nkx.htm

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 811-21212

Nuveen California AMT-Free Municipal Income Fund
(Exact name of registrant as specified in charter)

Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Address of principal executive offices) (Zip code)

Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Name and address of agent for service)

Registrant’s telephone number, including area code: (312) 917-7700

Date of fiscal year end: February 29

Date of reporting period: February 29, 2016

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.




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Table of Contents

Chairman's Letter to Shareholders
4
   
Portfolio Manager's Comments
5
   
Fund Leverage
10
   
Common Share Information
12
   
Risk Considerations
14
   
Performance Overview and Holding Summaries
15
   
Shareholder Meeting Report
21
   
Report of Independent Registered Public Accounting Firm
23
   
Portfolios of Investments
24
   
Statement of Assets and Liabilities
77
   
Statement of Operations
79
   
Statement of Changes in Net Assets
81
   
Statement of Cash Flows
83
   
Financial Highlights
84
   
Notes to Financial Statements
92
   
Additional Fund Information
106
   
Glossary of Terms Used in this Report
107
   
Reinvest Automatically, Easily and Conveniently
109
   
Board Members & Officers
110
   

Nuveen Investments
 
3


Chairman's Letter to Shareholders
Dear Shareholders,
The financial markets saw an increase in volatility over the past year. Global economic growth has continued to look fragile, led by China's ongoing slowdown and stagnant growth in Europe and Japan. By contrast, the U.S. economy's modest recovery stayed on pace. However, concerns about downside risks to U.S. economic growth were heightened in early 2016 amid a weak global growth outlook and churning stock markets. In addition to the challenging economic backdrop, the persistent decline of oil prices and a rally in the U.S. dollar dampened U.S. corporate earnings growth, further contributing to an uncertain outlook.
For most of 2015, the U.S. Federal Reserve postponed the first increase to its main policy interest rate, which tended to boost risky assets and weigh on longer-term bond yields at points throughout the year. However, volatility rose in the late spring amid Greece's turbulent negotiations with its European Union creditors. Not soon after, China's stock market crashed amid worries about its decelerating economy and a loss of confidence in its policy makers. Conditions turned more favorable in the fall, as the Fed delayed its rate hike again in October, the European Central Bank appeared poised for further easing and China administered another round of stimulus measures. By the time the Fed announced the rate hike in December, the move was widely expected and had very little market impact.
Although volatility spiked in early 2016, conditions have generally improved since mid-February 2016. Global growth expectations remain subdued, but investors have gained more confidence that the Fed's interest rate increases will be gradual, oil prices appear more stable, the U.S. dollar has weakened and the U.S. economy continues to look fairly resilient. Consumer spending, which represents roughly two-thirds of the economy, continues to be supported by the meaningful improvement in the labor market, wage growth and cheaper gas prices.
The global markets may continue seeing bouts of market turbulence this year. While short-term volatility can be uncomfortable for investors, these periods can also provide opportunities. The experienced investment professionals working for you at Nuveen continue to seek upside potential and manage downside risks, whether markets are rising or falling. We also encourage you to contact your financial advisor, who can help you develop a plan to weather short-term price swings, while remaining consistent with your investment goals, time horizon and risk tolerance.
On behalf of the other members of the Nuveen Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
Sincerely,
William J. Schneider
Chairman of the Board
April 25, 2016

4
 
Nuveen Investments


Portfolio Manager's Comments
Nuveen California Municipal Value Fund, Inc. (NCA)
Nuveen California Municipal Value Fund 2 (NCB)
Nuveen California AMT-Free Municipal Income Fund (NKX)
Nuveen California Dividend Advantage Municipal Fund (NAC)
Nuveen California Dividend Advantage Municipal Fund 2 (NVX)
Nuveen California Dividend Advantage Municipal Fund 3 (NZH)
These Funds feature portfolio management by Nuveen Asset Management, LLC, an affiliate of Nuveen Investments, Inc. Portfolio manager Scott R. Romans, PhD, reviews U.S. economic and municipal market conditions at the national and state levels, key investment strategies and the twelve-month performance of these Nuveen California Municipal Funds. Scott has managed NCA, NKX, NAC, NVX and NZH since 2003 and NCB since its inception in 2009.
What factors affected the U.S. economy and the national municipal bond market during the twelve-month reporting period ended February 29, 2016?
The U.S. economy grew at an overall moderate pace during the twelve-month reporting period. Harsh winter weather and a West coast port strike weighed on growth in the first quarter of 2015, but those factors proved temporary. Rebounding economic activity in the second quarter was followed by a mediocre advance in the latter half of the year. Real gross domestic product (GDP), which is the value of the goods and services produced by the nation's economy less the value of the goods and services used up in production, adjusted for price changes, increased at an annual rate of 1.4% in the fourth quarter of 2015, as reported by the "third" estimate of the Bureau of Economic Analysis, down from 2.0% in the third quarter.
The labor and housing markets were among the bright spots in the economy during the reporting period, as both showed steady improvement. As reported by the Bureau of Labor Statistics, the unemployment rate fell to 4.9% in February 2016 from 5.5% in February 2015, and job gains averaged slightly above 200,000 per month for the past twelve months. The S&P/Case-Shiller U.S. National Home Price Index, which covers all nine U.S. census divisions, recorded a 5.4% annual gain in January 2016 (most recent data available at the time this report was prepared). The 10-City and 20-City Composites reported year-over-year increases of 5.1% and 5.7%, respectively.
With GDP growth averaging around 2% for the previous four quarters, the U.S. economic recovery continued to underwhelm. Consumers, whose purchases comprise the largest component of the U.S. economy, benefited from lower gasoline prices and an improving jobs market. Pessimism about the economy's future and lackluster wage growth likely contributed to consumers' somewhat muted spending. The sharp decline in energy prices and tepid wage growth also weighed on inflation during this reporting

 
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 manager 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.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's (S&P), Moody's Investors Service, Inc. (Moody's) or Fitch, Inc. (Fitch). Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below investment grade ratings. Certain bonds backed by U.S. government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
Bond insurance guarantees only the payment of principal and interest on the bond when due, and not the value of the bonds themselves, which will fluctuate with the bond market and the financial success of the issuer and the insurer. Insurance relates specifically to the bonds in the portfolio and not to the share prices of a Fund. No representation is made as to the insurers' ability to meet their commitments.
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.

Nuveen Investments
 
5


Portfolio Manager's Comments (continued)
period. The Consumer Price Index CPI rose 1.0% over the twelve-month period ended February 2016 on a seasonally adjusted basis, as reported by the U.S. Bureau of Labor Statistics. The core CPI (which excludes food and energy) increased 2.3% during the same period, the largest twelve-month gain since May 2012 and slightly above the Fed's unofficial longer term inflation objective of 2.0%.
Business investment was also rather restrained. Corporate earnings growth slowed during 2015, reflecting an array of factors ranging from weakening demand amid sluggish U.S. and global growth to the impact of falling commodity prices and a strong U.S. dollar. Energy, materials and industrials companies were hit particularly hard by the downturn in natural resource prices, as well as the expectation of rising interest rates, which would make their debts more costly to service. With demand waning, companies, especially in the health care and technology sectors, looked to consolidations with rivals as a way to boost revenues. Merger and acquisition deals, both in the U.S. and globally, reached record levels in the calendar year 2015.
Although the current expansion continued to look subpar relative to past recoveries, the U.S. Federal Reserve (Fed) believed the economy was strong enough to begin the withdrawal of its stimulus policies. After winding down its bond buying program, known as quantitative easing, in October 2014, the Fed began telegraphing its intention to raise the target federal funds rate some time in 2015. The Fed had held the fed funds rate near zero since December 2008. However, the timing of its first rate hike was uncertain, particularly as the inflation rate stayed stubbornly low and signs of global economic weakness, notably from China, merited caution.
After delaying the rate change at each prior meeting in 2015, the Fed announced in December 2015 that it would raise its main policy interest rate by 0.25%. The news had a relatively muted impact on the financial markets, as the move was widely expected. Although the Fed continued to emphasize future rate increases would be gradual, uncertainties lingered. Given the fragility of the global economy and concerns about the U.S.'s lackluster growth, the Fed seemed more than likely to remain on hold in the near term. Not surprisingly, the Fed kept its target rate unchanged at its January policy meeting.
In the broad municipal bond market, yields ended the twelve-month reporting period slightly below where they started, although their downward path was not a straight line. For most of the period, the generally improved condition of the U.S. economy and expectation of rising interest rates propelled municipal bond yields higher. However, after the Fed's first rate hike, subsequent rate hikes seemed unlikely in the near future as the pace of the U.S. economic recovery remained below average and weakness lingered abroad, especially in Europe and China. This helped renew demand for municipal bonds, bolstering prices and weighing on yields (as bond prices and yields move in opposite directions) in the final months of the reporting period.
The municipal market's supply-demand balance was generally favorable over this reporting period. Issuance was unusually strong at the beginning of 2015, fueling concerns about potential oversupply conditions. Over the twelve months ended February 29, 2016, municipal bond issuance nationwide totaled $349.2 billion, an increase of 9.8% from the issuance for the twelve-month period ended February 28, 2015. To articulate, gross municipal bond nationwide issuance is up. The surge in gross issuance is due mostly to increased refunding deals as issuers have been actively and aggressively refunding their outstanding debt given the very low interest rate environment. In these transactions the issuers are issuing new bonds and taking the bond proceeds and redeeming (calling) old bonds. These refunding transactions have ranged from 40%-60% of total issuance over the past few years. Thus, the net issuance (all bonds issued less bonds redeemed) is actually much lower than the gross issuance. In fact, the total municipal bonds outstanding has actually declined in each of the past four calendar years. So, the gross is surging, but the net is not and this has been an overall positive technical factor on municipal bond investment performance.
At the same time, regulatory changes, increased risk aversion and expectations for rising interest rates have encouraged bond dealers, typically brokers and banks, to reduce the size of their inventories in recent years. By holding smaller amounts of bonds on their books, dealers seek to mitigate their exposure to bonds that could potentially be worth less or be more difficult to sell in the future. Banks have reduced their participation in the markets in order to hold fewer bonds on their balance sheets. As a result, there has been less liquidity in the marketplace, which contributed to periods of increased price volatility.

6
 
Nuveen Investments


How were the economic and market environments in California during the twelve-month reporting period ended February 29, 2016?
California's economy is the largest in the United States and ranks eighth in the world according to the International Monetary Fund. Job growth continues to increase faster than the nation, driven by high technology, international trade and tourism but also supplemented by better residential construction and real estate conditions. As a result, the state's unemployment rate improved to 5.5% as of February 2016, down from 6.7% the year prior and the gap between the state and the nation's 4.9% unemployment rate is narrowing. According to the S&P/Case-Shiller Index, home prices in San Diego, Los Angeles and San Francisco rose 6.9%, 6.9% and 10.5%, respectively, over the twelve months ended January 2016 (most recent data available at the time this report was prepared) compared with an average increase of 5.4% nationally. California entered its fifth straight year of drought conditions resulting in the Governor issuing mandatory water cuts. El Nino storms since December 2015 have provided some relief, but a full recovery from the drought will require more rain and snowfall. Agriculture is exempt from the mandate. Although farms consume 80% of California's water, they only generate 2% of the state's economic activity. The most significant economic risk would be a slowdown in California's home building industry, which is a major part of the state's economy. In looking at the impact of the drought more broadly, the non-partisan Legislative Analyst Office says the drought is not likely to have a significant effect on California's economy or state government revenues in the short term.
The enacted Fiscal 2016 budget is 0.8% higher than the revised estimate for Fiscal Year 2015. Strong revenue growth due to a recovering economy and the passage of Proposition 30 (increases state sales and personal income taxes temporarily) have aided in the State's fiscal recovery. For Fiscal Year 2016-2017, the proposed General Fund Governor's Budget totals $122.6 billion. The proposed budget echoes Governor Brown's recurring theme since he took office in 2011 to maintain a cautious approach to managing the state's finances. The proposal, which after meeting the constitutional requirements for reserve deposits and increase spending on education, calls for an extra deposit into the Rainy Day Fund and one-time infrastructure spending from discretionary resources. On July 2, 2015, S&P upgraded its rating on California general obligation (GO) debt to "AA-/STABLE" from "A+/CreditWatch Positive." Moody's upgraded the State GO to Aa3 with stable outlook from A1 in June 2014. During the twelve months ended February 29, 2016, municipal issuance in California totaled $52.9 billion, an 8% gross issuance increase over the prior twelve months. For this reporting period, California was the largest state issuer in the nation, representing approximately 13.4% of total issuance nationwide.
What key strategies were used to manage these California Funds during the twelve-month reporting period ended February 29, 2016?
The broad municipal bond market enjoyed positive performance during the twelve-month reporting period overall. In general, California municipal bonds outpaced the overall municipal market return for the reporting period. California's economy continued to improve, as a declining unemployment rate and legislative changes improved the state's overall financial health and credit conditions. Additionally, investors seeking greater yield potential continued to bolster demand for California municipal bonds, which helped credit spreads contract during this reporting period.
We continued to take a bottom-up approach to discovering sectors that appeared undervalued as well as individual credits that we believed had the potential to perform well over the long term. Our trading activity continued to focus on pursuing the Funds' investment objectives. Generally speaking, throughout this reporting period, the Funds maintained their overall positioning strategies in terms of duration and yield curve positioning, credit quality exposures and sector allocations. We've also continued to be more cautious in selecting individual securities. As investor demand for municipal securities has increased and created a slight supply-demand imbalance, we've started to see underwriters bring new issues to market that are structured with terms more favorable to the issuer and perhaps less advantageous to the investor than in the recent past. We believe this shift in the marketplace merits extra vigilance on our part to ensure that every credit considered for the portfolio offers adequate reward potential for the level of risk to the bondholder. In cases where our convictions have been less certain, we've sought compensation for the additional risk or have passed on the deal all together.

Nuveen Investments
 
7


Portfolio Manager's Comments (continued)
To keep the Funds fully invested, we continued to focus on purchasing bonds in areas of the market that we expected to perform well as the economy continued to improve. We emphasized intermediate and longer maturities, lower rated credits and sectors offering higher yields. To fund these purchases, we generally reinvested the proceeds from called and maturing bonds. In some cases, we sold bonds that we believed had deteriorating fundamentals or could be traded for a better relative value, as well as selling short-dated, higher quality issues that we tend to hold over short timeframes as a source of liquidity.
We continued to find opportunities to purchase bonds in both the primary and secondary markets that helped keep the Funds fully invested. Overall, our emphasis in purchase activity was on relative value and credit quality, rather than sector. We found the most relative value in the A rated category, which included additions in the higher education and health care sectors, as these sectors tend to have a higher proportion of A rated credits. Especially in the primary market, A rated bonds featured better pricing relative to BBB and AA rated credits.
We continued to be more selective within the lower credit quality segments of the market (BBB and below investment grade), as yield spreads on lower rated bonds began to tighten. For example, we participated in some newly issued land-secured bonds that we believe offered relative values that were especially compelling. We also maintained the Funds' overweight tobacco exposures. Tobacco bonds continued to offer attractive yields for what we believe is a relatively moderate level of credit risk and good relative value, even after the sector's recently strong performance. In some of the Funds, we sold tobacco bonds to buy structures with similar income distribution profiles but less risk.
In addition, we continued to replace some of the 4% and 5% coupon bonds that had been bought at significant premiums for similar structures offering better relative value. These transactions helped bolster the Funds' income distribution capabilities, as well as improve the tax efficiency of the overall portfolios.
One of the shorter-term, more tactical strategies we implemented during this reporting period included increasing exposure to higher grade, higher liquidity bonds (primarily AA rated). These positions helped keep the Funds fully invested and were intended as short-term holdings that could be easily sold when proceeds were needed to fund a new purchase.
As of February 29, 2016, all six of these Funds continued to use inverse floating rate securities. We employ inverse floaters for a variety of reasons, including duration management, income enhancement and total return enhancement.
How did the Funds perform during the twelve-month reporting period ended February 29, 2016?
The tables in each Fund's Performance Overview and Holding Summaries section of this report provide the Funds' total returns for the one-year, five-year, ten-year and/or since inception periods ended February 29, 2016. Each Fund's returns on common share net asset value (NAV) are compared with the performance of corresponding market indexes and Lipper classification average.
For the twelve months ended February 29, 2016, the total returns at common share NAV for all six of these Funds exceeded the return for the S&P Municipal Bond California Index as well as that for the national S&P Municipal Bond Index. For this same period, NKX, NAC, NVX and NZH outperformed the average return for the Lipper California Municipal Debt Funds Classification Average, while NCA and NCB trailed this Lipper California average.
The main contributor to the Funds' relative performance during this reporting period was yield curve and duration positioning. We continued to overweight the longer parts of the yield curve with corresponding underweights to the shorter end of the curve, which resulted in longer durations than the municipal market in general. This positioning was advantageous in this reporting period as intermediate- and longer-dated bonds generally outperformed shorter-dated bonds.
The Funds' credit quality exposures also contributed positively, although to a lesser extent than yield curve and duration positioning. Lower rated municipal bonds outperformed higher-rated bonds during this reporting period, as the low interest rate environment continued to propel investor demand for yield. The Funds were positioned with overweight allocations to the outperforming A, BBB, below investment grade and non-rated categories and with underweight allocations to the underperforming AA and AAA rated categories. These tilts were advantageous to performance during this reporting period.

8
 
Nuveen Investments


An Update Involving Puerto Rico
As noted in the Funds' previous shareholder reports, we continue to monitor situations in the broader municipal market for any impact on the Funds' holdings and performance: the ongoing economic problems of Puerto Rico is one such case. Puerto Rico's continued economic weakening, escalating debt service obligations, and long-standing inability to deliver a balanced budget led to multiple downgrades on its debt over the past two years. Puerto Rico has warned investors since 2014 that the island's debt burden may be unsustainable and the Commonwealth has been exploring various strategies to deal with this burden, including Chapter 9 bankruptcy, which is currently not available by law.
In terms of Puerto Rico holdings, shareholders should note that NVX had 1.71%, NCB had no exposure and the other four Funds had allocations of less than 1% at the end of the reporting period, all of which are insured or escrowed to maturity. The Puerto Rico credits offered higher yields, added diversification and triple exemption (i.e., exemption from most federal, state and local taxes). Puerto Rico general obligation debt is currently rated Caa2/CC/CC (below investment grade) by Moody's, S&P and Fitch, respectively, with negative outlooks.

Nuveen Investments
 
9


Fund Leverage
IMPACT OF THE FUNDS' LEVERAGE STRATEGY ON PERFORMANCE
One important factor impacting the returns of the Funds relative to their comparative benchmarks was the Funds' use of leverage through their issuance of preferred shares and/or investments in inverse floating rate securities, which represent leveraged investments in underlying bonds. NCA and NCB do not use regulatory leverage. The Funds use leverage because our research has shown that, over time, leveraging provides opportunities for additional income, particularly in the recent market environment where short-term market rates are at or near historical lows, meaning that the short-term rates the Fund has been paying on its leveraging instruments have been much lower than the interest the Fund has been earning on its portfolio of long-term bonds that it has bought with the proceeds of that leverage. However, use of leverage also can expose the Fund to additional price volatility. When a Fund uses leverage, the Fund will experience a greater increase in its net asset value if the municipal bonds acquired through the use of leverage increase in value, but it will also experience a correspondingly larger decline in its net asset value if the bonds acquired through leverage decline in value, which will make the Fund's net asset value more volatile, and its total return performance more variable over time. In addition, income in levered funds will typically decrease in comparison to unlevered funds when short-term interest rates increase and increase when short-term interest rates decrease. Leverage had a positive impact on the performance of the Funds over this reporting period. For NCA, the impact was less due to the low level of leverage used in the Fund.
As of February 29, 2016, the Funds' percentages of leverage are as shown in the accompanying table.

 
NCA
NCB
NKX
NAC
NVX
NZH
 
Effective Leverage*
1.58%
9.56%
32.36%
34.61%
31.30%
37.33%
 
Regulatory Leverage*
0.00%
0.00%
29.81%
28.86%
29.25%
30.75%
 

*
Effective leverage is a Fund's effective economic leverage, and includes both regulatory leverage and the leverage effects of certain derivative and other investments in a Fund's portfolio that increase the Fund's investment exposure. Currently, the leverage effects of Tender Option Bond (TOB) inverse floater holdings are included in effective leverage values, in addition to any regulatory leverage. Regulatory leverage consists of preferred shares issued or borrowings of a Fund. Both of these are part of a Fund's capital structure. Regulatory leverage is subject to asset coverage limits set forth in the Investment Company Act of 1940.

10
 
Nuveen Investments


THE FUNDS' REGULATORY LEVERAGE
As of February 29, 2016, the following Funds have issued and outstanding Institutional MuniFund Term Preferred (iMTP) Shares and Variable Rate Demand Preferred (VRDP) Shares as shown in the accompanying table. As mentioned previously, NCA and NCB do not use regulatory leverage.

   
iMTP Shares
 
VRDP Shares
       
           
Shares
         
Shares
       
           
Issued at
         
Issued at
       
           
Liquidation
         
Liquidation
       
     
Series
   
Preference
   
Series
   
Preference
   
Total
 
NKX
   
2018
 
$
36,000,000
   
2
 
$
35,500,000
       
                 
3
 
$
42,700,000
       
                 
4
 
$
109,000,000
       
                 
5
 
$
104,400,000
       
         
$
36,000,000
       
$
291,600,000
 
$
327,600,000
 
NAC
   
   
   
1
 
$
136,200,000
       
                 
2
 
$
91,000,000
       
                 
3
 
$
49,800,000
       
                 
4
 
$
105,600,000
       
                 
5
 
$
158,900,000
       
                 
6
 
$
158,100,000
       
                     
$
699,600,000
 
$
699,600,000
 
NVX
   
   
   
1
 
$
98,000,000
 
$
98,000,000
 
NZH
   
   
   
1
 
$
160,000,000
 
$
160,000,000
 
Refer to Notes to Financial Statements, Note 4 — Fund Shares, Preferred Shares for further details on iMTP and VRDP Shares and each Fund's respective transactions.

Nuveen Investments
 
11


Common Share Information
COMMON SHARE DISTRIBUTION INFORMATION
The following information regarding the Funds' distributions is current as of February 29, 2016. Each Fund's distribution levels may vary over time based on each Fund's investment activity and portfolio investment value changes.
During the current reporting period, each Fund's distributions to common shareholders were as shown in the accompanying table.

   
Per Common Share Amounts
Monthly Distributions (Ex-Dividend Date)
   
NCA
   
NCB
   
NKX
   
NAC
   
NVX
   
NZH
 
March 2015
 
$
0.0390
 
$
0.0650
 
$
0.0720
 
$
0.0800
 
$
0.0700
 
$
0.0670
 
April
   
0.0390
   
0.0650
   
0.0720
   
0.0800
   
0.0700
   
0.0670
 
May
   
0.0390
   
0.0650
   
0.0720
   
0.0800
   
0.0700
   
0.0670
 
June
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0700
   
0.0670
 
July
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0700
   
0.0670
 
August
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0700
   
0.0670
 
September
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0675
   
0.0670
 
October
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0675
   
0.0670
 
November
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0675
   
0.0670
 
December
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0675
   
0.0670
 
January
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0675
   
0.0670
 
February 2016
   
0.0390
   
0.0650
   
0.0720
   
0.0760
   
0.0675
   
0.0670
 
Total Monthly Per Share Distributions
 
$
0.4680
 
$
0.7800
 
$
0.8640
 
$
0.9240
 
$
0.8250
 
$
0.8040
 
Ordinary Income Distribution*
 
$
0.0038
 
$
0.0290
 
$
0.0047
 
$
0.0052
 
$
0.0060
 
$
0.0031
 
Total Distributions from Net Investment Income
 
$
0.4718
 
$
0.8090
 
$
0.8687
 
$
0.9292
 
$
0.8310
 
$
0.8071
 
Total Distributions from Long-Term Capital Gains*
 
$
 
$
0.2327
 
$
 
$
 
$
 
$
 
Total Distributions
 
$
0.4718
 
$
1.0417
 
$
0.8687
 
$
0.9292
 
$
0.8310
 
$
0.8071
 
                                       
Yields
                                     
Market Yield**
   
4.34
%
 
4.41
%
 
5.53
%
 
5.76
%
 
5.19
%
 
5.52
%
Taxable-Equivalent Yield**
   
6.65
%
 
6.75
%
 
8.47
%
 
8.82
%
 
7.95
%
 
8.45
%
 
*
Distribution paid on December 2015.
   
**
Market Yield is based on the Fund's current annualized monthly distribution divided by the Fund's current market price as of the end of the reporting period. 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 34.7%. When comparing a Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
Each Fund in this report seeks to pay regular monthly dividends out of its net investment income at a rate that reflects its past and projected net income performance. To permit each Fund to maintain a more stable monthly dividend, the Fund may pay dividends at a rate that may be more or less than the amount of net income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it will hold the excess in reserve as undistributed net investment income (UNII) as part of the Fund's net asset value. Conversely, if a Fund has cumulatively paid in dividends more than it has earned, the excess will constitute a negative UNII that will likewise be reflected in the Fund's net asset value. Each Fund will, over time, pay all its net investment income as dividends to shareholders.
As of February 29, 2016, the Funds had positive UNII balances for tax purposes and positive UNII balances for financial reporting purposes.

12
 
Nuveen Investments


All monthly dividends paid by each Fund during the current reporting period, were paid from net investment income. If a portion of the Fund's monthly distributions was sourced from or comprised of elements other than net investment income, including capital gains and/or a return of capital, shareholders would have received a notice to that effect. For financial reporting purposes, the composition and per share amounts of each Fund's dividends for the reporting period are presented in this report's Statement of Changes in Net Assets and Financial Highlights, respectively. For income tax purposes, distribution information for each Fund as of its most recent tax year end is presented in Note 6 – Income Tax Information within the Notes to Financial Statements of this report.
COMMON SHARE REPURCHASES
During August 2015, the Funds' Board of Directors/Trustees reauthorized an open–market share repurchase program, allowing each Fund to repurchase an aggregate of up to approximately 10% of its outstanding shares.
As of February 29, 2016, and since the inception of the Funds' repurchase programs, the Funds have cumulatively repurchased and retired common shares as shown in the accompanying table.

     
NCA
   
NCB
   
NKX
   
NAC
   
NVX
   
NZH
 
Common shares cumulatively repurchased and retired 
 
   
   
   
   
50,700
   
12,900
 
Common shares authorized for repurchase
   
2,570,000
   
330,000
   
4,770,000
   
10,740,000
   
1,475,000
   
2,415,000
 
During the current reporting period, the Funds did not repurchase any of their outstanding common shares.
COMMON SHARE EQUITY SHELF PROGRAMS
During the reporting period, the following Fund was authorized to issue additional common shares through its ongoing equity shelf program. Under this program, the Fund, subject to market conditions, may raise additional capital from time to time in varying amounts and offering methods at a net price at or above the Fund's NAV per common share. Under the equity shelf program, the Fund is authorized to issue the following number of additional common shares.

 
NCA
 
Additional common shares authorized
2,500,000
 
During the current reporting period, NCA sold common shares through its equity shelf program at a weighted average premium to its NAV per common share as shown in the accompanying table.
         
     
NCA
 
Common shares sold through equity shelf program
   
1,043,028
 
Weighted average premium to NAV per common share sold
   
2.21
%
OTHER COMMON SHARE INFORMATION
As of February 29, 2016, and during the current reporting period, the Funds' common share prices were trading at a premium/(discount) to their common share NAVs as shown in the accompanying table.

     
NCA
   
NCB
   
NKX
   
NAC
   
NVX
   
NZH
 
Common share NAV
 
$
10.56
 
$
17.23
 
$
16.17
 
$
16.06
 
$
16.06
 
$
14.92
 
Common share price
 
$
10.79
 
$
17.70
 
$
15.63
 
$
15.84
 
$
15.62
 
$
14.56
 
Premium/(Discount) to NAV
   
2.18
%
 
2.73
%
 
(3.34
)%
 
(1.37
)%
 
(2.74
)%
 
(2.41
)%
12-month average premium/(discount) to NAV 
 
1.25
%
 
(3.32
)%
 
(6.10
)%
 
(4.04
)%
 
(5.93
)%
 
(6.77
)%

Nuveen Investments
 
13


Risk Considerations
Fund shares are not guaranteed or endorsed by any bank or other insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation.
Nuveen California Municipal Value Fund, Inc. (NCA)
Nuveen California Municipal Value Fund 2 (NCB)
Investing in closed-end funds involves risk; principal loss is possible. There is no guarantee the Fund's investment objectives will be achieved. Closed-end fund shares may frequently trade at a discount or premium to their net asset value. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, derivatives risk, liquidity risk, and income risk. As interest rates rise, bond prices fall. State concentration makes the Fund more susceptible to local adverse economic, political, or regulatory changes affecting municipal bond issuers. These and other risk considerations such as tax risk are described in more detail on the Fund's web page at www.nuveen.com/NCA, www.nuveen.com/NCB.
Nuveen California AMT-Free Municipal Income Fund (NKX)
Nuveen California Dividend Advantage Municipal Fund (NAC)
Nuveen California Dividend Advantage Municipal Fund 2 (NVX)
Nuveen California Dividend Advantage Municipal Fund 3 (NZH)
Investing in closed-end funds involves risk; principal loss is possible. There is no guarantee the Fund's investment objectives will be achieved. Closed-end fund shares may frequently trade at a discount or premium to their net asset value. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, derivatives risk, liquidity risk, and income risk. As interest rates rise, bond prices fall. Leverage increases return volatility and magnifies the Fund's potential return and its risks; there is no guarantee a fund's leverage strategy will be successful. State concentration makes the Fund more susceptible to local adverse economic, political, or regulatory changes affecting municipal bond issuers. These and other risk considerations such as inverse floater risk and tax risk are described in more detail on the Fund's web page at www.nuveen.com/NKX, www.nuveen.com/NAC, www.nuveen.com/NVX, www.nuveen.com/NZH.

14
 
Nuveen Investments


NCA
 
 
Nuveen California Municipal Value Fund, Inc.
 
Performance Overview and Holding Summaries as of February 29, 2016
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Average Annual Total Returns as of February 29, 2016

 
Average Annual
 
1-Year
5-Year
10-Year
 
NCA at Common Share NAV
4.81%
7.95%
5.37%
 
NCA at Common Share Price
6.08%
10.32%
6.35%
 
S&P Municipal Bond California Index
4.37%
6.74%
5.05%
 
S&P Municipal Bond Index
3.78%
5.63%
4.68%
 
Lipper California Municipal Debt Funds Classification Average
6.24%
10.50%
5.58%
 
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. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index and Lipper return information is provided for the Fund's shares at NAV only. Indexes and Lipper averages are not available for direct investment.
This data relates to the securities held in the Fund's portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's Group, Moody's Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

Fund Allocation
 
(% of net assets)
 
Long-Term Municipal Bonds
98.9%
Other Assets Less Liabilities
2.7%
Net Assets Plus Floating Rate Obligations
101.6%
Floating Rate Obligations
(1.6)%
Net Assets
100%
 
Portfolio Composition
 
(% of total investments)
 
Tax Obligation/Limited
22.2%
Tax Obligation/General
20.9%
U.S. Guaranteed
19.2%
Health Care
11.9%
Transportation
9.1%
Water and Sewer
5.4%
Other
11.3%
Total
100%
 
Credit Quality
 
(% of total investment exposure)
 
AAA/U.S. Guaranteed
23.1%
AA
40.2%
A
15.1%
BBB
7.9%
BB or Lower
8.4%
N/R (not rated)
5.3%
Total
100%

Nuveen Investments
 
15


NCB
 
 
Nuveen California Municipal Value Fund 2
 
Performance Overview and Holding Summaries as of February 29, 2016
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Average Annual Total Returns as of February 29, 2016

 
Average Annual
     
Since
 
 
1-Year
5-Year
Inception
 
NCB at Common Share NAV
4.57%
8.43%
8.17%
 
NCB at Common Share Price
12.91%
11.22%
8.16%
 
S&P Municipal Bond California Index
4.37%
6.74%
6.36%
 
S&P Municipal Bond Index
3.78%
5.63%
5.60%
 
Lipper California Municipal Debt Funds Classification Average
6.24%
10.50%
6.22%
 
Since inception returns are from 4/28/09. 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. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index and Lipper return information is provided for the Fund's shares at NAV only. Indexes and Lipper averages are not available for direct investment.
This data relates to the securities held in the Fund's portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's Group, Moody's Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

Fund Allocation
 
(% of net assets)
 
Long-Term Municipal Bonds
94.8%
Other Assets Less Liabilities
5.2%
Net Assets
100%
 
Portfolio Composition
 
(% of total investments)
 
Tax Obligation/Limited
19.4%
Utilities
14.8%
Health Care
14.2%
U.S. Guaranteed
13.7%
Tax Obligation/General
13.3%
Consumer Staples
6.2%
Transportation
5.3%
Housing/Single Family
5.0%
Other
8.1%
Total
100%
 
Credit Quality
 
(% of total investment exposure)
 
AAA/U.S. Guaranteed
22.3%
AA
24.6%
A
34.4%
BBB
8.7%
BB or Lower
8.9%
N/R (not rated)
1.1%
Total
100%

16
 
Nuveen Investments


NKX
 
 
Nuveen California AMT-Free Municipal Income Fund
 
Performance Overview and Holding Summaries as of February 29, 2016
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Average Annual Total Returns as of February 29, 2016

 
Average Annual
 
1-Year
5-Year
10-Year
 
NKX at Common Share NAV
7.09%
10.95%
6.50%
 
NKX at Common Share Price
12.93%
12.50%
6.88%
 
S&P Municipal Bond California Index
4.37%
6.74%
5.05%
 
S&P Municipal Bond Index
3.78%
5.63%
4.68%
 
Lipper California Municipal Debt Funds Classification Average
6.24%
10.50%
5.58%
 
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. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index and Lipper return information is provided for the Fund's shares at NAV only. Indexes and Lipper averages are not available for direct investment.
This data relates to the securities held in the Fund's portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's Group, Moody's Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

Fund Allocation
 
(% of net assets)
 
Long-Term Municipal Bonds
140.0%
Other Assets Less Liabilities
2.6%
Net Assets Plus Floating Rate Obligations, iMTP Shares, at Liquidation Preference & VRDP Shares, at Liquidation Preference
142.6%
Floating Rate Obligations
(0.1)%
iMTP Shares, at Liquidation Preference
(4.7)%
VRDP Shares, at Liquidation Preference
(37.8)%
Net Assets
100%
 
Portfolio Composition
 
(% of total investments)
 
Tax Obligation/Limited
28.5%
Tax Obligation/General
23.7%
Water and Sewer
11.2%
Health Care
11.1%
U.S. Guaranteed
8.4%
Consumer Staples
5.4%
Other
11.7%
Total
100%
 
Credit Quality
 
(% of total investment exposure)
 
AAA/U.S. Guaranteed
9.4%
AA
53.7%
A
14.4%
BBB
8.3%
BB or Lower
9.3%
N/R (not rated)
4.9%
Total
100%

Nuveen Investments
 
17


NAC
 
 
Nuveen California Dividend Advantage Municipal Fund
 
Performance Overview and Holding Summaries as of February 29, 2016
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Average Annual Total Returns as of February 29, 2016

 
Average Annual
 
1-Year
5-Year
10-Year
 
NAC at Common Share NAV
6.73%
11.43%
6.65%
 
NAC at Common Share Price
9.79%
12.28%
6.67%
 
S&P Municipal Bond California Index
4.37%
6.74%
5.05%
 
S&P Municipal Bond Index
3.78%
5.63%
4.68%
 
Lipper California Municipal Debt Funds Classification Average
6.24%
10.50%
5.58%
 
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. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index and Lipper return information is provided for the Fund's shares at NAV only. Indexes and Lipper averages are not available for direct investment.
This data relates to the securities held in the Fund's portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's Group, Moody's Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

Fund Allocation
 
(% of net assets)
 
Long-Term Municipal Bonds
142.3%
Other Assets Less Liabilities
3.0%
Net Assets Plus Floating Rate Obligations & VRDP Shares, at Liquidation Preference
145.3%
Floating Rate Obligations
(4.7)%
VRDP Shares, at Liquidation Preference
(40.6)%
Net Assets
100%
 
Portfolio Composition
 
(% of total investments)
 
Tax Obligation/General
25.1%
Tax Obligation/Limited
21.7%
Health Care
16.6%
U.S. Guaranteed
9.6%
Water and Sewer
8.0%
Transportation
6.0%
Consumer Staples
5.5%
Other
7.5%
Total
100%
 
Credit Quality
 
(% of total investment exposure)
 
AAA/U.S. Guaranteed
13.1%
AA
48.4%
A
16.9%
BBB
9.3%
BB or Lower
9.3%
N/R (not rated)
3.0%
Total
100%

18
 
Nuveen Investments


NVX
 
 
Nuveen California Dividend Advantage Municipal Fund 2
 
Performance Overview and Holding Summaries as of February 29, 2016
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Average Annual Total Returns as of February 29, 2016

 
Average Annual
 
1-Year
5-Year
10-Year
 
NVX at Common Share NAV
7.03%
9.87%
6.40%
 
NVX at Common Share Price
13.22%
10.68%
6.85%
 
S&P Municipal Bond California Index
4.37%
6.74%
5.05%
 
S&P Municipal Bond Index
3.78%
5.63%
4.68%
 
Lipper California Municipal Debt Funds Classification Average
6.24%
10.50%
5.58%
 
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. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index and Lipper return information is provided for the Fund's shares at NAV only. Indexes and Lipper averages are not available for direct investment.
This data relates to the securities held in the Fund's portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's Group, Moody's Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

Fund Allocation
 
(% of net assets)
 
Long-Term Municipal Bonds
140.1%
Other Assets Less Liabilities
1.6%
Net Assets Plus Floating Rate Obligations & VRDP Shares, at Liquidation Preference
141.7%
Floating Rate Obligations
(0.4)%
VRDP Shares, at Liquidation Preference
(41.3)%
Net Assets
100%
 
Portfolio Composition
 
(% of total investments)
 
Tax Obligation/General
23.4%
Tax Obligation/Limited
18.3%
Health Care
11.3%
Transportation
10.9%
U.S. Guaranteed
8.1%
Water and Sewer
9.4%
Utilities
7.7%
Consumer Staples
5.8%
Other
5.1%
Total
100%
 
Credit Quality
 
(% of total investment exposure)
 
AAA/U.S. Guaranteed
11.9%
AA
40.4%
A
25.5%
BBB
9.6%
BB or Lower
10.2%
N/R (not rated)
2.4%
Total
100%

Nuveen Investments
 
19


NZH
 
 
Nuveen California Dividend Advantage Municipal Fund 3
 
Performance Overview and Holding Summaries as of February 29, 2016
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Average Annual Total Returns as of February 29, 2016
 
 
Average Annual
 
1-Year
5-Year
10-Year
 
NZH at Common Share NAV
7.26%
10.67%
6.01%
 
NZH at Common Share Price
13.31%
11.37%
6.41%
 
S&P Municipal Bond California Index
4.37%
6.74%
5.05%
 
S&P Municipal Bond Index
3.78%
5.63%
4.68%
 
Lipper California Municipal Debt Funds Classification Average
6.24%
10.50%
5.58%
 
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. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index and Lipper return information is provided for the Fund's shares at NAV only. Indexes and Lipper averages are not available for direct investment.
This data relates to the securities held in the Fund's portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor's Group, Moody's Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

Fund Allocation
 
(% of net assets)
 
Long-Term Municipal Bonds
140.2%
Other Assets Less Liabilities
4.4%
Net Assets Plus Floating Rate Obligations & VRDP Shares, at Liquidation Preference
144.6%
Floating Rate Obligations
(0.2)%
VRDP Shares, at Liquidation Preference
(44.4)%
Net Assets
100%
 
Portfolio Composition
 
(% of total investments)
 
Tax Obligation/Limited
26.7%
Health Care
19.4%
Tax Obligation/General
13.3%
Water and Sewer
10.6%
Transportation
9.0%
Consumer Staples
6.9%
Other
14.1%
Total
100%
 
Credit Quality
 
(% of total investment exposure)
 
AAA/U.S. Guaranteed
6.3%
AA
49.9%
A
19.5%
BBB
10.6%
BB or Lower
10.5%
N/R (not rated)
3.2%
Total
100%

20
 
Nuveen Investments


Shareholder Meeting Report
The annual meeting of shareholders was held in the offices of Nuveen Investments on November 17, 2015 for NCA, NCB, NKX, NAC, NVX and NZH; at this meeting the shareholders were asked to elect Board Members.

     
NCA
   
NCB
 
NKX
 
NAC
 
               
Common and
       
Common and
       
                 
Preferred
   
Preferred
   
Preferred
   
Preferred
 
           
shares voting
 
shares voting
 
shares voting
 
shares voting
 
   
Common
 
Common
 
together
 
together
 
together
 
together
 
     
Shares
   
Shares
   
as a class
   
as a class
   
as a class
   
as a class
 
Approval of the Board Members was reached as follows:   
                               
Jack B. Evans
                                     
For
   
23,060,778
   
3,048,554
   
42,072,527
   
   
95,687,722
   
 
Withhold
   
422,216
   
41,829
   
747,683
   
   
2,686,543
   
 
Total
   
23,482,994
   
3,090,383
   
42,820,210
   
   
98,374,265
   
 
William C. Hunter
                                     
For
   
   
   
   
6,671
   
   
5,403
 
Withhold
   
   
   
   
   
   
 
Total
   
   
   
   
6,671
   
   
5,403
 
William J. Schneider
                                     
For
   
22,969,174
   
3,048,554
   
   
6,671
   
   
5,403
 
Withhold
   
513,820
   
41,829
   
   
   
   
 
Total
   
23,482,994
   
3,090,383
   
   
6,671
   
   
5,403
 
Thomas S. Schreier, Jr.
                                     
For
   
23,063,522
   
3,048,554
   
41,976,747
   
   
95,524,415
   
 
Withhold
   
419,472
   
41,829
   
843,463
   
   
2,849,850
   
 
Total
   
23,482,994
   
3,090,383
   
42,820,210
   
   
98,374,265
   
 

Nuveen Investments
 
21


Shareholder Meeting Report (continued)

   
NVX
 
NZH
 
   
Common and
       
Common and
       
     
Preferred
         
Preferred
       
   
shares voting
       
shares voting
       
     
together
   
Preferred
   
together
   
Preferred
 
     
as a class
   
Shares
   
as a class
   
Shares
 
Approval of the Board Members was reached as follows:
                         
Jack B. Evans
                         
For
   
13,199,933
   
   
21,844,882
   
 
Withhold
   
352,385
   
   
366,228
   
 
Total
   
13,552,318
   
   
22,211,110
   
 
William C. Hunter
                         
For
   
   
680
   
   
1,470
 
Withhold
   
   
   
   
 
Total
   
   
680
   
   
1,470
 
William J. Schneider
                         
For
   
   
680
   
   
1,470
 
Withhold
   
   
   
   
 
Total
   
   
680
   
   
1,470
 
Thomas S. Schreier, Jr.
                         
For
   
13,171,845
   
   
21,738,296
   
 
Withhold
   
380,473
   
   
472,814
   
 
Total
   
13,552,318
   
   
22,211,110
   
 

22
 
Nuveen Investments


Report of Independent Registered Public Accounting Firm
To the Board of Directors/Trustees and Shareholders of
Nuveen California Municipal Value Fund, Inc.
Nuveen California Municipal Value Fund 2
Nuveen California AMT-Free Municipal Income Fund
Nuveen California Dividend Advantage Municipal Fund
Nuveen California Dividend Advantage Municipal Fund 2
Nuveen California Dividend Advantage Municipal Fund 3:
We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of Nuveen California Municipal Value Fund, Inc., Nuveen California Municipal Value Fund 2, Nuveen California AMT-Free Municipal Income Fund, Nuveen California Dividend Advantage Municipal Fund, Nuveen California Dividend Advantage Municipal Fund 2 and Nuveen California Dividend Advantage Municipal Fund 3 (the "Funds") as of February 29, 2016, and the related statements of operations for the year then ended, the statements of cash flows (Nuveen California AMT-Free Municipal Income Fund, Nuveen California Dividend Advantage Municipal Fund, Nuveen California Dividend Advantage Municipal Fund 2, and Nuveen California Dividend Advantage Municipal Fund 3 only) for the year then ended, and the statement of changes in net assets and the financial highlights for each of the years in the two-year period then ended. The financial highlights for the periods presented through February 28, 2014, were audited by other auditors whose report dated April 25, 2014, expressed an unqualified opinion on those financial highlights. These financial statements and financial highlights are the responsibility of the Funds' management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of February 29, 2016, by correspondence with the custodian and brokers or other appropriate auditing procedures. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the Funds as of February 29, 2016, the results of their operations for the year then ended, their cash flows (Nuveen California AMT-Free Municipal Income Fund, Nuveen California Dividend Advantage Municipal Fund, Nuveen California Dividend Advantage Municipal Fund 2, and Nuveen California Dividend Advantage Municipal Fund 3 only) for the year then ended, and the changes in their net assets and the financial highlights for each of the years in the two-year period then ended, in conformity with U.S. generally accepted accounting principles.
/s/ KPMG LLP
Chicago, Illinois
April 27, 2016

Nuveen Investments
 
23


 

 
NCA
   
 
Nuveen California Municipal Value Fund, Inc.
 
 
Portfolio of Investments
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
LONG-TERM INVESTMENTS – 98.9% (100.0% of Total Investments)
             
     
MUNICIPAL BONDS – 98.9% (100.0% of Total Investments)
             
     
Consumer Staples – 4.5% (4.6% of Total Investments)
             
$
2,000
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 5.650%, 6/01/41
12/18 at 100.00
 
B2
 
$
2,002,320
 
 
195
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005, 4.250%, 6/01/21
5/16 at 100.00
 
BBB+
   
195,027
 
 
3,940
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.000%, 6/01/33
6/17 at 100.00
 
B–
   
3,739,612
 
 
3,570
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-2, 5.300%, 6/01/37
6/22 at 100.00
 
B–
   
3,369,830
 
 
3,500
 
Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1, 5.500%, 6/01/45
5/16 at 100.00
 
B–
   
3,361,645
 
 
13,205
 
Total Consumer Staples
         
12,668,434
 
     
Education and Civic Organizations – 0.5% (0.5% of Total Investments)
             
 
65
 
California Educational Facilities Authority, Revenue Bonds, University of Redlands, Series 2005A, 5.000%, 10/01/35
4/16 at 100.00
 
A3
   
65,216
 
 
450
 
California Municipal Finance Authority, Charter School Revenue Bonds, Rocketship Education, Multiple Projects, Series 2014A, 7.250%, 6/01/43
6/22 at 102.00
 
N/R
   
524,934
 
 
700
 
California Statewide Communities Development Authority, School Facility Revenue Bonds, Alliance College-Ready Public Schools, Series 2011A, 7.000%, 7/01/46
7/21 at 100.00
 
BBB–
   
789,390
 
 
1,215
 
Total Education and Civic Organizations
         
1,379,540
 
     
Health Care – 11.8% (11.9% of Total Investments)
             
 
285
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Refunding Series 2015A, 5.000%, 8/15/43
8/25 at 100.00
 
AA–
   
330,118
 
 
555
 
California Health Facilities Financing Authority, Revenue Bonds, Lucile Salter Packard Children's Hospital, Series 2014A, 5.000%, 8/15/43
8/24 at 100.00
 
AA
   
636,502
 
 
350
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014A, 5.000%, 10/01/38
10/24 at 100.00
 
AA
   
406,385
 
 
690
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44
10/24 at 100.00
 
AA
   
789,857
 
     
California Health Facilities Financing Authority, Revenue Bonds, Rady Children's Hospital – San Diego, Series 2011:
             
 
560
 
5.000%, 8/15/31
8/21 at 100.00
 
AA–
   
650,278
 
 
670
 
5.250%, 8/15/41
8/21 at 100.00
 
AA–
   
752,765
 
 
1,000
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2011B, 6.000%, 8/15/42
8/20 at 100.00
 
AA–
   
1,200,660
 
 
5,365
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2007A, 5.250%, 11/15/46 (UB)
11/16 at 100.00
 
AA–
   
5,527,291
 
 
2,270
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/27
2/17 at 100.00
 
A–
   
2,346,386
 
 
2,625
 
California Statewide Communities Development Authority, Revenue Bonds, Kaiser Permanente, Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
A+
   
2,987,906
 
 
3,000
 
California Statewide Community Development Authority, Health Facility Revenue Bonds, Catholic Healthcare West, Insured Series 2008K, 5.500%, 7/01/41 – AGC Insured
7/17 at 100.00
 
AA
   
3,151,830
 
 
1,000
 
California Statewide Community Development Authority, Health Facility Revenue Bonds, Catholic Healthcare West, Series 2008C, 5.625%, 7/01/35
7/18 at 100.00
 
A
   
1,089,600
 

24
 
Nuveen Investments


 
Principal
 
 
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
$
1,460
 
California Statewide Community Development Authority, Revenue Bonds, Kaiser Permanente System, Series 2001C, 5.250%, 8/01/31
8/16 at 100.00
 
A+
 
$
 
1,484,382
 
 
2,710
 
California Statewide Community Development Authority, Revenue Bonds, Sherman Oaks Health System, Series 1998A, 5.000%, 8/01/22 – AMBAC Insured
No Opt. Call
 
AA–
   
3,125,822
 
 
2,940
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.750%, 11/01/39
11/19 at 100.00
 
Ba1
   
3,296,034
 
 
2,900
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010, 6.000%, 11/01/41
11/20 at 100.00
 
Ba1
   
3,096,359
 
 
1,750
 
San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41
12/21 at 100.00
 
BB+
   
2,145,150
 
 
30,130
 
Total Health Care
         
33,017,325
 
     
Housing/Multifamily – 2.1% (2.2% of Total Investments)
             
 
1,010
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45
8/20 at 100.00
 
BBB
   
1,115,495
 
 
1,060
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A, 5.500%, 8/15/47
8/22 at 100.00
 
BBB
   
1,187,486
 
     
California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A:
             
 
65
 
5.250%, 8/15/39
8/24 at 100.00
 
BBB
   
73,419
 
 
175
 
5.250%, 8/15/49
8/24 at 100.00
 
BBB
   
197,026
 
 
2,255
 
California Statewide Community Development Authority, Multifamily Housing Revenue Bonds, Harbor City Lights, Series 1999Y, 6.650%, 7/01/39 (Alternative Minimum Tax)
7/16 at 100.00
 
N/R
   
2,257,661
 
 
1,105
 
San Dimas Housing Authority, California, Mobile Home Park Revenue Bonds, Charter Oak Mobile Home Estates Acquisition Project, Series 1998A, 5.700%, 7/01/28
7/16 at 100.00
 
N/R
   
1,106,790
 
 
5,670
 
Total Housing/Multifamily
         
5,937,877
 
     
Housing/Single Family – 0.8% (0.8% of Total Investments)
             
 
2,125
 
California Department of Veteran Affairs, Home Purchase Revenue Bonds, Series 2007, 5.000%, 12/01/42 (Alternative Minimum Tax)
12/16 at 100.00
 
AA
   
2,164,249
 
     
Long-Term Care – 1.7% (1.7% of Total Investments)
             
 
4,000
 
ABAG Finance Authority for Non-Profit Corporations, California, Health Facility Revenue Bonds, The Institute on Aging, Series 2008A, 5.650%, 8/15/38
8/18 at 100.00
 
AA–
   
4,418,840
 
 
180
 
California Statewide Community Development Authority, Certificates of Participation, Internext Group, Series 1999, 5.375%, 4/01/17
4/16 at 100.00
 
BBB+
   
180,803
 
 
4,180
 
Total Long-Term Care
         
4,599,643
 
     
Tax Obligation/General – 20.7% (20.9% of Total Investments)
             
 
1,000
 
California State, General Obligation Bonds, Refunding Various Purpose Series 2013, 5.000%, 2/01/29
No Opt. Call
 
AA–
   
1,196,350
 
 
1,000
 
California State, General Obligation Bonds, Various Purpose Refunding Series 2014, 5.000%, 8/01/31
8/24 at 100.00
 
AA–
   
1,203,100
 
 
3,000
 
California State, General Obligation Bonds, Various Purpose Refunding Series 2015, 5.000%, 8/01/34
8/25 at 100.00
 
AA–
   
3,587,130
 
     
California State, General Obligation Bonds, Various Purpose Series 2009:
             
 
2,500
 
6.000%, 4/01/38
4/19 at 100.00
 
AA–
   
2,872,650
 
 
1,000
 
6.000%, 11/01/39
11/19 at 100.00
 
AA–
   
1,175,470
 
 
2,000
 
California State, General Obligation Bonds, Various Purpose Series 2010, 5.500%, 3/01/40
3/20 at 100.00
 
AA–
   
2,316,640
 
     
California State, General Obligation Bonds, Various Purpose Series 2013:
             
 
2,500
 
5.000%, 4/01/37
4/23 at 100.00
 
AA–
   
2,917,800
 
 
2,500
 
5.000%, 2/01/43
No Opt. Call
 
AA–
   
2,876,100
 
 
2,240
 
5.000%, 11/01/43
11/23 at 100.00
 
AA–
   
2,609,981
 

Nuveen Investments
 
25


NCA
Nuveen California Municipal Value Fund, Inc.
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
     
California State, General Obligation Bonds, Various Purpose Series 2014:
             
$
5,000
 
5.000%, 5/01/32
5/24 at 100.00
 
AA–
 
$
5,955,250
 
 
1,970
 
5.000%, 10/01/39
10/24 at 100.00
 
AA–
   
2,313,568
 
 
290
 
Oceanside Unified School District, San Diego County, California, General Obligation Bonds, Election 2008 Series 2010B, 0.000%, 8/01/49 – AGM Insured
8/20 at 13.60
 
AA
   
34,635
 
 
10,000
 
Poway Unified School District, San Diego County, California, General Obligation Bonds, School Facilities Improvement District 2007-1, Series 2011A, 0.000%, 8/01/46
No Opt. Call
 
AA–
   
2,972,900
 
 
2,000
 
Puerto Rico, General Obligation Bonds, Public Improvement Series 2002A, 5.500%, 7/01/20 – NPFG Insured
No Opt. Call
 
AA–
   
2,087,120
 
 
11,875
 
San Mateo Union High School District, San Mateo County, California, General Obligation Bonds, Election 2010 Series 2011A, 0.000%, 9/01/41
9/36 at 100.00
 
Aaa
   
9,666,962
 
 
1,320
 
Tahoe Forest Hospital District, Placer and Nevada Counties, California, General Obligation Bonds, Series 2010B, 5.500%, 8/01/35
8/18 at 100.00
 
Aa3
   
1,450,350
 
 
20,860
 
Yosemite Community College District, California, General Obligation Bonds, Capital Appreciation, Election 2004, Series 2010D, 0.000%, 8/01/42
No Opt. Call
 
Aa2
   
12,697,062
 
 
71,055
 
Total Tax Obligation/General
         
57,933,068
 
     
Tax Obligation/Limited – 22.0% (22.2% of Total Investments)
             
 
1,000
 
Artesia Redevelopment Agency, California, Tax Allocation Revenue Bonds, Artesia Redevelopment Project Area, Series 2007, 5.375%, 6/01/27
5/16 at 100.00
 
BBB+
   
1,001,690
 
     
Bell Community Redevelopment Agency, California, Tax Allocation Bonds, Bell Project Area, Series 2003:
             
 
3,000
 
5.500%, 10/01/23 – RAAI Insured
4/16 at 100.00
 
AA
   
3,003,900
 
 
1,000
 
5.625%, 10/01/33 – RAAI Insured
4/16 at 100.00
 
AA
   
1,000,630
 
 
3,500
 
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2013F, 5.250%, 9/01/33
9/23 at 100.00
 
A+
   
4,189,360
 
 
1,250
 
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2014A, 5.000%, 9/01/39
9/24 at 100.00
 
A+
   
1,458,913
 
 
1,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009G-1, 5.750%, 10/01/30
10/19 at 100.00
 
A+
   
1,167,700
 
 
2,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009-I, 6.375%, 11/01/34
11/19 at 100.00
 
A+
   
2,398,620
 
 
3,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2012G, 5.000%, 11/01/37
11/22 at 100.00
 
A+
   
3,484,170
 
 
1,005
 
Chino Redevelopment Agency, California, Merged Chino Redevelopment Project Area Tax Allocation Bonds, Series 2006, 5.000%, 9/01/38 – AMBAC Insured
9/16 at 101.00
 
A
   
1,033,522
 
 
1,000
 
Folsom Public Financing Authority, California, Special Tax Revenue Bonds, Refunding Series 2007A, 5.000%, 9/01/23 – AMBAC Insured
9/17 at 100.00
 
N/R
   
1,041,240
 
 
750
 
Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27
4/16 at 100.00
 
A
   
753,293
 
 
8,250
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2015A, 5.000%, 6/01/45
6/25 at 100.00
 
A+
   
9,459,532
 
 
675
 
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Subordinate Lien Series 2007A-1, 5.000%,
5/01/25 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
692,091
 
     
Irvine Unified School District, California, Special Tax Bonds, Community Facilities District Series 2006A:
             
 
150
 
5.000%, 9/01/26
9/16 at 100.00
 
N/R
   
152,606
 
 
355
 
5.125%, 9/01/36
9/16 at 100.00
 
N/R
   
360,119
 
 
2,500
 
Kern County Board of Education, California, Certificates of Participation, Series 2006A, 5.000%, 6/01/31 – NPFG Insured
6/16 at 100.00
 
AA–
   
2,522,625
 
 
750
 
Lancaster Redevelopment Agency, California, Tax Allocation Bonds, Combined Redevelopment Project Areas Housing Programs, Series 2009, 6.000%, 8/01/24
8/19 at 100.00
 
BBB
   
859,890
 

26
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
3,520
 
Los Angeles County Public Works Financing Authority, California, Lease Revenue Bonds, Multiple Capital Facilities Project II, Series 2012, 5.000%, 8/01/42
No Opt. Call
 
AA
 
$
 
4,045,078
 
 
370
 
National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011, 6.500%, 8/01/24
8/21 at 100.00
 
A
   
468,213
 
 
140
 
Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40
9/21 at 100.00
 
BBB+
   
169,757
 
 
5,910
 
Palmdale Elementary School District, Los Angeles County, California, Special Tax Bonds, Community Facilities District 90-1, Series 1999, 5.800%, 8/01/29
No Opt. Call
 
AA
   
5,934,999
 
 
160
 
Patterson Public Finance Authority, California, Revenue Bonds, Community Facilities District 2001-1, Subordinate Lien Series 2013B, 5.875%, 9/01/39
9/23 at 100.00
 
N/R
   
177,082
 
     
Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A:
             
 
950
 
5.250%, 9/01/30
9/23 at 100.00
 
N/R
   
1,053,170
 
 
860
 
5.750%, 9/01/39
9/23 at 100.00
 
N/R
   
958,126
 
 
440
 
Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30
9/21 at 100.00
 
BBB+
   
505,718
 
 
80
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Jurupa Valley Project Area, Series 2011B, 6.500%, 10/01/25
10/21 at 100.00
 
A
   
99,845
 
 
2,000
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Fiddyment Ranch, Series 2005, 5.050%, 9/01/30
9/16 at 100.00
 
N/R
   
2,017,660
 
 
50
 
San Clemente, California, Special Tax Revenue Bonds, Community Facilities District 2006-1 Marblehead Coastal, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
56,814
 
 
1,000
 
San Diego County Regional Transportation Commission, California, Sales Tax Revenue Bonds, Refunding Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
AAA
   
1,144,620
 
 
170
 
San Francisco City and County Redevelopment Agency Successor Agency, California, Special Tax Bonds, Community Facilities District 7, Hunters Point Shipyard Phase One Improvements, Refunding Series 2014, 5.000%, 8/01/39
No Opt. Call
 
N/R
   
185,788
 
 
65
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41
2/21 at 100.00
 
A–
   
78,547
 
     
San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D:
             
 
65
 
7.000%, 8/01/33
2/21 at 100.00
 
BBB+
   
78,518
 
 
80
 
7.000%, 8/01/41
2/21 at 100.00
 
BBB+
   
96,638
 
 
2,750
 
San Jose Financing Authority, California, Lease Revenue Refunding Bonds, Convention Center Project, Series 2001F, 5.000%, 9/01/20 – NPFG Insured
3/16 at 100.00
 
AA
   
2,761,578
 
 
780
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Refunding Series 2006D, 5.000%, 8/01/23 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
822,198
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2006C:
             
 
400
 
5.000%, 8/01/24 – NPFG Insured
8/17 at 100.00
 
AA–
   
424,808
 
 
590
 
5.000%, 8/01/25 – NPFG Insured
8/17 at 100.00
 
AA–
   
626,073
 
 
110
 
Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26
4/21 at 100.00
 
N/R
   
131,263
 
 
1,330
 
Tehachapi Redevelopment Agency, California, Tax Allocation Bonds, Series 2007, 5.250%, 12/01/37 – RAAI Insured
12/17 at 100.00
 
AA
   
1,371,057
 
 
1,000
 
Virgin Islands Public Finance Authority, Matching Fund Loan Notes Revenue Bonds, Series 2012A, 5.000%, 10/01/32 – AGM Insured
10/22 at 100.00
 
AA
   
1,104,140
 
 
590
 
Vista Joint Powers Financing Authority, California, Special Tax Lease Revenue Refunding Bonds, Community Facilities District 90-2, Series 1997A, 5.875%, 9/01/20
3/16 at 100.00
 
N/R
   
591,422
 
 
1,730
 
West Contra Costa Healthcare District, California, Certificates of Participation, Series 2004, 5.375%, 7/01/21 – AMBAC Insured
5/16 at 100.00
 
N/R
   
1,736,557
 

Nuveen Investments
 
27


NCA
Nuveen California Municipal Value Fund, Inc.
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
190
 
Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A, 6.500%, 9/01/32
9/21 at 100.00
 
A–
 
$
 
231,374
 
 
56,515
 
Total Tax Obligation/Limited
         
61,450,944
 
     
Transportation – 9.0% (9.1% of Total Investments)
             
 
1,820
 
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Junior Lien Series 2013C, 6.500%, 1/15/43
1/24 at 100.00
 
BB+
   
2,171,569
 
     
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A:
             
 
1,945
 
5.000%, 1/15/42 – AGM Insured
1/24 at 100.00
 
AA
   
2,155,585
 
 
4,010
 
5.750%, 1/15/46
1/24 at 100.00
 
BBB–
   
4,695,590
 
 
4,010
 
6.000%, 1/15/53
1/24 at 100.00
 
BBB–
   
4,719,008
 
 
5,665
 
Los Angeles Department of Airports, California, Revenue Bonds, Los Angeles International Airport, Senior Lien Series 2015D, 5.000%, 5/15/41 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
6,448,413
 
 
3,000
 
Los Angeles Harbors Department, California, Revenue Bonds, Series 2014C, 5.000%, 8/01/44
8/24 at 100.00
 
AA
   
3,460,440
 
 
185
 
Palm Springs Financing Authority, California, Palm Springs International Airport Revenue Bonds, Series 2006, 5.550%, 7/01/28 (Alternative Minimum Tax)
7/16 at 100.00
 
N/R
   
185,801
 
 
1,210
 
Port of Oakland, California, Revenue Bonds, Refunding Series 2012P, 5.000%, 5/01/29 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
1,395,203
 
 
21,845
 
Total Transportation
         
25,231,609
 
     
U.S. Guaranteed – 19.0% (19.2% of Total Investments) (4)
             
 
2,500
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2006F, 5.000%, 4/01/31 (Pre-refunded 4/01/16) (UB)
4/16 at 100.00
 
AA (4)
   
2,510,900
 
 
1,600
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/27 (Pre-refunded 2/01/17)
2/17 at 100.00
 
N/R (4)
   
1,671,152
 
 
1,000
 
California Statewide Communities Development Authority, Revenue Bonds, ValleyCare Health System, Series 2007A, 5.125%, 7/15/31 (Pre-refunded 7/15/17)
7/17 at 100.00
 
AA+ (4)
   
1,064,470
 
 
1,500
 
Castaic Lake Water Agency, California, Certificates of Participation, Series 2006C, 5.000%, 8/01/36 (Pre-refunded 8/01/16) – NPFG Insured
8/16 at 100.00
 
AA– (4)
   
1,530,480
 
 
2,005
 
Contra Costa County, California, GNMA Mortgage-Backed Securities Program Home Mortgage Revenue Bonds, Series 1988, 8.250%, 6/01/21 (Alternative Minimum Tax) (ETM)
No Opt. Call
 
Aaa
   
2,384,025
 
 
410
 
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 (Pre-refunded 4/01/16) – NPFG Insured
4/16 at 100.00
 
AA (4)
   
411,784
 
 
1,525
 
Loma Linda, California, Hospital Revenue Bonds, Loma Linda University Medical Center, Series 2008A, 8.250%, 12/01/38 (Pre-refunded 12/01/17)
12/17 at 100.00
 
BB+ (4)
   
1,729,838
 
 
1,500
 
Los Angeles Unified School District, California, General Obligation Bonds, Election of 2004, Series 2006F, 5.000%, 7/01/24
(Pre-refunded 7/01/16) – FGIC Insured
7/16 at 100.00
 
Aa2 (4)
   
1,524,615
 
 
18,475
 
Merced Irrigation District, California, Certificates of Participation, Water and Hydroelectric Series 2008B, 0.000%, 9/01/23 (Pre-refunded 9/01/16)
9/16 at 64.56
 
A (4)
   
11,901,594
 
 
5,710
 
Oceanside Unified School District, San Diego County, California, General Obligation Bonds, Election 2008 Series 2010B, 0.000%, 8/01/49 (Pre-refunded 8/01/20) – AGM Insured
8/20 at 13.60
 
AA (4)
   
736,990
 
 
8,565
 
Palmdale, California, GNMA Mortgage-Backed Securities Program Single Family Mortgage Revenue Bonds, Series 1988A, 0.000%, 3/01/17 (ETM)
No Opt. Call
 
AA+ (4)
   
8,524,316
 
 
1,130
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Refunding Series 2008A, 6.500%, 9/01/28 (Pre-refunded 9/01/18)
9/18 at 100.00
 
BBB– (4)
   
1,292,539
 
 
14,950
 
San Bernardino County, California, GNMA Mortgage-Backed Securities Program Single Family Home Mortgage Revenue Bonds, Series 1988A, 0.000%, 9/01/21 (Alternative Minimum Tax) (ETM)
No Opt. Call
 
Aaa
   
11,100,524
 
 
625
 
San Mateo Union High School District, San Mateo County, California, Certificates of Participation, Phase 1, Series 2007A, 5.000%, 12/15/30 (Pre-refunded 12/15/17) – AMBAC Insured
12/17 at 100.00
 
N/R (4)
   
674,569
 
 
3,000
 
Santa Clara County Financing Authority, California, Insured Revenue Bonds, El Camino Hospital, Series 2007A, 5.750%, 2/01/41
(Pre-refunded 8/01/17) – AMBAC Insured
8/17 at 100.00
 
A+ (4)
   
3,223,800
 

28
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (4) (continued)
             
$
910
 
Santa Clara Valley Transportation Authority, California, Sales Tax Revenue Bonds, Series 2007A, 5.000%, 4/01/36 (Pre-refunded 4/01/17) – AMBAC Insured
4/17 at 100.00
 
AA+ (4)
 
$
 
955,946
 
 
1,925
 
Travis Unified School District, Solano County, California, Certificates of Participation, Series 2006, 5.000%, 9/01/26 (Pre-refunded 9/01/16) – FGIC Insured
9/16 at 100.00
 
A3 (4)
   
1,971,277
 
 
67,330
 
Total U.S. Guaranteed
         
53,208,819
 
     
Utilities – 1.5% (1.5% of Total Investments)
             
 
2,000
 
California Statewide Communities Development Authority, Certificates of Participation, Rio Bravo Fresno Project, Refunding Series 1999A, 6.500%, 12/01/18
6/16 at 100.00
 
N/R
   
2,000,180
 
 
1,800
 
Long Beach Bond Finance Authority, California, Natural Gas Purchase Revenue Bonds, Series 2007A, 5.500%, 11/15/37
No Opt. Call
 
A
   
2,264,940
 
 
3,800
 
Total Utilities
         
4,265,120
 
     
Water and Sewer – 5.3% (5.4% of Total Investments)
             
     
California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, Poseidon
             
     
Resources Channelside LP Desalination Project, Series 2012:
             
 
1,375
 
5.000%, 7/01/37 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
1,507,660
 
 
2,675
 
5.000%, 11/21/45 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
2,922,036
 
 
5,000
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2007A-2, 5.000%, 7/01/44 – AMBAC Insured
7/17 at 100.00
 
AA
   
5,273,200
 
     
Madera Irrigation District. California, Water Revenue Refunding Bonds, Series 2008:
             
 
1,850
 
5.500%, 1/01/33
1/18 at 100.00
 
A
   
1,996,335
 
 
3,000
 
5.500%, 1/01/38
1/18 at 100.00
 
A
   
3,215,070
 
 
13,900
 
Total Water and Sewer
         
14,914,301
 
$
290,970
 
Total Long-Tem Investments (cost $245,270,711)
         
276,770,929
 
     
Floating Rate Obligations – (1.6)%
         
(4,490,000
)
     
Other Assets Less Liabilities – 2.7%
         
7,599,563
 
     
Net Assets Applicable to Common Shares – 100%
     
$
 
279,880,492
 

(1)
All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions (not covered by the report of independent registered public accounting firm): 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 (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investors Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(ETM)
Escrowed to maturity.
(UB)
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.
 See accompanying notes to financial statements.

Nuveen Investments
 
29


NCB
   
 
Nuveen California Municipal Value Fund 2
 
 
Portfolio of Investments
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
LONG-TERM INVESTMENTS – 94.8% (100.0% of Total Investments)
             
     
MUNICIPAL BONDS – 94.8% (100.0% of Total Investments)
             
     
Consumer Staples – 5.9% (6.2% of Total Investments)
             
$
2,000
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.000%, 6/01/33
6/17 at 100.00
 
B–
 
$
 
1,898,280
 
 
1,500
 
Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1, 5.500%, 6/01/45
5/16 at 100.00
 
B–
   
1,440,705
 
 
3,500
 
Total Consumer Staples
         
3,338,985
 
     
Education and Civic Organizations – 2.2% (2.3% of Total Investments)
             
 
865
 
California Educational Facilities Authority, Revenue Bonds, University of the Pacific, Series 2009, 5.500%, 11/01/39
11/19 at 100.00
 
A2
   
971,983
 
 
100
 
California Municipal Finance Authority, Charter School Revenue Bonds, Rocketship Education, Multiple Projects, Series 2014A, 7.250%, 6/01/43
6/22 at 102.00
 
N/R
   
116,652
 
 
150
 
California Statewide Communities Development Authority, School Facility Revenue Bonds, Alliance College-Ready Public Schools, Series 2011A, 7.000%, 7/01/46
7/21 at 100.00
 
BBB–
   
169,155
 
 
1,115
 
Total Education and Civic Organizations
         
1,257,790
 
     
Health Care – 13.4% (14.2% of Total Investments)
             
 
1,000
 
ABAG Finance Authority for Non-Profit Corporations, California, Cal-Mortgage Insured Health Facility Revenue Bonds, Saint Rose Hospital, Series 2009A, 6.000%, 5/15/29
5/19 at 100.00
 
AA–
   
1,140,200
 
 
1,900
 
California Health Facilities Financing Authority, Revenue Bonds, Catholic Healthcare West, Series 2009A, 6.000%, 7/01/39
7/19 at 100.00
 
A
   
2,175,386
 
 
1,000
 
California Health Facilities Financing Authority, Revenue Bonds, Children's Hospital of Orange County, Series 2009A, 6.500%, 11/01/38
11/19 at 100.00
 
A
   
1,180,130
 
 
70
 
California Health Facilities Financing Authority, Revenue Bonds, Lucile Salter Packard Children's Hospital, Series 2014A, 5.000%, 8/15/43
8/24 at 100.00
 
AA
   
80,280
 
 
75
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014A, 5.000%, 10/01/38
10/24 at 100.00
 
AA
   
87,082
 
 
150
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44
10/24 at 100.00
 
AA
   
171,708
 
 
500
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/27
2/17 at 100.00
 
A–
   
516,825
 
 
685
 
California Statewide Communities Development Authority, Revenue Bonds, Adventist Health System West, Series 2007B, 5.000%, 3/01/37 – AGC Insured
3/18 at 100.00
 
AA
   
725,477
 
 
250
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.625%, 11/01/29
11/19 at 100.00
 
Ba1
   
279,660
 
 
725
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010, 6.000%, 11/01/41
11/20 at 100.00
 
Ba1
   
774,090
 
 
380
 
San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41
12/21 at 100.00
 
BB+
   
465,804
 
 
6,735
 
Total Health Care
         
7,596,642
 
     
Housing/Multifamily – 1.2% (1.3% of Total Investments)
             
 
225
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45
8/20 at 100.00
 
BBB
   
248,501
 
 
70
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A, 5.500%, 8/15/47
8/22 at 100.00
 
BBB
   
78,419
 
 
250
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012B, 7.250%, 8/15/47
8/22 at 100.00
 
A1
   
290,598
 

30
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Housing/Multifamily (continued)
             
     
California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A:
             
$
15
 
5.250%, 8/15/39
8/24 at 100.00
 
BBB
 
$
16,943
 
 
40
 
5.250%, 8/15/49
8/24 at 100.00
 
BBB
   
45,034
 
 
600
 
Total Housing/Multifamily
         
679,495
 
     
Housing/Single Family – 4.8% (5.0% of Total Investments)
             
 
240
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Series 2008L, 5.500%, 8/01/38
2/18 at 100.00
 
A
   
244,058
 
 
2,435
 
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006K, 4.625%, 8/01/26 (Alternative Minimum Tax)
5/16 at 100.00
 
A
   
2,452,849
 
 
2,675
 
Total Housing/Single Family
         
2,696,907
 
     
Long-Term Care – 2.1% (2.3% of Total Investments)
             
 
1,000
 
California Health Facilities Financing Authority, Insured Revenue Bonds, Community Program for Persons with Developmental Disabilities, Series 2011A, 6.250%, 2/01/26
2/21 at 100.00
 
AA–
   
1,223,080
 
     
Tax Obligation/General – 12.6% (13.3% of Total Investments)
             
 
2,000
 
California State, General Obligation Bonds, Various Purpose Series 2007, 5.000%, 6/01/37 – NPFG Insured
6/17 at 100.00
 
AA–
   
2,097,480
 
 
2,100
 
Carlsbad Unified School District, San Diego County, California, General Obligation Bonds, Series 2009B, 0.000%, 5/01/34
5/24 at 100.00
 
AA
   
2,160,312
 
 
195
 
Oceanside Unified School District, San Diego County, California, General Obligation Bonds, Election 2008 Series 2010B, 0.000%, 8/01/49 – AGM Insured
8/20 at 13.60
 
AA
   
23,289
 
 
10,000
 
San Marcos Unified School District, San Diego County, California, General Obligation Bonds, 2010 Election, Series 2012B, 0.000%, 8/01/51
No Opt. Call
 
AA–
   
2,299,300
 
 
500
 
Western Riverside Water & Wastewater Financing Authority, California, Revenue Bonds, Western Municipal Water District, Series 2009, 5.625%,
9/01/39 – AGC Insured
8/19 at 100.00
 
AA
   
564,140
 
 
14,795
 
Total Tax Obligation/General
         
7,144,521
 
     
Tax Obligation/Limited – 18.4% (19.4% of Total Investments)
             
 
1,965
 
California State Public Works Board, Lease Revenue Bonds, Department of Education Riverside Campus Project, Series 2009B, 5.750%, 4/01/23
4/19 at 100.00
 
A+
   
2,261,656
 
 
500
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2010A-1, 6.000%, 3/01/35
3/20 at 100.00
 
A+
   
590,905
 
 
160
 
Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27
4/16 at 100.00
 
A
   
160,702
 
     
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2015A:
             
 
180
 
5.000%, 6/01/40
6/25 at 100.00
 
A+
   
206,858
 
 
1,820
 
5.000%, 6/01/45
6/25 at 100.00
 
A+
   
2,086,830
 
 
145
 
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Subordinate Lien Series 2007A-1, 5.000%,
5/01/25 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
148,671
 
 
425
 
Lancaster Redevelopment Agency, California, Tax Allocation Bonds, Combined Redevelopment Project Areas Housing Programs, Series 2009, 6.875%, 8/01/39
No Opt. Call
 
BBB
   
487,496
 
 
80
 
National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011, 6.500%, 8/01/24
8/21 at 100.00
 
A
   
101,235
 
 
30
 
Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40
9/21 at 100.00
 
BBB+
   
36,376
 
 
35
 
Patterson Public Finance Authority, California, Revenue Bonds, Community Facilities District 2001-1, Subordinate Lien Series 2013B, 5.875%, 9/01/39
9/23 at 100.00
 
N/R
   
38,737
 
     
Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A:
             
 
210
 
5.250%, 9/01/30
9/23 at 100.00
 
N/R
   
232,806
 
 
190
 
5.750%, 9/01/39
9/23 at 100.00
 
N/R
   
211,679
 

Nuveen Investments
 
31


NCB
Nuveen California Municipal Value Fund 2
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
95
 
Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30
9/21 at 100.00
 
BBB+
 
$
 
109,189
 
 
15
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Jurupa Valley Project Area, Series 2011B, 6.500%, 10/01/25
10/21 at 100.00
 
A
   
18,721
 
 
20
 
San Clemente, California, Special Tax Revenue Bonds, Community Facilities District 2006-1 Marblehead Coastal, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
22,726
 
 
1,000
 
San Francisco City and County Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, San Francisco Redevelopment Projects, Series 2009B, 6.625%, 8/01/39
8/19 at 100.00
 
AA–
   
1,145,980
 
 
1,500
 
San Francisco City and County, California, Certificates of Participation, Multiple Capital Improvement Projects, Series 2009A, 5.250%, 4/01/31
4/19 at 100.00
 
AA
   
1,683,780
 
 
15
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41
2/21 at 100.00
 
A–
   
18,126
 
     
San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D:
             
 
15
 
7.000%, 8/01/33
2/21 at 100.00
 
BBB+
   
18,120
 
 
15
 
7.000%, 8/01/41
2/21 at 100.00
 
BBB+
   
18,120
 
 
585
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Refunding Series 2006D, 5.000%, 8/01/22 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
617,503
 
 
125
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2006C, 5.000%, 8/01/25 – NPFG Insured
8/17 at 100.00
 
AA–
   
132,642
 
 
25
 
Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26
4/21 at 100.00
 
N/R
   
29,833
 
 
40
 
Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A, 6.000%, 9/01/26
9/21 at 100.00
 
A–
   
48,893
 
 
9,190
 
Total Tax Obligation/Limited
         
10,427,584
 
     
Transportation – 5.0% (5.3% of Total Investments)
             
 
395
 
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Junior Lien Series 2013C, 6.500%, 1/15/43
1/24 at 100.00
 
BB+
   
471,302
 
     
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A:
             
 
865
 
5.750%, 1/15/46
1/24 at 100.00
 
BBB–
   
1,012,889
 
 
865
 
6.000%, 1/15/53
1/24 at 100.00
 
BBB–
   
1,017,941
 
 
305
 
Port of Oakland, California, Revenue Bonds, Refunding Series 2012P, 5.000%, 5/01/31 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
347,602
 
 
2,430
 
Total Transportation
         
2,849,734
 
     
U.S. Guaranteed – 13.0% (13.7% of Total Investments) (4)
             
     
California Educational Facilities Authority, Revenue Bonds, University of the Pacific, Series 2009:
             
 
55
 
5.500%, 11/01/39 (Pre-refunded 11/01/19)
11/19 at 100.00
 
N/R (4)
   
64,339
 
 
80
 
5.500%, 11/01/39 (Pre-refunded 11/01/19)
11/19 at 100.00
 
A2 (4)
   
93,647
 
 
350
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/27 (Pre-refunded 2/01/17)
2/17 at 100.00
 
N/R (4)
   
365,565
 
 
575
 
Lancaster Redevelopment Agency, California, Tax Allocation Bonds, Combined Redevelopment Project Areas Housing Programs, Series 2009, 6.875%, 8/01/39 (Pre-refunded 8/01/19)
8/19 at 100.00
 
N/R (4)
   
692,501
 
 
1,120
 
Oakland, California, General Obligation Bonds, Measure DD Series 2009B, 5.250%, 1/15/29 (Pre-refunded 1/15/19)
1/19 at 100.00
 
Aa2 (4)
   
1,263,987
 
 
3,805
 
Oceanside Unified School District, San Diego County, California, General Obligation Bonds, Election 2008 Series 2010B, 0.000%, 8/01/49 (Pre-refunded 8/01/20) – AGM Insured
8/20 at 13.60
 
AA (4)
   
491,111
 
 
2,000
 
Orange County Sanitation District, California, Certificates of Participation, Tender Option Bond Trust 3020, 18.111%, 2/01/35 (Pre-refunded 2/01/19) (IF) (5)
2/19 at 100.00
 
AAA
   
2,890,000
 
 
240
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Refunding Series 2008A, 6.500%, 9/01/28 (Pre-refunded 9/01/18)
9/18 at 100.00
 
BBB– (4)
   
274,522
 

32
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (4) (continued)
             
$
1,200
 
Westlake Village, California, Certificates of Participation, Financing Project, Series 2009, 5.000%, 6/01/39 (Pre-refunded 6/01/16)
6/16 at 100.00
 
AA+ (4)
 
$
 
1,214,904
 
 
9,425
 
Total U.S. Guaranteed
         
7,350,576
 
     
Utilities – 14.1% (14.8% of Total Investments)
             
 
1,000
 
M-S-R Energy Authority, California, Gas Revenue Bonds, Citigroup Prepay Contracts, Series 2009C, 6.500%, 11/01/39
No Opt. Call
 
A
   
1,399,410
 
 
2,495
 
Roseville Natural Gas Financing Authority, California, Gas Revenue Bonds, Series 2007, 5.000%, 2/15/17
No Opt. Call
 
A
   
2,578,982
 
 
2,400
 
Southern California Public Power Authority, Natural Gas Project 1 Revenue Bonds, Series 2007A, 5.250%, 11/01/24
No Opt. Call
 
A
   
2,864,136
 
 
1,000
 
Tuolumne Wind Project Authority, California, Revenue Bonds, Tuolumne Company Project, Series 2009A, 5.625%, 1/01/29
1/19 at 100.00
 
AA–
   
1,130,020
 
 
6,895
 
Total Utilities
         
7,972,548
 
     
Water and Sewer – 2.1% (2.2% of Total Investments)
             
 
1,075
 
California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, Poseidon Resources Channelside LP Desalination Project, Series 2012, 5.000%, 11/21/45 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
1,174,276
 
$
59,435
 
Total Long-Term Investments (cost $45,099,563)
         
53,712,138
 
     
Other Assets Less Liabilities – 5.2%
         
2,961,340
 
     
Net Assets Applicable to Common Shares – 100%
     
$
 
56,673,478
 

(1)
All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions (not covered by the report of independent registered public accounting firm): 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 (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investors Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(5)
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(IF)
Inverse floating rate investment.
 See accompanying notes to financial statements.

Nuveen Investments
 
33


NKX
   
 
Nuveen California AMT-Free Municipal Income Fund
 
 
Portfolio of Investments
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
LONG-TERM INVESTMENTS – 140.0% (100.0% of Total Investments)
             
     
MUNICIPAL BONDS – 140.0% (100.0% of Total Investments)
             
     
Consumer Staples – 7.6% (5.4% of Total Investments)
             
$
995
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Alameda County Tobacco Asset Securitization Corporation, Series 2002, 5.750%, 6/01/29
5/16 at 100.00
 
Baa1
 
$
 
1,004,940
 
     
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A:
             
 
6,350
 
5.600%, 6/01/36
12/18 at 100.00
 
B
   
6,367,018
 
 
325
 
5.650%, 6/01/41
12/18 at 100.00
 
B2
   
325,377
 
 
2,780
 
5.700%, 6/01/46
12/18 at 100.00
 
B2
   
2,782,669
 
 
95
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005, 4.250%, 6/01/21
5/16 at 100.00
 
BBB+
   
95,013
 
 
2,100
 
California Statewide Financing Authority, Tobacco Settlement Asset-Backed Bonds, Pooled Tobacco Securitization Program, Series 2002A, 5.625%, 5/01/29
5/16 at 100.00
 
BBB+
   
2,135,196
 
     
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
             
 
8,570
 
5.000%, 6/01/33
6/17 at 100.00
 
B–
   
8,134,130
 
 
1,950
 
5.750%, 6/01/47
6/17 at 100.00
 
B–
   
1,885,358
 
 
13,560
 
5.125%, 6/01/47
6/17 at 100.00
 
B–
   
12,173,219
 
 
14,820
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-2, 5.300%, 6/01/37
6/22 at 100.00
 
B–
   
13,989,043
 
     
Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1:
             
 
8,450
 
5.375%, 6/01/38
5/16 at 100.00
 
B–
   
8,064,342
 
 
2,000
 
5.500%, 6/01/45
5/16 at 100.00
 
B–
   
1,920,940
 
 
61,995
 
Total Consumer Staples
         
58,877,245
 
     
Education and Civic Organizations – 2.2% (1.6% of Total Investments)
             
 
1,050
 
ABAG Finance Authority for Non-Profit Corporations, California, Revenue Bonds, The Jackson Laboratory, Series 2012, 5.000%, 7/01/37
7/22 at 100.00
 
A1
   
1,178,741
 
 
3,000
 
California Educational Facilities Authority, Revenue Bonds, Pepperdine University, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
AA
   
3,544,740
 
 
35
 
California Educational Facilities Authority, Revenue Bonds, University of Redlands, Series 2005A, 5.000%, 10/01/35
5/16 at 100.00
 
A3
   
35,116
 
 
4,475
 
California Municipal Finance Authority Charter School Revenue Bonds, Albert Einstein Academies Project, Series 2013A, 7.125%, 8/01/43
8/23 at 100.00
 
BB
   
5,275,533
 
 
1,780
 
California Municipal Finance Authority, Charter School Revenue Bonds, Rocketship Education, Multiple Projects, Series 2014A, 7.250%, 6/01/43
6/22 at 102.00
 
N/R
   
2,076,406
 
 
1,600
 
California Municipal Finance Authority, Revenue Bonds, Goodwill Industries of Sacramento Valley & Northern Nevada Project, Series 2012A, 6.875%, 1/01/42
1/22 at 100.00
 
N/R
   
1,791,360
 
 
2,000
 
California State University, Systemwide Revenue Bonds, Series 2015A, 5.000%, 11/01/38
11/25 at 100.00
 
Aa2
   
2,372,340
 
 
300
 
California Statewide Communities Development Authority, School Facility Revenue Bonds, Alliance College-Ready Public Schools, Series 2011A, 7.000%, 7/01/46
7/21 at 100.00
 
BBB–
   
338,310
 
 
185
 
California Statewide Communities Development Authority, Charter School Revenue Bonds, Rocketship 4 – Mosaic Elementary Charter School, Series 2011A, 8.500%, 12/01/41
12/21 at 100.00
 
N/R
   
223,491
 
 
14,425
 
Total Education and Civic Organizations
         
16,836,037
 
     
Health Care – 15.5% (11.1% of Total Investments)
             
 
3,830
 
Antelope Valley Healthcare District, California, Revenue Bonds, Series 2011A, 6.875%, 3/01/26
No Opt. Call
 
Ba3
   
4,243,563
 
 
430
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Refunding Series 2015A, 5.000%, 8/15/43
8/25 at 100.00
 
AA–
   
498,073
 

34
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
$
5,000
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Series 2016A, 5.000%, 11/15/41
11/25 at 100.00
 
AA–
 
$
5,823,100
 
 
1,630
 
California Health Facilities Financing Authority, Revenue Bonds, Children's Hospital Los Angeles, Series 2010A, 5.250%, 7/01/38 – AGC Insured
7/20 at 100.00
 
AA
   
1,821,721
 
 
1,255
 
California Health Facilities Financing Authority, Revenue Bonds, Children's Hospital Los Angeles, Series 2012A, 5.000%, 11/15/29
No Opt. Call
 
BBB+
   
1,406,089
 
 
1,000
 
California Health Facilities Financing Authority, Revenue Bonds, City of Hope National Medical Center, Series 2012A, 5.000%, 11/15/35
No Opt. Call
 
AA–
   
1,132,730
 
 
2,520
 
California Health Facilities Financing Authority, Revenue Bonds, Lucile Salter Packard Children's Hospital, Series 2014A, 5.000%, 8/15/43
8/24 at 100.00
 
AA
   
2,890,062
 
 
2,000
 
California Health Facilities Financing Authority, Revenue Bonds, Memorial Health Services, Series 2012A, 5.000%, 10/01/33
No Opt. Call
 
AA–
   
2,308,540
 
 
1,405
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014A, 5.000%, 10/01/38
10/24 at 100.00
 
AA
   
1,631,346
 
 
2,800
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44
10/24 at 100.00
 
AA
   
3,205,216
 
 
335
 
California Health Facilities Financing Authority, Revenue Bonds, Rady Children's Hospital – San Diego, Series 2011, 5.250%, 8/15/41
8/21 at 100.00
 
AA–
   
376,383
 
 
10,265
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2007A, 5.250%, 11/15/46
11/16 at 100.00
 
AA–
   
10,575,516
 
 
750
 
California Municipal Finance Authority, Revenue Bonds, Eisenhower Medical Center, Series 2010A, 5.750%, 7/01/40
7/20 at 100.00
 
Baa2
   
826,388
 
 
605
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/46
No Opt. Call
 
A–
   
617,191
 
 
1,200
 
California Statewide Communities Development Authority, California, Revenue Bonds, Loma Linda University Medical Center, Series 2014A, 5.250%, 12/01/44
12/24 at 100.00
 
BB+
   
1,299,204
 
 
4,920
 
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health System, Trust 2554, 18.712%, 7/01/47 – AGM Insured (IF)
7/18 at 100.00
 
AA
   
6,257,407
 
 
4,000
 
California Statewide Community Development Authority, Health Facility Revenue Bonds, Catholic Healthcare West, Insured Series 2008K, 5.500%,
7/01/41 – AGC Insured
7/17 at 100.00
 
AA
   
4,202,440
 
     
California Statewide Community Development Authority, Revenue Bonds, Children's Hospital of Los Angeles, Series 2007:
             
 
2,995
 
5.000%, 8/15/39 – NPFG Insured
8/17 at 100.00
 
AA–
   
3,119,742
 
 
6,500
 
5.000%, 8/15/47
8/17 at 100.00
 
BBB+
   
6,728,865
 
     
California Statewide Community Development Authority, Revenue Bonds, Daughters of Charity Health System, Series 2005A:
             
 
835
 
5.500%, 7/01/24 (4)
5/16 at 100.00
 
CCC
   
836,077
 
 
4,240
 
5.500%, 7/01/30 (4)
5/16 at 100.00
 
CCC
   
4,239,703
 
 
730
 
California Statewide Community Development Authority, Revenue Bonds, Kaiser Permanente System, Series 2001C, 5.250%, 8/01/31
8/16 at 100.00
 
A+
   
742,191
 
 
6,160
 
California Statewide Community Development Authority, Revenue Bonds, Sherman Oaks Health System, Series 1998A, 5.000%, 8/01/22 – AMBAC Insured
No Opt. Call
 
AA–
   
7,105,190
 
 
7,555
 
California Statewide Community Development Authority, Revenue Bonds, St. Joseph Health System, Series 2007A, 5.750%, 7/01/47 – FGIC Insured
7/18 at 100.00
 
AA–
   
8,353,715
 
 
10,000
 
California Statewide Community Development Authority, Revenue Bonds, Sutter Health, Series 2003A, 5.000%, 8/15/38 – AMBAC Insured
8/17 at 100.00
 
AA–
   
10,554,700
 
 
2,600
 
Marysville, California, Revenue Bonds, The Fremont-Rideout Health Group, Series 2011, 5.250%, 1/01/42
1/21 at 100.00
 
BBB
   
2,872,038
 
     
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009:
             
 
9,250
 
6.625%, 11/01/29
11/19 at 100.00
 
Ba1
   
10,347,420
 
 
7,500
 
6.750%, 11/01/39
11/19 at 100.00
 
Ba1
   
8,408,250
 

Nuveen Investments
 
35


NKX
Nuveen California AMT-Free Municipal Income Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
     
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010:
             
$
1,500
 
6.000%, 11/01/30
11/20 at 100.00
 
Ba1
 
$
1,618,635
 
 
2,595
 
6.000%, 11/01/41
11/20 at 100.00
 
Ba1
   
2,770,707
 
 
1,000
 
Rancho Mirage Joint Powers Financing Authority, California, Revenue Bonds, Eisenhower Medical Center, Refunding Series 2007A, 5.000%, 7/01/38
7/17 at 100.00
 
Baa2
   
1,031,680
 
 
850
 
San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41
12/21 at 100.00
 
BB+
   
1,041,930
 
 
1,000
 
The Regents of the University of California, Medical Center Pooled Revenue Bonds, Series 2009E, 5.000%, 5/15/38
5/17 at 101.00
 
AA–
   
1,045,080
 
 
109,255
 
Total Health Care
         
119,930,892
 
     
Housing/Multifamily – 2.5% (1.8% of Total Investments)
             
 
480
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45
8/20 at 100.00
 
BBB
   
530,136
 
 
155
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A, 5.500%, 8/15/47
8/22 at 100.00
 
BBB
   
173,642
 
 
350
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012B, 7.250%, 8/15/47
8/22 at 100.00
 
A1
   
406,837
 
     
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Windsor Mobile Country Club Series 2013A:
             
 
2,000
 
5.625%, 11/15/33
11/23 at 100.00
 
BBB
   
2,251,820
 
 
8,000
 
6.000%, 11/15/48
11/23 at 100.00
 
BBB
   
9,145,680
 
     
California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A:
             
 
260
 
5.250%, 8/15/39
8/24 at 100.00
 
BBB
   
293,678
 
 
705
 
5.250%, 8/15/49
8/24 at 100.00
 
BBB
   
793,731
 
 
3,285
 
Independent Cities Finance Authority, California, Mobile Home Park Revenue Bonds, Rancho Vallecitos Mobile Home Park, Series 2013, 5.000%, 4/15/38
4/23 at 100.00
 
A–
   
3,552,432
 
     
La Verne, California, Mobile Home Park Revenue Bonds, Copacabana Mobile Home Park, Refunding Series 2014:
             
 
670
 
5.000%, 6/15/44
6/24 at 100.00
 
A
   
743,814
 
 
185
 
5.000%, 6/15/49
6/24 at 100.00
 
A
   
204,259
 
 
1,060
 
Poway, California, Housing Revenue Bonds, Revenue Bonds, Poinsettia Mobile Home Park, Series 2003, 5.000%, 5/01/23
5/16 at 100.00
 
AA–
   
1,062,883
 
 
17,150
 
Total Housing/Multifamily
         
19,158,912
 
     
Housing/Single Family – 0.1% (0.0% of Total Investments)
             
 
400
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Series 2008L, 5.500%, 8/01/38
2/18 at 100.00
 
A
   
406,764
 
     
Long-Term Care – 1.2% (0.9% of Total Investments)
             
 
3,000
 
ABAG Finance Authority for Non-Profit Corporations, California, Cal-Mortgage Insured Revenue Bonds, Channing House, Series 2010, 6.125%, 5/15/40
5/20 at 100.00
 
AA–
   
3,490,680
 
 
2,250
 
California Health Facilities Financing Authority, Insured Revenue Bonds, Community Program for Persons with Developmental Disabilities, Series 2011A, 6.250%, 2/01/26
2/21 at 100.00
 
AA–
   
2,751,930
 
 
1,300
 
California Health Facilities Financing Authority, Revenue Bonds, Northern California Presbyterian Homes & Services Inc., Refunding Series 2015, 5.000%, 7/01/39
7/25 at 100.00
 
AA–
   
1,499,472
 
 
1,500
 
California Statewide Communities Development Authority, Revenue Bonds, Front Porch Communities and Services Project, Series 2007A, 5.125%, 4/01/37
4/17 at 100.00
 
BBB+
   
1,535,730
 
 
8,050
 
Total Long-Term Care
         
9,277,812
 
     
Tax Obligation/General – 33.2% (23.7% of Total Investments)
             
 
3,000
 
Alhambra Unified School District, Los Angeles County, California, General Obligation Bonds, Refunding Series 2012A, 5.000%, 8/01/29 – AGM Insured
8/22 at 100.00
 
Aa3
   
3,650,310
 
 
1,000
 
California State, General Obligation Bonds, Refunding Series 2011, 5.250%, 9/01/25
9/21 at 100.00
 
AA–
   
1,203,320
 

36
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
$
4,910
 
California State, General Obligation Bonds, Various Purpose Refunding Series 2014, 5.000%, 10/01/32
10/24 at 100.00
 
AA–
 
$
5,891,214
 
     
California State, General Obligation Bonds, Various Purpose Refunding Series 2015:
             
 
2,140
 
5.000%, 8/01/28
8/25 at 100.00
 
AA–
   
2,653,365
 
 
9,055
 
5.000%, 8/01/31
2/25 at 100.00
 
AA–
   
10,895,338
 
 
1,600
 
5.000%, 9/01/32
9/25 at 100.00
 
AA–
   
1,930,544
 
     
California State, General Obligation Bonds, Various Purpose Series 2009:
             
 
2,350
 
6.000%, 11/01/39
11/19 at 100.00
 
AA–
   
2,762,355
 
 
1,300
 
5.500%, 11/01/39
11/19 at 100.00
 
AA–
   
1,491,620
 
 
6,000
 
California State, General Obligation Bonds, Various Purpose Series 2010, 6.000%, 3/01/33
3/20 at 100.00
 
AA–
   
7,125,600
 
      California State, General Obligation Bonds, Various Purpose Series 2011:              
 
2,000
 
5.000%, 9/01/31
No Opt. Call
 
AA–
   
2,347,780
 
 
4,090
 
5.000%, 9/01/41
9/21 at 100.00
 
AA–
   
4,712,825
 
 
2,625
 
5.000%, 10/01/41
10/21 at 100.00
 
AA–
   
3,030,405
 
     
California State, General Obligation Bonds, Various Purpose Series 2013:
             
 
3,500
 
5.000%, 4/01/37
4/23 at 100.00
 
AA–
   
4,084,920
 
 
2,000
 
5.000%, 2/01/43
No Opt. Call
 
AA–
   
2,300,880
 
 
5,520
 
5.000%, 11/01/43
11/23 at 100.00
 
AA–
   
6,431,738
 
     
California State, General Obligation Bonds, Various Purpose Series 2014:
             
 
2,460
 
5.000%, 10/01/39
10/24 at 100.00
 
AA–
   
2,889,024
 
 
9,000
 
5.000%, 12/01/43
12/23 at 100.00
 
AA–
   
10,501,020
 
 
9,000
 
5.000%, 10/01/44
10/24 at 100.00
 
AA–
   
10,494,540
 
     
California State, General Obligation Bonds, Various Purpose Series 2015:
             
 
8,000
 
5.000%, 3/01/45
3/25 at 100.00
 
AA–
   
9,330,000
 
 
2,000
 
5.000%, 8/01/45
8/25 at 100.00
 
AA–
   
2,345,860
 
 
20,750
 
Coachella Valley Unified School District, Riverside County, California, General Obligation Bonds, Election 2005 Series 2010C, 0.000%, 8/01/43 – AGM Insured
No Opt. Call
 
AA
   
6,874,475
 
 
2,500
 
Corona-Norco Unified School District, Riverside County, California, General Obligation Bonds, Election 2006 Series 2009B, 5.375%, 2/01/34 – AGC Insured
8/18 at 100.00
 
AA
   
2,758,400
 
     
East Side Union High School District, Santa Clara County, California, General Obligation Bonds, 2008 Election Series 2010B:
             
 
3,490
 
5.000%, 8/01/27 – AGC Insured
8/19 at 100.00
 
AA
   
3,927,297
 
 
3,545
 
5.000%, 8/01/28 – AGC Insured
8/19 at 100.00
 
AA
   
3,979,014
 
 
3,110
 
5.000%, 8/01/29 – AGC Insured
8/19 at 100.00
 
AA
   
3,481,894
 
 
7,100
 
Fontana Unified School District, San Bernardino County, California, General Obligation Bonds, Tender Option Bond Trust 2015-XF0111, 9.789%,
8/01/17 – AGM Insured (IF)
No Opt. Call
 
AA
   
8,547,832
 
 
8,295
 
Los Angeles Community College District, California, General Obligation Bonds, Series 2015A, 5.000%, 8/01/30
8/24 at 100.00
 
AA+
   
10,150,094
 
 
5,000
 
Los Angeles Unified School District, Los Angeles County, California, General Obligation Bonds, Refunding Series 2014C, 5.000%, 7/01/29
No Opt. Call
 
Aa2
   
6,099,500
 
 
4,500
 
Mount Diablo Unified School District, Contra Costa County, California, General Obligation Bonds, Series 2010A, 0.000%, 8/01/30 – AGM Insured
8/25 at 100.00
 
AA
   
4,002,660
 
 
3,000
 
Murrieta Valley Unified School District, Riverside County, California, General Obligation Bonds, Series 2007, 4.500%, 9/01/30 – AGM Insured
9/17 at 100.00
 
AA
   
3,142,350
 
 
10,080
 
New Haven Unified School District, Alameda County, California, General Obligation Bonds, Series 2004A, 0.000%, 8/01/26 – NPFG Insured
No Opt. Call
 
AA–
   
5,877,144
 
 
1,125
 
San Diego Unified School District, San Diego County, California, General Obligation Bonds, Election of 1998, Series 1999A, 0.000%, 7/01/21 – FGIC Insured
No Opt. Call
 
Aa2
   
1,035,698
 
 
11,980
 
San Diego Unified School District, San Diego County, California, General Obligation Bonds, Refunding Series 2012R-1, 0.000%, 7/01/31
No Opt. Call
 
Aa2
   
7,180,572
 
 
1,500
 
San Juan Capistano, California, General Obligation Bonds, Open Space Program, Tender Option Bond Trust 2015-XF0048, 17.948%, 8/01/17 (IF)
No Opt. Call
 
AAA
   
2,254,680
 

Nuveen Investments
 
37


NKX
Nuveen California AMT-Free Municipal Income Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
$
2,870
 
Sanger Unified School District, Fresno County, California, General Obligation Bonds, Election 2012, Series 2014B, 5.000%, 8/01/39 – AGM Insured
8/24 at 100.00
 
AA
 
$
3,275,990
 
 
10,000
 
Southwestern Community College District, San Diego County, California, General Obligation Bonds, Election of 2008, Series 2011C, 0.000%, 8/01/41
No Opt. Call
 
Aa2
   
3,687,100
 
     
Stockton Unified School District, San Joaquin County, California, General Obligation Bonds, Election 2008 Series 2011D:
             
 
23,280
 
7.400%, 8/01/47 – AGC Insured
8/37 at 100.00
 
AA
   
19,548,913
 
 
38,845
 
0.000%, 8/01/50 – AGM Insured
8/37 at 100.00
 
AA
   
32,801,105
 
 
15,780
 
Sylvan Union School District, Stanislaus County, California, General Obligation Bonds, Election of 2006, Series 2010, 0.000%, 8/01/49 – AGM Insured
No Opt. Call
 
AA
   
10,307,969
 
 
5,000
 
Walnut Valley Unified School District, Los Angeles County, California, General Obligation Bonds, Election 2007 Measure S, Series 2014C, 5.000%, 8/01/39
8/24 at 100.00
 
Aa2
   
5,852,850
 
 
3,905
 
West Kern Community College District, California, General Obligation Bonds, Election 2004, Series 2007C, 5.000%, 10/01/32 – SYNCORA GTY Insured
11/17 at 100.00
 
A+
   
4,015,824
 
 
8,345
 
Yosemite Community College District, California, General Obligation Bonds, Capital Appreciation, Election 2004, Series 2010D, 0.000%, 8/01/42
No Opt. Call
 
Aa2
   
5,079,435
 
 
4,000
 
Yosemite Community College District, California, General Obligation Bonds, Refunding Series 2015, 5.000%, 8/01/32
No Opt. Call
 
Aa2
   
4,812,440
 
 
1,000
 
Yuba Community College District, California, General Obligation Bonds, Election 2006 Series 2011C, 5.250%, 8/01/47
8/21 at 100.00
 
Aa2
   
1,172,520
 
 
280,550
 
Total Tax Obligation/General
         
255,938,414
 
     
Tax Obligation/Limited – 39.9% (28.5% of Total Investments)
             
 
2,000
 
Baldwin Park Public Financing Authority, California, Sales Tax and Tax Allocation Bonds, Puente Merced Redevelopment Project, Series 2003, 5.250%, 8/01/21
8/17 at 100.00
 
BBB
   
2,029,340
 
 
655
 
Beaumont Financing Authority, California, Local Agency Revenue Bonds, Improvement Area 19C, Series 2013A, 5.000%, 9/01/27
9/23 at 100.00
 
N/R
   
736,829
 
 
1,000
 
Bell Community Redevelopment Agency, California, Tax Allocation Bonds, Bell Project Area, Series 2003, 5.625%, 10/01/33 – RAAI Insured
5/16 at 100.00
 
AA
   
1,000,630
 
 
7,895
 
Brea and Olinda Unified School District, Orange County, California, Certificates of Participation Refunding, Series 2002A, 5.125%, 8/01/26 – AGM Insured
5/16 at 100.00
 
AA
   
7,927,922
 
     
California Infrastructure and Economic Development Bank, Revenue Bonds, North County Center for Self-Sufficiency Corporation, Series 2004:
             
 
1,215
 
5.000%, 12/01/19 – AMBAC Insured
5/16 at 100.00
 
AA
   
1,220,091
 
 
1,535
 
5.000%, 12/01/20 – AMBAC Insured
5/16 at 100.00
 
AA
   
1,541,416
 
 
1,615
 
5.000%, 12/01/21 – AMBAC Insured
5/16 at 100.00
 
AA
   
1,621,751
 
 
1,695
 
5.000%, 12/01/22 – AMBAC Insured
5/16 at 100.00
 
AA
   
1,702,085
 
 
1,780
 
5.000%, 12/01/23 – AMBAC Insured
5/16 at 100.00
 
AA
   
1,787,440
 
 
1,865
 
5.000%, 12/01/24 – AMBAC Insured
5/16 at 100.00
 
AA
   
1,872,796
 
 
7,000
 
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2013F, 5.250%, 9/01/31
9/23 at 100.00
 
A+
   
8,453,550
 
     
California State Public Works Board, Lease Revenue Bonds, Department of Education, Riverside Campus Project, Series 2012H:
             
 
2,790
 
5.000%, 4/01/30
No Opt. Call
 
A+
   
3,279,338
 
 
2,065
 
5.000%, 4/01/31
No Opt. Call
 
A+
   
2,414,584
 
 
4,860
 
California State Public Works Board, Lease Revenue Bonds, Department of Veterans Affairs, Southern California Veterans Home – Chula Vista Facility, Series 1999A, 5.600%, 11/01/19 – AMBAC Insured
5/16 at 100.00
 
A+
   
4,881,919
 
 
20,330
 
California State Public Works Board, Lease Revenue Bonds, Judicial Council of California, New Stockton Courthouse, Series 2014B, 5.000%, 10/01/39
10/24 at 100.00
 
A+
   
23,756,824
 
 
1,990
 
California State Public Works Board, Lease Revenue Bonds, Judicial Council of California, Various Projects Series 2013A, 5.000%, 3/01/33
No Opt. Call
 
A+
   
2,313,455
 

38
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
5,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009G-1, 5.750%, 10/01/30
10/19 at 100.00
 
A+
 
$
5,838,500
 
 
2,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009-I, 6.375%, 11/01/34
11/19 at 100.00
 
A+
   
2,398,620
 
 
3,020
 
Chino Redevelopment Agency, California, Merged Chino Redevelopment Project Area Tax Allocation Bonds, Series 2006, 5.000%, 9/01/38 – AMBAC Insured
9/16 at 101.00
 
A
   
3,105,708
 
     
Compton Community Redevelopment Agency, California, Tax Allocation Revenue Bonds, Redevelopment Projects, Second Lien Series 2010B:
             
 
1,230
 
5.000%, 8/01/25
8/20 at 100.00
 
N/R
   
1,312,484
 
 
530
 
5.750%, 8/01/26
8/20 at 100.00
 
N/R
   
579,698
 
 
3,145
 
Culver City Redevelopment Agency, California, Tax Allocation Revenue Bonds, Redevelopment Project, Series 2002A, 5.125%, 11/01/25 – NPFG Insured
5/16 at 100.00
 
AA–
   
3,150,378
 
     
El Monte, California, Senior Lien Certificates of Participation, Department of Public Services Facility Phase II, Series 2001:
             
 
7,185
 
5.000%, 1/01/21 – AMBAC Insured
7/16 at 100.00
 
A+
   
7,213,740
 
 
5,000
 
5.250%, 1/01/34 – AMBAC Insured
7/16 at 100.00
 
A+
   
5,017,700
 
 
350
 
Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27
10/16 at 100.00
 
A
   
351,537
 
 
1,000
 
Fullerton Community Facilities District 1, California, Special Tax Bonds, Amerige Heights, Refunding Series 2012, 5.000%, 9/01/32
9/22 at 100.00
 
A–
   
1,115,530
 
 
1,000
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2013A, 5.000%, 6/01/30
6/23 at 100.00
 
A+
   
1,168,230
 
 
33,000
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2015A, 5.000%, 6/01/45
6/25 at 100.00
 
A+
   
37,838,125
 
 
7,500
 
Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/28
11/25 at 100.00
 
A
   
8,824,425
 
 
425
 
Hesperia Community Redevelopment Agency, California, Tax Allocation Bonds, Series 2005A, 5.000%, 9/01/35 – SYNCORA GTY Insured
5/16 at 100.00
 
BBB
   
425,344
 
 
3,345
 
Hesperia Public Financing Authority, California, Redevelopment and Housing Projects Tax Allocation Bonds, Series 2007A, 5.000%, 9/01/37 – SYNCORA GTY Insured
9/17 at 100.00
 
N/R
   
3,405,812
 
 
1,700
 
Hesperia Unified School District, San Bernardino County, California, Certificates of Participation, Capital Improvement, Series 2007, 5.000%, 2/01/41 – AMBAC Insured
2/17 at 100.00
 
A
   
1,755,896
 
 
2,115
 
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Refunding Series 1998A, 5.250%, 5/01/23 – AMBAC Insured
No Opt. Call
 
N/R
   
2,344,964
 
     
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Subordinate Lien Series 2007A-1:
             
 
1,985
 
5.000%, 5/01/24 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
2,039,270
 
 
710
 
5.000%, 5/01/25 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
727,977
 
     
Irvine Unified School District, California, Special Tax Bonds, Community Facilities District Series 2006A:
             
 
75
 
5.000%, 9/01/26
9/16 at 100.00
 
N/R
   
76,303
 
 
175
 
5.125%, 9/01/36
9/16 at 100.00
 
N/R
   
177,524
 
     
Lake Elsinore Public Financing Authority, California, Local Agency Revenue Bonds, Canyon Hills Improvement Area D, Series 2014A:
             
 
1,140
 
5.500%, 9/01/33
9/23 at 100.00
 
N/R
   
1,248,380
 
 
2,105
 
5.750%, 9/01/44
9/23 at 100.00
 
N/R
   
2,300,912
 
 
1,375
 
Lake Elsinore Public Financing Authority, California, Local Agency Revenue Bonds, Refunding Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
1,521,025
 
 
2,000
 
Lammersville Joint Unified School District, California, Community Facilities District 2007-1, Mountain House – Shea Homes, Improvement Area 1 Special Tax Bonds, Series 2013, 6.000%, 9/01/38
9/23 at 100.00
 
N/R
   
2,369,180
 

Nuveen Investments
 
39


NKX
Nuveen California AMT-Free Municipal Income Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
     
Lancaster Redevelopment Agency, California, Tax Allocation Bonds, Combined Redevelopment Project Areas Housing Programs, Subordinate Refunding Series 2003:
             
$
2,505
 
4.750%, 8/01/23 – NPFG Insured
8/17 at 100.00
 
AA–
 
$
2,559,509
 
 
2,425
 
4.750%, 8/01/27 – NPFG Insured
5/16 at 100.00
 
AA–
   
2,474,931
 
 
3,500
 
Livermore Redevelopment Agency, California, Tax Allocation Revenue Bonds, Livermore Redevelopment Project Area, Series 2001A, 5.000%,
8/01/26 – NPFG Insured
8/16 at 100.00
 
AA–
   
3,520,755
 
 
6,190
 
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester Social Services Project, Series 2005, 5.000%,
9/01/37 – AMBAC Insured
5/16 at 100.00
 
A1
   
6,202,194
 
 
1,500
 
Los Osos, California, Improvement Bonds, Community Services Wastewater Assessment District 1, Series 2002, 5.000%, 9/02/33 – NPFG Insured
9/16 at 100.00
 
AA–
   
1,509,990
 
 
475
 
Lynwood Redevelopment Agency, California, Project A Revenue Bonds, Subordinate Lien Series 2011A, 7.250%, 9/01/38
9/21 at 100.00
 
A–
   
596,776
 
 
9,270
 
Moreno Valley Community Redevelopment Agency, California, Tax Allocation Bonds, Series 2007A, 5.000%, 8/01/38 – AMBAC Insured
8/17 at 100.00
 
A–
   
9,732,480
 
 
3,230
 
Murrieta Redevelopment Agency, California, Tax Allocation Bonds, Series 2005, 5.000%, 8/01/35 – NPFG Insured
5/16 at 100.00
 
AA–
   
3,240,724
 
 
170
 
National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011, 6.500%, 8/01/24
8/21 at 100.00
 
A
   
215,125
 
 
65
 
Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40
9/21 at 100.00
 
BBB+
   
78,816
 
 
2,810
 
Oakland Joint Powers Financing Authority, California, Lease Revenue Bonds, Administration Building Projects, Series 2008B, 5.000%, 8/01/21 – AGC Insured
8/18 at 100.00
 
AA
   
3,089,005
 
 
3,300
 
Pacifica, California, Certificates of Participation, Series 2008, 5.375%,
1/01/37 – AMBAC Insured
5/16 at 100.00
 
A–
   
3,378,771
 
 
5,000
 
Palm Desert Financing Authority, California, Tax Allocation Revenue Bonds, Project Area 1, Refunding Series 2002, 5.000%, 4/01/25 – NPFG Insured
10/16 at 100.00
 
AA–
   
5,020,150
 
 
600
 
Patterson Public Finance Authority, California, Revenue Bonds, Community Facilities District 2001-1, Subordinate Lien Series 2013B, 5.875%, 9/01/39
9/23 at 100.00
 
N/R
   
664,056
 
     
Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A:
             
 
3,800
 
5.250%, 9/01/30
9/23 at 100.00
 
N/R
   
4,212,680
 
 
3,420
 
5.750%, 9/01/39
9/23 at 100.00
 
N/R
   
3,810,222
 
 
2,000
 
Perris Joint Powers Authority, California, Local Agency Revenue Bonds, Community Facilities District 2001-1 May Farms Improvement Area 1,2 and 3, Refunding Series 2014A, 5.375%, 9/01/33
9/23 at 100.00
 
N/R
   
2,288,200
 
     
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2007A:
             
 
5,000
 
0.000%, 8/01/44 – NPFG Insured
No Opt. Call
 
AA–
   
817,300
 
 
7,200
 
0.000%, 8/01/45 – NPFG Insured
No Opt. Call
 
AA–
   
1,110,600
 
 
210
 
Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30
9/21 at 100.00
 
BBB+
   
241,366
 
 
1,115
 
Rio Elementary School District, California, Special Tax Bonds, Community Facilities District 1, Series 2013, 5.500%, 9/01/39
9/23 at 100.00
 
N/R
   
1,252,736
 
 
40
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Jurupa Valley Project Area, Series 2011B, 6.500%, 10/01/25
10/21 at 100.00
 
A
   
49,922
 
     
Riverside County, California, Special Tax Bonds, Community Facilities District 05-8 Scott Road, Series 2013:
             
 
660
 
5.000%, 9/01/32
9/22 at 100.00
 
N/R
   
726,964
 
 
1,775
 
5.000%, 9/01/42
9/22 at 100.00
 
N/R
   
1,924,775
 
 
1,000
 
Rocklin Unified School District, Placer County, California, Special Tax Bonds, Community Facilities District 1, Series 2004, 5.000%, 9/01/25 – NPFG Insured
5/16 at 100.00
 
AA–
   
1,003,910
 
 
4,475
 
Roseville Finance Authority, California, Special Tax Revenue Bonds, Series 2007A, 5.000%, 9/01/33 – AMBAC Insured
9/17 at 100.00
 
N/R
   
4,568,304
 

40
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
1,500
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Fiddyment Ranch, Series 2005, 5.050%, 9/01/30
9/16 at 100.00
 
N/R
 
$
1,513,245
 
 
400
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Westpark, Refunding Series 2015, 5.000%, 9/01/33
9/25 at 100.00
 
N/R
   
446,104
 
 
1,280
 
Sacramento City Financing Authority, California, Lease Revenue Refunding Bonds, Series 1993A, 5.400%, 11/01/20 – NPFG Insured
No Opt. Call
 
AA–
   
1,413,824
 
 
2,565
 
Sacramento City Financing Authority, California, Lease Revenue Refunding Bonds, Series 1993B, 5.400%, 11/01/20
No Opt. Call
 
A+
   
2,825,809
 
 
2,630
 
San Bernardino Joint Powers Financing Authority, California, Certificates of Participation Refunding, Police Station Financing Project, Series 1999, 5.500%, 9/01/20 – NPFG Insured
3/16 at 100.00
 
AA–
   
2,630,736
 
 
215
 
San Clemente, California, Special Tax Revenue Bonds, Community Facilities District 2006-1 Marblehead Coastal, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
244,300
 
 
1,000
 
San Diego County Regional Transportation Commission, California, Sales Tax Revenue Bonds, Refunding Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
AAA
   
1,144,620
 
 
1,480
 
San Diego Redevelopment Agency, California, Subordinate Lien Tax Increment and Parking Revenue Bonds, Centre City Project, Series 2003B, 5.250%, 9/01/26
5/16 at 100.00
 
AA–
   
1,485,964
 
 
690
 
San Francisco City and County Redevelopment Agency Successor Agency, California, Special Tax Bonds, Community Facilities District 7, Hunters Point Shipyard Phase One Improvements, Refunding Series 2014, 5.000%, 8/01/39
No Opt. Call
 
N/R
   
754,080
 
 
2,700
 
San Francisco City and County Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, San Francisco Redevelopment Projects, Series 1998D, 0.000%, 8/01/24 – NPFG Insured
No Opt. Call
 
AA–
   
2,175,687
 
 
2,000
 
San Francisco City and County, California, Certificates of Participation, Multiple Capital Improvement Projects, Series 2009A, 5.200%, 4/01/26
4/19 at 100.00
 
AA
   
2,257,820
 
 
30
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41
2/21 at 100.00
 
A–
   
36,252
 
     
San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D:
             
 
30
 
7.000%, 8/01/33
2/21 at 100.00
 
BBB+
   
36,239
 
 
40
 
7.000%, 8/01/41
2/21 at 100.00
 
BBB+
   
48,319
 
 
380
 
San Francisco, California, Community Facilities District 6, Mission Bay South Public Improvements, Special Tax Refunding Bonds, Series 2013A, 5.000%, 8/01/33
8/22 at 100.00
 
N/R
   
424,205
 
 
5,150
 
San Jacinto Unified School District, Riverside County, California, Certificates of Participation, Series 2010, 5.375%, 9/01/40 – AGC Insured
9/20 at 100.00
 
AA
   
5,870,588
 
 
4,000
 
San Jose Financing Authority, California, Lease Revenue Refunding Bonds, Convention Center Project, Series 2001F, 5.000%, 9/01/19 – NPFG Insured
5/16 at 100.00
 
AA
   
4,016,840
 
 
360
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Refunding Series 2006D, 5.000%, 8/01/23 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
379,476
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2005A:
             
 
3,310
 
5.000%, 8/01/20 – NPFG Insured
5/16 at 100.00
 
AA–
   
3,323,240
 
 
5,025
 
5.000%, 8/01/28 – NPFG Insured
5/16 at 100.00
 
AA–
   
5,044,648
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2006C:
             
 
100
 
5.000%, 8/01/24 – NPFG Insured
8/17 at 100.00
 
AA–
   
106,202
 
 
1,110
 
5.000%, 8/01/25 – NPFG Insured
8/17 at 100.00
 
AA–
   
1,177,865
 
 
1,000
 
San Marcos Public Facilities Authority, California, Special Tax Revenue Bonds, Refunding Series 2012D, 5.000%, 9/01/36
9/22 at 100.00
 
N/R
   
1,082,160
 
 
50
 
Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26
4/21 at 100.00
 
N/R
   
59,665
 
 
3,500
 
Stockton Public Financing Authority, California, Lease Revenue Bonds, Series 2004, 5.250%, 9/01/34 – FGIC Insured
5/16 at 100.00
 
AA–
   
3,500,315
 

Nuveen Investments
 
41


NKX
Nuveen California AMT-Free Municipal Income Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
     
Sweetwater Union High School District Public Financing Authority, California, Special Tax Revenue Bonds, Series 2005A:
             
$
3,565
 
5.000%, 9/01/25 – AGM Insured
5/16 at 100.00
 
AA
 
$
3,578,939
 
 
5,510
 
5.000%, 9/01/28 – AGM Insured
5/16 at 100.00
 
AA
   
5,531,544
 
 
2,980
 
Temecula Public Financing Authority, California, Special Tax Bonds, Community Facilities District 03-02 Roripaugh, Series 2006, 5.500%, 9/01/36
9/16 at 100.00
 
N/R
   
2,983,665
 
 
2,160
 
Temecula Redevelopment Agency, California, Tax Allocation Revenue Bonds, Redevelopment Project 1, Series 2002, 5.125%, 8/01/27 – NPFG Insured
5/16 at 100.00
 
AA–
   
2,175,293
 
     
Tustin Community Redevelopment Agency, California, Tax Allocation Housing Bonds Series 2010:
             
 
1,205
 
5.000%, 9/01/30 – AGM Insured
9/20 at 100.00
 
AA
   
1,373,387
 
 
3,250
 
5.250%, 9/01/39 – AGM Insured
9/20 at 100.00
 
AA
   
3,711,923
 
 
4,500
 
Virgin Islands Public Finance Authority, Gross Receipts Taxes Loan Note, Refunding Series 2012A, 5.000%, 10/01/32 – AGM Insured
No Opt. Call
 
AA
   
4,968,630
 
 
1,020
 
Washington Unified School District, Yolo County, California, Certificates of Participation, Series 2007, 5.125%, 8/01/37 – AMBAC Insured
8/17 at 100.00
 
A
   
1,070,898
 
     
West Patterson Financing Authority, California, Special Tax Bonds, Community Facilities District 2015-1 Arambel-KDN, Refunding Series 2015:
             
 
350
 
5.250%, 9/01/35
9/25 at 100.00
 
N/R
   
366,300
 
 
790
 
5.250%, 9/01/45
9/25 at 100.00
 
N/R
   
818,796
 
 
4,235
 
West Sacramento Financing Authority, California, Special Tax Revenue Bonds, Series 2014, 5.500%, 9/01/31
9/22 at 102.00
 
N/R
   
4,730,156
 
 
6,000
 
Westminster Redevelopment Agency, California, Tax Allocation Bonds, Commercial Redevelopment Project 1, Police Facility Subordinate Series 2009, 6.250%, 11/01/39
11/19 at 100.00
 
AA
   
7,009,680
 
 
95
 
Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A, 6.000%, 9/01/26
9/21 at 100.00
 
A–
   
116,121
 
 
295,340
 
Total Tax Obligation/Limited
         
307,571,028
 
     
Transportation – 6.2% (4.4% of Total Investments)
             
 
1,115
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2013S-4, 5.250%, 4/01/48
4/23 at 100.00
 
AA–
   
1,295,730
 
 
6,750
 
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Junior Lien Series 2013C, 6.500%, 1/15/43
1/24 at 100.00
 
BB+
   
8,053,898
 
     
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A:
             
 
14,885
 
5.750%, 1/15/46
1/24 at 100.00
 
BBB–
   
17,429,888
 
 
14,885
 
6.000%, 1/15/53
1/24 at 100.00
 
BBB–
   
17,516,817
 
     
Los Angeles Department of Airports, California, Revenue Bonds, Los Angeles International Airport, Senior Lien Series 2015E:
             
 
150
 
5.000%, 5/15/31
5/25 at 100.00
 
AA
   
182,192
 
 
1,270
 
5.000%, 5/15/34
5/25 at 100.00
 
AA
   
1,513,599
 
 
1,345
 
5.000%, 5/15/36
5/25 at 100.00
 
AA
   
1,593,327
 
 
40,400
 
Total Transportation
         
47,585,451
 
     
U.S. Guaranteed – 11.7% (8.4% of Total Investments) (5)
             
 
1,425
 
Bassett Unified School District, Los Angeles County, California, General Obligation Bonds, Series 2006B, 5.250%, 8/01/30
(Pre-refunded 8/01/16) – FGIC Insured
8/16 at 100.00
 
AA– (5)
   
1,455,467
 
 
220
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Tender Option Bond Trust 3211, 13.558%, 10/01/32 (Pre-refunded 4/01/18) (IF)
4/18 at 100.00
 
AA (5)
   
299,594
 
 
780
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2006F, 5.000%, 4/01/31 (Pre-refunded 4/01/16) (UB)
4/16 at 100.00
 
AA (5)
   
783,401
 
 
1,575
 
California Health Facilities Financing Authority, Insured Revenue Bonds, California-Nevada Methodist Homes, Series 2006, 5.000%, 7/01/36 (Pre-refunded 7/01/16)
7/16 at 100.00
 
AA– (5)
   
1,600,783
 
 
3,000
 
California Infrastructure and Economic Development Bank, First Lien Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2003A, 5.000%,
7/01/22 – AGM Insured (ETM)
No Opt. Call
 
AAA
   
3,707,280
 

42
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (5) (continued)
             
$
2,250
 
California Infrastructure and Economic Development Bank, First Lien Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2003A, 5.000%, 7/01/36 (Pre-refunded 1/01/28) – AMBAC Insured
1/28 at 100.00
 
Aaa
 
$
2,976,503
 
 
80
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/46 (Pre-refunded 2/01/17)
2/17 at 100.00
 
N/R (5)
   
83,558
 
 
1,112
 
California State Public Works Board, Lease Revenue Bonds, University of California Regents, Tender Option Bond Trust 1065, 9.404%, 3/01/33 (Pre-refunded 3/01/18) (IF)
3/18 at 100.00
 
AAA
   
1,307,823
 
 
1,815
 
California Statewide Communities Development Authority, Revenue Bonds, ValleyCare Health System, Series 2007A, 5.125%, 7/15/31 (Pre-refunded 7/15/17)
7/17 at 100.00
 
AA+ (5)
   
1,932,013
 
 
2,680
 
California Statewide Community Development Authority, Revenue Bonds, Methodist Hospital Project, Series 2009, 6.750%, 2/01/38 (Pre-refunded 8/01/19)
8/19 at 100.00
 
N/R (5)
   
3,223,450
 
 
1,000
 
Castaic Lake Water Agency, California, Certificates of Participation, Series 2006C, 5.000%, 8/01/36 (Pre-refunded 8/01/16) – NPFG Insured
8/16 at 100.00
 
AA– (5)
   
1,020,320
 
 
550
 
Central Unified School District, Fresno County, California, General Obligation Bonds, Series 1993, 5.625%, 3/01/18 – AMBAC Insured (ETM)
9/16 at 100.00
 
N/R (5)
   
564,944
 
 
1,430
 
Cloverdale Community Development Agency, California, Tax Allocation Bonds, Cloverdale Redevelopment Project, Refunding Series 2006, 5.000%, 8/01/36 (Pre-refunded 8/01/16) – AMBAC Insured
8/16 at 100.00
 
N/R (5)
   
1,458,872
 
 
12,050
 
Coast Community College District, Orange County, California, General Obligation Bonds, Series 2006C, 5.000%, 8/01/31 (Pre-refunded 8/01/18) – AGM Insured
8/18 at 100.00
 
Aa1 (5)
   
13,308,623
 
 
5,000
 
Grossmont Healthcare District, California, General Obligation Bonds, Series 2007A, 5.000%, 7/15/37 (Pre-refunded 7/15/17) – AMBAC Insured
7/17 at 100.00
 
Aaa
   
5,313,800
 
 
6,000
 
Hartnell Community College District, California, General Obligation Bonds, Series 2006B, 5.000%, 6/01/29 (Pre-refunded 6/01/16) – AGM Insured
6/16 at 100.00
 
AA (5)
   
6,074,520
 
 
1,385
 
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 (Pre-refunded 4/01/16) – NPFG Insured
4/16 at 100.00
 
AA (5)
   
1,391,025
 
 
6,000
 
Huntington Park Redevelopment Agency, California, Single Family Residential Mortgage Revenue Refunding Bonds, Series 1986A, 8.000%, 12/01/19 (ETM)
No Opt. Call
 
Aaa
   
7,599,660
 
 
5,000
 
Indio Water Authority, California, Water Revenue Bonds, Series 2006, 5.000%, 4/01/31 (Pre-refunded 4/01/16) – AMBAC Insured
4/16 at 100.00
 
A (5)
   
5,021,750
 
 
760
 
Loma Linda, California, Hospital Revenue Bonds, Loma Linda University Medical Center, Series 2008A, 8.250%, 12/01/38 (Pre-refunded 12/01/17)
12/17 at 100.00
 
BB+ (5)
   
862,083
 
 
540
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Refunding Series 2008A, 6.500%, 9/01/28 (Pre-refunded 9/01/18)
9/18 at 100.00
 
BBB– (5)
   
617,674
 
 
5,000
 
San Jacinto Unified School District, Riverside County, California, General Obligation Bonds, Series 2007, 5.250%, 8/01/32 (Pre-refunded 8/01/17) – AGM Insured
8/17 at 100.00
 
AA (5)
   
5,342,050
 
 
325
 
San Mateo Union High School District, San Mateo County, California, Certificates of Participation, Phase 1, Series 2007A, 5.000%, 12/15/30 (Pre-refunded 12/15/17) – AMBAC Insured
12/17 at 100.00
 
N/R (5)
   
350,776
 
     
San Ysidro School District, San Diego County, California, General Obligation Bonds, 1997 Election Series 2011F:
             
 
7,230
 
0.000%, 8/01/42 (Pre-refunded 8/01/21) – AGM Insured
8/21 at 21.00
 
AA (5)
   
1,399,294
 
 
10,740
 
0.000%, 8/01/43 (Pre-refunded 8/01/21) – AGM Insured
8/21 at 19.43
 
AA (5)
   
1,923,856
 
 
21,225
 
0.000%, 8/01/44 (Pre-refunded 8/01/21) – AGM Insured
8/21 at 17.98
 
AA (5)
   
3,518,256
 
 
12,550
 
0.000%, 8/01/45 (Pre-refunded 8/01/21) – AGM Insured
8/21 at 16.64
 
AA (5)
   
1,924,668
 
 
23,425
 
0.000%, 8/01/46 (Pre-refunded 8/01/21) – AGM Insured
8/21 at 15.39
 
AA (5)
   
3,323,071
 
 
9,085
 
Santa Clara County Financing Authority, California, Insured Revenue Bonds, El Camino Hospital, Series 2007A, 5.750%, 2/01/41
(Pre-refunded 8/01/17) – AMBAC Insured
8/17 at 100.00
 
A+ (5)
   
9,762,741
 
 
2,000
 
Sierra View Local Health Care District, California, Revenue Bonds, Series 2007, 5.250%, 7/01/37 (Pre-refunded 7/01/17)
7/17 at 100.00
 
A (5)
   
2,128,680
 
 
146,232
 
Total U.S. Guaranteed
         
90,276,535
 

Nuveen Investments
 
43


NKX
Nuveen California AMT-Free Municipal Income Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Utilities – 4.2% (3.0% of Total Investments)
             
     
Long Beach Bond Finance Authority, California, Natural Gas Purchase Revenue Bonds, Series 2007A:
             
$
2,490
 
5.000%, 11/15/35
No Opt. Call
 
A
 
$
2,924,630
 
 
1,835
 
5.500%, 11/15/37
No Opt. Call
 
A
   
2,308,981
 
 
10,000
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2012B, 5.000%, 7/01/43
7/22 at 100.00
 
AA–
   
11,555,900
 
 
4,280
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2013B, 5.000%, 7/01/28
7/23 at 100.00
 
AA–
   
5,227,421
 
 
3,750
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Tender Option Bond Trust 2015-XF2047,18.109%, 7/01/20 (IF) (6)
No Opt. Call
 
AA–
   
6,083,850
 
 
1,000
 
Southern California Public Power Authority, California, Milford Wind Corridor Phase I Revenue Bonds, Series 2010-1, 5.000%, 7/01/28
1/20 at 100.00
 
AA–
   
1,148,020
 
 
2,975
 
Southern California Public Power Authority, California, Revenue Bonds, Apex Power Project Series 2014A, 5.000%, 7/01/37
7/24 at 100.00
 
AA–
   
3,498,541
 
 
26,330
 
Total Utilities
         
32,747,343
 
     
Water and Sewer – 15.7% (11.2% of Total Investments)
             
 
13,200
 
Atwater Public Financing Authority, California, Wastewater Revenue Bonds, Series 2010, 5.125%, 5/01/40 – AGM Insured
5/19 at 100.00
 
AA
   
13,997,016
 
 
11,600
 
Bay Area Water Supply and Conservation Agency, California, Revenue Bonds, Capital Cost Recovery Prepayment Program, Series 2013A, 5.000%, 10/01/34
4/23 at 100.00
 
AA–
   
13,670,948
 
     
California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, San Diego County Water Authority Desalination Project Pipeline, Series 2012:
             
 
8,000
 
5.000%, 7/01/37
No Opt. Call
 
Baa3
   
8,291,840
 
 
12,200
 
5.000%, 11/21/45
No Opt. Call
 
Baa3
   
12,488,408
 
 
1,000
 
East Bay Municipal Utility District, Alameda and Contra Costa Counties, California, Water System Revenue Bonds, Refunding Series 2015A, 5.000%, 6/01/31
6/25 at 100.00
 
AAA
   
1,230,460
 
 
3,000
 
Escondido Joint Powers Financing Authority, California, Revenue Bonds, Water System Financing, Series 2012, 5.000%, 9/01/41
3/22 at 100.00
 
AA–
   
3,443,820
 
 
2,250
 
Fortuna Public Finance Authority, California, Water Revenue Bonds, Series 2006, 5.000%, 10/01/36 – AGM Insured
10/16 at 100.00
 
AA
   
2,297,745
 
 
16,000
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2012A, 5.000%, 7/01/43
7/22 at 100.00
 
AA
   
18,694,559
 
 
10,515
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2014A, 5.000%, 7/01/44
7/24 at 100.00
 
AA
   
12,275,421
 
 
9,500
 
Los Angeles, California, Wastewater System Revenue Bonds, Refunding Green Series 2015A, 5.000%, 6/01/44
6/25 at 100.00
 
AA+
   
11,210,285
 
     
Los Angeles, California, Wastewater System Revenue Bonds, Refunding Subordinate Lien Series 2013A:
             
 
2,000
 
5.000%, 6/01/34
6/23 at 100.00
 
AA
   
2,364,760
 
 
3,500
 
5.000%, 6/01/35
6/23 at 100.00
 
AA
   
4,125,485
 
 
1,500
 
Metropolitan Water District of Southern California, Water Revenue Refunding Bonds, Series 2015A, 5.000%, 7/01/40
7/25 at 100.00
 
AAA
   
1,774,890
 
 
670
 
Metropolitan Water District of Southern California, Waterworks Revenue Bonds, Tender Option Bond Trust 09-8B, 17.827%, 7/01/35 (IF) (6)
7/19 at 100.00
 
AAA
   
1,018,346
 

44
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Water and Sewer (continued)
             
$
1,500
 
Placerville Public Financing Authority, California, Wastewater System Refinancing and Improvement Project Revenue Bonds, Series 2006, 5.000%, 9/01/34 – SYNCORA GTY Insured
9/16 at 100.00
 
N/R
 
$
1,527,075
 
 
2,500
 
Sacramento County Sanitation Districts Financing Authority, California, Revenue Bonds, Sacramento Regional County Sanitation District, Series 2014A, 5.000%, 12/01/33
6/24 at 100.00
 
AA
   
2,984,075
 
 
9,000
 
San Diego County Water Authority, California, Water Revenue Certificates of Participation, Series 2008A, 5.000%, 5/01/38 – AGM Insured
5/18 at 100.00
 
AA+
   
9,763,470
 
 
107,935
 
Total Water and Sewer
         
121,158,603
 
$
1,108,062
 
Total Long-Term Investments (cost $954,948,829)
         
1,079,765,036
 
     
Floating Rate Obligations – (0.1)%
         
(390,000
)
     
Institutional MuniFund Term Preferred Shares, at Liquidation Preference – (4.7)% (7)
         
(36,000,000
)
     
Variable Rate Demand Preferred Shares, at Liquidation Preference – (37.8)% (8)
         
(291,600,000
)
     
Other Assets Less Liabilities – 2.6%
         
19,691,253
 
     
Net Assets Applicable to Common Shares – 100%
     
$
 
771,466,289
 

 
(1)
All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions (not covered by the report of independent registered public accounting firm): 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 (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investors Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
The coupon for this security increased 0.25% effective January 1, 2016 and will increase an additional 0.25% effective July 1, 2016.
(5)
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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(6)
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(7)
Institutional MuniFund Term Preferred Shares, at Liquidation Preference as a percentage of Total Investments is 3.3%.
(8)
Variable Rate Demand Preferred Shares, at Liquidation Preference as a percentage of Total Investments is 27.0%.
(ETM)
Escrowed to maturity.
(IF)
Inverse floating rate investment.
(UB)
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.
 See accompanying notes to financial statements.

Nuveen Investments
 
45

NAC
   
 
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
LONG-TERM INVESTMENTS – 142.3% (100.0% of Total Investments)
             
     
MUNICIPAL BONDS – 142.3% (100.0% of Total Investments)
             
     
Consumer Staples – 7.8% (5.5% of Total Investments)
             
$
3,305
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Alameda County Tobacco Asset Securitization Corporation, Series 2002, 5.750%, 6/01/29
5/16 at 100.00
 
Baa1
 
$
 
3,338,017
 
     
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A:
             
 
11,840
 
5.600%, 6/01/36
12/18 at 100.00
 
B
   
11,871,731
 
 
13,060
 
5.650%, 6/01/41
12/18 at 100.00
 
B2
   
13,075,150
 
     
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005:
             
 
1,855
 
4.250%, 6/01/21
5/16 at 100.00
 
BBB+
   
1,855,260
 
 
3,735
 
5.250%, 6/01/45
5/16 at 100.00
 
B–
   
3,668,928
 
 
3,995
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Stanislaus County Tobacco Funding Corporation, Series 2002A, 5.500%, 6/01/33
5/16 at 100.00
 
Baa1
   
3,995,839
 
 
5,265
 
California Statewide Financing Authority, Tobacco Settlement Asset-Backed Bonds, Pooled Tobacco Securitization Program, Series 2002A, 5.625%, 5/01/29
5/16 at 100.00
 
BBB+
   
5,353,241
 
 
25,000
 
California Statewide Financing Authority, Tobacco Settlement Asset-Backed Bonds, Pooled Tobacco Securitization Program, Series 2006A, 0.000%, 6/01/46
6/16 at 15.78
 
CCC
   
2,706,250
 
     
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
             
 
13,375
 
5.000%, 6/01/33
6/17 at 100.00
 
B–
   
12,694,748
 
 
17,775
 
5.750%, 6/01/47
6/17 at 100.00
 
B–
   
17,185,759
 
 
5,075
 
5.125%, 6/01/47
6/17 at 100.00
 
B–
   
4,555,980
 
 
45,585
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-2, 5.300%, 6/01/37
6/22 at 100.00
 
B–
   
43,029,046
 
     
Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1:
             
 
8,500
 
5.375%, 6/01/38
5/16 at 100.00
 
B–
   
8,112,060
 
 
1,250
 
5.500%, 6/01/45
5/16 at 100.00
 
B–
   
1,200,588
 
 
2,000
 
Tobacco Securitization Authority of Southern California, Tobacco Settlement Asset-Backed Bonds, San Diego County Tobacco Asset Securitization Corporation, Senior Series 2006A, 5.125%, 6/01/46
5/16 at 100.00
 
B+
   
1,909,120
 
 
161,615
 
Total Consumer Staples
         
134,551,717
 
     
Education and Civic Organizations – 3.8% (2.7% of Total Investments)
             
 
2,225
 
ABAG Finance Authority for Non-Profit Corporations, California, Revenue Bonds, The Jackson Laboratory, Series 2012, 5.000%, 7/01/37
7/22 at 100.00
 
A1
   
2,497,807
 
 
3,000
 
California Educational Facilities Authority, Revenue Bonds, Dominican University, Series 2006, 5.000%, 12/01/36
12/16 at 100.00
 
Ba1
   
3,071,400
 
 
4,075
 
California Educational Facilities Authority, Revenue Bonds, Santa Clara University, Series 2010, 5.000%, 2/01/40
2/20 at 100.00
 
Aa3
   
4,567,831
 
 
605
 
California Educational Facilities Authority, Revenue Bonds, University of Redlands, Series 2005A, 5.000%, 10/01/35
5/16 at 100.00
 
A3
   
607,009
 
 
2,165
 
California Educational Facilities Authority, Revenue Bonds, University of San Francisco, Series 2011, 6.125%, 10/01/36
10/21 at 100.00
 
A2
   
2,647,470
 
 
10,000
 
California Educational Facilities Authority, Revenue Bonds, University of Southern California, Series 2007A, 4.500%, 10/01/33 (UB)
10/17 at 100.00
 
Aa1
   
10,522,600
 
 
2,470
 
California Educational Facilities Authority, Revenue Bonds, University of Southern California, Tender Option Bond Trust 09-11B, 17.981%, 10/01/38 (IF) (4)
10/18 at 100.00
 
Aa1
   
3,491,493
 
 
965
 
California Infrastructure and Economic Development Bank, Revenue Bonds, Academy of Motion Picture Arts and Sciences Obligated Group, Series 2015A, 4.000%, 11/01/45
11/23 at 100.00
 
A
   
997,106
 

46
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Education and Civic Organizations (continued)
             
$
2,740
 
California Infrastructure and Economic Development Bond Bank, Revenue Bonds, Scripps Research Institute, Series 2005A, 5.000%, 7/01/24
5/16 at 100.00
 
Aa3
 
$
 
2,751,289
 
 
3,980
 
California Municipal Finance Authority, Charter School Revenue Bonds, Rocketship Education, Multiple Projects, Series 2014A , 7.250%, 6/01/43
6/22 at 102.00
 
N/R
   
4,642,750
 
 
1,000
 
California Municipal Finance Authority, Revenue Bonds, Biola University, Series 2013, 5.000%, 10/01/38
10/23 at 100.00
 
Baa1
   
1,095,000
 
 
2,500
 
California Municipal Finance Authority, Revenue Bonds, University of La Verne, Series 2010A, 6.250%, 6/01/40
6/20 at 100.00
 
A–
   
2,862,625
 
 
6,000
 
California State Public Works Board, Lease Revenue Bonds, California State University Projects, Series 1997C, 5.400%, 10/01/22
4/16 at 100.00
 
Aa3
   
6,026,460
 
 
4,000
 
California State Public Works Board, Lease Revenue Refunding Bonds, Community Colleges Projects, Series 1996B, 5.625%, 3/01/19 – AMBAC Insured
3/16 at 100.00
 
A1
   
4,071,200
 
 
5,000
 
California State University, Systemwide Revenue Bonds, Series 2015A, 5.000%, 11/01/38
11/25 at 100.00
 
Aa2
   
5,930,850
 
 
2,750
 
California Statewide Communities Development Authority, Revenue Bonds, Buck Institute for Research on Aging, Series 2014, 5.000%, 11/15/44 – AGM Insured
11/24 at 100.00
 
AA
   
3,112,423
 
 
4,300
 
California Statewide Communities Development Authority, School Facility Revenue Bonds, Alliance College-Ready Public Schools, Series 2011A, 7.000%, 7/01/46
7/21 at 100.00
 
BBB–
   
4,849,110
 
 
1,815
 
California Statewide Communities Development Authority, Charter School Revenue Bonds, Rocketship 4 – Mosaic Elementary Charter School, Series 2011A, 8.500%, 12/01/41
12/21 at 100.00
 
N/R
   
2,192,629
 
 
59,590
 
Total Education and Civic Organizations
         
65,937,052
 
     
Health Care – 23.6% (16.6% of Total Investments)
             
 
3,705
 
ABAG Finance Authority for Nonprofit Corporations, California, Revenue Bonds, Sharp HealthCare, Series 2014A, 5.000%, 8/01/43
8/23 at 100.00
 
AA–
   
4,223,774
 
 
3,000
 
Antelope Valley Healthcare District, California, Revenue Bonds, Series 2011A, 7.250%, 3/01/36
3/21 at 100.00
 
Ba3
   
3,313,800
 
 
715
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Refunding Series 2015A, 5.000%, 8/15/43
8/25 at 100.00
 
AA–
   
828,192
 
 
5,135
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Series 2016A, 5.000%, 11/15/46
11/25 at 100.00
 
AA–
   
5,953,827
 
 
16,405
 
California Health Facilities Financing Authority, Revenue Bonds, Children's Hospital Los Angeles, Series 2010A, 5.250%, 7/01/38 – AGC Insured
7/20 at 100.00
 
AA
   
18,334,556
 
 
5,100
 
California Health Facilities Financing Authority, Revenue Bonds, Lucile Salter Packard Children's Hospital, Series 2014A, 5.000%, 8/15/43
8/24 at 100.00
 
AA
   
5,848,935
 
 
1,250
 
California Health Facilities Financing Authority, Revenue Bonds, Memorial Health Services, Series 2012A, 5.000%, 10/01/33
No Opt. Call
 
AA–
   
1,442,838
 
 
3,135
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014A, 5.000%, 10/01/38
10/24 at 100.00
 
AA
   
3,640,049
 
 
6,200
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44
10/24 at 100.00
 
AA
   
7,097,264
 
 
6,420
 
California Health Facilities Financing Authority, Revenue Bonds, Rady Children's Hospital – San Diego, Series 2011, 5.250%, 8/15/41
8/21 at 100.00
 
AA–
   
7,213,063
 
 
3,000
 
California Health Facilities Financing Authority, Revenue Bonds, Saint Joseph Health System, Series 2009A, 5.750%, 7/01/39
7/19 at 100.00
 
AA–
   
3,431,580
 
 
7,250
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2007A, 5.250%, 11/15/46
11/16 at 100.00
 
AA–
   
7,469,313
 
     
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2011B:
             
 
2,470
 
6.000%, 8/15/42
8/20 at 100.00
 
AA–
   
2,965,630
 
 
6,530
 
6.000%, 8/15/42 (UB)
8/20 at 100.00
 
AA–
   
7,840,310
 
 
49,980
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2007A, 5.250%, 11/15/46 (UB)
11/16 at 100.00
 
AA–
   
51,491,895
 

Nuveen Investments
 
47


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
$
3,795
 
California Municipal Finance Authority, Revenue Bonds, Eisenhower Medical Center, Series 2010A, 5.750%, 7/01/40
7/20 at 100.00
 
Baa2
 
$
4,181,521
 
     
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007:
             
 
4,190
 
5.250%, 2/01/27
2/17 at 100.00
 
A–
   
4,330,994
 
 
6,550
 
5.250%, 2/01/46
No Opt. Call
 
A–
   
6,681,983
 
 
1,200
 
California Statewide Communities Development Authority, California, Revenue Bonds, Loma Linda University Medical Center, Series 2014A, 5.250%, 12/01/44
12/24 at 100.00
 
BB+
   
1,299,204
 
 
3,000
 
California Statewide Communities Development Authority, Revenue Bonds, Adventist Health System/West, Series 2015A, 5.000%, 3/01/45
3/26 at 100.00
 
A
   
3,449,520
 
 
1,335
 
California Statewide Communities Development Authority, Revenue Bonds, Huntington Memorial Hospital, Refunding Series 2014B, 5.000%, 7/01/44
7/24 at 100.00
 
A
   
1,512,208
 
 
21,090
 
California Statewide Communities Development Authority, Revenue Bonds, Kaiser Permanente, Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
A+
   
24,005,693
 
 
7,190
 
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health System, Trust 2554, 18.712%, 7/01/47 – AGM Insured (IF)
7/18 at 100.00
 
AA
   
9,144,756
 
 
23,125
 
California Statewide Communities Development Authority, Revenue Bonds, Sutter Health, Series 2011A, 6.000%, 8/15/42
8/20 at 100.00
 
AA–
   
27,698,662
 
 
1,440
 
California Statewide Community Development Authority, Revenue Bonds, Children's Hospital of Los Angeles, Series 2007, 5.000%, 8/15/47
8/17 at 100.00
 
BBB+
   
1,490,702
 
     
California Statewide Community Development Authority, Revenue Bonds, Daughters of Charity Health System, Series 2005A:
             
 
13,350
 
5.500%, 7/01/24 (5)
5/16 at 100.00
 
CCC
   
13,367,222
 
 
7,405
 
5.500%, 7/01/30 (5)
5/16 at 100.00
 
CCC
   
7,404,482
 
 
150
 
5.500%, 7/01/35 (5)
5/16 at 100.00
 
CCC
   
149,246
 
 
10,000
 
5.250%, 7/01/39 (5)
5/16 at 100.00
 
CCC
   
9,950,000
 
 
3,230
 
California Statewide Community Development Authority, Revenue Bonds, Kaiser Permanente System, Series 2001C, 5.250%, 8/01/31
8/16 at 100.00
 
A+
   
3,283,941
 
 
3,385
 
California Statewide Community Development Authority, Revenue Bonds, Sherman Oaks Health System, Series 1998A, 5.000%, 8/01/22 – AMBAC Insured
No Opt. Call
 
AA–
   
3,904,394
 
     
California Statewide Community Development Authority, Revenue Bonds, Sutter Health, Series 2003A:
             
 
200
 
5.000%, 8/15/38 – AMBAC Insured
8/17 at 100.00
 
AA–
   
211,094
 
 
17,470
 
5.000%, 8/15/38 – AMBAC Insured (UB) (4)
8/17 at 100.00
 
AA–
   
18,439,061
 
 
5,000
 
California Statewide Community Development Authority, Revenue Bonds, Sutter Health, Series 2008B, 5.250%, 11/15/48
5/18 at 100.00
 
AA–
   
5,416,500
 
 
4,565
 
California Statewide Community Development Authority, Revenue Bonds, Sutter Health, Tender Option Bond Trust 3102, 19.123%, 11/15/46 (IF) (4)
11/16 at 100.00
 
AA–
   
5,117,137
 
 
8,615
 
Madera County, California, Certificates of Participation, Children's Hospital Central California, Series 2010, 5.375%, 3/15/36
3/20 at 100.00
 
AA–
   
9,643,028
 
 
6,200
 
Madera County, California, Certificates of Participation, Valley Children's Hospital Project, Series 1995, 5.750%, 3/15/28 – NPFG Insured
3/16 at 100.00
 
AA–
   
6,223,188
 
 
11,400
 
Marysville, California, Revenue Bonds, The Fremont-Rideout Health Group, Series 2011, 5.250%, 1/01/42
1/21 at 100.00
 
BBB
   
12,592,782
 
 
740
 
Oak Valley Hospital District, Stanislaus County, California, Revenue Bonds, Series 2010A, 6.500%, 11/01/29
11/20 at 100.00
 
BB
   
781,262
 
     
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009:
             
 
10,500
 
6.625%, 11/01/29
11/19 at 100.00
 
Ba1
   
11,745,720
 
 
6,885
 
6.750%, 11/01/39
11/19 at 100.00
 
Ba1
   
7,718,774
 
 
27,035
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010, 6.000%, 11/01/41
11/20 at 100.00
 
Ba1
   
28,865,540
 

48
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
$
17,225
 
Rancho Mirage Joint Powers Financing Authority, California, Revenue Bonds, Eisenhower Medical Center, Refunding Series 2007A, 5.000%, 7/01/38
7/17 at 100.00
 
Baa2
 
$
17,770,688
 
 
11,750
 
San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41
12/21 at 100.00
 
BB+
   
14,403,150
 
 
2,600
 
The Regents of the University of California, Medical Center Pooled Revenue Bonds, Series 2009E, 5.000%, 5/15/38
5/17 at 101.00
 
AA–
   
2,717,208
 
 
10,700
 
Upland, California, Certificates of Participation, San Antonio Community Hospital, Series 2011, 6.500%, 1/01/41
1/21 at 100.00
 
A–
   
12,434,791
 
 
371,615
 
Total Health Care
         
407,029,477
 
     
Housing/Multifamily – 1.6% (1.2% of Total Investments)
             
 
8,965
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45
8/20 at 100.00
 
BBB
   
9,901,394
 
     
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A:
             
 
6,540
 
5.125%, 8/15/32
8/22 at 100.00
 
BBB
   
7,235,333
 
 
3,580
 
5.500%, 8/15/47
8/22 at 100.00
 
BBB
   
4,010,567
 
 
2,980
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012B, 7.250%, 8/15/47
8/22 at 100.00
 
A1
   
3,463,922
 
     
California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A:
             
 
590
 
5.250%, 8/15/39
8/24 at 100.00
 
BBB
   
666,423
 
 
1,590
 
5.250%, 8/15/49
8/24 at 100.00
 
BBB
   
1,790,117
 
 
1,230
 
Independent Cities Finance Authority, California, Mobile Home Park Revenue Bonds, Augusta Communities Mobile Home Park, Series 2012A, 5.000%, 5/15/39
5/22 at 100.00
 
A–
   
1,327,859
 
 
25,475
 
Total Housing/Multifamily
         
28,395,615
 
     
Housing/Single Family – 1.4% (1.0% of Total Investments)
             
 
16,790
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Series 2006M, 4.625%, 8/01/26 (Alternative Minimum Tax)
5/16 at 100.00
 
A
   
16,803,768
 
 
4,870
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Series 2007G, 5.050%, 2/01/29 (Alternative Minimum Tax)
2/17 at 100.00
 
A
   
4,947,141
 
 
2,395
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Tender Option Bond Trust 3206, 9.744%, 2/01/29 (Alternative Minimum Tax) (IF)
2/17 at 100.00
 
A
   
2,429,368
 
 
24,055
 
Total Housing/Single Family
         
24,180,277
 
     
Industrials – 0.2% (0.2% of Total Investments)
             
 
4,055
 
California Pollution Control Financing Authority, Solid Waste Disposal Revenue Bonds, Republic Services Inc., Series 2002C, 5.250%, 6/01/23 (Mandatory put 12/01/17) (Alternative Minimum Tax)
No Opt. Call
 
BBB+
   
4,280,904
 
 
5,120
 
California Statewide Communities Development Authority, Revenue Bonds, EnerTech Regional Biosolids Project, Series 2007A, 5.500%, 12/01/33 (Alternative Minimum Tax) (6)
No Opt. Call
 
N/R
   
15,360
 
 
9,175
 
Total Industrials
         
4,296,264
 
     
Long-Term Care – 0.5% (0.3% of Total Investments)
             
 
7,000
 
ABAG Finance Authority for Non-Profit Corporations, California, Cal-Mortgage Insured Revenue Bonds, Channing House, Series 2010, 6.125%, 5/15/40
5/20 at 100.00
 
AA–
   
8,144,920
 
 
175
 
California Statewide Community Development Authority, Certificates of Participation, Internext Group, Series 1999, 5.375%, 4/01/17
4/16 at 100.00
 
BBB+
   
175,781
 
 
7,175
 
Total-Long Term Care
         
8,320,701
 

Nuveen Investments
 
49


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General – 35.8% (25.1% of Total Investments)
             
$
4,125
 
Alameda Unified School District, Alameda County, California, General Obligation Bonds, Series 2004A, 0.000%, 8/01/25 – AGM Insured
No Opt. Call
 
AA
 
$
3,400,650
 
 
3,000
 
Alhambra Unified School District, Los Angeles County, California, General Obligation Bonds, Refunding Series 2012A, 5.000%, 8/01/29 – AGM Insured
8/22 at 100.00
 
Aa3
   
3,650,310
 
 
2,325
 
Baldwin Park Unified School District, Los Angeles County, California, General Obligation Bonds, Election 2002 Series 2006, 0.000%, 8/01/30 – AMBAC Insured
8/16 at 50.16
 
A+
   
1,155,014
 
 
8,000
 
California State, General Obligation Bonds, Refunding Various Purpose Series 2013, 5.000%, 2/01/29
No Opt. Call
 
AA–
   
9,570,800
 
 
5,245
 
California State, General Obligation Bonds, Various Purpose Refunding Series 2012, 5.000%, 9/01/36
No Opt. Call
 
AA–
   
6,172,368
 
     
California State, General Obligation Bonds, Various Purpose Refunding Series 2014:
             
 
4,690
 
5.000%, 8/01/31
8/24 at 100.00
 
AA–
   
5,642,539
 
 
4,000
 
5.000%, 8/01/33
8/24 at 100.00
 
AA–
   
4,771,920
 
 
12,000
 
5.000%, 10/01/33
10/24 at 100.00
 
AA–
   
14,356,920
 
     
California State, General Obligation Bonds, Various Purpose Refunding Series 2015:
             
 
3,000
 
5.000%, 8/01/28
8/25 at 100.00
 
AA–
   
3,719,670
 
 
780
 
5.000%, 8/01/31
2/25 at 100.00
 
AA–
   
938,527
 
 
2,875
 
5.000%, 8/01/32
2/25 at 100.00
 
AA–
   
3,436,401
 
 
4,600
 
5.000%, 9/01/32
9/25 at 100.00
 
AA–
   
5,550,314
 
 
5,750
 
5.000%, 8/01/34
8/25 at 100.00
 
AA–
   
6,875,333
 
 
140
 
California State, General Obligation Bonds, Various Purpose Series 2000, 5.625%, 5/01/22 – FGIC Insured
5/16 at 100.00
 
Aa3
   
140,661
 
 
3,200
 
California State, General Obligation Bonds, Various Purpose Series 2008, 5.125%, 4/01/33 California State, General Obligation Bonds, Various Purpose Series 2009:
4/18 at 100.00
 
AA–
   
3,469,376
 
 
64,195
 
6.000%, 11/01/39
11/19 at 100.00
 
AA–
   
75,459,294
 
 
5,005
 
5.500%, 11/01/39
11/19 at 100.00
 
AA–
   
5,742,737
 
     
California State, General Obligation Bonds, Various Purpose Series 2010:
             
 
14,000
 
6.000%, 3/01/33
3/20 at 100.00
 
AA–
   
16,626,400
 
 
13,100
 
5.500%, 3/01/40
3/20 at 100.00
 
AA–
   
15,173,992
 
 
10,605
 
5.250%, 11/01/40
11/20 at 100.00
 
AA–
   
12,382,292
 
     
California State, General Obligation Bonds, Various Purpose Series 2011:
             
 
7,215
 
5.250%, 10/01/28
No Opt. Call
 
AA–
   
8,621,709
 
 
10,520
 
5.000%, 9/01/31
No Opt. Call
 
AA–
   
12,349,323
 
 
12,725
 
5.000%, 9/01/41
9/21 at 100.00
 
AA–
   
14,662,763
 
 
14,915
 
5.000%, 10/01/41
10/21 at 100.00
 
AA–
   
17,218,473
 
     
California State, General Obligation Bonds, Various Purpose Series 2013:
             
 
7,475
 
5.000%, 4/01/37
4/23 at 100.00
 
AA–
   
8,724,222
 
 
7,255
 
5.000%, 2/01/43
No Opt. Call
 
AA–
   
8,346,442
 
 
15,145
 
5.000%, 4/01/43
4/23 at 100.00
 
AA–
   
17,473,392
 
 
5,000
 
5.000%, 11/01/43
11/23 at 100.00
 
AA–
   
5,825,850
 
     
California State, General Obligation Bonds, Various Purpose Series 2014:
             
 
22,970
 
5.000%, 5/01/32
5/24 at 100.00
 
AA–
   
27,358,419
 
 
8,910
 
5.000%, 10/01/39
10/24 at 100.00
 
AA–
   
10,463,904
 
 
10,245
 
5.000%, 12/01/43
12/23 at 100.00
 
AA–
   
11,953,661
 
     
California State, General Obligation Bonds, Various Purpose Series 2015:
             
 
9,500
 
5.000%, 3/01/45
3/25 at 100.00
 
AA–
   
11,079,375
 
 
4,780
 
5.000%, 8/01/45
8/25 at 100.00
 
AA–
   
5,606,605
 
 
3,550
 
Centinela Valley Union High School District, Los Angeles County, California, General Obligation Bonds, Series 2002A, 5.250%, 2/01/26 – NPFG Insured
No Opt. Call
 
AA–
   
4,229,328
 
 
25,000
 
Desert Community College District, Riverside County, California, General Obligation Bonds, Election 2004 Series 2007C, 0.000%, 8/01/46 – AGM Insured
No Opt. Call
 
AA
   
5,074,500
 

50
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
     
Desert Community College District, Riverside County, California, General Obligation Bonds,
             
     
Refunding Series 2016:
             
$
1,430
 
5.000%, 8/01/33
2/26 at 100.00
 
AA–
 
$
1,738,194
 
 
9,235
 
5.000%, 8/01/36
2/26 at 100.00
 
AA–
   
11,081,723
 
 
5,150
 
Hacienda La Puente Unified School District Facilities Financing Authority, California, General Obligation Revenue Bonds, Series 2007, 5.000%,
8/01/26 – AGM Insured
No Opt. Call
 
AA
   
6,452,384
 
 
5,630
 
Lake Tahoe Unified School District, El Dorado County, California, General Obligation Bonds, Series 2010, 0.000%, 8/01/45 – AGM Insured
No Opt. Call
 
AA
   
3,404,348
 
 
15,335
 
Los Angeles Community College District, California, General Obligation Bonds, Series 2015A, 5.000%, 8/01/31
8/24 at 100.00
 
AA+
   
18,658,861
 
     
Los Angeles Unified School District, Los Angeles County, California, General Obligation Bonds, Refunding Series 2014C:
             
 
5,000
 
5.000%, 7/01/29
No Opt. Call
 
Aa2
   
6,099,500
 
 
10,000
 
5.000%, 7/01/30
No Opt. Call
 
Aa2
   
12,113,800
 
 
4,100
 
Monrovia Unified School District, Los Angeles County, California, General Obligation Bonds, Series 2001B, 0.000%, 8/01/27 – FGIC Insured
No Opt. Call
 
AA–
   
3,018,174
 
 
10,765
 
North Orange County Community College District, California, General Obligation Bonds, Election of 2002 Series 2003B, 0.000%, 8/01/27 – FGIC Insured
No Opt. Call
 
Aa1
   
7,987,307
 
 
1,815
 
Orland Joint Unified School District, Glenn and Tehama Counties, California, General Obligation Bonds, 2008 Election, Series 2012B, 0.000%,
8/01/51 – AGM Insured
8/37 at 100.00
 
AA
   
946,268
 
 
1,250
 
Oxnard School District, Ventura County, California, General Obligation Bonds, Election 2012 Series 2013B, 5.000%, 8/01/43 – AGM Insured
8/23 at 100.00
 
AA
   
1,406,363
 
 
2,575
 
Oxnard School District, Ventura County, California, General Obligation Refunding Bonds, Series 2001A, 5.750%, 8/01/30 – NPFG Insured
2/22 at 103.00
 
AA–
   
3,191,996
 
 
5,000
 
Pajaro Valley Unified School District, Santa Cruz County, California, General Obligation Bonds, Refunding Election 2012 Series 2013A, 5.000%, 8/01/43
8/23 at 100.00
 
Aa2
   
5,841,900
 
 
8,250
 
Puerto Rico, General Obligation Bonds, Public Improvement Series 2002A, 5.500%, 7/01/20 – NPFG Insured
No Opt. Call
 
AA–
   
8,609,370
 
 
28,000
 
San Bernardino Community College District, California, General Obligation Bonds, Election of 2008 Series 2009B, 0.000%, 8/01/44
No Opt. Call
 
Aa2
   
8,748,880
 
 
6,500
 
San Diego Community College District, California, General Obligation Bonds, Refunding Series 2011, 5.000%, 8/01/41
8/21 at 100.00
 
AA+
   
7,567,105
 
 
1,850
 
San Juan Capistano, California, General Obligation Bonds, Open Space Program, Tender Option Bond Trust 2015-XF0048, 17.948%, 8/01/17 (IF)
No Opt. Call
 
AAA
   
2,780,772
 
 
4,970
 
San Rafael City High School District, Marin County, California, General Obligation Bonds, Series 2004B, 0.000%, 8/01/27 – FGIC Insured
No Opt. Call
 
AA+
   
3,629,889
 
 
2,200
 
Santa Maria Joint Union High School District, Santa Barbara and San Luis Obispo Counties, California, General Obligation Bonds, Series 2003B, 5.625%, 8/01/24 – AGM Insured
No Opt. Call
 
Aa3
   
2,821,192
 
 
4,175
 
Southwestern Community College District, San Diego County, California, General Obligation Bonds, Election of 2000, Series 2004, 0.000%, 8/01/25 – FGIC Insured
No Opt. Call
 
Aa2
   
3,297,499
 
 
5,245
 
Southwestern Community College District, San Diego County, California, General Obligation Bonds, Election of 2008, Series 2011C, 5.250%, 8/01/36
8/21 at 100.00
 
Aa2
   
6,132,139
 
 
26,000
 
Sylvan Union School District, Stanislaus County, California, General Obligation Bonds, Election of 2006, Series 2010, 0.000%, 8/01/49 – AGM Insured
No Opt. Call
 
AA
   
16,983,980
 
     
Washington Township Health Care District, Alameda County, California, General Obligation Bonds, 2004 Election Series 2013B:
             
 
4,740
 
5.500%, 8/01/38
8/24 at 100.00
 
Aa3
   
5,745,686
 
 
4,830
 
5.500%, 8/01/40
8/24 at 100.00
 
Aa3
   
5,814,354
 

Nuveen Investments
 
51


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
     
Washington Township Health Care District, Alameda County, California, General Obligation Bonds, 2012 Election Series 2013A:
             
$
2,820
 
5.500%, 8/01/38
8/24 at 100.00
 
Aa3
 
$
3,418,319
 
 
1,750
 
5.500%, 8/01/40
8/24 at 100.00
 
Aa3
   
2,106,650
 
 
2,015
 
Wiseburn School District, Los Angeles County, California, General Obligation Bonds, Series 2012C, 5.000%, 8/01/26
8/22 at 100.00
 
Aa3
   
2,319,023
 
 
140,160
 
Yosemite Community College District, California, General Obligation Bonds, Capital Appreciation, Election 2004, Series 2010D, 0.000%, 8/01/42
No Opt. Call
 
Aa2
   
85,312,586
 
 
2,400
 
Yuba Community College District, California, General Obligation Bonds, Election 2006 Series 2011C, 5.250%, 8/01/47
8/21 at 100.00
 
Aa2
   
2,814,048
 
 
659,030
 
Total Tax Obligation/General
         
617,265,794
 
     
Tax Obligation/Limited – 30.9% (21.7% of Total Investments)
             
 
1,655
 
Bell Community Housing Authority, California, Lease Revenue Bonds, Series 2005, 5.000%, 10/01/36 – AMBAC Insured
5/16 at 100.00
 
N/R
   
1,591,150
 
 
3,370
 
Bell Community Redevelopment Agency, California, Tax Allocation Bonds, Bell Project Area, Series 2003, 5.500%, 10/01/23 – RAAI Insured
5/16 at 100.00
 
AA
   
3,374,381
 
     
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Series 2013G:
             
 
5,000
 
5.250%, 9/01/30
9/23 at 100.00
 
A+
   
6,084,500
 
 
11,000
 
5.250%, 9/01/32
9/23 at 100.00
 
A+
   
13,208,470
 
 
7,000
 
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2014A, 5.000%, 9/01/39
9/24 at 100.00
 
A+
   
8,169,910
 
 
17,395
 
California State Public Works Board, Lease Revenue Bonds, Judicial Council of California, New Stockton Courthouse, Series 2014B, 5.000%, 10/01/39
10/24 at 100.00
 
A+
   
20,327,101
 
 
1,000
 
California State Public Works Board, Lease Revenue Bonds, Judicial Council of California, Various Projects Series 2013A, 5.000%, 3/01/30
No Opt. Call
 
A+
   
1,181,940
 
 
1,000
 
California State Public Works Board, Lease Revenue Bonds, Judicial Council of California, Yuba City Courthouse, Series 2013D, 5.000%, 6/01/32
6/23 at 100.00
 
A+
   
1,171,430
 
 
10,650
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009G-1, 5.750%, 10/01/30
10/19 at 100.00
 
A+
   
12,436,005
 
 
6,860
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009-I, 6.375%, 11/01/34
11/19 at 100.00
 
A+
   
8,227,267
 
 
2,650
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2012A, 5.000%, 4/01/33
No Opt. Call
 
A+
   
3,075,537
 
 
9,950
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2013I, 5.000%, 11/01/38
11/23 at 100.00
 
A+
   
11,488,668
 
 
9,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2014E, 5.000%, 9/01/39
9/24 at 100.00
 
A+
   
10,504,170
 
 
2,905
 
Carson Redevelopment Agency, California, Tax Allocation Bonds, Redevelopment Project Area 1, Series 2009A, 7.000%, 10/01/36
10/19 at 100.00
 
A–
   
3,391,791
 
 
3,205
 
Chino Redevelopment Agency, California, Merged Chino Redevelopment Project Area Tax Allocation Bonds, Series 2006, 5.000%, 9/01/38 – AMBAC Insured
9/16 at 101.00
 
A
   
3,295,958
 
     
Commerce Community Development Commission, California, Tax Allocation Bonds, Merged Area Development Projects 2 & 3, Refunding Series 1998A:
             
 
470
 
5.650%, 8/01/18
8/16 at 100.00
 
N/R
   
471,227
 
 
2,765
 
5.700%, 8/01/28
8/16 at 100.00
 
N/R
   
2,768,705
 
 
4,480
 
Commerce Joint Power Financing Authority, California, Tax Allocation Bonds, Redevelopment Projects 2 & 3, Refunding Series 2003A, 5.000%,
8/01/28 – RAAI Insured
4/16 at 100.00
 
AA
   
4,488,064
 
 
4,250
 
Coronado Community Development Agency, California, Tax Allocation Bonds, Community Development Project, Series 2005, 5.000%, 9/01/30 – AMBAC Insured
5/16 at 100.00
 
A+
   
4,265,768
 

52
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
1,595
 
Fontana Public Financing Authority, California, Tax Allocation Revenue Bonds, North Fontana Redevelopment Project, Series 2003A, 5.375%, 9/01/25 – AMBAC Insured
5/16 at 100.00
 
A+
 
$
1,601,747
 
 
6,655
 
Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27
10/16 at 100.00
 
A
   
6,684,215
 
 
1,555
 
Fontana, California, Special Tax Bonds, Community Facilities District 2 Heritage Village, Refunding Series 1998A, 5.250%, 9/01/17 – NPFG Insured
3/16 at 100.00
 
AA–
   
1,595,601
 
 
1,000
 
Fullerton Community Facilities District 1, California, Special Tax Bonds, Amerige Heights, Refunding Series 2012, 5.000%, 9/01/32
9/22 at 100.00
 
A–
   
1,115,530
 
 
1,000
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2013A, 5.000%, 6/01/30
6/23 at 100.00
 
A+
   
1,168,230
 
 
75,500
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2015A, 5.000%, 6/01/45
6/25 at 100.00
 
A+
   
86,569,050
 
     
Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D:
             
 
2,500
 
5.000%, 11/15/28
11/25 at 100.00
 
A
   
2,941,475
 
 
2,000
 
5.000%, 11/15/32
11/25 at 100.00
 
A
   
2,298,360
 
     
Hesperia Community Redevelopment Agency, California, Tax Allocation Bonds, Series 2005A:
             
 
1,750
 
5.000%, 9/01/25 – SYNCORA GTY Insured
5/16 at 100.00
 
BBB
   
1,752,678
 
 
6,690
 
5.000%, 9/01/35 – SYNCORA GTY Insured
5/16 at 100.00
 
BBB
   
6,695,419
 
 
1,500
 
Hesperia Unified School District, San Bernardino County, California, Certificates of Participation, Capital Improvement, Series 2007, 5.000%, 2/01/41 – AMBAC Insured
2/17 at 100.00
 
A
   
1,549,320
 
 
2,500
 
Hesperia Unified School District, San Bernardino County, California, Certificates of Participation, Series 2013A, 5.000%, 2/01/38 – BAM Insured
2/23 at 100.00
 
AA
   
2,752,900
 
 
4,500
 
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Refunding Series 1998A, 5.250%, 5/01/23 – AMBAC Insured
No Opt. Call
 
N/R
   
4,989,285
 
     
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Subordinate Lien Series 2007A-1:
             
 
1,460
 
5.000%, 5/01/23 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
1,502,895
 
 
2,435
 
5.000%, 5/01/24 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
2,501,573
 
 
2,075
 
5.000%, 5/01/25 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
2,127,539
 
     
Irvine Unified School District, California, Special Tax Bonds, Community Facilities District Series 2006A:
             
 
1,475
 
5.000%, 9/01/26
9/16 at 100.00
 
N/R
   
1,500,621
 
 
3,395
 
5.125%, 9/01/36
9/16 at 100.00
 
N/R
   
3,443,956
 
     
Jurupa Public Financing Authority, California, Special Tax Revenue Bonds, Series 2014A:
             
 
530
 
5.000%, 9/01/29
9/24 at 100.00
 
A–
   
629,762
 
 
1,900
 
5.000%, 9/01/30
9/24 at 100.00
 
A–
   
2,245,420
 
 
1,220
 
5.000%, 9/01/31
9/24 at 100.00
 
A–
   
1,434,000
 
 
1,955
 
Jurupa Public Financing Authority, California, Special Tax Revenue Bonds, Series 2015A, 5.000%, 9/01/43
9/25 at 100.00
 
BBB+
   
2,165,378
 
 
675
 
Lammersville School District, San Joaquin County, California, Special Tax Bonds, Community Facilities District 2002 Mountain House, Series 2006, 5.125%, 9/01/35
9/16 at 100.00
 
N/R
   
683,735
 
 
12,820
 
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester Social Services Project, Series 2005, 5.000%,
9/01/37 – AMBAC Insured
5/16 at 100.00
 
A1
   
12,845,255
 
 
5,080
 
Los Angeles County Public Works Financing Authority, California, Lease Revenue Bonds, Multiple Capital Facilities Project II, Series 2012, 5.000%, 8/01/42
No Opt. Call
 
AA
   
5,837,784
 
 
1,625
 
Lynwood Redevelopment Agency, California, Project A Revenue Bonds, Subordinate Lien Series 2011A, 6.750%, 9/01/26
9/21 at 100.00
 
A–
   
2,044,169
 
 
1,900
 
Modesto, California, Special Tax Bonds, Community Facilities District 2004-1 Village One 2, Refunding Series 2014, 5.000%, 9/01/31
9/24 at 100.00
 
BBB–
   
2,184,943
 
 
5,720
 
Murrieta Redevelopment Agency, California, Tax Allocation Bonds, Series 2007A, 5.000%, 8/01/37 – NPFG Insured
8/17 at 100.00
 
AA–
   
6,005,371
 

Nuveen Investments
 
53


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
     
National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011:
             
$
3,250
 
6.500%, 8/01/24
8/21 at 100.00
 
A
 
$
4,112,680
 
 
3,000
 
7.000%, 8/01/32
8/21 at 100.00
 
A
   
3,762,270
 
 
1,000
 
Norco Redevelopment Agency, California, Tax Allocation Bonds, Project Area 1, Series 2009, 7.000%, 3/01/34
3/18 at 100.00
 
A+
   
1,107,330
 
     
Norco Redevelopment Agency, California, Tax Allocation Refunding Bonds, Project Area 1, Refunding Series 2010:
             
 
3,775
 
5.875%, 3/01/32
3/20 at 100.00
 
A+
   
4,394,780
 
 
1,500
 
6.000%, 3/01/36
3/20 at 100.00
 
A+
   
1,755,420
 
 
1,210
 
Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40
9/21 at 100.00
 
BBB+
   
1,467,186
 
 
695
 
Ontario Redevelopment Financing Authority, California, Lease Revenue Bonds, Capital Projects, Series 2001, 5.250%, 8/01/18 – AMBAC Insured
5/16 at 100.00
 
AA–
   
698,037
 
 
29,800
 
Ontario Redevelopment Financing Authority, San Bernardino County, California, Revenue Refunding Bonds, Redevelopment Project 1, Series 1995, 7.400%, 8/01/25 – NPFG Insured
No Opt. Call
 
AA–
   
37,326,884
 
 
1,180
 
Ontario, California, Special Tax Bonds, Community Facilities District 5, Freeway Interchange Project, Series 1997, 6.375%, 9/01/17
3/16 at 100.00
 
N/R
   
1,208,898
 
 
1,000
 
Palmdale Community Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project Areas, Series 2004, 5.000%,
12/01/24 – AMBAC Insured
5/16 at 100.00
 
A–
   
1,003,910
 
 
1,360
 
Patterson Public Finance Authority, California, Revenue Bonds, Community Facilities District 2001-1, Subordinate Lien Series 2013B, 5.875%, 9/01/39
9/23 at 100.00
 
N/R
   
1,505,194
 
     
Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A:
             
 
8,505
 
5.250%, 9/01/30
9/23 at 100.00
 
N/R
   
9,428,643
 
 
7,635
 
5.750%, 9/01/39
9/23 at 100.00
 
N/R
   
8,506,154
 
 
8,990
 
Pico Rivera Water Authority, California, Revenue Bonds, Series 2001A, 6.250%, 12/01/32
6/16 at 100.00
 
N/R
   
9,009,778
 
 
8,750
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Series 1999, 0.000%,
8/01/23 – AMBAC Insured
No Opt. Call
 
A+
   
6,855,363
 
 
13,655
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2007A, 0.000%, 8/01/45 – NPFG Insured
No Opt. Call
 
AA–
   
2,106,284
 
 
3,920
 
Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30
9/21 at 100.00
 
BBB+
   
4,505,491
 
     
Redding Redevelopment Agency, California, Tax Allocation Bonds, Canby-Hilltop-Cypress Area Project, Series 2003A:
             
 
1,500
 
5.000%, 9/01/17 – NPFG Insured
5/16 at 100.00
 
AA–
   
1,506,180
 
 
1,500
 
5.000%, 9/01/20 – NPFG Insured
5/16 at 100.00
 
AA–
   
1,506,000
 
 
3,375
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Interstate 215 Corridor Redevelopment Project Area, Series 2010E, 6.500%, 10/01/40
10/20 at 100.00
 
A–
   
3,963,533
 
 
705
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Jurupa Valley Project Area, Series 2011B, 6.500%, 10/01/25
10/21 at 100.00
 
A
   
879,882
 
 
2,885
 
Riverside County Redevelopment Agency, California, Tax Allocation Housing Bonds, Series 2010A, 6.000%, 10/01/39
10/20 at 100.00
 
A
   
3,332,637
 
     
Riverside County, California, Special Tax Bonds, Community Facilities District 05-8 Scott Road, Series 2013:
             
 
555
 
5.000%, 9/01/30
9/22 at 100.00
 
N/R
   
616,117
 
 
710
 
5.000%, 9/01/42
9/22 at 100.00
 
N/R
   
769,910
 
 
25
 
Riverside Public Financing Authority, California, Revenue Bonds, Multiple Project Loans, Series 1991A, 8.000%, 2/01/18
8/16 at 100.00
 
N/R
   
25,557
 
 
3,540
 
Rohnert Park Community Development Commission, California, Tax Allocation Bonds, Redevelopment Project Series 2007R, 5.000%, 8/01/37 – FGIC Insured
8/17 at 100.00
 
AA–
   
3,716,611
 
 
2,645
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Fiddyment Ranch, Series 2005, 5.050%, 9/01/30
9/16 at 100.00
 
N/R
   
2,668,355
 

54
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
385
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Westpark, Refunding Series 2015, 5.000%, 9/01/31
9/25 at 100.00
 
N/R
 
$
432,236
 
     
Sacramento City Financing Authority, California, Lease Revenue Refunding Bonds, Series 1993A:
             
 
7,690
 
5.400%, 11/01/20 – AMBAC Insured
No Opt. Call
 
A+
   
8,471,919
 
 
855
 
5.400%, 11/01/20 – NPFG Insured
No Opt. Call
 
AA–
   
944,390
 
 
4,250
 
Sacramento City Financing Authority, California, Tax Allocation Revenue Bonds, Merged Downtown Sacramento and Oak Park Projects, Series 2005A, 0.000%, 12/01/31 – FGIC Insured
No Opt. Call
 
AA–
   
2,257,855
 
 
475
 
San Clemente, California, Special Tax Revenue Bonds, Community Facilities District 2006-1 Marblehead Coastal, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
539,733
 
 
2,135
 
San Diego County Regional Transportation Commission, California, Sales Tax Revenue Bonds, Refunding Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
AAA
   
2,443,764
 
 
10,000
 
San Diego County Regional Transportation Commission, California, Sales Tax Revenue Bonds, Series 2014A, 5.000%, 4/01/34
4/24 at 100.00
 
AAA
   
11,868,700
 
 
1,535
 
San Francisco City and County Redevelopment Agency Successor Agency, California, Special Tax Bonds, Community Facilities District 7, Hunters Point Shipyard Phase One Improvements, Refunding Series 2014, 5.000%, 8/01/39
No Opt. Call
 
N/R
   
1,677,555
 
 
2,000
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2009C, 6.500%, 8/01/39
8/19 at 100.00
 
A–
   
2,289,460
 
 
575
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41
2/21 at 100.00
 
A–
   
694,836
 
     
San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D:
             
 
575
 
7.000%, 8/01/33
2/21 at 100.00
 
BBB+
   
694,583
 
 
715
 
7.000%, 8/01/41
2/21 at 100.00
 
BBB+
   
863,699
 
 
255
 
San Francisco, California, Community Facilities District 6, Mission Bay South Public Improvements, Special Tax Refunding Bonds, Series 2013A, 5.000%, 8/01/33
8/22 at 100.00
 
N/R
   
284,664
 
 
9,435
 
San Jose Financing Authority, California, Lease Revenue Refunding Bonds, Convention Center Project, Series 2001F, 5.000%, 9/01/20 – NPFG Insured
3/16 at 100.00
 
AA
   
9,474,721
 
 
2,750
 
San Jose Redevelopment Agency, California, Housing Set-Aside Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2010A-1, 5.500%, 8/01/35
8/20 at 100.00
 
A
   
3,116,713
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Refunding Series 2006D:
             
 
695
 
5.000%, 8/01/19 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
736,881
 
 
910
 
5.000%, 8/01/21 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
962,962
 
 
1,365
 
5.000%, 8/01/23 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
1,438,847
 
 
2,765
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2003, 4.900%, 8/01/33 – FGIC Insured
5/16 at 100.00
 
AA–
   
2,810,374
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2004A:
             
 
370
 
4.360%, 8/01/16 – NPFG Insured
5/16 at 100.00
 
AA–
   
371,306
 
 
700
 
4.440%, 8/01/17 – NPFG Insured
5/16 at 100.00
 
AA–
   
702,478
 
 
1,000
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2005A, 5.000%, 8/01/27 – NPFG Insured
5/16 at 100.00
 
AA–
   
1,004,000
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2006C:
             
 
2,200
 
5.000%, 8/01/24 – NPFG Insured
8/17 at 100.00
 
AA–
   
2,336,444
 
 
4,710
 
5.000%, 8/01/25 – NPFG Insured
8/17 at 100.00
 
AA–
   
4,997,969
 
 
1,825
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2008B, 6.250%, 8/01/20
8/18 at 100.00
 
BBB+
   
2,027,411
 
 
7,860
 
Santa Ana Community Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series 2011A, 6.750%, 9/01/28
3/21 at 100.00
 
AA–
   
9,641,941
 
 
2,770
 
Santa Ana Community Redevelopment Agency, Orange County, California, Tax Allocation Refunding Bonds, South Main Street Redevelopment, Series 2003B, 5.000%, 9/01/19 – FGIC Insured
5/16 at 100.00
 
AA–
   
2,781,274
 

Nuveen Investments
 
55


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
     
Santa Clara Redevelopment Agency, California, Tax Allocation Bonds, Bayshore North Project, Series 2003:
             
$
4,625
 
5.000%, 6/01/17 – NPFG Insured
6/16 at 100.00
 
AA–
 
$
4,679,298
 
 
2,695
 
5.000%, 6/01/20 – NPFG Insured
6/16 at 100.00
 
AA–
   
2,726,639
 
 
1,500
 
5.000%, 6/01/21 – NPFG Insured
6/16 at 100.00
 
AA–
   
1,517,610
 
 
2,840
 
5.000%, 6/01/23 – NPFG Insured
6/16 at 100.00
 
AA–
   
2,873,342
 
 
960
 
Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26
4/21 at 100.00
 
N/R
   
1,145,568
 
     
Temecula Public Financing Authority, California, Special Tax Bonds, Community Facilities District 03-02 Roripaugh, Series 2006:
             
 
4,360
 
5.450%, 9/01/26
9/16 at 100.00
 
N/R
   
4,369,679
 
 
2,315
 
5.500%, 9/01/36
9/16 at 100.00
 
N/R
   
2,317,847
 
 
1,310
 
Temecula Redevelopment Agency, California, Redevelopment Project 1 Tax Allocation Housing Bonds Series 2011A, 7.000%, 8/01/39
8/21 at 100.00
 
BBB+
   
1,636,753
 
 
1,350
 
Temecula Valley Unified School District, Riverside County, California, Special Tax Bonds, Community Facilities District 2002-1 Improvement Area 1, Series 2012, 5.000%, 9/01/33
9/22 at 100.00
 
N/R
   
1,471,001
 
 
1,200
 
Turlock Public Financing Authority, California, Tax Allocation Revenue Bonds, Series 2011, 7.500%, 9/01/39
3/21 at 100.00
 
A–
   
1,496,352
 
 
1,000
 
Union City Community Redevelopment Agency, California, Tax Allocation Revenue Bonds, Redevelopment Project, Subordinate Lien Series 2011, 6.875%, 12/01/33
12/21 at 100.00
 
A+
   
1,246,640
 
 
6,870
 
Vernon Redevelopment Agency, California, Tax Allocation Bonds, Industrial Redevelopment Project, Series 2005, 5.000%, 9/01/35 – NPFG Insured
5/16 at 100.00
 
AA–
   
6,875,908
 
 
1,620
 
Virgin Islands Public Finance Authority, Gross Receipts Taxes Loan Note, Refunding Series 2012A, 5.000%, 10/01/32 – AGM Insured
No Opt. Call
 
AA
   
1,788,707
 
 
6,530
 
Washington Unified School District, Yolo County, California, Certificates of Participation, Series 2007, 5.125%, 8/01/37 – AMBAC Insured
8/17 at 100.00
 
A
   
6,855,847
 
 
5,000
 
Westminster Redevelopment Agency, California, Tax Allocation Bonds, Commercial Redevelopment Project 1, Police Facility Subordinate Series 2009, 6.250%, 11/01/39
11/19 at 100.00
 
AA
   
5,841,400
 
 
1,280
 
William S Hart School Financing Authority, California, Refunding Revenue Bonds, Series 2013, 5.000%, 9/01/34
9/23 at 100.00
 
A–
   
1,435,366
 
     
Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A:
             
 
865
 
6.000%, 9/01/26
9/21 at 100.00
 
A–
   
1,057,315
 
 
810
 
6.500%, 9/01/32
9/21 at 100.00
 
A–
   
986,386
 
 
492,210
 
Total Tax Obligation/Limited
         
532,315,710
 
     
Transportation – 8.6% (6.0% of Total Investments)
             
 
1,715
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2012F-1, 5.000%, 4/01/30
No Opt. Call
 
AA
   
2,038,055
 
 
15,060
 
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Junior Lien Series 2013C, 6.500%, 1/15/43
1/24 at 100.00
 
BB+
   
17,969,140
 
     
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A:
             
 
33,235
 
5.750%, 1/15/46
1/24 at 100.00
 
BBB–
   
38,917,188
 
 
33,235
 
6.000%, 1/15/53
1/24 at 100.00
 
BBB–
   
39,111,280
 
 
1,200
 
Long Beach, California, Harbor Revenue Bonds, Series 2015D, 5.000%, 5/15/42
5/25 at 100.00
 
AA
   
1,410,864
 
 
1,250
 
Los Angeles Department of Airports, California, Revenue Bonds, Los Angeles International Airport, Senior Lien Series 2010D, 5.000%, 5/15/40 (UB) (4)
5/20 at 100.00
 
AA
   
1,417,163
 

56
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Transportation (continued)
             
     
Los Angeles Department of Airports, California, Revenue Bonds, Los Angeles International Airport, Senior Lien Series 2015D:
             
$
865
 
5.000%, 5/15/31 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
 
$
1,020,069
 
 
3,805
 
5.000%, 5/15/33 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
4,426,623
 
 
1,000
 
5.000%, 5/15/36 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
1,151,190
 
 
11,335
 
5.000%, 5/15/41 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
12,902,517
 
 
1,000
 
Los Angeles Harbors Department, California, Revenue Bonds, Refunding Series 2014B, 5.000%, 8/01/44
8/24 at 100.00
 
AA
   
1,153,480
 
     
Los Angeles Harbors Department, California, Revenue Bonds, Series 2014C:
             
 
1,575
 
5.000%, 8/01/35
8/24 at 100.00
 
AA
   
1,854,011
 
 
2,000
 
5.000%, 8/01/44
8/24 at 100.00
 
AA
   
2,306,960
 
 
120
 
Palm Springs Financing Authority, California, Palm Springs International Airport Revenue Bonds, Series 2006, 5.450%, 7/01/20 (Alternative Minimum Tax)
7/16 at 100.00
 
N/R
   
120,492
 
     
Port of Oakland, California, Revenue Bonds, Refunding Series 2012P:
             
 
1,000
 
5.000%, 5/01/29 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
1,153,060
 
 
6,340
 
5.000%, 5/01/31 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
7,225,571
 
 
1,180
 
Sacramento Regional Transit District, California, Farebox Revenue Bonds, Refunding Series 2012, 5.000%, 3/01/42
No Opt. Call
 
A–
   
1,323,488
 
 
4,550
 
San Diego County Regional Airport Authority, California, Airport Revenue Bonds, Senior Series 2013B, 5.000%, 7/01/43 (Alternative Minimum Tax)
7/23 at 100.00
 
A+
   
5,040,945
 
 
4,500
 
San Francisco Airports Commission, California, Revenue Bonds, San Francisco International Airport, Second Series 2014B, 5.000%, 5/01/44
5/24 at 100.00
 
A+
   
5,140,800
 
 
2,465
 
San Francisco Airports Commission, California, Special Facilities Lease Revenue Bonds, San Francisco International Airport, SFO Fuel Company LLC, Series 2000A, 6.125%, 1/01/27 – AGM Insured (Alternative Minimum Tax)
7/16 at 100.00
 
AA
   
2,476,807
 
 
127,430
 
Total Transportation
         
148,159,703
 
     
U.S. Guaranteed – 13.7% (9.6% of Total Investments) (7)
             
 
11,100
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2006F, 5.000%, 4/01/31 (Pre-refunded 4/01/16) (UB)
4/16 at 100.00
 
AA (7)
   
11,148,397
 
 
5,540
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Tender Option Bond Trust 3211, 13.558%, 10/01/32 (Pre-refunded 4/01/18) (IF)
4/18 at 100.00
 
AA (7)
   
7,544,317
 
 
10
 
California Department of Water Resources, Water System Revenue Bonds, Central Valley Project, Series 2002X, 5.500%, 12/01/17 – FGIC Insured (ETM)
No Opt. Call
 
AAA
   
10,869
 
 
2,000
 
California Educational Facilities Authority, Revenue Bonds, Occidental College, Series 2005A, 5.000%, 10/01/27 (Pre-refunded 4/01/16) – NPFG Insured
4/16 at 100.00
 
Aa3 (7)
   
2,008,680
 
 
5,360
 
California Infrastructure and Economic Development Bank, First Lien Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2003A, 5.000%,
7/01/23 – AGM Insured (ETM)
No Opt. Call
 
AAA
   
6,714,097
 
 
1,000
 
California Municipal Finance Authority, Revenue Bonds, Harbor Regional Center Project, Series 2009, 8.000%, 11/01/29 (Pre-refunded 11/01/19)
11/19 at 100.00
 
A3 (7)
   
1,251,820
 
     
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007:
             
 
2,960
 
5.250%, 2/01/27 (Pre-refunded 2/01/17)
2/17 at 100.00
 
N/R (7)
   
3,091,631
 
 
865
 
5.250%, 2/01/46 (Pre-refunded 2/01/17)
2/17 at 100.00
 
N/R (7)
   
903,467
 
 
3,025
 
California Pollution Control Financing Authority, Solid Waste Disposal Revenue Bonds, North County Recycling Center, Series 1991A, 6.750%, 7/01/17 (ETM)
5/16 at 100.00
 
Aaa
   
3,091,248
 
 
21,235
 
California State Public Works Board, Lease Revenue Bonds, University of California Regents, Tender Option Bond Trust 1065, 9.404%, 3/01/33 (Pre-refunded 3/01//18) (IF)
3/18 at 100.00
 
AAA
   
24,974,484
 
 
11,360
 
California Statewide Communities Development Authority, Revenue Bonds, ValleyCare Health System, Series 2007A, 5.125%, 7/15/31 (Pre-refunded 7/15/17)
7/17 at 100.00
 
AA+ (7)
   
12,092,379
 

Nuveen Investments
 
57


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (7) (continued)
             
$
2,010
 
California Statewide Community Development Authority, Revenue Bonds, Methodist Hospital Project, Series 2009, 6.750%, 2/01/38 (Pre-refunded 8/01/19)
8/19 at 100.00
 
N/R (7)
 
$
2,417,588
 
 
6,000
 
Coachella Valley Unified School District, Riverside County, California, Certificates of Participation, Series 2007, 5.000%, 9/01/31 (Pre-refunded 9/01/16) – AMBAC Insured
9/16 at 100.00
 
N/R (7)
   
6,145,140
 
 
5,425
 
Coast Community College District, Orange County, California, General Obligation Bonds, Series 2006C, 5.000%, 8/01/31 (Pre-refunded 8/01/18) – AGM Insured
8/18 at 100.00
 
Aa1 (7)
   
5,991,641
 
 
16,300
 
Contra Costa County, California, GNMA Mortgage-Backed Securities Program Home Mortgage Revenue Bonds, Series 1988, 8.250%, 6/01/21 (Alternative Minimum Tax) (ETM)
No Opt. Call
 
Aaa
   
19,381,352
 
 
5,000
 
El Centro Financing Authority, California, Water Revenue Bonds, Series 2006A, 4.750%, 10/01/31 (Pre-refunded 10/01/16) – AGM Insured
10/16 at 100.00
 
AA (7)
   
5,132,750
 
 
3,610
 
Hartnell Community College District, California, General Obligation Bonds, Series 2006B, 5.000%, 6/01/29 (Pre-refunded 6/01/16) – AGM Insured
6/16 at 100.00
 
AA (7)
   
3,654,836
 
     
Hawthorne Community Redevelopment Agency, California, Tax Allocation Bonds, Project Area 2, Series 2006:
             
 
1,770
 
5.000%, 9/01/26 (Pre-refunded 9/01/16) – SYNCORA GTY Insured
9/16 at 100.00
 
N/R (7)
   
1,812,551
 
 
3,865
 
5.250%, 9/01/36 (Pre-refunded 9/01/16) – SYNCORA GTY Insured
9/16 at 100.00
 
N/R (7)
   
3,962,785
 
 
3,135
 
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 (Pre-refunded 4/01/16) – NPFG Insured
4/16 at 100.00
 
AA (7)
   
3,148,637
 
 
320
 
Independent Cities Lease Finance Authority, California, Mobile Home Park Revenue Bonds, San Juan Mobile Estates, Series 2006B, 5.850%, 5/15/41 (Pre-refunded 5/15/16)
5/16 at 100.00
 
N/R (7)
   
323,846
 
 
1,000
 
Lindsay Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2007, 5.000%, 8/01/37 (Pre-refunded 8/01/17) – RAAI Insured
8/17 at 100.00
 
N/R (7)
   
1,064,570
 
 
13,670
 
Loma Linda, California, Hospital Revenue Bonds, Loma Linda University Medical Center, Series 2008A, 8.250%, 12/01/38 (Pre-refunded 12/01/17)
12/17 at 100.00
 
BB+ (7)
   
15,506,154
 
 
5,170
 
Newport Beach, California, Revenue Bonds, Hoag Memorial Hospital Presbyterian, Series 2011A, 6.000%, 12/01/40 (Pre-refunded 12/01/21)
12/21 at 100.00
 
N/R (7)
   
6,589,475
 
 
3,380
 
Orange County Sanitation District, California, Certificates of Participation, Tender Option Bond Trust 11738, 18.266%, 8/01/29 (Pre-refunded 2/01/19) (IF)
2/19 at 100.00
 
AAA
   
4,884,032
 
 
1,510
 
Orange County Sanitation District, California, Certificates of Participation, Tender Option Bond Trust 3020, 18.111%, 2/01/35 (Pre-refunded 2/01/19) (IF) (4)
2/19 at 100.00
 
AAA
   
2,181,950
 
 
5,840
 
Orange County Water District, California, Revenue Certificates of Participation, Series 1999A, 5.375%, 8/15/29 (ETM)
No Opt. Call
 
N/R (7)
   
7,622,485
 
 
905
 
Orange County Water District, California, Revenue Certificates of Participation, Series 2003B, 5.000%, 8/15/34 – NPFG Insured (ETM)
No Opt. Call
 
AAA
   
1,167,767
 
     
Panama-Buena Vista Union School District, California, Certificates of Participation, School Construction Project, Series 2006:
             
 
1,065
 
5.000%, 9/01/22 (Pre-refunded 9/01/16) – NPFG Insured
9/16 at 100.00
 
AA– (7)
   
1,090,762
 
 
1,120
 
5.000%, 9/01/23 (Pre-refunded 9/01/16) – NPFG Insured
9/16 at 100.00
 
AA– (7)
   
1,147,093
 
 
1,170
 
5.000%, 9/01/24 (Pre-refunded 9/01/16) – NPFG Insured
9/16 at 100.00
 
AA– (7)
   
1,198,302
 
 
15,070
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Refunding Series 2008A, 6.500%, 9/01/28 (Pre-refunded 9/01/18)
9/18 at 100.00
 
BBB– (7)
   
17,237,669
 
 
2,760
 
Pomona, California, GNMA/FHLMC Collateralized Single Family Mortgage Revenue Refunding Bonds, Series 1990B, 7.500%, 8/01/23 (ETM)
No Opt. Call
 
Aaa
   
3,449,972
 
 
1,460
 
Rohnert Park Community Development Commission, California, Tax Allocation Bonds, Redevelopment Project Series 2007R, 5.000%, 8/01/37 – FGIC Insured (ETM)
8/17 at 100.00
 
AA– (7)
   
1,525,218
 
 
8,625
 
Sacramento City Financing Authority, California, Capital Improvement Revenue Bonds, 300 Richards Boulevard Building Acquisition, Series 2006C, 5.000%, 12/01/36 (Pre-refunded 12/01/16) – AMBAC Insured
12/16 at 100.00
 
A+ (7)
   
8,930,066
 

58
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (7) (continued)
             
$
2,000
 
Sacramento County Sanitation Districts Financing Authority, California, Revenue Bonds, Series 2006, 5.000%, 12/01/31 (Pre-refunded 6/01/16) – FGIC Insured
6/16 at 100.00
 
AA (7)
 
$
2,024,840
 
     
San Diego Public Facilities Financing Authority, California, Sewerage Revenue Bonds, Refunding Series 2010A:
             
 
11,320
 
5.250%, 5/15/25 (Pre-refunded 5/15/20)
5/20 at 100.00
 
AA+ (7)
   
13,387,711
 
 
11,000
 
5.250%, 5/15/26 (Pre-refunded 5/15/20)
5/20 at 100.00
 
AA+ (7)
   
13,009,260
 
 
2,600
 
San Mateo Union High School District, San Mateo County, California, Certificates of Participation, Phase 1, Series 2007A, 5.000%, 12/15/30 (Pre-refunded 12/15/17) – AMBAC Insured
12/17 at 100.00
 
N/R (7)
   
2,806,206
 
 
5,500
 
Santa Clara County Financing Authority, California, Insured Revenue Bonds, El Camino Hospital, Series 2007A, 5.750%, 2/01/41
(Pre-refunded 8/01/17) – AMBAC Insured
8/17 at 100.00
 
A+ (7)
   
5,910,300
 
 
207,055
 
Total U.S. Guaranteed
         
235,536,347
 
     
Utilities – 3.0% (2.1% of Total Investments)
             
 
5,735
 
California Statewide Communities Development Authority, Certificates of Participation, Rio Bravo Fresno Project, Refunding Series 1999A, 6.500%, 12/01/18
6/16 at 100.00
 
N/R
   
5,735,516
 
     
Long Beach Bond Finance Authority, California, Natural Gas Purchase Revenue Bonds, Series 2007A:
             
 
7,970
 
5.000%, 11/15/35
No Opt. Call
 
A
   
9,361,164
 
 
7,610
 
5.500%, 11/15/37
No Opt. Call
 
A
   
9,575,663
 
 
5,230
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2012B, 5.000%, 7/01/43
7/22 at 100.00
 
AA–
   
6,043,736
 
 
4,865
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2013B, 5.000%, 7/01/28
7/23 at 100.00
 
AA–
   
5,941,916
 
 
4,000
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2014B, 5.000%, 7/01/43
1/24 at 100.00
 
AA–
   
4,636,720
 
 
3,000
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Tender Option Bond Trust 2015-XF2047, 18.109%, 7/01/20 (IF) (4)
No Opt. Call
 
AA–
   
4,867,080
 
 
2,500
 
Sacramento Municipal Utility District, California, Electric Revenue Bonds, Tender Option Bond Trust 1186, 17.519%, 8/15/41 (IF) (4)
8/23 at 100.00
 
AA–
   
4,074,000
 
 
1,565
 
Southern California Public Power Authority, California, Revenue Bonds, Apex Power Project Series 2014A, 5.000%, 7/01/35
7/24 at 100.00
 
AA–
   
1,855,214
 
 
42,475
 
Total Utilities
         
52,091,009
 
     
Water and Sewer – 11.4% (8.0% of Total Investments)
             
     
Bay Area Water Supply and Conservation Agency, California, Revenue Bonds, Capital Cost Recovery Prepayment Program, Series 2013A:
             
 
3,010
 
5.000%, 10/01/29
4/23 at 100.00
 
AA–
   
3,630,512
 
 
4,250
 
5.000%, 10/01/30
4/23 at 100.00
 
AA–
   
5,094,943
 
 
4,000
 
5.000%, 10/01/34
4/23 at 100.00
 
AA–
   
4,714,120
 
 
1,020
 
California Department of Water Resources, Water System Revenue Bonds, Central Valley Project, Series 2002X, 5.500%, 12/01/17 – FGIC Insured
No Opt. Call
 
AAA
   
1,111,310
 
     
California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, Poseidon Resources Channelside LP Desalination Project, Series 2012:
             
 
3,925
 
5.000%, 7/01/37 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
4,303,684
 
 
36,420
 
5.000%, 11/21/45 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
39,783,384
 
 
175
 
California Statewide Community Development Authority, Water and Wastewater Revenue Bonds, Pooled Financing Program, Series 2003A, 5.250%, 10/01/23 – AGM Insured
5/16 at 100.00
 
AA
   
175,737
 
 
385
 
California Statewide Community Development Authority, Water and Wastewater Revenue Bonds, Pooled Financing Program, Series 2004A, 5.250%, 10/01/24 – AGM Insured
5/16 at 100.00
 
AA
   
386,586
 

Nuveen Investments
 
59


NAC
Nuveen California Dividend Advantage Municipal Fund
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Water and Sewer (continued)
             
$
2,500
 
Central Basin Municipal Water District, California, Certificates of Participation, Tender Option Bond Trust 3152, 18.411%, 8/01/33 – AGM Insured (IF)
2/20 at 100.00
 
AA
 
$
3,693,300
 
     
East Bay Municipal Utility District, Alameda and Contra Costa Counties, California, Water System Revenue Bonds, Refunding Series 2015A:
             
 
2,000
 
5.000%, 6/01/31
6/25 at 100.00
 
AAA
   
2,460,920
 
 
10,500
 
5.000%, 6/01/32
6/25 at 100.00
 
AAA
   
12,821,655
 
 
10,000
 
East Bay Municipal Utility District, Alameda and Contra Costa Counties, California, Water System Revenue Bonds, Series 2014C, 5.000%, 6/01/44
6/24 at 100.00
 
AAA
   
11,659,300
 
 
1,950
 
East Valley Water District Financing Authority, California, Refunding Revenue Bonds, Series 2010, 5.000%, 10/01/40
10/20 at 100.00
 
AA–
   
2,211,417
 
 
1,600
 
Eastern Municipal Water District, California, Water and Sewerage System Revenue Certificates of Participation, Tender Option Bond Trust 2015-XF0072, 14.573%, 1/01/30 (IF)
7/18 at 100.00
 
AA+
   
2,361,760
 
 
750
 
Fortuna Public Finance Authority, California, Water Revenue Bonds, Series 2006, 5.000%, 10/01/36 – AGM Insured
10/16 at 100.00
 
AA
   
765,915
 
     
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2011A:
             
 
23,430
 
5.250%, 7/01/39 (UB)
1/21 at 100.00
 
AA+
   
27,112,259
 
 
2,000
 
5.000%, 7/01/41
1/21 at 100.00
 
AA
   
2,284,300
 
 
6,710
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2014A, 5.000%, 7/01/44
7/24 at 100.00
 
AA
   
7,833,388
 
 
1,570
 
Los Angeles, California, Wastewater System Revenue Bonds, Refunding Green Series 2015A, 5.000%, 6/01/32
6/25 at 100.00
 
AA+
   
1,921,523
 
 
1,485
 
Los Angeles, California, Wastewater System Revenue Bonds, Refunding Subordinate Lien Series 2013A, 5.000%, 6/01/35
6/23 at 100.00
 
AA
   
1,750,384
 
 
4,705
 
Madera Irrigation District. California, Water Revenue Refunding Bonds, Series 2008, 5.500%, 1/01/38
1/18 at 100.00
 
A
   
5,042,301
 
 
2,000
 
Metropolitan Water District of Southern California, Water Revenue Refunding Bonds, Series 2015A, 5.000%, 7/01/40
7/25 at 100.00
 
AAA
   
2,366,520
 
 
670
 
Metropolitan Water District of Southern California, Waterworks Revenue Bonds, Tender Option Bond Trust 09-8B, 17.827%, 7/01/35 (IF) (4)
7/19 at 100.00
 
AAA
   
1,018,346
 
 
3,500
 
Placerville Public Financing Authority, California, Wastewater System Refinancing and Improvement Project Revenue Bonds, Series 2006, 5.000%, 9/01/34 – SYNCORA GTY Insured
9/16 at 100.00
 
N/R
   
3,563,175
 
 
2,525
 
Sacramento County Sanitation Districts Financing Authority, California, Revenue Bonds, Crossover Refunding Series 2001, 5.500%, 12/01/20 – AMBAC Insured
No Opt. Call
 
AA
   
3,062,926
 
 
3,000
 
Sacramento County Sanitation Districts Financing Authority, California, Revenue Bonds, Sacramento Regional County Sanitation District, Series 2014A, 5.000%, 12/01/33
6/24 at 100.00
 
AA
   
3,580,890
 
     
San Diego Public Facilities Financing Authority, California, Sewerage Revenue Bonds, Refunding Series 2010A:
             
 
12,000
 
5.250%, 5/15/27
5/20 at 100.00
 
AA+
   
14,152,920
 
 
7,170
 
5.250%, 5/15/28
5/20 at 100.00
 
AA+
   
8,436,867
 
 
5,580
 
San Francisco City and County Public Utilities Commission, California, Water Revenue Bonds, Series 2011A, 5.000%, 11/01/41 (UB)
11/21 at 100.00
 
AA–
   
6,466,662
 
     
San Francisco City and County Public Utilities Commission, California, Water Revenue Bonds, Tender Option Bond Trust 2015-XF0226:
             
 
750
 
18.203%, 11/01/28 (IF)
11/21 at 100.00
 
AA–
   
1,403,910
 
 
750
 
18.103%, 11/01/43 (IF)
5/22 at 100.00
 
AA–
   
1,219,770
 
     
Silicon Valley Clean Water, Mateo County, California, Wastewater Revenue Bonds, Series 2015:
             
 
3,000
 
5.000%, 8/01/40
8/25 at 100.00
 
AA
   
3,548,670
 
 
1,600
 
5.000%, 8/01/45
8/25 at 100.00
 
AA
   
1,882,464
 

60
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Water and Sewer (continued)
             
$
4,000
 
West Basin Municipal Water District, California, Certificates of Participation, Refunding Series 2008B, 5.000%, 8/01/28 – AGC Insured
8/18 at 100.00
 
AA
 
$
4,402,240
 
 
168,930
 
Total Water and Sewer
         
196,224,058
 
$
2,355,830
 
Total Long-Term Investments (cost $2,174,696,806)
         
2,454,303,724
 
     
Floating Rate Obligations – (4.7)%
         
(81,490,000
     
Variable Rate Demand Preferred Shares, at Liquidation Preference – (40.6)% (8)
         
(699,600,000
     
Other Assets Less Liabilities – 3.0%
         
51,531,846
 
     
Net Assets Applicable to Common Shares – 100%
       
$
1,724,745,570
 

(1)
All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions (not covered by the report of independent registered public accounting firm): 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 (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investors Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5)
The coupon for this security increased 0.25% effective January 1, 2016 and will increase an additional 0.25% effective July 1, 2016.
(6)
As of, or subsequent to, the end of the reporting period this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund's Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund's records.
(7)
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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(8)
Variable Rate Demand Preferred Shares, at Liquidation Preference as a percentage of Total Investments is 28.5%.
(ETM)
Escrowed to maturity.
(IF)
Inverse floating rate investment.
(UB)
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.

 
See accompanying notes to financial statements.

Nuveen Investments
 
61


NVX
   
 
Nuveen California Dividend Advantage Municipal Fund 2
 
 
Portfolio of Investments
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
LONG-TERM INVESTMENTS – 140.1% (100.0% of Total Investments)
             
     
MUNICIPAL BONDS – 140.1% (100.0% of Total Investments)
             
     
Consumer Staples – 8.1% (5.8% of Total Investments)
             
     
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A:
             
$
2,000
 
5.600%, 6/01/36
12/18 at 100.00
 
B
 
$
2,005,360
 
 
2,000
 
5.650%, 6/01/41
12/18 at 100.00
 
B2
   
2,002,320
 
 
255
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005, 4.250%, 6/01/21
5/16 at 100.00
 
BBB+
   
255,036
 
 
1,995
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Stanislaus County Tobacco Funding Corporation, Series 2002A, 5.500%, 6/01/33
5/16 at 100.00
 
Baa1
   
1,995,419
 
     
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
             
 
3,770
 
5.000%, 6/01/33
6/17 at 100.00
 
B–
   
3,578,258
 
 
6,040
 
5.750%, 6/01/47
6/17 at 100.00
 
B–
   
5,839,774
 
 
3,660
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-2, 5.300%, 6/01/37
6/22 at 100.00
 
B–
   
3,454,784
 
 
19,720
 
Total Consumer Staples
         
19,130,951
 
     
Education and Civic Organizations – 2.7% (1.9% of Total Investments)
             
 
1,775
 
ABAG Finance Authority for Non-Profit Corporations, California, Revenue Bonds, The Jackson Laboratory, Series 2012, 5.000%, 7/01/37
7/22 at 100.00
 
A1
   
1,992,633
 
 
555
 
California Municipal Finance Authority, Charter School Revenue Bonds, Rocketship Education, Multiple Projects, Series 2014A, 7.250%, 6/01/43
6/22 at 102.00
 
N/R
   
647,419
 
 
2,500
 
California Municipal Finance Authority, Revenue Bonds, University of La Verne, Series 2010A, 6.250%, 6/01/40
6/20 at 100.00
 
A–
   
2,862,625
 
 
850
 
California Statewide Communities Development Authority, School Facility Revenue Bonds, Alliance College-Ready Public Schools, Series 2011A, 7.000%, 7/01/46
7/21 at 100.00
 
BBB–
   
958,545
 
 
5,680
 
Total Education and Civic Organizations
         
6,461,222
 
     
Health Care – 15.8% (11.3% of Total Investments)
             
 
570
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Refunding Series 2015A, 5.000%, 8/15/43
8/25 at 100.00
 
AA–
   
660,237
 
 
395
 
California Health Facilities Financing Authority, Revenue Bonds, Lucile Salter Packard Children's Hospital, Series 2014A, 5.000%, 8/15/43
8/24 at 100.00
 
AA
   
453,006
 
 
435
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014A, 5.000%, 10/01/38
10/24 at 100.00
 
AA
   
505,079
 
 
855
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44
10/24 at 100.00
 
AA
   
978,736
 
 
895
 
California Health Facilities Financing Authority, Revenue Bonds, Rady Children's Hospital – San Diego, Series 2011, 5.250%, 8/15/41
8/21 at 100.00
 
AA–
   
1,005,559
 
 
1,500
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2007A, 5.250%, 11/15/46
11/16 at 100.00
 
AA–
   
1,545,375
 
 
2,470
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/27
2/17 at 100.00
 
A–
   
2,553,116
 
 
1,300
 
California Statewide Communities Development Authority, Revenue Bonds, Adventist Health System/West, Series 2015A, 5.000%, 3/01/35
3/26 at 100.00
 
A
   
1,532,531
 
 
3,200
 
California Statewide Communities Development Authority, Revenue Bonds, Kaiser Permanente, Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
A+
   
3,642,400
 

62
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
$
5,245
 
California Statewide Community Development Authority, Revenue Bonds, Daughters of Charity Health System, Series 2005A, 5.500%, 7/01/35 (4)
5/16 at 100.00
 
CCC
 
$
5,218,618
 
 
425
 
California Statewide Community Development Authority, Revenue Bonds, Kaiser Permanente System, Series 2001C, 5.250%, 8/01/31
8/16 at 100.00
 
A+
   
432,098
 
 
1,035
 
California Statewide Community Development Authority, Revenue Bonds, Sutter Health, Series 2004D, 5.050%, 8/15/38 – AGM Insured
8/18 at 100.00
 
AA
   
1,102,203
 
 
1,610
 
Madera County, California, Certificates of Participation, Children's Hospital Central California, Series 2010, 5.375%, 3/15/36
3/20 at 100.00
 
AA–
   
1,802,121
 
 
455
 
Oak Valley Hospital District, Stanislaus County, California, Revenue Bonds, Series 2010A, 6.500%, 11/01/29
11/20 at 100.00
 
BB
   
480,371
 
 
1,500
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.625%, 11/01/29
11/19 at 100.00
 
Ba1
   
1,677,960
 
 
4,800
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010, 6.000%, 11/01/41
11/20 at 100.00
 
Ba1
   
5,125,008
 
 
5,785
 
Rancho Mirage Joint Powers Financing Authority, California, Revenue Bonds, Eisenhower Medical Center, Refunding Series 2007A, 5.000%, 7/01/38
7/17 at 100.00
 
Baa2
   
5,968,269
 
 
2,250
 
San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41
12/21 at 100.00
 
BB+
   
2,758,050
 
 
34,725
 
Total Health Care
         
37,440,737
 
     
Housing/Multifamily – 1.4% (1.0% of Total Investments)
             
 
1,280
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45
8/20 at 100.00
 
BBB
   
1,413,696
 
 
410
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A, 5.500%, 8/15/47
8/22 at 100.00
 
BBB
   
459,311
 
 
940
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012B, 7.250%, 8/15/47
8/22 at 100.00
 
A1
   
1,092,647
 
     
California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A:
             
 
80
 
5.250%, 8/15/39
8/24 at 100.00
 
BBB
   
90,362
 
 
220
 
5.250%, 8/15/49
8/24 at 100.00
 
BBB
   
247,689
 
 
2,930
 
Total Housing/Multifamily
         
3,303,705
 
     
Housing/Single Family – 3.1% (2.2% of Total Investments)
             
 
5,775
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Series 2006M, 4.650%, 8/01/31 (Alternative Minimum Tax)
5/16 at 100.00
 
A
   
5,777,483
 
 
1,490
 
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Series 2007G, 5.050%, 2/01/29 (Alternative Minimum Tax)
2/17 at 100.00
 
A
   
1,513,602
 
 
7,265
 
Total Housing/Single Family
         
7,291,085
 
     
Industrials – 0.0% (0.0% of Total Investments)
             
 
3,175
 
California Statewide Communities Development Authority, Revenue Bonds, EnerTech Regional Biosolids Project, Series 2007A, 5.500%, 12/01/33 (Alternative Minimum Tax) (5)
No Opt. Call
 
N/R
   
9,525
 
     
Tax Obligation/General – 32.8% (23.4% of Total Investments)
             
 
1,300
 
Alhambra Unified School District, Los Angeles County, California, General Obligation Bonds, Refunding Series 2012A, 5.000%, 8/01/29 – AGM Insured
8/22 at 100.00
 
Aa3
   
1,581,801
 
 
4,000
 
California State, General Obligation Bonds, Various Purpose Refunding Series 2014, 5.000%, 8/01/31
8/24 at 100.00
 
AA–
   
4,812,400
 
     
California State, General Obligation Bonds, Various Purpose Refunding Series 2015:
             
 
675
 
5.000%, 8/01/32
2/25 at 100.00
 
AA–
   
806,807
 
 
2,000
 
5.000%, 8/01/34
8/25 at 100.00
 
AA–
   
2,391,420
 

Nuveen Investments
 
63


NVX
Nuveen California Dividend Advantage Municipal Fund 2
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
$
13,850
 
California State, General Obligation Bonds, Various Purpose Series 2009, 6.000%, 4/01/38
4/19 at 100.00
 
AA–
 
$
15,914,480
 
     
California State, General Obligation Bonds, Various Purpose Series 2010:
             
 
2,000
 
6.000%, 3/01/33
3/20 at 100.00
 
AA–
   
2,375,200
 
 
1,000
 
5.250%, 11/01/40
11/20 at 100.00
 
AA–
   
1,167,590
 
     
California State, General Obligation Bonds, Various Purpose Series 2011:
             
 
4,850
 
5.250%, 10/01/28
No Opt. Call
 
AA–
   
5,795,605
 
 
2,300
 
5.000%, 9/01/41
9/21 at 100.00
 
AA–
   
2,650,244
 
 
2,190
 
5.000%, 10/01/41
10/21 at 100.00
 
AA–
   
2,528,224
 
     
California State, General Obligation Bonds, Various Purpose Series 2013:
             
 
2,500
 
5.000%, 2/01/43
No Opt. Call
 
AA–
   
2,876,100
 
 
2,240
 
5.000%, 11/01/43
11/23 at 100.00
 
AA–
   
2,609,981
 
     
California State, General Obligation Bonds, Various Purpose Series 2014:
             
 
2,000
 
5.000%, 5/01/32
5/24 at 100.00
 
AA–
   
2,382,100
 
 
1,815
 
5.000%, 10/01/44
10/24 at 100.00
 
AA–
   
2,116,399
 
 
32,730
 
Desert Community College District, Riverside County, California, General Obligation Bonds, Election 2004 Series 2007C, 0.000%, 8/01/46 – AGM Insured
No Opt. Call
 
AA
   
6,643,535
 
 
1,285
 
Los Angeles Unified School District, Los Angeles County, California, General Obligation Bonds, Series 2009D, 5.000%, 7/01/27
7/19 at 100.00
 
Aa2
   
1,467,033
 
 
1,265
 
Palomar Pomerado Health, California, General Obligation Bonds, Capital Appreciation, Election of 2004, Series 2007A, 5.000%, 8/01/32 – NPFG Insured
8/17 at 100.00
 
AA–
   
1,327,010
 
 
10,330
 
Palomar Pomerado Health, California, General Obligation Bonds, Convertible Capital Appreciation, Election 2004 Series 2010A, 0.000%, 8/01/35
No Opt. Call
 
A+
   
4,791,157
 
 
2,000
 
Paramount Unified School District, Los Angeles County, California, General Obligation Bonds, Election 2006 Series 2011, 0.000%, 8/01/45
No Opt. Call
 
A+
   
1,779,840
 
 
2,000
 
Puerto Rico, General Obligation Bonds, Public Improvement Series 2002A, 5.500%, 7/01/20 – NPFG Insured
No Opt. Call
 
AA–
   
2,087,120
 
 
1,425
 
San Joaquin Delta Community College District, California, General Obligation Bonds, Refunding Series 2015A, 5.000%, 8/01/32
8/25 at 100.00
 
Aa2
   
1,714,432
 
 
21,000
 
San Marcos Unified School District, San Diego County, California, General Obligation Bonds, 2010 Election, Series 2012B, 0.000%, 8/01/51
No Opt. Call
 
AA–
   
4,828,530
 
 
1,000
 
Southwestern Community College District, San Diego County, California, General Obligation Bonds, Election of 2008, Series 2011C, 5.250%, 8/01/36
8/21 at 100.00
 
Aa2
   
1,169,140
 
 
1,600
 
Yuba Community College District, California, General Obligation Bonds, Election 2006 Series 2011C, 5.250%, 8/01/47
8/21 at 100.00
 
Aa2
   
1,876,032
 
 
117,355
 
Total Tax Obligation/General
         
77,692,180
 
     
Tax Obligation/Limited – 25.7% (18.3% of Total Investments)
             
 
7,000
 
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2013F, 5.250%, 9/01/31
9/23 at 100.00
 
A+
   
8,453,549
 
 
3,525
 
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2014A, 5.000%, 9/01/39
9/24 at 100.00
 
A+
   
4,114,133
 
 
3,770
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2012G, 5.000%, 11/01/37
11/22 at 100.00
 
A+
   
4,378,440
 
 
4,520
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2014E, 5.000%, 9/01/39
9/24 at 100.00
 
A+
   
5,275,428
 
 
960
 
Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27
10/16 at 100.00
 
A
   
964,214
 
 
10,000
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2015A, 5.000%, 6/01/45
6/25 at 100.00
 
A+
   
11,466,099
 
 
2,000
 
Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/28
11/25 at 100.00
 
A
   
2,353,180
 
 
1,800
 
Hesperia Unified School District, San Bernardino County, California, Certificates of Participation, Capital Improvement, Series 2007, 5.000%, 2/01/41 – AMBAC Insured
2/17 at 100.00
 
A
   
1,859,184
 

64
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
1,500
 
Hesperia Unified School District, San Bernardino County, California, Certificates of Participation, Series 2013A, 5.000%, 2/01/38 – BAM Insured
2/23 at 100.00
 
AA
 
$
1,651,740
 
 
870
 
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Subordinate Lien Series 2007A-1, 5.000%,
5/01/23 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
895,561
 
     
Irvine Unified School District, California, Special Tax Bonds, Community Facilities District Series 2006A:
             
 
205
 
5.000%, 9/01/26
9/16 at 100.00
 
N/R
   
208,561
 
 
470
 
5.125%, 9/01/36
9/16 at 100.00
 
N/R
   
476,777
 
 
1,000
 
Lake Elsinore Public Financing Authority, California, Local Agency Revenue Bonds, Refunding Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
1,106,200
 
 
415
 
Lammersville School District, San Joaquin County, California, Special Tax Bonds, Community Facilities District 2002 Mountain House, Series 2006, 5.125%, 9/01/35
9/16 at 100.00
 
N/R
   
420,370
 
 
800
 
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester Social Services Project, Series 2005, 5.000%,
9/01/37 – AMBAC Insured
5/16 at 100.00
 
A1
   
801,576
 
 
1,350
 
Los Angeles County Public Works Financing Authority, California, Lease Revenue Bonds, Multiple Capital Facilities Project II, Series 2012, 5.000%, 8/01/42
No Opt. Call
 
AA
   
1,551,380
 
 
750
 
Lynwood Redevelopment Agency, California, Project A Revenue Bonds, Subordinate Lien Series 2011A, 7.000%, 9/01/31
9/21 at 100.00
 
A–
   
932,625
 
 
475
 
National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011, 6.500%, 8/01/24
8/21 at 100.00
 
A
   
601,084
 
 
175
 
Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40
9/21 at 100.00
 
BBB+
   
212,196
 
 
195
 
Patterson Public Finance Authority, California, Revenue Bonds, Community Facilities District 2001-1, Subordinate Lien Series 2013B, 5.875%, 9/01/39
9/23 at 100.00
 
N/R
   
215,818
 
     
Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A:
             
 
1,190
 
5.250%, 9/01/30
9/23 at 100.00
 
N/R
   
1,319,234
 
 
1,075
 
5.750%, 9/01/39
9/23 at 100.00
 
N/R
   
1,197,658
 
 
6,275
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2007A, 0.000%, 8/01/45 – NPFG Insured
No Opt. Call
 
AA–
   
967,919
 
 
550
 
Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30
9/21 at 100.00
 
BBB+
   
632,148
 
 
100
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Jurupa Valley Project Area, Series 2011B, 6.500%, 10/01/25
10/21 at 100.00
 
A
   
124,806
 
 
225
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Westpark, Refunding Series 2015, 5.000%, 9/01/37
9/25 at 100.00
 
N/R
   
249,467
 
     
San Buenaventura Redevelopment Agency, California, Merged Project Areas Tax Allocation Bonds, Series 2008:
             
 
1,000
 
7.750%, 8/01/28
8/16 at 102.00
 
A
   
1,047,410
 
 
1,325
 
8.000%, 8/01/38
8/16 at 102.00
 
A
   
1,389,991
 
 
60
 
San Clemente, California, Special Tax Revenue Bonds, Community Facilities District 2006-1 Marblehead Coastal, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
68,177
 
 
990
 
San Diego, California, Special Tax Bonds, Community Facilities District 4 Black Mountain Ranch Villages, Series 2008A, 6.000%, 9/01/37
9/16 at 100.00
 
N/R
   
1,023,056
 
 
210
 
San Francisco City and County Redevelopment Agency Successor Agency, California, Special Tax Bonds, Community Facilities District 7, Hunters Point Shipyard Phase One Improvements, Refunding Series 2014, 5.000%, 8/01/39
No Opt. Call
 
N/R
   
229,503
 
 
80
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41
2/21 at 100.00
 
A–
   
96,673
 

Nuveen Investments
 
65


NVX
Nuveen California Dividend Advantage Municipal Fund 2
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
     
San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D:
             
$
85
 
7.000%, 8/01/33
2/21 at 100.00
 
BBB+
 
$
102,677
 
 
105
 
7.000%, 8/01/41
2/21 at 100.00
 
BBB+
   
126,837
 
 
995
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Refunding Series 2006D, 5.000%, 8/01/23 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
1,048,830
 
     
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2006C:
             
 
1,100
 
5.000%, 8/01/24 – NPFG Insured
8/17 at 100.00
 
AA–
   
1,168,222
 
 
765
 
5.000%, 8/01/25 – NPFG Insured
8/17 at 100.00
 
AA–
   
811,772
 
 
140
 
Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26
4/21 at 100.00
 
N/R
   
167,062
 
 
930
 
Temecula Public Financing Authority, California, Special Tax Bonds, Community Facilities District 03-02 Roripaugh, Series 2006, 5.500%, 9/01/36
9/16 at 100.00
 
N/R
   
931,144
 
 
240
 
Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A, 6.500%, 9/01/32
9/21 at 100.00
 
A–
   
292,262
 
 
59,220
 
Total Tax Obligation/Limited
         
60,932,963
 
     
Transportation – 15.3% (10.9% of Total Investments)
             
 
2,000
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2013S-4, 5.250%, 4/01/48
4/23 at 100.00
 
AA–
   
2,324,180
 
 
2,240
 
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Junior Lien Series 2013C, 6.500%, 1/15/43
1/24 at 100.00
 
BB+
   
2,672,701
 
     
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A:
             
 
4,940
 
5.750%, 1/15/46
1/24 at 100.00
 
BBB–
   
5,784,592
 
 
4,935
 
6.000%, 1/15/53
1/24 at 100.00
 
BBB–
   
5,807,557
 
     
Los Angeles Department of Airports, California, Revenue Bonds, Los Angeles International Airport, Senior Lien Series 2015D:
             
 
870
 
5.000%, 5/15/31 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
1,025,965
 
 
3,810
 
5.000%, 5/15/33 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
4,432,440
 
 
1,000
 
5.000%, 5/15/36 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
1,151,190
 
 
4,000
 
Los Angeles Harbors Department, California, Revenue Bonds, Refunding Series 2014B, 5.000%, 8/01/44
8/24 at 100.00
 
AA
   
4,613,920
 
     
Port of Oakland, California, Revenue Bonds, Refunding Series 2012P:
             
 
1,545
 
5.000%, 5/01/29 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
1,781,478
 
 
1,000
 
5.000%, 5/01/31 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
1,139,680
 
 
1,000
 
Riverside County Transportation Commission, California, Toll Revenue Senior Lien Bonds, Series 2013A, 5.750%, 6/01/44
6/23 at 100.00
 
BBB–
   
1,153,390
 
 
4,000
 
San Diego County Regional Airport Authority, California, Airport Revenue Bonds, Senior Series 2013B, 5.000%, 7/01/43 (Alternative Minimum Tax)
7/23 at 100.00
 
A+
   
4,431,600
 
 
31,340
 
Total Transportation
         
36,318,693
 
     
U.S. Guaranteed – 11.4% (8.1% of Total Investments) (6)
             
 
1,930
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2006F, 5.000%, 4/01/31 (Pre-refunded 4/01/16) (UB)
4/16 at 100.00
 
AA (6)
   
1,938,415
 
 
1,430
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Tender Option Bond Trust 3211, 13.558%, 10/01/32 (Pre-refunded 4/01/18) (IF)
4/18 at 100.00
 
AA (6)
   
1,947,360
 
 
1,745
 
California Municipal Financing Authority, Certificates of Participation, Community Hospitals of Central California, Series 2007, 5.250%, 2/01/27 (Pre-refunded 2/01/17)
2/17 at 100.00
 
N/R (6)
   
1,822,600
 

66
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (6) (continued)
             
$
2,225
 
California Statewide Communities Development Authority, Revenue Bonds, ValleyCare Health System, Series 2007A, 5.125%, 7/15/31 (Pre-refunded 7/15/17)
7/17 at 100.00
 
AA+ (6)
 
$
2,368,446
 
 
2,945
 
California State Public Works Board, Lease Revenue Bonds, University of California Regents, Tender Option Bond Trust 1065, 9.404%, 3/01/33
(Pre-refunded 3/01/18) (IF)
3/18 at 100.00
 
AAA
   
3,463,615
 
 
1,400
 
Castaic Lake Water Agency, California, Certificates of Participation, Series 2006C, 5.000%, 8/01/36 (Pre-refunded 8/01/16) – NPFG Insured
8/16 at 100.00
 
AA– (6)
   
1,428,448
 
 
1,785
 
Hawthorne Community Redevelopment Agency, California, Tax Allocation Bonds, Project Area 2, Series 2006, 5.250%, 9/01/36
(Pre-refunded 3/01/16) – SYNCORA GTY Insured
3/16 at 100.00
 
N/R (6)
   
1,830,161
 
 
545
 
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 (Pre-refunded 4/01/16) – NPFG Insured
4/16 at 100.00
 
AA (6)
   
547,371
 
 
205
 
Independent Cities Lease Finance Authority, California, Mobile Home Park Revenue Bonds, San Juan Mobile Estates, Series 2006B, 5.850%, 5/15/41 (Pre-refunded 5/15/16)
5/16 at 100.00
 
N/R (6)
   
207,464
 
 
2,000
 
Loma Linda, California, Hospital Revenue Bonds, Loma Linda University Medical Center, Series 2008A, 8.250%, 12/01/38 (Pre-refunded 12/01/17)
12/17 at 100.00
 
BB+ (6)
   
2,268,640
 
 
3,085
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Refunding Series 2008A, 6.500%, 9/01/28 (Pre-refunded 9/01/18)
9/18 at 100.00
 
BBB– (6)
   
3,528,746
 
 
2,000
 
Puerto Rico Public Finance Corporation, Commonwealth Appropriation Bonds, Series 2002E, 6.000%, 8/01/26 (ETM)
No Opt. Call
 
C (6)
   
2,637,480
 
 
750
 
Sacramento County Sanitation Districts Financing Authority, California, Revenue Bonds, Series 2006, 5.000%, 12/01/31 (Pre-refunded 6/01/16) – FGIC Insured
6/16 at 100.00
 
AA (6)
   
759,315
 
 
825
 
San Mateo Union High School District, San Mateo County, California, Certificates of Participation, Phase 1, Series 2007A, 5.000%, 12/15/30 (Pre-refunded 12/15/17) – AMBAC Insured
12/17 at 100.00
 
N/R (6)
   
890,431
 
 
1,315
 
University of California, Limited Project Revenue Bonds, Series 2007D, 5.000%, 5/15/41 (Pre-refunded 5/15/16) – FGIC Insured
5/16 at 101.00
 
AA– (6)
   
1,341,695
 
 
24,185
 
Total U.S. Guaranteed
         
26,980,187
 
     
Utilities – 10.7% (7.7% of Total Investments)
             
 
2,355
 
Long Beach Bond Finance Authority, California, Natural Gas Purchase Revenue Bonds, Series 2007A, 5.000%, 11/15/35
No Opt. Call
 
A
   
2,766,065
 
 
14,000
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2012B, 5.000%, 7/01/43
7/22 at 100.00
 
AA–
   
16,178,256
 
 
1,500
 
Southern California Public Power Authority, California, Revenue Bonds, Apex Power Project Series 2014A, 5.000%, 7/01/38
7/24 at 100.00
 
AA–
   
1,758,450
 
 
4,000
 
Southern California Public Power Authority, Natural Gas Project 1 Revenue Bonds, Series 2007A, 5.000%, 11/01/33
No Opt. Call
 
A
   
4,756,360
 
 
21,855
 
Total Utilities
         
25,459,131
 
     
Water and Sewer – 13.1% (9.4% of Total Investments)
             
 
5,240
 
California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, Poseidon Resources Channelside LP Desalination Project, Series 2012, 5.000%, 11/21/45 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
5,723,914
 
 
1,400
 
East Bay Municipal Utility District, Alameda and Contra Costa Counties, California, Water System Revenue Bonds, Refunding Series 2015A, 5.000%, 6/01/31
6/25 at 100.00
 
AAA
   
1,722,644
 
 
4,265
 
Escondido Joint Powers Financing Authority, California, Revenue Bonds, Water System Financing, Series 2012, 5.000%, 9/01/41
3/22 at 100.00
 
AA–
   
4,895,964
 
 
7,890
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2014A, 5.000%, 7/01/44
7/24 at 100.00
 
AA
   
9,210,943
 

Nuveen Investments
 
67


NVX
Nuveen California Dividend Advantage Municipal Fund 2
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Water and Sewer (continued)
             
$
1,000
 
Metropolitan Water District of Southern California, Water Revenue Refunding Bonds, Series 2015A, 5.000%, 7/01/40
7/25 at 100.00
 
AAA
 
$
1,183,260
 
 
1,160
 
Metropolitan Water District of Southern California, Waterworks Revenue Bonds, Tender Option Bond Trust 09-8B, 17.827%, 7/01/35 (IF) (7)
7/19 at 100.00
 
AAA
   
1,763,107
 
 
5,825
 
Sacramento, California, Wastewater Revenue Bonds, Series 2013, 5.000%, 9/01/42
9/23 at 100.00
 
AA
   
6,594,366
 
 
26,780
 
Total Water and Sewer
         
31,094,198
 
$
354,230
 
Total Long-Term Investments (cost $301,835,208)
         
332,114,577
 
     
Floating Rate Obligations – (0.4)%
         
(965,000
)
     
Variable Rate Demand Preferred Shares, at Liquidation Preference – (41.3)% (8)
         
(98,000,000
)
     
Other Assets Less Liabilities – 1.6%
         
3,948,512
 
     
Net Assets Applicable to Common Shares – 100%
       
$
237,098,089
 

(1)
All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions (not covered by the report of independent registered public accounting firm): 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 (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investors Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
The coupon for this security increased 0.25% effective January 1, 2016 and will increase an additional 0.25% effective July 1, 2016.
(5)
As of, or subsequent to, the end of the reporting period this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund's Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund's records.
(6)
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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(7)
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(8)
Variable Rate Demand Preferred Shares, at Liquidation Preference as a percentage of Total Investments is 29.5%.
(ETM)
Escrowed to maturity.
(IF)
Inverse floating rate investment.
(UB)
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.

 
See accompanying notes to financial statements.

68
 
Nuveen Investments


NZH
   
 
Nuveen California Dividend Advantage Municipal Fund 3
 
 
Portfolio of Investments
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
LONG-TERM INVESTMENTS – 140.2% (100.0% of Total Investments)
             
     
MUNICIPAL BONDS – 140.2% (100.0% of Total Investments)
             
     
Consumer Staples – 9.6% (6.9% of Total Investments)
             
$
2,500
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 5.650%, 6/01/41
12/18 at 100.00
 
B2
 
$
2,502,900
 
 
415
 
California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005, 4.250%, 6/01/21
5/16 at 100.00
 
BBB+
   
415,058
 
 
25,000
 
California Statewide Financing Authority, Tobacco Settlement Asset-Backed Bonds, Pooled Tobacco Securitization Program, Series 2006A, 0.000%, 6/01/46
6/16 at 15.78
 
CCC
   
2,706,250
 
     
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1:
             
 
16,685
 
5.000%, 6/01/33
6/17 at 100.00
 
B–
   
15,836,401
 
 
6,625
 
5.750%, 6/01/47
6/17 at 100.00
 
B–
   
6,405,381
 
 
6,265
 
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-2, 5.300%, 6/01/37
6/22 at 100.00
 
B–
   
5,913,721
 
 
1,000
 
Tobacco Securitization Authority of Southern California, Tobacco Settlement Asset-Backed Bonds, San Diego County Tobacco Asset Securitization Corporation, Senior Series 2006A, 5.125%, 6/01/46
5/16 at 100.00
 
B+
   
954,560
 
 
58,490
 
Total Consumer Staples
         
34,734,271
 
     
Education and Civic Organizations – 3.3% (2.3% of Total Investments)
             
 
135
 
California Educational Facilities Authority, Revenue Bonds, University of Redlands, Series 2005A, 5.000%, 10/01/35
5/16 at 100.00
 
A3
   
135,448
 
 
2,160
 
California Educational Facilities Authority, Revenue Bonds, University of San Francisco, Series 2011, 6.125%, 10/01/36
10/21 at 100.00
 
A2
   
2,641,356
 
 
850
 
California Municipal Finance Authority, Charter School Revenue Bonds, Rocketship Education, Multiple Projects, Series 2014A, 7.250%, 6/01/43
6/22 at 102.00
 
N/R
   
991,542
 
 
3,000
 
California State University, Systemwide Revenue Bonds, Series 2015A, 5.000%, 11/01/38
11/25 at 100.00
 
Aa2
   
3,558,510
 
 
2,750
 
California Statewide Communities Development Authority, Revenue Bonds, Buck Institute for Research on Aging, Series 2014, 5.000%, 11/15/44 – AGM Insured
11/24 at 100.00
 
AA
   
3,112,423
 
 
1,300
 
California Statewide Communities Development Authority, School Facility Revenue Bonds, Alliance College-Ready Public Schools, Series 2011A, 7.000%, 7/01/46
7/21 at 100.00
 
BBB–
   
1,466,010
 
 
10,195
 
Total Education and Civic Organizations
         
11,905,289
 
     
Health Care – 27.2% (19.4% of Total Investments)
             
 
5,640
 
ABAG Finance Authority for Nonprofit Corporations, California, Revenue Bonds, Sharp HealthCare, Series 2014A, 5.000%, 8/01/43
8/23 at 100.00
 
AA–
   
6,429,713
 
 
1,215
 
California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Series 2016A, 5.000%, 11/15/46
11/25 at 100.00
 
AA–
   
1,408,744
 
 
610
 
California Health Facilities Financing Authority, Revenue Bonds, Lucile Salter Packard Children's Hospital, Series 2014A, 5.000%, 8/15/43
8/24 at 100.00
 
AA
   
699,579
 
 
670
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014A, 5.000%, 10/01/38
10/24 at 100.00
 
AA
   
777,937
 
 
1,320
 
California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44
10/24 at 100.00
 
AA
   
1,511,030
 
 
1,445
 
California Health Facilities Financing Authority, Revenue Bonds, Rady Children's Hospital – San Diego, Series 2011, 5.250%, 8/15/41
8/21 at 100.00
 
AA–
   
1,623,501
 

Nuveen Investments
 
69


NZH
Nuveen California Dividend Advantage Municipal Fund 3
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Health Care (continued)
             
$
1,765
 
California Health Facilities Financing Authority, Revenue Bonds, Saint Joseph Health System, Series 2009A, 5.750%, 7/01/39
7/19 at 100.00
 
AA–
 
$
2,018,913
 
 
3,530
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Series 2011B, 6.000%, 8/15/42
8/20 at 100.00
 
AA–
   
4,238,330
 
 
3,735
 
California Health Facilities Financing Authority, Revenue Bonds, Sutter Health, Tender Option Bond Trust 2015-XF0061, 19.034%, 5/15/16 (IF)
No Opt. Call
 
AA–
   
4,186,599
 
 
1,615
 
California Statewide Communities Development Authority, Revenue Bonds, Adventist Health System West, Series 2007B, 5.000%, 3/01/37 – AGC Insured
3/18 at 100.00
 
AA
   
1,710,430
 
 
1,045
 
California Statewide Communities Development Authority, Revenue Bonds, Adventist Health System/West, Series 2015A, 5.000%, 3/01/35
3/26 at 100.00
 
A
   
1,231,919
 
 
1,335
 
California Statewide Communities Development Authority, Revenue Bonds, Huntington Memorial Hospital, Refunding Series 2014B, 5.000%, 7/01/44
7/24 at 100.00
 
A
   
1,512,208
 
 
1,000
 
California Statewide Communities Development Authority, Revenue Bonds, Kaiser Permanente, Series 2012A, 5.000%, 4/01/42
4/22 at 100.00
 
A+
   
1,138,250
 
 
1,594
 
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health System, Trust 2554, 18.712%, 7/01/47 – AGM Insured (IF)
7/18 at 100.00
 
AA
   
2,026,868
 
 
8,875
 
California Statewide Communities Development Authority, Revenue Bonds, Sutter Health, Series 2011A, 6.000%, 8/15/42
8/20 at 100.00
 
AA–
   
10,630,298
 
 
4,500
 
California Statewide Community Development Authority, Health Facility Revenue Bonds, Catholic Healthcare West, Insured Series 2008K, 5.500%,
7/01/41 – AGC Insured
7/17 at 100.00
 
AA
   
4,727,745
 
     
California Statewide Community Development Authority, Revenue Bonds, Daughters of Charity Health System, Series 2005A:
             
 
3,500
 
5.500%, 7/01/30 (4)
5/16 at 100.00
 
CCC
   
3,499,755
 
 
2,330
 
5.500%, 7/01/35 (4)
5/16 at 100.00
 
CCC
   
2,318,280
 
 
645
 
California Statewide Community Development Authority, Revenue Bonds, Kaiser Permanente System, Series 2001C, 5.250%, 8/01/31
8/16 at 100.00
 
A+
   
655,772
 
 
3,860
 
California Statewide Community Development Authority, Revenue Bonds, St. Joseph Health System, Series 2007A, 5.750%, 7/01/47 – FGIC Insured
7/18 at 100.00
 
AA–
   
4,268,079
 
 
5,600
 
California Statewide Community Development Authority, Revenue Bonds, Sutter Health, Tender Option Bond Trust 3102, 19.123%, 11/15/46 (IF) (5)
11/16 at 100.00
 
AA–
   
6,277,320
 
 
4,000
 
Marysville, California, Revenue Bonds, The Fremont-Rideout Health Group, Series 2011, 5.250%, 1/01/42
1/21 at 100.00
 
BBB
   
4,418,520
 
 
695
 
Oak Valley Hospital District, Stanislaus County, California, Revenue Bonds, Series 2010A, 6.500%, 11/01/29
11/20 at 100.00
 
BB
   
733,753
 
 
1,000
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.750%, 11/01/39
11/19 at 100.00
 
Ba1
   
1,121,100
 
 
7,650
 
Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010, 6.000%, 11/01/41
11/20 at 100.00
 
Ba1
   
8,167,982
 
 
5,790
 
Rancho Mirage Joint Powers Financing Authority, California, Revenue Bonds, Eisenhower Medical Center, Refunding Series 2007A, 5.000%, 7/01/38
7/17 at 100.00
 
Baa2
   
5,973,427
 
 
3,400
 
San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41
12/21 at 100.00
 
BB+
   
4,167,720
 
 
8,760
 
The Regents of the University of California, Medical Center Pooled Revenue Bonds, Series 2013J, 5.250%, 5/15/31
5/23 at 100.00
 
AA–
   
10,566,487
 
 
87,124
 
Total Health Care
         
98,040,259
 

70
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Housing/Multifamily – 1.4% (1.0% of Total Investments)
             
$
1,970
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45
8/20 at 100.00
 
BBB
 
$
2,175,767
 
 
2,020
 
California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A, 5.500%, 8/15/47
8/22 at 100.00
 
BBB
   
2,262,945
 
     
California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A:
             
 
125
 
5.250%, 8/15/39
8/24 at 100.00
 
BBB
   
141,191
 
 
340
 
5.250%, 8/15/49
8/24 at 100.00
 
BBB
   
382,792
 
 
4,455
 
Total Housing/Multifamily
         
4,962,695
 
     
Housing/Single Family – 3.9% (2.8% of Total Investments)
             
     
California Housing Finance Agency, California, Home Mortgage Revenue Bonds, Tender Option Bond Trust 3206:
             
 
10,180
 
9.367%, 8/01/25 (Alternative Minimum Tax) (IF)
5/16 at 100.00
 
A
   
10,190,893
 
 
3,805
 
9.744%, 2/01/29 (Alternative Minimum Tax) (IF)
2/17 at 100.00
 
A
   
3,859,602
 
 
13,985
 
Total Housing/Single Family
         
14,050,495
 
     
Industrials – 0.0% (0.0% of Total Investments)
             
 
5,205
 
California Statewide Communities Development Authority, Revenue Bonds, EnerTech Regional Biosolids Project, Series 2007A, 5.500%, 12/01/33 (Alternative Minimum Tax) (6)
No Opt. Call
 
N/R
   
15,615
 
     
Tax Obligation/General – 18.7% (13.3% of Total Investments)
             
     
California State, General Obligation Bonds, Refunding Various Purpose Series 2013:
             
 
1,260
 
5.000%, 2/01/29
No Opt. Call
 
AA–
   
1,507,401
 
 
1,710
 
5.000%, 2/01/31
No Opt. Call
 
AA–
   
2,021,870
 
     
California State, General Obligation Bonds, Various Purpose Refunding Series 2015:
             
 
3,150
 
5.000%, 8/01/32
2/25 at 100.00
 
AA–
   
3,765,101
 
 
5,000
 
5.000%, 8/01/34
8/25 at 100.00
 
AA–
   
5,978,550
 
     
California State, General Obligation Bonds, Various Purpose Series 2009:
             
 
3,040
 
6.000%, 11/01/39
11/19 at 100.00
 
AA–
   
3,573,429
 
 
3,500
 
5.500%, 11/01/39
11/19 at 100.00
 
AA–
   
4,015,900
 
     
California State, General Obligation Bonds, Various Purpose Series 2010:
             
 
1,960
 
5.500%, 3/01/40
3/20 at 100.00
 
AA–
   
2,270,307
 
 
1,000
 
5.250%, 11/01/40
11/20 at 100.00
 
AA–
   
1,167,590
 
     
California State, General Obligation Bonds, Various Purpose Series 2011:
             
 
1,770
 
5.250%, 10/01/28
No Opt. Call
 
AA–
   
2,115,097
 
 
4,000
 
5.000%, 9/01/31
No Opt. Call
 
AA–
   
4,695,560
 
 
4,315
 
5.000%, 10/01/41
10/21 at 100.00
 
AA–
   
4,981,409
 
 
3,230
 
California State, General Obligation Bonds, Various Purpose Series 2012, 5.250%, 2/01/29
2/22 at 100.00
 
AA–
   
3,851,291
 
 
2,465
 
California State, General Obligation Bonds, Various Purpose Series 2013, 5.000%, 4/01/37
4/23 at 100.00
 
AA–
   
2,876,951
 
 
1,565
 
California State, General Obligation Bonds, Various Purpose Series 2015, 5.000%, 8/01/45
8/25 at 100.00
 
AA–
   
1,835,635
 
 
15
 
California, General Obligation Veterans Welfare Bonds, Series 2001BZ, 5.350%, 12/01/21 – NPFG Insured (Alternative Minimum Tax)
6/16 at 100.00
 
AA
   
15,048
 
 
1,980
 
Desert Community College District, Riverside County, California, General Obligation Bonds, Refunding Series 2016, 5.000%, 8/01/35
2/26 at 100.00
 
AA–
   
2,385,524
 
 
1,120
 
Oxnard School District, Ventura County, California, General Obligation Bonds, Election 2012 Series 2013B, 5.000%, 8/01/43 – AGM Insured
8/23 at 100.00
 
AA
   
1,260,101
 
 
4,385
 
Pajaro Valley Unified School District, Santa Cruz County, California, General Obligation Bonds, Refunding Election 2012 Series 2013A, 5.000%, 8/01/43
8/23 at 100.00
 
Aa2
   
5,123,346
 
 
3,000
 
Paramount Unified School District, Los Angeles County, California, General Obligation Bonds, Election 2006 Series 2011, 0.000%, 8/01/45
No Opt. Call
 
A+
   
2,669,760
 

Nuveen Investments
 
71


NZH
Nuveen California Dividend Advantage Municipal Fund 3
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/General (continued)
             
$
2,115
 
San Mateo Union High School District, San Mateo County, California, General Obligation Bonds, Election 2010 Series 2011A, 5.000%, 9/01/42
9/21 at 100.00
 
Aaa
 
$
2,474,275
 
 
5,530
 
Stockton Unified School District, San Joaquin County, California, General Obligation Bonds, Election 2008 Series 2011D, 0.000%, 8/01/50 – AGM Insured
8/37 at 100.00
 
AA
   
4,669,587
 
     
Washington Township Health Care District, Alameda County, California, General Obligation Bonds, 2012 Election Series 2013A:
             
 
1,535
 
5.500%, 8/01/38
8/24 at 100.00
 
Aa3
   
1,860,681
 
 
1,750
 
5.500%, 8/01/40
8/24 at 100.00
 
Aa3
   
2,106,650
 
 
59,395
 
Total Tax Obligation/General
         
67,221,063
 
     
Tax Obligation/Limited – 37.5% (26.7% of Total Investments)
             
 
1,680
 
Beaumont Financing Authority, California, Local Agency Revenue Bonds, Improvement Area 19A, Series 2015B, 5.000%, 9/01/35
9/25 at 100.00
 
N/R
   
1,876,022
 
     
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Series 2013G:
             
 
5,690
 
5.250%, 9/01/30
9/23 at 100.00
 
A+
   
6,924,161
 
 
7,135
 
5.250%, 9/01/32
9/23 at 100.00
 
A+
   
8,567,494
 
     
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Various Correctional Facilities Series 2013F:
             
 
1,685
 
5.250%, 9/01/31
9/23 at 100.00
 
A+
   
2,034,890
 
 
1,450
 
5.250%, 9/01/33
9/23 at 100.00
 
A+
   
1,735,592
 
 
1,000
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009G-1, 5.750%, 10/01/30
10/19 at 100.00
 
A+
   
1,167,700
 
 
2,260
 
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2010A-1, 5.750%, 3/01/30
3/20 at 100.00
 
A+
   
2,658,867
 
 
2,160
 
Chino Redevelopment Agency, California, Merged Chino Redevelopment Project Area Tax Allocation Bonds, Series 2006, 5.000%, 9/01/38 – AMBAC Insured
9/16 at 101.00
 
A
   
2,221,301
 
 
1,445
 
Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27
10/16 at 100.00
 
A
   
1,451,344
 
 
15,750
 
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2015A, 5.000%, 6/01/45
6/25 at 100.00
 
A+
   
18,059,107
 
 
3,225
 
Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/28
11/25 at 100.00
 
A
   
3,794,503
 
 
1,310
 
Inglewood Redevelopment Agency, California, Tax Allocation Bonds, Merged Redevelopment Project, Subordinate Lien Series 2007A-1, 5.000%,
5/01/23 – AMBAC Insured
5/17 at 100.00
 
BBB+
   
1,348,488
 
     
Irvine Unified School District, California, Special Tax Bonds, Community Facilities District Series 2006A:
             
 
330
 
5.000%, 9/01/26
9/16 at 100.00
 
N/R
   
335,732
 
 
760
 
5.125%, 9/01/36
9/16 at 100.00
 
N/R
   
770,959
 
 
680
 
Lammersville School District, San Joaquin County, California, Special Tax Bonds, Community Facilities District 2002 Mountain House, Series 2006, 5.125%, 9/01/35
9/16 at 100.00
 
N/R
   
688,799
 
 
1,310
 
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester Social Services Project, Series 2005, 5.000%,
9/01/37 – AMBAC Insured
5/16 at 100.00
 
A1
   
1,312,581
 
 
2,615
 
Los Angeles County Public Works Financing Authority, California, Lease Revenue Bonds, Multiple Capital Facilities Project II, Series 2012, 5.000%, 8/01/42
No Opt. Call
 
AA
   
3,005,080
 
 
725
 
National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011, 6.500%, 8/01/24
8/21 at 100.00
 
A
   
917,444
 
 
270
 
Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40
9/21 at 100.00
 
BBB+
   
327,389
 
 
11,165
 
Palm Desert Financing Authority, California, Tax Allocation Revenue Bonds, Project Area 1, Refunding Series 2002, 5.100%, 4/01/30 – NPFG Insured
10/16 at 100.00
 
AA–
   
11,205,752
 

72
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
290
 
Patterson Public Finance Authority, California, Revenue Bonds, Community Facilities District 2001-1, Subordinate Lien Series 2013B, 5.875%, 9/01/39
9/23 at 100.00
 
N/R
 
$
320,960
 
     
Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A:
             
 
1,800
 
5.250%, 9/01/30
9/23 at 100.00
 
N/R
   
1,995,480
 
 
1,610
 
5.750%, 9/01/39
9/23 at 100.00
 
N/R
   
1,793,701
 
 
2,630
 
Pico Rivera Water Authority, California, Revenue Bonds, Series 2001A, 6.250%, 12/01/32
6/16 at 100.00
 
N/R
   
2,635,786
 
 
3,250
 
Pomona Public Financing Authority, California, Revenue Refunding Bonds, Merged Redevelopment Projects, Series 2001AD, 5.000%, 2/01/27 – NPFG Insured
8/16 at 100.00
 
AA–
   
3,262,415
 
     
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2007A:
             
 
10,000
 
0.000%, 8/01/44 – NPFG Insured
No Opt. Call
 
AA–
   
1,634,600
 
 
10,025
 
0.000%, 8/01/45 – NPFG Insured
No Opt. Call
 
AA–
   
1,546,356
 
 
3,500
 
Rancho Cucamonga Redevelopment Agency Successor Agency, California, Tax Allocation Bonds, Rancho Redevelopment Project, Series 2014, 5.000%, 9/01/30
9/24 at 100.00
 
AA
   
4,149,985
 
 
865
 
Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30
9/21 at 100.00
 
BBB+
   
994,196
 
 
3,375
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Interstate 215 Corridor Redevelopment Project Area, Series 2010E, 6.500%, 10/01/40
10/20 at 100.00
 
A–
   
3,963,533
 
 
155
 
Riverside County Redevelopment Agency, California, Tax Allocation Bonds, Jurupa Valley Project Area, Series 2011B, 6.500%, 10/01/25
10/21 at 100.00
 
A
   
193,449
 
     
Riverside County, California, Special Tax Bonds, Community Facilities District 04-2 Lake Hill Crest, Series 2012:
             
 
990
 
5.000%, 9/01/29
9/22 at 100.00
 
N/R
   
1,106,642
 
 
2,615
 
5.000%, 9/01/35
9/22 at 100.00
 
N/R
   
2,866,406
 
 
350
 
Roseville, California, Special Tax Bonds, Community Facilities District 1 Westpark, Refunding Series 2015, 5.000%, 9/01/37
9/25 at 100.00
 
N/R
   
388,059
 
 
100
 
San Clemente, California, Special Tax Revenue Bonds, Community Facilities District 2006-1 Marblehead Coastal, Series 2015, 5.000%, 9/01/40
9/25 at 100.00
 
N/R
   
113,628
 
 
5,000
 
San Diego County Regional Transportation Commission, California, Sales Tax Revenue Bonds, Series 2014A, 5.000%, 4/01/44
4/24 at 100.00
 
AAA
   
5,775,500
 
 
330
 
San Francisco City and County Redevelopment Agency Successor Agency, California, Special Tax Bonds, Community Facilities District 7, Hunters Point Shipyard Phase One Improvements, Refunding Series 2014, 5.000%, 8/01/39
No Opt. Call
 
N/R
   
360,647
 
 
125
 
San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41
2/21 at 100.00
 
A–
   
151,051
 
     
San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D:
             
 
125
 
7.000%, 8/01/33
2/21 at 100.00
 
BBB+
   
150,996
 
 
160
 
7.000%, 8/01/41
2/21 at 100.00
 
BBB+
   
193,275
 
 
1,500
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Refunding Series 2006D, 5.000%, 8/01/23 – AMBAC Insured
8/17 at 100.00
 
BBB+
   
1,581,150
 
 
1,160
 
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Area Redevelopment Project, Series 2006C, 5.000%, 8/01/25 – NPFG Insured
8/17 at 100.00
 
AA–
   
1,230,922
 
 
215
 
Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26
4/21 at 100.00
 
N/R
   
256,560
 
 
8,710
 
South Orange County Public Financing Authority, California, Special Tax Revenue Bonds, Ladera Ranch, Refunding Series 2005A, 5.000%,
8/15/32 – AMBAC Insured
5/16 at 100.00
 
BBB+
   
8,737,785
 

Nuveen Investments
 
73


NZH
Nuveen California Dividend Advantage Municipal Fund 3
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Tax Obligation/Limited (continued)
             
$
1,500
 
Stockton Public Financing Authority, California, Lease Revenue Bonds, Series 2004, 5.250%, 9/01/34 – FGIC Insured
5/16 at 100.00
 
AA–
 
$
1,500,135
 
 
1,415
 
Temecula Public Financing Authority, California, Special Tax Bonds, Community Facilities District 03-02 Roripaugh, Series 2006, 5.450%, 9/01/26
9/16 at 100.00
 
N/R
   
1,418,141
 
 
1,165
 
Temecula Redevelopment Agency, California, Redevelopment Project 1 Tax Allocation Housing Bonds Series 2011A, 7.000%, 8/01/39
8/21 at 100.00
 
BBB+
   
1,455,586
 
     
Westminster Redevelopment Agency, California, Tax Allocation Bonds, Commercial Redevelopment Project 1, Police Facility Subordinate Series 2009:
             
 
7,500
 
6.250%, 11/01/39
11/19 at 100.00
 
AA
   
8,762,100
 
 
5,000
 
5.750%, 11/01/45
11/19 at 100.00
 
AA
   
5,738,900
 
 
370
 
Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A, 6.500%, 9/01/32
9/21 at 100.00
 
A–
   
450,571
 
 
138,475
 
Total Tax Obligation/Limited
         
135,131,720
 
     
Transportation – 12.6% (9.0% of Total Investments)
             
 
3,705
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2013S-4, 5.250%, 4/01/48
4/23 at 100.00
 
AA–
   
4,305,543
 
 
3,425
 
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Junior Lien Series 2013C, 6.500%, 1/15/43
1/24 at 100.00
 
BB+
   
4,086,607
 
     
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A:
             
 
7,560
 
5.750%, 1/15/46
1/24 at 100.00
 
BBB–
   
8,852,533
 
 
7,555
 
6.000%, 1/15/53
1/24 at 100.00
 
BBB–
   
8,890,800
 
     
Los Angeles Department of Airports, California, Revenue Bonds, Los Angeles International Airport, Senior Lien Series 2015D:
             
 
865
 
5.000%, 5/15/31 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
1,020,069
 
 
3,805
 
5.000%, 5/15/33 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
4,426,623
 
 
1,000
 
5.000%, 5/15/36 (Alternative Minimum Tax)
5/25 at 100.00
 
AA
   
1,151,190
 
     
Los Angeles Harbors Department, California, Revenue Bonds, Series 2014C:
             
 
1,160
 
5.000%, 8/01/34
8/24 at 100.00
 
AA
   
1,371,259
 
 
1,865
 
5.000%, 8/01/36
8/24 at 100.00
 
AA
   
2,190,778
 
 
4,610
 
5.000%, 8/01/44
8/24 at 100.00
 
AA
   
5,317,543
 
 
2,350
 
Port of Oakland, California, Revenue Bonds, Refunding Series 2012P, 5.000%, 5/01/29 (Alternative Minimum Tax)
No Opt. Call
 
A+
   
2,709,691
 
 
1,000
 
San Diego County Regional Airport Authority, California, Airport Revenue Bonds, Senior Series 2013B, 5.000%, 7/01/43 (Alternative Minimum Tax)
7/23 at 100.00
 
A+
   
1,107,900
 
 
38,900
 
Total Transportation
         
45,430,536
 
     
U.S. Guaranteed – 5.3% (3.8% of Total Investments) (7)
             
 
1,690
 
Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2006F, 5.000%, 4/01/31 (Pre-refunded 4/01/16) (UB)
4/16 at 100.00
 
AA (7)
   
1,697,368
 
 
1,000
 
California Municipal Finance Authority, Revenue Bonds, Harbor Regional Center Project, Series 2009, 8.000%, 11/01/29 (Pre-refunded 11/01/19)
11/19 at 100.00
 
A3 (7)
   
1,251,820
 
 
3,435
 
California Statewide Communities Development Authority, Revenue Bonds, ValleyCare Health System, Series 2007A, 5.125%, 7/15/31 (Pre-refunded 7/15/17)
7/17 at 100.00
 
AA+ (7)
   
3,656,454
 
 
890
 
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 (Pre-refunded 4/01/16) – NPFG Insured
4/16 at 100.00
 
AA (7)
   
893,872
 
 
325
 
Independent Cities Lease Finance Authority, California, Mobile Home Park Revenue Bonds, San Juan Mobile Estates, Series 2006B, 5.850%, 5/15/41 (Pre-refunded 5/15/16)
5/16 at 100.00
 
N/R (7)
   
328,907
 

74
 
Nuveen Investments


 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
U.S. Guaranteed (7) (continued)
             
$
1,000
 
Lindsay Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2007, 5.000%, 8/01/37 (Pre-refunded 8/01/17) – RAAI Insured
8/17 at 100.00
 
N/R (7)
 
$
1,064,570
 
 
2,950
 
Loma Linda, California, Hospital Revenue Bonds, Loma Linda University Medical Center, Series 2008A, 8.250%, 12/01/38 (Pre-refunded 12/01/17)
12/17 at 100.00
 
BB+ (7)
   
3,346,244
 
 
2,330
 
Newport Beach, California, Revenue Bonds, Hoag Memorial Hospital Presbyterian, Series 2011A, 6.000%, 12/01/40 (Pre-refunded 12/01/21)
12/21 at 100.00
 
N/R (7)
   
2,969,725
 
 
2,185
 
Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Refunding Series 2008A, 6.500%, 9/01/28 (Pre-refunded 9/01/18)
9/18 at 100.00
 
BBB– (7)
   
2,499,290
 
 
1,345
 
San Mateo Union High School District, San Mateo County, California, Certificates of Participation, Phase 1, Series 2007A, 5.000%, 12/15/30 (Pre-refunded 12/15/17) – AMBAC Insured
12/17 at 100.00
 
N/R (7)
   
1,451,672
 
 
17,150
 
Total U.S. Guaranteed
         
19,159,922
 
     
Utilities – 5.9% (4.2% of Total Investments)
             
 
3,815
 
Long Beach Bond Finance Authority, California, Natural Gas Purchase Revenue Bonds, Series 2007A, 5.000%, 11/15/35
No Opt. Call
 
A
   
4,480,908
 
 
14,505
 
Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2012B, 5.000%, 7/01/43
7/22 at 100.00
 
AA–
   
16,761,833
 
 
18,320
 
Total Utilities
         
21,242,741
 
     
Water and Sewer – 14.8% (10.6% of Total Investments)
             
     
Bay Area Water Supply and Conservation Agency, California, Revenue Bonds, Capital Cost Recovery Prepayment Program, Series 2013A:
             
 
2,000
 
5.000%, 10/01/27
4/23 at 100.00
 
AA–
   
2,446,460
 
 
3,000
 
5.000%, 10/01/29
4/23 at 100.00
 
AA–
   
3,618,450
 
 
3,000
 
5.000%, 10/01/34
4/23 at 100.00
 
AA–
   
3,535,590
 
 
8,840
 
California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, Poseidon Resources Channelside LP Desalination Project, Series 2012, 5.000%, 11/21/45 (Alternative Minimum Tax)
No Opt. Call
 
Baa3
   
9,656,374
 
 
5,000
 
East Bay Municipal Utility District, Alameda and Contra Costa Counties, California, Water System Revenue Bonds, Refunding Series 2015A, 5.000%, 6/01/31
6/25 at 100.00
 
AAA
   
6,152,300
 
 
3,000
 
East Valley Water District Financing Authority, California, Refunding Revenue Bonds, Series 2010, 5.000%, 10/01/40
10/20 at 100.00
 
AA–
   
3,402,180
 
 
1,125
 
Fortuna Public Finance Authority, California, Water Revenue Bonds, Series 2006, 5.000%, 10/01/36 – AGM Insured
10/16 at 100.00
 
AA
   
1,148,873
 
 
2,355
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2012B, 5.000%, 7/01/37
No Opt. Call
 
AA
   
2,760,955
 

Nuveen Investments
 
75


NZH
Nuveen California Dividend Advantage Municipal Fund 3
 
 
Portfolio of Investments (continued)
February 29, 2016

 
Principal
   
Optional Call
           
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
   
Value
 
     
Water and Sewer (continued)
             
$
9,470
 
Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2014A, 5.000%, 7/01/44
7/24 at 100.00
 
AA
 
$
11,055,467
 
     
Los Angeles, California, Wastewater System Revenue Bonds, Refunding Subordinate Lien Series 2013A:
             
 
1,245
 
5.000%, 6/01/34
6/23 at 100.00
 
AA
   
1,472,063
 
 
5,355
 
5.000%, 6/01/35
6/23 at 100.00
 
AA
   
6,311,992
 
 
1,500
 
Metropolitan Water District of Southern California, Water Revenue Refunding Bonds, Series 2015A, 5.000%, 7/01/40
7/25 at 100.00
 
AAA
   
1,774,890
 
 
45,890
 
Total Water and Sewer
         
53,335,594
 
$
497,584
 
Total Long-Term Investments (cost $452,963,292)
         
505,230,200
 
     
Floating Rate Obligations – (0.2)%
         
(845,000
)
     
Variable Rate Demand Preferred Shares, at Liquidation Preference – (44.4)% (8)
         
(160,000,000
)
     
Other Assets Less Liabilities – 4.4%
         
15,899,142
 
     
Net Assets Applicable to Common Shares – 100%
       
$
360,284,342
 

(1)
All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions (not covered by the report of independent registered public accounting firm): 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 (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investors Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
The coupon for this security increased 0.25% effective January 1, 2016 and will increase an additional 0.25% effective July 1, 2016.
(5)
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(6)
As of, or subsequent to, the end of the reporting period this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund's Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund's records.
(7)
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. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(8)
Variable Rate Demand Preferred Shares, at Liquidation Preference as a percentage of Total Investments is 31.7%.
(IF)
Inverse floating rate investment.
(UB)
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.

 See accompanying notes to financial statements.

76
 
Nuveen Investments

 
Statement of
 
 
 
Assets and Liabilities
February 29, 2016

     
California
   
California
 
California AMT-
 
     
Value
   
Value 2
   
Free Income
 
     
(NCA
)
 
(NCB
)
 
(NKX
)
Assets
                   
Long-term investments, at value (cost $245,270,711, $45,099,563 and $954,948,829, respectively)
 
$
276,770,929
 
$
53,712,138
 
$
1,079,765,036
 
Cash
   
4,824,462
   
481,030
   
 
Receivable for:
                   
Common shares sold
   
185,022
   
   
 
Interest
   
2,654,349
   
618,163
   
12,816,201
 
Investments sold
   
1,083,258
   
2,130,000
   
14,392,134
 
Deferred offering costs
   
   
   
2,626,873
 
Other assets
   
30,867
   
461
   
330,740
 
Total assets
   
285,548,887
   
56,941,792
   
1,109,930,984
 
Liabilities
                   
Cash overdraft
   
   
   
6,424,942
 
Floating rate obligations
   
4,490,000
   
   
390,000
 
Payable for dividends
   
963,437
   
203,818
   
3,288,288
 
Institutional MuniFund Term Preferred ("iMTP") Shares, at liquidation preference
   
   
   
36,000,000
 
Variable Rate Demand Preferred ("VRDP") Shares, at liquidation preference
   
   
   
291,600,000
 
Accrued expenses:
                   
Management fees
   
114,798
   
28,095
   
531,198
 
Directors/Trustees fees
   
30,874
   
244
   
104,634
 
Professional fees
   
24,893
   
23,672
   
33,534
 
Other
   
44,393
   
12,485
   
92,099
 
Total liabilities
   
5,668,395
   
268,314
   
338,464,695
 
Net assets applicable to common shares
 
$
279,880,492
 
$
56,673,478
 
$
771,466,289
 
Common shares outstanding
   
26,499,126
   
3,288,461
   
47,708,456
 
Net asset value ("NAV") per common share outstanding
 
$
10.56
 
$
17.23
 
$
16.17
 
Net assets applicable to common shares consist of:
                   
Common shares, $0.01 par value per share
 
$
264,991
 
$
32,885
 
$
477,085
 
Paid-in surplus
   
250,922,912
   
46,977,517
   
640,399,730
 
Undistributed (Over-distribution of) net investment income
   
568,478
   
751,985
   
4,026,162
 
Accumulated net realized gain (loss)
   
(3,376,107
)
 
298,516
   
1,747,105
 
Net unrealized appreciation (depreciation)
   
31,500,218
   
8,612,575
   
124,816,207
 
Net assets applicable to common shares
 
$
279,880,492
 
$
56,673,478
 
$
771,466,289
 
Authorized shares:
                   
Common
   
250,000,000
   
Unlimited
   
Unlimited
 
Preferred
   
N/A
   
N/A
   
Unlimited
 
N/A – Fund is not authorized to issue Preferred shares.
                   
See accompanying notes to financial statements.

Nuveen Investments
 
77


Statement of Assets and Liabilities (continued)

     
California
   
California
   
California
 
     
Dividend
   
Dividend
   
Dividend
 
     
Advantage
   
Advantage 2
   
Advantage 3
 
     
(NAC
)
 
(NVX
)
 
(NZH
)
Assets
                   
Long-term investments, at value (cost $2,174,696,806, $301,835,208 and $452,963,292 respectively)
 
$
2,454,303,724
 
$
332,114,577
 
$
505,230,200
 
Cash
   
   
552,063
   
 
Receivable for:
                   
Common shares sold
   
   
   
 
Interest
   
31,817,757
   
4,186,775
   
6,806,442
 
Investments sold
   
31,737,207
   
10,000
   
14,525,000
 
Deferred offering costs
   
3,606,367
   
324,025
   
225,276
 
Other assets
   
841,702
   
126,064
   
193,337
 
Total assets
   
2,522,306,757
   
337,313,504
   
526,980,255
 
Liabilities
                   
Cash overdraft
   
6,847,614
   
   
3,869,736
 
Floating rate obligations
   
81,490,000
   
965,000
   
845,000
 
Payable for dividends
   
7,788,718
   
980,144
   
1,581,603
 
Institutional MuniFund Term Preferred ("iMTP") Shares, at liquidation preference
   
   
   
 
Variable Rate Demand Preferred ("VRDP") Shares, at liquidation preference
   
699,600,000
   
98,000,000
   
160,000,000
 
Accrued expenses:
                   
Management fees
   
1,177,961
   
165,267
   
259,414
 
Directors/Trustees fees
   
329,406
   
45,328
   
70,413
 
Professional fees
   
43,372
   
28,413
   
30,011
 
Other
   
284,116
   
31,263
   
39,736
 
Total liabilities
   
797,561,187
   
100,215,415
   
166,695,913
 
Net assets applicable to common shares
 
$
1,724,745,570
 
$
237,098,089
 
$
360,284,342
 
Common shares outstanding
   
107,383,777
   
14,760,104
   
24,151,884
 
Net asset value ("NAV") per common share outstanding
 
$
16.06
 
$
16.06
 
$
14.92
 
Net assets applicable to common shares consist of:
                   
Common shares, $0.01 par value per share
 
$
1,073,838
 
$
147,601
 
$
241,519
 
Paid-in surplus
   
1,454,675,843
   
207,962,588
   
333,101,519
 
Undistributed (Over-distribution of) net investment income
   
9,020,920
   
1,014,086
   
2,243,808
 
Accumulated net realized gain (loss)
   
(19,631,949
)
 
(2,305,555
)
 
(27,569,412
)
Net unrealized appreciation (depreciation)
   
279,606,918
   
30,279,369
   
52,266,908
 
Net assets applicable to common shares
 
$
1,724,745,570
 
$
237,098,089
 
$
360,284,342
 
Authorized shares:
                   
Common
   
Unlimited
   
Unlimited
   
Unlimited
 
Preferred
   
Unlimited
   
Unlimited
   
Unlimited
 
See accompanying notes to financial statements.

78
 
Nuveen Investments


Statement of
 
 
 
Operations
Year Ended February 29, 2016

     
California
   
California
 
California AMT-
 
     
Value
   
Value 2
   
Free Income
 
     
(NCA
)
 
(NCB
)
 
(NKX
)
Investment Income
 
$
13,443,379
 
$
3,127,251
 
$
50,437,367
 
Expenses
                   
Management fees
   
1,397,303
   
353,649
   
6,606,749
 
Interest expense and amortization of offering costs
   
29,100
   
   
858,800
 
Liquidity fees
   
   
   
2,484,830
 
Remarketing fees
   
   
   
292,775
 
Custodian fees
   
36,452
   
14,497
   
118,007
 
Directors/Trustees fees
   
7,435
   
1,561
   
33,194
 
Professional fees
   
108,460
   
25,820
   
256,272
 
Shareholder reporting expenses
   
68,005
   
8,946
   
41,658
 
Shareholder servicing agent fees
   
21,609
   
203
   
16,270
 
Stock exchange listing fees
   
7,954
   
786
   
16,955
 
Investor relations expenses
   
12,578
   
4,934
   
29,016
 
Other
   
31,304
   
9,524
   
404,909
 
Total expenses
   
1,720,200
   
419,920
   
11,159,435
 
Net investment income (loss)
   
11,723,179
   
2,707,331
   
39,277,932
 
Realized and Unrealized Gain (Loss)
                   
Net realized gain (loss) from investments
   
(136,942
)
 
439,298
   
6,736,377
 
Change in net unrealized appreciation (depreciation) of investments
   
1,023,386
   
(590,186
)
 
6,110,249
 
Net realized and unrealized gain (loss)
   
886,444
   
(150,888
)
 
12,846,626
 
Net increase (decrease) in net assets applicable to common shares from operations
 
$
12,609,623
 
$
2,556,443
 
$
52,124,558
 
See accompanying notes to financial statements.

Nuveen Investments
 
79


Statement of Operations (continued)

     
California
   
California
   
California
 
     
Dividend
   
Dividend
   
Dividend
 
     
Advantage
   
Advantage 2
   
Advantage 3
 
     
(NAC
)
 
(NVX
)
 
(NZH
)
Investment Income
 
$
118,818,811
 
$
15,483,288
 
$
25,549,659
 
Expenses
                   
Management fees
   
14,626,844
   
2,044,512
   
3,215,037
 
Interest expense and amortization of offering costs
   
1,596,545
   
146,847
   
204,621
 
Liquidity fees
   
5,802,339
   
913,289
   
1,455,550
 
Remarketing fees
   
711,262
   
99,634
   
162,668
 
Custodian fees
   
231,337
   
42,115
   
57,224
 
Directors/Trustees fees
   
67,526
   
9,078
   
14,126
 
Professional fees
   
164,011
   
39,585
   
60,705
 
Shareholder reporting expenses
   
104,442
   
16,433
   
28,677
 
Shareholder servicing agent fees
   
57,975
   
1,222
   
1,938
 
Stock exchange listing fees
   
38,305
   
3,528
   
5,774
 
Investor relations expenses
   
82,586
   
8,678
   
19,221
 
Other
   
502,462
   
40,870
   
47,360
 
Total expenses
   
23,985,634
   
3,365,791
   
5,272,901
 
Net investment income (loss)
   
94,833,177
   
12,117,497
   
20,276,758
 
Realized and Unrealized Gain (Loss)
                   
Net realized gain (loss) from investments
   
14,266,694
   
1,846,986
   
134,264
 
Change in net unrealized appreciation (depreciation) of investments
   
1,798,438
   
1,949,294
   
4,404,759
 
Net realized and unrealized gain (loss)
   
16,065,132
   
3,796,280
   
4,539,023
 
Net increase (decrease) in net assets applicable to common shares from operations
 
$
110,898,309
 
$
15,913,777
 
$
24,815,781
 

See accompanying notes to financial statements.

80
 
Nuveen Investments


Statement of
 
 
Changes in Net Assets

     
California Value (NCA)
   
California Value 2 (NCB)
  California AMT-Free Income (NKX)  
     
Year
   
Year
   
Year
   
Year
   
Year
   
Year
 
     
Ended
   
Ended
   
Ended
   
Ended
   
Ended
   
Ended
 
     
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
 
Operations
                                     
Net investment income (loss)
 
$
11,723,179
 
$
11,562,715
 
$
2,707,331
 
$
2,753,431
 
$
39,277,932
 
$
39,291,713
 
Net realized gain (loss) from Investments
   
(136,942
)
 
196,175
   
439,298
   
1,166,712
   
6,736,377
   
127,614
 
Change in net unrealized appreciation (depreciation) of Investments
   
1,023,386
   
12,999,135
   
(590,186
)
 
1,327,324
   
6,110,249
   
65,081,303
 
Net increase (decrease) in net assets applicable to common shares from operations
   
12,609,623
   
24,758,025
   
2,556,443
   
5,247,467
   
52,124,558
   
104,500,630
 
Distributions to Common Shareholders
                                     
From net investment income
   
(12,188,914
)
 
(11,841,485
)
 
(2,659,984
)
 
(2,583,303
)
 
(41,444,335
)
 
(38,337,336
)
From accumulated net realized gains
   
   
   
(765,094
)
 
(367,916
)
 
   
 
Decrease in net assets applicable to common shares from distributions to common shareholders
   
(12,188,914
)
 
(11,841,485
)
 
(3,425,078
)
 
(2,951,219
)
 
(41,444,335
)
 
(38,337,336
)
Capital Share Transactions
                                     
Common shares:
                                     
Issued in the reorganizations
   
   
   
   
   
   
87,770,468
 
Proceeds from shelf offering, net of offering costs
   
11,081,737
   
1,321,449
   
   
   
   
 
Net proceeds from shares issued to shareholders due to reinvestment of distributions
   
328,525
   
173,032
   
9,662
   
   
   
 
Net increase (decrease) in net assets applicable to common shares from capital share transactions
   
11,410,262
   
1,494,481
   
9,662
   
   
   
87,770,468
 
Net increase (decrease) in net assets applicable to common shares
   
11,830,971
   
14,411,021
   
(858,973
)
 
2,296,248
   
10,680,223
   
153,933,762
 
Net assets applicable to common shares at the beginning of period
   
268,049,521
   
253,638,500
   
57,532,451
   
55,236,203
   
760,786,066
   
606,852,304
 
Net assets applicable to common shares at the end of period
 
$
279,880,492
 
$
268,049,521
 
$
56,673,478
 
$
57,532,451
 
$
771,466,289
 
$
760,786,066
 
Undistributed (Over-distribution of) net investment income at the end of period
 
$
568,478
 
$
1,122,565
 
$
751,985
 
$
731,470
 
$
4,026,162
 
$
5,736,445
 
See accompanying notes to financial statements.

Nuveen Investments
 
81


Statement of Changes in Net Assets (continued)

    California Dividend Advantage (NAC)   California Dividend Advantage 2 (NVX)   California Dividend Advantage 3 (NZH)  
     
Year
   
Year
   
Year
   
Year
   
Year
   
Year
 
     
Ended
   
Ended
   
Ended
   
Ended
   
Ended
   
Ended
 
     
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
 
Operations
                                     
Net investment income (loss)
 
$
94,833,177
 
$
78,459,234
 
$
12,117,497
 
$
11,909,502
 
$
20,276,758
 
$
20,379,779
 
Net realized gain (loss) from Investments
   
14,266,694
   
4,648,813
   
1,846,986
   
(208,468
)
 
134,264
   
2,904,836
 
Change in net unrealized appreciation (depreciation) of Investments
   
1,798,438
   
82,447,263
   
1,949,294
   
15,230,559
   
4,404,759
   
25,190,058
 
Net increase (decrease) in net assets applicable to common shares from operations
   
110,898,309
   
165,555,310
   
15,913,777
   
26,931,593
   
24,815,781
   
48,474,673
 
Distributions to Common Shareholders
                                     
From net investment income
   
(99,781,005
)
 
(69,293,415
)
 
(12,264,985
)
 
(12,619,148
)
 
(19,492,986
)
 
(19,461,588
)
From accumulated net realized gains
   
   
   
   
   
   
 
Decrease in net assets applicable to common shares from distributions to common shareholders
   
(99,781,005
)
 
(69,293,415
)
 
(12,264,985
)
 
(12,619,148
)
 
(19,492,986
)
 
(19,461,588
)
Capital Share Transactions
                                     
Common shares:
                                     
Issued in the reorganizations
   
   
1,271,903,837
   
   
   
   
 
Proceeds from shelf offering, net of offering costs
   
   
   
   
   
   
 
Net proceeds from shares issued to shareholders due to reinvestment of distributions
   
   
   
13,967
   
   
   
 
Net increase (decrease) in net assets applicable to common shares from capital share transactions
   
   
1,271,903,837
   
13,967
   
   
   
 
Net increase (decrease) in net assets applicable to common shares
   
11,117,304
   
1,368,165,732
   
3,662,759
   
14,312,445
   
5,322,795
   
29,013,085
 
Net assets applicable to common shares at the beginning of period
   
1,713,628,266
   
345,462,534
   
233,435,330
   
219,122,885
   
354,961,547
   
325,948,462
 
Net assets applicable to common shares at the end of period
 
$
1,724,745,570
 
$
1,713,628,266
 
$
237,098,089
 
$
233,435,330
 
$
360,284,342
 
$
354,961,547
 
Undistributed (Over-distribution of) net investment income at the end of period
 
$
9,020,920
 
$
13,917,924
 
$
1,014,086
 
$
1,271,425
 
$
2,243,808
 
$
1,496,207
 
See accompanying notes to financial statements.

82
 
Nuveen Investments


Statement of
 
 
 
Cash Flows
Year Ended February 29, 2016

     
California
   
California
   
California
   
California
 
     
AMT-
   
Dividend
   
Dividend
   
Dividend
 
     
Free Income
   
Advantage
   
Advantage 2
   
Advantage 3
 
     
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Cash Flows from Operating Activities:
                         
Net Increase (Decrease) in Net Assets Applicable to Common Shares from Operations
 
$
52,124,558
 
$
110,898,309
 
$
15,913,777
 
$
24,815,781
 
Adjustments to reconcile the net increase (decrease) in net assets applicable to common shares from operations to net cash provided by (used in) operating activities:
                         
Purchases of investments
   
(210,596,889
)
 
(374,550,863
)
 
(61,217,728
)
 
(91,024,304
)
Proceeds from sales and maturities of investments
   
210,556,260
   
389,509,288
   
56,742,209
   
91,161,106
 
Proceeds from (Purchases of) short-term investments, net
   
8,645,000
   
20,710,000
   
1,645,000
   
4,490,000
 
Taxes paid
   
(77
)
 
(249
)
 
(26
)
 
(188
)
Amortization (Accretion) of premiums and discounts, net
   
(1,337,302
)
 
797,787
   
(10,392
)
 
737,619
 
Amortization of deferred offering costs
   
186,543
   
445,503
   
11,840
   
60,428
 
(Increase) Decrease in:
                         
Receivable for interest
   
761,384
   
1,234,304
   
230,079
   
272,051
 
Receivable for investments sold
   
(4,590,441
)
 
(28,021,007
)
 
540,750
   
(13,681,450
)
Other assets
   
(26,684
)
 
(89,262
)
 
(11,824
)
 
(10,957
)
Increase (Decrease) in:
                         
Accrued management fees
   
14,548
   
43,363
   
7,138
   
11,059
 
Accrued Directors/Trustees fees
   
84,081
   
66,602
   
9,246
   
13,980
 
Accrued professional fees
   
2,521
   
(131,507
)
 
619
   
967
 
Accrued other expenses
   
(206,095
)
 
(189,587
)
 
(38,369
)
 
(41,322
)
Net realized (gain) loss from investments
   
(6,736,377
)
 
(14,266,694
)
 
(1,846,986
)
 
(134,264
)
Change in net unrealized (appreciation) depreciation of investments
   
(6,110,249
)
 
(1,798,438
)
 
(1,949,294
)
 
(4,404,759
)
Net cash provided by (used in) operating activities
   
42,770,781
   
104,657,549
   
10,026,039
   
12,265,747
 
Cash Flows from Financing Activities
                         
Increase (Decrease) in:
                         
Cash overdraft
   
5,097,437
   
6,847,614
   
   
3,869,736
 
Floating rate obligations
   
(6,365,000
)
 
(11,505,000
)
 
   
 
Payable for offering costs
   
(64,213
)
 
(287,852
)
 
   
(50,405
)
Cash distribution paid to common shareholders
   
(41,439,005
)
 
(100,160,840
)
 
(12,289,102
)
 
(19,497,077
)
Net cash provided by (used in) financing activities
   
(42,770,781
)
 
(105,106,078
)
 
(12,289,102
)
 
(15,677,746
)
Net Increase (Decrease) in Cash
   
   
(448,529
)
 
(2,263,063
)
 
(3,411,999
)
Cash at the beginning of period
   
   
448,529
   
2,815,126
   
3,411,999
 
Cash at the end of period
 
$
 
$
 
$
552,063
 
$
 

     
California
   
California
   
California
   
California
 
     
AMT-
   
Dividend
   
Dividend
   
Dividend
 
 
   
Free Income
   
Advantage
   
Advantage 2
   
Advantage 3
 
Supplemental Disclosures of Cash Flow Information
   
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Cash paid for interest (excluding amortization of offering costs)
 
$
608,525
 
$
1,438,894
 
$
135,007
 
$
194,598
 
Non-cash financing activities not included herein consists of reinvestments of common share distributions
   
   
   
13,967
   
 
See accompanying notes to financial statements.

Nuveen Investments
 
83


Financial
 
 
Highlights

Selected data for a common share outstanding throughout each period:

   
Investment Operations
 
Less Distributions
to Common Shareholders
 
Common Share
 
   
Beginning
Common
Share
NAV
 
Net
Investment
Income
(Loss
)
Net
Realized/
Unrealized
Gain (Loss
)
Total
 
From
Net
Investment
Income
 
From
Accumu-
lated Net
Realized
Gains
 
Total
 
Premium
per
Share
Sold through
Shelf
Offering
 
Ending
NAV
 
Ending
Share
Price
 
California Value (NCA)
                                                 
Year Ended 2/28–2/29:
                                                 
2016
 
$
10.54
 
$
0.45
 
$
0.03
 
$
0.48
 
$
(0.47
)
$
 
$
(0.47
)
$
0.01
 
$
10.56
 
$
10.79
 
2015
   
10.03
   
0.46
   
0.51
   
0.97
   
(0.47
)
 
   
(0.47
)
 
0.01
   
10.54
   
10.64
 
2014
   
10.45
   
0.47
   
(0.42
)
 
0.05
   
(0.47
)
 
   
(0.47
)
 
   
10.03
   
9.57
 
2013
   
10.08
   
0.47
   
0.37
   
0.84
   
(0.47
)
 
   
(0.47
)
 
   
10.45
   
10.45
 
2012
   
9.07
   
0.48
   
0.99
   
1.47
   
(0.46
)
 
   
(0.46
)
 
   
10.08
   
10.13
 
                                                               
California Value 2 (NCB)
                                                 
Year Ended 2/28–2/29:
                                                 
2016
   
17.50
   
0.82
   
(0.05
)
 
0.77
   
(0.81
)
 
(0.23
)
 
(1.04
)
 
   
17.23
   
17.70
 
2015
   
16.80
   
0.84
   
0.76
   
1.60
   
(0.79
)
 
(0.11
)
 
(0.90
)
 
   
17.50
   
16.68
 
2014
   
17.57
   
0.83
   
(0.82
)
 
0.01
   
(0.78
)
 
   
(0.78
)
 
   
16.80
   
15.53
 
2013
   
16.66
   
0.83
   
0.89
   
1.72
   
(0.80
)
 
(0.01
)
 
(0.81
)
 
   
17.57
   
16.86
 
2012
   
14.88
   
0.84
   
1.76
   
2.60
   
(0.80
)
 
(0.02
)
 
(0.82
)
 
   
16.66
   
16.33
 

(a)
Total Return Based on Common Share NAV is the combination of changes in common share NAV, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 NAV. 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 NAV), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
 
Total Return Based on Common Share Price 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.

84
 
Nuveen Investments


     
Common Share Supplemental Data/
Ratios Applicable to Common Shares
 
 
Common Share
Total Returns
         
Ratios to Average Net Assets
       
                                   
       
Based
   
Ending
                   
 
Based
   
on
   
Net
         
Net
   
Portfolio
 
 
on
   
Share
   
Assets
         
Investment
   
Turnover
 
 
NAV
(a)  
Price
(a)  
(000)
   
Expenses
(b)  
Income (Loss
)  
Rate
(d)
                                   
                                   
 
4.81
%
 
6.08
%
$
279,880
   
0.64
%
 
4.35
%
 
10
%
 
9.91
   
16.36
   
268,050
   
0.64
(c)
 
4.41
(c)
 
13
 
 
0.62
   
(3.80
)
 
253,639
   
0.62
   
4.73
   
20
 
 
8.48
   
7.99
   
264,094
   
0.64
   
4.55
   
16
 
 
16.58
   
27.44
   
254,563
   
0.65
   
4.98
   
8
 
                                   
                                   
 
4.57
   
12.91
   
56,673
   
0.74
   
4.78
   
8
 
 
9.68
   
13.41
   
57,532
   
0.75
   
4.84
   
7
 
 
0.22
   
(3.08
)
 
55,236
   
0.76
   
5.00
   
12
 
 
10.54
   
8.39
   
57,769
   
0.74
   
4.81
   
7
 
 
17.97
   
26.50
   
54,772
   
0.77
   
5.41
   
4
 

(b)
The expense ratios reflect, among other things, the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, (as described in Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities), where applicable, as follows:

California Value (NCA)
       
Year Ended 2/28–2/29:
       
2016
   
0.01
%
2015
   
0.01
 
2014
   
0.01
 
2013
   
0.01
 
2012
   
0.01
 
 
California Value 2 (NCB)
       
Year Ended 2/28–2/29:
       
2016
   
%
2015
   
 
2014
   
 
2013
   
 
2012
   
 

(c)
During the fiscal year ended February 28, 2015, the Adviser voluntarily reimbursed the Fund for certain expenses incurred in connection with its common shares equity shelf program. As a result the expenses and net investment income (loss) ratios to average net assets applicable to common shares reflect the voluntary expense reimbursement from Adviser as described in Note 4 – Fund Shares, Common Shares Equity Shelf Programs and Offering Costs. The expenses and net investment income (loss) ratios to average net assets applicable to common shares excluding this expense reimbursement from Adviser are as follows:

         
Net Investment
 
California Value (NCA)
   
Expenses
   
Income (Loss
)
Year Ended 2/28-2/29:
             
2015
   
0.67
%
 
4.38
%

(d)
Portfolio Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period.
See accompanying notes to financial statements.

Nuveen Investments
 
85


Financial Highlights (continued)
Selected data for a common share outstanding throughout each period:

       
Investment Operations
 
Less Distributions
to Common Shareholders
 
Common Share
 
   
Beginning
Common
Share
NAV
 
Net
Investment
Income
(Loss
Net
Realized/
Unrealized
Gain (Loss
Distributions
from Net
Investment
Income to
ARPS
Shareholders
(a)
Distributions
from
Accumulated
Net
Realized
Gains to
ARPS
Shareholders
(a)
Total
 
From
Net
Investment
Income
 
From
Accumu-
lated
Net
Realized
Gains
 
Total
 
Ending
NAV
 
Ending
Share
Price
 
California AMT-Free Income (NKX)
                                                 
Year Ended 2/28-2/29:
                                                 
2016
 
$
15.95
 
$
0.82
 
$
0.27
 
$
 
$
 
$
1.09
 
$
(0.87
)
$
 
$
(0.87
)
$
16.17
 
$
15.63
 
2015
   
14.50
   
0.85
   
1.45
   
   
   
2.30
   
(0.85
)
 
   
(0.85
)
 
15.95
   
14.67
 
2014
   
15.57
   
0.84
   
(1.06
)
 
   
   
(0.22
)
 
(0.84
)
 
(0.01
)
 
(0.85
)
 
14.50
   
13.25
 
2013
   
14.73
   
0.77
   
0.97
   
   
   
1.74
   
(0.88
)
 
(0.02
)
 
(0.90
)
 
15.57
   
15.12
 
2012
   
12.82
   
0.83
   
1.91
   
   
   
2.74
   
(0.83
)
 
   
(0.83
)
 
14.73
   
15.06
 
                                                                     
California Dividend Advantage (NAC)
                                                 
Year Ended 2/28-2/29:
                                                 
2016
   
15.96
   
0.88
   
0.15
   
   
   
1.03
   
(0.93
)
 
   
(0.93
)
 
16.06
   
15.84
 
2015
   
14.68
   
0.87
   
1.34
   
   
   
2.21
   
(0.93
)
 
   
(0.93
)
 
15.96
   
15.34
 
2014
   
15.90
   
0.84
   
(1.17
)
 
   
   
(0.33
)
 
(0.89
)
 
   
(0.89
)
 
14.68
   
14.07
 
2013
   
14.87
   
0.84
   
1.11
   
   
   
1.95
   
(0.92
)
 
   
(0.92
)
 
15.90
   
15.81
 
2012
   
12.68
   
0.94
   
2.17
   
(0.01
)
 
   
3.10
   
(0.91
)
 
   
(0.91
)
 
14.87
   
15.14
 

(a)
The amounts shown for Auction Rate Preferred Shares ("ARPS") are based on common share equivalents.
(b)
Total Return Based on Common Share NAV is the combination of changes in common share NAV, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 NAV. 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 NAV), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
 
Total Return Based on Common Share Price 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.
(c)
Ratios do not reflect the effect of dividend payments to ARPS shareholders, during periods when ARPS were outstanding; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS and other subsequent forms of preferred shares issued by the Fund, where applicable.

86
 
Nuveen Investments


       
Common Share Supplemental Data/
Ratios Applicable to Common Shares
 
 
Common Share
Total Returns
         
Ratios to Average Net Assets(c)
       
       
Based
                         
 
Based
   
on
   
Ending
         
Net
   
Portfolio
 
 
on
   
Share
   
Net
         
Investment
   
Turnover
 
 
NAV
(b)  
Price
(b)  
Assets (000)
   
Expenses
(d)  
Income (Loss)
   
Rate
(f)
                                   
                                   
 
7.09
%
 
12.93
%
$
771,466
   
1.48
%
 
5.22
%
 
20
%
 
16.16
   
17.55
   
760,786
   
1.62
(e)
 
5.53
(e)
 
13
 
 
(1.10
)
 
(6.39
)
 
606,852
   
1.64
   
5.93
   
32
 
 
12.08
   
6.53
   
651,402
   
1.64
   
5.48
   
20
 
 
21.95
   
36.10
   
86,731
   
1.90
   
6.03
   
7
 
                                   
                                   
 
6.73
   
9.79
   
1,724,746
   
1.42
   
5.62
   
15
 
 
15.39
   
16.21
   
1,713,628
   
1.50
(e)
 
5.97
(e)
 
9
 
 
(1.81
)
 
(4.95
)
 
345,463
   
1.86
   
5.79
   
25
 
 
13.39
   
10.80
   
374,096
   
1.60
   
5.44
   
12
 
 
25.30
   
32.82
   
349,203
   
1.50
   
6.84
   
13
 

(d)
The expense ratios reflect, among other things, all interest expense and other costs related to preferred shares (as described in Note 4 – Fund Shares, Preferred Shares) and/or 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 Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities), where applicable, as follows:

California AMT-Free Income (NKX)
       
Year Ended 2/28-2/29:
       
2016
   
0.48
%
2015
   
0.57
 
2014
   
0.62
 
2013
   
0.59
 
2012
   
0.67
 
 
California Dividend Advantage (NAC)
       
Year Ended 2/28-2/29:
       
2016
   
0.48
%
2015
   
0.50
 
2014
   
0.61
 
2013
   
0.61
 
2012
   
0.46
 

(e)
During the fiscal year ended February 28, 2015, the Adviser voluntarily reimbursed the Fund for certain expenses incurred in connection with its common shares equity shelf program as described in Note 4 – Fund Shares, Common Shares Equity Shelf Programs and Offering Costs. The expenses and net investment income (loss) ratios to average net assets applicable to common shares excluding this expense reimbursement from Adviser are as follows:

         
Net Investment
 
California AMT-Free Income (NKX)
   
Expenses
   
Income (Loss
)
Year Ended 2/28-2/29:
             
2015
   
1.63
%
 
5.51
%

         
Net Investment
 
California Dividend Advantage (NAC)
   
Expenses
   
Income (Loss
)
Year Ended 2/28-2/29:
             
2015
   
1.53
%
 
5.95
%

(f)
Portfolio Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period.
See accompanying notes to financial statements.

Nuveen Investments
 
87


Financial Highlights (continued)
Selected data for a common share outstanding throughout each period:

       
Investment Operations
 
Less Distributions
to Common Shareholders
 
Common Share
 
   
Beginning
Common
Share
NAV
 
Net
Investment
Income
(Loss)
 
Net
Realized/
Unrealized
Gain (Loss)
 
Distributions
from Net
Investment
Income to
ARPS
Shareholders
(a)
Distributions
from
Accumulated
Net
Realized
Gains to
ARPS
Shareholders
(a)
Total
 
From
Net
Investment
Income
 
From
Accumu-
lated
Net
Realized
Gains
 
Total
 
Ending
NAV
 
Ending
Share
Price
 
California Dividend Advantage 2 (NVX)
                                                 
Year Ended 2/28-2/29:
                                                 
2016
 
$
15.82
 
$
0.82
 
$
0.25
 
$
 
$
 
$
1.07
 
$
(0.83
)
$
 
$
(0.83
)
$
16.06
 
$
15.62
 
2015
   
14.85
   
0.81
   
1.02
   
   
   
1.83
   
(0.86
)
 
   
(0.86
)
 
15.82
   
14.59
 
2014
   
16.35
   
0.80
   
(1.40
)
 
   
   
(0.60
)
 
(0.90
)
 
   
(0.90
)
 
14.85
   
13.75
 
2013
   
15.49
   
0.85
   
0.96
   
   
   
1.81
   
(0.95
)
 
   
(0.95
)
 
16.35
   
16.30
 
2012
   
13.47
   
0.90
   
2.08
   
 
   
2.98
   
(0.96
)
 
   
(0.96
)
 
15.49
   
15.58
 
                                                                     
California Dividend Advantage 3 (NZH)
                                                 
Year Ended 2/28-2/29:
                                                 
2016
   
14.70
   
0.84
   
0.19
   
   
   
1.03
   
(0.81
)
 
   
(0.81
)
 
14.92
   
14.56
 
2015
   
13.50
   
0.84
   
1.17
   
   
   
2.01
   
(0.81
)
 
   
(0.81
)
 
14.70
   
13.63
 
2014
   
14.71
   
0.74
   
(1.15
)
 
   
   
(0.41
)
 
(0.80
)
 
   
(0.80
)
 
13.50
   
12.24
 
2013
   
13.91
   
0.75
   
0.90
   
   
   
1.65
   
(0.85
)
 
   
(0.85
)
 
14.71
   
14.25
 
2012
   
12.13
   
0.82
   
1.86
   
 
   
2.68
   
(0.90
)
 
   
(0.90
)
 
13.91
   
14.35
 

(a)
The amounts shown for ARPS are based on common share equivalents.
(b)
Total Return Based on Common Share NAV is the combination of changes in common share NAV, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 NAV. 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 NAV), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
 
Total Return Based on Common Share Price 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.
*
Rounds to less than $0.01 per share.

88
 
Nuveen Investments


     
Common Share Supplemental Data/
Ratios Applicable to Common Shares
 
Common Share
Total Returns
         
Ratios to Average Net Assets
Before Reimbursement(c)
   
Ratios to Average Net Assets
After Reimbursement(c)(d)
       
                                             
     
Based
               
Net
         
Net
       
Based
   
on
   
Ending
         
Investment
         
Investment
   
Portfolio
 
on
   
Share
   
Net
         
Income
         
Income
   
Turnover
 
NAV
(b)  
Price
(b)  
Assets (000)
   
Expenses
(e)  
(Loss)
   
Expenses
(e)  
(Loss)
   
Rate
(f)
                                             
                                             
7.03
%
 
13.22
%
$
237,098
   
1.46
%
 
5.25
%
 
N/A
   
N/A
   
17
%
12.57
   
12.72
   
233,435
   
1.50
   
5.23
   
N/A
   
N/A
   
14
 
(3.42
)
 
(9.86
)
 
219,123
   
2.24
   
5.43
   
N/A
   
N/A
   
39
 
11.94
   
11.03
   
241,237
   
2.19
   
5.29
   
N/A
   
N/A
   
23
 
22.90
   
30.01
   
228,474
   
2.30
   
6.29
   
2.30
%
 
6.30
%
 
12
 
                                             
                                             
7.26
   
13.31
   
360,284
   
1.50
   
5.77
   
N/A
   
N/A
   
18
 
15.18
   
18.47
   
354,962
   
1.56
   
5.93
   
N/A
   
N/A
   
15
 
(2.50
)
 
(8.23
)
 
325,948
   
2.42
   
5.57
   
N/A
   
N/A
   
41
 
12.15
   
5.41
   
355,163
   
2.53
   
5.22
   
N/A
   
N/A
   
20
 
22.89
   
31.93
   
335,830
   
2.56
   
6.28
   
2.52
   
6.33
   
18
 

(c)
Ratios do not reflect the effect of dividend payments to ARPS shareholders, during periods when ARPS were outstanding; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS and other subsequent forms of preferred shares issued by the Fund, where applicable.
(d)
After expense reimbursement from the Adviser, where applicable. As of March 31, 2011 and September 30, 2011, the Adviser is no longer reimbursing California Dividend Advantage 2 (NVX) and California Dividend Advantage 3 (NZH), respectively, for any fees or expenses.
(e)
The expense ratios reflect, among other things, all interest expense and other costs related to preferred shares (as described in Note 4 – Fund Shares, Preferred Shares) and/or 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 Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities), where applicable, as follows:

California Dividend Advantage 2 (NVX)
       
Year Ended 2/28-2/29:
       
2016
   
0.50
%
2015
   
0.51
 
2014
   
1.18
 
2013
   
1.15
 
2012
   
1.25
 

California Dividend Advantage 3 (NZH)
       
Year Ended 2/28-2/29:
       
2016
   
0.52
%
2015
   
0.54
 
2014
   
1.37
 
2013
   
1.47
 
2012
   
1.49
 

(f)
Portfolio Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period.
N/A
Fund no longer has a contractual reimbursement agreement with the Adviser.
See accompanying notes to financial statements.

Nuveen Investments
 
89


Financial Highlights (continued)

   
iMTP Shares at the End of Period
 
VRDP Shares at the End of Period
 
iMTP and
VRDP Shares at
the End of Period
 
     
Aggregate
   
Asset
   
Aggregate
   
Asset
 
Asset Coverage
 
     
Amount
   
Coverage
   
Amount
   
Coverage
   
Per $1
 
     
Outstanding
   
Per $5,000
   
Outstanding
   
Per $100,000
   
Liquidation
 
     
(000
)
 
Share
   
(000
)
 
Share
   
Preference
 
California AMT-Free Income (NKX)  
                         
Year Ended 2/28-2/29:
                               
2016
 
$
36,000
 
$
16,775
 
$
291,600
 
$
335,490
 
$
3.35
 
2015(a)
   
36,000
   
16,612
   
291,600
   
332,230
   
3.32
 
2014
   
   
   
291,600
   
308,111
   
 
2013
   
   
   
291,600
   
323,389
   
 
2012
   
   
   
35,500
   
344,312
   
 
                                 
California Dividend Advantage (NAC)  
                         
Year Ended 2/28-2/29:
                               
2016
   
   
   
699,600
   
346,533
   
 
2015
   
   
   
699,600
   
344,944
   
 
2014
   
   
   
136,200
   
353,644
   
 
2013
   
   
   
136,200
   
374,666
   
 
2012
   
   
   
136,200
   
356,390
   
 

(a)
The Ending and Average Market Value Per Share for each Series of the Fund's MTP Shares were as follows:

     
2015
 
California AMT-Free Income (NKX)
       
Series 2015 (NKX PRC)
       
Ending Market Value per Share
 
$
 
Average Market Value per Share
   
10.03
Ω

Ω
For the period June 9, 2014 (effective date of the Reorganizations) through December 29, 2014.
See accompanying notes to financial statements.

90
 
Nuveen Investments


   
VRDP Shares at the End of Period
 
MTP Shares at the End of Period (a)
 
     
Aggregate
   
Asset
   
Aggregate
   
Asset
 
     
Amount
   
Coverage
   
Amount
   
Coverage
 
     
Outstanding
   
Per $100,000
   
Outstanding
   
Per $10
 
     
(000
)
 
Share
   
(000
)
 
Share
 
California Dividend Advantage 2 (NVX)
                         
Year Ended 2/28-2/29:
                         
2016
 
$
98,000
 
$
341,937
 
$
 
$
 
2015
   
98,000
   
338,199
   
   
 
2014
   
98,000
   
323,595
   
   
 
2013
   
   
   
97,846
   
34.65
 
2012
   
   
   
97,846
   
33.35
 
                           
California Dividend Advantage 3 (NZH)
                         
Year Ended 2/28-2/29:
                         
2016
   
160,000
   
325,178
   
   
 
2015
   
160,000
   
321,851
   
   
 
2014
   
160,000
   
303,718
   
   
 
2013
   
   
   
159,545
   
32.26
 
2012
   
   
   
159,545
   
31.05
 

(a)
The Ending and Average Market Value Per Share for each Series of the Fund's MTP Shares were as follows:

     
2014
   
2013
   
2012
 
California Dividend Advantage 2 (NVX)
                   
Series 2014 (NVX PRA)
                   
Ending Market Value per Share
 
$
 
$
10.05
 
$
10.11
 
Average Market Value per Share
   
10.03
Δ  
10.07
   
10.093
Ω
Series 2015 (NVX PRC)
                   
Ending Market Value per Share
   
   
10.05
   
10.01
 
Average Market Value per Share
   
10.02
Δ   
10.04
   
9.89
 
 
California Dividend Advantage 3 (NZH)
                   
Series 2014 (NZH PRA)
                   
Ending Market Value per Share
   
   
10.05
   
10.17
 
Average Market Value per Share
   
10.04
ΔΔ  
10.09
   
10.11
ΩΩ
Series 2014-1 (NZH PRB)
                   
Ending Market Value per Share
   
   
10.05
   
10.15
 
Average Market Value per Share
   
10.03
ΔΔ  
10.08
   
10.12
ΩΩΩ
Series 2015 (NZH PRC)
                   
Ending Market Value per Share
   
   
10.14
   
10.18
 
Average Market Value per Share
   
10.07
ΔΔ  
10.13
   
10.11
 

Ω
For the period March 29, 2011 (first issuance date of shares) through February 29, 2012.
ΩΩ
For the period April 11, 2011 (first issuance date of shares) through February 29, 2012.
ΩΩΩ
For the period June 6, 2011 (first issuance date of shares) through February 29, 2012.
Δ
For the period March 1, 2013 through September 9, 2013.
ΔΔ
For the period March 1, 2013 through October 7, 2013.
See accompanying notes to financial statements.

Nuveen Investments
 
91


Notes to Financial Statements
1. General Information and Significant Accounting Policies
General Information
Fund Information
The funds covered in this report and their corresponding New York Stock Exchange ("NYSE") or NYSE MKT symbols are as follows (each a "Fund" and collectively, the "Funds"):

 
Nuveen California Municipal Value Fund, Inc. (NCA) ("California Value (NCA)")
 
Nuveen California Municipal Value Fund 2 (NCB) ("California Value 2 (NCB)")
 
Nuveen California AMT-Free Municipal Income Fund (NKX) ("California AMT-Free Income (NKX)")
 
Nuveen California Dividend Advantage Municipal Fund (NAC) ("California Dividend Advantage (NAC)")
 
Nuveen California Dividend Advantage Municipal Fund 2 (NVX) ("California Dividend Advantage 2 (NVX)")
 
Nuveen California Dividend Advantage Municipal Fund 3 (NZH) ("California Dividend Advantage 3 (NZH)")
The Funds are registered under the Investment Company Act of 1940, as amended, as diversified closed-end management investment companies. Common shares of California Value (NCA), California AMT-Free Income (NKX) and California Dividend Advantage (NAC) are traded on the NYSE (Common shares of California AMT-Free Income (NKX) were formerly traded on the NYSE MKT). Common shares of California Value 2 (NCB), California Dividend Advantage 2 (NVX) and California Dividend Advantage 3 (NZH) are traded on the NYSE MKT. California Value (NCA) was incorporated under the state laws of Minnesota on July 15, 1987. California Value 2 (NCB), California AMT-Free Income (NKX), California Dividend Advantage (NAC), California Dividend Advantage 2 (NVX) and California Dividend Advantage 3 (NZH) were organized as Massachusetts business trusts on January 26, 2009, July 29, 2002, December 1, 1998, June 1, 1999 and April 6, 2001, respectively.
The end of the reporting period for the Funds is February 29, 2016, and the period covered by these Notes to Financial Statements is the fiscal year ended February 29, 2016 (the "current fiscal period").
Investment Adviser
The Funds' investment adviser is Nuveen Fund Advisors, LLC (the "Adviser"), a wholly-owned subsidiary of Nuveen Investments, Inc. ("Nuveen"). The Adviser is responsible for each Fund's overall investment strategy and asset allocation decisions. The Adviser has entered into sub-advisory agreements with Nuveen Asset Management, LLC, (the "Sub-Adviser"), a subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds.
Investment Objectives and Principal Investment Strategies
Each Fund seeks to provide current income exempt from both regular federal and California state income taxes, and in the case of California AMT-Free Income (NKX) the alternative minimum tax applicable to individuals, by investing primarily in a portfolio of municipal obligations issued by state and local government authorities within the state of California or certain U.S. territories.
Significant Accounting Policies
Each Fund is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 946 "Financial Services – Investment Companies." The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with U.S. generally accepted accounting principles ("U.S. GAAP").
Investment Transactions
Investment transactions are recorded on a trade date basis. Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have earmarked securities in their portfolios with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments.

92
 
Nuveen Investments


As of the end of the reporting period, the Funds did not have any outstanding when-issued/delayed delivery purchase commitments.
Investment Income
Investment income, which reflects the amortization of premiums and accretion of discounts for financial reporting purposes, is recorded on an accrual basis. Investment income also reflects paydown gains and losses, if any.
Professional Fees
Professional fees presented on the Statement of Operations consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment or to pursue other claims or legal actions on behalf of Fund shareholders. If a refund is received for workout expenditures paid in a prior reporting period, such amounts will be recognized as "Legal fee refund" on the Statement of Operations.
Dividends and Distributions to Common Shareholders
Dividends from net investment income are declared monthly. Net realized capital gains and/or market discount from investment transactions, if any, are distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards. Distributions to common shareholders of net investment income, net realized capital gains and/or market discount, if any, are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP.
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.
Netting Agreements
In the ordinary course of business, the Funds may enter into transactions subject to enforceable International Swaps and Derivative Association, Inc. ("ISDA") master agreements or other similar arrangements ("netting agreements"). Generally, the right to offset in netting agreements allows each Fund to offset certain securities and derivatives with a specific counterparty as well as any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, each Fund manages its cash collateral and securities collateral on a counterparty basis.
The Funds' investments subject to netting agreements as of the end of the reporting period, if any, are further described in Note 3 – Portfolio Securities and Investments in Derivatives.
Use of Estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets applicable to common shares from operations during the reporting period. Actual results may differ from those estimates.
2. Investment Valuation and Fair Value Measurements
The fair valuation input levels as described below are for fair value measurement purposes.
Fair value is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The following is a summary of the three-tiered hierarchy of valuation input levels.

Level 1 – 
Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
Level 2 – 
Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3 – 
Prices are determined using significant unobservable inputs (including management's assumptions in determining the fair value of investments).

Nuveen Investments
 
93


Notes to Financial Statements (continued)
Prices of fixed income securities are provided by an independent pricing service approved by the Funds' Board of Directors/Trustees (the "Board"). The pricing service establishes a security's fair value using methods that may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor's credit characteristics considered relevant. These securities are generally classified as Level32. In pricing certain securities, particularly less liquid and lower quality securities, the pricing service may consider information about a security, its issuer or market activity, provided by the Adviser. These securities are generally classified as Level 2 or Level 3 depending on the priority of the significant inputs.
Certain securities may not be able to be priced by the pre-established pricing methods as described above. Such securities may be valued by the Board and/or its appointee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be publicly sold without registration under the Securities Act of 1933, as amended) for which a pricing service is unable to provide a market price; securities whose trading has been formally suspended; debt securities that have gone into default and for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially affect the value of the security after the market has closed but before the calculation of a Fund's NAV (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable market quotation; and a security whose price, as provided by the pricing service, is not deemed to reflect the security's fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might reasonably expect to receive for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor's credit characteristics considered relevant. These securities are generally classified as Level 2 or Level 3 depending on the priority of the significant inputs. Regardless of the method employed to value a particular security, all valuations are subject to review by the Board and/or its appointee.
The inputs or methodologies used for valuing securities are not an indication of the risks associated with investing in those securities. The following is a summary of each Fund's fair value measurements as of the end of the reporting period:

California Value (NCA)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments*:
                         
Municipal Bonds
 
$
 
$
276,770,929
 
$
 
$
276,770,929
 
California Value 2 (NCB)
                         
Long-Term Investments*:
                         
Municipal Bonds
 
$
 
$
53,712,138
 
$
 
$
53,712,138
 
California AMT-Free Income (NKX)
                         
Long-Term Investments*:
                         
Municipal Bonds
 
$
 
$
1,079,765,036
 
$
 
$
1,079,765,036
 
California Dividend Advantage (NAC)
                         
Long-Term Investments*:
                         
Municipal Bonds
 
$
 
$
2,454,303,724
 
$
 
$
2,454,303,724
 
California Dividend Advantage 2 (NVX)
                         
Long-Term Investments*:
                         
Municipal Bonds
 
$
 
$
332,114,577
 
$
 
$
332,114,577
 
California Dividend Advantage 3 (NZH)
                         
Long-Term Investments*:
                         
Municipal Bonds
 
$
 
$
505,230,200
 
$
 
$
505,230,200
 

*
Refer to the Fund's Portfolio of Investments for industry classifications.

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The Board is responsible for the valuation process and has appointed the oversight of the daily valuation process to the Adviser's Valuation Committee. The Valuation Committee, pursuant to the valuation policies and procedures adopted by the Board, is responsible for making fair value determinations, evaluating the effectiveness of the Funds' pricing policies and reporting to the Board. The Valuation Committee is aided in its efforts by the Adviser's dedicated Securities Valuation Team, which is responsible for administering the daily valuation process and applying fair value methodologies as approved by the Valuation Committee. When determining the reliability of independent pricing services for investments owned by the Funds, the Valuation Committee, among other things, conducts due diligence reviews of the pricing services and monitors the quality of security prices received through various testing reports conducted by the Securities Valuation Team.
The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making a fair value determination, based on the facts and circumstances specific to the portfolio instrument. Fair value determinations generally will be derived as follows, using public or private market information:

 
(i)
If available, fair value determinations shall be derived by extrapolating from recent transactions or quoted prices for identical or comparable securities.
     
 
(ii)
If such information is not available, an analytical valuation methodology may be used based on other available information including, but not limited to: analyst appraisals, research reports, corporate action information, issuer financial statements and shelf registration statements. Such analytical valuation methodologies may include, but are not limited to: multiple of earnings, discount from market value of a similar freely-traded security, discounted cash flow analysis, book value or a multiple thereof, risk premium/yield analysis, yield to maturity and/or fundamental investment analysis.
The purchase price of a portfolio instrument will be used to fair value the instrument only if no other valuation methodology is available or deemed appropriate, and it is determined that the purchase price fairly reflects the instrument's current value.
For each portfolio security that has been fair valued pursuant to the policies adopted by the Board, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such testing and fair valuation occurrences are reported to the Board.
3. Portfolio Securities and Investments in Derivatives
Portfolio Securities
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 (referred to as an "Underlying Bond"), typically with a fixed interest rate, into a special purpose tender option bond ("TOB") trust (referred to as the "TOB Trust") created by or at the direction of one or more Funds. In turn, the TOB Trust issues (a) floating rate certificates (referred to as "Floaters"), in face amounts equal to some fraction of the Underlying Bond's par amount or market value, and (b) an inverse floating rate certificate (referred to as an "Inverse Floater") that represents all remaining or residual interest in the TOB Trust. Floaters typically pay short-term tax-exempt interest rates to third parties who are also provided a right to tender their certificate and receive its par value, which may be paid from the proceeds of a remarketing of the Floaters, by a loan to the TOB Trust from a third party liquidity provider ("Liquidity Provider"), or by the sale of assets from the TOB Trust. The Inverse Floater is issued to a long term investor, such as one or more of the Funds. The income received by the Inverse Floater holder varies inversely with the short-term rate paid to holders of the Floaters, 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 value of an Inverse Floater 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 Floaters, and because the Inverse Floater essentially bears the risk of loss (and possible gain) of the greater face value of the Underlying Bond.
The Inverse Floater held by a Fund gives the Fund the right to (a) cause the holders of the Floaters to tender their certificates at par (or slightly more than par in certain circumstances), and (b) have the trustee of the TOB Trust (the "Trustee") transfer the Underlying Bond held by the TOB Trust to the Fund, thereby collapsing the TOB Trust.
The Fund may acquire an Inverse Floater in a transaction where it (a) transfers an Underlying Bond that it owns to a TOB Trust created by a third party or (b) transfers an Underlying Bond that it owns, or that it has purchased in a secondary market transaction for the purpose of creating an Inverse Floater, to a TOB Trust created at its direction, and in return receives the Inverse Floater of the TOB Trust (referred to as a "self-deposited Inverse Floater"). A Fund may also purchase an Inverse Floater in a secondary market transaction from a third party creator of the TOB Trust without first owning the Underlying Bond (referred to as an "externally-deposited Inverse Floater").

Nuveen Investments
 
95


Notes to Financial Statements (continued)
An investment in a self-deposited Inverse Floater is accounted for as a "financing" transaction (i.e., a secured borrowing). For a self-deposited Inverse Floater, the Underlying Bond deposited into the TOB Trust is identified in the Fund's Portfolio of Investments as "(UB) – Underlying bond of an inverse floating rate trust reflected as a financing transaction," with the Fund recognizing as liabilities, labeled "Floating rate obligations" on the Statement of Assets and Liabilities, (a) the liquidation value of Floaters issued by the TOB Trust, and (b) the amount of any borrowings by the TOB Trust from a Liquidity Provider to enable the TOB Trust to purchase outstanding Floaters in lieu of a remarketing. In addition, the Fund recognizes in "Investment Income" the entire earnings of the Underlying Bond, and recognizes (a) the interest paid to the holders of the Floaters or on the TOB Trust's borrowings, and (b) other expenses related to remarketing, administration, trustee, liquidity and other services to a TOB Trust, as a component of "Interest expense and amortization of offering costs" on the Statement of Operations.
In contrast, an investment in an externally-deposited Inverse Floater is accounted for as a purchase of the Inverse Floater and is identified in the Fund's Portfolio of Investments as "(IF) – Inverse floating rate investment." For an externally-deposited Inverse Floater, a Fund's Statement of Assets and Liabilities recognizes the Inverse Floater and not the Underlying Bond as an asset, and the Fund does not recognize the Floaters, or any related borrowings from a Liquidity Provider, as a liability. Additionally, the Fund reflects in "Investment Income" only the net amount of earnings on the Inverse Floater (net of the interest paid to the holders of the Floaters or the Liquidity Provider as lender, and the expenses of the Trust), and does not show the amount of that interest paid or the expenses of the TOB Trust as described above as interest expense on the Statement of Operations.
Fees paid upon the creation of a TOB Trust for self-deposited Inverse Floaters and externally-deposited Inverse Floaters are recognized as part of the cost basis of the Inverse Floater and are capitalized over the term of the TOB Trust.
As of the end of the reporting period, the aggregate value of Floaters issued by each Fund's TOB Trust for self-deposited Inverse Floaters and externally-deposited Inverse Floaters was as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
 
   
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
Floating Rate Obligations Outstanding 
 
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Floating rate obligations: self-deposited Inverse Floaters
 
$
4,490,000
 
$
 
$
390,000
 
$
81,490,000
 
$
965,000
 
$
845,000
 
Floating rate obligations: externally-deposited Inverse Floaters
   
   
5,990,000
   
41,148,500
   
131,640,500
   
9,075,000
   
53,741,500
 
Total
 
$
4,490,000
 
$
5,990,000
 
$
41,538,500
 
$
213,130,500
 
$
10,040,000
 
$
54,586,500
 
During the current fiscal period, the average amount of Floaters (including any borrowings from a Liquidity Provider) outstanding, and the average annual interest rate and fees related to self-deposited Inverse Floaters, were as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
 
   
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
Self-Deposited Inverse Floaters
   
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Average floating rate obligations outstanding
 
$
4,490,000
 
$
 
$
5,966,803
 
$
91,653,607
 
$
965,000
 
$
845,000
 
Average annual interest rate and fees
   
0.65
%
 
%
 
0.66
%
 
0.64
%
 
0.60
%
 
0.60
%
TOB Trusts are supported by a liquidity facility provided by a Liquidity Provider pursuant to which the Liquidity Provider agrees, in the event that Floaters are (a) tendered to the Trustee for remarketing and the remarketing does not occur, or (b) subject to mandatory tender pursuant to the terms of the TOB Trust agreement, to either purchase Floaters or to provide the Trustee with an advance from a loan facility to fund the purchase of Floaters by the TOB Trust. In certain circumstances, the Liquidity Provider may otherwise elect to have the Trustee sell the Underlying Bond to retire the Floaters that were tendered and not remarketed prior to providing such a loan. In these circumstances, the Liquidity Provider remains obligated to provide a loan to the extent that the proceeds of the sale of the Underlying Bond is not sufficient to pay the purchase price of the Floaters.
The size of the commitment under the loan facility for a given TOB Trust is at least equal to the balance of that TOB Trust's outstanding Floaters plus any accrued interest. In consideration of the loan facility, fee schedules are in place and are charged by the Liquidity Provider(s). Any loans made by the Liquidity Provider will be secured by the purchased Floaters held by the TOB Trust. Interest paid on any outstanding loan balances will be effectively borne by the Fund that owns the Inverse Floaters of the TOB Trust that has incurred the borrowing and may be at a rate that is greater than the rate that would have been paid had the Floaters been successfully remarketed.
As described above, any amounts outstanding under a liquidity facility are recognized as a component of "Floating rate obligations" on the Statement of Assets and Liabilities by the Fund holding the corresponding Inverse Floaters issued by the borrowing TOB Trust. As of the end of the reporting period, there were no loans outstanding under any such facility.
Each Fund may also enter into shortfall and forbearance agreements (sometimes referred to as a "recourse arrangement" or "credit recovery swap") (TOB Trusts involving such agreements are referred to herein as "Recourse Trusts"), under which a Fund agrees to reimburse the Liquidity Provider for the Trust's Floaters, in certain circumstances, for the amount (if any) by which the liquidation value of the Underlying Bond held by the TOB Trust may

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fall short of the sum of the liquidation value of the Floaters issued by the TOB Trust plus any amounts borrowed by the TOB Trust from the Liquidity Provider, plus any shortfalls in interest cash flows. Under these agreements, a Fund's potential exposure to losses related to or on an Inverse Floater may increase beyond the value of the Inverse Floater as a Fund may potentially be liable to fulfill all amounts owed to holders of the Floaters or the Liquidity Provider. Any such shortfall amount in the aggregate is recognized as "Unrealized depreciation on Recourse Trusts" on the Statement of Assets and Liabilities.
As of the end of the reporting period, each Fund's maximum exposure to the Floaters issued by Recourse Trusts for self-deposited Inverse Floaters and externally-deposited Inverse Floaters was as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
 
   
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
Floating Rate Obligations – Recourse Trusts 
 
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Maximum exposure to Recourse Trusts: self-deposited Inverse Floaters
 
$
 
$
 
$
 
$
18,060,000
 
$
 
$
 
Maximum exposure to Recourse Trusts: externally-deposited Inverse Floaters
   
   
   
13,260,000
   
50,700,000
   
3,480,000
   
37,765,000
 
Total
 
$
 
$
 
$
13,260,000
 
$
68,760,000
 
$
3,480,000
 
$
37,765,000
 
Zero Coupon Securities
A zero coupon security does not pay a regular interest coupon to its holders during the life of the security. Income to the holder of the security comes from accretion of the difference between the original purchase price of the security at issuance and the par value of the security at maturity and is effectively paid at maturity. The market prices of zero coupon securities generally are more volatile than the market prices of securities that pay interest periodically.
Investments in Derivatives
In addition to the inverse floating rate securities in which each Fund may invest, which are considered portfolio securities for financial reporting purposes, each Fund is authorized to invest in certain other derivative instruments such as futures, options and swap contracts. Each Fund limits its investments in futures, options on futures and swap contracts to the extent necessary for the Adviser to claim the exclusion from registration by the Commodity Futures Trading Commission as a commodity pool operator with respect to the Fund. The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds' investments in derivatives may represent economic hedges, they are not considered to be hedge transactions for financial reporting purposes.
Although the Funds are authorized to invest in derivative instruments and may do so in future, they did not make any such investments during the current fiscal period.
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap transactions, when applicable. The extent of each Fund's exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities.
Each Fund helps manage counterparty credit risk by entering into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an unrealized loss, the Funds have instructed the custodian to pledge assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold amount.
4. Fund Shares
Common Shares
Common Shares Equity Shelf Programs and Offering Costs
California Value (NCA) has filed a registration statement with the Securities and Exchange Commission ("SEC") authorizing the Fund to issue additional common shares through an equity shelf program ("Shelf Offering"), which became effective with the SEC during a prior fiscal period.

Nuveen Investments
 
97


Notes to Financial Statements (continued)
Under this Shelf Offering, the Fund, subject to market conditions, may raise additional equity capital by issuing additional shares from time to time in varying amounts and by different offering methods at a net price at or above the Fund's NAV per common share. In the event the Fund's Shelf Offering registration statement is no longer current, the Fund may not issue additional common shares until a post-effective amendment to the registration statement has been filed with the SEC.
Authorized common shares, common shares issued and offering proceeds, net of offering costs under the Fund's Shelf Offering during the Fund's current and prior fiscal period were as follows:

   
California Value (NCA)
 
     
Year
   
Year
 
     
Ended
   
Ended
 
     
2/29/16
   
2/28/15
 
Common shares authorized
   
2,500,000
   
2,500,000
 
Common shares issued
   
1,043,028
   
124,572
 
Offering proceeds, net of offering costs
 
$
11,081,737
 
$
1,321,449
 
Costs incurred by the Fund in connection with its Shelf Offering was recorded as a deferred charge and recognized as a component of "Deferred offering costs" on the Statement of Assets and Liabilities. The deferred asset is reduced during the one-year period that additional shares are sold by reducing the proceeds from such sales and recognized as a component of "Proceeds from shelf offering, net of offering costs" on the Statement of Changes in Net Assets. Any remaining deferred charges at the end of the one-year life of the Shelf Offering period will be expensed accordingly, as well as any additional Shelf Offering costs the Fund may incur. As Shelf Offering costs are expensed they are recognized as component of "Other expenses" on the Statement of Operations.
Common Share Transactions
Transactions in common shares during the following Funds' current and prior fiscal period were as follows:

   
California Value (NCA)
 
California Value 2 (NCB)
 
California Dividend
Advantage 2 (NVX)
 
     
Year
   
Year
   
Year
   
Year
   
Year
   
Year
 
     
Ended
   
Ended
   
Ended
   
Ended
   
Ended
   
Ended
 
     
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
 
Common shares:
                                     
Sold through shelf offering
   
1,043,028
   
124,572
   
N/A
   
N/A
   
N/A
   
N/A
 
Issued to shareholders due to reinvestment of distributions
   
31,373
   
16,402
   
561
   
   
867
   
 
Weighted average common share:
                                     
Premium to NAV per shelf offering share sold
   
2.21
%
 
1.22
%
 
N/A
   
N/A
   
N/A
   
N/A
 
N/A – The Fund is not authorized to issue additional common shares through a shelf offering.

   
California AMT-Free
Income (NKX)
 
California Dividend
Advantage (NAC)
 
     
Year
   
Year
   
Year
   
Year
 
     
Ended
   
Ended
   
Ended
   
Ended
 
     
2/29/16
   
2/28/15
   
2/29/16
   
2/28/15
 
Common shares:
                         
Issued in the reorganization
   
   
5,864,695
   
   
83,854,904
 
Preferred Shares
Institutional MuniFund Term Preferred Shares
The following Fund has issued and has outstanding Institutional MuniFund Term Preferred ("iMTP") Shares, with a $5,000 liquidation preference per share. iMTP Shares are issued via private placement and are not publicly available.

98
 
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As of the end of the reporting period, details of iMTP Shares outstanding were as follows:

         
Shares
   
Liquidation
 
Fund
   
Series
 
Outstanding
   
Preference
 
California ATM-Free Income (NKX)
   
2018
   
7,200
 
$
36,000,000
 
The Fund is obligated to redeem its iMTP Shares by the date as specified in its offering document ("Term Redemption Date"), unless earlier redeemed by the Fund. iMTP Shares are subject to optional and mandatory redemption in certain circumstances. The iMTP Shares are not subject to redemption at the option of the Fund for approximately one year following the date of issuance, at which point the Fund may redeem at its option ("Optional Redemption Date") and any date thereafter. The Fund may be obligated to redeem a certain amount of iMTP Shares if the Fund fails to maintain certain asset coverage and leverage ratio requirements and such failures are not cured by the applicable cure date. The redemption price per share is equal to the sum of the liquidation preference per share plus any accumulated but unpaid dividends. The Term Redemption Date and Optional Redemption Date for the Fund's iMTP Shares are as follows:

           
Term
   
Optional
 
           
Redemption
   
Redemption
 
Fund
   
Series
   
Date
   
Date
 
California ATM-Free Income (NKX)
   
2018
   
July 1, 2018
   
July 1, 2016
 
The average liquidation preference of iMTP Shares outstanding and annualized dividend rate for the Fund during the current fiscal period, were as follows:

     
California
 
     
AMT-Free
 
     
Income
 
     
(NKX
)
Average liquidation preference of iMTP Shares outstanding
 
$
36,000,000
 
Annualized dividend rate
   
0.50
%
iMTP Shares are subject to restrictions on transfer and may only be sold or transferred to "qualified institutional buyers". iMTP Shares are short-term or short/intermediate-term instruments that pay a variable dividend rate tied to a short-term index, plus an additional fixed "spread" amount established at the time of issuance. The fair value of iMTP Shares is expected to be approximately their liquidation preference so long as the fixed "spread" on the iMTP Shares remains roughly in line with the "spread" being demanded by investors on instruments having similar terms in the current market environment. In present market conditions, the Fund's Adviser has determined that the fair value of iMTP Shares is approximately their liquidation preference, but their fair value could vary if market conditions change materially. For financial reporting purposes, the liquidation preference of iMTP Shares is recorded as a liability and recognized as "Institutional MuniFund Term Preferred ("iMTP") Shares, at liquidation preference" on the Statement of Assets and Liabilities.
Dividends on the iMTP Shares (which are treated as interest payments for financial reporting purposes) are set weekly. Unpaid dividends on iMTP Shares are recognized as a component of "Interest payable" on the Statement of Assets and Liabilities, when applicable. Dividends accrued on iMTP Shares are recognized as a component of "Interest expense and amortization of offering costs" on the Statement of Operations.
Costs incurred by the Fund in connection with its offering of iMTP Shares were recorded as a deferred charge, which are amortized over the life of the shares and recognized as components of "Deferred offering costs" on the Statement of Assets and Liabilities and "Interest expense and amortization of offering costs" on the Statement of Operations.
Variable Rate Demand Preferred Shares
The following Funds have issued and have outstanding Variable Rate Demand Preferred ("VRDP") Shares, with a $100,000 liquidation preference per share. VRDP Shares are issued via private placement and are not publicly available.

Nuveen Investments
 
99


Notes to Financial Statements (continued)
As of the end of the reporting period, details of the Fund's VRDP Shares outstanding were as follows:

           
Shares
   
Liquidation
       
Fund
   
Series
 
Outstanding
   
Preference
   
Maturity
 
California AMT-Free Income (NKX)
                         
     
2
   
355
 
$
35,500,000
   
June 1, 2040
 
     
3
   
427
   
42,700,000
   
March 1, 2040
 
     
4
   
1,090
   
109,000,000
   
December 1, 2040
 
     
5
   
1,044
   
104,400,000
   
June 1, 2041
 
California Divdend Advantage (NAC)
                         
     
1
   
1,362
 
$
136,200,000
   
June 1, 2041
 
     
2
   
910
   
91,000,000
   
December 1, 2040
 
     
3
   
498
   
49,800,000
   
March 1, 2040
 
     
4
   
1,056
   
105,600,000
   
December 1, 2042
 
     
5
   
1,589
   
158,900,000
   
August 1, 2040
 
     
6
   
1,581
   
158,100,000
   
August 1, 2040
 
California Dividend Advantage 2 (NVX)
                         
     
1
   
980
 
$
98,000,000
   
August 3, 2043
 
California Dividend Advantage 3 (NZH)
                         
     
1
   
1,600
 
$
160,000,000
   
September 1, 2043
 
VRDP Shares include a liquidity feature that allows VRDP shareholders to have their shares purchased by a liquidity provider with whom each Fund has contracted in the event that the VRDP Shares are not able to be successfully remarketed. Each Fund is required to redeem any VRDP Shares that are still owned by the liquidity provider after six months of continuous, unsuccessful remarketing. Each Fund pays an annual remarketing fee of 0.10% on the aggregate principal amount of all VRDP Shares outstanding. Each Fund's VRDP Shares have successfully remarketed since issuance.
Dividends on the VRDP Shares (which are treated as interest payments for financial reporting purposes) are set weekly at a rate established by a remarketing agent; therefore, the market value of the VRDP Shares is expected to approximate its liquidation preference. In the event that VRDP shares are unable to be successfully remarketed, the dividend rate will be the maximum rate which is designed to escalate according to a specified schedule in order to enhance the remarketing agent's ability to successfully remarket the VRDP Shares.
Subject to certain conditions, VRDP Shares may be redeemed, in whole or in part, at any time at the option of each Fund. Each Fund may also redeem certain of the VRDP Shares if the Fund fails to maintain certain asset coverage requirements and such failures are not cured by the applicable cure date. The redemption price per share is equal to the sum of the liquidation preference per share plus any accumulated but unpaid dividends.
The average liquidation preference of VRDP Shares outstanding and annualized dividend rate for the Fund during the current fiscal period were as follows:

     
California
   
California
   
California
   
California
 
     
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
   
Income
 
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Average liquidation preference of VRDP Shares outstanding
 
$
291,600,000
 
$
699,600,000
 
$
98,000,000
 
$
160,000,000
 
Annualized dividend rate
   
0.13
%
 
0.12
%
 
0.13
%
 
0.12
%
For financial reporting purposes, the liquidation preference of VRDP Shares is a liability and is recognized as "Variable Rate Demand Preferred ("VRDP") Shares, at liquidation preference" on the Statement of Assets and Liabilities. Unpaid dividends on VRDP Shares are recognized as a component of "Interest payable" on the Statement of Assets and Liabilities, when applicable. Dividends accrued on VRDP Shares are recognized as a component of "Interest expense and amortization of offering costs" on the Statement of Operations. Costs incurred by the Fund in connection with its offerings of VRDP Shares were recorded as a deferred charge, which are being amortized over the life of the shares and are recognized as a component of "Deferred offering costs" on the Statement of Assets and Liabilities and "Interest expense and amortization of offerings costs" on the Statement of Operations. In addition to interest expense, the Fund also pays a per annum liquidity fee to the liquidity provider, as well as a remarketing fee, which are recognized as "Liquidity fees" and "Remarketing fees," respectively, on the Statement of Operations.

100
 
Nuveen Investments


Preferred Share Transactions
Transactions in preferred shares for the Funds during the Funds' current and prior fiscal period, where applicable, are noted in the following tables.
Transactions in iMTP Shares for the Funds, where applicable, were as follows:

     
Year Ended February 28, 2015
 
California AMT-Free Income (NKX)
   
Series
   
Shares
   
Amount
 
iMTP Shares issued
   
2018
   
7,200
 
$
36,000,000
 
Transactions in MTP Shares for the Funds, where applicable, were as follows:

     
Year Ended February 28, 2015
 
           
NYSE
             
California AMT-Free Income (NKX)
   
Series
   
Ticker
   
Shares
   
Amount
 
MTP Shares issued in connection with the reorganization
   
2015
   
NKX PRC
   
3,525,000
 
$
35,250,000
 
MTP Shares redeemed
   
2015
   
NKX PRC
   
(3,525,000
)
$
(35,250,000
)
Transactions in VRDP Shares for the Funds, where applicable, were as follows:

     
Year Ended February 28, 2015
 
California Dividend Advantage (NAC)
   
Series
   
Shares
   
Amount
 
VRDP Shares issued in connection with the reorganizations:
   
2
   
910
 
$
91,000,000
 
     
3
   
498
   
49,800,000
 
     
4
   
1,056
   
105,600,000
 
     
5
   
1,589
   
158,900,000
 
     
6
   
1,581
   
158,100,000
 
Total
         
5,634
 
$
563,400,000
 
5. Investment Transactions
Long-term purchases and sales (including maturities) during the current fiscal period were as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Purchases
 
$
33,209,869
 
$
4,299,319
 
$
210,596,889
 
$
374,550,863
 
$
61,217,728
 
$
91,024,304
 
Sales and maturities
   
27,337,781
   
7,007,480
   
210,556,260
   
389,509,288
   
56,742,209
   
91,161,106
 
6. Income Tax Information
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required. Furthermore, each Fund intends to satisfy conditions that will enable interest from municipal securities, which is exempt from regular federal and California state income taxes, and in the case of California AMT-Free Income (NKX) the alternative minimum tax applicable to individuals, 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 the last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing 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 as detailed below. Temporary differences do not require reclassification. Temporary and permanent differences do not impact the NAVs of the Funds.

Nuveen Investments
 
101


Notes to Financial Statements (continued)
As of February 29, 2016, the cost and unrealized appreciation (depreciation) of investments, as determined on a federal income tax basis, were as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Cost of Investments
 
$
240,807,101
 
$
44,452,278
 
$
953,569,205
 
$
2,090,392,511
 
$
300,985,475
 
$
451,272,942
 
Gross unrealized:
                                     
Appreciation
 
$
31,796,128
 
$
9,259,862
 
$
126,159,015
 
$
288,922,017
 
$
34,051,375
 
$
58,328,861
 
Depreciation
   
(321,588
)
 
(2
)
 
(353,184
)
 
(6,501,599
)
 
(3,887,273
)
 
(5,216,603
)
Net unrealized appreciation (depreciation) of investments
 
$
31,474,540
 
$
9,259,860
 
$
125,805,831
 
$
282,420,418
 
$
30,164,102
 
$
53,112,258
 
Permanent differences, primarily due to federal taxes paid, taxable market discount, nondeductible offering costs, nondeductible reorganization expenses and expiration of capital loss carryforwards, resulted in reclassifications among the Funds' components of common share net assets as of February 29, 2016, the Funds' tax year end, as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Paid-in-surplus
 
$
1
 
$
(1
)
$
(526,956
)
$
(547,379
)
$
(11,698
)
$
(3,879,942
)
Undistributed (Over-distribution of) net investment income
   
(88,352
)
 
(26,832
)
 
456,120
   
50,824
   
(109,851
)
 
(36,171
)
Accumulated net realized gain (loss)
   
88,351
   
26,833
   
70,836
   
496,555
   
121,549
   
3,916,113
 
The tax components of undistributed net tax-exempt income, net ordinary income and net long-term capital gains as of February 29, 2016, the Funds' tax year end, were as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Undistributed net tax-exempt income1
 
$
1,305,832
 
$
300,823
 
$
6,218,000
 
$
13,697,287
 
$
1,165,639
 
$
2,902,562
 
Undistributed net ordinary income2
   
   
17,627
   
147,558
   
461,664
   
152,701
   
 
Undistributed net long-term capital gains
   
   
298,516
   
1,853,094
   
   
   
 

1
Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on February 1, 2016, paid on March 1, 2016.
2
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' tax years ended February 29, 2016 and February 28, 2015, was designated for purposes of the dividends paid deduction as follows:

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
2016
   
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Distributions from net tax-exempt income3
 
$
12,050,691
 
$
2,564,599
 
$
41,789,520
 
$
100,506,954
 
$
12,342,474
 
$
19,606,265
 
Distributions from net ordinary income2
   
99,642
   
95,349
   
224,230
   
558,396
   
88,555
   
76,238
 
Distributions from net long-term capital gains4
   
   
765,094
   
   
   
   
 

                 
California
   
California
   
California
   
California
 
     
California
   
California
   
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Value 2
   
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
2015
   
(NCA
)
 
(NCB
)
 
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Distributions from net tax-exempt income
 
$
11,836,940
 
$
2,564,562
 
$
38,666,107
 
$
63,182,286
 
$
12,838,870
 
$
19,624,362
 
Distributions from net ordinary income2
   
   
18,741
   
28,625
   
   
   
43,473
 
Distributions from net long-term capital gains
   
   
367,916
   
   
   
   
 

2
Net ordinary income consists of taxable market discount income and net short-term capital gains, if any.
3
The Funds hereby designate these amounts paid during the fiscal year ended February 29, 2016, as Exempt Interest Dividends.
4
The Funds designate as long-term capital gain dividend, pursuant to the Internal Revenue Code Section 852(b)(3), the amount necessary to reduce earnings and profits of the Funds related to net capital gain to zero for the tax year ended February 29, 2016.

102
 
Nuveen Investments


As of February 29, 2016, the Funds' 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 shown in the following table. The losses not subject to expiration will be utilized first by a Fund.

           
California
   
California
   
California
 
     
California
   
Dividend
   
Dividend
   
Dividend
 
     
Value
   
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NCA
)
 
(NAC
)5
 
(NVX
)
 
(NZH
)
Expiration:
                         
February 28, 2017
 
$
1,426,925
 
$
13,863,811
 
$
 
$
4,536,999
 
February 28, 2018
   
251,409
   
731,149
   
705,843
   
10,646,251
 
February 28, 2019
   
   
   
   
1,340,157
 
Not subject to expiration
   
1,380,257
   
4,827,353
   
792,392
   
10,931,933
 
Total
 
$
3,058,591
 
$
19,422,313
 
$
1,498,235
 
$
27,455,340
 

5
A portion of California Dividend Advantage's (NAC) capital loss carryforward is subject to limitation under the Internal Revenue Code and related regulations.
During the Funds' tax year ended February 29, 2016, the following Funds utilized capital loss carryforwards as follows:

     
California
   
California
   
California
   
California
 
     
AMT-Free
   
Dividend
   
Dividend
   
Dividend
 
     
Income
   
Advantage
 
Advantage 2
 
Advantage 3
 
     
(NKX
)
 
(NAC
)
 
(NVX
)
 
(NZH
)
Utilized capital loss carryforwards
 
$
4,954,119
 
$
14,788,322
 
$
1,809,061
 
$
310,924
 
As of February 29, 2016, the Funds' tax year end, the following Funds' capital loss carryforwards expired as follows:

     
California
   
California
 
     
Dividend
   
Dividend
 
     
Advantage
 
Advantage 3
 
     
(NAC
)
 
(NZH
)
Expired capital loss carryforwards
 
$
65,078
 
$
3,869,938
 
7. Management Fees and Other Transactions with Affiliates
Management Fees
Each Fund's management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
Each Fund's management fee consists of two components – a fund-level fee, based only on the amount of assets within the Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser, and for California Value (NCA) a gross interest income component. This pricing structure enables Fund shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
California Value (NCA) pays an annual fund-level fee, payable monthly, of 0.15% of the average daily net assets of the Fund, as well as 4.125% of the gross interest income (excluding interest on bonds underlying a "self-deposited inverse floater" trust that is attributed to the Fund over and above the net interest earned on the inverse floater itself) of the Fund.

Nuveen Investments
 
103


Notes to Financial Statements (continued)
The annual Fund-level fee, payable monthly, for each Fund (excluding California Value (NCA)) is calculated according to the following schedules:

     
California Value 2 (NCB)
Average Daily Managed Assets*
   
Fund-Level Fee
For the first $125 million
   
0.4000
%
For the next $125 million
   
0.3875
 
For the next $250 million
   
0.3750
 
For the next $500 million
   
0.3625
 
For the next $1 billion
   
0.3500
 
For managed assets over $2 billion
   
0.3375
 

     
California AMT-Free Income (NKX)
     
California Dividend Advantage (NAC)
     
California Dividend Advantage 2 (NVX)
     
California Dividend Advantage 3 (NZH)
Average Daily Managed Assets*
   
Fund-Level Fee
For the first $125 million
   
0.4500
%
For the next $125 million
   
0.4375
 
For the next $250 million
   
0.4250
 
For the next $500 million
   
0.4125
 
For the next $1 billion
   
0.4000
 
For managed assets over $2 billion
   
0.3750
 
The annual complex-level fee, payable monthly, for each Fund is calculated according to the following schedule:

Complex-Level Managed Asset Breakpoint Level*
   
Effective Rate at Breakpoint Level
$55 billion
   
0.2000
%
$56 billion
   
0.1996
 
$57 billion
   
0.1989
 
$60 billion
   
0.1961
 
$63 billion
   
0.1931
 
$66 billion
   
0.1900
 
$71 billion
   
0.1851
 
$76 billion
   
0.1806
 
$80 billion
   
0.1773
 
$91 billion
   
0.1691
 
$125 billion
   
0.1599
 
$200 billion
   
0.1505
 
$250 billion
   
0.1469
 
$300 billion
   
0.1445
 

*
For the fund-level and complex-level fees, managed assets include closed-end fund assets managed by the Adviser that are attributable to certain types of leverage. For these purposes, leverage includes the funds' use of preferred stock and borrowings and certain investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust's issuance of floating rate securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining managed assets in certain circumstances. The complex-level fee is calculated based upon the aggregate daily managed assets of all Nuveen funds that constitute "eligible assets." Eligible assets do not include assets attributable to investments in other Nuveen funds and assets in excess of $2 billion added to the Nuveen fund complex in connection with the Adviser's assumption of the management of the former First American Funds effective January 1, 2011. As of February 29, 2016, the complex-level fee for each Fund was 0.1640%.
The Funds pay no compensation directly to those of its directors/trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Board has adopted a deferred compensation plan for independent directors/trustees that enables directors/trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of select Nuveen-advised funds.

104
 
Nuveen Investments


Other Transactions with Affiliates
Each Fund is permitted to purchase or sell securities from or to certain other funds managed by the Adviser ("inter-fund trade") under specified conditions outlined in procedures adopted by the Board. These procedures have been designed to ensure that any inter-fund trades of securities by the Fund from or to another fund that is, or could be, considered an affiliate of the Fund under certain limited circumstances by virtue of having a common investment adviser (or affiliated investment adviser), common officer and/or common trustee complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each inter-fund trade is effected at the current market price as provided by an independent pricing service.
During the current fiscal period, the following Funds engaged in inter-fund trades pursuant to these procedures as follows:

     
California
   
California
 
     
AMT-Free
   
Dividend
 
     
Income
   
Advantage 2
 
     
(NKX
)
 
(NVX
)
Purchases
 
$
27,134,250
 
$
10,853,700
 
Sales
   
32,145,300
   
10,905,600
 
Unsettled inter-fund trades as of the end of the reporting period are recognized as a component of "Receivable for investments sold" and/or "Payable for investments purchased" on the Statement of Assets and Liabilities, when applicable.
8. Borrowing Arrangements
During the current fiscal period, the Funds, along with certain other funds managed by the Adviser ("Participating Funds"), have established a 364-day, $2.53 billion standby credit facility with a group of lenders, under which the Participating Funds may borrow for various purposes other than leveraging for investment purposes. A large portion of this facility's capacity (and its associated costs as described below) is currently dedicated for use by a small number of Participating Funds, which does not include any of the Funds covered by this shareholder report. The remaining capacity under the facility (and the corresponding portion of the facility's annual costs) is separately dedicated to most of the other open-end funds in the Nuveen fund family, along with a number of Nuveen closed-end funds, including all of the Funds covered by this shareholder report. The credit facility expires in July 2016 unless extended or renewed.
The credit facility has the following terms: a fee of 0.15% per annum on unused commitment amounts, and interest at a rate equal to the higher of (a) one-month LIBOR (London Inter-Bank Offered Rate) plus 1.25% per annum or (b) the Fed Funds rate plus 1.25% per annum on amounts borrowed. Participating Funds paid administration, legal and arrangement fees, which are recognized as a component of "Other expenses" on the Statement of Operations, and along with commitment fees, have been allocated among such Participating Funds based upon the relative proportions of the facility's aggregate capacity reserved for them and other factors deemed relevant by the Adviser and the Board of each Participating Fund.
During the current fiscal period, none of the Funds utilized this facility.

Nuveen Investments
 
105


Additional Fund Information (Unaudited)

Board of Directors/Trustees
William Adams IV*
 
Jack B. Evans
 
William C. Hunter
 
David J. Kundert
 
John K. Nelson
 
William J. Schneider
Thomas S. Schreier, Jr.**
 
Judith M. Stockdale
 
Carole E. Stone
 
Terence J. Toth
 
Margaret L. Wolff
 
 

*
Interested Board Member.
**
Interested Board Member and will retire from the Funds' Board of Directors/Trustees effective May 31, 2016.
   

Fund Manager
 
Custodian
 
Legal Counsel
 
Independent Registered
 
Transfer Agent and
Nuveen Fund Advisors, LLC
 
State Street Bank
 
Chapman and Cutler LLP
 
Public Accounting Firm
 
Shareholder Services
333 West Wacker Drive
 
& Trust Company
 
Chicago, IL 60603
 
KPMG LLP
 
State Street Bank
Chicago, IL 60606
 
Boston, MA 02111
     
Chicago, IL 60601
 
& Trust Company
               
Nuveen Funds
               
P.O. Box 43071
               
Providence, RI 02940-3071
               
(800) 257-8787
                 
Quarterly Form N-Q Portfolio of Investments Information
Each Fund is required to file its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-Q. You may obtain this information directly from the SEC. 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 toll-free at (800) SEC-0330 for room hours and operation.
Nuveen Funds' Proxy Voting Information
You may obtain (i) information regarding how each fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website at www.nuveen.com and (ii) a description of the policies and procedures that each fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling Nuveen Investments toll free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov.

CEO Certification Disclosure
Each Fund's Chief Executive Officer (CEO) 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 CEO and Chief Financial Officer required by Section 302 of the Sarbanes –Oxley Act.

Common Share Repurchases
Each Fund intends to repurchase, through its open-market share repurchase program, shares of its own common stock at such times and in such amounts as is deemed advisable. During the period covered by this report, each Fund repurchased shares of its common stock as shown in the accompanying table. Any future repurchases will be reported to shareholders in the next annual or semi-annual report.

     
NCA
   
NCB
   
NKX
   
NAC
   
NVX
   
NZH
 
Common shares repurchased
   
   
   
   
   
   
 
FINRA BrokerCheck
The Financial Industry Regulatory Authority (FINRA) provides information regarding the disciplinary history of FINRA member firms and associated investment professionals. This information as well as an investor brochure describing FINRA BrokerCheck is available to the public by calling the FINRA BrokerCheck Hotline number at (800) 289-9999 or by visiting www.FINRA.org.

106
 
Nuveen Investments


Glossary of Terms Used in this Report (Unaudited)

 ■
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.
   
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.
   
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.
   
Effective Leverage: Effective leverage is a fund's effective economic leverage, and includes both regulatory leverage (see leverage) and the leverage effects of certain derivative investments in the fund's portfolio. Currently, the leverage effects of Tender Option Bond (TOB) inverse floater holdings are included in effective leverage values, in addition to any regulatory leverage.
   
Gross Domestic Product (GDP): The total market value of all final goods and services produced in a country/region in a given year, equal to total consumer, investment and government spending, plus the value of exports, minus the value of imports.
   
Inverse Floating Rate Securities: Inverse floating rate securities, also known as inverse floaters or tender option bonds (TOBs), are created by depositing a municipal bond, typically with a fixed interest rate, into a special purpose trust. This trust, in turn, (a) issues floating rate certificates typically paying short-term tax-exempt interest rates to third parties in amounts equal to some fraction of the deposited bond's par amount or market value, and (b) issues an inverse floating rate certificate (sometimes referred to as an "inverse floater") to an investor (such as a fund) interested in gaining investment exposure to a long-term municipal bond. The income received by the holder of the inverse floater varies inversely with the short-term rate paid to the floating rate certificates' holders, and in most circumstances the holder of the inverse floater bears substantially all of the underlying bond's downside investment risk. The holder of the inverse floater typically also benefits disproportionately from any potential appreciation of the underlying bond's value. Hence, an inverse floater essentially represents an investment in the underlying bond on a leveraged basis.
   
Leverage: Leverage is created whenever a fund has investment exposure (both reward and/or risk) equivalent to more than 100% of the investment capital.
   
Lipper California Municipal Debt Funds Classification Average: Calculated using the returns of all closed-end funds in this category. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charges.
   
Net Asset Value (NAV) Per Share: A fund's Net Assets is equal to its total assets (securities, cash, accrued earnings and receivables) less its total liabilities. NAV per share is equal to the fund's Net Assets divided by its number of shares outstanding.

Nuveen Investments
 
107


Glossary of Terms Used in this Report (Unaudited) (continued)

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.
   
Regulatory Leverage: Regulatory leverage consists of preferred shares issued by or borrowings of a fund. Both of these are part of a fund's capital structure. Regulatory leverage is subject to asset coverage limits set in the Investment Company Act of 1940.
   
S&P Municipal Bond California Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade California municipal bond market. Index returns assume reinvestment of distributions but do not reflect any applicable sales charges or management fees.
   
S&P Municipal Bond Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade U.S. municipal bond market. Index returns assume reinvestment of distributions but do not reflect any applicable sales charges or management fees.
   
Total Investment Exposure: Total investment exposure is a fund's assets managed by the Adviser that are attributable to financial leverage. For these purposes, financial leverage includes a fund's use of preferred stock and borrowings and investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust's issuance of floating rate securities.
   
Zero Coupon Bond: A zero coupon bond does not pay a regular interest coupon to its holders during the life of the bond. 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.

108
 
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 Automatic Reinvestment Plan
Nuveen Closed-End Fund allows you to conveniently reinvest 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 compounding. Just like distributions in cash, there may be times when income or capital gains taxes may be payable on 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 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 as -set 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 imme -diately prior to the purchase date. Distributions received to purchase shares in the open market will normally be invested shortly after the distribution payment date. No interest will be paid on distributions awaiting reinvestment. Because the market price of the shares may increase before purchases are completed, the average purchase price per share may exceed the market price at the time of valuation, resulting in the acquisition of fewer shares than if the 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. 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 distributions
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial advisor or call us at (800) 257-8787.

Nuveen Investments
 
109


Board Members & Officers (Unaudited)
The management of the Funds, including general supervision of the duties performed for the Funds by the Adviser, is the responsibility of the Board of Trustees of the Funds. The number of trustees of the Funds is currently set at eleven. None of the trustees who are not "interested" persons of the Funds (referred to herein as "independent trustees") has ever been a director or employee of, or consultant to, Nuveen or its affiliates. The names and business addresses of the trustees and officers of the Funds, their principal occupations and other affiliations during the past five years, the number of portfolios each oversees and other directorships they hold are set forth below.

 
Name,
 
Position(s) Held
 
Year First
 
Principal
 
Number
 
Year of Birth
 
with the Funds
 
Elected or
 
Occupation(s)
 
of Portfolios
 
& Address
     
Appointed
 
Including other
 
in Fund Complex
         
and Term(1)
 
Directorships
 
Overseen by
             
During Past 5 Years
 
Board Member
Independent Board Members:
           
             
WILLIAM J. SCHNEIDER
1944
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Chairman and
Board Member
 
 
 
1996
Class III
 
Chairman of Miller-Valentine Partners, a real estate investment company; formerly, Senior Partner and Chief Operating Officer (retired (2004) of Miller-Valentine Group; an owner in several other Miller Valentine entities; Board Member of Med-America Health System, and WDPR Public Radio station; formerly, member, Business Advisory Council, Cleveland Federal Reserve Bank and University of Dayton Business School Advisory Council.
 
 
 
191
                   
 
JACK B. EVANS
1948
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
1999
Class III
 
President, The Hall-Perrine Foundation, a private philanthropic corporation (since 1996); Director and Chairman, United Fire Group, a publicly held company; Director, The Gazette Company; Life Trustee of Coe College; formerly, President Pro-Tem of the Board of Regents for the State of Iowa University System; formerly, Director, Alliant Energy; formerly, Director, Federal Reserve Bank of Chicago; formerly, President and Chief Operating Officer, SCI Financial Group, Inc., a regional financial services firm.
 
 
 
191
                   
 
WILLIAM C. HUNTER
1948
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2004
Class I
 
Dean Emeritus, formerly, Dean, Tippie College of Business, University of Iowa (2006-2012); Director (since 2004) of Xerox Corporation; Director (since 2005), and past President (2010-2014) Beta Gamma Sigma, Inc., The International Business Honor Society; Director of Wellmark, Inc. (since 2009); formerly, Dean and Distinguished Professor of Finance, School of Business at the University of Connecticut (2003-2006); previously, Senior Vice President and Director of Research at the Federal Reserve Bank of Chicago (1995-2003); formerly, Director (1997-2007), Credit Research Center at Georgetown University.
 
 
 
191
                   
DAVID J. KUNDERT
1942
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2005
Class II
 
Formerly, Director, Northwestern Mutual Wealth Management Company (2006-2013), retired (since 2004) as Chairman, JPMorgan Fleming Asset Management, President and CEO, Banc One Investment Advisors Corporation, and President, One Group Mutual Funds; prior thereto, Executive Vice President, Banc One Corporation and Chairman and CEO, Banc One Investment Management Group; Regent Emeritus, Member of Investment Committee, Luther College; member of the Wisconsin Bar Association; member of Board of Directors and Chair of Investment Committee, Greater Milwaukee Foundation; member of the Board of Directors (Milwaukee), College Possible; Board member of Milwaukee Repertory Theatre (since 2016).
 
 
 
191

110
 
Nuveen Investments


 
Name,
 
Position(s) Held
 
Year First
 
Principal
 
Number
 
Year of Birth
 
with the Funds
 
Elected or
 
Occupation(s)
 
of Portfolios
 
& Address
     
Appointed
 
Including other
 
in Fund Complex
         
and Term(1)
 
Directorships
 
Overseen by
             
During Past 5 Years
 
Board Member
Independent Board Members (continued):
           
             
JOHN K. NELSON
1962
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2013
Class II
 
Member of Board of Directors of Core12 LLC (since 2008), a private firm which develops branding, marketing and communications strategies for clients; Director of The Curran Center for Catholic American Studies (since 2009) and The President's Council, Fordham University (since 2010); formerly, senior external advisor to the financial services practice of Deloitte Consulting LLP (2012- 2014): formerly, Chairman of the Board of Trustees of Marian University (2010 as trustee, 2011-2014 as Chairman); formerly, Chief Executive Officer of ABN AMRO N.V. North America, and Global Head of its Financial Markets Division (2007-2008); prior senior positions held at ABN AMRO include Corporate Executive Vice President and Head of Global Markets-the Americas (2006- 2007), CEO of Wholesale Banking North America and Global Head of Foreign Exchange and Futures Markets (2001-2006), and Regional Commercial Treasurer and Senior Vice President Trading – North America (1996-2001); formerly, Trustee at St. Edmund Preparatory School in New York City.
 
 
 
191
                   
JUDITH M. STOCKDALE
1947
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
1997
Class I
 
Board Member, Land Trust Alliance (since 2013) and U.S. Endowment for Forestry and Communities (since 2013); formerly, Executive Director (1994-2012), Gaylord and Dorothy Donnelley Foundation; prior thereto, Executive Director, Great Lakes Protection Fund (1990-1994).
 
 
 
191
                   
CAROLE E. STONE
1947
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2007
Class I
 
Director, Chicago Board Options Exchange, Inc. (since 2006); Director, C2 Options Exchange, Incorporated (since 2009); Director, CBOE Holdings, Inc. (since 2010); formerly, Commissioner, New York State Commission on Public Authority Reform (2005-2010).
 
 
 
191
                   
TERENCE J. TOTH
1959
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2008
Class II
 
Managing Partner, Promus Capital (since 2008); Director, Fulcrum IT Service LLC (since 2010), Quality Control Corporation (since 2012) and LogicMark LLC (since 2012); formerly, Director, Legal & General Investment Management America, Inc. (2008-2013); formerly, CEO and President, Northern Trust Global Investments (2004-2007): Executive Vice President, Quantitative Management & Securities Lending (2000-2004); prior thereto, various positions with Northern Trust Company (since 1994); member: Chicago Fellowship Board (since 2005), Catalyst Schools of Chicago Board (since 2008) and Mather Foundation Board (since 2012), and chair of its investment committee; formerly, Member, Northern Trust Mutual Funds Board (2005-2007), Northern Trust Global Investments Board (2004- 2007), Northern Trust Japan Board (2004-2007), Northern Trust Securities Inc. Board (2003-2007) and Northern Trust Hong Kong Board (1997-2004).
 
 
 
191
                   
MARGARET L. WOLFF
1955
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2016
Class I
 
Member of the Board of Directors (since 2013) of Travelers Insurance Company of Canada and The Dominion of Canada General Insurance Company (each, a part of Travelers Canada, the Canadian operation of The Travelers Companies, Inc.); formerly, Of Counsel, Skadden, Arps, Slate, Meagher & Flom LLP (Mergers & Acquisitions Group) (2005-2014); Member of the Board of Trustees of New York- Presbyterian Hospital (since 2005); Member (since 2004) and Chair (since 2015) of the Board of Trustees of The John A. Hartford Foundation (a philanthropy dedicated to improving the care of older adults); formerly, Member (2005-2015) and Vice Chair (2011-2015) of the Board of Trustees of Mt. Holyoke College.
 
 
 
191

Nuveen Investments
 
111


Board Members & Officers (Unaudited) (continued)

 
Name,
 
Position(s) Held
 
Year First
 
Principal
 
Number
 
Year of Birth
 
with the Funds
 
Elected or
 
Occupation(s)
 
of Portfolios
 
& Address
     
Appointed
 
Including other
 
in Fund Complex
         
and Term(1)
 
Directorships
 
Overseen by
             
During Past 5 Years
 
Board Member
Interested Board Members:
               
                 
WILLIAM ADAMS IV(2)
1955 
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2013
Class II
 
Co-Chief Executive Officer and Co-President (since March 2016), formerly, Senior Executive Vice President, Global Structured Products (2010-2015) of Nuveen Investments, Inc.; Co-President of Nuveen Fund Advisors, LLC (since 2011); Senior Executive Vice President of Nuveen Securities, LLC; President (since 2011), formerly, Managing Director (2010-2011) of Nuveen Commodities Asset Management, LLC; Board Member of the Chicago Symphony Orchestra and of Gilda's Club Chicago; formerly, Executive Vice President, U.S. Structured Products, of Nuveen Investments, Inc. (1999-2010).
 
 
 
191
                   
THOMAS S. SCHREIER, JR.(2)(3)
1962
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Board Member
 
 
 
2013
Class III
 
Vice Chairman, Wealth Management of Nuveen Investments, Inc. (since 2011); Co-President of Nuveen Fund Advisors, LLC; Chairman of Nuveen Asset Management, LLC (since 2011); Co-Chief Executive Officer of Nuveen Securities, LLC (since 2011); Member of Board of Governors and Chairman's Council of the Investment Company Institute; Director and Vice Chair of Allina Health and a member of its Finance, Audit and Investment Committees; Director of the Minneapolis Museum of Art; formerly, Chief Executive Officer (2000- 2010) and Chief Investment Officer (2007-2010) of FAF Advisors, Inc.; formerly, President of First American Funds (2001-2010).
 
 
 
191

 
Name,
 
Position(s) Held
 
Year First
 
Principal
 
Number
 
Year of Birth
 
with the Funds
 
Elected or
 
Occupation(s)
 
of Portfolios
 
& Address
     
Appointed(4)
 
During Past 5 Years
 
in Fund Complex
                 
Overseen
                 
by Officer
Officers of the Funds:
               
                 
GIFFORD R. ZIMMERMAN
1956
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
Chief
Administrative
Officer
 
 
 
1988
 
Managing Director (since 2002), and Assistant Secretary of Nuveen Securities, LLC; Managing Director (since 2004) and Assistant Secretary (since 1994) of Nuveen Investments, Inc.; Managing Director (since 2002), Assistant Secretary (since 1997) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Managing Director, Assistant Secretary and Associate General Counsel of Nuveen Asset Management, LLC (since 2011); Managing Director and Assistant Secretary of Symphony Asset Management LLC (since 2003); Vice President and Assistant Secretary of NWQ Investment Management Company, LLC (since 2002), Nuveen Investments Advisers Inc. (since 2002), Santa Barbara Asset Management, LLC (since 2006), and of Winslow Capital Management, LLC, (since 2010); Vice President and Assistant Secretary (since 2013), formerly, Chief Administrative Officer and Chief Compliance Officer (2006-2013) of Nuveen Commodities Asset Management, LLC; Chartered Financial Analyst.
 
 
 
192
                   
CEDRIC H. ANTOSIEWIC
1962
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Vice President
 
 
 
2007
 
Managing Director of Nuveen Securities, LLC. (since 2004); Managing Director of Nuveen Fund Advisors, LLC (since 2014).
 
 
 
84
                   
MARGO L. COOK
1964
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Vice President
 
 
 
2009
 
Co-Chief Executive Officer and Co-President (since March 2016), formerly, Senior Executive Vice President of Nuveen Investments, Inc; Senior Executive Vice President of Nuveen Fund Advisors, LLC (Executive Vice President since 2011); Managing Director – Investment Services of Nuveen Commodities Asset Management, LLC (since 2011); Co-Chief Executive Officer (since 2015), previously, Executive Vice President (2013-2015) of Nuveen Securities, LLC; Chartered Financial Analyst.
 
 
 
192

112
 
Nuveen Investments


 
Name,
 
Position(s) Held
 
Year First
 
Principal
 
Number
 
Year of Birth
 
with the Funds
 
Elected or
 
Occupation(s)
 
of Portfolios
 
& Address
     
Appointed(4)
 
During Past 5 Years
 
in Fund Complex
                 
Overseen
                 
by Officer
Officers of the Funds (continued):
           
             
LORNA C. FERGUSON
1945
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Vice President
 
 
 
1998
 
Managing Director (since 2004) of Nuveen Investments Holdings, Inc.
 
 
 
192
                   
STEPHEN D. FOY
1954
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
Vice President
and Controller
 
 
1998
 
Managing Director (since 2014), formerly, Senior Vice President (2013-2014) and Vice President (2005-2013) of Nuveen Fund Advisors, LLC; Chief Financial Officer of Nuveen Commodities Asset Management, LLC (since 2010); Certified Public Accountant.
 
 
192
                   
SHERRI A. HLAVACEK
1962
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
Vice President
and Treasurer
 
 
2015
 
Executive Vice President (since 2015, formerly, Managing Director) and Controller of Nuveen Fund Advisors, LLC; Managing Director and Controller of Nuveen Commodities Asset Management, LLC; Executive Vice President (since 2015, formerly, Managing Director), Treasurer and Controller of Nuveen Asset Management, LLC; Executive Vice President, Principal Financial Officer (since 2015, formerly, Managing Director), Treasurer and Corporate Controller of Nuveen Investments, Inc.; Executive Vice President (since 2015, formerly, Managing Director), Treasurer and Corporate Controller of Nuveen Investments Advisers, LLC and Nuveen Investments Holdings, Inc.; Managing Director, Chief Financial Officer and Corporate Controller of Nuveen Securities, LLC; Vice President, Controller and Treasurer of NWQ Investment Management Company, LLC; Vice President and Controller of Santa Barbara Asset Management, LLC, Tradewinds Global Investors, LLC, Symphony Asset Management LLC and Winslow Capital Management, LLC; Certified Public Accountant.
 
 
192
                   
WALTER M. KELLY
197o
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
Chief Compliance
Officer and
Vice President
 
 
 
2003
 
Senior Vice President (since 2008) of Nuveen Investment Holdings, Inc.
 
 
 
192
                   
DAVID J. LAMB
1963
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Vice President
 
 
 
2015
 
Senior Vice President of Nuveen Investments Holdings, Inc. (since 2006), Vice President prior to 2006.
 
 
 
84
                   
TINA M. LAZAR
1961
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Vice President
 
 
 
2002
 
Senior Vice President of Nuveen Investments Holdings, Inc. and Nuveen Securities, LLC.
 
 
 
192
                   
KEVIN J. MCCARTHY
1966
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
 
Vice President
and Secretary
 
 
 
2007
 
Executive Vice President, Secretary and General Counsel (since March 2016), formerly, Managing Director and Assistant Secretary of Nuveen Investments, Inc.; Executive Vice President (since March 2016), formerly, Managing Director and Assistant Secretary (since 2008) of Nuveen Securities, LLC; Executive Vice President and Secretary (since March 2016), formerly, Managing Director (2008-2016) and Assistant Secretary (2007-2016) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Executive Vice President and Secretary (since March 2016), formerly, Managing Director, Assistant Secretary (2011-2016) and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC; Executive Vice President and Secretary of Nuveen Investments Advisers, LLC; Vice President (since 2007) and Secretary (since March 2016) of NWQ Investment Management Company, LLC, Symphony Asset Management LLC, Santa Barbara Asset Management, LLC (since 2010) Winslow Capital Management, LLC and Tradewinds Global Investors, LLC (since 2016); Vice President (since 2010) and Secretary (since 2016), formerly, Assistant Secretary of Nuveen Commodities Asset Management, LLC.
 
 
 
192

Nuveen Investments
 
113


Board Members & Officers (Unaudited) (continued)

 
Name,
 
Position(s) Held
 
Year First
 
Principal
 
Number
 
Year of Birth
 
with the Funds
 
Elected or
 
Occupation(s)
 
of Portfolios
 
& Address
     
Appointed(4)
 
During Past 5 Years
 
in Fund Complex
                 
Overseen
                 
by Officer
Officers of the Funds (continued):
           
             
KATHLEEN L. PRUDHOMME
1953
9o1 Marquette Avenue
Minneapolis, MN 554o2
 
 
Vice President and
Assistant Secretary
 
 
 
2011
 
Managing Director, Assistant Secretary and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Managing Director, Assistant Secretary and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC; Managing Director and Assistant Secretary (since 2011) of Nuveen Securities, LLC; formerly, Deputy General Counsel, FAF Advisors, Inc. (2004-2010).
 
 
 
192
                   
JOEL T. SLAGER
1978
333 W. Wacker Drive
Chicago, IL 6o6o6
 
 
Vice President and
Assistant Secretary
 
 
 
2013
 
Fund Tax Director for Nuveen Funds (since 2013); previously, Vice President of Morgan Stanley Investment Management, Inc., Assistant Treasurer of the Morgan Stanley Funds (from 2010 to 2013).
 
 
 
192

(1)
The Board of Trustees is divided into three classes, Class I, Class II, and Class III, with each being elected to serve until the third succeeding annual shareholders' meeting subsequent to its election or thereafter in each case when its respective successors are duly elected or appointed, except two board members are elected by the holders of Preferred Shares, when applicable, to serve until the next annual shareholders' meeting subsequent to its election or thereafter in each case when its respective successors are duly elected or appointed. The year first elected or appointed represents the year in which the board member was first elected or appointed to any fund in the Nuveen Complex.
(2)
"Interested person" as defined in the 1940 Act, by reason of his position with Nuveen Investments, Inc. and certain of its subsidiaries, which are affiliates of the Nuveen Funds.
(3)
Mr. Schreier will retire from the Funds' Board of Trustees effective May 31, 2016.
(4)
Officers serve one year terms through August of each year. The year first elected or appointed represents the year in which the Officer was first elected or appointed to any fund in the Nuveen Complex.

114
 
Nuveen Investments


Notes

Nuveen Investments
 
115



Nuveen Investments:
                              Serving Investors for Generations
 

Since 1898, financial advisors and their clients have relied on Nuveen Investments to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality equity and fixed-income solutions designed to be integral components of a well-diversified core portfolio.

Focused on meeting investor needs.
Nuveen Investments provides high-quality investment services designed to help secure the long-term goals of institutional and individual investors as well as the consultants and financial advisors who serve them. Nuveen Investments markets a wide range of specialized investment solutions which provide investors access to capabilities of its high-quality boutique investment affiliates—Nuveen Asset Management, Symphony Asset Management, NWQ Investment Management Company, Santa Barbara Asset Management, Tradewinds Global Investors, Winslow Capital Management and Gresham Investment Management. In total, Nuveen Investments managed $229 billion as of March 31, 2016.

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EAN-A-0216D 15308-INV-Y-04/17



ITEM 2. CODE OF ETHICS.

As of the end of the period covered by this report, the registrant has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There were no amendments to or waivers from the Code during the period covered by this report. The registrant has posted the code of ethics on its website at www.nuveen.com/CEF/Shareholder/FundGovernance.aspx. (To view the code, click on Code of Conduct.)

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

The registrant’s Board of Directors or Trustees (“Board”) determined that the registrant has at least one “audit committee financial expert” (as defined in Item 3 of Form N-CSR) serving on its Audit Committee. The registrant’s audit committee financial experts are Carole E. Stone and Jack B. Evans, who are “independent” for purposes of Item 3 of Form N-CSR.
 
Ms. Stone served for five years as Director of the New York State Division of the Budget. As part of her role as Director, Ms. Stone was actively involved in overseeing the development of the State’s operating, local assistance and capital budgets, its financial plan and related documents; overseeing the development of the State’s bond-related disclosure documents and certifying that they fairly presented the State’s financial position; reviewing audits of various State and local agencies and programs; and coordinating the State’s system of internal audit and control. Prior to serving as Director, Ms. Stone worked as a budget analyst/examiner with increasing levels of responsibility over a 30 year period, including approximately five years as Deputy Budget Director. Ms. Stone has also served as Chair of the New York State Racing Association Oversight Board, as Chair of the Public Authorities Control Board, as a Commissioner on the New York State Commission on Public Authority Reform and as a member of the Boards of Directors of several New York State public authorities. These positions have involved overseeing operations and finances of certain entities and assessing the adequacy of project/entity financing and financial reporting. Currently, Ms. Stone is on the Board of Directors of CBOE Holdings, Inc., of the Chicago Board Options Exchange, and of C2 Options Exchange. Ms. Stone’s position on the boards of these entities and as a member of both CBOE Holdings’ Audit Committee and its Finance Committee has involved, among other things, the oversight of audits, audit plans and preparation of financial statements.
 
Mr. Evans was formerly President and Chief Operating Officer of SCI Financial Group, Inc., a full service registered broker-dealer and registered investment adviser (“SCI”). As part of his role as President and Chief Operating Officer, Mr. Evans actively supervised the Chief Financial Officer (the “CFO”) and actively supervised the CFO’s preparation of financial statements and other filings with various regulatory authorities. In such capacity, Mr. Evans was actively involved in the preparation of SCI’s financial statements and the resolution of issues raised in connection therewith. Mr. Evans has also served on the audit committee of various reporting companies. At such companies, Mr. Evans was involved in the oversight of audits, audit plans, and the preparation of financial statements. Mr. Evans also formerly chaired the audit committee of the Federal Reserve Bank of Chicago.
 
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Nuveen California AMT-Free Municipal Income Fund

The following tables show the amount of fees that KPMG LLP, the Funds’ auditor, billed to the Funds’ during the Funds’ last two full fiscal years. The Audit Committee approved in advance all audit services and non-audit services that KPMG LLP provided to the Funds, except for those non-audit services that were subject to the pre-approval exception under Rule 2-01 of Regulation S-X (the “pre-approval exception”). The preapproval exception for services provided directly to the Funds waives the pre-approval requirement for services other than audit, review or attest services if: (A) the aggregate amount of all such services provided constitutes no more than 5% of the total amount of revenues paid by the Funds during the fiscal year in which the services are provided; (B) the Funds did not recognize the services as non-audit services at the time of the engagement; and (C) the services are promptly brought to the Audit Committee’s attention, and the Committee (or its delegate) approves the services before the audit is completed.

The Audit Committee has delegated certain pre-approval responsibilities to its Chairman (or, in his absence, any other member of the Audit Committee).
 
SERVICES THAT THE FUND’S AUDITOR BILLED TO THE FUND
 
 
Audit Fees Billed
   
Audit-Related Fees
   
Tax Fees
   
All Other Fees
 
Fiscal Year Ended
to Fund 1
   
Billed to Fund 2
   
Billed to Fund 3
   
Billed to Fund 4
 
February 29, 2016
$ 26,375     $ 0     $ 0     $ 808  
                               
Percentage approved
  0 %     0 %     0 %     0 %
pursuant to
                             
pre-approval
                             
exception
                             
                               
February 28, 2015
$ 25,500     $ 20,000     $ 0     $ 0  
                               
Percentage approved
  0 %     0 %     0 %     0 %
pursuant to
                             
pre-approval
                             
exception
                             
                               
1 "Audit Fees" are the aggregate fees billed for professional services for the audit of the Fund's annual financial statements and services provided in
 
connection with statutory and regulatory filings or engagements.
                         
                               
2 "Audit Related Fees" are the aggregate fees billed for assurance and related services reasonably related to the performance of the audit or review of
         
financial statements that are not reported under "Audit Fees". These fees include offerings related to the Fund's common shares and leverage.
         
                               
3 "Tax Fees" are the aggregate fees billed for professional services for tax advice, tax compliance, and tax planning. These fees include: all global
         
withholding tax services; excise and state tax reviews; capital gain, tax equalization and taxable basis calculation performed by the principal accountant.
         
                               
4 "All Other Fees" are the aggregate fees billed for products and services other than "Audit Fees", "Audit-Related Fees" and "Tax Fees". These fees
         
represent all "Agreed-Upon Procedures" engagements pertaining to the Fund's use of leverage.
                 

SERVICES THAT THE FUND’S AUDITOR BILLED TO THE ADVISER AND AFFILIATED FUND SERVICE PROVIDERS

The following tables show the amount of fees billed by KPMG LLP to Nuveen Fund Advisors, LLC (formerly Nuveen Fund Advisors, Inc.) (the “Adviser”), and any entity controlling, controlled by or under common control with the Adviser that provides ongoing services to the Fund (“Affiliated Fund Service Provider”), for engagements directly related to the Fund’s operations and financial reporting, during the Fund’s last two full fiscal years.

The tables also show the percentage of fees subject to the pre-approval exception. The pre-approval exception for services provided to the Adviser and any Affiliated Fund Service Provider (other than audit, review or attest services) waives the pre-approval requirement if: (A) the aggregate amount of all such services provided constitutes no more than 5% of the total amount of revenues paid to KPMG LLP by the Fund, the Adviser and Affiliated Fund Service Providers during the fiscal year in which the services are provided that would have to be pre-approved by the Audit Committee; (B) the Fund did not recognize the services as non-audit services at the time of the engagement; and (C) the services are promptly brought to the Audit Committee’s attention, and the Committee (or its delegate) approves the services before the Fund’s audit is completed.
 
 
Audit-Related Fees
Tax Fees Billed to
All Other Fees
 
Billed to Adviser and
Adviser and
Billed to Adviser
 
Affiliated Fund
Affiliated Fund
and Affiliated Fund
Fiscal Year Ended
Service Providers
Service Providers
Service Providers
February 29, 2016
 $                               0
 $                                     0
 $                                   0
       
Percentage approved
0%
0%
0%
pursuant to
     
pre-approval
     
exception
     
February 28, 2015
 $                               0
 $                                     0
 $                                   0
       
Percentage approved
0%
0%
0%
pursuant to
     
pre-approval
     
exception
     

NON-AUDIT SERVICES

The following table shows the amount of fees that KPMG LLP billed during the Fund’s last two full fiscal years for non-audit services. The Audit Committee is required to pre-approve non- audit services that KPMG LLP provides to the Adviser and any Affiliated Fund Services Provider, if the engagement related directly to the Fund’s operations and financial reporting (except for those subject to the pre-approval exception described above). The Audit Committee requested and received information from KPMG LLP about any non-audit services that KPMG LLP rendered during the Fund’s last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating KPMG LLP’s independence.

   
Total Non-Audit Fees
   
   
billed to Adviser and
   
   
Affiliated Fund Service
Total Non-Audit Fees
 
   
Providers (engagements
billed to Adviser and
 
   
related directly to the
Affiliated Fund Service
 
 
Total Non-Audit Fees
operations and financial
Providers (all other
 
Fiscal Year Ended
Billed to Fund
reporting of the Fund)
engagements)
Total
February 29, 2016
 $                           808
 $                                     0
 $                                   0
 $                       808
February 28, 2015
 $                               0
 $                                     0
 $                                   0
 $                           0
         
         
"Non-Audit Fees billed to Fund" for both fiscal year ends represent "Tax Fees" and "All Other Fees" billed to Fund in their respective
 
amounts from the previous table.
       
         
Less than 50 percent of the hours expended on the principal accountant's engagement to audit the registrant's financial statements for the most recent
fiscal year were attributed to work performed by persons other than the principal accountant's full-time, permanent employees.
 

Audit Committee Pre-Approval Policies and Procedures. Generally, the Audit Committee must approve (i) all non-audit services to be performed for the Fund by the Fund’s independent accountants and (ii) all audit and non-audit services to be performed by the Fund’s independent accountants for the Affiliated Fund Service Providers with respect to operations and financial reporting of the Fund. Regarding tax and research projects conducted by the independent accountants for the Fund and Affiliated Fund Service Providers (with respect to operations and financial reports of the Fund) such engagements will be (i) pre-approved by the Audit Committee if they are expected to be for amounts greater than $10,000; (ii) reported to the Audit Committee chairman for his verbal approval prior to engagement if they are expected to be for amounts under $10,000 but greater than $5,000; and (iii) reported to the Audit Committee at the next Audit Committee meeting if they are expected to be for an amount under $5,000.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
 
The registrant’s Board has a separately designated Audit Committee established in accordance with Section 3(a)(58)(A) of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78c(a)(58)(A)). The members of the audit committee are Jack B. Evans, David J. Kundert, John K. Nelson, Carole E. Stone and Terence J. Toth.
 
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.

Nuveen Fund Advisors, LLC is the registrant’s investment adviser (also referred to as the “Adviser”). The Adviser is responsible for the on-going monitoring of the Fund’s investment portfolio, managing the Fund’s business affairs and providing certain clerical, bookkeeping and administrative services. The Adviser has engaged Nuveen Asset Management, LLC (“Sub-Adviser”) as Sub-Adviser to provide discretionary investment advisory services. As part of these services, the Adviser has delegated to the Sub-Adviser the full responsibility for proxy voting on securities held in the registrant’s portfolio and related duties in accordance with the Sub-Adviser’s policies and procedures. The Adviser periodically monitors the Sub-Adviser’s voting to ensure that it is carrying out its duties. The Sub-Adviser’s proxy voting policies and procedures are attached to this filing as an exhibit and incorporated herein by reference.
 
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Nuveen Fund Advisors, LLC, formerly known as Nuveen Fund Advisors, Inc., is the registrant’s investment adviser (also referred to as the “Adviser”).  The Adviser is responsible for the selection and on-going monitoring of the Fund’s investment portfolio, managing the Fund’s business affairs and providing certain clerical, bookkeeping and administrative services.  The Adviser has engaged Nuveen Asset Management, LLC (“Nuveen Asset Management” or “Sub-Adviser”) as Sub-Adviser to provide discretionary investment advisory services. The following section provides information on the portfolio manager at the Sub-Adviser:

Item 8(a)(1). PORTFOLIO MANAGER BIOGRAPHY

Scott R. Romans, PhD, Senior Vice President of Nuveen Asset Management’s, joined Nuveen Investments in 2000 as a senior analyst in the education sector. In 2003, he was assigned management responsibility for several closed- and open-ended municipal bond funds most of which are state funds covering California and other western states.   Currently, he manages investments for 16 Nuveen-sponsored investment companies.  He holds an undergraduate degree from the University of Pennsylvania and an MA and PhD from the University of Chicago.

Item 8(a)(2). OTHER ACCOUNTS MANAGED BY THE PORTFOLIO MANAGER

Other Accounts Managed. In addition to managing the registrant, the portfolio manager is also primarily responsible for the day-to-day portfolio management of the following accounts:
 
Portfolio Manager
Type of Account
Managed
Number of
Accounts
Assets*
Scott R. Romans
Registered Investment Company
13
$8.39 billion
 
Other Pooled Investment Vehicles
0
$0
 
Other Accounts
2
$2.03 million
*
Assets are as of February 29, 2016.  None of the assets in these accounts are subject to an advisory fee based on performance.

POTENTIAL MATERIAL CONFLICTS OF INTEREST

Actual or apparent conflicts of interest may arise when a portfolio manager has day-to-day management responsibilities with respect to more than one account. More specifically, portfolio managers who manage multiple accounts are presented a number of potential conflicts, including, among others, those discussed below.

The management of multiple accounts may result in a portfolio manager devoting unequal time and attention to the management of each account. Nuveen Asset Management seeks to manage such competing interests for the time and attention of portfolio managers by having portfolio managers focus on a particular investment discipline. Most accounts managed by a portfolio manager in a particular investment strategy are managed using the same investment models.

If a portfolio manager identifies a limited investment opportunity which may be suitable for more than one account, an account may not be able to take full advantage of that opportunity due to an allocation of filled purchase or sale orders across all eligible accounts. To deal with these situations, Nuveen Asset Management has adopted procedures for allocating limited opportunities across multiple accounts.

With respect to many of its clients’ accounts, Nuveen Asset Management determines which broker to use to execute transaction orders, consistent with its duty to seek best execution of the transaction. However, with respect to certain other accounts, Nuveen Asset Management may be limited by the client with respect to the selection of brokers or may be instructed to direct trades through a particular broker. In these cases, Nuveen Asset Management may place separate, non-simultaneous, transactions for a Fund and other accounts which may temporarily affect the market price of the security or the execution of the transaction, or both, to the detriment of the Fund or the other accounts.

Some clients are subject to different regulations. As a consequence of this difference in regulatory requirements, some clients may not be permitted to engage in all the investment techniques or transactions or to engage in these transactions to the same extent as the other accounts managed by the portfolio manager. Finally, the appearance of a conflict of interest may arise where Nuveen Asset Management has an incentive, such as a performance-based management fee, which relates to the management of some accounts, with respect to which a portfolio manager has day-to-day management responsibilities.

Nuveen Asset Management has adopted certain compliance procedures which are designed to address these types of conflicts common among investment managers. However, there is no guarantee that such procedures will detect each and every situation in which a conflict arises.

Item 8(a)(3). FUND MANAGER COMPENSATION

Portfolio manager compensation consists primarily of base pay, an annual cash bonus and long term incentive payments.

Base pay. Base pay is determined based upon an analysis of the portfolio manager’s general performance, experience, and market levels of base pay for such position.

Annual cash bonus.  The Fund’s portfolio managers are eligible for an annual cash bonus based on investment performance, qualitative evaluation and financial performance of Nuveen Asset Management.

A portion of each portfolio manager’s annual cash bonus is based on the Fund’s investment performance, generally measured over the past one- and three or five-year periods unless the portfolio manager’s tenure is shorter. Investment performance for the Fund generally is determined by evaluating the Fund’s performance relative to its benchmark(s) and/or Lipper industry peer group.

A portion of the cash bonus is based on a qualitative evaluation made by each portfolio manager’s supervisor taking into consideration a number of factors, including the portfolio manager’s team collaboration, expense management, support of personnel responsible for asset growth, and his or her compliance with Nuveen Asset Management’s policies and procedures.
 
The final factor influencing a portfolio manager’s cash bonus is the financial performance of Nuveen Asset Management based on its operating earnings.

Long-term incentive compensation. Certain key employees of Nuveen Investments and its affiliates, including certain portfolio managers, participate in a Long-Term Performance Plan designed to provide compensation opportunities that links a portion of each participant’s compensation to Nuveen Investments’ financial and operational performance.  In addition, certain key employees of Nuveen Asset Management, including certain portfolio managers, have received profits interests in Nuveen Asset Management which entitle their holders to participate in the firm’s growth over time.

There are generally no differences between the methods used to determine compensation with respect to the Fund and the Other Accounts shown in the table above.

Item 8(a)(4). OWNERSHIP OF REGISTRANT’S SECURITIES AS OF FEBRUARY 29, 2016

Name of Portfolio Manager
None
$1 - $10,000
$10,001-$50,000
$50,001-$100,000
$100,001-$500,000
$500,001-$1,000,000
Over $1,000,000
Scott R. Romans
X
           
 
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board implemented after the registrant last provided disclosure in response to this Item.

ITEM 11. CONTROLS AND PROCEDURES.

(a)
The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (17 CFR 240.13a-15(b) or 240.15d-15(b)).

(b)
There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS.

File the exhibits listed below as part of this Form.

(a)(1)
Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: Not applicable because the code is posted on registrant’s website at www.nuveen.com/CEF/Shareholder/FundGovernance.aspx and there were no amendments during the period covered by this report. (To view the code, click on Code of Conduct.)

(a)(2)
A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT Attached hereto.

(a)(3)
Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons. Not applicable.

(b)
If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR 270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed “filed” for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registrant specifically incorporates it by reference. Ex-99.906 CERT attached hereto.


 
 

 

SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant) Nuveen California AMT-Free Municipal Income Fund

By (Signature and Title) /s/ Kevin J. McCarthy
Kevin J. McCarthy
Vice President and Secretary

Date: May 5, 2016

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title) /s/ Gifford R. Zimmerman
Gifford R. Zimmerman
Chief Administrative Officer
(principal executive officer)

Date: May 5, 2016
 
By (Signature and Title) /s/ Stephen D. Foy
Stephen D. Foy
Vice President and Controller
(principal financial officer)

Date: May 5, 2016