UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number | 811-21293 | |||||
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Nuveen Multi-Strategy Income and Growth Fund | ||||||
(Exact name of registrant as specified in charter) | ||||||
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Nuveen Investments | ||||||
(Address of principal executive offices) (Zip code) | ||||||
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Kevin J. McCarthy | ||||||
(Name and address of agent for service) | ||||||
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Registrant’s telephone number, including area code: | (312) 917-7700 |
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Date of fiscal year end: | December 31 |
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Date of reporting period: | December 31, 2010 |
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Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
Closed-End Funds
Nuveen Investments
Closed-End Funds
Seeks Attractive Distributions from a Portfolio of Preferred and Convertible Securities,
Domestic and Foreign Equities, and Debt Instruments
Annual Report
December 31, 2010
Nuveen Multi-Strategy Income and Growth Fund
JPC
Nuveen Multi-Strategy Income and Growth Fund 2
JQC
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 $195 billion of assets as of December 31, 2010.
Table of Contents
| Chairman's Letter to Shareholders | 4 | ||||||
| Portfolio Managers' Comments | 5 | ||||||
| Common Share Distribution and Share Price Information | 13 | ||||||
| Performance Overviews | 16 | ||||||
| Report of Independent Registered Public Accounting Firm | 18 | ||||||
| Portfolio of Investments | 19 | ||||||
| Statement of Assets & Liabilities | 78 | ||||||
| Statement of Operations | 79 | ||||||
| Statement of Changes in Net Assets | 80 | ||||||
| Statement of Cash Flows | 81 | ||||||
| Financial Highlights | 82 | ||||||
| Notes to Financial Statements | 84 | ||||||
| Board Members & Officers | 97 | ||||||
| Annual Investment Management Agreement Approval Process | 103 | ||||||
| Reinvest Automatically Easily and Conveniently | 111 | ||||||
| Glossary of Terms Used in this Report | 113 | ||||||
| Other Useful Information | 115 | ||||||
Chairman's
Letter to Shareholders
Dear Shareholders,
The global economy recorded another year of recovery from the financial and economic crises of 2008, but many of the factors that caused the crises still weigh on the prospects for continued recovery. In the U.S., ongoing weakness in housing values is putting pressure on homeowners and mortgage lenders. Similarly, the strong earnings recovery for corporations and banks has not been translated into increased hiring or more active lending. In addition, media and analyst reports on the fiscal conditions of various state and local entities have raised concerns with some investors. Globally, deleveraging by private and public borrowers is inhibiting economic growth and this process is far from complete.
Encouragingly, a variety of constructive actions are being taken by governments around the world to stimulate further recovery. In the U.S., the recent passage of a stimulatory tax bill relieves some of the pressure on the Federal Reserve System to promote economic expansion through quantitative easing and offers the promise of faster 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 have an important impact on 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 upward pressures on asset values in the U.S. and abroad, because what happens in the U.S. impacts the rest of the world economy. We must hope that the progress made on the fiscal front in 2010 will continue into 2011. In this 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 January 1, 2011, Nuveen Investments completed the acquisition of FAF Advisors, Inc., the manager of the First American Funds. The acquisition 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 these investor needs.
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.
Sincerely,
Robert P. Bremner
Chairman of the Board and Lead Independent Director
February 22, 2011
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Portfolio Managers' Comments
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.
Any reference to credit ratings for portfolio holdings denotes the highest rating assigned by a Nationally Recognized Statistical Rating Organization (NRSRO) such as Standard & Poor's, Moody's or Fitch. AAA, AA, A and BBB ratings are investment grade; BB, B, CCC, CC, C and D ratings are below investment grade. Holdings and ratings may change over time.
Nuveen Multi-Strategy Income and Growth Fund (JPC)
Nuveen Multi-Strategy Income and Growth Fund 2 (JQC)
These Funds are advised by Nuveen Fund Advisors, Inc., which determines and oversees the Funds' asset allocations. Nuveen Fund Advisors uses a team of sub-advisers with specialties in different asset classes to manage the Funds' portfolios. These sub-advisers include Spectrum Asset Management, Inc., Symphony Asset Management, LLC, and Tradewinds Global Investors, LLC. Symphony and Tradewinds are affiliates of Nuveen Investments.
Spectrum, a wholly-owned subsidiary of Principal Global Investors, LLC, manages the preferred securities positions within the income-oriented portion of each Fund's portfolio. Mark Lieb and Phil Jacoby, who have more than 50 years of combined experience in the preferred securities and other debt markets, lead the team at Spectrum.
Symphony has primary responsibility for investments in convertible, high yield and senior loan securities, and for domestic and international equity investments. The team at Symphony managing the convertible, high yield and senior loan portions of each portfolio is led by Gunther Stein, the firm's Chief Investment Officer, who has more than 20 years of investment management experience. The Symphony team responsible for managing domestic and international equity investments is led by Ross Sakamoto, who has more than 20 years of investment management experience. Ross took over the domestic equity investment duties from David Wang in June 2010, and international equity investment oversight from Eric Olson in July 2010.
Tradewinds invests its portion of each Fund's assets in global equities and manages the Funds' option strategy. The Tradewinds team is led by Dave Iben, who is Chief Investment Officer of that firm and has more than 25 years of investment management experience.
Here representatives from Spectrum, Symphony and Tradewinds talk about general economic and market conditions, their management strategies and the performance of both Funds for the twelve-month period ended December 31, 2010.
What were the general market conditions during the reporting period ending December 31, 2010?
During this reporting period, the U.S. economy remained under considerable stress, and both the Federal Reserve and the federal government continued their efforts to improve the overall economic environment. For its part, the Fed held the benchmark fed funds rate in a target range of zero to 0.25% after cutting it to this record low level in December 2008. At its September 2010 meeting, the central bank renewed its commitment to keep the fed funds rate at "exceptionally low levels" for an "extended period." The Fed also stated that
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it was "prepared to take further policy actions as needed" to support economic recovery. The federal government continued to focus on implementing the economic stimulus package passed early in 2009 that was intended to provide job creation, tax relief, fiscal assistance to state and local governments, and expand unemployment benefits and other federal social welfare programs. Cognizant of the fragility of the financial system, in the fall of 2010 the Federal Reserve announced a second round of quantitative easing designed to help stimulate increased economic growth.
Nearly all recent U.S. indicators of production, spending, and labor market activity have pointed toward an acceleration in economic growth. At the same time, inflation remained relatively tame, as the Consumer Price Index rose just 1.5% year-over-year as of December 31, 2010. However, unemployment remained at historically high levels. As of December 2010, the national unemployment rate was 9.4%. In addition, the housing market continued to show signs of weakness with the average home price in the Standard & Poor's/Case-Shiller Index of 20 large metro areas falling 1.6% over the twelve months ended November 2010 (the latest available figures at the time this report was prepared).
Overall, the U.S. stock market performed well during the twelve-month period, with the Dow Jones Industrial Average climbing 14%, the S&P 500 Index advancing 15% and the NASDAQ-100 Index gaining 19%. Looking overseas, Europe's central bankers announced a $1 trillion bailout package to contain the situation with Greece and possibly help Portugal, Spain, Italy and Ireland. Ireland subsequently applied for a bailout to rescue its banking system.
The liquidity environment for credit improved as the period progressed despite macro concerns about several European countries. An accommodative central bank policy in the United States and in Europe fostered declining volatility in the equity markets—supportive earnings were a byproduct of adequate fiscal and monetary support. Preferred securities, in particular, did well against a good fundamental backdrop and a lower interest rate trend over the period. Global bank capital improvement was a very strong theme for the improving credit environment of financial institutions. Bank capital reform led the headlines with new rules coming from the Basel Committee on Banking that will seek to forestall future financial shocks and broaden credit support in the industry. As a result, the structure of the preferred market will be changing with newer, more equity-like hybrids (i.e., higher yielding preferred securities) that will replace existing structures as they are retired. Rating agency changes in equity credit analysis have also helped to increase the likelihood of tenders and early retirement of some preferred securities. Consequently, the hybrid preferred securities market experienced a number of tender events from issuers, which have led to better prices and are leading to expectations for a generally lower volatility environment for preferred securities going forward.
The senior loan market represented an attractive asset class in 2010, driven by a strong risk-return relationship featuring interest income and principal appreciation from secured positions in the capital structure. Further, a recovering primary market generated more new loan deals than 2008 and 2009 combined, allowing companies to refinance debt and extend loan maturities while offering investors attractive terms. Fundamentals on the year were positively demonstrated by a significant decline in
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defaults and decreased corporate leverage with improved corporate earnings. For example, leveraged loans finished 2010 at a 2.58% default rate, according to Credit Suisse, compared with 2009 defaults of 9.58%. Similarly, Credit Suisse reported that high yield bonds experienced a significant improving default environment, finishing 2010 with defaults of 1.51% compared to 2009 defaults of 9.36%. An improving leveraged loan and high yield primary market enabled companies to refinance deals and extend maturities.
Convertibles benefited from a both a rally in equities and credit spread tightening, with the S&P 500 Index returning 15% and high yield spreads tightening 80 basis points during the period, according to JPMorgan Chase. The investor composition of the convertible market remained healthy with an even participation split between arbitrage investors and fundamental/outright investors, which continued to keep concentration risk low.
Global equity markets continued their upward trajectory through the end of 2010. In U.S. dollar terms, equity markets in the larger developed economies, namely Japan and the U.S., were the best performers, while the major European equity markets posted negative returns. The U.S. currency rallied against the euro and the British pound as concerns over sovereign debt defaults in Europe increased. Emerging market equity returns lagged their developed market brethren. In the second quarter of 2010, risk aversion returned with a vengeance as investors fled to the perceived safety of debt. The major market indices suffered their worst declines since early 2009 and volatility, as measured by the VIX Index, rose. Hard commodity prices also declined, led by copper, oil and zinc, on the perception that global domestic growth would slow and that supplies were adequate. On the other hand, precious metals gained favor among investors as a haven from volatility and a hedge against anticipated inflationary pressures emerging from loose monetary and fiscal policies. Global equity markets rebounded strongly in the third quarter with the MSCI All Country World Index posting one of its best returns for the past decade. While there was evidence of improving economic fundamentals and higher than expected earnings results, there were continued concerns over government debt, currency devaluations, and questions regarding the global banking system. The equity rally continued into the fourth quarter.
What key strategies were used to manage the Funds during this reporting period?
Within the preferred securities portion of both Funds' portfolios, changes in capital rules driven by the Basel Committee on Banking, the Dodd-Frank Act, and equity credit reductions on enhanced equity hybrid structures helped to drive hybrid prices higher against a generally favorable fundamental backdrop of earnings gains and liquidity improvements. We traded for longer call optionality in an effort to proactively protect the income objective. We also sold higher priced structures and switched into lower dollar priced structures in order to allow for more capital appreciation without sacrificing income. We sold foreign bank paper that had little upside left due to structural features and re-balanced into paper that we believe will perform well in the insurance sectors. Overall, our allocation went up in $1000 par capital securities because of our desire to emphasize certain structural benefits that are more prevalent in capital securities than in the more individual oriented $25 par market.
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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. Comparative Benchmark performance is a blended return consisting of: 1) 27.5% of the Merrill Lynch Preferred Stock Hybrid Securities Index, an unmanaged index of investment-grade, exchange traded preferred issues with outstanding market values of at least $100 million and at least one year to maturity. 2) 22.5% of the Barclays Capital Tier 1 Capital Securities Index, an unmanaged index that includes securities that can generally be viewed as hybrid fixed-income securities that either receive regulatory capital treatment or a degree of "equity credit" from a rating agency. 3) 10.0% of the Russell 3000 Index. The Russell 3000 Index measures the performance of the largest 3000 U.S. companies representing approximately 98% of the investable U.S. equity market. 4) 10.0% of the MSCI EAFE Index. The MSCI EAFE Index (Europe, Australasia, Far East) is a free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the US & Canada. 5) 10.0% of the MSCI ACWI (All Country World Index), a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. 6) 6.7% of the Merrill Lynch All U.S. Convertibles Index consisting of approximately 595 securities with par value greater than $50 million that were issued by U.S. companies or non-U.S. based issuers that have a significant business presence in the U.S. 7) 6.7% of the CSFB High Yield Index, which includes approximately $515 billion of $U.S.-denominated high yield debt with a minimum of $75 million in par value and at least one rating below investment-grade. 8) 6.6% of the CSFB Leverage Loan Index, which includes approximately $611 billion of $U.S.-denominated Leveraged Loans at least one rating below investment-grade. Benchmark returns do not include the effects of any sales charges or management fees. It is not possible to invest directly in this benchmark.
2. The Barclays Capital U.S. Aggregate Bond Index is an unmanaged index that includes all investment-grade, publicly issued, fixed-rate, dollar denominated, nonconvertible debt issues and commercial mortgage backed securities with maturities of at least one year and outstanding par values of $150 million or more. Index returns do not include the effects of any sales charges or management fees. It is not possible to invest directly in an index.
In the senior loan and other debt portion of each Fund's portfolio, we focused on macro, technical, and fundamental factors. We maintained a neutral weighting between loans, high yield, and convertibles for the period, as each asset class benefited from relative market conditions. Our focus was on asset-rich, cyclical credits that would benefit from the improving fundamental and technical environments for the period. In addition, we focused on high quality new issues in the loan and high yield markets that came to market with attractive yields and terms after minimal issuance in the prior year.
In the core domestic and international equity portion of each Fund's portfolio that is managed by Symphony, we used both quantitative and qualitative methods to evaluate opportunities. The quantitative screening process served as the starting point for decision-making, with the qualitative process then providing a systematic way of researching companies from a broad perspective, as fundamental analysts actively sought catalysts that we believed would drive upside price movements. Symphony uses a "bottom-up" approach to stock picking, seeking to maximize return per unit of risk while obeying limits on position size, industry weights, beta, and other portfolio constraints. Quantitative tools provide the risk diagnostic measurements which guide these limits and keep forecasted risk within acceptable tolerances. The overall result is an investment process which is disciplined, repeatable, and what we think blends the most effective elements of both quantitative and qualitative investing.
For the global equity portion of each portfolio managed by Tradewinds, our basic investment philosophy continued to focus on buying good or improving business franchises around the globe whose securities were selling below their intrinsic value, maintaining a disciplined, opportunistic investing approach in this unique environment. We found that the best value opportunities were in the securities of those businesses that were the most leveraged to the growth of the global economy. We continued to like the materials, food, agriculture and energy sectors, which benefit from increased global demand, while we remained significantly underweight in the financials sector. During the period we maintained both our long and short equity exposures, and continued to write covered calls on selected long equity positions to enhance yield and expected total return.
For each Fund's option strategy we were writing covered call options on individual stocks held in the Fund's portfolio of investments to enhance returns while foregoing some upside potential, and bought put options on a single stock to benefit in the event its price declines.
How did the Funds perform over the reporting period?
The performance of JPC and JQC, as well as a comparative benchmark and a general market index, is presented in the accompanying table.
Average Annual Total Return on Common Share Net Asset Value
For periods ended 12/31/10
| 1-Year | 5-Year | ||||||||||
| JPC | 21.06 | % | 1.05 | % | |||||||
| JQC | 21.02 | % | 1.92 | % | |||||||
| Comparative Benchmark1 | 14.29 | % | 3.27 | % | |||||||
| Barclays Capital U.S. Aggregate Bond Index2 | 6.56 | % | 5.80 | % | |||||||
For the twelve-month period ended December 31, 2010, the total return on Common share net asset value (NAV) for both Funds outperformed the comparative benchmark and the general market index.
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Among the largest positive contributors in the preferred securities portion of both Funds over the period were Wachovia Bank, Deutsche Bank and ING. In general, the U.S. bank trust preferred sector benefited the performance of both Funds as a number of market observers believed that banks are likely to be gradually redeeming their preferred securities in response to certain provisions in the recently enacted financial sector reform bill. The main performance detractors for the Funds were AXA Insurance, Lloyd's Capital, Bank of America and HSBC Upper Tier 2 Floaters.
The senior loan and high yield sleeves of both Funds performed well relative to the broader credit market. Each Fund's exposure to relatively volatile, cyclical credits backed by significant tangible assets benefited performance for the period. Within loans and high yield, names like LNR Property and Greenbrier Companies generated returns through both significant price appreciation and interest income. For convertibles, more price volatile names like Pioneer Natural Resources and EMC Corporation contributed to performance. For all these examples, businesses benefited from improved fundamental and technical environments and improved valuation of each firm's assets.
Performance was constrained by each Fund's portfolio of higher quality assets, many of which are critical to maintaining an acceptable risk profile. These higher quality names underperformed riskier assets, which benefited from greater relative price appreciation over the course of the year stemming from improved fundamental and strong technical environments.
The core domestic equities portion of each Fund managed by Symphony outpaced the Russell 3000 Index during the period. We remained invested in companies that have experienced significant earnings leverage as revenues have continued to rebound following the recent recession. Looking at the market generally, as represented by the Russell 3000 Index, more volatile sectors like consumer discretionary and industrials held up the best, gaining 29.9% and 27.5% respectively. More defensive sectors like healthcare and utilities lagged the market, but still gained 5.4% and 7.7% respectively.
Relative to the Russell 3000 Index, the equity portion of the Funds benefited modestly from a slight overweight to the materials sector and a slight underweight of the financials sector. On the other hand, the Funds were negatively impacted by a modest underweight in the energy sector and overweight in consumer staples. Stock selection added to each Fund's return in most sectors, with the best selection coming in the consumer discretionary and materials sectors. Selection in the utilities and financials sectors detracted from performance. The worst performers were Western Digital, a hard drive manufacturer, and steel producer United States Steel Corporation. The best performers were Netflix, an online movie rental company, and Walter Energy, a producer of metallurgical coal.
In the global equity sleeve of the Funds managed by Tradewinds, each Fund's top long equity performer was a position in NovaGold Resources Incorporated, a member of the materials sector. In early January 2009, the Funds participated in a private placement of NovaGold Resources Incorporated units, which consisted of both equity shares and warrants to purchase additional equity shares at a price of $1.50 USD. NovaGold, a junior gold company, which focuses on gold exploration, development, and mining, benefited as the price of gold reached over $1,400 per ounce during 2010. The company's common equity share price appreciated more than 200% during the calendar year.
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Another significant contributor to performance was Cameco Corporation, another member of the materials sector. Cameco is the world's largest listed uranium producer and owns a significant interest in Cigar Lake, one of the largest underdeveloped uranium mines located in the northern Saskatchewan's Athabasca Basin. Uranium, a formerly out-of-favor commodity, has begun to elicit much more market appreciation as spot prices, which were weak during the first part of the year, started to recover in the second half of 2010.
The worst detractor from performance among the assets managed by Tradewinds during the period was Thales S.A., a French manufacturer of aerospace systems and industrial electronics products. The company underperformed due to a bloated cost structure and disparate non-core businesses. While the company still needs to adjust its cost structure, we are still attracted to its valuation and long-term fundamentals as a European leader and a top global defense electronics company.
Another detractor from performance was BP PLC, the largest oil and gas producer in the United States and fourth largest oil producer in the world. BP's share price declined significantly post the April 2010 Deepwater Horizon explosion and subsequent oil spill into the Gulf of Mexico, and troughed at the end of June 2010. The stock price rallied throughout the third and fourth quarters as the probability of a worst case scenario declined following successful subsea containment operations. The company underwent a material change in top management and organizational restructuring. The company also divested some of its assets to help meet its financial obligations arising from the Gulf of Mexico oil spill. While we believe that BP continues to trade at a significant discount to the value of its assets, it will take some time for the company to regain the trust of its partners, contractors, and the market. While we opportunistically increased our position near the bottom, we have since trimmed our position at recent highs.
In the international equity portion of the portfolio managed by Symphony, the Funds benefited from stock selection in Europe as well as our positions in regions outside the MSCI EAFE benchmark. Our top three performers were Umicore, Jeronimo Martins, and DnB NOR. Our holdings in Canada and Latin America contributed positively as well. For sector allocation, our energy overweight and utilities underweight added to performance, while our information technology overweight hurt performance. Our underweight positions in Royal Dutch Shell, Siemens, and BP also adversely affected relative performance. Given our underweight position in Japan, the strong rise in Japanese yen against the dollar was also a drag on relative performance. Overall, our emphasis on selecting companies with good growth characteristics and sound fundamentals drove outperformance in this period.
Each Fund's overall short equity positions detracted from performance for the period. Among the bucket of short equities, Strayer Education Incorporated contributed most to absolute performance, however, its gains were more than offset by the position in AutoZone Incorporated.
Our covered call writing strategy also detracted from both Fund's performance as stock prices rallied in excess of strike prices. However, given the uncertainty in the future direction of the global markets and the large market rebound, we will continue to utilize this strategy.
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IMPACT OF THE FUNDS' LEVERAGE STRATEGY ON PERFORMANCE
One important factor impacting the return of the Funds relative to the comparative indexes was the Funds' use of financial leverage through the use of bank borrowings. The Funds use leverage because their managers believe that, over time, leveraging provides opportunities for additional income and total return for common shareholders. However, use of leverage also can expose common shareholders to additional volatility. For example, as the prices of securities held by a Fund decline, the negative impact of these valuation changes on common share net asset value and common shareholder total return is magnified by the use of leverage. Conversely, leverage may enhance common share returns during periods when the prices of securities held by a Fund generally are rising. Leverage made a positive contribution to the performance of the Funds over this reporting period.
RECENT EVENTS CONCERNING THE FUNDS' REDEMPTION OF AUCTION RATE PREFERRED SHARES
Shortly after their inceptions, the Funds issued auction rate preferred shares (ARPS) to create financial leverage. As noted in past shareholder reports, the weekly auctions for those ARPS began in February 2008 to consistently fail, causing the Funds to pay the so-called "maximum rate" to ARPS shareholders under the terms of the ARPS in the Funds' charter documents. The Funds redeemed their ARPS at par in 2009 and since then have relied upon bank borrowings to create financial leverage.
During 2010, certain Nuveen leveraged closed-end funds (including these Funds) received a demand letter from a law firm on behalf of purported holders of common shares of each such fund, alleging that Nuveen and the funds' officers and Board of Directors/Trustees breached their fiduciary duties related to the redemption at par of the funds' ARPS. In response, the Board established an ad hoc Demand Committee consisting of certain of its disinterested and independent Board members to investigate the claims. The Demand Committee retained independent counsel to assist it in conducting an extensive investigation. Based upon its investigation, the Demand Committee found that it was not in the best interests of each fund or its shareholders to take the actions suggested in the demand letters, and recommended that the full Board reject the demands made in the demand letters. After reviewing the findings and recommendation of the Demand Committee, the full Board of each fund unanimously adopted the Demand Committee's recommendation.
Subsequently, the funds that received demand letters (including these Funds) were named in a consolidated complaint as nominal defendants in a putative shareholder derivative action captioned Martin Safier, et al. v. Nuveen Asset Management, et al. that was filed in the Circuit Court of Cook County, Illinois, Chancery Division (the "Cook County Chancery Court") on February 18, 2011 (the "Complaint"). The Complaint, filed on behalf of purported holders of each fund's common shares, also name Nuveen Asset Management as a defendant, together with current and former Officers and interested Director/Trustees of each of the funds (together with the nominal defendants, collectively, the "Defendants"). The Complaint contains the same basic allegations contained in the demand letters. The suits seek a declaration that the Defendants have breached
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their fiduciary duties, an order directing the Defendants not to redeem any ARPS at their liquidation value using fund assets, indeterminate monetary damages in favor of the funds and an award of plaintiffs' costs and disbursements in pursuing the action. Nuveen Asset Management believes that the Complaint is without merit, and intends to defend vigorously against these charges.
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Common Share Distribution
and Share Price Information
The following information regarding your Fund's distributions is current as of December 31, 2010, and likely will vary over time based on the Fund's investment activities and portfolio investment value changes.
During the twelve-month reporting period, the Funds did not make any changes to their quarterly distribution to common shareholders. Some of the important factors affecting the amount and composition of these distributions are summarized below.
The Funds employ financial leverage through the use of bank borrowings. Financial leverage provides the potential for higher earnings (net investment income), total returns and distributions over time, but—as noted earlier—also increases the variability of common shareholders' net asset value per share in response to changing market conditions.
Each Fund has a managed distribution program. The goal of this program is to provide common shareholders with relatively consistent and predictable cash flow by systematically converting the Fund's expected long-term return potential into regular distributions. As a result, regular common share distributions throughout the year are likely to include a portion of expected long-term gains (both realized and unrealized), along with net investment income.
Important points to understand about the managed distribution program are:
• Each Fund seeks to establish a relatively stable common share distribution rate that roughly corresponds to the projected total return from its investment strategy over an extended period of time. However, you should not draw any conclusions about a Fund's past or future investment performance from its current distribution rate.
• Actual common share returns will differ from projected long-term returns (and therefore a Fund's distribution rate), at least over shorter time periods. Over a specific timeframe, the difference between actual returns and total distributions will be reflected in an increasing (returns exceed distributions) or a decreasing (distributions exceed returns) Fund net asset value.
• Each distribution is expected to be paid from some or all of the following sources:
• net investment income (regular interest and dividends),
• realized capital gains, and
• unrealized gains, or, in certain cases, a return of principal (non-taxable distributions).
• A non-taxable distribution is a payment of a portion of a Fund's capital. When a Fund's returns exceed distributions, it may represent portfolio gains generated, but not realized as a taxable capital gain. In periods when a Fund's returns fall short of distributions, the shortfall will represent a portion of your original principal, unless the shortfall
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is offset during other time periods over the life of your investment (previous or subsequent) when a Fund's total return exceeds distributions.
• Because distribution source estimates are updated during the year based on a Fund's performance and forecast for its current fiscal year (which is the calendar year for each Fund), estimates on the nature of your distributions provided at the time distributions are paid may differ from both the tax information reported to you in your Fund's IRS Form 1099 statement provided at year end, as well as the ultimate economic sources of distributions over the life of your investment.
The following table provides information regarding each Fund's common share distributions and total return performance for the twelve months ended December 31, 2010. This information is intended to help you better understand whether the Fund's returns for the specified time period were sufficient to meet each Fund's distributions.
| As of 12/31/10 (Common Shares) | JPC | JQC | |||||||||
| Inception date | 3/26/03 | 6/25/03 | |||||||||
| Calendar year ended December 31, 2010: | |||||||||||
| Per share distribution: | |||||||||||
| From net investment income | $ | 0.57 | $ | 0.60 | |||||||
| From long-term capital gains | 0.00 | 0.00 | |||||||||
| From short-term capital gains | 0.00 | 0.00 | |||||||||
| Return of capital | 0.11 | 0.10 | |||||||||
| Total per share distribution | $ | 0.68 | $ | 0.70 | |||||||
| Distribution rate on NAV | 7.07 | % | 6.91 | % | |||||||
| Average annual total returns: | |||||||||||
| 1-Year on NAV | 21.06 | % | 21.02 | % | |||||||
| 5-Year on NAV | 1.05 | % | 1.92 | % | |||||||
| Since inception on NAV | 3.72 | % | 3.80 | % | |||||||
Common Share Repurchases and Share Price Information
As of December 31, 2010, and since the inception of the Funds' repurchase program, the Funds have cumulatively repurchased and retired shares of their common stock as shown in the accompanying table.
| Fund | Common Shares Repurchased and Retired | % of Outstanding Common Shares | |||||||||
| JPC | 2,123,250 | 2.2 | % | ||||||||
| JQC | 3,419,395 | 2.5 | % | ||||||||
Nuveen Investments
14
During the twelve-month reporting period, the Funds' common shares were repurchased and retired at a weighted average price and a weighted average discount per common share as shown in the accompanying table.
| Fund | Common Shares Repurchased and Retired | Weighted Average Price Per Common Share Repurchased and Retired | Weighted Average Discount Per Common Share Repurchased and Retired | ||||||||||||
| JPC | 485,500 | $ | 7.77 | 14.20 | % | ||||||||||
| JQC | 999,820 | $ | 8.18 | 14.30 | % | ||||||||||
At December 31, 2010, the Funds' common share prices were trading at (–) discounts to their common share NAVs as shown in the accompanying table.
| Fund | 12/31/10 (–) Discount | Twelve-Month Average (–) Discount | |||||||||
| JPC | -13.20 | % | -12.16 | % | |||||||
| JQC | -13.13 | % | -12.72 | % | |||||||
Nuveen Investments
15
Fund Snapshot
| Common Share Price | $ | 8.35 | |||||
| Common Share Net Asset Value (NAV) | $ | 9.62 | |||||
| Premium/(Discount) to NAV | -13.20 | % | |||||
| Current Distribution Rate1 | 8.14 | % | |||||
| Net Assets Applicable to Common Shares ($000) | $ | 938,844 | |||||
Average Annual Total Return
(Inception 3/26/03)
| On Share Price | On NAV | ||||||||||
| 1-Year | 21.28 | % | 21.06 | % | |||||||
| 5-Year | 2.90 | % | 1.05 | % | |||||||
| Since Inception | 2.27 | % | 3.72 | % | |||||||
Portfolio Composition
(as a % of total investments)2,4
| Commercial Banks | 13.6 | % | |||||
| Insurance | 13.4 | % | |||||
| Real Estate | 8.3 | % | |||||
| Oil, Gas & Consumable Fuels | 5.6 | % | |||||
| Media | 5.4 | % | |||||
| Diversified Financial Services | 3.9 | % | |||||
| Metals & Mining | 3.5 | % | |||||
| Capital Markets | 3.2 | % | |||||
| Pharmaceuticals | 2.2 | % | |||||
| Diversified Telecommunication Services | 2.2 | % | |||||
| Food Products | 2.2 | % | |||||
| Health Care Providers & Services | 2.0 | % | |||||
| Hotels, Restaurants & Leisure | 1.7 | % | |||||
| Communications Equipment | 1.5 | % | |||||
| Semiconductors & Equipment | 1.3 | % | |||||
| Energy Equipment & Services | 1.3 | % | |||||
| IT Services | 1.3 | % | |||||
| Aerospace & Defense | 1.2 | % | |||||
| Chemicals | 1.2 | % | |||||
| Multi-Utilities | 1.2 | % | |||||
| Short-Term Investments | 4.0 | % | |||||
| Other | 19.8 | % | |||||
Country Allocation
(as a % of total investments)2,4
| United States | 70.7 | % | |||||
| Canada | 4.4 | % | |||||
| United Kingdom | 4.3 | % | |||||
| Netherlands | 3.4 | % | |||||
| Bermuda | 3.0 | % | |||||
| France | 2.4 | % | |||||
| Japan | 2.0 | % | |||||
| Other | 9.8 | % | |||||
Top Five Issuers
(as a % of total investments)3,4
| Wachovia Corporation | 1.9 | % | |||||
| Deutsche Bank AG | 1.8 | % | |||||
| Union Planters Corporation | 1.4 | % | |||||
| Partners Re Limited | 1.4 | % | |||||
| Commonwealth REIT | 1.3 | % | |||||
JPC
Performance
OVERVIEW
Nuveen Multi-Strategy Income and Growth Fund
as of December 31, 2010
Portfolio Allocation (as a % of total investments)2,4
2009-2010 Distributions Per Common Share
Common Share Price Performance — Weekly Closing Price
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 Current Distribution Rate is based on the Fund's current annualized quarterly distribution divided by the Fund's current market price. The Fund's quarterly distributions to its shareholders may be comprised of ordinary income, net realized capital gains and, if at the end of the calendar year the Fund's cumulative net ordinary income and net realized gains are less than the amount of the Fund's distributions, a return of capital for tax purposes.
2 Excluding common stocks sold short and investments in derivatives.
3 Excluding short-term investments, common stocks sold short and investments in derivatives.
4 Holdings are subject to change.
5 Rounds to less than 0.1%.
Nuveen Investments
16
JQC
Performance
OVERVIEW
Nuveen Multi-Strategy Income and Growth Fund 2
as of December 31, 2010
Portfolio Allocation (as a % of total investments)2,4
2009-2010 Distributions Per Common Share
Common Share Price Performance — Weekly Closing Price
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 Current Distribution Rate is based on the Fund's current annualized quarterly distribution divided by the Fund's current market price. The Fund's quarterly distributions to its shareholders may be comprised of ordinary income, net realized capital gains and, if at the end of the calendar year the Fund's cumulative net ordinary income and net realized gains are less than the amount of the Fund's distributions, a return of capital for tax purposes.
2 Excluding common stocks sold short and investments in derivatives.
3 Excluding short-term investments, common stocks sold short and investments in derivatives.
4 Holdings are subject to change.
5 Rounds to less than 0.1%.
Fund Snapshot
| Common Share Price | $ | 8.80 | |||||
| Common Share Net Asset Value (NAV) | $ | 10.13 | |||||
| Premium/(Discount) to NAV | -13.13 | % | |||||
| Current Distribution Rate1 | 7.95 | % | |||||
| Net Assets Applicable to Common Shares ($000) | $ | 1,388,235 | |||||
Average Annual Total Return
(Inception 6/25/03)
| On Share Price | On NAV | ||||||||||
| 1-Year | 24.26 | % | 21.02 | % | |||||||
| 5-Year | 3.67 | % | 1.92 | % | |||||||
| Since Inception | 2.36 | % | 3.80 | % | |||||||
Portfolio Composition
(as a % of total investments)2,4
| Insurance | 14.3 | % | |||||
| Commercial Banks | 13.7 | % | |||||
| Real Estate | 7.7 | % | |||||
| Media | 5.2 | % | |||||
| Oil, Gas & Consumable Fuels | 5.2 | % | |||||
| Metals & Mining | 3.6 | % | |||||
| Capital Markets | 3.6 | % | |||||
| Diversified Financial Services | 2.8 | % | |||||
| Diversified Telecommunication Services | 2.3 | % | |||||
| Electric Utilities | 2.3 | % | |||||
| Pharmaceuticals | 2.2 | % | |||||
| Food Products | 2.0 | % | |||||
| Health Care Providers & Services | 1.9 | % | |||||
| Hotels, Restaurants & Leisure | 1.6 | % | |||||
| Communications Equipment | 1.5 | % | |||||
| Investment Companies | 1.4 | % | |||||
| IT Services | 1.3 | % | |||||
| Semiconductors & Equipment | 1.3 | % | |||||
| Energy Equipment & Services | 1.3 | % | |||||
| Chemicals | 1.2 | % | |||||
| Short-Term Investments | 3.8 | % | |||||
| Other | 19.8 | % | |||||
Country Allocation
(as a % of total investments)2,4
| United States | 69.3 | % | |||||
| United Kingdom | 7.3 | % | |||||
| Canada | 3.8 | % | |||||
| Netherlands | 3.6 | % | |||||
| Bermuda | 2.8 | % | |||||
| France | 2.5 | % | |||||
| Japan | 2.1 | % | |||||
| Other | 8.6 | % | |||||
Top Five Issuers
(as a % of total investments)3,4
| Deutsche Bank AG | 1.7 | % | |||||
| Comcast Corporation | 1.6 | % | |||||
| Aegon N.V. | 1.4 | % | |||||
| ING Groep N.V. | 1.3 | % | |||||
| Partners Re Limited | 1.2 | % | |||||
Nuveen Investments
17
Report of INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
The Board of Trustees and Shareholders
Nuveen Multi-Strategy Income and Growth Fund
Nuveen Multi-Strategy Income and Growth Fund 2
We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of Nuveen Multi-Strategy Income and Growth Fund and Nuveen Multi-Strategy Income and Growth Fund 2 (the "Funds") as of December 31, 2010, and the related statements of operations and cash flows for the year then ended, the statements of changes in net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended. These financial statements and financial highlights are the responsibility of the Funds' management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Funds' internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds' internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2010, by correspondence with the custodian, selling or agent banks and brokers or by other appropriate auditing procedures where replies from selling or agent banks or brokers were not received. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial positions of Nuveen Multi-Strategy Income and Growth Fund and Nuveen Multi-Strategy Income and Growth Fund 2 at December 31, 2010, the results of their operations and their cash flows for the year then ended, the changes in their net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended in conformity with U.S. generally accepted accounting principles.
Chicago, Illinois
February 25, 2011
Nuveen Investments
18
JPC
Nuveen Multi-Strategy Income and Growth Fund
Portfolio of INVESTMENTS
December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Common Stocks – 35.4% (27.4% of Total Investments) | |||||||||||
| Aerospace & Defense – 1.1% | |||||||||||
| 29,962 | Aveos Fleet Performance Inc., (2), (16) | $ | 314,601 | ||||||||
| 11,280 | Boeing Company | 736,133 | |||||||||
| 2,220 | Esterline Technologies Corporation, (2) | 152,270 | |||||||||
| 98,500 | Finmeccanica SPA | 1,119,475 | |||||||||
| 3,475 | GeoEye, Inc., (2) | 147,305 | |||||||||
| 2,540 | L-3 Communications Holdings, Inc. | 179,045 | |||||||||
| 54,176 | Lockheed Martin Corporation, (3) | 3,787,444 | |||||||||
| 3,090 | Orbital Sciences Corporation | 52,932 | |||||||||
| 97,550 | Thales S.A. | 3,413,373 | |||||||||
| 2,340 | United Technologies Corporation | 184,205 | |||||||||
| Total Aerospace & Defense | 10,086,783 | ||||||||||
| Air Freight & Logistics – 0.1% | |||||||||||
| 8,500 | United Parcel Service, Inc., Class B | 616,930 | |||||||||
| Airlines – 0.0% | |||||||||||
| 13,960 | Hawaiian Holdings Inc., (2) | 109,446 | |||||||||
| Auto Components – 0.2% | |||||||||||
| 7,310 | Cooper Tire & Rubber | 172,370 | |||||||||
| 5,710 | Goodyear Tire & Rubber Company, (2) | 67,664 | |||||||||
| 31,020 | Johnson Controls, Inc. | 1,184,964 | |||||||||
| 5,840 | TRW Automotive Holdings Corporation, (2) | 307,768 | |||||||||
| Total Auto Components | 1,732,766 | ||||||||||
| Automobiles – 0.4% | |||||||||||
| 63,589 | Honda Motor Company Limited | 2,518,027 | |||||||||
| 1,008 | Toyota Motor Corporation, Sponsored ADR | 79,259 | |||||||||
| 25,580 | Toyota Motor Corporation | 1,014,504 | |||||||||
| Total Automobiles | 3,611,790 | ||||||||||
| Beverages – 0.7% | |||||||||||
| 220,983 | Coca-Cola Amatil Limited | 2,454,593 | |||||||||
| 21,881 | Coca-Cola Femsa SAB de CV | 1,803,651 | |||||||||
| 25,640 | Coca-Cola Company | 1,686,343 | |||||||||
| 15,005 | Dr. Pepper Snapple Group | 527,576 | |||||||||
| 8,490 | Molson Coors Brewing Company, Class B | 426,113 | |||||||||
| Total Beverages | 6,898,276 | ||||||||||
| Biotechnology – 0.2% | |||||||||||
| 12,410 | Amgen Inc., (2) | 681,309 | |||||||||
| 6,140 | Biogen Idec Inc., (2) | 411,687 | |||||||||
| 6,450 | BioMarin Pharmaceutical Inc., (2) | 173,699 | |||||||||
| 2,570 | Celgene Corporation, (2) | 151,990 | |||||||||
| 5,285 | Cubist Pharmaceuticals Inc., (2) | 113,099 | |||||||||
| 6,450 | Geron Corporation, (2) | 33,347 | |||||||||
| 14,270 | Gilead Sciences, Inc., (2) | 517,145 | |||||||||
Nuveen Investments
19
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Biotechnology (continued) | |||||||||||
| 4,530 | Incyte Pharmaceuticals Inc., (2) | $ | 75,017 | ||||||||
| 11,461 | Nabi Biopharmaceuticals, (2) | 66,359 | |||||||||
| 11,160 | PDL Biopahrma Inc. | 69,527 | |||||||||
| Total Biotechnology | 2,293,179 | ||||||||||
| Building Products – 0.1% | |||||||||||
| 36,123 | Masonite Worldwide Holdings, (2) | 1,255,274 | |||||||||
| Capital Markets – 0.5% | |||||||||||
| 3,130 | Affiliated Managers Group Inc., (2) | 310,559 | |||||||||
| 3,410 | Ameriprise Financial, Inc. | 196,246 | |||||||||
| 2,810 | Artio Global Investors Inc. | 41,448 | |||||||||
| 4,380 | Calamos Asset Management, Inc. Class A | 61,320 | |||||||||
| 6,310 | Invesco LTD | 151,819 | |||||||||
| 15,455 | Legg Mason, Inc. | 560,553 | |||||||||
| 4,720 | T. Rowe Price Group Inc. | 304,629 | |||||||||
| 45,240 | UBS AG | 742,710 | |||||||||
| 111,272 | UBS AG, (2), (3) | 1,832,650 | |||||||||
| Total Capital Markets | 4,201,934 | ||||||||||
| Chemicals – 1.0% | |||||||||||
| 15,060 | Celanese Corporation, Series A | 620,020 | |||||||||
| 680 | CF Industries Holdings, Inc. | 91,902 | |||||||||
| 2,720 | Intrepid Potash Inc., (2) | 101,429 | |||||||||
| 80,252 | Kuraray Company Limited | 1,150,552 | |||||||||
| 3,060 | Minerals Technologies Inc. | 200,155 | |||||||||
| 16,750 | Mosaic Company | 1,279,030 | |||||||||
| 27,125 | Nitto Denko Corporation | 1,277,905 | |||||||||
| 8,120 | Potash Corporation of Saskatchewan | 1,261,324 | |||||||||
| 2,630 | PPG Industries, Inc. | 221,104 | |||||||||
| 1,387 | Shin-Etsu Chemical Company Limited, ADR, (16) | 75,246 | |||||||||
| 5,630 | Solutia Inc., (2) | 129,940 | |||||||||
| 49,607 | Umicore | 2,580,000 | |||||||||
| 3,410 | Westlake Chemical Corporation | 148,233 | |||||||||
| Total Chemicals | 9,136,840 | ||||||||||
| Commercial Banks – 2.4% | |||||||||||
| 71,973 | Associated Banc-Corp. | 1,090,391 | |||||||||
| 77,919 | Banco Itau Holdings Financeira, S.A., Sponsred ADR | 1,870,835 | |||||||||
| 81,280 | Banco Santander Central Hispano S.A. | 1,105,408 | |||||||||
| 87,249 | Banco Santander Central Hispano S.A., ADR | 924,332 | |||||||||
| 12,100 | BNP Paribas SA | 769,817 | |||||||||
| 14,590 | Canadian Imperial Bank of Commerce | 1,149,386 | |||||||||
| 6,300 | Columbia Banking Systems Inc. | 132,678 | |||||||||
| 9,496 | Commerce Bancshares Inc. | 377,276 | |||||||||
| 6,765 | Community Bank System Inc. | 187,864 | |||||||||
| 199,562 | DnB NOR ASA | 2,801,026 | |||||||||
| 7,810 | East West Bancorp Inc. | 152,686 | |||||||||
| 5,090 | First Financial Bancorp. | 94,063 | |||||||||
| 76,091 | Hang Seng Bank | 1,249,127 | |||||||||
| 156,530 | HSBC Holdings PLC | 1,588,982 | |||||||||
| 6,510 | M&T Bank Corporation | 566,696 | |||||||||
| 91,571 | Mitsubishi UFJ Financial Group, Inc., ADR | 495,131 | |||||||||
| 298,117 | Mizuho Financial Group | 561,792 | |||||||||
| 14,800 | Societe Generale | 795,441 | |||||||||
| 83,163 | Standard Chartered PLC | 2,237,272 | |||||||||
| 14,845 | Sumitomo Mitsui Financial Group | 528,781 | |||||||||
| 11,373 | Sumitomo Trust & Banking Company, ADR, (16) | 72,105 | |||||||||
Nuveen Investments
20
| Shares | Description (1) | Value | |||||||||
| Commercial Banks (continued) | |||||||||||
| 26,000 | Toronto-Dominion Bank | $ | 1,941,567 | ||||||||
| 28,290 | U.S. Bancorp | 762,981 | |||||||||
| 2,180 | UMB Financial Corporation | 90,296 | |||||||||
| 10,830 | Umpqua Holdings Corporation | 131,909 | |||||||||
| 15,430 | Wells Fargo & Company | 478,176 | |||||||||
| Total Commercial Banks | 22,156,018 | ||||||||||
| Commercial Services & Supplies – 0.4% | |||||||||||
| 27,660 | Aggreko PLC | 639,108 | |||||||||
| 1,390 | Clean Harbors, Inc., (2) | 116,871 | |||||||||
| 10,615 | Republic Services, Inc. | 316,964 | |||||||||
| 4,047 | Stericycle Inc., (2) | 327,483 | |||||||||
| 253,300 | Toppan Printing Company Limited | 2,314,923 | |||||||||
| 4,170 | Waste Management, Inc. | 153,748 | |||||||||
| Total Commercial Services & Supplies | 3,869,097 | ||||||||||
| Communications Equipment – 0.4% | |||||||||||
| 1,970 | Comtech Telecom Corporation | 54,628 | |||||||||
| 2,465 | Interdigital Inc., (2) | 102,643 | |||||||||
| 76,620 | Nokia Oyj | 792,478 | |||||||||
| 122,442 | Nokia Corporation, ADR, (3) | 1,263,601 | |||||||||
| 6,410 | Plantronics Inc. | 238,580 | |||||||||
| 27,520 | QUALCOMM, Inc. | 1,361,965 | |||||||||
| Total Communications Equipment | 3,813,895 | ||||||||||
| Computers & Peripherals – 0.5% | |||||||||||
| 11,771 | Apple, Inc., (2) | 3,796,854 | |||||||||
| 4,250 | Network Appliance Inc., (2) | 233,580 | |||||||||
| 5,590 | SanDisk Corporation, (2) | 278,717 | |||||||||
| 1,075 | Western Digital Corporation, (2) | 36,443 | |||||||||
| Total Computers & Peripherals | 4,345,594 | ||||||||||
| Construction & Engineering – 0.1% | |||||||||||
| 27,130 | Royal Boskalis Westminster NV | 1,294,261 | |||||||||
| 2,286 | Shaw Group Inc., (2) | 78,250 | |||||||||
| Total Construction & Engineering | 1,372,511 | ||||||||||
| Consumer Finance – 0.0% | |||||||||||
| 11,140 | Discover Financial Services | 206,424 | |||||||||
| Containers & Packaging – 0.0% | |||||||||||
| 10,930 | Boise Inc. | 86,675 | |||||||||
| 1,422 | Rock-Tenn Company | 76,717 | |||||||||
| Total Containers & Packaging | 163,392 | ||||||||||
| Diversified Consumer Services – 0.0% | |||||||||||
| 670 | Coinstar Inc., (2) | 37,815 | |||||||||
| 3,800 | Sothebys Holdings Inc. | 171,000 | |||||||||
| Total Diversified Consumer Services | 208,815 | ||||||||||
| Diversified Financial Services – 0.1% | |||||||||||
| 850 | CME Group, Inc. | 273,488 | |||||||||
| 3,072 | Guoco Group Ltd, ADR, (16) | 82,207 | |||||||||
| 52,000 | Guoco Group Ltd | 690,408 | |||||||||
| 4,300 | Nasdaq Stock Market, Inc., (2) | 101,953 | |||||||||
| Total Diversified Financial Services | 1,148,056 | ||||||||||
Nuveen Investments
21
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Diversified Telecommunication Services – 0.8% | |||||||||||
| 6,870 | CenturyLink Inc. | $ | 317,188 | ||||||||
| 37,500 | KT Corporation, Sponsored ADR | 780,000 | |||||||||
| 167,667 | Nippon Telegraph and Telephone Corporation, ADR, (3) | 3,846,281 | |||||||||
| 1,455,000 | Telecom Italia S.p.A | 1,578,785 | |||||||||
| 2,884 | Telus Corporation | 125,627 | |||||||||
| 19,820 | Verizon Communications Inc. | 709,160 | |||||||||
| Total Diversified Telecommunication Services | 7,357,041 | ||||||||||
| Electric Utilities – 1.0% | |||||||||||
| 150,790 | Centrais Electricas Brasileiras S.A., PFD B ADR | 2,512,161 | |||||||||
| 9,710 | DPL Inc. | 249,644 | |||||||||
| 14,780 | Duke Energy Corporation | 263,232 | |||||||||
| 2,320 | Edison International | 89,552 | |||||||||
| 9,648 | Electricite de France S.A., ADR, (16) | 80,078 | |||||||||
| 26,600 | Electricite de France S.A. | 1,091,072 | |||||||||
| 16,851 | Exelon Corporation | 701,676 | |||||||||
| 152,632 | Korea Electric Power Corporation, Sponsored ADR, (3) | 2,062,058 | |||||||||
| 15,080 | Northeast Utilities | 480,750 | |||||||||
| 3,127 | PNM Resources Inc. | 40,714 | |||||||||
| 4,650 | Portland General Electric Company | 100,905 | |||||||||
| 12,710 | Progress Energy, Inc. | 552,631 | |||||||||
| 18,620 | Southern Company | 711,843 | |||||||||
| 4,870 | UIL Holdings Corporation | 145,905 | |||||||||
| Total Electric Utilities | 9,082,221 | ||||||||||
| Electrical Equipment – 0.9% | |||||||||||
| 51,392 | ABB Limited, ADR | 1,153,750 | |||||||||
| 67,689 | ABB Limited | 1,507,981 | |||||||||
| 18,500 | Areva CI | 902,337 | |||||||||
| 9,515 | GrafTech International Ltd, (2) | 188,778 | |||||||||
| 25,613 | Nidec Corporation | 2,590,008 | |||||||||
| 2,710 | Rockwell Automation, Inc. | 194,334 | |||||||||
| 53,350 | Sensata Techologies Holdings | 1,606,369 | |||||||||
| Total Electrical Equipment | 8,143,557 | ||||||||||
| Electronic Equipment & Instruments – 0.4% | |||||||||||
| 6,800 | Daktronics Inc. | 108,256 | |||||||||
| 2,570 | FLIR Systems Inc., (2) | 76,458 | |||||||||
| 59,801 | Hoya Corporation | 1,452,489 | |||||||||
| 8,170 | Ingram Micro, Inc., Class A, (2) | 155,965 | |||||||||
| 125,982 | Nippon Electric Glass Company Limited | 1,818,585 | |||||||||
| 10,290 | Power One Inc, (2) | 104,958 | |||||||||
| 1,459 | Tech Data Corporation, (2) | 64,225 | |||||||||
| Total Electronic Equipment & Instruments | 3,780,936 | ||||||||||
| Energy Equipment & Services – 0.7% | |||||||||||
| 75,240 | ACERGY S.A., ADR | 1,843,912 | |||||||||
| 126,281 | AMEC PLC | 2,264,173 | |||||||||
| 718 | Baker Hughes Incorporated | 41,048 | |||||||||
| 9,455 | Cooper Cameron Corporation, (2) | 479,652 | |||||||||
| 4,865 | FMC Technologies Inc., (2) | 432,547 | |||||||||
| 9,265 | Halliburton Company | 378,290 | |||||||||
| 3,980 | Hornbeck Offshore Services Inc. | 83,102 | |||||||||
| 7,970 | Oil States International Inc., (2) | 510,797 | |||||||||
| 10,240 | Patterson-UTI Energy, Inc. | 220,672 | |||||||||
| 8,010 | Schlumberger Limited | 668,835 | |||||||||
| Total Energy Equipment & Services | 6,923,028 | ||||||||||
Nuveen Investments
22
| Shares | Description (1) | Value | |||||||||
| Food & Staples Retailing – 1.2% | |||||||||||
| 162,921 | Jeronimo Martins SGPS | $ | 2,481,909 | ||||||||
| 83,645 | Koninklijke Ahold N.V. | 1,103,888 | |||||||||
| 118,352 | Kroger Co., (3) | 2,646,351 | |||||||||
| 97,928 | Wal-Mart Stores, Inc., (3) | 5,281,257 | |||||||||
| Total Food & Staples Retailing | 11,513,405 | ||||||||||
| Food Products – 1.7% | |||||||||||
| 6,330 | Archer-Daniels-Midland Company | 190,406 | |||||||||
| 6,260 | Corn Products International, Inc. | 287,960 | |||||||||
| 1,090 | Diamond Foods Inc. | 57,966 | |||||||||
| 9,020 | General Mills, Inc. | 321,022 | |||||||||
| 15,070 | H.J. Heinz Company | 745,362 | |||||||||
| 15,095 | Hershey Foods Corporation | 711,729 | |||||||||
| 9,550 | Kellogg Company | 487,814 | |||||||||
| 24,280 | Mead Johnson Nutrition Company, Class A Shares | 1,511,430 | |||||||||
| 31,966 | Nestle S.A. | 1,871,806 | |||||||||
| 10,630 | Ralcorp Holdings Inc., (2) | 691,056 | |||||||||
| 178,887 | Smithfield Foods, Inc., (2), (3) | 3,690,439 | |||||||||
| 184,736 | Tyson Foods, Inc., Class A, (3) | 3,181,154 | |||||||||
| 76,130 | Unilever PLC, ADR | 2,329,968 | |||||||||
| Total Food Products | 16,078,112 | ||||||||||
| Gas Utilities – 0.0% | |||||||||||
| 2,640 | National Fuel Gas Company | 173,237 | |||||||||
| Health Care Equipment & Supplies – 0.4% | |||||||||||
| 5,970 | Align Technology, Inc., (2) | 116,654 | |||||||||
| 2,560 | Beckman Coulter, Inc. | 192,589 | |||||||||
| 12,250 | Becton, Dickinson and Company | 1,035,370 | |||||||||
| 1,870 | C. R. Bard, Inc. | 171,610 | |||||||||
| 2,520 | Cooper Companies, Inc. | 141,977 | |||||||||
| 5,570 | Covidien PLC | 254,326 | |||||||||
| 11,740 | Edwards Lifesciences Corporation, (2) | 949,062 | |||||||||
| 13,220 | Hologic Inc., (2) | 248,800 | |||||||||
| 5,330 | Masimo Corporation | 154,943 | |||||||||
| 2,390 | Steris Corporation | 87,139 | |||||||||
| 1,761 | Zimmer Holdings, Inc., (2) | 94,530 | |||||||||
| Total Health Care Equipment & Supplies | 3,447,000 | ||||||||||
| Health Care Providers & Services – 0.9% | |||||||||||
| 80,533 | Aetna Inc., (3) | 2,457,062 | |||||||||
| 1,620 | Air Methods Corporation, (2) | 91,157 | |||||||||
| 30,240 | AmerisourceBergen Corporation | 1,031,789 | |||||||||
| 2,360 | Centene Corporation, (2) | 59,802 | |||||||||
| 7,820 | Express Scripts, Inc., (2) | 422,671 | |||||||||
| 26,233 | Fresenius Medical Care, ADR | 1,515,434 | |||||||||
| 9,620 | HealthSouth Corporation, (2) | 199,230 | |||||||||
| 2,740 | Humana Inc., (2) | 149,988 | |||||||||
| 1,920 | Laboratory Corporation of America Holdings, (2) | 168,806 | |||||||||
| 9,029 | Lincare Holdings | 242,248 | |||||||||
| 13,910 | McKesson HBOC Inc. | 978,986 | |||||||||
| 10,120 | Medco Health Solutions, Inc., (2) | 620,052 | |||||||||
| 3,337 | Omnicare, Inc. | 84,726 | |||||||||
| 3,770 | Owens and Minor Inc. | 110,951 | |||||||||
| 4,920 | Quest Diagnostics Incorporated | 265,532 | |||||||||
| Total Health Care Providers & Services | 8,398,434 | ||||||||||
Nuveen Investments
23
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Hotels, Restaurants & Leisure – 0.5% | |||||||||||
| 10,230 | Bally Technologies, Inc., (2) | $ | 431,604 | ||||||||
| 40,075 | Carnival Corporation | 1,863,180 | |||||||||
| 1,650 | Chipotle Mexican Grill Inc., (2) | 350,889 | |||||||||
| 7,490 | Las Vegas Sands, (2) | 344,166 | |||||||||
| 2,260 | Marriott International, Inc., Class A | 93,880 | |||||||||
| 4,250 | MGM Mirage Inc., (2) | 63,113 | |||||||||
| 2,660 | Penn National Gaming, Inc., (2) | 93,499 | |||||||||
| 6,800 | Royal Caribbean Cruises Limited, (2) | 319,600 | |||||||||
| 14,030 | Starbucks Corporation | 450,784 | |||||||||
| 2,061 | Vail Resorts, Inc. | 107,254 | |||||||||
| 4,180 | YUM! Brands, Inc. | 205,029 | |||||||||
| Total Hotels, Restaurants & Leisure | 4,322,998 | ||||||||||
| Household Durables – 0.2% | |||||||||||
| 10,990 | D.R. Horton, Inc. | 131,111 | |||||||||
| 7,220 | Lennar Corporation, Class A | 135,375 | |||||||||
| 4,855 | Meritage Corporation, (2) | 107,781 | |||||||||
| 27,250 | Newell Rubbermaid Inc. | 495,405 | |||||||||
| 201,188 | Oriental Weavers Group | 1,187,027 | |||||||||
| 3,855 | Tempur Pedic International Inc., (2) | 154,431 | |||||||||
| Total Household Durables | 2,211,130 | ||||||||||
| Household Products – 0.2% | |||||||||||
| 8,890 | Colgate-Palmolive Company | 714,489 | |||||||||
| 10,190 | Kimberly-Clark Corporation | 642,378 | |||||||||
| 12,160 | Procter & Gamble Company | 782,253 | |||||||||
| Total Household Products | 2,139,120 | ||||||||||
| Independent Power Producers & Energy Traders – 0.1% | |||||||||||
| 19,190 | Constellation Energy Group | 587,790 | |||||||||
| Industrial Conglomerates – 0.5% | |||||||||||
| 3,850 | 3M Co | 332,255 | |||||||||
| 233,172 | Fraser and Neave Limited | 1,164,634 | |||||||||
| 22,820 | General Electric Company | 417,378 | |||||||||
| 14,980 | Rheinmetall AG | 1,204,469 | |||||||||
| 9,350 | Siemens AG, Sponsored ADR | 1,158,231 | |||||||||
| 5,340 | Textron Inc. | 126,238 | |||||||||
| Total Industrial Conglomerates | 4,403,205 | ||||||||||
| Insurance – 1.0% | |||||||||||
| 13,384 | AFLAC Incorporated | 755,259 | |||||||||
| 6,590 | Alterra Capital Holdings Limited | 142,608 | |||||||||
| 872 | Aon Corporation | 40,121 | |||||||||
| 6,614 | Axis Capital Holdings Limited | 237,310 | |||||||||
| 6,870 | Delphi Financial Group, Inc. | 198,131 | |||||||||
| 20,410 | Genworth Financial Inc., Class A, (2) | 268,187 | |||||||||
| 42,354 | Hannover Rueckversicherung AG | 2,271,547 | |||||||||
| 13,210 | Hartford Financial Services Group, Inc. | 349,933 | |||||||||
| 24,822 | Lincoln National Corporation | 690,300 | |||||||||
| 1,315 | Loews Corporation | 51,167 | |||||||||
| 5,759 | Marsh & McLennan Companies, Inc. | 157,451 | |||||||||
| 14,441 | Old Republic International Corporation | 196,831 | |||||||||
| 2,030 | PartnerRe Limited | 163,111 | |||||||||
| 4,610 | Primerica Inc. | 111,793 | |||||||||
| 14,270 | Progressive Corporation | 283,545 | |||||||||
| 105,446 | Prudential Corporation PLC | 1,098,197 | |||||||||
| 3,220 | Prudential Financial, Inc. | 189,046 | |||||||||
Nuveen Investments
24
| Shares | Description (1) | Value | |||||||||
| Insurance (continued) | |||||||||||
| 3,120 | Reinsurance Group of America Inc. | $ | 167,575 | ||||||||
| 18,860 | Symetra Financial Corporation | 258,382 | |||||||||
| 5,260 | Tower Group Inc. | 134,551 | |||||||||
| 33,560 | Willis Group Holdings PLC | 1,162,183 | |||||||||
| 5,930 | WR Berkley Corporation | 162,363 | |||||||||
| Total Insurance | 9,089,591 | ||||||||||
| Internet & Catalog Retail – 0.1% | |||||||||||
| 22,990 | Expedia, Inc. | 576,819 | |||||||||
| Internet Software & Services – 0.6% | |||||||||||
| 91,847 | eBay Inc., (2), (3) | 2,556,102 | |||||||||
| 3,100 | Google Inc., Class A, (2) | 1,841,307 | |||||||||
| 5,520 | IAC/InterActiveCorp., (2) | 158,424 | |||||||||
| 5,430 | Rackspace Hosting Inc., (2) | 170,556 | |||||||||
| 25,145 | Tencent Holdings Limited | 553,185 | |||||||||
| Total Internet Software & Services | 5,279,574 | ||||||||||
| IT Services – 0.4% | |||||||||||
| 7,670 | Accenture Limited | 371,918 | |||||||||
| 16,590 | Automatic Data Processing, Inc. | 767,785 | |||||||||
| 5,670 | CSG Systems International Inc., (2) | 107,390 | |||||||||
| 13,005 | International Business Machines Corporation (IBM) | 1,908,614 | |||||||||
| 2,110 | MasterCard, Inc. | 472,872 | |||||||||
| 1,980 | Maximus Inc. | 129,848 | |||||||||
| 3,721 | VeriFone Holdings Inc., (2) | 143,482 | |||||||||
| 3,225 | Wright Express Corporation, (2) | 148,350 | |||||||||
| Total IT Services | 4,050,259 | ||||||||||
| Leisure Equipment & Products – 0.0% | |||||||||||
| 6,410 | JAKKS Pacific Inc. | 116,790 | |||||||||
| Life Sciences Tools & Services – 0.1% | |||||||||||
| 7,870 | Affymetrix, Inc., (2) | 39,586 | |||||||||
| 950 | Bio-Rad Laboratories Inc., (2) | 98,658 | |||||||||
| 7,780 | Life Technologies Corporation, (2) | 431,790 | |||||||||
| 6,150 | Waters Corporation, (2) | 477,917 | |||||||||
| Total Life Sciences Tools & Services | 1,047,951 | ||||||||||
| Machinery – 1.0% | |||||||||||
| 4,527 | AGCO Corporation, (2) | 229,338 | |||||||||
| 4,110 | ArvinMeritor Inc., (2) | 84,337 | |||||||||
| 2,380 | Astecx Industries Inc. | 77,136 | |||||||||
| 10,030 | Caterpillar Inc. | 939,410 | |||||||||
| 1,350 | Crane Company | 55,445 | |||||||||
| 11,610 | Cummins Inc. | 1,277,216 | |||||||||
| 3,900 | Danaher Corporation | 183,963 | |||||||||
| 3,890 | Deere & Company | 323,065 | |||||||||
| 3,230 | Eaton Corporation | 327,877 | |||||||||
| 1,180 | Kaydon Corporation | 48,050 | |||||||||
| 35,991 | Kone OYJ | 2,000,742 | |||||||||
| 920 | Nordson Corporation | 84,530 | |||||||||
| 24,590 | Oshkosh Truck Corporation, (2) | 866,552 | |||||||||
| 7,700 | Parker Hannifin Corporation | 664,510 | |||||||||
| 15,690 | Timken Company | 748,884 | |||||||||
| 11,080 | Vallourec SA | 1,163,768 | |||||||||
| Total Machinery | 9,074,823 | ||||||||||
Nuveen Investments
25
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Marine – 0.2% | |||||||||||
| 8,660 | Genco Shipping and Trading Limited, (2) | $ | 124,704 | ||||||||
| 68,000 | Stolt-Nielsen Ltd. | 1,660,654 | |||||||||
| Total Marine | 1,785,358 | ||||||||||
| Media – 0.6% | |||||||||||
| 14,050 | Cablevision Systems Corporation | 475,452 | |||||||||
| 32,027 | Citadel Broadcasting Corporation, (2) | 964,653 | |||||||||
| 23,975 | Comcast Corporation, Class A | 526,731 | |||||||||
| 20,376 | DIRECTV Group, Inc., (2) | 813,614 | |||||||||
| 2,495 | Madison Square Garden Inc., (2) | 64,321 | |||||||||
| 14,297 | Metro-Goldwyn-Mayer | 339,554 | |||||||||
| 2,669 | Philadelphia Newspapers LLC | 280,245 | |||||||||
| 16,449 | Readers Digest Association Inc., (2), (16) | 390,664 | |||||||||
| 10,180 | Scripps Networks Interactive, Class A Shares | 526,815 | |||||||||
| 1,322 | Time Warner Cable, Inc. | 87,292 | |||||||||
| 78,450 | WPP Group PLC | 965,648 | |||||||||
| Total Media | 5,434,989 | ||||||||||
| Metals & Mining – 3.4% | |||||||||||
| 31,000 | AngloGold Ashanti Limited, Sponsored ADR, (3) | 1,526,130 | |||||||||
| 132,868 | Barrick Gold Corporation, (3) | 7,065,920 | |||||||||
| 44,513 | BHP Billiton PLC, ADR | 2,060,138 | |||||||||
| 1,310 | Cliffs Natural Resources Inc. | 102,193 | |||||||||
| 15,995 | Freeport-McMoRan Copper & Gold, Inc. | 1,920,840 | |||||||||
| 220,631 | Gold Fields Limited, Sponsored ADR, (3) | 4,000,040 | |||||||||
| 31,200 | Ivanhoe Mines Ltd, (2), (3) | 715,104 | |||||||||
| 12,590 | Kinross Gold Corporation | 238,706 | |||||||||
| 1,808 | Newcrest Mining Limited, Sponsored ADR, (16) | 75,303 | |||||||||
| 18,000 | Newcrest Mining Limited | 744,517 | |||||||||
| 79,016 | Newmont Mining Corporation, (3) | 4,853,953 | |||||||||
| 5,010 | Noranda Aluminum Hodlings Corporation | 73,146 | |||||||||
| 4,977 | NovaGold Resources Inc., (2) | 71,022 | |||||||||
| 79,000 | NovaGold Resources Inc., 144A | 1,127,330 | |||||||||
| 52,073 | Polyus Gold Company, ADR, (16) | 1,887,646 | |||||||||
| 31,660 | Rio Tinto Limited | 2,767,677 | |||||||||
| 5,310 | Steel Dynamics Inc. | 97,173 | |||||||||
| 97,730 | Sterlite Industries India Ltd., ADR | 1,616,454 | |||||||||
| 10,880 | Walter Industries Inc. | 1,390,899 | |||||||||
| Total Metals & Mining | 32,334,191 | ||||||||||
| Multiline Retail – 0.3% | |||||||||||
| 2,905 | Dillard's, Inc., Class A | 110,216 | |||||||||
| 8,250 | Family Dollar Stores, Inc. | 410,108 | |||||||||
| 18,880 | Macy's, Inc. | 477,664 | |||||||||
| 46,951 | Next PLC | 1,445,725 | |||||||||
| Total Multiline Retail | 2,443,713 | ||||||||||
| Multi-Utilities – 0.2% | |||||||||||
| 15,921 | Ameren Corporation | 448,813 | |||||||||
| 7,970 | Consolidated Edison, Inc. | 395,073 | |||||||||
| 15,280 | Dominion Resources, Inc. | 652,762 | |||||||||
| 3,510 | Integrys Energy Group, Inc. | 170,270 | |||||||||
| 2,480 | OGE Energy Corp. | 112,939 | |||||||||
| 3,000 | Sempra Energy | 157,440 | |||||||||
| 5,150 | Wisconsin Energy Corporation | 303,129 | |||||||||
| Total Multi-Utilities | 2,240,426 | ||||||||||
| Office Electronics – 0.1% | |||||||||||
| 23,343 | Canon Inc. | 1,210,420 | |||||||||
Nuveen Investments
26
| Shares | Description (1) | Value | |||||||||
| Oil, Gas & Consumable Fuels – 3.6% | |||||||||||
| 55,413 | Arch Coal Inc., (3) | $ | 1,942,780 | ||||||||
| 66,040 | BG Group PLC | 1,334,399 | |||||||||
| 113,689 | Cameco Corporation, (3) | 4,590,762 | |||||||||
| 87,118 | Chesapeake Energy Corporation, (3) | 2,257,227 | |||||||||
| 4,710 | Cimarex Energy Company | 416,976 | |||||||||
| 1,777 | ConocoPhillips | 121,014 | |||||||||
| 22,960 | Continental Resources Inc., (2) | 1,351,196 | |||||||||
| 4,910 | Devon Energy Corporation | 385,484 | |||||||||
| 66,200 | Gazprom OAO, ADR | 1,671,550 | |||||||||
| 10,505 | Hess Corporation | 804,053 | |||||||||
| 6,050 | Newfield Exploration Company, (2) | 436,266 | |||||||||
| 84,050 | Nexen Inc., (3) | 1,924,745 | |||||||||
| 4,575 | Occidental Petroleum Corporation | 448,808 | |||||||||
| 5,947 | Petrobras Energia S.A., ADR | 156,882 | |||||||||
| 13,500 | Petrohawk Energy Corporation, (2) | 246,375 | |||||||||
| 10,950 | Petroquest Energy Inc., (2) | 82,454 | |||||||||
| 1,700,000 | PT Medco Energi Internasional TBK | 636,792 | |||||||||
| 54,303 | Range Resources Corporation, (3) | 2,442,549 | |||||||||
| 3,925 | Rosetta Resources, Inc., (2) | 147,737 | |||||||||
| 87,410 | Royal Dutch Shell PLC, Class B, Sponsored ADR | 2,882,340 | |||||||||
| 3,300 | SM Energy Company | 194,469 | |||||||||
| 61,190 | StatoilHydro ASA | 1,453,447 | |||||||||
| 114,529 | StatoilHydro ASA, Sponsored ADR, (3) | 2,722,354 | |||||||||
| 7,370 | Stone Energy Corporation, (2) | 164,277 | |||||||||
| 74,576 | Suncor Energy, Inc., (3) | 2,855,515 | |||||||||
| 75,160 | Tesoro Corporation, (3) | 1,393,466 | |||||||||
| 7,825 | Total S.A. | 414,602 | |||||||||
| 7,600 | W&T Offshore Inc. | 135,812 | |||||||||
| 840 | Whiting Petroleum Corporation, (2) | 98,440 | |||||||||
| 1,700 | World Fuel Services Corporation | 61,472 | |||||||||
| Total Oil, Gas & Consumable Fuels | 33,774,243 | ||||||||||
| Paper & Forest Products – 0.0% | |||||||||||
| 4,570 | Domtar Corporation | 346,954 | |||||||||
| Personal Products – 0.0% | |||||||||||
| 1,570 | Medifast, Inc. | 45,342 | |||||||||
| 11,520 | Prestige Brands Holdings Inc. | 137,664 | |||||||||
| Total Personal Products | 183,006 | ||||||||||
| Pharmaceuticals – 2.0% | |||||||||||
| 21,000 | AstraZeneca Group, Sponsored ADR, (3) | 969,990 | |||||||||
| 27,280 | AstraZeneca Group | 1,242,792 | |||||||||
| 23,048 | Bristol-Myers Squibb Company | 610,311 | |||||||||
| 73,977 | Eli Lilly and Company, (3) | 2,592,154 | |||||||||
| 40,200 | Forest Laboratories, Inc., (2), (3) | 1,285,596 | |||||||||
| 4,700 | Hospira Inc., (2) | 261,743 | |||||||||
| 26,450 | Johnson & Johnson | 1,635,933 | |||||||||
| 21,236 | Novartis AG | 1,248,041 | |||||||||
| 12,720 | Novo Nordisk A/S | 1,434,351 | |||||||||
| 5,135 | Perrigo Company | 325,200 | |||||||||
| 172,492 | Pfizer Inc., (3) | 3,020,335 | |||||||||
| 20,817 | Sanofi-Aventis, S.A. | 1,331,080 | |||||||||
| 24,490 | Teva Pharmaceutical Industries Limited, Sponsored ADR | 1,276,664 | |||||||||
| 2,700 | Warner Chilcott Limited, (2) | 60,912 | |||||||||
| 21,780 | Watson Pharmaceuticals Inc., (2) | 1,124,937 | |||||||||
| Total Pharmaceuticals | 18,420,039 | ||||||||||
Nuveen Investments
27
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Professional Services – 0.0% | |||||||||||
| 2,710 | Acacia Research, (2) | $ | 70,297 | ||||||||
| 1,580 | Towers Watson & Company, Class A Shares | 82,255 | |||||||||
| Total Professional Services | 152,552 | ||||||||||
| Real Estate – 0.6% | |||||||||||
| 9,870 | Annaly Capital Management Inc. | 176,870 | |||||||||
| 30,060 | Apartment Investment & Management Company, Class A | 776,750 | |||||||||
| 7,490 | Boston Properties, Inc. | 644,889 | |||||||||
| 7,160 | Camden Property Trust | 386,497 | |||||||||
| 5,230 | Digital Realty Trust Inc. | 269,554 | |||||||||
| 11,180 | Duke Realty Corporation | 139,303 | |||||||||
| 2,830 | Equity Lifestyles Properties Inc. | 158,282 | |||||||||
| 1,430 | Essex Property Trust Inc. | 163,335 | |||||||||
| 2,200 | Home Properties New York, Inc. | 122,078 | |||||||||
| 8,950 | Inland Real Estate Corporation | 78,760 | |||||||||
| 5,670 | LaSalle Hotel Properties | 149,688 | |||||||||
| 1,700 | Mid-America Apartment Communities | 107,933 | |||||||||
| 6,220 | Parkway Properties Inc. | 108,974 | |||||||||
| 2,362 | PS Business Parks Inc. | 131,611 | |||||||||
| 5,770 | Ramco-Gershenson Properties Trust | 71,837 | |||||||||
| 11,030 | Rayonier Inc. | 579,296 | |||||||||
| 2,909 | Simon Property Group, Inc. | 289,416 | |||||||||
| 2,450 | Taubman Centers Inc. | 123,676 | |||||||||
| 4,460 | Walter Investment Management Corporation | 80,012 | |||||||||
| 111,300 | Westfield Group | 1,090,565 | |||||||||
| 111,300 | Westfield Realty Trust | 292,563 | |||||||||
| Total Real Estate | 5,941,889 | ||||||||||
| Real Estate Management & Development – 0.2% | |||||||||||
| 67,160 | Brookfield Properties Corporation | 1,186,090 | |||||||||
| 119,956 | Hysan Development Company | 566,383 | |||||||||
| Total Real Estate Management & Development | 1,752,473 | ||||||||||
| Road & Rail – 0.2% | |||||||||||
| 3,780 | Genesee & Wyoming Inc. | 200,151 | |||||||||
| 7,270 | Hertz Global Holdings Inc., (2) | 105,342 | |||||||||
| 12,140 | Kansas City Southern Industries, (2) | 581,020 | |||||||||
| 4,070 | Norfolk Southern Corporation | 255,677 | |||||||||
| 3,450 | Union Pacific Corporation | 319,677 | |||||||||
| 165 | West Japan Railway Company | 616,794 | |||||||||
| Total Road & Rail | 2,078,661 | ||||||||||
| Semiconductors & Equipment – 0.6% | |||||||||||
| 46,880 | ASM Lithography Holding NV | 1,810,462 | |||||||||
| 9,675 | Broadcom Corporation, Class A | 421,346 | |||||||||
| 23,410 | Cypress Semiconductor Corporation, (2) | 434,958 | |||||||||
| 35,510 | Intel Corporation | 746,775 | |||||||||
| 23,350 | KLA-Tencor Corporation | 902,244 | |||||||||
| 27,080 | Marvell Technology Group Ltd, (2) | 502,334 | |||||||||
| 12,110 | Micron Technology, Inc., (2) | 97,122 | |||||||||
| 11,930 | Novellus Systems, Inc., (2) | 385,578 | |||||||||
| 11,100 | ON Semiconductor Corporation, (2) | 109,668 | |||||||||
| 15,310 | Silicon Image, Inc., (2) | 112,529 | |||||||||
| Total Semiconductors & Equipment | 5,523,016 | ||||||||||
| Software – 0.5% | |||||||||||
| 1,690 | Advent Software Inc., (2) | 97,885 | |||||||||
| 5,240 | Ansys Inc., (2) | 272,847 | |||||||||
Nuveen Investments
28
| Shares | Description (1) | Value | |||||||||
| Software (continued) | |||||||||||
| 4,550 | CommVault Systems, Inc., (2) | $ | 130,221 | ||||||||
| 2,850 | Manhattan Associates Inc., (2) | 87,039 | |||||||||
| 82,102 | Microsoft Corporation, (3) | 2,292,288 | |||||||||
| 21,690 | Oracle Corporation | 678,897 | |||||||||
| 10,530 | Rovi Corporation, (2) | 652,965 | |||||||||
| 3,755 | Salesforce.com, Inc., (2) | 495,660 | |||||||||
| 3,510 | VirnetX Holding Corporation | 52,124 | |||||||||
| Total Software | 4,759,926 | ||||||||||
| Specialty Retail – 0.3% | |||||||||||
| 6,750 | Advance Auto Parts, Inc. | 446,513 | |||||||||
| 1,691 | Best Buy Co., Inc. | 57,984 | |||||||||
| 1,230 | Guess Inc. | 58,204 | |||||||||
| 7,600 | Home Depot, Inc. | 266,456 | |||||||||
| 13,650 | Industria de Diseno Textil SA, Inditex | 1,022,015 | |||||||||
| 3,280 | PetSmart Inc. | 130,610 | |||||||||
| 32,300 | Williams-Sonoma Inc. | 1,152,787 | |||||||||
| Total Specialty Retail | 3,134,569 | ||||||||||
| Textiles, Apparel & Luxury Goods – 0.5% | |||||||||||
| 70,570 | Burberry Group PLC | 1,236,688 | |||||||||
| 2,290 | Deckers Outdoor Corporation, (2) | 182,605 | |||||||||
| 4,630 | Fossil Inc., (2) | 326,322 | |||||||||
| 13,340 | Liz Claiborne, Inc. | 95,514 | |||||||||
| 9,710 | LVMH Moet Hennessy | 1,597,280 | |||||||||
| 455,455 | Yue Yuen Industrial Holdings Limited | 1,634,827 | |||||||||
| Total Textiles, Apparel & Luxury Goods | 5,073,236 | ||||||||||
| Thrifts & Mortgage Finance – 0.0% | |||||||||||
| 13,580 | New York Community Bancorp Inc. | 255,982 | |||||||||
| 11,070 | People's United Financial, Inc. | 155,090 | |||||||||
| Total Thrifts & Mortgage Finance | 411,072 | ||||||||||
| Tobacco – 0.4% | |||||||||||
| 24,480 | Altria Group, Inc. | 602,697 | |||||||||
| 33,910 | British American Tobacco PLC | 1,302,428 | |||||||||
| 1,160 | Lorillard Inc. | 95,189 | |||||||||
| 14,795 | Philip Morris International | 865,950 | |||||||||
| 14,760 | Reynolds American Inc. | 481,470 | |||||||||
| Total Tobacco | 3,347,734 | ||||||||||
| Trading Companies & Distributors – 0.4% | |||||||||||
| 3,090 | Applied Industrial Technologies Inc. | 100,362 | |||||||||
| 193,464 | Mitsui & Company Limited | 3,195,408 | |||||||||
| Total Trading Companies & Distributors | 3,295,770 | ||||||||||
| Wireless Telecommunication Services – 0.4% | |||||||||||
| 9,722 | Millicom International Cellular S.A. | 933,799 | |||||||||
| 19,414 | Millicom International Cellular S.A. | 1,855,977 | |||||||||
| 4,123 | Turkcell Iletisim Hizmetleri A.S., ADR | 70,626 | |||||||||
| 460,240 | Vodafone Group PLC | 1,189,713 | |||||||||
| Total Wireless Telecommunication Services | 4,050,115 | ||||||||||
| Total Common Stocks (cost $284,056,098) | 332,718,393 | ||||||||||
Nuveen Investments
29
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| Convertible Preferred Securities – 1.9% (1.5% of Total Investments) | |||||||||||||||||||||||
| Automobiles – 0.2% | |||||||||||||||||||||||
| 40,750 | Ford Motor Company Capital Trust II, Convertible | 6.500 | % | B1 | $ | 2,113,295 | |||||||||||||||||
| Capital Markets – 0.1% | |||||||||||||||||||||||
| 7,200 | Affiliated Managers Group Inc., Convertible Bond | 5.100 | % | BB | 361,350 | ||||||||||||||||||
| 5,800 | AMG Capital Trust II, Convertible Bond | 5.150 | % | BB | 233,813 | ||||||||||||||||||
| Total Capital Markets | 595,163 | ||||||||||||||||||||||
| Commercial Banks – 0.8% | |||||||||||||||||||||||
| 3,500,000 | Credit Suisse AG | 7.875 | % | BBB+ | 3,578,750 | ||||||||||||||||||
| 5,150 | Fifth Third Bancorp, Convertible Bond | 8.500 | % | Ba1 | 765,239 | ||||||||||||||||||
| 2,750 | Wells Fargo & Company, Convertible Bond | 7.500 | % | A- | 2,751,513 | ||||||||||||||||||
| Total Commercial Banks | 7,095,502 | ||||||||||||||||||||||
| Communications Equipment – 0.3% | |||||||||||||||||||||||
| 2,775 | Lucent Technologies Capital Trust I | 7.750 | % | B3 | 2,458,650 | ||||||||||||||||||
| Diversified Financial Services – 0.2% | |||||||||||||||||||||||
| 2,550 | Bank of America Corporation | 7.250 | % | BB+ | 2,440,274 | ||||||||||||||||||
| Food Products – 0.1% | |||||||||||||||||||||||
| 5,300 | Bunge Limited, Convertible Bonds | 4.875 | % | Ba1 | 493,563 | ||||||||||||||||||
| Health Care Providers & Services – 0.0% | |||||||||||||||||||||||
| 8,350 | Omnicare Capital Trust II, Series B | 4.000 | % | B | 323,145 | ||||||||||||||||||
| Independent Power Producers & Energy Traders – 0.0% | |||||||||||||||||||||||
| 8,250 | AES Trust III, Convertible Preferred | 6.750 | % | B | 404,250 | ||||||||||||||||||
| Insurance – 0.1% | |||||||||||||||||||||||
| 5,150 | Aspen Insurance Holdings Limited | 5.625 | % | BBB- | 282,890 | ||||||||||||||||||
| 4,000 | Reinsurance Group of America Inc. | 5.750 | % | BBB | 280,680 | ||||||||||||||||||
| Total Insurance | 563,570 | ||||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.1% | |||||||||||||||||||||||
| 400 | El Paso Corporation,144A | 4.990 | % | B | 470,600 | ||||||||||||||||||
| 300 | El Paso Corporation | 4.990 | % | B | 352,949 | ||||||||||||||||||
| Total Oil, Gas & Consumable Fuels | 823,549 | ||||||||||||||||||||||
| Real Estate – 0.0% | |||||||||||||||||||||||
| 9,933 | Commonwealth REIT, Convertible Debt | 6.500 | % | Baa3 | 216,836 | ||||||||||||||||||
| Road & Rail – 0.0% | |||||||||||||||||||||||
| 250 | Kansas City Southern Industries Inc. | 5.125 | % | B- | 400,062 | ||||||||||||||||||
| Total Convertible Preferred Securities (cost $16,468,923) | 17,927,859 | ||||||||||||||||||||||
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| $25 Par (or similar) Preferred Securities – 31.2% (24.1% of Total Investments) | |||||||||||||||||||||||
| Capital Markets – 3.0% | |||||||||||||||||||||||
| 91,000 | Ameriprise Financial, Inc. | 7.750 | % | A | $ | 2,425,150 | |||||||||||||||||
| 70,437 | BNY Capital Trust V, Series F | 5.950 | % | A1 | 1,758,108 | ||||||||||||||||||
| 95,044 | Credit Suisse | 7.900 | % | A3 | 2,545,278 | ||||||||||||||||||
| 886,930 | Deutsche Bank Capital Funding Trust II | 6.550 | % | BBB | 20,532,430 | ||||||||||||||||||
| 8,000 | Deutsche Bank Capital Funding Trust IX | 6.625 | % | BBB | 184,160 | ||||||||||||||||||
| 20,300 | Goldman Sachs Group Inc., Series 2004-4 (CORTS) | 6.000 | % | A3 | 453,705 | ||||||||||||||||||
| 8,000 | Goldman Sachs Group Inc., Series GSC-3 (PPLUS) | 6.000 | % | A3 | 179,040 | ||||||||||||||||||
| 1,000 | Goldman Sachs Group Inc. | 6.125 | % | A | 23,150 | ||||||||||||||||||
Nuveen Investments
30
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| Capital Markets (continued) | |||||||||||||||||||||||
| 600 | Morgan Stanley Capital Trust III | 6.250 | % | Baa2 | $ | 13,452 | |||||||||||||||||
| 2,700 | Morgan Stanley Capital Trust IV | 6.250 | % | Baa2 | 61,560 | ||||||||||||||||||
| Total Capital Markets | 28,176,033 | ||||||||||||||||||||||
| Commercial Banks – 3.7% | |||||||||||||||||||||||
| 396,700 | Banco Santander Finance | 10.500 | % | A- | 11,052,062 | ||||||||||||||||||
| 14,600 | Barclays Bank PLC | 7.750 | % | A- | 371,132 | ||||||||||||||||||
| 36,900 | Barclays Bank PLC | 7.100 | % | A+ | 919,917 | ||||||||||||||||||
| 59,300 | BB&T Capital Trust VI | 9.600 | % | Baa1 | 1,713,770 | ||||||||||||||||||
| 73,300 | BB&T Capital Trust VII | 8.100 | % | Baa1 | 2,015,017 | ||||||||||||||||||
| 108,000 | Cobank Agricultural Credit Bank, 144A | 7.000 | % | N/R | 4,873,500 | ||||||||||||||||||
| 31,000 | Cobank Agricultural Credit Bank | 11.000 | % | A | 1,663,345 | ||||||||||||||||||
| 2,000,000 | HSBC Bank PLC | 1.000 | % | A | 1,225,000 | ||||||||||||||||||
| 277,329 | HSBC Finance Corporation | 6.875 | % | A | 7,038,610 | ||||||||||||||||||
| 16,200 | HSBC Holdings PLC | 8.000 | % | A- | 431,730 | ||||||||||||||||||
| 22,700 | HSBC Holdings PLC | 6.200 | % | A- | 519,830 | ||||||||||||||||||
| 79,592 | Merrill Lynch Preferred Capital Trust V | 7.280 | % | Baa3 | 1,950,004 | ||||||||||||||||||
| 500,000 | National Australia Bank | 8.000 | % | A+ | 536,800 | ||||||||||||||||||
| 400 | National City Capital Trust II | 6.625 | % | BBB | 9,992 | ||||||||||||||||||
| Total Commercial Banks | 34,320,709 | ||||||||||||||||||||||
| Diversified Financial Services – 2.6% | |||||||||||||||||||||||
| 5,400 | Citigroup Capital Trust XII | 8.500 | % | BB+ | 142,884 | ||||||||||||||||||
| 125,768 | Citigroup Capital XIII | 7.875 | % | BB+ | 3,384,417 | ||||||||||||||||||
| 16,300 | Citigroup Capital XVII | 6.350 | % | BB+ | 371,803 | ||||||||||||||||||
| 32,600 | Countrywide Capital Trust IV | 6.750 | % | Baa3 | 772,620 | ||||||||||||||||||
| 644,975 | ING Groep N.V. | 7.050 | % | Ba1 | 14,737,679 | ||||||||||||||||||
| 114,469 | JPMorgan Chase Capital Trust XI | 5.875 | % | A2 | 2,787,320 | ||||||||||||||||||
| 38,700 | JPMorgan Chase Capital Trust XXIX | 6.700 | % | A2 | 988,398 | ||||||||||||||||||
| 800 | MBNA Corporation, Capital Trust | 8.125 | % | Baa3 | 20,240 | ||||||||||||||||||
| 36,250 | Merrill Lynch Capital Trust II | 6.450 | % | Baa3 | 801,125 | ||||||||||||||||||
| Total Diversified Financial Services | 24,006,486 | ||||||||||||||||||||||
| Diversified Telecommunication Services – 0.5% | |||||||||||||||||||||||
| 27,599 | BellSouth Capital Funding (CORTS) | 7.120 | % | A | 704,638 | ||||||||||||||||||
| 162,040 | Telephone and Data Systems Inc. | 6.875 | % | Baa2 | 4,026,694 | ||||||||||||||||||
| Total Diversified Telecommunication Services | 4,731,332 | ||||||||||||||||||||||
| Electric Utilities – 0.2% | |||||||||||||||||||||||
| 59,800 | Entergy Texas Inc. | 7.875 | % | BBB+ | 1,648,686 | ||||||||||||||||||
| Food Products – 0.2% | |||||||||||||||||||||||
| 25,000 | Dairy Farmers of America Inc, 144A | 7.875 | % | BBB- | 2,231,250 | ||||||||||||||||||
| Insurance – 5.2% | |||||||||||||||||||||||
| 624,430 | Aegon N.V. | 6.375 | % | BBB | 13,512,665 | ||||||||||||||||||
| 16,100 | Allianz SE | 8.375 | % | A+ | 424,135 | ||||||||||||||||||
| 6,500 | Arch Capital Group Limited, Series B | 7.875 | % | BBB | 166,205 | ||||||||||||||||||
| 340,999 | Arch Capital Group Limited | 8.000 | % | BBB | 8,695,475 | ||||||||||||||||||
| 70,457 | Assured Guaranty Municipal Holdings | 6.250 | % | A+ | 1,498,620 | ||||||||||||||||||
| 277,157 | EverestRe Capital Trust II | 6.200 | % | Baa1 | 6,169,515 | ||||||||||||||||||
| 640,974 | PartnerRe Limited, Series C | 6.750 | % | BBB+ | 15,767,960 | ||||||||||||||||||
| 64,810 | PLC Capital Trust III | 7.500 | % | BBB | 1,630,620 | ||||||||||||||||||
| 5,800 | PLC Capital Trust IV | 7.250 | % | BBB | 144,420 | ||||||||||||||||||
| 2,000 | RenaissanceRe Holdings Limited, Series C | 6.080 | % | BBB+ | 45,480 | ||||||||||||||||||
| 32,400 | RenaissanceRe Holdings Limited, Series D | 6.600 | % | BBB+ | 798,012 | ||||||||||||||||||
| Total Insurance | 48,853,107 | ||||||||||||||||||||||
Nuveen Investments
31
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| Media – 4.4% | |||||||||||||||||||||||
| 464,395 | CBS Corporation | 6.750 | % | BBB- | $ | 11,735,262 | |||||||||||||||||
| 481,431 | Comcast Corporation | 7.000 | % | BBB+ | 12,180,204 | ||||||||||||||||||
| 97,000 | Comcast Corporation | 6.625 | % | BBB+ | 2,468,650 | ||||||||||||||||||
| 577,046 | Viacom Inc. | 6.850 | % | BBB+ | 14,645,427 | ||||||||||||||||||
| Total Media | 41,029,543 | ||||||||||||||||||||||
| Multi-Utilities – 1.1% | |||||||||||||||||||||||
| 216,300 | Dominion Resources Inc. | 8.375 | % | BBB | 6,129,942 | ||||||||||||||||||
| 158,561 | Xcel Energy Inc. | 7.600 | % | BBB | 4,349,328 | ||||||||||||||||||
| Total Multi-Utilities | 10,479,270 | ||||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 1.1% | |||||||||||||||||||||||
| 427,648 | Nexen Inc. | 7.350 | % | BB+ | 10,781,006 | ||||||||||||||||||
| Real Estate – 9.2% | |||||||||||||||||||||||
| 632,300 | Commomwealth REIT | 7.125 | % | Baa3 | 15,257,399 | ||||||||||||||||||
| 98,785 | Developers Diversified Realty Corporation, Series G | 8.000 | % | Ba1 | 2,460,734 | ||||||||||||||||||
| 1,400 | Harris Preferred Capital Corporation, Series A | 7.375 | % | A- | 35,294 | ||||||||||||||||||
| 340,287 | Kimco Realty Corporation, Series F | 6.650 | % | Baa2 | 8,354,046 | ||||||||||||||||||
| 109,832 | Kimco Realty Corporation, Series G | 7.750 | % | Baa2 | 2,899,565 | ||||||||||||||||||
| 35,862 | Kimco Realty Corporation, Series H | 6.900 | % | Baa2 | 864,274 | ||||||||||||||||||
| 40,882 | Prologis Trust, Series C | 8.540 | % | Baa3 | 2,271,506 | ||||||||||||||||||
| 216,310 | Public Storage, Inc. | 6.750 | % | BBB+ | 5,466,154 | ||||||||||||||||||
| 33,774 | Public Storage, Inc., Series C | 6.600 | % | BBB+ | 828,814 | ||||||||||||||||||
| 43,700 | Public Storage, Inc., Series E | 6.750 | % | BBB+ | 1,088,130 | ||||||||||||||||||
| 9,359 | Public Storage, Inc., Series H | 6.950 | % | BBB+ | 235,472 | ||||||||||||||||||
| 205,058 | Realty Income Corporation | 6.750 | % | Baa2 | 5,028,022 | ||||||||||||||||||
| 111,971 | Regency Centers Corporation | 7.450 | % | Baa3 | 2,837,345 | ||||||||||||||||||
| 103,728 | Vornado Realty LP | 7.875 | % | BBB | 2,766,426 | ||||||||||||||||||
| 857,862 | Wachovia Preferred Funding Corporation | 7.250 | % | A- | 21,952,689 | ||||||||||||||||||
| 583,830 | Weingarten Realty Trust, Preferred Securities | 6.750 | % | Baa3 | 14,099,495 | ||||||||||||||||||
| Total Real Estate | 86,445,365 | ||||||||||||||||||||||
| Wireless Telecommunication Services – 0.0% | |||||||||||||||||||||||
| 848 | Telephone and Data Systems Inc. | 7.600 | % | Baa2 | 21,378 | ||||||||||||||||||
| Total $25 Par (or similar) Preferred Securities (cost $295,868,708) | 292,724,165 | ||||||||||||||||||||||
| Principal Amount (000) | Description (1) | Weighted Average Coupon | Maturity (5) | Ratings (4) | Value | ||||||||||||||||||
| Variable Rate Senior Loan Interests – 6.5% (5.0% of Total Investments) (6) | |||||||||||||||||||||||
| Aerospace & Defense – 0.1% | |||||||||||||||||||||||
| $ | 574 | DAE Aviation Holdings, Inc., Term Loan B1 | 4.040 | % | 7/31/14 | B | $ | 568,724 | |||||||||||||||
| 555 | DAE Aviation Holdings, Inc., Term Loan B2 | 4.040 | % | 7/31/14 | B | 549,290 | |||||||||||||||||
| 1,129 | Total Aerospace & Defense | 1,118,014 | |||||||||||||||||||||
| Airlines – 0.1% | |||||||||||||||||||||||
| 965 | Delta Air Lines, Inc., Term Loan | 3.539 | % | 4/30/14 | B | 937,106 | |||||||||||||||||
| Automobiles – 0.1% | |||||||||||||||||||||||
| 915 | Ford Motor Company, Term Loan | 3.026 | % | 12/15/13 | Baa3 | 913,003 | |||||||||||||||||
| Biotechnology – 0.1% | |||||||||||||||||||||||
| 900 | Grifols, Term Loan, WI/DD | TBD | TBD | BB | 911,625 | ||||||||||||||||||
Nuveen Investments
32
| Principal Amount (000) | Description (1) | Weighted Average Coupon | Maturity (5) | Ratings (4) | Value | ||||||||||||||||||
| Communications Equipment – 0.3% | |||||||||||||||||||||||
| $ | 1,969 | Avaya, Inc., Term Loan | 3.034 | % | 10/24/14 | B1 | $ | 1,866,230 | |||||||||||||||
| 867 | Intelsat, Term Loan, WI/DD | TBD | TBD | B1 | 876,259 | ||||||||||||||||||
| 2,836 | Total Communications Equipment | 2,742,489 | |||||||||||||||||||||
| Containers & Packaging – 0.1% | |||||||||||||||||||||||
| 150 | Reynolds Group Holdings, Inc., Term Loan A | 6.250 | % | 8/06/15 | Ba3 | 150,581 | |||||||||||||||||
| 900 | Reynolds Group Holdings, Inc., Term Loan D | 6.500 | % | 5/05/16 | Ba3 | 909,997 | |||||||||||||||||
| 1,050 | Total Containers & Packaging | 1,060,578 | |||||||||||||||||||||
| Diversified Consumer Services – 0.1% | |||||||||||||||||||||||
| 958 | Cengage Learning Acquisitions, Inc., Term Loan | 2.550 | % | 7/03/14 | B+ | 903,257 | |||||||||||||||||
| Diversified Financial Services – 0.1% | |||||||||||||||||||||||
| 1,036 | Pinafore LLC, Term Loan | 6.250 | % | 9/29/16 | BB | 1,051,769 | |||||||||||||||||
| Electric Utilities – 0.2% | |||||||||||||||||||||||
| 141 | Calpine Corporation, DIP Term Loan | 3.145 | % | 3/29/14 | B+ | 140,934 | |||||||||||||||||
| 968 | TXU Corporation, Term Loan B2 | 3.764 | % | 10/10/14 | B2 | 749,427 | |||||||||||||||||
| 1,335 | TXU Corporation, Term Loan B3 | 3.764 | % | 10/10/14 | B2 | 1,032,504 | |||||||||||||||||
| 2,444 | Total Electric Utilities | 1,922,865 | |||||||||||||||||||||
| Electrical Equipment – 0.0% | |||||||||||||||||||||||
| 231 | Allison Transmission Holdings, Inc., Term Loan | 3.027 | % | 8/07/14 | B | 225,903 | |||||||||||||||||
| Food Products – 0.2% | |||||||||||||||||||||||
| 180 | Darling International, Inc., Term Loan | 5.000 | % | 12/17/16 | BB+ | 181,800 | |||||||||||||||||
| 900 | NBTY, Inc., Term Loan | 6.250 | % | 10/01/17 | BB- | 913,872 | |||||||||||||||||
| 998 | Pierre Foods, Inc., Term Loan | 7.001 | % | 9/30/16 | B+ | 994,590 | |||||||||||||||||
| 2,078 | Total Food Products | 2,090,262 | |||||||||||||||||||||
| Health Care Providers & Services – 0.5% | |||||||||||||||||||||||
| 44 | Community Health Systems, Inc., Delayed Term Loan | 2.544 | % | 7/25/14 | BB | 42,712 | |||||||||||||||||
| 441 | Community Health Systems, Inc., Extended Term Loan | 3.794 | % | 1/25/17 | BB | 440,327 | |||||||||||||||||
| 879 | Community Health Systems, Inc., Term Loan | 2.544 | % | 7/25/14 | BB | 858,511 | |||||||||||||||||
| 750 | HCA, Inc., Tranche B1, Term Loan | 2.553 | % | 11/18/13 | BB | 743,625 | |||||||||||||||||
| 181 | IASIS Healthcare LLC, Delayed Term Loan | 2.261 | % | 3/14/14 | Ba2 | 177,230 | |||||||||||||||||
| 49 | IASIS Healthcare LLC, Letter of Credit | 2.261 | % | 3/14/14 | Ba2 | 48,473 | |||||||||||||||||
| 523 | IASIS Healthcare LLC, Term Loan | 2.261 | % | 3/14/14 | Ba2 | 512,042 | |||||||||||||||||
| 981 | Select Medical Corporation, Term Loan B2 | 2.284 | % | 2/24/12 | Ba2 | 973,984 | |||||||||||||||||
| 585 | Select Medical Corporation, Term Loan | 2.284 | % | 2/24/12 | Ba2 | 578,911 | |||||||||||||||||
| 4,433 | Total Health Care Providers & Services | 4,375,815 | |||||||||||||||||||||
| Hotels, Restaurants & Leisure – 0.7% | |||||||||||||||||||||||
| 1,350 | Burger King Corporation, Term Loan B | 6.250 | % | 10/19/16 | BB- | 1,371,335 | |||||||||||||||||
| 1,424 | CCM Merger, Inc., Term Loan B | 8.500 | % | 7/13/12 | BB- | 1,428,446 | |||||||||||||||||
| 507 | Harrah's Operating Company, Inc., Term Loan B2 | 3.288 | % | 1/28/15 | B | 460,042 | |||||||||||||||||
| 134 | Travelport LLC, Letter of Credit | 4.803 | % | 8/21/15 | Ba3 | 127,398 | |||||||||||||||||
| 669 | Travelport LLC, Term Loan | 4.963 | % | 8/21/15 | Ba2 | 634,924 | |||||||||||||||||
| 509 | Venetian Casino Resort LLC, Delayed Term Loan | 3.030 | % | 11/23/16 | B1 | 490,926 | |||||||||||||||||
| 1,758 | Venetian Casino Resort LLC, Tranche B, Term Loan | 3.030 | % | 11/23/16 | B1 | 1,694,667 | |||||||||||||||||
| 6,351 | Total Hotels, Restaurants & Leisure | 6,207,738 | |||||||||||||||||||||
| IT Services – 0.5% | |||||||||||||||||||||||
| 731 | First Data Corporation, Term Loan B1 | 3.011 | % | 9/24/14 | B+ | 675,807 | |||||||||||||||||
| 483 | Infor Global Solutions Intermediate Holdings, Ltd., Delayed Term Loan | 4.020 | % | 7/28/12 | B+ | 462,559 | |||||||||||||||||
| 819 | Infor Global Solutions Intermediate Holdings, Ltd., Extended Delayed Draw Term Loan | 6.020 | % | 7/28/15 | B+ | 782,857 | |||||||||||||||||
| 476 | Infor Global Solutions Intermediate Holdings, Ltd., Term Loan, First Lien | 4.020 | % | 7/28/12 | B+ | 456,134 | |||||||||||||||||
Nuveen Investments
33
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Weighted Average Coupon | Maturity (5) | Ratings (4) | Value | ||||||||||||||||||
| IT Services (continued) | |||||||||||||||||||||||
| $ | 1,569 | Infor Global Solutions Intermediate Holdings, Ltd., Term Loan | 6.020 | % | 7/28/15 | B+ | $ | 1,502,858 | |||||||||||||||
| 768 | SunGard Data Systems, Inc., Term Loan B | 2.013 | % | 2/28/14 | BB | 750,779 | |||||||||||||||||
| 4,846 | Total IT Services | 4,630,994 | |||||||||||||||||||||
| Leisure Equipment & Products – 0.1% | |||||||||||||||||||||||
| 480 | Cedar Fair LP, Term Loan | 5.500 | % | 12/15/16 | Ba2 | 485,371 | |||||||||||||||||
| 380 | Herbst Gaming, Inc., Delayed Term Loan | 0.000 | % | 12/02/11 | N/R | 231,189 | |||||||||||||||||
| 437 | Herbst Gaming, Inc., Term Loan | 0.000 | % | 12/02/11 | N/R | 266,080 | |||||||||||||||||
| 1,297 | Total Leisure Equipment & Products | 982,640 | |||||||||||||||||||||
| Media – 1.4% | |||||||||||||||||||||||
| 558 | Cequel Communications LLC, Term Loan B | 2.270 | % | 11/05/13 | BB- | 553,584 | |||||||||||||||||
| 2,940 | Charter Communications Operating Holdings LLC, Term Loan C | 3.560 | % | 9/06/16 | BB+ | 2,907,428 | |||||||||||||||||
| 474 | Citadel Broadcasting Corporation, Term Loan, (7) | 4.250 | % | 12/30/16 | Baa3 | 475,945 | |||||||||||||||||
| 657 | Gray Television, Inc., Term Loan B | 3.789 | % | 12/31/14 | B | 644,013 | |||||||||||||||||
| 33 | Nielsen Finance LLC, Term Loan A | 2.264 | % | 8/09/13 | BB- | 32,856 | |||||||||||||||||
| 1,231 | Nielsen Finance LLC, Term Loan B | 4.014 | % | 5/02/16 | BB- | 1,226,766 | |||||||||||||||||
| 545 | Nielsen Finance LLC, Term Loan C | 4.014 | % | 5/02/16 | BB- | 540,904 | |||||||||||||||||
| 347 | SuperMedia, Term Loan | 0.000 | % | 12/31/15 | B- | 238,867 | |||||||||||||||||
| 1,425 | Tribune Company, Term Loan B, (8), (9) | 0.000 | % | 6/04/14 | Ca | 990,884 | |||||||||||||||||
| 5,328 | Univision Communications, Inc., Term Loan | 4.511 | % | 3/31/17 | B | 5,074,847 | |||||||||||||||||
| 13,538 | Total Media | 12,686,094 | |||||||||||||||||||||
| Metals & Mining – 0.2% | |||||||||||||||||||||||
| 1,294 | John Maneely Company, Term Loan | 3.539 | % | 12/09/13 | B | 1,272,673 | |||||||||||||||||
| 1,000 | Novelis, Inc., Term Loan | 5.250 | % | 12/15/16 | Ba2 | 1,014,375 | |||||||||||||||||
| 2,294 | Total Metals & Mining | 2,287,048 | |||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.2% | |||||||||||||||||||||||
| 1,945 | CCS Income Trust, Term Loan | 3.288 | % | 11/14/14 | B | 1,752,807 | |||||||||||||||||
| Pharmaceuticals – 0.2% | |||||||||||||||||||||||
| 1,000 | Royalty Pharma Finance Trust, Unsecured Term Loan | 7.750 | % | 5/15/15 | Baa3 | 1,040,000 | |||||||||||||||||
| 609 | Warner Chilcott Corporation, Term Loan B3 | 6.500 | % | 2/22/16 | BB | 615,373 | |||||||||||||||||
| 1,609 | Total Pharmaceuticals | 1,655,373 | |||||||||||||||||||||
| Real Estate Management & Development – 0.3% | |||||||||||||||||||||||
| 1,207 | LNR Property Corporation, Term Loan B | 3.770 | % | 7/12/11 | B2 | 1,193,807 | |||||||||||||||||
| 1,622 | Realogy Corporation, Delayed Term Loan | 3.284 | % | 10/10/13 | B1 | 1,525,191 | |||||||||||||||||
| 2,829 | Total Real Estate Management & Development | 2,718,998 | |||||||||||||||||||||
| Road & Rail – 0.2% | |||||||||||||||||||||||
| 995 | Hertz Corporation, Term Loan | 2.020 | % | 12/21/12 | Ba1 | 989,341 | |||||||||||||||||
| 1,203 | Swift Transportation Company, Inc., Term Loan, WI/DD | TBD | TBD | BB- | 1,206,283 | ||||||||||||||||||
| 2,198 | Total Road & Rail | 2,195,624 | |||||||||||||||||||||
| Specialty Retail – 0.6% | |||||||||||||||||||||||
| 1,154 | Toys "R" Us – Delaware, Inc., Term Loan | 6.000 | % | 9/01/16 | BB- | 1,166,247 | |||||||||||||||||
| 2,360 | Burlington Coat Factory Warehouse Corporation, Term Loan | 2.530 | % | 5/28/13 | B- | 2,330,418 | |||||||||||||||||
| 862 | Michaels Stores, Inc., Term Loan B1 | 2.563 | % | 10/31/13 | B+ | 841,409 | |||||||||||||||||
| 1,161 | Michaels Stores, Inc., Term Loan B2 | 4.813 | % | 7/31/16 | B+ | 1,162,327 | |||||||||||||||||
| 5,537 | Total Specialty Retail | 5,500,401 | |||||||||||||||||||||
| Wireless Telecommunication Services – 0.2% | |||||||||||||||||||||||
| 2,000 | Clear Channel Communications, Inc., Tranche B, Term Loan | 3.911 | % | 11/13/15 | CCC+ | 1,719,641 | |||||||||||||||||
| $ | 63,419 | Total Variable Rate Senior Loan Interests (cost $60,382,824) | 60,590,044 | ||||||||||||||||||||
Nuveen Investments
34
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Convertible Bonds – 10.4% (8.0% of Total Investments) | |||||||||||||||||||||||
| Aerospace & Defense – 0.1% | |||||||||||||||||||||||
| $ | 350 | Alliant Techsystems Inc., Convertible Bonds | 2.750 | % | 9/15/11 | BB- | $ | 358,313 | |||||||||||||||
| 900 | L-3 Communications Corporation, Convertible Bond | 3.000 | % | 8/01/35 | BB+ | 906,750 | |||||||||||||||||
| 1,250 | Total Aerospace & Defense | 1,265,063 | |||||||||||||||||||||
| Auto Components – 0.1% | |||||||||||||||||||||||
| 400 | BorgWarner Inc. | 3.500 | % | 4/15/12 | BBB | 896,500 | |||||||||||||||||
| Beverages – 0.0% | |||||||||||||||||||||||
| 250 | Molson Coors Brewing Company, Convertible Notes | 2.500 | % | 7/30/13 | BBB- | 290,625 | |||||||||||||||||
| Biotechnology – 0.3% | |||||||||||||||||||||||
| 2,150 | Amgen Inc. | 0.375 | % | 2/01/13 | A+ | 2,160,750 | |||||||||||||||||
| 400 | BioMarin Pharmaceutical Inc. | 1.875 | % | 4/23/17 | B- | 576,500 | |||||||||||||||||
| 2,550 | Total Biotechnology | 2,737,250 | |||||||||||||||||||||
| Capital Markets – 0.1% | |||||||||||||||||||||||
| 450 | Affiliated Managers Group Inc. | 3.950 | % | 8/15/38 | BBB- | 500,625 | |||||||||||||||||
| Commercial Banks – 0.2% | |||||||||||||||||||||||
| 1,790 | National City Corporation, Convertible Bond | 4.000 | % | 2/01/11 | A | 1,801,188 | |||||||||||||||||
| 300 | SVB Financial Group, Convertible Bond, 144A | 3.875 | % | 4/15/11 | A3 | 324,750 | |||||||||||||||||
| 2,090 | Total Commercial Banks | 2,125,938 | |||||||||||||||||||||
| Commercial Services & Supplies – 0.0% | |||||||||||||||||||||||
| 300 | Covanta Holding Corporation, Convertible Bonds | 3.250 | % | 6/01/14 | Ba3 | 358,500 | |||||||||||||||||
| Communications Equipment – 0.8% | |||||||||||||||||||||||
| 400 | Ciena Corporation, Convertible Bond | 0.250 | % | 5/01/13 | B | 368,000 | |||||||||||||||||
| 700 | Ciena Corporation, Convertible Bond | 0.875 | % | 6/15/17 | B | 577,500 | |||||||||||||||||
| 350 | CommScope Inc. | 3.250 | % | 7/01/15 | B | 456,750 | |||||||||||||||||
| 650 | Liberty Media Corporation, Senior Debentures, Exchangeable for Motorola Common Stock | 3.500 | % | 1/15/31 | BB- | 355,063 | |||||||||||||||||
| 5,525 | Lucent Technologies Inc., Series B | 2.875 | % | 6/15/25 | B1 | 5,241,844 | |||||||||||||||||
| 7,625 | Total Communications Equipment | 6,999,157 | |||||||||||||||||||||
| Computers & Peripherals – 0.7% | |||||||||||||||||||||||
| 1,000 | EMC Corporation, Convertible Bonds, 144A | 1.750 | % | 12/01/11 | A- | 1,451,250 | |||||||||||||||||
| 600 | EMC Corporation, Convertible Bonds, 144A | 1.750 | % | 12/01/13 | A- | 906,750 | |||||||||||||||||
| 350 | EMC Corporation, Convertible Bonds | 1.750 | % | 12/01/11 | A- | 507,938 | |||||||||||||||||
| 750 | EMC Corporation, Convertible Bonds | 1.750 | % | 12/01/13 | A- | 1,133,438 | |||||||||||||||||
| 1,400 | Sandisk Corporation, Convertible Bond | 1.000 | % | 5/15/13 | BB- | 1,354,500 | |||||||||||||||||
| 550 | Sandisk Corporation, Convertible Bond | 1.500 | % | 8/15/17 | BB- | 623,563 | |||||||||||||||||
| 4,650 | Total Computers & Peripherals | 5,977,439 | |||||||||||||||||||||
| Construction & Engineering – 0.1% | |||||||||||||||||||||||
| 200 | Fluor Corporation, Convertible Bonds | 1.500 | % | 2/15/24 | A3 | 477,000 | |||||||||||||||||
| Diversified Consumer Services – 0.0% | |||||||||||||||||||||||
| 250 | Sotheby's Holdings Inc., Convertible Bond | 3.125 | % | 6/15/13 | BB- | 362,813 | |||||||||||||||||
| Diversified Financial Services – 0.1% | |||||||||||||||||||||||
| 600 | NASDAQ Stock Market Inc., Convertible Bond | 2.500 | % | 8/15/13 | BBB | 597,000 | |||||||||||||||||
| 350 | PHH Corporation | 4.000 | % | 4/15/12 | Ba2 | 431,375 | |||||||||||||||||
| 950 | Total Diversified Financial Services | 1,028,375 | |||||||||||||||||||||
| Diversified Telecommunication Services – 0.0% | |||||||||||||||||||||||
| 350 | Time Warner Telecom Inc., Convertible Bond | 2.375 | % | 4/01/26 | B- | 387,188 | |||||||||||||||||
Nuveen Investments
35
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Electrical Equipment – 0.1% | |||||||||||||||||||||||
| $ | 487 | General Cable Corporation, Convertible Bonds | 0.875 | % | 11/15/13 | Ba3 | $ | 483,956 | |||||||||||||||
| 323 | General Cable Corporation, Convertible Bonds | 4.500 | % | 11/15/29 | B | 385,581 | |||||||||||||||||
| 350 | Roper Industries Inc. | 0.000 | % | 1/15/34 | BB+ | 335,563 | |||||||||||||||||
| 1,160 | Total Electrical Equipment | 1,205,100 | |||||||||||||||||||||
| Electronic Equipment & Instruments – 0.1% | |||||||||||||||||||||||
| 450 | Anixter International Inc., Convertible Bond | 0.000 | % | 7/07/33 | B+ | 432,563 | |||||||||||||||||
| 350 | Itron Inc. | 2.500 | % | 8/01/26 | B | 370,125 | |||||||||||||||||
| 450 | Tech Data Corporation, Convertible Bonds | 2.750 | % | 12/15/26 | BBB- | 470,813 | |||||||||||||||||
| 1,250 | Total Electronic Equipment & Instruments | 1,273,501 | |||||||||||||||||||||
| Energy Equipment & Services – 1.0% | |||||||||||||||||||||||
| 1,280 | Bristow Group Convertible Bond | 3.000 | % | 6/15/38 | BB | 1,289,600 | |||||||||||||||||
| 546 | Cameron International Corporation, Convertible Bonds | 2.500 | % | 6/15/26 | BBB+ | 795,795 | |||||||||||||||||
| 350 | Exterran Holdings Inc., Convertible Bond | 4.250 | % | 6/15/14 | B+ | 436,625 | |||||||||||||||||
| 350 | Hornbeck Offshore Services Inc., Convertible Bonds | 1.625 | % | 11/15/26 | B+ | 320,688 | |||||||||||||||||
| 800 | Nabors Industries Inc., 144A | 0.940 | % | 5/15/11 | BBB | 799,000 | |||||||||||||||||
| 950 | Nabors Industries Inc. | 0.940 | % | 5/15/11 | BBB | 948,813 | |||||||||||||||||
| 500 | SESI LLC, Convertible Bond, 144A | 1.500 | % | 12/15/26 | BB+ | 511,875 | |||||||||||||||||
| 3,950 | Transocean Inc. | 1.500 | % | 12/15/37 | BBB | 3,876,375 | |||||||||||||||||
| 8,726 | Total Energy Equipment & Services | 8,978,771 | |||||||||||||||||||||
| Food Products – 0.2% | |||||||||||||||||||||||
| 250 | Archer Daniels Midland Company, Convertible Bonds, 144A | 0.875 | % | 2/15/14 | A | 256,563 | |||||||||||||||||
| 750 | Archer Daniels Midland Company, Convertible Bonds | 0.875 | % | 2/15/14 | A | 769,688 | |||||||||||||||||
| 300 | Chiquita Brands International Inc., Convertible Bond | 4.250 | % | 8/15/16 | B | 292,125 | |||||||||||||||||
| 350 | Smithfield Foods Inc., Convertible Bond | 4.000 | % | 6/30/13 | B- | 409,938 | |||||||||||||||||
| 250 | Tyson Foods inc., Convertible Bond | 3.250 | % | 10/15/13 | BB+ | 307,813 | |||||||||||||||||
| 1,900 | Total Food Products | 2,036,127 | |||||||||||||||||||||
| Health Care Equipment & Supplies – 0.7% | |||||||||||||||||||||||
| 250 | Alere Inc., Convertible Bond | 3.000 | % | 5/15/16 | B- | 265,938 | |||||||||||||||||
| 250 | American Medical Systems Holdings, Convertible Bond | 4.000 | % | 9/15/41 | BB- | 306,250 | |||||||||||||||||
| 100 | Beckman Coulter Inc., Convertible Bonds, 144A | 2.500 | % | 12/15/36 | BBB | 114,625 | |||||||||||||||||
| 500 | Beckman Coulter Inc., Convertible Bonds | 2.500 | % | 12/15/36 | BBB | 573,125 | |||||||||||||||||
| 250 | Fisher Scientific International Inc. | 3.250 | % | 3/01/24 | BBB+ | 350,313 | |||||||||||||||||
| 1,050 | Hologic Inc. Convertible Bond | 2.000 | % | 12/15/37 | BB+ | 1,102,500 | |||||||||||||||||
| 600 | Kinetic Concepts Inc., Convertible Bond, 144A | 3.250 | % | 4/15/15 | BB- | 633,750 | |||||||||||||||||
| 1,216 | Medtronic, Inc. | 1.500 | % | 4/15/11 | AA- | 1,222,080 | |||||||||||||||||
| 2,000 | Medtronic, Inc. | 1.625 | % | 4/15/13 | AA- | 2,022,500 | |||||||||||||||||
| 6,216 | Total Health Care Equipment & Supplies | 6,591,081 | |||||||||||||||||||||
| Health Care Providers & Services – 0.3% | |||||||||||||||||||||||
| 400 | AmeriGroup Corporation, Convertible Bond | 2.000 | % | 5/15/12 | BB | 467,000 | |||||||||||||||||
| 300 | LifePoint Hospitals, Inc., Convertible Bond | 3.250 | % | 8/15/25 | B | 301,125 | |||||||||||||||||
| 600 | LifePoint Hospitals, Inc., Convertible Bonds | 3.500 | % | 5/15/14 | B | 608,250 | |||||||||||||||||
| 945 | Omnicare, Inc. | 3.250 | % | 12/15/35 | B+ | 871,763 | |||||||||||||||||
| 250 | PSS World Medical Inc. Convertible Note, 144A | 3.125 | % | 8/01/14 | BB | 308,750 | |||||||||||||||||
| 2,495 | Total Health Care Providers & Services | 2,556,888 | |||||||||||||||||||||
| Hotels, Restaurants & Leisure – 0.2% | |||||||||||||||||||||||
| 250 | Host Hotels and Resorts Inc., Convertible Bond, 144A | 2.500 | % | 10/15/29 | BB+ | 353,438 | |||||||||||||||||
| 800 | International Game Technology | 3.250 | % | 5/01/14 | BBB | 927,000 | |||||||||||||||||
| 250 | Wyndham Worldwide Corporation, Convertible Bond | 3.500 | % | 5/01/12 | BBB- | 603,750 | |||||||||||||||||
| 1,300 | Total Hotels, Restaurants & Leisure | 1,884,188 | |||||||||||||||||||||
Nuveen Investments
36
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Household Durables – 0.1% | |||||||||||||||||||||||
| $ | 400 | D.R. Horton, Inc. | 2.000 | % | 5/15/14 | BB- | $ | 454,000 | |||||||||||||||
| 500 | Lennar Corporation, 144A | 2.750 | % | 12/15/20 | B+ | 548,750 | |||||||||||||||||
| 250 | Lennar Corporation | 2.000 | % | 12/01/20 | B+ | 249,063 | |||||||||||||||||
| 1,150 | Total Household Durables | 1,251,813 | |||||||||||||||||||||
| Independent Power Producers & Energy Traders – 0.1% | |||||||||||||||||||||||
| 300 | Allegheny Technologies Inc., Convertible Bond | 4.250 | % | 6/01/14 | BBB- | 454,125 | |||||||||||||||||
| Industrial Conglomerates – 0.1% | |||||||||||||||||||||||
| 500 | Textron Inc. | 4.500 | % | 5/01/13 | BBB- | 952,500 | |||||||||||||||||
| Insurance – 0.0% | |||||||||||||||||||||||
| 300 | Old Republic International Corporation | 8.000 | % | 5/15/12 | BBB+ | 382,500 | |||||||||||||||||
| Internet & Catalog Retail – 0.0% | |||||||||||||||||||||||
| 250 | Priceline.com Inc., Convertible Bond | 1.250 | % | 3/15/15 | BBB- | 368,125 | |||||||||||||||||
| Internet Software & Services – 0.1% | |||||||||||||||||||||||
| 500 | Equinix Inc., Convertible Bond | 3.000 | % | 10/15/14 | B- | 503,125 | |||||||||||||||||
| 450 | Equinix Inc. | 4.750 | % | 6/15/16 | B- | 555,188 | |||||||||||||||||
| 950 | Total Internet Software & Services | 1,058,313 | |||||||||||||||||||||
| IT Services – 0.1% | |||||||||||||||||||||||
| 150 | Macrovision Corporation, Convertible Bonds | 2.625 | % | 8/15/11 | BB- | 332,813 | |||||||||||||||||
| 250 | Verifone Holdings Inc. | 1.375 | % | 6/15/12 | B | 270,938 | |||||||||||||||||
| 400 | Total IT Services | 603,751 | |||||||||||||||||||||
| Life Sciences Tools & Services – 0.1% | |||||||||||||||||||||||
| 400 | Charles River Laboratories International, Inc. | 2.250 | % | 6/15/13 | BB+ | 402,000 | |||||||||||||||||
| 300 | Invitrogen Corporation, Convertible Bond | 1.500 | % | 2/15/24 | BBB | 363,750 | |||||||||||||||||
| 700 | Total Life Sciences Tools & Services | 765,750 | |||||||||||||||||||||
| Machinery – 0.3% | |||||||||||||||||||||||
| 600 | Danaher Corporation, Convertible Bonds | 0.000 | % | 1/22/21 | A+ | 825,000 | |||||||||||||||||
| 250 | Ingersoll Rand | 4.500 | % | 4/15/12 | BBB+ | 664,375 | |||||||||||||||||
| 500 | Navistar International Corporation, Convertible Bond | 3.000 | % | 10/15/14 | B1 | 670,000 | |||||||||||||||||
| 200 | Terex Corporation | 4.000 | % | 6/01/15 | B | 409,250 | |||||||||||||||||
| 1,550 | Total Machinery | 2,568,625 | |||||||||||||||||||||
| Media – 0.3% | |||||||||||||||||||||||
| 600 | Interpublic Group Companies Inc., Convertible Notes | 4.250 | % | 3/15/23 | BB | 671,250 | |||||||||||||||||
| 500 | Liberty Media Corporation, Senior Debentures, Exchangeable for PCS Common Stock, Series 1 | 4.000 | % | 11/15/29 | BB- | 287,500 | |||||||||||||||||
| 1,000 | Liberty Media Corporation | 3.125 | % | 3/30/23 | BB- | 1,126,250 | |||||||||||||||||
| 750 | Omnicom Group Inc., Convertible Bond | 0.000 | % | 7/01/38 | BBB+ | 797,813 | |||||||||||||||||
| 2,850 | Total Media | 2,882,813 | |||||||||||||||||||||
| Metals & Mining – 0.6% | |||||||||||||||||||||||
| 350 | Alcoa Inc., Convertible Bond | 5.250 | % | 3/15/14 | Baa3 | 867,563 | |||||||||||||||||
| 2,000 | Gold Reserve, Inc., Convertible Bonds | 5.500 | % | 6/15/22 | N/R | 1,407,500 | |||||||||||||||||
| 150 | Newmont Mining Corp., Senior Convertible Note | 1.625 | % | 7/15/17 | BBB+ | 218,813 | |||||||||||||||||
| 450 | Newmont Mining Corporation, 144A | 1.625 | % | 7/15/17 | BBB+ | 656,438 | |||||||||||||||||
| 250 | Newmont Mining Corporation | 3.000 | % | 2/15/12 | BBB+ | 349,063 | |||||||||||||||||
| 600 | Newmont Mining Corporation | 1.250 | % | 7/15/14 | BBB+ | 863,250 | |||||||||||||||||
| 250 | Steel Dynamics, Inc. | 5.125 | % | 6/15/14 | BB+ | 318,125 | |||||||||||||||||
| 650 | United States Steel Corporation | 4.000 | % | 5/15/14 | BB | 1,264,250 | |||||||||||||||||
| 4,700 | Total Metals & Mining | 5,945,002 | |||||||||||||||||||||
Nuveen Investments
37
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Multiline Retail – 0.0% | |||||||||||||||||||||||
| $ | 350 | Saks, Inc., Convertible Bonds | 2.000 | % | 3/15/24 | B+ | $ | 364,438 | |||||||||||||||
| Multi-Utilities – 0.1% | |||||||||||||||||||||||
| 500 | CMS Energy Corporation, Convertible Bonds | 2.875 | % | 12/01/24 | BB+ | 726,875 | |||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.7% | |||||||||||||||||||||||
| 400 | Alpha Natural Resouces Inc., Convertible Bond | 2.375 | % | 4/15/15 | BB | 537,000 | |||||||||||||||||
| 450 | Chesapeake Energy Corporation, Convertible Bonds | 2.750 | % | 11/15/35 | BB | 448,875 | |||||||||||||||||
| 750 | Chesapeake Energy Corporation, Convertible Bonds | 2.500 | % | 5/15/37 | BB | 673,125 | |||||||||||||||||
| 400 | Chesapeake Energy Corporation, Convertible Bonds | 2.250 | % | 12/15/38 | BB | 313,500 | |||||||||||||||||
| 920 | Goodrich Petroleum Corporation, Convertible | 5.000 | % | 10/01/29 | N/R | 900,450 | |||||||||||||||||
| 500 | Massey Energy Company, Convertible Bond | 3.250 | % | 8/01/15 | BB- | 490,625 | |||||||||||||||||
| 800 | Peabody Energy Corp., Convertible Bond | 4.750 | % | 12/15/66 | Ba3 | 1,039,000 | |||||||||||||||||
| 300 | Penn Virginia Corporation | 4.500 | % | 11/15/12 | B | 298,500 | |||||||||||||||||
| 500 | Pioneer Natural Resouces Company, Convertible Bond | 2.875 | % | 1/15/38 | BB+ | 759,375 | |||||||||||||||||
| 1,075 | USEC Inc., Convertible Bond | 3.000 | % | 10/01/14 | Caa2 | 972,875 | |||||||||||||||||
| 6,095 | Total Oil, Gas & Consumable Fuels | 6,433,325 | |||||||||||||||||||||
| Personal Products – 0.0% | |||||||||||||||||||||||
| 250 | RadioShack Corporation, Convertible Bond | 2.500 | % | 8/01/13 | Ba1 | 267,813 | |||||||||||||||||
| Pharmaceuticals – 0.5% | |||||||||||||||||||||||
| 600 | Allergan Inc., Convertible Bond | 1.500 | % | 4/01/26 | A+ | 681,000 | |||||||||||||||||
| 600 | Mylan Labs, Inc., Convertible Bonds, 144A | 3.750 | % | 9/15/15 | BB- | 1,039,500 | |||||||||||||||||
| 550 | Mylan Labs, Inc., Convertible Bonds | 1.250 | % | 3/15/12 | BB- | 585,063 | |||||||||||||||||
| 950 | Teva Pharmaceutical Finance Company B.V., Series D | 1.750 | % | 2/01/26 | A- | 1,046,188 | |||||||||||||||||
| 350 | Teva Pharmaceutical Finance Company LLC, Convertible Bonds | 0.250 | % | 2/01/26 | A- | 412,563 | |||||||||||||||||
| 175 | Valeant Pharmaceuticals International Convertible Bond | 4.000 | % | 11/15/13 | B | 392,875 | |||||||||||||||||
| 3,225 | Total Pharmaceuticals | 4,157,189 | |||||||||||||||||||||
| Real Estate – 0.8% | |||||||||||||||||||||||
| 950 | Boston Properties Limited Partnership, Convertible Bonds, 144A | 3.625 | % | 2/15/14 | A- | 1,015,313 | |||||||||||||||||
| 850 | Boston Properties Limited Partnership, Convertible Bonds, 144A | 2.875 | % | 2/15/37 | A- | 867,000 | |||||||||||||||||
| 300 | Duke Realty Corporation, Series D, 144A | 3.750 | % | 12/01/11 | BBB- | 305,250 | |||||||||||||||||
| 450 | ERP Operating LP | 3.850 | % | 8/15/26 | BBB+ | 472,500 | |||||||||||||||||
| 200 | Health Care REIT, Inc., Convertible Bonds | 4.750 | % | 12/01/26 | Baa2 | 222,750 | |||||||||||||||||
| 200 | Health Care REIT, Inc., Convertible Bonds | 4.750 | % | 7/15/27 | Baa2 | 222,250 | |||||||||||||||||
| 850 | Host Hotels and Resorts Inc., Convertible Bond, 144A | 2.625 | % | 4/15/27 | BB+ | 845,750 | |||||||||||||||||
| 450 | Host Marriot LP, Convertible Bonds, 144A | 3.250 | % | 4/15/24 | BB+ | 528,750 | |||||||||||||||||
| 450 | National Retail Properties Inc., Convertible Bonds | 5.125 | % | 6/15/28 | Baa2 | 524,250 | |||||||||||||||||
| 250 | Prologis Trust, Convertible Bonds, 144A | 2.250 | % | 4/01/37 | BBB- | 249,374 | |||||||||||||||||
| 1,000 | Prologis Trust, Convertible Bonds | 2.250 | % | 4/01/37 | BBB- | 997,499 | |||||||||||||||||
| 250 | Rayonier Trust Holdings Inc., Convertible Bond | 3.750 | % | 10/15/12 | BBB | 277,499 | |||||||||||||||||
| 200 | Ventas Inc., Convertible Bond, 144A | 3.875 | % | 11/15/11 | BBB- | 249,249 | |||||||||||||||||
| 800 | Vornado Realty, Convertible Bond | 3.875 | % | 4/15/25 | BBB | 890,999 | |||||||||||||||||
| 7,200 | Total Real Estate | 7,668,433 | |||||||||||||||||||||
| Semiconductors & Equipment – 1.0% | |||||||||||||||||||||||
| 2,237 | Advanced Micro Devices, Inc., Convertible Bonds, 144A | 6.000 | % | 5/01/15 | B+ | 2,264,962 | |||||||||||||||||
| 637 | Advanced Micro Devices, Inc., Convertible Bonds | 5.750 | % | 8/15/12 | B+ | 656,109 | |||||||||||||||||
| 1,000 | Intel Corporation, Convertible Bond | 2.950 | % | 12/15/35 | A- | 1,001,249 | |||||||||||||||||
| 1,850 | Intel Corporation, Convertible Bond | 3.250 | % | 8/01/39 | A2 | 2,226,937 | |||||||||||||||||
| 1,350 | Micron Technology, Inc. | 1.875 | % | 6/01/14 | B+ | 1,282,499 | |||||||||||||||||
| 750 | ON Semiconductor Corporation | 2.625 | % | 12/15/26 | B+ | 882,187 | |||||||||||||||||
| 300 | Xilinx Inc., Convertible Bond, 144A | 3.125 | % | 3/15/37 | BB | 313,499 | |||||||||||||||||
| 350 | Xilinx Inc., Convertible Bond | 3.125 | % | 3/15/37 | BB | 365,749 | |||||||||||||||||
| 8,474 | Total Semiconductors & Equipment | 8,993,191 | |||||||||||||||||||||
Nuveen Investments
38
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Software – 0.2% | |||||||||||||||||||||||
| $ | 700 | Microsoft Corporation, Convertible Bond, 144A | 0.000 | % | 6/15/13 | AAA | $ | 755,124 | |||||||||||||||
| 300 | Nuance Communications Inc. | 2.750 | % | 8/15/27 | B- | 353,624 | |||||||||||||||||
| 550 | Symantec Corporation, Convertible Bond | 1.000 | % | 6/15/13 | BBB | 627,687 | |||||||||||||||||
| 1,550 | Total Software | 1,736,435 | |||||||||||||||||||||
| Specialty Retail – 0.1% | |||||||||||||||||||||||
| 500 | Best Buy Co., Inc. | 2.250 | % | 1/15/22 | Baa3 | 531,874 | |||||||||||||||||
| Textiles, Apparel & Luxury Goods – 0.0% | |||||||||||||||||||||||
| 336 | Iconix Brand Group, Inc., Convertible Notes, 144A | 1.875 | % | 6/30/12 | B+ | 339,359 | |||||||||||||||||
| Trading Companies & Distributors – 0.1% | |||||||||||||||||||||||
| 290 | WESCO International Inc., Convertible Bond | 6.000 | % | 9/15/29 | B | 599,574 | |||||||||||||||||
| Wireless Telecommunication Services – 0.0% | |||||||||||||||||||||||
| 500 | Liberty Media Corporation, Convertible Bonds | 3.750 | % | 2/15/30 | BB- | 277,499 | |||||||||||||||||
| $ | 87,282 | Total Convertible Bonds (cost $86,078,767) | 97,261,451 | ||||||||||||||||||||
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Corporate Bonds – 12.1% (9.4% of Total Investments) | |||||||||||||||||||||||
| Aerospace & Defense – 0.2% | |||||||||||||||||||||||
| $ | 400 | Bombardier Inc., Class B Shares, 144A | 7.500 | % | 3/15/18 | BB+ | $ | 431,000 | |||||||||||||||
| 800 | Hawker Beechcraft Acquisition Company | 8.500 | % | 4/01/15 | CCC- | 598,000 | |||||||||||||||||
| 1,000 | Hexcel Corporation, Term Loan | 6.750 | % | 2/01/15 | B+ | 1,025,000 | |||||||||||||||||
| 2,200 | Total Aerospace & Defense | 2,054,000 | |||||||||||||||||||||
| Airlines – 0.1% | |||||||||||||||||||||||
| 600 | Continental Airlines, Inc, 144A | 6.750 | % | 9/15/15 | Ba2 | 621,000 | |||||||||||||||||
| 600 | United Airlines Inc, 144A | 12.000 | % | 11/01/13 | B3 | 664,500 | |||||||||||||||||
| 1,200 | Total Airlines | 1,285,500 | |||||||||||||||||||||
| Auto Components – 0.2% | |||||||||||||||||||||||
| 800 | Cooper Standard Automitve | 8.500 | % | 5/01/18 | B+ | 852,000 | |||||||||||||||||
| 1,200 | Titan Wheels International Inc., 144A | 7.875 | % | 10/01/17 | B+ | 1,272,000 | |||||||||||||||||
| 2,000 | Total Auto Components | 2,124,000 | |||||||||||||||||||||
| Building Products – 0.0% | |||||||||||||||||||||||
| 400 | Libbey Glass Inc, 144A | 10.000 | % | 2/15/15 | B | 432,000 | |||||||||||||||||
| Chemicals – 0.6% | |||||||||||||||||||||||
| 1,950 | Hexion US Finance Corporation | 8.875 | % | 2/01/18 | B3 | 2,093,813 | |||||||||||||||||
| 400 | Momentive Performance Materials | 9.000 | % | 1/15/21 | Caa1 | 423,000 | |||||||||||||||||
| 800 | NOVA Chemicals Corporation | 8.625 | % | 11/01/19 | B+ | 878,000 | |||||||||||||||||
| 350 | Phibro Animal Health Corporation, 144A | 9.250 | % | 7/01/18 | B | 362,250 | |||||||||||||||||
| 1,400 | Rockwood Specialties Group Inc., Series WI | 7.500 | % | 11/15/14 | B | 1,442,000 | |||||||||||||||||
| 4,900 | Total Chemicals | 5,199,063 | |||||||||||||||||||||
| Commercial Banks – 0.3% | |||||||||||||||||||||||
| 200 | Ally Financial Inc. | 8.000 | % | 3/15/20 | B | 219,000 | |||||||||||||||||
| 2,900 | LBG Capital I PLC, 144A | 7.875 | % | 11/01/20 | BB- | 2,653,500 | |||||||||||||||||
| 300 | Lloyds Banking Group LBG Capital 1, 144A | 8.000 | % | 6/15/20 | B+ | 264,000 | |||||||||||||||||
| 3,400 | Total Commercial Banks | 3,136,500 | |||||||||||||||||||||
Nuveen Investments
39
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Commercial Services & Supplies – 0.3% | |||||||||||||||||||||||
| $ | 800 | Avis Budget Car Rental, 144A | 8.250 | % | 1/15/19 | B | $ | 812,000 | |||||||||||||||
| 300 | International Lease Finance Corporation, 144A | 8.625 | % | 9/15/15 | BB+ | 323,250 | |||||||||||||||||
| 1,000 | International Lease Finance Corporation, 144A | 8.750 | % | 3/15/17 | BB+ | 1,075,000 | |||||||||||||||||
| 800 | Ticketmaster | 10.750 | % | 8/01/16 | B1 | 870,000 | |||||||||||||||||
| 2,900 | Total Commercial Services & Supplies | 3,080,250 | |||||||||||||||||||||
| Communications Equipment – 0.2% | |||||||||||||||||||||||
| 350 | Avaya Inc. | 10.125 | % | 11/01/15 | CCC+ | 360,500 | |||||||||||||||||
| 800 | IntelSat Bermuda Limited | 11.250 | % | 2/04/17 | CCC+ | 876,000 | |||||||||||||||||
| 200 | Sungard Data Systems Inc., 144A | 7.375 | % | 11/15/18 | B | 202,000 | |||||||||||||||||
| 400 | Sungard Data Systems Inc., 144A | 7.625 | % | 11/15/20 | B | 407,000 | |||||||||||||||||
| 1,750 | Total Communications Equipment | 1,845,500 | |||||||||||||||||||||
| Construction Materials – 0.1% | |||||||||||||||||||||||
| 1,200 | Headwaters Inc. | 11.375 | % | 11/01/14 | B+ | 1,318,500 | |||||||||||||||||
| Containers & Packaging – 0.2% | |||||||||||||||||||||||
| 400 | Boise Paper Holdings Company | 8.000 | % | 4/01/20 | BB | 430,000 | |||||||||||||||||
| 1,400 | Solo Cup Company | 8.500 | % | 2/15/14 | CCC | 1,267,000 | |||||||||||||||||
| 1,800 | Total Containers & Packaging | 1,697,000 | |||||||||||||||||||||
| Diversified Financial Services – 0.7% | |||||||||||||||||||||||
| 600 | Ally Financial Inc. | 7.500 | % | 9/15/20 | B | 632,250 | |||||||||||||||||
| 650 | CIT Group Inc. | 7.000 | % | 5/01/17 | B+ | 653,250 | |||||||||||||||||
| 5,200 | Fortis Hybrid Financing | 8.250 | % | 8/27/49 | BBB | 5,077,800 | |||||||||||||||||
| 6,450 | Total Diversified Financial Services | 6,363,300 | |||||||||||||||||||||
| Diversified Telecommunication Services – 0.4% | |||||||||||||||||||||||
| 800 | Cequel Communication Holdings I, 144A | 8.625 | % | 11/15/17 | B- | 840,000 | |||||||||||||||||
| 800 | Frontier Communications Corporation | 8.500 | % | 4/15/20 | BB | 878,000 | |||||||||||||||||
| 200 | Insight Communications, 144A | 9.375 | % | 7/15/18 | B- | 214,000 | |||||||||||||||||
| 800 | IntelSat Jackson Holding, 144A | 7.250 | % | 10/15/20 | B+ | 812,000 | |||||||||||||||||
| 800 | Windstream Corporation | 7.875 | % | 11/01/17 | Ba3 | 845,000 | |||||||||||||||||
| 3,400 | Total Diversified Telecommunication Services | 3,589,000 | |||||||||||||||||||||
| Electric Utilities – 0.0% | |||||||||||||||||||||||
| 400 | Calpine Corporation, 144A | 7.875 | % | 7/31/20 | B+ | 407,000 | |||||||||||||||||
| Electrical Equipment – 0.1% | |||||||||||||||||||||||
| 600 | Energy Future Holdings | 10.000 | % | 1/15/20 | B | 620,264 | |||||||||||||||||
| Electronic Equipment & Instruments – 0.1% | |||||||||||||||||||||||
| 350 | Amkor Technology Inc. | 7.375 | % | 5/01/18 | BB- | 365,750 | |||||||||||||||||
| 800 | Kemet Corporation, Convertible Bonds, 144A | 10.500 | % | 5/01/18 | B1 | 864,000 | |||||||||||||||||
| 1,150 | Total Electronic Equipment & Instruments | 1,229,750 | |||||||||||||||||||||
| Food & Staples Retailing – 0.1% | |||||||||||||||||||||||
| 800 | Stater Brothers Holdings Inc. | 7.375 | % | 11/15/18 | B+ | 824,000 | |||||||||||||||||
| Food Products – 0.3% | |||||||||||||||||||||||
| 800 | Dole Foods Company, 144A | 8.000 | % | 10/01/16 | B+ | 848,000 | |||||||||||||||||
| 2,243 | Dole Foods Company | 8.750 | % | 7/15/13 | B- | 2,408,421 | |||||||||||||||||
| 3,043 | Total Food Products | 3,256,421 | |||||||||||||||||||||
Nuveen Investments
40
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Health Care Equipment & Supplies – 0.2% | |||||||||||||||||||||||
| $ | 1,200 | Accellent Inc., 144A | 10.000 | % | 11/01/17 | CCC+ | $ | 1,137,000 | |||||||||||||||
| 500 | Biomet Inc. | 10.000 | % | 10/15/17 | B- | 548,750 | |||||||||||||||||
| 1,700 | Total Health Care Equipment & Supplies | 1,685,750 | |||||||||||||||||||||
| Health Care Providers & Services – 1.0% | |||||||||||||||||||||||
| 400 | Aurora Diagnostics Holdings LLC, 144A | 10.750 | % | 1/15/18 | B3 | 403,000 | |||||||||||||||||
| 350 | Capella Healthcare Inc., 144A | 9.250 | % | 7/01/17 | B | 371,875 | |||||||||||||||||
| 2,000 | Community Health Systems, Inc. | 8.875 | % | 7/15/15 | B | 2,105,000 | |||||||||||||||||
| 1,000 | HCA Inc. | 9.250 | % | 11/15/16 | BB- | 1,069,375 | |||||||||||||||||
| 1,200 | HCA Inc. | 8.500 | % | 4/15/19 | BB | 1,320,000 | |||||||||||||||||
| 2,750 | Select Medical Corporation | 7.625 | % | 2/01/15 | B- | 2,763,750 | |||||||||||||||||
| 1,200 | Select Medical Corporation | 6.237 | % | 9/15/15 | CCC+ | 1,116,000 | |||||||||||||||||
| 8,900 | Total Health Care Providers & Services | 9,149,000 | |||||||||||||||||||||
| Hotels, Restaurants & Leisure – 0.9% | |||||||||||||||||||||||
| 800 | CCM Merger Inc., 144A | 8.000 | % | 8/01/13 | CCC+ | 782,000 | |||||||||||||||||
| 800 | GWR Operating Partnership, 144A | 10.875 | % | 4/01/17 | BB- | 848,000 | |||||||||||||||||
| 1,550 | Harrah's Operating Company, Inc. | 11.250 | % | 6/01/17 | B | 1,751,500 | |||||||||||||||||
| 600 | Landry's Restaurants Inc. | 11.625 | % | 12/01/15 | B | 643,500 | |||||||||||||||||
| 200 | MGM Mirage Inc., 144A | 9.000 | % | 3/15/20 | B1 | 221,000 | |||||||||||||||||
| 400 | Peninsula Gaming LLC | 8.375 | % | 8/15/15 | BB | 422,500 | |||||||||||||||||
| 400 | Penn National Gaming Inc. | 8.750 | % | 8/15/19 | BB- | 443,000 | |||||||||||||||||
| 800 | Pinnacle Entertainment Inc. | 8.750 | % | 5/15/20 | B | 832,000 | |||||||||||||||||
| 1,750 | Seminole Hard Rock Entertainment, Inc., 144A | 2.803 | % | 3/15/14 | BB | 1,610,000 | |||||||||||||||||
| 400 | Universal City Development Partners | 8.875 | % | 11/15/15 | B3 | 427,000 | |||||||||||||||||
| 7,700 | Total Hotels, Restaurants & Leisure | 7,980,500 | |||||||||||||||||||||
| Household Products – 0.1% | |||||||||||||||||||||||
| 1,150 | Central Garden & Pet Company, Senior Subordinate Notes | 8.250 | % | 3/01/18 | B | 1,170,125 | |||||||||||||||||
| Independent Power Producers & Energy Traders – 0.1% | |||||||||||||||||||||||
| 1,000 | NRG Energy Inc. | 7.375 | % | 1/15/17 | BB- | 1,032,500 | |||||||||||||||||
| Industrial Conglomerates – 0.0% | |||||||||||||||||||||||
| 200 | Reynolds Group, 144A | 9.000 | % | 4/15/19 | B | 208,250 | |||||||||||||||||
| Internet Software & Services – 0.1% | |||||||||||||||||||||||
| 800 | Open Solutions Inc., 144A | 9.750 | % | 2/01/15 | CCC+ | 562,000 | |||||||||||||||||
| IT Services – 0.7% | |||||||||||||||||||||||
| 500 | Fidelity National Information Services Inc., 144A | 7.875 | % | 7/15/20 | Ba2 | 531,250 | |||||||||||||||||
| 400 | Fidelity National Information Services Inc. | 7.625 | % | 7/15/17 | Ba2 | 423,000 | |||||||||||||||||
| 1,200 | First Data Corporation, 144A | 8.875 | % | 8/15/20 | B+ | 1,272,000 | |||||||||||||||||
| 887 | First Data Corporation | 10.550 | % | 9/24/15 | B- | 844,511 | |||||||||||||||||
| 400 | First Data Corporation | 9.875 | % | 9/24/15 | B- | 383,000 | |||||||||||||||||
| 400 | First Data Corporation | 11.250 | % | 3/31/16 | CCC+ | 352,000 | |||||||||||||||||
| 1,359 | Global Cash Access LLC | 8.750 | % | 3/15/12 | B | 1,372,590 | |||||||||||||||||
| 400 | ManTech International Company | 7.250 | % | 4/15/18 | BB+ | 420,000 | |||||||||||||||||
| 750 | Seagate HDD Cayman | 6.875 | % | 5/01/20 | BB+ | 720,000 | |||||||||||||||||
| 6,296 | Total IT Services | 6,318,351 | |||||||||||||||||||||
| Machinery – 0.2% | |||||||||||||||||||||||
| 2,000 | Greenbrier Companies, Inc. | 8.375 | % | 5/15/15 | CCC | 2,035,000 | |||||||||||||||||
| Media – 0.4% | |||||||||||||||||||||||
| 400 | Allbritton Communications Company, 144A | 8.000 | % | 5/15/18 | B | 406,000 | |||||||||||||||||
| 300 | Cablevision Systems Corporation | 7.750 | % | 4/15/18 | B+ | 315,750 | |||||||||||||||||
| 200 | Cablevision Systems Corporation | 8.000 | % | 4/15/20 | B+ | 215,000 | |||||||||||||||||
| 600 | Clear Channel Communications, Inc. | 5.500 | % | 9/15/14 | CCC- | 501,000 | |||||||||||||||||
Nuveen Investments
41
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Media (continued) | |||||||||||||||||||||||
| $ | 700 | Clear Channel Communications, Inc. | 10.750 | % | 8/01/16 | CCC- | $ | 630,000 | |||||||||||||||
| 350 | Clear Channel Worldwide Holdings Inc., 144A | 9.250 | % | 12/15/17 | B | 385,000 | |||||||||||||||||
| 1,975 | Medianews Group Inc., (10), (11) | 6.375 | % | 4/01/14 | CC | 198 | |||||||||||||||||
| 200 | NexStar Mission Broadcast, 144A | 8.875 | % | 4/15/17 | B | 213,500 | |||||||||||||||||
| 600 | Nielsen Finance LLC Co | 7.750 | % | 10/15/18 | B | 624,000 | |||||||||||||||||
| 5,325 | Total Media | 3,290,448 | |||||||||||||||||||||
| Metals & Mining – 0.2% | |||||||||||||||||||||||
| 400 | Consol Energy Inc., 144A | 8.000 | % | 4/01/17 | BB | 428,000 | |||||||||||||||||
| 400 | Consol Energy Inc., 144A | 8.250 | % | 4/01/20 | BB | 434,000 | |||||||||||||||||
| 600 | Essar Steel Algoma Inc., 144A | 9.375 | % | 3/15/15 | B+ | 606,750 | |||||||||||||||||
| 1,400 | Total Metals & Mining | 1,468,750 | |||||||||||||||||||||
| Multiline Retail – 0.4% | |||||||||||||||||||||||
| 2,150 | Neiman Marcus Group Inc., Term Loan | 9.000 | % | 10/15/15 | B- | 2,262,875 | |||||||||||||||||
| 800 | Sprectum Brands Inc, 144A | 9.500 | % | 6/15/18 | B | 880,000 | |||||||||||||||||
| 1,000 | Toys R Us Property Company II LLC | 8.500 | % | 12/01/17 | Ba1 | 1,080,000 | |||||||||||||||||
| 3,950 | Total Multiline Retail | 4,222,875 | |||||||||||||||||||||
| Multi-Utilities – 0.1% | |||||||||||||||||||||||
| 800 | Bon-Ton Department Stores Inc. | 10.250 | % | 3/15/14 | CCC+ | 820,000 | |||||||||||||||||
| Municipal – 0.0% | |||||||||||||||||||||||
| 400 | Tops Markets | 10.125 | % | 10/15/15 | B | 413,000 | |||||||||||||||||
| Oil, Gas & Consumable Fuels – 1.5% | |||||||||||||||||||||||
| 1,000 | Alta Mesa Holdings Finance, 144A | 9.625 | % | 10/15/18 | B | 976,250 | |||||||||||||||||
| 450 | Chaparral Energy Inc. | 8.500 | % | 12/01/15 | B+ | 460,125 | |||||||||||||||||
| 1,650 | Chaparral Energy Inc. | 8.875 | % | 2/01/17 | B+ | 1,683,000 | |||||||||||||||||
| 800 | Genesis Energy LP, 144A | 7.875 | % | 12/15/18 | B+ | 798,000 | |||||||||||||||||
| 800 | Hilcorp Energy I LP/Hilcorp Finance Company, 144A | 7.625 | % | 4/15/21 | BB- | 830,000 | |||||||||||||||||
| 600 | OPTI Canada Inc. | 7.875 | % | 12/15/14 | CCC | 426,750 | |||||||||||||||||
| 6,700 | TranCanada Pipelines Limited | 6.350 | % | 5/15/17 | Baa1 | 6,624,357 | |||||||||||||||||
| 300 | Western Refining Inc., 144A | 10.750 | % | 6/15/14 | B3 | 321,000 | |||||||||||||||||
| 700 | Western Refining Inc. | 11.250 | % | 6/15/17 | B | 759,500 | |||||||||||||||||
| 1,000 | Whiting Petroleum Corporation | 7.000 | % | 2/01/14 | BB | 1,055,000 | |||||||||||||||||
| 14,000 | Total Oil, Gas & Consumable Fuels | 13,933,982 | |||||||||||||||||||||
| Paper & Forest Products – 0.4% | |||||||||||||||||||||||
| 600 | Catalyst Paper Corporation, 144A | 11.000 | % | 12/15/16 | B3 | 568,500 | |||||||||||||||||
| 3,700 | MagIndustries Corporation, (11) | 11.000 | % | 12/14/12 | N/R | 3,657,668 | |||||||||||||||||
| 4,300 | Total Paper & Forest Products | 4,226,168 | |||||||||||||||||||||
| Personal Products – 0.2% | |||||||||||||||||||||||
| 1,200 | Prestige Brands Inc. | 8.250 | % | 4/01/18 | B | 1,248,000 | |||||||||||||||||
| 400 | Revlon Consumer Products | 9.750 | % | 11/15/15 | B | 425,000 | |||||||||||||||||
| 1,600 | Total Personal Products | 1,673,000 | |||||||||||||||||||||
| Pharmaceuticals – 0.3% | |||||||||||||||||||||||
| 600 | Angiotech Pharmaceuticals Inc., (7) | 7.750 | % | 4/01/14 | C | 300,000 | |||||||||||||||||
| 900 | KV Pharmaceutical Company, Convertible Bond | 2.500 | % | 5/16/33 | N/R | 499,500 | |||||||||||||||||
| 600 | Mylan Inc., 144A | 7.875 | % | 7/15/20 | BB- | 649,500 | |||||||||||||||||
| 1,200 | Warner Chilcott Company LLC, 144A | 7.750 | % | 9/15/18 | B+ | 1,218,000 | |||||||||||||||||
| 3,300 | Total Pharmaceuticals | 2,667,000 | |||||||||||||||||||||
| Real Estate – 0.1% | |||||||||||||||||||||||
| 800 | Entertainment Properties Trust, 144A | 7.750 | % | 7/15/20 | Baa3 | 850,000 | |||||||||||||||||
Nuveen Investments
42
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Road & Rail – 0.1% | |||||||||||||||||||||||
| $ | 600 | Avis Budget Car Rental | 9.625 | % | 3/15/18 | B | $ | 649,500 | |||||||||||||||
| Semiconductors & Equipment – 0.2% | |||||||||||||||||||||||
| 1,400 | Freescale Semiconductor Inc. | 9.250 | % | 4/15/18 | B2 | 1,547,000 | |||||||||||||||||
| 200 | NXP BV | 3.039 | % | 10/15/13 | B- | 197,750 | |||||||||||||||||
| 1,600 | Total Semiconductors & Equipment | 1,744,750 | |||||||||||||||||||||
| Specialty Retail – 0.3% | |||||||||||||||||||||||
| 771 | Brookstone Company Inc., 144A | 13.000 | % | 10/15/14 | CCC+ | 715,103 | |||||||||||||||||
| 900 | Claires Stores, Inc. | 9.250 | % | 6/01/15 | CCC+ | 873,000 | |||||||||||||||||
| 800 | Claires Stores, Inc. | 10.500 | % | 6/01/17 | CCC | 750,000 | |||||||||||||||||
| 200 | Express LLC | 8.750 | % | 3/01/18 | B | 213,500 | |||||||||||||||||
| 2,671 | Total Specialty Retail | 2,551,603 | |||||||||||||||||||||
| Textiles, Apparel & Luxury Goods – 0.0% | |||||||||||||||||||||||
| 400 | Hanesbrands Inc. | 8.000 | % | 12/15/16 | BB- | 431,000 | |||||||||||||||||
| Transportation Infrastructure – 0.1% | |||||||||||||||||||||||
| 1,200 | AWAS Aviation Capital Limited, 144A | 7.000 | % | 10/15/16 | BBB- | 1,195,500 | |||||||||||||||||
| Wireless Telecommunication Services – 0.6% | |||||||||||||||||||||||
| 1,000 | Clearwire Communications Finance | 12.000 | % | 12/01/15 | B2 | 1,085,000 | |||||||||||||||||
| 1,500 | IPCS, Inc. | 2.412 | % | 5/01/13 | Ba2 | 1,451,250 | |||||||||||||||||
| 2,450 | Sprint Nextel Corporation | 8.375 | % | 8/15/17 | BB- | 2,639,874 | |||||||||||||||||
| 4,950 | Total Wireless Telecommunication Services | 5,176,124 | |||||||||||||||||||||
| $ | 114,635 | Total Corporate Bonds (cost $109,714,448) | 113,917,224 | ||||||||||||||||||||
| Principal Amount (000)/ Shares | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Capital Preferred Securities – 25.3% (19.6% of Total Investments) | |||||||||||||||||||||||
| Capital Markets – 0.5% | |||||||||||||||||||||||
| 6,445 | Credit Suisse Guernsey | 0.976 | % | 5/15/17 | A3 | $ | 4,777,356 | ||||||||||||||||
| Commercial Banks – 10.3% | |||||||||||||||||||||||
| 2,155 | AgFirst Farm Credit Bank | 8.393 | % | 12/15/11 | A | 2,214,263 | |||||||||||||||||
| 2,600 | AgFirst Farm Credit Bank | 7.300 | % | 12/15/53 | A | 2,258,844 | |||||||||||||||||
| 2,984 | Banco Santander Finance | 10.500 | % | 9/29/49 | A- | 3,245,989 | |||||||||||||||||
| 1,500 | BankAmerica Institutional Capital Trust, Series B, 144A | 7.700 | % | 12/31/26 | Baa3 | 1,511,250 | |||||||||||||||||
| 1,000 | BankAmerica Institutional Trust, 144A | 8.070 | % | 12/31/26 | Baa3 | 1,013,750 | |||||||||||||||||
| 2,000 | Barclays Bank PLC, 144A | 7.434 | % | 12/15/17 | A- | 1,975,000 | |||||||||||||||||
| 3,500 | Barclays Bank PLC | 6.278 | % | 12/15/34 | A- | 3,001,250 | |||||||||||||||||
| 800 | BB&T Capital Trust I | 5.850 | % | 8/18/35 | Baa1 | 757,106 | |||||||||||||||||
| 4,200 | BB&T Capital Trust IV | 6.820 | % | 6/12/37 | Baa1 | 4,158,000 | |||||||||||||||||
| 3,350 | BBVA International Unipersonal | 5.919 | % | 4/18/17 | A- | 2,549,116 | |||||||||||||||||
| 3,135 | Credit Agricole, S.A., 144A | 8.375 | % | 10/13/49 | A- | 3,236,888 | |||||||||||||||||
| 1,836 | Credit Agricole, S.A. | 9.750 | % | 12/26/54 | A- | 1,941,570 | |||||||||||||||||
| 500 | Credit Suisse thru Claudius Limited | 8.250 | % | 6/27/49 | A3 | 517,000 | |||||||||||||||||
| 9,000 | First Empire Capital Trust I | 8.234 | % | 2/01/27 | Baa2 | 8,965,800 | |||||||||||||||||
| 600 | First Union Institutional Capital II | 7.850 | % | 1/01/27 | A- | 607,856 | |||||||||||||||||
| 3,100 | Fulton Capital Trust I | 6.290 | % | 2/01/36 | Baa3 | 2,343,538 | |||||||||||||||||
| 300 | HBOS Capital Funding LP, 144A | 6.071 | % | 6/30/14 | Ba2 | 247,500 | |||||||||||||||||
| 1,000 | HSBC Bank PLC | 0.850 | % | 6/11/49 | A | 605,000 | |||||||||||||||||
| 550 | HSBC Capital Funding LP, Debt | 10.176 | % | 6/30/50 | A- | 724,625 | |||||||||||||||||
| 900 | NB Capital Trust II | 7.830 | % | 12/15/26 | Baa3 | 906,750 | |||||||||||||||||
| 4,200 | Nordea Bank AB | 8.375 | % | 3/25/15 | A- | 4,487,700 | |||||||||||||||||
| 8,000 | North Fork Capital Trust II | 8.000 | % | 12/15/27 | Baa3 | 8,100,000 | |||||||||||||||||
| 5,145 | Rabobank Nederland, 144A | 11.000 | % | 6/30/19 | AA- | 6,669,479 | |||||||||||||||||
Nuveen Investments
43
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000)/ Shares | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Commercial Banks (continued) | |||||||||||||||||||||||
| 600 | Reliance Capital Trust I, Series B | 8.170 | % | 5/01/28 | N/R | $ | 482,257 | ||||||||||||||||
| 11,324 | Societe Generale | 8.750 | % | 10/07/49 | BBB+ | 11,663,720 | |||||||||||||||||
| 200 | Sovereign Capital Trust VI | 7.908 | % | 6/13/36 | BBB+ | 206,507 | |||||||||||||||||
| 2,000 | Sparebanken Rogaland, Notes, 144A | 6.443 | % | 5/01/49 | Ba1 | 1,837,156 | |||||||||||||||||
| 3,300 | Standard Chartered PLC, 144A | 7.014 | % | 7/30/37 | BBB | 3,240,762 | |||||||||||||||||
| 800 | Suntrust Capital Trust VIII | 6.100 | % | 12/01/66 | Baa3 | 734,268 | |||||||||||||||||
| – | (12) | Union Planters Preferred Fund, 144A | 7.750 | % | 7/15/53 | B | 16,338,469 | ||||||||||||||||
| Total Commercial Banks | 96,541,413 | ||||||||||||||||||||||
| Consumer Finance – 0.3% | |||||||||||||||||||||||
| 1,000 | Capital One Capital IV Corporation | 6.745 | % | 2/17/32 | Baa3 | 997,500 | |||||||||||||||||
| 1,700 | Capital One Capital VI | 8.875 | % | 5/15/40 | Baa3 | 1,782,875 | |||||||||||||||||
| Total Consumer Finance | 2,780,375 | ||||||||||||||||||||||
| Diversified Financial Services – 1.2% | |||||||||||||||||||||||
| – | (12) | AMG Capital Trust II, Convertible Bond | 5.150 | % | 10/15/37 | BB | 18,141 | ||||||||||||||||
| 1,200 | Bank One Capital III | 8.750 | % | 9/01/30 | A2 | 1,425,683 | |||||||||||||||||
| 7,500 | JPMorgan Chase Capital Trust XX Series T | 6.550 | % | 9/29/36 | A2 | 7,568,198 | |||||||||||||||||
| 2,450 | JPMorgan Chase Capital XXV | 6.800 | % | 10/01/37 | A2 | 2,534,060 | |||||||||||||||||
| Total Diversified Financial Services | 11,546,082 | ||||||||||||||||||||||
| Diversified Telecommunication Services – 1.1% | |||||||||||||||||||||||
| 10 | Centaur Funding Corporation, Series B | 9.080 | % | 4/21/20 | BBB | 10,809,568 | |||||||||||||||||
| Insurance – 11.1% | |||||||||||||||||||||||
| 2,193 | Allstate Corporation | 6.125 | % | 5/15/17 | Baa1 | 2,198,483 | |||||||||||||||||
| 2,600 | AXA SA, 144A | 6.463 | % | 12/14/18 | Baa1 | 2,346,500 | |||||||||||||||||
| 1,000 | AXA SA, 144A | 6.379 | % | 12/14/36 | Baa1 | 913,750 | |||||||||||||||||
| 3,900 | AXA | 8.600 | % | 12/15/30 | A3 | 4,381,030 | |||||||||||||||||
| 15 | Axis Capital Holdings Limited | 7.500 | % | 12/01/15 | BBB | 1,360,213 | |||||||||||||||||
| 5,000 | Catlin Insurance Company Limited | 7.249 | % | 1/19/17 | BBB+ | 4,425,000 | |||||||||||||||||
| 9,925 | Glen Meadows Pass Through Trust | 6.505 | % | 2/15/17 | BB+ | 8,312,188 | |||||||||||||||||
| 8,000 | Great West Life & Annuity Capital I, 144A | 6.625 | % | 11/15/34 | A- | 7,473,160 | |||||||||||||||||
| 4,500 | Liberty Mutual Group, 144A | 7.800 | % | 3/15/37 | Baa3 | 4,477,500 | |||||||||||||||||
| 3,500 | Lincoln National Corporation | 6.050 | % | 4/20/17 | BBB | 3,263,750 | |||||||||||||||||
| 7,300 | MetLife Capital Trust IV, 144A | 7.875 | % | 12/15/37 | BBB | 7,756,250 | |||||||||||||||||
| 400 | MetLife Capital Trust X, 144A | 9.250 | % | 4/08/68 | BBB | 472,000 | |||||||||||||||||
| 7,600 | National Financial Services Inc. | 6.750 | % | 5/15/37 | Baa2 | 7,022,020 | |||||||||||||||||
| 1,150 | Nationwide Financial Services Capital Trust | 7.899 | % | 3/01/37 | Baa2 | 1,006,068 | |||||||||||||||||
| 6,400 | Oil Insurance Limited, 144A | 7.558 | % | 6/30/11 | Baa1 | 5,928,442 | |||||||||||||||||
| 2,500 | Old Mutual Capital Funding, Notes | 8.000 | % | 6/22/53 | Baa3 | 2,393,750 | |||||||||||||||||
| 5,600 | Progressive Corporation | 6.700 | % | 6/15/67 | A2 | 5,761,498 | |||||||||||||||||
| 10,200 | Prudential Financial Inc. | 8.875 | % | 6/15/18 | BBB+ | 11,959,500 | |||||||||||||||||
| 6,200 | Prudential PLC | 6.500 | % | 6/29/49 | A- | 5,812,500 | |||||||||||||||||
| 13,600 | XL Capital Ltd | 6.500 | % | 10/15/57 | BBB- | 11,831,999 | |||||||||||||||||
| 4,700 | ZFS Finance USA Trust II 144A | 6.450 | % | 12/15/65 | A | 4,670,624 | |||||||||||||||||
| Total Insurance | 103,766,225 | ||||||||||||||||||||||
| Road & Rail – 0.7% | |||||||||||||||||||||||
| 6,400 | Burlington Northern Santa Fe Funding Trust I | 6.613 | % | 1/15/26 | BBB | 6,640,396 | |||||||||||||||||
| U.S. Agency – 0.1% | |||||||||||||||||||||||
| 1 | Farm Credit Bank of Texas | 10.000 | % | 12/15/60 | A3 | 864,249 | |||||||||||||||||
| Total Capital Preferred Securities (cost $234,394,629) | 237,725,664 | ||||||||||||||||||||||
Nuveen Investments
44
| Shares | Description (1) | Value | |||||||||
| Investment Companies – 1.3% (1.0% of Total Investments) | |||||||||||
| 354,750 | BlackRock Credit Allocation Income Trust II | $ | 3,487,193 | ||||||||
| 298,160 | Flaherty and Crumrine/Claymore Preferred Securities Income Fund Inc. | 4,833,174 | |||||||||
| 259,567 | John Hancock Preferred Income Fund III | 4,150,476 | |||||||||
| Total Investment Companies (cost $17,741,875) | 12,470,843 | ||||||||||
| Shares | Description (1) | Value | |||||||||
| Rights – 0.0% (0.0% of Total Investments) | |||||||||||
| Metals & Mining | |||||||||||
| 31,200 | Ivanhoe Mines Ltd. | $ | 43,680 | ||||||||
| Total Rights (cost $0) | 43,680 | ||||||||||
| Principal Amount (000) | Description (1) | Coupon | Maturity | Value | |||||||||||||||||||
| Short-Term Investments – 5.2% (4.0% of Total Investments) | |||||||||||||||||||||||
| $ | 27,967 | Repurchase Agreement with Fixed Income Clearing Corporation, dated 12/31/10, | 0.040 | % | 1/03/11 | $ | 27,967,175 | ||||||||||||||||
| repurchase price $27,967,268, collateralized by: | |||||||||||||||||||||||
| $630,000 U.S. Treasury Notes, 1.750%, due 7/31/15, value $632,363, | |||||||||||||||||||||||
| $27,170,000 U.S. Treasury Notes, 1.250%, due 9/30/15, value $26,422,825, and | |||||||||||||||||||||||
| $1,520,000 U.S. Treasury Notes, 1.250%, due 10/31/15, value $1,472,500 | |||||||||||||||||||||||
| 20,402 | Repurchase Agreement with Fixed Income Clearing Corporation, dated 12/31/10, repurchase price $20,401,758, collateralized by: $1,195,000 U.S. Treasury Bonds, 4.500%, due 8/15/39, value $1,230,874, $13,505,000 U.S. Treasury Notes, 3.625%, due 8/15/19, value $14,247,775, and $5,210,000 U.S. Treasury Notes, 3.375%, due 11/15/19, value $5,333,738 | 0.040 | % | 1/03/11 | 20,401,690 | ||||||||||||||||||
| $ | 48,369 | Total Short-Term Investments (cost $48,368,865) | 48,368,865 | ||||||||||||||||||||
| Total Investments (cost $1,153,075,137) – 129.3% | 1,213,748,188 | ||||||||||||||||||||||
| Shares | Description (1) | Value | |||||||||
| Common Stocks Sold Short – (0.6)% | |||||||||||
| Chemicals – (0.1)% | |||||||||||
| (10,500 | ) | Sigma-Aldrich Corporation | $ | (698,880 | ) | ||||||
| Food Products – (0.0)% | |||||||||||
| (9,000 | ) | Green Mountain Coffee Roasters Inc., (2) | (295,740 | ) | |||||||
| Hotels, Restaurants & Leisure – (0.2)% | |||||||||||
| (2,000 | ) | Chipotle Mexican Grill Inc., (2) | (425,320 | ) | |||||||
| (12,800 | ) | P.F. Changs China Bistro, Inc. | (620,288 | ) | |||||||
| (6,700 | ) | Panera Bread Company, (2) | (678,107 | ) | |||||||
| Total Hotels, Restaurants & Leisure | (1,723,715 | ) | |||||||||
| Household Products – (0.0)% | |||||||||||
| (5,300 | ) | Reckitt Benckiser Group PLC | (291,279 | ) | |||||||
| Internet & Catalog Retail – (0.1)% | |||||||||||
| (2,800 | ) | Amazon.com, Inc., (2) | (504,000 | ) | |||||||
| (1,600 | ) | NetFlix.com Inc., (2) | (281,120 | ) | |||||||
| Total Internet & Catalog Retail | (785,120 | ) | |||||||||
| Software – (0.0)% | |||||||||||
| (2,600 | ) | Salesforce.com, Inc., (2) | (343,200 | ) | |||||||
Nuveen Investments
45
JPC
Nuveen Multi-Strategy Income and Growth Fund (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Specialty Retail – (0.2)% | |||||||||||
| (8,800 | ) | Tiffany & Co | $ | (547,976 | ) | ||||||
| (17,000 | ) | Urban Outfitters, Inc., (2) | (608,770 | ) | |||||||
| Total Specialty Retail | (1,156,746 | ) | |||||||||
| Total Common Stocks Sold Short (proceeds $4,065,551) | (5,294,680 | ) | |||||||||
| Borrowings – (28.7)% (13), (14) | (270,000,000 | ) | |||||||||
| Other Assets Less Liabilities – (0.0)% (17) | 390,248 | ||||||||||
| Net Assets Applicable to Common Shares – 100% | $ | 938,843,756 | |||||||||
Investments in Derivatives
Put Options Purchased outstanding at December 31, 2010:
| Number of Contracts | Type | Notional Amount (15) | Expiration Date | Strike Price | Value | ||||||||||||||||||
| 71 | Autozone Inc. | $ | 1,420,000 | 1/21/12 | $ | 200.0 | $ | 38,695 | |||||||||||||||
| 71 | Total Put Options Purchased (premiums paid $158,961) | $ | 1,420,000 | $ | 38,695 | ||||||||||||||||||
Call Options Written outstanding at December 31, 2010:
| Number of Contracts | Type | Notional Amount (15) | Expiration Date | Strike Price | Value | ||||||||||||||||||
| (745 | ) | Aetna Inc. | $ | (2,235,000 | ) | 1/22/11 | $ | 30.0 | $ | (70,403 | ) | ||||||||||||
| (155 | ) | AngloGold Ashanti Limited | (620,000 | ) | 1/22/11 | 40.0 | (143,375 | ) | |||||||||||||||
| (386 | ) | Arch Coal, Inc. | (965,000 | ) | 1/22/11 | 25.0 | (389,860 | ) | |||||||||||||||
| (210 | ) | AstraZeneca PLC | (945,000 | ) | 1/22/11 | 45.0 | (35,700 | ) | |||||||||||||||
| (638 | ) | Barrick Gold Corporation | (2,552,000 | ) | 1/22/11 | 40.0 | (843,755 | ) | |||||||||||||||
| (600 | ) | Cameco Corporation | (2,100,000 | ) | 1/22/11 | 35.0 | (330,000 | ) | |||||||||||||||
| (588 | ) | Chesapeake Energy Corporation | (1,470,000 | ) | 1/21/12 | 25.0 | (235,200 | ) | |||||||||||||||
| (640 | ) | eBay, Inc. | (1,920,000 | ) | 1/22/11 | 30.0 | (18,880 | ) | |||||||||||||||
| (312 | ) | Eli Lilly & Company | (1,092,000 | ) | 1/22/11 | 35.0 | (15,132 | ) | |||||||||||||||
| (383 | ) | Eli Lilly & Company | (1,340,500 | ) | 1/21/12 | 35.0 | (86,749 | ) | |||||||||||||||
| (402 | ) | Forest Laboratories Inc. | (1,206,000 | ) | 1/22/11 | 30.0 | (87,435 | ) | |||||||||||||||
| (1,040 | ) | Gold Fields Limited | (1,300,000 | ) | 1/22/11 | 12.5 | (582,400 | ) | |||||||||||||||
| (565 | ) | Gold Fields Limited | (847,500 | ) | 1/22/11 | 15.0 | (177,975 | ) | |||||||||||||||
| (312 | ) | Ivanhoe Mines Ltd. | (624,000 | ) | 1/22/11 | 20.0 | (95,160 | ) | |||||||||||||||
| (1,080 | ) | Kroger Company | (2,430,000 | ) | 1/21/12 | 22.5 | (232,200 | ) | |||||||||||||||
| (280 | ) | Lockheed Martin Corporation | (2,100,000 | ) | 1/22/11 | 75.0 | (1,400 | ) | |||||||||||||||
| (550 | ) | Newmont Mining Corporation | (2,750,000 | ) | 1/22/11 | 50.0 | (631,125 | ) | |||||||||||||||
| (603 | ) | Nexen Inc. | (1,356,750 | ) | 3/19/11 | 22.5 | (102,510 | ) | |||||||||||||||
| (1,200 | ) | Nippon Telegraph & Telephone Corporation | (2,700,000 | ) | 6/18/11 | 22.5 | (153,000 | ) | |||||||||||||||
| (1,190 | ) | Nokia Corporation | (1,071,000 | ) | 1/22/11 | 9.0 | (163,030 | ) | |||||||||||||||
| (1,600 | ) | Pfizer, Inc. | (2,800,000 | ) | 1/22/11 | 17.5 | (54,400 | ) | |||||||||||||||
| (354 | ) | Range Resources Corporation | (1,327,500 | ) | 1/21/12 | 37.5 | (396,480 | ) | |||||||||||||||
| (1,746 | ) | Smithfield Foods, Inc. | (3,055,500 | ) | 1/22/11 | 17.5 | (558,720 | ) | |||||||||||||||
| (846 | ) | StatoilHydro ASA, ADR | (1,692,000 | ) | 4/16/11 | 20.0 | (346,860 | ) | |||||||||||||||
| (537 | ) | Suncor Energy, Inc | (1,611,000 | ) | 1/22/11 | 30.0 | (449,738 | ) | |||||||||||||||
| (347 | ) | Tesoro Corporation | (520,500 | ) | 1/22/11 | 15.0 | (124,052 | ) | |||||||||||||||
| (1,755 | ) | Tyson Foods, Inc. | (3,510,000 | ) | 1/22/11 | 20.0 | (8,775 | ) | |||||||||||||||
| (1,112 | ) | UBS AG | (1,946,000 | ) | 1/22/11 | 17.5 | (11,120 | ) | |||||||||||||||
| (394 | ) | Wal-Mart Stores, Inc. | (2,068,500 | ) | 1/22/11 | 52.5 | (68,556 | ) | |||||||||||||||
| (434 | ) | Wal-Mart Stores, Inc. | (2,387,000 | ) | 1/22/11 | 55.0 | (12,152 | ) | |||||||||||||||
| (21,004 | ) | Total Call Options Written (premiums received $4,856,749) | $ | (52,542,750 | ) | $ | (6,426,142 | ) | |||||||||||||||
Nuveen Investments
46
For Fund portfolio compliance purposes, the Fund's industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease.
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2) Non-income producing; issuer has not declared a dividend within the past twelve months.
(3) Investment, or portion of investment, has been pledged as collateral for call options written during and as of the end of the reporting period.
(4) Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investor Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(5) Senior Loans generally are subject to mandatory and/or optional prepayment. Because of these mandatory prepayment conditions and because there may be significant economic incentives for a Borrower to prepay, prepayments of Senior Loans may occur. As a result, the actual remaining maturity of Senior Loans held may be substantially less than the stated maturities shown.
(6) Senior Loans generally pay interest at rates which are periodically adjusted by reference to a base short-term, floating lending rate plus an assigned fixed rate. These floating lending rates are generally (i) the lending rate referenced by the London Inter-Bank Offered Rate ("LIBOR"), or (ii) the prime rate offered by one or more major United States banks.
Senior Loans may be considered restricted in that the Fund ordinarily is contractually obligated to receive approval from the Agent Bank and/or Borrower prior to the disposition of a Senior Loan.
(7) The Fund's Adviser has concluded this issue is not likely to meet its future interest payment obligations and has directed the Fund's custodian to cease accruing additional income and "write-off" any remaining recorded balances on the Fund's records.
(8) At or subsequent to December 31, 2010, this issue was under the protection of the Federal Bankruptcy Court.
(9) Non-income producing security, in the case of a Senior Loan, denotes that the issuer has defaulted on the payment of principal or interest or has filed for bankruptcy.
(10) The Fund's Adviser has concluded this issue is not likely to meet its future interest payment obligations and has directed the Fund's custodian to cease accruing additional income on the Fund's records.
(11) Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Trustees. For fair value measurement disclosure purposes, investment categorized as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
(12) Principal Amount (000) rounds to less than $1,000.
(13) Borrowings as a percentage of Total Investments is 22.2%.
(14) The Fund may pledge up to 100% of its eligible investments in the Portfolio of Investments as collateral for Borrowings. As of December 31, 2010, investments with a value of $655,610,679 have been pledged as collateral for Borrowings.
(15) For disclosure purposes, Notional Amount is calculated by multiplying the Number of Contracts by the Strike Price by 100.
(16) For fair value measurement disclosure purposes, Common Stock categorized as Level 2. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
(17) Other Assets Less Liabilities includes Value and/or Unrealized Appreciation (Depreciation) of derivative instruments as noted in Investments in Derivatives.
N/R Not rated.
WI/DD Purchased on a when-issued or delayed delivery basis.
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
ADR American Depositary Receipt.
CORTS Corporate Backed Trust Securities.
PPLUS PreferredPlus Trust.
TBD Senior Loan purchased on a when-issued or delayed-delivery basis. Certain details associated with this purchase are not known prior to the settlement date of the transaction. In addition, Senior Loans typically trade without accrued interest and therefore a weighted average coupon rate is not available prior to settlement. At settlement, if still unknown, the Borrower or counterparty will provide the Fund with the final weighted average coupon rate and maturity date.
Nuveen Investments
47
JQC
Nuveen Multi-Strategy Income and Growth Fund 2
Portfolio of INVESTMENTS
December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Common Stocks – 35.8% (27.7% of Total Investments) | |||||||||||
| Aerospace & Defense – 1.1% | |||||||||||
| 16,520 | Boeing Company | $ | 1,078,095 | ||||||||
| 3,235 | Esterline Technologies Corporation, (2) | 221,889 | |||||||||
| 151,000 | Finmeccanica SPA | 1,716,150 | |||||||||
| 5,065 | GeoEye, Inc., (2) | 214,705 | |||||||||
| 3,680 | L-3 Communications Holdings, Inc. | 259,403 | |||||||||
| 83,603 | Lockheed Martin Corporation, (3) | 5,844,686 | |||||||||
| 4,490 | Orbital Sciences Corporation | 76,914 | |||||||||
| 150,200 | Thales S.A. | 5,255,650 | |||||||||
| 3,390 | United Technologies Corporation | 266,861 | |||||||||
| Total Aerospace & Defense | 14,934,353 | ||||||||||
| Air Freight & Logistics – 0.1% | |||||||||||
| 12,340 | United Parcel Service, Inc., Class B | 895,637 | |||||||||
| Airlines – 0.0% | |||||||||||
| 20,320 | Hawaiian Holdings Inc., (2) | 159,309 | |||||||||
| Auto Components – 0.2% | |||||||||||
| 10,620 | Cooper Tire & Rubber | 250,420 | |||||||||
| 8,300 | Goodyear Tire & Rubber Company, (2) | 98,355 | |||||||||
| 45,300 | Johnson Controls, Inc. | 1,730,460 | |||||||||
| 8,500 | TRW Automotive Holdings Corporation, (2) | 447,950 | |||||||||
| Total Auto Components | 2,527,185 | ||||||||||
| Automobiles – 0.4% | |||||||||||
| 94,011 | Honda Motor Company Limited | 3,722,692 | |||||||||
| 1,525 | Toyota Motor Corporation, Sponsored ADR | 119,911 | |||||||||
| 37,878 | Toyota Motor Corporation | 1,502,244 | |||||||||
| Total Automobiles | 5,344,847 | ||||||||||
| Beverages – 0.7% | |||||||||||
| 325,953 | Coca-Cola Amatil Limited | 3,620,559 | |||||||||
| 32,149 | Coca-Cola Femsa SAB de CV | 2,650,042 | |||||||||
| 37,870 | Coca-Cola Company | 2,490,710 | |||||||||
| 21,695 | Dr. Pepper Snapple Group | 762,796 | |||||||||
| 12,300 | Molson Coors Brewing Company, Class B | 617,337 | |||||||||
| Total Beverages | 10,141,444 | ||||||||||
| Biotechnology – 0.2% | |||||||||||
| 17,970 | Amgen Inc., (2) | 986,553 | |||||||||
| 9,140 | Biogen Idec Inc., (2) | 612,837 | |||||||||
| 9,345 | BioMarin Pharmaceutical Inc., (2) | 251,661 | |||||||||
| 3,820 | Celgene Corporation, (2) | 225,915 | |||||||||
| 7,991 | Cubist Pharmaceuticals Inc., (2) | 171,007 | |||||||||
| 9,390 | Geron Corporation, (2) | 48,546 | |||||||||
| 21,230 | Gilead Sciences, Inc., (2) | 769,375 | |||||||||
| 6,590 | Incyte Pharmaceuticals Inc., (2) | 109,130 | |||||||||
Nuveen Investments
48
| Shares | Description (1) | Value | |||||||||
| Biotechnology (continued) | |||||||||||
| 16,670 | Nabi Biopharmaceuticals, (2) | $ | 96,519 | ||||||||
| 16,220 | PDL Biopahrma Inc. | 101,051 | |||||||||
| Total Biotechnology | 3,372,594 | ||||||||||
| Building Products – 0.1% | |||||||||||
| 36,123 | Masonite Worldwide Holdings, (2) | 1,255,274 | |||||||||
| Capital Markets – 0.4% | |||||||||||
| 4,540 | Affiliated Managers Group Inc., (2) | 450,459 | |||||||||
| 4,950 | Ameriprise Financial, Inc. | 284,873 | |||||||||
| 4,090 | Artio Global Investors Inc. | 60,328 | |||||||||
| 6,370 | Calamos Asset Management, Inc. Class A | 89,180 | |||||||||
| 9,150 | Invesco LTD | 220,149 | |||||||||
| 22,360 | Legg Mason, Inc. | 810,997 | |||||||||
| 6,890 | T. Rowe Price Group Inc. | 444,681 | |||||||||
| 66,430 | UBS AG | 1,090,589 | |||||||||
| 158,760 | UBS AG, (2), (3) | 2,614,777 | |||||||||
| Total Capital Markets | 6,066,033 | ||||||||||
| Chemicals – 1.0% | |||||||||||
| 22,110 | Celanese Corporation, Series A | 910,269 | |||||||||
| 1,000 | CF Industries Holdings, Inc. | 135,150 | |||||||||
| 3,960 | Intrepid Potash Inc., (2) | 147,668 | |||||||||
| 117,887 | Kuraray Company Limited | 1,690,115 | |||||||||
| 4,460 | Minerals Technologies Inc. | 291,729 | |||||||||
| 24,680 | Mosaic Company | 1,884,565 | |||||||||
| 39,177 | Nitto Denko Corporation | 1,845,696 | |||||||||
| 11,930 | Potash Corporation of Saskatchewan | 1,853,151 | |||||||||
| 3,800 | PPG Industries, Inc. | 319,466 | |||||||||
| 2,103 | Shin-Etsu Chemical Company Limited, ADR, (15) | 114,089 | |||||||||
| 8,210 | Solutia Inc., (2) | 189,487 | |||||||||
| 72,873 | Umicore | 3,790,037 | |||||||||
| 4,975 | Westlake Chemical Corporation | 216,263 | |||||||||
| Total Chemicals | 13,387,685 | ||||||||||
| Commercial Banks – 2.4% | |||||||||||
| 105,516 | Associated Banc-Corp. | 1,598,567 | |||||||||
| 114,352 | Banco Itau Holdings Financeira, S.A., Sponsred ADR | 2,745,592 | |||||||||
| 119,330 | Banco Santander Central Hispano S.A. | 1,622,888 | |||||||||
| 128,096 | Banco Santander Central Hispano S.A., ADR | 1,357,073 | |||||||||
| 17,770 | BNP Paribas SA | 1,130,549 | |||||||||
| 21,420 | Canadian Imperial Bank of Commerce | 1,687,447 | |||||||||
| 9,180 | Columbia Banking Systems Inc. | 193,331 | |||||||||
| 14,039 | Commerce Bancshares Inc. | 557,769 | |||||||||
| 9,850 | Community Bank System Inc. | 273,535 | |||||||||
| 294,358 | DnB NOR ASA | 4,131,570 | |||||||||
| 11,290 | East West Bancorp Inc. | 220,720 | |||||||||
| 7,410 | First Financial Bancorp. | 136,937 | |||||||||
| 111,780 | Hang Seng Bank | 1,835,005 | |||||||||
| 229,950 | HSBC Holdings PLC | 2,334,290 | |||||||||
| 9,570 | M&T Bank Corporation | 833,069 | |||||||||
| 134,693 | Mitsubishi UFJ Financial Group, Inc., ADR | 728,294 | |||||||||
| 438,484 | Mizuho Financial Group | 826,309 | |||||||||
| 21,730 | Societe Generale | 1,167,900 | |||||||||
| 122,317 | Standard Chartered PLC | 3,290,603 | |||||||||
| 21,836 | Sumitomo Mitsui Financial Group | 777,802 | |||||||||
| 16,873 | Sumitomo Trust & Banking Company, ADR, (15) | 106,975 | |||||||||
| 38,200 | Toronto-Dominion Bank | 2,852,610 | |||||||||
Nuveen Investments
49
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Commercial Banks (continued) | |||||||||||
| 40,910 | U.S. Bancorp | $ | 1,103,343 | ||||||||
| 3,170 | UMB Financial Corporation | 131,301 | |||||||||
| 15,780 | Umpqua Holdings Corporation | 192,200 | |||||||||
| 22,310 | Wells Fargo & Company | 691,387 | |||||||||
| Total Commercial Banks | 32,527,066 | ||||||||||
| Commercial Services & Supplies – 0.4% | |||||||||||
| 40,610 | Aggreko PLC | 938,329 | |||||||||
| 2,010 | Clean Harbors, Inc., (2) | 169,001 | |||||||||
| 15,345 | Republic Services, Inc. | 458,202 | |||||||||
| 5,878 | Stericycle Inc., (2) | 475,648 | |||||||||
| 391,000 | Toppan Printing Company Limited | 3,573,371 | |||||||||
| 6,200 | Waste Management, Inc. | 228,594 | |||||||||
| Total Commercial Services & Supplies | 5,843,145 | ||||||||||
| Communications Equipment – 0.4% | |||||||||||
| 2,870 | Comtech Telecom Corporation | 79,585 | |||||||||
| 3,580 | Interdigital Inc., (2) | 149,071 | |||||||||
| 112,690 | Nokia Oyj | 1,165,548 | |||||||||
| 187,223 | Nokia Corporation, ADR, (3) | 1,932,141 | |||||||||
| 9,345 | Plantronics Inc. | 347,821 | |||||||||
| 40,420 | QUALCOMM, Inc. | 2,000,386 | |||||||||
| Total Communications Equipment | 5,674,552 | ||||||||||
| Computers & Peripherals – 0.4% | |||||||||||
| 17,265 | Apple, Inc., (2) | 5,568,998 | |||||||||
| 6,150 | Network Appliance Inc., (2) | 338,004 | |||||||||
| 8,150 | SanDisk Corporation, (2) | 406,359 | |||||||||
| 1,625 | Western Digital Corporation, (2) | 55,088 | |||||||||
| Total Computers & Peripherals | 6,368,449 | ||||||||||
| Construction & Engineering – 0.1% | |||||||||||
| 39,730 | Royal Boskalis Westminster NV | 1,895,356 | |||||||||
| 3,457 | Shaw Group Inc., (2) | 118,333 | |||||||||
| Total Construction & Engineering | 2,013,689 | ||||||||||
| Consumer Finance – 0.0% | |||||||||||
| 16,110 | Discover Financial Services | 298,518 | |||||||||
| Containers & Packaging – 0.0% | |||||||||||
| 15,920 | Boise Inc. | 126,246 | |||||||||
| 2,071 | Rock-Tenn Company | 111,730 | |||||||||
| Total Containers & Packaging | 237,976 | ||||||||||
| Diversified Consumer Services – 0.0% | |||||||||||
| 970 | Coinstar Inc., (2) | 54,747 | |||||||||
| 5,540 | Sothebys Holdings Inc. | 249,300 | |||||||||
| Total Diversified Consumer Services | 304,047 | ||||||||||
| Diversified Financial Services – 0.1% | |||||||||||
| 1,230 | CME Group, Inc. | 395,753 | |||||||||
| 4,718 | Guoco Group Ltd, ADR, (15) | 126,254 | |||||||||
| 80,000 | Guoco Group Ltd | 1,062,166 | |||||||||
| 6,240 | Nasdaq Stock Market, Inc., (2) | 147,950 | |||||||||
| Total Diversified Financial Services | 1,732,123 | ||||||||||
Nuveen Investments
50
| Shares | Description (1) | Value | |||||||||
| Diversified Telecommunication Services – 0.8% | |||||||||||
| 9,960 | CenturyLink Inc. | $ | 459,853 | ||||||||
| 32,900 | Deutsche Telekom AG, ADR, (3), (15) | 421,120 | |||||||||
| 43,300 | KT Corporation, Sponsored ADR | 900,640 | |||||||||
| 257,763 | Nippon Telegraph and Telephone Corporation, ADR, (3) | 5,913,083 | |||||||||
| 2,240,000 | Telecom Italia S.p.A | 2,430,569 | |||||||||
| 4,374 | Telus Corporation | 190,531 | |||||||||
| 29,160 | Verizon Communications Inc. | 1,043,345 | |||||||||
| Total Diversified Telecommunication Services | 11,359,141 | ||||||||||
| Electric Utilities – 1.0% | |||||||||||
| 231,574 | Centrais Electricas Brasileiras S.A., PFD, B ADR | 3,858,023 | |||||||||
| 14,050 | DPL Inc. | 361,226 | |||||||||
| 21,370 | Duke Energy Corporation | 380,600 | |||||||||
| 3,380 | Edison International | 130,468 | |||||||||
| 14,722 | Electricite de France S.A., (15) | 122,193 | |||||||||
| 40,700 | Electricite de France S.A., ADR | 1,669,421 | |||||||||
| 24,430 | Exelon Corporation | 1,017,265 | |||||||||
| 233,614 | Korea Electric Power Corporation, Sponsored ADR, (3) | 3,156,125 | |||||||||
| 22,440 | Northeast Utilities | 715,387 | |||||||||
| 4,728 | PNM Resources Inc. | 61,559 | |||||||||
| 6,770 | Portland General Electric Company | 146,909 | |||||||||
| 18,900 | Progress Energy, Inc. | 821,772 | |||||||||
| 27,700 | Southern Company | 1,058,971 | |||||||||
| 7,100 | UIL Holdings Corporation | 212,716 | |||||||||
| Total Electric Utilities | 13,712,635 | ||||||||||
| Electrical Equipment – 0.9% | |||||||||||
| 75,818 | ABB Limited, ADR | 1,702,114 | |||||||||
| 99,841 | ABB Limited | 2,224,265 | |||||||||
| 28,100 | Areva CI | 1,370,576 | |||||||||
| 13,830 | GrafTech International Ltd, (2) | 274,387 | |||||||||
| 37,859 | Nidec Corporation | 3,828,333 | |||||||||
| 3,920 | Rockwell Automation, Inc. | 281,103 | |||||||||
| 78,470 | Sensata Techologies Holdings | 2,362,732 | |||||||||
| Total Electrical Equipment | 12,043,510 | ||||||||||
| Electronic Equipment & Instruments – 0.4% | |||||||||||
| 9,910 | Daktronics Inc. | 157,767 | |||||||||
| 3,730 | FLIR Systems Inc., (2) | 110,968 | |||||||||
| 87,696 | Hoya Corporation | 2,130,022 | |||||||||
| 12,358 | Ingram Micro, Inc., Class A, (2) | 235,914 | |||||||||
| 185,058 | Nippon Electric Glass Company Limited | 2,671,363 | |||||||||
| 14,950 | Power One Inc, (2) | 152,490 | |||||||||
| 2,163 | Tech Data Corporation, (2) | 95,215 | |||||||||
| Total Electronic Equipment & Instruments | 5,553,739 | ||||||||||
| Energy Equipment & Services – 0.7% | |||||||||||
| 110,490 | ACERGY S.A., ADR | 2,707,787 | |||||||||
| 186,259 | AMEC PLC | 3,339,557 | |||||||||
| 1,087 | Baker Hughes Incorporated | 62,144 | |||||||||
| 13,725 | Cooper Cameron Corporation, (2) | 696,269 | |||||||||
| 7,090 | FMC Technologies Inc., (2) | 630,372 | |||||||||
| 13,400 | Halliburton Company | 547,122 | |||||||||
| 5,790 | Hornbeck Offshore Services Inc. | 120,895 | |||||||||
| 11,600 | Oil States International Inc., (2) | 743,444 | |||||||||
| 14,810 | Patterson-UTI Energy, Inc. | 319,156 | |||||||||
| 11,690 | Schlumberger Limited | 976,115 | |||||||||
| Total Energy Equipment & Services | 10,142,861 | ||||||||||
Nuveen Investments
51
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Food & Staples Retailing – 1.3% | |||||||||||
| 239,433 | Jeronimo Martins SGPS | $ | 3,647,479 | ||||||||
| 123,375 | Koninklijke Ahold N.V. | 1,628,217 | |||||||||
| 182,153 | Kroger Co., (3) | 4,072,941 | |||||||||
| 149,212 | Wal-Mart Stores, Inc., (3) | 8,047,003 | |||||||||
| Total Food & Staples Retailing | 17,395,640 | ||||||||||
| Food Products – 1.7% | |||||||||||
| 9,190 | Archer-Daniels-Midland Company | 276,435 | |||||||||
| 9,080 | Corn Products International, Inc. | 417,680 | |||||||||
| 1,580 | Diamond Foods Inc. | 84,024 | |||||||||
| 13,420 | General Mills, Inc. | 477,618 | |||||||||
| 22,180 | H.J. Heinz Company | 1,097,023 | |||||||||
| 21,875 | Hershey Foods Corporation | 1,031,406 | |||||||||
| 14,210 | Kellogg Company | 725,847 | |||||||||
| 35,430 | Mead Johnson Nutrition Company, Class A Shares | 2,205,518 | |||||||||
| 46,904 | Nestle S.A. | 2,746,518 | |||||||||
| 15,600 | Ralcorp Holdings Inc., (2) | 1,014,156 | |||||||||
| 266,583 | Smithfield Foods, Inc., (2), (3) | 5,499,607 | |||||||||
| 271,970 | Tyson Foods, Inc., Class A, (3) | 4,683,323 | |||||||||
| 111,340 | Unilever PLC, ADR | 3,407,574 | |||||||||
| Total Food Products | 23,666,729 | ||||||||||
| Gas Utilities – 0.0% | |||||||||||
| 3,840 | National Fuel Gas Company | 251,981 | |||||||||
| Health Care Equipment & Supplies – 0.4% | |||||||||||
| 8,670 | Align Technology, Inc., (2) | 169,412 | |||||||||
| 3,720 | Beckman Coulter, Inc. | 279,856 | |||||||||
| 17,970 | Becton, Dickinson and Company | 1,518,824 | |||||||||
| 2,780 | C. R. Bard, Inc. | 255,121 | |||||||||
| 3,650 | Cooper Companies, Inc. | 205,641 | |||||||||
| 8,060 | Covidien PLC | 368,020 | |||||||||
| 17,460 | Edwards Lifesciences Corporation, (2) | 1,411,466 | |||||||||
| 19,170 | Hologic Inc., (2) | 360,779 | |||||||||
| 7,760 | Masimo Corporation | 225,583 | |||||||||
| 3,480 | Steris Corporation | 126,881 | |||||||||
| 2,663 | Zimmer Holdings, Inc., (2) | 142,950 | |||||||||
| Total Health Care Equipment & Supplies | 5,064,533 | ||||||||||
| Health Care Providers & Services – 0.9% | |||||||||||
| 123,149 | Aetna Inc., (3) | 3,757,276 | |||||||||
| 2,350 | Air Methods Corporation, (2) | 132,235 | |||||||||
| 44,410 | AmerisourceBergen Corporation | 1,515,269 | |||||||||
| 3,425 | Centene Corporation, (2) | 86,790 | |||||||||
| 11,640 | Express Scripts, Inc., (2) | 629,142 | |||||||||
| 38,587 | Fresenius Medical Care, ADR | 2,229,103 | |||||||||
| 14,005 | HealthSouth Corporation, (2) | 290,044 | |||||||||
| 3,980 | Humana Inc., (2) | 217,865 | |||||||||
| 2,860 | Laboratory Corporation of America Holdings, (2) | 251,451 | |||||||||
| 13,074 | Lincare Holdings | 350,775 | |||||||||
| 20,240 | McKesson HBOC Inc. | 1,424,491 | |||||||||
| 15,050 | Medco Health Solutions, Inc., (2) | 922,114 | |||||||||
| 5,062 | Omnicare, Inc. | 128,524 | |||||||||
| 5,480 | Owens and Minor Inc. | 161,276 | |||||||||
| 7,320 | Quest Diagnostics Incorporated | 395,060 | |||||||||
| Total Health Care Providers & Services | 12,491,415 | ||||||||||
Nuveen Investments
52
| Shares | Description (1) | Value | |||||||||
| Hotels, Restaurants & Leisure – 0.4% | |||||||||||
| 14,910 | Bally Technologies, Inc., (2) | $ | 629,053 | ||||||||
| 58,935 | Carnival Corporation | 2,740,026 | |||||||||
| 2,400 | Chipotle Mexican Grill Inc., (2) | 510,384 | |||||||||
| 10,930 | Las Vegas Sands, (2) | 502,234 | |||||||||
| 3,290 | Marriott International, Inc., Class A | 136,667 | |||||||||
| 6,190 | MGM Mirage Inc., (2) | 91,922 | |||||||||
| 3,870 | Penn National Gaming, Inc., (2) | 136,031 | |||||||||
| 9,920 | Royal Caribbean Cruises Limited, (2) | 466,240 | |||||||||
| 20,380 | Starbucks Corporation | 654,809 | |||||||||
| 2,986 | Vail Resorts, Inc. | 155,391 | |||||||||
| 6,100 | YUM! Brands, Inc. | 299,205 | |||||||||
| Total Hotels, Restaurants & Leisure | 6,321,962 | ||||||||||
| Household Durables – 0.2% | |||||||||||
| 15,890 | D.R. Horton, Inc. | 189,568 | |||||||||
| 10,470 | Lennar Corporation, Class A | 196,313 | |||||||||
| 7,075 | Meritage Corporation, (2) | 157,065 | |||||||||
| 39,440 | Newell Rubbermaid Inc. | 717,019 | |||||||||
| 308,685 | Oriental Weavers Group | 1,821,268 | |||||||||
| 5,610 | Tempur Pedic International Inc., (2) | 224,737 | |||||||||
| Total Household Durables | 3,305,970 | ||||||||||
| Household Products – 0.2% | |||||||||||
| 13,230 | Colgate-Palmolive Company | 1,063,295 | |||||||||
| 15,160 | Kimberly-Clark Corporation | 955,686 | |||||||||
| 18,100 | Procter & Gamble Company | 1,164,373 | |||||||||
| Total Household Products | 3,183,354 | ||||||||||
| Independent Power Producers & Energy Traders – 0.1% | |||||||||||
| 27,770 | Constellation Energy Group | 850,595 | |||||||||
| Industrial Conglomerates – 0.5% | |||||||||||
| 5,610 | 3M Co. | 484,143 | |||||||||
| 342,952 | Fraser and Neave Limited | 1,712,956 | |||||||||
| 33,970 | General Electric Company | 621,311 | |||||||||
| 22,000 | Rheinmetall AG | 1,768,914 | |||||||||
| 13,730 | Siemens AG, Sponsored ADR | 1,700,804 | |||||||||
| 7,770 | Textron Inc. | 183,683 | |||||||||
| Total Industrial Conglomerates | 6,471,811 | ||||||||||
| Insurance – 1.0% | |||||||||||
| 19,433 | AFLAC Incorporated | 1,096,604 | |||||||||
| 9,590 | Alterra Capital Holdings Limited | 207,528 | |||||||||
| 1,318 | Aon Corporation | 60,641 | |||||||||
| 9,601 | Axis Capital Holdings Limited | 344,484 | |||||||||
| 10,005 | Delphi Financial Group, Inc. | 288,544 | |||||||||
| 29,510 | Genworth Financial Inc., Class A, (2) | 387,761 | |||||||||
| 62,476 | Hannover Rueckversicherung AG | 3,350,738 | |||||||||
| 19,100 | Hartford Financial Services Group, Inc. | 505,959 | |||||||||
| 36,341 | Lincoln National Corporation | 1,010,643 | |||||||||
| 1,995 | Loews Corporation | 77,625 | |||||||||
| 8,737 | Marsh & McLennan Companies, Inc. | 238,870 | |||||||||
| 20,880 | Old Republic International Corporation | 284,594 | |||||||||
| 3,030 | PartnerRe Limited | 243,461 | |||||||||
| 6,690 | Primerica Inc. | 162,233 | |||||||||
| 20,640 | Progressive Corporation | 410,117 | |||||||||
| 155,544 | Prudential Corporation PLC | 1,619,957 | |||||||||
| 4,650 | Prudential Financial, Inc. | 273,002 | |||||||||
Nuveen Investments
53
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Insurance (continued) | |||||||||||
| 4,510 | Reinsurance Group of America Inc. | $ | 242,232 | ||||||||
| 27,270 | Symetra Financial Corporation | 373,599 | |||||||||
| 7,660 | Tower Group Inc. | 195,943 | |||||||||
| 49,290 | Willis Group Holdings PLC | 1,706,913 | |||||||||
| 8,590 | WR Berkley Corporation | 235,194 | |||||||||
| Total Insurance | 13,316,642 | ||||||||||
| Internet & Catalog Retail – 0.1% | |||||||||||
| 33,400 | Expedia, Inc. | 838,006 | |||||||||
| Internet Software & Services – 0.6% | |||||||||||
| 141,294 | eBay Inc., (2), (3) | 3,932,212 | |||||||||
| 4,570 | Google Inc., Class A, (2) | 2,714,443 | |||||||||
| 8,210 | IAC/InterActiveCorp., (2) | 235,627 | |||||||||
| 7,900 | Rackspace Hosting Inc., (2) | 248,139 | |||||||||
| 36,860 | Tencent Holdings Limited | 810,912 | |||||||||
| Total Internet Software & Services | 7,941,333 | ||||||||||
| IT Services – 0.4% | |||||||||||
| 11,190 | Accenture Limited | 542,603 | |||||||||
| 24,550 | Automatic Data Processing, Inc. | 1,136,174 | |||||||||
| 8,260 | CSG Systems International Inc., (2) | 156,444 | |||||||||
| 19,125 | International Business Machines Corporation (IBM) | 2,806,785 | |||||||||
| 3,110 | MasterCard, Inc. | 696,982 | |||||||||
| 2,890 | Maximus Inc. | 189,526 | |||||||||
| 5,406 | VeriFone Holdings Inc., (2) | 208,455 | |||||||||
| 4,690 | Wright Express Corporation, (2) | 215,740 | |||||||||
| Total IT Services | 5,952,709 | ||||||||||
| Leisure Equipment & Products – 0.0% | |||||||||||
| 9,340 | JAKKS Pacific Inc. | 170,175 | |||||||||
| Life Sciences Tools & Services – 0.1% | |||||||||||
| 11,430 | Affymetrix, Inc., (2) | 57,493 | |||||||||
| 1,390 | Bio-Rad Laboratories Inc., (2) | 144,352 | |||||||||
| 11,300 | Life Technologies Corporation, (2) | 627,150 | |||||||||
| 8,950 | Waters Corporation, (2) | 695,505 | |||||||||
| Total Life Sciences Tools & Services | 1,524,500 | ||||||||||
| Machinery – 1.0% | |||||||||||
| 6,676 | AGCO Corporation, (2) | 338,206 | |||||||||
| 5,970 | ArvinMeritor Inc., (2) | 122,504 | |||||||||
| 3,460 | Astecx Industries Inc. | 112,139 | |||||||||
| 14,730 | Caterpillar Inc. | 1,379,612 | |||||||||
| 1,960 | Crane Company | 80,497 | |||||||||
| 17,050 | Cummins Inc. | 1,875,671 | |||||||||
| 5,680 | Danaher Corporation | 267,926 | |||||||||
| 5,660 | Deere & Company | 470,063 | |||||||||
| 4,710 | Eaton Corporation | 478,112 | |||||||||
| 1,720 | Kaydon Corporation | 70,038 | |||||||||
| 52,839 | Kone OYJ | 2,937,324 | |||||||||
| 1,340 | Nordson Corporation | 123,119 | |||||||||
| 35,720 | Oshkosh Truck Corporation, (2) | 1,258,773 | |||||||||
| 11,170 | Parker Hannifin Corporation | 963,971 | |||||||||
| 22,770 | Timken Company | 1,086,812 | |||||||||
| 16,200 | Vallourec SA | 1,701,537 | |||||||||
| Total Machinery | 13,266,304 | ||||||||||
Nuveen Investments
54
| Shares | Description (1) | Value | |||||||||
| Marine – 0.2% | |||||||||||
| 12,620 | Genco Shipping and Trading Limited, (2) | $ | 181,728 | ||||||||
| 104,500 | Stolt-Nielsen Ltd. | 2,552,035 | |||||||||
| Total Marine | 2,733,763 | ||||||||||
| Media – 0.7% | |||||||||||
| 20,320 | Cablevision Systems Corporation | 687,629 | |||||||||
| 53,378 | Citadel Broadcasting Corporation, (2) | 1,607,745 | |||||||||
| 34,675 | Comcast Corporation, Class A | 761,810 | |||||||||
| 24,385 | Dex One Corporation, (2) | 181,912 | |||||||||
| 29,915 | DIRECTV Group, Inc., (2) | 1,194,506 | |||||||||
| 3,627 | Madison Square Garden Inc., (2) | 93,504 | |||||||||
| 56,735 | Metro-Goldwyn-Mayer | 1,347,456 | |||||||||
| 2,669 | Philadelphia Newspapers LLC | 280,245 | |||||||||
| 32,898 | Readers Digest Association Inc., (2), (15) | 781,328 | |||||||||
| 14,780 | Scripps Networks Interactive, Class A Shares | 764,865 | |||||||||
| 2,001 | Time Warner Cable, Inc. | 132,126 | |||||||||
| 115,380 | WPP Group PLC | 1,420,223 | |||||||||
| Total Media | 9,253,349 | ||||||||||
| Metals & Mining – 3.7% | |||||||||||
| 48,000 | AngloGold Ashanti Limited, Sponsored ADR, (3) | 2,363,040 | |||||||||
| 202,574 | Barrick Gold Corporation, (3) | 10,772,885 | |||||||||
| 65,667 | BHP Billiton PLC, ADR | 3,039,181 | |||||||||
| 1,900 | Cliffs Natural Resources Inc. | 148,219 | |||||||||
| 23,391 | Freeport-McMoRan Copper & Gold, Inc. | 2,809,025 | |||||||||
| 359,673 | Gold Fields Limited, Sponsored ADR, (3) | 6,520,871 | |||||||||
| 48,000 | Ivanhoe Mines Ltd, (2), (3) | 1,100,160 | |||||||||
| 19,055 | Kinross Gold Corporation | 361,283 | |||||||||
| 2,738 | Newcrest Mining Limited, Sponsored ADR, (15) | 114,038 | |||||||||
| 55,500 | Newcrest Mining Limited | 2,295,593 | |||||||||
| 121,548 | Newmont Mining Corporation, (3) | 7,466,694 | |||||||||
| 7,280 | Noranda Aluminum Hodlings Corporation | 106,288 | |||||||||
| 7,526 | NovaGold Resources Inc., (2) | 107,396 | |||||||||
| 122,000 | NovaGold Resources Inc., 144A | 1,740,940 | |||||||||
| 79,941 | Polyus Gold Company, ADR, (15) | 2,897,861 | |||||||||
| 46,480 | Rio Tinto Limited | 4,063,223 | |||||||||
| 7,690 | Steel Dynamics Inc. | 140,727 | |||||||||
| 143,420 | Sterlite Industries India Ltd., ADR | 2,372,167 | |||||||||
| 16,010 | Walter Industries Inc. | 2,046,718 | |||||||||
| Total Metals & Mining | 50,466,309 | ||||||||||
| Multiline Retail – 0.3% | |||||||||||
| 4,234 | Dillard's, Inc., Class A | 160,638 | |||||||||
| 12,280 | Family Dollar Stores, Inc. | 610,439 | |||||||||
| 27,320 | Macy's, Inc. | 691,196 | |||||||||
| 69,059 | Next PLC | 2,126,479 | |||||||||
| Total Multiline Retail | 3,588,752 | ||||||||||
| Multi-Utilities – 0.2% | |||||||||||
| 23,620 | Ameren Corporation | 665,848 | |||||||||
| 11,860 | Consolidated Edison, Inc. | 587,900 | |||||||||
| 22,730 | Dominion Resources, Inc. | 971,026 | |||||||||
| 5,070 | Integrys Energy Group, Inc. | 245,946 | |||||||||
| 3,610 | OGE Energy Corp. | 164,399 | |||||||||
| 4,360 | Sempra Energy | 228,813 | |||||||||
| 7,670 | Wisconsin Energy Corporation | 451,456 | |||||||||
| Total Multi-Utilities | 3,315,388 | ||||||||||
Nuveen Investments
55
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Office Electronics – 0.1% | |||||||||||
| 34,257 | Canon Inc. | $ | 1,776,351 | ||||||||
| Oil, Gas & Consumable Fuels – 3.7% | |||||||||||
| 81,923 | Arch Coal Inc., (3) | 2,872,220 | |||||||||
| 96,910 | BG Group PLC | 1,958,156 | |||||||||
| 173,556 | Cameco Corporation, (3) | 7,008,191 | |||||||||
| 133,184 | Chesapeake Energy Corporation, (3) | 3,450,797 | |||||||||
| 6,870 | Cimarex Energy Company | 608,201 | |||||||||
| 2,676 | ConocoPhillips | 182,236 | |||||||||
| 33,605 | Continental Resources Inc., (2) | 1,977,654 | |||||||||
| 7,100 | Devon Energy Corporation | 557,421 | |||||||||
| 101,600 | Gazprom OAO, ADR | 2,565,400 | |||||||||
| 15,380 | Hess Corporation | 1,177,185 | |||||||||
| 8,750 | Newfield Exploration Company, (2) | 630,963 | |||||||||
| 129,518 | Nexen Inc., (3) | 2,965,962 | |||||||||
| 6,620 | Occidental Petroleum Corporation | 649,422 | |||||||||
| 8,272 | Petrobras Energia S.A., ADR | 218,215 | |||||||||
| 19,640 | Petrohawk Energy Corporation, (2) | 358,430 | |||||||||
| 15,910 | Petroquest Energy Inc., (2) | 119,802 | |||||||||
| 3,300,000 | PT Medco Energi Internasional TBK | 1,236,127 | |||||||||
| 83,198 | Range Resources Corporation, (3) | 3,742,246 | |||||||||
| 5,700 | Rosetta Resources, Inc., (2) | 214,548 | |||||||||
| 128,390 | Royal Dutch Shell PLC, Class B, Sponsored ADR | 4,233,654 | |||||||||
| 4,780 | SM Energy Company | 281,685 | |||||||||
| 89,780 | StatoilHydro ASA | 2,132,545 | |||||||||
| 176,615 | StatoilHydro ASA, Sponsored ADR, (3) | 4,198,139 | |||||||||
| 10,730 | Stone Energy Corporation, (2) | 239,172 | |||||||||
| 112,117 | Suncor Energy, Inc., (3) | 4,292,960 | |||||||||
| 116,688 | Tesoro Corporation, (3) | 2,163,396 | |||||||||
| 11,535 | Total S.A. | 611,174 | |||||||||
| 11,050 | W&T Offshore Inc. | 197,464 | |||||||||
| 1,220 | Whiting Petroleum Corporation, (2) | 142,972 | |||||||||
| 2,470 | World Fuel Services Corporation | 89,315 | |||||||||
| Total Oil, Gas & Consumable Fuels | 51,075,652 | ||||||||||
| Paper & Forest Products – 0.0% | |||||||||||
| 6,730 | Domtar Corporation | 510,942 | |||||||||
| Personal Products – 0.0% | |||||||||||
| 2,290 | Medifast, Inc. | 66,135 | |||||||||
| 16,790 | Prestige Brands Holdings Inc. | 200,641 | |||||||||
| Total Personal Products | 266,776 | ||||||||||
| Pharmaceuticals – 2.0% | |||||||||||
| 32,000 | AstraZeneca Group, Sponsored ADR, (3) | 1,478,080 | |||||||||
| 40,130 | AstraZeneca Group | 1,828,198 | |||||||||
| 33,687 | Bristol-Myers Squibb Company | 892,032 | |||||||||
| 113,770 | Eli Lilly and Company, (3) | 3,986,501 | |||||||||
| 61,200 | Forest Laboratories, Inc., (2), (3) | 1,957,176 | |||||||||
| 6,810 | Hospira Inc., (2) | 379,249 | |||||||||
| 38,915 | Johnson & Johnson | 2,406,893 | |||||||||
| 31,154 | Novartis AG | 1,830,922 | |||||||||
| 18,670 | Novo Nordisk A/S | 2,105,293 | |||||||||
| 7,480 | Perrigo Company | 473,708 | |||||||||
| 262,887 | Pfizer Inc., (3) | 4,603,151 | |||||||||
| 30,703 | Sanofi-Aventis, S.A. | 1,963,210 | |||||||||
| 36,500 | Teva Pharmaceutical Industries Limited, Sponsored ADR | 1,902,745 | |||||||||
| 3,920 | Warner Chilcott Limited, (2) | 88,435 | |||||||||
| 31,950 | Watson Pharmaceuticals Inc., (2) | 1,650,218 | |||||||||
| Total Pharmaceuticals | 27,545,811 | ||||||||||
Nuveen Investments
56
| Shares | Description (1) | Value | |||||||||
| Professional Services – 0.0% | |||||||||||
| 3,940 | Acacia Research, (2) | $ | 102,204 | ||||||||
| 2,310 | Towers Watson & Company, Class A Shares | 120,259 | |||||||||
| Total Professional Services | 222,463 | ||||||||||
| Real Estate – 0.6% | |||||||||||
| 14,370 | Annaly Capital Management Inc. | 257,510 | |||||||||
| 43,640 | Apartment Investment & Management Company, Class A | 1,127,658 | |||||||||
| 10,990 | Boston Properties, Inc. | 946,239 | |||||||||
| 10,350 | Camden Property Trust | 558,693 | |||||||||
| 7,560 | Digital Realty Trust Inc. | 389,642 | |||||||||
| 16,200 | Duke Realty Corporation | 201,852 | |||||||||
| 4,130 | Equity Lifestyles Properties Inc. | 230,991 | |||||||||
| 2,070 | Essex Property Trust Inc. | 236,435 | |||||||||
| 3,200 | Home Properties New York, Inc. | 177,568 | |||||||||
| 13,040 | Inland Real Estate Corporation | 114,752 | |||||||||
| 8,260 | LaSalle Hotel Properties | 218,064 | |||||||||
| 2,480 | Mid-America Apartment Communities | 157,455 | |||||||||
| 9,040 | Parkway Properties Inc. | 158,381 | |||||||||
| 3,450 | PS Business Parks Inc. | 192,234 | |||||||||
| 8,400 | Ramco-Gershenson Properties Trust | 104,580 | |||||||||
| 16,040 | Rayonier Inc. | 842,421 | |||||||||
| 4,228 | Simon Property Group, Inc. | 420,644 | |||||||||
| 3,550 | Taubman Centers Inc. | 179,204 | |||||||||
| 6,640 | Walter Investment Management Corporation | 119,122 | |||||||||
| 163,410 | Westfield Group | 1,601,161 | |||||||||
| 163,410 | Westfield Realty Trust | 429,539 | |||||||||
| Total Real Estate | 8,664,145 | ||||||||||
| Real Estate Management & Development – 0.2% | |||||||||||
| 98,560 | Brookfield Properties Corporation | 1,740,635 | |||||||||
| 176,507 | Hysan Development Company | 833,394 | |||||||||
| Total Real Estate Management & Development | 2,574,029 | ||||||||||
| Road & Rail – 0.2% | |||||||||||
| 5,490 | Genesee & Wyoming Inc. | 290,696 | |||||||||
| 10,580 | Hertz Global Holdings Inc., (2) | 153,304 | |||||||||
| 17,650 | Kansas City Southern Industries, (2) | 844,729 | |||||||||
| 5,880 | Norfolk Southern Corporation | 369,382 | |||||||||
| 4,980 | Union Pacific Corporation | 461,447 | |||||||||
| 255 | West Japan Railway Company, DD1 | 953,227 | |||||||||
| Total Road & Rail | 3,072,785 | ||||||||||
| Semiconductors & Equipment – 0.6% | |||||||||||
| 68,820 | ASM Lithography Holding NV | 2,657,764 | |||||||||
| 14,070 | Broadcom Corporation, Class A | 612,749 | |||||||||
| 34,120 | Cypress Semiconductor Corporation, (2) | 633,950 | |||||||||
| 51,545 | Intel Corporation | 1,083,991 | |||||||||
| 34,270 | KLA-Tencor Corporation | 1,324,193 | |||||||||
| 39,270 | Marvell Technology Group Ltd, (2) | 728,459 | |||||||||
| 17,580 | Micron Technology, Inc., (2) | 140,992 | |||||||||
| 17,400 | Novellus Systems, Inc., (2) | 562,368 | |||||||||
| 16,165 | ON Semiconductor Corporation, (2) | 159,710 | |||||||||
| 22,240 | Silicon Image, Inc., (2) | 163,464 | |||||||||
| Total Semiconductors & Equipment | 8,067,640 | ||||||||||
| Software – 0.5% | |||||||||||
| 2,470 | Advent Software Inc., (2) | 143,062 | |||||||||
| 7,645 | Ansys Inc., (2) | 398,075 | |||||||||
Nuveen Investments
57
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Value | |||||||||
| Software (continued) | |||||||||||
| 6,635 | CommVault Systems, Inc., (2) | $ | 189,894 | ||||||||
| 4,160 | Manhattan Associates Inc., (2) | 127,046 | |||||||||
| 123,391 | Microsoft Corporation, (3) | 3,445,077 | |||||||||
| 31,660 | Oracle Corporation | 990,958 | |||||||||
| 15,280 | Rovi Corporation, (2) | 947,513 | |||||||||
| 5,470 | Salesforce.com, Inc., (2) | 722,040 | |||||||||
| 5,110 | VirnetX Holding Corporation | 75,884 | |||||||||
| Total Software | 7,039,549 | ||||||||||
| Specialty Retail – 0.3% | |||||||||||
| 9,840 | Advance Auto Parts, Inc. | 650,916 | |||||||||
| 2,557 | Best Buy Co., Inc. | 87,680 | |||||||||
| 1,790 | Guess Inc. | 84,703 | |||||||||
| 11,300 | Home Depot, Inc. | 396,178 | |||||||||
| 20,080 | Industria de Diseno Textil SA, Inditex | 1,503,448 | |||||||||
| 4,770 | PetSmart Inc. | 189,941 | |||||||||
| 47,180 | Williams-Sonoma Inc. | 1,683,854 | |||||||||
| Total Specialty Retail | 4,596,720 | ||||||||||
| Textiles, Apparel & Luxury Goods – 0.6% | |||||||||||
| 103,790 | Burberry Group PLC | 1,818,845 | |||||||||
| 3,320 | Deckers Outdoor Corporation, (2) | 264,737 | |||||||||
| 6,800 | Fossil Inc., (2) | 479,264 | |||||||||
| 19,430 | Liz Claiborne, Inc. | 139,119 | |||||||||
| 14,220 | LVMH Moet Hennessy | 2,339,169 | |||||||||
| 669,880 | Yue Yuen Industrial Holdings Limited | 2,404,494 | |||||||||
| Total Textiles, Apparel & Luxury Goods | 7,445,628 | ||||||||||
| Thrifts & Mortgage Finance – 0.0% | |||||||||||
| 20,210 | New York Community Bancorp Inc. | 380,959 | |||||||||
| 16,470 | People's United Financial, Inc. | 230,745 | |||||||||
| Total Thrifts & Mortgage Finance | 611,704 | ||||||||||
| Tobacco – 0.4% | |||||||||||
| 36,430 | Altria Group, Inc. | 896,907 | |||||||||
| 49,760 | British American Tobacco PLC | 1,911,201 | |||||||||
| 1,690 | Lorillard Inc. | 138,680 | |||||||||
| 21,809 | Philip Morris International | 1,276,480 | |||||||||
| 21,960 | Reynolds American Inc. | 716,334 | |||||||||
| Total Tobacco | 4,939,602 | ||||||||||
| Trading Companies & Distributors – 0.4% | |||||||||||
| 4,500 | Applied Industrial Technologies Inc. | 146,159 | |||||||||
| 283,792 | Mitsui & Company Limited | 4,687,338 | |||||||||
| Total Trading Companies & Distributors | 4,833,497 | ||||||||||
| Wireless Telecommunication Services – 0.4% | |||||||||||
| 14,343 | Millicom International Cellular S.A. | 1,377,647 | |||||||||
| 28,509 | Millicom International Cellular S.A. | 2,725,459 | |||||||||
| 6,298 | Turkcell Iletisim Hizmetleri A.S., ADR | 107,884 | |||||||||
| 676,090 | Vodafone Group PLC | 1,747,683 | |||||||||
| Total Wireless Telecommunication Services | 5,958,673 | ||||||||||
| Total Common Stocks (cost $423,016,040) | 496,468,999 | ||||||||||
Nuveen Investments
58
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| Convertible Preferred Securities – 2.0% (1.6% of Total Investments) | |||||||||||||||||||||||
| Automobiles – 0.2% | |||||||||||||||||||||||
| 57,050 | Ford Motor Company Capital Trust II, Convertible | 6.500 | % | B1 | $ | 2,958,613 | |||||||||||||||||
| Capital Markets – 0.1% | |||||||||||||||||||||||
| 10,100 | Affiliated Managers Group Inc., Convertible Bond | 5.100 | % | BB | 506,894 | ||||||||||||||||||
| 8,150 | AMG Capital Trust II, Convertible Bond | 5.150 | % | BB | 328,547 | ||||||||||||||||||
| Total Capital Markets | 835,441 | ||||||||||||||||||||||
| Commercial Banks – 0.9% | |||||||||||||||||||||||
| 7,300,000 | Credit Suisse AG | 7.875 | % | BBB+ | 7,464,250 | ||||||||||||||||||
| 7,200 | Fifth Third Bancorp, Convertible Bond | 8.500 | % | Ba1 | 1,069,848 | ||||||||||||||||||
| 3,900 | Wells Fargo & Company, Convertible Bond | 7.500 | % | A- | 3,902,145 | ||||||||||||||||||
| Total Commercial Banks | 12,436,243 | ||||||||||||||||||||||
| Communications Equipment – 0.3% | |||||||||||||||||||||||
| 4,525 | Lucent Technologies Capital Trust I | 7.750 | % | B3 | 4,009,150 | ||||||||||||||||||
| Diversified Financial Services – 0.2% | |||||||||||||||||||||||
| 3,600 | Bank of America Corporation | 7.250 | % | BB+ | 3,445,092 | ||||||||||||||||||
| Food Products – 0.1% | |||||||||||||||||||||||
| 7,450 | Bunge Limited, Convertible Bonds | 4.875 | % | Ba1 | 693,781 | ||||||||||||||||||
| Health Care Providers & Services – 0.0% | |||||||||||||||||||||||
| 11,650 | Omnicare Capital Trust II, Series B | 4.000 | % | B | 450,855 | ||||||||||||||||||
| Independent Power Producers & Energy Traders – 0.0% | |||||||||||||||||||||||
| 11,550 | AES Trust III, Convertible Preferred | 6.750 | % | B | 565,950 | ||||||||||||||||||
| Insurance – 0.1% | |||||||||||||||||||||||
| 7,200 | Aspen Insurance Holdings Limited | 5.625 | % | BBB- | 395,496 | ||||||||||||||||||
| 5,600 | Reinsurance Group of America Inc. | 5.750 | % | BBB | 392,952 | ||||||||||||||||||
| Total Insurance | 788,448 | ||||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.1% | |||||||||||||||||||||||
| 600 | El Paso Corporation,144A | 4.990 | % | B | 705,900 | ||||||||||||||||||
| 350 | El Paso Corporation | 4.990 | % | B | 411,775 | ||||||||||||||||||
| Total Oil, Gas, & Consumable Fuels | 1,117,675 | ||||||||||||||||||||||
| Real Estate – 0.0% | |||||||||||||||||||||||
| 13,928 | Commonwealth REIT, Convertible Debt | 6.500 | % | Baa3 | 304,048 | ||||||||||||||||||
| Road & Rail – 0.0% | |||||||||||||||||||||||
| 300 | Kansas City Southern Industries Inc. | 5.125 | % | B- | 480,075 | ||||||||||||||||||
| Total Convertible Preferred Securities (cost $26,044,100) | 28,085,371 | ||||||||||||||||||||||
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| $25 Par (or similar) Preferred Securities – 33.0% (25.5% of Total Investments) | |||||||||||||||||||||||
| Capital Markets – 3.8% | |||||||||||||||||||||||
| 58,500 | Ameriprise Financial, Inc. | 7.750 | % | A | $ | 1,559,025 | |||||||||||||||||
| 135,838 | BNY Capital Trust V, Series F | 5.950 | % | A1 | 3,390,516 | ||||||||||||||||||
| 683,077 | Credit Suisse | 7.900 | % | A3 | 18,292,802 | ||||||||||||||||||
| 1,176,457 | Deutsche Bank Capital Funding Trust II | 6.550 | % | BBB | 27,234,980 | ||||||||||||||||||
| 6,300 | Deutsche Bank Capital Funding Trust IX | 6.625 | % | BBB | 145,026 | ||||||||||||||||||
| 68,200 | Deutsche Bank Contingent Capital Trust III | 7.600 | % | BBB | 1,734,326 | ||||||||||||||||||
| 15,300 | Goldman Sachs Group Inc., Series 2004-4 (CORTS) | 6.000 | % | A3 | 341,955 | ||||||||||||||||||
Nuveen Investments
59
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| Capital Markets (continued) | |||||||||||||||||||||||
| 18,600 | Goldman Sachs Group Inc., Series GSC-3 (PPLUS) | 6.000 | % | A3 | $ | 416,268 | |||||||||||||||||
| 15,900 | Morgan Stanley Capital Trust V | 5.750 | % | Baa2 | 347,733 | ||||||||||||||||||
| 2,500 | Morgan Stanley Capital Trust VII | 6.600 | % | Baa2 | 59,375 | ||||||||||||||||||
| Total Capital Markets | 53,522,006 | ||||||||||||||||||||||
| Commercial Banks – 4.3% | |||||||||||||||||||||||
| 682,653 | Banco Santander Finance | 10.500 | % | A- | 19,018,713 | ||||||||||||||||||
| 28,400 | Barclays Bank PLC | 7.750 | % | A- | 721,928 | ||||||||||||||||||
| 1,300 | Barclays Bank PLC | 7.100 | % | A+ | 32,409 | ||||||||||||||||||
| 170,400 | BB&T Capital Trust VI | 9.600 | % | Baa1 | 4,924,560 | ||||||||||||||||||
| 38,400 | BB&T Capital Trust VII | 8.100 | % | Baa1 | 1,055,616 | ||||||||||||||||||
| 146,500 | Cobank Agricultural Credit Bank, 144A | 7.000 | % | N/R | 6,610,813 | ||||||||||||||||||
| 48,000 | Cobank Agricultural Credit Bank | 11.000 | % | A | 2,575,502 | ||||||||||||||||||
| 2,800 | Fifth Third Capital Trust V | 7.250 | % | Baa3 | 69,664 | ||||||||||||||||||
| 1,000,000 | HSBC Bank PLC | 1.000 | % | A | 612,500 | ||||||||||||||||||
| 45,812 | HSBC Finance Corporation | 6.875 | % | A | 1,162,709 | ||||||||||||||||||
| 367,100 | HSBC Holdings PLC | 8.000 | % | A- | 9,783,215 | ||||||||||||||||||
| 1,400 | HSBC Holdings PLC | 6.200 | % | A- | 32,060 | ||||||||||||||||||
| 15,100 | HSBC USA Inc., Series F | 2.858 | % | A- | 723,290 | ||||||||||||||||||
| 150,200 | Merrill Lynch Preferred Capital Trust V | 7.280 | % | Baa3 | 3,679,900 | ||||||||||||||||||
| 355,241 | National City Capital Trust II | 6.625 | % | BBB | 8,873,920 | ||||||||||||||||||
| 9,700 | Wells Fargo Capital Trust VII | 5.850 | % | A- | 242,500 | ||||||||||||||||||
| Total Commercial Banks | 60,119,299 | ||||||||||||||||||||||
| Diversified Financial Services – 2.2% | |||||||||||||||||||||||
| 72,000 | Citigroup Capital Trust XII | 8.500 | % | BB+ | 1,905,120 | ||||||||||||||||||
| 178,500 | Citigroup Capital XIII | 7.875 | % | BB+ | 4,803,435 | ||||||||||||||||||
| 2,000 | Countrywide Capital Trust III | 7.000 | % | Baa3 | 49,200 | ||||||||||||||||||
| 63,600 | Countrywide Capital Trust IV | 6.750 | % | Baa3 | 1,507,320 | ||||||||||||||||||
| 188,023 | ING Groep N.V. | 7.200 | % | Ba1 | 4,356,493 | ||||||||||||||||||
| 755,475 | ING Groep N.V. | 7.050 | % | Ba1 | 17,262,604 | ||||||||||||||||||
| 6,600 | JPMorgan Chase Capital Trust XXIX | 6.700 | % | A2 | 168,564 | ||||||||||||||||||
| Total Diversified Financial Services | 30,052,736 | ||||||||||||||||||||||
| Diversified Telecommunication Services – 0.3% | |||||||||||||||||||||||
| 71,663 | AT&T Inc. | 6.375 | % | A2 | 1,906,952 | ||||||||||||||||||
| 18,024 | BellSouth Capital Funding (CORTS) | 7.120 | % | A | 460,176 | ||||||||||||||||||
| 52,000 | Telephone and Data Systems Inc. | 6.875 | % | Baa2 | 1,292,200 | ||||||||||||||||||
| Total Diversified Telecommunication Services | 3,659,328 | ||||||||||||||||||||||
| Electric Utilities – 0.5% | |||||||||||||||||||||||
| 259,300 | Entergy Texas Inc. | 7.875 | % | BBB+ | 7,148,901 | ||||||||||||||||||
| Food Products – 0.2% | |||||||||||||||||||||||
| 33,100 | Dairy Farmers of America Inc, 144A | 7.875 | % | BBB- | 2,954,175 | ||||||||||||||||||
| Insurance – 7.0% | |||||||||||||||||||||||
| 1,122,600 | Aegon N.V. | 6.375 | % | BBB | 24,293,064 | ||||||||||||||||||
| 25,000 | Allianz SE | 8.375 | % | A+ | 658,595 | ||||||||||||||||||
| 192,234 | Arch Capital Group Limited, Series B | 7.875 | % | BBB | 4,915,423 | ||||||||||||||||||
| 364,918 | Arch Capital Group Limited | 8.000 | % | BBB | 9,305,409 | ||||||||||||||||||
| 2,905 | Axis Capital Holdings Limited | 7.250 | % | BBB | 72,770 | ||||||||||||||||||
| 29,400 | Delphi Financial Group, Inc. | 7.376 | % | BB+ | 687,960 | ||||||||||||||||||
| 209,582 | EverestRe Capital Trust II | 6.200 | % | Baa1 | 4,665,295 | ||||||||||||||||||
| 83,482 | Markel Corporation | 7.500 | % | BBB | 2,112,095 | ||||||||||||||||||
| 849,084 | PartnerRe Limited, Series C | 6.750 | % | BBB+ | 20,887,466 | ||||||||||||||||||
| 144,415 | PLC Capital Trust III | 7.500 | % | BBB | 3,633,481 | ||||||||||||||||||
| 14,000 | PLC Capital Trust IV | 7.250 | % | BBB | 348,600 | ||||||||||||||||||
| 22,317 | Protective Life Corporation | 7.250 | % | BBB | 556,363 | ||||||||||||||||||
Nuveen Investments
60
| Shares | Description (1) | Coupon | Ratings (4) | Value | |||||||||||||||||||
| Insurance (continued) | |||||||||||||||||||||||
| 136,730 | Prudential Financial Inc. | 9.000 | % | BBB+ | $ | 3,758,708 | |||||||||||||||||
| 24,682 | Prudential Financial Inc. | 6.750 | % | A- | 619,025 | ||||||||||||||||||
| 1,000,000 | Reinsurance Group of America Inc. | 6.750 | % | BBB- | 926,826 | ||||||||||||||||||
| 35,900 | RenaissanceRe Holdings Limited, Series C | 6.080 | % | BBB+ | 816,366 | ||||||||||||||||||
| 165,400 | RenaissanceRe Holdings Limited, Series D | 6.600 | % | BBB+ | 4,073,802 | ||||||||||||||||||
| 589,279 | W. R. Berkley Corporation, Capital Trust II | 6.750 | % | BBB- | 14,726,082 | ||||||||||||||||||
| Total Insurance | 97,057,330 | ||||||||||||||||||||||
| Media – 4.2% | |||||||||||||||||||||||
| 599,221 | CBS Corporation | 6.750 | % | BBB- | 15,142,315 | ||||||||||||||||||
| 1,012,662 | Comcast Corporation | 7.000 | % | BBB+ | 25,620,349 | ||||||||||||||||||
| 30,000 | Comcast Corporation | 6.625 | % | BBB+ | 763,500 | ||||||||||||||||||
| 647,540 | Viacom Inc. | 6.850 | % | BBB+ | 16,434,565 | ||||||||||||||||||
| Total Media | 57,960,729 | ||||||||||||||||||||||
| Multi-Utilities – 0.7% | |||||||||||||||||||||||
| 125,800 | Dominion Resources Inc. | 8.375 | % | BBB | 3,565,172 | ||||||||||||||||||
| 227,600 | Xcel Energy Inc. | 7.600 | % | BBB | 6,243,068 | ||||||||||||||||||
| Total Multi-Utilities | 9,808,240 | ||||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 1.1% | |||||||||||||||||||||||
| 612,600 | Nexen Inc. | 7.350 | % | BB+ | 15,443,646 | ||||||||||||||||||
| Pharmaceuticals – 0.1% | |||||||||||||||||||||||
| 39,800 | Bristol Myers Squibb Company (CORTS) | 6.250 | % | A+ | 1,002,960 | ||||||||||||||||||
| Real Estate – 8.4% | |||||||||||||||||||||||
| 59,800 | Commomwealth REIT | 7.500 | % | BBB | 1,264,770 | ||||||||||||||||||
| 532,400 | Commomwealth REIT | 7.125 | % | Baa3 | 12,846,812 | ||||||||||||||||||
| 199,813 | Developers Diversified Realty Corporation, Series H | 7.375 | % | Ba1 | 4,725,577 | ||||||||||||||||||
| 6,800 | Duke Realty Corporation, Series K | 6.500 | % | Baa3 | 150,552 | ||||||||||||||||||
| 72,830 | Duke Realty Corporation, Series L | 6.600 | % | Baa3 | 1,636,490 | ||||||||||||||||||
| 22,700 | Duke Realty Corporation, Series N | 7.250 | % | Baa3 | 557,285 | ||||||||||||||||||
| 121,700 | Duke-Weeks Realty Corporation | 6.625 | % | Baa3 | 2,726,080 | ||||||||||||||||||
| 143,005 | Equity Residential Properties Trust, Series N | 6.480 | % | BBB- | 3,467,871 | ||||||||||||||||||
| 632,116 | Kimco Realty Corporation, Series G | 7.750 | % | Baa2 | 16,687,862 | ||||||||||||||||||
| 23,000 | Kimco Realty Corporation, Series H | 6.900 | % | Baa2 | 554,300 | ||||||||||||||||||
| 3,997 | Prologis Trust, Series C | 8.540 | % | Baa3 | 222,083 | ||||||||||||||||||
| 51,275 | Prologis Trust, Series G | 6.750 | % | Baa3 | 1,176,249 | ||||||||||||||||||
| 20,000 | PS Business Parks, Inc. | 0.000 | % | BBB- | 487,600 | ||||||||||||||||||
| 5,000 | Public Storage, Inc. | 6.875 | % | BBB+ | 129,000 | ||||||||||||||||||
| 235,263 | Public Storage, Inc. | 6.750 | % | BBB+ | 5,945,096 | ||||||||||||||||||
| 27,632 | Public Storage, Inc., Series C | 6.600 | % | BBB+ | 678,089 | ||||||||||||||||||
| 149,500 | Public Storage, Inc., Series E | 6.750 | % | BBB+ | 3,722,550 | ||||||||||||||||||
| 69,911 | Public Storage, Inc., Series H | 6.950 | % | BBB+ | 1,758,961 | ||||||||||||||||||
| 5,700 | Public Storage, Inc., Series K | 7.250 | % | BBB+ | 144,951 | ||||||||||||||||||
| 1,321 | Public Storage, Inc., Series M | 6.625 | % | BBB+ | 32,972 | ||||||||||||||||||
| 28,103 | Realty Income Corporation | 6.750 | % | Baa2 | 689,086 | ||||||||||||||||||
| 135,186 | Regency Centers Corporation | 7.450 | % | Baa3 | 3,425,613 | ||||||||||||||||||
| 626,351 | Vornado Realty LP | 7.875 | % | BBB | 16,704,781 | ||||||||||||||||||
| 1,227,443 | Wachovia Preferred Funding Corporation | 7.250 | % | A- | 31,410,266 | ||||||||||||||||||
| 5,559 | Weingarten Realty Trust | 8.100 | % | BBB | 127,023 | ||||||||||||||||||
| 117,000 | Weingarten Realty Trust | 6.950 | % | Baa3 | 2,851,290 | ||||||||||||||||||
| 102,725 | Weingarten Realty Trust | 6.500 | % | Baa3 | 2,393,493 | ||||||||||||||||||
| Total Real Estate | 116,516,702 | ||||||||||||||||||||||
| Wireless Telecommunication Services – 0.2% | |||||||||||||||||||||||
| 89,609 | Telephone and Data Systems Inc. | 7.600 | % | Baa2 | 2,259,044 | ||||||||||||||||||
| Total $25 Par (or similar) Preferred Securities (cost $453,784,028) | 457,505,096 | ||||||||||||||||||||||
Nuveen Investments
61
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Weighted Average Coupon | Maturity (5) | Ratings (4) | Value | ||||||||||||||||||
| Variable Rate Senior Loan Interests – 5.8% (4.6% of Total Investments) (6) | |||||||||||||||||||||||
| Aerospace & Defense – 0.1% | |||||||||||||||||||||||
| $ | 574 | DAE Aviation Holdings, Inc., Term Loan B1 | 4.040 | % | 7/31/14 | B | $ | 568,724 | |||||||||||||||
| 555 | DAE Aviation Holdings, Inc., Term Loan B2 | 4.040 | % | 7/31/14 | B | 549,290 | |||||||||||||||||
| 1,129 | Total Aerospace & Defense | 1,118,014 | |||||||||||||||||||||
| Airlines – 0.1% | |||||||||||||||||||||||
| 1,930 | Delta Air Lines, Inc., Term Loan | 3.539 | % | 4/30/14 | B | 1,874,211 | |||||||||||||||||
| Automobiles – 0.1% | |||||||||||||||||||||||
| 1,373 | Ford Motor Company, Term Loan | 3.026 | % | 12/15/13 | Baa3 | 1,369,505 | |||||||||||||||||
| Biotechnology – 0.1% | |||||||||||||||||||||||
| 900 | Grifols, Term Loan, WI/DD | TBD | TBD | BB | 911,625 | ||||||||||||||||||
| Communications Equipment – 0.3% | |||||||||||||||||||||||
| 2,954 | Avaya, Inc., Term Loan | 3.034 | % | 10/24/14 | B1 | 2,799,345 | |||||||||||||||||
| 867 | Intelsat, Term Loan, WI/DD | TBD | TBD | B1 | 876,259 | ||||||||||||||||||
| 3,821 | Total Communications Equipment | 3,675,604 | |||||||||||||||||||||
| Containers & Packaging – 0.1% | |||||||||||||||||||||||
| 150 | Reynolds Group Holdings, Inc., Term Loan A | 6.250 | % | 8/06/15 | Ba3 | 150,581 | |||||||||||||||||
| 900 | Reynolds Group Holdings, Inc., Term Loan D | 6.500 | % | 5/05/16 | Ba3 | 909,997 | |||||||||||||||||
| 1,050 | Total Containers & Packaging | 1,060,578 | |||||||||||||||||||||
| Diversified Consumer Services – 0.1% | |||||||||||||||||||||||
| 948 | Cengage Learning Acquisitions, Inc., Term Loan | 2.550 | % | 7/03/14 | B+ | 894,040 | |||||||||||||||||
| Diversified Financial Services – 0.1% | |||||||||||||||||||||||
| 1,036 | Pinafore LLC, Term Loan | 6.250 | % | 9/29/16 | BB | 1,051,769 | |||||||||||||||||
| Electric Utilities – 0.3% | |||||||||||||||||||||||
| 228 | Calpine Corporation, DIP Term Loan | 3.145 | % | 3/29/14 | B+ | 227,797 | |||||||||||||||||
| 1,935 | TXU Corporation, Term Loan B2 | 3.764 | % | 10/10/14 | B2 | 1,498,855 | |||||||||||||||||
| 2,501 | TXU Corporation, Term Loan B3 | 3.764 | % | 10/10/14 | B2 | 1,934,316 | |||||||||||||||||
| 4,664 | Total Electric Utilities | 3,660,968 | |||||||||||||||||||||
| Electrical Equipment – 0.1% | |||||||||||||||||||||||
| 1,615 | Allison Transmission Holdings, Inc., Term Loan | 3.027 | % | 8/07/14 | B | 1,581,321 | |||||||||||||||||
| Food Products – 0.1% | |||||||||||||||||||||||
| 180 | Darling International, Inc., Term Loan | 5.000 | % | 12/17/16 | BB+ | 181,800 | |||||||||||||||||
| 900 | NBTY, Inc., Term Loan | 6.250 | % | 10/01/17 | BB- | 913,872 | |||||||||||||||||
| 998 | Pierre Foods, Inc., Term Loan | 7.001 | % | 9/30/16 | B+ | 994,590 | |||||||||||||||||
| 2,078 | Total Food Products | 2,090,262 | |||||||||||||||||||||
| Health Care Providers & Services – 0.4% | |||||||||||||||||||||||
| 84 | Community Health Systems, Inc., Delayed Term Loan | 2.544 | % | 7/25/14 | BB | 82,137 | |||||||||||||||||
| 842 | Community Health Systems, Inc., Extended Term Loan | 3.794 | % | 1/25/17 | BB | 840,828 | |||||||||||||||||
| 1,678 | Community Health Systems, Inc., Term Loan | 2.544 | % | 7/25/14 | BB | 1,638,799 | |||||||||||||||||
| 271 | IASIS Healthcare LLC, Delayed Term Loan | 2.261 | % | 3/14/14 | Ba2 | 265,845 | |||||||||||||||||
| 74 | IASIS Healthcare LLC, Letter of Credit | 2.261 | % | 3/14/14 | Ba2 | 72,710 | |||||||||||||||||
| 784 | IASIS Healthcare LLC, Term Loan | 2.261 | % | 3/14/14 | Ba2 | 768,063 | |||||||||||||||||
| 1,123 | Select Medical Corporation, Term Loan B2 | 2.284 | % | 2/24/12 | Ba2 | 1,114,631 | |||||||||||||||||
| 585 | Select Medical Corporation, Term Loan | 2.284 | % | 2/24/12 | Ba2 | 578,911 | |||||||||||||||||
| 5,441 | Total Health Care Providers & Services | 5,361,924 | |||||||||||||||||||||
Nuveen Investments
62
| Principal Amount (000) | Description (1) | Weighted Average Coupon | Maturity (5) | Ratings (4) | Value | ||||||||||||||||||
| Hotels, Restaurants & Leisure – 0.6% | |||||||||||||||||||||||
| $ | 1,350 | Burger King Corporation, Term Loan B | 6.250 | % | 10/19/16 | BB- | $ | 1,371,335 | |||||||||||||||
| 2,136 | CCM Merger, Inc., Term Loan B | 8.500 | % | 7/13/12 | BB- | 2,142,670 | |||||||||||||||||
| 991 | Harrah's Operating Company, Inc., Term Loan B2 | 3.288 | % | 1/28/15 | B | 899,071 | |||||||||||||||||
| 939 | Orbitz Worldwide, Inc., Term Loan | 3.277 | % | 7/25/14 | B+ | 879,314 | |||||||||||||||||
| 1,940 | Travelport LLC, Delayed Term Loan | 4.963 | % | 8/21/15 | Ba3 | 1,842,229 | |||||||||||||||||
| 134 | Travelport LLC, Letter of Credit | 4.803 | % | 8/21/15 | Ba3 | 127,398 | |||||||||||||||||
| 669 | Travelport LLC, Term Loan | 4.963 | % | 8/21/15 | Ba2 | 634,924 | |||||||||||||||||
| 379 | Venetian Casino Resort LLC, Delayed Term Loan | 3.030 | % | 11/23/16 | B1 | 365,209 | |||||||||||||||||
| 1,112 | Venetian Casino Resort LLC, Tranche B, Term Loan | 3.030 | % | 11/23/16 | B1 | 1,072,543 | |||||||||||||||||
| 9,650 | Total Hotels, Restaurants & Leisure | 9,334,693 | |||||||||||||||||||||
| IT Services – 0.5% | |||||||||||||||||||||||
| 2,029 | First Data Corporation, Term Loan B1 | 3.011 | % | 9/24/14 | B+ | 1,874,821 | |||||||||||||||||
| 483 | Infor Global Solutions Intermediate Holdings, Ltd., Delayed Term Loan | 4.020 | % | 7/28/12 | B+ | 462,559 | |||||||||||||||||
| 1,186 | Infor Global Solutions Intermediate Holdings, Ltd., Extended Delayed Draw Term Loan | 6.020 | % | 7/28/15 | B+ | 1,134,244 | |||||||||||||||||
| 476 | Infor Global Solutions Intermediate Holdings, Ltd., Term Loan, First Lien | 4.020 | % | 7/28/12 | B+ | 456,134 | |||||||||||||||||
| 2,273 | Infor Global Solutions Intermediate Holdings, Ltd., Term Loan | 6.020 | % | 7/28/15 | B+ | 2,177,421 | |||||||||||||||||
| 1,153 | SunGard Data Systems, Inc., Term Loan B | 2.013 | % | 2/28/14 | BB | 1,126,168 | |||||||||||||||||
| 7,600 | Total IT Services | 7,231,347 | |||||||||||||||||||||
| Leisure Equipment & Products – 0.1% | |||||||||||||||||||||||
| 726 | Cedar Fair LP, Term Loan | 5.500 | % | 12/15/16 | Ba2 | 734,700 | |||||||||||||||||
| 570 | Herbst Gaming, Inc., Delayed Term Loan | 0.000 | % | 12/02/11 | N/R | 346,784 | |||||||||||||||||
| 656 | Herbst Gaming, Inc., Term Loan | 0.000 | % | 12/02/11 | N/R | 399,120 | |||||||||||||||||
| 1,952 | Total Leisure Equipment & Products | 1,480,604 | |||||||||||||||||||||
| Media – 1.1% | |||||||||||||||||||||||
| 742 | Cequel Communications LLC, Term Loan B | 2.270 | % | 11/05/13 | BB- | 736,374 | |||||||||||||||||
| 3,199 | Charter Communications Operating Holdings LLC, Term Loan C | 3.560 | % | 9/06/16 | BB+ | 3,163,914 | |||||||||||||||||
| 789 | Citadel Broadcasting Corporation, Term Loan, (7) | 4.250 | % | 12/30/16 | Baa3 | 793,240 | |||||||||||||||||
| 1,113 | Gray Television, Inc., Term Loan B | 3.789 | % | 12/31/14 | B | 1,089,868 | |||||||||||||||||
| 50 | Nielsen Finance LLC, Term Loan A | 2.264 | % | 8/09/13 | BB- | 49,495 | |||||||||||||||||
| 1,854 | Nielsen Finance LLC, Term Loan B | 4.014 | % | 5/02/16 | BB- | 1,848,007 | |||||||||||||||||
| 821 | Nielsen Finance LLC, Term Loan C | 4.014 | % | 5/02/16 | BB- | 814,821 | |||||||||||||||||
| 352 | SuperMedia, Term Loan | 0.000 | % | 12/31/15 | B- | 242,504 | |||||||||||||||||
| 1,425 | Tribune Company, Term Loan B, (8), (9) | 0.000 | % | 6/04/14 | Ca | 990,884 | |||||||||||||||||
| 5,525 | Univision Communications, Inc., Term Loan | 4.511 | % | 3/31/17 | B | 5,262,805 | |||||||||||||||||
| 15,870 | Total Media | 14,991,912 | |||||||||||||||||||||
| Metals & Mining – 0.2% | |||||||||||||||||||||||
| 1,941 | John Maneely Company, Term Loan | 3.539 | % | 12/09/13 | B | 1,909,010 | |||||||||||||||||
| 1,000 | Novelis, Inc., Term Loan | 5.250 | % | 12/15/16 | Ba2 | 1,014,375 | |||||||||||||||||
| 2,941 | Total Metals & Mining | 2,923,385 | |||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.3% | |||||||||||||||||||||||
| 2,917 | CCS Income Trust, Term Loan | 3.288 | % | 11/14/14 | B | 2,629,211 | |||||||||||||||||
| 1,855 | Venoco, Inc., Term Loan | 4.313 | % | 5/07/14 | BB- | 1,781,205 | |||||||||||||||||
| 4,772 | Total Oil, Gas & Consumable Fuels | 4,410,416 | |||||||||||||||||||||
| Pharmaceuticals – 0.1% | |||||||||||||||||||||||
| 1,000 | Royalty Pharma Finance Trust, Unsecured Term Loan | 7.750 | % | 5/15/15 | Baa3 | 1,040,000 | |||||||||||||||||
| 609 | Warner Chilcott Corporation, Term Loan B3 | 6.500 | % | 2/22/16 | BB | 615,373 | |||||||||||||||||
| 1,609 | Total Pharmaceuticals | 1,655,373 | |||||||||||||||||||||
Nuveen Investments
63
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Weighted Average Coupon | Maturity (5) | Ratings (4) | Value | ||||||||||||||||||
| Real Estate Management & Development – 0.2% | |||||||||||||||||||||||
| $ | 1,633 | LNR Property Corporation, Term Loan B | 3.770 | % | 7/12/11 | B2 | $ | 1,615,445 | |||||||||||||||
| 1,705 | Realogy Corporation, Delayed Term Loan | 3.284 | % | 10/10/13 | B1 | 1,603,549 | |||||||||||||||||
| 3,338 | Total Real Estate Management & Development | 3,218,994 | |||||||||||||||||||||
| Road & Rail – 0.2% | |||||||||||||||||||||||
| 995 | Hertz Corporation, Term Loan | 2.020 | % | 12/21/12 | Ba1 | 989,341 | |||||||||||||||||
| 1,203 | Swift Transportation Company, Inc., Term Loan, WI/DD | TBD | TBD | BB- | 1,206,283 | ||||||||||||||||||
| 2,198 | Total Road & Rail | 2,195,624 | |||||||||||||||||||||
| Software – 0.1% | |||||||||||||||||||||||
| 869 | IPC Systems, Inc., Term Loan | 2.535 | % | 6/02/14 | B1 | 834,634 | |||||||||||||||||
| Specialty Retail – 0.4% | |||||||||||||||||||||||
| 1,731 | Toys "R" Us – Delaware, Inc., Term Loan | 6.000 | % | 9/01/16 | BB- | 1,749,370 | |||||||||||||||||
| 2,313 | Burlington Coat Factory Warehouse Corporation, Term Loan | 2.530 | % | 5/28/13 | B- | 2,283,883 | |||||||||||||||||
| 1,019 | Michaels Stores, Inc., Term Loan B1 | 2.563 | % | 10/31/13 | B+ | 994,529 | |||||||||||||||||
| 1,372 | Michaels Stores, Inc., Term Loan B2 | 4.813 | % | 7/31/16 | B+ | 1,373,848 | |||||||||||||||||
| 6,435 | Total Specialty Retail | 6,401,630 | |||||||||||||||||||||
| Wireless Telecommunication Services – 0.1% | |||||||||||||||||||||||
| 2,000 | Clear Channel Communications, Inc., Tranche B, Term Loan | 3.911 | % | 11/13/15 | CCC+ | 1,719,641 | |||||||||||||||||
| $ | 85,219 | Total Variable Rate Senior Loan Interests (cost $80,177,314) | 81,048,074 | ||||||||||||||||||||
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Convertible Bonds – 9.9% (7.7% of Total Investments) | |||||||||||||||||||||||
| Aerospace & Defense – 0.1% | |||||||||||||||||||||||
| $ | 500 | Alliant Techsystems Inc., Convertible Bonds | 2.750 | % | 9/15/11 | BB- | $ | 511,875 | |||||||||||||||
| 1,270 | L-3 Communications Corporation, Convertible Bond | 3.000 | % | 8/01/35 | BB+ | 1,279,525 | |||||||||||||||||
| 1,770 | Total Aerospace & Defense | 1,791,400 | |||||||||||||||||||||
| Auto Components – 0.1% | |||||||||||||||||||||||
| 500 | BorgWarner Inc. | 3.500 | % | 4/15/12 | BBB | 1,120,625 | |||||||||||||||||
| Beverages – 0.0% | |||||||||||||||||||||||
| 400 | Molson Coors Brewing Company, Convertible Notes | 2.500 | % | 7/30/13 | BBB- | 465,000 | |||||||||||||||||
| Biotechnology – 0.3% | |||||||||||||||||||||||
| 2,975 | Amgen Inc. | 0.375 | % | 2/01/13 | A+ | 2,989,875 | |||||||||||||||||
| 600 | BioMarin Pharmaceutical Inc. | 1.875 | % | 4/23/17 | B- | 864,750 | |||||||||||||||||
| 3,575 | Total Biotechnology | 3,854,625 | |||||||||||||||||||||
| Capital Markets – 0.1% | |||||||||||||||||||||||
| 600 | Affiliated Managers Group Inc. | 3.950 | % | 8/15/38 | BBB- | 667,500 | |||||||||||||||||
| Commercial Banks – 0.2% | |||||||||||||||||||||||
| 2,460 | National City Corporation, Convertible Bond | 4.000 | % | 2/01/11 | A | 2,475,375 | |||||||||||||||||
| 450 | SVB Financial Group, Convertible Bond, 144A | 3.875 | % | 4/15/11 | A3 | 487,125 | |||||||||||||||||
| 2,910 | Total Commercial Banks | 2,962,500 | |||||||||||||||||||||
| Commercial Services & Supplies – 0.0% | |||||||||||||||||||||||
| 450 | Covanta Holding Corporation, Convertible Bonds | 3.250 | % | 6/01/14 | Ba3 | 537,750 | |||||||||||||||||
Nuveen Investments
64
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Communications Equipment – 0.8% | |||||||||||||||||||||||
| $ | 600 | Ciena Corporation, Convertible Bond | 0.250 | % | 5/01/13 | B | $ | 552,000 | |||||||||||||||
| 950 | Ciena Corporation, Convertible Bond | 0.875 | % | 6/15/17 | B | 783,750 | |||||||||||||||||
| 450 | CommScope Inc. | 3.250 | % | 7/01/15 | B | 587,250 | |||||||||||||||||
| 850 | Liberty Media Corporation, Senior Debentures, Exchangeable for Motorola Common Stock | 3.500 | % | 1/15/31 | BB- | 464,313 | |||||||||||||||||
| 8,440 | Lucent Technologies Inc., Series B | 2.875 | % | 6/15/25 | B1 | 8,007,450 | |||||||||||||||||
| 11,290 | Total Communications Equipment | 10,394,763 | |||||||||||||||||||||
| Computers & Peripherals – 0.6% | |||||||||||||||||||||||
| 1,400 | EMC Corporation, Convertible Bonds, 144A | 1.750 | % | 12/01/11 | A- | 2,031,750 | |||||||||||||||||
| 700 | EMC Corporation, Convertible Bonds, 144A | 1.750 | % | 12/01/13 | A- | 1,057,875 | |||||||||||||||||
| 450 | EMC Corporation, Convertible Bonds | 1.750 | % | 12/01/11 | A- | 653,063 | |||||||||||||||||
| 1,200 | EMC Corporation, Convertible Bonds | 1.750 | % | 12/01/13 | A- | 1,813,500 | |||||||||||||||||
| 2,000 | Sandisk Corporation, Convertible Bond | 1.000 | % | 5/15/13 | BB- | 1,935,000 | |||||||||||||||||
| 800 | Sandisk Corporation, Convertible Bond | 1.500 | % | 8/15/17 | BB- | 907,000 | |||||||||||||||||
| 6,550 | Total Computers & Peripherals | 8,398,188 | |||||||||||||||||||||
| Construction & Engineering – 0.0% | |||||||||||||||||||||||
| 250 | Fluor Corporation, Convertible Bonds | 1.500 | % | 2/15/24 | A3 | 596,250 | |||||||||||||||||
| Diversified Consumer Services – 0.0% | |||||||||||||||||||||||
| 400 | Sotheby's Holdings Inc., Convertible Bond | 3.125 | % | 6/15/13 | BB- | 580,500 | |||||||||||||||||
| Diversified Financial Services – 0.1% | |||||||||||||||||||||||
| 800 | NASDAQ Stock Market Inc., Convertible Bond | 2.500 | % | 8/15/13 | BBB | 796,000 | |||||||||||||||||
| 500 | PHH Corporation | 4.000 | % | 4/15/12 | Ba2 | 616,250 | |||||||||||||||||
| 1,300 | Total Diversified Financial Services | 1,412,250 | |||||||||||||||||||||
| Diversified Telecommunication Services – 0.0% | |||||||||||||||||||||||
| 450 | Time Warner Telecom Inc., Convertible Bond | 2.375 | % | 4/01/26 | B- | 497,813 | |||||||||||||||||
| Electrical Equipment – 0.1% | |||||||||||||||||||||||
| 650 | General Cable Corporation, Convertible Bonds | 0.875 | % | 11/15/13 | Ba3 | 645,938 | |||||||||||||||||
| 462 | General Cable Corporation, Convertible Bonds | 4.500 | % | 11/15/29 | B | 551,513 | |||||||||||||||||
| 550 | Roper Industries Inc. | 0.000 | % | 1/15/34 | BB+ | 527,313 | |||||||||||||||||
| 1,662 | Total Electrical Equipment | 1,724,764 | |||||||||||||||||||||
| Electronic Equipment & Instruments – 0.1% | |||||||||||||||||||||||
| 600 | Anixter International Inc., Convertible Bond | 0.000 | % | 7/07/33 | B+ | 576,750 | |||||||||||||||||
| 500 | Itron Inc. | 2.500 | % | 8/01/26 | B | 528,750 | |||||||||||||||||
| 600 | Tech Data Corporation, Convertible Bonds | 2.750 | % | 12/15/26 | BBB- | 627,750 | |||||||||||||||||
| 1,700 | Total Electronic Equipment & Instruments | 1,733,250 | |||||||||||||||||||||
| Energy Equipment & Services – 0.9% | |||||||||||||||||||||||
| 1,950 | Bristow Group Convertible Bond | 3.000 | % | 6/15/38 | BB | 1,964,625 | |||||||||||||||||
| 764 | Cameron International Corporation, Convertible Bonds | 2.500 | % | 6/15/26 | BBB+ | 1,113,530 | |||||||||||||||||
| 450 | Exterran Holdings Inc., Convertible Bond | 4.250 | % | 6/15/14 | B+ | 561,375 | |||||||||||||||||
| 500 | Hornbeck Offshore Services Inc., Convertible Bonds | 1.625 | % | 11/15/26 | B+ | 458,125 | |||||||||||||||||
| 1,200 | Nabors Industries Inc., 144A | 0.940 | % | 5/15/11 | BBB | 1,198,500 | |||||||||||||||||
| 1,300 | Nabors Industries Inc. | 0.940 | % | 5/15/11 | BBB | 1,298,375 | |||||||||||||||||
| 650 | SESI LLC, Convertible Bond, 144A | 1.500 | % | 12/15/26 | BB+ | 665,438 | |||||||||||||||||
| 5,475 | Transocean Inc. | 1.500 | % | 12/15/37 | BBB | 5,373,438 | |||||||||||||||||
| 12,289 | Total Energy Equipment & Services | 12,633,406 | |||||||||||||||||||||
Nuveen Investments
65
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Food Products – 0.2% | |||||||||||||||||||||||
| $ | 400 | Archer Daniels Midland Company, Convertible Bonds, 144A | 0.875 | % | 2/15/14 | A | $ | 410,500 | |||||||||||||||
| 1,000 | Archer Daniels Midland Company, Convertible Bonds | 0.875 | % | 2/15/14 | A | 1,026,250 | |||||||||||||||||
| 450 | Chiquita Brands International Inc., Convertible Bond | 4.250 | % | 8/15/16 | B | 438,188 | |||||||||||||||||
| 550 | Smithfield Foods Inc., Convertible Bond | 4.000 | % | 6/30/13 | B- | 644,188 | |||||||||||||||||
| 300 | Tyson Foods inc., Convertible Bond | 3.250 | % | 10/15/13 | BB+ | 369,375 | |||||||||||||||||
| 2,700 | Total Food Products | 2,888,501 | |||||||||||||||||||||
| Health Care Equipment & Supplies – 0.7% | |||||||||||||||||||||||
| 300 | Alere Inc., Convertible Bond | 3.000 | % | 5/15/16 | B- | 319,125 | |||||||||||||||||
| 300 | American Medical Systems Holdings, Convertible Bond | 4.000 | % | 9/15/41 | BB- | 367,500 | |||||||||||||||||
| 200 | Beckman Coulter Inc., Convertible Bonds, 144A | 2.500 | % | 12/15/36 | BBB | 229,250 | |||||||||||||||||
| 700 | Beckman Coulter Inc., Convertible Bonds | 2.500 | % | 12/15/36 | BBB | 802,375 | |||||||||||||||||
| 350 | Fisher Scientific International Inc. | 3.250 | % | 3/01/24 | BBB+ | 490,438 | |||||||||||||||||
| 1,450 | Hologic Inc. Convertible Bond | 2.000 | % | 12/15/37 | BB+ | 1,522,500 | |||||||||||||||||
| 850 | Kinetic Concepts Inc., Convertible Bond, 144A | 3.250 | % | 4/15/15 | BB- | 897,813 | |||||||||||||||||
| 1,700 | Medtronic, Inc. | 1.500 | % | 4/15/11 | AA- | 1,708,500 | |||||||||||||||||
| 2,750 | Medtronic, Inc. | 1.625 | % | 4/15/13 | AA- | 2,780,938 | |||||||||||||||||
| 8,600 | Total Health Care Equipment & Supplies | 9,118,439 | |||||||||||||||||||||
| Health Care Providers & Services – 0.3% | |||||||||||||||||||||||
| 550 | AmeriGroup Corporation, Convertible Bond | 2.000 | % | 5/15/12 | BB | 642,125 | |||||||||||||||||
| 450 | LifePoint Hospitals, Inc., Convertible Bond | 3.250 | % | 8/15/25 | B | 451,688 | |||||||||||||||||
| 875 | LifePoint Hospitals, Inc., Convertible Bonds | 3.500 | % | 5/15/14 | B | 887,031 | |||||||||||||||||
| 1,421 | Omnicare, Inc. | 3.250 | % | 12/15/35 | B+ | 1,310,873 | |||||||||||||||||
| 400 | PSS World Medical Inc. Convertible Note, 144A | 3.125 | % | 8/01/14 | BB | 494,000 | |||||||||||||||||
| 3,696 | Total Health Care Providers & Services | 3,785,717 | |||||||||||||||||||||
| Hotels, Restaurants & Leisure – 0.2% | |||||||||||||||||||||||
| 300 | Host Hotels and Resorts Inc., Convertible Bond, 144A | 2.500 | % | 10/15/29 | BB+ | 424,125 | |||||||||||||||||
| 1,150 | International Game Technology | 3.250 | % | 5/01/14 | BBB | 1,332,563 | |||||||||||||||||
| 400 | Wyndham Worldwide Corporation, Convertible Bond | 3.500 | % | 5/01/12 | BBB- | 966,000 | |||||||||||||||||
| 1,850 | Total Hotels, Restaurants & Leisure | 2,722,688 | |||||||||||||||||||||
| Household Durables – 0.1% | |||||||||||||||||||||||
| 500 | D.R. Horton, Inc. | 2.000 | % | 5/15/14 | BB- | 567,500 | |||||||||||||||||
| 750 | Lennar Corporation, 144A | 2.750 | % | 12/15/20 | B+ | 823,125 | |||||||||||||||||
| 400 | Lennar Corporation | 2.000 | % | 12/01/20 | B+ | 398,500 | |||||||||||||||||
| 1,650 | Total Household Durables | 1,789,125 | |||||||||||||||||||||
| Independent Power Producers & Energy Traders – 0.1% | |||||||||||||||||||||||
| 450 | Allegheny Technologies Inc., Convertible Bond | 4.250 | % | 6/01/14 | BBB- | 681,188 | |||||||||||||||||
| Industrial Conglomerates – 0.1% | |||||||||||||||||||||||
| 650 | Textron Inc. | 4.500 | % | 5/01/13 | BBB- | 1,238,250 | |||||||||||||||||
| Insurance – 0.0% | |||||||||||||||||||||||
| 400 | Old Republic International Corporation | 8.000 | % | 5/15/12 | BBB+ | 510,000 | |||||||||||||||||
| Internet & Catalog Retail – 0.0% | |||||||||||||||||||||||
| 350 | Priceline.com Inc., Convertible Bond | 1.250 | % | 3/15/15 | BBB- | 515,375 | |||||||||||||||||
| Internet Software & Services – 0.1% | |||||||||||||||||||||||
| 750 | Equinix Inc., Convertible Bond | 3.000 | % | 10/15/14 | B- | 754,688 | |||||||||||||||||
| 600 | Equinix Inc. | 4.750 | % | 6/15/16 | B- | 740,250 | |||||||||||||||||
| 1,350 | Total Internet Software & Services | 1,494,938 | |||||||||||||||||||||
Nuveen Investments
66
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| IT Services – 0.1% | |||||||||||||||||||||||
| $ | 250 | Macrovision Corporation, Convertible Bonds | 2.625 | % | 8/15/11 | BB- | $ | 554,688 | |||||||||||||||
| 400 | Verifone Holdings Inc. | 1.375 | % | 6/15/12 | B | 433,500 | |||||||||||||||||
| 650 | Total IT Services | 988,188 | |||||||||||||||||||||
| Life Sciences Tools & Services – 0.1% | |||||||||||||||||||||||
| 550 | Charles River Laboratories International, Inc. | 2.250 | % | 6/15/13 | BB+ | 552,750 | |||||||||||||||||
| 450 | Invitrogen Corporation, Convertible Bond | 1.500 | % | 2/15/24 | BBB | 545,625 | |||||||||||||||||
| 1,000 | Total Life Sciences Tools & Services | 1,098,375 | |||||||||||||||||||||
| Machinery – 0.3% | |||||||||||||||||||||||
| 900 | Danaher Corporation, Convertible Bonds | 0.000 | % | 1/22/21 | A+ | 1,237,500 | |||||||||||||||||
| 350 | Ingersoll Rand | 4.500 | % | 4/15/12 | BBB+ | 930,125 | |||||||||||||||||
| 650 | Navistar International Corporation, Convertible Bond | 3.000 | % | 10/15/14 | B1 | 871,000 | |||||||||||||||||
| 250 | Terex Corporation | 4.000 | % | 6/01/15 | B | 511,563 | |||||||||||||||||
| 2,150 | Total Machinery | 3,550,188 | |||||||||||||||||||||
| Media – 0.3% | |||||||||||||||||||||||
| 850 | Interpublic Group Companies Inc., Convertible Notes | 4.250 | % | 3/15/23 | BB | 950,938 | |||||||||||||||||
| 650 | Liberty Media Corporation, Senior Debentures, Exchangeable for PCS Common Stock, Series 1 | 4.000 | % | 11/15/29 | BB- | 373,750 | |||||||||||||||||
| 1,450 | Liberty Media Corporation | 3.125 | % | 3/30/23 | BB- | 1,633,063 | |||||||||||||||||
| 1,050 | Omnicom Group Inc., Convertible Bond | 0.000 | % | 7/01/38 | BBB+ | 1,116,938 | |||||||||||||||||
| 4,000 | Total Media | 4,074,689 | |||||||||||||||||||||
| Metals & Mining – 0.6% | |||||||||||||||||||||||
| 500 | Alcoa Inc., Convertible Bond | 5.250 | % | 3/15/14 | Baa3 | 1,239,375 | |||||||||||||||||
| 3,000 | Gold Reserve, Inc., Convertible Bonds | 5.500 | % | 6/15/22 | N/R | 2,111,250 | |||||||||||||||||
| 250 | Newmont Mining Corp., Senior Convertible Note | 1.625 | % | 7/15/17 | BBB+ | 364,688 | |||||||||||||||||
| 650 | Newmont Mining Corporation, 144A | 1.625 | % | 7/15/17 | BBB+ | 948,188 | |||||||||||||||||
| 400 | Newmont Mining Corporation | 3.000 | % | 2/15/12 | BBB+ | 558,500 | |||||||||||||||||
| 900 | Newmont Mining Corporation | 1.250 | % | 7/15/14 | BBB+ | 1,294,875 | |||||||||||||||||
| 350 | Steel Dynamics, Inc. | 5.125 | % | 6/15/14 | BB+ | 445,375 | |||||||||||||||||
| 950 | United States Steel Corporation | 4.000 | % | 5/15/14 | BB | 1,847,750 | |||||||||||||||||
| 7,000 | Total Metals & Mining | 8,810,001 | |||||||||||||||||||||
| Multiline Retail – 0.0% | |||||||||||||||||||||||
| 450 | Saks, Inc., Convertible Bonds | 2.000 | % | 3/15/24 | B+ | 468,563 | |||||||||||||||||
| Multi-Utilities – 0.1% | |||||||||||||||||||||||
| 700 | CMS Energy Corporation, Convertible Bonds | 2.875 | % | 12/01/24 | BB+ | 1,017,625 | |||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.7% | |||||||||||||||||||||||
| 550 | Alpha Natural Resouces Inc., Convertible Bond | 2.375 | % | 4/15/15 | BB | 738,375 | |||||||||||||||||
| 600 | Chesapeake Energy Corporation, Convertible Bonds | 2.750 | % | 11/15/35 | BB | 598,500 | |||||||||||||||||
| 1,100 | Chesapeake Energy Corporation, Convertible Bonds | 2.500 | % | 5/15/37 | BB | 987,250 | |||||||||||||||||
| 550 | Chesapeake Energy Corporation, Convertible Bonds | 2.250 | % | 12/15/38 | BB | 431,063 | |||||||||||||||||
| 1,620 | Goodrich Petroleum Corporation, Convertible | 5.000 | % | 10/01/29 | N/R | 1,585,575 | |||||||||||||||||
| 750 | Massey Energy Company, Convertible Bond | 3.250 | % | 8/01/15 | BB- | 735,938 | |||||||||||||||||
| 1,150 | Peabody Energy Corp., Convertible Bond | 4.750 | % | 12/15/66 | Ba3 | 1,493,563 | |||||||||||||||||
| 450 | Penn Virginia Corporation | 4.500 | % | 11/15/12 | B | 447,750 | |||||||||||||||||
| 700 | Pioneer Natural Resouces Company, Convertible Bond | 2.875 | % | 1/15/38 | BB+ | 1,063,125 | |||||||||||||||||
| 1,550 | USEC Inc., Convertible Bond | 3.000 | % | 10/01/14 | Caa2 | 1,402,750 | |||||||||||||||||
| 9,020 | Total Oil, Gas & Consumable Fuels | 9,483,889 | |||||||||||||||||||||
| Personal Products – 0.0% | |||||||||||||||||||||||
| 350 | RadioShack Corporation, Convertible Bond | 2.500 | % | 8/01/13 | Ba1 | 374,938 | |||||||||||||||||
Nuveen Investments
67
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Pharmaceuticals – 0.4% | |||||||||||||||||||||||
| $ | 825 | Allergan Inc., Convertible Bond | 1.500 | % | 4/01/26 | A+ | $ | 936,375 | |||||||||||||||
| 850 | Mylan Labs, Inc., Convertible Bonds, 144A | 3.750 | % | 9/15/15 | BB- | 1,472,625 | |||||||||||||||||
| 750 | Mylan Labs, Inc., Convertible Bonds | 1.250 | % | 3/15/12 | BB- | 797,813 | |||||||||||||||||
| 1,300 | Teva Pharmaceutical Finance Company B.V., Series D | 1.750 | % | 2/01/26 | A- | 1,431,625 | |||||||||||||||||
| 450 | Teva Pharmaceutical Finance Company LLC, Convertible Bonds | 0.250 | % | 2/01/26 | A- | 530,438 | |||||||||||||||||
| 200 | Valeant Pharmaceuticals International Convertible Bond | 4.000 | % | 11/15/13 | B | 449,000 | |||||||||||||||||
| 4,375 | Total Pharmaceuticals | 5,617,876 | |||||||||||||||||||||
| Real Estate – 0.8% | |||||||||||||||||||||||
| 1,350 | Boston Properties Limited Partnership, Convertible Bonds, 144A | 3.625 | % | 2/15/14 | A- | 1,442,813 | |||||||||||||||||
| 950 | Boston Properties Limited Partnership, Convertible Bonds, 144A | 2.875 | % | 2/15/37 | A- | 969,000 | |||||||||||||||||
| 250 | Boston Properties Limited Partnership, Convertible Bonds | 2.875 | % | 2/15/37 | A2 | 255,000 | |||||||||||||||||
| 450 | Duke Realty Corporation, Series D, 144A | 3.750 | % | 12/01/11 | BBB- | 457,875 | |||||||||||||||||
| 600 | ERP Operating LP | 3.850 | % | 8/15/26 | BBB+ | 630,000 | |||||||||||||||||
| 250 | Health Care REIT, Inc., Convertible Bonds | 4.750 | % | 12/01/26 | Baa2 | 278,438 | |||||||||||||||||
| 300 | Health Care REIT, Inc., Convertible Bonds | 4.750 | % | 7/15/27 | Baa2 | 333,375 | |||||||||||||||||
| 1,200 | Host Hotels and Resorts Inc., Convertible Bond, 144A | 2.625 | % | 4/15/27 | BB+ | 1,194,000 | |||||||||||||||||
| 600 | Host Marriot LP, Convertible Bonds, 144A | 3.250 | % | 4/15/24 | BB+ | 705,000 | |||||||||||||||||
| 600 | National Retail Properties Inc., Convertible Bonds | 5.125 | % | 6/15/28 | Baa2 | 699,000 | |||||||||||||||||
| 350 | Prologis Trust, Convertible Bonds, 144A | 2.250 | % | 4/01/37 | BBB- | 349,124 | |||||||||||||||||
| 1,450 | Prologis Trust, Convertible Bonds | 2.250 | % | 4/01/37 | BBB- | 1,446,374 | |||||||||||||||||
| 400 | Rayonier Trust Holdings Inc., Convertible Bond | 3.750 | % | 10/15/12 | BBB | 443,999 | |||||||||||||||||
| 250 | Ventas Inc., Convertible Bond, 144A | 3.875 | % | 11/15/11 | BBB- | 311,562 | |||||||||||||||||
| 1,150 | Vornado Realty, Convertible Bond | 3.875 | % | 4/15/25 | BBB | 1,280,812 | |||||||||||||||||
| 10,150 | Total Real Estate | 10,796,372 | |||||||||||||||||||||
| Semiconductors & Equipment – 0.9% | |||||||||||||||||||||||
| 3,198 | Advanced Micro Devices, Inc., Convertible Bonds, 144A | 6.000 | % | 5/01/15 | B+ | 3,237,974 | |||||||||||||||||
| 924 | Advanced Micro Devices, Inc., Convertible Bonds | 5.750 | % | 8/15/12 | B+ | 951,719 | |||||||||||||||||
| 1,400 | Intel Corporation, Convertible Bond | 2.950 | % | 12/15/35 | A- | 1,401,749 | |||||||||||||||||
| 2,550 | Intel Corporation, Convertible Bond | 3.250 | % | 8/01/39 | A2 | 3,069,562 | |||||||||||||||||
| 1,900 | Micron Technology, Inc. | 1.875 | % | 6/01/14 | B+ | 1,804,999 | |||||||||||||||||
| 1,000 | ON Semiconductor Corporation | 2.625 | % | 12/15/26 | B+ | 1,176,249 | |||||||||||||||||
| 450 | Xilinx Inc., Convertible Bond, 144A | 3.125 | % | 3/15/37 | BB | 470,249 | |||||||||||||||||
| 450 | Xilinx Inc., Convertible Bond | 3.125 | % | 3/15/37 | BB | 470,249 | |||||||||||||||||
| 11,872 | Total Semiconductors & Equipment | 12,582,750 | |||||||||||||||||||||
| Software – 0.2% | �� | ||||||||||||||||||||||
| 950 | Microsoft Corporation, Convertible Bond, 144A | 0.000 | % | 6/15/13 | AAA | 1,024,812 | |||||||||||||||||
| 450 | Nuance Communications Inc. | 2.750 | % | 8/15/27 | B- | 530,437 | |||||||||||||||||
| 750 | Symantec Corporation, Convertible Bond | 1.000 | % | 6/15/13 | BBB | 855,937 | |||||||||||||||||
| 2,150 | Total Software | 2,411,186 | |||||||||||||||||||||
| Specialty Retail – 0.1% | |||||||||||||||||||||||
| 700 | Best Buy Co., Inc. | 2.250 | % | 1/15/22 | Baa3 | 744,624 | |||||||||||||||||
| Textiles, Apparel & Luxury Goods – 0.0% | |||||||||||||||||||||||
| 500 | Iconix Brand Group, Inc., Convertible Notes, 144A | 1.875 | % | 6/30/12 | B+ | 504,999 | |||||||||||||||||
| Trading Companies & Distributors – 0.1% | |||||||||||||||||||||||
| 386 | WESCO International Inc., Convertible Bond | 6.000 | % | 9/15/29 | B | 798,054 | |||||||||||||||||
| Wireless Telecommunication Services – 0.0% | |||||||||||||||||||||||
| 650 | Liberty Media Corporation, Convertible Bonds | 3.750 | % | 2/15/30 | BB- | 360,749 | |||||||||||||||||
| $ | 123,895 | Total Convertible Bonds (cost $121,889,780) | 137,797,871 | ||||||||||||||||||||
Nuveen Investments
68
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||||||
| Corporate Bonds – 11.5% (8.9% of Total Investments) | |||||||||||||||||||||||||||
| Aerospace & Defense – 0.2% | |||||||||||||||||||||||||||
| $ | 600 | Bombardier Inc., Class B Shares, 144A | 7.500 | % | 3/15/18 | BB+ | $ | 646,500 | |||||||||||||||||||
| 1,200 | Hawker Beechcraft Acquisition Company | 8.500 | % | 4/01/15 | CCC- | 897,000 | |||||||||||||||||||||
| 1,000 | Hexcel Corporation, Term Loan | 6.750 | % | 2/01/15 | B+ | 1,025,000 | |||||||||||||||||||||
| 2,800 | Total Aerospace & Defense | 2,568,500 | |||||||||||||||||||||||||
| Airlines – 0.1% | |||||||||||||||||||||||||||
| 900 | Continental Airlines, Inc., 144A | 6.750 | % | 9/15/15 | Ba2 | 931,500 | |||||||||||||||||||||
| 900 | United Airlines Inc, 144A | 12.000 | % | 11/01/13 | B3 | 996,750 | |||||||||||||||||||||
| 1,800 | Total Airlines | 1,928,250 | |||||||||||||||||||||||||
| Auto Components – 0.2% | |||||||||||||||||||||||||||
| 1,200 | Cooper Standard Automitve | 8.500 | % | 5/01/18 | B+ | 1,278,000 | |||||||||||||||||||||
| 1,800 | Titan Wheels International Inc., 144A | 7.875 | % | 10/01/17 | B+ | 1,908,000 | |||||||||||||||||||||
| 3,000 | Total Auto Components | 3,186,000 | |||||||||||||||||||||||||
| Building Products – 0.0% | |||||||||||||||||||||||||||
| 600 | Libbey Glass Inc., 144A | 10.000 | % | 2/15/15 | B | 648,000 | |||||||||||||||||||||
| Chemicals – 0.6% | |||||||||||||||||||||||||||
| 2,850 | Hexion US Finance Corporation | 8.875 | % | 2/01/18 | B3 | 3,060,188 | |||||||||||||||||||||
| 600 | Momentive Performance Materials | 9.000 | % | 1/15/21 | Caa1 | 634,500 | |||||||||||||||||||||
| 1,200 | NOVA Chemicals Corporation | 8.625 | % | 11/01/19 | B+ | 1,317,000 | |||||||||||||||||||||
| 450 | Phibro Animal Health Corporation, 144A | 9.250 | % | 7/01/18 | B | 465,750 | |||||||||||||||||||||
| 2,100 | Rockwood Specialties Group Inc., Series WI | 7.500 | % | 11/15/14 | B | 2,163,000 | |||||||||||||||||||||
| 7,200 | Total Chemicals | 7,640,438 | |||||||||||||||||||||||||
| Commercial Banks – 0.7% | |||||||||||||||||||||||||||
| 300 | Ally Financial Inc. | 8.000 | % | 3/15/20 | B | 328,500 | |||||||||||||||||||||
| 1,400 | Den Norske Bank | 0.875 | % | 2/18/35 | Baa1 | 836,570 | |||||||||||||||||||||
| 1,400 | Den Norske Bank | 0.541 | % | 2/24/37 | Baa1 | 819,000 | |||||||||||||||||||||
| 7,076 | LBG Capital I PLC, 144A | 7.875 | % | 11/01/20 | BB- | 6,474,540 | |||||||||||||||||||||
| 800 | Lloyds Banking Group LBG Capital 1, 144A | 8.000 | % | 6/15/20 | B+ | 704,000 | |||||||||||||||||||||
| 10,976 | Total Commercial Banks | 9,162,610 | |||||||||||||||||||||||||
| Commercial Services & Supplies – 0.3% | |||||||||||||||||||||||||||
| 1,200 | Avis Budget Car Rental, 144A | 8.250 | % | 1/15/19 | B | 1,218,000 | |||||||||||||||||||||
| 450 | International Lease Finance Corporation, 144A | 8.625 | % | 9/15/15 | BB+ | 484,875 | |||||||||||||||||||||
| 1,500 | International Lease Finance Corporation, 144A | 8.750 | % | 3/15/17 | BB+ | 1,612,500 | |||||||||||||||||||||
| 1,200 | Ticketmaster | 10.750 | % | 8/01/16 | B1 | 1,305,000 | |||||||||||||||||||||
| 4,350 | Total Commercial Services & Supplies | 4,620,375 | |||||||||||||||||||||||||
| Communications Equipment – 0.2% | |||||||||||||||||||||||||||
| 450 | Avaya Inc. | 10.125 | % | 11/01/15 | CCC+ | 463,500 | |||||||||||||||||||||
| 1,200 | IntelSat Bermuda Limited | 11.250 | % | 2/04/17 | CCC+ | 1,314,000 | |||||||||||||||||||||
| 300 | Sungard Data Systems Inc., 144A | 7.375 | % | 11/15/18 | B | 303,000 | |||||||||||||||||||||
| 600 | Sungard Data Systems Inc., 144A | 7.625 | % | 11/15/20 | B | 610,500 | |||||||||||||||||||||
| 2,550 | Total Communications Equipment | 2,691,000 | |||||||||||||||||||||||||
| Construction Materials – 0.1% | |||||||||||||||||||||||||||
| 1,800 | Headwaters Inc. | 11.375 | % | 11/01/14 | B+ | 1,977,750 | |||||||||||||||||||||
| Containers & Packaging – 0.2% | |||||||||||||||||||||||||||
| 600 | Boise Paper Holdings Company | 8.000 | % | 4/01/20 | BB | 645,000 | |||||||||||||||||||||
| 2,100 | Solo Cup Company | 8.500 | % | 2/15/14 | CCC | 1,900,500 | |||||||||||||||||||||
| 2,700 | Total Containers & Packaging | 2,545,500 | |||||||||||||||||||||||||
Nuveen Investments
69
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||||||
| Diversified Financial Services – 0.2% | |||||||||||||||||||||||||||
| $ | 900 | Ally Financial Inc. | 7.500 | % | 9/15/20 | B | $ | 948,375 | |||||||||||||||||||
| 950 | CIT Group Inc. | 7.000 | % | 5/01/17 | B+ | 954,750 | |||||||||||||||||||||
| 200 | Fortis Hybrid Financing | 8.250 | % | 8/27/49 | BBB | 195,300 | |||||||||||||||||||||
| 2,050 | Total Diversified Financial Services | 2,098,425 | |||||||||||||||||||||||||
| Diversified Telecommunication Services – 0.4% | |||||||||||||||||||||||||||
| 1,200 | Cequel Communication Holdings I, 144A | 8.625 | % | 11/15/17 | B- | 1,260,000 | |||||||||||||||||||||
| 1,200 | Frontier Communications Corporation | 8.500 | % | 4/15/20 | BB | 1,317,000 | |||||||||||||||||||||
| 350 | Insight Communications, 144A | 9.375 | % | 7/15/18 | B- | 374,500 | |||||||||||||||||||||
| 1,200 | IntelSat Jackson Holding, 144A | 7.250 | % | 10/15/20 | B+ | 1,218,000 | |||||||||||||||||||||
| 1,200 | Windstream Corporation | 7.875 | % | 11/01/17 | Ba3 | 1,267,500 | |||||||||||||||||||||
| 5,150 | Total Diversified Telecommunication Services | 5,437,000 | |||||||||||||||||||||||||
| Electric Utilities – 0.5% | |||||||||||||||||||||||||||
| 600 | Calpine Corporation, 144A | 7.875 | % | 7/31/20 | B+ | 610,500 | |||||||||||||||||||||
| 6,400 | WPS Resource Corporation | 6.110 | % | 12/01/16 | Baa2 | 6,183,514 | |||||||||||||||||||||
| 7,000 | Total Electric Utilities | 6,794,014 | |||||||||||||||||||||||||
| Electrical Equipment – 0.1% | |||||||||||||||||||||||||||
| 900 | Energy Future Holdings | 10.000 | % | 1/15/20 | B | 930,396 | |||||||||||||||||||||
| Electronic Equipment & Instruments – 0.1% | |||||||||||||||||||||||||||
| 450 | Amkor Technology Inc. | 7.375 | % | 5/01/18 | BB- | 470,250 | |||||||||||||||||||||
| 1,200 | Kemet Corporation, Convertible Bonds, 144A | 10.500 | % | 5/01/18 | B1 | 1,296,000 | |||||||||||||||||||||
| 1,650 | Total Electronic Equipment & Instruments | 1,766,250 | |||||||||||||||||||||||||
| Food & Staples Retailing – 0.1% | |||||||||||||||||||||||||||
| 1,200 | Stater Brothers Holdings Inc., 144A | 7.375 | % | 11/15/18 | B+ | 1,236,000 | |||||||||||||||||||||
| Food Products – 0.3% | |||||||||||||||||||||||||||
| 1,200 | Dole Foods Company, 144A | 8.000 | % | 10/01/16 | B+ | 1,272,000 | |||||||||||||||||||||
| 2,700 | Dole Foods Company | 8.750 | % | 7/15/13 | B- | 2,899,125 | |||||||||||||||||||||
| 3,900 | Total Food Products | 4,171,125 | |||||||||||||||||||||||||
| Health Care Equipment & Supplies – 0.2% | |||||||||||||||||||||||||||
| 1,800 | Accellent Inc., 144A | 10.000 | % | 11/01/17 | CCC+ | 1,705,500 | |||||||||||||||||||||
| 500 | Biomet Inc. | 10.000 | % | 10/15/17 | B- | 548,750 | |||||||||||||||||||||
| 2,300 | Total Health Care Equipment & Supplies | 2,254,250 | |||||||||||||||||||||||||
| Health Care Providers & Services – 0.9% | |||||||||||||||||||||||||||
| 600 | Aurora Diagnostics Holdings LLC, 144A | 10.750 | % | 1/15/18 | B3 | 604,500 | |||||||||||||||||||||
| 450 | Capella Healthcare Inc., 144A | 9.250 | % | 7/01/17 | B | 478,125 | |||||||||||||||||||||
| 2,000 | Community Health Systems, Inc. | 8.875 | % | 7/15/15 | B | 2,105,000 | |||||||||||||||||||||
| 1,000 | HCA Inc. | 9.250 | % | 11/15/16 | BB- | 1,069,375 | |||||||||||||||||||||
| 1,800 | HCA Inc. | 8.500 | % | 4/15/19 | BB | 1,980,000 | |||||||||||||||||||||
| 4,050 | Select Medical Corporation | 7.625 | % | 2/01/15 | B- | 4,070,250 | |||||||||||||||||||||
| 1,800 | Select Medical Corporation | 6.237 | % | 9/15/15 | CCC+ | 1,674,000 | |||||||||||||||||||||
| 11,700 | Total Health Care Providers & Services | 11,981,250 | |||||||||||||||||||||||||
| Hotels, Restaurants & Leisure – 0.8% | |||||||||||||||||||||||||||
| 1,200 | CCM Merger Inc, 144A | 8.000 | % | 8/01/13 | CCC+ | 1,173,000 | |||||||||||||||||||||
| 1,200 | GWR Operating Partnership, 144A | 10.875 | % | 4/01/17 | BB- | 1,272,000 | |||||||||||||||||||||
| 2,250 | Harrah's Operating Company, Inc. | 11.250 | % | 6/01/17 | B | 2,542,500 | |||||||||||||||||||||
| 900 | Landry's Restaurants Inc. | 11.625 | % | 12/01/15 | B | 965,250 | |||||||||||||||||||||
| 300 | MGM Mirage Inc., 144A | 9.000 | % | 3/15/20 | B1 | 331,500 | |||||||||||||||||||||
| 600 | Peninsula Gaming LLC | 8.375 | % | 8/15/15 | BB | 633,750 | |||||||||||||||||||||
| 600 | Penn National Gaming Inc. | 8.750 | % | 8/15/19 | BB- | 664,500 | |||||||||||||||||||||
Nuveen Investments
70
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||||||
| Hotels, Restaurants & Leisure (continued) | |||||||||||||||||||||||||||
| $ | 1,200 | Pinnacle Entertainment Inc. | 8.750 | % | 5/15/20 | B | $ | 1,248,000 | |||||||||||||||||||
| 1,750 | Seminole Hard Rock Entertainment, Inc., 144A | 2.803 | % | 3/15/14 | BB | 1,610,000 | |||||||||||||||||||||
| 600 | Universal City Development Partners | 8.875 | % | 11/15/15 | B3 | 640,500 | |||||||||||||||||||||
| 10,600 | Total Hotels, Restaurants & Leisure | 11,081,000 | |||||||||||||||||||||||||
| Household Products – 0.1% | |||||||||||||||||||||||||||
| 1,650 | Central Garden & Pet Company, Senior Subordinate Notes | 8.250 | % | 3/01/18 | B | 1,678,875 | |||||||||||||||||||||
| Independent Power Producers & Energy Traders – 0.1% | |||||||||||||||||||||||||||
| 1,000 | NRG Energy Inc. | 7.375 | % | 1/15/17 | BB- | 1,032,500 | |||||||||||||||||||||
| Industrial Conglomerates – 0.0% | |||||||||||||||||||||||||||
| 300 | Reynolds Group, 144A | 9.000 | % | 4/15/19 | B | 312,375 | |||||||||||||||||||||
| Internet Software & Services – 0.0% | |||||||||||||||||||||||||||
| 800 | Open Solutions Inc., 144A | 9.750 | % | 2/01/15 | CCC+ | 562,000 | |||||||||||||||||||||
| IT Services – 0.6% | |||||||||||||||||||||||||||
| 750 | Fidelity National Information Services Inc., 144A | 7.875 | % | 7/15/20 | Ba2 | 796,875 | |||||||||||||||||||||
| 600 | Fidelity National Information Services Inc. | 7.625 | % | 7/15/17 | Ba2 | 634,500 | |||||||||||||||||||||
| 1,800 | First Data Corporation, 144A | 8.875 | % | 8/15/20 | B+ | 1,908,000 | |||||||||||||||||||||
| 1,330 | First Data Corporation | 10.550 | % | 9/24/15 | B- | 1,266,767 | |||||||||||||||||||||
| 600 | First Data Corporation | 9.875 | % | 9/24/15 | B- | 574,500 | |||||||||||||||||||||
| 600 | First Data Corporation | 11.250 | % | 3/31/16 | CCC+ | 528,000 | |||||||||||||||||||||
| 1,631 | Global Cash Access LLC | 8.750 | % | 3/15/12 | B | 1,647,310 | |||||||||||||||||||||
| 600 | ManTech International Company | 7.250 | % | 4/15/18 | BB+ | 630,000 | |||||||||||||||||||||
| 1,050 | Seagate HDD Cayman | 6.875 | % | 5/01/20 | BB+ | 1,008,000 | |||||||||||||||||||||
| 8,961 | Total IT Services | 8,993,952 | |||||||||||||||||||||||||
| Machinery – 0.2% | |||||||||||||||||||||||||||
| 3,000 | Greenbrier Companies, Inc. | 8.375 | % | 5/15/15 | CCC | 3,052,500 | |||||||||||||||||||||
| Media – 0.5% | |||||||||||||||||||||||||||
| 600 | Allbritton Communications Company, 144A | 8.000 | % | 5/15/18 | B | 609,000 | |||||||||||||||||||||
| 2,000 | AMC Entertainment Inc. | 8.000 | % | 3/01/14 | CCC+ | 2,030,000 | |||||||||||||||||||||
| 450 | Cablevision Systems Corporation | 7.750 | % | 4/15/18 | B+ | 473,625 | |||||||||||||||||||||
| 300 | Cablevision Systems Corporation | 8.000 | % | 4/15/20 | B+ | 322,500 | |||||||||||||||||||||
| 900 | Clear Channel Communications, Inc. | 5.500 | % | 9/15/14 | CCC- | 751,500 | |||||||||||||||||||||
| 1,050 | Clear Channel Communications, Inc. | 10.750 | % | 8/01/16 | CCC- | 945,000 | |||||||||||||||||||||
| 450 | Clear Channel Worldwide Holdings Inc., 144A | 9.250 | % | 12/15/17 | B | 495,000 | |||||||||||||||||||||
| 4,000 | Medianews Group Inc., (10), (11) | 6.375 | % | 4/01/14 | CC | 400 | |||||||||||||||||||||
| 300 | NexStar Mission Broadcast, 144A | 8.875 | % | 4/15/17 | B | 320,250 | |||||||||||||||||||||
| 900 | Nielsen Finance LLC Co. | 7.750 | % | 10/15/18 | B | 936,000 | |||||||||||||||||||||
| 10,950 | Total Media | 6,883,275 | |||||||||||||||||||||||||
| Metals & Mining – 0.2% | |||||||||||||||||||||||||||
| 600 | Consol Energy Inc., 144A | 8.000 | % | 4/01/17 | BB | 642,000 | |||||||||||||||||||||
| 600 | Consol Energy Inc., 144A | 8.250 | % | 4/01/20 | BB | 651,000 | |||||||||||||||||||||
| 900 | Essar Steel Algoma Inc., 144A | 9.375 | % | 3/15/15 | B+ | 910,125 | |||||||||||||||||||||
| 2,100 | Total Metals & Mining | 2,203,125 | |||||||||||||||||||||||||
| Multiline Retail – 0.4% | |||||||||||||||||||||||||||
| 3,150 | Neiman Marcus Group Inc., Term Loan | 9.000 | % | 10/15/15 | B- | 3,315,375 | |||||||||||||||||||||
| 1,200 | Sprectum Brands Inc., 144A | 9.500 | % | 6/15/18 | B | 1,320,000 | |||||||||||||||||||||
| 1,000 | Toys R Us Property Company II LLC | 8.500 | % | 12/01/17 | Ba1 | 1,620,000 | |||||||||||||||||||||
| 5,350 | Total Multiline Retail | 6,255,375 | |||||||||||||||||||||||||
Nuveen Investments
71
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||||||
| Multi-Utilities – 0.1% | |||||||||||||||||||||||||||
| $ | 1,200 | Bon-Ton Department Stores Inc. | 10.250 | % | 3/15/14 | CCC+ | $ | 1,230,000 | |||||||||||||||||||
| Municipal – 0.0% | |||||||||||||||||||||||||||
| 600 | Tops Markets | 10.125 | % | 10/15/15 | B | 619,500 | |||||||||||||||||||||
| Oil, Gas & Consumable Fuels – 0.8% | |||||||||||||||||||||||||||
| 1,500 | Alta Mesa Holdings Finance, 144A | 9.625 | % | 10/15/18 | B | 1,464,375 | |||||||||||||||||||||
| 650 | Chaparral Energy Inc. | 8.500 | % | 12/01/15 | B+ | 664,625 | |||||||||||||||||||||
| 2,400 | Chaparral Energy Inc. | 8.875 | % | 2/01/17 | B+ | 2,448,000 | |||||||||||||||||||||
| 1,200 | Genesis Energy LP, 144A | 7.875 | % | 12/15/18 | B+ | 1,197,000 | |||||||||||||||||||||
| 1,200 | Hilcorp Energy I LP/Hilcorp Finance Company, 144A | 7.625 | % | 4/15/21 | BB- | 1,245,000 | |||||||||||||||||||||
| 900 | OPTI Canada Inc. | 7.875 | % | 12/15/14 | CCC | 640,125 | |||||||||||||||||||||
| 450 | Western Refining Inc., 144A | 10.750 | % | 6/15/14 | B3 | 481,500 | |||||||||||||||||||||
| 1,050 | Western Refining Inc. | 11.250 | % | 6/15/17 | B | 1,139,250 | |||||||||||||||||||||
| 1,500 | Whiting Petroleum Corporation | 7.000 | % | 2/01/14 | BB | 1,582,500 | |||||||||||||||||||||
| 10,850 | Total Oil, Gas & Consumable Fuels | 10,862,375 | |||||||||||||||||||||||||
| Paper & Forest Products – 0.4% | |||||||||||||||||||||||||||
| 900 | Catalyst Paper Corporation, 144A | 11.000 | % | 12/15/16 | B3 | 852,750 | |||||||||||||||||||||
| 5,200 | MagIndustries Corporation, (11) | 11.000 | % | 12/14/12 | N/R | 5,140,506 | |||||||||||||||||||||
| 6,100 | Total Paper & Forest Products | 5,993,256 | |||||||||||||||||||||||||
| Personal Products – 0.2% | |||||||||||||||||||||||||||
| 1,800 | Prestige Brands Inc. | 8.250 | % | 4/01/18 | B | 1,872,000 | |||||||||||||||||||||
| 600 | Revlon Consumer Products | 9.750 | % | 11/15/15 | B | 637,500 | |||||||||||||||||||||
| 2,400 | Total Personal Products | 2,509,500 | |||||||||||||||||||||||||
| Pharmaceuticals – 0.3% | |||||||||||||||||||||||||||
| 900 | Angiotech Pharmaceuticals Inc., (7) | 7.750 | % | 4/01/14 | C | 450,000 | |||||||||||||||||||||
| 1,350 | KV Pharmaceutical Company, Convertible Bond | 2.500 | % | 5/16/33 | N/R | 749,250 | |||||||||||||||||||||
| 900 | Mylan Inc., 144A | 7.875 | % | 7/15/20 | BB- | 974,250 | |||||||||||||||||||||
| 1,800 | Warner Chilcott Company LLC, 144A | 7.750 | % | 9/15/18 | B+ | 1,827,000 | |||||||||||||||||||||
| 4,950 | Total Pharmaceuticals | 4,000,500 | |||||||||||||||||||||||||
| Real Estate – 0.1% | |||||||||||||||||||||||||||
| 1,200 | Entertainment Properties Trust, 144A | 7.750 | % | 7/15/20 | Baa3 | 1,275,000 | |||||||||||||||||||||
| Road & Rail – 0.1% | |||||||||||||||||||||||||||
| 900 | Avis Budget Car Rental | 9.625 | % | 3/15/18 | B | 974,250 | |||||||||||||||||||||
| Semiconductors & Equipment – 0.2% | |||||||||||||||||||||||||||
| 2,000 | Freescale Semiconductor Inc. | 9.250 | % | 4/15/18 | B2 | 2,210,000 | |||||||||||||||||||||
| 300 | NXP BV | 3.039 | % | 10/15/13 | B- | 296,625 | |||||||||||||||||||||
| 2,300 | Total Semiconductors & Equipment | 2,506,625 | |||||||||||||||||||||||||
| Specialty Retail – 0.3% | |||||||||||||||||||||||||||
| 1,154 | Brookstone Company Inc., 144A | 13.000 | % | 10/15/14 | CCC+ | 1,070,335 | |||||||||||||||||||||
| 1,350 | Claires Stores, Inc. | 9.250 | % | 6/01/15 | CCC+ | 1,309,500 | |||||||||||||||||||||
| 1,200 | Claires Stores, Inc. | 10.500 | % | 6/01/17 | CCC | 1,125,000 | |||||||||||||||||||||
| 300 | Express LLC | 8.750 | % | 3/01/18 | B | 320,250 | |||||||||||||||||||||
| 4,004 | Total Specialty Retail | 3,825,085 | |||||||||||||||||||||||||
| Textiles, Apparel & Luxury Goods – 0.0% | |||||||||||||||||||||||||||
| 600 | Hanesbrands Inc. | 8.000 | % | 12/15/16 | BB- | 646,500 | |||||||||||||||||||||
| Transportation Infrastructure – 0.1% | |||||||||||||||||||||||||||
| 1,800 | AWAS Aviation Capital Limited, 144A | 7.000 | % | 10/15/16 | BBB- | 1,793,250 | |||||||||||||||||||||
Nuveen Investments
72
| Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||||||
| Wireless Telecommunication Services – 0.6% | |||||||||||||||||||||||||||
| $ | 1,500 | Clearwire Communications Finance | 12.000 | % | 12/01/15 | B2 | $ | 1,627,500 | |||||||||||||||||||
| 1,500 | IPCS, Inc. | 2.412 | % | 5/01/13 | Ba2 | 1,451,250 | |||||||||||||||||||||
| 3,550 | Sprint Nextel Corporation | 8.375 | % | 8/15/17 | BB- | 3,825,125 | |||||||||||||||||||||
| 750 | Syniverse Technologies Inc., Series B | 7.750 | % | 8/15/13 | B | 766,874 | |||||||||||||||||||||
| 7,300 | Total Wireless Telecommunication Services | 7,670,749 | |||||||||||||||||||||||||
| $ | 162,541 | Total Corporate Bonds (cost $154,693,150) | 159,598,700 | ||||||||||||||||||||||||
| Principal Amount (000)/ Shares | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Capital Preferred Securities – 24.3% (18.8% of Total Investments) | |||||||||||||||||||||||
| Capital Markets – 0.3% | |||||||||||||||||||||||
| $ | 2,400 | ABN AMRO North America Holding Capital, 144A | 6.523 | % | 12/31/49 | BB+ | $ | 2,058,000 | |||||||||||||||
| 1,600 | Credit Suisse Guernsey | 0.976 | % | 5/15/17 | A3 | 1,186,000 | |||||||||||||||||
| 300 | Goldman Sachs Group, Inc. | 6.345 | % | 2/15/34 | A3 | 286,698 | |||||||||||||||||
| Total Capital Markets | 3,530,698 | ||||||||||||||||||||||
| Commercial Banks – 9.2% | |||||||||||||||||||||||
| 9,350 | AgFirst Farm Credit Bank | 7.300 | % | 12/15/53 | A | 8,123,149 | |||||||||||||||||
| 2,720 | Banco Santander Finance | 10.500 | % | 9/29/49 | A- | 2,958,811 | |||||||||||||||||
| 3,200 | BankAmerica Institutional Capital Trust, Series B, 144A | 7.700 | % | 12/31/26 | Baa3 | 3,224,000 | |||||||||||||||||
| 2,000 | Barclays Bank PLC, 144A | 6.860 | % | 6/15/32 | A- | 1,910,000 | |||||||||||||||||
| 7,675 | Barclays Bank PLC, 144A | 7.434 | % | 12/15/17 | A- | 7,579,063 | |||||||||||||||||
| 1,000 | Barclays Bank PLC | 6.278 | % | 12/15/34 | A- | 857,500 | |||||||||||||||||
| 3,000 | BB&T Capital Trust II | 6.750 | % | 6/07/36 | Baa1 | 3,020,658 | |||||||||||||||||
| 3,800 | BB&T Capital Trust IV | 6.820 | % | 6/12/37 | Baa1 | 3,762,000 | |||||||||||||||||
| 5,450 | BBVA International Unipersonal | 5.919 | % | 4/18/17 | A- | 4,147,069 | |||||||||||||||||
| 3,360 | Credit Agricole, S.A., 144A | 8.375 | % | 10/13/49 | A- | 3,469,200 | |||||||||||||||||
| 3,950 | Credit Agricole, S.A. | 9.750 | % | 12/26/54 | A- | 4,177,125 | |||||||||||||||||
| 5,750 | First Empire Capital Trust I | 8.234 | % | 2/01/27 | Baa2 | 5,728,150 | |||||||||||||||||
| 3,500 | First Union Capital Trust II, Series A | 7.950 | % | 11/15/29 | A- | 3,893,467 | |||||||||||||||||
| 4,800 | Fulton Capital Trust I | 6.290 | % | 2/01/36 | Baa3 | 3,628,704 | |||||||||||||||||
| 1,450 | HBOS Capital Funding LP, 144A | 6.071 | % | 6/30/14 | Ba2 | 1,196,250 | |||||||||||||||||
| 1,300 | HSBC America Capital Trust I, 144A | 7.808 | % | 12/15/26 | A- | 1,335,750 | |||||||||||||||||
| 1,000 | HSBC Bank PLC | 0.850 | % | 6/11/49 | A | 605,000 | |||||||||||||||||
| 9,300 | HSBC Capital Funding LP, Debt | 10.176 | % | 6/30/50 | A- | 12,252,750 | |||||||||||||||||
| 100 | HSBC Financial Capital Trust IX | 5.911 | % | 11/30/15 | Baa1 | 93,000 | |||||||||||||||||
| 4,000 | KeyCorp Capital III | 7.750 | % | 7/15/29 | Baa3 | 3,970,364 | |||||||||||||||||
| 4,150 | NB Capital Trust II | 7.830 | % | 12/15/26 | Baa3 | 4,181,125 | |||||||||||||||||
| 10,000 | North Fork Capital Trust II | 8.000 | % | 12/15/27 | Baa3 | 10,125,000 | |||||||||||||||||
| 7,640 | Rabobank Nederland, 144A | 11.000 | % | 6/30/19 | AA- | 9,903,755 | |||||||||||||||||
| 2,000 | Reliance Capital Trust I, Series B | 8.170 | % | 5/01/28 | N/R | 1,607,524 | |||||||||||||||||
| 12,810 | Societe Generale | 8.750 | % | 10/07/49 | BBB+ | 13,194,300 | |||||||||||||||||
| 200 | Sovereign Capital Trust VI | 7.908 | % | 6/13/36 | BBB+ | 206,507 | |||||||||||||||||
| 3,100 | Standard Chartered PLC, 144A | 6.409 | % | 1/30/17 | BBB | 2,894,024 | |||||||||||||||||
| 6,500 | Standard Chartered PLC, 144A | 7.014 | % | 7/30/37 | BBB | 6,383,319 | |||||||||||||||||
| 3,400 | Suntrust Capital Trust VIII | 6.100 | % | 12/01/66 | Baa3 | 3,120,639 | |||||||||||||||||
| 500 | Wachovia Capital Trust V, 144A | 7.965 | % | 6/01/27 | A- | 493,604 | |||||||||||||||||
| Total Commercial Banks | 128,041,807 | ||||||||||||||||||||||
| Consumer Finance – 0.4% | |||||||||||||||||||||||
| 5,500 | Capital One Capital IV Corporation | 6.745 | % | 2/17/32 | Baa3 | 5,486,250 | |||||||||||||||||
| Diversified Financial Services – 0.8% | |||||||||||||||||||||||
| 1 | AMG Capital Trust II, Convertible Bond | 5.150 | % | 10/15/37 | BB | 22,172 | |||||||||||||||||
| 5,270 | Bank One Capital III | 8.750 | % | 9/01/30 | A2 | 6,261,124 | |||||||||||||||||
| 475 | CitiGroup Capital XXI | 8.300 | % | 12/21/37 | BB+ | 496,375 | |||||||||||||||||
Nuveen Investments
73
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
| Principal Amount (000)/ Shares | Description (1) | Coupon | Maturity | Ratings (4) | Value | ||||||||||||||||||
| Diversified Financial Services (continued) | |||||||||||||||||||||||
| $ | 4,300 | JPMorgan Chase Capital XXV | 6.800 | % | 10/01/37 | A2 | $ | 4,447,533 | |||||||||||||||
| Total Diversified Financial Services | 11,227,204 | ||||||||||||||||||||||
| Diversified Telecommunication Services – 1.5% | |||||||||||||||||||||||
| 19 | Centaur Funding Corporation, Series B | 9.080 | % | 4/21/20 | BBB | 20,713,725 | |||||||||||||||||
| Electric Utilities – 0.7% | |||||||||||||||||||||||
| 8,200 | Dominion Resources Inc. | 7.500 | % | 6/30/16 | BBB | 8,578,594 | |||||||||||||||||
| 1,600 | PPL Capital Funding, Inc. | 6.700 | % | 3/30/17 | BBB- | 1,569,966 | |||||||||||||||||
| Total Electric Utilities | 10,148,560 | ||||||||||||||||||||||
| Insurance – 10.4% | |||||||||||||||||||||||
| 3,000 | Allstate Corporation | 6.125 | % | 5/15/17 | Baa1 | 3,007,500 | |||||||||||||||||
| 1,500 | Allstate Corporation | 6.500 | % | 5/15/37 | Baa1 | 1,511,250 | |||||||||||||||||
| 4,000 | AXA SA, 144A | 6.463 | % | 12/14/18 | Baa1 | 3,610,000 | |||||||||||||||||
| 7,675 | AXA SA, 144A | 6.379 | % | 12/14/36 | Baa1 | 7,013,031 | |||||||||||||||||
| 6,100 | AXA | 8.600 | % | 12/15/30 | A3 | 6,852,380 | |||||||||||||||||
| 4,615 | Catlin Insurance Company Limited | 7.249 | % | 1/19/17 | BBB+ | 4,084,275 | |||||||||||||||||
| 4,000 | Everest Reinsurance Holdings, Inc. | 6.600 | % | 5/15/37 | Baa1 | 3,850,000 | |||||||||||||||||
| 12,025 | Glen Meadows Pass Through Trust | 6.505 | % | 2/15/17 | BB+ | 10,070,938 | |||||||||||||||||
| 2,000 | Great West Life & Annuity Capital I, 144A | 6.625 | % | 11/15/34 | A- | 1,868,290 | |||||||||||||||||
| 750 | Great West Life and Annuity Insurance Company, 144A | 7.153 | % | 5/16/16 | A- | 757,500 | |||||||||||||||||
| 5,500 | Liberty Mutual Group, 144A | 7.800 | % | 3/15/37 | Baa3 | 5,472,500 | |||||||||||||||||
| 11,370 | MetLife Capital Trust IV, 144A | 7.875 | % | 12/15/37 | BBB | 12,080,625 | |||||||||||||||||
| 9,700 | National Financial Services Inc. | 6.750 | % | 5/15/37 | Baa2 | 8,962,315 | |||||||||||||||||
| 1,550 | Nationwide Financial Services Capital Trust | 7.899 | % | 3/01/37 | Baa2 | 1,356,005 | |||||||||||||||||
| 9,100 | Oil Insurance Limited, 144A | 7.558 | % | 6/30/11 | Baa1 | 8,429,503 | |||||||||||||||||
| 13,500 | Old Mutual Capital Funding, Notes | 8.000 | % | 6/22/53 | Baa3 | 12,926,250 | |||||||||||||||||
| 2,700 | Progressive Corporation | 6.700 | % | 6/15/67 | A2 | 2,777,865 | |||||||||||||||||
| 5,100 | Prudential Financial Inc. | 8.875 | % | 6/15/18 | BBB+ | 5,979,750 | |||||||||||||||||
| 10,000 | Prudential PLC | 6.500 | % | 6/29/49 | A- | 9,375,000 | |||||||||||||||||
| 6,200 | Swiss Re Capital I | 6.854 | % | 5/25/16 | A- | 5,953,693 | |||||||||||||||||
| 22,200 | XL Capital Ltd | 6.500 | % | 10/15/57 | BBB- | 19,314,000 | |||||||||||||||||
| 8,000 | ZFS Finance USA Trust II, 144A | 6.450 | % | 12/15/65 | A | 7,950,000 | |||||||||||||||||
| 1,100 | ZFS Finance USA Trust V | 6.500 | % | 5/09/67 | A | 1,077,999 | |||||||||||||||||
| Total Insurance | 144,280,669 | ||||||||||||||||||||||
| Road & Rail – 0.9% | |||||||||||||||||||||||
| 12,410 | Burlington Northern Santa Fe Funding Trust I | 6.613 | % | 1/15/26 | BBB | 12,876,143 | |||||||||||||||||
| U.S. Agency – 0.1% | |||||||||||||||||||||||
| 1 | Farm Credit Bank of Texas | 10.000 | % | 12/15/60 | A3 | 972,280 | |||||||||||||||||
| Total Capital Preferred Securities (cost $336,322,159) | 337,277,336 | ||||||||||||||||||||||
| Shares | Description (1) | Value | |||||||||
| Investment Companies – 1.8% (1.4% of Total Investments) | |||||||||||
| 682,749 | BlackRock Credit Allocation Income Trust II | $ | 6,711,423 | ||||||||
| 679,959 | Flaherty and Crumrine/Claymore Preferred Securities Income Fund Inc. | 11,022,135 | |||||||||
| 469,287 | John Hancock Preferred Income Fund III | 7,503,899 | |||||||||
| Total Investment Companies (cost $36,387,988) | 25,237,457 | ||||||||||
| Shares | Description (1) | Value | |||||||||
| Rights – 0.0% (0.0% of Total Investments) | |||||||||||
| Metals & Mining | |||||||||||
| 48,000 | Ivanhoe Mines Ltd. | $ | 67,200 | ||||||||
| Total Rights (cost $0) | 67,200 | ||||||||||
Nuveen Investments
74
| Principal Amount (000) | Description (1) | Coupon | Maturity | Value | |||||||||||||||||||
| Short-Term Investments – 5.0% (3.8% of Total Investments) | |||||||||||||||||||||||
| $ | 37,383 | Repurchase Agreement with Fixed Income Clearing Corporation, dated 12/31/10, | 0.040 | % | 1/03/11 | $ | 37,382,631 | ||||||||||||||||
| repurchase price $37,382,756, collateralized by: | |||||||||||||||||||||||
| $19,185,000 U.S. Treasury Notes, 1.750%, due 3/31/14, value $19,616,663, and | |||||||||||||||||||||||
| $18,445,000 U.S. Treasury Notes, 1.750%, due 7/31/15, value $18,514,169 | |||||||||||||||||||||||
| 31,648 | Repurchase Agreement with Fixed Income Clearing Corporation, dated 12/31/10, repurchase price $31,648,587, collateralized by $30,600,000 U.S. Treasury Notes, 3.625%, due 8/15/19, value $32,283,000 | 0.040 | % | 1/03/11 | 31,648,482 | ||||||||||||||||||
| $ | 69,031 | Total Short-Term Investments (cost $69,031,113) | 69,031,113 | ||||||||||||||||||||
| Total Investments (cost $1,701,345,672) – 129.1% | 1,792,117,217 | ||||||||||||||||||||||
| Shares | Description (1) | Value | |||||||||
| Common Stocks Sold Short – (0.6)% | |||||||||||
| Chemicals – (0.1)% | |||||||||||
| (15,600 | ) | Sigma-Aldrich Corporation | $ | (1,038,336 | ) | ||||||
| Food Products – (0.0)% | |||||||||||
| (12,600 | ) | Green Mountain Coffee Roasters Inc., (2) | (414,036 | ) | |||||||
| Hotels, Restaurants & Leisure – (0.2)% | |||||||||||
| (3,100 | ) | Chipotle Mexican Grill Inc., (2) | (659,246 | ) | |||||||
| (19,700 | ) | P.F. Changs China Bistro, Inc. | (954,662 | ) | |||||||
| (10,400 | ) | Panera Bread Company, (2) | (1,052,584 | ) | |||||||
| Total Hotels, Restaurants & Leisure | (2,666,492 | ) | |||||||||
| Household Products – (0.0)% | |||||||||||
| (8,000 | ) | Reckitt Benckiser Group PLC | (439,666 | ) | |||||||
| Internet & Catalog Retail – (0.1)% | |||||||||||
| (4,100 | ) | Amazon.com, Inc., (2) | (738,000 | ) | |||||||
| (2,400 | ) | NetFlix.com Inc., (2) | (421,680 | ) | |||||||
| Total Internet & Catalog Retail | (1,159,680 | ) | |||||||||
| Software – (0.1)% | |||||||||||
| (4,000 | ) | Salesforce.com, Inc., (2) | (528,000 | ) | |||||||
| Specialty Retail – (0.1)% | |||||||||||
| (13,800 | ) | Tiffany & Co | (859,326 | ) | |||||||
| (18,700 | ) | Urban Outfitters, Inc., (2) | (669,647 | ) | |||||||
| Total Specialty Retail | (1,528,973 | ) | |||||||||
| Total Common Stocks Sold Short (proceeds $5,931,055) | (7,775,183 | ) | |||||||||
| Borrowings – (28.8)% (12), (13) | (400,000,000 | ) | |||||||||
| Other Assets Less Liabilities – 0.3% (16) | 3,893,300 | ||||||||||
| Net Assets Applicable to Common Shares – 100% | $ | 1,388,235,334 | |||||||||
Nuveen Investments
75
JQC
Nuveen Multi-Strategy Income and Growth Fund 2 (continued)
Portfolio of INVESTMENTS December 31, 2010
Investments in Derivatives
Put Options Purchased outstanding at December 31, 2010:
| Number of Contracts | Type | Notional Amount (14) | Expiration Date | Strike Price | Value | ||||||||||||||||||
| 125 | Autozone Inc. | $ | 2,500,000 | 1/21/12 | $ | 200.0 | $ | 68,125 | |||||||||||||||
| 125 | Total Put Options Purchased (premiums paid $279,861) | $ | 2,500,000 | $ | 68,125 | ||||||||||||||||||
Call Options Written outstanding at December 31, 2010:
| Number of Contracts | Type | Notional Amount (14) | Expiration Date | Strike Price | Value | ||||||||||||||||||
| (1,140 | ) | Aetna Inc. | $ | (3,420,000 | ) | 1/22/11 | $ | 30.0 | $ | (107,730 | ) | ||||||||||||
| (240 | ) | AngloGold Ashanti Limited | (960,000 | ) | 1/22/11 | 40.0 | (222,000 | ) | |||||||||||||||
| (570 | ) | Arch Coal, Inc. | (1,425,000 | ) | 1/22/11 | 25.0 | (575,700 | ) | |||||||||||||||
| (320 | ) | AstraZeneca PLC | (1,440,000 | ) | 1/22/11 | 45.0 | (54,400 | ) | |||||||||||||||
| (973 | ) | Barrick Gold Corporation | (3,892,000 | ) | 1/22/11 | 40.0 | (1,286,792 | ) | |||||||||||||||
| (915 | ) | Cameco Corporation | (3,202,500 | ) | 1/22/11 | 35.0 | (503,250 | ) | |||||||||||||||
| (900 | ) | Chesapeake Energy Corporation | (2,250,000 | ) | 1/21/12 | 25.0 | (360,000 | ) | |||||||||||||||
| (329 | ) | Deutsche Telekom AG, ADR | (329,000 | ) | 1/22/11 | 10.0 | (94,588 | ) | |||||||||||||||
| (980 | ) | eBay, Inc. | (2,940,000 | ) | 1/22/11 | 30.0 | (28,910 | ) | |||||||||||||||
| (480 | ) | Eli Lilly & Company | (1,680,000 | ) | 1/22/11 | 35.0 | (23,280 | ) | |||||||||||||||
| (590 | ) | Eli Lilly & Company | (2,065,000 | ) | 1/21/12 | 35.0 | (133,635 | ) | |||||||||||||||
| (612 | ) | Forest Laboratories Inc. | (1,836,000 | ) | 1/22/11 | 30.0 | (133,110 | ) | |||||||||||||||
| (2,150 | ) | Gold Fields Limited | (2,687,500 | ) | 1/22/11 | 12.5 | (1,204,000 | ) | |||||||||||||||
| (825 | ) | Gold Fields Limited | (1,237,500 | ) | 1/22/11 | 15.0 | (259,875 | ) | |||||||||||||||
| (480 | ) | Ivanhoe Mines Ltd. | (960,000 | ) | 1/22/11 | 20.0 | (146,400 | ) | |||||||||||||||
| (1,665 | ) | Kroger Company | (3,746,250 | ) | 1/21/12 | 22.5 | (357,975 | ) | |||||||||||||||
| (428 | ) | Lockheed Martin Corporation | (3,210,000 | ) | 1/22/11 | 75.0 | (2,140 | ) | |||||||||||||||
| (852 | ) | Newmont Mining Corporation | (4,260,000 | ) | 1/22/11 | 50.0 | (977,670 | ) | |||||||||||||||
| (930 | ) | Nexen Inc. | (2,092,500 | ) | 3/19/11 | 22.5 | (158,100 | ) | |||||||||||||||
| (1,845 | ) | Nippon Telegraph & Telephone Corporation | (4,151,250 | ) | 6/18/11 | 22.5 | (235,237 | ) | |||||||||||||||
| (1,820 | ) | Nokia Corporation | (1,638,000 | ) | 1/22/11 | 9.0 | (249,340 | ) | |||||||||||||||
| (2,440 | ) | Pfizer, Inc. | (4,270,000 | ) | 1/22/11 | 17.5 | (82,960 | ) | |||||||||||||||
| (546 | ) | Range Resources Corporation | (2,047,500 | ) | 1/21/12 | 37.5 | (611,520 | ) | |||||||||||||||
| (2,600 | ) | Smithfield Foods, Inc. | (4,550,000 | ) | 1/22/11 | 17.5 | (832,000 | ) | |||||||||||||||
| (1,305 | ) | StatoilHydro ASA, ADR | (2,610,000 | ) | 4/16/11 | 20.0 | (535,050 | ) | |||||||||||||||
| (802 | ) | Suncor Energy Inc | (2,406,000 | ) | 1/22/11 | 30.0 | (671,675 | ) | |||||||||||||||
| (575 | ) | Tesoro Corporation | (862,500 | ) | 1/22/11 | 15.0 | (205,563 | ) | |||||||||||||||
| (2,580 | ) | Tyson Foods, Inc. | (5,160,000 | ) | 1/22/11 | 20.0 | (12,900 | ) | |||||||||||||||
| (1,587 | ) | UBS AG | (2,777,250 | ) | 1/22/11 | 17.5 | (15,870 | ) | |||||||||||||||
| (670 | ) | Wal-Mart Stores, Inc. | (3,517,500 | ) | 1/22/11 | 52.5 | (116,580 | ) | |||||||||||||||
| (596 | ) | Wal-Mart Stores, Inc. | (3,278,000 | ) | 1/22/11 | 55.0 | (16,688 | ) | |||||||||||||||
| (32,745 | ) | Total Call Options Written (premiums received $7,451,256) | $ | (80,901,250 | ) | $ | (10,214,938 | ) | |||||||||||||||
Nuveen Investments
76
For Fund portfolio compliance purposes, the Fund's industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine industry sub-classifications into sectors for reporting ease.
(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2) Non-income producing; issuer has not declared a dividend within the past twelve months.
(3) Investment, or portion of investment, has been pledged as collateral for call options written during and as of the end of the reporting period.
(4) Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor's Group ("Standard & Poor's"), Moody's Investor Service, Inc. ("Moody's") or Fitch, Inc. ("Fitch") rating. Ratings below BBB by Standard & Poor's, Baa by Moody's or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(5) Senior Loans generally are subject to mandatory and/or optional prepayment. Because of these mandatory prepayment conditions and because there may be significant economic incentives for a Borrower to prepay, prepayments of Senior Loans may occur. As a result, the actual remaining maturity of Senior Loans held may be substantially less than the stated maturities shown.
(6) Senior Loans generally pay interest at rates which are periodically adjusted by reference to a base short-term, floating lending rate plus an assigned fixed rate. These floating lending rates are generally (i) the lending rate referenced by the London Inter-Bank Offered Rate ("LIBOR"), or (ii) the prime rate offered by one or more major United States banks.
Senior Loans may be considered restricted in that the Fund ordinarily is contractually obligated to receive approval from the Agent Bank and/or Borrower prior to the disposition of a Senior Loan.
(7) The Fund's Adviser has concluded this issue is not likely to meet its future interest payment obligations and has directed the Fund's custodian to cease accruing additional income and "write-off" any remaining recorded balances on the Fund's records.
(8) At or subsequent to December 31, 2010, this issue was under the protection of the Federal Bankruptcy Court.
(9) Non-income producing security, in the case of a Senior Loan, denotes that the issuer has defaulted on the payment of principal or interest or has filed for bankruptcy.
(10) The Fund's Adviser has concluded this issue is not likely to meet its future interest payment obligations and has directed the Fund's custodian to cease accruing additional income on the Fund's records.
(11) Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Trustees. For fair value measurement disclosure purposes, investment categorized as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
(12) Borrowings as a percentage of Total Investments is 22.3%.
(13) The Fund may pledge up to 100% of its eligible investments in the Portfolio of Investments as collateral for Borrowings. As of December 31, 2010, investments with a value of $903,372,018 have been pledged as collateral for Borrowings.
(14) For disclosure purposes, Notional Amount is calculated by multiplying the Number of Contracts by the Strike Price by 100.
(15) For fair value measurement disclosure purposes, Common Stock categorized as Level 2. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information.
(16) Other Assets Less Liabilities includes Value and/or Unrealized Appreciation (Depreciation) of derivative instruments as noted in Investments in Derivatives.
N/R Not rated.
DD1 Investment, or portion of investment, purchased on a delayed delivery basis.
WI/DD Purchased on a when-issued or delayed delivery basis.
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
ADR American Depositary Receipt.
CORTS Corporate Backed Trust Securities.
PPLUS PreferredPlus Trust.
TBD Senior Loan purchased on a when-issued or delayed-delivery basis. Certain details associated with this purchase are not known prior to the settlement date of the transaction. In addition, Senior Loans typically trade without accrued interest and therefore a weighted average coupon rate is not available prior to settlement. At settlement, if still unknown, the Borrower or counterparty will provide the Fund with the final weighted average coupon rate and maturity date.
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77
Statement of
ASSETS & LIABILITIES
December 31, 2010
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Assets | |||||||||||
| Investments, at value (cost $1,153,075,137 and $1,701,345,672, respectively) | $ | 1,213,748,188 | $ | 1,792,117,217 | |||||||
| Put options purchased, at value (premiums paid $158,961 and $279,861, respectively) | 38,695 | 68,125 | |||||||||
| Deposits with brokers for securities sold short and options written | 8,263,199 | 11,795,557 | |||||||||
| Cash | 736,696 | 1,422,947 | |||||||||
| Cash denominated in foreign currencies (cost $68,668 and $104,794, respectively) | 69,387 | 105,908 | |||||||||
| Receivables: | |||||||||||
| Dividends | 838,361 | 1,624,504 | |||||||||
| Interest | 5,901,269 | 8,042,391 | |||||||||
| Investments sold | 1,320,676 | 1,956,128 | |||||||||
| Matured senior loans | 601,798 | 849,112 | |||||||||
| Reclaims | 92,370 | 164,166 | |||||||||
| Other assets | 194,496 | 255,614 | |||||||||
| Total assets | 1,231,805,135 | 1,818,401,669 | |||||||||
| Liabilities | |||||||||||
| Borrowings | 270,000,000 | 400,000,000 | |||||||||
| Securities sold short, at value (proceeds $4,065,551 and $5,931,055, respectively) | 5,294,680 | 7,775,183 | |||||||||
| Call options written, at value (premiums received $4,856,749 and $7,451,256, respectively) | 6,426,142 | 10,214,938 | |||||||||
| Payables: | |||||||||||
| Dividends for securities sold short | 2,200 | 3,450 | |||||||||
| Investments purchased | 9,903,763 | 10,294,282 | |||||||||
| Accrued expenses: | |||||||||||
| Interest on borrowings | 18,792 | 27,840 | |||||||||
| Management fees | 799,945 | 1,163,927 | |||||||||
| Other | 515,857 | 686,715 | |||||||||
| Total liabilities | 292,961,379 | 430,166,335 | |||||||||
| Net assets applicable to Common shares | $ | 938,843,756 | $ | 1,388,235,334 | |||||||
| Common shares outstanding | 97,591,378 | 137,076,405 | |||||||||
| Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding) | $ | 9.62 | $ | 10.13 | |||||||
| Net assets applicable to Common shares consist of: | |||||||||||
| Common shares, $.01 par value per share | $ | 975,914 | $ | 1,370,764 | |||||||
| Paid-in surplus | 1,324,586,422 | 1,891,615,459 | |||||||||
| Undistributed (Over-distribution of) net investment income | (12,650,325 | ) | (21,916,437 | ) | |||||||
| Accumulated net realized gain (loss) | (431,829,139 | ) | (568,795,173 | ) | |||||||
| Net unrealized appreciation (depreciation) | 57,760,884 | 85,960,721 | |||||||||
| Net assets applicable to Common shares | $ | 938,843,756 | $ | 1,388,235,334 | |||||||
| Authorized shares: | |||||||||||
| Common | Unlimited | Unlimited | |||||||||
| FundPreferred | Unlimited | Unlimited | |||||||||
See accompanying notes to financial statements.
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Statement of
OPERATIONS
Year Ended December 31, 2010
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Investment Income | |||||||||||
| Dividends (net of foreign tax withheld of $415,082 and $600,150, respectively) | $ | 34,014,262 | $ | 50,046,444 | |||||||
| Interest | 28,151,083 | 42,109,637 | |||||||||
| Other | 93,437 | 131,840 | |||||||||
| Total investment income | 62,258,782 | 92,287,921 | |||||||||
| Expenses | |||||||||||
| Management fees | 9,971,542 | 14,567,060 | |||||||||
| Dividend expense on securities sold short | 31,720 | 47,315 | |||||||||
| Shareholders' servicing agent fees and expenses | 6,610 | 8,628 | |||||||||
| Interest expense on borrowings | 3,531,039 | 5,231,169 | |||||||||
| Custodian's fees and expenses | 368,689 | 486,085 | |||||||||
| Trustees' fees and expenses | 40,927 | 60,836 | |||||||||
| Professional fees | 151,515 | 183,344 | |||||||||
| Shareholders' reports – printing and mailing expenses | 237,503 | 309,916 | |||||||||
| Stock exchange listing fees | 33,160 | 46,686 | |||||||||
| Investor relations expense | 266,586 | 356,714 | |||||||||
| Other expenses | 67,713 | 93,384 | |||||||||
| Total expenses before custodian fee credit and expense reimbursement | 14,707,004 | 21,391,137 | |||||||||
| Custodian fee credit | (1,168 | ) | (1,836 | ) | |||||||
| Expense reimbursement | (1,141,957 | ) | (2,029,267 | ) | |||||||
| Net expenses | 13,563,879 | 19,360,034 | |||||||||
| Net investment income | 48,694,903 | 72,927,887 | |||||||||
| Realized and Unrealized Gain (Loss) | |||||||||||
| Net realized gain (loss) from: | |||||||||||
| Investments and foreign currency | 1,305,162 | 5,964,210 | |||||||||
| Securities sold short | (405,274 | ) | (621,682 | ) | |||||||
| Call options written | 5,739,320 | 8,855,989 | |||||||||
| Change in net unrealized appreciation (depreciation) of: | |||||||||||
| Investments and foreign currency | 114,649,646 | 164,383,472 | |||||||||
| Securities sold short | (1,005,081 | ) | (1,512,851 | ) | |||||||
| Call options written | 430,714 | 79,481 | |||||||||
| Put options purchased | (120,266 | ) | (211,736 | ) | |||||||
| Net realized and unrealized gain (loss) | 120,594,221 | 176,936,883 | |||||||||
| Net increase (decrease) in net assets applicable to Common shares from operations | $ | 169,289,124 | $ | 249,864,770 | |||||||
See accompanying notes to financial statements.
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79
Statement of
CHANGES in NET ASSETS
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||||||||||
| Year Ended 12/31/10 | Year Ended 12/31/09 | Year Ended 12/31/10 | Year Ended 12/31/09 | ||||||||||||||||
| Operations | |||||||||||||||||||
| Net investment income | $ | 48,694,903 | $ | 53,732,729 | $ | 72,927,887 | $ | 81,743,124 | |||||||||||
| Net realized gain (loss) from: | |||||||||||||||||||
| Investments and foreign currency | 1,305,162 | (148,866,880 | ) | 5,964,210 | (225,066,111 | ) | |||||||||||||
| Securities sold short | (405,274 | ) | 193,123 | (621,682 | ) | 265,633 | |||||||||||||
| Call options written | 5,739,320 | 8,437,654 | 8,855,989 | 12,008,939 | |||||||||||||||
| Interest rate swaps | — | (170,494 | ) | — | (231,988 | ) | |||||||||||||
| Change in net unrealized appreciation (depreciation) of: | |||||||||||||||||||
| Investments and foreign currency | 114,649,646 | 450,167,087 | 164,383,472 | 645,654,663 | |||||||||||||||
| Securities sold short | (1,005,081 | ) | (580,945 | ) | (1,512,851 | ) | (847,360 | ) | |||||||||||
| Call options written | 430,714 | (8,842,570 | ) | 79,481 | (12,574,727 | ) | |||||||||||||
| Interest rate swaps | — | 164,738 | — | 224,156 | |||||||||||||||
| Put options purchased | (120,266 | ) | — | (211,736 | ) | — | |||||||||||||
| Distributions to FundPreferred shareholders: | |||||||||||||||||||
| From net investment income | — | (272,564 | ) | — | (376,424 | ) | |||||||||||||
| Net increase (decrease) in net assets applicable to Common shares from operations | 169,289,124 | 353,961,878 | 249,864,770 | 500,799,905 | |||||||||||||||
| Distributions to Common Shareholders | |||||||||||||||||||
| From net investment income | (55,633,444 | ) | (59,406,423 | ) | (82,345,674 | ) | (89,637,676 | ) | |||||||||||
| Return of capital | (10,876,168 | ) | (2,458,931 | ) | (13,885,777 | ) | (165,530 | ) | |||||||||||
| Decrease in net assets applicable to Common shares from distributions to Common shareholders | (66,509,612 | ) | (61,865,354 | ) | (96,231,451 | ) | (89,803,206 | ) | |||||||||||
| Capital Share Transactions | |||||||||||||||||||
| Common shares repurchased and retired | (3,782,168 | ) | (8,947,761 | ) | (8,196,512 | ) | (11,667,571 | ) | |||||||||||
| Net increase (decrease) in net assets applicable to Common shares from capital share transactions | (3,782,168 | ) | (8,947,761 | ) | (8,196,512 | ) | (11,667,571 | ) | |||||||||||
| Net increase (decrease) in net assets applicable to Common shares | 98,997,344 | 283,148,763 | 145,436,807 | 399,329,128 | |||||||||||||||
| Net assets applicable to Common shares at the beginning of year | 839,846,412 | 556,697,649 | 1,242,798,527 | 843,469,399 | |||||||||||||||
| Net assets applicable to Common shares at the end of year | $ | 938,843,756 | $ | 839,846,412 | $ | 1,388,235,334 | $ | 1,242,798,527 | |||||||||||
| Undistributed (Over-distribution of) net investment income at the end of year | $ | (12,650,325 | ) | $ | (15,289,950 | ) | $ | (21,916,437 | ) | $ | (26,017,406 | ) | |||||||
See accompanying notes to financial statements.
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80
Statement of
CASH FLOWS
Year Ended December 31, 2010
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Cash Flows from Operating Activities: | |||||||||||
| Net Increase (Decrease) in Net Assets Applicable to Common Shares from Operations | $ | 169,289,124 | $ | 249,864,770 | |||||||
| Adjustments to reconcile the net increase (decrease) in net assets applicable to Common shares from operations to net cash provided by (used in) operating activities: | |||||||||||
| Purchases of investments and securities sold short | (550,460,669 | ) | (810,082,084 | ) | |||||||
| Proceeds from sales and maturities of investments and securities sold short | 591,459,955 | 863,224,063 | |||||||||
| Proceeds from (Purchases of) short-term investments, net | (35,087,821 | ) | (40,441,802 | ) | |||||||
| Proceeds from (Payments for) cash denominated in foreign currencies, net | (68,668 | ) | (45,318 | ) | |||||||
| Premiums paid for put options purchased | (158,961 | ) | (279,861 | ) | |||||||
| Cash paid for call options exercised, terminated and expired | (1,227,021 | ) | (1,868,948 | ) | |||||||
| Premiums received for options written | 8,165,862 | 12,418,571 | |||||||||
| Amortization (Accretion) of premiums and discounts, net | (1,369,399 | ) | (2,185,556 | ) | |||||||
| (Increase) Decrease in deposits with brokers for securities sold short and options written | (1,039,266 | ) | (2,320,449 | ) | |||||||
| (Increase) Decrease in receivable for dividends | 19,824 | 194,661 | |||||||||
| (Increase) Decrease in receivable for interest | (846,486 | ) | (884,695 | ) | |||||||
| (Increase) Decrease in receivable for investments sold | 1,036,070 | 2,132,483 | |||||||||
| (Increase) Decrease in matured senior loans | (601,798 | ) | (849,112 | ) | |||||||
| (Increase) Decrease in receivable for reclaims | (18,168 | ) | (55,124 | ) | |||||||
| (Increase) Decrease in other assets | (37,333 | ) | (53,218 | ) | |||||||
| Increase (Decrease) in payable for dividends for securities sold short | 2,200 | 3,450 | |||||||||
| Increase (Decrease) in payable for investments purchased | 8,352,143 | 8,918,888 | |||||||||
| Increase (Decrease) in accrued interest on borrowings | (8,222 | ) | (12,181 | ) | |||||||
| Increase (Decrease) in accrued management fees | 133,227 | 196,296 | |||||||||
| Increase (Decrease) in accrued other liabilities | 126,000 | 170,168 | |||||||||
| Net realized (gain) loss from investments and foreign currency | (1,305,162 | ) | (5,964,210 | ) | |||||||
| Net realized (gain) loss from securities sold short | 405,274 | 621,682 | |||||||||
| Net realized (gain) loss from options written | (5,739,320 | ) | (8,855,989 | ) | |||||||
| Net realized (gain) loss from paydowns | 2,810,124 | 3,906,052 | |||||||||
| Change in net unrealized (appreciation) depreciation of investments and foreign currency | (114,649,646 | ) | (164,383,472 | ) | |||||||
| Change in net unrealized (appreciation) depreciation of securities sold short | 1,005,081 | 1,512,851 | |||||||||
| Change in net unrealized (appreciation) depreciation of options written | (430,714 | ) | (79,481 | ) | |||||||
| Change in net unrealized (appreciation) depreciation of put options purchased | 120,266 | 211,736 | |||||||||
| Proceeds from litigation | 576,427 | 876,776 | |||||||||
| Net cash provided by (used in) operating activities | 70,452,923 | 105,890,947 | |||||||||
| Cash Flows from Financing Activities: | |||||||||||
| Increase (Decrease) in cash overdraft balance | — | (40,037 | ) | ||||||||
| Increase (Decrease) in cash overdraft denominated in foreign currencies | (2,868 | ) | — | ||||||||
| Cash distributions paid to Common shareholders | (66,509,612 | ) | (96,231,451 | ) | |||||||
| Cost of Common shares repurchased and retired | (3,782,168 | ) | (8,196,512 | ) | |||||||
| Net cash provided by (used in) financing activities | (70,294,648 | ) | (104,468,000 | ) | |||||||
| Net Increase (Decrease) in Cash | 158,275 | 1,422,947 | |||||||||
| Cash at the beginning of year | 578,421 | — | |||||||||
| Cash at the End of Year | $ | 736,696 | $ | 1,422,947 | |||||||
| Supplemental Disclosure of Cash Flow Information | |||||||||||
| Cash paid for interest on borrowings was $3,539,261 and $5,243,350 for Multi-Strategy Income and Growth (JPC) and Multi-Strategy Income and Growth 2 (JQC), respectively. | |||||||||||
See accompanying notes to financial statements.
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81
Financial
HIGHLIGHTS
Selected data for a Common share outstanding throughout each period:
| Investment Operations | Less Distributions | ||||||||||||||||||||||||||||||||||||||||||
| Beginning Common Share Net Asset Value | Net Investment Income(a) | Net Realized/ Unrealized Gain (Loss) | Distributions from Net Investment Income to Fund- Preferred Share- holders(b) | Distributions from Capital Gains to Fund- Preferred Share- holders(b) | Total | Net Investment Income to Common Share- holders | Capital Gains to Common Share- holders | Return of Capital to Common Share- holders | Total | ||||||||||||||||||||||||||||||||||
| Multi-Strategy Income and Growth (JPC) | |||||||||||||||||||||||||||||||||||||||||||
| Year Ended 12/31: | |||||||||||||||||||||||||||||||||||||||||||
| 2010 | $ | 8.56 | $ | .50 | $ | 1.23 | $ | — | $ | — | $ | 1.73 | $ | (.57 | ) | $ | — | $ | (.11 | ) | $ | (.68 | ) | ||||||||||||||||||||
| 2009 | 5.60 | .54 | 3.03 | — | * | — | 3.57 | (.61 | ) | — | (.02 | ) | (.63 | ) | |||||||||||||||||||||||||||||
| 2008 | 12.38 | .86 | (6.49 | ) | (.15 | ) | — | (5.78 | ) | (.69 | ) | — | (.31 | ) | (1.00 | ) | |||||||||||||||||||||||||||
| 2007 | 14.26 | .97 | (1.34 | ) | (.28 | ) | (.09 | ) | (.74 | ) | (.77 | ) | (.25 | ) | (.12 | ) | (1.14 | ) | |||||||||||||||||||||||||
| 2006 | 14.18 | 1.02 | .50 | (.31 | ) | (.03 | ) | 1.18 | (.87 | ) | (.08 | ) | (.15 | ) | (1.10 | ) | |||||||||||||||||||||||||||
| Multi-Strategy Income and Growth 2 (JQC) | |||||||||||||||||||||||||||||||||||||||||||
| Year Ended 12/31: | |||||||||||||||||||||||||||||||||||||||||||
| 2010 | 9.00 | .53 | 1.29 | — | — | 1.82 | (.60 | ) | — | (.10 | ) | (.70 | ) | ||||||||||||||||||||||||||||||
| 2009 | 6.04 | .59 | 3.01 | — | * | — | 3.60 | (.65 | ) | — | — | * | (.65 | ) | |||||||||||||||||||||||||||||
| 2008 | 12.46 | .86 | (6.14 | ) | (.14 | ) | — | (5.42 | ) | (.72 | ) | — | (.28 | ) | (1.00 | ) | |||||||||||||||||||||||||||
| 2007 | 14.29 | .97 | (1.30 | ) | (.26 | ) | (.10 | ) | (.69 | ) | (.79 | ) | (.30 | ) | (.05 | ) | (1.14 | ) | |||||||||||||||||||||||||
| 2006 | 14.20 | 1.04 | .48 | (.30 | ) | (.03 | ) | 1.19 | (.93 | ) | (.09 | ) | (.08 | ) | (1.10 | ) | |||||||||||||||||||||||||||
| FundPreferred Shares at End of Period | Borrowings at End of Period | ||||||||||||||||||||||
| Aggregate Amount Outstanding (000) | Liquidation Value Per Share | Asset Coverage Per Share | Aggregate Amount Outstanding (000) | Asset Coverage Per $1,000 | |||||||||||||||||||
| Multi-Strategy Income and Growth (JPC) | |||||||||||||||||||||||
| Year Ended 12/31: | |||||||||||||||||||||||
| 2010 | $ | — | $ | — | $ | — | $ | 270,000 | $ | 4,477 | |||||||||||||
| 2009 | — | — | — | 270,000 | 4,111 | ||||||||||||||||||
| 2008 | 118,650 | 25,000 | 142,298 | 145,545 | 5,640 | ||||||||||||||||||
| 2007 | 708,000 | 25,000 | 64,444 | — | — | ||||||||||||||||||
| 2006 | 708,000 | 25,000 | 75,210 | — | — | ||||||||||||||||||
| Multi-Strategy Income and Growth 2 (JQC) | |||||||||||||||||||||||
| Year Ended 12/31: | |||||||||||||||||||||||
| 2010 | — | — | — | 400,000 | 4,471 | ||||||||||||||||||
| 2009 | — | — | — | 400,000 | 4,107 | ||||||||||||||||||
| 2008 | 165,800 | 25,000 | 152,182 | 224,200 | 5,502 | ||||||||||||||||||
| 2007 | 965,000 | 25,000 | 70,102 | — | — | ||||||||||||||||||
| 2006 | 965,000 | 25,000 | 77,025 | — | — | ||||||||||||||||||
(a) Per share Net Investment Income is calculated using the average daily shares method.
(b) The amounts shown are based on Common share equivalents.
(c) Total Return Based on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.
Total Return Based on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund's market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized.
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82
| Ratios/Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||
| Total Returns | Ratios to Average Net Assets Applicable to Common Shares Before Reimbursement(e) | Ratios to Average Net Assets Applicable to Common Shares After Reimbursement(d)(e) | |||||||||||||||||||||||||||||||||||||||||||||
| Discount from Common Shares Repurchased and Retired | Ending Common Share Net Asset Value | Ending Market Value | Based on Market Value(c) | Based on Common Share Net Asset Value(c) | Ending Net Assets Applicable to Common Shares (000) | Expenses | Net Investment Income | Expenses | Net Investment Income | Portfolio Turnover Rate | |||||||||||||||||||||||||||||||||||||
| Multi-Strategy Income and Growth (JPC) | |||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended 12/31: | |||||||||||||||||||||||||||||||||||||||||||||||
| 2010 | $ | .01 | $ | 9.62 | $ | 8.35 | 21.28 | % | 21.06 | % | $ | 938,844 | 1.67 | % | 5.39 | % | 1.54 | % | 5.52 | % | 49 | % | |||||||||||||||||||||||||
| 2009 | .02 | 8.56 | 7.49 | 81.73 | 67.37 | 839,846 | 1.80 | 7.76 | 1.57 | 7.99 | 50 | ||||||||||||||||||||||||||||||||||||
| 2008 | — | * | 5.60 | 4.60 | (51.80 | ) | (49.27 | ) | 556,698 | 2.47 | 8.14 | 2.04 | 8.57 | 36 | |||||||||||||||||||||||||||||||||
| 2007 | — | * | 12.38 | 10.93 | (16.28 | ) | (5.71 | ) | 1,230,342 | 1.53 | 6.54 | 1.05 | 7.03 | 84 | |||||||||||||||||||||||||||||||||
| 2006 | — | * | 14.26 | 14.29 | 29.81 | 8.71 | 1,421,951 | 1.49 | 6.80 | 1.00 | 7.28 | 72 | |||||||||||||||||||||||||||||||||||
| Multi-Strategy Income and Growth 2 (JQC) | |||||||||||||||||||||||||||||||||||||||||||||||
| Year Ended 12/31: | |||||||||||||||||||||||||||||||||||||||||||||||
| 2010 | .01 | 10.13 | 8.80 | 24.26 | % | 21.02 | % | 1,388,235 | 1.64 | 5.41 | 1.48 | 5.57 | 48 | ||||||||||||||||||||||||||||||||||
| 2009 | .01 | 9.00 | 7.69 | 76.23 | 63.01 | 1,242,799 | 1.75 | 8.01 | 1.48 | 8.27 | 55 | ||||||||||||||||||||||||||||||||||||
| 2008 | — | * | 6.04 | 4.87 | (49.39 | ) | (45.84 | ) | 843,469 | 2.41 | 8.00 | 1.95 | 8.45 | 37 | |||||||||||||||||||||||||||||||||
| 2007 | — | * | 12.46 | 11.00 | (14.70 | ) | (5.34 | ) | 1,740,952 | 1.50 | 6.51 | 1.02 | 6.99 | 78 | |||||||||||||||||||||||||||||||||
| 2006 | — | * | 14.29 | 14.11 | 26.71 | 8.73 | 2,008,154 | 1.44 | 6.90 | .96 | 7.37 | 77 | |||||||||||||||||||||||||||||||||||
(d) After expense reimbursement from the Adviser, where applicable. Ratios do not reflect the effect of custodian fee credits earned on the Fund's net cash on deposit with the custodian bank, where applicable.
(e) • Ratios do not reflect the effect of dividend payments to FundPreferred shareholders, where applicable.
• Net Investment Income ratios reflect income earned and expenses incurred on assets attributable to FundPreferred shares and/or borrowings, where applicable.
• Each ratio includes the effect of dividend expense on securities sold short and interest expense paid on borrowings as follows:
| Ratios of Dividend Expense on Securities Sold Short to Average Net Assets Applicable to Common Shares | Ratios of Borrowings Interest Expense to Average Net Assets Applicable to Common Shares(f) | ||||||||||
| Multi-Strategy Income and Growth (JPC) | |||||||||||
| Year Ended 12/31: | |||||||||||
| 2010 | — | %** | 0.40 | % | |||||||
| 2009 | — | ** | 0.45 | ||||||||
| 2008 | 0.01 | 0.82 | |||||||||
| 2007 | — | ** | — | ||||||||
| 2006 | — | — | |||||||||
| Multi-Strategy Income and Growth 2 (JQC) | |||||||||||
| Year Ended 12/31: | |||||||||||
| 2010 | — | ** | 0.40 | ||||||||
| 2009 | — | ** | 0.46 | ||||||||
| 2008 | 0.01 | 0.83 | |||||||||
| 2007 | — | ** | — | ||||||||
| 2006 | — | — | |||||||||
(f) Borrowings Interest Expense includes amortization of borrowing costs. Borrowing costs were fully amortized and expensed as of December 31, 2009.
* Rounds to less than $.01 per share.
** Rounds to less than .01%.
See accompanying notes to financial statements.
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Notes to
FINANCIAL STATEMENTS
1. General Information and Significant Accounting Policies
General Information
The funds covered in this report and their corresponding Common share New York Stock Exchange ("NYSE") symbols are Nuveen Multi-Strategy Income and Growth Fund (JPC) and Nuveen Multi-Strategy Income and Growth Fund 2 (JQC) (collectively, the "Funds"). The Funds are registered under the Investment Company Act of 1940, as amended, as closed-end registered investment companies.
Each Fund seeks to provide high current income by maintaining a portfolio exposure target of approximately 70% in income-oriented debt securities (preferred securities and fixed- and floating-rate debt including high yield debt and senior loans), and 30% in equities and equity-like securities (convertibles and domestic and international equities). The exact portfolio composition will vary over time as a result of market changes as well as Nuveen Asset Management's (the "Adviser"), a wholly-owned subsidiary of Nuveen Investment, Inc. ("Nuveen"), view of the portfolio composition that best enables the Funds to achieve their investment objectives consistent with a strategic 70%/30% income/equity mix. Each Fund's secondary objective is total return.
Effective January 1, 2011, the Adviser has changed its name to Nuveen Fund Advisors, Inc.
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").
Significant Accounting Policies
Investment Valuation
Common stocks and other equity-type securities are valued at the last sales price on the securities exchange on which such securities are primarily traded and are generally classified as Level 1. Securities primarily traded on the NASDAQ National Market ("NASDAQ") are valued, except as indicated below, at the NASDAQ Official Closing Price and are generally classified as Level 1. However, securities traded on a securities exchange or NASDAQ for which there were no transactions on a given day or securities not listed on a securities exchange or NASDAQ are valued at the mean between the quoted bid and ask prices. These securities are generally classified as Level 1. Prices of certain American Depository Receipts ("ADR") held by the Fund that trade in the United States are valued based on the last traded price, official closing price, or mean between the most recent bid and ask prices of the underlying non-U.S.-traded stock, adjusted as appropriate for the underlying-to-ADR conversion ratio and foreign exchange rate, and from time-to-time foreign currencies may also be adjusted further to take into account material events that may take place after the close of the local non-U.S. market but before the close of the NYSE. These triggers generally represent a transfer from a Level 1 to a Level 2 security. Investments in investment companies are valued at their respective net asset values on the valuation date. These investment vehicles are generally classified as Level 1.
Prices of fixed-income securities, senior loans and interest rate swaps are provided by a pricing service approved by the Funds' Board of Trustees. These securities are generally classified as Level 2. Prices of fixed-income securities are based on the mean between the bid and asked prices. When price quotes are not readily available for fixed-income securities, senior loans and interest rate swaps, 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. In pricing certain securities, particularly less liquid and lower quality securities, the pricing service may consider information about a security, its issuer, or market activity, provided by the Adviser. These securities are generally classified as Level 2 or Level 3 depending on the priority of the significant inputs. Highly rated zero coupon fixed-income securities, like U.S. Treasury Bills, issued with maturities of one year or less, are valued using the amortized cost method when 60 days or less remain until maturity. With amortized cost, any discount or premium is amortized each day, regardless of the impact of fluctuating rates on the market value of the security. These securities are generally classified as Level 2.
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Like most fixed income instruments, the senior loans in which the Funds invest are not listed on an organized exchange. The secondary market of senior loans may be less liquid relative to markets for other fixed-income securities. Consequently, the value of senior loans, determined as described above, may differ significantly from the value that would have been determined had there been an active market for that senior loan. These securities are generally classified as Level 2.
The value of exchange-traded options are based on the mean of the bid and ask prices. Exchange-traded options are generally classified as Level 1. Options traded in the over-the-counter market are valued using market implied volatilities and are generally classified as Level 2.
Repurchase agreements are valued at contract amount plus accrued interest, which approximates market value. These securities are generally classified as Level 2.
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 Funds' Board of Trustees or its designee 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 (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 as Level 3 depending on the priority of the significant inputs. Regardless of the method employed to value a particular security, all valuations are subject to review by the Funds' Board of Trustees or its designee.
Refer to Footnote 2—Fair Value Measurements for further details on the leveling of securities held by the Funds as of the end of the reporting period.
Investment Transactions
Investment transactions are recorded on a trade date basis. Trade date for senior loans purchased in the "primary market" is considered the date on which the loan allocations are determined. Trade date for senior loans purchased in the "secondary market" is the date on which the transaction is entered into. 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 instructed the custodian to segregate assets with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments. At December 31, 2010, Multi-Strategy Income and Growth (JPC) and Multi-Strategy Income and Growth 2 (JQC) had outstanding when-issued/delayed delivery purchase commitments of $2,944,427 and $3,902,428, respectively.
Investment Income
Dividend income on securities purchased and dividend expense on securities sold short are recorded on the ex-dividend date or, for foreign securities, when information is available. Interest income, which reflects the amortization of premiums and includes accretion of discounts for financial reporting purposes, is recorded on an accrual basis. Interest income also reflects paydown gains and losses, and fee income, if any. Fee income consists primarily of amendment fees. Amendment fees are earned as compensation for evaluating and accepting changes to an original senior loan agreement and are recognized when received. Other income includes the increase of the net realizable value of the receivable of matured senior loans during the current fiscal period.
Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required.
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.
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Notes to
FINANCIAL STATEMENTS (continued)
Dividends and Distributions to Common Shareholders
Distributions to Common shareholders 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.
Each Fund makes quarterly cash distributions to Common shareholders of a stated dollar amount per share. Subject to approval and oversight by the Funds' Board of Trustees, each Fund seeks to maintain a stable distribution level designed to deliver the long-term return potential of each Fund's investment strategy through regular quarterly distributions (a "Managed Distribution Program"). Total distributions during a calendar year generally will be made from each Fund's net investment income, net realized capital gains and net unrealized capital gains in the Fund's portfolio, if any. The portion of distributions paid attributed to net unrealized gains, if any, is distributed from the Fund's assets and is treated by shareholders as a non-taxable distribution ("Return of Capital") for tax purposes. In the event that total distributions during a calendar year exceed a Fund's total return on net asset value, the difference will reduce net asset value per share. If a Fund's total return on net asset value exceeds total distributions during a calendar year, the excess will be reflected as an increase in net asset value per share. The final determination of the source and character of all distributions for the fiscal year are made after the end of the fiscal year and are reflected in the financial statements contained in the annual report as of December 31 each year.
FundPreferred Shares
The Funds are authorized to issue auction rate preferred ("FundPreferred") shares. As of December 31, 2009, Multi-Strategy Income and Growth (JPC) and Multi-Strategy Income and Growth 2 (JQC) redeemed all of their outstanding FundPreferred shares, at liquidation values of $708,000,000 and $965,000,000, respectively.
During the fiscal year ended December 31, 2010, lawsuits pursuing claims made in a demand letter alleging that the Funds' Board of Trustees breached their fiduciary duties related to the redemption at par of the Funds' FundPreferred shares had been filed on behalf of shareholders of the Funds and against the Adviser, together with current and former officers and interested director/trustees of the Funds. Nuveen and the other named defendants believe these lawsuits to be without merit, and all named parties intend to defend themselves vigorously. The Funds believe that these lawsuits will not have a material effect on the Funds or on the Adviser's ability to serve as investment adviser to the Funds.
Foreign Currency Transactions
Each Fund is authorized to engage in foreign currency exchange transactions, including foreign currency forwards, futures, options and swap contracts. To the extent that the Funds invest in securities and/or contracts that are denominated in a currency other than U.S. dollars, the Fund will be subject to currency risk, which is the risk that an increase in the U.S. dollar relative to the foreign currency will reduce returns or portfolio value. Generally, when the U.S. dollar rises in value against a foreign currency, the Fund's investments denominated in that currency will lose value because its currency is worth fewer U.S. dollars; the opposite effect occurs if the U.S. dollar falls in relative value. Investments and other assets and liabilities denominated in foreign currencies are converted into U.S. dollars on a spot (i.e. cash) basis at the spot rate prevailing in the foreign currency exchange market at the time of valuation. Purchases and sales of investments and income denominated in foreign currencies are translated into U.S. dollars on the respective dates of such transactions.
The books and records of the Funds are maintained in U.S. dollars. Foreign currencies, investments and other assets and liabilities are translated into U.S. dollars at 4:00 p.m. Eastern time. Investments, income and expenses are translated on the respective dates of such transactions. Net realized foreign currency gains and losses resulting from changes in exchange rates include foreign currency gains and losses between trade date and settlement date of the transactions, foreign currency transactions, and the difference between the amounts of interest and dividends recorded on the books of a Fund and the amounts actually received.
The realized gains and losses resulting from changes in foreign currency exchange rates and changes in foreign exchange rates associated with other assets and liabilities on investments, foreign currency forwards, futures, options purchased, options written and swap contracts are recognized as a component of "Net realized gain (loss) from investments and foreign currency," when applicable.
The unrealized gains and losses resulting from changes in foreign currency exchange rates and changes in foreign exchange rates associated with other assets and liabilities on investments are recognized as a component of "Change in unrealized appreciation (depreciation) of investments and foreign currency," when applicable. The unrealized gains and losses resulting from changes in foreign exchange rates associated with foreign currency forwards, futures, options purchased, options written and swap contracts
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are recognized as a component of "Change in net unrealized appreciation (depreciation) of foreign currency forwards, futures, options purchased, options written and swap contracts, respectively " when applicable.
Interest Rate Swap Contracts
Each Fund is subject to interest rate risk in the normal course of pursuing its investment objectives and is authorized to invest in interest rate swap transactions in an attempt to manage such risk. Each Fund's use of interest rate swap contracts is intended to mitigate the negative impact that an increase in short-term interest rates could have on Common share net earnings as a result of leverage. Interest rate swap contracts involve each Fund's agreement with the counterparty to pay or receive a fixed rate payment in exchange for the counterparty receiving or paying a variable rate payment that is intended to approximate each Fund's variable rate payment obligation on FundPreferred shares or any variable rate borrowing. The payment obligation is based on the notional amount of the interest rate swap contract. Interest rate swap contracts do not involve the delivery of securities or other underlying assets or principal. Accordingly, the risk of loss with respect to the swap counterparty on such transactions is limited to the net amount of interest payments that each Fund is to receive. Interest rate swap positions are valued daily. Each Fund accrues the fixed rate payment expected to be paid or received and the variable rate payment expected to be received or paid on interest rate swap contracts on a daily basis, and recognizes the daily change in the market value of the Fund's contractual rights and obligations under the contracts. The net amount recorded for these transactions for each counterparty is recognized on the Statement of Assets and Liabilities as a component of "Unrealized appreciation or depreciation on interest rate swaps" with the change during the fiscal period reflected on the Statement of Operations as "Change in net unrealized appreciation (depreciation) of interest rate swaps." Once periodic payments are settled in cash, the net amount is recognized as "Net realized gain (loss) from interest rate swaps" on the Statement of Operations, in addition to net realized gain or loss recorded upon the termination of interest rate swap contracts. For tax purposes, periodic payments are treated as ordinary income or expense. The Funds did not enter into interest rate swaps contracts during the fiscal year ended December 31, 2010.
Options Transactions
The Fund is subject to equity price risk in the normal course of pursuing its investment objectives and is authorized to purchase and write (sell) call and put options, in an attempt to manage such risk. The purchase of put options involves the risk of loss of all or a part of the cash paid for the options (the premium). The market risk associated with purchasing put options is limited to the premium paid. The counterparty credit risk of purchasing options, however, needs also to take into account the current value of the option, as this is the performance expected from the counterparty. When the Fund purchases an option, an amount equal to the premium paid (the premium plus commission) is recognized as a component of "Call and/or Put options purchased, at value" on the Statement of Assets and Liabilities. When the Fund writes an option, an amount equal to the net premium received (the premium less commission) is recognized as a component of "Call and/or Put options written, at value" on the Statement of Assets and Liabilities and is subsequently adjusted to reflect the current value of the written option until the option is exercised or expires or the Fund enters into a closing purchase transaction. The changes in the value of options purchased during the fiscal period are recognized as a component of "Change in net unrealized appreciation (depreciation) of call and/or put options purchased" on the Statement of Operations. The changes in the value of options written during the fiscal period are recognized as a component of "Change in net unrealized appreciation (depreciation) of call and/or put options written" on the Statement of Operations. When an option is exercised or expires or a Fund enters into a closing purchase transaction, the difference between the net premium received and any amount paid at expiration or on executing a closing purchase transaction, including commission, is recognized as a component of "Net realized gain (loss) from options purchased and/or written "on the Statement of Operations. The Fund, as a writer of an option, has no control over whether the underlying instrument may be sold (called) or purchased (put) and as a result bears the risk of an unfavorable change in the market value of the instrument underlying the written option. There is also the risk the Fund may not be able to enter into a closing transaction because of an illiquid market.
During fiscal year ended December 31, 2010, each Fund wrote call options on individual stocks held in its portfolio of investments to enhance returns while foregoing some upside potential, and bought put options on a single stock to benefit in the event its price declines.
The Funds did not purchase call options or write put options during the fiscal year ended December 31, 2010. The average notional amount of put options purchased and call options written during the fiscal year ended December 31, 2010, were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Average notional amount of put options purchased* | $ | 568,000 | $ | 1,000,000 | |||||||
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Average notional amount of call options written* | $ | (55,415,300 | ) | $ | (85,012,160 | ) | |||||
* The average notional amount is calculated based on the outstanding notional amount at the beginning of the fiscal year and at the end of each fiscal quarter within the current fiscal year.
Refer to Footnote 3—Derivative Instruments and Hedging Activities for further details on options activity.
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Notes to
FINANCIAL STATEMENTS (continued)
Short Sales
Each Fund is authorized to make short sales of securities. To secure its obligation to deliver securities sold short, each Fund has instructed the custodian to segregate assets of the Fund, which are then held at the applicable broker, as collateral with an equivalent amount of the securities sold short. The collateral required is determined by reference to the market value of the short positions. Each Fund is obligated to pay to the party to which the securities were sold short, dividends declared on the stock by the issuer and recognizes such amounts as "Dividend expense on securities sold short" on the Statement of Operations. Short sales are valued daily and the corresponding unrealized gains or losses are recognized as a component of "Change in net unrealized appreciation (depreciation) of securities sold short" on the Statement of Operations.
Liabilities for securities sold short are reported at market value in the accompanying financial statements. Short sale transactions result in off-balance sheet risk because the ultimate obligation may exceed the related amounts shown on the Statement of Assets and Liabilities. Each Fund will incur a loss if the price of the security increases between the date of the short sale and the date on which the Fund replaces the borrowed security. Each Fund's loss on a short sale is potentially unlimited because there is no upward limit on the price a borrowed security could attain. Each Fund will realize a gain if the price of the security declines between those dates. Gains and losses from securities sold short are recognized as a component of "Net realized gain (loss) from securities sold short" on the Statement of Operations.
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap transactions, when applicable. The extent of each Fund's exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities. Futures contracts, when applicable, expose a Fund to minimal counterparty credit risk as they are exchange traded and the exchange's clearing house, which is counterparty to all exchange traded futures, guarantees the futures contracts against default.
Each Fund helps manage counterparty credit risk by entering into agreements only with counterparties 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.
Repurchase Agreements
In connection with transactions in repurchase agreements, it is each Fund's policy that its custodian take possession of the underlying collateral securities, the fair value of which exceeds the principal amount of the repurchase transaction, including accrued interest, at all times. If the counterparty defaults, and the fair value of the collateral declines, realization of the collateral may be delayed or limited.
Zero Coupon Securities
Each Fund is authorized to invest in zero coupon securities. A zero coupon security does not pay a regular interest coupon to its holders during the life of the security. Income to the holder of the security comes from accretion of the difference between the original purchase price of the security at issuance and the par value of the security at maturity and is effectively paid at maturity. The market prices of zero coupon securities generally are more volatile than the market prices of securities that pay interest periodically.
Custodian Fee Credit
Each Fund has an arrangement with the custodian bank whereby certain custodian fees and expenses are reduced by net credits earned on each Fund's cash on deposit with the bank. Such deposit arrangements are an alternative to overnight investments. Credits for cash balances may be offset by charges for any days on which a Fund overdraws its account at the custodian bank.
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Indemnifications
Under the Funds' organizational documents, their officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Funds enter into contracts that provide general indemnifications to other parties. The Funds' maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote.
Use of Estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets applicable to Common shares from operations during the reporting period. Actual results may differ from those estimates.
2. Fair Value Measurements
In determining the fair value of each Fund's investments, various inputs are used. These inputs are summarized in the three broad levels listed below:
Level 1 – Quoted prices in active markets for identical securities.
Level 2 – Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3 – Significant unobservable inputs (including management's assumptions in determining the fair value of investments).
The inputs or methodologies used for valuing securities are not an indication of the risk associated with investing in those securities. The following is a summary of each Fund's fair value measurements as of December 31, 2010:
| Multi-Strategy Income and Growth (JPC) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
| Investments: | |||||||||||||||||||
| Common Stocks* | $ | 329,740,543 | $ | 2,977,850 | $ | — | $ | 332,718,393 | |||||||||||
| Convertible Preferred Securities | 9,578,121 | 8,349,738 | — | 17,927,859 | |||||||||||||||
| $25 Par (or similar) Preferred Securities | 275,409,573 | 17,314,592 | — | 292,724,165 | |||||||||||||||
| Variable Rate Senior Loan Interests | — | 60,590,044 | — | 60,590,044 | |||||||||||||||
| Convertible Bonds | — | 97,261,451 | — | 97,261,451 | |||||||||||||||
| Corporate Bonds | — | 110,259,358 | 3,657,866 | 113,917,224 | |||||||||||||||
| Capital Preferred Securities | — | 237,725,664 | — | 237,725,664 | |||||||||||||||
| Investment Companies | 12,470,843 | — | — | 12,470,843 | |||||||||||||||
| Rights | 43,680 | — | — | 43,680 | |||||||||||||||
| Short-Term Investments | — | 48,368,865 | — | 48,368,865 | |||||||||||||||
| Common Stocks Sold Short | (5,294,680 | ) | — | — | (5,294,680 | ) | |||||||||||||
| Derivatives: | |||||||||||||||||||
| Put Options Purchased | 38,695 | — | — | 38,695 | |||||||||||||||
| Call Options Written | (6,426,142 | ) | — | — | (6,426,142 | ) | |||||||||||||
| Total | $ | 615,560,633 | $ | 582,847,562 | $ | 3,657,866 | $ | 1,202,066,061 | |||||||||||
| Multi-Strategy Income and Growth 2 (JQC) | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
| Investments: | |||||||||||||||||||
| Common Stocks* | $ | 491,785,141 | $ | 4,683,858 | $ | — | $ | 496,468,999 | |||||||||||
| Convertible Preferred Securities | 13,484,999 | 14,600,372 | — | 28,085,371 | |||||||||||||||
| $25 Par (or similar) Preferred Securities | 437,680,991 | 19,824,105 | — | 457,505,096 | |||||||||||||||
| Variable Rate Senior Loan Interests | — | 81,048,074 | — | 81,048,074 | |||||||||||||||
| Convertible Bonds | — | 137,797,871 | — | 137,797,871 | |||||||||||||||
| Corporate Bonds | — | 154,457,794 | 5,140,906 | 159,598,700 | |||||||||||||||
| Capital Preferred Securities | — | 337,277,336 | — | 337,277,336 | |||||||||||||||
| Investment Companies | 25,237,457 | — | — | 25,237,457 | |||||||||||||||
| Rights | 67,200 | — | — | 67,200 | |||||||||||||||
| Short-Term Investments | — | 69,031,113 | — | 69,031,113 | |||||||||||||||
| Common Stocks Sold Short | (7,775,183 | ) | — | — | (7,775,183 | ) | |||||||||||||
| Derivatives: | |||||||||||||||||||
| Put Options Purchased | 68,125 | — | — | 68,125 | |||||||||||||||
| Call Options Written | (10,214,938 | ) | — | — | (10,214,938 | ) | |||||||||||||
| Total | $ | 950,333,792 | $ | 818,720,523 | $ | 5,140,906 | $ | 1,774,195,221 | |||||||||||
* Refer to the Fund's Portfolio of Investments for industry breakdown of Common Stocks classified as Level 2.
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Notes to
FINANCIAL STATEMENTS (continued)
The following is a reconciliation of each Fund's Level 3 investments held at the beginning and end of the measurement period:
| Multi-Strategy Income and Growth (JPC) | Level 3 Corporate Bonds | Level 3 Warrants | Level 3 Total | ||||||||||||
| Balance at the beginning of year | $ | 3,348,500 | $ | 6,725 | $ | 3,355,225 | |||||||||
| Gains (losses): | |||||||||||||||
| Net realized gains (losses) | — | 1,206 | 1,206 | ||||||||||||
| Net change in unrealized appreciation (depreciation) | 253,490 | (6,725 | ) | 246,765 | |||||||||||
| Purchases at cost | — | — | — | ||||||||||||
| Sales at proceeds | — | (1,206 | ) | (1,206 | ) | ||||||||||
| Net discounts (premiums) | 55,678 | — | 55,678 | ||||||||||||
| Transfers in to | 198 | — | 198 | ||||||||||||
| Transfers out of | — | — | — | ||||||||||||
| Balance at the end of year | $ | 3,657,866 | $ | — | $ | 3,657,866 | |||||||||
| Net change in unrealized appreciation (depreciation) during the fiscal year of Level 3 securities held as of December 31, 2010 | $ | 225,186 | $ | — | $ | 225,186 | |||||||||
| Multi-Strategy Income and Growth 2 (JQC) | Level 3 Corporate Bonds | Level 3 Warrants | Level 3 Total | ||||||||||||
| Balance at the beginning of year | $ | 4,706,000 | $ | 9,918 | $ | 4,715,918 | |||||||||
| Gains (losses): | |||||||||||||||
| Net realized gains (losses) | — | 1,779 | 1,779 | ||||||||||||
| Net change in unrealized appreciation (depreciation) | 356,256 | (9,918 | ) | 346,338 | |||||||||||
| Purchases at cost | — | — | — | ||||||||||||
| Sales at proceeds | — | (1,779 | ) | (1,779 | ) | ||||||||||
| Net discounts (premiums) | 78,250 | — | 78,250 | ||||||||||||
| Transfers in to | 400 | — | 400 | ||||||||||||
| Transfers out of | — | — | — | ||||||||||||
| Balance at the end of year | $ | 5,140,906 | $ | — | $ | 5,140,906 | |||||||||
| Net change in unrealized appreciation (depreciation) during the fiscal year of Level 3 securities held as of December 31, 2010 | $ | 307,522 | $ | — | $ | 307,522 | |||||||||
During the fiscal year ended December 31, 2010, the Funds recognized no significant transfers to/from Level 1 or Level 2. Transfers in and/or out of Level 3 are shown using end of period values.
3. Derivative Instruments and Hedging Activities
The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds' investments in derivatives may represent economic hedges, they are not considered to be hedge transactions for financial reporting purposes. For additional information on the derivative instruments in which the Funds were invested during and at the end of the reporting period, refer to the Portfolios of Investments, Financial Statements and Footnote 1 – General Information and Significant Accounting Policies.
The following tables present the fair value of all derivative instruments held by the Funds as of December 31, 2010, the location of these instruments on the Statement of Assets and Liabilities, and the primary underlying risk exposure.
Multi-Strategy Income and Growth (JPC)
| Location on the Statement of Assets and Liabilities | |||||||||||||||||||||||
| Underlying | Derivative | Asset Derivatives | Liability Derivatives | ||||||||||||||||||||
| Risk Exposure | Instrument | Location | Value | Location | Value | ||||||||||||||||||
| Equity Price | Options | Put options purchased, at value | $ | 38,695 | Call options written, at value | $ | 6,426,142 | ||||||||||||||||
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Multi-Strategy Income and Growth 2 (JQC)
| Location on the Statement of Assets and Liabilities | |||||||||||||||||||||||
| Underlying | Derivative | Asset Derivatives | Liability Derivatives | ||||||||||||||||||||
| Risk Exposure | Instrument | Location | Value | Location | Value | ||||||||||||||||||
| Equity Price | Options | Put options purchased, at value | $ | 68,125 | Call options written, at value | $ | 10,214,938 | ||||||||||||||||
The following tables present the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized for the fiscal year ended December 31, 2010, on derivative instruments, as well as the primary risk exposure associated with each.
| Net Realized Gain (Loss) from Call Options Written | Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | |||||||||
| Risk Exposure | |||||||||||
| Equity Price | $ | 5,739,320 | $ | 8,855,989 | |||||||
| Change in Net Unrealized Appreciation (Depreciation) of Call Options Written | Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | |||||||||
| Risk Exposure | |||||||||||
| Equity Price | $ | 430,714 | $ | 79,481 | |||||||
| Change in Net Unrealized Appreciation (Depreciation) of Put Options Purchased | Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | |||||||||
| Risk Exposure | |||||||||||
| Equity Price | $ | (120,266 | ) | $ | (211,736 | ) | |||||
4. Fund Shares
Common Shares
Transactions in Common shares were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||||||||||
| Year Ended 12/31/10 | Year Ended 12/31/09 | Year Ended 12/31/10 | Year Ended 12/31/09 | ||||||||||||||||
| Common shares repurchased and retired | (485,500 | ) | (1,326,650 | ) | (999,820 | ) | (1,655,075 | ) | |||||||||||
| Weighted average: | |||||||||||||||||||
| Price per Common share repurchased and retired | $ | 7.77 | $ | 6.72 | $ | 8.18 | $ | 7.03 | |||||||||||
| Discount per Common share repurchased and retired | 14.20 | % | 16.86 | % | 14.30 | % | 17.24 | % | |||||||||||
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Notes to
FINANCIAL STATEMENTS (continued)
FundPreferred Shares
Transactions in FundPreferred shares were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||||||||||||||||||||||||||
| Year Ended 12/31/10 | Year Ended 12/31/09 | Year Ended 12/31/10 | Year Ended 12/31/09 | ||||||||||||||||||||||||||||||||
| Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||
| FundPreferred shares redeemed: | |||||||||||||||||||||||||||||||||||
| Series M | N/A | N/A | 791 | $ | 19,775,000 | N/A | N/A | 663 | $ | 16,575,000 | |||||||||||||||||||||||||
| Series M2 | N/A | N/A | — | — | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Series T | N/A | N/A | 791 | 19,775,000 | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Series T2 | N/A | N/A | — | — | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Series W | N/A | N/A | 791 | 19,775,000 | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Series W2 | N/A | N/A | — | — | N/A | N/A | 664 | 16,600,000 | |||||||||||||||||||||||||||
| Series TH | N/A | N/A | 791 | 19,775,000 | N/A | N/A | 664 | 16,600,000 | |||||||||||||||||||||||||||
| Series TH2 | N/A | N/A | — | — | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Series F | N/A | N/A | 791 | 19,775,000 | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Series F2 | N/A | N/A | 791 | 19,775,000 | N/A | N/A | 663 | 16,575,000 | |||||||||||||||||||||||||||
| Total | N/A | N/A | 4,746 | $ | 118,650,000 | N/A | N/A | 6,632 | $ | 165,800,000 | |||||||||||||||||||||||||
N/A—Multi-Strategy Income and Growth (JPC) and Multi-Strategy Income and Growth 2 (JQC) redeemed all $708,000,000 and $965,000,000 of their outstanding Fund-Preferred shares, respectively, as of December 31, 2009.
5. Investment Transactions
Purchases and sales (including maturities and proceeds from securities sold short, but excluding short-term investments and derivative transactions) during the fiscal year ended December 31, 2010, were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Purchases | $ | 550,460,669 | $ | 810,082,084 | |||||||
| Sales, maturities and proceeds from securities sold short | 591,459,955 | 863,224,063 | |||||||||
Transactions in call options written during the fiscal year ended December 31, 2010, were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||||||||||
| Number of Contracts | Premiums Received | Number of Contracts | Premiums Received | ||||||||||||||||
| Outstanding, beginning of year | 20,241 | $ | 3,657,228 | 31,006 | $ | 5,757,622 | |||||||||||||
| Call options written | 34,478 | 8,165,862 | 52,762 | 12,418,571 | |||||||||||||||
| Call options terminated in closing purchase transactions | (4,148 | ) | (1,247,575 | ) | (6,353 | ) | (1,909,714 | ) | |||||||||||
| Call options exercised | (22,333 | ) | (4,221,191 | ) | (33,840 | ) | (6,565,158 | ) | |||||||||||
| Call options expired | (7,234 | ) | (1,497,575 | ) | (10,830 | ) | (2,250,065 | ) | |||||||||||
| Outstanding, end of year | 21,004 | $ | 4,856,749 | 32,745 | $ | 7,451,256 | |||||||||||||
6. Income Tax Information
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to the treatment of paydown gains and losses, recognition of premium amortization, timing differences in the recognition of income on real estate investment trust ("REIT") investments and timing differences in recognizing
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certain gains and losses on investment transactions. 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 net asset values of the Funds.
At December 31, 2010, the cost and unrealized appreciation (depreciation) of investments (excluding common stocks sold short and investments in derivatives), as determined on a federal income tax basis, were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Cost of investments | $ | 1,166,268,483 | $ | 1,724,326,121 | |||||||
| Gross unrealized: | |||||||||||
| Appreciation | $ | 98,960,847 | $ | 153,336,609 | |||||||
| Depreciation | (51,481,142 | ) | (85,545,513 | ) | |||||||
| Net unrealized appreciation (depreciation) of investments | $ | 47,479,705 | $ | 67,791,096 | |||||||
Permanent differences, primarily due to complex securities character adjustments, adjustments for REITs, adjustments for passive foreign investment companies "PFIC", foreign currency reclasses, and return of capital distributions resulted in reclassifications among the Funds' components of Common share net assets at December 31, 2010, the Funds' tax year end, as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Paid-in-surplus | $ | (10,387,911 | ) | $ | (12,996,332 | ) | |||||
| Undistributed (Over-distribution of) net investment income | 20,454,334 | 27,404,533 | |||||||||
| Accumulated net realized gain (loss) | (10,066,423 | ) | (14,408,201 | ) | |||||||
The tax components of undistributed net ordinary income and net long-term capital gains at December 31, 2010, the Funds' tax year end, were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Undistributed net ordinary income * | $ | — | $ | — | |||||||
| Undistributed net long-term capital gains | — | — | |||||||||
* Net ordinary income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any.
The tax character of distributions paid during the Funds' tax years ended December 31, 2010 and December 31, 2009, was designated for purposes of the dividends paid deduction as follows:
| 2010 | Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | |||||||||
| Distributions from net ordinary income * | $ | 55,633,444 | $ | 82,345,674 | |||||||
| Distributions from net long-term capital gains | — | — | |||||||||
| Return of capital | 10,876,168 | 13,885,777 | |||||||||
| 2009 | Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | |||||||||
| Distributions from net ordinary income * | $ | 59,681,788 | $ | 90,017,592 | |||||||
| Distributions from net long-term capital gains | — | — | |||||||||
| Return of capital | 2,458,931 | 165,530 | |||||||||
* Net ordinary income consists of net taxable income derived from dividends, interest, and net short-term capital gains, if any.
At December 31, 2010, the Funds' tax year end, the Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Expiration: | |||||||||||
| December 31, 2016 | $ | 215,894,596 | $ | 268,355,995 | |||||||
| December 31, 2017 | 204,895,930 | 289,143,715 | |||||||||
| December 31, 2018 | 9,385,427 | 8,513,146 | |||||||||
| Total | $ | 430,175,953 | $ | 566,012,856 | |||||||
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Notes to
FINANCIAL STATEMENTS (continued)
The Funds have elected to defer net realized losses from investments incurred from November 1, 2010 through December 31, 2010, the Funds' tax year end, ("post-October losses") in accordance with federal income tax regulations. The following post-October losses are treated as having arisen on the first day of the following fiscal year:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Post-October currency and PFIC losses | $ | 251,072 | $ | 359,316 | |||||||
7. Management Fees and Other Transactions with Affiliates
Each Fund's management fee consists of two components — a fund-level fee, based only on the amount of assets within the Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables Fund shareholders to benefit from growth in the assets within their Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
The annual fund-level fee for each Fund, payable monthly, is calculated according to the following schedule:
| Average Daily Managed Assets* | Fund-Level Fee Rate | ||||||
| For the first $500 million | .7000 | % | |||||
| For the next $500 million | .6750 | ||||||
| For the next $500 million | .6500 | ||||||
| For the next $500 million | .6250 | ||||||
| For managed assets over $2 billion | .6000 | ||||||
The annual complex-level fee for each Fund, payable monthly, is calculated according to the following schedule:
| Complex-Level Managed Asset Breakpoint Level* | Effective Rate at Breakpoint Level | ||||||
| $55 billion | .2000 | % | |||||
| $56 billion | .1996 | ||||||
| $57 billion | .1989 | ||||||
| $60 billion | .1961 | ||||||
| $63 billion | .1931 | ||||||
| $66 billion | .1900 | ||||||
| $71 billion | .1851 | ||||||
| $76 billion | .1806 | ||||||
| $80 billion | .1773 | ||||||
| $91 billion | .1691 | ||||||
| $125 billion | .1599 | ||||||
| $200 billion | .1505 | ||||||
| $250 billion | .1469 | ||||||
| $300 billion | .1445 | ||||||
* For the fund-level and complex-level fees, managed assets include closed-end fund assets managed by the Adviser that are attributable to financial leverage. For these purposes, financial leverage includes the funds' use of preferred stock and borrowings and certain investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust's issuance of floating rate securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining managed assets in certain circumstances. The complex-level fee is calculated based upon the aggregate daily managed assets of all Nuveen funds that constitute "eligible assets." Eligible assets do not include assets attributable to investments in other Nuveen funds and assets in excess of $2 billion added to the Nuveen Fund complex in connection with the Adviser's assumption of the management of the former First American Funds effective January 1, 2011. As of December 31, 2010, the complex-level fee rate was .1831%.
The management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Adviser is responsible for the overall investment strategy and asset allocation decisions. The Adviser has entered into Sub-Advisory Agreements with Spectrum Asset Management, Inc. ("Spectrum"), Symphony Asset Management, LLC ("Symphony") and Tradewinds Global Investors, LLC ("Tradewinds"). Symphony and Tradewinds are both subsidiaries of Nuveen. Spectrum manages the portion of the Funds' investment portfolios allocated to preferred securities. Symphony manages the portion of the
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Funds' investment portfolios allocated to debt securities and certain equity investments. Tradewinds manages the portion of the Funds' investment portfolios allocated to global equities, common stocks sold short and options strategies. Each sub-adviser is compensated for its services to the Funds from the management fees paid to the Adviser. Spectrum also receives compensation on certain portfolio transactions for providing brokerage services to the Funds.
The Funds pay no compensation directly to those of its trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Board of Trustees has adopted a deferred compensation plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen advised funds. Under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of select Nuveen advised funds.
For the first eight years of Multi-Strategy Income and Growth's (JPC) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily managed assets, for fees and expenses in the amounts and for the time periods set forth below:
| Year Ending March 31, | Year Ending March 31, | ||||||||||||||
| 2003 | * | .32 | % | 2008 | .32 | % | |||||||||
| 2004 | .32 | 2009 | .24 | ||||||||||||
| 2005 | .32 | 2010 | .16 | ||||||||||||
| 2006 | .32 | 2011 | .08 | ||||||||||||
| 2007 | .32 | ||||||||||||||
* From the commencement of operations.
The Adviser has not agreed to reimburse Multi-Strategy Income and Growth (JPC) for any portion of its fees and expenses beyond March 31, 2011.
For the first eight years of Multi-Strategy Income and Growth 2's (JQC) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily managed assets, for fees and expenses in the amounts and for the time periods set forth below:
| Year Ending June 30, | Year Ending June 30, | ||||||||||||||
| 2003 | * | .32 | % | 2008 | .32 | % | |||||||||
| 2004 | .32 | 2009 | .24 | ||||||||||||
| 2005 | .32 | 2010 | .16 | ||||||||||||
| 2006 | .32 | 2011 | .08 | ||||||||||||
| 2007 | .32 | ||||||||||||||
* From the commencement of operations.
The Adviser has not agreed to reimburse Multi-Strategy Income and Growth 2 (JQC) for any portion of its fees and expenses beyond June 30, 2011.
8. Senior Loan Commitments
Unfunded Commitments
Pursuant to the terms of certain of the variable rate senior loan agreements, each Fund may have unfunded senior loan commitments. Each Fund will maintain with its custodian, cash, liquid securities and/or liquid senior loans having an aggregate value at least equal to the amount of unfunded senior loan commitments. At December 31, 2010, Multi-Strategy Income and Growth (JPC) and Multi-Strategy Income and Growth 2 (JQC) had no unfunded senior loan commitments.
Participation Commitments
With respect to the senior loans held in each Fund's portfolio, the Funds may: 1) invest in assignments; 2) act as a participant in primary lending syndicates; or 3) invest in participations. If a Fund purchases a participation of a senior loan interest, a Fund would typically enter into a contractual agreement with the lender or other third party selling the participation, rather than directly with the borrower. As such, the Fund not only assumes the credit risk of the borrower, but also that of the selling participant or other persons interpositioned between the Fund and the borrower. At December 31, 2010, there were no such outstanding participation commitments in either Fund.
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Notes to
FINANCIAL STATEMENTS (continued)
9. Borrowing Arrangements
Each Fund has entered into prime brokerage facilities with BNP Paribas Prime Brokerage, Inc. ("BNP") as a means of financial leverage. Each Fund's maximum commitment amount under these borrowings is as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Maximum commitment amount | 270,000,000 | 400,000,000 | |||||||||
As of December 31, 2010, each Fund's outstanding balance on its borrowings was as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Outstanding borrowings | 270,000,000 | 400,000,000 | |||||||||
During the fiscal year ended December 31, 2010, the average daily balance outstanding and average annual interest rate on each Fund's borrowings were as follows:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Average daily balance outstanding | 270,000,000 | 400,000,000 | |||||||||
| Average annual interest rate | 1.29 | % | 1.29 | % | |||||||
In order to maintain these borrowing facilities, the Funds must meet certain collateral, asset coverage and other requirements. Borrowings outstanding are fully secured by securities held in each Fund's portfolio of investments. Interest is charged on these borrowings for each Fund at 3-Month London Inter-Bank Offered Rate (LIBOR) plus .95% on the amounts borrowed and .50% on the undrawn balance.
Borrowings outstanding are recognized as "Borrowings" on the Statement of Assets and Liabilities. Interest expense incurred on each Fund's borrowed amount and undrawn balance is recognized as "Interest expense on borrowings" on the Statement of Operations.
On January 19, 2011, each Fund amended its prime brokerage facility with BNP. Each Fund's maximum commitment amount increased to the following:
| Multi-Strategy Income and Growth (JPC) | Multi-Strategy Income and Growth 2 (JQC) | ||||||||||
| Maximum commitment amount | 290,000,000 | 430,000,000 | |||||||||
Each Fund also incurred a one-time .25% amendment fee on the increased amount. All other terms remain unchanged.
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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 Members of the Funds. The number of board members of the Fund is currently set at ten. None of the board members 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 board members 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, Birthdate and 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: | |||||||||||||||||||
| g ROBERT P. BREMNER(2) | |||||||||||||||||||
| 8/22/40 333 W. Wacker Drive Chicago, IL 60606 | Chairman of the Board and Board Member | 1996 Class III | Private Investor and Management Consultant; Treasurer and Director, Humanities Council of Washington, D.C.; Board Member, Independent Directors Council affiliated with the Investment Company Institute. | 244 | |||||||||||||||
| g JACK B. EVANS | |||||||||||||||||||
| 10/22/48 333 W. Wacker Drive Chicago, IL 60606 | 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; President Pro Tem of the Board of Regents for the State of Iowa University System; Director, Gazette Companies; Life Trustee of Coe College and the Iowa College Foundation; formerly, Director, Alliant Energy; formerly, Director, Federal Reserve Bank of Chicago; formerly, President and Chief Operating Officer, SCI Financial Group, Inc., a regional financial services firm. | 244 | |||||||||||||||
| g WILLIAM C. HUNTER | |||||||||||||||||||
| 3/6/48 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 2004 Class I | Dean, Tippie College of Business, University of Iowa (since 2006); Director (since 2004) of Xerox Corporation; Director (since 2005), Beta Gamma Sigma International 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. | 244 | |||||||||||||||
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Board Members & Officers (Unaudited) (continued)
| Name, Birthdate and 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): | |||||||||||||||||||
| g DAVID J. KUNDERT(2) | |||||||||||||||||||
| 10/28/42 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 2005 Class II | Director, Northwestern Mutual Wealth Management Company; retired (since 2004) as Chairman, JPMorgan Fleming Asset Management, President and CEO, Banc One Investment Advisors Corporation, and President, One Group Mutual Funds; prior thereto, Executive Vice President, Banc One Corporation and Chairman and CEO, Banc One Investment Management Group; Member, Board of Regents, Luther College; member of the Wisconsin Bar Association; member of Board of Directors, Friends of Boerner Botanical Gardens; member of Board of Directors and chair of Investment Committee, Greater Milwaukee Foundation. | 244 | |||||||||||||||
| g WILLIAM J. SCHNEIDER(2) | |||||||||||||||||||
| 9/24/44 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 1997 Class III | Chairman of Miller-Valentine Partners Ltd., a real estate investment company; formerly, Senior Partner and Chief Operating Officer (retired 2004) of Miller- Valentine Group; member, University of Dayton Business School Advisory Council; member, Mid-America Health System board; formerly, member and chair, Dayton Philharmonic Orchestra Association; formerly, member, Business Advisory Council, Cleveland Federal Reserve Bank. | 244 | |||||||||||||||
| g JUDITH M. STOCKDALE | |||||||||||||||||||
| 12/29/47 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 1997 Class I | Executive Director, Gaylord and Dorothy Donnelley Foundation (since 1994); prior thereto, Executive Director, Great Lakes Protection Fund (1990-1994). | 244 | |||||||||||||||
| g CAROLE E. STONE(2) | |||||||||||||||||||
| 6/28/47 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 2007 Class I | Director, Chicago Board Options Exchange (since 2006); Director, C2 Options Exchange, Incorporated (since 2009); formerly, Commissioner, New York State Commission on Public Authority Reform (2005-2010); formerly, Chair, New York Racing Association Oversight Board (2005-2007). | 244 | |||||||||||||||
| g VIRGINIA L. STRINGER | |||||||||||||||||||
| 8/16/44 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 2011 | Board Member, Mutual Fund Directors Forum; Member, Governing Board, Investment Company Institute's Independent Directors Council; governance consultant and non-profit board member; former Owner and President, Stragetic Management Resources, Inc. a management consulting firm; previously, held several executive positions in general management, marketing and human resources at IBM and The Pillsbury Company; Independent Director, First American Fund Complex (1987-2010) and Chair (1997-2010). | 244 | |||||||||||||||
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| Name, Birthdate and 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): | |||||||||||||||||||
| g TERENCE J. TOTH(2) | |||||||||||||||||||
| 9/29/59 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 2008 Class II | Director, Legal & General Investment Management America, Inc. (since 2008); Managing Partner, Promus Capital (since 2008); formerly, CEO and President, Northern Trust Investments (2004-2007); Executive Vice President, Quantitative Management & Securities Lending (2004-2007); prior thereto, various positions with Northern Trust Company (since 1994); member: Goodman Theatre Board (since 2004); Chicago Fellowship Boards (since 2005), University of Illinois Leadership Council Board (since 2007) and Catalyst Schools of Chicago Board (since 2008); formerly, member: Northern Trust Mutual Funds Board (2005-2007), Northern Trust 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). | 244 | |||||||||||||||
| INTERESTED BOARD MEMBER: | |||||||||||||||||||
| g JOHN P. AMBOIAN(2) | |||||||||||||||||||
| 6/14/61 333 W. Wacker Drive Chicago, IL 60606 | Board Member | 2008 Class II | Chief Executive Officer and Chairman (since 2007) and Director (since 1999) of Nuveen Investments, Inc.; Chief Executive Officer (since 2007) of Nuveen Investments Advisors, Inc.; Director (since 1998) formerly, Chief Executive Officer (2007-2010) of Nuveen Fund Advisors, Inc. | 244 | |||||||||||||||
| Name, Birthdate and Address | Position(s) Held with the Funds | Year First Elected or Appointed(3) | Principal Occupation(s) During Past 5 Years | Number of Portfolios in Fund Complex Overseen by Officer | |||||||||||||||
| OFFICERS of the FUNDS: | |||||||||||||||||||
| g GIFFORD R. ZIMMERMAN | |||||||||||||||||||
| 9/9/56 333 W. Wacker Drive Chicago, IL 60606 | Chief Administrative Officer | 1988 | Managing Director (since 2002), Assistant Secretary and Associate General Counsel of Nuveen Investments 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, Inc.; Managing Director, Assistant Secretary and Associate General Counsel of Nuveen Asset Management, LLC (since 2011); Managing Director, Associate General Counsel and Assistant Secretary, of Symphony Asset Management LLC, (since 2003); Vice President and Assistant Secretary of NWQ Investment Management Company, LLC (since 2002), Nuveen Investments Advisers Inc. (since 2002), Tradewinds Global Investors LLC, and Santa Barbara Asset Management, LLC (since 2006), Nuveen HydePark Group LLC and Nuveen Investment Solutions, Inc. (since 2007) and of Winslow Capital Management Inc. (since 2010); Chief Administrative Officer and Chief Compliance Officer (since 2010) of Nuveen Commodities Asset Management, LLC; Chartered Financial Analyst. | 244 | |||||||||||||||
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Board Members & Officers (Unaudited) (continued)
| Name, Birthdate and Address | Position(s) Held with the Funds | Year First Elected or Appointed(3) | Principal Occupation(s) During Past 5 Years | Number of Portfolios in Fund Complex Overseen by Officer | |||||||||||||||
| OFFICERS of the FUNDS (continued): | |||||||||||||||||||
| g WILLIAM ADAMS IV | |||||||||||||||||||
| 6/9/55 333 W. Wacker Drive Chicago, IL 60606 | Vice President | 2007 | Senior Executive Vice President, Global Structured Products (since 2010), formerly, Executive Vice President (1999-2010) of Nuveen Investments, LLC; Co-President of Nuveen Fund Advisors, Inc. (since 2011); Managing Director (since 2010) of Nuveen Commodities Asset Management, LLC. | 131 | |||||||||||||||
| g MARGO L. COOK | |||||||||||||||||||
| 4/11/64 333 W. Wacker Drive Chicago, IL 60606 | Vice President | 2009 | Executive Vice President (since 2008) of Nuveen Investments, Inc. and of Nuveen Fund Advisors, Inc. (since 2011); previously, Head of Institutional Asset Management (2007-2008) of Bear Stearns Asset Management; Head of Institutional Asset Mgt (1986-2007) of Bank of NY Mellon; Chartered Financial Analyst. | 244 | |||||||||||||||
| g LORNA C. FERGUSON | |||||||||||||||||||
| 10/24/45 333 W. Wacker Drive Chicago, IL 60606 | Vice President | 1998 | Managing Director (since 2004) of Nuveen Investments, LLC and Managing Director (since 2005) of Nuveen Fund Advisors, Inc. | 244 | |||||||||||||||
| g STEPHEN D. FOY | |||||||||||||||||||
| 5/31/54 333 W. Wacker Drive Chicago, IL 60606 | Vice President and Controller | 1998 | Senior Vice President (since 2010), formerly, Vice President (1993-2010) and Funds Controller (since 1998) of Nuveen Investments, LLC; Senior Vice President (since 2010), formerly, Vice President (2005-2010) of Nuveen Fund Advisors, Inc.; Certified Public Accountant. | 244 | |||||||||||||||
| g SCOTT S. GRACE | |||||||||||||||||||
| 8/20/70 333 W. Wacker Drive Chicago, IL 60606 | Vice President and Treasurer | 2009 | Managing Director, Corporate Finance & Development, Treasurer (since 2009) of Nuveen Investments, LLC; Managing Director and Treasurer (since 2009) of Nuveen Fund Advisors, Inc., Nuveen Investment Solutions, Inc., Nuveen Investments Advisers, Inc. and Nuveen Investments Holdings Inc. and (since 2011) Nuveen Asset Management, LLC; Vice President and Treasurer of NWQ Investment Management Company, LLC, Tradewinds Global Investors, LLC, Symphony Asset Management LLC and Winslow Capital Management, Inc.; Vice President of Santa Barbara Asset Management, LLC; formerly, Treasurer (2006-2009), Senior Vice President (2008-2009), previously, Vice President (2006-2008) of Janus Capital Group, Inc.; formerly, Senior Associate in Morgan Stanley's Global Financial Services Group (2000-2003); Chartered Accountant Designation. | 244 | |||||||||||||||
| g WALTER M. KELLY | |||||||||||||||||||
| 2/24/70 333 W. Wacker Drive Chicago, IL 60606 | Chief Compliance Officer and Vice President | 2003 | Senior Vice President (since 2008), Vice President (2006-2008) of Nuveen Investments, LLC; Senior Vice President (since 2008) and Assistant Secretary (since 2008) of Nuveen Fund Advisors, Inc. | 244 | |||||||||||||||
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| Name, Birthdate and Address | Position(s) Held with the Funds | Year First Elected or Appointed(3) | Principal Occupation(s) During Past 5 Years | Number of Portfolios in Fund Complex Overseen by Officer | |||||||||||||||
| OFFICERS of the FUNDS (continued): | |||||||||||||||||||
| g TINA M. LAZAR | |||||||||||||||||||
| 8/27/61 333 W. Wacker Drive Chicago, IL 60606 | Vice President | 2002 | Senior Vice President (since 2009), formerly, Vice President of Nuveen Investments, LLC (1999-2009); Senior Vice President (since 2010), formerly, Vice President (2005-2010) of Nuveen Fund Advisors, Inc. | 244 | |||||||||||||||
| g LARRY W. MARTIN | |||||||||||||||||||
| 7/27/51 333 W. Wacker Drive Chicago, IL 60606 | Vice President and Assistant Secretary | 1997 | Senior Vice President (since 2010), formerly, Vice President (1993-2010), Assistant Secretary and Assistant General Counsel of Nuveen Investments, LLC; Senior Vice President (since 2011) of Nuveen Asset Management, LLC: Senior Vice President (since 2010), formerly, Vice President (2005-2010), and Assistant Secretary of Nuveen Investments, Inc.; Senior Vice President (since 2010), formerly Vice President (2005-2010), and Assistant Secretary (since 1997) of Nuveen Fund Advisors, Inc., Vice President and Assistant Secretary of Nuveen Investments Advisers Inc. (since 2002), NWQ Investment Management Company, LLC, Symphony Asset Management, LLC (since 2003), Tradewinds Global Investors, LLC, Santa Barbara Asset Management LLC (since 2006), Nuveen HydePark Group, LLC and Nuveen Investment Solutions, Inc. (since 2007); Vice President and Assistant Secretary of Nuveen Commodities Asset Management, LLC (since 2010). | 244 | |||||||||||||||
| g KEVIN J. MCCARTHY | |||||||||||||||||||
| 3/26/66 333 W. Wacker Drive Chicago, IL 60606 | Vice President and Secretary | 2007 | Managing Director (since 2008), formerly, Vice President (2007-2008), Nuveen Investments, LLC; Managing Director (since 2008), Assistant Secretary (since 2007) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, Inc.; Managing Director, Assistant Secretary and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC; Managing Director (since 2008), and Assistant Secretary, Nuveen Investments Holdings, Inc.; Vice President (since 2007) and Assistant Secretary, Nuveen Investment Advisers, Inc., NWQ Investment Management Company LLC, Tradewinds Global Investors LLC, NWQ Holdings LLC, Symphony Asset Management LLC, Santa Barbara Asset Management LLC, Nuveen HydePark Group, LLC and Nuveen Investment Solutions, Inc. (since 2007) and of Winslow Capital Management, Inc. (since 2010); Vice President and Secretary (since 2010) of Nuveen Commodities Asset Management, LLC: prior thereto, Partner, Bell, Boyd & Lloyd LLP (1997-2007). | 244 | |||||||||||||||
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Board Members & Officers (Unaudited) (continued)
| Name, Birthdate and Address | Position(s) Held with the Funds | Year First Elected or Appointed(3) | Principal Occupation(s) During Past 5 Years | Number of Portfolios in Fund Complex Overseen by Officer | |||||||||||||||
| OFFICERS of the FUNDS (continued): | |||||||||||||||||||
| g KATHLEEN L. PRUDHOMME | |||||||||||||||||||
| 3/30/53 800 Nicollet Mall Minneapolis, MN 55402 | Vice President and Assistant Secretary | 2011 | Managing Director, Assistant Secretary and Co-General Counsel (since 2011) of Nuveen Fund Advisors, Inc.; Managing Director, Assistant Secretary and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC; formerly, Secretary of FASF (2004-2010); prior thereto, Assistant Secretary of FASF (1998-2004); Deputy General Counsel, FAF Advisors, Inc. (1998-2010). | 244 | |||||||||||||||
(1) Board Members serve three year terms. 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. The first year elected or appointed represents the year in which the board member was first elected or appointed to any fund in the Nuveen Complex.
(2) Also serves as a trustee of the Nuveen Diversified Commodity Fund, and exchange-traded commodity pool managed by Nuveen Commodities Asset Management, LLC, an affiliate of the Adviser.
(3) Mr. Amboian is an interested trustee because of his position with Nuveen Investments, Inc. 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.
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Annual Investment Management
Agreement Approval Process (Unaudited)
The Investment Company Act of 1940, as amended (the "1940 Act"), provides, in substance, that each investment advisory agreement between a fund and its investment adviser (including sub-advisers) will continue in effect from year to year only if its continuance is approved at least annually by the fund's board members, including by a vote of a majority of the board members who are not parties to the advisory agreement or "interested persons" of any parties (the "Independent Board Members"), cast in person at a meeting called for the purpose of considering such approval. In connection with such approvals, the fund's board members must request and evaluate, and the investment adviser is required to furnish, such information as may be reasonably necessary to evaluate the terms of the advisory agreement. Accordingly, at a meeting held on May 25-26, 2010 (the "May Meeting"), the Boards of Trustees (each, a "Board," and each Trustee, a "Board Member") of the Funds, including a majority of the Independent Board Members, considered and approved the continuation of the advisory and sub-advisory agreements for the Funds for an additional one-year period. These agreements include the investment advisory agreements between Nuveen Asset Management ("NAM") and each Fund and the sub-advisory agreements between NAM and Spectrum Asset Management, Inc. ("Spectrum"), NAM and Tradewinds Global Investors, LLC ("Tradewinds") and NAM and Symphony Asset Management LLC ("Symphony") (Spectrum, Tradewinds and Symphony are each a "Sub-Adviser"). In preparation for their considerations at the May Meeting, the Board also held a separate meeting on April 21-22, 2010 (the "April Meeting"). Accordingly, the factors considered and determinations made regarding the renewals by the Independent Board Members include those made at the April Meeting.
In addition, in evaluating the applicable advisory agreements (each, an "Investment Management Agreement") and sub-advisory agreements (each, a "Sub-advisory Agreement," and each Investment Management Agreement and Sub-advisory Agreement, an "Advisory Agreement"), the Independent Board Members reviewed a broad range of information relating to the Funds, NAM and the Sub-Advisers (NAM and the Sub-Advisers are each a "Fund Adviser"), including absolute and comparative performance, fee and expense information for the Funds (as described in more detail below), the profitability of Nuveen for its advisory activities (which includes its wholly owned subsidiaries), and other information regarding the organization, personnel, and services provided by the respective Fund Adviser. The Independent Board Members also met quarterly as well as at other times as the need arose during the year and took into account the information provided at such meetings and the knowledge gained therefrom. Prior to approving the renewal of the Advisory Agreements, the Independent Board Members reviewed the foregoing information with their independent legal
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Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
counsel and with management, reviewed materials from independent legal counsel describing applicable law and their duties in reviewing advisory contracts, and met with independent legal counsel in private sessions without management present. The Independent Board Members considered the legal advice provided by independent legal counsel and relied upon their knowledge of the Fund Adviser, its services and the Funds resulting from their meetings and other interactions throughout the year and their own business judgment in determining the factors to be considered in evaluating the Advisory Agreements. Each Board Member may have accorded different weight to the various factors in reaching his or her conclusions with respect to a Fund's Advisory Agreements. The Independent Board Members did not identify any single factor as all-important or controlling. The Independent Board Members' considerations were instead based on a comprehensive consideration of all the information presented. The principal factors considered by the Board and its conclusions are described below.
A. Nature, Extent and Quality of Services
In considering renewal of the Advisory Agreements, the Independent Board Members considered the nature, extent and quality of the Fund Adviser's services, including advisory services and administrative services. The Independent Board Members reviewed materials outlining, among other things, the Fund Adviser's organization and business; the types of services that the Fund Adviser or its affiliates provide and are expected to provide to the Funds; the performance record of the applicable Fund (as described in further detail below); and any initiatives Nuveen had taken for the applicable fund product line, including continued activities to refinance auction rate preferred securities, manage leverage during periods of market turbulence and implement an enhanced leverage management process, modify investment mandates in light of market conditions and seek shareholder approval as necessary, maintain the fund share repurchase program and maintain shareholder communications to keep shareholders apprised of Nuveen's efforts in refinancing preferred shares. In addition to the foregoing, the Independent Board Members also noted the additional services that NAM or its affiliates provide to closed-end funds, including, in particular, Nuveen's continued commitment to supporting the secondary market for the common shares of its closed-end funds through a variety of programs designed to raise investor and analyst awareness and understanding of closed-end funds. These efforts include maintaining an investor relations program to provide timely information and education to financial advisers and investors; providing marketing for the closed-end funds; maintaining and enhancing a closed-end fund website; participating in conferences and having direct communications with analysts and financial advisors.
As part of their review, the Independent Board Members also evaluated the background, experience and track record of the Fund Adviser's investment personnel. In this regard, the Independent Board Members considered any changes in the personnel, and the impact on the level of services provided to the Funds, if any. The Independent Board Members also reviewed information regarding portfolio manager compensation arrangements to evaluate the Fund Adviser's ability to attract and retain high quality investment personnel, preserve stability, and reward performance but not provide an incentive for taking undue risks.
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In addition to advisory services, the Independent Board Members considered the quality of administrative services provided by NAM and its affiliates including product management, fund administration, oversight of service providers, shareholder services, administration of Board relations, regulatory and portfolio compliance and legal support. Given the importance of compliance, the Independent Board Members also considered NAM's compliance program, including the report of the chief compliance officer regarding the Funds' compliance policies and procedures.
The Independent Board Members also considered NAM's oversight of the performance, business activities and compliance of the Sub-Advisers. In that regard, the Independent Board Members reviewed an evaluation of each Sub-Adviser from NAM. The evaluation also included information relating to the respective Sub-Adviser's organization, operations, personnel, assets under management, investment philosophy, strategies and techniques in managing the Funds, developments affecting each Sub-Adviser, and an analysis of each Sub-Adviser. As described in further detail below, the Board also considered the performance of the portion of the investment portfolio for which each Sub-Adviser is responsible. In addition, the Board recognized that the Sub-advisory Agreements were essentially agreements for portfolio management services only and the Sub-Advisers were not expected to supply other significant administrative services to the Funds. As part of their oversight, the Independent Board Members also continued their program of seeking to visit each sub-adviser to the Nuveen funds at least once over a multiple year rotation, meeting with key investment and business personnel. In this regard, the Independent Board Members met with Tradewinds in 2009 and 2010 and Symphony in 2010. The Independent Board Members noted that NAM recommended the renewal of the Sub-advisory Agreements and considered the basis for such recommendations.
Based on their review, the Independent Board Members found that, overall, the nature, extent and quality of services provided (and expected to be provided) to the Funds under the respective Investment Management Agreement or Sub-advisory Agreement, as applicable, were satisfactory.
B. The Investment Performance of the Funds and Fund Advisers
The Board considered the performance results of each Fund over various time periods. The Board reviewed, among other things, each Fund's historic investment performance as well as information comparing the Fund's performance information with that of other funds (the "Performance Peer Group") based on data provided by an independent provider of mutual fund data and with recognized and/or customized benchmarks. In this regard, the performance information the Board reviewed included the Fund's total return information compared to the returns of its Performance Peer Group and recognized and/or customized benchmarks for the quarter, one-, three- and five-year periods ending December 31, 2009 and for the same periods ending March 31, 2010. In addition, the Independent Board Members also reviewed, among other things, the returns of each sleeve of each Fund relative to the benchmark of such sleeve for the quarter, one- and three-year periods ending December 31, 2009 and for the same periods ending March 31, 2010. Moreover, the Board reviewed the peer ranking of the Nuveen funds sub-advised by each Sub-Adviser, respectively, in the aggregate. The Independent
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Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
Board Members also reviewed historic premium and discount levels, including a summary of actions taken to date for each Fund. This information supplemented the Fund performance information provided to the Board at each of its quarterly meetings.
In reviewing peer comparison information, the Independent Board Members recognized that the Performance Peer Group of certain funds may not adequately represent the objectives and strategies of the funds, thereby limiting the usefulness of comparing a fund's performance with that of its Performance Peer Group. In this regard, the Independent Board Members considered that the Performance Peer Groups of certain funds (including the Funds) were classified as having significant differences from such funds based on considerations such as special fund objectives, potential investable universe and the composition of the peer set (e.g., the number and size of competing funds and number of competing managers).
Based on their review, the Independent Board Members determined that each Fund's investment performance over time had been satisfactory. The Independent Board Members noted that although each Fund underperformed the performance of its respective benchmark for the three-year period, it outperformed the performance of its respective benchmark for the one-year period.
C. Fees, Expenses and Profitability
1. Fees and Expenses
The Board evaluated the management fees and expenses of each Fund reviewing, among other things, such Fund's gross management fees, net management fees and net expense ratios in absolute terms as well as compared to the fee and expenses of a comparable universe of funds based on data provided by an independent fund data provider (the "Peer Universe") and in certain cases, to a more focused subset of funds in the Peer Universe (the "Peer Group") and any expense limitations.
The Independent Board Members further reviewed the methodology regarding the construction of the applicable Peer Universe and/or Peer Group. In reviewing the comparisons of fee and expense information, the Independent Board Members took into account that in certain instances various factors such as: the asset level of a fund relative to peers; the limited size and particular composition of the Peer Universe or Peer Group; the investment objectives of the peers; expense anomalies; changes in the funds comprising the Peer Universe or Peer Group from year to year; levels of reimbursement; the timing of information used; and the differences in the type and use of leverage may impact the comparative data, thereby limiting the ability to make a meaningful comparison with peers.
In reviewing the fee schedule for a Fund, the Independent Board Members also considered the fund-level and complex-wide breakpoint schedules (described in further detail below) and any fee waivers and reimbursements provided by Nuveen (applicable, in particular, for certain closed-end funds launched since 1999). The Independent Board Members noted that each Fund had a net management fee and/or net expense ratio below the peer average of its respective Peer Group or Peer Universe.
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Based on their review of the fee and expense information provided, the Independent Board Members determined that each Fund's management fees were reasonable in light of the nature, extent and quality of services provided to the Fund.
2. Comparisons with the Fees of Other Clients
The Independent Board Members further reviewed information regarding the nature of services and fee rates offered by NAM to other clients. Such clients include separately managed accounts (both retail and institutional accounts), foreign investment funds offered by Nuveen and funds that are not offered by Nuveen but are sub-advised by one of Nuveen's investment management teams. In evaluating the comparisons of fees, the Independent Board Members noted that the fee rates charged to the Funds and other clients vary, among other things, because of the different services involved and the additional regulatory and compliance requirements associated with registered investment companies, such as the Funds. Accordingly, the Independent Board Members considered the differences in the product types, including, but not limited to, the services provided, the structure and operations, product distribution and costs thereof, portfolio investment policies, investor profiles, account sizes and regulatory requirements. The Independent Board Members noted, in particular, that the range of services provided to the Funds (as discussed above) is much more extensive than that provided to separately managed accounts. Given the inherent differences in the products, particularly the extensive services provided to the Funds, the Independent Board Members believe such facts justify the different levels of fees.
In considering the fees of the Sub-Advisers, the Independent Board Members also considered the pricing schedule or fees that the Sub-Adviser charges for similar investment management services for other fund sponsors or clients (such as retail and/or institutional managed accounts) as applicable. With respect to Symphony, the Independent Board Members also reviewed the fees it assesses for equity and taxable fixed-income hedge funds it manages, which include a performance fee. The Independent Board Members noted that with respect to Spectrum, the Sub-Adviser that is unaffiliated with Nuveen, such fees were the result of arm's-length negotiations.
3. Profitability of Fund Advisers
In conjunction with its review of fees, the Independent Board Members also considered the profitability of Nuveen for its advisory activities (which incorporated Nuveen's wholly-owned affiliated sub-advisers) and its financial condition. The Independent Board Members reviewed the revenues and expenses of Nuveen's advisory activities for the last two years, the allocation methodology used in preparing the profitability data and an analysis of the key drivers behind the changes in revenues and expenses that impacted profitability in 2009. The Independent Board Members noted this information supplemented the profitability information requested and received during the year to help keep them apprised of developments affecting profitability (such as changes in fee waivers and expense reimbursement commitments). In this regard, the Independent Board Members noted that they had also appointed an Independent Board Member as a point person to review and keep
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Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
them apprised of changes to the profitability analysis and/or methodologies during the year. The Independent Board Members also considered Nuveen's revenues for advisory activities, expenses, and profit margin compared to that of various unaffiliated management firms with similar amounts of assets under management and relatively comparable asset composition prepared by Nuveen.
In reviewing profitability, the Independent Board Members recognized the subjective nature of determining profitability which may be affected by numerous factors including the allocation of expenses. Further, the Independent Board Members recognized the difficulties in making comparisons as the profitability of other advisers generally is not publicly available and the profitability information that is available for certain advisers or management firms may not be representative of the industry and may be affected by, among other things, the adviser's particular business mix, capital costs, types of funds managed and expense allocations. Notwithstanding the foregoing, the Independent Board Members reviewed Nuveen's methodology and assumptions for allocating expenses across product lines to determine profitability. In reviewing profitability, the Independent Board Members recognized Nuveen's investment in its fund business.
Based on their review, the Independent Board Members concluded that Nuveen's level of profitability for its advisory activities was reasonable in light of the services provided. In addition, with respect to Spectrum, which is unaffiliated with Nuveen, the Independent Board Members also considered such Sub-Adviser's revenues, expenses and profitability margins (pre- and post-tax). Based on their review, the Independent Board Members were satisfied that such Sub-Adviser's level of profitability was reasonable in light of the services provided.
In evaluating the reasonableness of the compensation, the Independent Board Members also considered other amounts paid to a Fund Adviser by the Funds as well as any indirect benefits (such as soft dollar arrangements, if any) the Fund Adviser and its affiliates receive, or are expected to receive, that are directly attributable to the management of the Funds, if any. See Section E below for additional information on indirect benefits a Fund Adviser may receive as a result of its relationship with the Funds. Based on their review of the overall fee arrangements of each Fund, the Independent Board Members determined that the advisory fees and expenses of the respective Fund were reasonable.
D. Economies of Scale and Whether Fee Levels Reflect These Economies of Scale
With respect to economies of scale, the Independent Board Members have recognized the potential benefits resulting from the costs of a fund being spread over a larger asset base, although economies of scale are difficult to measure and predict with precision, particularly on a fund-by-fund basis. One method to help ensure the shareholders share in these benefits is to include breakpoints in the advisory fee schedule. Generally, management fees for funds in the Nuveen complex are comprised of a fund-level component and a complex-level component, subject to certain exceptions. Accordingly, the Independent Board Members reviewed and considered the applicable fund-level
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breakpoints in the advisory fee schedules that reduce advisory fees as asset levels increase. Further, the Independent Board Members noted that although closed-end funds may from time to time make additional share offerings, the growth of their assets will occur primarily through the appreciation of such funds' investment portfolio.
In addition to fund-level advisory fee breakpoints, the Board also considered the Funds' complex-wide fee arrangement. Pursuant to the complex-wide fee arrangement, the fees of the funds in the Nuveen complex are generally reduced as the assets in the fund complex reach certain levels. The complex-wide fee arrangement seeks to provide the benefits of economies of scale to fund shareholders when total fund complex assets increase, even if assets of a particular fund are unchanged or have decreased. The approach reflects the notion that some of Nuveen's costs are attributable to services provided to all its funds in the complex and therefore all funds benefit if these costs are spread over a larger asset base.
Based on their review, the Independent Board Members concluded that the breakpoint schedules and complex-wide fee arrangement were acceptable and reflect economies of scale to be shared with shareholders when assets under management increase.
E. Indirect Benefits
In evaluating fees, the Independent Board Members received and considered information regarding potential "fall out" or ancillary benefits the respective Fund Adviser or its affiliates may receive as a result of its relationship with each Fund. In this regard, the Independent Board Members considered any revenues received by affiliates of NAM for serving as agent at Nuveen's trading desk and as co-manager in initial public offerings of new closed-end funds.
In addition to the above, the Independent Board Members considered whether each Fund Adviser received any benefits from soft dollar arrangements whereby a portion of the commissions paid by a Fund for brokerage may be used to acquire research that may be useful to the Fund Adviser in managing the assets of the Funds and other clients. With respect to NAM, the Independent Board Members noted that NAM does not currently have any soft dollar arrangements; however, to the extent certain bona fide agency transactions that occur on markets that traditionally trade on a principal basis and riskless principal transactions are considered as generating "commissions," NAM intends to comply with the applicable safe harbor provisions.
With respect to Tradewinds, the Independent Board Members considered that such Sub-Adviser may benefit from its soft dollar arrangements pursuant to which it receives research from brokers that execute the applicable Fund's portfolio transactions. The Independent Board Members further noted that this Sub-Adviser's profitability may be lower if it were required to pay for this research with hard dollars. With respect to Spectrum, the Board noted that this Sub-Adviser does not direct trades through non-affiliated broker-dealers and therefore does not have any brokerage to provide in order to receive research or related services on a soft dollar basis. Spectrum, however, may from time to time receive research from various firms with which it transacts client business, but it has no arrangements with these firms and clients do not pay higher commissions to receive
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Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
such research. Spectrum also serves as its own broker for portfolio transactions for the Nuveen funds it advises and therefore may receive some indirect compensation. With respect to Symphony, the Board considered that Symphony currently does not enter into soft dollar arrangements; however, it has adopted a soft dollar policy in the event it does so in the future.
Based on their review, the Independent Board Members concluded that any indirect benefits received by a Fund Adviser as a result of its relationship with a Fund were reasonable and within acceptable parameters.
F. Other Considerations
The Independent Board Members did not identify any single factor discussed previously as all-important or controlling. The Board Members, including the Independent Board Members, unanimously concluded that the terms of the Investment Management Agreements and Sub-advisory Agreements are fair and reasonable, that the respective Fund Adviser's fees are reasonable in light of the services provided to each Fund and that the Investment Management Agreements and the Sub-advisory Agreements be renewed.
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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
Your 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 quarter 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 asset value, shares for your account will be purchased on the open market. If the Plan Agent begins purchasing Fund shares on the open market while shares are trading below net asset value, but the Fund's shares subsequently trade at or above their net asset value before the Plan Agent is able to complete its purchases, the Plan Agent may cease open-market purchases and may invest the uninvested portion of the distribution in newly-issued Fund shares at a price equal to the greater of the shares' net asset value or 95% of the shares' market value on the last business day immediately prior to the purchase date. 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
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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 financial 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.
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Glossary of Terms
Used in this Report
• 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.
• Beta: Beta is a measure describing the relationship between a security's return and the return of the security's asset class as a whole. Higher beta securities often show greater volatility than the general market, while lower beta securities have less perceived volatility.
• Collateralized Debt Obligations (CDOs): Collateralized debt obligations are a type of asset-backed security constructed from a portfolio of fixed-income assets. CDOs usually are divided into different tranches having different ratings and paying different interest rates. Losses, if any, are applied in reverse order of seniority and so junior tranches generally offer higher coupons to compensate for added default risk.
• Current Distribution Rate: Current distribution rate is based on the Fund's current annualized quarterly distribution divided by the Fund's current market price. The Fund's quarterly distributions to its shareholders may be comprised of ordinary income, net realized capital gains and, if at the end of the calendar year the Fund's cumulative net ordinary income and net realized gains are less than the amount of the Fund's distributions, a tax return of capital.
• Net Asset Value (NAV): A Fund's NAV per common share is calculated by subtracting the liabilities of the Fund (including any debt or preferred shares issued in order to leverage the Fund) from its total assets and then dividing the remainder by the number of common shares outstanding. Fund NAVs are calculated at the end of each business day.
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113
Notes
Nuveen Investments
114
Other Useful Information
Board of Trustees
John P. Amboian
Robert P. Bremner
Jack B. Evans
William C. Hunter
David J. Kundert
William J. Schneider
Judith M. Stockdale
Carole E. Stone
Virginia L. Stringer
Terence J. Toth
Fund Manager
Nuveen Fund Advisors, Inc.
333 West Wacker Drive
Chicago, IL 60606
Custodian
State Street Bank & Trust Company
Boston, MA
Transfer Agent and
Shareholder Services
State Street Bank & Trust Company
Nuveen Funds
P.O. Box 43071
Providence, RI 02940-3071
(800) 257-8787
Legal Counsel
Chapman and Cutler LLP
Chicago, IL
Independent Registered
Public Accounting Firm
Ernst & Young LLP
Chicago, IL
Quarterly Portfolio of Investments and Proxy Voting Information
You may obtain (i) each Fund's quarterly portfolio of investments, (ii) information regarding how each Funds voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, and (iii) a description of the policies and procedures that each Funds used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website at www.nuveen.com.
You may also obtain this and other Fund information directly from the Securities and Exchange Commission (SEC). The SEC may charge a copying fee for this information. Visit the SEC on-line at http://www.sec.gov or in person at the SEC's Public Reference Room in Washington, D.C. Call the SEC at (202) 942-8090 for room hours and operation. You may also request Fund information by sending an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public Reference Section at 100 F Street NE, Washington, D.C. 20549.
CEO Certification Disclosure
Each Fund's Chief Executive Officer has submitted to the New York Stock Exchange (NYSE) the annual CEO certification as required by Section 303A.12(a) of the NYSE Listed Company Manual.
Each Fund has filed with the SEC the certification of its Chief Executive Officer and Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act.
Distribution Information
The following federal income tax information is provided with respect to the Funds' distributions paid during the taxable year ended December 31, 2010. The Funds hereby designate their amounts, (or the maximum amount eligible), as dividends qualifying for the 70% dividends received deduction (DRD) for corporations and their amounts, (or the maximum amount eligible), as qualified dividend income (QDI) for individuals under Section 1(h)(11) of the Internal Revenue Code as shown in the accompanying table. The actual qualified dividend income distributions will be reported to shareholders on Form 1099-DIV which will be sent to shareholders shortly after calendar year end.
| Fund | % of DRD | % of QDI | |||||||||
| JPC | 20.14 | % | 43.75 | % | |||||||
| JQC | 17.02 | % | 44.50 | % | |||||||
Common Share Information
Each Fund intends to repurchase shares of its own common stock in the future at such times and in such amounts as is deemed advisable. During the period covered by this report, the Funds repurchased shares of their common stock as shown in the accompanying table.
| Fund | Common Shares Repurchased | ||||||
| JPC | 485,500 | ||||||
| JQC | 999,820 | ||||||
Any future repurchases will be reported to shareholders in the next annual or semi-annual report.
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Nuveen Investments:
Serving Investors for Generations
Distributed by
Nuveen Investments, LLC
333 West Wacker Drive
Chicago, IL 60606
www.nuveen.com
Since 1898, financial advisors and their clients have relied on Nuveen Investments to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality equity and fixed-income solutions designed to be integral components of a well-diversified core portfolio.
Focused on meeting investor needs.
Nuveen Investments is a global investment management firm that seeks to help secure the long-term goals of institutions and high net worth investors as well as the consultants and financial advisors who serve them. We market our growing range of specialized investment solutions under the high-quality brands of HydePark, NWQ, Nuveen Asset Management, Santa Barbara, Symphony, Tradewinds and Winslow Capital. In total, Nuveen Investments managed approximately $195 billion of assets as of December 31, 2010.
Find out how we can help you.
To learn more about how the products and services of Nuveen Investments may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen Investments, 333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: www.nuveen.com/cef
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www.investordelivery.com
If you receive your Nuveen Fund distributions and statements from your financial advisor or brokerage account.
OR
www.nuveen.com/accountaccess
If you receive your Nuveen Fund distributions and statements directly from Nuveen.
EAN-F-1210D
ITEM 2. CODE OF ETHICS.
As of the end of the period covered by this report, the registrant has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There were no amendments to or waivers from the Code during the period covered by this report. The registrant has posted the code of ethics on its website at www.nuveen.com/CEF/Info/Shareholder/. (To view the code, click on Fund Governance and then click on Code of Conduct.)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The registrant’s Board of Directors or Trustees (“Board”) determined that the registrant has at least one “audit committee financial expert” (as defined in Item 3 of Form N-CSR) serving on its Audit Committee. As of January 1, 2011, the registrant’s audit committee financial expert is Carole E. Stone, who is “independent” for purposes of Item 3 of Form N-CSR.
Ms. Stone served for five years as Director of the New York State Division of the Budget. As part of her role as Director, Ms. Stone was actively involved in overseeing the development of the State’s operating, local assistance and capital budgets, its financial plan and related documents; overseeing the development of the State’s bond-related disclosure documents and certifying that they fairly presented the State’s financial position; reviewing audits of various State and local agencies and programs; and coordinating the State’s system of internal audit and control. Prior to serving as Director, Ms Stone worked as a budget analyst/examiner with increasing levels of responsibility over a 30 year period, including approximately five years as Deputy Budget Director. Ms. Stone has also served as Chair of the New York State Racing Association Oversight Board, as Chair of the Public Authorities Control Board, as a Commissioner on the New York State Commission on Public Authority Reform and as a member of the Boards of Directors of several New York State public authorities. These positions have involved overseeing operations and finances of certain entities and assessing the adequacy of project/entity financing and financial reporting. Currently, Ms. Stone is on the Board of Directors of CBOE Holdings, Inc., of the Chicago Board Options Exchange, and of C2 Options Exchange. Ms. Stone’s position on the boards of these entities and as a member of both CBOE Holdings’ Audit Committee and its Finance Committee has involved, among other things, the oversight of audits, audit plans and preparation of financial statements.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Nuveen Multi-Strategy Income and Growth Fund
The following tables show the amount of fees that Ernst & Young LLP, the Fund’s auditor, billed to the Fund during the Fund’s last two full fiscal years. For engagements with Ernst & Young LLP the Audit Committee approved in advance all audit services and non-audit services that Ernst & Young LLP provided to the Fund, except for those non-audit services that were subject to the pre-approval exception under Rule 2-01 of Regulation S-X (the “pre-approval exception”). The pre-approval exception for services provided directly to the Fund waives the pre-approval requirement for services other than audit, review or attest services if: (A) the aggregate amount of all such services provided constitutes no more than 5% of the total amount of revenues paid by the Fund to its accountant during the fiscal year in which the services are provided; (B) the Fund did not recognize the services as non-audit services at the time of the engagement; and (C) the services are promptly brought to the Audit Committee’s attention, and the Committee (or its delegate) approves the services before the audit is completed.
The Audit Committee has delegated certain pre-approval responsibilities to its Chairman (or, in his absence, any other member of the Audit Committee).
SERVICES THAT THE FUND’S AUDITOR BILLED TO THE FUND
|
| Audit Fees Billed |
| Audit-Related Fees |
| Tax Fees |
| All Other Fees |
| ||||
Fiscal Year Ended |
| to Fund (1) |
| Billed to Fund (2) |
| Billed to Fund (3) |
| Billed to Fund (4) |
| ||||
December 31, 2010 |
| $ | 23,484 |
| $ | 0 |
| $ | 2,257 |
| $ | 0 |
|
|
|
|
|
|
|
|
|
|
| ||||
Percentage approved pursuant to pre-approval exception |
| 0 | % | 0 | % | 0 | % | 0 | % | ||||
|
|
|
|
|
|
|
|
|
| ||||
December 31, 2009 |
| $ | 23,436 |
| $ | 0 |
| $ | 3,785 |
| $ | 6,000 |
|
|
|
|
|
|
|
|
|
|
| ||||
Percentage approved pursuant to pre-approval exception |
| 0 | % | 0 | % | 0 | % | 0 | % | ||||
(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 and are not reported under “Audit Fees.”
(3) “Tax Fees” are the aggregate fees billed for professional services for tax advice, tax compliance, and tax planning.
(4) “All Other Fees” are the aggregate fees billed for products and services for agreed upon procedures engagements performed for leveraged funds.
SERVICES THAT THE FUND’S AUDITOR BILLED TO THE
ADVISER AND AFFILIATED FUND SERVICE PROVIDERS
The following tables show the amount of fees billed by Ernst & Young LLP to Nuveen Fund Advisors, Inc. (formerly Nuveen Asset Management) (the “Adviser”), and any entity controlling, controlled by or under common control with the Adviser that provides ongoing services to the Fund (“Affiliated Fund Service Provider”), for engagements directly related to the Fund’s operations and financial reporting, during the Fund’s last two full fiscal years.
The tables also show the percentage of fees subject to the pre-approval exception. The pre-approval exception for services provided to the Adviser and any Affiliated Fund Service Provider (other than audit, review or attest services) waives the pre-approval requirement if: (A) the aggregate amount of all such services provided constitutes no more than 5% of the total amount of revenues paid to Ernst & Young LLP by the Fund, the Adviser and Affiliated Fund Service Providers during the fiscal year in which the services are provided that would have to be pre-approved by the Audit Committee; (B) the Fund did not recognize the services as non-audit services at the time of the engagement; and (C) the services are promptly brought to the Audit Committee’s attention, and the Committee (or its delegate) approves the services before the Fund’s audit is completed.
|
| Audit-Related Fees |
| Tax Fees Billed to |
| All Other Fees |
| |||
|
| Billed to Adviser and |
| Adviser and |
| Billed to Adviser |
| |||
|
| Affiliated Fund |
| Affiliated Fund |
| and Affiliated Fund |
| |||
Fiscal Year Ended |
| Service Providers |
| Service Providers |
| Service Providers |
| |||
December 31, 2010 |
| $ | 0 |
| $ | 0 |
| $ | 0 |
|
|
|
|
|
|
|
|
| |||
Percentage approved pursuant to pre-approval exception |
| 0 | % | 0 | % | 0 | % | |||
|
|
|
|
|
|
|
| |||
December 31, 2009 |
| $ | 0 |
| $ | 0 |
| $ | 0 |
|
|
|
|
|
|
|
|
| |||
Percentage approved pursuant to pre-approval exception |
| 0 | % | 0 | % | 0 | % | |||
NON-AUDIT SERVICES
The following table shows the amount of fees that Ernst & Young LLP billed during the Fund’s last two full fiscal years for non-audit services. The Audit Committee is required to pre-approve non-audit services that Ernst & Young LLP provides to the Adviser and any Affiliated Fund Services Provider, if the engagement related directly to the Fund’s operations and financial reporting (except for those subject to the pre-approval exception described above). The Audit Committee requested and received information from Ernst & Young LLP about any non-audit services that Ernst & Young LLP rendered during the Fund’s last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating Ernst & Young LLP’s independence.
|
|
|
| Total Non-Audit Fees |
|
|
|
|
| ||||
|
|
|
| billed to Adviser and |
|
|
|
|
| ||||
|
|
|
| Affiliated Fund Service |
| Total Non-Audit Fees |
|
|
| ||||
|
|
|
| Providers (engagements |
| billed to Adviser and |
|
|
| ||||
|
|
|
| related directly to the |
| Affiliated Fund Service |
|
|
| ||||
|
| Total Non-Audit Fees |
| operations and financial |
| Providers (all other |
|
|
| ||||
Fiscal Year Ended |
| Billed to Fund |
| reporting of the Fund) |
| engagements) |
| Total |
| ||||
December 31, 2010 |
| $ | 2,257 |
| $ | 0 |
| $ | 0 |
| $ | 2,257 |
|
December 31, 2009 |
| $ | 9,785 |
| $ | 0 |
| $ | 0 |
| $ | 9,785 |
|
“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.
Audit Committee Pre-Approval Policies and Procedures. Generally, the Audit Committee must approve (i) all non-audit services to be performed for the Fund by the Fund’s independent accountants and (ii) all audit and non-audit services to be performed by the Fund’s independent accountants for the Affiliated Fund Service Providers with respect to operations and financial reporting of the Fund. Regarding tax and research projects conducted by the independent accountants for the Fund and Affiliated Fund Service Providers (with respect to operations and financial reports of the Fund) such engagements will be (i) pre-approved by the Audit Committee if they are expected to be for amounts greater than $10,000; (ii) reported to the Audit Committee chairman for his verbal approval prior to engagement if they are expected to be for amounts under $10,000 but greater than $5,000; and (iii) reported to the Audit Committee at the next Audit Committee meeting if they are expected to be for an amount under $5,000.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
The registrant’s Board has a separately designated Audit Committee established in accordance with Section 3(a)(58)(A) of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78c(a)(58)(A)). As of January 1, 2011, the members of the audit committee are Robert P. Bremner, David J. Kundert, William J. Schneider, Carole E. Stone and Terence J. Toth.
ITEM 6. SCHEDULE OF INVESTMENTS.
(a) See Portfolio of Investments in Item 1.
(b) Not applicable.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
The Adviser, Nuveen Fund Advisors, Inc. has engaged Spectrum Asset Management, Inc. (“Spectrum”), Tradewinds Global Investors, LLC (“Tradewinds”), and Symphony Asset Management, LLC (“Symphony”) (Spectrum, Tradewinds and Symphony are also collectively referred to as “Sub-Advisers”) as Sub-Advisers to provide discretionary investment advisory services. As part of these services, the Adviser has also delegated to each Sub-Adviser the full responsibility for proxy voting and related duties in accordance with the Sub-Adviser’s policy and procedures. The Adviser periodically will monitor each Sub-Adviser’s voting to ensure that they are carrying out their duties. The Sub-Advisers’ proxy voting policies and procedures are summarized as follows:
SPECTRUM
Spectrum has adopted a Policy on Proxy Voting for Investment Advisory Clients (the “Voting Policy”), which provides that Spectrum aims to ensure that, when delegated proxy voting authority by a client, Spectrum act (1) solely in the interest of the client in providing for ultimate long-term stockholder value, and (2) without undue influence from individuals or groups who may have an economic interest in the outcome of a proxy vote. Spectrum relies on the custodian bank to deliver proxies to Spectrum for voting.
Spectrum has selected RiskMetrics Group (formerly ISS) to assist with Spectrum’s proxy voting responsibilities. Spectrum generally follows RiskMetrics standard proxy voting guidelines which embody the positions and factors Spectrum considers important in casting proxy votes. In connection with each proxy vote, RiskMetrics prepares a written analysis and recommendation based on its guidelines. In order to avoid any conflict of interest for RiskMetrics, the CCO will require RiskMetrics to deliver additional information or certify that RiskMetrics has adopted policies and procedures to detect and mitigate such conflicts of interest in issuing voting recommendations. Spectrum also may obtain voting recommendations from two proxy voting services as an additional check on the independence of RiskMetrics’ voting recommendations.
Spectrum may, on any particular proxy vote, diverge from RiskMetrics’ guidelines or recommendations. In such a case, Spectrum’s Voting Policy requires that: (i) the requesting party document the reason for the request; (ii) the approval of the Chief Investment Officer; (iii) notification to appropriate compliance personnel; (iv) a determination that the decision is not influenced by any conflict of interest; and (v) a written record of the process.
When Spectrum determines not to follow RiskMetrics’ guidelines or recommendations, Spectrum classifies proxy voting issues into three broad categories: (1) Routine Administrative Items; (2) Special Interest Issues; and (3) Issues having the Potential for Significant Economic Impact, and casts proxy votes in accordance with the philosophy and decision guidelines developed for that category in the Voting Policy.
· Routine Administrative Items. Spectrum is willing to defer to management on matters a routine administrative nature. Examples of issues on which Spectrum will normally defer to management’s
recommendation include selection of auditors, increasing the authorized number of common shares and the election of unopposed directors.
· Special Interest Issues. In general, Spectrum will abstain from voting on shareholder social, political, environmental proposals because their long-term impact on share value cannot be calculated with any reasonable degree of confidence.
· Issues Having the Potential for Significant Economic Impact. Spectrum is not willing to defer to management on proposals which have the potential for major economic impact on the corporation and value of its shares and believes such issues should be carefully analyzed and decided by shareholders. Examples of such issues are classification of board of directors’ cumulative voting and supermajority provisions, defensive strategies (e.g., greenmail prevention), business combinations and restructurings and executive and director compensation.
Conflicts of Interest. There may be a material conflict of interest when Spectrum votes, on behalf of a client, a proxy that is solicited by an affiliated person of Spectrum or another Spectrum client. To avoid such conflicts, Spectrum has established procedures under its Voting Policy to seek to ensure that voting decisions are based on a client’s best interests and are not the product of a material conflict. In addition to employee monitoring for potential conflicts, the CCO reviews Spectrum’s and its affiliates’ material business relationships and personal and financial relationships of senior personnel of Spectrum and its affiliates to monitor for conflicts of interest.
If a conflict of interest is identified, Spectrum considers both financial and non-financial materiality to determine if a conflict of interest is material. If a material conflict of interest is found to exist, the CCO discloses the conflict to affected clients and obtains consent from each client in the manner in which Spectrum proposed to vote.
Spectrum clients can obtain a copy of the Voting Policy or information on how Spectrum voted their proxies by calling Spectrum’s Compliance Department at (203) 322-0189.
TRADEWINDS
Tradewinds’ Proxy Voting Policies and Procedures were developed and are maintained to ensure that proxies for which Tradewinds has ultimate voting authority are voted consistently and solely in the best economic interests of the beneficiaries of these equity investments. Note that clients may otherwise reserve the right to vote their proxies.
Tradewinds has engaged a third party service provider, MSCI Institutional Shareholder Services (“ISS”) to assist with the proxy voting process. We review their recommendations and frequently follow them; however, on selected issues, Tradewinds may not vote in accordance with the ISS recommendations when we believe that they are not in the best economic interest of our clients. If Tradewinds manages assets of a
company or its pension plan and any of Tradewinds’ clients hold securities of that company, Tradewinds will vote proxies relating to such company’s securities in accordance with ISS recommendations to avoid any conflict of interest. If a client requests Tradewinds to follow specific voting guidelines or additional guidelines, Tradewinds will review the request and inform the client only if Tradewinds is not able to follow the request.
Tradewinds generally does not intend to vote proxies associated with the securities of any issuer if as a result of voting, the issuer restricts such securities from being transacted for a period (this occurs for issuers in a few foreign countries), or where the voting would in Tradewinds’ judgment result in some other financial, legal, regulatory disability or burden to Tradewinds or the client (such as imputing control with respect to the issuer).
SYMPHONY
Symphony Asset Management votes proxies with the objective of maximizing shareholder value for its clients and in accordance with the firm’s Policies and Procedures for Proxy Voting. Symphony’s Proxy Voting Committee is responsible for establishing proxy voting guidelines; review and oversight of the firm’s Policies and Procedures for Proxy Voting; oversight of day-to-day proxy voting related activities; and, for overseeing the activities of proxy service providers utilized by the firm.
Symphony has established guidelines for proxy voting based on the recommendations of an independent third-party proxy service provider. Symphony utilizes one or more independent third-party service providers to vote proxy in accordance with Symphony’s guidelines. Service providers also provide proxy voting related research material as required.
In its Policies and Procedures for Proxy Voting, Symphony specifies a process for identifying and managing conflicts of interest in the proxy voting process so that votes are cast in the best interests of clients. Conflicts of interest may arise from relationships Symphony has with its clients, vendors and lenders. Symphony portfolio managers may change a proxy vote recommended by the firm’s guidelines to resolve a conflict of interest or for other reasons in the best economic interests of clients. Symphony’s Proxy Voting Committee reviews vote changes.
ITEM 8.
Nuveen Fund Advisors, Inc. (NFA) is the registrant’s investment adviser (NFA is also referred to as the “Adviser”). NFA is responsible for the selection and on-going monitoring of the Fund’s investment portfolio, managing the Fund’s business affairs and providing certain clerical, bookkeeping and administrative services. The Adviser has engaged Spectrum Asset Management, Inc. (“Spectrum”) for the registrant’s preferred securities investments, Tradewinds Global Investors, LLC (“Tradewinds”), for the registrant’s convertible securities and Symphony Asset Management, LLC (“Symphony”), for the registrant’s high yield, fixed income investments (Spectrum, Tradewinds and Symphony are also collectively referred to as “Sub-Advisers”) as Sub-Advisers to provide discretionary investment advisory services. The following section provides information on the portfolio managers at each Sub-Adviser:
Spectrum
Item 8(a)(1). PORTFOLIO MANAGER BIOGRAPHIES
MARK A. LIEB - Mr. Lieb is the Founder, President and Chief Executive Officer of Spectrum. Prior to founding Spectrum in 1987, Mr. Lieb was a Founder, Director and Partner of DBL Preferred Management, Inc., a wholly owned corporate cash management subsidiary of Drexel Burnham Lambert, Inc. Mr. Lieb was instrumental in the formation and development of all aspects of DBL Preferred Management, Inc., including the daily management of preferred stock portfolios for institutional clients, hedging strategies, and marketing strategies. Mr. Lieb’s prior employment included the development of the preferred stock trading desk at Mosley Hallgarten & Estabrook. BA Economics, Central Connecticut State College; MBA Finance, University of Hartford.
L. PHILLIP JACOBY, IV - Mr. Jacoby is an Executive Director and Chief Investment Officer of Spectrum. Mr. Jacoby joined Spectrum in 1995 as a Portfolio Manager and most recently held the position of Managing Director and Senior Portfolio Manager until his appointment as CIO on January 1, 2010, following the planned retirement of his predecessor. Prior to joining Spectrum, Mr. Jacoby was a Senior Investment Officer at USL Capital Corporation (a subsidiary of Ford Motor Corporation) and co-manager of the preferred stock portfolio of its US Corporate Financing Division for six years. Mr. Jacoby began his career in 1981 with The Northern Trust Company, Chicago and then moved to Los Angeles to join E.F. Hutton & Co. as a Vice President and Institutional Salesman, Generalist Fixed Income Sales through most of the 1980s. BSBA Finance, Boston University School of Management.
Item 8(a)(2). OTHER ACCOUNTS MANAGED BY PORTFOLIO MANAGERS
Portfolio Manager |
| Type of Account |
| Number of |
| Assets* | |
Phillip Jacoby |
| Separately Managed accounts |
| 37 |
| $ | 3,574,853,598 |
|
| Pooled Accounts |
| 4 |
| $ | 464,642,863 |
Portfolio Manager |
| Type of Account |
| Number of |
| Assets* | |
|
| Registered Investment Vehicles |
| 8 |
| $ | 6,707,361,757 |
|
|
|
|
|
|
| |
Mark Lieb |
| Separately Managed accounts |
| 40 |
| $ | 3,587,071,217 |
|
| Pooled Accounts |
| 4 |
| $ | 464,642,863 |
|
| Registered Investment Vehicles |
| 8 |
| $ | 6,707,361,757 |
* Assets are as of December 31, 2010. None of the assets in these accounts are subject to an advisory fee based on performance.
POTENTIAL MATERIAL CONFLICTS OF INTEREST
There are no material conflicts of interest to report.
Item 8(a)(3). FUND MANAGER COMPENSATION
The structure and method used to determine the compensation of Spectrum Asset Management’s portfolio managers is as follows. All Spectrum portfolio managers are paid a base salary and discretionary bonus. Salaries are established based on a benchmark of national salary levels of relevant asset management firms, taking into account each portfolio manager’s position and responsibilities, experience, contribution to client servicing, compliance with firm and/or regulatory policies and procedures, work ethic, seniority and length of service, and contribution to the overall functioning of the organization. Base salaries are fixed, but are subject to periodic adjustments, usually on an annual basis.
The discretionary bonus component is variable and may represent a significant proportion of an individual’s total annual compensation. Discretionary bonuses are determined quarterly and are based on a methodology used by senior management that takes into consideration several factors, including but not necessarily limited to those listed below:
· Changes in overall firm assets under management, including those assets in the Fund. (Portfolio managers are not directly incentivized to increase assets (“AUM”), although they are indirectly compensated as a result of an increase in AUM)
· Portfolio performance (on a pre-tax basis) relative to benchmarks measured annually. (The relevant benchmark is a custom benchmark composed of 65% Merrill Lynch Preferred Stock - Fixed Rate Index and 35% Barclays Capital Securities US Tier 1 Index).
· Contribution to client servicing
· Compliance with firm and/or regulatory policies and procedures
· Work ethic
· Seniority and length of service
· Contribution to overall functioning of organization
Total compensation is designed to be globally competitive and is evaluated annually relative to other top-tier asset management firms.
Item 8(a)(4). OWNERSHIP OF JPC SECURITIES AS OF DECEMBER 31, 2010
Name of Portfolio Manager |
| Dollar range of equity securities beneficially owned | |
Phillip Jacoby |
| $ | 0 |
Mark Lieb |
| $ | 0 |
Symphony
Item 8(a)(1). PORTFOLIO MANAGER BIOGRAPHIES
Gunther Stein
Mr. Stein, Chief Executive Officer and Chief Investment Officer at Symphony, is responsible for leading Symphony’s fixed-income and equity investments strategies and research and overseeing firm trading. Prior to joining Symphony in 1999, he was a high-yield portfolio manager at Wells Fargo Bank, where he managed a high yield portfolio, was responsible for investing in public high yield bonds and bank loans and managed a team of credit analysts.
Ross Sakamoto
Mr. Sakamoto, Co-Director of Equity at Symphony, is responsible for leading Symphony’s equity
investment strategies and overseeing the equity trading and research activities. Mr. Sakamoto has over twenty years of industry experience and returns to Symphony after having spent six years with Symphony from 1996 to 2002 as an Equity Portfolio Manager of long-only and hedged strategies. Most recently, Mr. Sakamoto was a Director in the Quantitative Services group at Deutsche Bank Advisors focusing on business development. Prior to joining Deutsche Bank in 2008, he focused on program trading at Bear Stearns & Company from 2002 to 2007.
Item 8(a)(2). OTHER ACCOUNTS MANAGED BY PORTFOLIO MANAGERS
Other Accounts Managed by Symphony PMs
As of 12/31/10
|
| Gunther Stein |
| Ross Sakamoto |
| ||
(a) RICs |
|
|
|
|
| ||
Number of accts |
| 8 |
| 3 |
| ||
Assets |
| $ | 2,836,983,658 |
| $ | 450,374,339 |
|
|
|
|
|
|
| ||
(b) Other pooled accts |
|
|
|
|
| ||
Non-performance fee accts |
|
|
|
|
| ||
Number of accts |
| 5 |
| 9 |
| ||
Assets |
| $ | 74,184,893 |
| $ | 136,899,898 |
|
Performance fee accts |
|
|
|
|
| ||
Number of accts |
| 16 |
| 6 |
| ||
Assets |
| $ | 3,416,782,751 |
| $ | 35,886,622 |
|
|
|
|
|
|
| ||
(c) Other |
|
|
|
|
| ||
Non-performance fee accts |
|
|
|
|
| ||
Number of accts |
| 6 |
| 7 |
| ||
Assets |
| $ | 92,817,275 |
| $ | 1,392,561 |
|
Performance fee accts |
|
|
|
|
| ||
Number of accts |
| 3 |
| 2 |
| ||
Assets |
| $ | 723,157,955 |
| $ | 239,828,040 |
|
POTENTIAL MATERIAL CONFLICTS OF INTEREST
As described above, the portfolio manager may manage other accounts with investment strategies similar to the Fund, including other investment companies and separately managed accounts. Fees earned by the sub-advisers may vary among these accounts and the portfolio managers may personally invest in some but not all of these accounts. In addition, certain accounts may be subject to performance-based fees. These factors could create conflicts of interest because a portfolio manager may have incentives to favor certain accounts over others, resulting in other accounts outperforming the Fund. A conflict may also exist if a portfolio manager identified a limited investment opportunity that may be appropriate for more than one account, but the Fund is not able to take full advantage of that opportunity due to the need to allocate that opportunity among multiple accounts. In addition, the portfolio manger may execute transactions for another account that may adversely impact the value of securities held by the Fund. However, the sub-advisers believe that these risks are mitigated by the fact that accounts with like investment strategies managed by a particular portfolio manager are generally managed in a similar fashion, subject to exceptions to account for particular investment restrictions or policies applicable only to certain accounts, differences in cash flows and account sizes, and other factors. In addition, each sub-adviser has adopted trade allocation procedures that require equitable allocation of trade orders for a particular security among participating accounts.
Item 8(a)(3). FUND MANAGER COMPENSATION
Symphony investment professionals receive compensation based on three elements: fixed-base salary, participation in a bonus pool and certain long-term incentives.
The fixed-base salary is set at a level determined by Symphony and is reviewed periodically to ensure that it is competitive with base salaries paid by similar financial services companies for persons playing similar roles.
The portfolio manager is also eligible to receive an annual bonus from a pool based on Symphony’s aggregate asset-based and performance fees after all operating expenses. The level of this bonus to each individual portfolio manager is determined by senior management’s assessment of the team’s performance, and the individual’s contribution to and performance on that team. Factors considered in that assessment include the total return and risk-adjusted total return performance of the accounts for which the individual serves as portfolio manager relative to any benchmarks established for those accounts; the individual’s effectiveness in communicating investment performance to investors and/or their advisors; and the individual’s contribution to the firm’s overall investment process and to the execution of investment strategies. The portfolio manager also receives long-term incentives tied to the performance and growth of Symphony and Nuveen.
Item 8(a)(4). OWNERSHIP OF JPC SECURITIES AS OF DECEMBER 31, 2010
Name of Portfolio |
| None |
| $1 - |
| $10,001 |
| $50,001- |
| $100,001- |
| $500,001- |
| Over |
|
Gunther Stein |
| X |
|
|
|
|
|
|
|
|
|
|
|
|
|
Ross Sakamoto |
| X |
|
|
|
|
|
|
|
|
|
|
|
|
|
Tradewinds
Item 8(a)(1). PORTFOLIO MANAGER BIOGRAPHY
David B. Iben, CFA, Chief Investment Officer, Co-President of Tradewinds, Executive Managing Director, Portfolio Manager/Analyst
Prior to joining NWQ in 2000, and forming the affiliate Tradewinds, Mr. Iben was lead Portfolio Manager, CEO, and a founding member of Palladian Capital Management. Before launching Palladian, he worked at Cramblit & Carney, Inc. managing large institutional accounts. Formerly, he was acting CIO at the Farmers Group, responsible for $16 billion of investable assets before his departure in 1996. Mr. Iben received a B.A. in Economics from the University of California at Davis and an M.B.A. from the Marshall School of Business at University of Southern California. In addition, he received his Chartered Financial Analyst designation in 1984 and is a member of the CFA Institute and the CFA Society of Los Angeles, Inc.
Item 8 (a)(2). OTHER ACCOUNTS MANAGED
|
| David Iben |
|
(a) RICs |
|
|
|
Number of accts |
| 13 |
|
Assets ($000s) |
| 7,155,753,425 |
|
|
|
|
|
(b) Other pooled accts |
|
|
|
Non-performance fee accts |
|
|
|
Number of accts |
| 17 |
|
Assets ($000s) |
| 4,033,647,474 |
|
(c) Other |
|
|
|
Non-performance fee accts |
|
|
|
Number of accts |
| 6,087 |
|
Assets ($000s) |
| 6,524,399,397 |
|
Performance fee accts |
|
|
|
Number of accts |
| 3 |
|
Assets ($000s) |
| 216,365,717 |
|
POTENTIAL MATERIAL CONFLICTS OF INTEREST
Actual or apparent conflicts of interest may arise when a portfolio manager has day-to-day management responsibilities with respect to more than one account. More specifically, portfolio managers who manage multiple accounts are presented with the following potential conflicts, which are not intended to be an exhaustive list:
· The management of multiple accounts may result in a portfolio manager devoting unequal time and attention to the management of each account. Tradewinds seeks
to manage such competing interests for the time and attention of portfolio managers by having portfolio managers focus on a particular investment discipline. Most accounts managed by a portfolio manager in a particular investment strategy are managed using the same investment models.
· If a portfolio manager identifies a limited investment opportunity which may be suitable for more than one account, an account may not be able to take full advantage of that opportunity due to an allocation of filled purchase or sale orders across all eligible accounts. To deal with these situations, Tradewinds has adopted procedures for allocating limited opportunities across multiple accounts.
· With respect to many of its clients’ accounts, Tradewinds determines which broker to use to execute transaction orders, consistent with its duty to seek best execution of the transaction. However, with respect to certain other accounts, Tradewinds may be limited by the client with respect to the selection of brokers or may be instructed to direct trades through a particular broker. In these cases, Tradewinds may place separate, non-simultaneous, transactions for a Fund and other accounts which may temporarily affect the market price of the security or the execution of the transactions, or both, to the detriment of the Fund or the other accounts.
· The Fund is subject to different regulation than other pooled investment vehicles and other accounts managed by the portfolio managers. As a consequence of this difference in regulatory requirements, the Fund may not be permitted to engage in all the investment techniques or transactions or to engage in these transactions to the same extent as the other accounts managed by the portfolio managers. Finally, the appearance of a conflict of interest may arise where Tradewinds has an incentive, such as a performance-based management fee, which relates to the management of some accounts, with respect to which a portfolio manager has day-to-day management responsibilities.
Tradewinds has adopted certain compliance procedures which are designed to address these types of conflicts common among investment managers. However, there is no guarantee that such procedures will detect each and every situation in which a conflict arises.
Item 8 (a)(3). FUND MANAGER COMPENSATION
Tradewinds offers a highly competitive compensation structure with the purpose of attracting and retaining the most talented investment professionals. These professionals are rewarded through a combination of cash and long-term incentive compensation as determined by the firm’s Co-Presidents and group heads as appropriate. Total cash compensation (TCC) consists of both a base salary and an annual bonus that can be a multiple of the base salary. The firm annually benchmarks TCC to prevailing industry norms with the objective of achieving competitive levels for all contributing professionals.
Available bonus pool compensation is primarily a function of the firm’s overall annual profitability. Individual bonuses are based primarily on the following:
· Overall performance of client portfolios
· Objective review of stock recommendations and the quality of primary research
· Subjective review of the professional’s contributions to portfolio strategy, teamwork, collaboration and work ethic
To further strengthen our incentive compensation package and to create an even stronger alignment to the long-term success of the firm, Tradewinds has made available to senior investment professionals equity participation opportunities, the values of which are determined by the increase in profitability of Tradewinds over time.
Finally, some of our investment professionals have received additional remuneration as consideration for signing employment agreements. These agreements range from retention agreements to long-term employment contracts with significant non-solicitation and, in some cases, non-compete clauses.
Item 8 (a)(4). OWNERSHIP OF JPC SECURITIES AS OF DECEMBER 31, 2010.
Name of |
| None |
| $1 - $10,000 |
| $10,001- |
| $50,001- |
| $100,001- |
| $500,001- |
| Over |
|
David Iben |
| X |
|
|
|
|
|
|
|
|
|
|
|
|
|
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
|
|
|
| (b) |
| (c) |
| (d)* |
|
|
| (a) |
| AVERAGE |
| TOTAL NUMBER OF SHARES |
| MAXIMUM NUMBER (OR |
|
|
| TOTAL NUMBER OF |
| PRICE |
| (OR UNITS) PURCHASED AS |
| APPROXIMATE DOLLAR VALUE) OF |
|
|
| SHARES (OR |
| PAID PER |
| PART OF PUBLICLY |
| SHARES (OR UNITS) THAT MAY YET |
|
|
| UNITS) |
| SHARE (OR |
| ANNOUNCED PLANS OR |
| BE PURCHASED UNDER THE PLANS OR |
|
Period* |
| PURCHASED |
| UNIT) |
| PROGRAMS |
| PROGRAMS |
|
|
|
|
|
|
|
|
|
|
|
JANUARY 1-31, 2010 |
| 62,700 |
| 7.58 |
| 62,700 |
| 8,799,950 |
|
|
|
|
|
|
|
|
|
|
|
FEBRUARY 1-28, 2010 |
| 17,300 |
| 7.20 |
| 17,300 |
| 8,782,650 |
|
|
|
|
|
|
|
|
|
|
|
MARCH 1-31, 2010 |
| 0 |
|
|
| 0 |
| 8,782,650 |
|
|
|
|
|
|
|
|
|
|
|
APRIL 1-30, 2010 |
| 0 |
|
|
| 0 |
| 8,782,650 |
|
|
|
|
|
|
|
|
|
|
|
MAY 1-31, 2010 |
| 158,500 |
| 7.38 |
| 158,500 |
| 8,624,150 |
|
|
|
|
|
|
|
|
|
|
|
JUNE 1-30, 2010 |
| 33,500 |
| 7.31 |
| 33,500 |
| 8,590,650 |
|
|
|
|
|
|
|
|
|
|
|
JULY 1-31, 2010 |
| 14,000 |
| 7.42 |
| 14,000 |
| 8,576,650 |
|
|
|
|
|
|
|
|
|
|
|
AUGUST 1-31, 2010 |
| 5,000 |
| 7.82 |
| 5,000 |
| 8,571,650 |
|
|
|
|
|
|
|
|
|
|
|
SEPTEMBER 1-30, 2010 |
| 0 |
|
|
| 0 |
| 8,571,650 |
|
|
|
|
|
|
|
|
|
|
|
OCTOBER 1-31, 2010 |
| 31,300 |
| 8.45 |
| 31,300 |
| 8,540,350 |
|
|
|
|
|
|
|
|
|
|
|
NOVEMBER 1-30, 2010 |
| 77,500 |
| 8.25 |
| 77,500 |
| 9,692,500 |
|
|
|
|
|
|
|
|
|
|
|
DECEMBER 1-31, 2010 |
| 85,700 |
| 8.29 |
| 85,700 |
| 9,606,800 |
|
|
|
|
|
|
|
|
|
|
|
TOTAL |
| 485,500 |
|
|
|
|
|
|
|
* The registrant’s repurchase program, which authorized the repurchase of 9,915,000 shares, was announced October 3, 2009. The program was reauthorized for a maximum repurchase amount of 9,770,000 shares on November 16, 2010. Any repurchases made by the registrant pursuant to the program were made through open-market transactions.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board implemented after the registrant last provided disclosure in response to this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) | The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
|
|
(b) | There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form. Letter or number the
exhibits in the sequence indicated.
(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/Info/Shareholder/ and there were no amendments during the period covered by this report. (To view the code, click on Fund Governance and then Code of Conduct.)
(a)(2) A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT Attached hereto.
(a)(3) Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons. Not applicable.
(b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR 270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed “filed” for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registrant specifically incorporates it by reference. Ex-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Multi-Strategy Income and Growth Fund
By (Signature and Title) | /s/ Kevin J. McCarthy |
|
| Kevin J. McCarthy |
|
| Vice President and Secretary |
|
Date: March 10, 2011
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By (Signature and Title) | /s/ Gifford R. Zimmerman |
|
| Gifford R. Zimmerman |
|
| Chief Administrative Officer |
|
| (principal executive officer) |
|
Date: March 10, 2011
By (Signature and Title) | /s/ Stephen D. Foy |
|
| Stephen D. Foy |
|
| Vice President and Controller |
|
| (principal financial officer) |
|
Date: March 10, 2011