NUW Nuveen AMT Free Municipal Value Fund

 

 

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INVESTMENT ADVISER NAME CHANGE

 

Effective January 1, 2011, Nuveen Asset Management, the Funds’ investment adviser, changed its name to Nuveen Fund Advisors, Inc. (“Nuveen Fund Advisors”). Concurrently, Nuveen Fund Advisors formed a wholly-owned subsidiary, Nuveen Asset Management, LLC, to house its portfolio management capabilities.

 

NUVEEN INVESTMENTS COMPLETES STRATEGIC COMBINATION WITH FAF ADVISORS

 

On December 31, 2010, Nuveen Investments completed the strategic combination between Nuveen Asset Management, LLC, the largest investment affiliate of Nuveen Investments, and FAF Advisors. As part of this transaction, U.S. Bancorp – the parent of FAF Advisors – received cash consideration and a 9.5% stake in Nuveen Investments in exchange for the long-term investment business of FAF Advisors, including investment management responsibilities for the non-money market mutual funds of the First American Funds family. 

 

The approximately $27 billion of mutual fund and institutional assets managed by FAF Advisors, along with the investment professionals managing these assets and other key personnel, have become part of Nuveen Asset Management, LLC. With these additions to Nuveen Asset Management, LLC, this affiliate now manages more than $100 billion of assets across a broad range of strategies from municipal and taxable fixed income to traditional and specialized equity investments.

 

This combination does not affect the investment objectives or strategies of the Funds in this report. Over time, Nuveen Investments expects that the combination will provide even more ways to meet the needs of investors who work with financial advisors and consultants by enhancing the multi-boutique model of Nuveen Investments, which also includes highly respected investment teams at HydePark, NWQ Investment Management, Santa Barbara Asset Management, Symphony Asset Management, Tradewinds Global Investors and Winslow Capital. Nuveen Investments managed approximately $206 billion of assets as of March 31, 2011.

 

 

 

 

 

Table of Contents

 

 

 

 

 

 

 

 

 

Chairman’s Letter to Shareholders	4
Portfolio Managers’ Comments	5
Dividend and Share Price Information	10
Performance Overviews	12
Portfolios of Investments	16
Statement of Assets and Liabilities	51
Statement of Operations	52
Statement of Changes in Net Assets	53
Financial Highlights	55
Notes to Financial Statements	58
Board Approval of Sub-Advisory Arrangements	68
Reinvest Automatically, Easily and Conveniently	69
Glossary of Terms Used in this Report	71
Other Useful Information	75

 

 

 

 

 

Chairman’s

Letter to Shareholders

 

 

Dear Shareholders,

 

In 2010, the global economy recorded another year of recovery from the financial and economic crises of 2008, but many of the factors that caused the downturn still weigh on the prospects for continued improvement. In the U.S., ongoing weakness in housing values has put pressure on homeowners and mortgage lenders. Similarly, the strong earnings recovery for corporations and banks is only slowly being translated into increased hiring or more active lending. Globally, deleveraging by private and public borrowers has inhibited economic growth and that process is far from complete.

 

Encouragingly, constructive actions are being taken by governments around the world to deal with economic issues. In the U.S., the recent passage of a stimulatory tax bill relieved some of the pressure on the Federal Reserve to promote economic expansion through quantitative easing and offers the promise of sustained economic growth. A number of European governments are undertaking programs that could significantly reduce their budget deficits. Governments across the emerging markets are implementing various steps to deal with global capital flows without undermining international trade and investment.

 

The success of these government actions could determine whether 2011 brings further economic recovery and financial market progress. One risk associated with the extraordinary efforts to strengthen U.S. economic growth is that the debt of the U.S. government will continue to grow to unprecedented levels. Another risk is that over time there could be inflationary pressures on asset values in the U.S. and abroad, because what happens in the U.S. impacts the rest of the world economy. Also, these various actions are being taken in a setting of heightened global economic uncertainty, primarily about the supplies of energy and other critical commodities. In this challenging environment, your Nuveen investment team continues to seek sustainable investment opportunities and to remain alert to potential risks in a recovery still facing many headwinds. On your behalf, we monitor their activities to assure they maintain their investment disciplines.

 

As you will note elsewhere in this report, on December 31, 2010, Nuveen Investments completed a strategic combination with FAF Advisors, Inc., the manager of the First American Funds. The combination adds highly respected and distinct investment teams to meet the needs of investors and their advisors and is designed to benefit all fund shareholders by creating a fund organization with the potential for further economies of scale and the ability to draw from even greater talent and expertise to meet those investor needs.

 

As of the end of June 2011, Nuveen Investments had completed the refinancing of all of the Auction Rate Preferred Securities issued by its taxable closed-end funds and 91% of the MuniPreferred shares issued by its tax-exempt closed-end funds. Please consult the Nuveen Investments web site, www.Nuveen.com, for the current status of this important refinancing program.

 

As always, I encourage you to contact your financial consultant if you have any questions about your investment in a Nuveen Fund. On behalf of the other members of your Fund Board, we look forward to continuing to earn your trust in the months and years ahead.

 

 

 

Robert P. Bremner

Chairman of the Board

June 21, 2011

 

 

4 Nuveen Investments

 

 

 

 

 

 

Portfolio Managers’ Comments

 

 

 

 

Nuveen Municipal Value Fund, Inc. (NUV)

Nuveen Municipal Value Fund 2 (NUW)

Nuveen Municipal Income Fund, Inc. (NMI)

Nuveen Enhanced Municipal Value Fund (NEV)

 

Portfolio managers Tom Spalding, Chris Drahn and Steve Hlavin review key investment strategies and the six-month performance of these four national Funds. With 34 years of investment experience at Nuveen, Tom has managed NUV since its inception in 1987, adding portfolio management responsibility for NUW at its inception in 2009. Chris, who has 31 years of financial industry experience, assumed portfolio management responsibility for NMI in January 2011. An eight-year veteran of Nuveen, Steve has been involved in the management of NEV since its inception in 2009, taking on full portfolio management responsibility for this Fund in December 2010.

 

What key strategies were used to manage the Funds during the six-month reporting period ended April 30, 2011?

 

After rallying through most of 2010, municipal bond prices declined during this six-month period, impacted by investor concerns about inflation, the federal deficit and the deficit’s impact on demand for U.S. Treasury securities. Adding to this market pressure was media coverage of the strained finances of many state and local governments. As a result, money began to flow out of municipal bond funds, as yields rose and valuations declined. Toward the end of this period, we saw the environment in the municipal market improve, as some buyers were attracted by municipal bond valuations and yields, resulting in declining yields and rising valuations.

 

The municipal bond market also was affected by a significant decline in new tax-exempt issuance during this period. One reason for this decrease was the heavy issuance of taxable municipal debt at the end of 2010 under the Build America Bond (BAB) program. During November and December 2010, taxable BABs issuance nationwide totaled $31.5 billion, accounting for 34.5% of new bonds in the municipal market. Since interest payments from BABs represent taxable income, we did not view these bonds as appropriate investment opportunities for these Funds. The BAB program expired December 31, 2010, after Congress failed to include legislation extending the program in the tax bill it passed earlier that month. In addition to the BAB program’s impact on tax-exempt issuance during the November-December period, borrowers trying to take advantage of the program’s favorable terms before its termination at year end accelerated issuance

 

 

 

 

Nuveen Investments 5

 

 

 

 

 

that potentially would have come to market as tax-exempt bonds in 2011, choosing instead to issue taxable BABs during the last two months of 2010. Due in part to this, national municipal issuance was down 49% for the first four months of 2011 compared with the same period in 2010.

 

Because of the constrained tax-exempt municipal bond issuance, we continued to take a bottom-up approach to discovering undervalued sectors and individual credits with the potential to perform well over the long term. During this period, we found value in health care, transportation (specifically tollroads), higher education and tax-supported bonds. In NEV, one of the areas we favored was the “other revenue” sector, where we were actively adding redevelopment agency bonds. The proposed elimination of redevelopment district programs in California, suggested as part of efforts to close gaps in the California state budget, prompted issuers to come to market with their remaining authorizations of redevelopment district bonds. This resulted in heavier supply of these bonds and higher yields at attractive prices. Across all of the Funds, the majority of our purchases were sector-based rather than geographically focused, although we continued to keep our holdings well diversified by state.

 

During the last months of 2010, some of this investment activity resulted from opportunities created by the provisions of the BAB program. For example, tax-exempt supply was more plentiful in the health care and higher education sectors because, as 501(c)(3) (nonprofit) organizations, hospitals and private universities generally did not qualify for the BAB program and continued to issue bonds in the tax-exempt municipal market. In addition, bonds with proceeds earmarked for refundings, working capital, and private activities were not covered by the BAB program, and this resulted in attractive opportunities in other sectors of the market.

 

For the most part, NUV, NUW and NMI focused on purchasing longer bonds to take advantage of attractive yields at the longer end of the municipal yield curve. The purchase of longer bonds also provided some protection for the Funds’ duration and yield curve positioning in the event that the BAB program was extended and continued to have an impact on tax-exempt issuance, especially at the long end of the curve. In NEV, which was invested-up during the lower rate environment of 2009, we have been working to improve the Fund’s yield and reduce its duration, bringing it more in line with our targets. During this period, we actively looked for opportunities to sell some of NEV’s longest holdings with lower coupons and lower embedded yields, including industrial development revenue (IDR), housing and hospital bonds. We then reinvested the proceeds from these sales into bonds with shorter durations, higher coupons and better yields. As a result of this activity, we were able to enhance NEV’s yield curve positioning and maturity, average coupon and embedded yield as well as take advantage of tax losses that will enable us to offset potential capital gains tax liabilities in the future.

 

 

6 Nuveen Investments

 

 

 

 

 

Some of the cash for new purchases during this period was generated by the proceeds from bond calls and maturing bonds, which we worked to redeploy to keep the Funds as fully invested as possible. NMI also took advantage of strong bids to sell a few holdings at attractive prices, mainly from the health care and IDR sectors, while NEV engaged in the selling described in the previous paragraph.

 

As of April 30, 2011, all four of these Funds continued to use inverse floating rate securities. We employ inverse floaters for a variety of reasons, including duration management, income enhancement, total return enhancement, and in NEV as a form of leverage. NEV also invested in additional types of derivative instruments 1 , such as forward interest rate swaps, designed to help shorten its duration. During this period, we gradually added to NEV’s derivative positions, all of which remained in place at period end.

 

How did the Funds perform?

 

Individual results for these Funds, as well as relevant index and peer group information, are presented in the accompanying table.

Average Annual Total Returns on Net Asset Value*
For periods ended 4/30/11
Fund	6-Month	1-Year	5-Year	10-Year
NUV	-3.78%	-0.24%	3.11%	4.52%
NUW	-5.77%	-0.91%	N/A	N/A
NMI	-2.87%	1.59%	4.07%	4.82%
Standard & Poor’s (S&P) National Municipal Bond Index 2	-1.99%	1.98%	4.18%	4.94%
Lipper General and Insured Unleveraged Municipal
Debt Funds Average 3	-2.17%	0.76%	3.29%	4.14%
NEV 4	-8.37%	-2.57%	N/A	N/A
Standard & Poor’s (S&P) National Municipal Bond Index 2	-1.99%	1.98%	4.18%	4.94%
Lipper General Leveraged Municipal Debt Funds Average 3	-5.81%	0.10%	3.04%	5.25%

 

For the six months ended April 30, 2011, the cumulative returns on net asset value (NAV) for these four Funds underperformed the return for the Standard & Poor’s (S&P) National Municipal Bond Index. For the same period, NUV, NUW and NMI lagged the average return for the Lipper General and Insured Unleveraged Municipal Debt Funds Average and NEV trailed the average return for the Lipper General Leveraged Municipal Debt Funds Average.

 

Key management factors that influenced the Funds’ returns during this period included duration and yield curve positioning, credit exposure and sector allocation. In addition, the use of effective leverage had an impact on the performance of NEV. Leverage is discussed in more detail on page nine.

 

 

* Six-month returns are cumulative; all other returns are annualized.

 

Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares.

 

For additional information, see the individual Performance Overview for your Fund in this report.

 

1 Each Fund may invest in derivative instruments such as forwards, futures, options, and swap transactions. For additional information on the derivative instruments in which each Fund was invested during and at the end of the reporting period, see the Portfolios of Investments, Financial Statements, and Notes to Financial Statements sections of this report.

 

2 The Standard & Poor’s (S&P) National Municipal Bond Index is an unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade U.S. municipal bond market. This index does not reflect any initial or ongoing expenses and is not available for direct investment.

 

3 Each of the Lipper Municipal Debt Funds Averages shown in this report is calculated using the returns of all closed-end funds in their respective categories for each period as follows: Lipper General and Insured Unleveraged Municipal Debt Funds Average: 6-month, 7 funds; 1-year, 7 funds; 5-year, 6 funds; and 10-year, 6 funds; Lipper General Leveraged Municipal Debt Funds Average: 6-month, 74 funds; 1-year, 73 funds; 5-year, 70 funds; and 10-year, 51 funds. Lipper returns account for the effects of management fees and assume reinvestment of dividends, but do not reflect any applicable sales charges. The Lipper averages are not available for direct investment.

 

4 NEV is a leveraged Fund through investments in inverse floating rate securities, as discussed in more detail on page nine. The remaining three Funds in this report are unleveraged and use inverse floating rate securities for duration management and both income and total return enhancement.

 

 

Nuveen Investments 7

 

 

 

 

 

During this period, municipal bonds with shorter maturities generally outperformed other maturity categories, with credits at the longest end of the yield curve posting the weakest returns. The underperformance of longer bonds was due in part to the rise in municipal yields at the longer end of the curve. Among these four Funds, NMI was the most advantageously situated in terms of duration and yield curve positioning, with more exposure to the outperforming shorter end of the yield curve. NEV and NUW, on the other hand, had the longer durations typical of newer Funds that were more recently invested in long-term bonds. Their greater exposure to the underperforming long part of the curve, as well as that of NUV, detracted from the performance of all three Funds for this period. Overall, variations in duration and yield curve positioning among the Funds accounted for the majority of the differences in performance.

 

As previously mentioned, NEV used derivatives, such as forward interest rate swaps to reduce the duration of the Fund’s portfolio. These derivatives had a positive impact on NEV’s total return performance for the period.

 

Credit exposure also played a role in performance during these six months. During the market reversal of late 2010, as the redemption activity in high-yield funds increased and risk aversion mounted, lower-rated credits were negatively impacted. For the period as a whole, bonds rated BBB generally underperformed those rated AAA. All of these Funds tended to be overweighted in bonds rated BBB, which negatively impacted their performance. This was offset to some degree in NMI by the Fund’s investment in individual securities that performed well. NEV, NMI and NUW also were hurt by their underweightings in bonds rated AAA.

 

Holdings that generally helped the Funds’ returns included housing, resource recovery and general obligation (GOs) and other tax-supported bonds. In general, these Funds tended to have relatively light exposures to housing (with the exception of NEV) and were somewhat underweighted in GOs, which limited their participation in the performance of these sectors. During this period, pre-refunded bonds, which are often backed by U.S. Treasury securities, also were among the strongest performers, primarily due to their shorter effective maturities and higher credit quality. As of April 30, 2011, both NUV and NMI had good weightings in pre-refunded bonds, while NUW and NEV—as newer Funds—had little to no exposure to these credits.

 

In contrast, the health care and transportation sectors turned in relatively weaker performance. All four of these Funds, especially NUW, were overweighted in the health care sector, which was generally negative for performance. NEV, however, benefited from strong individual security selection in the health care sector, with a number of its holdings outperforming the sector as a whole. Zero coupon bonds also were among the poorer performers, due largely to their longer maturities.

 

 

8 Nuveen Investments

 

 

 

 

 

IMPACT OF LEVERAGE STRATEGY ON NEV’S PERFORMANCE

 

One important factor impacting the return of NEV relative to the comparative indexes was the Fund’s use of effective leverage through investments in inverse floating rate securities. This Fund uses leverage because its manager believes that, over time, leveraging provides opportunities for additional income and total return for shareholders. However, use of leverage also can expose shareholders to additional volatility. For example, during periods when the prices of securities held by a Fund generally are declining, the negative impact of these valuation changes on net asset value and total return is magnified by the use of leverage. This is what happened during this reporting period, as the use of leverage had an overall negative impact on the Fund’s return.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nuveen Investments 9

 

 

 

 

 

Dividend and

Share Price Information

 

 

The monthly dividends of NUV, NUW, NMI and NEV remained stable throughout the six-month reporting period ended April 30, 2011.

 

Due to normal portfolio activity, shareholders of the following Funds received capital gains and net ordinary income distributions in December 2010 as follows:

 

		Short-Term Capital Gains
	Long-Term Capital Gains	and/or Ordinary Income
Fund	(per share)	(per share)
NUV	$0.0210	$0.0007
NUW	$0.0193	$0.0028

 

All of the Funds in this report seek to pay stable dividends at rates that reflect each Fund’s past results and projected future performance. During certain periods, each Fund may pay dividends at a rate that may be more or less than the amount of net investment income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it holds the excess in reserve as undistributed net investment income (UNII) as part of the Fund’s NAV. Conversely, if a Fund has cumulatively paid dividends in excess of its earnings, the excess constitutes negative UNII that is likewise reflected in the Fund’s NAV. Each Fund will, over time, pay all of its net investment income as dividends to shareholders. As of April 30, 2011, NUV, NMI and NEV had positive UNII balances, based upon our best estimate, for tax purposes and positive UNII balances for financial reporting purposes, while NUW had a positive UNII balance, based upon our best estimate, for tax purposes and a negative UNII balance for financial reporting purposes.

 

SHARE REPURCHASES AND SHARE PRICE INFORMATION

 

Since the inception of the Funds’ repurchase program, the Funds’ have not repurchased any of their outstanding shares.

 

SHELF EQUITY PROGRAM

 

On December 8, 2010, a registration statement filed by, NUV with the Securities and Exchange Commission (SEC) became effective authorizing the Fund to issue an additional 19.6 million shares through a shelf offering. Under this shelf offering program, the Fund, subject to market conditions, may raise additional equity capital from time to

 

 

10 Nuveen Investments

 

 

 

 

 

time in varying amounts and offer methods at a net price at or above each Fund’s NAV per share.

 

During the six-month reporting period, NUV sold shares through its shelf offering program at an average premium to NAV per share as shown in the accompanying table.

 

	Shares Sold through	Premium to NAV
Fund	Shelf Offering	Per Share Sold
NUV	208,955	1.18%

 

As of April 30, 2011 and during the six-month reporting period, the Funds’ share prices were trading at (+) premiums or (-) discounts to their NAVs as shown in the accompanying table.

 

	4/30/11	Six-Month Average
Fund	(-) Discount	(+) Premium/(-) Discount
NUV	(-)1.41%	(-)2.19%
NUW	(-)2.73%	(-)1.42%
NMI	(-)3.71%	(-)2.88%
NEV	(-)4.13%	(-)5.11%

 

 

Nuveen Investments 11

 

 

 

 

	NUV	Nuveen Municipal
	Performance	Value Fund, Inc.
	OVERVIEW
		as of April 30, 2011

 

Fund Snapshot
Share Price		$9.06
Net Asset Value (NAV)		$9.19
Premium/(Discount) to NAV		-1.41%
Market Yield		5.17%
Taxable-Equivalent Yield 1		7.18%
Net Assets ($000)		$1,823,672

Average Annual Total Return
(Inception 6/17/87)
	On Share Price	On NAV
6-Month (Cumulative)	-7.02%	-3.78%
1-Year	-4.11%	-0.24%
5-Year	4.07%	3.11%
10-Year	5.49%	4.52%

States 3
(as a % of total investments)
California		13.6%
Illinois		12.8%
New York		7.6%
Texas		7.2%
New Jersey		5.4%
Florida		4.8%
Washington		4.5%
Colorado		4.0%
Missouri		3.5%
Louisiana		3.3%
Puerto Rico		2.8%
Michigan		2.8%
Ohio		2.5%
Wisconsin		2.5%
South Carolina		2.1%
Indiana		2.0%
Pennsylvania		1.9%
Massachusetts		1.5%
Rhode Island		1.2%
Other		14.0%

Portfolio Composition 3
(as a % of total investments)
Tax Obligation/Limited		19.0%
Health Care		18.9%
U.S. Guaranteed		16.2%
Transportation		12.2%
Tax Obligation/General		8.8%
Utilities		6.6%
Consumer Staples		6.4%
Other		11.9%

 

 

 

 

	Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance
	Overview page.
1	Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield
	of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing the Fund to invest-
	ments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2	Ratings shown are the highest of Standard & Poor’s Group, Moody’s Investor Service, Inc. or Fitch, Inc. AAA includes
	bonds with an implied AAA rating since they are backed by U.S. Government or agency securities. AAA, AA, A and BBB
	ratings are investment grade; BB, B, CCC, CC, C and D ratings are below-investment grade. Holdings designated N/R are
	not rated by any of these national rating agencies.
3	Holdings are subject to change.
4	The Fund paid shareholders capital gains and net ordinary income distributions in December 2010 of $0.0271 per share.

 

 

12	Nuveen Investments

 

 

 

NUW	Nuveen Municipal
Performance	Value Fund 2
OVERVIEW
	as of April 30, 2011

 

Fund Snapshot
Share Price		$14.98
Net Asset Value (NAV)		$15.40
Premium/(Discount) to NAV		-2.73%
Market Yield		6.01%
Taxable-Equivalent Yield 1		8.35%
Net Assets ($000)		$198,336

Average Annual Total Return
(Inception 2/25/09)
	On Share Price	On NAV
6-Month (Cumulative)	-12.08%	-5.77%
1-Year	-3.76%	-0.91%
Since Inception	5.61%	9.18%

States 3
(as a % of total investments)
Illinois		11.7%
California		10.4%
Florida		8.8%
Wisconsin		8.4%
Louisiana		7.4%
Texas		6.3%
Ohio		5.9%
Indiana		5.5%
Colorado		5.3%
Puerto Rico		4.8%
Nevada		4.3%
Arizona		3.5%
Rhode Island		3.2%
Other		14.5%

Portfolio Composition 3
(as a % of total investments)
Health Care		24.2%
Tax Obligation/Limited		22.5%
Transportation		12.3%
Tax Obligation/General		10.8%
Utilities		9.0%
Consumer Staples		6.6%
Water and Sewer		5.0%
Other		9.6%

 

 

 

	Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance
	Overview page.
1	Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield
	of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing the Fund to invest-
	ments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2	Ratings shown are the highest of Standard & Poor’s Group, Moody’s Investor Service, Inc. or Fitch, Inc. AAA includes
	bonds with an implied AAA rating since they are backed by U.S. Government or agency securities. AAA, AA, A and BBB
	ratings are investment grade; BB, B, CCC, CC, C and D ratings are below-investment grade. Holdings designated N/R are
	not rated by any of these national rating agencies.
3	Holdings are subject to change.
4	The Fund paid shareholders capital gains and net ordinary income distributions in December 2010 of $0.0221 per share.

 

 

Nuveen Investments 13

 

 

 

 

	NMI	Nuveen Municipal
	Performance	Income Fund, Inc.
	OVERVIEW
		as of April 30, 2011

 

Fund Snapshot
Share Price		$9.86
Net Asset Value (NAV)		$10.24
Premium/(Discount) to NAV		-3.71%
Market Yield		5.78%
Taxable-Equivalent Yield 1		8.03%
Net Assets ($000)		$84,199

Average Annual Total Return
(Inception 4/20/88)
	On Share Price	On NAV
6-Month (Cumulative)	-9.77%	-2.87%
1-Year	-7.79%	1.59%
5-Year	4.51%	4.07%
10-Year	3.71%	4.82%

States 3
(as a % of total investments)
California		19.2%
Texas		10.3%
Illinois		10.2%
Missouri		6.0%
New York		5.1%
Colorado		4.8%
Florida		4.7%
South Carolina		4.3%
Indiana		4.0%
Virginia		3.0%
Kentucky		2.8%
Tennessee		2.5%
Maryland		2.5%
Alabama		2.4%
Connecticut		2.1%
Ohio		1.9%
Other		14.2%

Portfolio Composition 3
(as a % of total investments)
Health Care		14.8%
Tax Obligation/Limited		14.6%
U.S. Guaranteed		13.7%
Utilities		13.0%
Tax Obligation/General		9.5%
Education and Civic Organizations		8.4%
Consumer Staples		4.6%
Materials		4.5%
Transportation		4.1%
Other		12.8%

 

 

 

	Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance
	Overview page.
1	Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield
	of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing the Fund to invest-
	ments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2	Ratings shown are the highest of Standard & Poor’s Group, Moody’s Investor Service, Inc. or Fitch, Inc. AAA includes
	bonds with an implied AAA rating since they are backed by U.S. Government or agency securities. AAA, AA, A and BBB
	ratings are investment grade; BB, B, CCC, CC, C and D ratings are below-investment grade. Holdings designated N/R are
	not rated by any of these national rating agencies.
3	Holdings are subject to change.

 

 

14 Nuveen Investments

 

 

 

 

NEV	Nuveen Enhanced
Performance	Municipal Value Fund
OVERVIEW
	as of April 30, 2011

 

Fund Snapshot
Share Price		$12.54
Net Asset Value (NAV)		$13.08
Premium/(Discount) to NAV		-4.13%
Market Yield		7.27%
Taxable-Equivalent Yield 1		10.10%
Net Assets ($000)		$251,789

Average Annual Total Return
(Inception 9/25/09)
	On Share Price	On NAV
6-Month (Cumulative)	-10.72%	-8.37%
1-Year	-4.45%	-2.57%
Since Inception	-4.81%	-0.47%

States 3,4
(as a % of total investments)
California		16.1%
Illinois		10.5%
Michigan		9.5%
Florida		7.3%
Georgia		7.0%
Ohio		6.6%
Pennsylvania		5.2%
Wisconsin		5.0%
Colorado		4.7%
Texas		3.9%
Massachusetts		3.4%
Arizona		3.1%
New York		2.7%
Other		15.0%

Portfolio Composition 3,4
(as a % of total investments)
Tax Obligation/Limited		20.6%
Health Care		16.5%
Transportation		15.2%
Tax Obligation/General		12.0%
Education and Civic Organizations		11.3%
Utilities		4.8%
Consumer Staples		4.7%
Other		14.9%

 

 

 

	Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance
	Overview page.
1	Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield
	of the Fund on an after-tax basis. It is based on a federal income tax rate of 28%. When comparing the Fund to invest-
	ments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2	Ratings shown are the highest of Standard & Poor’s Group, Moody’s Investor Service, Inc. or Fitch, Inc. AAA includes
	bonds with an implied AAA rating since they are backed by U.S. Government or agency securities. AAA, AA, A and BBB
	ratings are investment grade; BB, B, CCC, CC, C and D ratings are below-investment grade. Holdings designated N/R are
	not rated by any of these national rating agencies.
3	Holdings are subject to change
4	Excluding investments in derivatives.

 

 

Nuveen Investments 15