UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-PX
ANNUAL REPORT OF PROXY VOTING RECORD OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number 811-09709
Highland Floating Rate Advantage Fund
(Exact name of registrant as specified in charter)
13455 Noel Road, Suite 800
Dallas, TX 75240
(Address of principal executive offices) (Zip code)
James D. Dondero
Highland Capital Management, L.P.
13455 Noel Road, Suite 800
Dallas, TX 75240
(Name and address of agent for service)
Registrant's telephone number, including area code: 972-628-4100
Date of fiscal year end: August 31
Date of reporting period: July 1, 2005 - June 30, 2006
Form N-PX is to be used by a registered management investment company, other
than a small business investment company registered on Form N-5 (Sections 239.24
and 274.5 of this chapter), to file reports with the Commission, not later than
August 31 of each year, containing the registrant's proxy voting record for the
most recent twelve-month period ended June 30, pursuant to section 30 of the
Investment Company Act of 1940 and rule 30b1-4 there under (17 CFR 270.30b1-4).
The Commission may use the information provided on Form N-PX in its regulatory,
disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-PX, and
the Commission will make this information public. A registrant is not required
to respond to the collection of information contained in Form N-PX 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 the
Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC
20549. The OMB has reviewed this collection of information under the clearance
requirements of 44 U.S.C. Section 3507.
PROXY VOTING RECORD
FOR PERIOD JULY 1, 2005 TO JUNE 30, 2006
WHO
PROPOSED
ISSUER OF EXCHANGE SHAREHOLDER MATTER:
PORTFOLIO TICKER MEETING ISSUER /
SECURITY SYMBOL CUSIP# DATE SUMMARY OF MATTER VOTED ON SHAREHOLDER
- -------------- -------- --------- ------------ ------------------------------ -----------
Leap Wireless LEAP 521863308 May 18, 2006 1. Election of Directors 1. Mgmt
International, 1. James D. Dondero
Inc. 2. John D. Harkey Jr
3. S. Douglas Hutcheson
4. Robert V. Lapenta
5. Mark H. Rachesky
6. Michael B. Targoff
2. To Ratify the Selection 2. Mgmt
of PricewaterhouseCoopers LLP
as the independent registered
public accounting firm for the
fiscal year ending December
31, 2006.
Leap Wireless LEAP 521863308 September 1. Election of Directors 1. Mgmt
International, 15, 2005 1. James D. Dondero
Inc. 2. John D. Harkey Jr
3. S. Douglas Hutcheson
4. Robert V. Lapenta
5. Mark H. Rachesky
6. Michael B. Targoff
2. To approve the Leap 2. Mgmt
Wireless International, Inc.
employee stock purchase plan.
Mirant MIR 60467R100 May 9, 2006 1. Election of Directors 1. Mgmt
Corporation 1. Thomas W. Cason
2. A.D. (Pete) Correll
3. Terry G. Dallas
4. Thomas H. Johnson
5. John T. Miller
6. Edward R. Muller
7. Robert C. Murray
8. John M. Quain
9. William L. Thacker
2. Ratification of Appointment
of KPMG LLP as Independent
Auditor for 2006 2. Mgmt
Sun Healthcare SUNH 866933401 October 31, On the proposal to approve the Mgmt
Group, Inc. 2005 issuance of up to 8,975,724
shares of the common stock of
the company in connection with
the proposed acquisition of
Peak Medical Corporation.
FUND'S VOTE FOR OR
AGAINST PROPOSAL,
OR ABSTAIN; FOR OR
ISSUER OF WHETHER FUND WITHHOLD REGARDING WHETHER VOTE WAS
PORTFOLIO CAST VOTE ON ELECTION OF FOR OR AGAINST
SECURITY MATTER DIRECTORS MANAGEMENT
- -------------- ------------ ------------------ ----------------
Leap Wireless 1. No N/A N/A
International,
Inc.
2. No
Leap Wireless 1. Yes 1. For 1. For
International, 1. For 1. For
Inc. 2. For 2. For
3. For 3. For
4. For 4. For
5. For 5. For
6. For 6. For
2. Yes 2. For 2. For
Mirant 1. No N/A N/A
Corporation
2. Mgmt
Sun Healthcare No N/A N/A
Group, Inc.
SIGNATURES
Pursuant to the requirements of 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 Highland Floating Rate Advantage Fund
By (Signature and Title)* /s/ James D. Dondero
------------------------------------------------------
James D. Dondero, Chief Executive Officer
(Principal Executive Officer)
Date August 25, 2006
* Print the name and title of each signing officer under his or her
signature.