbia 13,801,242
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 3.8% (2.5% OF TOTAL INVESTMENTS)
Lee County, Florida, Airport Revenue Bonds, Series 2000A:
3,075 5.875%, 10/01/18 - AGM Insured (Alternative Minimum Tax) 10/10 at 101.00 AAA 3,131,119
4,860 5.875%, 10/01/19 - AGM Insured (Alternative Minimum Tax) 10/10 at 101.00 AAA 4,945,828
9,250 Port Saint Lucie, Florida, Special Assessment Revenue Bonds, 7/17 at 100.00 A 8,260,898
Southwest Annexation District 1B, Series 2007, 5.000%,
7/01/40 - NPFG Insured
2,500 South Miami Health Facilities Authority, Florida, Revenue 8/17 at 100.00 AA- 2,326,650
Bonds, Baptist Health Systems of South Florida, Series
2007, ROLS 11151, 17.728%, 8/15/42 (IF)
-----------------------------------------------------------------------------------------------------------------------------------
19,685 Total Florida 18,664,495
-----------------------------------------------------------------------------------------------------------------------------------
30 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.8% (0.5% OF TOTAL INVESTMENTS)
$ 3,750 Atlanta, Georgia, Airport General Revenue Bonds, Series 7/10 at 101.00 A+ $ 3,780,188
2000B, 5.625%, 1/01/30 - FGIC Insured (Alternative Minimum
Tax)
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 19.0% (12.7% OF TOTAL INVESTMENTS)
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1:
3,855 0.000%, 12/01/25 - FGIC Insured No Opt. Call Aa2 1,744,619
2,925 0.000%, 12/01/31 - FGIC Insured No Opt. Call Aa2 889,931
5,865 Chicago, Illinois, General Obligation Bonds, Neighborhoods 7/10 at 101.00 AAA 5,985,115
Alive 21 Program, Series 2000A, 6.500%, 1/01/35
(Pre-refunded 7/01/10) - FGIC Insured
15,000 Chicago, Illinois, Second Lien Passenger Facility Charge 1/11 at 101.00 A2 14,856,750
Revenue Bonds, O'Hare International Airport, Series 2001A,
5.375%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax)
Chicago, Illinois, Second Lien Passenger Facility Charge
Revenue Bonds, O'Hare International Airport, Series 2001C:
3,770 5.100%, 1/01/26 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 A2 3,774,524
5,460 5.250%, 1/01/32 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 A2 5,321,698
1,500 Illinois Finance Authority, Revenue Bonds, Central DuPage 11/19 at 100.00 AA 1,564,245
Health, Series 2009B, 5.500%, 11/01/39
2,000 Illinois Finance Authority, Revenue Bonds, Children's 8/18 at 100.00 AAA 2,012,120
Memorial Hospital, Series 2008A, 5.250%, 8/15/47 - AGC
Insured (UB)
1,000 Illinois Finance Authority, Revenue Bonds, Edward Health 2/18 at 100.00 A+ 1,003,040
Services Corporation, Series 2008A, 5.500%, 2/01/40 -
AMBAC Insured
10,000 Illinois Finance Authority, Revenue Bonds, Palos Community 5/20 at 100.00 N/R 9,909,200
Hospital, Series 2010C, 5.125%, 5/15/35 (WI/DD, Settling
5/06/10)
3,975 Illinois Finance Authority, Revenue Bonds, Sherman Health 8/17 at 100.00 BBB 3,610,771
Systems, Series 2007A, 5.500%, 8/01/37
5,000 Illinois Finance Authority, Revenue Refunding Bonds, Silver 8/18 at 100.00 BBB 4,686,100
Cross Hospital and Medical Centers, Series 2008A, 5.500%,
8/15/30
10,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Aaa 10,978,100
Medical Center, Series 2002, 5.750%, 5/15/22 (Pre-refunded
5/15/12)
2,000 Illinois Health Facilities Authority, Revenue Bonds, Midwest 2/11 at 102.00 Aaa 2,046,260
Care Center I Inc., Series 2001, 5.950%, 2/20/36
4,505 Illinois Health Facilities Authority, Revenue Bonds, Sherman 8/10 at 100.00 BBB 4,505,000
Health Systems, Series 1997, 5.250%, 8/01/17 - AMBAC
Insured
8,945 Lake and McHenry Counties Community Unit School District 118, 1/15 at 74.44 Aa3 5,406,984
Wauconda, Illinois, General Obligation Bonds, Series
2005B, 0.000%, 1/01/21 - AGM Insured
9,000 McHenry County Community Unit School District 200, Woodstock, No Opt. Call Aa2 5,080,230
Illinois, General Obligation Bonds, Series 2006B, 0.000%,
1/15/23 - FGIC Insured
Metropolitan Pier and Exposition Authority, Illinois, Revenue
Bonds, McCormick Place Expansion Project, Series 2002A:
6,700 0.000%, 12/15/23 - NPFG Insured No Opt. Call AAA 3,347,119
2,920 5.000%, 12/15/28 - NPFG Insured 6/12 at 101.00 AAA 2,963,683
1,100 0.000%, 12/15/35 - NPFG Insured No Opt. Call AAA 244,233
2,455 0.000%, 6/15/41 - NPFG Insured No Opt. Call AAA 388,700
7,500 Valley View Public Schools, Community Unit School District No Opt. Call AA 3,535,725
365U of Will County, Illinois, General Obligation Bonds,
Series 2005, 0.000%, 11/01/25 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
115,475 Total Illinois 93,854,147
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 2.8% (1.9% OF TOTAL INVESTMENTS)
2,000 Hospital Authority of Delaware County, Indiana, Hospital 8/16 at 100.00 Baa3 1,781,060
Revenue Bonds, Cardinal Health System, Series 2006,
5.250%, 8/01/36
2,000 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB 1,961,340
Community Foundation of Northwest Indiana, Series 2007,
5.500%, 3/01/37
2,225 Indiana Municipal Power Agency, Power Supply Revenue Bonds, 1/17 at 100.00 A+ 2,236,125
Series 2007A, 5.000%, 1/01/42 - NPFG Insured
7,660 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/11 at 100.00 AA- (4) 7,979,728
Memorial Health System, Series 2000, 5.625%, 8/15/33
(Pre-refunded 2/15/11) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
13,885 Total Indiana 13,958,253
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 31
NQS | Nuveen Select Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 0.5% (0.3% OF TOTAL INVESTMENTS)
$ 3,100 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB $ 2,319,048
Revenue Bonds, Series 2005C, 5.625%, 6/01/46
-----------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.8% (0.6% OF TOTAL INVESTMENTS)
3,790 Kansas Department of Transportation, Highway Revenue Bonds, 3/14 at 100.00 AAA 4,135,875
Series 2004A, 5.000%, 3/01/23 (UB)
-----------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.2% (0.1% OF TOTAL INVESTMENTS)
1,000 Kentucky Economic Development Finance Authority, Louisville 6/18 at 100.00 AAA 1,098,560
Arena Project Revenue Bonds, Louisville Arena Authority,
Inc., Series 2008-A1, 6.000%, 12/01/33 - AGC Insured
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 1.2% (0.8% OF TOTAL INVESTMENTS)
5,000 Louisiana Public Facilities Authority, Revenue Bonds, Ochsner 5/17 at 100.00 Baa1 4,487,200
Clinic Foundation Project, Series 2007A, 5.375%, 5/15/43
1,350 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 1,351,769
Settlement Asset-Backed Bonds, Series 2001B, 5.500%,
5/15/30
-----------------------------------------------------------------------------------------------------------------------------------
6,350 Total Louisiana 5,838,969
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.6% (0.4% OF TOTAL INVESTMENTS)
500 Massachusetts Health and Educational Facilities Authority, 7/18 at 100.00 A3 480,875
Revenue Bonds, CareGroup Inc., Series 2008E-1 &2, 5.125%,
7/01/38
2,300 Massachusetts Health and Educational Facilities Authority, 7/19 at 100.00 BBB 2,346,575
Revenue Refunding Bonds, Suffolk University Issue, Series
2009A, 5.750%, 7/01/39
-----------------------------------------------------------------------------------------------------------------------------------
2,800 Total Massachusetts 2,827,450
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.6% (3.0% OF TOTAL INVESTMENTS)
540 Detroit, Michigan, General Obligation Bonds, Series 2003A, 4/13 at 100.00 BB 480,028
5.250%, 4/01/19 - SYNCORA GTY Insured
3,275 Michigan State Hospital Finance Authority, Revenue Refunding 8/10 at 100.00 BB- 3,249,815
Bonds, Detroit Medical Center Obligated Group, Series
1993A, 6.500%, 8/15/18
6,000 Michigan Strategic Fund, Collateralized Limited Obligation 9/11 at 100.00 A2 6,001,740
Pollution Control Revenue Refunding Bonds, Fixed Rate
Conversion, Detroit Edison Company, Series 1999C, 5.650%,
9/01/29 - SYNCORA GTY Insured (Alternative Minimum Tax)
7,500 Michigan Strategic Fund, Limited Obligation Revenue Refunding 12/12 at 100.00 Baa1 7,170,975
Bonds, Detroit Edison Company, Series 2002C, 5.450%,
12/15/32 - SYNCORA GTY Insured (Alternative Minimum Tax)
5,900 Royal Oak Hospital Finance Authority, Michigan, Hospital 11/11 at 100.00 A1 5,507,355
Revenue Bonds, William Beaumont Hospital, Series 2001M,
5.250%, 11/15/35 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
23,215 Total Michigan 22,409,913
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.5% (1.0% OF TOTAL INVESTMENTS)
7,000 Minneapolis-St. Paul Metropolitan Airports Commission, 1/11 at 100.00 AAA 7,232,750
Minnesota, Airport Revenue Bonds, Series 2001A, 5.250%,
1/01/32 (Pre-refunded 1/01/11) - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,475 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 AA 2,540,761
Revenue Bonds, Baptist Memorial Healthcare, Series
2004B-1, 5.000%, 9/01/24 (UB)
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.7% (0.5% OF TOTAL INVESTMENTS)
5,000 Kansas City Municipal Assistance Corporation, Missouri, No Opt. Call AA- 1,888,150
Leasehold Revenue Bonds, Series 2004B-1, 0.000%, 4/15/28 -
AMBAC Insured
1,500 Missouri-Illinois Metropolitan District Bi-State Development 10/13 at 100.00 AAA 1,515,420
Agency, Mass Transit Sales Tax Appropriation Bonds,
Metrolink Cross County Extension Project, Series 2002B,
5.000%, 10/01/32 - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
6,500 Total Missouri 3,403,570
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 5.5% (3.7% OF TOTAL INVESTMENTS)
4,885 Clark County, Nevada, Limited Tax General Obligation Bank 7/10 at 100.00 Aaa 4,928,428
Bonds, Series 2000, 5.500%, 7/01/18 (Pre-refunded 7/01/10)
7,500 Clark County, Nevada, Subordinate Lien Airport Revenue Bonds, 7/10 at 101.00 Aa3 (4) 7,648,050
Series 1999A, 6.000%, 7/01/29 (Pre-refunded 7/01/10) -
NPFG Insured
32 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA (continued)
$ 1,950 Director of Nevada State Department of Business and Industry, 1/12 at 100.00 Caa2 $ 626,301
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000, 5.625%, 1/01/32 - AMBAC Insured (5)
2,500 Reno, Nevada, Health Facilities Revenue Bonds, Catholic 7/17 at 100.00 AA+ 2,775,700
Healthcare West, Trust 2634, 18.389%, 7/01/31 - BHAC
Insured (IF)
10,750 Truckee Meadows Water Authority, Nevada, Water Revenue Bonds, 7/11 at 100.00 AAA 11,351,785
Series 2001A, 5.250%, 7/01/34 (Pre-refunded 7/01/11) - AGM
Insured
-----------------------------------------------------------------------------------------------------------------------------------
27,585 Total Nevada 27,330,264
-----------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 1.0% (0.7% OF TOTAL INVESTMENTS)
5,000 New Hampshire Business Finance Authority, Revenue Bonds, 10/19 at 100.00 BBB+ 5,087,350
Elliot Hospital Obligated Group Issue, Series 2009A,
6.125%, 10/01/39
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 7.9% (5.2% OF TOTAL INVESTMENTS)
16,840 New Jersey Health Care Facilities Financing Authority, 1/17 at 39.39 BB+ 2,265,990
Revenue Bonds, Saint Barnabas Health Care System, Series
2006A, 0.000%, 7/01/35
2,400 New Jersey Health Care Facilities Financing Authority, 7/10 at 101.00 BBB- (4) 2,452,824
Revenue Bonds, Trinitas Hospital Obligated Group, Series
2000, 7.500%, 7/01/30 (Pre-refunded 7/01/10)
14,865 New Jersey Housing and Mortgage Finance Agency, Home Buyer 10/10 at 100.00 Aaa 15,239,747
Program Revenue Bonds, Series 2000CC, 5.850%, 10/01/25 -
NPFG Insured (Alternative Minimum Tax)
1,905 New Jersey Housing and Mortgage Finance Agency, Multifamily 5/10 at 100.00 A+ 1,905,724
Housing Revenue Bonds, Series 1997A, 5.550%, 5/01/27 -
AMBAC Insured (Alternative Minimum Tax)
20,000 New Jersey Transportation Trust Fund Authority, No Opt. Call AAA 5,462,000
Transportation System Bonds, Series 2006C, 0.000%,
12/15/33 - AGM Insured
6,470 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/12 at 100.00 AAA 6,934,870
Settlement Asset-Backed Bonds, Series 2002, 5.750%,
6/01/32 (Pre-refunded 6/01/12)
6,500 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 4,517,695
Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%,
6/01/41
-----------------------------------------------------------------------------------------------------------------------------------
68,980 Total New Jersey 38,778,850
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 4.8% (3.2% OF TOTAL INVESTMENTS)
8,500 Farmington, New Mexico, Pollution Control Revenue Refunding 10/10 at 100.00 Baa3 8,500,425
Bonds, Public Service Company of New Mexico - San Juan
Project, Series 1997B, 5.800%, 4/01/22
New Mexico Hospital Equipment Loan Council, Hospital Revenue
Bonds, Presbyterian Healthcare Services, Series 2001A:
8,000 5.500%, 8/01/25 (Pre-refunded 8/01/11) 8/11 at 101.00 AA- (4) 8,567,280
6,200 5.500%, 8/01/30 (Pre-refunded 8/01/11) 8/11 at 101.00 AA- (4) 6,639,642
-----------------------------------------------------------------------------------------------------------------------------------
22,700 Total New Mexico 23,707,347
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 3.5% (2.3% OF TOTAL INVESTMENTS)
7,000 Metropolitan Transportation Authority, New York, State 7/12 at 100.00 AA- 7,157,290
Service Contract Refunding Bonds, Series 2002A, 5.125%,
1/01/29
5,000 New York City Municipal Water Finance Authority, New York, 6/10 at 100.00 AAA 5,029,700
Water and Sewerage System Revenue Bonds, Fiscal Series
1999B, 5.000%, 6/15/29 - AGM Insured
5,135 New York State Mortgage Agency, Homeowner Mortgage Revenue 9/10 at 100.50 Aa1 5,151,278
Bonds, Series 79, 5.300%, 4/01/29 (Alternative Minimum
Tax)
-----------------------------------------------------------------------------------------------------------------------------------
17,135 Total New York 17,338,268
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 4.8% (3.2% OF TOTAL INVESTMENTS)
3,000 Charlotte-Mecklenberg Hospital Authority, North Carolina, 1/18 at 100.00 AA- 3,020,760
Carolinas HealthCare System Revenue Bonds, Series 2008A,
5.000%, 1/15/47
18,555 North Carolina Eastern Municipal Power Agency, Power System 7/10 at 100.00 Baa1 18,584,317
Revenue Refunding Bonds, Series 1993B, 5.500%, 1/01/17 -
FGIC Insured
1,900 North Carolina Turnpike Authority, Triangle Expressway System 1/19 at 100.00 AAA 2,039,175
Revenue Bonds, Series 2009A, 5.750%, 1/01/39 - AGC Insured
-----------------------------------------------------------------------------------------------------------------------------------
23,455 Total North Carolina 23,644,252
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 33
NQS | Nuveen Select Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 5.4% (3.6% OF TOTAL INVESTMENTS)
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-2:
$ 810 5.125%, 6/01/24 6/17 at 100.00 BBB $ 748,278
3,075 5.375%, 6/01/24 6/17 at 100.00 BBB 2,913,378
2,700 5.875%, 6/01/30 6/17 at 100.00 BBB 2,286,333
2,755 5.750%, 6/01/34 6/17 at 100.00 BBB 2,167,662
7,995 5.875%, 6/01/47 6/17 at 100.00 BBB 6,001,207
14,800 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco 6/22 at 100.00 BBB 10,004,060
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-3, 0.000%, 6/01/37
3,750 Ohio Higher Educational Facilities Commission, Revenue Bonds, 1/17 at 100.00 A 2,455,725
University Hospitals Health System Inc., Tender Option
Bond Trust 2812-1, 12.512%, 1/15/46 - AMBAC Insured (IF)
165 Ohio Housing Finance Agency, GNMA Mortgage-Backed Securities 8/10 at 100.00 Aaa 171,884
Program Residential Mortgage Revenue Bonds, Series 2000C,
6.050%, 3/01/32 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
36,050 Total Ohio 26,748,527
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.8% (0.5% OF TOTAL INVESTMENTS)
1,675 Oklahoma Development Finance Authority, Health System Revenue 8/18 at 100.00 AA- 1,746,891
Bonds, Integris Baptist Medical Center, Series 2008B,
5.250%, 8/15/38
2,235 Oklahoma Development Finance Authority, Revenue Bonds, St. 2/14 at 100.00 A 2,238,665
John Health System, Series 2004, 5.000%, 2/15/24
-----------------------------------------------------------------------------------------------------------------------------------
3,910 Total Oklahoma 3,985,556
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.8% (1.8% OF TOTAL INVESTMENTS)
1,250 Erie Water Authority, Pennsylvania, Water Revenue Bonds, 12/18 at 100.00 AAA 1,276,188
Series 2008, 5.000%, 12/01/43 - AGM Insured
3,250 Pennsylvania Housing Finance Agency, Single Family Mortgage 10/16 at 100.00 AA+ 3,087,435
Revenue Bonds, Series 2006-96A, 4.650%, 10/01/31
(Alternative Minimum Tax) (UB)
8,200 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, 12/27 at 100.00 A2 5,511,138
Capital Appreciation Series 2009E, 0.000%, 12/01/38
5,000 Pennsylvania Turnpike Commission, Turnpike Subordinate 6/26 at 100.00 AAA 3,763,650
Revenue Bonds, Series 2009C, 0.000%, 6/01/33 - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
17,700 Total Pennsylvania 13,638,411
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 2.9% (1.9% OF TOTAL INVESTMENTS)
800 Puerto Rico Public Buildings Authority, Guaranteed Government 7/17 at 100.00 A3 640,760
Facilities Revenue Refunding Bonds, Series 2002D, 0.000%,
7/01/31 - AMBAC Insured
2,200 Puerto Rico Public Buildings Authority, Guaranteed Government 7/17 at 100.00 A3 (4) 2,278,716
Facilities Revenue Refunding Bonds, Series 2002D, 0.000%,
7/01/31 (Pre-refunded 7/01/17) - AMBAC Insured
12,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/26 at 100.00 A+ 9,641,400
Revenue Bonds, First Subordinate Series 2009A, 0.000%,
8/01/32
23,890 Puerto Rico Sales Tax Financing Corporation, Sales Tax No Opt. Call Aa2 1,506,981
Revenue Bonds, Series 2007A, 0.000%, 8/01/54 - AMBAC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
38,890 Total Puerto Rico 14,067,857
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 1.6% (1.1% OF TOTAL INVESTMENTS)
Rhode Island Housing & Mortgage Finance Corporation,
Homeownership Opportunity 57-B Bond Program, Series 2008,
Trust 1177:
1,500 9.509%, 10/01/27 (Alternative Minimum Tax) (IF) 4/17 at 100.00 AA+ 1,567,935
1,000 9.609%, 10/01/32 (Alternative Minimum Tax) (IF) 4/17 at 100.00 AA+ 1,029,980
5,440 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 5,276,528
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.125%, 6/01/32
-----------------------------------------------------------------------------------------------------------------------------------
7,940 Total Rhode Island 7,874,443
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 6.9% (4.6% OF TOTAL INVESTMENTS)
Greenville County School District, South Carolina,
Installment Purchase Revenue Bonds, Series 2002:
5,500 6.000%, 12/01/21 (Pre-refunded 12/01/12) 12/12 at 101.00 AA (4) 6,261,200
4,500 6.000%, 12/01/21 (Pre-refunded 12/01/12) 12/12 at 101.00 Aaa 5,122,800
34 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA (continued)
$ 3,750 Greenwood County, South Carolina, Hospital Revenue Bonds, 10/11 at 100.00 A $ 3,756,413
Self Memorial Hospital, Series 2001, 5.500%, 10/01/31
2,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A+ (4) 2,874,650
Hospital Revenue Refunding and Improvement Bonds, Series
2003, 5.750%, 11/01/28 (Pre-refunded 11/01/13)
2,825 Medical University Hospital Authority, South Carolina, 8/14 at 100.00 A 2,947,859
FHA-Insured Mortgage Revenue Bonds, Series 2004A, 5.250%,
2/15/22 - NPFG Insured
21,565 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call A- 7,166,481
Revenue Bonds, Series 2004A-2, 0.000%, 1/01/30 - AMBAC
Insured
1,250 South Carolina Housing Finance and Development Authority, 6/10 at 100.00 Aa1 1,266,513
Mortgage Revenue Bonds, Series 2000A-2, 6.000%, 7/01/20 -
AGM Insured (Alternative Minimum Tax)
4,565 Tobacco Settlement Revenue Management Authority, South 5/12 at 100.00 BBB (4) 4,717,699
Carolina, Tobacco Settlement Asset-Backed Bonds, Series
2001B, 6.000%, 5/15/22 (Pre-refunded 5/15/12)
-----------------------------------------------------------------------------------------------------------------------------------
46,455 Total South Carolina 34,113,615
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 1.6% (1.1% OF TOTAL INVESTMENTS)
4,375 Sioux Falls, South Dakota, Industrial Revenue Refunding 10/14 at 100.00 AAA 5,285,700
Bonds, Great Plains Hotel Corporation, Series 1989,
8.500%, 11/01/16 (Pre-refunded 10/15/14) (Alternative
Minimum Tax)
1,280 South Dakota Education Loans Inc., Revenue Bonds, Subordinate 6/10 at 100.00 B3 933,709
Series 1998-1K, 5.600%, 6/01/20 (Alternative Minimum Tax)
1,750 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 AA- 1,784,178
Revenue Bonds, Sioux Valley Hospitals, Series 2004A,
5.500%, 11/01/31
-----------------------------------------------------------------------------------------------------------------------------------
7,405 Total South Dakota 8,003,587
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 5.1% (3.4% OF TOTAL INVESTMENTS)
3,125 Johnson City Health and Educational Facilities Board, 7/20 at 100.00 BBB+ 3,160,250
Tennessee, Hospital Revenue Bonds, Mountain States Health
Alliance, Refunding Series 2010A, 6.000%, 7/01/38
5,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 A1 5,303,700
Tennessee, Hospital Revenue Bonds, Baptist Health System
of East Tennessee Inc., Series 2002, 6.500%, 4/15/31
20,060 Knox County Health, Educational and Housing Facilities Board, 1/13 at 80.49 AAA 14,598,866
Tennessee, Hospital Revenue Refunding Bonds, Covenant
Health, Series 2002A, 0.000%, 1/01/17 - AGM Insured
2,000 Sullivan County Health Educational and Housing Facilities 3/13 at 100.00 N/R 1,854,900
Board, Tennessee, Revenue Bonds, Wellmont Health System,
Refunding Series 2006A, 5.440%, 9/01/32
-----------------------------------------------------------------------------------------------------------------------------------
30,185 Total Tennessee 24,917,716
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 15.0% (10.0% OF TOTAL INVESTMENTS)
5,110 Brazos River Authority, Texas, Pollution Control Revenue 4/13 at 101.00 Caa3 3,057,364
Refunding Bonds, TXU Electric Company, Series 1999C,
7.700%, 3/01/32 (Alternative Minimum Tax)
7,925 Brazos River Authority, Texas, Pollution Control Revenue No Opt. Call CCC 7,710,391
Refunding Bonds, TXU Electric Company, Series 2001C,
5.750%, 5/01/36 (Mandatory put 11/01/11) (Alternative
Minimum Tax)
1,000 Capital Area Cultural Education Facilities Finance 4/20 at 100.00 Baa2 1,005,470
Corporation, Texas, Revenue Bonds, The Roman Catholic
Diocese of Austin, Series 2005B, Remarketed, 6.125%,
4/01/45
4,080 Central Texas Regional Mobility Authority, Travis and 1/15 at 100.00 A 3,644,419
Williamson Counties, Toll Road Revenue Bonds, Series 2005,
5.000%, 1/01/35 - FGIC Insured
5,500 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax 12/11 at 100.00 AAA 5,882,800
Revenue Bonds, Series 2001, 5.000%, 12/01/31 (Pre-refunded
12/01/11) - AMBAC Insured
2,000 Ennis Independent School District, Ellis County, Texas, 8/16 at 54.64 Aaa 819,720
General Obligation Bonds, Series 2006, 0.000%, 8/15/28
1,550 Gulf Coast Waste Disposal Authority, Texas, Waste Disposal 4/11 at 101.00 BBB 1,565,950
Revenue Bonds, Valero Energy Corporation, Series 2001,
6.650%, 4/01/32 (Alternative Minimum Tax)
7,570 Harris County-Houston Sports Authority, Texas, Junior Lien No Opt. Call A 1,766,762
Revenue Bonds, Series 2001H, 0.000%, 11/15/31 - NPFG
Insured
5,000 Houston Community College System, Texas, Limited Tax General 2/13 at 100.00 AA+ 5,219,250
Obligation Bonds, Series 2003, 5.000%, 2/15/26 - AMBAC
Insured (UB)
9,000 Matagorda County Navigation District 1, Texas, Collateralized No Opt. Call BBB+ 8,702,460
Revenue Refunding Bonds, Houston Light and Power Company,
Series 1997, 5.125%, 11/01/28 - AMBAC Insured (Alternative
Minimum Tax)
Nuveen Investments 35
NQS | Nuveen Select Quality Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 7,000 North Texas Thruway Authority, First Tier System Revenue 1/25 at 100.00 A2 $ 5,399,660
Refunding Bonds, Capital Appreciation Series 2008I,
0.000%, 1/01/43
340 Panhandle Regional Housing Finance Corporation, Texas, GNMA 5/10 at 100.00 N/R 344,281
Mortgage-Backed Securities Program Single Family Mortgage
Revenue Bonds, Series 1991A, 7.500%, 5/01/24 (Alternative
Minimum Tax)
2,210 Richardson Hospital Authority, Texas, Revenue Bonds, 12/13 at 100.00 Baa2 2,228,962
Richardson Regional Medical Center, Series 2004, 6.000%,
12/01/19
4,700 Sam Rayburn Municipal Power Agency, Texas, Power Supply 10/12 at 100.00 Baa2 4,825,020
System Revenue Refunding Bonds, Series 2002A, 6.000%,
10/01/21
5,500 Spring Independent School District, Harris County, Texas, 8/11 at 100.00 AAA 5,733,860
Unlimited Tax Schoolhouse Bonds, Series 2001, 5.000%,
8/15/26
4,375 Tarrant County Cultural & Educational Facilities Financing 11/17 at 100.00 AA- 4,346,781
Corporation, Texas, Revenue Bonds, Tarrant County Health
Resources, Series 2008, Trust 1197, 9.185%, 11/15/47 (IF)
3,335 Texas State, General Obligation Bonds, Water Financial 8/19 at 100.00 Aaa 3,915,290
Assistance, Tender Option Bond Trust 3479, 13.240%,
8/01/39 (IF)
White Settlement Independent School District, Tarrant County,
Texas, General Obligation Bonds, Series 2006:
9,110 0.000%, 8/15/36 8/15 at 33.75 AAA 2,358,488
9,110 0.000%, 8/15/41 8/15 at 25.73 AAA 1,787,291
7,110 0.000%, 8/15/45 8/15 at 20.76 AAA 1,121,318
1,710 Winter Garden Housing Finance Corporation, Texas, GNMA/FNMA 10/10 at 100.00 AA+ 1,712,753
Mortgage-Backed Securities Program Single Family Mortgage
Revenue Bonds, Series 1994, 6.950%, 10/01/27 (Alternative
Minimum Tax)
2,000 Wylie Independent School District, Taylor County, Texas, 8/15 at 57.10 AAA 905,060
General Obligation Bonds, Series 2005, 0.000%, 8/15/26
-----------------------------------------------------------------------------------------------------------------------------------
105,235 Total Texas 74,053,350
-----------------------------------------------------------------------------------------------------------------------------------
UTAH - 4.0% (2.7% OF TOTAL INVESTMENTS)
3,565 Utah Associated Municipal Power Systems, Revenue Bonds, 4/13 at 100.00 AAA 3,792,697
Payson Power Project, Series 2003A, 5.000%, 4/01/24 - AGM
Insured (UB)
16,050 Utah County, Utah, Hospital Revenue Bonds, IHC Health 8/10 at 100.00 A (4) 16,113,237
Services Inc., Series 1997, 5.250%, 8/15/26 - NPFG Insured
(ETM)
-----------------------------------------------------------------------------------------------------------------------------------
19,615 Total Utah 19,905,934
-----------------------------------------------------------------------------------------------------------------------------------
VERMONT - 1.9% (1.2% OF TOTAL INVESTMENTS)
Vermont Educational and Health Buildings Financing Agency,
Revenue Bonds, Fletcher Allen Health Care Inc., Series 2000A:
3,720 6.125%, 12/01/15 - AMBAC Insured 12/10 at 101.00 Baa1 3,802,658
4,265 6.250%, 12/01/16 - AMBAC Insured 12/10 at 101.00 Baa1 4,351,665
925 Vermont Housing Finance Agency, Single Family Housing Bonds, 5/10 at 100.00 AAA 947,431
Series 2000-13A, 5.950%, 11/01/25 - AGM Insured
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
8,910 Total Vermont 9,101,754
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 1.1% (0.8% OF TOTAL INVESTMENTS)
2,000 Fairfax County Economic Development Authority, Virginia, 10/17 at 100.00 N/R 1,925,040
Residential Care Facilities Mortgage Revenue Bonds,
Goodwin House, Inc., Series 2007A, 5.125%, 10/01/42
5,000 Metropolitan Washington DC Airports Authority, Virginia, 10/26 at 100.00 AAA 3,636,150
Dulles Toll Road Revenue Bonds, Series 2009C, 0.000%,
10/01/41 - AGC Insured
-----------------------------------------------------------------------------------------------------------------------------------
7,000 Total Virginia 5,561,190
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 4.9% (3.3% OF TOTAL INVESTMENTS)
8,810 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AA 8,848,500
Consolidated System Revenue Bonds, Series 2001A, 5.600%,
1/01/36 - NPFG Insured (Alternative Minimum Tax) (UB)
3,750 FYI Properties, Washington, Lease Revenue Bonds, Washington 6/19 at 100.00 AA 3,986,738
State Department of Information Services Project, Series
2009, 5.500%, 6/01/39
7,225 Port of Seattle, Washington, Special Facility Revenue Bonds, 9/10 at 101.00 A 7,282,293
Terminal 18, Series 1999B, 6.000%, 9/01/20 - NPFG Insured
(Alternative Minimum Tax)
2,000 Washington Health Care Facilities Authority, Revenue Bonds, 7/19 at 100.00 A 2,065,259
Fred Hutchinson Cancer Research Center, Series 2009A,
6.000%, 1/01/33
36 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON (continued)
$ 2,500 Washington State Health Care Facilities Authority, Revenue No Opt. Call N/R $ 2,065,149
Bonds, Northwest Hospital and Medical Center of Seattle,
Series 2007, 5.700%, 12/01/32
-----------------------------------------------------------------------------------------------------------------------------------
24,285 Total Washington 24,247,939
-----------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.0% (0.7% OF TOTAL INVESTMENTS)
5,000 Mason County, West Virginia, Pollution Control Revenue Bonds, 10/11 at 100.00 BBB 5,049,299
Appalachian Power Company, Series 2003L, 5.500%, 10/01/22
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 2.7% (1.8% OF TOTAL INVESTMENTS)
5,950 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 AAA 6,371,438
Tobacco Settlement Asset-Backed Bonds, Series 2002,
6.125%, 6/01/27 (Pre-refunded 6/01/12)
5,000 Madison, Wisconsin, Industrial Development Revenue Refunding 4/12 at 100.00 AA- 5,052,449
Bonds, Madison Gas and Electric Company Projects, Series
2002A, 5.875%, 10/01/34 (Alternative Minimum Tax)
2,100 Wisconsin Health and Educational Facilities Authority, 8/13 at 100.00 BBB+ 1,880,507
Revenue Bonds, Wheaton Franciscan Services Inc., Series
2003A, 5.125%, 8/15/33
-----------------------------------------------------------------------------------------------------------------------------------
13,050 Total Wisconsin 13,304,394
-----------------------------------------------------------------------------------------------------------------------------------
$ 949,230 Total Investments (cost $729,434,638) - 149.9% 738,829,593
===============--------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (3.8)% (18,540,000)
-----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 4.9% 23,951,917
-----------------------------------------------------------------------------------------------------------------
Auction Rate Preferred Shares, at Liquidation Value -
(51.0)% (6) (251,275,000)
-----------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 492,966,510
=================================================================================================================
(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.
(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) The Fund's Adviser has concluded this issue is not likely to meet its
future interest payment obligations and has directed the Fund's custodian
to cease accruing additional income on the Fund's records.
(6) Auction Rate Preferred Shares, at Liquidation Value as a percentage of
Total Investments is 34.0%.
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. See Notes to Financial Statements, Footnote 1 - Inverse
Floating Rate Securities for more information.
See accompanying notes to financial statements.
Nuveen Investments 37
NQU | Nuveen Quality Income Municipal Fund, Inc.
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 2.7% (1.8% OF TOTAL INVESTMENTS)
Jefferson County, Alabama, Sewer Revenue Capitol Improvement
Warrants, Series 2001A:
$ 7,475 5.500%, 2/01/31 (Pre-refunded 2/01/11) - FGIC Insured 2/11 at 101.00 AAA $ 7,811,226
6,340 5.500%, 2/01/31 (Pre-refunded 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 6,596,136
6,970 5.500%, 2/01/31 (Pre-refunded 2/01/11) - FGIC Insured 2/11 at 101.00 AAA 7,283,511
-----------------------------------------------------------------------------------------------------------------------------------
20,785 Total Alabama 21,690,873
-----------------------------------------------------------------------------------------------------------------------------------
ALASKA - 1.7% (1.1% OF TOTAL INVESTMENTS)
6,110 Alaska Housing Finance Corporation, General Housing Purpose 12/14 at 100.00 AA 6,306,620
Bonds, Series 2005A, 5.000%, 12/01/27 - FGIC Insured (UB)
11,000 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 7,394,530
Settlement Asset-Backed Bonds, Series 2006A, 5.000%,
6/01/46
-----------------------------------------------------------------------------------------------------------------------------------
17,110 Total Alaska 13,701,150
-----------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 2.2% (1.4% OF TOTAL INVESTMENTS)
5,350 Arizona Tourism and Sports Authority, Tax Revenue Bonds, 7/13 at 100.00 A1 5,365,141
Multipurpose Stadium Facility Project, Series 2003A,
5.000%, 7/01/28 - NPFG Insured
1,000 Mesa, Arizona, Utility System Revenue Refunding Bonds, Series No Opt. Call Aa2 1,135,850
2002, 5.250%, 7/01/17 - FGIC Insured
2,350 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/18 at 100.00 AA- 2,392,441
Airport Revenue Bonds, Series 2008A, 5.000%, 7/01/33
8,010 Salt River Project Agricultural Improvement and Power 1/12 at 101.00 Aa1 8,254,385
District, Arizona, Electric System Revenue Refunding
Bonds, Series 2002A, 5.125%, 1/01/27
-----------------------------------------------------------------------------------------------------------------------------------
16,710 Total Arizona 17,147,817
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.0% (0.6% OF TOTAL INVESTMENTS)
Arkansas Development Finance Authority, Tobacco Settlement
Revenue Bonds, Arkansas Cancer Research Center Project,
Series 2006:
2,500 0.000%, 7/01/36 - AMBAC Insured No Opt. Call Aa3 681,650
19,800 0.000%, 7/01/46 - AMBAC Insured No Opt. Call Aa3 3,090,186
4,000 University of Arkansas, Fayetteville, Revenue Bonds, Medical 11/14 at 100.00 Aa3 4,106,920
Sciences Campus, Series 2004B, 5.000%, 11/01/34 - NPFG
Insured
-----------------------------------------------------------------------------------------------------------------------------------
26,300 Total Arkansas 7,878,756
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 14.7% (9.6% OF TOTAL INVESTMENTS)
12,500 Anaheim Public Finance Authority, California, Subordinate No Opt. Call AAA 2,454,000
Lease Revenue Bonds, Public Improvement Project, Series
1997C, 0.000%, 9/01/35 - AGM Insured
1,000 California Department of Water Resources, Power Supply 5/12 at 101.00 Aaa 1,109,800
Revenue Bonds, Series 2002A, 5.750%, 5/01/17 (Pre-refunded
5/01/12)
6,000 California Health Facilities Financing Authority, Health 3/13 at 100.00 A 5,832,480
Facility Revenue Bonds, Adventist Health System/West,
Series 2003A, 5.000%, 3/01/33
3,450 California Infrastructure Economic Development Bank, Revenue 10/11 at 101.00 A- 3,361,818
Bonds, J. David Gladstone Institutes, Series 2001, 5.250%,
10/01/34
3,500 California State, General Obligation Bonds, Various Purpose 3/20 at 100.00 A1 3,594,465
Series 2010, 5.250%, 3/01/30
1,360 California Statewide Community Development Authority, Revenue 7/15 at 100.00 BBB 1,244,441
Bonds, Daughters of Charity Health System, Series 2005A,
5.250%, 7/01/30
3,600 California Statewide Community Development Authority, Revenue 7/18 at 100.00 AA- 3,706,704
Bonds, St. Joseph Health System, Series 2007A, 5.750%,
7/01/47 - FGIC Insured
14,600 California, General Obligation Bonds, Series 2003, 5.250%, 8/13 at 100.00 A1 14,794,618
2/01/28
25,000 California, General Obligation Bonds, Series 2005, 4.750%, 3/16 at 100.00 A1 23,639,250
3/01/35 - NPFG Insured
10,000 California, Various Purpose General Obligation Bonds, Series 10/10 at 100.00 A1 9,779,800
1999, 4.750%, 4/01/29 - NPFG Insured
16,000 California, Various Purpose General Obligation Bonds, Series 6/17 at 100.00 A1 15,881,920
2007, 5.000%, 6/01/37
8,500 Foothill/Eastern Transportation Corridor Agency, California, 7/10 at 100.00 A 7,334,905
Toll Road Revenue Bonds, Series 1995A, 5.000%, 1/01/35 -
NPFG Insured
38 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
Golden State Tobacco Securitization Corporation, California,
Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
$ 10,355 5.000%, 6/01/33 6/17 at 100.00 BBB $ 8,457,446
1,500 5.125%, 6/01/47 6/17 at 100.00 BBB 1,047,585
3,300 M-S-R Energy Authority, California, Gas Revenue Bonds, No Opt. Call A 3,664,749
Citigroup Prepay Contracts, Series 2009B, 6.500%, 11/01/39
1,830 San Diego Public Facilities Financing Authority, California, 8/19 at 100.00 Aa2 2,384,234
Water Utility Revenue Bonds, Tender Option Bond Trust
3504, 19.460%, 8/01/39 (IF)
30,000 San Joaquin Hills Transportation Corridor Agency, Orange No Opt. Call A 4,227,600
County, California, Toll Road Revenue Refunding Bonds,
Series 1997A, 0.000%, 1/15/35 - NPFG Insured
3,000 San Mateo County Community College District, California, No Opt. Call Aaa 966,510
General Obligation Bonds, Series 2006C, 0.000%, 9/01/30 -
NPFG Insured
1,500 Tobacco Securitization Authority of Northern California, 6/15 at 100.00 BBB 1,114,260
Tobacco Settlement Asset-Backed Bonds, Series 2005A-1,
5.500%, 6/01/45
1,955 Tobacco Securitization Authority of Southern California, 6/14 at 100.00 BBB 1,869,430
Tobacco Settlement Asset-Backed Bonds, San Diego County
Tobacco Asset Securitization Corporation, Senior Series
2001A, 4.750%, 6/01/25
-----------------------------------------------------------------------------------------------------------------------------------
158,950 Total California 116,466,015
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 5.4% (3.5% OF TOTAL INVESTMENTS)
1,000 Colorado Health Facilities Authority, Revenue Bonds, Poudre 9/18 at 102.00 AAA 1,014,030
Valley Health System, Series 2005C, 5.250%, 3/01/40 - AGM
Insured
10,000 Denver City and County, Colorado, Airport System Revenue 11/10 at 100.00 A+ 10,055,200
Refunding Bonds, Series 2000A, 5.625%, 11/15/23 - AMBAC
Insured (Alternative Minimum Tax)
6,185 E-470 Public Highway Authority, Colorado, Senior Revenue No Opt. Call A 2,175,326
Bonds, Series 1997B, 0.000%, 9/01/26 - NPFG Insured
43,000 E-470 Public Highway Authority, Colorado, Senior Revenue No Opt. Call A 9,195,980
Bonds, Series 2000B, 0.000%, 9/01/33 - NPFG Insured
14,400 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 65.63 Aaa 9,436,464
Bonds, Series 2000B, 0.000%, 9/01/17 (Pre-refunded
9/01/10) - NPFG Insured
7,000 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, No Opt. Call A 1,383,900
Series 2004A, 0.000%, 9/01/34 - NPFG Insured
8,740 Larimer County School District R1, Poudre, Colorado, General 12/10 at 100.00 Aa2 (4) 9,006,220
Obligation Bonds, Series 2000, 5.125%, 12/15/19
(Pre-refunded 12/15/10) - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
90,325 Total Colorado 42,267,120
-----------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.6% (0.4% OF TOTAL INVESTMENTS)
4,395 Bridgeport, Connecticut, General Obligation Bonds, Series 8/11 at 100.00 A1 (4) 4,664,062
2001C, 5.375%, 8/15/17 (Pre-refunded 8/15/11) - FGIC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 1.0% (0.6% OF TOTAL INVESTMENTS)
2,500 Miami-Dade County, Florida, Aviation Revenue Bonds, Miami 10/20 at 100.00 A2 2,536,750
International Airport, Series 2010A-1, 5.375%, 10/01/41
5,000 Orange County Health Facilities Authority, Florida, Hospital 11/10 at 101.00 A1 (4) 5,214,300
Revenue Bonds, Adventist Health System/Sunbelt Obligated
Group, Series 2000, 6.500%, 11/15/30 (Pre-refunded
11/15/10)
-----------------------------------------------------------------------------------------------------------------------------------
7,500 Total Florida 7,751,050
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.9% (0.6% OF TOTAL INVESTMENTS)
1,250 DeKalb County Hospital Authority, Georgia, Revenue 9/20 at 100.00 N/R 1,255,613
Anticipation Certificates, DeKalb Medical Center, Inc.
Project, Series 2010, 6.000%, 9/01/30 (WI/DD, Settling
5/03/10)
5,000 Medical Center Hospital Authority, Georgia, Revenue 8/18 at 100.00 AAA 5,544,400
Anticipation Certificates, Columbus Regional Healthcare
System, Inc. Project, Series 2008, 6.500%, 8/01/38
-----------------------------------------------------------------------------------------------------------------------------------
6,250 Total Georgia 6,800,013
-----------------------------------------------------------------------------------------------------------------------------------
HAWAII - 1.3% (0.8% OF TOTAL INVESTMENTS)
10,000 Hawaii Department of Transportation, Airport System Revenue 7/10 at 101.00 A 10,168,100
Refunding Bonds, Series 2000B, 5.750%, 7/01/21 - FGIC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 39
NQU | Nuveen Quality Income Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 12.2% (8.0% OF TOTAL INVESTMENTS)
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Revenues, Series 2001C:
$ 1,000 5.500%, 12/01/18 (Pre-refunded 12/01/11) - AGM Insured 12/11 at 100.00 AAA $ 1,077,980
3,000 5.000%, 12/01/20 (Pre-refunded 12/01/11) - AGM Insured 12/11 at 100.00 AAA 3,210,270
2,000 5.000%, 12/01/21 (Pre-refunded 12/01/11) - AGM Insured 12/11 at 100.00 AAA 2,140,180
Chicago Board of Education, Illinois, Unlimited Tax General
Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1:
9,400 0.000%, 12/01/14 - FGIC Insured No Opt. Call Aa2 8,255,174
4,400 0.000%, 12/01/15 - FGIC Insured No Opt. Call Aa2 3,682,140
32,670 Chicago, Illinois, General Obligation Bonds, City Colleges, No Opt. Call Aa2 10,472,042
Series 1999, 0.000%, 1/01/32 - FGIC Insured
Chicago, Illinois, General Obligation Bonds, Neighborhoods
Alive 21 Program, Series 2000A:
680 6.000%, 1/01/28 (Pre-refunded 7/01/10) - FGIC Insured 7/10 at 101.00 Aa2 (4) 693,267
4,320 6.000%, 1/01/28 (Pre-refunded 7/01/10) - FGIC Insured 7/10 at 101.00 Aa2 (4) 4,404,283
190 Chicago, Illinois, General Obligation Bonds, Series 2002A, 7/12 at 100.00 Aa2 202,287
5.000%, 1/01/18 - AMBAC Insured
Chicago, Illinois, General Obligation Bonds, Series 2002A:
70 5.000%, 1/01/18 (Pre-refunded 7/01/12) - AMBAC Insured 7/12 at 100.00 Aa2 (4) 76,365
6,190 5.000%, 1/01/18 (Pre-refunded 7/01/12) - AMBAC Insured 7/12 at 100.00 Aa2 (4) 6,752,857
13,300 Chicago, Illinois, Revenue Bonds, Midway Airport, Series 7/10 at 100.50 A 12,578,475
1998A, 5.125%, 1/01/35 - NPFG Insured (Alternative Minimum
Tax)
Illinois Educational Facilities Authority, Student Housing
Revenue Bonds, Educational Advancement Foundation Fund,
University Center Project, Series 2002:
3,000 6.625%, 5/01/17 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 3,373,140
1,800 6.000%, 5/01/22 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 2,001,582
1,050 Illinois Finance Authority, General Obligation Debt 12/14 at 100.00 A1 1,078,676
Certificates, Local Government Program - Kankakee County,
Series 2005B, 5.000%, 12/01/20 - AMBAC Insured
15,000 Illinois Finance Authority, Illinois, Northwestern 12/15 at 100.00 AAA 15,388,650
University, Revenue Bonds, Series 2006, 5.000%, 12/01/42
(UB)
2,000 Illinois Finance Authority, Revenue Bonds, Children's 8/18 at 100.00 AAA 2,012,120
Memorial Hospital, Series 2008A, 5.250%, 8/15/47 - AGC
Insured (UB)
1,000 Illinois Finance Authority, Revenue Bonds, Edward Health 2/18 at 100.00 A+ 1,003,040
Services Corporation, Series 2008A, 5.500%, 2/01/40 -
AMBAC Insured
4,000 Illinois Finance Authority, Revenue Bonds, Memorial Health No Opt. Call A+ 4,005,400
System, Series 2009, 5.500%, 4/01/34
5,000 Illinois Finance Authority, Revenue Bonds, Northwestern 8/14 at 100.00 N/R (4) 5,842,900
Memorial Hospital, Series 2004A, 5.500%, 8/15/43
(Pre-refunded 8/15/14)
5,000 Illinois, General Obligation Bonds, Illinois FIRST Program, 12/10 at 100.00 Aa3 5,150,500
Series 2000, 5.450%, 12/01/21 - NPFG Insured
2,270 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/12 at 101.00 AAA 2,303,959
Bonds, McCormick Place Expansion Project, Series 2002A,
5.000%, 12/15/28 - NPFG Insured
940 Montgomery, Illinois, Lakewood Creek Project Special 3/16 at 100.00 N/R 806,125
Assessment Bonds, Series 2007, 4.700%, 3/01/30 - RAAI
Insured
-----------------------------------------------------------------------------------------------------------------------------------
118,280 Total Illinois 96,511,412
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 1.7% (1.1% OF TOTAL INVESTMENTS)
2,000 Indiana Health Facility Financing Authority, Hospital Revenue 3/14 at 100.00 A+ 2,003,620
Bonds, Deaconess Hospital Inc., Series 2004A, 5.375%,
3/01/34 - AMBAC Insured
3,240 Indiana Health Facility Financing Authority, Hospital Revenue 7/12 at 100.00 A+ 3,324,078
Bonds, Marion General Hospital, Series 2002, 5.625%,
7/01/19 - AMBAC Insured
2,400 Indiana Health Facility Financing Authority, Revenue Bonds, 5/15 at 100.00 A 2,256,600
Community Hospitals of Indiana, Series 2005A, 5.000%,
5/01/35 - AMBAC Insured
6,015 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 8/10 at 100.00 AA- 6,015,180
Memorial Health System, Series 1998A, 4.625%, 8/15/28 -
NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
13,655 Total Indiana 13,599,478
-----------------------------------------------------------------------------------------------------------------------------------
40 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.0% (0.7% OF TOTAL INVESTMENTS)
Iowa Tobacco Settlement Authority, Asset Backed Settlement
Revenue Bonds, Series 2005C:
$ 4,000 5.375%, 6/01/38 6/15 at 100.00 BBB $ 2,972,800
7,000 5.625%, 6/01/46 6/15 at 100.00 BBB 5,236,560
-----------------------------------------------------------------------------------------------------------------------------------
11,000 Total Iowa 8,209,360
-----------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.8% (0.5% OF TOTAL INVESTMENTS)
4,585 Johnson County Unified School District 232, Kansas, General 9/10 at 100.00 Aa3 (4) 4,654,325
Obligation Bonds, Series 2000, 4.750%, 9/01/19
(Pre-refunded 9/01/10) - AGM Insured
1,750 Wamego, Kansas, Pollution Control Revenue Bonds, Kansas Gas 6/14 at 100.00 A 1,780,100
and Electric Company, Series 2004, 5.300%, 6/01/31 - NPFG
Insured
-----------------------------------------------------------------------------------------------------------------------------------
6,335 Total Kansas 6,434,425
-----------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 1.3% (0.8% OF TOTAL INVESTMENTS)
6,015 Kentucky Economic Development Finance Authority, Hospital 6/20 at 100.00 Baa2 6,206,397
Facilities Revenue Bonds, Owensboro Medical Health System,
Series 2010B, 6.375%, 3/01/40
1,000 Kentucky Economic Development Finance Authority, Louisville 6/18 at 100.00 AAA 1,098,560
Arena Project Revenue Bonds, Louisville Arena Authority,
Inc., Series 2008-A1, 6.000%, 12/01/33 - AGC Insured
2,500 Kentucky State Property and Buildings Commission, Revenue 2/12 at 100.00 AAA 2,702,525
Refunding Bonds, Project 74, Series 2002, 5.375%, 2/01/18
(Pre-refunded 2/01/12) - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
9,515 Total Kentucky 10,007,482
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 3.6% (2.4% OF TOTAL INVESTMENTS)
10,000 Louisiana Public Facilities Authority, Hospital Revenue No Opt. Call AAA 11,238,200
Bonds, Franciscan Missionaries of Our Lady Health System,
Series 1998A, 5.750%, 7/01/25 - AGM Insured (UB)
9,000 Louisiana Public Facilities Authority, Revenue Bonds, Ochsner 5/17 at 100.00 Baa1 8,177,220
Clinic Foundation Project, Series 2007A, 5.500%, 5/15/47
5,500 Louisiana Public Facilities Authority, Revenue Bonds, Tulane 7/12 at 100.00 N/R (4) 5,985,210
University, Series 2002A, 5.000%, 7/01/32 (Pre-refunded
7/01/12) - AMBAC Insured
3,490 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 3,383,625
Settlement Asset-Backed Bonds, Series 2001B, 5.875%,
5/15/39
-----------------------------------------------------------------------------------------------------------------------------------
27,990 Total Louisiana 28,784,255
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 5.9% (3.9% OF TOTAL INVESTMENTS)
500 Massachusetts Health and Educational Facilities Authority, 7/18 at 100.00 A3 480,875
Revenue Bonds, CareGroup Inc., Series 2008E-1 &2, 5.125%,
7/01/38
7,405 Massachusetts Health and Educational Facilities Authority, No Opt. Call AAA 9,064,535
Revenue Bonds, Massachusetts Institute of Technology,
Series 2002K, 5.500%, 7/01/32 (UB)
2,300 Massachusetts Health and Educational Facilities Authority, 7/19 at 100.00 BBB 2,346,575
Revenue Refunding Bonds, Suffolk University Issue, Series
2009A, 5.750%, 7/01/39
6,000 Massachusetts Industrial Finance Agency, Resource Recovery 6/10 at 101.00 BBB 5,924,040
Revenue Refunding Bonds, Ogden Haverhill Project, Series
1998A, 5.600%, 12/01/19 (Alternative Minimum Tax)
12,500 Massachusetts Turnpike Authority, Metropolitan Highway System 7/10 at 100.00 A 12,500,250
Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - NPFG
Insured
425 Massachusetts Water Pollution Abatement Trust, Revenue Bonds, 8/10 at 100.00 AAA 429,352
MWRA Loan Program, Subordinate Series 1999A, 5.750%,
8/01/29
10,000 Massachusetts Water Resources Authority, General Revenue 8/10 at 101.00 AA+ (4) 10,236,600
Bonds, Series 2000A, 5.750%, 8/01/39 (Pre-refunded
8/01/10) - FGIC Insured
5,730 University of Massachusetts Building Authority, Senior Lien 11/10 at 100.00 A+ (4) 5,873,995
Project Revenue Bonds, Series 2000-2, 5.250%, 11/01/20
(Pre-refunded 11/01/10) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
44,860 Total Massachusetts 46,856,222
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 1.0% (0.7% OF TOTAL INVESTMENTS)
3,790 Michigan Municipal Bond Authority, General Obligation Bonds, 6/15 at 100.00 AAA 4,009,024
Detroit City School District, Series 2005, 5.000%, 6/01/20
- AGM Insured
3,050 Michigan Tobacco Settlement Finance Authority, Tobacco 6/18 at 100.00 Baa3 2,836,836
Settlement Asset-Backed Revenue Bonds, Series 2008A,
6.875%, 6/01/42
Nuveen Investments 41
NQU | Nuveen Quality Income Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN (continued)
$ 1,150 Royal Oak Hospital Finance Authority, Michigan, Hospital 9/18 at 100.00 A1 $ 1,361,600
Revenue Bonds, William Beaumont Hospital, Refunding Series
2009V, 8.250%, 9/01/39
-----------------------------------------------------------------------------------------------------------------------------------
7,990 Total Michigan 8,207,460
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.2% (0.8% OF TOTAL INVESTMENTS)
Chaska, Minnesota, Electric Revenue Bonds, Generating
Facility Project, Series 2000A:
1,930 6.000%, 10/01/20 (Pre-refunded 10/01/10) 10/10 at 100.00 A3 (4) 1,976,281
2,685 6.000%, 10/01/25 (Pre-refunded 10/01/10) 10/10 at 100.00 A3 (4) 2,749,386
3,655 Dakota and Washington Counties Housing and Redevelopment No Opt. Call AAA 4,872,663
Authority, Minnesota, GNMA Mortgage-Backed Securities
Program Single Family Residential Mortgage Revenue Bonds,
Series 1988, 8.450%, 9/01/19 (Alternative Minimum Tax)
(ETM)
-----------------------------------------------------------------------------------------------------------------------------------
8,270 Total Minnesota 9,598,330
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,875 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 AA 1,924,819
Revenue Bonds, Baptist Memorial Healthcare, Series
2004B-1, 5.000%, 9/01/24 (UB)
2,500 Mississippi Hospital Equipment and Facilities Authority, 1/11 at 101.00 Aa3 (4) 2,609,975
Revenue Bonds, Forrest County General Hospital, Series
2000, 5.500%, 1/01/27 (Pre-refunded 1/01/11) - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
4,375 Total Mississippi 4,534,794
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.6% (1.1% OF TOTAL INVESTMENTS)
15,000 Kansas City Municipal Assistance Corporation, Missouri, No Opt. Call AA- 5,664,450
Leasehold Revenue Bonds, Series 2004B-1, 0.000%, 4/15/28 -
AMBAC Insured
2,400 Missouri-Illinois Metropolitan District Bi-State Development 10/13 at 100.00 AAA 2,473,968
Agency, Mass Transit Sales Tax Appropriation Bonds,
Metrolink Cross County Extension Project, Series 2002B,
5.000%, 10/01/23 - AGM Insured
15,350 Springfield Public Building Corporation, Missouri, Lease No Opt. Call N/R 4,811,304
Revenue Bonds, Jordan Valley Park Projects, Series 2000A,
0.000%, 6/01/30 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
32,750 Total Missouri 12,949,722
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 7.0% (4.6% OF TOTAL INVESTMENTS)
34,470 Clark County School District, Nevada, General Obligation 6/12 at 100.00 AA (4) 37,419,253
Bonds, Series 2002C, 5.000%, 6/15/20 (Pre-refunded
6/15/12) - NPFG Insured
14,515 Clark County, Nevada, Passenger Facility Charge Revenue 1/20 at 100.00 Aa3 14,491,486
Bonds, Las Vegas-McCarran International Airport, Series
2010A, 5.250%, 7/01/42
6,845 Director of Nevada State Department of Business and Industry, No Opt. Call Caa2 1,007,242
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000, 0.000%, 1/01/23 - AMBAC Insured
2,500 Reno, Nevada, Health Facilities Revenue Bonds, Catholic 7/17 at 100.00 AA+ 2,775,700
Healthcare West, Trust 2634, 18.389%, 7/01/31 - BHAC
Insured (IF)
-----------------------------------------------------------------------------------------------------------------------------------
58,330 Total Nevada 55,693,681
-----------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 0.7% (0.4% OF TOTAL INVESTMENTS)
5,000 New Hampshire Business Finance Authority, Revenue Bonds, 10/19 at 100.00 BBB+ 5,087,350
Elliot Hospital Obligated Group Issue, Series 2009A,
6.125%, 10/01/39
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 5.1% (3.4% OF TOTAL INVESTMENTS)
1,000 New Jersey Building Authority, State Building Revenue Bonds, 12/12 at 100.00 AAA 1,103,670
Series 2002A, 5.000%, 12/15/21 (Pre-refunded 12/15/12) -
AGM Insured
10,000 New Jersey Health Care Facilities Financing Authority, 1/17 at 37.38 BB+ 1,233,100
Revenue Bonds, Saint Barnabas Health Care System, Series
2006A, 0.000%, 7/01/36
2,150 New Jersey Health Care Facilities Financing Authority, 7/10 at 101.00 BBB- (4) 2,197,322
Revenue Bonds, Trinitas Hospital Obligated Group, Series
2000, 7.500%, 7/01/30 (Pre-refunded 7/01/10)
2,025 New Jersey Transportation Trust Fund Authority, 12/11 at 100.00 AA- (4) 2,202,208
Transportation System Bonds, Series 2001B, 6.000%,
12/15/19 (Pre-refunded 12/15/11) - NPFG Insured
3,200 New Jersey Transportation Trust Fund Authority, 6/13 at 100.00 AAA 3,633,632
Transportation System Bonds, Series 2003C, 5.500%, 6/15/22
(Pre-refunded 6/15/13)
42 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY (continued)
New Jersey Transportation Trust Fund Authority,
Transportation System Bonds, Series 2006C:
$ 20,000 0.000%, 12/15/33 - AGM Insured No Opt. Call AAA $ 5,462,000
20,000 0.000%, 12/15/35 - AMBAC Insured No Opt. Call AA- 4,331,600
20,000 0.000%, 12/15/36 - AMBAC Insured No Opt. Call AA- 4,059,400
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2002:
1,965 5.750%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 2,106,185
1,000 6.125%, 6/01/42 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 1,110,710
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2003:
9,420 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 11,017,349
1,850 6.250%, 6/01/43 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 2,135,733
-----------------------------------------------------------------------------------------------------------------------------------
92,610 Total New Jersey 40,592,909
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.8% (0.5% OF TOTAL INVESTMENTS)
5,925 New Mexico Hospital Equipment Loan Council, Hospital Revenue 8/11 at 101.00 AA- (4) 6,345,142
Bonds, Presbyterian Healthcare Services, Series 2001A,
5.500%, 8/01/21 (Pre-refunded 8/01/11)
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 10.5% (6.8% OF TOTAL INVESTMENTS)
275 Dormitory Authority of the State of New York, Insured Revenue 7/10 at 100.00 A 275,231
Bonds, Fordham University, Series 1998, 5.000%, 7/01/28 -
NPFG Insured
2,250 Dormitory Authority of the State of New York, Insured Revenue No Opt. Call A 2,326,388
Bonds, Mount Sinai School of Medicine, Series 1994A,
5.150%, 7/01/24 - NPFG Insured
20,000 Erie County Tobacco Asset Securitization Corporation, New 7/10 at 101.00 AAA 20,441,600
York, Senior Tobacco Settlement Asset-Backed Bonds, Series
2000, 6.125%, 7/15/30 (Pre-refunded 7/15/10)
1,320 Hudson Yards Infrastructure Corporation, New York, Revenue 2/17 at 100.00 A 1,228,616
Bonds, Series 2006A, 4.500%, 2/15/47 - NPFG Insured
1,130 Long Island Power Authority, New York, Electric System 9/11 at 100.00 AAA 1,203,473
General Revenue Bonds, Series 2001A, 5.375%, 9/01/25
(Pre-refunded 9/01/11)
13,600 Metropolitan Transportation Authority, New York, 11/16 at 100.00 AAA 13,428,912
Transportation Revenue Bonds, Series 2006B, 4.500%,
11/15/32 - AGM Insured (UB)
5,000 New York City, New York, General Obligation Bonds, Fiscal 8/12 at 100.00 AA 5,452,750
Series 2002A, 5.750%, 8/01/16
New York City, New York, General Obligation Bonds, Fiscal
Series 2002G:
950 5.000%, 8/01/17 8/12 at 100.00 AA 992,380
6,540 5.750%, 8/01/18 8/12 at 100.00 AA 7,118,528
4,005 New York City, New York, General Obligation Bonds, Fiscal 8/12 at 100.00 AA (4) 4,452,879
Series 2002G, 5.750%, 8/01/18 (Pre-refunded 8/01/12)
New York State Environmental Facilities Corporation, State
Clean Water and Drinking Water Revolving Funds Revenue Bonds,
New York City Municipal Water Finance Authority Projects,
Second Resolution Bonds, Series 2001C:
6,035 5.000%, 6/15/20 6/11 at 100.00 AAA 6,288,470
6,575 5.000%, 6/15/22 6/11 at 100.00 AAA 6,825,639
11,540 Port Authority of New York and New Jersey, Consolidated 11/12 at 101.00 AAA 12,653,725
Revenue Bonds, One Hundred Twenty-Eighth Series 2002,
5.000%, 11/01/20 - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
79,220 Total New York 82,688,591
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 3.2% (2.1% OF TOTAL INVESTMENTS)
3,000 Charlotte-Mecklenberg Hospital Authority, North Carolina, 1/18 at 100.00 AA- 3,020,760
Carolinas HealthCare System Revenue Bonds, Series 2008A,
5.000%, 1/15/47
8,960 North Carolina Capital Facilities Financing Agency, Revenue 10/15 at 100.00 AA+ 9,279,782
Bonds, Duke University, Series 2005A, 5.000%, 10/01/41
4,000 North Carolina Medical Care Commission, Health System Revenue 10/17 at 100.00 AA 3,929,680
Bonds, Mission St. Joseph's Health System, Series 2007,
4.500%, 10/01/31 (UB)
665 North Carolina Medical Care Commission, Hospital Revenue 12/10 at 100.00 A1 638,001
Bonds, Pitt County Memorial Hospital, Series 1998A,
4.750%, 12/01/28 - NPFG Insured
Nuveen Investments 43
NQU | Nuveen Quality Income Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA (continued)
$ 7,500 North Carolina Municipal Power Agency 1, Catawba Electric 1/13 at 100.00 A $ 8,079,525
Revenue Bonds, Series 2003A, 5.250%, 1/01/19 - NPFG
Insured
-----------------------------------------------------------------------------------------------------------------------------------
24,125 Total North Carolina 24,947,748
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 5.9% (3.9% OF TOTAL INVESTMENTS)
10,000 American Municipal Power Ohio Inc., General Revenue Bonds, 2/18 at 100.00 A1 10,269,300
Prairie State Energy Campus Project Series 2008A, 5.250%,
2/15/43
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-2:
205 5.125%, 6/01/24 6/17 at 100.00 BBB 189,379
2,925 5.875%, 6/01/30 6/17 at 100.00 BBB 2,476,861
5,040 5.750%, 6/01/34 6/17 at 100.00 BBB 3,965,522
2,400 6.000%, 6/01/42 6/17 at 100.00 BBB 1,854,888
5,730 5.875%, 6/01/47 6/17 at 100.00 BBB 4,301,053
10,000 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco 6/22 at 100.00 BBB 6,759,500
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-3, 0.000%, 6/01/37
Cincinnati City School District, Hamilton County, Ohio,
General Obligation Bonds, Series 2002:
2,165 5.250%, 6/01/19 - AGM Insured 12/12 at 100.00 AAA 2,352,186
2,600 5.250%, 6/01/21 - AGM Insured 12/12 at 100.00 AAA 2,827,214
2,000 5.000%, 12/01/22 - AGM Insured 12/12 at 100.00 AAA 2,086,940
10,000 Columbus City School District, Franklin County, Ohio, General 12/16 at 100.00 AAA 9,702,700
Obligation Bonds, Series 2006, 4.250%, 12/01/32 - AGM
Insured (UB)
-----------------------------------------------------------------------------------------------------------------------------------
53,065 Total Ohio 46,785,543
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 3.4% (2.2% OF TOTAL INVESTMENTS)
1,675 Oklahoma Development Finance Authority, Health System Revenue 8/18 at 100.00 AA- 1,746,891
Bonds, Integris Baptist Medical Center, Series 2008B,
5.250%, 8/15/38
6,040 Oklahoma Development Finance Authority, Revenue Bonds, Saint 2/17 at 100.00 A 5,631,032
John Health System, Series 2007, 5.000%, 2/15/42
2,000 Oklahoma Municipal Power Authority, Power Supply System 1/17 at 100.00 A 1,868,140
Revenue Bonds, Series 2007, 4.500%, 1/01/47 - FGIC Insured
17,510 Pottawatomie County Home Finance Authority, Oklahoma, Single No Opt. Call AAA 17,755,315
Family Mortgage Revenue Bonds, Series 1991A, 8.625%,
7/01/10 (ETM)
-----------------------------------------------------------------------------------------------------------------------------------
27,225 Total Oklahoma 27,001,378
-----------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.4% (0.3% OF TOTAL INVESTMENTS)
3,000 Deschutes County School District 1, Bend-La Pine, Oregon, 6/11 at 100.00 Aa1 (4) 3,169,560
General Obligation Bonds, Series 2001A, 5.500%, 6/15/18
(Pre-refunded 6/15/11) - AGM Insured
185 Oregon Housing and Community Services Department, Single 1/14 at 100.00 Aa2 192,977
Family Mortgage Revenue Bonds, Series 2004H, 5.125%,
1/01/29 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
3,185 Total Oregon 3,362,537
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 4.1% (2.7% OF TOTAL INVESTMENTS)
2,000 Allegheny County Hospital Development Authority, No Opt. Call Aa3 2,055,900
Pennsylvania, University of Pittsburgh Medical Center
Revenue Bonds, Series 2009A, 5.625%, 8/15/39
220 Allentown, Pennsylvania, General Obligation Bonds, Series 10/13 at 100.00 A1 242,821
2003, 5.500%, 10/01/19 - FGIC Insured
1,450 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 1,449,986
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+ 1,424,970
Revenue Bonds, Series 2006-96A, 4.650%, 10/01/31
(Alternative Minimum Tax) (UB)
2,600 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, 12/14 at 100.00 Aa3 2,741,882
Series 2004A, 5.500%, 12/01/31 - AMBAC Insured
5,000 Pennsylvania Turnpike Commission, Turnpike Subordinate 6/26 at 100.00 AAA 3,763,650
Revenue Bonds, Series 2009C, 0.000%, 6/01/33 - AGM Insured
7,800 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General 8/13 at 100.00 AAA 7,855,224
Ordinance, Fourth Series 1998, 5.000%, 8/01/32 - AGM
Insured
44 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA (continued)
Philadelphia School District, Pennsylvania, General
Obligation Bonds, Series 2002B:
$ 6,000 5.625%, 8/01/19 (Pre-refunded 8/01/12) - FGIC Insured 8/12 at 100.00 Aa2 (4) $ 6,627,600
5,500 5.625%, 8/01/20 (Pre-refunded 8/01/12) - FGIC Insured 8/12 at 100.00 Aa2 (4) 6,075,300
-----------------------------------------------------------------------------------------------------------------------------------
32,070 Total Pennsylvania 32,237,333
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 7.9% (5.1% OF TOTAL INVESTMENTS)
2,500 Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, 7/18 at 100.00 Baa1 2,609,550
Senior Lien Series 2008A, 6.000%, 7/01/44
7,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/20 at 100.00 A3 7,512,120
Series 2010XX, 5.750%, 7/01/36
5,000 Puerto Rico Infrastructure Financing Authority, Special Tax No Opt. Call A3 560,100
Revenue Bonds, Series 2005A, 0.000%, 7/01/42 - FGIC
Insured
5,000 Puerto Rico Municipal Finance Agency, Series 2002A, 5.000%, 8/12 at 100.00 AAA 5,039,850
8/01/27 - AGM Insured
1,500 Puerto Rico Public Buildings Authority, Guaranteed Government 7/12 at 100.00 A3 1,509,375
Facilities Revenue Refunding Bonds, Series 2002D, 5.125%,
7/01/20
8,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/26 at 100.00 A+ 6,427,600
Revenue Bonds, First Subordinate Series 2009A, 0.000%,
8/01/32
13,125 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/29 at 100.00 A+ 7,815,019
Revenue Bonds, First Subordinate Series 2010A, 0.000%,
8/01/33
Puerto Rico Sales Tax Financing Corporation, Sales Tax
Revenue Bonds, Series 2007A:
50,000 0.000%, 8/01/47 - AMBAC Insured No Opt. Call Aa2 5,291,000
86,250 0.000%, 8/01/54 - AMBAC Insured No Opt. Call Aa2 5,440,650
15,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/17 at 100.00 AA- 15,132,900
Revenue Bonds, Tender Option Bond, 5.250%, 8/01/57 (UB)
1,500 Puerto Rico, General Obligation and Public Improvement Bonds, No Opt. Call AAA 1,568,970
Series 2001A, 5.500%, 7/01/29
3,375 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 5/12 at 100.00 BBB 3,312,833
Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
-----------------------------------------------------------------------------------------------------------------------------------
198,250 Total Puerto Rico 62,219,967
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 0.5% (0.3% OF TOTAL INVESTMENTS)
Rhode Island Tobacco Settlement Financing Corporation,
Tobacco Settlement Asset-Backed Bonds, Series 2002A:
2,230 6.125%, 6/01/32 6/12 at 100.00 BBB 2,162,989
1,865 6.250%, 6/01/42 6/12 at 100.00 BBB 1,790,251
-----------------------------------------------------------------------------------------------------------------------------------
4,095 Total Rhode Island 3,953,240
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 8.2% (5.4% OF TOTAL INVESTMENTS)
24,725 Greenville County School District, South Carolina, 12/12 at 101.00 Aaa 27,831,944
Installment Purchase Revenue Bonds, Series 2002, 5.500%,
12/01/22 (Pre-refunded 12/01/12)
Horry County School District, South Carolina, General
Obligation Bonds, Series 2001A:
5,840 5.000%, 3/01/20 3/12 at 100.00 Aa1 6,297,856
5,140 5.000%, 3/01/21 3/12 at 100.00 Aa1 5,542,976
Medical University Hospital Authority, South Carolina,
FHA-Insured Mortgage Revenue Bonds, Series 2004A:
5,240 5.250%, 8/15/20 - NPFG Insured 8/14 at 100.00 A 5,496,498
3,000 5.250%, 2/15/24 - NPFG Insured 8/14 at 100.00 A 3,111,600
7,600 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call A- 2,388,072
Revenue Bonds, Series 2004A-2, 0.000%, 1/01/31 - AMBAC
Insured
13,615 South Carolina Transportation Infrastructure Bank, Junior 10/11 at 100.00 N/R (4) 14,491,398
Lien Revenue Bonds, Series 2001B, 5.125%, 10/01/21
(Pre-refunded 10/01/11) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
65,160 Total South Carolina 65,160,344
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 0.4% (0.3% OF TOTAL INVESTMENTS)
3,000 Knox County Health, Educational and Housing Facilities Board, 4/12 at 101.00 A1 3,175,200
Tennessee, Hospital Revenue Bonds, Baptist Health System
of East Tennessee Inc., Series 2002, 6.375%, 4/15/22
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 14.9% (9.8% OF TOTAL INVESTMENTS)
535 Alamo Community College District, Bexar County, Texas, 11/11 at 100.00 AAA 571,990
Combined Fee Revenue Refunding Bonds, Series 2001, 5.375%,
11/01/16 - AGM Insured
Nuveen Investments 45
NQU | Nuveen Quality Income Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 465 Alamo Community College District, Bexar County, Texas, 11/11 at 100.00 AAA $ 498,568
Combined Fee Revenue Refunding Bonds, Series 2001, 5.375%,
11/01/16 (Pre-refunded 11/01/11) - AGM Insured
11,255 Brazos River Authority, Texas, Pollution Control Revenue No Opt. Call CCC 10,950,215
Refunding Bonds, TXU Electric Company, Series 2001C,
5.750%, 5/01/36 (Mandatory put 11/01/11) (Alternative
Minimum Tax)
5,500 Central Texas Regional Mobility Authority, Travis and 1/15 at 100.00 A 4,860,295
Williamson Counties, Toll Road Revenue Bonds, Series 2005,
5.000%, 1/01/45 - FGIC Insured
5,000 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 A+ 5,101,100
Refunding and Improvement Bonds, Series 2001A, 5.625%,
11/01/21 - FGIC Insured (Alternative Minimum Tax)
2,700 Harris County-Houston Sports Authority, Texas, Senior Lien 11/11 at 100.00 A 2,538,405
Revenue Bonds, Series 2001G, 5.250%, 11/15/30 - NPFG
Insured
15,680 Harris County-Houston Sports Authority, Texas, Third Lien 11/24 at 55.69 A 2,809,542
Revenue Bonds, Series 2004-A3., 0.000%, 11/15/34 - NPFG
Insured
4,865 Houston, Texas, Hotel Occupancy Tax and Special Revenue No Opt. Call AAA 1,934,811
Bonds, Convention and Entertainment Project, Series 2001B,
0.000%, 9/01/27 - AMBAC Insured
22,500 Houston, Texas, Junior Lien Water and Sewerage System Revenue 12/10 at 100.00 AA (4) 23,146,875
Refunding Bonds, Series 2000B, 5.250%, 12/01/30
(Pre-refunded 12/01/10) - FGIC Insured
4,735 Houston, Texas, Subordinate Lien Airport System Revenue 7/10 at 100.00 AAA 4,737,368
Bonds, Series 2000A, 5.625%, 7/01/30 - AGM Insured
(Alternative Minimum Tax)
6,000 Leander Independent School District, Williamson and Travis 8/14 at 33.33 AAA 1,622,280
Counties, Texas, General Obligation Bonds, Series 2006,
0.000%, 8/15/34
17,655 Matagorda County Navigation District 1, Texas, Revenue 5/10 at 101.00 A 17,023,657
Refunding Bonds, Houston Industries Inc., Series 1998B,
5.150%, 11/01/29 - NPFG Insured
7,650 Port of Corpus Christi Authority, Nueces County, Texas, 5/10 at 100.00 BBB 7,652,984
Revenue Refunding Bonds, Union Pacific Corporation, Series
1992, 5.350%, 11/01/10
2,000 Sam Rayburn Municipal Power Agency, Texas, Power Supply 10/12 at 100.00 BBB 2,046,960
System Revenue Refunding Bonds, Series 2002A, 5.750%,
10/01/21 - RAAI Insured
11,300 San Antonio, Texas, Electric and Gas System Revenue Refunding No Opt. Call AAA 12,515,089
Bonds, New Series 1992, 5.000%, 2/01/17 (ETM)
3,750 Spring Branch Independent School District, Harris County, 2/11 at 100.00 AAA 3,885,975
Texas, Limited Tax Schoolhouse and Refunding Bonds, Series
2001, 5.125%, 2/01/23 (Pre-refunded 2/01/11)
4,375 Tarrant County Cultural & Educational Facilities Financing 11/17 at 100.00 AA- 4,346,781
Corporation, Texas, Revenue Bonds, Tarrant County Health
Resources, Series 2008, Trust 1197, 9.185%, 11/15/47 (IF)
White Settlement Independent School District, Tarrant County,
Texas, General Obligation Bonds, Series 2006:
9,110 0.000%, 8/15/38 8/15 at 30.30 AAA 2,111,151
9,110 0.000%, 8/15/39 8/15 at 28.63 AAA 1,993,450
6,610 0.000%, 8/15/42 8/15 at 24.42 AAA 1,230,187
7,110 0.000%, 8/15/43 8/15 at 23.11 AAA 1,251,076
5,000 Wichita Falls, Wichita County, Texas, Priority Lien Water and 8/11 at 100.00 AA- (4) 5,278,350
Sewerage System Revenue Bonds, Series 2001, 5.000%,
8/01/22 (Pre-refunded 8/01/11) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
162,905 Total Texas 118,107,109
-----------------------------------------------------------------------------------------------------------------------------------
UTAH - 1.0% (0.6% OF TOTAL INVESTMENTS)
7,155 Utah Associated Municipal Power Systems, Revenue Bonds, 4/13 at 100.00 AAA 7,586,590
Payson Power Project, Series 2003A, 5.000%, 4/01/25 - AGM
Insured (UB)
-----------------------------------------------------------------------------------------------------------------------------------
46 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 3.2% (2.1% OF TOTAL INVESTMENTS)
$ 11,000 Metropolitan Washington DC Airports Authority, Virginia, 10/26 at 100.00 AAA $ 7,999,530
Dulles Toll Road Revenue Bonds, Series 2009C, 0.000%,
10/01/41 - AGC Insured
4,000 Norfolk Airport Authority, Virginia, Airport Revenue 7/11 at 100.00 A 3,842,440
Refunding Bonds, Series 2001B, 5.125%, 7/01/31 - FGIC
Insured (Alternative Minimum Tax)
11,040 Suffolk Redevelopment and Housing Authority, Virginia, FNMA No Opt. Call Aaa 11,492,971
Multifamily Housing Revenue Refunding Bonds, Windsor at
Potomac Vista L.P. Project, Series 2001, 4.850%, 7/01/31
(Mandatory put 7/01/11)
940 Virginia Port Authority, Port Facilities Revenue Refunding 7/19 at 100.00 Aa3 973,502
Bonds Series 2010, 5.000%, 7/01/40 (WI/DD, Settling
5/06/10)
Virginia Resources Authority, Water System Revenue Refunding
Bonds, Series 2002:
500 5.000%, 4/01/18 4/12 at 102.00 AA 542,500
500 5.000%, 4/01/19 4/12 at 102.00 AA 542,500
-----------------------------------------------------------------------------------------------------------------------------------
27,980 Total Virginia 25,393,443
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 10.3% (6.8% OF TOTAL INVESTMENTS)
6,750 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 AAA 7,284,465
Bonds, Columbia Generating Station - Nuclear Project 2,
Series 2002B, 5.350%, 7/01/18 - AGM Insured
2,500 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 Aaa 2,730,400
Bonds, Columbia Generating Station - Nuclear Project 2,
Series 2002C, 5.750%, 7/01/17 - NPFG Insured
3,750 FYI Properties, Washington, Lease Revenue Bonds, Washington 6/19 at 100.00 AA 3,986,738
State Department of Information Services Project, Series
2009, 5.500%, 6/01/39
6,950 Port of Seattle, Washington, Revenue Bonds, Series 2000B, 8/10 at 100.00 Aa2 7,013,245
5.625%, 2/01/24 - NPFG Insured (Alternative Minimum Tax)
(UB)
13,400 Seattle, Washington, Municipal Light and Power Revenue Bonds, 12/10 at 100.00 Aa2 13,724,548
Series 2000, 5.400%, 12/01/25
5,000 Washington State Healthcare Facilities Authority, Revenue 10/16 at 100.00 AA 4,924,250
Bonds, Providence Health Care Services, Series 2006A,
4.625%, 10/01/34 - FGIC Insured (UB)
7,325 Washington State Tobacco Settlement Authority, Tobacco 6/13 at 100.00 BBB 7,453,041
Settlement Asset-Backed Revenue Bonds, Series 2002,
6.500%, 6/01/26
18,145 Washington, General Obligation Bonds, Series 2001-02A, 7/11 at 100.00 AAA 18,845,760
5.000%, 7/01/23 - AGM Insured
Washington, Motor Vehicle Fuel Tax General Obligation Bonds,
Series 2002C:
7,000 5.000%, 1/01/21 - AGM Insured 1/12 at 100.00 AAA 7,373,730
7,960 5.000%, 1/01/22 - AGM Insured 1/12 at 100.00 AAA 8,321,782
-----------------------------------------------------------------------------------------------------------------------------------
78,780 Total Washington 81,657,959
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 2.1% (1.4% OF TOTAL INVESTMENTS)
Badger Tobacco Asset Securitization Corporation, Wisconsin,
Tobacco Settlement Asset-Backed Bonds, Series 2002:
130 6.125%, 6/01/27 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 139,207
3,380 6.375%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 3,756,700
7,545 La Crosse, Wisconsin, Pollution Control Revenue Refunding 12/10 at 100.00 A 7,747,884
Bonds, Dairyland Power Cooperative, Series 1997A, 5.450%,
9/01/14 - AMBAC Insured
3,000 Wisconsin Health and Educational Facilities Authority, 5/14 at 100.00 BBB+ 2,959,079
Revenue Bonds, Fort Healthcare Inc., Series 2004, 5.750%,
5/01/29
2,100 Wisconsin Health and Educational Facilities Authority, 8/13 at 100.00 BBB+ 1,880,507
Revenue Bonds, Wheaton Franciscan Services Inc., Series
2003A, 5.125%, 8/15/33
-----------------------------------------------------------------------------------------------------------------------------------
16,155 Total Wisconsin 16,483,377
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 47
NQU | Nuveen Quality Income Municipal Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WYOMING - 0.8% (0.5% OF TOTAL INVESTMENTS)
$ 2,035 Campbell County, Wyoming Solid Waste Facilities Revenue 7/19 at 100.00 A+ $ 2,185,202
Bonds, Basin Electric Power Cooperative - Dry Fork Station
Facilities, Series 2009A, 5.750%, 7/15/39
4,000 Wyoming Municipal Power Agency Power Supply System Revenue 1/18 at 100.00 A2 4,145,839
Bonds, 2008 Series A, 5.375%, 1/01/42
-----------------------------------------------------------------------------------------------------------------------------------
6,035 Total Wyoming 6,331,041
-----------------------------------------------------------------------------------------------------------------------------------
$ 1,593,615 Total Investments (cost $1,171,224,590) - 152.8% 1,209,038,378
===============--------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (8.4)% (66,620,000)
-----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 4.5% 35,523,086
-----------------------------------------------------------------------------------------------------------------
Auction Rate Preferred Shares, at Liquidation Value -
(48.9)% (5) (386,875,000)
-----------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 791,066,464
=================================================================================================================
(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.
(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) Auction Rate Preferred Shares, at Liquidation Value as a percentage of
Total Investments is 32.0%.
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. See Notes to Financial Statements, Footnote 1 - Inverse
Floating Rate Securities for more information.
See accompanying notes to financial statements.
48 Nuveen Investments
NPF | Nuveen Premier Municipal Income Fund, Inc.
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.7% (1.0% OF TOTAL INVESTMENTS)
$ 2,000 Alabama Special Care Facilities Financing Authority, Revenue 11/16 at 100.00 Aa1 $ 2,026,660
Bonds, Ascension Health, Series 2006C-2, 5.000%, 11/15/39
(UB)
Birmingham Special Care Facilities Financing Authority,
Alabama, Revenue Bonds, Baptist Health System Inc., Series
2005A:
1,200 5.250%, 11/15/20 11/15 at 100.00 Baa2 1,174,332
400 5.000%, 11/15/30 11/15 at 100.00 Baa2 352,256
1,000 Montgomery BMC Special Care Facilities Financing Authority, 11/14 at 100.00 A3 (4) 1,144,860
Alabama, Revenue Bonds, Baptist Medical Center, Series
2004C, 5.250%, 11/15/29 (Pre-refunded 11/15/14)
-----------------------------------------------------------------------------------------------------------------------------------
4,600 Total Alabama 4,698,108
-----------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.2% (0.2% OF TOTAL INVESTMENTS)
1,000 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 672,230
Settlement Asset-Backed Bonds, Series 2006A, 5.000%,
6/01/46
-----------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 7.7% (4.8% OF TOTAL INVESTMENTS)
Glendale Industrial Development Authority, Arizona, Revenue
Bonds, John C. Lincoln Health Network, Series 2005B:
100 5.250%, 12/01/24 12/15 at 100.00 BBB 100,331
135 5.250%, 12/01/25 12/15 at 100.00 BBB 135,072
7,000 Phoenix, Arizona, Civic Improvement Revenue Bonds, Civic No Opt. Call AA 6,135,150
Plaza, Series 2005B, 0.000%, 7/01/39 - FGIC Insured
7,500 Salt River Project Agricultural Improvement and Power 1/13 at 100.00 Aa1 7,988,250
District, Arizona, Electric System Revenue Bonds, Series
2002B, 5.000%, 1/01/25 (UB)
6,000 Salt River Project Agricultural Improvement and Power 1/12 at 101.00 Aa1 6,444,600
District, Arizona, Electric System Revenue Refunding
Bonds, Series 2002A, 5.250%, 1/01/15
1,200 Salt Verde Financial Corporation, Arizona, Senior Gas Revenue No Opt. Call A 1,070,112
Bonds, Citigroup Energy Inc Prepay Contract Obligations,
Series 2007, 5.000%, 12/01/37
-----------------------------------------------------------------------------------------------------------------------------------
21,935 Total Arizona 21,873,515
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.8% (0.5% OF TOTAL INVESTMENTS)
2,155 Arkansas Development Finance Authority, State Facility 11/15 at 100.00 AAA 2,312,746
Revenue Bonds, Department of Correction Special Needs Unit
Project, Series 2005B, 5.000%, 11/01/25 - AGM Insured
1 Stuttgart Public Facilities Board, Arkansas, Single Family 9/10 at 100.00 Aaa 700
Mortgage Revenue Refunding Bonds, Series 1993A, 7.900%,
9/01/11
-----------------------------------------------------------------------------------------------------------------------------------
2,156 Total Arkansas 2,313,446
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 20.8% (13.0% OF TOTAL INVESTMENTS)
10,000 Anaheim Public Finance Authority, California, Public 9/17 at 100.00 A1 8,598,500
Improvement Project Lease Bonds, Series 2007A-1, 4.375%,
3/01/37 - FGIC Insured
5,690 California Department of Veterans Affairs, Home Purchase 6/12 at 101.00 AA- 5,836,404
Revenue Bonds, Series 2002A, 5.300%, 12/01/21 - AMBAC
Insured
1,350 California Educational Facilities Authority, Revenue Bonds, 10/15 at 100.00 AA+ 1,382,657
University of Southern California, Series 2005, 4.750%,
10/01/28 (UB)
1,975 California Health Facilities Financing Authority, Revenue No Opt. Call A 2,135,587
Bonds, Catholic Healthcare West, Series 2004I, 4.950%,
7/01/26 (Mandatory put 7/01/14)
1,700 California Health Facilities Financing Authority, Revenue 10/19 at 100.00 AA 1,787,941
Bonds, Providence Health & Services, Series 2009B, 5.500%,
10/01/39
500 California Statewide Community Development Authority, Revenue 7/15 at 100.00 BBB 420,075
Bonds, Daughters of Charity Health System, Series 2005A,
5.000%, 7/01/39
1,600 California Statewide Community Development Authority, Revenue 8/16 at 100.00 A+ 1,607,472
Bonds, Kaiser Permanente System, Series 2001C, 5.250%,
8/01/31
1,025 California Statewide Community Development Authority, Revenue 5/18 at 100.00 Aa3 1,073,257
Bonds, Sutter Health, Tender Option Bond Trust 3175,
13.554%, 11/15/48 (IF)
4,900 California, General Obligation Bonds, Series 2004, 5.000%, 12/14 at 100.00 A1 5,030,732
6/01/23 - AMBAC Insured
Nuveen Investments 49
NPF | Nuveen Premier Municipal Income Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 1,000 Chula Vista, California, Industrial Development Revenue 6/14 at 102.00 A2 $ 1,063,140
Bonds, San Diego Gas and Electric Company, Series 1996A,
5.300%, 7/01/21
25,000 Foothill/Eastern Transportation Corridor Agency, California, No Opt. Call AAA 20,864,250
Toll Road Revenue Bonds, Series 1995A, 0.000%, 1/01/17
(ETM)
450 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 525,407
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39 (Pre-refunded 6/01/13)
3,500 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 2,444,365
Tobacco Settlement Asset-Backed Bonds, Series 2007A-1,
5.125%, 6/01/47
6,005 Los Angeles Unified School District, California, General 7/15 at 100.00 Aa2 6,357,373
Obligation Bonds, Series 2005E, 5.000%, 7/01/22 - AMBAC
Insured
San Diego County, California, Certificates of Participation,
Burnham Institute, Series 2006:
100 5.000%, 9/01/21 9/15 at 102.00 Baa3 95,330
110 5.000%, 9/01/23 9/15 at 102.00 Baa3 103,062
-----------------------------------------------------------------------------------------------------------------------------------
64,905 Total California 59,325,552
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 11.0% (6.9% OF TOTAL INVESTMENTS)
1,000 Colorado Health Facilities Authority, Revenue Bonds, 6/16 at 100.00 A- 949,240
Evangelical Lutheran Good Samaritan Society, Series 2005,
5.000%, 6/01/29
1,150 Colorado Health Facilities Authority, Revenue Bonds, Parkview 9/14 at 100.00 A3 1,151,219
Medical Center, Series 2004, 5.000%, 9/01/25
400 Colorado Health Facilities Authority, Revenue Bonds, Poudre 3/15 at 100.00 A- 400,772
Valley Health Care, Series 2005F, 5.000%, 3/01/25
750 Colorado Health Facilities Authority, Revenue Bonds, Vail 1/15 at 100.00 BBB+ 772,118
Valley Medical Center, Series 2004, 5.000%, 1/15/17
Denver City and County, Colorado, Airport Revenue Bonds,
Series 2006:
4,170 5.000%, 11/15/23 - FGIC Insured 11/16 at 100.00 A+ 4,406,147
6,800 5.000%, 11/15/24 - FGIC Insured 11/16 at 100.00 A+ 7,143,944
Denver, Colorado, Airport Revenue Bonds, Series 2006:
6,890 5.000%, 11/15/23 - FGIC Insured (UB) 11/16 at 100.00 A+ 7,280,181
8,940 5.000%, 11/15/25 - FGIC Insured (UB) 11/16 at 100.00 A+ 9,345,250
-----------------------------------------------------------------------------------------------------------------------------------
30,100 Total Colorado 31,448,871
-----------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.7% (0.5% OF TOTAL INVESTMENTS)
2,020 Connecticut Development Authority, Pollution Control Revenue 10/10 at 101.00 Baa1 2,038,927
Refunding Bonds, Connecticut Light and Power Company,
Series 1993A, 5.850%, 9/01/28
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 2.6% (1.6% OF TOTAL INVESTMENTS)
1,700 Hillsborough County Industrial Development Authority, 4/12 at 100.00 N/R 1,489,540
Florida, Exempt Facilities Remarketed Revenue Bonds,
National Gypsum Company, Apollo Beach Project, Series
2000B, 7.125%, 4/01/30 (Alternative Minimum Tax)
2,500 Hillsborough County Industrial Development Authority, 10/12 at 100.00 Baa1 2,654,650
Florida, Pollution Control Revenue Bonds, Tampa Electric
Company Project, Series 2002, 5.100%, 10/01/13
125 Marion County Hospital District, Florida, Revenue Bonds, 10/17 at 100.00 A3 115,078
Munroe Regional Medical Center, Series 2007, 5.000%,
10/01/34
1,000 South Miami Health Facilities Authority, Florida, Hospital 8/17 at 100.00 AA- 982,620
Revenue, Baptist Health System Obligation Group, Series
2007, 5.000%, 8/15/42 (UB)
2,150 Sumter County, Florida, Capital Improvement Revenue Bonds, 6/16 at 100.00 A 2,149,914
Series 2006, 5.000%, 6/01/30 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
7,475 Total Florida 7,391,802
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 4.4% (2.8% OF TOTAL INVESTMENTS)
8,050 George L. Smith II World Congress Center Authority, Atlanta, 7/10 at 101.00 A 8,145,473
Georgia, Revenue Refunding Bonds, Domed Stadium Project,
Series 2000, 5.500%, 7/01/20 - NPFG Insured (Alternative
Minimum Tax)
4,105 Municipal Electric Authority of Georgia, Combustion Turbine 11/13 at 100.00 A1 4,490,377
Revenue Bonds, Series 2003A, 5.125%, 11/01/17 - NPFG
Insured
-----------------------------------------------------------------------------------------------------------------------------------
12,155 Total Georgia 12,635,850
-----------------------------------------------------------------------------------------------------------------------------------
50 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.8% (0.5% OF TOTAL INVESTMENTS)
$ 2,250 Hawaii Department of Budget and Finance, Special Purpose 7/10 at 100.00 Baa1 $ 2,253,218
Revenue Bonds, Hawaiian Electric Company Inc., Series
1999D, 6.150%, 1/01/20 - AMBAC Insured (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
IDAHO - 0.3% (0.2% OF TOTAL INVESTMENTS)
65 Idaho Housing and Finance Association, Single Family Mortgage 7/10 at 100.00 Aa1 65,117
Bonds, Series 1996E, 6.350%, 7/01/14 (Alternative Minimum
Tax)
Madison County, Idaho, Hospital Revenue Certificates of
Participation, Madison Memorial Hospital, Series 2006:
500 5.250%, 9/01/26 9/16 at 100.00 BBB- 462,575
200 5.250%, 9/01/37 9/16 at 100.00 BBB- 176,302
-----------------------------------------------------------------------------------------------------------------------------------
765 Total Idaho 703,994
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 10.7% (6.7% OF TOTAL INVESTMENTS)
500 Chicago Public Building Commission, Illinois, General No Opt. Call A (4) 569,625
Obligation Lease Certificates, Chicago Board of Education,
Series 1990B, 7.000%, 1/01/15 - NPFG Insured (ETM)
8,670 Chicago, Illinois, General Obligation Bonds, City Colleges, No Opt. Call Aa2 4,425,862
Series 1999, 0.000%, 1/01/24 - FGIC Insured
8,500 Chicago, Illinois, Senior Lien Water Revenue Bonds, Series No Opt. Call Aa3 9,666,370
2001, 5.750%, 11/01/30 - AMBAC Insured
200 Illinois Finance Authority, Revenue Bonds, Proctor Hospital, 1/16 at 100.00 BB+ 173,374
Series 2006, 5.125%, 1/01/25
1,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Aaa 1,092,760
Medical Center, Series 2002, 5.500%, 5/15/32 (Pre-refunded
5/15/12)
1,500 Illinois, General Obligation Bonds, Illinois FIRST Program, 2/12 at 100.00 Aa3 1,624,785
Series 2002, 5.500%, 2/01/17 - FGIC Insured
Lombard Public Facilities Corporation, Illinois, Second Tier
Conference Center and Hotel Revenue Bonds, Series 2005B:
850 5.250%, 1/01/25 1/16 at 100.00 AA 877,668
1,750 5.250%, 1/01/30 1/16 at 100.00 AA 1,779,873
Metropolitan Pier and Exposition Authority, Illinois, Revenue
Refunding Bonds, McCormick Place Expansion Project, Series
1996A:
10,575 0.000%, 12/15/23 - NPFG Insured No Opt. Call A1 5,282,953
10,775 0.000%, 12/15/24 - NPFG Insured No Opt. Call A1 5,020,935
-----------------------------------------------------------------------------------------------------------------------------------
44,320 Total Illinois 30,514,205
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.5% (2.2% OF TOTAL INVESTMENTS)
2,275 Anderson School Building Corporation, Madison County, 1/14 at 100.00 AAA 2,605,808
Indiana, First Mortgage Bonds, Series 2003, 5.500%,
7/15/23 (Pre-refunded 1/15/14) - AGM Insured
6,180 Crown Point Multi-School Building Corporation, Indiana, First No Opt. Call A 3,365,010
Mortgage Bonds, Crown Point Community School Corporation,
Series 2000, 0.000%, 1/15/23 - NPFG Insured
1,250 Portage, Indiana, Revenue Bonds, Series 2006, 5.000%, 7/15/23 7/16 at 100.00 A 1,235,638
1,700 Saint Joseph County, Indiana, Educational Facilities Revenue 3/18 at 100.00 Aaa 1,803,326
Bonds, University of Notre Dame du Lac, Refunding Series
2009., 5.000%, 3/01/36
1,000 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/15 at 100.00 BB+ 819,870
Madison Center Inc., Series 2005, 5.250%, 2/15/28
-----------------------------------------------------------------------------------------------------------------------------------
12,405 Total Indiana 9,829,652
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.0% (0.6% OF TOTAL INVESTMENTS)
4,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 2,954,360
Revenue Bonds, Series 2005C, 5.500%, 6/01/42
-----------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.8% (0.5% OF TOTAL INVESTMENTS)
1,700 Kentucky Economic Development Finance Authority, Hospital No Opt. Call Baa2 1,762,203
Facilities Revenue Bonds, Owensboro Medical Health System,
Series 2010A, 6.500%, 3/01/45
510 Louisville and Jefferson County Metropolitan Government, 10/16 at 100.00 N/R 481,277
Kentucky, Industrial Building Revenue Bonds, Sisters of
Mercy of the Americas, Series 2006, 5.000%, 10/01/35
-----------------------------------------------------------------------------------------------------------------------------------
2,210 Total Kentucky 2,243,480
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 51
NPF | Nuveen Premier Municipal Income Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 6.5% (4.0% OF TOTAL INVESTMENTS)
$ 1,310 Louisiana Housing Finance Agency, GNMA Collateralized 9/10 at 100.00 AA+ $ 1,311,926
Mortgage Revenue Bonds, St. Dominic Assisted Care
Facility, Series 1995, 6.850%, 9/01/25
1,500 Louisiana Public Facilities Authority, Revenue Bonds, Ochsner 5/17 at 100.00 Baa1 1,362,870
Clinic Foundation Project, Series 2007A, 5.500%, 5/15/47
Louisiana State, Gasoline and Fuels Tax Revenue Bonds, Series
2006A:
825 4.750%, 5/01/39 - AGM Insured (UB) 5/16 at 100.00 AAA 826,922
8,880 4.500%, 5/01/41 - FGIC Insured (UB) 5/16 at 100.00 Aa1 8,748,488
5 Louisiana State, Gasoline Tax Revenue Bonds, Series 2006, 5/16 at 100.00 Aa1 4,705
Residuals 660-1, 16.535%, 5/01/41 - FGIC Insured (IF)
3,950 Morehouse Parish, Louisiana, Pollution Control Revenue Bonds, No Opt. Call BBB 4,146,789
International Paper Company, Series 2002A, 5.700%, 4/01/14
2,090 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 2,026,297
Settlement Asset-Backed Bonds, Series 2001B, 5.875%,
5/15/39
-----------------------------------------------------------------------------------------------------------------------------------
18,560 Total Louisiana 18,427,997
-----------------------------------------------------------------------------------------------------------------------------------
MAINE - 0.8% (0.5% OF TOTAL INVESTMENTS)
2,150 Maine State Housing Authority, Single Family Mortgage 5/13 at 100.00 AA+ 2,223,294
Purchase Bonds, Series 2004A-2, 5.000%, 11/15/21
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.2% (0.8% OF TOTAL INVESTMENTS)
2,000 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A2 2,052,540
Revenue Bonds, MedStar Health, Series 2004, 5.375%,
8/15/24
1,550 Maryland Health and Higher Educational Facilities Authority, 7/16 at 100.00 A 1,474,143
Revenue Bonds, Western Maryland Health, Series 2006A,
4.750%, 7/01/36 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
3,550 Total Maryland 3,526,683
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.5% (1.0% OF TOTAL INVESTMENTS)
1,000 Massachusetts Development Finance Authority, Revenue Bonds, 10/14 at 100.00 BBB 1,006,350
Hampshire College, Series 2004, 5.625%, 10/01/24
3,000 Massachusetts, Special Obligation Dedicated Tax Revenue 1/14 at 100.00 A1 (4) 3,375,510
Bonds, Series 2004, 5.250%, 1/01/24 (Pre-refunded 1/01/14)
- FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
4,000 Total Massachusetts 4,381,860
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.0% (2.5% OF TOTAL INVESTMENTS)
2,925 Detroit, Michigan, General Obligation Bonds, Series 2003A, 4/13 at 100.00 BB 2,711,358
5.250%, 4/01/17 - SYNCORA GTY Insured
4,600 Detroit, Michigan, Sewer Disposal System Revenue Bonds, 7/16 at 100.00 A1 4,238,118
Second Lien, Series 2006B, 4.625%, 7/01/34 - FGIC Insured
1,000 Michigan State Hospital Finance Authority, Revenue Bonds, 12/16 at 100.00 AA 990,830
Trinity Health Care Group, Series 2006A, 5.000%, 12/01/31
(UB)
170 Monroe County Hospital Finance Authority, Michigan, Mercy 6/16 at 100.00 Baa3 141,085
Memorial Hospital Corporation Revenue Bonds, Series 2006,
5.500%, 6/01/35
3,025 Wayne County, Michigan, Airport Revenue Refunding Bonds, 12/12 at 100.00 A 3,273,595
Detroit Metropolitan Airport, Series 2002C, 5.375%,
12/01/19 - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
11,720 Total Michigan 11,354,986
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 4.5% (2.8% OF TOTAL INVESTMENTS)
4,350 Cohasset, Minnesota, Pollution Control Revenue Bonds, Allete 7/14 at 100.00 A2 4,418,426
Inc., Series 2004, 4.950%, 7/01/22
1,000 Duluth Economic Development Authority, Minnesota, Healthcare 2/14 at 100.00 N/R (4) 1,139,200
Facilities Revenue Bonds, Benedictine Health System - St.
Mary's Duluth Clinic, Series 2004, 5.250%, 2/15/21
(Pre-refunded 2/15/14)
2,290 Minneapolis-St. Paul Housing and Redevelopment Authority, 12/13 at 100.00 Baa1 2,355,883
Minnesota, Revenue Bonds, HealthPartners Inc., Series
2003, 6.000%, 12/01/20
530 Minnesota Higher Education Facilities Authority, Revenue 10/14 at 100.00 A2 563,417
Bonds, University of St. Thomas, Series 2004-5Y, 5.250%,
10/01/19
1,000 Minnesota Municipal Power Agency, Electric Revenue Bonds, 10/14 at 100.00 A3 1,063,680
Series 2004A, 5.250%, 10/01/19
3,000 St. Paul Port Authority, Minnesota, Lease Revenue Bonds, 12/13 at 100.00 AA+ 3,192,360
Office Building at Cedar Street, Series 2003, 5.250%,
12/01/20
-----------------------------------------------------------------------------------------------------------------------------------
12,170 Total Minnesota 12,732,966
-----------------------------------------------------------------------------------------------------------------------------------
52 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.8% (0.5% OF TOTAL INVESTMENTS)
$ 2,325 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 AA $ 2,386,775
Revenue Bonds, Baptist Memorial Healthcare, Series
2004B-1, 5.000%, 9/01/24 (UB)
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.0% (0.7% OF TOTAL INVESTMENTS)
100 Hannibal Industrial Development Authority, Missouri, Health 3/16 at 100.00 BBB+ 97,982
Facilities Revenue Bonds, Hannibal Regional Hospital,
Series 2006, 5.000%, 3/01/22
2,880 Joplin Industrial Development Authority, Missouri, Health 2/15 at 102.00 BBB+ 2,874,240
Facilities Revenue Bonds, Freeman Health System, Series
2004, 5.500%, 2/15/24
-----------------------------------------------------------------------------------------------------------------------------------
2,980 Total Missouri 2,972,222
-----------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.3% (0.8% OF TOTAL INVESTMENTS)
1,580 Douglas County Hospital Authority 2, Nebraska, Health No Opt. Call Aa3 1,693,128
Facilities Revenue Bonds, Nebraska Medical Center, Series
2003, 5.000%, 11/15/16
1,105 Grand Island, Nebraska, Electric System Revenue Bonds, Series 9/10 at 100.00 A1 (4) 1,178,781
1977, 6.100%, 9/01/12 (ETM)
515 Omaha Public Power District, Nebraska, Separate Electric 2/17 at 100.00 AA+ 803,009
System Revenue Bonds, Nebraska City 2, Series 2006A,
19.751%, 2/01/49 - AMBAC Insured (IF)
-----------------------------------------------------------------------------------------------------------------------------------
3,200 Total Nebraska 3,674,918
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 1.5% (0.9% OF TOTAL INVESTMENTS)
4,000 Clark County, Nevada, Airport Revenue Bonds, Subordinte Lien 1/20 at 100.00 Aa3 4,249,560
Series 2010B, 5.750%, 7/01/42
-----------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 2.3% (1.4% OF TOTAL INVESTMENTS)
1,110 New Hampshire Health and Education Facilities Authority, 6/19 at 100.00 AA+ 1,401,908
Revenue Bonds, Dartmouth College, Tender Option Bond Trust
09-7W, 13.902%, 6/01/39 (IF)
5,000 New Hampshire Housing Finance Authority, FHLMC Multifamily 7/10 at 101.00 Aaa 5,059,550
Housing Remarketed Revenue Bonds, Countryside LP, Series
1994, 6.100%, 7/01/24 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
6,110 Total New Hampshire 6,461,458
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 5.7% (3.6% OF TOTAL INVESTMENTS)
1,000 New Jersey Economic Development Authority, School Facilities 9/15 at 100.00 AA- 1,070,180
Construction Bonds, Series 2005P, 5.250%, 9/01/24
3,000 New Jersey Transportation Trust Fund Authority, 6/13 at 100.00 AAA 3,406,530
Transportation System Bonds, Series 2003C, 5.500%, 6/15/24
(Pre-refunded 6/15/13)
New Jersey Transportation Trust Fund Authority,
Transportation System Bonds, Series 2006C:
25,000 0.000%, 12/15/35 - AMBAC Insured No Opt. Call AA- 5,414,500
10,000 0.000%, 12/15/36 - AMBAC Insured No Opt. Call AA- 2,029,700
1,500 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 A+ 1,613,055
5.000%, 1/01/19 - FGIC Insured
2,500 New Jersey Turnpike Authority, Revenue Bonds, Series 2005A, 1/15 at 100.00 AAA 2,656,825
5.000%, 1/01/25 - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
43,000 Total New Jersey 16,190,790
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 16.6% (10.4% OF TOTAL INVESTMENTS)
Brooklyn Areba Local Development Corporation, New York,
Payment in Lieu of Taxes Revenue Bonds, Barclays Center
Project, Series 2009:
660 6.000%, 7/15/30 1/20 at 100.00 BBB- 679,998
1,600 0.000%, 7/15/44 No Opt. Call BBB- 145,168
1,500 Dormitory Authority of the State of New York, State and Local 7/14 at 100.00 AA- 1,617,240
Appropriation Lease Bonds, Upstate Community Colleges,
Series 2004B, 5.250%, 7/01/19
2,200 Hudson Yards Infrastructure Corporation, New York, Revenue 2/17 at 100.00 A 2,047,694
Bonds, Series 2006A, 4.500%, 2/15/47 - NPFG Insured
7,500 Long Island Power Authority, New York, Electric System 6/16 at 100.00 AA+ 8,094,600
General Revenue Bonds, Series 2006A, 5.000%, 12/01/25 -
FGIC Insured (UB)
5,000 Metropolitan Transportation Authority, New York, 11/12 at 100.00 A 5,254,950
Transportation Revenue Refunding Bonds, Series 2002A,
5.125%, 11/15/21 - FGIC Insured
2,000 New York City Municipal Water Finance Authority, New York, 12/14 at 100.00 AAA 2,135,640
Water and Sewerage System Revenue Bonds, Fiscal Series
2005B, 5.000%, 6/15/23 - AMBAC Insured
4,265 New York City, New York, General Obligation Bonds, Fiscal 10/13 at 100.00 AA 4,609,868
Series 2003D, 5.250%, 10/15/22 (UB)
1,200 New York City, New York, General Obligation Bonds, Fiscal 8/14 at 100.00 AA 1,348,188
Series 2004B, 5.250%, 8/01/15
Nuveen Investments 53
NPF | Nuveen Premier Municipal Income Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 4,000 New York City, New York, General Obligation Bonds, Series 8/14 at 100.00 AA $ 4,434,000
2004C-1, 5.250%, 8/15/20 (UB)
910 New York Convention Center Development Corporation, Hotel Fee 11/15 at 100.00 AA+ 1,032,577
Revenue Bonds, Trust 2364, 16.925%, 11/15/44 - AMBAC
Insured (IF)
3,250 New York State Municipal Bond Bank Agency, Special School 6/13 at 100.00 A+ 3,410,063
Purpose Revenue Bonds, Series 2003C, 5.250%, 6/01/22
New York State Thruway Authority, General Revenue Bonds,
Series 2005G:
6,460 5.000%, 1/01/25 - AGM Insured (UB) 7/15 at 100.00 AAA 6,804,899
2,580 5.000%, 1/01/26 - AGM Insured (UB) 7/15 at 100.00 AAA 2,706,652
1,850 New York State Urban Development Corporation, Service 3/15 at 100.00 AAA 2,015,094
Personal Income Tax Revenue Bonds, Series 2005B, 5.000%,
3/15/24 - AGM Insured (UB)
1,000 New York State Urban Development Corporation, Subordinate 7/14 at 100.00 A 1,056,920
Lien Corporate Purpose Bonds, Series 2004A, 5.125%,
1/01/22
-----------------------------------------------------------------------------------------------------------------------------------
45,975 Total New York 47,393,551
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 4.2% (2.6% OF TOTAL INVESTMENTS)
10,300 North Carolina Eastern Municipal Power Agency, Power System No Opt. Call A 12,026,898
Revenue Refunding Bonds, Series 1993B, 6.000%, 1/01/22 -
CAPMAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.8% (1.7% OF TOTAL INVESTMENTS)
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-2:
100 5.125%, 6/01/24 6/17 at 100.00 BBB 92,380
1,050 5.875%, 6/01/30 6/17 at 100.00 BBB 889,130
1,055 5.750%, 6/01/34 6/17 at 100.00 BBB 830,085
2,355 5.875%, 6/01/47 6/17 at 100.00 BBB 1,767,710
4,000 Ohio, Solid Waste Revenue Bonds, Republic Services Inc., No Opt. Call BBB 4,009,920
Series 2004, 4.250%, 4/01/33 (Mandatory put 4/01/14)
(Alternative Minimum Tax)
250 Port of Greater Cincinnati Development Authority, Ohio, 10/16 at 100.00 N/R 235,743
Economic Development Revenue Bonds, Sisters of Mercy of
the Americas, Series 2006, 5.000%, 10/01/25
-----------------------------------------------------------------------------------------------------------------------------------
8,810 Total Ohio 7,824,968
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.1% (0.7% OF TOTAL INVESTMENTS)
450 Norman Regional Hospital Authority, Oklahoma, Hospital 9/16 at 100.00 BB+ 373,289
Revenue Bonds, Series 2005, 5.375%, 9/01/36
2,725 Tulsa County Industrial Authority, Oklahoma, Health Care 12/16 at 100.00 AA 2,729,415
Revenue Bonds, Saint Francis Health System, Series 2006,
5.000%, 12/15/36 (UB)
44 Tulsa County Industrial Authority, Oklahoma, Health Care 12/16 at 100.00 AA 44,058
Revenue Bonds, Saint Francis Health System, Series 2008,
Trust 3500, 8.380%, 12/15/36 (IF)
-----------------------------------------------------------------------------------------------------------------------------------
3,219 Total Oklahoma 3,146,762
-----------------------------------------------------------------------------------------------------------------------------------
OREGON - 1.2% (0.7% OF TOTAL INVESTMENTS)
Oregon, General Obligation Bonds, State Board of Higher
Education, Series 2004A:
1,795 5.000%, 8/01/21 8/14 at 100.00 Aa1 1,977,354
1,240 5.000%, 8/01/23 8/14 at 100.00 Aa1 1,319,038
-----------------------------------------------------------------------------------------------------------------------------------
3,035 Total Oregon 3,296,392
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.9% (1.2% OF TOTAL INVESTMENTS)
2,000 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/15 at 100.00 A 2,046,060
Revenue Bonds, Series 2005A, 5.000%, 12/01/23 - NPFG
Insured
4,500 Pennsylvania Turnpike Commission, Turnpike Subordinate 6/26 at 100.00 AAA 3,387,285
Revenue Bonds, Series 2009C, 0.000%, 6/01/33 - AGM Insured
-----------------------------------------------------------------------------------------------------------------------------------
6,500 Total Pennsylvania 5,433,345
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.9% (0.5% OF TOTAL INVESTMENTS)
3,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/26 at 100.00 A+ 2,410,350
Revenue Bonds, First Subordinate Series 2009A, 0.000%,
8/01/32
-----------------------------------------------------------------------------------------------------------------------------------
54 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 2.1% (1.3% OF TOTAL INVESTMENTS)
$ 5,890 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB $ 5,949,253
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.000%, 6/01/23
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 8.0% (5.0% OF TOTAL INVESTMENTS)
2,500 Berkeley County School District, South Carolina, Installment 12/13 at 100.00 A1 2,570,525
Purchase Revenue Bonds, Securing Assets for Education,
Series 2003, 5.250%, 12/01/24
4,405 Dorchester County School District 2, South Carolina, 12/14 at 100.00 AA- 4,615,030
Installment Purchase Revenue Bonds, GROWTH, Series 2004,
5.250%, 12/01/23
3,340 Greenville County School District, South Carolina, 12/13 at 100.00 AA 3,620,593
Installment Purchase Revenue Bonds, Series 2003, 5.250%,
12/01/19 (UB)
3,620 Greenville, South Carolina, Hospital Facilities Revenue 5/13 at 100.00 AA- 3,721,034
Refunding Bonds, Series 2003A, 5.250% , 5/01/21 - AMBAC
Insured
310 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A3 (4) 345,228
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30 (Pre-refunded 11/15/12)
1,190 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 1,191,214
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002B, 5.625%, 11/15/30
South Carolina JOBS Economic Development Authority, Hospital
Refunding and Improvement Revenue Bonds, Palmetto Health
Alliance, Series 2003C:
4,895 6.375%, 8/01/34 (Pre-refunded 8/01/13) 8/13 at 100.00 BBB+ (4) 5,664,543
605 6.375%, 8/01/34 (Pre-refunded 8/01/13) 8/13 at 100.00 BBB+ (4) 702,635
455 Tobacco Settlement Revenue Management Authority, South 5/12 at 100.00 BBB (4) 470,220
Carolina, Tobacco Settlement Asset-Backed Bonds, Series
2001B, 6.000%, 5/15/22 (Pre-refunded 5/15/12)
-----------------------------------------------------------------------------------------------------------------------------------
21,320 Total South Carolina 22,901,022
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,750 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 AA- 1,784,178
Revenue Bonds, Sioux Valley Hospitals, Series 2004A,
5.500%, 11/01/31
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.4% (0.9% OF TOTAL INVESTMENTS)
2,060 Johnson City Health and Educational Facilities Board, 7/23 at 100.00 A (4) 2,077,737
Tennessee, Hospital Revenue Refunding and Improvement
Bonds, Johnson City Medical Center, Series 1998C, 5.125%,
7/01/25 (Pre-refunded 7/01/23) - NPFG Insured
1,600 Johnson City Health and Educational Facilities Board, 7/16 at 100.00 BBB+ 1,533,568
Tennessee, Revenue Bonds, Mountain States Health Alliance,
Series 2006A, 5.500%, 7/01/36
400 Sumner County Health, Educational, and Housing Facilities 11/17 at 100.00 N/R 259,760
Board, Tennessee, Revenue Refunding Bonds, Sumner Regional
Health System Inc., Series 2007, 5.500%, 11/01/37 (6)
-----------------------------------------------------------------------------------------------------------------------------------
4,060 Total Tennessee 3,871,065
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 7.1% (4.4% OF TOTAL INVESTMENTS)
1,075 Brazos River Authority, Texas, Pollution Control Revenue 10/13 at 101.00 CCC 594,647
Bonds, TXU Energy Company LLC Project, Series 2003C,
6.750%, 10/01/38 (Alternative Minimum Tax)
3,000 Houston, Texas, First Lien Combined Utility System Revenue 5/14 at 100.00 AA 3,206,730
Bonds, Series 2004A, 5.250%, 5/15/25 - NPFG Insured
Kerrville Health Facilities Development Corporation, Texas,
Revenue Bonds, Sid Peterson Memorial Hospital Project, Series
2005:
400 5.250%, 8/15/21 No Opt. Call BBB- 390,980
600 5.125%, 8/15/26 No Opt. Call BBB- 550,986
2,265 Lower Colorado River Authority, Texas, Contract Revenue 5/13 at 100.00 A 2,335,917
Refunding Bonds, Transmission Services Corporation, Series
2003C, 5.250%, 5/15/25 - AMBAC Insured
290 Mansfield Independent School District, Tarrant County, Texas, 2/11 at 100.00 AAA 298,509
General Obligation Bonds, Series 2001, 5.375%, 2/15/26
1,710 Mansfield Independent School District, Tarrant County, Texas, 2/11 at 100.00 AAA 1,778,417
General Obligation Bonds, Series 2001, 5.375%, 2/15/26
(Pre-refunded 2/15/11)
950 North Texas Thruway Authority, Second Tier System Revenue 1/18 at 100.00 A3 997,320
Refunding Bonds, Series 2008, 5.750%, 1/01/38
1,000 Sabine River Authority, Texas, Pollution Control Revenue 11/15 at 100.00 CCC 468,300
Bonds, TXU Electric Company, Series 2001C, 5.200%, 5/01/28
Nuveen Investments 55
NPF | Nuveen Premier Municipal Income Fund, Inc. (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 3,000 Tarrant County Cultural & Educational Facilities Financing 2/17 at 100.00 AA- $ 3,020,370
Corporation, Texas, Revenue Bonds, Texas Health Resources,
Series 2007A, 5.000%, 2/15/36 (UB)
185 Tarrant County Cultural & Educational Facilities Finance 2/17 at 100.00 AA- 188,395
Corporation, Texas, Revenue Bonds, Texas Health Resources
Project, Trust 1031, 12.134%, 2/15/36 (IF)
Texas Tech University, Financing System Revenue Bonds, 9th
Series 2003:
3,525 5.250%, 2/15/18 - AMBAC Insured 8/13 at 100.00 AA 3,903,197
2,250 5.250%, 2/15/19 - AMBAC Insured 8/13 at 100.00 AA 2,486,070
-----------------------------------------------------------------------------------------------------------------------------------
20,250 Total Texas 20,219,838
-----------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.1% (0.1% OF TOTAL INVESTMENTS)
320 Utah Housing Corporation, Single Family Mortgage Bonds, 7/11 at 100.00 Aaa 323,693
Series 2001D, 5.500%, 1/01/21 (Alternative Minimum Tax)
25 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/10 at 100.00 Aaa 25,047
Series 1996C, 6.450%, 7/01/14 (Alternative Minimum Tax)
20 Utah Housing Finance Agency, Single Family Mortgage Bonds, 7/10 at 100.00 Aaa 20,028
Series 1997F, 5.750%, 7/01/15 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
365 Total Utah 368,768
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 5.8% (3.6% OF TOTAL INVESTMENTS)
2,000 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 Aaa 2,184,320
Bonds, Columbia Generating Station - Nuclear Project 2,
Series 2002C, 5.750%, 7/01/17 - NPFG Insured
7,000 Energy Northwest, Washington, Electric Revenue Refunding 7/13 at 100.00 Aaa 7,806,890
Bonds, Nuclear Project 1, Series 2003A, 5.500%, 7/01/16
(UB)
3,160 King County Public Hospital District 2, Washington, Limited 6/11 at 101.00 AA- 3,224,211
Tax General Obligation Bonds, Evergreen Hospital Medical
Center, Series 2001A, 5.250%, 12/01/24 - AMBAC Insured
1,000 Skagit County Public Hospital District 1, Washington, Revenue No Opt. Call Baa2 1,030,419
Bonds, Skagit Valley Hospital, Series 2003, 6.000%,
12/01/23
2,200 Washington, General Obligation Refunding Bonds, Series 1992A No Opt. Call AA+ 2,275,305
and 1992AT-6, 6.250%, 2/01/11
-----------------------------------------------------------------------------------------------------------------------------------
15,360 Total Washington 16,521,145
-----------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.6% (1.0% OF TOTAL INVESTMENTS)
2,000 West Virginia Water Development Authority, Infrastructure 10/13 at 101.00 AAA 2,309,019
Revenue Bonds, Series 2003A, 5.500%, 10/01/23
(Pre-refunded 10/01/13) - AMBAC Insured
2,150 West Virginia Water Development Authority, Loan Program II 11/13 at 101.00 A- 2,258,123
Revenue Bonds, Series 2003B, 5.250%, 11/01/23 - AMBAC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
4,150 Total West Virginia 4,567,142
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 6.0% (3.7% OF TOTAL INVESTMENTS)
5,670 Wisconsin Health and Educational Facilities Authority, 7/11 at 100.00 A- 5,685,251
Revenue Bonds, Agnesian Healthcare Inc., Series 2001,
6.000%, 7/01/30
160 Wisconsin Health and Educational Facilities Authority, 5/16 at 100.00 BBB 133,916
Revenue Bonds, Divine Savior Healthcare, Series 2006,
5.000%, 5/01/32
1,000 Wisconsin Health and Educational Facilities Authority, 5/14 at 100.00 BBB+ 1,010,199
Revenue Bonds, Fort Healthcare Inc., Series 2004, 5.375%,
5/01/18
205 Wisconsin Health and Educational Facilities Authority, 10/11 at 101.00 AA- 208,541
Revenue Bonds, Froedtert and Community Health Obligated
Group, Series 2001, 5.375%, 10/01/30
2,145 Wisconsin Health and Educational Facilities Authority, 10/11 at 101.00 AA- (4) 2,304,265
Revenue Bonds, Froedtert and Community Health Obligated
Group, Series 2001, 5.375%, 10/01/30 (Pre-refunded
10/01/11)
5,000 Wisconsin Health and Educational Facilities Authority, 8/10 at 101.00 BBB+ 5,045,499
Revenue Bonds, Marshfield Clinic, Series 1999, 6.250%,
2/15/18 - RAAI Insured
2,500 Wisconsin State, General Obligation Bonds, Series 2006A, 5/16 at 100.00 AA 2,622,974
4.750%, 5/01/25 - FGIC Insured (UB)
-----------------------------------------------------------------------------------------------------------------------------------
16,680 Total Wisconsin 17,010,645
-----------------------------------------------------------------------------------------------------------------------------------
56 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WYOMING - 0.5% (0.3% OF TOTAL INVESTMENTS)
$ 1,350 Sweetwater County, Wyoming, Solid Waste Disposal Revenue 12/15 at 100.00 BBB+ $ 1,307,164
Bonds, FMC Corporation, Series 2005, 5.600%, 12/01/35
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
$ 498,075 Total Investments (cost $436,545,765) - 160.0% 455,513,205
===============--------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (21.2)% (60,373,400)
-----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 5.7% 16,490,830
-----------------------------------------------------------------------------------------------------------------
Auction Rate Preferred Shares, at Liquidation Value -
(44.5)% (5) (126,850,000)
-----------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 284,780,635
=================================================================================================================
(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.
(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) Auction Rate Preferred Shares, at Liquidation Value as a percentage of
Total Investments is 27.8%.
(6) For fair value measurement disclosure purposes, investment categorized as
Level 3. See Notes to Financial Statements, Footnote 2 - Fair Value
Measurements for more information.
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. See Notes to Financial Statements, Footnote 1 - Inverse
Floating Rate Securities for more information.
See accompanying notes to financial statements.
Nuveen Investments 57
NMZ | Nuveen Municipal High Income Opportunity Fund
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NATIONAL - 1.7% (1.3% OF TOTAL INVESTMENTS)
$ 5,000 Charter Mac Equity Issuer Trust, Preferred Shares, Series 4/19 at 100.00 Aaa $ 5,230,950
2004A-4, 6.000%, 12/31/45 (Mandatory put 4/30/19)
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.0% (0.8% OF TOTAL INVESTMENTS)
1,975 Bessemer, Alabama, General Obligation Warrants, Series 2007, 2/17 at 102.00 N/R 1,421,901
6.500%, 2/01/37
2,000 Birmingham Special Care Facilities Financing Authority, 11/15 at 100.00 Baa2 1,761,280
Alabama, Revenue Bonds, Baptist Health System Inc.,
Series 2005A, 5.000%, 11/15/30
-----------------------------------------------------------------------------------------------------------------------------------
3,975 Total Alabama 3,183,181
-----------------------------------------------------------------------------------------------------------------------------------
ALASKA - 0.2% (0.1% OF TOTAL INVESTMENTS)
450 Alaska Municipal Bond Bank Authority, Revenue Bonds, Series 9/18 at 100.00 Aa3 479,043
2009, 5.625%, 9/01/29
-----------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 6.8% (5.1% OF TOTAL INVESTMENTS)
427 Estrella Mountain Ranch Community Facilities District, 7/10 at 102.00 N/R 436,146
Goodyear, Arizona, Special Assessment Lien Bonds, Series
2001A, 7.875%, 7/01/25
2,000 Maricopa County Industrial Development Authority, Arizona, 5/10 at 100.00 N/R 1,951,240
Multifamily Housing Revenue Bonds, Privado Park
Apartments Project, Series 2006A, 5.250%, 11/01/41
(Mandatory put 11/01/11) (Alternative Minimum Tax)
6,720 Maricopa County Industrial Development Authority, Arizona, 1/11 at 103.00 CC 5,386,013
Senior Living Facility Revenue Bonds, Christian Care Mesa
II Inc., Series 2004A, 6.625%, 1/01/34 (Alternative
Minimum Tax)
Phoenix Industrial Development Authority, Arizona,
Educational Revenue Bonds, Keystone Montessori School,
Series 2004A:
195 6.375%, 11/01/13 11/11 at 103.00 N/R 198,015
790 7.250%, 11/01/23 11/11 at 103.00 N/R 790,198
1,715 7.500%, 11/01/33 11/11 at 103.00 N/R 1,716,732
550 Pima County Industrial Development Authority, Arizona, 12/14 at 100.00 BBB- 516,461
Charter School Revenue Bonds, Noah Webster Basic Schools
Inc., Series 2004, 6.125%, 12/15/34
500 Pima County Industrial Development Authority, Arizona, No Opt. Call AAA 598,655
Charter School Revenue Bonds, Pointe Educational Services
Charter School, Series 2004, 6.250%, 7/01/14 (ETM)
1,150 Pinal County Industrial Development Authority, Arizona, 10/12 at 100.00 BBB- 1,068,511
Correctional Facilities Contract Revenue Bonds, Florence
West Prison LLC, Series 2002A, 5.250%, 10/01/22 - ACA
Insured
Salt Verde Financial Corporation, Arizona, Senior Gas
Revenue Bonds, Citigroup Energy Inc Prepay Contract
Obligations, Series 2007:
1,000 5.500%, 12/01/29 No Opt. Call A 985,800
5,000 5.000%, 12/01/37 No Opt. Call A 4,458,800
Surprise Municipal Property Corporation, Arizona, Wastewater
System Revenue Bonds, Series 2007:
1,000 4.700%, 4/01/22 4/14 at 100.00 N/R 904,640
1,000 4.900%, 4/01/32 4/17 at 100.00 N/R 840,420
1,000 Tucson Industrial Development Authority, Arizona, Charter 9/14 at 100.00 BBB- 955,100
School Revenue Bonds, Arizona Agribusiness and Equine
Center Charter School, Series 2004A, 5.850%, 9/01/24
-----------------------------------------------------------------------------------------------------------------------------------
23,047 Total Arizona 20,806,731
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 10.3% (7.8% OF TOTAL INVESTMENTS)
1,810 California County Tobacco Securitization Agency, Tobacco 6/15 at 100.00 BBB 1,441,683
Settlement Asset-Backed Bonds, Sonoma County Tobacco
Securitization Corporation, Series 2005, 5.125%, 6/01/38
685 California Health Facilities Financing Authority, Hospital 5/10 at 100.00 N/R 452,675
Revenue Bonds, Downey Community Hospital, Series 1993,
5.750%, 5/15/15 (8)
3,000 California Health Facilities Financing Authority, Revenue 8/18 at 100.00 Aa3 2,662,260
Bonds, Sutter Health, Tender Option Bond Trust 3103,
14.590%, 8/15/38 (IF)
500 California Municipal Financing Authority, Certificates of 2/17 at 100.00 Baa2 470,735
Participation, Community Hospitals of Central California,
Series 2007, 5.250%, 2/01/27
4,000 California Statewide Communities Development Authority, No Opt. Call BB 2,504,080
Revenue Bonds, EnerTech Regional Biosolids Project,
Series 2007A, 5.500%, 12/01/33 (Alternative Minimum Tax)
2,925 California Statewide Community Development Authority, 3/14 at 102.00 N/R 2,946,265
Revenue Bonds, Epidaurus Project, Series 2004A, 7.750%,
3/01/34
58 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 2,185 California Statewide Community Development Authority, Revenue 5/18 at 100.00 Aa3 $ 1,876,085
Bonds, Sutter Health, Tender Option Bond Trust 3048,
12.454%, 11/15/38 (IF)
California Statewide Community Development Authority, Revenue
Bonds, Sutter Health, Tender Option Bond Trust 3102:
745 17.357%, 11/15/38 (IF) 5/18 at 100.00 Aa3 619,117
1,000 18.449%, 11/15/48 (IF) 5/18 at 100.00 Aa3 795,500
1,005 California Statewide Community Development Authority, 1/14 at 100.00 N/R 949,424
Subordinate Lien Multifamily Housing Revenue Bonds, Corona
Park Apartments, Series 2004I-S, 7.750%, 1/01/34
(Alternative Minimum Tax)
1,000 Goden State Tobacco Securitization Corporation, California, 6/15 at 100.00 AA+ 828,040
Enhanced Tobacco Settlement Asset-Backed Revenue Bonds,
Tender Option Bonds Trust 3107, 17.273%, 6/01/45 - AMBAC
Insured (IF)
500 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 385,415
Tobacco Settlement Asset-Backed Bonds, Series 2007A-1,
5.750%, 6/01/47
1,015 Independent Cities Lease Finance Authority, California, 5/14 at 100.00 N/R 940,814
Subordinate Lien Revenue Bonds, El Granada Mobile Home
Park, Series 2004B, 6.500%, 5/15/44
1,200 Lake Elsinore, California, Special Tax Bonds, Community 9/13 at 102.00 N/R 1,119,744
Facilities District 2003-2 Improvement Area A, Canyon
Hills, Series 2004A, 5.950%, 9/01/34
335 Lancaster Redevelopment Agency, California, Combined Project 8/19 at 100.00 A 373,679
Areas Housing Programs, Tax Allocation Bonds, Series 2009,
6.875%, 8/01/39
3,400 Lee Lake Water District, Riverside County, California, 9/13 at 102.00 N/R 2,814,044
Special Tax Bonds, Community Facilities District 3, Series
2004, 5.950%, 9/01/34
1,125 Los Angeles Department of Airports, California, Revenue 5/20 at 100.00 AA 1,224,765
Bonds, Los Angeles International Airport, Tender Option
Bond Trust 10-27B, 17.746%, 5/15/40 (IF)
2,950 Los Angeles Regional Airports Improvement Corporation, 12/12 at 102.00 B- 2,973,836
California, Sublease Revenue Bonds, Los Angeles
International Airport, American Airlines Inc. Terminal 4
Project, Series 2002C, 7.500%, 12/01/24 (Alternative
Minimum Tax)
800 Moreno Valley Unified School District, Riverside County, 9/14 at 100.00 N/R 708,432
California, Special Tax Bonds, Community Facilities
District, Series 2004, 5.550%, 9/01/29
1,000 M-S-R Energy Authority, Gas Revenue Bonds, California, No Opt. Call A 1,110,530
Citigroup Prepay Contracts, Series 2009B, 6.500%, 11/01/39
1,250 San Diego County, California, Certificates of Participation, 9/12 at 100.00 Baa1 1,085,875
San Diego-Imperial Counties Developmental Services
Foundation Project, Series 2002, 5.500%, 9/01/27
3,895 West Patterson Financing Authority, California, Special Tax 9/13 at 103.00 N/R 3,072,999
Bonds, Community Facilities District 2001-1, Series 2004A,
6.125%, 9/01/39
-----------------------------------------------------------------------------------------------------------------------------------
36,325 Total California 31,355,997
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 7.0% (5.3% OF TOTAL INVESTMENTS)
915 Bradburn Metropolitan District 3, Colorado, General 12/13 at 101.00 N/R 808,924
Obligation Bonds, Series 2003, 7.500%, 12/01/33
1,015 Bradburn Metropolitan District 3, Westminster, Adams County, 12/13 at 101.00 N/R 1,015,000
Colorado, General Obligation Limited Tax Refunding Bonds,
Series 2010, 7.500%, 12/01/39
6 Buffalo Ridge Metropolitan District, Colorado, Limited 12/13 at 101.00 N/R 5,908
Obligation Assessment Bonds, Series 2003, 7.500%, 12/01/33
400 Colorado Educational and Cultural Facilities Authority, 12/10 at 101.00 N/R (4) 418,340
Charter School Revenue Bonds, Academy Charter School -
Douglas County School District Re. 1, Series 2000, 6.875%,
12/15/20 (Pre-refunded 12/15/10)
650 Colorado Educational and Cultural Facilities Authority, 9/11 at 100.00 Ba1 (4) 708,065
Charter School Revenue Bonds, Bromley East Charter School,
Series 2000A, 7.250%, 9/15/30 (Pre-refunded 9/15/11)
3,500 Colorado Educational and Cultural Facilities Authority, 5/14 at 101.00 N/R 2,834,720
Charter School Revenue Bonds, Cesar Chavez Academy, Series
2003, 8.000%, 5/01/34
435 Colorado Educational and Cultural Facilities Authority, 12/11 at 100.00 AAA 480,627
Charter School Revenue Bonds, Excel Academy Charter
School, Series 2003, 7.300%, 12/01/23 (Pre-refunded
12/01/11)
1,000 Colorado Educational and Cultural Facilities Authority, 2/16 at 101.00 N/R 809,480
Charter School Revenue Bonds, Jefferson County School
District R-1 - Compass Montessori Secondary School, Series
2006, 5.625%, 2/15/36
Nuveen Investments 59
NMZ | Nuveen Municipal High Income Opportunity Fund (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
Colorado Health Facilities Authority, Colorado, Revenue
Bonds, Catholic Health Initiatives, Series 2006A, Trust 1088:
$ 345 13.107%, 9/01/41 (IF) 9/16 at 100.00 AA $ 349,399
1,335 13.734%, 9/01/41 (IF) 9/16 at 100.00 AA 1,352,021
1,200 Colorado Health Facilities Authority, Colorado, Revenue 4/18 at 100.00 AAA 1,236,564
Bonds, Catholic Health Initiatives, Series 2006C-1, Trust
1090, 14.945%, 10/01/41 - AGM Insured (IF)
3,145 Kit Carson County Health Service District, Colorado, Health No Opt. Call N/R 2,937,682
Care Facility Revenue Bonds, Series 2007, 6.750%, 1/01/34
1,250 Mesa County, Colorado, Residential Care Facilities Mortgage 12/11 at 101.00 N/R 1,168,488
Revenue Bonds, Hilltop Community Resources Inc. Obligated
Group, Series 2001A, 5.250%, 12/01/21 - RAAI Insured
1,000 Mountain Shadows Metropolitan District, Colorado, General 12/16 at 100.00 N/R 720,020
Obligation Limited Tax Bonds, Series 2007, 5.500%,
12/01/27
1,990 Park Creek Metropolitan District, Colorado, Limited Tax 12/13 at 100.00 N/R 2,057,839
Obligation Revenue Bonds, Series 2003CR-2, 7.875%,
12/01/32 (Mandatory put 12/01/13)
3,565 Public Authority for Colorado Energy, Natural Gas Purchase No Opt. Call A 3,921,643
Revenue Bonds, Colorado Springs Utilities, Series 2008,
6.500%, 11/15/38
500 Tallyn's Reach Metropolitan District 3, Aurora, Colorado, 12/13 at 100.00 N/R 505,330
Limited Tax General Obligation Bonds, Series 2004, 6.750%,
12/01/33
-----------------------------------------------------------------------------------------------------------------------------------
22,251 Total Colorado 21,330,050
-----------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.3% (0.3% OF TOTAL INVESTMENTS)
1,000 Harbor Point Infrastructure Improvement District, 4/20 at 100.00 N/R 1,051,740
Connecticut, Special Obligation Revenue Bonds, Harbor
Point Project, Series 2010A, 7.875%, 4/01/39
-----------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.1% (0.1% OF TOTAL INVESTMENTS)
225 District of Columbia Tobacco Settlement Corporation, Tobacco No Opt. Call BBB 221,821
Settlement Asset-Backed Bonds, Series 2001, 6.500%,
5/15/33
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 12.3% (9.2% OF TOTAL INVESTMENTS)
1,450 Aberdeen Community Development District, Florida, Special 5/14 at 100.00 N/R 814,146
Assessment Bonds, Series 2005, 5.500%, 5/01/36
7,335 Beacon Lakes Community Development District, Florida, Special 5/13 at 101.00 N/R 7,257,469
Assessment Bonds, Series 2003A, 6.900%, 5/01/35
700 Broward County, Florida, Airport Facility Revenue Bonds, 11/14 at 101.00 Ba2 744,100
Learjet Inc., Series 2000, 7.500%, 11/01/20 (Alternative
Minimum Tax)
100 Century Gardens Community Development District, Miami-Dade 5/14 at 101.00 N/R 96,158
County, Florida, Special Assessment Revenue Bonds, Series
2004, 5.900%, 5/01/34
8,205 Harmony Community Development District, Florida, Special 5/14 at 103.25 N/R 8,279,173
Assessment Bonds, Series 2001, 7.250%, 5/01/32
400 Islands at Doral Northeast Community Development District, 5/14 at 101.00 N/R 393,548
Miami-Dade County, Florida, Special Assessment Bonds,
Series 2004, 6.125%, 5/01/24
3,000 Jacksonville, Florida, Economic Development Commission Health 9/17 at 100.00 N/R 3,004,050
Care Facilities Revenue Bonds, The Florida Proton Therapy
Institute Project, Series 2007, 6.250%, 9/01/27
2,000 Martin County Industrial Development Authority, Florida, 6/10 at 100.00 BB+ 1,999,720
Industrial Development Revenue Bonds, Indiantown
Cogeneration LP, Series 1994A, 7.875%, 12/15/25
(Alternative Minimum Tax)
1,600 Miami-Dade County, Florida, Aviation Revenue Bonds, Series 10/18 at 100.00 AAA 1,584,992
2008, Trust 1145, 11.612%, 10/01/38 - AGC Insured
(Alternative Minimum Tax) (IF)
1,250 Miami-Dade County, Florida, Water and Sewer System Revenue 10/20 at 100.00 AAA 1,388,900
Bonds, Tender Option Bond Trust 11834, 17.300%, 10/01/39 -
AGM Insured (IF)
955 Old Palm Community Development District, Florida, Special 5/15 at 101.00 N/R 837,879
Assessment Bonds, Palm Beach Gardens, Series 2004A,
5.900%, 5/01/35
3,675 Palm Beach County Housing Finance Authority, Florida, 7/12 at 100.00 N/R 3,139,883
Multifamily Housing Revenue Bonds, Lake Delray Apartments,
Series 1999A, 6.400%, 1/01/31 (Alternative Minimum Tax)
1,920 Pine Island Community Development District, Florida, Special 5/12 at 101.00 N/R 1,285,459
Assessment Bonds, Bella Collina, Series 2004, 5.750%,
5/01/35
60 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 1,000 Sarasota County Health Facility Authority, Florida, Revenue 7/17 at 100.00 N/R $ 791,150
Bonds, Sarasota-Manatee Jewish Housing Council, Inc.,
Series 2007, 5.750%, 7/01/45
955 Tolomato Community Development District, Florida, Special 5/14 at 101.00 N/R 706,824
Assessment Bonds, Series 2006, 5.400%, 5/01/37
1,715 Tolomato Community Development District, Florida, Special 5/18 at 100.00 N/R 1,373,989
Assessment Bonds, Series 2007, 6.650%, 5/01/40
Westchester Community Development District 1, Florida,
Special Assessment Bonds, Series 2003:
125 6.000%, 5/01/23 5/13 at 101.00 N/R 103,084
4,735 6.125%, 5/01/35 5/13 at 101.00 N/R 3,515,359
-----------------------------------------------------------------------------------------------------------------------------------
41,120 Total Florida 37,315,883
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 1.0% (0.7% OF TOTAL INVESTMENTS)
500 Effingham County Development Authority, Georgia, Solid Waste 7/10 at 100.00 BB- 487,545
Disposal Revenue Bonds, Ft. James Project, Series 1998,
5.625%, 7/01/18 (Alternative Minimum Tax)
1,000 Fulton County Residential Care Facilities Authority, Georgia, 7/17 at 100.00 N/R 658,030
Revenue Bonds, Elderly Care, Lenbrook Square Project,
Series 2006A, 5.125%, 7/01/37
1,865 Fulton County Residential Care Facilities Authority, Georgia, 12/13 at 102.00 N/R 1,892,639
Revenue Bonds, St. Anne's Terrace, Series 2003, 7.625%,
12/01/33
-----------------------------------------------------------------------------------------------------------------------------------
3,365 Total Georgia 3,038,214
-----------------------------------------------------------------------------------------------------------------------------------
GUAM - 0.5% (0.4% OF TOTAL INVESTMENTS)
1,445 Guam Government, General Obligation Bonds, 2009 Series A, No Opt. Call B+ 1,549,531
7.000%, 11/15/39
-----------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.8% (0.6% OF TOTAL INVESTMENTS)
980 Hawaii State Department of Budget and Finance, Private School 2/17 at 100.00 N/R 790,439
Revenue Bonds, Montessori of Maui, Series 2007, 5.500%,
1/01/37
1,655 Hawaii State Department of Budget and Finance, Special 7/19 at 100.00 Baa1 1,790,114
Purpose Revenue Bonds, Hawaiian Electric Company, Inc. and
Subsidiary Projects, Series 2009, 6.500%, 7/01/39
-----------------------------------------------------------------------------------------------------------------------------------
2,635 Total Hawaii 2,580,553
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 8.0% (6.0% OF TOTAL INVESTMENTS)
1,350 Chicago, Illinois, Certificates of Participation Tax 6/10 at 100.00 N/R 1,349,852
Increment Revenue Notes, Chicago/Kingsbury Redevelopment
Project, Series 2004A, 6.570%, 2/15/13
980 Chicago, Illinois, Certificates of Participation, Tax 7/11 at 100.00 N/R 981,098
Increment Allocation Revenue Bonds, Diversey-Narragansett
Project, Series 2006, 7.460%, 2/15/26
1,000 Illinois Finance Authority, Revenue Bonds, Midwest Regional 10/16 at 100.00 N/R 712,850
Medical Center Galena-Stauss Hospital, Series 2006,
6.750%, 10/01/46 (8)
1,000 Illinois Finance Authority, Revenue Bonds, Provena Health, 8/19 at 100.00 BBB+ 1,133,040
Series 2009A, 7.750%, 8/15/34
3,850 Illinois Finance Authority, Revenue Bonds, Silver Cross 8/19 at 100.00 BBB 4,108,297
Hospital and Medical Centers, Series 2009, 7.000%, 8/15/44
1,350 Illinois Health Facilities Authority, FHA-Insured Mortgage 8/13 at 100.00 AAA 1,351,917
Revenue Refunding Bonds, Sinai Health System, Series 2003,
5.150%, 2/15/37
1,000 Illinois Health Facilities Authority, Revenue Bonds, Condell 5/12 at 100.00 Aaa 1,092,760
Medical Center, Series 2002, 5.500%, 5/15/32 (Pre-refunded
5/15/12)
7,800 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/12 at 100.00 AA+ 7,945,548
Forest Hospital, Series 2002A, 5.750%, 7/01/29 (UB)
1,150 Lombard Public Facilities Corporation, Illinois, First Tier 1/16 at 100.00 N/R 934,444
Conference Center and Hotel Revenue Bonds, Series 2005A-1,
7.125%, 1/01/36
1,431 Lombard Public Facilities Corporation, Illinois, Third Tier 7/18 at 100.00 N/R 886,186
Conference Center and Hotel Revenue Bonds, Series 2005C-3,
4.000%, 1/01/36
1,988 Plano Special Service Area 1, Illinois, Special Tax Bonds, 3/14 at 102.00 N/R 1,883,809
Lakewood Springs Project, Series 2004A, 6.200%, 3/01/34
998 Volo Village, Illinois, Special Service Area 3 Special Tax 3/16 at 102.00 N/R 783,041
Bonds, Symphony Meadows Project 1, Series 2006, 6.000%,
3/01/36 (Mandatory put 2/29/16)
1,000 Yorkville United City Business District, Illinois, Storm 1/17 at 102.00 N/R 572,440
Water and Water Improvement Project Revenue Bonds, Series
2007, 6.000%, 1/01/26
Nuveen Investments 61
NMZ | Nuveen Municipal High Income Opportunity Fund (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 960 Yorkville, Illinois, Special Service Area 2005-108 3/16 at 102.00 N/R $ 728,016
Assessment Bonds, Autumn Creek Project, Series 2006,
6.000%, 3/01/36
-----------------------------------------------------------------------------------------------------------------------------------
25,857 Total Illinois 24,463,298
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 10.4% (7.8% OF TOTAL INVESTMENTS)
6,360 Carmel Redevelopment District, Indiana, Tax Increment 7/12 at 103.00 N/R 5,613,400
Revenue Bonds, Series 2004A, 6.650%, 1/15/24
22,770 Indiana Finance Authority, Water Facilities Refunding 10/16 at 100.00 Baa1 19,475,181
Revenue Bonds, Indiana-American Water Company Inc.
Project, Series 2006, 4.875%, 10/01/36 - AMBAC Insured
(Alternative Minimum Tax)
1,250 Indiana Health and Educational Facilities Financing 11/16 at 100.00 Aa1 1,303,338
Authority, Revenue Bonds, Ascension Health, Series 2009,
Trust 3301, 14.299%, 11/15/39 (IF)
2,500 Indiana Health Facility Financing Authority, Hospital 3/14 at 101.00 BBB 2,520,525
Revenue Bonds, Community Foundation of Northwest Indiana,
Series 2004A, 6.000%, 3/01/34
200 Jasper County, Indiana, Economic Development Revenue 10/10 at 101.00 Ba3 200,354
Refunding Bonds, Georgia Pacific Corporation Project,
Series 2000, 6.700%, 4/01/29 (Alternative Minimum Tax)
1,000 St. Joseph County, Indiana, Economic Development Revenue 7/15 at 103.00 N/R 977,750
Bonds, Chicago Trail Village Apartments, Series 2005A,
7.500%, 7/01/35
1,560 Whitley County, Indiana, Solid Waste and Sewerage Disposal 11/10 at 102.00 N/R 1,502,717
Revenue Bonds, Steel Dynamics Inc., Series 1998, 7.250%,
11/01/18 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
35,640 Total Indiana 31,593,265
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,000 Iowa Finance Authority, Health Facility Revenue Bonds, Care 7/16 at 100.00 BB+ 818,150
Initiatives Project, Series 2006A, 5.500%, 7/01/25
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 5.7% (4.3% OF TOTAL INVESTMENTS)
5,000 Louisiana Local Government Environmental Facilities & 11/17 at 100.00 BB 5,159,700
Community Development Authority, Revenue Bonds, Westlake
Chemical Corporation Project, Series 2007, 6.750%,
11/01/32
1,000 Louisiana Local Government Environmental Facilities and 9/16 at 100.00 N/R 502,240
Community Development Authority, Carter Plantation Hotel
Project Revenue Bonds, Series 2006A, 6.000%, 9/01/36 (5)
1,000 Louisiana Local Government Environmental Facilities and 6/16 at 101.00 N/R 892,050
Community Development Authority, Revenue Bonds, CDF
Healthcare of Louisiana LLC, Series 2006A, 7.000%,
6/01/36
3,000 Louisiana Local Government Environmental Facilities and 12/17 at 100.00 N/R 2,147,340
Community Development Authority, Revenue Bonds, Southgate
Suites Hotel LLC Project, Series 2007A, 6.750%, 12/15/37
Ouachita Parish Industrial Development Authority, Louisiana,
Solid Waste Disposal Revenue Bonds, White Oaks Project,
Series 2004A:
760 8.250%, 3/01/19 (Alternative Minimum Tax) 3/14 at 100.00 N/R 734,137
805 8.500%, 3/01/24 (Alternative Minimum Tax) 3/14 at 100.00 N/R 779,007
5,125 St. James Parish, Louisiana, Solid Waste Disposal Revenue 4/11 at 100.00 N/R 5,124,898
Bonds, Freeport McMoran Project, Series 1992, 7.700%,
10/01/22 (Alternative Minimum Tax)
2,000 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 1,939,040
Settlement Asset-Backed Bonds, Series 2001B, 5.875%,
5/15/39
-----------------------------------------------------------------------------------------------------------------------------------
18,690 Total Louisiana 17,278,412
-----------------------------------------------------------------------------------------------------------------------------------
MAINE - 1.0% (0.8% OF TOTAL INVESTMENTS)
3,155 Portland Housing Development Corporation, Maine, Section 8 2/14 at 102.00 Baa2 3,046,342
Assisted Senior Living Revenue Bonds, Avesta Housing
Development Corporation, Series 2004A, 6.000%, 2/01/34
-----------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.1% (0.9% OF TOTAL INVESTMENTS)
1,000 Baltimore, Maryland, Senior Lien Convention Center Hotel 9/16 at 100.00 Baa3 815,890
Revenue Bonds, Series 2006A, 5.250%, 9/01/39 - SYNCORA
GTY Insured
2,000 Maryland Energy Financing Administration, Revenue Bonds, AES 9/10 at 100.00 N/R 2,000,680
Warrior Run Project, Series 1995, 7.400%, 9/01/19
(Alternative Minimum Tax)
350 Maryland Health and Higher Educational Facilities Authority, 8/14 at 100.00 A2 355,443
Revenue Bonds, MedStar Health, Series 2004, 5.500%,
8/15/33
62 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MARYLAND (continued)
$ 435 Prince George's County, Maryland, Revenue Bonds, Dimensions 7/10 at 100.00 B3 $ 301,151
Health Corporation, Series 1994, 5.300%, 7/01/24 (8)
-----------------------------------------------------------------------------------------------------------------------------------
3,785 Total Maryland 3,473,164
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.5% (0.4% OF TOTAL INVESTMENTS)
465 Massachusetts Development Finance Agency, Pioneer Valley No Opt. Call N/R 422,099
Resource Recovery Revenue Bonds, Eco/Springfield LLC,
Series 2006, 5.875%, 7/01/14 (Alternative Minimum Tax)
1,350 Massachusetts Health and Educational Facilities Authority, 7/14 at 100.00 BB 1,013,148
Revenue Bonds, Northern Berkshire Community Services
Inc., Series 2004B, 6.375%, 7/01/34
-----------------------------------------------------------------------------------------------------------------------------------
1,815 Total Massachusetts 1,435,247
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.3% (3.2% OF TOTAL INVESTMENTS)
1,180 Countryside Charter School, Berrien County, Michigan, 10/10 at 100.00 N/R 1,064,773
Charter School Revenue Bonds, Series 1999, 7.000%,
4/01/29
835 Countryside Charter School, Berrien County, Michigan, 10/10 at 100.00 N/R 835,067
Charter School Revenue Bonds, Series 2000, 8.000%,
4/01/29
Detroit Local Development Finance Authority, Michigan, Tax
Increment Bonds, Series 1998A:
1,390 5.500%, 5/01/21 5/10 at 100.00 B- 840,561
15 5.500%, 5/01/21 - ACA Insured 5/10 at 100.00 B- 9,071
Garden City Hospital Finance Authority, Michigan, Revenue
Bonds, Garden City Hospital Obligated Group, Series 2007A:
1,000 4.875%, 8/15/27 8/17 at 100.00 N/R 730,060
1,000 5.000%, 8/15/38 8/17 at 100.00 N/R 668,880
1,000 Michigan Public Educational Facilities Authority, Limited 11/15 at 100.00 BBB 1,013,340
Obligation Revenue Bonds, Chandler Park Academy Project,
Series 2008, 6.500%, 11/01/35
1,000 Michigan Public Educational Facilities Authority, Limited 9/17 at 100.00 BBB- 775,660
Obligation Revenue Bonds, Richfield Public School
Academy, Series 2007, 5.000%, 9/01/36
3,580 Michigan State Hospital Finance Authority, Hospital Revenue 8/10 at 100.00 BB- 3,142,381
Refunding Bonds, Detroit Medical Center Obligated Group,
Series 1993B, 5.500%, 8/15/23
500 Michigan State Hospital Finance Authority, Revenue Bonds, 5/15 at 100.00 AAA 576,675
Chelsea Community Hospital, Series 2005, 5.000%, 5/15/30
(Pre-refunded 5/15/15)
1,500 Michigan State Hospital Finance Authority, Revenue Bonds, 11/15 at 102.00 N/R 1,367,460
Hills and Dales General Hospital, Series 2005A, 6.750%,
11/15/38
1,000 Royal Oak Hospital Finance Authority, Michigan, Hospital 9/18 at 100.00 A1 1,184,000
Revenue Bonds, William Beaumont Hospital, Refunding
Series 2009V, 8.250%, 9/01/39
1,000 Summit Academy North Charter School, Michigan, Charter 11/15 at 100.00 BB+ 780,110
School Revenue Bonds, Series 2005, 5.500%, 11/01/30
-----------------------------------------------------------------------------------------------------------------------------------
15,000 Total Michigan 12,988,038
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.6% (1.2% OF TOTAL INVESTMENTS)
Minneapolis, Minnesota, Student Housing Revenue Bonds,
Riverton Community Housing Project, Series 2000:
100 7.200%, 7/01/14 (Pre-refunded 7/01/10) 7/10 at 100.00 N/R (4) 101,109
100 7.300%, 7/01/15 (Pre-refunded 7/01/10) 7/10 at 100.00 N/R (4) 101,126
1,325 Ramsey, Anoka County, Minnesota, Charter School Lease 6/14 at 102.00 N/R 1,262,725
Revenue Bonds, PACT Charter School, Series 2004A, 6.750%,
12/01/33
1,335 St. Paul Housing and Redevelopment Authority, Minnesota, 6/14 at 102.00 N/R 1,338,671
Charter School Revenue Bonds, Higher Ground Academy
Charter School, Series 2004A, 6.625%, 12/01/23
1,100 St. Paul Housing and Redevelopment Authority, Minnesota, 6/14 at 102.00 N/R 1,048,300
Charter School Revenue Bonds, HOPE Community Academy
Charter School, Series 2004A, 6.750%, 12/01/33
1,000 St. Paul Port Authority, Minnesota, Lease Revenue Bonds, 5/15 at 100.00 N/R 945,540
HealthEast Midway Campus, Series2005B, 6.000%, 5/01/30
-----------------------------------------------------------------------------------------------------------------------------------
4,960 Total Minnesota 4,797,471
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 63
NMZ | Nuveen Municipal High Income Opportunity Fund (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.6% (0.4% OF TOTAL INVESTMENTS)
$ 912 Mississippi Home Corporation, Multifamily Housing Revenue 10/19 at 101.00 N/R $ 671,501
Bonds, Tupelo Personal Care Apartments, Series 2004-2,
6.125%, 9/01/34 (Alternative Minimum Tax)
1,000 Warren County, Mississippi, Gulf Opportunity Zone Revenue 9/18 at 100.00 BBB 1,041,630
Bonds, International Paper Company Project, Series 2008A,
6.500%, 9/01/32
-----------------------------------------------------------------------------------------------------------------------------------
1,912 Total Mississippi 1,713,131
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 2.8% (2.1% OF TOTAL INVESTMENTS)
2,000 Branson Regional Airport Transportation Development 7/17 at 100.00 N/R 1,108,100
District, Missouri, Project Revenue Bonds, Series 2007B,
6.000%, 7/01/37 (Alternative Minimum Tax)
1,000 Hanley Road Corridor Transportation Development District, 10/19 at 100.00 A- 1,027,970
Brentwood and Maplewood, Missouri, Transportation Sales
Revenue Bonds, Refunding Series 2009A, 5.875%, 10/01/36
5,935 Missouri Environmental Improvement and Energy Resources 12/16 at 100.00 AA+ 5,416,875
Authority, Water Facility Revenue Bonds, Missouri-American
Water Company, Series 2006, 4.600%, 12/01/36 - AMBAC
Insured (Alternative Minimum Tax) (UB)
1,300 Saint Louis Industrial Development Authority, Missouri, 12/10 at 102.00 Ca 417,144
Saint Louis Convention Center Headquarters Hotel Project,
Series 2000A, 7.250%, 12/15/35 (Alternative Minimum Tax)
(5)
795 Saint Louis, Missouri, Tax Increment Financing Revenue 12/10 at 100.00 N/R 595,240
Bonds, Grace Lofts Redevelopment Projects, Series 2007A,
6.000%, 3/27/26
-----------------------------------------------------------------------------------------------------------------------------------
11,030 Total Missouri 8,565,329
-----------------------------------------------------------------------------------------------------------------------------------
MONTANA - 2.1% (1.6% OF TOTAL INVESTMENTS)
5,200 Montana Board of Investments, Exempt Facility Revenue Bonds, 7/10 at 101.00 B 4,776,096
Stillwater Mining Company, Series 2000, 8.000%, 7/01/20
(Alternative Minimum Tax)
1,985 Montana Board of Investments, Resource Recovery Revenue No Opt. Call N/R 1,746,443
Bonds, Yellowstone Energy LP, Series 1993, 7.000%,
12/31/19 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
7,185 Total Montana 6,522,539
-----------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 3.3% (2.5% OF TOTAL INVESTMENTS)
6,485 Omaha Public Power District, Nebraska, Separate Electric 2/17 at 100.00 AA+ 10,111,671
System Revenue Bonds, Nebraska City 2, Series 2006A,
19.751%, 2/01/49 - AMBAC Insured (IF)
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 0.5% (0.4% OF TOTAL INVESTMENTS)
1,425 Clark County, Nevada, Local Improvement Bonds, Mountain's 8/16 at 100.00 N/R 1,354,591
Edge Special Improvement District 142, Series 2003,
6.375%, 8/01/23
4,500 Director of Nevada State Department of Business and 1/12 at 100.00 N/R 135,000
Industry, Revenue Bonds, Las Vegas Monorail Project,
Second Tier, Series 2000, 7.375%, 1/01/40 (5)
-----------------------------------------------------------------------------------------------------------------------------------
5,925 Total Nevada 1,489,591
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.6% (1.9% OF TOTAL INVESTMENTS)
1,500 New Jersey Economic Development Authority, Cigarette Tax 6/14 at 100.00 BBB 1,479,360
Revenue Bonds, Series 2004, 5.750%, 6/15/29
1,660 New Jersey Economic Development Authority, Special 9/10 at 100.50 B 1,567,438
Facilities Revenue Bonds, Continental Airlines Inc.,
Series 1999, 6.250%, 9/15/29 (Alternative Minimum Tax)
500 New Jersey Economic Development Authority, Special 11/10 at 101.00 B 500,385
Facilities Revenue Bonds, Continental Airlines Inc.,
Series 2000, 7.000%, 11/15/30 (Alternative Minimum Tax)
600 New Jersey Educational Facilities Authority, Revenue 6/19 at 100.00 Baa1 689,040
Refunding Bonds, University of Medicine and Dentistry of
New Jersey, Series 2009B, 7.500%, 12/01/32
1,000 New Jersey Higher Education Assistance Authority, Student 6/18 at 100.00 AAA 1,069,220
Loan Revenue Bonds, Series 2008A, 6.125%, 6/01/30 - AGC
Insured (Alternative Minimum Tax)
3,500 New Jersey Transportation Trust Fund Authority, No Opt. Call AA+ 1,450,680
Transportation System Bonds, Series 2006C, 0.000%,
12/15/27 - NPFG Insured
700 New Jersey Turnpike Authority, Revenue Bonds, Series 2009E, 1/19 at 100.00 A+ 734,734
5.250%, 1/01/40
500 Tobacco Settlement Financing Corporation, New Jersey, 6/17 at 100.00 BBB 347,515
Tobacco Settlement Asset-Backed Bonds, Series 2007-1A,
5.000%, 6/01/41
-----------------------------------------------------------------------------------------------------------------------------------
9,960 Total New Jersey 7,838,372
-----------------------------------------------------------------------------------------------------------------------------------
64 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 1.5% (1.1% OF TOTAL INVESTMENTS)
$ 1,000 Brooklyn Areba Local Development Corporation, New York, No Opt. Call BBB- $ 1,028,660
Payment in Lieu of Taxes Revenue Bonds, Barclays Center
Project, Series 2009, 6.375%, 7/15/43
1,000 Metropolitan Transportation Authority, New York, Dedicated 11/19 at 100.00 AA 1,050,300
Tax Fund Bonds, Series 2009B, 5.000%, 11/15/34
1,700 New York City Industrial Development Agency, New York, 8/10 at 100.00 CCC+ 1,475,753
Special Facilities Revenue Bonds, American Airlines Inc.,
Series 1994, 6.900%, 8/01/24 (Alternative Minimum Tax)
1,000 Seneca Nation of Indians Capital Improvements Authority, New No Opt. Call BB 944,770
York, Special Obligation Bonds, Series 2007A, 5.250%,
12/01/16
-----------------------------------------------------------------------------------------------------------------------------------
4,700 Total New York 4,499,483
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 2.6% (2.0% OF TOTAL INVESTMENTS)
1,260 Charlotte-Mecklenberg Hospital Authority, North Carolina, 1/18 at 100.00 AA- 1,286,183
Carolinas HealthCare System Revenue Bonds, Series 2008,
Trust 1149, 13.326%, 1/15/47 (IF)
5,500 North Carolina Capital Facilities Finance Agency, Solid 7/12 at 106.00 N/R 4,959,790
Waste Facilities Revenue Bonds, Liberty Tire Services of
North Carolina LLC, Series 2004A, 6.750%, 7/01/29
960 North Carolina Capital Facilities Financing Agency, Revenue 10/16 at 100.00 AA+ 1,660,819
Bonds, Duke University, Series 2008, Tender Option Bonds
Trust 3248, 26.619%, 10/01/44 (IF)
-----------------------------------------------------------------------------------------------------------------------------------
7,720 Total North Carolina 7,906,792
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 4.3% (3.3% OF TOTAL INVESTMENTS)
Buckeye Tobacco Settlement Financing Authority, Ohio,
Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien,
Series 2007A-2:
320 5.125%, 6/01/24 6/17 at 100.00 BBB 295,616
375 5.750%, 6/01/34 6/17 at 100.00 BBB 295,054
10,855 5.875%, 6/01/47 6/17 at 100.00 BBB 8,147,980
2,990 Cleveland-Cuyahoga County Port Authority, Ohio, Development 5/14 at 102.00 N/R 2,203,152
Revenue Bonds, Bond Fund Program - Garfield Heights
Project, Series 2004D, 5.250%, 5/15/23
1,000 Ohio, Environmental Facilities Revenue Bonds, Ford Motor 4/15 at 100.00 B3 900,050
Company, Series 2005, 5.750%, 4/01/35 (Alternative
Minimum Tax)
4,000 Western Reserve Port Authority, Ohio, Solid Waste Facility 7/17 at 102.00 N/R 1,408,360
Revenue Bonds, Central Waste Inc., Series 2007A, 6.350%,
7/01/27 (Alternative Minimum Tax) (8)
-----------------------------------------------------------------------------------------------------------------------------------
19,540 Total Ohio 13,250,212
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.1% (0.8% OF TOTAL INVESTMENTS)
955 Okeene Municipal Hospital and Schallmo Authority, Oklahoma, 1/16 at 101.00 N/R 843,446
Revenue Bonds, Series 2006, 7.000%, 1/01/35
2,500 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding No Opt. Call Caa2 2,532,300
Bonds, American Airlines Inc., Series 2004A, 7.750%,
6/01/35 (Mandatory put 12/01/14)
-----------------------------------------------------------------------------------------------------------------------------------
3,455 Total Oklahoma 3,375,746
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 3.0% (2.2% OF TOTAL INVESTMENTS)
800 Allegheny Country Industrial Development Authority, 11/19 at 100.00 BB 843,504
Allegheny County, Pennsylvania, Environmental Improvement
Revenue Bonds, United States Steel Corporation Project,
Refunding Series 2009, 6.875%, 5/01/30
420 Allentown Area Hospital Authority, Pennsylvania, Revenue No Opt. Call BB- 403,116
Bonds, Sacred Heart Hospital, Series 2005, 6.000%,
11/15/16
985 Berks County Industrial Development Authority, Pennsylvania, 11/17 at 101.00 N/R 817,028
First Mortgage Revenue Bonds, One Douglassville
Properties Project, Series 2007A, 6.125%, 11/01/34
(Alternative Minimum Tax)
2,000 Chester County Health and Education Facilities Authority, 10/15 at 102.00 N/R 1,790,300
Pennsylvania, Revenue Bonds, Immaculata University,
Series 2005, 5.750%, 10/15/37
400 Chester County Industrial Development Authority, 12/17 at 100.00 BB+ 368,900
Pennsylvania, Avon Grove Charter School Revenue Bonds,
Series 2007A, 6.375%, 12/15/37
750 New Morgan Industrial Development Authority, Pennsylvania, 10/10 at 100.00 BBB 749,895
Solid Waste Disposal Revenue Bonds, New Morgan Landfill
Company Inc., Series 1994, 6.500%, 4/01/19 (Alternative
Minimum Tax)
4,000 Pennsylvania Economic Development Financing Authority, 6/12 at 102.00 BBB+ 4,079,760
Revenue Bonds, Amtrak 30th Street Station Parking Garage,
Series 2002, 5.800%, 6/01/23 - ACA Insured (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
9,355 Total Pennsylvania 9,052,503
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 65
NMZ | Nuveen Municipal High Income Opportunity Fund (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 1.5% (1.1% OF TOTAL INVESTMENTS)
$ 3,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/26 at 100.00 A+ $ 2,410,350
Revenue Bonds, First Subordinate Series 2009A, 0.000%,
8/01/32
2,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 2/20 at 100.00 A+ 2,088,840
Revenue Bonds, First Subordinate Series 2010A, 5.500%,
8/01/42
-----------------------------------------------------------------------------------------------------------------------------------
5,000 Total Puerto Rico 4,499,190
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 1.9% (1.4% OF TOTAL INVESTMENTS)
1,000 Rhode Island Student Loan Authority, Student Loan Program 12/17 at 100.00 A 1,051,630
Revenue Bonds, Series 2008A, 6.750%, 12/01/28
(Alternative Minimum Tax)
4,835 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 4,641,213
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.250%, 6/01/42
-----------------------------------------------------------------------------------------------------------------------------------
5,835 Total Rhode Island 5,692,843
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 1.5% (1.2% OF TOTAL INVESTMENTS)
4,000 Lancaster County, South Carolina, Assessment Bonds, 11/17 at 100.00 N/R 3,513,440
Edgewater II Improvement District, Series 2007A, 7.750%,
11/01/39
1,185 Richland County, South Carolina, Environmental Improvement 4/13 at 101.00 BBB 1,201,791
Revenue Refunding Bonds, International Paper Company,
Series 2003A, 6.100%, 4/01/23 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
5,185 Total South Carolina 4,715,231
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 3.8% (2.9% OF TOTAL INVESTMENTS)
1,000 Sullivan County Health Educational and Housing Facilities 3/13 at 100.00 N/R 927,450
Board, Tennessee, Revenue Bonds, Wellmont Health System,
Refunding Series 200A, 5.440%, 9/01/32
2,000 Sullivan County Health Educational and Housing Facilities 9/16 at 100.00 BBB+ 1,933,860
Board, Tennessee, Revenue Bonds, Wellmont Health System,
Series 2006C, 5.250%, 9/01/26
Sumner County Health, Educational, and Housing Facilities
Board, Tennessee, Revenue Refunding Bonds, Sumner Regional
Health System Inc., Series 2007:
2,000 5.500%, 11/01/37 (8) 11/17 at 100.00 N/R 1,298,800
500 5.500%, 11/01/46 (8) 11/17 at 100.00 N/R 324,700
1,000 The Tennessee Energy Acquisition Corporation, Gas Revenue No Opt. Call BB+ 982,070
Bonds, Series 2006A, 5.250%, 9/01/23
5,601 The Tennessee Energy Acquisition Corporation, Gas Revenue No Opt. Call N/R 5,333,328
Bonds, Series 2006B, 5.625%, 9/01/26
980 Wilson County Health and Educational Facilities Board, 7/17 at 100.00 N/R 841,281
Tennessee, Senior Living Revenue Bonds, Rutland Place,
Series 2007A, 6.300%, 7/01/37
-----------------------------------------------------------------------------------------------------------------------------------
13,081 Total Tennessee 11,641,489
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 10.8% (8.1% OF TOTAL INVESTMENTS)
1,000 Alliance Airport Authority, Texas, Special Facilities 12/12 at 100.00 CCC+ 698,880
Revenue Bonds, American Airlines Inc., Series 2007,
5.250%, 12/01/29 (Alternative Minimum Tax)
2,000 Austin Convention Enterprises Inc., Texas, Convention Center 1/17 at 100.00 BB 1,710,660
Hotel Revenue Bonds, Second Tier Series 2006B, 5.750%,
1/01/34
1,845 Austin Convention Enterprises Inc., Texas, Convention Center 1/11 at 100.00 N/R 1,845,830
Hotel Revenue Bonds, Third Tier Series 2001C, 9.750%,
1/01/26
10 Brazos River Authority, Texas, Pollution Control Revenue No Opt. Call CCC 9,729
Refunding Bonds, TXU Electric Company, Series 2001C,
5.750%, 5/01/36 (Mandatory put 11/01/11) (Alternative
Minimum Tax)
700 Brazos River Authority, Texas, Pollution Control Revenue 7/18 at 100.00 CCC 436,065
Refunding Bonds, TXU Electric Company, Series 2001D,
8.250%, 5/01/33 (Alternative Minimum Tax)
1,000 Clifton Higher Education Finance Corporation, Texas, 12/20 at 100.00 BBB- 997,590
Education Revenue Bonds, Uplift Education Charter School,
Series 2010A, 6.000%, 12/01/30
2,000 Clifton Higher Education Finance Corporation, Texas, No Opt. Call BBB- 2,344,300
Education Revenue Bonds, Tejano Center for Community
Concerns, Inc.-Raul Yzaguirre School for Success,
Refunding Series 2009A, 9.000%, 2/15/38
1,750 Dallas-Ft. Worth International Airport Facility Improvement 11/12 at 100.00 CCC+ 1,277,028
Corporation, Texas, Revenue Bonds, American Airlines
Inc., Series 2007, 5.500%, 11/01/30 (Alternative Minimum
Tax)
Decatur Hospital Authority, Texas, Revenue Bonds, Wise
Regional Health System, Series 2004A:
1,840 7.000%, 9/01/25 9/14 at 100.00 N/R 1,845,189
6,600 7.125%, 9/01/34 9/14 at 100.00 N/R 6,622,902
66 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 585 Gulf Coast Industrial Development Authority, Texas, Solid 4/12 at 100.00 Ba1 $ 598,350
Waste Disposal Revenue Bonds, Citgo Petroleum Corporation
Project, Series 1998, 8.000%, 4/01/28 (Alternative
Minimum Tax)
1,000 Heart of Texas Education Finance Corporation, Texas, Gateway 8/16 at 100.00 N/R 851,850
Charter Academy, Series 2006A, 6.000%, 2/15/36
2,020 Houston, Texas, Airport System Special Facilities Revenue 7/11 at 100.00 B3 1,737,240
Bonds, Continental Air Lines Inc., Series 1998B, 5.700%,
7/15/29 (Alternative Minimum Tax)
Houston, Texas, Airport System Special Facilities Revenue
Bonds, Continental Air Lines Inc., Series 2001E:
600 7.375%, 7/01/22 (Alternative Minimum Tax) 7/11 at 101.00 B3 609,696
975 6.750%, 7/01/29 (Alternative Minimum Tax) 7/11 at 101.00 B3 980,909
1,000 La Vernia Education Financing Corporation, Texas, Charter 8/11 at 100.00 N/R 786,860
School Revenue Bonds, Riverwalk Education Foundation,
Series 2007A, 5.450%, 8/15/36
1,035 North Texas Tollway Authority, System Revenue Bonds, First 1/19 at 100.00 A2 1,146,521
Tier Series 2009A, 6.250%, 1/01/39
Richardson Hospital Authority, Texas, Revenue Bonds,
Richardson Regional Medical Center, Series 2004:
2,000 5.875%, 12/01/24 12/13 at 100.00 Baa2 1,951,160
1,000 6.000%, 12/01/34 12/13 at 100.00 Baa2 954,280
1,000 Sabine River Authority, Texas, Pollution Control Revenue 8/13 at 101.00 CCC 603,920
Refunding Bonds, TXU Energy Company LLC Project, Series
2003B, 6.150%, 8/01/22
2,960 Tarrant County Cultural & Educational Facilities Finance 2/17 at 100.00 AA- 3,014,316
Corporation, Texas, Revenue Bonds, Texas Health Resources
Project, Trust 1031, 12.134%, 2/15/36 (IF)
810 Texas Private Activity Bond Surface Transportation 12/19 at 100.00 Baa2 849,820
Corporation, Senior Lien Revenue Bonds, NTE Mobility
Partners LLC North Tarrant Express Managed Lanes Project,
Series 2009, 6.875%, 12/31/39
1,000 Texas Public Finance Authority, Charter School Finance 2/15 at 100.00 N/R 815,820
Corporation Revenue Bonds, Cosmos Foundation Inc., Series
2007A, 5.375%, 2/15/37
340 Trinity River Authority of Texas, Pollution Control Revenue 5/13 at 101.00 CCC 181,387
Refunding Bonds, TXU Electric Company, Series 2003,
6.250%, 5/01/28 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
35,070 Total Texas 32,870,302
-----------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 2.5% (1.9% OF TOTAL INVESTMENTS)
420 Virgin Islands Public Finance Authority, Matching Fund 10/19 at 100.00 BBB 457,783
Revenue Loan Note - Diageo Project, Series 2009A, 6.750%,
10/01/37
5,000 Virgin Islands Public Finance Authority, Revenue Bonds, 1/14 at 100.00 Baa3 5,045,950
Refinery Project - Hovensa LLC, Series 2003, 6.125%,
7/01/22 (Alternative Minimum Tax)
2,000 Virgin Islands Public Finance Authority, Senior Secured Lien 7/14 at 100.00 Baa3 2,012,640
Revenue Bonds, Refinery Project - Hovensa LLC, Series
2004, 5.875%, 7/01/22
-----------------------------------------------------------------------------------------------------------------------------------
7,420 Total Virgin Islands 7,516,373
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 1.3% (1.0% OF TOTAL INVESTMENTS)
1,000 Giles County Industrial Development Authority, Virginia, 5/10 at 100.00 B+ 970,910
Exempt Facility Revenue Bonds, Hoechst Celanese Project,
Series 1996, 6.450%, 5/01/26
1,940 Isle of Wight County Industrial Development Authority, 3/17 at 100.00 BBB 1,640,115
Virginia, Environmental Improvement Revenue Bonds,
International Paper Company Project, Series 2007A,
4.700%, 3/01/31 (Alternative Minimum Tax)
9,400 Metropolitan Washington Airports Authority, Virginia, Dulles No Opt. Call BBB+ 1,440,550
Toll Road Revenue Bonds, Capital Appreciation Series
2009B-2, 0.000%, 10/01/38 - AGC Insured
-----------------------------------------------------------------------------------------------------------------------------------
12,340 Total Virginia 4,051,575
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.2% (2.4% OF TOTAL INVESTMENTS)
Vancouver Downtown Redevelopment Authority, Washington,
Revenue Bonds, Conference Center Project, Series 2003A:
1,780 6.000%, 1/01/28 - ACA Insured 1/14 at 100.00 N/R 1,539,914
2,500 5.250%, 1/01/34 - ACA Insured 1/14 at 100.00 N/R 1,874,350
4,745 6.000%, 1/01/34 - ACA Insured 1/14 at 100.00 N/R 4,014,887
1,000 Washington State Economic Development Finance Authority, 12/17 at 100.00 N/R 716,700
Revenue Bonds, Coeur D'Alene Fiber Project, Series 2007G,
7.000%, 12/01/27 (Alternative Minimum Tax)
Nuveen Investments 67
NMZ | Nuveen Municipal High Income Opportunity Fund (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON (continued)
$ 2,000 Washington State Health Care Facilities Authority, Revenue No Opt. Call N/R $ 1,652,120
Bonds, Northwest Hospital and Medical Center of Seattle,
Series 2007, 5.700%, 12/01/32
-----------------------------------------------------------------------------------------------------------------------------------
12,025 Total Washington 9,797,971
-----------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.6% (0.5% OF TOTAL INVESTMENTS)
500 Ohio County Commission, West Virginia, Special District 3/16 at 100.00 BBB 419,375
Excise Tax Revenue Bonds, Fort Henry Economic
Development, Series 2006B, 5.625%, 3/01/36
500 Ohio County Commission, West Virginia, Tax Increment Revenue No Opt. Call N/R 452,815
Bonds, Fort Henry Centre Financing District, Series
2007A, 5.850%, 6/01/34
1,000 West Virginia Hospital Finance Authority , Hospital Revenue 9/14 at 100.00 A2 1,014,529
Bonds, Charleston Area Medical Center, Series 2009A,
5.500%, 9/01/28
-----------------------------------------------------------------------------------------------------------------------------------
2,000 Total West Virginia 1,886,719
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 6.3% (4.7% OF TOTAL INVESTMENTS)
550 Lac Courte Oreilles Band of Lake Superior Chippewa Indians, 12/14 at 101.00 N/R (4) 702,828
Wisconsin, Revenue Bonds, Series 2003A, 7.750%, 6/01/16
(Pre-refunded 12/01/14)
2,300 Wisconsin Health and Educational Facilities Authority, 7/10 at 100.00 A3 2,268,236
Revenue Bonds, Aurora Health Care Inc., Series 1999A,
5.600%, 2/15/29 - ACA Insured
2,500 Wisconsin Health and Educational Facilities Authority, 8/10 at 100.00 A 2,500,099
Revenue Bonds, Marshfield Clinic, Series 1997, 5.750%,
2/15/27 - NPFG Insured
1,000 Wisconsin Health and Educational Facilities Authority, 4/14 at 100.00 N/R 974,529
Revenue Bonds, Southwest Health Center Inc., Series
2004A, 6.250%, 4/01/34
1,000 Wisconsin Health and Educational Facilities Authority, 12/19 at 100.00 A1 1,025,469
Revenue Bonds, ThedaCare, Inc., Series 2009A, 5.500%,
12/15/38
Wisconsin Health and Educational Facilities Authority,
Revenue Bonds, Wheaton Franciscan Healthcare System, Series
2006:
7,995 5.250%, 8/15/26 8/16 at 100.00 BBB+ 7,573,503
4,500 5.250%, 8/15/34 8/16 at 100.00 BBB+ 4,108,364
-----------------------------------------------------------------------------------------------------------------------------------
19,845 Total Wisconsin 19,153,028
-----------------------------------------------------------------------------------------------------------------------------------
$ 455,808 Total Investments (cost $410,962,722) - 132.7% 404,187,171
===============--------------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (3.4)% (10,300,000)
-----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.9% 5,694,058
-----------------------------------------------------------------------------------------------------------------
Auction Rate Preferred Shares, at Liquidation Value - (95,000,000)
(31.2)% (6)
-----------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 304,581,229
=================================================================================================================
68 Nuveen Investments
Investments in Derivatives
FORWARD SWAPS OUTSTANDING AT APRIL 30, 2010:
FUND
PAY/RECEIVE FIXED RATE UNREALIZED
NOTIONAL FLOATING FLOATING RATE FIXED RATE PAYMENT EFFECTIVE TERMINATION APPRECIATION
COUNTERPARTY AMOUNT RATE INDEX (ANNUALIZED) FREQUENCY DATE (7) DATE (DEPRECIATION)
---------------------------------------------------------------------------------------------------------------------------------
Barclays Bank PLC $ 2,500,000 Receive 3-Month USD-LIBOR 4.720% Semi-Annually 5/25/11 5/25/40 $ (79,000)
Barclays Bank PLC 15,000,000 Receive 3-Month USD-LIBOR 4.675 Semi-Annually 7/23/10 7/23/39 (850,500)
JPMorgan 4,000,000 Receive 3-Month USD-LIBOR 4.783 Semi-Annually 5/05/11 5/05/40 $ (174,400)
---------------------------------------------------------------------------------------------------------------------------------
$ (1,103,900)
=================================================================================================================================
(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.
(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) The Fund's Adviser has concluded this issue is not likely to meet its
future interest payment obligations and has directed the Fund's custodian
to cease accruing additional income on the Fund's records.
(6) Auction Rate Preferred Shares, at Liquidation Value as a percentage of
Total Investments is 23.5%.
(7) Effective date represents the date on which both the Fund and Counterparty
commence interest payment accruals on each forward swap contract.
(8) For fair value measurement disclosure purposes, investment categorized as
Level 3. See Notes to Financial Statements, Footnote 2 - Fair Value
Measurements for more information.
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. See Notes to Financial Statements, Footnote 1 - Inverse
Floating Rate Securities for more information.
USD-LIBOR United States Dollar - London Inter-Bank Offered Rate
See accompanying notes to financial statements.
Nuveen Investments 69
NMD | Nuveen Municipal High Income Opportunity Fund 2
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.6% (1.4% OF TOTAL INVESTMENTS)
$ 2,290 Birmingham Special Care Facilities Financing Authority, 11/15 at 100.00 Baa2 $ 2,241,017
Alabama, Revenue Bonds, Baptist Health System Inc.,
Series 2005A, 5.250%, 11/15/20
1,000 Phenix City Industrial Development Board, Alabama, 5/12 at 100.00 BBB 925,780
Environmental Improvement Revenue Bonds, MeadWestvaco
Corporation, Series 2002A, 6.350%, 5/15/35 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
3,290 Total Alabama 3,166,797
-----------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 4.7% (4.1% OF TOTAL INVESTMENTS)
1,000 Estrella Mountain Ranch Community Facilities District, 7/17 at 100.00 N/R 930,540
Goodyear, Arizona, General Obligation Bonds, Series 2007,
6.200%, 7/15/32
500 Pima County Industrial Development Authority, Arizona, No Opt. Call N/R 530,940
Education Revenue Bonds Legacy Traditional School
Project, Series 2009, 8.500%, 7/01/39
2,575 Quechan Indian Tribe of the Fort Yuma Reservation, Arizona, 12/17 at 102.00 N/R 2,112,092
Government Project Bonds, Series 2007, 7.000%, 12/01/27
5,325 Salt Verde Financial Corporation, Arizona, Senior Gas No Opt. Call A 4,748,622
Revenue Bonds, Citigroup Energy Inc Prepay Contract
Obligations, Series 2007, 5.000%, 12/01/37
1,000 Yuma County Industrial Development Authority, Arizona, 12/17 at 100.00 N/R 790,270
Exempt Revenue Bonds, Far West Water & Sewer Inc.
Refunding, Series 2007A, 6.375%, 12/01/37 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
10,400 Total Arizona 9,112,464
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.1% (0.0% OF TOTAL INVESTMENTS)
125 Little River County, Arkansas, Revenue Refunding Bonds, 10/10 at 100.00 Ba3 116,240
Georgia-Pacific Corporation, Series 1998, 5.600%,
10/01/26 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 14.1% (12.2% OF TOTAL INVESTMENTS)
1,470 Bay Area Toll Authority, California, Revenue Bonds, San 4/18 at 100.00 AA 1,644,107
Francisco Bay Area Toll Bridge, Tender Option Bond Trust
2985, 17.167%, 4/01/34 (IF)
2,000 California Educational Facilities Authority, Revenue Bonds, 12/16 at 100.00 Baa3 1,726,320
Dominican University, Series 2006, 5.000%, 12/01/36
1,020 California Housing Finance Agency, California, Home Mortgage 8/17 at 100.00 A 939,767
Revenue Bonds, Series 2008B, 5.000%, 2/01/28 (Alternative
Minimum Tax)
1,000 California Municipal Finance Authority, Revenue Bonds, 11/19 at 100.00 Baa1 1,063,600
Harbor Regional Center Project, Series 2009, 8.500%,
11/01/39
795 California State Public Works Board, Lease Revenue Bonds, 3/20 at 100.00 A2 817,785
Various Capital Projects, Series 2010A-1, 5.750%, 3/01/30
520 California Statewide Communities Development Authority, 10/19 at 100.00 BBB- 519,969
Revenue Bonds, American Baptist Homes of the West, Series
2010, 6.250%, 10/01/39
1,825 California Statewide Community Development Authority, 7/15 at 100.00 BBB 1,620,162
Revenue Bonds, Daughters of Charity Health System, Series
2005A, 5.250%, 7/01/35
2,000 California Statewide Community Development Authority, 7/18 at 100.00 AA- 2,039,360
Revenue Bonds, St. Joseph Health System, Series 2007C,
5.750%, 7/01/47 - FGIC Insured
1,350 California Statewide Community Development Authority, 11/16 at 100.00 Aa3 1,130,531
Revenue Bonds, Sutter Health, Tender Option Bond Trust
3048, 13.292%, 11/15/46 (IF)
1,300 California, General Obligation Bonds, Tender Option Bond 3/20 at 100.00 AAA 1,569,880
Trust 3162, 19.363%, 3/01/40 - AGM Insured (IF)
Daly City Housing Development Finance Agency, California,
Mobile Home Park Revenue Bonds, Franciscan Mobile Home
Park Refunding, Series 2007A:
2,000 5.000%, 12/15/37 12/17 at 100.00 A- 1,679,800
1,975 6.500%, 12/15/47 12/17 at 100.00 N/R 1,712,661
1,370 Elk Grove Community Facilities District 2005-1, California, 9/15 at 102.00 N/R 920,914
Special Tax Bonds, Series 2007, 5.250%, 9/01/37
70 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
Golden State Tobacco Securitization Corporation, California,
Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
$ 2,500 5.125%, 6/01/47 6/17 at 100.00 BBB $ 1,745,975
4,000 5.750%, 6/01/47 6/17 at 100.00 BBB 3,083,320
1,000 Lathrop Financing Authority, California, Revenue Bonds, 6/13 at 100.00 N/R 974,650
Water Supply Project Series 2003, 6.000%, 6/01/35
700 Los Angeles Department of Airports, California, Revenue 5/20 at 100.00 AA 762,076
Bonds, Los Angeles International Airport, Tender Option
Bond Trust 10-27B, 17.747%, 5/15/40 (IF)
500 Los Angeles Regional Airports Improvement Corporation, 12/12 at 102.00 B- 504,040
California, Sublease Revenue Bonds, Los Angeles
International Airport, American Airlines Inc. Terminal 4
Project, Series 2002C, 7.500%, 12/01/24 (Alternative
Minimum Tax)
2,500 San Bernardino Community College District, California, 8/16 at 100.00 AAA 2,752,750
General Obligation Bonds, Tender Option Bond Trust
11780-1, 17.562%, 8/01/31 - AGM Insured (IF)
-----------------------------------------------------------------------------------------------------------------------------------
29,825 Total California 27,207,667
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 7.2% (6.2% OF TOTAL INVESTMENTS)
1,500 Arista Metropolitan District, Colorado, Special Revenue 12/15 at 100.00 N/R 1,374,135
Bonds, Series 2008, 9.250%, 12/01/37
1,520 Colorado Educational and Cultural Facilities Authority, 5/17 at 100.00 BB+ 1,261,114
Charter School Revenue Bonds, Windsor Academy, Series
2007A, 5.700%, 5/01/37
2,000 Colorado Educational and Cultural Facilities Authority, 6/18 at 102.00 N/R 1,826,780
Revenue Bonds, Pikes Peak School of Expeditionary
Learning Charter School, Series 2008, 6.625%, 6/01/38
1,480 Colorado Health Facilities Authority, Colorado, Revenue 9/16 at 100.00 AA 1,486,275
Bonds, Catholic Health Initiatives, Series 2006A, 5.000%,
9/01/41
5,045 Colorado Housing and Finance Authority, Revenue Bonds, 4/17 at 100.00 N/R 3,248,072
Confluence Energy LLC Project, Series 2007, 6.750%,
4/01/27 (Alternative Minimum Tax)
1,000 Confluence Metropolitan District, Colorado, General 12/17 at 100.00 N/R 740,060
Obligation Limited Tax Bonds, Series 2007, 5.400%,
12/01/27
1,070 Fitzsimons Village Metropolitan District 1, Aurora, Arapahoe 3/20 at 100.00 N/R 1,077,223
County, Colorado, Tax Increment Public Improvement Fee
Supported Revenue Bonds, Series 2010A, 7.500%, 3/01/40
1,000 Plaza Metropolitan District 1, Lakewood, Colorado, Tax 6/14 at 101.00 N/R 1,003,600
Increment Revenue Bonds, Series 2003, 8.000%, 12/01/25
1,700 Public Authority for Colorado Energy, Natural Gas Purchase No Opt. Call A 1,870,068
Revenue Bonds, Colorado Springs Utilities, Series 2008,
6.500%, 11/15/38
-----------------------------------------------------------------------------------------------------------------------------------
16,315 Total Colorado 13,887,327
-----------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.5% (0.5% OF TOTAL INVESTMENTS)
1,000 Harbor Point Infrastructure Improvement District, 4/20 at 100.00 N/R 1,051,740
Connecticut, Special Obligation Revenue Bonds, Harbor
Point Project, Series 2010A, 7.875%, 4/01/39
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 13.9% (12.0% OF TOTAL INVESTMENTS)
615 Amelia Walk Community Development District, Florida, Special 5/16 at 100.00 N/R 307,967
Assessment Bonds, Series 2006A, 5.500%, 5/01/37
985 Ave Maria Stewardship Community Development District, 5/16 at 100.00 N/R 745,044
Florida, Capital Improvement Revenue Bonds, Series 2006A,
5.125%, 5/01/38
1,000 Beeline Community Development District, Palm Beach County, 5/18 at 100.00 N/R 1,007,900
Florida, Special Assessment Bonds, Series 2008A, 7.000%,
5/01/37
990 Colonial Country Club Community Development District, 5/13 at 101.00 A+ 1,020,195
Florida, Capital Improvement Revenue Bonds, Series 2003,
6.400%, 5/01/33
2,000 Escambia County, Florida, Environmental Improvement Revenue 8/11 at 100.00 BBB 1,803,620
Bonds, International Paper Company Projects, Series
2006B, 5.000%, 8/01/26 (Alternative Minimum Tax)
1,295 Fishhawk Community Development District II, Florida, Special 5/14 at 100.00 N/R 1,248,548
Assessment Revenue Bonds, Series 2004A, 6.125%, 5/01/34
1,995 Habitat Community Development District, Florida, Capital No Opt. Call N/R 1,753,505
Improvement Revenue Bonds, Series 2004, 5.850%, 5/01/35
1,000 Martin County Industrial Development Authority, Florida, 6/10 at 100.00 BB+ 999,860
Industrial Development Revenue Bonds, Indiantown
Cogeneration LP, Series 1994A, 7.875%, 12/15/25
(Alternative Minimum Tax)
Nuveen Investments 71
NMD | Nuveen Municipal High Income Opportunity Fund 2 (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 2,865 Old Palm Community Development District, Florida, Special 5/15 at 101.00 N/R $ 2,513,636
Assessment Bonds, Palm Beach Gardens, Series 2004A,
5.900%, 5/01/35
1,485 Palm Glades Community Development District, Florida, Special 5/18 at 100.00 N/R 1,118,294
Assessment Bond, Series 2008A, 7.125%, 5/01/39
1,160 Pine Island Community Development District, Florida, Special 5/12 at 101.00 N/R 776,632
Assessment Bonds, Bella Collina, Series 2004, 5.750%,
5/01/35
995 Poinciana West Community Development District, Florida, 5/17 at 100.00 N/R 865,869
Special Assessment Bonds, Series 2007, 6.000%, 5/01/37
970 Reunion West Community Development District, Florida, 5/12 at 101.00 N/R 402,502
Special Assessment Bonds, Series 2004, 6.250%, 5/01/36
3,255 South Miami Health Facilities Authority, Florida, Revenue 8/17 at 100.00 AA- 3,170,761
Bonds, Baptist Health Systems of South Florida, Trust
1030, 15.468%, 8/15/37 (IF)
1,345 Stoneybrook Venice Community Development District, Florida, 5/18 at 100.00 N/R 1,347,461
Capital Improvement Revenue Bonds, Series 2007, 6.750%,
5/01/38
2,900 Tolomato Community Development District, Florida, Special 5/14 at 101.00 N/R 2,146,377
Assessment Bonds, Series 2006, 5.400%, 5/01/37
5,915 Tolomato Community Development District, Florida, Special No Opt. Call N/R 4,120,507
Assessment Bonds, Series 2007, 5.250%, 5/01/39
2,000 Westchester Community Development District 1, Florida, 5/13 at 101.00 N/R 1,484,840
Special Assessment Bonds, Series 2003, 6.125%, 5/01/35
-----------------------------------------------------------------------------------------------------------------------------------
32,770 Total Florida 26,833,518
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 2.6% (2.3% OF TOTAL INVESTMENTS)
1,000 Atlanta, Georgia, Tax Allocation Bonds, Beltline Project 1/19 at 100.00 N/R 1,018,950
Series 2008A, Remarketed, 7.500%, 1/01/31
1,250 Clayton County Development Authority, Georgia, Special 6/20 at 100.00 CCC+ 1,338,938
Facilities Revenue Bonds, Delta Air Lines, Inc. Project,
Series 2009A, 8.750%, 6/01/29
1,170 Clayton County Development Authority, Georgia, Special 6/15 at 100.00 CCC+ 1,221,925
Facilities Revenue Bonds, Delta Air Lines, Inc. Project,
Series 2009B, 9.000%, 6/01/35 (Alternative Minimum Tax)
855 Effingham County Development Authority, Georgia, Solid Waste 7/10 at 100.00 BB- 833,702
Disposal Revenue Bonds, Ft. James Project, Series 1998,
5.625%, 7/01/18 (Alternative Minimum Tax)
1,000 Fulton County Residential Care Facilities Authority, 7/17 at 100.00 N/R 634,830
Georgia, Revenue Bonds, Elderly Care, Lenbrook Square
Project, Series 2006A, 5.125%, 7/01/42
-----------------------------------------------------------------------------------------------------------------------------------
5,275 Total Georgia 5,048,345
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 10.3% (8.8% OF TOTAL INVESTMENTS)
1,100 Hillside, Cook County, Illinois, Senior Lien Tax Increment 1/18 at 102.00 N/R 996,710
Revenue Bonds, Mannheim Redevelopment Project, Series
2008, 7.000%, 1/01/28
5,620 Illinois Finance Authority, Charter School Revenue Bonds, No Opt. Call BBB 4,972,520
Chicago Charter School Foundation, Series 2007, 5.000%,
12/01/36
1,900 Illinois Finance Authority, Revenue Bonds, Provena Health, 8/19 at 100.00 BBB+ 2,152,776
Series 2009A, 7.750%, 8/15/34
1,500 Illinois Finance Authority, Revenue Bonds, Roosevelt 4/17 at 100.00 Baa2 1,429,185
University, Series 2007, 5.500%, 4/01/37
2,000 Illinois Finance Authority, Revenue Bonds, Silver Cross 8/19 at 100.00 BBB 2,128,880
Hospital and Medical Centers, Series 2009, 6.875%,
8/15/38
500 Illinois Finance Authority, Revenue Bonds, Southern Illinois 3/20 at 100.00 AAA 514,675
Healthcare Enterprises, Inc., Series 2005 Remarketed,
5.250%, 3/01/30 - AGM Insured
500 Illinois Health Facilities Authority, Revenue Refunding 1/13 at 100.00 Baa1 498,255
Bonds, Elmhurst Memorial Healthcare, Series 2002, 5.500%,
1/01/22
2,000 Lombard Public Facilities Corporation, Illinois, First Tier 1/16 at 100.00 B- 1,301,720
Conference Center and Hotel Revenue Bonds, Series 2005A-2,
5.500%, 1/01/36 - ACA Insured
Southwestern Illinois Development Authority, Illinois, Saint
Clair County Comprehensive Mental Health Center, Series 2007:
1,295 6.200%, 6/01/17 No Opt. Call N/R 1,258,144
3,020 6.625%, 6/01/37 6/17 at 103.00 N/R 2,788,185
72 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 1,000 Southwestern Illinois Development Authority, Local 3/14 at 100.00 N/R $ 997,930
Government Program Revenue Bonds, Granite City Project,
Series 2009B, 7.750%, 3/01/22
750 Springfield, Sangamon County, Illinois, Special Service 3/17 at 102.00 N/R 761,535
Area, Legacy Pointe, Special Assessment Bonds, Series
2009, 7.875%, 3/01/32
-----------------------------------------------------------------------------------------------------------------------------------
21,185 Total Illinois 19,800,515
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.2% (2.8% OF TOTAL INVESTMENTS)
3,000 Hospital Authority of Delaware County, Indiana, Hospital 8/16 at 100.00 Baa3 2,711,910
Revenue Bonds, Cardinal Health System, Series 2006,
5.125%, 8/01/29
1,600 Indiana Bond Bank, Special Program Gas Revenue Bonds, JP No Opt. Call Aa3 1,914,224
Morgan Ventures Energy Corporation Guaranteed, Series
2007A, 14.931%, 10/15/20 (IF)
Vigo County, Indiana, Hospital Authority, Union Hospital,
Revenue Bonds, Series 2007:
250 5.700%, 9/01/37 9/17 at 100.00 N/R 218,820
1,625 5.800%, 9/01/47 9/17 at 100.00 N/R 1,393,974
-----------------------------------------------------------------------------------------------------------------------------------
6,475 Total Indiana 6,238,928
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 0.3% (0.2% OF TOTAL INVESTMENTS)
500 Iowa Student Loan Liquidity Corporation, Student Loan 12/19 at 100.00 A1 511,945
Revenue Bonds, Refunding Series 2009-2, 5.500%, 12/01/25
-----------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.5% (0.5% OF TOTAL INVESTMENTS)
Kentucky Economic Development Finance Authority, Hospital
Facilities Revenue Bonds, Owensboro Medical Health System,
Series 2010A:
500 6.000%, 6/01/30 6/20 at 100.00 Baa2 510,590
500 6.500%, 3/01/45 No Opt. Call Baa2 518,295
-----------------------------------------------------------------------------------------------------------------------------------
1,000 Total Kentucky 1,028,885
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 3.9% (3.3% OF TOTAL INVESTMENTS)
3,500 Louisiana Local Government Environmental Facilities & 11/17 at 100.00 BB 3,611,790
Community Development Authority, Revenue Bonds, Westlake
Chemical Corporation Project, Series 2007, 6.750%,
11/01/32
4,000 Louisiana Local Government Environmental Facilities and 12/17 at 100.00 N/R 2,863,120
Community Development Authority, Revenue Bonds, Southgate
Suites Hotel LLC Project, Series 2007A, 6.750%, 12/15/37
1,000 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 969,520
Settlement Asset-Backed Bonds, Series 2001B, 5.875%,
5/15/39
-----------------------------------------------------------------------------------------------------------------------------------
8,500 Total Louisiana 7,444,430
-----------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.4% (0.3% OF TOTAL INVESTMENTS)
1,000 Maryland Economic Development Corporation, Revenue Bonds, 12/16 at 100.00 N/R 727,200
Chesapeake Bay Hyatt Conference Center, Series 2006A,
5.000%, 12/01/31
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.0% (0.0% OF TOTAL INVESTMENTS)
90 Boston Industrial Development Financing Authority, 9/12 at 102.00 Caa3 52,203
Massachusetts, Senior Revenue Bonds, Crosstown Center
Project, Series 2002, 6.500%, 9/01/35 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 1.0% (0.8% OF TOTAL INVESTMENTS)
1,750 Michigan Public Educational Facilities Authority, Charter 12/17 at 100.00 N/R 1,569,453
School Revenue Bonds, American Montessori Academy, Series
2007, 6.500%, 12/01/37
20 Michigan State Hospital Finance Authority, Hospital Revenue 8/10 at 100.00 Ba3 17,125
Bonds, Detroit Medical Center Obligated Group, Series
1998A, 5.250%, 8/15/23
325 Michigan State Hospital Finance Authority, Hospital Revenue 8/10 at 100.00 BB- 259,841
Refunding Bonds, Detroit Medical Center Obligated Group,
Series 1997A, 5.250%, 8/15/27 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
2,095 Total Michigan 1,846,419
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.5% (1.3% OF TOTAL INVESTMENTS)
3,000 St. Paul Housing and Redevelopment Authority, Minnesota, 11/15 at 100.00 BB+ 2,800,050
Revenue Bonds, Healtheast Inc., Series 2005, 6.000%,
11/15/35
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 73
NMD | Nuveen Municipal High Income Opportunity Fund 2 (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 1.0% (0.9% OF TOTAL INVESTMENTS)
$ 1,000 Mississippi Business Finance Corporation, Gulf Opportunity 2/21 at 102.00 N/R $ 1,009,460
Zone Revenue Bonds, Roberts Hotel of Jackson, LLC
Project, Series 2010, 8.500%, 2/01/30
1,000 Mississippi Business Finance Corporation, Pollution Control 10/10 at 100.00 BBB 999,890
Revenue Refunding Bonds, System Energy Resources Inc.
Project, Series 1998, 5.875%, 4/01/22
-----------------------------------------------------------------------------------------------------------------------------------
2,000 Total Mississippi 2,009,350
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 2.4% (2.0% OF TOTAL INVESTMENTS)
1,000 Hanley Road Corridor Transportation Development District, 10/19 at 100.00 A- 1,027,970
Brentwood and Maplewood, Missouri, Transportation Sales
Revenue Bonds, Refunding Series 2009A, 5.875%, 10/01/36
1,000 Missouri Development Finance Board. Infrastructure 4/14 at 100.00 A 1,039,980
Facilities Revenue Bonds, City of Independence, Missouri
- Events Center Project, Series 2009F, 6.250%, 4/01/38
40 Saint Louis Industrial Development Authority, Missouri, 12/10 at 102.00 Ca 12,960
Saint Louis Convention Center Headquarters Hotel
Project, Series 2000A, 7.000%, 12/15/15 (Alternative
Minimum Tax) (4)
1,000 Saint Louis, Missouri, Orpheum Theater Community No Opt. Call N/R 1,006,510
Improvement District, Saint Louis, Missouri, Property
and Sales Tax Revenue Bonds, Series 2009, 9.000%,
3/01/29
1,894 Saint Louis, Missouri, Tax Increment Financing Revenue 9/10 at 100.00 N/R 1,460,672
Bonds, Fashion Square Redevelopment Project, Series
2008A, 6.300%, 8/22/26
-----------------------------------------------------------------------------------------------------------------------------------
4,934 Total Missouri 4,548,092
-----------------------------------------------------------------------------------------------------------------------------------
MONTANA - 0.3% (0.3% OF TOTAL INVESTMENTS)
710 Montana Board of Investments, Resource Recovery Revenue No Opt. Call N/R 624,672
Bonds, Yellowstone Energy LP, Series 1993, 7.000%,
12/31/19 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 2.6% (2.3% OF TOTAL INVESTMENTS)
2,500 Clark County, Nevada, General Obligation Bank Bonds, 6/18 at 100.00 Aaa 2,740,100
Southern Nevada Water Authority Loan, Tender Option Bond
Trust Series 2010-11836, 17.415%, 6/01/33 (IF)
55 Clark County, Nevada, Industrial Development Revenue Bonds, 7/10 at 100.00 BB+ 51,385
Nevada Power Company, Series 1995A, 5.600%, 10/01/30
(Alternative Minimum Tax)
1,200 Director of Nevada State Department of Business and 7/10 at 100.00 Caa2 385,428
Industry, Revenue Bonds, Las Vegas Monorail Project, First
Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured (4)
Sparks Tourism Improvement District 1, Legends at Sparks
Marina, Nevada, Senior Sales Tax Revenue Bonds Series
2008A:
1,000 6.500%, 6/15/20 6/18 at 100.00 Ba3 973,220
1,000 6.750%, 6/15/28 6/18 at 100.00 Ba3 928,080
-----------------------------------------------------------------------------------------------------------------------------------
5,755 Total Nevada 5,078,213
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 4.2% (3.6% OF TOTAL INVESTMENTS)
700 Bayonne Redevelopment Agency, New Jersey, Revenue Bonds, 11/16 at 100.00 BB- 595,637
Royal Caribbean Cruises Project, Series 2006A, 5.375%,
11/01/35 (Alternative Minimum Tax)
1,000 Camden County Pollution Control Financing Authority, New 6/10 at 100.00 Ba2 977,680
Jersey, Solid Waste Disposal and Resource Recovery
System Revenue Bonds, Series 1991A, 7.500%, 12/01/10
(Alternative Minimum Tax)
New Jersey Economic Development Authority, Special
Facilities Revenue Bonds, Continental Airlines Inc., Series
1999:
2,000 6.250%, 9/15/19 (Alternative Minimum Tax) 9/11 at 100.00 B 1,929,820
55 6.400%, 9/15/23 (Alternative Minimum Tax) 9/10 at 100.50 B 53,059
240 6.250%, 9/15/29 (Alternative Minimum Tax) 9/10 at 100.50 B 226,618
25 New Jersey Economic Development Authority, Special 11/10 at 101.00 B 25,019
Facilities Revenue Bonds, Continental Airlines Inc.,
Series 2000, 7.000%, 11/15/30 (Alternative Minimum Tax)
3,200 New Jersey Health Care Facilities Financing Authority, New 7/18 at 100.00 Baa2 3,190,976
Jersey, Revenue Bonds, Saint Peters University Hospital,
Series 2007, 5.750%, 7/01/37
1,000 New Jersey Health Care Facilities Financing Authority, No Opt. Call BBB- 1,048,540
Revenue Bonds, Saint Joseph's Healthcare System
Obligated Group Issue, Series 2008, 6.000%, 7/01/18
-----------------------------------------------------------------------------------------------------------------------------------
8,220 Total New Jersey 8,047,349
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.2% (0.2% OF TOTAL INVESTMENTS)
500 Montecito Estates Public Improvement District, New Mexico, 10/17 at 100.00 N/R 439,255
Special Levee Revenue Bonds, Series 2007, 7.000%,
10/01/37
-----------------------------------------------------------------------------------------------------------------------------------
74 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 1.0% (0.9% OF TOTAL INVESTMENTS)
$ 1,000 New York City Industrial Development Agency, New York, 8/16 at 100.00 B- $ 1,017,670
American Airlines-JFK International Airport Special
Facility Revenue Bonds, Series 2005, 7.625%, 8/01/25
(Mandatory put 8/01/16) (Alternative Minimum Tax)
1,030 New York City Industrial Development Agency, New York, 7/16 at 101.00 N/R 908,501
Civic Facility Revenue Bonds, Special Needs Facilities
Pooled Program, Series 2008A-1, 5.800%, 7/01/23
-----------------------------------------------------------------------------------------------------------------------------------
2,030 Total New York 1,926,171
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 2.5% (2.2% OF TOTAL INVESTMENTS)
1,970 Albemarle Hospital Authority, North Carolina, Health Care 10/17 at 100.00 N/R 1,523,322
Facilities Revenue Bonds, Series 2007, 5.250%, 10/01/38
1,260 Charlotte-Mecklenberg Hospital Authority, North Carolina, 1/18 at 100.00 AA- 1,286,183
Carolinas HealthCare System Revenue Bonds, Series 2008,
Trust 1149, 13.326%, 1/15/47 (IF)
North Carolina Capital Facilities Financing Agency,
Educational Facilities Revenue Bond, Meredith College,
Series 2008A:
1,000 6.000%, 6/01/31 6/18 at 100.00 BBB 1,033,550
1,000 6.125%, 6/01/35 6/18 at 100.00 BBB 1,025,220
-----------------------------------------------------------------------------------------------------------------------------------
5,230 Total North Carolina 4,868,275
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 3.5% (3.0% OF TOTAL INVESTMENTS)
4,845 Buckeye Tobacco Settlement Financing Authority, Ohio, 6/17 at 100.00 BBB 3,636,754
Tobacco Settlement Asset-Backed Revenue Bonds, Senior
Lien, Series 2007A-2, 5.875%, 6/01/47
1,250 Ohio State, Hospital Facility Revenue Refunding Bonds, 1/19 at 100.00 Aa2 1,491,900
Cleveland Clinic Health System Obligated Group, Tender
Option Bond Trust 3551, 19.577%, 1/01/39 (IF)
1,015 Ohio, Environmental Facilities Revenue Bonds, Ford Motor 6/10 at 101.00 B3 967,975
Company, Series 2000, 6.150%, 6/01/30 (Alternative
Minimum Tax)
2,000 Western Reserve Port Authority, Ohio, Solid Waste Facility 7/17 at 102.00 N/R 704,180
Revenue Bonds, Central Waste Inc., Series 2007A, 6.350%,
7/01/27 (Alternative Minimum Tax) (8)
-----------------------------------------------------------------------------------------------------------------------------------
9,110 Total Ohio 6,800,809
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.4% (0.3% OF TOTAL INVESTMENTS)
165 Oklahoma Development Finance Authority, Revenue Bonds, 2/17 at 100.00 A 153,828
Saint John Health System, Series 2007, 5.000%, 2/15/42
45 Tulsa Municipal Airport Trust, Oklahoma, Revenue Bonds, 6/10 at 100.00 B- 41,244
American Airlines Inc., Series 1995, 6.250%, 6/01/20
500 Tulsa Municipal Airport Trust, Oklahoma, Revenue Refunding No Opt. Call Caa2 506,460
Bonds, American Airlines Inc., Series 2004A, 7.750%,
6/01/35 (Mandatory put 12/01/14)
-----------------------------------------------------------------------------------------------------------------------------------
710 Total Oklahoma 701,532
-----------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.1% (0.1% OF TOTAL INVESTMENTS)
25 Oregon, Economic Development Revenue Bonds, Georgia Pacific 8/10 at 100.00 BB- 24,900
Corp., Series 1995CLVII, 6.350%, 8/01/25 (Alternative
Minimum Tax)
125 Oregon, Economic Development Revenue Refunding Bonds, 6/10 at 100.00 Ba3 115,976
Georgia Pacific Corp., Series 1997-183, 5.700%, 12/01/25
-----------------------------------------------------------------------------------------------------------------------------------
150 Total Oregon 140,876
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.7% (1.5% OF TOTAL INVESTMENTS)
500 Allegheny Country Industrial Development Authority, No Opt. Call BB 532,825
Allegheny County, Pennsylvania, Environmental Improvement
Revenue Bonds, United States Steel Corporation Project,
Refunding Series 2009, 6.750%, 11/01/24
1,010 Chester County Industrial Development Authority, 12/17 at 100.00 BB+ 931,473
Pennsylvania, Avon Grove Charter School Revenue Bonds,
Series 2007A, 6.375%, 12/15/37
1,000 Pennsylvania Economic Development Finance Authority, Solid 6/10 at 101.00 B+ 894,590
Waste Disposal Revenue Bonds (USG Corporation Project)
Series 1999, 6.000%, 6/01/31 (Alternative Minimum Tax)
1,000 Pennsylvania Housing Finance Agency, Single Family Mortgage 4/19 at 100.00 AA+ 972,020
Revenue Bonds, Tender Option Bond Trust 4657, 16.007%,
10/01/29 (IF) (5)
-----------------------------------------------------------------------------------------------------------------------------------
3,510 Total Pennsylvania 3,330,908
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 75
NMD | Nuveen Municipal High Income Opportunity Fund 2 (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.0% (0.0% OF TOTAL INVESTMENTS)
$ 20 Puerto Rico Ports Authority, Special Facilities Revenue 6/10 at 100.00 CCC+ $ 16,196
Bonds, American Airlines Inc., Series 1996A, 6.250%,
6/01/26 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 0.3% (0.2% OF TOTAL INVESTMENTS)
500 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 479,960
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.250%, 6/01/42
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 1.8% (1.5% OF TOTAL INVESTMENTS)
3,477 Lancaster County, South Carolina, Special Assessment Bonds, No Opt. Call N/R 3,477,000
Edgewater II Improvement District, Series 2007B, 7.700%,
11/01/17
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 3.2% (2.7% OF TOTAL INVESTMENTS)
2,000 Sullivan County Health Educational and Housing Facilities 3/13 at 100.00 N/R 1,854,900
Board, Tennessee, Revenue Bonds, Wellmont Health System,
Refunding Series 200A, 5.440%, 9/01/32
Sumner County Health, Educational, and Housing Facilities
Board, Tennessee, Revenue Refunding Bonds, Sumner Regional
Health System Inc., Series 2007:
1,500 5.500%, 11/01/37 (8) 11/17 at 100.00 N/R 974,100
1,000 5.500%, 11/01/46 (8) 11/17 at 100.00 N/R 649,400
2,761 The Tennessee Energy Acquistion Corporation, Gas Revenue No Opt. Call N/R 2,629,052
Bonds, Series 2006B, 5.625%, 9/01/26
-----------------------------------------------------------------------------------------------------------------------------------
7,261 Total Tennessee 6,107,452
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 11.3% (9.7% OF TOTAL INVESTMENTS)
1,000 Alliance Airport Authority, Texas, Special Facilities 12/12 at 100.00 CCC+ 698,880
Revenue Bonds, American Airlines Inc., Series 2007,
5.250%, 12/01/29 (Alternative Minimum Tax)
440 Brazos River Authority, Texas, Pollution Control Revenue No Opt. Call CCC 428,085
Refunding Bonds, TXU Electric Company, Series 2001C,
5.750%, 5/01/36 (Mandatory put 11/01/11) (Alternative
Minimum Tax)
2,100 Clifton Higher Education Finance Corporation, Texas, No Opt. Call BBB- 2,465,652
Education Revenue Bonds, Tejano Center for Community
Concerns, Inc.-Raul Yzaguirre School for Success,
Refunding Series 2009A, 8.750%, 2/15/28
3,000 Danbury Higher Education Authority Inc., Texas, Golden Rule 2/18 at 100.00 BB+ 2,774,430
Charter School Revenue Bonds, Series 2008A, 6.500%,
8/15/38
990 Hidalgo Willacy Housing Finance Corporation, Texas, 1/14 at 102.00 N/R 969,507
Multifamily Housing Revenue Bonds, Heritage Square
Apartments Project, Series 2003A, 7.000%, 1/01/39
1,330 La Vernia Higher Education Financing Corporation, Texas, 2/16 at 100.00 N/R 1,154,640
Education Revenue Bonds, Amigos Por Vida Friends For
Life Public Charter School, Series 2008, 6.375%, 2/15/37
335 North Texas Thruway Authority, Second Tier System Revenue 1/18 at 100.00 A3 351,686
Refunding Bonds, Series 2008, 5.750%, 1/01/38
110 Sabine River Authority, Texas, Pollution Control Revenue No Opt. Call CCC 107,147
Bonds, TXU Energy Company LLC Project, Series 2001B,
5.750%, 5/01/30 (Mandatory put 11/01/11) (Alternative
Minimum Tax)
385 Sabine River Authority, Texas, Pollution Control Revenue No Opt. Call CCC 375,360
Refunding Bonds, TXU Electric Company, Series 2001A,
5.500%, 5/01/22 (Mandatory put 11/01/11)
2,000 Sabine River Authority, Texas, Pollution Control Revenue 8/13 at 101.00 CCC 1,207,840
Refunding Bonds, TXU Energy Company LLC Project, Series
2003B, 6.150%, 8/01/22
4,255 Tarrant County Cultural & Educational Facilities Finance 2/17 at 100.00 AA- 4,333,079
Corporation, Texas, Revenue Bonds, Texas Health
Resources Project, Trust 1031, 12.138%, 2/15/36 (IF)
500 Texas Municipal Gas Acquisition and Supply Corporation I, No Opt. Call A 543,160
Gas Supply Revenue Bonds, Senior Lien Series 2008D,
6.250%, 12/15/26
985 Texas Public Finance Authority, Charter School Revenue 12/14 at 100.00 BB+ 979,198
Bonds, School of Excellence Charter School, Series
2004A, 7.000%, 12/01/34
5,000 Texas Turnpike Authority, First Tier Revenue Bonds, Central 8/12 at 100.00 BBB+ 4,828,800
Texas Turnpike System, Series 2002A, 5.000%, 8/15/42 -
AMBAC Insured
550 Travis County Health Facilities Development Corporation, No Opt. Call N/R 555,698
Texas, Revenue Bonds, Westminster Manor, Series 2010,
7.000%, 11/01/30
-----------------------------------------------------------------------------------------------------------------------------------
22,980 Total Texas 21,773,162
-----------------------------------------------------------------------------------------------------------------------------------
76 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
UTAH - 3.5% (3.0% OF TOTAL INVESTMENTS)
Utah State Charter School Finance Authority, Noah Webster
Academy Revenue Bonds, Series:
$ 500 6.250%, 6/15/28 6/17 at 100.00 N/R $ 447,180
1,430 6.500%, 6/15/38 6/17 at 100.00 N/R 1,261,703
5,550 Utah State Charter School Finance Authority, Revenue Bonds, 12/17 at 100.00 BBB- 5,024,304
Summit Academy Project, Series 2007A, 5.800%, 6/15/38
-----------------------------------------------------------------------------------------------------------------------------------
7,480 Total Utah 6,733,187
-----------------------------------------------------------------------------------------------------------------------------------
VIRGIN ISLANDS - 0.5% (0.4% OF TOTAL INVESTMENTS)
1,000 Virgin Islands Public Finance Authority, Revenue Bonds, 1/14 at 100.00 Baa3 1,009,190
Refinery Project - Hovensa LLC, Series 2003, 6.125%,
7/01/22 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.6% (0.5% OF TOTAL INVESTMENTS)
50 Goochland County Industrial Development Authority, 6/10 at 100.50 Ba3 46,566
Virginia, Industrial Development Revenue Refunding
Bonds, Nekoosa Packaging Corporation Project, Series
1998, 5.650%, 12/01/25 (Alternative Minimum Tax)
1,000 Virginia Small Business Financing Authority, Revenue Bonds 7/14 at 102.00 N/R 1,045,290
Hampton Roads Proton Beam Therapy Institute at Hampton
University, LLC Project, Series 2009, 9.000%, 7/01/39
-----------------------------------------------------------------------------------------------------------------------------------
1,050 Total Virginia 1,091,856
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 6.1% (5.3% OF TOTAL INVESTMENTS)
2,415 FYI Properties, Washington, Lease Revenue Bonds, Washington 6/19 at 100.00 AA 3,106,270
State Department of Information Services Project, Tender
Option Bond Trust 2009-14A&B, 19.200%, 6/01/34 (IF)
3,500 Kalispel Indian Tribe, Washington, Priority Distribution No Opt. Call N/R 2,932,685
Bonds, Series 2008, 6.750%, 1/01/38
7,000 Washington State Health Care Facilities Authority, Revenue No Opt. Call N/R 5,782,420
Bonds, Northwest Hospital and Medical Center of Seattle,
Series 2007, 5.700%, 12/01/32
-----------------------------------------------------------------------------------------------------------------------------------
12,915 Total Washington 11,821,375
-----------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.3% (0.3% OF TOTAL INVESTMENTS)
740 Ohio County Commission, West Virginia, Special District 3/16 at 100.00 BBB 620,675
Excise Tax Revenue Bonds, Fort Henry Economic
Development, Series 2006B, 5.625%, 3/01/36
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.7% (1.5% OF TOTAL INVESTMENTS)
30 Green Bay Redevelopment Authority, Wisconsin, Industrial No Opt. Call N/R 28,395
Development Revenue Bonds, Fort James Project, Series
1999, 5.600%, 5/01/19 (Alternative Minimum Tax)
360 Nekoosa, Wisconsin, Pollution Control Revenue Bonds, No Opt. Call Ba3 354,999
Nekoosa Paper Inc. Project, Series 1999B, 5.500%,
7/01/15
1,000 Wisconsin Health and Educational Facilities Authority, 4/19 at 100.00 AA- 1,099,839
Revenue Bonds, Froedtert Community Health, Inc.
Obligated Group, Tender Option Bond Trust 3592, 22.882%,
4/01/39 (IF)
1,000 Wisconsin Health and Educational Facilities Authority, 2/12 at 101.00 A+ 868,739
Revenue Bonds, Ministry Healthcare Inc., Tender Option
Bond Trust 09-3114, 15.767%, 2/15/32 - NPFG Insured
(WI/DD, Settling 5/03/10) (IF)
1,500 Wisconsin Health and Educational Facilities Authority, 8/16 at 100.00 BBB+ 977,970
Revenue Bonds, Wheaton Franciscan Healthcare System,
Series 2006, Trust 2187, 14.529%, 8/15/34 (IF)
-----------------------------------------------------------------------------------------------------------------------------------
3,890 Total Wisconsin 3,329,942
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 77
NMD | Nuveen Municipal High Income Opportunity Fund 2 (continued)
| Portfolio of Investments April 30, 2010 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WYOMING - 1.0% (0.9% OF TOTAL INVESTMENTS)
$ 2,000 Sweetwater County, Wyoming, Solid Waste Disposal Revenue 12/15 at 100.00 BBB+ $ 1,936,539
Bonds, FMC Corporation, Series 2005, 5.600%, 12/01/35
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
$ 249,017 Total Investments (cost $230,506,168) - 116.0% 223,786,709
===============--------------------------------------------------------------------------------------------------------------------
Borrowings - (18.1)% (6) (35,000,000)
-----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.1% 4,143,842
-----------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 192,930,551
=================================================================================================================
Investments in Derivatives
FORWARD SWAPS OUTSTANDING AT APRIL 30, 2010:
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)
----------------------------------------------------------------------------------------------------------------------------------
Barclays Bank
PLC $ 3,500,000 Receive 3-Month USD-LIBOR 4.720% Semi-Annually 5/25/11 5/25/40 $ (110,600)
JPMorgan 5,000,000 Receive 3-Month USD-LIBOR 4.783 Semi-Annually 5/05/11 5/05/40 (218,000)
----------------------------------------------------------------------------------------------------------------------------------
$ (328,600)
==================================================================================================================================
FUTURES CONTRACTS AT APRIL 30, 2010:
VALUE AT UNREALIZED
CONTRACT NUMBER OF CONTRACT APRIL 30, APPRECIATION
TYPE POSITION CONTRACTS EXPIRATION 2010 (DEPRECIATION)
----------------------------------------------------------------------------------------------------------
U.S. Treasury 30-Year Bond Short (87) 6/10 $ (10,358,438) $ (245,589)
==========================================================================================================
(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.
(4) The Fund's Adviser has concluded this issue is not likely to meet its
future interest payment obligations and has directed the Fund's custodian
to cease accruing additional income on the Fund's records.
(5) Investment, or portion of investment, has been pledged as collateral for
inverse floating rate transactions.
(6) Borrowings as a percentage of Total investments is 15.6%.
(7) Effective date represents the date on which both the Fund and Counterparty
commence interest payment accruals on each forward swap contract.
(8) For fair value measurement disclosure purposes, investment categorized as
Level 3. See notes to Financial Statements, Footnote 2 - Fair Value
Measurements for more information.
N/R Not rated.
WI/DD Purchased on a when-issued or delayed delivery basis.
(IF) Inverse floating rate investment.
USD-LIBOR United States Dollar-London Inter-Bank Offered Rate.
See accompanying notes to financial statements.
78 Nuveen Investments
| Statement of
| Assets & Liabilities April 30, 2010 (Unaudited)
INVESTMENT SELECT QUALITY
QUALITY QUALITY INCOME
(NQM) (NQS) (NQU)
------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $791,741,498, $729,434,638 and
$1,171,224,590, respectively) $ 815,001,946 $ 738,829,593 $ 1,209,038,378
Cash 6,967,137 2,243,447 --
Deposits with brokers for open futures contracts -- -- --
Receivables:
Interest 12,930,517 11,498,193 18,573,331
Investments sold 135,352 23,047,500 24,249,162
Shares sold -- -- --
Deferred offering costs -- -- --
Other assets 189,774 170,834 288,538
------------------------------------------------------------------------------------------------------------------------------
Total assets 835,224,726 775,789,567 1,252,149,409
------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Borrowings -- -- --
Cash overdraft -- -- 607,877
Floating rate obligations 93,297,000 18,540,000 66,620,000
Unrealized depreciation on forward swaps -- -- --
Payables:
Investments purchased 2,024,868 9,837,093 2,194,071
Auction Rate Preferred share dividends 8,528 10,423 14,127
Common share dividends 2,389,091 2,490,890 3,709,276
Variation margin on futures contracts -- -- --
Accrued expenses:
Interest on borrowings -- -- --
Management fees 413,388 386,221 614,012
Shelf offering costs -- -- --
Other 201,088 283,430 448,582
------------------------------------------------------------------------------------------------------------------------------
Total liabilities 98,333,963 31,548,057 74,207,945
------------------------------------------------------------------------------------------------------------------------------
Auction Rate Preferred shares, at liquidation value 210,700,000 251,275,000 386,875,000
------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 526,190,763 $ 492,966,510 $ 791,066,464
==============================================================================================================================
Common shares outstanding 35,820,767 34,093,290 54,219,374
==============================================================================================================================
Net asset value per Common share outstanding (net assets applicable to
Common shares, divided by Common shares outstanding) $ 14.69 $ 14.46 $ 14.59
==============================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 358,208 $ 340,933 $ 542,194
Paid-in surplus 500,073,411 474,994,523 755,208,196
Undistributed (Over-distribution of) net investment income 7,980,321 8,141,900 12,752,876
Accumulated net realized gain (loss) (5,481,625) 94,199 (15,250,590)
Net unrealized appreciation (depreciation) 23,260,448 9,394,955 37,813,788
------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 526,190,763 $ 492,966,510 $ 791,066,464
==============================================================================================================================
Authorized shares:
Common 200,000,000 200,000,000 200,000,000
Auction Rate Preferred 1,000,000 1,000,000 1,000,000
==============================================================================================================================
See accompanying notes to financial statements.
Nuveen Investments 79
| Statement of
| Assets & Liabilities (continued)
April 30, 2010 (Unaudited)
PREMIER HIGH INCOME HIGH INCOME
INCOME OPPORTUNITY OPPORTUNITY 2
(NPF) (NMZ) (NMD)
------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $436,545,765, $410,962,722 and
$230,506,168, respectively) $ 455,513,205 $ 404,187,171 $ 223,786,709
Cash 533,701 -- 771,929
Deposits with brokers for open futures contracts -- -- 165,300
Receivables:
Interest 7,057,305 9,384,265 5,826,516
Investments sold 10,395,000 697,245 275,000
Shares sold -- 19,126 --
Deferred offering costs -- 118,950 102,943
Other assets 124,011 105,655 6,784
------------------------------------------------------------------------------------------------------------------------------
Total assets 473,623,222 414,512,412 230,935,181
------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Borrowings -- -- 35,000,000
Cash overdraft -- 48,760 --
Floating rate obligations 60,373,400 10,300,000 --
Unrealized depreciation on forward swaps -- 1,103,900 328,600
Payables:
Investments purchased -- 1,015,000 1,119,422
Auction Rate Preferred share dividends 3,804 9,051 --
Common share dividends 1,235,036 2,099,237 1,204,058
Variation margin on futures contracts -- -- 73,406
Accrued expenses:
Interest on borrowings -- -- 38,043
Management fees 228,194 183,722 177,395
Shelf offering costs -- 49,430 --
Other 152,153 122,083 63,706
------------------------------------------------------------------------------------------------------------------------------
Total liabilities 61,992,587 14,931,183 38,004,630
------------------------------------------------------------------------------------------------------------------------------
Auction Rate Preferred shares, at liquidation value 126,850,000 95,000,000 --
------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 284,780,635 $ 304,581,229 $ 192,930,551
==============================================================================================================================
Common shares outstanding 19,888,518 25,893,889 16,723,329
==============================================================================================================================
Net asset value per Common share outstanding (net assets applicable to
Common shares, divided by Common shares outstanding) $ 14.32 $ 11.76 $ 11.54
==============================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 198,885 $ 258,939 $ 167,233
Paid-in surplus 276,697,009 360,192,659 236,018,998
Undistributed (Over-distribution of) net investment income 3,822,772 1,398,434 310,321
Accumulated net realized gain (loss) (14,905,471) (49,389,352) (36,272,353)
Net unrealized appreciation (depreciation) 18,967,440 (7,879,451) (7,293,648)
------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $ 284,780,635 $ 304,581,229 $ 192,930,551
==============================================================================================================================
Authorized shares:
Common 200,000,000 Unlimited Unlimited
Auction Rate Preferred 1,000,000 Unlimited Unlimited
==============================================================================================================================
See accompanying notes to financial statements.
80 Nuveen Investments
| Statement of
| Operations Six Months Ended April 30, 2010 (Unaudited)
INVESTMENT SELECT QUALITY
QUALITY QUALITY INCOME
(NQM) (NQS) (NQU)
------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 21,888,422 $ 22,205,818 $ 33,085,402
------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 2,494,233 2,334,474 3,723,663
Auction Rate Preferred shares - auction fees 156,726 186,908 287,772
Auction Rate Preferred shares - dividend disbursing agent fees 24,795 24,795 29,753
Shareholders' servicing agent fees and expenses 21,529 19,169 31,708
Interest expense 300,923 73,181 241,779
Custodian's fees and expenses 64,460 64,072 99,317
Directors'/Trustees' fees and expenses 11,799 11,971 19,023
Professional fees 32,125 35,792 56,207
Shareholders' reports - printing and mailing expenses 60,791 58,229 94,041
Stock exchange listing fees 6,035 5,768 9,134
Investor relations expense 29,733 29,195 46,070
Other expenses 30,739 29,649 40,263
------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit and expense reimbursement 3,233,888 2,873,203 4,678,730
Custodian fee credit (6,108) (1,782) (3,430)
Expense reimbursement -- -- --
------------------------------------------------------------------------------------------------------------------------------
Net expenses 3,227,780 2,871,421 4,675,300
------------------------------------------------------------------------------------------------------------------------------
Net investment income 18,660,642 19,334,397 28,410,102
------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments (1,909,740) 1,092,810 2,918,368
Forward swaps -- -- --
Futures -- -- --
Change in net unrealized appreciation (depreciation) of:
Investments 14,868,195 7,911,134 10,094,405
Forward swaps -- -- --
Futures -- -- --
------------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) 12,958,455 9,003,944 13,012,773
------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO AUCTION RATE PREFERRED SHAREHOLDERS
From net investment income (398,310) (458,679) (749,860)
From accumulated net realized gains -- (36,384) --
------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares from distributions
to Auction Rate Preferred shareholders (398,310) (495,063) (749,860)
------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common shares from
operations $ 31,220,787 $ 27,843,278 $ 40,673,015
==============================================================================================================================
See accompanying notes to financial statements.
Nuveen Investments 81
| Statement of
| Operations (continued) Six Months Ended April 30, 2010 (Unaudited)
PREMIER HIGH INCOME HIGH INCOME
INCOME OPPORTUNITY OPPORTUNITY 2
(NPF) (NMZ) (NMD)
------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 11,572,352 $ 14,897,859 $ 8,802,454
------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 1,376,390 1,404,264 1,024,331
Auction Rate Preferred shares - auction fees 94,355 70,664 --
Auction Rate Preferred shares - dividend disbursing agent fees 14,877 14,877 --
Shareholders' servicing agent fees and expenses 11,882 1,190 245
Interest expense 161,699 21,641 257,303
Custodian's fees and expenses 37,232 39,257 24,050
Directors'/Trustees' fees and expenses 6,576 6,286 3,173
Professional fees 22,109 60,762 13,674
Shareholders' reports - printing and mailing expenses 42,639 42,671 19,126
Stock exchange listing fees 4,529 1,671 4,603
Investor relations expense 16,426 17,186 8,921
Other expenses 23,615 16,996 7,135
------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit and expense reimbursement 1,812,329 1,697,465 1,362,561
Custodian fee credit (2,011) (431) (1,106)
Expense reimbursement -- (334,996) --
------------------------------------------------------------------------------------------------------------------------------
Net expenses 1,810,318 1,362,038 1,361,455
------------------------------------------------------------------------------------------------------------------------------
Net investment income 9,762,034 13,535,821 7,440,999
------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from:
Investments 264,771 354,507 (630,789)
Forward swaps -- 1,451,429 1,632,857
Futures -- -- 78,636
Change in net unrealized appreciation (depreciation) of:
Investments 7,595,464 14,368,077 11,826,877
Forward swaps -- (1,398,700) (1,653,400)
Futures -- -- (163,805)
------------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) 7,860,235 14,775,313 11,090,376
------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO AUCTION RATE PREFERRED SHAREHOLDERS
From net investment income (239,133) (184,184) --
From accumulated net realized gains -- -- --
------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares from distributions
to Auction Rate Preferred shareholders (239,133) (184,184) --
------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common shares from
operations $ 17,383,136 $ 28,126,950 $ 18,531,375
==============================================================================================================================
See accompanying notes to financial statements.
82 Nuveen Investments
| Statement of Changes in Net Assets (Unaudited)
INVESTMENT QUALITY (NQM) SELECT QUALITY (NQS)
---------------------------------- ---------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/10 10/31/09 4/30/10 10/31/09
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 18,660,642 $ 36,434,226 $ 19,334,397 $ 37,989,135
Net realized gain (loss) from:
Investments (1,909,740) (3,071,534) 1,092,810 838,871
Forward swaps -- -- -- --
Futures -- -- -- --
Change in net unrealized appreciation (depreciation) of:
Investments 14,868,195 71,805,746 7,911,134 64,648,767
Forward swaps -- -- -- --
Futures -- -- -- --
Distributions to Auction Rate Preferred Shareholders:
From net investment income (398,310) (1,535,175) (458,679) (2,102,870)
From accumulated net realized gains -- (401,006) (36,384) --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from operations 31,220,787 103,232,257 27,843,278 101,373,903
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (15,940,244) (27,621,403) (16,519,804) (28,847,903)
From accumulated net realized gains -- (1,071,041) (517,408) --
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares from
distributions to Common shareholders (15,940,244) (28,692,444) (17,037,212) (28,847,903)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Proceeds from shelf offering, net of offering costs -- -- -- --
Net proceeds from shares issued to shareholders due to
reinvestment of distributions -- -- 927,134 165,835
Repurchased and retired -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from capital share transactions -- -- 927,134 165,835
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares 15,280,543 74,539,813 11,733,200 72,691,835
Net assets applicable to Common shares at the beginning of
period 510,910,220 436,370,407 481,233,310 408,541,475
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of
period $ 526,190,763 $ 510,910,220 $ 492,966,510 $ 481,233,310
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 7,980,321 $ 5,658,233 $ 8,141,900 $ 5,785,986
====================================================================================================================================
See accompanying notes to financial statements.
Nuveen Investments 83
| Statement of Changes in Net Assets (Unaudited) (continued)
QUALITY INCOME (NQU) PREMIER INCOME (NPF)
---------------------------------- ---------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/10 10/31/09 4/30/10 10/31/09
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 28,410,102 $ 56,708,363 $ 9,762,034 $ 19,195,590
Net realized gain (loss) from:
Investments 2,918,368 (8,583,481) 264,771 (7,068,813)
Forward swaps -- -- -- (4,125,000)
Futures -- -- -- --
Change in net unrealized appreciation (depreciation) of:
Investments 10,094,405 85,907,477 7,595,464 47,005,036
Forward swaps -- -- -- 3,882,335
Futures -- -- -- --
Distributions to Auction Rate Preferred Shareholders:
From net investment income (749,860) (3,267,537) (239,133) (1,007,804)
From accumulated net realized gains -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from operations 40,673,015 130,764,822 17,383,136 57,881,344
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (24,588,487) (43,375,504) (8,273,624) (14,562,011)
From accumulated net realized gains -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares from
distributions to Common shareholders (24,588,487) (43,375,504) (8,273,624) (14,562,011)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Proceeds from shelf offering, net of offering costs -- -- -- --
Net proceeds from shares issued to shareholders due to
reinvestment of distributions -- -- -- --
Repurchased and retired -- -- -- (165,375)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from capital share transactions -- -- -- (165,375)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares 16,084,528 87,389,318 9,109,512 43,153,958
Net assets applicable to Common shares at the beginning of
period 774,981,936 687,592,618 275,671,123 232,517,165
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of
period $ 791,066,464 $ 774,981,936 $ 284,780,635 $ 275,671,123
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 12,752,876 $ 9,681,121 $ 3,822,772 $ 2,573,495
====================================================================================================================================
See accompanying notes to financial statements.
84 Nuveen Investments
HIGH INCOME HIGH INCOME
OPPORTUNITY (NMZ) OPPORTUNITY 2 (NMD)
---------------------------------- ---------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/10 10/31/09 4/30/10 10/31/09
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 13,535,821 $ 25,924,511 $ 7,440,999 $ 14,629,108
Net realized gain (loss) from:
Investments 354,507 (32,716,070) (630,789) (30,433,348)
Forward swaps 1,451,429 -- 1,632,857 --
Futures -- (4,745,444) 78,636 (1,952,740)
Change in net unrealized appreciation (depreciation) of:
Investments 14,368,077 77,003,728 11,826,877 60,267,241
Forward swaps (1,398,700) 294,800 (1,653,400) 1,324,800
Futures -- (1,213,249) (163,805) (551,429)
Distributions to Auction Rate Preferred Shareholders:
From net investment income (184,184) (992,448) -- --
From accumulated net realized gains -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from operations 28,126,950 63,555,828 18,531,375 43,283,632
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (13,068,046) (25,434,721) (7,947,455) (15,314,000)
From accumulated net realized gains -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares from
distributions to Common shareholders (13,068,046) (25,434,721) (7,947,455) (15,314,000)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Common shares:
Proceeds from shelf offering, net of offering costs 286,839 20,102,553 7,186,209 --
Net proceeds from shares issued to shareholders due to
reinvestment of distributions 272,117 616,836 807,724 1,638,496
Repurchased and retired -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from capital share transactions 558,956 20,719,389 7,993,933 1,638,496
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares 15,617,860 58,840,496 18,577,853 29,608,128
Net assets applicable to Common shares at the beginning of
period 288,963,369 230,122,873 174,352,698 144,744,570
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of
period $ 304,581,229 $ 288,963,369 $ 192,930,551 $ 174,352,698
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 1,398,434 $ 1,114,843 $ 310,321 $ 816,777
====================================================================================================================================
See accompanying notes to financial statements.
Nuveen Investments 85
| Statement of Cash Flows Six months ended April 30, 2010 (Unaudited)
INVESTMENT PREMIER HIGH INCOME
QUALITY INCOME OPPORTUNITY 2
(NQM) (NPF) (NMD)
-------------------------------------------------------------------------------------------------------------------
CASH FLOWS FROM OPERATING ACTIVITIES:
NET INCREASE (DECREASE) IN NET ASSETS APPLICABLE TO COMMON
SHARES FROM OPERATIONS $ 31,220,787 $ 17,383,136 $ 18,531,375
Adjustments to reconcile the net increase (decrease) in
net assets applicable to Common shares from operations
to net cash provided by (used in) operating activities:
Purchases of investments (72,639,066) (8,762,493) (29,530,361)
Proceeds from sales and maturities of investments 68,800,147 16,256,592 18,913,599
Proceeds from (Purchases of) short-term investments,
net -- 1,300,000 --
Proceeds from (Payments for) terminated forward swaps -- -- 1,632,857
Proceeds from (Payments for) closed/expired futures -- -- 78,636
contracts (29,583) (1,076,503) (135,301)
Amortization (Accretion) of premiums and discounts, net
(Increase) Decrease in receivable for interest (144,040) (47,947) (212,103)
(Increase) Decrease in receivable for investments sold 3,399,868 (9,915,446) (265,000)
(Increase) Decrease in other assets (26,419) (1,778) 17,684
Increase (Decrease) in payable for investments
purchased (2,123,210) -- 1,119,422
Increase (Decrease) in payable for Auction Rate
Preferred share dividends (1,500) (1,056) --
Increase (Decrease) in payable for variation margin on
futures contracts -- -- (54,375)
Increase (Decrease) in accrued interest on borrowings -- -- 36,542
Increase (Decrease) in accrued management fees (17,620) (9,887) 6,243
Increase (Decrease) in accrued other liabilities (356,203) (2,379) 152
Net realized (gain) loss from investments 1,909,740 (264,771) 630,789
Net realized (gain) loss from forward swaps -- -- (1,632,857)
Net realized (gain) loss from futures -- -- (78,636)
Change in net unrealized (appreciation) depreciation of
investments (14,868,195) (7,595,464) (11,826,877)
Change in net unrealized (appreciation) depreciation of
forward swaps -- -- 1,653,400
Taxes paid on undistributed capital gains (1,104) -- (302)
-------------------------------------------------------------------------------------------------------------------
Net cash provided by (used in) operating activities 15,123,602 7,262,004 (1,115,113)
-------------------------------------------------------------------------------------------------------------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase (Decrease) in floating rate obligations (80,000) -- --
(Increase) Decrease in cash equivalents -- -- 113,100
Cash distributions paid to Common shareholders (15,754,582) (8,195,933) (7,084,179)
(Increase) Decrease in deferred offering costs -- -- (102,943)
Proceeds from shelf offering -- -- 7,186,209
-------------------------------------------------------------------------------------------------------------------
Net cash provided by (used in) financing activities (15,834,582) (8,195,933) 112,187
-------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN CASH (710,980) (933,929) (1,002,926)
Cash at the beginning of period 7,678,117 1,467,630 1,774,855
-------------------------------------------------------------------------------------------------------------------
Cash at the End of Period $ 6,967,137 $ 533,701 $ 771,929
-------------------------------------------------------------------------------------------------------------------
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Non-cash financing activities not included herein consist of reinvestments of
Common share distributions of $807,724 for High Income Opportunity 2 (NMD). Cash
paid for interest was as follows:
INVESTMENT PREMIER HIGH INCOME
QUALITY INCOME OPPORTUNITY 2
(NQM) (NPF) (NMD)
-------------------------------------------------------------------------------------------------------------------
$ 300,923 $ 161,699 $ 220,761
===================================================================================================================
See accompanying notes to financial statements.
86 Nuveen Investments
| 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 Investment Quality Municipal Fund, Inc. (NQM),
Nuveen Select Quality Municipal Fund, Inc. (NQS), Nuveen Quality Income
Municipal Fund, Inc. (NQU), Nuveen Premier Municipal Income Fund, Inc. (NPF),
Nuveen Municipal High Income Opportunity Fund (NMZ) and Nuveen Municipal High
Income Opportunity Fund 2 (NMD) (collectively, the "Funds"). Common shares of
Investment Quality (NQM), Select Quality (NQS), Quality Income (NQU), Premier
Income (NPF) and High Income Opportunity 2 (NMD) are traded on the New York
Stock Exchange ("NYSE") while Common shares of High Income Opportunity (NMZ) are
traded on the NYSE Amex. The Funds are registered under the Investment Company
Act of 1940, as amended, as closed-end, management investment companies.
Each Fund seeks to provide current income exempt from regular federal income tax
by investing primarily in a 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 US
generally accepted accounting principles ("U.S. GAAP").
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. 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. When market price quotes are not readily
available (which is usually the case for municipal securities), the pricing
service or, in the absence of a pricing service for a particular investment or
derivative instrument, the Board of Directors/Trustees of the Fund, or its
designee, may establish fair value using a wide variety of market data including
yields or prices of investments of comparable quality, type of issue, coupon,
maturity and rating, market quotes or indications of value from security
dealers, evaluations of anticipated cash flows or collateral, general market
conditions and other information and analysis, including the obligor's credit
characteristics considered relevant. Temporary investments in securities that
have variable rate and demand features qualifying them as short-term investments
are valued at amortized cost, which approximates 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, 2010, Investment
Quality (NQM), Select Quality (NQS), Quality Income (NQU), High Income
Opportunity (NMZ) and High Income Opportunity 2 (NMD) had outstanding
when-issued/delayed delivery purchase commitments of $600,000, $9,826,800,
$2,194,071, $1,015,000 and $1,119,422, 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.
Investment income also includes paydown gains and losses, if any.
Professional Fees
Professional fees presented on the Statement of Operations consist of legal fees
incurred in the normal course of operations, audit fees, tax consulting fees
and, in some cases, workout expenditures. Workout expenditures are incurred in
an attempt to protect or enhance an investment, or to pursue other claims or
legal actions on behalf of Fund shareholders.
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 that 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.
Nuveen Investments 87
| Notes to Financial Statements (Unaudited) (continued)
For all open tax years and all major taxing jurisdictions, management of the
Funds has concluded that there are no significant uncertain tax positions that
would require recognition in the financial statements. Open tax years are those
that are open for examination by taxing authorities (i.e., generally the last
four tax year ends and the interim tax period since then). Furthermore,
management of the Funds is also not aware of any tax positions for which it is
reasonably possible that the total amounts of unrecognized tax benefits will
significantly change in the next twelve months.
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. GAAP.
Auction Rate Preferred Shares
Although authorized, High Income Opportunity 2 (NMD) has not issued Auction Rate
Preferred Shares ("ARPS"), since its commencement of operations on November 17,
2007. The following Funds have issued and outstanding ARPS, $25,000 stated value
per share, as a means of effecting financial leverage. Each Fund's ARPS 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. As
of April 30, 2010, the number of ARPS outstanding, by Series and in total, for
each Fund is as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
--------------------------------------------------------------------------------
Number of shares:
Series M 1,750 1,801 2,567 769 1,826
Series T 1,750 1,801 2,569 2,153 987
Series W 1,749 2,522 2,568 -- 987
Series W2 -- -- 1,780 -- --
Series TH 1,429 1,405 3,423 2,152 --
Series F 1,750 2,522 2,568 -- --
--------------------------------------------------------------------------------
Total 8,428 10,051 15,475 5,074 3,800
================================================================================
Beginning in February 2008, more shares for sale were submitted in the regularly
scheduled auctions for the ARPS issued by the Funds than there were offers to
buy. This meant that these auctions "failed to clear," and that many ARPS
shareholders who wanted to sell their shares in these auctions were unable to do
so. ARPS 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 ARPS. As of April 30, 2010, the aggregate
amount of outstanding ARPS redeemed by each Fund is as follows:
HIGH
INVESTMENT SELECT QUALITY PREMIER INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
-----------------------------------------------------------------------------------------------------------------
ARPS redeemed, at liquidation value $ 90,300,000 $ 27,725,000 $ 65,125,000 $ 38,150,000 $ 60,000,000
=================================================================================================================
88 Nuveen Investments
Common Shares Shelf Offering
During the fiscal year ended October 31, 2009, High Income Opportunity (NMZ)
filed a registration statement with the Securities and Exchange Commission
("SEC") to issue the remaining 1,900,000 Common shares through its ongoing shelf
offering which became effective with the SEC on September 24, 2007, authorizing
the Fund to issue up to 2,400,000 Common shares. During the fiscal year ended
October 31, 2009, the Fund issued 1,900,000 Common shares, receiving aggregate
offering proceeds of $20,102,553. During the current fiscal period, the Fund
filed another registration statement with the SEC to register an additional
2,600,000 Common shares. During the six months ended April 30, 2010, the Fund
issued 22,501 Common shares, receiving aggregate offering proceeds of $286,839.
Under this new equity shelf program, the Fund, subject to market conditions, may
raise additional equity capital from time to time in varying amounts and
offering methods at a net price at or above the Fund's NAV per Common share.
On October 30, 2009, a registration statement filed by High Income Opportunity 2
(NMD) with the SEC became effective authorizing the Fund to issue 1,600,000
Common shares through a shelf offering. During the six months ended April 30,
2010, the Fund issued Common shares, receiving aggregate offering proceeds of
$7,186,209. Under this equity shelf program, the Fund, subject to market
conditions, may raise additional equity capital from time to time in varying
amounts and offering methods at a net price at or above the Fund's NAV per
Common share.
Shelf Offering Costs
Costs incurred by High Income Opportunity (NMZ) and High Income Opportunity 2
(NMD) in connection with the shelf offerings of their Common shares are recorded
as a deferred charge which are amortized over the period such additional Common
shares are sold not to exceed the one-year life of the shelf offering period.
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"). 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 "(IF) - Inverse floating rate investment." An investment in a
self-deposited inverse floater is accounted for as a financing transaction. In
such instances, a fixed-rate bond deposited into a special purpose trust is
identified in the Portfolio of Investments as "(UB) - Underlying bond of an
inverse floating rate trust reflected as a financing transaction," 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 recognizes the related interest paid to the holders of the
short-term floating rate certificates as "Interest expense" on the Statement of
Operations.
During the six months ended April 30, 2010, each Fund invested in
externally-deposited inverse floaters and/or self-deposited inverse floaters.
Each Fund may also enter into shortfall and forbearance agreements (sometimes
referred to as a "recourse trust" or "credit recovery swap") (such agreements
referred to herein as "Recourse Trusts") 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 issued by the
trust plus any shortfalls in interest cash flows. Under these agreements, a
Fund's potential exposure to losses related to or on inverse floaters may
increase beyond the value of a Fund's inverse floater investments as a Fund may
potentially be liable to fulfill all amounts owed to holders of the floating
rate certificates. At period end, any such shortfall is recognized as
"Unrealized depreciation on Recourse Trusts" on the Statement of Assets and
Liabilities.
Nuveen Investments 89
| Notes to Financial Statements (Unaudited) (continued)
At April 30, 2010, each Fund's maximum exposure to externally-deposited Recourse
Trusts, is as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NQS) (NQU) (NPF) (NMZ) (NMD)
-------------------------------------------------------------------------------------------------------------------------------
Maximum exposure to Recourse Trusts $ 4,330,000 $ 18,750,000 $ 7,500,000 $ 4,955,000 $ 27,445,000 $ 17,624,283
===============================================================================================================================
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, 2010, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY
(NQM) (NQS) (NQU) (NPF) (NMZ)
---------------------------------------------------------------------------------------------------------------------------
Average floating rate obligations outstanding $ 93,297,000 $ 18,540,000 $ 66,620,000 $ 60,373,400 $ 10,300,000
Average annual interest rate and fees 0.65% 0.80% 0.73% 0.54% 0.42%
===========================================================================================================================
Forward Swap Contracts
Each Fund is authorized to enter into forward interest rate swap contracts
consistent with their investment objectives and policies to reduce, increase or
otherwise alter its risk profile or to alter its portfolio characteristics (i.e.
duration, yield curve positioning and credit quality).
Each Fund is subject to interest rate risk in the normal course of pursuing its
investment objectives. 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 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.
Forward interest rate swap contracts are valued daily. The net amount recorded
on these transactions for each counterparty is recognized on the Statement of
Assets and Liabilities as "Unrealized appreciation or depreciation on forward
swaps" with the change during the fiscal period recognized on the Statement of
Operations as "Change in net unrealized appreciation (depreciation) of forward
swaps."
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. Net realized
gains and losses during the fiscal period are recognized on the Statement of
Operations as "Net realized gain (loss) from forward swaps." 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.
The following Funds invested in forward swap contracts during the six months
ended April 30, 2010. The average notional amount of forward swap contracts
outstanding during the six months ended April 30, 2010, were as follows:
HIGH INCOME HIGH INCOME
OPPORTUNITY OPPORTUNITY 2
(NMZ) (NMD)
--------------------------------------------------------------------------------
Average notional amount of forward
swap contracts outstanding $ 22,500,000 $ 8,833,333
================================================================================
Refer to Footnote 3 - Derivative Instruments and Hedging Activities for further
details on forward swap contract activity.
Futures Contracts
Each Fund is subject to interest rate risk in the normal course of pursuing its
investment objectives and is authorized to invest in futures contracts in
attempt to manage such risk. 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." Cash held by the broker to cover initial margin requirements on open
futures contracts, if any, is recognized as "Deposits with brokers for open
futures contracts" on the Statement of Assets and Liabilities. Subsequent
payments ("variation margin") are made or received by a Fund each day, depending
on the daily fluctuation of the value of the contract. Variation margin is
recognized as a receivable or payable for "Variation margin on futures
contracts" on the Statement of Assets and Liabilities, when applicable.
During the period the futures contract is open, changes in the value of the
contract are recorded as an unrealized gain or loss by "marking-to-market" on a
daily basis to reflect the changes in market value of the contract and is
recognized as "Change in net unrealized appreciation (depreciation) of futures
contracts" on the Statement of Operations. When the contract is closed or
expired, a Fund records a realized gain or loss equal to the
90 Nuveen Investments
difference between the value of the contract on the closing date and value of
the contract when originally entered into and is recognized as "Net realized
gain (loss) from futures contracts" on the Statement of Operations.
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.
The following Fund invested in futures contracts during the six months ended
April 30, 2010. The average number of futures contracts outstanding during the
six months ended April 30, 2010, were as follows:
HIGH INCOME
OPPORTUNITY 2
(NMD)
--------------------------------------------------------------------------------
Average number of futures contracts outstanding 87
================================================================================
Refer to Footnote 3 - Derivative Instruments and Hedging Activities for further
details on futures contract activity.
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in financial instruments
and enter into financial transactions where risk of potential loss exists due to
changes in the market (market risk) or failure of the other party to the
transaction to perform (counterparty credit risk). The potential loss could
exceed the value of the financial assets recorded on the financial statements.
Financial assets, which potentially expose each Fund to counterparty credit
risk, consist principally of cash due from counterparties on forward, option and
swap transactions, when applicable. The extent of each Fund's exposure to
counterparty credit risk in respect to these financial assets approximates their
carrying value as recorded on the Statement of Assets and Liabilities. Futures
contracts, when applicable, expose a Fund to minimal counterparty credit risk as
they are exchange traded and the exchange's clearinghouse, which is counterparty
to all exchange traded futures, guarantees the futures contracts against
default.
Each Fund helps manage counterparty credit risk by entering into agreements only
with counterparties Nuveen Asset Management (the "Adviser" a wholly-owned
subsidiary of Nuveen Investments, Inc. ("Nuveen")), believes have the financial
resources to honor their obligations and by having the Adviser monitor the
financial stability of the counterparties. Additionally, counterparties may be
required to pledge collateral daily (based on the daily valuation of the
financial asset) on behalf of each Fund with a value approximately equal to the
amount of any unrealized gain above a pre-determined threshold. Reciprocally,
when each Fund has an unrealized loss, the Funds have instructed the custodian
to pledge assets of the Funds as collateral with a value approximately equal to
the amount of the unrealized loss above a pre-determined threshold. Collateral
pledges are monitored and subsequently adjusted if and when the valuations
fluctuate, either up or down, by at least the predetermined threshold amount.
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. The market prices of zero coupon securities generally are more
volatile than the market prices of securities that pay interest periodically.
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 directors/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. GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities at the date of the financial statements and the reported
amounts of increases and decreases in net assets applicable to Common shares
from operations during the reporting period. Actual results may differ from
those estimates.
Nuveen Investments 91
| Notes to Financial Statements (Unaudited) (continued)
2. FAIR VALUE MEASUREMENTS
In determining the value of each Fund's investments, various inputs are used.
These inputs are summarized in the three broad levels listed below:
Level 1 - Quoted prices in active markets for identical securities.
Level 2 - Other significant observable inputs (including quoted prices for
similar securities, interest rates, prepayment speeds, credit
risk, etc.).
Level 3 - Significant unobservable inputs (including management's
assumptions in determining the fair value of investments).
The inputs or methodology used for valuing securities are not an indication of
the risk associated with investing in those securities. The following is a
summary of each Fund's fair value measurements as of April 30, 2010:
INVESTMENT QUALITY (NQM) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-------------------------------------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 813,768,086 $1,233,860 $ 815,001,946
=========================================================================================================================
SELECT QUALITY (NQS) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-------------------------------------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 738,829,593 $ -- $ 738,829,593
=========================================================================================================================
QUALITY INCOME (NQU) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-------------------------------------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $1,209,038,378 $ -- $1,209,038,378
=========================================================================================================================
PREMIER INCOME (NPF) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-------------------------------------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 455,253,445 $ 259,760 $455,513,205
=========================================================================================================================
HIGH INCOME OPPORTUNITY (NMZ) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-------------------------------------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 399,688,635 $4,498,536 $ 404,187,171
Derivatives:
Forward Swaps* -- (1,103,900) -- (1,103,900)
-------------------------------------------------------------------------------------------------------------------------
Total $ -- $ 398,584,735 $4,498,536 $ 403,083,271
=========================================================================================================================
HIGH INCOME OPPORTUNITY 2 (NMD) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-------------------------------------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 221,459,029 $2,327,680 223,786,709
Derivatives:
Forward Swaps* -- (328,600) -- (328,600)
Futures Contracts* (245,589) -- -- (245,589)
-------------------------------------------------------------------------------------------------------------------------
Total $ (245,589) $ 221,130,429 $2,327,680 $ 223,212,520
=========================================================================================================================
* Represents net unrealized appreciation (depreciation).
The following is a reconciliation of the Funds' Level 3 investments held at the
beginning and end of the measurement period:
HIGH HIGH
INVESTMENT PREMIER INCOME INCOME
QUALITY INCOME OPPORTUNITY OPPORTUNITY (2)
(NQM) (NPF) (NMZ) (NMD)
LEVEL 3 LEVEL 3 LEVEL 3 LEVEL 3
MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL
BONDS BONDS BONDS BONDS
-------------------------------------------------------------------------------------------------------------------------
Balance at the beginning of period $ -- $ -- $ -- $ --
Gains (losses):
Net realized gains (losses) -- -- -- --
Net change in unrealized appreciation (depreciation) -- -- -- --
Net purchases at cost (sales at proceeds) -- -- -- --
Net discounts (premiums) -- -- -- --
Net transfers in to (out of) at end of period fair value 1,233,860 259,760 4,498,536 2,327,680
-------------------------------------------------------------------------------------------------------------------------
Balance at the end of period $1,233,860 $ 259,760 $ 4,498,536 $ 2,327,680
=========================================================================================================================
92 Nuveen Investments
"Change in net appreciation (depreciation) of investments" presented on the
Statement of Operations includes net unrealized appreciation (depreciation)
related to securities classified as Level 3 at period end as follows:
HIGH HIGH
INVESTMENT PREMIER INCOME INCOME
QUALITY INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NPF) (NMZ) (NMD)
-------------------------------------------------------------------------------------------------------------------------
Level 3 net appreciation (depreciation) $512,018 $107,720 $(915,844) $(146,590)
=========================================================================================================================
3. DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES
The Funds record derivative instruments at fair value, with changes in fair
value recognized on the Statement of Operations, when applicable. Even though
the Funds' investments in derivatives may represent economic hedges, they are
not considered to be hedge transactions for financial reporting purposes. For
additional information on the derivative instruments in which the Funds were
invested during and at the end of the reporting period, refer to the Portfolio
of Investments, Financial Statements and Footnote 1 - General Information and
Significant Accounting Policies.
The following tables present the fair value of all derivative instruments held
by the Funds as of April 30, 2010, the location of these instruments on the
Statement of Assets and Liabilities, and the primary underlying risk exposure.
HIGH INCOME OPPORTUNITY (NMZ)
LOCATION ON THE STATEMENT OF ASSETS AND LIABILITIES
--------------------------------------------------------------------------------------------------
ASSET DERIVATIVES LIABILITY DERIVATIVES
UNDERLYING DERIVATIVE ---------------------------------------------- -------------------------------------------------
RISK EXPOSURE INSTRUMENT LOCATION VALUE LOCATION VALUE
----------------------------------------------------------------------------------------------------------------------------------
Interest Rate Forward Swaps Unrealized appreciation Unrealized depreciation
on forward swap* $ -- on forward swaps* $1,103,900
==================================================================================================================================
HIGH INCOME OPPORTUNITY 2 (NMD)
LOCATION ON THE STATEMENT OF ASSETS AND LIABILITIES
--------------------------------------------------------------------------------------------------
ASSET DERIVATIVES LIABILITY DERIVATIVES
UNDERLYING DERIVATIVE ---------------------------------------------- -------------------------------------------------
RISK EXPOSURE INSTRUMENT LOCATION VALUE LOCATION VALUE
----------------------------------------------------------------------------------------------------------------------------------
Interest Rate Forward Swaps Unrealized appreciation Unrealized depreciation
on forward swap* $ -- on forward swaps* $ 328,600
----------------------------------------------------------------------------------------------------------------------------------
Interest Rate Futures Deposits with brokers for open -- Deposits with brokers for open 245,589
futures contracts and Receivable for futures contracts and Payable for
variation margin on futures contracts** variation margin on futures contracts**
----------------------------------------------------------------------------------------------------------------------------------
Total $ -- $ 574,189
==================================================================================================================================
* Represents cumulative unrealized appreciation (depreciation) of swap
contracts as reported in the Portfolio of Investments.
** Represents cumulative unrealized appreciation (depreciation) of futures
contracts as reported in the Portfolio of Investments and not the deposits
with brokers, if any, or the receivable or payable for variation margin on
futures contracts presented on the Statement of Assets and Liabilities.
The following tables present the amount of net realized gain (loss) and change
in net unrealized appreciation (depreciation) recognized for the six months
ended April 30, 2010, on derivative instruments, as well as the primary risk
exposure associated with each.
HIGH INCOME HIGH INCOME
OPPORTUNITY OPPORTUNITY 2
NET REALIZED GAIN (LOSS) FROM FORWARD SWAPS (NMZ) (NMD)
----------------------------------------------------------------------------------------------------------------------------------
RISK EXPOSURE
Interest Rate $1,451,429 $1,632,857
==================================================================================================================================
HIGH INCOME
OPPORTUNITY 2
NET REALIZED GAIN (LOSS) FROM FUTURES (NMD)
----------------------------------------------------------------------------------------------------------------------------------
RISK EXPOSURE
Interest Rate $78,636
==================================================================================================================================
HIGH INCOME HIGH INCOME
OPPORTUNITY OPPORTUNITY 2
CHANGE IN NET UNREALIZED APPRECIATION (DEPRECIATION) OF FORWARD SWAPS (NMZ) (NMD)
----------------------------------------------------------------------------------------------------------------------------------
RISK EXPOSURE
Interest Rate $(1,398,700) $(1,653,400)
==================================================================================================================================
Nuveen Investments 93
| Notes to Financial Statements (Unaudited) (continued)
HIGH INCOME
OPPORTUNITY 2
CHANGE IN NET UNREALIZED APPRECIATION (DEPRECIATION) OF FUTURES (NMD)
----------------------------------------------------------------------------------------------------------------------------------
RISK EXPOSURE
Interest Rate $(163,805)
==================================================================================================================================
4. FUND SHARES
Common Shares
Transactions in Common shares were as follows:
INVESTMENT QUALITY (NQM) SELECT QUALITY (NQS) QUALITY INCOME (NQU)
------------------------ ----------------------- ------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
4/30/10 10/31/09 4/30/10 10/31/09 4/30/10 10/31/09
-----------------------------------------------------------------------------------------------------------------------------------
Common shares:
Issued to shareholders due to reinvestment
of distributions -- -- 65,259 12,611 -- --
Repurchased and retired -- -- -- -- -- --
===================================================================================================================================
Weighted average Common share:
Price per share repurchased and retired -- -- -- -- -- --
Discount per share repurchased and retired -- -- -- -- -- --
===================================================================================================================================
HIGH INCOME HIGH INCOME
PREMIER INCOME (NPF) OPPORTUNITY (NMZ) OPPORTUNITY 2 (NMD)
------------------------ ----------------------- -----------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
4/30/10 10/31/09 4/30/10 10/31/09 4/30/10 10/31/09
----------------------------------------------------------------------------------------------------------------------------------
Common shares:
Sold through shelf offering* -- -- 22,501 1,900,000 622,965 --
Issued to shareholders due to reinvestment
of distributions -- -- 23,001 62,054 72,174 174,451
Repurchased and retired -- (15,700) -- -- -- --
----------------------------------------------------------------------------------------------------------------------------------
-- (15,700) 45,502 1,962,054 695,139 174,451
==================================================================================================================================
Weighted average Common share:
Price per share repurchased and retired -- $ 10.51 -- -- -- --
Discount per share repurchased and retired -- 17.21% -- -- -- --
Premium per shelf offering share sold* -- -- 12.31% 11.92% 5.56% --
==================================================================================================================================
* High Income Opportunity (NMZ) and High Income Opportunity 2 (NMD) are the only
Funds authorized to issue additional shares of their Common stock through a
shelf offering.
Auction Rate Preferred Shares
High Income Opportunity 2 (NMD) has not issued ARPS since commencement of
operations on November 15, 2007. Transactions in ARPS were as follows:
INVESTMENT QUALITY (NQM) SELECT QUALITY (NQS)
-------------------------------------- --------------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
4/30/10 10/31/09 4/30/10 10/31/09
--------------------------------------------------------------------------------
SHARES AMOUNT SHARES AMOUNT SHARES AMOUNT SHARES AMOUNT
-----------------------------------------------------------------------------------------------------------------------------------
ARPS redeemed and/or
noticed for redemption:
Series M -- $ -- 156 $ 3,900,000 -- $ -- 117 $ 2,925,000
Series T -- -- 156 3,900,000 -- -- 117 2,925,000
Series W -- -- 156 3,900,000 -- -- 164 4,100,000
Series TH -- -- 126 3,150,000 -- -- 91 2,275,000
Series F -- -- 156 3,900,000 -- -- 163 4,075,000
-----------------------------------------------------------------------------------------------------------------------------------
Total -- $ -- 750 $18,750,000 -- $ -- 652 $16,300,000
===================================================================================================================================
94 Nuveen Investments
QUALITY INCOME (NQU) PREMIER INCOME (NPF)
----------------------------------------- -------------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
4/30/10 10/31/09 4/30/10 10/31/09
---------------------------------------------------------------------------------
SHARES AMOUNT SHARES AMOUNT SHARES AMOUNT SHARES AMOUNT
-----------------------------------------------------------------------------------------------------------------------------------
ARPS redeemed and/or
noticed for redemption:
Series M -- $ -- 196 $ 4,900,000 -- $ -- -- $ --
Series T -- -- 195 4,875,000 -- -- -- --
Series W -- -- 196 4,900,000 -- -- -- --
Series W2 -- -- 136 3,400,000 -- -- -- --
Series TH -- -- 261 6,525,000 -- -- -- --
Series F -- -- 196 4,900,000 -- -- -- --
-----------------------------------------------------------------------------------------------------------------------------------
Total -- $ -- 1 ,180 $29,500,000 -- $ -- -- $ --
===================================================================================================================================
HIGH INCOME OPPORTUNITY (NMZ)
--------------------------------------------
SIX MONTHS
ENDED YEAR ENDED
4/30/10 10/31/09
---------------------------------------------
SHARES AMOUNT SHARES AMOUNT
-----------------------------------------------------------------------------------------------------------------------------------
ARPS redeemed and/or
noticed for redemption:
Series M -- $ -- 864 $21,600,000
Series T -- -- 468 11,700,000
Series W -- -- 468 11,700,000
-----------------------------------------------------------------------------------------------------------------------------------
Total -- $ -- 1,800 $45,000,000
===================================================================================================================================
5. INVESTMENT TRANSACTIONS
Purchases and sales (including maturities but excluding short-term investments
and derivative transactions) during the six months ended April 30, 2010, were as
follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NQS) (NQU) (NPF) (NMZ) (NMD)
----------------------------------------------------------------------------------------------------------------------------------
Purchases $72,639,066 $44,770,084 $84,284,334 $ 8,762,493 $13,588,266 $29,530,361
Sales and maturities 68,800,147 49,463,000 98,327,273 16,256,592 11,593,157 18,913,599
==================================================================================================================================
6. 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
securities reflected as financing transactions, if any. 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.
Nuveen Investments 95
| Notes to Financial Statements (Unaudited) (continued)
At April 30, 2010, the cost and unrealized appreciation (depreciation) of
investments as determined on a federal income tax basis, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NQS) (NQU) (NPF) (NMZ) (NMD)
-----------------------------------------------------------------------------------------------------------------------------------
Cost of investments $698,907,892 $711,144,793 $1,113,392,934 $382,417,540 $403,545,066 $234,495,929
-----------------------------------------------------------------------------------------------------------------------------------
Gross unrealized appreciation $ 45,859,417 $ 34,714,893 $ 68,628,862 $ 26,098,689 $ 31,401,008 $ 11,388,370
Gross unrealized depreciation (22,966,902) (25,570,855) (39,598,976) (13,374,126) (41,059,162) (22,097,590)
-----------------------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation
(depreciation) of investments $ 22,892,515 $ 9,144,038 $ 29,029,886 $ 12,724,563 $ (9,658,154) $(10,709,220)
===================================================================================================================================
The tax components of undistributed net tax-exempt income, net ordinary income
and net long-term capital gains at October 31, 2009, the Funds' last tax year
end, were as follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NQS) (NQU) (NPF) (NMZ) (NMD)
-----------------------------------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income * $7,653,863 $7,736,348 $12,160,734 $3,674,261 $2,380,245 $1,791,876
Undistributed net ordinary income ** 5,782 818 85,425 -- 113,393 60,076
Undistributed net long-term capital gains -- 555,014 -- -- -- --
===================================================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced for
the dividend declared on October 1, 2009, paid on November 2, 2009.
** 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, 2009, was designated for purposes of the dividends paid deduction as
follows:
INVESTMENT SELECT QUALITY PREMIER HIGH INCOME HIGH INCOME
QUALITY QUALITY INCOME INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NQS) (NQU) (NPF) (NMZ) (NMD)
-----------------------------------------------------------------------------------------------------------------------------------
Distributions from net tax-exempt income $28,837,685 $30,740,421 $46,239,909 $15,422,213 $25,228,758 $15,300,039
Distributions from net ordinary income ** 104,651 -- -- -- 1,107,374 --
Distributions from net long-term capital gains 1,470,419 -- -- -- -- --
===================================================================================================================================
** Net ordinary income consists of taxable market discount income and net short-
term capital gains, if any.
At October 31, 2009, the Funds' last tax year end, the following Funds had
unused capital loss carryforwards available for federal income tax purposes to
be applied against future capital gains, if any. If not applied, the
carryforwards will expire as follows:
INVESTMENT QUALITY PREMIER HIGH INCOME HIGH INCOME
QUALITY INCOME INCOME OPPORTUNITY OPPORTUNITY 2
(NQM) (NQU) (NPF) (NMZ) (NMD)
-----------------------------------------------------------------------------------------------------------------------------------
Expiration:
October 31, 2011 $ -- $7,997,041 $ -- $ -- $ --
October 31, 2013 -- -- 156,322 -- --
October 31, 2016 -- -- 3,445,683 12,880,924 4,564,842
October 31, 2017 1,915,769 -- 4,764,079 34,412,364 28,536,506
-----------------------------------------------------------------------------------------------------------------------------------
Total $ 1,915,769 $7,997,041 $8,366,084 $47,293,288 $33,101,348
===================================================================================================================================
96 Nuveen Investments
7. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Each Fund's management fee is separated into two components - a fund-level fee,
based only on the amount of assets within each individual Fund, and a
complex-level fee, based on the aggregate amount of all fund assets managed by
the Adviser. This pricing structure enables each Fund's shareholders to benefit
from growth in the assets within their respective Fund as well as from growth in
the amount of complex-wide assets managed by the Adviser.
The annual fund-level fee for each Fund, payable monthly, is calculated
according to the following schedule:
INVESTMENT QUALITY (NQM)
SELECT QUALITY (NQS)
QUALITY INCOME (NQU)
PREMIER INCOME (NPF)
AVERAGE DAILY NET ASSETS* 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
===============================================================================
HIGH INCOME OPPORTUNITY (NMZ)
HIGH INCOME OPPORTUNITY FUND 2 (NMD)
AVERAGE DAILY NET ASSETS* FUND-LEVEL FEE RATE
-------------------------------------------------------------------------------
For the first $125 million .5500%
For the next $125 million .5375
For the next $250 million .5250
For the next $500 million .5125
For the next $1 billion .5000
For net assets over $2 billion .4750
===============================================================================
The annual complex-level fee for each Fund, payable monthly, is calculated
according to the following schedule:
COMPLEX-LEVEL ASSET BREAKPOINT LEVEL* 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
===============================================================================
* The complex-level fee is calculated based upon the aggregate daily managed
assets of all Nuveen funds, with such daily managed assets defined separately
for each fund in its management agreement, but excluding assets attributable
to investments in other Nuveen funds. For the complex-level and fund-level
fees, daily managed assets include assets managed by the Adviser that are
attributable to financial leverage. For these purposes, financial leverage
includes the funds' use of preferred stock and borrowings and investments in
the residual interest certificates (also called inverse floating rate
securities) in tender option bond (TOB) trusts, including the portion of
assets held by a TOB trust that has been effectively financed by the trust's
issuance of floating rate securities, subject to an agreement by the Adviser
to limit the amount of such assets for determining managed assets in certain
circumstances. As of April 30, 2010, the complex- level fee rate was .1852%.
Nuveen Investments 97
| Notes to Financial Statements (Unaudited) (continued)
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 eight years of High Income Opportunity's (NMZ) operations, the
Adviser has agreed to reimburse the Fund, as a percentage of average daily net
assets for fees and expenses in the amounts, and for the time periods set forth
below:
YEAR ENDING YEAR ENDING
NOVEMBER 30, NOVEMBER 30,
--------------------------------------------------------------------------------
2003* .32% 2009 .24%
2004 .32 2010 .16
2005 .32 2011 .08
2006 .32
2007 .32
2008 .32
================================================================================
* From the commencement of operations.
The Adviser has not agreed to reimburse High Income Opportunity (NMZ) for any
portion of its fees and expenses beyond November 30, 2011.
During the six months ended April 30, 2010, Nuveen Investments, LLC, a
wholly-owned subsidiary of Nuveen, received commissions of $1,781 and $14,644,
related to the sale of Common shares as a result of the High Income Opportunity
(NMZ) and High Income Opportunity 2 (NMD) shelf offerings, respectively.
8. NEW ACCOUNTING STANDARDS
Accounting for Transfers of Financial Assets
During June 2009, the Financial Accounting Standards Board ("FASB") issued
changes to the authoritative guidance under U.S. GAAP on accounting for
transfers of financial assets. The objective of this guidance is to improve the
relevance, representational faithfulness, and comparability of the information
that a reporting entity provides in its financial statements about a transfer of
financial assets; the effects of a transfer on its financial position, financial
performance, and cash flows; and a transferor's continuing involvement, if any,
in transferred financial assets.
This guidance is effective as of the beginning of each reporting entity's first
annual reporting period that begins after November 15, 2009, for interim periods
within that first annual reporting period and for interim and annual reporting
periods thereafter. Earlier application is prohibited. The recognition and
measurement provisions of this guidance must be applied to transfers occurring
on or after the effective date. Additionally, the disclosure provisions of this
guidance should be applied to transfers that occurred both before and after the
effective date of this guidance. At this time, management is evaluating the
implications of this guidance and the impact it will have on the financial
statement amounts and disclosures, if any.
Fair Value Measurements
On January 21, 2010, FASB issued changes to the authoritative guidance under
U.S. GAAP for fair value measurements. The objective of this guidance is to
provide guidance on how investment assets and liabilities are to be valued and
disclosed. Specifically, the amendment requires reporting entities to disclose
i) the input and valuation techniques used to measure fair value for both
recurring and nonrecurring fair value measurements, for both Level 2 and Level 3
positions, ii) transfers between all levels (including Level 1 and Level 2) on a
gross basis (i.e., transfers out must be disclosed separately from transfers in)
as well as the reason(s) for the transfer and iii) purchases, sales, issuances
and settlements in the Level 3 rollforward must be shown on a gross basis rather
than as one net number. The effective date of the amendment is for interim and
annual periods beginning after December 15, 2009, however, the requirement to
provide the Level 3 activity for purchases, sales, issuances and settlements on
a gross basis will be effective for interim and annual periods beginning after
December 15, 2010. At this time, management is evaluating the implications of
this guidance and the impact it will have to the financial statement amounts and
footnote disclosures, if any.
98 Nuveen Investments
9. BORROWINGS
During January 2008, credit issues associated with sub-prime mortgages and
municipal bond insurers caused High Income Opportunity 2 (NMD) to postpone its
ARPS offering, and subsequent failed auctions of the ARPS issued by other
closed-end funds have postponed the issuance of the Fund's ARPS indefinitely.
Management determined that leveraging the Fund with debt as a replacement for
the ARPS continued to benefit the Fund's shareholders. As a result, the Fund
entered into a $50 million senior committed secured 364-day revolving line of
credit with its custodian bank. During the fiscal year ended October 31, 2009,
the Fund extended the maturity date of its line of credit to July 29, 2010.
Amounts drawn on the line of credit are recognized as "Borrowings" on the
Statement of Assets and Liabilities.
During the six months ended April 30, 2010, the average daily balance
outstanding on the line of credit and average annual interest rate were
$35,000,000 and 1.48%, respectively. Interest on the line of credit is
calculated at a rate per annum of the Federal Funds Rate plus .75%. Interest
expense incurred on the line of credit is recognized as a component of "Interest
expense" on the Statement of Operations. In addition to interest expense, the
Fund accrued a commitment fee of .15% per annum on the unused portion of the
line of credit which is recognized as a component of "Other expenses" on the
Statement of Operations.
Nuveen Investments 99
| FInancial
| HIghlights (Unaudited)
Selected data for a Common share outstanding throughout each period:
INVESTMENT OPERATIONS LESS DISTRIBUTIONS
-------------------------------------------------------------- ----------------------------
DISTRIBUTIONS DISTRIBUTIONS
FROM NET FROM NET
BEGINNING INVESTMENT CAPITAL INVESTMENT CAPITAL
COMMON NET INCOME TO GAINS TO INCOME TO GAINS TO
SHARE NET REALIZED/ AUCTION RATE AUCTION RATE COMMON COMMON
NET ASSET INVESTMENT UNREALIZED PREFERRED PREFERRED SHARE- SHARE-
VALUE INCOME GAIN (LOSS) SHAREHOLDERS+ SHAREHOLDERS+ TOTAL HOLDERS HOLDERS TOTAL
---------------------------------------------------------------------------------------------------------------------------
INVESTMENT QUALITY (NQM)
---------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(d) $ 14.26 $ .52 $ .37 $ (.01) $ -- $ .88 $ (.45) $ -- $ (.45)
2009 12.18 1.02 1.91 (.04) (.01) 2.88 (.77) (.03) (.80)
2008 15.03 1.01 (2.80) (.29) -- (2.08) (.77) -- (.77)
2007 15.71 1.02 (.60) (.30) -- .12 (.80) -- (.80)
2006 15.49 1.05 .42 (.24) (.03) 1.20 (.84) (.14) (.98)
2005 16.06 1.05 (.39) (.16) (.01) .49 (.96) (.10) (1.06)
SELECT QUALITY NQS)
---------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(d) 14.14 .57 .27 (.01) --** .83 (.49) (.02) (.51)
2009 12.01 1.12 1.92 (.06) -- 2.98 (.85) -- (.85)
2008 15.05 1.08 (3.02) (.30) -- (2.24) (.80) -- (.80)
2007 15.62 1.07 (.52) (.29) -- .26 (.83) -- (.83)
2006 15.46 1.07 .23 (.26) -- 1.04 (.88) -- (.88)
2005 15.69 1.06 (.16) (.16) -- .74 (.97) -- (.97)
===========================================================================================================================
DISCOUNT
FROM
COMMON
SHARES ENDING
REPUR- COMMON
CHASED SHARE ENDING
AND NET ASSET MARKET
RETIRED VALUE VALUE
----------------------------------------------------
INVESTMENT QUALITY (NQM)
----------------------------------------------------
Year Ended 10/31:
2010(d) $ -- $ 14.69 $ 14.21
2009 -- 14.26 13.13
2008 -- 12.18 10.64
2007 -- 15.03 13.88
2006 -- 15.71 15.60
2005 -- 15.49 14.45
SELECT QUALITY NQS)
----------------------------------------------------
Year Ended 10/31:
2010(d) -- 14.46 14.69
2009 -- 14.14 13.77
2008 -- 12.01 10.99
2007 -- 15.05 15.00
2006 -- 15.62 15.47
2005 -- 15.46 14.83
====================================================
AUCTION RATE PREFERRED SHARES
AT END OF PERIOD
-----------------------------------
AGGREGATE LIQUIDATION
AMOUNT AND MARKET ASSET
OUTSTANDING VALUE COVERAGE
(000) PER SHARE PER SHARE
-----------------------------------------------------------------------------
INVESTMENT QUALITY (NQM)
-----------------------------------------------------------------------------
Year Ended 10/31:
2010(d) $ 210,700 $ 25,000 $ 87,434
2009 210,700 25,000 85,621
2008 229,450 25,000 72,545
2007 301,000 25,000 69,706
2006 301,000 25,000 71,634
2005 301,000 25,000 71,001
SELECT QUALITY NQS)
-----------------------------------------------------------------------------
Year Ended 10/31:
2010(d) 251,275 25,000 74,047
2009 251,275 25,000 72,879
2008 267,575 25,000 63,171
2007 279,000 25,000 70,849
2006 279,000 25,000 72,491
2005 279,000 25,000 71,953
=============================================================================
100 Nuveen Investments
RATIOS/SUPPLEMENTAL DATA
---------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
TOTAL RETURNS APPLICABLE TO COMMON SHARES++(b)
-------------------- -----------------------------------
BASED ENDING
ON NET
BASED COMMON ASSETS
ON SHARE NET APPLICABLE EXPENSES EXPENSES NET PORTFOLIO
MARKET ASSET TO COMMON INCLUDING EXCLUDING INVESTMENT TURNOVER
VALUE(a) VALUE(a) SHARES (000) INTEREST(c) INTEREST INCOME RATE
------------------------------------------------------------------------------------------------------
11.76% 6.22% $ 526,191 1.26%* 1.14%* 7.26%* 9%
31.77 24.35 510,910 1.34 1.17 7.66 8
(18.72) (14.43) 436,370 1.46 1.20 7.07 9
(6.17) .82 538,266 1.35 1.19 6.67 11
15.33 8.09 561,471 1.20 1.20 6.79 10
1.17 3.10 553,857 1.20 1.20 6.59 22
------------------------------------------------------------------------------------------------------
10.47 5.91 492,967 1.20* 1.17* 8.05* 6
34.19 25.67 481,233 1.29 1.25 8.66 8
(22.19) (15.50) 408,541 1.27 1.22 7.54 10
2.31 1.70 511,670 1.21 1.18 6.95 8
10.47 6.94 529,996 1.18 1.18 6.91 5
4.14 4.77 523,994 1.18 1.18 6.76 4
======================================================================================================
* Annualized.
** Rounds to less than $.01 per share.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Auction Rate
Preferred shareholders; Net Investment Income ratios reflect income earned
and expenses incurred on assets attributable to Auction Rate Preferred
shares.
(a) Total Return Based 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 Based 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.
(b) Expense ratios do not reflect the reduction of custodian fee credits
earned on the Fund's net cash on deposit with the custodian bank, were
applicable.
(c) The expense ratios reflect, among other things, the interest expense
deemed to have been paid by the Fund on the floating rate certificates
issued by the special purpose trusts for the self-deposited inverse
floaters held by the Fund, as described in Footnote 1 - Inverse Floating
Rate Securities.
(d) For the six months ended April 30, 2010.
See accompanying notes to financial statements.
Nuveen Investments 101
| Financial
| Highlights (Unaudited) (continued)
Selected data for a Common share outstanding throughout each period:
INVESTMENT OPERATIONS LESS DISTRIBUTIONS
--------------------------------------------------------------- ----------------------------
DISTRIBUTIONS DISTRIBUTIONS
FROM NET FROM NET
BEGINNING INVESTMENT CAPITAL INVESTMENT CAPITAL
COMMON NET INCOME TO GAINS TO INCOME TO GAINS TO
SHARE NET REALIZED/ AUCTION RATE AUCTION RATE COMMON COMMON
NET ASSET INVESTMENT UNREALIZED PREFERRED PREFERRED SHARE- SHARE-
VALUE INCOME GAIN (LOSS) SHAREHOLDERS+ SHAREHOLDERS+ TOTAL HOLDERS HOLDERS TOTAL
---------------------------------------------------------------------------------------------------------------------------------
QUALITY INCOME (NQU)
---------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(d) $ 14.29 $ .52 $ .24 $ (.01) $ -- $ .75 $ (.45) $ -- $ (.45)
2009 12.68 1.05 1.42 (.06) -- 2.41 (.80) -- (.80)
2008 14.94 1.03 (2.26) (.30) -- (1.53) (.73) -- (.73)
2007 15.49 1.01 (.51) (.30) -- .20 (.75) -- (.75)
2006 15.26 1.01 .30 (.26) -- 1.05 (.82) -- (.82)
2005 15.54 1.02 (.22) (.16) -- .64 (.92) -- (.92)
PREMIER INCOME (NPF)
---------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(d) 13.86 .49 .40 (.01) -- .88 (.42) -- (.42)
2009 11.68 .96 2.00 (.05) -- 2.91 (.73) -- (.73)
2008 14.79 .94 (3.09) (.28) -- (2.43) (.68) -- (.68)
2007 15.39 .95 (.59) (.29) -- .07 (.67) -- (.67)
2006 14.90 .94 .51 (.26) -- 1.19 (.70) -- (.70)
2005 15.53 .94 (.39) (.16) (.01) .38 (.88) (.13) (1.01)
=================================================================================================================================
DISCOUNT
FROM
COMMON
SHARES ENDING
REPUR- COMMON
CHASED SHARE ENDING
AND NET ASSET MARKET
RETIRED VALUE VALUE
----------------------------------------------------------
QUALITY INCOME (NQU)
----------------------------------------------------------
Year Ended 10/31:
2010(d) $ -- $ 14.59 $ 14.38
2009 -- 14.29 13.26
2008 -- 12.68 11.67
2007 -- 14.94 13.64
2006 -- 15.49 14.73
2005 -- 15.26 14.34
PREMIER INCOME (NPF)
----------------------------------------------------------
Year Ended 10/31:
2010(d) -- 14.32 13.49
2009 --** 13.86 12.40
2008 --** 11.68 10.07
2007 --** 14.79 13.30
2006 -- 15.39 13.65
2005 -- 14.90 13.57
==========================================================
AUCTION RATE PREFERRED SHARES
AT END OF PERIOD
------------------------------------
AGGREGATE LIQUIDATION
AMOUNT AND MARKET ASSET
OUTSTANDING VALUE COVERAGE
(000) PER SHARE PER SHARE
------------------------------------------------------------------
QUALITY INCOME (NQU)
------------------------------------------------------------------
Year Ended 10/31:
2010(d) $ 386,875 $ 25,000 $ 76,119
2009 386,875 25,000 75,080
2008 416,375 25,000 66,284
2007 452,000 25,000 69,806
2006 452,000 25,000 71,446
2005 452,000 25,000 70,745
PREMIER INCOME (NPF)
------------------------------------------------------------------
Year Ended 10/31:
2010(d) 126,850 25,000 81,125
2009 126,850 25,000 79,330
2008 126,850 25,000 70,825
2007 165,000 25,000 69,603
2006 165,000 25,000 71,839
2005 165,000 25,000 70,367
==================================================================
102 Nuveen Investments
RATIOS/SUPPLEMENTAL DATA
-----------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
TOTAL RETURNS APPLICABLE TO COMMON SHARES++(b)
------------------------ ------------------------------------
BASED ENDING
ON NET
BASED COMMON ASSETS
ON SHARE NET APPLICABLE EXPENSES EXPENSES NET PORTFOLIO
MARKET ASSET TO COMMON INCLUDING EXCLUDING INVESTMENT TURNOVER
VALUE(a) VALUE(a) SHARES (000) INTEREST(c) INTEREST INCOME RATE
----------------------------------------------------------------------------------------------------
12.01% 5.36% $ 791,066 1.21%* 1.15%* 7.35%* 7%
21.10 19.58 774,982 1.28 1.20 7.80 8
(9.55) (10.67) 687,593 1.38 1.19 7.15 9
(2.54) 1.31 810,086 1.38 1.17 6.65 5
8.55 7.07 839,751 1.18 1.18 6.62 11
4.78 4.15 827,077 1.18 1.18 6.57 6
----------------------------------------------------------------------------------------------------
12.28 6.40 284,781 1.30* 1.19* 7.02* 2
31.11 25.53 275,671 1.43 1.21 7.47 7
(19.97) (17.03) 232,517 1.78 1.23 6.74 7
2.28 .48 294,378 1.84 1.20 6.30 10
5.93 8.20 309,140 1.24 1.24 6.27 35
1.05 2.49 299,423 1.23 1.23 6.16 20
====================================================================================================
* Annualized.
** Rounds to less than $.01 per share.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Auction Rate
Preferred shareholders; Net Investment Income ratios reflect income earned
and expenses incurred on assets attributable to Auction Rate Preferred
shares.
(a) Total Return Based 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 Based 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.
(b) Expense ratios do not reflect the reduction of custodian fee credits
earned on the Fund's net cash on deposit with the custodian bank, were
applicable.
(c) The expense ratios reflect, among other things, the interest expense
deemed to have been paid by the Fund on the floating rate certificates
issued by the special purpose trusts for the self-deposited inverse
floaters held by the Fund, as described in Footnote 1 - Inverse Floating
Rate Securities.
(d) For the six months ended April 30, 2010.
See accompanying notes to financial statements.
Nuveen Investments 103
| Financial Highlights (Unaudited) (continued)
Selected data for a Common share outstanding throughout each period:
INVESTMENT OPERATIONS LESS DISTRIBUTIONS
----------------------------------------------------------- -------------------------------
DISTRIBUTIONS DISTRIBUTIONS
FROM NET FROM NET
BEGINNING INVESTMENT CAPITAL INVESTMENT CAPITAL
COMMON NET INCOME TO GAINS TO INCOME TO GAINS TO
SHARE NET REALIZED/ AUCTION RATE AUCTION RATE COMMON COMMON
NET ASSET INVESTMENT UNREALIZED PREFERRED PREFERRED SHARE- SHARE-
VALUE INCOME GAIN (LOSS) SHAREHOLDERS+ SHAREHOLDERS+ TOTAL HOLDERS HOLDERS TOTAL
----------------------------------------------------------------------------------------------------------------------------
HIGH INCOME OPPORTUNITY (NMZ)
----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(e) $11.18 $ .52 $ .58 $(.01) $ -- $1.09 $ (.51) $ -- $ (.51)
2009 9.63 1.06 1.57 (.04) -- 2.59 (1.04) -- (1.04)
2008 15.36 1.29 (5.70) (.23) (.02) (4.66) (.98) (.09) (1.07)
2007 16.00 1.23 (.65) (.24) --** .34 (.98) --** (.98)
2006 15.36 1.21 .65 (.19) -- 1.67 (1.04) -- (1.04)
2005 14.87 1.22 .54 (.13) (.01) 1.62 (1.07) (.06) (1.13)
HIGH INCOME OPPORTUNITY 2 (NMD)
----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(e) 10.88 .45 .69 -- -- 1.14 (.48) -- (.48)
2009 9.13 .92 1.79 -- -- 2.71 (.96) -- (.96)
2008(f) 14.33 .89 (5.27) -- -- (4.38) (.79) -- (.79)
============================================================================================================================
DISCOUNT
FROM OFFERING
COMMON COSTS AND
SHARES AUCTION RATE ENDING
REPUR- PREFERRED COMMON
CHASED SHARE SHARE ENDING
AND UNDERWRITING NET ASSET MARKET
RETIRED DISCOUNTS VALUE VALUE
-------------------------------------------------------------------
HIGH INCOME OPPORTUNITY (NMZ)
-------------------------------------------------------------------
YEAR ENDED 10/31:
2010(e) $-- $ --** $11.76 $13.18
2009 -- --** 11.18 11.92
2008 -- --** 9.63 11.02
2007 -- -- 15.36 15.82
2006 -- .01 16.00 17.25
2005 -- -- 15.36 15.99
HIGH INCOME OPPORTUNITY 2 (NMD)
-------------------------------------------------------------------
Year Ended 10/31:
2010(e) -- --** 11.54 12.68
2009 -- -- 10.88 11.39
2008(f) -- (.03) 9.13 10.04
===================================================================
AUCTION RATE PREFERRED SHARES
AT END OF PERIOD BORROWINGS 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
-------------------------------------------------------------------------------------------------
HIGH INCOME OPPORTUNITY (NMZ)
-------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(e) $ 95,000 $25,000 $105,153 $ -- $ --
2009 95,000 25,000 101,043 -- --
2008 155,000 25,000 62,117 -- --
2007 155,000 25,000 83,304 -- --
2006 155,000 25,000 85,113 -- --
2005 155,000 25,000 82,585 -- --
HIGH INCOME OPPORTUNITY 2 (NMD)
-------------------------------------------------------------------------------------------------
Year Ended 10/31:
2010(e) -- -- -- 35,000 6,512
2009 -- -- -- 35,000 5,982
2008(f) -- -- -- 40,000 4,619
=================================================================================================
104 Nuveen Investments
RATIOS/SUPPLEMENTAL DATA
-----------------------------------------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS RATIOS TO AVERAGE NET ASSETS
APPLICABLE TO COMMON SHARES APPLICABLE TO COMMON SHARES
TOTAL RETURNS BEFORE REIMBURSEMENT++ AFTER REIMBURSEMENT++(b)
-------------------- ---------------------------------------- ----------------------------------------
BASED ENDING
ON NET
BASED COMMON ASSETS
ON SHARE NET APPLICABLE EXPENSES EXPENSES NET EXPENSES EXPENSES NET PORTFOLIO
MARKET ASSET TO COMMON INCLUDING EXCLUDING INVESTMENT INCLUDING EXCLUDING INVESTMENT TURNOVER
VALUE(a) VALUE(a) SHARES (000) INTEREST(c)(d) INTEREST INCOME(d) INTEREST(c)(d) INTEREST INCOME(d) RATE
-----------------------------------------------------------------------------------------------------------------------------------
15.25% 9.90% $ 304,581 1.16%* 1.14%* 9.00%* .93%* .91%* 9.23%* 3%
20.00 30.90 288,963 1.53 1.50 10.88 1.17 1.14 11.24 28
(24.77) (32.63) 230,123 1.56 1.36 8.95 1.08 .88 9.43 23
(2.68) 2.14 361,484 1.50 1.28 7.31 1.05 .83 7.76 12
14.79 11.34 372,700 1.21 1.21 7.31 .75 .75 7.77 9
14.35 11.20 357,025 1.20 1.20 7.54 .74 .74 8.00 6
-----------------------------------------------------------------------------------------------------------------------------------
16.11 10.72 192,931 1.50* 1.21* 8.17* 1.50* 1.21* 8.17* 9
25.45 32.43 174,353 1.50 1.24 10.07 1.50 1.24 10.07 45
(28.82) (32.15) 144,745 1.19* .89* 6.69* .82* .52* 7.06* 22
===================================================================================================================================
* Annualized.
** Rounds to less than $.01 per share.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Auction Rate
Preferred shareholders; Net Investment Income ratios reflect income earned
and expenses incurred on assets attributable to Auction Rate Preferred
shares and/or Borrowings, where applicable.
(a) Total Return Based 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 Based 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.
(b) After expense reimbursement from the Advisor, where applicable. Expense
ratios do not reflect the reduction of custodian fee credits earned on the
Fund's net cash on deposit with the custodian bank, were applicable. As of
August 31, 2008, the Adviser is no longer reimbursing High Income
Opportunity 2 (NMD) for any fees and expenses.
(c) The expense ratios reflect, among other things, the interest expense deemed
to have been paid by the Fund on the floating rate certificates issued by
the special purpose trusts for the self-deposited inverse floaters held by
the Fund, as described in Footnote 1 - Inverse Floating Rate Securities.
(d) Each Ratio of Expenses Including Interest and Net Investment Income to
Average Net Assets Applicable to Common Shares for High Income Opportunity 2
(NMD) includes the effect of the interest expense paid on Fund borrowings,
as described in Footnote 9 - Borrowings as follows:
Ratios of Borrowings Interest Expense to
Average Net Assets Applicable to Common Shares
--------------------------------------------------------------------------------
HIGH INCOME OPPORTUNITY 2 (NMD)
--------------------------------------------------------------------------------
Year Ended 10/31:
2010(d) .28%*
2009 .26
2008(f) .30*
================================================================================
(e) For the six months ended April 30, 2010.
(f) For the period November 15, 2007 (commencement of operations) through
October 31, 2008.
See accompanying notes to financial statements.
Nuveen Investments 105
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
106 Nuveen Investments
per share may exceed the market price at the time of valuation, resulting in the
acquisition of fewer shares than if the dividend or distribution had been paid
in shares issued by the Fund. A pro rata portion of any applicable brokerage
commissions on open market purchases will be paid by Plan participants. These
commissions usually will be lower than those charged on individual transactions.
FLEXIBLE
You may change your distribution option or withdraw from the Plan at any time,
should your needs or situation change. Should you withdraw, you can receive a
certificate for all whole shares credited to your reinvestment account and cash
payment for fractional shares, or cash payment for all reinvestment account
shares, less brokerage commissions and a $2.50 service fee.
You can reinvest whether your shares are registered in your name, or in the name
of a brokerage firm, bank, or other nominee. Ask your investment advisor if his
or her firm will participate on your behalf. Participants whose shares are
registered in the name of one firm may not be able to transfer the shares to
another firm and continue to participate in the Plan.
The Fund reserves the right to amend or terminate the Plan at any time. Although
the Fund reserves the right to amend the Plan to include a service charge
payable by the participants, there is no direct service charge to participants
in the Plan at this time.
CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in
or withdraw from the Plan, speak with your financial advisor or call us at (800)
257-8787.
Nuveen Investments 107
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, also known as inverse
floaters, 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.
108 Nuveen Investments
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 NAV per share is calculated by subtracting
the liabilities of 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 PRE-REFUNDING: Pre-refunding, also known as advanced refundings or
refinancings, is a procedure used by state and local governments to
refinance municipal bonds to lower interest expenses. The issuer sells new
bonds with a lower yield and uses the proceeds to buy U.S. Treasury
securities, the interest from which is used to make payments on the
higher-yielding bonds. Because of this collateral, pre-refunding generally
raises a bond's credit rating and thus its value.
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.
Nuveen Investments 109
Notes
110 Nuveen Investments
Notes
Nuveen Investments 111
Notes
112 Nuveen Investments
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, 2009, 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 SEC the certification of its Chief Executive
Officer and Chief Financial Officer required by Section 302 of the
Sarbanes-Oxley Act.
COMMON AND PREFERRED SHARE INFORMATION
Each Fund intends to repurchase and/or redeem shares of its own common and/or
preferred stock in the future at such times and in such amounts as is deemed
advisable. During the period covered by this report, the Funds repurchased
and/or redeemed shares of their common and/or preferred stock as shown in the
accompanying table.
BOARD OF DIRECTORS/TRUSTEES
John P. Amboian
Robert P. Bremner
Jack B. Evans
William C. Hunter
David J. Kundert
William J. Schneider
Judith M. Stockdale
Carole E. Stone
Terence J. Toth
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
AUCTION RATE
COMMON PREFERRED
SHARES SHARES
FUND REPURCHASED REDEEMED
NQM -- --
NQS -- --
NQU -- --
NPF -- --
NMZ -- --
NMD -- --
Any future repurchases and/or redemptions will be reported to shareholders in
the next annual or semi-annual report.
Nuveen Investments 113
Nuveen Investments:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions through continued
adherence to proven, longterm investing principles. Today, we offer a range of
high quality equity and fixed-income solutions designed to be integral
components of a well-diversified core portfolio.
FOCUSED ON MEETING INVESTOR NEEDS.
Nuveen Investments is a global investment management firm that seeks to help
secure the long-term goals of institutions and high net worth investors as well
as the consultants and financial advisors who serve them. We market our growing
range of specialized investment solutions under the high-quality brands of
HydePark, NWQ, Nuveen, Santa Barbara, Symphony, Tradewinds and Winslow Capital.
In total, Nuveen Investments managed approximately $150 billion of assets on
March 31, 2010.
FIND OUT HOW WE CAN HELP YOU.
To learn more about how the products and services of Nuveen Investments may be
able to help you meet your financial goals, talk to your financial advisor, or
call us at (800) 257-8787. Please read the information provided carefully before
you invest.
Investors should consider the investment objective and policies, risk
considerations, charges and expenses of any investment carefully. Where
applicable, be sure to obtain a prospectus, which contains this and other
relevant information. To obtain a prospectus, please contact your securities
representative or NUVEEN 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/CEF
o Share prices
o Fund details
o Daily financial news
o Investor education
o Interactive planning tools
Distributed by
Nuveen Investments, LLC
333 West Wacker Drive
Chicago, IL 60606
www.nuveen.com
ESA-C-0410D
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.
(a) See Portfolio of Investments in Item 1.
(b) Not applicable.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this 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 of Directors or Trustees
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 High Income Opportunity Fund
-----------------------------------------------------------
By (Signature and Title) /s/ Kevin J. McCarthy
----------------------------------------------
Kevin J. McCarthy
(Vice President and Secretary)
Date: July 8, 2010
-------------------------------------------------------------------
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 8, 2010
-------------------------------------------------------------------
By (Signature and Title) /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(principal financial officer)
Date: July 8, 2010
-------------------------------------------------------------------