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 811-05309
Nuveen Investment Funds, Inc.
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive, Chicago, IL 60606
(Address of principal executive offices) (Zip code)
Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Name and address of agent for service)
Registrant’s telephone number, including area code: (312) 917-7700
Date of fiscal year end: June 30
Date of reporting period: June 30, 2013
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 policy making 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.
Mutual Funds
Nuveen Income Funds
For investors seeking attractive monthly income and portfolio diversification potential.
Annual Report
June 30, 2013
| | | | | | | | | | |
| | | Share Class / Ticker Symbol |
| | | | | |
| Fund Name | | Class A | | Class B | | Class C | | Class R3 | | Class I |
Nuveen Core Bond Fund (formerly Nuveen Intermediate Term Bond Fund) | | FAIIX | | — | | NTIBX | | — | | FINIX |
Nuveen Core Plus Bond Fund | | FAFIX | | FFIBX | | FFAIX | | FFISX | | FFIIX |
Nuveen Global Total Return Bond Fund | | NGTAX | | — | | NGTCX | | NGTRX | | NGTIX |
Nuveen High Income Bond Fund | | FJSIX | | FJSBX | | FCSIX | | FANSX | | FJSYX |
Nuveen Inflation Protected Securities Fund | | FAIPX | | — | | FCIPX | | FRIPX | | FYIPX |
Nuveen Intermediate Government Bond Fund | | FIGAX | | — | | FYGCX | | FYGRX | | FYGYX |
Nuveen Short Term Bond Fund | | FALTX | | — | | FBSCX | | NSSRX | | FLTIX |
Nuveen Strategic Income Fund | | FCDDX | | FCBBX | | FCBCX | | FABSX | | FCBYX |
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Table of Contents
Letter to Shareholders
Dear Shareholders,
After nine years of serving as lead director and independent chairman of the Nuveen Fund Board, my term of office has come to an end as of June 30, 2013. It has been a privilege to use this space to communicate with you on some of the broad economic trends in the U.S. and abroad and how they are impacting the investment environment in which your funds operate. In addition, I have enjoyed offering some perspective on how your Board views the various Nuveen investment teams as they apply their investment disciplines in that investment environment.
My term has coincided with a particularly challenging period for both mutual fund sponsors and investors. Since 2000 there have been three periods of unusually strong stock market growth and two major market declines. Recent years have been characterized by a search for yield in fixed income securities to compensate for an extended period of very low interest rates. Funds are investing more in foreign and emerging markets that require extensive research capabilities to overcome the more limited transparency and higher volatility in those markets. New fund concepts often incorporate derivative financial instruments that offer efficient ways to hedge investment risk or gain exposure to selected markets. Fund trading teams operate in many new domestic and international venues with quite different characteristics. Electronic trading and global communication networks mean that fund managers must be able to thrive in financial markets that react instantaneously to newsworthy events and are more interconnected than ever.
Nuveen has committed additional resources to respond to these changes in the fund industry environment. It has added IT and research resources to assemble and evaluate the increased flow of detailed information on economies, markets and individual companies. Based on its experience during the financial crisis of 2008-09, Nuveen has expanded its resources dedicated to valuing and trading portfolio securities with a particular focus on stressed financial market conditions. It has added systems and experienced risk management professionals to work with investment teams to better help evaluate whether their funds’ risk exposures are appropriate in view of the return targets. The investment teams have also reflected on recent experience to reaffirm or modify their investment disciplines. Finally, experienced professionals and IT resources have been added to address new regulatory requirements designed to better inform and protect investors. The Nuveen Fund Board has enthusiastically encouraged these initiatives.
The Board has always viewed itself as your representatives to assure that Nuveen brings together experienced people, proven technologies and effective processes designed to produce results that meet investor expectations. It is important to note that our activities are highlighted by the annual contract renewal process. Despite its somewhat formal language, I strongly encourage you to read the summary because it offers an insight into our oversight process. The report is included in the back of this shareholder report. The renewal process is very comprehensive and includes a number of evaluations and discussions between the Board and Nuveen during the year. The summary also describes what has been achieved across the Nuveen fund complex and at individual funds such as yours.
As I leave the chairmanship and resume my role as a member of the Board, please be assured that I and my fellow Board members will continue to hold your interests uppermost in our minds as we oversee the management of your funds and that we greatly appreciate your confidence in your Nuveen fund.
Very sincerely,
Robert P. Bremner
August 22, 2013
Portfolio Managers’ Comments
These Funds feature portfolio management by Nuveen Asset Management, LLC, an affiliate of Nuveen Investments. In this report, the various portfolio management teams for the Funds examine economic and market conditions, key investment strategies and the Funds’ performance for the twelve-month period ended June 30, 2013. These management teams include:
Nuveen Core Bond Fund (formerly the Nuveen Intermediate Term Bond Fund)
Wan-Chong Kung, CFA, has managed the Fund since 2002 and Jeffrey Ebert since 2000. Chris Neuharth, CFA, joined the Fund as a co-portfolio manager in 2012. Effective May 31, 2013, the Nuveen Intermediate Term Bond Fund’s name was changed to the Nuveen Core Bond Fund. There were no changes to the Fund’s investment objectives or policies.
Nuveen Core Plus Bond Fund
Chris Neuharth, CFA, has managed the Fund since 2006. Timothy Palmer, CFA, Wan-Chong Kung, CFA, and Jeffrey Ebert have been part of the management team for the Fund since 2003, 2001, and 2005, respectively.
Nuveen Global Total Return Bond Fund
Timothy Palmer, CFA, and Steven Lee, CFA, have managed the Fund since its inception in 2011.
Nuveen High Income Bond Fund
John Fruit, CFA, has managed the Fund since 2006. Jeffrey Schmitz, CFA, has been part of the management team for the Fund since 2008.
Nuveen Inflation Protected Securities Fund
Wan-Chong Kung, CFA, has managed the Fund since its inception in 2004 and Chad Kemper joined the Fund as a co-portfolio manager in 2010.
Nuveen Intermediate Government Bond Fund
Wan-Chong Kung, CFA, has managed the Fund since 2002. Chris Neuharth, CFA, and Jason O’Brien, CFA, have been on the Fund’s management team since 2009.
Nuveen Short Term Bond Fund
Chris Neuharth, CFA, has been a co-portfolio manager of the Fund since 2004. Peter Agrimson, CFA, joined the Fund as a co-portfolio manager in 2011.
Nuveen Strategic Income Fund
Timothy Palmer, CFA, has been the lead manager of the Fund since 2005. Jeffrey Ebert has been on the management team since 2000. Marie Newcome, CFA, joined the Fund as a co-portfolio manager in 2011.
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.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
What factors affected the U.S. economy and equity markets during the twelve-month reporting period ended June 30, 2013?
During this reporting period, the U.S. economy’s progress toward recovery from recession continued at a moderate pace. The Federal Reserve (Fed) maintained its efforts to improve the overall economic environment by holding the benchmark fed funds rate at the record low level of zero to 0.25% that it established in December 2008. The Fed also continued its monthly purchases of $40 billion of mortgage-backed securities and $45 billion of longer-term Treasury securities in an open-ended effort to bolster growth. However, at its June 2013 meeting, the Central Bank indicated that downside risks to the economy had diminished since the fall of 2012. Although the Fed made no changes to its highly accommodative monetary policies at the June meeting, Chairman Bernanke’s remarks afterward indicated the Central Bank could slow the pace of its bond buying program later this year if the economy continues to improve.
As measured by gross domestic product (GDP), the U.S. economy grew at an estimated annualized rate of 1.7% in the second quarter of 2013, compared with 1.1% for the first quarter, continuing the pattern of positive economic growth for the 16th consecutive quarter. The Consumer Price Index (CPI) rose 1.8% year-over-year as of June 2013, while the core CPI (which excludes food and energy) increased 1.6% during the period, staying within the Fed’s unofficial objective of 2.0% or lower for this inflation measure. Meanwhile, labor market conditions continued to slowly show signs of improvement, although unemployment remained above the Central Bank’s 6.5% target. As of June 2013, the national unemployment rate was 7.6%, down from 8.2% a year ago. The housing market, long a major weak spot in the U.S. economic recovery, also delivered some good news as the average home price in the S&P/Case-Shiller Index of 20 major metropolitan areas rose 12.2% for the twelve months ended May 2013 (most recent data available at the time this report was prepared). This marked the largest twelve-month percentage gain for the index since March 2006. However, the outlook for the U.S. economy continued to be clouded by uncertainty about global financial markets and the outcome of the “fiscal cliff.” The tax consequences of the fiscal cliff situation, which had been scheduled to become effective in January 2013, were averted through a last minute deal that raised payroll taxes, but left in place a number of tax breaks. However, lawmakers postponed and then failed to reach a resolution on $1.2 trillion in spending cuts intended to address the federal budget deficit. As a result, automatic spending cuts (or sequestration) affecting both defense and non-defense programs (excluding Social Security and Medicaid) took effect March 1, 2013, with potential implications for U.S. economic growth over the next decade. In late March 2013, Congress passed legislation that established federal funding levels for the remainder of fiscal 2013, which ends on September 30, 2013, preventing a federal government shutdown. The proposed federal budget for fiscal 2014 remains under debate.
For the majority of the reporting period, the backdrop of generally improving economic data and diminished systemic risk fears was supportive of risk assets in general and fixed income spread sectors specifically. The pressure to find yield continued to provide strong technical underpinnings to the market as investor flows indicated robust demand for fixed income securities for most of the fiscal year. However, the tide quickly turned in the final month of the reporting period, triggered by Fed Chairman comments that the economic outlook had improved enough to warrant a possible “tapering” of the central bank’s quantitative easing programs as soon as September of this year, earlier than the market anticipated. In response, Treasury yields rose sharply, while global risk assets including equities, spread products and growth-sensitive currencies sold off significantly. The combination of rising yields and a sell-off in risk assets in June was somewhat unique in that the two have generally been negatively correlated over the past several years. The common thread in the markets appeared to be a general “de-risking” by investors based on concerns about the central bank’s withdrawal of policy stimulus.
Despite the extraordinary late-period volatility, the fiscal year still ended with spread sectors generally outperforming U.S. Treasury securities. The broad-based Barclays Aggregate Bond Index showed a return of -0.69% for the reporting period. High-yield corporate bonds held up the best, with the Barclays High Yield 2% Issuer Capped Index returning 9.49% for the reporting period. Late in the period, these securities’ higher yield levels and shorter durations helped
cushion them during the volatility. Returns for investment-grade corporates were much lower than their high-yield counterparts, with the Barclays U.S. Corporate Investment Grade Index gaining 1.36% for the reporting period; however, within the investment-grade market, financials significantly outperformed industrials. Among the various securitized sectors, commercial mortgage-backed securities (CMBS) posted strong annual results as the segment benefited from investor demand for high-quality, low beta bonds with incremental spread over government securities. In the mortgage sector, rates rose sharply and volatility spiked after the Fed Chairman’s comments, causing agency mortgage-backed securities (MBS) to underperform most other high-grade asset classes as investors reduced their holdings amid fund outflows. Longer term Treasuries and Treasury inflation protected securities (TIPS) were the period’s worst performers with TIPS returning -4.78% as measured by the Barclays TIPS Index. Outflows continued from this sector as year-to-date returns have been poor and fears of Fed-induced higher inflation failed to materialize.
How did the Funds perform during the twelve-month reporting period ended June 30, 2013?
The tables in the Fund Performance and Expense Ratios section of this report provide total return performance information for the one-year, five-year, ten-year and/or since inception periods ending June 30, 2013. Each Fund’s Class A Share total returns at net asset value (NAV) are compared with the performance of the appropriate Barclays Index and Lipper classification average.
What strategies were used to manage the Funds during the twelve-month reporting period? How did these strategies influence performance?
All of the Funds continued to employ the same fundamental investment strategies and tactics used previously, although implementation of those strategies depended on the individual characteristics of the portfolios, as well as market conditions. The Funds’ management teams used a highly collaborative, research-driven approach that we believe offers the best opportunity to achieve consistent, superior long-term performance on a risk-adjusted basis across the full range of market environments. Going into the reporting period, the Funds were generally positioned for an environment of continued moderate economic growth and improving financial conditions, a posture we remained committed to during the period. Nonetheless, during the period we made smaller scaled shifts on an ongoing basis that were geared toward improving each Fund’s profile in response to changing conditions and valuations. These strategic moves are discussed in more detail within each Fund’s section of this report.
Nuveen Core Bond Fund (formerly the Nuveen Intermediate Term Bond Fund)
The Fund’s Class A Shares at NAV outperformed the Barclays Aggregate Bond Index and underperformed the Lipper Intermediate Investment Grade Debt Funds Classification Average for the twelve-month reporting period. Effective May 14, 2012, the Nuveen Core Bond Fund (formerly the Nuveen Intermediate Term Bond Fund) changed its benchmark from the Barclays Intermediate Government/Credit Bond Index to the Barclays Aggregate Bond Index. We changed the composition of the Fund in mid-May 2012 in response to changes to its management philosophy and benchmark. The Fund is now managed to the Barclays Aggregate Bond Index, as opposed to the Barclays Intermediate Government/Credit Bond Index, and portfolio positioning has been modified to reflect this change. The rationale for the change was to recognize that the Fund provides shareholders with investment exposure similar to the broad fixed income market, as represented by the Fund’s new benchmark. The new benchmark, by encompassing the broad fixed income market, is less concentrated than the old benchmark, and provides a more accurate representation of the portfolio by including securitized products, an asset class that represents 35% of the strategy’s investments. The most significant effects of this change were a reduction in the Fund’s exposure to investment-grade credit, an increase in allocation to the U.S. MBS sector and a modest lengthening in the portfolio’s duration. As such, the change in the management philosophy reflects a moderate increase in the Fund’s risk profile.
During the reporting period, sector weights and security selection were the most significant positive contributors to the Fund’s relative results versus the Barclays Index. In terms of sectors, we continued to position the Fund with substantial overweights to non-government areas of the bond market such as investment-grade credit and CMBS, while underweighting Treasury and agency securities. The investment-grade corporate market strongly outperformed Treasuries during the reporting period as the segment continued to be supported by investors’ search for yield, strong fundamentals, a gradually improving U.S. economy and the Fed’s highly accommodative monetary policy. Our investment-grade overweight added significantly to performance during the period, with the Fund benefiting from the additional yield available from bonds in these sectors as well as the gains associated with narrowing risk premiums for credit. Meanwhile, an overweight to CMBS also proved beneficial as this sector was the top performing securitized asset class over the one-year period. The CMBS segment benefited from investor demand for high quality, lower risk bonds with incremental spread over government securities.
In terms of security selection, the Fund was rewarded for a substantial overweight to bank/financial credits within the investment-grade sector. According to Barclays, the financial sub-sector of the investment-grade market was one of the top performing areas of the overall fixed income market during the reporting period. For an extended period of time, we have been strong proponents of the value of financial credits based on their improving investment fundamentals. The market increasingly embraced this view as financial spreads tightened versus industrials, continuing the segment’s strong relative performance from recent periods. Additionally, the Fund benefited from our downward bias in credit quality within our investment-grade portfolio, emphasizing BBB-rated corporates, which outperformed higher rated investment-grade securities over the twelve-month reporting period.
Our interest rate strategy was centered on being defensively positioned, which means the Fund’s duration was shorter than its benchmark making it less sensitive to rate changes. This strategy was beneficial overall to the Fund’s performance, especially in the final months of the reporting period.
Because the Fund’s MBS weighting was neutral to underweight versus the Barclays Index, this sector did not have a meaningful impact on performance verses the benchmark. We maintained the Fund’s defensive positioning within the agency MBS sector as Fed purchase activity resulted in these securities trading at unattractive valuations and we saw more downside than upside potential.
The Fund’s shortfall versus its Lipper average was due to our less aggressive allocation than many of our peers, including a lack of exposure to any non-investment-grade securities, which are not allowed in this portfolio. In an environment where riskier fixed income asset classes outperformed, this shortfall is to be expected.
We maintained the Fund’s strategic emphasis on investment-grade corporates and high quality non-government securitized debt throughout the period. However, we took advantage of the extreme market volatility at the end of the reporting period to make adjustments to the portfolio to manage risk and position for intermediate-term performance opportunities. Within investment-grade credit, our activity was oriented toward repositioning based on relative value opportunities and research based ideas. We added modestly to the Fund’s positions in intermediate duration investment-grade credit in the industrials segment. We also lessened the Fund’s underweight to agency MBS after the sector cheapened in the second half of the reporting period.
Lastly, we continued to invest in derivative instruments. Treasury note and bond futures were used to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The derivative positions detracted from performance during the period. The Fund also utilized interest rate swaps as part of an overall portfolio construction strategy to manage duration and overall portfolio yield curve exposure. The swap positions detracted mildly from performance during the period.
Nuveen Core Plus Bond Fund
The Fund’s Class A Shares at NAV outperformed both the Barclays Aggregate Bond Index and the Lipper Intermediate Investment Grade Debt Funds Classification Average for the twelve-month reporting period. During the period, security selection and overweights in the corporate market were the biggest positive contributors to the Fund’s relative performance versus its benchmark. We continued to position the Fund with significant overweights to both the investment-grade and high yield corporate sectors and corresponding underweights to the Treasury and agency segments. Corporate bonds strongly outperformed Treasuries over the twelve-month reporting period as the market continued to be supported by investors’ search for yield, strong fundamentals, a gradually improving U.S. economy and the Fed’s highly accommodative monetary policy. Our investment-grade and high yield positions added to performance during the period, with the Fund benefiting from the additional yield available from bonds in these sectors as well as the gains associated with narrowing risk premiums for credit.
In particular, the Fund was rewarded for a substantial overweight to bank/financial credits within the investment-grade sector, as its weight was at least two-and-a-half times higher than its benchmark. According to Barclays, the financial sub-sector of the investment-grade market was one of the top-performing areas of the overall fixed income market during the reporting period. For quite some time, we have been strong proponents of the value of financial credits based on their improving investment fundamentals. The market increasingly embraced this view as financial spreads tightened versus industrials, continuing the segment’s strong relative performance from recent periods. Additionally, the Fund benefited from our downward bias in credit quality within the investment-grade sector, emphasizing BBB-rated corporates, which outperformed higher rated investment-grade securities over the twelve months.
Within the securitized areas of the market, the CMBS sector was the top performer over the one-year period. The segment benefited from investor demand for high-quality, lower-risk bonds with incremental spread over government securities. Therefore, our Fund’s overweight position in CMBS was also a positive contributor to returns. Agency MBS had only a marginally positive impact on performance.
Our duration strategy, which indicates the Fund’s sensitivity to interest rate changes, was centered mostly on being defensively positioned with duration shorter than the benchmark. This strategy aided performance during the reporting period. We also positioned the Fund with an overweight to longer dated securities as part of our bias toward a flattening yield curve, which was not beneficial in the period’s second half. Other than that, the Fund experienced no meaningful detractors to its performance during the twelve-month reporting period.
While our main strategic emphasis on non-government sectors remained in place during the period, we took advantage of the extreme market volatility at the end of the reporting period to make adjustments to the portfolio to manage risk and position for intermediate-term performance opportunities. We continued to emphasize corporates, with activity in the sector oriented toward repositioning based on relative value opportunities and research based ideas. We had reduced the Fund’s high yield exposure marginally in April 2013, which allowed us to take advantage of attractive valuations during the June sell-off to add to credits with yield and return potential. We also increased the Fund’s exposure to lower rated investment-grade issues late in the period to capitalize on attractive valuations. We added to bottom-up, selection based opportunities in the mortgage sector and marginally reduced the Fund’s positions in CMBS to fund other investment opportunities. We continued to maintain a very small exposure to emerging market credit, which had little impact on performance over the twelve-month reporting period. We also continued to actively manage interest rate exposure, remaining defensive in the Fund’s portfolio duration positioning to protect against higher rates.
During the period, we also continued to invest in derivative instruments. Treasury note and bond futures were used as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The effect of these activities benefited performance during the period. We also utilized interest rate swaps to manage portfolio duration and yield curve exposure, and these positions also contributed to performance.
We utilized foreign exchange forwards to manage foreign currency exposure. For example, to reduce unwanted currency exposure from the Fund’s portfolio, the Fund would acquire a short foreign currency forward. These positions had a limited impact on performance during the period.
Credit default swaps were used to add diversified exposure to a broad segment of the credit markets, or to express a view on credit as part of an overall portfolio sector management strategy. For example, to increase the Fund’s credit exposure to the high yield bond segment of the market, a long CDX High Yield Index swap would be acquired. These swap positions detracted from performance during the period.
We also utilized options on U.S. Treasury note futures as part of an overall portfolio interest rate strategy. For example, call options may be purchased to hedge the portfolio against adverse interest rate movements while limiting downside exposure to the portfolio. The effect of these activities mildly detracted from performance during the period.
Nuveen Global Total Return Bond Fund
The Fund’s Class A Shares at NAV outperformed the Barclays Global Aggregate Unhedged Bond Index and the Lipper Global Income Funds Classification Average for the twelve-month period. The Fund continued to employ the same fundamental investment strategies and tactics used previously, although implementation of those strategies depended on market conditions. The Fund’s management team used a highly collaborative, research driven approach that we believe offers the best opportunity to achieve consistent, superior long-term performance on a risk-adjusted basis across the full range of market environments. Going into the reporting period, the Fund was generally positioned for an environment of continued moderate economic growth and improving financial conditions, a posture we remained committed to during the period. Nonetheless, during the period we made smaller scaled shifts on an ongoing basis that were geared toward improving the Fund’s profile in response to changing conditions and valuations. These strategic moves are discussed in more detail below. The Fund also continued to invest in various derivative instruments during this reporting period, which are described later in this report.
The Fund experienced strong outperformance during the twelve-month reporting period due to favorable currency positioning and sector weights. The primary drivers of outperformance were currency selection and an overweight to credit sectors. Currency exposure added value versus the benchmark, particularly during the first six months of the period. Overall during the reporting period, the U.S. dollar and the Japanese yen declined significantly against most currencies globally, while the euro saw a recovery from depressed levels. Among the major currencies, the Mexican peso held up best. The Fund’s twelve-month results benefited significantly from our underweight to the Japanese yen. At the same time, returns were aided by our ongoing emphasis on growth sensitive or higher yielding currencies from both developed and emerging markets held at various times during the reporting period, including the Mexican peso, Korean won, Canadian dollar, Polish zloty and Norwegian krone. Although we gave back a portion of the gains we reaped from foreign currency exposure in the late period U.S. dollar rally, this was moderated by timely repositioning and market selection.
The Fund’s significant overweights to credit sectors, both investment grade and high yield, were also primary positive performance drivers over the fiscal year period. Both segments produced returns which exceeded Treasuries as the corporate market continued to be supported by investors’ search for yield, strong fundamentals, a gradually improving economy and the Federal Reserve’s highly accommodative monetary policy. The Fund’s high-yield overweight was particularly beneficial, as the segment was further bolstered by strong inflows for the majority of the period as well as the ongoing low default level. Within the Fund’s investment-grade portfolio, our strong bias toward bank/financial credits also added to twelve-month results. According to Barclays, the financial sub-sector of the investment-grade market was one of the top performing areas of the overall fixed income market during the reporting period. In addition, a number of our other individual credit selection themes within the industrial sectors benefited the Fund’s returns. Consistent with the other themes in credit, the Fund’s exposure to emerging market (EM) credit contributed favorably to its twelve-month results. Also, the Fund benefited from positions in European credit, as this segment outperformed U.S. credit during the period. We subsequently reduced the Fund’s exposure in European credit following the strong bout of performance.
Our underweight to the MBS sector was also advantageous to the Fund during the reporting period. We remained defensively positioned in the agency MBS sector throughout the fiscal year as the Fed’s purchase activity resulted in this sector trading at unattractive valuations. After the Fed Chairman’s comments in May, rates rose sharply and volatility spiked in the mortgage sector, which caused agency MBS to underperform most other high-grade asset classes as investors reduced their holdings amid fund outflows.
Meanwhile, the Fund’s interest rate exposure was a modest drag on performance over the period. While our overall duration and underweight to U.S. interest rates as compared to the benchmark were beneficial, this positive effect was offset by an overweight to emerging market interest rates, which generally rose more than developed rates late in the period.
In response to changes in valuations and fundamental economic developments late in the reporting period, we meaningfully altered the Fund’s currency exposures. We reduced the Fund’s positions in former overweights to Australia, South Korea and Canada in light of economic developments. We also took advantage of a rally in the euro and other large developed currencies to sell positions, increasing the Fund’s U.S. dollar overweight significantly. With relative economic and policy progress in the U.S., the valuation and direction of the dollar is increasingly situational. Currency selection and relative performance based on idiosyncratic factors are becoming major determinants as the global recovery matures. We also added to favored currencies on weakness, including the Indian rupee and Turkish lira. We reduced the Fund’s peripheral European bond exposure, based on recovery in valuations and rising structural risk. At the same time, we selectively added to several EM bond markets at higher yields following the Fed-induced sell-off at the end of the period, believing these had overshot fundamentals amid short-term investor liquidation.
Our other primary strategic sector and duration themes remained largely in place during the period. However, we took advantage of volatile market conditions at the end of the reporting period to make adjustments to the Fund to manage risk and position for intermediate-term performance opportunities. We continued to emphasize corporates, with activity in the sector oriented toward repositioning based on relative value opportunities and research based ideas. After reducing the Fund’s high-yield exposure in April, we were able to take advantage of the attractive valuations toward the end of the period, adding to credits with yield and return potential. We continued to actively manage interest rate exposure, remaining defensive overall in the Fund’s portfolio duration to protect against higher rates.
We also used options on note and bond futures as part of an overall portfolio interest rate strategy. For example, call options may be purchased to hedge the portfolio against adverse interest rate movements while limiting downside exposure to the portfolio. The effect of these activities mildly detracted from performance during the period.
We wrote put options and purchased call options on select currencies during the period in an attempt to benefit from changes in the spot values of these currencies, and foreign exchange forwards were used to gain exposure to selected foreign currencies, as well as in some cases to hedge the currency risk present in a foreign bond. The overall effect of the option activities was modestly negative while the overall effect on the portfolio of the foreign exchange forwards was modestly positive during the period.
We sold U.S. Treasury futures to hedge against potential increases in U.S. interest rates and purchased selected foreign bond futures to gain exposure to those markets. The effect of these activities in the period was a modestly positive one. Credit default swaps were also utilized as a way to take on credit risk and earn a commensurate credit spread. These derivative exposures are integrated with the overall portfolio construction and such losses and gains may be naturally related to and/or may offset impacts elsewhere in the portfolio.
Interest rate swaps are used as part of an overall portfolio interest rate strategy. For example, swaps in which the Fund pays a fixed rate of interest in exchange for a floating rate may be used in anticipation of rising interest rates. The effect of these contracts on performance was positive during the period.
Nuveen High Income Bond Fund
The Fund’s Class A Shares at NAV outperformed both the Barclays High Yield 2% Issuer Capped Index and the Lipper High Current Yield Funds Classification Average for the twelve-month reporting period. The high yield bond market enjoyed strong performance for the majority of the reporting period as many of the same dynamics that have manifested themselves over the course of the past two years continued to play out. These consisted of a fundamental backdrop that remained well supported by corporate earnings, robust capital market conditions, record low Treasury yields for most of the period and slowly improving economic growth, combined with low default activity in the segment. For the majority of the period, demand from both institutional and retail investors remained strong despite historically high prices, although the tide turned rather abruptly in the period’s final weeks. The high yield segment came under pressure in May and June as the Fed’s comments about the potential “tapering” of its quantitative easing programs earlier than the market anticipated triggered a sharp rise in Treasury yields and a corresponding significant sell-off in global risk assets including equities, spread products and growth sensitive currencies. Although historically retreats in high yield have typically been accompanied by equity declines and interest rate rallies, this time the sell-off in Treasuries triggered the riskier asset weakness. The common thread in the markets appeared to be a general “de-risking” by investors based on concerns about the central bank’s withdrawal of policy stimulus. As investors rapidly exited the bond markets, all major fixed income asset classes fell into negative territory in the final months. However, high yield corporates held up better than investment-grade corporates and Treasuries as their higher yield levels and shorter durations helped cushion them in the rising rate environment.
The Fund’s relative outperformance versus the index continued to be helped by its strong security selection and modest overweights to the lower quality B and CCC-rated tiers of the market and concurrent underweight to BB-rated securities. Our down-in-quality trade rewarded investors as riskier credits led the way, continuing the trend we have seen since last fall. This was partially the result of the increase in Treasury rates, which affected high quality paper disproportionally, but also owed to the greater liquidity of higher quality securities as exchange traded funds (ETFs) and other funds sold these securities to fund large redemptions in the final month of the reporting period.
Meanwhile, contributions from foreign and out-of-index holdings also benefited the Fund’s overall performance for the period. The Fund’s European high yield exposure was particularly helpful as the market fared much better than the
U.S. market, gaining 19.19% as measured by the Barclays Pan Euro High Yield Index during the reporting period. Earlier in the reporting period, the actions of the European Central Bank and the European Monetary Union to solve the liquidity problems of European banks and peripheral sovereigns helped high yield positions in the region’s corporate and banking sectors. Later in the period, European high yields were generally a bit more insulated from some of the weak technicals seen domestically. Results from emerging market (EM) high yield were also beneficial overall, although the segment experienced heavy selling pressure at the end of the reporting period. During the first six months of the period, the Fund’s EM exposure added significantly to performance as investor perceptions of reduced global macro tail risks set the stage for increasing demand for higher yielding instruments in EM credit and sovereigns. However, at the end of the period, EM debt suffered a familiar fate of underperforming during periods of increased volatility. The relative calm in these markets was upended in May as Chinese central banks indicated they would be adopting a more hawkish stance going forward. This, combined with an HSBC China Purchasing Managers Index reading that came in considerably below expectations, caused a large sell-off in emerging markets, which sent many sovereign and corporate spreads wider. Downward revisions to EM growth forecasts driven by a number of factors, coupled with various bouts of civil unrest in Brazil and Turkey, also contributed to poor sentiment toward these markets. Overall for the fiscal year ended June 30, 2013, the high yield EM sub-index returned 8.74% according to Barclays Index data. Over the past decade, the total return performance of EM debt has been very strong, confirming the historical case for investing in this asset class. Despite weaker fundamentals for some EM high yield names at the margin, the EM corporate default rate remained relatively low in 2012 and we expect default risk to trend even lower over 2013.
Returns from the Fund’s other out-of-index exposures were small contributors to overall performance for the one-year period, with a small allocation to dividend-paying equities and certain closed-end funds performing well. In addition, the Fund’s exposure to preferred securities was beneficial because of our emphasis on floating rate preferreds. While preferred market indices underperformed the high yield market, floating-rate preferred securities held up better.
Additionally, results in the first half of the fiscal year were aided by the Fund’s overweights in some of that period’s better performing sectors such as homebuilders and chemicals. However, these favorable results were basically offset in the second half by a modest overweight to the mining sector, which continued to suffer due to concerns over the impact of slowing Chinese economic growth and concurrent weak metals pricing. Most commodity prices were down meaningfully during the period. While the investments we hold in this sector generally have strong balance sheets, a couple of noteworthy exceptions have more or less dragged down performance across the whole sector, including the struggling U.S. coal industry. The Fund’s overweight to the energy exploration and production segment was a slight distractor, yet our overweight to the oil services sector remained a net positive contributor during the reporting period. We remain constructive on much of the energy sector, based on strong oil pricing and robust demand for drilling rigs around the globe, which should benefit the services sector as a whole.
With defaults very well behaved across the entire high yield market over the period, the Fund generally experienced little in the way of credit impairments. The exceptions were contained to a couple of mining credits that encountered higher production costs, weaker commodity pricing and, therefore, more stretched balance sheets. The Fund, however, was able to avoid a number of higher profile problem credits that arose during the period, thus minimizing any sort of permanent impairment. We continue to believe that high yield loan and bond defaults will trend below average over the next few years, given the still healthy financial metrics of corporate issuers and the recent ability to extend debt maturities. We do not believe the recent widening in spreads is the result of credit deterioration, but rather reflective of the increased risk premium to account for heightened uncertainty over rates and Fed policy and to account for the subsequent rise in both equity and rate volatility.
After carrying a modest overweight to the B-rated and CCC-rated sectors of the market, we increased the Fund’s
single-B exposure even more relative to the benchmark weight at the end of the period. This move was simply a factor of finding enough attractive candidates in both new issue and secondary issuance, but also consistent with our strategy of overweighting those sectors of the market that are not as rate sensitive. In addition, we continue to believe the extra yield these bonds provide over BB-rated credits is adequate compensation for accepting the higher risks. With the recent 150 basis point increase in yields, we saw plenty to choose from across the entire quality spectrum, notwithstanding the fact that it may be hard for the market to put a lid on volatility as long as the Federal Reserve is at a crossroads in respect to policy decisions. To that end, we continued to add to the Fund’s position in shorter duration, yield-to-call securities. We believe these securities will be more defensive in the event of a weaker high yield market and/or if Treasury rates continue to sell off. With this approach, we can often achieve 80-90% of the index yield, but with a much shorter expected maturity. In addition, the dislocation in the closed-end fund marketplace at period end appeared overdone, therefore we added to a number of these securities. The use of leverage adds to these securities’ volatility; however, over longer periods we believe that same leverage can add to overall returns. We focused on closed-end funds that invest in floating rate bank loans, corporate financial debt and companies that own or hold loans to middle market companies. If the Fed’s plan of reigning in bond purchases is due to a better domestic economic outlook, then credit quality in all of these sectors should improve.
Treasury note and bond futures were also used as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The effect of these activities mildly benefited performance during the period.
We also utilized foreign exchange forwards to manage foreign currency exposure. For example, to reduce unwanted currency exposure from the Fund’s portfolio, the Fund would acquire a short foreign currency forward. These positions had a limited impact on performance during the period.
Nuveen Inflation Protected Securities Fund
The Fund’s Class A Shares at NAV underperformed both the Barclays U.S. TIPS Index and the Lipper Inflation-Protected Bond Funds Classification Average for the twelve-month reporting period. The Treasury inflation-protected securities (TIPS) asset class struggled during the reporting period amidst the pressure of steady investor outflows. Investors factored in rising nominal Treasury yields, poor returns for TIPS and a significant drop in the need for inflation protection after fears of Fed-induced higher inflation failed to materialize and Consumer Price Index (CPI) results continued to come in weaker-than-expected. After yields on 10-year TIPS repeatedly hit low points in the final three months of 2012, they began to climb dramatically in 2013, especially in the final three months of this reporting period. From their lows during the period, 10-year TIPS yields rose nearly 150 basis points, while prices simultaneously fell significantly. At the end of the reporting period in June, yields turned positive for 10-year TIPS for the first time since January 2012. Because the yield on a TIPS bond is equal to the corresponding Treasury bond yield minus the expected rate of inflation, it can fall into negative territory if the inflation rate is higher than the current Treasury yield. In addition, the period saw relatively significant “breakeven spread” movement, which is the difference between the yields of 10-year nominal Treasuries and 10-year TIPS. After widening out over the first nine months of the Fund’s fiscal year, the breakeven spread narrowed dramatically in the final three months, which again pointed toward investor expectations of continued benign inflation.
This market backdrop led TIPS to underperform nominal Treasury securities and also the broad fixed income market over the twelve-month reporting period. Returns were stronger away from the Treasury market as spread sectors outpaced both nominal Treasuries and TIPS by significant margins. High yield was by far the top performing spread sector during the Fund’s reporting period, followed by commercial mortgage-backed securities (CMBS), emerging market debt and investment-grade corporates. Corporate markets continued to be supported by investors’ quest for yield, strong fundamentals, a gradually improving economy and the Fed’s very accommodative monetary policy.
Over the twelve-month reporting period, our duration moves, which alter the Fund’s sensitivity to changing interest rates, were the biggest positive contributor toward performance. The Fund benefited from a number of well timed tactical shifts made throughout the period, in addition to our general bias toward a shorter duration, especially in the Fund’s TIPS portfolio. Meanwhile, the Fund’s underweight in TIPS versus the Barclays U.S. TIPS Index also aided fiscal year results, particularly in the final months as breakeven spreads narrowed and TIPS dramatically underperformed nominal Treasuries. In addition, the Fund’s small allocations in various spread sectors were beneficial, particularly its exposure to the high yield credit sector, which generated significant excess returns over both TIPS and Treasuries. Our positions in CMBS also aided results as this was the strongest area among the various securitized sectors.
The Fund’s foreign currency exposure was the primary relative detractor to performance during the period, particularly during the strong U.S. dollar rally.
While our primary investment themes remained in place throughout the period, we made smaller scaled shifts to help improve the Fund’s profile in response to changing growth and inflation forecasts. We also took advantage of the extreme market volatility at the end of the reporting period to make adjustments to the Fund’s portfolio to manage risk and position for intermediate term performance opportunities. We maintained the Fund’s underweight to TIPS versus the benchmark index; however, toward the end of the reporting period, we covered a small portion of this TIPS short after the segment’s dramatic underperformance. We believe the late period sell-off restored reasonable value to the TIPS market. At the same time, we increased the Fund’s allocations to non-TIPS spread product, specifically high yield bonds and CMBS, after those segments cheapened in June. As valuations normalized in both the high yield and CMBS sectors, we increasingly focused on adding select opportunities within both sectors. We also moved to moderate the Fund’s
positioning for a steeper yield curve by reducing its overweight to intermediate maturities, while simultaneously reducing its underweight to longer term maturities. We continued to tactically manage interest rate exposure, with a bias toward positioning the Fund’s portfolio duration more defensively to protect against higher rates.
Treasury note and bond futures were also used as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The overall effect on performance during the period was mildly positive. We also utilized interest rate swaps to manage portfolio duration and yield curve exposure, however, these positions detracted mildly from performance during the period.
We also utilized foreign exchange forwards to manage foreign currency exposure. For example, to reduce unwanted currency exposure from the Fund’s portfolio, the Fund would acquire a short foreign currency forward. These positions detracted mildly from performance during the period.
Nuveen Intermediate Government Bond Fund
The Fund’s Class A Shares at NAV underperformed both with the Barclays Intermediate Government Bond Index and outperformed the Lipper Intermediate U.S. Government Funds Classification Average for the twelve-month reporting period. The most significant factor in the Fund’s outperformance was its sector weights. Our substantial underweight to U.S. Treasuries was the main driver as all of the spread sectors outperformed for the twelve-month reporting period. At the same time, the Fund benefited from overweights in several securitized spread sectors, including commercial mortgage-backed securities (CMBS), mortgage-backed securities (MBS) sectors and asset-backed securities (ABS). Each of these securitized asset classes registered higher returns than intermediate maturity Treasuries over the twelve-month reporting period. Although the Fund’s CMBS exposure is relatively small, this asset class performed particularly strongly during the reporting period, providing significant excess returns over intermediate Treasuries, as measured by Barclays Indexes. The CMBS sector benefited from investor demand for high quality, lower risk bonds with incremental spread over government securities in the prolonged low rate environment. Also, the Fund’s exposure in the agency sector was a modest positive as we owned more intermediate term agencies, which held up better than longer maturity agencies during the reporting period.
In addition, the Fund was rewarded for our various tactical duration moves throughout the period, which we make in order to adjust the Fund’s sensitivity to interest rates. Overall during the reporting period, our strategy was centered on being defensively positioned with the Fund’s duration generally shorter than the benchmark’s duration. The shorter duration stance proved especially beneficial in the final month of the period when interest rates spiked. Our yield curve positioning, however, was basically a wash over the twelve-month reporting period. Earlier in the reporting period, we had positioned the Fund with an overweight to securities in the three- to five-year maturity range. However, we shifted to overweight five-to ten-year maturities with a corresponding underweight to the short and long end of the yield curve as we moved toward June 2013.
Our main strategic emphasis on non-government sectors remained in place throughout the period, with the Fund’s largest weights found in the MBS and agency sectors. In the latter part of the reporting period, our overweights in mortgages and callable agency securities offset some of the above-mentioned positives, and led the Fund to perform in line with its Barclays benchmark. These mortgage and callable agency securities are very interest rate sensitive and reacted even more negatively to rising rates as the market sold off. Fortunately, we had shifted more of the Fund’s portfolio into shorter maturity mortgage paper before the reporting period began, which was a mitigating force to the underperformance of mortgages in 2013, especially during the rate spike.
Treasury note and bond futures were also used as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The overall effect on performance during the period was mildly positive.
Nuveen Short Term Bond Fund
The Fund’s Class A Shares at NAV outperformed the Barclays 1-3 Year Government/Credit Bond Index and the Lipper Short Investment Grade Debt Funds Classification Average for the twelve-month reporting period. Performance during the reporting period benefited from our ongoing focus on segments of the market that generate attractive levels of income. We continued to position the Fund with an emphasis on a diversified core portfolio of short duration investment-grade corporate and securitized debt, combined with smaller allocations to non-agency/sub-prime mortgage-backed securities (MBS) and higher quality, high yield (BB-rated) corporates. At the same time, the Fund held a significant underweight to the Treasury and agency segments of the market.
Over this reporting period, our Fund’s allocation to the higher quality, high yield (BB-rated) corporates proved especially beneficial, and was the most significant driver of the Fund’s outperformance. The yield advantage of these assets helped these securities outperform, especially during the final months of the period as their higher yield levels offset the lower market prices caused by the combination of higher rates and wider spreads. Likewise, the Fund’s emphasis on securities at the lower end of the investment-grade corporate sector, A-rated and BBB-rated securities, benefited results.
In addition, other sector weights contributed to the Fund’s outperformance over the twelve-month reporting period. For the past few years, we have favored owning private sector debt and have been strong proponents of the long-term value of financial credits based on their solid investment fundamentals. We continued to believe that the U.S. housing market was in recovery mode, a view that was supported by a number of favorable housing statistics during the reporting period. Therefore, we remained constructive on select opportunities in the non-agency mortgage sector and benefited from maintaining at least a 10% weighting in this market segment. Within the Fund’s investment-grade holdings, results were aided by our significant overweight to bank/financial credits.
The Fund’s results were also rewarded for our significant exposure to other securitized sectors, with broad diversification across government agency MBS, consumer asset-backed securities (ABS) and commercial mortgage-backed securities (CMBS). Credit fundamentals in the commercial real estate sector continued to improve over the reporting period and credit performance of consumer auto and credit card receivables remained strong, allowing these market segments to add value for shareholders.
With the extremely low level of rates at the short end of the yield curve, our interest rate strategy was geared toward being positioned shorter than the benchmark and toward the lower end of the permitted one- to three-year duration range. This defensive duration posture, which lessened the Fund’s sensitivity to interest rate changes, proved modestly beneficial especially later in the reporting period as it helped to buffer the negative impact of higher rates and wider spreads. The Fund had no meaningful detractors to performance during the twelve-month reporting period.
While our primary portfolio themes of focusing on income generation and underweighting government sectors continued to be supported by fundamentals, a deterioration in market technicals caused us to be focused on raising overall portfolio liquidity levels as rates spiked during June 2013. As the dust settled and the markets stabilized, we took the opportunity to broadly add back risk to the Fund at cheaper levels. On a sector level basis, we tactically added to the Fund’s positions in 15-year agency MBS, high yield corporates and high quality CMBS. All of these sectors cheapened dramatically during June and represented good values at period end. We also tactically brought the Fund’s duration closer in line with the benchmark as the yield on the 5-year Treasury approached 1.50% in late June. Although we have not changed our view that rates will be higher in 2014 as the year progresses, we believe the short end of the yield curve may currently be pricing in Fed tightening at too early a juncture and simply wanted to be less defensive, at least in the short run.
Treasury note futures were also used as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The overall effect on performance during the period was positive. We also utilized interest rate swaps to manage portfolio duration and yield curve exposure, however, these positions detracted mildly from performance during the period.
We also used credit default swaps to add diversified exposure to a broad segment of the credit markets, or to express a view on credit as part of an overall portfolio sector management strategy. For example, to increase the Fund’s credit exposure to the high yield bond segment of the market, a long CDX High Yield Index swap would be acquired. These swap positions mildly contributed to performance during the period.
Nuveen Strategic Income Fund
The Fund’s Class A Shares at NAV outperformed both the Barclays Aggregate Bond Index and the Lipper Multi-Sector Income Funds Classification Average for the twelve-month reporting period. The Fund experienced very strong results over the reporting period, benefiting from nearly all of its strategic investment themes. In particular, we continued to position the Fund with significant overweights to both the investment-grade and high yield credit sectors, which were key positive performance drivers. Both segments produced returns which far exceeded Treasuries as the corporate market continued to be supported by investors’ search for yield, strong fundamentals, a gradually improving economy and the Fed’s highly accommodative monetary policy. The Fund continued to benefit from the additional yield generated by securities in these sectors as well as the gains associated with narrowing risk premiums for credit. The Fund’s high yield overweight was particularly beneficial, as the segment was further bolstered by strong inflows for the majority of the period as well as the ongoing low default level. Consistent with other themes in credit, the Fund’s exposure to emerging market (EM) credit contributed modestly to its twelve-month reporting period results.
Our strong bias toward bank/financial credits within the Fund’s investment-grade portfolio also added significantly to its results. According to Barclays, the financial sub-sector of the investment-grade market was one of the top-performing areas of the overall fixed income market during the reporting period. For quite some time, we have been strong proponents of the value of financial credits based on their improving investment fundamentals. The market increasingly embraced this view during the period as financial spreads tightened versus industrials, continuing the segment’s strong relative performance. A number of our other individual credit selection themes within the industrial sectors also benefited the Fund’s returns.
The Fund’s foreign exposure contributed positively to portfolio return, particularly during the first six months of the reporting period, as we emphasized growth-sensitive, higher yielding currencies over the U.S. dollar. Currency exposure drove the outperformance, while foreign interest rates detracted marginally. During this period, the U.S. dollar and the yen declined against most currencies globally, while the euro saw a recovery from depressed levels. However, later in the period during the strong U.S. dollar rally, we gave back a portion of the gains we reaped from the Fund’s foreign currency exposure, although this was moderated by timely position reduction and through market selection.
Our duration strategy, which indicates the Fund’s sensitivity to interest rate changes, was biased to be defensively positioned with duration shorter than the benchmark. However, we also responded tactically to developing conditions in monetary policy and valuation. Our various duration moves aided performance during the twelve-month reporting period.
In regards to the securitized areas of the market, our Fund’s small position in commercial mortgage-backed securities (CMBS) contributed favorably to returns. The CMBS segment was the top-performing securitized sector over the reporting period. The sector benefited from investor demand for high quality, lower risk bonds with incremental spread over government securities. Meanwhile, the Fund remained significantly underweight to mortgage-backed securities
(MBS), and the segment had little impact on its results. Although the MBS sector modestly outperformed Treasuries, other securitized areas were stronger as the Fed’s buying program pushed MBS valuations to very expensive levels.
With its strong relative performance, the Fund experienced no meaningful detractors during the reporting period.
While our primary strategic sector and duration themes remained in place during the period, we did take advantage of volatile market conditions to make adjustments to the Fund to manage risk and position for intermediate-term performance opportunities. After reducing the Fund’s exposure to investment grade in April 2013 given the segment’s strong performance, we selectively added positions at the end of the reporting period as the market cheapened significantly. Similarly, after having reduced high yield exposure, we took advantage of attractive valuations to add to credits to the Fund with attractive yield and return potential, ending the period at a higher weighting. We reduced the Fund’s foreign currency exposure toward period end, given valuation changes and fundamental developments in global interest rates and flows, while selectively adding to foreign bond exposure at higher yields. We remained significantly underweight in the agency MBS sector as we saw better return opportunities in other market segments. We also continued to actively manage interest rate exposure, remaining defensive in the Fund’s portfolio duration stance in order to protect against higher rates.
We also invested in various derivative instruments during the period. Foreign exchange forwards were used to manage foreign currency exposure and to gain exposure from selected foreign currencies, as well as in some cases to hedge the currency risk present in a foreign bond. For example, to reduce unwanted currency exposure from the Fund’s portfolio, the Fund would acquire a short foreign currency forward. The overall effect these contracts had on performance during the period was positive. We also used options on foreign currency as part of an overall portfolio currency strategy. For example, call options may be purchased to hedge the portfolio from foreign currency movements while limiting downside exposure to the portfolio. The effect of these activities mildly impacted performance during the period.
Interest rate futures were used as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure. To decrease the duration of the Fund’s portfolio, a short Treasury bond or Treasury note futures position was acquired. The overall effect on performance during the period was mildly positive. We also utilized interest rate swaps to manage portfolio duration and yield curve exposure and these positions also benefited performance during the period.
We used options on U.S. Treasury note and bond futures as part of an overall portfolio interest rate strategy. For example, call options may be purchased to hedge the portfolio against adverse interest rate movements while limiting downside exposure to the portfolio. Options may also be used to express views on volatility. For example, writing out-of-the-money calls when implied volatility is high. The effect of these activities mildly impacted performance during the period.
Credit default swaps were used to add diversified exposure to a broad segment of the credit markets, or to express a view on credit as part of an overall portfolio sector management strategy. For example, to increase the Fund’s credit exposure to the high yield bond segment of the market, a long CDX High Yield Index swap would be acquired. These positions added to performance during the period.
Risk Considerations
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Funds, are subject to market risk, credit risk, interest rate risk, call risk, derivatives risk, dollar roll transaction risk, and income risk. As interest rates rise, bond prices fall. Below investment grade or high yield debt securities are subject to liquidity risk and heightened credit risk. Foreign investments involve additional risks, including currency fluctuation, political and economic instability, lack of liquidity and differing legal and accounting standards. Asset-backed and mortgage-backed securities are subject to additional risks such as prepayment risk, liquidity risk, default risk and adverse economic developments.
Below investment grade or high yield debt securities such as those held by the Nuveen Core Plus Bond Fund, the Nuveen High Income Bond Fund, the Nuveen Inflation Protected Securities Fund, the Nuveen Short Term Bond Fund and the Nuveen Strategic Income Fund are subject to liquidity risk and heightened credit risk.
Foreign investments such as those held by the Nuveen Core Plus Bond Fund, the Nuveen High Income Bond Fund, the Nuveen Inflation Protected Securities Fund, the Nuveen Short Term Bond Fund, and the Nuveen Strategic Income Fund involve additional risks, including currency fluctuation, political and economic instability, lack of liquidity and differing legal and accounting standards. These risks are magnified in emerging markets.
The Nuveen Global Total Return Bond Fund’s potential use of derivative instruments involves a high degree of financial risk and additional transaction costs.
For the Nuveen Inflation Protected Securities Fund, the guarantee provided by the U.S. government to Treasury inflation protected securities (TIPS) relates only to the prompt payment of principal and interest and does not remove the market risks of investing in the Fund’s shares. The Fund’s investment in inflation protected securities has tax consequences that may result in income distributions to shareholders.
Dividend Information
Each Fund seeks to pay dividends at a rate that reflects the past and projected performance of the Fund. To permit a Fund to maintain a more stable monthly dividend, the Fund may pay dividends at a rate that may be more or less than the amount of net investment income actually earned by the Fund during the period. If the Fund has cumulatively earned more than it has paid in dividends, it will hold the excess in reserve as undistributed net investment income (UNII) as part of the Fund’s net asset value. Conversely, if the Fund has cumulatively paid in dividends more than it has earned, the excess will constitute negative UNII that will likewise be reflected in the Fund’s net asset value. Each Fund will, over time, pay all its net investment income as dividends to shareholders. As of June 30, 2013, all of the Funds had positive UNII balances for tax purposes. The Nuveen Global Total Return Bond Fund and the Nuveen Strategic Income Fund had a positive UNII balance while the remaining six Funds had a negative UNII balance for financial reporting purposes.
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Fund Performance and Expense Ratios
The Fund Performance and Expense Ratios for each Fund are shown on the following sixteen pages.
Returns quoted represent past performance, which is no guarantee of future results. Current performance may be higher or lower than the performance shown. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than their original cost. Returns without sales charges would be lower if the sales charge were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.
Returns may reflect a contractual agreement between certain Funds and the investment adviser to waive certain fees and expenses; see Notes to Financial Statements, Footnote 7 — Management Fees and Other Transactions with Affiliates for more information. In addition, returns may reflect a voluntary expense limitation by the Funds’ investment adviser that may be modified or discontinued at any time without notice. For the most recent month-end performance visit www.nuveen.com or call (800) 257-8787.
Returns reflect differences in sales charges and expenses, which are primarily differences in distribution and service fees. Fund returns assume reinvestment of dividends and capital gains.
Comparative index and Lipper return information is provided for the Funds’ Class A Shares at net asset value (NAV) only.
The expense ratios shown reflect the Funds’ total operating expenses (before fee waivers and/or expense reimbursements, if any) as shown in the Funds’ most recent prospectus. The expense ratios include management fees and other fees and expenses.
Fund Performance and Expense Ratios (continued)
Nuveen Core Bond Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | 10-Year | |
Class A Shares at NAV | | | -0.38% | | | | 4.71% | | | | 3.81% | |
Class A Shares at maximum Offering Price | | | -3.37% | | | | 4.07% | | | | 3.49% | |
Barclays Aggregate Bond Index* | | | -0.69% | | | | 5.19% | | | | 4.52% | |
Barclay Intermediate Govt’ / Credit Bond Index* | | | 0.28% | | | | 4.57% | | | | 4.03% | |
Lipper Intermediate Investment Grade Debt Funds Classification Average* | | | 0.53% | | | | 5.43% | | | | 4.20% | |
| | | |
Class I Shares | | | -0.16% | | | | 4.87% | | | | 3.97% | |
| | | | | | | | |
| |
| | | Average Annual | |
| | |
| | | 1-Year | | | Since
Inception** | |
Class C Shares | | | -1.17% | | | | 1.84% | |
Class A Shares have a maximum 3.00% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | | | | | |
| | |
| | | Gross
Expense
Ratios | | | Net
Expense
Ratios | |
Class A Shares | | | 0.79% | | | | 0.78% | |
Class C Shares | | | 1.54% | | | | 1.53% | |
Class I Shares | | | 0.54% | | | | 0.53% | |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2013 so that total annual Fund operating expenses, after fee waivers and/or expense reimbursements and excluding acquired fund fees and Expenses, do not exceed 0.78%, 1.53% and 0.53% for Class A, Class C and Class I shares, respectively. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Fund’s Board of Directors.
| * | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
| ** | Since inception return for Class C Shares is from 1/18/11. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen Core Plus Bond Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | 10-Year | |
Class A Shares at NAV | | | 2.40% | | | | 5.70% | | | | 4.35% | |
Class A Shares at maximum Offering Price | | | -1.98% | | | | 4.79% | | | | 3.90% | |
Barclays Aggregate Bond Index* | | | -0.69% | | | | 5.19% | | | | 4.52% | |
Lipper Intermediate Investment Grade Debt Funds Classification Average* | | | 0.53% | | | | 5.43% | | | | 4.20% | |
| | | |
Class B Shares w/o CDSC | | | 1.56% | | | | 4.92% | | | | 3.57% | |
Class B Shares w/CDSC | | | -3.36% | | | | 4.75% | | | | 3.57% | |
Class C Shares | | | 1.59% | | | | 4.89% | | | | 3.57% | |
Class R3 Shares | | | 2.11% | | | | 5.50% | | | | 4.16% | |
Class I Shares | | | 2.52% | | | | 5.94% | | | | 4.61% | |
Class A Shares have a maximum 4.25% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class B Shares have a CDSC that begins at 5% for redemptions during the first year and declines periodically until after six years when the charge becomes 0%. Class B Shares automatically convert to Class A Shares eight years after purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | | | | | |
| | |
| | | Gross
Expense
Ratios | | | Net
Expense
Ratios | |
Class A Shares | | | 0.82% | | | | 0.77% | |
Class B Shares | | | 1.56% | | | | 1.52% | |
Class C Shares | | | 1.57% | | | | 1.52% | |
Class R3 Shares | | | 1.06% | | | | 1.02% | |
Class I Shares | | | 0.56% | | | | 0.52% | |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2013 so that total annual Fund operating expenses, after fee waivers and/or expense reimbursements and excluding acquired fund fees and Expenses, do not exceed 0.77%, 1.52%, 1.52%, 1.02% and 0.52% for Class A, Class B, Class C, Class R3 and Class I shares, respectively. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Fund’s Board of Directors.
| * | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen Global Total Return Bond Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | |
| |
| | | Average Annual | |
| | |
| | | 1-Year | | | Since Inception* | |
Class A Shares at NAV | | | 2.47% | | | | 6.27% | |
Class A Shares at maximum Offering Price | | | -2.42% | | | | 3.03% | |
Barclays Global Aggregate Unhedged Bond Index** | | | -2.18% | | | | -0.15% | |
Lipper Global Income Funds Classification Average** | | | 0.95% | | | | 3.05% | |
| | |
Class C Shares | | | 1.94% | | | | 5.72% | |
Class R3 Shares | | | 2.34% | | | | 6.16% | |
Class I Shares | | | 2.86% | | | | 6.71% | |
Class A Shares have a maximum 4.75% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are only available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | | | | | |
| | |
| | | Gross Expense Ratios | | | Net Expense Ratios | |
Class A Shares | | | 1.67% | | | | 0.98% | |
Class C Shares | | | 2.42% | | | | 1.72% | |
Class R3 Shares | | | 1.92% | | | | 1.23% | |
Class I Shares | | | 1.42% | | | | 0.73% | |
The Fund’s investment adviser has agreed to waive fees and/or reimburse expenses through October 31, 2014, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, acquired fund fees and expenses, taxes, fees incurred in acquiring and disposing of portfolio securities, and extraordinary expenses) do not exceed 0.75% of the average daily net assets of any class of Fund shares. The expense limitation expiring October 31, 2014, may be terminated or modified prior to that date only with the approval of the Board of Trustees of the Fund.
| * | Since inception returns are from 12/02/11. |
| ** | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graph does not reflect the deduction of taxes, that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen High Income Bond Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | 10-Year | |
Class A Shares at NAV | | | 11.99% | | | | 9.72% | | | | 7.92% | |
Class A Shares at maximum Offering Price | | | 6.68% | | | | 8.66% | | | | 7.39% | |
Barclays High Yield 2% Issuer Capped Index* | | | 9.49% | | | | 11.00% | | | | 8.90% | |
Lipper High Yield Funds Classification Average* | | | 8.95% | | | | 8.66% | | | | 7.51% | |
| | | |
Class B Shares w/o CDSC | | | 11.34% | | | | 8.95% | | | | 7.15% | |
Class B Shares w/CDSC | | | 6.34% | | | | 8.81% | | | | 7.15% | |
Class C Shares | | | 11.33% | | | | 8.98% | | | | 7.15% | |
Class R3 Shares | | | 11.79% | | | | 9.44% | | | | 7.66% | |
Class I Shares | | | 12.39% | | | | 10.02% | | | | 8.20% | |
Class A Shares have a maximum 4.75% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class B Shares have a CDSC that begins at 5% for redemptions during the first year and declines periodically until after six years when the charge becomes 0%. Class B Shares automatically convert to Class A Shares eight years after purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | |
| |
| | | Expense
Ratios | |
Class A Shares | | | 0.98% | |
Class B Shares | | | 1.73% | |
Class C Shares | | | 1.72% | |
Class R3 Shares | | | 1.23% | |
Class I Shares | | | 0.74% | |
| * | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen Inflation Protected Securities Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | Since
Inception* | |
Class A Shares at NAV | | | -5.07% | | | | 4.20% | | | | 4.58% | |
Class A Shares at maximum Offering Price | | | -9.07% | | | | 3.30% | | | | 4.07% | |
Barclays U.S. TIPs Index** | | | -4.78% | | | | 4.41% | | | | 5.11% | |
Lipper Inflation-Protected Bond Funds Classification Average** | | | -4.39% | | | | 3.50% | | | | 4.51% | |
| | | |
Class C Shares | | | -5.39% | | | | 3.49% | | | | 3.83% | |
Class R3 Shares | | | -5.02% | | | | 3.84% | | | | 4.28% | |
Class I Shares | | | -4.46% | | | | 4.51% | | | | 4.87% | |
Class A Shares have a maximum 4.25% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | |
| |
| | | Expense
Ratios | |
Class A Shares | | | 0.82% | |
Class C Shares | | | 1.57% | |
Class R3 Shares | | | 1.08% | |
Class I Shares | | | 0.57% | |
| * | Since inception returns are from 10/01/04. |
| ** | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen Intermediate Government Bond Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | 10-Year | |
Class A Shares at NAV | | | -0.74% | | | | 3.45% | | | | 3.28% | |
Class A Shares at maximum Offering Price | | | -3.72% | | | | 2.83% | | | | 2.96% | |
Barclays Intermediate Government Bond Index* | | | -0.59% | | | | 3.80% | | | | 3.70% | |
Lipper Intermediate U.S. Government Funds Classification Average* | | | 1.67% | | | | 4.02% | | | | 3.52% | |
| | | |
Class I Shares | | | -0.53% | | | | 3.64% | | | | 3.45% | |
| | | | | | | | |
| |
| | | Average Annual | |
| | |
| | | 1-Year | | | Since
Inception** | |
Class C Shares | | | -1.53% | | | | 1.93% | |
Class R3 Shares | | | -1.00% | | | | 2.40% | |
Class A Shares have a maximum 3.00% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | | | | | |
| | |
| | | Gross
Expense
Ratios | | | Net
Expense
Ratios | |
Class A Shares | | | 0.93% | | | | 0.85% | |
Class C Shares | | | 1.68% | | | | 1.60% | |
Class R3 Shares | | | 1.18% | | | | 1.10% | |
Class I Shares | | | 0.68% | | | | 0.60% | |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2013, so that total annual Fund operating expenses, after fee waivers and/or expense reimbursements and excluding acquired fund fees and expenses, do not exceed 0.85%, 1.60%, 1.10% and 0.60% for Class A, Class C, Class R3 and Class I Shares, respectively. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Fund’s Board of Directors.
| * | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
| ** | Since inception returns for Class C and Class R3 Shares are from 10/28/09. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen Short Term Bond Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | 10-Year | |
Class A Shares at NAV | | | 2.30% | | | | 3.12% | | | | 2.81% | |
Class A Shares at maximum Offering Price | | | -0.01% | | | | 2.65% | | | | 2.57% | |
Barclays 1-3 Year Government/Credit Bond Index* | | | 0.74% | | | | 2.47% | | | | 2.92% | |
Lipper Short Investment Grade Debt Funds Classification Average* | | | 1.31% | | | | 2.73% | | | | 2.69% | |
| | | |
Class I Shares | | | 2.65% | | | | 3.33% | | | | 2.99% | |
| | | | | | | | |
| |
| | | Average Annual | |
| | |
| | | 1-Year | | | Since
Inception** | |
Class C Shares | | | 1.61% | | | | 1.70% | |
Class R3 Shares | | | 2.10% | | | | 2.83% | |
Class A Shares have a maximum 2.25% sales charge (Offering Price). Class A Share purchases of $250,000 or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | | | | | |
| | |
| | | Gross
Expense
Ratios | | | Net
Expense
Ratios | |
Class A Shares | | | 0.75% | | | | 0.72% | |
Class C Shares | | | 1.50% | | | | 1.47% | |
Class R3 Shares | | | 0.97% | | | | 0.97% | |
Class I Shares | | | 0.50% | | | | 0.47% | |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2013 so that total annual Fund operating expenses, after fee waivers and/or expense reimbursements and excluding acquired fund fees and expenses, do not exceed 0.72%, 1.47%, 0.97% and 0.47% for Class A, Class C, Class R3 and Class I shares, respectively. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Fund’s Board of Directors.
| * | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
| ** | Since inception return for Class C Shares is from 10/28/09. Since inception return for Class R3 Shares is from 9/23/11. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Fund Performance and Expense Ratios (continued)
Nuveen Strategic Income Fund
Refer to the first page of this Fund Performance and Expense Ratios section for further explanation of the information included within this page.
Fund Performance
Average Annual Total Returns as of June 30, 2013
| | | | | | | | | | | | |
| |
| | | Average Annual | |
| | | |
| | | 1-Year | | | 5-Year | | | 10-Year | |
Class A Shares at NAV | | | 6.25% | | | | 7.89% | | | | 5.72% | |
Class A Shares at maximum Offering Price | | | 1.74% | | | | 6.96% | | | | 5.26% | |
Barclays Aggregate Bond Index* | | | -0.69% | | | | 5.19% | | | | 4.52% | |
Lipper Multi-Sector Income Funds Classification Average* | | | 4.85% | | | | 6.73% | | | | 5.98% | |
| | | |
Class B Shares w/o CDSC | | | 5.30% | | | | 7.02% | | | | 4.90% | |
Class B Shares w/CDSC | | | 0.30% | | | | 6.87% | | | | 4.90% | |
Class C Shares | | | 5.50% | | | | 7.07% | | | | 4.92% | |
Class R3 Shares | | | 5.89% | | | | 7.53% | | | | 5.44% | |
Class I Shares | | | 6.42% | | | | 8.12% | | | | 5.96% | |
Class A Shares have a maximum 4.25% sales charge (Offering Price). Class A Share purchases of $1 million or more are sold at net asset value without an up-front sales charge but may be subject to a contingent deferred sales charge (CDSC), also known as a back-end sales charge, if redeemed within eighteen months of purchase. Class B Shares have a CDSC that begins at 5% for redemptions during the first year and declines periodically until after six years when the charge becomes 0%. Class B Shares automatically convert to Class A Shares eight years after purchase. Class C Shares have a 1% CDSC for redemptions within less than twelve months, which is not reflected in the one-year total return. Class R3 Shares have no sales charge and are available to only certain retirement plans. Class I Shares have no sales charge and may be purchased under limited circumstances or by specified classes of investors.
Expense Ratios as of Most Recent Prospectus
| | | | | | | | |
| | |
| | | Gross
Expense
Ratios | | | Net
Expense
Ratios | |
Class A Shares | | | 0.91% | | | | 0.85% | |
Class B Shares | | | 1.66% | | | | 1.60% | |
Class C Shares | | | 1.66% | | | | 1.60% | |
Class R3 Shares | | | 1.17% | | | | 1.10% | |
Class I Shares | | | 0.67% | | | | 0.60% | |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2013, so that total annual Fund operating expenses, after fee waivers and/or expense reimbursements and excluding acquired fund fees and expenses, do not exceed 0.84%, 1.59%, 1.59%, 1.09% and 0.59% for Class A, Class B, Class C, Class R3 and Class I Shares, respectively. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Fund’s Board of Directors.
| * | Refer to the Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment. |
Growth of an Assumed $10,000 Investment as of June 30, 2013 – Class A Shares
The graphs do not reflect the deduction of taxes that a shareholder may pay on Fund distributions or the redemption of Fund shares.
Yields as of June 30, 2013
Dividend Yield is the most recent dividend per share (annualized) divided by the offering price per share.
The SEC 30-Day Yield is a standardized measure of a Fund’s yield that accounts for the future amortization of premiums or discounts of bonds held in the Fund’s portfolio. The SEC 30-Day Yield is computed under an SEC standardized formula and is based on the maximum offer price per share. Dividend Yield may differ from the SEC 30-Day Yield because the Fund may be paying out more or less than it is earning and it may not include the effect of amortization of bond premium.
Nuveen Core Bond Fund (formerly Nuveen Intermediate Term Bond Fund)
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 1.90% | | | | 1.90% | |
Class C Shares | | | 1.13% | | | | 1.11% | |
Class I Shares | | | 2.20% | | | | 2.21% | |
Nuveen Core Plus Bond Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 3.51% | | | | 3.51% | |
Class B Shares | | | 2.91% | | | | 2.91% | |
Class C Shares | | | 2.89% | | | | 2.91% | |
Class R3 Shares | | | 3.44% | | | | 3.42% | |
Class I Shares | | | 3.99% | | | | 3.93% | |
Nuveen Global Total Return Bond Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 3.37% | | | | 2.75% | |
Class C Shares | | | 2.71% | | | | 2.13% | |
Class R3 Shares | | | 3.24% | | | | 2.65% | |
Class I Shares | | | 3.78% | | | | 3.12% | |
Nuveen High Income Bond Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 6.55% | | | | 6.65% | |
Class B Shares | | | 6.10% | | | | 6.22% | |
Class C Shares | | | 6.15% | | | | 6.22% | |
Class R3 Shares | | | 6.67% | | | | 6.74% | |
Class I Shares | | | 7.13% | | | | 7.26% | |
Nuveen Inflation Protected Securities Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 1.04% | | | | -0.93% | |
Class C Shares | | | 0.27% | | | | -1.73% | |
Class R3 Shares | | | 0.81% | | | | -1.16% | |
Class I Shares | | | 1.35% | | | | -0.67% | |
| (1) | The SEC Yield for Class A Shares quoted in the table reflects the maximum sales load. Investors paying a reduced load because of volume discounts, investors paying no load because they qualify for one of the several exclusions from the load, and existing shareholders who previously paid a load but would like to know the SEC Yield applicable to their shares on a going-forward basis, should understand that the SEC Yield effectively applicable to them would be higher than the figure quoted in the table. |
Nuveen Intermediate Government Bond Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 1.59% | | | | 1.54% | |
Class C Shares | | | 0.82% | | | | 0.84% | |
Class R3 Shares | | | 1.37% | | | | 1.36% | |
Class I Shares | | | 1.84% | | | | 1.85% | |
Nuveen Short Term Bond Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 1.82% | | | | 1.51% | |
Class C Shares | | | 1.08% | | | | 0.79% | |
Class R3 Shares | | | 1.56% | | | | 1.27% | |
Class I Shares | | | 2.10% | | | | 1.77% | |
Nuveen Strategic Income Fund
| | | | | | | | |
| | |
| | | Dividend
Yield | | | SEC 30-Day
Yield | |
Class A Shares(1) | | | 4.64% | | | | 4.65% | |
Class B Shares | | | 4.05% | | | | 4.11% | |
Class C Shares | | | 4.06% | | | | 4.10% | |
Class R3 Shares | | | 4.62% | | | | 4.62% | |
Class I Shares | | | 5.12% | | | | 5.12% | |
| (1) | The SEC Yield for Class A Shares quoted in the table reflects the maximum sales load. Investors paying a reduced load because of volume discounts, investors paying no load because they qualify for one of the several exclusions from the load, and existing shareholders who previously paid a load but would like to know the SEC Yield applicable to their shares on a going-forward basis, should understand that the SEC Yield effectively applicable to them would be higher than the figure quoted in the table. |
Holding Summaries as of June 30, 2013
This data relates to the securities held in each Fund’s portfolio of investments. It should not be construed as a measure of performance for the Fund itself.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
Nuveen Core Bond Fund
| | | | |
| Portfolio Credit Quality1 | |
| AAA/U.S. Guaranteed | | | 56.5% | |
| AA | | | 5.3% | |
| A | | | 19.4% | |
| BBB | | | 17.5% | |
| BB or Lower | | | 0.9% | |
| N/R | | | 0.4% | |
Nuveen Core Plus Bond Fund
| | | | |
| Portfolio Credit Quality1 | |
| AAA/U.S. Guaranteed | | | 35.4% | |
| AA | | | 3.6% | |
| A | | | 19.0% | |
| BBB | | | 28.1% | |
| BB or Lower | | | 13.1% | |
| N/R | | | 0.8% | |
| | | | |
| Portfolio Allocation2 | | | |
| Asset-Backed and Mortgage-Backed Securities | | | 46.9% | |
| Corporate Bonds | | | 36.0% | |
| U.S. Government and Agency Obligations | | | 8.8% | |
| Short-Term Investments | | | 5.4% | |
| Municipal Bonds | | | 1.3% | |
| $1,000 Par (or similar) Institutional Structures | | | 1.3% | |
| Sovereign Debt | | | 0.3% | |
| | | | |
| Portfolio Allocation2 | | | |
| Corporate Bonds | | | 50.3% | |
| Asset-Backed and Mortgage-Backed Securities | | | 35.3% | |
| U.S. Government and Agency Obligations | | | 5.3% | |
| $1,000 Par (or similar) Institutional Structures | | | 3.9% | |
| $25 Par (or similar) Retail Structures | | | 2.4% | |
| Short-Term Investments | | | 1.8% | |
| Municipal Bonds | | | 0.9% | |
| Sovereign Debt | | | 0.1% | |
| | | | |
| Corporate Debt: Industries3 | |
| Diversified Financial Services | | | 13.1% | |
| Oil, Gas & Consumable Fuels | | | 10.0% | |
| Metals & Mining | | | 10.0% | |
| Commercial Banks | | | 9.1% | |
| Media | | | 8.8% | |
| Insurance | | | 7.5% | |
| Capital Markets | | | 5.6% | |
| Health Care Providers & Services | | | 3.5% | |
| Energy Equipment & Services | | | 3.2% | |
| Diversified Telecommunication Services | | | 3.0% | |
| Pharmaceuticals | | | 2.6% | |
| Wireless Telecommunication Services | | | 2.5% | |
| Electric Utilities | | | 2.1% | |
| Other | | | 19.0% | |
| | | | |
| Corporate Debt: Industries3 | |
| Oil, Gas & Consumable Fuels | | | 11.5% | |
| Diversified Financial Services | | | 10.0% | |
| Media | | | 9.9% | |
| Metals & Mining | | | 9.7% | |
| Capital Markets | | | 7.8% | |
| Insurance | | | 6.1% | |
| Commercial Banks | | | 5.7% | |
| Energy Equipment & Services | | | 4.7% | |
| Diversified Telecommunication Services | | | 3.9% | |
| Chemicals | | | 2.2% | |
| Paper & Forest Products | | | 2.2% | |
| Computers & Peripherals | | | 2.2% | |
| Tobacco | | | 2.0% | |
| Consumer Finance | | | 2.0% | |
| Real Estate Investment Trust | | | 2.0% | |
| Other | | | 18.1% | |
| 1 | As a percentage of total investments (excluding short-term investments, investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 2 | As a percentage of total investments (excluding investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 3 | As a percentage of total corporate debt holdings. Corporate debt holdings include corporate bonds (high-yield and investment grade rated), convertible bonds, and any other debt instruments issued by a corporation (or that references a corporation) held by the Fund. Holdings are subject to change. |
Nuveen Global Total Return Bond Fund
| | | | |
| Portfolio Credit Quality1 | |
| AAA/U.S. Guaranteed | | | 16.7% | |
| AA | | | 5.0% | |
| A | | | 26.2% | |
| BBB | | | 29.3% | |
| BB or Lower | | | 22.6% | |
| N/R | | | 0.2% | |
Nuveen High Income Bond Fund
| | | | |
| Portfolio Credit Quality5 | |
| AAA/U.S. Guaranteed | | | 0.2% | |
| AA | | | —% | 7 |
| BBB | | | 4.8% | |
| BB or Lower | | | 85.8% | |
| N/R | | | 9.2% | |
| | | | |
| Portfolio Allocation2 | | | |
| Corporate Bonds | | | 36.6% | |
| Sovereign Debt | | | 35.7% | |
| Short-Term Investments | | | 13.6% | |
| Asset-Backed and Mortgage-Backed Securities | | | 9.6% | |
| $1,000 Par (or similar) Institutional Structures | | | 2.9% | |
| $25 Par (or similar) Retail Structures | | | 1.5% | |
| Convertible Bonds | | | 0.1% | |
| | | | |
| Country Allocation2 | |
| United States | | | 35.7% | |
| Mexico | | | 10.1% | |
| United Kingdom | | | 5.9% | |
| Turkey | | | 5.8% | |
| Russia | | | 2.6% | |
| South Africa | | | 2.5% | |
| Canada | | | 2.4% | |
| Norway | | | 2.1% | |
| Short-Term Investments4 | | | 13.6% | |
| Other | | | 19.3% | |
| | | | |
| Portfolio Allocation6 | | | |
| Corporate Bonds | | | 80.9% | |
| $25 Par (or similar) Retail Structures | | | 6.6% | |
| $1,000 Par (or similar) Institutional Structures | | | 6.0% | |
| Short-Term Investments | | | 1.9% | |
| Investment Companies | | | 1.5% | |
| Common Stocks | | | 1.3% | |
| Convertible Bonds | | | 0.7% | |
| Sovereign Debt | | | 0.5% | |
| Variable Rate Senior Loan Interests | | | 0.3% | |
| Convertible Preferred Securities | | | 0.2% | |
| U.S. Government and Agency Obligations | | | 0.1% | |
| Asset-Backed and Mortgage-Backed Securities | | | —% | 7 |
| Warrants | | | —% | 7 |
| | | | |
| Corporate Debt: Industries3 | |
| Oil, Gas & Consumable Fuels | | | 20.7% | |
| Diversified Financial Services | | | 10.1% | |
| Metals & Mining | | | 9.9% | |
| Capital Markets | | | 7.9% | |
| Media | | | 6.4% | |
| Diversified Telecommunication Services | | | 3.4% | |
| Chemicals | | | 2.9% | |
| Energy Equipment & Services | | | 2.8% | |
| Construction & Engineering | | | 2.7% | |
| Health Care Providers & Services | | | 2.6% | |
| Insurance | | | 2.6% | |
| Consumer Finance | | | 2.1% | |
| Machinery | | | 1.9% | |
| Wireless Telecommunication Services | | | 1.9% | |
| Containers & Packaging | | | 1.8% | |
| Auto Components | | | 1.7% | |
| Other | | | 18.6% | |
| | | | |
| Corporate Debt: Industries3 | |
| Oil, Gas & Consumable Fuels | | | 19.3% | |
| Metals & Mining | | | 7.8% | |
| Media | | | 5.2% | |
| Diversified Telecommunication Services | | | 3.5% | |
| Energy Equipment & Services | | | 3.3% | |
| Commercial Services & Supplies | | | 3.3% | |
| Chemicals | | | 3.2% | |
| Food Products | | | 3.1% | |
| Diversified Financial Services | | | 3.1% | |
| Hotels, Restaurants & Leisure | | | 3.0% | |
| Health Care Providers & Services | | | 2.6% | |
| Wireless Telecommunication Services | | | 2.5% | |
| Commercial Banks | | | 2.3% | |
| Communications Equipment | | | 2.1% | |
| Electric Utilities | | | 2.0% | |
| Machinery | | | 2.0% | |
| Containers & Packaging | | | 1.9% | |
| Real Estate Management & Development | | | 1.9% | |
| Paper & Forest Products | | | 1.8% | |
| Independent Power Producers & Energy Traders | | | 1.6% | |
| Auto Components | | | 1.5% | |
| Pharmaceuticals | | | 1.4% | |
| IT Services | | | 1.4% | |
| Automobiles | | | 1.3% | |
| Other | | | 18.9% | |
| 1 | As a percentage of total investments (excluding short-term investments and investments in derivatives). Holdings are subject to change. |
| 2 | As a percentage of total investments (excluding investments in derivatives). Holdings are subject to change. |
| 3 | As a percentage of total corporate debt holdings. Corporate debt holdings include corporate bonds (high-yield and investment grade rated), convertible bonds, and any other debt instruments issued by a corporation (or that references a corporation) held by the Fund. Holdings are subject to change. |
| 4 | Denominated in U.S. Dollars. |
| 5 | As a percentage of total investments (excluding common stocks, investment companies, warrants, short-term investments, investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 6 | As a percentage of total investments (excluding investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 7 | Rounds to less than 0.1%. |
Holding Summaries (continued) as of June 30, 2013
Nuveen Inflation Protected Securities Fund
| | | | |
| Portfolio Credit Quality1 | |
| AAA/U.S. Guaranteed | | | 89.3% | |
| AA | | | 2.3% | |
| A | | | 2.7% | |
| BBB | | | 1.4% | |
| BB or Lower | | | 4.3% | |
Nuveen Intermediate Government Bond Fund
| | | | |
| Portfolio Credit Quality4 | |
| AAA/U.S. Guaranteed | | | 93.7% | |
| AA | | | 4.4% | |
| A | | | 1.2% | |
| BB or Lower | | | 0.7% | |
| | | | |
| Portfolio Allocation2 | | | |
| U.S. Government and Agency Obligations | | | 84.8% | |
| Asset-Backed and Mortgage-Backed Securities | | | 7.6% | |
| Corporate Bonds | | | 5.6% | |
| Municipal Bonds | | | 0.8% | |
| Sovereign Debt | | | 0.6% | |
| Investment Companies | | | 0.3% | |
| $1,000 Par (or similar) Institutional Structures | | | 0.2% | |
| $25 Par (or similar) Retail Structures | | | 0.1% | |
| | | | |
| Portfolio Allocation2 | | | |
| Asset-Backed and Mortgage-Backed Securities | | | 56.8% | |
| U.S. Government and Agency Obligations | | | 36.7% | |
| Municipal Bonds | | | 3.2% | |
| Short-Term Investments | | | 2.7% | |
| Corporate Bonds | | | 0.6% | |
| | | | |
| Corporate Debt: Industries3 | |
| Oil, Gas & Consumable Fuels | | | 19.3% | |
| Health Care Providers & Services | | | 17.5% | |
| Metals & Mining | | | 7.9% | |
| Wireless Telecommunication Services | | | 5.5% | |
| Commercial Services & Supplies | | | 4.7% | |
| Independent Power Producers & Energy Traders | | | 3.5% | |
| Media | | | 3.2% | |
| Auto Components | | | 3.1% | |
| Chemicals | | | 2.9% | |
| Automobiles | | | 2.9% | |
| Electric Utilities | | | 2.8% | |
| Containers & Packaging | | | 2.5% | |
| Pharmaceuticals | | | 2.4% | |
| Diversified Financial Services | | | 2.4% | |
| Other | | | 19.4% | |
| | | | |
| Corporate Debt: Industries3 | |
| Health Care Providers & Services | | | 100.0% | |
| 1 | As a percentage of total investments (excluding investment companies, investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 2 | As a percentage of total investments (excluding investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 3 | As a percentage of total corporate debt holdings. Corporate debt holdings include corporate bonds (high-yield and investment grade rated), convertible bonds, and any other debt instruments issued by a corporation (or that references a corporation) held by the Fund. Holdings are subject to change. |
| 4 | As a percentage of total investments (excluding short-term investments, investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
Nuveen Short Term Bond Fund
| | | | |
| Portfolio Credit Quality1 | |
| AAA/U.S. Guaranteed | | | 39.9% | |
| AA | | | 7.3% | |
| A | | | 23.8% | |
| BBB | | | 17.5% | |
| BB or Lower | | | 9.1% | |
| N/R | | | 2.4% | |
Nuveen Strategic Income Fund
| | | | |
| Portfolio Credit Quality4 | |
| AAA/U.S. Guaranteed | | | 6.1% | |
| AA | | | 2.6% | |
| A | | | 18.8% | |
| BBB | | | 34.6% | |
| BB or Lower | | | 36.2% | |
| N/R | | | 1.7% | |
| | | | |
| Portfolio Allocation2 | | | |
| Asset-Backed and Mortgage-Backed Securities | | | 44.9% | |
| Corporate Bonds | | | 44.3% | |
| Short-Term Investments | | | 3.4% | |
| Municipal Bonds | | | 3.3% | |
| U.S. Government and Agency Obligations | | | 3.3% | |
| Sovereign Debt | | | 0.4% | |
| Convertible Bonds | | | 0.2% | |
| Structured Notes | | | 0.2% | |
| | | | |
| Portfolio Allocation2 | | | |
| Corporate Bonds | | | 69.5% | |
| Asset-Backed and Mortgage-Backed Securities | | | 11.1% | |
| Sovereign Debt | | | 8.7% | |
| $1,000 Par (or similar) Institutional Structures | | | 6.4% | |
| $25 Par (or similar) Retail Structures | | | 3.1% | |
| Municipal Bonds | | | 0.7% | |
| Investment Companies | | | 0.2% | |
| Short-Term Investments | | | 0.1% | |
| Convertible Bonds | | | 0.1% | |
| Structured Notes | | | 0.1% | |
| Common Stocks | | | —% | 5 |
| | | | |
| Corporate Debt: Industries3 | |
| Diversified Financial Services | | | 12.3% | |
| Commercial Banks | | | 10.8% | |
| Oil, Gas & Consumable Fuels | | | 8.8% | |
| Capital Markets | | | 6.1% | |
| Insurance | | | 4.9% | |
| Metals & Mining | | | 4.8% | |
| Media | | | 4.3% | |
| Health Care Providers & Services | | | 3.6% | |
| Real Estate Investment Trust | | | 3.5% | |
| Energy Equipment & Services | | | 2.8% | |
| Automobiles | | | 2.7% | |
| Beverages | | | 2.7% | |
| Chemicals | | | 2.6% | |
| Consumer Finance | | | 2.4% | |
| Pharmaceuticals | | | 2.4% | |
| Diversified Telecommunication Services | | | 2.2% | |
| Airlines | | | 2.0% | |
| Food Products | | | 1.8% | |
| Other | | | 19.3% | |
| | | | |
| Corporate Debt: Industries3 | |
| Oil, Gas & Consumable Fuels | | | 13.7% | |
| Metals & Mining | | | 8.8% | |
| Diversified Financial Services | | | 8.8% | |
| Capital Markets | | | 6.9% | |
| Media | | | 6.5% | |
| Commercial Banks | | | 4.4% | |
| Chemicals | | | 4.0% | |
| Energy Equipment & Services | | | 3.4% | |
| Insurance | | | 3.1% | |
| Diversified Telecommunication Services | | | 3.0% | |
| Commercial Services & Supplies | | | 2.6% | |
| Tobacco | | | 2.4% | |
| Wireless Telecommunication Services | | | 2.4% | |
| Electric Utilities | | | 2.3% | |
| Paper & Forest Products | | | 1.8% | |
| Consumer Finance | | | 1.6% | |
| Food Products | | | 1.6% | |
| Real Estate Investment Trust | | | 1.6% | |
| Real Estate Management & Development | | | 1.5% | |
| Other | | | 19.6% | |
| 1 | As a percentage of total investments (excluding short-term investments, investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 2 | As a percentage of total investments (excluding investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 3 | As a percentage of total corporate debt holdings. Corporate debt holdings include corporate bonds (high-yield and investment grade rated), convertible bonds, and any other debt instruments issued by a corporation (or that references a corporation) held by the Fund. Holdings are subject to change. |
| 4 | As a percentage of total investments (excluding common stock, investment companies, short-term investments, investments in derivatives and investments purchased with collateral from securities lending). Holdings are subject to change. |
| 5 | Rounds to less than 0.1%. |
Expense Examples
As a shareholder of one or more of the Funds, you incur two types of costs: (1) transaction costs, including up-front and back-end sales charges (loads) or redemption fees, where applicable; and (2) ongoing costs, including management fees; distribution and service (12b-1) fees, where applicable; and other Fund expenses. The Examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The Examples below are based on an investment of $1,000 invested at the beginning of the period and held through the period.
The information under “Actual Performance,” together with the amount you invested, allows you to estimate actual expenses incurred over the reporting period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60) and multiply the result by the cost shown for your share class, in the row entitled “Expenses Incurred During Period” to estimate the expenses incurred on your account during this period.
The information under “Hypothetical Performance,” provides information about hypothetical account values and hypothetical expenses based on the respective Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expense you incurred for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the hypothetical information is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds or share classes. In addition, if these transaction costs were included, your costs would have been higher.
Nuveen Core Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | C Shares | | | I Shares | | | | | A Shares | | | C Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 967.10 | | | $ | 962.10 | | | $ | 967.20 | | | | | $ | 1,020.93 | | | $ | 1,017.21 | | | $ | 1,022.17 | |
| Expenses Incurred During Period | | $ | 3.80 | | | $ | 7.44 | | | $ | 2.59 | | | | | $ | 3.91 | | | $ | 7.65 | | | $ | 2.66 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .78%, 1.53% and .53% for classes A, C and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen Core Plus Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | B Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | B Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 977.00 | | | $ | 973.00 | | | $ | 972.50 | | | $ | 975.30 | | | $ | 977.60 | | | | | $ | 1,020.98 | | | $ | 1,017.26 | | | $ | 1,017.26 | | | $ | 1,019.74 | | | $ | 1,022.22 | |
| Expenses Incurred During Period | | $ | 3.77 | | | $ | 7.44 | | | $ | 7.43 | | | $ | 5.00 | | | $ | 2.55 | | | | | $ | 3.86 | | | $ | 7.60 | | | $ | 7.60 | | | $ | 5.11 | | | $ | 2.61 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .77%, 1.52%, 1.52%, 1.02% and ..52% for Classes A, B, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen Global Total Return Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Actual Performance | | | | | Hypothetical Performance
(5% annualized return before expenses) | |
| | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 937.00 | | | $ | 934.00 | | | $ | 935.80 | | | $ | 938.40 | | | | | $ | 1,019.93 | | | $ | 1,016.22 | | | $ | 1,018.65 | | | $ | 1,021.12 | |
| Expenses Incurred During Period | | $ | 4.71 | | | $ | 8.30 | | | $ | 5.95 | | | $ | 3.56 | | | | | $ | 4.91 | | | $ | 8.65 | | | $ | 6.21 | | | $ | 3.71 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .98%, 1.73%, 1.24% and .74% for Classes A, C, R3, and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen High Income Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | B Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | B Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 1,023.70 | | | $ | 1,019.80 | | | $ | 1,020.10 | | | $ | 1,021.80 | | | $ | 1,024.90 | | | | | $ | 1,020.13 | | | $ | 1,016.41 | | | $ | 1,016.41 | | | $ | 1,018.89 | | | $ | 1,021.37 | |
| Expenses Incurred During Period | | $ | 4.72 | | | $ | 8.46 | | | $ | 8.46 | | | $ | 5.97 | | | $ | 3.46 | | | | | $ | 4.71 | | | $ | 8.45 | | | $ | 8.45 | | | $ | 5.96 | | | $ | 3.46 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .94%, 1.69%, 1.69%, 1.19% and ..69% for Classes A, B, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen Inflation Protected Securities Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 927.30 | | | $ | 925.90 | | | $ | 928.10 | | | $ | 930.60 | | | | | $ | 1,020.73 | | | $ | 1,017.01 | | | $ | 1,019.49 | | | $ | 1,021.97 | |
| Expenses Incurred During Period | | $ | 3.92 | | | $ | 7.50 | | | $ | 5.12 | | | $ | 2.73 | | | | | $ | 4.11 | | | $ | 7.85 | | | $ | 5.36 | | | $ | 2.86 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .82%, 1.57%, 1.07% and .57% for Classes A, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen Intermediate Government Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 985.10 | | | $ | 981.20 | | | $ | 983.80 | | | $ | 987.20 | | | | | $ | 1,020.58 | | | $ | 1,016.86 | | | $ | 1,019.34 | | | $ | 1,021.82 | |
| Expenses Incurred During Period | | $ | 4.18 | | | $ | 7.86 | | | $ | 5.41 | | | $ | 2.96 | | | | | $ | 4.26 | | | $ | 8.00 | | | $ | 5.51 | | | $ | 3.01 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .85%, 1.60%, 1.10% and .60% for Classes A, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen Short Term Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 1,000.90 | | | $ | 998.00 | | | $ | 1,000.40 | | | $ | 1,003.10 | | | | | $ | 1,021.27 | | | $ | 1,017.55 | | | $ | 1,020.03 | | | $ | 1,022.51 | |
| Expenses Incurred During Period | | $ | 3.52 | | | $ | 7.23 | | | $ | 4.76 | | | $ | 2.28 | | | | | $ | 3.56 | | | $ | 7.30 | | | $ | 4.81 | | | $ | 2.31 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .71%, 1.46%, .96% and .46% for Classes A, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Nuveen Strategic Income Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | Hypothetical Performance | |
| | | Actual Performance | | | | | (5% annualized return before expenses) | |
| | | A Shares | | | B Shares | | | C Shares | | | R3 Shares | | | I Shares | | | | | A Shares | | | B Shares | | | C Shares | | | R3 Shares | | | I Shares | |
| Beginning Account Value (1/01/13) | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | | | $ | 1,000.00 | |
| Ending Account Value (6/30/13) | | $ | 981.70 | | | $ | 977.00 | | | $ | 977.90 | | | $ | 980.80 | | | $ | 982.10 | | | | | $ | 1,020.58 | | | $ | 1,016.81 | | | $ | 1,016.86 | | | $ | 1,019.34 | | | $ | 1,021.82 | |
| Expenses Incurred During Period | | $ | 4.18 | | | $ | 7.89 | | | $ | 7.85 | | | $ | 5.40 | | | $ | 2.95 | | | | | $ | 4.26 | | | $ | 8.05 | | | $ | 8.00 | | | $ | 5.51 | | | $ | 3.01 | |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of .85%, 1.61%, 1.60%, 1.10% and ..60% for Classes A, B, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Report of Independent Registered Public Accounting Firm
To the Board of Directors/Trustees and Shareholders of
Nuveen Investment Funds, Inc. and Nuveen Investment Trust:
In our opinion, the accompanying statements of assets and liabilities, including the portfolios of investments, and the related statements of operations, of changes in net assets, and the financial highlights present fairly, in all material respects, the financial position of Nuveen Core Bond Fund (formerly Nuveen Intermediate Term Bond Fund), Nuveen Core Plus Bond Fund, Nuveen High Income Bond Fund, Nuveen Inflation Protected Securities Fund, Nuveen Intermediate Government Bond Fund, Nuveen Short Term Bond Fund, and Nuveen Strategic Income Fund (each a series of the Nuveen Investment Funds, Inc.) and Nuveen Global Total Return Bond Fund (a series of Nuveen Investment Trust) (hereinafter collectively referred to as the “Funds”) at June 30, 2013, the results of each of their operations for the year then ended, the changes in each of their net assets and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Funds’ management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements 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 are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at June 30, 2013 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. The financial statements of Nuveen Core Bond Fund (formerly Nuveen Intermediate Term Bond Fund), Nuveen Core Plus Bond Fund, Nuveen High Income Bond Fund, Nuveen Inflation Protected Securities Fund, Nuveen Intermediate Government Bond Fund, Nuveen Short Term Bond Fund, and Nuveen Strategic Income Fund for the periods ended June 30, 2011 and prior were audited by other independent auditors whose report dated August 26, 2011 expressed an unqualified opinion on those statements.
PRICEWATERHOUSECOOPERS LLP
Chicago, IL
August 27, 2013
Portfolio of Investments
Nuveen Core Bond Fund
(formerly Nuveen Intermediate Term Bond Fund)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | CORPORATE BONDS – 37.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Beverages – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,725 | | | Anheuser Busch InBev | | | 2.500% | | | | 7/15/22 | | | | A | | | $ | 1,610,457 | |
| | | | Capital Markets – 2.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,125 | | | Goldman Sachs Group, Inc. | | | 6.000% | | | | 6/15/20 | | | | A | | | | 3,511,322 | |
| | | | | |
| | 1,605 | | | Goldman Sachs Group, Inc. | | | 5.250% | | | | 7/27/21 | | | | A | | | | 1,717,188 | |
| | | | | |
| | 1,090 | | | Goldman Sachs Group, Inc., (3) | | | 6.750% | | | | 10/01/37 | | | | A– | | | | 1,116,557 | |
| | | | | |
| | 2,250 | | | Morgan Stanley | | | 6.625% | | | | 4/01/18 | | | | A | | | | 2,550,274 | |
| | | | | |
| | 1,500 | | | Morgan Stanley | | | 4.875% | | | | 11/01/22 | | | | BBB+ | | | | 1,481,852 | |
| | 9,570 | | | Total Capital Markets | | | | | | | | | | | | | | | 10,377,193 | |
| | | | Commercial Banks – 3.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Australia and New Zealand Banking Group Limited, 144A, (3) | | | 2.400% | | | | 11/23/16 | | | | Aaa | | | | 2,069,800 | |
| | | | | |
| | 1,245 | | | Banco Bradesco S.A. Grand Cayman, 144A, (3) | | | 4.125% | | | | 5/16/16 | | | | Baa1 | | | | 1,282,350 | |
| | | | | |
| | 1,910 | | | Bancolombia SA | | | 5.950% | | | | 6/03/21 | | | | Baa2 | | | | 2,029,375 | |
| | | | | |
| | 1,500 | | | Bank of Nova Scotia | | | 1.375% | | | | 12/18/17 | | | | Aa2 | | | | 1,456,275 | |
| | | | | |
| | 925 | | | BBVA Bancomer SA Texas, 144A, (3) | | | 4.500% | | | | 3/10/16 | | | | A2 | | | | 959,688 | |
| | | | | |
| | 1,160 | | | ING Bank NV, 144A | | | 3.750% | | | | 3/07/17 | | | | A+ | | | | 1,214,102 | |
| | | | | |
| | 1,515 | | | Rabobank Nederland, (3) | | | 3.875% | | | | 2/08/22 | | | | Aa2 | | | | 1,525,634 | |
| | | | | |
| | 1,000 | | | Royal Bank of Scotland Group PLC | | | 6.400% | | | | 10/21/19 | | | | A | | | | 1,111,092 | |
| | | | | |
| | 1,460 | | | Sovereign Bank | | | 8.750% | | | | 5/30/18 | | | | Baa2 | | | | 1,765,289 | |
| | | | | |
| | 3,595 | | | Stadshypotek AB, 144A | | | 1.875% | | | | 10/02/19 | | | | Aaa | | | | 3,437,899 | |
| | 16,310 | | | Total Commercial Banks | | | | | | | | | | | | | | | 16,851,504 | |
| | | | Commercial Services & Supplies – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,195 | | | R.R. Donnelley & Sons Company, (3) | | | 7.625% | | | | 6/15/20 | | | | BB | | | | 1,212,925 | |
| | | | Communications Equipment – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,640 | | | Motorola, Inc., (3) | | | 6.000% | | | | 11/15/17 | | | | BBB | | | | 2,992,686 | |
| | | | Computers & Peripherals – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,550 | | | Apple Inc., 144A | | | 3.850% | | | | 5/04/43 | | | | AA+ | | | | 1,376,760 | |
| | | | Construction & Engineering – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | ABB Finance USA Inc. | | | 2.875% | | | | 5/08/22 | | | | A | | | | 2,874,183 | |
| | | | Diversified Financial Services – 4.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Bank of America Corporation | | | 5.750% | | | | 12/01/17 | | | | A | | | | 2,778,438 | |
| | | | | |
| | 3,270 | | | Bank of America Corporation | | | 5.875% | | | | 1/05/21 | | | | A | | | | 3,680,339 | |
| | | | | |
| | 2,090 | | | Citigroup Inc. | | | 6.125% | | | | 11/21/17 | | | | A | | | | 2,375,387 | |
| | | | | |
| | 2,000 | | | Citigroup Inc. | | | 4.500% | | | | 1/14/22 | | | | A | | | | 2,083,658 | |
| | | | | |
| | 2,720 | | | General Electric Capital Corporation | | | 5.625% | | | | 5/01/18 | | | | AA+ | | | | 3,119,851 | |
| | | | | |
| | 1,530 | | | General Electric Capital Corporation | | | 5.300% | | | | 2/11/21 | | | | AA | | | | 1,678,366 | |
| | | | | |
| | 1,110 | | | General Electric Capital Corporation | | | 6.875% | | | | 1/10/39 | | | | AA+ | | | | 1,367,965 | |
| | | | | |
| | 1,900 | | | JPMorgan Chase & Company | | | 4.500% | | | | 1/24/22 | | | | A+ | | | | 1,989,532 | |
| | | | | |
| | 3,065 | | | JPMorgan Chase & Company, (3) | | | 3.200% | | | | 1/25/23 | | | | A+ | | | | 2,909,626 | |
| | | | | |
| | 1,240 | | | JPMorgan Chase & Company, (3) | | | 3.375% | | | | 5/01/23 | | | | A | | | | 1,154,638 | |
| | | | | |
| | 1,000 | | | JPMorgan Chase & Company | | | 6.400% | | | | 5/15/38 | | | | A+ | | | | 1,172,995 | |
| | 22,425 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 24,310,795 | |
| | | | Diversified Telecommunication Services – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,250 | | | AT&T, Inc. | | | 5.550% | | | | 8/15/41 | | | | A | | | | 2,342,711 | |
Portfolio of Investments
Nuveen Core Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Diversified Telecommunication Services (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,438 | | | Verizon Communications | | | 8.750% | | | | 11/01/18 | | | | A | | | $ | 3,177,543 | |
| | 4,688 | | | Total Diversified Telecommunication Services | | | | | | | | | | | | | | | 5,520,254 | |
| | | | Electric Utilities – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,615 | | | Exelon Generation Co. LLC, (3) | | | 4.250% | | | | 6/15/22 | | | | BBB+ | | | | 1,615,179 | |
| | | | | |
| | 2,100 | | | Ohio Power Company | | | 6.000% | | | | 6/01/16 | | | | A– | | | | 2,365,325 | |
| | 3,715 | | | Total Electric Utilities | | | | | | | | | | | | | | | 3,980,504 | |
| | | | Energy Equipment & Services – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Diamond Offshore Drilling Inc. | | | 5.700% | | | | 10/15/39 | | | | A– | | | | 1,173,996 | |
| | | | | |
| | 2,765 | | | Ensco PLC | | | 4.700% | | | | 3/15/21 | | | | BBB+ | | | | 2,935,664 | |
| | | | | |
| | 1,735 | | | Nabors Industries Inc., (3) | | | 5.000% | | | | 9/15/20 | | | | BBB | | | | 1,768,675 | |
| | 5,500 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 5,878,335 | |
| | | | Food Products – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,225 | | | Kraft Foods Inc. | | | 6.500% | | | | 8/11/17 | | | | Baa2 | | | | 1,424,246 | |
| | | | Health Care Providers & Services – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,965 | | | Mayo Clinic Rochester | | | 3.774% | | | | 11/15/43 | | | | AA | | | | 2,627,390 | |
| | | | | |
| | 2,250 | | | UnitedHealth Group Incorporated, (3) | | | 3.875% | | | | 10/15/20 | | | | A | | | | 2,364,590 | |
| | | | | |
| | 1,600 | | | Wellpoint Inc. | | | 4.650% | | | | 1/15/43 | | | | A– | | | | 1,491,339 | |
| | 6,815 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 6,483,319 | |
| | | | Independent Power Producers & Energy Traders – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,560 | | | Constellation Energy Group | | | 5.150% | | | | 12/01/20 | | | | BBB+ | | | | 1,710,885 | |
| | | | Insurance – 2.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | AFLAC Insurance, (3) | | | 6.450% | | | | 8/15/40 | | | | A– | | | | 1,174,529 | |
| | | | | |
| | 1,500 | | | American International Group, Inc. | | | 8.250% | | | | 8/15/18 | | | | A– | | | | 1,860,215 | |
| | | | | |
| | 2,000 | | | Berkshire Hathaway Inc. | | | 2.200% | | | | 8/15/16 | | | | AA | | | | 2,065,076 | |
| | | | | |
| | 2,305 | | | Hartford Financial Services Group Inc. | | | 6.000% | | | | 1/15/19 | | | | BBB | | | | 2,598,420 | |
| | | | | |
| | 1,370 | | | Lincoln National Corporation | | | 4.200% | | | | 3/15/22 | | | | A– | | | | 1,392,091 | |
| | | | | |
| | 3,825 | | | Prudential Covered Trust, 144A | | | 2.997% | | | | 9/30/15 | | | | A | | | | 3,947,094 | |
| | | | | |
| | 1,000 | | | Swiss Re Treasury US Corporation, 144A | | | 4.250% | | | | 12/06/42 | | | | AA– | | | | 879,867 | |
| | 13,000 | | | Total Insurance | | | | | | | | | | | | | | | 13,917,292 | |
| | | | IT Services – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,750 | | | Computer Sciences Corporation | | | 4.450% | | | | 9/15/22 | | | | BBB | | | | 1,728,029 | |
| | | | Leisure Equipment & Products – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,855 | | | Hyatt Hotels Corporation, (3) | | | 3.375% | | | | 7/15/23 | | | | BBB | | | | 2,661,585 | |
| | | | Media – 3.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,845 | | | British Sky Broadcasting Group PLC | | | 6.100% | | | | 2/15/18 | | | | BBB+ | | | | 2,114,411 | |
| | | | | |
| | 2,125 | | | CBS Corporation | | | 4.850% | | | | 7/01/42 | | | | BBB | | | | 1,964,361 | |
| | | | | |
| | 1,640 | | | DIRECTV Holdings LLC | | | 5.200% | | | | 3/15/20 | | | | BBB | | | | 1,770,746 | |
| | | | | |
| | 1,460 | | | Discovery Communications Inc., (3) | | | 5.050% | | | | 6/01/20 | | | | BBB | | | | 1,619,723 | |
| | | | | |
| | 1,460 | | | NBC Universal Media LLC | | | 6.400% | | | | 4/30/40 | | | | A– | | | | 1,746,036 | |
| | | | | |
| | 2,420 | | | News America Holdings Inc. | | | 6.650% | | | | 11/15/37 | | | | BBB+ | | | | 2,784,805 | |
| | | | | |
| | 2,500 | | | Time Warner Cable Inc., (3) | | | 5.875% | | | | 11/15/40 | | | | BBB | | | | 2,290,130 | |
| | | | | |
| | 2,075 | | | Vivendi SA, 144A | | | 4.750% | | | | 4/12/22 | | | | BBB | | | | 2,075,353 | |
| | 15,525 | | | Total Media | | | | | | | | | | | | | | | 16,365,565 | |
| | | | Metals & Mining – 3.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,965 | | | Alcoa Inc., (3) | | | 5.400% | | | | 4/15/21 | | | | BBB– | | | | 2,886,170 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Metals & Mining (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,805 | | | Anglogold Holdings PLC | | | 6.500% | | | | 4/15/40 | | | | Baa2 | | | $ | 1,492,870 | |
| | | | | |
| | 2,000 | | | ArcelorMittal, (3) | | | 6.750% | | | | 2/25/22 | | | | BB+ | | | | 2,050,000 | |
| | | | | |
| | 3,000 | | | BHP Billiton Finance Limited | | | 3.250% | | | | 11/21/21 | | | | A+ | | | | 2,933,403 | |
| | | | | |
| | 1,230 | | | Freeport McMoRan Copper & Gold, Inc., (3) | | | 3.550% | | | | 3/01/22 | | | | BBB | | | | 1,117,279 | |
| | | | | |
| | 2,625 | | | Newmont Mining Corporation, (3) | | | 3.500% | | | | 3/15/22 | | | | BBB+ | | | | 2,246,304 | |
| | | | | |
| | 3,000 | | | Rio Tinto Finance USA PLC, (3) | | | 2.875% | | | | 8/21/22 | | | | A– | | | | 2,750,694 | |
| | | | | |
| | 1,250 | | | Teck Resources Limited | | | 6.250% | | | | 7/15/41 | | | | BBB | | | | 1,184,208 | |
| | | | | |
| | 1,940 | | | Vale Overseas Limited | | | 4.625% | | | | 9/15/20 | | | | A– | | | | 1,916,132 | |
| | 19,815 | | | Total Metals & Mining | | | | | | | | | | | | | | | 18,577,060 | |
| | | | Oil, Gas & Consumable Fuels – 3.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,385 | | | Anadarko Petroleum Corporation | | | 6.375% | | | | 9/15/17 | | | | BBB– | | | | 1,592,722 | |
| | | | | |
| | 2,825 | | | Apache Corporation, (3) | | | 4.250% | | | | 1/15/44 | | | | A– | | | | 2,520,485 | |
| | | | | |
| | 1,820 | | | Cenovus Energy Inc., (3) | | | 4.450% | | | | 9/15/42 | | | | BBB+ | | | | 1,631,817 | |
| | | | | |
| | 935 | | | Chevron Corporation | | | 2.427% | | | | 6/24/20 | | | | AA | | | | 929,671 | |
| | | | | |
| | 2,500 | | | EOG Resources Inc. | | | 4.100% | | | | 2/01/21 | | | | A– | | | | 2,655,785 | |
| | | | | |
| | 1,685 | | | Marathon Petroleum Corporation | | | 6.500% | | | | 3/01/41 | | | | BBB | | | | 1,924,405 | |
| | | | | |
| | 2,385 | | | Petrobras International Finance Company | | | 5.375% | | | | 1/27/21 | | | | A3 | | | | 2,396,195 | |
| | | | | |
| | 2,000 | | | Rowan Companies Inc. | | | 4.875% | | | | 6/01/22 | | | | BBB– | | | | 2,063,714 | |
| | | | | |
| | 1,455 | | | Southwestern Energy Company, (3) | | | 4.100% | | | | 3/15/22 | | | | BBB– | | | | 1,448,794 | |
| | | | | |
| | 1,275 | | | SunCor Energy Inc. | | | 6.100% | | | | 6/01/18 | | | | BBB+ | | | | 1,486,331 | |
| | 18,265 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 18,649,919 | |
| | | | Paper & Forest Products – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Celulosa Arauco Y Constitucion | | | 5.625% | | | | 4/20/15 | | | | BBB | | | | 2,090,298 | |
| | | | Pharmaceuticals – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,100 | | | AbbVie Inc., 144A | | | 2.900% | | | | 11/06/22 | | | | A+ | | | | 1,028,655 | |
| | | | | |
| | 1,830 | | | Merck & Company Inc. | | | 2.250% | | | | 1/15/16 | | | | AA | | | | 1,890,604 | |
| | | | | |
| | 2,020 | | | Zoetis Incorporated, 144A | | | 3.250% | | | | 2/01/23 | | | | Baa2 | | | | 1,919,236 | |
| | 4,950 | | | Total Pharmaceuticals | | | | | | | | | | | | | | | 4,838,495 | |
| | | | Road & Rail – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,785 | | | Burlington Northern Santa Fe Corporation | | | 4.375% | | | | 9/01/42 | | | | A3 | | | | 1,633,275 | |
| | | | | |
| | 1,500 | | | Union Pacific Corporation | | | 5.750% | | | | 11/15/17 | | | | A– | | | | 1,731,827 | |
| | 3,285 | | | Total Road & Rail | | | | | | | | | | | | | | | 3,365,102 | |
| | | | Semiconductors & Equipment – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,040 | | | Applied Materials Inc., (3) | | | 4.300% | | | | 6/15/21 | | | | A– | | | | 1,092,258 | |
| | | | | |
| | 1,250 | | | Intel Corporation | | | 4.800% | | | | 10/01/41 | | | | A+ | | | | 1,242,823 | |
| | 2,290 | | | Total Semiconductors & Equipment | | | | | | | | | | | | | | | 2,335,081 | |
| | | | Specialty Retail – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,750 | | | Staples Inc., (3) | | | 4.375% | | | | 1/12/23 | | | | BBB | | | | 1,696,485 | |
| | | | Thrifts & Mortgage Finance – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,780 | | | WEA Finance LLC, 144A | | | 4.625% | | | | 5/10/21 | | | | A2 | | | | 1,877,800 | |
| | | | Tobacco – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,895 | | | Lorillard Tobacco, (3) | | | 6.875% | | | | 5/01/20 | | | | Baa2 | | | | 2,177,512 | |
| | | | | |
| | 1,215 | | | Reynolds American Inc. | | | 3.250% | | | | 11/01/22 | | | | Baa2 | | | | 1,129,460 | |
| | 3,110 | | | Total Tobacco | | | | | | | | | | | | | | | 3,306,972 | |
Portfolio of Investments
Nuveen Core Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Transportation Infrastructure – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,450 | | | Asciano Finance Limited, 144A | | | 5.000% | | | | 4/07/18 | | | | Baa2 | | | $ | 2,602,833 | |
| | | | | |
| | 1,000 | | | Sydney Airport Finance Company Party Limited, 144A | | | 3.900% | | | | 3/22/23 | | | | BBB | | | | 943,458 | |
| | 3,450 | | | Total Transportation Infrastructure | | | | | | | | | | | | | | | 3,546,291 | |
| | | | Wireless Telecommunication Services – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,405 | | | American Tower Company | | | 5.050% | | | | 9/01/20 | | | | BBB | | | | 2,527,397 | |
| | | | | |
| | 2,200 | | | Vodafone Group PLC | | | 1.500% | | | | 2/19/18 | | | | A– | | | | 2,106,017 | |
| | 4,605 | | | Total Wireless Telecommunication Services | | | | | | | | | | | | | | | 4,633,414 | |
| $ | 180,348 | | | Total Corporate Bonds (cost $186,128,790) | | | | | | | | | | | | | | | 186,193,434 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | $1,000 PAR (OR SIMILAR) INSTITUTIONAL STRUCTURES – 1.3% | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,165 | | | Goldman Sachs Capital II | | | 4.000% | | | | N/A (4) | | | | BB+ | | | $ | 926,175 | |
| | | | Commercial Banks – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,220 | | | Wachovia Capital Trust III | | | 5.570% | | | | N/A (4) | | | | BBB+ | | | | 2,178,375 | |
| | | | Insurance – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,650 | | | Catlin Insurance Company Limited | | | 7.249% | | | | N/A (4) | | | | BBB+ | | | | 1,687,125 | |
| | | | | |
| | 1,530 | | | ZFS Finance USA Trust V | | | 6.500% | | | | 5/09/37 | | | | A | | | | 1,629,450 | |
| | 3,180 | | | Total Insurance | | | | | | | | | | | | | | | 3,316,575 | |
| $ | 6,565 | | | Total $1,000 (Par or Similar) Institutional Structures (cost $5,979,225) | | | | | | | | | | | | 6,421,125 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (5) | | | Ratings (2) | | | Value | |
| | | | MUNICIPAL BONDS – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Illinois – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 3,735 | | | Illinois State, General Obligation Bonds, Taxable Series 2011, 5.877%, 3/01/19 | | | | | | | No Opt. Call | | | | A– | | | $ | 4,121,759 | |
| | | | Nevada – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Las Vegas Valley Water District, Nevada, General Obligation Bonds, Refunding Taxable Series 2011B, 3.176%, 6/01/17 | | | | | | | No Opt. Call | | | | AA+ | | | | 2,600,400 | |
| $ | 6,235 | | | Total Municipal Bonds (cost $6,235,000) | | | | | | | | | | | | | | | 6,722,159 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 9.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 3,500 | | | Fannie Mae Notes | | | 0.750% | | | | 12/19/14 | | | | Aaa | | | $ | 3,521,252 | |
| | | | | |
| | 3,160 | | | Fannie Mae Notes | | | 1.250% | | | | 9/28/16 | | | | Aaa | | | | 3,196,125 | |
| | | | | |
| | 4,595 | | | Federal National Mortgage Association | | | 2.375% | | | | 7/28/15 | | | | Aaa | | | | 4,776,594 | |
| | | | | |
| | 520 | | | Freddie Mac Reference Notes | | | 2.000% | | | | 8/25/16 | | | | Aaa | | | | 538,715 | |
| | | | | |
| | 11,100 | | | Freddie Mac Reference Notes, (3) | | | 5.000% | | | | 2/16/17 | | | | Aaa | | | | 12,637,017 | |
| | | | | |
| | 2,055 | | | Freddie Mac Reference Notes | | | 5.000% | | | | 12/14/18 | | | | Aa2 | | | | 2,360,402 | |
| | | | | |
| | 60 | | | Freddie Mac Reference Notes | | | 1.750% | | | | 5/30/19 | | | | Aaa | | | | 59,067 | |
| | | | | |
| | 180 | | | U.S. Treasury Bonds | | | 3.125% | | | | 2/15/42 | | | | Aaa | | | | 168,525 | |
| | | | | |
| | 100 | | | U.S. Treasury Notes | | | 4.250% | | | | 11/15/13 | | | | Aaa | | | | 101,535 | |
| | | | | |
| | 16,685 | | | U.S. Treasury Notes | | | 0.250% | | | | 2/28/14 | | | | Aaa | | | | 16,697,381 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,375 | | | U.S. Treasury Notes | | | 2.375% | | | | 2/28/15 | | | | Aaa | | | $ | 1,422,534 | |
| $ | 43,330 | | | Total U.S. Government and Agency Obligations (cost $45,187,261) | | | | | | | | 45,479,147 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 48.6% | | | | | | | | | | | | | |
| | | | | |
| $ | 1,753 | | | 321 Henderson Receivables LLC, Series 2010-3A | | | 3.820% | | | | 12/15/48 | | | | Aaa | | | $ | 1,834,444 | |
| | | | | |
| | 1,449 | | | Ally Auto Receivables Trust 2011-3 | | | 0.970% | | | | 8/17/15 | | | | Aaa | | | | 1,451,697 | |
| | | | | |
| | 4,415 | | | AmeriCold LLC Trust, Series 2010 | | | 2.500% | | | | 1/17/29 | | | | AAA | | | | 4,366,042 | |
| | | | | |
| | 1 | | | Amresco Residential Securities Corporation, Mortgage Loan
Pass-Through Certificates, Series 1997-3 | | | 6.960% | | | | 3/25/27 | | | | Baa2 | | | | 934 | |
| | | | | |
| | 4,340 | | | Cabela’s Master Credit Card Trust, Series 2010-2A | | | 2.290% | | | | 9/15/18 | | | | AAA | | | | 4,463,851 | |
| | | | | |
| | 489 | | | Citigroup Commercial Mortgage Securities Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-CD4 | | | 5.205% | | | | 12/11/49 | | | | AAA | | | | 492,250 | |
| | | | | |
| | 4,895 | | | Citigroup Commercial Mortgage Trust Series 2012-GC8 | | | 3.024% | | | | 9/12/45 | | | | Aaa | | | | 4,623,983 | |
| | | | | |
| | 2 | | | ContiMortgage Home Equity Loan Trust, Series 1997-2 | | | 7.090% | | | | 4/15/28 | | | | AA | | | | 1,744 | |
| | | | | |
| | 5,000 | | | Credit Suisse Commercial Mortgage Trust 2013-IVR4 | | | 3.000% | | | | 7/25/43 | | | | AAA | | | | 4,964,060 | |
| | | | | |
| | 4,082 | | | Fannie Mae Mortgage Pool AB2085 | | | 4.000% | | | | 1/01/41 | | | | Aaa | | | | 4,254,231 | |
| | | | | |
| | 4,576 | | | Fannie Mae Mortgage Pool AB3194 | | | 4.500% | | | | 6/01/41 | | | | Aaa | | | | 4,852,036 | |
| | | | | |
| | 3,659 | | | Fannie Mae Mortgage Pool AB5004 | | | 3.500% | | | | 4/01/27 | | | | Aaa | | | | 3,814,827 | |
| | | | | |
| | 3,853 | | | Fannie Mae Mortgage Pool AB9659 | | | 3.000% | | | | 6/01/43 | | | | Aaa | | | | 3,770,577 | |
| | | | | |
| | 1,789 | | | Fannie Mae Mortgage Pool AD0706 | | | 2.302% | | | | 3/01/38 | | | | Aaa | | | | 1,900,751 | |
| | | | | |
| | 3,732 | | | Fannie Mae Mortgage Pool AD1593 | | | 4.500% | | | | 2/01/40 | | | | Aaa | | | | 3,953,899 | |
| | | | | |
| | 2,122 | | | Fannie Mae Mortgage Pool AE0058 | | | 2.358% | | | | 7/01/36 | | | | Aaa | | | | 2,252,995 | |
| | | | | |
| | 4,493 | | | Fannie Mae Mortgage Pool AE0217 | | | 4.500% | | | | 8/01/40 | | | | Aaa | | | | 4,752,345 | |
| | | | | |
| | 6,649 | | | Fannie Mae Mortgage Pool AE0981 | | | 3.500% | | | | 3/01/41 | | | | Aaa | | | | 6,758,592 | |
| | | | | |
| | 1,472 | | | Fannie Mae Mortgage Pool AH3804 | | | 4.000% | | | | 2/01/41 | | | | Aaa | | | | 1,534,351 | |
| | | | | |
| | 4,204 | | | Fannie Mae Mortgage Pool AH5575 | | | 4.000% | | | | 2/01/41 | | | | Aaa | | | | 4,381,405 | |
| | | | | |
| | 1,940 | | | Fannie Mae Mortgage Pool AH5583 | | | 4.500% | | | | 2/01/41 | | | | Aaa | | | | 2,057,299 | |
| | | | | |
| | 4,470 | | | Fannie Mae Mortgage Pool AH8954 | | | 4.000% | | | | 4/01/41 | | | | Aaa | | | | 4,663,418 | |
| | | | | |
| | 5,703 | | | Fannie Mae Mortgage Pool AJ7547 | | | 4.000% | | | | 1/01/42 | | | | Aaa | | | | 5,949,287 | |
| | | | | |
| | 4,560 | | | Fannie Mae Mortgage Pool AJ9355 | | | 3.000% | | | | 1/01/27 | | | | Aaa | | | | 4,696,127 | |
| | | | | |
| | 2,263 | | | Fannie Mae Mortgage Pool AL0160 | | | 4.500% | | | | 5/01/41 | | | | Aaa | | | | 2,402,286 | |
| | | | | |
| | 3,607 | | | Fannie Mae Mortgage Pool AL2720 | | | 3.000% | | | | 11/01/27 | | | | Aaa | | | | 3,715,074 | |
| | | | | |
| | 7,965 | | | Fannie Mae Mortgage Pool AO9636 | | | 2.500% | | | | 7/01/27 | | | | Aaa | | | | 8,024,042 | |
| | | | | |
| | 5,165 | | | Fannie Mae Mortgage Pool MA1028 | | | 4.000% | | | | 4/01/42 | | | | Aaa | | | | 5,399,359 | |
| | | | | |
| | 658 | | | Fannie Mae Mortgage Pool 725111 | | | 2.370% | | | | 9/01/33 | | | | Aaa | | | | 703,737 | |
| | | | | |
| | 1,814 | | | Fannie Mae Mortgage Pool 725205 | | | 5.000% | | | | 3/01/34 | | | | Aaa | | | | 1,963,065 | |
| | | | | |
| | 3,142 | | | Fannie Mae Mortgage Pool 819652 | | | 2.665% | | | | 3/01/35 | | | | Aaa | | | | 3,341,451 | |
| | | | | |
| | 433 | | | Fannie Mae Mortgage Pool 848390 | | | 1.985% | | | | 12/01/35 | | | | Aaa | | | | 454,083 | |
| | | | | |
| | 2,419 | | | Fannie Mae Mortgage Pool 879906 | | | 2.894% | | | | 10/01/33 | | | | Aaa | | | | 2,585,948 | |
| | | | | |
| | 914 | | | Fannie Mae Mortgage Pool 886034 | | | 2.764% | | | | 7/01/36 | | | | Aaa | | | | 978,385 | |
| | | | | |
| | 3,087 | | | Fannie Mae Mortgage Pool 960605 | | | 5.000% | | | | 8/01/37 | | | | Aaa | | | | 3,333,994 | |
| | | | | |
| | 789 | | | Fannie Mae Mortgage Pool 995949 | | | 2.508% | | | | 9/01/36 | | | | Aaa | | | | 836,484 | |
| | | | | |
| | 6 | | | Fannie Mae Real Estate Mortgage Investment Conduit,
Pass-Through Certificates 1990-89 K | | | 6.500% | | | | 7/25/20 | | | | Aaa | | | | 6,876 | |
Portfolio of Investments
Nuveen Core Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,463 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2003-52 NF | | | 0.593% | | | | 6/25/23 | | | | Aaa | | | $ | 1,468,340 | |
| | | | | |
| | 3,040 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 4.500% | | | | TBA | | | | Aaa | | | | 3,216,700 | |
| | | | | |
| | 3,690 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 4.000% | | | | TBA | | | | Aaa | | | | 3,844,086 | |
| | | | | |
| | 3,950 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.500% | | | | TBA | | | | Aaa | | | | 4,009,867 | |
| | | | | |
| | 5,160 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.000% | | | | TBA | | | | Aaa | | | | 5,041,481 | |
| | | | | |
| | 8 | | | Federal Home Loan Mortgage Corporation, REMIC 1167 E | | | 7.500% | | | | 11/15/21 | | | | Aaa | | | | 9,028 | |
| | | | | |
| | 18 | | | Federal Home Loan Mortgage Corporation, REMIC 1286 A | | | 6.000% | | | | 5/15/22 | | | | Aaa | | | | 19,555 | |
| | | | | |
| | 1,918 | | | Federal Home Loan Mortgage Corporation, REMIC 2750 HE | | | 5.000% | | | | 2/15/19 | | | | Aaa | | | | 2,041,070 | |
| | | | | |
| | 775 | | | Federal Home Loan Mortgage Corporation, REMIC 2863 HF | | | 0.693% | | | | 2/15/19 | | | | Aaa | | | | 779,736 | |
| | | | | |
| | 4,865 | | | Fifth Third Auto Trust, Series 2013 A A3 | | | 0.610% | | | | 9/15/17 | | | | Aaa | | | | 4,835,946 | |
| | | | | |
| | 4,892 | | | Freddie Mac Gold Pool C09000 | | | 3.500% | | | | 6/01/42 | | | | Aaa | | | | 4,962,212 | |
| | | | | |
| | 12,026 | | | Freddie Mac Gold Pool C09029 | | | 3.000% | | | | 3/01/43 | | | | Aaa | | | | 11,740,472 | |
| | | | | |
| | 3,283 | | | Freddie Mac Gold Pool G05852 | | | 5.500% | | | | 3/01/39 | | | | Aaa | | | | 3,526,908 | |
| | | | | |
| | 3,971 | | | Freddie Mac Gold Pool J13711 | | | 3.500% | | | | 12/01/25 | | | | Aaa | | | | 4,126,483 | |
| | | | | |
| | 480 | | | Freddie Mac Gold Pool 786281 | | | 2.521% | | | | 1/01/28 | | | | Aaa | | | | 514,790 | |
| | | | | |
| | 425 | | | Freddie Mac Gold Pool 847161 | | | 2.350% | | | | 5/01/31 | | | | Aaa | | | | 453,521 | |
| | | | | |
| | 485 | | | Freddie Mac Gold Pool 847190 | | | 2.319% | | | | 4/01/29 | | | | Aaa | | | | 517,859 | |
| | | | | |
| | 1,615 | | | Freddie Mac Gold Pool 847209 | | | 2.269% | | | | 10/01/30 | | | | Aaa | | | | 1,717,810 | |
| | | | | |
| | 1,223 | | | Freddie Mac Gold Pool 847210 | | | 2.336% | | | | 9/01/33 | | | | Aaa | | | | 1,305,930 | |
| | | | | |
| | 2,173 | | | Freddie Mac Gold Pool 848282 | | | 2.425% | | | | 6/01/38 | | | | Aaa | | | | 2,303,038 | |
| | | | | |
| | 1,554 | | | Freddie Mac Mortgage Pool, Various A96544 | | | 3.500% | | | | 1/01/41 | | | | Aaa | | | | 1,576,252 | |
| | | | | |
| | 1,091 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2006-GG6 | | | 5.506% | | | | 4/10/38 | | | | AAA | | | | 1,112,202 | |
| | | | | |
| | 5,000 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2007-GG10, (3) | | | 5.982% | | | | 8/10/45 | | | | A | | | | 5,571,790 | |
| | | | | |
| | 5,384 | | | Government National Mortgage Association Pool | | | 3.500% | | | | 6/15/42 | | | | Aaa | | | | 5,533,857 | |
| | | | | |
| | 3,750 | | | GraceChurch Card PLC. Series 2012-1A | | | 0.893% | | | | 2/15/17 | | | | AAA | | | | 3,775,759 | |
| | | | | |
| | 11 | | | Green Tree Financial Corporation, Manufactured Housing Contract
Pass-Through Certificates, Series 1996-9 | | | 7.200% | | | | 9/15/28 | | | | AAA | | | | 10,781 | |
| | | | | |
| | 4,600 | | | Home Loan Servicing Solutions, HLSS Servicer Advance Receivables Backed Notes 2012-T1 | | | 0.898% | | | | 1/15/44 | | | | AAA | | | | 4,583,900 | |
| | | | | |
| | 3,030 | | | JPMorgan JPMBB Commercial Mortgage Securities Trust, Pass-Through Certificates, Series 2013-C12 | | | 3.664% | | | | 7/17/45 | | | | Aaa | | | | 2,985,918 | |
| | | | | |
| | 1,111 | | | Mercedes Benz Auto Receivables Trust 2011-1 | | | 0.850% | | | | 3/16/15 | | | | Aaa | | | | 1,112,613 | |
| | | | | |
| | 2,319 | | | Mortgage Equity Conversion Asset Trust 2010-1A | | | 4.000% | | | | 7/25/60 | | | | AA | | | | 2,202,795 | |
| | | | | |
| | 3,200 | | | OBP Depositor LLC Trust, Commercial Mortgage Pass-Through Certificates, Series 2010-OBP | | | 4.646% | | | | 7/17/45 | | | | AAA | | | | 3,469,958 | |
| | | | | |
| | 1,894 | | | RBSSP Resecuritization Trust 2010-10 | | | 0.323% | | | | 9/26/36 | | | | N/R | | | | 1,726,666 | |
| | | | | |
| | 2,020 | | | SBA Tower Trust | | | 3.598% | | | | 4/15/43 | | | | BBB | | | | 1,998,760 | |
| | | | | |
| | 567 | | | Sequoia Mortgage Trust, Mortgage Pass-Through Certificates, Series 2011-1 | | | 4.125% | | | | 2/25/41 | | | | AAA | | | | 567,026 | |
| | | | | |
| | 1,653 | | | SMART Trust, Asset Backed Securities, Series 2011-1USA | | | 1.043% | | | | 10/14/14 | | | | Aaa | | | | 1,654,188 | |
| | | | | |
| | 213 | | | Structured Adjustable Rate Mortgage Loan Trust, Mortgage
Pass-Through Certificates, Series 2004-11 | | | 2.645% | | | | 8/25/34 | | | | Ba3 | | | | 206,865 | |
| | | | | |
| | 765 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2006-10A | | | 5.408% | | | | 2/10/16 | | | | Aaa | | | | 807,163 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 4,834 | | | U.S. Small Business Administration Guaranteed Participating
Securities, Participation Certificates, Series 2010-P10B | | | 3.215% | | | | 9/01/20 | | | | Aaa | | | $ | 4,929,371 | |
| | | | | |
| | 4,205 | | | UBS Barclays Commercial Mortgage Trust 2012-C4 | | | 2.850% | | | | 12/12/45 | | | | AAA | | | | 3,889,474 | |
| | | | | |
| | 4,208 | | | United States Department of Veterans, Affairs, Guaranteed REMIC
Pass-Through Certificates, Vendee Mortgage Trust, Series 2011-1 | | | 3.750% | | | | 2/15/35 | | | | Aaa | | | | 4,459,295 | |
| | | | | |
| | 6,000 | | | Vornado DP LLC Commercial Mortgage Credit Tenant Lease Series 2010-VNO | | | 4.004% | | | | 9/13/28 | | | | AAA | | | | 6,253,140 | |
| | | | | |
| | 1,102 | | | Wachovia Bank Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-WHl8 | | | 0.273% | | | | 6/15/20 | | | | Aaa | | | | 1,092,886 | |
| | | | | |
| | 3,342 | | | Walter Investment Management Company Capital Trust,
Series 2012-AA | | | 4.549% | | | | 10/16/50 | | | | BBB | | | | 3,340,942 | |
| | | | | |
| | 3,220 | | | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C3 | | | 4.375% | | | | 3/17/44 | | | | Aaa | | | | 3,382,475 | |
| | | | | |
| | 4,580 | | | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2013-C12 A2 | | | 2.072% | | | | 3/17/48 | | | | AAA | | | | 4,540,998 | |
| $ | 237,023 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $243,476,611) | | | | | | | | | | | | 242,755,835 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | SOVEREIGN DEBT – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Mexico – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,400 | | | United Mexican States | | | 5.625% | | | | 1/15/17 | | | | Baa1 | | | $ | 1,556,100 | |
| $ | 1,400 | | | Total Sovereign Debt (cost $1,387,694) | | | | | | | | | | | | | | | 1,556,100 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 11.5% | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 11.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 57,635,312 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (6), (7) | | | | | | | | | | | | | | $ | 57,635,312 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $57,635,312) | | | | | | | | 57,635,312 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | | | | Value | |
| | | | SHORT-TERM INVESTMENTS – 5.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 5.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 28,052,047 | | | First American Treasury Obligations Fund, Class Z | | | 0.000% (6) | | | | | | | | | | | $ | 28,052,047 | |
| | | | Total Short-Term Investments (cost $28,052,047) | | | | | | | | | | | | | | | 28,052,047 | |
| | | | Total Investments (cost $574,081,940) – 115.0% | | | | | | | | | | | | | | | 574,815,159 | |
| | | | Other Assets Less Liabilities – (15.0)% | | | | | | | | | | | | | | | (74,810,618) | |
| | | | Net Assets – 100% | | | | | | | | | | | | | | $ | 500,004,541 | |
Portfolio of Investments
Nuveen Core Bond Fund (continued)
June 30, 2013
Investments in Derivatives as of June 30, 2013
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value* | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 2-Year Note | | | Long | | | | 62 | | | | 9/13 | | | $ | 13,640,000 | | | $ | 21,668 | |
U.S. Treasury 5-Year Note | | | Long | | | | 196 | | | | 9/13 | | | | 23,725,188 | | | | (315,029 | ) |
U.S. Treasury 10-Year Note | | | Long | | | | 303 | | | | 9/13 | | | | 38,348,439 | | | | (869,651 | ) |
U.S. Treasury Long Bond | | | Short | | | | (36 | ) | | | 9/13 | | | | (4,890,375 | ) | | | 75,059 | |
U.S. Treasury Ultra Bond | | | Short | | | | (163 | ) | | | 9/13 | | | | (24,011,938 | ) | | | 777,292 | |
| | | | | | | | | | | | | | | $ | 46,811,314 | | | $ | (310,661 | ) |
| * | Total Notional Amount at Value of Long and Short positions were $75,713,627 and $(28,902,313), respectively. |
| | | | |
| | | | 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. |
| | (2) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (3) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of the securities out on loan as of the end of the reporting period was $56,322,451. |
| | (4) | | | Perpetual security. Maturity date is not applicable. |
| | (5) | | | Optional Call Provisions (not covered by the report of independent registered public accounting firm): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. |
| | (6) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (7) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | N/A | | | Not applicable. |
| | N/R | | | Not rated. |
| | TBA | | | To be announced. Maturity date not known prior to settlement of this transaction. |
| | WI/DD | | | Investment, or portion of investment, 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. |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen Core Plus Bond Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | $25 PAR (OR SIMILAR) RETAIL STRUCTURES – 2.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Commercial Banks – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 159,208 | | | PNC Financial Services | | | 6.125% | | | | | | | | BBB | | | $ | 4,281,103 | |
| | | | | |
| | 95,750 | | | Regions Financial Corporation, (3) | | | 6.375% | | | | | | | | BB | | | | 2,345,875 | |
| | | | Total Commercial Banks | | | | | | | | | | | | | | | 6,626,978 | |
| | | | Consumer Finance – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 83,000 | | | Discover Financial Services, (3) | | | 6.500% | | | | | | | | BB | | | | 2,083,300 | |
| | | | Insurance – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 104,794 | | | Endurance Specialty Holdings Limited | | | 7.500% | | | | | | | | BBB– | | | | 2,814,767 | |
| | | | | |
| | 120,000 | | | Hartford Financial Services Group Inc. | | | 7.875% | | | | | | | | BB+ | | | | 3,537,600 | |
| | | | Total Insurance | | | | | | | | | | | | | | | 6,352,367 | |
| | | | Thrifts & Mortgage Finance – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 218,000 | | | Federal National Mortgage Association, (3) | | | 8.250% | | | | | | | | Ca | | | | 991,900 | |
| | | | Total $25 Par (or similar) Retail Structures (cost $19,241,900) | | | | | | | | | | | | | | | 16,054,545 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | CORPORATE BONDS – 51.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Aerospace & Defense – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Bombardier Inc., 144A | | | 6.125% | | | | 1/15/23 | | | | BB | | | $ | 1,985,000 | |
| | | | | |
| | 2,780 | | | Exelis, Inc. | | | 5.550% | | | | 10/01/21 | | | | BBB+ | | | | 2,824,158 | |
| | 4,780 | | | Total Aerospace & Defense | | | | | | | | | | | | | | | 4,809,158 | |
| | | | Airlines – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,849 | | | Northwest Airlines Trust Pass-Through Certificates 2007-1 | | | 7.027% | | | | 11/01/19 | | | | BBB+ | | | | 2,024,534 | |
| | | | Automobiles – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,340 | | | General Motors Financial Company Inc., 144A | | | 4.250% | | | | 5/15/23 | | | | BB | | | | 1,247,875 | |
| | | | Biotechnology – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,400 | | | STHI Holding Corporation, 144A | | | 8.000% | | | | 3/15/18 | | | | B | | | | 1,512,000 | |
| | | | Building Products – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,120 | | | Owens Corning Incorporated | | | 4.200% | | | | 12/15/22 | | | | BBB– | | | | 2,054,252 | |
| | | | Capital Markets – 4.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | E Trade Financial Corporation | | | 6.375% | | | | 11/15/19 | | | | B2 | | | | 1,522,500 | |
| | | | | |
| | 4,640 | | | Goldman Sachs Group, Inc. | | | 6.000% | | | | 6/15/20 | | | | A | | | | 5,213,611 | |
| | | | | |
| | 2,495 | | | Goldman Sachs Group, Inc. | | | 5.250% | | | | 7/27/21 | | | | A | | | | 2,669,398 | |
| | | | | |
| | 3,685 | | | Goldman Sachs Group, Inc., (3) | | | 6.750% | | | | 10/01/37 | | | | A– | | | | 3,774,781 | |
| | | | | |
| | 8,250 | | | Morgan Stanley | | | 6.625% | | | | 4/01/18 | | | | A | | | | 9,351,004 | |
| | | | | |
| | 4,105 | | | Morgan Stanley | | | 5.500% | | | | 7/28/21 | | | | A | | | | 4,383,434 | |
| | 24,675 | | | Total Capital Markets | | | | | | | | | | | | | | | 26,914,728 | |
| | | | Chemicals – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,375 | | | Braskem Finance Limited, 144A | | | 5.750% | | | | 4/15/21 | | | | BBB– | | | | 2,315,625 | |
| | | | | |
| | 3,830 | | | Incitec Pivot Finance, 144A | | | 6.000% | | | | 12/10/19 | | | | BBB | | | | 4,196,466 | |
| | | | | |
| | 1,000 | | | Ineos Finance PLC, 144A, (3) | | | 7.500% | | | | 5/01/20 | | | | BB– | | | | 1,062,500 | |
| | 7,205 | | | Total Chemicals | | | | | | | | | | | | | | | 7,574,591 | |
| | | | Commercial Banks – 2.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,350 | | | Australia and New Zealand Banking Group Limited, 144A | | | 2.400% | | | | 11/23/16 | | | | Aaa | | | | 3,466,915 | |
| | | | | |
| | 2,900 | | | Bancolombia SA | | | 5.950% | | | | 6/03/21 | | | | Baa2 | | | | 3,081,250 | |
Portfolio of Investments
Nuveen Core Plus Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Commercial Banks (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 844 | | | FNBC 1993-A Pass-Through Trust Certificates | | | 8.080% | | | | 1/05/18 | | | | Aa1 | | | $ | 932,695 | |
| | | | | |
| | 1,890 | | | HSBC Holdings PLC | | | 6.800% | | | | 6/01/38 | | | | A+ | | | | 2,173,806 | |
| | | | | |
| | 1,660 | | | ING Bank NV, 144A | | | 3.750% | | | | 3/07/17 | | | | A+ | | | | 1,737,422 | |
| | | | | |
| | 3,050 | | | Rabobank Nederland, (3) | | | 3.875% | | | | 2/08/22 | | | | Aa2 | | | | 3,071,408 | |
| | | | | |
| | 1,950 | | | Royal Bank of Scotland | | | 6.125% | | | | 12/15/22 | | | | BBB– | | | | 1,855,562 | |
| | | | | |
| | 1,825 | | | Sovereign Bank | | | 8.750% | | | | 5/30/18 | | | | Baa2 | | | | 2,206,611 | |
| | | | | |
| | 1,220 | | | Wells Fargo & Company, (3) | | | 3.450% | | | | 2/13/23 | | | | A+ | | | | 1,165,143 | |
| | 18,689 | | | Total Commercial Banks | | | | | | | | | | | | | | | 19,690,812 | |
| | | | Commercial Services & Supplies – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Ceridian Corporation, 144A | | | 8.875% | | | | 7/15/19 | | | | B1 | | | | 2,222,500 | |
| | | | | |
| | 990 | | | R.R. Donnelley & Sons Company | | | 7.625% | | | | 6/15/20 | | | | BB | | | | 1,004,850 | |
| | 2,990 | | | Total Commercial Services & Supplies | | | | | | | | | | | | | | | 3,227,350 | |
| | | | Communications Equipment – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,125 | | | America Movil S.A. de C.V. | | | 5.000% | | | | 10/16/19 | | | | A2 | | | | 2,301,777 | |
| | | | Computers & Peripherals – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,965 | | | Apple Inc., 144A | | | 3.850% | | | | 5/04/43 | | | | AA+ | | | | 1,745,376 | |
| | | | | |
| | 1,935 | | | Hewlett Packard Company, (3) | | | 4.650% | | | | 12/09/21 | | | | A– | | | | 1,935,178 | |
| | | | | |
| | 510 | | | Lexmark International Group Incorporated | | | 5.125% | | | | 3/15/20 | | | | BBB– | | | | 512,731 | |
| | | | | |
| | 1,375 | | | NCR Corporation | | | 5.000% | | | | 7/15/22 | | | | BB | | | | 1,326,875 | |
| | | | | |
| | 1,820 | | | Seagate HDD Cayman, (3) | | | 7.000% | | | | 11/01/21 | | | | BBB– | | | | 1,947,400 | |
| | 7,605 | | | Total Computers & Peripherals | | | | | | | | | | | | | | | 7,467,560 | |
| | | | Consumer Finance – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,348 | | | Capital One Bank | | | 3.375% | | | | 2/15/23 | | | | Baa1 | | | | 3,164,710 | |
| | | | | |
| | 1,790 | | | Discover Financial Services | | | 5.200% | | | | 4/27/22 | | | | BBB | | | | 1,847,579 | |
| | | | | |
| | 2,000 | | | Ford Motor Credit Company, (3) | | | 4.250% | | | | 9/20/22 | | | | Baa3 | | | | 1,965,732 | |
| | 7,138 | | | Total Consumer Finance | | | | | | | | | | | | | | | 6,978,021 | |
| | | | Containers & Packaging – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Ardagh Packaging Finance / MP HD USA, 144A | | | 4.875% | | | | 11/15/22 | | | | Ba3 | | | | 1,402,500 | |
| | | | | |
| | 985 | | | Ball Corporation | | | 4.000% | | | | 11/15/23 | | | | BB+ | | | | 911,125 | |
| | | | | |
| | 1,000 | | | Crown Americas Capital Corporation IV, 144A | | | 4.500% | | | | 1/15/23 | | | | BB | | | | 942,500 | |
| | | | | |
| | 2,000 | | | Rock-Tenn Company | | | 3.500% | | | | 3/01/20 | | | | BBB– | | | | 1,957,044 | |
| | 5,485 | | | Total Containers & Packaging | | | | | | | | | | | | | | | 5,213,169 | |
| | | | Diversified Financial Services – 5.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,250 | | | Bank of America Corporation | | | 6.500% | | | | 8/01/16 | | | | A | | | | 2,536,754 | |
| | | | | |
| | 3,725 | | | Bank of America Corporation | | | 5.750% | | | | 12/01/17 | | | | A | | | | 4,139,872 | |
| | | | | |
| | 2,845 | | | Bank of America Corporation | | | 5.875% | | | | 1/05/21 | | | | A | | | | 3,202,008 | |
| | | | | |
| | 3,205 | | | Citigroup Inc. | | | 4.500% | | | | 1/14/22 | | | | A | | | | 3,339,062 | |
| | | | | |
| | 1,870 | | | Citigroup Inc., (3) | | | 4.050% | | | | 7/30/22 | | | | BBB+ | | | | 1,797,268 | |
| | | | | |
| | 2,915 | | | General Electric Capital Corporation | | | 6.875% | | | | 1/10/39 | | | | AA+ | | | | 3,592,449 | |
| | | | | |
| | 5,845 | | | JPMorgan Chase & Company | | | 4.500% | | | | 1/24/22 | | | | A+ | | | | 6,120,428 | |
| | | | | |
| | 6,000 | | | JPMorgan Chase & Company, (3) | | | 3.200% | | | | 1/25/23 | | | | A+ | | | | 5,695,842 | |
| | | | | |
| | 1,680 | | | JPMorgan Chase & Company, (3) | | | 3.375% | | | | 5/01/23 | | | | A | | | | 1,564,349 | |
| | | | | |
| | 2,180 | | | JPMorgan Chase & Company | | | 6.400% | | | | 5/15/38 | | | | A+ | | | | 2,557,129 | |
| | 32,515 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 34,545,161 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Diversified Telecommunication Services – 2.0% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,970 | | | AT&T, Inc. | | | 5.550% | | | | 8/15/41 | | | | A | | | $ | 3,092,379 | |
| | | | | |
| | 2,000 | | | Frontier Communications Corporation, (3) | | | 8.500% | | | | 4/15/20 | | | | BB+ | | | | 2,205,000 | |
| | | | | |
| | 3,190 | | | Qwest Corporation, (3) | | | 6.750% | | | | 12/01/21 | | | | BBB– | | | | 3,551,201 | |
| | | | | |
| | 2,000 | | | SBA Telecommunications Corporation, 144A | | | 5.750% | | | | 7/15/20 | | | | B+ | | | | 2,005,000 | |
| | | | | |
| | 2,010 | | | Verizon Communications, (3) | | | 6.900% | | | | 4/15/38 | | | | A | | | | 2,470,793 | |
| | 12,170 | | | Total Diversified Telecommunication Services | | | | | | | | | | | | | | | 13,324,373 | |
| | | | Electric Utilities – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Exelon Generation Co. LLC | | | 4.250% | | | | 6/15/22 | | | | BBB+ | | | | 2,500,278 | |
| | | | | |
| | 1,685 | | | MidAmerican Energy Holdings Company | | | 6.125% | | | | 4/01/36 | | | | BBB+ | | | | 1,911,574 | |
| | | | | |
| | 2,095 | | | PPL Capital Funding Inc. | | | 3.500% | | | | 12/01/22 | | | | BBB | | | | 2,004,217 | |
| | 6,280 | | | Total Electric Utilities | | | | | | | | | | | | | | | 6,416,069 | |
| | | | Energy Equipment & Services – 2.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,180 | | | Diamond Offshore Drilling Inc., (3) | | | 5.700% | | | | 10/15/39 | | | | A– | | | | 2,559,311 | |
| | | | | |
| | 3,870 | | | Ensco PLC | | | 4.700% | | | | 3/15/21 | | | | BBB+ | | | | 4,108,868 | |
| | | | | |
| | 2,000 | | | Markwest Energy Partners LP, (3) | | | 6.750% | | | | 11/01/20 | | | | BB | | | | 2,110,000 | |
| | | | | |
| | 2,935 | | | Nabors Industries Inc., (3) | | | 5.000% | | | | 9/15/20 | | | | BBB | | | | 2,991,965 | |
| | | | | |
| | 2,500 | | | Transocean Inc., (3) | | | 3.800% | | | | 10/15/22 | | | | BBB– | | | | 2,381,380 | |
| | | | | |
| | 1,880 | | | Weatherford International Limited | | | 7.000% | | | | 3/15/38 | | | | Baa2 | | | | 2,009,790 | |
| | 15,365 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 16,161,314 | |
| | | | Gas Utilities – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,375 | | | AmeriGas Finance LLC | | | 7.000% | | | | 5/20/22 | | | | Ba2 | | | | 2,428,438 | |
| | | | Health Care Providers & Services – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | HCA Inc., (3) | | | 6.500% | | | | 2/15/20 | | | | BB+ | | | | 2,163,750 | |
| | | | | |
| | 1,500 | | | Tenet Healthcare Corporation, 144A | | | 4.375% | | | | 10/01/21 | | | | BB | | | | 1,376,250 | |
| | | | | |
| | 2,185 | | | UnitedHealth Group Incorporated | | | 6.875% | | | | 2/15/38 | | | | A | | | | 2,729,808 | |
| | 5,685 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 6,269,808 | |
| | | | Hotels, Restaurants & Leisure – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,360 | | | Wynn Las Vegas LLC Corporation, 144A, (3) | | | 4.250% | | | | 5/30/23 | | | | BBB– | | | | 1,258,000 | |
| | | | Independent Power Producers & Energy Traders – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Calpine Corporation, 144A | | | 7.875% | | | | 7/31/20 | | | | BB+ | | | | 1,085,000 | |
| | | | Insurance – 3.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,975 | | | AFLAC Insurance, (3) | | | 6.450% | | | | 8/15/40 | | | | A– | | | | 4,668,753 | |
| | | | | |
| | 2,950 | | | Hartford Financial Services Group Inc. | | | 6.000% | | | | 1/15/19 | | | | BBB | | | | 3,325,526 | |
| | | | | |
| | 3,015 | | | Liberty Mutual Group Inc., 144A | | | 5.000% | | | | 6/01/21 | | | | Baa2 | | | | 3,180,340 | |
| | | | | |
| | 1,760 | | | Liberty Mutual Group Inc., 144A | | | 4.950% | | | | 5/01/22 | | | | Baa2 | | | | 1,806,967 | |
| | | | | |
| | 1,000 | | | Lincoln National Corporation | | | 8.750% | | | | 7/01/19 | | | | A– | | | | 1,282,133 | |
| | | | | |
| | 1,640 | | | Pacific LifeCorp. | | | 6.000% | | | | 2/10/20 | | | | BBB+ | | | | 1,830,803 | |
| | | | | |
| | 4,000 | | | Prudential Holdings LLC, 144A | | | 7.245% | | | | 12/18/23 | | | | AA– | | | | 4,908,552 | |
| | 18,340 | | | Total Insurance | | | | | | | | | | | | | | | 21,003,074 | |
| | | | IT Services – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,750 | | | Computer Sciences Corporation | | | 4.450% | | | | 9/15/22 | | | | BBB | | | | 2,715,474 | |
| | | | Leisure Equipment & Products – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,950 | | | Hyatt Hotels Corporation, (3) | | | 3.375% | | | | 7/15/23 | | | | BBB | | | | 2,750,149 | |
Portfolio of Investments
Nuveen Core Plus Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Media – 5.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Clear Channel Worldwide, 144A | | | 6.500% | | | | 11/15/22 | | | | BB– | | | $ | 2,060,000 | |
| | | | | |
| | 2,215 | | | DIRECTV Holdings LLC | | | 5.200% | | | | 3/15/20 | | | | BBB | | | | 2,391,586 | |
| | | | | |
| | 3,350 | | | DIRECTV Holdings LLC | | | 3.800% | | | | 3/15/22 | | | | BBB | | | | 3,217,977 | |
| | | | | |
| | 2,000 | | | Dish DBS Corporation, 144A | | | 4.250% | | | | 4/01/18 | | | | BB– | | | | 1,960,000 | |
| | | | | |
| | 3,060 | | | NBC Universal Media LLC | | | 6.400% | | | | 4/30/40 | | | | A– | | | | 3,659,500 | |
| | | | | |
| | 1,925 | | | NBC Universal Media LLC, (3) | | | 4.450% | | | | 1/15/43 | | | | A– | | | | 1,797,032 | |
| | | | | |
| | 3,590 | | | News America Holdings Inc. | | | 6.650% | | | | 11/15/37 | | | | BBB+ | | | | 4,131,178 | |
| | | | | |
| | 1,635 | | | SES SA, 144A, (3) | | | 3.600% | | | | 4/04/23 | | | | BBB | | | | 1,589,514 | |
| | | | | |
| | 2,000 | | | Sinclair Television Group | | | 5.375% | | | | 4/01/21 | | | | B1 | | | | 1,930,000 | |
| | | | | |
| | 1,800 | | | Sirius XM Radio Inc., 144A | | | 4.250% | | | | 5/15/20 | | | | BB | | | | 1,692,000 | |
| | | | | |
| | 2,410 | | | Time Warner Cable Inc. | | | 5.875% | | | | 11/15/40 | | | | BBB | | | | 2,207,685 | |
| | | | | |
| | 2,000 | | | UnityMedia Hessen GmBH, 144A, (3) | | | 7.500% | | | | 3/15/19 | | | | Ba3 | | | | 2,105,000 | |
| | | | | |
| | 2,987 | | | Viacom Inc. | | | 4.375% | | | | 3/15/43 | | | | BBB+ | | | | 2,533,564 | |
| | | | | |
| | 2,725 | | | Vivendi SA, 144A | | | 4.750% | | | | 4/12/22 | | | | BBB | | | | 2,725,463 | |
| | 33,697 | | | Total Media | | | | | | | | | | | | | | | 34,000,499 | |
| | | | Metals & Mining – 5.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 6,035 | | | Alcoa Inc., (3) | | | 5.400% | | | | 4/15/21 | | | | BBB– | | | | 5,874,547 | |
| | | | | |
| | 4,530 | | | Anglogold Holdings PLC | | | 6.500% | | | | 4/15/40 | | | | Baa2 | | | | 3,746,650 | |
| | | | | |
| | 5,925 | | | ArcelorMittal, (3) | | | 6.750% | | | | 2/25/22 | | | | BB+ | | | | 6,073,125 | |
| | | | | |
| | 3,500 | | | Cliffs Natural Resources Inc., (3) | | | 4.800% | | | | 10/01/20 | | | | BBB– | | | | 3,154,886 | |
| | | | | |
| | 1,535 | | | Freeport McMoRan Copper & Gold, Inc., (3) | | | 3.550% | | | | 3/01/22 | | | | BBB | | | | 1,394,328 | |
| | | | | |
| | 3,700 | | | Newmont Mining Corporation, (3) | | | 3.500% | | | | 3/15/22 | | | | BBB+ | | | | 3,166,220 | |
| | | | | |
| | 2,770 | | | Rio Tinto Finance USA PLC, (3) | | | 2.875% | | | | 8/21/22 | | | | A– | | | | 2,539,807 | |
| | | | | |
| | 1,440 | | | Teck Resources Limited | | | 6.250% | | | | 7/15/41 | | | | BBB | | | | 1,364,207 | |
| | | | | |
| | 3,895 | | | Vale Overseas Limited | | | 6.875% | | | | 11/10/39 | | | | A– | | | | 3,931,539 | |
| | | | | |
| | 2,340 | | | Xstrata Finance Canada Limited, 144A | | | 6.900% | | | | 11/15/37 | | | | BBB | | | | 2,343,295 | |
| | 35,670 | | | Total Metals & Mining | | | | | | | | | | | | | | | 33,588,604 | |
| | | | Oil, Gas & Consumable Fuels – 5.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,230 | | | Anadarko Petroleum Corporation | | | 6.200% | | | | 3/15/40 | | | | BBB– | | | | 3,623,976 | |
| | | | | |
| | 2,000 | | | Canadian Oil Sands Trust | | | 7.750% | | | | 5/15/19 | | | | BBB | | | | 2,413,842 | |
| | | | | |
| | 2,000 | | | Cheniere Energy Inc., 144A | | | 5.625% | | | | 2/01/21 | | | | BB+ | | | | 1,940,000 | |
| | | | | |
| | 1,500 | | | Chesapeake Energy Corporation, (3) | | | 6.125% | | | | 2/15/21 | | | | BB– | | | | 1,575,000 | |
| | | | | |
| | 2,000 | | | Cimarex Energy Company | | | 5.875% | | | | 5/01/22 | | | | BB+ | | | | 2,070,000 | |
| | | | | |
| | 2,000 | | | Continental Resources Inc. | | | 5.000% | | | | 9/15/22 | | | | BB+ | | | | 2,035,000 | |
| | | | | |
| | 2,000 | | | Denbury Resources Incorporated | | | 4.625% | | | | 7/15/23 | | | | BB | | | | 1,845,000 | |
| | | | | |
| | 1,725 | | | Everest Acquisition LLC Finance, (3) | | | 6.875% | | | | 5/01/19 | | | | Ba3 | | | | 1,845,750 | |
| | | | | |
| | 4,785 | | | Lukoil International Finance, 144A | | | 6.125% | | | | 11/09/20 | | | | BBB | | | | 5,036,213 | |
| | | | | |
| | 1,500 | | | Noble Energy Inc. | | | 4.150% | | | | 12/15/21 | | | | BBB | | | | 1,548,770 | |
| | | | | |
| | 2,495 | | | Petrobras International Finance Company | | | 6.875% | | | | 1/20/40 | | | | A3 | | | | 2,518,645 | |
| | | | | |
| | 2,255 | | | Petro-Canada | | | 6.800% | | | | 5/15/38 | | | | BBB+ | | | | 2,613,279 | |
| | | | | |
| | 3,000 | | | Petroleos Mexicanos | | | 5.500% | | | | 1/21/21 | | | | Baa1 | | | | 3,195,000 | |
| | | | | |
| | 2,000 | | | Range Resources Corporation | | | 6.750% | | | | 8/01/20 | | | | BB | | | | 2,145,000 | |
| | | | | |
| | 1,900 | | | Reliance Holdings USA Inc., 144A | | | 5.400% | | | | 2/14/22 | | | | BBB+ | | | | 1,930,189 | |
| | | | | |
| | 1,955 | | | Southwestern Energy Company | | | 4.100% | | | | 3/15/22 | | | | BBB– | | | | 1,946,662 | |
| | | | | |
| | 1,480 | | | Targa Resources Inc., 144A | | | 4.250% | | | | 11/15/23 | | | | BB | | | | 1,320,900 | |
| | 37,825 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 39,603,226 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Paper & Forest Products – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,485 | | | Domtar Corporation | | | 4.400% | | | | 4/01/22 | | | | BBB– | | | $ | 2,409,657 | |
| | | | | |
| | 1,820 | | | Georgia-Pacific Corporation, 144A | | | 5.400% | | | | 11/01/20 | | | | A | | | | 2,029,484 | |
| | | | | |
| | 2,265 | | | International Paper Company | | | 8.700% | | | | 6/15/38 | | | | BBB | | | | 3,074,092 | |
| | 6,570 | | | Total Paper & Forest Products | | | | | | | | | | | | | | | 7,513,233 | |
| | | | Pharmaceuticals – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,375 | | | AbbVie Inc., 144A | | | 2.900% | | | | 11/06/22 | | | | A+ | | | | 1,285,819 | |
| | | | Real Estate Investment Trust – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,200 | | | Plum Creek Timberlands LP | | | 4.700% | | | | 3/15/21 | | | | BBB | | | | 1,241,593 | |
| | | | | |
| | 2,995 | | | Prologis Inc. | | | 6.875% | | | | 3/15/20 | | | | BBB | | | | 3,475,209 | |
| | | | | |
| | 2,315 | | | Realty Income Corporation | | | 3.250% | | | | 10/15/22 | | | | BBB+ | | | | 2,117,405 | |
| | 6,510 | | | Total Real Estate Investment Trust | | | | | | | | | | | | | | | 6,834,207 | |
| | | | Road & Rail – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,125 | | | Hertz Corporation, 144A | | | 6.250% | | | | 10/15/22 | | | | B | | | | 1,174,219 | |
| | | | Semiconductors & Equipment – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,300 | | | Intel Corporation | | | 4.800% | | | | 10/01/41 | | | | A+ | | | | 1,292,535 | |
| | | | Specialty Retail – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | O’Reilly Automotive Inc. | | | 4.875% | | | | 1/14/21 | | | | BBB | | | | 2,129,378 | |
| | | | Thrifts & Mortgage Finance – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,730 | | | WEA Finance LLC, 144A | | | 4.625% | | | | 5/10/21 | | | | A2 | | | | 2,879,997 | |
| | | | Tobacco – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,200 | | | Altria Group Inc. | | | 2.850% | | | | 8/09/22 | | | | Baa1 | | | | 2,034,289 | |
| | | | | |
| | 2,000 | | | Imperial Tobacco Finance, 144A | | | 3.500% | | | | 2/11/23 | | | | BBB | | | | 1,880,320 | |
| | | | | |
| | 2,705 | | | Lorillard Tobacco, (3) | | | 6.875% | | | | 5/01/20 | | | | Baa2 | | | | 3,108,270 | |
| | 6,905 | | | Total Tobacco | | | | | | | | | | | | | | | 7,022,879 | |
| | | | Trading Companies & Distributors – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | International Lease Finance Corporation, (3) | | | 4.625% | | | | 4/15/21 | | | | BBB– | | | | 1,840,000 | |
| | | | Transportation Infrastructure – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,800 | | | Asciano Finance Limited, 144A | | | 5.000% | | | | 4/07/18 | | | | Baa2 | | | | 4,037,046 | |
| | | | Wireless Telecommunication Services – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,780 | | | American Tower Company | | | 5.050% | | | | 9/01/20 | | | | BBB | | | | 2,921,482 | |
| $ | 332,478 | | | Total Corporate Bonds (cost $338,181,141) | | | | | | | | | | | | | | | 345,095,811 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | $1,000 PAR (OR SIMILAR) INSTITUTIONAL STRUCTURES – 4.0% | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,415 | | | Goldman Sachs Capital II | | | 4.000% | | | | N/A (4) | | | | BB+ | | | $ | 1,919,925 | |
| | | | Commercial Banks – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,620 | | | Fifth Third Bancorp., (3) | | | 5.100% | | | | N/A (4) | | | | BB+ | | | | 1,530,900 | |
| | | | | |
| | 3,500 | | | Wachovia Capital Trust III | | | 5.570% | | | | N/A (4) | | | | BBB+ | | | | 3,434,375 | |
| | | | | |
| | 2,760 | | | Wells Fargo Capital Trust X | | | 5.950% | | | | 12/15/36 | | | | BBB+ | | | | 2,718,600 | |
| | 7,880 | | | Total Commercial Banks | | | | | | | | | | | | | | | 7,683,875 | |
| | | | Diversified Financial Services – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,930 | | | Citigroup Inc., (3) | | | 5.950% | | | | N/A (4) | | | | BB | | | | 1,920,543 | |
| | | | | |
| | 4,000 | | | General Electric Capital Corporation | | | 7.125% | | | | N/A (4) | | | | AA– | | | | 4,520,000 | |
| | 5,930 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 6,440,543 | |
Portfolio of Investments
Nuveen Core Plus Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Electric Utilities – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,785 | | | Electricite de France, 144A, (3) | | | 5.250% | | | | N/A (4) | | | | A3 | | | $ | 1,706,460 | |
| | | | Insurance – 1.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,970 | | | Catlin Insurance Company Limited | | | 7.249% | | | | N/A (4) | | | | BBB+ | | | | 3,036,825 | |
| | | | | |
| | 2,205 | | | Lincoln National Corporation | | | 6.050% | | | | 4/20/67 | | | | BBB | | | | 2,160,194 | |
| | | | | |
| | 1,095 | | | Prudential Financial Inc. | | | 5.200% | | | | 3/15/44 | | | | BBB+ | | | | 1,034,775 | |
| | | | | |
| | 2,755 | | | ZFS Finance USA Trust V | | | 6.500% | | | | 5/09/37 | | | | A | | | | 2,934,075 | |
| | 9,025 | | | Total Insurance | | | | | | | | | | | | | | | 9,165,869 | |
| $ | 27,035 | | | Total $1,000 Par (or similar) Institutional Structures (cost $25,578,543) | | | | | | | | | | | | 26,916,672 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (5) | | | Ratings (2) | | | Value | |
| | | | MUNICIPAL BONDS – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Illinois – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 5,765 | | | Illinois State, General Obligation Bonds, Taxable
Series 2011, 5.877%, 3/01/19 | | | | | | | No Opt. Call | | | | A– | | | $ | 6,361,966 | |
| $ | 5,765 | | | Total Municipal Bonds (cost $5,765,000) | | | | | | | | | | | | | | | 6,361,966 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 5.4% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 4,455 | | | U.S. Treasury Bonds | | | 4.250% | | | | 11/15/40 | | | | Aaa | | | $ | 5,122,555 | |
| | | | | |
| | 425 | | | U.S. Treasury Bonds | | | 4.750% | | | | 2/15/41 | | | | Aaa | | | | 528,195 | |
| | | | | |
| | 7,150 | | | U.S. Treasury Notes | | | 2.375% | | | | 2/28/15 | | | | Aaa | | | | 7,397,176 | |
| | | | | |
| | 8,985 | | | U.S. Treasury Notes | | | 1.250% | | | | 8/31/15 | | | | Aaa | | | | 9,145,041 | |
| | | | | |
| | 1,385 | | | U.S. Treasury Notes | | | 3.625% | | | | 2/15/20 | | | | Aaa | | | | 1,545,033 | |
| | | | | |
| | 5,845 | | | U.S. Treasury Notes | | | 2.625% | | | | 8/15/20 | | | | Aaa | | | | 6,108,025 | |
| | | | | |
| | 2,020 | | | U.S. Treasury Notes | | | 2.000% | | | | 11/15/21 | | | | Aaa | | | | 1,985,123 | |
| | | | | |
| | 2,635 | | | U.S. Treasury Notes | | | 1.750% | | | | 5/15/22 | | | | Aaa | | | | 2,512,514 | |
| | | | | |
| | 2,065 | | | U.S. Treasury Notes | | | 3.875% | | | | 8/15/40 | | | | Aaa | | | | 2,232,136 | |
| $ | 34,965 | | | Total U.S. Government and Agency Obligations (cost $34,576,485) | | | | | | | | | | | | 36,575,798 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 35.9% | | | | | | | | | | | | | |
| | | | | |
| $ | 4,022 | | | 321 Henderson Receivables LLC, Series 2010-3A | | | 3.820% | | | | 12/15/48 | | | | Aaa | | | $ | 4,208,668 | |
| | | | | |
| | 3,075 | | | AmeriCold LLC Trust, Series 2010 | | | 6.811% | | | | 1/14/29 | | | | A+ | | | | 3,545,592 | |
| | | | | |
| | 1 | | | Amresco Residential Securities Corporation, Mortgage Loan Pass-Through Certificates, Series 1997-3 | | | 6.960% | | | | 3/25/27 | | | | Baa2 | | | | 1,368 | |
| | | | | |
| | 951 | | | Bank of America Funding Trust, Mortgage Pass-Through Certificates, Series 2007-4 | | | 5.500% | | | | 6/25/37 | | | | CC | | | | 313,701 | |
| | | | | |
| | 1,250 | | | Bayview Financial Mortgage Pass-Through Trust, Mortgage Pass-Through Certificate Series 2005-D | | | 5.500% | | | | 12/28/35 | | | | BB | | | | 1,224,011 | |
| | | | | |
| | 750 | | | CarFinance Capital Auto Trust, Automobile Receivables-Backed Notes, Series 2013-1, 144A | | | 3.450% | | | | 3/15/19 | | | | Baa3 | | | | 739,241 | |
| | | | | |
| | 982 | | | Citigroup Commercial Mortgage Securities Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-CD4, (3) | | | 5.205% | | | | 12/11/49 | | | | AAA | | | | 988,707 | |
| | | | | |
| | 192 | | | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2004-J1 | | | 6.000% | | | | 2/25/34 | | | | AA+ | | | | 196,383 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 1,569 | | | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2006-19CB | | | 6.000% | | | | 8/25/36 | | | | Caa3 | | | $ | 1,335,167 | |
| | | | | |
| | 1,160 | | | Countrywide Home Loan Mortgage Pass-Through Trust, Series 2004-2 | | | 2.762% | | | | 2/25/34 | | | | A | | | | 1,076,434 | |
| | | | | |
| | 539 | | | Countrywide Home Loans, Asset-Backed Certificates, Series 2003-SC1 | | | 2.443% | | | | 9/25/23 | | | | BB+ | | | | 488,521 | |
| | | | | |
| | 5,000 | | | Credit Suisse Commercial Mortgage Trust 2013-IVR4 | | | 3.000% | | | | 7/25/43 | | | | AAA | | | | 4,964,060 | |
| | | | | |
| | 3,132 | | | Credit Suisse First Boston Mortgage Securities Corporation, Mortgage-Backed Pass-Through Certificates, Series 2003-8 | | | 6.208% | | | | 4/25/33 | | | | A+ | | | | 3,004,898 | |
| | | | | |
| | 2,550 | | | DBUBS Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-LC3A | | | 3.642% | | | | 8/12/44 | | | | Aaa | | | | 2,692,397 | |
| | | | | |
| | 7,427 | | | Fannie Mae Mortgage Pool AB1959 | | | 4.000% | | | | 12/01/40 | | | | Aaa | | | | 7,758,246 | |
| | | | | |
| | 6,943 | | | Fannie Mae Mortgage Pool AB9659 | | | 3.000% | | | | 6/01/43 | | | | Aaa | | | | 6,793,876 | |
| | | | | |
| | 5,111 | | | Fannie Mae Mortgage Pool AC1877 | | | 4.500% | | | | 9/01/39 | | | | Aaa | | | | 5,405,818 | |
| | | | | |
| | 6,921 | | | Fannie Mae Mortgage Pool AD4375 | | | 5.000% | | | | 5/01/40 | | | | Aaa | | | | 7,533,132 | |
| | | | | |
| | 6,100 | | | Fannie Mae Mortgage Pool AE7265 | | | 4.000% | | | | 1/01/41 | | | | Aaa | | | | 6,358,274 | |
| | | | | |
| | 7,704 | | | Fannie Mae Mortgage Pool AH3804 | | | 4.000% | | | | 2/01/41 | | | | Aaa | | | | 8,029,980 | |
| | | | | |
| | 2,260 | | | Fannie Mae Mortgage Pool AL0160 | | | 4.500% | | | | 5/01/41 | | | | Aaa | | | | 2,398,555 | |
| | | | | |
| | 1,652 | | | Fannie Mae Mortgage Pool MA1028 | | | 4.000% | | | | 4/01/42 | | | | Aaa | | | | 1,726,670 | |
| | | | | |
| | 138 | | | Fannie Mae Mortgage Pool 250551 | | | 7.000% | | | | 5/01/26 | | | | Aaa | | | | 157,236 | |
| | | | | |
| | 578 | | | Fannie Mae Mortgage Pool 252255 | | | 6.500% | | | | 2/01/29 | | | | Aaa | | | | 664,012 | |
| | | | | |
| | 1,240 | | | Fannie Mae Mortgage Pool 254169 | | | 6.500% | | | | 12/01/31 | | | | Aaa | | | | 1,346,527 | |
| | | | | |
| | 923 | | | Fannie Mae Mortgage Pool 254379 | | | 7.000% | | | | 7/01/32 | | | | Aaa | | | | 1,048,936 | |
| | | | | |
| | 986 | | | Fannie Mae Mortgage Pool 254447 | | | 6.000% | | | | 9/01/32 | | | | Aaa | | | | 1,085,759 | |
| | | | | |
| | 874 | | | Fannie Mae Mortgage Pool 254513 | | | 6.000% | | | | 10/01/22 | | | | Aaa | | | | 950,593 | |
| | | | | |
| | 2,178 | | | Fannie Mae Mortgage Pool 255575 | | | 5.500% | | | | 1/01/25 | | | | Aaa | | | | 2,385,831 | |
| | | | | |
| | 513 | | | Fannie Mae Mortgage Pool 256845 | | | 6.500% | | | | 8/01/37 | | | | Aaa | | | | 568,585 | |
| | | | | |
| | 1,585 | | | Fannie Mae Mortgage Pool 256852 | | | 6.000% | | | | 8/01/27 | | | | Aaa | | | | 1,737,306 | |
| | | | | |
| | 815 | | | Fannie Mae Mortgage Pool 256890 | | | 6.000% | | | | 9/01/37 | | | | Aaa | | | | 876,136 | |
| | | | | |
| | 954 | | | Fannie Mae Mortgage Pool 257307 | | | 6.000% | | | | 8/01/38 | | | | Aaa | | | | 1,037,003 | |
| | | | | |
| | 80 | | | Fannie Mae Mortgage Pool 340798 | | | 7.000% | | | | 4/01/26 | | | | Aaa | | | | 89,540 | |
| | | | | |
| | 45 | | | Fannie Mae Mortgage Pool 440780 | | | 5.500% | | | | 2/01/14 | | | | Aaa | | | | 47,126 | |
| | | | | |
| | 17 | | | Fannie Mae Mortgage Pool 535206 | | | 7.000% | | | | 2/01/15 | | | | Aaa | | | | 17,822 | |
| | | | | |
| | 137 | | | Fannie Mae Mortgage Pool 545359 | | | 2.405% | | | | 3/01/31 | | | | Aaa | | | | 146,762 | |
| | | | | |
| | 333 | | | Fannie Mae Mortgage Pool 545813 | | | 7.000% | | | | 7/01/32 | | | | Aaa | | | | 389,064 | |
| | | | | |
| | 218 | | | Fannie Mae Mortgage Pool 545815 | | | 7.000% | | | | 7/01/32 | | | | Aaa | | | | 247,472 | |
| | | | | |
| | 1,441 | | | Fannie Mae Mortgage Pool 555798 | | | 6.500% | | | | 5/01/33 | | | | Aaa | | | | 1,612,359 | |
| | | | | |
| | 1,158 | | | Fannie Mae Mortgage Pool 555800 | | | 5.500% | | | | 10/01/33 | | | | Aaa | | | | 1,267,059 | |
| | | | | |
| | 2,239 | | | Fannie Mae Mortgage Pool 555843 | | | 2.212% | | | | 8/01/30 | | | | Aaa | | | | 2,378,300 | |
| | | | | |
| | 112 | | | Fannie Mae Mortgage Pool 591038 | | | 7.000% | | | | 8/01/16 | | | | Aaa | | | | 118,150 | |
| | | | | |
| | 499 | | | Fannie Mae Mortgage Pool 673010 | | | 5.500% | | | | 12/01/17 | | | | Aaa | | | | 527,209 | |
| | | | | |
| | 2,041 | | | Fannie Mae Mortgage Pool 688330 | | | 6.000% | | | | 3/01/33 | | | | Aaa | | | | 2,277,062 | |
| | | | | |
| | 1,617 | | | Fannie Mae Mortgage Pool 694605 | | | 5.500% | | | | 4/01/33 | | | | Aaa | | | | 1,769,385 | |
| | | | | |
| | 3,733 | | | Fannie Mae Mortgage Pool 709446 | | | 5.500% | | | | 7/01/33 | | | | Aaa | | | | 4,169,573 | |
| | | | | |
| | 737 | | | Fannie Mae Mortgage Pool 725248 | | | 5.000% | | | | 3/01/34 | | | | Aaa | | | | 797,111 | |
| | | | | |
| | 571 | | | Fannie Mae Mortgage Pool 725553 | | | 2.175% | | | | 9/01/33 | | | | Aaa | | | | 603,526 | |
| | | | | |
| | 2,585 | | | Fannie Mae Mortgage Pool 735054 | | | 5.180% | | | | 11/01/34 | | | | Aaa | | | | 2,775,340 | |
Portfolio of Investments
Nuveen Core Plus Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 2,672 | | | Fannie Mae Mortgage Pool 735273 | | | 6.500% | | | | 6/01/34 | | | | Aaa | | | $ | 3,008,660 | |
| | | | | |
| | 1,688 | | | Fannie Mae Mortgage Pool 745101 | | | 6.000% | | | | 4/01/32 | | | | Aaa | | | | 1,818,768 | |
| | | | | |
| | 136 | | | Fannie Mae Mortgage Pool 772130 | | | 6.000% | | | | 11/01/33 | | | | Aaa | | | | 149,909 | |
| | | | | |
| | 205 | | | Fannie Mae Mortgage Pool 772256 | | | 6.000% | | | | 11/01/33 | | | | Aaa | | | | 224,424 | |
| | | | | |
| | 331 | | | Fannie Mae Mortgage Pool 781776 | | | 6.000% | | | | 10/01/34 | | | | Aaa | | | | 364,868 | |
| | | | | |
| | 895 | | | Fannie Mae Mortgage Pool 885536 | | | 6.000% | | | | 8/01/36 | | | | Aaa | | | | 986,123 | |
| | | | | |
| | 4,642 | | | Fannie Mae Mortgage Pool 889618 | | | 5.500% | | | | 5/01/38 | | | | Aaa | | | | 5,034,818 | |
| | | | | |
| | 159 | | | Fannie Mae Mortgage Pool 889706 | | | 6.000% | | | | 6/01/38 | | | | Aaa | | | | 173,180 | |
| | | | | |
| | 1,804 | | | Fannie Mae Mortgage Pool 900555 | | | 6.000% | | | | 9/01/36 | | | | Aaa | | | | 1,986,784 | |
| | | | | |
| | 1,215 | | | Fannie Mae Mortgage Pool 932260 | | | 5.000% | | | | 12/01/39 | | | | Aaa | | | | 1,329,393 | |
| | | | | |
| | 3,745 | | | Fannie Mae Mortgage Pool 932323 | | | 4.500% | | | | 12/01/39 | | | | Aaa | | | | 3,960,816 | |
| | | | | |
| | 680 | | | Fannie Mae Mortgage Pool 944340 | | | 6.000% | | | | 6/01/37 | | | | Aaa | | | | 739,022 | |
| | | | | |
| | 5,824 | | | Fannie Mae Mortgage Pool 973241 | | | 5.000% | | | | 3/01/38 | | | | Aaa | | | | 6,258,870 | |
| | | | | |
| | 1 | | | Fannie Mae Mortgage Pool 983077 | | | 5.000% | | | | 5/01/38 | | | | Aaa | | | | 551 | |
| | | | | |
| | — | (11) | | Fannie Mae Mortgage Pool 985344 | | | 5.500% | | | | 7/01/38 | | | | Aaa | | | | 363 | |
| | | | | |
| | 1,314 | | | Fannie Mae Mortgage Pool 993138 | | | 6.000% | | | | 10/01/38 | | | | Aaa | | | | 1,431,574 | |
| | | | | |
| | 13 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1988-24 G | | | 7.000% | | | | 10/25/18 | | | | Aaa | | | | 14,410 | |
| | | | | |
| | 12 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1989-44 H | | | 9.000% | | | | 7/25/19 | | | | Aaa | | | | 13,392 | |
| | | | | |
| | 3 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1989-90 E | | | 8.700% | | | | 12/25/19 | | | | Aaa | | | | 3,012 | |
| | | | | |
| | 9 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1990-30 E | | | 6.500% | | | | 3/25/20 | | | | Aaa | | | | 9,946 | |
| | | | | |
| | 12 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1990-61 H | | | 7.000% | | | | 6/25/20 | | | | Aaa | | | | 13,489 | |
| | | | | |
| | 11 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1990-72 B | | | 9.000% | | | | 7/25/20 | | | | Aaa | | | | 12,810 | |
| | | | | |
| | 15 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1990-102 J | | | 6.500% | | | | 8/25/20 | | | | Aaa | | | | 16,288 | |
| | | | | |
| | 121 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1990-105 J | | | 6.500% | | | | 9/25/20 | | | | Aaa | | | | 131,040 | |
| | | | | |
| | 44 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1991-56 M | | | 6.750% | | | | 6/25/21 | | | | Aaa | | | | 46,490 | |
| | | | | |
| | 78 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1991-134 Z | | | 7.000% | | | | 10/25/21 | | | | Aaa | | | | 87,032 | |
| | | | | |
| | 11 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1992-120 C | | | 6.500% | | | | 7/25/22 | | | | Aaa | | | | 12,540 | |
| | | | | |
| | 364 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1996-35 Z | | | 7.000% | | | | 7/25/26 | | | | Aaa | | | | 412,712 | |
| | | | | |
| | 919 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2005-62 JE | | | 5.000% | | | | 6/25/35 | | | | Aaa | | | | 1,030,459 | |
| | | | | |
| | 1,214 | | | Fannie Mae REMIC Pass-Through Certificates 2003-W1 B1 | | | 5.750% | | | | 12/25/42 | | | | B1 | | | | 791,866 | |
| | | | | |
| | 4,920 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.500% | | | | TBA | | | | Aaa | | | | 4,994,569 | |
| | | | | |
| | 3,475 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.000% | | | | TBA | | | | Aaa | | | | 3,395,183 | |
| | | | | |
| | 12 | | | Federal Home Loan Mortgage Corporation, REMIC 1022 J | | | 6.000% | | | | 12/15/20 | | | | Aaa | | | | 13,023 | |
| | | | | |
| | 22 | | | Federal Home Loan Mortgage Corporation, REMIC 1118 Z | | | 8.250% | | | | 7/15/21 | | | | Aaa | | | | 25,101 | |
| | | | | |
| | 33 | | | Federal Home Loan Mortgage Corporation, REMIC 162 F | | | 7.000% | | | | 5/15/21 | | | | Aaa | | | | 36,336 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 21 | | | Federal Home Loan Mortgage Corporation, REMIC 1790 A | | | 7.000% | | | | 4/15/22 | | | | Aaa | | | $ | 22,592 | |
| | | | | |
| | 75 | | | Federal Home Loan Mortgage Corporation, REMIC 188 H | | | 7.000% | | | | 9/15/21 | | | | Aaa | | | | 83,806 | |
| | | | | |
| | 1,154 | | | Federal Home Loan Mortgage Corporation, REMIC 2704 JF | | | 0.743% | | | | 5/15/23 | | | | Aaa | | | | 1,162,162 | |
| | | | | |
| | 1,819 | | | Federal Home Loan Mortgage Corporation, REMIC 2901 UB | | | 5.000% | | | | 3/15/33 | | | | Aaa | | | | 1,845,617 | |
| | | | | |
| | 1,469 | | | Federal Home Loan Mortgage Corporation, REMIC 3591 FP | | | 0.793% | | | | 6/15/39 | | | | Aaa | | | | 1,479,216 | |
| | | | | |
| | 7 | | | Federal Home Loan Mortgage Corporation, REMIC 6 C | | | 9.050% | | | | 6/15/19 | | | | Aaa | | | | 7,167 | |
| | | | | |
| | 2,502 | | | Freddie Mac Gold Pool 1G2163 | | | 2.848% | | | | 9/01/37 | | | | Aaa | | | | 2,671,083 | |
| | | | | |
| | 518 | | | Freddie Mac Gold Pool 847190 | | | 2.319% | | | | 4/01/29 | | | | Aaa | | | | 553,330 | |
| | | | | |
| | 626 | | | Freddie Mac Gold Pool 847180 | | | 2.410% | | | | 3/01/30 | | | | Aaa | | | | 669,850 | |
| | | | | |
| | 906 | | | Freddie Mac Gold Pool 847240 | | | 2.288% | | | | 7/01/30 | | | | Aaa | | | | 959,162 | |
| | | | | |
| | 419 | | | Freddie Mac Gold Pool 846984 | | | 1.923% | | | | 6/01/31 | | | | Aaa | | | | 441,683 | |
| | | | | |
| | 717 | | | Freddie Mac Mortgage Pool, Various A15521 | | | 6.000% | | | | 11/01/33 | | | | Aaa | | | | 800,583 | |
| | | | | |
| | 837 | | | Freddie Mac Mortgage Pool, Various A17212 | | | 6.500% | | | | 7/01/31 | | | | Aaa | | | | 961,378 | |
| | | | | |
| | 555 | | | Freddie Mac Mortgage Pool, Various C00676 | | | 6.500% | | | | 11/01/28 | | | | Aaa | | | | 637,281 | |
| | | | | |
| | 450 | | | Freddie Mac Mortgage Pool, Various C00689 | | | 6.500% | | | | 12/01/28 | | | | Aaa | | | | 502,275 | |
| | | | | |
| | 255 | | | Freddie Mac Mortgage Pool, Various C00742 | | | 6.500% | | | | 4/01/29 | | | | Aaa | | | | 285,101 | |
| | | | | |
| | 263 | | | Freddie Mac Mortgage Pool, Various G00876 | | | 6.500% | | | | 1/01/28 | | | | Aaa | | | | 299,427 | |
| | | | | |
| | 302 | | | Freddie Mac Mortgage Pool, Various H09059 | | | 7.000% | | | | 8/01/37 | | | | Aaa | | | | 335,988 | |
| | | | | |
| | 370 | | | Freddie Mac Mortgage Pool, Various P10023 | | | 4.500% | | | | 3/01/18 | | | | Aaa | | | | 380,722 | |
| | | | | |
| | 1,094 | | | Freddie Mac Mortgage Pool, Various P10032 | | | 4.500% | | | | 5/01/18 | | | | Aaa | | | | 1,124,612 | |
| | | | | |
| | 87 | | | Freddie Mac Non Gold Participation Certificates 846757 | | | 2.326% | | | | 5/01/25 | | | | Aaa | | | | 92,925 | |
| | | | | |
| | 5,000 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2007-GG10, (3) | | | 5.982% | | | | 8/10/45 | | | | A | | | | 5,571,790 | |
| | | | | |
| | 559 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2003-1 | | | 6.699% | | | | 3/25/43 | | | | Ba3 | | | | 358,519 | |
| | | | | |
| | 674 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2005-RP2 1A2 | | | 7.500% | | | | 3/25/35 | | | | B1 | | | | 703,497 | |
| | | | | |
| | 762 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2005-RP3 1A2 | | | 7.500% | | | | 9/25/35 | | | | Ba3 | | | | 794,168 | |
| | | | | |
| | 6,220 | | | Government National Mortgage Association TBA Mortgage Backed Securities, (WI/DD) | | | 3.000% | | | | TBA | | | | Aaa | | | | 6,149,053 | |
| | | | | |
| | 6,626 | | | Government National Mortgage Association Pool 4946 | | | 4.500% | | | | 2/20/41 | | | | Aaa | | | | 7,069,801 | |
| | | | | |
| | 193 | | | Government National Mortgage Association Pool 537699 | | | 7.500% | | | | 11/15/30 | | | | Aaa | | | | 221,388 | |
| | | | | |
| | 1 | | | Government National Mortgage Association Pool 8259 | | | 1.750% | | | | 8/20/23 | | | | Aaa | | | | 793 | |
| | | | | |
| | 933 | | | IndyMac INDX Mortgage Loan Trust, Pass-Through Certificates, Series 2005-AR1 | | | 2.630% | | | | 3/25/35 | | | | BBB+ | | | | 911,927 | |
| | | | | |
| | 2,287 | | | JPMorgan Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2007-S1 | | | 0.473% | | | | 6/25/37 | | | | CCC | | | | 1,893,766 | |
| | | | | |
| | 5,570 | | | JPMorgan Chase Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C4 | | | 4.106% | | | | 7/17/46 | | | | AAA | | | | 5,935,838 | |
| | | | | |
| | 135 | | | LB-UBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2005-C7 | | | 5.103% | | | | 11/18/30 | | | | AAA | | | | 135,482 | |
| | | | | |
| | 6,000 | | | LB-UBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2004-C2 | | | 4.367% | | | | 3/15/36 | | | | AAA | | | | 6,104,832 | |
| | | | | |
| | 1,095 | | | Lehman Mortgage Trust, Mortgage Pass-Through Certificates, Series 2008-6 | | | 5.522% | | | | 4/25/38 | | | | BB+ | | | | 1,111,728 | |
| | | | | |
| | 1,617 | | | Mid-State Capital Corporation Trust Notes, Series 2005-1 | | | 5.745% | | | | 1/15/40 | | | | AA | | | | 1,806,213 | |
Portfolio of Investments
Nuveen Core Plus Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 843 | | | Mortgage Asset Securitization Transaction Inc., Alternative Loan Trust Mortgage Pass-Through Certificates Series 2004-1 | | | 7.000% | | | | 1/25/34 | | | | BBB+ | | | $ | 874,762 | |
| | | | | |
| | 3,607 | | | Mortgage Equity Conversion Asset Trust 2010-1A | | | 4.000% | | | | 7/25/60 | | | | AA | | | | 3,426,570 | |
| | | | | |
| | 4,185 | | | National Credit Union Administration Guaranteed Structured Collateral Notes | | | 2.900% | | | | 10/29/20 | | | | Aaa | | | | 4,368,106 | |
| | | | | |
| | 5,590 | | | OBP Depositor LLC Trust, Commercial Mortgage Pass-Through Certificates, Series 2010-OBP | | | 4.646% | | | | 7/17/45 | | | | AAA | | | | 6,061,584 | |
| | | | | |
| | 3,198 | | | RBSSP Resecuritization Trust 2010-10 | | | 0.323% | | | | 9/26/36 | | | | N/R | | | | 2,915,572 | |
| | | | | |
| | 2,977 | | | RBSSP Resecuritization Trust, Series 2012-8 1A1 | | | 0.319% | | | | 10/28/36 | | | | N/R | | | | 2,807,206 | |
| | | | | |
| | 2,610 | | | SBA Tower Trust | | | 3.598% | | | | 4/15/43 | | | | BBB | | | | 2,582,556 | |
| | | | | |
| | 852 | | | Sequoia Mortgage Trust, Mortgage Pass-Through Certificates, Series 2011-1 | | | 4.125% | | | | 2/25/41 | | | | AAA | | | | 851,969 | |
| | | | | |
| | 3,168 | | | Springleaf Mortgage Loan Trust 2011-1 | | | 4.050% | | | | 1/25/58 | | | | AAA | | | | 3,273,567 | |
| | | | | |
| | 308 | | | Structured Adjustable Rate Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2004-11 | | | 2.645% | | | | 8/25/34 | | | | Ba3 | | | | 299,368 | |
| | | | | |
| | 2,074 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2006-P10B | | | 5.681% | | | | 8/10/16 | | | | Aaa | | | | 2,245,358 | |
| | | | | |
| | 6,380 | | | United States Department of Veterans, Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, Series 2011-1 | | | 3.750% | | | | 2/15/35 | | | | Aaa | | | | 6,760,291 | |
| | | | | |
| | 1,706 | | | Wachovia Bank Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-WHl8 | | | 0.273% | | | | 6/15/20 | | | | Aaa | | | | 1,691,677 | |
| | | | | |
| | 3,912 | | | Wachovia Mortgage Loan Trust LLC, Mortgage Pass-Through Certificates, Series 2005-B | | | 2.963% | | | | 10/20/35 | | | | CCC | | | | 3,120,090 | |
| | | | | |
| | 1,040 | | | Wells Fargo Mortgage Backed Securities Trust, Mortgage Pass-Through Certificate Series 2007-2 | | | 5.750% | | | | 3/25/37 | | | | Caa2 | | | | 941,996 | |
| | | | | |
| | 5,000 | | | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C3 | | | 4.375% | | | | 3/17/44 | | | | Aaa | | | | 5,252,289 | |
| $ | 233,805 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $233,099,252) | | | | | | | | | | | | 241,960,020 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | SOVEREIGN DEBT – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Poland – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,000 | | | Republic of Poland | | | 3.000% | | | | 3/17/23 | | | | A2 | | | $ | 902,500 | |
| $ | 1,000 | | | Total Sovereign Debt (cost $984,480) | | | | | | | | | | | | | | | 902,500 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 11.1% | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 11.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 74,451,214 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (6), (7) | | | | | | | | | | | | | | $ | 74,451,214 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $74,451,214) | | | | | | | | 74,451,214 | |
| | | | | | | | | | | | | | | | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | | Value | |
| | | | SHORT-TERM INVESTMENTS – 1.9% | | | | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 1.9% | | | | | | | | | | | | |
| | | | | |
| | 12,514,364 | | | First American Treasury Obligations Fund, Class Z | | | 0.000% (6) | | | | | | | $ | 12,514,364 | |
| | | | Total Short-Term Investments (cost $12,514,364) | | | | | | | | | | | 12,514,364 | |
| | | | Total Investments (cost $744,392,379) – 113.0% | | | | | | | | | | | 760,832,890 | |
| | | | Other Assets Less Liabilities – (13.0)% (8) | | | | | | | | | | | (87,307,356) | |
| | | | Net Assets – 100% | | | | | | | | | | $ | 673,525,534 | |
Investments in Derivatives as of June 30, 2013
Forward Foreign Currency Exchange Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Currency Contracts to Deliver | | Amount
(Local Currency) | | | In Exchange
For Currency | | | Amount
(Local Currency) | | | Settlement
Date | | | Unrealized
Appreciation
Depreciation)
(U.S. Dollars) (8) | |
Goldman Sachs | | Canadian Dollar | | | 6,939,150 | | | | U.S. Dollar | | | | 7,100,000 | | | | 8/09/13 | | | $ | (188,176 | ) |
Goldman Sachs | | U.S. Dollar | | | 7,100,000 | | | | Canadian Dollar | | | | 6,771,869 | | | | 8/09/13 | | | | 20,894 | |
| | | | | | | | | | | | | | | | | | | | | $ | (167,282 | ) |
Credit Default Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Reference Entity | | Buy/Sell
Protection (9) | | | Current
Credit
Spread (10) | | | Notional
Amount
(U.S. Dollars) | | | Fixed Rate
(Annualized) | | | Termination
Date | | | Value | | | Unrealized
Appreciation
(Depreciation) | |
Citigroup | | Markit CDX NA HY20 Index | | | Sell | | | | 4.32 | % | | $ | 3,300,000 | | | | 5.000 | % | | | 6/20/18 | | | $ | 104,931 | | | $ | (29,525 | ) |
Interest Rate Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Notional Amount | | | Fund
Pay/Receive
Floating Rate | | | Floating Rate Index | | | Fixed Rate
(Annualized) | | | Fixed Rate
Payment
Frequency | | | Termination
Date | | | Unrealized
Appreciation
(Depreciation) (8) | |
Deutsche Bank AG | | $ | 23,000,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 1.741 | % | | | Semi-Annually | | | | 11/08/22 | | | $ | 1,634,060 | |
JPMorgan Chase | | | 12,000,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 2.078 | | | | Semi-Annually | | | | 2/19/23 | | | | 504,724 | |
| | | $ | 35,000,000 | | | | | | | | | | | | | | | | | | | | | | | $ | 2,138,784 | |
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value* | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 5-Year Note | | | Long | | | | 54 | | | | 9/13 | | | $ | 6,536,531 | | | $ | (97,815 | ) |
U.S. Treasury 10-Year Note | | | Short | | | | (592 | ) | | | 9/13 | | | | (74,925,000 | ) | | | 1,653,606 | |
U.S. Treasury Long Bond | | | Short | | | | (62 | ) | | | 9/13 | | | | (8,422,312 | ) | | | 306,406 | |
U.S. Treasury Ultra Bond | | | Short | | | | (69 | ) | | | 9/13 | | | | (10,164,562 | ) | | | 373,212 | |
| | | | | | | | | | | | | | | $ | (86,975,343 | ) | | $ | 2,235,409 | |
| * | Total Notional Amount at Value of Long and Short positions were $6,536,531 and $(93,511,874), respectively. |
Portfolio of Investments
Nuveen Core Plus Bond Fund (continued)
June 30, 2013
| | | | |
| | | | 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. |
| | (2) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (3) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of securities out on loan as of the end of the reporting period was $72,740,635. |
| | (4) | | | Perpetual security. Maturity date is not applicable. |
| | (5) | | | Optional Call Provisions (not covered by the report of independent registered public accounting firm): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. |
| | (6) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (7) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | (8) | | | Other Assets Less Liabilities includes the Unrealized Appreciation (Depreciation) of certain derivative instruments as listed within Investments in Derivatives as of the end of the reporting period. |
| | (9) | | | The Fund entered into the credit default swaps to gain investment exposure to the referenced entity. Selling protection has a similar credit risk position to owning the referenced entity. Buying protection has a similar credit risk position to selling the referenced entity short. |
| | (10) | | | The credit spread generally serves as an indication of the current status of the payment/performance risk and therefore the likelihood of default of the credit derivative. The credit spread also reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into a credit default swap contract. Higher credit spreads are indicative of higher likelihood of performance by the seller of protection. |
| | (11) | | | Principal Amount (000) rounds to less than $1,000. |
| | N/A | | | Not applicable. |
| | N/R | | | Not rated. |
| | TBA | | | To be announced. Maturity date not known prior to settlement of this transaction. |
| | WI/DD | | | Investment, or portion of investment, 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. |
| | USD-LIBOR-BBA | | | United States Dollar–London Inter-Bank Offered Rate British Bankers’ Association. |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen Global Total Return Bond Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | $25 PAR (OR SIMILAR) RETAIL STRUCTURES – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Commercial Banks – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,400 | | | PNC Financial Services | | | 6.125% | | | | | | | | BBB | | | $ | 64,536 | |
| | | | | |
| | 2,000 | | | Regions Financial Corporation | | | 6.375% | | | | | | | | BB | | | | 49,000 | |
| | | | Total Commercial Banks | | | | | | | | | | | | | | | 113,536 | |
| | | | Consumer Finance – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | Discover Financial Services | | | 6.500% | | | | | | | | BB | | | | 75,300 | |
| | | | Insurance – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,400 | | | Hartford Financial Services Group Inc. | | | 7.875% | | | | | | | | BB+ | | | | 70,752 | |
| | | | Oil, Gas & Consumable Fuels – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,440 | | | Nustar Logistics Limited Partnership | | | 7.625% | | | | | | | | Ba2 | | | | 37,728 | |
| | | | Total $25 Par (or similar) Retail Structures (cost $279,681) | | | | | | | | | | | | | | | 297,316 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | CORPORATE BONDS – 40.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Airlines – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 24 | | | Delta Air Lines Pass Through Certificates, Series 2012-1B | | | 6.875% | | | | 5/07/19 | | | | BB+ | | | $ | 25,439 | |
| | | | Auto Components – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 50 | | | Ahern Rentals Inc., 144A | | | 9.500% | | | | 6/15/18 | | | | B | | | | 49,875 | |
| | | | | |
| | 45 | | | American & Axle Manufacturing Inc. | | | 6.625% | | | | 10/15/22 | | | | B | | | | 45,675 | |
| | | | | |
| | 25 | | | Pittsburgh Glass Works LLC, 144A | | | 8.500% | | | | 4/15/16 | | | | B+ | | | | 24,750 | |
| | 120 | | | Total Auto Components | | | | | | | | | | | | | | | 120,300 | |
| | | | Automobiles – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | Chrysler GP/CG Company | | | 8.000% | | | | 6/15/19 | | | | B1 | | | | 32,738 | |
| | | | | |
| | 30 | | | General Motors Financial Company Inc., 144A | | | 4.250% | | | | 5/15/23 | | | | BB | | | | 27,938 | |
| | 60 | | | Total Automobiles | | | | | | | | | | | | | | | 60,676 | |
| | | | Biotechnology – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | STHI Holding Corporation, 144A | | | 8.000% | | | | 3/15/18 | | | | B | | | | 21,600 | |
| | | | Capital Markets – 3.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 40 | | | E Trade Financial Corporation | | | 6.375% | | | | 11/15/19 | | | | B2 | | | | 40,600 | |
| | | | | |
| | 125 | | | Goldman Sachs Group, Inc. | | | 6.000% | | | | 6/15/20 | | | | A | | | | 140,453 | |
| | | | | |
| | 150 | | | Morgan Stanley | | | 4.875% | | | | 11/01/22 | | | | BBB+ | | | | 148,185 | |
| | | | | |
| | 70 | | | Morgan Stanley | | | 6.625% | | | | 4/01/18 | | | | A | | | | 79,342 | |
| | | | | |
| | 125 | | | Morgan Stanley | | | 5.500% | | | | 7/24/20 | | | | A | | | | 134,611 | |
| | | | | |
| | 25 | | | UBS AG Stamford | | | 4.875% | | | | 8/04/20 | | | | A | | | | 27,605 | |
| | 535 | | | Total Capital Markets | | | | | | | | | | | | | | | 570,796 | |
| | | | Chemicals – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Hexion US Finance | | | 6.625% | | | | 4/15/20 | | | | Ba3 | | | | 24,938 | |
| | | | | |
| | 25 | | | Huntsman International LLC, Series 2011 | | | 8.625% | | | | 3/15/21 | | | | B+ | | | | 27,438 | |
| | | | | |
| | 70 | | | Ineos Finance PLC, 144A | | | 7.500% | | | | 5/01/20 | | | | BB– | | | | 74,375 | |
| | | | | |
| | 25 | | | Momentive Performance Materials Inc. | | | 8.875% | | | | 10/15/20 | | | | B1 | | | | 26,125 | |
| | | | | |
| | 50 | | | Taminco Global Chemical Corporation, 144A | | | 9.750% | | | | 3/31/20 | | | | B– | | | | 55,688 | |
| | 195 | | | Total Chemicals | | | | | | | | | | | | | | | 208,564 | |
| | | | Commercial Banks – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | HSBC Holdings PLC | | | 6.800% | | | | 6/01/38 | | | | A+ | | | | 28,754 | |
Portfolio of Investments
Nuveen Global Total Return Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Commercial Banks (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 40 | | | Royal Bank of Scotland | | | 6.125% | | | | 12/15/22 | | | | BBB– | | | $ | 38,063 | |
| | | | | |
| | 25 | | | Wells Fargo & Company | | | 3.450% | | | | 2/13/23 | | | | A+ | | | | 23,876 | |
| | 90 | | | Total Commercial Banks | | | | | | | | | | | | | | | 90,693 | |
| | | | Commercial Services & Supplies – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 27 | | | Ceridian Corporation, 144A | | | 8.875% | | | | 7/15/19 | | | | B1 | | | | 30,004 | |
| | | | Communications Equipment – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | Goodman Networks Inc., 144A | | | 12.125% | | | | 7/01/18 | | | | B | | | | 21,200 | |
| | | | | |
| | 50 | | | IntelSat Jackson Holdings, 144A | | | 6.625% | | | | 12/15/22 | | | | CCC+ | | | | 48,500 | |
| | 70 | | | Total Communications Equipment | | | | | | | | | | | | | | | 69,700 | |
| | | | Computers & Peripherals – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | Hewlett Packard Company | | | 4.650% | | | | 12/09/21 | | | | A– | | | | 30,003 | |
| | | | | |
| | 15 | | | Lexmark International Group Incorporated | | | 5.125% | | | | 3/15/20 | | | | BBB– | | | | 15,080 | |
| | | | | |
| | 30 | | | Seagate HDD Cayman | | | 7.000% | | | | 11/01/21 | | | | BBB– | | | | 32,100 | |
| | 75 | | | Total Computers & Peripherals | | | | | | | | | | | | | | | 77,183 | |
| | | | Construction & Engineering – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Odebrecht Finance Limited, 144A | | | 5.125% | | | | 6/26/22 | | | | BBB– | | | | 196,000 | |
| | | | Consumer Finance – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 35 | | | Discover Financial Services | | | 5.200% | | | | 4/27/22 | | | | BBB | | | | 36,126 | |
| | | | | |
| | 100 | | | Ford Motor Credit Company | | | 6.625% | | | | 8/15/17 | | | | Baa3 | | | | 113,179 | |
| | 135 | | | Total Consumer Finance | | | | | | | | | | | | | | | 149,305 | |
| | | | Containers & Packaging – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | Ball Corporation | | | 4.000% | | | | 11/15/23 | | | | BB+ | | | | 18,500 | |
| | | | | |
| | 2 | | | Intertape Polymer US Inc. | | | 8.500% | | | | 8/01/14 | | | | B– | | | | 1,990 | |
| | | | | |
| | 100 | | | Reynolds Group | | | 7.125% | | | | 4/15/19 | | | | B+ | | | | 105,625 | |
| | 122 | | | Total Containers & Packaging | | | | | | | | | | | | | | | 126,115 | |
| | | | Diversified Financial Services – 4.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 50 | | | Bank of America Corporation | | | 5.750% | | | | 12/01/17 | | | | A | | | | 55,569 | |
| | | | | |
| | 115 | | | Bank of America Corporation | | | 5.875% | | | | 1/05/21 | | | | A | | | | 129,431 | |
| | | | | |
| | 100 | | | Bank of America Corporation | | | 5.700% | | | | 1/24/22 | | | | A | | | | 111,005 | |
| | | | | |
| | 20 | | | Citigroup Inc. | | | 4.500% | | | | 1/14/22 | | | | A | | | | 20,837 | |
| | | | | |
| | 70 | | | Citigroup Inc. | | | 4.050% | | | | 7/30/22 | | | | BBB+ | | | | 67,277 | |
| | | | | |
| | 30 | | | Citigroup Inc. | | | 6.125% | | | | 8/25/36 | | | | BBB+ | | | | 29,373 | |
| | | | | |
| | 30 | | | General Electric Capital Corporation | | | 5.300% | | | | 2/11/21 | | | | AA | | | | 32,909 | |
| | | | | |
| | 25 | | | General Electric Capital Corporation | | | 6.875% | | | | 1/10/39 | | | | AA+ | | | | 30,810 | |
| | | | | |
| | 150 | | | JPMorgan Chase & Company | | | 4.500% | | | | 1/24/22 | | | | A+ | | | | 157,068 | |
| | | | | |
| | 40 | | | JPMorgan Chase & Company | | | 3.375% | | | | 5/01/23 | | | | A | | | | 37,246 | |
| | | | | |
| | 45 | | | JPMorgan Chase & Company | | | 6.400% | | | | 5/15/38 | | | | A+ | | | | 52,785 | |
| | 675 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 724,310 | |
| | | | Diversified Telecommunication Services – 1.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | AT&T, Inc. | | | 5.550% | | | | 8/15/41 | | | | A | | | | 26,030 | |
| | | | | |
| | 35 | | | Brasil Telecom S.A., 144A | | | 5.750% | | | | 2/10/22 | | | | BBB | | | | 32,594 | |
| | | | | |
| | 20 | | | CyrusOne LP Finance, 144A | | | 6.375% | | | | 11/15/22 | | | | B+ | | | | 20,500 | |
| | | | | |
| | 150 | | | Deutsche Telekom International Finance BV, 144A | | | 4.875% | | | | 3/06/42 | | | | BBB+ | | | | 146,323 | |
| | | | | |
| | 20 | | | Windstream Corporation | | | 6.375% | | | | 8/01/23 | | | | BB+ | | | | 18,700 | |
| | 250 | | | Total Diversified Telecommunication Services | | | | | | | | | | | | | | | 244,147 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Electric Utilities – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 55 | | | APT Pipelines Limited, 144A | | | 3.875% | | | | 10/11/22 | | | | BBB | | | $ | 50,727 | |
| | | | | |
| | 50 | | | Energy Future Intermediate Holding Company LLC | | | 10.000% | | | | 12/01/20 | | | | B2 | | | | 54,750 | |
| | 105 | | | Total Electric Utilities | | | | | | | | | | | | | | | 105,477 | |
| | | | Energy Equipment & Services – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | Diamond Offshore Drilling Inc. | | | 5.700% | | | | 10/15/39 | | | | A– | | | | 23,480 | |
| | | | | |
| | 25 | | | Gulfmark Offshore Inc. | | | 6.375% | | | | 3/15/22 | | | | BB– | | | | 24,813 | |
| | | | | |
| | 50 | | | Nabors Industries Inc. | | | 5.000% | | | | 9/15/20 | | | | BBB | | | | 50,970 | |
| | | | | |
| | 25 | | | Precision Drilling Corporation | | | 6.500% | | | | 12/15/21 | | | | Ba1 | | | | 25,313 | |
| | | | | |
| | 50 | | | Transocean Inc. | | | 3.800% | | | | 10/15/22 | | | | BBB– | | | | 47,628 | |
| | | | | |
| | 25 | | | Weatherford International Limited | | | 7.000% | | | | 3/15/38 | | | | Baa2 | | | | 26,726 | |
| | 195 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 198,930 | |
| | | | Food Products – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | JBS USA LLC | | | 7.250% | | | | 6/01/21 | | | | BB | | | | 20,000 | |
| | | | | |
| | 25 | | | Pinnacle Foods Finance LLC, 144A | | | 4.875% | | | | 5/01/21 | | | | B– | | | | 23,875 | |
| | | | | |
| | 40 | | | Tyson Foods | | | 4.500% | | | | 6/15/22 | | | | BBB | | | | 40,873 | |
| | 85 | | | Total Food Products | | | | | | | | | | | | | | | 84,748 | |
| | | | Gas Utilities – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | AmeriGas Finance LLC | | | 6.750% | | | | 5/20/20 | | | | Ba2 | | | | 25,875 | |
| | | | Health Care Providers & Services – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | HCA Holdings Inc. | | | 7.750% | | | | 5/15/21 | | | | B– | | | | 27,000 | |
| | | | | |
| | 25 | | | Kindred Healthcare Inc. | | | 8.250% | | | | 6/01/19 | | | | B– | | | | 25,625 | |
| | | | | |
| | 100 | | | Labco SAS, 144A | | | 8.500% | | | | 1/15/18 | | | | BB– | | | | 135,696 | |
| | 150 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 188,321 | |
| | | | Hotels, Restaurants & Leisure – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Graton Economic Development Authority, 144A | | | 9.625% | | | | 9/01/19 | | | | B | | | | 27,375 | |
| | | | | |
| | 25 | | | Shearer’s Foods LLC, 144A | | | 9.000% | | | | 11/01/19 | | | | B | | | | 26,438 | |
| | | | | |
| | 25 | | | Viking Cruises Limited, 144A | | | 8.500% | | | | 10/15/22 | | | | B | | | | 27,375 | |
| | 75 | | | Total Hotels, Restaurants & Leisure | | | | | | | | | | | | | | | 81,188 | |
| | | | Independent Power Producers & Energy Traders – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Calpine Corporation, 144A | | | 7.500% | | | | 2/15/21 | | | | BB+ | | | | 26,688 | |
| | | | | |
| | 25 | | | Constellation Energy Group | | | 5.150% | | | | 12/01/20 | | | | BBB+ | | | | 27,418 | |
| | | | | |
| | 20 | | | GenOn Energy | | | 9.500% | | | | 10/15/18 | | | | B | | | | 22,200 | |
| | 70 | | | Total Independent Power Producers & Energy Traders | | | | | | | | | | | | | | | 76,306 | |
| | | | Industrial Conglomerates – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | Abengoa Finance SAU, 144A | | | 8.875% | | | | 11/01/17 | | | | B+ | | | | 18,600 | |
| | | | Insurance – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | Allied World Assurance Holdings Limited | | | 7.500% | | | | 8/01/16 | | | | A– | | | | 34,576 | |
| | | | | |
| | 35 | | | Hartford Financial Services Group Inc. | | | 6.000% | | | | 1/15/19 | | | | BBB | | | | 39,455 | |
| | | | | |
| | 30 | | | Liberty Mutual Group Inc., 144A | | | 4.950% | | | | 5/01/22 | | | | Baa2 | | | | 30,801 | |
| | | | | |
| | 25 | | | MetLife Inc. | | | 6.750% | | | | 6/01/16 | | | | A– | | | | 28,613 | |
| | | | | |
| | 20 | | | Prudential Financial Inc. | | | 5.500% | | | | 3/15/16 | | | | A | | | | 22,089 | |
| | | | | |
| | 35 | | | Swiss Re Treasury US Corporation, 144A | | | 4.250% | | | | 12/06/42 | | | | AA– | | | | 30,795 | |
| | 175 | | | Total Insurance | | | | | | | | | | | | | | | 186,329 | |
| | | | IT Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | First Data Corporation | | | 6.750% | | | | 11/01/20 | | | | BB– | | | | 20,350 | |
Portfolio of Investments
Nuveen Global Total Return Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Machinery – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 50 | | | Ingersoll Rand, 144A | | | 5.750% | | | | 6/15/43 | | | | BBB | | | $ | 50,812 | |
| | | | | |
| | 40 | | | Terex Corporation | | | 6.000% | | | | 5/15/21 | | | | BB– | | | | 39,900 | |
| | | | | |
| | 55 | | | Turlock Corporation | | | 4.150% | | | | 11/02/42 | | | | A– | | | | 49,346 | |
| | 145 | | | Total Machinery | | | | | | | | | | | | | | | 140,058 | |
| | | | Media – 2.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | Cequel Communication Holdings I, 144A | | | 5.125% | | | | 12/15/21 | | | | B– | | | | 18,800 | |
| | | | | |
| | 20 | | | Comcast Corporation | | | 6.400% | | | | 5/15/38 | | | | A– | | | | 23,872 | |
| | | | | |
| | 55 | | | DIRECTV Holdings LLC | | | 5.200% | | | | 3/15/20 | | | | BBB | | | | 59,385 | |
| | | | | |
| | 50 | | | Dish DBS Corporation, 144A | | | 4.250% | | | | 4/01/18 | | | | BB– | | | | 49,000 | |
| | | | | |
| | 25 | | | McGraw-Hill Global Education Holdings, 144A | | | 9.750% | | | | 4/01/21 | | | | BB | | | | 25,563 | |
| | | | | |
| | 30 | | | NBC Universal Media LLC | | | 4.375% | | | | 4/01/21 | | | | A– | | | | 32,361 | |
| | | | | |
| | 35 | | | NBC Universal Media LLC | | | 2.875% | | | | 1/15/23 | | | | A– | | | | 33,244 | |
| | | | | |
| | 20 | | | News America Holdings Inc. | | | 6.650% | | | | 11/15/37 | | | | BBB+ | | | | 23,015 | |
| | | | | |
| | 45 | | | SES SA, 144A | | | 3.600% | | | | 4/04/23 | | | | BBB | | | | 43,748 | |
| | | | | |
| | 40 | | | Time Warner Inc. | | | 6.100% | | | | 7/15/40 | | | | BBB+ | | | | 43,672 | |
| | | | | |
| | 28 | | | Viacom Inc. | | | 4.375% | | | | 3/15/43 | | | | BBB+ | | | | 23,750 | |
| | | | | |
| | 25 | | | Videotron Limited, 144A | | | 5.625% | | | | 6/15/25 | | | | BB | | | | 22,701 | |
| | | | | |
| | 60 | | | Vivendi S.A., 144A | | | 4.750% | | | | 4/12/22 | | | | BBB | | | | 60,010 | |
| | 453 | | | Total Media | | | | | | | | | | | | | | | 459,121 | |
| | | | Metals & Mining – 4.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 105 | | | Alcoa Inc. | | | 5.400% | | | | 4/15/21 | | | | BBB– | | | | 102,208 | |
| | | | | |
| | 25 | | | Anglogold Holdings PLC | | | 6.500% | | | | 4/15/40 | | | | Baa2 | | | | 20,677 | |
| | | | | |
| | 85 | | | ArcelorMittal | | | 6.750% | | | | 2/25/22 | | | | BB+ | | | | 87,125 | |
| | | | | |
| | 100 | | | Bumi Investment PTE Limited, 144A | | | 10.750% | | | | 10/06/17 | | | | B– | | | | 72,000 | |
| | | | | |
| | 70 | | | Cliffs Natural Resources Inc. | | | 4.800% | | | | 10/01/20 | | | | BBB– | | | | 63,098 | |
| | | | | |
| | 25 | | | Coeur D’Alene Mines Corporation, 144A | | | 7.875% | | | | 2/01/21 | | | | BB– | | | | 24,625 | |
| | | | | |
| | 50 | | | FMG Resources, 144A | | | 6.000% | | | | 4/01/17 | | | | BB+ | | | | 48,625 | |
| | | | | |
| | 75 | | | Freeport McMoRan Copper & Gold, Inc. | | | 3.550% | | | | 3/01/22 | | | | BBB | | | | 68,127 | |
| | | | | |
| | 25 | | | IAMGOLD Corporation, 144A | | | 6.750% | | | | 10/01/20 | | | | BB– | | | | 21,125 | |
| | | | | |
| | 45 | | | Inmet Mining Corporation, 144A | | | 8.750% | | | | 6/01/20 | | | | B+ | | | | 46,013 | |
| | | | | |
| | 65 | | | Newmont Mining Corporation | | | 3.500% | | | | 3/15/22 | | | | BBB+ | | | | 55,623 | |
| | | | | |
| | 20 | | | Taseko Mines Limited | | | 7.750% | | | | 4/15/19 | | | | B | | | | 19,750 | |
| | | | | |
| | 35 | | | Teck Resources Limited | | | 6.250% | | | | 7/15/41 | | | | BBB | | | | 33,158 | |
| | | | | |
| | 25 | | | Vale Overseas Limited | | | 6.875% | | | | 11/10/39 | | | | A– | | | | 25,235 | |
| | | | | |
| | 35 | | | WPE International Cooperatief U.A., 144A | | | 10.375% | | | | 9/30/20 | | | | B+ | | | | 27,300 | |
| | 785 | | | Total Metals & Mining | | | | | | | | | | | | | | | 714,689 | |
| | | | Oil, Gas & Consumable Fuels – 8.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 50 | | | Amerada Hess Corporation | | | 7.125% | | | | 3/15/33 | | | | BBB | | | | 58,775 | |
| | | | | |
| | 50 | | | Anadarko Petroleum Corporation | | | 6.200% | | | | 3/15/40 | | | | BBB– | | | | 56,099 | |
| | | | | |
| | 80 | | | Apache Corporation | | | 4.250% | | | | 1/15/44 | | | | A– | | | | 71,377 | |
| | | | | |
| | 30 | | | Athabasca Oil Corporation, 144A | | | 7.500% | | | | 11/19/17 | | | | B | | | | 27,099 | |
| | | | | |
| | 25 | | | Atlas Pipeline LP Finance, 144A | | | 5.875% | | | | 8/01/23 | | | | B+ | | | | 23,750 | |
| | | | | |
| | 25 | | | Bill Barrett Corporation | | | 7.000% | | | | 10/15/22 | | | | B+ | | | | 25,000 | |
| | | | | |
| | 25 | | | Calumet Specialty Products | | | 9.375% | | | | 5/01/19 | | | | B | | | | 26,750 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Oil, Gas & Consumable Fuels (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 50 | | | Carrizo Oil and Gas Inc. | | | 7.500% | | | | 9/15/20 | | | | B– | | | $ | 52,000 | |
| | | | | |
| | 5 | | | Concho Resources Inc. | | | 5.500% | | | | 10/01/22 | | | | BB+ | | | | 4,950 | |
| | | | | |
| | 25 | | | Deep Drilling Company | | | 14.250% | | | | 3/05/15 | | | | N/R | | | | 26,875 | |
| | | | | |
| | 25 | | | Drill Rigs Holdings Inc., 144A | | | 6.500% | | | | 10/01/17 | | | | B | | | | 24,936 | |
| | | | | |
| | 25 | | | Forest Oil Corporation | | | 7.250% | | | | 6/15/19 | | | | B– | | | | 23,500 | |
| | | | | |
| | 200 | | | Gazprom OAO Via Gaz Capital SA, 144A | | | 3.850% | | | | 2/06/20 | | | | Baa1 | | | | 186,000 | |
| | | | | |
| | 25 | | | Halcon Resources Limited Liability Corporation, 144A | | | 9.750% | | | | 7/15/20 | | | | B | | | | 24,938 | |
| | | | | |
| | 30 | | | Key Energy Services Inc. | | | 6.750% | | | | 3/01/21 | | | | BB– | | | | 28,800 | |
| | | | | |
| | 20 | | | Kodiak Oil and Gas Corporation | | | 8.125% | | | | 12/01/19 | | | | B– | | | | 21,700 | |
| | | | | |
| | 20 | | | Linn Energy LLC Finance Corporation, 144A | | | 6.250% | | | | 11/01/19 | | | | B | | | | 19,050 | |
| | | | | |
| | 25 | | | Martin Mid-Stream Partners LP Finance, 144A | | | 7.250% | | | | 2/15/21 | | | | B– | | | | 25,125 | |
| | | | | |
| | 25 | | | MEG Energy Corporation, 144A | | | 6.375% | | | | 1/30/23 | | | | BB | | | | 24,250 | |
| | | | | |
| | 25 | | | Niska Gas Storage US LLC | | | 8.875% | | | | 3/15/18 | | | | B+ | | | | 25,938 | |
| | | | | |
| | 30 | | | Noble Energy Inc. | | | 4.150% | | | | 12/15/21 | | | | BBB | | | | 30,975 | |
| | | | | |
| | 25 | | | Northern Tier Energy LLC, 144A | | | 7.125% | | | | 11/15/20 | | | | BB– | | | | 25,250 | |
| | | | | |
| | 30 | | | Offshore Group Investment Limited | | | 7.500% | | | | 11/01/19 | | | | B– | | | | 31,275 | |
| | | | | |
| | 20 | | | Paramount Resources Limited, 144A | | | 7.625% | | | | 12/04/19 | | | | B | | | | 19,017 | |
| | | | | |
| | 25 | | | PBF Holding Company LLC | | | 8.250% | | | | 2/15/20 | | | | BB– | | | | 26,188 | |
| | | | | |
| | 25 | | | Petrobras International Finance Company | | | 5.375% | | | | 1/27/21 | | | | A3 | | | | 25,117 | |
| | | | | |
| | 50 | | | Petrobras International Finance Company | | | 6.875% | | | | 1/20/40 | | | | A3 | | | | 50,474 | |
| | | | | |
| | 25 | | | Sabine Pass LNG LP | | | 7.500% | | | | 11/30/16 | | | | BB+ | | | | 26,906 | |
| | | | | |
| | 25 | | | Sandridge Energy Inc. | | | 8.125% | | | | 10/15/22 | | | | B2 | | | | 24,750 | |
| | | | | |
| | 200 | | | Sinopec Group Overseas Development 2012, 144A | | | 3.900% | | | | 5/17/22 | | | | Aa3 | | | | 194,168 | |
| | | | | |
| | 25 | | | SM Energy Company | | | 6.625% | | | | 2/15/19 | | | | BB– | | | | 26,188 | |
| | | | | |
| | 200 | | | Thai Oil PCL, 144A | | | 3.625% | | | | 1/23/23 | | | | Baa1 | | | | 182,467 | |
| | | | | |
| | 50 | | | Western Refining Inc., 144A | | | 6.250% | | | | 4/01/21 | | | | BB– | | | | 48,875 | |
| | 1,515 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 1,488,562 | |
| | | | Paper & Forest Products – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Domtar Corporation | | | 4.400% | | | | 4/01/22 | | | | BBB– | | | | 24,242 | |
| | | | | |
| | 30 | | | International Paper Company | | | 8.700% | | | | 6/15/38 | | | | BBB | | | | 40,716 | |
| | | | | |
| | 25 | | | Tembec Industries, Inc. | | | 11.250% | | | | 12/15/18 | | | | B3 | | | | 27,000 | |
| | 80 | | | Total Paper & Forest Products | | | | | | | | | | | | | | | 91,958 | |
| | | | Pharmaceuticals – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Valeant Pharmaceuticals International, 144A | | | 6.375% | | | | 10/15/20 | | | | B1 | | | | 24,719 | |
| | | | Real Estate Investment Trust – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | HCP Inc. | | | 3.750% | | | | 2/01/19 | | | | BBB+ | | | | 30,784 | |
| | | | | |
| | 15 | | | Prologis Inc. | | | 6.875% | | | | 3/15/20 | | | | BBB | | | | 17,405 | |
| | | | | |
| | 20 | | | Simon Property Group, L.P. | | | 5.650% | | | | 2/01/20 | | | | A | | | | 22,851 | |
| | | | | |
| | 30 | | | Vornado Realty L.P. | | | 4.250% | | | | 4/01/15 | | | | BBB | | | | 31,230 | |
| | 95 | | | Total Real Estate Investment Trust | | | | | | | | | | | | | | | 102,270 | |
| | | | Real Estate Management & Development – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Mattamy Group Corporation, 144A | | | 6.500% | | | | 11/15/20 | | | | BB | | | | 24,499 | |
| | | | Road & Rail – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | Hertz Corporation | | | 7.375% | | | | 1/15/21 | | | | B | | | | 32,474 | |
Portfolio of Investments
Nuveen Global Total Return Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Semiconductors & Equipment – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 25 | | | Freescale Semiconductor Inc., 144A | | | 5.000% | | | | 5/15/21 | | | | B1 | | | $ | 23,749 | |
| | | | Specialty Retail – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 50 | | | Rite Aid Corporation, 144A, (WI/DD) | | | 6.750% | | | | 6/15/21 | | | | CCC+ | | | | 49,125 | |
| | | | Textiles, Apparel & Luxury Goods – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | | | Jones Group | | | 6.875% | | | | 3/15/19 | | | | B+ | | | | 20,100 | |
| | | | Thrifts & Mortgage Finance – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 40 | | | WEA Finance LLC, 144A | | | 4.625% | | | | 5/10/21 | | | | A2 | | | | 42,198 | |
| | | | Tobacco – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | Reynolds American Inc. | | | 3.250% | | | | 11/01/22 | | | | Baa2 | | | | 27,888 | |
| | | | Trading Companies & Distributors – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 40 | | | International Lease Finance Corporation | | | 4.625% | | | | 4/15/21 | | | | BBB– | | | | 36,800 | |
| | | | | |
| | 25 | | | Russel Metals Inc., 144A | | | 6.000% | | | | 4/19/22 | | | | Ba1 | | | | 23,771 | |
| | 65 | | | Total Trading Companies & Distributors | | | | | | | | | | | | | | | 60,571 | |
| | | | Transportation Infrastructure – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 35 | | | Asciano Finance Limited, 144A | | | 5.000% | | | | 4/07/18 | | | | Baa2 | | | | 37,182 | |
| | | | Wireless Telecommunication Services – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | American Tower Company | | | 5.050% | | | | 9/01/20 | | | | BBB | | | | 26,272 | |
| | | | | |
| | 100 | | | VimpelCom Limited/VIP Finance Ireland, 144A | | | 9.125% | | | | 4/30/18 | | | | BB | | | | 113,750 | |
| | 125 | | | Total Wireless Telecommunication Services | | | | | | | | | | | | | | | 140,022 | |
| $ | 7,061 | | | Total Corporate Bonds (cost $7,209,410) | | | | | | | | | | | | | | | 7,180,141 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | CONVERTIBLE BONDS – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Health Care Equipment & Supplies – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 20 | | | Boston Properties Limited Partnership | | | 4.125% | | | | 5/15/21 | | | | A– | | | $ | 20,536 | |
| $ | 20 | | | Total Convertible Bonds (cost $20,363) | | | | | | | | | | | | | | | 20,536 | |
| | | | | |
Shares/
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | $1,000 PAR (OR SIMILAR) INSTITUTIONAL STRUCTURES – 3.2% | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 75 | | | Goldman Sachs Capital II, (3) | | | 4.000% | | | | N/A (4) | | | | BB+ | | | $ | 59,625 | |
| | | | Commercial Banks – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30 | | | Barclays Bank PLC, (3) | | | 4.750% | | | | N/A (4) | | | | BBB– | | | | 28,055 | |
| | | | | |
| | 35 | | | Fifth Third Bancorp., (3) | | | 5.100% | | | | N/A (4) | | | | BB+ | | | | 33,075 | |
| | | | | |
| | 30 | | | Rabobank Nederland, 144A, (3) | | | 11.000% | | | | N/A (4) | | | | A– | | | | 38,475 | |
| | | | Total Commercial Banks | | | | | | | | | | | | | | | 99,605 | |
| | | | Diversified Financial Services – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 75 | | | Bank of America Corporation | | | 7.250% | | | | N/A (4) | | | | BB+ | | | | 83,288 | |
| | | | | |
| | 50 | | | Citigroup Inc., (3) | | | 5.950% | | | | N/A (4) | | | | BB | | | | 49,755 | |
| | | | | |
| | 55 | | | JPMorgan Chase & Company, (3) | | | 5.150% | | | | N/A (4) | | | | BBB | | | | 52,388 | |
| | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 185,431 | |
| | | | Electric Utilities – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 100 | | | Electricite de France, 144A, (3) | | | 5.250% | | | | N/A (4) | | | | A3 | | | | 95,600 | |
| | | | | | | | | | | | | | | | | | | | |
Shares/
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Insurance – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Genworth Financial Inc., (3) | | | 6.150% | | | | 11/15/66 | | | | Ba1 | | | $ | 21,688 | |
| | | | | |
| | 50 | | | Prudential Financial Inc., (3) | | | 5.200% | | | | 3/15/44 | | | | BBB+ | | | | 47,250 | |
| | | | | |
| | 25 | | | XL Capital Ltd, (3) | | | 6.500% | | | | N/A (4) | | | | BBB– | | | | 24,375 | |
| | | | Total Insurance | | | | | | | | | | | | | | | 93,313 | |
| | | | IT Services – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 25 | | | Zayo Escrow Corporation, (3) | | | 8.125% | | | | 1/1/20 | | | | B1 | | | | 27,124 | |
| | | | Total $1,000 (Par or Similar) Institutional Structures (cost $573,559) | | | | | | | | | | | | 560,698 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 10.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 86 | | | Banc of America Alternative Loan Trust, Pass-Through Certificates, Series 2006-6 | | | 6.000% | | | | 7/25/46 | | | | Caa3 | | | $ | 69,945 | |
| | | | | |
| | 100 | | | Countrywide Asset Backed Certificates, Series 2007-4 A2 | | | 5.530% | | | | 3/25/29 | | | | Caa1 | | | | 93,173 | |
| | | | | |
| | 53 | | | Countrywide Home Loans Mortgage, Series 2005-27 | | | 5.500% | | | | 1/25/23 | | | | Caa1 | | | | 48,620 | |
| | | | | |
| | 145 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 4.500% | | | | TBA | | | | Aaa | | | | 153,428 | |
| | | | | |
| | 680 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 4.000% | | | | TBA | | | | Aaa | | | | 708,395 | |
| | | | | |
| | 535 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.500% | | | | TBA | | | | Aaa | | | | 543,108 | |
| | | | | |
| | 250 | | | Holmes Master Issuer PLC, Residential Mortgage Pool,
Series 2012-1A, 144A | | | 1.927% | | | | 10/15/54 | | | | AAA | | | | 254,340 | |
| $ | 1,849 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $1,892,795) | | | | | | | | 1,871,009 | |
| | | | | |
Principal
Amount (000) (5) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | SOVEREIGN DEBT – 39.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Argentina – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 100 | | | Republic of Argentina | | | 8.750% | | | | 6/02/17 | | | | B | | | $ | 75,750 | |
| | | | Bermuda – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 100 | | | Bermuda Government, 144A | | | 5.603% | | | | 7/20/20 | | | | AA– | | | | 108,500 | |
| | | | Canada – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 150 | CAD | | Province of Ontario, Canada Municipal Bond | | | 4.200% | | | | 3/08/18 | | | | Aa2 | | | | 154,710 | |
| | | | Indonesia – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 100 | | | Republic of Indonesia, 144A | | | 5.875% | | | | 3/13/20 | | | | Baa3 | | | | 108,250 | |
| | | | Ireland – 1.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 100 | EUR | | Irish Republic Treasury Bond | | | 5.500% | | | | 10/18/17 | | | | BBB+ | | | | 143,897 | |
| | | | | |
| | 125 | EUR | | Irish Republic Treasury Bond | | | 5.900% | | | | 10/18/19 | | | | BBB+ | | | | 183,184 | |
| | 225 | EUR | | Total Ireland | | | | | | | | | | | | | | | 327,081 | |
| | | | Italy – 2.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 150 | EUR | | Buoni Poliennali del Tesoro, Italian Treasury Bond | | | 4.750% | | | | 6/01/17 | | | | BBB+ | | | | 206,092 | |
| | | | | |
| | 115 | EUR | | Buoni Poliennali del Tesoro, Italian Treasury Bond | | | 5.500% | | | | 11/01/22 | | | | BBB+ | | | | 160,606 | |
| | 265 | EUR | | Total Italy | | | | | | | | | | | | | | | 366,698 | |
| | | | Mexico – 11.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 20 | MXN | | Mexico Bonos de DeSarrollo | | | 8.000% | | | | 12/17/15 | | | | A– | | | | 166,913 | |
| | | | | |
| | 50 | MXN | | Mexico Bonos de DeSarrollo | | | 6.250% | | | | 6/16/16 | | | | A– | | | | 404,598 | |
| | | | | |
| | 36 | MXN | | Mexico Bonos de DeSarrollo | | | 5.000% | | | | 6/15/17 | | | | A– | | | | 278,220 | |
| | | | | |
| | 54 | MXN | | Mexico Bonos de DeSarrollo | | | 8.000% | | | | 12/07/23 | | | | A– | | | | 479,703 | |
Portfolio of Investments
Nuveen Global Total Return Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) (5) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Mexico (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| | 38 | MXN | | Mexico Bonos de DeSarrollo | | | 7.750% | | | | 11/13/42 | | | | A– | | | $ | 317,930 | |
| | | | | |
| | 40 | MXN | | United Mexican States | | | 9.500% | | | | 12/18/14 | | | | A– | | | | 331,734 | |
| | 238 | MXN | | Total Mexico | | | | | | | | | | | | | | | 1,979,098 | |
| | | | Norway – 2.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,300 | NOK | | Norwegian Government Bond | | | 3.750% | | | | 5/25/21 | | | | AAA | | | | 416,710 | |
| | | | Poland – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 850 | PLN | | Poland Government Bond | | | 2.500% | | | | 7/25/18 | | | | A | | | | 241,183 | |
| | | | | |
| | 50 | | | Republic of Poland | | | 5.000% | | | | 3/23/22 | | | | A2 | | | | 53,750 | |
| | | | Total Poland | | | | | | | | | | | | | | | 294,933 | |
| | | | Portugal – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 175 | EUR | | Portugal Obrigacoes do Tesouro | | | 5.650% | | | | 2/15/24 | | | | BB | | | | 211,865 | |
| | | | Russian Federation – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Russian Federation, 144A | | | 4.500% | | | | 4/04/22 | | | | Baa1 | | | | 204,275 | |
| | | | South Africa – 2.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,800 | ZAR | | Republic of South Africa | | | 7.250% | | | | 1/15/20 | | | | A– | | | | 281,730 | |
| | | | | |
| | 1,500 | ZAR | | Republic of South Africa | | | 10.500% | | | | 12/21/26 | | | | A– | | | | 183,941 | |
| | 4,300 | ZAR | | Total South Africa | | | | | | | | | | | | | | | 465,671 | |
| | | | Sweden – 1.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | SEK | | Republic of Sweden | | | 3.500% | | | | 6/01/22 | | | | AAA | | | | 331,909 | |
| | | | Turkey – 6.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | TRY | | Republic of Turkey, Government Bond | | | 9.000% | | | | 3/08/17 | | | | BBB | | | | 535,333 | |
| | | | | |
| | 385 | TRY | | Republic of Turkey, Government Bond | | | 10.500% | | | | 1/15/20 | | | | BBB | | | | 221,973 | |
| | | | | |
| | 430 | TRY | | Republic of Turkey, Government Bond | | | 7.100% | | | | 3/08/23 | | | | BBB | | | | 205,112 | |
| | | | | |
| | 200 | TRY | | Republic of Turkey, Government Bond | | | 4.875% | | | | 4/16/43 | | | | BBB– | | | | 172,000 | |
| | 2,015 | TRY | | Total Turkey | | | | | | | | | | | | | | | 1,134,418 | |
| | | | Ukraine – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 100 | | | Republic of Ukraine, 144A | | | 7.750% | | | | 9/23/20 | | | | B | | | | 91,251 | |
| | | | United Kingdom – 4.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | GBP | | United Kingdom Gilt | | | 1.250% | | | | 7/22/18 | | | | AA+ | | | | 301,317 | |
| | | | | |
| | 250 | GBP | | United Kingdom, Treasury Bill | | | 3.750% | | | | 9/07/19 | | | | AAA | | | | 426,783 | |
| | 450 | GBP | | Total United Kingdom | | | | | | | | | | | | | | | 728,100 | |
| | | | Total Sovereign Debt (cost $7,377,612) | | | | | | | | | | | | | | | 6,999,219 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | | | | Value | |
| | | | SHORT-TERM INVESTMENTS – 15.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Repurchase Agreements – 15.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,660 | | | Repurchase Agreement with State Street Bank, dated 6/28/13, repurchase price $2,660,293, collateralized by $2,760,000 U.S. Treasury Notes, 0.625%, due 5/31/17, value $2,716,039 | | | 0.010% | | | | 7/01/13 | | | | | | | $ | 2,660,291 | |
| | | | Total Short-Term Investments (cost $2,660,291) | | | | | | | | | | | | | | | 2,660,291 | |
| | | | Total Investments (cost $20,013,711) – 111.1% | | | | | | | | | | | | | | | 19,589,210 | |
| | | | Other Assets Less Liabilities – (11.1)% (6) | | | | | | | | | | | | | | | (1,952,313) | |
| | | | Net Assets – 100% | | | | | | | | | | | | | | $ | 17,636,897 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Investments in Derivatives as of June 30, 2013 | |
|
| Forward Foreign Currency Exchange Contracts outstanding: | |
| | | | | | |
| Counterparty | | Currency Contracts to Deliver | | Amount
(Local Currency) | | | In Exchange
For Currency | | | Amount
(Local Currency) | | | Settlement
Date | | | Unrealized
Appreciation
Depreciation)
(U.S. Dollars) (6) | |
Bank of America | | Brazilian Real | | | 1,994,000 | | | | U.S. Dollar | | | | 900,592 | | | | 7/02/13 | | | $ | 7,831 | |
Bank of America | | U.S. Dollar | | | 899,982 | | | | Brazilian Real | | | | 1,994,000 | | | | 7/02/13 | | | | (7,221 | ) |
Bank of America | | U.S. Dollar | | | 895,254 | | | | Brazilian Real | | | | 1,994,000 | | | | 8/02/13 | | | | (8,684 | ) |
Barclays Bank PLC | | Euro | | | 680,000 | | | | U.S. Dollar | | | | 880,144 | | | | 7/15/13 | | | | (5,033 | ) |
Barclays Bank PLC | | Euro | | | 900,000 | | | | U.S. Dollar | | | | 1,191,807 | | | | 7/15/13 | | | | 20,248 | |
Barclays Bank PLC | | Polish Zloty | | | 1,700,000 | | | | U.S. Dollar | | | | 531,200 | | | | 7/12/13 | | | | 20,031 | |
Barclays Bank PLC | | Polish Zloty | | | 825,000 | | | | U.S. Dollar | | | | 246,533 | | | | 8/30/13 | | | | (751 | ) |
Barclays Bank PLC | | Swiss Franc | | | 850,000 | | | | U.S. Dollar | | | | 890,547 | | | | 7/15/13 | | | | (9,466 | ) |
Barclays Bank PLC | | U.S. Dollar | | | 539,391 | | | | Polish Zloty | | | | 1,700,000 | | | | 7/12/13 | | | | (28,222 | ) |
Barclays Bank PLC | | U.S. Dollar | | | 1,428,715 | | | | Euro | | | | 1,098,623 | | | | 7/15/13 | | | | 1,397 | |
Barclays Bank PLC | | U.S. Dollar | | | 884,532 | | | | Swiss Franc | | | | 850,000 | | | | 7/15/13 | | | | 15,481 | |
Barclays Bank PLC | | U.S. Dollar | | | 807,060 | | | | New Zealand Dollar | | | | 1,000,000 | | | | 7/17/13 | | | | (33,199 | ) |
BNP Paribas | | Australian Dollar | | | 200,000 | | | | U.S. Dollar | | | | 191,133 | | | | 7/15/13 | | | | 8,458 | |
BNP Paribas | | Australian Dollar | | | 740,000 | | | | U.S. Dollar | | | | 700,921 | | | | 7/15/13 | | | | 25,024 | |
BNP Paribas | | Euro | | | 700,000 | | | | U.S. Dollar | | | | 929,775 | | | | 8/09/13 | | | | 18,456 | |
BNP Paribas | | Euro | | | 900,000 | | | | U.S. Dollar | | | | 1,197,405 | | | | 8/09/13 | | | | 25,708 | |
BNP Paribas | | U.S. Dollar | | | 111,245 | | | | Australian Dollar | | | | 118,000 | | | | 7/15/13 | | | | (3,467 | ) |
BNP Paribas | | U.S. Dollar | | | 302,904 | | | | Australian Dollar | | | | 322,000 | | | | 7/15/13 | | | | (8,798 | ) |
BNP Paribas | | U.S. Dollar | | | 497,769 | | | | Australian Dollar | | | | 500,000 | | | | 7/15/13 | | | | (41,082 | ) |
BNP Paribas | | U.S. Dollar | | | 1,696,739 | | | | Euro | | | | 1,300,000 | | | | 8/09/13 | | | | (4,289 | ) |
Citigroup | | Brazilian Real | | | 194,000 | | | | U.S. Dollar | | | | 87,561 | | | | 7/02/13 | | | | 702 | |
Citigroup | | Brazilian Real | | | 1,800,000 | | | | U.S. Dollar | | | | 812,421 | | | | 7/02/13 | | | | 6,519 | |
Citigroup | | British Pound Sterling | | | 60,000 | | | | U.S. Dollar | | | | 93,842 | | | | 8/19/13 | | | | 2,618 | |
Citigroup | | British Pound Sterling | | | 500,000 | | | | U.S. Dollar | | | | 781,875 | | | | 8/19/13 | | | | 21,672 | |
Citigroup | | Swedish Krona | | | 2,300,000 | | | | U.S. Dollar | | | | 348,620 | | | | 7/17/13 | | | | 5,806 | |
Citigroup | | U.S. Dollar | | | 89,274 | | | | Brazilian Real | | | | 194,000 | | | | 7/02/13 | | | | (2,415 | ) |
Citigroup | | U.S. Dollar | | | 873,999 | | | | Brazilian Real | | | | 1,800,000 | | | | 7/02/13 | | | | (68,096 | ) |
Citigroup | | U.S. Dollar | | | 864,606 | | | | British Pound Sterling | | | | 560,000 | | | | 8/19/13 | | | | (13,179 | ) |
Credit Suisse | | U.S. Dollar | | | 475,867 | | | | Indian Rupee | | | | 28,000,000 | | | | 7/17/13 | | | | (6,338 | ) |
Credit Suisse | | U.S. Dollar | | | 147,178 | | | | Indian Rupee | | | | 8,700,000 | | | | 7/17/13 | | | | (1,289 | ) |
Credit Suisse | | U.S. Dollar | | | 475,826 | | | | Norwegian Krone | | | | 2,800,000 | | | | 8/05/13 | | | | (15,498 | ) |
JPMorgan | | Indian Rupee | | | 45,000,000 | | | | U.S. Dollar | | | | 746,888 | | | | 7/10/13 | | | | (8,686 | ) |
JPMorgan | | Japanese Yen | | | 76,000,000 | | | | U.S. Dollar | | | | 807,258 | | | | 7/16/13 | | | | 40,925 | |
JPMorgan | | Japanese Yen | | | 79,000,000 | | | | U.S. Dollar | | | | 833,900 | | | | 7/16/13 | | | | 37,317 | |
JPMorgan | | Mexican Peso | | | 2,250,000 | | | | U.S. Dollar | | | | 174,761 | | | | 7/08/13 | | | | 1,273 | |
JPMorgan | | Mexican Peso | | | 4,280,000 | | | | U.S. Dollar | | | | 351,843 | | | | 7/08/13 | | | | 21,831 | |
JPMorgan | | Mexican Peso | | | 230,000 | | | | U.S. Dollar | | | | 17,579 | | | | 9/09/13 | | | | (54 | ) |
JPMorgan | | Polish Zloty | | | 1,900,000 | | | | U.S. Dollar | | | | 592,025 | | | | 7/12/13 | | | | 20,718 | |
JPMorgan | | South African Rand | | | 1,400,000 | | | | U.S. Dollar | | | | 139,660 | | | | 7/10/13 | | | | (1,718 | ) |
JPMorgan | | South African Rand | | | 500,000 | | | | U.S. Dollar | | | | 49,699 | | | | 9/10/13 | | | | (330 | ) |
JPMorgan | | U.S. Dollar | | | 17,677 | | | | Mexican Peso | | | | 230,000 | | | | 7/08/13 | | | | 57 | |
JPMorgan | | U.S. Dollar | | | 61,972 | | | | Mexican Peso | | | | 800,000 | | | | 7/08/13 | | | | (287 | ) |
JPMorgan | | U.S. Dollar | | | 188,989 | | | | Mexican Peso | | | | 2,500,000 | | | | 7/08/13 | | | | 3,775 | |
JPMorgan | | U.S. Dollar | | | 234,169 | | | | Mexican Peso | | | | 3,000,000 | | | | 7/08/13 | | | | (2,851 | ) |
JPMorgan | | U.S. Dollar | | | 790,653 | | | | Indian Rupee | | | | 45,000,000 | | | | 7/10/13 | | | | (35,079 | ) |
JPMorgan | | U.S. Dollar | | | 50,134 | | | | South African Rand | | | | 500,000 | | | | 7/10/13 | | | | 358 | |
JPMorgan | | U.S. Dollar | | | 90,842 | | | | South African Rand | | | | 900,000 | | | | 7/10/13 | | | | 43 | |
JPMorgan | | U.S. Dollar | | | 602,543 | | | | Polish Zloty | | | | 1,900,000 | | | | 7/12/13 | | | | (31,237 | ) |
JPMorgan | | U.S. Dollar | | | 1,616,304 | | | | Japanese Yen | | | | 155,000,000 | | | | 7/16/13 | | | | (53,389 | ) |
JPMorgan | | U.S. Dollar | | | 741,717 | | | | Indian Rupee | | | | 45,000,000 | | | | 8/14/13 | | | | 9,061 | |
JPMorgan | | U.S. Dollar | | | 99,936 | | | | Turkish Lira | | | | 190,000 | | | | 8/16/13 | | | | (2,204 | ) |
JPMorgan | | U.S. Dollar | | | 232,570 | | | | Turkish Lira | | | | 440,000 | | | | 8/16/13 | | | | (6,242 | ) |
JPMorgan | | U.S. Dollar | | | 891,101 | | | | New Zealand Dollar | | | | 1,155,000 | | | | 8/30/13 | | | | (198 | ) |
Morgan Stanley | | British Pound Sterling | | | 200,000 | | | | U.S. Dollar | | | | 304,426 | | | | 8/05/13 | | | | 316 | |
Morgan Stanley | | British Pound Sterling | | | 884,000 | | | | U.S. Dollar | | | | 1,338,898 | | | | 8/05/13 | | | | (5,270 | ) |
Morgan Stanley | | U.S. Dollar | | | 902,517 | | | | British Pound Sterling | | | | 590,000 | | | | 8/05/13 | | | | (5,392 | ) |
Portfolio of Investments
Nuveen Global Total Return Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | | | |
| Investments in Derivatives as of June 30, 2013 (continued) | |
|
| Forward Foreign Currency Exchange Contracts outstanding (continued): | |
| Counterparty | | Currency Contracts to Deliver | | Amount
(Local Currency) | | | In Exchange
For Currency | | | Amount
(Local Currency) | | | Settlement
Date | | | Unrealized
Appreciation
Depreciation)
(U.S. Dollars) (6) | |
Morgan Stanley | | U.S. Dollar | | | 130,614 | | | | Canadian Dollar | | | | 137,223 | | | | 8/30/13 | | | $ | (341 | ) |
Morgan Stanley | | U.S. Dollar | | | 152,444 | | | | Canadian Dollar | | | | 160,000 | | | | 8/30/13 | | | | (547 | ) |
Nomura Securities | | Indian Rupee | | | 18,500,000 | | | | U.S. Dollar | | | | 307,309 | | | | 7/05/13 | | | | (3,602 | ) |
Nomura Securities | | Japanese Yen | | | 6,800,000 | | | | U.S. Dollar | | | | 71,414 | | | | 7/17/13 | | | | 2,847 | |
Nomura Securities | | Japanese Yen | | | 78,500,000 | | | | U.S. Dollar | | | | 824,400 | | | | 7/17/13 | | | | 32,856 | |
Nomura Securities | | Singapore Dollar | | | 1,100,000 | | | | U.S. Dollar | | | | 887,836 | | | | 7/15/13 | | | | 19,950 | |
Nomura Securities | | U.S. Dollar | | | 323,880 | | | | Indian Rupee | | | | 18,500,000 | | | | 7/05/13 | | | | (12,968 | ) |
Nomura Securities | | U.S. Dollar | | | 879,328 | | | | Singapore Dollar | | | | 1,100,000 | | | | 7/15/13 | | | | (11,443 | ) |
Nomura Securities | | U.S. Dollar | | | 876,713 | | | | Japanese Yen | | | | 85,300,000 | | | | 7/17/13 | | | | (16,602 | ) |
Nomura Securities | | U.S. Dollar | | | 305,381 | | | | Indian Rupee | | | | 18,500,000 | | | | 8/05/13 | | | | 3,771 | |
| | | | | | | | | | | | | | | | | | | | | $ | (80,418 | ) |
Credit Default Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Reference Entity | | Buy/Sell
Protection (7) | | | Current Credit
Spread (8) | | | Notional
Amount | | | Fixed Rate
(Annualized) | | | Termination
Date | | | Value | | | Unrealized
Appreciation
(Depreciation) | |
Citigroup | | Markit CDX NA HY20 Index | | | Sell | | | | 4.32 | % | | $ | 200,000 | | | | 5.000 | % | | | 6/20/18 | | | $ | 6,359 | | | $ | (2,162 | ) |
JPMorgan | | Markit CDX NA HY20 Index | | | Sell | | | | 4.32 | | | | 400,000 | | | | 5.000 | | | | 6/20/18 | | | | 12,719 | | | | 66 | |
| | | | | | | | | | | | | $ | 600,000 | | | | | | | | | | | | | | | $ | (2,096 | ) |
Interest Rate Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Notional
Amount | | | Fund
Pay/Receive
Floating Rate | | | Floating Rate Index | | | Fixed Rate
(Annualized) | | | Fixed Rate
Payment
Frequency | | | Termination
Date | | | Unrealized
Appreciation
(Depreciation) (6) | |
JPMorgan | | $ | 200,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 2.708 | % | | | Semi-Annually | | | | 2/19/23 | | | $ | 8,412 | |
Morgan Stanley | | | 1,000,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 2.095 | | | | Semi-Annually | | | | 3/19/23 | | | | 43,131 | |
| | | $ | 1,200,000 | | | | | | | | | | | | | | | | | | | | | | | $ | 51,543 | |
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value* | | | Unrealized
Appreciation
(Depreciation) | |
Euro-Bund | | | Long | | | | 6 | | | | 9/13 | | | $ | 1,105,251 | | | $ | (11,558 | ) |
Long Gilt | | | Long | | | | 3 | | | | 9/13 | | | | 510,586 | | | | (1,420 | ) |
U.S. Treasury 5-Year Note | | | Long | | | | 5 | | | | 9/13 | | | | 605,234 | | | | (5,635 | ) |
U.S. Treasury 10-Year Note | | | Long | | | | 3 | | | | 9/13 | | | | 379,687 | | | | 415 | |
U.S. Treasury Long Bond | | | Short | | | | (11 | ) | | | 9/13 | | | | (1,494,281 | ) | | | 50,625 | |
U.S. Treasury Ultra Bond | | | Short | | | | (4 | ) | | | 9/13 | | | | (589,250 | ) | | | 21,635 | |
| | | | | | | | | | | | | | | $ | 517,227 | | | $ | 54,062 | |
| * | Total Notional Amount at Value of Long and Short positions were $2,600,758 and $(2,083,531), respectively. |
Call Options Purchased outstanding:
| | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Put
Notional
Amount | | | Call
Notional
Amount (9) | | | Expiration
Date | | | Strike
Price | | | Value (6) | | | |
| | | | | | |
Credit Suisse | | | 1,000,000 USD | | | | 1,025,000,000 KRW | | | | 7/11/13 | | | $ | 1,025 KRW | | | $ | — | | | |
Total Call Options Purchased (premiums paid $4,270) | | | | | | | | | | | | | | | | | | $ | — | | | |
| | | | |
| | | | 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. |
| | (2) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (3) | | | For fair value measurement disclosure purposes, $1,000 Par (or similar) Institutional Structures as Level 2. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information. |
| | (4) | | | Perpetual security. Maturity date is not applicable. |
| | (5) | | | Principal Amount (000) denominated in U.S. Dollars, unless otherwise noted. |
| | (6) | | | Other Assets Less Liabilities includes the Value or Unrealized Appreciation (Depreciation) of certain derivative instruments as listed within Investments in Derivatives as of the end of the reporting period. |
| | (7) | | | The Fund entered into the credit default swaps to gain investment exposure to the referenced entity. Selling protection has a similar credit risk position to owning the referenced entity. Buying protection has a similar credit risk position to selling the referenced entity short. |
| | (8) | | | The credit spread generally serves as an indication of the current status of the payment/performance risk and therefore the likelihood of default of the credit derivative. The credit spread also reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into a credit default swap contract. Higher credit spreads are indicative of higher likelihood of performance by the seller of protection. |
| | (9) | | | For disclosure purposes, Call Notional Amount is calculated by multiplying the Put Notional Amount by the Strike Price. |
| | N/A | | | Not applicable. |
| | N/R | | | Not rated. |
| | TBA | | | To be announced. Maturity date not known prior to settlement of this transaction. |
| | WI/DD | | | Investment, or portion of investment, 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. |
| | CAD | | | Canadian Dollar |
| | EUR | | | Euro |
| | GBP | | | British Pounds |
| | KRW | | | South Korean Won |
| | MXN | | | Mexican Peso |
| | NOK | | | Norwegian Krone |
| | PLN | | | Polish Zloty |
| | SEK | | | Swedish Krona |
| | TRY | | | Turkey Lira |
| | USD | | | United States Dollar |
| | ZAR | | | South African Rand |
| | USD-LIBOR-BBA | | | United States Dollar–London Inter-Bank Offered Rate British Bankers’ Association. |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen High Income Bond Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | COMMON STOCKS – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Airlines – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 56,200 | | | Delta Air Lines, Inc., (2) | | | | | | | | | | | | | | $ | 1,051,502 | |
| | | | Building Products – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 526 | | | Dayton Superior, Class A, (2), (3) | | | | | | | | | | | | | | | 30,195 | |
| | | | | |
| | 585 | | | Dayton Superior, Class 1, (2), (3) | | | | | | | | | | | | | | | 33,550 | |
| | | | Total Building Products | | | | | | | | | | | | | | | 63,745 | |
| | | | Capital Markets – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 64,000 | | | Och-Ziff Capital Management Group, Class A Shares, (4) | | | | | | | | | | | | | | | 668,160 | |
| | | | Diversified Financial Services – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 39,309 | | | China Private Equity Investment Holdings Ltd., (3) | | | | | | | | | | | | | | | 393 | |
| | | | Chemicals – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 13,000 | | | LyondellBasell Industries NV | | | | | | | | | | | | | | | 861,380 | |
| | | | Containers & Packaging – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 11,200 | | | Packaging Corp. of America | | | | | | | | | | | | | | | 548,352 | |
| | | | Metals & Mining – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 21,200 | | | Freeport-McMoRan Copper & Gold, Inc. | | | | | | | | | | | | | | | 585,332 | |
| | | | Oil, Gas & Consumable Fuels – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 13,500 | | | Pembina Pipeline Corporation | | | | | | | | | | | | | | | 413,370 | |
| | | | | |
| | 82,000 | | | Pengrowth Energy Corporation | | | | | | | | | | | | | | | 404,260 | |
| | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 817,630 | |
| | | | Real Estate Investment Trust – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 38,200 | | | Colony Financial Inc. | | | | | | | | | | | | | | | 759,798 | |
| | | | | |
| | 54,000 | | | Kite Realty Group Trust | | | | | | | | | | | | | | | 1,390,500 | |
| | | | | |
| | 20,400 | | | Mid-America Apartment Communities, (4) | | | | | | | | | | | | | | | 1,382,508 | |
| | | | | |
| | 40,000 | | | Summit Hotel Properties Inc. | | | | | | | | | | | | | | | 1,060,000 | |
| | | | Total Real Estate Investment Trust | | | | | | | | | | | | | | | 4,592,806 | |
| | | | Total Common Stocks (cost $8,807,090) | | | | | | | | | | | | | | | 9,189,300 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | Ratings (5) | | | Value | |
| | | | CONVERTIBLE PREFERRED SECURITIES – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Electric Utilities – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 30,000 | | | NextEra Energy Inc. | | | 5.889% | | | | | | | | BBB | | | $ | 1,666,200 | |
| | | | Total Convertible Preferred Securities (cost $1,455,000) | | | | | | | | | | | | | | | 1,666,200 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity (6) | | | Ratings (5) | | | Value | |
| | | | VARIABLE RATE SENIOR LOAN INTERESTS – 0.3% (7) | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Hotels, Restaurants & Leisure – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Caesars Entertainment Corporation, Term Loan B5, (WI/DD) | | | TBD | | | | TBD | | | | B– | | | $ | 1,727,600 | |
| $ | 2,000 | | | Total Variable Rate Senior Loan Interests (cost $1,735,000) | �� | | | | | | | | | | | | | | 1,727,600 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | Ratings (5) | | | Value | |
| | | | $25 PAR (OR SIMILAR) RETAIL STRUCTURES – 6.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 122,330 | | | Morgan Stanley, Series 2006A | | | 4.000% | | | | | | | | BB+ | | | $ | 2,623,979 | |
| | | | | |
| | 60,000 | | | Saratoga Investment Corporation, (8) | | | 7.500% | | | | | | | | N/R | | | | 1,488,600 | |
| | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | Coupon | | | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | |
| | | | Capital Markets (continued) | | | | | | | | | | | | | | |
| | | | | |
| | 169,434 | | | UBS Preferred Funding Trust IV | | | 0.893% | | | | | | BBB– | | | $ | 2,826,159 | |
| | | | Total Capital Markets | | | | | | | | | | | | | 6,938,738 | |
| | | | Commercial Banks – 0.3% | | | | | | | | | | | | | | |
| | | | | |
| | 65,000 | | | Regions Financial Corporation, (4) | | | 6.375% | | | | | | BB | | | | 1,592,500 | |
| | | | | |
| | 35,000 | | | Royal Bank of Scotland Group PLC | | | 6.750% | | | | | | BB | | | | 780,850 | |
| | | | Total Commercial Banks | | | | | | | | | | | | | 2,373,350 | |
| | | | Consumer Finance – 0.4% | | | | | | | | | | | | | | |
| | | | | |
| | 50,000 | | | Ally Financial Inc. | | | 8.500% | | | | | | CCC+ | | | | 1,293,000 | |
| | | | | |
| | 50,000 | | | Discover Financial Services | | | 6.500% | | | | | | BB | | | | 1,255,000 | |
| | | | Total Consumer Finance | | | | | | | | | | | | | 2,548,000 | |
| | | | Diversified Financial Services – 0.6% | | | | | | | | | | | | | | |
| | | | | |
| | 82,830 | | | Bank of America Corporation, (4) | | | 4.000% | | | | | | BB+ | | | | 1,852,907 | |
| | | | | |
| | 111,079 | | | RBS Capital Trust | | | 6.080% | | | | | | BB+ | | | | 2,363,761 | |
| | | | Total Diversified Financial Services | | | | | | | | | | | | | 4,216,668 | |
| | | | Household Durables – 0.1% | | | | | | | | | | | | | | |
| | | | | |
| | 55,624 | | | Hovnanian Enterprises Incorporated, (2), (4) | | | 7.625% | | | | | | Ca | | | | 1,006,238 | |
| | | | Insurance – 0.5% | | | | | | | | | | | | | | |
| | | | | |
| | 80,000 | | | Aspen Insurance Holdings Limited | | | 5.950% | | | | | | BBB– | | | | 2,040,000 | |
| | | | | |
| | 51,131 | | | Endurance Specialty Holdings Limited | | | 7.500% | | | | | | BBB– | | | | 1,373,379 | |
| | | | Total Insurance | | | | | | | | | | | | | 3,413,379 | |
| | | | Marine – 0.1% | | | | | | | | | | | | | | |
| | | | | |
| | 29,338 | | | Seaspan Corporation | | | 9.500% | | | | | | N/R | | | | 790,366 | |
| | | | Metals & Mining – 0.2% | | | | | | | | | | | | | | |
| | | | | |
| | 70,300 | | | ArcelorMittal | | | 6.000% | | | | | | BB– | | | | 1,319,531 | |
| | | | Oil, Gas & Consumable Fuels – 0.5% | | | | | | | | | | | | | | |
| | | | | |
| | 100,000 | | | Nustar Logistics Limited Partnership | | | 7.625% | | | | | | Ba2 | | | | 2,620,000 | |
| | | | | |
| | 50,000 | | | Teekay Offshore Partners LP | | | 7.250% | | | | | | N/R | | | | 1,265,000 | |
| | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | 3,885,000 | |
| | | | Real Estate Investment Trust – 2.5% | | | | | | | | | | | | | | |
| | | | | |
| | 51,900 | | | Ashford Hospitality Trust Inc. | | | 8.450% | | | | | | N/R | | | | 1,312,032 | |
| | | | | |
| | 40,000 | | | CommonWealth REIT, (4) | | | 7.250% | | | | | | Ba1 | | | | 1,004,000 | |
| | | | | |
| | 75,000 | | | Coresite Realty Corporation | | | 7.250% | | | | | | N/R | | | | 1,908,750 | |
| | | | | |
| | 50,000 | | | Corporate Office Properties Trust | | | 7.375% | | | | | | BB | | | | 1,282,500 | |
| | | | | |
| | 65,000 | | | Dupont Fabros Technology | | | 7.875% | | | | | | Ba2 | | | | 1,667,250 | |
| | | | | |
| | 22,024 | | | First Potomac Realty Trust | | | 7.750% | | | | | | N/R | | | | 580,993 | |
| | | | | |
| | 70,000 | | | General Growth Properties | | | 6.375% | | | | | | B | | | | 1,622,600 | |
| | | | | |
| | 41,677 | | | Hersha Hospitality Trust, (8) | | | 8.000% | | | | | | N/R | | | | 1,065,264 | |
| | | | | |
| | 70,000 | | | LaSalle Hotel Properties | | | 7.500% | | | | | | N/R | | | | 1,820,000 | |
| | | | | |
| | 50,000 | | | Pebblebrook Hotel Trust | | | 7.875% | | | | | | N/R | | | | 1,292,000 | |
| | | | | |
| | 40,500 | | | Pebblebrook Hotel Trust | | | 6.500% | | | | | | N/R | | | | 978,075 | |
| | | | | |
| | 40,000 | | | Retail Properties of America | | | 7.000% | | | | | | N/R | | | | 997,200 | |
| | | | | |
| | 75,000 | | | Summit Hotel Properties Inc. | | | 7.125% | | | | | | N/R | | | | 1,818,750 | |
| | | | Total Real Estate Investment Trust | | | | | | | | | | | | | 17,349,414 | |
| | | | Specialty Retail – 0.3% | | | | | | | | | | | | | | |
| | | | | |
| | 88,000 | | | TravelCenters of America LLC | | | 8.250% | | | | | | N/R | | | | 2,305,599 | |
| | | | Total $25 Par (or similar) Retail Structures (cost $44,236,009) | | | | | | | | | | | | | 46,146,283 | |
Portfolio of Investments
Nuveen High Income Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | CORPORATE BONDS – 80.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Aerospace & Defense – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,500 | | | DynCorp International Inc., (4) | | | 10.375% | | | | 7/01/17 | | | | B2 | | | $ | 1,507,500 | |
| | | | | |
| | 2,050 | | | Erickson Air-Crane Inc., 144A, (4) | | | 8.250% | | | | 5/01/20 | | | | B1 | | | | 1,993,625 | |
| | 3,550 | | | Total Aerospace & Defense | | | | | | | | | | | | | | | 3,501,125 | |
| | | | Airlines – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,810 | | | Delta Air Lines Pass-Through Certificates, Series 2012-1B, (4) | | | 6.875% | | | | 5/07/19 | | | | BB+ | | | | 4,019,416 | |
| | | | | |
| | 1,750 | | | United Continental Holdings Inc., (4) | | | 6.375% | | | | 6/01/18 | | | | B | | | | 1,719,375 | |
| | 5,560 | | | Total Airlines | | | | | | | | | | | | | | | 5,738,791 | |
| | | | Auto Components – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,350 | | | Ahern Rentals Inc., 144A, (4) | | | 9.500% | | | | 6/15/18 | | | | B | | | | 2,344,125 | |
| | | | | |
| | 800 | | | American & Axle Manufacturing Inc., (4) | | | 6.250% | | | | 3/15/21 | | | | B | | | | 813,000 | |
| | | | | |
| | 2,500 | | | Cooper Standard Holding Inc. | | | 7.375% | | | | 4/01/18 | | | | B | | | | 2,481,250 | |
| | | | | |
| | 3,100 | | | Gestamp Fund Lux SA, 144A | | | 5.625% | | | | 5/31/20 | | | | BB | | | | 2,945,000 | |
| | 8,750 | | | Total Auto Components | | | | | | | | | | | | | | | 8,583,375 | |
| | | | Automobiles – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | DriveTime Automotive Group Inc, DT Acceptance Corporation, 144A | | | 12.625% | | | | 6/15/17 | | | | B3 | | | | 3,210,000 | |
| | | | | |
| | 900 | | | Fiat Finance & Trade SA | | | 7.000% | | | | 3/23/17 | | | | BB– | | | | 1,238,862 | |
| | | | | |
| | 2,750 | | | Jaguar Land Rover PLC, 144A | | | 8.125% | | | | 5/15/21 | | | | BB– | | | | 3,025,000 | |
| | 6,650 | | | Total Automobiles | | | | | | | | | | | | | | | 7,473,862 | |
| | | | Building Products – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,150 | | | Associated Asphalt Partners Limited Liability Corporation, 144A | | | 8.500% | | | | 2/15/18 | | | | B | | | | 2,160,750 | |
| | | | | |
| | 3,000 | | | Builders FirstSource Inc., 144A | | | 7.625% | | | | 6/01/21 | | | | B– | | | | 2,902,500 | |
| | | | | |
| | 957 | | | Corporativo Javer S.A. de C.V, 144A, (4) | | | 9.875% | | | | 4/06/21 | | | | B+ | | | | 870,870 | |
| | 6,107 | | | Total Building Products | | | | | | | | | | | | | | | 5,934,120 | |
| | | | Capital Markets – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,250 | | | Ace Cash Express Inc., 144A | | | 11.000% | | | | 2/01/19 | | | | B | | | | 2,160,000 | |
| | | | | |
| | 3,000 | | | E Trade Financial Corporation | | | 6.375% | | | | 11/15/19 | | | | B2 | | | | 3,045,000 | |
| | 5,250 | | | Total Capital Markets | | | | | | | | | | | | | | | 5,205,000 | |
| | | | Chemicals – 2.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,250 | | | Cornerstone Chemical Company, 144A | | | 9.375% | | | | 3/15/18 | | | | B– | | | | 2,362,500 | |
| | | | | |
| | 3,250 | | | Hexion US Finance Corporation, (4) | | | 8.875% | | | | 2/01/18 | | | | B3 | | | | 3,315,000 | |
| | | | | |
| | 2,750 | | | Ineos Group Holdings PLC, 144A, (4) | | | 6.125% | | | | 8/15/18 | | | | B– | | | | 2,626,250 | |
| | | | | |
| | 2,775 | | | Momentive Performance Materials Inc. | | | 8.875% | | | | 10/15/20 | | | | B1 | | | | 2,899,875 | |
| | | | | |
| | 3,300 | | | Nufarm Australia Limited, 144A | | | 6.375% | | | | 10/15/19 | | | | BB– | | | | 3,291,750 | |
| | | | | |
| | 2,445 | | | Omonva Solutions Inc. | | | 7.875% | | | | 11/01/18 | | | | B2 | | | | 2,542,800 | |
| | | | | |
| | 1,190 | | | Petrologisitics LP Finance, 144A | | | 6.250% | | | | 4/01/20 | | | | B | | | | 1,166,200 | |
| | 17,960 | | | Total Chemicals | | | | | | | | | | | | | | | 18,204,375 | |
| | | | Commercial Banks – 1.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,050 | | | Gazprombank Eurobond Finance PLC | | | 7.875% | | | | 4/29/49 | | | | N/R | | | | 1,050,000 | |
| | | | | |
| | 2,000 | | | Promsvyazbank Finance, 144A | | | 6.200% | | | | 4/25/14 | | | | Ba2 | | | | 2,025,330 | |
| | | | | |
| | 2,000 | | | Russian Standard Bank ZAO Finance SA | | | 10.750% | | | | 4/10/18 | | | | B1 | | | | 2,100,000 | |
| | | | | |
| | 1,500 | | | Speedy Cash Inc, 144A, (4) | | | 10.750% | | | | 5/15/18 | | | | B | | | | 1,567,500 | |
| | | | | |
| | 2,000 | | | UT2 Funding PLC | | | 5.321% | | | | 6/30/16 | | | | B+ | | | | 3,149,975 | |
| | | | | |
| | 1,000 | | | VTB Bank Capital SA, 144A | | | 6.000% | | | | 4/12/17 | | | | BBB+ | | | | 1,040,000 | |
| | | | | |
| | 1,400 | | | VTB Capital SA, 144A | | | 6.875% | | | | 5/29/18 | | | | Baa1 | | | | 1,484,000 | |
| | 10,950 | | | Total Commercial Banks | | | | | | | | | | | | | | | 12,416,805 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Commercial Services & Supplies – 2.7% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,750 | | | 313 Group Incorporated, 144A | | | 6.375% | | | | 12/01/19 | | | | B1 | | | $ | 1,662,500 | |
| | | | | |
| | 2,125 | | | Casella Waste Systems Inc. | | | 7.750% | | | | 2/15/19 | | | | Caa1 | | | | 2,018,750 | |
| | | | | |
| | 2,000 | | | CCS Incorporated, 144A, (4) | | | 11.000% | | | | 11/15/15 | | | | CCC | | | | 2,010,000 | |
| | | | | |
| | 3,140 | | | Europcar Groupe SA, 144A | | | 11.500% | | | | 5/15/17 | | | | B– | | | | 4,536,745 | |
| | | | | |
| | 2,000 | | | GDR Holding II Corporation, 144A | | | 10.750% | | | | 6/01/19 | | | | B | | | | 2,140,000 | |
| | | | | |
| | 2,800 | | | R.R. Donnelley & Sons Company, (4) | | | 8.250% | | | | 3/15/19 | | | | BB | | | | 2,940,000 | |
| | | | | |
| | 1,450 | | | RSC Equipment Rental | | | 8.250% | | | | 2/01/21 | | | | B+ | | | | 1,587,750 | |
| | | | | |
| | 2,000 | | | Square Two Financial Corporation, (4) | | | 11.625% | | | | 4/01/17 | | | | B | | | | 2,050,000 | |
| | 17,265 | | | Total Commercial Services & Supplies | | | | | | | | | | | | | | | 18,945,745 | |
| | | | Communications Equipment – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Avaya Inc., 144A, (4) | | | 9.000% | | | | 4/01/19 | | | | B1 | | | | 1,920,000 | |
| | | | | |
| | 2,000 | | | Broadview Networks Holdings Inc. | | | 10.500% | | | | 11/15/17 | | | | N/R | | | | 1,990,000 | |
| | | | | |
| | 2,730 | | | Goodman Networks Inc., 144A, (4) | | | 12.125% | | | | 7/01/18 | | | | B | | | | 2,893,800 | |
| | | | | |
| | 2,875 | | | IntelSat Jackson Holdings, 144A | | | 6.625% | | | | 12/15/22 | | | | CCC+ | | | | 2,788,750 | |
| | | | | |
| | 2,800 | | | Nokia Corporation, (4) | | | 6.625% | | | | 5/15/39 | | | | BB– | | | | 2,527,000 | |
| | 12,405 | | | Total Communications Equipment | | | | | | | | | | | | | | | 12,119,550 | |
| | | | Computers & Peripherals – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Hutchinson Technology Inc. | | | 8.500% | | | | 1/15/17 | | | | N/R | | | | 930,000 | |
| | | | Construction & Engineering – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,565 | | | Wyle Services Corporation, 144A | | | 10.500% | | | | 4/01/18 | | | | CCC+ | | | | 2,616,300 | |
| | | | Construction Materials – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,400 | | | Cemex Finance LLC, 144A | | | 9.500% | | | | 12/14/16 | | | | B+ | | | | 1,480,500 | |
| | | | | |
| | 2,000 | | | Cemex SAB de CV, 144A | | | 9.000% | | | | 1/11/18 | | | | B+ | | | | 2,100,000 | |
| | 3,400 | | | Total Construction Materials | | | | | | | | | | | | | | | 3,580,500 | |
| | | | Consumer Finance – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Home Credit & Finance Bank LLC Eurasia Capital | | | 9.375% | | | | 4/24/20 | | | | BB– | | | | 2,537,500 | |
| | | | Containers & Packaging – 1.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Ardagh Packaging Finance / MP HD USA, 144A, (4) | | | 7.000% | | | | 11/15/20 | | | | B3 | | | | 2,409,375 | |
| | | | | |
| | 2,700 | | | Ardagh Packaging Finance / MP HD USA, 144A | | | 4.875% | | | | 11/15/22 | | | | Ba3 | | | | 2,524,500 | |
| | | | | |
| | 2,000 | | | Ardagh Packaging Finance PLC, 144A | | | 9.125% | | | | 10/15/20 | | | | B3 | | | | 2,132,500 | |
| | | | | |
| | 3,800 | | | Reynolds Group, (4) | | | 8.500% | | | | 5/15/18 | | | | CCC+ | | | | 3,914,000 | |
| | 11,000 | | | Total Containers & Packaging | | | | | | | | | | | | | | | 10,980,375 | |
| | | | Distributors – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | HD Supply Inc. | | | 11.000% | | | | 4/15/20 | | | | B3 | | | | 1,456,250 | |
| | | | Diversified Consumer Services – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,500 | | | NES Rental Holdings Inc., 144A | | | 7.875% | | | | 5/01/18 | | | | CCC+ | | | | 3,456,250 | |
| | | | Diversified Financial Services – 2.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,750 | | | CNG Holdings Inc., 144A | | | 9.375% | | | | 5/15/20 | | | | B | | | | 1,680,000 | |
| | | | | |
| | 1,825 | | | Community Choice Financial Inc., (4) | | | 10.750% | | | | 5/01/19 | | | | B– | | | | 1,747,438 | |
| | | | | |
| | 3,000 | | | Jefferies Finance LLC, 144A | | | 7.375% | | | | 4/01/20 | | | | B+ | | | | 2,910,000 | |
| | | | | |
| | 2,500 | | | Jefferies Loancore Finance, 144A | | | 6.875% | | | | 6/01/20 | | | | B | | | | 2,425,000 | |
| | | | | |
| | 4,110 | | | Nationstar Mortgage LLC Capital Corporation | | | 7.875% | | | | 10/01/20 | | | | B+ | | | | 4,356,600 | |
| | | | | |
| | 1,815 | | | SinOceanic II ASA, 144A | | | 10.000% | | | | 2/17/15 | | | | N/R | | | | 1,850,855 | |
| | | | | |
| | 2,800 | | | UPCB Finance Limited, 144A | | | 6.625% | | | | 7/01/20 | | | | BB | | | | 2,898,000 | |
| | 17,800 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 17,867,893 | |
Portfolio of Investments
Nuveen High Income Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Diversified Telecommunication Services – 2.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 4,750 | | | CenturyLink Inc. | | | 7.650% | | | | 3/15/42 | | | | BB+ | | | $ | 4,512,500 | |
| | | | | |
| | 2,000 | | | Citizens Communications Company | | | 9.000% | | | | 8/15/31 | | | | BB+ | | | | 1,980,000 | |
| | | | | |
| | 1,500 | | | CyrusOne LP Finance, 144A | | | 6.375% | | | | 11/15/22 | | | | B+ | | | | 1,537,500 | |
| | | | | |
| | 2,982 | | | Eileme AB | | | 14.250% | | | | 8/15/20 | | | | B– | | | | 3,279,994 | |
| | | | | |
| | 2,000 | | | Frontier Communications Corporation, (4) | | | 7.125% | | | | 1/15/23 | | | | BB+ | | | | 1,990,000 | |
| | | | | |
| | 1,300 | | | IntelSat Limited, 144A | | | 6.750% | | | | 6/01/18 | | | | CCC+ | | | | 1,309,750 | |
| | | | | |
| | 3,600 | | | Sprint Capital Corporation | | | 8.750% | | | | 3/15/32 | | | | B+ | | | | 3,960,000 | |
| | 18,132 | | | Total Diversified Telecommunication Services | | | | | | | | | | | | | | | 18,569,744 | |
| | | | Electric Utilities – 1.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Edison Mission Energy, (10) | | | 7.000% | | | | 5/15/17 | | | | D | | | | 1,122,500 | |
| | | | | |
| | 4,000 | | | Energy Future Intermediate Holding Company LLC, (4) | | | 11.250% | | | | 12/01/18 | | | | B3 | | | | 3,380,000 | |
| | | | | |
| | 2,450 | | | Energy Future Intermediate Holding Company LLC | | | 10.000% | | | | 12/01/20 | | | | B2 | | | | 2,682,750 | |
| | | | | |
| | 2,100 | | | Intergen NV, 144A | | | 7.000% | | | | 6/30/23 | | | | B+ | | | | 2,047,500 | |
| | | | | |
| | 1,850 | | | Mirant Americas Generation LLC | | | 9.125% | | | | 5/01/31 | | | | BB– | | | | 1,979,500 | |
| | 12,400 | | | Total Electric Utilities | | | | | | | | | | | | | | | 11,212,250 | |
| | | | Energy Equipment & Services – 2.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,915 | | | Gulfmark Offshore Inc., 144A | | | 6.375% | | | | 3/15/22 | | | | BB– | | | | 1,900,638 | |
| | | | | |
| | 2,000 | | | Marine Accurate Well ASA | | | 9.500% | | | | 4/03/18 | | | | N/R | | | | 2,035,000 | |
| | | | | |
| | 1,500 | | | Origin Energy Finance Limited | | | 7.875% | | | | 6/16/71 | | | | BB+ | | | | 2,013,967 | |
| | | | | |
| | 3,075 | | | Pacific Drilling SA, 144A | | | 5.375% | | | | 6/01/20 | | | | B+ | | | | 2,875,125 | |
| | | | | |
| | 1,000 | | | Pacific Drilling SA | | | 8.250% | | | | 2/23/15 | | | | N/R | | | | 1,040,000 | |
| | | | | |
| | 2,175 | | | Precision Drilling Corporation | | | 6.500% | | | | 12/15/21 | | | | Ba1 | | | | 2,202,188 | |
| | | | | |
| | 2,200 | | | Santa Maria Offshore Limited, (WI/DD) | | | 8.875% | | | | 7/03/18 | | | | N/R | | | | 2,200,154 | |
| | | | | |
| | 3,500 | | | Seadrill Limited, 144A | | | 5.625% | | | | 9/15/17 | | | | N/R | | | | 3,447,500 | |
| | | | | |
| | 1,300 | | | TrollDrilling & Services Limited | | | 13.750% | | | | 8/19/16 | | | | N/R | | | | 1,338,987 | |
| | 18,665 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 19,053,559 | |
| | | | Food & Staples Retailing – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Harmony Foods Corporation, 144A | | | 10.000% | | | | 5/01/16 | | | | B– | | | | 1,052,500 | |
| | | | | |
| | 1,825 | | | Ingles Markets Inc., 144A, (4) | | | 5.750% | | | | 6/15/23 | | | | BB– | | | | 1,802,188 | |
| | | | | |
| | 3,200 | | | Supervalu Inc., 144A, (4) | | | 6.750% | | | | 6/01/21 | | | | B– | | | | 2,976,000 | |
| | 6,025 | | | Total Food & Staples Retailing | | | | | | | | | | | | | | | 5,830,688 | |
| | | | Food Products – 2.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | B&G Foods Inc., (4) | | | 4.625% | | | | 6/01/21 | | | | B+ | | | | 2,865,000 | |
| | | | | |
| | 3,095 | | | Fage Dairy Industry SA, 144A | | | 9.875% | | | | 2/01/20 | | | | B | | | | 3,334,863 | |
| | | | | |
| | 2,800 | | | JBS USA LLC, (4) | | | 7.250% | | | | 6/01/21 | | | | BB | | | | 2,800,000 | |
| | | | | |
| | 3,000 | | | Land O Lakes Capital Trust I, (4) | | | 7.450% | | | | 3/15/28 | | | | BB | | | | 2,940,000 | |
| | | | | |
| | 2,000 | | | Marfrig Holding Europe BV, 144A | | | 8.375% | | | | 5/09/18 | | | | B | | | | 1,880,000 | |
| | | | | |
| | 1,000 | | | Michael Foods Inc., 144A | | | 8.500% | | | | 7/15/18 | | | | CCC+ | | | | 1,030,000 | |
| | | | | |
| | 1,450 | | | Minerva Luxembourg SA, 144A | | | 7.750% | | | | 1/31/23 | | | | BB– | | | | 1,442,750 | |
| | | | | |
| | 1,800 | | | Mriya Agro Holding PLC, 144A | | | 9.450% | | | | 4/19/18 | | | | B | | | | 1,602,000 | |
| | 18,145 | | | Total Food Products | | | | | | | | | | | | | | | 17,894,613 | |
| | | | Gas Utilities – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,510 | | | LBC Tank Terminals Holdings Netherlands BV, 144A | | | 6.875% | | | | 5/15/23 | | | | B | | | | 1,513,775 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Health Care Equipment & Supplies – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 500 | | | Alere Inc., 144A, (4) | | | 6.500% | | | | 6/15/20 | | | | CCC+ | | | $ | 485,000 | |
| | | | | |
| | 925 | | | Community Health Systems, Inc. | | | 7.125% | | | | 7/15/20 | | | | B | | | | 952,750 | |
| | | | | |
| | 1,250 | | | Labco SAS, Reg S | | | 8.500% | | | | 1/15/18 | | | | BB– | | | | 1,696,203 | |
| | 2,675 | | | Total Health Care Equipment & Supplies | | | | | | | | | | | | | | | 3,133,953 | |
| | | | Health Care Providers & Services – 2.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | HCA Holdings Inc. | | | 6.250% | | | | 2/15/21 | | | | B– | | | | 1,275,000 | |
| | | | | |
| | 2,210 | | | Kindred Healthcare Inc. | | | 8.250% | | | | 6/01/19 | | | | B– | | | | 2,265,250 | |
| | | | | |
| | 1,240 | | | Labco SAS, 144A | | | 8.500% | | | | 1/15/18 | | | | BB– | | | | 1,682,633 | |
| | | | | |
| | 2,725 | | | National Mentor Holdings, 144A | | | 12.500% | | | | 2/15/18 | | | | CCC+ | | | | 2,915,750 | |
| | | | | |
| | 3,000 | | | Select Medical Corporation, 144A | | | 6.375% | | | | 6/01/21 | | | | B– | | | | 2,850,000 | |
| | | | | |
| | — | (9) | | Symbion Inc. | | | 11.000% | | | | 8/23/15 | | | | CCC+ | | | | 489 | |
| | | | | |
| | 1,800 | | | Tenet Healthcare Corporation | | | 6.875% | | | | 11/15/31 | | | | B3 | | | | 1,548,000 | |
| | | | | |
| | 2,000 | | | United Surgical Partners International Incorporated | | | 9.000% | | | | 4/01/20 | | | | CCC+ | | | | 2,160,000 | |
| | 14,225 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 14,697,122 | |
| | | | Hotels, Restaurants & Leisure – 2.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Fontainebleau Las Vegas | | | 10.250% | | | | 6/15/15 | | | | N/R | | | | 625 | |
| | | | | |
| | 2,175 | | | Graton Economic Development Authority, 144A | | | 9.625% | | | | 9/01/19 | | | | B | | | | 2,381,625 | |
| | | | | |
| | 30 | | | Greektown LLC, (3) | | | 10.750% | | | | 12/01/13 | | | | N/R | | | | — | |
| | | | | |
| | 2,000 | | | Harrah’s Operating Company, Inc., (4) | | | 10.750% | | | | 2/01/16 | | | | CCC– | | | | 1,645,000 | |
| | | | | |
| | 3,500 | | | Mohegan Tribal Gaming Authority, 144A, (4) | | | 11.000% | | | | 9/15/18 | | | | CCC | | | | 3,290,000 | |
| | | | | |
| | 23 | | | Rivers Pittsburgh Borrowers LP, Finance Corporation, 144A | | | 9.500% | | | | 6/15/19 | | | | B | | | | 24,840 | |
| | | | | |
| | 2,750 | | | Shearer’s Foods LLC, 144A | | | 9.000% | | | | 11/01/19 | | | | B | | | | 2,908,125 | |
| | | | | |
| | 2,540 | | | Station Casinos LLC, 144A, (4) | | | 7.500% | | | | 3/01/21 | | | | CCC+ | | | | 2,565,400 | |
| | | | | |
| | 2,225 | | | Viking Cruises Limited, 144A | | | 8.500% | | | | 10/15/22 | | | | B+ | | | | 2,436,375 | |
| | | | | |
| | 1,800 | | | Wynn Las Vegas LLC Corporation | | | 5.375% | | | | 3/15/22 | | | | BBB– | | | | 1,818,000 | |
| | 18,043 | | | Total Hotels, Restaurants & Leisure | | | | | | | | | | | | | | | 17,069,990 | |
| | | | Household Durables – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | Brookfield Residential Properties Inc., 144A | | | 6.500% | | | | 12/15/20 | | | | BB– | | | | 3,022,500 | |
| | | | | |
| | 2,000 | | | K. Hovnanian Enterprises Inc., (4) | | | 5.000% | | | | 11/01/21 | | | | B3 | | | | 1,800,000 | |
| | 5,000 | | | Total Household Durables | | | | | | | | | | | | | | | 4,822,500 | |
| | | | Household Products – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | 313 Group Incorporated, 144A | | | 8.750% | | | | 12/01/20 | | | | CCC+ | | | | 1,428,750 | |
| | | | | |
| | 3,000 | | | Dispensing Dynamics International, 144A | | | 12.500% | | | | 1/01/18 | | | | B– | | | | 3,030,000 | |
| | 4,500 | | | Total Household Products | | | | | | | | | | | | | | | 4,458,750 | |
| | | | Independent Power Producers & Energy Traders – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,650 | | | Calpine Corporation, 144A, (4) | | | 7.500% | | | | 2/15/21 | | | | BB+ | | | | 1,761,375 | |
| | | | | |
| | 1,850 | | | Dynegy Holdings, Inc. | | | 5.875% | | | | 6/01/23 | | | | B+ | | | | 1,683,500 | |
| | | | | |
| | 2,800 | | | Foresight Energy Limited Liability Corporation, 144A | | | 9.625% | | | | 8/15/17 | | | | B | | | | 2,940,000 | |
| | | | | |
| | 2,600 | | | Mirant Americas Generation LLC, (4) | | | 8.500% | | | | 10/01/21 | | | | BB– | | | | 2,795,000 | |
| | 8,900 | | | Total Independent Power Producers & Energy Traders | | | | | | | | | | | | | | | 9,179,875 | |
| | | | Industrial Conglomerates – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | Abengoa Finance SAU, 144A, (4) | | | 8.875% | | | | 11/01/17 | | | | B+ | | | | 1,162,500 | |
| | | | | |
| | 11,000 | | | Grieg Seafood ASA | | | 8.760% | | | | 12/21/15 | | | | N/R | | | | 1,829,002 | |
| | | | | |
| | 3,000 | | | OAS Financial Limited, 144A | | | 8.875% | | | | 7/25/63 | | | | BB– | | | | 2,865,000 | |
| | 15,250 | | | Total Industrial Conglomerates | | | | | | | | | | | | | | | 5,856,502 | |
Portfolio of Investments
Nuveen High Income Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Insurance – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Compass Investors Incorporated, 144A | | | 7.750% | | | | 1/15/21 | | | | CCC | | | $ | 1,970,000 | |
| | | | IT Services – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,065 | | | First Data Corporation, (4) | | | 6.750% | | | | 11/01/20 | | | | BB– | | | | 2,101,138 | |
| | | | | |
| | 3,550 | | | First Data Corporation, (4) | | | 12.625% | | | | 1/15/21 | | | | B– | | | | 3,754,125 | |
| | | | | |
| | 2,000 | | | First Data Corporation | | | 8.750% | | | | 1/15/22 | | | | B– | | | | 2,055,000 | |
| | 7,615 | | | Total IT Services | | | | | | | | | | | | | | | 7,910,263 | |
| | | | Leisure Equipment & Products – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Cinemark USA Inc., 144A, (4) | | | 4.875% | | | | 6/01/23 | | | | BB– | | | | 1,920,000 | |
| | | | | |
| | 1,500 | | | Seminole Hard Rock Entertainment, Inc., 144A | | | 5.875% | | | | 5/15/21 | | | | BB– | | | | 1,455,000 | |
| | 3,500 | | | Total Leisure Equipment & Products | | | | | | | | | | | | | | | 3,375,000 | |
| | | | Machinery – 1.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,300 | | | Chloe Marine Corporation Limited | | | 12.000% | | | | 12/28/16 | | | | N/R | | | | 3,580,500 | |
| | | | | |
| | 3,000 | | | Commercial Vehicle Group | | | 7.875% | | | | 4/15/19 | | | | B | | | | 3,003,750 | |
| | | | | |
| | 2,100 | | | Loxam SAS, 144A | | | 7.375% | | | | 1/24/20 | | | | B | | | | 2,706,115 | |
| | | | | |
| | 2,000 | | | Trinseo Materials Operating, 144A, (4) | | | 8.750% | | | | 2/01/19 | | | | B+ | | | | 1,910,000 | |
| | 10,400 | | | Total Machinery | | | | | | | | | | | | | | | 11,200,365 | |
| | | | Marine – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 11,000 | | | BOA SBL AS | | | 7.310% | | | | 4/19/18 | | | | N/R | | | | 1,792,784 | |
| | | | | |
| | 2,850 | | | Navios Maritime Acquisition Corporation, (4) | | | 8.625% | | | | 11/01/17 | | | | B | | | | 2,914,125 | |
| | 13,850 | | | Total Marine | | | | | | | | | | | | | | | 4,706,909 | |
| | | | Media – 4.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | American Media Inc., 144A, (4) | | | 13.500% | | | | 6/15/18 | | | | CCC– | | | | 925,000 | |
| | | | | |
| | 2,000 | | | American Media Inc. | | | 11.500% | | | | 12/15/17 | | | | B2 | | | | 1,940,000 | |
| | | | | |
| | 1,000 | | | Baker & Taylor Inc., 144A | | | 15.000% | | | | 4/01/17 | | | | B3 | | | | 732,500 | |
| | | | | |
| | 1,850 | | | Charter Communications, CCO Holdings LLC | | | 5.125% | | | | 2/15/23 | | | | BB– | | | | 1,734,375 | |
| | | | | |
| | 3,000 | | | Clear Channel Communications, Inc., 144A | | | 11.250% | | | | 3/01/21 | | | | CCC+ | | | | 3,127,500 | |
| | | | | |
| | 2,000 | | | Clear Channel Communications, Inc., (4) | | | 5.500% | | | | 9/15/14 | | | | CCC– | | | | 1,945,000 | |
| | | | | |
| | 1,000 | | | CSC Holdings Inc. | | | 7.875% | | | | 2/15/18 | | | | BB+ | | | | 1,135,000 | |
| | | | | |
| | 3,800 | | | Dish DBS Corporation | | | 5.875% | | | | 7/15/22 | | | | BB– | | | | 3,857,000 | |
| | | | | |
| | 2,000 | | | McClatchy Company, 144A | | | 9.000% | | | | 12/15/22 | | | | B1 | | | | 2,100,000 | |
| | | | | |
| | 3,000 | | | McGraw-Hill Global Education Holdings, 144A | | | 9.750% | | | | 4/01/21 | | | | BB | | | | 3,067,500 | |
| | | | | |
| | 2,650 | | | Nara Cable Funding Limited, 144A | | | 8.875% | | | | 12/01/18 | | | | BB– | | | | 2,756,000 | |
| | | | | |
| | 2,000 | | | Radio One Inc., (4) | | | 12.500% | | | | 5/24/16 | | | | CCC | | | | 2,015,000 | |
| | | | | |
| | 1,500 | | | UnityMedia Hessen GmBH | | | 7.500% | | | | 3/15/19 | | | | Ba3 | | | | 1,578,750 | |
| | | | | |
| | 1,650 | | | Videotron Limited, 144A | | | 5.625% | | | | 6/15/25 | | | | BB | | | | 1,498,288 | |
| | | | | |
| | 1,500 | | | WideOpenWest Finance Capital Corporation | | | 13.375% | | | | 10/15/19 | | | | CCC+ | | | | 1,657,500 | |
| | 29,950 | | | Total Media | | | | | | | | | | | | | | | 30,069,413 | |
| | | | Metals & Mining – 6.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Aleris International Inc., (3) | | | 10.000% | | | | 12/15/16 | | | | N/R | | | | 1 | |
| | | | | |
| | 2,000 | | | Allied Nevada Gold Corporation, 144A | | | 8.750% | | | | 6/01/19 | | | | B– | | | | 1,635,447 | |
| | | | | |
| | 1,450 | | | Bumi Investment PTE Limited, 144A, (4) | | | 10.750% | | | | 10/06/17 | | | | B– | | | | 1,044,000 | |
| | | | | |
| | 3,000 | | | Century Aluminum Company, 144A, (4) | | | 7.500% | | | | 6/01/21 | | | | B | | | | 2,910,000 | |
| | | | | |
| | 2,200 | | | Cliffs Natural Resources Inc., (4) | | | 4.800% | | | | 10/01/20 | | | | BBB– | | | | 1,983,071 | |
| | | | | |
| | 1,725 | | | Coeur D’Alene Mines Corporation, 144A | | | 7.875% | | | | 2/01/21 | | | | BB– | | | | 1,699,125 | |
| | | | | |
| | 800 | | | Commercial Metals Inc. | | | 4.875% | | | | 5/15/23 | | | | BB+ | | | | 736,000 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Metals & Mining (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | First Quantum Minerals Limited, 144A, (4) | | | 7.250% | | | | 10/15/19 | | | | BB | | | $ | 1,880,000 | |
| | | | | |
| | 1,075 | | | FMG Resources, 144A, (4) | | | 6.000% | | | | 4/01/17 | | | | BB+ | | | | 1,045,438 | |
| | | | | |
| | 2,250 | | | IAMGOLD Corporation, 144A | | | 6.750% | | | | 10/01/20 | | | | BB– | | | | 1,901,250 | |
| | | | | |
| | 2,305 | | | Inmet Mining Corporation, 144A, (4) | | | 8.750% | | | | 6/01/20 | | | | B+ | | | | 2,356,863 | |
| | | | | |
| | 2,000 | | | Magnetation LLC Finance Corporation, 144A | | | 11.000% | | | | 5/15/18 | | | | B– | | | | 1,960,000 | |
| | | | | |
| | 2,000 | | | Mirabela Nickel Limited, 144A | | | 8.750% | | | | 4/15/18 | | | | B– | | | | 1,580,000 | |
| | | | | |
| | 1,000 | | | Molycorp Inc., 144A, (4) | | | 10.000% | | | | 6/01/20 | | | | B3 | | | | 970,000 | |
| | | | | |
| | 2,850 | | | New Gold Incorporated, 144A | | | 6.250% | | | | 11/15/22 | | | | BB– | | | | 2,728,875 | |
| | | | | |
| | 1,500 | | | Northland Resources AB, (10) | | | 13.000% | | | | 3/06/17 | | | | Caa3 | | | | 270,000 | |
| | | | | |
| | 2,000 | | | Northland Resources AB | | | 15.000% | | | | 7/15/19 | | | | N/R | | | | 1,860,000 | |
| | | | | |
| | 2,750 | | | Permian Holdings Incorporated, 144A, (4) | | | 10.500% | | | | 1/15/18 | | | | B– | | | | 2,667,500 | |
| | | | | |
| | 2,150 | | | Severstal OAO via Steel Capital, 144A | | | 4.450% | | | | 3/19/18 | | | | BB+ | | | | 2,031,750 | |
| | | | | |
| | 835 | | | Taseko Mines Limited | | | 7.750% | | | | 4/15/19 | | | | B | | | | 824,563 | |
| | | | | |
| | 2,000 | | | Tempel Steel Company, 144A | | | 12.000% | | | | 8/15/16 | | | | B– | | | | 1,900,000 | |
| | | | | |
| | 2,325 | | | Thompson Creek Metals Company | | | 7.375% | | | | 6/01/18 | | | | Caa2 | | | | 1,918,125 | |
| | | | | |
| | 2,000 | | | Tizir Limited | | | 9.000% | | | | 9/28/17 | | | | N/R | | | | 1,990,000 | |
| | | | | |
| | 2,000 | | | TMK OAO Capital SA, 144A | | | 6.750% | | | | 4/03/20 | | | | B+ | | | | 1,855,000 | |
| | | | | |
| | 1,400 | | | Vedanta Resources PLC, 144A, (4) | | | 6.000% | | | | 1/31/19 | | | | BB | | | | 1,330,000 | |
| | | | | |
| | 1,750 | | | Walter Energy Inc., 144A, (4) | | | 8.500% | | | | 4/15/21 | | | | B– | | | | 1,400,000 | |
| | | | | |
| | 2,000 | | | WPE International Cooperatief U.A., 144A | | | 10.375% | | | | 9/30/20 | | | | B+ | | | | 1,560,000 | |
| | 50,365 | | | Total Metals & Mining | | | | | | | | | | | | | | | 44,037,008 | |
| | | | Multiline Retail – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,250 | | | Burlington Coat Factory, (4) | | | 10.000% | | | | 2/15/19 | | | | Caa1 | | | | 2,486,250 | |
| | | | | |
| | 2,965 | | | J.C. Penney Co. Inc. | | | 7.950% | | | | 4/01/17 | | | | B– | | | | 2,853,813 | |
| | 5,215 | | | Total Multiline Retail | | | | | | | | | | | | | | | 5,340,063 | |
| | | | Oil, Gas & Consumable Fuels – 15.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Armstrong Energy Inc., 144A | | | 11.750% | | | | 12/15/19 | | | | B– | | | | 2,375,000 | |
| | | | | |
| | 2,000 | | | Athlon Holdings LP Finance Corporation, 144A, (4) | | | 7.375% | | | | 4/15/21 | | | | CCC+ | | | | 1,975,000 | |
| | | | | |
| | 1,900 | | | Atlas Pipeline LP Finance, 144A | | | 6.625% | | | | 10/01/20 | | | | B+ | | | | 1,904,750 | |
| | | | | |
| | 3,255 | | | Bill Barrett Corporation, (4) | | | 7.000% | | | | 10/15/22 | | | | B+ | | | | 3,255,000 | |
| | | | | |
| | 2,000 | | | Bonanza Creek Energy,Inc., 144A | | | 6.750% | | | | 4/15/21 | | | | B– | | | | 2,015,000 | |
| | | | | |
| | 2,500 | | | Breitburn Energy Partners LP, 144A | | | 7.875% | | | | 4/15/22 | | | | B– | | | | 2,550,000 | |
| | | | | |
| | 1,650 | | | Calumet Specialty Products | | | 9.375% | | | | 5/01/19 | | | | B | | | | 1,765,500 | |
| | | | | |
| | 1,550 | | | Carrizo Oil and Gas Inc. | | | 7.500% | | | | 9/15/20 | | | | B– | | | | 1,612,000 | |
| | | | | |
| | 1,270 | | | Cheniere Energy Inc., 144A | | | 5.625% | | | | 2/01/21 | | | | BB+ | | | | 1,231,900 | |
| | | | | |
| | 2,000 | | | Chesapeake Energy Corporation, (4) | | | 6.875% | | | | 11/15/20 | | | | BB– | | | | 2,170,000 | |
| | | | | |
| | 3,125 | | | Concho Resources Inc., (4) | | | 5.500% | | | | 10/01/22 | | | | BB+ | | | | 3,093,750 | |
| | | | | |
| | 2,500 | | | Connacher Oil and Gas Limited, 144A, (4) | | | 8.500% | | | | 8/01/19 | | | | B+ | | | | 1,425,000 | |
| | | | | |
| | 2,650 | | | Continental Resources Inc. | | | 5.000% | | | | 9/15/22 | | | | BB+ | | | | 2,696,375 | |
| | | | | |
| | 2,975 | | | Deep Drilling 7 & 8 PT | | | 14.250% | | | | 3/05/15 | | | | N/R | | | | 3,198,125 | |
| | | | | |
| | 1,500 | | | Everest Acquisition LLC Finance, 144A, (4) | | | 7.750% | | | | 9/01/22 | | | | B | | | | 1,605,000 | |
| | | | | |
| | 2,000 | | | Floatel International Limited | | | 8.000% | | | | 10/11/17 | | | | N/R | | | | 2,090,000 | |
| | | | | |
| | 3,029 | | | Forest Oil Corporation, (4) | | | 7.250% | | | | 6/15/19 | | | | B– | | | | 2,847,260 | |
| | | | | |
| | 11,000 | | | GasLog Limited | | | 7.250% | | | | 6/27/18 | | | | N/R | | | | 1,811,038 | |
| | | | | |
| | 2,000 | | | Gastar Exploration USA, 144A | | | 8.625% | | | | 5/15/18 | | | | B– | | | | 1,920,000 | |
Portfolio of Investments
Nuveen High Income Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Oil, Gas & Consumable Fuels (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 500 | | | Gibson Energy, 144A | | | 6.750% | | | | 7/15/21 | | | | BB | | | $ | 498,750 | |
| | | | | |
| | 3,400 | | | Halcon Resources Limited Liability Corporation, 144A | | | 9.750% | | | | 7/15/20 | | | | CCC+ | | | | 3,391,500 | |
| | | | | |
| | 2,400 | | | Holly Energy Partners LP | | | 6.500% | | | | 3/01/20 | | | | BB– | | | | 2,418,000 | |
| | | | | |
| | 3,000 | | | ION Geophysical Corporation, 144A, (4) | | | 8.125% | | | | 5/15/18 | | | | B+ | | | | 2,895,000 | |
| | | | | |
| | 2,680 | | | Key Energy Services Inc. | | | 6.750% | | | | 3/01/21 | | | | BB– | | | | 2,572,800 | |
| | | | | |
| | 1,500 | | | Kodiak Oil and Gas Corporation | | | 8.125% | | | | 12/01/19 | | | | B– | | | | 1,627,500 | |
| | | | | |
| | 1,965 | | | Legacy Reserves LP Finance Corporation, 144A, (4) | | | 6.625% | | | | 12/01/21 | | | | B– | | | | 1,891,313 | |
| | | | | |
| | 1,395 | | | Linn Energy LLC Finance Corporation, 144A | | | 6.250% | | | | 11/01/19 | | | | B | | | | 1,328,738 | |
| | | | | |
| | 2,000 | | | Martin Mid-Stream Partners LP Finance, 144A, (4) | | | 7.250% | | | | 2/15/21 | | | | B– | | | | 2,010,000 | |
| | | | | |
| | 2,285 | | | MEG Energy Corporation, 144A | | | 6.375% | | | | 1/30/23 | | | | BB | | | | 2,216,450 | |
| | | | | |
| | 739 | | | Newfield Exploration Company | | | 5.625% | | | | 7/01/24 | | | | BBB– | | | | 716,830 | |
| | | | | |
| | 3,000 | | | Northern Oil and Gas Inc., (4) | | | 8.000% | | | | 6/01/20 | | | | B– | | | | 3,030,000 | |
| | | | | |
| | 2,900 | | | Northern Tier Energy LLC, 144A | | | 7.125% | | | | 11/15/20 | | | | BB– | | | | 2,929,000 | |
| | | | | |
| | 2,300 | | | Ocean Rig UDW Inc. | | | 9.500% | | | | 4/27/16 | | | | CCC+ | | | | 2,386,250 | |
| | | | | |
| | 1,525 | | | Offshore Group Investment Limited | | | 7.500% | | | | 11/01/19 | | | | B– | | | | 1,589,813 | |
| | | | | |
| | 1,500 | | | Paramount Resources Limited, 144A | | | 7.625% | | | | 12/04/19 | | | | B | | | | 1,426,262 | |
| | | | | |
| | 3,400 | | | PBF Holding Company LLC | | | 8.250% | | | | 2/15/20 | | | | BB+ | | | | 3,561,500 | |
| | | | | |
| | 2,000 | | | Penn Virginia Corporation, 144A, (4) | | | 8.500% | | | | 5/01/20 | | | | B– | | | | 1,940,000 | |
| | | | | |
| | 3,325 | | | PetroBakken Energy Limited, 144A | | | 8.625% | | | | 2/01/20 | | | | CCC+ | | | | 3,158,750 | |
| | | | | |
| | 850 | | | Petroleos de Venezuela SA, 144A | | | 9.000% | | | | 11/17/21 | | | | B+ | | | | 714,000 | |
| | | | | |
| | 2,250 | | | Sabine Pass LNG LP, 144A | | | 6.500% | | | | 11/01/20 | | | | BB+ | | | | 2,272,500 | |
| | | | | |
| | 1,995 | | | Samson Investment Company, 144A, (4) | | | 9.750% | | | | 2/15/20 | | | | B– | | | | 2,102,231 | |
| | | | | |
| | 1,500 | | | Sanchez Energy Corporation, 144A | | | 7.750% | | | | 6/15/21 | | | | CCC+ | | | | 1,462,500 | |
| | | | | |
| | 3,000 | | | Sandridge Energy Inc., (4) | | | 8.125% | | | | 10/15/22 | | | | B2 | | | | 2,970,000 | |
| | | | | |
| | 2,500 | | | Saratoga Resources Inc. | | | 12.500% | | | | 7/01/16 | | | | N/R | | | | 2,525,000 | |
| | | | | |
| | 1,500 | | | Seitel Inc., 144A | | | 9.500% | | | | 4/15/19 | | | | B | | | | 1,503,750 | |
| | | | | |
| | 1,000 | | | Seven Generations Energy Limited, 144A | | | 8.250% | | | | 5/15/20 | | | | B3 | | | | 995,000 | |
| | | | | |
| | 11,000 | | | Ship Finance International Limited | | | 6.810% | | | | 10/19/17 | | | | N/R | | | | 1,783,730 | |
| | | | | |
| | 1,700 | | | Sterling Resources UK Limited | | | 9.000% | | | | 4/30/19 | | | | N/R | | | | 1,742,500 | |
| | | | | |
| | 1,600 | | | Summit Midstream Holdings LLC Finance, 144A | | | 7.500% | | | | 7/01/21 | | | | B | | | | 1,624,000 | |
| | | | | |
| | 1,750 | | | Talos Production LLC, 144A | | | 9.750% | | | | 2/15/18 | | | | CCC+ | | | | 1,662,500 | |
| | | | | |
| | 2,025 | | | Vanguard Natural Resources Finance | | | 7.875% | | | | 4/01/20 | | | | B | | | | 2,075,625 | |
| | | | | |
| | 2,720 | | | Western Refining Inc., 144A | | | 6.250% | | | | 4/01/21 | | | | BB– | | | | 2,658,800 | |
| | 128,608 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 109,221,290 | |
| | | | Paper & Forest Products – 1.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Consolidated Container Company Limited Liability Corporation, 144A | | | 10.125% | | | | 7/15/20 | | | | CCC+ | | | | 262,500 | |
| | | | | |
| | 3,250 | | | Millar Western Forest Products Ltd, (4) | | | 8.500% | | | | 4/01/21 | | | | B– | | | | 3,209,375 | |
| | | | | |
| | 2,000 | | | Sappi Papier Holding GMBH, 144A | | | 7.500% | | | | 6/15/32 | | | | B | | | | 1,580,000 | |
| | | | | |
| | 1,975 | | | Stora Enso Oyj | | | 7.250% | | | | 4/15/36 | | | | BB | | | | 1,836,750 | |
| | | | | |
| | 1,530 | | | Tembec Industries, Inc. | | | 11.250% | | | | 12/15/18 | | | | B3 | | | | 1,652,400 | |
| | | | | |
| | 2,000 | | | Verso Paper Holdings LLC | | | 11.750% | | | | 1/15/19 | | | | Ba3 | | | | 2,060,000 | |
| | 11,005 | | | Total Paper & Forest Products | | | | | | | | | | | | | | | 10,601,025 | |
| | | | Personal Products – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | Albea Beauty Holdings SA, 144A, (4) | | | 8.375% | | | | 11/01/19 | | | | B+ | | | | 2,940,000 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Pharmaceuticals – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 750 | | | Endo Pharmaceutical Holdings Inc. | | | 7.000% | | | | 12/15/20 | | | | BB– | | | $ | 752,813 | |
| | | | | |
| | 3,500 | | | Sky Growth Holdings Corporation, dba Par Pharmaceuticals, 144A | | | 7.375% | | | | 10/15/20 | | | | B– | | | | 3,587,500 | |
| | | | | |
| | 4,000 | | | VP Escrow Corporation, 144A | | | 6.375% | | | | 10/15/20 | | | | B1 | | | | 3,955,000 | |
| | 8,250 | | | Total Pharmaceuticals | | | | | | | | | | | | | | | 8,295,313 | |
| | | | Real Estate Investment Trust – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,750 | | | KWG Property Holdings Limited | | | 13.250% | | | | 3/22/17 | | | | B+ | | | | 1,901,139 | |
| | | | Real Estate Management & Development – 1.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | Country Garden Holding Company, 144A | | | 7.500% | | | | 1/10/23 | | | | BB– | | | | 2,745,000 | |
| | | | | |
| | 2,000 | | | Kaisa Group Holdings Limited, 144A, (4) | | | 8.875% | | | | 3/19/18 | | | | B+ | | | | 1,910,000 | |
| | | | | |
| | 2,765 | | | Mattamy Group Corporation, 144A | | | 6.500% | | | | 11/15/20 | | | | BB | | | | 2,709,700 | |
| | | | | |
| | 2,000 | | | Gemdale International Investment Limited | | | 7.125% | | | | 11/16/17 | | | | BB– | | | | 1,955,710 | |
| | | | | |
| | 1,250 | | | Shimao Property Holdings Limited | | | 11.000% | | | | 3/08/18 | | | | BB | | | | 1,334,285 | |
| | 11,015 | | | Total Real Estate Management & Development | | | | | | | | | | | | | | | 10,654,695 | |
| | | | Road & Rail – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,291 | | | Inversiones Alsacia SA, 144A | | | 8.000% | | | | 8/18/18 | | | | BB | | | | 1,091,041 | |
| | | | | |
| | 1,950 | | | Jack Cooper Holdings Corporation, 144A, (4) | | | 9.250% | | | | 6/01/20 | | | | B2 | | | | 1,950,000 | |
| | | | | |
| | 2,500 | | | Watco Companies LLC Finance, 144A | | | 6.375% | | | | 4/01/23 | | | | B3 | | | | 2,487,500 | |
| | 5,741 | | | Total Road & Rail | | | | | | | | | | | | | | | 5,528,541 | |
| | | | Semiconductors & Equipment – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Amkor Technology Inc., 144A, (4) | | | 6.375% | | | | 10/01/22 | | | | BB | | | | 1,470,000 | |
| | | | | |
| | 2,075 | | | Freescale Semiconductor Inc., 144A | | | 5.000% | | | | 5/15/21 | | | | B1 | | | | 1,971,250 | |
| | | | | |
| | 2,500 | | | Freescale Semiconductor Inc., (4) | | | 10.750% | | | | 8/01/20 | | | | CCC+ | | | | 2,750,000 | |
| | 6,075 | | | Total Semiconductors & Equipment | | | | | | | | | | | | | | | 6,191,250 | |
| | | | Software – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Interface Security Systems Holdings, 144A | | | 9.250% | | | | 1/15/18 | | | | B– | | | | 2,550,000 | |
| | | | Specialty Retail – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,200 | | | Rite Aid Corporation, 144A, (WI/DD) | | | 6.750% | | | | 6/15/21 | | | | CCC+ | | | | 2,161,500 | |
| | | | Textiles, Apparel & Luxury Goods – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,170 | | | Jones Group | | | 6.875% | | | | 3/15/19 | | | | B+ | | | | 2,180,850 | |
| | | | Tobacco – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | North Atlantic Trading Company, 144A | | | 11.500% | | | | 7/15/16 | | | | B2 | | | | 2,600,000 | |
| | | | | |
| | 2,350 | | | Vector Group Limited | | | 7.750% | | | | 2/15/21 | | | | Ba3 | | | | 2,426,373 | |
| | 4,850 | | | Total Tobacco | | | | | | | | | | | | | | | 5,026,373 | |
| | | | Trading Companies & Distributors – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,375 | | | Russel Metals Inc., 144A | | | 6.000% | | | | 4/19/22 | | | | Ba1 | | | | 1,307,405 | |
| | | | Transportation Infrastructure – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,800 | | | Navigator Holdings Limited | | | 9.000% | | | | 12/18/17 | | | | N/R | | | | 2,899,529 | |
| | | | Wireless Telecommunication Services – 2.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,400 | | | Digicel Limited, 144A | | | 7.000% | | | | 2/15/20 | | | | B1 | | | | 3,434,000 | |
| | | | | |
| | 2,075 | | | FairPoint Communications Inc., 144A, (4) | | | 8.750% | | | | 8/15/19 | | | | B | | | | 2,054,250 | |
| | | | | |
| | 750 | | | GNET Escrow Corporation, 144A | | | 12.125% | | | | 7/01/18 | | | | B3 | | | | 787,500 | |
| | | | | |
| | 2,000 | | | IntelSat Jackson Holdings, 144A | | | 6.625% | | | | 12/15/22 | | | | CCC+ | | | | 1,940,000 | |
| | | | | |
| | 3,000 | | | NII International Telecom SA, 144A, (4) | | | 7.875% | | | | 8/15/19 | | | | B2 | | | | 2,842,500 | |
| | | | | |
| | 3,350 | | | Wind Acquisition Finance SA, 144A | | | 7.250% | | | | 2/15/18 | | | | BB | | | | 3,341,625 | |
| | 14,575 | | | Total Wireless Telecommunication Services | | | | | | | | | | | | | | | 14,399,875 | |
| $ | 609,741 | | | Total Corporate Bonds (cost $581,834,955) | | | | | | | | | | | | | | | 569,308,943 | |
Portfolio of Investments
Nuveen High Income Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | CONVERTIBLE BONDS – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Commercial Banks – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 750 | | | Lloyds Banking Group LBG Capital 1, 144A | | | 8.000% | | | | 6/15/20 | | | | BB | | | $ | 761,194 | |
| | | | Diversified Telecommunication Services – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Alaska Communications Systems Group Inc. | | | 6.250% | | | | 5/01/18 | | | | B+ | | | | 1,573,750 | |
| | | | Metals & Mining – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Great Western Mineral Group | | | 8.000% | | | | 4/06/17 | | | | N/R | | | | 972,750 | |
| | | | Oil, Gas & Consumable Fuels – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,800 | | | DCP Midstream LLC | | | 5.850% | | | | 5/21/43 | | | | Baa3 | | | | 1,728,000 | |
| $ | 6,050 | | | Total Convertible Bonds (cost $5,714,230) | | | | | | | | | | | | | | | 5,035,694 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | $1,000 PAR (OR SIMILAR) INSTITUTIONAL STRUCTURES – 6.0% | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 4,300 | | | Dresdner Funding Trust, 144A, (4) | | | 8.151% | | | | 6/30/31 | | | | BB | | | $ | 4,316,125 | |
| | | | | |
| | 4,615 | | | Goldman Sachs Capital II | | | 4.000% | | | | N/A (11) | | | | BB+ | | | | 3,668,925 | |
| | 8,915 | | | Total Capital Markets | | | | | | | | | | | | | | | 7,985,050 | |
| | | | Commercial Banks – 2.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,300 | | | Barclays Bank PLC | | | 6.000% | | | | N/A (11) | | | | BBB– | | | | 1,710,911 | |
| | | | | |
| | 2,000 | | | Barclays Bank PLC | | | 4.875% | | | | N/A (11) | | | | BBB– | | | | 1,898,316 | |
| | | | | |
| | 2,620 | | | Barclays Bank PLC | | | 4.750% | | | | N/A (11) | | | | BBB– | | | | 2,450,167 | |
| | | | | |
| | 2,000 | | | BBVA International Preferred Uniperson, (4) | | | 5.919% | | | | N/A (11) | | | | BB– | | | | 1,790,000 | |
| | | | | |
| | 2,000 | | | Credit Agricole, S.A, 144A, (4) | | | 6.637% | | | | N/A (11) | | | | BBB– | | | | 1,845,000 | |
| | | | | |
| | 1,500 | | | Fifth Third Bancorp., (4) | | | 5.100% | | | | N/A (11) | | | | BB+ | | | | 1,417,500 | |
| | | | | |
| | 3,000 | | | HBOS Capital Funding LP, 144A, (4) | | | 6.071% | | | | N/A (11) | | | | BB | | | | 2,610,000 | |
| | | | | |
| | 1,000 | | | RBS Capital Trust | | | 1.076% | | | | N/A (11) | | | | BB | | | | 720,000 | |
| | | | | |
| | 3,560 | | | RBS Capital Trust, (4) | | | 5.512% | | | | N/A (11) | | | | BB | | | | 2,598,800 | |
| | | | | |
| | 2,900 | | | Societe Generale, 144A | | | 1.055% | | | | N/A (11) | | | | BBB– | | | | 2,262,000 | |
| | 21,880 | | | Total Commercial Banks | | | | | | | | | | | | | | | 19,302,694 | |
| | | | Consumer Finance – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | AFGC Capital Trust I, 144A | | | 6.000% | | | | 1/15/67 | | | | CCC– | | | | 1,500,000 | |
| | | | Industrial Conglomerates – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Telecom Italia SpA | | | 7.750% | | | | 3/20/73 | | | | BB+ | | | | 1,925,130 | |
| | | | Insurance – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Aviva PLC | | | 5.902% | | | | N/A (11) | | | | BBB | | | | 2,867,007 | |
| | | | | |
| | 3,800 | | | Genworth Financial Inc. | | | 6.150% | | | | 11/15/66 | | | | Ba1 | | | | 3,296,500 | |
| | | | | |
| | 3,000 | | | Glen Meadows Pass Through Trust | | | 6.505% | | | | 2/12/67 | | | | BB+ | | | | 2,820,000 | |
| | | | | |
| | 2,875 | | | XL Capital Ltd, (4) | | | 6.500% | | | | N/A (11) | | | | BBB– | | | | 2,803,125 | |
| | 11,675 | | | Total Insurance | | | | | | | | | | | | | | | 11,786,632 | |
| $ | 45,970 | | | Total $1,000 Par (or similar) Institutional Structures (cost $40,664,592) | | | | | | | | | | | | 42,499,506 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,000 | | | U.S. Treasury Notes, (12) | | | 1.500% | | | | 12/31/13 | | | | Aaa | | | $ | 1,006,797 | |
| $ | 1,000 | | | Total U.S. Government and Agency Obligations (cost $999,556) | | | | | | | | | | | | | | | 1,006,797 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 3 | | | Green Tree Financial Corporation, Manufactured Housing Contract Pass-Through Certificates, Series 1998-1 | | | 6.040% | | | | 11/01/29 | | | | AA | | | $ | 2,835 | |
| $ | 3 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $2,715) | | | | | | | | | | | | | | | 2,835 | |
| | | | | |
| Shares | | | Description (1), (16) | | | | | | | | | | | Value | |
| | | | INVESTMENT COMPANIES – 1.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 120,000 | | | Blackrock Credit Allocation Income Trust IV | | | | | | | | | | | | | | $ | 1,557,600 | |
| | | | | |
| | 105,000 | | | First Trust Strategic High Income Fund II | | | | | | | | | | | | | | | 1,653,750 | |
| | | | | |
| | 50,500 | | | Gabelli Global Gold Natural Resources and Income Trust | | | | | | | | | | | | | | | 492,880 | |
| | | | | |
| | 193,000 | | | Invesco Dynamic Credit Opportunities Fund | | | | | | | | | | | | | | | 2,524,440 | |
| | | | | |
| | 154,500 | | | Pimco Income Strategy Fund | | | | | | | | | | | | | | | 1,847,820 | |
| | | | | |
| | 187,000 | | | Pioneer Floating Rate Trust | | | | | | | | | | | | | | | 2,475,880 | |
| | | | Total Investment Companies (cost $10,488,671) | | | | | | | | | | | | | | | 10,552,370 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (5) | | | Value | |
| | | | SOVEREIGN DEBT – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Argentina – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,965 | | | Province of Buenos Aires, 144A | | | 10.875% | | | | 1/26/21 | | | | B– | | | $ | 1,287,075 | |
| | | | | |
| | 2,000 | | | Republic of Argentina | | | 7.000% | | | | 10/03/15 | | | | B– | | | | 1,735,000 | |
| | 3,965 | | | Total Argentina | | | | | | | | | | | | | | | 3,022,075 | |
| | | | Ukraine – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 800 | | | Republic of Ukraine, 144A | | | 7.800% | | | | 11/28/22 | | | | B | | | | 714,000 | |
| $ | 4,765 | | | Total Sovereign Debt (cost $4,135,366) | | | | | | | | | | | | | | | 3,736,075 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | WARRANTS – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 6,706 | | | FairPoint Communications Inc., (8) | | | | | | | | | | | | | | $ | 141 | |
| | | | Total Warrants (cost $0) | | | | | | | | | | | | | | | 141 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 17.6% | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 17.6% | | | | | | | | | | | | | | | | |
| | | | |
| | 124,410,338 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (13), (14) | | | | | | | | | | | $ | 124,410,338 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $124,410,338) | | | | | | | | 124,410,338 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | | | | Value | |
| | | | SHORT-TERM INVESTMENTS – 1.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 1.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 13,241,965 | | | First American Treasury Obligations Fund, Class Z | | | 0.000% (13) | | | | | | | | | | | $ | 13,241,965 | |
| | | | Total Short-Term Investments (cost $13,241,965) | | | | | | | | | | | | | | | 13,241,965 | |
| | | | Total Investments (cost $837,725,487) – 117.2% | | | | | | | | | | | | | | | 828,524,047 | |
| | | | Other Assets Less Liabilities – (17.2)% (15) | | | | | | | | | | | | | | | (121,841,178) | |
| | | | Net Assets – 100% | | | | | | | | | | | | | | $ | 706,682,869 | |
Portfolio of Investments
Nuveen High Income Bond Fund (continued)
June 30, 2013
Investments in Derivatives as of June 30, 2013
Forward Foreign Currency Exchange Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Currency Contracts to Deliver | | Amount
(Local Currency) | | | In Exchange
For Currency | | | Amount
(Local Currency) | | | Settlement
Date | | | Unrealized
Appreciation
Depreciation)
(U.S. Dollars) (15) | |
Citigroup | | British Pound Sterling | | | 1,270,000 | | | | U.S. Dollar | | | | 1,920,646 | | | | 8/05/13 | | | $ | (10,971 | ) |
Citigroup | | British Pound Sterling | | | 1,850,000 | | | | U.S. Dollar | | | | 2,801,807 | | | | 8/05/13 | | | | (11,967 | ) |
Citigroup | | Euro | | | 900,000 | | | | U.S. Dollar | | | | 1,165,788 | | | | 7/31/13 | | | | (5,691 | ) |
Citigroup | | Euro | | | 1,000,000 | | | | U.S. Dollar | | | | 1,305,197 | | | | 7/31/13 | | | | 3,554 | |
Citigroup | | Euro | | | 2,300,000 | | | | U.S. Dollar | | | | 3,008,536 | | | | 7/31/13 | | | | 14,758 | |
Citigroup | | Euro | | | 16,831,000 | | | | U.S. Dollar | | | | 21,778,304 | | | | 7/31/13 | | | | (129,644 | ) |
Citigroup | | U.S. Dollar | | | 3,532,210 | | | | Euro | | | | 2,700,000 | | | | 7/31/13 | | | | (17,775 | ) |
| | | | | | | | | | | | | | | | | | | | | $ | (157,736 | ) |
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 5-Year Note | | | Short | | | | (88 | ) | | | 9/13 | | | $ | (10,652,125 | ) | | $ | 160,585 | |
U.S. Treasury 10-Year Note | | | Short | | | | (159 | ) | | | 9/13 | | | | (20,123,437 | ) | | | 534,108 | |
U.S. Treasury Ultra Bond | | | Short | | | | (19 | ) | | | 9/13 | | | | (2,798,938 | ) | | | 102,769 | |
| | | | | | | | | | | | | | | $ | (33,574,500 | ) | | $ | 797,462 | |
| | | | |
| | | | 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. |
| | (2) | | | Non-income producing; issuer has not declared a dividend within the past twelve months. |
| | (3) | | | Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Directors/Trustees. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information. |
| | (4) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of securities out on loan as of the end of the reporting period was $120,985,221. |
| | (5) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (6) | | | 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. |
| | (7) | | | 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. |
| | (8) | | | For fair value measurement disclosure purposes, $25 Par (or similar) Retail Structures and Warrant classified as Level 2. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information. |
| | (9) | | | Principal Amount (000) rounds to less than $1,000. |
| | (10) | | | At or subsequent to the end of the reporting period, this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has directed the Fund’s custodian to cease accruing additional income on the Fund’s records. |
| | (11) | | | Perpetual security. Maturity date is not applicable. |
| | (12) | | | Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in derivatives. |
| | (13) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (14) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | (15) | | | Other Assets Less Liabilities includes the Unrealized Appreciation (Depreciation) of certain derivative instruments as listed within Investments in Derivatives as of the end of the reporting period. |
| | (16) | | | A copy of the most recent financial statements for the investment companies in which the Fund invests can be obtained directly from the Securities and Exchange Commission on its website at http://www.sec.gov. |
| | N/A | | | Not applicable. |
| | N/R | | | Not rated. |
| | WI/DD | | | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
| | REIT | | | Real Estate Investment Trust. |
| | Reg S | | | Regulation S allows U.S. companies to sell securities to persons or entities located outside of the United States without registering those securities with the Securities and Exchange Commission. Specifically, Regulation S provides a safe harbor from the registration requirements of the Securities Act for the offers and sales of securities by both foreign and domestic issuers that are made outside the United States. |
| | 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 coupon rate is not available prior to settlement. At settlement, if still unknown, the borrower or counterparty will provide the Fund with the final coupon rate and maturity date. |
| | 144A | | | Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers. |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen Inflation Protected Securities Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | $25 PAR (OR SIMILAR) RETAIL STRUCTURES – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 15,000 | | | UBS Preferred Funding Trust IV | | | 0.893% | | | | | | | | BBB– | | | $ | 250,200 | |
| | | | Metals & Mining – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 5,000 | | | ArcelorMittal | | | 6.000% | | | | | | | | BB– | | | | 93,850 | |
| | | | Thrifts & Mortgage Finance – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 16,000 | | | Federal National Mortgage Association, (3) | | | 4.503% | | | | | | | | Ca | | | | 72,800 | |
| | | | Total $25 Par (or similar) Retail Structures (cost $746,200) | | | | | | | | | | | | | | | 416,850 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | COPORATE BONDS – 5.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Airlines – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 289 | | | Delta Air Lines Pass-Through Certificates, Series 2012-1B, (3) | | | 6.875% | | | | 5/07/19 | | | | BB+ | | | $ | 305,272 | |
| | | | Auto Components – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Allison Transmission Inc., 144A | | | 7.125% | | | | 5/15/19 | | | | B+ | | | | 264,375 | |
| | | | | |
| | 200 | | | American & Axle Manufacturing Inc., (3) | | | 6.250% | | | | 3/15/21 | | | | B | | | | 203,250 | |
| | | | | |
| | 200 | | | Gestamp Fund Lux SA, 144A | | | 5.625% | | | | 5/31/20 | | | | BB | | | | 190,000 | |
| | 650 | | | Total Auto Components | | | | | | | | | | | | | | | 657,625 | |
| | | | Automobiles – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 300 | | | Chrysler GP/CG Company, (3) | | | 8.000% | | | | 6/15/19 | | | | B1 | | | | 327,375 | |
| | | | | |
| | 250 | | | Jaguar Land Rover PLC, 144A, (3) | | | 8.125% | | | | 5/15/21 | | | | BB– | | | | 275,000 | |
| | 550 | | | Total Automobiles | | | | | | | | | | | | | | | 602,375 | |
| | | | Biotechnology – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | STHI Holding Corporation, 144A | | | 8.000% | | | | 3/15/18 | | | | B | | | | 270,000 | |
| | | | Building Products – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Owens Corning Incorporated | | | 4.200% | | | | 12/15/22 | | | | BBB– | | | | 242,247 | |
| | | | Chemicals – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Hexion US Finance | | | 6.625% | | | | 4/15/20 | | | | Ba3 | | | | 249,375 | |
| | | | | |
| | 200 | | | Omonva Solutions Inc. | | | 7.875% | | | | 11/01/18 | | | | B2 | | | | 208,000 | |
| | | | | |
| | 150 | | | Sinochem Overseas Capital Limited | | | 4.500% | | | | 11/12/20 | | | | Baa1 | | | | 147,886 | |
| | 600 | | | Total Chemicals | | | | | | | | | | | | | | | 605,261 | |
| | | | Commercial Banks – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Banco do Nordeste do Brasil, 144A | | | 3.625% | | | | 11/09/15 | | | | BBB | | | | 198,640 | |
| | | | | |
| | 70 | | | Regions Financial Corporation | | | 7.750% | | | | 11/10/14 | | | | BBB– | | | | 75,641 | |
| | | | | |
| | 200 | | | VTB Capital SA, 144A | | | 6.875% | | | | 5/29/18 | | | | Baa1 | | | | 212,000 | |
| | 470 | | | Total Commercial Banks | | | | | | | | | | | | | | | 486,281 | |
| | | | Commercial Services & Supplies – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Aramark Corporation, 144A | | | 5.750% | | | | 3/15/20 | | | | B– | | | | 204,500 | |
| | | | | |
| | 250 | | | Ceridian Corporation, 144A | | | 8.875% | | | | 7/15/19 | | | | B1 | | | | 277,813 | |
| | | | | |
| | 250 | | | Clean Harbors Inc., (3) | | | 5.250% | | | | 8/01/20 | | | | BB+ | | | | 253,750 | |
| | | | | |
| | 250 | | | Covanta Energy Corporation, Synthetic Letter of Credit | | | 6.375% | | | | 10/01/22 | | | | BB | | | | 252,650 | |
| | 950 | | | Total Commercial Services & Supplies | | | | | | | | | | | | | | | 988,713 | |
| | | | Computers & Peripherals – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Hewlett Packard Company, (3) | | | 3.750% | | | | 12/01/20 | | | | A– | | | | 241,990 | |
| | | | Containers & Packaging – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Ardagh Packaging Finance / MP HD USA, 144A | | | 4.875% | | | | 11/15/22 | | | | Ba3 | | | | 187,000 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Containers & Packaging (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 325 | | | Reynolds Group | | | 7.125% | | | | 4/15/19 | | | | B+ | | | $ | 343,281 | |
| | 525 | | | Total Containers & Packaging | | | | | | | | | | | | | | | 530,281 | |
| | | | Diversified Financial Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 225 | | | Nationstar Mortgage LLC Capital Corporation | | | 7.875% | | | | 10/01/20 | | | | B+ | | | | 238,500 | |
| | | | | |
| | 250 | | | UPCB Finance Limited, 144A, (3) | | | 6.625% | | | | 7/01/20 | | | | BB | | | | 258,750 | |
| | 475 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 497,250 | |
| | | | Diversified Telecommunication Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | CyrusOne LP Finance, 144A | | | 6.375% | | | | 11/15/22 | | | | B+ | | | | 256,250 | |
| | | | Electric Utilities – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 570 | | | Comision Federal de Electricidad of the United States of Mexcio, 144A | | | 4.875% | | | | 5/26/21 | | | | Baa1 | | | | 582,825 | |
| | | | Energy Equipment & Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 220 | | | Gulfmark Offshore Inc. | | | 6.375% | | | | 3/15/22 | | | | BB– | | | | 218,350 | |
| | | | | |
| | 250 | | | Precision Drilling Corporation | | | 6.500% | | | | 12/15/21 | | | | Ba1 | | | | 253,125 | |
| | 470 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 471,475 | |
| | | | Gas Utilities – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | AmeriGas Finance LLC | | | 7.000% | | | | 5/20/22 | | | | Ba2 | | | | 255,625 | |
| | | | Health Care Providers & Services – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,700 | | | Catholic Health Initiatives | | | 1.600% | | | | 11/01/17 | | | | AA– | | | | 1,664,120 | |
| | | | | |
| | 250 | | | HCA Holdings Inc. | | | 6.250% | | | | 2/15/21 | | | | B– | | | | 255,000 | |
| | | | | |
| | 250 | | | HealthSouth Corporation | | | 5.750% | | | | 11/01/24 | | | | BB– | | | | 243,125 | |
| | | | | |
| | 1,715 | | | Mayo Clinic Rochester | | | 3.774% | | | | 11/15/43 | | | | AA | | | | 1,519,722 | |
| | 3,915 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 3,681,967 | |
| | | | Hotels, Restaurants & Leisure – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Wynn Las Vegas LLC Corporation | | | 5.375% | | | | 3/15/22 | | | | BBB– | | | | 202,000 | |
| | | | Household Durables – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Brookfield Residential Properties Inc., 144A | | | 6.500% | | | | 12/15/20 | | | | BB– | | | | 251,875 | |
| | | | Independent Power Producers & Energy Traders – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 318 | | | Calpine Corporation, 144A | | | 7.875% | | | | 7/31/20 | | | | BB+ | | | | 345,030 | |
| | | | | |
| | 200 | | | Dynegy Holdings, Inc., Term Loan | | | 5.875% | | | | 6/01/23 | | | | B+ | | | | 182,000 | |
| | | | | |
| | 200 | | | Mirant Americas Generation LLC, (3) | | | 8.500% | | | | 10/01/21 | | | | BB– | | | | 215,000 | |
| | 718 | | | Total Independent Power Producers & Energy Traders | | | | | | | | | | | | | | | 742,030 | |
| | | | Media – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Charter Communications, CCO Holdings LLC | | | 5.125% | | | | 2/15/23 | | | | BB– | | | | 187,500 | |
| | | | | |
| | 300 | | | Dish DBS Corporation, 144A | | | 4.250% | | | | 4/01/18 | | | | BB– | | | | 294,000 | |
| | | | | |
| | 200 | | | Sirius XM Radio Inc., 144A | | | 4.250% | | | | 5/15/20 | | | | BB | | | | 188,000 | |
| | 700 | | | Total Media | | | | | | | | | | | | | | | 669,500 | |
| | | | Metals & Mining – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | ArcelorMittal, (3) | | | 6.750% | | | | 2/25/22 | | | | BB+ | | | | 256,250 | |
| | | | | |
| | 250 | | | Cliffs Natural Resources Inc., (3) | | | 4.800% | | | | 10/01/20 | | | | BBB– | | | | 225,349 | |
| | | | | |
| | 250 | | | Coeur D’Alene Mines Corporation, 144A | | | 7.875% | | | | 2/01/21 | | | | BB– | | | | 246,250 | |
| | | | | |
| | 200 | | | Commercial Metals Inc. | | | 4.875% | | | | 5/15/23 | | | | BB+ | | | | 184,000 | |
| | | | | |
| | 200 | | | IAMGOLD Corporation, 144A | | | 6.750% | | | | 10/01/20 | | | | BB– | | | | 169,000 | |
| | | | | |
| | 200 | | | Severstal OAO via Steel Capital, 144A | | | 4.450% | | | | 3/19/18 | | | | BB+ | | | | 189,000 | |
| | | | | |
| | 200 | | | Taseko Mines Limited | | | 7.750% | | | | 4/15/19 | | | | B | | | | 197,500 | |
| | | | | |
| | 200 | | | Vedanta Resources PLC, 144A | | | 6.000% | | | | 1/31/19 | | | | BB | | | | 190,000 | |
| | 1,750 | | | Total Metals & Mining | | | | | | | | | | | | | | | 1,657,349 | |
Portfolio of Investments
Nuveen Inflation Protected Securities Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Oil, Gas & Consumable Fuels – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 200 | | | Bill Barrett Corporation, (3) | | | 7.000% | | | | 10/15/22 | | | | B+ | | | $ | 200,000 | |
| | | | | |
| | 275 | | | Calumet Specialty Products | | | 9.375% | | | | 5/01/19 | | | | B | | | | 294,250 | |
| | | | | |
| | 200 | | | Carrizo Oil and Gas Inc. | | | 7.500% | | | | 9/15/20 | | | | B– | | | | 208,000 | |
| | | | | |
| | 225 | | | Continental Resources Inc. | | | 5.000% | | | | 9/15/22 | | | | BB+ | | | | 228,938 | |
| | | | | |
| | 200 | | | Drill Rigs Holdings Inc., 144A | | | 6.500% | | | | 10/01/17 | | | | B | | | | 199,500 | |
| | | | | |
| | 250 | | | Everest Acquisition LLC Finance, 144A, (3) | | | 7.750% | | | | 9/01/22 | | | | B | | | | 267,500 | |
| | | | | |
| | 250 | | | Holly Energy Partners LP | | | 6.500% | | | | 3/01/20 | | | | BB– | | | | 251,875 | |
| | | | | |
| | 250 | | | Linn Energy LLC Finance Corporation, 144A | | | 6.250% | | | | 11/01/19 | | | | B | | | | 238,125 | |
| | | | | |
| | 250 | | | Martin Mid-Stream Partners LP Finance, 144A, (3) | | | 7.250% | | | | 2/15/21 | | | | B– | | | | 251,250 | |
| | | | | |
| | 250 | | | MEG Energy Corporation, 144A | | | 6.375% | | | | 1/30/23 | | | | BB | | | | 242,500 | |
| | | | | |
| | 200 | | | Newfield Exploration Company | | | 5.625% | | | | 7/01/24 | | | | BBB– | | | | 194,000 | |
| | | | | |
| | 250 | | | Northern Tier Energy LLC, 144A | | | 7.125% | | | | 11/15/20 | | | | BB– | | | | 252,500 | |
| | | | | |
| | 250 | | | PBF Holding Company LLC | | | 8.250% | | | | 2/15/20 | | | | BB+ | | | | 261,875 | |
| | | | | |
| | 500 | | | Regency Energy Partners Finance, (3) | | | 6.500% | | | | 7/15/21 | | | | BB | | | | 522,500 | |
| | | | | |
| | 250 | | | Sabine Pass LNG LP | | | 7.500% | | | | 11/30/16 | | | | BB+ | | | | 269,063 | |
| | | | | |
| | 175 | | | SM Energy Company | | | 6.625% | | | | 2/15/19 | | | | BB– | | | | 183,313 | |
| | 3,975 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 4,065,189 | |
| | | | Paper & Forest Products – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Sappi Papier Holding GMBH, 144A | | | 8.375% | | | | 6/15/19 | | | | BB | | | | 263,750 | |
| | | | Personal Products – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Albea Beauty Holdings SA, 144A, (3) | | | 8.375% | | | | 11/01/19 | | | | B+ | | | | 196,000 | |
| | | | Pharmaceuticals – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Endo Pharmaceutical Holdings Inc., (3) | | | 7.000% | | | | 12/15/20 | | | | BB– | | | | 250,938 | |
| | | | | |
| | 250 | | | Valeant Pharmaceuticals International, 144A | | | 6.375% | | | | 10/15/20 | | | | B1 | | | | 247,188 | |
| | 500 | | | Total Pharmaceuticals | | | | | | | | | | | | | | | 498,126 | |
| | | | Real Estate Management & Development – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 200 | | | Country Garden Holding Company, 144A, (3) | | | 11.125% | | | | 2/23/18 | | | | BB– | | | | 217,000 | |
| | | | Trading Companies & Distributors – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 300 | | | Russel Metals Inc., 144A | | | 6.000% | | | | 4/19/22 | | | | Ba1 | | | | 285,252 | |
| | | | Road & Rail – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 175 | | | Hertz Corporation, (3) | | | 7.375% | | | | 1/15/21 | | | | B | | | | 189,437 | |
| | | | Wireless Telecommunication Services – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Digicel Limited, 144A | | | 7.000% | | | | 2/15/20 | | | | B1 | | | | 252,499 | |
| | | | | |
| | 300 | | | Frontier Communications Corporation | | | 7.625% | | | | 4/15/24 | | | | BB+ | | | | 300,749 | |
| | | | | |
| | 200 | | | Sprint Nextel Corporation | | | 7.000% | | | | 3/01/20 | | | | BB | | | | 215,999 | |
| | | | | |
| | 400 | | | Wind Acquisition Finance SA, 144A | | | 7.250% | | | | 2/15/18 | | | | BB | | | | 398,999 | |
| | 1,150 | | | Total Wireless Telecommunication Services | | | | | | | | | | | | | | | 1,168,246 | |
| $ | 21,082 | | | Total Corporate Bonds (cost $21,828,090) | | | | | | | | | | | | | | | 21,081,191 | |
| | | | | |
Shares/
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | $1,000 PAR (OR SIMILAR) INSTITUTIONAL STRUCTURES – 0.1% | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 200 | | | Goldman Sachs Capital II, (4) | | | 4.000% | | | | N/A (5) | | | | BB+ | | | $ | 159,000 | |
| | | | | | | | | | | | | | | | | | | | |
Shares/
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Diversified Financial Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 200 | | | Bank of America Corporation | | | 7.250% | | | | N/A (5) | | | | BB+ | | | $ | 222,100 | |
| | | | Insurance – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 175 | | | Genworth Financial Inc., (4) | | | 6.150% | | | | 11/15/66 | | | | Ba1 | | | | 151,813 | |
| | | | Total $1,000 Par (or similar) Institutional Structures (cost $503,989) | | | | | | | | 532,913 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (6) | | | Ratings (2) | | | Value | |
| | | | MUNICIPAL BONDS – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Illinois – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,130 | | | Illinois State, General Obligation Bonds, Taxable Series 2011, 5.877%, 3/01/19 | | | | | | | No Opt. Call | | | | A– | | | $ | 1,247,012 | |
| | | | Maryland – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | Baltimore County, Maryland, General Obligation Bonds, Taxable, Series 2012, 0.951%, 8/01/17 | | | | | | | No Opt. Call | | | | AAA | | | | 1,214,025 | |
| | | | Ohio – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 400 | | | Kings Local School District, Warren County, Ohio, General Obligation School Improvement Bonds, Federally Taxable, Series 2013B, 3.750%, 12/01/18 | | | | | | | No Opt. Call | | | | AA | | | | 428,883 | |
| $ | 2,780 | | | Total Municipal Bonds (cost $2,823,128) | | | | | | | | | | | | | | | 2,889,920 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 84.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,100 | | | Fannie Mae STRIPS (P/O) | | | 0.000% | | | | 2/01/19 | | | | AA– | | | $ | 958,456 | |
| | | | | |
| | 2,115 | | | Federal Farm Credit Banks, Consolidated Systemwide Notes | | | 1.750% | | | | 4/01/21 | | | | Aaa | | | | 1,986,787 | |
| | | | | |
| | 2,210 | | | Federal National Mortgage Association | | | 0.000% | | | | 10/09/19 | | | | AA– | | | | 1,856,400 | |
| | | | | |
| | 825 | | | FICO STRIPS (I/O) | | | 0.000% | | | | 5/02/17 | | | | Aaa | | | | 787,670 | |
| | | | | |
| | 1,080 | | | Private Export Funding | | | 1.450% | | | | 8/15/19 | | | | Aaa | | | | 1,030,733 | |
| | | | | |
| | 1,900 | | | Private Export Funding | | | 2.050% | | | | 11/15/22 | | | | Aaa | | | | 1,759,529 | |
| | | | | |
| | 1,055 | | | Tennessee Valley Authority, Series A | | | 3.875% | | | | 2/15/21 | | | | Aaa | | | | 1,140,820 | |
| | | | | |
| | 8,734 | | | U.S. Treasury Bonds | | | 3.875% | | | | 4/15/29 | | | | Aaa | | | | 12,588,474 | |
| | | | | |
| | 233 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.000% | | | | 1/15/14 | | | | Aaa | | | | 236,053 | |
| | | | | |
| | 2,241 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.250% | | | | 4/15/14 | | | | Aaa | | | | 2,272,095 | |
| | | | | |
| | 4,811 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.000% | | | | 7/15/14 | | | | Aaa | | | | 4,966,689 | |
| | | | | |
| | 6,412 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.625% | | | | 1/15/15 | | | | Aaa | | | | 6,666,631 | |
| | | | | |
| | 4,957 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.500% | | | | 4/15/15 | | | | Aaa | | | | 5,080,757 | |
| | | | | |
| | 4,310 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.875% | | | | 7/15/15 | | | | Aaa | | | | 4,581,381 | |
| | | | | |
| | 4,323 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.000% | | | | 1/15/16 | | | | Aaa | | | | 4,642,933 | |
| | | | | |
| | 22,697 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.125% | | | | 4/15/16 | | | | Aaa | | | | 23,280,171 | |
| | | | | |
| | 3,944 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.500% | | | | 7/15/16 | | | | Aaa | | | | 4,359,235 | |
| | | | | |
| | 13,318 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.375% | | | | 1/15/17 | | | | Aaa | | | | 14,762,003 | |
| | | | | |
| | 29,900 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.125% | | | | 4/15/17 | | | | Aaa | | | | 30,677,360 | |
| | | | | |
| | 2,502 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.625% | | | | 7/15/17 | | | | Aaa | | | | 2,838,343 | |
| | | | | |
| | 1,326 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.625% | | | | 1/15/18 | | | | Aaa | | | | 1,451,879 | |
| | | | | |
| | 8,550 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.125% | | | | 4/15/18 | | | | Aaa | | | | 8,770,843 | |
| | | | | |
| | 1,717 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.125% | | | | 1/15/19 | | | | Aaa | | | | 1,941,271 | |
Portfolio of Investments
Nuveen Inflation Protected Securities Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 4,403 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.375% | | | | 1/15/20 | | | | Aaa | | | $ | 4,797,635 | |
| | | | | |
| | 7,085 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.250% | | | | 7/15/20 | | | | Aaa | | | | 7,696,260 | |
| | | | | |
| | 11,374 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.125% | | | | 1/15/21 | | | | Aaa | | | | 12,163,951 | |
| | | | | |
| | 18,189 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.625% | | | | 7/15/21 | | | | Aaa | | | | 18,771,661 | |
| | | | | |
| | 25,171 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.125% | | | | 1/15/22 | | | | Aaa | | | | 24,653,624 | |
| | | | | |
| | 17,534 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.125% | | | | 7/15/22 | | | | Aaa | | | | 17,137,812 | |
| | | | | |
| | 19,846 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.125% | | | | 1/15/23 | | | | Aaa | | | | 19,242,647 | |
| | | | | |
| | 11,374 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.375% | | | | 1/15/25 | | | | Aaa | | | | 13,549,140 | |
| | | | | |
| | 6,239 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.000% | | | | 1/15/26 | | | | Aaa | | | | 7,204,135 | |
| | | | | |
| | 5,016 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.375% | | | | 1/15/27 | | | | Aaa | | | | 6,038,956 | |
| | | | | |
| | 6,965 | | | U.S. Treasury Inflation Indexed Obligations | | | 1.750% | | | | 1/15/28 | | | | Aaa | | | | 7,803,452 | |
| | | | | |
| | 6,074 | | | U.S. Treasury Inflation Indexed Obligations | | | 3.625% | | | | 4/15/28 | | | | Aaa | | | | 8,430,325 | |
| | | | | |
| | 4,002 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.500% | | | | 1/15/29 | | | | Aaa | | | | 4,936,058 | |
| | | | | |
| | 5,331 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.125% | | | | 2/15/40 | | | | Aaa | | | | 6,478,570 | |
| | | | | |
| | 5,675 | | | U.S. Treasury Inflation Indexed Obligations | | | 2.125% | | | | 2/15/41 | | | | Aaa | | | | 6,910,341 | |
| | | | | |
| | 8,521 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.750% | | | | 2/15/42 | | | | Aaa | | | | 7,500,947 | |
| | | | | |
| | 1,517 | | | U.S. Treasury Inflation Indexed Obligations | | | 0.625% | | | | 2/15/43 | | | | Aaa | | | | 1,275,905 | |
| | | | | |
| | 2,140 | | | U.S. Treasury Notes | | | 1.375% | | | | 7/15/18 | | | | Aaa | | | | 2,337,812 | |
| | | | | |
| | 2,488 | | | U.S. Treasury Notes | | | 1.875% | | | | 7/15/19 | | | | Aaa | | | | 2,805,566 | |
| $ | 299,204 | | | Total U.S. Government and Agency Obligations (cost $319,603,694) | | | | | | | | 318,371,310 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 7.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Commercial Mortgage Pass-Through Certificates Series 2012-CR4 | | | 1.801% | | | | 10/17/45 | | | | AAA | | | $ | 1,980,016 | |
| | | | | |
| | 730 | | | DBUBS Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-LC3A | | | 3.642% | | | | 8/12/44 | | | | Aaa | | | | 770,765 | |
| | | | | |
| | 7,500 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2007-GG10, (3) | | | 5.982% | | | | 8/10/45 | | | | A | | | | 8,357,685 | |
| | | | | |
| | 3,800 | | | Greenwich Capital Commercial Funding Corporation, Commercial Mortgage Pass-Through Certificates, Series 2007-GG11, (3) | | | 5.736% | | | | 12/10/49 | | | | AAA | | | | 4,255,840 | |
| | | | | |
| | 955 | | | JPMorgan Chase Commercial Mortgage Securities Corporation, Commercial Mortgage Pass-Through Certificates, Series 2010-C1 | | | 3.853% | | | | 6/15/43 | | | | Aaa | | | | 996,901 | |
| | | | | |
| | 2,000 | | | JPMorgan JPMBB Commercial Mortgage Securities Trust, Pass-Through Certificates, Series 2013-C12 | | | 3.664% | | | | 7/17/45 | | | | Aaa | | | | 1,970,903 | |
| | | | | |
| | 1,394 | | | Morgan Stanley Capital I Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C3 A1 | | | 2.178% | | | | 7/16/49 | | | | Aaa | | | | 1,417,704 | |
| | | | | |
| | 700 | | | OBP Depositor LLC Trust, Commercial Mortgage Pass-Through Certificates, Series 2010-OBP | | | 4.646% | | | | 7/17/45 | | | | AAA | | | | 759,053 | |
| | | | | |
| | 3,060 | | | SBA Tower Trust | | | 3.598% | | | | 4/15/43 | | | | BBB | | | | 3,027,824 | |
| | | | | |
| | 164 | | | Sequoia Mortgage Trust, Mortgage Pass-Through Certificates, Series 2011-1 | | | 4.125% | | | | 2/25/41 | | | | AAA | | | | 163,913 | |
| | | | | |
| | 2,000 | | | UBS Barclays Commercial Mortgage Trust 2012-C4 | | | 2.850% | | | | 12/12/45 | | | | AAA | | | | 1,849,928 | |
| | | | | |
| | 1,920 | | | Wells Fargo – Royal Bank of Scotland Commercial Mortgage Trust, Series 2012-C10 A3 | | | 2.875% | | | | 12/15/45 | | | | Aaa | | | | 1,775,359 | |
| | | | | |
| | 1,260 | | | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C3 | | | 4.375% | | | | 3/17/44 | | | | Aaa | | | | 1,323,578 | |
| $ | 27,483 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $29,347,987) | | | | | | | | 28,649,469 | |
| | | | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1), (9) | | | | | | | | | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | INVESTMENT COMPANIES – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 10,500 | | | Blackrock Credit Allocation Income Trust IV | | | | | | | | | | | | | | $ | 136,290 | |
| | | | | |
| | 5,000 | | | Invesco Dynamic Credit Opportunities Fund | | | | | | | | | | | | | | | 65,400 | |
| | | | | |
| | 28,000 | | | Pimco Income Strategy Fund | | | | | | | | | | | | | | | 334,880 | |
| | | | | |
| | 5,000 | | | Pioneer Floating Rate Trust | | | | | | | | | | | | | | | 66,200 | |
| | | | | |
| | 19,000 | | | PowerShares Senior Loan Portfolio, (3) | | | | | | | | | | | | | | | 470,250 | |
| | | | Total Investment Companies (cost $1,064,475) | | | | | | | | | | | | | | | 1,073,020 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | SOVEREIGN DEBT – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Canada – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,500 | | | Province of Quebec | | | 7.500% | | | | 7/15/23 | | | | Aa2 | | | $ | 1,995,150 | |
| | | | Poland – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Republic of Poland | | | 6.375% | | | | 7/15/19 | | | | A2 | | | | 291,578 | |
| $ | 1,750 | | | Total Sovereign Debt (cost $2,361,271) | | | | | | | | | | | | | | | 2,286,728 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 4.0% | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 4.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 15,202,864 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (7), (8) | | | | | | | | | | | | | | $ | 15,202,864 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $15,202,864) | | | | | | | | 15,202,864 | |
| | | | Total Investments (cost $393,481,698) – 103.7% | | | | | | | | | | | | | | | 390,504,265 | |
| | | | Other Assets Less Liabilities – (3.7)% | | | | | | | | | | | | | | | (14,070,705) | |
| | | | Net Assets – 100% | | | | | | | | | | | | | | $ | 376,433,560 | |
Investments in Derivatives as of June 30, 2013
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value* | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 2-Year Note | | | Long | | | | 89 | | | | 9/13 | | | $ | 19,580,001 | | | $ | (903 | ) |
U.S. Treasury 5-Year Note | | | Long | | | | 75 | | | | 9/13 | | | | 9,078,515 | | | | (105,191 | ) |
U.S. Treasury 10-Year Note | | | Long | | | | 62 | | | | 9/13 | | | | 7,846,875 | | | | (91,504 | ) |
U.S. Treasury Long Bond | | | Long | | | | 47 | | | | 9/13 | | | | 6,384,656 | | | | (5,069 | ) |
U.S. Treasury Ultra Bond | | | Short | | | | (64 | ) | | | 9/13 | | | | (9,428,000 | ) | | | 349,602 | |
| | | | | | | | | | | | | | | $ | 33,462,047 | | | $ | 146,935 | |
| * | Total Notional Amount at Value of Long and Short positions were $42,890,047 and $(9,428,000), respectively. |
Portfolio of Investments
Nuveen Inflation Protected Securities Fund (continued)
June 30, 2013
| | | | |
| | | | 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. |
| | (2) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (3) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of securities out on loan as of the end of the reporting period was $14,856,251. |
| | (4) | | | For fair value measurement disclosure purposes, $1,000 Par (or similar) Institutional Structures categorized as Level 2. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information. |
| | (5) | | | Perpetual security. Maturity date is not applicable. |
| | (6) | | | Optional Call Provisions (not covered by the report of independent registered public accounting firm): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. |
| | (7) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (8) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | (9) | | | A copy of the most recent financial statements for the investment companies in which the Fund invests can be obtained directly from the Securities and Exchange Commission on its website at http://www.sec.gov. |
| | I/O | | | Interest only security. |
| | N/A | | | Not applicable. |
| | P/O | | | Principal only security. |
| | 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 transactions with qualified institutional buyers. |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen Intermediate Government Bond Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | CORPORATE BONDS – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Health Care Providers & Services – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 400 | | | Catholic Health Initiatives | | | 1.600% | | | | 11/01/17 | | | | AA– | | | $ | 391,558 | |
| $ | 400 | | | Total Corporate Bonds (cost $399,884) | | | | | | | | | | | | | | | 391,558 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (3) | | | Ratings (2) | | | Value | |
| | | | MUNICIPAL BONDS – 3.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Connecticut – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 385 | | | Connecticut State, General Obligation Bonds, Various Purpose Taxable Series 2012B, 0.465%, 10/15/14 | | | | | | | No Opt. Call | | | | AA | | | $ | 385,154 | |
| | | | Maryland – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 570 | | | Baltimore County, Maryland, General Obligation Bonds, Taxable, Series 2012, 0.554%, 8/01/15 | | | | | | | No Opt. Call | | | | AAA | | | | 565,947 | |
| | | | Ohio – 1.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Kings Local School District, Warren County, Ohio, General Obligation School Improvement Bonds, Federally Taxable, Series 2013B, 3.750%, 12/01/18 | | | | | | | No Opt. Call | | | | AA | | | | 268,053 | |
| | | | | |
| | 845 | | | Ohio State, General Obligation Bonds, Higher Education, Build America Bond Series 2010E, 3.328%, 8/01/17 – AGM Insured | | | | | | | No Opt. Call | | | | AA+ | | | | 890,343 | |
| | 1,095 | | | Total Ohio | | | | | | | | | | | | | | | 1,158,396 | |
| $ | 2,050 | | | Total Municipal Bonds (cost $2,151,150) | | | | | | | | | | | | | | | 2,109,497 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 37.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 765 | | | Fannie Mae Notes | | | 1.100% | | | | 8/28/17 | | | | Aaa | | | $ | 754,239 | |
| | | | | |
| | 665 | | | Fannie Mae Notes | | | 1.500% | | | | 5/25/18 | | | | Aaa | | | | 658,596 | |
| | | | | |
| | 675 | | | Fannie Mae Notes, (4) | | | 0.875% | | | | 5/21/18 | | | | Aaa | | | | 652,362 | |
| | | | | |
| | 1,000 | | | Fannie Mae Notes | | | 1.250% | | | | 9/27/18 | | | | Aaa | | | | 981,934 | |
| | | | | |
| | 225 | | | Fannie Mae STRIPS (P/O) | | | 0.000% | | | | 2/01/19 | | | | AA– | | | | 196,048 | |
| | | | | |
| | 700 | | | Federal Farm Credit Banks, Consolidated Systemwide Notes | | | 3.000% | | | | 9/22/14 | | | | Aaa | | | | 723,520 | |
| | | | | |
| | 845 | | | Federal Farm Credit Banks, Consolidated Systemwide Notes | | | 1.500% | | | | 11/16/15 | | | | Aaa | | | | 863,448 | |
| | | | | |
| | 360 | | | Federal Farm Credit Banks, Consolidated Systemwide Notes | | | 1.750% | | | | 4/01/21 | | | | Aaa | | | | 338,176 | |
| | | | | |
| | 675 | | | Federal Home Loan Bank Bonds | | | 0.375% | | | | 6/24/16 | | | | Aaa | | | | 667,416 | |
| | | | | |
| | 700 | | | Federal Home Loan Bank Bonds | | | 1.300% | | | | 6/05/18 | | | | Aaa | | | | 682,759 | |
| | | | | |
| | 1,080 | | | Federal Home Loan Bank Bonds | | | 4.125% | | | | 3/13/20 | | | | Aaa | | | | 1,195,082 | |
| | | | | |
| | 775 | | | Federal Home Loan Bank Bonds | | | 1.875% | | | | 12/09/22 | | | | Aaa | | | | 695,997 | |
| | | | | |
| | 735 | | | Federal Home Loan Banks, Discount Notes | | | 2.220% | | | | 3/28/23 | | | | Aaa | | | | 690,774 | |
| | | | | |
| | 365 | | | Federal Home Loan Mortgage Corporation, Notes | | | 3.750% | | | | 3/27/19 | | | | Aaa | | | | 401,223 | |
| | | | | |
| | 1,700 | | | Federal National Mortgage Association | | | 1.875% | | | | 10/15/15 | | | | Aaa | | | | 1,747,743 | |
| | | | | |
| | 435 | | | Federal National Mortgage Association | | | 0.000% | | | | 10/09/19 | | | | AA– | | | | 365,400 | |
| | | | | |
| | 710 | | | FICO STRIPS (I/O) | | | 0.000% | | | | 5/02/17 | | | | Aaa | | | | 677,874 | |
| | | | | |
| | 1,065 | | | Freddie Mac Notes | | | 0.850% | | | | 2/24/16 | | | | Aaa | | | | 1,067,084 | |
| | | | | |
| | 770 | | | Freddie Mac Notes | | | 0.750% | | | | 10/05/16 | | | | Aaa | | | | 765,871 | |
| | | | | |
| | 1,645 | | | Freddie Mac Reference Notes | | | 5.000% | | | | 2/16/17 | | | | Aaa | | | | 1,872,783 | |
| | | | | |
| | 985 | | | Freddie Mac Reference Notes | | | 0.750% | | | | 1/12/18 | | | | Aaa | | | | 953,685 | |
| | | | | |
| | 880 | | | Freddie Mac Reference Notes | | | 0.875% | | | | 3/07/18 | | | | Aaa | | | | 851,557 | |
Portfolio of Investments
Nuveen Intermediate Government Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 270 | | | Freddie Mac Reference Notes | | | 5.000% | | | | 12/14/18 | | | | Aa2 | | | $ | 310,126 | |
| | | | | |
| | 560 | | | Freddie Mac Reference Notes | | | 1.250% | | | | 10/02/19 | | | | Aaa | | | | 530,554 | |
| | | | | |
| | 340 | | | Freddie Mac Reference Notes | | | 2.375% | | | | 1/13/22 | | | | Aaa | | | | 330,404 | |
| | | | | |
| | 505 | | | Private Export Funding | | | 4.550% | | | | 5/15/15 | | | | Aaa | | | | 544,341 | |
| | | | | |
| | 345 | | | Private Export Funding | | | 2.125% | | | | 7/15/16 | | | | Aaa | | | | 358,860 | |
| | | | | |
| | 335 | | | Private Export Funding | | | 1.450% | | | | 8/15/19 | | | | Aaa | | | | 319,718 | |
| | | | | |
| | 390 | | | Private Export Funding | | | 2.050% | | | | 11/15/22 | | | | Aaa | | | | 361,167 | |
| | | | | |
| | 530 | | | Tennessee Valley Authority, Series A | | | 3.875% | | | | 2/15/21 | | | | Aaa | | | | 573,113 | |
| | | | | |
| | 325 | | | U.S. Treasury Bonds | | | 8.750% | | | | 8/15/20 | | | | Aaa | | | | 474,297 | |
| | | | | |
| | 430 | | | U.S. Treasury Notes | | | 1.000% | | | | 11/30/19 | | | | Aaa | | | | 409,675 | |
| | | | | |
| | 2,240 | | | U.S. Treasury Notes | | | 2.000% | | | | 2/15/22 | | | | Aaa | | | | 2,190,824 | |
| $ | 24,025 | | | Total U.S. Government and Agency Obligations (cost $24,396,301) | | | | | | | | | | | | 24,206,650 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 58.1% | | | | | | | | | |
| | | | | |
| $ | 686 | | | 321 Henderson Receivables LLC, Series 2010-3A | | | 3.820% | | | | 12/15/48 | | | | Aaa | | | $ | 718,355 | |
| | | | | |
| | 764 | | | 321 Henderson Receivables LLC., Series 2010-1A | | | 5.560% | | | | 7/15/59 | | | | Aaa | | | | 874,299 | |
| | | | | |
| | 641 | | | Centerpoint Energy Transition Bond Company LLC | | | 0.901% | | | | 4/15/18 | | | | AAA | | | | 640,993 | |
| | | | | |
| | 526 | | | Commercial Mortgage Pass-Through Certificates 2012-CR2 A1 | | | 0.824% | | | | 8/17/45 | | | | Aaa | | | | 523,607 | |
| | | | | |
| | 280 | | | DBUBS Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-LC3A | | | 3.642% | | | | 8/12/44 | | | | Aaa | | | | 295,636 | |
| | | | | |
| | 1,000 | | | Discover Card Master Trust I 2011-A3 A | | | 0.403% | | | | 3/15/17 | | | | AAA | | | | 999,793 | |
| | | | | |
| | 596 | | | Entergy Arkansas Restoration Funding LLC, Senior Secured Storm Recovery Bonds, Series 2010-A | | | 2.300% | | | | 8/01/21 | | | | AAA | | | | 611,031 | |
| | | | | |
| | 766 | | | Fannie Mae Mortgage Pool AB1959 | | | 2.352% | | | | 12/01/40 | | | | Aaa | | | | 799,819 | |
| | | | | |
| | 664 | | | Fannie Mae Mortgage Pool AB9659 | | | 2.302% | | | | 6/01/43 | | | | Aaa | | | | 649,594 | |
| | | | | |
| | 1,049 | | | Fannie Mae Mortgage Pool AD0486 | | | 3.500% | | | | 4/01/34 | | | | Aaa | | | | 1,114,242 | |
| | | | | |
| | 240 | | | Fannie Mae Mortgage Pool AD0706 | | | 4.000% | | | | 3/01/38 | | | | Aaa | | | | 254,591 | |
| | | | | |
| | 588 | | | Fannie Mae Mortgage Pool AE4876 | | | 3.000% | | | | 10/01/40 | | | | Aaa | | | | 598,079 | |
| | | | | |
| | — | (5) | | Fannie Mae Mortgage Pool 251901 | | | 6.500% | | | | 8/01/13 | | | | Aaa | | | | 118 | |
| | | | | |
| | 5 | | | Fannie Mae Mortgage Pool 252799 | | | 7.000% | | | | 10/01/14 | | | | Aaa | | | | 5,286 | |
| | | | | |
| | 248 | | | Fannie Mae Mortgage Pool 254169 | | | 6.500% | | | | 12/01/31 | | | | Aaa | | | | 269,305 | |
| | | | | |
| | 147 | | | Fannie Mae Mortgage Pool 254179 | | | 6.000% | | | | 1/01/22 | | | | Aaa | | | | 159,673 | |
| | | | | |
| | 147 | | | Fannie Mae Mortgage Pool 254344 | | | 6.500% | | | | 6/01/22 | | | | Aaa | | | | 163,471 | |
| | | | | |
| | 161 | | | Fannie Mae Mortgage Pool 254373 | | | 6.500% | | | | 7/01/17 | | | | Aaa | | | | 172,956 | |
| | | | | |
| | 151 | | | Fannie Mae Mortgage Pool 254414 | | | 7.000% | | | | 7/01/17 | | | | Aaa | | | | 162,516 | |
| | | | | |
| | 249 | | | Fannie Mae Mortgage Pool 254720 | | | 4.500% | | | | 5/01/18 | | | | Aaa | | | | 264,694 | |
| | | | | |
| | 1,801 | | | Fannie Mae Mortgage Pool 464158 | | | 3.120% | | | | 1/01/15 | | | | Aaa | | | | 1,847,411 | |
| | | | | |
| | 876 | | | Fannie Mae Mortgage Pool 467749 | | | 3.240% | | | | 4/01/16 | | | | Aaa | | | | 920,640 | |
| | | | | |
| | 71 | | | Fannie Mae Mortgage Pool 580516 | | | 5.500% | | | | 4/01/16 | | | | Aaa | | | | 74,523 | |
| | | | | |
| | 177 | | | Fannie Mae Mortgage Pool 596680 | | | 7.000% | | | | 9/01/31 | | | | Aaa | | | | 195,168 | |
| | | | | |
| | 473 | | | Fannie Mae Mortgage Pool 596712 | | | 6.500% | | | | 6/01/32 | | | | Aaa | | | | 515,288 | |
| | | | | |
| | 86 | | | Fannie Mae Mortgage Pool 656269 | | | 6.000% | | | | 8/01/32 | | | | Aaa | | | | 92,691 | |
| | | | | |
| | 70 | | | Fannie Mae Mortgage Pool 673010 | | | 5.500% | | | | 12/01/17 | | | | Aaa | | | | 73,809 | |
| | | | | |
| | 143 | | | Fannie Mae Mortgage Pool 695765 | | | 5.500% | | | | 4/01/18 | | | | Aaa | | | | 151,757 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | |
| | | | | |
| $ | 324 | | | Fannie Mae Mortgage Pool 725793 | | | 5.500% | | | | 9/01/19 | | | | Aaa | | | $ | 343,183 | |
| | | | | |
| | 527 | | | Fannie Mae Mortgage Pool 745101 | | | 6.000% | | | | 4/01/32 | | | | Aaa | | | | 567,746 | |
| | | | | |
| | 473 | | | Fannie Mae Mortgage Pool 819652 | | | 2.665% | | | | 3/01/35 | | | | Aaa | | | | 502,713 | |
| | | | | |
| | 162 | | | Fannie Mae Mortgage Pool 848390 | | | 1.985% | | | | 12/01/35 | | | | Aaa | | | | 170,281 | |
| | | | | |
| | 257 | | | Fannie Mae Mortgage Pool 886034 | | | 2.764% | | | | 7/01/36 | | | | Aaa | | | | 275,057 | |
| | | | | |
| | 235 | | | Fannie Mae Mortgage Pool 887017 | | | 6.500% | | | | 8/01/36 | | | | Aaa | | | | 248,035 | |
| | | | | |
| | 313 | | | Fannie Mae Mortgage Pool 913187 | | | 2.522% | | | | 4/01/37 | | | | Aaa | | | | 334,618 | |
| | | | | |
| | 656 | | | Fannie Mae Mortgage Pool 914224 | | | 2.613% | | | | 3/01/37 | | | | Aaa | | | | 697,829 | |
| | | | | |
| | 525 | | | Fannie Mae Mortgage Pool 928519 | | | 7.000% | | | | 6/01/37 | | | | Aaa | | | | 610,222 | |
| | | | | |
| | 207 | | | Fannie Mae Mortgage Pool 995949 | | | 2.508% | | | | 9/01/36 | | | | Aaa | | | | 219,158 | |
| | | | | |
| | 595 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2013-M3 ASQ2 | | | 1.083% | | | | 2/25/16 | | | | Aaa | | | | 598,213 | |
| | | | | |
| | 425 | | | Fannie Mae REMIC Pass-Through Certificates 2002-W1 2A | | | 6.814% | | | | 2/25/42 | | | | Aaa | | | | 505,791 | |
| | | | | |
| | 520 | | | Fannie Mae REMIC Pass-Through Certificates 2009-M1 A1 | | | 3.400% | | | | 7/25/19 | | | | Aaa | | | | 544,948 | |
| | | | | |
| | 1,165 | | | Fannie Mae REMIC Pass-Through Certificates 2010-M4 A1 | | | 2.520% | | | | 6/25/20 | | | | Aaa | | | | 1,203,623 | |
| | | | | |
| | 1,180 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.500% | | | | TBA | | | | Aaa | | | | 1,197,884 | |
| | | | | |
| | 765 | | | FDIC Structures Sale Guaranteed Notes, Series 2010-S1 | | | 3.250% | | | | 4/25/38 | | | | Aaa | | | | 795,420 | |
| | | | | |
| | 166 | | | FDIC Trust 2001-C1 | | | 1.840% | | | | 4/25/31 | | | | Aaa | | | | 167,173 | |
| | | | | |
| | 282 | | | FDIC Trust 2012-C1 | | | 0.841% | | | | 5/25/35 | | | | Aaa | | | | 282,222 | |
| | | | | |
| | 200 | | | Federal Home Loan Mortgage Corporation, REMIC 2629 BO | | | 3.250% | | | | 3/15/18 | | | | Aaa | | | | 205,287 | |
| | | | | |
| | 798 | | | Freddie Mac Gold Pool C09000 | | | 3.500% | | | | 6/01/42 | | | | Aaa | | | | 809,582 | |
| | | | | |
| | 448 | | | Freddie Mac Gold Pool 1H1396 | | | 2.375% | | | | 5/01/37 | | | | Aaa | | | | 476,359 | |
| | | | | |
| | 692 | | | Freddie Mac Gold Pool 780836 | | | 2.356% | | | | 9/01/33 | | | | Aaa | | | | 726,556 | |
| | | | | |
| | 457 | | | Freddie Mac Gold Pool 848193 | | | 2.682% | | | | 3/01/36 | | | | Aaa | | | | 486,478 | |
| | | | | |
| | 23 | | | Freddie Mac Mortgage Pool, Various C35768 | | | 7.500% | | | | 1/01/30 | | | | Aaa | | | | 25,651 | |
| | | | | |
| | 7 | | | Freddie Mac Mortgage Pool, Various E00746 | | | 7.000% | | | | 9/01/14 | | | | Aaa | | | | 6,829 | |
| | | | | |
| | 2 | | | Freddie Mac Mortgage Pool, Various E72802 | | | 6.000% | | | | 10/01/13 | | | | Aaa | | | | 1,595 | |
| | | | | |
| | 84 | | | Freddie Mac Mortgage Pool, Various G00876 | | | 6.500% | | | | 1/01/28 | | | | Aaa | | | | 95,255 | |
| | | | | |
| | 197 | | | Freddie Mac Mortgage Pool, Various G01244 | | | 6.500% | | | | 3/01/31 | | | | Aaa | | | | 225,969 | |
| | | | | |
| | 591 | | | Freddie Mac Multifamily Structured Pass-Through Certificates Series KF01 | | | 0.548% | | | | 4/25/19 | | | | Aaa | | | | 592,295 | |
| | | | | |
| | 952 | | | Freddie Mac Multifamily Structured Pass-Through Certificates, Series K010 A1 | | | 3.320% | | | | 7/25/20 | | | | Aaa | | | | 1,010,284 | |
| | | | | |
| | 969 | | | Freddie Mac Multifamily Structured Pass-Through Certificates, Series K701 | | | 2.776% | | | | 6/26/17 | | | | Aaa | | | | 1,006,616 | |
| | | | | |
| | 906 | | | Freddie Mac Structured Pass-Through Certificates, Series K008 | | | 2.746% | | | | 12/25/19 | | | | Aaa | | | | 945,319 | |
| | | | | |
| | 460 | | | Freddie Mac Structures Pass-Through Certificates, Series K-501 | | | 1.655% | | | | 11/25/16 | | | | Aaa | | | | 466,650 | |
| | | | | |
| | 657 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2003-1 | | | 6.699% | | | | 3/25/43 | | | | Ba3 | | | | 421,787 | |
| | | | | |
| | 73 | | | Government National Mortgage Association Pool 3120 | | | 6.500% | | | | 8/20/31 | | | | Aaa | | | | 84,031 | |
| | | | | |
| | 37 | | | Government National Mortgage Association Pool 347332 | | | 7.500% | | | | 12/15/22 | | | | Aaa | | | | 38,617 | |
| | | | | |
| | 6 | | | Government National Mortgage Association Pool 455304 | | | 7.000% | | | | 9/15/27 | | | | Aaa | | | | 6,888 | |
| | | | | |
| | 657 | | | Government National Mortgage Association Pool 4946 | | | 4.500% | | | | 2/20/41 | | | | Aaa | | | | 701,319 | |
| | | | | |
| | 107 | | | Government National Mortgage Association Pool 570134 | | | 7.500% | | | | 12/15/31 | | | | Aaa | | | | 122,685 | |
| | | | | |
| | 850 | | | Government National Mortgage Association Pool 633605 | | | 6.000% | | | | 9/15/34 | | | | Aaa | | | | 958,905 | |
| | | | | |
| | 207 | | | Government National Mortgage Association Pool 780825 | | | 6.500% | | | | 7/15/28 | | | | Aaa | | | | 243,262 | |
| | | | | |
| | 22 | | | GRMT Mortgage Loan Trust 2001-1A | | | 8.272% | | | | 7/20/31 | | | | A3 | | | | 21,093 | |
Portfolio of Investments
Nuveen Intermediate Government Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 823 | | | JPMorgan Chase Commercial Mortgage Securities Corporation, Commercial Mortgage Pass-Through Certificates,
Series 2010-C2 A1 | | | 2.749% | | | | 11/15/43 | | | | AAA | | | $ | 849,373 | |
| | | | | |
| | 509 | | | Morgan Stanley Capital I Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C3 A1 | | | 2.178% | | | | 7/16/49 | | | | Aaa | | | | 517,128 | |
| | | | | |
| | 789 | | | National Credit Union Administration Guaranteed Structured Collateral Notes | | | 1.600% | | | | 10/29/20 | | | | Aaa | | | | 799,558 | |
| | | | | |
| | 733 | | | Origen Manufactured Housing Contract Trust Collateralized Notes Series 2005B | | | 5.990% | | | | 1/15/37 | | | | A+ | | | | 769,609 | |
| | | | | |
| | 87 | | | Sequoia Mortgage Trust, Mortgage Pass-Through Certificates, Series 2011-1 | | | 4.125% | | | | 2/25/41 | | | | AAA | | | | 86,722 | |
| | | | | |
| | 88 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2005-10B | | | 4.940% | | | | 8/10/15 | | | | Aaa | | | | 92,415 | |
| | | | | |
| | 143 | | | U.S. Small Business Administration Guaranteed Participating Securities, Participation Certificates Series 2005-P10A | | | 4.638% | | | | 2/10/15 | | | | Aaa | | | | 149,542 | |
| | | | | |
| | 593 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2008-10A | | | 5.902% | | | | 2/01/18 | | | | Aaa | | | | 651,327 | |
| | | | | |
| | 758 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2010-P10A | | | 4.108% | | | | 3/10/20 | | | | Aaa | | | | 816,267 | |
| | | | | |
| | 656 | | | United States Department of Veterans, Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, Series 2011-1 | | | 3.750% | | | | 2/15/35 | | | | Aaa | | | | 695,650 | |
| $ | 35,963 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $36,310,746) | | | | | | | | 37,520,364 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 0.8% | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 500,625 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (6), (7) | | | | | | | | | | | | | | $ | 500,625 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $500,625) | | | | | | | | 500,625 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | | | | Value | |
| | | | SHORT-TERM INVESTMENTS – 2.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 2.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,758,968 | | | First American Treasury Obligations Fund, Class Z | | | 0.000% (6) | | | | | | | | | | | $ | 1,758,968 | |
| | | | Total Short-Term Investments (cost $1,758,968) | | | | | | | | | | | | | | | 1,758,968 | |
| | | | Total Investments (cost $65,517,674) – 102.9% | | | | | | | | | | | | | | | 66,487,662 | |
| | | | Other Assets Less Liabilities – (2.9)% | | | | | | | | | | | | | | | (1,904,393) | |
| | | | Net Assets – 100% | | | | | | | | | | | | | | $ | 64,583,269 | |
Investments in Derivatives as of June 30, 2013
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value* | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 2-Year Note | | | Long | | | | 14 | | | | 9/13 | | | $ | 3,080,000 | | | $ | 1,444 | |
U.S. Treasury 5-Year Note | | | Short | | | | (4 | ) | | | 9/13 | | | | (484,187 | ) | | | (1,338 | ) |
U.S. Treasury 10-Year Note | | | Long | | | | 32 | | | | 9/13 | | | | 4,050,000 | | | | (85,442 | ) |
U.S. Treasury Long Bond | | | Short | | | | (29 | ) | | | 9/13 | | | | (3,939,469 | ) | | | 115,523 | |
| | | | | | | | | | | | | | | $ | 2,706,344 | | | $ | 30,187 | |
| * | Total Notional Amount at Value of Long and Short positions were $7,130,000 and $(4,423,656), respectively. |
| | | | |
| | | | 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. |
| | (2) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (3) | | | Optional Call Provisions (not covered by the report of independent registered public accounting firm): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. |
| | (4) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of securities out on loan as of the end of the reporting period was $483,717. |
| | (5) | | | Principal Amount (000) rounds to less than $1,000. |
| | (6) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (7) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | I/O | | | Interest only security. |
| | P/O | | | Principal only security. |
| | TBA | | | To be announced. Maturity date not known prior to settlement of this transaction. |
| | WI/DD | | | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen Short Term Bond Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | CORPORATE BONDS – 47.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Aerospace & Defense – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 500 | | | Bombardier Inc., 144A | | | 4.250% | | | | 1/15/16 | | | | BB | | | $ | 511,250 | |
| | | | | |
| | 2,000 | | | Bombardier Inc., 144A | | | 7.500% | | | | 3/15/18 | | | | BB | | | | 2,230,000 | |
| | 2,500 | | | Total Aerospace & Defense | | | | | | | | | | | | | | | 2,741,250 | |
| | | | Airlines – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,166 | | | Delta Air Lines | | | 5.300% | | | | 4/15/19 | | | | A | | | | 2,328,586 | |
| | | | | |
| | 2,449 | | | Delta Air Lines Pass-Through Certificates Series 2012-1A | | | 4.750% | | | | 5/07/20 | | | | A | | | | 2,559,520 | |
| | | | | |
| | 1,929 | | | Delta Air Lines Pass-Through Certificates, Series 2012-1B, (3) | | | 6.875% | | | | 5/07/19 | | | | BB+ | | | | 2,035,148 | |
| | | | | |
| | 1,394 | | | US Airways Pass-Through Trust, Pass-Through Certificates, Series 2001 | | | 7.076% | | | | 3/20/21 | | | | BBB– | | | | 1,477,519 | |
| | 7,938 | | | Total Airlines | | | | | | | | | | | | | | | 8,400,773 | |
| | | | Auto Components – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Pittsburgh Glass Works LLC, 144A | | | 8.500% | | | | 4/15/16 | | | | B+ | | | | 1,485,000 | |
| | | | | |
| | 1,000 | | | TRW Automotive Inc., 144A | | | 8.875% | | | | 12/01/17 | | | | BBB– | | | | 1,062,500 | |
| | 2,500 | | | Total Auto Components | | | | | | | | | | | | | | | 2,547,500 | |
| | | | Automobiles – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 400 | | | Chrysler GP/CG Company, (3) | | | 8.000% | | | | 6/15/19 | | | | B1 | | | | 436,500 | |
| | | | | |
| | 2,700 | | | Daimler Finance NA LLC, 144A | | | 1.250% | | | | 1/11/16 | | | | A– | | | | 2,682,404 | |
| | | | | |
| | 2,000 | | | DriveTime Automotive Group Inc, DT Acceptance Corporation, 144A | | | 12.625% | | | | 6/15/17 | | | | B3 | | | | 2,140,000 | |
| | | | | |
| | 1,000 | | | General Motors Financial Company Inc., 144A | | | 4.750% | | | | 8/15/17 | | | | BB | | | | 1,025,000 | |
| | | | | |
| | 1,710 | | | Jaguar Land Rover PLC, 144A | | | 8.125% | | | | 5/15/21 | | | | BB– | | | | 1,881,000 | |
| | | | | |
| | 3,360 | | | Volkswagen International Finance NV, 144A | | | 1.625% | | | | 3/22/15 | | | | A– | | | | 3,399,211 | |
| | 11,170 | | | Total Automobiles | | | | | | | | | | | | | | | 11,564,115 | |
| | | | Beverages – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,235 | | | Anheuser-Busch Companies Inc. | | | 5.050% | | | | 10/15/16 | | | | A | | | | 2,507,771 | |
| | | | | |
| | 1,500 | | | Constellation Brands Inc. | | | 8.375% | | | | 12/15/14 | | | | BB+ | | | | 1,620,000 | |
| | | | | |
| | 2,560 | | | Dr. Pepper Snapple Group Inc. | | | 2.900% | | | | 1/15/16 | | | | Baa1 | | | | 2,665,375 | |
| | | | | |
| | 2,000 | | | Heineken NV, 144A | | | 1.400% | | | | 10/01/17 | | | | BBB+ | | | | 1,943,204 | |
| | | | | |
| | 2,700 | | | SABMiller Holdings Inc., 144A | | | 1.850% | | | | 1/15/15 | | | | BBB+ | | | | 2,739,296 | |
| | 10,995 | | | Total Beverages | | | | | | | | | | | | | | | 11,475,646 | |
| | | | Biotechnology – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Genentech Inc. | | | 4.750% | | | | 7/15/15 | | | | AA | | | | 2,157,654 | |
| | | | | |
| | 1,900 | | | STHI Holding Corporation, 144A | | | 8.000% | | | | 3/15/18 | | | | B | | | | 2,052,000 | |
| | 3,900 | | | Total Biotechnology | | | | | | | | | | | | | | | 4,209,654 | |
| | | | Building Products – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 750 | | | Hanson Limited | | | 6.125% | | | | 8/15/16 | | | | BB+ | | | | 811,875 | |
| | | | | |
| | 2,000 | | | Masco Corporation | | | 6.125% | | | | 10/03/16 | | | | BBB– | | | | 2,160,000 | |
| | 2,750 | | | Total Building Products | | | | | | | | | | | | | | | 2,971,875 | |
| | | | Capital Markets – 2.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | E Trade Financial Corporation | | | 6.750% | | | | 6/01/16 | | | | B2 | | | | 2,055,000 | |
| | | | | |
| | 12,030 | | | Goldman Sachs Group, Inc. | | | 6.250% | | | | 9/01/17 | | | | A | | | | 13,632,444 | |
| | | | | |
| | 2,645 | | | Morgan Stanley | | | 4.100% | | | | 1/26/15 | | | | A | | | | 2,759,174 | |
| | | | | |
| | 5,000 | | | Morgan Stanley | | | 1.750% | | | | 2/25/16 | | | | A | | | | 4,953,345 | |
| | | | | |
| | 2,250 | | | Nomura Holdings Incorporated | | | 2.000% | | | | 9/13/16 | | | | BBB+ | | | | 2,224,892 | |
| | | | | |
| | 582 | | | UBS AG Stamford | | | 3.875% | | | | 1/15/15 | | | | A | | | | 606,559 | |
| | 24,507 | | | Total Capital Markets | | | | | | | | | | | | | | | 26,231,414 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Chemicals – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Dow Chemical Company | | | 2.500% | | | | 2/15/16 | | | | BBB | | | $ | 2,061,308 | |
| | | | | |
| | 2,215 | | | Eastman Chemical Company | | | 2.400% | | | | 6/01/17 | | | | BBB | | | | 2,218,874 | |
| | | | | |
| | 1,875 | | | Potash Corporation of Saskatchewan | | | 3.750% | | | | 9/30/15 | | | | A– | | | | 1,989,334 | |
| | | | | |
| | 2,000 | | | Rhodia SA, 144A | | | 6.875% | | | | 9/15/20 | | | | BBB+ | | | | 2,243,652 | |
| | | | | |
| | 2,750 | | | The Sherwin-Williams Company | | | 1.350% | | | | 12/15/17 | | | | A | | | | 2,675,090 | |
| | 10,840 | | | Total Chemicals | | | | | | | | | | | | | | | 11,188,258 | |
| | | | Commercial Banks – 5.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 5,000 | | | Australia and New Zealand Banking Group Limited, 144A | | | 2.400% | | | | 11/23/16 | | | | Aaa | | | | 5,174,500 | |
| | | | | |
| | 800 | | | Banco do Nordeste do Brasil, 144A | | | 3.625% | | | | 11/09/15 | | | | BBB | | | | 794,560 | |
| | | | | |
| | 3,305 | | | Bank of Nova Scotia | | | 1.375% | | | | 12/18/17 | | | | Aa2 | | | | 3,208,659 | |
| | | | | |
| | 3,615 | | | Barclays Bank PLC | | | 5.000% | | | | 9/22/16 | | | | A | | | | 3,993,783 | |
| | | | | |
| | 2,315 | | | BB&T Corporation | | | 3.200% | | | | 3/15/16 | | | | A+ | | | | 2,426,419 | |
| | | | | |
| | 1,300 | | | BBVA Bancomer SA Texas, 144A, (3) | | | 4.500% | | | | 3/10/16 | | | | A2 | | | | 1,348,750 | |
| | | | | |
| | 2,000 | | | CIT Group Inc., 144A | | | 4.750% | | | | 2/15/15 | | | | BB– | | | | 2,032,500 | |
| | | | | |
| | 2,000 | | | Credit Agricole SA, 144A, (3) | | | 3.000% | | | | 10/01/17 | | | | A+ | | | | 2,025,020 | |
| | | | | |
| | 3,735 | | | Deutsche Bank London | | | 3.250% | | | | 1/11/16 | | | | A+ | | | | 3,910,930 | |
| | | | | |
| | 1,550 | | | Fifth Third Bancorp. | | | 3.625% | | | | 1/25/16 | | | | A– | | | | 1,636,282 | |
| | | | | |
| | 1,500 | | | ING Bank NV, 144A | | | 3.750% | | | | 3/07/17 | | | | A+ | | | | 1,569,960 | |
| | | | | |
| | 2,760 | | | National Australia Bank, 144A | | | 3.000% | | | | 7/27/16 | | | | Aa2 | | | | 2,875,368 | |
| | | | | |
| | 2,000 | | | Nordea Bank AB, 144A | | | 3.125% | | | | 3/20/17 | | | | AA– | | | | 2,058,160 | |
| | | | | |
| | 1,000 | | | Rabobank Nederland Utrec | | | 3.375% | | | | 1/19/17 | | | | Aa2 | | | | 1,050,229 | |
| | | | | |
| | 1,400 | | | Rabobank Nederland | | | 3.200% | | | | 3/11/15 | | | | Aa2 | | | | 1,451,638 | |
| | | | | |
| | 705 | | | Regions Financial Corporation | | | 7.750% | | | | 11/10/14 | | | | BBB– | | | | 761,809 | |
| | | | | |
| | 2,000 | | | Regions Financial Corporation | | | 2.000% | | | | 5/15/18 | | | | BBB– | | | | 1,890,618 | |
| | | | | |
| | 2,000 | | | Royal Bank of Scotland Group PLC | | | 2.550% | | | | 9/18/15 | | | | A | | | | 2,033,518 | |
| | | | | |
| | 2,000 | | | Wells Fargo & Company | | | 1.500% | | | | 7/01/15 | | | | AA– | | | | 2,022,786 | |
| | | | | |
| | 3,755 | | | Wells Fargo & Company | | | 3.676% | | | | 6/15/16 | | | | AA– | | | | 4,011,910 | |
| | 44,740 | | | Total Commercial Banks | | | | | | | | | | | | | | | 46,277,399 | |
| | | | Commercial Services & Supplies – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | | | International Lease Finance Corporation | | | 4.875% | | | | 4/01/15 | | | | BBB– | | | | 3,048,750 | |
| | | | | |
| | 1,815 | | | Waste Management Inc. | | | 2.600% | | | | 9/01/16 | | | | BBB | | | | 1,874,443 | |
| | 4,815 | | | Total Commercial Services & Supplies | | | | | | | | | | | | | | | 4,923,193 | |
| | | | Computers & Peripherals – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,510 | | | Hewlett Packard Company | | | 3.000% | | | | 9/15/16 | | | | A– | | | | 3,604,538 | |
| | | | Construction & Engineering – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | ABB Finance USA Inc. | | | 1.625% | | | | 5/08/17 | | | | A | | | | 993,418 | |
| | | | | |
| | 2,665 | | | Caterpillar Financial Services Corporation | | | 1.100% | | | | 5/29/15 | | | | A | | | | 2,679,471 | |
| | 3,665 | | | Total Construction & Engineering | | | | | | | | | | | | | | | 3,672,889 | |
| | | | Consumer Finance – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 505 | | | Ally Financial Inc. | | | 5.500% | | | | 2/15/17 | | | | BB– | | | | 527,629 | |
| | | | | |
| | 1,635 | | | American Express Credit Corporation | | | 1.750% | | | | 6/12/15 | | | | A+ | | | | 1,657,185 | |
| | | | | |
| | 2,405 | | | American Express Credit Corporation | | | 2.800% | | | | 9/19/16 | | | | A+ | | | | 2,496,922 | |
| | | | | |
| | 2,000 | | | American Honda Finance Limited, 144A | | | 1.450% | | | | 2/27/15 | | | | A+ | | | | 2,020,532 | |
| | | | | |
| | 2,050 | | | Capital One Financial Corporation | | | 6.150% | | | | 9/01/16 | | | | BBB+ | | | | 2,287,620 | |
| | | | | |
| | 1,000 | | | Ford Motor Credit Company | | | 8.000% | | | | 12/15/16 | | | | Baa3 | | | | 1,171,137 | |
| | 9,595 | | | Total Consumer Finance | | | | | | | | | | | | | | | 10,161,025 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Containers & Packaging – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,000 | | | Reynolds Group | | | 7.875% | | | | 8/15/19 | | | | B+ | | | $ | 1,090,000 | |
| | | | Diversified Financial Services – 5.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 12,510 | | | Bank of America Corporation | | | 4.500% | | | | 4/01/15 | | | | A | | | | 13,122,064 | |
| | | | | |
| | 12,390 | | | Citigroup Inc. | | | 4.587% | | | | 12/15/15 | | | | A | | | | 13,231,702 | |
| | | | | |
| | 2,000 | | | Ford Motor Credit Company | | | 2.750% | | | | 5/15/15 | | | | Baa3 | | | | 2,027,980 | |
| | | | | |
| | 9,930 | | | General Electric Capital Corporation | | | 2.300% | | | | 4/27/17 | | | | AA+ | | | | 10,067,133 | |
| | | | | |
| | 1,675 | | | ING Bank NV, 144A, (3) | | | 4.000% | | | | 3/15/16 | | | | A+ | | | | 1,766,857 | |
| | | | | |
| | 4,500 | | | JPMorgan Chase & Company | | | 5.150% | | | | 10/01/15 | | | | A | | | | 4,861,890 | |
| | | | | |
| | 4,500 | | | JPMorgan Chase & Company | | | 3.150% | | | | 7/05/16 | | | | A+ | | | | 4,673,700 | |
| | | | | |
| | 2,970 | | | National Rural Utilities Cooperative Finance Corporation | | | 1.900% | | | | 11/01/15 | | | | A+ | | | | 3,042,257 | |
| | 50,475 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 52,793,583 | |
| | | | Diversified Telecommunication Services – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,195 | | | AT&T, Inc. | | | 0.900% | | | | 2/12/16 | | | | A | | | | 2,178,454 | |
| | | | | |
| | 2,500 | | | British Telecommunications PLC | | | 2.000% | | | | 6/22/15 | | | | BBB | | | | 2,549,018 | |
| | | | | |
| | 2,000 | | | Qwest Corporation, (3) | | | 7.500% | | | | 10/01/14 | | | | BBB– | | | | 2,152,722 | |
| | | | | |
| | 2,500 | | | Verizon Communications, (3) | | | 2.000% | | | | 11/01/16 | | | | A | | | | 2,547,415 | |
| | 9,195 | | | Total Diversified Telecommunication Services | | | | | | | | | | | | | | | 9,427,609 | |
| | | | Electronic Equipment & Instruments – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,410 | | | Tyco Electronics Group, SA | | | 1.600% | | | | 2/03/15 | | | | BBB+ | | | | 1,420,097 | |
| | | | Energy Equipment & Services – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Cameron International Corporation | | | 1.600% | | | | 4/30/15 | | | | BBB+ | | | | 1,006,974 | |
| | | | | |
| | 3,000 | | | Ensco PLC | | | 3.250% | | | | 3/15/16 | | | | BBB+ | | | | 3,134,769 | |
| | | | | |
| | 1,825 | | | Noble Holding International Limited | | | 3.450% | | | | 8/01/15 | | | | A– | | | | 1,892,109 | |
| | | | | |
| | 2,700 | | | Pacific Drilling SA | | | 8.250% | | | | 2/23/15 | | | | N/R | | | | 2,808,000 | |
| | | | | |
| | 3,100 | | | Transocean Inc. | | | 4.950% | | | | 11/15/15 | | | | BBB– | | | | 3,325,032 | |
| | 11,625 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 12,166,884 | |
| | | | Food Products – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Kellogg Company | | | 1.125% | | | | 5/15/15 | | | | BBB+ | | | | 2,008,598 | |
| | | | | |
| | 2,270 | | | Kraft Foods Inc. | | | 6.500% | | | | 8/11/17 | | | | Baa2 | | | | 2,639,216 | |
| | | | | |
| | 3,000 | | | Sara Lee Corporation | | | 2.750% | | | | 9/15/15 | | | | BBB | | | | 3,082,653 | |
| | 7,270 | | | Total Food Products | | | | | | | | | | | | | | | 7,730,467 | |
| | | | Gas Utilities – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,246 | | | Suburban Propane Partners LP, (3) | | | 7.500% | | | | 10/01/18 | | | | BB– | | | | 1,308,300 | |
| | | | Health Care Equipment & Supplies – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Boston Scientific Corporation | | | 6.250% | | | | 11/15/15 | | | | BBB– | | | | 2,213,508 | |
| | | | Health Care Providers & Services – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,560 | | | Covidien International Finance SA | | | 1.350% | | | | 5/29/15 | | | | A | | | | 2,582,090 | |
| | | | | |
| | 3,500 | | | Express Scripts Holding Company, 144A | | | 3.500% | | | | 11/15/16 | | | | BBB+ | | | | 3,715,376 | |
| | | | | |
| | 1,000 | | | HCA Inc. | | | 8.500% | | | | 4/15/19 | | | | BB+ | | | | 1,073,125 | |
| | | | | |
| | 1,500 | | | HealthSouth Corporation | | | 8.125% | | | | 2/15/20 | | | | BB– | | | | 1,623,750 | |
| | | | | |
| | 2,650 | | | Queat Diagnostics Inc. | | | 5.450% | | | | 11/01/15 | | | | BBB+ | | | | 2,892,849 | |
| | | | | |
| | 1,945 | | | UnitedHealth Group Incorporated, (3) | | | 0.850% | | | | 10/15/15 | | | | A | | | | 1,947,536 | |
| | | | | |
| | 1,750 | | | Wellpoint Inc. | | | 1.875% | | | | 1/15/18 | | | | A– | | | | 1,713,502 | |
| | 14,905 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 15,548,228 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Hotels, Restaurants & Leisure – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | CityCenter Holdings Finance | | | 7.625% | | | | 1/15/16 | | | | BB– | | | $ | 2,110,000 | |
| | | | | |
| | 1,750 | | | Wynn Las Vegas LLC Corporation | | | 7.750% | | | | 8/15/20 | | | | BBB– | | | | 1,943,200 | |
| | 3,750 | | | Total Hotels, Restaurants & Leisure | | | | | | | | | | | | | | | 4,053,200 | |
| | | | Independent Power Producers & Energy Traders – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | Calpine Corporation, 144A | | | 7.875% | | | | 7/31/20 | | | | BB+ | | | | 1,356,250 | |
| | | | | |
| | 1,643 | | | RRI Energy Inc. | | | 7.875% | | | | 6/15/17 | | | | B+ | | | | 1,745,688 | |
| | 2,893 | | | Total Independent Power Producers & Energy Traders | | | | | | | | | | | | | | | 3,101,938 | |
| | | | Insurance – 2.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,380 | | | AFLAC Insurance | | | 2.650% | | | | 2/15/17 | | | | A– | | | | 3,460,691 | |
| | | | | |
| | 2,736 | | | Allied World Assurance Holdings Limited | | | 7.500% | | | | 8/01/16 | | | | A– | | | | 3,153,314 | |
| | | | | |
| | 4,945 | | | American International Group, Inc. | | | 4.875% | | | | 9/15/16 | | | | A– | | | | 5,416,580 | |
| | | | | |
| | 2,000 | | | Hartford Financial Services Group Inc. | | | 4.000% | | | | 3/30/15 | | | | BBB | | | | 2,091,172 | |
| | | | | |
| | 2,000 | | | Lincoln National Corporation | | | 4.300% | | | | 6/15/15 | | | | A– | | | | 2,121,042 | |
| | | | | |
| | 3,600 | | | Prudential Covered Trust, 144A | | | 2.997% | | | | 9/30/15 | | | | A | | | | 3,714,912 | |
| | | | | |
| | 1,000 | | | Security Benefit Life Insurance Company, 144A | | | 8.750% | | | | 5/15/16 | | | | BBB | | | | 1,143,186 | |
| | 19,661 | | | Total Insurance | | | | | | | | | | | | | | | 21,100,897 | |
| | | | Internet & Catalog Retail – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,695 | | | Amazon.com Incorporated | | | 1.200% | | | | 11/29/17 | | | | AA– | | | | 2,606,426 | |
| | | | IT Services – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Computer Sciences Corporation, (3) | | | 2.500% | | | | 9/15/15 | | | | BBB | | | | 2,548,848 | |
| | | | Life Sciences Tools & Services – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | Thermo Fischer Scientific Inc. | | | 3.200% | | | | 5/01/15 | | | | Baa1 | | | | 1,290,628 | |
| | | | | |
| | 1,745 | | | Thermo Fischer Scientific Inc. | | | 2.250% | | | | 8/15/16 | | | | Baa1 | | | | 1,770,578 | |
| | 2,995 | | | Total Life Sciences Tools & Services | | | | | | | | | | | | | | | 3,061,206 | |
| | | | Media – 2.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,570 | | | DIRECTV Holdings LLC, (3) | | | 3.550% | | | | 3/15/15 | | | | BBB | | | | 1,629,933 | |
| | | | | |
| | 2,000 | | | DIRECTV Holdings LLC | | | 3.125% | | | | 2/15/16 | | | | BBB | | | | 2,075,520 | |
| | | | | |
| | 2,000 | | | Dish DBS Corporation, 144A | | | 4.250% | | | | 4/01/18 | | | | BB– | | | | 1,960,000 | |
| | | | | |
| | 1,500 | | | LIN Television Corporation | | | 8.375% | | | | 4/15/18 | | | | B | | | | 1,595,625 | |
| | | | | |
| | 4,000 | | | NBC Universal Media LLC | | | 3.650% | | | | 4/30/15 | | | | A– | | | | 4,202,948 | |
| | | | | |
| | 1,000 | | | News America Holdings Inc. | | | 5.300% | | | | 12/15/14 | | | | BBB+ | | | | 1,063,957 | |
| | | | | |
| | 1,000 | | | TCM Sub LLC | | | 3.550% | | | | 1/15/15 | | | | A– | | | | 1,035,872 | |
| | | | | |
| | 1,025 | | | Time Warner Cable Inc. | | | 8.250% | | | | 2/14/14 | | | | BBB | | | | 1,071,977 | |
| | | | | |
| | 1,500 | | | Virgin Media Finance PLC | | | 8.375% | | | | 10/15/19 | | | | B | | | | 1,627,500 | |
| | | | | |
| | 2,140 | | | Vivendi SA | | | 2.400% | | | | 4/10/15 | | | | BBB | | | | 2,177,664 | |
| | 17,735 | | | Total Media | | | | | | | | | | | | | | | 18,440,996 | |
| | | | Metals & Mining – 2.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | APERAM, 144A, (3) | | | 7.375% | | | | 4/01/16 | | | | B+ | | | | 970,000 | |
| | | | | |
| | 3,680 | | | ArcelorMittal, (3) | | | 4.250% | | | | 3/01/16 | | | | BB+ | | | | 3,698,400 | |
| | | | | |
| | 2,500 | | | Cliffs Natural Resources Inc., (3) | | | 3.950% | | | | 1/15/18 | | | | BBB– | | | | 2,388,520 | |
| | | | | |
| | 1,500 | | | Evraz Group S.A., 144A | | | 8.250% | | | | 11/10/15 | | | | BB– | | | | 1,577,895 | |
| | | | | |
| | 2,200 | | | Freeport McMoRan Copper & Gold, Inc. | | | 2.150% | | | | 3/01/17 | | | | BBB | | | | 2,153,338 | |
| | | | | |
| | 1,735 | | | Rio Tinto Finance USA PLC, (3) | | | 1.625% | | | | 8/21/17 | | | | A– | | | | 1,701,665 | |
| | | | | |
| | 2,000 | | | Teck Resources Limited | | | 3.850% | | | | 8/15/17 | | | | BBB | | | | 2,076,124 | |
| | | | | |
| | 2,000 | | | United States Steel Corporation, (3) | | | 6.050% | | | | 6/01/17 | | | | BB– | | | | 2,080,000 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Metals & Mining (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,175 | | | Vale Overseas Limited | | | 6.250% | | | | 1/11/16 | | | | A– | | | $ | 1,295,873 | |
| | | | | |
| | 2,500 | | | Xstrata Finance Canada Limited, 144A, (3) | | | 3.600% | | | | 1/15/17 | | | | BBB | | | | 2,519,590 | |
| | 20,290 | | | Total Metals & Mining | | | | | | | | | | | | | | | 20,461,405 | |
| | | | Multiline Retail – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,397 | | | Federated Retail Holdings Inc., Macy’s Inc., (3) | | | 5.900% | | | | 12/01/16 | | | | BBB | | | | 3,858,839 | |
| | | | Multi-Utilities – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,665 | | | Sempra Energy | | | 2.300% | | | | 4/01/17 | | | | BBB+ | | | | 2,699,197 | |
| | | | Oil, Gas & Consumable Fuels – 4.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,075 | | | Anadarko Petroleum Corporation | | | 5.950% | | | | 9/15/16 | | | | BBB– | | | | 2,327,474 | |
| | | | | |
| | 1,000 | | | Anadarko Petroleum Corporation | | | 6.375% | | | | 9/15/17 | | | | BBB– | | | | 1,149,980 | |
| | | | | |
| | 2,505 | | | BP Capital Markets PLC | | | 2.248% | | | | 11/01/16 | | | | A | | | | 2,565,225 | |
| | | | | |
| | 2,000 | | | CNOOC Finance 2013 Limited | | | 1.125% | | | | 5/09/16 | | | | AA– | | | | 1,967,600 | |
| | | | | |
| | 2,000 | | | Crosstex Energy Finance | | | 8.875% | | | | 2/15/18 | | | | B+ | | | | 2,120,000 | |
| | | | | |
| | 2,000 | | | El Paso Pipeline Partners Operating Company LLC | | | 4.100% | | | | 11/15/15 | | | | BBB– | | | | 2,125,626 | |
| | | | | |
| | 1,500 | | | Kinder Morgan Finance Company ULC, (3) | | | 5.700% | | | | 1/05/16 | | | | BB | | | | 1,606,644 | |
| | | | | |
| | 3,000 | | | Marathon Petroleum Corporation | | | 3.500% | | | | 3/01/16 | | | | BBB | | | | 3,149,136 | |
| | | | | |
| | 1,500 | | | PBF Holding Company LLC | | | 8.250% | | | | 2/15/20 | | | | BB+ | | | | 1,571,250 | |
| | | | | |
| | 2,685 | | | Petrobras International Finance Company | | | 2.875% | | | | 2/06/15 | | | | A3 | | | | 2,709,200 | |
| | | | | |
| | 2,500 | | | Petrohawk Energy Corporation | | | 7.250% | | | | 8/15/18 | | | | A | | | | 2,727,500 | |
| | | | | |
| | 4,345 | | | Phillips 66, (3) | | | 2.950% | | | | 5/01/17 | | | | Baa1 | | | | 4,478,035 | |
| | | | | |
| | 2,000 | | | Regency Energy Partners Finance, (3) | | | 6.500% | | | | 7/15/21 | | | | BB | | | | 2,090,000 | |
| | | | | |
| | 1,852 | | | Sabine Pass LNG LP | | | 7.500% | | | | 11/30/16 | | | | BB+ | | | | 1,993,215 | |
| | | | | |
| | 2,545 | | | Total Capital SA, (3) | | | 2.300% | | | | 3/15/16 | | | | Aa1 | | | | 2,627,776 | |
| | | | | |
| | 2,515 | | | TranCanada Pipelines Limited | | | 0.750% | | | | 1/15/16 | | | | A– | | | | 2,486,575 | |
| | 36,022 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 37,695,236 | |
| | | | Paper & Forest Products – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Sappi Papier Holding GMBH, 144A | | | 8.375% | | | | 6/15/19 | | | | BB | | | | 1,055,000 | |
| | | | Personal Products – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | International Paper Company | | | 7.950% | | | | 6/15/18 | | | | BBB | | | | 2,448,840 | |
| | | | Pharmaceuticals – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | AbbVie Inc., 144A | | | 1.200% | | | | 11/06/15 | | | | A+ | | | | 2,002,198 | |
| | | | | |
| | 3,600 | | | Merck & Company Inc. | | | 2.250% | | | | 1/15/16 | | | | AA | | | | 3,719,221 | |
| | | | | |
| | 2,000 | | | Watson Pharmaceuticals Inc. | | | 1.875% | | | | 10/01/17 | | | | BBB | | | | 1,949,720 | |
| | | | | |
| | 1,000 | | | Zoetis Incorporated, 144A | | | 1.150% | | | | 2/01/16 | | | | Baa2 | | | | 996,603 | |
| | | | | |
| | 1,500 | | | Zoetis Incorporated, 144A | | | 1.875% | | | | 2/01/18 | | | | Baa2 | | | | 1,468,427 | |
| | 10,100 | | | Total Pharmaceuticals | | | | | | | | | | | | | | | 10,136,169 | |
| | | | Real Estate Investment Trust – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | DuPont Fabros Technology LP | | | 8.500% | | | | 12/15/17 | | | | Ba1 | | | | 2,110,000 | |
| | | | | |
| | 1,000 | | | FelCor Lodging LP | | | 6.750% | | | | 6/01/19 | | | | B2 | | | | 1,045,000 | |
| | | | | |
| | 2,000 | | | First Industrial Realty Trust | | | 5.950% | | | | 5/15/17 | | | | BB+ | | | | 2,111,718 | |
| | | | | |
| | 3,395 | | | Health Care REIT Inc. | | | 3.625% | | | | 3/15/16 | | | | BBB | | | | 3,559,868 | |
| | | | | |
| | 2,000 | | | Omega Healthcare Investors Inc. | | | 6.750% | | | | 10/15/22 | | | | BBB– | | | | 2,130,000 | |
| | | | | |
| | 2,000 | | | Simon Property Group, L.P. | | | 4.200% | | | | 2/01/15 | | | | A | | | | 2,083,350 | |
| | | | | |
| | 2,000 | | | Ventas Realty LP | | | 3.125% | | | | 11/30/15 | | | | BBB+ | | | | 2,092,954 | |
| | 14,395 | | | Total Real Estate Investment Trust | | | | | | | | | | | | | | | 15,132,890 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Road & Rail – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,655 | | | Asciano Finance Limited, 144A | | | 3.125% | | | | 9/23/15 | | | | Baa2 | | | $ | 2,713,025 | |
| | | | | |
| | 2,000 | | | Avis Budget Car Rental, (3) | | | 8.250% | | | | 1/15/19 | | | | BB– | | | | 2,175,000 | |
| | 4,655 | | | Total Road & Rail | | | | | | | | | | | | | | | 4,888,025 | |
| | | | Semiconductors & Equipment – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Freescale Semiconductor Inc. | | | 9.250% | | | | 4/15/18 | | | | B1 | | | | 2,155,000 | |
| | | | | |
| | 1,000 | | | National Semiconductor Corporation | | | 3.950% | | | | 4/15/15 | | | | A+ | | | | 1,056,900 | |
| | | | | |
| | 1,000 | | | NXP BV, 144A, (3) | | | 3.750% | | | | 6/01/18 | | | | B+ | | | | 980,000 | |
| | 4,000 | | | Total Semiconductors & Equipment | | | | | | | | | | | | | | | 4,191,900 | |
| | | | Tobacco – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | BAT International Finance PLC, 144A | | | 2.125% | | | | 6/07/17 | | | | A– | | | | 2,005,940 | |
| | | | | |
| | 3,000 | | | Lorillard Tobacco | | | 2.300% | | | | 8/21/17 | | | | Baa2 | | | | 2,962,272 | |
| | | | | |
| | 1,860 | | | Reynolds American Inc. | | | 1.050% | | | | 10/30/15 | | | | Baa2 | | | | 1,859,477 | |
| | 6,860 | | | Total Tobacco | | | | | | | | | | | | | | | 6,827,689 | |
| | | | Trading Companies & Distributors – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | GATX Corporation | | | 4.750% | | | | 5/15/15 | | | | BBB | | | | 1,051,774 | |
| | | | Transportation Infrastructure – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | Penske Truck Leasing, 144A | | | 3.125% | | | | 5/11/15 | | | | BBB+ | | | | 2,066,602 | |
| | | | Wireless Telecommunication Services – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,000 | | | America Movil S.A. de C.V. | | | 2.375% | | | | 9/08/16 | | | | A2 | | | | 2,026,418 | |
| | | | | |
| | 2,000 | | | Crown Castle Towers LLC | | | 4.523% | | | | 1/15/15 | | | | A2 | | | | 2,093,386 | |
| | | | | |
| | 2,170 | | | Deutsche Telekom International Finance BV | | | 5.750% | | | | 3/23/16 | | | | BBB+ | | | | 2,412,316 | |
| | 6,170 | | | Total Wireless Telecommunication Services | | | | | | | | | | | | | | | 6,532,120 | |
| $ | 409,334 | | | Total Corporate Bonds (cost $424,246,081) | | | | | | | | | | | | | | | 427,627,402 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | CONVERTIBLE BONDS – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Leisure Equipment & Products – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 2,000 | | | Hasbro Inc. | | | 6.300% | | | | 9/15/17 | | | | BBB+ | | | $ | 2,283,750 | |
| $ | 2,000 | | | Total Convertible Bonds (cost $2,281,350) | | | | | | | | | | | | | | | 2,283,750 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (4) | | | Ratings (2) | | | Value | |
| | | | MUNICIPAL BONDS – 3.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Arizona – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Phoenix Civic Improvement Corporation, Arizona, Excise Tax Revenue Bonds, Taxable Series 2011: | | | | | | | | | | | | | | | | |
| $ | 2,800 | | | 2.302%, 7/01/14 | | | | | | | No Opt. Call | | | | AA | | | $ | 2,830,240 | |
| | 2,000 | | | 2.828%, 7/01/15 | | | | | | | No Opt. Call | | | | AA | | | | 2,055,080 | |
| | 4,800 | | | Total Arizona | | | | | | | | | | | | | | | 4,885,320 | |
| | | | California – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,015 | | | California State, General Obligation Bonds, Various Purpose Build America Taxable Bond Series 2010, 5.750%, 3/01/17 | | | | | | | No Opt. Call | | | | A1 | | | | 1,153,375 | |
| | | | | |
| | 2,640 | | | San Francisco Airports Commission, California, Revenue Bonds, San Francisco International Airport, Refunding Taxable Second Series 2011E, 2.021%, 5/01/14 | | | | | | | No Opt. Call | | | | A+ | | | | 2,660,011 | |
| | 3,655 | | | Total California | | | | | | | | | | | | | | | 3,813,386 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (4) | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Guam – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Government of Guam, Business Privilege Tax Bonds, Taxable Series 2012B-2: | | | | | | | | | | | | | | | | |
| $ | 1,155 | | | 2.933%, 1/01/17 | | | | | | | No Opt. Call | | | | A | | | $ | 1,130,075 | |
| | 1,190 | | | 3.301%, 1/01/18 | | | | | | | No Opt. Call | | | | A | | | | 1,155,276 | |
| | 2,345 | | | Total Guam | | | | | | | | | | | | | | | 2,285,351 | |
| | | | Massachusetts – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Massachusetts Port Authority, Special Facilities Revenue Bonds, ConRac Project Series 3011B: | | | | | | | | | | | | | | | | |
| | 3,260 | | | 1.910%, 7/01/14 | | | | | | | No Opt. Call | | | | A | | | | 3,271,084 | |
| | 400 | | | 3.230%, 7/01/15 | | | | | | | No Opt. Call | | | | A | | | | 411,192 | |
| | 3,660 | | | Total Massachusetts | | | | | | | | | | | | | | | 3,682,276 | |
| | | | Michigan – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 870 | | | Wayne County, Michigan, General Obligation Bonds, Taxable Notes Series 2011, 5.000%, 9/15/13 | | | | | | | No Opt. Call | | | | BBB | | | | 870,505 | |
| | | | Minnesota – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 4,000 | | | Tobacco Securitization Authority, Minnesota, Tobacco Settlement Revenue Bonds, Taxable Series 2011A,
2.643%, 3/01/14 | | | | | | | No Opt. Call | | | | AA+ | | | | 4,045,080 | |
| | | | Nevada – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,500 | | | Las Vegas Valley Water District, Nevada, General Obligation Bonds, Refunding Taxable Series 2011B, 3.176%, 6/01/17 | | | | | | | No Opt. Call | | | | AA+ | | | | 2,600,400 | |
| | | | Ohio – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,470 | | | Ohio State, General Obligation Bonds, Higher Education, Build America Bond Series 2010E, 3.328%, 8/01/17 – AGM Insured | | | | | | | No Opt. Call | | | | AA+ | | | | 1,548,880 | |
| | | | Pennsylvania – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Allentown Neighborhood Improvement Zone Development Authority, Pennsylvania, Tax Revenue Bonds, Taxable Series 2012B, 4.120%, 5/01/16 | | | | | | | No Opt. Call | | | | Baa2 | | | | 1,540,095 | |
| | | | Texas – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Dallas Fort Worth International Airport Facility Improvement Corporation, Texas, Learjet Inc. Project, Revenue Bonds, Series 2001-A1, 6.150%, 1/01/16 (Alternative Minimum Tax) | | | | | | | 7/13 at 100.00 | | | | Ba2 | | | | 1,487,475 | |
| | | | | |
| | 5,000 | | | Dallas-Fort Worth International Airport, Texas, Joint Revenue Bonds, Refunding Taxable Series 2011E, 1.770%, 11/01/14 | | | | | | | No Opt. Call | | | | A+ | | | | 5,044,150 | |
| | 6,500 | | | Total Texas | | | | | | | | | | | | | | | 6,531,625 | |
| $ | 31,300 | | | Total Municipal Bonds (cost $31,504,409) | | | | | | | | | | | | | | | 31,802,918 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 3.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 5,000 | | | Fannie Mae Notes | | | 0.500% | | | | 3/30/16 | | | | Aaa | | | $ | 4,971,980 | |
| | | | | |
| | 15,000 | | | Federal Home Loan Bank Bonds | | | 1.375% | | | | 5/28/14 | | | | Aaa | | | | 15,157,110 | |
| | | | | |
| | 380 | | | U.S. Treasury Notes | | | 1.875% | | | | 2/28/14 | | | | Aaa | | | | 384,349 | |
| | | | | |
| | 900 | | | U.S. Treasury Notes | | | 0.250% | | | | 1/31/15 | | | | Aaa | | | | 899,825 | |
| | | | | |
| | 10,000 | | | U.S. Treasury Notes | | | 0.875% | | | | 1/31/17 | | | | Aaa | | | | 9,984,380 | |
| | | | | |
| | 55 | | | U.S. Treasury Securities, STRIPS (I/O) | | | 0.000% | | | | 5/15/14 | | | | Aaa | | | | 54,931 | |
| $ | 31,335 | | | Total U.S. Government and Agency Obligations (cost $31,421,740) | | | | | | | | | | | | 31,452,575 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 47.7% | | | | | | | | | |
| | | | | |
| $ | 1,185 | | | Ally Auto Receivables Trust, Asset Backed Notes, Series 2010-1 | | | 2.300% | | | | 12/15/14 | | | | AAA | | | $ | 1,188,957 | |
| | | | | |
| | 2,500 | | | American Express Credit Card Trust 2012-2 A | | | 0.680% | | | | 3/15/18 | | | | AAA | | | | 2,496,230 | |
| | | | | |
| | 5,170 | | | American Tower Company, 144A | | | 1.551% | | | | 3/15/43 | | | | Aaa | | | | 5,080,440 | |
| | | | | |
| | 4,770 | | | AmeriCold LLC Trust, Series 2010 | | | 2.500% | | | | 1/17/29 | | | | AAA | | | | 4,717,105 | |
| | | | | |
| | 1,050 | | | AmeriCredit Automobile Receivables Trust, Series 2010-4 | | | 1.990% | | | | 10/08/15 | | | | Aaa | | | | 1,053,875 | |
| | | | | |
| | 39 | | | Ameriquest Mortgage Securities Inc., Asset-Backed Pass-Through Certificates, Series 2005-R9 | | | 0.423% | | | | 11/25/35 | | | | AA+ | | | | 38,746 | |
| | | | | |
| | 763 | | | Amortizing Residential Collateral Trust Series 2002-BC4 M1 | | | 1.243% | | | | 7/25/32 | | | | BBB+ | | | | 711,568 | |
| | | | | |
| | 850 | | | Bank of America Commercial Mortgage Inc., Commercial Mortgage Pass-Through Certificates, Series 2005-4 | | | 4.933% | | | | 7/10/45 | | | | AAA | | | | 905,977 | |
| | | | | |
| | 2,684 | | | Bayview Opportunity Master Fund Trust IIB, Series 2012-4NPL | | | 3.475% | | | | 7/28/32 | | | | N/R | | | | 2,690,637 | |
| | | | | |
| | 3,519 | | | Bayview Opportunity Master Fund Trust, 2013-8NPL | | | 3.228% | | | | 3/28/33 | | | | N/R | | | | 3,508,718 | |
| | | | | |
| | 4,970 | | | Cabela’s Master Credit Card Trust, Series 2010-1A | | | 1.643% | | | | 1/15/18 | | | | AAA | | | | 5,051,642 | |
| | | | | |
| | 4,290 | | | Cabela’s Master Credit Card Trust, Series 2010-2A | | | 2.290% | | | | 9/15/18 | | | | AAA | | | | 4,412,424 | |
| | | | | |
| | 3,000 | | | Cabela’s Master Credit Card Trust, Series 2011-A2, 144A | | | 0.723% | | | | 2/18/20 | | | | AAA | | | | 2,998,416 | |
| | | | | |
| | 3,439 | | | CAM Mortgage Trust 2013-1 | | | 3.967% | | | | 11/25/57 | | | | N/R | | | | 3,395,821 | |
| | | | | |
| | 3,000 | | | Capital One Multi-Asset Execution Trust, Cards Series 2006-A11 A11 | | | 0.283% | | | | 6/15/19 | | | | AAA | | | | 2,977,521 | |
| | | | | |
| | 5,856 | | | CarFinance Capital Auto Trust, Automobile Receivables-Backed Notes, Series 2013-1, 144A | | | 1.650% | | | | 7/17/17 | | | | A3 | | | | 5,837,058 | |
| | | | | |
| | 575 | | | CarMax Auto Owner Trust 2010-3 | | | 2.000% | | | | 5/16/16 | | | | Aaa | | | | 583,662 | |
| | | | | |
| | 286 | | | Carmax Auto Owners Trust Series 2013-1 A1 | | | 0.200% | | | | 2/17/14 | | | | A-1+ | | | | 285,541 | |
| | | | | |
| | 141 | | | CarNow Auto Receivables Trust 2012-1A | | | 2.090% | | | | 1/15/15 | | | | AA | | | | 141,339 | |
| | | | | |
| | 4,000 | | | CarNow Auto Receivables Trust 2013-1A | | | 1.160% | | | | 10/16/17 | | | | AA | | | | 3,996,172 | |
| | | | | |
| | 3,143 | | | CenterPoint Energy Restoration Bond Company LLC, Senior Secured System Restoration Bonds, Series 2009-1 | | | 1.833% | | | | 2/15/16 | | | | AAA | | | | 3,178,157 | |
| | | | | |
| | 2,955 | | | Centerpoint Energy Transition Bond Company LLC | | | 0.901% | | | | 4/15/18 | | | | AAA | | | | 2,956,580 | |
| | | | | |
| | 605 | | | Citicorp Mortgage Securities I, REMIC Pass-Through Certificates,
Series 2007-9 | | | 5.500% | | | | 12/25/22 | | | | Ba3 | | | | 610,898 | |
| | | | | |
| | 877 | | | Citicorp Mortgage Securities Inc., REMIC Pass-Through Certificates, Series 2006-1 5A1 | | | 5.500% | | | | 2/25/26 | | | | Caa1 | | | | 897,174 | |
| | | | | |
| | 6,500 | | | Citigroup Commercial Mortgage Trust Series 2012-GC8 | | | 1.813% | | | | 9/12/45 | | | | Aaa | | | | 6,486,493 | |
| | | | | |
| | 3,250 | | | Citigroup Mortgage Loan Trust Inc., Mortgage Pass-Through Certificates, Series 2010-10 | | | 4.778% | | | | 12/27/32 | | | | BBB– | | | | 3,231,932 | |
| | | | | |
| | 1,865 | | | Countrywide ABS Asset-Backed Certificate Trust 2007-9 | | | 0.323% | | | | 6/25/47 | | | | B– | | | | 1,836,943 | |
| | | | | |
| | 884 | | | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2006-19CB | | | 6.000% | | | | 8/25/36 | | | | Caa3 | | | | 752,207 | |
| | | | | |
| | 4,250 | | | Countrywide Asset Backed Certificates, Series 2007-4 A2 | | | 5.530% | | | | 3/25/29 | | | | Caa1 | | | | 3,959,870 | |
| | | | | |
| | 391 | | | Countrywide Asset-Backed Certificates Trust, Series 2005-16 2AF2 | | | 5.189% | | | | 2/25/30 | | | | Caa3 | | | | 384,718 | |
| | | | | |
| | 822 | | | Countrywide Asset-Backed Certificates Trust, Series 2006-25 | | | 0.313% | | | | 6/25/47 | | | | AAA | | | | 816,564 | |
| | | | | |
| | 233 | | | Countrywide Home Loan Mortgage Pass-Through Trust, Series 2004-2 | | | 2.762% | | | | 2/25/34 | | | | A | | | | 216,639 | |
| | | | | |
| | 2,411 | | | Countrywide Home Loans, Asset Backed Certificates Series 2007-7 | | | 0.353% | | | | 10/25/47 | | | | AAA | | | | 2,349,685 | |
| | | | | |
| | 5,000 | | | Credit Suisse Commercial Mortgage Trust 2013-IVR4 | | | 3.000% | | | | 7/25/43 | | | | AAA | | | | 4,964,060 | |
| | | | | |
| | 695 | | | Credit Suisse First Boston Mortgage Securities Corporation, Mortgage-Backed Pass-Through Certificates, Series 2003-23 | | | 5.750% | | | | 9/25/33 | | | | AA+ | | | | 732,278 | |
| | | | | |
| | 788 | | | CS First Boston Mortgage Securities Corporation, Commercial Mortgage Pass- Through Certificates, Series 2004-C1 | | | 4.750% | | | | 1/15/37 | | | | AAA | | | | 794,718 | |
| | | | | |
| | 2,405 | | | DBUBS Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-LC3A | | | 3.642% | | | | 8/12/44 | | | | Aaa | | | | 2,539,300 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | |
| | | | | |
| $ | 700 | | | Developers Diversified Realty Corporation, Commercial Mortgage Pass-Through Certificates Series 2009-DDR1 | | | 5.730% | | | | 10/17/22 | | | | AAA | | | $ | 730,655 | |
| | | | | |
| | 4,000 | | | Discover Card Master Trust Series 2013-A1 | | | 0.493% | | | | 8/17/20 | | | | AAA | | | | 3,951,412 | |
| | | | | |
| | 1,710 | | | Entergy Arkansas Restoration Funding LLC, Senior Secured Storm Recovery Bonds, Series 2010-A | | | 2.300% | | | | 8/01/21 | | | | AAA | | | | 1,754,252 | |
| | | | | |
| | 4,221 | | | Entergy Louisiana Investment Recovery Funding LLC, Series 2011-A | | | 2.040% | | | | 9/01/23 | | | | AAA | | | | 4,255,228 | |
| | | | | |
| | 2,271 | | | Entergy Texas Restoration Funding LLC | | | 2.120% | | | | 2/01/16 | | | | AAA | | | | 2,297,267 | |
| | | | | |
| | 74 | | | Equivantage Acceptance Corporation, Home Equity Loan Asset-Backed Certificates, Series 1996-4 | | | 7.250% | | | | 1/25/28 | | | | BB+ | | | | 73,744 | |
| | | | | |
| | 2,215 | | | Extended Stay America Trust 2013-ESFL | | | 0.994% | | | | 12/05/31 | | | | AAA | | | | 2,209,144 | |
| | | | | |
| | 4,435 | | | Extended Stay America Trust 2013-ESFL | | | 0.894% | | | | 12/05/31 | | | | AAA | | | | 4,412,710 | |
| | | | | |
| | 1,765 | | | Fannie Mae Mortgage Interest Strips 366 25 (I/O) | | | 5.000% | | | | 9/01/24 | | | | Aaa | | | | 154,353 | |
| | | | | |
| | 1,671 | | | Fannie Mae Mortgage Pool AD0486 | | | 2.352% | | | | 4/01/34 | | | | Aaa | | | | 1,774,017 | |
| | | | | |
| | 1,188 | | | Fannie Mae Mortgage Pool AD0550 | | | 2.577% | | | | 8/01/37 | | | | Aaa | | | | 1,262,405 | |
| | | | | |
| | 1,275 | | | Fannie Mae Mortgage Pool AD0706 | | | 2.302% | | | | 3/01/38 | | | | Aaa | | | | 1,354,790 | |
| | | | | |
| | 2,082 | | | Fannie Mae Mortgage Pool AE0058 | | | 2.358% | | | | 7/01/36 | | | | Aaa | | | | 2,210,465 | |
| | | | | |
| | 6,189 | | | Fannie Mae Mortgage Pool AL2720 | | | 3.000% | | | | 11/01/27 | | | | Aaa | | | | 6,373,902 | |
| | | | | |
| | 6,472 | | | Fannie Mae Mortgage Pool AO9636 | | | 2.500% | | | | 7/01/27 | | | | Aaa | | | | 6,520,135 | |
| | | | | |
| | 2,723 | | | Fannie Mae Mortgage Pool MA0771 | | | 3.500% | | | | 6/01/21 | | | | Aaa | | | | 2,846,900 | |
| | | | | |
| | 55 | | | Fannie Mae Mortgage Pool 255039 | | | 4.000% | | | | 12/01/13 | | | | Aaa | | | | 58,166 | |
| | | | | |
| | 253 | | | Fannie Mae Mortgage Pool 433988 | | | 2.217% | | | | 11/01/25 | | | | Aaa | | | | 260,764 | |
| | | | | |
| | 803 | | | Fannie Mae Mortgage Pool 535363 | | | 5.073% | | | | 12/01/31 | | | | Aaa | | | | 867,214 | |
| | | | | |
| | 98 | | | Fannie Mae Mortgage Pool 545717 | | | 2.176% | | | | 5/01/32 | | | | Aaa | | | | 104,515 | |
| | | | | |
| | 10 | | | Fannie Mae Mortgage Pool 545791 | | | 2.360% | | | | 3/01/32 | | | | Aaa | | | | 10,923 | |
| | | | | |
| | 147 | | | Fannie Mae Mortgage Pool 555369 | | | 2.355% | | | | 8/01/36 | | | | Aaa | | | | 155,922 | |
| | | | | |
| | 158 | | | Fannie Mae Mortgage Pool 625338 | | | 2.225% | | | | 6/01/31 | | | | Aaa | | | | 168,110 | |
| | | | | |
| | 125 | | | Fannie Mae Mortgage Pool 634948 | | | 2.415% | | | | 5/01/32 | | | | Aaa | | | | 126,587 | |
| | | | | |
| | 25 | | | Fannie Mae Mortgage Pool 661645 | | | 2.596% | | | | 10/01/32 | | | | Aaa | | | | 25,889 | |
| | | | | |
| | 171 | | | Fannie Mae Mortgage Pool 671884 | | | 2.630% | | | | 12/01/32 | | | | Aaa | | | | 172,905 | |
| | | | | |
| | 1,598 | | | Fannie Mae Mortgage Pool 725721 | | | 2.510% | | | | 6/01/34 | | | | Aaa | | | | 1,692,239 | |
| | | | | |
| | 1,004 | | | Fannie Mae Mortgage Pool 745922 | | | 2.676% | | | | 7/01/35 | | | | Aaa | | | | 1,066,285 | |
| | | | | |
| | 134 | | | Fannie Mae Mortgage Pool 775389 | | | 2.258% | | | | 4/01/34 | | | | Aaa | | | | 135,557 | |
| | | | | |
| | 1,302 | | | Fannie Mae Mortgage Pool 795242 | | | 2.040% | | | | 7/01/34 | | | | Aaa | | | | 1,377,940 | |
| | | | | |
| | 1,087 | | | Fannie Mae Mortgage Pool 797182 | | | 2.323% | | | | 11/01/34 | | | | Aaa | | | | 1,139,993 | |
| | | | | |
| | 2,125 | | | Fannie Mae Mortgage Pool 819652 | | | 2.665% | | | | 3/01/35 | | | | Aaa | | | | 2,259,457 | |
| | | | | |
| | 104 | | | Fannie Mae Mortgage Pool 838948 | | | 1.939% | | | | 8/01/35 | | | | Aaa | | | | 109,365 | |
| | | | | |
| | 847 | | | Fannie Mae Mortgage Pool 838958 | | | 2.368% | | | | 8/01/35 | | | | Aaa | | | | 900,591 | |
| | | | | |
| | 1,149 | | | Fannie Mae Mortgage Pool 841068 | | | 2.492% | | | | 11/01/34 | | | | Aaa | | | | 1,236,657 | |
| | | | | |
| | 433 | | | Fannie Mae Mortgage Pool 848390 | | | 1.985% | | | | 12/01/35 | | | | Aaa | | | | 454,083 | |
| | | | | |
| | 528 | | | Fannie Mae Mortgage Pool 886034 | | | 2.764% | | | | 7/01/36 | | | | Aaa | | | | 565,117 | |
| | | | | |
| | 517 | | | Fannie Mae Mortgage Pool 995949 | | | 2.508% | | | | 9/01/36 | | | | Aaa | | | | 547,896 | |
| | | | | |
| | 1,602 | | | Fannie Mae Multifamily REMIC Trust 2010-M6, Guaranteed Pass-Through Certificates 2010-M6 A1 | | | 2.210% | | | | 9/25/20 | | | | Aaa | | | | 1,640,267 | |
| | | | | |
| | 8,222 | | | Fannie Mae Multifamily REMIC Trust 2011-M3, Guaranteed Pass-Through Certificates 2011-M3 A1 | | | 2.072% | | | | 7/25/21 | | | | Aaa | | | | 8,407,494 | |
| | | | | |
| | 2,890 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2013-M3 ASQ2 | | | 1.083% | | | | 2/25/16 | | | | Aaa | | | | 2,905,606 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | |
| | | | | |
| $ | 34 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1992-150 MA | | | 5.500% | | | | 9/25/22 | | | | Aaa | | | $ | 37,179 | |
| | | | | |
| | 247 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2003-122 AJ | | | 4.500% | | | | 2/25/28 | | | | Aaa | | | | 247,508 | |
| | | | | |
| | 553 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2004-90 GA | | | 4.350% | | | | 3/25/34 | | | | Aaa | | | | 565,471 | |
| | | | | |
| | 1,299 | | | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2004-90 GF | | | 0.493% | | | | 11/25/34 | | | | Aaa | | | | 1,301,569 | |
| | | | | |
| | 1,084 | | | Fannie Mae REMIC Pass-Through Certificates 2010-M1 A1 | | | 3.305% | | | | 9/25/19 | | | | Aaa | | | | 1,132,205 | |
| | | | | |
| | 1,553 | | | Fannie Mae REMIC Pass-Through Certificates 2011-6 BA | | | 2.750% | | | | 6/25/20 | | | | Aaa | | | | 1,610,122 | |
| | | | | |
| | 10,000 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 3.000% | | | | TBA | | | | Aaa | | | | 10,285,938 | |
| | | | | |
| | 15,000 | | | Fannie Mae TBA Mortgage Pool, (WI/DD) | | | 2.500% | | | | TBA | | | | Aaa | | | | 15,086,718 | |
| | | | | |
| | 3,005 | | | FDIC Structures Sale Guaranteed Notes, Series 2010-S1 | | | 3.250% | | | | 4/25/38 | | | | Aaa | | | | 3,125,267 | |
| | | | | |
| | 1,970 | | | FDIC Structures Sale Guaranteed Notes, Series 2010-S1 | | | 0.744% | | | | 2/25/48 | | | | Aaa | | | | 1,967,329 | |
| | | | | |
| | 1,507 | | | FDIC Trust 2001-C1 | | | 1.840% | | | | 4/25/31 | | | | Aaa | | | | 1,521,439 | |
| | | | | |
| | 2,819 | | | FDIC Trust 2012-C1 | | | 0.841% | | | | 5/25/35 | | | | Aaa | | | | 2,822,221 | |
| | | | | |
| | 12 | | | Federal Home Loan Mortgage Corporation, REMIC 1022 J | | | 6.000% | | | | 12/15/20 | | | | Aaa | | | | 12,848 | |
| | | | | |
| | 766 | | | Federal Home Loan Mortgage Corporation, REMIC 2629 BO | | | 3.250% | | | | 3/15/18 | | | | Aaa | | | | 785,224 | |
| | | | | |
| | 2,500 | | | Fifth Third Auto Trust, Series 2013 A B | | | 1.210% | | | | 4/15/19 | | | | A | | | | 2,461,973 | |
| | | | | |
| | 710 | | | Ford Credit Auto Owner Trust 10A | | | 2.930% | | | | 11/15/15 | | | | AAA | | | | 727,031 | |
| | | | | |
| | 1,480 | | | Ford Credit Floorplan Master Owner Trust Series 2010-3 | | | 4.200% | | | | 2/15/17 | | | | AAA | | | | 1,557,941 | |
| | | | | |
| | 3,230 | | | Fosse Master Issuer PLC, Residential Mortgage Pool, Series 2011-1A | | | 1.677% | | | | 10/19/54 | | | | AAA | | | | 3,261,149 | |
| | | | | |
| | 463 | | | Freddie Mac Gold Pool 780456 | | | 2.347% | | | | 5/01/33 | | | | Aaa | | | | 493,160 | |
| | | | | |
| | 989 | | | Freddie Mac Gold Pool 780911 | | | 2.414% | | | | 10/01/33 | | | | Aaa | | | | 1,052,665 | |
| | | | | |
| | 1,024 | | | Freddie Mac Gold Pool 781296 | | | 2.362% | | | | 3/01/34 | | | | Aaa | | | | 1,085,157 | |
| | | | | |
| | 236 | | | Freddie Mac Gold Pool 786591 | | | 2.482% | | | | 12/01/26 | | | | Aaa | | | | 252,606 | |
| | | | | |
| | 140 | | | Freddie Mac Gold Pool 786853 | | | 2.260% | | | | 10/01/29 | | | | Aaa | | | | 147,235 | |
| | | | | |
| | 201 | | | Freddie Mac Gold Pool 846946 | | | 2.353% | | | | 1/01/29 | | | | Aaa | | | | 214,092 | |
| | | | | |
| | 81 | | | Freddie Mac Gold Pool 847014 | | | 1.994% | | | | 5/01/30 | | | | Aaa | | | | 82,352 | |
| | | | | |
| | 118 | | | Freddie Mac Gold Pool 847063 | | | 2.481% | | | | 10/01/32 | | | | Aaa | | | | 126,249 | |
| | | | | |
| | 941 | | | Freddie Mac Gold Pool 847241 | | | 2.308% | | | | 10/01/30 | | | | Aaa | | | | 1,001,218 | |
| | | | | |
| | 1,728 | | | Freddie Mac Gold Pool 847331 | | | 2.252% | | | | 8/01/32 | | | | Aaa | | | | 1,831,959 | |
| | | | | |
| | 105 | | | Freddie Mac Gold Pool 847367 | | | 2.194% | | | | 6/01/31 | | | | Aaa | | | | 110,785 | |
| | | | | |
| | 574 | | | Freddie Mac Gold Pool 847652 | | | 2.308% | | | | 9/01/32 | | | | Aaa | | | | 600,043 | |
| | | | | |
| | 1,840 | | | Freddie Mac Gold Pool 848193 | | | 2.682% | | | | 3/01/36 | | | | Aaa | | | | 1,956,013 | |
| | | | | |
| | 1,976 | | | Freddie Mac Gold Pool 848282 | | | 2.425% | | | | 6/01/38 | | | | Aaa | | | | 2,094,237 | |
| | | | | |
| | 225 | | | Freddie Mac Gold Pool 972055 | | | 3.772% | | | | 4/01/30 | | | | Aaa | | | | 240,107 | |
| | | | | |
| | 226 | | | Freddie Mac Mortgage Pool, Various M30035 | | | 4.500% | | | | 4/01/22 | | | | Aaa | | | | 234,872 | |
| | | | | |
| | 1,248 | | | Freddie Mac Multi-Class Certificates 3780 FE | | | 0.593% | | | | 12/15/20 | | | | Aaa | | | | 1,256,177 | |
| | | | | |
| | 675 | | | Freddie Mac Non Gold Participation Certificates 1L1462 | | | 2.291% | | | | 8/01/36 | | | | Aaa | | | | 710,046 | |
| | | | | |
| | 6,998 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2001-ALF | | | 2.716% | | | | 2/12/21 | | | | AAA | | | | 7,059,427 | |
| | | | | |
| | 15,000 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2007-GG10, (3) | | | 5.982% | | | | 8/10/45 | | | | A | | | | 16,715,370 | |
| | | | | |
| | 5,211 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2010-C1 | | | 3.679% | | | | 8/12/43 | | | | Aaa | | | | 5,521,540 | |
| | | | | |
| | 5,000 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2011-GC3 | | | 3.645% | | | | 3/11/44 | | | | Aaa | | | | 5,274,795 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | |
| | | | | |
| $ | 2,130 | | | Goldman Sachs Mortgage Securities Corporation, Commercial Mortgage Pass- Through Certificates, Series 2011-GC5 | | | 2.999% | | | | 8/10/44 | | | | Aaa | | | $ | 2,218,472 | |
| | | | | |
| | 1,821 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2005-AR1 | | | 3.185% | | | | 1/25/35 | | | | CC | | | | 415,516 | |
| | | | | |
| | 619 | | | Government National Mortgage Association, Guaranteed REMIC Pass-Through Securities and MX Securities Trust | | | 4.500% | | | | 5/16/38 | | | | Aaa | | | | 647,732 | |
| | | | | |
| | 115 | | | Government National Mortgage Association Pool 8006 | | | 1.750% | | | | 7/20/22 | | | | Aaa | | | | 119,761 | |
| | | | | |
| | 20 | | | Government National Mortgage Association Pool 80106 | | | 1.750% | | | | 8/20/27 | | | | Aaa | | | | 21,119 | |
| | | | | |
| | 31 | | | Government National Mortgage Association Pool 80154 | | | 1.625% | | | | 1/20/28 | | | | Aaa | | | | 32,246 | |
| | | | | |
| | 86 | | | Government National Mortgage Association Pool 80283 | | | 1.750% | | | | 5/20/29 | | | | Aaa | | | | 90,140 | |
| | | | | |
| | 155 | | | Government National Mortgage Association Pool 80469 | | | 1.625% | | | | 11/20/30 | | | | Aaa | | | | 161,926 | |
| | | | | |
| | 49 | | | Government National Mortgage Association Pool 80507 | | | 1.750% | | | | 4/20/31 | | | | Aaa | | | | 50,865 | |
| | | | | |
| | 189 | | | Government National Mortgage Association Pool 80535 | | | 1.750% | | | | 8/20/31 | | | | Aaa | | | | 197,709 | |
| | | | | |
| | 37 | | | Government National Mortgage Association Pool 80580 | | | 1.625% | | | | 2/20/32 | | | | Aaa | | | | 38,307 | |
| | | | | |
| | 69 | | | Government National Mortgage Association Pool 8699 | | | 1.750% | | | | 9/20/25 | | | | Aaa | | | | 71,721 | |
| | | | | |
| | 80 | | | Government National Mortgage Association Pool 8824 | | | 2.000% | | | | 8/20/21 | | | | Aaa | | | | 83,936 | |
| | | | | |
| | 56 | | | Government National Mortgage Association Pool 8847 | | | 1.750% | | | | 4/20/26 | | | | Aaa | | | | 58,406 | |
| | | | | |
| | 4,250 | | | GraceChurch Card PLC. Series 2012-1A | | | 0.893% | | | | 2/15/17 | | | | AAA | | | | 4,279,193 | |
| | | | | |
| | 4,076 | | | GraceChurch Mortgage Financing PLC, Series 2011-1A | | | 1.824% | | | | 11/20/56 | | | | AAA | | | | 4,145,254 | |
| | | | | |
| | 7,050 | | | Greenwich Capital Commercial Funding Corporation, Commercial Mortgage Pass-Through Certificates, Series 2007-GG11, (3) | | | 5.736% | | | | 12/10/49 | | | | AAA | | | | 7,895,704 | |
| | | | | |
| | 3,750 | | | Holmes Master Issuer PLC, Residential Mortgage Pool,
Series 2012-1A, 144A | | | 1.927% | | | | 10/15/54 | | | | AAA | | | | 3,815,096 | |
| | | | | |
| | 5,100 | | | Home Loan Servicing Solutions, HLSS Servicer Advance Receivables Backed Notes 2012-T1 | | | 0.898% | | | | 1/15/44 | | | | AAA | | | | 5,082,150 | |
| | | | | |
| | 1,000 | | | Home Loan Servicing Solutions, HLSS Servicer Advance Receivables Backed Notes 2012-T2 | | | 1.340% | | | | 10/15/43 | | | | AAA | | | | 999,600 | |
| | | | | |
| | 500 | | | Home Loan Servicing Solutions, HLSS Servicer Advance Receivables Backed Notes 2012-T2 | | | 4.940% | | | | 10/15/45 | | | | BBB | | | | 514,850 | |
| | | | | |
| | 2,250 | | | Home Loan Servicing Solutions, HLSS Servicer Advance Receivables Backed Notes 2013-T2 | | | 1.147% | | | | 5/16/44 | | | | AAA | | | | 2,244,713 | |
| | | | | |
| | 856 | | | IMC Home Mortgage Company, Home Equity Loan Pass-Through Certificates, Series 1998-3 | | | 7.220% | | | | 8/20/29 | | | | AA– | | | | 860,369 | |
| | | | | |
| | 4,508 | | | Impac Secured Assets Corporation, Mortgage Pass-Through Certificates, Series 2006-5 2A | | | 0.393% | | | | 12/25/36 | | | | Baa2 | | | | 3,868,529 | |
| | | | | |
| | 328 | | | IndyMac INDX Mortgage Loan Trust, Pass-Through Certificates,
Series 2005-AR1 | | | 2.630% | | | | 3/25/35 | | | | BBB+ | | | | 320,537 | |
| | | | | |
| | 4,028 | | | JPMorgan Chase Commercial Mortgage Securities Corporation, Commercial Mortgage Pass-Through Certificates, Series 2010-C1 | | | 3.853% | | | | 6/15/43 | | | | Aaa | | | | 4,207,510 | |
| | | | | |
| | 3,369 | | | JPMorgan Chase Commercial Mortgage Securities Corporation, Commercial Mortgage Pass-Through Certificates, Series 2010-C2 A1 | | | 2.749% | | | | 11/15/43 | | | | AAA | | | | 3,475,894 | |
| | | | | |
| | 7,195 | | | JPMorgan Chase Commercial Mortgage Securities Corporation, Pass-Through Certificates Trust 2013-FL3 | | | 0.893% | | | | 4/15/28 | | | | AAA | | | | 7,170,407 | |
| | | | | |
| | 7,040 | | | JPMorgan Chase Commercial Mortgage Securities Trust Pass-Through Certificates Series 2013-JWRZ | | | 0.973% | | | | 4/15/30 | | | | Aaa | | | | 7,020,457 | |
| | | | | |
| | 4,977 | | | JPMorgan Chase Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C4 | | | 1.525% | | | | 7/17/46 | | | | AAA | | | | 5,008,894 | |
| | | | | |
| | 2,758 | | | Merrill Lynch Mortgage Investors Inc., C-BASS Mortgage Loan Asset Backed Certificates Series 2004-CB8 | | | 4.658% | | | | 12/25/31 | | | | AAA | | | | 2,816,566 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | |
| | | | | |
| $ | 1,113 | | | Merrill Lynch Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2006-C1 A2 | | | 5.827% | | | | 5/12/39 | | | | AAA | | | $ | 1,114,148 | |
| | | | | |
| | 559 | | | Morgan Stanley ABS Capital I Inc., Mortgage Pass-Through Certificates, Series 2007-NC2 | | | 0.303% | | | | 2/25/37 | | | | B3 | | | | 296,887 | |
| | | | | |
| | 946 | | | Morgan Stanley Capital I Inc Trust, Mortgage Pass-Through Certificates, Series 2006-NC2 | | | 0.373% | | | | 2/25/36 | | | | B– | | | | 929,423 | |
| | | | | |
| | 4,650 | | | Morgan Stanley Capital I Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C1 | | | 2.602% | | | | 9/15/47 | | | | AAA | | | | 4,736,090 | |
| | | | | |
| | 230 | | | Mortgage Asset Securitization Transaction Inc., Alternative Loan Trust Mortgage Pass-Through Certificates, Series 2004-13 | | | 8.000% | | | | 1/25/35 | | | | B+ | | | | 237,566 | |
| | | | | |
| | 1,657 | | | Mortgage Asset Securitization Transaction Inc., Adjustable Rate Mortgage Pass-Through Certificates, Series 2003-5 | | | 2.092% | | | | 11/25/33 | | | | A+ | | | | 1,585,313 | |
| | | | | |
| | 2,233 | | | Mortgage Equity Conversion Asset Trust 2010-1A | | | 4.000% | | | | 7/25/60 | | | | AA | | | | 2,121,210 | |
| | | | | |
| | 5,000 | | | Motel 6 Trust 2012-MTL6 | | | 1.948% | | | | 10/07/25 | | | | AAA | | | | 4,902,205 | |
| | | | | |
| | 2,000 | | | Motor PLC 12 A A1C | | | 1.286% | | | | 2/25/20 | | | | Aaa | | | | 2,003,642 | |
| | | | | |
| | 1,218 | | | National Credit Union Administration, Guaranteed Notes Series 2011-R1 | | | 0.648% | | | | 1/08/20 | | | | Aaa | | | | 1,226,168 | |
| | | | | |
| | 1,042 | | | National Credit Union Administration Guaranteed Structured Collateral Notes | | | 2.900% | | | | 10/29/20 | | | | Aaa | | | | 1,087,591 | |
| | | | | |
| | 1,185 | | | National Credit Union Administration, Guaranteed Notes, Series 2010-R1 | | | 1.840% | | | | 10/07/20 | | | | Aaa | | | | 1,188,279 | |
| | | | | |
| | 1,757 | | | Nationstar Agency Fund Trust, Series 2013-T1A FT1 | | | 5.926% | | | | 2/15/45 | | | | A | | | | 1,751,465 | |
| | | | | |
| | 1,465 | | | Newcastle Investment Trust, Manufactured Housing Contracts and Loans, Series 2010-MH1 | | | 4.500% | | | | 7/10/35 | | | | AAA | | | | 1,482,682 | |
| | | | | |
| | 2,232 | | | Newcastle Investment Trust, Manufactured Housing Loans,
Series 2011-MH1 | | | 2.450% | | | | 12/10/33 | | | | AAA | | | | 2,265,466 | |
| | | | | |
| | 3,619 | | | Nissan Auto Lease Trust, Series 2011-B | | | 0.920% | | | | 2/16/15 | | | | Aaa | | | | 3,622,785 | |
| | | | | |
| | 4,472 | | | Park Place Securities Inc., Asset Backed Pass-Through Certificates Series 2005-WCH1 | | | 0.713% | | | | 1/25/35 | | | | AA | | | | 4,385,725 | |
| | | | | |
| | 5,518 | | | Residential Asset Mortgage Products, Pass-Through Certificates, 2006-RZ4 | | | 0.373% | | | | 10/25/35 | | | | B1 | | | | 5,026,548 | |
| | | | | |
| | 421 | | | RBSSP Resecuritization Trust 2009-10 | | | 0.293% | | | | 3/26/37 | | | | N/R | | | | 216,676 | |
| | | | | |
| | 1,843 | | | RBSSP Resecuritization Trust 2010-10 | | | 0.323% | | | | 9/26/36 | | | | N/R | | | | 1,680,665 | |
| | | | | |
| | 4,936 | | | RBSSP Resecuritization Trust, Series 2012-8 1A1 | | | 0.319% | | | | 10/28/36 | | | | N/R | | | | 4,655,283 | |
| | | | | |
| | 2,710 | | | Santander Drive Auto Receivables Trust Series 2011-4 | | | 2.900% | | | | 5/16/16 | | | | Aa1 | | | | 2,756,601 | |
| | | | | |
| | 1,399 | | | Santander Drive Auto Receivables Trust, Series 2011-1 | | | 1.280% | | | | 1/15/15 | | | | Aaa | | | | 1,399,585 | |
| | | | | |
| | 3,420 | | | SBA Tower Trust | | | 3.598% | | | | 4/15/43 | | | | BBB | | | | 3,384,039 | |
| | | | | |
| | 4,144 | | | Sequoia Mortgage Trust, Mortgage Pass-Through Certificates, Series 2013-1 1A1 | | | 1.450% | | | | 2/25/43 | | | | Aaa | | | | 3,999,861 | |
| | | | | |
| | 456 | | | Sequoia Mortgage Trust, Mortgage Pass-Through Certificates,
Series 2007-1 | | | 2.576% | | | | 2/20/47 | | | | CCC | | | | 379,750 | |
| | | | | |
| | 1,288 | | | SMA Issuer LLC 2012-LV1 | | | 3.500% | | | | 8/20/25 | | | | Baa3 | | | | 1,293,563 | |
| | | | | |
| | 2,494 | | | SMART Trust, Asset Backed Securities, Series 2011-1USA | | | 1.043% | | | | 10/14/14 | | | | Aaa | | | | 2,496,587 | |
| | | | | |
| | 3,168 | | | Springleaf Mortgage Loan Trust 2011-1 | | | 4.050% | | | | 1/25/58 | | | | AAA | | | | 3,273,567 | |
| | | | | |
| | 2,531 | | | Springleaf Mortgage Loan Trust, Series 2012-3 | | | 1.570% | | | | 12/25/59 | | | | AAA | | | | 2,543,719 | |
| | | | | |
| | 6,806 | | | Springleaf Mortgage Loan Trust, Series 2013-1A | | | 1.270% | | | | 6/25/58 | | | | AAA | | | | 6,818,319 | |
| | | | | |
| | 3,836 | | | Stanwich Mortgage Loan Trust, Series 2012-NPL5 | | | 2.981% | | | | 10/16/42 | | | | N/R | | | | 3,842,229 | |
| | | | | |
| | 168 | | | Structured Adjustable Rate Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2004-11 | | | 2.645% | | | | 8/25/34 | | | | Ba3 | | | | 163,143 | |
| | | | | |
| | 805 | | | Thornburg Mortgage Securities Trust, Mortgage Loan Pass-Through Certificates, Series 2007-4 | | | 6.098% | | | | 9/25/37 | | | | BBB+ | | | | 831,349 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | |
| | | | | |
| $ | 1,091 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2005-10B | | | 4.940% | | | | 8/10/15 | | | | Aaa | | | $ | 1,143,057 | |
| | | | | |
| | 651 | | | U.S. Small Business Administration Guaranteed Participating Securities, Participation Certificates Series 2005-P10A | | | 4.638% | | | | 2/10/15 | | | | Aaa | | | | 682,855 | |
| | | | | |
| | 372 | | | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2006-10A | | | 5.408% | | | | 2/10/16 | | | | Aaa | | | | 392,674 | |
| | | | | |
| | 262 | | | U.S. Small Business Administration Guaranteed Participating Securities, Participation Certificates, Series 2007-10A | | | 5.459% | | | | 2/10/17 | | | | Aaa | | | | 286,864 | |
| | | | | |
| | 4,250 | | | UBS-Barclays Commercial Mortgage Trust 2012-C2 | | | 1.006% | | | | 5/11/63 | | | | Aaa | | | | 4,245,450 | |
| | | | | |
| | 4,157 | | | Vornado DP LLC Commercial Mortgage Credit Tenant Lease
Series 2010-VNO | | | 2.970% | | | | 9/14/28 | | | | AAA | | | | 4,328,552 | |
| | | | | |
| | 1,558 | | | Wachovia Bank Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-WHl8 | | | 0.273% | | | | 6/15/20 | | | | Aaa | | | | 1,544,735 | |
| | | | | |
| | 4,177 | | | Walter Investment Management Company Capital Trust, Series 2012-AA | | | 4.549% | | | | 10/16/50 | | | | BBB | | | | 4,176,178 | |
| | | | | |
| | 67 | | | Wells Fargo Mortgage Backed Securities Trust, Mortgage Pass-Through Certificate Series 2006-3 | | | 5.500% | | | | 3/25/36 | | | | B2 | | | | 66,650 | |
| | | | | |
| | 1,261 | | | Wells Fargo Mortgage Backed Securities Trust, Mortgage Pass-Through Certificate Series 2006-AR14 | | | 2.636% | | | | 10/25/36 | | | | Caa2 | | | | 1,084,862 | |
| | | | | |
| | 764 | | | Wells Fargo Mortgage Backed Securities Trust, Mortgage Pass-Through Certificate Series 2007-2 | | | 5.750% | | | | 3/25/37 | | | | Caa2 | | | | 691,795 | |
| | | | | |
| | 33 | | | Wells Fargo Mortgage Backed Securities, 2005-AR16 Class 3A2 | | | 2.682% | | | | 10/25/35 | | | | BBB– | | | | 32,837 | |
| | | | | |
| | 4,901 | | | Wells Fargo-RBS Commercial Mortgage Trust Series 2012-C9 | | | 0.673% | | | | 11/17/45 | | | | Aaa | | | | 4,844,455 | |
| | | | | |
| | 4,258 | | | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C3 | | | 1.988% | | | | 3/17/44 | | | | Aaa | | | | 4,319,649 | |
| | | | | |
| | 2,754 | | | WF-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2011-C2 | | | 2.501% | | | | 2/18/44 | | | | Aaa | | | | 2,796,831 | |
| | | | | |
| | 575 | | | World Omni Auto Receivables Trust, Series 2010-A | | | 2.210% | | | | 5/15/15 | | | | AAA | | | | 577,792 | |
| $ | 431,251 | | | Total Asset-Backed Securities (cost $432,315,421) | | | | | | | | | | | | | | | 432,767,167 | |
| | | | | |
Principal
Amount (000) (5) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | SOVEREIGN DEBT – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Mexico – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 510 | MXN | | United Mexican States | | | 9.500% | | | | 12/18/14 | | | | A– | | | $ | 4,229,614 | |
| | | | Total Sovereign Debt (cost $4,610,377) | | | | | | | | | | | | | | | 4,229,614 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (2) | | | Value | |
| | | | STRUCTURED NOTES – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,750 | | | FDIC Structured Sales Guaranteed Notes, Series 2010-L1A | | | 0.000% | | | | 10/25/13 | | | | Aaa | | | $ | 1,748,880 | |
| $ | 1,750 | | | Total Structured Notes (cost $1,738,022) | | | | | | | | | | | | | | | 1,748,880 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 4.8% | | | | | |
| | | | | |
| | | | Money Market Funds – 4.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 43,179,225 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (6), (7) | | | | | | | | | | | | | | $ | 43,179,225 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $43,179,225) | | | | | | | | 43,179,225 | |
| | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | | Value | |
| | | | | | | | | | | | | | | | |
| | | | SHORT-TERM INVESTMENTS – 3.6% | | | | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 3.6% | | | | | | | | | | | | |
| | | | | |
| | 32,859,019 | | | First American Treasury Obligations Fund, Class Z | | | 0.000% (7) | | | | | | | $ | 32,859,019 | |
| | | | Total Short-Term Investments (cost $32,859,019) | | | | | | | | | | | 32,859,019 | |
| | | | Total Investments (cost $1,004,155,644) – 111.2% | | | | | | | | | | | 1,007,950,550 | |
| | | | Other Assets Less Liabilities – (11.2)% | | | | | | | | | | | (101,199,165) | |
| | | | Net Assets – 100% | | | | | | | | | | $ | 906,751,385 | |
Investments in Derivatives as of June 30, 2013
Credit Default Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Reference Entity | | Buy/Sell
Protection (8) | | | Current
Credit
Spread (9) | | | Notional
Amount | | | Fixed Rate
(Annualized) | | | Termination
Date | | | Value | | | Unrealized
Appreciation
(Depreciation) | |
JPMorgan | | Markit CDX NA HY20 Index | | | Sell | | | | 4.32% | | | $ | 10,000,000 | | | | 5.000 | % | | | 6/20/18 | | | $ | 317,973 | | | $ | 155,460 | |
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 5-Year Note | | | Short | | | | (587 | ) | | | 9/13 | | | $ | (71,054,517 | ) | | $ | 1,052,757 | |
U.S. Treasury 10-Year Note | | | Short | | | | (361 | ) | | | 9/13 | | | | (45,689,062 | ) | | | 1,164,167 | |
| | | | | | | | | | | | | | | $ | (116,743,579 | ) | | $ | 2,216,924 | |
Portfolio of Investments
Nuveen Short Term Bond Fund (continued)
June 30, 2013
| | | | |
| | | | 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. |
| | (2) | | | Ratings (not covered by the report of independent registered public accounting firm): Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (3) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of securities out on loan as of the end of the reporting period was $42,235,624. |
| | (4) | | | Optional Call Provisions (not covered by the report of independent registered public accounting firm): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. |
| | (5) | | | Principal Amount (000) denominated in U.S. Dollars, unless otherwise noted. |
| | (6) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (7) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | (8) | | | The Fund entered into the credit default swaps to gain investment exposure to the referenced entity. Selling protection has a similar credit risk position to owning the referenced entity. Buying protection has a similar credit risk position to selling the referenced entity short. |
| | (9) | | | The credit spread generally serves as an indication of the current status of the payment/performance risk and therefore the likelihood of default of the credit derivative. The credit spread also reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into a credit default swap contract. Higher credit spreads are indicative of higher likelihood of performance by the seller of protection. |
| | I/O | | | Interest only security. |
| | N/R | | | Not rated. |
| | TBA | | | To be announced. Maturity date not known prior to settlement of this transaction. |
| | WI/DD | | | Investment, or portion of investment, 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. |
| | MXN | | | Mexican Peso |
See accompanying notes to financial statements.
Portfolio of Investments
Nuveen Strategic Income Fund
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | COMMON STOCKS – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Building Products – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 50 | | | Dayton Superior Class A, (2), (3) | | | | | | | | | | | | | | $ | 2,839 | |
| | | | | |
| | 55 | | | Dayton Superior Class 1, (2), (3) | | | | | | | | | | | | | | | 3,154 | |
| | | | Total Common Stocks (cost $20,079) | | | | | | | | | | | | | | | 5,993 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | Ratings (4) | | | Value | |
| | | | $25 PAR (OR SIMILAR) RETAIL STRUCTURES – 3.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 44,000 | | | Goldman Sachs Group, Inc. | | | 5.500% | | | | | | | | BB+ | | | $ | 1,062,160 | |
| | | | Commercial Banks – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 118,392 | | | PNC Financial Services | | | 6.125% | | | | | | | | BBB | | | | 3,183,561 | |
| | | | | |
| | 14,000 | | | Royal Bank of Scotland Group PLC, Series L | | | 5.750% | | | | | | | | BB | | | | 286,580 | |
| | | | | |
| | 75,250 | | | Regions Financial Corporation, (5) | | | 6.375% | | | | | | | | BB | | | | 1,843,625 | |
| | | | Total Commercial Banks | | | | | | | | | | | | | | | 5,313,766 | |
| | | | Consumer Finance – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 83,000 | | | Discover Financial Services, (5) | | | 6.500% | | | | | | | | BB | | | | 2,083,300 | |
| | | | Diversified Financial Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 28,000 | | | Citigroup Capital Trust XI | | | 6.000% | | | | | | | | BB | | | | 697,760 | |
| | | | Insurance – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 73,140 | | | Endurance Specialty Holdings Limited | | | 7.500% | | | | | | | | BBB– | | | | 1,964,540 | |
| | | | | |
| | 100,000 | | | Hartford Financial Services Group Inc. | | | 7.875% | | | | | | | | BB+ | | | | 2,948,000 | |
| | | | | |
| | 100,000 | | | Reinsurance Group of America Inc. | | | 6.200% | | | | | | | | BBB | | | | 2,600,000 | |
| | | | Total Insurance | | | | | | | | | | | | | | | 7,512,540 | |
| | | | Oil, Gas & Consumable Fuels – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 52,213 | | | Nustar Logistics Limited Partnership | | | 7.625% | | | | | | | | Ba2 | | | | 1,367,981 | |
| | | | Thrifts & Mortgage Finance – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 217,000 | | | Federal National Mortgage Association, (5) | | | 4.503% | | | | | | | | Ca | | | | 987,350 | |
| | | | Total $25 Par (or similar) Retail Structures (cost $22,048,815) | | | | | | | | | | | | | | | 19,024,857 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | CORPORATE BONDS – 67.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Aerospace & Defense – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 750 | | | Erickson Air-Crane Inc., 144A, (5) | | | 8.250% | | | | 5/01/20 | | | | B1 | | | $ | 729,375 | |
| | | | | |
| | 2,140 | | | Exelis, Inc. | | | 5.550% | | | | 10/01/21 | | | | BBB+ | | | | 2,173,992 | |
| | 2,890 | | | Total Aerospace & Defense | | | | | | | | | | | | | | | 2,903,367 | |
| | | | Airlines – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,044 | | | American West Airlines Pass Through Certificates, Series 2001-1 | | | 8.057% | | | | 1/02/22 | | | | BBB | | | | 1,159,029 | |
| | | | | |
| | 1,697 | | | Delta Air Lines Pass Through Certificates Series 2012-1A | | | 4.750% | | | | 5/07/20 | | | | A | | | | 1,773,526 | |
| | | | | |
| | 940 | | | Delta Air Lines Pass Through Certificates, Series 2012-1B | | | 6.875% | | | | 5/07/19 | | | | BB+ | | | | 992,134 | |
| | | | | |
| | 969 | | | Northwest Airlines Trust Pass Through Certificates 2007-1 | | | 7.027% | | | | 11/01/19 | | | | BBB+ | | | | 1,061,359 | |
| | 4,650 | | | Total Airlines | | | | | | | | | | | | | | | 4,986,048 | |
| | | | Auto Components – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 550 | | | Ahern Rentals Inc., 144A, (5) | | | 9.500% | | | | 6/15/18 | | | | B | | | | 548,625 | |
| | | | | |
| | 1,025 | | | Allison Transmission Inc., 144A | | | 7.125% | | | | 5/15/19 | | | | B+ | | | | 1,083,938 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Auto Components (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,575 | | | American & Axle Manufacturing Inc. | | | 6.625% | | | | 10/15/22 | | | | B | | | $ | 1,598,625 | |
| | | | | |
| | 1,250 | | | Gestamp Fund Lux SA, 144A | | | 5.625% | | | | 5/31/20 | | | | BB | | | | 1,187,500 | |
| | | | | |
| | 660 | | | Pittsburgh Glass Works LLC, 144A | | | 8.500% | | | | 4/15/16 | | | | B+ | | | | 653,400 | |
| | 5,060 | | | Total Auto Components | | | | | | | | | | | | | | | 5,072,088 | |
| | | | Automobiles – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,275 | | | Chrysler GP/CG Company, (5) | | | 8.000% | | | | 6/15/19 | | | | B1 | | | | 1,391,344 | |
| | | | | |
| | 1,240 | | | General Motors Financial Company Inc., 144A | | | 4.250% | | | | 5/15/23 | | | | BB | | | | 1,154,750 | |
| | 2,515 | | | Total Automobiles | | | | | | | | | | | | | | | 2,546,094 | |
| | | | Building Products – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,490 | | | Owens Corning Incorporated | | | 4.200% | | | | 12/15/22 | | | | BBB– | | | | 1,443,791 | |
| | | | | |
| | 1,000 | | | USG Corporation | | | 9.750% | | | | 1/15/18 | | | | B– | | | | 1,135,000 | |
| | 2,490 | | | Total Building Products | | | | | | | | | | | | | | | 2,578,791 | |
| | | | Capital Markets – 4.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,925 | | | E Trade Financial Corporation | | | 6.375% | | | | 11/15/19 | | | | B2 | | | | 1,953,875 | |
| | | | | |
| | 8,030 | | | Goldman Sachs Group, Inc. | | | 6.000% | | | | 6/15/20 | | | | A | | | | 9,022,693 | |
| | | | | |
| | 1,890 | | | Goldman Sachs Group, Inc. | | | 5.250% | | | | 7/27/21 | | | | A | | | | 2,022,109 | |
| | | | | |
| | 3,000 | | | Goldman Sachs Group, Inc., (5) | | | 3.625% | | | | 1/22/23 | | | | A | | | | 2,870,319 | |
| | | | | |
| | 4,625 | | | Morgan Stanley | | | 6.625% | | | | 4/01/18 | | | | A | | | | 5,242,229 | |
| | | | | |
| | 3,000 | | | Morgan Stanley | | | 3.750% | | | | 2/25/23 | | | | A | | | | 2,868,849 | |
| | | | | |
| | 5,520 | | | Morgan Stanley, (5) | | | 4.875% | | | | 11/01/22 | | | | BBB+ | | | | 5,453,214 | |
| | 27,990 | | | Total Capital Markets | | | | | | | | | | | | | | | 29,433,288 | |
| | | | Chemicals – 2.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,625 | | | Braskem Finance Limited, 144A | | | 5.750% | | | | 4/15/21 | | | | BBB– | | | | 1,584,375 | |
| | | | | |
| | 750 | | | Cornerstone Chemical Company, 144A | | | 9.375% | | | | 3/15/18 | | | | B– | | | | 787,500 | |
| | | | | |
| | 1,565 | | | Eastman Chemical Company, (5) | | | 3.600% | | | | 8/15/22 | | | | BBB | | | | 1,508,439 | |
| | | | | |
| | 1,000 | | | Hexion US Finance Corporation, (5) | | | 8.875% | | | | 2/01/18 | | | | B3 | | | | 1,020,000 | |
| | | | | |
| | 1,915 | | | Incitec Pivot Finance, 144A | | | 6.000% | | | | 12/10/19 | | | | BBB | | | | 2,098,233 | |
| | | | | |
| | 1,285 | | | Ineos Finance PLC, 144A | | | 7.500% | | | | 5/01/20 | | | | BB– | | | | 1,365,313 | |
| | | | | |
| | 750 | | | Ineos Group Holdings SA, 144A, (5) | | | 6.125% | | | | 8/15/18 | | | | B– | | | | 716,250 | |
| | | | | |
| | 1,000 | | | Mexichem SAB de CV, 144A, (5) | | | 4.875% | | | | 9/19/22 | | | | BBB– | | | | 1,005,000 | |
| | | | | |
| | 1,250 | | | Momentive Performance Materials Inc., (5) | | | 8.875% | | | | 10/15/20 | | | | B1 | | | | 1,306,250 | |
| | | | | |
| | 1,000 | | | Nufarm Australia Limited, 144A | | | 6.375% | | | | 10/15/19 | | | | BB– | | | | 997,500 | |
| | | | | |
| | 1,175 | | | Omonva Solutions Inc. | | | 7.875% | | | | 11/01/18 | | | | B2 | | | | 1,222,000 | |
| | | | | |
| | 1,285 | | | Petrologisitics LP Finance, 144A | | | 6.250% | | | | 4/01/20 | | | | B | | | | 1,259,300 | |
| | | | | |
| | 225 | | | Rhodia SA, 144A | | | 6.875% | | | | 9/15/20 | | | | BBB+ | | | | 252,411 | |
| | | | | |
| | 750 | | | Sinochem Overseas Capital Limited | | | 4.500% | | | | 11/12/20 | | | | Baa1 | | | | 739,430 | |
| | | | | |
| | 1,130 | | | Tronox Finance LLC, 144A, (5) | | | 6.375% | | | | 8/15/20 | | | | BB– | | | | 1,065,025 | |
| | 16,705 | | | Total Chemicals | | | | | | | | | | | | | | | 16,927,026 | |
| | | | Commercial Banks – 2.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,330 | | | Banco Bradesco S.A. Grand Cayman, 144A | | | 4.125% | | | | 5/16/16 | | | | Baa1 | | | | 1,369,900 | |
| | | | | |
| | 2,000 | | | Bancolombia SA | | | 5.950% | | | | 6/03/21 | | | | Baa2 | | | | 2,125,000 | |
| | | | | |
| | 1,000 | | | BBVA Bancomer SA Texas, 144A | | | 4.500% | | | | 3/10/16 | | | | A2 | | | | 1,037,500 | |
| | | | | |
| | 750 | | | Gazprombank Eurobond Finance PLC | | | 7.875% | | | | 4/29/49 | | | | N/R | | | | 750,000 | |
| | | | | |
| | 2,360 | | | HSBC Holdings PLC | | | 6.800% | | | | 6/01/38 | | | | A+ | | | | 2,714,382 | |
| | | | | |
| | 1,230 | | | ING Bank NV, 144A | | | 3.750% | | | | 3/07/17 | | | | A+ | | | | 1,287,367 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Commercial Banks (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,465 | | | Rabobank Nederland | | | 3.875% | | | | 2/08/22 | | | | Aa2 | | | $ | 1,475,283 | |
| | | | | |
| | 1,630 | | | Royal Bank of Scotland | | | 6.125% | | | | 12/15/22 | | | | BBB– | | | | 1,551,059 | |
| | | | | |
| | 2,120 | | | Russian Agricultural Bank, 144A | | | 7.750% | | | | 5/29/18 | | | | Baa1 | | | | 2,374,400 | |
| | | | | |
| | 1,425 | | | Sovereign Bank | | | 8.750% | | | | 5/30/18 | | | | Baa2 | | | | 1,722,970 | |
| | | | | |
| | 500 | | | VTB Bank Capital SA, 144A | | | 6.000% | | | | 4/12/17 | | | | BBB+ | | | | 520,000 | |
| | | | | |
| | 1,140 | | | Wells Fargo & Company, (5) | | | 3.450% | | | | 2/13/23 | | | | A+ | | | | 1,088,740 | |
| | 16,950 | | | Total Commercial Banks | | | | | | | | | | | | | | | 18,016,601 | |
| | | | Commercial Services & Supplies – 1.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,355 | | | 313 Group Incorporated, 144A, (5) | | | 6.375% | | | | 12/01/19 | | | | B1 | | | | 1,287,250 | |
| | | | | |
| | 1,785 | | | Aramark Corporation, 144A | | | 5.750% | | | | 3/15/20 | | | | B– | | | | 1,825,163 | |
| | | | | |
| | 1,000 | | | Casella Waste Systems Inc. | | | 7.750% | | | | 2/15/19 | | | | Caa1 | | | | 950,000 | |
| | | | | |
| | 1,211 | | | Ceridian Corporation, 144A | | | 8.875% | | | | 7/15/19 | | | | B1 | | | | 1,345,724 | |
| | | | | |
| | 1,450 | | | Clean Harbors Inc., (5) | | | 5.250% | | | | 8/01/20 | | | | BB+ | | | | 1,471,750 | |
| | | | | |
| | 1,220 | | | Covanta Energy Corporation, Synthetic Letter of Credit | | | 6.375% | | | | 10/01/22 | | | | BB | | | | 1,232,931 | |
| | | | | |
| | 1,025 | | | Europcar Groupe SA, 144A | | | 11.500% | | | | 5/15/17 | | | | B– | | | | 1,480,944 | |
| | | | | |
| | 500 | | | GDR Holding II Corporation, 144A | | | 10.750% | | | | 6/01/19 | | | | B | | | | 535,000 | |
| | | | | |
| | 1,000 | | | R.R. Donnelley & Sons Company | | | 7.625% | | | | 6/15/20 | | | | BB | | | | 1,015,000 | |
| | 10,546 | | | Total Commercial Services & Supplies | | | | | | | | | | | | | | | 11,143,762 | |
| | | | Communications Equipment – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,150 | | | Goodman Networks Inc., 144A, (5) | | | 12.125% | | | | 7/01/18 | | | | B | | | | 1,219,000 | |
| | | | | |
| | 1,400 | | | Nokia Corporation, (5) | | | 5.375% | | | | 5/15/19 | | | | BB– | | | | 1,361,500 | |
| | 2,550 | | | Total Communications Equipment | | | | | | | | | | | | | | | 2,580,500 | |
| | | | Computers & Peripherals – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 645 | | | Hewlett Packard Company | | | 4.650% | | | | 12/09/21 | | | | A– | | | | 645,059 | |
| | | | | |
| | 905 | | | Lexmark International Group Incorporated | | | 5.125% | | | | 3/15/20 | | | | BBB– | | | | 909,846 | |
| | | | | |
| | 1,125 | | | NCR Corporation | | | 5.000% | | | | 7/15/22 | | | | BB | | | | 1,085,625 | |
| | | | | |
| | 1,620 | | | Seagate HDD Cayman | | | 7.000% | | | | 11/01/21 | | | | BBB– | | | | 1,733,400 | |
| | 4,295 | | | Total Computers & Peripherals | | | | | | | | | | | | | | | 4,373,930 | |
| | | | Construction & Engineering – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,100 | | | Odebrecht Finance Limited, 144A | | | 5.125% | | | | 6/26/22 | | | | BBB– | | | | 1,078,000 | |
| | | | Construction Materials – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 450 | | | Cemex SAB de CV, 144A | | | 9.000% | | | | 1/11/18 | | | | B+ | | | | 472,500 | |
| | | | Consumer Finance – 1.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,938 | | | Capital One Bank | | | 3.375% | | | | 2/15/23 | | | | Baa1 | | | | 1,831,902 | |
| | | | | |
| | 1,715 | | | Discover Financial Services | | | 5.200% | | | | 4/27/22 | | | | BBB | | | | 1,770,166 | |
| | | | | |
| | 1,215 | | | Ford Motor Credit Company | | | 6.625% | | | | 8/15/17 | | | | Baa3 | | | | 1,375,129 | |
| | | | | |
| | 1,845 | | | Ford Motor Credit Company, (5) | | | 4.250% | | | | 9/20/22 | | | | Baa3 | | | | 1,813,388 | |
| | 6,713 | | | Total Consumer Finance | | | | | | | | | | | | | | | 6,790,585 | |
| | | | Containers & Packaging – 0.8% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,150 | | | Ardagh Packaging Finance / MP HD USA, 144A | | | 4.875% | | | | 11/15/22 | | | | Ba3 | | | | 1,075,250 | |
| | | | | |
| | 915 | | | Ball Corporation | | | 4.000% | | | | 11/15/23 | | | | BB+ | | | | 846,375 | |
| | | | | |
| | 950 | | | Reynolds Group | | | 7.125% | | | | 4/15/19 | | | | B+ | | | | 1,003,438 | |
| | | | | |
| | 2,000 | | | Rock-Tenn Company | | | 3.500% | | | | 3/01/20 | | | | BBB– | | | | 1,957,044 | |
| | 5,015 | | | Total Containers & Packaging | | | | | | | | | | | | | | | 4,882,107 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Diversified Consumer Services – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,000 | | | NES Rental Holdings Inc., 144A | | | 7.875% | | | | 5/01/18 | | | | CCC+ | | | $ | 987,500 | |
| | | | Diversified Financial Services – 5.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,115 | | | Bank of America Corporation | | | 5.750% | | | | 12/01/17 | | | | A | | | | 2,350,558 | |
| | | | | |
| | 7,400 | | | Bank of America Corporation | | | 5.875% | | | | 1/05/21 | | | | A | | | | 8,328,596 | |
| | | | | |
| | 1,835 | | | Citigroup Inc. | | | 6.125% | | | | 8/25/36 | | | | BBB+ | | | | 1,796,628 | |
| | | | | |
| | 300 | | | Citigroup Inc. | | | 6.875% | | | | 3/05/38 | | | | A | | | | 363,790 | |
| | | | | |
| | 750 | | | CNG Holdings Inc., 144A | | | 9.375% | | | | 5/15/20 | | | | B | | | | 720,000 | |
| | | | | |
| | 2,885 | | | Countrywide Financial Corporation, 144A | | | 6.250% | | | | 5/15/16 | | | | BBB+ | | | | 3,146,043 | |
| | | | | |
| | 2,545 | | | General Electric Capital Corporation | | | 6.875% | | | | 1/10/39 | | | | AA+ | | | | 3,136,461 | |
| | | | | |
| | 1,000 | | | Jefferies Finance LLC, 144A | | | 7.375% | | | | 4/01/20 | | | | B+ | | | | 970,000 | |
| | | | | |
| | 1,000 | | | Jefferies Loancore Finance, 144A | | | 6.875% | | | | 6/01/20 | | | | B | | | | 970,000 | |
| | | | | |
| | 5,515 | | | JPMorgan Chase & Company | | | 4.500% | | | | 1/24/22 | | | | A+ | | | | 5,774,878 | |
| | | | | |
| | 4,225 | | | JPMorgan Chase & Company, (5) | | | 3.200% | | | | 1/25/23 | | | | A+ | | | | 4,010,822 | |
| | | | | |
| | 1,605 | | | JPMorgan Chase & Company, (5) | | | 3.375% | | | | 5/01/23 | | | | A | | | | 1,494,512 | |
| | | | | |
| | 2,280 | | | JPMorgan Chase & Company | | | 6.400% | | | | 5/15/38 | | | | A+ | | | | 2,674,429 | |
| | | | | |
| | 1,500 | | | Nationstar Mortgage LLC Capital Corporation | | | 7.875% | | | | 10/01/20 | | | | B+ | | | | 1,680,000 | |
| | 34,955 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 37,416,717 | |
| | | | Diversified Telecommunication Services – 2.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,050 | | | AT&T, Inc. | | | 5.550% | | | | 8/15/41 | | | | A | | | | 2,134,470 | |
| | | | | |
| | 2,780 | | | Brasil Telecom SA, 144A, (5) | | | 5.750% | | | | 2/10/22 | | | | BBB | | | | 2,588,875 | |
| | | | | |
| | 1,130 | | | CyrusOne LP Finance, 144A | | | 6.375% | | | | 11/15/22 | | | | B+ | | | | 1,158,250 | |
| | | | | |
| | 1,110 | | | Frontier Communications Corporation, (5) | | | 8.500% | | | | 4/15/20 | | | | BB+ | | | | 1,223,775 | |
| | | | | |
| | 1,550 | | | IntelSat Limited, 144A | | | 6.750% | | | | 6/01/18 | | | | CCC+ | | | | 1,561,625 | |
| | | | | |
| | 2,360 | | | Qwest Corporation | | | 6.750% | | | | 12/01/21 | | | | BBB– | | | | 2,627,220 | |
| | | | | |
| | 1,375 | | | Windstream Corporation | | | 6.375% | | | | 8/01/23 | | | | BB+ | | | | 1,285,625 | |
| | 12,355 | | | Total Diversified Telecommunication Services | | | | | | | | | | | | | | | 12,579,840 | |
| | | | Electric Utilities – 1.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,030 | | | APT Pipelines Limited, 144A | | | 3.875% | | | | 10/11/22 | | | | BBB | | | | 1,872,279 | |
| | | | | |
| | 1,485 | | | Comision Federal de Electricidad of the United States of Mexcio, 144A | | | 4.875% | | | | 5/26/21 | | | | Baa1 | | | | 1,518,413 | |
| | | | | |
| | 1,150 | | | Energy Future Intermediate Holding Company LLC | | | 10.000% | | | | 12/01/20 | | | | B2 | | | | 1,259,250 | |
| | | | | |
| | 3,145 | | | Exelon Generation Co. LLC, (5) | | | 4.250% | | | | 6/15/22 | | | | BBB+ | | | | 3,145,349 | |
| | | | | |
| | 600 | | | Intergen NV, 144A | | | 7.000% | | | | 6/30/23 | | | | B+ | | | | 585,000 | |
| | | | | |
| | 1,295 | | | MidAmerican Energy Holdings Company | | | 6.125% | | | | 4/01/36 | | | | BBB+ | | | | 1,469,132 | |
| | 9,705 | | | Total Electric Utilities | | | | | | | | | | | | | | | 9,849,423 | |
| | | | Energy Equipment & Services – 2.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,985 | | | Diamond Offshore Drilling Inc. | | | 5.700% | | | | 10/15/39 | | | | A– | | | | 2,330,382 | |
| | | | | |
| | 325 | | | Ensco PLC | | | 4.700% | | | | 3/15/21 | | | | BBB+ | | | | 345,060 | |
| | | | | |
| | 910 | | | Gulfmark Offshore Inc. | | | 6.375% | | | | 3/15/22 | | | | BB– | | | | 903,175 | |
| | | | | |
| | 600 | | | Marine Accurate Well ASA | | | 9.500% | | | | 4/03/18 | | | | N/R | | | | 610,500 | |
| | | | | |
| | 1,890 | | | Nabors Industries Inc. | | | 5.000% | | | | 9/15/20 | | | | BBB | | | | 1,926,683 | |
| | | | | |
| | 1,250 | | | Pacific Drilling SA, 144A | | | 5.375% | | | | 6/01/20 | | | | B+ | | | | 1,168,750 | |
| | | | | |
| | 1,380 | | | Precision Drilling Corporation | | | 6.500% | | | | 12/15/21 | | | | Ba1 | | | | 1,397,250 | |
| | | | | |
| | 1,100 | | | Seadrill Limited, 144A | | | 5.625% | | | | 9/15/17 | | | | N/R | | | | 1,083,500 | |
| | | | | |
| | 1,000 | | | Transocean Inc., (5) | | | 6.375% | | | | 12/15/21 | | | | BBB– | | | | 1,123,964 | |
| | | | | |
| | 2,100 | | | Transocean Inc., (5) | | | 3.800% | | | | 10/15/22 | | | | BBB– | | | | 2,000,359 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Energy Equipment & Services (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,385 | | | Weatherford International Limited | | | 7.000% | | | | 3/15/38 | | | | Baa2 | | | $ | 1,480,616 | |
| | 13,925 | | | Total Energy Equipment & Services | | | | | | | | | | | | | | | 14,370,239 | |
| | | | Food & Staples Retailing – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Supervalu Inc., 144A, (5) | | | 6.750% | | | | 6/01/21 | | | | B– | | | | 1,395,000 | |
| | | | Food Products – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,105 | | | JBS USA LLC, (5) | | | 7.250% | | | | 6/01/21 | | | | BB | | | | 1,105,000 | |
| | | | | |
| | 750 | | | Marfrig Holding Europe BV, 144A | | | 9.875% | | | | 7/24/17 | | | | B | | | | 753,750 | |
| | | | | |
| | 750 | | | Minerva Luxembourg SA, 144A | | | 7.750% | | | | 1/31/23 | | | | BB– | | | | 746,250 | |
| | | | | |
| | 1,000 | | | Mriya Agro Holding PLC, 144A | | | 9.450% | | | | 4/19/18 | | | | B | | | | 890,000 | |
| | | | | |
| | 1,360 | | | Pinnacle Foods Finance LLC, 144A | | | 4.875% | | | | 5/01/21 | | | | B– | | | | 1,298,800 | |
| | | | | |
| | 1,790 | | | Tyson Foods | | | 4.500% | | | | 6/15/22 | | | | BBB | | | | 1,829,065 | |
| | 6,755 | | | Total Food Products | | | | | | | | | | | | | | | 6,622,865 | |
| | | | Gas Utilities – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,084 | | | AmeriGas Finance LLC | | | 6.750% | | | | 5/20/20 | | | | Ba2 | | | | 1,121,940 | |
| | | | | |
| | 454 | | | Suburban Propane Partners LP | | | 7.500% | | | | 10/01/18 | | | | BB– | | | | 476,700 | |
| | 1,538 | | | Total Gas Utilities | | | | | | | | | | | | | | | 1,598,640 | |
| | | | Health Care Equipment & Supplies – 0.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 250 | | | Labco SAS, Reg S | | | 8.500% | | | | 1/15/18 | | | | BB– | | | | 339,241 | |
| | | | Health Care Providers & Services – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 944 | | | HCA Holdings Inc. | | | 7.750% | | | | 5/15/21 | | | | B– | | | | 1,019,520 | |
| | | | | |
| | 1,400 | | | Kindred Healthcare Inc. | | | 8.250% | | | | 6/01/19 | | | | B– | | | | 1,435,000 | |
| | | | | |
| | 885 | | | Labco SAS, 144A | | | 8.500% | | | | 1/15/18 | | | | BB– | | | | 1,200,912 | |
| | | | | |
| | 1,000 | | | Tenet Healthcare Corporation, 144A | | | 4.375% | | | | 10/01/21 | | | | BB | | | | 917,500 | |
| | 4,229 | | | Total Health Care Providers & Services | | | | | | | | | | | | | | | 4,572,932 | |
| | | | Hotels, Restaurants & Leisure – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Graton Economic Development Authority, 144A | | | 9.625% | | | | 9/01/19 | | | | B | | | | 1,095,000 | |
| | | | | |
| | 775 | | | Shearer’s Foods LLC, 144A | | | 9.000% | | | | 11/01/19 | | | | B | | | | 819,563 | |
| | | | | |
| | 750 | | | Viking Cruises Limited, 144A | | | 8.500% | | | | 10/15/22 | | | | B+ | | | | 821,250 | |
| | | | | |
| | 1,280 | | | Wynn Las Vegas LLC Corporation, 144A, (5) | | | 4.250% | | | | 5/30/23 | | | | BBB– | | | | 1,184,000 | |
| | 3,805 | | | Total Hotels, Restaurants & Leisure | | | | | | | | | | | | | | | 3,919,813 | |
| | | | Independent Power Producers & Energy Traders – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,095 | | | Calpine Corporation, 144A, (5) | | | 7.500% | | | | 2/15/21 | | | | BB+ | | | | 1,168,913 | |
| | | | | |
| | 2,010 | | | Constellation Energy Group | | | 5.150% | | | | 12/01/20 | | | | BBB+ | | | | 2,204,409 | |
| | | | | |
| | 925 | | | Dynegy Holdings, Inc. | | | 5.875% | | | | 6/01/23 | | | | B+ | | | | 841,750 | |
| | | | | |
| | 1,164 | | | GenOn Energy | | | 9.500% | | | | 10/15/18 | | | | B | | | | 1,292,040 | |
| | 5,194 | | | Total Independent Power Producers & Energy Traders | | | | | | | | | | | | | | | 5,507,112 | |
| | | | Industrial Conglomerates – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | OAS Financial Limited, 144A | | | 8.875% | | | | 7/25/63 | | | | BB– | | | | 955,000 | |
| | | | Insurance – 2.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,475 | | | AFLAC Insurance | | | 6.450% | | | | 8/15/40 | | | | A– | | | | 2,906,959 | |
| | | | | |
| | 2,645 | | | Hartford Financial Services Group Inc. | | | 6.000% | | | | 1/15/19 | | | | BBB | | | | 2,981,701 | |
| | | | | |
| | 1,370 | | | Liberty Mutual Group Inc., 144A | | | 4.950% | | | | 5/01/22 | | | | Baa2 | | | | 1,406,560 | |
| | | | | |
| | 1,055 | | | Lincoln National Corporation | | | 8.750% | | | | 7/01/19 | | | | A– | | | | 1,352,650 | |
| | | | | |
| | 1,498 | | | Lincoln National Corporation | | | 4.200% | | | | 3/15/22 | | | | A– | | | | 1,522,155 | |
| | | | | |
| | 840 | | | Pacific LifeCorp. | | | 6.000% | | | | 2/10/20 | | | | BBB+ | | | | 937,728 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Insurance (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,830 | | | UnumProvident Corporation, (5) | | | 5.625% | | | | 9/15/20 | | | | BBB | | | $ | 2,016,945 | |
| | 11,713 | | | Total Insurance | | | | | | | | | | | | | | | 13,124,698 | |
| | | | IT Services – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,395 | | | Computer Sciences Corporation | | | 4.450% | | | | 9/15/22 | | | | BBB | | | | 2,364,931 | |
| | | | | |
| | 900 | | | First Data Corporation, (5) | | | 6.750% | | | | 11/01/20 | | | | BB– | | | | 915,750 | |
| | 3,295 | | | Total IT Services | | | | | | | | | | | | | | | 3,280,681 | |
| | | | Machinery – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Loxam SAS, 144A | | | 7.375% | | | | 1/24/20 | | | | B | | | | 1,288,626 | |
| | | | | |
| | 1,640 | | | Terex Corporation | | | 6.000% | | | | 5/15/21 | | | | BB– | | | | 1,635,900 | |
| | 2,640 | | | Total Machinery | | | | | | | | | | | | | | | 2,924,526 | |
| | | | Marine – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,360 | | | Navios Maritime Acquisition Corporation, (5) | | | 8.625% | | | | 11/01/17 | | | | B | | | | 1,390,600 | |
| | | | Media – 4.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,175 | | | Cequel Communication Holdings I, 144A | | | 5.125% | | | | 12/15/21 | | | | B– | | | | 1,104,500 | |
| | | | | |
| | 740 | | | Charter Communications, CCO Holdings LLC | | | 5.125% | | | | 2/15/23 | | | | BB– | | | | 693,750 | |
| | | | | |
| | 1,000 | | | Clear Channel Communications, Inc., 144A | | | 11.250% | | | | 3/01/21 | | | | CCC+ | | | | 1,042,500 | |
| | | | | |
| | 1,790 | | | Comcast Corporation | | | 6.400% | | | | 5/15/38 | | | | A– | | | | 2,136,501 | |
| | | | | |
| | 1,935 | | | DIRECTV Holdings LLC | | | 5.200% | | | | 3/15/20 | | | | BBB | | | | 2,089,264 | |
| | | | | |
| | 1,760 | | | Dish DBS Corporation, 144A | | | 4.250% | | | | 4/01/18 | | | | BB– | | | | 1,724,800 | |
| | | | | |
| | 1,000 | | | McGraw-Hill Global Education Holdings, 144A | | | 9.750% | | | | 4/01/21 | | | | BB | | | | 1,022,500 | |
| | | | | |
| | 1,250 | | | Nara Cable Funding Limited, 144A | | | 8.875% | | | | 12/01/18 | | | | BB– | | | | 1,300,000 | |
| | | | | |
| | 1,425 | | | NBC Universal Media LLC | | | 2.875% | | | | 1/15/23 | | | | A– | | | | 1,353,519 | |
| | | | | |
| | 2,750 | | | News America Holdings Inc. | | | 6.650% | | | | 11/15/37 | | | | BBB+ | | | | 3,164,552 | |
| | | | | |
| | 1,500 | | | SES SA, 144A | | | 3.600% | | | | 4/04/23 | | | | BBB | | | | 1,458,270 | |
| | | | | |
| | 1,515 | | | Time Warner Cable Inc. | | | 5.875% | | | | 11/15/40 | | | | BBB | | | | 1,387,819 | |
| | | | | |
| | 1,500 | | | Time Warner Inc. | | | 4.750% | | | | 3/29/21 | | | | BBB+ | | | | 1,613,621 | |
| | | | | |
| | 1,750 | | | Time Warner Inc. | | | 6.100% | | | | 7/15/40 | | | | BBB+ | | | | 1,910,668 | |
| | | | | |
| | 500 | | | UnityMedia Hessen GmBH, 144A | | | 7.500% | | | | 3/15/19 | | | | Ba3 | | | | 526,250 | |
| | | | | |
| | 2,306 | | | Viacom Inc. | | | 4.375% | | | | 3/15/43 | | | | BBB+ | | | | 1,955,942 | |
| | | | | |
| | 1,000 | | | Videotron Limited, 144A | | | 5.625% | | | | 6/15/25 | | | | B | | | | 908,054 | |
| | | | | |
| | 2,085 | | | Vivendi SA, 144A | | | 4.750% | | | | 4/12/22 | | | | BBB | | | | 2,085,354 | |
| | 26,981 | | | Total Media | | | | | | | | | | | | | | | 27,477,864 | |
| | | | Metals & Mining – 6.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 4,180 | | | Alcoa Inc. | | | 5.400% | | | | 4/15/21 | | | | BBB– | | | | 4,068,867 | |
| | | | | |
| | 2,690 | | | Anglogold Holdings PLC | | | 6.500% | | | | 4/15/40 | | | | Baa2 | | | | 2,224,832 | |
| | | | | |
| | 4,305 | | | ArcelorMittal, (5) | | | 6.750% | | | | 2/25/22 | | | | BB+ | | | | 4,412,625 | |
| | | | | |
| | 750 | | | Bumi Investment PTE Limited, 144A, (5) | | | 10.750% | | | | 10/06/17 | | | | B– | | | | 540,000 | |
| | | | | |
| | 950 | | | Century Aluminum Company, 144A, (5) | | | 7.500% | | | | 6/01/21 | | | | B | | | | 921,500 | |
| | | | | |
| | 4,380 | | | Cliffs Natural Resources Inc., (5) | | | 4.800% | | | | 10/01/20 | | | | BBB– | | | | 3,948,114 | |
| | | | | |
| | 1,000 | | | Coeur D’Alene Mines Corporation, 144A | | | 7.875% | | | | 2/01/21 | | | | BB– | | | | 985,000 | |
| | | | | |
| | 500 | | | Commercial Metals Inc. | | | 4.875% | | | | 5/15/23 | | | | BB+ | | | | 460,000 | |
| | | | | |
| | 1,250 | | | FMG Resources, 144A, (5) | | | 6.000% | | | | 4/01/17 | | | | BB+ | | | | 1,215,625 | |
| | | | | |
| | 1,165 | | | Freeport McMoRan Copper & Gold, Inc., (5) | | | 3.550% | | | | 3/01/22 | | | | BBB | | | | 1,058,236 | |
| | | | | |
| | 1,225 | | | IAMGOLD Corporation, 144A | | | 6.750% | | | | 10/01/20 | | | | BB– | | | | 1,035,125 | |
| | | | | |
| | 750 | | | Inmet Mining Corporation, 144A | | | 8.750% | | | | 6/01/20 | | | | B+ | | | | 766,875 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Metals & Mining (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 500 | | | Mirabela Nickel Limited, 144A | | | 8.750% | | | | 4/15/18 | | | | B– | | | $ | 395,000 | |
| | | | | |
| | 2,610 | | | Newmont Mining Corporation, (5) | | | 3.500% | | | | 3/15/22 | | | | BBB+ | | | | 2,233,469 | |
| | | | | |
| | 1,250 | | | Severstal OAO via Steel Capital, 144A | | | 4.450% | | | | 3/19/18 | | | | BB+ | | | | 1,181,250 | |
| | | | | |
| | 512 | | | Taseko Mines Limited | | | 7.750% | | | | 4/15/19 | | | | B | | | | 505,600 | |
| | | | | |
| | 1,775 | | | Teck Resources Limited | | | 6.125% | | | | 10/01/35 | | | | BBB | | | | 1,761,586 | |
| | | | | |
| | 1,140 | | | Teck Resources Limited | | | 6.250% | | | | 7/15/41 | | | | BBB | | | | 1,079,997 | |
| | | | | |
| | 1,000 | | | Thompson Creek Metals Company, (5) | | | 9.750% | | | | 12/01/17 | | | | B1 | | | | 1,032,500 | |
| | | | | |
| | 500 | | | Thompson Creek Metals Company | | | 7.375% | | | | 6/01/18 | | | | Caa2 | | | | 412,500 | |
| | | | | |
| | 1,050 | | | TMK OAO Capital SA, 144A | | | 6.750% | | | | 4/03/20 | | | | B+ | | | | 973,875 | |
| | | | | |
| | 2,410 | | | Vale Overseas Limited | | | 6.875% | | | | 11/10/39 | | | | A– | | | | 2,432,608 | |
| | | | | |
| | 1,000 | | | Vedanta Resources PLC, 144A | | | 6.000% | | | | 1/31/19 | | | | BB | | | | 950,000 | |
| | | | | |
| | 1,465 | | | WPE International Cooperatief U.A, 144A, (5) | | | 10.375% | | | | 9/30/20 | | | | B+ | | | | 1,142,700 | |
| | | | | |
| | 1,765 | | | Xstrata Finance Canada Limited, 144A | | | 6.900% | | | | 11/15/37 | | | | BBB | | | | 1,767,485 | |
| | 40,122 | | | Total Metals & Mining | | | | | | | | | | | | | | | 37,505,369 | |
| | | | Multiline Retail – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 500 | | | J.C. Penney Company Inc. | | | 7.950% | | | | 4/01/17 | | | | B– | | | | 481,250 | |
| | | | | |
| | 1,840 | | | Macys Retail Holdings Inc. | | | 3.875% | | | | 1/15/22 | | | | BBB | | | | 1,844,802 | |
| | 2,340 | | | Total Multiline Retail | | | | | | | | | | | | | | | 2,326,052 | |
| | | | Oil, Gas & Consumable Fuels – 9.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 740 | | | Amerada Hess Corporation | | | 7.125% | | | | 3/15/33 | | | | BBB | | | | 869,907 | |
| | | | | |
| | 2,170 | | | Anadarko Petroleum Corporation | | | 6.200% | | | | 3/15/40 | | | | BBB– | | | | 2,434,684 | |
| | | | | |
| | 1,570 | | | Athabasca Oil Corporation, 144A | | | 7.500% | | | | 11/19/17 | | | | B | | | | 1,418,180 | |
| | | | | |
| | 1,435 | | | Atlas Pipeline LP Finance, 144A | | | 5.875% | | | | 8/01/23 | | | | B+ | | | | 1,363,250 | |
| | | | | |
| | 1,395 | | | Bill Barrett Corporation, (5) | | | 7.000% | | | | 10/15/22 | | | | B+ | | | | 1,395,000 | |
| | | | | |
| | 1,225 | | | Calumet Specialty Products | | | 9.375% | | | | 5/01/19 | | | | B | | | | 1,310,750 | |
| | | | | |
| | 1,700 | | | Canadian Oil Sands Trust | | | 7.750% | | | | 5/15/19 | | | | BBB | | | | 2,051,766 | |
| | | | | |
| | 1,370 | | | Concho Resources Inc., (5) | | | 5.500% | | | | 10/01/22 | | | | BB+ | | | | 1,356,300 | |
| | | | | |
| | 1,025 | | | Continental Resources Inc. | | | 5.000% | | | | 9/15/22 | | | | BB+ | | | | 1,042,938 | |
| | | | | |
| | 500 | | | Deep Drilling 7 & 8 PT | | | 14.250% | | | | 3/05/15 | | | | N/R | | | | 537,500 | |
| | | | | |
| | 1,140 | | | Drill Rigs Holdings Inc., 144A | | | 6.500% | | | | 10/01/17 | | | | B | | | | 1,137,150 | |
| | | | | |
| | 195 | | | Enbridge Energy Partners LP | | | 5.200% | | | | 3/15/20 | | | | BBB | | | | 212,469 | |
| | | | | |
| | 1,400 | | | Everest Acquisition LLC Finance, 144A, (5) | | | 7.750% | | | | 9/01/22 | | | | B | | | | 1,498,000 | |
| | | | | |
| | 1,475 | | | Forest Oil Corporation | | | 7.250% | | | | 6/15/19 | | | | B– | | | | 1,386,500 | |
| | | | | |
| | 2,600 | | | Gazprom OAO Via Gaz Capital SA, 144A | | | 3.850% | | | | 2/06/20 | | | | Baa1 | | | | 2,418,000 | |
| | | | | |
| | 1,100 | | | Halcon Resources Corporation. | | | 9.750% | | | | 7/15/20 | | | | CCC+ | | | | 1,097,250 | |
| | | | | |
| | 1,345 | | | Key Energy Services Inc. | | | 6.750% | | | | 3/01/21 | | | | BB– | | | | 1,291,200 | |
| | | | | |
| | 600 | | | Kinder Morgan Energy Partners LP | | | 6.950% | | | | 1/15/38 | | | | BBB | | | | 709,381 | |
| | | | | |
| | 500 | | | Kodiak Oil and Gas Corporation | | | 8.125% | | | | 12/01/19 | | | | B– | | | | 542,500 | |
| | | | | |
| | 1,380 | | | Linn Energy LLC Finance Corporation, 144A | | | 6.250% | | | | 11/01/19 | | | | B | | | | 1,314,450 | |
| | | | | |
| | 2,625 | | | Lukoil International Finance, 144A | | | 6.125% | | | | 11/09/20 | | | | BBB | | | | 2,762,813 | |
| | | | | |
| | 1,290 | | | Martin Mid-Stream Partners LP Finance, 144A | | | 7.250% | | | | 2/15/21 | | | | B– | | | | 1,296,450 | |
| | | | | |
| | 1,325 | | | MEG Energy Corporation, 144A | | | 6.375% | | | | 1/30/23 | | | | BB | | | | 1,285,250 | |
| | | | | |
| | 750 | | | Newfield Exploration Company | | | 5.625% | | | | 7/01/24 | | | | BBB– | | | | 727,500 | |
| | | | | |
| | 1,325 | | | Niska Gas Storage US LLC | | | 8.875% | | | | 3/15/18 | | | | B+ | | | | 1,374,688 | |
| | | | | |
| | 1,120 | | | Noble Energy Inc. | | | 4.150% | | | | 12/15/21 | | | | BBB | | | | 1,156,415 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Oil, Gas & Consumable Fuels (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,225 | | | Northern Tier Energy LLC, 144A | | | 7.125% | | | | 11/15/20 | | | | BB– | | | $ | 1,237,250 | |
| | | | | |
| | 1,000 | | | Ocean Rig UDW Inc. | | | 9.500% | | | | 4/27/16 | | | | CCC+ | | | | 1,037,500 | |
| | | | | |
| | 1,195 | | | Offshore Group Investment Limited | | | 7.500% | | | | 11/01/19 | | | | B– | | | | 1,245,788 | |
| | | | | |
| | 1,130 | | | Paramount Resources Limited, 144A | | | 7.625% | | | | 12/04/19 | | | | B | | | | 1,074,451 | |
| | | | | |
| | 1,325 | | | PBF Holding Company LLC | | | 8.250% | | | | 2/15/20 | | | | BB+ | | | | 1,387,938 | |
| | | | | |
| | 750 | | | Penn Virginia Corporation, 144A | | | 8.500% | | | | 5/01/20 | | | | B– | | | | 727,500 | |
| | | | | |
| | 1,000 | | | PetroBakken Energy Limited, 144A | | | 8.625% | | | | 2/01/20 | | | | CCC+ | | | | 950,000 | |
| | | | | |
| | 1,770 | | | Petrobras International Finance Company | | | 6.875% | | | | 1/20/40 | | | | A3 | | | | 1,786,774 | |
| | | | | |
| | 1,275 | | | Petro-Canada | | | 6.800% | | | | 5/15/38 | | | | BBB+ | | | | 1,477,575 | |
| | | | | |
| | 500 | | | Rosneft International Finance, 144A | | | 4.199% | | | | 3/06/22 | | | | Baa1 | | | | 463,250 | |
| | | | | |
| | 2,500 | | | Sabine Pass LNG LP, 144A | | | 6.500% | | | | 11/01/20 | | | | BB+ | | | | 2,525,000 | |
| | | | | |
| | 1,125 | | | Sandridge Energy Inc., (5) | | | 8.125% | | | | 10/15/22 | | | | B2 | | | | 1,113,750 | |
| | | | | |
| | 6,000 | | | Ship Finance International Limited | | | 6.810% | | | | 10/19/17 | | | | N/R | | | | 972,944 | |
| | | | | |
| | 1,845 | | | Sinopec Group Overseas Development 2012, 144A | | | 3.900% | | | | 5/17/22 | | | | Aa3 | | | | 1,791,202 | |
| | | | | |
| | 1,025 | | | SM Energy Company | | | 6.625% | | | | 2/15/19 | | | | BB– | | | | 1,073,688 | |
| | | | | |
| | 1,445 | | | Southwestern Energy Company | | | 4.100% | | | | 3/15/22 | | | | BBB– | | | | 1,438,837 | |
| | | | | |
| | 1,395 | | | Targa Resources Inc., 144A, (5) | | | 4.250% | | | | 11/15/23 | | | | BB | | | | 1,245,039 | |
| | | | | |
| | 1,900 | | | Thai Oil PCL, 144A | | | 3.625% | | | | 1/23/23 | | | | Baa1 | | | | 1,733,433 | |
| | | | | |
| | 1,000 | | | Western Refining Inc., 144A | | | 6.250% | | | | 4/01/21 | | | | BB– | | | | 977,500 | |
| | 62,705 | | | Total Oil, Gas & Consumable Fuels | | | | | | | | | | | | | | | 58,249,710 | |
| | | | Paper & Forest Products – 1.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,615 | | | Domtar Corporation | | | 4.400% | | | | 4/01/22 | | | | BBB– | | | | 2,535,716 | |
| | | | | |
| | 1,860 | | | International Paper Company | | | 8.700% | | | | 6/15/38 | | | | BBB | | | | 2,524,420 | |
| | | | | |
| | 1,000 | | | Resolute Forest Products, 144A | | | 5.875% | | | | 5/15/23 | | | | BB– | | | | 892,500 | |
| | | | | |
| | 750 | | | Sappi Papier Holding GMBH, 144A | | | 8.375% | | | | 6/15/19 | | | | BB | | | | 791,250 | |
| | | | | |
| | 950 | | | Tembec Industries, Inc. | | | 11.250% | | | | 12/15/18 | | | | B3 | | | | 1,026,000 | |
| | 7,175 | | | Total Paper & Forest Products | | | | | | | | | | | | | | | 7,769,886 | |
| | | | Personal Products – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | Albea Beauty Holdings SA, 144A | | | 8.375% | | | | 11/01/19 | | | | B+ | | | | 1,225,000 | |
| | | | Pharmaceuticals – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,150 | | | AbbVie Inc., 144A | | | 2.900% | | | | 11/06/22 | | | | A+ | | | | 1,075,412 | |
| | | | | |
| | 1,000 | | | Endo Pharmaceutical Holdings Inc. | | | 7.000% | | | | 12/15/20 | | | | BB– | | | | 1,003,750 | |
| | | | | |
| | 1,400 | | | Sky Growth Holdings Corporation, dba Par Pharmaceuticals, 144A | | | 7.375% | | | | 10/15/20 | | | | B– | | | | 1,435,000 | |
| | | | | |
| | 1,080 | | | Valeant Pharmaceuticals International, 144A | | | 6.375% | | | | 10/15/20 | | | | B1 | | | | 1,067,850 | |
| | 4,630 | | | Total Pharmaceuticals | | | | | | | | | | | | | | | 4,582,012 | |
| | | | Real Estate Investment Trust – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,820 | | | HCP Inc. | | | 3.750% | | | | 2/01/19 | | | | BBB+ | | | | 1,867,562 | |
| | | | | |
| | 750 | | | KWG Property Holdings Limited | | | 13.250% | | | | 3/22/17 | | | | B+ | | | | 814,774 | |
| | | | | |
| | 1,420 | | | Plum Creek Timberlands LP | | | 4.700% | | | | 3/15/21 | | | | BBB | | | | 1,469,219 | |
| | | | | |
| | 2,125 | | | Prologis Inc. | | | 6.875% | | | | 3/15/20 | | | | BBB | | | | 2,465,716 | |
| | 6,115 | | | Total Real Estate Investment Trust | | | | | | | | | | | | | | | 6,617,271 | |
| | | | Real Estate Management & Development – 1.0% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Agile Property Holdings Limited, (5) | | | 8.875% | | | | 4/28/17 | | | | BB | | | | 1,020,000 | |
| | | | | |
| | 1,100 | | | Country Garden Holding Company, 144A, (5) | | | 11.125% | | | | 2/23/18 | | | | BB– | | | | 1,193,500 | |
| | | | | |
| | 500 | | | Crescent Resources LLC, 144A | | | 10.250% | | | | 8/15/17 | | | | B– | | | | 515,000 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Real Estate Management & Development (continued) | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,100 | | | Kaisa Group Holdings Limited, 144A, (5) | | | 8.875% | | | | 3/19/18 | | | | B+ | | | $ | 1,050,500 | |
| | | | | |
| | 875 | | | Mattamy Group Corporation, 144A | | | 6.500% | | | | 11/15/20 | | | | BB | | | | 857,500 | |
| | | | | |
| | 800 | | | Gemdale International Investment Limited | | | 7.125% | | | | 11/16/17 | | | | BB– | | | | 782,284 | |
| | | | | |
| | 750 | | | Shimao Property Holdings Limited | | | 11.000% | | | | 3/08/18 | | | | BB | | | | 800,571 | |
| | 6,125 | | | Total Real Estate Management & Development | | | | | | | | | | | | | | | 6,219,355 | |
| | | | Road & Rail – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,000 | | | Hertz Corporation | | | 7.375% | | | | 1/15/21 | | | | B | | | | 1,082,500 | |
| | | | | |
| | 700 | | | Hertz Corporation | | | 6.250% | | | | 10/15/22 | | | | B | | | | 730,625 | |
| | 1,700 | | | Total Road & Rail | | | | | | | | | | | | | | | 1,813,125 | |
| | | | Semiconductors & Equipment – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,180 | | | Freescale Semiconductor Inc., 144A | | | 5.000% | | | | 5/15/21 | | | | B1 | | | | 1,121,000 | |
| | | | | |
| | 840 | | | Intel Corporation | | | 4.800% | | | | 10/01/41 | | | | A+ | | | | 835,177 | |
| | | | | |
| | 1,000 | | | NXP BV, 144A | | | 5.750% | | | | 3/15/23 | | | | B | | | | 1,007,500 | |
| | 3,020 | | | Total Semiconductors & Equipment | | | | | | | | | | | | | | | 2,963,677 | |
| | | | Specialty Retail – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,220 | | | O’Reilly Automotive Inc. | | | 4.875% | | | | 1/14/21 | | | | BBB | | | | 2,363,610 | |
| | | | | |
| | 750 | | | Rite Aid Corporation, 144A, (WI/DD) | | | 6.750% | | | | 6/15/21 | | | | CCC+ | | | | 736,875 | |
| | 2,970 | | | Total Specialty Retail | | | | | | | | | | | | | | | 3,100,485 | |
| | | | Textiles, Apparel & Luxury Goods – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,220 | | | Jones Group | | | 6.875% | | | | 3/15/19 | | | | B+ | | | | 1,226,100 | |
| | | | Thrifts & Mortgage Finance – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,855 | | | WEA Finance LLC, 144A | | | 4.625% | | | | 5/10/21 | | | | A2 | | | | 1,956,921 | |
| | | | Tobacco – 1.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,125 | | | Altria Group Inc. | | | 9.950% | | | | 11/10/38 | | | | Baa1 | | | | 4,625,035 | |
| | | | | |
| | 2,800 | | | Imperial Tobacco Finance, 144A | | | 3.500% | | | | 2/11/23 | | | | BBB | | | | 2,632,446 | |
| | | | | |
| | 1,670 | | | Lorillard Tobacco, (5) | | | 6.875% | | | | 5/01/20 | | | | Baa2 | | | | 1,918,969 | |
| | | | | |
| | 1,265 | | | Reynolds American Inc. | | | 3.250% | | | | 11/01/22 | | | | Baa2 | | | | 1,175,940 | |
| | 8,860 | | | Total Tobacco | | | | | | | | | | | | | | | 10,352,390 | |
| | | | Trading Companies & Distributors – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,720 | | | International Lease Finance Corporation | | | 4.625% | | | | 4/15/21 | | | | BBB– | | | | 1,582,400 | |
| | | | | |
| | 1,000 | | | Russel Metals Inc., 144A | | | 6.000% | | | | 4/19/22 | | | | Ba1 | | | | 950,841 | |
| | 2,720 | | | Total Trading Companies & Distributors | | | | | | | | | | | | | | | 2,533,241 | |
| | | | Transportation Infrastructure – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 4,025 | | | Asciano Finance Limited, 144A | | | 5.000% | | | | 4/07/18 | | | | Baa2 | | | | 4,276,084 | |
| | | | Wireless Telecommunication Services – 1.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,070 | | | American Tower Company | | | 5.050% | | | | 9/01/20 | | | | BBB | | | | 2,175,346 | |
| | | | | |
| | 500 | | | Clearwire Corporation, 144A | | | 14.750% | | | | 12/01/16 | | | | B3 | | | | 682,500 | |
| | | | | |
| | 1,450 | | | Digicel Limited, 144A | | | 7.000% | | | | 2/15/20 | | | | B1 | | | | 1,464,500 | |
| | | | | |
| | 1,500 | | | Eileme AB, 144A | | | 11.625% | | | | 1/31/20 | | | | B– | | | | 1,695,000 | |
| | | | | |
| | 750 | | | FairPoint Communications Inc., 144A | | | 8.750% | | | | 8/15/19 | | | | B | | | | 742,500 | |
| | | | | |
| | 1,325 | | | Frontier Communications Corporation | | | 7.625% | | | | 4/15/24 | | | | BB+ | | | | 1,328,311 | |
| | | | | |
| | 966 | | | Sprint Nextel Corporation | | | 7.000% | | | | 3/01/20 | | | | BB | | | | 1,042,200 | |
| | | | | |
| | 1,000 | | | Wind Acquisition Finance SA, 144A | | | 7.250% | | | | 2/15/18 | | | | BB | | | | 997,500 | |
| | 9,561 | | | Total Wireless Telecommunication Services | | | | | | | | | | | | | | | 10,127,857 | |
| $ | 418,512 | | | Total Corporate Bonds (cost $418,872,899) | | | | | | | | | | | | | | | 424,941,913 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | CONVERTIBLE BONDS – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Commercial Banks – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 650 | | | Lloyds Banking Group LBG Capital 1, 144A | | | 8.000% | | | | 6/15/20 | | | | BB | | | $ | 659,702 | |
| $ | 650 | | | Total Convertible Bonds (cost $672,747) | | | | | | | | | | | | | | | 659,702 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | $1,000 PAR (OR SIMILAR) INSTITUTIONAL STRUCTURES – 6.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Capital Markets – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,500 | | | Dresdner Funding Trust, 144A, (5) | | | 8.151% | | | | 6/30/31 | | | | BB | | | $ | 1,505,625 | |
| | | | | |
| | 1,495 | | | Goldman Sachs Capital II | | | 4.000% | | | | N/A (6) | | | | BB+ | | | | 1,188,525 | |
| | 2,995 | | | Total Capital Markets | | | | | | | | | | | | | | | 2,694,150 | |
| | | | Commercial Banks – 2.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,830 | | | Barclays Bank PLC | | | 4.750% | | | | N/A (6) | | | | BBB– | | | | 2,646,555 | |
| | | | | |
| | 650 | | | Barclays Bank PLC | | | 6.000% | | | | N/A (6) | | | | BBB– | | | | 855,456 | |
| | | | | |
| | 1,000 | | | Credit Agricole, S.A, 144A, (5) | | | 6.637% | | | | N/A (6) | | | | BBB– | | | | 922,500 | |
| | | | | |
| | 1,525 | | | Fifth Third Bancorp., (5) | | | 5.100% | | | | N/A (6) | | | | BB+ | | | | 1,441,125 | |
| | | | | |
| | 1,000 | | | HBOS Capital Funding LP, 144A | | | 6.071% | | | | N/A (6) | | | | BB | | | | 870,000 | |
| | | | | |
| | 1,170 | | | Rabobank Nederland, 144A | | | 11.000% | | | | N/A (6) | | | | A– | | | | 1,500,525 | |
| | | | | |
| | 1,500 | | | RBS Capital Trust, (5) | | | 5.512% | | | | N/A (6) | | | | BB | | | | 1,095,000 | |
| | | | | |
| | 500 | | | RBS Capital Trust, (5) | | | 1.076% | | | | N/A (6) | | | | BB | | | | 360,000 | |
| | | | | |
| | 500 | | | Societe Generale, 144A | | | 1.055% | | | | N/A (6) | | | | BBB– | | | | 390,000 | |
| | | | | |
| | 5,585 | | | Wachovia Capital Trust III | | | 5.570% | | | | N/A (6) | | | | BBB+ | | | | 5,480,281 | |
| | 16,260 | | | Total Commercial Banks | | | | | | | | | | | | | | | 15,561,442 | |
| | | | Diversified Financial Services – 1.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,500 | | | Citigroup Inc. | | | 5.950% | | | | N/A (6) | | | | BB | | | | 1,492,650 | |
| | | | | |
| | 5,000 | | | General Electric Capital Corporation | | | 7.125% | | | | N/A (6) | | | | AA– | | | | 5,650,000 | |
| | | | | |
| | 1,130 | | | JPMorgan Chase & Company | | | 5.150% | | | | N/A (6) | | | | BBB | | | | 1,076,325 | |
| | 7,630 | | | Total Diversified Financial Services | | | | | | | | | | | | | | | 8,218,975 | |
| | | | Electric Utilities – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,570 | | | Electricite de France, 144A | | | 5.250% | | | | N/A (6) | | | | A3 | | | | 1,500,920 | |
| | | | Insurance – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,050 | | | Catlin Insurance Company Limited | | | 7.249% | | | | N/A (6) | | | | BBB+ | | | | 2,096,125 | |
| | | | | |
| | 1,250 | | | Genworth Financial Inc. | | | 6.150% | | | | 11/15/66 | | | | Ba1 | | | | 1,084,375 | |
| | | | | |
| | 1,705 | | | Liberty Mutual Group, 144A | | | 7.000% | | | | 3/15/37 | | | | Baa3 | | | | 1,722,050 | |
| | | | | |
| | 1,620 | | | Lincoln National Corporation | | | 6.050% | | | | 4/20/67 | | | | BBB | | | | 1,587,082 | |
| | | | | |
| | 1,035 | | | Prudential Financial Inc. | | | 5.200% | | | | 3/15/44 | | | | BBB+ | | | | 978,075 | |
| | | | | |
| | 1,000 | | | XL Capital Ltd, (5) | | | 6.500% | | | | N/A (6) | | | | BBB- | | | | 975,000 | |
| | | | | |
| | 1,860 | | | ZFS Finance USA Trust V | | | 6.500% | | | | 5/09/37 | | | | A | | | | 1,980,900 | |
| | 10,520 | | | Total Insurance | | | | | | | | | | | | | | | 10,423,607 | |
| | | | IT Services – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 575 | | | Zayo Escrow Corporation | | | 8.125% | | | | 1/01/20 | | | | B1 | | | | 623,875 | |
| $ | 39,550 | | | Total $1,000 Par (or similar) Institutional Structures (cost $37,814,380) | | | | | | | | 39,022,969 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | | | | Optional Call
Provisions (7) | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | MUNICIPAL BONDS – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Illinois – 0.7% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 3,840 | | | Illinois State, General Obligation Bonds, Taxable Series 2011, 5.877%, 3/01/19 | | | | | | | No Opt. Call | | | | A– | | | $ | 4,237,632 | |
| $ | 3,840 | | | Total Municipal Bonds (cost $3,840,000) | | | | | | | | | | | | | | | 4,237,632 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 10.8% | | | | | | | | | | | | | |
| | | | | |
| $ | 1,579 | | | 321 Henderson Receivables LLC, Series 2010-3A | | | 3.820% | | | | 12/15/48 | | | | Aaa | | | $ | 1,651,811 | |
| | | | | |
| | 2,270 | | | AmeriCold LLC Trust, Series 2010 | | | 6.811% | | | | 1/14/29 | | | | A+ | | | | 2,617,396 | |
| | | | | |
| | 3,361 | | | Banc of America Alternative Loan Trust, Pass Through Certificates, Series 2006-6 | | | 6.000% | | | | 7/25/46 | | | | Caa3 | | | | 2,727,806 | |
| | | | | |
| | 56 | | | Bank of America Alternative Loan Trust, Series 2005-5 2 CB1 | | | 6.000% | | | | 6/25/35 | | | | Caa1 | | | | 47,985 | |
| | | | | |
| | 350 | | | Bank of America Commercial Mortgage Inc., Commercial Mortgage Pass-Through Certificates, Series 2005-4 | | | 4.933% | | | | 7/10/45 | | | | AAA | | | | 373,049 | |
| | | | | |
| | 2,458 | | | Bayview Opportunity Master Fund Trust, 2013-8NPL | | | 3.228% | | | | 3/28/33 | | | | N/R | | | | 2,451,296 | |
| | | | | |
| | 284 | | | Citigroup Commercial Mortgage Securities Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-CD4, (5) | | | 5.205% | | | | 12/11/49 | | | | AAA | | | | 286,094 | |
| | | | | |
| | 1,360 | | | Countrywide ABS Asset-Backed Certificate Trust 2007-9 | | | 0.323% | | | | 6/25/47 | | | | B– | | | | 1,339,706 | |
| | | | | |
| | 491 | | | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2004-24CB | | | 5.000% | | | | 11/25/19 | | | | B3 | | | | 494,089 | |
| | | | | |
| | 825 | | | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2006-19CB | | | 6.000% | | | | 8/25/36 | | | | Caa3 | | | | 702,060 | |
| | | | | |
| | 3,200 | | | Countrywide Asset Backed Certificates, Series 2007-4 A2 | | | 5.530% | | | | 3/25/29 | | | | Caa1 | | | | 2,981,549 | |
| | | | | |
| | 383 | | | Countrywide Asset-Backed Certificates Trust, Series 2006-25 | | | 0.313% | | | | 6/25/47 | | | | AAA | | | | 380,369 | |
| | | | | |
| | 1,592 | | | Countrywide Home Loans, Asset Backed Certificates Series 2007-7 | | | 0.353% | | | | 10/25/47 | | | | AAA | | | | 1,551,145 | |
| | | | | |
| | 640 | | | Countrywide Home Loan Mortgage Pass Through Trust, Series 2004-2 | | | 2.762% | | | | 2/25/34 | | | | A | | | | 593,590 | |
| | | | | |
| | 2,104 | | | Countrywide Home Loans Mortgage, Series 2005-27 | | | 5.500% | | | | 1/25/23 | | | | Caa1 | | | | 1,944,804 | |
| | | | | |
| | 261 | | | Credit Suisse First Boston Mortgage Securities Corporation, Mortgage-Backed Pass-Through Certificates, Series 2003-23 | | | 5.750% | | | | 9/25/33 | | | | AA+ | | | | 275,336 | |
| | | | | |
| | 424 | | | CS First Boston Mortgage Securities Corporation, Commercial Mortgage Pass- Through Certificates, Series 2004-C1 | | | 4.750% | | | | 1/15/37 | | | | AAA | | | | 427,268 | |
| | | | | |
| | 1,036 | | | Fannie Mae Mortgage Interest STRIPS 366 25 (I/O) | | | 5.000% | | | | 9/01/24 | | | | Aaa | | | | 90,642 | |
| | | | | |
| | 604 | | | Fannie Mae Mortgage Pool AA0005 | | | 5.500% | | | | 11/01/38 | | | | Aaa | | | | 654,582 | |
| | | | | |
| | 854 | | | Fannie Mae Mortgage Pool AA0889 | | | 5.500% | | | | 12/01/38 | | | | Aaa | | | | 926,588 | |
| | | | | |
| | 4,016 | | | Fannie Mae Mortgage Pool AB1959, (8) | | | 4.000% | | | | 12/01/40 | | | | Aaa | | | | 4,195,052 | |
| | | | | |
| | 3,598 | | | Fannie Mae Mortgage Pool AC1877 | | | 4.500% | | | | 9/01/39 | | | | Aaa | | | | 3,805,763 | |
| | | | | |
| | 807 | | | Fannie Mae Mortgage Pool AL1187 | | | 5.500% | | | | 7/01/24 | | | | Aaa | | | | 852,168 | |
| | | | | |
| | 591 | | | Fannie Mae Mortgage Pool 255628 | | | 5.500% | | | | 2/01/25 | | | | Aaa | | | | 646,988 | |
| | | | | |
| | 2,243 | | | Fannie Mae Mortgage Pool 255956 | | | 5.500% | | | | 10/01/25 | | | | Aaa | | | | 2,451,647 | |
| | | | | |
| | 376 | | | Fannie Mae Mortgage Pool 256890 | | | 6.000% | | | | 9/01/37 | | | | Aaa | | | | 403,897 | |
| | | | | |
| | 271 | | | Fannie Mae Mortgage Pool 725205 | | | 5.000% | | | | 3/01/34 | | | | Aaa | | | | 292,831 | |
| | | | | |
| | 119 | | | Fannie Mae Mortgage Pool 725553 | | | 2.175% | | | | 9/01/33 | | | | Aaa | | | | 126,131 | |
| | | | | |
| | 402 | | | Fannie Mae Mortgage Pool 725773 | | | 5.500% | | | | 9/01/34 | | | | Aaa | | | | 441,103 | |
| | | | | |
| | 156 | | | Fannie Mae Mortgage Pool 735060 | | | 6.000% | | | | 11/01/34 | | | | Aaa | | | | 174,330 | |
| | | | | |
| | 93 | | | Fannie Mae Mortgage Pool 735606 | | | 1.927% | | | | 5/01/35 | | | | Aaa | | | | 97,051 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 160 | | | Fannie Mae Mortgage Pool 745101 | | | 6.000% | | | | 4/01/32 | | | | Aaa | | | $ | 172,914 | |
| | | | | |
| | 403 | | | Fannie Mae Mortgage Pool 745324 | | | 6.000% | | | | 3/01/34 | | | | Aaa | | | | 437,451 | |
| | | | | |
| | 457 | | | Fannie Mae Mortgage Pool 745548 | | | 2.320% | | | | 1/01/35 | | | | Aaa | | | | 486,208 | |
| | | | | |
| | 125 | | | Fannie Mae Mortgage Pool 824163 | | | 5.500% | | | | 4/01/35 | | | | Aaa | | | | 136,378 | |
| | | | | |
| | 320 | | | Fannie Mae Mortgage Pool 831377 | | | 6.500% | | | | 4/01/36 | | | | Aaa | | | | 357,051 | |
| | | | | |
| | 104 | | | Fannie Mae Mortgage Pool 838948 | | | 1.939% | | | | 8/01/35 | | | | Aaa | | | | 109,365 | |
| | | | | |
| | 340 | | | Fannie Mae Mortgage Pool 843435 | | | 5.500% | | | | 6/01/33 | | | | Aaa | | | | 372,431 | |
| | | | | |
| | 138 | | | Fannie Mae Mortgage Pool 852909 | | | 6.500% | | | | 4/01/36 | | | | Aaa | | | | 154,822 | |
| | | | | |
| | — | (9) | | Fannie Mae Mortgage Pool 889618 | | | 5.500% | | | | 5/01/38 | | | | Aaa | | | | 503 | |
| | | | | |
| | 406 | | | Fannie Mae Mortgage Pool 893318 | | | 6.500% | | | | 8/01/36 | | | | Aaa | | | | 455,689 | |
| | | | | |
| | 46 | | | Fannie Mae Mortgage Pool 905597 | | | 5.961% | | | | 12/01/36 | | | | Aaa | | | | 49,408 | |
| | | | | |
| | 894 | | | Fannie Mae Mortgage Pool 932323 | | | 4.500% | | | | 12/01/39 | | | | Aaa | | | | 945,849 | |
| | | | | |
| | 290 | | | Fannie Mae Mortgage Pool 944340 | | | 6.000% | | | | 6/01/37 | | | | Aaa | | | | 315,436 | |
| | | | | |
| | 136 | | | Fannie Mae Mortgage Pool 946228 | | | 5.997% | | | | 9/01/37 | | | | Aaa | | | | 147,163 | |
| | | | | |
| | — | (9) | | Fannie Mae Mortgage Pool 985344 | | | 5.500% | | | | 7/01/38 | | | | Aaa | | | | 284 | |
| | | | | |
| | 1,618 | | | FDIC Structures Sale Guaranteed Notes, Series 2010-S1 | | | 0.744% | | | | 2/25/48 | | | | Aaa | | | | 1,615,093 | |
| | | | | |
| | 20 | | | Federal Home Loan Mortgage Corporation, Mortgage Pool 1B3220 | | | 2.718% | | | | 1/01/37 | | | | Aaa | | | | 21,542 | |
| | | | | |
| | 30 | | | Federal Home Loan Mortgage Corporation, Series 2376 | | | 5.500% | | | | 11/15/16 | | | | Aaa | | | | 32,190 | |
| | | | | |
| | 985 | | | Freddie Mac Gold Pool 1K1238 | | | 2.375% | | | | 7/01/36 | | | | Aaa | | | | 1,037,957 | |
| | | | | |
| | 521 | | | Freddie Mac Gold Pool 1L0117 | | | 2.683% | | | | 10/01/29 | | | | Aaa | | | | 536,810 | |
| | | | | |
| | 384 | | | Freddie Mac Gold Pool 847240 | | | 2.288% | | | | 7/01/30 | | | | Aaa | | | | 406,640 | |
| | | | | |
| | 242 | | | Freddie Mac Gold Pool 847411 | | | 2.183% | | | | 5/01/33 | | | | Aaa | | | | 253,957 | |
| | | | | |
| | 2,113 | | | Freddie Mac Gold Pool 848289 | | | 2.372% | | | | 5/01/38 | | | | Aaa | | | | 2,245,010 | |
| | | | | |
| | 566 | | | Freddie Mac Mortgage Pool, Various A17212 | | | 6.500% | | | | 7/01/31 | | | | Aaa | | | | 650,472 | |
| | | | | |
| | 165 | | | Freddie Mac Mortgage Pool, Various H09059 | | | 7.000% | | | | 8/01/37 | | | | Aaa | | | | 184,205 | |
| | | | | |
| | 36 | | | Freddie Mac Non Gold Participation Certificates 847681 | | | 6.157% | | | | 12/01/36 | | | | Aaa | | | | 38,473 | |
| | | | | |
| | 937 | | | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2006-GG6 | | | 5.506% | | | | 4/10/38 | | | | AAA | | | | 956,002 | |
| | | | | |
| | 1,983 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2003-1 | | | 6.699% | | | | 3/25/43 | | | | Ba3 | | | | 1,273,031 | |
| | | | | |
| | 1,862 | | | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2005-AR1 | | | 3.185% | | | | 1/25/35 | | | | CC | | | | 424,960 | |
| | | | | |
| | 259 | | | Government National Mortgage Association, Guaranteed REMIC Pass Through Securities and MX Securities Trust | | | 4.500% | | | | 5/16/38 | | | | Aaa | | | | 270,523 | |
| | | | | |
| | 6 | | | Green Tree Financial Corporation, Manufactured Housing Contract Pass Through Certificates Series 1996-8 | | | 8.050% | | | | 11/15/26 | | | | AAA | | | | 6,487 | |
| | | | | |
| | 66 | | | GRMT Mortgage Loan Trust 2001-1A | | | 8.272% | | | | 7/20/31 | | | | A3 | | | | 63,278 | |
| | | | | |
| | 1,864 | | | Impac Secured Assets Corporation, Mortgage Pass-Through Certificates, Series 2000-3 | | | 8.000% | | | | 10/25/30 | | | | CCC | | | | 1,740,046 | |
| | | | | |
| | 377 | | | IndyMac INDX Mortgage Loan Trust, Pass Through Certificates, Series 2005-AR1 | | | 2.630% | | | | 3/25/35 | | | | BBB+ | | | | 368,617 | |
| | | | | |
| | 1,364 | | | JPMorgan Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2007-S1 | | | 0.473% | | | | 6/25/37 | | | | CCC | | | | 1,129,192 | |
| | | | | |
| | 60 | | | LB-UBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2005-C7 | | | 5.103% | | | | 11/18/30 | | | | AAA | | | | 60,645 | |
| | | | | |
| | 1,156 | | | Lehman Mortgage Trust, Mortgage Pass Through Certificates, Series 2008-6 | | | 5.522% | | | | 4/25/38 | | | | BB+ | | | | 1,173,403 | |
| | | | | |
| | 3,500 | | | Master RePerforming Loan Trust 2005-1 | | | 7.500% | | | | 8/25/34 | | | | Ba3 | | | | 3,634,565 | |
| | | | | |
| | 230 | | | Merrill Lynch Mortgage Investors Inc, Commercial Mortgage Pass-Through Certificates, Series 2006 | | | 5.204% | | | | 12/12/49 | | | | A1 | | | | 247,494 | |
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | | | | | | | | | | | | | |
| | | | | |
| $ | 508 | | | National Credit Union Administration Guaranteed Structured Collateral Notes | | | 2.900% | | | | 10/29/20 | | | | Aaa | | | $ | 530,227 | |
| | | | | |
| | 2,880 | | | OBP Depositor LLC Trust, Commercial Mortgage Pass Through Certificates, Series 2010-OBP | | | 4.646% | | | | 7/17/45 | | | | AAA | | | | 3,122,963 | |
| | | | | |
| | 992 | | | RBSSP Resecuritization Trust, Series 2012-8 1A1 | | | 0.319% | | | | 10/28/36 | | | | N/R | | | | 935,735 | |
| | | | | |
| | 187 | | | Residential Accredit Loans Inc., Mortgage Asset-Backed Pass-Through Certificates, Series 2005-QS12 | | | 5.500% | | | | 8/25/35 | | | | Caa2 | | | | 160,702 | |
| | | | | |
| | 584 | | | Sequoia Mortgage Trust, Mortgage Pass Through Certificates, Series 2011-1 | | | 4.125% | | | | 2/25/41 | | | | AAA | | | | 584,180 | |
| | | | | |
| | 2,811 | | | Stanwich Mortgage Loan Trust, Series 2012-NPL5 | | | 2.981% | | | | 10/16/42 | | | | N/R | | | | 2,815,834 | |
| | | | | |
| | 637 | | | Wachovia Mortgage Loan Trust LLC, Mortgage Pass-Through Certificates, Series 2005-B | | | 2.963% | | | | 10/20/35 | | | | CCC | | | | 507,862 | |
| | | | | |
| | 506 | | | Washington Mutual Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2004-RA3 | | | 6.510% | | | | 8/25/38 | | | | AA | | | | 544,082 | |
| | | | | |
| | 33 | | | Wells Fargo Mortgage Backed Securities, 2005-AR16 Class 3A2 | | | 2.682% | | | | 10/25/35 | | | | BBB– | | | | 33,106 | |
| $ | 70,105 | | | Total Asset-Backed and Mortgage-Backed Securities (cost $68,100,917) | | | | | | | | 67,750,361 | |
| | | | | |
| Shares | | | Description (1), (17) | | | | | | | | | | | Value | |
| | | | INVESTMENT COMPANIES – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 36,000 | | | Blackrock Credit Allocation Income Trust IV | | | | | | | | | | | | | | $ | 467,280 | |
| | | | | |
| | 40,000 | | | CBRE Clarion Global Real Estate Income Fund | | | | | | | | | | | | | | | 360,800 | |
| | | | | |
| | 23,000 | | | NexPoint Credit Strategies Fund | | | | | | | | | | | | | | | 181,010 | |
| | | | | |
| | 16,000 | | | Pioneer Diversified High Income Trust | | | | | | | | | | | | | | | 325,440 | |
| | | | Total Investment Companies (cost $1,173,107) | | | | | | | | | | | | | | | 1,334,530 | |
| | | | | |
Principal
Amount (000) (10) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | SOVEREIGN DEBT – 8.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Argentina – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 1,200 | | | Province of Buenos Aires, 144A | | | 10.875% | | | | 1/26/21 | | | | B– | | | $ | 786,000 | |
| | | | | |
| | 1,300 | | | Provincia de Cordoba, (5) | | | 12.375% | | | | 8/17/17 | | | | B– | | | | 955,500 | |
| | | | | |
| | 1,400 | | | Republic of Argentina | | | 8.750% | | | | 6/02/17 | | | | B | | | | 1,060,500 | |
| | 3,900 | | | Total Argentina | | | | | | | | | | | | | | | 2,802,000 | |
| | | | Bermuda – 0.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,840 | | | Bermuda Government, 144A | | | 5.603% | | | | 7/20/20 | | | | AA– | | | | 3,081,400 | |
| | | | Indonesia – 0.3% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,830 | | | Republic of Indonesia, 144A | | | 5.875% | | | | 3/13/20 | | | | Baa3 | | | | 1,980,975 | |
| | | | Ireland – 0.9% | | | | | | | | | | | | | | | | |
| | | | | |
| | 2,375 | EUR | | Irish Republic Treasury Bond | | | 5.900% | | | | 10/18/19 | | | | BBB+ | | | | 3,480,497 | |
| | | | | |
| | 1,500 | EUR | | Irish Republic Treasury Bond | | | 5.500% | | | | 10/18/17 | | | | BBB+ | | | | 2,158,449 | |
| | 3,875 | EUR | | Total Ireland | | | | | | | | | | | | | | | 5,638,946 | |
| | | | Mexico – 3.5% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,330 | MXN | | Mexico Bonos de DeSarrollo | | | 8.500% | | | | 12/13/18 | | | | A– | | | | 11,748,952 | |
| | | | | |
| | 503 | MXN | | Mexico Bonos de DeSarrollo | | | 8.000% | | | | 12/07/23 | | | | A– | | | | 4,505,636 | |
| | | | | |
| | 698 | MXN | | Mexico Bonos de DeSarrollo | | | 7.750% | | | | 11/13/42 | | | | A– | | | | 5,801,694 | |
| | 2,531 | MXN | | Total Mexico | | | | | | | | | | | | | | | 22,056,282 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | | | | | | | | | |
Principal
Amount (000) (10) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | | | | | | | | | | | | | | | | | |
| | | | Portugal – 0.6% | | | | | | | | | | | | | | | | |
| | | | | |
| | 3,000 | EUR | | Portugal Obrigacoes do Tesouro | | | 5.650% | | | | 2/15/24 | | | | Ba3 | | | $ | 3,631,974 | |
| | | | South Africa – 0.4% | | | | | | | | | | | | | | | | |
| | | | | |
| | 18,500 | ZAR | | Republic of South Africa | | | 10.500% | | | | 12/21/26 | | | | A– | | | | 2,268,611 | |
| | | | Turkey – 1.7% | | | | | | | | | | | | | | | | |
| | | | | |
| | 5,400 | | | Republic of Turkey, (5) | | | 3.250% | | | | 3/23/23 | | | | Baa3 | | | | 4,711,500 | |
| | | | | |
| | 550 | | | Republic of Turkey | | | 4.875% | | | | 4/16/43 | | | | BBB– | | | | 473,000 | |
| | | | | |
| | 11,100 | TRY | | Turkey Government Bond | | | 7.100% | | | | 3/08/23 | | | | BBB | | | | 5,294,758 | |
| | | | Total Turkey | | | | | | | | | | | | | | | 10,479,258 | |
| | | | Ukraine – 0.2% | | | | | | | | | | | | | | | | |
| | | | | |
| | 1,250 | | | Republic of Ukraine, 144A, (5) | | | 7.750% | | | | 9/23/20 | | | | B | | | | 1,140,625 | |
| | | | Total Sovereign Debt (cost $59,604,162) | | | | | | | | 53,080,071 | |
| | | | | |
Principal
Amount (000) | | | Description (1) | | Coupon | | | Maturity | | | Ratings (4) | | | Value | |
| | | | STRUCTURED NOTES – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| $ | 650 | | | FDIC Structured Sales Guaranteed Notes, Series 2010-L1A | | | 0.000% | | | | 10/25/13 | | | | Aaa | | | $ | 649,584 | |
| $ | 650 | | | Total Structured Notes (cost $645,551) | | | | | | | | | | | | | | | 649,584 | |
| | | | | |
| Shares | | | Description (1) | | | | | | | | | | | Value | |
| | | | INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 10.8% | | | | | |
| | | | | |
| | | | Money Market Funds – 10.8% | | | | | | | | | | | | | | | | |
| | | | |
| | 67,716,896 | | | Mount Vernon Securities Lending Trust Prime Portfolio, 0.195% (11), (12) | | | | | | | | | | | $ | 67,716,896 | |
| | | | Total Investments Purchased with Collateral from Securities Lending (cost $67,716,896) | | | | | | | | 67,716,896 | |
| | | | | |
| Shares | | | Description (1) | | Coupon | | | | | | | | | Value | |
| | | | SHORT-TERM INVESTMENTS – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | | | Money Market Funds – 0.1% | | | | | | | | | | | | | | | | |
| | | | | |
| | 681,517 | | | First American Treasury Obligations Fund, Class Z | | | 0.000% (11) | | | | | | | | | | | $ | 681,517 | |
| | | | Total Short-Term Investments (cost $681,517) | | | | | | | | | | | | | | | 681,517 | |
| | | | Total Investments (cost $681,191,070) – 107.9% | | | | | | | | | | | | | | | 679,106,025 | |
| | | | Other Assets Less Liabilities – (7.9)% (13) | | | | | | | | | | | | | | | (49,913,413) | |
| | | | Net Assets – 100% | | | | | | | | | | | | | | $ | 629,192,612 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Investments in Derivatives as of June 30, 2013 | |
|
| Forward Foreign Currency Exchange Contracts outstanding: | |
| Counterparty | | Currency Contracts to Deliver | | Amount
(Local Currency) | | | In Exchange
For Currency | | | Amount
(Local Currency) | | | Settlement
Date | | | Unrealized
Appreciation
Depreciation
(U.S. Dollars) (13) | |
Bank of America | | Brazilian Real | | | 12,000,000 | | | | U.S. Dollar | | | | 5,419,809 | | | | 7/02/13 | | | $ | 47,128 | |
Bank of America | | U.S. Dollar | | | 5,416,140 | | | | Brazilian Real | | | | 12,000,000 | | | | 7/02/13 | | | | (33,690 | ) |
Bank of America | | U.S. Dollar | | | 5,387,689 | | | | Brazilian Real | | | | 12,000,000 | | | | 8/02/13 | | | | (52,261 | ) |
Citigroup | | Australian Dollar | | | 14,300,000 | | | | U.S. Dollar | | | | 13,660,790 | | | | 7/15/13 | | | | 599,552 | |
Citigroup | | Brazilian Real | | | 12,000,000 | | | | U.S. Dollar | | | | 5,416,140 | | | | 7/02/13 | | | | 33,690 | |
Citigroup | | British Pound Sterling | | | 630,000 | | | | U.S. Dollar | | | | 952,762 | | | | 8/05/13 | | | | (5,186 | ) |
Citigroup | | British Pound Sterling | | | 8,300,000 | | | | U.S. Dollar | | | | 12,979,125 | | | | 8/19/13 | | | | 359,754 | |
Citigroup | | Canadian Dollar | | | 4,300,000 | | | | U.S. Dollar | | | | 4,079,155 | | | | 8/30/13 | | | | (3,071 | ) |
Citigroup | | Euro | | | 1,100,000 | | | | U.S. Dollar | | | | 1,438,865 | | | | 7/31/13 | | | | 6,859 | |
| | | | | | | | | | | | | | | | | | | | | | |
| Investments in Derivatives as of June 30, 2013 (continued) | |
|
| Forward Foreign Currency Exchange Contracts outstanding (continued): | |
| Counterparty | | Currency Contracts to Deliver | | Amount
(Local Currency) | | | In Exchange
For Currency | | | Amount
(Local Currency) | | | Settlement
Date | | | Unrealized
Appreciation
Depreciation
(U.S. Dollars) (13) | |
Citigroup | | Euro | | | 4,900,000 | | | | U.S. Dollar | | | | 6,490,124 | | | | 7/31/13 | | | $ | 111,186 | |
Citigroup | | Euro | | | 10,341,423 | | | | U.S. Dollar | | | | 13,381,181 | | | | 7/31/13 | | | | (81,532 | ) |
Citigroup | | Norwegian Krone | | | 40,000,000 | | | | U.S. Dollar | | | | 6,906,077 | | | | 8/14/13 | | | | 332,218 | |
Citigroup | | U.S. Dollar | | | 5,826,657 | | | | Brazilian Real | | | | 12,000,000 | | | | 7/02/13 | | | | (453,975 | ) |
Citigroup | | U.S. Dollar | | | 14,350,164 | | | | Australian Dollar | | | | 14,300,000 | | | | 7/15/13 | | | | (1,288,926 | ) |
Citigroup | | U.S. Dollar | | | 3,203,170 | | | | Euro | | | | 2,400,000 | | | | 7/31/13 | | | | (78,792 | ) |
Citigroup | | U.S. Dollar | | | 1,439,049 | | | | Euro | | | | 1,100,000 | | | | 7/31/13 | | | | (7,042 | ) |
Citigroup | | U.S. Dollar | | | 109,640 | | | | British Pound Sterling | | | | 72,000 | | | | 8/05/13 | | | | (160 | ) |
Citigroup | | U.S. Dollar | | | 6,918,261 | | | | Norwegian Krone | | | | 40,000,000 | | | | 8/14/13 | | | | (344,402 | ) |
Citigroup | | U.S. Dollar | | | 6,175,760 | | | | British Pound Sterling | | | | 4,000,000 | | | | 8/19/13 | | | | (94,135 | ) |
Citigroup | | U.S. Dollar | | | 6,547,356 | | | | British Pound Sterling | | | | 4,300,000 | | | | 8/19/13 | | | | (9,610 | ) |
Credit Suisse | | Norwegian Krone | | | 73,500,000 | | | | U.S. Dollar | | | | 12,695,397 | | | | 8/05/13 | | | | 611,787 | |
Credit Suisse | | U.S. Dollar | | | 12,490,441 | | | | Norwegian Krone | | | | 73,500,000 | | | | 8/05/13 | | | | (406,832 | ) |
JPMorgan | | Euro | | | 9,850,000 | | | | U.S. Dollar | | | | 12,963,349 | | | | 7/25/13 | | | | 140,746 | |
JPMorgan | | Indian Rupee | | | 500,000,000 | | | | U.S. Dollar | | | | 8,298,755 | | | | 7/10/13 | | | | (96,508 | ) |
JPMorgan | | Mexican Peso | | | 66,200,000 | | | | U.S. Dollar | | | | 5,442,065 | | | | 7/08/13 | | | | 337,664 | |
JPMorgan | | Mexican Peso | | | 66,200,000 | | | | U.S. Dollar | | | | 5,059,601 | | | | 9/09/13 | | | | (15,390 | ) |
JPMorgan | | New Zealand Dollar | | | 7,500,000 | | | | U.S. Dollar | | | | 6,269,730 | | | | 7/15/13 | | | | 464,927 | |
JPMorgan | | Polish Zloty | | | 18,500,000 | | | | U.S. Dollar | | | | 5,607,760 | | | | 7/12/13 | | | | 45,037 | |
JPMorgan | | South African Rand | | | 55,000,000 | | | | U.S. Dollar | | | | 5,514,742 | | | | 7/10/13 | | | | (39,373 | ) |
JPMorgan | | U.S. Dollar | | | 5,087,963 | | | | Mexican Peso | | | | 66,200,000 | | | | 7/08/13 | | | | 16,438 | |
JPMorgan | | U.S. Dollar | | | 8,785,030 | | | | Indian Rupee | | | | 500,000,000 | | | | 7/10/13 | | | | (389,767 | ) |
JPMorgan | | U.S. Dollar | | | 5,551,462 | | | | South African Rand | | | | 55,000,000 | | | | 7/10/13 | | | | 2,653 | |
JPMorgan | | U.S. Dollar | | | 5,866,870 | | | | Polish Zloty | | | | 18,500,000 | | | | 7/12/13 | | | | (304,147 | ) |
JPMorgan | | U.S. Dollar | | | 13,761,275 | | | | New Zealand Dollar | | | | 16,300,000 | | | | 7/15/13 | | | | (1,145,503 | ) |
JPMorgan | | U.S. Dollar | | | 8,241,305 | | | | Indian Rupee | | | | 500,000,000 | | | | 8/14/13 | | | | 100,683 | |
JPMorgan | | U.S. Dollar | | | 5,466,876 | | | | South African Rand | | | | 55,000,000 | | | | 9/10/13 | | | | 36,343 | |
Nomura Securities | | Japanese Yen | | | 1,250,000,000 | | | | U.S. Dollar | | | | 13,127,384 | | | | 7/17/13 | | | | 523,177 | |
Nomura Securities | | U.S. Dollar | | | 6,577,920 | | | | Japanese Yen | | | | 640,000,000 | | | | 7/17/13 | | | | (124,566 | ) |
| | | | | | | | | | | | | | | | | | | | | $ | (1,205,026 | ) |
Credit Default Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Reference Entity | | Buy/Sell
Protection (14) | | | Current
Credit
Spread (15) | | | Notional
Amount | | | Fixed Rate
(Annualized) | | | Termination
Date | | | Value | | | Unrealized
Appreciation
(Depreciation) | |
JPMorgan | | Markit CDX NA HY20 Index | | | Sell | | | | 4.32% | | | $ | 19,600,000 | | | | 5.000 | % | | | 6/20/18 | | | $ | 623,226 | | | $ | (43,964 | ) |
Interest Rate Swaps outstanding:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Notional
Amount | | | Fund
Pay/Receive
Floating Rate | | | Floating Rate Index | | | Fixed Rate
(Annualized) | | | Fixed Rate
Payment
Frequency | | | Termination
Date | | | Unrealized
Appreciation
(Depreciation) (13) | |
Deutsche Bank AG | | $ | 33,000,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 1.741 | % | | | Semi-Annually | | | | 11/08/22 | | | $ | 2,344,520 | |
JPMorgan | | | 21,000,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 2.113 | | | | Semi-Annually | | | | 2/21/22 | | | | 392,316 | |
JPMorgan | | | 10,800,000 | | | | Receive | | | | 3-Month USD-LIBOR-BBA | | | | 2.078 | | | | Semi-Annually | | | | 2/19/23 | | | | 454,252 | |
| | | $ | 64,800,000 | | | | | | | | | | | | | | | | | | | | | | | $ | 3,191,088 | |
Futures Contracts outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Type | | Contract
Position | | | Number of
Contracts | | | Contract
Expiration | | | Notional
Amount
at Value | | | Unrealized
Appreciation
(Depreciation) | |
U.S. Treasury 2-Year Note | | | Short | | | | (32 | ) | | | 9/13 | | | $ | (7,040,000 | ) | | $ | 5,927 | |
U.S. Treasury 10-Year Note | | | Short | | | | (304 | ) | | | 9/13 | | | | (38,474,944 | ) | | | 685,429 | |
U.S. Treasury Long Bond | | | Short | | | | (30 | ) | | | 9/13 | | | | (4,075,312 | ) | | | 156,024 | |
U.S. Treasury Ultra Bond | | | Short | | | | (37 | ) | | | 9/13 | | | | (5,450,563 | ) | | | 200,128 | |
| | | | | | | | | | | | | | | $ | (55,040,819 | ) | | $ | 1,047,508 | |
Portfolio of Investments
Nuveen Strategic Income Fund (continued)
June 30, 2013
| | | | | | | | | | | | |
| Investments in Derivatives as of June 30, 2013 (continued) |
Call Options Purchased outstanding:
| | | | | | | | | | | | | | | | | | | | |
| Counterparty | | Put
Notional
Amount | | | Call Notional
Amount (16) | | | Expiration
Date | | | Strike
Price | | | Value (13) | |
| | | | | |
Credit Suisse | | $ | 19,000,000 USD | | | | 19,475,000,000 KRW | | | | 7/11/13 | | | | 1,025 KRW | | | $ | — | |
Total Call Options Purchased (premiums paid $81,130) | | | | | | | | | | | | | | | | | | $ | — | |
| | | | |
| | | | 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. |
| | (2) | | | Non-income producing; issuer has not declared a dividend within the past twelve months. |
| | (3) | | | Investment valued at fair value using methods determined in good faith by, or at the discretion of, the Board of Directors/Trustees. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Investment Valuation for more information. |
| | (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 Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
| | (5) | | | Investment, or a portion of investment, is out on loan for securities lending. The total value of securities out on loan as of the end of the reporting period was $66,024,903. |
| | (6) | | | Perpetual security. Maturity date is not applicable. |
| | (7) | | | Optional Call Provisions (not covered by the report of independent registered public accounting firm): Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. |
| | (8) | | | Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in derivatives. |
| | (9) | | | Principal Amount (000) rounds to less than $1,000. |
| | (10) | | | Principal Amount (000) denominated in U.S. Dollars, unless otherwise noted. |
| | (11) | | | The rate shown is the annualized seven-day effective yield as of the end of the reporting period. |
| | (12) | | | The Fund may loan securities representing up to one third of the fair value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks and other institutions. The Fund maintains collateral equal to at least 100% of the fair value of the securities loaned. The cash collateral received by the Fund is invested in this money market fund. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Securities Lending for more information. |
| | (13) | | | Other Assets Less Liabilities includes the Value and Unrealized Appreciation (Depreciation) of certain derivative instruments as listed within Investments in Derivatives as of the end of the reporting period. |
| | (14) | | | The Fund entered into the credit default swaps to gain investment exposure to the referenced entity. Selling protection has a similar credit risk position to owning the referenced entity. Buying protection has a similar credit risk position to selling the referenced entity short. |
| | (15) | | | The credit spread generally serves as an indication of the current status of the payment/performance risk and therefore the likelihood of default of the credit derivative. The credit spread also reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into a credit default swap contract. Higher credit spreads are indicative of higher likelihood of performance by the seller of protection. |
| | (16) | | | For disclosure purposes, Call Notional Amount is calculated by multiplying the Put Notional Amount by the Strike Price. |
| | (17) | | | A copy of the most recent financial statements for the investment companies in which the Fund invests can be obtained directly from the Securities and Exchange Commission on its website at http://www.sec.gov. |
| | I/O | | | Interest only. |
| | N/A | | | Not applicable. |
| | N/R | | | Not rated. |
| | Reg S | | | Regulation S allows U.S. companies to sell securities to persons or entities located outside of the United States without registering those securities with the Securities and Exchange Commission. Specifically, Regulation S provides a safe harbor from the registration requirements of the Securities Act for the offers and sales of securities by both foreign and domestic issuers that are made outside the United States. |
| | WI/DD | | | Investment, or portion of investment, 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. |
| | EUR | | | Euro |
| | KRW | | | South Korean Won |
| | MXN | | | Mexican Peso |
| | TRY | | | Turkish Lira |
| | USD | | | United States Dollar |
| | ZAR | | | South African Rand |
| | USD-LIBOR-BBA | | | United States Dollar–London Inter-Bank Offered Rate British Bankers’ Association. |
See accompanying notes to financial statements.
Statement of Assets & Liabilities
June 30, 2013
| | | | | | | | | | | | | | | | |
| | | Core Bond | | | Core Plus
Bond | | | Global Total
Return Bond | | | High Income
Bond | |
Assets | | | | | | | | | | | | | | | | |
Long-term investments, at value (cost $488,394,581, $657,426,801, $17,353,420 and $700,073,184, respectively) | | $ | 489,127,800 | | | $ | 673,867,312 | | | $ | 16,928,919 | | | $ | 690,871,744 | |
Investments purchased with collateral from securities lending, at value (cost approximates value) | | | 57,635,312 | | | | 74,451,214 | | | | — | | | | 124,410,338 | |
Short-term investments, at value (cost approximates value) | | | 28,052,047 | | | | 12,514,364 | | | | 2,660,291 | | | | 13,241,965 | |
Cash denominated in foreign currencies (cost $—, $—, $46,727 and $1,948, respectively) | | | — | | | | — | | | | 46,376 | | | | 1,840 | |
Cash | | | 79,095 | | | | — | | | | — | | | | 17,536 | |
Restricted cash(1) | | | — | | | | — | | | | — | | | | — | |
Credit default swaps premiums paid | | | — | | | | 134,455 | | | | 21,175 | | | | — | |
Unrealized appreciation on: | | | | | | | | | | | | | | | | |
Forward foreign currency exchange contracts | | | — | | | | 20,894 | | | | 375,049 | | | | 18,312 | |
Interest rate swaps | | | — | | | | 2,138,784 | | | | 51,543 | | | | — | |
Call options purchased, at value (premiums paid $—, $—, $4,270 and $—, respectively) | | | — | | | | — | | | | — | | | | — | |
Receivables: | | | | | | | | | | | | | | | | |
Credit default swaps premiums | | | — | | | | — | | | | — | | | | — | |
Deposits with brokers for open futures contracts | | | 744,000 | | | | 974,000 | | | | 87,091 | | | | 310,000 | |
Deposits with brokers for exchange traded swaps | | | — | | | | 142,518 | | | | 13,093 | | | | — | |
Dividends | | | — | | | | 59,063 | | | | 3,227 | | | | 494,651 | |
Due from broker | | | 10,690 | | | | 189,868 | | | | — | | | | 58,609 | |
Interest | | | 3,344,298 | | | | 6,116,306 | | | | 204,302 | | | | 12,223,046 | |
Investments sold | | | 3,321,118 | | | | 407,998 | | | | 157,644 | | | | 5,212,807 | |
Reclaims | | | — | | | | — | | | | — | | | | 485 | |
Shares sold | | | 1,683,969 | | | | 72,389 | | | | 20,291 | | | | 1,014,666 | |
Variation margin on futures contracts | | | 18,406 | | | | 41,969 | | | | 586 | | | | 12,422 | |
Variation margin on swap contracts | | | — | | | | — | | | | 5,420 | | | | — | |
Other assets | | | 11,128 | | | | 15,124 | | | | 8 | | | | 11,245 | |
Total assets | | | 584,027,863 | | | | 771,146,258 | | | | 20,575,015 | | | | 847,899,666 | |
Liabilities | | | | | | | | | | | | | | | | |
Cash overdraft | | | — | | | | — | | | | 139,697 | | | | — | |
Cash overdraft denominated in foreign currencies (cost $—, $—, $— and $—, respectively) | | | — | | | | — | | | | — | | | | — | |
Unrealized depreciation on: | | | | | | | | | | | | | | | | |
Forward foreign currency exchange contracts | | | — | | | | 188,176 | | | | 455,467 | | | | 176,048 | |
Payables: | | | | | | | | | | | | | | | | |
Collateral from securities lending program | | | 57,635,312 | | | | 74,451,214 | | | | — | | | | 124,410,338 | |
Credit default swaps premiums | |
| —
|
| |
| —
|
| |
| 10,990
|
| | | — | |
Dividends | | | 591,354 | | | | 1,357,663 | | | | 44,262 | | | | 2,599,287 | |
Investments purchased | | | 24,713,563 | | | | 19,959,708 | | | | 2,227,413 | | | | 10,296,455 | |
Shares redeemed | | | 512,034 | | | | 1,022,796 | | | | 1,484 | | | | 2,966,699 | |
Variation margin on futures contracts | | | 250,683 | | | | 124,228 | | | | 9,582 | | | | 24,625 | |
Variation margin on swap contracts | | | — | | | | 91,891 | | | | — | | | | — | |
Accrued expenses: | | | | | | | | | | | | | | | | |
Management fees | | | 166,250 | | | | 210,996 | | | | 2,096 | | | | 372,855 | |
Directors/Trustees fees | | | 13,545 | | | | 18,212 | | | | 92 | | | | 15,009 | |
12b-1 distribution and service fees | | | 4,715 | | | | 20,902 | | | | 355 | | | | 92,133 | |
Other | | | 135,866 | | | | 174,938 | | | | 46,680 | | | | 263,348 | |
Total liabilities | | | 84,023,322 | | | | 97,620,724 | | | | 2,938,118 | | | | 141,216,797 | |
Net assets | | $ | 500,004,541 | | | $ | 673,525,534 | | | $ | 17,636,897 | | | $ | 706,682,869 | |
| (1) | Restricted cash collateral for swaps. |
See accompanying notes to financial statements.
Statement of Assets & Liabilities (continued)
June 30, 2013
| | | | | | | | | | | | | | | | |
| | | Core Bond | | | Core Plus
Bond | | | Global Total
Return Bond | | | High Income
Bond | |
Class A Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 18,331,285 | | | $ | 79,739,863 | | | $ | 1,037,370 | | | $ | 141,132,207 | |
Shares outstanding | | | 1,809,777 | | | | 6,961,007 | | | | 50,509 | | | | 15,693,786 | |
Net asset value per share | | $ | 10.13 | | | $ | 11.46 | | | $ | 20.54 | | | $ | 8.99 | |
Offering price per share (net asset value per share plus maximum sales charge of 3.00%, 4.25%, 4.75% and 4.75%, respectively, of offering price) | | $ | 10.44 | | | $ | 11.97 | | | $ | 21.56 | | | $ | 9.44 | |
Class B Shares | | | | | | | | | | | | | | | | |
Net assets | | | N/A | | | $ | 608,198 | | | | N/A | | | $ | 1,523,861 | |
Shares outstanding | | | N/A | | | | 53,604 | | | | N/A | | | | 170,280 | |
Net asset value and offering price per share | | | N/A | | | $ | 11.35 | | | | N/A | | | $ | 8.95 | |
Class C Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 585,390 | | | $ | 4,200,166 | | | $ | 157,713 | | | $ | 67,466,257 | |
Shares outstanding | | | 58,063 | | | | 368,537 | | | | 7,664 | | | | 7,517,008 | |
Net asset value and offering price per share | | $ | 10.08 | | | $ | 11.40 | | | $ | 20.58 | | | $ | 8.98 | |
Class R3 Shares | | | | | | | | | | | | | | | | |
Net assets | | | N/A | | | $ | 350,259 | | | $ | 50,015 | | | $ | 697,441 | |
Shares outstanding | | | N/A | | | | 30,439 | | | | 2,430 | | | | 76,029 | |
Net asset value and offering price per share | | | N/A | | | $ | 11.51 | | | $ | 20.58 | | | $ | 9.17 | |
Class I Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 481,087,866 | | | $ | 588,627,048 | | | $ | 16,391,799 | | | $ | 495,863,103 | |
Shares outstanding | | | 47,659,405 | | | | 51,436,167 | | | | 795,467 | | | | 55,007,269 | |
Net asset value and offering price per share | | $ | 10.09 | | | $ | 11.44 | | | $ | 20.61 | | | $ | 9.01 | |
Net assets consist of: | | | | | | | | | | | | | | | | |
Capital paid-in | | $ | 494,929,018 | | | $ | 652,808,041 | | | $ | 17,342,770 | | | $ | 701,492,872 | |
Undistributed (Over-distribution of) net investment income | | | (940,797 | ) | | | (1,663,128 | ) | | | 498,232 | | | | (2,478,940 | ) |
Accumulated net realized gain (loss) | | | 5,593,762 | | | | 1,762,724 | | | | 207,637 | | | | 16,242,239 | |
Net unrealized appreciation (depreciation) | | | 422,558 | | | | 20,617,897 | | | | (411,742 | ) | | | (8,573,302 | ) |
Net assets | | $ | 500,004,541 | | | $ | 673,525,534 | | | $ | 17,636,897 | | | $ | 706,682,869 | |
Authorized shares – per class | | | 2 billion | | | | 2 billion | | | | Unlimited | | | | 2 billion | |
Par value per share | | $ | .0001 | | | $ | .0001 | | | $ | 0.01 | | | $ | .0001 | |
| N/A | – Core Bond does not offer Class B Shares or Class R3 Shares. Global Total Return Bond does not offer Class B Shares. |
See accompanying notes to financial statements.
| | | | | | | | | | | | | | | | |
| | | Inflation Protected
Securities | | | Intermediate
Government Bond | | | Short Term
Bond | | | Strategic Income | |
Assets | | | | | | | | | | | | | | | | |
Long-term investments, at value (cost $378,278,834, $63,258,081, $928,117,400 and $612,792,657, respectively) | | $ | 375,301,401 | | | $ | 64,228,069 | | | $ | 931,912,306 | | | $ | 610,707,612 | |
Investments purchased with collateral from securities lending, at value (cost approximates value) | | | 15,202,864 | | | | 500,625 | | | | 43,179,225 | | | | 67,716,896 | |
Short-term investments, at value (cost approximates value) | | | — | | | | 1,758,968 | | | | 32,859,019 | | | | 681,517 | |
Cash denominated in foreign currencies (cost $—, $—, $453 and $—, respectively) | | | — | | | | — | | | | 347 | | | | — | |
Cash | | | 318,397 | | | | — | | | | 97,970 | | | | — | |
Restricted cash(1) | | | — | | | | — | | | | — | | | | 968,071 | |
Credit default swaps premiums paid | | | — | | | | — | | | | 162,512 | | | | 667,191 | |
Unrealized appreciation on: | | | | | | | | | | | | | | | | |
Forward foreign currency exchange contracts | | | — | | | | — | | | | — | | | | 3,769,842 | |
Interest rate swaps | | | — | | | | — | | | | — | | | | 3,191,088 | |
Call options purchased, at value (premiums paid $—, $—, $— and $81,130, respectively) | | | — | | | | — | | | | — | | | | — | |
Receivables: | | | | | | | | | | | | | | | | |
Credit default swaps premiums | | | — | | |
| —
|
| |
| —
|
| |
| 374,236
|
|
Deposits with brokers for open futures contracts | | | 294,000 | | | | 63,000 | | | | 943,000 | | | | 758,000 | |
Deposits with brokers for exchange traded swaps | | | — | | | | — | | | | 675,460 | | | | 299,293 | |
Dividends | | | 8,674 | | | | — | | | | — | | | | 79,133 | |
Due from broker | | | 8,577 | | | | 6,783 | | | | 18,528 | | | | 26,053 | |
Interest | | | 1,789,971 | | | | 269,748 | | | | 5,581,272 | | | | 7,933,025 | |
Investments sold | | | — | | | | 57,495 | | | | 366,097 | | | | 12,145,810 | |
Reclaims | | | — | | | | — | | | | — | | | | 4,875 | |
Shares sold | | | 429,253 | | | | 10,684 | | | | 1,718,971 | | | | 872,077 | |
Variation margin on futures contracts | | | 13,508 | | | | — | | | | 28,203 | | | | 28,856 | |
Variation margin on swap contracts | | | — | | | | — | | | | — | | | | — | |
Other assets | | | 5,497 | | | | 79 | | | | 66,810 | | | | 98,442 | |
Total assets | | | 393,372,142 | | | | 66,895,451 | | | | 1,017,609,720 | | | | 710,322,017 | |
Liabilities | | | | | | | | | | | | | | | | |
Cash overdraft | | | — | | | | — | | | | — | | | | — | |
Cash overdraft denominated in foreign currencies (cost $—, $—, $— and $5,593, respectively) | | | — | | | | — | | | | — | | | | 6,944 | |
Unrealized depreciation on: | | | | | | | | | | | | | | | | |
Forward foreign currency exchange contracts | | | — | | | | — | | | | — | | | | 4,974,868 | |
Payables: | | | | | | | | | | | | | | | | |
Collateral from securities lending program | | | 15,202,864 | | | | 500,625 | | | | 43,179,225 | | | | 67,716,896 | |
Credit default swaps premiums | | | — | | | | — | | | | — | | | | — | |
Dividends | | | 341,722 | | | | 62,621 | | | | 1,046,701 | | | | 1,736,172 | |
Investments purchased | | | — | | | | 1,603,432 | | | | 51,286,762 | | | | 4,159,717 | |
Shares redeemed | | | 944,662 | | | | 66,011 | | | | 14,516,752 | | | | 1,818,992 | |
Variation margin on futures contracts | | | 83,625 | | | | 10,281 | | | | 13,757 | | | | 73,057 | |
Variation margin on swap contracts | | | — | | | | — | | | | 278,470 | | | | 180,996 | |
Accrued expenses: | | | | | | | | | | | | | | | | |
Management fees | | | 156,198 | | | | 11,134 | | | | 260,513 | | | | 230,548 | |
Directors/Trustees fees | | | 7,458 | | | | 365 | | | | 19,611 | | | | 15,016 | |
12b-1 distribution and service fees | | | 14,873 | | | | 3,662 | | | | 62,463 | | | | 47,286 | |
Other | | | 187,180 | | | | 54,051 | | | | 194,081 | | | | 168,913 | |
Total liabilities | | | 16,938,582 | | | | 2,312,182 | | | | 110,858,335 | | | | 81,129,405 | |
Net assets | | $ | 376,433,560 | | | $ | 64,583,269 | | | $ | 906,751,385 | | | $ | 629,192,612 | |
| (1) | Restricted cash collateral for swaps. |
See accompanying notes to financial statements.
Statement of Assets & Liabilities (continued)
June 30, 2013
| | | | | | | | | | | | | | | | |
| | | Inflation Protected
Securities | | | Intermediate
Government Bond | | | Short Term
Bond | | | Strategic
Income | |
Class A Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 21,949,429 | | | $ | 11,033,693 | | | $ | 141,098,983 | | | $ | 72,341,331 | |
Shares outstanding | | | 1,981,273 | | | | 1,255,541 | | | | 14,148,256 | | | | 6,566,888 | |
Net asset value per share | | $ | 11.08 | | | $ | 8.79 | | | $ | 9.97 | | | $ | 11.02 | |
Offering price per share (net asset value per share plus maximum sales charge of 4.25%, 3.00%, 2.25% and 4.25%, respectively, of offering price) | | $ | 11.57 | | | $ | 9.06 | | | $ | 10.20 | | | $ | 11.51 | |
Class B Shares | | | | | | | | | | | | | | | | |
Net assets | | | N/A | | | | N/A | | | | N/A | | | $ | 1,487,514 | |
Shares outstanding | | | N/A | | | | N/A | | | | N/A | | | | 135,806 | |
Net asset value and offering price per share | | | N/A | | | | N/A | | | | N/A | | | $ | 10.95 | |
Class C Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 9,761,192 | | | $ | 1,090,141 | | | $ | 44,414,156 | | | $ | 35,146,291 | |
Shares outstanding | | | 885,107 | | | | 123,869 | | | | 4,441,794 | | | | 3,211,380 | |
Net asset value and offering price per share | | $ | 11.03 | | | $ | 8.80 | | | $ | 10.00 | | | $ | 10.94 | |
Class R3 Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 519,059 | | | $ | 168,381 | | | $ | 516,424 | | | $ | 2,925,650 | |
Shares outstanding | | | 46,970 | | | | 19,178 | | | | 51,713 | | | | 264,666 | |
Net asset value and offering price per share | | $ | 11.05 | | | $ | 8.78 | | | $ | 9.99 | | | $ | 11.05 | |
Class I Shares | | | | | | | | | | | | | | | | |
Net assets | | $ | 344,203,880 | | | $ | 52,291,054 | | | $ | 720,721,822 | | | $ | 517,291,826 | |
Shares outstanding | | | 30,900,989 | | | | 5,944,479 | | | | 72,240,327 | | | | 46,978,354 | |
Net asset value and offering price per share | | $ | 11.14 | | | $ | 8.80 | | | $ | 9.98 | | | $ | 11.01 | |
Net assets consist of: | | | | | | | | | | | | | | | | |
Capital paid-in | | $ | 374,761,792 | | | $ | 71,071,124 | | | $ | 926,658,520 | | | $ | 658,126,688 | |
Undistributed (Over-distribution of) net investment income | | | (434,449 | ) | | | (115,132 | ) | | | (1,509,662 | ) | | | 13,956,128 | |
Accumulated net realized gain (loss) | | | 4,936,806 | | | | (7,372,898 | ) | | | (24,564,871 | ) | | | (43,705,078 | ) |
Net unrealized appreciation (depreciation) | | | (2,830,589 | ) | | | 1,000,175 | | | | 6,167,398 | | | | 814,874 | |
Net assets | | $ | 376,433,560 | | | $ | 64,583,269 | | | $ | 906,751,385 | | | $ | 629,192,612 | |
Authorized shares – per class | | | 2 billion | | | | 2 billion | | | | 2 billion | | | | 2 billion | |
Par value per share | | $ | .0001 | | | $ | .0001 | | | $ | .0001 | | | $ | .0001 | |
| N/A | – Inflation Protected Securities, Intermediate Government Bond and Short Term Bond do not offer Class B Shares. |
See accompanying notes to financial statements.
Statement of Operations
Year Ended June 30, 2013
| | | | | | | | | | | | | | | | |
| | | Core Bond | | | Core Plus Bond | | | Global Total
Return Bond | | | High Income
Bond | |
Investment Income | | | | | | | | | | | | | | | | |
Dividend income (net of foreign dividend tax withheld of $—, $—, $— and $12,626, respectively) | | $ | — | | | $ | 860,522 | | | $ | 18,940 | | | $ | 4,232,100 | |
Interest income (net of foreign interest tax withheld of $—, $—, $— and $19,500, respectively) | | | 14,034,961 | | | | 30,537,795 | | | | 701,450 | | | | 53,296,424 | |
Securities lending income, net | | | 105,948 | | | | 141,894 | | | | — | | | | 731,660 | |
Total investment income | | | 14,140,909 | | | | 31,540,211 | | | | 720,390 | | | | 58,260,184 | |
Expenses | | | | | | | | | | | | | | | | |
Management fees | | | 2,630,404 | | | | 3,407,914 | | | | 96,793 | | | | 4,147,980 | |
12b-1 service fees – Class A | | | 53,062 | | | | 211,713 | | | | 2,344 | | | | 388,985 | |
12b-1 distribution and service fees – Class B | | | N/A | | | | 8,460 | | | | N/A | | | | 17,530 | |
12b-1 distribution and service fees – Class C | | | 14,412 | | | | 46,647 | | | | 963 | | | | 625,311 | |
12b-1 distribution and service fees – Class R3 | | | N/A | | | | 1,795 | | | | 274 | | | | 3,664 | |
Shareholder servicing agent fees and expenses | | | 216,577 | | | | 346,567 | | | | 1,025 | | | | 452,921 | |
Custodian fees and expenses | | | 150,107 | | | | 189,690 | | | | 77,466 | | | | 189,996 | |
Directors/Trustees fees and expenses | | | 15,051 | | | | 18,977 | | | | 587 | | | | 18,797 | |
Professional fees | | | 66,671 | | | | 73,735 | | | | 44,492 | | | | 61,751 | |
Shareholder reporting expenses | | | 22,812 | | | | 46,438 | | | | 46,280 | | | | 86,324 | |
Federal and state registration fees | | | 50,996 | | | | 68,099 | | | | 33,394 | | | | 142,364 | |
Other expenses | | | 21,778 | | | | 28,276 | | | | 10,243 | | | | 27,010 | |
Total expenses before fee waiver/expense reimbursement | | | 3,241,870 | | | | 4,448,311 | | | | 313,861 | | | | 6,162,633 | |
Fee waiver/expense reimbursement | | | (83,320 | ) | | | (305,202 | ) | | | (187,147 | ) | | | — | |
Net expenses | | | 3,158,550 | | | | 4,143,109 | | | | 126,714 | | | | 6,162,633 | |
Net investment income (loss) | | | 10,982,359 | | | | 27,397,102 | | | | 593,676 | | | | 52,097,551 | |
Realized and Unrealized Gain (Loss) | | | | | | | | | | | | | | | | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | 13,247,549 | | | | 13,379,331 | | | | 255,749 | | | | 32,830,342 | |
Forward foreign currency exchange contracts | | | — | | | | — | | | | 193,248 | | | | — | |
Futures contracts | | | (964,275 | ) | | | (542,476 | ) | | | 9,324 | | | | 24,640 | |
Options purchased | | | — | | | | (201,554 | ) | | | (1,819 | ) | | | — | |
Options written | | | — | | | | — | | | | (451 | ) | | | — | |
Swaps | | | (1,680,438 | ) | | | (2,763,163 | ) | | | 117,190 | | | | — | |
Change in net unrealized appreciation (depreciation) of: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | (20,100,906 | ) | | | (22,412,660 | ) | | | (741,357 | ) | | | (4,035,241 | ) |
Forward foreign currency exchange contracts | | | — | | | | (167,282 | ) | | | (131,026 | ) | | | (157,736 | ) |
Futures contracts | | | (273,507 | ) | | | 2,796,555 | | | | 47,954 | | | | 785,330 | |
Options purchased | | | — | | | | — | | | | (4,270 | ) | | | — | |
Swaps | | | 1,530,864 | | | | 4,532,764 | | | | 53,666 | | | | — | |
Net realized and unrealized gain (loss) | | | (8,240,713 | ) | | | (5,378,485 | ) | | | (201,792 | ) | | | 29,447,335 | |
Net increase (decrease) in net assets from operations | | $ | 2,741,646 | | | $ | 22,018,617 | | | $ | 391,884 | | | $ | 81,544,886 | |
| N/A – | Core Bond does not offer Class B Shares or Class R3 Shares. Global Total Return Bond does not offer Class B Shares. |
See accompanying notes to financial statements.
Statement of Operations (continued)
Year Ended June 30, 2013
| | | | | | | | | | | | | | | | |
| | | Inflation Protected
Securities | | | Intermediate
Government Bond | | | Short Term
Bond | | | Strategic
Income | |
Investment Income | | | | | | | | | | | | | | | | |
Dividend income (net of foreign dividend tax withheld of $—, $—, $— and $—, respectively) | | $ | 53,663 | | | $ | — | | | $ | — | | | $ | 1,172,206 | |
Interest income (net of foreign interest tax withheld of $—, $—, $— and $14,161, respectively) | | | 5,159,790 | | | | 1,801,821 | | | | 23,841,520 | | | | 33,408,444 | |
Securities lending income, net | | | 51,936 | | | | 2,908 | | | | 191,165 | | | | 236,930 | |
Total investment income | | | 5,265,389 | | | | 1,804,729 | | | | 24,032,685 | | | | 34,817,580 | |
Expenses | | | | | | | | | | | | | | | | |
Management fees | | | 1,655,236 | | | | 349,464 | | | | 3,459,799 | | | | 3,463,746 | |
12b-1 service fees – Class A | | | 66,384 | | | | 29,609 | | | | 291,327 | | | | 162,783 | |
12b-1 distribution and service fees – Class B | | | N/A | | | | N/A | | | | N/A | | | | 18,879 | |
12b-1 distribution and service fees – Class C | | | 114,279 | | | | 14,852 | | | | 411,421 | | | | 341,343 | |
12b-1 distribution and service fees – Class R3 | | | 1,616 | | | | 1,016 | | | | 2,455 | | | | 12,202 | |
Shareholder servicing agent fees and expenses | | | 272,449 | | | | 42,818 | | | | 272,229 | | | | 240,831 | |
Custodian fees and expenses | | | 93,791 | | | | 47,300 | | | | 240,213 | | | | 205,632 | |
Directors/Trustees fees and expenses | | | 10,290 | | | | 2,011 | | | | 22,893 | | | | 16,306 | |
Professional fees | | | 59,498 | | | | 45,612 | | | | 79,373 | | | | 80,656 | |
Shareholder reporting expenses | | | 33,801 | | | | 18,061 | | | | 56,994 | | | | 47,393 | |
Federal and state registration fees | | | 68,690 | | | | 51,887 | | | | 80,150 | | | | 82,500 | |
Other expenses | | | 12,564 | | | | 8,415 | | | | 87,932 | | | | 61,193 | |
Total expenses before fee waiver/expense reimbursement | | | 2,388,598 | | | | 611,045 | | | | 5,004,786 | | | | 4,733,464 | |
Fee waiver/expense reimbursement | | | — | | | | (119,207 | ) | | | (167,226 | ) | | | (410,663 | ) |
Net expenses | | | 2,388,598 | | | | 491,838 | | | | 4,837,560 | | | | 4,322,801 | |
Net investment income (loss) | | | 2,876,791 | | | | 1,312,891 | | | | 19,195,125 | | | | 30,494,779 | |
Realized and Unrealized Gain (Loss) | | | | | | | | | | | | | | | | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | 8,100,876 | | | | 152,250 | | | | 4,872,817 | | | | 22,569,723 | |
Forward foreign currency exchange contracts | | | (191,827 | ) | | | — | | | | — | | | | 4,687,862 | |
Futures contracts | | | 238,486 | | | | 115,320 | | | | 169,909 | | | | (962,426 | ) |
Options purchased | | | — | | | | — | | | | — | | | | (4,865 | ) |
Options written | | | — | | | | — | | | | — | | | | (125,856 | ) |
Swaps | | | (391,994 | ) | | | — | | | | (1,226,046 | ) | | | 1,742,931 | |
Change in net unrealized appreciation (depreciation) of: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | (30,963,087 | ) | | | (1,871,221 | ) | | | (4,721,407 | ) | | | (23,595,326 | ) |
Forward foreign currency exchange contracts | | | 110,837 | | | | — | | | | — | | | | (2,175,164 | ) |
Futures contracts | | | 153,262 | | | | 18,406 | | | | 2,383,929 | | | | 1,358,805 | |
Options purchased | | | — | | | | — | | | | — | | | | (81,130 | ) |
Swaps | | | 348,311 | | | | — | | | | 1,253,612 | | | | 4,672,411 | |
Net realized and unrealized gain (loss) | | | (22,595,136 | ) | | | (1,585,245 | ) | | | 2,732,814 | | | | 8,086,965 | |
Net increase (decrease) in net assets from operations | | $ | (19,718,345 | ) | | $ | (272,354 | ) | | $ | 21,927,939 | | | $ | 38,581,744 | |
| N/A | – Inflation Protected Securities, Intermediate Government Bond and Short Term Bond do not offer Class B Shares. |
See accompanying notes to financial statements.
Statement of Changes in Net Assets
| | | | | | | | | | | | | | | | |
| | | Core Bond | | | Core Plus Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
Operations | | | | | | | | | | | | | | | | |
Net investment income (loss) | | $ | 10,982,359 | | | $ | 18,776,322 | | | $ | 27,397,102 | | | $ | 34,479,201 | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | 13,247,549 | | | | 19,955,520 | | | | 13,379,331 | | | | 18,705,021 | |
Forward foreign currency exchange contracts | | | — | | | | — | | | | — | | | | — | |
Futures contracts | | | (964,275 | ) | | | (1,294,926 | ) | | | (542,476 | ) | | | (7,955,883 | ) |
Options purchased | | | — | | | | — | | | | — | | | | — | |
Options written | | | — | | | | — | | | | (201,554 | ) | | | — | |
Swaps | | | (1,680,438 | ) | | | (767,968 | ) | | | (2,763,163 | ) | | | (1,725,955 | ) |
Change in net unrealized appreciation (depreciation) of: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | (20,100,906 | ) | | | (2,991,611 | ) | | | (22,412,660 | ) | | | 9,052,404 | |
Forward foreign currency exchange contracts | | | — | | | | — | | | | (167,282 | ) | | | — | |
Futures contracts | | | (273,507 | ) | | | (132,059 | ) | | | 2,796,555 | | | | (1,449,836 | ) |
Options purchased | | | — | | | | — | | | | — | | | | — | |
Options written | | | — | | | | — | | | | — | | | | — | |
Swaps | | | 1,530,864 | | | | (72,804 | ) | | | 4,532,764 | | | | 52,980 | |
Net increase (decrease) in net assets from operations | | | 2,741,646 | | | | 33,472,474 | | | | 22,018,617 | | | | 51,157,932 | |
Distributions to Shareholders | | | | | | | | | | | | | | | | |
From net investment income: | | | | | | | | | | | | | | | | |
Class A | | | (355,614 | ) | | | (619,682 | ) | | | (2,992,583 | ) | | | (3,053,035 | ) |
Class B | | | N/A | | | | N/A | | | | (23,699 | ) | | | (41,242 | ) |
Class C | | | (12,814 | ) | | | (22,754 | ) | | | (132,087 | ) | | | (117,724 | ) |
Class R3 | | | N/A | | | | N/A | | | | (11,951 | ) | | | (12,214 | ) |
Class I | | | (10,711,280 | ) | | | (18,978,358 | ) | | | (25,029,784 | ) | | | (32,189,815 | ) |
From accumulated net realized gains: | | | | | | | | | | | | | | | | |
Class A | | | (677,261 | ) | | | (33,008 | ) | | | (342,229 | ) | | | — | |
Class B | | | N/A | | | | N/A | | | | (3,438 | ) | | | — | |
Class C | | | (48,125 | ) | | | (1,212 | ) | | | (19,355 | ) | | | — | |
Class R3 | | | N/A | | | | N/A | | | | (1,416 | ) | | | — | |
Class I | | | (17,500,782 | ) | | | (1,010,912 | ) | | | (2,627,486 | ) | | | — | |
Decrease in net assets from distributions to shareholders | | | (29,305,876 | ) | | | (20,665,926 | ) | | | (31,184,028 | ) | | | (35,414,030 | ) |
Fund Share Transactions | | | | | | | | | | | | | | | | |
Fund reorganization | | | — | | | | — | | | | — | | | | — | |
Proceeds from sale of shares | | | 64,797,013 | | | | 166,920,130 | | | | 87,088,590 | | | | 112,240,499 | |
Proceeds from shares issued to shareholders due to reinvestment of distributions | | | 11,913,545 | | | | 6,049,154 | | | | 11,485,188 | | | | 12,143,026 | |
| | | 76,710,558 | | | | 172,969,284 | | | | 98,573,778 | | | | 124,383,525 | |
Cost of shares redeemed | | | (194,037,829 | ) | | | (222,662,884 | ) | | | (223,588,126 | ) | | | (349,839,594 | ) |
Net increase (decrease) in net assets from Fund share transactions | | | (117,327,271 | ) | | | (49,693,600 | ) | | | (125,014,348 | ) | | | (225,456,069 | ) |
Net increase (decrease) in net assets | | | (143,891,501 | ) | | | (36,887,052 | ) | | | (134,179,759 | ) | | | (209,712,167 | ) |
Net assets at the beginning of period | | | 643,896,042 | | | | 680,783,094 | | | | 807,705,293 | | | | 1,017,417,460 | |
Net assets at the end of period | | $ | 500,004,541 | | | $ | 643,896,042 | | | $ | 673,525,534 | | | $ | 807,705,293 | |
Undistributed (Over-distribution of) net investment income at the end of period | | $ | (940,797 | ) | | $ | (1,571,679) | | | $ | (1,663,128 | ) | | $ | (257,304 | ) |
| N/A | – Core Bond does not offer Class B or Class R3 Shares. |
See accompanying notes to financial statements.
Statement of Changes in Net Assets (continued)
| | | | | | | | | | | | | | | | |
| | | Global Total Return Bond | | | High Income Bond | |
| | | Year Ended
6/30/13 | | | Period 12/02/11
(commencement
of operations)
through 6/30/12 | | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
Operations | | | | | | | | | | | | | | | | |
Net investment income (loss) | | $ | 593,676 | | | $ | 292,301 | | | $ | 52,097,551 | | | $ | 44,589,539 | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | 255,749 | | | | 2,886 | | | | 32,830,342 | | | | (13,744,653 | ) |
Forward foreign currency exchange contracts | | | 193,248 | | | | 324,366 | | | | — | | | | — | |
Futures contracts | | | 9,324 | | | | 2,222 | | | | 24,640 | | | | (67,967 | ) |
Options purchased | | | (1,819 | ) | | | (29,297 | ) | | | — | | | | — | |
Options written | | | (451 | ) | | | 2,460 | | | | — | | | | — | |
Swaps | | | 117,190 | | | | 119,949 | | | | — | | | | — | |
Change in net unrealized appreciation (depreciation) of: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | (741,357 | ) | | | 310,794 | | | | (4,035,241 | ) | | | (5,098,028 | ) |
Forward foreign currency exchange contracts | | | (131,026 | ) | | | 50,608 | | | | (157,736 | ) | | | — | |
Futures contracts | | | 47,954 | | | | 6,108 | | | | 785,330 | | | | 12,132 | |
Options purchased | | | (4,270 | ) | | | — | | | | — | | | | — | |
Options written | | | — | | | | — | | | | — | | | | — | |
Swaps | | | 53,666 | | | | (4,219 | ) | | | — | | | | — | |
Net increase (decrease) in net assets from operations | | | 391,884 | | | | 1,078,178 | | | | 81,544,886 | | | | 25,691,023 | |
Distributions to Shareholders | | | | | | | | | | | | | | | | |
From net investment income: | | | | | | | | | | | | | | | | |
Class A | | | (35,960 | ) | | | (2,712 | ) | | | (11,284,624 | ) | | | (5,735,501 | ) |
Class B | | | N/A | | | | N/A | | | | (117,102 | ) | | | (132,288 | ) |
Class C | | | (2,925 | ) | | | (596 | ) | | | (4,119,190 | ) | | | (2,477,744 | ) |
Class R3 | | | (1,997 | ) | | | (688 | ) | | | (52,093 | ) | | | (33,439 | ) |
Class I | | | (658,553 | ) | | | (215,380 | ) | | | (39,152,850 | ) | | | (36,583,834 | ) |
From accumulated net realized gains: | | | | | | | | | | | | | | | | |
Class A | | | (17,638 | ) | | | — | | | | — | | | | (298,280 | ) |
Class B | | | N/A | | | | N/A | | | | — | | | | (7,773 | ) |
Class C | | | (1,263 | ) | | | — | | | | — | | | | (148,234 | ) |
Class R3 | | | (930 | ) | | | — | | | | — | | | | (1,386 | ) |
Class I | | | (270,907 | ) | | | — | | | | — | | | | (1,460,981 | ) |
Decrease in net assets from distributions to shareholders | | | (990,173 | ) | | | (219,376 | ) | | | (54,725,859 | ) | | | (46,879,460 | ) |
Fund Share Transactions | | | | | | | | | | | | | | | | |
Fund reorganization | | | — | | | | — | | | | — | | | | 104,870,978 | |
Proceeds from sale of shares | | | 4,253,342 | | | | 14,322,080 | | | | 365,971,376 | | | | 228,987,881 | |
Proceeds from shares issued to shareholders due to reinvestment of distributions | | | 94,699 | | | | 1,978 | | | | 20,215,234 | | | | 12,427,284 | |
| | | 4,348,041 | | | | 14,324,058 | | | | 386,186,610 | | | | 346,286,143 | |
Cost of shares redeemed | | | (1,295,217 | ) | | | (498 | ) | | | (314,765,353 | ) | | | (219,810,557 | ) |
Net increase (decrease) in net assets from Fund share transactions | | | 3,052,824 | | | | 14,323,560 | | | | 71,421,257 | | | | 126,475,586 | |
Net increase (decrease) in net assets | | | 2,454,535 | | | | 15,182,362 | | | | 98,240,284 | | | | 105,287,149 | |
Net assets at the beginning of period | | | 15,182,362 | | | | — | | | | 608,442,585 | | | | 503,155,436 | |
Net assets at the end of period | | $ | 17,636,897 | | | $ | 15,182,362 | | | $ | 706,682,869 | | | $ | 608,442,585 | |
Undistributed (Over-distribution of) net investment income at the end of period | | $ | 498,232 | | | $ | 405,210 | | | $ | (2,478,940 | ) | | $ | 110,337 | |
| N/A | – Global Total Return Bond does not offer Class B Shares. |
See accompanying notes to financial statements.
| | | | | | | | | | | | | | | | |
| | | Inflation Protected Securities | | | Intermediate
Government Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
Operations | | | | | | | | | | | | | | | | |
Net investment income (loss) | | $ | 2,876,791 | | | $ | 6,886,379 | | | $ | 1,312,891 | | | $ | 2,239,298 | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | 8,100,876 | | | | 8,964,913 | | | | 152,250 | | | | 1,568,618 | |
Forward foreign currency exchange contracts | | | (191,827 | ) | | | 167,168 | | | | — | | | | — | |
Futures contracts | | | 238,486 | | | | 60,629 | | | | 115,320 | | | | 685,111 | |
Options purchased | | | — | | | | — | | | | — | | | | — | |
Options written | | | — | | | | — | | | | — | | | | — | |
Swaps | | | (391,994 | ) | | | (127,943 | ) | | | — | | | | — | |
Change in net unrealized appreciation (depreciation) of: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | (30,963,087 | ) | | | 18,437,020 | | | | (1,871,221 | ) | | | 108,077 | |
Forward foreign currency exchange contracts | | | 110,837 | | | | (110,837 | ) | | | — | | | | — | |
Futures contracts | | | 153,262 | | | | (82,693 | ) | | | 18,406 | | | | 22,105 | |
Options purchased | | | — | | | | — | | | | — | | | | — | |
Options written | | | — | | | | — | | | | — | | | | — | |
Swaps | | | 348,311 | | | | (44,170 | ) | | | — | | | | — | |
Net increase (decrease) in net assets from operations | | | (19,718,345 | ) | | | 34,150,466 | | | | (272,354 | ) | | | 4,623,209 | |
Distributions to Shareholders | | | | | | | | | | | | | | | | |
From net investment income: | | | | | | | | | | | | | | | | |
Class A | | | (272,077 | ) | | | (468,815 | ) | | | (218,850 | ) | | | (291,024 | ) |
Class B | | | N/A | | | | N/A | | | | N/A | | | | N/A | |
Class C | | | (57,189 | ) | | | (180,484 | ) | | | (15,578 | ) | | | (16,266 | ) |
Class R3 | | | (2,345 | ) | | | (3,148 | ) | | | (3,228 | ) | | | (8,188 | ) |
Class I | | | (4,430,072 | ) | | | (10,662,479 | ) | | | (1,250,387 | ) | | | (2,051,257 | ) |
From accumulated net realized gains: | | | | | | | | | | | | | | | | |
Class A | | | — | | | | — | | | | — | | | | — | |
Class B | | | N/A | | | | N/A | | | | N/A | | | | N/A | |
Class C | | | — | | | | — | | | | — | | | | — | |
Class R3 | | | — | | | | — | | | | — | | | | — | |
Class I | | | — | | | | — | | | | — | | | | — | |
Decrease in net assets from distributions to shareholders | | | (4,761,683 | ) | | | (11,314,926 | ) | | | (1,488,043 | ) | | | (2,366,735 | ) |
Fund Share Transactions | | | | | | | | | | | | | | | | |
Fund reorganization | | | — | | | | — | | | | — | | | | — | |
Proceeds from sale of shares | | | 160,616,545 | | | | 148,914,630 | | | | 11,783,243 | | | | 12,589,884 | |
Proceeds from shares issued to shareholders due to reinvestment of distributions | | | 781,092 | | | | 1,571,415 | | | | 506,408 | | | | 853,309 | |
| | | 161,397,637 | | | | 150,486,045 | | | | 12,289,651 | | | | 13,443,193 | |
Cost of shares redeemed | | | (111,075,769 | ) | | | (98,068,926 | ) | | | (30,393,108 | ) | | | (46,188,783 | ) |
Net increase (decrease) in net assets from Fund share transactions | | | 50,321,868 | | | | 52,417,119 | | | | (18,103,457 | ) | | | (32,745,590 | ) |
Net increase (decrease) in net assets | | | 25,841,840 | | | | 75,252,659 | | | | (19,863,854 | ) | | | (30,489,116 | ) |
Net assets at the beginning of period | | | 350,591,720 | | | | 275,339,061 | | | | 84,447,123 | | | | 114,936,239 | |
Net assets at the end of period | | $ | 376,433,560 | | | $ | 350,591,720 | | | $ | 64,583,269 | | | $ | 84,447,123 | |
Undistributed (Over-distribution of) net investment income at the end of period | | $
| (434,449
| )
| | $ | 1,461,219 | | | $ | (115,132 | ) | | $ | (13,772 | ) |
| N/A – | Inflation Protected Securities and Intermediate Government Bond do not offer Class B Shares. |
See accompanying notes to financial statements.
Statement of Changes in Net Assets (continued)
| | | | | | | | | | | | | | | | |
| | | Short Term Bond | | | Strategic Income | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
Operations | | | | | | | | | | | | | | | | |
Net investment income (loss) | | $ | 19,195,125 | | | $ | 20,123,049 | | | $ | 30,494,779 | | | $ | 27,319,766 | |
Net realized gain (loss) from: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | 4,872,817 | | | | 4,661,657 | | | | 22,569,723 | | | | 12,429,444 | |
Forward foreign currency exchange contracts | | | — | | | | (149,386 | ) | | | 4,687,862 | | | | (102,811 | ) |
Futures contracts | | | 169,909 | | | | (7,223,699 | ) | | | (962,426 | ) | | | (7,719,289 | ) |
Options purchased | | | — | | | | — | | | | (4,865 | ) | | | (1,715,583 | ) |
Options written | | | (1,226,046 | ) | | | — | | | | (125,856 | ) | | | (321,084 | ) |
Swaps | | | — | | | | (2,188,004 | ) | | | 1,742,931 | | | | (883,712 | ) |
Change in net unrealized appreciation (depreciation) of: | | | | | | | | | | | | | | | | |
Investments and foreign currency | | | (4,721,407 | ) | | | (3,980,585 | ) | | | (23,595,326 | ) | | | 4,637,040 | |
Forward foreign currency exchange contracts | | | — | | | | 92,822 | | | | (2,175,164 | ) | | | 956,394 | |
Futures contracts | | | 2,383,929 | | | | 458,809 | | | | 1,358,805 | | | | (509,763 | ) |
Options purchased | | | — | | | | — | | | | (81,130 | ) | | | — | |
Options written | | | — | | | | — | | | | — | | | | (113,961 | ) |
Swaps | | | 1,253,612 | | | | (514,179 | ) | | | 4,672,411 | | | | (491,079 | ) |
Net increase (decrease) in net assets from operations | | | 21,927,939 | | | | 11,280,484 | | | | 38,581,744 | | | | 33,485,362 | |
Distributions to Shareholders | | | | | | | | | | | | | | | | |
From net investment income: | | | | | | | | | | | | | | | | |
Class A | | | (2,413,639 | ) | | | (2,658,693 | ) | | | (2,828,988 | ) | | | (1,766,560 | ) |
Class B | | | N/A | | | | N/A | | | | (67,636 | ) | | | (59,799 | ) |
Class C | | | (534,379 | ) | | | (558,375 | ) | | | (1,233,628 | ) | | | (721,977 | ) |
Class R3 | | | (8,691 | ) | | | (6,394 | ) | | | (100,573 | ) | | | (48,682 | ) |
Class I | | | (16,946,348 | ) | | | (17,689,020 | ) | | | (24,786,771 | ) | | | (24,363,476 | ) |
From accumulated net realized gains: | | | | | | | | | | | | | | | | |
Class A | | | — | | | | — | | | | — | | | | — | |
Class B | | | N/A | | | | N/A | | | | — | | | | — | |
Class C | | | — | | | | — | | | | — | | | | — | |
Class R3 | | | — | | | | — | | | | — | | | | — | |
Class I | | | — | | | | — | | | | — | | | | — | |
Decrease in net assets from distributions to shareholders | | | (19,903,057 | ) | | | (20,912,482 | ) | | | (29,017,596 | ) | | | (26,960,494 | ) |
Fund Share Transactions | | | | | | | | | | | | | | | | |
Fund reorganization | | | — | | | | 153,886,513 | | | | — | | | | 81,128,697 | |
Proceeds from sale of shares | | | 477,087,186 | | | | 385,977,366 | | | | 160,424,451 | | | | 120,219,679 | |
Proceeds from shares issued to shareholders due to reinvestment
of distributions | | | 5,997,185 | | | | 6,138,855 | | | | 9,591,338 | | | | 8,306,341 | |
| | | 483,084,371 | | | | 546,002,734 | | | | 170,015,789 | | | | 209,654,717 | |
Cost of shares redeemed | | | (461,242,790 | ) | | | (481,483,122 | ) | | | (172,933,942 | ) | | | (244,013,153 | ) |
Net increase (decrease) in net assets from Fund share
transactions | | | 21,841,581 | | | | 64,519,612 | | | | (2,918,153 | ) | | | (34,358,436 | ) |
Net increase (decrease) in net assets | | | 23,866,463 | | | | 54,887,614 | | | | 6,645,995 | | | | (27,833,568 | ) |
Net assets at the beginning of period | | | 882,884,922 | | | | 827,997,308 | | | | 622,546,617 | | | | 650,380,185 | |
Net assets at the end of period | | $ | 906,751,385 | | | $ | 882,884,922 | | | $ | 629,192,612 | | | $ | 622,546,617 | |
Undistributed (Over-distribution of) net investment income at the
end of period | | $ | (1,509,662 | ) | | $ | (96,445) | | | $ | 13,956,128 | | | $ | 7,146,648 | |
| NA – | Short Term Bond does not offer Class B Shares. |
See accompanying notes to financial statements.
[THIS PAGE INTENTIONALLY LEFT BLANK]
Financial Highlights
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | |
| | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | |
| CORE BOND | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accumulated
Net
Realized
Gains | | | Total | | | Ending
Net
Asset
Value | |
Class A (1/95) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 10.67 | | | $ | .18 | | | $ | (.20 | ) | | $ | (.02 | ) | | $ | (.18 | ) | | $ | (.34 | ) | | $ | (.52 | ) | | $ | 10.13 | |
2012 | | | 10.47 | | | | .29 | | | | .23 | | | | .52 | | | | (.30 | ) | | | (.02 | ) | | | (.32 | ) | | | 10.67 | |
2011 | | | 10.33 | | | | .33 | | | | .14 | | | | .47 | | | | (.33 | ) | | | — | | | | (.33 | ) | | | 10.47 | |
2010 | | | 9.47 | | | | .42 | | | | .86 | | | | 1.28 | | | | (.42 | ) | | | — | | | | (.42 | ) | | | 10.33 | |
2009 | | | 9.90 | | | | .48 | | | | (.40 | ) | | | .08 | | | | (.51 | ) | | | — | | | | (.51 | ) | | | 9.47 | |
Class C (1/11) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 10.62 | | | | .09 | | | | (.19 | ) | | | (.10 | ) | | | (.09 | ) | | | (.35 | ) | | | (.44 | ) | | | 10.08 | |
2012 | | | 10.44 | | | | .19 | | | | .22 | | | | .41 | | | | (.22 | ) | | | (.01 | ) | | | (.23 | ) | | | 10.62 | |
2011(d) | | | 10.37 | | | | .12 | | | | .06 | | | | .18 | | | | (.11 | ) | | | — | | | | (.11 | ) | | | 10.44 | |
Class I (1/93) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 10.63 | | | | .20 | | | | (.20 | ) | | | — | | | | (.21 | ) | | | (.33 | ) | | | (.54 | ) | | | 10.09 | |
2012 | | | 10.43 | | | | .30 | | | | .23 | | | | .53 | | | | (.32 | ) | | | (.01 | ) | | | (.33 | ) | | | 10.63 | |
2011 | | | 10.29 | | | | .35 | | | | .14 | | | | .49 | | | | (.35 | ) | | | — | | | | (.35 | ) | | | 10.43 | |
2010 | | | 9.43 | | | | .43 | | | | .86 | | | | 1.29 | | | | (.43 | ) | | | — | | | | (.43 | ) | | | 10.29 | |
2009 | | | 9.87 | | | | .49 | | | | (.40 | ) | | | .09 | | | | (.53 | ) | | | — | | | | (.53 | ) | | | 9.43 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | |
| | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | | Net
Invest- ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(e) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (.38 | )% | | $ | 18,331 | | | | .79 | % | | | 1.63 | % | | | .78 | % | | | 1.65 | % | | | 85 | % |
| | 4.93 | | | | 21,262 | | | | .95 | | | | 2.61 | | | | .85 | | | | 2.70 | | | | 75 | |
| | 4.70 | | | | 22,502 | | | | .94 | | | | 3.10 | | | | .85 | | | | 3.20 | | | | 58 | |
| | 13.64 | | | | 26,341 | | | | 1.01 | | | | 3.96 | | | | .85 | | | | 4.12 | | | | 58 | |
| | 1.21 | | | | 23,905 | | | | 1.01 | | | | 5.09 | | | | .85 | | | | 5.25 | | | | 41 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (1.17 | ) | | | 585 | | | | 1.54 | | | | .87 | | | | 1.53 | | | | .88 | | | | 85 | |
| | 3.97 | | | | 1,568 | | | | 1.69 | | | | 1.79 | | | | 1.67 | | | | 1.81 | | | | 75 | |
| | 1.76 | | | | 1,152 | | | | 1.79 | * | | | 2.46 | * | | | 1.70 | * | | | 2.56 | * | | | 58 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (.16 | ) | | | 481,088 | | | | .54 | | | | 1.88 | | | | .53 | | | | 1.89 | | | | 85 | |
| | 5.18 | | | | 621,066 | | | | .70 | | | | 2.85 | | | | .68 | | | | 2.87 | | | | 75 | |
| | 4.76 | | | | 657,129 | | | | .74 | | | | 3.30 | | | | .70 | | | | 3.35 | | | | 58 | |
| | 13.87 | | | | 734,924 | | | | .76 | | | | 4.22 | | | | .70 | | | | 4.28 | | | | 58 | |
| | 1.26 | | | | 724,531 | | | | .76 | | | | 5.33 | | | | .70 | | | | 5.39 | | | | 41 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | For the period January 18, 2011 (commencement of operations) through June 30, 2011. |
| (e) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | | | | |
| | | |
| Class (Commencement Date) | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | | |
| CORE PLUS BOND | | | | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accumulated
Net Realized
Gains | | | Total | | | Ending
Net
Asset
Value | |
Class A (12/87) | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 11.64 | | | $ | .41 | | | $ | (.12 | ) | | $ | .29 | | | $ | (.42 | ) | | $ | (.05 | ) | | $ | (.47 | ) | | $ | 11.46 | |
2012 | | | 11.44 | | | | .41 | | | | .21 | | | | .62 | | | | (.42 | ) | | | — | | | | (.42 | ) | | | 11.64 | |
2011 | | | 11.22 | | | | .43 | | | | .21 | | | | .64 | | | | (.42 | ) | | | — | | | | (.42 | ) | | | 11.44 | |
2010 | | | 10.04 | | | | .51 | | | | 1.18 | | | | 1.69 | | | | (.51 | ) | | | — | | | | (.51 | ) | | | 11.22 | |
2009 | | | 10.86 | | | | .61 | | | | (.81 | ) | | | (.20 | ) | | | (.62 | ) | | | — | | | | (.62 | ) | | | 10.04 | |
Class B (8/94) | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.54 | | | | .32 | | | | (.13 | ) | | | .19 | | | | (.33 | ) | | | (.05 | ) | | | (.38 | ) | | | 11.35 | |
2012 | | | 11.34 | | | | .32 | | | | .21 | | | | .53 | | | | (.33 | ) | | | — | | | | (.33 | ) | | | 11.54 | |
2011 | | | 11.12 | | | | .34 | | | | .21 | | | | .55 | | | | (.33 | ) | | | — | | | | (.33 | ) | | | 11.34 | |
2010 | | | 9.95 | | | | .43 | | | | 1.17 | | | | 1.60 | | | | (.43 | ) | | | — | | | | (.43 | ) | | | 11.12 | |
2009 | | | 10.77 | | | | .54 | | | | (.81 | ) | | | (.27 | ) | | | (.55 | ) | | | — | | | | (.55 | ) | | | 9.95 | |
Class C (2/99) | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.59 | | | | .32 | | | | (.12 | ) | | | .20 | | | | (.34 | ) | | | (.05 | ) | | | (.39 | ) | | | 11.40 | |
2012 | | | 11.40 | | | | .32 | | | | .21 | | | | .53 | | | | (.34 | ) | | | — | | | | (.34 | ) | | | 11.59 | |
2011 | | | 11.18 | | | | .34 | | | | .21 | | | | .55 | | | | (.33 | ) | | | — | | | | (.33 | ) | | | 11.40 | |
2010 | | | 10.00 | | | | .42 | | | | 1.19 | | | | 1.61 | | | | (.43 | ) | | | — | | | | (.43 | ) | | | 11.18 | |
2009 | | | 10.83 | | | | .54 | | | | (.82 | ) | | | (.28 | ) | | | (.55 | ) | | | — | | | | (.55 | ) | | | 10.00 | |
Class R3 (9/01) | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.70 | | | | .38 | | | | (.12 | ) | | | .26 | | | | (.40 | ) | | | (.05 | ) | | | (.45 | ) | | | 11.51 | |
2012 | | | 11.50 | | | | .38 | | | | .22 | | | | .60 | | | | (.40 | ) | | | — | | | | (.40 | ) | | | 11.70 | |
2011 | | | 11.27 | | | | .40 | | | | .22 | | | | .62 | | | | (.39 | ) | | | — | | | | (.39 | ) | | | 11.50 | |
2010 | | | 10.09 | | | | .48 | | | | 1.19 | | | | 1.67 | | | | (.49 | ) | | | — | | | | (.49 | ) | | | 11.27 | |
2009 | | | 10.89 | | | | .59 | | | | (.79 | ) | | | (.20 | ) | | | (.60 | ) | | | — | | | | (.60 | ) | | | 10.09 | |
Class I (2/94) | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.64 | | | | .44 | | | | (.14 | ) | | | .30 | | | | (.45 | ) | | | (.05 | ) | | | (.50 | ) | | | 11.44 | |
2012 | | | 11.44 | | | | .44 | | | | .21 | | | | .65 | | | | (.45 | ) | | | — | | | | (.45 | ) | | | 11.64 | |
2011 | | | 11.21 | | | | .46 | | | | .22 | | | | .68 | | | | (.45 | ) | | | — | | | | (.45 | ) | | | 11.44 | |
2010 | | | 10.03 | | | | .54 | | | | 1.18 | | | | 1.72 | | | | (.54 | ) | | | — | | | | (.54 | ) | | | 11.21 | |
2009 | | | 10.86 | | | | .64 | | | | (.82 | ) | | | (.18 | ) | | | (.65 | ) | | | — | | | | (.65 | ) | | | 10.03 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | | | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(d)(e) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.40 | % | | $ | 79,740 | | | | .81 | % | | | 3.42 | % | | | .77 | % | | | 3.46 | % | | | 46 | % |
| | 5.52 | | | | 83,264 | | | | .97 | | | | 3.51 | | | | .93 | | | | 3.55 | | | | 98 | |
| | 5.73 | | | | 85,980 | | | | .99 | | | | 3.72 | | | | .94 | | | | 3.77 | | | | 91 | |
| | 17.11 | | | | 93,374 | | | | 1.02 | | | | 4.58 | | | | .95 | | | | 4.65 | | | | 83 | |
| | (1.37 | ) | | | 82,373 | | | | 1.02 | | | | 6.27 | | | | .95 | | | | 6.34 | | | | 160 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1.56 | | | | 608 | | | | 1.56 | | | | 2.65 | | | | 1.52 | | | | 2.69 | | | | 46 | |
| | 4.74 | | | | 1,019 | | | | 1.72 | | | | 2.78 | | | | 1.68 | | | | 2.82 | | | | 98 | |
| | 4.97 | | | | 1,805 | | | | 1.74 | | | | 2.97 | | | | 1.69 | | | | 3.02 | | | | 91 | |
| | 16.31 | | | | 3,607 | | | | 1.77 | | | | 3.90 | | | | 1.70 | | | | 3.97 | | | | 83 | |
| | (2.12 | ) | | | 5,780 | | | | 1.77 | | | | 5.52 | | | | 1.70 | | | | 5.59 | | | | 160 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1.59 | | | | 4,200 | | | | 1.56 | | | | 2.67 | | | | 1.52 | | | | 2.71 | | | | 46 | |
| | 4.68 | | | | 4,603 | | | | 1.72 | | | | 2.76 | | | | 1.67 | | | | 2.80 | | | | 98 | |
| | 4.97 | | | | 3,711 | | | | 1.74 | | | | 2.97 | | | | 1.69 | | | | 3.02 | | | | 91 | |
| | 16.32 | | | | 3,796 | | | | 1.77 | | | | 3.84 | | | | 1.70 | | | | 3.91 | | | | 83 | |
| | (2.21 | ) | | | 3,693 | | | | 1.77 | | | | 5.52 | | | | 1.70 | | | | 5.59 | | | | 160 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.11 | | | | 350 | | | | 1.06 | | | | 3.18 | | | | 1.02 | | | | 3.22 | | | | 46 | |
| | 5.27 | | | | 313 | | | | 1.22 | | | | 3.24 | | | | 1.18 | | | | 3.27 | | | | 98 | |
| | 5.54 | | | | 380 | | | | 1.23 | | | | 3.47 | | | | 1.19 | | | | 3.52 | | | | 91 | |
| | 16.74 | | | | 379 | | | | 1.27 | | | | 4.35 | | | | 1.20 | | | | 4.42 | | | | 83 | |
| | (1.43 | ) | | | 406 | | | | 1.27 | | | | 6.04 | | | | 1.20 | | | | 6.11 | | | | 160 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.52 | | | | 588,627 | | | | .56 | | | | 3.67 | | | | .52 | | | | 3.71 | | | | 46 | |
| | 5.79 | | | | 718,505 | | | | .72 | | | | 3.76 | | | | .68 | | | | 3.80 | | | | 98 | |
| | 6.09 | | | | 925,541 | | | | .74 | | | | 3.97 | | | | .69 | | | | 4.02 | | | | 91 | |
| | 17.42 | | | | 1,179,453 | | | | .77 | | | | 4.86 | | | | .70 | | | | 4.93 | | | | 83 | |
| | (1.22 | ) | | | 1,279,489 | | | | .77 | | | | 6.50 | | | | .70 | | | | 6.57 | | | | 160 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | For fiscal years beginning after June 30, 2011, the Fund will no longer exclude dollar roll transactions, where applicable. |
| (e) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | |
| | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | |
| GLOBAL TOTAL RETURN BOND | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accum-
ulated
Net
Realized
Gains | | | Total | | | Ending
Net
Asset
Value | |
CLASS A (12/11) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 21.19 | | | $ | .72 | | | $ | (.14 | ) | | $ | .58 | | | $ | (.86 | ) | | $ | (.37 | ) | | $ | (1.23 | ) | | $ | 20.54 | |
2012(d) | | | 20.00 | | | | .41 | | | | 1.07 | | | | 1.48 | | | | (.29 | ) | | | — | | | | (.29 | ) | | | 21.19 | |
CLASS C (12/11) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 21.18 | | | | .56 | | | | (.10 | ) | | | .46 | | | | (.69 | ) | | | (.37 | ) | | | (1.06 | ) | | | 20.58 | |
2012(d) | | | 20.00 | | | | .29 | | | | 1.13 | | | | 1.42 | | | | (.24 | ) | | | — | | | | (.24 | ) | | | 21.18 | |
CLASS R3 (12/11) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 21.20 | | | | .66 | | | | (.11 | ) | | | .55 | | | | (.80 | ) | | | (.37 | ) | | | (1.17 | ) | | | 20.58 | |
2012(d) | | | 20.00 | | | | .35 | | | | 1.13 | | | | 1.48 | | | | (.28 | ) | | | — | | | | (.28 | ) | | | 21.20 | |
CLASS I (12/11) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 21.23 | | | | .77 | | | | (.11 | ) | | | .66 | | | | (.91 | ) | | | (.37 | ) | | | (1.28 | ) | | | 20.61 | |
2012(d) | | | 20.00 | | | | .42 | | | | 1.12 | | | | 1.54 | | | | (.31 | ) | | | — | | | | (.31 | ) | | | 21.23 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | | | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Expenses | | |
Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(e) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.47 | % | | $ | 1,037 | | | | 2.16 | % | | | 2.10 | % | | | .97 | % | | | 3.29 | % | | | 176 | % |
| | 7.42 | | | | 310 | | | | 2.44 | * | | | 1.99 | * | | | .98 | * | | | 3.46 | * | | | 116 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1.94 | | | | 158 | | | | 2.99 | | | | 1.29 | | | | 1.72 | | | | 2.56 | | | | 176 | |
| | 7.10 | | | | 53 | | | | 2.74 | * | | | 1.41 | * | | | 1.72 | * | | | 2.42 | * | | | 116 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.34 | | | | 50 | | | | 2.31 | | | | 1.91 | | | | 1.22 | | | | 3.00 | | | | 176 | |
| | 7.38 | | | | 53 | | | | 2.24 | * | | | 1.91 | * | | | 1.23 | * | | | 2.92 | * | | | 116 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.86 | | | | 16,392 | | | | 1.81 | | | | 2.41 | | | | .72 | | | | 3.50 | | | | 176 | |
| | 7.71 | | | | 14,767 | | | | 1.74 | * | | | 2.41 | * | | | .73 | * | | | 3.42 | * | | | 116 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | For the period December 2, 2011 (commencement of operations) through June 30, 2012. |
| (e) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | | | | | | | | | | | | | |
| | | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | | |
| HIGH INCOME BOND | | | | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From Accumu-
lated
Net
Realized
Gains | | | Total | | | Ending
Net
Asset
Value | |
Class A (8/01) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 8.64 | | | $ | .63 | | | $ | .39 | | | $ | 1.02 | | | $ | (.67 | ) | | $ | — | | | $ | (.67 | ) | | $ | 8.99 | |
2012 | | | 9.05 | | | | .69 | | | | (.38 | ) | | | .31 | | | | (.69 | ) | | | (.03 | ) | | | (.72 | ) | | | 8.64 | |
2011 | | | 8.28 | | | | .67 | | | | .76 | | | | 1.43 | | | | (.66 | ) | | | — | | | | (.66 | ) | | | 9.05 | |
2010 | | | 7.15 | | | | .67 | | | | 1.12 | | | | 1.79 | | | | (.66 | ) | | | — | | | | (.66 | ) | | | 8.28 | |
2009 | | | 8.65 | | | | .73 | | | | (1.47 | ) | | | (.74 | ) | | | (.76 | ) | | | — | | | | (.76 | ) | | | 7.15 | |
Class B (8/01) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 8.59 | | | | .57 | | | | .39 | | | | .96 | | | | (.60 | ) | | | — | | | | (.60 | ) | | | 8.95 | |
2012 | | | 8.98 | | | | .62 | | | | (.36 | ) | | | .26 | | | | (.62 | ) | | | (.03 | ) | | | (.65 | ) | | | 8.59 | |
2011 | | | 8.23 | | | | .60 | | | | .74 | | | | 1.34 | | | | (.59 | ) | | | — | | | | (.59 | ) | | | 8.98 | |
2010 | | | 7.11 | | | | .60 | | | | 1.12 | | | | 1.72 | | | | (.60 | ) | | | — | | | | (.60 | ) | | | 8.23 | |
2009 | | | 8.61 | | | | .68 | | | | (1.47 | ) | | | (.79 | ) | | | (.71 | ) | | | — | | | | (.71 | ) | | | 7.11 | |
Class C (8/01) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 8.62 | | | | .56 | | | | .40 | | | | .96 | | | | (.60 | ) | | | — | | | | (.60 | ) | | | 8.98 | |
2012 | | | 9.01 | | | | .63 | | | | (.37 | ) | | | .26 | | | | (.62 | ) | | | (.03 | ) | | | (.65 | ) | | | 8.62 | |
2011 | | | 8.25 | | | | .60 | | | | .75 | | | | 1.35 | | | | (.59 | ) | | | — | | | | (.59 | ) | | | 9.01 | |
2010 | | | 7.12 | | | | .60 | | | | 1.13 | | | | 1.73 | | | | (.60 | ) | | | — | | | | (.60 | ) | | | 8.25 | |
2009 | | | 8.62 | | | | .68 | | | | (1.47 | ) | | | (.79 | ) | | | (.71 | ) | | | — | | | | (.71 | ) | | | 7.12 | |
Class R3 (9/01) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 8.81 | | | | .62 | | | | .40 | | | | 1.02 | | | | (.66 | ) | | | — | | | | (.66 | ) | | | 9.17 | |
2012 | | | 9.23 | | | | .67 | | | | (.38 | ) | | | .29 | | | | (.68 | ) | | | (.03 | ) | | | (.71 | ) | | | 8.81 | |
2011 | | | 8.44 | | | | .66 | | | | .77 | | | | 1.43 | | | | (.64 | ) | | | — | | | | (.64 | ) | | | 9.23 | |
2010 | | | 7.28 | | | | .66 | | | | 1.14 | | | | 1.80 | | | | (.64 | ) | | | — | | | | (.64 | ) | | | 8.44 | |
2009 | | | 8.79 | | | | .73 | | | | (1.49 | ) | | | (.76 | ) | | | (.75 | ) | | | — | | | | (.75 | ) | | | 7.28 | |
Class I (8/01) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 8.65 | | | | .66 | | | | .39 | | | | 1.05 | | | | (.69 | ) | | | — | | | | (.69 | ) | | | 9.01 | |
2012 | | | 9.05 | | | | .71 | | | | (.37 | ) | | | .34 | | | | (.71 | ) | | | (.03 | ) | | | (.74 | ) | | | 8.65 | |
2011 | | | 8.29 | | | | .69 | | | | .75 | | | | 1.44 | | | | (.68 | ) | | | — | | | | (.68 | ) | | | 9.05 | |
2010 | | | 7.16 | | | | .69 | | | | 1.12 | | | | 1.81 | | | | (.68 | ) | | | — | | | | (.68 | ) | | | 8.29 | |
2009 | | | 8.66 | | | | .75 | | | | (1.47 | ) | | | (.72 | ) | | | (.78 | ) | | | — | | | | (.78 | ) | | | 7.16 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | | | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(d) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 11.99 | % | | $ | 141,132 | | | | .94 | % | | | 6.92 | % | | | .94 | % | | | 6.92 | % | | | 133 | % |
| | 3.76 | | | | 92,018 | | | | 1.06 | | | | 7.98 | | | | 1.04 | | | | 7.99 | | | | 124 | |
| | 17.61 | | | | 30,984 | | | | 1.22 | | | | 7.38 | | | | 1.10 | | | | 7.50 | | | | 130 | |
| | 25.47 | | | | 29,532 | | | | 1.29 | | | | 7.93 | | | | 1.10 | | | | 8.12 | | | | 132 | |
| | (7.26 | ) | | | 25,696 | | | | 1.36 | | | | 10.53 | | | | 1.10 | | | | 10.79 | | | | 108 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 11.34 | | | | 1,524 | | | | 1.70 | | | | 6.26 | | | | 1.70 | | | | 6.26 | | | | 133 | |
| | 3.18 | | | | 1,843 | | | | 1.82 | | | | 7.23 | | | | 1.80 | | | | 7.26 | | | | 124 | |
| | 16.59 | | | | 1,285 | | | | 1.98 | | | | 6.64 | | | | 1.85 | | | | 6.76 | | | | 130 | |
| | 24.56 | | | | 1,628 | | | | 2.04 | | | | 7.28 | | | | 1.85 | | | | 7.47 | | | | 132 | |
| | (7.99 | ) | | | 2,157 | | | | 2.11 | | | | 9.66 | | | | 1.85 | | | | 9.92 | | | | 108 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 11.33 | | | | 67,466 | | | | 1.70 | | | | 6.21 | | | | 1.70 | | | | 6.21 | | | | 133 | |
| | 3.18 | | | | 48,667 | | | | 1.80 | | | | 7.26 | | | | 1.79 | | | | 7.27 | | | | 124 | |
| | 16.67 | | | | 9,792 | | | | 1.97 | | | | 6.64 | | | | 1.85 | | | | 6.76 | | | | 130 | |
| | 24.67 | | | | 6,969 | | | | 2.04 | | | | 7.22 | | | | 1.85 | | | | 7.41 | | | | 132 | |
| | (7.98 | ) | | | 5,038 | | | | 2.11 | | | | 9.72 | | | | 1.85 | | | | 9.98 | | | | 108 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 11.79 | | | | 697 | | | | 1.19 | | | | 6.69 | | | | 1.19 | | | | 6.69 | | | | 133 | |
| | 3.46 | | | | 615 | | | | 1.31 | | | | 7.66 | | | | 1.29 | | | | 7.68 | | | | 124 | |
| | 17.28 | | | | 309 | | | | 1.47 | | | | 7.12 | | | | 1.35 | | | | 7.25 | | | | 130 | |
| | 25.12 | | | | 343 | | | | 1.54 | | | | 7.73 | | | | 1.35 | | | | 7.92 | | | | 132 | |
| | (7.49 | ) | | | 265 | | | | 1.61 | | | | 10.46 | | | | 1.35 | | | | 10.72 | | | | 108 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 12.39 | | | | 495,863 | | | | .70 | | | | 7.24 | | | | .70 | | | | 7.24 | | | | 133 | |
| | 4.15 | | | | 465,299 | | | | .84 | | | | 8.19 | | | | .80 | | | | 8.23 | | | | 124 | |
| | 17.77 | | | | 460,785 | | | | .97 | | | | 7.63 | | | | .85 | | | | 7.75 | | | | 130 | |
| | 25.75 | | | | 350,066 | | | | 1.04 | | | | 8.19 | | | | .85 | | | | 8.38 | | | | 132 | |
| | (7.01 | ) | | | 182,051 | | | | 1.11 | | | | 10.67 | | | | .85 | | | | 10.93 | | | | 108 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | | | | | | | | | | | | | | | | |
| | | | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | | |
| INFLATION PROTECTED SECURITIES | | | | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accum-
ulated
Net
Realized
Gains | | | Return
of
Capital | | | Total | | | Ending
Net
Asset
Value | |
Class A (10/04) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 11.80 | | | $ | .07 | | | $ | (.66 | ) | | $ | (.59 | ) | | $ | (.13 | ) | | $ | — | | | $ | — | | | $ | (.13 | ) | | $ | 11.08 | |
2012 | | | 10.94 | | | | .23 | | | | 1.01 | | | | 1.24 | | | | (.38 | ) | | | — | | | | — | | | | (.38 | ) | | | 11.80 | |
2011 | | | 10.33 | | | | .35 | | | | .40 | | | | .75 | | | | (.14 | ) | | | — | | | | — | | | | (.14 | ) | | | 10.94 | |
2010 | | | 9.59 | | | | .28 | | | | .73 | | | | 1.01 | | | | (.27 | ) | | | — | | | | — | | | | (.27 | ) | | | 10.33 | |
2009 | | | 10.20 | | | | .14 | | | | (.37 | ) | | | (.23 | ) | | | (.26 | ) | | | — | | | | (.12 | ) | | | (.38 | ) | | | 9.59 | |
Class C (10/04) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.72 | | | | (.03 | ) | | | (.60 | ) | | | (.63 | ) | | | (.06 | ) | | | — | | | | — | | | | (.06 | ) | | | 11.03 | |
2012 | | | 10.84 | | | | .14 | | | | 1.00 | | | | 1.14 | | | | (.26 | ) | | | — | | | | — | | | | (.26 | ) | | | 11.72 | |
2011 | | | 10.24 | | | | .26 | | | | .41 | | | | .67 | | | | (.07 | ) | | | — | | | | — | | | | (.07 | ) | | | 10.84 | |
2010 | | | 9.53 | | | | .18 | | | | .75 | | | | .93 | | | | (.22 | ) | | | — | | | | — | | | | (.22 | ) | | | 10.24 | |
2009 | | | 10.18 | | | | .11 | | | | (.43 | ) | | | (.32 | ) | | | (.21 | ) | | | — | | | | (.12 | ) | | | (.33 | ) | | | 9.53 | |
Class R3 (10/04) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.74 | | | | .04 | | | | (.62 | ) | | | (.58 | ) | | | (.11 | ) | | | — | | | | — | | | | (.11 | ) | | | 11.05 | |
2012 | | | 10.84 | | | | .22 | | | | .97 | | | | 1.19 | | | | (.29 | ) | | | — | | | | — | | | | (.29 | ) | | | 11.74 | |
2011 | | | 10.31 | | | | .11 | | | | .54 | | | | .65 | | | | (.12 | ) | | | — | | | | — | | | | (.12 | ) | | | 10.84 | |
2010 | | | 9.58 | | | | .26 | | | | .72 | | | | .98 | | | | (.25 | ) | | | — | | | | — | | | | (.25 | ) | | | 10.31 | |
2009 | | | 10.20 | | | | .13 | | | | (.39 | ) | | | (.26 | ) | | | (.24 | ) | | | — | | | | (.12 | ) | | | (.36 | ) | | | 9.58 | |
Class I (10/04) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 11.81 | | | | .09 | | | | (.61 | ) | | | (.52 | ) | | | (.15 | ) | | | — | | | | — | | | | (.15 | ) | | | 11.14 | |
2012 | | | 10.96 | | | | .25 | | | | 1.01 | | | | 1.26 | | | | (.41 | ) | | | — | | | | — | | | | (.41 | ) | | | 11.81 | |
2011 | | | 10.34 | | | | .40 | | | | .38 | | | | .78 | | | | (.16 | ) | | | — | | | | — | | | | (.16 | ) | | | 10.96 | |
2010 | | | 9.59 | | | | .33 | | | | .71 | | | | 1.04 | | | | (.29 | ) | | | — | | | | — | | | | (.29 | ) | | | 10.34 | |
2009 | | | 10.20 | | | | .23 | | | | (.45 | ) | | | (.22 | ) | | | (.27 | ) | | | — | | | | (.12 | ) | | | (.39 | ) | | | 9.59 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | | | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(d) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (5.07 | )% | | $ | 21,949 | | | | .81 | % | | | .56 | % | | | .81 | % | | | .56 | % | | | 52 | % |
| | 11.44 | | | | 19,330 | | | | 1.00 | | | | 1.81 | | | | .84 | | | | 1.97 | | | | 47 | |
| | 7.30 | | | | 12,080 | | | | 1.09 | | | | 3.05 | | | | .85 | | | | 3.30 | | | | 45 | |
| | 10.62 | | | | 7,894 | | | | 1.15 | | | | 2.46 | | | | .84 | | | | 2.77 | | | | 72 | |
| | (2.18 | ) | | | 5,439 | | | | 1.10 | | | | 1.27 | | | | .85 | | | | 1.52 | | | | 24 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (5.39 | ) | | | 9,761 | | | | 1.56 | | | | (.25 | ) | | | 1.56 | | | | (.25 | ) | | | 52 | |
| | 10.62 | | | | 9,703 | | | | 1.75 | | | | 1.05 | | | | 1.59 | | | | 1.21 | | | | 47 | |
| | 6.59 | | | | 8,043 | | | | 1.84 | | | | 2.19 | | | | 1.60 | | | | 2.44 | | | | 45 | |
| | 9.76 | | | | 6,673 | | | | 1.91 | | | | 1.47 | | | | 1.60 | | | | 1.78 | | | | 72 | |
| | (3.03 | ) | | | 1,406 | | | | 1.84 | | | | .94 | | | | 1.59 | | | | 1.19 | | | | 24 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (5.02 | ) | | | 519 | | | | 1.06 | | | | .32 | | | | 1.06 | | | | .32 | | | | 52 | |
| | 11.10 | | | | 173 | | | | 1.25 | | | | 1.72 | | | | 1.09 | | | | 1.88 | | | | 47 | |
| | 6.31 | | | | 33 | | | | 1.38 | | | | .78 | | | | 1.10 | | | | 1.05 | | | | 45 | |
| | 10.32 | | | | 1,332 | | | | 1.40 | | | | 2.33 | | | | 1.09 | | | | 2.64 | | | | 72 | |
| | (2.43 | ) | | | 1,262 | | | | 1.35 | | | | 1.09 | | | | 1.10 | | | | 1.34 | | | | 24 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (4.46 | ) | | | 344,204 | | | | .56 | | | | .77 | | | | .56 | | | | .77 | | | | 52 | |
| | 11.62 | | | | 321,386 | | | | .75 | | | | 1.99 | | | | .59 | | | | 2.15 | | | | 47 | |
| | 7.62 | | | | 255,183 | | | | .84 | | | | 3.49 | | | | .60 | | | | 3.74 | | | | 45 | |
| | 10.92 | | | | 156,983 | | | | .90 | | | | 2.96 | | | | .59 | | | | 3.27 | | | | 72 | |
| | (2.03 | ) | | | 167,501 | | | | .85 | | | | 2.23 | | | | .60 | | | | 2.48 | | | | 24 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | |
| | | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | | |
| INTERMEDIATE GOVERNMENT BOND | | | | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accum- ulated
Net
Realized
Gains | | | Return
of
Capital | | | Total | | | Ending
Net
Asset
Value | |
Class A (10/02) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 9.02 | | | $ | .14 | | | $ | (.20 | ) | | $ | (.06 | ) | | $ | (.17 | ) | | $ | — | | | $ | — | | | $ | (.17 | ) | | $ | 8.79 | |
2012 | | | 8.84 | | | | .18 | | | | .19 | | | | .37 | | | | (.19 | ) | | | — | | | | — | | | | (.19 | ) | | | 9.02 | |
2011 | | | 8.77 | | | | .20 | | | | .07 | | | | .27 | | | | (.20 | ) | | | — | | | | — | | | | (.20 | ) | | | 8.84 | |
2010 | | | 8.67 | | | | .20 | | | | .27 | | | | .47 | | | | (.20 | ) | | | (.17 | ) | | | — | * | | | (.37 | ) | | | 8.77 | |
2009 | | | 8.42 | | | | .19 | | | | .25 | | | | .44 | | | | (.19 | ) | | | — | | | | — | | | | (.19 | ) | | | 8.67 | |
Class C (10/09) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 9.03 | | | | .07 | | | | (.21 | ) | | | (.14 | ) | | | (.09 | ) | | | — | | | | — | | | | (.09 | ) | | | 8.80 | |
2012 | | | 8.85 | | | | .10 | | | | .20 | | | | .30 | | | | (.12 | ) | | | — | | | | — | | | | (.12 | ) | | | 9.03 | |
2011 | | | 8.77 | | | | .12 | | | | .08 | | | | .20 | | | | (.12 | ) | | | — | | | | — | | | | (.12 | ) | | | 8.85 | |
2010(d) | | | 8.76 | | | | .09 | | | | .17 | | | | .26 | | | | (.08 | ) | | | (.17 | ) | | | — | * | | | (.25 | ) | | | 8.77 | |
Class R3 (10/09) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 9.01 | | | | .12 | | | | (.21 | ) | | | (.09 | ) | | | (.14 | ) | | | — | | | | — | | | | (.14 | ) | | | 8.78 | |
2012 | | | 8.84 | | | | .15 | | | | .18 | | | | .33 | | | | (.16 | ) | | | — | | | | — | | | | (.16 | ) | | | 9.01 | |
2011 | | | 8.77 | | | | .16 | | | | .08 | | | | .24 | | | | (.17 | ) | | | — | | | | — | | | | (.17 | ) | | | 8.84 | |
2010(d) | | | 8.76 | | | | .09 | | | | .20 | | | | .29 | | | | (.11 | ) | | | (.17 | ) | | | — | * | | | (.28 | ) | | | 8.77 | |
Class I (10/02) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 9.03 | | | | .16 | | | | (.21 | ) | | | (.05 | ) | | | (.18 | ) | | | — | | | | — | | | | (.18 | ) | | | 8.80 | |
2012 | | | 8.84 | | | | .19 | | | | .21 | | | | .40 | | | | (.21 | ) | | | — | | | | — | | | | (.21 | ) | | | 9.03 | |
2011 | | | 8.77 | | | | .21 | | | | .07 | | | | .28 | | | | (.21 | ) | | | — | | | | — | | | | (.21 | ) | | | 8.84 | |
2010 | | | 8.67 | | | | .21 | | | | .27 | | | | .48 | | | | (.21 | ) | | | (.17 | ) | | | — | * | | | (.38 | ) | | | 8.77 | |
2009 | | | 8.42 | | | | .21 | | | | .25 | | | | .46 | | | | (.21 | ) | | | — | | | | — | | | | (.21 | ) | | | 8.67 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | |
| | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | |
Net
Invest-
ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(e) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (.74 | )% | | $ | 11,034 | | | | 1.01 | % | | | 1.41 | % | | | .85 | % | | | 1.57 | % | | | 55 | % |
| | 4.24 | | | | 12,735 | | | | 1.11 | | | | 1.65 | | | | .77 | | | | 1.99 | | | | 72 | |
| | 3.10 | | | | 14,086 | | | | 1.10 | | | | 1.85 | | | | .73 | | | | 2.22 | | | | 58 | |
| | 5.50 | | | | 19,003 | | | | 1.19 | | | | 1.89 | | | | .75 | | | | 2.33 | | | | 105 | |
| | 5.30 | | | | 10,496 | | | | 1.15 | | | | 1.82 | | | | .75 | | | | 2.22 | | | | 133 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (1.53 | ) | | | 1,090 | | | | 1.76 | | | | .66 | | | | 1.60 | | | | .82 | | | | 55 | |
| | 3.35 | | | | 1,438 | | | | 1.86 | | | | .90 | | | | 1.60 | | | | 1.16 | | | | 72 | |
| | 2.32 | | | | 1,417 | | | | 1.89 | | | | 1.05 | | | | 1.58 | | | | 1.37 | | | | 58 | |
| | 3.00 | | | | 1,940 | | | | 1.94 | ** | | | 1.16 | ** | | | 1.60 | ** | | | 1.50 | ** | | | 105 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (1.00 | ) | | | 168 | | | | 1.26 | | | | 1.17 | | | | 1.10 | | | | 1.32 | | | | 55 | |
| | 3.79 | | | | 214 | | | | 1.36 | | | | 1.39 | | | | 1.10 | | | | 1.66 | | | | 72 | |
| | 2.75 | | | | 473 | | | | 1.39 | | | | 1.56 | | | | 1.08 | | | | 1.87 | | | | 58 | |
| | 3.34 | | | | 652 | | | | 1.44 | ** | | | 1.44 | ** | | | 1.10 | ** | | | 1.78 | ** | | | 105 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | (.53 | ) | | | 52,291 | | | | .76 | | | | 1.67 | | | | .60 | | | | 1.83 | | | | 55 | |
| | 4.50 | | | | 70,060 | | | | .86 | | | | 1.90 | | | | .60 | | | | 2.16 | | | | 72 | |
| | 3.25 | | | | 98,960 | | | | .89 | | | | 2.05 | | | | .58 | | | | 2.36 | | | | 58 | |
| | 5.66 | | | | 152,088 | | | | .94 | | | | 2.05 | | | | .60 | | | | 2.39 | | | | 105 | |
| | 5.46 | | | | 101,253 | | | | .90 | | | | 2.11 | | | | .60 | | | | 2.41 | | | | 133 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | For the period October 28, 2009 (commencement of operations) through June 30, 2010. |
| (e) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
| * | Rounds to less than $.01 per share. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | |
| | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | | |
| SHORT TERM BOND | | | | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accum-
ulated
Net
Realized
Gains | | | Total | | | Ending
Net
Asset
Value | |
Class A (12/92) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 9.95 | | | $ | .20 | | | $ | .03 | | | $ | .23 | | | $ | (.21 | ) | | $ | — | | | $ | (.21 | ) | | $ | 9.97 | |
2012 | | | 10.06 | | | | .24 | | | | (.10 | ) | | | .14 | | | | (.25 | ) | | | — | | | | (.25 | ) | | | 9.95 | |
2011 | | | 9.98 | | | | .24 | | | | .06 | | | | .30 | | | | (.22 | ) | | | — | | | | (.22 | ) | | | 10.06 | |
2010 | | | 9.66 | | | | .31 | | | | .34 | | | | .65 | | | | (.33 | ) | | | — | | | | (.33 | ) | | | 9.98 | |
2009 | | | 9.89 | | | | .46 | | | | (.26 | ) | | | .20 | | | | (.43 | ) | | | — | | | | (.43 | ) | | | 9.66 | |
Class C (10/09) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 9.97 | | | | .12 | | | | .04 | | | | .16 | | | | (.13 | ) | | | — | | | | (.13 | ) | | | 10.00 | |
2012 | | | 10.09 | | | | .16 | | | | (.11 | ) | | | .05 | | | | (.17 | ) | | | — | | | | (.17 | ) | | | 9.97 | |
2011 | | | 10.00 | | | | .15 | | | | .07 | | | | .22 | | | | (.13 | ) | | | — | | | | (.13 | ) | | | 10.09 | |
2010(d) | | | 9.95 | | | | .13 | | | | .06 | | | | .19 | | | | (.14 | ) | | | — | | | | (.14 | ) | | | 10.00 | |
Class R3 (9/11) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 9.96 | | | | .17 | | | | .04 | | | | .21 | | | | (.18 | ) | | | — | | | | (.18 | ) | | | 9.99 | |
2012(e) | | | 9.85 | | | | .16 | | | | .13 | | | | .29 | | | | (.18 | ) | | | — | | | | (.18 | ) | | | 9.96 | |
Class I (2/94) | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 9.95 | | | | .22 | | | | .04 | | | | .26 | | | | (.23 | ) | | | — | | | | (.23 | ) | | | 9.98 | |
2012 | | | 10.07 | | | | .26 | | | | (.11 | ) | | | .15 | | | | (.27 | ) | | | — | | | | (.27 | ) | | | 9.95 | |
2011 | | | 9.99 | | | | .25 | | | | .06 | | | | .31 | | | | (.23 | ) | | | — | | | | (.23 | ) | | | 10.07 | |
2010 | | | 9.67 | | | | .32 | | | | .34 | | | | .66 | | | | (.34 | ) | | | — | | | | (.34 | ) | | | 9.99 | |
2009 | | | 9.89 | | | | .48 | | | | (.25 | ) | | | .23 | | | | (.45 | ) | | | — | | | | (.45 | ) | | | 9.67 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | | | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | |
Net
Invest-
ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(f) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.30 | % | | $ | 141,099 | | | | .73 | % | | | 1.96 | % | | | .71 | % | | | 1.99 | % | | | 42 | % |
| | 1.42 | | | | 112,851 | | | | .82 | | | | 2.33 | | | | .73 | | | | 2.42 | | | | 56 | |
| | 3.00 | | | | 80,927 | | | | .87 | | | | 2.22 | | | | .73 | | | | 2.37 | | | | 58 | |
| | 6.77 | | | | 87,631 | | | | 1.04 | | | | 2.88 | | | | .75 | | | | 3.17 | | | | 44 | |
| | 2.22 | | | | 65,704 | | | | 1.06 | | | | 4.55 | | | | .74 | | | | 4.87 | | | | 54 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1.61 | | | | 44,414 | | | | 1.48 | | | | 1.22 | | | | 1.46 | | | | 1.24 | | | | 42 | |
| | .50 | | | | 42,346 | | | | 1.56 | | | | 1.56 | | | | 1.55 | | | | 1.57 | | | | 56 | |
| | 2.22 | | | | 5,101 | | | | 1.66 | | | | 1.45 | | | | 1.58 | | | | 1.53 | | | | 58 | |
| | 1.90 | | | | 3,111 | | | | 1.79 | * | | | 1.76 | * | | | 1.60 | * | | | 1.95 | * | | | 44 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.10 | | | | 516 | | | | .98 | | | | 1.71 | | | | .96 | | | | 1.73 | | | | 42 | |
| | 2.92 | | | | 446 | | | | 1.06 | * | | | 2.07 | * | | | 1.05 | * | | | 2.07 | * | | | 56 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 2.65 | | | | 720,722 | | | | .48 | | | | 2.22 | | | | .46 | | | | 2.23 | | | | 42 | |
| | 1.51 | | | | 727,242 | | | | .57 | | | | 2.59 | | | | .55 | | | | 2.61 | | | | 56 | |
| | 3.16 | | | | 741,969 | | | | .67 | | | | 2.43 | | | | .58 | | | | 2.52 | | | | 58 | |
| | 6.92 | | | | 629,151 | | | | .79 | | | | 3.07 | | | | .60 | | | | 3.26 | | | | 44 | |
| | 2.48 | | | | 315,024 | | | | .81 | | | | 4.80 | | | | .59 | | | | 5.02 | | | | 54 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | For the period October 28, 2009 (commencement of operations) through June 30, 2010. |
| (e) | For the period September 23, 2011 (commencement of operations) through June 30, 2012. |
| (f) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Financial Highlights (continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Selected data for a share outstanding throughout each period: | | | | | | | | | | | | | |
| | | | | | | |
| Class (Commencement Date) | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Investment Operations | | | Less Distributions | | | | |
| | | | | | | |
| STRATEGIC INCOME | | | | | | | | | | | | | | | | | | | | | | |
Year Ended
June 30, | | Beginning
Net
Asset
Value | | | Net
Invest-
ment
Income
(Loss)(a) | | | Net
Realized/
Unrealized
Gain
(Loss) | | | Total | | | From
Net
Invest-
ment
Income | | | From
Accum- ulated
Net Realized
Gains | | | Total | | | Ending
Net
Asset
Value | |
Class A (2/00) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | $ | 10.83 | | | $ | .52 | | | $ | .16 | | | $ | .68 | | | $ | (.49 | ) | | $ | — | | | $ | (.49 | ) | | $ | 11.02 | |
2012 | | | 10.72 | | | | .44 | | | | .10 | | | | .54 | | | | (.43 | ) | | | — | | | | (.43 | ) | | | 10.83 | |
2011 | | | 10.27 | | | | .43 | | | | .45 | | | | .88 | | | | (.43 | ) | | | — | | | | (.43 | ) | | | 10.72 | |
2010 | | | 9.01 | | | | .52 | | | | 1.28 | | | | 1.80 | | | | (.54 | ) | | | — | | | | (.54 | ) | | | 10.27 | |
2009 | | | 9.90 | | | | .64 | | | | (.74 | ) | | | (.10 | ) | | | (.63 | ) | | | (.16 | ) | | | (.79 | ) | | | 9.01 | |
Class B (2/00) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 10.78 | | | | .43 | | | | .15 | | | | .58 | | | | (.41 | ) | | | — | | | | (.41 | ) | | | 10.95 | |
2012 | | | 10.67 | | | | .36 | | | | .09 | | | | .45 | | | | (.34 | ) | | | — | | | | (.34 | ) | | | 10.78 | |
2011 | | | 10.22 | | | | .35 | | | | .44 | | | | .79 | | | | (.34 | ) | | | — | | | | (.34 | ) | | | 10.67 | |
2010 | | | 8.97 | | | | .45 | | | | 1.26 | | | | 1.71 | | | | (.46 | ) | | | — | | | | (.46 | ) | | | 10.22 | |
2009 | | | 9.86 | | | | .58 | | | | (.74 | ) | | | (.16 | ) | | | (.57 | ) | | | (.16 | ) | | | (.73 | ) | | | 8.97 | |
Class C (2/00) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 10.76 | | | | .43 | | | | .16 | | | | .59 | | | | (.41 | ) | | | — | | | | (.41 | ) | | | 10.94 | |
2012 | | | 10.65 | | | | .36 | | | | .09 | | | | .45 | | | | (.34 | ) | | | — | | | | (.34 | ) | | | 10.76 | |
2011 | | | 10.20 | | | | .35 | | | | .44 | | | | .79 | | | | (.34 | ) | | | — | | | | (.34 | ) | | | 10.65 | |
2010 | | | 8.96 | | | | .43 | | | | 1.27 | | | | 1.70 | | | | (.46 | ) | | | — | | | | (.46 | ) | | | 10.20 | |
2009 | | | 9.84 | | | | .58 | | | | (.73 | ) | | | (.15 | ) | | | (.57 | ) | | | (.16 | ) | | | (.73 | ) | | | 8.96 | |
Class R3 (9/01) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 10.88 | | | | .49 | | | | .15 | | | | .64 | | | | (.47 | ) | | | — | | | | (.47 | ) | | | 11.05 | |
2012 | | | 10.77 | | | | .41 | | | | .10 | | | | .51 | | | | (.40 | ) | | | — | | | | (.40 | ) | | | 10.88 | |
2011 | | | 10.31 | | | | .41 | | | | .45 | | | | .86 | | | | (.40 | ) | | | — | | | | (.40 | ) | | | 10.77 | |
2010 | | | 9.07 | | | | .42 | | | | 1.32 | | | | 1.74 | | | | (.50 | ) | | | — | | | | (.50 | ) | | | 10.31 | |
2009 | | | 9.95 | | | | .62 | | | | (.73 | ) | | | (.11 | ) | | | (.61 | ) | | | (.16 | ) | | | (.77 | ) | | | 9.07 | |
Class I (2/00) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2013 | | | 10.83 | | | | .55 | | | | .15 | | | | .70 | | | | (.52 | ) | | | — | | | | (.52 | ) | | | 11.01 | |
2012 | | | 10.71 | | | | .45 | | | | .12 | | | | .57 | | | | (.45 | ) | | | — | | | | (.45 | ) | | | 10.83 | |
2011 | | | 10.26 | | | | .46 | | | | .44 | | | | .90 | | | | (.45 | ) | | | — | | | | (.45 | ) | | | 10.71 | |
2010 | | | 9.01 | | | | .55 | | | | 1.25 | | | | 1.80 | | | | (.55 | ) | | | — | | | | (.55 | ) | | | 10.26 | |
2009 | | | 9.89 | | | | .66 | | | | (.73 | ) | | | (.07 | ) | | | (.65 | ) | | | (.16 | ) | | | (.81 | ) | | | 9.01 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
| | | | | |
| | | | | | | | | | | | | | | | | |
| | | | Ratios/Supplemental Data | |
| | | | | | | Ratios to Average
Net Assets Before
Waiver/Reimbursement | | | Ratios to Average
Net Assets After
Waiver/Reimbursement(c) | | | | |
Total
Return(b) | | | Ending
Net
Assets
(000) | | | Expenses | | |
Net
Invest-
ment
Income
(Loss) | | | Expenses | | | Net
Invest-
ment
Income
(Loss) | | | Portfolio
Turnover
Rate(d)(e) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 6.25 | % | | $ | 72,341 | | | | .90 | % | | | 4.50 | % | | | .84 | % | | | 4.57 | % | | | 69 | % |
| | 5.14 | | | | 52,802 | | | | .93 | | | | 4.01 | | | | .85 | | | | 4.10 | | | | 199 | |
| | 8.69 | | | | 25,045 | | | | 1.05 | | | | 3.93 | | | | .88 | | | | 4.10 | | | | 98 | |
| | 20.21 | | | | 28,165 | | | | 1.13 | | | | 4.98 | | | | .92 | | | | 5.19 | | | | 96 | |
| | .16 | | | | 13,948 | | | | 1.13 | | | | 7.45 | | | | 1.00 | | | | 7.58 | | | | 147 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 5.30 | | | | 1,488 | | | | 1.65 | | | | 3.73 | | | | 1.59 | | | | 3.79 | | | | 69 | |
| | 4.32 | | | | 2,148 | | | | 1.68 | | | | 3.27 | | | | 1.61 | | | | 3.33 | | | | 199 | |
| | 7.84 | | | | 1,116 | �� | | | 1.80 | | | | 3.22 | | | | 1.73 | | | | 3.29 | | | | 98 | |
| | 19.22 | | | | 1,413 | | | | 1.87 | | | | 4.35 | | | | 1.74 | | | | 4.48 | | | | 96 | |
| | (.58 | ) | | | 1,719 | | | | 1.88 | | | | 6.71 | | | | 1.75 | | | | 6.84 | | | | 147 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 5.50 | | | | 35,146 | | | | 1.65 | | | | 3.75 | | | | 1.59 | | | | 3.81 | | | | 69 | |
| | 4.32 | | | | 31,085 | | | | 1.67 | | | | 3.30 | | | | 1.60 | | | | 3.37 | | | | 199 | |
| | 7.85 | | | | 8,092 | | | | 1.80 | | | | 3.22 | | | | 1.73 | | | | 3.29 | | | | 98 | |
| | 19.13 | | | | 6,748 | | | | 1.88 | | | | 4.21 | | | | 1.75 | | | | 4.34 | | | | 96 | |
| | (.48 | ) | | | 2,778 | | | | 1.88 | | | | 6.64 | | | | 1.75 | | | | 6.77 | | | | 147 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 5.89 | | | | 2,926 | | | | 1.15 | | | | 4.27 | | | | 1.09 | | | | 4.34 | | | | 69 | |
| | 4.83 | | | | 1,903 | | | | 1.19 | | | | 3.73 | | | | 1.12 | | | | 3.80 | | | | 199 | |
| | 8.40 | | | | 1,020 | | | | 1.29 | | | | 3.73 | | | | 1.23 | | | | 3.79 | | | | 98 | |
| | 19.47 | | | | 601 | | | | 1.37 | | | | 4.06 | | | | 1.24 | | | | 4.19 | | | | 96 | |
| | .02 | | | | 681 | | | | 1.38 | | | | 7.26 | | | | 1.25 | | | | 7.39 | | | | 147 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 6.42 | | | | 517,292 | | | | .65 | | | | 4.75 | | | | .59 | | | | 4.81 | | | | 69 | |
| | 5.35 | | | | 534,608 | | | | .69 | | | | 4.19 | | | | .63 | | | | 4.26 | | | | 199 | |
| | 8.99 | | | | 615,107 | | | | .80 | | | | 4.22 | | | | .73 | | | | 4.29 | | | | 98 | |
| | 20.31 | | | | 655,301 | | | | .87 | | | | 5.31 | | | | .74 | | | | 5.44 | | | | 96 | |
| | .52 | | | | 633,108 | | | | .88 | | | | 7.64 | | | | .75 | | | | 7.77 | | | | 147 | |
| (a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
| (b) | Total return is the combination of changes in net asset value without any sales charge, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. Total returns are not annualized. |
| (c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. |
| (d) | For fiscal years beginning after June 30, 2011, the Fund will no longer exclude dollar roll transactions, where applicable. |
| (e) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases and sales (as disclosed in Footnote 5 – Investment Transactions) divided by the average long-term market value during the period. |
See accompanying notes to financial statements.
Notes to Financial Statements
1. General Information and Significant Accounting Policies
General Information
Nuveen Investment Funds, Inc. and Nuveen Investment Trust (each a “Trust” and collectively, the “Trusts”), are open-end investment companies registered under the Investment Company Act of 1940, as amended. Nuveen Investment Funds, Inc. is comprised of the Nuveen Core Bond Fund (“Core Bond”) formerly Nuveen Intermediate Term Bond Fund, Nuveen Core Plus Bond Fund (“Core Plus Bond”), Nuveen Inflation Protected Securities Fund (“Inflation Protected Securities”), Nuveen Intermediate Government Bond Fund (“Intermediate Government Bond”), Nuveen Short Term Bond Fund (“Short Term Bond”) and Nuveen Strategic Income Fund (“Strategic Income”) and Nuveen Investment Trust is comprised of the Nuveen Global Total Return Bond Fund (“Global Total Return Bond”) (each a “Fund” and collectively, the “Funds”), as diversified funds, among others. Nuveen Investment Funds, Inc. was incorporated in the State of Maryland on August 20, 1987. Nuveen Investment Trust was organized as a Massachusetts business trust in 1996.
On December 31, 2012, the Funds’ investment adviser converted from a Delaware corporation to a Delaware limited liability company. As a result, Nuveen Fund Advisors, Inc., a wholly-owned subsidiary of Nuveen Investments, Inc. (“Nuveen”), changed its name to Nuveen Fund Advisors, LLC (the “Adviser”). There were no changes to the identities or roles of any personnel as a result of the change.
During the current reporting period, Core Bond changed its name from Nuveen Intermediate Term Bond Fund. There have been no changes to the investment objective, principal investment strategies and principal risks of the Fund.
Effective January 1, 2013, Global Total Return Bond is subject to regulation as a commodity pool under the Commodity Exchange Act, and the Adviser has registered with the Commodity Futures Trading Commission (“CFTC”) as a commodity pool operator.
Core Bond
Core Bond’s investment objective is to provide investors with current income to the extent consistent with preservation of capital. Under normal market conditions, the Fund invests primarily (at least 80% of its net assets, plus the amount of any borrowings for investment purposes) in bonds, such as U.S. government securities (securities issued or guaranteed by the U.S. government or its agencies or instrumentalities), including zero coupon securities, residential and commercial mortgage-backed securities, asset-backed securities, and corporate debt obligations, including obligations issued by special-purpose entities that are backed by corporate debt obligations. Bonds in the Fund will be rated investment grade at the time of purchase or, if unrated, determined to be of comparable quality by Nuveen Asset Management, LLC (the “Sub-Adviser”), a subsidiary of the Adviser. If the rating of a security is reduced or discounted after purchase, the Fund is not required to sell the security, but may consider doing so. At least 65% of the Fund’s debt securities must be either U.S. government securities or securities that are rated A or better or are unrated and of comparable quality as determined by the Adviser. Unrated securities will not exceed 25% of the Fund’s total assets.
The Fund may invest up to 25% of its total assets in U.S. dollar denominated debt obligations of foreign corporations and governments.
Under normal market conditions the Fund attempts to maintain a weighted average effective maturity for its portfolio securities of three to ten years and an average effective duration of two to six years. The Fund’s weighted average effective maturity and effective duration are measures of how the Fund may react to interest rate changes.
To generate additional income, the Fund may invest up to 25% of its total assets in dollar roll transactions. In a dollar roll transaction, the Fund sells mortgage-backed securities for delivery in the current month while contracting with the same party to repurchase similar securities at a future date.
The Fund may utilize the following derivatives: options; futures contracts; options on futures contracts, interest rate caps, collars, and floors; swap agreements, including swap agreements on interest rates, security indexes and specific securities and credit default swap agreements; and options on the foregoing types of swap agreements. The Fund may enter into standardized derivatives contracts that are traded on domestic securities exchanges, boards of trade, or similar entities and non-standardized derivatives contracts traded in the over-the-counter (“OTC”) market. The Fund may use these derivatives in an attempt to manage market risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio, or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund may not use derivatives to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
Core Plus Bond
Core Plus Bond’s investment objective is to provide investors with high current income consistent with limited risk to capital. Under normal market conditions, the Fund invests primarily (at least 80% of its net assets, plus the amount of any borrowings for investment purposes) in bonds such as U.S. government securities (securities issued or guaranteed by the U.S. government or its agencies or instrumentalities), including zero coupon securities, residential and commercial mortgage-backed securities, asset-backed securities and corporate debt obligations, including obligations issued by special-purpose entities that are backed by corporate debt obligations.
During the period July 1, 2012 through February 28, 2013, up to 10% of the Fund’s total assets were able to be invested collectively in bonds rated lower than investment grade or unrated securities of comparable quality as determined by the Sub-Adviser (securities commonly referred to as “high yield” or “junk bonds”), non-dollar denominated debt obligations of foreign corporations and governments and debt obligations issued by governmental and corporate issuers that are located in emerging market countries. The Fund could invest up to 25% of its total assets in U.S. dollar denominated debt obligations of foreign corporations and governments that are not located in emerging market countries. The Fund invested primarily in bonds rated investment grade at the time of purchase by a nationally recognized statistical rating organization or in unrated securities of comparable quality. As noted above, however, up to 10% of the Fund’s total assets were able to be invested in securities that are rated lower than investment grade at the time of purchase or that are unrated and of comparable quality. Quality determinations regarding unrated securities were made by the Sub-Adviser. If the rating of a security was reduced or the credit quality of an unrated security declined after purchase, the Fund was not required to sell the security, but could consider doing so. At least 65% of the Fund’s debt securities were either U.S. government securities or securities that are rated A or better or are unrated and of comparable quality. Unrated securities did not exceed 25% of the Fund’s total assets.
Effective March 1, 2013, up to 20% of the Fund’s total assets may be invested in securities rated lower than investment grade or unrated securities of comparable quality as determined by the Sub-Adviser (securities commonly referred to as “high yield” or “junk bonds”). The Fund will not invest in securities rated lower than CCC at the time of purchase or in unrated securities of equivalent quality. The Fund may invest up to 35% of its total assets in debt obligations of foreign corporations and foreign governments. However, no more than 10% of the Fund’s total assets may be invested in debt obligations of corporations and governments that are located in emerging market countries. A country is considered to have an “emerging market” if it has a relatively low gross national product per capita compared to the world’s major economies, and the potential for rapid economic growth, provided that no issuer included in the Fund’s current benchmark index will be considered to be located in an emerging market country. Up to 10% of the Fund’s total assets may have non-U.S. dollar currency exposure from non-U.S. dollar denominated securities and currency derivatives, calculated on an absolute notional basis (i.e., adding together the absolute value of net long and net short exposures to non-U.S. dollar currencies). The Fund invests primarily in bonds rated investment grade at the time of purchase by a nationally recognized statistical rating organization or in unrated securities of comparable quality. As noted above, however, up to 20% of the Fund’s total assets may be invested in securities that are rated lower than investment grade at the time of purchase or that are unrated and of comparable quality. Quality determinations regarding unrated securities will be made by the Fund’s sub-adviser. If the rating of a security is reduced or the credit quality of an unrated security declines after purchase, the Fund is not required to sell the security, but may consider doing so. Unrated securities will not exceed 25% of the Fund’s total assets.
Global Total Return Bond
Global Total Return Bond’s investment objective is to seek total return. Under normal market conditions, the Fund invests at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in bonds from issuers located around the world. The bonds in which the Fund may invest may be of any maturity and include: debt obligations of foreign governments; domestic and foreign corporate debt obligations, including obligations issued by special-purpose entities that are backed by corporate debt obligations; U.S. government securities (securities issued or guaranteed by the U.S. government or its agencies or instrumentalities); residential and commercial mortgage-backed securities; and asset-backed securities.
Under normal market conditions, the Fund invests at least 40% of its net assets in non-U.S. issuers and is invested in issuers located in at least three countries (including the U.S.). The Fund may invest in debt obligations issued by governmental and corporate issuers located in emerging markets countries.
The Fund invests in securities that are U.S. dollar-denominated and in securities that are denominated in foreign currencies. As described in more detail below, the Fund may utilize various currency-related derivatives in an effort to enhance the Fund’s total return or to manage risk.
The Fund invests primarily in securities rated investment grade at the time of purchase or in unrated securities of comparable quality as determined by the Sub-Adviser. However, up to 30% of the Fund’s net assets may be invested in securities rated lower than investment grade or in unrated securities of comparable quality as determined by the Sub-Adviser (such securities commonly referred to as “high yield” or “junk bonds”).
The Fund may utilize the following derivatives: options; futures contracts; options on futures contracts; interest rate caps, collars, and floors; foreign currency contracts; options on foreign currencies; swap agreements, including swap agreements on interest rates, currency rates, security indexes and specific securities, and credit default swap agreements; and options on the foregoing types of swap agreements. The Fund may enter into standardized derivatives contracts traded on domestic or foreign securities exchanges, boards of trade, or similar entities, and non-standardized derivatives contracts traded in the OTC market. The Fund may use these derivatives in an attempt to manage market risk, currency risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio or for speculative purposes in an effort to enhance returns. The Fund may also use derivatives to gain exposure to non-dollar denominated securities markets to the extent it does not do so through direct investments. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund may not use any derivative to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
Notes to Financial Statements (continued)
High Income Bond
High Income Bond’s investment objective is to provide investors with a high level of current income. Under normal market conditions, the Fund invests primarily (at least 80% of its net assets, plus the amount of any borrowings for investment purposes) in bonds rated lower than investment grade at the time of purchase or in unrated bonds of comparable quality (securities commonly referred to as “high-yield” securities or “junk bonds”). These bonds generally provide high income in an effort to compensate investors for their higher risk of default, which is the failure to make required interest or principal payments. High-yield bond issuers include small or relatively new companies lacking the history or capital to merit investment-grade status, former blue chip companies downgraded because of financial problems, companies electing to borrow heavily to finance or avoid a takeover or buyout, and firms with heavy debt loads. The Fund may invest in exchange-traded funds, closed-end funds, and other investment companies (“investment companies”).
There is no minimum rating requirement and no limitation on the average maturity or average effective duration of securities held by the Fund.
For the period July 1, 2012 through November 19, 2012, the Fund was able to invest up to 25% of its total assets in dollar denominated debt obligations of foreign corporations and governments. Up to 20% of the Fund’s total assets were able to be invested in dollar denominated debt obligations issued by governmental and corporate issuers that are located in emerging market countries. Effective November 15, 2012, the Fund may invest in debt obligations of foreign corporations and governments. Up to 20% of the Fund’s total assets may be invested in debt obligations issued by governmental and corporate issuers that are located in emerging market countries. A country is considered to have an “emerging market” if it has a relatively low gross national product per capita compared to the world’s major economies, and the potential for rapid economic growth, provided that no issuer included in the Fund’s current benchmark index will be considered to be located in an emerging market country.
For the period July 1, 2012 through November 19, 2012, the Fund was able to utilize the following derivatives: options; futures contracts; options on futures contracts; swap agreements, including swap agreements on interest rates, security indexes and specific securities, and credit default swap agreements; and options on the foregoing types of swap agreements. The Fund was able to enter into standardized derivatives contracts traded on domestic or foreign securities exchanges, boards of trade, or similar entities, and non-standardized derivatives contracts traded in the OTC market. The Fund could have used these derivatives in an attempt to manage market risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund did not use any derivative to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
Effective November 15, 2012, the Fund may utilize the following derivatives: options; futures contracts; options on futures contracts; foreign currency contracts; options on foreign currencies; swap agreements, including interest rate swaps, currency swaps, total return swaps, and credit default swaps; and options on swap agreements. The Fund may use these derivatives in an attempt to manage market risk, currency risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions.
Inflation Protected Securities
Inflation Protected Securities’ investment objective is to provide investors with total return while providing protection against inflation. Under normal market conditions, the Fund invests primarily (at least 80% of its net assets, plus the amount of any borrowings for investment purposes) in inflation protected debt securities. These securities will be issued by the U.S. and non-U.S. governments, their agencies and instrumentalities, and domestic and foreign corporations. The Fund’s investments in U.S. Government inflation protected securities will include U.S. Treasury inflation protected securities as well as inflation protected securities issued by agencies and instrumentalities of the U.S. Government. Securities issued by the U.S. Treasury are backed by the full faith and credit of the U.S. Government. Some securities issued by agencies and instrumentalities of the U.S. Government are supported only by the credit of the issuing agency or instrumentality.
Inflation protected debt securities are designed to provide protection against the negative effects of inflation. Unlike traditional debt securities, which pay regular fixed interest payments on a fixed principal amount, interest payments on inflation protected debt securities will vary with the rate of inflation. The U.S. Treasury uses the Consumer Price Index for Urban Consumers (CPI-U) as the inflation measure. Inflation protected debt securities issued by foreign governments and corporations are generally linked to a non-U.S. inflation rate.
Inflation protected debt securities have two common structures. The U.S. Treasury and some other issuers use a structure that accrues inflation into the principal value of the bond. If the index measuring the rate of inflation rises, the principal value of the security will increase. Because interest payments will be calculated with respect to a larger principal amount, interest payments also will increase. Conversely, if the index measuring the rate of inflation falls, the principal value of the security will fall and interest payments will decrease. Other issuers adjust the interest rates payable on the security according to the rate of inflation, but the principal amount remains the same.
In the event of sustained deflation, the U.S. Treasury has guaranteed that it will repay at maturity at least the original face value of the inflation protected securities that it issues. Other inflation protected debt securities that accrue inflation into their principal value may or may not provide a similar guarantee. For securities that do not provide such a guarantee, the adjusted principal value of the security repaid at maturity may be less than the original principal value.
Up to 20% of the Fund’s assets may be invested in holdings that are not inflation protected. These holdings may include domestic and foreign corporate debt obligations, securities issued or guaranteed by the U.S. government or its agencies and instrumentalities, debt obligations of foreign governments, residential and commercial mortgage-backed securities, asset-backed securities and derivative instruments, as discussed below.
The Fund invests primarily in securities rated investment grade at the time of purchase by a nationally recognized statistical rating organization or in unrated securities of comparable quality. However, up to 10% of the Fund’s net assets may be invested in securities that are rated lower than investment grade at the time of purchase or that are unrated and of comparable quality (securities commonly referred to as “high-yield” securities or “junk bonds”). The Fund will not invest in securities rated lower than B at the time of purchase or in unrated securities of equivalent quality. Quality determinations regarding unrated securities will be made by the Sub-Adviser.
The Fund may invest up to 20% of its net assets in non-dollar denominated securities, and may invest without limitation in U.S. dollar denominated securities of foreign corporations and governments.
The Fund may invest in debt securities of any maturity, but expects to maintain, under normal market conditions, a weighted average effective maturity of between eight and fifteen years and an average effective duration of between four and ten years. The Fund’s weighted average effective maturity and average effective duration are measures of how the Fund may react to interest rate changes.
The Fund may utilize the following derivatives: options; futures contracts; options on futures contracts; foreign currency contracts; options on foreign currencies; interest rate caps, collars, and floors; index- and other asset-linked notes; swap agreements, including swap agreements on interest rates, currency rates, security indexes and specific securities, and credit default swap agreements; and options on the foregoing types of swap agreements. The Fund may enter into standardized derivatives contracts traded on domestic or foreign securities exchanges, boards of trade, or similar entities, and non-standardized derivatives contracts traded in the OTC market. The Fund may use these derivatives in an attempt to manage market risk, currency risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The Fund may also use derivatives to gain exposure to non-dollar denominated securities markets to the extent it does not do so through direct investments. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund may not use any derivative to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
Intermediate Government Bond
Intermediate Government Bond’s investment objective is to provide investors with current income to the extent consistent with the preservation of capital. Under normal market conditions, the Fund invests primarily (at least 80% of its net assets, plus the amount of any borrowings for investment purposes) in U.S. government bonds. U.S. government bonds are securities issued or guaranteed by the U.S. government or its agencies or instrumentalities, including U.S. Treasury obligations, Mortgage-backed securities issued by the Government National Mortgage Association, the Federal National Mortgage Association (FNMA), and the Federal Home Loan Mortgage Corporation (FHLMC) and Non-mortgage-related obligations issued or guaranteed by U.S. government agencies or instrumentalities, such as FNMA, FHLMC, Federal Farm Credit Banks, the Federal Home Loan Bank System, and the Tennessee Valley Authority, including obligations that are issued by private issuers and guaranteed under the Federal Deposit Insurance Corporation (FDIC) Temporary Liquidity Guarantee Program.
U.S. Treasury obligations and some obligations of U.S. government agencies and instrumentalities are supported by the “full faith and credit” of the U.S. government. Other U.S. government securities are backed by the right of the issuer to borrow from the U.S. Treasury. Still others are supported only by the credit of the issuing agency or instrumentality.
The Fund may invest up to 20% of its total assets, collectively, in non-U.S. government debt obligations, including asset-backed securities, residential and commercial mortgage-backed securities, corporate debt obligations, and municipal securities. Such securities will be rated investment grade at the time of purchase or, if unrated, determined to be of comparable quality by the Sub-Adviser.
Under normal market conditions the Fund attempts to maintain a weighted average effective maturity between three and ten years and an effective duration of between two and one-half and seven years. The Fund’s weighted average effective maturity and effective duration are measures of how the Fund may react to interest rate changes.
To generate additional income, the Fund may invest up to 10% of its total assets in dollar roll transactions. In a dollar roll transaction, the Fund sells mortgage-backed securities for delivery in the current month while contracting with the same party to repurchase similar securities at a future date.
The Fund may utilize the following derivatives: futures contracts; options on futures contracts, swap agreements, including swap agreements on interest rates, security indexes and specific securities and credit default swap agreements; and options on the
Notes to Financial Statements (continued)
foregoing types of swap agreements. The Fund may enter into standardized derivatives contracts that are traded on domestic securities exchanges, boards of trade, or similar entities and non-standardized derivatives contracts traded in the OTC market. The Fund may use these derivatives in an attempt to manage market risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio, or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund may not use derivatives to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
Short Term Bond
Short Term Bond’s investment objective is to provide investors with current income while maintaining a high degree of principal stability. Under normal market conditions, the Fund invests primarily (at least 80% of its net assets, plus the amount of any borrowings for investment purposes) in bonds, such as residential and commercial mortgage-backed securities, asset-backed securities, corporate debt obligations, including obligations issued by special-purpose entities that are backed by corporate debt obligations, U.S. government securities, which are securities issued or guaranteed by the U.S. government or its agencies or instrumentalities and municipal securities.
Up to 20% of the Fund’s total assets may be invested in securities rated lower than investment grade or unrated securities of comparable quality as determined by the Sub-Adviser (securities commonly referred to as “high yield” or “junk bonds”). The Fund will not invest in securities rated lower than CCC at the time of purchase or in unrated securities of equivalent quality.
The Fund may invest up to 35% of its total assets in debt obligations of foreign corporations and foreign governments. However, no more than 10% of the Fund’s total assets may be invested in debt obligations of corporations and governments that are located in emerging market countries. A country is considered to have an “emerging market” if it has a relatively low gross national product per capita compared to the world’s major economies, and the potential for rapid economic growth, provided that no issuer included in the Fund’s current benchmark index will be considered to be located in an emerging market country.
Up to 10% of the Fund’s total assets may have non-U.S. dollar currency exposure from non-U.S. dollar denominated securities and currency derivatives, calculated on an absolute notional basis (i.e., adding together the absolute value of net long and net short exposures to non-U.S. dollar currencies).
The Fund invests primarily in debt securities rated investment grade at the time of purchase by a nationally recognized statistical rating organization or in unrated securities of comparable quality. As noted above, however, up to 20% of the Fund’s total assets may be invested in securities that are rated lower than investment grade at the time of purchase or that are unrated and of comparable quality. Quality determinations regarding unrated securities will be made by the Sub-Adviser. If the rating of a security is reduced or the credit quality of an unrated security declines after purchase, the Fund is not required to sell the security, but may consider doing so. Unrated securities will not exceed 5% of the Fund’s total assets.
Under normal market conditions the Fund attempts to maintain a weighted average effective maturity and an average effective duration for its portfolio securities of one to three years. The Fund’s weighted average effective maturity and effective duration are measures of how the Fund may react to interest rate changes.
The Fund may utilize the following derivatives: options; futures contracts; options on futures contracts; interest rate caps, collars, and floors; foreign currency contracts; options on foreign currencies; swap agreements, including swap agreements on interest rates, currency rates, security indexes and specific securities, and credit default swap agreements; and options on the foregoing types of swap agreements. The Fund may enter into standardized derivatives contracts traded on domestic or foreign securities exchanges, boards of trade, or similar entities, and non-standardized derivatives contracts traded in the OTC market. The Fund may use these derivatives in an attempt to manage market risk, currency risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The Fund may also use derivatives to gain exposure to non-dollar denominated securities markets to the extent it does not do so through direct investments. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund may not use any derivative to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
Strategic Income
Strategic Income’s investment objective is to provide investors with total return. Under normal market conditions, the Fund invests at least 80% of its net assets in debt securities, including U.S. government securities (securities issued or guaranteed by the U.S. government or its agencies or instrumentalities), residential and commercial mortgage-backed securities, asset-backed securities, domestic and foreign corporate debt obligations, including obligations issued by special-purpose entities that are backed by corporate debt obligations and debt obligations of foreign governments.
The Fund may invest up to 30% of its total assets in non-dollar denominated debt obligations of foreign corporations and governments, including debt obligations issued by governmental and corporate issuers that are located in emerging market countries. The Fund may invest without limitation in U.S. dollar denominated securities of foreign issuers.
The Fund may invest up to 50% of its total assets in securities rated lower than investment grade or unrated securities of comparable quality as determined by the Sub-Adviser (securities commonly referred to as “high yield” or “junk bonds”). The Fund will not invest in securities rated lower than CCC at the time of purchase or in unrated securities of equivalent quality. Unrated securities will not exceed 25% of the Fund’s total assets.
To generate additional income, the Fund may invest up to 25% of its total assets in dollar roll transactions. In a dollar roll transaction, the Fund sells mortgage-backed securities for delivery in the current month while contracting with the same party to repurchase similar securities at a future date.
Under normal market conditions the Fund attempts to maintain a weighted average effective maturity for its portfolio securities of fifteen years or less and an average effective duration of three to eight years. The Fund’s weighted average effective maturity and average effective duration are measures of how the Fund may react to interest rate changes.
The Fund may utilize the following derivatives: options; futures contracts; options on futures contracts; interest rate caps, collars, and floors; foreign currency contracts; options on foreign currencies; swap agreements, including swap agreements on interest rates, currency rates, security indexes and specific securities, and credit default swap agreements; and options on the foregoing types of swap agreements. The Fund may enter into standardized derivatives contracts traded on domestic or foreign securities exchanges, boards of trade, or similar entities, and non-standardized derivatives contracts traded in the OTC market. The Fund may use these derivatives in an attempt to manage market risk, currency risk, credit risk and yield curve risk, to manage the effective maturity or duration of securities in the Fund’s portfolio or for speculative purposes in an effort to increase the Fund’s yield or to enhance returns. The Fund may also use derivatives to gain exposure to non-dollar denominated securities markets to the extent it does not do so through direct investments. The use of a derivative is speculative if the Fund is primarily seeking to enhance returns, rather than offset the risk of other positions. The Fund may not use any derivative to gain exposure to a security or type of security that it would be prohibited by its investment restrictions from purchasing directly.
The Funds’ most recent prospectus provides further descriptions of each Fund’s investment objective, principal investment strategies and principal risks.
Significant Accounting Policies
The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”).
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 for fair value measurement purposes. 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 quoted bid price and are generally classified as Level 2. Prices of certain American Depositary Receipts (“ADR”) held by the Funds that trade in the United States are valued based on the last traded price, official closing price, or the most recent bid price 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 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 New York Stock Exchange (“NYSE”), which may represent a transfer from a Level 1 to a Level 2 security.
Investments in investment companies are valued at their respective net asset value on valuation date. These investment vehicles are generally classified Level 1.
Prices of fixed-income securities, forward foreign currency exchange contracts, senior loans and swap contracts are provided by a pricing service approved by the Funds’ Board of Directors/Trustees. These securities are generally classified as Level 2. 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.
If significant market events occur between the time of determination of the closing price of a foreign security on an exchange and the time that the Funds’ net asset values (NAV) are determined, or if under the Funds’ procedures, the closing price of a foreign security is not deemed to be reliable, the security would be valued at fair value as determined in accordance with procedures established in good faith by the Funds’ Board of Directors/Trustees. These securities are generally classified as Level 2 or Level 3 depending on the priority of the significant inputs.
Notes to Financial Statements (continued)
The value of exchange-traded options are based on the mean of the closing bid and ask prices. Futures contracts are valued using the closing settlement price or, in the absence of such a price, the last traded price. Exchange-traded options and futures contracts are generally classified as Level 1. Options traded in the over-the counter market are valued using an evaluated mean price 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 Directors/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 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 Directors/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. 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 earmark securities in the Funds’ portfolios with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments. As of June 30, 2013, Core Bond, Core Plus Bond, Global Total Return Bond, High Income Bond, Intermediate Government Bond, Short-Term Bond and Strategic Income had outstanding when issued/delayed delivery purchase commitments of $19,617,938, $14,864,083, $1,471,238, $6,145,250, $1,217,981, $25,253,906 and $750,000, respectively. Inflation Protected Securities had no such outstanding purchase commitments.
Investment Income
Dividend income is 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 pay down gains and losses, if any. Securities lending income is comprised of fees earned from borrowers and income earned on cash collateral investments, net of lending agent fees.
Professional Fees
Professional fees presented on the Statement of Operations consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment, or to pursue other claims or legal actions on behalf of Fund shareholders. Should a Fund receive a refund of workout expenditures paid in a prior reporting period such amounts will be recognized as “Legal fee refund” on the Statement of Operations.
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.
Dividends and Distributions to Shareholders
The Funds declare dividends from their net investment income daily and pay shareholders monthly. Fund shares begin to accrue dividends on the business day after the day when the monies used to purchase Fund shares are collected by the Funds’ transfer agent.
Net realized capital gains from investment transactions, if any, are declared and distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carry forwards.
Distributions to 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.
Share Classes and Sales Charges
Class A Shares are generally sold with an up-front sales charge and incur a .25% annual 12b-1 service fee. Class A Share purchases of the Funds, with the exception of Short Term Bond, of $1 million or more are sold at net asset value without an up-front sales charge. Class A Share purchases of Short Term Bond of $250,000 or more are sold at net asset value without an up-front sales charge. Class A Share purchases may be subject to a contingent deferred sales charge (“CDSC”) if redeemed within eighteen months of purchase. Core Plus Bond, High Income Bond and Strategic Income will issue Class B Shares upon the exchange of Class B Shares from another Nuveen mutual fund or for purposes of dividend reinvestment, but Class B Shares of these Funds are not available for new accounts or for additional investment into existing accounts. Class B Shares incur a .75% annual 12b-1 distribution fee and a .25% annual 12b-1 service fee. Class B Shares are subject to a CDSC of up to 5% depending upon the length of time the shares are held by the investor (CDSC is reduced to 0% at the end of six years). Class B Shares automatically convert to Class A Shares eight years after purchase. Class C Shares are sold without an up-front sales charge but incur a .75% annual 12b-1 distribution fee and a .25% annual 12b-1 service fee. Class C Shares are subject to a CDSC of 1% if redeemed within twelve months of purchase. Class R3 Shares are sold without an up-front sales charge but incur a .25% annual 12b-1 distribution fee and a .25% annual 12b-1 service fee. Class I Shares are not subject to any sales charge or 12b-1 distribution or service fees.
Foreign Currency Transactions
Each Fund with the exception of Intermediate Government Bond is authorized to engage in foreign currency exchange transactions, including forward foreign currency exchange contracts, 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 Funds 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 Funds’ investments denominated in that currency will lose value because their 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, assets and liabilities are translated into U.S. dollars at 4:00 p.m. Eastern Time. Investment transactions, 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 the Funds 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, forward foreign currency exchange contracts, futures, options purchased, options written and swap contracts are recognized as a component of “Net realized gain (loss) from investments and foreign currency” on the Statement of Operations, 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 net unrealized appreciation (depreciation) of investments and foreign currency” on the Statement of Operations, when applicable. The unrealized gains and losses resulting from changes in foreign exchange rates associated with forward foreign currency exchange contracts, futures, options purchased, options written and swap contracts are recognized as a component of “Change in net unrealized appreciation (deprecation) of forward foreign currency exchange contracts, futures, options purchased, options written and swap contracts,’’ respectively, on the Statement of Operations, when applicable.
Forward Foreign Currency Exchange Contracts
Each Fund is authorized to enter into forward foreign currency exchange contracts (“forward contract”) under two circumstances: (i) when a Fund enters into a contract for the purchase or sale of a security denominated in a foreign currency to “lock in” the U.S. exchange rate of the transaction, with such period being a short-dated contract covering the period between transaction date and settlement date; or (ii) when the Sub-Adviser, believes that the currency of a particular foreign country may experience a substantial movement against the U.S. dollar or against another foreign currency.
A forward contract is an agreement between two parties to purchase or sell a specified quantity of a currency at or before a specified date in the future at a specified price. Forward contracts are typically traded in the over-the-counter (“OTC”) markets and all details of
Notes to Financial Statements (continued)
the contract are negotiated between the counterparties to the agreement. Accordingly, the forward contracts are valued by reference to the contracts traded in the OTC markets. The contractual obligations of a buyer or seller may generally be satisfied by taking or making physical delivery of the underlying currency, establishing an opposite position in the contract and recognizing the profit or loss on both positions simultaneously on the delivery date or, in some instances, paying a cash settlement before the designated date of delivery.
Forward contracts are valued daily at the forward rate and are recognized as a component of “Unrealized appreciation and/or depreciation on forward foreign currency exchange contracts” on the Statement of Assets and Liabilities. The change in value of the forward contracts during the reporting period is recognized as a component of “Change in net unrealized appreciation (depreciation) of forward foreign currency exchange contracts” on the Statement of Operations. When the contract is closed or offset with the same counterparty, a Fund recognizes the difference between the value of the contract at the time it was entered and the value at the time it was closed or offset as a component of “Net realized gain (loss) from forward foreign currency exchange contracts” on the Statement of Operations.
Forward contracts will generally not be entered into for terms greater than three months, but may have maturities of up to six months or more. The use of forward contracts does not eliminate fluctuations in the underlying prices of a Fund’s investment securities; however, it does establish a rate of exchange that can be achieved in the future. The use of forward contracts involves the risk that anticipated currency movements will not be accurately predicted. A forward contract would limit the risk of loss due to a decline in the value of a particular currency; however, it also would limit any potential gain that might result should the value of the currency increase instead of decrease. These contracts may involve market risk in excess of the unrealized appreciation or depreciation reflected on the Statement of Assets and Liabilities. Forward contracts are subject to counterparty risk if the counterparty fails to perform as specified in the contract due to financial impairment or other reason.
During the fiscal year ended June 30, 2013, Core Plus Bond, High Income Bond and Inflation Protected Securities invested in forward foreign currency exchange contracts to manage foreign currency exposure. For example, to reduce unwanted currency exposure from a Fund’s portfolio, a Fund would acquire a short foreign currency forward. During the fiscal year ended June 30, 2013, Global Total Return Bond and Strategic Income invested in forward foreign currency exchange contracts to gain exposure to selected foreign currencies, as well as in some cases to hedge the currency risk present in a foreign bond.
The average notional amount of forward foreign currency exchange contracts outstanding during the fiscal year ended June 30, 2013, was as follows:
| | | | | | | | | | | | |
| | | | | | Core Plus
Bond | | | Global Total
Return Bond | |
Average notional amount of forward foreign currency exchange contracts outstanding* | | | | | | | $2,764,636 | | | | $21,386,835 | |
| | | |
| | | High Income
Bond | | | Inflation
Protected
Securities | | | Strategic
Income | |
Average notional amount of forward foreign currency exchange contracts outstanding* | | | $11,728,706 | | | | $1,686,639 | | | | $172,609,246 | |
| * | 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 forward foreign currency exchange contract activity.
Futures Contracts
Upon execution of a futures contract, a Fund is obligated to deposit cash or eligible securities, also known as “initial margin,” into an account at its clearing broker equal to a specified percentage of the contract amount. Cash held by the broker to cover initial margin requirements on open futures contracts, if any, is recognized as “Deposits with brokers for open futures contracts” on the Statement of Assets and Liabilities. Investments in futures contracts obligate a Fund and the clearing broker to settle monies on a daily basis representing changes in the prior days “mark-to-market” of the open contracts. If a Fund has unrealized appreciation the clearing broker would credit the investors account with an amount equal to appreciation and conversely if a Fund has unrealized depreciation the clearing broker would debit a Fund’s account with an amount equal to depreciation. These daily cash settlements are also known as “variation margin.” Variation margin is recognized as a receivable and/or payable for “Variation margin on futures contracts” on the Statement of Assets and Liabilities.
During the period the futures contract is open, changes in the value of the contract are recognized as an unrealized gain or loss by “marking-to-market” on a daily basis to reflect the changes in market value of the contract, which is recognized as a component of “Change in net unrealized appreciation (depreciation) of futures contracts” on the Statement of Operations. When the contract is closed or expired, a Fund records a realized gain or loss equal to the difference between the value of the contract on the closing date and value of the contract when originally entered into, which is recognized as a component of “Net realized gain (loss) from futures contracts” on the Statement of Operations.
Risks of investments in futures contracts include the possible adverse movement in the price of the securities or indices underlying the contracts, the possibility that there may not be a liquid secondary market for the contracts and/or that a change in the value of the contract may not correlate with a change in the value of the underlying securities or indices.
During the fiscal year ended June 30, 2013, each of the Funds invested in interest rate futures contracts. Global Total Return Bond sold U.S. Treasury futures to hedge against potential increases in U.S. interest rates and purchased selected foreign bond futures to gain exposure to those markets. The other Funds used long and short U.S. Treasury note and bond futures to manage portfolio duration and yield curve exposure. For example, to decrease the duration of a Fund’s portfolio, a short Treasury bond or Treasury note futures position would be acquired.
The average notional amount of futures contracts outstanding during the fiscal year ended June 30, 2013, was as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global Total
Return
Bond | | | High Income
Bond | |
Average notional amount of futures contracts outstanding* | | $ | 116,900,844 | | | $ | 194,298,576 | | | $ | 7,694,521 | | | $ | 15,452,449 | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Average notional amount of futures contracts outstanding* | | $ | 35,637,769 | | | $ | 18,636,695 | | | $ | 98,569,408 | | | $ | 124,609,357 | |
| * | The average notional amount is calculated based on the absolute aggregate notional amount of contracts outstanding at the beginning of the fiscal year and at the end of each quarter within the current fiscal year. |
Refer to Footnote 3 – Derivative Instruments and Hedging Activities for further details on futures contract activity.
Options Transactions
The purchase of options and/or swaptions 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 options and/or swaptions is limited to the premium paid. The counterparty credit risk of purchasing options and/or swaptions, however, needs also to take into account the current value of the option, as this is the performance expected from the counterparty. When a Fund purchases an option and/or swaption, an amount equal to the premium paid (the premium plus commission) is recognized as a component of “Options and/or Swaptions purchased, at value” on the Statement of Assets and Liabilities. When a Fund writes an option and/or swaption, an amount equal to the net premium received (the premium less commission) is recognized as a component of “Options and/or Swaptions written, at value” on the Statement of Assets and Liabilities and is subsequently adjusted to reflect the current value of the written option and/or swaption until the option and/or swaption is exercised or expires or the Fund enters into a closing purchase transaction. The changes in the value of options and/or swaptions purchased during the fiscal period are recognized as a component of “Change in net unrealized appreciation (depreciation) of options and/or swaptions purchased” on the Statement of Operations. The changes in the value of options and/or swaptions written during the fiscal period are recognized as a component of “Change in net unrealized appreciation (depreciation) of options and/or swaptions written” on the Statement of Operations. When an option and/or swaption is exercised or expires or the 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 and/or swaptions purchased and/or written” on the Statement of Operations. The Fund, as a writer of an option and/or swaption 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 and/or swaption. There is also the risk the Fund may not be able to enter into a closing transaction because of an illiquid market.
During the fiscal year ended June 30, 2013, Core Plus Bond, Global Total Return Bond and Strategic Income purchased options on U.S. Treasury notes/bonds futures as part of an overall portfolio interest rate strategy. For example, call options may be purchased to hedge the portfolio against adverse interest rate movements while limiting downside exposure to the portfolio. During the fiscal year ended June 30, 2013, Global Total Return Bond wrote put options and purchased call options on select currencies during the period in an attempt to benefit from changes in the spot values on these currencies. During the fiscal year ended June 30, 2013, Strategic Income also wrote call and put options to express views on volatility during the period. For example, writing out-of-the-money calls and puts when implied volatility was high. Strategic Income also used options on foreign currency as part of an overall portfolio currency strategy. For example, call options may be purchased to hedge against the downside exposure to the portfolio. The Funds had no other transactions in options contracts during the fiscal year ended June 30, 2013.
The average notional amount of outstanding options purchased and written during the fiscal year ended June 30, 2013, were as follows:
| | | | | | | | | | | | |
| | | Core Plus
Bond | | | Global Total
Return
Bond | | | Strategic
Income | |
Average notional amount of outstanding options purchased* | | $ | — | | | $ | 41,081,600 | | | $ | 8,068,872 | |
Average notional amount of outstanding options contracts written* | | | — | | | | 58,575 | | | | — | |
| * | The average notional amount is calculated based on the outstanding notional at the beginning of the fiscal year and at the end of each fiscal quarter within the current fiscal year. |
Notes to Financial Statements (continued)
Refer to Footnote 3 – Derivative Instruments and Hedging Activities and Footnote 5 – Investment Transactions for further details on options contract activity.
Interest Rate Swaps
In connection with these contracts, securities in the Funds’ portfolios of investments may be identified as collateral in accordance with the terms of the respective swap contract. Interest rate swap contracts involve the exchange by a Fund with another party of their respective commitments to pay or receive interest (i.e., an exchange of floating rate payments for fixed rate payments with respect to a specified notional amount of principal). Interest rate swap contracts are valued daily. The Funds accrue daily the periodic payments expected to be paid and/or received on each interest rate swap contract and recognize the daily change in the market value of the Funds’ contractual rights and obligations under the contracts. The net amount recorded on 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 (, net)” with the change during the fiscal period recognized on the Statement of Operations as a component of “Change in net unrealized appreciation (depreciation) of swaps” on the Statement of Operations. Income received or paid by the Funds is recognized as a component of “Net realized gain (loss) from swaps” on the Statement of Operations, in addition to the net realized gains or losses recognized upon the termination of an interest rate swap contract and are equal to the difference between the Funds’ basis in the interest rate swap and the proceeds from (or cost of) the closing transaction. The amount of the payment obligation is based on the notional amount of the interest rate swap contract. Payments received or made at the beginning of the measurement period are recognized as a component of “Interest rate swap premiums paid and/or received” on the Statement of Assets and Liabilities, when applicable. For tax purposes, periodic payments are treated as ordinary income or expense.
During the fiscal year ended June 30, 2013, Core Bond, Core Plus Bond, Inflation Protected Securities, Short Term Bond and Strategic Income invested in interest rate swap contracts as part of an overall portfolio construction strategy to manage duration and overall portfolio yield curve exposure. During the fiscal year ended June 30, 2013, Global Total Return Bond invested in interest rate swaps as part of an overall portfolio interest rate strategy. For example, swaps in which the Fund pays a fixed rate of interest in exchange for a floating rate may be used in anticipation of rising interest rates. The average notional amount of interest rate swap contracts outstanding during the fiscal year ended June 30, 2013, was as follows:
| | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global Total
Return
Bond | |
Average notional amount of interest rate swap contracts outstanding* | | $ | 12,000,000 | | | $ | 27,400,000 | | | $ | 480,000 | |
| | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Short Term
Bond | | | Strategic
Income | |
Average notional amount of interest rate swap contracts outstanding* | | $ | 4,400,000 | | | $ | 11,200,000 | | | $ | 52,720,000 | |
| * | 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. |
Credit Default Swaps
A Fund may enter into a credit default swap contract to seek to maintain a total return on a particular investment or portion of its portfolio, or to take an active long or short position with respect to the likelihood of a particular issuer’s default. Credit default swap contracts involve one party making a stream of payments to another party in exchange for the right to receive a specified return if/ when there is a credit event by a third party. Generally, a credit event means bankruptcy, failure to pay, or restructuring. The specific credit events applicable for each credit default swap are stated in the terms of the particular swap agreement. As a purchaser of a credit default swap contract, the Fund pays to the counterparty a periodic interest fee based on the notional amount of the credit default swap.
Upon occurrence of a specific credit event with respect to the underlying referenced entity, the Fund is obligated to deliver that security, or an equivalent amount of cash, to the counterparty in exchange for receipt of the notional amount from the counterparty. The difference between the value of the security delivered and the notional amount received is recorded as a realized gain. Payments received or made at the beginning of the measurement period are recognized as a component of “Credit default swap premiums paid and/or received” on the Statement of Assets and Liabilities, when applicable. As a seller of a credit default swap contract, the Fund generally receives from the counterparty a periodic interest fee based on the notional amount of the credit default swap. Upon occurrence of a specific credit event with respect to the underlying referenced entity, the Fund will either receive that security, or an equivalent amount of cash, from the counterparty in exchange for payment of the notional amount to the counterparty, or pay a net settlement amount of the credit default swap contract less the recovery value of the referenced obligation or underlying securities comprising the referenced index. The difference between the value of the security received and the notional amount paid is recorded as a realized loss.
Changes in the value of a credit default swap during the fiscal period are recognized as a component of “Change in net unrealized appreciation (depreciation) of swaps,” and realized gains and losses are recognized as a component of “Net realized gain (loss) from swaps” on the Statement of Operations. Investments in exchange traded swaps obligate a Fund and the clearing broker to settle monies on a daily basis representing changes in the prior days “mark-to-market” of the swap. If a Fund has unrealized appreciation
the clearing broker would credit the investors account with an amount equal to appreciation and conversely if a Fund has unrealized depreciation the clearing broker would debit a Fund’s account with an amount equal to depreciation. These daily cash settlements are also known as “variation margin.” Variation margin is recognized as a receivable and/or payable for “Variation margin on swaps” on the Statement of Assets and Liabilities. The maximum potential amount of future payments the Fund could incur as a seller of protection in a credit default swap contract is limited to the notional amount of the contract. The maximum potential amount would be offset by the recovery value, if any, of the respective referenced entity.
During the fiscal year ended June 30, 2013, Core Plus Bond, Short Term Bond and Strategic Income invested in credit default swap contracts to add diversified exposure to a broad segment of the credit markets, or to express a view on credit as part of an overall portfolio sector management strategy. For example, to increase the Fund’s credit exposure to the High Yield Bond segment of the market, a long CDX High Yield Index swap would be acquired. During the fiscal year ended June 30, 2013, Global Total Return Bond invested in credit default swaps as a way to take on credit risk and earn a commensurate credit spread.
The average notional amount of credit default swap contracts outstanding during the fiscal year ended June 30, 2013, was as follows:
| | | | | | | | | | | | | | | | |
| | | Core Plus
Bond | | | Global Total
Return
Bond | | | Short Term
Bond | | |
Strategic
Income | |
Average notional amount of credit default swap contracts outstanding* | | $ | 660,000 | | | $ | 738,545 | | | $ | 2,000,000 | | | $ | 15,682,400 | |
| * | 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 swap contract activity.
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. Credit risk is generally higher when a non-exchange traded financial instrument is involved because the counterparty for exchange-traded financial instruments is the exchange’s clearinghouse.
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.
Inflation-Indexed Bonds
Inflation-indexed bonds are fixed income securities whose principal value is periodically adjusted to the rate of inflation. The interest rate on these bonds is generally fixed at issuance at a rate lower than typical bonds. Over the life of an inflation-indexed bond however, interest will be paid based on a principal value which is adjusted for inflation. Any increase in the principal amount of an inflation-indexed bond is recognized as a component of “Interest income” on the Statement of Operations, even though investors do not receive their principal until maturity.
Repurchase Agreements
In connection with transactions in repurchase agreements, it is the 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.
Multiclass Operations and Allocations
Income and expenses of the Funds that are not directly attributable to a specific class of shares are prorated among the classes based on the relative settled shares of each class. Expenses directly attributable to a class of shares, which presently only include 12b-1 distribution fees and shareholder service fees, are recorded to the specific class.
Notes to Financial Statements (continued)
Realized and unrealized capital gains and losses of the Funds are prorated among the classes based on the relative net assets of each class.
Securities Lending
In order to generate additional income, each Fund, except Global Total Return Bond, may lend securities representing up to one-third of the value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks or other institutions. Each Fund’s policy is to receive cash collateral equal to at least 102% of the value of securities loaned, which is recognized as “Collateral from securities lending program” on the Statement of Assets and Liabilities. The adequacy of the collateral is monitored on a daily basis. If the value of the securities on loan increases, such that the level of collateralization falls below 100%, additional collateral is received from the borrower, which is recognized as “Due from broker” on the Statement of Assets and Liabilities, when applicable. As with other extensions of credit, there may be risks of delay in recovery of the securities or even loss of rights in the collateral should the borrower of the security fail financially.
The Funds’ custodian serves as the securities lending agent for the Funds. Each Fund pays the custodian a fee based on the Fund’s proportional share of the custodian’s expense of operating its securities lending program. Collateral for securities on loan is invested in a money market fund, which is recognized as “Investments purchased with collateral from securities lending” on the Statement of Assets and Liabilities.
Income from securities lending, net of fees paid, is recognized on the Statement of Operations as “Securities lending income, net.” Securities lending fees paid by each Fund during the fiscal year ended June 30, 2013, were as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | High Income
Bond | | | Inflation
Protected
Securities | |
Securities lending fees paid | | $ | 12,198 | | | $ | 19,650 | | | $ | 127,004 | | | | $4,876 | |
| | | | | | | | | | | | |
| | | |
| | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Securities lending fees paid | | $ | 84 | | | $ | 32,224 | | | $ | 39,775 | |
Indemnifications
Under each Trust’s organizational documents, its officers and directors/trustees are indemnified against certain liabilities arising out of the performance of their duties to each Trust. In addition, in the normal course of business, each Trust enters into contracts that provide general indemnifications to other parties. Each Trust’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against each Trust that have not yet occurred. However, each Trust has not had prior claims or losses pursuant to these contracts and expects 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 from operations during the reporting period. Actual results may differ from those estimates.
2. Fair Value Measurements
Fair value is defined as the price that the Funds would receive upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The following is a summary of the three-tiered hierarchy of valuation input levels.
| | |
| Level 1 – | | Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities. |
| Level 2 – | | Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). |
| Level 3 – | | Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments). |
The inputs or methodologies used for valuing securities are not an indication of the risks associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:
| | | | | | | | | | | | | | | | |
| Core Bond | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
Corporate Bonds | | $ | — | | | $ | 186,193,434 | | | $ | — | | | $ | 186,193,434 | |
$1,000 Par (or similar) Institutional Structures | | | — | | | | 6,421,125 | | | | — | | | | 6,421,125 | |
Municipal Bonds | | | — | | | | 6,722,159 | | | | — | | | | 6,722,159 | |
U.S. Government and Agency Obligations | | | — | | | | 45,479,147 | | | | — | | | | 45,479,147 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 242,755,835 | | | | — | | | | 242,755,835 | |
Sovereign Debt | | | — | | | | 1,556,100 | | | | — | | | | 1,556,100 | |
Investments Purchased with Collateral from Securities Lending | | | 57,635,312 | | | | — | | | | — | | | | 57,635,312 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Money Market Funds | | | 28,052,047 | | | | — | | | | — | | | | 28,052,047 | |
Derivatives: | | | | | | | | | | | | | | | | |
Futures Contracts** | | | (310,661 | ) | | | — | | | | — | | | | (310,661 | ) |
Total | | $ | 85,376,698 | | | $ | 489,127,800 | | | $ | — | | | $ | 574,504,498 | |
| | | | |
| Core Plus Bond | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
$25 Par (or similar) Retail Structures | | $ | 16,054,545 | | | $ | — | | | $ | — | | | $ | 16,054,545 | |
Corporate Bonds | | | — | | | | 345,095,811 | | | | — | | | | 345,095,811 | |
$1,000 Par (or similar) Institutional Structures | | | — | | | | 26,916,672 | | | | — | | | | 26,916,672 | |
Municipal Bonds | | | — | | | | 6,361,966 | | | | — | | | | 6,361,966 | |
U.S. Government and Agency Obligations | | | — | | | | 36,575,798 | | | | — | | | | 36,575,798 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 241,960,020 | | | | — | | | | 241,960,020 | |
Sovereign Debt | | | — | | | | 902,500 | | | | — | | | | 902,500 | |
Investments Purchased with Collateral from Securities Lending | | | 74,451,214 | | | | — | | | | — | | | | 74,451,214 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Money Market Funds | | | 12,514,364 | | | | — | | | | — | | | | 12,514,364 | |
Derivatives: | | | | | | | | | | | | | | | | |
Forward Foreign Currency Exchange Contracts* | | | — | | | | (167,282 | ) | | | — | | | | (167,282 | ) |
Credit Default Swaps** | | | — | | | | (29,525 | ) | | | — | | | | (29,525 | ) |
Interest Rate Swaps** | | | — | | | | 2,138,784 | | | | — | | | | 2,138,784 | |
Futures Contracts** | | | 2,235,409 | | | | — | | | | — | | | | 2,235,409 | |
Total | | $ | 105,255,532 | | | $ | 659,754,744 | | | $ | — | | | $ | 765,010,276 | |
| | | | |
| Global Total Return Bond | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
$25 Par (or similar) Retail Structures | | $ | 297,316 | | | $ | — | | | $ | — | | | $ | 297,316 | |
Corporate Bonds | | | — | | | | 7,180,141 | | | | — | | | | 7,180,141 | |
Convertible Bonds | | | — | | | | 20,536 | | | | — | | | | 20,536 | |
$1,000 Par (or similar) Institutional Structures | | | 83,288 | | | | 477,410 | | | | — | | | | 560,698 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 1,871,009 | | | | — | | | | 1,871,009 | |
Sovereign Debt | | | — | | | | 6,999,219 | | | | — | | | | 6,999,219 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Repurchase Agreements | | | — | | | | 2,660,291 | | | | — | | | | 2,660,291 | |
Derivatives: | | | | | | | | | | | | | | | | |
Forward Foreign Currency Exchange Contracts** | | | — | | | | (80,418 | ) | | | — | | | | (80,418 | ) |
Credit Default Swaps** | | | — | | | | (2,096 | ) | | | — | | | | (2,096 | ) |
Interest Rate Swaps** | | | — | | | | 51,543 | | | | — | | | | 51,543 | |
Call Options Purchased | | | — | | | | — | *** | | | — | | | | — | *** |
Futures Contracts** | | | 54,062 | | | | — | | | | — | | | | 54,062 | |
Total | | $ | 434,666 | | | $ | 19,177,635 | | | $ | — | | | $ | 19,612,301 | |
| * | Refer to the Fund’s Portfolio of Investments for industry classifications and a breakdown of $1,000 Par (or similar) Institutional Structures classified as Level 2. |
| ** | Represents net unrealized appreciation (depreciation) as reported in the Fund’s Portfolio of Investments. |
Notes to Financial Statements (continued)
| | | | | | | | | | | | | | | | |
| High Income Bond | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
Common Stocks | | $ | 9,125,162 | | | $ | — | | | $ | 64,138 | | | $ | 9,189,300 | |
Convertible Preferred Securities | | | 1,666,200 | | | | — | | | | — | | | | 1,666,200 | |
Variable Rate Senior Loan Interests | | | — | | | | 1,727,600 | | | | — | | | | 1,727,600 | |
$25 Par (or similar) Retail Structures | | | 43,592,419 | | | | 2,553,864 | | | | — | | | | 46,146,283 | |
Corporate Bonds | | | — | | | | 569,308,942 | | | | 1 | | | | 569,308,943 | |
Convertible Bonds | | | — | | | | 5,035,694 | | | | — | | | | 5,035,694 | |
$1,000 Par (or similar) Institutional Structures | | | — | | | | 42,499,506 | | | | — | | | | 42,499,506 | |
U.S. Government and Agency Obligations | | | — | | | | 1,006,797 | | | | — | | | | 1,006,797 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 2,835 | | | | — | | | | 2,835 | |
Investment Companies | | | 10,552,370 | | | | — | | | | — | | | | 10,552,370 | |
Sovereign Debt | | | — | | | | 3,736,075 | | | | — | | | | 3,736,075 | |
Warrants | | | — | | | | 141 | | | | — | | | | 141 | |
Investments Purchased with Collateral from Securities Lending | | | 124,410,338 | | | | — | | | | — | | | | 124,410,338 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Money Market Funds | | | 13,241,965 | | | | — | | | | — | | | | 13,241,965 | |
Derivatives: | | | | | | | | | | | | | | | | |
Forward Foreign Currency Exchange Contracts** | | | — | | | | (157,736 | ) | | | — | | | | (157,736 | ) |
Futures Contracts** | | | 797,462 | | | | — | | | | — | | | | 797,462 | |
Total | | $ | 203,385,916 | | | $ | 625,713,718 | | | $ | 64,139 | | | $ | 829,163,773 | |
| | | | |
| Inflation Protected Securities | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
$25 Par (or similar) Retail Structures | | $ | 416,850 | | | $ | — | | | $ | — | | | $ | 416,850 | |
Corporate Bonds | | | — | | | | 21,081,191 | | | | — | | | | 21,081,191 | |
$1,000 Par (or similar) Institutional Structures | | | 222,100 | | | | 310,813 | | | | — | | | | 532,913 | |
Municipal Bonds | | | — | | | | 2,889,920 | | | | — | | | | 2,889,920 | |
U.S. Government and Agency Obligations | | | — | | | | 318,371,310 | | | | — | | | | 318,371,310 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 28,649,469 | | | | — | | | | 28,649,469 | |
Investment Companies | | | 1,073,020 | | | | — | | | | — | | | | 1,073,020 | |
Sovereign Debt | | | — | | | | 2,286,728 | | | | — | | | | 2,286,728 | |
Investments Purchased with Collateral from Securities Lending | | | 15,202,864 | | | | — | | | | — | | | | 15,202,864 | |
Derivatives: | | | | | | | | | | | | | | | | |
Futures Contracts** | | | 146,935 | | | | — | | | | — | | | | 146,935 | |
Total | | $ | 17,061,769 | | | $ | 373,589,431 | | | $ | — | | | $ | 390,651,200 | |
| | | | |
| Intermediate Government Bond | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
Corporate Bonds | | $ | — | | | $ | 391,558 | | | $ | — | | | $ | 391,558 | |
Municipal Bonds | | | — | | | | 2,109,497 | | | | — | | | | 2,109,497 | |
U.S. Government and Agency Obligations | | | — | | | | 24,206,650 | | | | — | | | | 24,206,650 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 37,520,364 | | | | — | | | | 37,520,364 | |
Investments Purchased with Collateral from Securities Lending | | | 500,625 | | | | — | | | | — | | | | 500,625 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Money Market Funds | | | 1,758,968 | | | | — | | | | — | | | | 1,758,968 | |
Derivatives: | | | | | | | | | | | | | | | | |
Futures Contracts** | | | 30,187 | | | | — | | | | — | | | | 30,187 | |
Total | | $ | 2,289,780 | | | $ | 64,228,069 | | | $ | — | | | $ | 66,517,849 | |
| | | | | | | | | | | | | | | | |
| Short Term Bond | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
Corporate Bonds | | $ | — | | | $ | 427,627,402 | | | $ | — | | | $ | 427,627,402 | |
Convertible Bonds | | | — | | | | 2,283,750 | | | | — | | | | 2,283,750 | |
Municipal Bonds | | | — | | | | 31,802,918 | | | | — | | | | 31,802,918 | |
U.S. Government and Agency Obligations | | | — | | | | 31,452,575 | | | | — | | | | 31,452,575 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 432,767,167 | | | | — | | | | 432,767,167 | |
Sovereign Debt | | | — | | | | 4,229,614 | | | | — | | | | 4,229,614 | |
Structured Notes | | | — | | | | 1,748,880 | | | | — | | | | 1,748,880 | |
Investments Purchased with Collateral from Securities Lending | | | 43,179,225 | | | | — | | | | — | | | | 43,179,225 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Money Market Funds | | | 32,859,019 | | | | — | | | | — | | | | 32,859,019 | |
Derivatives: | | | | | | | | | | | | | | | | |
Credit Default Swaps** | | | — | | | | 155,460 | | | | — | | | | 155,460 | |
Futures Contracts** | | | 2,216,924 | | | | — | | | | — | | | | 2,216,924 | |
Total | | $ | 78,255,168 | | | $ | 932,067,766 | | | $ | — | | | $ | 1,010,322,934 | |
| | | | |
| Strategic Income | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Long-Term Investments*: | | | | | | | | | | | | | | | | |
Common Stocks | | $ | — | | | $ | — | | | $ | 5,993 | | | $ | 5,993 | |
$25 Par (or similar) Retail Structures | | | 19,024,857 | | | | — | | | | — | | | | 19,024,857 | |
Corporate Bonds | | | — | | | | 424,941,913 | | | | — | | | | 424,941,913 | |
Convertible Bonds | | | — | | | | 659,702 | | | | — | | | | 659,702 | |
$1,000 Par (or similar) Institutional Structures | | | — | | | | 39,022,969 | | | | — | | | | 39,022,969 | |
Municipal Bonds | | | — | | | | 4,237,632 | | | | — | | | | 4,237,632 | |
Asset-Backed and Mortgage-Backed Securities | | | — | | | | 67,750,361 | | | | — | | | | 67,750,361 | |
Investment Companies | | | 1,334,530 | | | | — | | | | — | | | | 1,334,530 | |
Sovereign Debt | | | — | | | | 53,080,071 | | | | — | | | | 53,080,071 | |
Structured Notes | | | — | | | | 649,584 | | | | — | | | | 649,584 | |
Investments Purchased with Collateral from Securities Lending | | | 67,716,896 | | | | — | | | | — | | | | 67,716,896 | |
Short-Term Investments: | | | | | | | | | | | | | | | | |
Money Market Funds | | | 681,517 | | | | — | | | | — | | | | 681,517 | |
Derivatives: | | | | | | | | | | | | | | | | |
Forward Foreign Currency Exchange Contracts** | | | — | | | | (1,205,026 | ) | | | — | | | | (1,205,026 | ) |
Credit Default Swaps** | | | — | | | | (43,964 | ) | | | — | | | | (43,964 | ) |
Interest Rate Swaps** | | | — | | | | 3,191,088 | | | | — | | | | 3,191,088 | |
Call Options Purchased | | | — | | | | — | *** | | | — | | | | — | *** |
Futures Contracts** | | | 1,047,508 | | | | — | | | | — | | | | 1,047,508 | |
Total | | $ | 89,805,308 | | | $ | 592,284,330 | | | $ | 5,993 | | | $ | 682,095,631 | |
| * | Refer to the Fund’s Portfolio of Investments for industry classifications, a breakdown of securities classified as Level 3 and a breakdown of $1,000 Par (or similar) Institutional Structures and $25 Par (or similar) Retail Structures classified as Level 2. |
| ** | Represents net unrealized appreciation (depreciation) as reported in the Fund’s Portfolio of Investments. |
The Nuveen funds’ Board of Directors/Trustees is responsible for the valuation process and has delegated the oversight of the daily valuation process to the Adviser’s Valuation Committee. The Valuation Committee, pursuant to the valuation policies and procedures adopted by the Board of Directors/Trustees, is responsible for making fair value determinations, evaluating the effectiveness of the funds’ pricing policies, and reporting to the Board of Directors/Trustees. The Valuation Committee is aided in its efforts by the Adviser’s dedicated Securities Valuation Team, which is responsible for administering the daily valuation process and applying fair value methodologies as approved by the Valuation Committee. When determining the reliability of independent pricing services for investments owned by the funds, the Valuation Committee, among other things, conducts due diligence reviews of the pricing services and monitors the quality of security prices received through various testing reports conducted by the Securities Valuation Team.
The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making a fair value determination, based on the facts and circumstances specific to the portfolio instrument. Fair value determinations generally will be derived as follows, using public or private market information:
| | (i.) | If available, fair value determinations shall be derived by extrapolating from recent transactions or quoted prices for identical or comparable securities. |
| | (ii.) | If such information is not available, an analytical valuation methodology may be used based on other available information including, but not limited to: analyst appraisals, research reports, corporate action information, issuer financial statements and shelf registration statements. Such analytical valuation methodologies may include, but are not limited to: multiple of earnings, discount from market value of a similar freely-traded security, discounted cash flow analysis, book value or a multiple thereof, risk premium/yield analysis, yield to maturity and/or fundamental investment analysis. |
Notes to Financial Statements (continued)
The purchase price of a portfolio instrument will be used to fair value the instrument only if no other valuation methodology is available or deemed appropriate, and it is determined that the purchase price fairly reflects the instrument’s current value.
For each portfolio security that has been fair valued pursuant to the policies adopted by the Board of Directors/Trustees, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such testing and fair valuation occurrences are reported to the Board of Directors/Trustees.
3. Derivative Instruments and Hedging Activities
Each Fund is authorized to invest in certain derivative instruments, such as futures, options and swap contracts. 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 each Fund was 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 June 30, 2013, the location of these instruments on the Statement of Assets and Liabilities and the primary underlying risk exposure.
| | | | | | | | | | | | | | |
| | | | | Location on the Statement of Assets and Liabilities | |
Underlying Risk Exposure | | Derivative Instrument | | Asset Derivatives | | | (Liability) Derivatives | |
| | | Location | | Value | | | Location | | Value | |
| Core Bond | | | | | | | | | | |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | $ | 874,019 | | | Payable for variation margin
on futures contracts* | | $ | (1,184,680 | ) |
|
| Core Plus Bond | |
Foreign currency exchange rate | | Forward foreign
currency exchange
contracts | | Unrealized appreciation on
forward foreign currency
exchange contracts | | $ | 20,894 | | | Unrealized depreciation on
forward foreign currency
exchange contracts | | $ | (188,176 | ) |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | | 2,333,224 | | | Payable for variation margin
on futures contracts* | | | (97,815 | ) |
Credit | | Swaps | | — | | | — | | | Variation margin on swap
contracts** | | | (29,525 | ) |
Interest rate | | Swaps | | Unrealized appreciation on
interest rate swaps | | | 2,138,784 | | | — | | | — | |
Total | | | | | | $ | 4,492,902 | | | | | $ | (315,516 | ) |
|
| Global Total Return Bond | |
Foreign currency
exchange rate | | Forward foreign
currency exchange
contracts | | Unrealized appreciation on
forward foreign currency
exchange contracts | | $ | 375,049 | | | Unrealized depreciation on
forward foreign currency
exchange contracts | | $ | (455,467 | ) |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | | 72,675 | | | Payable for variation margin
on futures contracts* | | | (18,613 | ) |
Foreign currency exchange rate | | Options | | Call options purchased, at
value | | | — | | | — | | | — | |
Credit | | Swaps | | Deposits with brokers for
exchange traded swaps and
Receivable for variation margin
on swap contracts** | | | 66 | | | Variation margin on swap
contracts** | | | (2,162 | ) |
Interest rate | | Swaps | | Unrealized appreciation on
interest rate swaps | | | 51,543 | | | — | | | — | |
Total | | | | | | $ | 499,333 | | | | | $ | (476,242 | ) |
| | | | | | | | | | | | | | |
| | | | | Location on the Statement of Assets and Liabilities | |
Underlying
Risk Exposure | | Derivative
Instrument | | Asset Derivatives | | | (Liability) Derivatives | |
| | | Location | | Value | | | Location | | Value | |
| High Income Bond | |
Foreign currency exchange rate | | Forward foreign
currency exchange
Contracts | | Unrealized appreciation on
forward foreign currency
exchange contracts | | $ | 18,312 | | | Unrealized depreciation on
forward foreign currency
exchange contracts | | $ | (176,048 | ) |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | | 797,462 | | | — | | | — | |
Total | | | | | | $ | 815,774 | | | | | $ | (176,048 | ) |
| | | | |
| Inflation Protected Securities | | | | | | | | | | |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | $ | 349,602 | | | Payable for variation margin
on futures contracts* | | $ | (202,667 | ) |
|
| Intermediate Government Bond | |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | $ | 116,967 | | | Payable for variation margin
on futures contracts* | | $ | (86,780 | ) |
|
| Short Term Bond | |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | $ | 2,216,924 | | | — | | $ | — | |
Credit | | Swaps | | Deposits with brokers for
exchange traded swaps and
Receivable for variation margin
on swap contracts** | | | 155,460 | | | — | | | — | |
Total | | | | | | $ | 2,372,384 | | | | | $ | — | |
|
| Strategic Income | |
Foreign currency exchange rate | | Forward foreign
currency exchange
contracts | | Unrealized appreciation on
forward foreign currency
exchange contracts | | $ | 3,769,842 | | | Unrealized depreciation on
forward foreign currency
exchange contracts | | $ | (4,974,868 | ) |
Interest rate | | Futures
contracts | | Deposits with brokers for open
futures contracts and
Receivable for variation margin
on futures contracts* | | | 1,047,508 | | | — | | | — | |
Foreign currency exchange rate | | Options | | Call options purchased, at value | | | — | | | — | | | — | |
Credit | | Swaps | | — | | | — | | | Variation margin on swap
contracts** | | | (43,964 | ) |
Interest rate | | Swaps | | Unrealized appreciation on
interest rate swaps | | | 3,191,088 | | | — | | | — | |
Total | | | | | | $ | 8,008,438 | | | | | $ | (5,018,832 | ) |
| * | Value represents unrealized appreciation (depreciation) of futures contracts as reported in the Fund’s Portfolio of Investments, and not the deposits with brokers, if any, or the receivable or payable for variation margin presented on the Statement of Assets and Liabilities. |
| ** | Value represents unrealized appreciation (depreciation) of credit default swap contracts as reported in the Fund’s Portfolio of Investments, and not the deposits with brokers, if any, or the receivable or payable for variation margin presented on the Statement of Assets and Liabilities. Some swap contracts require a counterparty to pay or receive a premium, which is disclosed on the Statement of Assets and Liabilities but is not reflected in the value presented above. |
Notes to Financial Statements (continued)
The following tables present the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized for the fiscal year ended June 30, 2013, on derivative instruments, and the primary underlying risk exposure associated with each.
| | | | | | | | | | | | |
| Net Realized Gain (Loss) from Forward Foreign Currency Exchange Contracts | | Global
Total Return
Bond | | | Inflation
Protected
Securities | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | |
Foreign currency exchange rate | | $ | 193,248 | | | $ | (191,827 | ) | | $ | 4,687,862 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net Realized Gain (Loss) from Futures
Contracts | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest rate | | $ | (964,275 | ) | | $ | (542,476 | ) | | $ | 9,324 | | | $ | 24,640 | | | $ | 238,486 | | | $ | 115,320 | | | $ | 169,909 | | | $ | (962,426 | ) |
| | | | | | | | | | | | |
| Net Realized Gain (Loss) from Options Purchased | | Core Plus
Bond | | | Global
Total Return
Bond | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | |
Foreign currency exchange rate | | $ | — | | | $ | (3,095 | ) | | $ | — | |
Interest rate | | | (201,554 | ) | | | 1,276 | | | | (4,865 | ) |
Total | | $ | (201,554 | ) | | $ | (1,819 | ) | | $ | (4,865 | ) |
| | | | | | | | |
| Net Realized Gain (Loss) from Options Written | | Global
Total Return
Bond | | | Strategic
Income | |
Risk Exposure | | | | | | | | |
Foreign Currency Exchange Rate | | $ | 2,963 | | | $ | — | |
Interest Rate | | | (3,414 | ) | | | (125,856 | ) |
Total | | $ | (451 | ) | | $ | (125,856 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Net Realized Gain (Loss) from Swaps | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | Inflation
Protected
Securities | | | Short Term
Bond | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | | | | | | | | | | | | | |
Interest rate | | $ | (1,680,438 | ) | | $ | (2,751,649 | ) | | $ | 861 | | | $ | (391,994 | ) | | $ | (1,225,598 | ) | | $ | (1,692,675 | ) |
Credit | | | — | | | | (11,514 | ) | | | 116,329 | | | | — | | | | (448 | ) | | | 3,435,606 | |
Total | | $ | (1,680,438 | ) | | $ | (2,763,163 | ) | | $ | 117,190 | | | $ | (391,994 | ) | | $ | (1,226,046 | ) | | $ | 1,742,931 | |
| | | | | | | | | | | | | | | | | | | | |
Change in Net Unrealized Appreciation (Depreciation) of
Forward Foreign Currency Exchange Contracts | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | | | Inflation
Protected
Securities | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | | | | | | | | | |
Foreign currency exchange rate | | $ | (167,282 | ) | | $ | (131,026 | ) | | $ | (157,736 | ) | | $ | 110,837 | | | $ | (2,175,164 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Change in Net Unrealized Appreciation
(Depreciation) of Futures Contracts | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | | | Inflation
Protected
securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Interest Rate | | $ | (273,507 | ) | | $ | 2,796,555 | | | $ | 47,954 | | | $ | 785,330 | | | $ | 153,262 | | | $ | 18,406 | | | $ | 2,383,929 | | | $ | 1,358,805 | |
| | | | | | | | | | | | | | | | | | | | | | | | |
| Change in Net Unrealized Appreciation (Depreciation) of Swaps | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | Inflation
Protected
Securities | | | Short Term
Bond | | | Strategic
Income | |
Risk Exposure | | | | | | | | | | | | | | | | | | | | | | | | |
Interest Rate | | $ | 1,530,864 | | | $ | 4,562,289 | | | $ | 51,543 | | | $ | 348,311 | | | $ | 1,098,152 | | | $ | 5,090,939 | |
Credit | | | — | | | | (29,525 | ) | | | 2,123 | | | | — | | | | 155,460 | | | | (418,528 | ) |
Total | | $ | 1,530,864 | | | $ | 4,532,764 | | | $ | 53,666 | | | $ | 348,311 | | | $ | 1,253,612 | | | $ | 4,672,411 | |
4. Fund Shares
Transactions in Fund shares were as follows:
| | | | | | | | | | | | | | | | |
| | | Core Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 217,330 | | | $ | 2,332,724 | | | | 247,851 | | | $ | 2,354,945 | |
Class C | | | 40,645 | | | | 433,048 | | | | 124,652 | | | | 1,314,107 | |
Class I | | | 5,853,897 | | | | 62,031,241 | | | | 15,553,631 | | | | 163,251,078 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 86,939 | | | | 922,003 | | | | 52,085 | | | | 550,277 | |
Class C | | | 3,703 | | | | 39,074 | | | | 713 | | | | 7,546 | |
Class I | | | 1,036,191 | | | | 10,952,468 | | | | 521,026 | | | | 5,491,331 | |
| | | | 7,238,705 | | | | 76,710,558 | | | | 16,499,958 | | | | 172,969,284 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (487,192 | ) | | | (5,144,756 | ) | | | (455,381 | ) | | | (4,540,092 | ) |
Class C | | | (133,866 | ) | | | (1,394,725 | ) | | | (88,127 | ) | | | (933,248 | ) |
Class I | | | (17,644,191 | ) | | | (187,498,348 | ) | | | (20,647,842 | ) | | | (217,189,544 | ) |
| | | | (18,265,249 | ) | | | (194,037,829 | ) | | | (21,191,350 | ) | | | (222,662,884 | ) |
Net increase (decrease) | | | (11,026,544 | ) | | $ | (117,327,271 | ) | | | (4,691,392 | ) | | $ | (49,693,600 | ) |
| |
| | | Core Plus Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 624,344 | | | $ | 7,416,972 | | | | 500,717 | | | $ | 5,733,104 | |
Class B – exchanges | | | 4,775 | | | | 56,542 | | | | 12,619 | | | | 144,475 | |
Class C | | | 104,871 | | | | 1,239,686 | | | | 140,378 | | | | 1,609,370 | |
Class R3 | | | 9,044 | | | | 108,414 | | | | 16,239 | | | | 188,517 | |
Class I | | | 6,574,725 | | | | 78,266,976 | | | | 9,137,840 | | | | 104,565,033 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 252,019 | | | | 2,993,476 | | | | 220,659 | | | | 2,545,073 | |
Class B | | | 2,161 | | | | 25,446 | | | | 3,444 | | | | 39,316 | |
Class C | | | 9,837 | | | | 116,348 | | | | 8,389 | | | | 96,377 | |
Class R3 | | | 1,117 | | | | 13,330 | | | | 1,029 | | | | 11,916 | |
Class I | | | 702,473 | | | | 8,336,588 | | | | 820,154 | | | | 9,450,344 | |
| | | | 8,285,366 | | | | 98,573,778 | | | | 10,861,468 | | | | 124,383,525 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (1,066,269 | ) | | | (12,665,834 | ) | | | (1,083,218 | ) | | | (12,424,968 | ) |
Class B | | | (41,665 | ) | | | (491,754 | ) | | | (86,925 | ) | | | (993,749 | ) |
Class C | | | (143,239 | ) | | | (1,687,503 | ) | | | (77,268 | ) | | | (886,862 | ) |
Class R3 | | | (6,465 | ) | | | (77,277 | ) | | | (23,546 | ) | | | (273,326 | ) |
Class I | | | (17,584,648 | ) | | | (208,665,758 | ) | | | (29,122,019 | ) | | | (335,260,689 | ) |
| | | | (18,842,286 | ) | | | (223,588,126 | ) | | | (30,392,976 | ) | | | (349,839,594 | ) |
Net increase (decrease) | | | (10,556,920 | ) | | $ | (125,014,348 | ) | | | (19,531,508 | ) | | $ | (225,456,069 | ) |
Notes to Financial Statements (continued)
| | | | | | | | | | | | | | | | |
| | | Global Total Return Bond | |
| | | Year Ended
6/30/13 | | | For the period 12/02/11
(commencement of operations)
through 6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 71,096 | | | $ | 1,561,936 | | | | 14,546 | | | $ | 306,302 | |
Class C | | | 5,331 | | | | 116,818 | | | | 2,500 | | | | 50,000 | |
Class R3 | | | 148 | | | | 3,261 | | | | 2,500 | | | | 50,000 | |
Class I | | | 119,175 | | | | 2,571,327 | | | | 695,643 | | | | 13,915,778 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 2,257 | | | | 49,801 | | | | 93 | | | | 1,966 | |
Class C | | | 71 | | | | 1,558 | | | | — | | | | — | |
Class R3 | | | 2 | | | | 32 | | | | — | | | | — | |
Class I | | | 1,966 | | | | 43,308 | | | | 1 | | | | 12 | |
| | | | 200,046 | | | | 4,348,041 | | | | 715,283 | | | | 14,324,058 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (37,459 | ) | | | (815,809 | ) | | | (24 | ) | | | (498 | ) |
Class C | | | (238 | ) | | | (5,218 | ) | | | — | | | | — | |
Class R3 | | | (220 | ) | | | (4,841 | ) | | | — | | | | — | |
Class I | | | (21,318 | ) | | | (469,349 | ) | | | — | | | | — | |
| | | | (59,235 | ) | | | (1,295,217 | ) | | | (24 | ) | | | (498 | ) |
Net increase (decrease) | | | 140,811 | | | $ | 3,052,824 | | | | 715,259 | | | $ | 14,323,560 | |
| |
| | | High Income Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares issued from the reorganization: | | | | | | | | | | | | | | | | |
Class A | | | — | | | $ | — | | | | 4,133,109 | | | $ | 35,167,855 | |
Class B | | | — | | | | — | | | | 163,999 | | | | 1,387,561 | |
Class C | | | — | | | | — | | | | 4,108,173 | | | | 34,868,833 | |
Class R3 | | | — | | | | — | | | | 19,055 | | | | 165,597 | |
Class I | | | — | | | | — | | | | 3,904,626 | | | | 33,281,132 | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 17,427,158 | | | | 157,967,420 | | | | 8,376,950 | | | | 71,391,195 | |
Class B – exchanges | | | 5,697 | | | | 51,078 | | | | 5,088 | | | | 43,660 | |
Class C | | | 3,279,004 | | | | 29,712,726 | | | | 999,418 | | | | 8,595,927 | |
Class R3 | | | 91,522 | | | | 846,297 | | | | 135,756 | | | | 1,217,248 | |
Class I | | | 19,507,879 | | | | 177,393,855 | | | | 17,159,651 | | | | 147,739,851 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 986,090 | | | | 8,982,586 | | | | 523,508 | | | | 4,489,426 | |
Class B | | | 11,378 | | | | 102,611 | | | | 12,326 | | | | 104,932 | |
Class C | | | 342,032 | | | | 3,104,612 | | | | 207,228 | | | | 1,772,807 | |
Class R3 | | | 3,201 | | | | 29,717 | | | | 1,363 | | | | 11,950 | |
Class I | | | 878,551 | | | | 7,995,708 | | | | 704,977 | | | | 6,048,169 | |
| | | | 42,532,512 | | | | 386,186,610 | | | | 40,455,227 | | | | 346,286,143 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (13,374,803 | ) | | | (122,270,181 | ) | | | (5,802,411 | ) | | | (49,818,043 | ) |
Class B | | | (61,289 | ) | | | (553,569 | ) | | | (110,048 | ) | | | (938,652 | ) |
Class C | | | (1,750,403 | ) | | | (15,927,665 | ) | | | (755,495 | ) | | | (6,448,153 | ) |
Class R3 | | | (88,527 | ) | | | (820,112 | ) | | | (119,848 | ) | | | (1,075,705 | ) |
Class I | | | (19,153,223 | ) | | | (175,193,826 | ) | | | (18,907,106 | ) | | | (161,530,004 | ) |
| | | | (34,428,245 | ) | | | (314,765,353 | ) | | | (25,694,908 | ) | | | (219,810,557 | ) |
Net increase (decrease) | | | 8,104,267 | | | $ | 71,421,257 | | | | 14,760,319 | | | $ | 126,475,586 | |
| | | | | | | | | | | | | | | | |
| | | Inflation Protected Securities | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 1,694,806 | | | $ | 20,168,173 | | | | 1,148,919 | | | $ | 13,357,415 | |
Class C | | | 505,614 | | | | 5,961,564 | | | | 308,270 | | | | 3,567,603 | |
Class R3 | | | 35,887 | | | | 426,250 | | | | 11,772 | | | | 134,949 | |
Class I | | | 11,257,882 | | | | 134,060,558 | | | | 11,421,540 | | | | 131,854,663 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 20,396 | | | | 241,583 | | | | 33,652 | | | | 389,254 | |
Class C | | | 3,468 | | | | 41,080 | | | | 11,715 | | | | 134,408 | |
Class R3 | | | 200 | | | | 2,341 | | | | 273 | | | | 3,148 | |
Class I | | | 41,857 | | | | 496,088 | | | | 90,217 | | | | 1,044,605 | |
| | | | 13,560,110 | | | | 161,397,637 | | | | 13,026,358 | | | | 150,486,045 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (1,372,724 | ) | | | (15,896,870 | ) | | | (648,265 | ) | | | (7,460,886 | ) |
Class C | | | (451,833 | ) | | | (5,216,427 | ) | | | (234,350 | ) | | | (2,658,785 | ) |
Class R3 | | | (3,829 | ) | | | (45,626 | ) | | | (359 | ) | | | (4,024 | ) |
Class I | | | (7,613,880 | ) | | | (89,916,846 | ) | | | (7,586,477 | ) | | | (87,945,231 | ) |
| | | | (9,442,266 | ) | | | (111,075,769 | ) | | | (8,469,451 | ) | | | (98,068,926 | ) |
Net increase (decrease) | | | 4,117,844 | | | $ | 50,321,868 | | | | 4,556,907 | | | $ | 52,417,119 | |
| |
| | | Intermediate Government Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 326,881 | | | $ | 2,920,690 | | | | 178,128 | | | $ | 1,591,327 | |
Class C | | | 35,579 | | | | 321,495 | | | | 38,907 | | | | 351,437 | |
Class R3 | | | 11,902 | | | | 107,157 | | | | 18,053 | | | | 162,281 | |
Class I | | | 939,118 | | | | 8,433,901 | | | | 1,166,929 | | | | 10,484,839 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 21,291 | | | | 191,409 | | | | 27,174 | | | | 244,409 | |
Class C | | | 1,648 | | | | 14,848 | | | | 1,554 | | | | 13,986 | |
Class R3 | | | 356 | | | | 3,205 | | | | 906 | | | | 8,138 | |
Class I | | | 32,993 | | | | 296,946 | | | | 65,224 | | | | 586,776 | |
| | | | 1,369,768 | | | | 12,289,651 | | | | 1,496,875 | | | | 13,443,193 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (503,752 | ) | | | (4,504,321 | ) | | | (387,337 | ) | | | (3,470,787 | ) |
Class C | | | (72,570 | ) | | | (648,507 | ) | | | (41,502 | ) | | | (372,466 | ) |
Class R3 | | | (16,823 | ) | | | (150,957 | ) | | | (48,768 | ) | | | (439,122 | ) |
Class I | | | (2,787,511 | ) | | | (25,089,323 | ) | | | (4,661,587 | ) | | | (41,906,408 | ) |
| | | | (3,380,656 | ) | | | (30,393,108 | ) | | | (5,139,194 | ) | | | (46,188,783 | ) |
Net increase (decrease) | | | (2,010,888 | ) | | $ | (18,103,457 | ) | | | (3,642,319 | ) | | $ | (32,745,590 | ) |
Notes to Financial Statements (continued)
| | | | | | | | | | | | | | | | |
| | | Short Term Bond | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares issued from reorganization: | | | | | | | | | | | | | | | | |
Class A | | | — | | | $ | — | | | | 6,085,212 | | | $ | 59,925,259 | |
Class C | | | — | | | | — | | | | 4,652,150 | | | | 45,914,917 | |
Class R3 | | | — | | | | — | | | | 50,150 | | | | 494,189 | |
Class I | | | — | | | | — | | | | 4,827,535 | | | | 47,552,148 | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 14,195,305 | | | | 142,174,437 | | | | 1,287,324 | | | | 12,810,199 | |
Class C | | | 2,079,885 | | | | 20,930,839 | | | | 576,630 | | | | 5,703,964 | |
Class R3 | | | 13,656 | | | | 137,378 | | | | 14,757 | | | | 146,434 | |
Class I | | | 31,219,896 | | | | 313,844,532 | | | | 36,919,806 | | | | 367,316,769 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 201,415 | | | | 2,023,083 | | | | 213,454 | | | | 2,119,111 | |
Class C | | | 40,267 | | | | 405,400 | | | | 42,037 | | | | 418,429 | |
Class R3 | | | 13 | | | | 136 | | | | — | | | | — | |
Class I | | | 355,173 | | | | 3,568,566 | | | | 362,732 | | | | 3,601,315 | |
| | | | 48,105,610 | | | | 483,084,371 | | | | 55,031,787 | | | | 546,002,734 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (11,589,330 | ) | | | (116,121,452 | ) | | | (4,287,115 | ) | | | (42,534,725 | ) |
Class C | | | (1,924,753 | ) | | | (19,386,530 | ) | | | (1,530,200 | ) | | | (15,164,498 | ) |
Class R3 | | | (6,735 | ) | | | (67,871 | ) | | | (20,128 | ) | | | (198,825 | ) |
Class I | | | (32,412,484 | ) | | | (325,666,937 | ) | | | (42,737,411 | ) | | | (423,585,074 | ) |
| | | | (45,933,302 | ) | | | (461,242,790 | ) | | | (48,574,854 | ) | | | (481,483,122 | ) |
Net increase (decrease) | | | 2,172,308 | | | $ | 21,841,581 | | | | 6,456,933 | | | $ | 64,519,612 | |
| |
| | | Strategic Income | |
| | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Shares issued from reorganization: | | | | | | | | | | | | | | | | |
Class A | | | — | | | $ | — | | | | 2,657,808 | | | $ | 28,166,954 | |
Class B | | | — | | | | — | | | | 147,656 | | | | 1,556,581 | |
Class C | | | — | | | | — | | | | 2,026,122 | | | | 21,334,881 | |
Class R3 | | | — | | | | — | | | | 7,780 | | | | 82,781 | |
Class I | | | — | | | | — | | | | 2,831,674 | | | | 29,987,500 | |
Shares sold: | | | | | | | | | | | | | | | | |
Class A | | | 3,848,762 | | | | 43,710,826 | | | | 1,254,225 | | | | 13,398,501 | |
Class B – exchanges | | | 15,433 | | | | 174,717 | | | | 18,508 | | | | 197,468 | |
Class C | | | 956,179 | | | | 10,853,256 | | | | 644,248 | | | | 6,757,921 | |
Class R3 | | | 151,296 | | | | 1,733,433 | | | | 106,784 | | | | 1,136,998 | |
Class I | | | 9,103,062 | | | | 103,952,219 | | | | 9,257,272 | | | | 98,728,791 | |
Shares issued to shareholders due to reinvestment of distributions: | | | | | | | | | | | | | | | | |
Class A | | | 207,145 | | | | 2,356,102 | | | | 122,265 | | | | 1,308,933 | |
Class B | | | 5,430 | | | | 61,397 | | | | 4,902 | | | | 52,181 | |
Class C | | | 83,134 | | | | 939,722 | | | | 47,736 | | | | 508,435 | |
Class R3 | | | 8,750 | | | | 99,942 | | | | 4,511 | | | | 48,454 | |
Class I | | | 539,446 | | | | 6,134,175 | | | | 598,788 | | | | 6,388,338 | |
| | | | 14,918,637 | | | | 170,015,789 | | | | 19,730,279 | | | | 209,654,717 | |
Shares redeemed: | | | | | | | | | | | | | | | | |
Class A | | | (2,364,331 | ) | | | (26,682,577 | ) | | | (1,494,989 | ) | | | (16,025,373 | ) |
Class B | | | (84,405 | ) | | | (954,620 | ) | | | (76,386 | ) | | | (811,517 | ) |
Class C | | | (715,688 | ) | | | (8,066,326 | ) | | | (589,951 | ) | | | (6,176,624 | ) |
Class R3 | | | (70,285 | ) | | | (797,920 | ) | | | (38,862 | ) | | | (402,358 | ) |
Class I | | | (12,041,978 | ) | | | (136,432,499 | ) | | | (20,718,369 | ) | | | (220,597,281 | ) |
| | | | (15,276,687 | ) | | | (172,933,942 | ) | | | (22,918,557 | ) | | | (244,013,153 | ) |
Net increase (decrease) | | | (358,050 | ) | | $ | (2,918,153 | ) | | | (3,188,278 | ) | | $ | (34,358,436 | ) |
Class B Shares converted to Class A Shares (recognized as a component of Class A Shares sold and Class B Shares redeemed) during the fiscal years ended June 30, 2013 and June 30, 2012, were as follows:
| | | | | | | | |
| Fund | | Year Ended
6/30/13 | | | Year Ended
6/30/12 | |
Core Plus Bond | | | 10,994 | | | | 99,454 | |
High Income Bond | | | 8,431 | | | | 83,412 | |
Strategic Income | | | 7,581 | | | | 52,641 | |
5. Investment Transactions
Purchases and sales (including maturities but excluding investments purchased with collateral from securities lending, short-term investments and derivative transactions) during the fiscal year ended June 30, 2013, were as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global Total
Return
Bond | | | High Income
Bond | |
Purchases: | | | | | | | | | | | | | | | | |
Investment securities | | $ | 206,011,004 | | | $ | 179,990,225 | | | $ | 14,299,754 | | | $ | 1,010,966,523 | |
U.S. Government and agency obligations | | | 275,158,437 | | | | 154,623,258 | | | | 17,587,499 | | | | — | |
Sales and maturities: | | | | | | | | | | | | | | | | |
Investment securities | | $ | 173,204,435 | | | $ | 125,886,748 | | | $ | 11,988,087 | | | $ | 941,554,844 | |
U.S. Government and agency obligations | | | 346,142,481 | | | | 204,377,407 | | | | 16,855,336 | | | | — | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Purchases: | | | | | | | | | | | | | | | | |
Investment securities | | $ | 56,886,791 | | | $ | 5,863,118 | | | $ | 461,179,749 | | | $ | 404,341,128 | |
U.S. Government and agency obligations | | | 209,953,940 | | | | 34,774,566 | | | | 100,382,100 | | | | 77,519,920 | |
Sales and maturities: | | | | | | | | | | | | | | | | |
Investment securities | | $ | 9,763,278 | | | $ | 3,149,185 | | | $ | 290,448,766 | | | $ | 350,395,843 | |
U.S. Government and agency obligations | | | 190,713,436 | | | | 46,181,045 | | | | 77,853,967 | | | | 87,745,606 | |
Transactions in call options written for Global Total Return Bond and Strategic Income during the fiscal year ended June 30, 2013, were as follows:
| | | | | | | | | | | | | | | | |
| | | Global Total
Return Bond | | | Strategic Income | |
| | | Number of
Contracts | | | Premiums
Received | | | Number of
Contracts | | | Premiums
Received | |
Outstanding, beginning of period | | | — | | | $ | — | | | | — | | | $ | — | |
Options written | | | 300,009 | | | | 4,008 | | | | 339 | | | | 39,307 | |
Options terminated in closing purchase transactions | | | (9 | ) | | | (1,045 | ) | | | (339 | ) | | | (39,307 | ) |
Options expired | | | (300,000 | ) | | | (2,963 | ) | | | — | | | | — | |
Outstanding, end of period | | | — | | | $ | — | | | | — | | | $ | — | |
6. Income Tax Information
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing 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.
As of June 30, 2013, the cost and unrealized appreciation (depreciation) of investments (excluding investments in derivatives), as determined on a federal income tax basis, were as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
Cost of investments | | $ | 574,081,940 | | | $ | 744,440,311 | | | $ | 20,013,711 | | | $ | 838,325,182 | |
Gross unrealized: | | | | | | | | | | | | | | | | |
Appreciation | | | 11,126,867 | | | | 33,246,997 | | | | 280,133 | | | | 14,444,368 | |
Depreciation | | | (10,393,648 | ) | | | (16,854,418 | ) | | | (704,634 | ) | | | (24,245,503 | ) |
Net unrealized appreciation (depreciation) of investments | | $ | 733,219 | | | $ | 16,392,579 | | | $ | (424,501 | ) | | $ | (9,801,135 | ) |
Notes to Financial Statements (continued)
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Cost of investments | | $ | 393,862,957 | | | $ | 65,517,674 | | | $ | 1,004,155,644 | | | $ | 681,201,056 | |
Gross unrealized: | | | | | | | | | | | | | | | | |
Appreciation | | | 9,229,909 | | | | 1,887,598 | | | | 12,306,251 | | | | 23,126,781 | |
Depreciation | | | (12,588,601 | ) | | | (917,610 | ) | | | (8,511,345 | ) | | | (25,221,812 | ) |
Net unrealized appreciation (depreciation) of investments | | $ | (3,358,692 | ) | | $ | 969,988 | | | $ | 3,794,906 | | | $ | (2,095,031 | ) |
Permanent differences, primarily due to federal taxes paid, treatment of notional principal contracts, paydown adjustments, nondeductible reorganization expenses, expiration of capital loss carryforwards, distribution reclassifications, adjustments for investments in real estate investment trusts, investments in partnerships, tax basis earnings and profit adjustments and foreign currency reclassifications resulted in reclassifications among the Funds’ components of net assets as of June 30, 2013, the Funds’ tax year end, as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
Capital paid-in | | $ | (19 | ) | | $ | (18 | ) | | $ | (32,827 | ) | | $ | 182,858 | |
Undistributed (Over-distribution of) net investment income | | | 728,231 | | | | (612,822 | ) | | | 198,781 | | | | 39,031 | |
Accumulated net realized gain (loss) | | | (728,212 | ) | | | 612,840 | | | | (165,954 | ) | | | (221,889 | ) |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Capital paid-in | | $ | (10 | ) | | $ | (40,380 | ) | | $ | (137,442 | ) | | $ | (32,476 | ) |
Undistributed (Over-distribution of) net investment income | |
| (10,776
| )
| | | 73,792 | | | | (705,285 | ) | | | 5,332,297 | |
Accumulated net realized gain (loss) | | | 10,786 | | | | (33,412 | ) | | | 842,727 | | | | (5,299,821 | ) |
The tax components of undistributed net ordinary income and net long-term capital gains as of June 30, 2013, the Funds’ tax year end, were as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
Undistributed net ordinary income1 | | $ | — | | | $ | 2,128,428 | | | $ | 827,480 | | | $ | 12,400,371 | |
Undistributed net long-term capital gains | | | 5,763,177 | | | | 8,014,634 | | | | 109,476 | | | | 6,950,772 | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Undistributed net ordinary income1 | | $ | — | | | $ | — | | | $ | 194,572 | | | $ | 15,392,171 | |
Undistributed net long-term capital gains | | | 5,864,404 | | | | — | | | | — | | | | — | |
| 1 | Undistributed net ordinary income (on a tax basis) has not been reduced for the dividend declared during the period June 1, 2013 through June 30, 2013 and paid on July 1, 2013. 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 June 30, 2013 and June 30, 2012, was designated for purposes of the dividends paid deduction as follows:
| | | | | | | | | | | | | | | | |
| 2013 | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
Distributions from net ordinary income2 | | $ | 13,784,566 | | | $ | 28,553,783 | | | $ | 944,239 | | | $ | 54,643,445 | |
Distributions from net long-term capital gains3 | | | 16,155,610 | | | | 2,993,924 | | | | 50,774 | | | | — | |
| | | | | | | | | | | | | | | | |
| 2013 | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Distributions from net ordinary income2 | | $ | 4,715,830 | | | $ | 1,553,066 | | | $ | 20,153,340 | | | $ | 28,538,703 | |
Distributions from net long-term capital gains3 | | | 279,031 | | | | — | | | | — | | | | — | |
| | | | | | | | | | | | | | | | |
| 2012 | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond4 | | | High Income
Bond | |
Distributions from net ordinary income2 | | $ | 19,971,210 | | | $ | 36,167,948 | | | $ | 162,229 | | | $ | 43,906,949 | |
Distributions from net long-term capital gains | | | 1,045,132 | | | | — | | | | — | | | | 1,916,654 | |
| | | | | | | | | | | | | | | | |
| 2012 | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Distributions from net ordinary income2 | | $ | 10,896,873 | | | $ | 2,413,551 | | | $ | 20,732,280 | | | $ | 27,006,884 | |
Distributions from net long-term capital gains | | | — | | | | — | | | | — | | | | — | |
| 2 | Net ordinary income consists of net taxable income derived from dividends, interest and net short-term capital gains, if any. |
| 3 | The Fund hereby designates as long-term capital gain dividend, pursuant to the Internal Revenue Code Section 852(b)(3), the amount necessary to reduce earnings and profits of the Funds related to net capital gain to zero for the tax year ended June 30, 2013. |
| 4 | For the period December 2, 2011 (commencement of operations) through June 30, 2012. |
As of June 30, 2013, the Funds’ tax year end, the following Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as shown in the following table. The losses not subject to expiration retain the character reflected and will be utilized first by a Fund, while the losses subject to expiration are considered short-term:
| | | | | | | | | | | | |
| | | Intermediate
Government
Bond5 | | | Short Term
Bond | | | Strategic
Income | |
Expiration: | | | | | | | | | | | | |
June 30, 2014 | | $ | 873,239 | | | $ | 7,386,527 | | | $ | — | |
June 30, 2015 | | | 2,446,535 | | | | 7,432,482 | | | | — | |
June 30, 2016 | | | 164,695 | | | | 48,855 | | | | — | |
June 30, 2017 | | | 3,538,398 | | | | 1,188,199 | | | | 5,090,497 | |
June 30, 2018 | | | — | | | | 4,103,631 | | | | 37,557,087 | |
Not subject to expiration: | | | | | | | | | | | | |
Short-term losses | | | — | | | | 2,185,045 | | | | — | |
Long-term losses | | | — | | | | — | | | | — | |
Total | | $ | 7,022,867 | | | $ | 22,344,739 | | | $ | 42,647,584 | |
| 5 | A portion of Intermediate Governments Bond’s capital loss carryforward is subject to an annual limitation under Internal Revenue Code and related regulations. |
During the Funds’ tax year ended June 30, 2013, the following Funds utilized their capital loss carryforwards as follows:
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Core Plus
Bond | | | High Income
Bond | | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Utilized capital loss carryforwards | | $ | 558,658 | | | $ | 8,351,905 | | | $ | 2,034,554 | | | $ | 512,018 | | | $ | 3,868,978 | | | $ | 16,793,614 | |
As of June 30, 2013, the Funds’ tax year end, $54,933 of Short Term Bond’s capital loss carryforward expired.
The Funds have elected to defer late-year losses in accordance with federal income tax rules. These losses are treated as having arisen on the first day of the following fiscal year. The following Funds have elected to defer losses as follows:
| | | | | | | | |
| | | Global
Total Return
Bond | | | Intermediate
Government
Bond | |
Post-October capital losses6 | | $ | — | | | $ | 250,673 | |
Late-year ordinary losses7 | | | 123,201 | | | | — | |
| 6 | Capital losses incurred from November 1, 2012 through June 30, 2013, the Funds’ tax year end. |
| 7 | Ordinary losses incurred from January 1, 2013 through June 30, 2013, and specified losses incurred from November 1, 2012 through June 30, 2013. |
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 each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables Fund shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
Notes to Financial Statements (continued)
The annual fund-level fee for each Fund, payable monthly, is calculated according to the following schedule:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Average Daily Net Assets | | Core Bond
Fund-Level
Fee Rate | | | Core Plus
Bond
Fund-Level
Fee Rate | | | Global Total
Return Bond
Fund-Level
Fee Rate | | | High Income
Bond
Fund-Level
Fee Rate | | | Inflation
Protected
Securities
Fund-Level
Fee Rate | | | Intermediate
Government
Bond
Fund-Level
Fee Rate | | | Short Term
Bond
Fund-Level
Fee Rate | | | Strategic
Income
Fund-Level
Fee Rate | |
For the first $125 million | | | .2700 | % | | | .2800 | % | | | .4000 | % | | | .4000 | % | | | .2500 | % | | | .2700 | % | | | .2200 | % | | | .3600 | % |
For the next $125 million | | | .2575 | | | | .2675 | | | | .3875 | | | | .3875 | | | | .2375 | | | | .2575 | | | | .2075 | | | | .3475 | |
For the next $250 million | | | .2450 | | | | .2550 | | | | .3750 | | | | .3750 | | | | .2250 | | | | .2450 | | | | .1950 | | | | .3350 | |
For the next $500 million | | | .2325 | | | | .2425 | | | | .3625 | | | | .3625 | | | | .2125 | | | | .2325 | | | | .1825 | | | | .3225 | |
For the next $1 billion | | | .2200 | | | | .2300 | | | | .3500 | | | | .3500 | | | | .2000 | | | | .2200 | | | | .1700 | | | | .3100 | |
For net assets over $2 billion | | | .1950 | | | | .2050 | | | | .3250 | | | | .3250 | | | | .1750 | | | | .1950 | | | | .1450 | | | | .2850 | |
The annual complex-level fee for each Fund, payable monthly, is determined by taking the complex-level fee rate, which is based on the aggregate amount of “eligible assets” of all Nuveen funds as set forth in the schedule below, and (except for Global Total Return Bond) making, as appropriate, an upward adjustment to that rate based upon the percentage of the particular fund’s assets that are not “eligible assets.” The complex-level fee schedule for each Fund is as follows:
| | | | |
| Complex-Level 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 | |
| * | The complex-level fee is calculated based upon the aggregate daily “eligible assets” of all Nuveen Funds. Eligible assets do not include assets attributable to investments in other Nuveen Funds or 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. Eligible assets include closed-end fund assets managed by the Adviser that are attributable to financial leverage. For these purposes, financial leverage includes the closed-end funds’ use of preferred stock and borrowings and investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by the TOB trust that has been effectively financed by the trust’s issuance of floating rate securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining eligible assets in certain circumstances. As of June 30, 2013, the complex-level fee rate for each Fund was as follows: |
| | | | |
| Fund | | Complex-Level
Fee Rate | |
Core Bond | | | .2000 | % |
Core Plus Bond | | | .2000 | |
Global Total Return Bond | | | .1679 | |
High Income Bond | | | .1876 | |
Inflation Protected Securities | | | .1832 | |
Intermediate Government Bond | | | .2000 | |
Short Term Bond | | | .1920 | |
Strategic Income | | | .1986 | |
The management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Adviser is responsible for each Fund’s overall strategy and asset allocations decisions. The Adviser has entered into sub-advisory agreements with the Sub-Adviser under which the Sub-Adviser manages the investment portfolios of the Funds. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
The Adviser has contractually agreed to waive fees and/or reimburse so that total annual Fund operating expenses, (excluding acquired Fund fees and expenses) for the following Funds do not exceed the average daily net assets of any class of Fund shares in the amounts and for the time periods stated in the following table:
| | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | High Income
Bond | |
Class A | | | .78 | % | | | .77 | % | | | .99 | % |
Class B | | | N/A | | | | 1.52 | | | | 1.74 | |
Class C | | | 1.53 | | | | 1.52 | | | | 1.74 | |
Class R3 | | | N/A | | | | 1.02 | | | | 1.24 | |
Class I | | | .53 | | | | .52 | | | | .74 | |
Expiration Date | | | October 31, 2013 | | | | October 31, 2013 | | | | October 31, 2013 | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Class A | | | .85 | % | | | .85 | % | | | .72 | % | | | .84 | % |
Class B | | | N/A | | | | N/A | | | | N/A | | | | 1.59 | |
Class C | | | 1.60 | | | �� | 1.60 | | | | 1.47 | | | | 1.59 | |
Class R3 | | | 1.10 | | | | 1.10 | | | | .97 | | | | 1.09 | |
Class I | | | .60 | | | | .60 | | | | .47 | | | | .59 | |
Expiration Date | | | October 31, 2013 | | | | October 31, 2013 | | | | October 31, 2013 | | | | October 31, 2013 | |
| N/A | – Core Bond does not offer Class B Shares or Class R3 Shares. Inflation Protected Securities, Intermediate Government Bond and Short Term Bond do not offer Class B Shares. |
The Adviser has agreed to waive fees and/or reimburse expenses through October 31, 2014, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) for Global Total Return Bond do not exceed .75% of the average daily net assets of any class of Fund shares.
The Adviser may also voluntarily reimburse expenses from time to time in any of the Funds. Voluntarily reimbursements may be terminated at any time at the Adviser’s discretion.
Neither Trust pays compensation directly to those of its directors/trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to each Trust from the Adviser or its affiliates. The Board of Directors/Trustees has adopted a deferred compensation plan for independent directors/trustees that enable directors/trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of select Nuveen-advised funds.
During the fiscal year ended June 30, 2013, Nuveen Securities, LLC. (the “Distributor”), a wholly-owned subsidiary of Nuveen, collected sales charges on purchases of Class A Shares, the majority of which were paid out as concessions to financial intermediaries as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
Sales charges collected (Unaudited) | | $ | 10,605 | | | $ | 70,918 | | | $ | 15,133 | | | $ | 1,296,089 | |
Paid to financial intermediaries (Unaudited) | | | 8,512 | | | | 62,247 | | | | 13,566 | | | | 1,170,197 | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short
Term
Bond | | | Strategic
Income | |
Sales charges collected (Unaudited) | | $ | 118,426 | | | $ | 5,193 | | | $ | 91,616 | | | $ | 252,575 | |
Paid to financial intermediaries (Unaudited) | | | 105,273 | | | | 4,255 | | | | 81,904 | | | | 232,109 | |
The Distributor also received 12b-1 service fees on Class A Shares, substantially all of which were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
During the fiscal year ended June 30, 2013, the Distributor compensated financial intermediaries directly with commission advances at the time of purchase as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
Commission advances (Unaudited) | | $ | 2,638 | | | $ | 7,926 | | | $ | 576 | | | $ | 461,701 | |
Notes to Financial Statements (continued)
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
Commission advances (Unaudited) | | $ | 52,585 | | | $ | 1,701 | | | $ | 77,252 | | | $ | 155,956 | |
To compensate for commissions advanced to financial intermediaries, all 12b-1 service and distribution fees collected on Class B Shares and Class C Shares during the first year following a purchase are retained by the Distributor. During the fiscal year ended June 30, 2013, the Distributor retained such 12b-1 fees as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
12b-1 fees retained (Unaudited) | | $ | 7,594 | | | $ | 13,108 | | | $ | 854 | | | $ | 202,828 | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
12b-1 fees retained (Unaudited) | | $ | 40,397 | | | $ | 4,594 | | | $ | 41,642 | | | $ | 77,274 | |
The remaining 12b-1 fees charged to the Funds were paid to compensate financial intermediaries for providing services to shareholders relating to their investments.
The Distributor also collected and retained CDSC on share redemptions during the fiscal year ended June 30, 2013, as follows:
| | | | | | | | | | | | | | | | |
| | | Core
Bond | | | Core Plus
Bond | | | Global
Total Return
Bond | | | High Income
Bond | |
CDSC retained (Unaudited) | | $ | 29 | | | $ | 2,174 | | | $ | — | | | $ | 22,237 | |
| | | | | | | | | | | | | | | | |
| | | Inflation
Protected
Securities | | | Intermediate
Government
Bond | | | Short Term
Bond | | | Strategic
Income | |
CDSC retained (Unaudited) | | $ | 1,584 | | | $ | 21 | | | $ | 44,732 | | | $ | 12,225 | |
As of June 30, 2013, Nuveen owned 2,280, 2,280 and 676,175 of Global Total Return Classes C, R3 and I respectively.
8. New Accounting Pronouncements
Financial Accounting Standards Board (“FASB”) Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities
In January 2013, Accounting Standards Update (“ASU”) 2013-01, Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities, replaced ASU 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2013-01 is effective for fiscal years beginning on or after January 1, 2013. ASU 2011-11 was intended to enhance disclosure requirements on the offsetting of financial assets and liabilities. ASU 2013-01 limits the scope of the new balance sheet offsetting disclosures to derivatives, repurchase agreements and securities lending transactions to the extent that they are (1) offset in the financial statements or (2) subject to an enforceable master netting arrangement or similar agreement. Management is currently evaluating the application of ASU 2013-01 and its impact to the financial statements and footnote disclosures, if any.
Trustees and Officers (Unaudited)
The management of the Funds, including general supervision of the duties performed for the Funds by the Adviser, is the responsibility of the Board of Trustees of the Funds. The number of trustees of the Funds is currently set at ten. None of the trustees who are not “interested” persons of the Funds (referred to herein as “independent trustees”) has ever been a director or employee of, or consultant to, Nuveen or its affiliates. The names and business addresses of the trustees and officers of the Funds, their principal occupations and other affiliations during the past five years, the number of portfolios each oversees and other directorships they hold are set forth below.
The Funds’ Statement of Additional Information (“SAI”) includes more information about the trustees. To request a free copy, call Nuveen Investments at (800) 257-8787 or visit the Funds’ website at www.nuveen.com.
| | | | | | | | |
Name, Year of Birth & Address | | Position(s) Held with the Funds | | Year First Elected or Appointed (1) | | Principal Occupation(s) Including other Directorships During Past 5 Years | | Number of Portfolios in Fund Complex Overseen by Trustee |
| | |
| Independent Trustees: | | | | |
William J. Schneider 1944 333 W. Wacker Drive Chicago, IL 60606 | | Chairman of the Board and Trustee | | 1996 | | Chairman of Miller-Valentine Partners Ltd., a real estate investment company; formerly, Senior Partner and Chief Operating Officer (retired 2004) of Miller-Valentine Group; owner in several other Miller-Valentine; entities; Board Member of Mid-America Health System, Tech Town, Inc., a not-for-profit community development company and WDPR Public Radio Station; formerly, member, Business Advisory Council, Cleveland Federal Reserve Bank and University of Dayton Business School Advisory Council. | | 211 |
Robert P. Bremner 1940 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 1996 | | 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. | | 211 |
Jack B. Evans 1948 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 1999 | | President, The Hall-Perrine Foundation, a private philanthropic corporation (since 1996); Chairman, United Fire Group, a publicly held company; formerly, member and President Pro-Tem of the Board of Regents for the State of Iowa University System; Director, Source Media Group; Life Trustee of Coe College; 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. | | 211 |
William C. Hunter 1948 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 2004 | | Dean Emeritus (since June 30, 2012), formerly, Dean, Tippie College of Business, University of Iowa (2006-2012); Director (since 2004) of Xerox Corporation; Director (since 2005), and President (since July 2012) Beta Gamma Sigma, Inc., The International Honor Society; Director of Wellmark, Inc. (since 2009); formerly, Dean and Distinguished Professor of Finance, School of Business at the University of Connecticut (2003-2006); previously, Senior Vice President and Director of Research at the Federal Reserve Bank of Chicago (1995-2003); formerly, Director (1997-2007), Credit Research Center at Georgetown University. | | 211 |
David J. Kundert 1942 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 2005 | | Formerly, Director, Northwestern Mutual Wealth Management Company; (2006-2013) retired (since 2004) as Chairman, JPMorgan Fleming Asset Management, President and CEO, Banc One Investment Advisors Corporation, and President, One Group Mutual Funds; prior thereto, Executive Vice President, Banc One Corporation and Chairman and CEO, Banc One Investment Management Group; Regent Emeritus, Member of Investment Committee, Luther College; member of the Wisconsin Bar Association; member of Board of Directors, Friends of Boerner Botanical Gardens; member of Board of Directors and Chair of Investment Committee, Greater Milwaukee Foundation; member of the Board of Directors (Milwaukee), College Possible. | | 211 |
Judith M. Stockdale 1947 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 1997 | | Formerly, Executive Director (1994-2012), Gaylord and Dorothy Donnelley Foundation (since 1994); prior thereto, Executive Director, Great Lakes Protection Fund (1990-1994). | | 211 |
Trustees and Officers (Unaudited) (continued)
| | | | | | | | |
Name, Year of Birth & Address | | Position(s) Held with the Funds | | Year First Elected or Appointed (1) | | Principal Occupation(s) Including other Directorships During Past 5 Years | | Number of Portfolios in Fund Complex Overseen by Trustee |
Carole E. Stone 1947 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 2007 | | 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). | | 211 |
Virginia L. Stringer 1944 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 2011 | | Board Member, Mutual Fund Directors Forum; former governance consultant and non-profit board member; former Owner and President, Strategic Management Resources, Inc. a management consulting firm; former Member, Governing Board, Investment Company Institute’s Independent Directors Council; 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). | | 211 |
Terence J. Toth 1959 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 2008 | | Managing Partner, Promus Capital (since 2008); Director, Fulcrum IT Service LLC (since 2010), Quality Control Corporation (since 2012) and LogicMark LLC (since 2012); formerly, Director, Legal & General Investment Management America, Inc. (2008-2013); formerly, CEO and President, Northern Trust Global Investments (2004-2007); Executive Vice President, Quantitative Management & Securities Lending (2000-2004); prior thereto, various positions with Northern Trust Company (since 1994); member: Chicago Fellowship Board (since 2005), Catalyst Schools of Chicago Board (since 2008) and Mather Foundation Board (since 2012), and a member of its investment committee; formerly, Member, Northern Trust Mutual Funds Board (2005-2007), Northern Trust Global Investments Board (2004-2007), Northern Trust Japan Board (2004-2007), Northern Trust Securities Inc. Board (2003-2007) and Northern Trust Hong Kong Board (1997-2004). | | 211 |
| | |
| Interested Trustee: | | | | |
John P. Amboian (2) 1961 333 W. Wacker Drive Chicago, IL 60606 | | Trustee | | 2008 | | Chief Executive Officer and Chairman (since 2007) and Director (since 1999) of Nuveen Investments, Inc., formerly, President (1999-2007); Chief Executive Officer (since 2007) of Nuveen Investments Advisers Inc.; Director (since 1998) formerly, Chief Executive Officer (2007-2010) of Nuveen Fund Advisors, LLC. | | 211 |
Name, Year of Birth & 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: | | | | |
Gifford R. Zimmerman 1956 333 W. Wacker Drive Chicago, IL 60606 | | Chief Administrative Officer | | 1988 | | Managing Director (since 2002), and Assistant Secretary of Nuveen Securities, LLC; Managing Director (since 2004) and Assistant Secretary (since 1994) of Nuveen Investments, Inc.; Managing Director (since 2002), Assistant Secretary (since 1997) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Managing Director, Assistant Secretary and Associate General Counsel of Nuveen Asset Management, LLC (since 2011); Managing Director, 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), Santa Barbara Asset Management, LLC (since 2006) and of Winslow Capital Management, LLC, (since 2010); Vice President and Assistant Secretary (since 2013), formerly, Chief Administrative Officer and Chief Compliance Officer (2006-2013) of Nuveen Commodities Asset Management, LLC; Chartered Financial Analyst. | | 211 |
| | | | | | | | |
Name, Year of Birth & 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 |
Margo L. Cook 1964 333 W. Wacker Drive Chicago, IL 60606 | | Vice President | | 2009 | | Executive Vice President (since 2008) of Nuveen Investments, Inc. and of Nuveen Fund Advisors, LLC (since 2011); Managing Director – Investment Services of Nuveen Commodities Asset Management, LLC (since August 2011), previously, Head of Institutional Asset Management (2007-2008) of Bear Stearns Asset Management; Head of Institutional Asset Management (1986-2007) of Bank of NY Mellon; Chartered Financial Analyst. | | 211 |
Lorna C. Ferguson 1945 333 W. Wacker Drive Chicago, IL 60606 | | Vice President | | 1998 | | Managing Director (since 2005) of Nuveen Fund Advisors, LLC and Nuveen Securities, LLC (since 2004). | | 211 |
Stephen D. Foy 1954 333 W. Wacker Drive Chicago, IL 60606 | | Vice President and Controller | | 1998 | | Senior Vice President (2010-2011), formerly, Vice President (2005-2010) and Funds Controller of Nuveen Securities, LLC; Senior Vice President (since 2013), formerly, Vice President of Nuveen Fund Advisors, LLC; Chief Financial Officer of Nuveen Commodities Asset Management, LLC (since 2010); Certified Public Accountant. | | 211 |
Scott S. Grace 1970 333 W. Wacker Drive Chicago, IL 60606 | | Vice President and Treasurer | | 2009 | | Managing Director, Corporate Finance & Development, Treasurer (since 2009) of Nuveen Securities, LLC; Managing Director and Treasurer (since 2009) of Nuveen Fund Advisors, LLC, Nuveen Investments Advisers, Inc., 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, LLC.; 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. | | 211 |
Walter M. Kelly 1970 333 W. Wacker Drive Chicago, IL 60606 | | Chief Compliance Officer and Vice President | | 2003 | | Senior Vice President (since 2008) and Assistant Secretary (since 2003) of Nuveen Fund Advisors, LLC; Senior Vice President (since 2008) of Nuveen Investments Holdings, Inc; formerly, Senior Vice President (2008-2011) of Nuveen Securities, LLC. | | 211 |
Tina M. Lazar 1961 333 W. Wacker Drive Chicago, IL 60606 | | Vice President | | 2002 | | Senior Vice President (since 2010), formerly, Vice President (2005-2010) of Nuveen Fund Advisors, LLC. | | 211 |
Name, Year of Birth & Address | | Position(s) Held with the Funds | | Year First Elected or Appointed (3) | | Principal Occupation(s) Including other Directorships During Past 5 Years | | Number of Portfolios in Fund Complex Overseen by Officer |
Kevin J. McCarthy 1966 333 W. Wacker Drive Chicago, IL 60606 | | Vice President and Secretary | | 2007 | | Managing Director and Assistant Secretary (since 2008), Nuveen Securities, LLC; Managing Director (since 2008), Assistant Secretary (since 2007) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Managing Director, Assistant Secretary and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC; Managing Director (since 2008), and Assistant Secretary, Nuveen Investment Holdings, Inc.; Vice President (since 2007) and Assistant Secretary of Nuveen Investments Advisers Inc., NWQ Investment Management Company, LLC, Tradewinds Global Investors LLC, Symphony Asset Management LLC, Santa Barbara Asset Management, LLC, and of Winslow Capital Management, LLC. (since 2010); Vice President and Secretary (since 2010) of Nuveen Commodities Asset Management, LLC. | | 211 |
Trustees and Officers (Unaudited) (continued)
| | | | | | | | |
Name, Year of Birth & Address | | Position(s) Held with the Funds | | Year First Elected or Appointed (3) | | Principal Occupation(s) Including other Directorships During Past 5 Years | | Number of Portfolios in Fund Complex Overseen by Officer |
Kathleen L. Prudhomme 1953 901 Marquette Avenue Minneapolis, MN 55402 | | Vice President and Assistant Secretary | | 2011 | | Managing Director, Assistant Secretary and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Managing Director, Assistant Secretary and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC; Managing Director and Assistant Secretary (since 2011) of Nuveen Securities, LLC; formerly, Deputy General Counsel, FAF Advisors, Inc. (2004-2010). | | 211 |
Joel T. Slager 1978 333 West Wacker Drive Chicago, IL 60606 | | Vice President and Assistant Secretary | | 2013 | | Fund Tax Director for Nuveen Funds (since May, 2013); previously, Vice President of Morgan Stanley Investment Management, Inc., Assistant Treasurer of the Morgan Stanley Funds (from 2010 to 2013); Tax Director at PricewaterhouseCoopers LLP (from 2008 to 2010). | | 211 |
Jeffery M. Wilson 1956 333 West Wacker Drive Chicago, IL 60606 | | Vice President | | 2011 | | Senior Vice President of Nuveen Securities, LLC (since 2011); formerly, Senior Vice President of FAF Advisors, Inc. (2000-2010). | | 108 |
| (1) | Trustees serve an indefinite term until his/her successor is elected or appointed. The year first elected or appointed represents the year in which the trustee was first elected or appointed to any fund in the Nuveen Fund Complex. |
| (2) | 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. |
| (3) | 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 Fund Complex. |
Annual Investment Management Agreement Approval Process
(Unaudited)
The Board of Trustees or Directors, as applicable (each, a “Board” and each Trustee or Director, a “Board Member”) of the Funds, including the Board Members who are not parties to the Funds’ advisory or sub-advisory agreements or “interested persons” of any such parties (the “Independent Board Members”), is responsible for approving the advisory agreements (each, an “Investment Management Agreement”) between each Fund and Nuveen Fund Advisors, LLC (the “Advisor”) and the sub-advisory agreements (each, a “Sub-Advisory Agreement”) between the Advisor and Nuveen Asset Management, LLC (the “Sub-Advisor”) (the Investment Management Agreements and the Sub-Advisory Agreements are referred to collectively as the “Advisory Agreements”) and their periodic continuation. Pursuant to the Investment Company Act of 1940, as amended (the “1940 Act”), the Board is required to consider the continuation of the Advisory Agreements on an annual basis. Accordingly, at an in-person meeting held on May 20-22, 2013 (the “May Meeting”), the Board, including a majority of the Independent Board Members, considered and approved the continuation of the Advisory Agreements for the Funds for an additional one-year period.
In preparation for its considerations at the May Meeting, the Board requested and received extensive materials prepared in connection with the review of the Advisory Agreements. The materials provided a broad range of information regarding the Funds, the Advisor and the Sub-Advisor (the Advisor and the Sub-Advisor are collectively, the “Fund Advisers” and each, a “Fund Adviser”). As described in more detail below, the information provided included, among other things, a review of Fund performance, including Fund investment performance assessments against peer groups and appropriate benchmarks; a comparison of Fund fees and expenses relative to peers; a description and assessment of shareholder service levels for the Funds; a summary of the performance of certain service providers; a review of product initiatives and shareholder communications; and an analysis of the Advisor’s profitability with comparisons to comparable peers in the managed fund business. As part of its annual review, the Board also held a separate meeting on April 17-18, 2013, to review the Funds’ investment performance and consider an analysis provided by the Advisor of the Sub-Advisor which generally evaluated the Sub-Advisor’s investment team, investment mandate, organizational structure and history, investment philosophy and process, performance of the applicable Fund, and significant changes to the foregoing. As a result of its review of the materials and discussions, the Board presented the Advisor with questions and the Advisor responded.
The materials and information prepared in connection with the annual review of the Advisory Agreements supplement the information and analysis provided to the Board during the year. In this regard, throughout the year, the Board, acting directly or through its committees, regularly reviews the performance and various services provided by the Advisor and the Sub-Advisor. The Board meets at least quarterly as well as at other times as the need arises. At its quarterly meetings, the Board reviews reports by the Advisor regarding, among other things, fund performance, fund expenses, the performance of the investment teams, and compliance, regulatory and risk management matters. In addition to regular reports, the Advisor provides special reports to the Board or a committee thereof from time to time to enhance the Board’s understanding of various topics that impact some or all the Nuveen funds (such as accounting and financial statement presentations of the various forms of leverage that may be used by a closed-end fund or an update on the valuation policies and procedures), to update the Board on regulatory developments impacting the investment company industry or to update the Board on the business plans or other matters impacting the Advisor. The Board also meets with key investment personnel managing the fund portfolios during the year. In October 2011, the Board also created two standing committees (the Open-End Fund Committee and the Closed-End Fund Committee) to assist the full Board in monitoring and gaining a deeper insight into the distinctive business practices of open-end and closed-end funds. These Committees meet prior to each quarterly Board meeting, and the Advisor provides presentations to these Committees permitting them to delve further into specific matters or initiatives impacting the respective product line.
In addition, the Board continues its program of seeking to have the Board Members or a subset thereof visit each sub-advisor 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 visited certain of the Sub-Advisor’s investment teams in Minneapolis in September 2012, and the Sub-Advisor’s municipal team in November 2012. In addition, the ad hoc Securities Lending Committee of the Board met with certain service providers and the Audit Committee of the Board made a site visit to three pricing service providers.
The Board considers the information provided and knowledge gained at these meetings and visits during the year when performing its annual review of the Advisory Agreements. The Independent Board Members also are assisted throughout the process by independent legal counsel. Counsel provided materials describing applicable law and the duties of directors or trustees in reviewing advisory contracts. During the course of the year and during their deliberations regarding the review of advisory contracts, the Independent Board Members met with independent legal counsel in executive sessions without management present. In addition, it is important to recognize that the management arrangements for the Nuveen funds are the result of many years of review and discussion between the Independent Board Members and fund management and that the Board Members’ conclusions may be based, in part, on their consideration of fee arrangements and other factors developed in previous years.
The Board considered all factors it believed relevant with respect to each Fund, including among other factors: (a) the nature, extent and quality of the services provided by the Fund Advisers, (b) the investment performance of the Fund and Fund Advisers, (c) the advisory fees and costs of the services to be provided to the Fund and the profitability of the Fund Advisers, (d) the extent of any economies of scale, (e) any benefits derived by the Fund Advisers from the relationship with the Fund and (f) other factors. 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
Annual Investment Management Agreement Approval Process
(Unaudited) (continued)
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 the resulting Fund performance and administrative services. The Independent Board Members further considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their overall confidence in the capability and integrity of the Advisor and its staff and the Advisor’s responsiveness to questions and concerns raised by them. 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 to the Funds; the performance record of the applicable Fund (as described in further detail below); and any applicable initiatives Nuveen had taken for the open-end fund product line.
In considering advisory services, the Board recognized that the Advisor provides various oversight, administrative, compliance and other services for the Funds and the Sub-Advisor generally provides the portfolio investment management services to the Funds. In reviewing the portfolio management services provided to each Fund, the Board reviewed the materials provided by the Nuveen Investment Services Oversight Team analyzing, among other things, the Sub-Advisor’s investment team and changes thereto, organization and history, assets under management, the investment team’s philosophy and strategies in managing the Fund, developments affecting the Sub-Advisor or Fund and Fund performance. The Independent Board Members also reviewed portfolio manager compensation arrangements to evaluate each Fund Adviser’s ability to attract and retain high quality investment personnel, preserve stability, and reward performance but not provide an inappropriate incentive to take undue risks. In addition, the Board considered the Advisor’s execution of its oversight responsibilities over the Sub-Advisor. Given the importance of compliance, the Independent Board Members also considered Nuveen’s compliance program, including the report of the chief compliance officer regarding the Funds’ compliance policies and procedures; the resources dedicated to compliance; and the record of compliance with the policies and procedures. Given the Advisor’s emphasis on business risk, the Board also appointed an Independent Board Member as a point person to review and keep the Board apprised of developments in this area during the year.
In addition to advisory services, the Board considered the quality and extent of administrative and other non-investment advisory services the Advisor and its affiliates provide to the Funds, including product management, investment services (such as oversight of investment policies and procedures, risk management, and pricing), fund administration, oversight of service providers, shareholder services and communications, administration of Board relations, regulatory and portfolio compliance and legal support. The Board further recognized Nuveen’s additional investments in personnel, including in compliance and risk management.
In reviewing the services provided, the Board considered the new services and service enhancements that the Advisor has implemented since the various advisory agreements were last reviewed. In reviewing the activities of 2012, the Board recognized the Advisor’s focus on product rationalization for both closed-end and open-end funds during the year, consolidating certain Nuveen funds through mergers that were designed to improve efficiencies and economies of scale for shareholders, repositioning various Nuveen funds through updates in their investment policies and guidelines with the expectation of bringing greater value to shareholders, and liquidating certain Nuveen funds. The Board recognized the Advisor’s significant investment in technology initiatives to, among other things, create a central repository for fund and other Nuveen product data, develop a group within the Advisor designed to handle and analyze fund performance data, and implement a data system to support the risk oversight group. The Board also recognized the enhancements in the valuation group within the Advisor, including upgrading the team and process and automating certain basic systems, and in the compliance group with the addition of personnel, particularly within the testing group. With the advent of the Open-End Fund Committee and Closed-End Fund Committee, the Board also noted the enhanced support and comprehensive in-depth presentations provided by the Advisor to these committees.
In addition to the foregoing actions, the Board also considered other initiatives related to the open-end Nuveen funds including, among other things, the development of a comprehensive strategic plan and the addition of members to the product strategy team; the commencement of various new funds; the removal of redemption fees for certain funds; the establishment of a working group to enhance the Advisor’s oversight of the disclosures pertaining to Nuveen’s products and services; the acceleration of monthly holdings disclosure for certain funds; and the development of a new share class for certain funds.
Based on their review, the Independent Board Members found that, overall, the nature, extent and quality of services provided to the respective Funds under each applicable Advisory Agreement were satisfactory.
B. The Investment Performance of the Funds and Fund Advisers
The Board, including the Independent Board Members, considered the performance history of each Fund over various time periods. The Board reviewed reports, including an analysis of the Funds’ performance and the applicable investment team. In general, in considering a fund’s performance, the Board recognized that a fund’s performance can be reviewed through various measures including the fund’s absolute return, the fund’s return compared to the performance of other peer funds, and the fund’s performance compared to its respective benchmark. Accordingly, 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”) and with recognized and/or customized benchmarks (i.e., benchmarks derived from multiple recognized benchmarks) for the quarter, one-, three- and five-year periods ending December 31, 2012 as well as performance information reflecting the first quarter of 2013 (or for such shorter periods available for the Nuveen Global Total Return Bond Fund (the “Global Fund”), which did not exist for part of the foregoing time frame). This information supplemented the fund performance information provided to the Board at each of its quarterly meetings.
In evaluating performance, the Board recognized several factors that may impact the performance data as well as the consideration given to particular performance data. The Board recognized that the performance data reflects a snapshot of time, in this case as of the end of the most recent calendar year or quarter. The Board noted that selecting a different performance period could derive significantly different results. Further, the Board recognized that it is possible that long-term performance can be adversely affected by even one period of significant underperformance so that a single investment decision or theme has the ability to disproportionately affect long-term performance. The Independent Board Members also noted that the investment experience of a particular shareholder in the Nuveen funds will vary depending on when such shareholder invests in the applicable fund, the class held (if multiple classes are offered in a fund) and the performance of the fund (or respective class) during that shareholder’s investment period.
With respect to the comparative performance information, the Board recognized that the usefulness of comparative performance data as a frame of reference to measure a fund’s performance may be limited because the Performance Peer Group, among other things, does not adequately reflect the objectives and strategies of the fund, has a different investable universe, or the composition of the peer set may be limited in size or number as well as other factors. In this regard, the Board noted that the Advisor classified, in relevant part, the Performance Peer Groups of certain funds as having significant differences from the funds but to still be somewhat relevant, while the Performance Peer Groups of other funds were classified as having such significant differences as to be irrelevant. Accordingly, while the Board is cognizant of the relative performance of a fund’s peer set and/or benchmark(s), the Board evaluated fund performance in light of the respective fund’s investment objectives, investment parameters and guidelines and considered that the variations between the objectives and investment parameters or guidelines of the funds with their peers and/or benchmarks result in differences in performance results. The Board also noted that open-end funds offer multiple classes and the performance of the various classes of a fund should be substantially similar on a relative basis because all of the classes are invested in the same portfolio of securities and that differences in performance among classes could be principally attributed to the variations in distribution and servicing expenses of each class. In addition, with respect to any Nuveen funds for which the Board has identified performance concerns, the Board monitors such funds closely until performance improves, discusses with the Advisor the reasons for such results, considers those steps necessary or appropriate to address such issues, and reviews the results of any efforts undertaken.
In considering the performance data for the Funds, the Independent Board Members noted that the Nuveen Short Term Bond Fund (the “Short Term Fund”), the Nuveen Core Bond Plus Bond Fund (the “Core Plus Fund”), the Nuveen Strategic Income Fund (the “Strategic Income Fund”), the Nuveen High Income Bond Fund (the “High Income Fund”), and the Nuveen Inflation Protected Securities Fund (the “Inflation Protected Fund”) had demonstrated generally favorable performance in comparison to peers, performing in the first or second quartile over various periods. In addition, they noted that the Nuveen Core Bond Fund (the “Core Bond Fund”) and the Nuveen Intermediate Government Bond Fund (the “Intermediate Government Fund”) had satisfactory performance compared to their peers. With respect to the Core Bond Fund, the Independent Board Members noted that although such Fund performed in the fourth quartile and underperformed its benchmark in the three-year period, it performed in the third quartile in the five-year period, the second quartile in the one-year period, outperformed its benchmark in the one-year period and provided generally comparable returns to its benchmark in the five-year period. With respect to the Intermediate Government Fund, the Independent Board Members noted that such Fund had performed in the third quartile over various periods and that it also outperformed its benchmark in the one-year period and provided generally comparable performance to its benchmark in the three- and five-year periods. Finally, the Independent Board Members noted that the Global Fund was relatively new with a shorter performance history available, thereby limiting the ability to make a meaningful assessment of performance; they observed, however, that such Fund was in the first quartile and outperformed its benchmark for the one-year period.
Based on their review, the Independent Board Members determined that each Fund’s investment performance had been satisfactory.
C. Fees, Expenses and Profitability
1. Fees and Expenses
The Board evaluated the management fees and expenses of each Fund reviewing, among other things, such Fund’s gross management fees, net management fees and net expense ratios in absolute terms as well as compared to the fees and expenses of a comparable universe of funds provided by an independent fund data provider (the “Peer Universe”) and 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 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 limited size and particular composition of the Peer Universe or Peer Group (including the inclusion of other Nuveen funds in the peer set); expense anomalies; changes in the funds comprising the Peer
Annual Investment Management Agreement Approval Process
(Unaudited) (continued)
Universe or Peer Group from year to year; levels of reimbursement or fee waivers; and the timing of information used may impact the comparative data, thereby limiting somewhat 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. In reviewing fees and expenses, the Board considered the expenses and fees to be higher if they were over 10 basis points higher, slightly higher if they were approximately 6 to 10 basis points higher, in line if they were within approximately 5 basis points higher than the peer average and below if they were below the peer average of the Peer Group. In reviewing the reports, the Board noted that the majority of the Nuveen funds were at, close to or below their Peer Group or Peer Universe (if no separate Peer Group) average based on the net total expense ratio.
The Independent Board Members observed that the Global Fund, the Intermediate Government Fund, the Short Term Fund and the Strategic Income Fund had net management fees and net expense ratios (including fee waivers and expense reimbursements) below or in line with their peer averages. In addition, they noted that the Core Bond Fund, the Inflation Protected Fund and the High Income Fund had slightly higher or higher net management fees than their peer average, but a net expense ratio below or in line with the peer average, while the Core Plus Fund had a higher net management fee than its peer average and a slightly higher net expense ratio compared to its peer average. For the Core Plus Fund, however, the Board recognized that the management fee was reduced effective in May 2012 and was not fully reflected in the expense data.
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 Board recognized that all Nuveen funds have a sub-advisor (which, in the case of the Funds, is an affiliated sub-advisor), and therefore, the overall fund management fee can be divided into two components, the fee retained by the Advisor and the fee paid to the sub-advisor. In general terms, the fee to the Advisor reflects the administrative services it provides to support the funds, and while some administrative services may occur at the sub-advisor level, the fee generally reflects the portfolio management services provided by the sub-advisor. The Independent Board Members reviewed information regarding the nature of services provided by the Advisor, including through the Sub-Advisor, and the range of fees and average fee the Sub-Advisor assessed for such services to other clients. Such other 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. Many of the additional administrative services provided by the Advisor are not required for institutional clients. The Independent Board Members further noted that the management fee rates of the foreign funds advised by the Advisor may vary due to, among other things, differences in the client base, governing bodies, operational complexities and services covered by the management fee. Given the inherent differences in the various products, particularly the extensive services provided to the Funds, the Independent Board Members believe such facts justify the different levels of fees.
3. Profitability of Fund Advisers
In conjunction with their review of fees, the Independent Board Members also considered the profitability of Nuveen for its advisory activities and its financial condition. The Independent Board Members reviewed the revenues and expenses of Nuveen’s advisory activities for the last two calendar 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 2012. 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 have an Independent Board Member serve as a point person to review and keep them apprised of changes to the profitability analysis and/or methodologies during the year. The Independent Board Members also considered Nuveen’s revenues for advisory activities, expenses, and profit margin compared to that of various unaffiliated management firms with comparable assets under management (based on asset size and asset composition).
In reviewing profitability, the Independent Board Members recognized the Advisor’s continued investment in its business to enhance its services, including capital improvements to investment technology, updated compliance systems, and additional personnel. In addition, in evaluating profitability, the Independent Board Members also recognized the subjective nature of determining profitability which may be affected by numerous factors including the allocation of expenses and that various allocation methodologies may each be reasonable but yield different results. 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. Based on their review, the Independent Board Members concluded that the Advisor’s level of profitability for its advisory activities was reasonable in light of the services provided.
With respect to sub-advisors affiliated with Nuveen, including the Sub-Advisor, the Independent Board Members reviewed the sub-advisor’s revenues, expenses and profitability margins (pre- and post-tax) for its advisory activities and the methodology used for allocating expenses among the internal sub-advisors. Based on their review, the Independent Board Members were satisfied that the Sub-Advisor’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 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. 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 breakpoints in the advisory fee schedules that reduce advisory fees as asset levels increase.
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. In addition, with the acquisition of the funds previously advised by FAF Advisors, Inc. at the end of 2010, the Board noted that a portion of such funds’ assets at the time of acquisition were deemed eligible to be included in the complex-wide fee calculation in order to deliver fee savings to shareholders in the combined complex and such funds were subject to differing complex-level fee rates.
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, among other things, any sales charges, distribution fees and shareholder services fees received and retained by the Funds’ principal underwriter, an affiliate of the Advisor, which includes fees received pursuant to any 12b-1 plan. The Independent Board Members, therefore, considered the 12b-1 fees retained by Nuveen during the last calendar year.
In addition to the above, the Independent Board Members considered whether the Fund Advisers 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. The Funds’ portfolio transactions are determined by the Sub-Advisor. Accordingly, the Independent Board Members considered that the Sub-Advisor may benefit from its soft dollar arrangements pursuant to which it receives research from brokers that execute the Funds’ portfolio transactions. With respect to fixed income securities, however, the Board recognized that such securities generally trade on a principal basis that does not generate soft dollar credits. Nevertheless, the Sub-Advisor may also engage in soft dollar arrangements on behalf of other clients, and the Funds as well as the Sub-Advisor may benefit from the research or other services received. Similarly, the Board recognized that the research received pursuant to soft dollar arrangements by the Sub-Advisor may also benefit a Fund and shareholders to the extent the research enhances the ability of the Sub-Advisor to manage the Fund. The Independent Board Members noted that the Sub-Advisor’s profitability may be somewhat lower if it did not receive the research services pursuant to the soft dollar arrangements and had to acquire such services directly.
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 the Funds were reasonable and within acceptable parameters.
Annual Investment Management Agreement Approval Process
(Unaudited) (continued)
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 each Advisory Agreement 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 Advisory Agreements be renewed.
Glossary of Terms Used in this Report
Asset-Backed Securities (ABS): Securities whose value and income payments are derived from and collateralized by a specific pool of underlying assets. The pool of assets typically is a group of small and/or illiquid assets that may be difficult to sell individually. The underlying pools of asset-backed securities often include payments from credit cards, auto loans or mortgage loans.
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 offer price and reinvested dividends and capital gains distributions, if any) over the time period being considered.
Barclays Aggregate Bond Index: 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 out-standing par values of $150 million or more. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays Global Aggregate Unhedged Bond Index: An index that provides a broad-based measure of the global investment-grade fixed-rate debt markets. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays High Yield 2% Issuer Capped Index: An issuer-constrained version of the U.S. Corporate High-Yield Index that covers the U.S. dollar denominated, non-investment grade, fixed-rate, taxable corporate bond market. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays Intermediate Government Bond Index: An unmanaged index that includes all publicly issued, U.S. Treasury securities that have a remaining maturity of greater than or equal to 1 year and less than 10 years, are rated investment grade, and have $250 million or more of outstanding face value. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays Intermediate Government/Credit Bond Index: An unmanaged index that measures the performance of U.S. dollar denominated U.S. Treasuries, government-rated and investment grade U.S. corporate fixed-rate, non-convertible securities having $250 million or more of outstanding face value and a remaining maturity of greater than or equal to 1 year and less than 10 years. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays U.S. Corporative Investment Grade Bond Index: An unmanaged index considered representative of publicly issued, fixed-rate, nonconvertible, investment-grade debt securities. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays U.S. TIPs Index: An unmanaged index that includes all publicly issued, U.S. Treasury inflation-protected securities that have at least one year remaining to maturity, are rated investment grade, and have $250 million or more of outstanding face value. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Barclays 1-3 Year Government/Credit Bond Index: An unmanaged index that includes all medium and larger issues of U.S. government, investment-grade corporate, and investment-grade international dollar-denominated bonds that have maturities of between 1 and 3 years and are publicly issued. Index returns assume reinvestment of distributions, but do not include the effects of any applicable sales charges or management fees.
Commercial Mortgage-Backed Securities (CMBS): Commercial mortgage-backed securities are backed by cash flows of a mortgage or pool of mortgages on commercial real estate. CMBS generally are structured to provide protection to the senior class investors against potential losses on the underlying mortgage loans. CMBS are typically characterized by the following: i) loans on multi-family housing, non-residential property, ii) payments based on the amortization schedule of 25-30 years with a balloon payment due usually after 10 years, and iii) restrictions on prepayments.
Duration: Duration is a measure of the expected period over which a bond’s principal and interest will be paid, and consequently is a measure of the sensitivity of a bond’s or bond Fund’s value to changes when market interest rates change. Generally, the longer a bond’s or Fund’s duration, the more the price of the bond or Fund will change as interest rates change.
Lipper High Yield Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper High Yield Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of dividends, but do not reflect any applicable sales charge.
Lipper Intermediate Investment Grade Debt Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Intermediate Investment Grade Debt Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper Intermediate U.S. Government Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Intermediate U.S. Government Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper Global Income Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Global Income Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper Multi-Sector Income Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Multi-Sector Income Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper Short Investment Grade Debt Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Short Investment Grade Debt Funds Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper Inflation-Protected Bond Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Inflation-Protected Bond Funds Classification. The Lipper returns account for the effects of management fees and assume reinvestment of dividends, but do not reflect any applicable sales charge.
Mortgage-Backed Securities (MBS): Mortgage-backed securities (MBS) are bonds backed by pools of mortgages, usually with similar characteristics, and which return principal and interest in each payment. MBS are composed of residential mortgages (RMBS) or commercial mortgages (CMBS). RMBS are further divided into agency RMBS and non-agency RMBS, depending on the issuer.
Glossary of Terms Used in this Report (continued)
Net Asset Value (NAV): The net market value of all securities held in a portfolio.
Net Asset Value (NAV) Per Share: The market value of one share of a mutual fund or closed-end fund. For a Fund, the NAV is calculated daily by taking the Fund’s total assets (securities, cash, and accrued earnings), subtracting the Fund’s liabilities, and dividing by the number of shares outstanding.
Residential Mortgage-Backed Securities (RMBS): Residential mortgage-backed securities are securities the payments on which depend primarily on the cash flow from residential mortgage loans made to borrowers that are secured by residential real estate. RMBS consist of agency and non-agency RMBS. Agency RMBS have agency guarantees that assure investors that they will receive timely payment of interest and principal, regardless of delinquency or default rates on the underlying loans. Agency RMBS include securities issued by the Government National Mortgage Association, the
Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation, and other federal agencies, or issues guaranteed by them. Non-agency RMBS do not have agency guarantees. Non-agency RMBS have credit enhancement built into the structure to shield investors from borrower delinquencies. The spectrum of non-agency residential mortgage loans includes traditional jumbo loans (prime), alternative-A loans (Alt-A), and home equity loans (sub-prime).
Tax Equalization: The practice of treating a portion of the distribution made to a redeeming shareholder, which represents his proportionate part of undistributed net investment income and capital gain as a distribution for tax purposes. Such amounts are referred to as the equalization debits (or payments) and will be considered a distribution to the shareholder of net investment income and capital gain for calculation of the Fund’s dividends paid deduction.
Additional Fund Information
Fund Manager
Nuveen Fund Advisors, LLC
333 West Wacker Drive
Chicago, IL 60606
Sub-Adviser
Nuveen Asset Management, LLC
333 West Wacker Drive
Chicago, IL 60606
Legal Counsel
Chapman and Cutler LLP
Chicago, IL
Independent Registered Public Accounting Firm
PricewaterhouseCoopers LLP
Chicago, IL
Custodian
State Street Bank & Trust Company
Boston, MA
U.S. Bank National Association
Milwaukee, WI
Transfer Agent and Shareholder Services
Boston Financial
Data Services
Nuveen Investor Services
P.O. Box 8530
Boston, MA 02266-8530
(800) 257-8787
Distribution Information: The following Fund hereby designates its percentages of dividends paid from net ordinary income as dividends qualifying for the 70% dividends received deduction (“DRD”) for corporations and its percentages 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.
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| Fund | | % of DRD | | | % of QDI | |
High Income Bond | | | 3.00 | % | | | 3.00 | % |
The following federal income tax information is provided with respect to the Funds’ distributions paid during the taxable year ended June 30, 2013: Nuveen Core Bond Fund, Nuveen Core Plus Bond Fund, Nuveen Global Total Return Bond Fund, Nuveen High Income Bond Fund, Nuveen Inflation Protected Securities Fund, Nuveen Intermediate Government Bond Fund, Nuveen Short Term Bond Fund and Nuveen Strategic Income Fund hereby designate approximately 89.33%, 93.48%, 36.53%, 68.71%, 100.00%, 100.00%, 100.00% and 100.00%, respectively, (or the maximum amount eligible) of ordinary income distributions as Interest-Related Dividends as defined in Internal Revenue Code Section 871(k) for the taxable year ended June 30, 2013.
Quarterly Form N-Q Portfolio of Investments Information
Each Fund is required to file its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-Q. You may obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov or in person at the SEC’s Public Reference Room in Washington, D.C. Call the SEC toll-free at (800) SEC -0330 for room hours and operation.
Nuveen Funds’ Proxy Voting Information
You may obtain (i) information regarding how each fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen’s website at www.nuveen.com and (ii) a description of the policies and procedures that each fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov.
The Financial Industry Regulatory Authority (FINRA) provides a Public Disclosure Program which supplies certain information regarding the disciplinary history of FINRA members and their associated persons in response to either telephone inquiries at (800) 289-9999 or written inquiries at www.finra.org. FINRA also provides an investor brochure that includes information describing the Public Disclosure Program.
Nuveen Investments:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied on Nuveen Investments to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality equity and fixed-income solutions designed to be integral components of a well-diversified core portfolio.
Focused on meeting investor needs.
Nuveen Investments provides high-quality investment services designed to help secure the longterm goals of institutional and individual investors as well as the consultants and financial advisors who serve them. Nuveen Investments markets a wide range of specialized investment solutions which provide investors access to capabilities of its high-quality boutique investment affiliates-Nuveen Asset Management, Symphony Asset Management, NWQ Investment Management Company, Santa Barbara Asset Management, Tradewinds Global Investors, Winslow Capital Management, and Gresham Investment Management. In total, Nuveen Investments managed approximately $216 billion as of June 30, 2013.
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/mf
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Distributed by Nuveen Securities, LLC 333 West Wacker Drive Chicago, IL 60606 www.nuveen.com | | |
MAN-FINC-0613D
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/MutualFunds/ShareholderResources/FundGovernance.aspx. (To view the code, click on Code of Conduct.)
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The registrant’s Board of Trustees determined that the registrant has at least one “audit committee financial expert” (as defined in Item 3 of Form N-CSR) serving on its Audit Committee. The registrant’s audit committee financial 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.
The following tables show the amount of fees that PricewaterhouseCoopers LLP, the Trust’s auditor, billed to the Trust during the Trust’s last two full fiscal years. The Audit Committee approved in advance all audit services and non-audit services that PricewaterhouseCoopers LLP provided to the Trust, except for those non-audit services that were subject to the pre-approval exception under Rule 2-01 of Regulation S-X (the “pre-approval exception”). The preapproval exception for services provided directly to the Trust 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 Trust during the fiscal year in which the services are provided; (B) the Trust 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 TRUST’S AUDITOR BILLED TO THE TRUST
| | | | | | | | | | | | | | | | |
Fiscal Year Ended June 30, 2013 | | Audit Fees Billed
to Funds 1 | | | Audit-Related Fees
Billed to Funds 2 | | | Tax Fees
Billed to Funds 3 | | | All Other Fees Billed
to Funds 4 | |
Fund Name | | | | | | | | | | | | | | | | |
Nuveen Core Plus Bond Fund | | | 39,707 | | | | 0 | | | | 4,644 | | | | 0 | |
Nuveen High Income Bond Fund | | | 18,828 | | | | 5,450 | | | | 2,500 | | | | 0 | |
Nuveen Intermediate Government Bond Fund | | | 37,079 | | | | 0 | | | | 2,500 | | | | 0 | |
Nuveen Inflation Protected Securities Fund | | | 37,811 | | | | 0 | | | | 2,500 | | | | 0 | |
Nuveen Core Bond Fund | | | 39,059 | | | | 0 | | | | 2,500 | | | | 0 | |
Nuveen Short Term Bond Fund | | | 40,904 | | | | 5,450 | | | | 2,500 | | | | 0 | |
Nuveen Strategic Income Fund | | | 39,786 | | | | 5,450 | | | | 4,643 | | | | 0 | |
| | | | | | | | | | | | | | | | |
Total | | $ | 253,174 | | | $ | 16,350 | | | $ | 21,787 | | | $ | 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 that are not reported under “Audit Fees”. These fees include offerings related to the Fund’s common shares and leverage. |
| 3 | | “Tax Fees” are the aggregate fees billed for professional services for tax advice, tax compliance, and tax planning. These fees include: all global withholding tax services; excise and state tax reviews; capital gain, tax equalization and taxable basis calculations performed by the principal accountant. |
| 4 | | “All Other Fees” are the aggregate fees billed for products and services other than “Audit Fees”, “Audit-Related Fees” and “Tax Fees”. These fees represent all “Agreed-Upon Procedures” engagements pertaining to the Fund’s use of leverage. |
| | | | | | | | | | | | | | | | |
| | | Percentage Approved Pursuant to Pre-approval Exception | |
| | | Audit Fees Billed | | | Audit-Related Fees | | | Tax Fees | | | All Other Fees | |
| | | to Funds | | | Billed to Funds | | | Billed to Funds | | | Billed to Funds | |
Fund Name | | | | | | | | | | | | | | | | |
Nuveen Core Plus Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen High Income Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Intermediate Government Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Inflation Protected Securities Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Core Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Short Term Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Strategic Income Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
| | | | |
Fiscal Year Ended June 30, 2012 | | Audit Fees Billed
to Funds 1 | | | Audit-Related Fees
Billed to Funds 2 | | | Tax Fees
Billed to Funds 3 | | | All Other Fees
Billed to Funds 4 | |
Fund Name | | | | | | | | | | | | | | | | |
Nuveen Core Plus Bond Fund | | | 38,841 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen High Income Bond Fund | | | 17,335 | | | | 1,667 | | | | 1,500 | | | | 0 | |
Nuveen Intermediate Government Bond Fund | | | 35,235 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Inflation Protected Securities Fund | | | 35,617 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Core Bond Fund | | | 37,792 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Short Term Bond Fund | | | 38,557 | | | | 1,667 | | | | 0 | | | | 0 | |
Nuveen Strategic Income Fund | | | 38,110 | | | | 1,667 | | | | 0 | | | | 0 | |
| | | | | | | | | | | | | | | | |
Total | | $ | 241,487 | | | $ | 5,001 | | | $ | 1,500 | | | $ | 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 that are not reported under “Audit Fees”. These fees include offerings related to the Fund’s common shares and leverage. |
| 3 | | “Tax Fees” are the aggregate fees billed for professional services for tax advice, tax compliance, and tax planning. These fees include: all global withholding tax services; excise and state tax reviews; capital gain, tax equalization and taxable basis calculations performed by the principal accountant. |
| 4 | | “All Other Fees” are the aggregate fees billed for products and services other than “Audit Fees”, “Audit-Related Fees” and “Tax Fees”. These fees represent all “Agreed-Upon Procedures” engagements pertaining to the Fund’s use of leverage. |
| | | | | | | | | | | | | | | | |
| | | Percentage Approved Pursuant to Pre-approval Exception | |
| | | Audit Fees Billed | | | Audit-Related Fees | | | Tax Fees | | | All Other Fees | |
| | | to Funds | | | Billed to Funds | | | Billed to Funds | | | Billed to Funds | |
Fund Name | | | | | | | | | | | | | | | | |
Nuveen Core Plus Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen High Income Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Intermediate Government Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Inflation Protected Securities Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Core Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Short Term Bond Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
Nuveen Strategic Income Fund | | | 0 | % | | | 0 | % | | | 0 | % | | | 0 | % |
| | | | | | | | | | | | |
| | | Audit-Related Fees | | | Tax Fees Billed to | | | All Other Fees | |
| | | Billed to Adviser and | | | Adviser and | | | Billed to Adviser | |
Fiscal Year Ended June 30, 2013 | | Affiliated Fund
Service Providers | | | Affiliated Fund
Service Providers | | | and Affiliated Fund
Service Providers | |
Nuveen Investment Funds, Inc. | | $ | 0 | | | $ | 0 | | | $ | 0 | |
| |
| | | Percentage Approved Pursuant to Pre-approval Exception | |
| | | 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 | |
| | | Service Providers | | | Service Providers | | | Service Providers | |
| | | 0 | % | | | 0 | % | | | 0 | % |
| | | |
| | | Audit-Related Fees | | | Tax Fees Billed to | | | All Other Fees | |
| | | Billed to Adviser and | | | Adviser and | | | Billed to Adviser | |
Fiscal Year Ended June 30, 2012 | | Affiliated Fund
Service Providers | | | Affiliated Fund
Service Providers | | | and Affiliated Fund
Service Providers | |
Nuveen Investment Funds, Inc. | | $ | 0 | | | $ | 0 | | | $ | 0 | |
| |
| | | Percentage Approved Pursuant to Pre-approval Exception | |
| | | 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 | |
| | | Service Providers | | | Service Providers | | | Service Providers | |
| | | 0 | % | | | 0 | % | | | 0 | % |
| | | | | | | | | | | | | | | | |
| | | | | | 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 | | | | |
Fiscal Year Ended June 30, 2013 | | Total Non-Audit Fees
Billed to Trust | | | operations and financial
reporting of the Trust) | | | Providers (all other
engagements) | | | Total | |
Fund Name | | | | | | | | | | | | | | | | |
Nuveen Core Plus Bond Fund | | | 4,644 | | | | 0 | | | | 0 | | | | 4,644 | |
Nuveen High Income Bond Fund | | | 2,500 | | | | 0 | | | | 0 | | | | 2,500 | |
Nuveen Intermediate Government Bond Fund | | | 2,500 | | | | 0 | | | | 0 | | | | 2,500 | |
Nuveen Inflation Protected Securities Fund | | | 2,500 | | | | 0 | | | | 0 | | | | 2,500 | |
Nuveen Core Bond Fund | | | 2,500 | | | | 0 | | | | 0 | | | | 2,500 | |
Nuveen Short Term Bond Fund | | | 2,500 | | | | 0 | | | | 0 | | | | 2,500 | |
Nuveen Strategic Income Fund | | | 4,643 | | | | 0 | | | | 0 | | | | 4,643 | |
| | | | | | | | | | | | | | | | |
Total | | $ | 21,787 | | | $ | 0 | | | $ | 0 | | | $ | 21,787 | |
“Non-Audit Fees billed to Fund” for both fiscal year ends represent “Tax Fees” and “All Other Fees” billed to Fund in their respective amounts from the previous table.
Less than 50 percent of the hours expended on the principal accountant’s engagement to audit the registrant’s financial statements for the most recent fiscal year were attributed to work performed by persons other than the principal accountant’s full-time, permanent employees.
| | | | | | | | | | | | | | | | |
| | | | | | 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 | | | | |
Fiscal Year Ended June 30, 2012 | | Total Non-Audit Fees
Billed to Trust | | | operations and financial
reporting of the Trust) | | | Providers (all other
engagements) | | | Total | |
Fund Name | | | | | | | | | | | | | | | | |
Nuveen Core Plus Bond Fund | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen High Income Bond Fund | | | 1,500 | | | | 0 | | | | 0 | | | | 1,500 | |
Nuveen Intermediate Government Bond Fund | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Inflation Protected Securities Fund | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Core Bond Fund | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Short Term Bond Fund | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
Nuveen Strategic Income Fund | | | 0 | | | | 0 | | | | 0 | | | | 0 | |
| | | | | | | | | | | | | | | | |
Total | | $ | 1,500 | | | $ | 0 | | | $ | 0 | | | $ | 1,500 | |
“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 Trust by the Trust’s independent accountants and (ii) all audit and non-audit services to be performed by the Trust’s independent accountants for the Affiliated Fund Service Providers with respect to the operations and financial reporting of the Trust. Regarding tax and research projects conducted by the independent accountants for the Trust and Affiliated Fund Service Providers (with respect to operations and financial reports of the Trust), 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.
Not applicable to this registrant.
ITEM 6. SCHEDULE OF INVESTMENTS.
| a) | | See Portfolio of Investments in Item 1. |
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this registrant.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this registrant.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
Not applicable to this registrant.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees implemented after the registrant last provided disclosure in response to this Item.
ITEM 11. CONTROLS AND PROCEDURES.
| | (a) | | The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
| | (b) | | There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form.
| | |
| (a)(1) | | Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: Not applicable because the code is posted on registrant’s website at www.nuveen.com/MutualFunds/ShareholderResources/FundGovernance.aspx and there were no amendments during the period covered by this report. (To view the code, click on Code of Conduct.) |
| |
| (a)(2) | | A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: See EX-99.CERT attached hereto. |
| |
| (a)(3) | | Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons: Not applicable to this registrant. |
| |
| (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 registration specifically incorporates it by reference: See EX-99.906 CERT attached hereto. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Investment Funds, Inc.
| | |
| |
By (Signature and Title) | | /s/ Kevin J. McCarthy |
| | Kevin J. McCarthy |
| | Vice President and Secretary |
Date: September 5, 2013
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: September 5, 2013
| | |
| |
| By (Signature and Title) | | /s/ Stephen D. Foy |
| | Stephen D. Foy |
| | Vice President and Controller |
| | (principal financial officer) |
Date: September 5, 2013
