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Table of Contents
| Chairman’s Letter to Shareholders | 4 |
| Portfolio Managers’ Comments | 5 |
| Fund Leverage | 10 |
| Share Information | 11 |
| Risk Considerations | 13 |
| Performance Overview and Holding Summaries | 14 |
| Report of Independent Registered Public Accounting Firm | 22 |
| Portfolios of Investments | 23 |
| Statement of Assets and Liabilities | 56 |
| Statement of Operations | 57 |
| Statement of Changes in Net Assets | 58 |
| Financial Highlights | 60 |
| Notes to Financial Statements | 66 |
| Additional Fund Information | 77 |
| Glossary of Terms Used in this Report | 78 |
| Reinvest Automatically, Easily and Conveniently | 80 |
| Board Members & Officers | 81 |
Chairman’s Letter to Shareholders
Dear Shareholders,
After a prolonged absence, volatility has returned to the markets in 2018. Last year, the markets seemed willing to shrug off any bad news. But in the first few months of 2018, a backdrop of greater economic uncertainty has made markets more reactive to daily headlines. As interest rates have moved off of historic lows and inflation has ticked higher, the economy’s ability to withstand tighter financial conditions is hard to predict. At the same time, there are concerns that the newly enacted tax reform could overheat the economy. How the U.S. Federal Reserve (Fed) will manage these conditions is under intense scrutiny, particularly in light of the Fed’s leadership change in February 2018.
Growth forecasts for the world’s major economies remain expansionary, although some indicators have pointed to slower momentum this year. Moreover, inflationary pressures and tightening financial conditions could become headwinds, and trade policy and geopolitics remain uncertain. A trade war has implications for both the supply and demand sides of the economy, which complicates the outlook for businesses, consumers and the economy as a whole.
While the risks surrounding trade, monetary and fiscal policy may have increased, there is still opportunity for upside. Recession risk continues to look low, global economies are still expanding and corporate profits have continued to be healthy. Fundamentals, not headlines, drive markets over the long term. And, it’s easy to forget the relative calm over the past year was the outlier. A return to more historically normal volatility levels is both to be expected and part of the healthy functioning of the markets.
Context and perspective are important. If you’re investing for long-term goals, stay focused on the long term, as temporary bumps may smooth over time. Individuals that have shorter timeframes could also benefit from sticking to a clearly defined investment strategy with a portfolio designed for short-term needs. Your financial advisor can help you determine if your portfolio is properly aligned with your goals, timeline and risk tolerance, as well as help you differentiate the noise from what really matters. 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
May 21, 2018
Portfolio Managers’ Comments
Nuveen Select Tax-Free Income Portfolio (NXP)
Nuveen Select Tax-Free Income Portfolio 2 (NXQ)
Nuveen Select Tax-Free Income Portfolio 3 (NXR)
Nuveen California Select Tax-Free Income Portfolio (NXC)
Nuveen New York Select Tax-Free Income Portfolio (NXN)
These Funds feature portfolio management by Nuveen Asset Management, LLC (NAM), an affiliate of Nuveen, LLC. Portfolio managers Michael S. Hamilton and Scott R. Romans, PhD, discuss U.S. economic and municipal market conditions, key investment strategies and the twelve-month performance of the Nuveen Select Portfolios (the “Funds”). Michael has managed the three national Funds since 2016, while Scott has managed NXC since 2003 and NXN since 2011.
What factors affected the U.S. economy and national municipal bond market during the twelve-month reporting period ended March 31, 2018?
After hovering near an annual pace of 3% for most of the reporting period, U.S. gross domestic product (GDP) growth cooled to 2.3% in the first quarter of 2018, according to the Bureau of Economic Analysis “advance” estimate. GDP is the value of 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. A beginning-of-the-year slowdown was expected given the seasonal trend of slower first quarter growth seen over the past few years and the delayed impact of tax cuts on workers’ paychecks.
Nevertheless, consumer spending, boosted by employment and wage gains, continued to drive the economy. The Atlantic coast hurricanes in September and October 2017 temporarily weakened shopping and dining out activity, but rebuilding efforts had a positive impact on the economy. Although business investment slowed in early 2018 from the gains seen in the second half of 2017, business sentiment remained strong and hiring continued to boost employment. As reported by the Bureau of Labor Statistics, the unemployment rate fell to 4.1% in March 2018 from 4.5% in March 2017 and job gains averaged around 188,000 per month for the past twelve months. While the jobs market has continued to tighten, wage growth has remained lackluster during this economic recovery. However, the January jobs report revealed an unexpected pickup in wages, which triggered a broad sell-off in equities, despite tame inflation readings. The Consumer Price Index (CPI) increased 2.4% over the twelve-month reporting period ended March 31, 2018 on a seasonally adjusted basis, as reported by the Bureau of Labor Statistics. The core CPI (which excludes food and energy) increased 2.1% during the same period, slightly above the Federal Reserve’s (Fed) unofficial longer term inflation objective of 2.0%.
| This material is not intended to be a recommendation or investment advice, does not constitute a solicitation to buy or sell securities, and is not provided in a fiduciary capacity. The information provided does not take into account the specific objectives or circumstances of any particular investor, or suggest any specific course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with his or her advisors. |
Certain statements in this report are forward-looking statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio managers as of the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements, and the views expressed herein are subject to change at any time, due to numerous market and other factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group (S&P), Moody’s Investors Service, Inc. (Moody’s) or Fitch, Inc. (Fitch). This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings, while BB, B, CCC, CC, C and D are below investment grade ratings. 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.
Portfolio Managers’ Comments (continued)
The housing market also continued to improve with low mortgage rates and low inventory driving home prices higher. The S&P CoreLogic Case-Shiller U.S. National Home Price Index, which covers all nine U.S. census divisions, recorded a 6.3% annual gain in February 2018 (most recent data available at the time this report was prepared). The 10-City and 20-City Composites reported year-over-year increases of 6.5% and 6.8%, respectively.
With the U.S. economy delivering a sustainable growth rate and employment strengthening, the Fed’s policy making committee continued to incrementally raise its main benchmark interest rate. The most recent increase, in March 2018, was the sixth rate hike since December 2015. In addition, in October 2017, the Fed began reducing its balance sheet by allowing a small amount of maturing Treasury and mortgage securities to roll off without reinvestment. The market expects the pace to remain moderate and predictable, with minimal market disruption.
Fed Chair Janet Yellen’s term expired in February 2018, and incoming Chairman Jerome Powell indicated he would likely maintain the Fed’s gradual pace of interest rate hikes. At the March meeting, the Fed kept its projection for three interest rate increases in 2018. However, investors remained concerned that the 2017 Tax Cuts and Jobs Act fiscal stimulus and a recent pick-up in inflation have increased the risk of a Fed policy misstep.
The markets also continued to react to geopolitical news. Protectionist rhetoric had been garnering attention across Europe, as anti-European Union (EU) sentiment featured prominently (although did not win a majority) in the Dutch, French, German and Italian elections held in 2017 and early 2018. In March, the U.S.’s surprise announcement of steel and aluminum tariffs, followed by China’s retaliatory measures, sparked fears of a trade war and added uncertainty to the ongoing North American Free Trade Agreement (NAFTA) talks. Also in March 2018, the U.K. and EU agreed in principle to the Brexit transition terms, opening the door to the next round of negotiation dealing with trade and security issues. The U.S. Treasury issued additional sanctions on Russia (announced in April 2018, after the close of the reporting period) and speculation increased that Iran would be next.
The broad municipal bond market gained moderately in this reporting period, although not without volatility. For most of the reporting period, municipal bonds continued to rebound from the post-election sell-off in the fourth quarter of 2016. After President Trump’s surprising win, bond markets repriced his reflationary fiscal agenda, driving interest rates higher. Municipal bonds suffered a surge in investor outflows due to speculation that the Trump administration’s tax reform proposals could adversely impact municipal bonds.
However, the economy sustained its moderate growth with low inflation, an improving jobs market and modest wage growth, and progress on the White House’s agenda was slow. This backdrop helped municipal bond yields and valuations return to pre-election levels and reverse the trend of outflows. Fundamental credit conditions continued to be favorable overall, while the ongoing high-profile difficulties in Puerto Rico, Illinois and New Jersey were contained.
After the new administration’s health care and immigration reforms met obstacles, Congress refocused on tax reform initiatives in the latter months of 2017. Early drafts of the bill fostered significant uncertainty about the impact on the municipal bond market, leading municipal bonds to underperform taxable bonds in December and provoking issuers to rush bond offerings ahead of the pending tax law. Issuance in December reached an all-time high of $62.5 billion, exacerbating the market’s price decline during the month. However, all of the supply was absorbed and municipal bond valuations subsequently returned to more typical levels.
The final tax reform legislation signed on December 27, 2017 largely spared municipal bonds and was considered neutral to positive for the municipal market overall. Notably, a provision that would have eliminated the tax-preferred status of 20 to 30% of the municipal bond market was not included in the final bill. Moreover, investors were relieved that the adopted changes apply only to newly issued municipal bonds and also could be beneficial from a technical standpoint. Because new issue advance refunding bonds are no longer tax exempt, the total supply of municipal bonds will decrease going forward, boosting the scarcity value of existing municipal bonds. The new tax law also caps the state and local tax (SALT) deduction for individuals, which will likely increase demand for tax-exempt municipal bonds, especially in states with high income and/or property taxes.
Following the issuance surge in late 2017, issuance remained sharply lower in early 2018. However, the overall balance of municipal bond supply and demand remained advantageous for prices. Municipal bond issuance nationwide totaled $406.9 billion in this reporting period, an 8.3% drop from the issuance for the twelve-month reporting period ended March 31, 2017. The robust pace of issuance seen since the low volume depths of 2011 began to moderate in 2017 as interest rates moved higher. Despite the increase, the overall level of interest rates still remained low, encouraging issuers to continue to actively refund their outstanding debt. 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. So, while gross issuance volume has been strong, the net has not, and this
was an overall positive technical factor on municipal bond investment performance in recent years. Although the pace of refundings is slowing, net negative issuance is expected to continue.
Despite the volatility surrounding the potential tax law changes, demand remained robust and continued to outstrip supply. Low global interest rates have continued to drive investors toward higher after-tax yielding assets, including U.S. municipal bonds. As a result, municipal bond fund inflows steadily increased in 2017 overall.
How were the economic and market environments in California and New York during the twelve-month reporting period ended March 31, 2018?
California’s $2.6 trillion economy is the largest in the United States and ranks fifth in the world, according to the International Monetary Fund. California job growth continues to outpace the national average, 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 non-seasonally adjusted unemployment rate was 4.3% as of March 2018, down from 5.0% the year prior, and the gap between California and the nation’s 4.1% unemployment rate is narrowing. According to the S&P CoreLogic Case-Shiller Index, home prices in San Diego, Los Angeles and San Francisco rose 7.6%, 8.3% and 10.1%, respectively, over the twelve months ended February 2018 (most recent data available at the time this report was prepared) compared with an average increase of 6.3% nationally. The enacted Fiscal Year 2018 General Fund budget totals $125.1 billion, which is 3% higher than the revised Fiscal Year 2017 budget. Strong revenue growth due to a recovering economy and the additional personal income tax revenue from the passage of Proposition 55 in November 2016 have aided in the state’s fiscal recovery. For Fiscal Year 2018-2019, the proposed General Fund Governor’s Budget totals $131.7 billion. The Governor’s Budget Proposal includes a $5.1 billion transfer to the Rainy Day Fund to reach its maximum constitutional goal of $13.5 billion (or 10% of General Fund revenues) for Fiscal Year 2019, and continues to pay down budgetary debt from past years. The proposal was finalized prior to the enactment of the federal tax reform legislation. The May Revision to the budget will include a preliminary analysis of the likely effects from the new federal tax reform on the state’s General Fund. As of February 2018, S&P’s affirmed its “AA-/stable” rating and outlook on California general obligation (GO) debt and Moody’s affirmed its state GO rating of Aa3 with stable outlook. During the twelve months ended March 31, 2018, municipal issuance in California totaled $59.4 billion, a gross issuance decrease of 13.9% from the twelve months ended March 31, 2017.
New York State’s $1.5 trillion economy represents 8.1% of U.S. gross domestic product and, according to the International Monetary Fund, would be the 11th largest economy in the world on a stand-alone basis. As of March 2018, the state’s unemployment rate registered 4.6%, above the national average of 4.1%. While New York State’s financial profile is still sturdier than it was several years ago, both Fiscal Year 2016 and Fiscal Year 2017 posted General Fund deficits. On a significantly positive note, New York State has collected approximately $10 billion in various settlements and assessments from the financial industry over the past three years. Proceeds from those settlements have been used to bolster reserves, foster economic development upstate and provide funds for the replacement of the Tappan Zee Bridge. The adopted $164 billion budget for Fiscal Year 2018 is 4% higher than the adopted Fiscal Year 2017 budget. The Fiscal Year 2018 budget contains no new taxes but does extend the “millionaire’s tax” surcharge for two years. The budget includes a $1.1 billion increase in education spending. New York is a high-income state, with per capita income at 122% of the U.S. average, the fourth-highest among the 50 states. New York is also a heavily indebted state. According to Moody’s, New York ranked fifth in the nation in debt per capita in 2016 (NY: $3,070; median: $1,006), seventh in debt per capita as a percentage of personal income (NY: 5.3%; median: 2.5%) and eighth in debt to gross state domestic product (NY: 4.2%; median: 2.2%). The state’s pensions have traditionally been well funded, though the funding ratios have declined in recent years. As of March 2018, Moody’s rates New York “Aa1” with a stable outlook. Moody’s upgraded New York State from Aa2 to Aa1 on June 16, 2014, citing the state’s sustained improvements in fiscal governance. S&P rates the state “AA+” with a stable outlook. S&P upgraded New York State from AA to AA+ on July 23, 2014, citing the state’s improved budget framework. New York municipal bond supply totaled $46.3 billion for the twelve-month period ended March 31, 2018, a 3.5% increase from the same period a year earlier. This ranked New York second among state issuers behind only California.
What key strategies were used to manage these Funds during the twelve-month reporting period ended March 31, 2018?
Municipal bonds benefited from a generally favorable macroeconomic backdrop, despite the uncertainties surrounding the tax reform bill and headline-driven noise about trade policy. Credit spreads narrowed, as sentiment improved after the fourth-quarter sell-off and municipal bond fund flows reversed from net negative to net positive. Rates in the short to intermediate range moved higher with the Fed’s rate hikes, while rates on the long end declined slightly amid low inflation, which resulted in a flatter yield curve
Portfolio Managers’ Comments (continued)
over this reporting period. California’s municipal bond market outperformed the broad market, while New York’s market slightly trailed the broad market during this reporting period.
We also note that California and New York are among the states with the highest personal income and property taxes, which will be more meaningfully affected by the new limits on SALT deductions (as discussed in the market conditions section of this commentary). While individual taxpayers in California and New York could see an increased tax burden, we also expect municipal bond demand to remain robust. In-state issues, which offer both state and federal tax advantages, are likely to be especially attractive to taxpayers in high income states. For state and local governments, the ability to raise taxes in the future may be more politically challenging. Bonds backed by tax revenues could face headwinds going forward, and state and local credit profiles could suffer if delays in tax increases hurt pension funding, capital investment or other government spending priorities.
During this time, 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. NXP, NXQ and NXR focused on buying bonds primarily with short call structures, which offer lower duration profiles, to help maintain the Funds’ duration targets. These shorter effective duration bonds were also available at attractive yields because the Fed’s rate hikes were lifting interest rates on the shorter end of the yield curve. We particularly like lower rated, short call structure bonds. Nevertheless, longer duration bonds occasionally presented compelling long-term opportunities, such as purchases we made in “specialty state” issues. Specialty states, those states with high income tax rates, offer tax-exemption from both federal and state income taxes to in-state municipal bond buyers and, as a result, can experience periods of heightened demand. Specialty state municipal bonds also tend to trade at lower yields relative to non-specialty state issues, which can offer an attractive relative value opportunity over time. Two of the more recent specialty state purchases included credits issued for Oregon Facilities Authority Reed College and Oklahoma State Development Finance Authority Health System Revenue Bond Oklahoma University Medicine Project. To fund our buying during the reporting period, we mainly used the proceeds from called bonds and selling some very short-dated paper (due in one year or less). NXQ and NXR also sold some Buckeye Tobacco Settlement bonds after their strong price appreciation. Early in the reporting period, NXQ eliminated its remaining position in Puerto Rico sales tax bonds known as COFINA bonds.
For NXC and NXN, given our expectations for a flattening yield curve, we focused on buying longer maturity (20 years and longer) bonds, especially in the 25- to 30-year range. In the California Fund, we swapped some of the Fund’s tobacco settlement bonds for more favorable structures, further diversifying the Fund’s exposure across both 4% and 5.25% coupon structures. We also modestly added to NXC’s health care allocation and bought several high grade bonds, including credits issued for the local general obligation (GO), local utilities and transportation sectors. The New York Fund added to its tobacco holdings, as well as bought an A rated utility bond and several higher credit quality bonds from the local GO, utilities and transportation sectors. Both NXC and NXN had ample proceeds from called and maturing bonds to fund the new purchases.
As of March 31, 2018, NXP, NXQ and NXN 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 March 31, 2018?
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 and ten-year periods ended March 31, 2018. 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 March 31, 2018, the total returns on common share NAV for NXC and NXN outperformed the national S&P Municipal Bond Index and their respective state’s S&P Municipal Bond Index. The three national Funds, NXP, NXQ and NXR, outperformed the national S&P Municipal Bond Index during the twelve-month period.
The factors affecting performance in this reporting period included duration and yield curve positioning, and credit ratings allocations. In addition, the use of leverage affected the performance of NXP, NXQ, NXR and NXN. NXC did not use leverage in this reporting period. Leverage is discussed in more detail later in the Fund Leverage section of this report.
Duration and yield curve positioning contributed positively to the five Funds’ relative performance. In this reporting period, longer duration bonds performed better than those with shorter durations. All five Funds were positioned with overweight allocations to
long duration bonds and generally underweight allocations to shorter bonds, which was advantageous to performance. NXC was underweight the shorter duration buckets except at the very front of the yield curve (30 days and lower), where the Fund held an above-benchmark position as part of our income generation strategy.
The five Funds’ bias toward lower rated issues was another positive contributor to performance. The Funds held underweight allocations to AAA and AA rated credits and overweight allocations to A rated and below bonds, which was advantageous because the lower grade segments outperformed the high grade segments in this reporting period. NXC was particularly helped by exposures to BBB and below investment grade rated credits, and NXN benefited the most from its holdings in the BBB, below investment grade and non-rated categories.
Sector positioning had a muted impact on performance during the reporting period, as it was a slight detractor for NXQ and NXN and neutral for NXP, NXR, and NXC. NXP, NXQ and NXR, however, saw notable outperformance from our credit selection. Bonds bought early in the reporting period when interest rates were rising tended to underperform in this reporting period. But the relative drag was more than offset by strong performance from lower rated credits held during the reporting period, including the three Funds’ positions in Chicago, Chicago-related and Illinois bonds.
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: Puerto Rico’s ongoing debt restructuring is one such case. Puerto Rico began warning investors in 2014 the island’s debt burden might prove to be unsustainable and the Commonwealth pursued various strategies to deal with this burden.
In June 2016, the Puerto Rico Oversight, Management and Economic Stability Act (PROMESA) was signed into law. The legislation established an independent Financial Oversight and Management Board (FOMB) charged with restructuring Puerto Rico’s financial operations and encouraging economic development. In May 2017, the oversight board initiated a bankruptcy-like process for the general government, general obligation debt, the Puerto Rico Sales Tax Financing Corporation (COFINA), the Highways and Transportation Authority (HTA), and the Employee Retirement System. Officials have indicated more public corporations could follow.
In mid-September 2017, Puerto Rico was severely impacted by two hurricanes within the span of just two weeks causing massive damage across the island. The disruption in the local economy caused by the hurricanes and anticipated incoming federal aid created the need for revised fiscal plans for all Puerto Rican entities. These revised plans have not yet been approved by the Oversight Board. Importantly, federal resources dedicated to rebuilding and recovery efforts will not be available for bondholders in the revised fiscal plans. As of April 2018 (subsequent to the close of this reporting period), Puerto Rico has defaulted on many of its debt obligations, including General Obligation bonds.
In terms of Puerto Rico holdings, shareholders should note that NXC, NXN and NXP had no exposure to Puerto Rico debt as of the end of this reporting period, while NXQ and NXR had allocations of 0.40% and 0.48%, respectively, at the end of the reporting period, which were all insured. 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 in default and rated Caa3/D/D by Moody’s, S&P and Fitch, respectively, with negative outlooks.
Fund Leverage
IMPACT OF THE FUNDS’ LEVERAGE STRATEGIES ON PERFORMANCE
One important factor impacting the returns of the Funds relative to their comparative benchmarks was the Funds’ use of leverage through investments in inverse floating rate securities, which represent leveraged investments in underlying bonds. 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 negligible impact on the performance of NXP, NXQ and NXR during the current reporting period. The impact of leverage on NXN over the reporting period was positive, while NXC did not use leverage during the reporting period.
As of March 31, 2018, the Funds’ percentages of leverage are as shown in the accompanying table.
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Effective Leverage* | 0.89 | % | 1.44 | % | 0.00 | % | 0.00 | % | 4.06 | % |
| * | 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. A Fund, however, may from time to time borrow on a typically transient basis in connection with its day-to-day operations, primarily in connection with the need to settle portfolio trades. Such incidental borrowings are excluded from the calculation of a Fund’s effective leverage ratio. |
Share Information
DISTRIBUTION INFORMATION
The following information regarding the Funds’ distributions is current as of March 31, 2018. 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 shareholders were as shown in the accompanying table.
| Per Share Amounts | ||||||||||||||||
| Monthly Distributions (Ex-Dividend Date) | NXP | NXQ | NXR | NXC | NXN | |||||||||||
| April 2017 | $ | 0.0455 | $ | 0.0420 | $ | 0.0435 | $ | 0.0495 | $ | 0.0460 | ||||||
| May | 0.0455 | 0.0420 | 0.0435 | 0.0495 | 0.0460 | |||||||||||
| June | 0.0455 | 0.0420 | 0.0435 | 0.0495 | 0.0460 | |||||||||||
| July | 0.0455 | 0.0420 | 0.0435 | 0.0495 | 0.0460 | |||||||||||
| August | 0.0455 | 0.0420 | 0.0435 | 0.0495 | 0.0460 | |||||||||||
| September | 0.0455 | 0.0420 | 0.0435 | 0.0480 | 0.0460 | |||||||||||
| October | 0.0455 | 0.0420 | 0.0435 | 0.0480 | 0.0460 | |||||||||||
| November | 0.0455 | 0.0420 | 0.0435 | 0.0480 | 0.0460 | |||||||||||
| December | 0.0455 | 0.0420 | 0.0435 | 0.0465 | 0.0420 | |||||||||||
| January | 0.0455 | 0.0420 | 0.0435 | 0.0465 | 0.0420 | |||||||||||
| February | 0.0455 | 0.0420 | 0.0435 | 0.0465 | 0.0420 | |||||||||||
| March 2018 | 0.0455 | 0.0420 | 0.0435 | 0.0440 | 0.0420 | |||||||||||
| Total Monthly Per Share Distributions | $ | 0.5460 | $ | 0.5040 | $ | 0.5220 | $ | 0.5750 | $ | 0.5360 | ||||||
| Ordinary Income Distribution* | $ | 0.0085 | $ | 0.0201 | $ | 0.0169 | $ | 0.0025 | $ | 0.0008 | ||||||
| Total Distributions from Net Investment Income | $ | 0.5545 | $ | 0.5241 | $ | 0.5389 | $ | 0.5775 | $ | 0.5368 | ||||||
| Total Distributions from Long-Term Capital Gains* | $ | — | $ | — | $ | — | $ | 0.0565 | $ | — | ||||||
| Total Distributions | $ | 0.5545 | $ | 0.5241 | $ | 0.5389 | $ | 0.6340 | $ | 0.5368 | ||||||
| Yields | ||||||||||||||||
| Market Yield** | 3.89 | % | 3.74 | % | 3.67 | % | 3.80 | % | 3.88 | % | ||||||
| Taxable-Equivalent Yield** | 5.12 | % | 4.92 | % | 4.83 | % | 5.70 | % | 5.59 | % | ||||||
| * | Distribution paid in December 2017. |
| ** | Market Yield is based on the Fund’s current annualized monthly dividend 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 24.0%, 24.0%, 24.0%, 33.3% and 30.6% for NXP, NXQ, NXR, NXC and NXN, respectively. When comparing a Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield would be 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.
Share Information (continued)
As of March 31, 2018, the Funds had positive UNII balances for tax purposes. NXP, NXQ and NXR had positive UNII balances, while NXC and NXN had negative UNII balances for financial reporting purposes.
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.
EQUITY SHELF PROGRAM
During the current reporting period, NXC was authorized by the Securities and Exchange Commission to issue additional shares through an equity shelf program (Shelf Offering). Under this program, NXC, 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 share. The total amount of shares authorized under this Shelf Offering is shown in the accompanying table:
| NXC | ||||
| Additional authorized shares | 600,000 | * |
| * | Represents additional authorized shares for the period August 16, 2017 through March 31, 2018. |
During the current reporting period, NXC sold shares through its Shelf Offering at a weighted average premium to its NAV per share as shown in the accompanying table.
| NXC | ||||
| Shares sold through Shelf Offering | 60,043 | |||
| Weighted average premium to NAV per share sold | 2.41% |
Refer to the Notes to Financial Statements, Note 4 – Fund Shares, Shares Equity Shelf Programs and Offering Costs for further details on Shelf Offerings and the Fund’s transactions.
SHARE REPURCHASES
During August 2017, the Funds’ Board of 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 March 31, 2018, and since the inception of the Funds’ repurchase programs, the Funds have cumulatively repurchased and retired their outstanding shares as shown in the accompanying table.
| NXP | NXQ | NXR | NXC | NXN | ||||||
| Shares cumulatively repurchased and retired | — | — | — | — | — | |||||
| Shares authorized for repurchase | 1,655,000 | 1,770,000 | 1,305,000 | 630,000 | 390,000 |
OTHER SHARE INFORMATION
As of March 31, 2018, and during the current reporting period, the Funds’ share prices were trading at a premium/(discount) to their NAVs as shown in the accompanying table.
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| NAV | $ | 15.12 | $ | 14.52 | $ | 15.39 | $ | 15.02 | $ | 13.93 | ||||||
| Share price | $ | 14.02 | $ | 13.47 | $ | 14.23 | $ | 13.90 | $ | 12.98 | ||||||
| Premium/(Discount) to NAV | (7.28 | )% | (7.23 | )% | (7.54 | )% | (7.46 | )% | (6.82 | )% | ||||||
| 12-month average premium/(discount) to NAV | (5.29 | )% | (5.83 | )% | (5.71 | )% | (0.12 | )% | (3.36 | )% |
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 Select Tax-Free Income Portfolio (NXP)
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. These and other risk considerations such as tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NXP.
Nuveen Select Tax-Free Income Portfolio 2 (NXQ)
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. These and other risk considerations such as tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NXQ.
Nuveen Select Tax-Free Income Portfolio 3 (NXR)
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. These and other risk considerations such as tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NXR.
Nuveen California Select Tax-Free Income Portfolio (NXC)
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/NXC.
Nuveen New York Select Tax-Free Income Portfolio (NXN)
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/NXN.
| NXP | Nuveen Select Tax-Free Income Portfolio |
| Performance Overview and Holding Summaries as of March 31, 2018 |
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 March 31, 2018
| Average Annual | |||||||
| 1-Year | 5-Year | 10-Year | |||||
| NXP at NAV | 4.52% | 4.09% | 5.11% | ||||
| NXP at Share Price | 3.83% | 3.34% | 4.50% | ||||
| S&P Municipal Bond Index | 2.53% | 2.76% | 4.42% | ||||
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 return information is provided for the Fund’s shares at NAV only. Indexes 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.
For financial reporting purposes, the ratings disclosed 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. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Holdings designated N/R are not rated by these national rating agencies.
| Fund Allocation | ||
| (% of net assets) | ||
| Long-Term Municipal Bonds | 99.1% | |
| Corporate Bonds | 0.1% | |
| Other Assets Less Liabilities | 0.8% | |
| Net Assets | 100% |
| Portfolio Credit Quality | ||
| (% of total investment exposure) | ||
| U.S. Guaranteed | 10.0% | |
| AAA | 5.0% | |
| AA | 35.8% | |
| A | 25.7% | |
| BBB | 15.9% | |
| BB or Lower | 6.6% | |
| N/R (not rated) | 1.0% | |
| Total | 100% |
| Portfolio Composition | ||
| (% of total investments) | ||
| Tax Obligation/Limited | 22.7% | |
| Transportation | 16.3% | |
| Health Care | 13.9% | |
| Tax Obligation/General | 13.2% | |
| U.S. Guaranteed | 12.4% | |
| Education and Civic Organizations | 8.2% | |
| Other | 13.3% | |
| Total | 100% |
| States and Territories | ||
| (% of total municipal bonds) | ||
| California | 17.4% | |
| Illinois | 12.1% | |
| Texas | 10.0% | |
| New Jersey | 9.6% | |
| Colorado | 6.2% | |
| Ohio | 4.1% | |
| Arizona | 3.4% | |
| New York | 3.1% | |
| Missouri | 2.8% | |
| Iowa | 2.7% | |
| Washington | 2.5% | |
| Virginia | 2.4% | |
| Michigan | 2.4% | |
| Oregon | 2.3% | |
| Other | 19.0% | |
| Total | 100% |
| NXQ | Nuveen Select Tax-Free Income Portfolio 2 |
| Performance Overview and Holding Summaries as of March 31, 2018 |
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 March 31, 2018
| Average Annual | |||||||
| 1-Year | 5-Year | 10-Year | |||||
| NXQ at NAV | 3.98% | 4.18% | 4.90% | ||||
| NXQ at Share Price | 4.32% | 3.43% | 4.36% | ||||
| S&P Municipal Bond Index | 2.53% | 2.76% | 4.42% | ||||
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 return information is provided for the Fund’s shares at NAV only. Indexes 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.
For financial reporting purposes, the ratings disclosed 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. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Holdings designated N/R are not rated by these national rating agencies.
| Fund Allocation | ||
| (% of net assets) | ||
| Long-Term Municipal Bonds | 98.6% | |
| Corporate Bonds | 0.1% | |
| Other Assets Less Liabilities | 1.3% | |
| Net Assets | 100% |
| Portfolio Credit Quality | ||
| (% of total investment exposure) | ||
| U.S. Guaranteed | 7.5% | |
| AAA | 3.4% | |
| AA | 31.4% | |
| A | 31.7% | |
| BBB | 18.3% | |
| BB or Lower | 7.0% | |
| N/R (not rated) | 0.7% | |
| Total | 100% |
| Portfolio Composition | ||
| (% of total investments) | ||
| Tax Obligation/General | 19.4% | |
| Transportation | 18.4% | |
| Health Care | 16.3% | |
| Tax Obligation/Limited | 15.7% | |
| U.S. Guaranteed | 8.7% | |
| Consumer Staples | 5.4% | |
| Education and Civic Organizations | 5.1% | |
| Utilities | 5.1% | |
| Other | 5.9% | |
| Total | 100% |
| States and Territories | ||
| (% of total municipal bonds) | ||
| California | 14.9% | |
| Illinois | 12.9% | |
| Texas | 10.9% | |
| Colorado | 7.5% | |
| Pennsylvania | 4.4% | |
| Nevada | 4.3% | |
| Arizona | 3.7% | |
| New Jersey | 3.6% | |
| Washington | 3.4% | |
| Massachusetts | 3.0% | |
| Wisconsin | 3.0% | |
| Ohio | 2.7% | |
| Iowa | 2.5% | |
| Indiana | 2.2% | |
| Guam | 1.9% | |
| Other | 19.1% | |
| Total | 100% |
| NXR | Nuveen Select Tax-Free Income Portfolio 3 |
| Performance Overview and Holding Summaries as of March 31, 2018 |
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 March 31, 2018
| Average Annual | ||||||
| 1-Year | 5-Year | 10-Year | ||||
| NXR at NAV | 4.19% | 4.49% | 5.33% | |||
| NXR at Share Price | 3.87% | 3.76% | 4.82% | |||
| S&P Municipal Bond Index | 2.53% | 2.76% | 4.42% | |||
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 return information is provided for the Fund’s shares at NAV only. Indexes 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.
For financial reporting purposes, the ratings disclosed 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. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Holdings designated N/R are not rated by these national rating agencies.
| Fund Allocation | ||
| (% of net assets) | ||
| Long-Term Municipal Bonds | 99.1% | |
| Corporate Bonds | 0.0% | |
| Other Assets Less Liabilities | 0.9% | |
| Net Assets | 100% |
| Portfolio Credit Quality | ||
| (% of total investment exposure) | ||
| U.S. Guaranteed | 13.0% | |
| AAA | 2.4% | |
| AA | 27.5% | |
| A | 29.6% | |
| BBB | 18.7% | |
| BB or Lower | 7.4% | |
| N/R (not rated) | 1.4% | |
| Total | 100% |
| Portfolio Composition | ||
| (% of total investments) | ||
| Tax Obligation/Limited | 19.8% | |
| Tax Obligation/General | 17.5% | |
| Transportation | 16.1% | |
| U.S. Guaranteed | 13.9% | |
| Health Care | 12.4% | |
| Consumer Staples | 6.5% | |
| Other | 13.0% | |
| Total | 100% |
| States and Territories | ||
| (% of total municipal bonds) | ||
| California | 22.6% | |
| Illinois | 11.3% | |
| Texas | 10.9% | |
| Pennsylvania | 6.9% | |
| Colorado | 6.2% | |
| Ohio | 5.6% | |
| Washington | 4.2% | |
| New Jersey | 2.7% | |
| Virginia | 2.6% | |
| Massachusetts | 2.2% | |
| Nevada | 2.0% | |
| New York | 1.8% | |
| Guam | 1.8% | |
| Other | 19.2% | |
| Total | 100% |
| NXC | Nuveen California Select Tax-Free |
| Income Portfolio | |
| Performance Overview and Holding Summaries as of March 31, 2018 |
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 March 31, 2018
| Average Annual | |||||||
| 1-Year | 5-Year | 10-Year | |||||
| NXC at NAV | 4.37% | 4.09% | 5.61% | ||||
| NXC at Share Price | (2.23)% | 3.46% | 4.96% | ||||
| S&P Municipal Bond California Index | 2.93% | 3.30% | 4.86% | ||||
| S&P Municipal Bond Index | 2.53% | 2.76% | 4.42% | ||||
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 return information is provided for the Fund’s shares at NAV only. Indexes 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.
For financial reporting purposes, the ratings disclosed 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. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Holdings designated N/R are not rated by these national rating agencies.
| Fund Allocation | ||
| (% of net assets) | ||
| Long-Term Municipal Bonds | 91.9% | |
| Short-Term Municipal Bonds | 1.1% | |
| Other Assets Less Liabilities | 7.0% | |
| Net Assets | 100% |
| Portfolio Composition | ||
| (% of total investments) | ||
| Tax Obligation/General | 22.9% | |
| Tax Obligation/Limited | 20.4% | |
| Water and Sewer | 16.1% | |
| Health Care | 10.8% | |
| U.S. Guaranteed | 8.1% | |
| Transportation | 7.2% | |
| Consumer Staples | 6.9% | |
| Other | 7.6% | |
| Total | 100% |
| Portfolio Credit Quality | ||
| (% of total investment exposure) | ||
| U.S. Guaranteed | 6.3% | |
| AAA | 13.1% | |
| AA | 47.3% | |
| A | 14.9% | |
| BBB | 7.3% | |
| BB or Lower | 9.8% | |
| N/R (not rated) | 1.3% | |
| Total | 100% |
| NXN | Nuveen New York Select Tax-Free |
| Income Portfolio | |
| Performance Overview and Holding Summaries as of March 31, 2018 |
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 March 31, 2018
| Average Annual | ||||||
| 1-Year | 5-Year | 10-Year | ||||
| NXN at NAV | 3.05% | 2.96% | 4.44% | |||
| NXN at Share Price | (1.41)% | 1.45% | 3.84% | |||
| S&P Municipal Bond New York Index | 2.27% | 2.77% | 4.32% | |||
| S&P Municipal Bond Index | 2.53% | 2.76% | 4.42% | |||
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 return information is provided for the Fund’s shares at NAV only. Indexes 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.
For financial reporting purposes, the ratings disclosed 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. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Holdings designated N/R are not rated by these national rating agencies.
| Fund Allocation | ||
| (% of net assets) | ||
| Long-Term Municipal Bonds | 99.8% | |
| Other Assets Less Liabilities | 1.0% | |
| Net Assets Plus Floating Rate Obligations | 100.8% | |
| Floating Rate Obligations | (0.8)% | |
| Net Assets | 100% |
| Portfolio Composition | ||
| (% of total investments) | ||
| Tax Obligation/Limited | 20.0% | |
| Education and Civic Organizations | 19.8% | |
| Transportation | 17.2% | |
| U.S. Guaranteed | 11.8% | |
| Utilities | 9.7% | |
| Water and Sewer | 7.2% | |
| Consumer Staples | 5.6% | |
| Other | 8.7% | |
| Total | 100% |
| Portfolio Credit Quality | ||
| (% of total investment exposure) | ||
| U.S. Guaranteed | 11.6% | |
| AAA | 21.8% | |
| AA | 36.0% | |
| A | 6.3% | |
| BBB | 12.8% | |
| BB or Lower | 7.2% | |
| N/R (not rated) | 4.3% | |
| Total | 100% |
Report of Independent Registered Public Accounting Firm
To the Shareholders and Board of Trustees of
Nuveen Select Tax-Free Income Portfolio
Nuveen Select Tax-Free Income Portfolio 2
Nuveen Select Tax-Free Income Portfolio 3
Nuveen California Select Tax-Free Income Portfolio
Nuveen New York Select Tax-Free Income Portfolio
Opinion on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of Nuveen Select Tax-Free Income Portfolio, Nuveen Select Tax-Free Income Portfolio 2, Nuveen Select Tax-Free Income Portfolio 3, Nuveen California Select Tax-Free Income Portfolio, and Nuveen New York Select Tax-Free Income Portfolio (the “Funds”) as of March 31, 2018, the related statements of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years in the four-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Funds as of March 31, 2018, the results of their operations for the year then ended, the changes in their net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the four-year period then ended, in conformity with U.S. generally accepted accounting principles. The financial highlights for the year ended March 31, 2014 were audited by other independent registered public accountants whose report, dated May 27, 2014 expressed an unqualified opinion on those financial highlights.
Basis for Opinion
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 are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. 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, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of March 31, 2018, by correspondence with the custodian and brokers or other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.
/s/ KPMG LLP
We have served as the auditor of one or more Nuveen investment companies since 2014.
Chicago, Illinois
May 25, 2018
| NXP | Nuveen Select Tax-Free Income Portfolio |
| Portfolio of Investments | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| LONG-TERM INVESTMENTS – 99.2% | |||||||||
| MUNICIPAL BONDS – 99.1% | |||||||||
| Alaska – 0.3% | |||||||||
| $ | 775 | Northern Tobacco Securitization Corporation, Alaska, Tobacco Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/46 | 5/18 at 100.00 | B3 | $ | 774,969 | |||
| Arizona – 3.3% | |||||||||
| 2,500 | Arizona Health Facilities Authority, Hospital Revenue Bonds, Catholic Healthcare West, Series 2011B-1&2, 5.250%, 3/01/39 | 3/21 at 100.00 | A | 2,682,350 | |||||
| 320 | Arizona Industrial Development Authority, Arizona, Education Facility Revenue Bonds, Basis Schools, Inc. Projects, Series 2017D, 3.000%, 7/01/22, 144A | No Opt. Call | BB | 311,632 | |||||
| 255 | Arizona Industrial Development Authority, Arizona, Education Facility Revenue Bonds, Basis Schools, Inc. Projects, Series 2017F, 3.000%, 7/01/26 | No Opt. Call | AA– | 250,234 | |||||
| 350 | Arizona Industrial Development Authority, Arizona, Education Revenue Bonds, Academies of Math & Science Projects, Series 2018A, 4.000%, 7/01/22 | No Opt. Call | AA– | 368,263 | |||||
| 2,530 | Arizona Water Infrastructure Finance Authority, Water Quality Revenue Bonds, Series 2008A, 5.000%, 10/01/20 | 10/18 at 100.00 | AAA | 2,573,465 | |||||
| 355 | Maricopa County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Schools Projects, Series 2016, 2.875%, 7/01/21, 144A | No Opt. Call | BB+ | 353,630 | |||||
| 1,000 | Maricopa County Industrial Development Authority, Arizona, Revenue Bonds, Banner Health, Refunding Series 2016A, 5.000%, 1/01/38 | 1/27 at 100.00 | AA– | 1,130,600 | |||||
| 625 | Pima County Industrial Development Authority, Arizona, Revenue Bonds, Tucson Electric Power Company, Series 2010A, 5.250%, 10/01/40 | 10/20 at 100.00 | A– | 671,025 | |||||
| 7,935 | Total Arizona | 8,341,199 | |||||||
| Arkansas – 0.8% | |||||||||
| 6,555 | Arkansas Development Finance Authority, Tobacco Settlement Revenue Bonds, Arkansas Cancer Research Center Project, Series 2006, 0.000%, 7/01/46 – AMBAC Insured | No Opt. Call | Aa2 | 1,914,257 | |||||
| California – 17.3% | |||||||||
| 4,245 | Anaheim City School District, Orange County, California, General Obligation Bonds, Election 2002 Series 2007, 0.000%, 8/01/31 – AGM Insured | No Opt. Call | AA | 2,694,386 | |||||
| 2,840 | Anaheim Public Financing Authority, California, Lease Revenue Bonds, Public Improvement Project, Series 1997C, 0.000%, 9/01/30 – AGM Insured | No Opt. Call | AA | 1,821,690 | |||||
| 3,000 | Bay Area Toll Authority, California, Revenue Bonds, San Francisco Bay Area Toll Bridge, Series 2013S-4, 5.000%, 4/01/38 (Pre-refunded 4/01/23) | 4/23 at 100.00 | AA– (4) | 3,433,440 | |||||
| 2,310 | California Health Facilities Financing Authority, Revenue Bonds, Saint Joseph Health System, Series 2013A, 5.000%, 7/01/33 | 7/23 at 100.00 | AA– | 2,603,000 | |||||
| 1,630 | California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2013I, 5.000%, 11/01/38 | 11/23 at 100.00 | A+ | 1,820,205 | |||||
| 2,745 | California State, General Obligation Bonds, Various Purpose Series 2009, 5.000%, 10/01/29 | 10/19 at 100.00 | AA– | 2,880,603 | |||||
| 1,500 | California Statewide Community Development Authority, Health Revenue Bonds, Enloe Medical Center, Refunding Series 2008A, 6.250%, 8/15/28 (Pre-refunded 8/15/18) | 8/18 at 100.00 | AA– (4) | 1,526,640 | |||||
| 895 | 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 (4) | 954,553 | |||||
| 2,645 | Cypress Elementary School District, Orange County, California, General Obligation Bonds, Series 2009A, 0.000%, 5/01/34 – AGM Insured | No Opt. Call | AA | 1,490,352 | |||||
| 800 | East Side Union High School District, Santa Clara County, California, General Obligation Bonds, 2008 Election Series 2010B, 5.000%, 8/01/24 (Pre-refunded 8/01/19) – AGC Insured | 8/19 at 100.00 | AA (4) | 836,008 | |||||
| 2,710 | Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 0.000%, 6/01/28 – AMBAC Insured | No Opt. Call | A+ | 1,994,452 |
| NXP | Nuveen Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| California (continued) | |||||||||
| $ | 3,030 | Grossmont Union High School District, San Diego County, California, General Obligation Bonds, Series 2006, 0.000%, 8/01/25 – NPFG Insured | No Opt. Call | Aa2 | $ | 2,478,601 | |||
| 1,000 | Moreno Valley Unified School District, Riverside County, California, General Obligation Bonds, Refunding Series 2007, 0.000%, 8/01/23 – NPFG Insured | No Opt. Call | A+ | 869,130 | |||||
| 1,160 | Mount San Antonio Community College District, Los Angeles County, California, General Obligation Bonds, Election of 2008, Series 2013A, 0.000%, 8/01/43 (5) | 8/35 at 100.00 | Aa1 | 958,624 | |||||
| 5,395 | Napa Valley Community College District, Napa and Sonoma Counties, California, General Obligation Bonds, Election 2002 Series 2007C, 0.000%, 8/01/32 – NPFG Insured | 8/18 at 49.01 | Aa2 | 2,604,382 | |||||
| 590 | Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.750%, 11/01/39 (Pre-refunded 11/01/19) | 11/19 at 100.00 | N/R (4) | 636,758 | |||||
| 4,390 | Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Series 1999, 0.000%, 8/01/29 – AMBAC Insured | No Opt. Call | AA– | 2,983,093 | |||||
| 1,700 | Placentia-Yorba Linda Unified School District, Orange County, California, Certificates of Participation, Series 2006, 0.000%, 10/01/34 – NPFG Insured (ETM) | No Opt. Call | A+ (4) | 1,050,447 | |||||
| 8,000 | Poway Unified School District, San Diego County, California, General Obligation Bonds, School Facilities Improvement District 2007-1, Election 2008 Series 2009A, 0.000%, 8/01/33 | No Opt. Call | AA– | 4,650,959 | |||||
| 1,350 | San Diego Association of Governments, California, South Bay Expressway Toll Revenue Bonds, First Senior Lien Series 2017A, 5.000%, 7/01/42 | 7/27 at 100.00 | A | 1,536,125 | |||||
| 2,110 | Sierra Sands Unified School District, Kern County, California, General Obligation Bonds, Election of 2006, Series 2006A, 0.000%, 11/01/28 – FGIC Insured | No Opt. Call | AA | 1,500,316 | |||||
| 1,195 | Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1, 5.500%, 6/01/45 | 5/18 at 100.00 | B– | 1,195,012 | |||||
| 1,150 | Woodside Elementary School District, San Mateo County, California, General Obligation Bonds, Election of 2005, Series 2007, 0.000%, 10/01/30 – AMBAC Insured | No Opt. Call | AAA | 781,103 | |||||
| 56,390 | Total California | 43,299,879 | |||||||
| Colorado – 6.2% | |||||||||
| 500 | Centerra Metropolitan District 1, Loveland, Colorado, Special Revenue Bonds, Refunding & Improvement Series 2017, 5.000%, 12/01/21, 144A | No Opt. Call | N/R | 541,815 | |||||
| 1,780 | Colorado Health Facilities Authority, Colorado, Revenue Bonds, Catholic Health Initiatives, Series 2013A, 5.250%, 1/01/45 | 1/23 at 100.00 | BBB+ | 1,910,955 | |||||
| 1,000 | Colorado Health Facilities Authority, Colorado, Revenue Bonds, Sisters of Charity of Leavenworth Health Services Corporation, Series 2010A, 5.000%, 1/01/40 | 1/20 at 100.00 | AA– | 1,047,630 | |||||
| 2,630 | Colorado School of Mines Board of Trustees, Golden, Colorado, Institutional Enterprise Revenue Bonds, Series 2017B, 5.000%, 12/01/42 | 12/27 at 100.00 | Aa3 | 3,001,856 | |||||
| 1,935 | Denver City and County, Colorado, Airport System Revenue Bonds, Subordinate Lien Series 2013B, 5.000%, 11/15/43 | 11/23 at 100.00 | A | 2,124,166 | |||||
| 250 | E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2000B, 0.000%, 9/01/29 – NPFG Insured | No Opt. Call | A– | 169,780 | |||||
| 12,500 | E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2006A, 0.000%, 9/01/38 – NPFG Insured | 9/26 at 54.77 | A– | 5,038,124 | |||||
| 2,000 | E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, Series 2004B, 0.000%, 9/01/32 – NPFG Insured | 9/20 at 50.83 | A– | 951,280 | |||||
| 620 | Park Creek Metropolitan District, Colorado, Senior Limited Property Tax Supported Revenue Bonds, Refunding Series 2015A, 5.000%, 12/01/35 | 12/25 at 100.00 | N/R | 694,375 | |||||
| 23,215 | Total Colorado | 15,479,981 | |||||||
| Connecticut – 0.8% | |||||||||
| 1,890 | Connecticut State, Special Tax Obligation Bonds, Transportation Infrastructure Purposes Series 2013A, 5.000%, 10/01/32 | 10/23 at 100.00 | AA | 2,055,205 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Guam – 2.1% | |||||||||
| $ | 1,500 | Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/39 | 11/25 at 100.00 | A | $ | 1,558,425 | |||
| 1,650 | Government of Guam, Hotel Occupancy Tax Revenue Bonds, Series 2011A, 6.000%, 11/01/26 | 5/21 at 100.00 | A– | 1,771,803 | |||||
| 1,740 | Guam Government Waterworks Authority, Water and Wastewater System Revenue Bonds, Series 2013, 5.250%, 7/01/25 | 7/23 at 100.00 | A– | 1,922,369 | |||||
| 4,890 | Total Guam | 5,252,597 | |||||||
| Idaho – 1.3% | |||||||||
| 3,000 | Idaho Health Facilities Authority, Revenue Bonds, Saint Luke’s Health System Project, Series 2014A, 5.000%, 3/01/44 | 3/24 at 100.00 | A– | 3,233,340 | |||||
| Illinois – 12.0% | |||||||||
| Board of Trustees of Southern Illinois University, Housing and Auxiliary Facilities System Revenue Bonds, Series 1999A: | |||||||||
| 2,565 | 0.000%, 4/01/20 – NPFG Insured | No Opt. Call | Baa2 | 2,426,157 | |||||
| 2,000 | 0.000%, 4/01/23 – NPFG Insured | No Opt. Call | Baa2 | 1,691,720 | |||||
| 725 | Chicago Board of Education, Illinois, Dedicated Capital Improvement Tax Revenue Bonds, Series 2016, 6.000%, 4/01/46 | 4/27 at 100.00 | A | 850,686 | |||||
| 735 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues Series 2011A, 5.000%, 12/01/41 | 12/21 at 100.00 | BB– | 713,126 | |||||
| 735 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues, Refunding Series 2017C, 5.000%, 12/01/30 | 12/27 at 100.00 | B | 747,348 | |||||
| 360 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues, Series 2016B, 6.500%, 12/01/46 | 12/26 at 100.00 | B | 410,036 | |||||
| 55 | Chicago Board of Education, Illinois, Unlimited Tax General Obligation Bonds, Dedicated Tax Revenues, Series 1998B-1, 0.000%, 12/01/28 – FGIC Insured | No Opt. Call | Baa2 | 34,223 | |||||
| 645 | Chicago, Illinois, General Airport Revenue Bonds, O’Hare International Airport, Senior Lien Refunding Series 2016C, 5.000%, 1/01/20 | No Opt. Call | A | 680,269 | |||||
| 880 | Chicago, Illinois, General Obligation Bonds, Project & Refunding Series 2017A, 6.000%, 1/01/38 | 1/27 at 100.00 | BBB+ | 989,375 | |||||
| Illinois Finance Authority, Revenue Bonds, Northwestern Memorial HealthCare, Series 2013: | |||||||||
| 2,100 | 4.000%, 8/15/33 | 8/22 at 100.00 | AA+ | 2,159,262 | |||||
| 2,245 | 5.000%, 8/15/43 | 8/22 at 100.00 | AA+ | 2,427,406 | |||||
| 260 | Illinois Finance Authority, Revenue Bonds, Rehabilitation Institute of Chicago, Series 2013A, 6.000%, 7/01/43 | 7/23 at 100.00 | A– | 290,090 | |||||
| 2,100 | Illinois Finance Authority, Revenue Bonds, Silver Cross Hospital and Medical Centers, Refunding Series 2008A, 5.500%, 8/15/30 | 8/18 at 100.00 | BBB+ | 2,120,349 | |||||
| 1,000 | Illinois Finance Authority, Revenue Bonds, Silver Cross Hospital and Medical Centers, Series 2009, 6.875%, 8/15/38 (Pre-refunded 8/15/19) | 8/19 at 100.00 | N/R (4) | 1,068,740 | |||||
| 1,270 | Illinois State, General Obligation Bonds, October Series 2016, 5.000%, 2/01/19 | No Opt. Call | BBB | 1,293,914 | |||||
| 2,190 | Illinois State, General Obligation Bonds, Refunding Series 2012, 5.000%, 8/01/23 | No Opt. Call | BBB | 2,290,828 | |||||
| 1,000 | Kendall, Kane, and Will Counties Community Unit School District 308 Oswego, Illinois, General Obligation Bonds, Series 2008, 0.000%, 2/01/24 – AGM Insured | No Opt. Call | Aa3 | 833,960 | |||||
| Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, McCormick Place Expansion Project, Series 2002A: | |||||||||
| 1,720 | 0.000%, 12/15/29 – NPFG Insured | No Opt. Call | Baa2 | 1,025,412 | |||||
| 765 | 0.000%, 6/15/30 | No Opt. Call | BB+ | 443,448 | |||||
| 45 | 0.000%, 6/15/30 (ETM) | No Opt. Call | N/R (4) | 31,671 | |||||
| 6,070 | 0.000%, 12/15/31 – NPFG Insured | No Opt. Call | Baa2 | 3,250,971 | |||||
| 5,000 | 0.000%, 12/15/36 – NPFG Insured | No Opt. Call | Baa2 | 2,037,000 | |||||
| 1,775 | Springfield, Illinois, Electric Revenue Bonds, Senior Lien Series 2015, 5.000%, 3/01/28 | 3/25 at 100.00 | A | 1,991,515 | |||||
| 310 | University of Illinois, Health Services Facilities System Revenue Bonds, Series 2013, 6.000%, 10/01/42 | 10/23 at 100.00 | A– | 349,754 | |||||
| 36,550 | Total Illinois | 30,157,260 |
| NXP | Nuveen Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Indiana – 1.5% | |||||||||
| $ | 2,855 | Boone County Hospital Association, Indiana, Lease Revenue Bonds, Series 2010, 5.250%, 7/15/25 (Pre-refunded 1/15/20) | 1/20 at 100.00 | AA+ (4) | $ | 3,034,808 | |||
| 750 | Purdue University, Indiana, University Revenue Bonds, Student Facility System Series 2009A, 5.000%, 7/01/23 (Pre-refunded 1/01/19) | 1/19 at 100.00 | AAA | 769,170 | |||||
| 3,605 | Total Indiana | 3,803,978 | |||||||
| Iowa – 2.7% | |||||||||
| 710 | Iowa Finance Authority, Iowa, Midwestern Disaster Area Revenue Bonds, Iowa Fertilizer Company Project, Series 2016, 5.875%, 12/01/26, 144A | 6/18 at 105.00 | B | 747,566 | |||||
| 830 | Iowa Finance Authority, Iowa, Midwestern Disaster Area Revenue Bonds, Iowa Fertilizer Company Project, Series 2018B, 5.250%, 12/01/50 (Mandatory put 12/01/37) | No Opt. Call | B | 870,919 | |||||
| 1,000 | Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue Bonds, Series 2005C, 5.375%, 6/01/38 | 6/18 at 100.00 | B+ | 1,002,250 | |||||
| 4,000 | Iowa Tobacco Settlement Authority, Tobacco Asset-Backed Revenue Bonds, Series 2005B, 5.600%, 6/01/34 | 6/18 at 100.00 | BB– | 4,037,240 | |||||
| 6,540 | Total Iowa | 6,657,975 | |||||||
| Kentucky – 1.1% | |||||||||
| 2,500 | Kentucky Economic Development Finance Authority, Hospital Revenue Bonds, Baptist Healthcare System Obligated Group, Series 2011, 5.250%, 8/15/46 | 8/21 at 100.00 | A | 2,661,425 | |||||
| Massachusetts – 1.7% | |||||||||
| 1,625 | Massachusetts Development Finance Agency, Revenue Bonds, Olin College, Series 2013E, 5.000%, 11/01/43 | 11/23 at 100.00 | A+ | 1,794,260 | |||||
| 400 | Massachusetts Development Finance Agency, Revenue Bonds, UMass Memorial Health Care Obligated Group Issue, Series 2017L, 3.625%, 7/01/37 | 7/27 at 100.00 | BBB+ | 390,488 | |||||
| 500 | Massachusetts Health and Educational Facilities Authority, Revenue Bonds, CareGroup Inc., Series 2008E-1 &2, 5.000%, 7/01/28 (Pre-refunded 7/01/18) | 7/18 at 100.00 | A– (4) | 504,225 | |||||
| 1,525 | Massachusetts Housing Finance Agency, Housing Bonds, Series 2009F, 5.700%, 6/01/40 (Alternative Minimum Tax) | 12/18 at 100.00 | AA | 1,544,856 | |||||
| 4,050 | Total Massachusetts | 4,233,829 | |||||||
| Michigan – 2.4% | |||||||||
| 355 | Detroit Water and Sewerage Department, Michigan, Sewage Disposal System Revenue Bonds, Refunding Senior Lien Series 2012A, 5.250%, 7/01/39 | 7/22 at 100.00 | A | 382,626 | |||||
| 1,500 | Detroit, Michigan, Sewer Disposal System Revenue Bonds, Second Lien, Series 2001E, 5.750%, 7/01/31 (Pre-refunded 7/01/18) – BHAC Insured | 7/18 at 100.00 | AA+ (4) | 1,515,030 | |||||
| 4,000 | Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue Bonds, William Beaumont Hospital, Refunding Series 2009V, 8.250%, 9/01/39 (Pre-refunded 9/01/18) | 9/18 at 100.00 | Aaa | 4,109,120 | |||||
| 5,855 | Total Michigan | 6,006,776 | |||||||
| Mississippi – 1.0% | |||||||||
| 2,400 | Warren County, Mississippi, Gulf Opportunity Zone Revenue Bonds, International Paper Company Project, Series 2008A, 6.500%, 9/01/32 | 9/18 at 100.00 | BBB | 2,450,256 | |||||
| Missouri – 2.7% | |||||||||
| 360 | Bi-State Development Agency of the Missouri-Illinois Metropolitan District, Mass Transit Sales Tax Appropriation Bonds, Refunding Combined Lien Series 2013A, 5.000%, 10/01/28 | 10/18 at 100.00 | AA+ | 366,131 | |||||
| Kansas City Municipal Assistance Corporation, Missouri, Leasehold Revenue Bonds, Series 2004B-1: | |||||||||
| 1,165 | 0.000%, 4/15/23 – AMBAC Insured | No Opt. Call | AA | 1,021,938 | |||||
| 5,000 | 0.000%, 4/15/30 – AMBAC Insured | No Opt. Call | AA– | 3,320,750 | |||||
| 2,000 | Missouri Health and Educational Facilities Authority, Health Facilities Revenue Bonds, CoxHealth, Series 2013A, 5.000%, 11/15/38 | 11/23 at 100.00 | A2 | 2,172,940 | |||||
| 8,525 | Total Missouri | 6,881,759 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Nevada – 1.7% | |||||||||
| $ | 275 | Carson City, Nevada, Hospital Revenue Bonds, Carson Tahoe Regional Healthcare Project, Series 2017A, 5.000%, 9/01/37 | 9/27 at 100.00 | BBB+ | $ | 303,875 | |||
| 750 | Clark County, Nevada, Airport Revenue Bonds, Tender Option Bond Trust Series 2016-XG0028, 15.953%, 7/01/42, 144A, (IF) | 1/20 at 100.00 | Aa3 | 953,588 | |||||
| 1,250 | Clark County, Nevada, Passenger Facility Charge Revenue Bonds, Las Vegas-McCarran International Airport, Series 2010A, 5.250%, 7/01/42 | 1/20 at 100.00 | Aa3 | 1,320,150 | |||||
| 1,500 | Las Vegas Redevelopment Agency, Nevada, Tax Increment Revenue Bonds, Series 2009A, 8.000%, 6/15/30 (Pre-refunded 6/15/19) | 6/19 at 100.00 | BBB+ (4) | 1,610,415 | |||||
| 3,775 | Total Nevada | 4,188,028 | |||||||
| New Jersey – 9.6% | |||||||||
| 940 | New Jersey Economic Development Authority, Private Activity Bonds, The Goethals Bridge Replacement Project, Series 2013, 5.125%, 1/01/39 – AGM Insured (Alternative Minimum Tax) | 1/24 at 100.00 | AA | 1,036,294 | |||||
| 1,035 | New Jersey Economic Development Authority, School Facilities Construction Financing Program Bonds, Refunding Series 2011GG, 5.000%, 9/01/22 | 3/21 at 100.00 | A– | 1,095,527 | |||||
| 1,380 | New Jersey Economic Development Authority, Sublease Revenue Bonds, New Jersey Transit Corporation Projects, Refunding Series 2017B, 5.000%, 11/01/23 | No Opt. Call | A– | 1,506,670 | |||||
| 260 | New Jersey Health Care Facilities Financing Authority, Revenue Bonds, University Hospital Issue, Refunding Series 2015A, 5.000%, 7/01/29 – AGM Insured | 7/25 at 100.00 | AA | 295,797 | |||||
| 35,000 | New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Refunding Series 2006C, 0.000%, 12/15/34 – AGM Insured | No Opt. Call | AA | 17,511,197 | |||||
| 2,500 | Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%, 6/01/41 (Pre-refunded 4/26/18) | 4/18 at 100.00 | B (4) | 2,499,925 | |||||
| 41,115 | Total New Jersey | 23,945,410 | |||||||
| New Mexico – 0.4% | |||||||||
| 1,000 | New Mexico Mortgage Finance Authority, Multifamily Housing Revenue Bonds, St Anthony, Series 2007A, 5.250%, 9/01/42 (Alternative Minimum Tax) | 6/18 at 100.00 | N/R | 1,000,550 | |||||
| New York – 3.1% | |||||||||
| Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Senior Fiscal 2012 Series 2011A: | |||||||||
| 475 | 5.250%, 2/15/47 | 2/21 at 100.00 | AA– | 508,454 | |||||
| 25 | 5.250%, 2/15/47 (Pre-refunded 2/15/21) | 2/21 at 100.00 | Aa3 (4) | 27,399 | |||||
| 1,100 | Metropolitan Transportation Authority, New York, Transportation Revenue Bonds, Refunding Series 2002D-1, 5.000%, 11/01/27 | 11/22 at 100.00 | AA– | 1,223,266 | |||||
| New York City Municipal Water Finance Authority, New York, Water and Sewer System Revenue Bonds, Fiscal 2009 Series 2008A: | |||||||||
| 1,035 | 5.750%, 6/15/40 (Pre-refunded 6/15/18) | 6/18 at 100.00 | N/R (4) | 1,043,849 | |||||
| 1,250 | 5.750%, 6/15/40 | 6/18 at 100.00 | AAA | 1,260,013 | |||||
| 2,875 | New York City Transitional Finance Authority, New York, Building Aid Revenue Bonds, Fiscal Series 2009-S1, 5.500%, 7/15/31 | 7/18 at 100.00 | AA | 2,907,804 | |||||
| 780 | Port Authority of New York and New Jersey, Special Project Bonds, JFK International Air Terminal LLC Project, Eighth Series 2010, 6.000%, 12/01/42 | 12/20 at 100.00 | Baa1 | 857,875 | |||||
| 7,540 | Total New York | 7,828,660 | |||||||
| North Carolina – 0.4% | |||||||||
| 1,000 | North Carolina Eastern Municipal Power Agency, Power System Revenue Bonds, Series 2008C, 6.750%, 1/01/24 (Pre-refunded 1/01/19) | 1/19 at 100.00 | AAA | 1,037,700 | |||||
| Ohio – 4.0% | |||||||||
| 2,250 | American Municipal Power Ohio Inc., Prairie State Energy Campus Project Revenue Bonds, Series 2009A, 5.750%, 2/15/39 (Pre-refunded 2/15/19) – AGC Insured | 2/19 at 100.00 | AA (4) | 2,331,180 |
| NXP | Nuveen Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Ohio (continued) | |||||||||
| Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: | |||||||||
| $ | 1,670 | 6.000%, 6/01/42 | 5/18 at 100.00 | B– | $ | 1,659,579 | |||
| 1,000 | 6.500%, 6/01/47 | 5/18 at 100.00 | B– | 1,006,260 | |||||
| 1,975 | Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-3, 6.250%, 6/01/37 | 6/22 at 100.00 | B– | 1,984,816 | |||||
| 1,500 | Montgomery County, Ohio, Revenue Bonds, Miami Valley Hospital, Series 2011A, 5.750%, 11/15/21 | 11/20 at 100.00 | A+ | 1,639,050 | |||||
| 1,105 | Ohio Turnpike Commission, Turnpike Revenue Bonds, Infrastructure Project, Junior Lien Series 2013A-1, 5.000%, 2/15/48 | 2/23 at 100.00 | Aa3 | 1,197,566 | |||||
| 1,000 | Ohio Water Development Authority, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generating Corporation Project, Series 2005B, 4.000%, 1/01/34 (Mandatory put 7/01/21), (6) | No Opt. Call | D | 316,250 | |||||
| 10,500 | Total Ohio | 10,134,701 | |||||||
| Oklahoma – 0.2% | |||||||||
| 435 | Oklahoma Development Finance Authority, Health System Revenue Bonds, OU Medicine Project, Series 2018B, 5.000%, 8/15/38 (WI/DD, Settling 4/04/18) | 8/28 at 100.00 | Baa3 | 477,008 | |||||
| Oregon – 2.2% | |||||||||
| 590 | Beaverton School District 48J, Washington and Multnomah Counties, Oregon, General Obligation Bonds, Convertible Deferred Interest Series 2017D, 0.000%, 6/15/36 | 6/27 at 100.00 | AA+ | 674,299 | |||||
| 500 | Lake Oswego, Oregon, General Obligation Bonds, Series 2013, 5.000%, 6/01/26 | 6/23 at 100.00 | AAA | 566,890 | |||||
| Oregon Facilities Authority, Revenue Bonds, Reed College, Series 2017A: | |||||||||
| 1,365 | 4.000%, 7/01/41 | 7/27 at 100.00 | Aa2 | 1,437,209 | |||||
| 1,590 | 5.000%, 7/01/47 | 7/27 at 100.00 | Aa2 | 1,828,373 | |||||
| 1,000 | Oregon Facilities Authority, Revenue Bonds, Willamette University, Refunding Series 2016B, 5.000%, 10/01/40 | 10/26 at 100.00 | A | 1,138,540 | |||||
| 5,045 | Total Oregon | 5,645,311 | |||||||
| Pennsylvania – 2.0% | |||||||||
| 1,225 | Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2013, 5.000%, 1/01/37 | 1/24 at 100.00 | A | 1,349,950 | |||||
| 2,090 | Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Carnegie Mellon University, Series 2009, 5.000%, 8/01/21 | 2/19 at 100.00 | AA | 2,147,809 | |||||
| Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Subordinate Special Revenue Bonds, Series 2010B-2: | |||||||||
| 555 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | N/R (4) | 599,877 | |||||
| 295 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | N/R (4) | 318,854 | |||||
| 640 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | A2 (4) | 691,750 | |||||
| 4,805 | Total Pennsylvania | 5,108,240 | |||||||
| Tennessee – 1.3% | |||||||||
| 3,000 | Metropolitan Nashville Airport Authority, Tennessee, Airport Revenue Bonds, Improvement Series 2015A, 5.000%, 7/01/45 | 7/25 at 100.00 | A+ | 3,377,550 | |||||
| Texas – 9.9% | |||||||||
| 250 | Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien Series 2011, 6.000%, 1/01/41 (Pre-refunded 1/01/21) | 1/21 at 100.00 | BBB+ (4) | 277,205 | |||||
| 110 | Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien, Series 2015A, 5.000%, 1/01/33 | 7/25 at 100.00 | BBB+ | 122,707 | |||||
| 1,000 | Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Senior Lien Series 2008, 5.250%, 12/01/48 (Pre-refunded 12/01/18) | 12/18 at 100.00 | AA+ (4) | 1,023,820 | |||||
| 5,565 | Grand Parkway Transportation Corporation, Texas, System Toll Revenue Bonds, First Tier Series 2013A, 5.500%, 4/01/53 | 10/23 at 100.00 | BBB+ | 6,285,945 | |||||
| 1,250 | Harris County Flood Control District, Texas, Contract Tax Bonds, Refunding Series 2017A, 4.000%, 10/01/35 | 10/27 at 100.00 | AAA | 1,330,263 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Texas (continued) | |||||||||
| $ | 3,415 | Harris County-Houston Sports Authority, Texas, Revenue Bonds, Junior Lien Series 2001H, 0.000%, 11/15/30 – NPFG Insured | No Opt. Call | Baa2 | $ | 2,110,777 | |||
| 4,230 | Harris County-Houston Sports Authority, Texas, Revenue Bonds, Third Lien Series 2004A-3, 0.000%, 11/15/35 – NPFG Insured | 11/24 at 52.47 | Baa2 | 1,720,003 | |||||
| 4,015 | Harris County-Houston Sports Authority, Texas, Special Revenue Bonds, Refunding Senior Lien Series 2001A, 0.000%, 11/15/38 – NPFG Insured | 11/30 at 61.17 | AA | 1,536,822 | |||||
| 2,260 | Love Field Airport Modernization Corporation, Texas, Special Facilities Revenue Bonds, Southwest Airlines Company, Series 2010, 5.250%, 11/01/40 | 11/20 at 100.00 | A3 | 2,424,144 | |||||
| 2,000 | North Texas Tollway Authority, System Revenue Bonds, Refunding First Tier Capital Appreciation Series 2008I, 6.500%, 1/01/43 | 1/25 at 100.00 | A1 | 2,425,780 | |||||
| 5,000 | Texas Municipal Gas Acquisition and Supply Corporation III, Gas Supply Revenue Bonds, Series 2012, 5.000%, 12/15/26 | 12/22 at 100.00 | A3 | 5,518,149 | |||||
| 29,095 | Total Texas | 24,775,615 | |||||||
| Virginia – 2.4% | |||||||||
| 2,000 | Metropolitan Washington Airports Authority, Virginia, Dulles Toll Road Revenue Bonds, Dulles Metrorail Capital Appreciation, Second Senior Lien Series 2010B, 0.000%, 10/01/44 (5) | 10/28 at 100.00 | BBB+ | 2,517,000 | |||||
| Virginia Small Business Financing Authority, Senior Lien Revenue Bonds, Elizabeth River Crossing, Opco LLC Project, Series 2012: | |||||||||
| 1,000 | 5.250%, 1/01/32 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 1,093,170 | |||||
| 1,205 | 6.000%, 1/01/37 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 1,349,528 | |||||
| 1,010 | 5.500%, 1/01/42 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 1,104,819 | |||||
| 5,215 | Total Virginia | 6,064,517 | |||||||
| Washington – 2.5% | |||||||||
| 1,280 | Port of Seattle, Washington, Revenue Bonds, Refunding First Lien Series 2016A, 5.000%, 10/01/18 | No Opt. Call | Aa2 | 1,302,182 | |||||
| 990 | Washington Health Care Facilities Authority, Revenue Bonds, Fred Hutchinson Cancer Research Center, Series 2011A, 5.625%, 1/01/35 | 1/21 at 100.00 | A | 1,057,389 | |||||
| 2,115 | Washington State Health Care Facilities Authority, Revenue Bonds, PeaceHealth, Refunding Series 2009, 5.000%, 11/01/28 | 11/19 at 100.00 | A+ | 2,199,600 | |||||
| 2,115 | Washington State, Motor Vehicle Fuel Tax General Obligation Bonds, Series 2003F, 0.000%, 12/01/27 – NPFG Insured | No Opt. Call | AA+ | 1,601,436 | |||||
| 6,500 | Total Washington | 6,160,607 | |||||||
| West Virginia – 0.7% | |||||||||
| 1,500 | West Virginia Hospital Finance Authority, Hospital Revenue Bonds, West Virginia United Health System Obligated Group, Refunding & Improvement Series 2013A, 5.500%, 6/01/44 | 6/23 at 100.00 | A | 1,661,355 | |||||
| Wisconsin – 1.5% | |||||||||
| 1,500 | Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Medical College of Wisconsin, Inc., Series 2016, 5.000%, 12/01/41 | 11/26 at 100.00 | AA– | 1,684,350 | |||||
| 1,645 | Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Mercy Alliance, Inc., Series 2012, 5.000%, 6/01/39 | 6/22 at 100.00 | A3 | 1,742,318 | |||||
| 420 | Wisconsin, General Obligation Refunding Bonds, Series 2003-3, 5.000%, 11/01/26 | 6/18 at 100.00 | AA+ | 421,176 | |||||
| 3,565 | Total Wisconsin | 3,847,844 | |||||||
| $ | 298,765 | Total Municipal Bonds (cost $225,020,334) | 248,457,781 |
| NXP | Nuveen Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | |||||||||||
| Amount (000) | Description (1) | Coupon | Maturity | Ratings (3) | Value | ||||||
| CORPORATE BONDS – 0.1% | |||||||||||
| Transportation – 0.1% | |||||||||||
| $ | 203 | Las Vegas Monorail Company, Senior Interest Bonds (7), (8) | 5.500% | 7/15/19 | N/R | $ | 130,275 | ||||
| 56 | Las Vegas Monorail Company, Senior Interest Bonds (7), (8) | 5.500% | 7/15/55 | N/R | 27,806 | ||||||
| $ | 259 | Total Corporate Bonds (cost $17,310) | 158,081 | ||||||||
| Total Long-Term Investments (cost $225,037,644) | 248,615,862 | ||||||||||
| Other Assets Less Liabilities – 0.8% | 1,935,313 | ||||||||||
| Net Assets – 100% | $ | 250,551,175 |
| (1) | All percentages shown in the Portfolio of Investments are based on net assets. |
| (2) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm. |
| (3) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Ratings are not covered by the report of independent registered public accounting firm. |
| (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. |
| (5) | Step-up coupon bond, a bond with a coupon that increases (“steps up”), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period. |
| (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) | During January 2010, Las Vegas Monorail Company (“Las Vegas Monorail”) filed for federal bankruptcy protection. During March 2012, Las Vegas Monorail emerged from federal bankruptcy with the acceptance of a reorganization plan assigned by the Federal Bankruptcy Court. Under the reorganization plan, the Fund surrendered its Las Vegas Monorail Project Revenue Bonds, First Tier, Series 2000 and in turn received two senior interest corporate bonds: the first with an annual coupon rate of 5.500% maturing on July 15, 2019 and the second with an annual coupon rate of 3.000% (5.500% after December 31, 2015) maturing on July 15, 2055. The Fund was not accruing income for either senior interest corporate bond. On January 18, 2017, the Fund’s Adviser determined it was likely that this senior interest corporate bond would fulfill its obligation on the security maturing on July 15, 2019, and therefore began accruing income on the Fund’s records. |
| (8) | Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Note 2 – Investment Valuation and Fair Value Measurements for more information. |
| 144A | Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers. |
| ETM | Escrowed to maturity. |
| IF | Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust. |
| WI/DD | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
See accompanying notes to financial statements.
| NXQ | Nuveen Select Tax-Free Income Portfolio 2 |
| Portfolio of Investments | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| LONG-TERM INVESTMENTS – 98.7% | |||||||||
| MUNICIPAL BONDS – 98.6% | |||||||||
| Alaska – 0.4% | |||||||||
| $ | 1,000 | Northern Tobacco Securitization Corporation, Alaska, Tobacco Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/32 | 5/18 at 100.00 | B3 | $ | 1,000,020 | |||
| Arizona – 3.6% | |||||||||
| 2,500 | Arizona Health Facilities Authority, Hospital Revenue Bonds, Catholic Healthcare West, Series 2011B-1&2, 5.250%, 3/01/39 | 3/21 at 100.00 | A | 2,682,350 | |||||
| 1,590 | Arizona Water Infrastructure Finance Authority, Water Quality Revenue Bonds, Series 2008A, 5.000%, 10/01/20 | 10/18 at 100.00 | AAA | 1,617,316 | |||||
| 365 | Maricopa County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Schools Projects, Series 2016, 2.875%, 7/01/21, 144A | No Opt. Call | BB+ | 363,591 | |||||
| 1,000 | Maricopa County Industrial Development Authority, Arizona, Revenue Bonds, Banner Health, Refunding Series 2016A, 5.000%, 1/01/38 | 1/27 at 100.00 | AA– | 1,130,600 | |||||
| 600 | Pima County Industrial Development Authority, Arizona, Revenue Bonds, Tucson Electric Power Company, Series 2010A, 5.250%, 10/01/40 | 10/20 at 100.00 | A– | 644,184 | |||||
| 2,250 | Salt Verde Financial Corporation, Arizona, Senior Gas Revenue Bonds, Citigroup Energy Inc. Prepay Contract Obligations, Series 2007, 5.000%, 12/01/37 | No Opt. Call | BBB+ | 2,673,405 | |||||
| 215 | Sedona Wastewater Municipal Property Corporation, Arizona Excise Tax Revenue Bonds, Series 1998, 0.000%, 7/01/20 – NPFG Insured | No Opt. Call | Baa2 | 205,334 | |||||
| 8,520 | Total Arizona | 9,316,780 | |||||||
| California – 14.7% | |||||||||
| 11,000 | Alhambra Unified School District, Los Angeles County, California, General Obligation Bonds, Capital Appreciation Series 2009B, 0.000%, 8/01/41 – AGC Insured | No Opt. Call | AA | 4,550,260 | |||||
| 1,500 | California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 5.600%, 6/01/36 | 12/18 at 100.00 | B2 | 1,520,130 | |||||
| 60 | California State, General Obligation Bonds, Series 1997, 5.000%, 10/01/18 – AMBAC Insured | 6/18 at 100.00 | AA– | 60,156 | |||||
| 2,440 | Eureka Unified School District, Humboldt County, California, General Obligation Bonds, Series 2002, 0.000%, 8/01/27 – AGM Insured | No Opt. Call | AA | 1,817,946 | |||||
| 3,290 | Folsom Cordova Unified School District, Sacramento County, California, General Obligation Bonds, School Facilities Improvement District 4, Series 2007A, 0.000%, 10/01/24 – NPFG Insured | No Opt. Call | AA– | 2,767,647 | |||||
| 1,000 | Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47 | 5/18 at 100.00 | B– | 1,000,010 | |||||
| 3,030 | Grossmont Union High School District, San Diego County, California, General Obligation Bonds, Series 2006, 0.000%, 8/01/25 – NPFG Insured | No Opt. Call | Aa2 | 2,478,601 | |||||
| 1,495 | Huntington Beach Union High School District, Orange County, California, General Obligation Bonds, Series 2007, 0.000%, 8/01/33 – FGIC Insured | No Opt. Call | Aa2 | 877,027 | |||||
| 1,160 | Mount San Antonio Community College District, Los Angeles County, California, General Obligation Bonds, Election of 2008, Series 2013A, 0.000%, 8/01/43 (4) | 8/35 at 100.00 | Aa1 | 958,624 | |||||
| 450 | M-S-R Energy Authority, California, Gas Revenue Bonds, Citigroup Prepay Contracts, Series 2009C, 6.500%, 11/01/39 | No Opt. Call | A | 633,623 | |||||
| 1,195 | Palmdale School District, Los Angeles County, California, General Obligation Bonds, Series 2003, 0.000%, 8/01/28 – AGM Insured | No Opt. Call | AA | 863,579 | |||||
| 590 | Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.750%, 11/01/39 (Pre-refunded 11/01/19) | 11/19 at 100.00 | N/R (5) | 636,758 | |||||
| 4,620 | Palomar Pomerado Health, California, General Obligation Bonds, Capital Appreciation, Election of 2004, Series 2007A, 0.000%, 8/01/24 – NPFG Insured | No Opt. Call | A | 3,845,734 | |||||
| 4,400 | Pittsburg Redevelopment Agency, California, Tax Allocation Bonds, Los Medanos Community Development Project, Series 1999, 0.000%, 8/01/29 – AMBAC Insured | No Opt. Call | AA– | 2,989,888 |
| NXQ | Nuveen Select Tax-Free Income Portfolio 2 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| California (continued) | |||||||||
| $ | 2,500 | Placentia-Yorba Linda Unified School District, Orange County, California, Certificates of Participation, Series 2006, 0.000%, 10/01/34 – NPFG Insured (ETM) | No Opt. Call | A+ (5) | $ | 1,544,775 | |||
| 2,755 | Sacramento City Unified School District, Sacramento County, California, General Obligation Bonds, Series 2007, 0.000%, 7/01/25 – AGM Insured | No Opt. Call | Aa3 | 2,234,746 | |||||
| 1,395 | San Diego Association of Governments, California, South Bay Expressway Toll Revenue Bonds, First Senior Lien Series 2017A, 5.000%, 7/01/42 | 7/27 at 100.00 | A | 1,587,329 | |||||
| San Joaquin Delta Community College District, California, General Obligation Bonds, Election 2004 Series 2008B: | |||||||||
| 1,000 | 0.000%, 8/01/30 – AGM Insured | 8/18 at 50.12 | AA | 498,290 | |||||
| 1,890 | 0.000%, 8/01/31 – AGM Insured | 8/18 at 47.14 | AA | 885,711 | |||||
| 6,025 | Simi Valley Unified School District, Ventura County, California, General Obligation Bonds, Series 2007C, 0.000%, 8/01/30 | No Opt. Call | AA | 4,005,119 | |||||
| 2,080 | Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1, 5.500%, 6/01/45 | 5/18 at 100.00 | B– | 2,080,021 | |||||
| 53,875 | Total California | 37,835,974 | |||||||
| Colorado – 7.4% | |||||||||
| 500 | Colorado Health Facilities Authority, Colorado, Revenue Bonds, Catholic Health Initiatives, Series 2009A, 5.500%, 7/01/34 | 7/19 at 100.00 | BBB+ | 518,185 | |||||
| 1,975 | Colorado Health Facilities Authority, Colorado, Revenue Bonds, Sisters of Charity of Leavenworth Health Services Corporation, Series 2010A, 5.000%, 1/01/40 | 1/20 at 100.00 | AA– | 2,069,069 | |||||
| 1,580 | Colorado School of Mines Board of Trustees, Golden, Colorado, Institutional Enterprise Revenue Bonds, Series 2017B, 5.000%, 12/01/42 | 12/27 at 100.00 | Aa3 | 1,803,396 | |||||
| 1,935 | Denver City and County, Colorado, Airport System Revenue Bonds, Subordinate Lien Series 2013B, 5.000%, 11/15/43 | 11/23 at 100.00 | A | 2,124,166 | |||||
| E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2000B: | |||||||||
| 5,140 | 0.000%, 9/01/24 – NPFG Insured | No Opt. Call | A– | 4,344,482 | |||||
| 8,100 | 0.000%, 9/01/29 – NPFG Insured | No Opt. Call | A– | 5,500,872 | |||||
| 4,475 | 0.000%, 9/01/33 – NPFG Insured | No Opt. Call | A– | 2,555,001 | |||||
| 23,705 | Total Colorado | 18,915,171 | |||||||
| Connecticut – 1.0% | |||||||||
| 2,490 | Connecticut State, Special Tax Obligation Bonds, Transportation Infrastructure Purposes Series 2013A, 5.000%, 10/01/33 | 10/23 at 100.00 | AA | 2,701,127 | |||||
| Florida – 1.6% | |||||||||
| Broward County, Florida, Airport System Revenue Bonds, Series 2017: | |||||||||
| 1,155 | 5.000%, 10/01/42 (Alternative Minimum Tax) | 10/27 at 100.00 | A+ | 1,293,923 | |||||
| 1,040 | 5.000%, 10/01/47 (Alternative Minimum Tax) | 10/27 at 100.00 | A+ | 1,161,534 | |||||
| 1,500 | Lakeland, Florida, Hospital System Revenue Bonds, Lakeland Regional Health, Series 2015, 5.000%, 11/15/45 | 11/24 at 100.00 | A2 | 1,629,960 | |||||
| 3,695 | Total Florida | 4,085,417 | |||||||
| Guam – 1.9% | |||||||||
| 1,500 | Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/39 | 11/25 at 100.00 | A | 1,558,425 | |||||
| 1,675 | Government of Guam, Hotel Occupancy Tax Revenue Bonds, Series 2011A, 6.000%, 11/01/26 | 5/21 at 100.00 | A– | 1,798,649 | |||||
| 1,460 | Guam Government Waterworks Authority, Water and Wastewater System Revenue Bonds, Series 2016, 5.000%, 1/01/46 | 7/26 at 100.00 | A– | 1,555,250 | |||||
| 4,635 | Total Guam | 4,912,324 | |||||||
| Idaho – 1.7% | |||||||||
| 4,000 | Idaho Health Facilities Authority, Revenue Bonds, Saint Luke’s Health System Project, Series 2014A, 5.000%, 3/01/44 | 3/24 at 100.00 | A– | 4,311,120 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Illinois – 12.7% | |||||||||
| $ | 1,615 | Board of Trustees of Southern Illinois University, Housing and Auxiliary Facilities System Revenue Bonds, Series 1999A, 0.000%, 4/01/23 – NPFG Insured | No Opt. Call | Baa2 | $ | 1,366,064 | |||
| 750 | Chicago Board of Education, Illinois, Dedicated Capital Improvement Tax Revenue Bonds, Series 2016, 6.000%, 4/01/46 | 4/27 at 100.00 | A | 880,020 | |||||
| 735 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues Series 2011A, 5.000%, 12/01/41 | 12/21 at 100.00 | BB– | 713,126 | |||||
| 760 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues, Refunding Series 2017C, 5.000%, 12/01/30 | 12/27 at 100.00 | B | 772,768 | |||||
| 365 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues, Series 2016B, 6.500%, 12/01/46 | 12/26 at 100.00 | B | 415,731 | |||||
| 1,340 | Chicago, Illinois, General Airport Revenue Bonds, O’Hare International Airport, Senior Lien Refunding Series 2016C, 5.000%, 1/01/20 | No Opt. Call | A | 1,413,271 | |||||
| 435 | Chicago, Illinois, General Obligation Bonds, Project & Refunding Series 2006A, 4.625%, 1/01/31 – AGM Insured | 6/18 at 100.00 | AA | 436,383 | |||||
| 1,335 | Chicago, Illinois, General Obligation Bonds, Project & Refunding Series 2007C, 5.000%, 1/01/27 – NPFG Insured | 6/18 at 100.00 | BBB+ | 1,336,789 | |||||
| 2,245 | Illinois Finance Authority, Revenue Bonds, Northwestern Memorial HealthCare, Series 2013, 5.000%, 8/15/43 | 8/22 at 100.00 | AA+ | 2,427,406 | |||||
| 1,750 | Illinois Finance Authority, Revenue Bonds, Silver Cross Hospital and Medical Centers, Refunding Series 2008A, 5.500%, 8/15/30 | 8/18 at 100.00 | BBB+ | 1,766,958 | |||||
| 1,315 | Illinois State, General Obligation Bonds, October Series 2016, 5.000%, 2/01/19 | No Opt. Call | BBB | 1,339,761 | |||||
| 2,190 | Illinois State, General Obligation Bonds, Refunding Series 2012, 5.000%, 8/01/23 | No Opt. Call | BBB | 2,290,828 | |||||
| Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, McCormick Place Expansion Project, Series 2002A: | |||||||||
| 6,350 | 0.000%, 12/15/31 – NPFG Insured | No Opt. Call | Baa2 | 3,400,933 | |||||
| 1,350 | 0.000%, 6/15/35 – NPFG Insured | No Opt. Call | Baa2 | 594,054 | |||||
| 5,000 | 0.000%, 12/15/36 – NPFG Insured | No Opt. Call | Baa2 | 2,037,000 | |||||
| 9,370 | 0.000%, 6/15/39 – NPFG Insured | No Opt. Call | Baa2 | 3,336,844 | |||||
| 5,045 | Sauk Village, Illinois, General Obligation Alternate Revenue Source Bonds, Tax Increment, Series 2002A, 5.000%, 6/01/22 – RAAI Insured | 6/18 at 100.00 | AA | 5,052,467 | |||||
| 1,135 | Sauk Village, Illinois, General Obligation Alternate Revenue Source Bonds, Tax Increment, Series 2002B, 0.000%, 12/01/18 – RAAI Insured | No Opt. Call | AA | 1,118,554 | |||||
| 1,825 | Springfield, Illinois, Electric Revenue Bonds, Senior Lien Series 2015, 5.000%, 3/01/28 | 3/25 at 100.00 | A | 2,047,614 | |||||
| 44,910 | Total Illinois | 32,746,571 | |||||||
| Indiana – 2.2% | |||||||||
| 1,600 | Indiana Bond Bank, Special Program Bonds, Carmel Junior Waterworks Project, Series 2008B, 0.000%, 6/01/30 – AGM Insured | No Opt. Call | AA | 1,042,976 | |||||
| 2,040 | Indiana Finance Authority, Hospital Revenue Bonds, Indiana University Health Obligation Group, Refunding 2015A, 5.000%, 12/01/40 | 6/25 at 100.00 | AA | 2,278,782 | |||||
| Indianapolis Local Public Improvement Bond Bank, Indiana, Waterworks Project Series 2009A: | |||||||||
| 355 | 5.500%, 1/01/38 (Pre-refunded 1/01/19) – AGC Insured | 1/19 at 100.00 | AA (5) | 365,384 | |||||
| 1,470 | 5.500%, 1/01/38 – AGC Insured | 1/19 at 100.00 | AA | 1,510,219 | |||||
| 450 | Whiting Redevelopment District, Indiana, Tax Increment Revenue Bonds, Lakefront Development Project, Series 2010, 6.000%, 1/15/19 | No Opt. Call | N/R | 454,172 | |||||
| 5,915 | Total Indiana | 5,651,533 | |||||||
| Iowa – 2.5% | |||||||||
| 710 | Iowa Finance Authority, Iowa, Midwestern Disaster Area Revenue Bonds, Iowa Fertilizer Company Project, Series 2016, 5.875%, 12/01/26, 144A | 6/18 at 105.00 | B | 747,566 | |||||
| 830 | Iowa Finance Authority, Iowa, Midwestern Disaster Area Revenue Bonds, Iowa Fertilizer Company Project, Series 2018B, 5.250%, 12/01/50 (Mandatory put 12/01/37) | No Opt. Call | B | 870,919 |
| NXQ | Nuveen Select Tax-Free Income Portfolio 2 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Iowa (continued) | |||||||||
| $ | 2,000 | Iowa Higher Education Loan Authority, Private College Facility Revenue Bonds, Upper Iowa University Project, Refunding Series 2010, 5.750%, 9/01/30 (Pre-refunded 9/01/20) | 9/20 at 100.00 | N/R (5) | $ | 2,188,040 | |||
| 1,645 | Iowa Tobacco Settlement Authority, Asset Backed Settlement Revenue Bonds, Series 2005C, 5.375%, 6/01/38 | 6/18 at 100.00 | B+ | 1,648,701 | |||||
| 1,000 | Iowa Tobacco Settlement Authority, Tobacco Asset-Backed Revenue Bonds, Series 2005B, 5.600%, 6/01/34 | 6/18 at 100.00 | BB– | 1,009,310 | |||||
| 6,185 | Total Iowa | 6,464,536 | |||||||
| Kansas – 0.1% | |||||||||
| 230 | Overland Park Development Corporation, Kansas, Second Tier Revenue Bonds, Overland Park Convention Center, Series 2007B, 5.125%, 1/01/22 – AMBAC Insured | 6/18 at 100.00 | BB+ | 230,334 | |||||
| Kentucky – 1.3% | |||||||||
| 2,500 | Kentucky Economic Development Finance Authority, Hospital Revenue Bonds, Baptist Healthcare System Obligated Group, Series 2011, 5.250%, 8/15/46 | 8/21 at 100.00 | A | 2,661,425 | |||||
| 805 | Kentucky Public Transportation Infrastructure Authority, First Tier Toll Revenue Bonds, Downtown Crossing Project, Convertible Capital Appreciation Series 2013C, 0.000%, 7/01/43 (4) | 7/31 at 100.00 | Baa3 | 751,588 | |||||
| 3,305 | Total Kentucky | 3,413,013 | |||||||
| Louisiana – 0.8% | |||||||||
| 1,870 | Jefferson Sales Tax District, Jefferson Parish, Louisiana, Special Sales Tax Revenue Bonds, Series 2017B, 5.000%, 12/01/42 – AGM Insured | 12/27 at 100.00 | AA | 2,146,087 | |||||
| Maryland – 0.4% | |||||||||
| 1,000 | Maryland Health and Higher Educational Facilities Authority, Revenue Bonds, Johns Hopkins Health System Obligated Group Issue, Series 2012B, 5.000%, 7/01/27 | 7/22 at 100.00 | AA– | 1,115,850 | |||||
| Massachusetts – 3.0% | |||||||||
| 2,200 | Massachusetts Bay Transportation Authority, Assessment Bonds, Series 2012A, 5.000%, 7/01/41 | 7/22 at 100.00 | AAA | 2,423,828 | |||||
| 1,675 | Massachusetts Development Finance Agency, Revenue Bonds, Olin College, Series 2013E, 5.000%, 11/01/43 | 11/23 at 100.00 | A+ | 1,849,468 | |||||
| 2,250 | Massachusetts Development Finance Agency, Revenue Bonds, Partners HealthCare System, Series 2014M-4, 5.000%, 7/01/44 | 7/23 at 100.00 | AA– | 2,477,093 | |||||
| 400 | Massachusetts Development Finance Agency, Revenue Bonds, UMass Memorial Health Care Obligated Group Issue, Series 2017L, 3.625%, 7/01/37 | 7/27 at 100.00 | BBB+ | 390,488 | |||||
| 500 | Massachusetts Health and Educational Facilities Authority, Revenue Bonds, CareGroup Inc., Series 2008E-1 &2, 5.000%, 7/01/28 (Pre-refunded 7/01/18) | 7/18 at 100.00 | A– (5) | 504,225 | |||||
| 7,025 | Total Massachusetts | 7,645,102 | |||||||
| Michigan – 0.8% | |||||||||
| 355 | Detroit Water and Sewerage Department, Michigan, Sewage Disposal System Revenue Bonds, Refunding Senior Lien Series 2012A, 5.250%, 7/01/39 | 7/22 at 100.00 | A | 382,626 | |||||
| 1,000 | Detroit, Michigan, Sewer Disposal System Revenue Bonds, Second Lien, Series 2001E, 5.750%, 7/01/31 (Pre-refunded 7/01/18) – BHAC Insured | 7/18 at 100.00 | AA+ (5) | 1,010,020 | |||||
| 385 | Michigan State Building Authority, Revenue Bonds, Facilities Program, Refunding Series 2015-I, 5.000%, 4/15/38 | 10/25 at 100.00 | Aa2 | 433,256 | |||||
| 250 | Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue Bonds, William Beaumont Hospital, Refunding Series 2009V, 8.250%, 9/01/39 (Pre-refunded 9/01/18) | 9/18 at 100.00 | Aaa | 256,820 | |||||
| 1,990 | Total Michigan | 2,082,722 | |||||||
| Mississippi – 0.5% | |||||||||
| 1,170 | Warren County, Mississippi, Gulf Opportunity Zone Revenue Bonds, International Paper Company Project, Series 2008A, 6.500%, 9/01/32 | 9/18 at 100.00 | BBB | 1,194,500 | |||||
| Missouri – 0.1% | |||||||||
| 270 | Bi-State Development Agency of the Missouri-Illinois Metropolitan District, Mass Transit Sales Tax Appropriation Bonds, Refunding Combined Lien Series 2013A, 5.000%, 10/01/28 | 10/18 at 100.00 | AA+ | 274,598 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Nebraska – 0.6% | |||||||||
| $ | 545 | Douglas County Hospital Authority 3, Nebraska, Health Facilities Revenue Bonds, Nebraska Methodist Health System, Refunding Series 2015, 4.125%, 11/01/36 | 11/25 at 100.00 | A– | $ | 560,533 | |||
| 1,000 | Nebraska Public Power District, General Revenue Bonds, Series 2015A-2, 5.000%, 1/01/40 | 1/22 at 100.00 | A+ | 1,080,240 | |||||
| 1,545 | Total Nebraska | 1,640,773 | |||||||
| Nevada – 4.3% | |||||||||
| 990 | Carson City, Nevada, Hospital Revenue Bonds, Carson Tahoe Regional Healthcare Project, Series 2017A, 5.000%, 9/01/37 | 9/27 at 100.00 | BBB+ | 1,093,950 | |||||
| 1,325 | Clark County Water Reclamation District, Nevada, General Obligation Water Bonds, Series 2009A, 5.250%, 7/01/38 (Pre-refunded 7/01/19) | 7/19 at 100.00 | AAA | 1,384,320 | |||||
| 1,250 | Clark County, Nevada, Airport Revenue Bonds, Tender Option Bond Trust Series 2016-XG0028, 15.953%, 7/01/42, 144A (IF) | 1/20 at 100.00 | Aa3 | 1,589,313 | |||||
| 1,000 | Clark County, Nevada, Passenger Facility Charge Revenue Bonds, Las Vegas-McCarran International Airport, Series 2010A, 5.250%, 7/01/42 | 1/20 at 100.00 | Aa3 | 1,056,120 | |||||
| 3,000 | Las Vegas Valley Water District, Nevada, General Obligation Bonds, Refunding Series 2015, 5.000%, 6/01/34 | 12/24 at 100.00 | AA+ | 3,398,430 | |||||
| 2,500 | North Las Vegas, Nevada, General Obligation Bonds, Series 2006, 5.000%, 5/01/36 – NPFG Insured | 6/18 at 100.00 | Baa2 | 2,502,150 | |||||
| 10,065 | Total Nevada | 11,024,283 | |||||||
| New Jersey – 3.5% | |||||||||
| 2,000 | New Jersey Economic Development Authority, School Facilities Construction Bonds, Refunding Series 2016BBB, 5.500%, 6/15/31 | 12/26 at 100.00 | A– | 2,276,760 | |||||
| 2,165 | New Jersey Economic Development Authority, School Facilities Construction Financing Program Bonds, Refunding Series 2011GG, 5.000%, 9/01/22 | 3/21 at 100.00 | A– | 2,291,609 | |||||
| 1,250 | New Jersey Economic Development Authority, School Facility Construction Bonds, Series 2005K, 5.500%, 12/15/19 – AMBAC Insured | No Opt. Call | A– | 1,316,913 | |||||
| 2,000 | New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Series 2015AA, 5.250%, 6/15/29 | 6/25 at 100.00 | A– | 2,206,220 | |||||
| 1,000 | Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2007-1A, 5.000%, 6/01/29 (Pre-refunded 4/26/18) | 4/18 at 100.00 | BBB– (5) | 1,003,240 | |||||
| 8,415 | Total New Jersey | 9,094,742 | |||||||
| New Mexico – 1.1% | |||||||||
| 800 | New Mexico Hospital Equipment Loan Council, First Mortgage Revenue Bonds, Haverland Carter Lifestyle Group, Series 2013, 5.000%, 7/01/42 | 7/22 at 100.00 | BBB | 835,664 | |||||
| 1,000 | New Mexico Mortgage Finance Authority, Multifamily Housing Revenue Bonds, St Anthony, Series 2007A, 5.250%, 9/01/42 (Alternative Minimum Tax) | 6/18 at 100.00 | N/R | 1,000,550 | |||||
| 1,000 | New Mexico Municipal Energy Acquisition Authority, Gas Supply Revenue Bonds, Refunding Sub-Series 2014A, 5.000%, 11/01/39 (Mandatory put 8/01/19) | 8/19 at 100.00 | A1 | 1,039,090 | |||||
| 2,800 | Total New Mexico | 2,875,304 | |||||||
| New York – 1.6% | |||||||||
| 475 | Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Senior Fiscal 2012 Series 2011A., 5.250%, 2/15/47 | 2/21 at 100.00 | AA– | 508,454 | |||||
| 25 | Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Senior Fiscal 2012 Series 2011A., 5.250%, 2/15/47 (Pre-refunded 2/15/21) | 2/21 at 100.00 | Aa3 (5) | 27,399 | |||||
| 1,250 | Metropolitan Transportation Authority, New York, Transportation Revenue Bonds, Refunding Series 2012F, 5.000%, 11/15/26 | 11/22 at 100.00 | AA– | 1,393,513 | |||||
| 1,005 | New York City Transitional Finance Authority, New York, Building Aid Revenue Bonds, Fiscal Series 2009-S1, 5.500%, 7/15/31 | 7/18 at 100.00 | AA | 1,016,467 | |||||
| 1,135 | Port Authority of New York and New Jersey, Special Project Bonds, JFK International Air Terminal LLC Project, Eighth Series 2010, 6.000%, 12/01/42 | 12/20 at 100.00 | Baa1 | 1,248,318 | |||||
| 3,890 | Total New York | 4,194,151 |
| NXQ | Nuveen Select Tax-Free Income Portfolio 2 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Ohio – 2.7% | |||||||||
| Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2: | |||||||||
| $ | 2,475 | 5.875%, 6/01/30 | 5/18 at 100.00 | B– | $ | 2,463,095 | |||
| 875 | 5.750%, 6/01/34 | 5/18 at 100.00 | B– | 859,688 | |||||
| 2,115 | 5.875%, 6/01/47 | 5/18 at 100.00 | B– | 2,091,206 | |||||
| 1,105 | Ohio Turnpike Commission, Turnpike Revenue Bonds, Infrastructure Project, Junior Lien Series 2013A-1, 5.000%, 2/15/48 | 2/23 at 100.00 | Aa3 | 1,197,566 | |||||
| 1,000 | Ohio Water Development Authority, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generating Corporation Project, Series 2005B, 4.000%, 1/01/34 (Mandatory put 7/01/21), (6) | No Opt. Call | D | 316,250 | |||||
| 7,570 | Total Ohio | 6,927,805 | |||||||
| Oklahoma – 0.2% | |||||||||
| 450 | Oklahoma Development Finance Authority, Health System Revenue Bonds, OU Medicine Project, Series 2018B, 5.000%, 8/15/38 (WI/DD, Settling 4/04/18) | 8/28 at 100.00 | Baa3 | 493,457 | |||||
| Oregon – 1.7% | |||||||||
| 915 | Beaverton School District 48J, Washington and Multnomah Counties, Oregon, General Obligation Bonds, Convertible Deferred Interest Series 2017D, 0.000%, 6/15/36 | 6/27 at 100.00 | AA+ | 1,045,735 | |||||
| 60 | Clackamas Community College District, Oregon, General Obligation Bonds, Deferred Interest Series 2017A, 0.000%, 6/15/40 (4) | 6/27 at 100.00 | Aa1 | 61,621 | |||||
| 500 | Lake Oswego, Oregon, General Obligation Bonds, Series 2013, 5.000%, 6/01/26 | 6/23 at 100.00 | AAA | 566,890 | |||||
| Oregon Facilities Authority, Revenue Bonds, Reed College, Series 2017A: | |||||||||
| 1,090 | 4.000%, 7/01/41 | 7/27 at 100.00 | Aa2 | 1,147,661 | |||||
| 1,275 | 5.000%, 7/01/47 | 7/27 at 100.00 | Aa2 | 1,466,148 | |||||
| 3,840 | Total Oregon | 4,288,055 | |||||||
| Pennsylvania – 4.4% | |||||||||
| 1,255 | Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2013, 5.000%, 1/01/37 | 1/24 at 100.00 | A | 1,383,010 | |||||
| 2,250 | Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Carnegie Mellon University, Series 2009, 5.000%, 8/01/21 | 2/19 at 100.00 | AA | 2,312,235 | |||||
| Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Subordinate Special Revenue Bonds, Series 2010B-2: | |||||||||
| 555 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | N/R (5) | 599,877 | |||||
| 300 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | N/R (5) | 324,258 | |||||
| 645 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | A2 (5) | 697,155 | |||||
| 2,970 | Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series 2015A, 5.000%, 7/01/40 | 7/24 at 100.00 | A+ | 3,295,126 | |||||
| 2,500 | State Public School Building Authority, Pennsylvania, School Revenue Bonds, Harrisburg School District, Refunding Series 2009A, 4.750%, 11/15/29 (Pre-refunded 5/15/19) – AGC Insured | 5/19 at 100.00 | AA (5) | 2,584,500 | |||||
| 10,475 | Total Pennsylvania | 11,196,161 | |||||||
| Puerto Rico – 0.4% | |||||||||
| 1,035 | Puerto Rico Housing Finance Authority, Capital Fund Program Revenue Bonds, Series 2003, 5.000%, 12/01/20 | 6/18 at 100.00 | AA– | 1,077,300 | |||||
| South Carolina – 1.4% | |||||||||
| 3,400 | South Carolina Public Service Authority, Revenue Obligation Bonds, Santee Cooper Electric System, Series 2008A, 5.500%, 1/01/38 (Pre-refunded 1/01/19) – BHAC Insured | 1/19 at 100.00 | AA+ (5) | 3,499,450 | |||||
| South Dakota – 0.3% | |||||||||
| 600 | South Dakota Health and Educational Facilities Authority, Revenue Bonds, Sanford Health, Series 2015, 5.000%, 11/01/35 | 11/25 at 100.00 | A+ | 670,434 | |||||
| Tennessee – 0.9% | |||||||||
| 2,020 | Metropolitan Nashville Airport Authority, Tennessee, Airport Revenue Bonds, Improvement Series 2015A, 5.000%, 7/01/45 | 7/25 at 100.00 | A+ | 2,274,217 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Texas – 10.7% | |||||||||
| $ | 250 | Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien Series 2011, 6.000%, 1/01/41 (Pre-refunded 1/01/21) | 1/21 at 100.00 | BBB+ (5) | $ | 277,205 | |||
| 240 | Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien, Series 2015A, 5.000%, 1/01/35 | 7/25 at 100.00 | BBB+ | 266,414 | |||||
| 3,000 | Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Senior Lien Series 2008, 5.250%, 12/01/48 (Pre-refunded 12/01/18) | 12/18 at 100.00 | AA+ (5) | 3,071,460 | |||||
| 5,560 | Grand Parkway Transportation Corporation, Texas, System Toll Revenue Bonds, First Tier Series 2013A, 5.500%, 4/01/53 | 10/23 at 100.00 | BBB+ | 6,280,294 | |||||
| 1,160 | Harris County Cultural Education Facilities Finance Corporation, Texas, Revenue Bonds, Houston Methodist Hospital System, Series 2015, 5.000%, 12/01/45 | 6/25 at 100.00 | AA | 1,288,714 | |||||
| 1,250 | Harris County Flood Control District, Texas, Contract Tax Bonds, Refunding Series 2017A, 4.000%, 10/01/35 | 10/27 at 100.00 | AAA | 1,330,263 | |||||
| Harris County-Houston Sports Authority, Texas, Revenue Bonds, Junior Lien Series 2001H: | |||||||||
| 630 | 0.000%, 11/15/24 – NPFG Insured | No Opt. Call | Baa2 | 496,553 | |||||
| 12,480 | 0.000%, 11/15/41 – NPFG Insured | 11/31 at 53.78 | Baa2 | 3,755,482 | |||||
| 575 | Houston, Texas, Hotel Occupancy Tax and Special Revenue Bonds, Convention and Entertainment Project, Series 2001B, 0.000%, 9/01/24 – AMBAC Insured | No Opt. Call | A2 | 479,291 | |||||
| 2,255 | Love Field Airport Modernization Corporation, Texas, Special Facilities Revenue Bonds, Southwest Airlines Company, Series 2010, 5.250%, 11/01/40 | 11/20 at 100.00 | A3 | 2,418,781 | |||||
| 1,025 | North Texas Tollway Authority, System Revenue Bonds, Refunding First Tier, Series 2015B, 5.000%, 1/01/40 | 1/23 at 100.00 | A1 | 1,116,399 | |||||
| 200 | Tarrant County Cultural Education Facilities Finance Corporation, Texas, Hospital Revenue Bonds, Scott & White Healthcare Project, Series 2016A, 4.000%, 11/15/42 | 5/26 at 100.00 | AA– | 203,746 | |||||
| 5,000 | Texas Municipal Gas Acquisition and Supply Corporation III, Gas Supply Revenue Bonds, Series 2012, 5.000%, 12/15/26 | 12/22 at 100.00 | A3 | 5,518,150 | |||||
| 2,000 | Wylie Independent School District, Collin County, Texas, General Obligation Bonds, School Building Series 2010, 0.000%, 8/15/31 | No Opt. Call | AAA | 1,077,680 | |||||
| 35,625 | Total Texas | 27,580,432 | |||||||
| Virginia – 1.8% | |||||||||
| 1,500 | Metropolitan Washington Airports Authority, Virginia, Dulles Toll Road Second Senior Lien Revenue Bonds, Series 2009C, 6.500%, 10/01/41 – AGC Insured | 10/26 at 100.00 | AA | 1,907,880 | |||||
| Virginia Small Business Financing Authority, Senior Lien Revenue Bonds, Elizabeth River Crossing, Opco LLC Project, Series 2012: | |||||||||
| 1,000 | 5.250%, 1/01/32 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 1,093,170 | |||||
| 410 | 6.000%, 1/01/37 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 459,175 | |||||
| 1,010 | 5.500%, 1/01/42 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 1,104,819 | |||||
| 3,920 | Total Virginia | 4,565,044 | |||||||
| Washington – 3.4% | |||||||||
| 855 | Port of Seattle, Washington, Revenue Bonds, Refunding First Lien Series 2016A, 5.000%, 10/01/19 | No Opt. Call | Aa2 | 896,202 | |||||
| 4,000 | Washington Health Care Facilities Authority, Revenue Bonds, Catholic Health Initiative, Series 2013A, 5.750%, 1/01/45 | 1/23 at 100.00 | BBB+ | 4,406,600 | |||||
| 990 | Washington Health Care Facilities Authority, Revenue Bonds, Fred Hutchinson Cancer Research Center, Series 2011A, 5.625%, 1/01/35 | 1/21 at 100.00 | A | 1,057,389 | |||||
| 2,185 | Washington State Health Care Facilities Authority, Revenue Bonds, PeaceHealth, Refunding Series 2009, 5.000%, 11/01/28 | 11/19 at 100.00 | A+ | 2,272,400 | |||||
| 8,030 | Total Washington | 8,632,591 |
| NXQ | Nuveen Select Tax-Free Income Portfolio 2 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Wisconsin – 2.9% | |||||||||
| $ | 2,000 | Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Gundersen Lutheran, Series 2011A, 5.250%, 10/15/39 | 10/21 at 100.00 | A+ | $ | 2,150,480 | |||
| 2,355 | Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Medical College of Wisconsin, Inc., Series 2016, 5.000%, 12/01/41 | 11/26 at 100.00 | AA– | 2,644,430 | |||||
| 1,645 | Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Mercy Alliance, Inc., Series 2012, 5.000%, 6/01/39 | 6/22 at 100.00 | A3 | 1,742,318 | |||||
| 1,000 | Wisconsin State, General Fund Annual Appropriation Revenue Bonds, Refunding Series 2009A, 6.000%, 5/01/36 (Pre-refunded 5/01/19) | 5/19 at 100.00 | Aa2 (5) | 1,047,030 | |||||
| 7,000 | Total Wisconsin | 7,584,258 | |||||||
| $ | 286,470 | Total Municipal Bonds (cost $234,047,500) | 253,661,236 |
| Principal | |||||||||||
| Amount (000) | Description (1) | Coupon | Maturity | Ratings (3) | Value | ||||||
| CORPORATE BONDS – 0.1% | |||||||||||
| Transportation – 0.1% | |||||||||||
| $ | 318 | Las Vegas Monorail Company, Senior Interest Bonds (7), (8) | 5.500% | 7/15/19 | N/R | $ | 203,756 | ||||
| 87 | Las Vegas Monorail Company, Senior Interest Bonds (7), (8) | 5.500% | 7/15/55 | N/R | 43,490 | ||||||
| $ | 405 | Total Corporate Bonds (cost $27,074) | 247,246 | ||||||||
| Total Long-Term Investments (cost $234,074,574) | 253,908,482 | ||||||||||
| Other Assets Less Liabilities – 1.3% | 3,341,830 | ||||||||||
| Net Assets – 100% | $ | 257,250,312 |
| (1) | All percentages shown in the Portfolio of Investments are based on net assets. |
| (2) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm. |
| (3) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Ratings are not covered by the report of independent registered public accounting firm. |
| (4) | Step-up coupon bond, a bond with a coupon that increases (“steps up”), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period. |
| (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. |
| (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) | During January 2010, Las Vegas Monorail Company (“Las Vegas Monorail”) filed for federal bankruptcy protection. During March 2012, Las Vegas Monorail emerged from federal bankruptcy with the acceptance of a reorganization plan assigned by the Federal Bankruptcy Court. Under the reorganization plan, the Fund surrendered its Las Vegas Monorail Project Revenue Bonds, First Tier, Series 2000 and in turn received two senior interest corporate bonds: the first with an annual coupon rate of 5.500% maturing on July 15, 2019 and the second with an annual coupon rate of 3.000% (5.500% after December 31, 2015) maturing on July 15, 2055. The Fund was not accruing income for either senior interest corporate bond. On January 18, 2017, the Fund’s Adviser determined it was likely that this senior interest corporate bond would fulfill its obligation on the security maturing on July 15, 2019, and therefore began accruing income on the Fund’s records. |
| (8) | Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Note 2 – Investment Valuation and Fair Value Measurements for more information. |
| 144A | Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers. |
| ETM | Escrowed to maturity. |
| IF | Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust. |
| WI/DD | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
See accompanying notes to financial statements.
| NXR | Nuveen Select Tax-Free Income Portfolio 3 |
| Portfolio of Investments | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| LONG-TERM INVESTMENTS – 99.1% | |||||||||
| MUNICIPAL BONDS – 99.1% | |||||||||
| Alaska – 1.3% | |||||||||
| $ | 2,675 | Northern Tobacco Securitization Corporation, Alaska, Tobacco Settlement Asset-Backed Bonds, Series 2006A, 5.000%, 6/01/32 | 5/18 at 100.00 | B3 | $ | 2,675,054 | |||
| Arizona – 1.0% | |||||||||
| 1,770 | Arizona Water Infrastructure Finance Authority, Water Quality Revenue Bonds, Series 2008A, 5.000%, 10/01/20 | 10/18 at 100.00 | AAA | 1,800,409 | |||||
| 280 | Maricopa County Industrial Development Authority, Arizona, Education Revenue Bonds, Paradise Schools Projects, Series 2016, 2.875%, 7/01/21, 144A | No Opt. Call | BB+ | 278,919 | |||||
| 2,050 | Total Arizona | 2,079,328 | |||||||
| California – 22.4% | |||||||||
| 12,500 | Anaheim Public Financing Authority, California, Lease Revenue Bonds, Public Improvement Project, Series 1997C, 0.000%, 9/01/35 – AGM Insured | No Opt. Call | AA | 6,304,624 | |||||
| 1,000 | California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Los Angeles County Securitization Corporation, Series 2006A, 5.600%, 6/01/36 | 12/18 at 100.00 | B2 | 1,013,420 | |||||
| 1,125 | California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005, 5.000%, 6/01/26 | 6/18 at 100.00 | BBB+ | 1,125,788 | |||||
| 890 | 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 (4) | 949,221 | |||||
| 215 | California Statewide Financing Authority, Tobacco Settlement Asset-Backed Bonds, Pooled Tobacco Securitization Program, Series 2002A, 5.625%, 5/01/29 | 6/18 at 100.00 | Baa2 | 215,204 | |||||
| 2,275 | Folsom Cordova Unified School District, Sacramento County, California, General Obligation Bonds, School Facilities Improvement District 4, Series 2007A, 0.000%, 10/01/28 – NPFG Insured | No Opt. Call | AA– | 1,633,746 | |||||
| 3,370 | Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A, 0.000%, 6/01/28 – AMBAC Insured | No Opt. Call | A+ | 2,480,185 | |||||
| 1,750 | Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.000%, 6/01/33 | 5/18 at 100.00 | B+ | 1,751,750 | |||||
| 4,055 | Kern Community College District, California, General Obligation Bonds, Series 2003A, 0.000%, 3/01/28 – FGIC Insured | No Opt. Call | Aa2 | 2,980,628 | |||||
| 1,160 | Mount San Antonio Community College District, Los Angeles County, California, General Obligation Bonds, Election of 2008, Series 2013A, 0.000%, 8/01/43 (5) | 8/35 at 100.00 | Aa1 | 958,624 | |||||
| 11,985 | Norwalk La Mirada Unified School District, Los Angeles County, California, General Obligation Bonds, Election of 2002, Series 2007C, 0.000%, 8/01/32 – AGM Insured | No Opt. Call | AA | 7,269,620 | |||||
| 3,000 | Palomar Pomerado Health, California, General Obligation Bonds, Capital Appreciation, Election of 2004, Series 2007A, 0.000%, 8/01/25 – NPFG Insured | No Opt. Call | A | 2,403,210 | |||||
| 8,040 | Placentia-Yorba Linda Unified School District, Orange County, California, Certificates of Participation, Series 2006, 0.000%, 10/01/34 – NPFG Insured (ETM) | No Opt. Call | A+ (4) | 4,967,995 | |||||
| 1,500 | Placer Union High School District, Placer County, California, General Obligation Bonds, Series 2004C, 0.000%, 8/01/32 – AGM Insured | No Opt. Call | AA | 917,565 | |||||
| 8,000 | Poway Unified School District, San Diego County, California, General Obligation Bonds, School Facilities Improvement District 2007-1, Election 2008 Series 2009A, 0.000%, 8/01/32 | No Opt. Call | AA– | 4,879,920 | |||||
| 3,940 | Rancho Mirage Redevelopment Agency, California, Tax Allocation Bonds, Combined Whitewater and 1984 Project Areas, Series 2003A, 0.000%, 4/01/35 – NPFG Insured | No Opt. Call | A+ | 2,043,717 | |||||
| 1,030 | Riverside Public Financing Authority, California, Tax Allocation Bonds, University Corridor/Sycamore Canyon Merged Redevelopment Project, Arlington Redevelopment Project, Hunter Park/Northside Redevelopment Project, Magnolia Center Redevelopment Project, 5.000%, 8/01/37 – NPFG Insured | 6/18 at 100.00 | A– | 1,032,009 | |||||
| 765 | San Diego Association of Governments, California, South Bay Expressway Toll Revenue Bonds, First Senior Lien Series 2017A, 5.000%, 7/01/42 | 7/27 at 100.00 | A | 870,471 |
| NXR | Nuveen Select Tax-Free Income Portfolio 3 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| California (continued) | |||||||||
| $ | 1,080 | San Diego County Water Authority, California, Water Revenue Certificates of Participation, Series 2008A, 5.000%, 5/01/38 (Pre-refunded 5/01/18) – AGM Insured | 5/18 at 100.00 | AAA | $ | 1,083,046 | |||
| 67,680 | Total California | 44,880,743 | |||||||
| Colorado – 6.2% | |||||||||
| 1,540 | Arkansas River Power Authority, Colorado, Power Revenue Bonds, Series 2006, 5.250%, 10/01/40 – SYNCORA GTY Insured | 6/18 at 100.00 | BBB– | 1,540,123 | |||||
| 500 | Centerra Metropolitan District 1, Loveland, Colorado, Special Revenue Bonds, Refunding & Improvement Series 2017, 5.000%, 12/01/22, 144A | No Opt. Call | N/R | 547,280 | |||||
| 2,000 | Colorado Health Facilities Authority, Colorado, Revenue Bonds, Sisters of Charity of Leavenworth Health Services Corporation, Series 2010A, 5.000%, 1/01/40 | 1/20 at 100.00 | AA– | 2,095,260 | |||||
| 790 | Colorado School of Mines Board of Trustees, Golden, Colorado, Institutional Enterprise Revenue Bonds, Series 2017B, 5.000%, 12/01/42 | 12/27 at 100.00 | Aa3 | 901,698 | |||||
| 1,935 | Denver City and County, Colorado, Airport System Revenue Bonds, Subordinate Lien Series 2013B, 5.000%, 11/15/43 | 11/23 at 100.00 | A | 2,124,166 | |||||
| 1,295 | E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series 2000B, 0.000%, 9/01/32 – NPFG Insured | No Opt. Call | A– | 773,296 | |||||
| 5,520 | E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, Series 2004B, 0.000%, 9/01/28 – NPFG Insured | 9/20 at 63.98 | A– | 3,322,654 | |||||
| 1,000 | Park Creek Metropolitan District, Colorado, Senior Limited Property Tax Supported Revenue Bonds, Refunding Series 2015A, 5.000%, 12/01/33 | 12/25 at 100.00 | N/R | 1,126,460 | |||||
| 14,580 | Total Colorado | 12,430,937 | |||||||
| Connecticut – 1.7% | |||||||||
| 1,500 | Connecticut State, General Obligation Bonds, Refunding Series 2010C, 5.000%, 12/01/20 | 12/19 at 100.00 | A+ | 1,576,155 | |||||
| 1,640 | Connecticut State, Special Tax Obligation Bonds, Transportation Infrastructure Purposes Series 2013A, 5.000%, 10/01/33 | 10/23 at 100.00 | AA | 1,779,056 | |||||
| 3,140 | Total Connecticut | 3,355,211 | |||||||
| Florida – 0.2% | |||||||||
| 390 | Broward County, Florida, Airport System Revenue Bonds, Series 2017, 5.000%, 10/01/42 (Alternative Minimum Tax) | 10/27 at 100.00 | A+ | 436,909 | |||||
| Guam – 1.7% | |||||||||
| 1,250 | Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/39 | 11/25 at 100.00 | A | 1,298,688 | |||||
| 2,000 | Government of Guam, Hotel Occupancy Tax Revenue Bonds, Series 2011A, 6.125%, 11/01/31 | 5/21 at 100.00 | A– | 2,185,460 | |||||
| 3,250 | Total Guam | 3,484,148 | |||||||
| Idaho – 1.6% | |||||||||
| 3,000 | Idaho Health Facilities Authority, Revenue Bonds, Saint Luke’s Health System Project, Series 2014A, 5.000%, 3/01/44 | 3/24 at 100.00 | A– | 3,233,340 | |||||
| Illinois – 11.2% | |||||||||
| 575 | Chicago Board of Education, Illinois, Dedicated Capital Improvement Tax Revenue Bonds, Series 2016, 6.000%, 4/01/46 | 4/27 at 100.00 | A | 674,682 | |||||
| 295 | Chicago Board of Education, Illinois, General Obligation Bonds, Dedicated Revenues, Refunding Series 2017C, 5.000%, 12/01/30 | 12/27 at 100.00 | B | 299,956 | |||||
| 3,900 | Chicago Board of Education, Illinois, General Obligation Bonds, Series 1999A, 0.000%, 12/01/28 – FGIC Insured | No Opt. Call | Baa2 | 2,426,736 | |||||
| 535 | Chicago, Illinois, General Airport Revenue Bonds, O’Hare International Airport, Senior Lien Refunding Series 2016C, 5.000%, 1/01/20 | No Opt. Call | A | 564,254 | |||||
| 870 | Chicago, Illinois, General Obligation Bonds, Project & Refunding Series 2006A, 4.625%, 1/01/31 – AGM Insured | 6/18 at 100.00 | AA | 872,767 | |||||
| 260 | Illinois Finance Authority, Revenue Bonds, Rehabilitation Institute of Chicago, Series 2013A, 6.000%, 7/01/43 | 7/23 at 100.00 | A– | 290,090 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Illinois (continued) | |||||||||
| Illinois Finance Authority, Revenue Bonds, Resurrection Health Care System, Series 1999B: | |||||||||
| $ | 105 | 5.000%, 5/15/24 (Pre-refunded 5/15/18) – AGM Insured | 5/18 at 100.00 | AA (4) | $ | 105,432 | |||
| 1,495 | 5.000%, 5/15/24 (Pre-refunded 5/15/18) – AGM Insured | 5/18 at 100.00 | AA (4) | 1,501,144 | |||||
| 1,500 | Illinois Finance Authority, Revenue Bonds, Silver Cross Hospital and Medical Centers, Refunding Series 2008A, 5.500%, 8/15/30 | 8/18 at 100.00 | BBB+ | 1,514,535 | |||||
| 1,235 | Illinois Health Facilities Authority, Revenue Bonds, Evangelical Hospitals Corporation, Series 1992C, 6.250%, 4/15/22 (ETM) | No Opt. Call | N/R (4) | 1,336,431 | |||||
| 1,015 | Illinois State, General Obligation Bonds, October Series 2016, 5.000%, 2/01/19 | No Opt. Call | BBB | 1,034,112 | |||||
| 2,190 | Illinois State, General Obligation Bonds, Refunding Series 2012, 5.000%, 8/01/23 | No Opt. Call | BBB | 2,290,828 | |||||
| 1,000 | Kankakee & Will Counties Community Unit School District 5, Illinois, General Obligation Bonds, Series 2006, 0.000%, 5/01/23 – AGM Insured | No Opt. Call | Aa3 | 859,240 | |||||
| Metropolitan Pier and Exposition Authority, Illinois, Revenue Bonds, McCormick Place Expansion Project, Series 2002A: | |||||||||
| 2,500 | 0.000%, 12/15/30 – NPFG Insured | No Opt. Call | Baa2 | 1,413,625 | |||||
| 4,775 | 0.000%, 12/15/31 – NPFG Insured | No Opt. Call | Baa2 | 2,557,395 | |||||
| 5,000 | 0.000%, 12/15/36 – NPFG Insured | No Opt. Call | Baa2 | 2,037,000 | |||||
| 2,000 | 0.000%, 6/15/37 – NPFG Insured | No Opt. Call | Baa2 | 791,020 | |||||
| 1,400 | Springfield, Illinois, Electric Revenue Bonds, Senior Lien Series 2015, 5.000%, 3/01/28 | 3/25 at 100.00 | A | 1,570,772 | |||||
| 310 | University of Illinois, Health Services Facilities System Revenue Bonds, Series 2013, 6.000%, 10/01/42 | 10/23 at 100.00 | A– | 349,754 | |||||
| 30,960 | Total Illinois | 22,489,773 | |||||||
| Indiana – 1.6% | |||||||||
| 2,295 | Boone County Hospital Association, Indiana, Lease Revenue Bonds, Series 2010, 5.250%, 7/15/25 (Pre-refunded 1/15/20) | 1/20 at 100.00 | AA+ (4) | 2,439,539 | |||||
| 1,000 | Zionsville Community Schools Building Corporation, Indiana, First Mortgage Bonds, Series 2005Z, 0.000%, 7/15/28 – AGM Insured | No Opt. Call | AA | 736,230 | |||||
| 3,295 | Total Indiana | 3,175,769 | |||||||
| Iowa – 1.1% | |||||||||
| 570 | Iowa Finance Authority, Iowa, Midwestern Disaster Area Revenue Bonds, Iowa Fertilizer Company Project, Series 2016, 5.875%, 12/01/26, 144A | 6/18 at 105.00 | B | 600,159 | |||||
| 660 | Iowa Finance Authority, Iowa, Midwestern Disaster Area Revenue Bonds, Iowa Fertilizer Company Project, Series 2018B, 5.250%, 12/01/50 (Mandatory put 12/01/37) | No Opt. Call | B | 692,538 | |||||
| 950 | Iowa Tobacco Settlement Authority, Tobacco Asset-Backed Revenue Bonds, Series 2005B, 5.600%, 6/01/34 | 6/18 at 100.00 | BB– | 958,845 | |||||
| 2,180 | Total Iowa | 2,251,542 | |||||||
| Massachusetts – 2.1% | |||||||||
| 1,300 | Massachusetts Development Finance Agency, Revenue Bonds, Olin College, Series 2013E, 5.000%, 11/01/43 | 11/23 at 100.00 | A+ | 1,435,408 | |||||
| 2,250 | Massachusetts Development Finance Agency, Revenue Bonds, Partners HealthCare System, Series 2014M-4, 5.000%, 7/01/44 | 7/23 at 100.00 | AA– | 2,477,093 | |||||
| 400 | Massachusetts Development Finance Agency, Revenue Bonds, UMass Memorial Health Care Obligated Group Issue, Series 2017L, 3.625%, 7/01/37 | 7/27 at 100.00 | BBB+ | 390,488 | |||||
| 3,950 | Total Massachusetts | 4,302,989 | |||||||
| Michigan – 1.0% | |||||||||
| 355 | Detroit Water and Sewerage Department, Michigan, Sewage Disposal System Revenue Bonds, Refunding Senior Lien Series 2012A, 5.250%, 7/01/39 | 7/22 at 100.00 | A | 382,626 | |||||
| 1,295 | Portage Public Schools, Kalamazoo County, Michigan, General Obligation Bonds, School Building & Site Series 2008, 5.000%, 5/01/21 (Pre-refunded 5/01/18) – AGM Insured | 5/18 at 100.00 | AA (4) | 1,298,548 | |||||
| 250 | Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue Bonds, William Beaumont Hospital, Refunding Series 2009V, 8.250%, 9/01/39 (Pre-refunded 9/01/18) | 9/18 at 100.00 | Aaa | 256,820 | |||||
| 1,900 | Total Michigan | 1,937,994 |
| NXR | Nuveen Select Tax-Free Income Portfolio 3 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Mississippi – 0.9% | |||||||||
| $ | 1,830 | Warren County, Mississippi, Gulf Opportunity Zone Revenue Bonds, International Paper Company Project, Series 2008A, 6.500%, 9/01/32 | 9/18 at 100.00 | BBB | $ | 1,868,320 | |||
| Missouri – 0.1% | |||||||||
| 270 | Bi-State Development Agency of the Missouri-Illinois Metropolitan District, Mass Transit Sales Tax Appropriation Bonds, Refunding Combined Lien Series 2013A, 5.000%, 10/01/28 | 10/18 at 100.00 | AA+ | 274,598 | |||||
| Montana – 0.8% | |||||||||
| 1,440 | Montana Facilities Finance Authority, Revenue Bonds, Sisters of Charity of Leavenworth Health Services Corporation, Composite Deal Series 2010A, 4.750%, 1/01/40 | 1/20 at 100.00 | AA– | 1,490,659 | |||||
| Nebraska – 1.7% | |||||||||
| 2,600 | Nebraska Public Power District, General Revenue Bonds, Series 2015A-2, 5.000%, 1/01/40 | 1/22 at 100.00 | A+ | 2,808,624 | |||||
| 500 | Platte County School District 001, Columbus Public Schools, Nebraska, General Obligation Bonds, School Building Series 2014, 5.000%, 12/15/39 | 6/24 at 100.00 | Aa2 | 561,280 | |||||
| 3,100 | Total Nebraska | 3,369,904 | |||||||
| Nevada – 2.0% | |||||||||
| 445 | Carson City, Nevada, Hospital Revenue Bonds, Carson Tahoe Regional Healthcare Project, Series 2017A, 5.000%, 9/01/37 | 9/27 at 100.00 | BBB+ | 491,725 | |||||
| 1,000 | Clark County, Nevada, Passenger Facility Charge Revenue Bonds, Las Vegas-McCarran International Airport, Series 2010A, 5.250%, 7/01/42 | 1/20 at 100.00 | Aa3 | 1,056,120 | |||||
| 2,500 | North Las Vegas, Nevada, General Obligation Bonds, Series 2006, 5.000%, 5/01/36 – NPFG Insured | 6/18 at 100.00 | Baa2 | 2,502,150 | |||||
| 3,945 | Total Nevada | 4,049,995 | |||||||
| New Jersey – 2.7% | |||||||||
| 1,850 | New Jersey Economic Development Authority, Sublease Revenue Bonds, New Jersey Transit Corporation Projects, Refunding Series 2017B, 5.000%, 11/01/23 | No Opt. Call | A– | 2,019,812 | |||||
| 305 | New Jersey Health Care Facilities Financing Authority, Revenue Bonds, University Hospital Issue, Refunding Series 2015A, 5.000%, 7/01/28 – AGM Insured | 7/25 at 100.00 | AA | 348,063 | |||||
| 4,900 | New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Refunding Series 2006C, 0.000%, 12/15/28 – AMBAC Insured | No Opt. Call | A– | 3,098,368 | |||||
| 7,055 | Total New Jersey | 5,466,243 | |||||||
| New Mexico – 0.5% | |||||||||
| 1,000 | New Mexico Mortgage Finance Authority, Multifamily Housing Revenue Bonds, St Anthony, Series 2007A, 5.250%, 9/01/42 (Alternative Minimum Tax) | 6/18 at 100.00 | N/R | 1,000,550 | |||||
| New York – 1.8% | |||||||||
| 1,250 | Metropolitan Transportation Authority, New York, Transportation Revenue Bonds, Refunding Series 2012F, 5.000%, 11/15/26 | 11/22 at 100.00 | AA– | 1,393,513 | |||||
| 850 | New York City Municipal Water Finance Authority, New York, Water and Sewer System Revenue Bonds, Fiscal 2009 Series 2008A, 5.750%, 6/15/40 (Pre-refunded 6/15/18) | 6/18 at 100.00 | N/R (4) | 857,268 | |||||
| 1,020 | New York City Municipal Water Finance Authority, New York, Water and Sewer System Revenue Bonds, Fiscal 2009 Series 2008A, 5.750%, 6/15/40 | 6/18 at 100.00 | AAA | 1,028,170 | |||||
| 265 | Port Authority of New York and New Jersey, Special Project Bonds, JFK International Air Terminal LLC Project, Eighth Series 2010, 6.000%, 12/01/42 | 12/20 at 100.00 | Baa1 | 291,458 | |||||
| 3,385 | Total New York | 3,570,409 | |||||||
| North Carolina – 0.3% | |||||||||
| 500 | New Hanover County, North Carolina, General Obligation Bonds, School Series 2009, 4.000%, 6/01/21 (Pre-refunded 6/01/19) | 6/19 at 100.00 | AAA | 513,510 | |||||
| Ohio – 5.5% | |||||||||
| 2,250 | American Municipal Power Ohio Inc., Prairie State Energy Campus Project Revenue Bonds, Series 2009A, 5.750%, 2/15/39 (Pre-refunded 2/15/19) – AGC Insured | 2/19 at 100.00 | AA (4) | 2,331,180 | |||||
| 1,465 | Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2, 6.000%, 6/01/42 |
5/18 at 100.00 |
B– |
1,455,858
|
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Ohio (continued) | |||||||||
| $ | 3,720 | Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-3, 6.250%, 6/01/37 | 6/22 at 100.00 | B– | $ | 3,738,488 | |||
| 1,500 | Montgomery County, Ohio, Revenue Bonds, Miami Valley Hospital, Series 2011A, 5.750%, 11/15/21 | 11/20 at 100.00 | A+ | 1,639,050 | |||||
| 1,475 | Ohio Turnpike Commission, Turnpike Revenue Bonds, Infrastructure Project, Junior Lien Series 2013A-1, 5.000%, 2/15/48 | 2/23 at 100.00 | Aa3 | 1,598,561 | |||||
| 1,000 | Ohio Water Development Authority, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generating Corporation Project, Series 2005B, 4.000%, 1/01/34 (Mandatory put 7/01/21), (6) | No Opt. Call | D | 316,250 | |||||
| 11,410 | Total Ohio | 11,079,387 | |||||||
| Oklahoma – 0.2% | |||||||||
| 345 | Oklahoma Development Finance Authority, Health System Revenue Bonds, OU Medicine Project, Series 2018B, 5.000%, 8/15/38 (WI/DD, Settling 4/04/18) | 8/28 at 100.00 | Baa3 | 378,317 | |||||
| Oregon – 1.7% | |||||||||
| Oregon Facilities Authority, Revenue Bonds, Reed College, Series 2017A: | |||||||||
| 545 | 4.000%, 7/01/41 | 7/27 at 100.00 | Aa2 | 573,831 | |||||
| 635 | 5.000%, 7/01/47 | 7/27 at 100.00 | Aa2 | 730,199 | |||||
| 1,000 | Oregon Facilities Authority, Revenue Bonds, Willamette University, Refunding Series 2016B, 5.000%, 10/01/40 | 10/26 at 100.00 | A | 1,138,540 | |||||
| 750 | Washington and Clackamas Counties School District 23J Tigard-Tualatin, Oregon, General Obligation Bonds, Series 2017, 5.000%, 6/15/30 | 6/27 at 100.00 | AA+ | 891,008 | |||||
| 2,930 | Total Oregon | 3,333,578 | |||||||
| Pennsylvania – 6.8% | |||||||||
| 1,015 | Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2013, 5.000%, 1/01/37 | 1/24 at 100.00 | A | 1,118,530 | |||||
| 1,685 | Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Carnegie Mellon University, Series 2009, 5.000%, 8/01/21 | 2/19 at 100.00 | AA | 1,731,607 | |||||
| Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Subordinate Special Revenue Bonds, Series 2010B-2: | |||||||||
| 370 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | N/R (4) | 399,918 | |||||
| 200 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | N/R (4) | 216,172 | |||||
| 430 | 5.000%, 12/01/30 (Pre-refunded 12/01/20) | 12/20 at 100.00 | A2 (4) | 464,770 | |||||
| 2,075 | Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Refunding Series 2009B, 5.000%, 12/01/22 | 12/19 at 100.00 | A1 | 2,183,128 | |||||
| 4,455 | Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series 2015A, 5.000%, 7/01/40 | 7/24 at 100.00 | A+ | 4,942,688 | |||||
| 2,500 | State Public School Building Authority, Pennsylvania, School Revenue Bonds, Harrisburg School District, Refunding Series 2009A, 4.750%, 11/15/29 (Pre-refunded 5/15/19) – AGC Insured | 5/19 at 100.00 | AA (4) | 2,584,500 | |||||
| 12,730 | Total Pennsylvania | 13,641,313 | |||||||
| Puerto Rico – 0.5% | |||||||||
| 945 | Puerto Rico Highway and Transportation Authority, Highway Revenue Bonds, Series 2007N, 5.250%, 7/01/31 – AMBAC Insured | No Opt. Call | C | 939,292 | |||||
| South Carolina – 1.5% | |||||||||
| 3,000 | South Carolina Public Service Authority, Revenue Obligation Bonds, Santee Cooper Electric System, Series 2008A, 5.500%, 1/01/38 (Pre-refunded 1/01/19) – BHAC Insured | 1/19 at 100.00 | AA+ (4) | 3,087,750 | |||||
| South Dakota – 0.2% | |||||||||
| 400 | South Dakota Health and Educational Facilities Authority, Revenue Bonds, Sanford Health, Series 2015, 5.000%, 11/01/35 | 11/25 at 100.00 | A+ | 446,956 | |||||
| Tennessee – 0.4% | |||||||||
| 795 | Chattanooga Health, Educational and Housing Facility Board, Tennessee, Revenue Bonds, Catholic Health Initiatives, Series 2013A, 5.250%, 1/01/45 | 1/23 at 100.00 | BBB+ | 852,057 |
| NXR | Nuveen Select Tax-Free Income Portfolio 3 |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Texas – 10.8% | |||||||||
| $ | 250 | Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien Series 2011, 6.000%, 1/01/41 (Pre-refunded 1/01/21) | 1/21 at 100.00 | BBB+ (4) | $ | 277,205 | |||
| 85 | Central Texas Regional Mobility Authority, Revenue Bonds, Senior Lien, Series 2015A, 5.000%, 1/01/34 | 7/25 at 100.00 | BBB+ | 94,586 | |||||
| 3,000 | Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Senior Lien Series 2008, 5.000%, 12/01/23 (Pre-refunded 12/01/18) | 12/18 at 100.00 | AA+ (4) | 3,068,550 | |||||
| 4,640 | Grand Parkway Transportation Corporation, Texas, System Toll Revenue Bonds, First Tier Series 2013A, 5.500%, 4/01/53 | 10/23 at 100.00 | BBB+ | 5,241,111 | |||||
| Harris County-Houston Sports Authority, Texas, Revenue Bonds, Junior Lien Series 2001H: | |||||||||
| 1,405 | 0.000%, 11/15/32 – NPFG Insured | 11/31 at 94.05 | Baa2 | 767,509 | |||||
| 2,510 | 0.000%, 11/15/36 – NPFG Insured | 11/31 at 73.51 | Baa2 | 1,050,485 | |||||
| 2,235 | Harris County-Houston Sports Authority, Texas, Revenue Bonds, Third Lien Series 2004A-3, 0.000%, 11/15/32 – NPFG Insured | 11/24 at 62.70 | Baa2 | 1,090,345 | |||||
| Harris County-Houston Sports Authority, Texas, Special Revenue Bonds, Refunding Senior Lien Series 2001A: | |||||||||
| 3,045 | 0.000%, 11/15/34 – NPFG Insured | 11/30 at 78.27 | AA | 1,528,864 | |||||
| 4,095 | 0.000%, 11/15/38 – NPFG Insured | 11/30 at 61.17 | AA | 1,567,443 | |||||
| 2,255 | Love Field Airport Modernization Corporation, Texas, Special Facilities Revenue Bonds, Southwest Airlines Company, Series 2010, 5.250%, 11/01/40 | 11/20 at 100.00 | A3 | 2,418,781 | |||||
| 290 | North Texas Tollway Authority, System Revenue Bonds, Refunding First Tier Capital Appreciation Series 2008I, 6.200%, 1/01/42 – AGC Insured | 1/25 at 100.00 | AA | 348,423 | |||||
| 2,000 | Texas Municipal Gas Acquisition and Supply Corporation III, Gas Supply Revenue Bonds, Series 2012, 5.000%, 12/15/32 | 12/22 at 100.00 | A3 | 2,184,140 | |||||
| 2,410 | Texas Turnpike Authority, Central Texas Turnpike System Revenue Bonds, First Tier Series 2002A, 0.000%, 8/15/25 – AMBAC Insured | No Opt. Call | A– | 1,957,932 | |||||
| 28,220 | Total Texas | 21,595,374 | |||||||
| Virginia – 2.6% | |||||||||
| 3,500 | Chesapeake, Virginia, Transportation System Senior Toll Road Revenue Bonds, Capital Appreciation Series 2012B, 0.000%, 7/15/32 (5) | 7/28 at 100.00 | BBB | 3,100,370 | |||||
| Virginia Small Business Financing Authority, Senior Lien Revenue Bonds, Elizabeth River Crossing, Opco LLC Project, Series 2012: | |||||||||
| 410 | 6.000%, 1/01/37 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 459,175 | |||||
| 1,510 | 5.500%, 1/01/42 (Alternative Minimum Tax) | 7/22 at 100.00 | BBB | 1,651,759 | |||||
| 5,420 | Total Virginia | 5,211,304 | |||||||
| Washington – 4.1% | |||||||||
| 1,020 | Port of Seattle, Washington, Revenue Bonds, Refunding First Lien Series 2016A, 5.000%, 10/01/18 | No Opt. Call | Aa2 | 1,037,677 | |||||
| 990 | Washington Health Care Facilities Authority, Revenue Bonds, Fred Hutchinson Cancer Research Center, Series 2011A, 5.625%, 1/01/35 | 1/21 at 100.00 | A | 1,057,389 | |||||
| 4,000 | Washington Health Care Facilities Authority, Revenue Bonds, Providence Health & Services, Refunding Series 2012A, 5.000%, 10/01/32 | 10/22 at 100.00 | AA– | 4,419,040 | |||||
| 1,700 | Washington State Health Care Facilities Authority, Revenue Bonds, PeaceHealth, Refunding Series 2009, 5.000%, 11/01/28 | 11/19 at 100.00 | A+ | 1,768,000 | |||||
| 7,710 | Total Washington | 8,282,106 | |||||||
| Wisconsin – 0.9% | |||||||||
| 1,250 | Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Marshfield Clinic, Series 2012B, 5.000%, 2/15/32 | 2/22 at 100.00 | A– | 1,343,425 | |||||
| 415 | Wisconsin, General Obligation Refunding Bonds, Series 2003-3, 5.000%, 11/01/26 | 6/18 at 100.00 | AA+ | 416,162 | |||||
| 1,665 | Total Wisconsin | 1,759,587 | |||||||
| $ | 237,145 | Total Municipal Bonds (cost $177,007,232) | 198,944,946 |
| Principal | |||||||||||
| Amount (000) | Description (1) | Coupon | Maturity | Ratings (3) | Value | ||||||
| CORPORATE BONDS – 0.0% | |||||||||||
| Transportation – 0.0% | |||||||||||
| $ | 90 | Las Vegas Monorail Company, Senior Interest Bonds (7), (8) | 5.500% | 7/15/19 | N/R | $ | 57,415 | ||||
| 25 | Las Vegas Monorail Company, Senior Interest Bonds (7), (8) | 5.500% | 7/15/55 | N/R | 12,255 | ||||||
| $ | 115 | Total Corporate Bonds (cost $7,627) | 69,670 | ||||||||
| Total Long-Term Investments (cost $177,014,859) | 199,014,616 | ||||||||||
| Other Assets Less Liabilities – 0.9% | 1,749,969 | ||||||||||
| Net Assets – 100% | $ | 200,764,585 |
| (1) | All percentages shown in the Portfolio of Investments are based on net assets. |
| (2) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm. |
| (3) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Ratings are not covered by the report of independent registered public accounting firm. |
| (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. |
| (5) | Step-up coupon bond, a bond with a coupon that increases (“steps up”), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period. |
| (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) | During January 2010, Las Vegas Monorail Company (“Las Vegas Monorail”) filed for federal bankruptcy protection. During March 2012, Las Vegas Monorail emerged from federal bankruptcy with the acceptance of a reorganization plan assigned by the Federal Bankruptcy Court. Under the reorganization plan, the Fund surrendered its Las Vegas Monorail Project Revenue Bonds, First Tier, Series 2000 and in turn received two senior interest corporate bonds: the first with an annual coupon rate of 5.500% maturing on July 15, 2019 and the second with an annual coupon rate of 3.000% (5.500% after December 31, 2015) maturing on July 15, 2055. The Fund was not accruing income for either senior interest corporate bond. On January 18, 2017, the Fund’s Adviser determined it was likely that this senior interest corporate bond would fulfill its obligation on the security maturing on July 15, 2019, and therefore began accruing income on the Fund’s records. |
| (8) | Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Note 2 – Investment Valuation and Fair Value Measurements for more information. |
| 144A | Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers. |
| ETM | Escrowed to maturity. |
| WI/DD | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
See accompanying notes to financial statements.
| NXC | Nuveen California Select Tax-Free |
| Income Portfolio | |
| Portfolio of Investments | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| LONG-TERM INVESTMENTS – 91.9% | |||||||||
| MUNICIPAL BONDS – 91.9% | |||||||||
| Consumer Staples – 6.4% | |||||||||
| $ | 1,000 | California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Gold Country Settlement Funding Corporation, Refunding Series 2006, 5.250%, 6/01/46 | 6/18 at 100.00 | CCC | $ | 999,920 | |||
| 50 | California County Tobacco Securitization Agency, Tobacco Settlement Asset-Backed Bonds, Sonoma County Tobacco Securitization Corporation, Series 2005, 4.250%, 6/01/21 | 6/18 at 100.00 | A | 50,044 | |||||
| 1,095 | Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Senior Convertible Series 2007A-2, 5.300%, 6/01/37 | 6/22 at 100.00 | B | 1,127,850 | |||||
| Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1: | |||||||||
| 775 | 5.000%, 6/01/33 | 5/18 at 100.00 | B+ | 775,775 | |||||
| 660 | 5.750%, 6/01/47 | 5/18 at 100.00 | B3 | 663,901 | |||||
| 1,500 | Tobacco Securitization Authority of Northern California, Tobacco Settlement Asset-Backed Bonds, Series 2005A-1, 5.500%, 6/01/45 | 5/18 at 100.00 | B– | 1,500,015 | |||||
| 1,000 | Tobacco Securitization Authority of Southern California, Tobacco Settlement Asset-Backed Bonds, San Diego County Tobacco Asset Securitization Corporation, Senior Series 2006A, 5.000%, 6/01/37 | 5/18 at 100.00 | BB+ | 1,002,290 | |||||
| 6,080 | Total Consumer Staples | 6,119,795 | |||||||
| Education and Civic Organizations – 3.1% | |||||||||
| 160 | 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 | 183,451 | |||||
| 60 | California School Finance Authority, School Facility Revenue Bonds, Alliance for College-Ready Public Schools Project, Series 2016A, 5.000%, 7/01/46, 144A | 7/25 at 100.00 | BBB | 64,932 | |||||
| 385 | California School Finance Authority, School Facility Revenue Bonds, Alliance for College-Ready Public Schools Project, Series 2016C, 5.000%, 7/01/46 | 7/25 at 101.00 | BBB | 414,753 | |||||
| 250 | 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– | 273,942 | |||||
| 2,000 | University of California, General Revenue Bonds, Limited Project Series 2016K, 4.000%, 5/15/46 | 5/26 at 100.00 | AA– | 2,070,060 | |||||
| 2,855 | Total Education and Civic Organizations | 3,007,138 | |||||||
| Health Care – 9.0% | |||||||||
| 1,000 | California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Refunding Series 2016B, 5.000%, 11/15/46 | 11/26 at 100.00 | AA– | 1,130,560 | |||||
| 2,500 | California Health Facilities Financing Authority, California, Revenue Bonds, Sutter Health, Series 2016A, 5.000%, 11/15/41 | 11/25 at 100.00 | AA– | 2,819,975 | |||||
| 115 | 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– | 127,322 | |||||
| 125 | California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Refunding Series 2014A, 5.000%, 10/01/38 | 10/24 at 100.00 | AA– | 142,340 | |||||
| 255 | California Health Facilities Financing Authority, Revenue Bonds, Providence Health & Services, Series 2014B, 5.000%, 10/01/44 | 10/24 at 100.00 | AA– | 281,882 | |||||
| 235 | 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 | 252,663 | |||||
| 35 | California Municipal Finance Authority, Revenue Bonds, Eisenhower Medical Center, Series 2017A, 5.000%, 7/01/42 | 7/27 at 100.00 | Baa2 | 38,939 | |||||
| 130 | California Municipal Finance Authority, Revenue Bonds, NorthBay Healthcare Group, Series 2017A, 5.250%, 11/01/41 | 11/26 at 100.00 | BBB– | 141,992 | |||||
| 1,000 | California Public Finance Authority, Revenue Bonds, Sharp HealthCare, Series 2017A, 4.000%, 8/01/47 | 2/28 at 100.00 | AA | 1,023,660 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Health Care (continued) | |||||||||
| $ | 350 | California Statewide Communities Development Authority, California, Revenue Bonds, Loma Linda University Medical Center, Series 2014A, 5.250%, 12/01/34 | 12/24 at 100.00 | BB+ | $ | 382,616 | |||
| California Statewide Communities Development Authority, California, Revenue Bonds, Loma Linda University Medical Center, Series 2016A: | |||||||||
| 825 | 5.000%, 12/01/46, 144A | 6/26 at 100.00 | BB | 873,667 | |||||
| 540 | 5.250%, 12/01/56, 144A | 6/26 at 100.00 | BB | 579,188 | |||||
| 670 | San Buenaventura, California, Revenue Bonds, Community Memorial Health System, Series 2011, 7.500%, 12/01/41 | 12/21 at 100.00 | BB+ | 751,258 | |||||
| 7,780 | Total Health Care | 8,546,062 | |||||||
| Housing/Multifamily – 0.5% | |||||||||
| 395 | California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2012A, 5.500%, 8/15/47 | 8/22 at 100.00 | BBB | 428,058 | |||||
| California Municipal Finance Authority, Mobile Home Park Senior Revenue Bonds, Caritas Affordable Housing, Inc. Projects, Series 2014A: | |||||||||
| 25 | 5.250%, 8/15/39 | 8/24 at 100.00 | BBB+ | 27,250 | |||||
| 65 | 5.250%, 8/15/49 | 8/24 at 100.00 | BBB+ | 70,388 | |||||
| 485 | Total Housing/Multifamily | 525,696 | |||||||
| Tax Obligation/General – 21.3% | |||||||||
| 1,000 | California State, General Obligation Bonds, Various Purpose Refunding Series 2015, 5.000%, 8/01/34 | 8/25 at 100.00 | AA– | 1,149,080 | |||||
| 1,650 | California State, General Obligation Bonds, Various Purpose Series 2009, 5.500%, 11/01/39 | 11/19 at 100.00 | AA– | 1,746,376 | |||||
| 1,965 | California State, General Obligation Bonds, Various Purpose Series 2011, 5.000%, 10/01/41 | 10/21 at 100.00 | AA– | 2,159,515 | |||||
| 2,000 | California State, General Obligation Bonds, Various Purpose Series 2012, 5.250%, 4/01/35 | 4/22 at 100.00 | AA– | 2,238,540 | |||||
| 1,080 | Mountain View-Los Altos Union High School District, Santa Clara County, California, General Obligation Bonds, Capital Appreciation Series 1997C, 0.000%, 5/01/18 – NPFG Insured | No Opt. Call | Aaa | 1,078,747 | |||||
| 7,575 | Palomar Pomerado Health, California, General Obligation Bonds, Convertible Capital Appreciation, Election 2004 Series 2010A, 0.000%, 8/01/34 | No Opt. Call | A | 3,999,600 | |||||
| 1,000 | San Benito High School District, San Benito and Santa Clara Counties, California, General Obligation Bonds, 2016 Election Series 2017, 5.250%, 8/01/46 | 8/27 at 100.00 | Aa3 | 1,188,110 | |||||
| 8,075 | San Bernardino Community College District, California, General Obligation Bonds, Election of 2008 Series 2009B, 0.000%, 8/01/44 | No Opt. Call | AA | 2,700,845 | |||||
| 1,000 | San Francisco Bay Area Rapid Transit District, California, General Obligation Bonds, Election of 2016, Green Series 2017A-1, 5.000%, 8/01/47 | 8/27 at 100.00 | AAA | 1,163,400 | |||||
| 1,000 | Santa Barbara Unified School District, Santa Barbara County, California, General Obligation Bonds, Election of 2016 Series 2017A, 4.000%, 8/01/41 | 8/27 at 100.00 | Aa2 | 1,065,700 | |||||
| 2,000 | West Hills Community College District, California, General Obligation Bonds, School Facilities Improvement District 3, 2008 Election Series 2011, 0.000%, 8/01/38 – AGM Insured (4) | 8/31 at 100.00 | AA | 1,810,720 | |||||
| 28,345 | Total Tax Obligation/General | 20,300,633 | |||||||
| Tax Obligation/Limited – 19.0% | |||||||||
| 1,000 | Bell Community Redevelopment Agency, California, Tax Allocation Bonds, Bell Project Area, Series 2003, 5.625%, 10/01/33 – RAAI Insured | 6/18 at 100.00 | AA | 1,001,770 | |||||
| 2,000 | 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+ | 2,271,280 | |||||
| 360 | Chino Redevelopment Agency, California, Merged Chino Redevelopment Project Area Tax Allocation Bonds, Series 2006, 5.000%, 9/01/38 – AMBAC Insured | 6/18 at 100.00 | A | 360,162 | |||||
| 270 | Fontana Redevelopment Agency, San Bernardino County, California, Tax Allocation Bonds, Jurupa Hills Redevelopment Project, Refunding Series 1997A, 5.500%, 10/01/27 | 10/18 at 100.00 | A | 275,125 | |||||
| 3,000 | Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Refunding Series 2015A, 5.000%, 6/01/40 | 6/25 at 100.00 | A+ | 3,383,940 | |||||
| 1,215 | Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Vermont Manchester Social Services Project, Series 2005, 5.000%, 9/01/37 – AMBAC Insured | 6/18 at 100.00 | Aa2 | 1,217,746 |
| NXC | Nuveen California Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Tax Obligation/Limited (continued) | |||||||||
| $ | 1,000 | Los Angeles County Metropolitan Transportation Authority, California, Measure R Sales Tax Revenue Bonds, Senior Series 2016A, 5.000%, 6/01/38 | 6/18 at 100.00 | AAA | $ | 1,164,240 | |||
| 3,000 | Los Angeles County Metropolitan Transportation Authority, California, Proposition C Sales Tax Revenue Bonds, Senior Lien Series 2017A, 5.000%, 7/01/42 | 7/27 at 100.00 | AA+ | 3,494,310 | |||||
| 1,000 | Norco Redevelopment Agency, California, Tax Allocation Bonds, Project Area 1, Series 2009, 7.000%, 3/01/34 | 6/18 at 100.00 | A+ | 1,004,000 | |||||
| 50 | Novato Redevelopment Agency, California, Tax Allocation Bonds, Hamilton Field Redevelopment Project, Series 2011, 6.750%, 9/01/40 | 9/21 at 100.00 | BBB+ | 56,537 | |||||
| 60 | 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 | 66,842 | |||||
| Patterson Public Financing Authority, California, Revenue Bonds, Community Facilities District 2001-1, Senior Series 2013A: | |||||||||
| 350 | 5.250%, 9/01/30 | 9/23 at 100.00 | N/R | 386,477 | |||||
| 320 | 5.750%, 9/01/39 | 9/23 at 100.00 | N/R | 354,538 | |||||
| 30 | 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 | 34,447 | |||||
| 325 | Sacramento City Financing Authority, California, Lease Revenue Refunding Bonds, Series 1993A, 5.400%, 11/01/20 – NPFG Insured | No Opt. Call | Aa3 | 342,400 | |||||
| 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 | 21,712 | |||||
| 1,365 | 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 | 1,489,611 | |||||
| 65 | 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 | 8/24 at 100.00 | N/R | 70,796 | |||||
| 40 | Signal Hill Redevelopment Agency, California, Project 1 Tax Allocation Bonds, Series 2011, 7.000%, 10/01/26 | 4/21 at 100.00 | N/R | 45,187 | |||||
| 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 | 1,055,200 | |||||
| 16,470 | Total Tax Obligation/Limited | 18,096,320 | |||||||
| Transportation – 6.7% | |||||||||
| 530 | 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 | Baa3 | 625,320 | |||||
| Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Bonds, Refunding Series 2013A: | |||||||||
| 1,000 | 5.000%, 1/15/42 – AGM Insured | 1/24 at 100.00 | AA | 1,098,180 | |||||
| 1,170 | 5.750%, 1/15/46 | 1/24 at 100.00 | BBB– | 1,340,949 | |||||
| 1,175 | 6.000%, 1/15/53 | 1/24 at 100.00 | BBB– | 1,374,421 | |||||
| 800 | Long Beach, California, Harbor Revenue Bonds, Series 2015D, 5.000%, 5/15/42 | 5/25 at 100.00 | AA | 908,408 | |||||
| 955 | Port of Oakland, California, Revenue Bonds, Refunding Series 2012P, 5.000%, 5/01/31 (Alternative Minimum Tax) | 5/22 at 100.00 | A+ | 1,043,118 | |||||
| 5,630 | Total Transportation | 6,390,396 | |||||||
| U.S. Guaranteed – 7.6% (5) | |||||||||
| 355 | California Municipal Finance Authority, Mobile Home Park Revenue Bonds, Caritas Projects Series 2010A, 6.400%, 8/15/45 (Pre-refunded 8/15/20) | 8/20 at 100.00 | BBB | 389,279 | |||||
| 1,500 | California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009-I, 6.375%, 11/01/34 (Pre-refunded 11/01/19) | 11/19 at 100.00 | Aaa | 1,612,590 | |||||
| 1,000 | Imperial Irrigation District, California, Electric System Revenue Bonds, Refunding Series 2011A, 5.500%, 11/01/41 (Pre-refunded 11/01/20) | 11/20 at 100.00 | AA– | 1,097,820 | |||||
| Irvine Unified School District Financing Authority, Orange County, California, Special Tax Bonds, Group II, Series 2006A: | |||||||||
| 35 | 5.000%, 9/01/26 (Pre-refunded 9/01/18) | 9/18 at 100.00 | N/R | 35,503 | |||||
| 80 | 5.125%, 9/01/36 (Pre-refunded 9/01/18) | 9/18 at 100.00 | N/R | 81,190 | |||||
| 135 | National City Community Development Commission, California, Tax Allocation Bonds, National City Redevelopment Project, Series 2011, 6.500%, 8/01/24 (Pre-refunded 8/01/21) | 8/21 at 100.00 | A | 155,417 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| U.S. Guaranteed (5) (continued) | |||||||||
| $ | 500 | Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2009, 6.625%, 11/01/29 (Pre-refunded 11/01/19) | 11/19 at 100.00 | N/R | $ | 538,655 | |||
| 1,100 | Palomar Pomerado Health Care District, California, Certificates of Participation, Series 2010, 6.000%, 11/01/41 (Pre-refunded 11/01/20) | 11/20 at 100.00 | BBB– | 1,215,555 | |||||
| 415 | 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 | N/R | 423,412 | |||||
| 160 | Rancho Santa Fe CSD Financing Authority, California, Revenue Bonds, Superior Lien Series 2011A, 5.750%, 9/01/30 (Pre-refunded 9/01/21) | 9/21 at 100.00 | A– | 181,043 | |||||
| 25 | San Francisco Redevelopment Finance Authority, California, Tax Allocation Revenue Bonds, Mission Bay North Redevelopment Project, Series 2011C, 6.750%, 8/01/41 (Pre-refunded 2/01/21) | 2/21 at 100.00 | A– | 28,448 | |||||
| San Francisco Redevelopment Financing Authority, California, Tax Allocation Revenue Bonds, Mission Bay South Redevelopment Project, Series 2011D: | |||||||||
| 25 | 7.000%, 8/01/33 (Pre-refunded 2/01/21) | 2/21 at 100.00 | BBB+ | 28,620 | |||||
| 30 | 7.000%, 8/01/41 (Pre-refunded 2/01/21) | 2/21 at 100.00 | BBB+ | 34,344 | |||||
| 360 | Turlock Public Financing Authority, California, Tax Allocation Revenue Bonds, Series 2011, 7.500%, 9/01/39 (Pre-refunded 3/01/21) | 3/21 at 100.00 | A– | 418,158 | |||||
| 800 | Upland, California, Certificates of Participation, San Antonio Community Hospital, Series 2011, 6.500%, 1/01/41 (Pre-refunded 1/01/21) | 1/21 at 100.00 | BBB+ | 899,984 | |||||
| 70 | Yorba Linda Redevelopment Agency, Orange County, California, Tax Allocation Revenue Bonds, Yorba Linda Redevelopment Project, Subordinate Lien Series 2011A, 6.500%, 9/01/32 (Pre-refunded 9/01/21) | 9/21 at 100.00 | N/R | 80,686 | |||||
| 6,590 | Total U.S. Guaranteed | 7,220,704 | |||||||
| Utilities – 3.3% | |||||||||
| 645 | Long Beach Bond Finance Authority, California, Natural Gas Purchase Revenue Bonds, Series 2007A, 5.500%, 11/15/37 | No Opt. Call | A | 819,492 | |||||
| 2,000 | Los Angeles Department of Water and Power, California, Power System Revenue Bonds, Series 2017C, 5.000%, 7/01/42 | 7/27 at 100.00 | AA | 2,331,300 | |||||
| 2,645 | Total Utilities | 3,150,792 | |||||||
| Water and Sewer – 15.0% | |||||||||
| 1,000 | 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– | 1,125,700 | |||||
| 1,480 | California Infrastructure and Economic Development Bank, Clean Water State Revolving Fund Revenue Bonds, Green Series 2017, 5.000%, 10/01/33 | 4/27 at 100.00 | AAA | 1,772,433 | |||||
| California Pollution Control Financing Authority, Water Furnishing Revenue Bonds, Poseidon Resources Channelside LP Desalination Project, Series 2012: | |||||||||
| 375 | 5.000%, 7/01/37, 144A (Alternative Minimum Tax) | 7/22 at 100.00 | Baa3 | 401,111 | |||||
| 1,160 | 5.000%, 11/21/45, 144A (Alternative Minimum Tax) | 7/22 at 100.00 | Baa3 | 1,236,502 | |||||
| 2,000 | Escondido Joint Powers Financing Authority, California, Revenue Bonds, Water System Financing, Series 2012, 5.000%, 9/01/41 | 3/22 at 100.00 | AA– | 2,170,380 | |||||
| 2,000 | Irvine Ranch Water District, California, Certificates of Participation, Irvine Ranch Water District Series 2016, 5.000%, 3/01/41 | 9/26 at 100.00 | AAA | 2,324,400 | |||||
| 1,970 | Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2014A, 5.000%, 7/01/44 | 7/24 at 100.00 | AA+ | 2,207,050 | |||||
| 1,000 | Los Angeles Department of Water and Power, California, Waterworks Revenue Bonds, Series 2017A, 5.000%, 7/01/41 | 1/27 at 100.00 | AA+ | 1,158,620 | |||||
| 620 | Los Angeles, California, Wastewater System Revenue Bonds, Green Subordinate Lien Series 2017A, 5.250%, 6/01/47 | 6/27 at 100.00 | AA | 733,175 | |||||
| 1,000 | Santa Clara Valley Water District, California, Water System Revenue Bonds, Refunding Series 2016A, 5.000%, 6/01/31 | 12/25 at 100.00 | Aa1 | 1,171,010 | |||||
| 12,605 | Total Water and Sewer | 14,300,381 | |||||||
| $ | 89,485 | Total Long-Term Investments (cost $80,620,042) | 87,657,917 |
| NXC | Nuveen California Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| SHORT-TERM INVESTMENTS – 1.1% | |||||||||
| MUNICIPAL BONDS – 1.1% | |||||||||
| Health Care – 1.1% | |||||||||
| $ | 1,000 | California Health Facilities Financing Authority, Revenue Bonds, Children’s Hospital of Orange County, Variable Rate Demand Obligations, Series 2009C, 1.570%, 11/01/38 (6) | 5/18 at 100.00 | A-1+ | $ | 1,000,000 | |||
| $ | 1,000 | Total Short-Term Investments (cost $1,000,000) | 1,000,000 | ||||||
| Total Investments (cost $81,620,042) – 93.0% | 88,657,917 | ||||||||
| Other Assets Less Liabilities – 7.0% | 6,699,071 | ||||||||
| Net Assets – 100% | $ | 95,356,988 |
| (1) | All percentages shown in the Portfolio of Investments are based on net assets. |
| (2) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm. |
| (3) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Ratings are not covered by the report of independent registered public accounting firm. |
| (4) | Step-up coupon bond, a bond with a coupon that increases (“steps up”), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period. |
| (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. |
| (6) | Investment has a maturity of greater than one year, but has variable rate and/or demand features which qualify it as a short-term investment. The rate disclosed, as well as the reference rate and spread, where applicable, is that in effect as of the end of the reporting period. This rate changes periodically based on market conditions or a specified market index. |
| 144A | Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers. |
See accompanying notes to financial statements.
| NXN | Nuveen New York Select Tax-Free |
| Income Portfolio | |
| Portfolio of Investments | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| LONG-TERM INVESTMENTS – 99.8% | |||||||||
| MUNICIPAL BONDS – 99.8% | |||||||||
| Consumer Staples – 5.6% | |||||||||
| $ | 435 | Erie County Tobacco Asset Securitization Corporation, New York, Tobacco Settlement Asset-Backed Bonds, Series 2005A, 5.000%, 6/01/38 | 6/18 at 100.00 | BB+ | $ | 435,061 | |||
| 150 | Nassau County Tobacco Settlement Corporation, New York, Tobacco Settlement Asset-Backed Bonds, Refunding Series 2006A-2, 5.250%, 6/01/26 | 5/18 at 100.00 | B– | 150,021 | |||||
| 275 | Nassau County Tobacco Settlement Corporation, New York, Tobacco Settlement Asset-Backed Bonds, Series 2006A-3, 5.000%, 6/01/35 | 5/18 at 100.00 | B– | 272,429 | |||||
| New York Counties Tobacco Trust VI, New York, Tobacco Settlement Pass-Through Bonds, Series Series 2016A-1: | |||||||||
| 470 | 5.625%, 6/01/35 | No Opt. Call | BBB | 518,965 | |||||
| 1,530 | 5.750%, 6/01/43 | No Opt. Call | BBB | 1,689,105 | |||||
| 2,860 | Total Consumer Staples | 3,065,581 | |||||||
| Education and Civic Organizations – 19.8% | |||||||||
| 165 | Albany Industrial Development Agency, New York, Revenue Bonds, Brighter Choice Charter Schools, Series 2007A, 5.000%, 4/01/37 | 6/18 at 100.00 | B | 143,576 | |||||
| 280 | Buffalo and Erie County Industrial Land Development Corporation, New York, Revenue Bonds, Enterprise Charter School Project, Series 2011A, 7.500%, 12/01/40 | 12/20 at 100.00 | B+ | 293,658 | |||||
| Build New York City Resource Corporation, New York, Revenue Bonds, South Bronx Charter School for International Cultures and the Arts Project, Series 2013A: | |||||||||
| 75 | 5.000%, 4/15/33 | 4/23 at 100.00 | BB+ | 77,524 | |||||
| 110 | 5.000%, 4/15/43 | 4/23 at 100.00 | BB+ | 112,949 | |||||
| 150 | Dormitory Authority of the State of New York, General Revenue Bonds, Saint Johns University, Series 2013A, 5.000%, 7/01/44 | 7/23 at 100.00 | A– | 163,691 | |||||
| 1,000 | Dormitory Authority of the State of New York, Housing Revenue Bonds, Fashion Institute of Technology, Series 2007, 5.250%, 7/01/34 – FGIC Insured | No Opt. Call | Baa2 | 1,179,620 | |||||
| Dormitory Authority of the State of New York, Lease Revenue Bonds, State University Dormitory Facilities, Series 2015A: | |||||||||
| 20 | 5.000%, 7/01/31 | 7/25 at 100.00 | Aa3 | 22,768 | |||||
| 25 | 5.000%, 7/01/33 | 7/25 at 100.00 | Aa3 | 28,181 | |||||
| 405 | Dormitory Authority of the State of New York, Revenue Bonds, Barnard College, Series 2007A, 5.000%, 7/01/37 – NPFG Insured | 6/18 at 100.00 | Baa2 | 406,041 | |||||
| 1,000 | Dormitory Authority of the State of New York, Revenue Bonds, Columbia University, Series 2011A, 5.000%, 10/01/41 | 4/21 at 100.00 | AAA | 1,083,440 | |||||
| 605 | Dormitory Authority of the State of New York, Revenue Bonds, Icahn School of Medicine at Mount Sinai, Refunding Series 2015A, 5.000%, 7/01/40 | 7/25 at 100.00 | A– | 663,407 | |||||
| 290 | Dormitory Authority of the State of New York, Revenue Bonds, New York University, Series 2015A, 5.000%, 7/01/35 | 7/25 at 100.00 | Aa2 | 330,133 | |||||
| 1,185 | Dormitory Authority of the State of New York, Revenue Bonds, New York University, Series 2016A, 5.000%, 7/01/39 | 7/26 at 100.00 | Aa2 | 1,361,577 | |||||
| 1,800 | Dormitory Authority of the State of New York, Revenue Bonds, Non State Supported Debt, Cornell University, Series 2010A, 5.000%, 7/01/40 | 7/20 at 100.00 | Aa1 | 1,916,657 | |||||
| 120 | Dormitory Authority of the State of New York, Revenue Bonds, Saint Joseph’s College, Series 2010, 5.250%, 7/01/35 | 7/20 at 100.00 | Ba1 | 123,498 | |||||
| 250 | Dormitory Authority of the State of New York, Revenue Bonds, Vaughn College of Aeronautics & Technology, Series 2016A, 5.500%, 12/01/36, 144A | 12/26 at 100.00 | BB– | 251,693 | |||||
| 215 | Glen Cove Local Economic Assistance Corporation, New York, Revenue Bonds, Garvies Point Public Improvement Project, Capital Appreciation Series 2016C, 0.000%, 1/01/55 (4) | 1/34 at 100.00 | N/R | 178,336 | |||||
| 110 | Hempstead Town Local Development Corporation, New York, Revenue Bonds, Adelphi University Project, Series 2013, 5.000%, 9/01/38 | 9/23 at 100.00 | A– | 120,049 |
| NXN | Nuveen New York Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Education and Civic Organizations (continued) | |||||||||
| New York City Industrial Development Agency, New York, PILOT Revenue Bonds, Queens Baseball Stadium Project, Series 2006: | |||||||||
| $ | 500 | 5.000%, 1/01/31 – AMBAC Insured | 6/18 at 100.00 | BBB | $ | 501,205 | |||
| 430 | 4.750%, 1/01/42 – AMBAC Insured | 6/18 at 100.00 | BBB | 430,258 | |||||
| 300 | New York City Industrial Development Authority, New York, PILOT Revenue Bonds, Yankee Stadium Project, Series 2006, 4.750%, 3/01/46 – NPFG Insured | 6/18 at 100.00 | Baa1 | 300,426 | |||||
| 1,005 | New York City Trust for Cultural Resources, New York, Revenue Bonds, Wildlife Conservation Society, Series 2014A, 5.000%, 8/01/32 | 8/23 at 100.00 | AA– | 1,125,309 | |||||
| 10,040 | Total Education and Civic Organizations | 10,813,996 | |||||||
| Financials – 1.0% | |||||||||
| 450 | New York Liberty Development Corporation, Revenue Bonds, Goldman Sachs Headquarters Issue, Series 2005, 5.250%, 10/01/35 | No Opt. Call | A | 559,773 | |||||
| Health Care – 0.6% | |||||||||
| 100 | Dormitory Authority of the State of New York, Highland Hospital of Rochester Revenue Bonds, Series 2010, 5.200%, 7/01/32 | 7/20 at 100.00 | A | 105,629 | |||||
| 230 | Yonkers Industrial Development Agency, New York, Revenue Bonds, St. John’s Riverside Hospital, Series 2001B, 7.125%, 7/01/31 | 6/18 at 100.00 | BB– | 230,145 | |||||
| 330 | Total Health Care | 335,774 | |||||||
| Housing/Multifamily – 0.5% | |||||||||
| 275 | New York State Housing Finance Agency, Affordable Housing Revenue, Series 2007A, 5.250%, 11/01/38 (Alternative Minimum Tax) | 6/18 at 100.00 | Aa2 | 275,261 | |||||
| Industrials – 4.0% | |||||||||
| 160 | Build New York City Resource Corporation, New York, Solid Waste Disposal Revenue Bonds, Pratt Paper NY, Inc. Project, Series 2014, 5.000%, 1/01/35, 144A (Alternative Minimum Tax) | 1/25 at 100.00 | N/R | 172,109 | |||||
| 1,865 | New York Liberty Development Corporation, New York, Liberty Revenue Bonds, 3 World Trade Center Project, Class 1 Series 2014, 5.000%, 11/15/44, 144A | 11/24 at 100.00 | N/R | 1,980,200 | |||||
| 2,025 | Total Industrials | 2,152,309 | |||||||
| Long-Term Care – 0.3% | |||||||||
| 100 | Dormitory Authority of the State of New York, Non-State Supported Debt, Ozanam Hall of Queens Nursing Home Revenue Bonds, Series 2006, 5.000%, 11/01/31 | 6/18 at 100.00 | A3 | 100,108 | |||||
| 15 | Suffolk County Industrial Development Agency, New York, Civic Facility Revenue Bonds, Special Needs Facilities Pooled Program, Series 2008-B1, 5.500%, 7/01/18 | 6/18 at 100.00 | N/R | 14,621 | |||||
| 55 | Yonkers Industrial Development Agency, New York, Civic Facilities Revenue Bonds, Special Needs Facilities Pooled Program Bonds, Series 2008-C1, 5.500%, 7/01/18 | 6/18 at 100.00 | N/R | 55,002 | |||||
| 170 | Total Long-Term Care | 169,731 | |||||||
| Tax Obligation/General – 2.3% | |||||||||
| 1,080 | New York City, New York, General Obligation Bonds, Fiscal 2017 Series B-1, 5.000%, 12/01/41 | 12/26 at 100.00 | AA | 1,233,900 | |||||
| Tax Obligation/Limited – 19.9% | |||||||||
| 1,050 | Dormitory Authority of the State of New York, State Personal Income Tax Revenue Bonds, General Purpose Series 2012D, 5.000%, 2/15/37 | 2/22 at 100.00 | AAA | 1,142,904 | |||||
| 1,000 | Dormitory Authority of the State of New York, State Sales Tax Revenue Bonds, Series 2015B. Group A,B&C, 5.000%, 3/15/35 | 9/25 at 100.00 | AAA | 1,147,720 | |||||
| 1,000 | Government of Guam, Business Privilege Tax Bonds, Refunding Series 2015D, 5.000%, 11/15/25 | No Opt. Call | A | 1,079,900 | |||||
| 800 | Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Second Indenture Fiscal 2017 Series A, 5.000%, 2/15/42 | 2/27 at 100.00 | Aa3 | 911,696 | |||||
| 760 | Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Senior Fiscal 2012 Series 2011A, 5.750%, 2/15/47 | 2/21 at 100.00 | AA– | 828,332 | |||||
| 1,000 | New York City Transitional Finance Authority, New York, Building Aid Revenue Bonds, Fiscal Series 2015S-2, 5.000%, 7/15/40 | 7/25 at 100.00 | AA | 1,126,450 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| Tax Obligation/Limited (continued) | |||||||||
| $ | 1,000 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2013 Series I, 5.000%, 5/01/38 | 5/23 at 100.00 | AAA | $ | 1,112,950 | |||
| 450 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2014 Series D-1, 5.000%, 2/01/35 | 2/24 at 100.00 | AAA | 505,967 | |||||
| 875 | New York City Transitional Finance Authority, New York, Future Tax Secured Revenue Bonds, Subordinate Series 2011-D1, 5.250%, 2/01/30 | 2/21 at 100.00 | AAA | 954,546 | |||||
| 535 | New York City Transitional Finance Authority, New York, Future Tax Secured Revenue Bonds, Tender Option Bond Trust 2015-XF0080, 10.584%, 5/01/38, 144A (IF) | 5/19 at 100.00 | AAA | 589,522 | |||||
| 570 | New York State Thruway Authority, Highway and Bridge Trust Fund Bonds, Series 2005B, 5.500%, 4/01/20 – AMBAC Insured (UB) (5) | No Opt. Call | AA+ | 612,881 | |||||
| 845 | 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 | 891,644 | |||||
| 9,885 | Total Tax Obligation/Limited | 10,904,512 | |||||||
| Transportation – 17.1% | |||||||||
| 1,000 | Metropolitan Transportation Authority, New York, Transportation Revenue Bonds, Series 2014B, 5.250%, 11/15/38 | 5/24 at 100.00 | AA– | 1,140,440 | |||||
| 250 | New York Liberty Development Corporation, New York, Liberty Revenue Bonds, 4 World Trade Center Project, Series 2011, 5.000%, 11/15/44 | 11/21 at 100.00 | A+ | 271,208 | |||||
| New York Transportation Development Corporation, New York, Special Facility Revenue Bonds, American Airlines, Inc. John F Kennedy International Airport Project, Refunding Series 2016: | |||||||||
| 345 | 5.000%, 8/01/26 (Alternative Minimum Tax) | 8/21 at 100.00 | BB– | 366,797 | |||||
| 685 | 5.000%, 8/01/31 (Alternative Minimum Tax) | 8/21 at 100.00 | BB– | 722,490 | |||||
| 980 | New York Transportation Development Corporation, Special Facilities Bonds, LaGuardia Airport Terminal B Redevelopment Project, Series 2016A, 5.000%, 7/01/46 (Alternative Minimum Tax) | 7/24 at 100.00 | BBB | 1,062,908 | |||||
| 1,500 | Port Authority of New York and New Jersey, Consolidated Revenue Bonds, One Hundred Eighty-Forth Series 2014, 5.000%, 9/01/33 | 9/24 at 100.00 | AA– | 1,710,345 | |||||
| 1,000 | Port Authority of New York and New Jersey, Consolidated Revenue Bonds, One Hundred Ninety-Fourth Series 2015, 5.250%, 10/15/55 | 10/25 at 100.00 | AA– | 1,129,830 | |||||
| Port Authority of New York and New Jersey, Special Project Bonds, JFK International Air Terminal LLC Project, Eighth Series 2010: | |||||||||
| 290 | 6.500%, 12/01/28 | 6/18 at 100.00 | Baa1 | 303,166 | |||||
| 215 | 6.000%, 12/01/36 | 12/20 at 100.00 | Baa1 | 236,818 | |||||
| 1,095 | Triborough Bridge and Tunnel Authority, New York, General Purpose Revenue Bonds, MTA Bridges & Tunnels, Series 2017A, 5.000%, 11/15/47 | 5/27 at 100.00 | AA– | 1,255,341 | |||||
| 1,000 | Triborough Bridge and Tunnel Authority, New York, General Purpose Revenue Bonds, MTA Bridges & Tunnels, Series 2017B, 5.000%, 11/15/36 | 5/27 at 100.00 | AA– | 1,161,920 | |||||
| 8,360 | Total Transportation | 9,361,263 | |||||||
| U.S. Guaranteed – 11.8% (6) | |||||||||
| Dormitory Authority of the State of New York, Orange Regional Medical Center Obligated Group Revenue Bonds, Series 2008: | |||||||||
| 130 | 6.500%, 12/01/21 (Pre-refunded 12/01/18) | 12/18 at 100.00 | Baa3 | 134,125 | |||||
| 210 | 6.125%, 12/01/29 (Pre-refunded 12/01/18) | 12/18 at 100.00 | Baa3 | 216,218 | |||||
| 405 | 6.250%, 12/01/37 (Pre-refunded 12/01/18) | 12/18 at 100.00 | Baa3 | 417,324 | |||||
| 750 | Dormitory Authority of the State of New York, Revenue Bonds, NYU Hospitals Center, Series 2011A, 6.000%, 7/01/40 (Pre-refunded 7/01/20) | 7/20 at 100.00 | A– | 819,660 | |||||
| 1,240 | Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Senior Fiscal 2012 Series 2011A, 5.750%, 2/15/47 (Pre-refunded 2/15/21) | 2/21 at 100.00 | Aa3 | 1,374,379 | |||||
| 400 | Long Island Power Authority, New York, Electric System Revenue Bonds, Series 2011A, 5.000%, 5/01/38 (Pre-refunded 5/01/21) | 5/21 at 100.00 | A– | 438,024 | |||||
| 2,000 | Monroe County Industrial Development Corporation, New York, Revenue Bonds, University of Rochester Project, Series 2011B, 5.000%, 7/01/41 (Pre-refunded 7/01/21) | 7/21 at 100.00 | AA– | 2,202,759 |
| NXN | Nuveen New York Select Tax-Free Income Portfolio |
| Portfolio of Investments (continued) | |
| March 31, 2018 |
| Principal | Optional Call | ||||||||
| Amount (000) | Description (1) | Provisions (2) | Ratings (3) | Value | |||||
| U.S. Guaranteed (6) (continued) | |||||||||
| $ | 40 | New York City Municipal Water Finance Authority, New York, Water and Sewerage System Revenue Bonds, Tender Option Bond Trust 2015-XF0097, 13.277%, 6/15/37, 144A (Pre-refunded 6/15/18) (IF) | 6/18 at 100.00 | N/R | $ | 41,010 | |||
| 125 | New York City Transitional Finance Authority, New York, Future Tax Secured Revenue Bonds, Subordinate Series 2011-D1, 5.250%, 2/01/30 (Pre-refunded 2/01/21) | 2/21 at 100.00 | N/R | 136,473 | |||||
| 600 | Yonkers, New York, General Obligation Bonds, Refunding Series 2011A, 5.000%, 10/01/24 (Pre-refunded 10/01/21) – AGM Insured | 10/21 at 100.00 | AA | 663,882 | |||||
| 5,900 | Total U.S. Guaranteed | 6,443,854 | |||||||
| Utilities – 9.7% | |||||||||
| 550 | Chautauqua County Industrial Development Agency, New York, Exempt Facility Revenue Bonds, NRG Dunkirk Power Project, Series 2009, 5.875%, 4/01/42 | 2/20 at 100.00 | Baa3 | 572,110 | |||||
| 35 | Guam Power Authority, Revenue Bonds, Series 2012A, 5.000%, 10/01/34 | 10/22 at 100.00 | BBB | 36,503 | |||||
| 50 | Long Island Power Authority, New York, Electric System General Revenue Bonds, Series 2014A, 5.000%, 9/01/44 | 9/24 at 100.00 | A– | 55,484 | |||||
| 180 | Long Island Power Authority, New York, Electric System General Revenue Bonds, Series 2017, 5.000%, 9/01/42 | 9/27 at 100.00 | A– | 204,577 | |||||
| 865 | Niagara Area Development Corporation, New York, Solid Waste Disposal Facility Revenue Refunding Bonds, Covanta Energy Project, Series 2012A, 5.250%, 11/01/42, 144A (Alternative Minimum Tax) | 6/18 at 100.00 | BB+ | 865,536 | |||||
| 1,365 | Utility Debt Securitization Authority, New York, Restructuring Bonds, Series 2013TE, 5.000%, 12/15/41 | 12/23 at 100.00 | AAA | 1,532,076 | |||||
| 1,750 | Utility Debt Securitization Authority, New York, Restructuring Bonds, Series 2016B, 5.000%, 12/15/35 | 6/26 at 100.00 | AAA | 2,031,662 | |||||
| 4,795 | Total Utilities | 5,297,948 | |||||||
| Water and Sewer – 7.2% | |||||||||
| 200 | Buffalo Municipal Water Finance Authority, New York, Water System Revenue Bonds, Refunding Series 2015A, 5.000%, 7/01/29 | 7/25 at 100.00 | A | 228,662 | |||||
| 2,000 | New York City Municipal Water Finance Authority, New York, Water and Sewer System Second General Resolution Revenue Bonds, Fiscal 2018 Series AA, 5.000%, 6/15/38 | 6/27 at 100.00 | AA+ | 2,317,678 | |||||
| 235 | New York City Municipal Water Finance Authority, New York, Water and Sewerage System Revenue Bonds, Tender Option Bond Trust 2015-XF0097, 13.277%, 6/15/37, 144A (IF) | 6/18 at 100.00 | AA+ | 240,934 | |||||
| 1,000 | New York State Environmental Facilities Corporation, State Clean Water and Drinking Water Revolving Funds Revenue Bonds, New York City Municipal Water Finance Authority Projects-Second Resolution Bonds, Subordinated SRF Series 2017A, 5.000%, 6/15/42 | 6/27 at 100.00 | AAA | 1,162,330 | |||||
| 3,435 | Total Water and Sewer | 3,949,604 | |||||||
| $ | 49,605 | Total Long-Term Investments (cost $52,442,293) | 54,563,506 | ||||||
| Floating Rate Obligations – (0.8)% | (425,000 | ) | |||||||
| Other Assets Less Liabilities – 1.0% | 540,225 | ||||||||
| Net Assets – 100% | $ | 54,678,731 |
| (1) | All percentages shown in the Portfolio of Investments are based on net assets. |
| (2) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm. |
| (3) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. 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. Ratings are not covered by the report of independent registered public accounting firm. |
| (4) | Step-up coupon bond, a bond with a coupon that increases (“steps up”), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period. |
| (5) | Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions. |
| (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. |
| 144A | Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers. |
| IF | Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust. |
| UB | Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Note 3-Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information. |
See accompanying notes to financial statements.
| Statement of Assets and Liabilities |
| March 31, 2018 |
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Assets | ||||||||||||||||
| Long-term investments, at value (cost $225,037,644, $234,074,574, $177,014,859, $80,620,042 and $52,442,293, respectively) | $ | 248,615,862 | $ | 253,908,482 | $ | 199,014,616 | $ | 87,657,917 | $ | 54,563,506 | ||||||
| Short-term investments, at value (cost approximates value) | — | — | — | 1,000,000 | — | |||||||||||
| Cash | 794,569 | 946,683 | 470,086 | 2,786,660 | 6,243 | |||||||||||
| Receivable for: | ||||||||||||||||
| Interest | 2,455,383 | 2,755,982 | 2,057,091 | 1,194,464 | 752,824 | |||||||||||
| Investments sold | — | 989,760 | 265,000 | 3,000,000 | — | |||||||||||
| Deferred offering costs | — | — | — | 65,361 | — | |||||||||||
| Other assets | 54,127 | 56,533 | 42,021 | 20,699 | 12,790 | |||||||||||
| Total assets | 251,919,941 | 258,657,440 | 201,848,814 | 95,725,101 | 55,335,363 | |||||||||||
| Liabilities | ||||||||||||||||
| Floating rate obligations | — | — | — | — | 425,000 | |||||||||||
| Payable for: | ||||||||||||||||
| Dividends | 708,996 | 716,039 | 547,193 | 268,978 | 157,642 | |||||||||||
| Investments purchased | 467,764 | 483,894 | 370,985 | — | — | |||||||||||
| Accrued expenses: | ||||||||||||||||
| Management fees | 43,147 | 55,115 | 43,332 | 20,963 | 12,046 | |||||||||||
| Trustees fees | 56,126 | 58,599 | 43,628 | 21,348 | 13,064 | |||||||||||
| Professional fees | 26,316 | 26,364 | 26,008 | 25,346 | 25,094 | |||||||||||
| Other | 66,417 | 67,117 | 53,083 | 31,478 | 23,786 | |||||||||||
| Total liabilities | 1,368,766 | 1,407,128 | 1,084,229 | 368,113 | 656,632 | |||||||||||
| Net assets | $ | 250,551,175 | $ | 257,250,312 | $ | 200,764,585 | $ | 95,356,988 | $ | 54,678,731 | ||||||
| Shares outstanding | 16,570,310 | 17,713,727 | 13,045,560 | 6,349,932 | 3,924,895 | |||||||||||
| Net asset value (“NAV”) per share outstanding | $ | 15.12 | $ | 14.52 | $ | 15.39 | $ | 15.02 | $ | 13.93 | ||||||
| Net assets consist of: | ||||||||||||||||
| Shares, $0.01 par value per share | $ | 165,703 | $ | 177,137 | $ | 130,456 | $ | 63,499 | $ | 39,249 | ||||||
| Paid-in surplus | 230,107,246 | 245,888,467 | 179,536,881 | 88,427,486 | 53,856,609 | |||||||||||
| Undistributed (Over-distribution of) net investment income | 1,649,761 | 617,271 | 1,600,931 | (167,124 | ) | (51,798 | ) | |||||||||
| Accumulated net realized gain (loss) | (4,949,753 | ) | (9,266,471 | ) | (2,503,440 | ) | (4,748 | ) | (1,286,542 | ) | ||||||
| Net unrealized appreciation (depreciation) | 23,578,218 | 19,833,908 | 21,999,757 | 7,037,875 | 2,121,213 | |||||||||||
| Net assets | $ | 250,551,175 | $ | 257,250,312 | $ | 200,764,585 | $ | 95,356,988 | $ | 54,678,731 | ||||||
| Authorized shares | Unlimited | Unlimited | Unlimited | Unlimited | Unlimited |
See accompanying notes to financial statements.
| Statement of Operations |
| Year Ended March 31, 2018 |
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Investment Income | $ | 9,953,720 | $ | 10,049,987 | $ | 7,886,623 | $ | 3,949,531 | $ | 2,264,824 | ||||||
| Expenses | ||||||||||||||||
| Management fees | 515,767 | 659,871 | 519,410 | 250,535 | 144,550 | |||||||||||
| Interest expense | — | — | — | — | 12,574 | |||||||||||
| Custodian fees | 34,412 | 35,812 | 28,760 | 18,204 | 12,043 | |||||||||||
| Trustees fees | 7,691 | 7,915 | 6,178 | 2,930 | 1,689 | |||||||||||
| Professional fees | 31,236 | 31,383 | 29,784 | 33,940 | 26,628 | |||||||||||
| Shareholder reporting expenses | 44,158 | 43,308 | 31,788 | 18,209 | 14,473 | |||||||||||
| Shareholder servicing agent fees | 11,793 | 10,914 | 9,044 | 3,093 | 2,916 | |||||||||||
| Stock exchange listing fees | 6,957 | 6,957 | 6,957 | 6,979 | 6,964 | |||||||||||
| Investor relations expenses | 18,196 | 18,302 | 14,052 | 7,189 | 4,738 | |||||||||||
| Other | 19,359 | 20,886 | 18,781 | 18,597 | 14,602 | |||||||||||
| Total expenses | 689,569 | 835,348 | 664,754 | 359,676 | 241,177 | |||||||||||
| Net investment income (loss) | 9,264,151 | 9,214,639 | 7,221,869 | 3,589,855 | 2,023,647 | |||||||||||
| Realized and Unrealized Gain (Loss) | ||||||||||||||||
| Net realized gain (loss) from investments | 1,059,679 | 1,332,796 | 908,980 | 960,773 | 50,892 | |||||||||||
| Change in net unrealized appreciation (depreciation) of investments | 898,081 | (338,540 | ) | 168,409 | (356,475 | ) | (409,385 | ) | ||||||||
| Net realized and unrealized gain (loss) | 1,957,760 | 994,256 | 1,077,389 | 604,298 | (358,493 | ) | ||||||||||
| Net increase (decrease) in net assets from operations | $ | 11,221,911 | $ | 10,208,895 | $ | 8,299,258 | $ | 4,194,153 | $ | 1,665,154 |
See accompanying notes to financial statements.
Statement of Changes in Net Assets
| NXP | NXQ | NXR | |||||||||||||||||
| Year Ended 3/31/18 |
Year Ended 3/31/17 |
Year Ended 3/31/18 |
Year Ended 3/31/17 |
Year Ended 3/31/18 |
Year Ended 3/31/17 |
||||||||||||||
| Operations | |||||||||||||||||||
| Net investment income (loss) | $ | 9,264,151 | $ | 9,302,606 | $ | 9,214,639 | $ | 9,468,136 | $ | 7,221,869 | $ | 7,400,343 | |||||||
| Net realized gain (loss) from: | |||||||||||||||||||
| Investments | 1,059,679 | 1,206,176 | 1,332,796 | 17,004 | 908,980 | 26,801 | |||||||||||||
| Swaps | — | (180,389 | ) | — | — | — | (87,611 | ) | |||||||||||
| Change in net unrealized appreciation (depreciation) of: | |||||||||||||||||||
| Investments | 898,081 | (9,363,238 | ) | (338,540 | ) | (7,540,888 | ) | 168,409 | (6,783,825 | ) | |||||||||
| Swaps | — | 443,326 | — | — | — | 299,545 | |||||||||||||
| Net increase (decrease) in net assets from operations | 11,221,911 | 1,408,481 | 10,208,895 | 1,944,252 | 8,299,258 | 855,253 | |||||||||||||
| Distributions to Shareholders | |||||||||||||||||||
| From net investment income | (9,188,237 | ) | (9,118,641 | ) | (9,283,764 | ) | (9,149,141 | ) | (7,030,252 | ) | (6,954,588 | ) | |||||||
| From accumulated net realized gains | — | — | — | — | — | — | |||||||||||||
| Decrease in net assets from distributions to shareholders | (9,188,237 | ) | (9,118,641 | ) | (9,283,764 | ) | (9,149,141 | ) | (7,030,252 | ) | (6,954,588 | ) | |||||||
| Capital Share Transactions | |||||||||||||||||||
| Proceeds from shelf offering, net of offering costs | — | — | — | — | — | — | |||||||||||||
| Net proceeds from shares issued to shareholders due to reinvestment of distributions | — | — | — | — | — | — | |||||||||||||
| Net increase (decrease) in net assets from capital share transactions | — | — | — | — | — | — | |||||||||||||
| Net increase (decrease) in net assets | 2,033,674 | (7,710,160 | ) | 925,131 | (7,204,889 | ) | 1,269,006 | (6,099,335 | ) | ||||||||||
| Net assets at the beginning of period | 248,517,501 | 256,227,661 | 256,325,181 | 263,530,070 | 199,495,579 | 205,594,914 | |||||||||||||
| Net assets at the end of period | $ | 250,551,175 | $ | 248,517,501 | $ | 257,250,312 | $ | 256,325,181 | $ | 200,764,585 | $ | 199,495,579 | |||||||
| Undistributed (Over-distribution of) net investment income at the end of period | $ | 1,649,761 | $ | 1,581,686 | $ | 617,271 | $ | 854,775 | $ | 1,600,931 | $ | 1,490,235 | |||||||
See accompanying notes to financial statements.
| NXC | NXN | ||||||||||||
| Year Ended 3/31/18 |
Year Ended 3/31/17 |
Year Ended 3/31/18 |
Year Ended 3/31/17 |
||||||||||
| Operations | |||||||||||||
| Net investment income (loss) | $ | 3,589,855 | $ | 3,798,794 | $ | 2,023,647 | $ | 2,165,600 | |||||
| Net realized gain (loss) from: | |||||||||||||
| Investments | 960,773 | (131,725 | ) | 50,892 | (365,379 | ) | |||||||
| Swaps | — | — | — | — | |||||||||
| Change in net unrealized appreciation (depreciation) of: | |||||||||||||
| Investments | (356,475 | ) | (3,435,731 | ) | (409,385 | ) | (1,558,377 | ) | |||||
| Swaps | — | — | — | — | |||||||||
| Net increase (decrease) in net assets from operations | 4,194,153 | 231,338 | 1,665,154 | 241,844 | |||||||||
| Distributions to Shareholders | |||||||||||||
| From net investment income | (3,647,462 | ) | (3,883,881 | ) | (2,106,883 | ) | (2,166,329 | ) | |||||
| From accumulated net realized gains | (357,827 | ) | (616,049 | ) | — | — | |||||||
| Decrease in net assets from distributions to shareholders | (4,005,289 | ) | (4,499,930 | ) | (2,106,883 | ) | (2,166,329 | ) | |||||
| Capital Share Transactions | |||||||||||||
| Proceeds from shelf offering,net of offering costs | 810,179 | — | — | — | |||||||||
| Net proceeds from shares issued to shareholders due to reinvestment of distributions | 47,791 | 85,085 | — | 13,528 | |||||||||
| Net increase (decrease) in net assets from capital share transactions | 857,970 | 85,085 | — | 13,528 | |||||||||
| Net increase (decrease) in net assets | 1,046,834 | (4,183,507 | ) | (441,729 | ) | (1,910,957 | ) | ||||||
| Net assets at the beginning of period | 94,310,154 | 98,493,661 | 55,120,460 | 57,031,417 | |||||||||
| Net assets at the end of period | $ | 95,356,988 | $ | 94,310,154 | $ | 54,678,731 | $ | 55,120,460 | |||||
| Undistributed (Over-distribution of) net investment income at the end of period | $ | (167,124 | ) | $ | (105,514 | ) | $ | (51,798 | ) | $ | 38,520 | ||
See accompanying notes to financial statements.
Financial Highlights
Selected data for a share outstanding throughout each period:
| Investment Operations | Less Distributions | |||||||||||||||||||||||||||
| Beginning NAV |
Net Investment Income (Loss) |
Net Realized/ Unrealized Gain (Loss) |
Total | From Net Investment Income |
From Accumulated Net Realized Gains |
Total | Ending NAV |
Ending Share Price |
||||||||||||||||||||
| NXP | ||||||||||||||||||||||||||||
| Year Ended 3/31: | ||||||||||||||||||||||||||||
| 2018 | $ | 15.00 | $ | 0.56 | $ | 0.11 | $ | 0.67 | $ | (0.55 | ) | $ | — | $ | (0.55 | ) | $ | 15.12 | $ | 14.02 | ||||||||
| 2017 | 15.46 | 0.56 | (0.47 | ) | 0.09 | (0.55 | ) | — | (0.55 | ) | 15.00 | 14.03 | ||||||||||||||||
| 2016 | 15.17 | 0.58 | 0.27 | 0.85 | (0.56 | ) | — | (0.56 | ) | 15.46 | 14.89 | |||||||||||||||||
| 2015 | 14.43 | 0.60 | 0.76 | 1.36 | (0.62 | ) | — | (0.62 | ) | 15.17 | 14.51 | |||||||||||||||||
| 2014 | 15.03 | 0.66 | (0.62 | ) | 0.04 | (0.64 | ) | — | (0.64 | ) | 14.43 | 13.48 | ||||||||||||||||
| NXQ | ||||||||||||||||||||||||||||
| Year Ended 3/31: | ||||||||||||||||||||||||||||
| 2018 | 14.47 | 0.52 | 0.05 | 0.57 | (0.52 | ) | — | (0.52 | ) | 14.52 | 13.47 | |||||||||||||||||
| 2017 | 14.88 | 0.53 | (0.42 | ) | 0.11 | (0.52 | ) | — | (0.52 | ) | 14.47 | 13.41 | ||||||||||||||||
| 2016 | 14.64 | 0.55 | 0.23 | 0.78 | (0.54 | ) | — | (0.54 | ) | 14.88 | 14.13 | |||||||||||||||||
| 2015 | 13.83 | 0.58 | 0.83 | 1.41 | (0.60 | ) | — | (0.60 | ) | 14.64 | 13.94 | |||||||||||||||||
| 2014 | 14.38 | 0.62 | (0.54 | ) | 0.08 | (0.63 | ) | — | (0.63 | ) | 13.83 | 13.12 | ||||||||||||||||
| (a) | Total Return Based on NAV is the combination of changes in 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 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. |
| Ratios/Supplemental Data | ||||||||||||||||
| Total Returns | Ratios to Average Net Assets | |||||||||||||||
| Based on NAV |
(a) | Based on Share Price |
(a) | Ending Net Assets (000 |
) | Expenses | (b) | Net Investment Income (Loss |
) | Portfolio Turnover Rate |
(c) | |||||
| 4.52 | % | 3.83 | % | $ | 250,551 | 0.27 | % | 3.66 | % | 19 | % | |||||
| 0.55 | (2.20 | ) | 248,518 | 0.28 | 3.64 | 28 | ||||||||||
| 5.78 | 6.82 | 256,228 | 0.28 | 3.88 | 25 | |||||||||||
| 9.52 | 12.42 | 251,296 | 0.32 | (d) | 4.01 | (d) | 28 | |||||||||
| 0.38 | (3.37 | ) | 239,151 | 0.29 | 4.60 | 40 | ||||||||||
| 3.98 | 4.32 | 257,250 | 0.32 | 3.53 | 20 | |||||||||||
| 0.69 | (1.56 | ) | 256,325 | 0.33 | 3.61 | 27 | ||||||||||
| 5.46 | 5.46 | 263,530 | 0.33 | 3.76 | 23 | |||||||||||
| 10.32 | 11.00 | 259,381 | 0.37 | (d) | 4.04 | (d) | 19 | |||||||||
| 0.73 | (1.51 | ) | 245,069 | 0.34 | 4.58 | 23 | ||||||||||
| (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: |
| NXP | ||||
| Year Ended 3/31: | ||||
| 2018 | — | % | ||
| 2017 | — | |||
| 2016 | — | |||
| 2015 | — | |||
| 2014 | — |
| NXQ | ||||
| Year Ended 3/31: | ||||
| 2018 | — | % | ||
| 2017 | — | |||
| 2016 | — | |||
| 2015 | — | * | ||
| 2014 | — | * |
| (c) | 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. |
| (d) | During the fiscal year ended March 31, 2015, the Adviser voluntarily reimbursed the Fund for certain expenses incurred in connection with an equity shelf program. As a result, the Expenses and Net Investment Income (Loss) Ratios to Average Net Assets reflect this voluntary expense reimbursement. The Expenses and Net Investment Income (Loss) Ratios to Average Net Assets excluding this expense reimbursement from Adviser are as follows: |
| Ratios to Average Net Assets |
|||||||
| NXP | Expense | (b) | Net Investment Income (Loss |
) | |||
| Year Ended 3/31: | |||||||
| 2015 | 0.35 | % | 3.98 | % | |||
| Ratios to Average Net Assets |
|||||||
| NXQ | Expense | (b) | Net Investment Income (Loss) |
||||
| Year Ended 3/31: | |||||||
| 2015 | 0.40 | % | 4.01 | % | |||
| * | Rounds to less than 0.01%. |
See accompanying notes to financial statements.
Financial Highlights (continued)
Selected data for a share outstanding throughout each period:
| Investment Operations | Less Distributions | ||||||||||||||||||||||||||||||
| Beginning NAV |
Net Investment Income (Loss) |
Net Realized/ Unrealized Gain (Loss) |
Total | From Net Investment Income |
From Accumulated Net Realized Gains |
Total | Premium Per Share Sold through Shelf Offering |
Ending NAV |
Ending Share Price |
||||||||||||||||||||||
| NXR | |||||||||||||||||||||||||||||||
| Year Ended 3/31: | |||||||||||||||||||||||||||||||
| 2018 | $ | 15.29 | $ | 0.55 | $ | 0.09 | $ | 0.64 | $ | (0.54 | ) | $ | — | $ | (0.54 | ) | $ | — | $ | 15.39 | $ | 14.23 | |||||||||
| 2017 | 15.76 | 0.57 | (0.51 | ) | 0.06 | (0.53 | ) | — | (0.53 | ) | — | 15.29 | 14.21 | ||||||||||||||||||
| 2016 | 15.34 | 0.58 | 0.40 | 0.98 | (0.56 | ) | — | (0.56 | ) | — | 15.76 | 14.89 | |||||||||||||||||||
| 2015 | 14.46 | 0.60 | 0.89 | 1.49 | (0.61 | ) | — | (0.61 | ) | — | 15.34 | 14.78 | |||||||||||||||||||
| 2014 | 14.94 | 0.64 | (0.49 | ) | 0.15 | (0.63 | ) | — | (0.63 | ) | — | 14.46 | 13.67 | ||||||||||||||||||
| NXC | |||||||||||||||||||||||||||||||
| Year Ended 3/31: | |||||||||||||||||||||||||||||||
| 2018 | 15.00 | 0.57 | 0.09 | 0.66 | (0.58 | ) | (0.06 | ) | (0.64 | ) | —* | 15.02 | 13.90 | ||||||||||||||||||
| 2017 | 15.68 | 0.60 | (0.56 | ) | 0.04 | (0.62 | ) | (0.10 | ) | (0.72 | ) | — | 15.00 | 14.83 | |||||||||||||||||
| 2016 | 15.52 | 0.64 | 0.19 | 0.83 | (0.65 | ) | (0.02 | ) | (0.67 | ) | — | 15.68 | 16.70 | ||||||||||||||||||
| 2015 | 14.83 | 0.66 | 0.82 | 1.48 | (0.68 | ) | (0.11 | ) | (0.79 | ) | — | 15.52 | 15.40 | ||||||||||||||||||
| 2014 | 15.72 | 0.67 | (0.63 | ) | 0.04 | (0.68 | ) | (0.25 | ) | (0.93 | ) | — | 14.83 | 14.25 | |||||||||||||||||
| (a) | Total Return Based on NAV is the combination of changes in 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 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. |
| Ratios/Supplemental Data | ||||||||||||||||
| Total Returns | Ratios to Average Net Assets | |||||||||||||||
| Based on NAV |
(a) | Based on Share Price |
(a) | Ending Net Assets (000 |
) | Expenses | (b) | Net Investment Income (Loss |
) | Portfolio Turnover Rate |
(c) | |||||
| 4.19 | % | 3.87 | % | $ | 200,765 | 0.33 | % | 3.55 | % | 15 | % | |||||
| 0.37 | (1.09 | ) | 199,496 | 0.33 | 3.61 | 29 | ||||||||||
| 6.56 | 4.76 | 205,595 | 0.34 | 3.81 | 22 | |||||||||||
| 10.46 | 12.87 | 200,153 | 0.38 | (d) | 3.99 | (d) | 21 | |||||||||
| 1.18 | (1.02 | ) | 188,653 | 0.35 | 4.51 | 30 | ||||||||||
| 4.37 | (2.23 | ) | 95,357 | 0.37 | 3.73 | 20 | ||||||||||
| 0.20 | (6.98 | ) | 94,310 | 0.37 | 3.89 | 24 | ||||||||||
| 5.51 | 13.25 | 98,494 | 0.37 | 4.18 | 10 | |||||||||||
| 10.20 | 13.84 | 97,421 | 0.37 | 4.30 | 7 | |||||||||||
| 0.50 | 1.07 | 93,011 | 0.38 | 4.55 | 14 | |||||||||||
| (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: |
| NXR | ||||
| Year Ended 3/31: | ||||
| 2018 | — | % | ||
| 2017 | — | |||
| 2016 | — | |||
| 2015 | — | |||
| 2014 | — |
| NXC | ||||
| Year Ended 3/31: | ||||
| 2018 | — | % | ||
| 2017 | — | |||
| 2016 | — | |||
| 2015 | — | |||
| 2014 | 0.01 |
| (c) | 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. |
| (d) | During the fiscal year ended March 31, 2015, the Adviser voluntarily reimbursed the Fund for certain expenses incurred in connection with an equity shelf program. As a result, the Expenses and Net Investment Income (Loss) Ratios to Average Net Assets reflect this voluntary expense reimbursement. The Expenses and Net Investment Income (Loss) Ratios to Average Net Assets excluding this expense reimbursement from Adviser are as follows: |
| Ratios to Average Net Assets |
|||||||
| NXR | Expenses(b) | Net Investment Income (Loss) |
|||||
| Year Ended 3/31: | |||||||
| 2015 | 0.42 | % | 3.96 | % | |||
| * | Rounds to less than $0.01 per share. |
See accompanying notes to financial statements.
Financial Highlights (continued)
Selected data for a share outstanding throughout each period:
| Investment Operations | Less Distributions | |||||||||||||||||||||||||||
| Beginning NAV |
Net Investment Income (Loss) |
Net Realized/ Unrealized Gain (Loss) |
Total | From Net Investment Income |
From Accumulated Net Realized Gains |
Total | Ending NAV |
Ending Share Price |
||||||||||||||||||||
| NXN | ||||||||||||||||||||||||||||
| Year Ended 3/31: | ||||||||||||||||||||||||||||
| 2018 | $ | 14.04 | $ | 0.52 | $ | (0.09 | ) | $ | 0.43 | $ | (0.54 | ) | $ | — | $ | (0.54 | ) | $ | 13.93 | $ | 12.98 | |||||||
| 2017 | 14.53 | 0.55 | (0.49 | ) | 0.06 | (0.55 | ) | — | (0.55 | ) | 14.04 | 13.69 | ||||||||||||||||
| 2016 | 14.52 | 0.57 | (0.01 | ) | 0.56 | (0.55 | ) | — | (0.55 | ) | 14.53 | 14.06 | ||||||||||||||||
| 2015 | 13.95 | 0.56 | 0.58 | 1.14 | (0.57 | ) | — | (0.57 | ) | 14.52 | 14.13 | |||||||||||||||||
| 2014 | 14.70 | 0.60 | (0.72 | ) | (0.12 | ) | (0.63 | ) | — | * | (0.63 | ) | 13.95 | 13.41 | ||||||||||||||
| (a) | Total Return Based on NAV is the combination of changes in 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 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. |
| Ratios/Supplemental Data | ||||||||||||||||
| Total Returns | Ratios to Average Net Assets | |||||||||||||||
| Based on NAV |
(a) | Based on Share Price |
(a) | Ending Net Assets (000 |
) | Expenses | (b) | Net Investment Income (Loss |
) | Portfolio Turnover Rate |
(c) | |||||
| 3.05 | % | (1.41 | )% | $ | 54,679 | 0.43 | % | 3.64 | % | 17 | % | |||||
| 0.40 | 1.26 | 55,120 | 0.44 | 3.83 | 29 | |||||||||||
| 3.98 | 3.63 | 57,031 | 0.42 | 3.97 | 14 | |||||||||||
| 8.31 | 9.84 | 56,988 | 0.43 | 3.92 | 16 | |||||||||||
| (0.69 | ) | (5.46 | ) | 54,751 | 0.43 | 4.35 | 26 | |||||||||
| (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: |
| NXN | ||||
| Year Ended 3/31: | ||||
| 2018 | 0.02 | % | ||
| 2017 | 0.02 | |||
| 2016 | 0.01 | |||
| 2015 | 0.01 | |||
| 2014 | 0.01 |
| (c) | 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. |
| * | Rounds to less than $0.01 per share. |
See accompanying notes to financial statements.
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”) symbols are as follows (each a “Fund” and collectively, the “Funds”):
• Nuveen Select Tax-Free Income Portfolio (NXP)
• Nuveen Select Tax-Free Income Portfolio 2 (NXQ)
• Nuveen Select Tax-Free Income Portfolio 3 (NXR)
• Nuveen California Select Tax-Free Income Portfolio (NXC)
• Nuveen New York Select Tax-Free Income Portfolio (NXN)
The Funds are registered under the Investment Company Act of 1940, as amended, as diversified closed-end management investment companies. NXP, NXQ, NXR, NXC, and NXN were organized as Massachusetts business trusts on January 29, 1992, March 30, 1992, May 28, 1992, March 30, 1992, and March 30, 1992, respectively.
The end of the reporting period for the Funds is March 31, 2018, and the period covered by these Notes to Financial Statements is the fiscal year ended March 31, 2018 (the “current fiscal period”).
Investment Adviser
The Funds’ investment adviser is Nuveen Fund Advisors, LLC (the “Adviser”), a subsidiary of Nuveen, LLC (“Nuveen”). Nuveen is the investment management arm of Teachers Insurance and Annuity Association of America (TIAA). The Adviser has overall responsibility for management of the Funds, oversees the management of the Funds’ portfolios, manages the Funds’ business affairs and provides certain clerical, bookkeeping and other administrative services, and, if necessary, 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 and stable dividends, exempt from regular federal and designated state income taxes, where applicable, consistent with the preservation of capital by investing primarily in a portfolio of municipal obligations.
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.
As of the end of the reporting period, the following Funds’ outstanding when-issued/delayed delivery purchase commitments were as follows:
| NXP | NXQ | NXR | ||||||||
| Outstanding when-issued/delayed delivery purchase commitments | $ | 467,764 | $ | 483,894 | $ | 370,985 |
Investment Income
Investment income is comprised of interest income, which reflects the amortization of premiums and accretion of discounts for financial reporting purposes, and is recorded on an accrual basis. Investment income also reflects payment-in-kind (“PIK”) interest and paydown gains and losses, if any. PIK interest represents income received in the form of securities in lieu of cash.
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 Shareholders
Dividends from net investment income, if any, are declared monthly. Net realized capital gains and/or market discount from investment transactions, if any, are distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards.
Distributions to shareholders of 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.
Compensation
The Funds pay no compensation directly to those of its trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Funds’ Board of Trustees (the “Board”) has adopted a deferred compensation plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of select Nuveen-advised funds.
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, when applicable, 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 from operations during the current fiscal 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). |
Notes to Financial Statements (continued)
Prices of fixed income securities are provided by an independent pricing service (“pricing service”) approved by 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 Level 2. 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 observability 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 net asset value (“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 observability 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:
| NXP | Level 1 | Level 2 | Level 3 | Total | |||||||||
| Long-Term Investments: | |||||||||||||
| Municipal Bonds* | $ | — | $ | 248,457,781 | $ | — | $ | 248,457,781 | |||||
| Corporate Bonds** | — | — | 158,081 | *** | 158,081 | ||||||||
| Total | $ | — | $ | 248,457,781 | $ | 158,081 | $ | 248,615,862 | |||||
| NXQ | |||||||||||||
| Long-Term Investments: | |||||||||||||
| Municipal Bonds* | $ | — | $ | 253,661,236 | $ | — | $ | 253,661,236 | |||||
| Corporate Bonds** | — | — | 247,246 | *** | 247,246 | ||||||||
| Total | $ | — | $ | 253,661,236 | $ | 247,246 | $ | 253,908,482 | |||||
| NXR | |||||||||||||
| Long-Term Investments: | |||||||||||||
| Municipal Bonds* | $ | — | $ | 198,944,946 | $ | — | $ | 198,944,946 | |||||
| Corporate Bonds** | — | — | 69,670 | *** | 69,670 | ||||||||
| Total | $ | — | $ | 198,944,946 | $ | 69,670 | $ | 199,014,616 | |||||
| NXC | |||||||||||||
| Long-Term Investments**: | |||||||||||||
| Municipal Bonds | $ | — | $ | 87,657,917 | $ | — | $ | 87,657,917 | |||||
| Short-Term Investments**: | |||||||||||||
| Municipal Bonds | — | 1,000,000 | — | 1,000,000 | |||||||||
| Total | $ | — | $ | 88,657,917 | $ | — | $ | 88,657,917 | |||||
| NXN | |||||||||||||
| Long-Term Investments**: | |||||||||||||
| Municipal Bonds | $ | — | $ | 54,563,506 | $ | — | $ | 54,563,506 |
| * | Refer to the Fund’s Portfolio of Investments for state classifications. |
| ** | Refer to the Fund’s Portfolio of Investments for industry classifications. |
| *** | Refer to the Fund’s Portfolio of Investments for securities classified as Level 3. |
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”).
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
Notes to Financial Statements (continued)
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” 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:
| Floating Rate Obligations Outstanding | NXP | NXQ | NXR | NXC | NXN | |||||||||||
| Floating rate obligations: self-deposited Inverse Floaters | $ | — | $ | — | $ | — | $ | — | $ | 425,000 | ||||||
| Floating rate obligations: externally-deposited Inverse Floaters | 2,250,000 | 3,750,000 | — | — | 1,890,000 | |||||||||||
| Total | $ | 2,250,000 | $ | 3,750,000 | $ | — | $ | — | $ | 2,315,000 |
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:
| Self-Deposited Inverse Floaters | NXP | NXQ | NXR | NXC | NXN | |||||||||||
| Average floating rate obligations outstanding | $ | — | $ | — | $ | — | $ | — | $ | 836,562 | ||||||
| Average annual interest rate and fees | — | % | — | % | — | % | — | % | 1.50 | % |
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”) (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 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:
| Floating Rate Obligations – Recourse Trusts | NXP | NXQ | NXR | NXC | NXN | |||||||||||
| Maximum exposure to Recourse Trusts: self-deposited Inverse Floaters | $ | — | $ | — | $ | — | $ | — | $ | 425,000 | ||||||
| Maximum exposure to Recourse Trusts: externally-deposited Inverse Floaters | 2,250,000 | 3,750,000 | — | — | — | |||||||||||
| Total | $ | 2,250,000 | $ | 3,750,000 | $ | — | $ | — | $ | 425,000 |
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 the 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
Shares Equity Shelf Program and Offering Costs
NXC has filed a registration statement with the Securities and Exchange Commission (“SEC”) authorizing the Fund to issue additional shares through one or more equity shelf programs (“Shelf Offering”), which became effective with the SEC during the current fiscal period.
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 share. In the event the Fund’s Shelf Offering registration statement is no longer current, the Fund may not issue additional shares until a post-effective amendment to the registration statement has been filed with the SEC.
Additional authorized shares, shares sold and offering proceeds, net of offering costs under the Fund’s Shelf Offering during the Fund’s current fiscal period were as follows:
| NXC | ||||
| Year Ended 3/31/18 |
* | |||
| Additional authorized shares | 600,000 | |||
| Shares sold | 60,043 | |||
| Offering proceeds, net of offering costs | $ | 810,179 | ||
| * | Represents additional authorized shares for the period August 16, 2017 through March 31, 2018. |
Notes to Financial Statements (continued)
Costs incurred by the Fund in connection with its initial shelf registrations are recorded as a prepaid expense and recognized as “Deferred offering costs” on the Statement of Assets and Liabilities. These costs are amortized pro rata as shares are sold and are recognized as a component of “Proceeds from shelf offering, net of offering costs” on the Statement of Changes in Net Assets. Any deferred offering costs remaining one year after effectiveness of the initial shelf registration will be expensed. Costs incurred by the Fund to keep the shelf registration current are expensed as incurred and recognized as a component of “Other expenses” on the Statement of Operations.
Shares Transactions
Transactions in shares during the Funds’ current and prior fiscal period, where applicable, were as follows:
| NXC | NXN | ||||||||||||
| Year | Year | Year | Year | ||||||||||
| Ended | Ended | Ended | Ended | ||||||||||
| 3/31/18 | 3/31/17 | 3/31/18 | 3/31/17 | ||||||||||
| Shares: | |||||||||||||
| Issued to shareholders due to reinvestment of distributions | 3,121 | 5,403 | — | 919 | |||||||||
| Sold through shelf offering | 60,043 | — | N/A | N/A | |||||||||
| Weighted average share: | |||||||||||||
| Premium to NAV per shelf offering share sold | 2.41 | % | — | % | N/A | N/A | |||||||
N/A – The Fund is not authorized to issue additional shares through a shelf offering.
5. Investment Transactions
Long-term purchases and sales (including maturities) during the current fiscal period were as follows:
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Purchases | $ | 51,297,914 | $ | 50,705,468 | $ | 31,917,395 | $ | 18,635,589 | $ | 9,094,809 | ||||||
| Sales and maturities | 48,219,410 | 49,877,417 | 30,622,847 | 23,636,838 | 9,437,980 |
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 designated state income taxes, to retain such tax-exempt status when distributed to shareholders of the Funds. Net realized capital gains and ordinary income distributions paid by the Funds are subject to federal taxation.
For all open tax years and all major taxing jurisdictions, management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally 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.
The table below presents the cost and unrealized appreciation (depreciation) of each Fund’s investment portfolio, as determined on a federal income tax basis, as of March 31, 2018.
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Tax cost of investments | $ | 223,208,846 | $ | 233,141,025 | $ | 175,110,015 | $ | 81,575,731 | $ | 52,034,104 | ||||||
| Gross unrealized: | ||||||||||||||||
| Appreciation | $ | 26,724,240 | $ | 22,179,081 | $ | 24,954,953 | $ | 7,203,017 | $ | 2,174,622 | ||||||
| Depreciation | (1,317,224 | ) | (1,411,624 | ) | (1,050,352 | ) | (120,831 | ) | (69,468 | ) | ||||||
| Net unrealized appreciation (depreciation) of investments | $ | 25,407,016 | $ | 20,767,457 | $ | 23,904,601 | $ | 7,082,186 | $ | 2,105,154 |
Permanent differences, primarily due to distribution reallocations, taxable market discount and federal taxes paid, resulted in reclassifications among the Funds’ components of net assets as of March 31, 2018, the Funds’ tax year end, as follows:
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Paid-in-surplus | $ | (182 | ) | $ | (195 | ) | $ | (164 | ) | $ | — | $ | — | |||
| Undistributed (Over-distribution of) net investment income | (7,839 | ) | (168,379 | ) | (80,921 | ) | (4,003 | ) | (7,082 | ) | ||||||
| Accumulated net realized gain (loss) | 8,021 | 168,574 | 81,085 | 4,003 | 7,082 |
The tax components of undistributed net tax-exempt income, net ordinary income and net long-term capital gains as of March 31, 2018, the Funds’ tax year end, were as follows:
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Undistributed net tax-exempt income1 | $ | 553,621 | $ | 426,599 | $ | 263,457 | $ | 53,622 | $ | 95,779 | ||||||
| Undistributed net ordinary income2 | 21,292 | 1,099 | 112 | 14,340 | — | |||||||||||
| Undistributed net long-term capital gains | — | — | — | — | — |
| 1 | Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on March 1, 2018, paid on April 2, 2018. |
| 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 March 31, 2018 and March 31, 2017, was designated for purposes of the dividends paid deduction as follows:
| 2018 | NXP | NXQ | NXR | NXC | NXN | |||||||||||
| Distributions from net tax-exempt income3 | $ | 9,047,389 | $ | 8,927,719 | $ | 6,809,782 | $ | 3,663,427 | $ | 2,119,394 | ||||||
| Distributions from net ordinary income2 | 140,848 | 356,046 | 220,470 | 16,317 | 3,188 | |||||||||||
| Distributions from net long-term capital gains4 | — | — | — | 357,343 | — | |||||||||||
| 2017 | NXP | NXQ | NXR | NXC | NXN | |||||||||||
| Distributions from net tax-exempt income | $ | 9,047,389 | $ | 9,186,869 | $ | 6,966,329 | $ | 3,903,057 | $ | 2,166,287 | ||||||
| Distributions from net ordinary income2 | 71,252 | 6,556 | 14,350 | — | — | |||||||||||
| Distributions from net long-term capital gains | — | — | — | 615,450 | — |
| 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 March 31, 2018, as Exempt Interest Dividends. |
| 4 | The Funds hereby 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 March 31, 2018. |
As of March 31, 2018, 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.
| NXP | NXQ | NXR | NXN | ||||||||||
| Expiration: March 31, 2019 | $ | — | $ | 335,742 | $ | — | $ | — | |||||
| Not subject to expiration | 4,949,754 | 8,930,729 | 2,503,440 | 1,253,214 | |||||||||
| Total | $ | 4,949,754 | $ | 9,266,471 | $ | 2,503,440 | $ | 1,253,214 |
During the Funds’ tax year ended March 31, 2018, the following Funds utilized capital loss carryforwards as follows:
| NXP | NXQ | NXR | NXN | ||||||||||
| Utilized capital loss carryforwards | $ | 1,067,699 | $ | 1,501,370 | $ | 990,065 | $ | 57,974 |
The Funds have elected to defer late-year losses in accordance with federal income tax rules. These losses are treated as having arisen on the first day of the following fiscal year. The following Fund has elected to defer losses as follows:
| NXC | ||||
| Post-October capital losses5 | $ | 4,748 | ||
| Late-year ordinary losses6 | — |
| 5 | Capital losses incurred from November 1, 2017 through March 31, 2018, the Funds’ tax year end. |
| 6 | Ordinary losses incurred from January 1, 2018 through March 31, 2018 and/or specified losses incurred from November 1, 2017 through March 31, 2018. |
Notes to Financial Statements (continued)
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 each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. 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.
The annual fund-level fee, payable monthly, for NXP, is calculated according to the following schedule:
| NXP | ||||
| Average Daily Net Assets | Fund-Level Fee Rate | |||
| For the first $125 million | 0.0500 | % | ||
| For the next $125 million | 0.0375 | |||
| For the next $250 million | 0.0250 | |||
| For the next $500 million | 0.0125 | |||
The annual fund-level fee, payable monthly, for each Fund (excluding NXP) is calculated according to the following schedule:
| NXQ | ||||
| NXR | ||||
| NXC | ||||
| NXN | ||||
| Average Daily Net Assets | Fund-Level Fee Rate | |||
| For the first $125 million | 0.1000 | % | ||
| For the next $125 million | 0.0875 | |||
| For the next $250 million | 0.0750 | |||
| For the next $500 million | 0.0625 | |||
| For the next $1 billion | 0.0500 | |||
| For the next $3 billion | 0.0250 | |||
| For managed assets over $5 billion | 0.0125 | |||
The annual complex-level fee, payable monthly, for each Fund is calculated by multiplying the current complex-wide fee rate, determined according to the following schedule by the Fund’s daily net assets:
| Complex-Level Eligible Asset Breakpoint Level* | Effective Complex-Level Fee 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 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 open-end and closed-end funds that constitute “eligible assets.” Eligible assets do not include assets attributable to investments in other Nuveen funds or assets in excess of a determined amount (orignally $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 March 31, 2018, the complex-level fee for each Fund was 0.1595%. |
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 trade 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. 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.
During the current fiscal period, the following Funds engaged in inter-fund trades pursuant to these procedures as follows:
| Inter-Fund Trades | NXP | NXQ | |||||
| Purchases | $ | — | $ | 1,289,153 | |||
| Sales | 1,289,153 | — |
8. Borrowing Arrangements
Uncommitted Line of Credit
During the current fiscal period, the Funds participated in an unsecured bank line of credit (“Unsecured Credit Line”) under which outstanding balances would bear interest at a variable rate. Although the Funds participated in the Unsecured Credit Line, they did not have any outstanding balances during the current fiscal period.
The Unsecured Credit Line was not renewed after its scheduled termination date on July 27, 2017.
Committed Line of Credit
The Funds, along with certain other funds managed by the Adviser (“Participating Funds”), have established a 364-day, approximately $3 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 2018 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 1.00% (1.25% prior to July 27, 2017) per annum or (b) the Fed Funds rate plus 1.00% (1.25% prior to July 27, 2017) 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, the Funds utilized this facility. The Funds’ maximum outstanding balance during the utilization period was as follows:
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Maximum Outstanding Balance | $ | 153,974 | $ | 1,279,453 | $ | 987,978 | $ | 562,493 | $ | 431,159 |
During each Fund’s utilization periods, during the current fiscal period, the average daily balance outstanding and average annual interest rate on the Borrowings were as follows:
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| Average daily balance outstanding | $ | 153,974 | $ | 1,279,453 | $ | 987,978 | $ | 562,493 | $ | 431,159 | ||||||
| Average annual interest rate | 2.56 | % | 2.56 | % | 2.56 | % | 2.56 | % | 2.56 | % |
Borrowings outstanding as of the end of the reporting period are recognized as “Borrowings” on the Statement of Assets and Liabilities, where applicable.
Inter-Fund Borrowing and Lending
The SEC has granted an exemptive order permitting registered open-end and closed-end Nuveen funds to participate in an inter-fund lending facility whereby the Nuveen funds may directly lend to and borrow money from each other for temporary purposes (e.g., to satisfy redemption requests or when a sale of securities “fails,” resulting in an unanticipated cash shortfall) (the “Inter-Fund Program”). The closed-end Nuveen funds, including the
Notes to Financial Statements (continued)
Funds covered by this shareholder report, will participate only as lenders, and not as borrowers, in the Inter-Fund Program because such closed-end funds rarely, if ever, need to borrow cash to meet redemptions. The Inter-Fund Program is subject to a number of conditions, including, among other things, the requirements that (1) no fund may borrow or lend money through the Inter-Fund Program unless it receives a more favorable interest rate than is typically available from a bank or other financial institution for a comparable transaction; (2) no fund may borrow on an unsecured basis through the Inter-Fund Program unless the fund’s outstanding borrowings from all sources immediately after the inter-fund borrowing total 10% or less of its total assets; provided that if the borrowing fund has a secured borrowing outstanding from any other lender, including but not limited to another fund, the inter-fund loan must be secured on at least an equal priority basis with at least an equivalent percentage of collateral to loan value; (3) if a fund’s total outstanding borrowings immediately after an inter-fund borrowing would be greater than 10% of its total assets, the fund may borrow through the inter-fund loan on a secured basis only; (4) no fund may lend money if the loan would cause its aggregate outstanding loans through the Inter-Fund Program to exceed 15% of its net assets at the time of the loan; (5) a fund’s inter-fund loans to any one fund shall not exceed 5% of the lending fund’s net assets; (6) the duration of inter-fund loans will be limited to the time required to receive payment for securities sold, but in no event more than seven days; and (7) each inter-fund loan may be called on one business day’s notice by a lending fund and may be repaid on any day by a borrowing fund. In addition, a Nuveen fund may participate in the Inter-Fund Program only if and to the extent that such participation is consistent with the fund’s investment objective and investment policies. The Board is responsible for overseeing the Inter-Fund Program.
The limitations detailed above and the other conditions of the SEC exemptive order permitting the Inter-Fund Program are designed to minimize the risks associated with Inter-Fund Program for both the lending fund and the borrowing fund. However, no borrowing or lending activity is without risk. When a fund borrows money from another fund, there is a risk that the loan could be called on one day’s notice or not renewed, in which case the fund may have to borrow from a bank at a higher rate or take other actions to payoff such loan if an inter-fund loan is not available from another fund. Any delay in repayment to a lending fund could result in a lost investment opportunity or additional borrowing costs.
During May 2017, the Board approved the Nuveen funds participation in the Inter-Fund Program. During the current reporting period, none of the Funds covered by this shareholder report have entered into any inter-fund loan activity.
9. New Accounting Pronouncements
FASB Accounting Standards Update (“ASU”) 2017-08 (“ASU 2017-08”) Premium Amortization on Purchased Callable Debt Securities
The FASB has issued ASU 2017-08, which shortens the premium amortization period for purchased non-contingently callable debt securities. ASU 2017-08 specifies that the premium amortization period ends at the earliest call date, for purchased non-contingently callable debt securities. ASU 2017-08 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Management is currently evaluating the implications of ASU 2017-08, if any.
Additional Fund Information (Unaudited)
| Board of Trustees | |||||
| Margo Cook* Judith M. Stockdale |
Jack B. Evans Carole E. Stone |
William C. Hunter Terence J. Toth |
Albin F. Moschner Margaret L. Wolff |
John K. Nelson Robert L. Young |
William J. Schneider |
| * Interested Board Member. | |||||
| Fund Manager Nuveen Fund Advisors, LLC 333 West Wacker Drive Chicago, IL 60606 |
Custodian State Street Bank & Trust Company One Lincoln Street Boston, MA 02111 |
Legal Counsel Chapman and Cutler LLP Chicago, IL 60603 |
Independent Registered Public Accounting Firm KPMG LLP 200 East Randolph Street Chicago, IL 60601 |
Transfer Agent and Shareholder Services Computershare Trust Company, N.A. 250 Royall Street Canton, MA 02021 (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 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 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. |
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. |
| NXP | NXQ | NXR | NXC | NXN | ||||||||||||
| 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.
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. |
| ■ | Forward Interest Rate Swap: A contractual agreement between two counterparties under which one party agrees to make periodic payments to the other for an agreed period of time based on a fixed rate, while the other party agrees to make periodic payments based on a floating rate of interest based on an underlying index. Alternatively, both series of cashflows to be exchanged could be calculated using floating rates of interest but floating rates that are based upon different underlying indexes. |
| ■ | 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. |
| ■ | Industrial Development Revenue Bond (IDR): A unique type of revenue bond issued by a state or local government agency on behalf of a private sector company and intended to build or acquire factories or other heavy equipment and tools. |
| ■ | 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. |
| ■ | 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. |
| ■ | 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. |
| ■ | S&P Municipal Bond New York Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment grade New York 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. |
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.
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 set at eleven. None of the trustees who are not “interested” persons of the Funds (referred to herein as “independent board members”) 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, Year of Birth & Address |
Position(s) Held with the Funds |
Year First Elected or Appointed and Term(1) |
Principal Occupation(s) Including other Directorships During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by 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; Board Member of WDPR Public Radio station; formerly, Senior Partner and Chief Operating Officer (retired (2004) of Miller-Valentine Group; formerly, Board member, Business Advisory Council of the Cleveland Federal Reserve Bank and University of Dayton Business School Advisory Council; past Chair and Director, Dayton Development Coalition. | 171 |
||||
| ■ | 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, Public Member, American Board of Orthopaedic Surgery (since 2015); Life Trustee of Coe College and the Iowa College Foundation; formerly, President Pro-Tem of the Board of Regents for the State of Iowa University System; formerly, Director, Alliant Energy and The Gazette Company; formerly, Director, Federal Reserve Bank of Chicago; formerly, President and Chief Operating Officer, SCI Financial Group, Inc., a regional financial services firm. | 171 |
||||
| ■ | WILLIAM C. HUNTER 1948 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2003 Class I |
Dean Emeritus, formerly, Dean, Tippie College of Business, University of Iowa (2006-2012); Director (since 2004) of Xerox Corporation; Director of Wellmark, Inc. (since 2009); past Director (2005-2015), and past President (2010-2014) Beta Gamma Sigma, Inc., The International Business Honor Society; 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. | 171 |
||||
| ■ | ALBIN F. MOSCHNER 1952 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2016 Class III |
Founder and Chief Executive Officer, Northcroft Partners, LLC, a management consulting firm (since 2012); Director, USA Technologies, Inc., a provider of solutions and services to facilitate electronic payment transactions (since 2012); formerly, Director, Wintrust Financial Corporation (1996-2016); previously, held positions at Leap Wireless International, Inc., including Consultant (2011-2012), Chief Operating Officer (2008-2011), and Chief Marketing Officer (2004-2008); formerly, President, Verizon Card Services division of Verizon Communications, Inc. (2000-2003); formerly, President, One Point Services at One Point Communications (1999-2000); formerly, Vice Chairman of the Board, Diba, Incorporated (1996-1997); formerly, various executive positions with Zenith Electronics Corporation (1991-1996). | 171 |
||||
Board Members & Officers (Unaudited) (continued)
| Name, Year of Birth & Address |
Position(s) Held with the Funds |
Year First Elected or Appointed and Term(1) |
Principal Occupation(s) Including other Directorships During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by 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. | 171 |
||||
| ■ | 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). | 171 |
||||
| ■ | CAROLE E. STONE 1947 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2007 Class I |
Former Director, Chicago Board Options Exchange, Inc. (2006-2017); and C2 Options Exchange, Incorporated (2009-2017); Director, CBOE Global Markets, Inc., formerly, CBOE Holdings, Inc. (since 2010); formerly, Commissioner, New York State Commission on Public Authority Reform (2005-2010). | 171 |
||||
| ■ | TERENCE J. TOTH 1959 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2008 Class II |
Formerly, a Co-Founding Partner, Promus Capital (2008-2017); Director, Fulcrum IT Service LLC (since 2010) and Quality Control Corporation (since 2012); member: Catalyst Schools of Chicago Board (since 2008) and Mather Foundation Board (since 2012), and chair of its Investment Committee; 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); 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). | 171 |
||||
| ■ | MARGARET L. WOLFF 1955 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2016 Class I |
Formerly, member of the Board of Directors (2013-2017) 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. | 171 |
||||
| Name, Year of Birth & Address |
Position(s) Held with the Funds |
Year First Elected or Appointed and Term(1) |
Principal Occupation(s) Including other Directorships During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by Board Member |
|||||
| Independent Board Members (continued): | |||||||||
| ■ | ROBERT L. YOUNG(2) 1963 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2017 Class II |
Formerly, Chief Operating Officer and Director, J.P.Morgan Investment Management Inc. (2010-2016); formerly, President and Principal Executive Officer (2013-2016), and Senior Vice President and Chief Operating Officer (2005-2010), of J.P.Morgan Funds; formerly, Director and various officer positions for J.P.Morgan Investment Management Inc. (formerly, JPMorgan Funds Management, Inc. and formerly, One Group Administrative Services) and JPMorgan Distribution Services, Inc. (formerly, One Group Dealer Services, Inc.) (1999-2017). | 169 |
||||
| Interested Board Member: | |||||||||
| ■ | MARGO L. COOK(3)(4) 1964 333 W. Wacker Drive Chicago, IL 6o6o6 |
Board Member |
2016 Class III |
President (since April 2017), formerly, Co-Chief Executive Officer and Co-President (2016-2017), formerly, Senior Executive Vice President of Nuveen Investments, Inc.; President, Global Products and Solutions (since July 2017), and, Co-Chief Executive Officer (since 2015), formerly, Executive Vice President (2013-2015), of Nuveen Securities, LLC; Executive Vice President (since February 2017) of Nuveen, LLC; President (since August 2017), formerly Co-President (October 2016- August 2017), formerly, Senior Executive Vice President of Nuveen Fund Advisors, LLC (Executive Vice President since 2011); President (since 2017), Nuveen Alternative Investments, LLC; Chartered Financial Analyst. | 171 |
||||
| Name, Year of Birth & Address |
Position(s) Held with the Funds |
Year First Elected or Appointed(4) |
Principal Occupation(s) During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by Officer |
|||||
| Officers of the Funds: | |||||||||
| ■ | CEDRIC H. ANTOSIEWICZ 1962 333 W. Wacker Drive Chicago, IL 6o6o6 |
Chief Administrative Officer |
2007 |
Senior Managing Director (since January 2017), formerly, Managing Director (2004-2017) of Nuveen Securities, LLC; Senior Managing Director (since February 2017), formerly, Managing Director (2014-2017) of Nuveen Fund Advisors, LLC. | 75 |
||||
| ■ | 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; Managing Director (since 2016) of Nuveen Securities, LLC Managing Director (since 2016) of Nuveen Alternative Investments, LLC; Certified Public Accountant. | 171 |
||||
| ■ | NATHANIEL T. JONES 1979 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President and Treasurer |
2016 |
Managing Director (since January 2017), formerly, Senior Vice President (2016-2017), formerly, Vice President (2011-2016) of Nuveen.; Chartered Financial Analyst. | 171 |
||||
| ■ | WALTER M. KELLY 1970 333 W. Wacker Drive Chicago, IL 6o6o6 |
Chief Compliance Officer and Vice President |
2003 |
Managing Director (since January 2017), formerly, Senior Vice President (2008-2017) of Nuveen. | 171 |
||||
Board Members & Officers (Unaudited) (continued)
| Name, Year of Birth & Address |
Position(s) Held with the Funds |
Year First Elected or Appointed(4) |
Principal Occupation(s) During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by Officer |
|||||
| Officers of the Funds (continued): | |||||||||
| ■ | DAVID J. LAMB 1963 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President |
2015 |
Managing Director (since January 2017), formerly, Senior Vice President of Nuveen (since 2006), Vice President prior to 2006. | 75 |
||||
| ■ | TINA M. LAZAR 1961 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President |
2002 |
Managing Director (since January 2017), formerly, Senior Vice President (2014-2017) of Nuveen Securities, LLC. | 171 |
||||
| ■ | KEVIN J. MCCARTHY 1966 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President and Assistant Secretary |
2007 |
Senior Managing Director (since February 2017) and Secretary and General Counsel (since 2016) of Nuveen Investments, Inc., formerly, Executive Vice President (2016-2017) and Managing Director and Assistant Secretary (2008-2016); Senior Managing Director (since January 2017) and Assistant Secretary (since 2008) of Nuveen Securities, LLC, formerly Executive Vice President (2016-2017) and Managing Director (2008-2016); Senior Managing Director (since February 2017), Secretary (since 2016) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC, formerly, Executive Vice President (2016- 2017), Managing Director (2008-2016) and Assistant Secretary (2007-2016); Senior Managing Director (since February 2017), Secretary (since 2016) and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC, formerly Executive Vice President (2016-2017) and Managing Director and Assistant Secretary (2011-2016); Senior Managing Director (since February 2017) and Secretary (since 2016) of Nuveen Investments Advisers, LLC, formerly Executive Vice President (2016-2017); Vice President (since 2007) and Secretary (since 2016), formerly, Assistant Secretary, of NWQ Investment Management Company, LLC, Symphony Asset Management LLC, Santa Barbara Asset Management, LLC and Winslow Capital Management, LLC (since 2010). Senior Managing Director (since 2017) and Secretary (since 2016) of Nuveen Alternative Investments, LLC. | 171 |
||||
| ■ | WILLIAM T. MEYERS 1966 333 W. Wacker Drive Chicago, IL 60606 |
Vice President |
2018 |
Senior Managing Director (since 2017), formerly, Managing Director (2016-2017), Senior Vice President (2010-2016) of Nuveen Securities, LLC; Senior Managing Director (since 2017), formerly, Managing Director (2016-2017), Senior Vice President (2010-2016) of Nuveen, has held various positions with Nuveen since 1991. | 75 |
||||
| ■ | MICHAEL A. PERRY 1967 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President |
2017 |
Executive Vice President since February 2017, previously Managing Director from October 2016), of Nuveen Fund Advisors, LLC and Nuveen Alternative Investments, LLC; Executive Vice President (since 2017), formerly, Managing Director (2015-2017), of Nuveen Securities, LLC; formerly, Managing Director (2010-2015) of UBS Securities, LLC. | 75 |
||||
| ■ | CHRISTOPHER M. ROHRBACHER 1971 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President and Assistant Secretary |
2008 |
Managing Director (since January 2017) of Nuveen Securities, LLC; 2008 Managing Director (since January 2017), formerly, Senior Vice President (2016-2017) and Assistant Secretary (since October 2016) of Nuveen Fund Advisors, LLC. | 171 |
||||
| ■ | WILLIAM A. SIFFERMANN 1975 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President |
2017 |
Managing Director (since February 2017), formerly Senior Vice President (2016-2017) and Vice President (2011-2016) of Nuveen. | 171 |
||||
| ■ | 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). | 171 |
||||
| Name, Year of Birth & Address |
Position(s) Held with the Funds |
Year First Elected or Appointed(4) |
Principal Occupation(s) During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by Officer |
|||||
| Officers of the Funds (continued): | |||||||||
| ■ | MARK L. WINGET 1968 333 W. Wacker Drive Chicago, IL 60606 |
Vice President and Assistant Secretary |
2008 |
Vice President and Assistant Secretary of Nuveen Securities, LLC (since 2008); Vice President (since 2010) and Associate General Counsel (since 2008) of Nuveen. | 171 |
||||
| ■ | GIFFORD R. ZIMMERMAN 1956 333 W. Wacker Drive Chicago, IL 6o6o6 |
Vice President Secretary |
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); Vice President (since February 2017), formerly, Managing Director (2003-2017) and Assistant Secretary (since 2003) of Symphony Asset Management LLC; Managing Director and Assistant Secretary (since 2002) of Nuveen Investments Advisers, LLC; Vice President and Assistant Secretary of NWQ Investment Management Company, LLC (since 2002), Santa Barbara Asset Management, LLC (since 2006), and of Winslow Capital Management, LLC, (since 2010); Chartered Financial Analyst. | 171 |
||||
| (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. Terence J. Toth has been appointed Chairman of the Board to take effect July 1, 2018. |
| (2) | On May 25, 2017, Mr. Young was appointed as a Board Member, effective July 1, 2017. He is a Board Member of each of the Nuveen Funds, except Nuveen Diversified Dividend and Income Fund and Nuveen Real Estate Income Fund. |
| (3) | “Interested person” as defined in the 1940 Act, by reason of her position with Nuveen, LLC. and certain of its subsidiaries, which are affiliates of the Nuveen Funds. |
| (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. |
Notes
Notes
Nuveen:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied on Nuveen to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality solutions designed to be integral components of a well-diversified core portfolio.
Focused on meeting investor needs.
Nuveen is the investment manager of TIAA. We have grown into one of the world’s premier global asset managers, with specialist knowledge across all major asset classes and particular strength in solutions that provide income for investors and that draw on our expertise in alternatives and responsible investing. Nuveen is driven not only by the independent investment processes across the firm, but also the insights, risk management, analytics and other tools and resources that a truly world-class platform provides. As a global asset manager, our mission is to work in partnership with our clients to create solutions which help them secure their financial future.
Find out how we can help you.
To learn more about how the products and services of Nuveen may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen, 333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: www.nuveen.com/closed-end-funds
| Distributed by Nuveen Securities, LLC | 333 West Wacker Drive Chicago, IL 60606 | www.nuveen.com |  |
EAN-B-0318D 491820-INV-Y-05/19
|
|
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
|
||||||||||||
|
March 31, 2018
|
$
|
24,750
|
$
|
0
|
$
|
0
|
$
|
0
|
||||||||
|
Percentage approved
|
0
|
%
|
0
|
%
|
0
|
%
|
0
|
%
|
||||||||
|
pursuant to
|
||||||||||||||||
|
pre-approval
|
||||||||||||||||
|
exception
|
||||||||||||||||
|
March 31, 2017
|
$
|
24,090
|
$
|
0
|
$
|
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 engagements pertaining to the Fund’s use of leverage.
|
||||||||||||||||
|
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
|
|
March 31, 2018
|
$ 0
|
$ 0
|
$ 0
|
|
Percentage approved
|
0%
|
0%
|
0%
|
|
pursuant to
|
|||
|
pre-approval
|
|||
|
exception
|
|||
|
March 31, 2017
|
$ 0
|
$ 0
|
$ 0
|
|
Percentage approved
|
0%
|
0%
|
0%
|
|
pursuant to
|
|||
|
pre-approval
|
|||
|
exception
|
|
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
|
|
March 31, 2018
|
$ 0
|
$ 0
|
$ 0
|
$ 0
|
|
March 31, 2017
|
$ 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.
|
||||
|
Portfolio Manager
|
Type of Account
Managed |
Number of
Accounts |
Assets*
|
|
Michael Hamilton
|
Registered Investment Company
|
11
|
$2.37 billion
|
|
|
Other Pooled Investment Vehicles
|
0
|
$0
|
|
|
Other Accounts
|
2
|
$144 million
|
| * |
Assets are as of March 31, 2018. None of the assets in these accounts are subject to an advisory fee based on performance.
|
|
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
|
|
Michael Hamilton
|
X
|
|
(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.
|
|
(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.
|