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 811-10197
Nuveen California Dividend Advantage Municipal Fund 2
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Address of principal executive offices) (Zip code)
Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
Date of fiscal year end: February 28
Date of reporting period: August 31, 2011
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
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Table of Contents
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Chairman’s Letter to Shareholders
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4
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Portfolio Manager’s Comments
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5
|
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Common Share Dividend and Share Price Information
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12
|
|
Performance Overviews
|
14
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Portfolios of Investments
|
22
|
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Statement of Assets and Liabilities
|
67
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Statement of Operations
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69
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Statement of Changes in Net Assets
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71
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Statement of Cash Flows
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74
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Financial Highlights
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77
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Notes to Financial Statements
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90
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Annual Investment Management Agreement Approval Process
|
107
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Reinvest Automatically, Easily and Conveniently
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115
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Glossary of Terms Used in this Report
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117
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Other Useful Information
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123
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Chairman’s
Letter to Shareholders
Dear Shareholders,
The global economy continues to be weighed down by an unusual combination of pressures facing the larger developed economies. Japanese leaders continue to work through the economic aftereffects of the March 2011 earthquake and tsunami. Political leaders in Europe and the U.S. have resolved some of the near term fiscal problems, but the financial markets are not convinced that these leaders are able to address more complex longer term fiscal issues. Despite improved earnings and capital increases, the largest banks in these countries continue to be vulnerable to deteriorating mortgage portfolios and sovereign credit exposure, adding another source of uncertainty to the global financial system.
In the U.S., recent economic statistics indicate that the economic recovery may be losing momentum. Consumption, which represents about 70% of the gross domestic product, faces an array of challenges from seemingly intractable declines in housing values, increased energy costs and limited growth in the job market. The failure of Congress and the administration to agree on the debt ceiling increase on a timely basis and the deep divisions between the political parties over fashioning a balanced program to address growing fiscal imbalances that led to the recent S&P ratings downgrade add considerable uncertainty to the domestic economic picture.
On a more positive note, corporate earnings continue to hold up well and the municipal bond market is recovering from recent weakness as states and municipalities implement various programs to reduce their budgetary deficits. In addition, the Federal Reserve System has made it clear that it stands ready to take additional steps should the economic recovery falter. However, there are concerns that the Fed is approaching the limits of its resources to intervene in the economy.
These perplexing times highlight the importance of professional investment management. Your Nuveen investment team is working hard to develop an appropriate response to increased risk, and they continue to seek out opportunities created by stressful markets using proven investment disciplines designed to help your Fund achieve its investment objectives. On your behalf, we monitor their activities to assure that they maintain their investment disciplines.
As always, I encourage you to contact your financial consultant if you have any questions about your investment in a Nuveen Fund. On behalf of the other members of your Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
Sincerely,
Robert P. Bremner
Chairman of the Board
October 21, 2011
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4
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Nuveen Investments
|
Portfolio Manager’s Comments
Nuveen Insured California Premium Income Municipal Fund, Inc. (NPC)
Nuveen Insured California Premium Income Municipal Fund 2, Inc. (NCL)
Nuveen California Premium Income Municipal Fund (NCU)
Nuveen California Dividend Advantage Municipal Fund (NAC)
Nuveen California Dividend Advantage Municipal Fund 2 (NVX)
Nuveen California Dividend Advantage Municipal Fund 3 (NZH)
Nuveen Insured California Dividend Advantage Municipal Fund (NKL)
Nuveen Insured California Tax-Free Advantage Municipal Fund (NKX)
Portfolio manager Scott Romans examines key investment strategies and the six-month performance of these Funds. Scott, who joined Nuveen in 2000, has managed NCU, NAC, NVX, NZH, NKL and NKX since 2003. He assumed portfolio management responsibility for NPC and NCL in 2005.
What key strategies were used to manage the California Funds during the six-month reporting period ended August 31, 2011?
During this reporting period, municipal bond prices generally rallied as yields declined across the municipal curve. The relative decline in yields was attributable in part to the continued depressed level of municipal bond issuance. Tax-exempt volume, which had been limited in 2010 by issuers’ extensive use of taxable Build America Bonds (BABs), continued to drift lower in 2011. Even though BABs were no longer an option for issuers (the BAB program expired at the end of 2010), some borrowers had accelerated issuance into 2010 in order to take advantage of the program’s favorable terms before its termination, fulfilling their capital program borrowing needs well into 2012. This reduced the need for many borrowers to come to market with new issues during this period. For the six months ended August 31, 2011, national municipal issuance was down 34% compared with the same period in 2010, while municipal issuance in California declined 37%. One indicator of the general lack of supply was the fact that, as of August 31, 2011, the state of California had not issued any tax-exempt bonds during 2011.
Despite the constrained issuance of tax-exempt municipal bonds and relatively lower yields, we continued to take a bottom-up approach to discovering undervalued sectors and individual credits with the potential to perform well over the long term. During this period, these California Funds found value in health care, where we were able to add to our holdings at attractive prices, and in new issues for charter schools. We also continued to actively add exposure to redevelopment agency (RDA) bonds, which fund programs to improve deteriorated, blighted and economically depressed areas in California. We remained very selective in our purchases in this area, evaluating bonds on a case by case basis and buying only those where our research indicated that we potentially would be compensated for taking on additional risk. In addition, in Funds where we sought to adjust duration, we purchased zero coupon bonds issued by local school districts at historically wide spreads. These bonds offered longer durations with very attractive yields relative to their credit quality. With both the RDA bonds and the local school district credits, we were able to discover attractive candidates for purchase in both the insured and uninsured segments of the market.
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 manager as of the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements, and the views expressed herein are subject to change at any time, due to numerous market and other factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
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Nuveen Investments
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5
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For the most part, we focused on purchasing longer maturity bonds during this period in order to take advantage of more attractive yields at the longer end of the municipal bond yield curve. Cash for new purchases during this period was generated largely by the proceeds from bond calls and maturing bonds, which we worked to redeploy to keep the Funds fully invested.
As of August 31, 2011, all of these Funds continued to use inverse floating rate securities. We employ inverse floaters as a form of leverage for a variety of reasons, including duration management, income enhancement and total return enhancement. As part of our duration management strategies, NCL also used derivatives (forward interest rate swaps) to reduce price volatility risk to movement in U.S. interest rates relative to the Fund’s benchmarks. During this period, the derivatives functioned as intended, and by period end, we had removed the derivatives from NCL.
How did the Funds perform?
Individual results for these Nuveen California Funds, as well as relevant index and peer group information, are presented in the accompanying table.
Average Annual Total Returns on Common Share Net Asset Value*
For periods ended 8/31/11
|
6-Month
|
1-Year
|
5-Year
|
10-Year
|
|||||||||||||
|
Uninsured Funds
|
||||||||||||||||
|
NCU
|
11.96 | % | 2.91 | % | 4.73 | % | 5.67 | % | ||||||||
|
NAC
|
12.66 | % | 1.57 | % | 4.08 | % | 5.53 | % | ||||||||
|
NVX
|
10.65 | % | 2.27 | % | 4.67 | % | 5.57 | % | ||||||||
|
NZH
|
10.65 | % | 1.48 | % | 3.17 | % | N/A | |||||||||
|
Standard & Poor’s (S&P) California Municipal Bond Index**
|
7.33 | % | 2.68 | % | 4.39 | % | 4.81 | % | ||||||||
|
Standard & Poor’s (S&P) National Municipal Bond Index**
|
6.56 | % | 2.62 | % | 4.60 | % | 4.93 | % | ||||||||
|
Lipper California Municipal Debt Classification Average**
|
11.95 | % | 1.31 | % | 3.04 | % | 5.01 | % | ||||||||
|
Insured Funds
|
||||||||||||||||
|
NPC
|
13.18 | % | 3.25 | % | 4.94 | % | 5.34 | % | ||||||||
|
NCL
|
12.71 | % | 2.02 | % | 4.71 | % | 5.27 | % | ||||||||
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NKL
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11.44 | % | 2.78 | % | 4.89 | % | N/A | |||||||||
|
NKX
|
12.05 | % | 1.42 | % | 4.19 | % | N/A | |||||||||
|
Standard & Poor’s (S&P) California Municipal Bond Index**
|
7.33 | % | 2.68 | % | 4.39 | % | 4.81 | % | ||||||||
|
Standard & Poor’s (S&P) Insured National Municipal Bond Index**
|
7.16 | % | 2.61 | % | 4.61 | % | 4.97 | % | ||||||||
|
Lipper Single-State Insured Municipal Debt Classification Average**
|
9.77 | % | 2.20 | % | 4.88 | % | 5.46 | % | ||||||||
For the six months ended August 31, 2011, the cumulative returns on common share net asset value (NAV) for all four of the uninsured Funds—NCU, NAC, NVX and NZH—exceeded the returns on the Standard & Poor’s (S&P) California Municipal Bond Index as well as the Standard & Poor’s (S&P) National Municipal Bond Index. NCU and NCA also outperformed the average return for the Lipper California Municipal Debt Classification Average, while NVX and NZH underperformed this Lipper average. For the same period, all four of the insured Funds—NPC, NCL, NKL and NKX—exceeded the returns on the S&P California
|
Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares.
|
|
|
For additional information, see the individual Performance Overview for your Fund in this report.
|
|
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*
|
6-month returns are cumulative; all other returns are annualized.
|
|
**
|
Refer to the Glossary of Terms Used in this Report for definitions.
|
|
6
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Nuveen Investments
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Municipal Bond Index, the S&P Insured National Municipal Bond Index and the Lipper Single-State Insured Municipal Debt Classification Average.
Key management factors that influenced the Funds’ returns during this period included duration and yield curve positioning, credit exposure and sector allocation. In addition, the use of leverage was an important positive factor during this period. The impact of leverage is discussed in more detail later in this report.
During this period, as yields across the municipal bond curve declined, municipal bonds with longer maturities generally outperformed the shorter maturity categories, with credits at the longest end of the yield curve posting the strongest returns. Among these Funds, NPC and NAC were the most advantageously positioned in terms of duration and yield curve, with overweights in the outperforming longer part of the yield curve and underexposure to the shorter end of the curve that did not perform as well. Overall, duration and yield curve positioning was a positive contributor to the performance of all of these Funds, although the net impact varied depending upon each Fund’s individual weightings along the yield curve.
Holdings that generally made positive contributions to the Funds’ returns during this period included zero coupon bonds and health care, transportation and education credits. The special tax, water and sewer and industrial development revenue sectors also outperformed the municipal market as a whole, while general obligation and other tax-supported bonds generally performed in line with the market during this period. NAC, in particular, benefited from its overweightings in health care and transportation. The insured Funds also were helped by their exposure to redevelopment agency bonds, especially NPC.
In contrast, pre-refunded bonds, which are often backed by U.S. Treasury securities, were among the poorest performing market segments during this period. The under-performance of these bonds can be attributed primarily to their shorter effective maturities and higher credit quality. Among the revenue sectors, resource recovery trailed the overall municipal market by the widest margin.
Credit exposure played a smaller role in performance during these six months, as bonds rated BBB, A and AA typically outperformed those rated AAA. In this environment, the Funds’ performance generally benefited from their allocations to lower quality credits.
IMPACT OF THE FUNDS’ LEVERAGE STRATEGIES ON PERFORMANCE
One important factor impacting the returns of all these Funds relative to the comparative indexes was the Funds’ use of leverage. The Funds use leverage because their managers believe that, over time, leveraging provides opportunities for additional income and total return for common shareholders. However, use of leverage also can expose common shareholders to additional volatility. For example, as the prices of securities held by a Fund decline, the negative impact of these valuation changes on common share net asset value and common shareholder total return is magnified by the use of leverage. Conversely, leverage may enhance common share returns during periods when the prices of securities
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Nuveen Investments
|
7
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held by a Fund generally are rising. Leverage made a positive contribution to the performance of these Funds over this reporting period.
RECENT DEVELOPMENTS REGARDING THE FUNDS’ REDEMPTION OF AUCTION RATE PREFERRED SHARES
Shortly after their respective inceptions, each of the Funds issued auction rate preferred shares (ARPS) to create structural leverage. As noted in past shareholder reports, the ARPS issued by many closed-end funds, including these Funds, have been hampered by a lack of liquidity since February 2008. Since that time, more ARPS have been submitted for sale in each of their regularly scheduled auctions than there have been offers to buy. In fact, offers to buy have been almost completely nonexistent since late February 2008. This means that these auctions have “failed to clear,” and that many, or all, of the ARPS shareholders who wanted to sell their shares in these auctions were unable to do so. This lack of liquidity in ARPS did not lower the credit quality of these shares, and ARPS shareholders unable to sell their shares continued to receive distributions at the “maximum rate” applicable to failed auctions, as calculated in accordance with the pre-established terms of the ARPS. In the recent market, with short term rates at multi-generational lows, those maximum rates also have been low.
One continuing implication for common shareholders from the auction failures is that each Fund’s cost of leverage likely has been incrementally higher at times than it otherwise might have been had the auctions continued to be successful. As a result, each Fund’s common share earnings likely have been incrementally lower at times than they otherwise might have been.
As noted in past shareholder reports, the Nuveen funds’ Board of Directors/Trustees authorized several methods that can be used separately or in combination to refinance a portion of the Nuveen funds’ outstanding ARPS. Some funds have utilized tender option bonds (TOBs), also known as inverse floating rate securities, for leverage purposes. The amount of TOBs that a fund may use varies according to the composition of each fund’s portfolio. Some funds have a greater ability to use TOBs than others. Some funds have issued Variable Rate Demand Preferred (VRDP) Shares or Variable MuniFund Term Preferred (VMTP) Shares, which are floating rate forms of preferred stock with a mandatory term redemption. Some funds have issued MuniFund Term Preferred (MTP) Shares, a fixed rate form of preferred stock with a mandatory redemption period of three to five years.
During 2010 and 2011, certain Nuveen leveraged closed-end funds (including NAC, NZH and NKX) received a demand letter from a law firm on behalf of purported holders of common shares of each such fund, alleging that Nuveen and the funds’ officers and Board of Directors/Trustees breached their fiduciary duties related to the redemption at par of the funds’ ARPS. In response, the Board established an ad hoc Demand Committee consisting of certain of its disinterested and independent Board members to investigate the claims. The Demand Committee retained independent counsel to assist it in conducting an extensive investigation. Based upon its investigation, the Demand Committee found that it was not in the best interests of each fund or its shareholders to take the actions
|
8
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Nuveen Investments
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suggested in the demand letters, and recommended that the full Board reject the demands made in the demand letters. After reviewing the findings and recommendation of the Demand Committee, the full Board of each fund unanimously adopted the Demand Committee’s recommendation.
Subsequently, 33 of the funds that received demand letters (including NKX) were named in a consolidated complaint as nominal defendants in a putative shareholder derivative action captioned Martin Safier, et al. v. Nuveen Asset Management, et al. that was filed in the Circuit Court of Cook County, Illinois, Chancery Division (the “Cook County Chancery Court”) on February 18, 2011 (the “Complaint”). The Complaint, filed on behalf of purported holders of each fund’s common shares, also name Nuveen Fund Advisors, Inc. as a defendant, together with current and former Officers and interested Director/Trustees of each of the funds (together with the nominal defendants, collectively, the “Defendants”). The Complaint contains the same basic allegations contained in the demand letters. The suits seek a declaration that the Defendants have breached their fiduciary duties, an order directing the Defendants not to redeem any ARPS at their liquidation value using fund assets, indeterminate monetary damages in favor of the funds and an award of plaintiffs’ costs and disbursements in pursuing the action. The Court has heard arguments on the funds’ motion to dismiss the suit, and has taken the matter under advisement. Nuveen Fund Advisors, Inc. believes that the Complaint is without merit, and is defending vigorously against these charges.
As of August 31, 2011, each of the Funds has redeemed all of their outstanding ARPS at liquidation value.
As of August 31, 2011, the Funds have issued and outstanding MTP Shares and VRDP Shares as shown in the accompanying tables.
MTP Shares
|
Fund
|
Series
|
MTP Shares Issued
at Liquidation Value
|
Annual
Interest Rate
|
NYSE
Ticker
|
|||||||||
|
NCU
|
2015
|
$
|
35,250,000
|
2.00
|
%
|
NCU PrC
|
|||||||
|
NVX
|
2014
|
$
|
42,846,300
|
2.35
|
%
|
NVX PrA
|
|||||||
|
NVX
|
2015
|
$
|
55,000,000
|
2.05
|
%
|
NVX PrC
|
|||||||
|
NZH
|
2014
|
$
|
27,000,000
|
2.35
|
%
|
NZH PrA
|
|||||||
|
NZH
|
2014-1
|
$
|
46,294,500
|
2.25
|
%
|
NZH PrB
|
|||||||
|
NZH
|
2015
|
$
|
86,250,000
|
2.95
|
%
|
NZH PrC
|
|||||||
VRDP Shares
|
Fund
|
VRDP Shares Issued
at Liquidation Value
|
||
|
NPC
|
$
|
42,700,000
|
|
|
NCL
|
$
|
74,000,000
|
|
|
NAC
|
$
|
136,200,000
|
|
|
NKL
|
$
|
104,400,000
|
|
|
NKX
|
$
|
35,500,000
|
|
|
Nuveen Investments
|
9
|
(Refer to Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies and Footnote 4 – Fund Shares for further details on MTP and VRDP Shares.)
As of October 5, 2011, after the close of this reporting period, all 84 of the Nuveen closed-end municipal funds that had issued ARPS, approximately $11.0 billion, have redeemed at liquidation value all of these shares.
For up-to-date information, please visit the Nuveen CEF Auction Rate Preferred Resource Center at: http://www.nuveen.com/arps.
Regulatory Matters
During May 2011, Nuveen Securities, LLC, known as Nuveen Investments, LLC, prior to April 30, 2011, entered into a settlement with the Financial Industry Regulatory Authority (FINRA) with respect to certain allegations regarding Nuveen-sponsored closed-end fund ARPS marketing brochures. As part of this settlement, Nuveen Securities, LLC neither admitted to nor denied FINRA’s allegations. Nuveen Securities, LLC is the broker-dealer subsidiary of Nuveen Investments.
The settlement with FINRA concludes an investigation that followed the widespread failure of auctions for ARPS and other auction rate securities, which generally began in mid-February 2008. In the settlement, FINRA alleged that certain marketing materials provided by Nuveen Securities, LLC were false and misleading. Nuveen Securities, LLC agreed to a censure and the payment of a $3 million fine.
RISK CONSIDERATIONS
Fund shares are not guaranteed or endorsed by any bank or other insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation. Past performance is no guarantee of future results. Fund common shares are subject to a variety of risks, including:
Investment Risk. The possible loss of the entire principal amount that you invest.
Price Risk. Shares of closed-end investment companies like these Funds frequently trade at a discount to their NAV. Your common shares at any point in time may be worth less than your original investment, even after taking into account the reinvestment of Fund dividends and distributions.
Leverage Risk. Each Fund’s use of leverage creates the possibility of higher volatility for the Fund’s per share NAV, market price, distributions and returns. There is no assurance that a Fund’s leveraging strategy will be successful.
|
10
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Nuveen Investments
|
Tax Risk. The tax treatment of Fund distributions may be affected by new IRS interpretations of the Internal Revenue Code and future changes in tax laws and regulations.
Issuer Credit Risk. This is the risk that a security in a Fund’s portfolio will fail to make dividend or interest payments when due.
Interest Rate Risk. Fixed-income securities such as bonds, preferred, convertible and other debt securities will decline in value if market interest rates rise.
Reinvestment Risk. If market interest rates decline, income earned from a Fund’s portfolio may be reinvested at rates below that of the original bond that generated the income.
Call Risk or Prepayment Risk. Issuers may exercise their option to prepay principal earlier than scheduled, forcing a Fund to reinvest in lower-yielding securities.
|
Nuveen Investments
|
11
|
Common Share Dividend and
Share Price Information
The monthly dividends of all eight Funds in this report remained stable throughout the six-month reporting period ended August 31, 2011.
All of the Funds in this report seek to pay stable dividends at rates that reflect each Fund’s past results and projected future performance. During certain periods, each Fund may pay dividends at a rate that may be more or less than the amount of net investment income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it holds the excess in reserve as undistributed net investment income (UNII) as part of the Fund’s NAV. Conversely, if a Fund has cumulatively paid dividends in excess of its earnings, the excess constitutes negative UNII that is likewise reflected in the Fund’s NAV. Each Fund will, over time, pay all of its net investment income as dividends to shareholders. As of August 31, 2011, all of the Funds in this report had positive UNII balances, based upon our best estimate, for tax purposes and positive UNII balances for financial statement purposes.
COMMON SHARE REPURCHASES AND SHARE PRICE INFORMATION
As of August 31, 2011, and the since inception of the Funds’ repurchase program, the following Funds have cumulatively repurchased and retired common shares as shown in the accompanying table. Since the inception of the Fund’s repurchase program, NAC and NKX have not redeemed any of their outstanding common shares.
|
Fund
|
Common Shares
Repurchased
and Retired
|
% of Outstanding
Common Shares
|
|||||
|
NPC
|
17,700
|
0.3
|
%
|
||||
|
NCL
|
55,700
|
0.4
|
%
|
||||
|
NCU
|
44,500
|
0.8
|
%
|
||||
|
NAC
|
—
|
—
|
|||||
|
NVX
|
50,700
|
0.3
|
%
|
||||
|
NZH
|
12,900
|
0.1
|
%
|
||||
|
NKL
|
32,700
|
0.2
|
%
|
||||
|
NKX
|
—
|
—
|
|||||
|
12
|
Nuveen Investments
|
During the six-month reporting period, the Funds did not repurchase any of their outstanding common shares.
As of August 31, 2011, the Funds’ common share prices were trading at (-) discounts to their common share NAVs as shown in the accompanying table.
|
8/31/11
(-)Discount
|
|
Six-Month Average
(-)Discount
|
||||
|
NPC
|
(-)7.35%
|
|
(-)3.68%
|
|||
|
NCL
|
(-)4.35%
|
|
(-)5.00%
|
|||
|
NCU
|
(-)7.90%
|
|
(-)6.15%
|
|||
|
NAC
|
(-)2.90%
|
|
(-)4.48%
|
|||
|
NVX
|
(-)3.54%
|
|
(-)3.65%
|
|||
|
NZH
|
(-)3.55%
|
|
(-)3.05%
|
|||
|
NKL
|
(-)1.56%
|
|
(-)3.61%
|
|||
|
NKX
|
(-)7.60%
|
|
(-)8.11%
|
|
Nuveen Investments
|
13
|
|
NPC
|
Nuveen Insured California
|
|
|
Performance
|
Premium Income
|
|
|
OVERVIEW
|
Municipal Fund, Inc.
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
13.86
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
14.96
|
||
|
Premium/(Discount) to NAV
|
-7.35
|
%
|
||
|
Market Yield
|
6.28
|
%
|
||
|
Taxable-Equivalent Yield1
|
9.62
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
96,374
|
||
|
Leverage
|
||||
|
Structural Leverage
|
30.70
|
%
|
||
|
Effective Leverage
|
36.66
|
%
|
|
Average Annual Total Return
(Inception 11/19/92)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
7.92 | % | 13.18 | % | ||||
|
1-Year
|
-0.42 | % | 3.25 | % | ||||
|
5-Year
|
4.52 | % | 4.94 | % | ||||
|
10-Year
|
5.09 | % | 5.34 | % | ||||
|
Portfolio Composition4
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
33.8
|
%
|
||
|
Tax Obligation/General
|
19.8
|
%
|
||
|
U.S. Guaranteed
|
18.5
|
%
|
||
|
Water and Sewer
|
15.2
|
%
|
||
|
Health Care
|
7.1
|
%
|
||
|
Other
|
5.6
|
%
|
||
|
Insurers4
(as a % of total Insured investments)
|
||||
|
NPFG5
|
30.4
|
%
|
||
|
AMBAC
|
24.8
|
%
|
||
|
FGIC
|
19.1
|
%
|
||
|
AGM
|
16.5
|
%
|
||
|
AGC
|
7.2
|
%
|
||
|
SYNCORA GTY
|
2.0
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
The Fund intends to invest at least 80% of its managed assets in municipal securities that are covered by insurance guaranteeing the timely payment of principal and interest. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Insurance for more information. At the end of the reporting period, 80% of the Fund’s total investments are invested in Insured securities.
|
|
3
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
4
|
Holdings are subject to change.
|
|
5
|
MBIA’s public finance subsidiary.
|
|
14
|
Nuveen Investments
|
|
NCL
|
Nuveen Insured California
|
|
|
Performance
|
Premium Income
|
|
|
OVERVIEW
|
Municipal Fund 2, Inc.
|
|
|
August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
13.64
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
14.26
|
||
|
Premium/(Discount) to NAV
|
-4.35
|
%
|
||
|
Market Yield
|
6.33
|
%
|
||
|
Taxable-Equivalent Yield1
|
9.69
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
180,610
|
||
|
Leverage
|
||||
|
Structural Leverage
|
29.06
|
%
|
||
|
Effective Leverage
|
38.24
|
%
|
|
Average Annual Total Return
(Inception 3/18/93)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
13.26 | % | 12.71 | % | ||||
|
1-Year
|
1.78 | % | 2.02 | % | ||||
|
5-Year
|
5.39 | % | 4.71 | % | ||||
|
10-Year
|
5.19 | % | 5.27 | % | ||||
|
Portfolio Composition4
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
41.8
|
%
|
||
|
Tax Obligation/General
|
22.0
|
%
|
||
|
Water and Sewer
|
14.4
|
%
|
||
|
Utilities
|
5.6
|
%
|
||
|
Transportation
|
4.1
|
%
|
||
|
Other
|
12.1
|
%
|
||
|
Insurers4
(as a % of total Insured investments)
|
||||
|
AMBAC
|
29.6
|
%
|
||
|
AGM
|
21.4
|
%
|
||
|
FGIC
|
19.0
|
%
|
||
|
NPFG5
|
17.5
|
%
|
||
|
AGC
|
11.9
|
%
|
||
|
SYNCORA GTY
|
0.6
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
The Fund intends to invest at least 80% of its managed assets in municipal securities that are covered by insurance guaranteeing the timely payment of principal and interest. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Insurance for more information. At the end of the reporting period, 90% of the Fund’s total investments are invested in Insured securities.
|
|
3
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
4
|
Holdings are subject to change.
|
| 5 | MBIA’s public finance subsidiary. |
|
Nuveen Investments
|
15
|
|
NCU
|
Nuveen California
|
|
|
Performance
|
Premium Income
|
|
|
OVERVIEW
|
Municipal Fund
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
12.94
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
14.05
|
||
|
Premium/(Discount) to NAV
|
-7.90
|
%
|
||
|
Market Yield
|
6.72
|
%
|
||
|
Taxable-Equivalent Yield1
|
10.29
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
80,499
|
||
|
Leverage
|
||||
|
Structural Leverage
|
30.45
|
%
|
||
|
Effective Leverage
|
38.82
|
%
|
|
Average Annual Total Return
(Inception 6/18/93)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
9.05 | % | 11.96 | % | ||||
|
1-Year
|
-1.96 | % | 2.91 | % | ||||
|
5-Year
|
4.46 | % | 4.73 | % | ||||
|
10-Year
|
5.25 | % | 5.67 | % | ||||
|
Portfolio Composition3
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
30.2
|
%
|
||
|
Tax Obligation/General
|
18.5
|
%
|
||
|
Health Care
|
18.0
|
%
|
||
|
U.S. Guaranteed
|
8.9
|
%
|
||
|
Education and Civic Organizations
|
5.2
|
%
|
||
|
Utilities
|
5.1
|
%
|
||
|
Other
|
14.1
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
3
|
Holdings are subject to change.
|
|
16
|
Nuveen Investments
|
|
NAC
|
Nuveen California
|
|
|
Performance
|
Dividend Advantage
|
|
|
OVERVIEW
|
Municipal Fund
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
13.41
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
13.81
|
||
|
Premium/(Discount) to NAV
|
-2.90
|
%
|
||
|
Market Yield
|
6.67
|
%
|
||
|
Taxable-Equivalent Yield1
|
10.21
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
324,204
|
||
|
Leverage
|
||||
|
Structural Leverage
|
29.58
|
%
|
||
|
Effective Leverage
|
35.42
|
%
|
|
Average Annual Total Return
(Inception 5/26/99)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
13.86 | % | 12.66 | % | ||||
|
1-Year
|
-0.13 | % | 1.57 | % | ||||
|
5-Year
|
3.47 | % | 4.08 | % | ||||
|
10-Year
|
5.73 | % | 5.53 | % | ||||
|
Portfolio Composition3
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
25.0
|
%
|
||
|
Health Care
|
20.9
|
%
|
||
|
Tax Obligation/General
|
15.6
|
%
|
||
|
U.S. Guaranteed
|
10.3
|
%
|
||
|
Water and Sewer
|
8.5
|
%
|
||
|
Education and Civic Organizations
|
5.6
|
%
|
||
|
Other
|
14.1
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
3
|
Holdings are subject to change.
|
|
Nuveen Investments
|
17
|
|
NVX
|
Nuveen California
|
|
|
Performance
|
Dividend Advantage
|
|
|
OVERVIEW
|
Municipal Fund 2
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
13.89
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
14.40
|
||
|
Premium/(Discount) to NAV
|
-3.54
|
%
|
||
|
Market Yield
|
6.91
|
%
|
||
|
Taxable-Equivalent Yield1
|
10.58
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
212,375
|
||
|
Leverage
|
||||
|
Structural Leverage
|
31.54
|
%
|
||
|
Effective Leverage
|
39.39
|
%
|
|
Average Annual Total Return
(Inception 3/27/01)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
12.16 | % | 10.65 | % | ||||
|
1-Year
|
0.53 | % | 2.27 | % | ||||
|
5-Year
|
4.93 | % | 4.67 | % | ||||
|
10-Year
|
5.51 | % | 5.57 | % | ||||
|
Portfolio Composition3
(as a % of total investments)
|
||||
|
Health Care
|
18.2
|
%
|
||
|
Tax Obligation/General
|
15.6
|
%
|
||
|
U.S. Guaranteed
|
13.8
|
%
|
||
|
Tax Obligation/Limited
|
11.6
|
%
|
||
|
Transportation
|
8.0
|
%
|
||
|
Water and Sewer
|
7.5
|
%
|
||
|
Education and Civic Organizations
|
7.0
|
%
|
||
|
Utilities
|
5.9
|
%
|
||
|
Other
|
12.4
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
3
|
Holdings are subject to change.
|
|
18
|
Nuveen Investments
|
|
NZH
|
Nuveen California
|
|
|
Performance
|
Dividend Advantage
|
|
|
OVERVIEW
|
Municipal Fund 3
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
12.49
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
12.95
|
||
|
Premium/(Discount) to NAV
|
-3.55
|
%
|
||
|
Market Yield
|
7.21
|
%
|
||
|
Taxable-Equivalent Yield1
|
11.04
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
312,425
|
||
|
Leverage
|
||||
|
Structural Leverage
|
33.80
|
%
|
||
|
Effective Leverage
|
41.00
|
%
|
|
Average Annual Total Return
(Inception 9/25/01)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
11.04 | % | 10.65 | % | ||||
|
1-Year
|
-1.87 | % | 1.48 | % | ||||
|
5-Year
|
2.97 | % | 3.17 | % | ||||
|
Since Inception
|
4.50 | % | 5.05 | % | ||||
|
Portfolio Composition3
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
29.2
|
%
|
||
|
Health Care
|
21.9
|
%
|
||
|
U.S. Guaranteed
|
10.8
|
%
|
||
|
Tax Obligation/General
|
7.6
|
%
|
||
|
Consumer Staples
|
5.3
|
%
|
||
|
Water and Sewer
|
5.1
|
%
|
||
|
Transportation
|
5.0
|
%
|
||
|
Education and Civic Organizations
|
4.4
|
%
|
||
|
Other
|
10.7
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
3
|
Holdings are subject to change.
|
|
Nuveen Investments
|
19
|
|
NKL
|
Nuveen Insured California
|
|
|
Performance
|
Dividend Advantage
|
|
|
OVERVIEW
|
Municipal Fund
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
14.54
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
14.77
|
||
|
Premium/(Discount) to NAV
|
-1.56
|
%
|
||
|
Market Yield
|
6.48
|
%
|
||
|
Taxable-Equivalent Yield1
|
9.92
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
225,316
|
||
|
Leverage
|
||||
|
Structural Leverage
|
31.66
|
%
|
||
|
Effective Leverage
|
36.93
|
%
|
|
Average Annual Total Return
(Inception 3/25/02)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
15.54 | % | 11.44 | % | ||||
|
1-Year
|
2.83 | % | 2.78 | % | ||||
|
5-Year
|
4.66 | % | 4.89 | % | ||||
|
Since Inception
|
6.01 | % | 6.39 | % | ||||
|
Portfolio Composition4
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
31.5
|
%
|
||
|
Tax Obligation/General
|
24.7
|
%
|
||
|
Water and Sewer
|
12.0
|
%
|
||
|
Utilities
|
9.9
|
%
|
||
|
Health Care
|
5.3
|
%
|
||
|
U.S. Guaranteed
|
4.6
|
%
|
||
|
Other
|
12.0
|
%
|
|
Insurers4
(as a % of total Insured investments)
|
||||
|
AGM
|
26.0
|
%
|
||
|
AMBAC
|
25.0
|
%
|
||
|
NPFG5
|
19.9
|
%
|
||
|
FGIC
|
16.7
|
%
|
||
|
SYNCORA GTY
|
6.4
|
%
|
||
|
AGC
|
5.6
|
%
|
||
|
ACA
|
0.4
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
The Fund intends to invest at least 80% of its managed assets in municipal securities that are covered by insurance guaranteeing the timely payment of principal and interest. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Insurance for more information. At the end of the reporting period, 80% of the Fund’s total investments are invested in Insured securities.
|
|
3
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
4
|
Holdings are subject to change.
|
| 5 | MBIA’s public finance subsidiary. |
|
20
|
Nuveen Investments
|
|
NKX
|
Nuveen Insured California
|
|
|
Performance
|
Tax-Free Advantage
|
|
|
OVERVIEW
|
Municipal Fund
|
|
|
as of August 31, 2011
|
|
Fund Snapshot
|
||||
|
Common Share Price
|
$
|
12.88
|
||
|
Common Share Net Asset Value (NAV)
|
$
|
13.94
|
||
|
Premium/(Discount) to NAV
|
-7.60
|
%
|
||
|
Market Yield
|
6.24
|
%
|
||
|
Taxable-Equivalent Yield1
|
9.56
|
%
|
||
|
Net Assets Applicable to Common Shares ($000)
|
$
|
82,059
|
||
|
Leverage
|
||||
|
Structural Leverage
|
30.20
|
%
|
||
|
Effective Leverage
|
35.31
|
%
|
|
Average Annual Total Return
(Inception 11/21/02)
|
||||||||
| On Share Price | On NAV | |||||||
|
6-Month (Cumulative)
|
12.95 | % | 12.05 | % | ||||
|
1-Year
|
-2.75 | % | 1.42 | % | ||||
|
5-Year
|
3.79 | % | 4.19 | % | ||||
|
Since Inception
|
4.09 | % | 5.34 | % | ||||
|
Portfolio Composition4
(as a % of total investments)
|
||||
|
Tax Obligation/Limited
|
31.8
|
%
|
||
|
Health Care
|
17.5
|
%
|
||
|
U.S. Guaranteed
|
17.0
|
%
|
||
|
Water and Sewer
|
8.2
|
%
|
||
|
Tax Obligation/General
|
8.2
|
%
|
||
|
Transportation
|
5.7
|
%
|
||
|
Long-Term Care
|
5.2
|
%
|
||
|
Other
|
6.4
|
%
|
||
|
Insurers4
(as a % of total Insured investments)
|
||||
|
AMBAC
|
44.4
|
%
|
||
|
NPFG5
|
19.5
|
%
|
||
|
AGM
|
12.0
|
%
|
||
|
AGC
|
8.9
|
%
|
||
|
BHAC
|
5.6
|
%
|
||
|
FGIC
|
5.3
|
%
|
||
|
SYNCORA GTY
|
4.3
|
%
|
|
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
|
|
|
1
|
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 34.7%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
|
|
2
|
The Fund intends to invest at least 80% of its managed assets in municipal securities that are covered by insurance guaranteeing the timely payment of principal and interest. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Insurance for more information. At the end of the reporting period, 80% of the Fund’s total investments are invested in Insured securities.
|
|
3
|
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investor Services, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Bonds backed by U.S. Government or agency securities are given an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by a national rating agency.
|
|
4
|
Holdings are subject to change.
|
| 5 | MBIA’s public finance subsidiary. |
|
Nuveen Investments
|
21
|
|
Nuveen Insured California Premium Income Municipal Fund, Inc.
|
||
|
NPC
|
Portfolio of Investments
|
|
|
August 31, 2011 (Unaudited)
|
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Education and Civic Organizations – 3.5% (2.5% of Total Investments)
|
|||||||||
|
$
|
750
|
California Educational Facilities Authority, Student Loan Revenue Bonds, Cal Loan Program, Series 2001A, 5.400%, 3/01/21 – NPFG Insured (Alternative Minimum Tax)
|
3/12 at 100.00
|
Baa1
|
$
|
750,488
|
|||
|
1,500
|
California State University, Systemwide Revenue Bonds, Series 2005A, 5.000%, 11/01/25 – AMBAC Insured
|
5/15 at 100.00
|
Aa2
|
1,570,140
|
|||||
|
1,000
|
California State University, Systemwide Revenue Bonds, Series 2005C, 5.000%, 11/01/27 – NPFG Insured
|
11/15 at 100.00
|
Aa2
|
1,044,030
|
|||||
|
3,250
|
Total Education and Civic Organizations
|
3,364,658
|
|||||||
|
Health Care – 9.9% (7.1% of Total Investments)
|
|||||||||
|
3,000
|
California Health Facilities Financing Authority, Insured Revenue Bonds, Sutter Health, Series 1998A, 5.375%, 8/15/30 – NPFG Insured
|
2/12 at 100.00
|
AA–
|
3,001,320
|
|||||
|
1,500
|
California Statewide Community Development Authority, Certificates of Participation, Sutter Health Obligated Group, Series 1999, 5.500%, 8/15/19 – AGM Insured
|
2/12 at 100.00
|
AA+
|
1,505,400
|
|||||
|
2,800
|
California Statewide Community Development Authority, Revenue Bonds, St. Joseph Health System, Series 2007A, 5.750%, 7/01/47 – FGIC Insured
|
7/18 at 100.00
|
AA–
|
2,822,708
|
|||||
|
724
|
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health System, Trust 2554, 18.324%, 7/01/47 – AGM Insured (IF)
|
7/18 at 100.00
|
AA+
|
739,957
|
|||||
|
1,480
|
Santa Clara County Financing Authority, California, Insured Revenue Bonds, El Camino Hospital, Series 2007A, 5.750%, 2/01/41 – AMBAC Insured
|
8/17 at 100.00
|
A+
|
1,506,610
|
|||||
|
9,504
|
Total Health Care
|
9,575,995
|
|||||||
|
Housing/Single Family – 0.1% (0.1% of Total Investments)
|
|||||||||
|
110
|
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006H, 5.750%, 8/01/30 – FGIC Insured (Alternative Minimum Tax)
|
2/16 at 100.00
|
Baa1
|
110,070
|
|||||
|
Long-Term Care – 1.4% (1.0% of Total Investments)
|
|||||||||
|
1,250
|
California Health Facilities Financing Authority, Insured Revenue Bonds, Community Program for Persons with Developmental Disabilities, Series 2011A, 6.250%, 2/01/26
|
No Opt. Call
|
A–
|
1,345,713
|
|||||
|
Tax Obligation/General – 27.7% (19.8% of Total Investments)
|
|||||||||
|
Bonita Unified School District, San Diego County, California, General Obligation Bonds, Series 2004A:
|
|||||||||
|
1,890
|
5.250%, 8/01/23 – NPFG Insured
|
8/14 at 100.00
|
AA–
|
2,066,243
|
|||||
|
1,250
|
5.250%, 8/01/25 – NPFG Insured
|
8/14 at 100.00
|
AA–
|
1,365,225
|
|||||
|
El Segundo Unified School District, Los Angeles County, California, General Obligation Bonds, Series 2004:
|
|||||||||
|
2,580
|
5.250%, 9/01/21 – FGIC Insured
|
9/14 at 100.00
|
AA–
|
2,834,852
|
|||||
|
1,775
|
5.250%, 9/01/22 – FGIC Insured
|
9/14 at 100.00
|
AA–
|
1,945,152
|
|||||
|
1,130
|
Fontana Unified School District, San Bernardino County, California, General Obligation Bonds, Trust 2668, 9.359%, 2/01/16 – AGM Insured (IF)
|
No Opt. Call
|
AA+
|
1,277,375
|
|||||
|
1,225
|
Fresno Unified School District, Fresno County, California, General Obligation Refunding Bonds, Series 1998A, 6.550%, 8/01/20 – NPFG Insured
|
2/13 at 103.00
|
Aa3
|
1,346,251
|
|||||
|
5,000
|
Grossmont Healthcare District, California, General Obligation Bonds, Series 2007A, 5.000%, 7/15/37 – AMBAC Insured
|
7/17 at 100.00
|
Aa2
|
5,069,500
|
|||||
|
1,180
|
Jurupa Unified School District, Riverside County, California, General Obligation Bonds, Series 2004, 5.000%, 8/01/21 – FGIC Insured
|
8/13 at 100.00
|
A+
|
1,217,843
|
|||||
|
3,000
|
Pomona Unified School District, Los Angeles County, California, General Obligation Refunding Bonds, Series 1997A, 6.500%, 8/01/19 – NPFG Insured
|
2/12 at 103.00
|
A
|
3,151,140
|
|||||
|
160
|
Roseville Joint Union High School District, Placer County, California, General Obligation Bonds, Series 2006B, 5.000%, 8/01/27 – FGIC Insured
|
8/15 at 100.00
|
AA–
|
165,654
|
|
22
|
Nuveen Investments
|
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Tax Obligation/General (continued)
|
|||||||||
|
$
|
3,000
|
Sacramento City Unified School District, Sacramento County, California, General Obligation Bonds, Series 2005, 5.000%, 7/01/27 – NPFG Insured
|
7/15 at 100.00
|
Aa3
|
$
|
3,103,860
|
|||
|
3,000
|
San Jacinto Unified School District, Riverside County, California, General Obligation Bonds, Series 2007, 5.250%, 8/01/32 – AGM Insured
|
No Opt. Call
|
AA+
|
3,114,840
|
|||||
|
25,190
|
Total Tax Obligation/General
|
26,657,935
|
|||||||
|
Tax Obligation/Limited – 47.3% (33.8% of Total Investments)
|
|||||||||
|
1,000
|
Brea and Olinda Unified School District, Orange County, California, Certificates of Participation Refunding, Series 2002A, 5.125%, 8/01/26 – AGM Insured
|
8/12 at 100.00
|
AA+
|
1,012,540
|
|||||
|
California Infrastructure Economic Development Bank, Revenue Bonds, North County Center for Self-Sufficiency Corporation, Series 2004:
|
|||||||||
|
1,215
|
5.000%, 12/01/19 – AMBAC Insured
|
12/13 at 100.00
|
AA
|
1,291,946
|
|||||
|
1,615
|
5.000%, 12/01/21 – AMBAC Insured
|
12/13 at 100.00
|
AA
|
1,697,381
|
|||||
|
195
|
Capistrano Unified School District, Orange County, California, Special Tax Bonds, Community Facilities District, Series 2005, 5.000%, 9/01/24 – FGIC Insured
|
9/15 at 100.00
|
BBB
|
192,980
|
|||||
|
595
|
Chino Redevelopment Agency, California, Merged Chino Redevelopment Project Area Tax Allocation Bonds, Series 2006, 5.000%, 9/01/38 – AMBAC Insured
|
9/16 at 101.00
|
A–
|
515,222
|
|||||
|
3,190
|
Chula Vista Public Financing Authority, California, Pooled Community Facility District Assessment Revenue Bonds, Series 2005A, 4.500%, 9/01/27 – NPFG Insured
|
9/15 at 100.00
|
Baa1
|
2,743,496
|
|||||
|
1,900
|
Corona-Norco Unified School District, Riverside County, California, Special Tax Bonds, Community Facilities District 98-1, Series 2002, 5.100%, 9/01/25 – AMBAC Insured
|
9/12 at 100.00
|
N/R
|
1,842,696
|
|||||
|
5,000
|
El Monte, California, Senior Lien Certificates of Participation, Department of Public Services Facility Phase II, Series 2001, 5.250%, 1/01/34 – AMBAC Insured
|
1/12 at 100.00
|
A2
|
4,705,350
|
|||||
|
3,180
|
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Tender Option Bonds Trust 4686, 8.953%, 6/01/45 – AGC Insured (IF) (4)
|
6/15 at 100.00
|
AA+
|
2,684,810
|
|||||
|
700
|
Hesperia Public Financing Authority, California, Redevelopment and Housing Projects Tax Allocation Bonds, Series 2007A, 5.000%, 9/01/37 – SYNCORA GTY Insured
|
9/17 at 100.00
|
Ba1
|
463,351
|
|||||
|
435
|
Indian Wells Redevelopment Agency, California, Tax Allocation Bonds, Consolidated Whitewater Project Area, Series 2003A, 5.000%, 9/01/20 – AMBAC Insured
|
9/13 at 100.00
|
A
|
439,085
|
|||||
|
345
|
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester Social Services Project, Series 2005, 5.000%, 9/01/37 – AMBAC Insured
|
9/15 at 100.00
|
A1
|
311,166
|
|||||
|
895
|
Los Angeles Community Redevelopment Agency, California, Tax Allocation Bonds, Bunker Hill Project, Series 2004A, 5.000%, 12/01/20 – AGM Insured
|
12/14 at 100.00
|
AA+
|
977,868
|
|||||
|
1,500
|
Los Angeles, California, Municipal Improvement Corporation, Lease Revenue Bonds, Police Headquarters, Series 2006A, 4.750%, 1/01/31 – FGIC Insured
|
1/17 at 100.00
|
A+
|
1,435,845
|
|||||
|
3,150
|
Moreno Valley Community Redevelopment Agency, California, Tax Allocation Bonds, Series 2007A, 5.000%, 8/01/38 – AMBAC Insured
|
8/17 at 100.00
|
A–
|
2,727,995
|
|||||
|
7,000
|
Rancho Cucamonga Redevelopment Agency, California, Housing Set-Aside Tax Allocation Bonds, Series 2007A, 5.000%, 9/01/34 – NPFG Insured
|
9/17 at 100.00
|
A+
|
6,085,730
|
|||||
|
165
|
Rialto Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series 2005A, 5.000%, 9/01/35 – SYNCORA GTY Insured
|
9/15 at 100.00
|
A–
|
144,725
|
|||||
|
205
|
Roseville, California, Certificates of Participation, Public Facilities, Series 2003A, 5.000%, 8/01/25 – AMBAC Insured
|
8/13 at 100.00
|
AA–
|
206,816
|
|||||
|
5,150
|
San Jacinto Unified School District, Riverside County, California, Certificates of Participation, Series 2010, 5.375%, 9/01/40 – AGC Insured
|
9/20 at 100.00
|
AA+
|
5,170,034
|
|||||
|
1,500
|
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series 2005A, 5.000%, 8/01/28 – NPFG Insured
|
8/15 at 100.00
|
BBB+
|
1,287,600
|
|||||
|
3,565
|
Sweetwater Union High School District Public Financing Authority, California, Special Tax Revenue Bonds, Series 2005A, 5.000%, 9/01/25 – AGM Insured
|
9/15 at 100.00
|
AA+
|
3,640,043
|
|
Nuveen Investments
|
23
|
|
Nuveen Insured California Premium Income Municipal Fund, Inc. (continued)
|
||
|
NPC
|
Portfolio of Investments
|
|
| August 31, 2011 (Unaudited) |
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Tax Obligation/Limited (continued)
|
|||||||||
|
$
|
3,250
|
Tustin Community Redevelopment Agency, California, Tax Allocation Housing Bonds Series 2010, 5.250%, 9/01/39 – AGM Insured
|
9/20 at 100.00
|
AA+
|
$
|
3,328,423
|
|||
|
2,805
|
Yucaipa-Calimesa Joint Unified School District, San Bernardino County, California, General Obligation Refunding Bonds, Series 2001A, 5.000%, 10/01/31 – NPFG Insured
|
10/11 at 100.00
|
A2
|
2,635,634
|
|||||
|
48,555
|
Total Tax Obligation/Limited
|
45,540,736
|
|||||||
|
Transportation – 2.5% (1.8% of Total Investments)
|
|||||||||
|
2,400
|
San Diego Unified Port District, California, Revenue Bonds, Series 2004B, 5.000%, 9/01/29 – NPFG Insured
|
9/14 at 100.00
|
A+
|
2,437,704
|
|||||
|
U.S. Guaranteed – 25.9% (18.5% of Total Investments) (5)
|
|||||||||
|
6,000
|
Huntington Park Redevelopment Agency, California, Single Family Residential Mortgage Revenue Refunding Bonds, Series 1986A, 8.000%, 12/01/19 (ETM)
|
No Opt. Call
|
Aaa
|
8,796,060
|
|||||
|
5,135
|
Palmdale Community Redevelopment Agency, California, Single Family Restructured Mortgage Revenue Bonds, Series 1986A, 8.000%, 3/01/16 (Alternative Minimum Tax) (ETM)
|
No Opt. Call
|
Aaa
|
6,703,588
|
|||||
|
6,220
|
Riverside County, California, GNMA Mortgage-Backed Securities Program Single Family Mortgage Revenue Bonds, Series 1987B, 9.000%, 5/01/21 (Alternative Minimum Tax) (ETM)
|
No Opt. Call
|
Aaa
|
9,487,550
|
|||||
|
17,355
|
Total U.S. Guaranteed
|
24,987,198
|
|||||||
|
Utilities – 0.3% (0.2% of Total Investments)
|
|||||||||
|
345
|
Merced Irrigation District, California, Electric System Revenue Bonds, Series 2005, 5.125%, 9/01/31 – SYNCORA GTY Insured
|
9/15 at 100.00
|
N/R
|
311,597
|
|||||
|
Water and Sewer – 21.4% (15.2% of Total Investments)
|
|||||||||
|
2,200
|
Atwater Public Financing Authority, California, Wastewater Revenue Bonds, Tender Option Bond Trust 3145, 17.895%, 5/01/40 – AGM Insured (IF)
|
5/19 at 100.00
|
AA+
|
2,338,776
|
|||||
|
5,255
|
El Dorado Irrigation District, California, Water and Sewer Certificates of Participation, Series 2003A, 5.000%, 3/01/20 – FGIC Insured
|
3/13 at 100.00
|
A1
|
5,463,834
|
|||||
|
1,230
|
El Dorado Irrigation District, California, Water and Sewer Certificates of Participation, Series 2004A, 5.000%, 3/01/21 – FGIC Insured
|
3/14 at 100.00
|
A1
|
1,278,167
|
|||||
|
235
|
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 – NPFG Insured
|
4/16 at 100.00
|
AA–
|
237,143
|
|||||
|
5,000
|
Indio Water Authority, California, Water Revenue Bonds, Series 2006, 5.000%, 4/01/31 – AMBAC Insured
|
4/16 at 100.00
|
A+
|
5,093,000
|
|||||
|
3,230
|
Los Angeles County Sanitation Districts Financing Authority, California, Capital Projects Revenue Bonds, District 14, Series 2005, 5.000%, 10/01/34 – FGIC Insured
|
10/15 at 100.00
|
A+
|
3,241,079
|
|||||
|
220
|
Marina Coast Water District, California, Enterprise Certificate of Participation, Series 2006, 5.000%, 6/01/31 – NPFG Insured
|
6/16 at 100.00
|
AA–
|
222,858
|
|
24
|
Nuveen Investments
|
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Water and Sewer (continued)
|
|||||||||
|
$
|
1,500
|
Placerville Public Financing Authority, California, Wastewater System Refinancing and Improvement Project Revenue Bonds, Series 2006, 5.000%, 9/01/34 – SYNCORA GTY Insured
|
9/16 at 100.00
|
N/R
|
$
|
1,274,460
|
|||
|
1,345
|
West Basin Municipal Water District, California, Revenue Certificates of Participation, Series 2003A, 5.000%, 8/01/20 – NPFG Insured
|
8/13 at 100.00
|
Aa2
|
1,426,991
|
|||||
|
20,215
|
Total Water and Sewer
|
20,576,308
|
|||||||
|
$
|
128,174
|
Total Investments (cost $129,969,082) – 140.0%
|
134,907,914
|
||||||
|
Variable Rate Demand Preferred Shares, at Liquidation Value – (44.3)% (6)
|
(42,700,000
|
) | |||||||
|
Other Assets Less Liabilities – 4.3%
|
4,165,829
|
||||||||
|
Net Assets Applicable to Common Shares – 100%
|
$
|
96,373,743
|
|
The Fund intends to invest at least 80% of its managed assets in municipal securities that are covered by insurance guaranteeing the timely payment of principal and interest. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Insurance for more information.
|
||
|
(1)
|
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
|
|
|
(2)
|
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.
|
|
|
(3)
|
Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investor Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
|
|
|
(4)
|
Investment, or portion of investment, has been pledged to collaterize the net payment obligations for investments in inverse floating rate transactions.
|
|
|
(5)
|
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest.
|
|
|
(6)
|
Variable Rate Demand Preferred Shares, at Liquidation Value as a percentage of Total Investments is 31.7%.
|
|
|
N/R
|
Not rated.
|
|
|
(ETM)
|
Escrowed to maturity.
|
|
|
(IF)
|
Inverse floating rate investment.
|
|
See accompanying notes to financial statements.
|
|
Nuveen Investments
|
25
|
|
Nuveen Insured California Premium Income Municipal Fund 2, Inc.
|
||
|
NCL
|
Portfolio of Investments
|
|
|
August 31, 2011 (Unaudited)
|
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Consumer Staples – 2.7% (1.8% of Total Investments)
|
|||||||||
|
$
|
7,500
|
Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Bonds, Series 2007A-1, 5.125%, 6/01/47
|
6/17 at 100.00
|
Baa3
|
$
|
4,839,600
|
|||
|
Education and Civic Organizations – 5.0% (3.4% of Total Investments)
|
|||||||||
|
585
|
California Educational Facilities Authority, Revenue Bonds, University of the Pacific, Series 2000, 5.875%, 11/01/20 – NPFG Insured
|
11/11 at 100.00
|
A2
|
587,036
|
|||||
|
750
|
California Educational Facilities Authority, Student Loan Revenue Bonds, Cal Loan Program, Series 2001A, 5.400%, 3/01/21 – NPFG Insured (Alternative Minimum Tax)
|
3/12 at 100.00
|
Baa1
|
750,488
|
|||||
|
1,500
|
California State University, Systemwide Revenue Bonds, Series 2005A, 5.000%, 11/01/25 – AMBAC Insured
|
5/15 at 100.00
|
Aa2
|
1,570,140
|
|||||
|
6,000
|
University of California, Revenue Bonds, Multi-Purpose Project Series 2003A, 5.000%, 5/15/27 – AMBAC Insured (UB)
|
5/13 at 100.00
|
AA+
|
6,129,960
|
|||||
|
8,835
|
Total Education and Civic Organizations
|
9,037,624
|
|||||||
|
Health Care – 4.8% (3.3% of Total Investments)
|
|||||||||
|
1,410
|
California Statewide Communities Development Authority, Revenue Bonds, Saint Joseph Health System, Trust 2554, 18.324%, 7/01/47 – AGM Insured (IF)
|
7/18 at 100.00
|
AA+
|
1,441,076
|
|||||
|
4,690
|
Santa Clara County Financing Authority, California, Insured Revenue Bonds, El Camino Hospital, Series 2007A, 5.750%, 2/01/41 – AMBAC Insured
|
8/17 at 100.00
|
A+
|
4,774,326
|
|||||
|
2,000
|
The Regents of the University of California, Medical Center Pooled Revenue Bonds, Series 2007A, 4.500%, 5/15/37 – NPFG Insured
|
5/15 at 101.00
|
Aa2
|
1,822,380
|
|||||
|
650
|
University of California, Hospital Revenue Bonds, UCLA Medical Center, Series 2004A, 5.500%, 5/15/18 – AMBAC Insured
|
5/12 at 101.00
|
N/R
|
665,958
|
|||||
|
8,750
|
Total Health Care
|
8,703,740
|
|||||||
|
Housing/Single Family – 0.8% (0.5% of Total Investments)
|
|||||||||
|
215
|
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006H, 5.750%, 8/01/30 – FGIC Insured (Alternative Minimum Tax)
|
2/16 at 100.00
|
Baa1
|
215,138
|
|||||
|
1,190
|
California Housing Finance Agency, Home Mortgage Revenue Bonds, Series 2006K, 5.500%, 2/01/42 – AMBAC Insured (Alternative Minimum Tax)
|
2/16 at 100.00
|
N/R
|
1,208,790
|
|||||
|
1,405
|
Total Housing/Single Family
|
1,423,928
|
|||||||
|
Long-Term Care – 1.4% (1.0% of Total Investments)
|
|||||||||
|
1,575
|
California Health Facilities Financing Authority, Insured Revenue Bonds, California-Nevada Methodist Homes, Series 2006, 5.000%, 7/01/36
|
7/16 at 100.00
|
A–
|
1,486,202
|
|||||
|
1,000
|
California Health Facilities Financing Authority, Insured Revenue Bonds, Community Program for Persons with Developmental Disabilities, Series 2011A, 6.250%, 2/01/26
|
No Opt. Call
|
A–
|
1,076,570
|
|||||
|
2,575
|
Total Long-Term Care
|
2,562,772
|
|||||||
|
Tax Obligation/General – 32.4% (22.0% of Total Investments)
|
|||||||||
|
1,425
|
Bassett Unified School District, Los Angeles County, California, General Obligation Bonds, Series 2006B, 5.250%, 8/01/30 – FGIC Insured
|
8/16 at 100.00
|
A–
|
1,465,598
|
|||||
|
3,000
|
California State, General Obligation Bonds, Series 2006, 4.500%, 9/01/36 – AGM Insured
|
9/16 at 100.00
|
AA+
|
2,781,240
|
|||||
|
6,000
|
California State, General Obligation Bonds, Various Purpose Series 2010, 6.000%, 3/01/33
|
3/20 at 100.00
|
A1
|
6,781,380
|
|||||
|
4,200
|
Coast Community College District, Orange County, California, General Obligation Bonds, Series 2006C, 0.000%, 8/01/31 – AGM Insured
|
8/18 at 100.00
|
AA+
|
3,841,614
|
|||||
|
2,500
|
Corona-Norco Unified School District, Riverside County, California, General Obligation Bonds, Election 2006 Series 2009B, 5.375%, 2/01/34 – AGC Insured
|
8/18 at 100.00
|
AA+
|
2,614,325
|
|||||
|
East Side Union High School District, Santa Clara County, California, General Obligation Bonds, 2008 Election Series 2010B:
|
|||||||||
|
3,490
|
5.000%, 8/01/27 – AGC Insured
|
8/19 at 100.00
|
AA+
|
3,699,191
|
|||||
|
3,545
|
5.000%, 8/01/28 – AGC Insured
|
8/19 at 100.00
|
AA+
|
3,735,437
|
|||||
|
3,110
|
5.000%, 8/01/29 – AGC Insured
|
8/19 at 100.00
|
AA+
|
3,253,589
|
|
26
|
Nuveen Investments
|
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Tax Obligation/General (continued)
|
|||||||||
|
$
|
2,210
|
Fontana Unified School District, San Bernardino County, California, General Obligation Bonds, Trust 2668, 9.359%, 2/01/16 – AGM Insured (IF)
|
No Opt. Call
|
AA+
|
$
|
2,498,228
|
|||
|
1,255
|
Los Angeles Community College District, Los Angeles County, California, General Obligation Bonds, Series 2005A, 5.000%, 8/01/24 – AGM Insured
|
8/15 at 100.00
|
AA+
|
1,340,654
|
|||||
|
4,000
|
Los Angeles Unified School District, Los Angeles County, California, General Obligation Bonds, Series 2007A, 4.500%, 7/01/24 – AGM Insured
|
7/17 at 100.00
|
AA+
|
4,153,560
|
|||||
|
Los Rios Community College District, Sacramento, El Dorado and Yolo Counties, California, General Obligation Bonds, Series 2002C:
|
|||||||||
|
2,110
|
5.000%, 8/01/21 – AGM Insured (UB)
|
8/14 at 102.00
|
AA+
|
2,317,603
|
|||||
|
3,250
|
5.000%, 8/01/22 – AGM Insured (UB)
|
8/14 at 102.00
|
AA+
|
3,624,173
|
|||||
|
3,395
|
5.000%, 8/01/23 – AGM Insured (UB)
|
8/14 at 102.00
|
AA+
|
3,785,866
|
|||||
|
1,270
|
Merced City School District, Merced County, California, General Obligation Bonds, Series 2004, 5.000%, 8/01/22 – FGIC Insured
|
8/13 at 100.00
|
A
|
1,306,005
|
|||||
|
305
|
Roseville Joint Union High School District, Placer County, California, General Obligation Bonds, Series 2006B, 5.000%, 8/01/27 – FGIC Insured
|
8/15 at 100.00
|
AA–
|
315,779
|
|||||
|
2,500
|
Sacramento City Unified School District, Sacramento County, California, General Obligation Bonds, Series 2005, 5.000%, 7/01/27 – NPFG Insured
|
7/15 at 100.00
|
Aa3
|
2,586,550
|
|||||
|
1,125
|
San Diego Unified School District, San Diego County, California, General Obligation Bonds, Election of 1998, Series 1999A, 0.000%, 7/01/21 – FGIC Insured
|
No Opt. Call
|
Aa1
|
718,988
|
|||||
|
2,000
|
San Francisco Community College District, California, General Obligation Bonds, Series 2002A, 5.000%, 6/15/26 – FGIC Insured
|
6/12 at 100.00
|
Aa2
|
2,024,540
|
|||||
|
2,000
|
San Jacinto Unified School District, Riverside County, California, General Obligation Bonds, Series 2007, 5.250%, 8/01/32 – AGM Insured
|
No Opt. Call
|
AA+
|
2,076,560
|
|||||
|
1,000
|
San Ramon Valley Unified School District, Contra Costa County, California, General Obligation Bonds, Series 2004, 5.000%, 8/01/24 – AGM Insured
|
8/14 at 100.00
|
AA+
|
1,074,670
|
|||||
|
2,445
|
Washington Unified School District, Yolo County, California, General Obligation Bonds, Series 2004A, 5.000%, 8/01/21 – FGIC Insured
|
8/13 at 100.00
|
A+
|
2,588,424
|
|||||
|
56,135
|
Total Tax Obligation/General
|
58,583,974
|
|||||||
|
Tax Obligation/Limited – 61.6% (41.8% of Total Investments)
|
|||||||||
|
Anaheim Public Finance Authority, California, Subordinate Lease Revenue Bonds, Public Improvement Project, Series 1997C:
|
|||||||||
|
5,130
|
0.000%, 9/01/18 – AGM Insured
|
No Opt. Call
|
AA+
|
3,809,538
|
|||||
|
8,000
|
0.000%, 9/01/21 – AGM Insured
|
No Opt. Call
|
AA+
|
4,640,960
|
|||||
|
2,235
|
Antioch Public Financing Authority, California, Lease Revenue Refunding Bonds, Municipal Facilities Project, Refunding Series 2002A, 5.500%, 1/01/32 – NPFG Insured
|
1/11 at 100.00
|
A
|
2,234,888
|
|||||
|
California Infrastructure Economic Development Bank, Revenue Bonds, North County Center for Self-Sufficiency Corporation, Series 2004:
|
|||||||||
|
1,535
|
5.000%, 12/01/20 – AMBAC Insured
|
12/13 at 100.00
|
AA
|
1,620,300
|
|||||
|
1,780
|
5.000%, 12/01/23 – AMBAC Insured
|
12/13 at 100.00
|
AA
|
1,852,553
|
|||||
|
3,725
|
California State Public Works Board, Lease Revenue Bonds, Department of Corrections & Rehabilitation, Series 2005J, 5.000%, 1/01/17 – AMBAC Insured
|
1/16 at 100.00
|
A2
|
4,135,011
|
|||||
|
4,000
|
California State Public Works Board, Lease Revenue Bonds, Various Capital Projects, Series 2009G-1, 5.750%, 10/01/30
|
10/19 at 100.00
|
A2
|
4,201,360
|
|||||
|
380
|
Capistrano Unified School District, Orange County, California, Special Tax Bonds, Community Facilities District, Series 2005, 5.000%, 9/01/24 – FGIC Insured
|
9/15 at 100.00
|
BBB
|
376,063
|
|||||
|
7,000
|
Chula Vista Public Financing Authority, California, Pooled Community Facility District Assessment Revenue Bonds, Series 2005A, 4.500%, 9/01/27 – NPFG Insured
|
9/15 at 100.00
|
Baa1
|
6,020,210
|
|||||
|
1,430
|
Cloverdale Community Development Agency, California, Tax Allocation Refunding Bonds, Cloverdale Redevelopment Project Series 2006, 5.000%, 8/01/36 – AMBAC Insured
|
No Opt. Call
|
A–
|
1,252,909
|
|||||
|
5,225
|
El Monte, California, Senior Lien Certificates of Participation, Department of Public Services Facility Phase II, Series 2001, 5.000%, 1/01/21 – AMBAC Insured
|
1/12 at 100.00
|
A2
|
5,229,494
|
|||||
|
8,280
|
Fontana Public Financing Authority, California, Tax Allocation Revenue Bonds, North Fontana Redevelopment Project, Series 2005A, 5.000%, 10/01/32 – AMBAC Insured
|
10/15 at 100.00
|
A
|
7,517,081
|
|
Nuveen Investments
|
27
|
|
Nuveen Insured California Premium Income Municipal Fund 2, Inc. (continued)
|
||
|
NCL
|
Portfolio of Investments
|
|
| August 31, 2011 (Unaudited) |
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Tax Obligation/Limited (continued)
|
|||||||||
|
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Series 2005A:
|
|||||||||
|
$
|
7,250
|
5.000%, 6/01/35 – FGIC Insured
|
6/15 at 100.00
|
AA+
|
$
|
6,891,778
|
|||
|
7,500
|
5.000%, 6/01/45 – AGC Insured
|
6/15 at 100.00
|
AA+
|
6,916,050
|
|||||
|
6,215
|
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Revenue Bonds, Tender Option Bonds Trust 4686, 8.953%, 6/01/45 – AGC Insured (IF) (4)
|
6/15 at 100.00
|
AA+
|
5,247,200
|
|||||
|
2,000
|
Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Revenue Bonds, Tender Option Bonds Trust 2040, 10.475%, 6/01/45 – FGIC Insured (IF)
|
6/15 at 100.00
|
A2
|
1,300,040
|
|||||
|
875
|
Hesperia Public Financing Authority, California, Redevelopment and Housing Projects Tax Allocation Bonds, Series 2007A, 5.000%, 9/01/37 – SYNCORA GTY Insured
|
9/17 at 100.00
|
Ba1
|
579,189
|
|||||
|
1,700
|
Hesperia Unified School District, San Bernardino County, California, Certificates of Participation, Capital Improvement, Series 2007, 5.000%, 2/01/41 – AMBAC Insured
|
2/17 at 100.00
|
A–
|
1,487,262
|
|||||
|
5,000
|
La Quinta Redevelopment Agency, California, Tax Allocation Refunding Bonds, Redevelopment Project Area 1, Series 1998, 5.200%, 9/01/28 – AMBAC Insured
|
3/12 at 100.00
|
A+
|
4,922,450
|
|||||
|
2,185
|
Los Angeles Community Redevelopment Agency, California, Lease Revenue Bonds, Manchester Social Services Project, Series 2005, 5.000%, 9/01/37 – AMBAC Insured
|
9/15 at 100.00
|
A1
|
1,970,717
|
|||||
|
1,000
|
Los Angeles Community Redevelopment Agency, California, Tax Allocation Bonds, Bunker Hill Project, Series 2004A, 5.000%, 12/01/20 – AGM Insured
|
12/14 at 100.00
|
AA+
|
1,092,590
|
|||||
|
4,000
|
Los Angeles, California, Certificates of Participation, Municipal Improvement Corporation, Series 2003AW, 5.000%, 6/01/33 – AMBAC Insured
|
6/13 at 100.00
|
A+
|
4,024,640
|
|||||
|
3,000
|
Los Angeles, California, Municipal Improvement Corporation, Lease Revenue Bonds, Police Headquarters, Series 2006A, 4.750%, 1/01/31 – FGIC Insured
|
1/17 at 100.00
|
A+
|
2,871,690
|
|||||
|
6,120
|
Moreno Valley Community Redevelopment Agency, California, Tax Allocation Bonds, Series 2007A, 5.000%, 8/01/38 – AMBAC Insured
|
8/17 at 100.00
|
A–
|
5,300,104
|
|||||
|
2,810
|
Oakland Joint Powers Financing Authority, California, Lease Revenue Bonds, Administration Building Projects, Series 2008B, 5.000%, 8/01/21 – AGC Insured
|
8/18 at 100.00
|
AA+
|
3,014,371
|
|||||
|
1,000
|
Palm Springs Financing Authority, California, Lease Revenue Bonds, Convention Center Project, Refunding Series 2004A, 5.500%, 11/01/35 – NPFG Insured
|
11/14 at 102.00
|
A
|
1,005,720
|
|||||
|
4,140
|
Plumas County, California, Certificates of Participation, Capital Improvement Program, Series 2003A, 5.000%, 6/01/28 – AMBAC Insured
|
6/13 at 101.00
|
A
|
4,116,485
|
|||||
|
390
|
Poway Redevelopment Agency, California, Tax Allocation Refunding Bonds, Paguay Redevelopment Project, Series 2000, 5.750%, 6/15/33 – NPFG Insured
|
12/12 at 100.00
|
Baa1
|
380,972
|
|||||
|
325
|
Rialto Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series 2005A, 5.000%, 9/01/35 – SYNCORA GTY Insured
|
9/15 at 100.00
|
A–
|
285,064
|
|||||
|
1,000
|
Rocklin Unified School District, Placer County, California, Special Tax Bonds, Community Facilities District 1, Series 2004, 5.000%, 9/01/25 – NPFG Insured
|
9/13 at 100.00
|
A–
|
981,260
|
|||||
|
2,500
|
Roseville Financing Authority, California, Special Tax Revenue Bonds, Series 2007A, 5.000%, 9/01/33 – AMBAC Insured
|
9/17 at 100.00
|
N/R
|
2,049,175
|
|||||
|
405
|
Roseville, California, Certificates of Participation, Public Facilities, Series 2003A, 5.000%, 8/01/25 – AMBAC Insured
|
8/13 at 100.00
|
AA–
|
408,588
|
|||||
|
4,295
|
San Bernardino Joint Powers Financing Authority, California, Certificates of Participation Refunding, Police Station Financing Project, Series 1999, 5.500%, 9/01/20 – NPFG Insured
|
3/12 at 100.00
|
Baa1
|
4,296,589
|
|||||
|
1,500
|
San Jose Redevelopment Agency, California, Tax Allocation Bonds, Merged Project Area, Series 2005A, 5.000%, 8/01/28 – NPFG Insured
|
8/15 at 100.00
|
BBB+
|
1,287,600
|
|||||
|
5,510
|
Sweetwater Union High School District Public Financing Authority, California, Special Tax Revenue Bonds, Series 2005A, 5.000%, 9/01/28 – AGM Insured
|
9/15 at 100.00
|
AA+
|
5,583,669
|
|||||
|
1,205
|
Tustin Community Redevelopment Agency, California, Tax Allocation Housing Bonds Series 2010, 5.000%, 9/01/30 – AGM Insured
|
No Opt. Call
|
AA+
|
1,236,173
|
|||||
|
1,020
|
Washington Unified School District, Yolo County, California, Certificates of Participation, Series 2007, 5.125%, 8/01/37 – AMBAC Insured
|
8/17 at 100.00
|
A
|
1,025,641
|
|||||
|
121,665
|
Total Tax Obligation/Limited
|
111,165,384
|
|
28
|
Nuveen Investments
|
|
Principal
|
Optional Call
|
||||||||
|
Amount (000)
|
Description (1)
|
Provisions (2)
|
Ratings (3)
|
Value
|
|||||
|
Transportation – 6.0% (4.1% of Total Investments)
|
|||||||||
|
$
|
6,500
|
Foothill/Eastern Transportation Corridor Agency, California, Toll Road Revenue Refunding Bonds, Series 1999, 0.000%, 1/15/18 – NPFG Insured
|
11/11 at 71.59
|
Baa1
|
$
|
4,469,400
|
|||
|
4,000
|
Orange County Transportation Authority, California, Toll Road Revenue Bonds, 91 Express Lanes Project, Series 2003A, 5.000%, 8/15/18 – AMBAC Insured
|
8/13 at 100.00
|
A1
|
4,239,200
|
|||||
|
2,155
|
San Francisco Airports Commission, California, Revenue Refunding Bonds, San Francisco International Airport, Second Series 2001, Issue 27A, 5.250%,
|
11/11 at 100.00
|
A+
|
2,154,978
|
|||||
| 5/01/31 – NPFG Insured (Alternative Minimum Tax) | |||||||||
|
12,655
|
Total Transportation
|
10,863,578
|
|||||||
|
U.S. Guaranteed – 3.2% (2.1% of Total Investments) (5)
|
|||||||||
|
1,705
|
Central Unified School District, Fresno County, California, General Obligation Bonds, Series 1993, 5.625%, 3/01/18 – AMBAC Insured (ETM)
|
3/12 at 100.00
|
AAA
|
1,753,064
|
|||||
|
3,000
|
Riverside County, California, GNMA Mortgage-Backed Securities Program Single Family Mortgage Revenue Bonds, Series 1987B, 8.625%, 5/01/16 (Alternative Minimum Tax) (ETM)
|
No Opt. Call
|
Aaa
|
3,991,140
|
|||||
|
4,705
|
Total U.S. Guaranteed
|
5,744,204
|
|||||||
|
Utilities – 8.2% (5.6% of Total Investments)
|
|||||||||
|
670
|
Merced Irrigation District, California, Electric System Revenue Bonds, Series 2005, 5.125%, 9/01/31 – SYNCORA GTY Insured
|
9/15 at 100.00
|
N/R
|
605,131
|
|||||
|
100
|
Sacramento City Financing Authority, California, Capital Improvement Revenue Bonds, Solid Waste and Redevelopment Projects, Series 1999,
|
12/11 at 100.00
|
N/R
|
100,170
|
|||||
| 5.800%, 12/01/19 – AMBAC Insured | |||||||||
|
1,950
|
Salinas Valley Solid Waste Authority, California, Revenue Bonds, Series 2002, 5.250%, 8/01/27 – AMBAC Insured (Alternative Minimum Tax)
|
8/12 at 100.00
|
A+
|
1,927,127
|
|||||
|
Santa Clara, California, Subordinate Electric Revenue Bonds, Series 2003A:
|
|||||||||
|
2,800
|
5.000%, 7/01/24 – NPFG Insured
|
7/13 at 100.00
|
A1
|
2,875,068
|
|||||
|
5,000
|
5.000%, 7/01/28 – NPFG Insured
|
7/13 at 100.00
|
A1
|
5,058,600
|
|||||
|
4,000
|
Southern California Public Power Authority, California, Milford Wind Corridor Phase I Revenue Bonds, Series 2010-1, 5.000%, 7/01/28
|
No Opt. Call
|
AA–
|
4,256,080
|
|||||
|
14,520
|
Total Utilities
|
14,822,176
|
|||||||
|
Water and Sewer – 21.2% (14.4% of Total Investments)
|
|||||||||
|
1,100
|
Atwater Public Financing Authority, California, Wastewater Revenue Bonds, Tender Option Bond Trust 3145, 17.895%, 5/01/40 – AGM Insured (IF)
|
5/19 at 100.00
|
AA+
|
1,169,388
|
|||||
|
2,000
|
El Dorado Irrigation District, California, Water and Sewer Certificates of Participation, Series 2004A, 5.000%, 3/01/21 – FGIC Insured
|
3/14 at 100.00
|
A1
|
2,078,320
|
|||||
|
750
|
Fortuna Public Finance Authority, California, Water Revenue Bonds, Series 2006, 5.000%, 10/01/36 – AGM Insured
|
10/16 at 100.00
|
AA+
|
755,820
|
|||||
|
460
|
Healdsburg Public Financing Authority, California, Wastewater Revenue Bonds, Series 2006, 5.000%, 4/01/36 – NPFG Insured
|
4/16 at 100.00
|
AA–
|
464,195
|
|||||
|
2,700
|
Los Angeles County Sanitation Districts Financing Authority, California, Senior Revenue Bonds, Capital Projects, Series 2003A, 5.000%, 10/01/21 – AGM Insured
|
10/13 at 100.00
|
AA+
|
2,915,676
|
|||||
|
2,000
|
Los Angeles, California, Wastewater System Revenue Bonds, Series 2005A, 4.500%, 6/01/29 – NPFG Insured
|
6/15 at 100.00
|
AA
|
2,027,080
|
|||||
|
430
|
Marina Coast Water District, California, Enterprise Certificate of Participation, Series 2006, 5.000%, 6/01/31 – NPFG Insured
|
6/16 at 100.00
|
AA–
|
435,586
|
|||||
|
12,000
|
Orange County Sanitation District, California, Certificates of Participation, Series 2003, 5.000%, 2/01/33 – FGIC Insured (UB)
|
8/13 at 100.00
|
AAA
|
12,162,480
|
|||||
|
1,520
|
San Buenaventura, California, Water Revenue Certificates of Participation, Series 2004, 5.000%, 10/01/25 – AMBAC Insured
|
10/14 at 100.00
|
AA
|
1,562,742
|
|||||
|
1,000
|
San Diego County Water Authority, California, Water Revenue Certificates of Participation, Series 2008A, 5.000%, 5/01/38 – AGM Insured
|
5/18 at 100.00
|
AA+
|
1,028,170
|
|||||
|
3,675
|
San Dieguito Water District, California, Water Revenue Bonds, Refunding Series 2004, 5.000%, 10/01/23 – FGIC Insured
|
10/14 at 100.00
|
AA+
|
3,990,389
|
|||||
|
Nuveen Investments
|
29
|
|
Nuveen Insured California Premium Income Municipal Fund 2, Inc. (continued)
|
||
|
NCL
|
Portfolio of Investments
|
|
| August 31, 2011 (Unaudited) |
|
Principal
|