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 811-6623
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Nuveen California Select Tax-Free Income Portfolio
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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: March 31
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Date of reporting period: September 30, 2009
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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 September 30, 2009
----------------------- ------------------------- ------------------------
NUVEEN SELECT NUVEEN SELECT NUVEEN SELECT
TAX-FREE INCOME TAX-FREE INCOME TAX-FREE INCOME
PORTFOLIO PORTFOLIO 2 PORTFOLIO 3
NXP NXQ NXR
----------------------- -------------------------
NUVEEN CALIFORNIA NUVEEN NEW YORK
SELECT TAX-FREE SELECT TAX-FREE
INCOME PORTFOLIO INCOME PORTFOLIO
NXC NXN
SEPTEMBER 09
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LOGO: NUVEEN INVESTMENTS
[PHOTO OF ROBERT P. BREMNER]
Chairman's
Letter to Shareholders
DEAR SHAREHOLDER,
The financial markets in which your Fund operates continue to reflect the larger
economic crosscurrents. The illiquidity that infected global credit markets over
the last year appears to be slowly but steadily receding. The major institutions
that are the linchpin of the international financial system are strengthening
their capital structures, but many still struggle with losses in their various
portfolios. There are encouraging signs of recovery in European and Asian
economies, while the U.S. economy continues to feel the impact of job losses and
an over-borrowed consumer. Global trends include modestly increasing trade and
increased concern about the ability of the U.S. government to address its
substantial budgetary deficits. Identifying those developments that will define
the future is never easy, but rarely is it more difficult than at present.
After considerable volatility in the first few months of 2009, both the
fixed-income and equity markets have seen a partial recovery. A fundamental
component of a successful long-term investment program is a commitment to remain
invested during market downturns in order to be better positioned to benefit
from any recovery. Another component is to re-evaluate investment disciplines
and tactics and to confirm their validity following periods of extreme
volatility and market dislocation, such as we have recently experienced. Your
Board carried out an intensive review of investment performance with these
objectives in mind during April and May of this year as part of the annual
management contract renewal process. I encourage you to read the description of
this process in the Annual Investment Management Agreement Approval Process
section of this report.
Remaining invested through market downturns and reconfirming the appropriateness
of a long term investment strategy is as important for our shareholders as it is
for professional investment managers. For that reason, I again encourage you to
remain in communication with your financial consultant on these subjects. For
recent developments on all your Nuveen Funds, please visit the Nuveen web site:
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
November 24, 2009
Nuveen Investments 1
Portfolio Managers' Comments
Nuveen Select Tax-Free Income Portfolio (NXP)
Nuveen Select Tax-Free Income Portfolio 2 (NXQ)
Nuveen Select Tax-Free Income Portfolio 3 (NXR)
Nuveen California Select Tax-Free Income Portfolio (NXC)
Nuveen New York Select Tax-Free Income Portfolio (NXN)
Portfolio managers Tom Spalding, Scott Romans and Cathryn Steeves review key
investment strategies and the six-month performance of the Nuveen Select
Portfolios. With 34 years of investment experience, Tom has managed the three
national Portfolios since 1999. Scott, who joined Nuveen in 2000, has managed
NXC since 2003, while Cathryn, who has been with Nuveen since 1996, assumed
portfolio management responsibility for NXN in 2006.
WHAT KEY STRATEGIES WERE USED TO MANAGE THE NUVEEN SELECT PORTFOLIOS DURING THE
SIX-MONTH REPORTING PERIOD ENDED SEPTEMBER 30, 2009?
During this reporting period, municipal bond prices generally rose, as strong
cash flows into municipal bond funds combined with tighter supply of new
tax-exempt issuance to provide favorable supply and demand conditions.
Given the restricted supply during the period, investment activity in the Select
Portfolios was more limited than usual. One reason for the supply reduction was
the introduction of the Build America Bond program. Build America Bonds are a
new class of taxable municipal debt created as part of the February 2009
economic stimulus package. These bonds offer municipal issuers a federal subsidy
equal to 35% of the security's interest payments, and therefore offer issuers an
attractive alternative to traditional tax-exempt debt. As of September 30, 2009,
approximately 20% of new bonds issued in the municipal market were issued as
taxable Build America Bonds totaling more than $33 billion. Since interest
payments from these bonds represent taxable income, we do not see them as a good
investment opportunity for the Select Portfolios. Another factor dampening
trading activity during this period was the limited liquidity of many insured
bonds due to concerns about the financial health of municipal bond insurers.
Overall, we continued to focus on relative value by taking a bottom-up approach
to discover undervalued sectors and individual credits with the potential to
perform well over the long term. In selected cases, we were able to take
advantage of opportunities to purchase lower-rated and non-rated securities that
we believed offered value at very attractive prices. In the national Portfolios,
we also found some opportunities to add essential services credits, including
bonds in the health care sector, where supply was more plentiful due to the fact
that hospitals generally do not qualify for the Build America Bond program and
therefore must continue to issue bonds in the tax-exempt municipal market. In
general, our focus in
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
NXP, NXQ, and NXR was on bonds rated AA or A that could help to extend the
durations of these Portfolios.
Cash for new purchases during this period was generated by maturing or called
bonds. As with our investment activity, we were not active in trying to sell
portfolio holdings in a market environment where the majority of the bonds
available for reinvestment offered lower yields at higher dollar prices. NXN
also continued to maintain its cash reserves, which we had increased amid the
market uncertainty of the previous reporting period, in anticipation of
increased issuance during the last part of 2009.
We continued to use inverse floating rate securities(1) in all five of the
Select Portfolios. We employ inverse floaters as part of our management
strategies for a variety of reasons, including duration management, income
enhancement, and as a form of financial leverage. As of September 30, 2009, the
inverse floaters remained in place in all of the Portfolios.
HOW DID THE PORTFOLIOS PERFORM?
Individual results for the Nuveen Select Portfolios, as well as for relevant
indexes and peer groups, are presented in the accompanying table.
AVERAGE ANNUAL TOTAL RETURNS ON NET ASSET VALUE*
FOR PERIODS ENDED 9/30/09
SIX-MONTH 1-YEAR 5-YEAR 10-YEAR
-------------------------------------------------------------------------------------------------
NATIONAL PORTFOLIOS
NXP 8.73% 11.11% 4.32% 5.00%
NXQ 10.94% 10.48% 3.63% 4.42%
NXR 8.86% 12.19% 4.62% 4.98%
Standard & Poor's (S&P) National Municipal Bond Index(2) 10.95% 14.42% 4.70% 5.74%
Barclays Capital Municipal Bond Index(3) 9.38% 14.85% 4.78% 5.77%
Lipper General and Insured Unleveraged
Municipal Debt Funds Average(4) 13.14% 12.68% 4.13% 4.87%
CALIFORNIA PORTFOLIO
NXC 11.05% 12.96% 4.38% 4.93%
Standard & Poor's (S&P) California Municipal Bond Index(2) 11.81% 13.92% 4.65% 5.67%
Lipper California Municipal Debt Funds Average(4) 23.08% 17.96% 4.18% 6.07%
NEW YORK PORTFOLIO
NXN 8.82% 13.25% 4.42% 4.89%
Standard & Poor's (S&P) New York Municipal Bond Index(2) 10.14% 14.63% 4.89% 5.84%
Lipper New York Municipal Debt Funds Average(4) 20.33% 17.47% 4.03% 6.29%
For the six months ended September 30, 2009, the cumulative return on net asset
value for NXQ performed in line with the Standard & Poor's (S&P) National
Municipal Bond Index and outperformed the national Barclays Capital Municipal
Bond Index, while NXP and NXR lagged the returns on these two national indexes.
For this same period, NXC and NXN underperformed the returns on the S&P
California Municipal Bond Index and the S&P New York Municipal Bond Index,
respectively. All of the Portfolios underperformed the average returns for their
respective Lipper peer groups for this period.
* Six-month returns are cumulative; returns for one-year, five-year and
ten-year are annualized.
Past performance is not predictive of future results. Current performance
may be higher or lower than the data shown. Returns do not reflect the
deduction of taxes that shareholders may have to pay on Fund distributions
or upon the sale of Fund shares.
For additional information, see the individual Performance Overview for
your Portfolio 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
Portfolios 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) 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. The S&P
Municipal Bond Indexes for California and New York are also unlever-aged
and market value-weighted and comprise a broad range of investment-grade
municipal bonds issued in California and New York, respectively. These
indexes do not reflect any initial or ongoing expenses and are not
available for direct investment.
(3) The Barclays Capital (formerly Lehman Brothers) Municipal Bond Index is an
unleveraged, unmanaged national index containing a broad range of
investment-grade municipal bonds. Results for the Barclays Capital index
do not reflect any expenses, and the index is not available for direct
investment.
(4) Each of the Lipper Municipal Debt Funds Averages shown in this report is
calculated using the returns of all closed-end funds in their respective
categories for each period as follows: Lipper General and Insured
Unleveraged category, six-months, 8 funds; 1-year, 8 funds; 5-year, 7
funds; and 10-year, 7 funds; Lipper California Municipal Debt Funds
Average, a category comprised of all California leveraged funds,
six-months, 24 funds; 1-year, 24 funds; five year, 23 funds; and 10-year,
12 funds; and Lipper New York Municipal Debt Funds Average, a category
comprised of all New York leveraged funds, six-months, 17; 1-year, 17
funds; 5-year, 16 funds; and 10-year, 6 funds. Portfolio and Lipper
returns assume reinvestment of dividends.
Nuveen Investments 3
Key management factors that influenced the Portfolios' returns during this
period included yield curve and duration positioning, credit exposure and sector
allocation.
During this period, we saw yields on tax-exempt bonds decline and bond
valuations in general increase, especially at the longer end of the municipal
yield curve. Bonds in the Barclays Capital Municipal Bond Index with maturities
longer than 15 years, particularly those with the longest maturities (22 years
and longer), benefited the most from this interest rate environment. These bonds
generally outperformed credits with shorter maturities, with bonds maturing in
one to two years posting the weakest returns for the period. Among the three
national Portfolios, NXQ benefited from having the longest durations, while the
performances of NXP and NXR were hampered by their greater exposure to the
shorter end of the yield curve. Overall, the net impact of duration and yield
curve positioning on performance was slightly negative in NXC and neutral in
NXN.
While duration played an important role in performance during this six months,
credit exposure was also a significant factor, especially in NXQ, NXC, and NXN.
As noted earlier, demand for municipal bonds increased among both institutional
and individual investors during this period. This increase was 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 municipal paper declined. As investors bid
up municipal bond prices, bonds rated BBB or below and non-rated bonds generally
outperformed those rated AAA. In this environment, the Portfolios' performances
benefited greatly from their allocations of bonds rated BBB and below and
non-rated bonds. Among the national Portfolios, these bonds accounted for
approximately 18% of NXQ's portfolio, compared with 14% of NXP and 14% of NXR.
In NXC, a 17% allocation of lower-rated and non-rated bonds, together with an
underweighting of the AAA category, made a strong contribution to this
Portfolio's performance, more than offsetting the slight negative impact of its
duration positioning. Although NXN had a good weighting (21%) in the lower-rated
credit categories, this Portfolio also was heavily weighted in the
underperforming AAA category. This, combined with underperformance from sector
exposure, counteracted the positive impact of NXN's credit exposure to some
degree.
Holdings that generally contributed to the Portfolios' performances included
industrial development revenue (IDR), health care, zero coupon, and special tax
bonds, all of which outperformed the general municipal market during this
period. Bonds backed by the 1998 master tobacco settlement agreement were also
among the strongest performers. As of September 30, 2009, NXP and NXQ each held
approximately 6% of their portfolios in lower-rated tobacco bonds, while NXC had
allocated 4%, NXR 4%, and NXN 2% to these credits.
Pre-refunded bonds, which are often backed by U.S. Treasury securities and which
had been one of the top performing segments of the municipal bond market over
the past two years, performed especially poorly during this period. This was due
primarily to their shorter effective maturities and higher credit quality. As of
September 30, 2009, NXP had the largest weighting of pre-refunded bonds among
the national Portfolios, while NXC and NXN held significantly smaller amounts of
these bonds, which lessened the negative impact on these two Portfolios.
Additional market segments that lagged the overall municipal market included
general obligation bonds and resource recovery and water and sewer credits.
4 Nuveen Investments
Dividend and Share Price Information
During the six-month reporting period ended September 30, 2009, NXP had one
increase in its monthly dividend, while the dividends of the four remaining
Select Portfolios remained stable throughout the period.
All of these Portfolios seek to pay stable dividends at rates that reflect each
Portfolio's past results and projected future performance. During certain
periods, each Portfolio may pay dividends at a rate that may be more or less
than the amount of net investment income actually earned by the Portfolio during
the period. If a Portfolio 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 Portfolio's NAV. Conversely, if a Portfolio has
cumulatively paid dividends in excess of its earnings, the excess constitutes
negative UNII that is likewise reflected in the Portfolio's NAV. Each Portfolio
will, over time, pay all of its net investment income as dividends to
shareholders. As of September 30, 2009, all the Portfolios had a positive UNII
balance, based upon our best estimate, for tax purposes. NXP, NXQ, NXR and NXC
had a positive UNII balance, and NXN had a negative UNII balances for financial
statement purposes.
REPURCHASES AND SHARE PRICE INFORMATION
The Nuveen Funds' Board of Directors/Trustees approved an open-market share
repurchase program on July 30, 2008, under which each Fund may repurchase an
aggregate of up to 10% of its outstanding shares. Since the inception of the
Portfolios' repurchase program during July 2008, the Portfolios have not
repurchased any of their outstanding common shares.
As of September 30, 2009, the share prices of the Select Portfolios were trading
at premiums (+) or discounts (-) to their NAVs as shown in the accompanying
table:
SIX-MONTH
9/30/09 SIX-MONTH AVERAGE
PORTFOLIO (+) PREMIUM/(-) DISCOUNT (+) PREMIUM/(-) DISCOUNT
--------------------------------------------------------------------------------
NXP +2.09% +2.11%
NXQ +3.88% +2.79%
NXR +1.48% +2.22%
NXC -4.74% -5.82%
NXN +0.07% -0.77%
Nuveen Investments 5
NXP Performance OVERVIEW | Nuveen Select Tax-Free Income Portfolio as of
September 30, 2009
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price 14.64
--------------------------------------------------------------------------------
Net Asset Value 14.34
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 2.09%
--------------------------------------------------------------------------------
Market Yield 4.88%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 6.78%
--------------------------------------------------------------------------------
Net Assets ($000) $ 235,928
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 12.24
--------------------------------------------------------------------------------
Modified Duration 4.78
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/19/92)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month
(Cumulative) 9.77% 8.73%
--------------------------------------------------------------------------------
1-Year 17.58% 11.11%
--------------------------------------------------------------------------------
5-Year 6.43% 4.32%
--------------------------------------------------------------------------------
10-Year 5.92% 5.00%
--------------------------------------------------------------------------------
STATES
(as a % of total municipal bonds)
--------------------------------------------------------------------------------
Illinois 13.3%
--------------------------------------------------------------------------------
Colorado 12.0%
--------------------------------------------------------------------------------
Texas 8.5%
--------------------------------------------------------------------------------
South Carolina 7.9%
--------------------------------------------------------------------------------
Florida 7.5%
--------------------------------------------------------------------------------
Washington 7.5%
--------------------------------------------------------------------------------
Indiana 6.9%
--------------------------------------------------------------------------------
California 5.8%
--------------------------------------------------------------------------------
Nevada 4.5%
--------------------------------------------------------------------------------
New Jersey 2.8%
--------------------------------------------------------------------------------
New Mexico 2.2%
--------------------------------------------------------------------------------
Massachusetts 2.1%
--------------------------------------------------------------------------------
Oklahoma 2.1%
--------------------------------------------------------------------------------
Alaska 2.0%
--------------------------------------------------------------------------------
Other 14.9%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 30.9%
--------------------------------------------------------------------------------
Health Care 22.6%
--------------------------------------------------------------------------------
Transportation 10.8%
--------------------------------------------------------------------------------
Tax Obligation/Limited 9.6%
--------------------------------------------------------------------------------
Utilities 9.0%
--------------------------------------------------------------------------------
Consumer Staples 6.1%
--------------------------------------------------------------------------------
Other 11.0%
--------------------------------------------------------------------------------
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 38%
AA 25%
A 23%
BBB 11%
BB or Lower 2%
N/R 1%
2008-2009 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
Oct $ 0.057
Nov 0.057
Dec 0.057
Jan 0.057
Feb 0.057
Mar 0.057
Apr 0.057
May 0.057
Jun 0.057
Jul 0.057
Aug 0.057
Sep 0.0595
SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
10/01/08 $ 13.91
13.47
12.41
12.87
13.24
13.8
13.75
13.56
13.3
13.25
13.074
12.65
13.45
13.03
13.87
14
14
13.72
14.17
13.88
13.9599
13.3
13.97
13.83
13.66
13.6999
13.7
13.8392
14
13.7799
13.91
14.046
14.1
13.9
13.8824
14.0573
14.16
14.17
14.05
14.15
14.1
14.0067
14.06
14.25
14.33
14.36
14.0464
14.16
14.09
14.3
14.27
14.34
14.45
9/30/09 14.64
(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 income tax rate of 28%. When comparing
this Fund to investments that generate qualified dividend income, the
Taxable-Equivalent Yield is lower.
(2) Excluding Common Stocks.
6 Nuveen Investments
NXQ Performance OVERVIEW | Nuveen Select Tax-Free Income Portfolio 2 as of
September 30, 2009
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 37%
AA 19%
A 26%
BBB 15%
BB or Lower 2%
N/R 1%
2008-2009 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
Oct $ 0.0555
Nov 0.0555
Dec 0.0555
Jan 0.0555
Feb 0.0555
Mar 0.0555
Apr 0.0555
May 0.0555
Jun 0.0555
Jul 0.0555
Aug 0.0555
Sep 0.0555
SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
10/01/08 $ 13.19
13.1
11.5701
11.91
12.56
12.66
13.12
13.11
11.93
12.6
12.06
11.37
12.49
12.63
13.4
13.64
13.2
13.11
13.37
13.51
13.34
13.19
13.27
12.85
13.05
12.74
13.28
13.128
13.03
13.2201
13.2
13.33
13.43
13.41
13.4
13.45
13.4
13.16
13.25
13.15
13.2999
13.24
13.38
13.27
13.36
13.34
13.29
13.42
13.6399
13.7
13.691
13.57
13.79
9/30/09 14.19
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price 14.19
--------------------------------------------------------------------------------
Net Asset Value 13.66
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 3.88%
--------------------------------------------------------------------------------
Market Yield 4.69%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 6.51%
--------------------------------------------------------------------------------
Net Assets ($000) $ 241,150
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 14.14
--------------------------------------------------------------------------------
Modified Duration 5.22
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 5/21/92)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month
(Cumulative) 10.72% 10.94%
--------------------------------------------------------------------------------
1-Year 16.18% 10.48%
--------------------------------------------------------------------------------
5-Year 6.63% 3.63%
--------------------------------------------------------------------------------
10-Year 5.85% 4.42%
--------------------------------------------------------------------------------
STATES
(as a % of total municipal bonds)
--------------------------------------------------------------------------------
Illinois 14.2%
--------------------------------------------------------------------------------
Texas 12.4%
--------------------------------------------------------------------------------
Colorado 10.9%
--------------------------------------------------------------------------------
California 7.3%
--------------------------------------------------------------------------------
South Carolina 5.7%
--------------------------------------------------------------------------------
New York 4.5%
--------------------------------------------------------------------------------
Indiana 3.9%
--------------------------------------------------------------------------------
Massachusetts 3.6%
--------------------------------------------------------------------------------
Iowa 3.5%
--------------------------------------------------------------------------------
New Mexico 3.1%
--------------------------------------------------------------------------------
Washington 3.0%
--------------------------------------------------------------------------------
Rhode Island 2.4%
--------------------------------------------------------------------------------
Florida 2.4%
--------------------------------------------------------------------------------
Louisiana 2.4%
--------------------------------------------------------------------------------
Ohio 2.1%
--------------------------------------------------------------------------------
Nevada 2.0%
--------------------------------------------------------------------------------
Pennsylvania 1.9%
--------------------------------------------------------------------------------
Other 14.7%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 23.1%
--------------------------------------------------------------------------------
Health Care 19.6%
--------------------------------------------------------------------------------
Transportation 12.8%
--------------------------------------------------------------------------------
Tax Obligation/Limited 10.4%
--------------------------------------------------------------------------------
Utilities 9.6%
--------------------------------------------------------------------------------
Consumer Staples 6.2%
--------------------------------------------------------------------------------
Tax Obligation/General 5.8%
--------------------------------------------------------------------------------
Other 12.5%
--------------------------------------------------------------------------------
(1) Taxable-Equivalent Yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a income tax rate of 28%. When comparing
this Fund to investments that generate qualified dividend income, the
Taxable-Equivalent Yield is lower.
(2) Excluding Common Stocks.
Nuveen Investments 7
NXR Performance OVERVIEW | Nuveen Select Tax-Free Income Portfolio 3 as of
September 30, 2009
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price 14.44
--------------------------------------------------------------------------------
Net Asset Value 14.23
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 1.48%
--------------------------------------------------------------------------------
Market Yield 4.45%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 6.18%
--------------------------------------------------------------------------------
Net Assets ($000) $ 184,839
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 12.54
--------------------------------------------------------------------------------
Modified Duration 4.28
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 7/24/92)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month
(Cumulative) 8.88% 8.86%
--------------------------------------------------------------------------------
1-Year 19.80% 12.19%
--------------------------------------------------------------------------------
5-Year 6.89% 4.62%
--------------------------------------------------------------------------------
10-Year 6.58% 4.98%
--------------------------------------------------------------------------------
STATES
(as a % of total municipal bonds)
--------------------------------------------------------------------------------
Illinois 19.2%
--------------------------------------------------------------------------------
California 10.1%
--------------------------------------------------------------------------------
Texas 10.1%
--------------------------------------------------------------------------------
Colorado 7.0%
--------------------------------------------------------------------------------
Indiana 6.3%
--------------------------------------------------------------------------------
Florida 5.6%
--------------------------------------------------------------------------------
Iowa 5.5%
--------------------------------------------------------------------------------
North Carolina 4.3%
--------------------------------------------------------------------------------
South Carolina 3.3%
--------------------------------------------------------------------------------
New York 3.2%
--------------------------------------------------------------------------------
Nevada 3.1%
--------------------------------------------------------------------------------
New Mexico 2.8%
--------------------------------------------------------------------------------
Michigan 2.7%
--------------------------------------------------------------------------------
Pennsylvania 2.4%
--------------------------------------------------------------------------------
Other 14.4%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
U.S. Guaranteed 23.0%
--------------------------------------------------------------------------------
Health Care 19.9%
--------------------------------------------------------------------------------
Utilities 17.4%
--------------------------------------------------------------------------------
Tax Obligation/Limited 12.8%
--------------------------------------------------------------------------------
Transportation 7.0%
--------------------------------------------------------------------------------
Tax Obligation/General 5.5%
--------------------------------------------------------------------------------
Euro Dollar Time Deposit 0.2%
--------------------------------------------------------------------------------
Other 14.2%
--------------------------------------------------------------------------------
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 40%
AA 24%
A 22%
BBB 12%
BB or Lower 2%
N/R --%*
* Rounds to less than 1%.
2008-2009 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
Oct $ 0.0535
Nov 0.0535
Dec 0.0535
Jan 0.0535
Feb 0.0535
Mar 0.0535
Apr 0.0535
May 0.0535
Jun 0.0535
Jul 0.0535
Aug 0.0535
Sep 0.0535
SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
10/01/08 $ 13.18
13.28
11.97
12.15
12.79
12.97
12.99
12.97
12.29
12.7
12.47
11.91
12.84
13.08
13.77
13.955
13.74
13.6
13.86
13.8
13.98
13.57
13.75
13.48
13.62
13.388
13.69
14.05
13.864
13.78
13.9
13.74
13.88
13.9
13.83
13.702
13.95
14
13.9475
13.99
13.9308
13.88
14.3
14.03
14.1382
14.0901
14.15
14.14
14.04
14.09
14.07
14.74
14.27
9/30/09 14.442
(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 income tax rate of 28%. When comparing
this Fund to investments that generate qualified dividend income, the
Taxable-Equivalent Yield is lower.
(2) Excluding Common Stocks and Euro Dollar Time Deposit.
8 Nuveen Investments
NXC Performance OVERVIEW | Nuveen California Select Tax-Free Income Portfolio as
of September 30, 2009
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 20%
AA 22%
A 41%
BBB 13%
BB or Lower 1%
N/R 3%
2008-2009 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
Oct $ 0.0555
Nov 0.0555
Dec 0.0555
Jan 0.0555
Feb 0.0555
Mar 0.0555
Apr 0.0555
May 0.0555
Jun 0.0555
Jul 0.0555
Aug 0.0555
Sep 0.0555
SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
10/01/08 $ 13.0499
13.99
10.8
11.8
12.89
12.89
12.91
12.8
12.15
11.75
12.15
11.54
11.9
11.49
12.62
12.81
12.55
12.43
12.76
13.07
13.36
12.36
12.54
12.05
12.2342
12.03
12.06
12.0401
12.15
12.22
12.89
12.85
12.92
12.8701
13.06
12.99
13.05
12.18
12.667
12.05
12.09
12.22
12.75
12.67
13.138
13.09
12.7
13.04
13.1
13.25
13.4999
13.76
13.64
9/30/09 13.67
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price 13.67
--------------------------------------------------------------------------------
Net Asset Value 14.35
--------------------------------------------------------------------------------
Premium/(Discount) to NAV -4.74%
--------------------------------------------------------------------------------
Market Yield 4.87%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 7.48%
--------------------------------------------------------------------------------
Net Assets ($000) $ 89,961
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 14.47
--------------------------------------------------------------------------------
Modified Duration 5.83
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/19/92)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month
(Cumulative) 16.87% 11.05%
--------------------------------------------------------------------------------
1-Year 18.19% 12.96%
--------------------------------------------------------------------------------
5-Year 5.34% 4.38%
--------------------------------------------------------------------------------
10-Year 5.04% 4.93%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
Tax Obligation/General 21.6%
--------------------------------------------------------------------------------
Tax Obligation/Limited 20.0%
--------------------------------------------------------------------------------
U.S. Guaranteed 13.4%
--------------------------------------------------------------------------------
Health Care 12.0%
--------------------------------------------------------------------------------
Education and Civic Organizations 9.4%
--------------------------------------------------------------------------------
Utilities 5.7%
--------------------------------------------------------------------------------
Transportation 5.6%
--------------------------------------------------------------------------------
Euro Dollar Time Deposit 0.5%
--------------------------------------------------------------------------------
Other 11.8%
--------------------------------------------------------------------------------
(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 combined federal and state income tax
rate of 34.9%. When comparing this Fund to investments that generate
qualified dividend income, the Taxable-Equivalent Yield is lower.
(2) Excluding Euro Dollar Time Deposit.
Nuveen Investments 9
NXN Performance OVERVIEW | Nuveen New York Select Tax-Free Income Portfolio as
of September 30, 2009
FUND SNAPSHOT
--------------------------------------------------------------------------------
Share Price 14.24
--------------------------------------------------------------------------------
Net Asset Value 14.23
--------------------------------------------------------------------------------
Premium/(Discount) to NAV 0.07%
--------------------------------------------------------------------------------
Market Yield 4.30%
--------------------------------------------------------------------------------
Taxable-Equivalent Yield(1) 6.41%
--------------------------------------------------------------------------------
Net Assets ($000) $ 55,653
--------------------------------------------------------------------------------
Average Effective Maturity on Securities (Years) 14.85
--------------------------------------------------------------------------------
Modified Duration 4.24
--------------------------------------------------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/19/92)
--------------------------------------------------------------------------------
ON SHARE PRICE ON NAV
--------------------------------------------------------------------------------
6-Month
(Cumulative) 11.33% 8.82%
--------------------------------------------------------------------------------
1-Year 18.81% 13.25%
--------------------------------------------------------------------------------
5-Year 6.00% 4.42%
--------------------------------------------------------------------------------
10-Year 5.80% 4.89%
--------------------------------------------------------------------------------
PORTFOLIO COMPOSITION
(as a % of total investments)
--------------------------------------------------------------------------------
Tax Obligation/Limited 18.4%
--------------------------------------------------------------------------------
Health Care 13.3%
--------------------------------------------------------------------------------
Water and Sewer 12.1%
--------------------------------------------------------------------------------
Long-Term Care 11.5%
--------------------------------------------------------------------------------
Education and Civic Organizations 9.9%
--------------------------------------------------------------------------------
Tax Obligation/General 8.4%
--------------------------------------------------------------------------------
Housing/Single Family 8.1%
--------------------------------------------------------------------------------
U.S. Guaranteed 7.5%
--------------------------------------------------------------------------------
Euro Dollar Time Deposit 2.1%
--------------------------------------------------------------------------------
Other 8.7%
--------------------------------------------------------------------------------
CREDIT QUALITY (AS A % OF TOTAL INVESTMENTS)(2)
[PIE CHART]
AAA/U.S.
Guaranteed 45%
AA 24%
A 12%
BBB 11%
BB or Lower 1%
N/R 7%
2008-2009 MONTHLY TAX-FREE DIVIDENDS PER SHARE
[BAR CHART]
Oct $ 0.051
Nov 0.051
Dec 0.051
Jan 0.051
Feb 0.051
Mar 0.051
Apr 0.051
May 0.051
Jun 0.051
Jul 0.051
Aug 0.051
Sep 0.051
SHARE PRICE PERFORMANCE -- WEEKLY CLOSING PRICE
[LINE CHART]
10/01/08 $ 12.54
12.414
12.62
11.45
12.37
12.27
12.65
12.4274
11.46
11.6625
11.6301
11.53
11.58
11.7
12.66
12.86
12.97
13.24
12.9499
13
13.28
12.634
12.85
12.7501
13.0099
13.2
13.33
13.02
12.9701
13.18
13.35
13.47
13.719
13.47
13.55
13.54
13.54
13.3
13.1201
13.19
13.2
13.35
13.55
13.4
13.6
13.8
13.7301
13.7516
14.16
14
14.2744
14.12
14.17
9/30/09 14.2404
(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 combined federal and state income tax
rate of 32.9%. When comparing this Fund to investments that generate
qualified dividend income, the Taxable-Equivalent Yield is lower.
(2) Excluding Euro Dollar Time Deposit.
10 Nuveen Investments
NXP NXQ NXR | Shareholder Meeting Report
The annual meeting of shareholders was held on July 28, 2009, in the Lobby
Conference Room, 333 West Wacker Drive, Chicago, IL 60606; at this meeting the
shareholders were asked to vote on the election of Board Members.
NXP NXQ NXR
--------------------------------------------------------------------------------------------
APPROVAL OF THE BOARD MEMBERS WAS REACHED AS FOLLOWS:
Robert P. Bremner
For 14,242,465 14,468,097 10,841,539
Withhold 494,538 441,762 249,500
--------------------------------------------------------------------------------------------
Total 14,737,003 14,909,859 11,091,039
============================================================================================
Jack B. Evans
For 14,231,195 14,494,089 10,823,376
Withhold 505,808 415,770 267,663
--------------------------------------------------------------------------------------------
Total 14,737,003 14,909,859 11,091,039
============================================================================================
William J. Schneider
For 14,235,603 14,490,631 10,840,070
Withhold 501,400 419,228 250,969
--------------------------------------------------------------------------------------------
Total 14,737,003 14,909,859 11,091,039
============================================================================================
Nuveen Investments 11
NXC NXN | Shareholder Meeting Report (continued)
NXC NXN
--------------------------------------------------------------------------------
APPROVAL OF THE BOARD MEMBERS WAS REACHED AS FOLLOWS:
Robert P. Bremner
For 5,172,944 3,322,862
Withhold 125,084 79,092
--------------------------------------------------------------------------------
Total 5,298,028 3,401,954
================================================================================
Jack B. Evans
For 5,163,207 3,313,616
Withhold 134,821 88,338
--------------------------------------------------------------------------------
Total 5,298,028 3,401,954
================================================================================
William J. Schneider
For 5,174,628 3,324,411
Withhold 123,400 77,543
--------------------------------------------------------------------------------
Total 5,298,028 3,401,954
================================================================================
12 Nuveen Investments
NXP | Nuveen Select Tax-Free Income Portfolio
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS - 98.7%
ALASKA - 2.0%
$ 2,475 Alaska Municipal Bond Bank Authority, General Obligation 12/13 at 100.00 A+ (4) $ 2,868,401
Bonds, Series 2003E, 5.250%, 12/01/23 (Pre-refunded
12/01/13) - MBIA Insured
2,500 Northern Tobacco Securitization Corporation, Alaska, Tobacco 6/14 at 100.00 Baa3 1,780,850
Settlement Asset-Backed Bonds, Series 2006A, 5.000%,
6/01/46
-----------------------------------------------------------------------------------------------------------------------------------
4,975 Total Alaska 4,649,251
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.4%
5,915 Arkansas Development Finance Authority, Tobacco Settlement No Opt. Call Aa3 911,738
Revenue Bonds, Arkansas Cancer Research Center Project,
Series 2006, 0.000%, 7/01/46 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 5.7%
2,000 Alameda Corridor Transportation Authority, California, 10/17 at 100.00 A- 1,594,840
Subordinate Lien Revenue Bonds, Series 2004A, 0.000%,
10/01/25 - AMBAC Insured
3,325 California Department of Water Resources, Power Supply 5/12 at 101.00 Aa3 3,733,011
Revenue Bonds, Series 2002A, 6.000%, 5/01/14
1,000 California Statewide Community Development Authority, Revenue 8/19 at 100.00 AA 1,100,280
Bonds, Methodist Hospital Project, Series 2009, 6.750%,
2/01/38
2,645 Cypress Elementary School District, San Bernardino County, No Opt. Call AAA 615,333
California, General Obligation Bonds, Series 2009A,
0.000%, 5/01/34 - FSA Insured
3,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 3,550,170
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39 (Pre-refunded 6/01/13)
1,130 Los Angeles Department of Water and Power, California, 7/11 at 100.00 AA 1,150,035
Waterworks Revenue Refunding Bonds, Series 2001A, 5.125%,
7/01/41 - FGIC Insured
365 Los Angeles, California, Parking System Revenue Bonds, Series 5/10 at 100.00 A+ 369,347
1999A, 5.250%, 5/01/29 - AMBAC Insured
1,000 Moreno Valley Unified School District, Riverside County, No Opt. Call A 488,400
California, General Obligation Bonds, Series 2007, 0.000%,
8/01/23 - NPFG Insured
750 Tobacco Securitization Authority of Northern California, 6/15 at 100.00 BBB 604,658
Tobacco Settlement Asset-Backed Bonds, Series 2005A-1,
5.500%, 6/01/45
1,150 Woodside Elementary School District, San Mateo County, No Opt. Call AA+ 340,550
California, General Obligation Bonds, Series 2007, 0.000%,
10/01/30 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
16,365 Total California 13,546,624
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 11.9%
1,700 Colorado Health Facilities Authority, Revenue Bonds, Catholic 3/12 at 100.00 AA (4) 1,871,428
Health Initiatives, Series 2002A, 5.500%, 3/01/22 (ETM)
690 Colorado Health Facilities Authority, Revenue Bonds, Catholic 3/12 at 100.00 AA (4) 762,022
Health Initiatives, Series 2002A, 5.500%, 3/01/22
(Pre-refunded 3/01/12)
390 Colorado Water Resources and Power Development Authority, 11/10 at 100.00 A 395,164
Small Water Resources Revenue Bonds, Series 2000A, 5.800%,
11/01/20 - FGIC Insured
8,225 Denver City and County, Colorado, Airport System Revenue No Opt. Call A+ 9,114,781
Bonds, Series 1991D, 7.750%, 11/15/13 (Alternative Minimum
Tax)
5,000 Denver City and County, Colorado, Airport System Revenue 11/11 at 100.00 A+ 5,201,250
Refunding Bonds, Series 2001A, 5.625%, 11/15/17 - FGIC
Insured (Alternative Minimum Tax)
3,000 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 N/R (4) 3,360,900
Revenue Bonds, Convention Center Hotel, Series 2003A,
5.000%, 12/01/23 (Pre-refunded 12/01/13) - SYNCORA GTY
Insured
500 Denver, Colorado, Airport System Revenue Refunding Bonds, 11/13 at 100.00 A+ 510,235
Series 2003B, 5.000%, 11/15/33 - SYNCORA GTY Insured
5,000 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 31.42 Aaa 1,560,300
Bonds, Series 2000B, 0.000%, 9/01/28 (Pre-refunded
9/01/10) - NPFG Insured
Nuveen Investments 13
NXP | Nuveen Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
$ 12,500 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, 9/26 at 54.77 A $ 1,800,375
Series 2006A, 0.000%, 9/01/38 - NPFG Insured
3,160 Northwest Parkway Public Highway Authority, Colorado, Revenue 6/11 at 102.00 N/R (4) 3,462,918
Bonds, Senior Series 2001A, 5.500%, 6/15/20 (Pre-refunded
6/15/11) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
40,165 Total Colorado 28,039,373
-----------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.0%
60 District of Columbia, Revenue Bonds, Catholic University of 10/09 at 101.00 A 60,648
America, Series 1999, 5.625%, 10/01/29 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 7.4%
2,000 Halifax Hospital Medical Center, Florida, Revenue Bonds, 6/16 at 100.00 A- 1,935,520
Series 2006, 5.375%, 6/01/46
5,000 Jacksonville Health Facilities Authority, Florida, Revenue 11/12 at 101.00 Aa1 5,169,900
Bonds, Ascension Health, Series 2002A, 5.250%, 11/15/32
10,000 JEA St. John's River Power Park System, Florida, Revenue 10/11 at 100.00 Aa2 10,350,400
Refunding Bonds, Issue 2, Series 2002-17, 5.000%, 10/01/17
-----------------------------------------------------------------------------------------------------------------------------------
17,000 Total Florida 17,455,820
-----------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.6%
1,330 Hawaii, Certificates of Participation, Kapolei State Office 11/09 at 100.50 N/R 1,346,891
Building, Series 1998A, 5.000%, 5/01/17 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 13.1%
1,965 Board of Trustees of Southern Illinois University, Housing No Opt. Call A1 1,251,764
and Auxiliary Facilities System Revenue Bonds, Series
1999A, 0.000%, 4/01/20 - NPFG Insured
2,600 Chicago Heights, Illinois, General Obligation Corporate 12/09 at 100.00 A 2,621,268
Purpose Bonds, Series 1993, 5.650%, 12/01/17 - FGIC Insured
195 DuPage County Community School District 200, Wheaton, 11/13 at 100.00 Aa3 216,824
Illinois, General Obligation Bonds, Series 2003B, 5.250%,
11/01/20 - FSA Insured
805 DuPage County Community School District 200, Wheaton, 11/13 at 100.00 Aa3 (4) 924,478
Illinois, General Obligation Bonds, Series 2003B, 5.250%,
11/01/20 (Pre-refunded 11/01/13) - FSA Insured
600 Illinois Educational Facilities Authority, Student Housing 5/12 at 101.00 Aaa 683,490
Revenue Bonds, Educational Advancement Foundation Fund,
University Center Project, Series 2002, 6.000%, 5/01/22
(Pre-refunded 5/01/12)
1,050 Illinois Finance Authority, Revenue Bonds, Loyola University 7/17 at 100.00 AA 1,150,853
of Chicago, Tender Option Bond Trust 1137, 8.932%, 7/01/46
(IF)
4,000 Illinois Finance Authority, Revenue Bonds, Northwestern 8/14 at 100.00 N/R (4) 4,695,480
Memorial Hospital, Series 2004A, 5.500%, 8/15/43
(Pre-refunded 8/15/14)
1,000 Illinois Finance Authority, Revenue Bonds, Silver Cross 8/19 at 100.00 BBB 1,072,100
Hospital and Medical Centers, Series 2009, 6.875%, 8/15/38
1,320 Illinois Health Facilities Authority, Revenue Bonds, Decatur 10/11 at 100.00 A 1,352,472
Memorial Hospital, Series 2001, 5.600%, 10/01/16
2,950 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/12 at 100.00 A- 3,060,035
Forest Hospital, Series 2002A, 6.000%, 7/01/17
2,275 Illinois Health Facilities Authority, Revenue Refunding 1/13 at 100.00 Baa1 2,359,880
Bonds, Elmhurst Memorial Healthcare, Series 2002, 6.250%,
1/01/17
75 Illinois Health Facilities Authority, Revenue Refunding 11/09 at 100.00 N/R 73,659
Bonds, Rockford Health System, Series 1997, 5.000%,
8/15/21 - AMBAC Insured
3,125 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call A 2,361,031
Bonds, McCormick Place Expansion Project, Series 1992A,
0.000%, 6/15/17 - FGIC Insured
810 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 279,766
Bonds, McCormick Place Expansion Project, Series 2002A,
0.000%, 6/15/30 - NPFG Insured
5,000 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/12 at 101.00 AAA 5,273,100
Refunding Bonds, McCormick Place Expansion Project, Series
2002B, 5.000%, 6/15/21 - NPFG Insured
14 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 1,300 Schaumburg, Illinois, General Obligation Bonds, Series 2004B, 12/14 at 100.00 AA+ $ 1,370,785
5.250%, 12/01/34 - FGIC Insured
Yorkville, Illinois, General Obligation Debt Certificates,
Series 2003:
1,000 5.000%, 12/15/19 (Pre-refunded 12/15/11) - RAAI Insured 12/11 at 100.00 BBB- (4) 1,093,220
1,000 5.000%, 12/15/20 (Pre-refunded 12/15/11) - RAAI Insured 12/11 at 100.00 BBB- (4) 1,093,220
-----------------------------------------------------------------------------------------------------------------------------------
31,070 Total Illinois 30,933,425
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 6.8%
1,000 Franklin Community Multi-School Building Corporation, Marion 7/14 at 100.00 A (4) 1,156,700
County, Indiana, First Mortgage Revenue Bonds, Series
2004, 5.000%, 7/15/22 (Pre-refunded 7/15/14) - FGIC Insured
1,770 Indiana Health Facility Financing Authority, Hospital Revenue No Opt. Call AAA 2,045,766
Refunding Bonds, Columbus Regional Hospital, Series 1993,
7.000%, 8/15/15 - FSA Insured
1,000 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB 990,170
Community Foundation of Northwest Indiana, Series 2007,
5.500%, 3/01/37
9,855 Indianapolis Local Public Improvement Bond Bank, Indiana, 7/12 at 100.00 AAA 10,960,238
Waterworks Project, Series 2002A, 5.125%, 7/01/21
(Pre-refunded 7/01/12) - MBIA Insured
750 West Clark 2000 School Building Corporation, Clark County, 1/15 at 100.00 AA+ 802,305
Indiana, First Mortgage Bonds, Series 2005, 5.000%,
7/15/22 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
14,375 Total Indiana 15,955,179
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.9%
1,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 769,950
Revenue Bonds, Series 2005C, 5.375%, 6/01/38
4,000 Iowa Tobacco Settlement Authority, Tobacco Asset-Backed 6/17 at 100.00 BBB 3,646,720
Revenue Bonds, Series 2005B, 5.600%, 6/01/34
-----------------------------------------------------------------------------------------------------------------------------------
5,000 Total Iowa 4,416,670
-----------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.5%
500 Lawrence, Kansas, Hospital Revenue Bonds, Lawrence Memorial 7/16 at 100.00 A3 462,370
Hospital, Series 2006, 4.875%, 7/01/36
750 Wamego, Kansas, Pollution Control Revenue Bonds, Kansas Gas 6/14 at 100.00 A 769,883
and Electric Company, Series 2004, 5.300%, 6/01/31 - NPFG
Insured
-----------------------------------------------------------------------------------------------------------------------------------
1,250 Total Kansas 1,232,253
-----------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.5%
1,100 Jefferson County, Kentucky, Health System Revenue Bonds, 10/09 at 100.50 A (4) 1,109,262
Alliant Health System Inc., Series 1998, 5.125%, 10/01/18
- MBIA Insured (ETM)
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 0.4%
1,100 Tobacco Settlement Financing Corporation, Louisiana, Tobacco 5/11 at 101.00 BBB 1,070,586
Settlement Asset-Backed Bonds, Series 2001B, 5.875%,
5/15/39
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 2.1%
500 Massachusetts Health and Educational Facilities Authority, 7/18 at 100.00 A3 502,780
Revenue Bonds, CareGroup Inc., Series 2008E-1, 5.000%,
7/01/28
20 Massachusetts Health and Educational Facilities Authority, 7/11 at 101.00 AA 21,551
Revenue Bonds, Partners HealthCare System Inc., Series
2001C, 6.000%, 7/01/17
480 Massachusetts Health and Educational Facilities Authority, 7/11 at 101.00 AAA 529,469
Revenue Bonds, Partners HealthCare System Inc., Series
2001C, 6.000%, 7/01/17 (Pre-refunded 7/01/11)
2,000 Massachusetts Housing Finance Agency, Housing Bonds, Series 12/18 at 100.00 AA- 2,024,020
2009F, 5.700%, 6/01/40
1,055 Massachusetts Turnpike Authority, Metropolitan Highway System 1/10 at 100.00 A 1,054,937
Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - NPFG
Insured
830 Massachusetts Turnpike Authority, Metropolitan Highway System 1/10 at 100.00 AA 830,125
Revenue Bonds, Subordinate Series 1999A, 5.000%, 1/01/39 -
AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
4,885 Total Massachusetts 4,962,882
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 15
NXP | Nuveen Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 1.6%
$ 1,000 Michigan State Hospital Finance Authority, Hospital Revenue 2/10 at 100.00 BB- $ 825,250
Bonds, Detroit Medical Center Obligated Group, Series
1998A, 5.125%, 8/15/18
2,900 Michigan State Hospital Finance Authority, Hospital Revenue 12/12 at 100.00 AA 2,959,392
Refunding Bonds, Trinity Health Credit Group, Series
2002C, 5.375%, 12/01/30
-----------------------------------------------------------------------------------------------------------------------------------
3,900 Total Michigan 3,784,642
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 0.1%
220 Minnesota Housing Finance Agency, Single Family Mortgage 1/10 at 100.50 AA+ 221,976
Revenue Bonds, Series 1995A, 5.200%, 1/01/17
-----------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.7%
5,000 Kansas City Municipal Assistance Corporation, Missouri, No Opt. Call AA- 1,583,950
Leasehold Revenue Bonds, Series 2004B-1, 0.000%, 4/15/30 -
AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 4.5%
2,500 Clark County, Nevada, Motor Vehicle Fuel Tax Highway 7/13 at 100.00 AA- 2,596,775
Improvement Revenue Bonds, Series 2003, 5.000%, 7/01/23 -
AMBAC Insured
Director of Nevada State Department of Business and
Industry, Revenue Bonds, Las Vegas Monorail Project,
First Tier, Series 2000:
2,360 0.000%, 1/01/21 - AMBAC Insured No Opt. Call Caa2 221,557
4,070 0.000%, 1/01/22 - AMBAC Insured No Opt. Call Caa2 381,318
6,025 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 Caa2 1,222,412
1,500 Las Vegas Redevelopment Agency, Nevada, Tax Increment Revenue 6/19 at 100.00 A 1,707,465
Bonds, Series 2009A, 8.000%, 6/15/30
1,515 Reno, Nevada, Capital Improvement Revenue Bonds, Series 2002, 6/12 at 100.00 A 1,542,725
5.500%, 6/01/21 - FGIC Insured
2,555 Reno, Nevada, Capital Improvement Revenue Bonds, Series 2002, 6/12 at 100.00 Baa1 (4) 2,853,628
5.500%, 6/01/21 (Pre-refunded 6/01/12) - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
20,525 Total Nevada 10,525,880
-----------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 0.2%
380 New Hampshire Housing Finance Authority, Single Family 5/11 at 100.00 Aa2 385,464
Mortgage Acquisition Bonds, Series 2001A, 5.600%, 7/01/21
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.8%
2,500 New Jersey Health Care Facilities Financing Authority, 7/13 at 100.00 Ba2 2,034,425
Revenue Bonds, Somerset Medical Center, Series 2003,
5.500%, 7/01/23
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2002:
1,325 5.750%, 6/01/32 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 1,448,132
1,000 6.000%, 6/01/37 (Pre-refunded 6/01/12) 6/12 at 100.00 AAA 1,129,160
2,500 Tobacco Settlement Financing Corporation, New Jersey, Tobacco 6/17 at 100.00 BBB 1,896,825
Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%,
6/01/41
-----------------------------------------------------------------------------------------------------------------------------------
7,325 Total New Jersey 6,508,542
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 2.1%
1,000 New Mexico Mortgage Finance Authority, Multifamily Housing 9/17 at 100.00 AAA 998,400
Revenue Bonds, St Anthony, Series 2007A, 5.250%, 9/01/42
(Alternative Minimum Tax)
4,000 University of New Mexico, FHA-Insured Mortgage Hospital 7/14 at 100.00 AAA 4,082,680
Revenue Bonds, Series 2004, 4.625%, 7/01/25 - FSA Insured
-----------------------------------------------------------------------------------------------------------------------------------
5,000 Total New Mexico 5,081,080
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 1.2%
1,000 Dormitory Authority of the State of New York, FHA-Insured 2/14 at 100.00 AAA 1,072,190
Mortgage Revenue Bonds, Kaleida Health, Series 2004,
5.050%, 2/15/25
1,215 Dormitory Authority of the State of New York, Revenue Bonds, 7/10 at 101.00 A2 1,250,016
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/17
385 Dormitory Authority of the State of New York, Revenue Bonds, 7/10 at 101.00 A2 (4) 404,277
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/17 (Pre-refunded 7/01/10)
-----------------------------------------------------------------------------------------------------------------------------------
2,600 Total New York 2,726,483
-----------------------------------------------------------------------------------------------------------------------------------
16 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.7%
$ 1,000 North Carolina Eastern Municipal Power Agency, Power System 1/19 at 100.00 A- $ 1,190,370
Revenue Bonds, Series 2008C, 6.750%, 1/01/24
2,195 North Carolina Eastern Municipal Power Agency, Power System 11/09 at 100.00 A- 2,197,546
Revenue Refunding Bonds, Series 1993B, 5.500%, 1/01/21
500 Raleigh Durham Airport Authority, North Carolina, Airport 5/11 at 101.00 Aa3 520,915
Revenue Bonds, Series 2001A, 5.250%, 11/01/17 - FGIC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
3,695 Total North Carolina 3,908,831
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 0.7%
1,500 Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco 6/17 at 100.00 BBB 1,268,070
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-2, 6.000%, 6/01/42
300 Lebanon, Ohio, Electric System Mortgage Revenue Bonds, Series 12/10 at 101.00 A2 (4) 320,883
2001, 5.500%, 12/01/17(Pre-refunded 12/01/10) - AMBAC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
1,800 Total Ohio 1,588,953
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 2.0%
1,000 Norman Regional Hospital Authority, Oklahoma, Hospital 9/16 at 100.00 BBB- 808,310
Revenue Bonds, Series 2005, 5.375%, 9/01/36
4,000 Oklahoma Development Finance Authority, Revenue Bonds, St. 2/14 at 100.00 A 4,038,880
John Health System, Series 2004, 5.000%, 2/15/24
-----------------------------------------------------------------------------------------------------------------------------------
5,000 Total Oklahoma 4,847,190
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 0.5%
500 Pennsylvania Higher Educational Facilities Authority, Revenue 7/13 at 100.00 BBB+ 505,070
Bonds, Widener University, Series 2003, 5.250%, 7/15/24
700 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, 12/14 at 100.00 Aa3 755,405
Series 2004A, 5.500%, 12/01/31 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
1,200 Total Pennsylvania 1,260,475
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.5%
1,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/19 at 100.00 A+ 1,102,200
Revenue Bonds, First Subordinate Series 2009A, 6.000%,
8/01/42
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 7.8%
1,250 Dorchester County School District 2, South Carolina, 12/14 at 100.00 AA- 1,346,863
Installment Purchase Revenue Bonds, GROWTH, Series 2004,
5.250%, 12/01/20
10,000 Greenville County School District, South Carolina, 12/12 at 101.00 AA (4) 11,583,796
Installment Purchase Revenue Bonds, Series 2002, 5.875%,
12/01/19 (Pre-refunded 12/01/12)
1,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A+ (4) 1,768,365
Hospital Revenue Refunding and Improvement Bonds, Series
2003, 6.000%, 11/01/18 (Pre-refunded 11/01/13)
520 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A3 (4) 590,959
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30 (Pre-refunded 11/15/12)
1,980 South Carolina JOBS Economic Development Authority, Economic 11/12 at 100.00 A- 2,010,116
Development Revenue Bonds, Bon Secours Health System Inc.,
Series 2002B, 5.625%, 11/15/30
1,130 Tobacco Settlement Revenue Management Authority, South 5/12 at 100.00 BBB (4) 1,188,952
Carolina, Tobacco Settlement Asset-Backed Bonds, Series
2001B, 6.000%, 5/15/22 (Pre-refunded 5/15/12)
-----------------------------------------------------------------------------------------------------------------------------------
16,380 Total South Carolina 18,489,051
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 8.4%
5,000 Brazos River Harbor Navigation District, Brazoria County, 5/12 at 101.00 BBB- 4,878,500
Texas, Environmental Facilities Revenue Bonds, Dow
Chemical Company Project, Series 2002A-6, 6.250%, 5/15/33
(Mandatory put 5/15/17) (Alternative Minimum Tax)
1,000 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax 12/11 at 100.00 AAA 1,090,620
Revenue Bonds, Series 2001, 5.000%, 12/01/31 (Pre-refunded
12/01/11) - AMBAC Insured
360 Dallas-Fort Worth International Airport Public Facility 12/09 at 100.00 AAA 360,576
Corporation, Texas, Airport Hotel Revenue Bonds, Series
2001, 5.500%, 1/15/20 - FSA Insured
Nuveen Investments 17
NXP | Nuveen Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 2,300 Harris County Health Facilities Development Corporation, 11/13 at 100.00 AA $ 2,354,050
Texas, Thermal Utility Revenue Bonds, TECO Project, Series
2003, 5.000%, 11/15/30 - NPFG Insured
1,550 Harris County-Houston Sports Authority, Texas, Junior Lien No Opt. Call A 375,891
Revenue Bonds, Series 2001H, 0.000%, 11/15/30 - NPFG
Insured
3,470 Harris County-Houston Sports Authority, Texas, Senior Lien 11/30 at 61.17 A 463,731
Revenue Refunding Bonds, Series 2001A, 0.000%, 11/15/38 -
NPFG Insured
2,805 Harris County-Houston Sports Authority, Texas, Third Lien 11/24 at 52.47 A 449,838
Revenue Bonds, Series 2004-A3., 0.000%, 11/15/35 - NPFG
Insured
45 Irving Independent School District, Dallas County, Texas, 2/12 at 100.00 AAA 46,229
General Obligation Refunding Bonds, Series 2002A, 5.000%,
2/15/31
3,455 Irving Independent School District, Dallas County, Texas, 2/12 at 100.00 AAA 3,787,095
General Obligation Refunding Bonds, Series 2002A, 5.000%,
2/15/31 (Pre-refunded 2/15/12)
1,780 Leander Independent School District, Williamson and Travis 8/16 at 35.23 AAA 416,413
Counties, Texas, General Obligation Bonds, Series 2007,
0.000%, 8/15/37
2,000 North Texas Thruway Authority, First Tier System Revenue 1/25 at 100.00 A2 1,528,340
Refunding Bonds, Capital Appreciation Series 2008I,
0.000%, 1/01/43
2,000 Richardson Hospital Authority, Texas, Revenue Bonds, 12/13 at 100.00 Baa2 1,805,980
Richardson Regional Medical Center, Series 2004, 6.000%,
12/01/34
465 San Antonio, Texas, Water System Revenue Refunding Bonds, 5/12 at 100.00 Aa3 (4) 510,156
Series 1992, 6.000%, 5/15/16 (Pre-refunded 5/15/12) - MBIA
Insured
1,750 Texas, General Obligation Bonds, Water Financial Assistance 8/13 at 100.00 AA+ 1,753,500
Program, Series 2003A, 5.125%, 8/01/42 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
27,980 Total Texas 19,820,919
-----------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.3%
775 Utah State Building Ownership Authority, Lease Revenue Bonds, 11/11 at 100.00 AA+ 833,179
State Facilities Master Lease Program, Series 2001B,
5.250%, 5/15/24
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.5%
1,500 Fairfax County Economic Development Authority, Virginia, 10/17 at 100.00 N/R 1,293,240
Residential Care Facilities Mortgage Revenue Bonds,
Goodwin House, Inc., Series 2007A, 5.125%, 10/01/42
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 7.4%
250 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 Aaa 275,935
Bonds, Columbia Generating Station - Nuclear Project 2,
Series 2002C, 5.500%, 7/01/17 - NPFG Insured
3,610 Snohomish County Public Utility District 1, Washington, No Opt. Call Aaa 3,862,086
Generation System Revenue Bonds, Series 1989, 6.750%,
1/01/12 (ETM)
9,750 Washington State Healthcare Facilities Authority, Revenue 10/11 at 100.00 AA 10,175,003
Bonds, Sisters of Providence Health System, Series 2001A,
5.125%, 10/01/17 - NPFG Insured
2,105 Washington State Tobacco Settlement Authority, Tobacco 6/13 at 100.00 BBB 2,157,878
Settlement Asset-Backed Revenue Bonds, Series 2002,
6.500%, 6/01/26
2,115 Washington State, Motor Vehicle Fuel Tax General Obligation No Opt. Call AA+ 978,082
Bonds, Series 2003F, 0.000%, 12/01/27 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
17,830 Total Washington 17,448,984
-----------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.5%
760 Marshall County, West Virginia, Special Obligation Refunding No Opt. Call AAA 786,250
Bonds, Series 1992, 6.500%, 5/15/10 (ETM)
500 West Virginia Hospital Finance Authority, Revenue Bonds, 6/16 at 100.00 A+ 501,400
United Hospital Center Inc. Project, Series 2006A, 4.500%,
6/01/26 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
1,260 Total West Virginia 1,287,650
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.9%
785 Badger Tobacco Asset Securitization Corporation, Wisconsin, 6/12 at 100.00 AAA 861,428
Tobacco Settlement Asset-Backed Bonds, Series 2002,
6.125%, 6/01/27 (Pre-refunded 6/01/12)
18 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN (continued)
$ 1,000 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 BBB+ $ 1,011,040
Bonds, Wheaton Franciscan Services Inc., Series 2003A,
5.500%, 8/15/17
2,500 Wisconsin, General Obligation Refunding Bonds, Series 2003-3, 11/13 at 100.00 AA 2,647,400
5.000%, 11/01/26
-----------------------------------------------------------------------------------------------------------------------------------
4,285 Total Wisconsin 4,519,868
-----------------------------------------------------------------------------------------------------------------------------------
$ 272,245 Total Municipal Bonds (cost $226,267,345) 232,909,159
=================------------------------------------------------------------------------------------------------------------------
SHARES DESCRIPTION (1) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCKS - 0.0%
AIRLINES - 0.0%
789 UAL Corporation, (5) $ 7,275
====-============------------------------------------------------------------------------------------------------------------------
Total Common Stocks (cost $0) 7,275
---------------------------------------------------------------------------------------------------------------
Total Investments (cost $226,267,345) - 98.7% 232,916,434
---------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.3% 3,011,620
---------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 235,928,054
===============================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(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) On December 9, 2002, UAL Corporation ("UAL"), the holding company of
United Air Lines, Inc. ("United") filed for federal bankruptcy protection.
The Adviser determined that it was likely that United would not remain
current on their interest payment obligations with respect to the bonds
previously held and thus the Fund had stopped accruing interest on its UAL
bonds. On February 1, 2006, UAL emerged from federal bankruptcy with the
acceptance of its reorganization plan by the bankruptcy court. Under the
settlement agreement established to meet UAL's unsecured bond obligations,
the bondholders, including the Fund, received three distributions of UAL
common stock over the subsequent months, and the bankruptcy court
dismissed all unsecured claims of bondhold- ers, including those of the
Fund. On May 5, 2006, the Fund liquidated such UAL common stock holdings.
On September 29, 2006 and May 30, 2007, the Fund received additional
distributions of 1,901 and 617 shares, respectively, of UAL common stock
as a result of its earlier ownership of the UAL bonds. The Fund liquidated
1,901 shares of such UAL common stock holdings on November 15, 2006. The
Fund received an additional distribution of 172 UAL common stock shares on
November 14, 2007. The remaining 789 shares of UAL common stock were still
held by the Fund at September 30, 2009.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
See accompanying notes to financial statements.
Nuveen Investments 19
NXQ | Nuveen Select Tax-Free Income Portfolio 2
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS - 98.4%
ARIZONA - 0.8%
$ 2,000 Salt Verde Financial Corporation, Arizona, Senior Gas Revenue No Opt. Call A $ 1,926,740
Bonds, Series 2007, 5.000%, 12/01/37
-----------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.3%
1,000 Fort Smith, Arkansas, Water and Sewer Revenue Refunding and 10/11 at 100.00 AAA 1,085,470
Construction Bonds, Series 2002A, 5.000%, 10/01/19
(Pre-refunded 10/01/11) - FSA Insured
2,000 University of Arkansas, Fayetteville, Various Facilities 12/12 at 100.00 Aa3 2,066,100
Revenue Bonds, Series 2002, 5.000%, 12/01/32 - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
3,000 Total Arkansas 3,151,570
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 7.2%
1,000 Alameda Corridor Transportation Authority, California, 10/17 at 100.00 A- 797,420
Subordinate Lien Revenue Bonds, Series 2004A, 0.000%,
10/01/25 - AMBAC Insured
3,325 California Department of Water Resources, Power Supply 5/12 at 101.00 Aa3 3,733,011
Revenue Bonds, Series 2002A, 6.000%, 5/01/14
500 California State Public Works Board, Lease Revenue Refunding 12/09 at 100.50 A- 505,615
Bonds, Community Colleges Projects, Series 1998A, 5.250%,
12/01/16
2,000 California State Public Works Board, Lease Revenue Refunding No Opt. Call Aa2 2,178,120
Bonds, Various University of California Projects, Series
1993A, 5.500%, 6/01/14
60 California, General Obligation Bonds, Series 1997, 5.000%, 11/09 at 100.00 A 60,077
10/01/18 - AMBAC Insured
2,500 California, General Obligation Bonds, Series 2005, 5.000%, 3/16 at 100.00 A 2,532,750
3/01/31
1,000 Golden State Tobacco Securitization Corporation, California, 6/17 at 100.00 BBB 754,190
Enhanced Tobacco Settlement Asset-Backed Bonds, Series
2007A-1, 5.125%, 6/01/47
3,200 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 AAA 3,786,848
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39 (Pre-refunded 6/01/13)
450 M-S-R Energy Authority, Gas Revenue Bonds, California, No Opt. Call A 524,687
Citigroup Prepay Contracts, Series 2009C, 6.500%, 11/01/39
1,195 Palmdale Elementary School District, Los Angeles County, No Opt. Call AAA 439,617
California, General Obligation Bonds, Series 2003, 0.000%,
8/01/28 - FSA Insured
1,890 San Joaquin Delta Community College District, California, 8/18 at 47.14 AAA 543,564
General Obligation Bonds, Election 2004 Series 2008B,
0.000%, 8/01/31 - FSA Insured
1,750 Tobacco Securitization Authority of Northern California, 6/15 at 100.00 BBB 1,410,868
Tobacco Settlement Asset-Backed Bonds, Series 2005A-1,
5.500%, 6/01/45
-----------------------------------------------------------------------------------------------------------------------------------
18,870 Total California 17,266,767
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 10.7%
1,700 Colorado Health Facilities Authority, Revenue Bonds, Catholic 3/12 at 100.00 AA (4) 1,871,428
Health Initiatives, Series 2002A, 5.500%, 3/01/22 (ETM)
1,300 Colorado Health Facilities Authority, Revenue Bonds, Catholic 3/12 at 100.00 AA (4) 1,435,694
Health Initiatives, Series 2002A, 5.500%, 3/01/22
(Pre-refunded 3/01/12)
2,440 Denver City and County, Colorado, Airport System Revenue No Opt. Call A+ 2,703,959
Bonds, Series 1991D, 7.750%, 11/15/13 (Alternative Minimum
Tax)
5,000 Denver City and County, Colorado, Airport System Revenue 11/11 at 100.00 A+ 5,201,249
Refunding Bonds, Series 2001A, 5.625%, 11/15/17 - FGIC
Insured (Alternative Minimum Tax)
1,555 Denver City and County, Colorado, Airport System Revenue 11/11 at 100.00 A+ 1,634,523
Refunding Bonds, Series 2001, 5.500%, 11/15/16 - FGIC
Insured
3,000 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 N/R (4) 3,360,900
Revenue Bonds, Convention Center Hotel, Series 2003A,
5.000%, 12/01/23 (Pre-refunded 12/01/13) - SYNCORA GTY
Insured
2,000 Denver Convention Center Hotel Authority, Colorado, Senior 11/16 at 100.00 BBB- 1,628,940
Revenue Bonds, Convention Center Hotel, Series 2006,
4.750%, 12/01/35 - SYNCORA GTY Insured
20 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
E-470 Public Highway Authority, Colorado, Senior Revenue
Bonds, Series 2000B:
$ 5,100 0.000%, 9/01/24 - NPFG Insured No Opt. Call A $ 2,087,736
7,500 0.000%, 9/01/29 - NPFG Insured No Opt. Call A 2,117,775
4,000 0.000%, 9/01/33 - NPFG Insured No Opt. Call A 842,360
5,000 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 31.42 Aaa 1,560,300
Bonds, Series 2000B, 0.000%, 9/01/28 (Pre-refunded 9/01/10)
- NPFG Insured
250 Northwest Parkway Public Highway Authority, Colorado, Revenue 6/11 at 102.00 AAA 272,910
Bonds, Senior Series 2001A, 5.250%, 6/15/41 (Pre-refunded
6/15/11) - FSA Insured
1,100 University of Colorado Hospital Authority, Revenue Bonds, 11/11 at 100.00 A3 (4) 1,204,159
Series 2001A, 5.600%, 11/15/31 (Pre-refunded 11/15/11)
-----------------------------------------------------------------------------------------------------------------------------------
39,945 Total Colorado 25,921,933
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 2.4%
1,000 Hillsborough County Industrial Development Authority, Florida, 10/16 at 100.00 A3 962,550
Hospital Revenue Bonds, Tampa General Hospital, Series
2006, 5.250%, 10/01/41
1,500 Jacksonville, Florida, Guaranteed Entitlement Revenue 10/12 at 100.00 A+ 1,555,665
Refunding and Improvement Bonds, Series 2002, 5.000%,
10/01/21 - FGIC Insured
2,500 JEA, Florida, Electric System Revenue Bonds, Series 2006-3A, 4/15 at 100.00 AAA 2,580,500
5.000%, 10/01/41 - FSA Insured
625 Miami-Dade County Expressway Authority, Florida, Toll System 7/11 at 101.00 A3 636,425
Revenue Refunding Bonds, Series 2001, 5.125%, 7/01/29 -
FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
5,625 Total Florida 5,735,140
-----------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.5%
1,100 Hawaii, Certificates of Participation, Kapolei State Office 11/09 at 100.50 N/R 1,113,970
Building, Series 1998A, 5.000%, 5/01/17 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 14.0%
630 Chicago Metropolitan Housing Development Corporation, 1/10 at 100.00 AA 631,468
Illinois, FHA-Insured Section 8 Assisted Housing
Development Revenue Refunding Bonds, Series 1992, 6.800%,
7/01/17
590 Chicago, Illinois, Motor Fuel Tax Revenue Bonds, Series 2003A, 7/13 at 100.00 AA+ 604,957
5.000%, 1/01/33 - AMBAC Insured
1,665 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 A1 1,707,990
O'Hare International Airport, Series 2005A, 5.000%, 1/01/33
- FGIC Insured
600 Illinois Educational Facilities Authority, Student Housing 5/12 at 101.00 Aaa 683,490
Revenue Bonds, Educational Advancement Foundation Fund,
University Center Project, Series 2002, 6.000%, 5/01/22
(Pre-refunded 5/01/12)
1,050 Illinois Finance Authority, Revenue Bonds, Loyola University 7/17 at 100.00 AA 1,150,853
of Chicago, Tender Option Bond Trust 1137, 8.932%, 7/01/46
(IF)
2,185 Illinois Finance Authority, Revenue Bonds, YMCA of Southwest 9/15 at 100.00 Aa3 2,052,021
Illinois, Series 2005, 5.000%, 9/01/31 - RAAI Insured
2,255 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/12 at 100.00 A- 2,331,129
Forest Hospital, Series 2002A, 6.250%, 7/01/22
1,055 Illinois Health Facilities Authority, Revenue Bonds, Loyola 7/11 at 100.00 Baa3 (4) 1,140,117
University Health System, Series 2001A, 6.125%, 7/01/31
(Pre-refunded 7/01/11)
100 Illinois Health Facilities Authority, Revenue Refunding Bonds, 11/09 at 100.00 N/R 98,212
Rockford Health System, Series 1997, 5.000%, 8/15/21 -
AMBAC Insured
1,000 Illinois Housing Development Authority, Housing Finance Bonds, 1/15 at 100.00 A+ 992,110
Series 2005E, 4.750%, 7/01/30 - FGIC Insured
5,700 Illinois, Sales Tax Revenue Bonds, First Series 2002, 5.000%, 6/13 at 100.00 AAA 6,193,049
6/15/22
45 Metropolitan Pier and Exposition Authority, Illinois, Revenue 12/09 at 100.00 A2 45,142
Bonds, McCormick Place Expansion Project, Series 1992A,
6.500%, 6/15/22
7,000 Metropolitan Pier and Exposition Authority, Illinois, Revenue 6/12 at 101.00 AAA 7,382,338
Refunding Bonds, McCormick Place Expansion Project, Series
2002B, 5.000%, 6/15/21 - NPFG Insured
5,045 Sauk Village, Illinois, General Obligation Alternate Revenue 12/12 at 100.00 A 5,044,647
Source Bonds, Tax Increment, Series 2002A, 5.000%, 6/01/22
- RAAI Insured
Nuveen Investments 21
NXQ | Nuveen Select Tax-Free Income Portfolio 2 (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
Sauk Village, Illinois, General Obligation Alternate Revenue
Source Bonds, Tax Increment, Series 2002B:
$ 1,060 0.000%, 12/01/17 - RAAI Insured No Opt. Call A $ 728,082
1,135 0.000%, 12/01/18 - RAAI Insured No Opt. Call A 728,080
1,100 Schaumburg, Illinois, General Obligation Bonds, Series 2004B, 12/14 at 100.00 AA+ 1,159,895
5.250%, 12/01/34 - FGIC Insured
1,000 Yorkville, Illinois, General Obligation Debt Certificates, 12/11 at 100.00 BBB- (4) 1,093,220
Series 2003, 5.000%, 12/15/21 (Pre-refunded 12/15/11) -
RAAI Insured
-----------------------------------------------------------------------------------------------------------------------------------
33,215 Total Illinois 33,766,800
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.9%
1,000 Franklin Community Multi-School Building Corporation, Marion 7/14 at 100.00 A (4) 1,156,700
County, Indiana, First Mortgage Revenue Bonds, Series
2004, 5.000%, 7/15/22 (Pre-refunded 7/15/14) - FGIC Insured
750 Indiana Health and Educational Facilities Financing No Opt. Call Aa1 771,225
Authority, Revenue Bonds, Ascension Health, Series
2006B-5, 5.000%, 11/15/36
1,000 Indiana Health Facility Financing Authority, Revenue Bonds, 3/17 at 100.00 BBB 990,170
Community Foundation of Northwest Indiana, Series 2007,
5.500%, 3/01/37
835 Indiana Housing Finance Authority, Single Family Mortgage 7/11 at 100.00 Aaa 835,042
Revenue Bonds, Series 2002C-2, 5.250%, 7/01/23
(Alternative Minimum Tax)
4,380 Indiana Municipal Power Agency, Power Supply System Revenue 1/12 at 100.00 A+ 4,508,684
Bonds, Series 2002A, 5.125%, 1/01/21 - AMBAC Insured
290 St. Joseph County Hospital Authority, Indiana, Revenue Bonds, 2/10 at 100.00 AA- 290,290
Memorial Health System, Series 1998A, 4.625%, 8/15/28 -
NPFG Insured
750 West Clark 2000 School Building Corporation, Clark County, 1/15 at 100.00 AA+ 802,305
Indiana, First Mortgage Bonds, Series 2005, 5.000%,
7/15/22 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
9,005 Total Indiana 9,354,416
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 3.4%
1,875 Iowa Finance Authority, Single Family Mortgage Revenue Bonds, 7/16 at 100.00 AAA 1,784,569
Series 2007B, 4.800%, 1/01/37 (Alternative Minimum Tax)
1,000 Iowa Tobacco Settlement Authority, Asset Backed Settlement 6/15 at 100.00 BBB 769,950
Revenue Bonds, Series 2005C, 5.375%, 6/01/38
1,000 Iowa Tobacco Settlement Authority, Tobacco Asset-Backed 6/17 at 100.00 BBB 911,680
Revenue Bonds, Series 2005B, 5.600%, 6/01/34
Iowa Tobacco Settlement Authority, Tobacco Settlement
Asset-Backed Revenue Bonds, Series 2001B:
960 5.300%, 6/01/25 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 1,028,669
3,500 5.600%, 6/01/35 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 3,782,835
-----------------------------------------------------------------------------------------------------------------------------------
8,335 Total Iowa 8,277,703
-----------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.7%
795 Lawrence, Kansas, Hospital Revenue Bonds, Lawrence Memorial 7/16 at 100.00 A3 735,168
Hospital, Series 2006, 4.875%, 7/01/36
1,000 Salina, Kansas, Hospital Revenue Bonds, Salina Regional 4/13 at 100.00 A1 963,150
Medical Center, Series 2006, 4.500%, 10/01/26
-----------------------------------------------------------------------------------------------------------------------------------
1,795 Total Kansas 1,698,318
-----------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.3%
2,180 Louisiana Public Facilities Authority, Revenue Bonds, Baton 7/14 at 100.00 A 2,276,596
Rouge General Hospital, Series 2004, 5.250%, 7/01/24 -
NPFG Insured
3,000 Louisiana Public Facilities Authority, Revenue Bonds, Tulane 7/12 at 100.00 A2 (4) 3,329,520
University, Series 2002A, 5.125%, 7/01/27 (Pre-refunded
7/01/12) - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
5,180 Total Louisiana 5,606,116
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 3.5%
3,000 Massachusetts Health and Educational Facilities Authority, 10/11 at 101.00 BBB+ 3,058,200
Revenue Bonds, Berkshire Health System, Series 2001E,
6.250%, 10/01/31
500 Massachusetts Health and Educational Facilities Authority, 7/18 at 100.00 A3 502,780
Revenue Bonds, CareGroup Inc., Series 2008E-1, 5.000%,
7/01/28
22 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS (continued)
$ 2,565 Massachusetts Turnpike Authority, Metropolitan Highway System 1/10 at 100.00 A $ 2,564,846
Revenue Bonds, Senior Series 1997A, 5.000%, 1/01/37 - NPFG
Insured
1,270 Massachusetts Water Resources Authority, General Revenue No Opt. Call Aa2 (4) 1,448,600
Bonds, Series 1993C, 5.250%, 12/01/15 - MBIA Insured (ETM)
820 Massachusetts Water Resources Authority, General Revenue No Opt. Call Aa2 942,237
Bonds, Series 1993C, 5.250%, 12/01/15 - MBIA Insured
-----------------------------------------------------------------------------------------------------------------------------------
8,155 Total Massachusetts 8,516,663
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 1.5%
545 Detroit, Michigan, General Obligation Bonds, Series 2003A, 4/13 at 100.00 BB 482,031
5.250%, 4/01/19 - SYNCORA GTY Insured
2,900 Michigan State Hospital Finance Authority, Hospital Revenue 12/12 at 100.00 AA 2,959,392
Refunding Bonds, Trinity Health Credit Group, Series
2002C, 5.375%, 12/01/30
250 Royal Oak Hospital Finance Authority, Michigan, Hospital 9/18 at 100.00 A1 296,773
Revenue Bonds, William Beaumont Hospital, Refunding Series
2009V, 8.250%, 9/01/39
-----------------------------------------------------------------------------------------------------------------------------------
3,695 Total Michigan 3,738,196
-----------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 0.6%
1,500 Minnesota Housing Finance Agency, Residential Housing Finance 7/16 at 100.00 AA+ 1,415,595
Bonds, Series 2007-I, 4.850%, 7/01/38 (Alternative Minimum
Tax)
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.2%
500 Mississippi Development Bank, Revenue Bonds, Mississippi 3/16 at 100.00 Baa2 497,830
Municipal Energy Agency, Mississippi Power, Series 2006A,
5.000%, 3/01/21 - SYNCORA GTY Insured
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 2.0%
1,500 Clark County, Nevada, General Obligation Bank Bonds, Southern 6/11 at 100.00 AA+ (4) 1,616,265
Nevada Water Authority Loan, Series 2001, 5.300%, 6/01/19
(Pre-refunded 6/01/11) - FGIC Insured
Director of Nevada State Department of Business and Industry,
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000:
4,595 0.000%, 1/01/22 - AMBAC Insured No Opt. Call Caa2 430,506
13,250 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 Caa2 2,688,293
-----------------------------------------------------------------------------------------------------------------------------------
19,345 Total Nevada 4,735,064
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.8%
2,500 New Jersey Health Care Facilities Financing Authority, 7/13 at 100.00 Ba2 2,034,425
Revenue Bonds, Somerset Medical Center, Series 2003,
5.500%, 7/01/23
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2003:
1,000 6.375%, 6/01/32 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 1,147,400
1,010 6.250%, 6/01/43 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 1,185,185
-----------------------------------------------------------------------------------------------------------------------------------
4,510 Total New Jersey 4,367,010
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 3.0%
1,000 New Mexico Mortgage Finance Authority, Multifamily Housing 9/17 at 100.00 AAA 998,400
Revenue Bonds, St Anthony, Series 2007A, 5.250%, 9/01/42
(Alternative Minimum Tax)
University of New Mexico, FHA-Insured Mortgage Hospital
Revenue Bonds, Series 2004:
555 4.625%, 1/01/25 - FSA Insured 7/14 at 100.00 AAA 566,472
660 4.625%, 7/01/25 - FSA Insured 7/14 at 100.00 AAA 673,642
2,000 4.750%, 7/01/27 - FSA Insured 7/14 at 100.00 AAA 2,039,920
3,000 4.750%, 1/01/28 - FSA Insured 7/14 at 100.00 AAA 3,048,000
-----------------------------------------------------------------------------------------------------------------------------------
7,215 Total New Mexico 7,326,434
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 4.4%
2,045 Dormitory Authority of the State of New York, Revenue Bonds, 7/10 at 101.00 A2 2,103,937
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/17
655 Dormitory Authority of the State of New York, Revenue Bonds, 7/10 at 101.00 A2 (4) 687,796
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/17 (Pre-refunded 7/01/10)
Nuveen Investments 23
NXQ | Nuveen Select Tax-Free Income Portfolio 2 (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 2,000 New York City Municipal Water Finance Authority, New York, 12/14 at 100.00 AAA $ 2,092,120
Water and Sewerage System Revenue Bonds, Series 2004B,
5.000%, 6/15/36 - FSA Insured (UB)
1,700 New York Dorm Authority, FHA Insured Mortgage Hospital 8/16 at 100.00 BBB 1,662,923
Revenue Bonds, Kaleida Health, Series 2006, 4.700%, 2/15/35
3,000 New York State Tobacco Settlement Financing Corporation, 6/11 at 100.00 AA- 3,141,330
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/16
870 Triborough Bridge and Tunnel Authority, New York, Convention No Opt. Call AA- 884,338
Center Bonds, Series 1990E, 7.250%, 1/01/10
-----------------------------------------------------------------------------------------------------------------------------------
10,270 Total New York 10,572,444
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 0.5%
1,155 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/11 at 101.00 AA- 1,170,131
Healthcare System Revenue Bonds, Carolinas Healthcare
System, Series 2001A, 5.000%, 1/15/31
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.1%
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco
Settlement Asset-Backed Revenue Bonds, Senior Lien, Series
2007A-2:
1,865 5.375%, 6/01/24 6/17 at 100.00 BBB 1,814,160
50 5.125%, 6/01/24 6/17 at 100.00 BBB 47,402
680 5.875%, 6/01/30 6/17 at 100.00 BBB 649,808
775 5.750%, 6/01/34 6/17 at 100.00 BBB 726,508
2,180 5.875%, 6/01/47 6/17 at 100.00 BBB 1,773,430
-----------------------------------------------------------------------------------------------------------------------------------
5,550 Total Ohio 5,011,308
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.5%
1,000 Norman Regional Hospital Authority, Oklahoma, Hospital 9/16 at 100.00 BBB- 808,310
Revenue Bonds, Series 2005, 5.375%, 9/01/36
3,000 Oklahoma Development Finance Authority, Revenue Bonds, Saint 2/17 at 100.00 A 2,861,220
John Health System, Series 2007, 5.000%, 2/15/42
-----------------------------------------------------------------------------------------------------------------------------------
4,000 Total Oklahoma 3,669,530
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.9%
1,000 Philadelphia Authority for Industrial Development, 7/11 at 101.00 A+ 1,033,890
Pennsylvania, Airport Revenue Bonds, Philadelphia Airport
System Project, Series 2001A, 5.500%, 7/01/17 - FGIC
Insured (Alternative Minimum Tax)
3,250 Philadelphia School District, Pennsylvania, General 2/12 at 100.00 AAA 3,591,185
Obligation Bonds, Series 2002A, 5.500%, 2/01/31
(Pre-refunded 2/01/12) - FSA Insured
-----------------------------------------------------------------------------------------------------------------------------------
4,250 Total Pennsylvania 4,625,075
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 1.4%
1,035 Puerto Rico Housing Finance Authority, Capital Fund Program 12/13 at 100.00 AA+ 1,090,424
Revenue Bonds, Series 2003, 5.000%, 12/01/20
1,965 Puerto Rico Housing Finance Authority, Capital Fund Program 12/12 at 100.00 AAA 2,239,452
Revenue Bonds, Series 2003, 5.000%, 12/01/20 (Pre-refunded
12/01/12)
-----------------------------------------------------------------------------------------------------------------------------------
3,000 Total Puerto Rico 3,329,876
-----------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 2.4%
5,835 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB 5,786,160
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.250%, 6/01/42
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 5.6%
700 Dorchester County School District 2, South Carolina, 12/14 at 100.00 AA- 754,243
Installment Purchase Revenue Bonds, GROWTH, Series 2004,
5.250%, 12/01/20
620 Florence, South Carolina, Water and Sewerage Revenue Bonds, 3/10 at 101.00 A+ 636,951
Series 2000, 5.750%, 3/01/20 - AMBAC Insured
4,000 Greenville County School District, South Carolina, 12/12 at 101.00 AA (4) 4,633,520
Installment Purchase Revenue Bonds, Series 2002, 5.875%,
12/01/19 (Pre-refunded 12/01/12)
2,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A+ (4) 2,947,275
Hospital Revenue Refunding and Improvement Bonds, Series
2003, 6.000%, 11/01/18 (Pre-refunded 11/01/13)
24 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA (continued)
Medical University Hospital Authority, South Carolina,
FHA-Insured Mortgage Revenue Bonds, Series 2004A:
$ 500 5.250%, 8/15/20 - NPFG Insured 8/14 at 100.00 A $ 529,705
2,435 5.250%, 2/15/21 - NPFG Insured 8/14 at 100.00 A 2,576,668
845 Piedmont Municipal Power Agency, South Carolina, Electric 1/10 at 100.00 A 845,651
Revenue Refunding Bonds, Series 1998A, 4.750%, 1/01/25 -
NPFG Insured
475 The College of Charleston, Charleston South Carolina, 4/14 at 100.00 A2 488,148
Academic and Administrative Revenue Bonds, Series 2004B,
5.125%, 4/01/30 - SYNCORA GTY Insured
-----------------------------------------------------------------------------------------------------------------------------------
12,075 Total South Carolina 13,412,161
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.4%
1,000 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 AA- 1,010,170
Revenue Bonds, Sioux Valley Hospitals, Series 2004A,
5.250%, 11/01/34
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 12.2%
4,000 Brazos River Harbor Navigation District, Brazoria County, 5/12 at 101.00 BBB- 3,902,800
Texas, Environmental Facilities Revenue Bonds, Dow
Chemical Company Project, Series 2002A-6, 6.250%, 5/15/33
(Mandatory put 5/15/17) (Alternative Minimum Tax)
1,500 Central Texas Regional Mobility Authority, Travis and 1/15 at 100.00 A 1,348,365
Williamson Counties, Toll Road Revenue Bonds, Series 2005,
5.000%, 1/01/45 - FGIC Insured
1,000 Dallas Area Rapid Transit, Texas, Senior Lien Sales Tax 12/11 at 100.00 AAA 1,090,620
Revenue Bonds, Series 2001, 5.000%, 12/01/31 (Pre-refunded
12/01/11) - AMBAC Insured
2,500 Harris County Health Facilities Development Corporation, No Opt. Call A (4) 2,944,450
Texas, Hospital Revenue Bonds, Texas Children's Hospital,
Series 1995, 5.500%, 10/01/16 - MBIA Insured (ETM)
3,000 Harris County Health Facilities Development Corporation, 11/13 at 100.00 AA 3,070,500
Texas, Thermal Utility Revenue Bonds, TECO Project, Series
2003, 5.000%, 11/15/30 - NPFG Insured
6,610 Harris County-Houston Sports Authority, Texas, Junior Lien 11/31 at 53.78 A 668,734
Revenue Bonds, Series 2001H, 0.000%, 11/15/41 - NPFG
Insured
2,000 Houston, Texas, Subordinate Lien Airport System Revenue 7/12 at 100.00 AAA 2,077,700
Bonds, Series 2002A, 5.625%, 7/01/20 - FSA Insured
(Alternative Minimum Tax)
3,125 Katy Independent School District, Harris, Fort Bend and 2/12 at 100.00 AAA 3,425,375
Waller Counties, Texas, General Obligation Bonds, Series
2002A, 5.000%, 2/15/32 (Pre-refunded 2/15/12)
1,400 Kerrville Health Facilities Development Corporation, Texas, No Opt. Call BBB- 1,285,648
Revenue Bonds, Sid Peterson Memorial Hospital Project,
Series 2005, 5.375%, 8/15/35
90 Lewisville Independent School District, Denton County, Texas, 8/11 at 100.00 AAA 95,559
General Obligation Bonds, Series 2004, 5.000%, 8/15/23
910 Lewisville Independent School District, Denton County, Texas, 8/11 at 100.00 AAA 983,756
General Obligation Bonds, Series 2004, 5.000%, 8/15/23
(Pre-refunded 8/15/11)
335 Live Oak, Texas, General Obligation Bonds, Series 2004, 8/14 at 100.00 Baa1 355,696
5.250%, 8/01/20 - NPFG Insured
4,850 Sam Rayburn Municipal Power Agency, Texas, Power Supply 10/12 at 100.00 BBB 5,034,446
System Revenue Refunding Bonds, Series 2002A, 5.500%,
10/01/17 - RAAI Insured
1,000 San Antonio, Texas, Water System Revenue Bonds, Series 2005, 5/15 at 100.00 AA 1,023,230
4.750%, 5/15/37 - NPFG Insured
500 Texas Water Development Board, Senior Lien State Revolving 7/10 at 100.00 AAA 518,760
Fund Revenue Bonds, Series 2000A, 5.625%, 7/15/13
1,560 Texas, General Obligation Bonds, Water Financial Assistance 8/13 at 100.00 AA+ 1,563,120
Program, Series 2003A, 5.125%, 8/01/42 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
34,380 Total Texas 29,388,759
-----------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.7%
1,435 Salt Lake City and Sandy Metropolitan Water District, Utah, 7/14 at 100.00 Aa3 1,587,440
Water Revenue Bonds, Series 2004, 5.000%, 7/01/21 - AMBAC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
VERMONT - 0.4%
915 Vermont Housing Finance Agency, Multifamily Housing Bonds, 2/10 at 100.00 AAA 916,482
Series 1999C, 5.800%, 8/15/16 - FSA Insured
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 25
NXQ | Nuveen Select Tax-Free Income Portfolio 2 (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 1.1%
$ 1,340 Metropolitan District of Columbia Airports Authority, 10/10 at 100.00 AA- $ 1,343,631
Virginia, Airport System Revenue Bonds, Series 1998B,
5.000%, 10/01/28 - NPFG Insured (Alternative Minimum Tax)
1,500 Metropolitan Washington DC Airports Authority, Virginia, 10/26 at 100.00 AAA 1,079,100
Dulles Toll Road Revenue Bonds, Series 2009C., 0.000%,
10/01/41 - AGC Insured
250 Norfolk, Virginia, Water Revenue Bonds, Series 1995, 5.750%, 12/09 at 100.00 A1 251,005
11/01/13 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
3,090 Total Virginia 2,673,736
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 2.9%
6,715 Washington State Healthcare Facilities Authority, Revenue 10/11 at 100.00 AA 7,007,706
Bonds, Sisters of Providence Health System, Series 2001A,
5.125%, 10/01/17 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.1%
1,000 Wisconsin Health and Educational Facilities Authority, 8/13 at 100.00 BBB+ 1,008,950
Revenue Bonds, Wheaton Franciscan Services Inc., Series
2003A, 5.500%, 8/15/18
1,695 Wisconsin Housing and Economic Development Authority, Home 3/12 at 100.00 AA 1,741,646
Ownership Revenue Bonds, Series 2002G, 4.850%, 9/01/17
-----------------------------------------------------------------------------------------------------------------------------------
2,695 Total Wisconsin 2,750,596
-----------------------------------------------------------------------------------------------------------------------------------
$ 269,355 Total Municipal Bonds (cost $241,589,010) 237,327,839
=================------------------------------------------------------------------------------------------------------------------
SHARES DESCRIPTION (1) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCKS - 0.0%
AIRLINES - 0.0%
757 UAL Corporation, (5) $ 6,980
=================------------------------------------------------------------------------------------------------------------------
Total Common Stocks (cost $0) 6,980
---------------------------------------------------------------------------------------------------------------
Total Investments (cost $241,589,010) - 98.4% 237,334,819
---------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (0.4)% (1,000,000)
---------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.0% 4,815,221
---------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 241,150,040
===============================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(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) On December 9, 2002, UAL Corporation ("UAL"), the holding company of
United Air Lines, Inc. ("United") filed for federal bankruptcy protection.
The Adviser determined that it was likely that United would not remain
current on their interest payment obligations with respect to the bonds
previously held and thus the Fund had stopped accruing interest on its UAL
bonds. On February 1, 2006, UAL emerged from federal bankruptcy with the
acceptance of its reorganization plan by the bankruptcy court. Under the
settlement agreement established to meet UAL's unsecured bond obligations,
the bondholders, including the Fund, received three distributions of UAL
common stock over the subsequent months, and the bankruptcy court
dismissed all unsecured claims of bondhold- ers, including those of the
Fund. On May 5, 2006, the Fund liquidated such UAL common stock holdings.
On September 29, 2006 and May 30, 2007, the Fund received additional
distributions of 1,825 and 592 shares, respectively, of UAL common stock
as a result of its earlier ownership of the UAL bonds. The Fund liquidated
the 1,825 shares of such UAL common stock holdings on November 15, 2006.
The Fund received an additional distribution of 165 UAL common stock
shares on November 14, 2007. The remaining 757 shares of UAL common stock
were still held by the Fund at September 30, 2009.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underling 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.
26 Nuveen Investments
NXR | Nuveen Select Tax-Free Income Portfolio 3
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS - 98.7%
ALABAMA - 0.3%
$ 500 Marshall County Healthcare Authority, Alabama, Revenue 1/12 at 101.00 A- $ 517,585
Bonds, Series 2002A, 6.250%, 1/01/22
-----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 10.0%
2,105 Azusa Unified School District, Los Angeles County, 7/12 at 100.00 AAA 2,289,566
California, General Obligation Bonds, Series 2002,
5.375%, 7/01/21 - FSA Insured
1,000 California County Tobacco Securitization Agency, Tobacco 12/18 at 100.00 Baa3 711,360
Settlement Asset-Backed Bonds, Los Angeles County
Securitization Corporation, Series 2006A, 0.000%, 6/01/36
1,000 California County Tobacco Securitization Agency, Tobacco 6/15 at 100.00 BBB 882,000
Settlement Asset-Backed Bonds, Sonoma County Tobacco
Securitization Corporation, Series 2005, 5.000%, 6/01/26
3,350 California Department of Water Resources, Power Supply 5/12 at 101.00 Aa3 3,761,079
Revenue Bonds, Series 2002A, 6.000%, 5/01/14
2,595 California Health Facilities Financing Authority, Revenue 4/16 at 100.00 A+ 2,597,855
Bonds, Kaiser Permanante System, Series 2006, 5.000%,
4/01/37
1,000 California Statewide Community Development Authority, 8/19 at 100.00 AA 1,100,280
Revenue Bonds, Methodist Hospital Project, Series 2009,
6.750%, 2/01/38
295 California Statewide Financing Authority, Tobacco No Opt. Call Baa3 295,932
Settlement Asset-Backed Bonds, Pooled Tobacco
Securitization Program, Series 2002A, 5.625%, 5/01/29
Golden State Tobacco Securitization Corporation,
California, Enhanced Tobacco Settlement Asset-Backed
Bonds, Series 2007A-1:
775 4.500%, 6/01/27 6/17 at 100.00 BBB 718,665
1,250 5.000%, 6/01/33 6/17 at 100.00 BBB 1,086,863
3,000 Golden State Tobacco Securitization Corporation, 6/13 at 100.00 AAA 3,550,170
California, Tobacco Settlement Asset-Backed Bonds,
Series 2003A-1, 6.750%, 6/01/39 (Pre-refunded 6/01/13)
1,500 Placer Union High School District, Placer County, No Opt. Call AAA 396,690
California, General Obligation Bonds, Series 2004C,
0.000%, 8/01/32 - FSA Insured
3,940 Rancho Mirage Redevelopment Agency, California, Tax No Opt. Call A+ 857,423
Allocation Bonds, Combined Whitewater and 1984 Project
Areas, Series 2003A, 0.000%, 4/01/35 - NPFG Insured
250 Santa Ana Unified School District, Orange County, 8/10 at 101.00 A+ 257,960
California, General Obligation Bonds, Series 2000,
5.700%, 8/01/29 - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
22,060 Total California 18,505,843
-----------------------------------------------------------------------------------------------------------------------------------
COLORADO - 6.9%
1,540 Arkansas River Power Authority, Colorado, Power Revenue 10/16 at 100.00 BBB 1,451,635
Bonds, Series 2006, 5.250%, 10/01/40 - SYNCORA GTY
Insured
400 Colorado Department of Transportation, Certificates of 6/14 at 100.00 AA- 414,380
Participation, Series 2004, 5.000%, 6/15/34 - NPFG
Insured
2,265 Colorado Health Facilities Authority, Revenue Bonds, 3/12 at 100.00 AA (4) 2,493,403
Catholic Health Initiatives, Series 2002A, 5.500%,
3/01/22 (ETM)
1,735 Colorado Health Facilities Authority, Revenue Bonds, 3/12 at 100.00 AA (4) 1,916,099
Catholic Health Initiatives, Series 2002A, 5.500%,
3/01/22 (Pre-refunded 3/01/12)
2,065 Denver City and County, Colorado, Airport System Revenue No Opt. Call A+ 2,288,392
Bonds, Series 1991D, 7.750%, 11/15/13 (Alternative
Minimum Tax)
3,000 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 N/R (4) 3,360,900
Revenue Bonds, Convention Center Hotel, Series 2003A,
5.000%, 12/01/24 (Pre-refunded 12/01/13) - SYNCORA GTY
Insured
2,485 E-470 Public Highway Authority, Colorado, Toll Revenue 9/20 at 63.98 A 760,137
Bonds, Series 2004B, 0.000%, 9/01/28 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
13,490 Total Colorado 12,684,946
-----------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.1%
250 Connecticut Health and Educational Facilities Authority, 1/10 at 100.00 A 251,090
Revenue Bonds, Bridgeport Hospital Issue, Series 1992A,
6.625%, 7/01/18 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 27
NXR | Nuveen Select Tax-Free Income Portfolio 3 (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.4%
$ 370 District of Columbia Tobacco Settlement Corporation, 5/11 at 101.00 BBB $ 374,329
Tobacco Settlement Asset-Backed Bonds, Series 2001,
6.250%, 5/15/24
15 District of Columbia, General Obligation Bonds, Series 11/09 at 100.00 AAA 15,066
1993E, 6.000%, 6/01/13 - MBIA Insured (ETM)
235 District of Columbia, General Obligation Refunding Bonds, No Opt. Call A+ 243,688
Series 1994A-1, 6.500%, 6/01/10 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
620 Total District of Columbia 633,083
-----------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 5.5%
1,000 Hillsborough County Industrial Development Authority, 10/16 at 100.00 A3 962,550
Florida, Hospital Revenue Bonds, Tampa General Hospital,
Series 2006, 5.250%, 10/01/41
5,020 JEA St. John's River Power Park System, Florida, Revenue 10/11 at 100.00 Aa2 5,176,423
Refunding Bonds, Issue 2, Series 2002-17, 5.000%,
10/01/18
4,000 JEA, Florida, Subordinate Lien Electric System Revenue 11/09 at 100.00 Aa3 4,002,520
Bonds, Series 2002D, 4.625%, 10/01/22
-----------------------------------------------------------------------------------------------------------------------------------
10,020 Total Florida 10,141,493
-----------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.1%
265 Atlanta, Georgia, Airport Facilities Revenue Bonds, Series No Opt. Call A+ 262,596
1990, 0.000%, 1/01/10 - MBIA Insured (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 18.9%
90 Chicago Metropolitan Housing Development Corporation, 1/10 at 100.00 AA 90,167
Illinois, FHA-Insured Section 8 Assisted Housing
Development Revenue Refunding Bonds, Series 1992,
6.850%, 7/01/22
1,930 Illinois Development Finance Authority, Revenue Bonds, 5/11 at 101.00 AAA 2,095,382
Midwestern University, Series 2001B, 5.750%, 5/15/16
(Pre-refunded 5/15/11)
1,050 Illinois Finance Authority, Revenue Bonds, Loyola 7/17 at 100.00 AA 1,150,853
University of Chicago, Tender Option Bond Trust 1137,
8.932%, 7/01/46 (IF)
2,185 Illinois Finance Authority, Revenue Bonds, YMCA of 9/15 at 100.00 Aa3 2,052,021
Southwest Illinois, Series 2005, 5.000%, 9/01/31 - RAAI
Insured
4,440 Illinois Health Facilities Authority, Remarketed Revenue 8/11 at 103.00 Aa1 4,691,792
Bonds, University of Chicago Project, Series 1985A,
5.500%, 8/01/20
1,500 Illinois Health Facilities Authority, Revenue Bonds, No Opt. Call N/R (4) 1,915,290
Evangelical Hospitals Corporation, Series 1992C, 6.250%,
4/15/22 (ETM)
315 Illinois Health Facilities Authority, Revenue Bonds, Holy 11/09 at 100.00 A 315,082
Family Medical Center, Series 1997, 5.125%, 8/15/17 -
NPFG Insured
2,225 Illinois Health Facilities Authority, Revenue Refunding 1/13 at 100.00 Baa1 2,308,015
Bonds, Elmhurst Memorial Healthcare, Series 2002,
6.250%, 1/01/17
335 Illinois Health Facilities Authority, Revenue Refunding 11/09 at 100.00 N/R 329,010
Bonds, Rockford Health System, Series 1997, 5.000%,
8/15/21 - AMBAC Insured
2,500 Illinois Housing Development Authority, Homeowner Mortgage 2/16 at 100.00 AA 2,509,925
Revenue Bonds, Series 2006C2, 5.050%, 8/01/27
(Alternative Minimum Tax)
5,700 Illinois, Sales Tax Revenue Bonds, First Series 2002, 6/13 at 100.00 AAA 6,193,050
5.000%, 6/15/22
2,000 Illinois, Sales Tax Revenue Bonds, Series 1997X, 5.600%, 11/09 at 100.00 AAA 2,007,420
6/15/17
1,000 Kankakee & Will Counties Community Unit School District 5, No Opt. Call Aa3 559,520
Illinois, General Obligation Bonds, Series 2006, 0.000%,
5/01/23 - FSA Insured
6,000 Metropolitan Pier and Exposition Authority, Illinois, 6/12 at 101.00 AAA 6,327,717
Revenue Refunding Bonds, McCormick Place Expansion
Project, Series 2002B, 5.000%, 6/15/21 - NPFG Insured
1,300 Schaumburg, Illinois, General Obligation Bonds, Series 12/14 at 100.00 AA+ 1,370,785
2004B, 5.250%, 12/01/34 - FGIC Insured
1,000 Yorkville, Illinois, General Obligation Debt Certificates, 12/11 at 100.00 BBB- (4) 1,093,220
Series 2003, 5.000%, 12/15/22 (Pre-refunded 12/15/11) -
RAAI Insured
-----------------------------------------------------------------------------------------------------------------------------------
33,570 Total Illinois 35,009,249
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA - 6.2%
1,000 Franklin Community Multi-School Building Corporation, 7/14 at 100.00 A (4) 1,156,700
Marion County, Indiana, First Mortgage Revenue Bonds,
Series 2004, 5.000%, 7/15/22 (Pre-refunded 7/15/14) -
FGIC Insured
28 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
INDIANA (continued)
$ 3,500 Indiana Health Facility Financing Authority, Hospital 9/11 at 100.00 BBB $ 3,133,130
Revenue Bonds, Methodist Hospitals Inc., Series 2001,
5.375%, 9/15/22
2,210 Indiana Health Facility Financing Authority, Hospital No Opt. Call AAA 2,554,318
Revenue Refunding Bonds, Columbus Regional Hospital,
Series 1993, 7.000%, 8/15/15 - FSA Insured
2,000 Indianapolis Local Public Improvement Bond Bank, Indiana, 7/12 at 100.00 AAA 2,231,060
Waterworks Project, Series 2002A, 5.250%, 7/01/33
(Pre-refunded 7/01/12) - MBIA Insured
2,295 Shelbyville Central Renovation School Building Corporation, 7/15 at 100.00 AA+ 2,373,168
Indiana, First Mortgage Bonds, Series 2005, 4.375%,
7/15/25 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
11,005 Total Indiana 11,448,376
-----------------------------------------------------------------------------------------------------------------------------------
IOWA - 5.4%
2,745 Iowa Finance Authority, Health Facility Revenue Bonds, Care 7/16 at 100.00 BB+ 2,299,788
Initiatives Project, Series 2006A, 5.000%, 7/01/20
750 Iowa Tobacco Settlement Authority, Tobacco Asset-Backed 6/17 at 100.00 BBB 683,760
Revenue Bonds, Series 2005B, 5.600%, 6/01/34
Iowa Tobacco Settlement Authority, Tobacco Settlement
Asset-Backed Revenue Bonds, Series 2001B:
3,695 5.300%, 6/01/25 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 3,959,303
2,850 5.600%, 6/01/35 (Pre-refunded 6/01/11) 6/11 at 101.00 AAA 3,080,309
-----------------------------------------------------------------------------------------------------------------------------------
10,040 Total Iowa 10,023,160
-----------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.1%
Lawrence, Kansas, Hospital Revenue Bonds, Lawrence Memorial
Hospital, Series 2006:
1,425 5.125%, 7/01/26 7/16 at 100.00 A3 1,445,591
700 4.875%, 7/01/36 7/16 at 100.00 A3 647,318
-----------------------------------------------------------------------------------------------------------------------------------
2,125 Total Kansas 2,092,909
-----------------------------------------------------------------------------------------------------------------------------------
MAINE - 0.1%
120 Maine Health and Higher Educational Facilities Authority, 7/11 at 100.00 Aaa 121,674
Revenue Bonds, Series 1999B, 6.000%, 7/01/19 - MBIA
Insured
-----------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.8%
1,000 Massachusetts Development Finance Agency, Resource Recovery 12/09 at 101.00 BBB 948,200
Revenue Bonds, Ogden Haverhill Associates, Series 1998B,
5.200%, 12/01/13 (Alternative Minimum Tax)
15 Massachusetts Health and Educational Facilities Authority, 7/11 at 101.00 AA 16,163
Revenue Bonds, Partners HealthCare System Inc., Series
2001C, 6.000%, 7/01/17
485 Massachusetts Health and Educational Facilities Authority, 7/11 at 101.00 AAA 534,984
Revenue Bonds, Partners HealthCare System Inc., Series
2001C, 6.000%, 7/01/17 (Pre-refunded 7/01/11)
-----------------------------------------------------------------------------------------------------------------------------------
1,500 Total Massachusetts 1,499,347
-----------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 2.6%
1,500 Detroit, Michigan, Sewer Disposal System Revenue Bonds, 7/16 at 100.00 A 1,414,425
Second Lien, Series 2006B, 4.625%, 7/01/34 - FGIC Insured
2,900 Michigan State Hospital Finance Authority, Hospital Revenue 12/12 at 100.00 AA 2,959,392
Refunding Bonds, Trinity Health Credit Group, Series
2002C, 5.375%, 12/01/30
235 Michigan State Hospital Finance Authority, Revenue 2/10 at 100.00 BB- 214,264
Refunding Bonds, Detroit Medical Center Obligated Group,
Series 1993A, 6.500%, 8/15/18
250 Royal Oak Hospital Finance Authority, Michigan, Hospital 9/18 at 100.00 A1 296,773
Revenue Bonds, William Beaumont Hospital, Refunding
Series 2009V, 8.250%, 9/01/39
-----------------------------------------------------------------------------------------------------------------------------------
4,885 Total Michigan 4,884,854
-----------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.4%
725 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 AA 755,088
Revenue Bonds, Baptist Memorial Healthcare, Series
2004B-1, 5.000%, 9/01/24
-----------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.9%
3,500 Nebraska Public Power District, General Revenue Bonds, 1/13 at 100.00 A1 3,584,070
Series 2002B, 5.000%, 1/01/33 - AMBAC Insured
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 29
NXR | Nuveen Select Tax-Free Income Portfolio 3 (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
NEVADA - 3.1%
$ 4,095 Director of Nevada State Department of Business and 1/10 at 100.00 Caa2 $ 830,835
Industry, Revenue Bonds, Las Vegas Monorail Project,
First Tier, Series 2000, 5.375%, 1/01/40 - AMBAC Insured
1,680 Reno, Nevada, Capital Improvement Revenue Bonds, Series 6/12 at 100.00 A 1,704,343
2002, 5.500%, 6/01/22 - FGIC Insured
2,830 Reno, Nevada, Capital Improvement Revenue Bonds, Series 6/12 at 100.00 Baa1 (4) 3,160,770
2002, 5.500%, 6/01/22 (Pre-refunded 6/01/12) - FGIC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
8,605 Total Nevada 5,695,948
-----------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 0.3%
480 New Hampshire Housing Finance Authority, Single Family 5/11 at 100.00 Aa2 486,902
Mortgage Acquisition Bonds, Series 2001A, 5.600%,
7/01/21 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.5%
Tobacco Settlement Financing Corporation, New Jersey,
Tobacco Settlement Asset-Backed Bonds, Series 2003:
1,000 6.750%, 6/01/39 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 1,191,280
1,355 6.250%, 6/01/43 (Pre-refunded 6/01/13) 6/13 at 100.00 AAA 1,590,025
-----------------------------------------------------------------------------------------------------------------------------------
2,355 Total New Jersey 2,781,305
-----------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 2.8%
1,000 New Mexico Mortgage Finance Authority, Multifamily Housing 9/17 at 100.00 AAA 998,400
Revenue Bonds, St Anthony, Series 2007A, 5.250%, 9/01/42
(Alternative Minimum Tax)
4,000 University of New Mexico, FHA-Insured Mortgage Hospital 7/14 at 100.00 AAA 4,082,680
Revenue Bonds, Series 2004, 4.625%, 1/01/25 - FSA Insured
-----------------------------------------------------------------------------------------------------------------------------------
5,000 Total New Mexico 5,081,080
-----------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 3.2%
420 Dormitory Authority of the State of New York, Second No Opt. Call A1 440,315
General Resolution Consolidated Revenue Bonds, City
University System, Series 1990C, 7.500%, 7/01/10
2,335 Long Island Power Authority, New York, Electric System 9/11 at 100.00 AAA 2,547,041
General Revenue Bonds, Series 2001A, 5.375%, 9/01/21
(Pre-refunded 9/01/11)
35 New York City, New York, General Obligation Bonds, Series 11/09 at 100.00 AA 35,177
1991B, 7.000%, 2/01/18
1,000 New York Dorm Authority, FHA Insured Mortgage Hospital 8/16 at 100.00 BBB 978,190
Revenue Bonds, Kaleida Health, Series 2006, 4.700%,
2/15/35
1,850 New York State Tobacco Settlement Financing Corporation, 6/10 at 100.00 AA- 1,888,795
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/15
-----------------------------------------------------------------------------------------------------------------------------------
5,640 Total New York 5,889,518
-----------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 4.2%
5,000 North Carolina Municipal Power Agency 1, Catawba Electric 1/13 at 100.00 A 5,312,400
Revenue Bonds, Series 2003A, 5.250%, 1/01/18 - NPFG
Insured
2,345 Piedmont Triad Airport Authority, North Carolina, Airport 7/11 at 101.00 AAA 2,522,962
Revenue Bonds, Series 2001A, 5.250%, 7/01/16 - FSA
Insured
-----------------------------------------------------------------------------------------------------------------------------------
7,345 Total North Carolina 7,835,362
-----------------------------------------------------------------------------------------------------------------------------------
OHIO - 1.2%
Buckeye Tobacco Settlement Financing Authority, Ohio,
Tobacco Settlement Asset-Backed Revenue Bonds, Senior
Lien, Series 2007A-2:
1,355 5.375%, 6/01/24 6/17 at 100.00 BBB 1,318,063
1,000 6.000%, 6/01/42 6/17 at 100.00 BBB 845,380
-----------------------------------------------------------------------------------------------------------------------------------
2,355 Total Ohio 2,163,443
-----------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.6%
3,000 Oklahoma Development Finance Authority, Revenue Bonds, St. 2/14 at 100.00 A 3,029,160
John Health System, Series 2004, 5.000%, 2/15/24
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.4%
2,435 Dauphin County Industrial Development Authority, No Opt. Call A- 2,800,469
Pennsylvania, Water Development Revenue Refunding Bonds,
Dauphin Consolidated Water Supply Company, Series 1992B,
6.700%, 6/01/17
30 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA (continued)
$ 500 Pennsylvania Higher Educational Facilities Authority, 7/13 at 100.00 BBB+ $ 505,070
Revenue Bonds, Widener University, Series 2003, 5.250%,
7/15/24
1,000 Philadelphia Authority for Industrial Development, 7/11 at 101.00 A+ 1,033,890
Pennsylvania, Airport Revenue Bonds, Philadelphia
Airport System Project, Series 2001A, 5.500%, 7/01/17 -
FGIC Insured (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
3,935 Total Pennsylvania 4,339,429
-----------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.6%
1,000 Puerto Rico Sales Tax Financing Corporation, Sales Tax 8/19 at 100.00 A+ 1,102,200
Revenue Bonds, First Subordinate Series 2009A, 6.000%,
8/01/42
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 3.2%
1,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A+ (4) 1,768,365
Hospital Revenue Refunding and Improvement Bonds, Series
2003, 6.000%, 11/01/18 (Pre-refunded 11/01/13)
1,500 Medical University Hospital Authority, South Carolina, 8/14 at 100.00 A 1,589,115
FHA-Insured Mortgage Revenue Bonds, Series 2004A,
5.250%, 8/15/20 - NPFG Insured
520 South Carolina JOBS Economic Development Authority, 11/12 at 100.00 A3 (4) 590,959
Economic Development Revenue Bonds, Bon Secours Health
System Inc., Series 2002A, 5.625%, 11/15/30
(Pre-refunded 11/15/12)
1,980 South Carolina JOBS Economic Development Authority, 11/12 at 100.00 A- 2,010,116
Economic Development Revenue Bonds, Bon Secours Health
System Inc., Series 2002B, 5.625%, 11/15/30
-----------------------------------------------------------------------------------------------------------------------------------
5,500 Total South Carolina 5,958,555
-----------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 1.1%
1,010 South Dakota Health and Educational Facilities Authority, 7/12 at 101.00 A+ 1,011,394
Revenue Bonds, Avera Health, Series 2002, 5.125%,
7/01/27 - AMBAC Insured
1,000 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 AA- 1,010,170
Revenue Bonds, Sioux Valley Hospitals, Series 2004A,
5.250%, 11/01/34
-----------------------------------------------------------------------------------------------------------------------------------
2,010 Total South Dakota 2,021,564
-----------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.1%
2,000 Knox County Health, Educational and Housing Facilities 4/12 at 101.00 A1 2,086,840
Board, Tennessee, Hospital Revenue Bonds, Baptist Health
System of East Tennessee Inc., Series 2002, 6.375%,
4/15/22
-----------------------------------------------------------------------------------------------------------------------------------
TEXAS - 10.0%
1,500 Central Texas Regional Mobility Authority, Travis and 1/15 at 100.00 A 1,348,365
Williamson Counties, Toll Road Revenue Bonds, Series
2005, 5.000%, 1/01/45 - FGIC Insured
2,500 Harris County Health Facilities Development Corporation, 11/13 at 100.00 AA 2,558,750
Texas, Thermal Utility Revenue Bonds, TECO Project,
Series 2003, 5.000%, 11/15/30 - NPFG Insured
4,005 Harris County-Houston Sports Authority, Texas, Senior Lien 11/30 at 61.17 A 535,228
Revenue Refunding Bonds, Series 2001A, 0.000%, 11/15/38
- NPFG Insured
3,000 Houston, Texas, Subordinate Lien Airport System Revenue 7/12 at 100.00 AAA 3,304,380
Bonds, Series 2002B, 5.500%, 7/01/18 - FSA Insured
3,125 Katy Independent School District, Harris, Fort Bend and 2/12 at 100.00 AAA 3,425,375
Waller Counties, Texas, General Obligation Bonds, Series
2002A, 5.000%, 2/15/32 (Pre-refunded 2/15/12)
4,750 Sam Rayburn Municipal Power Agency, Texas, Power Supply 10/12 at 100.00 BBB 4,930,643
System Revenue Refunding Bonds, Series 2002A, 5.500%,
10/01/17 - RAAI Insured
1,750 Texas, General Obligation Bonds, Water Financial Assistance 8/13 at 100.00 AA+ 1,753,500
Program, Series 2003A, 5.125%, 8/01/42 (Alternative
Minimum Tax)
500 Victoria, Texas, General Obligation Bonds, Series 2001, 8/11 at 100.00 AA 528,025
5.000%, 8/15/23 - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
21,130 Total Texas 18,384,266
-----------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 0.3%
510 Port of Seattle, Washington, Revenue Bonds, Series 2001A, 10/11 at 100.00 Aa2 517,171
5.000%, 4/01/31 - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 31
NXR | Nuveen Select Tax-Free Income Portfolio 3 (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.4%
$ 2,500 Wisconsin, General Obligation Refunding Bonds, Series 11/13 at 100.00 AA $ 2,647,400
2003-3, 5.000%, 11/01/26
-----------------------------------------------------------------------------------------------------------------------------------
$ 188,040 Total Municipal Bonds (cost $176,568,445) 182,435,506
=================------------------------------------------------------------------------------------------------------------------
SHARES DESCRIPTION (1) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
COMMON STOCKS - 0.0%
AIRLINES - 0.0%
220 UAL Corporation, (5) $ 2,028
=================------------------------------------------------------------------------------------------------------------------
Total Common Stocks (cost $0) 2,028
---------------------------------------------------------------------------------------------------------------
Total Long-Term Investments (cost $176,568,445) - 98.7% 182,437,534
===============================================================================================================
PRINCIPAL
AMOUNT (000) DESCRIPTION (1) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.2%
$ 407 State Street Bank Euro Dollar Time Deposit, 0.010%, 10/01/09 $ 407,041
=================------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (cost $407,041) 407,041
---------------------------------------------------------------------------------------------------------------
Total Investments (cost $176,975,486) - 98.9% 182,844,575
---------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.1% 1,994,222
---------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 184,838,797
===============================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(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) On December 9, 2002, UAL Corporation ("UAL"), the holding company of
United Air Lines, Inc. ("United") filed for federal bankruptcy protection.
The Adviser determined that it was likely that United would not remain
current on their interest payment obligations with respect to the bonds
previously held and thus the Fund had stopped accruing interest on its UAL
bonds. On February 1, 2006, UAL emerged from federal bankruptcy with the
acceptance of its reorganization plan by the bankruptcy court. Under the
settlement agreement established to meet UAL's unsecured bond obligations,
the bondholders, including the Fund, received three distributions of UAL
common stock over the subsequent months, and the bankruptcy court
dismissed all unsecured claims of bondholders, including those of the
Fund. On May 5, 2006, the Fund liquidated such UAL common stock holdings.
On September 29, 2006 and May 30, 2007, the Fund received additional
distributions of 532 and 172 shares, respectively, of UAL common stock as
a result of its earlier ownership of the UAL bonds. The Fund liquidated
532 shares of such UAL common stock holdings on November 15, 2006. The
Fund received an additional distribution of 48 UAL common stock shares on
November 14, 2007. The remaining 220 shares of UAL common stock were still
held by the Fund at September 30, 2009.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
See accompanying notes to financial statements.
32 Nuveen Investments
NXC | Nuveen California Select Tax-Free Income Portfolio
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 4.5%
$ 170 California County Tobacco Securitization Agency, Tobacco 6/15 at 100.00 BBB $ 159,478
Settlement Asset-Backed Bonds, Sonoma County Tobacco
Securitization Corporation, Series 2005, 4.250%, 6/01/21
1,170 California County Tobacco Securitization Agency, Tobacco 6/12 at 100.00 BBB 1,170,445
Settlement Asset-Backed Revenue Bonds, Fresno County
Tobacco Funding Corporation, Series 2002, 5.625%,
6/01/23
4,045 Golden State Tobacco Securitization Corporation, 6/22 at 100.00 BBB 2,749,953
California, Enhanced Tobacco Settlement Asset-Backed
Bonds, Series 2007A-2, 0.000%, 6/01/37
-----------------------------------------------------------------------------------------------------------------------------------
5,385 Total Consumer Staples 4,079,876
-----------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 9.5%
3,000 California Educational Facilities Authority, Revenue 4/18 at 100.00 Aa3 3,321,120
Bonds, Santa Clara University, Series 2008A, 5.625%,
4/01/37
45 California Educational Facilities Authority, Revenue 10/15 at 100.00 A3 44,675
Bonds, University of Redlands, Series 2005A, 5.000%,
10/01/35
1,000 California Educational Facilities Authority, Revenue 10/12 at 100.00 A2 1,026,380
Bonds, University of San Diego, Series 2002A, 5.500%,
10/01/32
California Educational Facilities Authority, Revenue
Bonds, University of the Pacific, Series 2006:
35 5.000%, 11/01/21 11/15 at 100.00 A2 36,474
45 5.000%, 11/01/25 11/15 at 100.00 A2 46,016
3,000 California Infrastructure Economic Development Bank, 10/11 at 101.00 A- 3,108,810
Revenue Bonds, J. David Gladstone Institutes, Series
2001, 5.500%, 10/01/19
1,000 Long Beach Bond Financing Authority, California, Lease 11/11 at 101.00 BBB 959,340
Revenue Refunding Bonds, Long Beach Aquarium of the
South Pacific, Series 2001, 5.250%, 11/01/30 - AMBAC
Insured
-----------------------------------------------------------------------------------------------------------------------------------
8,125 Total Education and Civic Organizations 8,542,815
-----------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 12.1%
110 California Health Facilities Financing Authority, Revenue 4/16 at 100.00 A+ 110,121
Bonds, Kaiser Permanante System, Series 2006, 5.000%,
4/01/37
2,550 California Health Facilities Financing Authority, Revenue 11/16 at 100.00 Aa3 2,574,888
Bonds, Sutter Health, Series 2007A, 5.250%, 11/15/46
(UB)
2,000 California Infrastructure Economic Development Bank, 8/11 at 102.00 A+ 2,047,620
Revenue Bonds, Kaiser Hospital Assistance LLC, Series
2001A, 5.550%, 8/01/31
1,500 California Statewide Community Development Authority, 6/13 at 100.00 AAA 1,624,200
Hospital Revenue Bonds, Monterey Peninsula Hospital,
Series 2003B, 5.250%, 6/01/18 - FSA Insured
1,500 California Statewide Community Development Authority, 11/09 at 102.00 A 1,510,935
Insured Mortgage Hospital Revenue Bonds, Mission
Community Hospital, Series 2001, 5.375%, 11/01/26
545 California Statewide Community Development Authority, 8/16 at 100.00 A+ 558,156
Revenue Bonds, Kaiser Permanente System, Series 2001C,
5.250%, 8/01/31
1,880 California Statewide Community Development Authority, 12/09 at 100.00 BBB+ 1,880,639
Revenue Bonds, Los Angeles Orthopaedic Hospital
Foundation, Series 2000, 5.500%, 6/01/17 - AMBAC Insured
540 Loma Linda, California, Hospital Revenue Bonds, Loma Linda 12/17 at 100.00 BBB 612,425
University Medical Center, Series 2008A, 8.250%,
12/01/38
-----------------------------------------------------------------------------------------------------------------------------------
10,625 Total Health Care 10,918,984
-----------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 0.8%
750 California Statewide Community Development Authority, 8/12 at 100.00 Baa1 755,805
Student Housing Revenue Bonds, EAH - Irvine East Campus
Apartments, LLC Project, Series 2002A, 5.500%, 8/01/22
- ACA Insured
-----------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 0.1%
115 California Housing Finance Agency, Home Mortgage Revenue 2/16 at 100.00 AA- 117,379
Bonds, Series 2006H, 5.750%, 8/01/30 - FGIC Insured
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS - 1.7%
1,015 California Pollution Control Financing Authority, Solid No Opt. Call BBB 1,024,998
Waste Disposal Revenue Bonds, Republic Services Inc.,
Series 2002C, 5.250%, 6/01/23 (Mandatory put 12/01/17)
(Alternative Minimum Tax)
Nuveen Investments 33
NXC | Nuveen California Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS (continued)
$ 500 California Pollution Control Financing Authority, Solid 1/16 at 102.00 BBB $ 479,345
Waste Disposal Revenue Bonds, Waste Management Inc.,
Series 2002A, 5.000%, 1/01/22 (Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
1,515 Total Industrials 1,504,343
-----------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 2.6%
1,500 ABAG Finance Authority for Non-Profit Corporations, 11/12 at 100.00 A 1,516,260
California, Insured Senior Living Revenue Bonds, Odd
Fellows Home of California, Series 2003A, 5.200%,
11/15/22
1,000 California Statewide Communities Development Authority, 12/17 at 100.00 Ba1 834,110
Revenue Bonds, Inland Regional Center Project, Series
2007, 5.250%, 12/01/27
-----------------------------------------------------------------------------------------------------------------------------------
2,500 Total Long-Term Care 2,350,370
-----------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 21.8%
750 California, General Obligation Bonds, Series 2004, 5.000%, 2/14 at 100.00 A 789,218
2/01/23
1,000 Fremont Unified School District, Alameda County, 8/12 at 101.00 Aa3 1,060,410
California, General Obligation Bonds, Series 2002A,
5.000%, 8/01/21 - FGIC Insured
Golden West Schools Financing Authority, California,
General Obligation Revenue Refunding Bonds, School
District Program, Series 1999A:
4,650 0.000%, 8/01/16 - NPFG Insured No Opt. Call A 3,622,583
1,750 0.000%, 2/01/17 - NPFG Insured No Opt. Call A 1,313,550
2,375 0.000%, 8/01/17 - NPFG Insured No Opt. Call A 1,740,780
2,345 0.000%, 2/01/18 - NPFG Insured No Opt. Call A 1,640,937
Mountain View-Los Altos Union High School District, Santa
Clara County, California, General Obligation Capital
Appreciation Bonds, Series 1995C:
1,015 0.000%, 5/01/17 - NPFG Insured No Opt. Call Aa2 752,937
1,080 0.000%, 5/01/18 - NPFG Insured No Opt. Call Aa2 745,999
100 Roseville Joint Union High School District, Placer County, 8/15 at 100.00 AA- 106,169
California, General Obligation Bonds, Series 2006B,
5.000%, 8/01/27 - FGIC Insured
3,220 Sacramento City Unified School District, Sacramento 7/15 at 100.00 Aa3 3,390,596
County, California, General Obligation Bonds, Series
2005, 5.000%, 7/01/27 - NPFG Insured
1,500 San Diego Unified School District, San Diego County, 7/13 at 101.00 AAA 1,697,445
California, General Obligation Bonds, Series 2003E,
5.250%, 7/01/24 - FSA Insured
2,565 Sunnyvale School District, Santa Clara County, California, 9/15 at 100.00 AAA 2,740,728
General Obligation Bonds, Series 2005A, 5.000%, 9/01/26 -
FSA Insured
-----------------------------------------------------------------------------------------------------------------------------------
22,350 Total Tax Obligation/General 19,601,352
-----------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 20.2%
1,000 Bell Community Redevelopment Agency, California, Tax 10/13 at 100.00 BBB- 1,008,720
Allocation Bonds, Bell Project Area, Series 2003,
5.625%, 10/01/33 - RAAI Insured
3,500 California State Public Works Board, Lease Revenue Bonds, No Opt. Call A 3,822,698
Department of Corrections, Calipatria State Prison,
Series 1991A, 6.500%, 9/01/17 - NPFG Insured
1,000 California State Public Works Board, Lease Revenue Bonds, 6/14 at 100.00 A- 1,039,410
Department of Mental Health, Coalinga State Hospital,
Series 2004A, 5.500%, 6/01/23
120 Capistrano Unified School District, Orange County, 9/15 at 100.00 A 119,248
California, Special Tax Bonds, Community Facilities
District, Series 2005, 5.000%, 9/01/24 - FGIC Insured
360 Chino Redevelopment Agency, California, Merged Chino 9/16 at 101.00 BBB 332,604
Redevelopment Project Area Tax Allocation Bonds, Series
2006, 5.000%, 9/01/38 - AMBAC Insured
1,000 Fontana Public Financing Authority, California, Tax 10/15 at 100.00 A 961,670
Allocation Revenue Bonds, North Fontana Redevelopment
Project, Series 2005A, 5.000%, 10/01/32 - AMBAC Insured
3,150 Golden State Tobacco Securitization Corporation, 6/15 at 100.00 A- 2,965,505
California, Tobacco Settlement Asset-Backed Revenue
Bonds, Series 2005A, 5.000%, 6/01/45 - AMBAC Insured
Irvine, California, Unified School District, Community
Facilities District Special Tax Bonds, Series 2006A:
55 5.000%, 9/01/26 9/16 at 100.00 N/R 49,364
130 5.125%, 9/01/36 9/16 at 100.00 N/R 111,056
215 Los Angeles Community Redevelopment Agency, California, 9/15 at 100.00 A2 199,165
Lease Revenue Bonds, Manchester Social Services
Project, Series 2005, 5.000%, 9/01/37 - AMBAC Insured
34 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED (continued)
$ 1,300 Orange County, California, Special Tax Bonds, Community 8/12 at 101.00 N/R $ 1,204,957
Facilities District 03-1 of Ladera Ranch, Series 2004A,
5.625%, 8/15/34
105 Rialto Redevelopment Agency, California, Tax Allocation 9/15 at 100.00 A- 97,926
Bonds, Merged Project Area, Series 2005A, 5.000%,
9/01/35 - SYNCORA GTY Insured
130 Roseville, California, Certificates of Participation, 8/13 at 100.00 AA- 130,621
Public Facilities, Series 2003A, 5.000%, 8/01/25 -
AMBAC Insured
605 Sacramento City Financing Authority, California, Lease No Opt. Call A 650,066
Revenue Refunding Bonds, Series 1993A, 5.400%, 11/01/20
- NPFG Insured
3,000 San Mateo County Transit District, California, Sales Tax 6/15 at 100.00 AA 3,276,360
Revenue Bonds, Series 2005A, 5.000%, 6/01/21 - NPFG
Insured
225 San Mateo Union High School District, San Mateo County, 12/17 at 100.00 N/R 211,536
California, Certificates of Participation, Phase 1,
Series 2007A, 5.000%, 12/15/30 - AMBAC Insured
1,000 Santa Clara County Board of Education, California, 4/12 at 101.00 A 1,022,210
Certificates of Participation, Series 2002, 5.000%,
4/01/25 - NPFG Insured
1,000 Travis Unified School District, Solano County, California, 9/16 at 100.00 N/R 960,240
Certificates of Participation, Series 2006, 5.000%,
9/01/26 - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
17,895 Total Tax Obligation/Limited 18,163,356
-----------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 5.6%
1,150 Foothill/Eastern Transportation Corridor Agency, 1/10 at 100.00 BBB- 1,023,144
California, Toll Road Revenue Bonds, Series 1995A,
5.000%, 1/01/35
3,500 Los Angeles Harbors Department, California, Revenue 8/11 at 100.00 AA 3,606,190
Refunding Bonds, Series 2001B, 5.500%, 8/01/17 - AMBAC
Insured (Alternative Minimum Tax)
445 San Francisco Airports Commission, California, Revenue 5/11 at 100.00 A1 442,717
Bonds, San Francisco International Airport, Second
Series 1999, Issue 23A, 5.000%, 5/01/30 - FGIC Insured
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
5,095 Total Transportation 5,072,051
-----------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED - 13.1% (4)
400 Beverly Hills Unified School District, Los Angeles County, 8/12 at 100.00 AA (4) 445,756
California, General Obligation Bonds, Series 2002A,
5.000%, 8/01/26 (Pre-refunded 8/01/12)
California Department of Water Resources, Power Supply
Revenue Bonds, Series 2002A:
1,750 5.750%, 5/01/17 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 1,981,053
2,000 5.125%, 5/01/19 (Pre-refunded 5/01/12) 5/12 at 101.00 Aaa 2,232,200
2,600 California Educational Facilities Authority, Revenue 11/11 at 100.00 A2 (4) 2,842,164
Bonds, University of the Pacific, Series 2002, 5.250%,
11/01/21 (Pre-refunded 11/01/11)
800 California, General Obligation Bonds, Series 2004, 5.125%, 2/14 at 100.00 AAA 921,144
2/01/27 (Pre-refunded 2/01/14)
2,000 North Orange County Community College District, 8/12 at 101.00 AA (4) 2,236,880
California, General Obligation Bonds, Series 2002A,
5.000%, 8/01/22 (Pre-refunded 8/01/12) - MBIA Insured
1,000 Port of Oakland, California, Revenue Bonds, Series 2002M, 11/12 at 100.00 A1 (4) 1,130,070
5.250%, 11/01/20 (Pre-refunded 11/01/12) - FGIC Insured
-----------------------------------------------------------------------------------------------------------------------------------
10,550 Total U.S. Guaranteed 11,789,267
-----------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 5.8%
645 Long Beach Bond Finance Authority, California, Natural Gas No Opt. Call A 686,280
Purchase Revenue Bonds, Series 2007A, 5.500%, 11/15/37
200 Los Angeles Department of Water and Power, California, 7/13 at 100.00 AA- 218,698
Power System Revenue Bonds, Series 2003A-2, 5.000%,
7/01/21 - NPFG Insured
7,600 Merced Irrigation District, California, Certificates of 9/16 at 64.56 A 3,250,520
Participation, Water and Hydroelectric System Projects,
Series 2008A, 0.000%, 9/01/23
215 Merced Irrigation District, California, Electric System 9/15 at 100.00 N/R 196,368
Revenue Bonds, Series 2005, 5.125%, 9/01/31 - SYNCORA
GTY Insured
780 Turlock Irrigation District, California, Revenue Refunding No Opt. Call A1 815,763
Bonds, Series 1992A, 6.250%, 1/01/12 - NPFG Insured
-----------------------------------------------------------------------------------------------------------------------------------
9,440 Total Utilities 5,167,629
-----------------------------------------------------------------------------------------------------------------------------------
Nuveen Investments 35
NXC | Nuveen California Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 2.5%
$ 150 Healdsburg Public Financing Authority, California, 4/16 at 100.00 AA- $ 152,328
Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36
- NPFG Insured
250 Sacramento County Sanitation District Financing Authority, 6/16 at 100.00 AA 263,448
California, Revenue Bonds, Series 2006, 5.000%,
12/01/31 - FGIC Insured
825 South Feather Water and Power Agency, California, Water 4/13 at 100.00 A 829,826
Revenue Certificates of Participation, Solar
Photovoltaic Project, Series 2003, 5.375%, 4/01/24
1,000 Woodbridge Irrigation District, California, Certificates 7/13 at 100.00 A+ 991,680
of Participation, Water Systems Project, Series 2003,
5.625%, 7/01/43
-----------------------------------------------------------------------------------------------------------------------------------
2,225 Total Water and Sewer 2,237,282
-----------------------------------------------------------------------------------------------------------------------------------
$ 96,570 Total Long-Term Investments (cost $86,824,663) - 100.3% 90,300,509
=================------------------------------------------------------------------------------------------------------------------
PRINCIPAL
AMOUNT (000) DESCRIPTION (1) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.5%
$ 409 State Street Bank Euro Dollar Time Deposit, 0.010%, $ 409,123
10/01/09
=================-----------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (cost $409,123) 409,123
--------------------------------------------------------------------------------------------------------------
Total Investments (cost $87,233,786) - 100.8% 90,709,632
--------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (1.7)% (1,540,000)
--------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.9% 791,603
--------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 89,961,235
==============================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(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.
N/R Not rated.
(UB) Underling 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.
36 Nuveen Investments
NXN | Nuveen New York Select Tax-Free Income Portfolio
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER DISCRETIONARY - 0.1%
$ 100 New York City Industrial Development Agency, New York, 9/15 at 100.00 BB+ $ 69,538
Liberty Revenue Bonds, IAC/InterActiveCorp, Series
2005, 5.000%, 9/01/35
-----------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 1.6%
TSASC Inc., New York, Tobacco Asset-Backed Bonds, Series
2006:
390 4.750%, 6/01/22 6/16 at 100.00 BBB 390,858
540 5.000%, 6/01/26 6/16 at 100.00 BBB 510,737
-----------------------------------------------------------------------------------------------------------------------------------
930 Total Consumer Staples 901,595
-----------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 10.0%
100 Albany Industrial Development Agency, New York, Revenue 7/17 at 100.00 BBB 93,814
Bonds, Albany Law School, Series 2007A, 5.000%, 7/01/31
50 Albany Industrial Development Agency, New York, Revenue 4/17 at 100.00 N/R 39,699
Bonds, Brighter Choice Charter Schools, Series 2007A,
5.000%, 4/01/37
1,700 Amherst Industrial Development Agency, New York, Revenue 8/12 at 101.00 N/R 1,757,375
Bonds, UBF Faculty/Student Housing Corporation,
University of Buffalo Creekside Project, Series 2002A,
5.000%, 8/01/22 - AMBAC Insured
30 Cattaraugus County Industrial Development Agency, New 5/16 at 100.00 BBB- 26,954
York, Revenue Bonds, St. Bonaventure University, Series
2006, 5.000%, 5/01/23
430 Dormitory Authority of the State of New York, General 7/17 at 100.00 BBB- 398,460
Revenue Bonds, Manhattan College, Series 2007A, 5.000%,
7/01/41 - RAAI Insured
785 Dormitory Authority of the State of New York, Insured 7/12 at 100.00 BBB 803,887
Revenue Bonds, Iona College, Series 2002, 5.000%,
7/01/22 - SYNCORA GTY Insured
50 Dormitory Authority of the State of New York, Lease 7/15 at 100.00 AA- 51,175
Revenue Bonds, State University Dormitory Facilities,
Series 2004A, 5.000%, 7/01/29 - NPFG Insured
110 Dormitory Authority of the State of New York, Second No Opt. Call A1 115,235
General Resolution Consolidated Revenue Bonds, City
University System, Series 1990C, 7.500%, 7/01/10 - FGIC
Insured
430 Dutchess County Industrial Development Agency, New York, 8/17 at 100.00 Baa1 370,557
Civic Facility Revenue Bonds, Bard College Project,
Series 2007-A2, 4.500%, 8/01/36
100 Hempstead Town Industrial Development Agency, New York, 10/15 at 100.00 A 102,816
Revenue Bonds, Adelphi University, Civic Facility
Project, Series 2005, 5.000%, 10/01/35
100 New York City Industrial Development Agency, New York, 10/14 at 100.00 A- 98,180
Civic Facility Revenue Bonds, St. Francis College,
Series 2004, 5.000%, 10/01/34
500 New York City Industrial Development Agency, New York, 2/11 at 100.00 A- 506,530
Civic Facility Revenue Bonds, YMCA of Greater New York,
Series 2002, 5.250%, 8/01/21
430 New York City Industrial Development Agency, New York, 1/17 at 100.00 BBB 398,597
PILOT Revenue Bonds, Queens Baseball Stadium Project,
Series 2006, 4.750%, 1/01/42 - AMBAC Insured
590 New York City Industrial Development Authority, New York, 9/16 at 100.00 BBB- 522,433
PILOT Revenue Bonds, Yankee Stadium Project, Series
2006, 4.500%, 3/01/39 - FGIC Insured
200 Puerto Rico Industrial, Tourist, Educational, Medical and 2/10 at 100.50 BBB- 194,342
Environmental Control Facilities Financing Authority,
Higher Education Revenue Bonds, Ana G. Mendez
University System, Series 1999, 5.375%, 2/01/19
65 Seneca County Industrial Development Authority, New York, 10/17 at 100.00 BBB 58,300
Revenue Bonds, New York Chiropractic College, Series
2007, 5.000%, 10/01/27
-----------------------------------------------------------------------------------------------------------------------------------
5,670 Total Education and Civic Organizations 5,538,354
-----------------------------------------------------------------------------------------------------------------------------------
FINANCIALS - 0.8%
435 Liberty Development Corporation, New York, Goldman Sachs No Opt. Call A1 464,850
Headquarters Revenue Bonds Series 2007, 5.500%, 10/01/37
-----------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 13.4%
450 Dormitory Authority of the State of New York, FHA-Insured 2/15 at 100.00 A 469,868
Mortgage Revenue Bonds, Montefiore Hospital, Series
2004, 5.000%, 8/01/29 - FGIC Insured
Nuveen Investments 37
NXN | Nuveen New York Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (continued)
Dormitory Authority of the State of New York, Revenue
Bonds, Lenox Hill Hospital Obligated Group, Series 2001:
$ 110 5.375%, 7/01/20 7/11 at 101.00 Ba1 $ 100,520
100 5.500%, 7/01/30 7/11 at 101.00 Ba1 84,760
950 Dormitory Authority of the State of New York, Revenue 7/16 at 100.00 AA 990,822
Bonds, Memorial Sloan Kettering Cancer Center, Series
2006-1, 5.000%, 7/01/35
670 Dormitory Authority of the State of New York, Revenue 7/13 at 100.00 AA 710,227
Bonds, Memorial Sloan-Kettering Cancer Center, Series
2003-1, 5.000%, 7/01/21 - NPFG Insured
405 Dormitory Authority of the State of New York, Revenue 8/14 at 100.00 AAA 443,200
Bonds, New York and Presbyterian Hospital, Series
2004A, 5.250%, 8/15/15 - FSA Insured
1,680 Dormitory Authority of the State of New York, Revenue 7/11 at 101.00 N/R 1,755,818
Bonds, Winthrop South Nassau University Health System
Obligated Group, Series 2001A, 5.250%, 7/01/17 - AMBAC
Insured
1,195 Dormitory Authority of the State of New York, Revenue 7/11 at 101.00 Baa1 1,221,601
Bonds, Winthrop South Nassau University Health System
Obligated Group, Series 2001B, 5.250%, 7/01/17 - AMBAC
Insured
500 Dormitory Authority of the State of New York, Revenue 7/13 at 100.00 Baa1 475,080
Bonds, Winthrop-South Nassau University Hospital
Association, Series 2003A, 5.500%, 7/01/32
Madison County Industrial Development Agency, New York,
Civic Facility Revenue Bonds, Oneida Health System,
Series 2007A:
100 5.250%, 2/01/27 No Opt. Call BBB- 92,078
90 5.500%, 2/01/32 No Opt. Call BBB- 82,632
750 New York City Health and Hospitals Corporation, New York, 2/13 at 100.00 A+ 782,513
Health System Revenue Bonds, Series 2003A, 5.250%,
2/15/21 - AMBAC Insured
240 New York City Industrial Development Agency, New York, 7/12 at 101.00 Ba2 223,634
Civic Facility Revenue Bonds, Staten Island University
Hospital, Series 2002C, 6.450%, 7/01/32
-----------------------------------------------------------------------------------------------------------------------------------
7,240 Total Health Care 7,432,753
-----------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 2.8%
1,000 New Hartford-Sunset Woods Funding Corporation, New York, 8/12 at 101.00 AAA 1,041,460
FHA-Insured Mortgage Revenue Bonds, Sunset Woods
Apartments II Project, Series 2002, 5.350%, 2/01/20
250 New York City Housing Development Corporation, New York, 5/14 at 100.00 AA 257,368
Multifamily Housing Revenue Bonds, Series 2004A,
5.250%, 11/01/30
275 New York State Housing Finance Agency, Affordable Housing 11/17 at 100.00 Aa2 276,425
Revenue, Series 2007A, 5.250%, 11/01/38 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
1,525 Total Housing/Multifamily 1,575,253
-----------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 8.2%
2,000 New York State Mortgage Agency, Homeowner Mortgage Revenue 10/11 at 100.00 Aa1 2,026,860
Bonds, Series 101, 5.000%, 10/01/18 (Alternative
Minimum Tax)
2,500 New York State Mortgage Agency, Mortgage Revenue Bonds, 4/11 at 100.00 Aaa 2,509,999
Thirty-First Series A, 5.300%, 10/01/31 (Alternative
Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
4,500 Total Housing/Single Family 4,536,859
-----------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 11.6%
1,845 Dormitory Authority of the State of New York, FHA-Insured 8/11 at 101.00 A 1,899,022
Nursing Home Mortgage Revenue Bonds, Norwegian
Christian Home and Health Center, Series 2001, 5.200%,
8/01/36 - NPFG Insured
100 Dormitory Authority of the State of New York, Non-State 11/16 at 100.00 A1 100,946
Supported Debt, Ozanam Hall of Queens Nursing Home
Revenue Bonds, Series 2006, 5.000%, 11/01/31
50 Dormitory Authority of the State of New York, Revenue 7/15 at 100.00 N/R 32,868
Bonds, Providence Rest, Series 2005, 5.000%, 7/01/35 -
ACA Insured
2,000 East Rochester Housing Authority, New York, FHA-Insured 8/12 at 101.00 AAA 2,103,959
Mortgage Revenue Refunding Bonds, Jewish Home of
Rochester, Series 2002, 4.625%, 2/15/17
1,000 East Rochester Housing Authority, New York, Revenue Bonds, 12/12 at 103.00 AAA 1,054,840
GNMA/FHA-Secured Revenue Bonds, St. Mary's Residence
Project, Series 2002A, 5.375%, 12/20/22
980 New York City Industrial Development Agency, New York, 11/12 at 101.00 AA+ 1,000,658
GNMA Collateralized Mortgage Revenue Bonds, Eger Harbor
House Inc., Series 2002A, 4.950%, 11/20/32
38 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE (continued)
$ 25 Suffolk County Industrial Development Agency, New York, 7/16 at 100.00 N/R $ 22,833
Civic Facility Revenue Bonds, Special Needs Facilities
Pooled Program, Series 2008-B1, 5.500%, 7/01/18
275 Yonkers Industrial Development Agency, New York, Civic 7/16 at 101.00 N/R 251,166
Facilities Revenue Bonds, Special Needs Facilities
Pooled Program Bonds, Series 2008-C1, 5.500%, 7/01/18
-----------------------------------------------------------------------------------------------------------------------------------
6,275 Total Long-Term Care 6,466,292
-----------------------------------------------------------------------------------------------------------------------------------
MATERIALS - 0.2%
90 Jefferson County Industrial Development Agency, New York, 12/13 at 100.00 BBB 87,894
Solid Waste Disposal Revenue Bonds, International Paper
Company Project, Series 2003A, 5.200%, 12/01/20
(Alternative Minimum Tax)
-----------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 8.4%
Clarkstown, Rickland County, New York, Various Purposes
Serial Bonds, Series 1992:
505 5.600%, 6/15/10 - AMBAC Insured No Opt. Call AAA 523,513
525 5.600%, 6/15/11 - AMBAC Insured No Opt. Call AAA 567,898
525 5.600%, 6/15/12 - AMBAC Insured No Opt. Call AAA 590,294
300 New York City, New York, General Obligation Bonds, Fiscal 8/14 at 100.00 AA 333,831
Series 2004C, 5.250%, 8/15/16
200 New York City, New York, General Obligation Bonds, Fiscal 3/15 at 100.00 AA 219,498
Series 2005J, 5.000%, 3/01/19 - FGIC Insured
1,000 New York City, New York, General Obligation Bonds, Fiscal 6/16 at 100.00 AA 1,078,610
Series 2006J-1, 5.000%, 6/01/25
1,260 New York City, New York, General Obligation Bonds, Series 12/17 at 100.00 AA 1,389,263
D, 5.125%, 12/01/25
-----------------------------------------------------------------------------------------------------------------------------------
4,315 Total Tax Obligation/General 4,702,907
-----------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 18.6%
600 Battery Park City Authority, New York, Senior Revenue 11/13 at 100.00 AAA 659,868
Bonds, Series 2003A, 5.000%, 11/01/23
500 Erie County Industrial Development Agency, New York, School 5/14 at 100.00 AAA 533,505
Facility Revenue Bonds, Buffalo City School District,
Series 2004, 5.750%, 5/01/26 - FSA Insured
500 Metropolitan Transportation Authority, New York, State 7/12 at 100.00 AA- 528,960
Service Contract Refunding Bonds, Series 2002A, 5.500%,
1/01/20 - NPFG Insured
New York City Sales Tax Asset Receivable Corporation, New
York, Dedicated Revenue Bonds, Local Government
Assistance Corporation, Series 2004A:
250 5.000%, 10/15/25 - NPFG Insured 10/14 at 100.00 AAA 269,553
200 5.000%, 10/15/26 - NPFG Insured 10/14 at 100.00 AAA 214,852
1,225 5.000%, 10/15/29 - AMBAC Insured 10/14 at 100.00 AAA 1,302,543
600 New York City Transitional Finance Authority, New York, 1/17 at 100.00 AA- 644,262
Building Aid Revenue Bonds, Fiscal Series 2007S-2,
5.000%, 1/15/28 - FGIC Insured
670 New York City Transitional Finance Authority, New York, 2/13 at 100.00 AAA 721,711
Future Tax Secured Bonds, Fiscal Series 2003E, 5.000%,
2/01/23
550 New York City Transitional Finance Authority, New York, 11/17 at 100.00 AAA 607,651
Future Tax Secured Bonds, Fiscal Series 2007C-1, 5.000%,
11/01/27
535 New York City Transitional Finance Authority, New York, 5/19 at 100.00 AAA 664,299
Future Tax Secured Bonds, Tender Option Bond Trust 3545,
13.321%, 5/01/38 (IF)
775 New York State Environmental Facilities Corporation, State 12/17 at 100.00 AAA 859,615
Personal Income Tax Revenue Bonds, Series 2008A, 5.000%,
12/15/26 (UB)
250 New York State Thruway Authority, Highway and Bridge Trust 4/14 at 100.00 AA 276,123
Fund Bonds, Second Genera1 Series 2004, 5.000%, 4/01/21
- NPFG Insured
570 New York State Thruway Authority, Highway and Bridge Trust No Opt. Call AA 700,627
Fund Bonds, Series 2005B, 5.500%, 4/01/20 - AMBAC
Insured (UB)
425 New York State Thruway Authority, Highway and Bridge Trust 10/17 at 100.00 AA 461,435
Fund Bonds, Series 2007, 5.000%, 4/01/27
New York State Tobacco Settlement Financing Corporation,
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003A-1:
1,000 5.250%, 6/01/20 - AMBAC Insured 6/13 at 100.00 AA- 1,070,650
250 5.250%, 6/01/21 - AMBAC Insured 6/13 at 100.00 AA- 266,805
Nuveen Investments 39
NXN | Nuveen New York Select Tax-Free Income Portfolio (continued)
| Portfolio of Investments September 30, 2009 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED (continued)
$ 500 New York State Tobacco Settlement Financing Corporation, 6/13 at 100.00 AA- $ 537,535
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/21
15 Triborough Bridge and Tunnel Authority, New York, No Opt. Call AA- 15,247
Convention Center Bonds, Series 1990E, 7.250%, 1/01/10
-----------------------------------------------------------------------------------------------------------------------------------
9,415 Total Tax Obligation/Limited 10,335,241
-----------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 1.9%
180 Albany Parking Authority, New York, Revenue Bonds, Series 7/11 at 101.00 BBB+ 184,248
2001A, 5.625%, 7/15/25
500 Metropolitan Transportation Authority, New York, No Opt. Call A 570,720
Transportation Revenue Bonds, Series 2003A, 5.000%,
11/15/15 - FGIC Insured
100 New York State Thruway Authority, General Revenue Bonds, 7/15 at 100.00 AAA 105,403
Series 2005G, 5.000%, 1/01/30 - FSA Insured
105 Port Authority of New York and New Jersey, Consolidated 6/15 at 101.00 AA- 111,993
Revenue Bonds, One Hundred Fortieth Series 2005, 5.000%,
12/01/31 - SYNCORA GTY Insured
120 Port Authority of New York and New Jersey, Consolidated 8/17 at 100.00 AAA 157,510
Revenue Bonds, One Hundred Forty Eighth Series 2008,
Trust 2920, 16.962%, 8/15/32 - FSA Insured (IF)
-----------------------------------------------------------------------------------------------------------------------------------
1,005 Total Transportation 1,129,874
-----------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED - 5.4% (4)
220 Albany Parking Authority, New York, Revenue Bonds, Series 7/11 at 101.00 BBB+ (4) 242,046
2001A, 5.625%, 7/15/25(Pre-refunded 7/15/11)
985 Dormitory Authority of the State of New York, Judicial No Opt. Call AAA 1,188,747
Facilities Lease Revenue Bonds, Suffolk County Issue,
Series 1986, 7.375%, 7/01/16 (ETM)
250 Dormitory Authority of the State of New York, Revenue 5/13 at 100.00 Aaa 287,563
Bonds, North Shore Long Island Jewish Group, Series
2003, 5.375%, 5/01/23 (Pre-refunded 5/01/13)
265 Suffolk County Water Authority, New York, Water Revenue No Opt. Call AAA 289,918
Bonds, Series 1986V, 6.750%, 6/01/12 (ETM)
925 TSASC Inc., New York, Tobacco Asset-Backed Bonds, Series 7/12 at 100.00 AAA 1,020,062
2002-1, 5.500%, 7/15/24 (Pre-refunded 7/15/12)
-----------------------------------------------------------------------------------------------------------------------------------
2,645 Total U.S. Guaranteed 3,028,336
-----------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 3.3%
Long Island Power Authority, New York, Electric System
General Revenue Bonds, Series 2006A:
570 5.000%, 12/01/23 - FGIC Insured 6/16 at 100.00 A 606,138
430 5.000%, 12/01/25 - FGIC Insured 6/16 at 100.00 A 452,872
500 New York State Energy Research and Development Authority, 3/11 at 100.00 A 505,540
Pollution Control Revenue Bonds, New York State Electric
and Gas Corporation, Series 2005A, 4.100%, 3/15/15 -
NPFG Insured
250 Niagara County Industrial Development Agency, New York, 11/11 at 101.00 Baa2 246,673
Solid Waste Disposal Facility Revenue Bonds, American
Ref-Fuel Company of Niagara LP, Series 2001A, 5.450%,
11/15/26 (Mandatory put 11/15/12) (Alternative Minimum
Tax)
-----------------------------------------------------------------------------------------------------------------------------------
1,750 Total Utilities 1,811,223
-----------------------------------------------------------------------------------------------------------------------------------
40 Nuveen Investments
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 12.2%
$ 2,500 New York City Municipal Water Finance Authority, New York, 6/11 at 101.00 AAA $ 2,572,149
Water and Sewerage System Revenue Bonds, Fiscal Series
2001C, 5.125%, 6/15/33
New York State Environmental Facilities Corporation, State
Clean Water and Drinking Water Revolving Funds Revenue
Bonds, New York City Municipal Water Finance Authority
Loan, Series 2002B:
2,000 5.250%, 6/15/19 6/12 at 100.00 AAA 2,133,599
2,000 5.000%, 6/15/27 6/12 at 100.00 AAA 2,078,879
-----------------------------------------------------------------------------------------------------------------------------------
6,500 Total Water and Sewer 6,784,627
-----------------------------------------------------------------------------------------------------------------------------------
$ 52,395 Total Long-Term Investments (cost $52,813,322) - 98.5% 54,865,596
=================------------------------------------------------------------------------------------------------------------------
PRINCIPAL
AMOUNT (000) DESCRIPTION (1) VALUE
-----------------------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 2.2%
$ 1,203 State Street Bank Euro Dollar Time Deposit, 0.010%, 10/01/09 $ 1,202,974
=================------------------------------------------------------------------------------------------------------------------
Total Short-Term Investments (cost $1,202,974) 1,202,974
---------------------------------------------------------------------------------------------------------------
Total Investments (cost $54,016,296) - 100.7% 56,068,570
---------------------------------------------------------------------------------------------------------------
Floating Rate Obligations - (1.8)% (1,005,000)
---------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.1% 589,603
---------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 55,653,173
===============================================================================================================
(1) All percentages shown in the Portfolio of Investments are based on net
assets.
(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.
N/R Not rated.
(ETM) Escrowed to maturity.
(IF) Inverse floating rate investment.
(UB) Underling 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 41
| Statement of
| Assets & Liabilities September 30, 2009 (Unaudited)
SELECT SELECT SELECT CALIFORNIA NEW YORK
TAX-FREE TAX-FREE 2 TAX-FREE 3 SELECT TAX-FREE SELECT TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value
(cost $226,267,345, $241,589,010,
$176,975,486, $87,233,786 and $54,016,296,
respectively) $ 232,916,434 $ 237,334,819 $ 182,844,575 $ 90,709,632 $ 56,068,570
Cash 51,261 217,063 -- -- --
Receivables:
Interest 3,763,648 3,729,529 2,738,655 1,157,832 802,168
Investments sold 207,050 1,999,140 -- -- --
Other assets 40,486 42,571 31,850 17,213 11,794
------------------------------------------------------------------------------------------------------------------------------------
Total assets 236,978,879 243,323,122 185,615,080 91,884,677 56,882,532
------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Floating rate obligations -- 1,000,000 -- 1,540,000 1,005,000
Payables:
Investments purchased -- 89,493 -- -- --
Common share dividends 888,940 906,864 643,978 315,857 184,590
Accrued expenses:
Management fees 45,096 55,668 43,161 21,129 13,178
Other 116,789 121,057 89,144 46,456 26,591
------------------------------------------------------------------------------------------------------------------------------------
Total liabilities 1,050,825 2,173,082 776,283 1,923,442 1,229,359
------------------------------------------------------------------------------------------------------------------------------------
Net assets $ 235,928,054 $ 241,150,040 $ 184,838,797 $ 89,961,235 $ 55,653,173
====================================================================================================================================
Shares outstanding 16,455,265 17,656,351 12,990,485 6,267,291 3,911,366
====================================================================================================================================
Net asset value per share outstanding $ 14.34 $ 13.66 $ 14.23 $ 14.35 $ 14.23
====================================================================================================================================
NET ASSETS CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------------
Shares, $.01 par value per share $ 164,553 $ 176,564 $ 129,905 $ 62,673 $ 39,114
Paid-in surplus 228,702,258 246,338,777 178,732,006 87,263,868 53,665,161
Undistributed (Over-distribution of)
net investment income 1,291,011 589,428 81,795 14,085 (38,605)
Accumulated net realized gain (loss) from
investments (878,857) (1,700,538) 26,002 (855,237) (64,771)
Net unrealized appreciation (depreciation)
of investments 6,649,089 (4,254,191) 5,869,089 3,475,846 2,052,274
------------------------------------------------------------------------------------------------------------------------------------
Net assets $ 235,928,054 $ 241,150,040 $ 184,838,797 $ 89,961,235 $ 55,653,173
====================================================================================================================================
Authorized shares Unlimited Unlimited Unlimited Unlimited Unlimited
====================================================================================================================================
See accompanying notes to financial statements.
42 Nuveen Investments
| Statement of
| Operations Six Months Ended September 30, 2009 (Unaudited)
SELECT SELECT SELECT CALIFORNIA NEW YORK
TAX-FREE TAX-FREE 2 TAX-FREE 3 SELECT TAX-FREE SELECT TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 6,356,704 $ 6,425,258 $ 4,666,001 $ 2,276,953 $ 1,323,258
----------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 273,928 334,245 260,682 126,599 79,476
Shareholders' servicing agent fees and expenses 12,095 11,006 9,272 3,373 2,848
Interest expense on floating rate obligations -- 4,640 -- 6,412 3,477
Custodian's fees and expenses 23,470 24,067 18,894 11,767 10,049
Trustees' fees and expenses 3,440 3,433 2,709 1,279 813
Professional fees 9,031 9,260 7,786 5,678 4,927
Shareholders' reports - printing and mailing
expenses 26,237 27,423 19,723 8,529 6,194
Stock exchange listing fees 4,666 4,657 4,637 4,638 4,628
Investor relations expense 9,452 10,056 7,141 2,921 2,072
Other expenses 3,617 3,698 3,129 2,053 1,673
----------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit 365,936 432,485 333,973 173,249 116,157
Custodian fee credit (51) (21) (15) (20) (58)
----------------------------------------------------------------------------------------------------------------------------------
Net expenses 365,885 432,464 333,958 173,229 116,099
----------------------------------------------------------------------------------------------------------------------------------
Net investment income 5,990,819 5,992,794 4,332,043 2,103,724 1,207,159
----------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from investments 18,549 122,091 13,313 4,679 (5,963)
Change in net unrealized appreciation
(depreciation) of investments 13,150,820 17,896,387 10,823,929 6,986,732 3,359,944
----------------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) 13,169,369 18,018,478 10,837,242 6,991,411 3,353,981
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets from
operations $ 19,160,188 $ 24,011,272 $ 15,169,285 $ 9,095,135 $ 4,561,140
==================================================================================================================================
See accompanying notes to financial statements.
Nuveen Investments 43
| Statement of
| Changes in Net Assets(Unaudited)
SELECT TAX-FREE (NXP) SELECT TAX-FREE 2 (NXQ) SELECT TAX-FREE 3 (NXR)
----------------------------- ----------------------------- -----------------------------
SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
9/30/09 3/31/09 9/30/09 3/31/09 9/30/09 3/31/09
----------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 5,990,819 $ 11,602,037 $ 5,992,794 $ 11,847,246 $ 4,332,043 $ 8,515,545
Net realized gain (loss) from
investments 18,549 414,250 122,091 (157,525) 13,313 95,185
Change in net unrealized
appreciation (depreciation)
of investments 13,150,820 (13,684,819) 17,896,387 (22,829,917) 10,823,929 (8,093,041)
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net
assets from operations 19,160,188 (1,668,532) 24,011,272 (11,140,196) 15,169,285 517,689
----------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS
From net investment income (5,665,578) (11,226,050) (5,876,953) (11,736,647) (4,168,387) (8,327,575)
----------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets from
distributions to shareholders (5,665,578) (11,226,050) (5,876,953) (11,736,647) (4,168,387) (8,327,575)
----------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from shares issued
to shareholders due to
reinvestment of distributions 319,036 515,396 244,543 403,746 160,342 199,823
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net
assets from capital share
transactions 319,036 515,396 244,543 403,746 160,342 199,823
----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net
assets 13,813,646 (12,379,186) 18,378,862 (22,473,097) 11,161,240 (7,610,063)
Net assets at the beginning of
period 222,114,408 234,493,594 222,771,178 245,244,275 173,677,557 181,287,620
----------------------------------------------------------------------------------------------------------------------------------
Net assets at the end of period $ 235,928,054 $ 222,114,408 $ 241,150,040 $ 222,771,178 $ 184,838,797 $ 173,677,557
==================================================================================================================================
Undistributed (Over-distribution
of) net investment income at
the end of period $ 1,291,011 $ 965,770 $ 589,428 $ 473,587 $ 81,795 $ (81,861)
==================================================================================================================================
44 Nuveen Investments
CALIFORNIA SELECT TAX-FREE (NXC) NEW YORK SELECT TAX-FREE (NXN)
-------------------------------- ------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
9/30/09 3/31/09 9/30/09 9/30/09
---------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 2,103,724 $ 4,138,035 $ 1,207,159 $ 2,405,653
Net realized gain (loss) from investments 4,679 (777,009) (5,963) (18,617)
Change in net unrealized appreciation
(depreciation) of investments 6,986,732 (4,560,505) 3,359,944 (1,645,443)
---------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
from operations 9,095,135 (1,199,479) 4,561,140 741,593
---------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS
From net investment income (2,087,006) (4,172,698) (1,196,684) (2,392,826)
---------------------------------------------------------------------------------------------------------------
Decrease in net assets from distributions
to shareholders (2,087,006) (4,172,698) (1,196,684) (2,392,826)
---------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from shares issued
to shareholders due to
reinvestment of distributions -- 101,344 20,730 10,984
---------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
from capital share transactions -- 101,344 20,730 10,984
---------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets 7,008,129 (5,270,833) 3,385,186 (1,640,249)
Net assets at the beginning of period 82,953,106 88,223,939 52,267,987 53,908,236
---------------------------------------------------------------------------------------------------------------
Net assets at the end of period $ 89,961,235 $ 82,953,106 $ 55,653,173 $ 52,267,987
===============================================================================================================
Undistributed (Over-distribution of) net
investment income at the
end of period $ 14,085 $ (2,633) $ (38,605) $ (49,080)
===============================================================================================================
See accompanying notes to financial statements.
Nuveen Investments 45
| Notes to
| Financial Statements(Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The funds covered in this report and their corresponding New York Stock Exchange
symbols are Nuveen Select Tax-Free Income Portfolio (NXP), Nuveen Select
Tax-Free Income Portfolio 2 (NXQ), Nuveen Select Tax-Free Income Portfolio 3
(NXR), Nuveen California Select Tax-Free Income Portfolio (NXC) and Nuveen New
York Select Tax-Free Income Portfolio (NXN) (collectively, the "Funds"). The
Funds are registered under the Investment Company Act of 1940, as amended, as
closed-end, management investment companies.
Each Fund seeks to provide stable dividends consistent with the preservation of
capital, exempt from regular federal and designated state income taxes, where
applicable, by investing primarily in a portfolio of municipal obligations.
In June 2009, the Financial Accounting Standards Board (FASB) established the
FASB Accounting Standards Codification(TM) (the "Codification") as the single
source of authoritative accounting principles recognized by the FASB in the
preparation of financial statements in conformity with generally accepted
accounting principles (GAAP). The Codification supersedes existing
non-grandfathered, non-SEC accounting and reporting standards. The Codification
did not change GAAP but rather organized it into a hierarchy where all guidance
within the Codification carries an equal level of authority. The Codification
became effective for financial statements issued for interim and annual periods
ending after September 15, 2009. The Codification did not have a material effect
on the Funds' financial statements.
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.
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 Trustees. 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, the Board of 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 September 30, 2009, there
were no such outstanding purchase commitments in any of the Funds.
Investment Income
Interest income, which includes the amortization of premiums and accretion of
discounts for financial reporting purposes, is recorded on an accrual basis.
Interest income also includes paydown gains and losses, if any.
Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund
intends to distribute substantially all of its net investment income and net
capital gains to shareholders and to otherwise comply with the requirements of
Subchapter M of the Internal Revenue Code applicable to regulated investment
companies. Therefore, no federal income tax provision is required. Furthermore,
each Fund intends to satisfy conditions which will enable interest from
municipal securities, which is exempt from regular federal and designated state
income taxes, 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.
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
46 Nuveen Investments
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 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 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 US generally accepted
accounting principles.
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 floating rate
obligations" on the Statement of Operations.
During the six months ended September 30, 2009, 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.
At September 30, 2009, the Funds were not invested in externally-deposited
Recourse Trusts.
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
-------------------------------------------------------------------------------------------------
Maximum exposure to Recourse Trusts $ -- $ -- $ -- $ -- $ --
=================================================================================================
Nuveen Investments 47
| Notes to
| Financial Statements (Unaudited) (continued)
The average floating rate obligations outstanding and average annual interest
rate and fees related to self-deposited inverse floaters during the six months
ended September 30, 2009, were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------
Average floating rate obligations outstanding $ -- $ 1,000,000 $ -- $ 1,540,000 $ 1,005,000
Average annual interest rate and fees --% .93% --% .83% .69%
================================================================================================================
Derivative Instruments
Each Fund is authorized to invest in derivative instruments, including foreign
currency forwards, futures, options and swap contracts. Although the Funds are
authorized to invest in such derivative instruments, and may do so in the
future, they did not make any such investments during the six months ended
September 30, 2009.
Zero Coupon Securities
Each Fund is authorized to invest in zero coupon securities. A zero coupon
security does not pay a regular interest coupon to its holders during the life
of the security. Tax-exempt income to the holder of the security comes from
accretion of the difference between the original purchase price of the security
at issuance and the par value of the security at maturity and is effectively
paid at maturity. Such securities are included in the Portfolios of Investments
with a 0.000% coupon rate in their description. The market prices of zero coupon
securities generally are more volatile than the market prices of securities that
pay interest periodically.
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 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 US generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities at the date of the
financial statements and the reported amounts of increases and decreases in net
assets from operations during the reporting period. Actual results may differ
from those estimates.
48 Nuveen Investments
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 September 30, 2009:
SELECT TAX-FREE (NXP) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-----------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 232,909,159 $ -- $ 232,909,159
Common Stock 7,275 -- -- 7,275
-----------------------------------------------------------------------------------------------
Total $ 7,275 $ 232,909,159 $ -- $ 232,916,434
===============================================================================================
SELECT TAX-FREE 2 (NXQ) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-----------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 237,327,839 $ -- $ 237,327,839
Common Stock 6,980 -- -- 6,980
-----------------------------------------------------------------------------------------------
Total $ 6,980 $ 237,327,839 $ -- $ 237,334,819
===============================================================================================
SELECT TAX-FREE 3 (NXR) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-----------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 182,435,506 $ -- $ 182,435,506
Common Stock 2,028 -- -- 2,028
Short-Term Investments 407,041 -- -- 407,041
-----------------------------------------------------------------------------------------------
Total $ 409,069 $ 182,435,506 $ -- $ 182,844,575
===============================================================================================
CALIFORNIA SELECT TAX-FREE (NXC) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-----------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 90,300,509 $ -- $ 90,300,509
Short-Term Investments 409,123 -- -- 409,123
-----------------------------------------------------------------------------------------------
Total $ 409,123 $ 90,300,509 $ -- $ 90,709,632
===============================================================================================
NEW YORK SELECT TAX-FREE (NXN) LEVEL 1 LEVEL 2 LEVEL 3 TOTAL
-----------------------------------------------------------------------------------------------
Investments:
Municipal Bonds $ -- $ 54,865,596 $ -- $ 54,865,596
Short-Term Investments 1,202,974 -- -- 1,202,974
-----------------------------------------------------------------------------------------------
Total $ 1,202,974 $ 54,865,596 $ -- $ 56,068,570
===============================================================================================
3. DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES
During the current fiscal period, the Funds adopted amendments to authoritative
guidance under GAAP on disclosures about derivative instruments and hedging
activities. This guidance is intended to enhance financial statement disclosures
for derivative instruments and hedging activities and enable investors to better
understand: a) how and why a fund uses derivative instruments; b) how derivative
instruments are accounted for; and c) how derivative instruments affect a fund's
financial position, results of operations and cash flows, if any. 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, under this
guidance they are considered to be non-hedge transactions for financial
reporting purposes. The Funds did not invest in derivative instruments during
the six months ended September 30, 2009.
Nuveen Investments 49
| Notes to
| Financial Statements (Unaudited) (continued)
4. FUND SHARES
The Funds did not repurchase any of their shares during the six months ended
September 30, 2009 or the fiscal year ended March 31, 2009. Transactions in
shares were as follows:
SELECT SELECT SELECT
TAX-FREE (NXP) TAX-FREE 2 (NXQ) TAX-FREE 3 (NXR)
----------------------------- --------------------------- -------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
9/30/09 3/31/09 9/30/09 3/31/09 9/30/09 3/31/09
----------------------------------------------------------------------------------------------------------------------------------
Shares issued to shareholders
due to reinvestment of distributions 23,208 37,396 18,916 30,367 11,771 14,590
==================================================================================================================================
CALIFORNIA SELECT NEW YORK SELECT
TAX-FREE (NXC) TAX-FREE (NXN)
--------------------------- -------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
9/30/09 3/31/09 9/30/09 3/31/09
----------------------------------------------------------------------------------------------------------------------------------
Shares issued to shareholders
due to reinvestment of distributions -- 7,322 1,519 797
==================================================================================================================================
5. INVESTMENT TRANSACTIONS
Purchases and sales (including maturities but excluding short-term investments)
during the six months ended September 30, 2009, were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Purchases $ 4,523,095 $ 3,625,294 $ 2,842,874 $ -- $ 525,680
Sales and maturities 2,310,540 5,127,474 2,541,563 470,300 560,000
==================================================================================================================================
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.
At September 30, 2009, the cost of investments was as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Cost of investments $ 225,932,548 $240,410,809 $176,847,322 $85,684,231 $53,004,552
==================================================================================================================================
Gross unrealized appreciation and gross unrealized depreciation of investments
at September 30, 2009, were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $ 17,761,516 $ 12,019,357 $ 11,201,997 $ 4,810,094 $ 2,402,356
Depreciation (10,777,630) (16,095,347) (5,204,744) (1,328,942) (340,498)
----------------------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation (depreciation)
of investments $ 6,983,886 $ (4,075,990) $ 5,997,253 $ 3,481,152 $ 2,061,858
==================================================================================================================================
50 Nuveen Investments
The tax components of undistributed net tax-exempt income, net ordinary income
and net long-term capital gains at March 31, 2009, the Funds' last tax year end,
were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income* $ 1,360,903 $ 1,278,567 $ 516,027 $ 342,425 $ 141,820
Undistributed net ordinary income** 259,856 28 -- -- --
Undistributed net long-term capital gains -- -- 12,690 -- --
==================================================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced
for the dividend declared on March 3, 2009, paid on April 1, 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
March 31, 2009, was designated for purposes of the dividends paid deduction as
follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Distributions from net tax-exempt income $ 11,223,919 $ 11,734,961 $ 8,326,795 $ 4,172,291 $ 2,392,786
Distributions from net ordinary income** -- -- -- -- --
Distributions from net long-term capital gains -- -- -- -- --
==================================================================================================================================
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
At March 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:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Expiration:
March 31, 2015 $ 907,591 $ 1,369,835 $ -- $ --
March 31, 2016 -- 7,597 34,855 40,192
March 31, 2017 -- 400,800 127,842 15,314
----------------------------------------------------------------------------------------------------------------------------------
Total $ 907,591 $ 1,778,232 $ 162,697 $ 55,506
==================================================================================================================================
The following Funds have elected to defer net realized losses from investments
incurred from November 1, 2008 through March 31, 2009, the Funds' last tax year
end, ("post-October losses") in accordance with federal income tax regulations.
Post-October losses are treated as having arisen on the first day of the current
fiscal year:
CALIFORNIA NEW YORK
SELECT SELECT SELECT
TAX-FREE 2 TAX-FREE TAX-FREE
(NXQ) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------------------------------
Post-October capital losses $ 44,402 $ 697,221 $ 3,303
==================================================================================================================================
Nuveen Investments 51
| Notes to
| Financial Statements (Unaudited) (continued)
7. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Each Fund's management fee is separated into two components - a complex-level
component, based on the aggregate amount of all fund assets managed by Nuveen
Asset Management (the "Adviser"), a wholly owned subsidiary of Nuveen
Investments, Inc. ("Nuveen"), and a specific fund-level component, based only on
the amount of assets within each individual Fund. This pricing structure enables
Nuveen fund shareholders to benefit from growth in the assets within each
individual fund as well as from growth in the amount of complex-wide assets
managed by the Adviser.
The annual fund-level fee, payable monthly, for each Fund is based upon the
average daily net assets of each Fund as follows:
SELECT TAX-FREE 2 (NXQ)
SELECT TAX-FREE 3 (NXR)
CALIFORNIA SELECT TAX-FREE (NXC)
SELECT TAX-FREE (NXP) NEW YORK SELECT TAX-FREE (NXN)
AVERAGE DAILY NET ASSETS (1) FUND-LEVEL FEE RATE FUND-LEVEL FEE RATE
----------------------------------------------------------------------------------------------------------
For the first $125 million .0500% .1000%
For the next $125 million .0375 .0875
For the next $250 million .0250 .0750
For the next $500 million .0125 .0625
==========================================================================================================
The annual complex-level fee, payable monthly, which is additive to the
fund-level fee, for all Nuveen sponsored funds in the U.S., is based on the
aggregate amount of total fund net assets managed as stated in the following
table. As of September 30, 2009, the complex-level fee rate was .1901%.
The complex-level fee schedule is as follows:
COMPLEX-LEVEL NET ASSET BREAKPOINT LEVEL (1) EFFECTIVE RATE AT BREAKPOINT LEVEL
----------------------------------------------------------------------------------------------------------
$55 billion .2000%
$56 billion .1996
$57 billion .1989
$60 billion .1961
$63 billion .1931
$66 billion .1900
$71 billion .1851
$76 billion .1806
$80 billion .1773
$91 billion .1691
$125 billion .1599
$200 billion .1505
$250 billion .1469
$300 billion .1445
==========================================================================================================
(1) The complex-level fee component of the management fee for the funds is
calculated based upon the aggregate daily managed net assets of all Nuveen
funds, with such daily managed net 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
fee components, daily managed net 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 the 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 net assets in certain circumstances.
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 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 Trustees has
adopted a deferred compensation plan for independent Trustees that enables
Trustees to elect to defer receipt of all or a portion of the annual
compensation they are entitled to receive from certain Nuveen advised funds.
Under the plan, deferred amounts are treated as though equal dollar amounts had
been invested in shares of select Nuveen advised funds.
52 Nuveen Investments
8. NEW ACCOUNTING STANDARDS
Accounting for Transfer of Financial Assets
During June 2009, the FASB issued changes to the authoritative guidance under
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.
9. SUBSEQUENT EVENTS
Distributions to Shareholders
The Funds declared dividend distributions from their tax-exempt net investment
income which were paid on November 2, 2009, to shareholders of record on October
15, 2009, as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
---------------------------------------------------------------------------------------------------------------------------
Dividend per share $ .0595 $ .0555 $ .0535 $ .0555 $ .0510
===========================================================================================================================
Evaluation Date
In May 2009, the FASB issued changes to authoritative guidance under GAAP for
subsequent events. This guidance requires an entity to recognize in the
financial statements the effects of all subsequent events that provide
additional evidence about conditions that existed at the date of the balance
sheet. This guidance is intended to establish general standards of accounting
and for disclosure of events that occur after the balance sheet date but before
financial statements are issued or are available to be issued. This guidance
requires the disclosure of the date through which an entity has evaluated
subsequent events and the basis for that date - that is, whether that date
represents the date the financial statements were issued or were available to be
issued. This guidance is effective for interim and annual periods ending after
June 15, 2009. The Funds have performed an evaluation of subsequent events
through November 25, 2009, which is the date the financial statements were
issued.
Nuveen Investments 53
| Financial
| Highlights(Unaudited)
Selected data for a Common share outstanding throughout each period:
INVESTMENT OPERATIONS
----------------------------------
NET
BEGINNING NET REALIZED/
NET ASSET INVESTMENT UNREALIZED
VALUE INCOME GAIN (LOSS) TOTAL
--------------------------------------------------------------------------------------------------
SELECT TAX-FREE (NXP)
--------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) $ 13.52 $ .36 $ .80 $ 1.16
2009 14.30 .71 (.81) (.10)
2008 14.72 .70 (.44) .26
2007 14.62 .70 .08 .78
2006 14.62 .70 (.02) .68
2005 14.85 .70 (.12) .58
SELECT TAX-FREE 2 (NXQ)
--------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 12.63 .34 1.02 1.36
2009 13.93 .67 (1.30) (.63)
2008 14.60 .66 (.69) (.03)
2007 14.44 .66 .14 .80
2006 14.38 .66 .06 .72
2005 14.56 .67 (.13) .54
==================================================================================================
LESS DISTRIBUTIONS
-----------------------------------
ENDING
NET NET ENDING
INVESTMENT CAPITAL ASSET MARKET
INCOME GAINS TOTAL VALUE VALUE
--------------------------------------------------------------------------------------------------
SELECT TAX-FREE (NXP)
--------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) $ (.34) $ -- $ (.34) $ 14.34 $ 14.64
2009 (.68) -- (.68) 13.52 13.67
2008 (.68) -- (.68) 14.30 14.24
2007 (.68) -- (.68) 14.72 14.85
2006 (.68) -- (.68) 14.62 14.21
2005 (.71) (.10) (.81) 14.62 13.50
SELECT TAX-FREE 2 (NXQ)
--------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) (.33) -- (.33) 13.66 14.19
2009 (.67) -- (.67) 12.63 13.14
2008 (.64) -- (.64) 13.93 13.79
2007 (.64) -- (.64) 14.60 14.07
2006 (.65) (.01) (.66) 14.44 13.37
2005 (.68) (.04) (.72) 14.38 13.08
==================================================================================================
54 Nuveen Investments
RATIOS/SUPPLEMENTAL DATA
------------------------------------------------------------------
TOTAL RETURNS RATIOS TO AVERAGE NET ASSETS***
------------------- ---------------------------------------
BASED ON ENDING
BASED ON NET NET EXPENSES EXPENSES NET PORTFOLIO
MARKET ASSET ASSETS INCLUDING EXCLUDING INVESTMENT TURNOVER
VALUE* VALUE* (000) INTEREST(a) INTEREST INCOME RATE
------------------------------------------------------------------------------------------------------------------
SELECT TAX-FREE (NXP)
------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 9.77% 8.73% $ 235,928 .32%** .32%** 5.26%** 1%
2009 .89 (.65) 222,114 .33 .33 5.12 11
2008 .61 1.83 234,494 .32 .32 4.83 4
2007 9.59 5.48 241,074 .31 .31 4.77 2
2006 10.41 4.74 239,406 .32 .32 4.72 4
2005 .17 4.00 239,460 .33 .33 4.76 11
SELECT TAX-FREE 2 (NXQ)
------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 10.72 10.94 241,150 .38** .37** 5.21** 2
2009 .24 (4.63) 222,771 .39 .38 5.08 6
2008 2.69 (.24) 245,244 .40 .36 4.58 7
2007 10.21 5.62 257,037 .37 .36 4.50 3
2006 7.39 5.12 254,205 .36 .36 4.51 11
2005 .11 3.82 253,158 .37 .37 4.68 13
==================================================================================================================
* 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 Net Asset Value is the combination of changes in 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.
** Annualized.
*** Expense ratios do not reflect the reduction of custodian fee credits
earned on the Fund's net cash on deposit with the custodian bank, where
applicable.
(a) The expense ratios in the above table 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.
(b) For the six months ended September 30, 2009.
See accompanying notes to financial statements.
Nuveen Investments 55
| Financial
| Highlights (Unaudited) (continued)
Selected data for a Common share outstanding throughout each period:
INVESTMENT OPERATIONS
---------------------------------------
NET
BEGINNING NET REALIZED/
NET ASSET INVESTMENT UNREALIZED
VALUE INCOME GAIN (LOSS) TOTAL
-----------------------------------------------------------------------------------------------------
SELECT TAX-FREE 3 (NXR)
-----------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) $ 13.38 $ .33 $ .84 $ 1.17
2009 13.98 .66 (.62) .04
2008 14.42 .64 (.44) .20
2007 14.29 .64 .13 .77
2006 14.22 .65 .06 .71
2005 14.37 .66 (.11) .55
CALIFORNIA SELECT TAX-FREE (NXC)
-----------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 13.24 .34 1.10 1.44
2009 14.09 .66 (.84) (.18)
2008 14.73 .66 (.65) .01
2007 14.57 .64 .18 .82
2006 14.54 .65 .09 .74
2005 14.68 .66 (.09) .57
=====================================================================================================
LESS DISTRIBUTIONS
----------------------------------------
ENDING
NET NET ENDING
INVESTMENT CAPITAL ASSET MARKET
INCOME GAINS TOTAL VALUE VALUE
-----------------------------------------------------------------------------------------------------------------
SELECT TAX-FREE 3 (NXR)
-----------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) $ (.32) $ -- $ (.32) $ 14.23 $ 14.44
2009 (.64) -- (.64) 13.38 13.57
2008 (.64) -- (.64) 13.98 13.75
2007 (.64) -- (.64) 14.42 14.01
2006 (.64) -- (.64) 14.29 13.45
2005 (.67) (.03) (.70) 14.22 12.82
CALIFORNIA SELECT TAX-FREE (NXC)
-----------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) (.33) -- (.33) 14.35 13.67
2009 (.67) -- (.67) 13.24 12.00
2008 (.64) (.01) (.65) 14.09 14.08
2007 (.64) (.02) (.66) 14.73 14.22
2006 (.65) (.06) (.71) 14.57 13.56
2005 (.66) (.05) (.71) 14.54 13.40
=================================================================================================================
56 Nuveen Investments
RATIOS/SUPPLEMENTAL DATA
------------------------------------------------------------------
TOTAL RETURNS RATIOS TO AVERAGE NET ASSETS***
------------------- ----------------------------------------
BASED ON ENDING
BASED ON NET NET EXPENSES EXPENSES NET PORTFOLIO
MARKET ASSET ASSETS INCLUDING EXCLUDING INVESTMENT TURNOVER
VALUE* VALUE* (000) INTEREST(a) INTEREST INCOME RATE
-----------------------------------------------------------------------------------------------------------------------------
SELECT TAX-FREE 3 (NXR)
-----------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 8.88% 8.86% $ 184,839 .37%** .37%** 4.86%** 1%
2009 3.51 .34 173,678 .39 .39 4.83 5
2008 2.91 1.42 181,288 .38 .36 4.49 2
2007 9.15 5.51 186,969 .38 .37 4.43 9
2006 10.12 5.10 185,233 .37 .37 4.51 6
2005 (.17) 4.01 184,379 .38 .38 4.66 16
CALIFORNIA SELECT TAX-FREE (NXC)
-----------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 16.87 11.05 89,961 .41** .39** 4.92** 0
2009 (10.34) (1.30) 82,953 .43 .41 4.85 12
2008 3.68 .05 88,224 .44 .38 4.52 8
2007 9.89 5.72 92,177 .40 .39 4.37 16
2006 6.52 5.17 91,152 .38 .38 4.42 8
2005 .50 3.99 90,949 .39 .39 4.55 13
=============================================================================================================================
* 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 Net Asset Value is the combination of changes in 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.
** Annualized.
*** Expense ratios do not reflect the reduction of custodian fee credits
earned on the Fund's net cash on deposit with the custodian bank, where
applicable.
(a) The expense ratios in the above table 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.
(b) For the six months ended September 30, 2009.
See accompanying notes to financial statements.
Nuveen Investments 57
| Financial
| Highlights (Unaudited) (continued)
Selected data for a Common share outstanding throughout each period:
INVESTMENT OPERATIONS
---------------------------------------
NET
BEGINNING NET REALIZED/
NET ASSET INVESTMENT UNREALIZED
VALUE INCOME GAIN (LOSS) TOTAL
-------------------------------------------------------------------------------------------------
NEW YORK SELECT TAX-FREE (NXN)
-------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) $ 13.37 $ .31 $ .86 $ 1.17
2009 13.79 .62 (.43) .19
2008 14.28 .62 (.49) .13
2007 14.19 .61 .13 .74
2006 14.28 .62 (.02) .60
2005 14.57 .64 (.21) .43
=================================================================================================
LESS DISTRIBUTIONS
-----------------------------------
ENDING
NET NET ENDING
INVESTMENT CAPITAL ASSET MARKET
INCOME GAINS TOTAL VALUE VALUE
----------------------------------------------------------------------------------------------------------
NEW YORK SELECT TAX-FREE (NXN)
----------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) $ (.31) $ -- $ (.31) $ 14.23 $ 14.24
2009 (.61) -- (.61) 13.37 13.08
2008 (.61) (.01) (.62) 13.79 13.79
2007 (.61) (.04) (.65) 14.28 14.15
2006 (.62) (.07) (.69) 14.19 13.35
2005 (.66) (.06) (.72) 14.28 13.65
==========================================================================================================
58 Nuveen Investments
RATIOS/SUPPLEMENTAL DATA
------------------------------------------------------------------
TOTAL RETURNS RATIOS TO AVERAGE NET ASSETS***
-------------------- ----------------------------------------
BASED ON ENDING
BASED ON NET NET EXPENSES EXPENSES NET PORTFOLIO
MARKET ASSET ASSETS INCLUDING EXCLUDING INVESTMENT TURNOVER
VALUE* VALUE* (000) INTEREST(a) INTEREST INCOME RATE
----------------------------------------------------------------------------------------------------------------------------
NEW YORK SELECT TAX-FREE (NXN)
----------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2010(b) 11.33% 8.82% $ 55,653 .43%** .42%** 4.50%** 1%
2009 (.57) 1.47 52,268 .47 .45 4.57 1
2008 2.06 .94 53,908 .46 .43 4.35 20
2007 11.15 5.30 55,828 .46 .42 4.29 6
2006 2.84 4.19 55,473 .41 .41 4.28 13
2005 .05 3.10 55,817 .41 .41 4.48 13
============================================================================================================================
* 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 Net Asset Value is the combination of changes in 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.
** Annualized.
*** Expense ratios do not reflect the reduction of custodian fee credits
earned on the Fund's net cash on deposit with the custodian bank, where
applicable.
(a) The expense ratios in the above table 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.
(b) For the six months ended September 30, 2009.
See accompanying notes to financial statements.
Nuveen Investments 59
Annual Investment Management Agreement Approval Process
The Investment Company Act of 1940, as amended (the "1940 Act"), provides, in
substance, that each investment advisory agreement between a fund and its
investment adviser will continue in effect from year to year only if its
continuance is approved at least annually by the fund's board members, including
by a vote of a majority of the board members who are not parties to the advisory
agreement or "interested persons" of any parties (the "Independent Board
Members"), cast in person at a meeting called for the purpose of considering
such approval. In connection with such approvals, the fund's board members must
request and evaluate, and the investment adviser is required to furnish, such
information as may be reasonably necessary to evaluate the terms of the advisory
agreement. Accordingly, at a meeting held on May 27-29, 2009 (the "May
Meeting"), the Boards of Trustees or Directors (as the case may be) (each, a
"Board" and each Trustee or Director, a "Board Member") of the Funds, including
a majority of the Independent Board Members, considered and approved the
continuation of the advisory agreements (each an "Advisory Agreement") between
each Fund and Nuveen Asset Management ("NAM") for an additional one-year period.
In preparation for their considerations at the May Meeting, the Board also held
a separate meeting on April 21-22, 2009 (the "April Meeting"). Accordingly, the
factors considered and determinations made regarding the renewals by the
Independent Board Members include those made at the April Meeting.
In addition, in evaluating the Advisory Agreements, the Independent Board
Members reviewed a broad range of information relating to the Funds and NAM,
including absolute performance, fee and expense information for the Funds as
well as comparative performance, fee and expense information for a comparable
peer group of funds, the performance information of recognized and/or customized
benchmarks (as applicable) of the Funds, the profitability of Nuveen for its
advisory activities (which includes its wholly owned subsidiaries other than
Winslow Capital Management, Inc. ("Winslow Capital"), which was recently
acquired in December 2008), and other information regarding the organization,
personnel, and services provided by NAM. The Independent Board Members also met
quarterly as well as at other times as the need arose during the year and took
into account the information provided at such meetings and the knowledge gained
therefrom. Prior to approving the renewal of the Advisory Agreements, the
Independent Board Members reviewed the foregoing information with their
independent legal counsel and with management, reviewed materials from
independent legal counsel describing applicable law and their duties in
reviewing advisory contracts, and met with independent legal counsel in private
sessions without management present. The Independent Board Members considered
the legal advice provided by independent legal counsel and relied upon their
knowledge of NAM, its services and the Funds resulting from their meetings and
other interactions throughout the year and their own business judgment in
determining the factors to be considered in evaluating
60 Nuveen Investments
the Advisory Agreements. Each Board Member may have accorded different weight to
the various factors in reaching his or her conclusions with respect to a Fund's
Advisory Agreement. The Independent Board Members did not identify any single
factor as all-important or controlling. The Independent Board Members'
considerations were instead based on a comprehensive consideration of all the
information presented. The principal factors considered by the Board and its
conclusions are described below.
A. NATURE, EXTENT AND QUALITY OF SERVICES
In considering renewal of the Advisory Agreements, the Independent Board Members
considered the nature, extent and quality of NAM's services, including advisory
services and administrative services. The Independent Board Members reviewed
materials outlining, among other things, NAM's organization and business; the
types of services that NAM or its affiliates provide and are expected to provide
to the Funds; the performance record of the applicable Fund (as described in
further detail below); and any initiatives Nuveen had taken for the applicable
fund product line.
In reviewing the services provided and the initiatives undertaken during the
past year, the Independent Board Members recognized the severe market turmoil
experienced in the capital markets during recent periods, including sustained
periods of high volatility, credit disruption and government intervention. The
Independent Board Members considered NAM's efforts, expertise and other actions
taken to address matters as they arose that impacted the Funds. The Independent
Board Members recognized the role of the Investment Services group which, among
other things, monitors the various positions throughout the Nuveen fund complex
to identify and address any systematic risks. In addition, the Capital Markets
Committee of NAM provides a multi-departmental venue for developing new policies
to mitigate any risks. The Independent Board Members further recognized NAM's
continuous review of the Nuveen funds' investment strategies and mandates in
seeking to continue to refine and improve the investment process for the funds,
particularly in light of market conditions. With respect to closed-end funds
that issued auction rate preferred shares ("ARPs") or that otherwise utilize
leverage, the Independent Board Members noted, in particular, NAM's efforts in
refi-nancing the preferred shares of such funds frozen by the collapse of the
auction rate market and managing leverage during a period of rapid market
declines, particularly for the non-equity funds. Such efforts included
negotiating and maintaining the availability of bank loan facilities and other
sources of credit used for investment purposes or to satisfy liquidity needs,
liquidating portfolio securities during difficult times to meet leverage ratios,
and seeking alternative forms of debt and other leverage that may over time
reduce financing costs associated with ARPs and enable the funds that have
issued ARPs to restore liquidity to ARPs holders. The Independent Board Members
also noted Nuveen's continued commitment and efforts to keep investors and
financial advisers informed as to its progress with the ARPs through, among
other things, conference calls, emails, press releases, information posted on
its website, and telephone calls and in-person meetings with financial advisers.
In addition to the foregoing, the Independent Board Members also noted the
additional services that NAM or its affiliates provide to closed-end funds,
including, in particular, Nuveen's continued commitment to supporting the
secondary market for the common shares of its closed-end funds
Nuveen Investments 61
Annual Investment Management Agreement Approval Process (continued)
through a variety of programs designed to raise investor and analyst awareness
and understanding of closed-end funds. These efforts include maintaining an
investor relations program to provide timely information and education to
financial advisers and investors; providing advertising and marketing for the
closed-end funds; maintaining websites; and providing educational seminars.
As part of their review, the Independent Board Members also evaluated the
background, experience and track record of NAM's investment personnel. In this
regard, the Independent Board Members considered any changes in the personnel,
and the impact on the level of services provided to the Funds, if any. The
Independent Board Members also reviewed information regarding portfolio manager
compensation arrangements to evaluate NAM's ability to attract and retain high
quality investment personnel, preserve stability, and reward performance but not
provide an incentive for taking undue risks.
In addition to advisory services, the Independent Board Members considered the
quality of administrative services provided by NAM and its affiliates including
product management, fund administration, oversight of service providers,
shareholder services, administration of Board relations, regulatory and
portfolio compliance and legal support. Given the importance of compliance, the
Independent Board Members considered NAM's compliance program, including the
report of the chief compliance officer regarding the Funds' compliance policies
and procedures.
Based on their review, the Independent Board Members found that, overall, the
nature, extent and quality of services provided (and expected to be provided) to
the respective Funds under the Advisory Agreements were satisfactory.
B. THE INVESTMENT PERFORMANCE OF THE FUNDS AND NAM
The Board considered the investment performance of each Fund, including the
Fund's historic performance as well as its performance compared to funds with
similar investment objectives (the "Performance Peer Group") based on data
provided by an independent provider of mutual fund data as well as recognized
and/or customized benchmarks (as applicable). The Independent Board Members
reviewed performance information including, among other things, total return
information compared with the Fund's Performance Peer Group and recognized
and/or customized benchmarks (as applicable) for the quarter-, one-, three- and
five-year periods (as applicable) ending December 31, 2008 and for the same
periods (as applicable) ending March 31, 2009. The Independent Board Members
also reviewed performance information of the Nuveen municipal funds managed by
NAM in the aggregate ranked by peer group and the performance of such funds, in
the aggregate, relative to their benchmark. This information supplemented the
Fund performance information provided to the Board at each of its quarterly
meetings.
In comparing a fund's performance with that of its Performance Peer Group, the
Independent Board Members took into account that the closest Performance Peer
Group in certain instances may not adequately reflect the respective fund's
investment objectives and strategies thereby hindering a meaningful comparison
of the fund's performance with that of the Performance Peer Group. The
Independent Board Members further considered the performance of the Funds in the
context of the volatile
62 Nuveen Investments
market conditions during the past year, and their impact on various asset
classes and the portfolio management of the Funds.
Based on their review and factoring in the severity of market turmoil in 2008,
the Independent Board Members determined that each Fund's investment performance
over time had been satisfactory.
C. FEES, EXPENSES AND PROFITABILITY
1. FEES AND EXPENSES
The Board evaluated the management fees and expenses of each Fund
reviewing, among other things, such Fund's gross management fees, net
management fees and total expense ratios (before and after expense
reimbursements and/or waivers) in absolute terms as well as compared to
the fee and expenses of a comparable universe of unaffiliated funds based
on data provided by an independent fund data provider (the "Peer
Universe") and in certain cases, to a more focused subset of funds in the
Peer Universe (the "Peer Group").
The Independent Board Members further reviewed data regarding the
construction of the applicable Peer Universe and Peer Group. In reviewing
the comparisons of fee and expense information, the Independent Board
Members took into account that in certain instances various factors such
as the asset level of a fund relative to peers, the size and particular
composition of the Peer Universe or Peer Group, the investment objectives
of the peers, expense anomalies, changes in the funds comprising the Peer
Universe or Peer Group from year to year, levels of reimbursement and the
timing of information used may impact the comparative data, thereby
limiting the ability to make a meaningful comparison. In addition, the
Independent Board Members considered, among other things, the differences
in the use and type of leverage compared to the peers. The Independent
Board Members also considered the differences in the states reflected in
the respective Peer Group. In reviewing the fee schedule for a Fund, the
Independent Board Members also considered the fund-level and complex-wide
breakpoint schedules (described in further detail below) and any fee
waivers and reimbursements provided by Nuveen (applicable, in particular,
for certain closed-end funds launched since 1999).
Based on their review of the fee and expense information provided, the
Independent Board Members determined that each Fund's management fees and
net total expense ratio were reasonable in light of the nature, extent and
quality of services provided to the Fund.
2. COMPARISONS WITH THE FEES OF OTHER CLIENTS
The Independent Board Members further reviewed information regarding the
nature of services and fee rates offered by NAM to other clients. Such
other clients include NAM's municipal separately managed accounts. In
evaluating the comparisons of fees, the Independent Board Members noted
that the fee rates charged to the Funds and other clients vary, among
other things, because of the different services involved and the
additional regulatory and compliance requirements associated with
registered investment companies, such as the Funds. Accordingly, the
Independent Board Members considered the differences in the product types,
including, but not limited
Nuveen Investments 63
Annual Investment Management Agreement Approval Process (continued)
to, the services provided, the structure and operations, product
distribution and costs thereof, portfolio investment policies, investor
profiles, account sizes and regulatory requirements. The Independent Board
Members noted, in particular, that the range of services provided to the
Funds (as discussed above) is much more extensive than that provided to
separately managed accounts. Given the inherent differences in the
products, particularly the extensive services provided to the Funds, the
Independent Board Members believe such facts justify the different levels
of fees.
3. PROFITABILITY OF NUVEEN
In conjunction with its review of fees, the Independent Board Members also
considered the profitability of Nuveen for its advisory activities (which
incorporated Nuveen's wholly-owned affiliated sub-advisers other than
Winslow Capital) and its financial condition. The Independent Board
Members reviewed the revenues and expenses of Nuveen's advisory activities
for the last two years, the allocation methodology used in preparing the
profitability data and an analysis of the key drivers behind the changes
in revenues and expenses that impacted profitability in 2008. In addition,
the Independent Board Members reviewed information regarding the financial
results of Nuveen for 2008 based on its Form 8-K filed on March 31, 2009.
The Independent Board Members noted this information supplemented the
profitability information requested and received during the year to help
keep them apprised of developments affecting profitability (such as
changes in fee waivers and expense reimbursement commitments). In this
regard, the Independent Board Members noted that they had also appointed
an Independent Board Member as a point person to review and keep them
apprised of changes to the profitability analysis and/or methodologies
during the year. The Independent Board Members also considered Nuveen's
revenues for advisory activities, expenses, and profit margin compared to
that of various unaffiliated management firms with similar amounts of
assets under management and relatively comparable asset composition
prepared by Nuveen.
In reviewing profitability, the Independent Board Members recognized the
subjective nature of determining profitability which may be affected by
numerous factors including the allocation of expenses. Further, the
Independent Board Members recognized the difficulties in making
comparisons as the profitability of other advisers generally is not
publicly available and the profitability information that is available for
certain advisers or management firms may not be representative of the
industry and may be affected by, among other things, the adviser's
particular business mix, capital costs, types of funds managed and expense
allocations. Notwithstanding the foregoing, the Independent Board Members
reviewed Nuveen's methodology and assumptions for allocating expenses
across product lines to determine profitability. In reviewing
profitability, the Independent Board Members recognized Nuveen's
investment in its fund business.
Based on their review, the Independent Board Members concluded that
Nuveen's level of profitability for its advisory activities was reasonable
in light of the services provided.
64 Nuveen Investments
In evaluating the reasonableness of the compensation, the Independent
Board Members also considered other amounts paid to NAM by the Funds as
well as any indirect benefits (such as soft dollar arrangements, if any)
NAM and its affiliates receive, or are expected to receive, that are
directly attributable to the management of the Funds, if any. See Section
E below for additional information on indirect benefits NAM may receive as
a result of its relationship with the Funds. Based on their review of the
overall fee arrangements of each Fund, the Independent Board Members
determined that the advisory fees and expenses of the respective Fund were
reasonable.
D. ECONOMIES OF SCALE AND WHETHER FEE LEVELS REFLECT THESE ECONOMIES OF SCALE
With respect to economies of scale, the Independent Board Members have
recognized the potential benefits resulting from the costs of a fund being
spread over a larger asset base, although economies of scale are difficult to
measure and predict with precision, particularly on a fund-by-fund basis. One
method to help ensure the shareholders share in these benefits is to include
breakpoints in the advisory fee schedule. Generally, management fees for funds
in the Nuveen complex are comprised of a fund-level component and a
complex-level component, subject to certain exceptions. Accordingly, the
Independent Board Members reviewed and considered the applicable fund-level
breakpoints in the advisory fee schedules that reduce advisory fees as asset
levels increase. In this regard, the Independent Board Members noted that
although closed-end funds may from time-to-time make additional share offerings,
the growth of their assets will occur primarily through the appreciation of such
funds' investment portfolio. While economies of scale result when costs can be
spread over a larger asset base, the Independent Board Members also recognized
that the asset levels generally declined in 2008 due to, among other things, the
market downturn. Accordingly, for funds with a reduction in assets under
management, advisory fee levels may have increased as breakpoints in the fee
schedule were no longer surpassed.
In addition to fund-level advisory fee breakpoints, the Board also considered
the Funds' complex-wide fee arrangement. Pursuant to the complex-wide fee
arrangement, the fees of the funds in the Nuveen complex generally are reduced
as the assets in the fund complex reach certain levels. The complex-wide fee
arrangement seeks to provide the benefits of economies of scale to fund
shareholders when total fund complex assets increase, even if assets of a
particular fund are unchanged or have decreased. The approach reflects the
notion that some of Nuveen's costs are attributable to services provided to all
its funds in the complex and therefore all funds benefit if these costs are
spread over a larger asset base. Generally, the complex-wide pricing reduces
Nuveen's revenue because total complex fund assets have consistently grown in
prior years. As noted, however, total fund assets declined in 2008 resulting in
a smaller downward adjustment of revenues due to complex-wide pricing compared
to the prior year.
Based on their review, the Independent Board Members concluded that the
breakpoint schedules and complex-wide fee arrangement were acceptable and
reflect economies of scale to be shared with shareholders when assets under
management increase.
Nuveen Investments 65
Annual Investment Management Agreement Approval Process (continued)
E. INDIRECT BENEFITS
In evaluating fees, the Independent Board Members received and considered
information regarding potential "fall out" or ancillary benefits NAM or its
affiliates may receive as a result of its relationship with each Fund. In this
regard, the Independent Board Members considered revenues received by affiliates
of NAM for serving as agent at Nuveen's trading desk.
In addition to the above, the Independent Board Members considered whether NAM
received any benefits from soft dollar arrangements whereby a portion of the
commissions paid by a Fund for brokerage may be used to acquire research that
may be useful to NAM in managing the assets of the Funds and other clients. The
Independent Board Members noted that NAM does not currently have any soft dollar
arrangements; however, to the extent certain bona fide agency transactions that
occur on markets that traditionally trade on a principal basis and riskless
principal transactions are considered as generating "commissions," NAM intends
to comply with the applicable safe harbor provisions.
Based on their review, the Independent Board Members concluded that any indirect
benefits received by NAM as a result of its relationship with the Funds were
reasonable and within acceptable parameters.
F. OTHER CONSIDERATIONS
The Independent Board Members did not identify any single factor discussed
previously as all-important or controlling. The Board Members, including the
Independent Board Members, unanimously concluded that the terms of the Advisory
Agreements are fair and reasonable, that NAM's fees are reasonable in light of
the services provided to each Fund and that the Advisory Agreements be renewed.
66 Nuveen Investments
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
Nuveen Investments 67
Reinvest Automatically Easily and Conveniently (continued)
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.
68 Nuveen Investments
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 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.
o INVERSE FLOATERS: Inverse floating rate securities are created by
depositing a municipal bond, typically with a fixed interest rate, into a
special purpose trust created by a broker-dealer. This trust, in turn, (a)
issues floating rate certificates typically paying short-term tax-exempt
interest rates to third parties in amounts equal to some fraction of the
deposited bond's par amount or market value, and (b) issues an inverse
floating rate certificate (sometimes referred to as an "inverse floater")
to an investor (such as a Fund) interested in gaining investment exposure
to a long-term municipal bond. The income received by the holder of the
inverse floater varies inversely with the short-term rate paid to the
floating rate certificates' holders, and in most circumstances the holder
of the inverse floater bears substantially all of the underlying bond's
downside investment risk. The holder of the inverse floater typically also
benefits disproportionately from any potential appreciation of the
underlying bond's value. Hence, an inverse floater essentially represents
an investment in the underlying bond on a leveraged basis.
Nuveen Investments 69
Glossary of Terms Used in this Report (continued)
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.
70 Nuveen Investments
Notes
Nuveen Investments 71
Notes
72 Nuveen Investments
Other Useful Information
BOARD OF 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
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.
SHARE INFORMATION
Each Fund intends to repurchase shares of its own common stock in the future at
such times and in such amounts as is deemed advisable. During the period covered
by this report, the Funds did not repurchase any of their common shares.
Any future repurchases will be reported to shareholders in the next annual or
semi-annual report.
Nuveen Investments 73
Nuveen Investments:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions. For the past century,
Nuveen Investments has adhered to the belief that the best approach to investing
is to apply conservative risk-management principles to help minimize volatility.
Building on this tradition, we today offer a range of high quality equity and
fixed-income solutions that are integral to a well-diversified core portfolio.
Our clients have come to appreciate this diversity, as well as our continued
adherence to proven, long-term investing principles.
WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS.
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. Nuveen Investments
markets its growing range of specialized investment solutions under the
high-quality brands of HydePark, NWQ, Nuveen, Santa Barbara, Symphony,
Tradewinds and Winslow Capital. In total, the Company managed $141 billion of
assets on September 30, 2009.
FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS.
To learn more about the products and services Nuveen Investments offers, talk to
your financial advisor, or call us at (800) 257-8787. Please read the
information provided carefully before you invest. Be sure to obtain a
prospectus, where applicable. Investors should consider the investment objective
and policies, risk considerations, charges and expenses of the Fund carefully
before investing. The prospectus contains this and other information relevant to
an investment in the Fund. For a prospectus, please contact your securities
representative or NUVEEN INVESTMENTS, 333 W. WACKER DR., CHICAGO, IL 60606.
Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: WWW.NUVEEN.COM/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 It's not what you earn,
www.nuveen.com it's what you keep.(R)
ESA-B-0909D
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 California Select Tax-Free Income Portfolio
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By (Signature and Title) /s/ Kevin J. McCarthy
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Kevin J. McCarthy
(Vice President and Secretary)
Date: December 7, 2009
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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
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Gifford R. Zimmerman
Chief Administrative Officer
(principal executive officer)
Date: December 7, 2009
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By (Signature and Title) /s/ Stephen D. Foy
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Stephen D. Foy
Vice President and Controller
(principal financial officer)
Date: December 7, 2009
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