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)
Kathleen L. Prudhomme
Vice President and Secretary
901 Marquette Avenue, Minneapolis, Minnesota 55402
(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: December 31, 2016
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and 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.
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Mutual Funds |
Nuveen Income Funds |
| Semi-Annual Report December 31, 2016 |
Share Class / Ticker Symbol | ||||||||||||||||
Fund Name | Class A | Class C | Class R3 | Class R6 | Class I | |||||||||||
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Nuveen Core Bond Fund | FAIIX | NTIBX | — | NTIFX | FINIX | |||||||||||
Nuveen Core Plus Bond Fund | FAFIX | FFAIX | FFISX | FPCFX | FFIIX | |||||||||||
Nuveen High Income Bond Fund | FJSIX | FCSIX | FANSX | — | FJSYX | |||||||||||
Nuveen Inflation Protected Securities Fund | FAIPX | FCIPX | FRIPX | FISFX | FYIPX | |||||||||||
Nuveen Intermediate Government Bond Fund | FIGAX | FYGCX | FYGRX | — | FYGYX | |||||||||||
Nuveen Short Term Bond Fund | FALTX | FBSCX | NSSRX | NSSFX | FLTIX | |||||||||||
Nuveen Strategic Income Fund | FCDDX | FCBCX | FABSX | FSFRX | FCBYX |
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NUVEEN | 3 |
to Shareholders
Dear Shareholders,
The past year saw a striking shift in the markets’ tone. The start of 2016 was beset by China’s economic woes, growing recession fears in the U.S. and oil prices sinking to lows not seen in more than a decade. World stock markets plunged, while bonds and other safe-haven assets rallied. But, by the end of the year, optimism had taken root. Economic outlooks were more upbeat, commodity prices stabilized, equity markets rebounded and bonds retreated. Despite the initial shocks of the Brexit referendum in the U.K. and Donald Trump’s win in the U.S. presidential election, and the uncertainties posed by the implications of these votes, sentiment continued to swing toward the positive as 2016 ended.
In between the year’s turbulent start and exuberant end, markets were soothed by improving economic data out of China, as the government’s stimulus measures appeared to be working, and a recovery in the energy and commodity-related sectors. The U.S. Federal Reserve backed off its more aggressive projections from the beginning of the year, only raising the fed funds rate once during the year, in December. The central banks in Europe and Japan maintained their accommodative stances. Global economic growth remained lackluster overall, as the pace of U.S. growth remained consistently mediocre. China appeared to moderate its slowdown and low growth in Europe and Japan persisted.
Will 2017 be the year of accelerating global growth and rising inflation that the markets are expecting? President Trump’s business-friendly, pro-growth agenda has been well received by the markets, but the policy details and the timeline have yet to take shape. Furthermore, there could be potential downside risks if “Trumponomics” were to trigger a steeper rise in inflation or a trade war. Outside the U.S., political dynamics in Europe are also in flux this year, with Brexit negotiations ongoing and elections in Germany, France and the Netherlands, and possibly a snap election in Italy.
Given the slate of policy unknowns and the range of possible outcomes, we believe volatility will remain a fixture this year. In this environment, Nuveen remains committed to both managing downside risks and seeking upside potential. If you’re concerned about how resilient your investment portfolio might be, we encourage you to talk to your financial advisor. On behalf of the other members of the Nuveen Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
Sincerely,
William J. Schneider
Chairman of the Board
February 23, 2017
4 | NUVEEN |
Comments
These Funds feature portfolio management by Nuveen Asset Management, LLC, an affiliate of Nuveen, LLC. In this report, the various portfolio management teams for the Funds discuss key investment strategies and the Funds’ performance for the six-month reporting period ended December 31, 2016. These management teams include:
Nuveen Core Bond Fund
Jeffrey J. Ebert, Wan-Chong Kung, CFA, Chris J. Neuharth and Jason J. O’Brien, CFA, have been part of the management team for the Fund since 2000, 2002, 2012 and 2016, respectively.
Nuveen Core Plus Bond Fund
Timothy A. Palmer, CFA, has managed the Fund since 2003. Wan-Chong Kung, CFA, Jeffrey J. Ebert and Chris J. Neuharth joined the Fund as portfolio managers in 2001, 2005 and 2006, respectively. Douglas M. Baker, CFA, joined the Fund as portfolio manager in 2016.
Nuveen High Income Bond Fund
John T. Fruit, CFA, has managed the Fund since 2006. Jeffrey T. 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 W. Kemper joined the Fund as a portfolio manager in 2010.
Nuveen Intermediate Government Bond Fund
Wan-Chong Kung, CFA, has managed the Fund since 2002. Chris J. Neuharth and Jason J. O’Brien, CFA, have been on the Fund’s management team since 2009.
Nuveen Short Term Bond Fund
Chris J. Neuharth and Peter L. Agrimson, CFA, have been on the management team since 2004 and 2010, respectively. Jason J. O’Brien, CFA, and Mackenzie S. Meyer joined the Fund in 2016.
Nuveen Strategic Income Fund
Timothy A. Palmer, CFA, has managed the Fund since 2005. Jeffrey J. Ebert, Marie A. Newcome, CFA, and Douglas M. Baker, CFA, joined the Fund as co-portfolio managers in 2000, 2011 and 2016, respectively.
Certain statements in this report are forward-looking statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio managers as of the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements and the views expressed herein are subject to change at any time, due to numerous market and other factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s (S&P), Moody’s Investors Service, Inc. (Moody’s) or Fitch, Inc. (Fitch). This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; 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.
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
NUVEEN | 5 |
Portfolio Managers’ Comments (continued)
What strategies were used to manage the Funds during the six-month reporting period and 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 use 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. During the reporting period, the Funds were generally positioned for an environment of continued moderate economic growth. Nonetheless, during the reporting 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
The Fund’s Class A Shares at net asset value (NAV) underperformed the Bloomberg Barclays U.S. Aggregate Bond Index and the Lipper Core Bond Classification Average for the six-month reporting period. The U.S. economy showed continued strength during the reporting period and consumer confidence hit a 15-year high, according to the Conference Board’s Consumer Confidence Index. A number of factors contributed to the sense of optimism, including higher gross domestic product (GDP) figures, an improved manufacturing outlook, falling unemployment, rising wages and Donald Trump’s surprise victory in the November presidential election. Investors anticipated that his business-friendly policies, including tax cuts, fewer regulations and increased infrastructure spending would further boost economic growth and increase company profits. The Federal Reserve (Fed) opted to leave interest rates unchanged at its July and September 2016 meetings given macro uncertainties and a benign inflation environment, but as widely expected, raised rates by 0.25% at the December 2016 meeting, citing improving labor market and inflation conditions. More importantly, the Fed signaled the likelihood for two more rate hikes in 2017, while remaining accommodative and sensitive to any adverse shocks. Oil prices ended 2016 with their largest annual gain since 2009, supported by an agreement by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply.
Treasury rates rose dramatically, mostly in the second half of the reporting period as investors braced for strong fiscal stimulus and factored in a higher risk of inflation, while remaining concerned about the possibility of reduced accommodation by global central banks. Ten-year Treasury rates rose by nearly 1% during the reporting period, while shorter-term rates rose around 25 basis points, causing the Treasury yield curve to steepen. Around the world, accommodative monetary policy kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income. That technical underpinning, combined with the improved economic outlook and strong fundamentals, led corporate bonds to outperform during the reporting period, despite record issuance driven by mergers and acquisitions.
In the securitized sectors, agency mortgage-backed securities (MBS) performed well earlier in the reporting period due to continued bank and foreign purchases of the securities, the range-bound rate environment and lower levels of volatility. However, the sharp rise in interest rates and volatility in the final months of the reporting period proved to be a difficult environment for these securities. During the six-month reporting period, agency MBS managed to post a modest positive excess return versus duration-matched Treasuries. Despite high levels of issuance, particularly toward the end of the reporting period, the commercial mortgage-backed securities (CMBS) sector performed well in the risk-on environment, finishing the reporting period with positive excess returns versus Treasuries. Traditional consumer asset-backed securities (ABS) also modestly outperformed versus Treasuries for the reporting period.
Sharply rising interest rates were a headwind for the Fund’s performance relative to its benchmark and peers. More specifically, we had the Fund positioned to benefit from a flatter Treasury yield curve at the time of the election. We did this by overweighting securities in the 10-year and 30-year portions of the yield curve, while underweighting securities with maturities of five years and under. However, the election’s surprising results sparked a sharp increase in rates and a dramatic steepening of the curve, with intermediate and long-term rates rising more than short-term rates. Although we shifted to a bias for a steeper yield curve as we neared the end of the reporting period, we did not make the move quickly enough. As a result, our yield curve positioning detracted the most from the Fund’s results. We also tactically traded the Fund’s duration, or interest rate sensitivity, throughout the reporting period. In aggregate, these duration moves detracted from the Fund’s performance.
6 | NUVEEN |
In aggregate, our exposures in securitized sectors also slightly detracted from performance. The Fund’s general underweight to agency MBS was a slight drag on results because the sector produced excess returns. At the same time, the Fund’s overweight to 30-year MBS also detracted because longer maturity MBS underperformed the rest of the segment later in the reporting period. However, our exposure to the CMBS sector was modestly beneficial, especially our overweight to securities rated below AAA because lower rated investment grade securities in this sector outperformed. The Fund’s overweight position in the ABS sector was not a meaningful driver of performance during the reporting period.
On the other hand, the Fund’s sector positioning had a positive impact on performance, with particularly favorable results coming from an overweight to investment-grade credit throughout the reporting period. Within corporates, our overweight to BBB rated credit added to results due to the excess return this segment provided versus higher rated segments of the investment grade market. Also, our overweights to financials and industrials within investment grade credit generated excess returns. In addition, we made a small tactical purchase of long-maturity municipal bonds when they were at their widest spreads of the reporting period in December, which was modestly beneficial to the Fund’s performance.
Despite the high levels of rate volatility we saw after the election, we maintained the Fund’s key strategic themes. We continued to expect U.S. and global growth to remain on track, although slow, accompanied by contained inflation and supportive financial conditions. In this environment, we remained focused on generating above-market income for the Fund by investing primarily in securities from the investment grade corporate and securitized sectors, with an emphasis on individual security selection.
We tactically traded both interest rates and the yield curve during the reporting period. Due to changing market sentiment on the heels of the U.S. presidential election and the December 2016 Fed meeting, we shifted the portfolio to a shorter duration versus its benchmark. We also repositioned the portfolio to benefit from a steeper yield curve. Two federal funds rate hikes in 2017 are now the market consensus.
Also, due to the firming of valuations in the corporate credit segment, we modestly reduced the Fund’s exposure later in the reporting period. We added long-maturity tax-free municipals after that sector cheapened based on noise surrounding potential changes to the tax advantages of municipal securities under the Trump administration. We also added slightly to the Fund’s ABS exposure based on bottom-up security ideas that were inexpensive relative to other asset classes.
At the end of the reporting period, the backdrop remained favorable for investment grade credit. We believe the prospects for credit friendly government policy and investors’ continued quest for yield should keep spreads firm. Although we modestly reduced the Fund’s credit exposure after the bout of strength during the reporting period, we believe our outlook still warrants an overweight in this segment versus the benchmark. Within investment grade, we have maintained our overweight to financials based on the prospects for a steeper Treasury yield curve and a more favorable regulatory environment. However, with the increased volatility surrounding the move higher in interest rates, agency MBS could struggle. Faster U.S. economic growth could cause the Fed to end its MBS reinvestment program sooner, although at the end of the reporting period, the market did not appear to be pricing in this factor. Therefore, we remain underweight in agency MBS and have passively let the Fund’s weighting drift lower due to pay downs.
In addition, we continued to utilize various derivative instruments in the Fund during the reporting period. We used U.S. Treasury note and bond futures as part of an overall construction strategy to manage the Fund’s duration and yield curve exposure. These derivative positions contributed positively to the Fund’s performance during the reporting period.
Nuveen Core Plus Bond Fund
The Fund’s Class A Shares at net asset value (NAV) outperformed both the Bloomberg Barclays U.S. Aggregate Bond Index and the Lipper Core Plus Classification Average for the six-month reporting period. The U.S. economy showed continued strength during the reporting period and consumer confidence hit a 15-year high, according to the Conference Board’s Consumer Confidence Index. A number of factors contributed to the sense of optimism, including higher gross domestic product (GDP) figures, an improved manufacturing outlook, falling unemployment, rising wages and Donald Trump’s surprise victory in the November presidential election. Investors anticipated that his business-friendly policies, including tax cuts, fewer regulations and increased infrastructure spending would further boost economic growth and increase company profits. The Federal Reserve (Fed) opted to leave interest rates unchanged at its July and September 2016 meetings given macro uncertainties and a benign inflation environment, but as widely
NUVEEN | 7 |
Portfolio Managers’ Comments (continued)
expected, raised rates by 0.25% at the December 2016 meeting, citing improving labor market and inflation conditions. More importantly, the Fed signaled the likelihood for two more rate hikes in 2017, while remaining accommodative and sensitive to any adverse shocks. Oil prices ended 2016 with their largest annual gain since 2009, supported by an agreement by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply.
Treasury rates rose dramatically, mostly in the second half of the reporting period as investors braced for strong fiscal stimulus and factored in a higher risk of inflation, while remaining concerned about the possibility of reduced accommodation by global central banks. Ten-year Treasury rates rose by nearly 1% during the reporting period, while shorter-term rates rose around 25 basis points, causing the Treasury yield curve to steepen. Around the world, accommodative monetary policy kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income. That technical underpinning, combined with the improved economic outlook and strong fundamentals, led high yield and investment grade corporate bonds to perform strongly during the reporting period, despite record issuance driven by mergers and acquisitions.
The sectors provided excess returns over Treasuries, with lower rated securities in both segments performing the best. High yield bonds in particular enjoyed strong performance during the reporting period helped along by the continued accommodative Fed policy, which in turn drove more inflows into the market. The segment’s performance was even more impressive considering that high yield had its worst start to a year on record in the first six weeks of 2016. High yield spreads continued to compress during the reporting period, coming close to the tightest level that the market has seen during this credit cycle. The basic materials and energy sectors performed best, along with other cyclical sectors, which have bounced back sharply after the oil price collapse in 2014 and 2015. European and U.K. credit rallied strongly during the first few months of the reporting period after Brexit uncertainty faded, but then underperformed the U.S. later in the reporting period, given firmer initial valuations and global volatility.
In the securitized sectors, agency mortgage-backed securities (MBS) performed well earlier in the reporting period due to continued bank and foreign purchases of the securities, the range-bound rate environment and lower levels of volatility. However, the sharp rise in interest rates and volatility in the final months of the reporting period proved to be a difficult environment for these securities. During the six-month reporting period the agency MBS segment was able to outperform duration-matched Treasuries. Despite high levels of issuance, particularly toward the end of the reporting period, the commercial mortgage-backed securities (CMBS) sector performed well in the risk-on environment, finishing the reporting period with positive excess returns versus Treasuries. Traditional consumer asset-backed securities (ABS) also modestly outperformed versus Treasuries for the reporting period.
Emerging market (EM) debt performed well with the segment benefiting from firming risk sentiment, higher commodity prices, moderately positive economic data across many of the markets and large investor flows into the asset class in search of yield. In addition, ongoing fiscal stimulus in China and continued benign central bank policies remained constructive for EM assets. EM currencies declined in the broad-based dollar rally, with U.S. trade and protectionist pressures hitting the Mexican peso and ongoing domestic pressures hindering the Turkish lira. Russia and South Africa were exceptions, with the ruble gaining on better oil prices.
Global rates remained low for the first few months of the reporting period following a sharp drop in the wake of the U.K. referendum vote. The European Central Bank put fear into the market by taking its time with extending quantitative easing (QE) measures. The Bank of Japan shifted to more flexible QE, showing sensitivity to plunging long-term interest rates, which led the government to hint at possible fiscal measures. Yield curves flattened until late September 2016 when better economic data and concerns about central bank policy exhaustion drove a quick steepening sell-off in developed markets. Following the U.S. election, global yields sprinted higher due to increased expectations for fiscal stimulus and business spending. Increases in commodity prices and better economic data in developed and emerging markets contributed to higher rates and increased inflation expectations. The prospect for additional Fed rate hikes and an eventual reduction in extraordinary monetary stimulus globally also added to rate pressures. Overall during the reporting period, non-U.S. markets outperformed Treasuries as global spreads moved in their favor. The spread between Treasuries and German Bunds reached a new historical wide. Peripheral European spreads widened amid tensions, even as the European Central Bank extended QE until the end of 2017, but at a slightly lower level. The U.S. dollar strengthened by 3-6% versus most major currencies due to higher growth and rate differentials, while the Japanese yen declined by 12%.
Broadly speaking, the Fund’s outperformance versus its benchmarks was driven by the continued improvement in global economic conditions and a strong improvement in market risk sentiment, accompanied by flows into higher risk assets including credit. Specifically,
8 | NUVEEN |
both investment grade and high yield credit were significant contributors to performance during the reporting period, led by investment grade. The contribution from investment grade credit was split fairly evenly between our substantial overweight to the sector versus the benchmark and gains from security selection. In terms of security selection, the Fund’s exposure to cyclical credits and a meaningful position in bank preferred securities were the main contributors. Our substantial weighting in BBB rated securities also added as quality spreads contracted amid a strengthening economy and investor optimism about growth. In addition, the Fund maintained an overweight to high yield corporates, which added significantly to performance, as did positive credit selection, particularly cyclical credits such as paper and chemicals. For much of the reporting period, the Fund was positioned near the top end of its high yield allocation range and benefited from the sector’s higher income and gains from tightening credit spreads. EM credit exposure was a modest contributor to the Fund’s results given the strong performance of our country specific selections, despite having a low weighting in the sector.
Currency positioning added to returns, owing to the strength in the U.S. dollar versus other major currencies. Our relatively small foreign bond positioning also had a modest positive impact on the Fund’s performance. The Fund’s overall interest rate positioning was a marginal drag on performance. Gains from our defensive duration stance were more than offset by shifts in the yield curve due to the sharp bond market sell-off during the reporting period.
Our strategy during the reporting period remained focused on generating above-market income from diversified sources, primarily corporate credit, with an emphasis on individual credit selection. Nonetheless, late in the reporting period, we reduced high yield and investment grade corporate exposure, given the strong performance of these sectors and because we reached valuation targets for some portfolio holdings. In addition, we further reduced high yield exposure by hedging a portion of our portfolio weight, given the rapid and meaningful rally in the segment and resulting valuations. This allows the Fund to remain exposed to performance from issue selection, while reducing sector risk and facilitating future Fund repositioning. We still believe the current economic, policy and market backdrop remains favorable for non-government, yield-oriented sectors, particularly corporate credit. Although valuations did move significantly higher during the reporting period, we expect to remain overweight to both investment grade and high yield credit. However, given current valuations, we will be more likely to vary our positioning to the sector, both higher and lower, based on upcoming developments in both valuations and fundamentals. Credit sectors are likely to continue to occasionally exhibit volatility; however, it will be particularly important to determine if these moves remain technical or portend a shift in underlying market conditions. Bottom-up security selection remains a critical focus at this point in the cycle, both for identifying value for investors as well as controlling risks, and will be a driver of our positioning.
We reinvested the proceeds from the corporate bond sales primarily into mortgages, given that sector’s recent underperformance and the Fund’s large underweight to the MBS sector. We also increased the Fund’s weight in the ABS sector and maintained an overweight in the CMBS sector. We continued to maintain the Fund’s significant underweight in Treasuries, given the relatively unattractive duration and yield profile of the sector.
Non-U.S. bond exposure remained quite low with only select market positions. Currency exposures, while very low in recent periods, were hedged at the end of the reporting period. We are remaining alert for economic shifts in key markets and are awaiting better fundamentals and catalysts for our investment themes before adding meaningfully to the Fund’s foreign positions. We are maintaining a bias toward a stronger U.S. dollar as rising interest rates and improving growth provide cyclical support.
We have maintained the Fund’s shorter duration versus the benchmark index and our portfolio is comprised of sectors we believe will have less sensitivity to increases in U.S. Treasury rates, given that we have a bias for higher yields in 2017. However, in light of the recent sharp rise in yields, further increases may be more moderate. As a result, we do not believe that an aggressive positioning in interest rates is a beneficial strategy from a risk/reward perspective at this time. Instead, we believe our strategic focus on diversified income and managing credit risk will be the important value drivers.
During the reporting period, we also continued to utilize various derivative instruments. We used Treasury note and bond futures as part of an overall construction strategy to manage the Fund’s duration and yield curve exposure. These derivative positions had a positive impact on performance during the reporting period. We also used interest rate swaps to manage portfolio duration and overall portfolio yield curve exposure. These positions had a negligible impact on performance and these positions were terminated prior to the end of the reporting period.
NUVEEN | 9 |
Portfolio Managers’ Comments (continued)
We used forward foreign currency exchange contracts to manage the Fund’s foreign currency exposure. For example, the Fund may reduce unwanted currency exposure from the Fund’s bond portfolio, or may take long forward positions in select currencies in an attempt to benefit from the potential price appreciation. These positions had a positive impact on performance during the reporting period.
The Fund also entered into credit default swaps to hedge credit risk. The effect of these activities on performance was negligible during the reporting period.
Nuveen High Income Bond Fund
The Fund’s Class A Shares at NAV outperformed both the Bloomberg Barclays High Yield 2% Issuer Capped Index and the Lipper High Current Yield Funds Classification Average for the six-month reporting period. During the reporting period, accommodative monetary policy around the world kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income. That technical underpinning, combined with the improved U.S. economic outlook and strong fundamentals, led corporate bonds to outperform, despite record issuance driven by mergers and acquisitions. High yield bonds, in particular, enjoyed very strong performance as inflows continued into the market in search of yield, driving high yield market spreads to almost the tightest level that the market has seen during this credit cycle. In late October 2016, the high yield market did experience a brief lull to the “risk-on” rally that had characterized much of 2016. However after the election, the market continued on its upward path as renewed strong investor flows combined with limited new issue supply helped the segment finish 2016 on a high note. The sector’s performance during this reporting period was even more impressive considering that high yield had its worst start to a year on record in the first six weeks of 2016.
Lower quality bonds continued the trend of outperforming the broader market throughout the six-month reporting period, which they have since February 2016, as investors added risk to their portfolios in light of the strong high yield market conditions. Higher risk, CCC rated bonds gained 13.29% during the reporting period, bringing 2016 CCC performance to 31.5%. The rally in lower quality was further boosted by the decision by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply later in the reporting period, leading the commodity markets to again claim the spotlight. The leading sectors within high yield continued to be basic materials and energy, returning 11.2% and 13.0% during the six-month reporting period. Basic materials and energy benefited along with other cyclical sectors, which have bounced back sharply after the oil price collapse in 2014 and 2015. Also, this year’s “fallen angels” in the energy space were strong outperformers. These downgraded issues experienced extreme selloffs as they exited the investment grade universe, but then subsequently recovered quickly once gravitating to high yield due to stabilizing oil prices. Laggards during the reporting period included BB rated securities and more defensive areas of the market such as pharmaceuticals, health care and consumer non-cyclical.
Despite an increase in overall defaults, the high yield market experienced little spillover from the trouble spots of energy and metals/mining. Default rate forecasts from Moody’s and elsewhere have generally been revised upward due to the lag effect of higher defaults among those two sectors. The default rate in the U.S. ended 2016 at 5.6%. However, we expect defaults in most sectors to be largely contained, reflecting the strong business cycle component in the behavior of high yield defaults. Leading indicators of future default pressures have continued to improve with risk appetites returning to the markets after the election, including a steeper two-to-10-year Treasury yield curve, strong performance from financial and bank equities, and lower overall equity volatility. Given that U.S. recession risk remains low, we believe the risk of default contagion from the commodity sectors to the broader market remains limited.
In light of this market backdrop, the majority of the Fund’s outperformance was driven by the better environment for risk appetites that led to a significant improvement in market liquidity and the outperformance of lower quality credit. Although this was most evident among CCC rated debt, an area that the Fund had overweighted, the increase in risk appetites also buoyed the previously lagging growth-sensitive areas of the market, specifically basic materials and energy. We saw particular strength among many distressed coal, energy and other commodity-related bonds. The “risk-on” environment also led to strength in some of the Fund’s smaller-cap and small-issue size credits that had previously suffered simply because of illiquid market conditions.
In terms of specific sector allocations, our Fund benefited from overweight positions in metals/mining, paper and chemicals and from underweights to pharmaceuticals, health care and consumer non-cyclical. While our Fund maintained more or less a market weight in energy, it benefited from a down-in-quality bias within the exploration and production sector because the stabilization in energy
10 | NUVEEN |
prices worked to lift many of the marginal producers. Similarly, within the mining sector, an uptick in natural gas prices helped to improve the relative attractiveness of coal, and by extension the performance of coal credits, which had been severely oversold on the heels of multiple industry bankruptcies. Therefore, the Fund’s overweight to coal within the metals/mining segment was also a net benefactor to performance. The Fund was aided by an overweight in the chemicals and paper sectors, which are both cyclically exposed and had suffered disproportionately during calendar 2015 and first quarter 2016 when global growth scares were pervasive. Modest detractors to performance included underweights to technology, cable/satellite and wireless communications.
We have maintained the Fund’s overweight to lower rated, CCC credit compared to the benchmark because we believe valuations will be well supported by the expectations for accelerated economic growth and higher inflation. A stronger economic backdrop typically benefits lower quality securities disproportionately because a government-fueled expansion could lead rates higher, which would be negative for longer duration, higher quality bonds. That being said, we did slightly reduce the Fund’s CCC allocation toward the end of the reporting period given that spreads had tightened significantly and the CCC index has advanced more than 30% year-to-date.
Within the energy sector, we have maintained more or less a neutral weighting versus that of the benchmark. Distressed energy credits have been one of the best performing asset classes throughout 2016. At the end of the reporting period, our holdings in distressed energy represented a small percentage of the Fund’s portfolio. We retained an overweight to the basic materials space, consisting of holdings in chemicals, paper and metals/mining. Although the basic materials area was a source of strong outperformance during the reporting period, we still believe these cyclical areas could show favorable results going forward. We continue to underweight health care, cable/satellite communications and technology, mostly based on valuation considerations. Additionally, in the case of health care, we anticipate elevated volatility on the heels of the U.S. election because of the potential scaling back of the Affordable Care Act by the new administration.
We have maintained the Fund’s emerging market (EM) exposure at less than 5%, although economic activity in these areas has stabilized with signs of a modest upturn. The medium-term drivers for these markets remain constructive as evidence gathers that the worst of the fundamental downturn has passed. In the way of out-of-index sector holdings, the Fund owned a 9% allocation to preferred securities, split between $25-par preferred securities and hybrid capital European bank preferreds. We also maintained small weights in various closed-end investment funds that invest in leveraged loans, high yield bonds and EM debt, as well as equities.
As of the end of the reporting period, the Fund was positioned with an average duration that was approximately half-a-year shorter than the benchmark’s duration, in order to lessen its sensitivity to rising interest rates. That being said, we continue to believe that high yield investors are better protected from interest rate moves. Spreads typically absorb a significant fraction of the change in Treasury yields, given the naturally low duration of the high yield asset class and the incremental spread that helps mitigate any price movements.
During the reporting period, we also continued to utilize various derivative instruments. We used Treasury note and bond futures as part of an overall portfolio construction strategy to manage the Fund’s duration and yield curve exposure. The effect of these activities was positive on performance during the reporting period.
We used foreign currency exchange contracts to manage the Fund’s foreign currency exposures. During the reporting period, these instruments were used primarily for hedging purposes to reduce unwanted currency exposure from the Fund’s bond portfolio. These positions had a negligible impact on performance during the reporting period.
The Fund also entered into credit default swaps to take on credit risk and earn a commensurate credit spread. The effect of these activities on performance was negligible during the reporting period.
Nuveen Inflation Protected Securities Fund
The Fund’s Class A Shares at net asset value (NAV) underperformed the Bloomberg Barclays U.S. TIPS Index and the Lipper Inflation-Protected Bond Funds Classification Average for the six-month reporting period. The U.S. economy showed continued strength during the reporting period and consumer confidence hit a 15-year high, according to the Conference Board’s Consumer Confidence Index. A number of factors contributed to the sense of optimism, including higher gross domestic product (GDP) figures, an improved
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Portfolio Managers’ Comments (continued)
manufacturing outlook, falling unemployment, rising wages and Donald Trump’s surprise victory in the November presidential election. Investors anticipated that his business-friendly policies – including tax cuts, fewer regulations and increased infrastructure spending – would further boost economic growth and increase company profits. The Federal Reserve (Fed) opted to leave interest rates unchanged at its July and September 2016 meetings given macro uncertainties and a benign inflation environment, but as widely expected, raised rates by 0.25% at the December meeting, citing improving labor market and inflation conditions. More importantly, the Fed signaled the likelihood for more rate hikes in 2017, while remaining accommodative and sensitive to any adverse shocks. Oil prices ended 2016 with their largest annual gain since 2009, supported by an agreement by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply.
Treasury rates rose dramatically, particularly in the second half of the reporting period, as investors braced for strong fiscal stimulus and factored in a higher risk of inflation, while remaining concerned about the possibility of reduced accommodation by global central banks. In the Treasury inflation-protected securities (TIPS) market, money flowed into the asset class throughout the reporting period and the segment richened versus Treasuries as investor interest in inflation protection increased and implied inflation expectations reached 2% by the end of 2016. Yields rose sharply across the TIPS segment with shorter maturities experiencing the greatest increase. The yield on five-year TIPS moved out of negative territory, jumping 46 basis points to end the year at 0.09%. The yield on a TIPS bond is equal to the corresponding Treasury bond yield minus the expected rate of inflation; therefore, it falls into negative territory if the inflation rate is higher than the current Treasury yield. The 10-year TIPS yield increased 41 basis points from 0.09% at the beginning of the reporting period to 0.50% by the end of the reporting period. Meanwhile, the TIPS “breakeven rate” widened across the TIPS yield curve, indicating investor expectations of increased inflation risk. The breakeven rate measures the difference between the yields of nominal Treasuries versus TIPS with the same maturity.
Around the world, accommodative monetary policy kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income. That technical underpinning, combined with the improved economic outlook and strong fundamentals, led high-yield and investment-grade corporate bonds to outperform during the reporting period, despite record issuance driven by mergers and acquisitions. High yield bonds in particular enjoyed very strong performance during the reporting period helped along by the continued accommodative Fed policy, which in turn drove more inflows into the market. The segment’s performance was even more impressive considering that high yield had its worst start to a year on record in the first six weeks of 2016. High yield spreads continued to compress during the period, coming close to the tightest level that the market has seen during this credit cycle.
In the securitized sectors, agency mortgage-backed securities (MBS) performed well earlier in the reporting period due to continued bank and foreign purchases of the securities, the range-bound rate environment and lower levels of volatility. However, the sharp rise in interest rates and volatility in the final months of the reporting period proved to be a difficult environment for these securities. That being said, over the six-month reporting period agency MBS managed to post a modest positive excess return versus Treasuries. Despite high levels of issuance, particularly toward the end of 2016, the commercial mortgage-backed securities (CMBS) sector performed well in the risk-on environment, finishing the reporting period with positive excess returns versus Treasuries.
The Fund’s performance versus its benchmark was hindered by our breakeven positioning in the form of an overweight to nominal Treasuries versus TIPS, particularly pre-election, which was designed to take advantage of changing inflation expectations along the TIPS yield curve. Although we shifted our TIPS exposure from a low of approximately 81% of the Fund’s assets midway through the reporting period to about 88% of the portfolio, our position still represented an underweight versus the 100% TIPS exposure in the index with a bias to remain overweight to spread sectors.
Volatile real rates, especially later in the reporting period, were also a headwind for the Fund’s performance relative to its benchmark. In particular, our yield curve positioning was a drag on results, with most of the negative impact occurring in the first two months of the reporting period. The Fund was positioned with an underweight to securities at the long end of the yield curve, which flattened through August before reversing in September 2016. Also, although we tactically traded the Fund’s duration to adjust its sensitivity to interest rates, our positioning still detracted overall. Most of the drag came during the final months of the reporting period, when the Fund was positioned with a modestly longer duration than the Bloomberg Barclays TIPS Index and rates sharply increased.
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On the positive side, the Fund’s approximately 12% weight among spread sectors, including high yield credit, investment grade credit, CMBS, agency debentures and asset-backed securities (ABS), benefited performance during the reporting period. As noted earlier, spread sectors, particularly high yield corporates, produced strong excess returns during the reporting period.
Toward the end of the reporting period, we increased the Fund’s TIPS exposure to better position our portfolio for the potential pro-growth, inflationary policies that we are likely to see from the new Trump administration. However, the Fund’s TIPS exposure still represented an underweight to the segment in favor of modest exposure to several out-of-index spread sectors. To fund the TIPS increase, we eliminated the portfolio’s exposures to nominal Treasuries and agency debentures. At the same time, we increased the Fund’s overall out-of-index spread sector exposure. We believe the backdrop remains favorable for credit because the prospects for credit-friendly government policy and investors’ continued quest for yield should keep spreads firm. On the heels of the spread tightening that has taken place in high yield, however, we will be more selective with adding to the Fund’s exposure in that segment. Finally, we moved the Fund’s duration to be more defensive by the end of the year in anticipation of rising interest rates. Two federal funds rate hikes in 2017 are now the market consensus.
We also used Treasury note and bond futures as part of an overall portfolio construction strategy to manage the Fund’s duration and yield curve exposure. These derivative positions had a positive impact on performance during the reporting period.
Nuveen Intermediate Government Bond Fund
The Fund’s Class A Shares at NAV underperformed both the Bloomberg Barclays Intermediate Government Bond Index and the Lipper Intermediate U.S. Government Funds Classification Average for the six-month reporting period. The U.S. economy showed continued strength during the reporting period and consumer confidence hit a 15-year high, according to the Conference Board’s Consumer Confidence Index. A number of factors contributed to the sense of optimism, including higher gross domestic product (GDP) figures, an improved manufacturing outlook, falling unemployment, rising wages and Donald Trump’s surprise victory in the November presidential election. Investors anticipated that his business-friendly policies, including tax cuts, fewer regulations and increased infrastructure spending would further boost economic growth and increase company profits. The Federal Reserve (Fed) opted to leave interest rates unchanged at its July and September 2016 meetings given macro uncertainties and a benign inflation environment, but as widely expected, raised rates by 0.25% at the December 2016 meeting, citing improving labor market and inflation conditions. More importantly, the Fed signaled the likelihood for two more rate hikes in 2017, while remaining accommodative and sensitive to any adverse shocks. Oil prices ended 2016 with their largest annual gain since 2009, supported by an agreement by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply.
Treasury rates rose dramatically, mostly in the second half of the reporting period as investors braced for strong fiscal stimulus and factored in a higher risk of inflation, while remaining concerned about the possibility of reduced accommodation by global central banks. Ten-year Treasury rates rose by nearly 1% during the reporting period, while shorter-term rates rose around 25 basis points, causing the Treasury yield curve to steepen. Around the world, accommodative monetary policy kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income.
In the securitized sectors of the bond market, mortgage-backed securities (MBS) issued by government agencies such as Fannie Mae (FNMA), Ginnie Mae (GNMA) and Freddie Mac (FHLMC) performed well earlier in the reporting period due to continued bank and foreign purchases of the securities, the range-bound rate environment and lower levels of volatility. However, the sharp rise in interest rates and volatility in the final months of the reporting period proved to be a difficult environment for these securities. The commercial mortgage-backed securities (CMBS) sector performed well during the reporting period, finishing with positive excess returns versus Treasuries, despite high levels of issuance particularly toward the end of 2016. Global central bank support, the “risk-on” environment following the election and strong demand for high quality, non-government securities all contributed to the tightening of risk premiums in the CMBS segment. Traditional consumer asset-backed securities (ABS) also modestly outperformed versus Treasuries for the reporting period due to solid consumer credit metrics.
Sharply rising interest rates were a headwind for the Fund’s performance relative to its benchmark and peers during the reporting period. More specifically, we had the Fund positioned to benefit from a flatter Treasury yield curve at the time of the election. We did this by overweighting securities in the 10-year portion of the yield curve, while underweighting securities with maturities of five years and under. However, the election’s surprising results sparked a sharp increase in rates and a dramatic steepening of the curve,
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Portfolio Managers’ Comments (continued)
with intermediate and long-term rates rising more than short-term rates. Although we shifted to a bias for a steeper yield curve and reduced the Fund’s exposure to 10-year securities as we neared the end of the reporting period, we did not make the move quickly enough. As a result, our yield curve positioning detracted the most from the Fund’s results. We also tactically traded the Fund’s duration, or interest rate sensitivity, throughout the reporting period. In aggregate, these duration moves slightly detracted from the Fund’s performance.
Generally speaking, the Fund benefited from its overweight positions in several securitized sectors of the market, including CMBS and ABS, with a corresponding underweight to U.S. Treasuries. However, the Fund experienced a slight drag on performance from a heavier overweight to 30-year MBS, which underperformed in the rate volatility during the second half of the reporting period. On the other hand, our exposure to the CMBS sector was modestly beneficial due to spread tightening after the election.
With two federal funds rate hikes in 2017 now the market consensus, we maintained the Fund’s defensive duration positioning as the reporting period drew to a close. Given the likelihood that short-term rates will be pressured higher, we believed it was prudent to keep the Fund’s duration at around 3.5 years, which is shorter than its benchmark. Although we made no major changes to the Fund’s overall sector weightings during the reporting period, we made some minor adjustments. For example, we sold a modest amount of the Fund’s short floating-rate MBS positions because they had reached our spread targets and invested part of the proceeds in the ABS sector through bottom-up security selection. We also reduced the Fund’s Treasury and cash positions and increased the Fund’s agency debenture exposure.
In addition, we used Treasury note and bond futures as part of an overall portfolio construction strategy to manage the Fund’s duration and yield curve exposure. These positions had a positive impact on performance during the reporting period.
Nuveen Short Term Bond Fund
The Fund’s Class A Shares at NAV outperformed both the Bloomberg Barclays 1-3 Year Government/Credit Bond Index and the Lipper Short Investment Grade Debt Funds Classification Average for the six-month reporting period. The U.S. economy showed continued strength during the reporting period and consumer confidence hit a 15-year high, according to the Conference Board’s Consumer Confidence Index. A number of factors contributed to the sense of optimism, including higher gross domestic product (GDP) figures, an improved manufacturing outlook, falling unemployment, rising wages and Donald Trump’s surprise victory in the November presidential election. Investors anticipated that his business-friendly policies, including tax cuts, fewer regulations and increased infrastructure spending would further boost economic growth and increase company profits. The Federal Reserve (Fed) opted to leave interest rates unchanged at its July and September 2016 meetings given macro uncertainties and a benign inflation environment, but as widely expected, raised rates by 0.25% at the December 2016 meeting, citing improving labor market and inflation conditions. More importantly, the Fed signaled the likelihood for two more rate hikes in 2017, while remaining accommodative and sensitive to any adverse shocks. Oil prices ended 2016 with their largest annual gain since 2009, supported by an agreement by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply.
Treasury rates rose dramatically, particularly in the second half of the six-month reporting period, as investors braced for strong fiscal stimulus and factored in a higher risk of inflation, while remaining concerned about the possibility of reduced accommodation by global central banks. Ten-year Treasury rates rose by nearly 1% during the reporting period, while rates for two-year and five-year Treasuries increased by 62 basis points and 92 basis points, respectively, resulting in a steeper Treasury yield curve. Around the world, accommodative monetary policy kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income. That technical underpinning, combined with the improved economic outlook and strong fundamentals, led shorter duration high yield and investment grade corporate bonds to outperform during the reporting period, despite record issuance in the sectors driven by mergers and acquisitions. Financials posted strong results, particularly later in the reporting period based on the potential for a more favorable regulatory environment under the new administration. The energy and basic material sectors continued their outperformance on the back of higher commodity prices.
In the securitized sectors, commercial mortgage-backed securities (CMBS) performed well, finishing the reporting period with positive excess returns versus Treasuries, despite high levels issuance toward the end of the reporting period. Global central bank support, the risk-on environment following the election and strong demand for high quality, non-government securities all contributed to the tightening of risk premiums in the CMBS segment. Short maturity agency and non-agency mortgage-backed securities (MBS)
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also outperformed Treasuries during the reporting period as mortgage delinquencies continued to decline and housing market fundamentals remained broadly supportive of this segment of the market. In addition, traditional consumer asset-backed securities (ABS) with shorter durations performed fairly well, posting a modestly positive excess return versus Treasuries due to solid consumer credit metrics.
The most significant driver of the Fund’s outperformance relative to the benchmarks was its broad overweight to the corporate and securitized sectors and corresponding underweight to Treasuries. We maintained a weighting of around 40% in investment grade corporates, with an emphasis on BBB rated paper. We also held between 5-6% in below investment grade corporate paper, focused on the BB quality segment, which aided performance given the strong showing by the lower quality segments of the market. At the same time, we positioned approximately 40% of the Fund’s portfolio in securitized product, broadly diversified across the residential MBS, CMBS and ABS sectors. These market segments maintained relative strength during the reporting period. Short duration ABS and CMBS in particular benefited the Fund’s return because demand remained strong for high quality, liquid paper and spreads tightened throughout reporting period. Security selection was also a positive factor for the Fund’s performance because our overweight positions in financials and certain segments of the non-agency MBS sector performed well.
As a whole, our interest rate strategy benefited the Fund’s results during the reporting period. We had positioned the Fund defensively to limit its sensitivity to rising rates because we anticipated the Fed would continue to normalize monetary policy and short-term rates would be pressured higher. This included keeping the Fund’s duration, or interest rate sensitivity, between 0.30 and 0.50 years shorter than the benchmark, while structuring the portfolio to benefit from a flatter yield curve. The shorter duration stance worked to the Fund’s favor because rates rose sharply over the reporting period. Unfortunately, this gain was partially offset by our yield curve positioning because the Treasury curve actually steepened. Yields at the front end of the Treasury curve rose to seven-year highs by December 2016 based on constructive domestic economic data and continued moves by the Fed to normalize monetary policy.
With two federal funds rate hikes in 2017 now the market consensus, we maintained the Fund’s defensive duration positioning as the reporting period drew to a close. Given the likelihood that short-term rates will be pressured higher, we believed it was prudent to keep the Fund’s duration at around 1.60 years. We also continued to focus our efforts on generating income by maintaining the Fund’s modest overweight to the non-government sectors of the bond market. However, we did slightly lower exposure to the investment grade and high yield corporate sectors toward the end of the reporting period after significant spread tightening. That being said, the backdrop remains favorable for investment grade credit because the prospects for credit-friendly government policy should keep spreads firm. We ended 2016 with around a 40% weighting in the investment grade sector with a continued emphasis on financials based on the prospects for a steeper Treasury yield curve and a more favorable regulatory environment. In the high yield segment, we maintained the Fund’s 5% weighting because of the incremental yield these securities provide, keeping this exposure well diversified as a way to minimize risk. However, we will be more selective in high yield going forward on the heels of the spread tightening that occurred during the reporting period.
Generally speaking, we made no major changes to the overall weightings in the securitized sectors during the reporting period. However, in light of spread tightening, we emphasized an up-in-quality bias within the Fund’s ABS and CMBS exposures by investing in securities higher up the capital structure and by increasing our weight in more liquid segments. We believe these moves will give us more flexibility if we find additional opportunities along the risk/reward spectrum. We also kept approximately 5% to 10% of the Fund’s assets invested in Treasury and agency securities as a liquidity and volatility buffer.
During the reporting period, we also continued to utilize various derivative instruments. We used Treasury note futures as part of an overall portfolio construction strategy to manage the Fund’s duration and yield curve exposure. These positions had a positive impact on the Fund’s performance during the reporting period.
Nuveen Strategic Income Fund
The Fund’s Class A Shares at net asset value (NAV) outperformed both the Bloomberg Barclays U.S. Aggregate Bond Index and the Lipper Multi-Sector Income Funds Classification Average for the six-month reporting period. The U.S. economy showed continued strength during the reporting period and consumer confidence hit a 15-year high, according to the Conference Board’s Consumer Confidence Index. A number of factors contributed to the sense of optimism, including higher gross domestic product (GDP) figures,
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Portfolio Managers’ Comments (continued)
an improved manufacturing outlook, falling unemployment, rising wages and Donald Trump’s surprise victory in the November presidential election. Investors anticipated that his business-friendly policies including tax cuts, fewer regulations and increased infrastructure spending would further boost economic growth and increase company profits. The Federal Reserve (Fed) opted to leave interest rates unchanged at its July and September 2016 meetings given macro uncertainties and a benign inflation environment, but as widely expected, raised rates by 0.25% at the December 2016 meeting, citing improving labor market and inflation conditions. More importantly, the Fed signaled the likelihood for two more rate hikes in 2017, while remaining accommodative and sensitive to any adverse shocks. Oil prices ended 2016 with their largest annual gain since 2009, supported by an agreement by the Organization of the Petroleum Exporting Countries (OPEC) to cut production and lessen oversupply.
Treasury rates rose dramatically, mostly in the second half of the reporting period as investors braced for strong fiscal stimulus and factored in a higher risk of inflation, while remaining concerned about the possibility of reduced accommodation by global central banks. Ten-year Treasury rates rose by nearly 1% during the reporting period, while shorter-term rates rose around 25 basis points, causing the Treasury yield curve to steepen. Around the world, accommodative monetary policy kept global rates at extremely low levels, resulting in strong demand for U.S. securities with incremental income. That technical underpinning, combined with the improved economic outlook and strong fundamentals, led high yield and investment grade corporate bonds to perform strongly during the reporting period, despite record issuance driven by mergers and acquisitions.
The sectors provided excess returns over Treasuries, with lower rated securities in both segments performing the best. High yield bonds in particular enjoyed strong performance during the reporting period helped along by the continued accommodative Fed policy, which in turn drove more inflows into the market. The segment’s performance was even more impressive considering that high yield had its worst start to a year on record in the first six weeks of 2016. High yield spreads continued to compress during the reporting period, coming close to the tightest level that we’ve seen during this credit cycle. The basic materials and energy sectors performed best, along with other cyclical sectors, which have bounced back sharply after the oil price collapse in 2014 and 2015. European and U.K. credit rallied strongly during the first few months of the reporting period after Brexit uncertainty faded, but then underperformed the U.S. later in the reporting period, given firmer initial valuations and global volatility.
In the securitized sectors, agency mortgage-backed securities (MBS) performed well earlier in the reporting period due to continued bank and foreign purchases of the securities, the range-bound rate environment and lower levels of volatility. However, the sharp rise in interest rates and volatility in the final months of the reporting period proved to be a difficult environment for these securities. That being said, over the six-month reporting period, the agency MBS segment was able to outperform duration-matched Treasuries. Despite high levels of issuance, particularly toward the end of the year, the commercial mortgage-backed securities (CMBS) sector performed well in the risk-on environment, finishing the reporting period with positive excess returns versus Treasuries. Traditional consumer asset-backed securities (ABS) also modestly outperformed versus Treasuries for the reporting period.
Emerging market (EM) debt performed well with the segment benefiting from firming risk sentiment, higher commodity prices, moderately positive economic data across many of the markets and large investor flows into the asset class in search of yield. In addition, ongoing fiscal stimulus in China and continued benign central bank policies remained constructive for EM assets. EM currencies declined in the broad-based dollar rally, with U.S. trade and protectionist pressures hitting the Mexican peso and ongoing domestic pressures hindering the Turkish lira. Russia and South Africa were exceptions, with the ruble gaining on better oil prices.
Global rates remained low for the first few months of the reporting period following a sharp drop in the wake of the U.K. referendum vote. The European Central Bank put fear into the market by taking its time with extending quantitative easing (QE) measures. The Bank of Japan shifted to more flexible QE, showing sensitivity to plunging long-term interest rates, which led the government to hint at possible fiscal measures. Yield curves flattened until late September 2016 when better economic data and concerns about central bank policy exhaustion drove a quick steepening sell-off in developed markets. Following the U.S. election, global yields sprinted higher due to increased expectations for fiscal stimulus and business spending. Increases in commodity prices and better economic data in developed and emerging markets contributed to higher rates and increased inflation expectations. The prospect for additional Fed rate hikes and an eventual reduction in extraordinary monetary stimulus globally also added to rate pressures. Overall during the reporting period, non-U.S. markets outperformed Treasuries as global spreads moved in their favor. The spread between Treasuries and German Bunds reached a new historical wide. Peripheral European spreads widened amid tensions, even as the European Central Bank extended QE until the end of 2017, but at a slightly lower level. The U.S. dollar strengthened by 3-6% versus most major currencies due to higher growth and rate differentials, while the Japanese yen declined by 12%.
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Broadly speaking, the Fund’s outperformance versus its benchmarks was driven by the continued improvement in global economic conditions and a strong improvement in market risk sentiment, accompanied by flows into higher risk assets including credit. The largest driver of outperformance was the Fund’s positioning in high yield corporates, both through a significant overweight as well as from positive credit selection within the sector. For much of the reporting period, the Fund was positioned near the top end of its high yield allocation range and benefited significantly from the sector’s higher income and gains from tightening credit spreads. Our credit selection within high yield also added to returns, particularly cyclical credits such as paper and chemicals.
Investment grade credit was also a strong contributor to the Fund’s returns, due to both our overweight position in the sector versus the benchmark, followed closely by gains from security selection. In terms of security selection, the Fund’s exposure to cyclical credits and a meaningful position in bank preferred securities were the main contributors. Our substantial weighting in BBB rated securities also benefited performance as quality spreads contracted amid a strengthening economy and investor optimism about growth. EM credit exposure was a modest contributor to the Fund’s results given the strong performance of our country specific selections, despite having a low weighting in the sector.
Currency positioning added to returns, owing to the strength in the U.S. dollar versus other major currencies. Our relatively small foreign bond positioning also had a modestly positive impact on the Fund’s performance. On the other hand, the Fund’s overall interest rate positioning was a marginal drag on performance. A slight gain from our defensive duration stance was more than offset by shifts in the yield curve due to the sharp bond market sell-off during the reporting period.
Our strategy during the period remained focused on generating above-market income from diversified sources, primarily corporate credit, with an emphasis on individual credit selection. While the Fund was heavily weighted in high yield for much of the reporting period, we did begin to reduce this exposure later in 2016, given the strong performance of the sector and because we reached valuation targets for some portfolio holdings. In addition, we further reduced high yield exposure by hedging a portion of our portfolio weight, given the rapid and meaningful rally in the segment and resulting valuations. This hedge allows the Fund to remain exposed to performance from issue selection, while reducing sector risk and facilitating future Fund repositioning. We also selectively exited some investment grade corporate positions. Despite these changes, we still believe the economic, policy and market backdrop remains favorable for non-government, yield-oriented sectors, particularly corporate credit. Although valuations did move significantly higher during the reporting period, we expect to remain overweight to both investment grade and high yield credit. However, given current valuations, we will be more likely to vary our positioning to the sector, both higher and lower, based on upcoming developments in both valuations and fundamentals. Credit sectors are likely to continue to occasionally exhibit volatility; however, it will be particularly important to determine if these moves remain technical or portend a shift in underlying market conditions. Bottom-up security selection remains a critical focus at this point in the cycle, both for identifying value for investors as well as controlling risks, and will be a driver of our positioning.
We reinvested the proceeds from the corporate bond sales primarily into mortgages, given that sector’s recent underperformance and the Fund’s large underweight to the MBS sector. We maintained small exposures in other securitized sectors such as ABS and CMBS. Given the relatively unattractive duration and yield profile of Treasuries, we continued to maintain the Fund’s significant underweight in the sector.
Non-U.S. bond exposure remained quite low with only select market positions. Currency exposures, while fairly low, were designed to provide a benefit in the case of a strong U.S. dollar and were hedged at the end of the reporting period. We are remaining alert for economic shifts in key markets and are awaiting better fundamentals and catalysts for our investment themes before adding meaningfully to the Fund’s foreign positions. We are maintaining a bias toward a stronger U.S. dollar as rising interest rates and improving growth provide cyclical support.
We have maintained the Fund’s shorter duration versus the benchmark index and our portfolio is comprised of sectors we believe will have less sensitivity to increases in U.S. Treasury rates, given that we have a bias for higher yields in 2017. However, in light of the recent sharp rise in yields, further increases may be more moderate. As a result, we do not believe that an aggressive positioning in interest rates is a beneficial strategy from a risk/reward perspective at this time. Instead, we believe our strategic focus on diversified income and managing credit risk will be the important value drivers.
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Portfolio Managers’ Comments (continued)
During the reporting period, we also continued to utilize various derivative instruments. We used foreign currency exchange forward contracts to manage the Fund’s foreign currency exposure. For example, the Fund may reduce unwanted currency exposure from the Fund’s portfolio, or may take long forward positions in select currencies in an attempt to benefit from the potential price appreciation. These positions had a positive impact on performance during the reporting period.
We use U.S. Treasury futures and Eurodollar futures as part of an overall portfolio construction strategy to manage portfolio duration and yield curve exposure and selected foreign bond futures to actively manage exposure to those markets. These positions had a positive impact on performance during the reporting period. We also used interest rate swaps to manage portfolio duration and overall portfolio yield curve exposure. These positions had a negative impact on performance during the reporting period and these positions were terminated prior to the end of the reporting period.
In addition, we entered into credit default swaps as a way to assume and hedge credit risk. The effect of these activities on performance was negative during the reporting period.
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and Dividend Information
Risk Considerations
Nuveen Core Bond Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, 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. 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.
Nuveen Core Plus Bond Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, 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.
Nuveen High Income Bond Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, call risk, derivatives risk, income risk, and other investment company 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.
Nuveen Inflation Protected Securities Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, call risk, derivatives risk, income risk, and index methodology 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. 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 shares. 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. The Fund’s investment in inflation protected securities has tax consequences that may result in income distributions to shareholders.
Nuveen Intermediate Government Bond Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, 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. Asset-backed and mortgage-backed securities are subject to additional risks such as prepayment risk, liquidity risk, default risk and adverse economic developments.
Nuveen Short Term Bond Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, call risk, derivatives 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
NUVEEN | 19 |
Risk Considerations and Dividend Information (continued)
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.
Nuveen Strategic Income Fund
Mutual fund investing involves risk; principal loss is possible. Debt or fixed income securities such as those held by the Fund, 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. The Fund gains additional exposure to currency rates, and therefore to the risk of currency fluctuation, through investment in foreign currency contracts. The risks of foreign investments are magnified in emerging markets. Asset-backed and mortgage-backed securities are subject to additional risks such as prepayment risk, liquidity risk, default risk and adverse economic developments.
Dividend Information
Each Fund seeks to pay regular monthly dividends out of its net investment income at a rate that reflects its past and projected net income performance. To permit each Fund to maintain a more stable monthly dividend, the Fund may pay dividends at a rate that may be more or less than the amount of net income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it will hold the excess in reserve as undistributed net investment income (UNII) as part of the Fund’s net asset value. Conversely, if a Fund has cumulatively paid in dividends more than it has earned, the excess will constitute a negative UNII that will likewise be reflected in the Fund’s net asset value. Each Fund will, over time, pay all its net investment income as dividends to shareholders.
As of December 31, 2016, all of the Funds had zero UNII balances, based upon our best estimate, for tax purposes. Nuveen High Income Bond Fund and Nuveen Inflation Protected Securities Fund had positive UNII balances, while the other Funds in this report had negative UNII balances for financial reporting purposes.
All monthly dividends paid by each Fund during the current reporting period were paid from net investment income. If a portion of a Fund’s monthly distributions was sourced from or comprised of elements other than net investment income, including capital gains and/or a return of capital, shareholders would have received a notice to that effect. For financial reporting purposes, the composition and per share amounts of each Fund’s dividends for the reporting period are presented in this report’s Statement of Changes in Net Assets and Financial Highlights, respectively. For income tax purposes, distribution information for each Fund as of its most recent tax year end is presented in Note 6 – Income Tax Information within the Notes to Financial Statements of this report.
20 | NUVEEN |
and Expense Ratios
The Fund Performance and Expense Ratios for each Fund are shown within this section of the report.
Returns quoted represent past performance, which is no guarantee of future results. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than their original cost. Current performance may be higher or lower than the performance shown. Total returns for a period of less than one year are not annualized. Returns at net asset value (NAV) would be lower if the sales charge were included. Returns assume reinvestment of dividends and capital gains. For performance, current to the most recent month-end visit nuveen.com or call (800) 257-8787.
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 fee waivers and/or expense reimbursements by the investment adviser during the periods presented. If any such waivers and/or reimbursements had not been in place, returns would have been reduced. See Notes to Financial Statements, Note 7—Management Fees and Other Transactions with Affiliates for more information.
Returns reflect differences in sales charges and expenses, which are primarily differences in distribution and service fees, and assume reinvestment of dividends and capital gains.
Comparative index and Lipper return information is provided for Class A Shares at NAV only.
The expense ratios shown reflect total operating expenses (before fee waivers and/or expense reimbursements, if any) as shown in the most recent prospectus. The expense ratios include management fees and other fees and expenses.
NUVEEN | 21 |
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 section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | (2.83)% | 1.70% | 2.10% | 3.79% | ||||||||||||
Class A Shares at maximum Offering Price | (5.74)% | (1.34)% | 1.49% | 3.47% | ||||||||||||
Bloomberg Barclays U.S. Aggregate Bond Index | (2.53)% | 2.65% | 2.23% | 4.34% | ||||||||||||
Lipper Core Bond Classification Average | (1.92)% | 3.00% | 2.41% | 3.94% | ||||||||||||
Class I Shares | (2.73)% | 1.96% | 2.34% | 3.99% |
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | Since Inception | |||||||||||||
Class C Shares | (3.22)% | 0.91% | 1.32% | 1.58% |
Cumulative | Average Annual | |||||||||||
6-Month | 1-Year | Since Inception | ||||||||||
Class R6 Shares | (2.72)% | 2.00% | 0.03% |
Since inception return for Class C Shares is from 1/18/11. Since inception return for Class R6 Shares is from 1/20/15. Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 R6 Shares have no sales charge and are available only to certain limited categories as described in the prospectus. 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
Share Class | ||||||||||||||||
Class A | Class C | Class R6 | Class I | |||||||||||||
Gross Expense Ratios | 0.88% | 1.64% | 0.58% | 0.63% | ||||||||||||
Net Expense Ratios | 0.79% | 1.54% | 0.49% | 0.54% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017 so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.53% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
22 | NUVEEN |
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 section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | 0.77% | 5.91% | 3.28% | 4.48% | ||||||||||||
Class A Shares at maximum Offering Price | (3.53)% | 1.45% | 2.38% | 4.02% | ||||||||||||
Bloomberg Barclays U.S. Aggregate Bond Index | (2.53)% | 2.65% | 2.23% | 4.34% | ||||||||||||
Lipper Core Bond Plus Classification Average | (0.82)% | 4.36% | 3.16% | 4.70% | ||||||||||||
Class C Shares | 0.30% | 5.05% | 2.50% | 3.69% | ||||||||||||
Class R3 Shares | 0.75% | 5.75% | 3.05% | 4.25% | ||||||||||||
Class I Shares | 0.81% | 6.11% | 3.53% | 4.73% |
Cumulative | Average Annual | |||||||||||
6-Month | 1-Year | Since Inception | ||||||||||
Class R6 Shares | 0.90% | 6.20% | 1.52% |
Since inception return for Class R6 Shares is from 1/20/15. Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories as described in the prospectus. 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
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Gross Expense Ratios | 0.88% | 1.63% | 1.13% | 0.57% | 0.63% | |||||||||||||||
Net Expense Ratios | 0.78% | 1.53% | 1.03% | 0.47% | 0.53% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017 so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.52% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
NUVEEN | 23 |
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 section. Refer to Glossary of Terms Used in this Report for definitions of terms used in this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | 11.33% | 21.46% | 6.41% | 6.03% | ||||||||||||
Class A Shares at maximum Offering Price | 6.04% | 15.74% | 5.37% | 5.52% | ||||||||||||
Bloomberg Barclays High Yield 2% Issuer Capped Index | 7.40% | 17.13% | 7.36% | 7.55% | ||||||||||||
Lipper High Current Yield Funds Classification Average | 6.30% | 13.27% | 6.18% | 5.93% | ||||||||||||
Class C Shares | 10.95% | 20.58% | 5.65% | 5.28% | ||||||||||||
Class R3 Shares | 11.33% | 21.33% | 6.15% | 5.78% | ||||||||||||
Class I Shares | 11.57% | 21.85% | 6.73% | 6.33% |
Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 for purchase by eligible 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
Share Class | ||||||||||||||||
Class A | Class C | Class R3 | Class I | |||||||||||||
Gross Expense Ratios | 1.08% | 1.84% | 1.34% | 0.83% | ||||||||||||
Net Expense Ratios | 1.05% | 1.80% | 1.30% | 0.80% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017 so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, 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. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
24 | NUVEEN |
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 section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | (2.39)% | 3.47% | 0.37% | 3.84% | ||||||||||||
Class A Shares at maximum Offering Price | (6.52)% | (0.90)% | (0.50)% | 3.39% | ||||||||||||
Bloomberg Barclays U.S. TIPS Index | (1.47)% | 4.68% | 0.89% | 4.36% | ||||||||||||
Lipper Inflation-Protected Bond Funds Classification Average | (0.47)% | 4.66% | 0.48% | 3.40% | ||||||||||||
Class C Shares | (2.87)% | 2.66% | (0.26)% | 3.12% | ||||||||||||
Class R3 Shares | (2.61)% | 3.19% | 0.12% | 3.51% | ||||||||||||
Class I Shares | (2.34)% | 3.64% | 0.73% | 4.14% |
Cumulative | Average Annual | |||||||||||
6-Month | 1-Year | Since Inception | ||||||||||
Class R6 Shares | (2.25)% | 3.92% | 0.12% |
Since inception return for Class R6 Shares is from 1/20/15. Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories as described in the prospectus. 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
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Gross Expense Ratios | 0.97% | 1.72% | 1.23% | 0.51% | 0.72% | |||||||||||||||
Net Expense Ratios | 0.80% | 1.55% | 1.05% | 0.34% | 0.55% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017 so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.56% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
NUVEEN | 25 |
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 section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | (2.99)% | (0.18)% | 0.62% | 2.95% | ||||||||||||
Class A Shares at maximum Offering Price | (5.93)% | (3.16)% | 0.01% | 2.64% | ||||||||||||
Bloomberg Barclays Intermediate Government Bond Index | (2.41)% | 1.05% | 1.04% | 3.42% | ||||||||||||
Lipper Intermediate U.S. Government Funds Classification Average | (2.54)% | 0.99% | 1.05% | 3.21% | ||||||||||||
Class I Shares | (2.86)% | 0.21% | 0.89% | 3.16% |
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | Since Inception | |||||||||||||
Class C Shares | (3.35)% | (0.80)% | (0.13)% | 0.99% | ||||||||||||
Class R3 Shares | (3.12)% | (0.33)% | (0.39)% | 1.48% |
Since inception returns for Class C and Class R3 Shares are from 10/28/09. Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 for purchase by eligible 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
Share Class | ||||||||||||||||
Class A | Class C | Class R3 | Class I | |||||||||||||
Gross Expense Ratios | 0.98% | 1.73% | 1.23% | 0.73% | ||||||||||||
Net Expense Ratios | 0.79% | 1.54% | 1.04% | 0.54% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed expenses) do not exceed 0.54% of the average daily net assets of any class of Fund shares. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
26 | NUVEEN |
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 section. Refer to the Glossary of Terms Used in this Report for definitions of terms used within this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | 0.38% | 1.91% | 1.84% | 2.62% | ||||||||||||
Class A Shares at maximum Offering Price | (1.90)% | (0.43)% | 1.37% | 2.38% | ||||||||||||
Bloomberg Barclays 1-3 Year Government/Credit Bond Index | (0.37)% | 1.28% | 0.92% | 2.44% | ||||||||||||
Lipper Short Investment Grade Debt Funds Classification Average | 0.27% | 2.00% | 1.47% | 2.34% | ||||||||||||
Class I Shares | 0.51% | 2.15% | 2.10% | 2.82% |
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | Since Inception | |||||||||||||
Class C Shares | (0.01)% | 1.20% | 1.08% | 1.11% | ||||||||||||
Class R3 Shares | 0.23% | 1.70% | 1.57% | 1.58% |
Cumulative | Average Annual | |||||||||||
6-Month | 1-Year | Since Inception | ||||||||||
Class R6 Shares | 0.51% | 2.15% | 1.42% |
Since inception return for Class C, Class R3 and Class R6 Shares are from 10/28/09, 9/23/11 and 1/20/15, respectively. Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories as described in the prospectus. 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
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Gross Expense Ratios | 0.76% | 1.51% | 1.01% | 0.47% | 0.51% | |||||||||||||||
Net Expense Ratios | 0.72% | 1.47% | 0.97% | 0.43% | 0.47% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017 so that total annual fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.47% of the average daily net assets of any class of Fund shares. However, because Class R6 Shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
NUVEEN | 27 |
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 section. Refer to Glossary of Terms Used in this Report for definitions of terms used in this section.
Fund Performance
Average Annual Total Returns as of December 31, 2016
Cumulative | Average Annual | |||||||||||||||
6-Month | 1-Year | 5-Year | 10-Year | |||||||||||||
Class A Shares at NAV | 3.02% | 9.15% | 4.92% | 5.84% | ||||||||||||
Class A Shares at maximum Offering Price | (1.39)% | 4.54% | 4.01% | 5.39% | ||||||||||||
Bloomberg Barclays U.S. Aggregate Bond Index | (2.53)% | 2.65% | 2.23% | 4.34% | ||||||||||||
Lipper Multi-Sector Income Funds Classification Average | 2.29% | 7.26% | 4.33% | 4.72% | ||||||||||||
Class C Shares | 2.63% | 8.33% | 4.15% | 5.05% | ||||||||||||
Class R3 Shares | 2.89% | 8.87% | 4.67% | 5.54% | ||||||||||||
Class I Shares | 3.13% | 9.41% | 5.19% | 6.09% |
Cumulative | Average Annual | |||||||||||
6-Month | 1-Year | Since Inception | ||||||||||
Class R6 Shares | 3.23% | 9.61% | 2.26% |
Since inception return for Class R6 Shares is from 1/20/15. Indexes and Lipper averages are not available for direct investment.
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) equal to 1%, 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 for purchase by eligible retirement plans. Class R6 Shares have no sales charge and are available only to certain limited categories of investors as described in the prospectus. 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
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Gross Expense Ratios | 0.92% | 1.67% | 1.17% | 0.60% | 0.67% | |||||||||||||||
Net Expense Ratios | 0.83% | 1.58% | 1.08% | 0.50% | 0.58% |
The Fund’s investment adviser has contractually agreed to waive fees and/or reimburse other Fund expenses through October 31, 2017, so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees incurred in acquiring and disposing of portfolio securities and extraordinary expenses) do not exceed 0.59% of the average daily net assets of any class of Fund shares. However, because Class R6 shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expenses for the Class R6 shares will be less than the expense limitation. Fee waivers and/or expense reimbursements will not be terminated prior to that time without the approval of the Board of Directors of the Fund.
28 | NUVEEN |
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NUVEEN | 29 |
Yields as of December 31, 2016
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. Subsidized yields reflect fee waivers and/or expense reimbursements from the investment adviser during the period. If any such waivers and/or reimbursements had not been in place, yields would have been reduced. Unsubsidized yields do not reflect waivers and/or reimbursements from the investment adviser during the period. Refer to the Notes to Financial Statements, Note 7 – Management Fees and Other Transactions with Affiliates for further details on the investment adviser’s most recent agreement with the Fund to waive fees and/or reimburse expenses, where applicable. 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
Share Class | ||||||||||||||||
Class A1 | Class C | Class R6 | Class I | |||||||||||||
Dividend Yield | 2.29% | 1.56% | 2.62% | 2.62% | ||||||||||||
SEC 30-Day Yield-Subsidized | 2.24% | 1.57% | 2.61% | 2.56% | ||||||||||||
SEC 30-Day Yield-Unsubsidized | 2.09% | 1.40% | 2.47% | 2.41% |
Nuveen Core Plus Bond Fund
Share Class | ||||||||||||||||||||
Class A1 | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Dividend Yield | 3.70% | 3.11% | 3.62% | 4.14% | 4.15% | |||||||||||||||
SEC 30-Day Yield-Subsidized | 3.22% | 2.62% | 3.06% | 3.68% | 3.61% | |||||||||||||||
SEC 30-Day Yield-Unsubsidized | 3.10% | 2.50% | 2.94% | 3.55% | 3.49% |
Nuveen High Income Bond Fund
Share Class | ||||||||||||||||
Class A1 | Class C | Class R3 | Class I | |||||||||||||
Dividend Yield | 6.55% | 6.19% | 6.66% | 7.09% | ||||||||||||
SEC 30-Day Yield-Subsidized | 7.00% | 6.65% | 7.11% | 7.64% | ||||||||||||
SEC 30-Day Yield-Unsubsidized | 7.00% | 6.65% | 7.11% | 7.64% |
Nuveen Inflation Protected Securities Fund
Share Class | ||||||||||||||||||||
Class A1 | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Dividend Yield | 5.93% | 5.63% | 5.59% | 5.45% | 5.47% | |||||||||||||||
SEC 30-Day Yield-Subsidized | 5.81% | 5.32% | 5.80% | 6.58% | 6.33% | |||||||||||||||
SEC 30-Day Yield-Unsubsidized | 5.65% | 5.17% | 5.65% | 6.39% | 6.17% |
30 | NUVEEN |
Nuveen Intermediate Government Bond Fund
Share Class | ||||||||||||||||
Class A1 | Class C | Class R3 | Class I | |||||||||||||
Dividend Yield | 1.14% | 0.42% | 0.90% | 1.46% | ||||||||||||
SEC 30-Day Yield-Subsidized | 1.32% | 0.61% | 1.12% | 1.63% | ||||||||||||
SEC 30-Day Yield-Unsubsidized | 1.09% | 0.38% | 0.88% | 1.38% |
Nuveen Short Term Bond Fund
Share Class | ||||||||||||||||||||
Class A1 | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Dividend Yield | 1.54% | 0.79% | 1.28% | 1.83% | 1.83% | |||||||||||||||
SEC 30-Day Yield-Subsidized | 1.52% | 0.82% | 1.30% | 1.83% | 1.81% | |||||||||||||||
SEC 30-Day Yield-Unsubsidized | 1.47% | 0.76% | 1.24% | 1.80% | 1.75% |
Nuveen Strategic Income Fund
Share Class | ||||||||||||||||||||
Class A1 | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Dividend Yield | 5.05% | 4.28% | 4.81% | 5.27% | 5.28% | |||||||||||||||
SEC 30-Day Yield-Subsidized | 4.12% | 3.56% | 4.05% | 4.62% | 4.55% | |||||||||||||||
SEC 30-Day Yield-Unsubsidized | 4.02% | 3.45% | 3.95% | 4.53% | 4.45% |
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 | 31 |
Summaries as of December 31, 2016
This data relates to the securities held in each Fund’s portfolio of investments as of the end of this reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change
For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s, Moody’s Investors Service, Inc. or Fitch, Inc. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below investment grade ratings. 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.
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.
Nuveen Core Bond Fund
Fund Allocation
(% of net assets)
Corporate Bonds | 40.7% | |||
$1,000 Par (or similar) Institutional Preferred | 0.4% | |||
Municipal Bonds | 2.0% | |||
U.S. Government and Agency Obligations | 11.7% | |||
Asset-Backed and Mortgage-Backed Securities | 42.5% | |||
Investments Purchased with Collateral from Securities Lending | 1.1% | |||
Money Market Funds | 3.4% | |||
Other Assets Less Liabilities | (1.8)% | |||
Net Assets | 100% |
Corporate Bonds: Industries
(% of total corporate bond holdings)
Banks | 14.5% | |||
Capital Markets | 9.8% | |||
Media | 9.6% | |||
Diversified Telecommunication Services | 8.3% | |||
Insurance | 8.2% | |||
Food & Staples Retailing | 4.8% | |||
Oil, Gas & Consumable Fuels | 4.5% | |||
Equity Real Estate Investment Trusts | 3.6% | |||
Health Care Providers & Services | 2.9% | |||
Beverages | 2.8% | |||
Biotechnology | 2.5% | |||
Specialty Retail | 2.4% | |||
Diversified Financial Services | 1.7% | |||
Internet and Direct Marketing Retail | 1.6% | |||
Transportation Infrastructure | 1.6% | |||
Leisure Products | 1.6% | |||
Other | 19.6% | |||
Total | 100% |
Portfolio Credit Quality
(% of total long-term
investments)1
AAA/U.S. Guaranteed | 50.4% | |||
AA | 9.9% | |||
A | 21.2% | |||
BBB | 18.4% | |||
N/R (not rated) | 0.1% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
32 | NUVEEN |
Nuveen Core Plus Bond Fund
Fund Allocation
(% of net assets)
Corporate Bonds | 52.8% | |||
$1,000 Par (or similar) Institutional Preferred | 6.8% | |||
Municipal Bonds | 2.0% | |||
Asset-Backed and Mortgage-Backed Securities | 35.2% | |||
Sovereign Debt | 0.7% | |||
Investments Purchased with Collateral from Securities Lending | 1.6% | |||
Money Market Funds | 12.0% | |||
Other Assets Less Liabilities | (11.1)% | |||
Net Assets | 100% |
Corporate Bonds: Industries
(% of total corporate bonds
holdings)
Banks | 15.8% | |||
Oil, Gas & Consumable Fuels | 10.7% | |||
Capital Markets | 8.7% | |||
Media | 7.3% | |||
Diversified Telecommunication Services | 6.7% | |||
Equity Real Estate Investment Trusts | 4.3% | |||
Insurance | 3.4% | |||
Consumer Finance | 3.3% | |||
Chemicals | 3.1% | |||
Wireless Telecommunication Services | 2.9% | |||
Specialty Retail | 2.6% | |||
Containers & Packaging | 2.2% | |||
Aerospace & Defense | 1.9% | |||
Household Durables | 1.9% | |||
Technology Hardware, Storage & Peripherals | 1.7% | |||
Diversified Financial Services | 1.7% | |||
Food Products | 1.5% | |||
Food & Staples Retailing | 1.4% | |||
Other | 18.9% | |||
Total | 100% |
Portfolio Credit Quality
(% of total long-term
investments)1
AAA/U.S. Guaranteed | 27.1% | |||
AA | 3.8% | |||
A | 23.6% | |||
BBB | 33.5% | |||
BB or Lower | 12.0% | |||
N/R (not rated) | 0.0% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
NUVEEN | 33 |
Holding Summaries as of December 31, 2016 (continued)
Nuveen High Income Bond Fund
Fund Allocation
(% of net assets)
Common Stocks | 1.1% | |||
Exchange-Traded Funds | 0.2% | |||
Convertible Preferred Securities | 1.5% | |||
Variable Rate Senior Loan Interests | 2.9% | |||
$25 Par (or similar) Retail Preferred | 2.6% | |||
Corporate Bonds | 75.1% | |||
Convertible Bonds | 0.5% | |||
$1,000 (par or similar) Institutional Preferred | 4.8% | |||
Asset-Backed Securities | 0.0% | |||
Investment Companies | 2.7% | |||
Warrants | 0.0% | |||
Investments Purchased with Collateral from Securities Lending | 8.9% | |||
Money Market Funds | 7.3% | |||
Other Assets Less Liabilities | (7.6)% | |||
Net Assets | 100% |
Corporate Bonds: Industries
(% of total corporate bond holdings)
Oil, Gas & Consumable Fuels | 15.5% | |||
Media | 9.2% | |||
Metals & Mining | 7.2% | |||
Chemicals | 6.8% | |||
Hotels, Restaurants & Leisure | 4.3% | |||
Wireless Telecommunication Services | 4.0% | |||
Diversified Telecommunication Services | 3.9% | |||
Consumer Finance | 3.7% | |||
Diversified Financial Services | 3.3% | |||
Marine | 3.0% | |||
Energy Equipment & Services | 2.8% | |||
Food & Staples Retailing | 2.7% | |||
Independent Power & Renewable Electricity Producers | 2.4% | |||
Internet Software & Services | 2.2% | |||
Road & Rail | 2.1% | |||
Paper & Forest Products | 2.0% | |||
Health Care Providers & Services | 1.8% | |||
Real Estate Management & Development | 1.8% | |||
Health Care Equipment & Supplies | 1.7% | |||
Other | 19.6% | |||
Total | 100% |
Portfolio Credit Quality
(% of total long-term fixed-income investments)1
AA | 0.0% | |||
BBB | 4.8% | |||
BB or Lower | 90.9% | |||
N/R (not rated) | 4.3% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
34 | NUVEEN |
Nuveen Inflation Protected Securities Fund
Fund Allocation
(% of net assets)
Convertible Preferred Securities | 0.0% | |||
Corporate Bonds | 4.2% | |||
Municipal Bonds | 0.2% | |||
U.S. Government and Agency Obligations | 87.4% | |||
Asset-Backed and Mortgage-Backed Securities | 5.8% | |||
Sovereign Debt | 0.8% | |||
Investments Purchased with Collateral from Securities Lending | 0.3% | |||
Money Market Funds | 0.9% | |||
Other Assets Less Liabilities | 0.4% | |||
Net Assets | 100% |
Corporate Bonds: Industries
(% of total corporate bonds holdings)
Diversified Telecommunication Services | 18.6% | |||
Health Care Providers & Services | 8.9% | |||
Wireless Telecommunication Services | 6.3% | |||
Oil, Gas & Consumable Fuels | 5.7% | |||
Road & Rail | 5.0% | |||
Chemicals | 4.8% | |||
Media | 4.4% | |||
Household Durables | 4.3% | |||
Commercial Services & Supplies | 4.1% | |||
Metals & Mining | 4.1% | |||
Independent Power & Renewable Electricity Producers | 3.0% | |||
Construction Materials | 2.7% | |||
Auto Components | 2.4% | |||
Equity Real Estate Investment Trusts | 2.3% | |||
Banks | 2.2% | |||
Construction & Engineering | 2.0% | |||
Other | 19.2% | |||
Total | 100% |
Portfolio Credit Quality
(% of total long-term
investments)1
AAA/U.S. Guaranteed | 91.5% | |||
AA | 1.1% | |||
A | 0.6% | |||
BBB | 3.3% | |||
BB or Lower | 3.0% | |||
N/R (not rated) | 0.5% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
NUVEEN | 35 |
Holding Summaries as of December 31, 2016 (continued)
Nuveen Intermediate Government Bond Fund
Fund Allocation
(% of net assets)
Municipal Bonds | 2.2% | |||
U.S. Government and Agency Obligations | 78.3% | |||
Asset-Backed and Mortgage-Backed Securities | 17.4% | |||
Investments Purchased with Collateral from Securities Lending | 3.3% | |||
Money Market Funds | 1.5% | |||
Other Assets Less Liabilities | (2.7)% | |||
Net Assets | 100% |
Portfolio Credit Quality
(% of total long-term investments)1
AAA/U.S. Guaranteed | 96.1% | |||
AA | 2.3% | |||
A | 1.2% | |||
BBB | 0.4% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
36 | NUVEEN |
Nuveen Short Term Bond Fund
Fund Allocation
(% of net assets)
Corporate Bonds | 45.8% | |||
Municipal Bonds | 1.8% | |||
U.S. Government and Agency Obligations | 8.0% | |||
Asset-Backed and Mortgage-Backed Securities | 42.1% | |||
Investments Purchased with Collateral from Securities Lending | 1.3% | |||
Money Market Funds | 2.2% | |||
Other Assets Less Liabilities | (1.2)% | |||
Net Assets | 100% |
Corporate Bonds: Industries
(% of total corporate bonds holdings)
Banks | 19.7% | |||
Capital Markets | 7.3% | |||
Diversified Telecommunication Services | 6.4% | |||
Media | 6.4% | |||
Chemicals | 4.2% | |||
Wireless Telecommunication Services | 4.1% | |||
Consumer Finance | 3.8% | |||
Health Care Providers & Services | 3.3% | |||
Food & Staples Retailing | 3.3% | |||
Insurance | 3.0% | |||
Diversified Financial Services | 2.5% | |||
Tech Hardware, Storage & Peripherals | 2.4% | |||
Food Products | 2.3% | |||
Tobacco | 2.0% | |||
Equity Real Estate Investment Trusts | 1.8% | |||
Oil, Gas & Consumable Fuels | 1.8% | |||
Automobiles | 1.6% | |||
Specialty Retail | 1.5% | |||
Biotechnology | 1.5% | |||
Health Care Equipment & Supplies | 1.4% | |||
Other | 19.7% | |||
Total | 100% |
Portfolio Credit Quality
(% of total long-term investments)1
AAA/U.S. Guaranteed | 32.3% | |||
AA | 12.2% | |||
A | 29.8% | |||
BBB | 18.6% | |||
BB or Lower | 4.8% | |||
N/R (not rated) | 2.3% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
NUVEEN | 37 |
Holding Summaries as of December 31, 2016 (continued)
Nuveen Strategic Income Fund
Fund Allocation
(% of net assets)
Common Stocks | 0.0% | |||
Convertible Preferred Securities | 0.2% | |||
Variable Rate Senior Loan Interests | 1.3% | |||
$25 Par (or similar) Retail Preferred | 0.3% | |||
Corporate Bonds | 70.0% | |||
Municipal Bonds | 2.4% | |||
$1,000 (par or similar) Institutional Preferred | 7.2% | |||
Asset-Backed and Mortgage-Backed Securities | 14.7% | |||
Sovereign Debt | 2.3% | |||
Investments Purchased with Collateral from Securities Lending | 5.3% | |||
Money Market Funds | 1.9% | |||
Other Assets Less Liabilities | (5.6)% | |||
Net Assets | 100% |
Corporate Bonds: Industries
(% of total corporate bond holdings)
Banks | 13.7% | |||
Oil, Gas & Consumable Fuels | 11.4% | |||
Capital Markets | 8.0% | |||
Media | 6.2% | |||
Diversified Telecommunication Services | 4.4% | |||
Insurance | 3.7% | |||
Wireless Telecommunication Services | 3.2% | |||
Chemicals | 3.2% | |||
Metals & Mining | 3.1% | |||
Consumer Finance | 3.0% | |||
Household Durables | 2.6% | |||
Diversified Financial Services | 2.3% | |||
Energy Equipment & Services | 2.2% | |||
Specialty Retail | 2.2% | |||
Equity Real Estate Investment Trusts | 2.1% | |||
Food Products | 1.9% | |||
Containers & Packaging | 1.7% | |||
Independent Power & Renewable Electricity Producers | 1.5% | |||
Aerospace & Defense | 1.3% | |||
Food & Staples Retailing | 1.2% | |||
Electric Utilities | 1.2% | |||
Other | 19.9% | |||
Total | 100% |
Portfolio Credit Quality
(% of total long-term fixed-income investments)1
AAA/U.S. Guaranteed | 9.9% | |||
AA | 2.3% | |||
A | 20.7% | |||
BBB | 34.1% | |||
BB or Lower | 32.7% | |||
N/R (not rated) | 0.3% | |||
Total | 100% |
1 | Excluding investments in derivatives. |
38 | NUVEEN |
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 ended December 31, 2016.
The beginning of the period for the funds is July 1, 2016.
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 each 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 tables 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
Share Class | ||||||||||||||||
Class A | Class C | Class R6 | Class I | |||||||||||||
Actual Performance | ||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||
Ending Account Value | $ | 971.70 | $ | 967.80 | $ | 972.80 | $ | 972.70 | ||||||||
Expenses Incurred During the Period | $ | 3.88 | $ | 7.59 | $ | 2.34 | $ | 2.64 | ||||||||
Hypothetical Performance (5% annualized return before expenses) | ||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||
Ending Account Value | $ | 1,021.27 | $ | 1,017.49 | $ | 1,022.84 | $ | 1,022.53 | ||||||||
Expenses Incurred During the Period | $ | 3.97 | $ | 7.78 | $ | 2.40 | $ | 2.70 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 0.78%, 1.53%, 0.47% and 0.53% for Classes A, C, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
NUVEEN | 39 |
Expense Examples (continued)
Nuveen Core Plus Bond Fund
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Actual Performance | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,007.70 | $ | 1,003.00 | $ | 1,007.50 | $ | 1,009.00 | $ | 1,008.10 | ||||||||||
Expenses Incurred During the Period | $ | 3.90 | $ | 7.67 | $ | 5.16 | $ | 2.33 | $ | 2.63 | ||||||||||
Hypothetical Performance (5% annualized return before expenses) | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,021.32 | $ | 1,017.54 | $ | 1,020.06 | $ | 1,022.89 | $ | 1,022.58 | ||||||||||
Expenses Incurred During the Period | $ | 3.92 | $ | 7.73 | $ | 5.19 | $ | 2.35 | $ | 2.65 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 0.77%, 1.52%, 1.02%, 0.46% and 0.52% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
Nuveen High Income Bond Fund
Share Class | ||||||||||||||||
A Shares | C Shares | R3 Shares | I Shares | |||||||||||||
Actual Performance | ||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||
Ending Account Value | $ | 1,113.30 | $ | 1,109.50 | $ | 1,113.30 | $ | 1,115.70 | ||||||||
Expenses Incurred During the Period | $ | 5.33 | $ | 9.30 | $ | 6.66 | $ | 4.00 | ||||||||
Hypothetical Performance | ||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||
Ending Account Value | $ | 1,020.16 | $ | 1,016.38 | $ | 1,018.90 | $ | 1,021.42 | ||||||||
Expenses Incurred During the Period | $ | 5.09 | $ | 8.89 | $ | 6.36 | $ | 3.82 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 1.00%, 1.75%, 1.25% and 0.75% for Classes A, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
Nuveen Inflation Protected Securities Fund
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Actual Performance | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 976.10 | $ | 971.30 | $ | 973.90 | $ | 977.50 | $ | 976.60 | ||||||||||
Expenses Incurred During the Period | $ | 3.89 | $ | 7.60 | $ | 5.12 | $ | 1.60 | $ | 2.64 | ||||||||||
Hypothetical Performance (5% annualized return before expenses) | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,021.27 | $ | 1,017.49 | $ | 1,020.01 | $ | 1,023.59 | $ | 1,022.53 | ||||||||||
Expenses Incurred During the Period | $ | 3.97 | $ | 7.78 | $ | 5.24 | $ | 1.63 | $ | 2.70 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 0.78%, 1.53%, 1.03%, 0.32% and 0.53% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
40 | NUVEEN |
Nuveen Intermediate Government Bond Fund
Share Class | ||||||||||||||||
Class A | Class C | Class R3 | Class I | |||||||||||||
Actual Performance | ||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||
Ending Account Value | $ | 970.10 | $ | 966.50 | $ | 968.80 | $ | 971.40 | ||||||||
Expenses Incurred During the Period | $ | 3.92 | $ | 7.63 | $ | 5.16 | $ | 2.68 | ||||||||
Hypothetical Performance (5% annualized return before expenses) | ||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||
Ending Account Value | $ | 1,021.22 | $ | 1,017.44 | $ | 1,019.96 | $ | 1,022.48 | ||||||||
Expenses Incurred During the Period | $ | 4.02 | $ | 7.83 | $ | 5.30 | $ | 2.75 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 0.79%, 1.54%, 1.04% and 0.54% for Classes A, C, R3 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
Nuveen Short Term Bond Fund
Share Class | ||||||||||||||||||||
Class A | Class C | Class R3 | Class R6 | Class I | ||||||||||||||||
Actual Performance | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,003.80 | $ | 999.90 | $ | 1,002.30 | $ | 1,005.10 | $ | 1,005.10 | ||||||||||
Expenses Incurred During the Period | $ | 3.64 | $ | 7.41 | $ | 4.90 | $ | 2.17 | $ | 2.38 | ||||||||||
Hypothetical Performance (5% annualized return before expenses) | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,021.58 | $ | 1,017.80 | $ | 1,020.32 | $ | 1,023.04 | $ | 1,022.84 | ||||||||||
Expenses Incurred During the Period | $ | 3.67 | $ | 7.48 | $ | 4.94 | $ | 2.19 | $ | 2.40 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 0.72%, 1.47%, 0.97%, 0.43% and 0.47% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
Nuveen Strategic Income Fund
Share Class | ||||||||||||||||||||
A Shares | C Shares | R3 Shares | R6 Shares | I Shares | ||||||||||||||||
Actual Performance | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,030.20 | $ | 1,026.30 | $ | 1,028.90 | $ | 1,032.30 | $ | 1,031.30 | ||||||||||
Expenses Incurred During the Period | $ | 4.25 | $ | 8.07 | $ | 5.52 | $ | 2.56 | $ | 2.97 | ||||||||||
Hypothetical Performance (5% annualized return before expenses) | ||||||||||||||||||||
Beginning Account Value | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | $ | 1,000.00 | ||||||||||
Ending Account Value | $ | 1,021.02 | $ | 1,017.24 | $ | 1,019.76 | $ | 1,022.68 | $ | 1,022.28 | ||||||||||
Expenses Incurred During the Period | $ | 4.23 | $ | 8.03 | $ | 5.50 | $ | 2.55 | $ | 2.96 |
For each class of the Fund, expenses are equal to the Fund’s annualized net expense ratio of 0.83%, 1.58%, 1.08%, 0.50% and 0.58% for Classes A, C, R3, R6 and I, respectively, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
NUVEEN | 41 |
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
LONG-TERM INVESTMENTS – 97.3% | ||||||||||||||||||||
CORPORATE BONDS – 40.7% | ||||||||||||||||||||
Automobiles – 0.5% | ||||||||||||||||||||
$ | 750 | General Motors Corporation | 4.000% | 4/01/25 | BBB– | $ | 733,974 | |||||||||||||
Banks – 5.9% | ||||||||||||||||||||
290 | Bank of America Corporation | 4.000% | 4/01/24 | A | 298,746 | |||||||||||||||
490 | Bank of America Corporation | 3.875% | 8/01/25 | A | 497,587 | |||||||||||||||
1,000 | Bank of America Corporation | 4.450% | 3/03/26 | A– | 1,029,127 | |||||||||||||||
1,005 | Citigroup Inc. | 4.500% | 1/14/22 | A | 1,070,475 | |||||||||||||||
807 | Fifth Third Bancorp. | 3.500% | 3/15/22 | A | 826,846 | |||||||||||||||
1,510 | GE Capital International Funding | 4.418% | 11/15/35 | AA– | 1,579,810 | |||||||||||||||
505 | JP Morgan Chase & Company | 3.200% | 1/25/23 | A+ | 510,110 | |||||||||||||||
1,240 | JP Morgan Chase & Company | 3.375% | 5/01/23 | A | 1,234,286 | |||||||||||||||
1,000 | JP Morgan Chase & Company | 6.400% | 5/15/38 | A+ | 1,293,723 | |||||||||||||||
805 | Santander UK PLC | 3.050% | 8/23/18 | Aa3 | 817,566 | |||||||||||||||
8,652 | Total Banks | 9,158,276 | ||||||||||||||||||
Beverages – 1.2% | ||||||||||||||||||||
1,395 | Anheuser Busch InBev Finance Inc. | 3.650% | 2/01/26 | A– | 1,414,012 | |||||||||||||||
420 | Dr. Pepper Snapple Group Inc. | 2.550% | 9/15/26 | BBB+ | 388,342 | |||||||||||||||
1,815 | Total Beverages | 1,802,354 | ||||||||||||||||||
Biotechnology – 1.0% | ||||||||||||||||||||
630 | Biogen Inc. | 3.625% | 9/15/22 | A– | 645,964 | |||||||||||||||
940 | Celgene Corporation, Convertible Notes | 3.625% | 5/15/24 | BBB+ | 943,522 | |||||||||||||||
1,570 | Total Biotechnology | 1,589,486 | ||||||||||||||||||
Capital Markets – 4.0% | ||||||||||||||||||||
665 | Charles Schwab Corporation | 3.000% | 3/10/25 | A | 651,620 | |||||||||||||||
1,280 | Goldman Sachs Group, Inc. | 5.750% | 1/24/22 | A | 1,437,632 | |||||||||||||||
1,090 | Goldman Sachs Group, Inc. | 6.750% | 10/01/37 | A– | 1,343,963 | |||||||||||||||
470 | Morgan Stanley | 6.625% | 4/01/18 | A | 496,972 | |||||||||||||||
1,145 | Morgan Stanley | 3.950% | 4/23/27 | A– | 1,131,712 | |||||||||||||||
1,105 | State Street Corporation | 3.300% | 12/16/24 | AA– | 1,114,467 | |||||||||||||||
5,755 | Total Capital Markets | 6,176,366 | ||||||||||||||||||
Consumer Finance – 0.3% | ||||||||||||||||||||
490 | Capital One Bank | 3.375% | 2/15/23 | Baa1 | 484,915 | |||||||||||||||
Containers & Packaging – 0.3% | ||||||||||||||||||||
480 | Packaging Corporation of America | 3.650% | 9/15/24 | BBB | 481,401 |
42 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Diversified Financial Services – 0.7% | ||||||||||||||||||||
$ | 995 | Rabobank Nederland | 3.875% | 2/08/22 | Aa2 | $ | 1,049,496 | |||||||||||||
Diversified Telecommunication Services – 3.4% | ||||||||||||||||||||
890 | AT&T, Inc. | 3.800% | 3/15/22 | A– | 911,458 | |||||||||||||||
720 | AT&T, Inc. | 5.550% | 8/15/41 | A– | 748,364 | |||||||||||||||
2,020 | SBA Tower Trust, 144A | 3.598% | 4/15/43 | BBB | 2,027,453 | |||||||||||||||
775 | Verizon Communications | 5.150% | 9/15/23 | A– | 856,058 | |||||||||||||||
750 | Verizon Communications | 4.125% | 8/15/46 | A– | 677,394 | |||||||||||||||
5,155 | Total Diversified Telecommunication Services | 5,220,727 | ||||||||||||||||||
Energy Equipment & Services – 0.4% | ||||||||||||||||||||
565 | Origin Energy Finance Limited, 144A | 3.500% | 10/09/18 | BBB– | 571,543 | |||||||||||||||
Equity Real Estate Investment Trusts – 1.4% | ||||||||||||||||||||
635 | American Tower Company | 5.000% | 2/15/24 | BBB | 682,932 | |||||||||||||||
380 | Crown Castle International Corporation | 3.700% | 6/15/26 | BBB– | 372,445 | |||||||||||||||
635 | Digital Realty Trust Inc. | 3.625% | 10/01/22 | BBB | 640,157 | |||||||||||||||
550 | WP Carey Inc. | 4.600% | 4/01/24 | BBB | 556,810 | |||||||||||||||
2,200 | Total Equity Real Estate Investment Trusts | 2,252,344 | ||||||||||||||||||
Food & Staples Retailing – 2.0% | ||||||||||||||||||||
930 | CVS Health Corporation | 3.875% | 7/20/25 | BBB+ | 958,150 | |||||||||||||||
730 | Sysco Corporation | 3.750% | 10/01/25 | A3 | 737,831 | |||||||||||||||
530 | Sysco Corporation | 3.300% | 7/15/26 | A3 | 519,337 | |||||||||||||||
850 | Walgreen Company | 3.100% | 9/15/22 | BBB | 848,933 | |||||||||||||||
3,040 | Total Food & Staples Retailing | 3,064,251 | ||||||||||||||||||
Health Care Equipment & Supplies – 0.2% | ||||||||||||||||||||
315 | Becton Dickinson & Company | 3.734% | 12/15/24 | BBB+ | 321,847 | |||||||||||||||
Health Care Providers & Services – 1.2% | ||||||||||||||||||||
1,215 | UnitedHealth Group Incorporated | 2.875% | 3/15/22 | A+ | 1,229,336 | |||||||||||||||
630 | Wellpoint Inc. | 3.125% | 5/15/22 | A | 629,659 | |||||||||||||||
1,845 | Total Health Care Providers & Services | 1,858,995 | ||||||||||||||||||
Household Durables – 0.4% | ||||||||||||||||||||
545 | Newell Brands Inc. | 4.200% | 4/01/26 | BBB– | 568,083 | |||||||||||||||
Insurance – 3.3% | ||||||||||||||||||||
131 | AFLAC Insurance | 6.450% | 8/15/40 | A– | 171,273 | |||||||||||||||
620 | American International Group, Inc. | 3.750% | 7/10/25 | A– | 623,198 | |||||||||||||||
990 | Berkshire Hathaway Inc. | 3.125% | 3/15/26 | AA | 982,146 | |||||||||||||||
750 | Lincoln National Corporation | 4.000% | 9/01/23 | A– | 781,021 | |||||||||||||||
1,220 | MetLife Inc. | 3.000% | 3/01/25 | A– | 1,195,351 | |||||||||||||||
940 | Prudential Financial Inc. | 3.500% | 5/15/24 | A | 958,318 |
NUVEEN | 43 |
Nuveen Core Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Insurance (continued) | ||||||||||||||||||||
$ | 465 | Symetra Financial Corporation | 4.250% | 7/15/24 | Baa1 | $ | 458,945 | |||||||||||||
5,116 | Total Insurance | 5,170,252 | ||||||||||||||||||
Internet and Direct Marketing Retail – 0.7% | ||||||||||||||||||||
980 | Amazon.com Incorporated | 3.800% | 12/05/24 | AA– | 1,028,562 | |||||||||||||||
Internet Software & Services – 0.4% | ||||||||||||||||||||
655 | eBay Inc. | 3.800% | 3/09/22 | BBB+ | 676,032 | |||||||||||||||
IT Services – 0.6% | ||||||||||||||||||||
955 | Visa Inc. | 3.150% | 12/14/25 | �� | A+ | 957,866 | ||||||||||||||
Leisure Products – 0.6% | ||||||||||||||||||||
1,025 | Hyatt Hotels Corporation | 3.375% | 7/15/23 | BBB | 1,009,801 | |||||||||||||||
Machinery – 0.5% | ||||||||||||||||||||
830 | Ingersoll-Rand Luxembourg Finance SA | 3.550% | 11/01/24 | BBB | 841,177 | |||||||||||||||
Media – 3.9% | ||||||||||||||||||||
605 | 21st Century Fox America Inc. | 4.000% | 10/01/23 | BBB+ | 624,254 | |||||||||||||||
350 | 21st Century Fox America Inc. | 6.650% | 11/15/37 | BBB+ | 430,042 | |||||||||||||||
785 | British Sky Broadcasting Group PLC, 144A | 6.100% | 2/15/18 | BBB | 818,958 | |||||||||||||||
775 | CBS Corporation | 4.900% | 8/15/44 | BBB | 774,328 | |||||||||||||||
835 | Charter Communications Operating Capital Corporation | 4.908% | 7/23/25 | BBB– | 878,937 | |||||||||||||||
305 | Cox Communications Inc., 144A | 3.850% | 2/01/25 | BBB+ | 298,754 | |||||||||||||||
435 | Cox Communications Inc., 144A | 3.350% | 9/15/26 | BBB+ | 414,779 | |||||||||||||||
660 | Discovery Communications Inc. | 5.050% | 6/01/20 | BBB– | 707,936 | |||||||||||||||
885 | NBC Universal Media LLC | 6.400% | 4/30/40 | A– | 1,142,500 | |||||||||||||||
5,635 | Total Media | 6,090,488 | ||||||||||||||||||
Metals & Mining – 0.3% | ||||||||||||||||||||
495 | Nucor Corporation | 4.000% | 8/01/23 | A– | 519,820 | |||||||||||||||
Oil, Gas & Consumable Fuels – 1.8% | ||||||||||||||||||||
600 | Apache Corporation | 4.250% | 1/15/44 | BBB | 590,329 | |||||||||||||||
550 | EOG Resources Inc. | 4.100% | 2/01/21 | BBB+ | 579,161 | |||||||||||||||
590 | Spectra Energy Partners LP | 4.750% | 3/15/24 | BBB | 625,697 | |||||||||||||||
480 | SunCor Energy Inc. | 5.950% | 12/01/34 | A– | 565,921 | |||||||||||||||
540 | Valero Energy Corporation | 3.400% | 9/15/26 | BBB | 516,559 | |||||||||||||||
2,760 | Total Oil, Gas & Consumable Fuels | 2,877,667 | ||||||||||||||||||
Pharmaceuticals – 0.6% | ||||||||||||||||||||
995 | Merck & Company Inc. | 2.750% | 2/10/25 | AA | 975,669 | |||||||||||||||
Road & Rail – 0.6% | ||||||||||||||||||||
895 | Burlington Northern Santa Fe, LLC | 3.400% | 9/01/24 | A | 920,292 |
44 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Semiconductors & Semiconductor Equipment – 0.5% | ||||||||||||||||||||
$ | 740 | Applied Materials Inc. | 4.300% | 6/15/21 | A– | $ | 794,908 | |||||||||||||
Software – 0.5% | ||||||||||||||||||||
750 | Total System Services Inc. | 3.750% | 6/01/23 | BBB– | 744,129 | |||||||||||||||
Specialty Retail – 1.0% | ||||||||||||||||||||
520 | Home Depot, Inc. | 2.625% | 6/01/22 | A | 521,954 | |||||||||||||||
1,000 | Swiss Re Treasury US Corporation, 144A | 4.250% | 12/06/42 | AA– | 974,683 | |||||||||||||||
1,520 | Total Specialty Retail | 1,496,637 | ||||||||||||||||||
Technology Hardware, Storage & Peripherals – 0.6% | ||||||||||||||||||||
905 | HP Inc. | 4.650% | 12/09/21 | BBB+ | 966,423 | |||||||||||||||
Tobacco – 0.6% | ||||||||||||||||||||
885 | Reynolds American Inc. | 3.250% | 11/01/22 | BBB | 881,222 | |||||||||||||||
Transportation Infrastructure – 0.7% | ||||||||||||||||||||
1,000 | Sydney Airport Finance Company Party Limited, 144A | 3.900% | 3/22/23 | BBB | 1,022,008 | |||||||||||||||
Wireless Telecommunication Services – 0.6% | ||||||||||||||||||||
880 | Rogers Communications Inc. | 3.625% | 12/15/25 | BBB+ | 888,649 | |||||||||||||||
$ | 61,193 | Total Corporate Bonds (cost $62,028,127) | 63,195,660 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
$1,000 PAR (OR SIMILAR) INSTITUTIONAL PREFERRED – 0.4% | ||||||||||||||||||||
Banks – 0.4% | ||||||||||||||||||||
$ | 700 | Wachovia Capital Trust III | 5.570% | N/A (3) | BBB | $ | 686,910 | |||||||||||||
$ | 700 | Total $1,000 Par (or similar) Institutional Preferred (cost $620,263) | 686,910 | |||||||||||||||||
Principal Amount (000) | Description (1) | Optional Call Provisions (4) | Ratings (2) | Value | ||||||||||||||||
MUNICIPAL BONDS – 2.0% | ||||||||||||||||||||
Massachusetts – 0.7% | ||||||||||||||||||||
$ | 965 | Massachusetts State, General Obligation Bonds, Consolidated Loan, Series 2016J, 5.000%, 12/01/36 | 12/26 at 100.00 | AA+ | $ | 1,124,997 | ||||||||||||||
New York – 0.7% | ||||||||||||||||||||
415 | Dormitory Authority of the State of New York, State Personal Income Tax Revenue Bonds, General Purpose Series 2016A Group A, 5.000%, 2/15/39 | 8/26 at 100.00 | AAA | 476,076 | ||||||||||||||||
290 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2016 Series E-1, 5.000%, 2/01/35 | 2/26 at 100.00 | AAA | 333,581 | ||||||||||||||||
270 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2017 Series A-1, 5.000%, 5/01/36 | 5/26 at 100.00 | AAA | 310,592 | ||||||||||||||||
975 | Total New York | 1,120,249 | ||||||||||||||||||
Texas – 0.6% | ||||||||||||||||||||
720 | Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Refunding Series 2016A, 5.000%, 12/01/46 | 12/25 at 100.00 | AA+ | 815,076 | ||||||||||||||||
$ | 2,660 | Total Municipal Bonds (cost $3,008,574) | 3,060,322 |
NUVEEN | 45 |
Nuveen Core Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 11.7% | ||||||||||||||||||||
$ | 1,835 | Federal Home Loan Bank Bonds | 0.875% | 6/29/18 | Aaa | $ | 1,828,310 | |||||||||||||
60 | Federal Home Loan Mortgage Corporation, Notes | 1.750% | 5/30/19 | Aaa | 60,549 | |||||||||||||||
2,055 | Freddie Mac Reference Notes | 5.000% | 12/14/18 | Aa2 | 2,199,078 | |||||||||||||||
1,875 | Freddie Mac Reference Notes | 1.125% | 4/15/19 | Aaa | 1,866,928 | |||||||||||||||
250 | U.S. Treasury Bonds | 2.750% | 11/15/42 | Aaa | 235,621 | |||||||||||||||
970 | U.S. Treasury Bonds, (5) | 3.625% | 2/15/44 | Aaa | 1,072,877 | |||||||||||||||
20 | U.S. Treasury Bonds | 2.500% | 2/15/45 | Aaa | 17,773 | |||||||||||||||
245 | U.S. Treasury Bonds | 2.250% | 8/15/46 | Aaa | 205,474 | |||||||||||||||
650 | U.S. Treasury Notes | 2.500% | 5/15/24 | Aaa | 658,889 | |||||||||||||||
830 | U.S. Treasury Notes | 2.375% | 8/15/24 | Aaa | 832,776 | |||||||||||||||
1,000 | U.S. Treasury Notes | 1.375% | 5/31/21 | Aaa | 979,226 | |||||||||||||||
600 | U.S. Treasury Notes | 2.125% | 6/30/21 | Aaa | 605,915 | |||||||||||||||
1,700 | U.S. Treasury Notes, (5) | 1.250% | 10/31/21 | Aaa | 1,646,829 | |||||||||||||||
375 | U.S. Treasury Notes | 2.000% | 7/31/22 | Aaa | 373,217 | |||||||||||||||
385 | U.S. Treasury Notes | 1.375% | 6/30/23 | Aaa | 365,276 | |||||||||||||||
5,350 | U.S. Treasury Notes | 2.875% | 11/15/46 | Aaa | 5,152,558 | |||||||||||||||
$ | 18,200 | Total U.S. Government and Agency Obligations (cost $17,949,777) |
| 18,101,296 | ||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 42.5% | ||||||||||||||||||||
$ | 1,090 | 321 Henderson Receivables LLC, Series 2010-3A, 144A | 3.820% | 12/15/48 | Aaa | $ | 1,099,689 | |||||||||||||
882 | American Homes 4 Rent, Series 2014-SFR2, 144A | 3.786% | 10/17/36 | Aaa | 904,569 | |||||||||||||||
500 | American Homes 4 Rent, Series 2015-SFR2, 144A | 5.036% | 10/17/45 | Baa2 | 520,530 | |||||||||||||||
600 | AmeriCold LLC Trust, Series 2010, 144A | 6.031% | 1/17/29 | AA | 661,814 | |||||||||||||||
260 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 4.366% | 9/17/48 | A– | 252,136 | |||||||||||||||
165 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 3.167% | 9/17/48 | BBB– | 124,591 | |||||||||||||||
1,000 | Citigroup Commercial Mortgage Trust Series 2012-GC8 | 3.024% | 9/12/45 | Aaa | 1,021,946 | |||||||||||||||
1,787 | Colony American Homes Trust 2014-1A, 144A | 2.136% | 5/17/31 | Aaa | 1,785,395 | |||||||||||||||
625 | Commercial Mortgage Pass-Through Certificates, Series 2015-CR26 | 4.495% | 10/10/48 | A– | 592,558 | |||||||||||||||
666 | Conns Receivables Funding Trust II, Series 2016-B, 144A | 3.730% | 10/15/18 | BBB | 667,655 | |||||||||||||||
— | (6) | ContiMortgage Home Equity Loan Trust, Series 1997-2 | 7.090% | 4/15/28 | AAA | 2 | ||||||||||||||
775 | DT Auto Owner Trust, Series 2015-3A, 144A | 2.460% | 11/15/19 | AA | 777,769 | |||||||||||||||
716 | Fannie Mae Mortgage Pool FN 725205 | 5.000% | 3/01/34 | Aaa | 780,888 | |||||||||||||||
1,359 | Fannie Mae Mortgage Pool FN 890310 | 4.500% | 12/01/40 | Aaa | 1,467,320 | |||||||||||||||
1,050 | Fannie Mae Mortgage Pool FN 960605 | 5.000% | 8/01/37 | Aaa | 1,147,572 | |||||||||||||||
2,059 | Fannie Mae Mortgage Pool FN AB2085 | 4.000% | 1/01/41 | Aaa | 2,163,531 | |||||||||||||||
2,822 | Fannie Mae Mortgage Pool FN AB9659 | 3.000% | 6/01/43 | Aaa | 2,818,934 |
46 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 1,387 | Fannie Mae Mortgage Pool FN AD1593 | 4.500% | 2/01/40 | Aaa | $ | 1,494,083 | |||||||||||||
1,816 | Fannie Mae Mortgage Pool FN AE0217 | 4.500% | 8/01/40 | Aaa | 1,955,995 | |||||||||||||||
1,616 | Fannie Mae Mortgage Pool FN AE0981 | 3.500% | 3/01/41 | Aaa | 1,665,484 | |||||||||||||||
775 | Fannie Mae Mortgage Pool FN AH3804 | 4.000% | 2/01/41 | Aaa | 815,722 | |||||||||||||||
2,115 | Fannie Mae Mortgage Pool FN AH5575 | 4.000% | 2/01/41 | Aaa | 2,226,566 | |||||||||||||||
1,663 | Fannie Mae Mortgage Pool FN AH8954 | 4.000% | 4/01/41 | Aaa | 1,755,497 | |||||||||||||||
1,871 | Fannie Mae Mortgage Pool FN AL0215 | 4.500% | 4/01/41 | Aaa | 2,020,017 | |||||||||||||||
1,023 | Fannie Mae Mortgage Pool FN AL0160 | 4.500% | 5/01/41 | Aaa | 1,102,871 | |||||||||||||||
1,534 | Fannie Mae Mortgage Pool FN AL7486 | 3.500% | 10/01/45 | Aaa | 1,572,249 | |||||||||||||||
1,859 | Fannie Mae Mortgage Pool FN AS6398 | 3.500% | 12/01/45 | Aaa | 1,905,721 | |||||||||||||||
1,527 | Fannie Mae Mortgage Pool FN AS6652 | 3.500% | 2/01/46 | Aaa | 1,564,742 | |||||||||||||||
1,541 | Fannie Mae Mortgage Pool FN AS8186 | 3.000% | 10/01/46 | Aaa | 1,531,644 | |||||||||||||||
1,307 | Fannie Mae Mortgage Pool FN AU3353 | 3.000% | 8/01/43 | Aaa | 1,305,603 | |||||||||||||||
1,829 | Fannie Mae Mortgage Pool FN AY3376 | 3.500% | 4/01/45 | Aaa | 1,874,525 | |||||||||||||||
855 | Fannie Mae Mortgage Pool FN BC0830 | 3.000% | 4/01/46 | Aaa | 850,033 | |||||||||||||||
561 | Fannie Mae Mortgage Pool FG G08687 | 3.500% | 1/01/46 | Aaa | 574,948 | |||||||||||||||
1,539 | Fannie Mae Mortgage Pool FN MA1028 | 4.000% | 4/01/42 | Aaa | 1,624,624 | |||||||||||||||
1,595 | Fannie Mae Mortgage Pool FN MA2806 | 3.000% | 11/01/46 | Aaa | 1,584,874 | |||||||||||||||
2 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass Through CertificatesFNR 1990-89 K | 6.500% | 7/25/20 | Aaa | 2,162 | |||||||||||||||
1,615 | Fannie Mae TBA Mortgage Pool, (WI/DD) | 3.500% | TBA | Aaa | 1,654,245 | |||||||||||||||
526 | Fannie Mae, Connecticut Avenue Securities, Series 2014-C03 | 1.784% | 7/25/24 | BBB+ | 527,641 | |||||||||||||||
3 | Federal Home Loan Mortgage Corporation, REMIC FHR 1167 E | 7.500% | 11/15/21 | Aaa | 3,106 | |||||||||||||||
6 | Federal Home Loan Mortgage Corporation, REMIC FHR 1286 A | 6.000% | 5/15/22 | Aaa | 6,140 | |||||||||||||||
151 | Federal Home Loan Mortgage Corporation, REMIC FHR 2750 HE | 5.000% | 2/15/19 | Aaa | 152,978 | |||||||||||||||
841 | Freddie Mac Gold Pool FG G05852 | 5.500% | 3/01/39 | Aaa | 933,867 | |||||||||||||||
880 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2013-K712, 144A | 3.365% | 5/25/45 | AA | 893,123 | |||||||||||||||
1,715 | Freddie Mac Multifamily Structured Pass- Through Certificates FHMS K053 | 2.995% | 12/25/25 | Aaa | 1,727,412 | |||||||||||||||
988 | Ginnie Mae Mortgage Pool G2 MA2521 | 3.500% | 1/20/45 | Aaa | 1,027,824 | |||||||||||||||
2,656 | Government National Mortgage Association Pool GN AA5391 | 3.500% | 6/15/42 | Aaa | 2,768,937 | |||||||||||||||
1,646 | Invitation Homes Trust 2013-SFR1, 144A | 1.886% | 12/17/30 | Aaa | 1,645,772 | |||||||||||||||
1,230 | JP Morgan Mortgage Trust, Series 2016-A5, 144A | 3.500% | 5/25/46 | Aaa | 1,249,725 | |||||||||||||||
506 | Master Resecuritization Trust 2009-1, 144A | 6.000% | 10/25/36 | A | 519,890 | |||||||||||||||
825 | OMART Receivables Trust, Series 2016-T1, 144A | 2.521% | 8/17/48 | AAA | 821,501 | |||||||||||||||
121 | Structured Adjustable Rate Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2004-11 | 3.122% | 8/25/34 | N/R | 119,799 | |||||||||||||||
537 | Structured Agency Credit Risk Debt Notes, 2013-DN2 | 2.042% | 11/27/23 | A1 | 538,006 | |||||||||||||||
2,146 | United States Department of Veterans, Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, Series 2011-1 | 3.750% | 2/15/35 | Aaa | 2,235,659 |
NUVEEN | 47 |
Nuveen Core Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 679 | Walter Investment Management Company Capital Trust, Series 2012-AA, 144A | 4.549% | 10/16/50 | A | $ | 681,105 | |||||||||||||
500 | Wells Fargo Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2015-C29 | 3.637% | 6/17/48 | Aaa | 515,104 | |||||||||||||||
730 | Wells Fargo Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2016-C32 | 3.560% | 1/17/59 | Aaa | 747,176 | |||||||||||||||
1,567 | U.S. Small Business Administration Guaranteed Participating Securities, Participation Certificates, Series 2010-P10B | 3.215% | 9/01/20 | Aaa | 1,605,025 | |||||||||||||||
1,363 | Atlantic City Electric Transition Funding LLC, Transition Bonds, Series 2002-1 | 5.550% | 10/20/23 | AAA | 1,477,452 | |||||||||||||||
$ | 64,002 | Total Asset-Backed and Mortgage-Backed Securities (cost $65,162,936) | 66,065,746 | |||||||||||||||||
Total Long-Term Investments (cost $148,769,677) | 151,109,934 | |||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 1.1% | ||||||||||||||||||||
Money Market Funds – 1.1% | ||||||||||||||||||||
1,796,875 | First American Government Obligations Fund, Class X, (8) | 0.467% (7) | $ | 1,796,875 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $1,796,875) |
| 1,796,875 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 3.4% | ||||||||||||||||||||
Money Market Funds – 3.4% | ||||||||||||||||||||
5,204,572 | First American Treasury Obligations Fund, Class Z | 0.389% (7) | $ | 5,204,572 | ||||||||||||||||
Total Short-Term Investments (cost $5,204,572) | 5,204,572 | |||||||||||||||||||
Total Investments (cost $155,771,124) – 101.8% | 158,111,381 | |||||||||||||||||||
Other Assets Less Liabilities – (1.8)% (9) | (2,794,987 | ) | ||||||||||||||||||
Net Assets – 100% | $ | 155,316,394 |
Investments in Derivatives as of December 31, 2016
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value* | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 10-Year Note | Short | (139 | ) | 3/17 | $ | (17,275,094 | ) | $ | (47,781 | ) | $ | (50,531 | ) | |||||||||||
U.S. Treasury Long Bond | Short | (1 | ) | 3/17 | (150,656 | ) | (750 | ) | 1,505 | |||||||||||||||
U.S. Treasury Ultra Bond | Long | 10 | 3/17 | 1,602,500 | 9,688 | (20,858 | ) | |||||||||||||||||
$ | (15,823,250 | ) | $ | (38,843 | ) | $ | (69,884 | ) |
* | The aggregate Notional Amount at Value of long and short positions is $1,602,500 and $(17,425,750), respectively. |
48 | NUVEEN |
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) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(3) | Perpetual security. Maturity date is not applicable. |
(4) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. |
(5) | 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 $1,757,435. |
(6) | Principal Amount (000) rounds to less than $1,000. |
(7) | The rate shown is the annualized seven-day subsidized 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, Note 3 – Portfolio Securities and Investments in Derivatives, Securities Lending for more information. |
(9) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
TBA | To be announced. Maturity date not known prior to settlement of this transaction. |
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. |
(WI/DD) | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
See accompanying notes to financial statements.
NUVEEN | 49 |
Nuveen Core Plus Bond Fund
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
LONG-TERM INVESTMENTS – 97.5% | ||||||||||||||||||||
CORPORATE BONDS – 52.8% | ||||||||||||||||||||
Aerospace & Defense – 1.0% | ||||||||||||||||||||
$ | 1,295 | BAE Systems Holdings, 144A | 3.850% | 12/15/25 | BBB | $ | 1,318,968 | |||||||||||||
945 | L-3 Communications Corporation | 3.850% | 12/15/26 | BBB– | 937,939 | |||||||||||||||
1,460 | Martin Marietta Materials | 4.250% | 7/02/24 | BBB+ | 1,481,699 | |||||||||||||||
3,700 | Total Aerospace & Defense | 3,738,606 | ||||||||||||||||||
Air Freight & Logistics – 0.3% | ||||||||||||||||||||
1,095 | FedEx Corporation | 3.250% | 4/01/26 | BBB | 1,085,914 | |||||||||||||||
Airlines – 0.5% | ||||||||||||||||||||
1,494 | Northwest Airlines Trust Pass-Through Certificates 2007-1 | 7.027% | 11/01/19 | A | 1,667,353 | |||||||||||||||
Automobiles – 0.4% | ||||||||||||||||||||
1,320 | General Motors Corporation | 4.000% | 4/01/25 | BBB– | 1,291,794 | |||||||||||||||
Banks – 8.3% | ||||||||||||||||||||
1,465 | Bank of America Corporation | 4.000% | 4/01/24 | A | 1,509,183 | |||||||||||||||
2,250 | Bank of America Corporation | 4.250% | 10/22/26 | A– | 2,273,929 | |||||||||||||||
1,990 | Bank of America Corporation | 3.248% | 10/21/27 | A | 1,896,741 | |||||||||||||||
2,085 | Barclays Bank PLC | 3.650% | 3/16/25 | A | 2,015,824 | |||||||||||||||
545 | CIT Group Inc. | 5.000% | 8/01/23 | BB+ | 562,713 | |||||||||||||||
545 | Citigroup Inc. | 4.500% | 1/14/22 | A | 580,506 | |||||||||||||||
1,000 | Citigroup Inc. | 3.750% | 6/16/24 | A | 1,017,257 | |||||||||||||||
1,775 | Citigroup Inc. | 3.300% | 4/27/25 | A | 1,736,724 | |||||||||||||||
795 | Citigroup Inc. | 3.200% | 10/21/26 | A | 759,046 | |||||||||||||||
2,000 | Citigroup Inc. | 4.300% | 11/20/26 | A– | 2,015,760 | |||||||||||||||
2,100 | GE Capital International Funding | 4.418% | 11/15/35 | AA– | 2,197,087 | |||||||||||||||
1,390 | HSBC Holdings PLC | 6.800% | 6/01/38 | A+ | 1,757,552 | |||||||||||||||
1,665 | JP Morgan Chase & Company | 3.200% | 1/25/23 | A+ | 1,681,848 | |||||||||||||||
1,560 | JP Morgan Chase & Company | 3.900% | 7/15/25 | A+ | 1,602,051 | |||||||||||||||
795 | JP Morgan Chase & Company | 2.950% | 10/01/26 | A+ | 757,660 | |||||||||||||||
1,150 | JP Morgan Chase & Company | 6.400% | 5/15/38 | A+ | 1,487,781 | |||||||||||||||
1,095 | Lloyds Banking Group PLC | 3.100% | 7/06/21 | A+ | 1,107,626 | |||||||||||||||
1,200 | Royal Bank of Scotland Group PLC | 6.100% | 6/10/23 | BBB | 1,254,836 | |||||||||||||||
1,400 | Santander UK PLC, 144A | 5.000% | 11/07/23 | A– | 1,424,254 | |||||||||||||||
1,220 | Societe Generale, 144A | 5.000% | 1/17/24 | A– | 1,237,512 | |||||||||||||||
1,470 | Standard Chartered PLC, 144A | 5.700% | 3/26/44 | A3 | 1,465,650 | |||||||||||||||
29,495 | Total Banks | 30,341,540 |
50 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Biotechnology – 0.5% | ||||||||||||||||||||
$ | 1,905 | Baxalta, Inc. | 4.000% | 6/23/25 | BBB– | $ | 1,908,141 | |||||||||||||
Building Products – 0.6% | ||||||||||||||||||||
635 | LafargeHolcim Finance US LLC, 144A | 3.500% | 9/22/26 | BBB | 614,343 | |||||||||||||||
1,385 | Owens Corning Incorporated | 4.200% | 12/15/22 | BBB | 1,436,817 | |||||||||||||||
2,020 | Total Building Products | 2,051,160 | ||||||||||||||||||
Capital Markets – 4.6% | ||||||||||||||||||||
3,000 | Goldman Sachs Group, Inc. | 5.750% | 1/24/22 | A | 3,369,450 | |||||||||||||||
3,630 | Goldman Sachs Group, Inc. | 4.000% | 3/03/24 | A | 3,761,562 | |||||||||||||||
2,450 | Lazard Group LLC | 3.625% | 3/01/27 | A– | 2,324,364 | |||||||||||||||
4,105 | Morgan Stanley | 5.500% | 7/28/21 | A | 4,544,945 | |||||||||||||||
2,825 | Morgan Stanley | 3.950% | 4/23/27 | A– | 2,792,216 | |||||||||||||||
16,010 | Total Capital Markets | 16,792,537 | ||||||||||||||||||
Chemicals – 1.6% | ||||||||||||||||||||
2,000 | Agrium Inc. | 3.375% | 3/15/25 | BBB | 1,934,788 | |||||||||||||||
875 | Braskem Finance Limited, 144A | 5.750% | 4/15/21 | BBB– | 920,938 | |||||||||||||||
1,425 | LYB International Finance BV | 4.000% | 7/15/23 | Baa1 | 1,482,963 | |||||||||||||||
505 | Platform Specialty Products Corporation, 144A | 6.500% | 2/01/22 | B+ | 508,787 | |||||||||||||||
1,075 | PolyOne Corporation | 5.250% | 3/15/23 | BB– | 1,091,125 | |||||||||||||||
5,880 | Total Chemicals | 5,938,601 | ||||||||||||||||||
Commercial Services & Supplies – 0.1% | ||||||||||||||||||||
440 | APX Group, Inc. | 7.875% | 12/01/22 | B1 | 476,300 | |||||||||||||||
Construction & Engineering – 0.2% | ||||||||||||||||||||
555 | AECOM Technology Corporation | 5.750% | 10/15/22 | BB | 586,635 | |||||||||||||||
Consumer Finance – 1.7% | ||||||||||||||||||||
1,225 | Ally Financial Inc. | 5.750% | 11/20/25 | BB | 1,221,938 | |||||||||||||||
1,148 | Capital One Bank | 3.375% | 2/15/23 | Baa1 | 1,136,086 | |||||||||||||||
1,790 | Discover Financial Services | 5.200% | 4/27/22 | BBB+ | 1,926,538 | |||||||||||||||
2,000 | Ford Motor Credit Company | 4.250% | 9/20/22 | BBB | 2,058,350 | |||||||||||||||
6,163 | Total Consumer Finance | 6,342,912 | ||||||||||||||||||
Containers & Packaging – 1.1% | ||||||||||||||||||||
750 | Cascades Inc., 144A | 5.750% | 7/15/23 | BB– | 761,250 | |||||||||||||||
1,145 | Packaging Corporation of America | 3.650% | 9/15/24 | BBB | 1,148,341 | |||||||||||||||
680 | Reynolds Group, 144A | 5.125% | 7/15/23 | B+ | 691,050 | |||||||||||||||
1,445 | Rock-Tenn Company | 4.900% | 3/01/22 | BBB | 1,567,068 | |||||||||||||||
4,020 | Total Containers & Packaging | 4,167,709 | ||||||||||||||||||
Diversified Financial Services – 0.9% | ||||||||||||||||||||
1,720 | BNP Paribas, 144A | 4.375% | 5/12/26 | A | 1,695,232 |
NUVEEN | 51 |
Nuveen Core Plus Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Diversified Financial Services (continued) | ||||||||||||||||||||
$ | 1,475 | Rabobank Nederland | 3.950% | 11/09/22 | A | $ | 1,515,673 | |||||||||||||
3,195 | Total Diversified Financial Services | 3,210,905 | ||||||||||||||||||
Diversified Telecommunication Services – 3.5% | ||||||||||||||||||||
2,270 | AT&T, Inc. | 3.800% | 3/15/22 | A– | 2,324,730 | |||||||||||||||
1,315 | AT&T, Inc. | 5.550% | 8/15/41 | A– | 1,366,804 | |||||||||||||||
375 | Frontier Communications Corporation | 11.000% | 9/15/25 | BB | 387,188 | |||||||||||||||
2,190 | Qwest Corporation | 6.750% | 12/01/21 | BBB– | 2,376,150 | |||||||||||||||
2,610 | SBA Tower Trust, 144A | 3.598% | 4/15/43 | BBB | 2,619,629 | |||||||||||||||
1,000 | Verizon Communications | 5.150% | 9/15/23 | A– | 1,104,591 | |||||||||||||||
570 | Verizon Communications | 3.500% | 11/01/24 | A– | 567,467 | |||||||||||||||
800 | Verizon Communications | 4.125% | 8/15/46 | A– | 722,554 | |||||||||||||||
1,330 | Verizon Communications | 4.862% | 8/21/46 | A– | 1,345,057 | |||||||||||||||
12,460 | Total Diversified Telecommunication Services | 12,814,170 | ||||||||||||||||||
Electronic Equipment, Instruments & Components – 0.2% | ||||||||||||||||||||
565 | Anixter Inc. | 5.125% | 10/01/21 | BB+ | 587,600 | |||||||||||||||
Energy Equipment & Services – 0.8% | ||||||||||||||||||||
1,070 | Nabors Industries Inc., 144A | 5.500% | 1/15/23 | BBB– | 1,114,137 | |||||||||||||||
1,600 | Origin Energy Finance Limited, 144A | 3.500% | 10/09/18 | BBB– | 1,618,528 | |||||||||||||||
2,670 | Total Energy Equipment & Services | 2,732,665 | ||||||||||||||||||
Equity Real Estate Investment Trusts – 2.3% | ||||||||||||||||||||
1,410 | American Tower Company | 5.000% | 2/15/24 | BBB | 1,516,432 | |||||||||||||||
785 | Crown Castle International Corporation | 3.700% | 6/15/26 | BBB– | 769,393 | |||||||||||||||
580 | Geo Group Inc. | 6.000% | 4/15/26 | BB– | 569,850 | |||||||||||||||
1,865 | Omega Healthcare Investors Inc. | 4.950% | 4/01/24 | BBB– | 1,887,744 | |||||||||||||||
1,815 | Piedmont Operating Partnership LP | 4.450% | 3/15/24 | BBB | 1,805,834 | |||||||||||||||
1,200 | Plum Creek Timberlands LP | 4.700% | 3/15/21 | Baa2 | 1,272,434 | |||||||||||||||
465 | Realogy Group LLC / Realogy Co-Issuer Corporation, 144A | 5.250% | 12/01/21 | B+ | 476,625 | |||||||||||||||
8,120 | Total Equity Real Estate Investment Trusts | 8,298,312 | ||||||||||||||||||
Food & Staples Retailing – 0.8% | ||||||||||||||||||||
825 | Pomegranate Merger Sub, Inc., 144A | 9.750% | 5/01/23 | B | 705,375 | |||||||||||||||
1,225 | Sysco Corporation | 3.300% | 7/15/26 | A3 | 1,200,354 | |||||||||||||||
1,000 | Tops Holding LLC / Tops Markets II Corporation, 144A | 8.000% | 6/15/22 | B– | 860,000 | |||||||||||||||
3,050 | Total Food & Staples Retailing | 2,765,729 | ||||||||||||||||||
Food Products – 0.8% | ||||||||||||||||||||
1,200 | Bunge Limited Finance Company | 3.250% | 8/15/26 | BBB | 1,150,616 | |||||||||||||||
1,045 | Kraft Heinz Foods Company | 4.375% | 6/01/46 | BBB– | 981,368 | |||||||||||||||
750 | Pilgrim’s Pride Corporation, 144A | 5.750% | 3/15/25 | BB | 750,000 | |||||||||||||||
2,995 | Total Food Products | 2,881,984 |
52 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Health Care Equipment & Supplies – 0.1% | ||||||||||||||||||||
$ | 135 | Tenet Healthcare Corporation | 4.375% | 10/01/21 | BB– | $ | 132,975 | |||||||||||||
200 | Tenet Healthcare Corporation, 144A | 7.500% | 1/01/22 | Ba3 | 208,500 | |||||||||||||||
335 | Total Health Care Equipment & Supplies | 341,475 | ||||||||||||||||||
Health Care Providers & Services – 0.5% | ||||||||||||||||||||
540 | Lifepoint Health Inc., 144A | 5.375% | 5/01/24 | Ba2 | 528,930 | |||||||||||||||
1,065 | UnitedHealth Group Incorporated | 4.750% | 7/15/45 | A+ | 1,170,870 | |||||||||||||||
1,605 | Total Health Care Providers & Services | 1,699,800 | ||||||||||||||||||
Hotels, Restaurants & Leisure – 0.4% | ||||||||||||||||||||
535 | MGM Resorts International Inc. | 6.000% | 3/15/23 | BB | 577,800 | |||||||||||||||
1,000 | Wynn Macau Limited, 144A | 5.250% | 10/15/21 | Ba3 | 1,007,500 | |||||||||||||||
1,535 | Total Hotels, Restaurants & Leisure | 1,585,300 | ||||||||||||||||||
Household Durables – 1.0% | ||||||||||||||||||||
450 | Brookfield Residential Properties Inc., 144A | 6.500% | 12/15/20 | B+ | 460,125 | |||||||||||||||
875 | Harman International Industries, Inc. | 4.150% | 5/15/25 | BBB– | 902,244 | |||||||||||||||
350 | Lennar Corporation | 4.750% | 4/01/21 | Ba1 | 361,375 | |||||||||||||||
1,230 | Newell Brands Inc. | 4.200% | 4/01/26 | BBB– | 1,282,097 | |||||||||||||||
565 | PulteGroup Inc. | 5.500% | 3/01/26 | BB+ | 560,762 | |||||||||||||||
3,470 | Total Household Durables | 3,566,603 | ||||||||||||||||||
Independent Power & Renewable Electricity Producers – 0.1% | ||||||||||||||||||||
480 | Dynegy Inc., 144A | 8.000% | 1/15/25 | B+ | 447,600 | |||||||||||||||
Insurance – 1.8% | ||||||||||||||||||||
385 | AFLAC Insurance | 6.450% | 8/15/40 | A– | 503,358 | |||||||||||||||
555 | Genworth Holdings Inc. | 4.800% | 2/15/24 | Ba3 | 452,325 | |||||||||||||||
2,030 | Lincoln National Corporation | 4.000% | 9/01/23 | A– | 2,113,965 | |||||||||||||||
1,000 | Symetra Financial Corporation | 4.250% | 7/15/24 | Baa1 | 986,978 | |||||||||||||||
1,020 | Unum Group | 4.000% | 3/15/24 | BBB | 1,022,989 | |||||||||||||||
1,440 | XLIT Limited | 4.450% | 3/31/25 | BBB | 1,426,081 | |||||||||||||||
6,430 | Total Insurance | 6,505,696 | ||||||||||||||||||
Internet Software & Services – 0.4% | ||||||||||||||||||||
1,370 | eBay Inc. | 3.800% | 3/09/22 | BBB+ | 1,413,991 | |||||||||||||||
Leisure Products – 0.5% | ||||||||||||||||||||
1,950 | Hyatt Hotels Corporation | 3.375% | 7/15/23 | BBB | 1,921,085 | |||||||||||||||
Machinery – 0.8% | ||||||||||||||||||||
1,120 | Cummins Engine Inc. | 4.875% | 10/01/43 | A+ | 1,243,627 | |||||||||||||||
1,480 | Pentair Finance SA | 4.650% | 9/15/25 | BBB– | 1,516,118 | |||||||||||||||
2,600 | Total Machinery | 2,759,745 |
NUVEEN | 53 |
Nuveen Core Plus Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Media – 3.8% | ||||||||||||||||||||
$ | 2,155 | 21st Century Fox America Inc. | 6.650% | 11/15/37 | BBB+ | $ | 2,647,831 | |||||||||||||
1,065 | CBS Corporation | 4.000% | 1/15/26 | BBB | 1,081,696 | |||||||||||||||
1,060 | Charter Communications Operating Capital Corporation | 4.908% | 7/23/25 | BBB– | 1,115,776 | |||||||||||||||
560 | Cox Communications Inc., 144A | 3.850% | 2/01/25 | BBB+ | 548,532 | |||||||||||||||
1,000 | Cox Communications Inc., 144A | 3.350% | 9/15/26 | BBB+ | 953,516 | |||||||||||||||
610 | Dish DBS Corporation | 5.125% | 5/01/20 | Ba3 | 631,350 | |||||||||||||||
1,895 | NBC Universal Media LLC | 6.400% | 4/30/40 | A– | 2,446,371 | |||||||||||||||
510 | Numericable Group SA, 144A | 6.000% | 5/15/22 | B+ | 523,388 | |||||||||||||||
1,635 | SES SA, 144A | 3.600% | 4/04/23 | BBB | 1,594,779 | |||||||||||||||
1,290 | Time Warner Inc. | 3.875% | 1/15/26 | BBB+ | 1,289,608 | |||||||||||||||
760 | Tribune Media Company | 5.875% | 7/15/22 | BB– | 770,450 | |||||||||||||||
375 | Unitymedia KabelBW GmbH, 144A | 6.125% | 1/15/25 | B | 385,313 | |||||||||||||||
12,915 | Total Media | 13,988,610 | ||||||||||||||||||
Metals & Mining – 0.7% | ||||||||||||||||||||
500 | Alcoa Inc. | 5.400% | 4/15/21 | BBB– | 530,000 | |||||||||||||||
600 | Allegheny Technologies Inc. | 7.875% | 8/15/23 | B | 588,000 | |||||||||||||||
880 | Anglogold Holdings PLC | 6.500% | 4/15/40 | Baa3 | 792,000 | |||||||||||||||
550 | Xstrata Finance Canada Limited, 144A | 6.900% | 11/15/37 | BBB– | 603,547 | |||||||||||||||
2,530 | Total Metals & Mining | 2,513,547 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 5.7% | ||||||||||||||||||||
820 | Anadarko Petroleum Corporation | 6.200% | 3/15/40 | BBB | 937,629 | |||||||||||||||
1,070 | Apache Corporation | 4.250% | 1/15/44 | BBB | 1,052,753 | |||||||||||||||
1,685 | Berkshire Hathaway Energy Company | 6.125% | 4/01/36 | A– | 2,101,188 | |||||||||||||||
763 | California Resources Corporation, 144A | 8.000% | 12/15/22 | CCC+ | 679,070 | |||||||||||||||
460 | Calumet Specialty Products | 6.500% | 4/15/21 | CCC+ | 389,850 | |||||||||||||||
370 | Canadian Natural Resources Limited | 5.850% | 2/01/35 | BBB+ | 393,249 | |||||||||||||||
500 | CONSOL Energy Inc. | 5.875% | 4/15/22 | B | 490,000 | |||||||||||||||
760 | Continental Resources Inc. | 5.000% | 9/15/22 | BB+ | 767,136 | |||||||||||||||
1,125 | EnLink Midstream Partners LP | 4.150% | 6/01/25 | BBB– | 1,090,602 | |||||||||||||||
700 | Hess Corporation | 3.500% | 7/15/24 | BBB– | 672,951 | |||||||||||||||
385 | Holly Energy Partners LP, 144A | 6.000% | 8/01/24 | BB | 401,363 | |||||||||||||||
955 | Kinder Morgan Energy Partners, LP | 4.250% | 9/01/24 | BBB– | 976,144 | |||||||||||||||
345 | Martin Mid-Stream Partners LP Finance | 7.250% | 2/15/21 | B– | 340,687 | |||||||||||||||
1,000 | MEG Energy Corporation, 144A | 6.375% | 1/30/23 | BB– | 890,000 | |||||||||||||||
1,335 | MPLX LP | 4.875% | 6/01/25 | BBB– | 1,370,897 | |||||||||||||||
630 | Petro Canada | 6.800% | 5/15/38 | A– | 815,702 | |||||||||||||||
1,050 | Petroleos Mexicanos, 144A | 5.375% | 3/13/22 | BBB+ | 1,075,179 | |||||||||||||||
1,150 | Reliance Holdings USA Inc., 144A | 5.400% | 2/14/22 | BBB+ | 1,242,077 |
54 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Oil, Gas & Consumable Fuels (continued) | ||||||||||||||||||||
$ | 500 | Sabine Pass Liquefaction LLC | 5.625% | 2/01/21 | BBB– | $ | 535,000 | |||||||||||||
880 | Southwestern Energy Company | 4.100% | 3/15/22 | BB | 831,424 | |||||||||||||||
495 | Targa Resources Inc. | 4.250% | 11/15/23 | BB– | 473,344 | |||||||||||||||
750 | Transocean Inc. | 5.550% | 10/15/22 | BB– | 658,125 | |||||||||||||||
1,185 | Valero Energy Corporation | 3.400% | 9/15/26 | BBB | 1,133,559 | |||||||||||||||
1,380 | Woodside Finance Limited, 144A | 3.650% | 3/05/25 | BBB+ | 1,346,382 | |||||||||||||||
20,293 | Total Oil, Gas & Consumable Fuels | 20,664,311 | ||||||||||||||||||
Paper & Forest Products – 0.7% | ||||||||||||||||||||
1,785 | Domtar Corporation | 6.750% | 2/15/44 | BBB– | 1,810,376 | |||||||||||||||
990 | Resolute Forest Products | 5.875% | 5/15/23 | B+ | 891,000 | |||||||||||||||
2,775 | Total Paper & Forest Products | 2,701,376 | ||||||||||||||||||
Personal Products – 0.5% | ||||||||||||||||||||
1,265 | International Paper Company | 8.700% | 6/15/38 | BBB | 1,826,757 | |||||||||||||||
Pharmaceuticals – 0.5% | ||||||||||||||||||||
1,000 | Endo Finance LLC / Endo Finco Inc., 144A | 6.500% | 2/01/25 | B | 832,500 | |||||||||||||||
1,215 | Teva Pharmaceutical Finance III | 3.150% | 10/01/26 | BBB | 1,118,459 | |||||||||||||||
2,215 | Total Pharmaceuticals | 1,950,959 | ||||||||||||||||||
Road & Rail – 0.1% | ||||||||||||||||||||
450 | Avis Budget Car Rental, 144A, (3) | 6.375% | 4/01/24 | BB– | 449,437 | |||||||||||||||
Software – 0.5% | ||||||||||||||||||||
2,000 | Total System Services Inc. | 3.750% | 6/01/23 | BBB– | 1,984,344 | |||||||||||||||
Specialty Retail – 1.4% | ||||||||||||||||||||
1,005 | AutoNation Inc. | 4.500% | 10/01/25 | BBB– | 1,015,440 | |||||||||||||||
1,255 | Bed Bath and Beyond Incorporated, (3) | 4.915% | 8/01/34 | BBB+ | 1,253,860 | |||||||||||||||
500 | Guitar Center Inc., 144A | 6.500% | 4/15/19 | B2 | 453,750 | |||||||||||||||
2,410 | Signet UK Finance PLC | 4.700% | 6/15/24 | BBB– | 2,306,985 | |||||||||||||||
5,170 | Total Specialty Retail | 5,030,035 | ||||||||||||||||||
Technology Hardware, Storage & Peripherals – 0.9% | ||||||||||||||||||||
1,930 | Hewlett Packard Enterprise Co | 5.150% | 10/15/25 | A– | 1,989,060 | |||||||||||||||
520 | NCR Corporation | 5.000% | 7/15/22 | BB | 530,400 | |||||||||||||||
710 | Western Digital Corporation, 144A | 7.375% | 4/01/23 | BBB– | 781,000 | |||||||||||||||
3,160 | Total Technology Hardware, Storage & Peripherals | 3,300,460 | ||||||||||||||||||
Textiles, Apparel & Luxury Goods – 0.2% | ||||||||||||||||||||
800 | Levi Strauss & Company | 5.000% | 5/01/25 | BB+ | 800,000 | |||||||||||||||
Trading Companies & Distributors – 0.5% | ||||||||||||||||||||
1,425 | Air Lease Corporation | 3.875% | 4/01/21 | BBB | 1,464,059 | |||||||||||||||
270 | United Rentals North America Inc. | 5.875% | 9/15/26 | BB– | 277,763 | |||||||||||||||
1,695 | Total Trading Companies & Distributors | 1,741,822 |
NUVEEN | 55 |
Nuveen Core Plus Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Wireless Telecommunication Services – 1.5% | ||||||||||||||||||||
$ | 625 | Altice Financing SA, 144A | 6.625% | 2/15/23 | BB– | $ | 642,187 | |||||||||||||
1,000 | ENTEL Chile SA, 144A | 4.750% | 8/01/26 | BBB | 976,519 | |||||||||||||||
840 | Millicom International Cellular SA, 144A | 6.625% | 10/15/21 | BB+ | 885,108 | |||||||||||||||
750 | Sprint Corporation | 7.250% | 9/15/21 | B+ | 796,875 | |||||||||||||||
1,410 | Sprint Spectrum Co LLC / Sprint Spectrum Co II LLC / Sprint Spectrum Co III LLC, 144A | 3.360% | 9/20/21 | Baa2 | 1,412,637 | |||||||||||||||
725 | T-Mobile USA Inc. | 6.731% | 4/28/22 | BB | 757,625 | |||||||||||||||
5,350 | Total Wireless Telecommunication Services | 5,470,951 | ||||||||||||||||||
$ | 187,545 | Total Corporate Bonds (cost $187,842,334) | 192,344,471 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
$1,000 PAR (OR SIMILAR) INSTITUTIONAL PREFERRED – 6.8% | ||||||||||||||||||||
Banks – 2.4% | ||||||||||||||||||||
$ | 770 | Australia and New Zealand Banking Group Limited of the United Kingdom, | 6.750% | N/A (5) | Baa1 | $ | 812,896 | |||||||||||||
835 | Bank of America Corporation | 6.300% | N/A (5) | BB+ | 872,575 | |||||||||||||||
990 | Citigroup Inc. | 6.250% | N/A (5) | BB+ | 1,018,710 | |||||||||||||||
1,160 | HSBC Holdings PLC, (3), (4) | 6.875% | N/A (5) | BBB | 1,223,800 | |||||||||||||||
1,250 | JP Morgan Chase & Company | 6.750% | N/A (5) | BBB– | 1,346,875 | |||||||||||||||
1,525 | Nordea Bank AB, 144A, (4) | 6.125% | N/A (5) | BBB | 1,475,742 | |||||||||||||||
590 | Standard Chartered PLC, 144A, (4) | 7.500% | N/A (5) | Ba1 | 588,525 | |||||||||||||||
1,485 | SunTrust Bank Inc., (3) | 5.625% | N/A (5) | Baa3 | 1,520,269 | |||||||||||||||
8,605 | Total Banks | 8,859,392 | ||||||||||||||||||
Capital Markets – 0.5% | ||||||||||||||||||||
780 | Goldman Sachs Group Inc. | 5.300% | N/A (5) | Ba1 | 747,825 | |||||||||||||||
1,000 | UBS Group AG, Reg S, (4) | 7.125% | N/A (5) | BB+ | 1,027,700 | |||||||||||||||
1,780 | Total Capital Markets | 1,775,525 | ||||||||||||||||||
Commercial Services & Supplies – 0.2% | ||||||||||||||||||||
770 | AerCap Global Aviation Trust, 144A (3) | 6.500% | 6/15/45 | BB | 776,737 | |||||||||||||||
Consumer Finance – 0.6% | ||||||||||||||||||||
985 | American Express Company | 5.200% | N/A (5) | Baa2 | 977,613 | |||||||||||||||
1,165 | Capital One Financial Corporation | 5.550% | N/A (5) | Baa3 | 1,179,562 | |||||||||||||||
2,150 | Total Consumer Finance | 2,157,175 | ||||||||||||||||||
Diversified Financial Services – 0.6% | ||||||||||||||||||||
1,200 | BNP Paribas, 144A, (4) | 7.625% | N/A (5) | BBB– | 1,266,120 | |||||||||||||||
1,035 | BNP Paribas, 144A, (4) | 7.375% | N/A (5) | BBB– | 1,041,411 | |||||||||||||||
2,235 | Total Diversified Financial Services | 2,307,531 | ||||||||||||||||||
Electric Utilities – 0.5% | ||||||||||||||||||||
1,785 | Electricite de France, 144A | 5.250% | N/A (5) | BBB | 1,677,900 |
56 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Food Products – 0.4% | ||||||||||||||||||||
$ | 1,300 | Land O’ Lakes Incorporated, 144A | 8.000% | N/A (5) | BB | $ | 1,326,000 | |||||||||||||
Industrial Conglomerates – 0.5% | ||||||||||||||||||||
1,851 | General Electric Company | 5.000% | N/A (5) | A | 1,920,783 | |||||||||||||||
Insurance – 1.1% | ||||||||||||||||||||
1,000 | Allstate Corporation | 5.750% | 8/15/53 | Baa1 | 1,033,900 | |||||||||||||||
1,395 | Principal Financial Group | 4.700% | 5/15/55 | Baa2 | 1,367,100 | |||||||||||||||
1,500 | Prudential Financial Inc. | 5.200% | 3/15/44 | BBB+ | 1,482,255 | |||||||||||||||
3,895 | Total Insurance | 3,883,255 | ||||||||||||||||||
$ | 24,371 | Total $1,000 Par (or similar) Institutional Preferred (cost $24,060,618) | 24,684,298 | |||||||||||||||||
Principal Amount (000) | Description (1) | Optional Call Provisions (6) | Ratings (2) | Value | ||||||||||||||||
MUNICIPAL BONDS – 2.0% | ||||||||||||||||||||
Massachusetts – 0.7% | ||||||||||||||||||||
$ | 2,295 | Massachusetts State, General Obligation Bonds, Consolidated Loan, Series 2016J, 5.000%, 12/01/36 | 12/26 at 100.00 | AA+ | $ | 2,675,511 | ||||||||||||||
New York – 0.7% | ||||||||||||||||||||
980 | Dormitory Authority of the State of New York, State Personal Income Tax Revenue Bonds, General Purpose Series 2016A Group A, 5.000%, 2/15/39 | 8/26 at 100.00 | AAA | 1,124,226 | ||||||||||||||||
685 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2016 Series E-1, 5.000%, 2/01/35 | 2/26 at 100.00 | AAA | 787,942 | ||||||||||||||||
655 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2017 Series A-1, 5.000%, 5/01/36 | 5/26 at 100.00 | AAA | 753,473 | ||||||||||||||||
2,320 | Total New York | 2,665,641 | ||||||||||||||||||
Texas – 0.6% | ||||||||||||||||||||
1,725 | Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Refunding Series 2016A, 5.000%, 12/01/46 | 12/25 at 100.00 | AA+ | 1,952,786 | ||||||||||||||||
$ | 6,340 | Total Municipal Bonds (cost $7,170,682) | 7,293,938 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 35.2% | ||||||||||||||||||||
$ | 2,500 | 321 Henderson Receivables LLC, Series 2010-3A, 144A | 3.820% | 12/15/48 | Aaa | $ | 2,522,960 | |||||||||||||
1,570 | American Homes 4 Rent, Series 2014-SFR2, 144A | 3.786% | 10/17/36 | Aaa | 1,611,418 | |||||||||||||||
3,165 | AmeriCold LLC Trust, Series 2010, 144A | 6.811% | 1/14/29 | A+ | 3,537,770 | |||||||||||||||
540 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 4.366% | 9/17/48 | A– | 523,666 | |||||||||||||||
345 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 3.167% | 9/17/48 | BBB– | 260,509 | |||||||||||||||
237 | Bank of America Funding Trust, Mortgage Pass-Through Certificates, Series 2007-4 | 5.500% | 6/25/37 | C | 41,543 | |||||||||||||||
1,100 | Barclays Commercial Mortgage, Mortgage Pass-Through Certificates, Series 2015-STP, 144A | 4.427% | 9/10/28 | BBB– | 1,079,552 |
NUVEEN | 57 |
Nuveen Core Plus Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 1,050 | Bayview Financial Mortgage Pass-Through Trust, Mortgage Pass-Through Certificate Series 2005-D | 5.500% | 12/28/35 | BB+ | $ | 1,040,294 | |||||||||||||
3,010 | capital One Multi-Asset Execution Trust, Series 2016-A4 | 1.330% | 6/15/22 | AAA | 2,968,332 | |||||||||||||||
2,342 | CitiBank Credit Card Issuance Trust, Series 2014-A1 | 2.880% | 1/23/23 | Aaa | 2,400,172 | |||||||||||||||
1,785 | Commercial Mortgage Pass-Through Certificates 2015-CR22 | 4.126% | 3/12/48 | A– | 1,705,368 | |||||||||||||||
1,485 | Commercial Mortgage Pass-Through Certificates, Series 2015-CR26 | 4.495% | 10/10/48 | A– | 1,407,918 | |||||||||||||||
1,795 | Commercial Mortgage Pass-Through Certificates, Series 2016-SAVA, 144A | 3.004% | 10/17/34 | AA– | 1,803,442 | |||||||||||||||
100 | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2004-J1 | 6.000% | 2/25/34 | A+ | 101,044 | |||||||||||||||
474 | Countrywide Home Loan Mortgage Pass-Through Trust, Series 2004-2 | 2.537% | 2/25/34 | BB+ | 454,231 | |||||||||||||||
18 | Countrywide Home Loans, Asset-Backed Certificates, Series 2003-SC1 | 2.834% | 9/25/23 | Baa3 | 20,229 | |||||||||||||||
1,998 | Credit Suisse First Boston Mortgage Securities Corporation, Mortgage-Backed Pass-Through Certificates, Series 2003-8 | 6.181% | 4/25/33 | A | 1,982,951 | |||||||||||||||
58 | Fannie Mae Mortgage Pool 250551 | 7.000% | 5/01/26 | Aaa | 65,364 | |||||||||||||||
256 | Fannie Mae Mortgage Pool 252255 | 6.500% | 2/01/29 | Aaa | 289,645 | |||||||||||||||
453 | Fannie Mae Mortgage Pool 254169 | 6.500% | 12/01/31 | Aaa | 525,393 | |||||||||||||||
453 | Fannie Mae Mortgage Pool 254379 | 7.000% | 7/01/32 | Aaa | 537,023 | |||||||||||||||
317 | Fannie Mae Mortgage Pool 254513 | 6.000% | 10/01/22 | Aaa | 358,169 | |||||||||||||||
913 | Fannie Mae Mortgage Pool 255575 | 5.500% | 1/01/25 | Aaa | 1,014,419 | |||||||||||||||
159 | Fannie Mae Mortgage Pool 256845 | 6.500% | 8/01/37 | Aaa | 179,784 | |||||||||||||||
584 | Fannie Mae Mortgage Pool 256852 | 6.000% | 8/01/27 | Aaa | 660,531 | |||||||||||||||
206 | Fannie Mae Mortgage Pool 256890 | 6.000% | 9/01/37 | Aaa | 217,729 | |||||||||||||||
60 | Fannie Mae Mortgage Pool 340798 | 7.000% | 4/01/26 | Aaa | 65,070 | |||||||||||||||
168 | Fannie Mae Mortgage Pool 545813 | 7.000% | 7/01/32 | Aaa | 195,957 | |||||||||||||||
106 | Fannie Mae Mortgage Pool 545815 | 7.000% | 7/01/32 | Aaa | 125,415 | |||||||||||||||
622 | Fannie Mae Mortgage Pool 555798 | 6.500% | 5/01/33 | Aaa | 713,510 | |||||||||||||||
57 | Fannie Mae Mortgage Pool 673010 | 5.500% | 12/01/17 | Aaa | 57,471 | |||||||||||||||
837 | Fannie Mae Mortgage Pool 688330 | 6.000% | 3/01/33 | Aaa | 971,265 | |||||||||||||||
1,539 | Fannie Mae Mortgage Pool 709446 | 5.500% | 7/01/33 | Aaa | 1,744,058 | |||||||||||||||
1,103 | Fannie Mae Mortgage Pool 735273 | 6.500% | 6/01/34 | Aaa | 1,248,050 | |||||||||||||||
494 | Fannie Mae Mortgage Pool 745101 | 6.000% | 4/01/32 | Aaa | 551,189 | |||||||||||||||
148 | Fannie Mae Mortgage Pool 781776 | 6.000% | 10/01/34 | Aaa | 167,972 | |||||||||||||||
418 | Fannie Mae Mortgage Pool 885536 | 6.000% | 8/01/36 | Aaa | 480,822 | |||||||||||||||
487 | Fannie Mae Mortgage Pool 900555 | 6.000% | 9/01/36 | Aaa | 565,426 | |||||||||||||||
1,718 | Fannie Mae Mortgage Pool 932323 | 4.500% | 12/01/39 | Aaa | 1,852,127 | |||||||||||||||
— | (7) | Fannie Mae Mortgage Pool 983077 | 5.000% | 5/01/38 | Aaa | 178 | ||||||||||||||
— | (7) | Fannie Mae Mortgage Pool 985344 | 5.500% | 7/01/38 | Aaa | 112 | ||||||||||||||
2,102 | Fannie Mae Mortgage Pool AC1877 | 4.500% | 9/01/39 | Aaa | 2,262,597 | |||||||||||||||
2,259 | Fannie Mae Mortgage Pool AD4375 | 5.000% | 5/01/40 | Aaa | 2,461,654 |
58 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 3,892 | Fannie Mae Mortgage Pool AE7265 | 4.000% | 1/01/41 | Aaa | $ | 4,095,375 | |||||||||||||
2,109 | Fannie Mae Mortgage Pool AS3907 | 4.000% | 11/01/44 | Aaa | 2,216,964 | |||||||||||||||
2,389 | Fannie Mae Mortgage Pool AS6652 | 3.500% | 2/01/46 | Aaa | 2,448,412 | |||||||||||||||
2,579 | Fannie Mae Mortgage Pool AS6880 | 3.500% | 3/01/46 | Aaa | 2,643,710 | |||||||||||||||
3,678 | Fannie Mae Mortgage Pool AS7544, (WI/DD) | 3.500% | 7/01/46 | Aaa | 3,771,337 | |||||||||||||||
3,130 | Fannie Mae Mortgage Pool AT2722 | 3.000% | 5/01/43 | Aaa | 3,126,786 | |||||||||||||||
908 | Fannie Mae Mortgage Pool MA1028 | 4.000% | 4/01/42 | Aaa | 958,348 | |||||||||||||||
1,905 | Fannie Mae Mortgage Pool MA2484 | 4.000% | 12/01/45 | Aaa | 2,002,903 | |||||||||||||||
7,507 | Fannie Mae Mortgage Pool MA2808, (WI/DD) | 4.000% | 11/01/46 | Aaa | 7,895,702 | |||||||||||||||
2 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1988-24 G | 7.000% | 10/25/18 | Aaa | 1,995 | |||||||||||||||
1 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1989-44 H | 9.000% | 7/25/19 | Aaa | 1,158 | |||||||||||||||
1 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1989-90 E | 8.700% | 12/25/19 | Aaa | 676 | |||||||||||||||
1 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1990-30 E | 6.500% | 3/25/20 | Aaa | 1,461 | |||||||||||||||
4 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1990-61 H | 7.000% | 6/25/20 | Aaa | 4,650 | |||||||||||||||
4 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1990-72 B | 9.000% | 7/25/20 | Aaa | 4,548 | |||||||||||||||
6 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1990-102 J | 6.500% | 8/25/20 | Aaa | 6,658 | |||||||||||||||
44 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1990-105 J | 6.500% | 9/25/20 | Aaa | 46,270 | |||||||||||||||
17 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1991-56 M | 6.750% | 6/25/21 | Aaa | 17,586 | |||||||||||||||
29 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1991-134 Z | 7.000% | 10/25/21 | Aaa | 31,344 | |||||||||||||||
3 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1992-120 C | 6.500% | 7/25/22 | Aaa | 3,028 | |||||||||||||||
150 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 1996-35 Z | 7.000% | 7/25/26 | Aaa | 166,436 | |||||||||||||||
904 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates R 2005-62 JE | 5.000% | 6/25/35 | Aaa | 967,847 | |||||||||||||||
788 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates W 2003-W1 B1 | 3.958% | 12/25/42 | AAA | 285,338 | |||||||||||||||
1,000 | Fannie Mae TBA, Mortgage Pool, (WI/DD) | 5.000% | TBA | Aaa | 1,089,100 | |||||||||||||||
5,465 | Fannie Mae TBA, Mortgage Pool, (WI/DD) | 4.500% | TBA | Aaa | 5,875,968 | |||||||||||||||
2,235 | Fannie Mae TBA, Mortgage Pool, (WI/DD) | 4.000% | TBA | Aaa | 2,348,538 | |||||||||||||||
3,850 | Fannie Mae TBA, Mortgage Pool, (WI/DD) | 3.500% | TBA | Aaa | 3,943,555 | |||||||||||||||
14,625 | Fannie Mae TBA, Mortgage Pool, (WI/DD) | 3.000% | TBA | Aaa | 14,518,237 |
NUVEEN | 59 |
Nuveen Core Plus Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | — | (7) | Federal Home Loan Mortgage Corporation, REMIC R 6 C | 9.050% | 6/15/19 | Aaa | $ | 175 | ||||||||||||
4 | Federal Home Loan Mortgage Corporation, REMIC R 1022 J | 6.000% | 12/15/20 | Aaa | 4,442 | |||||||||||||||
6 | Federal Home Loan Mortgage Corporation, REMIC R 1118 Z | 8.250% | 7/15/21 | Aaa | 6,916 | |||||||||||||||
8 | Federal Home Loan Mortgage Corporation, REMIC R 162 F | 7.000% | 5/15/21 | Aaa | 8,641 | |||||||||||||||
5 | Federal Home Loan Mortgage Corporation, REMIC R 1790 A | 7.000% | 4/15/22 | Aaa | 5,141 | |||||||||||||||
29 | Federal Home Loan Mortgage Corporation, REMIC R 188 H | 7.000% | 9/15/21 | Aaa | 30,999 | |||||||||||||||
314 | Federal Home Loan Mortgage Corporation, REMIC R 3591 FP | 1.304% | 6/15/39 | Aaa | 315,736 | |||||||||||||||
227 | Freddie Mac Mortgage Pool, Various A15521 | 6.000% | 11/01/33 | Aaa | 256,381 | |||||||||||||||
363 | Freddie Mac Mortgage Pool, Various A17212 | 6.500% | 7/01/31 | Aaa | 409,517 | |||||||||||||||
257 | Freddie Mac Mortgage Pool, Various C00676 | 6.500% | 11/01/28 | Aaa | 292,493 | |||||||||||||||
31 | Freddie Mac Mortgage Pool, Various P10023 | 4.500% | 3/01/18 | Aaa | 31,615 | |||||||||||||||
136 | Freddie Mac Mortgage Pool, Various P10032 | 4.500% | 5/01/18 | Aaa | 137,565 | |||||||||||||||
85 | Freddie Mac Mortgage Pool, Various H09059 | 7.000% | 8/01/37 | Aaa | 92,223 | |||||||||||||||
1,000 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2012-K711, 144A | 3.562% | 8/25/45 | A | 1,017,626 | |||||||||||||||
1,315 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2013-K712, 144A | 3.365% | 5/25/45 | AA | 1,334,610 | |||||||||||||||
469 | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2005-RP2 1A2, 144A | 7.500% | 3/25/35 | B1 | 506,780 | |||||||||||||||
495 | Goldman Sachs Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2005-RP3 1A2, 144A | 7.500% | 9/25/35 | B3 | 536,183 | |||||||||||||||
2,320 | Goldman Sachs Mortgage Securities Trust, Mortgage Pass-Through Certificates, Series 2015-GC32 | 3.345% | 7/10/48 | BBB– | 1,724,314 | |||||||||||||||
93 | Government National Mortgage Association Pool MS 2015-GC32 D | 7.500% | 11/15/30 | Aaa | 101,800 | |||||||||||||||
2,728 | Government National Mortgage Association Pool 537699 | 4.500% | 2/20/41 | Aaa | 2,937,581 | |||||||||||||||
2,000 | Green Tree Agency Advance Funding Trust, Manufactured Housing Contract Pass-Through Certificates, Series 2015-T2, 144A | 3.687% | 10/15/48 | AA | 1,986,179 | |||||||||||||||
423 | IndyMac INDX Mortgage Loan Trust, Pass-Through Certificates, Series 2005-AR1 | 2.978% | 3/25/35 | BBB+ | 421,687 | |||||||||||||||
1,590 | Invitation Homes Trust 2014-SFR1, 144A | 3.336% | 6/19/31 | Baa1 | 1,590,016 | |||||||||||||||
630 | JP Morgan Chase Commercial Mortgage Securities Trust, Pass-Through Certificates 2015-C29 | 3.702% | 5/15/48 | BBB– | 447,232 | |||||||||||||||
178 | Lehman Mortgage Trust, Mortgage Pass-Through Certificates, Series 2008-6 | 5.316% | 4/25/38 | A+ | 177,881 | |||||||||||||||
759 | Master Resecuritization Trust 2009-1, 144A | 6.000% | 10/25/36 | A | 779,835 | |||||||||||||||
1,541 | Mid-State Capital Corporation Trust Notes, Series 2005-1 | 5.745% | 1/15/40 | AA | 1,649,416 | |||||||||||||||
895 | Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C22, 144A | 4.242% | 4/17/48 | BBB– | 687,651 | |||||||||||||||
517 | Mortgage Asset Securitization Transaction Inc., Alternative Loan Trust Mortgage Pass-Through Certificates Series 2004-1 | 7.000% | 1/25/34 | BBB– | 526,928 | |||||||||||||||
1,940 | New Residential Advance Receivable Trust , Series 2016-T1, 144A | 4.377% | 6/15/49 | BBB | 1,939,998 | |||||||||||||||
1,915 | OMART Receivables Trust, Series 2016-T2, 144A | 4.446% | 8/16/49 | BBB | 1,909,614 | |||||||||||||||
175 | Structured Adjustable Rate Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2004-11 | 3.122% | 8/25/34 | N/R | 173,369 |
60 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 3,253 | United States Department of Veterans, Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, Series 2011-1 | 3.750% | 2/15/35 | Aaa | $ | 3,389,260 | |||||||||||||
2,000 | Wachovia Mortgage Loan Trust LLC, Mortgage Pass-Through Certificates, Series 2005-B | 3.205% | 10/20/35 | D | 1,728,573 | |||||||||||||||
1,570 | Wells Fargo Commercial Mortgage Trust, Commercial Mortgage-Pass Through Certificates, Series 2015-C26, 144A | 3.586% | 2/18/48 | BBB– | 1,106,762 | |||||||||||||||
625 | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2013-C15, 144A | 4.480% | 8/17/46 | BBB– | 546,041 | |||||||||||||||
$ | 126,153 | Total Asset-Backed and Mortgage-Backed Securities (cost $126,146,736) | 128,057,439 | |||||||||||||||||
Principal Amount (000) (8) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
SOVEREIGN DEBT – 0.7% | ||||||||||||||||||||
Costa Rica – 0.2% | ||||||||||||||||||||
$ | 1,000 | Republic of Costa Rica, 144A | 7.000% | 4/04/44 | Ba1 | $ | 914,070 | |||||||||||||
Mexico – 0.5% | ||||||||||||||||||||
351 | MXN | Mexico Bonos de DeSarrollo | 8.500% | 12/13/18 | A | 1,742,192 | ||||||||||||||
Total Sovereign Debt (cost $3,696,517) | 2,656,262 | |||||||||||||||||||
Total Long-Term Investments (cost $348,916,887) | 355,036,408 | |||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 1.6% | ||||||||||||||||||||
Money Market Funds – 1.6% | ||||||||||||||||||||
5,646,435 | First American Government Obligations Fund, Class X, (10) | 0.467% (9) | $ | 5,646,435 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $5,646,435) |
| 5,646,435 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 12.0% | ||||||||||||||||||||
Money Market Funds – 12.0% | ||||||||||||||||||||
43,566,816 | First American Treasury Obligations Fund, Class Z | 0.389% (9) | $ | 43,566,816 | ||||||||||||||||
Total Short-Term Investments (cost $43,566,816) |
| 43,566,816 | ||||||||||||||||||
Total Investments (cost $398,130,138) – 111.1% |
| 404,249,659 | ||||||||||||||||||
Other Assets Less Liabilities – (11.1)% (11) |
| (40,265,975 | ) | |||||||||||||||||
Net Assets – 100% | $ | 363,983,684 |
NUVEEN | 61 |
Nuveen Core Plus Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Investments in Derivatives as of December 31, 2016
Forward Foreign Currency Exchange Contracts
Counterparty | Currency Contracts to Deliver | Notional Amount (Local Currency) | In Exchange For Currency | Notional Amount (Local Currency) | Settlement Date | Unrealized Appreciation (Depreciation) (U.S. Dollars) | ||||||||||||||||
Bank of America, N.A. | Mexican Peso | 39,550,000 | U.S. Dollar | 1,930,257 | 2/17/17 | $ | 35,406 | |||||||||||||||
Bank of America, N.A. | South Korean Won | 4,400,000,000 | U.S. Dollar | 3,758,756 | 2/06/17 | 115,689 | ||||||||||||||||
Bank of America, N.A. | U.S. Dollar | 3,777,473 | South Korean Won | 4,400,000,000 | 2/06/17 | (134,405 | ) | |||||||||||||||
Citigroup Global Markets, Inc. | Japanese Yen | 209,000,000 | U.S. Dollar | 1,821,605 | 2/17/17 | 28,886 | ||||||||||||||||
Citigroup Global Markets, Inc. | Mexican Peso | 75,000,000 | U.S. Dollar | 3,607,937 | 1/17/17 | 160 | ||||||||||||||||
Citigroup Global Markets, Inc. | U.S. Dollar | 1,794,654 | Japanese Yen | 209,000,000 | 2/17/17 | (1,935 | ) | |||||||||||||||
Goldman Sacks Bank USA | Canadian Dollar | 672,000 | U.S. Dollar | 501,163 | 1/20/17 | 526 | ||||||||||||||||
Goldman Sacks Bank USA | U.S. Dollar | 501,777 | Canadian Dollar | 672,000 | 1/20/17 | (1,140 | ) | |||||||||||||||
Morgan Stanley & Co. LLC | South African Rand | 57,000,000 | U.S. Dollar | 4,030,405 | 1/13/17 | (108,710 | ) | |||||||||||||||
Morgan Stanley & Co. LLC | U.S. Dollar | 4,010,512 | South African Rand | 57,000,000 | 1/13/17 | 128,603 | ||||||||||||||||
$ | 63,080 |
Credit Default Swaps
Clearing Broker | Referenced Entity | Buy/Sell Protection (12) | Current Credit Spread (13) | Notional Amount | Fixed Rate (Annualized) | Termination Date | Value | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | |||||||||||||||||||||||||
Citigroup Global Markets, Inc.* | Markit iTraxx | Buy | 3.54 | % | $ | 11,500,000 | 5.000 | % | 12/20/21 | $ | (730,577 | ) | $ | (19,422 | ) | $ | (66,352 | ) |
* | Chicago Mercantile Exchange is the clearing house for this transaction. |
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value* | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 5-Year Note | Long | 54 | 3/17 | $ | 6,353,859 | $ | 8,859 | $ | (22,490 | ) | ||||||||||||||
U.S. Treasury 10-Year Note | Short | (188 | ) | 3/17 | (23,364,875 | ) | (64,625 | ) | 20,169 | |||||||||||||||
U.S. Treasury Ultra Bond | Short | (12 | ) | 3/17 | (1,923,000 | ) | (11,625 | ) | (6,288 | ) | ||||||||||||||
$ | (18,934,016 | ) | $ | (67,391 | ) | $ | (8,609 | ) |
* | Total aggregate Notional Amount at Value of long and short positions is $6,353,859 and $(25,287,875), respectively. |
62 | NUVEEN |
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) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(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 $5,472,914. |
(4) | Contingent Capital Securities (CoCos) are debt or preferred securities with loss absorption characteristics built into the terms of the security for the benefit of the issuer, for example an automatic write-down of principal or a mandatory conversion into the issuer’s common stock under certain adverse circumstances, such as the issuer’s capital ratio falling below a specified level. As of the end of the reporting period, the Fund’s total investments in CoCos was $7,436,194, representing 2.0% and 1.8% of Net Assets and Total Investments, respectively. |
(5) | Perpetual security. Maturity date is not applicable. |
(6) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. |
(7) | Principal Amount (000) rounds to less than $1,000. |
(8) | Principal Amount (000) denominated in U.S. Dollars, unless otherwise noted. |
(9) | The rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
(10) | 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, Note 3 – Portfolio Securities and Investments in Derivatives, Securities Lending for more information. |
(11) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
(12) | 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. |
(13) | 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. |
(WI/DD) | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
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. |
TBA | To be announced. Maturity date not known prior to settlement of this transaction. |
MXN | Mexican Peso |
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.
NUVEEN | 63 |
Nuveen High Income Bond Fund
Portfolio of Investments | December 31, 2016 (Unaudited) |
Shares | Description (1) | Value | ||||||||||||||||||
LONG-TERM INVESTMENTS – 91.4% | ||||||||||||||||||||
COMMON STOCKS – 1.1% | ||||||||||||||||||||
Banks – 0.3% | ||||||||||||||||||||
30,000 | CIT Group Inc. | $ | 1,280,400 | |||||||||||||||||
Building Products – 0.0% | ||||||||||||||||||||
527 | Dayton Superior Class A, (2), (3) | 30,195 | ||||||||||||||||||
585 | Dayton Superior Class 1, (2), (3) | 33,550 | ||||||||||||||||||
Total Building Products | 63,745 | |||||||||||||||||||
Capital Markets – 0.0% | ||||||||||||||||||||
5,732 | Adamas Finance Asia Limited, (2) | 3,468 | ||||||||||||||||||
20,000 | Och-Ziff Capital Management Group, Class A Shares | 66,200 | ||||||||||||||||||
Total Capital Markets | 69,668 | |||||||||||||||||||
Electric Utilities – 0.1% | ||||||||||||||||||||
17,125 | Vistra Energy Corporation | 265,438 | ||||||||||||||||||
Energy Equipment & Services – 0.1% | ||||||||||||||||||||
1,644 | Key Energy Services Inc. | 52,309 | ||||||||||||||||||
15,000 | Patterson-UTI Energy, Inc. | 403,800 | ||||||||||||||||||
Total Energy Equipment & Services | 456,109 | |||||||||||||||||||
Metals & Mining – 0.0% | ||||||||||||||||||||
499,059 | Northland Resources SA, (2), (3) | 50 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.6% | ||||||||||||||||||||
2,254 | Alpha Natural Resources Inc., (3) | — | ||||||||||||||||||
2,254 | Alpha Natural Resources Inc., (3) | — | ||||||||||||||||||
30,000 | Arch Coal Inc., (4) | 2,341,500 | ||||||||||||||||||
50,119 | Connacher Oil and Gas Limited, (2), (3) | 75 | ||||||||||||||||||
4,145 | Penn Virginia Corporation, (2) | 203,117 | ||||||||||||||||||
Total Oil, Gas & Consumable Fuels | 2,544,692 | |||||||||||||||||||
Paper & Forest Products – 0.0% | ||||||||||||||||||||
19,000 | Verso Corporation, (2) | 134,900 | ||||||||||||||||||
Total Common Stocks (cost $5,779,776) | 4,815,002 | |||||||||||||||||||
Shares | Description (1), (14) | Value | ||||||||||||||||||
EXCHANGE-TRADED FUNDS – 0.2% | ||||||||||||||||||||
18,000 | SPDR® S&P® Regional Banking ETF, (4) | $ | 1,000,260 | |||||||||||||||||
Total Exchange-Traded Funds (cost $812,118) | 1,000,260 |
64 | NUVEEN |
Shares | Description (1) | Coupon | Ratings (6) | Value | ||||||||||||||||
CONVERTIBLE PREFERRED SECURITIES – 1.5% | ||||||||||||||||||||
Electric Utilities – 0.5% | ||||||||||||||||||||
50,000 | Exelon Corporation | 6.500% | BB+ | $ | 2,420,500 | |||||||||||||||
Independent Power & Renewable Electricity Producers – 0.2% | ||||||||||||||||||||
29,500 | Dynegy Inc. | 5.375% | N/R | 953,145 | ||||||||||||||||
Multi-Utilities – 0.5% | ||||||||||||||||||||
27,000 | Dominion Resources Inc. | 6.375% | Baa3 | 1,351,620 | ||||||||||||||||
20,000 | DTE Energy Company | 5.000% | BBB– | 1,060,000 | ||||||||||||||||
Total Multi-Utilities | 2,411,620 | |||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.3% | ||||||||||||||||||||
29,700 | Anadarko Petroleum Corporation, (4) | 7.500% | N/R | 1,228,095 | ||||||||||||||||
Total Convertible Preferred Securities (cost $8,063,947) | 7,013,360 | |||||||||||||||||||
Principal Amount (000) | Description (1) | Coupon (8) | Maturity (7) | Ratings (6) | Value | |||||||||||||||
VARIABLE RATE SENIOR LOAN INTERESTS – 2.9% (8) | ||||||||||||||||||||
Containers & Packaging – 0.2% | ||||||||||||||||||||
$ | 1,000 | Packaging Coordinators Inc., Second Lien Term Loan | 9.750% | 6/30/24 | CCC+ | $ | 985,000 | |||||||||||||
Diversified Financial Services – 0.4% | ||||||||||||||||||||
1,975 | Jill Acquisition LLC, First Lien Term Loan B | 6.000% | 5/08/22 | B | 1,977,479 | |||||||||||||||
Diversified Telecommunication Services – 0.3% | ||||||||||||||||||||
1,384 | Birch Communications Inc., First Lien Term Loan B | 7.750% | 4/19/20 | B | 1,245,090 | |||||||||||||||
Hotels, Restaurants & Leisure – 0.4% | ||||||||||||||||||||
987 | Amaya BV, First Lien Term Loan | 5.000% | 7/29/21 | BB– | 992,404 | |||||||||||||||
656 | Amaya BV, Second Lien Term Loan | 8.000% | 7/29/22 | B | 660,147 | |||||||||||||||
1,643 | Total Hotels, Restaurants & Leisure | 1,652,551 | ||||||||||||||||||
Independent Power & Renewable Electricity Producers – 0.4% | ||||||||||||||||||||
130 | Empire Generating Company LLC, Term Loan C | 5.250% | 3/13/21 | B | 128,641 | |||||||||||||||
1,640 | Empire Generating Company LLC | 5.250% | 3/13/21 | B | 1,617,130 | |||||||||||||||
1,770 | Total Independent Power & Renewable Electricity Producers | 1,745,771 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.6% | ||||||||||||||||||||
508 | Arch Coal, Inc., First Lien Term Loan PIK EXIT | 10.000% | 10/05/21 | N/R | 517,279 | |||||||||||||||
2,493 | Fieldwood Energy LLC, Second Lien Term Loan | 8.375% | 9/30/20 | CCC– | 1,782,217 | |||||||||||||||
2,000 | Samson Investment Company Second Lien Term Loan, (9) | 5.000% | 9/25/18 | N/R | 490,000 | |||||||||||||||
5,001 | Total Oil, Gas & Consumable Fuels | 2,789,496 | ||||||||||||||||||
Professional Services – 0.6% | ||||||||||||||||||||
2,000 | Sedgwick Claims Management Service Inc., Second Lien Term Loan | 6.750% | 2/28/22 | CCC+ | 2,001,250 | |||||||||||||||
1,000 | Sedgwick Claims Management Service Inc., Second Lien Term Loan | 6.750% | 2/28/22 | CCC+ | 1,001,250 | |||||||||||||||
3,000 | Total Professional Services | 3,002,500 | ||||||||||||||||||
$ | 15,773 | Total Variable Rate Senior Loan Interests (cost $14,724,589) |
| 13,397,887 |
NUVEEN | 65 |
Nuveen High Income Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Shares | Description (1) | Coupon | Ratings (6) | Value | ||||||||||||||||
$25 PAR (OR SIMILAR) RETAIL PREFERRED – 2.6% |
| |||||||||||||||||||
Capital Markets – 0.6% | ||||||||||||||||||||
127,330 | Morgan Stanley | 4.000% | Ba1 | $ | 2,928,590 | |||||||||||||||
Equity Real Estate Investment Trusts – 0.4% | ||||||||||||||||||||
72,767 | Northstar Realty Finance Corporation | 8.500% | N/R | 1,853,375 | ||||||||||||||||
Food Products – 0.2% | ||||||||||||||||||||
34,685 | CHS Inc. | 6.750% | N/R | 911,522 | ||||||||||||||||
Household Durables – 0.1% | ||||||||||||||||||||
63,610 | Hovnanian Enterprises Incorporated | 7.625% | Ca | 459,264 | ||||||||||||||||
Insurance – 0.3% | ||||||||||||||||||||
60,000 | AmTrust Financial Services Inc. | 7.250% | N/R | 1,497,600 | ||||||||||||||||
Mortgage Real Estate Investment Trusts – 0.6% | ||||||||||||||||||||
60,000 | Colony Financial Inc. | 7.500% | N/R | 1,497,600 | ||||||||||||||||
50,960 | Colony Financial Inc. | 7.125% | N/R | 1,187,368 | ||||||||||||||||
Total Mortgage Real Estate Investment Trusts | 2,684,968 | |||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.4% | ||||||||||||||||||||
60,000 | Nustar Energy LP | 8.500% | BB+ | 1,611,000 | ||||||||||||||||
Total $25 Par (or similar) Retail Preferred (cost $11,570,034) | 11,946,319 | |||||||||||||||||||
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
CORPORATE BONDS – 75.1% | ||||||||||||||||||||
Aerospace & Defense – 1.1% | ||||||||||||||||||||
$ | 1,500 | Bombardier Inc., 144A | 7.500% | 3/15/25 | B | $ | 1,482,030 | |||||||||||||
3,500 | StandardAero Aviation Holdings Inc., 144A | 10.000% | 7/15/23 | CCC | 3,683,750 | |||||||||||||||
Total Aerospace & Defense | 5,165,780 | |||||||||||||||||||
Airlines – 1.1% | ||||||||||||||||||||
2,000 | American Airlines Group Inc., 144A | 5.500% | 10/01/19 | BB– | 2,065,000 | |||||||||||||||
175 | American Airlines Group Inc., 144A, (4) | 4.625% | 3/01/20 | BB– | 177,187 | |||||||||||||||
3,875 | VistaJet Malta Finance PLC, 144A | 7.750% | 6/01/20 | B– | 2,673,750 | |||||||||||||||
Total Airlines | 4,915,937 | |||||||||||||||||||
Auto Components – 0.4% | ||||||||||||||||||||
1,950 | Tupy S/A, 144A | 6.625% | 7/17/24 | BB | 1,872,000 | |||||||||||||||
Banks – 0.4% | ||||||||||||||||||||
2,000 | Royal Bank of Scotland | 5.125% | 5/28/24 | BBB | 1,991,946 | |||||||||||||||
Building Products – 0.9% | ||||||||||||||||||||
809 | Corporativo Javer S.A. de C.V, 144A | 9.875% | 4/06/21 | BB– | 827,202 | |||||||||||||||
2,000 | NWH Escrow Corporation, 144A | 7.500% | 8/01/21 | B | 1,680,000 | |||||||||||||||
2,800 | Odebrecht Finance Limited, 144A | 7.125% | 6/26/42 | B– | 1,631,000 | |||||||||||||||
Total Building Products | 4,138,202 |
66 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Chemicals – 5.1% | ||||||||||||||||||||
$ | 3,115 | CF Industries Inc. | 3.450% | 6/01/23 | BB+ | $ | 2,800,385 | |||||||||||||
1,500 | CF Industries Inc. | 5.375% | 3/15/44 | BB+ | 1,237,965 | |||||||||||||||
3,835 | CVR Partners LP / CVR Nitrogen Finance Corp., 144A, (4) | 9.250% | 6/15/23 | B+ | 3,950,050 | |||||||||||||||
1,473 | Hexion US Finance Corporation | 8.875% | 2/01/18 | CCC | 1,465,635 | |||||||||||||||
1,000 | Kissner Group Holdings LP, 144A | 8.375% | 12/01/22 | B | 1,010,000 | |||||||||||||||
988 | Kraton Polymers LLC/CAP, 144A, (4) | 10.500% | 4/15/23 | B3 | 1,113,970 | |||||||||||||||
3,525 | Momentive Performance Materials Inc., (3), (9) | 8.875% | 10/15/20 | N/R | — | |||||||||||||||
2,025 | Momentive Performance Materials Inc. | 3.880% | 10/24/21 | B | 1,903,500 | |||||||||||||||
2,000 | NOVA Chemicals Corporation, 144A | 5.250% | 8/01/23 | BBB– | 2,020,000 | |||||||||||||||
2,115 | Platform Specialty Products Corporation, 144A | 10.375% | 5/01/21 | B+ | 2,342,363 | |||||||||||||||
2,695 | PolyOne Corporation | 5.250% | 3/15/23 | BB– | 2,735,425 | |||||||||||||||
500 | Rayonier AM Products Inc., 144A | 5.500% | 6/01/24 | BB– | 467,500 | |||||||||||||||
2,400 | Tronox Finance LLC | 6.375% | 8/15/20 | B | 2,244,000 | |||||||||||||||
Total Chemicals | 23,290,793 | |||||||||||||||||||
Commercial Services & Supplies – 1.3% | ||||||||||||||||||||
2,000 | APX Group, Inc., (4) | 8.750% | 12/01/20 | CCC+ | 2,015,000 | |||||||||||||||
2,315 | NES Rental Holdings Inc., 144A | 7.875% | 5/01/18 | B– | 2,303,425 | |||||||||||||||
1,500 | Tervita Escrow Corporation, 144A | 7.625% | 12/01/21 | B2 | 1,530,000 | |||||||||||||||
Total Commercial Services & Supplies | 5,848,425 | |||||||||||||||||||
Construction & Engineering – 0.9% | ||||||||||||||||||||
1,500 | Boart Longyear Management Pty Ltd, 144A | 7.000% | 4/01/21 | CCC | 90,000 | |||||||||||||||
2,000 | HC2 Holdings, Inc., 144A | 11.000% | 12/01/19 | B– | 1,960,000 | |||||||||||||||
2,472 | Michael Baker Holdings LLC Finance Corporation, 144A | 8.875% | 4/15/19 | B– | 2,249,313 | |||||||||||||||
Total Construction & Engineering | 4,299,313 | |||||||||||||||||||
Construction Materials – 0.6% | ||||||||||||||||||||
2,750 | Norbord Inc., 144A | 6.250% | 4/15/23 | Ba2 | 2,846,250 | |||||||||||||||
Consumer Finance – 2.8% | ||||||||||||||||||||
2,800 | Constellis Holdings LLC / Constellis Finance Corporation, 144A | 9.750% | 5/15/20 | B | 2,870,000 | |||||||||||||||
350 | Covenant Surgical Partners Inc., 144A | 8.750% | 8/01/19 | B– | 337,750 | |||||||||||||||
1,850 | Enova International, Inc. | 9.750% | 6/01/21 | B– | 1,845,375 | |||||||||||||||
2,000 | First Data Corporation, 144A | 7.000% | 12/01/23 | B | 2,130,000 | |||||||||||||||
3,500 | Navient Corporation | 7.250% | 9/25/23 | BB | 3,596,250 | |||||||||||||||
2,000 | OneMain Financial Holdings, Inc., 144A | 7.250% | 12/15/21 | B | 2,085,000 | |||||||||||||||
Total Consumer Finance | 12,864,375 | |||||||||||||||||||
Containers & Packaging – 0.6% | ||||||||||||||||||||
1,250 | Coveris Holdings SA, 144A | 7.875% | 11/01/19 | B– | 1,240,625 | |||||||||||||||
1,750 | PaperWorks Industries Inc., 144A | 9.500% | 8/15/19 | B– | 1,513,750 | |||||||||||||||
Total Containers & Packaging | 2,754,375 |
NUVEEN | 67 |
Nuveen High Income Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Diversified Consumer Services – 0.5% | ||||||||||||||||||||
$ | 3,185 | Jones Group Inc. | 6.125% | 11/15/34 | Caa3 | $ | 573,300 | |||||||||||||
1,750 | Prime Security Services Borrower LLC / Prime Finance, Inc., 144A | 9.250% | 5/15/23 | B– | 1,905,313 | |||||||||||||||
Total Diversified Consumer Services | 2,478,613 | |||||||||||||||||||
Diversified Financial Services – 2.5% | ||||||||||||||||||||
1,250 | BCD Acquisition, Inc., 144A | 9.625% | 9/15/23 | B | 1,337,500 | |||||||||||||||
3,470 | CNG Holdings Inc., 144A | 9.375% | 5/15/20 | Caa3 | 3,010,225 | |||||||||||||||
2,180 | James Hardie International Finance Limited, 144A | 5.875% | 2/15/23 | BBB– | 2,256,300 | |||||||||||||||
1,875 | Nationstar Mortgage LLC Capital Corporation | 7.875% | 10/01/20 | B+ | 1,940,625 | |||||||||||||||
2,824 | NewStar Financial, Inc. | 7.250% | 5/01/20 | BB– | 2,809,880 | |||||||||||||||
Total Diversified Financial Services | 11,354,530 | |||||||||||||||||||
Diversified Telecommunication Services – 2.9% | ||||||||||||||||||||
2,000 | CenturyLink Inc. | 5.800% | 3/15/22 | BB+ | 2,044,260 | |||||||||||||||
3,350 | CenturyLink Inc. | 7.650% | 3/15/42 | BB+ | 2,931,250 | |||||||||||||||
2,350 | Consolidated Communications Finance Company | 6.500% | 10/01/22 | B– | 2,332,375 | |||||||||||||||
1,000 | Frontier Communications Corporation | 10.500% | 9/15/22 | BB | 1,051,300 | |||||||||||||||
1,000 | Frontier Communications Corporation | 11.000% | 9/15/25 | BB | 1,032,500 | |||||||||||||||
2,675 | GCI Inc., (4) | 6.875% | 4/15/25 | BB– | 2,715,125 | |||||||||||||||
1,367 | Inelsat Connect Finance SA, 144A | 12.500% | 4/01/22 | CC | 840,705 | |||||||||||||||
1,013 | IntelSat Limited | 7.750% | 6/01/21 | Ca | 331,758 | |||||||||||||||
Total Diversified Telecommunication Services | 13,279,273 | |||||||||||||||||||
Electric Utilities – 0.3% | ||||||||||||||||||||
1,550 | Talen Energy Supply LLC, (4) | 6.500% | 6/01/25 | BB– | 1,197,375 | |||||||||||||||
1,000 | Texas Competitive Electric Holdings Co LLC / TCEH Finance, Inc., 144A | 11.500% | 10/01/20 | N/R | 10,000 | |||||||||||||||
Total Electric Utilities | 1,207,375 | |||||||||||||||||||
Electronic Equipment, Instruments & Components – 0.3% | ||||||||||||||||||||
1,250 | Ingram Micro Inc. | 5.450% | 12/15/24 | BBB– | 1,174,867 | |||||||||||||||
Energy Equipment & Services – 2.1% | ||||||||||||||||||||
2,650 | Calfrac Holdings LP, 144A | 7.500% | 12/01/20 | CCC– | 2,285,625 | |||||||||||||||
3,750 | Murray Energy Corporation, 144A | 11.250% | 4/15/21 | CCC | 2,896,875 | |||||||||||||||
1,400 | Noble Holding International Limited | 7.750% | 1/15/24 | BB– | 1,316,840 | |||||||||||||||
1,670 | Pacific Drilling V Limited, 144A | 7.250% | 12/01/17 | CCC | 784,900 | |||||||||||||||
567 | SAExploration Holdings Inc., 144A | 10.000% | 4/14/19 | N/R | 445,254 | |||||||||||||||
1,841 | SESI, LLC, (4) | 7.125% | 12/15/21 | BB– | 1,873,218 | |||||||||||||||
Total Energy Equipment & Services | 9,602,712 | |||||||||||||||||||
Equity Real Estate Investment Trusts – 0.3% | ||||||||||||||||||||
1,250 | Communications Sales & Leasing Inc., 144A | 7.125% | 12/15/24 | BB– | 1,262,500 | |||||||||||||||
Food & Staples Retailing – 2.0% | ||||||||||||||||||||
2,000 | Albertson’s LLC, 144A | 6.625% | 6/15/24 | B+ | 2,085,000 |
68 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Food & Staples Retailing (continued) | ||||||||||||||||||||
$ | 1,819 | Albertson’s, Inc. | 7.450% | 8/01/29 | B– | $ | 1,718,955 | |||||||||||||
2,500 | Pomegranate Merger Sub, Inc., 144A | 9.750% | 5/01/23 | B | 2,137,500 | |||||||||||||||
1,250 | Supervalu Inc. | 7.750% | 11/15/22 | B | 1,260,938 | |||||||||||||||
2,500 | Tops Holding LLC / Tops Markets II Corporation, 144A | 8.000% | 6/15/22 | B– | 2,150,000 | |||||||||||||||
Total Food & Staples Retailing | 9,352,393 | |||||||||||||||||||
Food Products – 0.6% | ||||||||||||||||||||
2,000 | ESAL GmbH, 144A | 6.250% | 2/05/23 | BB+ | 2,006,000 | |||||||||||||||
500 | Marfrig Holding Europe BV, 144A | 8.000% | 6/08/23 | BB– | 517,550 | |||||||||||||||
Total Food Products | 2,523,550 | |||||||||||||||||||
Gas Utilities – 0.4% | ||||||||||||||||||||
2,000 | AmeriGas Partners LP/AmeriGas Finance Corporation | 5.500% | 5/20/25 | BB | 2,020,000 | |||||||||||||||
Health Care Equipment & Supplies – 1.3% | ||||||||||||||||||||
2,000 | GreatBatch Limited, 144A | 9.125% | 11/01/23 | CCC+ | 1,995,000 | |||||||||||||||
2,500 | Tenet Healthcare Corporation, 144A | 7.500% | 1/01/22 | Ba3 | 2,606,250 | |||||||||||||||
1,800 | Tenet Healthcare Corporation | 6.875% | 11/15/31 | B– | 1,388,250 | |||||||||||||||
Total Health Care Equipment & Supplies | 5,989,500 | |||||||||||||||||||
Health Care Providers & Services – 1.4% | ||||||||||||||||||||
2,200 | Community Health Systems, Inc. | 6.875% | 2/01/22 | B | 1,529,000 | |||||||||||||||
1,775 | HCA Inc. | 5.250% | 6/15/26 | BBB– | 1,834,906 | |||||||||||||||
1,500 | Kindred Healthcare Inc. | 8.750% | 1/15/23 | B– | 1,402,500 | |||||||||||||||
1,500 | Select Medical Corporation | 6.375% | 6/01/21 | B– | 1,500,000 | |||||||||||||||
Total Health Care Providers & Services | 6,266,406 | |||||||||||||||||||
Hotels, Restaurants & Leisure – 3.2% | ||||||||||||||||||||
600 | 1011778 BC ULC/New Red Finance Inc., 144A | 6.000% | 4/01/22 | B– | 627,000 | |||||||||||||||
1,500 | Caesars Growth Properties Holdings LLC / Caesars Growth Properties Finance Inc. | 9.375% | 5/01/22 | B– | 1,616,250 | |||||||||||||||
3,400 | Grupo Posadas SAB de CV, 144A | 7.875% | 6/30/22 | B+ | 3,366,000 | |||||||||||||||
1,100 | CAD | River Cree Enterprises LP, 144A | 11.000% | 1/20/21 | CCC+ | 801,005 | ||||||||||||||
2,285 | Scientific Games International Inc., (4) | 6.250% | 9/01/20 | CCC+ | 1,942,250 | |||||||||||||||
2,000 | Studio City Co Ltd, 144A | 7.250% | 11/30/21 | BB– | 2,070,000 | |||||||||||||||
2,210 | Viking Cruises Limited, 144A | 8.500% | 10/15/22 | B | 2,292,875 | |||||||||||||||
2,100 | Wynn Las Vegas LLC Corporation, 144A, (4) | 5.500% | 3/01/25 | BB | 2,083,200 | |||||||||||||||
Total Hotels, Restaurants & Leisure | 14,798,580 | |||||||||||||||||||
Household Durables – 1.2% | ||||||||||||||||||||
2,750 | Beazer Homes USA, Inc., 144A | 8.750% | 3/15/22 | B– | 2,970,000 | |||||||||||||||
2,500 | KB Home | 7.625% | 5/15/23 | B+ | 2,618,750 | |||||||||||||||
Total Household Durables | 5,588,750 | |||||||||||||||||||
Independent Power & Renewable Electricity Producers – 1.8% | ||||||||||||||||||||
2,250 | Atlantica Yield PLC, 144A | 7.000% | 11/15/19 | B+ | 2,295,000 |
NUVEEN | 69 |
Nuveen High Income Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Independent Power & Renewable Electricity Producers (continued) | ||||||||||||||||||||
$ | 1,500 | DPL, Inc. | 7.250% | 10/15/21 | BB | $ | 1,530,000 | |||||||||||||
500 | Dynegy Inc. | 7.375% | 11/01/22 | B+ | 477,500 | |||||||||||||||
2,000 | Dynegy Inc., 144A | 8.000% | 1/15/25 | B+ | 1,865,000 | |||||||||||||||
2,000 | NRG Energy Inc., 144A, (4) | 7.250% | 5/15/26 | BB– | 1,990,000 | |||||||||||||||
Total Independent Power & Renewable Electricity Producers | 8,157,500 | |||||||||||||||||||
Industrial Conglomerates – 0.2% | ||||||||||||||||||||
1,000 | Techniplas, LLC, 144A | 10.000% | 5/01/20 | B | 867,500 | |||||||||||||||
Insurance – 0.6% | ||||||||||||||||||||
3,000 | Genworth Financial Inc. | 7.625% | 9/24/21 | Ba3 | 2,767,500 | |||||||||||||||
Internet Software & Services – 1.7% | ||||||||||||||||||||
3,975 | Donnelley Financial Solutions, Inc., 144A | 8.250% | 10/15/24 | B | 4,044,562 | |||||||||||||||
3,300 | Inception Merger Sub Inc / Rackspace Hosting Inc., 144A | 8.625% | 11/15/24 | BB– | 3,492,885 | |||||||||||||||
Total Internet Software & Services | 7,537,447 | |||||||||||||||||||
Leisure Products – 0.2% | ||||||||||||||||||||
1,500 | CAD | Gateway Casinos & Entertainment Limited, 144A | 8.500% | 11/26/20 | B+ | 1,078,092 | ||||||||||||||
Machinery – 1.0% | ||||||||||||||||||||
1,500 | BlueLine Rental Finance Corporation, 144A | 7.000% | 2/01/19 | B+ | 1,462,500 | |||||||||||||||
1,750 | CNH Industrial Capital LLC, (4) | 4.375% | 11/06/20 | Ba1 | 1,795,938 | |||||||||||||||
1,500 | Xerium Technologies, 144A | 9.500% | 8/15/21 | B | 1,496,250 | |||||||||||||||
Total Machinery | 4,754,688 | |||||||||||||||||||
Marine – 2.3% | ||||||||||||||||||||
3,000 | Eletson Holdings Inc., 144A, (4) | 9.625% | 1/15/22 | B+ | 2,190,000 | |||||||||||||||
2,900 | Navios Maritime Acquisition Corporation, 144A | 8.125% | 11/15/21 | B+ | 2,465,000 | |||||||||||||||
1,836 | Navios South American Logistics Inc., Finance US Inc., 144A | 7.250% | 5/01/22 | B– | 1,735,020 | |||||||||||||||
2,150 | Teekay Offshore Partners LP/Teekay Offshore Finance Corporation | 6.000% | 7/30/19 | N/R | 1,806,000 | |||||||||||||||
2,200 | Topaz Marine SA, 144A | 8.625% | 11/01/18 | B– | 2,134,000 | |||||||||||||||
Total Marine | 10,330,020 | |||||||||||||||||||
Media – 6.9% | ||||||||||||||||||||
2,500 | Altice S.A, 144A | 7.750% | 5/15/22 | B | 2,668,750 | |||||||||||||||
2,500 | CBS Radio, Inc., 144A | 7.250% | 11/01/24 | B– | 2,612,500 | |||||||||||||||
2,000 | CCO Holdings LLC Finance Corporation | 5.250% | 9/30/22 | BB+ | 2,070,000 | |||||||||||||||
1,850 | Charter Communications, CCO Holdings LLC | 5.125% | 2/15/23 | BB+ | 1,900,875 | |||||||||||||||
925 | Clear Channel Communications, Inc. | 11.250% | 3/01/21 | Caa1 | 705,312 | |||||||||||||||
3,450 | Clear Channel Communications, Inc. | 7.250% | 10/15/27 | CC | 1,483,500 | |||||||||||||||
1,000 | Clear Channel Worldwide | 6.500% | 11/15/22 | BB– | 1,022,500 | |||||||||||||||
2,000 | Dish DBS Corporation | 6.750% | 6/01/21 | Ba3 | 2,170,000 | |||||||||||||||
1,750 | Lee Enterprises Inc., 144A | 9.500% | 3/15/22 | B2 | 1,855,000 | |||||||||||||||
1,750 | McClatchy Company, (4) | 9.000% | 12/15/22 | B1 | 1,863,750 |
70 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Media (continued) | ||||||||||||||||||||
$ | 500 | MHGE Parent LLC / MHGE Parent Finance, Inc., 144A, (4) | 8.500% | �� | 8/01/19 | B– | $ | 502,500 | ||||||||||||
2,500 | Numericable Group SA, 144A | 6.000% | 5/15/22 | B+ | 2,565,625 | |||||||||||||||
3,350 | Numericable Group SA, 144A | 7.375% | 5/01/26 | B+ | 3,421,188 | |||||||||||||||
2,750 | Radio One Inc., 144A | 7.375% | 4/15/22 | B | 2,722,500 | |||||||||||||||
750 | SiTV Inc., 144A | 10.375% | 7/01/19 | B– | 457,500 | |||||||||||||||
3,150 | CAD | Videotron Limited, 144A | 5.625% | 6/15/25 | BB | 2,425,288 | ||||||||||||||
1,000 | VTR Finance BV, 144A | 6.875% | 1/15/24 | BB– | 1,032,500 | |||||||||||||||
Total Media | 31,479,288 | |||||||||||||||||||
Metals & Mining – 5.4% | ||||||||||||||||||||
2,250 | AK Steel Corporation, (4) | 7.625% | 10/01/21 | B– | 2,421,563 | |||||||||||||||
1,500 | Alcoa Nederland Holding BV, 144A | 7.000% | 9/30/26 | BB– | 1,642,500 | |||||||||||||||
1,750 | Allegheny Technologies Inc. | 7.875% | 8/15/23 | B | 1,715,000 | |||||||||||||||
1,000 | Cliffs Natural Resources Inc. | 4.875% | 4/01/21 | Caa2 | 930,000 | |||||||||||||||
2,000 | EUR | Constellium N.V, 144A | 4.625% | 5/15/21 | CCC+ | 2,030,457 | ||||||||||||||
3,349 | First Quantum Minerals Limited, 144A | 6.750% | 2/15/20 | B | 3,340,628 | |||||||||||||||
2,000 | FMG Resources, 144A | 9.750% | 3/01/22 | BBB– | 2,320,140 | |||||||||||||||
2,395 | Hudbay Minerals, Inc., 144A | 7.625% | 1/15/25 | B | 2,489,315 | |||||||||||||||
2,250 | IAMGOLD Corporation, 144A | 6.750% | 10/01/20 | B+ | 2,193,750 | |||||||||||||||
3,505 | Northland Resources AB, Reg S, 144A | 15.000% | 7/15/19 | N/R | 35,044 | |||||||||||||||
1,583 | Northland Resources AB, Reg S, 144A, (9) | 4.000% | 10/15/20 | N/R | 16 | |||||||||||||||
2,500 | Teck Resources Limited | 6.125% | 10/01/35 | BB | 2,431,250 | |||||||||||||||
1,885 | United States Steel Corporation, 144A | 8.375% | 7/01/21 | BB | 2,083,924 | |||||||||||||||
1,385 | Westmoreland Coal Co, 144A | 8.750% | 1/01/22 | B | 1,263,813 | |||||||||||||||
Total Metals & Mining | 24,897,400 | |||||||||||||||||||
Multiline Retail – 0.4% | ||||||||||||||||||||
2,000 | J.C. Penney Company Inc. | 7.400% | 4/01/37 | B+ | 1,800,000 | |||||||||||||||
Oil, Gas & Consumable Fuels – 11.6% | ||||||||||||||||||||
2,542 | American Eagle Energy Corporation, 144A, (9) | 11.000% | 9/01/19 | N/R | 6,356 | |||||||||||||||
2,900 | Armstrong Energy Inc. | 11.750% | 12/15/19 | Caa2 | 1,827,000 | |||||||||||||||
2,150 | Bellatrix Exploration Limited, 144A | 8.500% | 5/15/20 | B | 2,112,375 | |||||||||||||||
2,850 | California Resources Corporation, 144A | 8.000% | 12/15/22 | CCC+ | 2,536,500 | |||||||||||||||
1,100 | Calumet Specialty Products | 7.625% | 1/15/22 | CCC+ | 932,250 | |||||||||||||||
3,000 | CGG SA | 6.875% | 1/15/22 | CCC | 1,380,000 | |||||||||||||||
3,240 | Cheniere Corpus Christi Holdings, LLC, 144A | 5.875% | 3/31/25 | BB– | 3,305,804 | |||||||||||||||
2,950 | Chesapeake Energy Corporation | 6.875% | 11/15/20 | B– | 2,950,000 | |||||||||||||||
1,500 | Chesapeake Energy Corporation, 144A | 8.000% | 1/15/25 | B– | 1,530,000 | |||||||||||||||
2,474 | Cloud Peak Energy Resources LLC and Cloud Peak Energy Finance Corporation | 12.000% | 11/01/21 | B– | 2,572,960 | |||||||||||||||
1,950 | CONSOL Energy Inc. | 5.875% | 4/15/22 | B | 1,911,000 |
NUVEEN | 71 |
Nuveen High Income Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Oil, Gas & Consumable Fuels (continued) | ||||||||||||||||||||
$ | 3,723 | EP Energy LLC and Everest Acquisition Finance, Inc. | 6.375% | 6/15/23 | CCC+ | $ | 2,941,170 | |||||||||||||
2,275 | EV Energy Partners LP / EV Energy Finance Corporation | 8.000% | 4/15/19 | CCC+ | 1,603,875 | |||||||||||||||
2,550 | Genesis Energy LP | 5.750% | 2/15/21 | B+ | 2,575,500 | |||||||||||||||
3,300 | Golden Close Maritime Corporation Limited, 144A, Reg S, (9) | 9.000% | 10/24/19 | N/R | 948,882 | |||||||||||||||
2,000 | Gulfport Energy Corporation, 144A | 6.375% | 5/15/25 | B+ | 2,025,400 | |||||||||||||||
2,125 | Halcon Resources Corporation, 144A, (4) | 8.625% | 2/01/20 | B– | 2,210,000 | |||||||||||||||
390 | Halcon Resources Corporation, 144A | 12.000% | 2/15/22 | B– | 425,100 | |||||||||||||||
1,700 | Martin Mid-Stream Partners LP Finance | 7.250% | 2/15/21 | B– | 1,678,750 | |||||||||||||||
1,705 | MEG Energy Corporation, 144A | 6.375% | 1/30/23 | BB– | 1,517,450 | |||||||||||||||
2,704 | Metro Exploration Holding Inc., (9) | 11.500% | 2/16/20 | N/R | 270 | |||||||||||||||
3,000 | Peabody Energy Corporation, (9) | 6.500% | 9/15/20 | C | 1,837,500 | |||||||||||||||
750 | Penn Virginia Corporation | 8.500% | 5/01/20 | N/R | 15,000 | |||||||||||||||
2,250 | Range Resources Corporation, 144A | 5.000% | 3/15/23 | BB+ | 2,227,500 | |||||||||||||||
1,750 | Rose Rock Midstream LP / Rose Rock Finance Corporation | 5.625% | 7/15/22 | B+ | 1,719,375 | |||||||||||||||
600 | SM Energy Company | 6.750% | 9/15/26 | B+ | 618,000 | |||||||||||||||
860 | Summit Midstream Holdings LLC Finance | 7.500% | 7/01/21 | B+ | 903,000 | |||||||||||||||
2,030 | Talos Production LLC, 144A | 9.750% | 2/15/18 | CCC+ | 1,207,850 | |||||||||||||||
1,750 | Teekay Corporation | 8.500% | 1/15/20 | B+ | 1,662,500 | |||||||||||||||
1,500 | Ultra Petroleum Corporation, 144A, (4), (9) | 5.750% | 12/15/18 | N/R | 1,395,000 | |||||||||||||||
1,445 | Vanguard Natural Resources Finance, (9) | 7.875% | 4/01/20 | CCC– | 830,875 | |||||||||||||||
1,250 | WPX Energy Inc. | 7.500% | 8/01/20 | B | 1,343,750 | |||||||||||||||
2,270 | YPF Sociedad Anonima, 144A | 8.500% | 3/23/21 | B | 2,434,802 | |||||||||||||||
Total Oil, Gas & Consumable Fuels | 53,185,794 | |||||||||||||||||||
Paper & Forest Products – 1.5% | ||||||||||||||||||||
2,500 | Millar Western Forest Products Ltd | 8.500% | 4/01/21 | B– | 1,375,000 | |||||||||||||||
2,500 | Resolute Forest Products | 5.875% | 5/15/23 | B+ | 2,250,000 | |||||||||||||||
3,400 | Tembec Industries, Inc., 144A | 9.000% | 12/15/19 | B– | 3,179,000 | |||||||||||||||
Total Paper & Forest Products | 6,804,000 | |||||||||||||||||||
Pharmaceuticals – 0.3% | ||||||||||||||||||||
1,700 | VP Escrow Corporation, 144A | 6.375% | 10/15/20 | B– | 1,460,402 | |||||||||||||||
Real Estate Management & Development – 1.3% | ||||||||||||||||||||
2,750 | Crescent Communities LLC, 144A | 8.875% | 10/15/21 | B+ | 2,770,625 | |||||||||||||||
2,200 | Hunt Companies Inc., 144A | 9.625% | 3/01/21 | N/R | 2,296,250 | |||||||||||||||
1,000 | Mattamy Group Corporation, 144A | 6.875% | 12/15/23 | BB | 1,012,500 | |||||||||||||||
Total Real Estate Management & Development | 6,079,375 | |||||||||||||||||||
Road & Rail – 1.6% | ||||||||||||||||||||
4,070 | Herc Rentals, Inc., 144A | 7.500% | 6/01/22 | B+ | 4,288,763 | |||||||||||||||
3,000 | The Hertz Corporation, (4) | 6.250% | 10/15/22 | B | 2,812,500 | |||||||||||||||
Total Road & Rail | 7,101,263 |
72 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Software – 0.0% | ||||||||||||||||||||
$ | 180 | SS&C Technologies Holdings, Inc. | 5.875% | 7/15/23 | B+ | $ | 186,525 | |||||||||||||
Specialty Retail – 0.4% | ||||||||||||||||||||
1,000 | Neiman Marcus Group Inc., 144A, (4) | 8.750% | 10/15/21 | CCC | 707,500 | |||||||||||||||
1,000 | Sally Holdings Inc. | 5.750% | 6/01/22 | BB+ | 1,038,750 | |||||||||||||||
Total Specialty Retail | 1,746,250 | |||||||||||||||||||
Technology Hardware, Storage & Peripherals – 0.3% | ||||||||||||||||||||
1,000 | Western Digital Corporation, 144A | 10.500% | 4/01/24 | BB+ | 1,182,500 | |||||||||||||||
Trading Companies & Distributors – 0.4% | ||||||||||||||||||||
2,000 | Avation Capital SA, 144A | 7.500% | 5/27/20 | B+ | 1,980,000 | |||||||||||||||
Wireless Telecommunication Services – 3.0% | ||||||||||||||||||||
2,000 | Altice Financing SA, 144A | 7.500% | 5/15/26 | BB– | 2,080,000 | |||||||||||||||
2,000 | Digicel Group, Limited, 144A | 7.125% | 4/01/22 | B– | 1,551,240 | |||||||||||||||
1,000 | Digicel Limited, 144A | 6.000% | 4/15/21 | B1 | 904,210 | |||||||||||||||
2,225 | FairPoint Communications Inc., 144A | 8.750% | 8/15/19 | B | 2,322,344 | |||||||||||||||
1,500 | Hughes Satellite Systems Corporation, 144A | 6.625% | 8/01/26 | BB– | 1,507,500 | |||||||||||||||
3,000 | Sprint Communications Inc. | 7.000% | 8/15/20 | B+ | 3,180,330 | |||||||||||||||
1,000 | Sprint Corporation | 7.875% | 9/15/23 | B+ | 1,067,500 | |||||||||||||||
1,000 | Wind Acquisition Finance SA, 144A | 7.375% | 4/23/21 | B | 1,040,000 | |||||||||||||||
Total Wireless Telecommunication Services | �� | 13,653,124 | ||||||||||||||||||
Total Corporate Bonds (cost $356,801,781) | 343,935,113 | |||||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
CONVERTIBLE BONDS – 0.5% | ||||||||||||||||||||
Machinery – 0.5% | ||||||||||||||||||||
$ | 2,250 | Navistar International Corporation | 4.750% | 4/15/19 | CCC– | $ | 2,221,875 | |||||||||||||
$ | 2,250 | Total Convertible Bonds (cost $2,099,920) | 2,221,875 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
$1,000 PAR (OR SIMILAR) INSTITUTIONAL PREFERRED – 4.8% | ||||||||||||||||||||
Banks – 2.7% | ||||||||||||||||||||
$ | 1,600 | HSBC Holdings PLC, (4), (12) | 6.375% | N/A (11) | BBB | $ | 1,592,000 | |||||||||||||
2,000 | Intesa Sanpaolo SpA, 144A, (12) | 7.700% | N/A (11) | Ba3 | 1,877,500 | |||||||||||||||
1,903 | Lloyd’s Banking Group PLC, (4), (12) | 7.500% | N/A (11) | BB+ | 1,960,090 | |||||||||||||||
2,600 | Societe Generale, 144A, (12) | 7.375% | N/A (11) | BB+ | 2,595,632 | |||||||||||||||
2,000 | SunTrust Capital Trust I, Series A | 4.000% | N/A (11) | Baa3 | 1,615,000 | |||||||||||||||
3,000 | UniCredit SpA, Reg S, (12) | 8.000% | N/A (11) | BB– | 2,752,500 | |||||||||||||||
13,103 | Total Banks | 12,392,722 |
NUVEEN | 73 |
Nuveen High Income Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
Capital Markets – 0.5% | ||||||||||||||||||||
$ | 2,184 | Goldman Sachs Group Inc., (4) | 5.700% | N/A (11) | Ba1 | $ | 2,238,163 | |||||||||||||
Commercial Services & Supplies – 0.6% | ||||||||||||||||||||
2,500 | AerCap Global Aviation Trust, (4) | 6.500% | 6/15/45 | BB | 2,521,875 | |||||||||||||||
Food Products – 1.0% | ||||||||||||||||||||
2,000 | Dairy Farmers of America Inc., 144A | 7.125% | N/A (11) | Baa3 | 2,067,500 | |||||||||||||||
500 | Land O’ Lakes Incorporated, 144A | 8.000% | N/A (11) | BB | 510,000 | |||||||||||||||
2,000 | Land O’Lakes Inc., 144A | 8.000% | N/A (11) | BB | 2,040,000 | |||||||||||||||
4,500 | Total Food Products | 4,617,500 | ||||||||||||||||||
Industrial Conglomerates – 0.0% | ||||||||||||||||||||
2,000 | OAS Financial Limited, 144A | 8.875% | N/A (11) | N/R | 98,000 | |||||||||||||||
Oil, Gas & Consumable Fuels – 0.0% | ||||||||||||||||||||
300 | DCP Midstream LLC, 144A | 5.850% | 5/21/43 | BB– | 255,000 | |||||||||||||||
$ | 24,587 | Total $1,000 Par (or similar) Institutional Preferred (cost $23,542,074) | 22,123,260 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (6) | Value | |||||||||||||||
ASSET-BACKED SECURITIES – 0.0% | ||||||||||||||||||||
$ | — (13) | Green Tree Financial Corporation, Manufactured Housing Contract Pass-Through Certificates, Series 1998-1 | AA | $ | 435 | |||||||||||||||
$ | — (13) | Total Asset-Backed Securities (cost $431) | 435 | |||||||||||||||||
Shares | Description (1), (14) | Value | ||||||||||||||||||
INVESTMENT COMPANIES – 2.7% | ||||||||||||||||||||
32,000 | Adams Natural Resources Fund Inc. | $ | 645,440 | |||||||||||||||||
114,000 | Blackrock Credit Allocation Income Trust IV | 1,478,580 | ||||||||||||||||||
165,500 | First Trust Strategic High Income Fund II | 2,032,340 | ||||||||||||||||||
28,500 | Gabelli Global Gold Natural Resources and Income Trust | 151,050 | ||||||||||||||||||
189,500 | Invesco Dynamic Credit Opportunities Fund | 2,330,850 | ||||||||||||||||||
188,500 | Pimco Income Strategy Fund | 1,992,445 | ||||||||||||||||||
115,000 | Pioneer Floating Rate Trust | 1,365,050 | ||||||||||||||||||
120,422 | Western Asset Emerging Market Debt Fund Incorporated | 1,771,401 | ||||||||||||||||||
34,351 | WhiteHorse Finance Incorporated | 418,052 | ||||||||||||||||||
Total Investment Companies (cost $12,630,889) | 12,185,208 |
74 | NUVEEN |
Shares | Description (1) | Value | ||||||||||||||||||
WARRANTS – 0.0% | ||||||||||||||||||||
Energy – 0.0% | ||||||||||||||||||||
261 | Contura Energy, Inc., (3) | $ | 8,786 | |||||||||||||||||
336,891 | Iona Energy Inc., (3) | — | ||||||||||||||||||
Total Energy | 8,786 | |||||||||||||||||||
Materials – 0.0% | ||||||||||||||||||||
3,165 | Verso Corporation, (5) | 348 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.0% | ||||||||||||||||||||
161 | Contura Energy, Inc. | 11,431 | ||||||||||||||||||
Telecommunication Services – 0.0% | ||||||||||||||||||||
6,707 | FairPoint Communications Inc. | 82 | ||||||||||||||||||
Transportation – 0.0% | ||||||||||||||||||||
8,907 | Jack Cooper Enterprises, 144A, (3) | — | ||||||||||||||||||
Total Warrants (cost $0) | 20,647 | |||||||||||||||||||
Total Long-Term Investments (cost $436,025,559) | 418,659,366 | |||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 8.9% | ||||||||||||||||||||
Money Market Funds – 8.9% | ||||||||||||||||||||
40,763,041 | First American Government Obligations Fund, Class X, (16) | 0.467% (15) | $ | 40,763,041 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $40,763,041) |
| 40,763,041 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 7.3% | ||||||||||||||||||||
Money Market Funds – 7.3% | ||||||||||||||||||||
33,718,096 | First American Treasury Obligations Fund, Class Z | 0.389% (15) | $ | 33,718,096 | ||||||||||||||||
Total Short-Term Investments (cost $33,718,096) | 33,718,096 | |||||||||||||||||||
Total Investments (cost $510,506,696) – 107.6% | 493,140,503 | |||||||||||||||||||
Other Assets Less Liabilities – (7.6)% (17) | (34,874,695 | ) | ||||||||||||||||||
Net Assets – 100% | $ | 458,265,808 |
Investments in Derivatives as of December 31, 2016
Forward Foreign Currency Exchange Contracts
Counterparty | Currency Contracts to Deliver | Notional Amount (Local Currency) | In Exchange For Currency | Notional Amount (Local Currency) | Settlement Date | Unrealized Appreciation (Depreciation) (U.S. Dollars) | ||||||||||||||||
Citigroup Global Markets, Inc. | Euro | $ | 1,430,900 | U.S. Dollar | $ | 1,523,488 | 1/20/17 | $ | 15,426 | |||||||||||||
Goldman Sacks Bank USA | Canadian Dollar | 5,329,000 | U.S. Dollar | 3,974,256 | 1/20/17 | 4,168 | ||||||||||||||||
$ | 19,594 |
NUVEEN | 75 |
Nuveen High Income Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Credit Default Swaps
Clearing Broker | Referenced Entity | Buy/Sell Protection (18) | Current Credit Spread (19) | Notional Amount | Fixed Rate (Annualized) | Termination Date | Value | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | |||||||||||||||||||||||||
Citigroup Global Markets, Inc.* | Markit iTraxx | Sell | 3.55 | % | $ | 7,500,000 | 5.000 | % | 12/20/21 | $ | 476,464 | $ | 12,667 | $ | 46,251 |
* | Chicago Mercantile Exchange is the clearing house for this transaction. |
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 10-Year Note | Long | 29 | 3/17 | $ | 3,604,156 | $ | 9,969 | $ | (19,632 | ) |
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 discretion of, the Board. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Note 2 – Investment Valuation and Fair Value Measurements for more information. |
(4) | 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 $39,405,666. |
(5) | For fair value measurement disclosure purposes, investment classified as Level 2. See Notes to Financial Statements, Note 2 – Investment Valuation and Fair Value Measurements for more information. |
(6) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(7) | 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. |
(8) | 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. The rate shown is the coupon as of the end of the reporting period. |
(9) | As of, or subsequent to, the end of the reporting period, this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund’s records. |
(10) | Principal Amount (000) denominated in U.S. Dollars, unless otherwise noted. |
(11) | Perpetual security. Maturity date is not applicable. |
(12) | Contingent Capital Securities (CoCos) are debt or preferred securities with loss absorption characteristics built into the terms of the security for the benefit of the issuer, for example an automatic write-down of principal or a mandatory conversion into the issuer’s common stock under certain adverse circumstances, such as the issuer’s capital ratio falling below a specified level. As of the end of the reporting period, the Fund’s total investments in CoCos was $10,777,722, representing 2.4% and 2.2% of Net Assets and Total Investments, respectively. |
(13) | Principal Amount (000) rounds to less than $1,000. |
(14) | A copy of the most recent financial statements for these exchange-traded funds and investment companies can be obtained directly from the Securities and Exchange Commission on its website at http://www.sec.gov. |
(15) | The rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
(16) | 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, Note 3 – Portfolio Securities and Investments in Derivatives, Securities Lending for more information. |
(17) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
(18) | 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. |
(19) | 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. |
ETF | Exchange-Traded Fund |
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. |
SPDR | Standard & Poor’s Depositary Receipts |
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. |
PIK | All or a portion of this security is payment-in-kind. |
CAD | Canadian Dollar |
EUR | Euro |
See accompanying notes to financial statements.
76 | NUVEEN |
Nuveen Inflation Protected Securities Fund
Portfolio of Investments | December 31, 2016 (Unaudited) |
Shares | Description (1) | Coupon | Ratings (2) | Value | ||||||||||||||||
LONG-TERM INVESTMENTS – 98.4% | ||||||||||||||||||||
CONVERTIBLE PREFERRED SECURITIES – 0.0% | ||||||||||||||||||||
Banks – 0.0% | ||||||||||||||||||||
200 | Bank of America Corporation | 7.250% | BB+ | $ | 233,360 | |||||||||||||||
Total Convertible Preferred Securities (cost $174,350) | 233,360 | |||||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
CORPORATE BONDS – 4.2% | ||||||||||||||||||||
Airlines – 0.1% | ||||||||||||||||||||
$ | 394 | American Airlines Inc., Pass-Through Trust 2013-2B, 144A | 5.600% | 7/15/20 | BBB– | $ | 409,080 | |||||||||||||
Auto Components – 0.1% | ||||||||||||||||||||
300 | American & Axle Manufacturing Inc., (3) | 6.625% | 10/15/22 | BB | 309,360 | |||||||||||||||
300 | Tenneco Inc. | 5.375% | 12/15/24 | BB+ | 309,840 | |||||||||||||||
600 | Total Auto Components | 619,200 | ||||||||||||||||||
Automobiles – 0.1% | ||||||||||||||||||||
465 | General Motors Corporation | 4.000% | 4/01/25 | BBB– | 455,064 | |||||||||||||||
Banks – 0.1% | ||||||||||||||||||||
385 | CIT Group Inc., 144A | 5.500% | 2/15/19 | BB+ | 406,175 | |||||||||||||||
170 | CIT Group Inc. | 5.000% | 8/01/23 | BB+ | 175,525 | |||||||||||||||
555 | Total Banks | 581,700 | ||||||||||||||||||
Building Products – 0.0% | ||||||||||||||||||||
250 | Owens Corning Incorporated | 4.200% | 12/15/22 | BBB | 259,353 | |||||||||||||||
Chemicals – 0.2% | ||||||||||||||||||||
650 | CF Industries Inc. | 3.450% | 6/01/23 | BB+ | 584,350 | |||||||||||||||
250 | NOVA Chemicals Corporation, 144A | 5.250% | 8/01/23 | BBB– | 252,500 | |||||||||||||||
400 | PolyOne Corporation | 5.250% | 3/15/23 | BB– | 406,000 | |||||||||||||||
1,300 | Total Chemicals | 1,242,850 | ||||||||||||||||||
Commercial Services & Supplies – 0.2% | ||||||||||||||||||||
547 | Covanta Energy Corporation, Synthetic Letter of Credit | 6.375% | 10/01/22 | Ba3 | 555,035 | |||||||||||||||
500 | R.R. Donnelley & Sons Company, (3) | 7.625% | 6/15/20 | B+ | 520,000 | |||||||||||||||
1,047 | Total Commercial Services & Supplies | 1,075,035 | ||||||||||||||||||
Construction & Engineering – 0.1% | ||||||||||||||||||||
500 | AECOM Technology Corporation | 5.750% | 10/15/22 | BB | 528,500 | |||||||||||||||
Construction Materials – 0.1% | ||||||||||||||||||||
300 | Cemex SAB de CV, 144A | 5.700% | 1/11/25 | BB– | 302,250 | |||||||||||||||
130 | Norbord Inc., 144A | 5.375% | 12/01/20 | Ba2 | 133,250 |
NUVEEN | 77 |
Nuveen Inflation Protected Securities Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Construction Materials (continued) | ||||||||||||||||||||
$ | 250 | Norbord Inc., 144A | 6.250% | 4/15/23 | Ba2 | $ | 258,750 | |||||||||||||
680 | Total Construction Materials | 694,250 | ||||||||||||||||||
Containers & Packaging – 0.0% | ||||||||||||||||||||
175 | Graphic Packaging International Inc. | 4.875% | 11/15/22 | BB+ | 179,375 | |||||||||||||||
Diversified Financial Services – 0.0% | ||||||||||||||||||||
225 | Nationstar Mortgage LLC Capital Corporation | 7.875% | 10/01/20 | B+ | 232,875 | |||||||||||||||
Diversified Telecommunication Services – 0.8% | ||||||||||||||||||||
400 | CenturyLink Inc. | 5.625% | 4/01/20 | BB+ | 423,000 | |||||||||||||||
200 | CenturyLink Inc. | 6.750% | 12/01/23 | BB+ | 204,500 | |||||||||||||||
400 | GCI Inc., (3) | 6.875% | 4/15/25 | BB– | 406,000 | |||||||||||||||
750 | Qualitytech LP/QTS Finance Corp. | 5.875% | 8/01/22 | BB | 763,125 | |||||||||||||||
3,060 | SBA Tower Trust, 144A | 3.598% | 4/15/43 | BBB | 3,071,290 | |||||||||||||||
4,810 | Total Diversified Telecommunication Services | 4,867,915 | ||||||||||||||||||
Energy Equipment & Services – 0.1% | ||||||||||||||||||||
500 | Regency Energy Partners Finance | 6.500% | 7/15/21 | BBB– | 516,333 | |||||||||||||||
Equity Real Estate Investment Trusts – 0.1% | ||||||||||||||||||||
200 | Realogy Group LLC / Realogy Co-Issuer Corporation, 144A | 5.250% | 12/01/21 | B+ | 205,000 | |||||||||||||||
400 | Vereit Operating Partner | 3.000% | 2/06/19 | BBB– | 399,000 | |||||||||||||||
600 | Total Equity Real Estate Investment Trusts | 604,000 | ||||||||||||||||||
Food Products – 0.0% | ||||||||||||||||||||
300 | Pilgrim’s Pride Corporation, 144A | 5.750% | 3/15/25 | BB | 300,000 | |||||||||||||||
Health Care Providers & Services – 0.4% | ||||||||||||||||||||
200 | Community Health Systems, Inc. | 5.125% | 8/01/21 | BB– | 185,500 | |||||||||||||||
500 | HCA Inc. | 4.250% | 10/15/19 | BBB– | 520,000 | |||||||||||||||
1,715 | Mayo Clinic Rochester | 3.774% | 11/15/43 | AA | 1,616,712 | |||||||||||||||
2,415 | Total Health Care Providers & Services | 2,322,212 | ||||||||||||||||||
Hotels, Restaurants & Leisure – 0.0% | ||||||||||||||||||||
200 | Wynn Macau Limited, 144A | 5.250% | 10/15/21 | Ba3 | 201,500 | |||||||||||||||
Household Durables – 0.2% | ||||||||||||||||||||
450 | Brookfield Residential Properties Inc., 144A | 6.500% | 12/15/20 | B+ | 460,125 | |||||||||||||||
250 | CalAtlantic Group Inc. | 5.875% | 11/15/24 | BB | 253,750 | |||||||||||||||
400 | Rialto Holdings LLC-Rialto Corporation, 144A | 7.000% | 12/01/18 | B1 | 405,000 | |||||||||||||||
1,100 | Total Household Durables | 1,118,875 | ||||||||||||||||||
Independent Power & Renewable Electricity Producers – 0.1% | ||||||||||||||||||||
275 | AES Corporation | 7.375% | 7/01/21 | BB | 306,323 | |||||||||||||||
500 | Calpine Corporation | 5.375% | 1/15/23 | BB– | 488,750 | |||||||||||||||
775 | Total Independent Power & Renewable Electricity Producers | 795,073 |
78 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Internet Software & Services – 0.1% | ||||||||||||||||||||
$ | 500 | Donnelley Financial Solutions, Inc., 144A | 8.250% | 10/15/24 | B | $ | 508,750 | |||||||||||||
Media – 0.2% | ||||||||||||||||||||
400 | Altice S.A, 144A | 7.750% | 5/15/22 | B | 427,000 | |||||||||||||||
200 | Charter Communications, CCO Holdings LLC | 5.125% | 2/15/23 | BB+ | 205,500 | |||||||||||||||
300 | Dish DBS Corporation | 4.250% | 4/01/18 | Ba3 | 307,611 | |||||||||||||||
200 | Numericable Group SA, 144A | 6.000% | 5/15/22 | B+ | 205,250 | |||||||||||||||
1,100 | Total Media | 1,145,361 | ||||||||||||||||||
Metals & Mining – 0.2% | ||||||||||||||||||||
500 | First Quantum Minerals Limited, 144A | 6.750% | 2/15/20 | B | 498,750 | |||||||||||||||
550 | Hudbay Minerals, Inc., 144A | 7.250% | 1/15/23 | B | 569,250 | |||||||||||||||
1,050 | Total Metals & Mining | 1,068,000 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.2% | ||||||||||||||||||||
215 | Calumet Specialty Products | 7.625% | 1/15/22 | CCC+ | 182,212 | |||||||||||||||
750 | Cheniere Corpus Christi Holdings, LLC, 144A | 5.875% | 3/31/25 | BB– | 765,232 | |||||||||||||||
200 | Murphy Oil USA, Inc. | 6.000% | 8/15/23 | BB+ | 208,500 | |||||||||||||||
200 | Rose Rock Midstream LP / Rose Rock Finance Corporation | 5.625% | 7/15/22 | B+ | 196,500 | |||||||||||||||
150 | Targa Resources Inc. | 4.250% | 11/15/23 | BB– | 143,438 | |||||||||||||||
1,515 | Total Oil, Gas & Consumable Fuels | 1,495,882 | ||||||||||||||||||
Personal Products – 0.0% | ||||||||||||||||||||
200 | Albea Beauty Holdings SA, 144A | 8.375% | 11/01/19 | B | 208,000 | |||||||||||||||
Real Estate Management & Development – 0.1% | ||||||||||||||||||||
490 | Mattamy Group Corporation, 144A | 6.875% | 12/15/23 | BB | 496,125 | |||||||||||||||
Road & Rail – 0.2% | ||||||||||||||||||||
610 | Avis Budget Car Rental, 144A, (3) | 6.375% | 4/01/24 | BB– | 609,237 | |||||||||||||||
500 | Herc Rentals, Inc., 144A | 7.500% | 6/01/22 | B+ | 526,875 | |||||||||||||||
175 | The Hertz Corporation | 7.375% | 1/15/21 | B | 175,437 | |||||||||||||||
1,285 | Total Road & Rail | 1,311,549 | ||||||||||||||||||
Specialty Retail – 0.1% | ||||||||||||||||||||
420 | Best Buy Co., Inc. | 5.500% | 3/15/21 | Baa1 | 460,522 | |||||||||||||||
Technology Hardware, Storage & Peripherals – 0.1% | ||||||||||||||||||||
500 | NCR Corporation | 5.000% | 7/15/22 | BB | 510,000 | |||||||||||||||
Textiles, Apparel & Luxury Goods – 0.0% | ||||||||||||||||||||
300 | Levi Strauss & Company | 5.000% | 5/01/25 | BB+ | 300,000 | |||||||||||||||
Wireless Telecommunication Services – 0.3% | ||||||||||||||||||||
200 | Altice Financing SA, 144A | 6.625% | 2/15/23 | BB– | 205,500 | |||||||||||||||
200 | Millicom International Cellular SA, 144A | 6.625% | 10/15/21 | BB+ | 210,740 | |||||||||||||||
200 | Softbank Corporation, 144A | 4.500% | 4/15/20 | BB+ | 205,000 |
NUVEEN | 79 |
Nuveen Inflation Protected Securities Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Wireless Telecommunication Services (continued) | ||||||||||||||||||||
$ | 200 | Sprint Communications Inc., 144A | 7.000% | 3/01/20 | BB | $ | 217,000 | |||||||||||||
400 | Telecom Italia SpA, 144A | 5.303% | 5/30/24 | BBB– | 390,000 | |||||||||||||||
400 | T-Mobile USA Inc. | 6.731% | 4/28/22 | BB | 418,000 | |||||||||||||||
1,600 | Total Wireless Telecommunication Services | 1,646,240 | ||||||||||||||||||
$ | 25,851 | Total Corporate Bonds (cost $26,176,058) | 26,153,619 | |||||||||||||||||
Principal Amount (000) | Description (1) | Optional Call Provisions (4) | Ratings (2) | Value | ||||||||||||||||
MUNICIPAL BONDS – 0.2% | ||||||||||||||||||||
Maryland – 0.2% | ||||||||||||||||||||
$ | 1,250 | Baltimore County, Maryland, General Obligation Bonds, Taxable Series 2012, 0.951%, 8/01/17 | No Opt. Call | AAA | $ | 1,248,513 | ||||||||||||||
$ | 1,250 | Total Municipal Bonds (cost $1,250,000) | 1,248,513 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 87.4% | ||||||||||||||||||||
$ | 5,845 | U.S. Treasury Bonds | 3.875% | 4/15/29 | Aaa | $ | 7,989,849 | |||||||||||||
17,832 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 4/15/17 | Aaa | 17,866,438 | |||||||||||||||
26,650 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 4/15/18 | Aaa | 26,891,918 | |||||||||||||||
23,743 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 4/15/19 | Aaa | 24,038,070 | |||||||||||||||
4,656 | U.S. Treasury Inflation Indexed Obligations | 1.375% | 1/15/20 | Aaa | 4,896,290 | |||||||||||||||
33,393 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 4/15/20 | Aaa | 33,737,453 | |||||||||||||||
4,096 | U.S. Treasury Inflation Indexed Obligations | 1.250% | 7/15/20 | Aaa | 4,325,185 | |||||||||||||||
21,106 | U.S. Treasury Inflation Indexed Obligations | 1.125% | 1/15/21 | Aaa | 22,139,954 | |||||||||||||||
24,723 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 4/15/21 | Aaa | 24,862,495 | |||||||||||||||
12,345 | U.S. Treasury Inflation Indexed Obligations | 0.625% | 7/15/21 | Aaa | 12,737,415 | |||||||||||||||
27,768 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 1/15/22 | Aaa | 27,812,977 | |||||||||||||||
14,075 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 7/15/22 | Aaa | 14,109,192 | |||||||||||||||
21,694 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 1/15/23 | Aaa | 21,531,124 | |||||||||||||||
16,412 | U.S. Treasury Inflation Indexed Obligations | 0.375% | 7/15/23 | Aaa | 16,556,741 | |||||||||||||||
22,761 | U.S. Treasury Inflation Indexed Obligations | 0.625% | 1/15/24 | Aaa | 23,157,647 | |||||||||||||||
12,451 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 7/15/24 | Aaa | 12,229,743 | |||||||||||||||
10,156 | U.S. Treasury Inflation Indexed Obligations | 2.375% | 1/15/25 | Aaa | 11,660,304 | |||||||||||||||
58,693 | U.S. Treasury Inflation Indexed Obligations | 0.250% | 1/15/25 | Aaa | 57,715,780 | |||||||||||||||
4,305 | U.S. Treasury Inflation Indexed Obligations | 2.000% | 1/15/26 | Aaa | 4,849,522 | |||||||||||||||
57,922 | U.S. Treasury Inflation Indexed Obligations | 0.625% | 1/15/26 | Aaa | 58,421,142 | |||||||||||||||
15,651 | U.S. Treasury Inflation Indexed Obligations | 0.125% | 7/15/26 | Aaa | 15,132,427 | |||||||||||||||
4,495 | U.S. Treasury Inflation Indexed Obligations | 2.375% | 1/15/27 | Aaa | 5,264,842 | |||||||||||||||
1,725 | U.S. Treasury Inflation Indexed Obligations | 1.750% | 1/15/28 | Aaa | 1,925,708 |
80 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS (continued) | ||||||||||||||||||||
$ | 1,532 | U.S. Treasury Inflation Indexed Obligations | 3.625% | 4/15/28 | Aaa | $ | 2,014,021 | |||||||||||||
4,160 | U.S. Treasury Inflation Indexed Obligations | 2.500% | 1/15/29 | Aaa | 5,016,908 | |||||||||||||||
3,802 | U.S. Treasury Inflation Indexed Obligations | 2.125% | 2/15/40 | Aaa | 4,708,101 | |||||||||||||||
5,569 | U.S. Treasury Inflation Indexed Obligations | 2.125% | 2/15/41 | Aaa | 6,930,383 | |||||||||||||||
19,973 | U.S. Treasury Inflation Indexed Obligations | 0.750% | 2/15/42 | Aaa | 18,902,131 | |||||||||||||||
21,995 | U.S. Treasury Inflation Indexed Obligations | 0.625% | 2/15/43 | Aaa | 20,130,549 | |||||||||||||||
4,859 | U.S. Treasury Inflation Indexed Obligations | 1.375% | 2/15/44 | Aaa | 5,301,156 | |||||||||||||||
7,145 | U.S. Treasury Inflation Indexed Obligations | 0.750% | 2/15/45 | Aaa | 6,720,135 | |||||||||||||||
45 | U.S. Treasury Notes | 2.000% | 2/15/22 | Aaa | 45,024 | |||||||||||||||
20,387 | U.S. Treasury Notes | 0.375% | 7/15/25 | Aaa | 20,272,960 | |||||||||||||||
$ | 531,964 | Total U.S. Government and Agency Obligations (cost $537,310,730) |
| 539,893,584 | ||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 5.8% | ||||||||||||||||||||
$ | 3,000 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 3.167% | 9/17/48 | BBB– | $ | 2,265,297 | |||||||||||||
2,000 | Cabela’s Master Credit Card Trust, Series 2013-2A A2, 144A | 2.170% | 8/16/21 | AAA | 2,012,487 | |||||||||||||||
4,650 | Carmax Auto Owners Trust, Series 2016-4 | 1.210% | 11/15/19 | Aaa | 4,640,485 | |||||||||||||||
2,845 | Colony American Homes Trust 2014-1A, 144A | 2.136% | 5/17/31 | Aaa | 2,842,720 | |||||||||||||||
2,000 | Commercial Mortgage Pass-Through Certificates Series 2012-CR4 | 1.801% | 10/17/45 | AAA | 2,005,806 | |||||||||||||||
2,220 | Conns Receivables Funding Trust II, Series 2016-B, 144A | 3.730% | 10/15/18 | BBB | 2,225,518 | |||||||||||||||
2,500 | DT Auto Owner Trust, Series 2015-3A, 144A | 2.460% | 11/15/19 | AA | 2,508,932 | |||||||||||||||
680 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2013-K712, 144A | 3.365% | 5/25/45 | AA | 690,140 | |||||||||||||||
4,000 | Goldman Sachs Mortgage Securities Trust, Mortgage Pass-Through Certificates, Series 2015-GC32 | 3.345% | 7/10/48 | BBB– | 2,972,955 | |||||||||||||||
1,530 | Green Tree Agency Funding Trust, Manufactured Housing Contract Pass-Through Certificates, Series 2016-T1, 144A | 4.058% | 10/15/48 | BBB | 1,517,898 | |||||||||||||||
2,041 | Greenwich Capital Commercial Funding Corporation, Commercial Mortgage Pass-Through Certificates, Series 2007-GG11 | 5.736% | 12/10/49 | AAA | 2,069,738 | |||||||||||||||
1,700 | Honor Automobile Trust, Series 2016-1A, 144A | 2.940% | 11/15/19 | A | 1,700,046 | |||||||||||||||
2,000 | Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C22, 144A | 4.242% | 4/17/48 | BBB– | 1,536,651 | |||||||||||||||
1,000 | New Residential Advance Receivable Trust Series 2016-T2, 144A | 4.005% | 10/15/49 | BBB | 989,642 | |||||||||||||||
1,938 | OneMain Direct Auto Receivables Trust, Series 2016-1, 144A | 2.040% | 1/15/21 | A+ | 1,941,130 | |||||||||||||||
2,000 | TCF Auto Receivables Owner trust, Series 2015-2A, 144A | 2.550% | 4/15/21 | AAA | 2,013,937 | |||||||||||||||
2,100 | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2013-C15, 144A | 4.480% | 8/17/46 | BBB– | 1,834,699 | |||||||||||||||
$ | 38,204 | Total Asset-Backed and Mortgage-Backed Securities (cost $36,195,280) |
| 35,768,081 |
NUVEEN | 81 |
Nuveen Inflation Protected Securities Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
SOVEREIGN DEBT – 0.8% | ||||||||||||||||||||
Canada – 0.3% | ||||||||||||||||||||
$ | 1,500 | Quebec Province | 7.500% | 7/15/23 | Aa2 | $ | 1,888,530 | |||||||||||||
Tunisia – 0.5% | ||||||||||||||||||||
3,000 | Tunisia Government AID Bonds | 1.416% | 8/05/21 | N/R | 2,899,926 | |||||||||||||||
$ | 4,500 | Total Sovereign Debt (cost $4,894,677) |
| 4,788,456 | ||||||||||||||||
Total Long-Term Investments (cost $606,001,095) |
| 608,085,613 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 0.3% |
| |||||||||||||||||||
Money Market Funds – 0.3% | ||||||||||||||||||||
1,905,713 | First American Government Obligations Fund, Class X, (6) | 0.467% (5) | $ | 1,905,713 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $1,905,713) |
| 1,905,713 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 0.9% | ||||||||||||||||||||
Money Market Funds – 0.9% | ||||||||||||||||||||
5,334,072 | First American Treasury Obligations Fund, Class Z | 0.389% (5) | $ | 5,334,072 | ||||||||||||||||
Total Short-Term Investments (cost $5,334,072) |
| 5,334,072 | ||||||||||||||||||
Total Investments (cost $613,240,880) – 99.6% |
| 615,325,398 | ||||||||||||||||||
Other Assets Less Liabilities – 0.4% (7) |
| 2,194,449 | ||||||||||||||||||
Net Assets – 100% | $ | 617,519,847 |
Investments in Derivatives as of December 31, 2016
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value* | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 5-Year Note | Long | 188 | 3/17 | $ | 22,120,844 | $ | 30,844 | $ | (61,688 | ) | ||||||||||||||
U.S. Treasury 10-Year Note | Long | 6 | 3/17 | 745,687 | 2,062 | 7,704 | ||||||||||||||||||
U.S. Treasury Long Bond | Short | (41 | ) | 3/17 | (6,176,906 | ) | (30,750 | ) | 4,752 | |||||||||||||||
U.S. Treasury Ultra Bond | Long | 15 | 3/17 | 2,403,750 | 14,531 | (31,286 | ) | |||||||||||||||||
$ | 19,093,375 | $ | 16,687 | $ | (80,518 | ) |
* | The aggregate Notional Amount at Value of long and short positions is $25,270,281 and $(6,176,906), respectively. |
82 | NUVEEN |
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) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(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 $1,839,604. |
(4) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. |
(5) | The rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
(6) | 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, Note 3 – Portfolio Securities and Investments in Derivatives, Securities Lending for more information. |
(7) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
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.
NUVEEN | 83 |
Nuveen Intermediate Government Bond Fund
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Optional Call Provisions (3) | Ratings (2) | Value | ||||||||||||||||
LONG-TERM INVESTMENTS – 97.9% | ||||||||||||||||||||
MUNICIPAL BONDS – 2.2% | ||||||||||||||||||||
Louisiana – 0.5% | ||||||||||||||||||||
$ | 374 | Louisiana Local Government Environmental Facilities and Community Development Authority, System Restoration Revenue Bonds, Louisiana Utilities Restoration Corporation Project/EGSL, Series 2010, 3.220%, 2/01/21 | No Opt. Call | AAA | $ | 379,927 | ||||||||||||||
Ohio – 1.7% | ||||||||||||||||||||
345 | Columbus, Ohio, General Obligation Bonds, Various Purpose, Taxable Series 2014C, 3.000%, 2/15/19 | No Opt. Call | AAA | 355,616 | ||||||||||||||||
845 | Ohio State, General Obligation Bonds, Higher Education, Build America Bond Series 2010E, 3.328%, 8/01/17 – AGM Insured | No Opt. Call | AA+ | 855,512 | ||||||||||||||||
1,190 | Total Ohio | 1,211,128 | ||||||||||||||||||
$ | 1,564 | Total Municipal Bonds (cost $1,589,581) | 1,591,055 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 78.3% | ||||||||||||||||||||
$ | 815 | Fannie Mae Mortgage Pool | 1.000% | 8/28/19 | Aaa | $ | 805,571 | |||||||||||||
600 | Fannie Mae Mortgage Pool | 1.375% | 10/07/21 | Aaa | 583,230 | |||||||||||||||
1,000 | Fannie Mae Notes | 1.250% | 9/27/18 | Aaa | 1,000,257 | |||||||||||||||
680 | Fannie Mae Notes, (4) | 1.125% | 10/19/18 | Aaa | 679,104 | |||||||||||||||
1,000 | Fannie Mae Notes | 1.330% | 10/24/19 | Aaa | 993,921 | |||||||||||||||
820 | Fannie Mae Notes | 1.000% | 10/24/19 | Aaa | 808,250 | |||||||||||||||
790 | Fannie Mae Notes | 1.500% | 11/30/20 | Aaa | 779,459 | |||||||||||||||
810 | Fannie Mae Notes, (4) | 1.250% | 5/06/21 | Aaa | 785,727 | |||||||||||||||
1,000 | Federal Farm Credit Bank Discount Notes | 0.700% | 4/06/18 | Aaa | 995,053 | |||||||||||||||
790 | Federal Farm Credit Bank Discount Notes | 1.030% | 5/11/18 | Aaa | 788,945 | |||||||||||||||
1,330 | Federal Farm Credit Bank Discount Notes | 1.550% | 9/27/19 | Aaa | 1,330,984 | |||||||||||||||
360 | Federal Farm Credit Banks, Consolidated Systemwide Notes | 1.750% | 4/01/21 | Aaa | 355,531 | |||||||||||||||
800 | Federal Home Loan Bank Bonds | 0.875% | 6/29/18 | Aaa | 797,083 | |||||||||||||||
755 | Federal Home Loan Bank Bonds | 1.200% | 8/14/18 | Aaa | 754,838 | |||||||||||||||
815 | Federal Home Loan Bank Bonds | 0.875% | 8/05/19 | Aaa | 803,100 | |||||||||||||||
1,080 | Federal Home Loan Bank Bonds | 4.125% | 3/13/20 | Aaa | 1,163,389 | |||||||||||||||
1,600 | Federal Home Loan Bank Bonds, (4) | 1.125% | 7/14/21 | Aaa | 1,542,968 | |||||||||||||||
775 | Federal Home Loan Bank Bonds | 1.875% | 12/09/22 | Aaa | 761,304 | |||||||||||||||
955 | Federal Home Loan Bank Bonds | 2.875% | 6/14/24 | Aaa | 980,508 | |||||||||||||||
2,260 | Federal Home Loan Bank Bonds | 2.875% | 9/13/24 | Aaa | 2,326,089 | |||||||||||||||
825 | Federal Home Loan Bank Bonds | 2.375% | 3/14/25 | Aaa | 808,073 | |||||||||||||||
735 | Federal Home Loan Banks, Discount Notes | 2.220% | 3/28/23 | Aaa | 726,665 |
84 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS (continued) | ||||||||||||||||||||
$ | 590 | Federal Home Loan Mortgage Corporation, Notes | 2.375% | 1/13/22 | Aaa | $ | 599,074 | |||||||||||||
815 | Federal National Mortgage Association | 0.875% | 8/02/19 | Aaa | 803,315 | |||||||||||||||
535 | Federal National Mortgage Association | 0.000% | 10/09/19 | Aaa | 507,312 | |||||||||||||||
775 | Federal National Mortgage Association | 2.125% | 4/24/26 | Aaa | 731,794 | |||||||||||||||
710 | FICO Treasury Strip | 0.000% | 5/02/17 | Aaa | 707,958 | |||||||||||||||
250 | Financing Corporation | 9.400% | 2/08/18 | Aaa | 272,286 | |||||||||||||||
1,850 | Freddie Mac Notes | 0.850% | 7/27/18 | Aaa | 1,840,608 | |||||||||||||||
1,000 | Freddie Mac Notes | 0.875% | 7/19/19 | Aaa | 986,350 | |||||||||||||||
425 | Freddie Mac Reference Notes | 0.875% | 10/12/18 | Aaa | 422,605 | |||||||||||||||
270 | Freddie Mac Reference Notes | 5.000% | 12/14/18 | Aa2 | 288,930 | |||||||||||||||
1,500 | Freddie Mac Reference Notes | 1.125% | 4/15/19 | Aaa | 1,493,542 | |||||||||||||||
820 | Freddie Mac Reference Notes | 1.125% | 8/12/21 | Aaa | 788,708 | |||||||||||||||
530 | Tennessee Valley Authority | 3.875% | 2/15/21 | Aaa | 569,823 | |||||||||||||||
325 | U.S. Treasury Bonds | 8.750% | 8/15/20 | Aaa | 405,594 | |||||||||||||||
1,025 | U.S. Treasury Bonds | 8.125% | 8/15/21 | Aaa | 1,304,279 | |||||||||||||||
535 | U.S. Treasury Bonds | 7.250% | 8/15/22 | Aaa | 681,721 | |||||||||||||||
3,505 | U.S. Treasury Inflation Indexed Obligations | 2.000% | 2/15/25 | Aaa | 3,406,664 | |||||||||||||||
1,275 | U.S. Treasury Inflation Indexed Obligations | 2.000% | 8/15/25 | Aaa | 1,233,274 | |||||||||||||||
1,135 | U.S. Treasury Notes | 2.750% | 11/15/23 | Aaa | 1,171,010 | |||||||||||||||
160 | U.S. Treasury Notes | 1.625% | 5/15/26 | Aaa | 148,966 | |||||||||||||||
1,195 | U.S. Treasury Notes, (4) | 2.000% | 11/15/26 | Aaa | 1,147,905 | |||||||||||||||
1,145 | U.S. Treasury Securities, Stripped Interest Payments | 0.000% | 2/15/22 | Aaa | 1,028,181 | |||||||||||||||
1,660 | U.S. Treasury Notes | 2.000% | 11/30/20 | Aaa | 1,675,856 | |||||||||||||||
1,000 | U.S. Treasury Notes | 2.000% | 2/28/21 | Aaa | 1,007,112 | |||||||||||||||
1,000 | U.S. Treasury Notes | 1.125% | 2/28/21 | Aaa | 972,168 | |||||||||||||||
360 | U.S. Treasury Notes | 2.125% | 6/30/21 | Aaa | 363,549 | |||||||||||||||
410 | U.S. Treasury Notes | 1.125% | 7/31/21 | Aaa | 395,947 | |||||||||||||||
420 | U.S. Treasury Notes | 2.125% | 8/15/21 | Aaa | 423,589 | |||||||||||||||
745 | U.S. Treasury Notes | 2.000% | 11/15/21 | Aaa | 746,328 | |||||||||||||||
1,210 | U.S. Treasury Notes | 2.000% | 2/15/22 | Aaa | 1,210,644 | |||||||||||||||
2,240 | U.S. Treasury Notes | 2.000% | 7/31/22 | Aaa | 2,229,347 | |||||||||||||||
1,685 | U.S. Treasury Notes | 1.750% | 5/15/23 | Aaa | 1,639,217 | |||||||||||||||
2,415 | U.S. Treasury Notes | 2.125% | 5/15/25 | Aaa | 2,364,135 | |||||||||||||||
3,335 | U.S. Treasury Notes, (4) | 2.250% | 11/15/25 | Aaa | 3,287,450 | |||||||||||||||
$ | 57,445 | Total U.S. Government and Agency Obligations (cost $57,487,443) | 57,425,290 |
NUVEEN | 85 |
Nuveen Intermediate Government Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 17.4% | ||||||||||||||||||||
$ | 427 | 321 Henderson Receivables LLC, Series 2010-3A, 144A | 3.820% | 12/15/48 | Aaa | $ | 430,631 | |||||||||||||
527 | 321 Henderson Receivables LLC., Series 2010-1A, 144A | 5.560% | 7/15/59 | Aaa | 570,608 | |||||||||||||||
500 | Barclays Dryrock Issuance Trust 2014-1 | 1.064% | 12/16/19 | AAA | 500,000 | |||||||||||||||
159 | Centerpoint Energy Transition Bond Company LLC | 0.901% | 4/15/18 | AAA | 158,956 | |||||||||||||||
297 | Colony American Homes Trust 2014-1A, 144A | 2.136% | 5/17/31 | Aaa | 296,793 | |||||||||||||||
400 | DT Auto Owner Trust, Series 2015-3A, 144A | 2.460% | 11/15/19 | AA | 401,429 | |||||||||||||||
309 | Entergy Arkansas Restoration Funding LLC, Senior Secured Storm Recovery Bonds, Series 2010-A | 2.300% | 8/01/21 | AAA | 311,475 | |||||||||||||||
486 | Entergy New Orleans Store Recovery Funding LLC, Series 2015-1 | 2.670% | 6/01/27 | AAA | 490,660 | |||||||||||||||
551 | Fannie Mae Alternative Credit Enhanced Securities | 1.637% | 11/25/17 | Aaa | 551,667 | |||||||||||||||
166 | Fannie Mae Alternative Credit Enhanced Securities | 0.823% | 12/25/17 | Aaa | 166,630 | |||||||||||||||
91 | Fannie Mae Mortgage Pool 254169 | 6.500% | 12/01/31 | Aaa | 105,079 | |||||||||||||||
50 | Fannie Mae Mortgage Pool 254179 | 6.000% | 1/01/22 | Aaa | 56,210 | |||||||||||||||
53 | Fannie Mae Mortgage Pool 254344 | 6.500% | 6/01/22 | Aaa | 59,949 | |||||||||||||||
7 | Fannie Mae Mortgage Pool 254373 | 6.500% | 7/01/17 | Aaa | 6,680 | |||||||||||||||
8 | Fannie Mae Mortgage Pool 254414 | 7.000% | 7/01/17 | Aaa | 8,069 | |||||||||||||||
29 | Fannie Mae Mortgage Pool 254720 | 4.500% | 5/01/18 | Aaa | 29,607 | |||||||||||||||
65 | Fannie Mae Mortgage Pool 596680 | 7.000% | 9/01/31 | Aaa | 73,034 | |||||||||||||||
164 | Fannie Mae Mortgage Pool 596712 | 6.500% | 6/01/32 | Aaa | 182,746 | |||||||||||||||
35 | Fannie Mae Mortgage Pool 656269 | 6.000% | 8/01/32 | Aaa | 39,179 | |||||||||||||||
8 | Fannie Mae Mortgage Pool 673010 | 5.500% | 12/01/17 | Aaa | 8,046 | |||||||||||||||
19 | Fannie Mae Mortgage Pool 695765 | 5.500% | 4/01/18 | Aaa | 19,114 | |||||||||||||||
59 | Fannie Mae Mortgage Pool 725793 | 5.500% | 9/01/19 | Aaa | 60,922 | |||||||||||||||
154 | Fannie Mae Mortgage Pool 745101 | 6.000% | 4/01/32 | Aaa | 172,059 | |||||||||||||||
60 | Fannie Mae Mortgage Pool 887017 | 6.500% | 8/01/36 | Aaa | 69,527 | |||||||||||||||
136 | Fannie Mae Mortgage Pool 928519 | 7.000% | 6/01/37 | Aaa | 149,673 | |||||||||||||||
447 | Fannie Mae Mortgage Pool AB1959 | 4.000% | 12/01/40 | Aaa | 471,734 | |||||||||||||||
46 | Fannie Mae Mortgage Pool AE0981 | 3.500% | 3/01/41 | Aaa | 47,485 | |||||||||||||||
271 | Fannie Mae Mortgage Pool AE4876 | 3.500% | 10/01/40 | Aaa | 278,117 | |||||||||||||||
258 | Fannie Mae REMIC Pass-Through Certificates | 6.181% | 2/25/42 | Aaa | 292,805 | |||||||||||||||
131 | Fannie Mae, Connecticut Avenue Securities, Series 2014-C03 | 1.784% | 7/25/24 | BBB+ | 131,910 | |||||||||||||||
342 | FDIC Structures Sale Guaranteed Notes, Series 2010-S1, 144A | 3.250% | 4/25/38 | Aaa | 344,177 | |||||||||||||||
499 | Federal Home Loan Mortgage Corporation, REMIC | 0.954% | 11/15/42 | Aaa | 494,350 | |||||||||||||||
20 | Freddie Mac Mortgage Pool, Various C35768 | 7.500% | 1/01/30 | Aaa | 21,272 | |||||||||||||||
38 | Freddie Mac Mortgage Pool, Various G00876 | 6.500% | 1/01/28 | Aaa | 42,714 | |||||||||||||||
109 | Freddie Mac Mortgage Pool, Various G01244 | 6.500% | 3/01/31 | Aaa | 124,525 | |||||||||||||||
153 | Freddie Mac Mortgage Trust 2013-KF02, 144A | 3.534% | 12/25/45 | Baa3 | 154,065 | |||||||||||||||
300 | Freddie Mac Mortgage Trust, Structured Pass-Through Certificates, Series 2011- K702, 144A | 4.765% | 4/25/44 | A3 | 308,833 | |||||||||||||||
132 | Freddie Mac Mulitfamily Structured Pass-Through Certificates, Series K701 | 2.776% | 6/26/17 | Aaa | 132,586 |
86 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 448 | Freddie Mac Multifamily Structured Pass-Through Certificates, Series K010 A1 | 3.320% | 7/25/20 | Aaa | $ | 453,893 | |||||||||||||
419 | Freddie Mac Multifamily Structured Pass-Through Certificates, Series K715 | 2.059% | 3/25/20 | Aaa | 421,488 | |||||||||||||||
210 | Freddie Mac Structured Pass-Through Certificates, Series K-502 A2 | 1.426% | 8/25/17 | AAA | 210,014 | |||||||||||||||
605 | Freddie Mac Structured Pass-Through Certificates, Series K008 | 2.746% | 12/25/19 | Aaa | 610,844 | |||||||||||||||
455 | Freddie Mac Whole Loan Securities Trust, Structured Pass-Through Certificates, Series 2015-SC01 | 3.500% | 5/25/45 | Aaa | 455,788 | |||||||||||||||
42 | Government National Mortgage Association Pool 3120 | 6.500% | 8/20/31 | Aaa | 48,254 | |||||||||||||||
17 | Government National Mortgage Association Pool 347332 | 7.500% | 12/15/22 | Aaa | 16,780 | |||||||||||||||
2 | Government National Mortgage Association Pool 455304 | 7.000% | 9/15/27 | Aaa | 2,119 | |||||||||||||||
271 | Government National Mortgage Association Pool 4946 | 4.500% | 2/20/41 | Aaa | 291,406 | |||||||||||||||
61 | Government National Mortgage Association Pool 570134 | 7.500% | 12/15/31 | Aaa | 63,548 | |||||||||||||||
536 | Government National Mortgage Association Pool 633605 | 6.000% | 9/15/34 | Aaa | 630,764 | |||||||||||||||
105 | Government National Mortgage Association Pool 780825 | 6.500% | 7/15/28 | Aaa | 120,416 | |||||||||||||||
350 | OMART Receivables Trust, Series 2016-T1, 144A | 2.521% | 8/17/48 | AAA | 348,516 | |||||||||||||||
297 | Origen Manufactured Housing Contract Trust Collateralized Notes Series 2005B | 5.990% | 1/15/37 | A+ | 304,915 | |||||||||||||||
260 | RBSSP Resecuritization Trust 2009-7, 144A | 0.984% | 6/26/37 | A | 249,427 | |||||||||||||||
96 | Structured Agency Credit Risk 2014-DN1 | 1.584% | 2/26/24 | Aa2 | 96,546 | |||||||||||||||
335 | United States Department of Veterans, Affairs, Guaranteed REMIC Pass-Through Certificates, Vendee Mortgage Trust, Series 2011-1 | 3.750% | 2/15/35 | Aaa | 348,763 | |||||||||||||||
97 | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2008-10A | 5.902% | 2/01/18 | Aaa | 100,482 | |||||||||||||||
210 | U.S. Small Business Administration Guaranteed Participating Securities Participation Certificates, Series 2010-P10A | 4.108% | 3/10/20 | Aaa | 217,996 | |||||||||||||||
$ | 12,322 | Total Asset-Backed and Mortgage-Backed Securities (cost $12,363,376) |
| 12,755,275 | ||||||||||||||||
Total Long-Term Investments (cost $71,440,400) |
| 71,771,620 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 3.3% | ||||||||||||||||||||
Money Market Funds – 3.3% | ||||||||||||||||||||
2,377,663 | First American Government Obligations Fund, Class X, (6) | 0.467% (5) | $ | 2,377,663 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $2,377,663) |
| 2,377,663 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 1.5% | ||||||||||||||||||||
Money Market Funds – 1.5% | ||||||||||||||||||||
1,121,933 | First American Treasury Obligations Fund, Class Z | 0.389% (5) | $ | 1,121,933 | ||||||||||||||||
Total Short-Term Investments (cost $1,121,933) |
| 1,121,933 | ||||||||||||||||||
Total Investments (cost $74,939,996) – 102.7% |
| 75,271,216 | ||||||||||||||||||
Other Assets Less Liabilities – (2.7)% (7) |
| (1,984,444 | ) | |||||||||||||||||
Net Assets – 100% | $ | 73,286,772 |
NUVEEN | 87 |
Nuveen Intermediate Government Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Investments in Derivatives
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value* | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 5-Year Note | Long | 38 | 3/17 | $ | 4,471,234 | $ | 6,234 | $ | (12,857 | ) | ||||||||||||||
U.S. Treasury 10-Year Note | Short | (99 | ) | 3/17 | (12,303,844 | ) | (34,031 | ) | 18,168 | |||||||||||||||
U.S. Treasury Long Bond | Long | 4 | 3/17 | 602,625 | 3,000 | 6,489 | ||||||||||||||||||
$ | (7,229,985 | ) | $ | (24,797 | ) | $ | 11,800 |
* | The aggregate Notional Amount at Value of long and short positions is $5,073,859 and $(12,303,844), 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) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(3) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. |
(4) | 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 $2,322,851. |
(5) | The rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
(6) | 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. |
(7) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
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.
88 | NUVEEN |
Nuveen Short Term Bond Fund
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
LONG-TERM INVESTMENTS – 97.7% | ||||||||||||||||||||
CORPORATE BONDS – 45.8% | ||||||||||||||||||||
Aerospace & Defense – 0.2% | ||||||||||||||||||||
$ | 1,000 | L-3 Communications Corporation | 4.950% | 2/15/21 | BBB– | $ | 1,067,547 | |||||||||||||
Airlines – 1.0% | ||||||||||||||||||||
2,192 | American Airlines Pass-Through Trust 2013-2C, 144A | 6.000% | 1/15/17 | BB | 2,195,035 | |||||||||||||||
1,262 | Delta Air Lines Pass-Through Certificates, Series 2012-1B, 144A | 6.875% | 5/07/19 | BBB | 1,358,476 | |||||||||||||||
291 | Delta Airlines | 5.300% | 4/15/19 | A1 | 307,357 | |||||||||||||||
914 | Northwest Airlines Trust Pass-Through Certificates 2007-1 | 7.027% | 11/01/19 | A | 1,019,665 | |||||||||||||||
599 | US Airways Pass-Through Trust | 7.076% | 3/20/21 | A | 642,228 | |||||||||||||||
5,258 | Total Airlines | 5,522,761 | ||||||||||||||||||
Auto Components – 0.2% | ||||||||||||||||||||
853 | American & Axle Manufacturing Inc., (3) | 6.625% | 10/15/22 | BB | 879,614 | |||||||||||||||
Automobiles – 0.7% | ||||||||||||||||||||
2,000 | Daimler Finance NA LLC, 144A | 1.500% | 7/05/19 | A | 1,966,894 | |||||||||||||||
2,000 | General Motors Financial Company Inc. | 3.200% | 7/13/20 | BBB– | 2,004,628 | |||||||||||||||
4,000 | Total Automobiles | 3,971,522 | ||||||||||||||||||
Banks – 9.0% | ||||||||||||||||||||
5,925 | Bank of America Corporation | 5.650% | 5/01/18 | A | 6,207,119 | |||||||||||||||
2,065 | Bank of Montreal | 1.500% | 7/18/19 | Aa3 | 2,037,054 | |||||||||||||||
805 | Bank of Nova Scotia, (3) | 1.375% | 12/18/17 | Aa3 | 804,593 | |||||||||||||||
3,525 | BB&T Corporation | 1.450% | 1/12/18 | A+ | 3,518,796 | |||||||||||||||
4,000 | Citigroup Inc. | 2.150% | 7/30/18 | A | 4,012,556 | |||||||||||||||
1,500 | Citizens Bank NA | 2.500% | 3/14/19 | A– | 1,511,006 | |||||||||||||||
2,000 | Fifth Third Bancorp. | 4.500% | 6/01/18 | A– | 2,063,090 | |||||||||||||||
5,000 | General Electric Capital Corporation | 5.625% | 5/01/18 | AA– | 5,276,230 | |||||||||||||||
2,000 | HSBC USA Inc. | 1.625% | 1/16/18 | AA– | 1,996,280 | |||||||||||||||
1,600 | ING Bank NV, 144A | 2.300% | 3/22/19 | A1 | 1,603,565 | |||||||||||||||
5,780 | JP Morgan Chase & Company | 1.850% | 3/22/19 | A+ | 5,759,539 | |||||||||||||||
1,655 | KeyCorp. | 2.300% | 12/13/18 | A– | 1,664,531 | |||||||||||||||
2,000 | PNC Bank NA | 2.400% | 10/18/19 | A+ | 2,017,478 | |||||||||||||||
2,250 | Santander UK PLC | 3.050% | 8/23/18 | Aa3 | 2,285,122 | |||||||||||||||
2,000 | Societe Generale, 144A | 2.500% | 4/08/21 | A | 1,981,292 | |||||||||||||||
2,000 | SunTrust Banks Inc. | 2.350% | 11/01/18 | A– | 2,017,346 | |||||||||||||||
4,995 | Wells Fargo & Company | 2.125% | 4/22/19 | AA– | 5,009,291 | |||||||||||||||
49,100 | Total Banks | 49,764,888 |
NUVEEN | 89 |
Nuveen Short Term Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Beverages – 0.5% | ||||||||||||||||||||
$ | 2,500 | Anheuser Busch InBev | 7.750% | 1/15/19 | A– | $ | 2,783,725 | |||||||||||||
Biotechnology – 0.7% | ||||||||||||||||||||
1,375 | Biogen Inc. | 2.900% | 9/15/20 | A– | 1,391,497 | |||||||||||||||
2,320 | Celgene Corporation | 2.125% | 8/15/18 | BBB+ | 2,328,913 | |||||||||||||||
3,695 | Total Biotechnology | 3,720,410 | ||||||||||||||||||
Capital Markets – 3.3% | ||||||||||||||||||||
1,870 | Goldman Sachs Group, Inc. | 6.150% | 4/01/18 | A | 1,966,821 | |||||||||||||||
4,000 | Goldman Sachs Group, Inc. | 2.000% | 4/25/19 | A | 3,982,520 | |||||||||||||||
4,995 | Morgan Stanley | 5.950% | 12/28/17 | A | 5,198,596 | |||||||||||||||
2,250 | Nomura Holdings Incorporated | 2.750% | 3/19/19 | A– | 2,270,432 | |||||||||||||||
2,000 | State Street Corporation | 2.550% | 8/18/20 | AA– | 2,019,966 | |||||||||||||||
3,000 | UBS AG Stamford | 1.800% | 3/26/18 | A+ | 3,001,677 | |||||||||||||||
18,115 | Total Capital Markets | 18,440,012 | ||||||||||||||||||
Chemicals – 1.9% | ||||||||||||||||||||
2,215 | Eastman Chemical Company | 2.700% | 1/15/20 | BBB | 2,226,841 | |||||||||||||||
2,635 | Ecolab Inc. | 1.450% | 12/08/17 | A– | 2,632,231 | |||||||||||||||
1,000 | Ineos Group Holdings SA, 144A, (3) | 5.875% | 2/15/19 | B– | 1,022,500 | |||||||||||||||
2,000 | LyondellBasell Industries NV | 5.000% | 4/15/19 | Baa1 | 2,111,460 | |||||||||||||||
2,750 | Sherwin-Williams Company | 1.350% | 12/15/17 | A | 2,745,050 | |||||||||||||||
10,600 | Total Chemicals | 10,738,082 | ||||||||||||||||||
Commercial Services & Supplies – 0.4% | ||||||||||||||||||||
2,000 | AerCap Ireland Capital Limited / AerCap Global Aviation Trust | 3.750% | 5/15/19 | BBB– | 2,037,500 | |||||||||||||||
Consumer Finance – 1.7% | ||||||||||||||||||||
1,200 | Ally Financial Inc | 8.000% | 12/31/18 | BB | 1,309,500 | |||||||||||||||
2,750 | American Express Company | 1.550% | 5/22/18 | A | 2,744,247 | |||||||||||||||
2,200 | Capital One Financial Corporation | 2.450% | 4/24/19 | A– | 2,213,083 | |||||||||||||||
2,000 | Ford Motor Credit Company | 2.597% | 11/04/19 | BBB | 1,996,064 | |||||||||||||||
1,250 | Navient Corporation | 5.000% | 10/26/20 | BB | 1,275,000 | |||||||||||||||
9,400 | Total Consumer Finance | 9,537,894 | ||||||||||||||||||
Diversified Financial Services – 1.2% | ||||||||||||||||||||
2,570 | BNP Paribas | 2.700% | 8/20/18 | A1 | 2,602,991 | |||||||||||||||
1,000 | Fly Leasing Limited | 6.750% | 12/15/20 | BB– | 1,045,000 | |||||||||||||||
1,500 | Rabobank Nederland | 2.250% | 1/14/19 | Aa2 | 1,507,502 | |||||||||||||||
1,201 | Voya Financial Inc. | 2.900% | 2/15/18 | BBB | 1,215,730 | |||||||||||||||
6,271 | Total Diversified Financial Services | 6,371,223 | ||||||||||||||||||
Diversified Telecommunication Services – 2.9% | ||||||||||||||||||||
4,440 | AT&T, Inc., (3) | 2.300% | 3/11/19 | A– | 4,455,336 | |||||||||||||||
1,500 | CenturyLink Inc. | 5.625% | 4/01/20 | BB+ | 1,586,250 |
90 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Diversified Telecommunication Services (continued) | ||||||||||||||||||||
$ | 1,250 | Frontier Communications Corporation | 8.125% | 10/01/18 | BB | $ | 1,350,000 | |||||||||||||
1,665 | Orange SA | 1.625% | 11/03/19 | BBB+ | 1,639,334 | |||||||||||||||
3,420 | SBA Tower Trust, 144A | 3.598% | 4/15/43 | BBB | 3,432,618 | |||||||||||||||
3,635 | Verizon Communications | 3.650% | 9/14/18 | A– | 3,754,337 | |||||||||||||||
15,910 | Total Diversified Telecommunication Services | 16,217,875 | ||||||||||||||||||
Electric Utilities – 0.6% | ||||||||||||||||||||
2,000 | Exelon Generation Co. LLC | 2.950% | 1/15/20 | BBB | 2,022,772 | |||||||||||||||
1,000 | FPL Group Capital Inc. | 6.000% | 3/01/19 | A– | 1,081,003 | |||||||||||||||
3,000 | Total Electric Utilities | 3,103,775 | ||||||||||||||||||
Electronic Equipment, Instruments & Components – 0.3% | ||||||||||||||||||||
1,500 | Corning Incorporated | 4.250% | 8/15/20 | BBB+ | 1,583,088 | |||||||||||||||
Energy Equipment & Services – 0.2% | ||||||||||||||||||||
1,000 | Regency Energy Partners Finance | 6.500% | 7/15/21 | BBB– | 1,032,666 | |||||||||||||||
Equity Real Estate Investment Trusts – 0.8% | ||||||||||||||||||||
2,000 | American Tower Company | 4.500% | 1/15/18 | BBB | 2,052,558 | |||||||||||||||
2,605 | Realty Income Corporation | 2.000% | 1/31/18 | BBB+ | 2,612,073 | |||||||||||||||
4,605 | Total Equity Real Estate Investment Trusts | 4,664,631 | ||||||||||||||||||
Food & Staples Retailing – 1.5% | ||||||||||||||||||||
2,000 | Kroger Co | 1.500% | 9/30/19 | Baa1 | 1,968,672 | |||||||||||||||
1,250 | Supervalu Inc., (3) | 6.750% | 6/01/21 | B | 1,262,500 | |||||||||||||||
2,015 | Sysco Corporation | 2.600% | 10/01/20 | A3 | 2,030,892 | |||||||||||||||
3,000 | Walgreens Boots Alliance, Inc. | 2.700% | 11/18/19 | BBB | 3,038,346 | |||||||||||||||
8,265 | Total Food & Staples Retailing | 8,300,410 | ||||||||||||||||||
Food Products – 1.1% | ||||||||||||||||||||
2,175 | Bunge Limited Finance Company | 3.500% | 11/24/20 | BBB | 2,212,058 | |||||||||||||||
1,065 | Kraft Heinz Foods Company | 2.000% | 7/02/18 | BBB– | 1,065,068 | |||||||||||||||
2,500 | Tyson Foods | 2.650% | 8/15/19 | BBB | 2,522,735 | |||||||||||||||
5,740 | Total Food Products | 5,799,861 | ||||||||||||||||||
Gas Utilities – 0.2% | ||||||||||||||||||||
1,300 | Ferrellgas LP, (3) | 8.625% | 6/15/20 | CCC+ | 1,280,500 | |||||||||||||||
Health Care Equipment & Supplies – 0.7% | ||||||||||||||||||||
1,120 | Abbott Laboratories | 2.900% | 11/30/21 | A | 1,117,341 | |||||||||||||||
2,520 | Becton Dickinson & Company | 1.800% | 12/15/17 | BBB+ | 2,525,567 | |||||||||||||||
3,640 | Total Health Care Equipment & Supplies | 3,642,908 | ||||||||||||||||||
Health Care Providers & Services – 1.5% | ||||||||||||||||||||
3,000 | Cardinal Health Inc. | 2.400% | 11/15/19 | A– | 3,020,385 | |||||||||||||||
1,500 | HCA Inc. | 4.250% | 10/15/19 | BBB– | 1,560,000 |
NUVEEN | 91 |
Nuveen Short Term Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Health Care Providers & Services (continued) | ||||||||||||||||||||
$ | 300 | IASIS Healthcare Capital Corporation | 8.375% | 5/15/19 | CCC+ | $ | 261,000 | |||||||||||||
1,765 | UnitedHealth Group Incorporated | 3.875% | 10/15/20 | A+ | 1,857,294 | |||||||||||||||
1,750 | Wellpoint Inc. | 1.875% | 1/15/18 | A | 1,750,646 | |||||||||||||||
8,315 | Total Health Care Providers & Services | 8,449,325 | ||||||||||||||||||
Hotels, Restaurants & Leisure – 0.5% | ||||||||||||||||||||
1,100 | International Game Technology PLC | 7.500% | 6/15/19 | BB+ | 1,210,000 | |||||||||||||||
1,250 | MGM Resorts International Inc. | 6.750% | 10/01/20 | BB | 1,390,625 | |||||||||||||||
2,350 | Total Hotels, Restaurants & Leisure | 2,600,625 | ||||||||||||||||||
Household Durables – 0.6% | ||||||||||||||||||||
1,805 | Newell Brands Inc. | 2.600% | 3/29/19 | BBB– | 1,824,371 | |||||||||||||||
1,550 | William Lyon Homes Incorporated | 8.500% | 11/15/20 | B– | 1,619,750 | |||||||||||||||
3,355 | Total Household Durables | 3,444,121 | ||||||||||||||||||
Independent Power & Renewable Electricity Producers – 0.2% | ||||||||||||||||||||
1,300 | Dynegy Inc., (3) | 6.750% | 11/01/19 | B+ | 1,322,750 | |||||||||||||||
Industrial Conglomerates – 0.4% | ||||||||||||||||||||
2,000 | Siemens Financieringsmaatschappij NV, 144A | 1.300% | 9/13/19 | A+ | 1,961,314 | |||||||||||||||
Insurance – 1.4% | ||||||||||||||||||||
2,000 | AFLAC Insurance | 2.400% | 3/16/20 | A– | 2,005,922 | |||||||||||||||
2,415 | American International Group, Inc. | 3.375% | 8/15/20 | A– | 2,486,006 | |||||||||||||||
1,500 | Met Life Global Funding I, 144A | 2.000% | 4/14/20 | AA– | 1,482,281 | |||||||||||||||
1,570 | Prudential Financial Inc. | 4.500% | 11/15/20 | A | 1,681,016 | |||||||||||||||
7,485 | Total Insurance | 7,655,225 | ||||||||||||||||||
Internet Software & Services – 0.4% | ||||||||||||||||||||
2,185 | eBay Inc. | 2.500% | 3/09/18 | BBB+ | 2,203,902 | |||||||||||||||
IT Services – 0.6% | ||||||||||||||||||||
3,490 | Visa Inc. | 2.200% | 12/14/20 | A+ | 3,491,919 | |||||||||||||||
Leisure Products – 0.4% | ||||||||||||||||||||
1,980 | Carnival Corporation | 3.950% | 10/15/20 | A– | 2,086,494 | |||||||||||||||
Machinery – 0.2% | ||||||||||||||||||||
1,365 | Ingersoll-Rand Luxembourg Finance SA | 2.625% | 5/01/20 | BBB | 1,367,120 | |||||||||||||||
Media – 2.9% | ||||||||||||||||||||
1,735 | 21st Century Fox America Inc. | 4.500% | 2/15/21 | BBB+ | 1,853,466 | |||||||||||||||
2,600 | British Sky Broadcasting Group PLC, 144A | 6.100% | 2/15/18 | BBB | 2,712,471 | |||||||||||||||
1,890 | CBS Corporation | 5.750% | 4/15/20 | BBB | 2,084,918 | |||||||||||||||
2,000 | Charter Communications Operating Capital Corporation | 3.579% | 7/23/20 | BBB– | 2,039,054 | |||||||||||||||
4,000 | Comcast Corporation | 5.875% | 2/15/18 | A– | 4,193,516 | |||||||||||||||
1,600 | Discovery Communications Inc. | 5.625% | 8/15/19 | BBB– | 1,727,790 |
92 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Media (continued) | ||||||||||||||||||||
$ | 1,500 | Dish DBS Corporation | 4.250% | 4/01/18 | Ba3 | $ | 1,538,055 | |||||||||||||
15,325 | Total Media | 16,149,270 | ||||||||||||||||||
Metals & Mining – 0.5% | ||||||||||||||||||||
1,250 | Alcoa Inc. | 6.150% | 8/15/20 | BBB– | 1,359,375 | |||||||||||||||
1,500 | Nucor Corporation | 5.850% | 6/01/18 | A– | 1,580,094 | |||||||||||||||
2,750 | Total Metals & Mining | 2,939,469 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.8% | ||||||||||||||||||||
645 | Calumet Specialty Products | 6.500% | 4/15/21 | CCC+ | 546,637 | |||||||||||||||
750 | Sabine Pass Liquefaction LLC | 5.625% | 2/01/21 | BBB– | 802,500 | |||||||||||||||
1,370 | Spectra Energy Partners LP | 2.950% | 9/25/18 | BBB | 1,391,379 | |||||||||||||||
1,780 | Suncor Energy, Inc. | 6.100% | 6/01/18 | A– | 1,884,267 | |||||||||||||||
4,545 | Total Oil, Gas & Consumable Fuels | 4,624,783 | ||||||||||||||||||
Paper & Forest Products – 0.2% | ||||||||||||||||||||
1,000 | Mercer International Inc. | 7.000% | 12/01/19 | BB– | 1,032,500 | |||||||||||||||
Pharmaceuticals – 0.6% | ||||||||||||||||||||
2,125 | McKesson Corporation | 2.284% | 3/15/19 | BBB+ | 2,132,459 | |||||||||||||||
1,245 | Teva Pharmaceutical Finance III | 1.700% | 7/19/19 | BBB | 1,222,710 | |||||||||||||||
3,370 | Total Pharmaceuticals | 3,355,169 | ||||||||||||||||||
Road & Rail – 0.0% | ||||||||||||||||||||
270 | The Hertz Corporation | 6.750% | 4/15/19 | B | 270,000 | |||||||||||||||
Software – 0.2% | ||||||||||||||||||||
1,105 | Total System Services Inc. | 2.375% | 6/01/18 | BBB– | 1,109,406 | |||||||||||||||
Specialty Retail – 0.7% | ||||||||||||||||||||
1,625 | AutoNation Inc. | 6.750% | 4/15/18 | BBB– | 1,714,105 | |||||||||||||||
2,020 | Hyundai Capital America, 144A | 2.400% | 10/30/18 | A– | 2,028,034 | |||||||||||||||
3,645 | Total Specialty Retail | 3,742,139 | ||||||||||||||||||
Technology Hardware, Storage & Peripherals – 1.1% | ||||||||||||||||||||
2,720 | Apple Inc. | 2.100% | 5/06/19 | AA+ | 2,745,119 | |||||||||||||||
500 | Dell Inc., (3) | 5.875% | 6/15/19 | Ba2 | 527,500 | |||||||||||||||
1,100 | Hewlett Packard Enterprise Co | 3.100% | 10/05/18 | A– | 1,111,110 | |||||||||||||||
1,625 | International Business Machines Corporation (IBM) | 1.800% | 5/17/19 | AA– | 1,625,283 | |||||||||||||||
5,945 | Total Technology Hardware, Storage & Peripherals | 6,009,012 | ||||||||||||||||||
Tobacco – 0.9% | ||||||||||||||||||||
1,970 | Philip Morris International | 1.375% | 2/25/19 | A | 1,948,625 | |||||||||||||||
2,915 | Reynolds American Inc. | 3.250% | 6/12/20 | BBB | 2,985,170 | |||||||||||||||
4,885 | Total Tobacco | 4,933,795 |
NUVEEN | 93 |
Nuveen Short Term Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
Trading Companies & Distributors – 0.3% | ||||||||||||||||||||
$ | 1,500 | Air Lease Corporation | 2.625% | 9/04/18 | BBB | $ | 1,510,190 | |||||||||||||
Transportation Infrastructure – 0.4% | ||||||||||||||||||||
2,000 | Aviation Capital Group Corporation, 144A | 2.875% | 9/17/18 | A– | 2,025,000 | |||||||||||||||
Wireless Telecommunication Services – 1.9% | ||||||||||||||||||||
1,570 | America Movil S.A. de C.V. | 5.000% | 3/30/20 | A2 | 1,677,813 | |||||||||||||||
2,000 | Deutsche Telekom International Finance BV | 6.000% | 7/08/19 | BBB+ | 2,186,662 | |||||||||||||||
1,250 | Softbank Corporation, 144A | 4.500% | 4/15/20 | BB+ | 1,281,250 | |||||||||||||||
1,500 | Sprint Communications Inc., 144A | 9.000% | 11/15/18 | BB | 1,653,750 | |||||||||||||||
3,480 | Vodafone Group PLC | 1.500% | 2/19/18 | BBB+ | 3,466,654 | |||||||||||||||
9,800 | Total Wireless Telecommunication Services | 10,266,129 | ||||||||||||||||||
$ | 247,717 | Total Corporate Bonds (cost $252,570,208) | 253,010,549 | |||||||||||||||||
Principal Amount (000) | Description (1) | Optional Call Provisions (4) | Ratings (2) | Value | ||||||||||||||||
MUNICIPAL BONDS – 1.8% | ||||||||||||||||||||
California – 0.2% | ||||||||||||||||||||
$ | 1,015 | California State, General Obligation Bonds, Various Purpose Build America Taxable Bond Series 2010, 5.750%, 3/01/17 | No Opt. Call | AA– | $ | 1,023,029 | ||||||||||||||
Guam – 0.4% | ||||||||||||||||||||
Government of Guam, Business Privilege Tax Bonds, Taxable Series 2012B-2: | ||||||||||||||||||||
1,155 | 2.933%, 1/01/17 | No Opt. Call | A | 1,155,011 | ||||||||||||||||
1,190 | 3.301%, 1/01/18 | No Opt. Call | A | 1,195,153 | ||||||||||||||||
2,345 | Total Guam | 2,350,164 | ||||||||||||||||||
Massachusetts – 0.5% | ||||||||||||||||||||
2,750 | University of Massachusetts Building Authority, Project Revenue Bonds, Senior Series 2014-2, 1.185%, 11/01/17 | No Opt. Call | Aa2 | 2,748,487 | ||||||||||||||||
Nevada – 0.4% | ||||||||||||||||||||
2,500 | Las Vegas Valley Water District, Nevada, General Obligation Bonds, Refunding Series 2011B, 3.176%, 6/01/17 | No Opt. Call | Aa1 | 2,518,975 | ||||||||||||||||
Ohio – 0.3% | ||||||||||||||||||||
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+ | 1,488,287 | ||||||||||||||||
$ | 10,080 | Total Municipal Bonds (cost $10,102,307) | 10,128,942 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS – 8.0% | ||||||||||||||||||||
$ | 13,000 | Federal National Mortgage Association | 1.000% | 2/26/19 | Aaa | $ | 12,916,033 | |||||||||||||
12,000 | U.S. Treasury Notes | 0.750% | 6/30/17 | Aaa | 12,006,096 | |||||||||||||||
3,000 | U.S. Treasury Notes | 0.875% | 11/30/17 | Aaa | 3,000,114 |
94 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
U.S. GOVERNMENT AND AGENCY OBLIGATIONS (continued) | ||||||||||||||||||||
$ | 14,045 | U.S. Treasury Notes | 0.750% | 12/31/17 | Aaa | $ | 14,021,222 | |||||||||||||
2,000 | U.S. Treasury Notes | 1.000% | 10/15/19 | Aaa | 1,977,690 | |||||||||||||||
$ | 44,045 | Total U.S. Government and Agency Obligations (cost $43,949,864) | 43,921,155 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 42.1% | ||||||||||||||||||||
$ | 2,588 | 321 Henderson Receivables LLC, Series 2005-1A, 144A | 0.768% | 11/15/40 | AAA | $ | 2,456,490 | |||||||||||||
2,179 | 321 Henderson Receivables LLC, Series 2006-4A, 144A | 0.738% | 12/15/41 | AAA | 2,146,341 | |||||||||||||||
509 | ACE Securities Corporation, Manufactured Housing Trust Series 2003-MH1, 144A | 6.500% | 5/15/29 | AA | 567,533 | |||||||||||||||
1,303 | Agate Bay Mortgage Loan Trust, Mortgage Loan Pass-Through Certificates, Series 2016-3, 144A | 3.500% | 8/25/46 | AAA | 1,324,567 | |||||||||||||||
4,198 | American Express Credit Account Master Trust, Series 2013-1 | 1.124% | 2/16/21 | Aaa | 4,211,062 | |||||||||||||||
3,470 | American Homes 4 Rent, Series 2014-SFR1, 144A | 1.736% | 6/17/31 | Aaa | 3,457,729 | |||||||||||||||
5,170 | American Tower Company, 144A | 1.551% | 3/15/43 | Aaa | 5,165,312 | |||||||||||||||
4,112 | AmeriCold LLC Trust, Series 2010, 144A | 2.195% | 1/17/29 | AAA | 4,115,062 | |||||||||||||||
968 | Amortizing Residential Collateral Trust Series 2002-BC4 M1 | 1.806% | 7/25/32 | Baa2 | 952,539 | |||||||||||||||
1,892 | Amortizing Residential Collateral Trust, Series 2002-BC7 | 1.516% | 10/25/32 | Aa1 | 1,641,588 | |||||||||||||||
511 | Avant Loans Funding Trust, Series 2016-A, 144A | 4.110% | 5/15/19 | N/R | 511,221 | |||||||||||||||
3,000 | Barclays Commercial Mortgage, Mortgage Pass-Through Certificates, Series 2015-STP, 144A | 4.427% | 9/10/28 | A– | 3,015,981 | |||||||||||||||
2,415 | BXHTL Mortgage Trust, Series 2015-JWRZ, 144A | 1.934% | 5/15/29 | AAA | 2,421,820 | |||||||||||||||
3,000 | Cabela’s Master Credit Card Trust, Series 2011-A2, 144A | 1.234% | 2/18/20 | AAA | 3,000,618 | |||||||||||||||
233 | California Republic Auto Receivables Trust 2013-2 | 1.230% | 3/15/19 | Aaa | 233,095 | |||||||||||||||
1,500 | California Republic Auto Receivables Trust, Series 2016-2 | 1.340% | 3/15/19 | AAA | 1,500,154 | |||||||||||||||
37 | CAM Mortgage Trust 2015-1, 144A | 3.500% | 7/15/64 | N/R | 36,582 | |||||||||||||||
296 | Capital Auto Receivables Asset Trust, Asset-Backed Notes, Series 2014-1 | 1.320% | 6/20/18 | AAA | 296,147 | |||||||||||||||
4,155 | Capital One Multi Asset Execution Trust, Series 2014-A3 | 1.084% | 1/18/22 | AAA | 4,156,686 | |||||||||||||||
3,960 | Capital One Multi Asset Execution Trust, Series 2016-A1 | 1.154% | 2/15/22 | AAA | 3,976,086 | |||||||||||||||
3,000 | Capital One Multi Asset Execution Trust, Series 2016-A6 | 1.820% | 9/15/22 | AAA | 2,990,858 | |||||||||||||||
3,000 | Capital One Multi-Asset Execution Trust, Card Series 2007-A7 | 5.750% | 7/15/20 | AAA | 3,095,721 | |||||||||||||||
359 | Centerpoint Energy Transition Bond Company LLC | 0.901% | 4/15/18 | AAA | 358,746 | |||||||||||||||
2,489 | Chase Issuance Trust, Series 2013-A9 | 1.124% | 11/16/20 | AAA | 2,496,434 | |||||||||||||||
3,000 | CitiBank Credit Card Issuance Trust 2016-A1 | 1.750% | 11/19/21 | AAA | 2,985,169 | |||||||||||||||
72 | Citicorp Mortgage Securities I, REMIC Pass-Through Certificates, Series 2007-9 | 5.500% | 12/25/22 | Baa2 | 71,438 | |||||||||||||||
129 | Citicorp Mortgage Securities Inc., REMIC Pass-Through Certificates, Series 2006-1 5A1 | 5.500% | 2/25/26 | B2 | 129,741 | |||||||||||||||
2,960 | Colony American Homes Trust 2015-1A, 144A | 2.686% | 7/17/32 | A2 | 2,955,072 | |||||||||||||||
2,000 | Colony American Homes Trust 2014-1A, 144A | 2.336% | 5/17/31 | Aa1 | 1,991,187 | |||||||||||||||
2,000 | Colony Starwood Homes, Series 2016-1A, 144A | 3.836% | 7/19/33 | Baa2 | 2,031,271 |
NUVEEN | 95 |
Nuveen Short Term Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | �� | |||||||||||||||||||
$ | 1,505 | Commercial Mortgage Pass-Through Certificates, Series 2016-SAVA, 144A | 3.004% | 10/17/34 | AA– | $ | 1,512,078 | |||||||||||||
4,470 | Commercial Mortgage Trust 2014-BBG, 144A | 1.504% | 3/15/29 | AAA | 4,450,548 | |||||||||||||||
746 | Conns Receivables Funding Trust II, Series 2016-A, 144A | 4.680% | 4/16/18 | BBB | 747,508 | |||||||||||||||
2,731 | Conns Receivables Funding Trust II, Series 2016-B, 144A | 3.730% | 10/15/18 | BBB | 2,737,387 | |||||||||||||||
240 | Consumer Credit Origination Loan Trust, Series 2015-1, 144A | 2.820% | 3/15/21 | Baa1 | 240,023 | |||||||||||||||
95 | Countrywide Home Loan Mortgage Pass-Through Trust, Series 2004-2 | 2.537% | 2/25/34 | BB+ | 91,417 | |||||||||||||||
2,608 | Credit Suisse Commercial Mortgage Trust, 2015-2, 144A | 3.000% | 2/25/45 | AAA | 2,602,865 | |||||||||||||||
4,178 | Credit Suisse Commercial Mortgage Trust, Series 2013-6, 144A | 2.500% | 7/25/28 | AAA | 4,096,146 | |||||||||||||||
384 | Credit Suisse First Boston Mortgage Securities Corporation, Mortgage-Backed Pass-Through Certificates, Series 2003-23 | 5.750% | 9/25/33 | AA+ | 402,494 | |||||||||||||||
2,596 | Credit-Based Asset Servicing and Securitization Pool 2007-SP1, 144A | 6.020% | 12/25/37 | A+ | 2,691,298 | |||||||||||||||
2,000 | Discover Card Execution Note Trust 2012-A6 | 1.670% | 1/18/22 | AAA | 1,991,591 | |||||||||||||||
2,595 | Discover Card Execution Note Trust 2013-A5 | 0.988% | 4/15/21 | AAA | 2,605,498 | |||||||||||||||
4,000 | Discover Card Execution Note Trust 2014-A1 | 1.134% | 7/15/21 | AAA | 4,014,921 | |||||||||||||||
2,048 | DT Auto Owner Trust, Series 2014-1A, 144A | 3.980% | 1/15/21 | A+ | 2,065,564 | |||||||||||||||
2,671 | DT Auto Owner Trust, Series 2015-3A, 144A | 2.460% | 11/15/19 | AA | 2,680,543 | |||||||||||||||
3,085 | Entergy Louisiana Investment Recovery Funding LLC, Series 2011-A | 2.040% | 9/01/23 | AAA | 3,054,567 | |||||||||||||||
33 | Fannie Mae Alternative Credit Enhanced Securities | 2.210% | 9/25/20 | Aaa | 32,624 | |||||||||||||||
1,275 | Fannie Mae Connecticut Avenue Securities , Series 2014-C02 | 1.534% | 5/28/24 | A+ | 1,277,415 | |||||||||||||||
951 | Fannie Mae Connecticut Avenue Securities , Series 2016-C03 | 2.792% | �� | 10/25/28 | BBB– | 960,602 | ||||||||||||||
391 | Fannie Mae Mortgage Interest StripsS 366 25 | 5.000% | 9/01/24 | Aaa | 20,661 | |||||||||||||||
926 | Fannie Mae Mortgage Pool AL2720 | 3.000% | 11/01/27 | Aaa | 952,094 | |||||||||||||||
15 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 1992-150 MA | 5.500% | 9/25/22 | Aaa | 16,143 | |||||||||||||||
262 | Fannie Mae Real Estate Mortgage Investment Conduit, Pass-Through Certificates 2004-90 GF | 1.056% | 11/25/34 | Aaa | 262,463 | |||||||||||||||
278 | Fannie Mae REMIC Pass-Through CertificatesR 2011-6 BA | 2.750% | 6/25/20 | Aaa | 280,735 | |||||||||||||||
1,674 | Fannie Mae, Connecticut Avenue Securities Series 2014-C01 | 2.356% | 1/25/24 | A1 | 1,682,608 | |||||||||||||||
1,434 | Fannie Mae, Connecticut Avenue Securities, Series 2014-C03 | 1.784% | 7/25/24 | BBB+ | 1,437,822 | |||||||||||||||
1,987 | Fannie Mae, Connecticut Avenue Securities, Series 2016-C07 | 2.056% | 5/25/29 | BBB– | 1,989,222 | |||||||||||||||
1,344 | FDIC Structures Sale Guaranteed Notes, Series 2010-S1, 144A | 3.250% | 4/25/38 | Aaa | 1,352,299 | |||||||||||||||
4 | Federal Home Loan Mortgage Corporation, REMIC | 6.000% | 12/15/20 | Aaa | 4,383 | |||||||||||||||
2,500 | Fifth Third Auto Trust, Series 2013 A B | 1.210% | 4/15/19 | AAA | 2,499,928 | |||||||||||||||
39 | Freddie Mac Mortgage Pool, Various M30035 | 4.500% | 4/01/22 | Aaa | 40,264 | |||||||||||||||
1,556 | Freddie Mac Mortgage Trust 2013-KF02, 144A | 3.534% | 12/25/45 | Baa3 | 1,560,660 | |||||||||||||||
1,000 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2012-K711, 144A | 3.562% | 8/25/45 | A | 1,017,626 | |||||||||||||||
2,000 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2013-K712, 144A | 3.365% | 5/25/45 | A | 2,000,443 |
96 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 2,740 | Freddie Mac Mortgage Trust, Structured Pass-Through Certificates, Series 2011-K702, 144A | 4.765% | 4/25/44 | A3 | $ | 2,820,672 | |||||||||||||
1,805 | Freddie Mac Mortgage Trust, Structured Pass-Through Certificates, Series 2011 K-10, 144A | 4.631% | 11/25/49 | A | 1,911,652 | |||||||||||||||
1,995 | Freddie Mac Mortgage Trust, Structured Pass-Through Certificates, Series 2012-K707, 144A | 3.883% | 1/25/47 | Aa3 | 2,049,459 | |||||||||||||||
386 | Freddie Mac Multi-Class CertificatesR 3780 FE | 1.104% | 12/15/20 | Aaa | 387,803 | |||||||||||||||
1,720 | Freddie Mac Multifamily Mortgage Trust, Series 2011-K704, 144A | 4.690% | 10/25/30 | A | 1,780,521 | |||||||||||||||
1,300 | Freddie Mac MultiFamily Mortgage Trust, Structured Pass-Through Certificates, Series 2012-K710, 144A | 3.821% | 6/25/47 | A– | 1,333,001 | |||||||||||||||
2,960 | Freddie Mac MultiFamily Mortgage Trust, Structured Pass-Through Certificates, Series 2013-K502, 144A | 3.077% | 3/25/45 | A | 2,964,259 | |||||||||||||||
3,468 | GAHR Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2015-NRF, 144A | 2.004% | 12/15/34 | AAA | 3,473,308 | |||||||||||||||
2,790 | General Electric Capital Credit Card Master Trust, Series 2012-6 | 1.360% | 8/15/20 | AAA | 2,791,478 | |||||||||||||||
988 | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2014-GSFL, 144A | 1.704% | 7/15/31 | AAA | 988,170 | |||||||||||||||
1,421 | Goldman Sachs Mortgage Securities Corporation II, Commercial Mortgage Pass-Through Certificates, Series 2010-C1, 144A | 3.679% | 8/12/43 | Aaa | 1,459,287 | |||||||||||||||
39 | Goldman Sachs Mortgage Securities Corporation, Commercial Mortgage Pass- Through Certificates, Series 2011-GC5 | 2.999% | 8/10/44 | Aaa | 38,685 | |||||||||||||||
89 | Government National Mortgage Association, Guaranteed REMIC Pass-Through Securities and MX Securities Trust | 4.500% | 5/16/38 | Aaa | 90,543 | |||||||||||||||
2,025 | GP Portfolio Trust 2014-GPP A, 144A | 3.454% | 2/16/27 | BBB– | 2,011,606 | |||||||||||||||
3,000 | Green Tree Agency Advance Funding Trust, Manufactured Housing Contract Pass-Through Certificates, Series 2015-T2, 144A | 3.687% | 10/15/48 | AA | 2,979,269 | |||||||||||||||
2,500 | Green Tree Agency Funding Trust, Manufactured Housing Contract Pass-Through Certificates, Series 2016-T1, 144A | 2.380% | 10/15/48 | AAA | 2,479,675 | |||||||||||||||
2,889 | Greenwich Capital Commercial Funding Corporation, Commercial Mortgage Pass-Through Certificates Series 2007-GG9 | 5.475% | 3/10/39 | A | 2,888,234 | |||||||||||||||
1,962 | Greenwich Capital Commercial Funding Corporation, Commercial Mortgage Pass-Through Certificates, Series 2007-GG11 | 5.736% | 12/10/49 | AAA | 1,990,133 | |||||||||||||||
1,550 | Honor Automobile Trust, Series 2016-1A, 144A | 2.940% | 11/15/19 | A | 1,550,042 | |||||||||||||||
3,100 | Huntington Auto Trust, Motor Vehicle Installment Payments, Series 2015-1 | 1.950% | 6/15/21 | AA+ | 3,099,728 | |||||||||||||||
2,500 | Hyatt Hotel Portfolio Trust, Mortgage Pass-Through Certificate, Series 2015-HYT, 144A | 2.436% | 11/15/29 | AA– | 2,504,209 | |||||||||||||||
588 | IMC Home Mortgage Company, Home Equity Loan Pass-Through Certificates, Series 1998-3 | 6.720% | 8/20/29 | AA | 597,769 | |||||||||||||||
149 | IndyMac INDX Mortgage Loan Trust, Pass-Through Certificates, Series 2005-AR1 | 2.978% | 3/25/35 | BBB+ | 148,220 | |||||||||||||||
1,930 | Invitation Homes Trust 2013-SFR1, 144A | 1.918% | 12/17/30 | Aa1 | 1,921,660 | |||||||||||||||
3,787 | Invitation Homes Trust 2014-SFR2, 144A | 2.336% | 9/18/31 | Aa2 | 3,786,996 | |||||||||||||||
1,949 | Invitation Homes Trust 2014-SFR2, 144A | 1.836% | 9/18/31 | Aaa | 1,946,646 | |||||||||||||||
1,367 | Invitation Homes Trust 2014-SFR3, 144A | 3.236% | 12/18/31 | A2 | 1,366,997 |
NUVEEN | 97 |
Nuveen Short Term Bond Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 1,354 | JP Morgan Madison Avenue Securities Trust, Mortgage Pass-Through Certificates, Series 2014-1, 144A | 2.834% | 11/25/24 | BBB | $ | 1,347,000 | |||||||||||||
2,648 | Lehman Brothers-UBS Commercial Mortgage Pass-Through Certificates, Series 2008-C1 | 6.113% | 4/15/41 | AAA | 2,745,340 | |||||||||||||||
1,519 | Master Resecuritization Trust 2009-1, 144A | 6.000% | 10/25/36 | A | 1,559,671 | |||||||||||||||
2,791 | Morgan Stanley Capital I Trust, Commercial Mortgage Pass-Through Certificates, Series 2007-IQ16 | 5.809% | 12/12/49 | AAA | 2,832,149 | |||||||||||||||
2,126 | Murray Hill Marketplace Trust, Series 2016-LC1, 144A | 4.190% | 11/25/22 | N/R | 2,136,229 | |||||||||||||||
664 | National Credit Union Administration, Guaranteed Notes Series 2011-R1 | 1.102% | 1/08/20 | Aaa | 665,327 | |||||||||||||||
2,000 | New Residential Advance Receivable Trust , Series 2016-T1, 144A | 4.377% | 6/15/49 | BBB | 1,999,998 | |||||||||||||||
2,564 | New Residential Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2014-2A, 144A | 3.750% | 5/25/54 | AAA | 2,628,004 | |||||||||||||||
2,426 | New Residential Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2015-A1, 144A | 3.750% | 5/28/52 | Aaa | 2,495,444 | |||||||||||||||
2,637 | New Residential Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2016-1A, 144A | 3.750% | 3/25/56 | AAA | 2,673,946 | |||||||||||||||
2,350 | OMART Receivables Trust, Series 2015-T3, 144A | 3.211% | 11/15/47 | AAA | 2,349,507 | |||||||||||||||
3,185 | OMART Receivables Trust, Series 2016-T2, 144A | 2.722% | 8/16/49 | AAA | 3,176,042 | |||||||||||||||
2,526 | OneMain Direct Auto Receivables Trust, Series 2016-1, 144A | 2.040% | 1/15/21 | A+ | 2,530,049 | |||||||||||||||
3,500 | Opteum Mortgage Acceptance Corporation, Asset-Backed Pass-Through Certificates, Series 2005-1 | 1.611% | 2/25/35 | AAA | 3,491,361 | |||||||||||||||
2,369 | OWS Structured Asset Trust, Series 2016-NPL1, 144A | 3.750% | 7/25/56 | N/R | 2,372,436 | |||||||||||||||
1,585 | PennyMac Loan Trust, Series 2015-NPL1, 144A | 4.000% | 3/25/55 | N/R | 1,593,796 | |||||||||||||||
2,685 | Pretium Mortgage Credit Partners I, Series 2016-NPL3, 144A | 4.375% | 5/29/31 | N/R | 2,709,717 | |||||||||||||||
338 | RBSSP Resecuritization Trust 2009-10, 144A | 0.684% | 3/26/37 | N/R | 152,928 | |||||||||||||||
1,078 | RBSSP Resecuritization Trust 2009-5, 144A | 1.084% | 8/26/37 | BBB | 1,026,669 | |||||||||||||||
158 | SMART Trust 2014-1US | 0.950% | 6/14/18 | Aaa | 158,289 | |||||||||||||||
2,998 | Social Professional Loan Program LLC, Series 2015-C, 144A | 2.510% | 8/25/33 | Aa2 | 2,993,122 | |||||||||||||||
95 | Structured Adjustable Rate Mortgage Loan Trust, Mortgage Pass-Through Certificates, Series 2004-11 | 3.122% | 8/25/34 | N/R | 94,479 | |||||||||||||||
676 | Structured Agency Credit Risk 2014-DN1 | 1.584% | 2/26/24 | Aa2 | 675,819 | |||||||||||||||
2,150 | TCF Auto Receivables Owner Trust, Series 2016-1A, 144A | 1.710% | 4/15/21 | AAA | 2,137,667 | |||||||||||||||
20 | U.S. Small Business Administration Guaranteed Participating Securities, Participation Certificates, Series 2007-10A | 5.459% | 2/10/17 | Aaa | 20,379 | |||||||||||||||
830 | Vericrest Opportunity Loan Transferee, Series 2014-NPL8, 144A | 3.375% | 10/26/54 | N/R | 832,866 | |||||||||||||||
945 | Vericrest Opportunity Loan Transferee, Series 2015-NP10, 144A | 3.625% | 7/25/45 | N/R | 946,364 | |||||||||||||||
1,084 | Vericrest Opportunity Loan Transferee, Series 2015-NPL5, 144A | 3.500% | 3/25/55 | N/R | 1,087,578 | |||||||||||||||
3,310 | Verizon Owner Trust, Series 2016-1A, 144A | 1.420% | 1/20/21 | AAA | 3,286,143 | |||||||||||||||
1,488 | Volkswagen Auto Loan Enhanced Trust, Series 2014-2 | 0.950% | 4/22/19 | AAA | 1,484,091 | |||||||||||||||
2,299 | Vornado DP LLC Commercial Mortgage Credit Tenant Lease Series 2010-VNO, 144A | 2.970% | 9/14/28 | AAA | 2,345,346 | |||||||||||||||
1,660 | Walter Investment Management Company Capital Trust, Series 2012-AA, 144A | 4.549% | 10/16/50 | A | 1,664,451 |
98 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (2) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 3,079 | Wells Fargo Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2015-LC22 | 1.639% | 9/17/58 | Aaa | $ | 3,069,784 | |||||||||||||
2,002 | Wells Fargo Home Equity Trust, Series 2005-2 | 1.296% | 4/25/35 | AA | 1,963,622 | |||||||||||||||
14 | Wells Fargo Mortgage-Backed Securities, 2005-AR16 Class 3A2 | 3.081% | 2/25/35 | A+ | 13,795 | |||||||||||||||
$ | 232,276 | Total Asset-Backed and Mortgage-Backed Securities (cost $232,521,505) | 232,284,120 | |||||||||||||||||
Total Long-Term Investments (cost $539,143,884) | 539,344,766 | |||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 1.3% |
| |||||||||||||||||||
Money Market Funds – 1.3% | ||||||||||||||||||||
7,223,475 | First American Government Obligations Fund, Class X, (6) | 0.467% (5) | $ | 7,223,475 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $7,223,475) |
| 7,223,475 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 2.2% | ||||||||||||||||||||
Money Market Funds – 2.2% | ||||||||||||||||||||
11,957,348 | First American Treasury Obligations Fund, Class Z | 0.389% (5) | $ | 11,957,348 | ||||||||||||||||
Total Short-Term Investments (cost $11,957,348) | 11,957,348 | |||||||||||||||||||
Total Investments (cost $558,324,707) – 101.2% | 558,525,589 | |||||||||||||||||||
Other Assets Less Liabilities – (1.2)% (7) | (6,615,220 | ) | ||||||||||||||||||
Net Assets – 100% | $ | 551,910,369 |
Investments in Derivatives as of December 31, 2016
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 5-Year Note | Short | (34 | ) | 3/17 | $ | (4,000,578 | ) | $ | (5,578 | ) | $ | 12,155 |
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) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(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 $7,016,681. |
(4) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. |
(5) | The rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
(6) | 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, Note 3 – Portfolio Securities and Investments in Derivatives, Securities Lending for more information. |
(7) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
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.
NUVEEN | 99 |
Nuveen Strategic Income Fund
Portfolio of Investments | December 31, 2016 (Unaudited) |
Shares | Description (1) | Value | ||||||||||||||||||
LONG-TERM INVESTMENTS – 98.4% | ||||||||||||||||||||
COMMON STOCKS – 0.0% | ||||||||||||||||||||
Building Products – 0.0% | ||||||||||||||||||||
49 | Dayton Superior Class A, (2), (3) | $ | 2,839 | |||||||||||||||||
55 | Dayton Superior, Class 1, (2), (3) | 3,154 | ||||||||||||||||||
Total Building Products | 5,993 | |||||||||||||||||||
Total Common Stocks (cost $20,078) | 5,993 | |||||||||||||||||||
Shares | Description (1) | Coupon | Ratings (4) | Value | ||||||||||||||||
CONVERTIBLE PREFERRED SECURITIES – 0.2% | ||||||||||||||||||||
Electric Utilities – 0.1% | ||||||||||||||||||||
15,000 | Exelon Corporation | 6.500% | BB+ | $ | 726,150 | |||||||||||||||
Independent Power & Renewable Electricity Producers – 0.0% | ||||||||||||||||||||
7,500 | Dynegy Inc. | 5.375% | N/R | 242,325 | ||||||||||||||||
Multi-Utilities – 0.1% | ||||||||||||||||||||
5,000 | Dominion Resources Inc. | 6.375% | Baa3 | 250,300 | ||||||||||||||||
Total Convertible Preferred Securities (cost $1,738,400) | 1,218,775 | |||||||||||||||||||
Principal Amount (000) | Description (1) | Coupon (7) | Maturity (6) | Ratings (4) | Value | |||||||||||||||
VARIABLE RATE SENIOR LOAN INTERESTS – 1.3% (7) |
| |||||||||||||||||||
Containers & Packaging – 0.3% | ||||||||||||||||||||
$ | 997 | Packaging Coordinators Inc, First Lien Term Loan | 5.000% | 6/29/23 | B1 | $ | 1,003,734 | |||||||||||||
1,000 | Packaging Coordinators Inc, Second Lien Term Loan | 9.750% | 6/30/24 | CCC+ | 985,000 | |||||||||||||||
1,997 | Total Containers & Packaging | 1,988,734 | ||||||||||||||||||
Diversified Financial Services – 0.1% | ||||||||||||||||||||
989 | Jill Acquisition LLC, First Lien Term Loan B | 6.000% | 5/08/22 | B | 988,739 | |||||||||||||||
Hotels, Restaurants & Leisure – 0.4% | ||||||||||||||||||||
1,960 | Amaya BV, First Lien Term Loan | 5.000% | 7/29/21 | BB– | 1,971,213 | |||||||||||||||
1,481 | Life Time Fitness, First Lien Term Loan B | 4.250% | 6/03/22 | BB– | 1,489,994 | |||||||||||||||
3,441 | Total Hotels, Restaurants & Leisure | 3,461,207 | ||||||||||||||||||
Independent Power & Renewable Electricity Producers – 0.1% | ||||||||||||||||||||
65 | Empire Generating Company LLC, Term Loan C | 5.250% | 3/13/21 | B | 64,321 | |||||||||||||||
820 | Empire Generating Company LLC | 5.250% | 3/13/21 | B | 808,565 | |||||||||||||||
885 | Total Independent Power & Renewable Electricity Producers | 872,886 | ||||||||||||||||||
Oil, Gas & Consumable Fuels – 0.1% | ||||||||||||||||||||
— | (8) | Arch Coal, Inc., First Lien Term Loan | 10.000% | 10/05/21 | N/R | 19 | ||||||||||||||
168 | Arch Coal, Inc., First Lien Term Loan PIK | 10.000% | 10/05/21 | N/R | 171,842 |
100 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon (7) | Maturity (6) | Ratings (4) | Value | |||||||||||||||
Oil, Gas & Consumable Fuels (continued) | ||||||||||||||||||||
$ | 2,000 | Samson Investment Company Second Lien Term Loan, (9) | 5.000% | 9/25/18 | N/R | $ | 490,000 | |||||||||||||
2,168 | Total Oil, Gas & Consumable Fuels | 661,861 | ||||||||||||||||||
Professional Services – 0.3% | ||||||||||||||||||||
1,000 | Sedgwick Claims Management Service Inc., Second Lien Term Loan | 6.750% | 2/28/22 | CCC+ | 1,000,625 | |||||||||||||||
1,000 | Sedgwick Claims Management Service Inc., Second Lien Term Loan | 6.750% | 2/28/22 | CCC+ | 1,001,250 | |||||||||||||||
2,000 | Total Professional Services | 2,001,875 | ||||||||||||||||||
$ | 11,480 | Total Variable Rate Senior Loan Interests (cost $11,386,859) | 9,975,302 | |||||||||||||||||
Shares | Description (1) | Coupon | Ratings (4) | Value | ||||||||||||||||
$25 PAR (OR SIMILAR) RETAIL PREFERRED – 0.3% |
| |||||||||||||||||||
Banks – 0.3% | ||||||||||||||||||||
20,600 | AgriBank FCB | 6.875% | BBB+ | $ | 2,190,038 | |||||||||||||||
Total $25 Par (or similar) Retail Preferred (cost $2,060,000) | 2,190,038 | |||||||||||||||||||
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
CORPORATE BONDS – 70.0% | ||||||||||||||||||||
Aerospace & Defense – 0.9% | ||||||||||||||||||||
$ | 2,785 | BAE Systems Holdings, 144A | 3.850% | 12/15/25 | BBB | $ | 2,836,545 | |||||||||||||
1,200 | Bombardier Inc., 144A | 8.750% | 12/01/21 | B | 1,273,500 | |||||||||||||||
3,000 | Martin Marietta Materials | 4.250% | 7/02/24 | BBB+ | 3,044,586 | |||||||||||||||
Total Aerospace & Defense | 7,154,631 | |||||||||||||||||||
Airlines – 1.0% | ||||||||||||||||||||
2,000 | American Airlines Group Inc., 144A, (5) | 4.625% | 3/01/20 | BB– | 2,025,000 | |||||||||||||||
1,549 | American Airlines Inc., Pass-Through Trust 2013-2B, 144A | 5.600% | 7/15/20 | BBB– | 1,607,684 | |||||||||||||||
2,681 | Northwest Airlines Trust Pass-Through Certificates 2007-1 | 7.027% | 11/01/19 | A | 2,991,994 | |||||||||||||||
1,500 | VistaJet Malta Finance PLC, 144A | 7.750% | 6/01/20 | B– | 1,035,000 | |||||||||||||||
Total Airlines | 7,659,678 | |||||||||||||||||||
Auto Components – 0.5% | ||||||||||||||||||||
1,180 | American & Axle Manufacturing Inc., (5) | 6.625% | 10/15/22 | BB | 1,216,816 | |||||||||||||||
1,580 | Tenneco Inc. | 5.375% | 12/15/24 | BB+ | 1,631,824 | |||||||||||||||
1,000 | Tupy S/A, 144A | 6.625% | 7/17/24 | BB | 960,000 | |||||||||||||||
Total Auto Components | 3,808,640 | |||||||||||||||||||
Automobiles – 0.8% | ||||||||||||||||||||
3,000 | General Motors Corporation | 4.000% | 4/01/25 | BBB– | 2,935,896 | |||||||||||||||
3,240 | General Motors Financial Company Inc. | 4.250% | 5/15/23 | BBB– | 3,275,608 | |||||||||||||||
Total Automobiles | 6,211,504 | |||||||||||||||||||
Banks – 9.6% | ||||||||||||||||||||
6,520 | Bank of America Corporation | 4.000% | 4/01/24 | A | 6,716,637 |
NUVEEN | 101 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Banks (continued) | ||||||||||||||||||||
$ | 4,210 | Bank of America Corporation | 4.200% | 8/26/24 | A– | $ | 4,283,658 | |||||||||||||
8,115 | Bank of America Corporation | 3.248% | 10/21/27 | A | 7,734,699 | |||||||||||||||
2,700 | Barclays Bank PLC | 3.650% | 3/16/25 | A | 2,610,419 | |||||||||||||||
1,250 | CIT Group Inc. | 5.000% | 8/01/23 | BB+ | 1,290,625 | |||||||||||||||
5,710 | Citigroup Inc. | 3.750% | 6/16/24 | A | 5,808,537 | |||||||||||||||
1,610 | Citigroup Inc. | 3.300% | 4/27/25 | A | 1,575,282 | |||||||||||||||
3,300 | Citigroup Inc. | 3.200% | 10/21/26 | A | 3,150,757 | |||||||||||||||
6,000 | Citigroup Inc. | 4.300% | 11/20/26 | A– | 6,047,280 | |||||||||||||||
3,465 | GE Capital International Funding CO | 4.418% | 11/15/35 | AA– | 3,625,194 | |||||||||||||||
2,360 | HSBC Holdings PLC | 6.800% | 6/01/38 | A+ | 2,984,045 | |||||||||||||||
7,500 | JP Morgan Chase & Company | 3.200% | 1/25/23 | A+ | 7,575,893 | |||||||||||||||
3,000 | JP Morgan Chase & Company | 3.875% | 9/10/24 | A | 3,031,854 | |||||||||||||||
4,050 | JP Morgan Chase & Company | 2.950% | 10/01/26 | A+ | 3,859,780 | |||||||||||||||
2,280 | JP Morgan Chase & Company | 6.400% | 5/15/38 | A+ | 2,949,688 | |||||||||||||||
750 | Popular Inc. | 7.000% | 7/01/19 | BB– | 773,437 | |||||||||||||||
1,220 | Royal Bank of Scotland Group PLC | 6.100% | 6/10/23 | BBB | 1,275,750 | |||||||||||||||
3,335 | Santander UK PLC, 144A | 5.000% | 11/07/23 | A– | 3,392,776 | |||||||||||||||
2,485 | Societe Generale, 144A | 5.000% | 1/17/24 | A– | 2,520,670 | |||||||||||||||
1,960 | Standard Chartered PLC, 144A | 5.700% | 3/26/44 | A3 | 1,954,200 | |||||||||||||||
Total Banks | 73,161,181 | |||||||||||||||||||
Beverages – 0.6% | ||||||||||||||||||||
1,250 | Andalou Efes Biracilik ve Malt Sanayii AS, 144A | 3.375% | 11/01/22 | BBB– | 1,108,662 | |||||||||||||||
1,350 | Constellation Brands Inc. | 4.250% | 5/01/23 | BBB– | 1,399,802 | |||||||||||||||
2,000 | DS Services of America, Inc., 144A | 10.000% | 9/01/21 | Ba2 | 2,192,500 | |||||||||||||||
Total Beverages | 4,700,964 | |||||||||||||||||||
Building Products – 0.6% | ||||||||||||||||||||
1,250 | Builders FirstSource, Inc., 144A | 5.625% | 9/01/24 | B+ | 1,256,250 | |||||||||||||||
750 | Hardwoods Acquisition Inc., 144A | 7.500% | 8/01/21 | B | 633,750 | |||||||||||||||
2,740 | Owens Corning Incorporated | 4.200% | 12/15/22 | BBB | 2,842,512 | |||||||||||||||
Total Building Products | 4,732,512 | |||||||||||||||||||
Capital Markets – 5.6% | ||||||||||||||||||||
900 | Goldman Sachs Group, Inc. | 5.750% | 1/24/22 | A | 1,010,835 | |||||||||||||||
14,800 | Goldman Sachs Group, Inc. | 4.000% | 3/03/24 | A | 15,336,399 | |||||||||||||||
1,920 | Goldman Sachs Group, Inc. | 4.250% | 10/21/25 | A– | 1,947,817 | |||||||||||||||
4,915 | Lazard Group LLC | 3.625% | 3/01/27 | A– | 4,662,959 | |||||||||||||||
9,295 | Morgan Stanley | 4.000% | 7/23/25 | A | 9,514,985 | |||||||||||||||
10,500 | Morgan Stanley | 3.950% | 4/23/27 | A– | 10,378,148 | |||||||||||||||
Total Capital Markets | 42,851,143 |
102 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Chemicals – 2.2% | ||||||||||||||||||||
$ | 3,000 | Agrium Inc. | 3.375% | 3/15/25 | BBB | $ | 2,902,182 | |||||||||||||
2,125 | Braskem Finance Limited, 144A | 5.750% | 4/15/21 | BBB– | 2,236,563 | |||||||||||||||
1,000 | CVR Partners LP / CVR Nitrogen Finance Corp., 144A, (5) | 9.250% | 6/15/23 | B+ | 1,030,000 | |||||||||||||||
1,450 | Hexion Inc. | 6.625% | 4/15/20 | B3 | 1,283,250 | |||||||||||||||
500 | Huntsman International LLC | 4.875% | 11/15/20 | B1 | 518,125 | |||||||||||||||
2,000 | Momentive Performance Materials Inc., (3), (9) | 8.875% | 10/15/20 | N/R | — | |||||||||||||||
1,500 | Momentive Performance Materials Inc. | 3.880% | 10/24/21 | B | 1,410,000 | |||||||||||||||
1,500 | NOVA Chemicals Corporation, 144A | 5.250% | 8/01/23 | BBB– | 1,515,000 | |||||||||||||||
1,350 | NOVA Chemicals Corporation, 144A | 5.000% | 5/01/25 | BBB– | 1,322,581 | |||||||||||||||
1,000 | Office Cherifien Des Phosphates SA, 144A | 5.625% | 4/25/24 | BBB– | 1,033,994 | |||||||||||||||
1,315 | Platform Specialty Products Corporation, 144A | 6.500% | 2/01/22 | B+ | 1,324,862 | |||||||||||||||
1,605 | PolyOne Corporation | 5.250% | 3/15/23 | BB– | 1,629,075 | |||||||||||||||
715 | Rayonier AM Products Inc., 144A | 5.500% | 6/01/24 | BB– | 668,525 | |||||||||||||||
Total Chemicals | 16,874,157 | |||||||||||||||||||
Commercial Services & Supplies – 0.5% | ||||||||||||||||||||
1,040 | APX Group, Inc. | 7.875% | 12/01/22 | B1 | 1,125,800 | |||||||||||||||
1,220 | Covanta Energy Corporation, Synthetic Letter of Credit | 6.375% | 10/01/22 | Ba3 | 1,237,922 | |||||||||||||||
1,250 | NES Rental Holdings Inc., 144A | 7.875% | 5/01/18 | B– | 1,243,750 | |||||||||||||||
Total Commercial Services & Supplies | 3,607,472 | |||||||||||||||||||
Construction & Engineering – 0.2% | ||||||||||||||||||||
1,450 | AECOM Technology Corporation | 5.750% | 10/15/22 | BB | 1,532,650 | |||||||||||||||
500 | Boart Longyear Management Pty Ltd, 144A | 7.000% | 4/01/21 | CCC | 30,000 | |||||||||||||||
Total Construction & Engineering | 1,562,650 | |||||||||||||||||||
Construction Materials – 0.5% | ||||||||||||||||||||
1,500 | Cemex SAB de CV, 144A, (5) | 5.700% | 1/11/25 | BB– | 1,511,250 | |||||||||||||||
2,000 | Reliance Intermediate Holdings LP, 144A | 6.500% | 4/01/23 | BB– | 2,105,000 | |||||||||||||||
Total Construction Materials | 3,616,250 | |||||||||||||||||||
Consumer Finance – 2.1% | ||||||||||||||||||||
2,495 | Ally Financial Inc. | 5.750% | 11/20/25 | BB | 2,488,763 | |||||||||||||||
3,938 | Capital One Bank | 3.375% | 2/15/23 | Baa1 | 3,897,131 | |||||||||||||||
750 | Credit Acceptance Corporation | 7.375% | 3/15/23 | BB | 770,625 | |||||||||||||||
3,500 | Discover Bank | 4.250% | 3/13/26 | BBB+ | 3,560,609 | |||||||||||||||
3,215 | Discover Financial Services | 5.200% | 4/27/22 | BBB+ | 3,460,234 | |||||||||||||||
1,500 | First Data Corporation, 144A | 7.000% | 12/01/23 | B | 1,597,500 | |||||||||||||||
Total Consumer Finance | 15,774,862 | |||||||||||||||||||
Containers & Packaging – 1.2% | ||||||||||||||||||||
1,600 | CAD | Cascades Inc., 144A | 5.500% | 7/15/21 | BB– | 1,221,680 | ||||||||||||||
2,385 | Packaging Corporation of America | 3.650% | 9/15/24 | BBB | 2,391,959 |
NUVEEN | 103 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Containers & Packaging (continued) | ||||||||||||||||||||
$ | 1,250 | PaperWorks Industries Inc., 144A | 9.500% | 8/15/19 | B– | $ | 1,081,250 | |||||||||||||
1,350 | Reynolds Group, 144A | 5.125% | 7/15/23 | B+ | 1,371,937 | |||||||||||||||
2,640 | Rock-Tenn Company | 4.900% | 3/01/22 | BBB | 2,863,017 | |||||||||||||||
Total Containers & Packaging | 8,929,843 | |||||||||||||||||||
Diversified Consumer Services – 0.1% | ||||||||||||||||||||
500 | Prime Security Services Borrower LLC / Prime Finance, Inc., 144A | 9.250% | 5/15/23 | B– | 544,375 | |||||||||||||||
Diversified Financial Services – 1.6% | ||||||||||||||||||||
3,510 | BNP Paribas, 144A | 4.375% | 5/12/26 | A | 3,459,456 | |||||||||||||||
750 | CNG Holdings Inc., 144A | 9.375% | 5/15/20 | Caa3 | 650,625 | |||||||||||||||
1,750 | James Hardie International Finance Limited, 144A | 5.875% | 2/15/23 | BBB– | 1,811,250 | |||||||||||||||
1,745 | Nationstar Mortgage LLC Capital Corporation | 7.875% | 10/01/20 | B+ | 1,806,075 | |||||||||||||||
1,000 | NewStar Financial, Inc. | 7.250% | 5/01/20 | BB– | 995,000 | |||||||||||||||
3,705 | Synchrony Financial | 4.250% | 8/15/24 | BBB– | 3,767,174 | |||||||||||||||
Total Diversified Financial Services | 12,489,580 | |||||||||||||||||||
Diversified Telecommunication Services – 3.1% | ||||||||||||||||||||
2,335 | AT&T, Inc. | 3.800% | 3/15/22 | A– | 2,391,297 | |||||||||||||||
1,250 | AT&T, Inc. | 5.550% | 8/15/41 | A– | 1,299,244 | |||||||||||||||
1,000 | CenturyLink Inc. | 6.750% | 12/01/23 | BB+ | 1,022,500 | |||||||||||||||
2,240 | Frontier Communications Corporation | 8.500% | 4/15/20 | BB | 2,352,000 | |||||||||||||||
2,500 | Frontier Communications Corporation | 11.000% | 9/15/25 | BB | 2,581,250 | |||||||||||||||
2,750 | GCI Inc., (5) | 6.875% | 4/15/25 | BB– | 2,791,250 | |||||||||||||||
900 | IntelSat Jackson Holdings | 7.500% | 4/01/21 | CCC | 686,250 | |||||||||||||||
2,500 | Neptune Finco Corporation, 144A | 10.125% | 1/15/23 | B+ | 2,887,500 | |||||||||||||||
2,360 | Qwest Corporation | 6.750% | 12/01/21 | BBB– | 2,560,600 | |||||||||||||||
1,165 | Verizon Communications | 3.500% | 11/01/24 | A– | 1,159,824 | |||||||||||||||
3,200 | Verizon Communications | 4.125% | 8/15/46 | A– | 2,890,214 | |||||||||||||||
675 | Verizon Communications | 4.862% | 8/21/46 | A– | 682,642 | |||||||||||||||
Total Diversified Telecommunication Services | 23,304,571 | |||||||||||||||||||
Electric Utilities – 0.9% | ||||||||||||||||||||
2,600 | Eskom Holdings Limited, 144A | 7.125% | 2/11/25 | Ba1 | 2,619,500 | |||||||||||||||
1,115 | FirstEnergy Transmission LLC, 144A | 4.350% | 1/15/25 | Baa3 | 1,152,260 | |||||||||||||||
680 | Intergen NV, 144A | 7.000% | 6/30/23 | B1 | 605,200 | |||||||||||||||
1,500 | RJS Power Holdings LLC, 144A | 4.625% | 7/15/19 | B+ | 1,421,250 | |||||||||||||||
1,000 | Talen Energy Supply LLC, (5) | 6.500% | 6/01/25 | BB– | 772,500 | |||||||||||||||
Total Electric Utilities | 6,570,710 | |||||||||||||||||||
Electronic Equipment, Instruments & Components – 0.2% | ||||||||||||||||||||
1,165 | Anixter Inc. | 5.125% | 10/01/21 | BB+ | 1,211,600 | |||||||||||||||
500 | Ingram Micro Inc. | 5.450% | 12/15/24 | BBB– | 469,947 | |||||||||||||||
Total Electronic Equipment, Instruments & Components | 1,681,547 |
104 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Energy Equipment & Services – 1.5% | ||||||||||||||||||||
$ | 1,500 | Ensco PLC, (5) | 5.200% | 3/15/25 | BB | $ | 1,295,505 | |||||||||||||
1,750 | Murray Energy Corporation, 144A | 11.250% | 4/15/21 | CCC | 1,351,875 | |||||||||||||||
2,430 | Noble Holding International Limited, (5) | 5.950% | 4/01/25 | BB– | 2,278,125 | |||||||||||||||
2,000 | Origin Energy Finance Limited, 144A | 3.500% | 10/09/18 | BBB– | 2,023,160 | |||||||||||||||
750 | Pacific Drilling V Limited, 144A | 7.250% | 12/01/17 | CCC | 352,500 | |||||||||||||||
500 | Precision Drilling Corporation, 144A | 7.750% | 12/15/23 | BB | 527,500 | |||||||||||||||
2,750 | Regency Energy Partners Finance | 5.000% | 10/01/22 | BBB– | 2,911,183 | |||||||||||||||
1,000 | SESI, LLC | 6.375% | 5/01/19 | BB– | 1,000,000 | |||||||||||||||
Total Energy Equipment & Services | 11,739,848 | |||||||||||||||||||
Equity Real Estate Investment Trusts – 1.4% | ||||||||||||||||||||
3,070 | American Tower Company | 5.000% | 2/15/24 | BBB | 3,301,736 | |||||||||||||||
850 | Geo Group Inc. | 6.000% | 4/15/26 | BB– | 835,125 | |||||||||||||||
2,060 | Omega Healthcare Investors Inc. | 4.950% | 4/01/24 | BBB– | 2,085,122 | |||||||||||||||
2,080 | Piedmont Operating Partnership LP | 4.450% | 3/15/24 | BBB | 2,069,496 | |||||||||||||||
1,420 | Plum Creek Timberlands LP | 4.700% | 3/15/21 | Baa2 | 1,505,714 | |||||||||||||||
1,225 | Realogy Group LLC / Realogy Co-Issuer Corporation, 144A | 5.250% | 12/01/21 | B+ | 1,255,625 | |||||||||||||||
Total Equity Real Estate Investment Trusts | 11,052,818 | |||||||||||||||||||
Food & Staples Retailing – 0.9% | ||||||||||||||||||||
1,675 | Pomegranate Merger Sub, Inc., 144A | 9.750% | 5/01/23 | B | 1,432,125 | |||||||||||||||
1,475 | Sysco Corporation | 3.300% | 7/15/26 | A3 | 1,445,324 | |||||||||||||||
2,000 | Tops Holding LLC / Tops Markets II Corporation, 144A | 8.000% | 6/15/22 | B– | 1,720,000 | |||||||||||||||
2,000 | Walgreens Boots Alliance, Inc. | 3.800% | 11/18/24 | BBB | 2,033,104 | |||||||||||||||
Total Food & Staples Retailing | 6,630,553 | |||||||||||||||||||
Food Products – 1.3% | ||||||||||||||||||||
1,500 | BRF Brasil Foods SA, 144A | 4.750% | 5/22/24 | BBB | 1,457,250 | |||||||||||||||
2,460 | Bunge Limited Finance Company | 3.250% | 8/15/26 | BBB | 2,358,764 | |||||||||||||||
1,000 | ESAL GmbH, 144A | 6.250% | 2/05/23 | BB+ | 1,003,000 | |||||||||||||||
2,000 | Grupo Bimbo SAB de CV, 144A | 3.875% | 6/27/24 | BBB | 1,987,378 | |||||||||||||||
2,235 | Kraft Heinz Foods Company | 4.375% | 6/01/46 | BBB– | 2,098,906 | |||||||||||||||
1,295 | Pilgrim’s Pride Corporation, 144A | 5.750% | 3/15/25 | BB | 1,295,000 | |||||||||||||||
Total Food Products | 10,200,298 | |||||||||||||||||||
Gas Utilities – 0.2% | ||||||||||||||||||||
1,250 | Suburban Propane Partners LP | 5.500% | 6/01/24 | BB– | 1,265,625 | |||||||||||||||
Health Care Equipment & Supplies – 0.3% | ||||||||||||||||||||
400 | EUR | Ephios Bondco PLC, 144A | 6.250% | 7/01/22 | B+ | 458,957 | ||||||||||||||
1,275 | GreatBatch Limited, 144A | 9.125% | 11/01/23 | CCC+ | 1,271,812 | |||||||||||||||
340 | Tenet Healthcare Corporation | 4.375% | 10/01/21 | BB– | 334,900 |
NUVEEN | 105 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Health Care Equipment & Supplies (continued) | ||||||||||||||||||||
$ | 535 | Tenet Healthcare Corporation, 144A | 7.500% | 1/01/22 | Ba3 | $ | 557,737 | |||||||||||||
Total Health Care Equipment & Supplies | 2,623,406 | |||||||||||||||||||
Health Care Providers & Services – 0.7% | ||||||||||||||||||||
1,000 | Community Health Systems, Inc. | 6.875% | 2/01/22 | B | 695,000 | |||||||||||||||
1,350 | HCA Inc. | 5.375% | 2/01/25 | BB | 1,353,375 | |||||||||||||||
1,500 | Kindred Healthcare Inc. | 6.375% | 4/15/22 | B– | 1,338,750 | |||||||||||||||
1,000 | Mednax Inc., 144A | 5.250% | 12/01/23 | BBB– | 1,030,000 | |||||||||||||||
650 | Select Medical Corporation | 6.375% | 6/01/21 | B– | 650,000 | |||||||||||||||
Total Health Care Providers & Services | 5,067,125 | |||||||||||||||||||
Hotels, Restaurants & Leisure – 0.8% | ||||||||||||||||||||
1,500 | 1011778 BC ULC/New Red Finance Inc., 144A | 6.000% | 4/01/22 | B– | 1,567,500 | |||||||||||||||
1,550 | Caesars Entertainment Resort Properties LLC | 8.000% | 10/01/20 | B+ | 1,623,625 | |||||||||||||||
1,350 | Grupo Posadas SAB de CV, 144A, (5) | 7.875% | 6/30/22 | B+ | 1,336,500 | |||||||||||||||
1,450 | Wynn Macau Limited, 144A, (5) | 5.250% | 10/15/21 | Ba3 | 1,460,875 | |||||||||||||||
Total Hotels, Restaurants & Leisure | 5,988,500 | |||||||||||||||||||
Household Durables – 1.8% | ||||||||||||||||||||
750 | Beazer Homes USA, Inc., 144A | 8.750% | 3/15/22 | B– | 810,000 | |||||||||||||||
1,095 | Brookfield Residential Properties Inc., 144A | 6.500% | 12/15/20 | B+ | 1,119,637 | |||||||||||||||
2,940 | Harman International Industries, Inc. | 4.150% | 5/15/25 | BBB– | 3,031,540 | |||||||||||||||
1,750 | KB Home | 7.000% | 12/15/21 | B+ | 1,846,250 | |||||||||||||||
1,000 | KB Home | 7.625% | 5/15/23 | B+ | 1,047,500 | |||||||||||||||
2,505 | Newell Brands Inc. | 4.200% | 4/01/26 | BBB– | 2,611,099 | |||||||||||||||
1,350 | RSI Home Products Incorporated, 144A | 6.500% | 3/15/23 | B+ | 1,410,750 | |||||||||||||||
1,740 | William Lyon Homes Incorporated | 8.500% | 11/15/20 | B– | 1,818,300 | |||||||||||||||
Total Household Durables | 13,695,076 | |||||||||||||||||||
Household Products – 0.2% | ||||||||||||||||||||
1,300 | Kimberly-Clark de Mexico, S.A.B. de C.V, 144A | 3.250% | 3/12/25 | A | 1,230,572 | |||||||||||||||
Independent Power & Renewable Electricity Producers – 1.1% | ||||||||||||||||||||
1,010 | AES Corporation | 7.375% | 7/01/21 | BB | 1,125,039 | |||||||||||||||
1,000 | Columbia Pipeline Group, Inc. | 4.500% | 6/01/25 | A– | 1,049,261 | |||||||||||||||
2,000 | Dynegy Inc., (5) | 7.625% | 11/01/24 | B+ | 1,845,000 | |||||||||||||||
1,040 | Dynegy Inc., 144A | 8.000% | 1/15/25 | B+ | 969,800 | |||||||||||||||
895 | GenOn Energy Inc. | 9.500% | 10/15/18 | CCC+ | 632,653 | |||||||||||||||
1,300 | GenOn Energy Inc., (5) | 9.875% | 10/15/20 | CCC+ | 887,250 | |||||||||||||||
1,500 | NRG Energy Inc. | 6.625% | 3/15/23 | BB– | 1,503,750 | |||||||||||||||
Total Independent Power & Renewable Electricity Producers | 8,012,753 | |||||||||||||||||||
Industrial Conglomerates – 0.2% | ||||||||||||||||||||
1,000 | Alfa SAB de CV, 144A | 5.250% | 3/25/24 | BBB– | 1,022,500 |
106 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Industrial Conglomerates (continued) | ||||||||||||||||||||
$ | 1,000 | Stena International SA, 144A | 5.750% | 3/01/24 | BB | $ | 865,000 | |||||||||||||
Total Industrial Conglomerates | 1,887,500 | |||||||||||||||||||
Insurance – 2.6% | ||||||||||||||||||||
646 | AFLAC Insurance | 6.450% | 8/15/40 | A– | 844,596 | |||||||||||||||
3,000 | Fairfax US Inc., 144A | 4.875% | 8/13/24 | BBB– | 2,930,928 | |||||||||||||||
3,370 | Liberty Mutual Group Inc., 144A | 4.950% | 5/01/22 | BBB | 3,673,357 | |||||||||||||||
2,535 | Lincoln National Corporation | 4.000% | 9/01/23 | A– | 2,639,853 | |||||||||||||||
3,015 | Symetra Financial Corporation | 4.250% | 7/15/24 | Baa1 | 2,975,739 | |||||||||||||||
2,075 | Unum Group | 4.000% | 3/15/24 | BBB | 2,081,080 | |||||||||||||||
4,790 | XLIT Limited | 4.450% | 3/31/25 | BBB | 4,743,700 | |||||||||||||||
Total Insurance | 19,889,253 | |||||||||||||||||||
Internet Software & Services – 0.6% | ||||||||||||||||||||
1,750 | Donnelley Financial Solutions, Inc., 144A | 8.250% | 10/15/24 | B | 1,780,625 | |||||||||||||||
2,865 | eBay Inc. | 3.800% | 3/09/22 | BBB+ | 2,956,995 | |||||||||||||||
Total Internet Software & Services | 4,737,620 | |||||||||||||||||||
IT Services – 0.2% | ||||||||||||||||||||
1,730 | Zayo Group LLC / Zayo Capital Inc. | 6.000% | 4/01/23 | B– | 1,799,200 | |||||||||||||||
Machinery – 0.7% | ||||||||||||||||||||
1,000 | BlueLine Rental Finance Corporation, 144A | 7.000% | 2/01/19 | B+ | 975,000 | |||||||||||||||
3,280 | Pentair Finance SA | 4.650% | 9/15/25 | BBB– | 3,360,045 | |||||||||||||||
1,079 | Terex Corporation | 6.000% | 5/15/21 | BB | 1,103,277 | |||||||||||||||
Total Machinery | 5,438,322 | |||||||||||||||||||
Marine – 0.4% | ||||||||||||||||||||
1,700 | Eletson Holdings Inc., 144A, (5) | 9.625% | 1/15/22 | B+ | 1,241,000 | |||||||||||||||
1,340 | Navios Maritime Acquisition Corporation, 144A | 8.125% | 11/15/21 | B+ | 1,139,000 | |||||||||||||||
725 | Navios South American Logistics Inc., Finance US Inc., 144A | 7.250% | 5/01/22 | B– | 685,125 | |||||||||||||||
Total Marine | 3,065,125 | |||||||||||||||||||
Media – 4.3% | ||||||||||||||||||||
2,750 | 21st Century Fox America Inc. | 6.650% | 11/15/37 | BBB+ | 3,378,903 | |||||||||||||||
1,500 | Altice S.A, 144A | 7.750% | 5/15/22 | B | 1,601,250 | |||||||||||||||
2,260 | CBS Corporation | 4.000% | 1/15/26 | BBB | 2,295,430 | |||||||||||||||
1,175 | Cequel Communication Holdings I, 144A | 5.125% | 12/15/21 | B– | 1,195,562 | |||||||||||||||
2,560 | Charter Communications Operating Capital Corporation | 4.908% | 7/23/25 | BBB– | 2,694,705 | |||||||||||||||
1,000 | Clear Channel Communications, Inc. | 11.250% | 3/01/21 | Caa1 | 762,500 | |||||||||||||||
1,790 | Comcast Corporation | 6.400% | 5/15/38 | A– | 2,288,463 | |||||||||||||||
840 | Cox Communications Inc., 144A | 3.850% | 2/01/25 | BBB+ | 822,798 | |||||||||||||||
2,000 | Cox Communications Inc., 144A | 3.350% | 9/15/26 | BBB+ | 1,907,032 | |||||||||||||||
1,590 | Dish DBS Corporation | 5.875% | 11/15/24 | Ba3 | 1,636,110 |
NUVEEN | 107 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Media (continued) | ||||||||||||||||||||
$ | 1,000 | Lamar Media Corporation | 5.750% | 2/01/26 | Ba1 | $ | 1,052,500 | |||||||||||||
1,500 | Lee Enterprises Inc., 144A | 9.500% | 3/15/22 | B2 | 1,590,000 | |||||||||||||||
750 | McClatchy Company, (5) | 9.000% | 12/15/22 | B1 | 798,750 | |||||||||||||||
831 | Numericable Group SA, 144A | 6.000% | 5/15/22 | B+ | 852,814 | |||||||||||||||
1,500 | Radio One Inc., 144A | 7.375% | 4/15/22 | B | 1,485,000 | |||||||||||||||
1,000 | Sirius XM Radio Inc., 144A | 5.750% | 8/01/21 | BB | 1,041,250 | |||||||||||||||
1,805 | Time Warner Inc. | 3.875% | 1/15/26 | BBB+ | 1,804,451 | |||||||||||||||
1,750 | Tribune Media Company | 5.875% | 7/15/22 | BB– | 1,774,062 | |||||||||||||||
750 | Unitymedia KabelBW GmbH, 144A | 6.125% | 1/15/25 | B | 770,625 | |||||||||||||||
1,750 | CAD | Videotron Limited, 144A | 5.625% | 6/15/25 | BB | 1,347,382 | ||||||||||||||
2,000 | VTR Finance BV, 144A | 6.875% | 1/15/24 | BB– | 2,065,000 | |||||||||||||||
Total Media | 33,164,587 | |||||||||||||||||||
Metals & Mining – 2.2% | ||||||||||||||||||||
1,000 | AK Steel Corporation, (5) | 7.625% | 10/01/21 | B– | 1,076,250 | |||||||||||||||
1,400 | Alcoa Inc. | 5.400% | 4/15/21 | BBB– | 1,484,000 | |||||||||||||||
1,100 | Alcoa Nederland Holding BV, 144A | 6.750% | 9/30/24 | BB– | 1,193,500 | |||||||||||||||
1,500 | Aleris International Inc., 144A | 9.500% | 4/01/21 | B | 1,608,750 | |||||||||||||||
1,220 | Allegheny Technologies Inc. | 7.875% | 8/15/23 | B | 1,195,600 | |||||||||||||||
1,780 | Anglogold Holdings PLC | 6.500% | 4/15/40 | Baa3 | 1,602,000 | |||||||||||||||
1,500 | ArcelorMittal, (5) | 6.125% | 6/01/25 | BB+ | 1,642,500 | |||||||||||||||
1,434 | Constellium N.V, 144A | 8.000% | 1/15/23 | CCC+ | 1,491,360 | |||||||||||||||
1,450 | Eldorado Gold Corporation, 144A | 6.125% | 12/15/20 | BB– | 1,471,750 | |||||||||||||||
1,005 | First Quantum Minerals Limited, 144A | 6.750% | 2/15/20 | B | 1,002,488 | |||||||||||||||
1,520 | Hudbay Minerals, Inc., 144A | 7.250% | 1/15/23 | B | 1,573,200 | |||||||||||||||
1,125 | Xstrata Finance Canada Limited, 144A | 6.900% | 11/15/37 | BBB– | 1,234,528 | |||||||||||||||
Total Metals & Mining | 16,575,926 | |||||||||||||||||||
Multiline Retail – 0.1% | ||||||||||||||||||||
1,000 | J.C. Penney Company Inc. | 8.125% | 10/01/19 | B+ | 1,080,000 | |||||||||||||||
Oil, Gas & Consumable Fuels – 8.0% | ||||||||||||||||||||
1,565 | Anadarko Petroleum Corporation | 6.200% | 3/15/40 | BBB | 1,789,499 | |||||||||||||||
3,650 | Apache Corporation | 4.250% | 1/15/44 | BBB | 3,591,166 | |||||||||||||||
1,200 | CAD | Baytex Energy Corporation | 6.625% | 7/19/22 | BB– | 840,130 | ||||||||||||||
1,295 | Berkshire Hathaway Energy Company | 6.125% | 4/01/36 | A– | 1,614,860 | |||||||||||||||
1,269 | California Resources Corporation, 144A | 8.000% | 12/15/22 | CCC+ | 1,129,410 | |||||||||||||||
1,025 | Calumet Specialty Products | 7.625% | 1/15/22 | CCC+ | 868,687 | |||||||||||||||
1,410 | Canadian Natural Resources Limited | 5.850% | 2/01/35 | BBB+ | 1,498,596 | |||||||||||||||
1,500 | Chesapeake Energy Corporation, 144A | 8.000% | 1/15/25 | B– | 1,530,000 | |||||||||||||||
1,425 | Concho Resources Inc. | 5.500% | 10/01/22 | BB+ | 1,476,656 |
108 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Oil, Gas & Consumable Fuels (continued) | ||||||||||||||||||||
$ | 1,500 | CONSOL Energy Inc. | 5.875% | 4/15/22 | B | $ | 1,470,000 | |||||||||||||
865 | Continental Resources Inc. | 5.000% | 9/15/22 | BB+ | 873,122 | |||||||||||||||
1,000 | Energy Transfer Equity LP | 5.500% | 6/01/27 | BB+ | 975,000 | |||||||||||||||
2,315 | EnLink Midstream Partners LP | 4.150% | 6/01/25 | BBB– | 2,244,217 | |||||||||||||||
1,000 | EP Energy LLC and Everest Acquisition Finance, Inc. | 6.375% | 6/15/23 | CCC+ | 790,000 | |||||||||||||||
500 | EV Energy Partners LP / EV Energy Finance Corporation | 8.000% | 4/15/19 | CCC+ | 352,500 | |||||||||||||||
1,400 | Gibson Energy, 144A | 6.750% | 7/15/21 | BB | 1,452,500 | |||||||||||||||
910 | Global Partners LP/GLP Finance | 6.250% | 7/15/22 | B+ | 871,889 | |||||||||||||||
292 | Halcon Resources Corporation., 144A | 12.000% | 2/15/22 | B– | 318,280 | |||||||||||||||
2,300 | Hess Corporation | 3.500% | 7/15/24 | BBB– | 2,211,123 | |||||||||||||||
775 | Holly Energy Partners LP, 144A | 6.000% | 8/01/24 | BB | 807,938 | |||||||||||||||
2,415 | Kinder Morgan Energy Partners, LP | 4.250% | 9/01/24 | BBB– | 2,468,468 | |||||||||||||||
2,375 | Marathon Petroleum Corporation | 3.625% | 9/15/24 | BBB | 2,342,702 | |||||||||||||||
685 | Martin Mid-Stream Partners LP Finance | 7.250% | 2/15/21 | B– | 676,437 | |||||||||||||||
1,200 | MEG Energy Corporation, 144A | 6.375% | 1/30/23 | BB– | 1,068,000 | |||||||||||||||
2,700 | MPLX LP | 4.875% | 6/01/25 | BBB– | 2,772,600 | |||||||||||||||
1,500 | Newfield Exploration Company | 5.375% | 1/01/26 | BB+ | 1,529,400 | |||||||||||||||
625 | Oasis Petroleum Inc., (5) | 6.875% | 3/15/22 | B+ | 640,625 | |||||||||||||||
1,275 | Petro Canada | 6.800% | 5/15/38 | A– | 1,650,825 | |||||||||||||||
1,250 | Range Resources Corporation, 144A | 5.000% | 3/15/23 | BB+ | 1,237,500 | |||||||||||||||
2,000 | Reliance Holdings USA Inc., 144A | 5.400% | 2/14/22 | BBB+ | 2,160,134 | |||||||||||||||
1,045 | Rose Rock Midstream LP / Rose Rock Finance Corporation | 5.625% | 7/15/22 | B+ | 1,026,712 | |||||||||||||||
1,345 | Sabine Pass Liquefaction LLC | 5.625% | 2/01/21 | BBB– | 1,439,150 | |||||||||||||||
1,000 | SM Energy Company | 6.750% | 9/15/26 | B+ | 1,030,000 | |||||||||||||||
2,600 | Southeast Supply Header LLC, 144A | 4.250% | 6/15/24 | Baa2 | 2,448,745 | |||||||||||||||
1,445 | Southwestern Energy Company | 4.100% | 3/15/22 | BB | 1,365,236 | |||||||||||||||
1,765 | Summit Midstream Holdings LLC Finance | 7.500% | 7/01/21 | B+ | 1,853,250 | |||||||||||||||
670 | Targa Resources Inc. | 4.250% | 11/15/23 | BB– | 640,687 | |||||||||||||||
1,535 | Transocean Inc. | 5.550% | 10/15/22 | BB– | 1,346,962 | |||||||||||||||
2,500 | Valero Energy Corporation | 3.400% | 9/15/26 | BBB | 2,391,475 | |||||||||||||||
2,875 | Woodside Finance Limited, 144A | 3.650% | 3/05/25 | BBB+ | 2,804,962 | |||||||||||||||
1,135 | WPX Energy Inc. | 7.500% | 8/01/20 | B | 1,220,125 | |||||||||||||||
Total Oil, Gas & Consumable Fuels | 60,819,568 | |||||||||||||||||||
Paper & Forest Products – 0.6% | ||||||||||||||||||||
2,100 | Domtar Corporation | 6.750% | 2/15/44 | BBB– | 2,129,854 | |||||||||||||||
1,250 | Resolute Forest Products | 5.875% | 5/15/23 | B+ | 1,125,000 | |||||||||||||||
1,250 | Tembec Industries, Inc., 144A | 9.000% | 12/15/19 | B– | 1,168,750 | |||||||||||||||
Total Paper & Forest Products | 4,423,604 |
NUVEEN | 109 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Personal Products – 0.4% | ||||||||||||||||||||
$ | 1,915 | International Paper Company | 8.700% | 6/15/38 | BBB | $ | 2,765,407 | |||||||||||||
Pharmaceuticals – 0.5% | ||||||||||||||||||||
2,000 | Endo Finance LLC, 144A | 5.750% | 1/15/22 | B | 1,780,000 | |||||||||||||||
2,450 | Teva Pharmaceutical Finance III | 3.150% | 10/01/26 | BBB | 2,255,328 | |||||||||||||||
Total Pharmaceuticals | 4,035,328 | |||||||||||||||||||
Professional Services – 0.2% | ||||||||||||||||||||
1,360 | CEB Inc., 144A | 5.625% | 6/15/23 | BB– | 1,322,600 | |||||||||||||||
Real Estate Management & Development – 0.4% | ||||||||||||||||||||
1,000 | Crescent Communities LLC, 144A | 8.875% | 10/15/21 | B+ | 1,007,500 | |||||||||||||||
1,250 | Hunt Companies Inc., 144A | 9.625% | 3/01/21 | N/R | 1,304,688 | |||||||||||||||
1,000 | Mattamy Group Corporation, 144A, (5) | 6.875% | 12/15/23 | BB | 1,012,500 | |||||||||||||||
Total Real Estate Management & Development | 3,324,688 | |||||||||||||||||||
Road & Rail – 0.6% | ||||||||||||||||||||
825 | Avis Budget Car Rental, 144A, (5) | 6.375% | 4/01/24 | BB– | 823,969 | |||||||||||||||
2,500 | Hertz Rentals, Inc., 144A, (5) | 7.750% | 6/01/24 | B+ | 2,628,125 | |||||||||||||||
1,000 | Watco Companies LLC Finance, 144A | 6.375% | 4/01/23 | B– | 1,035,000 | |||||||||||||||
Total Road & Rail | 4,487,094 | |||||||||||||||||||
Software – 0.5% | ||||||||||||||||||||
1,000 | SS&C Technologies Holdings, Inc. | 5.875% | 7/15/23 | B+ | 1,036,250 | |||||||||||||||
2,500 | Total System Services Inc. | 3.750% | 6/01/23 | BBB– | 2,480,430 | |||||||||||||||
Total Software | 3,516,680 | |||||||||||||||||||
Specialty Retail – 1.5% | ||||||||||||||||||||
2,000 | AutoNation Inc. | 4.500% | 10/01/25 | BBB– | 2,020,776 | |||||||||||||||
2,745 | Bed Bath and Beyond Incorporated, (5) | 4.915% | 8/01/34 | BBB+ | 2,742,508 | |||||||||||||||
1,175 | Guitar Center Inc., 144A, (5) | 6.500% | 4/15/19 | B2 | 1,066,312 | |||||||||||||||
1,500 | L Brands, Inc. | 6.875% | 11/01/35 | BB+ | 1,530,000 | |||||||||||||||
4,485 | Signet UK Finance PLC | 4.700% | 6/15/24 | BBB– | 4,293,289 | |||||||||||||||
Total Specialty Retail | 11,652,885 | |||||||||||||||||||
Technology Hardware, Storage & Peripherals – 0.7% | ||||||||||||||||||||
2,970 | Hewlett Packard Enterprise Co | 5.150% | 10/15/25 | A– | 3,060,885 | |||||||||||||||
950 | NCR Corporation | 6.375% | 12/15/23 | BB | 1,021,250 | |||||||||||||||
1,425 | Western Digital Corporation, 144A | 7.375% | 4/01/23 | BBB– | 1,567,500 | |||||||||||||||
Total Technology Hardware, Storage & Peripherals | 5,649,635 | |||||||||||||||||||
Textiles, Apparel & Luxury Goods – 0.3% | ||||||||||||||||||||
2,195 | Levi Strauss & Company | 5.000% | 5/01/25 | BB+ | 2,195,000 | |||||||||||||||
Trading Companies & Distributors – 0.3% | ||||||||||||||||||||
1,995 | Air Lease Corporation | 3.875% | 4/01/21 | BBB | 2,049,683 |
110 | NUVEEN |
Principal Amount (000) (10) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Wireless Telecommunication Services – 2.3% | ||||||||||||||||||||
$ | 1,500 | Altice Financing SA, 144A | 6.625% | 2/15/23 | BB– | $ | 1,541,250 | |||||||||||||
2,000 | Colombia Telecommunicaciones S.A. ESP, 144A | 8.500% | 9/30/65 | B | 1,775,000 | |||||||||||||||
1,250 | Digicel Group, Limited, 144A | 8.250% | 9/30/20 | B– | 1,072,462 | |||||||||||||||
3,000 | ENTEL Chile SA, 144A | 4.750% | 8/01/26 | BBB | 2,929,557 | |||||||||||||||
1,000 | FairPoint Communications Inc., 144A | 8.750% | 8/15/19 | B | 1,043,750 | |||||||||||||||
500 | Hughes Satellite Systems Corporation, 144A | 6.625% | 8/01/26 | BB– | 502,500 | |||||||||||||||
2,100 | Millicom International Cellular SA, 144A | 6.000% | 3/15/25 | BB+ | 2,063,250 | |||||||||||||||
1,500 | Sprint Corporation | 7.250% | 9/15/21 | B+ | 1,593,750 | |||||||||||||||
2,275 | Sprint Spectrum Co LLC / Sprint Spectrum Co II LLC / Sprint Spectrum Co III LLC, 144A | 3.360% | 9/20/21 | Baa2 | 2,279,254 | |||||||||||||||
1,350 | Telecom Italia SpA, 144A | 5.303% | 5/30/24 | BBB– | 1,316,250 | |||||||||||||||
1,050 | T-Mobile USA Inc. | 6.731% | 4/28/22 | BB | 1,097,250 | |||||||||||||||
Total Wireless Telecommunication Services | 17,214,273 | |||||||||||||||||||
Total Corporate Bonds (cost $529,097,929) | 533,836,822 | |||||||||||||||||||
Principal Amount (000) | Description (1) | Optional Call Provisions (11) | Ratings (4) | Value | ||||||||||||||||
MUNICIPAL BONDS – 2.4% | ||||||||||||||||||||
Massachusetts – 0.9% | ||||||||||||||||||||
$ | 5,575 | Massachusetts State, General Obligation Bonds, Consolidated Loan, Series 2016J, 5.000%, 12/01/36 | 12/26 at 100.00 | AA+ | $ | 6,499,335 | ||||||||||||||
New York – 0.9% | ||||||||||||||||||||
2,410 | Dormitory Authority of the State of New York, State Personal Income Tax Revenue Bonds, General Purpose Series 2016A Group A, 5.000%, 2/15/39 | 8/26 at 100.00 | AAA | 2,764,680 | ||||||||||||||||
1,695 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2016 Series E-1, 5.000%, 2/01/35 | 2/26 at 100.00 | AAA | 1,949,724 | ||||||||||||||||
1,615 | New York City Transitional Finance Authority, New York, Future Tax Secured Bonds, Subordinate Fiscal 2017 Series A-1, 5.000%, 5/01/36 | 5/26 at 100.00 | AAA | 1,857,799 | ||||||||||||||||
5,720 | Total New York | 6,572,203 | ||||||||||||||||||
Texas – 0.6% | ||||||||||||||||||||
4,335 | Dallas Area Rapid Transit, Texas, Sales Tax Revenue Bonds, Refunding Series 2016A, 5.000%, 12/01/46 | 12/25 at 100.00 | AA+ | 4,907,437 | ||||||||||||||||
$ | 15,630 | Total Municipal Bonds (cost $17,675,432) | 17,978,975 | |||||||||||||||||
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
$1,000 PAR (OR SIMILAR) INSTITUTIONAL PREFERRED – 7.2% |
| |||||||||||||||||||
Banks – 3.5% | ||||||||||||||||||||
$ | 1,590 | Australia and New Zealand Banking Group Limited of the United Kingdom, 144A, (5), (13) | 6.750% | N/A (12) | Baa1 | $ | 1,678,577 | |||||||||||||
1,695 | Bank of America Corporation | 6.300% | N/A (12) | BB+ | 1,771,275 |
NUVEEN | 111 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
Banks (continued) | ||||||||||||||||||||
$ | 1,965 | Citigroup Inc. | 6.250% | N/A (12) | BB+ | $ | 2,021,985 | |||||||||||||
2,000 | Cobank Agricultural Credit Bank | 6.250% | N/A (12) | BBB+ | 2,068,042 | |||||||||||||||
2,000 | Credit Agricole SA, 144A, (13) | 8.125% | N/A (12) | BB+ | 2,104,920 | |||||||||||||||
2,410 | HSBC Holdings PLC, (5), (13) | 6.875% | N/A (12) | BBB | 2,542,550 | |||||||||||||||
2,000 | ING Groep N.V, (13) | 6.000% | N/A (12) | BBB– | 1,950,000 | |||||||||||||||
1,300 | Intesa Sanpaolo SpA, 144A, (13) | 7.700% | N/A (12) | Ba3 | 1,220,375 | |||||||||||||||
2,000 | JP Morgan Chase & Company, (5) | 6.750% | N/A (12) | BBB– | 2,155,000 | |||||||||||||||
1,600 | Nordea Bank AB, 144A, (13) | 6.125% | N/A (12) | BBB | 1,548,320 | |||||||||||||||
2,000 | Societe Generale, 144A, (13) | 7.375% | N/A (12) | BB+ | 1,996,640 | |||||||||||||||
1,880 | Standard Chartered PLC, 144A, (13) | 7.500% | N/A (12) | Ba1 | 1,875,300 | |||||||||||||||
3,870 | SunTrust Bank Inc., (5) | 5.625% | N/A (12) | Baa3 | 3,961,913 | |||||||||||||||
26,310 | Total Banks | 26,894,897 | ||||||||||||||||||
Capital Markets – 0.7% | ||||||||||||||||||||
2,330 | Goldman Sachs Group Inc., Reg S | 5.300% | N/A (12) | Ba1 | 2,233,887 | |||||||||||||||
2,800 | UBS Group AG, (13) | 7.125% | N/A (12) | BB+ | 2,877,560 | |||||||||||||||
5,130 | Total Capital Markets | 5,111,447 | ||||||||||||||||||
Commercial Services & Supplies – 0.2% | ||||||||||||||||||||
1,550 | AerCap Global Aviation Trust, 144A, (5) | 6.500% | 6/15/45 | BB | 1,563,563 | |||||||||||||||
Consumer Finance – 0.7% | ||||||||||||||||||||
1,620 | American Express Company | 5.200% | N/A (12) | Baa2 | 1,607,850 | |||||||||||||||
3,920 | Capital One Financial Corporation | 5.550% | N/A (12) | Baa3 | 3,969,000 | |||||||||||||||
5,540 | Total Consumer Finance | 5,576,850 | ||||||||||||||||||
Diversified Financial Services – 0.8% | ||||||||||||||||||||
3,110 | BNP Paribas, 144A, (13) | 7.375% | N/A (12) | BBB– | 3,129,263 | |||||||||||||||
2,445 | BNP Paribas, 144A, (13) | 7.625% | N/A (12) | BBB– | 2,579,720 | |||||||||||||||
5,555 | Total Diversified Financial Services | 5,708,983 | ||||||||||||||||||
Electric Utilities – 0.3% | ||||||||||||||||||||
2,720 | Electricite de France, 144A | 5.250% | N/A (12) | BBB | 2,556,800 | |||||||||||||||
Food Products – 0.4% | ||||||||||||||||||||
2,780 | Land O’ Lakes Incorporated, 144A | 8.000% | N/A (12) | BB | 2,835,600 | |||||||||||||||
Industrial Conglomerates – 0.4% | ||||||||||||||||||||
3,086 | General Electric Company | 5.000% | N/A (12) | A | 3,202,342 | |||||||||||||||
1,000 | OAS Financial Limited, 144A | 0.000% | N/A (12) | N/R | 49,000 | |||||||||||||||
4,086 | Total Industrial Conglomerates | 3,251,342 | ||||||||||||||||||
Insurance – 0.2% | ||||||||||||||||||||
1,500 | Allstate Corporation | 5.750% | 8/15/53 | Baa1 | 1,550,850 | |||||||||||||||
$ | 55,171 | Total $1,000 (or similar) Institutional Preferred (cost $54,548,057) |
| 55,050,332 |
112 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES – 14.7% | ||||||||||||||||||||
$ | 981 | 321 Henderson Receivables LLC, Series 2010-3A, 144A | 3.820% | 12/15/48 | Aaa | $ | 990,207 | |||||||||||||
2,322 | American Homes 4 Rent, Series 2014-SFR2, 144A | 3.786% | 10/17/36 | Aaa | 2,382,527 | |||||||||||||||
2,270 | AmeriCold LLC Trust, Series 2010, 144A | 6.811% | 1/14/29 | A+ | 2,537,358 | |||||||||||||||
30 | Bank of America Alternative Loan Trust, Series 2005-5 2 CB1 | 6.000% | 6/25/35 | Caa1 | 29,049 | |||||||||||||||
1,200 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 4.366% | 9/17/48 | A– | 1,163,703 | |||||||||||||||
770 | Bank of America Commercial Mortgage Inc. , Commercial Mortgage Pass-Through Certificates, Series 2015-UBS7 | 3.167% | 9/17/48 | BBB– | 581,426 | |||||||||||||||
2,400 | Barclays Commercial Mortgage, Mortgage Pass-Through Certificates, Series 2015-STP, 144A | 4.427% | 9/10/28 | BBB– | 2,355,386 | |||||||||||||||
4,451 | Colony American Homes Trust 2014-1A, 144A | 2.136% | 5/17/31 | Aaa | 4,447,256 | |||||||||||||||
3,940 | Commercial Mortgage Pass-Through Certificates 2015-CR22 | 4.126% | 3/12/48 | A– | 3,764,230 | |||||||||||||||
3,260 | Commercial Mortgage Pass-Through Certificates, Series 2015-CR26 | 4.495% | 10/10/48 | A– | 3,090,783 | |||||||||||||||
142 | Countrywide Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2004-24CB | 5.000% | 11/25/19 | BB+ | 142,024 | |||||||||||||||
261 | Countrywide Home Loan Mortgage Pass-Through Trust, Series 2004-2 | 2.537% | 2/25/34 | BB+ | 250,481 | |||||||||||||||
896 | Countrywide Home Loans Mortgage, Series 2005-27 | 5.500% | 1/25/23 | Caa1 | 822,918 | |||||||||||||||
144 | Credit Suisse First Boston Mortgage Securities Corporation, Mortgage-Backed Pass-Through Certificates, Series 2003-23 | 5.750% | 9/25/33 | AA+ | 151,338 | |||||||||||||||
230 | Fannie Mae Mortgage Interest Strips 366 25 (I/O) | 5.000% | 9/01/24 | Aaa | 12,133 | |||||||||||||||
870 | Fannie Mae Mortgage Pool 255956 | 5.500% | 10/01/25 | Aaa | 967,134 | |||||||||||||||
95 | Fannie Mae Mortgage Pool 256890 | 6.000% | 9/01/37 | Aaa | 100,373 | |||||||||||||||
107 | Fannie Mae Mortgage Pool 725205 | 5.000% | 3/01/34 | Aaa | 116,485 | |||||||||||||||
151 | Fannie Mae Mortgage Pool 725773 | 5.500% | 9/01/34 | Aaa | 169,357 | |||||||||||||||
59 | Fannie Mae Mortgage Pool 735060 | 6.000% | 11/01/34 | Aaa | 67,810 | |||||||||||||||
47 | Fannie Mae Mortgage Pool 745101 | 6.000% | 4/01/32 | Aaa | 52,403 | |||||||||||||||
199 | Fannie Mae Mortgage Pool 745324 | 6.000% | 3/01/34 | Aaa | 216,592 | |||||||||||||||
48 | Fannie Mae Mortgage Pool 824163 | 5.500% | 4/01/35 | Aaa | 53,864 | |||||||||||||||
57 | Fannie Mae Mortgage Pool 831377 | 6.500% | 4/01/36 | Aaa | 63,905 | |||||||||||||||
36 | Fannie Mae Mortgage Pool 852909 | 6.500% | 4/01/36 | Aaa | 40,990 | |||||||||||||||
— | (8) | Fannie Mae Mortgage Pool 889618 | 5.500% | 5/01/38 | Aaa | 163 | ||||||||||||||
92 | Fannie Mae Mortgage Pool 893318 | 6.500% | 8/01/36 | Aaa | 103,720 | |||||||||||||||
13 | Fannie Mae Mortgage Pool 905597 | 4.636% | 12/01/36 | Aaa | 13,921 | |||||||||||||||
61 | Fannie Mae Mortgage Pool 944340 | 6.000% | 6/01/37 | Aaa | 69,578 | |||||||||||||||
56 | Fannie Mae Mortgage Pool 946228 | 6.159% | 9/01/37 | Aaa | 59,887 | |||||||||||||||
— | (8) | Fannie Mae Mortgage Pool 985344 | 5.500% | 7/01/38 | Aaa | 88 | ||||||||||||||
263 | Fannie Mae Mortgage Pool AA0005 | 5.500% | 11/01/38 | Aaa | 294,176 | |||||||||||||||
230 | Fannie Mae Mortgage Pool AA0889 | 5.500% | 12/01/38 | Aaa | 257,096 | |||||||||||||||
7 | Fannie Mae Mortgage Pool AL1187 | 5.500% | 7/01/24 | Aaa | 7,010 | |||||||||||||||
10,950 | Fannie Mae Mortgage Pool AS7348 | 3.500% | 6/01/46 | Aaa | 11,226,398 |
NUVEEN | 113 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
ASSET-BACKED AND MORTGAGE-BACKED SECURITIES (continued) | ||||||||||||||||||||
$ | 9,939 | Fannie Mae Mortgage Pool AS8269 | 3.000% | 11/01/46 | Aaa | $ | 9,877,859 | |||||||||||||
10,990 | Fannie Mae TBA Mortgage Pool, (WI/DD) | 4.500% | TBA | Aaa | 11,816,448 | |||||||||||||||
3,695 | Fannie Mae TBA Mortgage Pool, (WI/DD) | 4.000% | TBA | Aaa | 3,882,706 | |||||||||||||||
5,060 | Fannie Mae TBA Mortgage Pool, (WI/DD) | 3.500% | TBA | Aaa | 5,182,958 | |||||||||||||||
15,205 | Fannie Mae TBA Mortgage Pool, (WI/DD) | 3.000% | TBA | Aaa | 15,094,004 | |||||||||||||||
245 | Freddie Mac Mortgage Pool, Various A17212 | 6.500% | 7/01/31 | Aaa | 277,081 | |||||||||||||||
46 | Freddie Mac Mortgage Pool, Various H09059 | 7.000% | 8/01/37 | Aaa | 50,561 | |||||||||||||||
1,405 | Freddie Mac Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2013-K712, 144A | 3.365% | 5/25/45 | AA | 1,425,952 | |||||||||||||||
4,720 | Goldman Sachs Mortgage Securities Trust, Mortgage Pass-Through Certificates, Series 2015-GC32 | 3.345% | 7/10/48 | BBB– | 3,508,087 | |||||||||||||||
37 | Government National Mortgage Association, Guaranteed REMIC Pass-Through Securities and MX Securities Trust | 4.500% | 5/16/38 | Aaa | 37,815 | |||||||||||||||
1,342 | Impac Secured Assets Corporation, Mortgage Pass-Through Certificates, Series 2000-3 | 8.000% | 10/25/30 | CCC | 1,259,910 | |||||||||||||||
171 | IndyMac INDX Mortgage Loan Trust, Pass-Through Certificates, Series 2005-AR1 | 2.978% | 3/25/35 | BBB+ | 170,453 | |||||||||||||||
3,910 | Invitation Homes Trust 2014-SFR1, 144A | 3.336% | 6/19/31 | Baa1 | 3,910,039 | |||||||||||||||
819 | JP Morgan Alternative Loan Trust, Mortgage Pass-Through Certificates, Series 2007-S1 | 1.036% | 6/25/37 | Caa1 | 758,158 | |||||||||||||||
1,370 | JP Morgan Chase Commercial Mortgage Securities Trust, Pass-Through Certificates 2015-C29 | 3.702% | 5/15/48 | BBB– | 972,553 | |||||||||||||||
1,319 | JP Morgan Madison Avenue Securities Trust, Mortgage Pass-Through Certificates, Series 2014-1, 144A | 2.834% | 11/25/24 | BBB | 1,311,896 | |||||||||||||||
187 | Lehman Mortgage Trust, Mortgage Pass-Through Certificates, Series 2008-6 | 5.316% | 4/25/38 | A+ | 187,749 | |||||||||||||||
2,431 | Master RePerforming Loan Trust 2005-1, 144A | 7.500% | 8/25/34 | B1 | 2,450,415 | |||||||||||||||
1,955 | Morgan Stanley Bank of America Merrill Lynch Trust, Series 2015-C22, 144A | 4.242% | 4/17/48 | BBB– | 1,502,077 | |||||||||||||||
3,860 | New Residential Advance Receivable Trust , Series 2016-T1, 144A | 4.377% | 6/15/49 | BBB | 3,859,996 | |||||||||||||||
3,900 | OMART Receivables Trust, Series 2016-T2, 144A | 4.446% | 8/16/49 | BBB | 3,889,031 | |||||||||||||||
99 | Residential Accredit Loans Inc., Mortgage Asset-Backed Pass-Through Certificates, Series 2005-QS12 | 5.500% | 8/25/35 | Caa2 | 88,469 | |||||||||||||||
326 | Wachovia Mortgage Loan Trust LLC, Mortgage Pass-Through Certificates, Series 2005-B | 3.205% | 10/20/35 | D | 281,362 | |||||||||||||||
221 | Washington Mutual Mortgage Securities Corporation, Mortgage Pass-Through Certificates, Series 2004-RA3 | 6.316% | 8/25/38 | AA | 231,463 | |||||||||||||||
3,430 | Wells Fargo Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2015-C26, 144A | 3.586% | 2/18/48 | BBB– | 2,417,957 | |||||||||||||||
14 | Wells Fargo Mortgage-Backed Securities, 2005-AR16 Class 3A2 | 3.081% | 2/25/35 | A+ | 13,908 | |||||||||||||||
1,352 | Wells Fargo-RBS Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates, Series 2013-C15, 144A | 4.480% | 8/17/46 | BBB– | 1,181,197 | |||||||||||||||
$ | 114,686 | Total Asset-Backed and Mortgage-Backed Securities (cost $113,140,510) |
| 112,241,873 |
114 | NUVEEN |
Principal Amount (000) | Description (1) | Coupon | Maturity | Ratings (4) | Value | |||||||||||||||
SOVEREIGN DEBT – 2.3% | ||||||||||||||||||||
Argentina – 0.1% | ||||||||||||||||||||
$ | 1,000 | Republic of Argentina, 144A, (5) | 7.625% | 4/22/46 | B | $ | 1,000,000 | |||||||||||||
Dominican Republic – 0.3% | ||||||||||||||||||||
2,500 | Dominican Republic, 144A | 5.500% | 1/27/25 | BB– | 2,410,650 | |||||||||||||||
Hungary – 0.5% | ||||||||||||||||||||
902,000 | HUF | Republic of Hungary | 5.500% | 6/24/25 | BBB– | 3,672,879 | ||||||||||||||
Mexico – 0.2% | ||||||||||||||||||||
347 | MXN | Mexico Bonos de DeSarrollo | 8.500% | 12/13/18 | A | 1,722,338 | ||||||||||||||
Saudi Arabia – 0.1% | ||||||||||||||||||||
600 | Saudi Government International Bond, 144A | 4.500% | 10/26/46 | AA– | 574,699 | |||||||||||||||
South Africa – 0.7% | ||||||||||||||||||||
50,650 | ZAR | Republic of South Africa | 10.500% | 12/21/26 | BBB | 4,064,004 | ||||||||||||||
1,800 | Republic of South Africa | 5.000% | 10/12/46 | Baa2 | 1,665,900 | |||||||||||||||
52,450 | Total South Africa | 5,729,904 | ||||||||||||||||||
Sri Lanka – 0.3% | ||||||||||||||||||||
2,100 | Republic of Sri Lanka, 144A | 6.850% | 11/03/25 | B+ | 2,062,267 | |||||||||||||||
Uruguay – 0.1% | ||||||||||||||||||||
850 | Republic of Uruguay | 5.100% | 6/18/50 | BBB | 765,000 | |||||||||||||||
Total Sovereign Debt (cost $19,449,815) | 17,937,737 | |||||||||||||||||||
Total Long-Term Investments (cost $749,117,080) |
| 750,435,847 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
INVESTMENTS PURCHASED WITH COLLATERAL FROM SECURITIES LENDING – 5.3% |
| |||||||||||||||||||
Money Market Funds – 5.3% | ||||||||||||||||||||
40,591,618 | First American Government Obligations Fund, Class X, (15) | 0.467% (14) | $ | 40,591,618 | ||||||||||||||||
Total Investments Purchased with Collateral from Securities Lending (cost $40,591,618) |
| 40,591,618 | ||||||||||||||||||
Shares | Description (1) | Coupon | Value | |||||||||||||||||
SHORT-TERM INVESTMENTS – 1.9% | ||||||||||||||||||||
Money Market Funds – 1.9% | ||||||||||||||||||||
14,552,593 | First American Treasury Obligations Fund, Class Z | 0.389% (14) | $ | 14,552,593 | ||||||||||||||||
Total Short-Term Investments (cost $14,552,593) |
| 14,552,593 | ||||||||||||||||||
Total Investments (cost $804,261,291) – 105.6% |
| 805,580,058 | ||||||||||||||||||
Other Assets Less Liabilities – (5.6)% (16) |
| (42,779,058 | ) | |||||||||||||||||
Net Assets – 100% | $ | 762,801,000 |
NUVEEN | 115 |
Nuveen Strategic Income Fund (continued)
Portfolio of Investments | December 31, 2016 (Unaudited) |
Investments in Derivatives as of December 31, 2016
Forward Foreign Currency Exchange Contracts
Counterparty | Currency Contracts to Deliver | Notional Amount (Local Currency) | In Exchange For Currency | Notional Amount (Local Currency) | Settlement Date | Unrealized Appreciation (Depreciation) (U.S. Dollars) | ||||||||||||||||
Bank of America, N.A. | South Korean Won | 18,000,000,000 | U.S. Dollar | 14,909,919 | 2/06/17 | $ | 6,460 | |||||||||||||||
Bank of America, N.A. | South Korean Won | 26,700,000,000 | U.S. Dollar | 22,808,816 | 2/06/17 | 702,019 | ||||||||||||||||
Bank of America, N.A. | Mexican Peso | 46,560,000 | U.S. Dollar | 2,272,383 | 2/17/17 | 41,681 | ||||||||||||||||
Bank of America, N.A. | U.S. Dollar | 22,922,390 | South Korean Won | 26,700,000,000 | 2/06/17 | (815,593 | ) | |||||||||||||||
Citigroup Global Markets, Inc. | Euro | 410,000 | U.S. Dollar | 436,529 | 1/20/17 | 4,420 | ||||||||||||||||
Citigroup Global Markets, Inc. | Japanese Yen | 1,201,000,000 | U.S. Dollar | 10,467,690 | 2/17/17 | 165,989 | ||||||||||||||||
Citigroup Global Markets, Inc. | Mexican Peso | 318,100,000 | U.S. Dollar | 15,302,465 | 1/17/17 | 680 | ||||||||||||||||
Citigroup Global Markets, Inc. | U.S. Dollar | 10,312,819 | Japanese Yen | 1,201,000,000 | 2/17/17 | (11,117 | ) | |||||||||||||||
Goldman Sacks Bank USA | Canadian Dollar | 4,169,000 | U.S. Dollar | 3,109,152 | 1/20/17 | 3,260 | ||||||||||||||||
Morgan Stanley & Co. LLC | Hungarian Forint | 1,106,000,000 | U.S. Dollar | 3,804,716 | 1/20/17 | 37,306 | ||||||||||||||||
Morgan Stanley & Co. LLC | South African Rand | 174,100,000 | U.S. Dollar | 12,310,412 | 1/13/17 | (332,042 | ) | |||||||||||||||
Morgan Stanley & Co. LLC | U.S. Dollar | 8,302,464 | South African Rand | 118,000,000 | 1/13/17 | 266,230 | ||||||||||||||||
$ | 69,293 |
Credit Default Swaps
Clearing Broker | Referenced Entity | Buy/ Sell Protection (17) | Current Credit Spread (18) | Notional Amount | Fixed Rate (Annualized) | Termination Date | Value | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | |||||||||||||||||||||||||
Citigroup Global Markets, Inc.* | Markit iTraxx | Buy | 3.54 | % | $ | 71,000,000 | 5.000 | % | 12/20/21 | $ | (4,510,522 | ) | $ | (119,598 | ) | $ | (415,393 | ) |
* | Chicago Mercantile Exchange is the clearing house for this transaction. |
Futures Contracts
Description | Contract Position | Number of Contracts | Contract Expiration | Notional Amount at Value* | Variation Margin Receivable/ (Payable) | Unrealized Appreciation (Depreciation) | ||||||||||||||||||
U.S. Treasury 5-Year Note | Long | 238 | 3/17 | $ | 28,004,047 | $ | 39,047 | $ | (84,277 | ) | ||||||||||||||
U.S. Treasury 10-Year Note | Short | (948 | ) | 3/17 | (117,818,625 | ) | (325,875 | ) | 400,956 | |||||||||||||||
U.S. Treasury Long Bond | Short | (4 | ) | 3/17 | (602,625 | ) | (3,000 | ) | 6,019 | |||||||||||||||
U.S. Treasury Ultra Bond | Long | 116 | 3/17 | 18,589,000 | 112,375 | (182,424 | ) | |||||||||||||||||
$ | (71,828,203 | ) | $ | (177,453 | ) | $ | 140,274 |
* | Total aggregate Notional Amount at Value of long and short positions is $46,593,047 and $(118,421,250), respectively. |
116 | NUVEEN |
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 discretion of, the Board. For fair value measurement disclosure purposes, investment classified as Level 3. See Notes to Financial Statements, Note 2 – Investment Valuation and Fair Value Measurements for more information. |
(4) | For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. |
(5) | 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 $39,198,389. |
(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. The rate shown is the coupon as of the end of the reporting period. |
(8) | Principal Amount (000) rounds to less than $1,000. |
(9) | As of, or subsequent to, the end of the reporting period, this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund’s records. |
(10) | Principal Amount (000) denominated in U.S. Dollars, unless otherwise noted. |
(11) | Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. |
(12) | Perpetual security. Maturity date is not applicable. |
(13) | Contingent Capital Securities (CoCos) are debt or preferred securities with loss absorption characteristics built into the terms of the security for the benefit of the issuer, for example an automatic write-down of principal or a mandatory conversion into the issuer’s common stock under certain adverse circumstances, such as the issuer’s capital ratio falling below a specified level. As of the end of the reporting period, the Fund’s total investments in CoCos was $23,503,225, representing 3.1% and 2.9% of Net Assets and Total Investments, respectively. |
(14) | The rate shown is the annualized seven-day subsidized yield as of the end of the reporting period. |
(15) | 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, Note 3 – Portfolio Securities and Investments in Derivatives, Securities Lending for more information. |
(16) | Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC-cleared and exchange-traded derivatives is recognized as part of the cash collateral at brokers and/or receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable. |
(17) | 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. |
(18) | 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. |
(WI/DD) | Investment, or portion of investment, purchased on a when-issued or delayed delivery basis. |
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. |
TBA | To be announced. Maturity date not known prior to settlement of this transaction. |
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. |
PIK | All or a portion of this security is payment-in-kind. |
CAD | Canadian Dollar |
EUR | Euro |
HUF | Hungarian Forint |
MXN | Mexican Peso |
ZAR | South African Rand |
See accompanying notes to financial statements.
NUVEEN | 117 |
Assets and Liabilities | December 31, 2016 (Unaudited) |
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | |||||||||||||
Assets | ||||||||||||||||
Long-term investments, at value (cost $148,769,677, $348,916,887, $436,025,559 and $606,001,095, respectively) | $ | 151,109,934 | $ | 355,036,408 | $ | 418,659,366 | $ | 608,085,613 | ||||||||
Investments purchased with collateral from securities lending, at value (cost approximates value) | 1,796,875 | 5,646,435 | 40,763,041 | 1,905,713 | ||||||||||||
Short-term investments, at value (cost approximates value) | 5,204,572 | 43,566,816 | 33,718,096 | 5,334,072 | ||||||||||||
Cash denominated in foreign currencies (cost $—, $—, $— and $—, respectively) | — | — | — | — | ||||||||||||
Cash | — | — | 168,617 | 47,284 | ||||||||||||
Cash collateral at brokers(1) | 167,700 | 1,436,218 | 11,693 | 150,100 | ||||||||||||
Credit default swap premiums paid | — | — | 430,213 | — | ||||||||||||
Unrealized appreciation on forward foreign currency exchange contracts, net | — | 63,694 | 19,594 | — | ||||||||||||
Receivable for: | ||||||||||||||||
Dividends | — | — | 164,370 | 3,625 | ||||||||||||
Due from broker | 272 | 11,895 | 30,897 | 984 | ||||||||||||
Interest | 944,155 | 3,087,650 | 6,854,810 | 1,672,667 | ||||||||||||
Investments sold | — | 561,052 | — | — | ||||||||||||
Reclaims | — | 22,941 | 20,800 | — | ||||||||||||
Shares sold | 363,898 | 2,123,983 | 1,222,100 | 4,125,322 | ||||||||||||
Variation margin on futures contracts | 9,688 | 8,859 | 9,969 | 47,437 | ||||||||||||
Variation margin on swap contracts | — | — | 12,667 | — | ||||||||||||
Other assets | 50,049 | 65,977 | 92,847 | 59,650 | ||||||||||||
Total assets | 159,647,143 | 411,631,928 | 502,179,080 | 621,432,467 | ||||||||||||
Liabilities | ||||||||||||||||
Cash overdraft | — | 8,234 | — | — | ||||||||||||
Credit default swaps premium receieved | — | 664,226 | — | — | ||||||||||||
Unrealized depreciation on forward foreign currency exchange contracts, net | — | 614 | — | — | ||||||||||||
Payable for: | ||||||||||||||||
Collateral from securities lending program | 1,796,875 | 5,646,435 | 40,763,041 | 1,905,713 | ||||||||||||
Dividends | 135,980 | 511,520 | 510,321 | 248,375 | ||||||||||||
Investments purchased | 1,656,637 | 39,906,151 | — | — | ||||||||||||
Shares redeemed | 562,610 | 493,538 | 2,133,785 | 1,095,816 | ||||||||||||
Variation margin on future contracts | 48,531 | 76,250 | — | 30,750 | ||||||||||||
Variation margin on swap contracts | — | 19,422 | — | — | ||||||||||||
Accrued expenses: | ||||||||||||||||
Management fees | 42,331 | 110,023 | 231,833 | 125,854 | ||||||||||||
Directors fees | 17,996 | 29,266 | 31,432 | 18,967 | ||||||||||||
12b-1 distribution and service fees | 4,619 | 25,448 | 76,461 | 39,148 | ||||||||||||
Shareholder servicing agent fees | 18,968 | 79,707 | 73,588 | 357,938 | ||||||||||||
Other | 46,202 | 77,410 | 92,811 | 90,059 | ||||||||||||
Total liabilities | 4,330,749 | 47,648,244 | 43,913,272 | 3,912,620 | ||||||||||||
Net assets | $ | 155,316,394 | $ | 363,983,684 | $ | 458,265,808 | $ | 617,519,847 |
(1) Cash pledged to collateralize the net payment obligations for investments in derivatives.
See accompanying notes to financial statements.
118 | NUVEEN |
Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||
Assets | ||||||||||||
Long-term investments, at value (cost $71,440,400, $539,143,884 and $749,117,080, | $ | 71,771,620 | $ | 539,344,766 | $ | 750,435,847 | ||||||
Investments purchased with collateral from securities lending, at value (cost approximates value) | 2,377,663 | 7,223,475 | 40,591,618 | |||||||||
Short-term investments, at value (cost approximates value) | 1,121,933 | 11,957,348 | 14,552,593 | |||||||||
Cash denominated in foreign currencies (cost $—, $301 and $898, respectively) | — | 344 | 888 | |||||||||
Cash | — | 8,234 | 22,304,135 | |||||||||
Cash collateral at brokers(1) | 109,900 | 32,600 | 7,587,903 | |||||||||
Credit default swap premiums paid | — | — | — | |||||||||
Unrealized appreciation on forward foreign currency exchange contracts, net | — | — | 163,232 | |||||||||
Receivable for: | ||||||||||||
Dividends | — | — | 39,392 | |||||||||
Due from broker | 552 | 2,795 | 23,234 | |||||||||
Interest | 359,397 | 2,775,516 | 8,910,432 | |||||||||
Investments sold | — | — | 4,956,250 | |||||||||
Reclaims | — | — | — | |||||||||
Shares sold | 220,832 | 1,318,185 | 3,565,310 | |||||||||
Variation margin on futures contracts | 9,234 | — | 151,422 | |||||||||
Variation margin on swap contracts | — | — | — | |||||||||
Other assets | 32,046 | 80,530 | 80,386 | |||||||||
Total assets | 76,003,177 | 562,743,793 | 853,362,642 | |||||||||
Liabilities | ||||||||||||
Cash overdraft | — | — | — | |||||||||
Credit default swaps premium receieved | — | — | 4,095,129 | |||||||||
Unrealized depreciation on forward foreign currency exchange contracts, net | — | — | 93,939 | |||||||||
Payable for: | ||||||||||||
Collateral from securities lending program | 2,377,663 | 7,223,475 | 40,591,618 | |||||||||
Dividends | 53,080 | 451,893 | 1,334,485 | |||||||||
Investments purchased | — | — | 41,001,725 | |||||||||
Shares redeemed | 181,376 | 2,733,438 | 2,230,903 | |||||||||
Variation margin on future contracts | 34,031 | 5,578 | 328,875 | |||||||||
Variation margin on swap contracts | — | — | 119,598 | |||||||||
Accrued expenses: | ||||||||||||
Management fees | 13,097 | 166,438 | 279,356 | |||||||||
Directors fees | 471 | 39,782 | 48,156 | |||||||||
12b-1 distribution and service fees | 4,307 | 50,174 | 111,454 | |||||||||
Shareholder servicing agent fees | 14,015 | 66,568 | 172,344 | |||||||||
Other | 38,365 | 96,078 | 154,060 | |||||||||
Total liabilities | 2,716,405 | 10,833,424 | 90,561,642 | |||||||||
Net assets | $ | 73,286,772 | $ | 551,910,369 | $ | 762,801,000 |
(1) | Cash pledged to collateralize the net payment obligations for investments in derivatives. |
See accompanying notes to financial statements.
NUVEEN | 119 |
Statement of Assets and Liabilities (Unaudited) (continued)
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | |||||||||||||
Class A Shares | ||||||||||||||||
Net assets | $ | 14,283,718 | $ | 59,650,421 | $ | 183,953,998 | $ | 112,324,645 | ||||||||
Shares outstanding | 1,480,430 | 5,485,007 | 23,698,345 | 10,261,893 | ||||||||||||
Net asset value (“NAV”) per share | $ | 9.65 | $ | 10.88 | $ | 7.76 | $ | 10.95 | ||||||||
Offering price per share (NAV per share plus maximum sales charge of 3.00%, 4.25%, 4.75%, and 4.25%, respectively, of offering price) | $ | 9.95 | $ | 11.36 | $ | 8.15 | $ | 11.44 | ||||||||
Class C Shares | ||||||||||||||||
Net assets | $ | 1,953,176 | $ | 8,249,805 | $ | 47,653,946 | $ | 13,684,592 | ||||||||
Shares outstanding | 203,051 | 762,184 | 6,147,280 | 1,270,465 | ||||||||||||
NAV and offering price per share | $ | 9.62 | $ | 10.82 | $ | 7.75 | $ | 10.77 | ||||||||
Class R3 Shares | ||||||||||||||||
Net assets | $ | — | $ | 2,584,786 | $ | 726,125 | $ | 10,192,802 | ||||||||
Shares outstanding | — | 236,376 | 91,623 | 939,615 | ||||||||||||
NAV and offering price per share | $ | — | $ | 10.94 | $ | 7.93 | $ | 10.85 | ||||||||
Class R6 Shares | ||||||||||||||||
Net assets | $ | 56,821,722 | $ | 23,800,818 | $ | — | $ | 22,212,888 | ||||||||
Shares outstanding | 5,906,105 | 2,190,544 | — | 1,999,297 | ||||||||||||
NAV and offering price per share | $ | 9.62 | $ | 10.87 | $ | — | $ | 11.11 | ||||||||
Class I Shares | ||||||||||||||||
Net assets | $ | 82,257,778 | $ | 269,697,854 | $ | 225,931,739 | $ | 459,104,920 | ||||||||
Shares outstanding | 8,560,551 | 24,846,715 | 29,019,001 | 41,459,074 | ||||||||||||
NAV and offering price per share | $ | 9.61 | $ | 10.85 | $ | 7.79 | $ | 11.07 | ||||||||
Net assets consist of: | ||||||||||||||||
Capital paid-in | $ | 157,002,707 | $ | 372,444,532 | $ | 570,662,471 | $ | 620,556,541 | ||||||||
Undistributed (Over-distribution of) net investment income | (623,654 | ) | (4,212,512 | ) | 916,148 | 1,427,226 | ||||||||||
Accumulated net realized gain (loss) | (3,333,032 | ) | (10,347,742 | ) | (95,991,961 | ) | (6,467,920 | ) | ||||||||
Net unrealized appreciation (depreciation) | 2,270,373 | 6,099,406 | (17,320,850 | ) | 2,004,000 | |||||||||||
Net Assets | $ | 155,316,394 | $ | 363,983,684 | $ | 458,265,808 | $ | 617,519,847 | ||||||||
Authorized shares – per class | 2 billion | 2 billion | 2 billion | 2 billion | ||||||||||||
Par value per share | 0.0001 | 0.0001 | 0.0001 | 0.0001 |
See accompanying notes to financial statements.
120 | NUVEEN |
Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||
Class A Shares | ||||||||||||
Net assets | $ | 12,454,132 | $ | 102,178,713 | $ | 175,484,005 | ||||||
Shares outstanding | 1,440,960 | 10,386,248 | 16,600,255 | |||||||||
Net asset value (“NAV”) per share | $ | 8.64 | $ | 9.84 | $ | 10.57 | ||||||
Offering price per share (NAV per share plus maximum sales charge of 3.00%, 2.25% | $ | 8.91 | $ | 10.07 | $ | 11.04 | ||||||
Class C Shares | ||||||||||||
Net assets | $ | 1,467,530 | $ | 32,206,817 | $ | 82,901,523 | ||||||
Shares outstanding | 169,500 | 3,260,907 | 7,886,268 | |||||||||
NAV and offering price per share | $ | 8.66 | $ | 9.88 | $ | 10.51 | ||||||
Class R3 Shares | ||||||||||||
Net assets | $ | 185,520 | $ | 370,042 | $ | 7,080,888 | ||||||
Shares outstanding | 21,454 | 37,544 | 667,405 | |||||||||
NAV and offering price per share | $ | 8.65 | $ | 9.86 | $ | 10.61 | ||||||
Class R6 Shares | ||||||||||||
Net assets | $ | — | $ | 42,281,730 | $ | 32,412,181 | ||||||
Shares outstanding | — | 4,288,082 | 3,064,447 | |||||||||
NAV and offering price per share | $ | — | $ | 9.86 | $ | 10.58 | ||||||
Class I Shares | ||||||||||||
Net assets | $ | 59,179,590 | $ | 374,873,067 | $ | 464,922,403 | ||||||
Shares outstanding | 6,843,920 | 38,070,356 | 44,008,694 | |||||||||
NAV and offering price per share | $ | 8.65 | $ | 9.85 | $ | 10.56 | ||||||
Net assets consist of: | ||||||||||||
Capital paid-in | $ | 77,644,831 | $ | 567,372,736 | $ | 868,740,551 | ||||||
Undistributed (Over-distribution of) net investment income | (80,715 | ) | (1,590,211 | ) | (8,305,475 | ) | ||||||
Accumulated net realized gain (loss) | (4,620,364 | ) | (14,085,236 | ) | (98,898,073 | ) | ||||||
Net unrealized appreciation (depreciation) | 343,020 | 213,080 | 1,263,997 | |||||||||
Net Assets | $ | 73,286,772 | $ | 551,910,369 | $ | 762,801,000 | ||||||
Authorized shares – per class | 2 billion | 2 billion | 2 billion | |||||||||
Par value per share | 0.0001 | 0.0001 | 0.0001 |
See accompanying notes to financial statements.
NUVEEN | 121 |
Operations | Six Months Ended December 31, 2016 (Unaudited) |
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | |||||||||||||
Investment Income | ||||||||||||||||
Dividend income | $ | — | $ | 222 | $ | 1,233,144 | $ | 7,261 | ||||||||
Interest income | 2,492,570 | 8,383,186 | 16,701,366 | 6,665,020 | ||||||||||||
Securities lending income, net | 4,852 | 40,610 | 223,552 | 10,307 | ||||||||||||
Total investment income | 2,497,422 | 8,424,018 | 18,158,062 | 6,682,588 | ||||||||||||
Expenses | ||||||||||||||||
Management fees | 403,664 | 917,121 | 1,294,722 | 1,184,659 | ||||||||||||
12b-1 service fees �� Class A Shares | 18,467 | 77,896 | 201,845 | 130,582 | ||||||||||||
12b-1 distribution and service fees – Class C Shares | 9,671 | 43,328 | 223,498 | 68,200 | ||||||||||||
12b-1 distribution and service fees – Class R3 Shares | — | 41,997 | 1,965 | 31,520 | ||||||||||||
Shareholder servicing agent fees | 38,955 | 143,780 | 147,111 | 659,271 | ||||||||||||
Custodian fees | 32,823 | 69,577 | 72,746 | 46,046 | ||||||||||||
Directors fees | 2,717 | 5,834 | 6,613 | 8,272 | ||||||||||||
Professional fees | 25,607 | 30,255 | 28,648 | 35,413 | ||||||||||||
Shareholder reporting expenses | 8,251 | 20,358 | 27,943 | 36,796 | ||||||||||||
Federal and state registration fees | 32,641 | 38,733 | 44,762 | 57,534 | ||||||||||||
Other | 5,780 | 10,838 | 73,563 | 7,814 | ||||||||||||
Total expenses before fee waiver/expense reimbursement | 578,576 | 1,399,717 | 2,123,416 | 2,266,107 | ||||||||||||
Fee waiver/expense reimbursement | (108,769 | ) | (221,631 | ) | (9,178 | ) | (481,556 | ) | ||||||||
Net expenses | 469,807 | 1,178,086 | 2,114,238 | 1,784,551 | ||||||||||||
Net investment income (loss) | 2,027,615 | 7,245,932 | 16,043,824 | 4,898,037 | ||||||||||||
Realized and Unrealized Gain (Loss) | ||||||||||||||||
Net realized gain (loss) from: | ||||||||||||||||
Investments and foreign currency | 866,306 | 2,329,513 | (1,906,451 | ) | (506,529 | ) | ||||||||||
Forward foreign currency exchange contracts | — | 41,693 | 168,303 | — | ||||||||||||
Futures contracts | (747,497 | ) | 619,714 | (188,560 | ) | (2,891,603 | ) | |||||||||
Swaps | — | (1,983,024 | ) | (242,199 | ) | — | ||||||||||
Change in net unrealized appreciation (depreciation) of: | ||||||||||||||||
Investments and foreign currency | (6,520,704 | ) | (7,562,095 | ) | 31,464,656 | (14,931,183 | ) | |||||||||
Forward foreign currency exchange contracts | — | 412,722 | 86,893 | — | ||||||||||||
Futures contracts | (45,719 | ) | (158,503 | ) | (292,095 | ) | (624,941 | ) | ||||||||
Swaps | — | 2,068,060 | 46,251 | — | ||||||||||||
Net realized and unrealized gain (loss) | (6,447,614 | ) | (4,231,920 | ) | 29,136,798 | (18,954,256 | ) | |||||||||
Net increase (decrease) in net assets from operations | $ | (4,419,999 | ) | $ | 3,014,012 | $ | 45,180,622 | $ | (14,056,219 | ) |
See accompanying notes to financial statements.
122 | NUVEEN |
Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||
Investment Income | ||||||||||||
Dividend income | $ | — | $ | — | $ | 123,588 | ||||||
Interest income | 780,046 | 6,687,904 | 20,406,951 | |||||||||
Securities lending income, net | 2,514 | 22,482 | 158,421 | |||||||||
Total investment income | 782,560 | 6,710,386 | 20,688,960 | |||||||||
Expenses | ||||||||||||
Management fees | 181,345 | 1,175,708 | 2,102,468 | |||||||||
12b-1 service fees – Class A Shares | 18,264 | 121,550 | 233,899 | |||||||||
12b-1 distribution and service fees – Class C Shares | 8,798 | 156,197 | 438,467 | |||||||||
12b-1 distribution and service fees – Class R3 Shares | 437 | 837 | 19,179 | |||||||||
Shareholder servicing agent fees | 27,762 | 128,492 | 314,857 | |||||||||
Custodian fees | 23,788 | 75,283 | 114,058 | |||||||||
Directors fees | 1,221 | 8,931 | 11,942 | |||||||||
Professional fees | 23,145 | 37,533 | 41,797 | |||||||||
Shareholder reporting expenses | 5,902 | 21,901 | 45,796 | |||||||||
Federal and state registration fees | 33,702 | 45,002 | 47,117 | |||||||||
Other | 3,770 | 13,610 | 18,565 | |||||||||
Total expenses before fee waiver/expense reimbursement | 328,134 | 1,785,044 | 3,388,145 | |||||||||
Fee waiver/expense reimbursement | (82,679 | ) | (139,277 | ) | (390,736 | ) | ||||||
Net expenses | 245,455 | 1,645,767 | 2,997,409 | |||||||||
Net investment income (loss) | 537,105 | 5,064,619 | 17,691,551 | |||||||||
Realized and Unrealized Gain (Loss) | ||||||||||||
Net realized gain (loss) from: | ||||||||||||
Investments and foreign currency | (170,397 | ) | 305,717 | (4,848,265 | ) | |||||||
Forward foreign currency exchange contracts | — | — | 1,243,660 | |||||||||
Futures contracts | 149,329 | (148,014 | ) | 1,460,107 | ||||||||
Swaps | — | — | (2,752,757 | ) | ||||||||
Change in net unrealized appreciation (depreciation) of: | ||||||||||||
Investments and foreign currency | (2,899,955 | ) | (3,022,312 | ) | 7,234,853 | |||||||
Forward foreign currency exchange contracts | — | — | 797,097 | |||||||||
Futures contracts | 43,517 | 457,723 | 296,420 | |||||||||
Swaps | — | — | 2,777,025 | |||||||||
Net realized and unrealized gain (loss) | (2,877,506 | ) | (2,406,886 | ) | 6,208,140 | |||||||
Net increase (decrease) in net assets from operations | $ | (2,340,401 | ) | $ | 2,657,733 | $ | 23,899,691 |
See accompanying notes to financial statements.
NUVEEN | 123 |
Changes in Net Assets | (Unaudited) |
Core Bond | Core Plus Bond | |||||||||||||||||||
Six Months Ended 12/31/16 | Year Ended 6/30/16 | Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||||
Operations | ||||||||||||||||||||
Net investment income (loss) | $ | 2,027,615 | $ | 5,223,869 | $ | 7,245,932 | $ | 18,955,242 | ||||||||||||
Net realized gain (loss) from: | ||||||||||||||||||||
Investments and foreign currency | 866,306 | (1,730,332 | ) | 2,329,513 | (11,286,495 | ) | ||||||||||||||
Forward foreign currency exchange contracts | — | — | 41,693 | 2,551,574 | ||||||||||||||||
Futures contracts | (747,497 | ) | (1,374,998 | ) | 619,714 | (1,704,965 | ) | |||||||||||||
Swaps | — | (558,892 | ) | (1,983,024 | ) | (3,093,979 | ) | |||||||||||||
Change in net unrealized appreciation (depreciation) of: | ||||||||||||||||||||
Investments and foreign currency | (6,520,704 | ) | 6,189,948 | (7,562,095 | ) | 2,066,990 | ||||||||||||||
Forward foreign currency exchange contracts | — | — | 412,722 | (593,304 | ) | |||||||||||||||
Futures contracts | (45,719 | ) | 218,283 | (158,503 | ) | 59,164 | ||||||||||||||
Swaps | — | 157,115 | 2,068,060 | (909,694 | ) | |||||||||||||||
Net increase (decrease) in net assets from operations | (4,419,999 | ) | 8,124,993 | 3,014,012 | 6,044,533 | |||||||||||||||
Distributions to Shareholders | ||||||||||||||||||||
From net investment income: | ||||||||||||||||||||
Class A Shares | (174,104 | ) | (307,124 | ) | (1,207,097 | ) | (2,601,132 | ) | ||||||||||||
Class C Shares | (15,289 | ) | (16,758 | ) | (136,188 | ) | (264,008 | ) | ||||||||||||
Class R3 Shares | — | — | (304,788 | ) | (388,284 | ) | ||||||||||||||
Class R6 Shares | (765,588 | ) | (1,343,684 | ) | (511,922 | ) | (1,135,658 | ) | ||||||||||||
Class I Shares | (1,272,961 | ) | (3,255,540 | ) | (5,825,633 | ) | (14,709,012 | ) | ||||||||||||
From accumulated net realized gains: | ||||||||||||||||||||
Class A Shares | — | (91,416 | ) | — | (114,029 | ) | ||||||||||||||
Class C Shares | — | (7,303 | ) | — | (14,202 | ) | ||||||||||||||
Class R3 Shares | — | — | — | (20,809 | ) | |||||||||||||||
Class R6 Shares | — | (363,524 | ) | — | (45,069 | ) | ||||||||||||||
Class I Shares | — | (838,155 | ) | — | (612,202 | ) | ||||||||||||||
Return of capital: | ||||||||||||||||||||
Class A Shares | — | (60,155 | ) | — | — | |||||||||||||||
Class C Shares | — | (5,269 | ) | — | — | |||||||||||||||
Class R3 Shares | — | — | — | — | ||||||||||||||||
Class R6 Shares | — | (236,107 | ) | — | — | |||||||||||||||
Class I Shares | — | (566,776 | ) | — | — | |||||||||||||||
Decrease in net assets from distributions to shareholders | (2,227,942 | ) | (7,091,811 | ) | (7,985,628 | ) | (19,904,405 | ) | ||||||||||||
Fund Share Transactions | ||||||||||||||||||||
Proceeds from sale of shares | 11,018,045 | 42,385,537 | 39,980,459 | 51,020,002 | ||||||||||||||||
Proceeds from shares issued to shareholders due to reinvestment of distributions | 1,323,815 | 3,646,596 | 4,673,391 | 10,176,954 | ||||||||||||||||
12,341,860 | 46,032,133 | 44,653,850 | 61,196,956 | |||||||||||||||||
Cost of shares redeemed | (33,268,064 | ) | (101,207,255 | ) | (69,303,964 | ) | (220,210,716 | ) | ||||||||||||
Net increase (decrease) in net assets from Fund share transactions | (20,926,204 | ) | (55,175,122 | ) | (24,650,114 | ) | (159,013,760 | ) | ||||||||||||
Net increase (decrease) in net assets | (27,574,145 | ) | (54,141,940 | ) | (29,621,730 | ) | (172,873,632 | ) | ||||||||||||
Net assets at the beginning of period | 182,890,539 | 237,032,479 | 393,605,414 | 566,479,046 | ||||||||||||||||
Net assets at the end of period | $ | 155,316,394 | $ | 182,890,539 | $ | 363,983,684 | $ | 393,605,414 | ||||||||||||
Undistributed (Over-distribution of) net investment income at the end of period | $ | (623,654 | ) | $ | (423,327 | ) | $ | (4,212,512 | ) | $ | (3,472,816 | ) |
See accompanying notes to financial statements.
124 | NUVEEN |
| Inflation Protected Securities | |||||||||||||||||||
Six Months Ended | Year Ended | Six Months Ended | Year Ended | |||||||||||||||||
Operations | ||||||||||||||||||||
Net investment income (loss) | $ | 16,043,824 | $ | 36,034,347 | $ | 4,898,037 | $ | 2,731,449 | ||||||||||||
Net realized gain (loss) from: | ||||||||||||||||||||
Investments and foreign currency | (1,906,451 | ) | (69,385,392 | ) | (506,529 | ) | (421,526 | ) | ||||||||||||
Forward foreign currency exchange contracts | 168,303 | 1,656,267 | — | — | ||||||||||||||||
Futures contracts | (188,560 | ) | 431,364 | (2,891,603 | ) | (539,412 | ) | |||||||||||||
Swaps | (242,199 | ) | (556,245 | ) | — | (583,194 | ) | |||||||||||||
Change in net unrealized appreciation (depreciation) of: | ||||||||||||||||||||
Investments and foreign currency | 31,464,656 | (7,410,663 | ) | (14,931,183 | ) | 15,539,212 | ||||||||||||||
Forward foreign currency exchange contracts | 86,893 | (240,417 | ) | — | — | |||||||||||||||
Futures contracts | (292,095 | ) | 547,980 | (624,941 | ) | 617,309 | ||||||||||||||
Swaps | 46,251 | 250,790 | — | 80,776 | ||||||||||||||||
Net increase (decrease) in net assets from operations | 45,180,622 | (38,671,969 | ) | (14,056,219 | ) | 17,424,614 | ||||||||||||||
Distributions to Shareholders | ||||||||||||||||||||
From net investment income: | ||||||||||||||||||||
Class A Shares | (5,643,690 | ) | (8,982,839 | ) | (798,607 | ) | — | |||||||||||||
Class C Shares | (1,417,649 | ) | (2,834,762 | ) | (63,715 | ) | — | |||||||||||||
Class R3 Shares | (26,738 | ) | (62,186 | ) | (66,440 | ) | — | |||||||||||||
Class R6 Shares | — | — | (136,283 | ) | — | |||||||||||||||
Class I Shares | (8,573,151 | ) | (21,369,935 | ) | (3,762,434 | ) | — | |||||||||||||
From accumulated net realized gains: | ||||||||||||||||||||
Class A Shares | — | — | — | — | ||||||||||||||||
Class C Shares | — | — | — | — | ||||||||||||||||
Class R3 Shares | — | — | — | — | ||||||||||||||||
Class R6 Shares | — | — | — | — | ||||||||||||||||
Class I Shares | — | — | — | — | ||||||||||||||||
Return of capital: | ||||||||||||||||||||
Class A Shares | — | — | — | — | ||||||||||||||||
Class C Shares | — | — | — | — | ||||||||||||||||
Class R3 Shares | — | — | — | — | ||||||||||||||||
Class R6 Shares | — | — | — | — | ||||||||||||||||
Class I Shares | — | — | — | — | ||||||||||||||||
Decrease in net assets from distributions to shareholders | (15,661,228 | ) | (33,249,722 | ) | (4,827,479 | ) | — | |||||||||||||
Fund Share Transactions | ||||||||||||||||||||
Proceeds from sale of shares | 364,904,478 | 290,281,180 | 195,945,999 | 257,295,500 | ||||||||||||||||
Proceeds from shares issued to shareholders due to reinvestment of distributions | 11,268,910 | 17,581,399 | 2,011,446 | — | ||||||||||||||||
376,173,388 | 307,862,579 | 197,957,445 | 257,295,500 | |||||||||||||||||
Cost of shares redeemed | (312,469,280 | ) | (493,243,683 | ) | (89,456,117 | ) | (136,999,242 | ) | ||||||||||||
Net increase (decrease) in net assets from Fund share transactions | 63,704,108 | (185,381,104 | ) | 108,501,328 | 120,296,258 | |||||||||||||||
Net increase (decrease) in net assets | 93,223,502 | (257,302,795 | ) | 89,617,630 | 137,720,872 | |||||||||||||||
Net assets at the beginning of period | 365,042,306 | 622,345,101 | 527,902,217 | 390,181,345 | ||||||||||||||||
Net assets at the end of period | $ | 458,265,808 | $ | 365,042,306 | $ | 617,519,847 | $ | 527,902,217 | ||||||||||||
Undistributed (Over-distribution of) net investment income at the end of period | $ | 916,148 | $ | 533,552 | $ | 1,427,226 | $ | 1,356,668 |
See accompanying notes to financial statements.
NUVEEN | 125 |
Statement of Changes in Net Assets (Unaudited) (continued)
Intermediate Government Bond | Short Term Bond | |||||||||||||||||||
Six Months Ended 12/31/16 | Year Ended 6/30/16 | Six Months Ended | Year Ended 6/30/16 | |||||||||||||||||
Operations | ||||||||||||||||||||
Net investment income (loss) | $ | 537,105 | $ | 1,044,703 | $ | 5,064,619 | $ | 11,911,053 | ||||||||||||
Net realized gain (loss) from: | ||||||||||||||||||||
Investments and foreign currency | (170,397 | ) | 165,420 | 305,717 | (4,196,675 | ) | ||||||||||||||
Forward foreign currency exchange contracts | — | — | — | 141,178 | ||||||||||||||||
Futures contracts | 149,329 | (546,481 | ) | (148,014 | ) | (697,162 | ) | |||||||||||||
Swaps | — | (66,161 | ) | — | (1,481,338 | ) | ||||||||||||||
Change in net unrealized appreciation (depreciation) of: | ||||||||||||||||||||
Investments and foreign currency | (2,899,955 | ) | 1,874,881 | (3,022,312 | ) | 1,317,230 | ||||||||||||||
Forward foreign currency exchange contracts | — | — | — | — | ||||||||||||||||
Futures contracts | 43,517 | (31,945 | ) | 457,723 | (245,584 | ) | ||||||||||||||
Swaps | — | (10,105 | ) | — | 258,316 | |||||||||||||||
Net increase (decrease) in net assets from operations | (2,340,401 | ) | 2,430,312 | 2,657,733 | 7,007,018 | |||||||||||||||
Distributions to Shareholders | ||||||||||||||||||||
From net investment income: | ||||||||||||||||||||
Class A Shares | (86,966 | ) | (141,814 | ) | (761,527 | ) | (1,508,399 | ) | ||||||||||||
Class C Shares | (3,933 | ) | (5,691 | ) | (122,185 | ) | (238,936 | ) | ||||||||||||
Class R3 Shares | (804 | ) | (1,016 | ) | (2,121 | ) | (3,012 | ) | ||||||||||||
Class R6 Shares | — | — | (530,115 | ) | (1,053,567 | ) | ||||||||||||||
Class I Shares | (467,275 | ) | (893,921 | ) | (3,599,557 | ) | (8,317,947 | ) | ||||||||||||
From accumulated net realized gains: | ||||||||||||||||||||
Class A Shares | — | — | — | — | ||||||||||||||||
Class C Shares | — | — | — | — | ||||||||||||||||
Class R3 Shares | — | — | — | — | ||||||||||||||||
Class R6 Shares | — | — | — | — | ||||||||||||||||
Class I Shares | — | — | — | — | ||||||||||||||||
Return of capital: | ||||||||||||||||||||
Class A Shares | — | — | — | — | ||||||||||||||||
Class C Shares | — | — | — | — | ||||||||||||||||
Class R3 Shares | — | — | — | — | ||||||||||||||||
Class R6 Shares | — | — | — | — | ||||||||||||||||
Class I Shares | — | — | — | — | ||||||||||||||||
Decrease in net assets from distributions to shareholders | (558,978 | ) | (1,042,442 | ) | (5,015,505 | ) | (11,121,861 | ) | ||||||||||||
Fund Share Transactions | ||||||||||||||||||||
Proceeds from sale of shares | 13,902,053 | 30,723,506 | 108,542,650 | 213,859,742 | ||||||||||||||||
Proceeds from shares issued to shareholders due to reinvestment of distributions | 222,431 | 369,458 | 2,139,473 | 4,309,842 | ||||||||||||||||
14,124,484 | 31,092,964 | 110,682,123 | 218,169,584 | |||||||||||||||||
Cost of shares redeemed | (18,697,324 | ) | (27,384,958 | ) | (166,855,712 | ) | (294,336,996 | ) | ||||||||||||
Net increase (decrease) in net assets from Fund share transactions | (4,572,840 | ) | 3,708,006 | (56,173,589 | ) | (76,167,412 | ) | |||||||||||||
Net increase (decrease) in net assets | (7,472,219 | ) | 5,095,876 | (58,531,361 | ) | (80,282,255 | ) | |||||||||||||
Net assets at the beginning of period | 80,758,991 | 75,663,115 | 610,441,730 | 690,723,985 | ||||||||||||||||
Net assets at the end of period | $ | 73,286,772 | $ | 80,758,991 | $ | 551,910,369 | $ | 610,441,730 | ||||||||||||
Undistributed (Over-distribution of) net investment income at the end of period | $ | (80,715 | ) | $ | (58,842 | ) | $ | (1,590,211 | ) | $ | (1,639,325 | ) |
See accompanying notes to financial statements.
126 | NUVEEN |
Strategic Income | ||||||||
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||
Operations | ||||||||
Net investment income (loss) | $ | 17,691,551 | $ | 46,798,233 | ||||
Net realized gain (loss) from: | ||||||||
Investments and foreign currency | (4,848,265 | ) | (70,792,612 | ) | ||||
Forward foreign currency exchange contracts | 1,243,660 | 13,528,427 | ||||||
Futures contracts | 1,460,107 | (4,939,649 | ) | |||||
Swaps | (2,752,757 | ) | (6,260,347 | ) | ||||
Change in net unrealized appreciation (depreciation) of: | ||||||||
Investments and foreign currency | 7,234,853 | 18,506,687 | ||||||
Forward foreign currency exchange contracts | 797,097 | (1,335,064 | ) | |||||
Futures contracts | 296,420 | 247,635 | ||||||
Swaps | 2,777,025 | (1,362,803 | ) | |||||
Net increase (decrease) in net assets from operations | 23,899,691 | (5,609,493 | ) | |||||
Distributions to Shareholders | ||||||||
From net investment income: | ||||||||
Class A Shares | (4,642,875 | ) | (11,921,409 | ) | ||||
Class C Shares | (1,845,504 | ) | (4,273,552 | ) | ||||
Class R3 Shares | (181,090 | ) | (464,157 | ) | ||||
Class R6 Shares | (869,414 | ) | (1,603,676 | ) | ||||
Class I Shares | (12,526,438 | ) | (31,361,137 | ) | ||||
From accumulated net realized gains: | ||||||||
Class A Shares | — | — | ||||||
Class C Shares | — | — | ||||||
Class R3 Shares | — | — | ||||||
Class R6 Shares | — | — | ||||||
Class I Shares | — | — | ||||||
Return of capital: | ||||||||
Class A Shares | — | — | ||||||
Class C Shares | — | — | ||||||
Class R3 Shares | — | — | ||||||
Class R6 Shares | — | — | ||||||
Class I Shares | — | — | ||||||
Decrease in net assets from distributions to shareholders | (20,065,321 | ) | (49,623,931 | ) | ||||
Fund Share Transactions | ||||||||
Proceeds from sale of shares | 80,910,688 | 192,983,898 | ||||||
Proceeds from shares issued to shareholders due to reinvestment of distributions | 11,780,242 | 28,548,825 | ||||||
92,690,930 | 221,532,723 | |||||||
Cost of shares redeemed | (126,504,766 | ) | (578,746,922 | ) | ||||
Net increase (decrease) in net assets from Fund share transactions | (33,813,836 | ) | (357,214,199 | ) | ||||
Net increase (decrease) in net assets | (29,979,466 | ) | (412,447,623 | ) | ||||
Net assets at the beginning of period | 792,780,466 | 1,205,228,089 | ||||||
Net assets at the end of period | $ | 762,801,000 | $ | 792,780,466 | ||||
Undistributed (Over-distribution of) net investment income at the end of period | $ | (8,305,475 | ) | $ | (5,931,705 | ) |
See accompanying notes to financial statements.
NUVEEN | 127 |
Highlights (Unaudited)
Core Bond
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||||||
Class (Commencement Date)
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss)(a) | Net Realized/ Unrealized Gain (Loss) | Total | From Net Investment Income | From Accumulated Net Realized Gains | Return of Capital | Total | Ending NAV | |||||||||||||||||||||||||||||||
Class A (1/95) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | $ | 10.05 | $ | 0.11 | $ | (0.39 | ) | $ | (0.28 | ) | $ | (0.12 | ) | $ | — | $ | — | $ | (0.12 | ) | $ | 9.65 | ||||||||||||||||||
2016 | 9.97 | 0.23 | 0.17 | 0.40 | (0.22 | ) | (0.06 | ) | (0.04 | ) | (0.32 | ) | 10.05 | |||||||||||||||||||||||||||
2015 | 10.36 | 0.25 | (0.19 | ) | 0.06 | (0.28 | ) | (0.17 | ) | — | (0.45 | ) | 9.97 | |||||||||||||||||||||||||||
2014 | 10.13 | 0.24 | 0.35 | 0.59 | (0.22 | ) | (0.14 | ) | — | (0.36 | ) | 10.36 | ||||||||||||||||||||||||||||
2013 | 10.67 | 0.18 | (0.20 | ) | (0.02 | ) | (0.18 | ) | (0.34 | ) | — | (0.52 | ) | 10.13 | ||||||||||||||||||||||||||
2012 | 10.47 | 0.29 | 0.23 | 0.52 | (0.30 | ) | (0.02 | ) | — | (0.32 | ) | 10.67 | ||||||||||||||||||||||||||||
Class C (1/11) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 10.02 | 0.07 | (0.39 | ) | (0.32 | ) | (0.08 | ) | — | — | (0.08 | ) | 9.62 | |||||||||||||||||||||||||||
2016 | 9.94 | 0.15 | 0.17 | 0.32 | (0.14 | ) | (0.06 | ) | (0.04 | ) | (0.24 | ) | 10.02 | |||||||||||||||||||||||||||
2015 | 10.32 | 0.17 | (0.19 | ) | (0.02 | ) | (0.19 | ) | (0.17 | ) | — | (0.36 | ) | 9.94 | ||||||||||||||||||||||||||
2014 | 10.08 | 0.16 | 0.36 | 0.52 | (0.14 | ) | (0.14 | ) | — | (0.28 | ) | 10.32 | ||||||||||||||||||||||||||||
2013 | 10.62 | 0.09 | (0.19 | ) | (0.10 | ) | (0.09 | ) | (0.35 | ) | — | (0.44 | ) | 10.08 | ||||||||||||||||||||||||||
2012 | 10.44 | 0.19 | 0.22 | 0.41 | (0.22 | ) | (0.01 | ) | — | (0.23 | ) | 10.62 | ||||||||||||||||||||||||||||
Class R6 (1/15) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 10.02 | 0.12 | (0.39 | ) | (0.27 | ) | (0.13 | ) | — | — | (0.13 | ) | 9.62 | |||||||||||||||||||||||||||
2016 | 9.94 | 0.26 | 0.16 | 0.42 | (0.24 | ) | (0.06 | ) | (0.04 | ) | (0.34 | ) | 10.02 | |||||||||||||||||||||||||||
2015(e) | 10.22 | 0.12 | (0.27 | ) | (0.15 | ) | (0.13 | ) | — | — | (0.13 | ) | 9.94 | |||||||||||||||||||||||||||
Class I (1/93) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 10.01 | 0.12 | (0.39 | ) | (0.27 | ) | (0.13 | ) | — | — | (0.13 | ) | 9.61 | |||||||||||||||||||||||||||
2016 | 9.93 | 0.25 | 0.17 | 0.42 | (0.24 | ) | (0.06 | ) | (0.04 | ) | (0.34 | ) | 10.01 | |||||||||||||||||||||||||||
2015 | 10.32 | 0.27 | (0.19 | ) | 0.08 | (0.30 | ) | (0.17 | ) | — | (0.47 | ) | 9.93 | |||||||||||||||||||||||||||
2014 | 10.09 | 0.26 | 0.22 | 0.48 | (0.11 | ) | (0.14 | ) | — | (0.25 | ) | 10.32 | ||||||||||||||||||||||||||||
2013 | 10.63 | 0.20 | (0.20 | ) | — | (0.21 | ) | (0.33 | ) | — | (0.54 | ) | 10.09 | |||||||||||||||||||||||||||
2012 | 10.43 | 0.30 | 0.23 | 0.53 | (0.32 | ) | (0.01 | ) | — | (0.33 | ) | 10.63 |
128 | NUVEEN |
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 Investment Income (Loss) | Expenses | Net Investment Income (Loss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
(2.83 | )% | $ | 14,284 | 0.91 | %* | 1.98 | %* | 0.78 | %* | 2.11 | %* | 49 | % | |||||||||||||||||||||
4.12 | 15,185 | 0.87 | 2.21 | 0.78 | 2.30 | 75 | ||||||||||||||||||||||||||||
0.52 | 14,448 | 0.85 | 2.34 | 0.78 | 2.40 | 44 | ||||||||||||||||||||||||||||
5.94 | 14,857 | 0.81 | 2.29 | 0.78 | 2.32 | 49 | ||||||||||||||||||||||||||||
(0.38 | ) | 18,331 | 0.79 | 1.63 | 0.78 | 1.65 | 85 | |||||||||||||||||||||||||||
4.93 | 21,262 | 0.95 | 2.61 | 0.85 | 2.70 | 75 | ||||||||||||||||||||||||||||
(3.22 | ) | 1,953 | 1.66 | * | 1.23 | * | 1.53 | * | 1.36 | * | 49 | |||||||||||||||||||||||
3.31 | 1,767 | 1.63 | 1.46 | 1.53 | 1.55 | 75 | ||||||||||||||||||||||||||||
(0.20 | ) | 971 | 1.61 | 1.59 | 1.53 | 1.67 | 44 | |||||||||||||||||||||||||||
5.24 | 514 | 1.56 | 1.54 | 1.53 | 1.57 | 49 | ||||||||||||||||||||||||||||
(1.17 | ) | 585 | 1.54 | 0.87 | 1.53 | 0.88 | 85 | |||||||||||||||||||||||||||
3.97 | 1,568 | 1.69 | 1.79 | 1.67 | 1.81 | 75 | ||||||||||||||||||||||||||||
(2.72 | ) | 56,822 | 0.60 | * | 2.29 | * | 0.47 | * | 2.42 | * | 49 | |||||||||||||||||||||||
4.38 | 58,699 | 0.57 | 2.51 | 0.48 | 2.60 | 75 | ||||||||||||||||||||||||||||
(1.46 | ) | 45,145 | 0.56 | * | 2.60 | * | 0.48 | * | 2.68 | * | 44 | |||||||||||||||||||||||
(2.73 | ) | 82,258 | 0.65 | * | 2.22 | * | 0.53 | * | 2.35 | * | 49 | |||||||||||||||||||||||
4.39 | 107,240 | 0.62 | 2.46 | 0.53 | 2.55 | 75 | ||||||||||||||||||||||||||||
0.78 | 176,468 | 0.59 | 2.59 | 0.53 | 2.65 | 44 | ||||||||||||||||||||||||||||
6.21 | 329,901 | 0.56 | 2.53 | 0.53 | 2.56 | 49 | ||||||||||||||||||||||||||||
(0.16 | ) | 481,088 | 0.54 | 1.88 | 0.53 | 1.89 | 85 | |||||||||||||||||||||||||||
5.18 | 621,066 | 0.70 | 2.85 | 0.68 | 2.87 | 75 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the period January 20, 2015 (commencement of operations) through June 30, 2015. |
(f) | For the six months ended December 31, 2016. |
* | Annualized. |
See accompanying notes to financial statements.
NUVEEN | 129 |
Financial Highlights (Unaudited) (continued)
Core Plus Bond
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||
Class (Commencement Date)
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss)(a) | Net Realized/ Unrealized Gain (Loss) | Total | From Net Investment Income | From Accumulated Net Realized Gains | Total | Ending NAV | ||||||||||||||||||||||||||||
Class A (12/87) |
| |||||||||||||||||||||||||||||||||||
2017(f) | $ | 11.01 | $ | 0.20 | $ | (0.11 | ) | $ | 0.09 | $ | (0.22 | ) | $ | — | $ | (0.22 | ) | $ | 10.88 | |||||||||||||||||
2016 | 11.25 | 0.44 | (0.22 | ) | 0.22 | (0.44 | ) | (0.02 | ) | (0.46 | ) | 11.01 | ||||||||||||||||||||||||
2015 | 11.75 | 0.45 | (0.49 | ) | (0.04 | ) | (0.44 | ) | (0.02 | ) | (0.46 | ) | 11.25 | |||||||||||||||||||||||
2014 | 11.46 | 0.46 | 0.45 | 0.91 | (0.43 | ) | (0.19 | ) | (0.62 | ) | 11.75 | |||||||||||||||||||||||||
2013 | 11.64 | 0.41 | (0.12 | ) | 0.29 | (0.42 | ) | (0.05 | ) | (0.47 | ) | 11.46 | ||||||||||||||||||||||||
2012 | 11.44 | 0.41 | 0.21 | 0.62 | (0.42 | ) | — | (0.42 | ) | 11.64 | ||||||||||||||||||||||||||
Class C (2/99) |
| |||||||||||||||||||||||||||||||||||
2017(f) | 10.96 | 0.15 | (0.12 | ) | 0.03 | (0.17 | ) | — | (0.17 | ) | 10.82 | |||||||||||||||||||||||||
2016 | 11.20 | 0.35 | (0.22 | ) | 0.13 | (0.35 | ) | (0.02 | ) | (0.37 | ) | 10.96 | ||||||||||||||||||||||||
2015 | 11.69 | 0.36 | (0.48 | ) | (0.12 | ) | (0.35 | ) | (0.02 | ) | (0.37 | ) | 11.20 | |||||||||||||||||||||||
2014 | 11.40 | 0.37 | 0.45 | 0.82 | (0.34 | ) | (0.19 | ) | (0.53 | ) | 11.69 | |||||||||||||||||||||||||
2013 | 11.59 | 0.32 | (0.12 | ) | 0.20 | (0.34 | ) | (0.05 | ) | (0.39 | ) | 11.40 | ||||||||||||||||||||||||
2012 | 11.40 | 0.32 | 0.21 | 0.53 | (0.34 | ) | — | �� | (0.34 | ) | 11.59 | |||||||||||||||||||||||||
Class R3 (9/01) |
| |||||||||||||||||||||||||||||||||||
2017(f) | 11.05 | 0.18 | (0.09 | ) | 0.09 | (0.20 | ) | — | (0.20 | ) | 10.94 | |||||||||||||||||||||||||
2016 | 11.29 | 0.41 | (0.22 | ) | 0.19 | (0.41 | ) | (0.02 | ) | (0.43 | ) | 11.05 | ||||||||||||||||||||||||
2015 | 11.80 | 0.42 | (0.50 | ) | (0.08 | ) | (0.41 | ) | (0.02 | ) | (0.43 | ) | 11.29 | |||||||||||||||||||||||
2014 | 11.51 | 0.43 | 0.46 | 0.89 | (0.41 | ) | (0.19 | ) | (0.60 | ) | 11.80 | |||||||||||||||||||||||||
2013 | 11.70 | 0.38 | (0.12 | ) | 0.26 | (0.40 | ) | (0.05 | ) | (0.45 | ) | 11.51 | ||||||||||||||||||||||||
2012 | 11.50 | 0.38 | 0.22 | 0.60 | (0.40 | ) | — | (0.40 | ) | 11.70 | ||||||||||||||||||||||||||
Class R6 (1/15) |
| |||||||||||||||||||||||||||||||||||
2017(f) | 11.00 | 0.21 | (0.11 | ) | 0.10 | (0.23 | ) | — | (0.23 | ) | 10.87 | |||||||||||||||||||||||||
2016 | 11.23 | 0.47 | (0.21 | ) | 0.26 | (0.47 | ) | (0.02 | ) | (0.49 | ) | 11.00 | ||||||||||||||||||||||||
2015(e) | 11.48 | 0.22 | (0.26 | ) | (0.04 | ) | (0.21 | ) | — | (0.21 | ) | 11.23 | ||||||||||||||||||||||||
Class I (2/94) |
| |||||||||||||||||||||||||||||||||||
2017(f) | 10.99 | 0.21 | (0.12 | ) | 0.09 | (0.23 | ) | — | (0.23 | ) | 10.85 | |||||||||||||||||||||||||
2016 | 11.24 | 0.46 | (0.22 | ) | 0.24 | (0.47 | ) | (0.02 | ) | (0.49 | ) | 10.99 | ||||||||||||||||||||||||
2015 | 11.74 | 0.48 | (0.49 | ) | (0.01 | ) | (0.47 | ) | (0.02 | ) | (0.49 | ) | 11.24 | |||||||||||||||||||||||
2014 | 11.44 | 0.49 | 0.46 | 0.95 | (0.46 | ) | (0.19 | ) | (0.65 | ) | 11.74 | |||||||||||||||||||||||||
2013 | 11.64 | 0.44 | (0.14 | ) | 0.30 | (0.45 | ) | (0.05 | ) | (0.50 | ) | 11.44 | ||||||||||||||||||||||||
2012 | 11.44 | 0.44 | 0.21 | 0.65 | (0.45 | ) | — | (0.45 | ) | 11.64 |
130 | NUVEEN |
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 Investment Income (Loss) | Expenses | Net Investment Income (Loss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
0.77 | % | $ | 59,650 | 0.88 | %* | 3.40 | %* | 0.77 | %* | 3.52 | %* | 65 | % | |||||||||||||||||||||
2.07 | 61,769 | 0.87 | 3.91 | 0.77 | 4.00 | 79 | ||||||||||||||||||||||||||||
(0.41 | ) | 69,968 | 0.85 | 3.80 | 0.77 | 3.88 | 44 | |||||||||||||||||||||||||||
8.23 | 68,728 | 0.84 | 3.89 | 0.77 | 3.97 | 50 | ||||||||||||||||||||||||||||
2.40 | 79,740 | 0.81 | 3.42 | 0.77 | 3.46 | 46 | ||||||||||||||||||||||||||||
5.52 | 83,264 | 0.97 | 3.51 | 0.93 | 3.55 | 98 | ||||||||||||||||||||||||||||
0.30 | 8,250 | 1.63 | * | 2.65 | * | 1.52 | * | 2.76 | * | 65 | ||||||||||||||||||||||||
1.29 | 8,387 | 1.62 | 3.15 | 1.52 | 3.25 | 79 | ||||||||||||||||||||||||||||
(1.10 | ) | 8,580 | 1.60 | 3.06 | 1.52 | 3.15 | 44 | |||||||||||||||||||||||||||
7.43 | 7,696 | 1.59 | 3.13 | 1.52 | 3.20 | 50 | ||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||||||
0.75 | 2,585 | 1.13 | * | 3.11 | * | 1.02 | * | 3.22 | * | 65 | ||||||||||||||||||||||||
1.83 | 14,871 | 1.12 | 3.64 | 1.02 | 3.74 | 79 | ||||||||||||||||||||||||||||
(0.70 | ) | 3,751 | 1.10 | 3.57 | 1.02 | 3.65 | 44 | |||||||||||||||||||||||||||
7.97 | 638 | 1.10 | 3.65 | 1.02 | 3.73 | 50 | ||||||||||||||||||||||||||||
2.11 | 350 | 1.06 | 3.18 | 1.02 | 3.22 | 46 | ||||||||||||||||||||||||||||
5.27 | 313 | 1.22 | 3.24 | 1.18 | 3.27 | 98 | ||||||||||||||||||||||||||||
0.90 | 23,801 | 0.57 | * | 3.72 | * | 0.46 | * | 3.83 | * | 65 | ||||||||||||||||||||||||
2.35 | 24,899 | 0.56 | 4.21 | 0.46 | 4.31 | 79 | ||||||||||||||||||||||||||||
(0.29 | ) | 43,680 | 0.54 | * | 4.14 | * | 0.46 | * | 4.22 | * | 44 | |||||||||||||||||||||||
0.81 | 269,698 | 0.63 | * | 3.65 | * | 0.52 | * | 3.76 | * | 65 | ||||||||||||||||||||||||
2.26 | 283,680 | 0.62 | 4.16 | 0.52 | 4.25 | 79 | ||||||||||||||||||||||||||||
(0.15 | ) | 440,499 | 0.60 | 4.04 | 0.52 | 4.12 | 44 | |||||||||||||||||||||||||||
8.64 | 514,961 | 0.60 | 4.17 | 0.52 | 4.24 | 50 | ||||||||||||||||||||||||||||
2.52 | 588,627 | 0.56 | 3.67 | 0.52 | 3.71 | 46 | ||||||||||||||||||||||||||||
5.79 | 718,505 | 0.72 | 3.76 | 0.68 | 3.80 | 98 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the period January 20, 2015 (commencement of operations) through June 30, 2015. |
(f) | For the six months ended December 31, 2016. |
* | Annualized. |
See accompanying notes to financial statements.
NUVEEN | 131 |
Financial Highlights (Unaudited) (continued)
High Income Bond
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss)(a) | Net Realized/ Unrealized Gain (Loss) | Total | Net Investment Income | From Accumulated Net Realized Gains | Total | Ending Net Asset Value | ||||||||||||||||||||||||||||
Class A (8/01) | ||||||||||||||||||||||||||||||||||||
2017(e) | $ | 7.22 | $ | 0.27 | $ | 0.54 | $ | 0.81 | $ | (0.27 | ) | $ | — | $ | (0.27 | ) | $ | 7.76 | ||||||||||||||||||
2016 | 8.23 | 0.57 | (1.05 | ) | (0.48 | ) | (0.53 | ) | — | (0.53 | ) | 7.22 | ||||||||||||||||||||||||
2015 | 9.29 | 0.55 | (1.00 | ) | (0.45 | ) | (0.54 | ) | (0.07 | ) | (0.61 | ) | 8.23 | |||||||||||||||||||||||
2014 | 8.99 | 0.58 | 0.53 | 1.11 | (0.61 | ) | (0.20 | ) | (0.81 | ) | 9.29 | |||||||||||||||||||||||||
2013 | 8.64 | 0.63 | 0.39 | 1.02 | (0.67 | ) | — | (0.67 | ) | 8.99 | ||||||||||||||||||||||||||
2012 | 9.05 | 0.69 | (0.38 | ) | 0.31 | (0.69 | ) | (0.03 | ) | (0.72 | ) | 8.64 | ||||||||||||||||||||||||
Class C (8/01) | ||||||||||||||||||||||||||||||||||||
2017(e) | 7.21 | 0.24 | 0.54 | 0.78 | (0.24 | ) | — | (0.24 | ) | 7.75 | ||||||||||||||||||||||||||
2016 | 8.22 | 0.53 | (1.07 | ) | (0.54 | ) | (0.47 | ) | — | (0.47 | ) | 7.21 | ||||||||||||||||||||||||
2015 | 9.27 | 0.49 | (0.99 | ) | (0.50 | ) | (0.48 | ) | (0.07 | ) | (0.55 | ) | 8.22 | |||||||||||||||||||||||
2014 | 8.98 | 0.51 | 0.52 | 1.03 | (0.54 | ) | (0.20 | ) | (0.74 | ) | 9.27 | |||||||||||||||||||||||||
2013 | 8.62 | 0.56 | 0.40 | 0.96 | (0.60 | ) | — | (0.60 | ) | 8.98 | ||||||||||||||||||||||||||
2012 | 9.01 | 0.63 | (0.37 | ) | 0.26 | (0.62 | ) | (0.03 | ) | (0.65 | ) | 8.62 | ||||||||||||||||||||||||
Class R3 (9/01) | ||||||||||||||||||||||||||||||||||||
2017(e) | 7.37 | 0.27 | 0.55 | 0.82 | (0.26 | ) | — | (0.26 | ) | 7.93 | ||||||||||||||||||||||||||
2016 | 8.40 | 0.57 | (1.08 | ) | (0.51 | ) | (0.52 | ) | — | (0.52 | ) | 7.37 | ||||||||||||||||||||||||
2015 | 9.48 | 0.53 | (1.01 | ) | (0.48 | ) | (0.53 | ) | (0.07 | ) | (0.60 | ) | 8.40 | |||||||||||||||||||||||
2014 | 9.17 | 0.57 | 0.54 | 1.11 | (0.60 | ) | (0.20 | ) | (0.80 | ) | 9.48 | |||||||||||||||||||||||||
2013 | 8.81 | 0.62 | 0.40 | 1.02 | (0.66 | ) | — | (0.66 | ) | 9.17 | ||||||||||||||||||||||||||
2012 | 9.23 | 0.67 | (0.38 | ) | 0.29 | (0.68 | ) | (0.03 | ) | (0.71 | ) | 8.81 | ||||||||||||||||||||||||
Class I (8/01) | ||||||||||||||||||||||||||||||||||||
2017(e) | 7.24 | 0.28 | 0.55 | 0.83 | (0.28 | ) | — | (0.28 | ) | 7.79 | ||||||||||||||||||||||||||
2016 | 8.26 | 0.60 | (1.07 | ) | (0.47 | ) | (0.55 | ) | — | (0.55 | ) | 7.24 | ||||||||||||||||||||||||
2015 | 9.31 | 0.57 | (0.98 | ) | (0.41 | ) | (0.57 | ) | (0.07 | ) | (0.64 | ) | 8.26 | |||||||||||||||||||||||
2014 | 9.01 | 0.60 | 0.53 | 1.13 | (0.63 | ) | (0.20 | ) | (0.83 | ) | 9.31 | |||||||||||||||||||||||||
2013 | 8.65 | 0.66 | 0.39 | 1.05 | (0.69 | ) | — | (0.69 | ) | 9.01 | ||||||||||||||||||||||||||
2012 | 9.05 | 0.71 | (0.37 | ) | 0.34 | (0.71 | ) | (0.03 | ) | (0.74 | ) | 8.65 |
132 | NUVEEN |
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 Investment Income (Losss) | Expenses | Net Investment Income (Losss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
11.33 | % | $ | 183,954 | 1.01 | %* | 7.15 | %* | 1.00 | %* | 7.15 | %* | 75 | % | |||||||||||||||||||||
5.48 | 114,537 | 1.03 | 7.99 | 1.03 | 7.99 | 91 | ||||||||||||||||||||||||||||
(4.82 | ) | 119,535 | 0.97 | 6.31 | 0.97 | 6.31 | 80 | |||||||||||||||||||||||||||
12.88 | 209,830 | 0.95 | 6.37 | 0.95 | 6.37 | 85 | ||||||||||||||||||||||||||||
11.99 | 141,132 | 0.94 | 6.92 | 0.94 | 6.92 | 133 | ||||||||||||||||||||||||||||
3.76 | 92,018 | 1.06 | 7.98 | 1.04 | 7.99 | 124 | ||||||||||||||||||||||||||||
10.95 | 47,654 | 1.77 | * | 6.45 | * | 1.75 | * | 6.45 | * | 75 | ||||||||||||||||||||||||
(6.27 | ) | 41,663 | 1.79 | 7.26 | 1.79 | 7.26 | 91 | |||||||||||||||||||||||||||
(5.45 | ) | 55,409 | 1.72 | 5.62 | 1.72 | 5.62 | 80 | |||||||||||||||||||||||||||
11.98 | 71,974 | 1.70 | 5.64 | 1.70 | 5.64 | 85 | ||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||||||
11.33 | 726 | 1.27 | * | 6.94 | * | 1.25 | * | 6.94 | * | 75 | ||||||||||||||||||||||||
(5.76 | ) | 834 | 1.29 | 7.78 | 1.29 | 7.78 | 91 | |||||||||||||||||||||||||||
(5.07 | ) | 995 | 1.21 | 6.03 | 1.21 | 6.03 | 80 | |||||||||||||||||||||||||||
12.65 | 1,099 | 1.20 | 6.09 | 1.20 | 6.09 | 85 | ||||||||||||||||||||||||||||
11.79 | 697 | 1.19 | 6.69 | 1.19 | 6.69 | 133 | ||||||||||||||||||||||||||||
3.46 | 615 | 1.31 | 7.66 | 1.29 | 7.68 | 124 | ||||||||||||||||||||||||||||
11.57 | 225,932 | 0.76 | * | 7.42 | * | 0.75 | * | 7.42 | * | 75 | ||||||||||||||||||||||||
(5.21 | ) | 208,009 | 0.78 | 8.12 | 0.78 | 8.12 | 91 | |||||||||||||||||||||||||||
(4.55 | ) | 446,406 | 0.72 | 6.56 | 0.72 | 6.56 | 80 | |||||||||||||||||||||||||||
13.15 | 719,640 | 0.71 | 6.61 | 0.71 | 6.61 | 85 | ||||||||||||||||||||||||||||
12.39 | 495,863 | 0.70 | 7.24 | 0.70 | 7.24 | 133 | ||||||||||||||||||||||||||||
4.15 | 465,299 | 0.84 | 8.19 | 0.80 | 8.23 | 124 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. Total returns are not annualized. |
(c) | After fee waiver and/or expense reimbursement from the Adviser, where applicable. For the period October 31, 2013 through June 29, 2016, the Adviser did not reimburse the Fund for any fees and expenses. |
(d) | Portfolio Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the six months ended December 31, 2016. |
* | Annualized |
See accompanying notes to financial statements.
NUVEEN | 133 |
Financial Highlights (Unaudited) (continued)
Inflation Protected Securities
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||||||
Class (Commencement Date)
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss)(a) | Net Realized/ Unrealized Gain (Loss) | Total | From Net Investment Income | From Accumulated Net Realized Gains | Return of Capital | Total | Ending NAV | |||||||||||||||||||||||||||||||
Class A (10/04) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | $ | 11.30 | $ | 0.08 | $ | (0.35 | ) | $ | (0.27 | ) | $ | (0.08 | ) | $ | — | $ | — | $ | (0.08 | ) | $ | 10.95 | ||||||||||||||||||
2016 | 10.92 | 0.06 | 0.32 | 0.38 | — | — | — | — | 11.30 | |||||||||||||||||||||||||||||||
2015 | 11.26 | (0.03 | ) | (0.20 | ) | (0.23 | ) | (0.07 | ) | — | (0.04 | ) | (0.11 | ) | 10.92 | |||||||||||||||||||||||||
2014 | 11.08 | 0.15 | 0.32 | 0.47 | (0.09 | ) | (0.20 | ) | — | (0.29 | ) | 11.26 | ||||||||||||||||||||||||||||
2013 | 11.80 | 0.07 | (0.66 | ) | (0.59 | ) | (0.13 | ) | — | — | (0.13 | ) | 11.08 | |||||||||||||||||||||||||||
2012 | 10.94 | 0.23 | 1.01 | 1.24 | (0.38 | ) | — | — | (0.38 | ) | 11.80 | |||||||||||||||||||||||||||||
Class C (10/04) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 11.14 | 0.04 | (0.36 | ) | (0.32 | ) | (0.05 | ) | — | — | (0.05 | ) | 10.77 | |||||||||||||||||||||||||||
2016 | 10.84 | (0.05 | ) | 0.35 | 0.30 | — | — | — | — | 11.14 | ||||||||||||||||||||||||||||||
2015 | 11.21 | (0.11 | ) | (0.20 | ) | (0.31 | ) | (0.02 | ) | — | (0.04 | ) | (0.06 | ) | 10.84 | |||||||||||||||||||||||||
2014 | 11.03 | 0.06 | 0.35 | 0.41 | (0.03 | ) | (0.20 | ) | — | (0.23 | ) | 11.21 | ||||||||||||||||||||||||||||
2013 | 11.72 | (0.03 | ) | (0.60 | ) | (0.63 | ) | (0.06 | ) | — | — | (0.06 | ) | 11.03 | ||||||||||||||||||||||||||
2012 | 10.84 | 0.14 | 1.00 | 1.14 | (0.26 | ) | — | — | (0.26 | ) | 11.72 | |||||||||||||||||||||||||||||
Class R3 (10/04) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 11.21 | 0.07 | (0.36 | ) | (0.29 | ) | (0.07 | ) | — | — | (0.07 | ) | 10.85 | |||||||||||||||||||||||||||
2016 | 10.85 | 0.01 | 0.35 | 0.36 | — | — | — | — | 11.21 | |||||||||||||||||||||||||||||||
2015 | 11.21 | (0.11 | ) | (0.16 | ) | (0.27 | ) | (0.05 | ) | — | (0.04 | ) | (0.09 | ) | 10.85 | |||||||||||||||||||||||||
2014 | 11.05 | 0.29 | 0.14 | 0.43 | (0.07 | ) | (0.20 | ) | — | (0.27 | ) | 11.21 | ||||||||||||||||||||||||||||
2013 | 11.74 | 0.04 | (0.62 | ) | (0.58 | ) | (0.11 | ) | — | — | (0.11 | ) | 11.05 | |||||||||||||||||||||||||||
2012 | 10.84 | 0.22 | 0.97 | 1.19 | (0.29 | ) | — | — | (0.29 | ) | 11.74 | |||||||||||||||||||||||||||||
Class R6 (1/15) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 11.46 | 0.11 | (0.37 | ) | (0.26 | ) | (0.09 | ) | — | — | (0.09 | ) | 11.11 | |||||||||||||||||||||||||||
2016 | 11.02 | 0.09 | 0.35 | 0.44 | — | — | — | — | 11.46 | |||||||||||||||||||||||||||||||
2015(e) | 11.18 | — | * | (0.16 | ) | (0.16 | ) | — | — | — | * | — | 11.02 | |||||||||||||||||||||||||||
Class I (10/04) |
| |||||||||||||||||||||||||||||||||||||||
2017(f) | 11.43 | 0.10 | (0.37 | ) | (0.27 | ) | (0.09 | ) | — | — | (0.09 | ) | 11.07 | |||||||||||||||||||||||||||
2016 | 11.02 | 0.08 | 0.33 | 0.41 | — | — | — | — | 11.43 | |||||||||||||||||||||||||||||||
2015 | 11.35 | (0.01 | ) | (0.19 | ) | (0.20 | ) | (0.09 | ) | — | (0.04 | ) | (0.13 | ) | 11.02 | |||||||||||||||||||||||||
2014 | 11.14 | 0.19 | 0.33 | 0.52 | (0.11 | ) | (0.20 | ) | — | (0.31 | ) | 11.35 | ||||||||||||||||||||||||||||
2013 | 11.81 | 0.09 | (0.61 | ) | (0.52 | ) | (0.15 | ) | — | — | (0.15 | ) | 11.14 | |||||||||||||||||||||||||||
2012 | 10.96 | 0.25 | 1.01 | 1.26 | (0.41 | ) | — | — | (0.41 | ) | 11.81 |
134 | NUVEEN |
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 Investment Income (Loss) | Expenses | Net Investment Income (Loss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
(2.39 | )% | $ | 112,325 | 0.95 | %** | 1.32 | %** | 0.78 | %** | 1.48 | %** | 26 | % | |||||||||||||||||||||
3.48 | 93,104 | 0.96 | 0.45 | 0.83 | 0.58 | 26 | ||||||||||||||||||||||||||||
(2.04 | ) | 42,341 | 0.92 | (0.38 | ) | 0.83 | (0.29 | ) | 34 | |||||||||||||||||||||||||
4.35 | 24,020 | 0.86 | 1.30 | 0.83 | 1.33 | 48 | ||||||||||||||||||||||||||||
(5.07 | ) | 21,949 | 0.81 | 0.56 | 0.81 | 0.56 | 52 | |||||||||||||||||||||||||||
11.44 | 19,330 | 1.00 | 1.81 | 0.84 | 1.97 | 47 | ||||||||||||||||||||||||||||
(2.87 | ) | 13,685 | 1.70 | ** | 0.60 | ** | 1.53 | ** | 0.77 | ** | 26 | |||||||||||||||||||||||
2.77 | 13,131 | 1.71 | (0.61 | ) | 1.58 | (0.47 | ) | 26 | ||||||||||||||||||||||||||
(2.75 | ) | 9,366 | 1.66 | (1.06 | ) | 1.58 | (0.98 | ) | 34 | |||||||||||||||||||||||||
3.76 | 6,954 | 1.61 | 0.50 | 1.58 | 0.52 | 48 | ||||||||||||||||||||||||||||
(5.39 | ) | 9,761 | 1.56 | (0.25 | ) | 1.56 | (0.25 | ) | 52 | |||||||||||||||||||||||||
10.62 | 9,703 | 1.75 | 1.05 | 1.59 | 1.21 | 47 | ||||||||||||||||||||||||||||
(2.61 | ) | 10,193 | 1.20 | ** | 1.05 | ** | 1.03 | ** | 1.22 | ** | 26 | |||||||||||||||||||||||
3.32 | 13,094 | 1.22 | (0.05 | ) | 1.08 | 0.08 | 26 | |||||||||||||||||||||||||||
(2.38 | ) | 3,693 | 1.15 | (1.05 | ) | 1.08 | (0.98 | ) | 34 | |||||||||||||||||||||||||
3.97 | 3,447 | 1.13 | 2.63 | 1.08 | 2.68 | 48 | ||||||||||||||||||||||||||||
(5.02 | ) | 519 | 1.06 | 0.32 | 1.06 | 0.32 | 52 | |||||||||||||||||||||||||||
11.10 | 173 | 1.25 | 1.72 | 1.09 | 1.88 | 47 | ||||||||||||||||||||||||||||
(2.25 | ) | 22,213 | 0.48 | ** | 1.82 | ** | 0.32 | ** | 1.99 | ** | 26 | |||||||||||||||||||||||
3.99 | 3,773 | 0.50 | 0.71 | 0.37 | 0.84 | 26 | ||||||||||||||||||||||||||||
(1.39 | ) | 3,074 | 0.52 | ** | (0.12 | )** | 0.41 | ** | (0.01 | )** | 34 | |||||||||||||||||||||||
(2.34 | ) | 459,105 | 0.70 | ** | 1.58 | ** | 0.53 | ** | 1.75 | ** | 26 | |||||||||||||||||||||||
3.72 | 404,801 | 0.71 | 0.57 | 0.58 | 0.70 | 26 | ||||||||||||||||||||||||||||
(1.78 | ) | 331,707 | 0.66 | (0.13 | ) | 0.58 | (0.05 | ) | 34 | |||||||||||||||||||||||||
4.82 | 321,472 | 0.61 | 1.65 | 0.58 | 1.68 | 48 | ||||||||||||||||||||||||||||
(4.46 | ) | 344,204 | 0.56 | 0.77 | 0.56 | 0.77 | 52 | |||||||||||||||||||||||||||
11.62 | 321,386 | 0.75 | 1.99 | 0.59 | 2.15 | 47 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the period January 20, 2015 (commencement of operations) through June 30, 2015. |
(f) | For the six months ended December 31, 2016. |
* | Rounds to less than $0.01 per share. |
** | Annualized. |
See accompanying notes to financial statements.
NUVEEN | 135 |
Financial Highlights (Unaudited) (continued)
Intermediate Government Bond
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||||||
Class (Commencement Date)
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss)(a) | Net Realized/ Unrealized Gain (Loss) | Total | From Net Investment Income | From Accumulated Net Realized Gains | Return of Capital | Total | Ending NAV | |||||||||||||||||||||||||||||||
Class A (10/02) |
| |||||||||||||||||||||||||||||||||||||||
2017(e) | $ | 8.96 | $ | 0.05 | $ | (0.32 | ) | $ | (0.27 | ) | $ | (0.05 | ) | $ | — | $ | — | $ | (0.05 | ) | $ | 8.64 | ||||||||||||||||||
2016 | 8.80 | 0.11 | 0.16 | 0.27 | (0.11 | ) | — | — | (0.11 | ) | 8.96 | |||||||||||||||||||||||||||||
2015 | 8.81 | 0.10 | (0.02 | ) | 0.08 | (0.09 | ) | — | — | (0.09 | ) | 8.80 | ||||||||||||||||||||||||||||
2014 | 8.79 | 0.11 | 0.03 | 0.14 | (0.11 | ) | — | (0.01 | ) | (0.12 | ) | 8.81 | ||||||||||||||||||||||||||||
2013 | 9.02 | 0.14 | (0.20 | ) | (0.06 | ) | (0.17 | ) | — | — | (0.17 | ) | 8.79 | |||||||||||||||||||||||||||
2012 | 8.84 | 0.18 | 0.19 | 0.37 | (0.19 | ) | — | — | (0.19 | ) | 9.02 | |||||||||||||||||||||||||||||
Class C (10/09) |
| |||||||||||||||||||||||||||||||||||||||
2017(e) | 8.98 | 0.02 | (0.32 | ) | (0.30 | ) | (0.02 | ) | — | — | (0.02 | ) | 8.66 | |||||||||||||||||||||||||||
2016 | 8.82 | 0.04 | 0.16 | 0.20 | (0.04 | ) | — | — | (0.04 | ) | 8.98 | |||||||||||||||||||||||||||||
2015 | 8.83 | 0.04 | (0.02 | ) | 0.02 | (0.03 | ) | — | — | (0.03 | ) | 8.82 | ||||||||||||||||||||||||||||
2014 | 8.80 | 0.05 | 0.04 | 0.09 | (0.05 | ) | — | (0.01 | ) | (0.06 | ) | 8.83 | ||||||||||||||||||||||||||||
2013 | 9.03 | 0.07 | (0.21 | ) | (0.14 | ) | (0.09 | ) | — | — | (0.09 | ) | 8.80 | |||||||||||||||||||||||||||
2012 | 8.85 | 0.10 | 0.20 | 0.30 | (0.12 | ) | — | — | (0.12 | ) | 9.03 | |||||||||||||||||||||||||||||
Class R3 (10/09) |
| |||||||||||||||||||||||||||||||||||||||
2017(e) | 8.97 | 0.04 | (0.32 | ) | (0.28 | ) | (0.04 | ) | — | — | (0.04 | ) | 8.65 | |||||||||||||||||||||||||||
2016 | 8.80 | 0.09 | 0.16 | 0.25 | (0.08 | ) | — | — | (0.08 | ) | 8.97 | |||||||||||||||||||||||||||||
2015 | 8.81 | 0.08 | (0.02 | ) | 0.06 | (0.07 | ) | — | — | (0.07 | ) | 8.80 | ||||||||||||||||||||||||||||
2014 | 8.78 | 0.09 | 0.04 | 0.13 | (0.09 | ) | — | (0.01 | ) | (0.10 | ) | 8.81 | ||||||||||||||||||||||||||||
2013 | 9.01 | 0.12 | (0.21 | ) | (0.09 | ) | (0.14 | ) | — | — | (0.14 | ) | 8.78 | |||||||||||||||||||||||||||
2012 | 8.84 | 0.15 | 0.18 | 0.33 | (0.16 | ) | — | — | (0.16 | ) | 9.01 | |||||||||||||||||||||||||||||
Class I (10/02) |
| |||||||||||||||||||||||||||||||||||||||
2017(e) | 8.97 | 0.06 | (0.31 | ) | (0.25 | ) | (0.07 | ) | — | — | (0.07 | ) | 8.65 | |||||||||||||||||||||||||||
2016 | 8.81 | 0.13 | 0.16 | 0.29 | (0.13 | ) | — | — | (0.13 | ) | 8.97 | |||||||||||||||||||||||||||||
2015 | 8.82 | 0.12 | (0.01 | ) | 0.11 | (0.12 | ) | — | — | (0.12 | ) | 8.81 | ||||||||||||||||||||||||||||
2014 | 8.80 | 0.13 | 0.04 | 0.17 | (0.14 | ) | — | (0.01 | ) | (0.15 | ) | 8.82 | ||||||||||||||||||||||||||||
2013 | 9.03 | 0.16 | (0.21 | ) | (0.05 | ) | (0.18 | ) | — | — | (0.18 | ) | 8.80 | |||||||||||||||||||||||||||
2012 | 8.84 | 0.19 | 0.21 | 0.40 | (0.21 | ) | — | — | (0.21 | ) | 9.03 |
136 | NUVEEN |
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 Investment Income (Loss) | Expenses | Net Investment Income (Loss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
(2.99 | )% | $ | 12,454 | 1.00 | %* | 0.95 | %* | 0.79 | %* | 1.15 | %* | 46 | % | |||||||||||||||||||||
3.06 | 13,760 | 1.00 | 1.08 | 0.85 | 1.23 | 58 | ||||||||||||||||||||||||||||
0.93 | 9,010 | 1.02 | 1.00 | 0.85 | 1.17 | 59 | ||||||||||||||||||||||||||||
1.65 | 9,621 | 1.01 | 1.14 | 0.85 | 1.30 | 31 | ||||||||||||||||||||||||||||
(0.74 | ) | 11,034 | 1.01 | 1.41 | 0.85 | 1.57 | 55 | |||||||||||||||||||||||||||
4.24 | 12,735 | 1.11 | 1.65 | 0.77 | 1.99 | 72 | ||||||||||||||||||||||||||||
(3.35 | ) | 1,468 | 1.74 | * | 0.19 | * | 1.54 | * | 0.39 | * | 46 | |||||||||||||||||||||||
2.29 | 1,550 | 1.75 | 0.34 | 1.60 | 0.49 | 58 | ||||||||||||||||||||||||||||
0.18 | 667 | 1.77 | 0.25 | 1.60 | 0.42 | 59 | ||||||||||||||||||||||||||||
0.98 | 639 | 1.76 | 0.40 | 1.60 | 0.56 | 31 | ||||||||||||||||||||||||||||
(1.53 | ) | 1,090 | 1.76 | 0.66 | 1.60 | 0.82 | 55 | |||||||||||||||||||||||||||
3.35 | 1,438 | 1.86 | 0.90 | 1.60 | 1.16 | 72 | ||||||||||||||||||||||||||||
(3.12 | ) | 186 | 1.25 | * | 0.69 | * | 1.04 | * | 0.90 | * | 46 | |||||||||||||||||||||||
2.90 | 143 | 1.25 | 0.83 | �� | 1.10 | 0.98 | 58 | |||||||||||||||||||||||||||
0.66 | 137 | 1.27 | 0.75 | 1.10 | 0.92 | 59 | ||||||||||||||||||||||||||||
1.49 | 137 | 1.26 | 0.89 | 1.10 | 1.05 | 31 | ||||||||||||||||||||||||||||
(1.00 | ) | 168 | 1.26 | 1.17 | 1.10 | 1.32 | 55 | |||||||||||||||||||||||||||
3.79 | 214 | 1.36 | 1.39 | 1.10 | 1.66 | 72 | ||||||||||||||||||||||||||||
(2.86 | ) | 59,180 | 0.74 | * | 1.19 | * | 0.54 | * | 1.40 | * | 46 | |||||||||||||||||||||||
3.34 | 65,305 | 0.75 | 1.33 | 0.60 | 1.48 | 58 | ||||||||||||||||||||||||||||
1.20 | 65,850 | 0.77 | 1.24 | 0.60 | 1.40 | 59 | ||||||||||||||||||||||||||||
1.90 | 86,186 | 0.76 | 1.36 | 0.60 | 1.52 | 31 | ||||||||||||||||||||||||||||
(0.53 | ) | 52,291 | 0.76 | 1.67 | 0.60 | 1.83 | 55 | |||||||||||||||||||||||||||
4.50 | 70,060 | 0.86 | 1.90 | 0.60 | 2.16 | 72 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the six months ended December 31, 2016. |
* | Annualized. |
See accompanying notes to financial statements.
NUVEEN | 137 |
Financial Highlights (Unaudited) (continued)
Short Term Bond
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||
Class (Commencement Date)
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss)(a) | Net Realized/ Unrealized Gain (Loss) | Total | From Net Investment Income | From Accumulated Net Realized Gains | Total | Ending NAV | ||||||||||||||||||||||||||||
Class A (12/92) |
| |||||||||||||||||||||||||||||||||||
2017(g) | $ | 9.88 | $ | 0.08 | $ | (0.04 | ) | $ | 0.04 | $ | (0.08 | ) | $ | — | $ | (0.08 | ) | $ | 9.84 | |||||||||||||||||
2016 | 9.93 | 0.16 | (0.06 | ) | 0.10 | (0.15 | ) | — | (0.15 | ) | 9.88 | |||||||||||||||||||||||||
2015 | 10.05 | 0.16 | (0.13 | ) | 0.03 | (0.15 | ) | — | (0.15 | ) | 9.93 | |||||||||||||||||||||||||
2014 | 9.97 | 0.19 | 0.08 | 0.27 | (0.19 | ) | — | (0.19 | ) | 10.05 | ||||||||||||||||||||||||||
2013 | 9.95 | 0.20 | 0.03 | 0.23 | (0.21 | ) | — | (0.21 | ) | 9.97 | ||||||||||||||||||||||||||
2012 | 10.06 | 0.24 | (0.10 | ) | 0.14 | (0.25 | ) | — | (0.25 | ) | 9.95 | |||||||||||||||||||||||||
Class C (10/09) |
| |||||||||||||||||||||||||||||||||||
2017(g) | 9.92 | 0.04 | (0.04 | ) | — | (0.04 | ) | — | (0.04 | ) | 9.88 | |||||||||||||||||||||||||
2016 | 9.97 | 0.09 | (0.07 | ) | 0.02 | (0.07 | ) | — | (0.07 | ) | 9.92 | |||||||||||||||||||||||||
2015 | 10.08 | 0.08 | (0.12 | ) | (0.04 | ) | (0.07 | ) | — | (0.07 | ) | 9.97 | ||||||||||||||||||||||||
2014 | 10.00 | 0.11 | 0.08 | 0.19 | (0.11 | ) | — | (0.11 | ) | 10.08 | ||||||||||||||||||||||||||
2013 | 9.97 | 0.12 | 0.04 | 0.16 | (0.13 | ) | — | (0.13 | ) | 10.00 | ||||||||||||||||||||||||||
2012 | 10.09 | 0.16 | (0.11 | ) | 0.05 | (0.17 | ) | — | (0.17 | ) | 9.97 | |||||||||||||||||||||||||
Class R3 (9/11) |
| |||||||||||||||||||||||||||||||||||
2017(g) | 9.90 | 0.07 | (0.05 | ) | 0.02 | (0.06 | ) | — | (0.06 | ) | 9.86 | |||||||||||||||||||||||||
2016 | 9.95 | 0.14 | (0.07 | ) | 0.07 | (0.12 | ) | — | (0.12 | ) | 9.90 | |||||||||||||||||||||||||
2015 | 10.07 | 0.13 | (0.13 | ) | — | (0.12 | ) | — | (0.12 | ) | 9.95 | |||||||||||||||||||||||||
2014 | 9.99 | 0.16 | 0.08 | 0.24 | (0.16 | ) | — | (0.16 | ) | 10.07 | ||||||||||||||||||||||||||
2013 | 9.96 | 0.17 | 0.04 | 0.21 | (0.18 | ) | — | (0.18 | ) | 9.99 | ||||||||||||||||||||||||||
2012(e) | 9.85 | 0.16 | 0.13 | 0.29 | (0.18 | ) | — | (0.18 | ) | 9.96 | ||||||||||||||||||||||||||
Class R6 (1/15) |
| |||||||||||||||||||||||||||||||||||
2017(g) | 9.90 | 0.09 | (0.04 | ) | 0.05 | (0.09 | ) | — | (0.09 | ) | 9.86 | |||||||||||||||||||||||||
2016 | 9.95 | 0.19 | (0.06 | ) | 0.13 | (0.18 | ) | — | (0.18 | ) | 9.90 | |||||||||||||||||||||||||
2015(f) | 9.93 | 0.09 | — | * | 0.09 | (0.07 | ) | — | (0.07 | ) | 9.95 | |||||||||||||||||||||||||
Class I (2/94) |
| |||||||||||||||||||||||||||||||||||
2017(g) | 9.89 | 0.09 | (0.04 | ) | 0.05 | (0.09 | ) | — | (0.09 | ) | 9.85 | |||||||||||||||||||||||||
2016 | 9.94 | 0.19 | (0.06 | ) | 0.13 | (0.18 | ) | — | (0.18 | ) | 9.89 | |||||||||||||||||||||||||
2015 | 10.06 | 0.18 | (0.12 | ) | 0.06 | (0.18 | ) | — | (0.18 | ) | 9.94 | |||||||||||||||||||||||||
2014 | 9.98 | 0.21 | 0.08 | 0.29 | (0.21 | ) | — | (0.21 | ) | 10.06 | ||||||||||||||||||||||||||
2013 | 9.95 | 0.22 | 0.04 | 0.26 | (0.23 | ) | — | (0.23 | ) | 9.98 | ||||||||||||||||||||||||||
2012 | 10.07 | 0.26 | (0.11 | ) | 0.15 | (0.27 | ) | — | (0.27 | ) | 9.95 |
138 | NUVEEN |
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 Investment Income (Loss) | Expenses | Net Investment Income (Loss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
0.38 | % | $ | 102,179 | 0.77 | %** | 1.52 | %** | 0.72 | %** | 1.56 | %** | 26 | % | |||||||||||||||||||||
1.04 | 96,201 | 0.76 | 1.60 | 0.72 | 1.64 | 43 | ||||||||||||||||||||||||||||
0.32 | 100,544 | 0.73 | 1.56 | 0.71 | 1.58 | 43 | ||||||||||||||||||||||||||||
2.69 | 116,365 | 0.73 | 1.84 | 0.71 | 1.86 | 43 | ||||||||||||||||||||||||||||
2.30 | 141,099 | 0.73 | 1.96 | 0.71 | 1.99 | 42 | ||||||||||||||||||||||||||||
1.42 | 112,851 | 0.82 | 2.33 | 0.73 | 2.42 | 56 | ||||||||||||||||||||||||||||
(0.01 | ) | 32,207 | 1.52 | ** | 0.77 | ** | 1.47 | ** | 0.82 | ** | 26 | |||||||||||||||||||||||
0.25 | 30,495 | 1.51 | 0.86 | 1.47 | 0.90 | 43 | ||||||||||||||||||||||||||||
(0.36 | ) | 33,547 | 1.48 | 0.81 | 1.46 | 0.83 | 43 | |||||||||||||||||||||||||||
1.89 | 39,347 | 1.48 | 1.11 | 1.46 | 1.13 | 43 | ||||||||||||||||||||||||||||
1.61 | 44,414 | 1.48 | 1.22 | 1.46 | 1.24 | 42 | ||||||||||||||||||||||||||||
0.50 | 42,346 | 1.56 | 1.56 | 1.55 | 1.57 | 56 | ||||||||||||||||||||||||||||
0.23 | 370 | 1.02 | ** | 1.27 | ** | 0.97 | ** | 1.32 | ** | 26 | ||||||||||||||||||||||||
0.74 | 285 | 1.01 | 1.34 | 0.97 | 1.38 | 43 | ||||||||||||||||||||||||||||
0.02 | 131 | 0.98 | 1.29 | 0.96 | 1.31 | 43 | ||||||||||||||||||||||||||||
2.38 | 1,049 | 0.98 | 1.59 | 0.96 | 1.61 | 43 | ||||||||||||||||||||||||||||
2.10 | 516 | 0.98 | 1.71 | 0.96 | 1.73 | 42 | ||||||||||||||||||||||||||||
2.92 | 446 | 1.06 | ** | 2.07 | ** | 1.05 | ** | 2.07 | ** | 56 | ||||||||||||||||||||||||
0.51 | 42,282 | 0.47 | ** | 1.82 | ** | 0.43 | ** | 1.87 | ** | 26 | ||||||||||||||||||||||||
1.29 | 66,836 | 0.47 | 1.91 | 0.43 | 1.95 | 43 | ||||||||||||||||||||||||||||
0.96 | 27,475 | 0.46 | ** | 1.95 | ** | 0.43 | ** | 1.98 | ** | 43 | ||||||||||||||||||||||||
0.51 | 374,873 | 0.52 | ** | 1.77 | ** | 0.47 | ** | 1.82 | ** | 26 | ||||||||||||||||||||||||
1.29 | 416,624 | 0.51 | 1.85 | 0.47 | 1.89 | 43 | ||||||||||||||||||||||||||||
0.57 | 529,027 | 0.48 | 1.80 | 0.46 | 1.82 | 43 | ||||||||||||||||||||||||||||
2.93 | 915,119 | 0.48 | 2.09 | 0.46 | 2.11 | 43 | ||||||||||||||||||||||||||||
2.65 | 720,722 | 0.48 | 2.22 | 0.46 | 2.23 | 42 | ||||||||||||||||||||||||||||
1.51 | 727,242 | 0.57 | 2.59 | 0.55 | 2.61 | 56 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the period September 23, 2011 (commencement of operations) through June 30, 2012. |
(f) | For the period January 20, 2015 (commencement of operations) through June 30, 2015. |
(g) | For the six months ended December 31, 2016. |
* | Rounds to less than $0.01 per share. |
** | Annualized. |
See accompanying notes to financial statements.
NUVEEN | 139 |
Financial Highlights (Unaudited) (continued)
Strategic Income
Selected data for a share outstanding throughout each period:
Investment Operations | Less Distributions | |||||||||||||||||||||||||||||||||||
Class (Commencement Date)
Year Ended June 30, | Beginning NAV | Net Investment Income (Loss) | Net Realized/ Unrealized Gain (Loss) | Total | Net Investment Income | From Accumulated Net Realized Gains | Total | Ending Net Asset Value | ||||||||||||||||||||||||||||
Class A (2/00) | ||||||||||||||||||||||||||||||||||||
2017(f) | $ | 10.52 | $ | 0.23 | $ | 0.09 | $ | 0.32 | $ | (0.27 | ) | $ | — | $ | (0.27 | ) | $ | 10.57 | ||||||||||||||||||
2016 | 10.97 | 0.50 | (0.42 | ) | 0.08 | (0.53 | ) | — | (0.53 | ) | 10.52 | |||||||||||||||||||||||||
2015 | 11.60 | 0.49 | (0.58 | ) | (0.09 | ) | (0.54 | ) | — | (0.54 | ) | 10.97 | ||||||||||||||||||||||||
2014 | 11.02 | 0.53 | 0.59 | 1.12 | (0.54 | ) | — | (0.54 | ) | 11.60 | ||||||||||||||||||||||||||
2013 | 10.83 | 0.52 | 0.16 | 0.68 | (0.49 | ) | — | (0.49 | ) | 11.02 | ||||||||||||||||||||||||||
2012 | 10.72 | 0.44 | 0.10 | 0.54 | (0.43 | ) | — | (0.43 | ) | 10.83 | ||||||||||||||||||||||||||
Class C (2/00) | ||||||||||||||||||||||||||||||||||||
2017(f) | 10.46 | 0.19 | 0.09 | 0.28 | (0.23 | ) | — | (0.23 | ) | 10.51 | ||||||||||||||||||||||||||
2016 | 10.90 | 0.42 | (0.41 | ) | 0.01 | (0.45 | ) | — | (0.45 | ) | 10.46 | |||||||||||||||||||||||||
2015 | 11.52 | 0.40 | (0.57 | ) | (0.17 | ) | (0.45 | ) | — | (0.45 | ) | 10.90 | ||||||||||||||||||||||||
2014 | 10.94 | 0.44 | 0.60 | 1.04 | (0.46 | ) | — | (0.46 | ) | 11.52 | ||||||||||||||||||||||||||
2013 | 10.76 | 0.43 | 0.16 | 0.59 | (0.41 | ) | — | (0.41 | ) | 10.94 | ||||||||||||||||||||||||||
2012 | 10.65 | 0.36 | 0.09 | 0.45 | (0.34 | ) | — | (0.34 | ) | 10.76 | ||||||||||||||||||||||||||
Class R3 (9/01) | ||||||||||||||||||||||||||||||||||||
2017(f) | 10.56 | 0.22 | 0.09 | 0.31 | (0.26 | ) | — | (0.26 | ) | 10.61 | ||||||||||||||||||||||||||
2016 | 11.01 | 0.48 | (0.42 | ) | 0.06 | (0.51 | ) | — | (0.51 | ) | 10.56 | |||||||||||||||||||||||||
2015 | 11.64 | 0.46 | (0.57 | ) | (0.11 | ) | (0.52 | ) | — | (0.52 | ) | 11.01 | ||||||||||||||||||||||||
2014 | 11.05 | 0.51 | 0.60 | 1.11 | (0.52 | ) | — | (0.52 | ) | 11.64 | ||||||||||||||||||||||||||
2013 | 10.88 | 0.49 | 0.15 | 0.64 | (0.47 | ) | — | (0.47 | ) | 11.05 | ||||||||||||||||||||||||||
2012 | 10.77 | 0.41 | 0.10 | 0.51 | (0.40 | ) | — | (0.40 | ) | 10.88 | ||||||||||||||||||||||||||
Class R6 (1/15) | ||||||||||||||||||||||||||||||||||||
2017(f) | 10.52 | 0.25 | 0.09 | 0.34 | (0.28 | ) | — | (0.28 | ) | 10.58 | ||||||||||||||||||||||||||
2016 | 10.96 | 0.53 | (0.41 | ) | 0.12 | (0.56 | ) | — | (0.56 | ) | 10.52 | |||||||||||||||||||||||||
2015(e) | 11.22 | 0.24 | (0.25 | ) | (0.01 | ) | (0.25 | ) | — | (0.25 | ) | 10.96 | ||||||||||||||||||||||||
Class I (2/00) | ||||||||||||||||||||||||||||||||||||
2017(f) | 10.51 | 0.25 | 0.08 | 0.33 | (0.28 | ) | — | (0.28 | ) | 10.56 | ||||||||||||||||||||||||||
2016 | 10.96 | 0.53 | (0.42 | ) | 0.11 | (0.56 | ) | — | (0.56 | ) | 10.51 | |||||||||||||||||||||||||
2015 | 11.59 | 0.52 | (0.58 | ) | (0.06 | ) | (0.57 | ) | — | (0.57 | ) | 10.96 | ||||||||||||||||||||||||
2014 | 11.01 | 0.56 | 0.59 | 1.15 | (0.57 | ) | — | (0.57 | ) | 11.59 | ||||||||||||||||||||||||||
2013 | 10.83 | 0.55 | 0.15 | 0.70 | (0.52 | ) | — | (0.52 | ) | 11.01 | ||||||||||||||||||||||||||
2012 | 10.71 | 0.45 | 0.12 | 0.57 | (0.45 | ) | — | (0.45 | ) | 10.83 |
140 | NUVEEN |
Ratios/Supplemental Data | ||||||||||||||||||||||||||||||||||
Ratios to Average | Ratios to Average Net Assets After Waive/Reimbursement(c) | |||||||||||||||||||||||||||||||||
Total Return(a) | Ending Net Assets (000) | Expenses | Net Investment Income (Loss) | Expenses | Net Investment Income (Loss) | Portfolio Turnover Rate(d) | ||||||||||||||||||||||||||||
3.02 | % | $ | 175,484 | 0.93 | %* | 4.25 | %* | 0.83 | %* | 4.35 | %* | 45 | % | |||||||||||||||||||||
0.94 | 187,052 | 0.92 | 4.71 | 0.83 | 4.80 | 56 | ||||||||||||||||||||||||||||
(0.80 | ) | 288,080 | 0.92 | 4.25 | 0.82 | 4.34 | 47 | |||||||||||||||||||||||||||
10.46 | 128,189 | 0.91 | 4.65 | 0.84 | 4.73 | 50 | ||||||||||||||||||||||||||||
6.25 | 72,341 | 0.90 | 4.50 | 0.84 | 4.57 | 69 | ||||||||||||||||||||||||||||
5.14 | 52,802 | 0.93 | 4.01 | 0.85 | 4.10 | 199 | ||||||||||||||||||||||||||||
2.63 | 82,902 | 1.68 | * | 3.51 | * | 1.58 | * | 3.61 | * | 45 | ||||||||||||||||||||||||
0.20 | 89,173 | 1.67 | 3.97 | 1.58 | 4.06 | 56 | ||||||||||||||||||||||||||||
(1.50 | ) | 110,660 | 1.67 | 3.51 | 1.57 | 3.60 | 47 | |||||||||||||||||||||||||||
9.59 | 48,335 | 1.66 | 3.91 | 1.59 | 3.98 | 50 | ||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||||||
2.89 | 7,081 | 1.18 | * | 4.00 | * | 1.08 | * | 4.10 | * | 45 | ||||||||||||||||||||||||
0.70 | 7,647 | 1.17 | 4.44 | 1.08 | 4.54 | 56 | ||||||||||||||||||||||||||||
(1.01 | ) | 12,272 | 1.17 | 4.00 | 1.07 | 4.09 | 47 | |||||||||||||||||||||||||||
10.19 | 5,321 | 1.16 | 4.41 | 1.09 | 4.48 | 50 | ||||||||||||||||||||||||||||
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 | ||||||||||||||||||||||||||||
3.23 | 32,412 | 0.60 | * | 4.58 | * | 0.50 | * | 4.68 | * | 45 | ||||||||||||||||||||||||
1.28 | 33,372 | 0.60 | 5.07 | 0.50 | 5.17 | 56 | ||||||||||||||||||||||||||||
(0.10 | ) | 20,498 | 0.61 | * | 4.70 | * | 0.50 | * | 4.81 | * | 47 | |||||||||||||||||||||||
3.13 | 464,922 | 0.68 | * | 4.50 | * | 0.58 | * | 4.60 | * | 45 | ||||||||||||||||||||||||
1.19 | 475,536 | 0.67 | 4.95 | 0.58 | 5.05 | 56 | ||||||||||||||||||||||||||||
(0.54 | ) | 773,719 | 0.67 | 4.48 | 0.57 | 4.57 | 47 | |||||||||||||||||||||||||||
10.77 | 612,214 | 0.66 | 4.92 | 0.59 | 5.00 | 50 | ||||||||||||||||||||||||||||
6.42 | 517,292 | 0.65 | 4.75 | 0.59 | 4.81 | 69 | ||||||||||||||||||||||||||||
5.35 | 534,608 | 0.69 | 4.19 | 0.63 | 4.26 | 199 |
(a) | Per share Net Investment Income (Loss) is calculated using the average daily shares method. |
(b) | Total return is the combination of changes in NAV without any sales charge, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, 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 or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period. |
(e) | For the period January 20, 2015 (commencement of operations) through June 30, 2015. |
(f) | For the six months ended December 31, 2016. |
* | Annualized. |
See accompanying notes to financial statements.
NUVEEN | 141 |
Financial Statements (Unaudited)
1. General Information and Significant Accounting Policies
General Information
Trust and Fund Information
Nuveen Investment Funds, Inc. (the “Trust”) is an open-end management investment company registered under the Investment Company Act of 1940, as amended. The Trust is comprised of Nuveen Core Bond Fund (“Core Bond”), Nuveen Core Plus Bond Fund (“Core Plus Bond”), Nuveen High Income Bond Fund (“High Income 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”) (each a “Fund” and collectively, the “Funds”), as diversified funds, among others. The Trust was incorporated in the State of Maryland on August 20, 1987.
The end of the reporting period for the Funds is December 31, 2016, and the period covered by these Notes to Financial Statements is the six months ended December 31, 2016 (the “current fiscal period”).
Investment Adviser
The Funds’ investment adviser is Nuveen Fund Advisors, LLC (the “Adviser”), a wholly-owned subsidiary of Nuveen, LLC (“Nuveen”). Nuveen is the investment management arm of Teachers Insurance and Annuity Association of America (TIAA). The Adviser has overall responsibility for management of the Funds, overseas the management of the Fund’s portfolios, manages the Fund’s business affairs and provides certain clerical, bookkeeping and other administrative services, and, if necessary, asset allocation decisions. The Adviser has entered into sub-advisory agreements with Nuveen Asset Management, LLC (the “Sub-Adviser”), a subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds.
Investment Objectives
Core Bond’s investment objective is to provide investors with current income to the extent consistent with preservation of capital. Core Plus Bond’s investment objective is to provide investors with high current income consistent with limited risk to capital. High Income Bond’s investment objective is to provide investors with a high level of current income. Inflation Protected Securities’ investment objective is to provide investors with total return while providing protection against inflation. Intermediate Government Bond’s investment objective is to provide investors with current income to the extent consistent with the preservation of capital. Short Term Bond’s investment objective is to provide investors with current income while maintaining a high degree of principal stability. Strategic Income’s investment objective is to provide investors with total return.
The Funds’ most recent prospectus provides further descriptions of each Fund’s investment objective, principal investment strategies and principal risks.
Significant Accounting Policies
Each Fund is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 946 “Financial Services – Investment Companies.” The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).
Investment Transactions
Investment transactions are recorded on a trade date basis. Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have earmarked securities in their portfolios with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments.
As of the end of the reporting period, the following Funds’ outstanding when-issued/delayed delivery purchase commitments were as follows:
Core Bond | Core Plus Bond | Strategic Income | ||||||||||
Outstanding when-issued/delayed delivery purchase commitments | $ | 1,656,637 | $ | 39,906,151 | $ | 36,029,069 |
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
142 | NUVEEN |
reflects paydown 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. If a refund is received for workout expenditures paid in a prior reporting period, such amounts will be recognized as “Legal fee refund” on the Statement of Operations.
Dividends and Distributions to Shareholders
Dividends from net investment income, if any, are declared daily and distributed to 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 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 carryforwards.
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 0.25% 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 (“NAV”) without an up-front sales charge. Class A Share purchases of Short Term Bond of $250,000 or more are sold at NAV without an up-front sales charge. Class A Share purchases may be subject to a contingent deferred sales charge (“CDSC”) equal to 1% if redeemed within eighteen months of purchase. Class C Shares are sold without an up-front sales charge but incur a 0.75% annual 12b-1 distribution fee and a 0.25% 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 0.25% annual 12b-1 distribution fee and a 0.25% annual 12b-1 service fee. Class R6 Shares and Class I Shares are not subject to any sales charge or 12b-1 distribution or service fees.
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 are recorded to the specific class. Currently, the only expenses that are allocated on a class-specific basis are 12b-1 distribution and service fees.
Sub-transfer agent fees, which are recognized as a component of “Shareholder servicing agent fees” on the Statement of Operations, are not charged to Class R6 Shares and are prorated among the other classes based on their relative net assets.
Realized and unrealized capital gains and losses of the Funds are prorated among the classes based on the relative net assets of each class.
Indemnifications
Under the Trust’s organizational documents, its officers and directors are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, in the normal course of business, the Trust enters into contracts that provide general indemnifications to other parties. The Trust’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred. However, the Trust has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.
Netting Agreements
In the ordinary course of business, the Funds may enter into transactions subject to enforceable International Swaps and Derivative Association, Inc. (“ISDA”) master agreements or other similar arrangements (“netting agreements”). Generally, the right to offset in netting agreements allows each Fund to offset certain securities and derivatives with a specific counterparty, when applicable, as well as any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, each Fund manages its cash collateral and securities collateral on a counterparty basis.
The Funds’ investments subject to netting agreements as of the end of the reporting period, if any, are further described in Note 3 – Portfolio Securities and Investments in Derivatives.
Use of Estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results may differ from those estimates.
NUVEEN | 143 |
Notes to Financial Statements (Unaudited) (continued)
2. Investment Valuation and Fair Value Measurements
The fair valuation input levels as described below are for fair value measurement purposes.
Fair value is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The following is a summary of the three-tiered hierarchy of valuation input levels.
Level 1 – | Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities. | |
Level 2 – | Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). | |
Level 3 – | Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments). |
Common stocks and other equity-type securities are valued at the last sales price on the securities exchange on which such securities are primarily traded and are generally classified as Level 1. Securities primarily traded on the NASDAQ National Market (“NASDAQ”) are valued 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.
Investments in investment companies are valued at their respective NAVs on the valuation date and are generally classified as Level 1.
Prices of fixed-income securities are provided by an independent pricing service (“pricing service”) approved by the Funds’ Board of Directors (the “Board”). The pricing service establishes a security’s fair value using methods that may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics considered relevant. These securities are generally classified as Level 2. In pricing certain securities, particularly less liquid and lower quality securities, the pricing service may consider information about a security, its issuer or market activity, provided by the Adviser. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs.
Prices of forward foreign currency exchange contracts and swap contracts are also provided by a pricing service approved by the Board using the same methods as described above and are generally classified as Level 2.
Futures contracts are valued using the closing settlement price or, in the absence of such a price, the last traded price and are generally classified as Level 1.
Investments initially valued in currencies other than the U.S. dollar are converted to the U.S. dollar using exchange rates obtained from pricing services. As a result, the NAV of the Funds’ shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of securities traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the New York Stock Exchange is closed and an investor is not able to purchase, redeem or exchange shares. 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’ NAV is 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 Board. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs.
Certain securities may not be able to be priced by the pre-established pricing methods as described above. Such securities may be valued by the Board and/or its appointee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be publicly sold without registration under the Securities Act of 1933, as amended) for which a pricing service is unable to provide a market price; securities whose trading has been formally suspended; debt securities that have gone into default and for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially affect the value of the security after the market has closed but before the calculation of a Fund’s NAV (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable market quotation; and a security whose price, as provided by the pricing service, is not deemed to reflect the security’s fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might reasonably expect to receive for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics considered relevant. These securities are generally classified
144 | NUVEEN |
as Level 2 or Level 3 depending on the observability of the significant inputs. Regardless of the method employed to value a particular security, all valuations are subject to review by the Board and/or its appointee.
The inputs or methodologies used for valuing securities are not an indication of the risks associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:
Core Bond | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Long-Term Investments*: | ||||||||||||||||
Corporate Bonds | $ | — | $ | 63,195,660 | $ | — | $ | 63,195,660 | ||||||||
$1,000 Par (or similar) Institutional Preferred | — | 686,910 | — | 686,910 | ||||||||||||
Municipal Bonds | — | 3,060,322 | — | 3,060,322 | ||||||||||||
U.S. Government and Agency Obligations | — | 18,101,296 | — | 18,101,296 | ||||||||||||
Asset-Backed and Mortgage-Backed Securities | — | 66,065,746 | — | 66,065,746 | ||||||||||||
Investments Purchased with Collateral from Securities Lending | 1,796,875 | — | — | 1,796,875 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 5,204,572 | — | — | 5,204,572 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Futures Contracts** | (69,884 | ) | — | — | (69,884 | ) | ||||||||||
Total | $ | 6,931,563 | $ | 151,109,934 | $ | — | $ | 158,041,497 | ||||||||
Core Plus Bond | ||||||||||||||||
Long-Term Investments*: | ||||||||||||||||
Corporate Bonds | $ | — | $ | 192,344,471 | $ | — | $ | 192,344,471 | ||||||||
$1,000 Par (or similar) Institutional Preferred | — | 24,684,298 | — | 24,684,298 | ||||||||||||
Municipal Bonds | — | 7,293,938 | — | 7,293,938 | ||||||||||||
Asset-Backed and Mortgage-Backed Securities | — | 128,057,439 | — | 128,057,439 | ||||||||||||
Sovereign Debt | — | 2,656,262 | — | 2,656,262 | ||||||||||||
Investments Purchased with Collateral from Securities Lending | 5,646,435 | — | — | 5,646,435 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 43,566,816 | — | — | 43,566,816 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Forward Foreign Currency Exchange Contracts** | — | 63,080 | — | 63,080 | ||||||||||||
Credit Default Swaps** | — | (66,352 | ) | — | (66,352 | ) | ||||||||||
Futures Contracts** | (8,609 | ) | — | — | (8,609 | ) | ||||||||||
Total | $ | 49,204,642 | $ | 355,033,136 | $ | — | $ | 404,237,778 | ||||||||
High Income Bond | ||||||||||||||||
Long-Term Investments*: | ||||||||||||||||
Common Stocks | $ | 4,751,132 | $ | — | $ | 63,870 | *** | $ | 4,815,002 | |||||||
Exchange-Traded Funds | 1,000,260 | — | — | 1,000,260 | ||||||||||||
Convertible Preferred Securities | 7,013,360 | — | — | 7,013,360 | ||||||||||||
Variable Rate Senior Loan Interests | — | 13,397,887 | — | 13,397,887 | ||||||||||||
$25 Par (or similar) Retail Preferred | 11,946,319 | — | — | 11,946,319 | ||||||||||||
Corporate Bonds | — | 343,935,113 | — | *** | 343,935,113 | |||||||||||
Convertible Bonds | — | 2,221,875 | — | 2,221,875 | ||||||||||||
$1,000 Par (or similar) Institutional Preferred | — | 22,123,260 | — | 22,123,260 | ||||||||||||
Asset-Backed Securities | — | 435 | — | 435 | ||||||||||||
Investment Companies | 12,185,208 | — | — | 12,185,208 | ||||||||||||
Warrants | 11,531 | 348 | *** | 8,786 | *** | 20,647 | ||||||||||
Investments Purchased with Collateral from Securities Lending | 40,763,041 | — | — | 40,763,041 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 33,718,096 | — | — | 33,718,096 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Forward Foreign Currency Exchange Contracts** | — | 19,594 | — | 19,594 | ||||||||||||
Credit Default Swaps** | — | 46,251 | — | 46,251 | ||||||||||||
Futures Contracts** | (19,632 | ) | — | — | (19,632 | ) | ||||||||||
Total | $ | 111,369,297 | $ | 381,744,763 | $ | 72,656 | $ | 493,186,716 |
* | Refer to the Fund’s Portfolio of Investments for industry, state and/or country classifications, where applicable. |
** | Represents net unrealized appreciation (depreciation) as reported in the Fund’s Portfolio of Investments. |
*** | Refer to the Fund’s Portfolio of Investments for securities classified as Level 2 and/or Level 3. |
NUVEEN | 145 |
Notes to Financial Statements (Unaudited) (continued)
Inflation Protected Securities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Long-Term Investments*: | ||||||||||||||||
Convertible Preferred Securities | $ | 233,360 | $ | — | $ | — | $ | 233,360 | ||||||||
Corporate Bonds | — | 26,153,619 | — | 26,153,619 | ||||||||||||
Municipal Bonds | — | 1,248,513 | — | 1,248,513 | ||||||||||||
U.S. Government and Agency Obligations | — | 539,893,584 | — | 539,893,584 | ||||||||||||
Asset-Backed and Mortgage-Backed Securities | — | 35,768,081 | — | 35,768,081 | ||||||||||||
Sovereign Debt | — | 4,788,456 | — | 4,788,456 | ||||||||||||
Investments Purchased with Collateral from Securities Lending | 1,905,713 | — | — | 1,905,713 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 5,334,072 | — | — | 5,334,072 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Futures Contracts** | (80,518 | ) | — | — | (80,518 | ) | ||||||||||
Total | $ | 7,392,627 | $ | 607,852,253 | $ | — | $ | 615,244,880 | ||||||||
Intermediate Government Bond | ||||||||||||||||
Long-Term Investments*: | ||||||||||||||||
Municipal Bonds | $ | — | $ | 1,591,055 | $ | — | $ | 1,591,055 | ||||||||
U.S. Government and Agency Obligations | — | 57,425,290 | — | 57,425,290 | ||||||||||||
Asset-Backed and Mortgage-Backed Securities | — | 12,755,275 | — | 12,755,275 | ||||||||||||
Investments Purchased with Collateral from Securities Lending | 2,377,663 | — | — | 2,377,663 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 1,121,933 | — | — | 1,121,933 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Futures Contracts** | 11,800 | — | — | 11,800 | ||||||||||||
Total | $ | 3,511,396 | $ | 71,771,620 | $ | — | $ | 75,283,016 | ||||||||
Short Term Bond | ||||||||||||||||
Long-Term Investments*: | ||||||||||||||||
Corporate Bonds | $ | — | $ | 253,010,549 | $ | — | $ | 253,010,549 | ||||||||
Municipal Bonds | — | 10,128,942 | — | 10,128,942 | ||||||||||||
U.S. Government and Agency Obligations | — | 43,921,155 | — | 43,921,155 | ||||||||||||
Asset-Backed and Mortgage-Backed Securities | — | 232,284,120 | — | 232,284,120 | ||||||||||||
Investments Purchased with Collateral from Securities Lending | 7,223,475 | — | — | 7,223,475 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 11,957,348 | — | — | 11,957,348 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Futures Contracts** | 12,155 | — | — | 12,155 | ||||||||||||
Total | $ | 19,192,978 | $ | 539,344,766 | $ | — | $ | 558,537,744 | ||||||||
Strategic Income | ||||||||||||||||
Long-Term Investments*: | ||||||||||||||||
Common Stocks | $ | — | $ | — | $ | 5,993 | *** | $ | 5,993 | |||||||
Convertible Preferred Securities | 1,218,775 | — | — | 1,218,775 | ||||||||||||
Variable Rate Senior Loan Interests | — | 9,975,302 | — | 9,975,302 | ||||||||||||
$25 Par (or similar) Retail Preferred | — | 2,190,038 | — | 2,190,038 | ||||||||||||
Corporate Bonds | — | 533,836,822 | — | *** | 533,836,822 | |||||||||||
Municipal Bonds | — | 17,978,975 | — | 17,978,975 | ||||||||||||
$1,000 Par (or similar) Institutional Preferred | — | 55,050,332 | — | 55,050,332 | ||||||||||||
Asset-Backed and Mortgage-Backed Securities | — | 112,241,873 | — | 112,241,873 | ||||||||||||
Sovereign Debt | — | 17,937,737 | — | 17,937,737 | ||||||||||||
Investments Purchased with Collateral from Securities Lending | 40,591,618 | — | — | 40,591,618 | ||||||||||||
Short-Term Investments: | ||||||||||||||||
Money Market Funds | 14,552,593 | — | — | 14,552,593 | ||||||||||||
Investments in Derivatives: | ||||||||||||||||
Forward Foreign Currency Exchange Contracts** | — | 69,293 | — | 69,293 | ||||||||||||
Credit Default Swaps** | — | (415,393 | ) | — | (415,393 | ) | ||||||||||
Futures Contracts** | 140,274 | — | — | 140,274 | ||||||||||||
Total | $ | 56,503,260 | $ | 8,864,979 | $ | 5,993 | $ | 805,374,232 |
* | Refer to the Fund’s Portfolio of Investments for industry, state and/or country classifications, where applicable. |
** | Represents net unrealized appreciation (depreciation) as reported in the Fund’s Portfolio of Investments. |
*** | Refer to the Fund’s Portfolio of Investments for securities classified as Level 2 and/or Level 3. |
146 | NUVEEN |
The Board is responsible for the valuation process and has appointed the oversight of the daily valuation process to the Adviser’s Valuation Committee. The Valuation Committee, pursuant to the valuation policies and procedures adopted by the Board, is responsible for making fair value determinations, evaluating the effectiveness of the Funds’ pricing policies and reporting to the Board. The Valuation Committee is aided in its efforts by the Adviser’s dedicated Securities Valuation Team, which is responsible for administering the daily valuation process and applying fair value methodologies as approved by the Valuation Committee. When determining the reliability of independent pricing services for investments owned by the Funds, the Valuation Committee, among other things, conducts due diligence reviews of the pricing services and monitors the quality of security prices received through various testing reports conducted by the Securities Valuation Team.
The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making a fair value determination, based on the facts and circumstances specific to the portfolio instrument. Fair value determinations generally will be derived as follows, using public or private market information:
(i) | If available, fair value determinations shall be derived by extrapolating from recent transactions or quoted prices for identical or comparable securities. |
(ii) | If such information is not available, an analytical valuation methodology may be used based on other available information including, but not limited to: analyst appraisals, research reports, corporate action information, issuer financial statements and shelf registration statements. Such analytical valuation methodologies may include, but are not limited to: multiple of earnings, discount from market value of a similar freely-traded security, discounted cash flow analysis, book value or a multiple thereof, risk premium/yield analysis, yield to maturity and/or fundamental investment analysis. |
The purchase price of a portfolio instrument will be used to fair value the instrument only if no other valuation methodology is available or deemed appropriate, and it is determined that the purchase price fairly reflects the instrument’s current value.
For each portfolio security that has been fair valued pursuant to the policies adopted by the Board, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such testing and fair valuation occurrences are reported to the Board.
3. Portfolio Securities and Investments in Derivatives
Portfolio Securities
Foreign Currency Transactions
To the extent that the Funds may 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 (i) foreign currency, (ii) investments, (iii) investments in derivatives and (iv) other assets and liabilities 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 (i) investments and (ii) other assets and liabilities 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 investments in derivatives are recognized as a component of the respective derivative’s related “Change in net unrealized appreciation (depreciation)” on the Statement of Operations, when applicable.
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.
NUVEEN | 147 |
Notes to Financial Statements (Unaudited) (continued)
Securities Lending
In order to generate additional income, each Fund 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. When loaning securities, the Funds retain the benefits of owning the securities, including the economic equivalent of dividends or interest generated by the security. The Funds also have the ability to recall the securities on loan at any time.
Each Fund’s policy is to receive, at the inception of a loan, cash collateral equal to at least 102% of the value of securities loaned, which is recognized as “Payable for collateral from securities lending program” on the Statement of Assets and Liabilities. Collateral for securities on loan is invested in a money market fund, which is recognized as “Investments purchased with collateral from securities lending, at value” on the Statement of Assets and Liabilities. The market value of the securities loaned is determined at the close of each business day in order to determine the adequacy of the collateral. 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 on the next business day, which is recognized as “Due from broker” on the Statement of Assets and Liabilities.
Securities out on loan are subject to termination at any time at the option of the borrower or the Fund. Upon termination, the borrower is required to return to the Fund securities identical to the securities loaned. Generally, in the event the borrower defaults on its obligation to return the loaned securities, the Fund has the right to use the collateral to acquire identical securities. In the event the Fund is delayed or prevented from exercising its right to dispose of the collateral, there may be a loss to the Fund. Under each Fund’s securities lending agreement, however, the securities lending agent has indemnified the Fund against losses resulting from borrower default, except to the extent that those losses result from a decrease in the value of the collateral due to its investment by the Fund. The Fund bears the risk of loss with respect to the investment of collateral.
The Funds’ custodian, U.S. Bank National Association, serves as its securities lending agent. Each Fund pays the custodian a fee based on its proportional share of the custodian’s expense of operating its securities lending program. Income earned from the securities lending program is paid to the Fund, net of any fees paid. Income from securities lending, net of fees paid, is recognized as “Securities lending income, net” on the Statement of Operations.
The following table presents the securities out on loan for the Funds, and the collateral delivered related to those securities, as of the end of the reporting period.
Fund | Asset Class out on Loan | Long-Term Investments, at Value | Collateral Pledged (From) Counterparty* | Net Exposure | ||||||||||
Core Bond | ||||||||||||||
U.S. Government and Agency Obligations | $ | 1,757,435 | $ | (1,757,435 | ) | $ | — | |||||||
Core Plus Bond | ||||||||||||||
Corporate Bonds | $ | 1,703,298 | $ | (1,703,298 | ) | $ | — | |||||||
$1,000 Par (or Similar) Institutional Preferred | 3,769,616 | (3,769,616 | ) | — | ||||||||||
Total | $ | 5,472,914 | $ | (5,472,914 | ) | $ | — | |||||||
High Income Bond | ||||||||||||||
$1,000 Par (or Similar) Institutional Preferred | $ | 6,056,963 | $ | (6,056,963 | ) | $ | — | |||||||
Common Stocks | 941,829 | (941,829 | ) | — | ||||||||||
Convertible Preferred Securities | 1,157,800 | (1,157,800 | ) | — | ||||||||||
Corporate Bonds | 30,571,120 | (30,571,120 | ) | — | ||||||||||
Exchange-Traded Funds | 677,954 | (677,954 | ) | — | ||||||||||
Total | $ | 39,405,666 | $ | (39,405,666 | ) | $ | — | |||||||
Inflation Protected Securities | ||||||||||||||
Corporate Bonds | $ | 1,839,604 | $ | (1,839,604 | ) | $ | — | |||||||
Intermediate Government Bond | ||||||||||||||
U.S. Government and Agency Obligations | $ | 2,322,851 | $ | (2,322,851 | ) | $ | — | |||||||
Short Term Bond | ||||||||||||||
Corporate Bonds | $ | 7,016,681 | $ | (7,016,681 | ) | $ | — | |||||||
Strategic Income | ||||||||||||||
$1,000 Par (or Similar) Institutional Preferred | $ | 9,928,085 | $ | (9,928,085 | ) | $ | — | |||||||
Corporate Bonds | 28,270,304 | (28,270,304 | ) | — | ||||||||||
Sovereign Debt | 1,000,000 | (1,000,000 | ) | — | ||||||||||
Total | $ | 39,198,389 | $ | (39,198,389 | ) | $ | — |
* | As of the end of the reporting period, the value of the collateral pledged from the counterparty exceeded the value of the securities out on loan. Refer to the Fund's Portfolio of Investments for details on the securities out on loan. |
148 | NUVEEN |
Securities lending fees paid by each Fund during the current fiscal period were as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Securities lending fees paid | $ | 659 | $ | 3,544 | $ | 30,178 | $ | 1,193 | $ | — | $ | 1,153 | $ | 13,745 |
Zero Coupon Securities
A zero coupon security does not pay a regular interest coupon to its holders during the life of the security. Income to the holder of the security comes from accretion of the difference between the original purchase price of the security at issuance and the par value of the security at maturity and is effectively paid at maturity. The market prices of zero coupon securities generally are more volatile than the market prices of securities that pay interest periodically.
Investments in Derivatives
Each Fund is authorized to invest in certain derivative instruments. 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.
Forward Foreign Currency Exchange Contracts
Each Fund is authorized to enter into forward foreign currency exchange contracts (“forward contracts”) 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 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. The net amount recorded on these transactions for each counterparty is recognized as a component of “Unrealized appreciation and/or depreciation on forward foreign currency exchange contracts (, net)” 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 current fiscal period, Core Plus Bond, High Income Bond and Strategic Income invested in forward foreign currency exchange contracts to manage foreign currency exposure. For example, the Fund may reduce unwanted currency exposure from its bond portfolio, or it may take long forward positions in select currencies in an attempt to benefit from the potential price appreciation.
The average notional amount of forward foreign currency exchange contracts outstanding during the current fiscal period was as follows:
Core Plus Bond | High Income Bond | Strategic Income | ||||||||||
Average notional amount of forward foreign currency exchange contracts outstanding* | $ | 18,186,917 | $ | 6,541,040 | $ | 84,359,983 |
* | The average notional amount is calculated based on the outstanding notional at the beginning of the fiscal period and at the end of each fiscal quarter within the current fiscal period. |
NUVEEN | 149 |
Notes to Financial Statements (Unaudited) (continued)
The following table presents the fair value of forward foreign currency exchange contracts held by the Funds as of the end of the reporting period, 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 | ||||||||||||||
Asset Derivatives | (Liability) Derivatives | |||||||||||||
Underlying Risk Exposure | Derivative Instrument | Location | Value | Location | Value | |||||||||
Core Plus Bond | ||||||||||||||
Foreign currency exchange rate | Forward contracts | Unrealized appreciation on forward foreign currency exchange contracts, net | $ | 308,744 | Unrealized depreciation on forward foreign currency exchange contracts, net | $ | (1,140 | ) | ||||||
Forward contracts | Unrealized appreciation on forward foreign currency exchange contracts, net | (245,050 | ) | Unrealized depreciation on forward foreign currency exchange contracts, net | 526 | |||||||||
Total | $ | 63,694 | $ | (614 | ) | |||||||||
High Income Bond | ||||||||||||||
Foreign currency exchange rate | Forward contracts | Unrealized appreciation on forward foreign currency exchange contracts, net | $ | 19,594 | — | $ | — | |||||||
Strategic Income | ||||||||||||||
Foreign currency exchange rate | Forward contracts | Unrealized appreciation on forward foreign currency exchange contracts, net | $ | 174,349 | Unrealized depreciation on forward foreign currency exchange contracts, net | $ | (1,147,635 | ) | ||||||
Forward contracts | Unrealized appreciation on forward foreign currency exchange contracts, net | (11,117 | ) | Unrealized depreciation on forward foreign currency exchange contracts, net | 1,053,696 | |||||||||
Total | 163,232 | (93,939 | ) |
The following table presents the forward foreign currency exchange contracts subject to netting agreements and the collateral delivered related to those forward foreign currency exchange contracts as of the end of the reporting period.
Fund | Counterparty | Gross Unrealized Appreciation on Forward Foreign Currency Exchange Contracts* | Gross Unrealized (Depreciation) on Forward Foreign Currency Exchange Contracts* | Amounts Netted on Statement of Assets and Liabilities | Net Unrealized Appreciation (Depreciation) on Forward Foreign Currency Exchange Contracts | Collateral Pledged to (from) Counterparty | Net Exposure | |||||||||||||||||||
Core Plus Bond | ||||||||||||||||||||||||||
Bank of America, N.A. | $ | 151,095 | $ | (134,405 | ) | $ | (134,405 | ) | $ | 16,690 | $ | (10,000 | ) | $ | 6,690 | |||||||||||
Citigroup Global Markets, Inc. | 29,046 | (1,935 | ) | (1,935 | ) | 27,111 | — | 27,111 | ||||||||||||||||||
Goldman Sachs Bank USA | 526 | (1,140 | ) | 526 | (614 | ) | — | (614 | ) | |||||||||||||||||
Morgan Stanley & Co. LLC | 128,603 | (108,710 | ) | (108,710 | ) | 19,893 | — | 19,893 | ||||||||||||||||||
Total | $ | 309,270 | $ | (246,190 | ) | $ | (244,524 | ) | $ | 63,080 | $ | (10,000 | ) | $ | 53,080 | |||||||||||
High Income Bond | ||||||||||||||||||||||||||
Citigroup Global Markets, Inc. | $ | 15,426 | — | — | $ | 15,426 | $ | — | $ | 15,426 | ||||||||||||||||
Goldman Sacks Bank USA | 4,168 | — | — | 4,168 | — | 4,168 | ||||||||||||||||||||
Total | $ | 19,594 | $ | — | $ | — | $ | 19,594 | $ | — | $ | 19,594 | ||||||||||||||
Strategic Income | ||||||||||||||||||||||||||
Bank of America, N.A. | $ | 750,160 | $ | (815,593 | ) | $ | 750,160 | $ | (65,433 | ) | $ | — | $ | (65,433 | ) | |||||||||||
Citigroup Global Markets, Inc. | 171,089 | (11,117 | ) | (11,117 | ) | 159,972 | — | 159,972 | ||||||||||||||||||
Goldman Sachs Bank USA | 3,260 | — | — | 3,260 | — | 3,260 | ||||||||||||||||||||
Morgan Stanley & Co. LLC | 303,536 | (332,042 | ) | 303,536 | (28,506 | ) | — | (28,506 | ) | |||||||||||||||||
Total | $ | 1,228,045 | $ | (1,158,752 | ) | $ | 1,042,579 | $ | 69,293 | $ | — | $ | 69,293 |
* | Represents gross unrealized appreciation (depreciation) for the counterparty as reported in the Fund’s Portfolio of Investments. |
150 | NUVEEN |
The following table presents the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized on forward foreign currency exchange contracts on the Statement of Operations during the current fiscal period, and the primary underlying risk exposure.
Fund | Underlying Risk Exposure | Derivative Instrument | Net Realized Gain (Loss) from Forward Foreign Currency Exchange Contracts | Change in Net Unrealized Appreciation (Depreciation) of Forward Foreign Currency Exchange Contracts | ||||||||
Core Plus Bond | Foreign currency exchange rate | Forward contracts | $ | 41,693 | $ | 412,722 | ||||||
High Income Bond | Foreign currency exchange rate | Forward contracts | 168,303 | 86,893 | ||||||||
Strategic Income | Foreign currency exchange rate | Forward contracts | 1,243,660 | 797,097 |
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 “Cash collateral at brokers” 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 Fund’s account with an amount equal to appreciation and conversely if a Fund has unrealized depreciation the clearing broker would debit the 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 current fiscal period, each Fund used U.S. Treasury futures as part of their overall portfolio construction strategy to manage portfolio duration and yield curve exposure. Strategic Income also used Eurodollar Futures; selecting foreign bond futures to actively manage exposure to those markets.
The average notional amount of futures contracts outstanding during the current fiscal period was as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Average notional amount of futures contracts outstanding* | $ | 19,746,841 | $ | 20,512,281 | $ | 14,393,966 | $ | 34,309,365 | $ | 11,884,906 | $ | 15,391,557 | $ | 184,879,799 |
* | The average notional amount is calculated based on the absolute aggregate notional amount of contracts outstanding at the beginning of the fiscal period and at the end of each fiscal quarter within the current fiscal period. |
The following table presents the fair value of all futures contracts held by the Funds as of the end of the reporting period, 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 | ||||||||||||||
Asset Derivatives | (Liability) Derivatives | |||||||||||||
Underlying Risk Exposure | Derivative Instrument | Location | Value | Location | Value | |||||||||
Core Bond | ||||||||||||||
Interest rate | Futures contracts | Receivable for variation margin on futures contracts* | $ | (20,858 | ) | Payable for variation margin on futures contracts* | $ | (50,531 | ) | |||||
— | — | Payable for variation margin on futures contracts* | 1,505 | |||||||||||
Total | $ | (20,858 | ) | $ | (49,026 | ) | ||||||||
Core Plus Bond | ||||||||||||||
Interest rate | Futures contracts | Receivable for variation margin on futures contracts* | $ | (22,490 | ) | Payable for variation margin on futures contracts* | $ | (6,288 | ) | |||||
— | — | Payable for variation margin on futures contract* | 20,169 | |||||||||||
Total | $ | (22,490 | ) | $ | 13,881 |
* | Value represents unrealized appreciation (depreciation) of futures contracts as reported on the Fund’s Portfolio of Investments and not the asset and/or liability derivatives location as described in the table above. |
NUVEEN | 151 |
Notes to Financial Statements (Unaudited) (continued)
Location on the Statement of Assets and Liabilities | ||||||||||||||
Asset Derivatives | (Liability) Derivatives | |||||||||||||
Underlying Risk Exposure | Derivative Instrument | Location | Value | Location | Value | |||||||||
High Income Bond | ||||||||||||||
Interest Rate | Futures contracts | Receivable for variation margin on futures contracts* | $ | (19,632 | ) | — | $ | — | ||||||
Inflation Protected Securities | ||||||||||||||
Interest Rate | Futures contracts | Receivable for variation margin on futures contracts* | $ | 7,704 | Payable for variation margin on futures contracts* | $ | 4,752 | |||||||
Receivable for variation margin on futures contracts* | (92,974 | ) | — | — | ||||||||||
Total | $ | (85,270 | ) | $ | 4,752 | |||||||||
Intermediate Government Bond | ||||||||||||||
Interest rate | Futures contracts | Receivable for variation margin on futures contracts* | $ | 6,489 | Payable for variation margin on future contracts* | $ | 18,168 | |||||||
Receivable for variation margin on futures contracts* | (12,857 | ) | — | — | ||||||||||
Total | $ | (6,368 | ) | $ | 18,168 | |||||||||
Short Term Bond | ||||||||||||||
Interest rate | Futures contracts | — | $ | — | Payable for variation margin on futures contracts* | $ | 12,155 | |||||||
Strategic Income | ||||||||||||||
Interest Rate | Futures contracts | Receivable for variation margin on futures contracts* | $ | (266,701 | ) | Payable for variation margin on futures contracts* | $ | 406,975 |
* | Value represents unrealized appreciation (depreciation) of futures contracts as reported on the Fund’s Portfolio of Investments and not the asset and/or liability derivatives location as described in the table above. |
The following table presents the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized on futures contracts on the Statement of Operations during the current fiscal period, and the primary underlying risk exposure.
Fund | Underlying Risk Exposure | Derivative Instrument | Net Realized Gain (Loss) from Futures Contracts | Change in Net Unrealized Appreciation (Depreciation) of Futures Contracts | ||||||||
Core Bond | Interest rate | Futures contracts | $ | (747,497 | ) | $ | (45,719 | ) | ||||
Core Plus Bond | Interest rate | Futures contracts | 619,714 | (158,503 | ) | |||||||
High Income Bond | Interest rate | Futures contracts | (188,560 | ) | (292,095 | ) | ||||||
Inflation Protected Securities | Interest rate | Futures contracts | (2,891,603 | ) | (624,941 | ) | ||||||
Intermediate Government Bond | Interest rate | Futures contracts | 149,329 | 43,517 | ||||||||
Short Term Bond | Interest rate | Futures contracts | (148,014 | ) | 457,723 | |||||||
Strategic Income | Interest rate | Futures contracts | 1,460,107 | 296,420 |
Interest Rate Swap Contracts
Interest rate swap contracts involve a Fund’s agreement with the counterparty to pay or receive a fixed rate payment in exchange for the counterparty receiving or paying a variable rate payment. Forward interest rate swap contracts involve a Fund’s agreement with a counterparty to pay, in the future, a fixed or variable rate payment in exchange for the counterparty paying the Fund a variable or fixed rate payment, the accruals for which begin at a specified date in the future (the “effective date”).
The amount of the payment obligation for an interest rate swap is based on the notional amount and the termination date of the contract. Interest rate swap contracts do not involve the delivery of securities or other underlying assets or principal. Accordingly, the risk of loss with respect to the swap counterparty on such transactions is limited to the net amount of interest payments that the Fund is to receive.
Interest rate swap contracts are valued daily. Upon entering into an interest rate swap contract (and beginning on the effective date for a forward interest rate swap contract), the Fund accrues the fixed rate payment expected to be paid or received and the variable rate payment expected to be received or paid on the interest rate swap contracts on a daily basis, and recognizes the daily change in the fair value of the Fund’s contractual rights and obligations under the contracts. For an OTC swap that is not cleared through a clearing house (“OTC Uncleared”), 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).”
152 | NUVEEN |
Upon the execution of an OTC swap cleared through a clearing house (“OTC Cleared”), the 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 deposited by the Fund to cover initial margin requirements on open swap contracts, if any, is recognized as a component of “Cash collateral at brokers” on the Statement of Assets and Liabilities. Investments in OTC Cleared swaps obligate the Fund and the clearing broker to settle monies on a daily basis representing changes in the prior day’s “mark-to-market” of the swap contract. If the Fund has unrealized appreciation, the clearing broker will credit the Fund’s account with an amount equal to the appreciation. Conversely, if the Fund has unrealized depreciation, the clearing broker will debit the Fund’s account with an amount equal to the depreciation. These daily cash settlements are also known as “variation margin.” Variation margin for OTC Cleared swaps is recognized as a receivable and/or payable for “Variation margin on swap contracts” on the Statement of Assets and Liabilities. Upon the execution of an OTC Uncleared swap, neither the Fund nor the counterparty is required to deposit initial margin as the trades are recorded bilaterally between both parties to the swap contract, and the terms of the variation margin are subject to a predetermined threshold negotiated by the Fund and the counterparty. Variation margin for OTC Uncleared swaps is recognized as a component of “Unrealized appreciation or depreciation on interest rate swaps (, net)” as described in the preceding paragraph.
The net amount of periodic payments settled in cash are recognized as a component of “Net realized gain (loss) from swaps” on the Statement of Operations, in addition to the net realized gain or loss recorded upon the termination of the swap contract. For tax purposes, payments expected to be received or paid on the swap contracts are treated as ordinary income or expense, respectively. Changes in the value of the swap contracts during the fiscal period are recognized as a component of “Change in net unrealized appreciation (depreciation) of swaps” on the Statement of Operations. In certain instances, payments are made or received upon entering into the swap contract to compensate for differences between the stated terms of the swap agreements and prevailing market conditions (credit spreads, currency exchange rates, interest rates, and other relevant factors). Payments received or made at the beginning of the measurement period, if any, are recognized as “Interest rate swaps premiums paid and/or received” on the Statement of Assets and Liabilities.
During the current fiscal period, Core Plus 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.
The average notional amount of interest rate swap contracts outstanding during the current fiscal period was as follows:
Core Plus Bond | Strategic Income | |||||||
Average notional amount of interest rate swap contracts outstanding* | $ | 6,000,000 | $ | 8,666,667 |
* | The average notional amount is calculated based on the outstanding notional at the beginning of the fiscal period and at the end of each fiscal quarter within the current fiscal period. |
Credit Default Swap Contracts
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. When a Fund has bought (sold) protection in a credit default swap upon occurrence of a specific credit event with respect to the underlying referenced entity, the Fund will either (i) deliver (receive) that security, or an equivalent amount of cash, from the counterparty in exchange for receipt (payment) of the notional amount to the counterparty, or (ii) receive (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 (delivered) and the notional amount delivered (received) is recorded as a realized gain or loss. Payments paid (received) or made at the beginning of the measurement period are recognized as a component of “Credit default swaps premiums paid and/or received” on the Statement of Assets and Liabilities, when applicable.
Credit default swap contracts are valued daily. 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.
For OTC swaps not cleared through a clearing house (“OTC Uncleared”), the daily change in the market value of the swap contract, along with any daily interest fees accrued, are recognized as components of “Unrealized appreciation or depreciation on credit default swaps (, net)” on the Statement of Assets and Liabilities.
Upon the execution of an OTC swap cleared through a clearing house (“OTC Cleared”), 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 swap contracts, if any, is recognized as “Cash collateral at brokers” on the Statement of Assets and Liabilities. Investments in OTC Cleared swaps obligate a Fund and the clearing broker to settle monies on a daily basis representing changes in the prior day’s “mark-to-market” of the swap. If a Fund has unrealized appreciation the clearing broker would credit the Fund’s account with an amount equal to the appreciation and conversely if a Fund has unrealized depreciation the clearing broker would debit a Fund’s account with an amount equal to the depreciation. These daily cash settlements are also known as “variation margin.” Variation margin for OTC Cleared swaps is recognized as a
NUVEEN | 153 |
Notes to Financial Statements (Unaudited) (continued)
receivable and/or payable for “Variation margin on swap contracts” on the Statement of Assets and Liabilities. Upon the execution of an OTC Uncleared swap, neither the Fund nor the counterparty is required to deposit initial margin as the trades are recorded bilaterally between both parties to the swap contract, and the terms of the variation margin are subject to a predetermined threshold negotiated by the Fund and the counterparty. Variation margin for OTC Uncleared swaps is recognized as a component of “Unrealized appreciation or depreciation on credit default swaps (, net)” as described in the preceding paragraph. The maximum potential amount of future payments the Fund could incur as a buyer or 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 current fiscal period, Core Plus Bond used CDX swaps to hedge credit risk. High Income Bond used CDX swaps to take on credit risk and earn a commensurate credit spread. Strategic Income used CDX swaps to assume and hedge credit risk.
The average notional amount of credit default swap contracts outstanding during the current fiscal period was as follows:
Core Plus Bond | High Income Bond | Strategic Income | ||||||||||
Average notional amount of credit default swap contracts outstanding* | $ | 3,833,333 | $ | 2,500,000 | $ | 25,633,333 |
* | The average notional amount is calculated based on the outstanding notional at the beginning of the fiscal period and at the end of each fiscal quarter within the current fiscal period. |
The following table presents the fair value of all swap contracts held by the Funds as of the end of the reporting period, 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 | ||||||||||||||
Asset Derivatives | (Liability) Derivatives | |||||||||||||
Underlying Risk Exposure | Derivative Instrument | Location | Value | Location | Value | |||||||||
Core Plus Bond | ||||||||||||||
Credit | Swaps (OTC Cleared) | — | $ | — | Payable for variation margin on swap contracts* | $ | (66,352 | ) | ||||||
High Income | ||||||||||||||
Credit | Swaps (OTC Cleared) | Receivable for variation margin on swap contracts* | $ | 46,251 | — | $ | — | |||||||
Strategic Income | ||||||||||||||
Credit | Swaps (OTC Cleared) | — | $ | — | Payable for variation margin on swap contracts* | $ | (415,393 | ) |
* | Value represents unrealized appreciation (depreciation) of swaps as reported in the Fund’s Portfolio of Investments and not the asset and/or liability derivative location as described in the table above. |
The following table presents the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized on swap contracts on the Statement of Operations during the current fiscal period and the primary underlying risk exposure.
Fund | Underlying Risk Exposure | Derivative Instrument | Net Realized Gain (Loss) from Swaps | Change in Net Unrealized Appreciation Depreciation of Swaps | ||||||||
Core Plus Bond | Credit | Swaps | $ | (1,222 | ) | $ | (66,352 | ) | ||||
Interest rate | Swaps | (1,981,802 | ) | 2,134,412 | ||||||||
Total | $ | (1,983,024 | ) | $ | 2,068,060 | |||||||
High Income Bond | Credit | Swaps | $ | (242,199 | ) | $ | 46,251 | |||||
Strategic Income | Credit | Swaps | $ | 110,797 | $ | (306,015 | ) | |||||
Interest rate | Swaps | (2,683,554 | ) | 3,083,040 | ||||||||
Total | $ | (2,572,757 | ) | $ | 2,777,025 |
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap transactions, when applicable. The extent of each Fund’s exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities.
Each Fund helps manage counterparty credit risk by entering into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an unrealized loss, the Funds have instructed the
154 | NUVEEN |
custodian to pledge assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold amount.
4. Fund Shares
Transactions in Fund shares during the current and prior fiscal period were as follows:
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
Core Bond | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 217,698 | $ | 2,141,915 | 426,304 | $ | 4,195,062 | ||||||||||
Class C | 44,660 | 443,175 | 125,119 | 1,230,992 | ||||||||||||
Class R6 | — | — | 2,124,538 | 21,050,000 | ||||||||||||
Class I | 852,374 | 8,432,955 | 1,621,099 | 15,909,483 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 16,271 | 161,437 | 42,495 | 418,729 | ||||||||||||
Class C | 1,188 | 11,736 | 1,964 | 19,295 | ||||||||||||
Class R6 | 77,426 | 765,588 | 197,727 | 1,943,314 | ||||||||||||
Class I | 38,865 | 385,054 | 129,005 | 1,265,258 | ||||||||||||
1,248,482 | 12,341,860 | 4,668,251 | 46,032,133 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (264,444 | ) | (2,622,760 | ) | (406,929 | ) | (4,017,165 | ) | ||||||||
Class C | (19,142 | ) | (187,909 | ) | (48,499 | ) | (476,031 | ) | ||||||||
Class R6 | (29,811 | ) | (285,000 | ) | (1,007,593 | ) | (9,930,000 | ) | ||||||||
Class I | (3,043,565 | ) | (30,172,395 | ) | (8,803,597 | ) | (86,784,059 | ) | ||||||||
(3,356,962 | ) | (33,268,064 | ) | (10,266,618 | ) | (101,207,255 | ) | |||||||||
Net increase (decrease) | (2,108,480 | ) | $ | (20,926,204 | ) | (5,598,367 | ) | $ | (55,175,122 | ) | ||||||
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
Core Plus Bond | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 292,959 | $ | 3,238,833 | 567,458 | $ | 6,169,670 | ||||||||||
Class C | 93,305 | 1,029,120 | 268,526 | 2,904,616 | ||||||||||||
Class R3 | 597,543 | 6,650,400 | 1,337,253 | 14,711,131 | ||||||||||||
Class R6 | 89,526 | 1,000,000 | — | — | ||||||||||||
Class I | 2,556,112 | 28,062,106 | 2,497,657 | 27,234,585 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 103,161 | 1,140,609 | 235,090 | 2,553,875 | ||||||||||||
Class C | 8,927 | 98,219 | 18,143 | 196,041 | ||||||||||||
Class R3 | 24,555 | 273,012 | 37,598 | 408,551 | ||||||||||||
Class R6 | 45,371 | 501,250 | 108,753 | 1,180,728 | ||||||||||||
Class I | 241,119 | 2,660,301 | 538,183 | 5,837,759 | ||||||||||||
4,052,578 | 44,653,850 | 5,608,661 | 61,196,956 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (519,399 | ) | (5,722,068 | ) | (1,412,657 | ) | (15,338,148 | ) | ||||||||
Class C | (105,107 | ) | (1,149,089 | ) | (287,785 | ) | (3,125,250 | ) | ||||||||
Class R3 | (1,731,190 | ) | (18,837,448 | ) | (361,604 | ) | (3,913,849 | ) | ||||||||
Class R6 | (207,692 | ) | (2,290,000 | ) | (1,733,305 | ) | (19,329,000 | ) | ||||||||
Class I | (3,753,233 | ) | (41,305,359 | ) | (16,439,073 | ) | (178,504,469 | ) | ||||||||
(6,316,621 | ) | (69,303,964 | ) | (20,234,424 | ) | (220,210,716 | ) | |||||||||
Net increase (decrease) | (2,264,043 | ) | $ | (24,650,114 | ) | (14,625,763 | ) | $ | (159,013,760 | ) |
NUVEEN | 155 |
Notes to Financial Statements (Unaudited) (continued)
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
High Income Bond | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 22,892,231 | $ | 172,177,222 | 22,844,430 | $ | 160,255,338 | ||||||||||
Class C | 987,699 | 7,460,260 | 1,264,937 | 8,863,955 | ||||||||||||
Class R3 | 24,320 | 190,646 | 48,170 | 353,483 | ||||||||||||
Class I | 24,522,064 | 185,076,350 | 16,788,962 | 120,808,404 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 656,008 | 4,965,638 | 1,135,552 | 8,108,846 | ||||||||||||
Class C | 162,052 | 1,224,270 | 330,612 | 2,364,126 | ||||||||||||
Class R3 | 2,540 | 19,599 | 6,483 | 47,448 | ||||||||||||
Class I | 665,937 | 5,059,403 | 977,062 | 7,060,979 | ||||||||||||
49,912,851 | 376,173,388 | 43,396,208 | 307,862,579 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (15,720,315 | ) | (118,366,157 | ) | (22,631,152 | ) | (162,494,682 | ) | ||||||||
Class C | (782,064 | ) | (5,887,952 | ) | (2,557,960 | ) | (18,446,833 | ) | ||||||||
Class R3 | (48,386 | ) | (374,902 | ) | (59,958 | ) | (428,751 | ) | ||||||||
Class I | (24,916,869 | ) | (187,840,269 | ) | (43,094,533 | ) | (311,873,417 | ) | ||||||||
(41,467,634 | ) | (312,469,280 | ) | (68,343,603 | ) | (493,243,683 | ) | |||||||||
Net increase (decrease) | 8,445,217 | $ | 63,704,108 | (24,947,395 | ) | (185,381,104 | ) | |||||||||
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
Inflation Protected Securities | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 3,648,363 | $ | 40,911,850 | 6,144,400 | $ | 67,077,042 | ||||||||||
Class C | 254,776 | 2,811,565 | 741,824 | 7,990,319 | ||||||||||||
Class R3 | 390,506 | 4,344,598 | 1,147,593 | 12,396,121 | ||||||||||||
Class R6 | 1,718,920 | 19,305,480 | 95,255 | 1,059,520 | ||||||||||||
Class I | 11,342,074 | 128,572,506 | 15,260,983 | 168,772,498 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 43,067 | 474,016 | — | — | ||||||||||||
Class C | 3,967 | 42,609 | — | — | ||||||||||||
Class R3 | 1,645 | 17,999 | — | — | ||||||||||||
Class R6 | 12,267 | 136,283 | — | — | ||||||||||||
Class I | 120,161 | 1,340,539 | — | — | ||||||||||||
17,535,746 | 197,957,445 | 23,390,055 | 257,295,500 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (1,666,607 | ) | (18,677,024 | ) | (1,783,818 | ) | (19,428,090 | ) | ||||||||
Class C | (167,409 | ) | (1,842,586 | ) | (426,654 | ) | (4,587,011 | ) | ||||||||
Class R3 | (621,084 | ) | (6,933,698 | ) | (319,273 | ) | (3,455,164 | ) | ||||||||
Class R6 | (61,145 | ) | (695,273 | ) | (44,890 | ) | (498,289 | ) | ||||||||
Class I | (5,411,387 | ) | (61,307,536 | ) | (9,954,618 | ) | (109,030,688 | ) | ||||||||
(7,927,632 | ) | (89,456,117 | ) | (12,529,253 | ) | (136,999,242 | ) | |||||||||
Net increase (decrease) | 9,608,114 | $ | 108,501,328 | 10,860,802 | $ | 120,296,258 |
156 | NUVEEN |
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
Intermediate Government Bond | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 854,214 | $ | 7,500,006 | 856,783 | $ | 7,580,588 | ||||||||||
Class C | 82,743 | 735,951 | 119,557 | 1,060,202 | ||||||||||||
Class R3 | 6,883 | 61,070 | 12,500 | 111,134 | ||||||||||||
Class I | 633,398 | 5,605,026 | 2,482,301 | 21,971,582 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 9,508 | 83,870 | 15,330 | 135,667 | ||||||||||||
Class C | 348 | 3,079 | 455 | 4,029 | ||||||||||||
Class R3 | 91 | 803 | 109 | 969 | ||||||||||||
Class I | 15,248 | 134,679 | 25,834 | 228,793 | ||||||||||||
1,602,433 | 14,124,484 | 3,512,869 | 31,092,964 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (958,101 | ) | (8,353,065 | ) | (360,314 | ) | (3,185,923 | ) | ||||||||
Class C | (86,282 | ) | (757,501 | ) | (22,929 | ) | (202,864 | ) | ||||||||
Class R3 | (1,499 | ) | (13,020 | ) | (12,149 | ) | (106,934 | ) | ||||||||
Class I | (1,087,477 | ) | (9,573,738 | ) | (2,700,152 | ) | (23,889,237 | ) | ||||||||
(2,133,359 | ) | (18,697,324 | ) | (3,095,544 | ) | (27,384,958 | ) | |||||||||
Net increase (decrease) | (530,926 | ) | $ | (4,572,840 | ) | 417,325 | $ | 3,708,006 | ||||||||
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
Short Term Bond | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 3,434,544 | $ | 33,858,135 | 3,838,769 | $ | 37,803,170 | ||||||||||
Class C | 1,106,974 | 10,959,416 | 1,251,334 | 12,366,374 | ||||||||||||
Class R3 | 10,419 | 103,139 | 58,023 | 571,798 | ||||||||||||
Class R6 | 22,528 | 223,069 | 4,433,924 | 43,872,894 | ||||||||||||
Class I | 6,421,282 | 63,398,891 | 12,093,247 | 119,245,506 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 69,369 | 684,733 | 137,192 | 1,351,172 | ||||||||||||
Class C | 9,200 | 91,153 | 17,115 | 169,134 | ||||||||||||
Class R3 | 30 | 302 | 7 | 59 | ||||||||||||
Class R6 | 29,522 | 292,258 | 65,586 | 646,903 | ||||||||||||
Class I | 108,389 | 1,071,027 | 217,378 | 2,142,574 | ||||||||||||
11,212,257 | 110,682,123 | 22,112,575 | 218,169,584 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (2,854,456 | ) | (28,150,583 | ) | (4,359,518 | ) | (42,953,780 | ) | ||||||||
Class C | (930,183 | ) | (9,207,557 | ) | (1,559,144 | ) | (15,398,873 | ) | ||||||||
Class R3 | (1,734 | ) | (17,145 | ) | (42,339 | ) | (414,747 | ) | ||||||||
Class R6 | (2,514,871 | ) | (24,850,167 | ) | (510,435 | ) | (5,027,503 | ) | ||||||||
Class I | (10,590,852 | ) | (104,630,260 | ) | (23,387,149 | ) | (230,542,093 | ) | ||||||||
(16,892,096 | ) | (166,855,712 | ) | (29,858,585 | ) | (294,336,996 | ) | |||||||||
Net increase (decrease) | (5,679,839 | ) | $ | (56,173,589 | ) | (7,746,010 | ) | $ | (76,167,412 | ) |
NUVEEN | 157 |
Notes to Financial Statements (Unaudited) (continued)
Six Months Ended 12/31/16 | Year Ended 6/30/16 | |||||||||||||||
Strategic Income | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold: | ||||||||||||||||
Class A | 1,847,327 | $ | 19,677,222 | 4,002,873 | $ | 41,946,560 | ||||||||||
Class C | 586,515 | 6,216,821 | 1,310,022 | 13,655,356 | ||||||||||||
Class R3 | 95,077 | 1,018,062 | 386,837 | 4,052,221 | ||||||||||||
Class R6 | 297 | 3,111 | 1,618,829 | 17,089,609 | ||||||||||||
Class I | 5,072,640 | 53,995,472 | 11,124,880 | 116,240,152 | ||||||||||||
Shares issued to shareholders due to reinvestment of distributions: | ||||||||||||||||
Class A | 397,838 | 4,246,227 | 1,068,217 | 11,130,046 | ||||||||||||
Class C | 142,018 | 1,507,643 | 332,935 | 3,443,686 | ||||||||||||
Class R3 | 8,793 | 94,179 | 27,543 | 289,756 | ||||||||||||
Class R6 | 71,366 | 761,910 | 138,234 | 1,433,538 | ||||||||||||
Class I | 484,799 | 5,170,283 | 1,175,836 | 12,251,799 | ||||||||||||
8,706,670 | 92,690,930 | 21,186,206 | 221,532,723 | |||||||||||||
Shares redeemed: | ||||||||||||||||
Class A | (3,421,384 | ) | (36,349,825 | ) | (13,554,737 | ) | (140,591,197 | ) | ||||||||
Class C | (1,365,096 | ) | (14,474,537 | ) | (3,270,280 | ) | (33,759,300 | ) | ||||||||
Class R3 | (160,474 | ) | (1,715,412 | ) | (804,674 | ) | (8,405,220 | ) | ||||||||
Class R6 | (178,663 | ) | (1,894,530 | ) | (455,181 | ) | (4,831,119 | ) | ||||||||
Class I | (6,775,900 | ) | (72,070,462 | ) | (37,656,644 | ) | (391,160,086 | ) | ||||||||
(11,901,517 | ) | (126,504,766 | ) | (55,741,516 | ) | (578,746,922 | ) | |||||||||
Net increase (decrease) | (3,194,847 | ) | $ | (33,813,836 | ) | (34,555,310 | ) | (357,214,199 | ) |
5. Investment Transactions
Long-term purchases and sales (including maturities but excluding investments purchased with collateral from securities lending and derivative transactions) during the current fiscal period were as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Purchases: | ||||||||||||||||||||||||||||
Investment securities | $ | 18,883,460 | $ | 152,876,932 | $ | 357,168,868 | $ | 32,574,768 | $ | 1,316,426 | $ | 131,972,066 | $ | 210,434,413 | ||||||||||||||
U.S. Government and agency obligations | 62,492,811 | 108,626,067 | — | 237,146,962 | 36,218,880 | 13,983,750 | 140,754,186 | |||||||||||||||||||||
Sales and maturities: | ||||||||||||||||||||||||||||
Investment securities | 24,479,483 | 148,028,562 | 307,839,695 | 4,635,232 | 3,319,120 | 126,836,971 | 237,122,991 | |||||||||||||||||||||
U.S. Government and agency obligations | 66,430,665 | 101,799,007 | — | 144,900,123 | 32,364,499 | 17,452,933 | 140,995,644 |
6. Income Tax Information
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required.
For all open tax years and all major taxing jurisdictions, management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally the last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing 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 NAVs of the Funds.
158 | NUVEEN |
As of December 31, 2016, 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 | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Cost of investments | $ | 155,748,127 | $ | 397,956,617 | $ | 507,971,746 | $ | 615,879,460 | $ | 304,847,994 | $ | 558,194,320 | $ | 802,479,280 | ||||||||||||||
Gross unrealized: | ||||||||||||||||||||||||||||
Appreciation | $ | 3,261,616 | $ | 11,602,866 | $ | 17,403,318 | $ | 7,257,838 | $ | 849,293 | $ | 2,218,327 | $ | 18,511,278 | ||||||||||||||
Depreciation | (937,802 | ) | (5,483,345 | ) | (36,341,743 | ) | (7,878,009 | ) | (518,628 | ) | (2,093,852 | ) | (16,803,729 | ) | ||||||||||||||
Net unrealized appreciation (depreciation) of investments | $ | 2,323,814 | $ | 6,119,521 | $ | (18,938,425 | ) | $ | (620,171 | ) | $ | 330,665 | $ | 124,475 | $ | 1,707,549 |
Permanent differences, primarily due to distribution reallocations, expiration of capital loss carryforwards, federal taxes paid, foreign currency transactions, complex security character adjustments, investments in partnerships, treatment of notional principal contracts and amortization of mark-to-market adjustments on Sec. 311(e) assets, resulted in reclassifications among the Funds’ components of net assets as of June 30, 2016, the Funds’ last tax year end, as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Capital paid-in | (11 | ) | (11 | ) | 19 | (11 | ) | (7,265 | ) | (348,253 | ) | (22 | ) | |||||||||||||||
Undistributed (Over-distribution of) net investment income | (127,984 | ) | (3,556,385 | ) | (4,532,485 | ) | (150,514 | ) | (21,037 | ) | (787,439 | ) | (18,083,591 | ) | ||||||||||||||
Accumulated net realized gain (loss) | 127,995 | 3,556,396 | 4,532,466 | 150,525 | 28,302 | 1,135,692 | 18,083,613 |
The tax components of undistributed net ordinary income and net long-term capital gains as of June 30, 2016, the Funds’ last tax year end, were as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Undistributed net ordinary income1 | $ | — | $ | 1,193,777 | $ | 3,085,915 | $ | 3,346,167 | $ | 36,305 | $ | — | $ | 13,077,819 | ||||||||||||||
Undistributed net long-term capital gains | — | — | — | — | — | — | — |
1 | Undistributed net ordinary income (on a tax basis) has not been reduced for the dividend declared during the period June 1, 2016 through June 30, 2016 and paid on July 1, 2016. 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’ last tax year ended June 30, 2016, was designated for purposes of the dividends paid deduction as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Distributions from net ordinary income2 | $ | 5,709,771 | $ | 19,707,970 | $ | 34,298,443 | $ | — | $ | 1,027,409 | $ | 11,160,372 | $ | 51,207,124 | ||||||||||||||
Distributions from net long-term capital gains | 705,744 | 801,663 | — | — | — | — | — | |||||||||||||||||||||
Return of capital | 868,307 | — | — | — | — | — | — |
2 | Net ordinary income consists of net taxable income derived from dividends, interest and net short-term capital gains, if any. |
As of June 30, 2016, the Funds’ last tax year end, the Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as shown in the following table. The losses not subject to expiration will be utilized first by a Fund.
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Expiration: | ||||||||||||||||||||||||||||
June 30, 2017 | $ | — | $ | — | $ | — | $ | — | $ | 3,538,398 | $ | 1,188,199 | $ | — | ||||||||||||||
June 30, 2018 | — | — | — | — | — | 4,103,631 | 35,110,018 | |||||||||||||||||||||
Not subject to expiration | 92,102 | 10,078,385 | 91,980,938 | 724,158 | — | 9,157,854 | 19,097,322 | |||||||||||||||||||||
Total | $ | 92,102 | $ | 10,078,385 | $ | 91,980,938 | $ | 724,158 | $ | 3,538,398 | $ | 14,449,684 | $ | 54,207,340 |
During the Funds’ last tax year ended June 30, 2016, the following Fund utilized capital loss carryforwards as follows:
Intermediate Government Bond | ||||
Utilized capital loss carryforwards | $ | 285,837 |
NUVEEN | 159 |
Notes to Financial Statements (Unaudited) (continued)
As of June 30, 2016, the Funds’ last tax year end, the following Funds’ capital loss carryforwards expired as follows:
Intermediate Bond | Short Term Bond | |||||||
Expired capital loss carryforwards | $ | 7,254 | $ | 48,855 |
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 current fiscal year. The following Funds have elected to defer losses as follows:
Core Bond | Core Plus Bond | Short Term Bond | Strategic Income | |||||||||||||
Post-October capital losses3 | $ | 2,623,381 | $ | — | $ | — | $ | 39,705,730 | ||||||||
Late-year ordinary losses4 | — | 3,620,103 | 715,420 | 17,001,574 |
3 | Capital losses incurred from November 1, 2015 through June 30, 2016, the Funds’ last tax year end. |
4 | Ordinary losses incurred from January 1, 2016 through June 30, 2016 and/or specified losses incurred from November 1, 2015 through June 30, 2016. |
7. Management Fees and Other Transactions with Affiliates
Management Fees
Each Fund’s management fee compensates the Adviser for the overall investment advisory and administrative services and general office facilities. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
Each Fund’s management fee consists of two components – a fund-level fee, based only on the amount of assets within each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables each Fund’s shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
The annual Fund-level fee, payable monthly, for each Fund is calculated according to the following schedule:
Average Daily Net Assets | Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | |||||||||||||||||||||
For the first $125 million | 0.2700 | % | 0.2800 | % | 0.4000 | % | 0.2500 | % | 0.2500 | % | 0.2200 | % | 0.3600 | % | ||||||||||||||
For the next $125 million | 0.2575 | 0.2675 | 0.3875 | 0.2375 | 0.2375 | 0.2075 | 0.3475 | |||||||||||||||||||||
For the next $250 million | 0.2450 | 0.2550 | 0.3750 | 0.2250 | 0.2250 | 0.1950 | 0.3350 | |||||||||||||||||||||
For the next $500 million | 0.2325 | 0.2425 | 0.3625 | 0.2125 | 0.2125 | 0.1825 | 0.3225 | |||||||||||||||||||||
For the next $1 billion | 0.2200 | 0.2300 | 0.3500 | 0.2000 | 0.2000 | 0.1700 | 0.3100 | |||||||||||||||||||||
For net assets over $2 billion | 0.1950 | 0.2050 | 0.3250 | 0.1750 | 0.1750 | 0.1450 | 0.2850 |
160 | NUVEEN |
The annual complex-level fee, payable monthly, for each Fund 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 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 | 0.2000 | % | ||
$56 billion | 0.1996 | |||
$57 billion | 0.1989 | |||
$60 billion | 0.1961 | |||
$63 billion | 0.1931 | |||
$66 billion | 0.1900 | |||
$71 billion | 0.1851 | |||
$76 billion | 0.1806 | |||
$80 billion | 0.1773 | |||
$91 billion | 0.1691 | |||
$125 billion | 0.1599 | |||
$200 billion | 0.1505 | |||
$250 billion | 0.1469 | |||
$300 billion | 0.1445 |
* | 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 a determined amount (originally $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 certain types of leverage. For these purposes, leverage includes the closed-end funds’ use of preferred stock and borrowings and certain investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by 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 December 31, 2016, the complex-level fee for each Fund was as follows: |
Fund | Complex-Level Fee | |||
Core Bond | 0.1998 | % | ||
Core Plus Bond | 0.1998 | |||
High Income Bond | 0.1980 | |||
Inflation Protected Securities | 0.1735 | |||
Intermediate Government Bond | 0.1998 | |||
Short Term Bond | 0.1998 | |||
Strategic Income | 0.1922 |
The Adviser has agreed to waive fees and/or reimburse expenses (“Expense Cap”) of each Fund so that total annual Fund operating expenses (excluding 12b-1 distribution and/or service fees, interest expenses, taxes, acquired fund fees and expenses, fees occurred in acquiring and disposing of portfolio securities and extraordinary expenses) 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. However, because Class R6 Shares are not subject to sub-transfer agent and similar fees, the total annual Fund operating expenses for the Class R6 Shares will be less than the expense limitation.
Fund | Expense Cap | Expense Cap Expiration Date | ||||
Core Bond | 0.53 | % | October 31, 2017 | |||
Core Plus Bond | 0.52 | October 31, 2017 | ||||
High Income Bond | 0.75 | October 31, 2017 | ||||
Inflation Protected Securities | 0.56 | October 31, 2017 | ||||
Intermediate Government Bond | 0.54 | October 31, 2017 | ||||
Short Term Bond | 0.47 | October 31, 2017 | ||||
Strategic Income | 0.59 | October 31, 2017 |
Other Transactions with Affiliates
The Trust pays no compensation directly to those of its directors who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Trust from the Adviser or its affiliates. The Board has adopted a deferred compensation plan for independent directors that enables directors 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 current fiscal period, 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 | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Sales charges collected | $ | 7,298 | $ | 37,170 | $ | 271,021 | $ | 41,659 | $ | 6,526 | $ | 74,027 | $ | 131,713 | ||||||||||||||
Paid to financial intermediaries | 6,285 | 33,061 | 240,688 | 38,645 | 5,396 | 71,575 | 119,061 |
NUVEEN | 161 |
Notes to Financial Statements (Unaudited) (continued)
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 current fiscal period, the Distributor compensated financial intermediaries directly with commission advances at the time of purchase as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
Commission advances | $ | 4,039 | $ | 12,647 | $ | 52,267 | $ | 55,873 | $ | 4,483 | $ | 62,527 | $ | 75,173 |
To compensate for commissions advanced to financial intermediaries, all 12b-1 service and distribution fees collected on Class C Shares during the first year following a purchase are retained by the Distributor. During the current fiscal period, the Distributor retained such 12b-1 fees as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
12b-1 fees retained | $ | 3,296 | $ | 9,262 | $ | 35,495 | $ | 1,164 | $ | 2,866 | $ | 22,941 | $ | 47,607 |
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 current fiscal period, as follows:
Core Bond | Core Plus Bond | High Income Bond | Inflation Protected Securities | Intermediate Government Bond | Short Term Bond | Strategic Income | ||||||||||||||||||||||
CDSC retained | $ | 208 | $ | 320 | $ | 6,974 | $ | 440 | $ | 2,744 | $ | 15,224 | $ | 8,580 |
8. Borrowing Arrangements
Uncommitted Line of Credit
During the current fiscal period, the Funds participated in an unsecured bank line of credit (“Unsecured Credit Line”) under which outstanding balances would bear interest at a variable rate. Although the Funds participated in the Unsecured Credit Line, they did not have any outstanding balances during the current fiscal period.
Committed Line of Credit
The Funds, along with certain other funds managed by the Adviser (“Participating Funds”), have established a 364-day, approximately $2.5 billion standby credit facility with a group of lenders, under which the Participating Funds may borrow for various purposes other than leveraging for investment purposes. A large portion of this facility’s capacity (and its associated costs as described below) is currently dedicated for use by a small number of Participating Funds, which does not include any of the Funds covered by this shareholder report. The remaining capacity under the facility (and the corresponding portion of the facility’s annual costs) is separately dedicated to most of the other open-end funds in the Nuveen fund family, including all of the Funds covered by this shareholder report, along with a number of Nuveen closed-end funds. The credit facility expires in July 2017 unless extended or renewed.
The credit facility has the following terms: a fee of 0.15% per annum on unused commitment amounts, and interest at a rate equal to the higher of (a) one-month LIBOR (London Inter-Bank Offered Rate) plus 1.25% per annum or (b) the Fed Funds rate plus 1.25% per annum on amounts borrowed. Participating Funds paid administration, legal and arrangement fees, which are recognized as a component of “Other expenses” on the Statement of Operations, and along with commitment fees, have been allocated among such Participating Funds based upon the relative proportions of the facility’s aggregate capacity reserved for them and other factors deemed relevant by the Adviser and the Board of each Participating Fund.
During the current fiscal period, High Income Bond utilized this facility. The Fund’s average daily balance outstanding and average annual interest rate during the utilization period were $58,571,429 and 1.79%, respectively. The Fund’s maximum outstanding daily balance during the utilization period was $95,000,000. Borrowings outstanding as of the end of the reporting period are recognized as “Borrowings” on the Statement of Assets and Liabilities. None of the other Funds utilized this facility during the current fiscal period.
162 | NUVEEN |
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 | Independent Registered PricewaterhouseCoopers LLP One North Wacker Drive Chicago, IL 60606
Custodian U.S. Bank National Association 1555 North RiverCenter Drive Suite 302 Milwaukee, WI 53202 | Legal Counsel Chapman and Cutler LLP Chicago, IL 60603 | Transfer Agent and Boston Financial Nuveen Investor Services P.O. Box 8530 Boston, MA 02266-8530 (800) 257-8787 |
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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. | ||||||||||||||
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Nuveen Funds’ Proxy Voting Information: You may obtain (i) information regarding how each fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request, by calling Nuveen toll-free at (800) 257-8787 or on Nuveen’s website at www.nuveen.com and (ii) a description of the policies and procedures that each fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling Nuveen toll-free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov. | ||||||||||||||
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FINRA BrokerCheck: The Financial Industry Regulatory Authority (FINRA) provides information regarding the disciplinary history of FINRA member firms and associated investment professionals. This information as well as an investor brochure describing FINRA BrokerCheck is available to the public by calling the FINRA BrokerCheck Hotline number at (800) 289-9999 or by visiting www.FINRA.org. |
NUVEEN | 163 |
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.
Bloomberg Barclays U.S. 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 outstanding 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.
Bloomberg 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.
Bloomberg 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.
Bloomberg 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.
Bloomberg 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.
164 | NUVEEN |
Lipper Core Bond Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Core Bond Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper Core Bond Plus Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Core Bond Plus Classification. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charge.
Lipper High Current Yield Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper High Current Yield 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 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 Multi-Sector Income Funds Classification Average: Represents the average annualized returns for all reporting funds in the Lipper Multi-Sector 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 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.
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.
Net Asset Value (NAV) Per Share: A fund’s Net Assets is equal to its total assets (securities, cash and accrued earnings) less its total liabilities. For funds with multiple classes, Net Assets are determined separately for each share class. NAV per share is equal to the fund’s (or share class’) Net Assets divided by its 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.
NUVEEN | 165 |
Notes
166 | NUVEEN |
Notes
NUVEEN | 167 |
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Nuveen: | ||||||||||||||
Serving Investors for Generations | ||||||||||||||
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Since 1898, financial advisors and their clients have relied on Nuveen to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality equity and fixed-income solutions designed to be integral components of a well-diversified core portfolio. | ||||||||||||||
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Focused on meeting investor needs.
Nuveen helps secure the long-term goals of individual investors and the advisors who serve them, providing access to investment expertise from leading asset managers and solutions across traditional and alternative asset classes. Built on more than a century of industry leadership, Nuveen’s teams of experts align with clients’ specific financial needs and goals, demonstrating commitment to advisors and investors through market perspectives and wealth management and portfolio advisory services. Nuveen manages $236 billion in assets as of December 31, 2016. | ||||||||||||||
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Find out how we can help you. To learn more about how the products and services of Nuveen may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen, 333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
Learn more about Nuveen Funds at: www.nuveen.com/mf | ||||||||||||||
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Securities offered through Nuveen Securities, LLC, Member FINRA and SIPC | 333 West Wacker Drive Chicago, IL 60606 | www.nuveen.com/mf |
MSA-FINC-1216D 23212-INV-B-03/18
Item 2. Code of Ethics.
Not applicable to this filing.
Item 3. Audit Committee Financial Expert.
Not applicable to this filing.
Item 4. Principal Accountant Fees and Services.
Not applicable to this filing.
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.
(b) Not applicable.
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 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 to this filing.
(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/ Kathleen L. Prudhomme | ||||
Kathleen L. Prudhomme Vice President and Secretary |
Date: March 9, 2017
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/ Greg A. Bottjer | ||||
Greg A. Bottjer Chief Administrative Officer (principal executive officer) |
Date: March 9, 2017
By | (Signature and Title) | /s/ Stephen D. Foy | ||||
Stephen D. Foy Vice President and Controller (principal financial officer) |
Date: March 9, 2017