FORM N-Q
Table of Contents

 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-02090
Van Kampen Bond Fund
 
(Exact name of registrant as specified in charter)
522 Fifth Avenue, New York, New York 10036
 
(Address of principal executive offices) (Zip code)
Edward C. Wood III
522 Fifth Avenue, New York, New York 10036
 
(Name and address of agent for service)
Registrant’s telephone number, including area code: 212-762-4000
Date of fiscal year end: 6/30
Date of reporting period: 9/30/08
 
 

TABLE OF CONTENTS

Item 1. Schedule of Investments
Item 2. Controls and Procedures
Item 3. Exhibits
SIGNATURES
EX-99.CERT

Table of Contents

Item 1. Schedule of Investments.
The Fund’s schedule of investments as of the close of the reporting period prepared pursuant to Rule 12-12 of Regulation S-X is as follows:
Van Kampen Bond Fund
Portfolio of Investments § September 30, 2008 (Unaudited)
                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Corporate Bonds 86.7%
                        
       
Automotive 1.2%
                        
$ 300    
ArvinMeritor, Inc.
     8.750 %     03/01/12     $ 253,500  
  1,280    
DaimlerChrysler NA Holding LLC
     8.500       01/18/31       1,289,312  
  745    
Harley-Davidson Funding Corp., Ser C (a)
     6.800       06/15/18       698,781  
       
 
                      
       
 
                     2,241,593  
       
 
                      
       
 
                        
       
Banking 11.9%
                        
  880    
Bank of America Corp.
     4.875       09/15/12       813,885  
  670    
Bank of America Corp.
     5.750       12/01/17       569,116  
  1,865    
Bank of America Corp., Ser L
     5.650       05/01/18       1,573,639  
  620    
Bank of New York Mellon Corp.
     4.500       04/01/13       581,045  
  335    
Barclays Bank PLC (United Kingdom) (a)
     6.050       12/04/17       312,106  
  1,075    
Citigroup, Inc.
     5.250       02/27/12       974,410  
  1,095    
Citigroup, Inc.
     5.875       05/29/37       761,320  
  610    
Citigroup, Inc.
     6.125       05/15/18       505,949  
  1,060    
Citigroup, Inc. (b)
     8.400       04/29/49       722,825  
  430    
Credit Suisse USA, Inc.
     5.125       08/15/15       383,639  
  1,080    
HBOS PLC (United Kingdom) (a)
     6.750       05/21/18       907,067  
  1,230    
JPMorgan Chase & Co.
     4.750       05/01/13       1,145,836  
  1,325    
JPMorgan Chase & Co.
     6.000       01/15/18       1,210,313  
  1,275    
JPMorgan Chase & Co.
     6.750       02/01/11       1,279,947  
  1,745    
Nationwide Building Society (United Kingdom) (a)
     4.250       02/01/10       1,716,242  
  335    
Northern Trust Co.
     6.500       08/15/18       342,176  
  465    
PNC Bank NA
     6.000       12/07/17       422,216  
  805    
Popular North America, Inc.
     5.650       04/15/09       795,431  
  2,620    
Sovereign Bancorp, Inc. (c)
     3.440       03/23/10       1,860,205  
  2,700    
Unicredito Luxembourg Finance (Luxembourg) (a)(c)
     2.846       10/24/08       2,697,910  
  2,045    
Wachovia Capital Trust III (b)
     5.800       03/15/42       859,287  

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Banking (continued)
                        
$ 2,045    
Wells Fargo & Co.
     5.625 %     12/11/17     $ 1,882,721  
       
 
                      
       
 
                     22,317,285  
       
 
                      
       
 
                        
       
Brokerage 6.3%
                        
  1,030    
Bear Stearns Co., Inc.
     5.550       01/22/17       885,912  
  710    
Bear Stearns Co., Inc.
     6.400       10/02/17       664,170  
  680    
Bear Stearns Co., Inc.
     7.250       02/01/18       655,501  
  2,190    
Credit Suisse (Switzerland)
     6.000       02/15/18       1,911,204  
  3,660    
Goldman Sachs Group, Inc.
     6.150       04/01/18       3,048,509  
  2,370    
Goldman Sachs Group, Inc.
     6.750       10/01/37       1,586,002  
  875    
Lehman Brothers Holdings, Inc. (d)
     5.750       01/03/17       4,375  
  955    
Lehman Brothers Holdings, Inc. (d)
     6.500       07/19/17       4,775  
  2,405    
Lehman Brothers Holdings, Inc. (d)
     6.875       07/17/37       12,025  
  890    
Merrill Lynch & Co., Inc.
     5.450       02/05/13       802,482  
  2,495    
Merrill Lynch & Co., Inc.
     6.875       04/25/18       2,211,152  
       
 
                      
       
 
                     11,786,107  
       
 
                      
       
 
                        
       
Building Materials 0.2%
                        
  315    
CRH America, Inc.
     8.125       07/15/18       309,554  
       
 
                      
       
 
                        
       
Chemicals 0.5%
                        
  585    
E.I. du Pont de Nemours & Co.
     6.000       07/15/18       572,074  
  310    
Monsanto Co.
     5.125       04/15/18       295,378  
       
 
                      
       
 
                     867,452  
       
 
                      
       
 
                        
       
Construction Machinery 0.5%
                        
  350    
Caterpillar Financial Services Corp.
     4.900       08/15/13       331,756  
  205    
Ingersoll-Rand Global Holding Co., Ltd. (Bermuda)
     6.875       08/15/18       202,385  
  520    
John Deere Capital Corp.
     5.750       09/10/18       484,509  
       
 
                      
       
 
                     1,018,650  
       
 
                      

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Consumer Products 0.4%
                        
$ 885    
Philips Electronics NV (Netherlands)
     5.750 %     03/11/18     $ 851,327  
       
 
                      
       
 
                        
       
Diversified Manufacturing 3.7%
                        
  685    
Brookfield Asset Management, Inc. (Canada)
     5.800       04/25/17       603,278  
  1,345    
Brookfield Asset Management, Inc. (Canada)
     7.125       06/15/12       1,347,125  
  1,095    
Cooper Industries, Inc.
     5.250       11/15/12       1,108,866  
  3,900    
General Electric Co.
     5.250       12/06/17       3,418,607  
  495    
Honeywell International, Inc.
     5.300       03/01/18       466,763  
       
 
                      
       
 
                     6,944,639  
       
 
                      
       
 
                        
       
Electric 9.2%
                        
  1,055    
AES Corp. (a)
     8.000       06/01/20       928,400  
  1,740    
Arizona Public Service Co.
     5.800       06/30/14       1,611,437  
  385    
Carolina Power & Light Co.
     5.150       04/01/15       371,013  
  150    
CMS Energy Corp.
     6.300       02/01/12       145,617  
  65    
Detroit Edison Co.
     5.200       10/15/12       64,000  
  960    
Duquesne Light Co., Ser O
     6.700       04/15/12       978,000  
  540    
Enel Finance International SA (Luxembourg) (a)
     5.700       01/15/13       546,053  
  1,600    
Entergy Gulf States, Inc. (c)
     3.210       12/01/09       1,585,848  
  195    
Entergy Gulf States, Inc. (a)(c)
     3.565       12/08/08       194,593  
  1,060    
E.ON International Finance BV (Netherlands) (a)
     5.800       04/30/18       1,014,927  
  1,030    
Exelon Corp.
     6.750       05/01/11       1,038,343  
  215    
Florida Power Corp.
     5.800       09/15/17       210,448  
  255    
Indianapolis Power & Light Co. (a)
     6.300       07/01/13       259,656  
  570    
Nevada Power Co., Ser A
     8.250       06/01/11       611,330  
  900    
NiSource Finance Corp. (c)
     3.380       11/23/09       877,262  
  635    
NiSource Finance Corp.
     6.800       01/15/19       577,826  
  1,150    
NiSource Finance Corp.
     7.875       11/15/10       1,183,357  

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Electric (continued)
                        
$ 1,080    
Ohio Edison Co.
     6.400 %     07/15/16     $ 1,029,046  
  1,270    
Ohio Power Co., Ser K
     6.000       06/01/16       1,213,607  
  685    
Pacific Gas & Electric Co.
     5.625       11/30/17       648,572  
  660    
PPL Energy Supply LLC
     6.500       05/01/18       602,804  
  300    
Public Service Co. of Colorado
     6.500       08/01/38       285,852  
  570    
Public Service Electric & Gas Co., Ser B
     5.125       09/01/12       568,455  
  570    
Union Electric Co.
     6.400       06/15/17       544,353  
  300    
Virginia Electric and Power Co., Ser B
     5.950       09/15/17       285,993  
       
 
                      
       
 
                     17,376,792  
       
 
                      
       
 
                        
       
Environmental & Facilities Services 0.3%
                        
  550    
Waste Management, Inc.
     7.375       08/01/10       569,783  
       
 
                      
       
 
                        
       
Food/Beverage 2.1%
                        
  290    
Anheuser-Busch Cos, Inc.
     5.500       01/15/18       249,491  
  660    
ConAgra Foods, Inc.
     7.000       10/01/28       639,004  
  520    
ConAgra Foods, Inc.
     8.250       09/15/30       570,883  
  635    
Dr. Pepper Snapple Group, Inc. (a)
     6.820       05/01/18       613,994  
  535    
General Mills, Inc.
     5.250       08/15/13       531,441  
  865    
Kraft Foods, Inc.
     6.000       02/11/13       860,515  
  315    
Kraft Foods, Inc.
     6.125       08/23/18       294,662  

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Food/Beverage (continued)
                        
$ 180    
Pilgrim’s Pride Corp.
     7.625 %     05/01/15     $ 112,500  
       
 
                      
       
 
                     3,872,490  
       
 
                      
       
 
                        
       
Gaming 0.1%
                        
  260    
MGM Mirage, Inc.
     6.000       10/01/09       244,400  
       
 
                      
       
 
                        
       
Health Care 2.8%
                        
  830    
Baxter International, Inc.
     4.625       03/15/15       796,757  
  430    
Baxter International, Inc.
     5.375       06/01/18       411,834  
  940    
Covidien International Finance SA (Luxembourg)
     6.000       10/15/17       930,312  
  1,160    
Medco Health Solutions, Inc.
     7.125       03/15/18       1,177,437  
  300    
Tenet Healthcare Corp.
     7.375       02/01/13       274,500  
  1,260    
UnitedHealth Group, Inc.
     6.000       02/15/18       1,141,784  
  590    
WellPoint, Inc.
     4.250       12/15/09       578,550  
       
 
                      
       
 
                     5,311,174  
       
 
                      
       
 
                        
       
Health Insurance 0.1%
                        
  150    
Aetna, Inc.
     6.500       09/15/18       147,917  
       
 
                      
       
 
                        
       
Home Construction 0.1%
                        
  175    
Pulte Homes, Inc.
     6.375       05/15/33       128,625  
       
 
                      
       
 
                        
       
Independent Energy 1.5%
                        
  415    
Devon Financing Corp., U.L.C.
     7.875       09/30/31       422,541  
  265    
Gaz Capital SA (Luxembourg) (a)
     6.510       03/07/22       191,463  
  290    
Newfield Exploration Co.
     7.125       05/15/18       253,750  
  320    
Plains Exploration & Production Co.
     7.625       06/01/18       284,800  
  1,095    
Questar Market Resources, Inc.
     6.800       04/01/18       1,106,000  
  525    
XTO Energy, Inc.
     5.500       06/15/18       464,908  
  185    
XTO Energy, Inc.
     6.500       12/15/18       171,910  
       
 
                      
       
 
                     2,895,372  
       
 
                      
       
 
                        
       
Integrated Energy 2.7%
                        
  515    
Chesapeake Energy Corp.
     7.625       07/15/13       494,400  
  790    
Consumers Energy Co., Ser F
     4.000       05/15/10       774,737  

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Integrated Energy (continued)
                        
$ 745    
EnCana Corp. (Canada)
     6.500 %     02/01/38     $ 602,787  
  270    
Hess Corp.
     7.125       03/15/33       237,628  
  1,059    
Knight, Inc.
     6.500       09/01/12       1,003,402  
  630    
Marathon Oil Corp.
     5.900       03/15/18       560,440  
  920    
Marathon Oil Corp.
     6.000       10/01/17       827,822  
  750    
Petro-Canada (Canada)
     6.800       05/15/38       595,794  
       
 
                      
       
 
                     5,097,010  
       
 
                      
       
 
                        
       
Life Insurance 1.8%
                        
  105    
MetLife, Inc.
     6.125       12/01/11       106,094  
  510    
MetLife, Inc., Ser A
     6.817       08/15/18       483,408  
  585    
Nationwide Financial Services, Inc.
     6.250       11/15/11       608,792  
  390    
Prudential Financial, Inc.
     6.625       12/01/37       328,387  
  1,895    
Xlliac Global Funding (a)
     4.800       08/10/10       1,822,215  
       
 
                      
       
 
                     3,348,896  
       
 
                      
       
 
                        
       
Lodging 0.3%
                        
  745    
Starwood Hotels & Resorts Worldwide, Inc.
     6.750       05/15/18       667,157  
       
 
                      
       
 
                        
       
Media-Cable 3.0%
                        
  90    
Comcast Cable Communications, Inc.
     7.125       06/15/13       90,964  
  1,945    
Comcast Corp.
     5.700       05/15/18       1,700,702  
  655    
Comcast Corp.
     6.500       01/15/15       630,143  
  430    
COX Communications, Inc. (a)
     6.250       06/01/18       400,307  
  175    
DirecTV Holdings LLC
     6.375       06/15/15       154,875  
  805    
DirecTV Holdings LLC (a)
     7.625       05/15/16       732,550  
  935    
Echostar DBS Corp.
     6.375       10/01/11       862,537  
  1,120    
Time Warner Cable, Inc.
     6.750       07/01/18       1,047,817  
       
 
                      
       
 
                     5,619,895  
       
 
                      

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Media-Noncable 2.1%
                        
$ 770    
Grupo Televisa SA (Mexico)
     6.000 %     05/15/18     $ 730,554  
  225    
Interpublic Group of Cos., Inc.
     6.250       11/15/14       187,875  
  620    
News America, Inc.
     6.650       11/15/37       521,506  
  230    
Thomson Reuters Corp. (Canada)
     6.500       07/15/18       220,353  
  1,540    
Time Warner, Inc.
     5.875       11/15/16       1,355,570  
  1,310    
Viacom, Inc.
     6.875       04/30/36       1,053,017  
       
 
                      
       
 
                     4,068,875  
       
 
                      
       
 
                        
       
Metals 1.4%
                        
  335    
Alcoa, Inc.
     6.750       07/15/18       322,113  
  920    
ArcelorMittal (Luxembourg) (a)
     6.125       06/01/18       816,650  
  465    
Evraz Group SA (Luxembourg) (a)
     9.500       04/24/18       337,125  
  610    
GTL Trade Finance, Inc. (British Virgin Islands) (a)
     7.250       10/20/17       585,810  
  705    
Rio Tinto Finance USA Ltd. (Australia)
     6.500       07/15/18       667,832  
       
 
                      
       
 
                     2,729,530  
       
 
                      
       
 
                        
       
Noncaptive-Consumer Finance 6.3%
                        
  1,000    
American Express Co.
     4.750       06/17/09       973,368  
  485    
American Express Credit Co., Ser C
     7.300       08/20/13       468,265  
  230    
American General Finance Corp.
     4.625       05/15/09       163,456  
  2,000    
American General Finance Corp.
     4.625       09/01/10       1,211,006  
  665    
CIT Group, Inc.
     5.650       02/13/17       324,942  
  855    
HSBC Finance Corp.
     5.500       01/19/16       772,514  
  2,560    
HSBC Finance Corp.
     6.750       05/15/11       2,574,761  
  150    
HSBC Finance Corp.
     8.000       07/15/10       153,131  
  1,600    
SLM Corp. (c)
     2.960       07/26/10       1,214,123  
       
 
                      
       
 
                     11,903,107  
       
 
                      
       
 
                        
       
Noncaptive-Diversified Finance 0.8%
                        
  525    
Capital One Financial Corp.
     6.750       09/15/17       462,899  
  1,950    
Capmark Financial Group, Inc.
     5.875       05/10/12       972,730  
  495    
Capmark Financial Group, Inc.
     6.300       05/10/17       194,744  
       
 
                      
       
 
                     1,630,373  
       
 
                      

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Oil Field Services 0.6%
                        
$ 560    
Kinder Morgan Energy Partners LP
     5.850 %     09/15/12     $ 544,453  
  650    
Weatherford International, Inc.
     6.350       06/15/17       602,570  
       
 
                      
       
 
                     1,147,023  
       
 
                      
       
 
                        
       
Other Utilities 0.9%
                        
  375    
CenterPoint Energy Resources Corp.
     6.250       02/01/37       297,543  
  225    
CenterPoint Energy Resources Corp.
     7.875       04/01/13       231,167  
  1,295    
Plains All American Pipeline
     6.700       05/15/36       1,119,361  
       
 
                      
       
 
                     1,648,071  
       
 
                      
       
 
                        
       
Pharmaceuticals 3.6%
                        
  1,040    
Amgen, Inc.
     5.850       06/01/17       999,976  
  765    
AstraZeneca PLC (United Kingdom)
     5.900       09/15/17       754,536  
  1,075    
Biogen Idec, Inc.
     6.875       03/01/18       1,061,761  
  1,440    
GlaxoSmithKline Capital, Inc.
     5.650       05/15/18       1,369,650  
  1,765    
Hospira, Inc. (c)
     4.241       03/30/10       1,714,770  
  620    
Wyeth
     5.450       04/01/17       600,160  
  205    
Wyeth
     5.500       02/15/16       200,376  
       
 
                      
       
 
                     6,701,229  
       
 
                      
       
 
                        
       
Pipelines 2.2%
                        
  811    
Colorado Interstate Gas Co.
     6.800       11/15/15       772,357  
  590    
Consolidated Natural Gas Co., Ser C
     6.250       11/01/11       595,682  
  390    
DCP Midstream LLC (a)
     6.750       09/15/37       325,049  
  635    
Equitable Resources, Inc.
     6.500       04/01/18       606,895  
  755    
Texas Eastern Transmission Corp.
     7.000       07/15/32       735,720  
  640    
TransCanada Pipelines Ltd. (Canada)
     6.200       10/15/37       551,276  

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Pipelines (continued)
                        
$ 45    
Transcontinental Gas Pipe Line Corp. (a)
     6.050 %     06/15/18     $ 41,722  
  525    
Transcontinental Gas Pipe Line Corp.
     8.875       07/15/12       570,695  
       
 
                      
       
 
                     4,199,396  
       
 
                      
       
 
                        
       
Property & Casualty Insurance 3.8%
                        
  755    
Ace INA Holdings, Inc.
     5.600       05/15/15       715,389  
  1,445    
AIG SunAmerica Global Financing VI (a)
     6.300       05/10/11       1,171,594  
  1,095    
Berkshire Hathaway Finance Corp. (a)
     5.400       05/15/18       1,062,697  
  190    
Chubb Corp.
     5.750       05/15/18       176,391  
  500    
Farmers Exchange Capital (a)
     7.050       07/15/28       400,051  
  1,230    
Farmers Insurance Exchange Surplus (a)
     8.625       05/01/24       1,176,489  
  1,800    
Mantis Reef Ltd. (Cayman Islands) (a)
     4.692       11/14/08       1,799,046  
  620    
Travelers Cos, Inc.
     5.800       05/15/18       569,264  
  1,035    
Two-Rock Pass Through Trust (Bermuda) (a)(c)
     3.743       02/11/49       21,994  
       
 
                      
       
 
                     7,092,915  
       
 
                      
       
 
                        
       
Railroads 1.1%
                        
  1,000    
CSX Corp.
     6.750       03/15/11       1,022,502  
  1,035    
Union Pacific Corp.
     5.450       01/31/13       1,016,008  
       
 
                      
       
 
                     2,038,510  
       
 
                      
       
 
                        
       
Refining 0.4%
                        
  720    
Enterprise Products Operating LP, Ser B
     5.600       10/15/14       679,301  
       
 
                      
       
 
                        
       
REITS 0.2%
                        
  425    
iStar Financial, Inc. (c)
     3.164       03/09/10       282,800  
  280    
ProLogis
     6.625       05/15/18       240,889  
       
 
                      
       
 
                     523,689  
       
 
                      

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Restaurants 0.6%
                        
$ 1,010    
Yum! Brands, Inc.
     8.875 %     04/15/11     $ 1,088,865  
       
 
                      
       
 
                        
       
Retailers 2.8%
                        
  90    
CVS Caremark Corp.
     5.750       06/01/17       84,244  
  1,940    
Home Depot, Inc. (c)
     2.944       12/16/09       1,825,730  
  1,120    
Home Depot, Inc.
     5.400       03/01/16       953,748  
  1,275    
Macy’s Retail Holdings, Inc.
     5.950       11/01/08       1,273,037  
  500    
Macy’s Retail Holdings, Inc.
     6.300       04/01/09       495,538  
  195    
Target Corp.
     6.500       10/15/37       179,683  
  425    
Walgreen Co.
     4.875       08/01/13       425,321  
       
 
                      
       
 
                     5,237,301  
       
 
                      
       
 
                        
       
Supermarkets 0.7%
                        
  599    
Delhaize America, Inc.
     9.000       04/15/31       630,354  
  390    
Kroger Co.
     5.000       04/15/13       372,699  
  280    
Kroger Co.
     6.400       08/15/17       268,921  
       
 
                      
       
 
                     1,271,974  
       
 
                      
       
 
                        
       
Technology 2.3%
                        
  190    
Corning, Inc.
     7.250       08/15/36       168,895  
  745    
Dell, Inc. (a)
     5.650       04/15/18       685,343  
  625    
Fiserv, Inc.
     6.800       11/20/17       604,161  
  425    
Hewlett-Packard Co.
     5.500       03/01/18       399,529  
  1,120    
KLA Instruments Corp.
     6.900       05/01/18       1,043,147  
  1,075    
Oracle Corp.
     5.750       04/15/18       999,925  
  555    
Xerox Corp.
     6.350       05/15/18       508,209  
       
 
                      
       
 
                     4,409,209  
       
 
                      
       
 
                        
       
Tobacco 0.9%
                        
  1,245    
Philip Morris International, Inc.
     5.650       05/16/18       1,152,872  
  465    
Reynolds American, Inc.
     6.500       07/15/10       483,481  
       
 
                      
       
 
                     1,636,353  
       
 
                      

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Wireless 0.4%
                        
$ 400    
Rogers Communications, Inc. (Canada)
     6.800 %     08/15/18     $ 379,076  
  340    
Vodafone Group PLC (United Kingdom)
     5.625       02/27/17       302,716  
       
 
                      
       
 
                     681,792  
       
 
                      
       
 
                        
       
Wireline 6.9%
                        
  2,740    
AT&T Corp.
     8.000       11/15/31       2,782,278  
  495    
AT&T, Inc.
     6.300       01/15/38       411,177  
  590    
Citizens Communications Co.
     7.125       03/15/19       472,000  
  225    
Deutsche Telekom International Finance BV (Netherlands)
     6.750       08/20/18       208,906  
  440    
Deutsche Telekom International Finance BV (Netherlands)
     8.750       06/15/30       426,518  
  1,375    
France Telecom SA (France)
     8.500       03/01/31       1,495,622  
  365    
Qwest Corp.
     6.500       06/01/17       293,825  
  1,125    
SBC Communications, Inc.
     6.150       09/15/34       940,950  
  785    
Sprint Capital Corp.
     8.750       03/15/32       613,587  
  1,850    
Telecom Italia Capital SA (Luxembourg)
     6.999       06/04/18       1,663,464  
  1,450    
Telefonica Europe BV (Netherlands)
     8.250       09/15/30       1,461,194  
  1,255    
Verizon Communications, Inc.
     5.500       02/15/18       1,111,328  
  490    
Verizon Communications, Inc.
     6.900       04/15/38       435,615  
  590    
Verizon New England, Inc.
     6.500       09/15/11       585,298  
       
 
                      
       
 
                     12,901,762  
       
 
                      
Total Corporate Bonds 86.7%                     163,205,393  
       
 
                      
       
 
                        
       
United States Treasury Obligations 1.1%
                        
  3,835    
United States Treasury (STRIPS)
     *       05/15/21       2,174,610  
       
 
                      

 

Table of Contents

                                 
                       
Par                        
Amount                        
(000)     Description   Coupon     Maturity     Value  
 
       
 
                        
       
Asset Backed Securities 0.8%
                        
$ 476    
America West Airlines, Inc., Ser2001
     7.100 %     04/02/21     $ 390,244  
  1,243    
CVS Lease Pass-Through Trust (a)
     6.036       12/10/28       1,118,796  
       
 
                      
Total Asset Backed Securities 0.8%                     1,509,040  
       
 
                      
       
 
                        
Convertible Preferred Stocks 0.6%                        
Banking 0.6%                        
US Bancorp (43,075 Preferred Shares)                     1,093,243  
       
 
                        
Noncaptive-Consumer Finance 0.0%                        
Federal National Mortgage Association (5,500 Preferred Shares)                     13,420  
       
 
                      
       
 
                        
Total Convertible Preferred Stocks 0.6%                     1,106,663  
       
 
                      
       
 
                        
       
Collateralized Mortgage Obligations 0.1%
                        
  612    
American Home Mortgage Assets (c)(e)
     3.506       06/25/47       90,200  
  787    
Harborview Mortgage Loan Trust (c)(e)(f)
     3.730       01/19/36       24,928  
  575    
Mastr Adjustable Rate Mortgages Trust (c)(e)(f)
     4.057       05/25/47       6,367  
       
 
                      
       
 
                        
Total Collateralized Mortgage Obligations 0.1%                     121,495  
       
 
                      
       
 
                        
Total Long-Term Investments 89.3%
(Cost $193,472,247) 
                     168,117,201  
       
 
                      
       
 
                        
Short-Term Investments 10.9%                        
Repurchase Agreements 9.6%                        
Banc of America Securities ($6,729,994 par collateralized by U.S. Government obligations in a pooled cash account, interest rate of 2.05%, dated 09/30/08, to be sold on 10/01/08 at $6,730,377) 
                     6,729,994  
Citigroup Global Markets, Inc. ($6,729,994 par collateralized by U.S. Government obligations in a pooled cash account, interest rate of 1.50%, dated 09/30/08, to be sold on 10/01/08 at $6,730,275) 
                     6,729,994  

 

Table of Contents

                                 
Description                     Value  
 
       
 
                        
Repurchase Agreements (continued)                        
JPMorgan Chase & Co. ($2,018,998 par collateralized by U.S. Government obligations in a pooled cash account, interest rate of 1.00%, dated 09/30/08, to be sold on 10/01/08 at $2,019,054)
                   $ 2,018,998  
State Street Bank & Trust Co. ($2,654,014 par collateralized by U.S. Government obligations in a pooled cash account, interest rate of 1.35%, dated 09/30/08, to be sold on 10/01/08 at $2,654,113)
                     2,654,014  
       
 
                      
Total Repurchase Agreements 9.6%                     18,133,000  
       
 
                      
       
 
                        
United States Government Agency Obligations 1.3%                        
United States Treasury Bill ($2,340,000 par, yielding 1.573%, 10/09/08 maturity)(g)
                     2,339,200  
       
 
                      
       
 
                        
Total Short-Term Investments 10.9%
(Cost $20,472,200)
                     20,472,200  
       
 
                      
       
 
                        
Total Investments 100.2%
(Cost $213,944,447)
                     188,589,401  
       
 
                        
Liabilities in Excess of Other Assets (0.2%)                     (401,679 )
       
 
                      
       
 
                        
Net Assets 100.0%                   $ 188,187,722  
       
 
                      
Percentages are calculated as a percentage of net assets.
 
*   Zero coupon bond
 
(a)   144A-Private Placement security which is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. This security may only be resold in transactions exempt
from registration which are normally those transactions with qualified institutional buyers.
 
(b)   Variable Rate Coupon
 
(c)   Floating Rate Coupon
 
(d)   On September 15, 2008, Lehman Brothers Holdings, Inc. filed for bankruptcy.
 
(e)   Market value is determined in accordance with procedures established in good faith by the Board of Trustees.
 
(f)   Security has been deemed illiquid.
 
(g)   All or a portion of this security has been physically segregated in connection with open futures contracts and swap contracts.
STRIPS — Separate Trading of Registered Interest and Principal of Securities

 

Table of Contents

Futures contracts outstanding as of September 30, 2008:
                 
            Unrealized  
            Appreciation/  
Futures Contracts   Contracts     Depreciation  
Long Contracts:
                
U.S. Treasury Notes 5-Year Futures, December 2008 (Current Notional Value of $112,234 per contract)
     103     $ 10,030  
 
            
Short Contracts:
                
10-Year Swap Future, December 2008 (Current Notional Value of $111,844 per contract)
     92       102,207  
5-Year Swap Futures, December 2008 (Current Notional Value of $108,500 per contract)
     53       31,685  
U.S. Treasury Bond Futures, December 2008 (Current Notional Value of $117,172 per contract)
     10       2,910  
U.S. Treasury Notes 10-Year Futures, December 2008 (Current Notional Value of $114,625 per contract)
     223       162,032  
 
            
Total Short Contracts:
     378       298,834  
 
            
Total Futures Contracts
     481     $ 308,864  
 
            
Swap agreements outstanding as of September 30, 2008:
Credit Default Swaps
                                                 
            Pay/                            
            Receive             Notional              
        Buy/Sell   Fixed     Expiration     Amount     Upfront        
Counterparty   Reference Entity   Protection   Rate     Date     (000)     Payments     Value  
Bank of America, N.A.
   Carnival Corp.   Buy     1.570 %     03/20/18     $ 1,255     $ 0     $ (23,160 )
Bank of America, N.A.
   CenturyTel, Inc.   Buy     0.880       09/20/17       530       0       27,256  
Bank of America, N.A.
   Goodrich Corp.   Buy     0.700       03/20/13       890       0       (8,555 )
Bank of America, N.A.
   Goodrich Corp.   Buy     0.820       03/20/18       615       0       (11,275 )
Bank of America, N.A.
   Pactiv Corp.   Buy     1.375       03/20/13       190       0       (3,000 )

 

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            Pay/                            
            Receive             Notional              
        Buy/Sell   Fixed     Expiration     Amount     Upfront        
Counterparty   Reference Entity   Protection   Rate     Date     (000)     Payments     Value  
Bank of America, N.A.
   Textron Financial Corp.   Buy     0.800 %     03/20/18     $ 665     $ 0     $ 119,455  
Bank of America, N.A.
   Toll Brothers, Inc.   Buy     2.900       03/20/13       1,065       0       (20,724 )
Citibank, N.A., New York
   Eaton Corp.   Buy     0.820       03/20/18       280       0       7,151  
Citibank, N.A., New York
   Pitney Bowes, Inc.   Buy     0.480       03/20/13       685       0       3,211  
Credit Suisse International
   Arrow Electronics, Inc.   Buy     1.000       03/20/15       1,330       0       (25,222 )
Credit Suisse International
   Pactiv Corp.   Buy     1.350       03/20/13       1,390       0       (20,536 )
Deutsche Bank AG New York
   Pactiv Corp.   Buy     1.340       03/20/13       470       0       (6,753 )
Goldman Sachs International
   Avalon Bay Communities, Inc.   Buy     3.050       03/20/13       1,035       0       (35,416 )
Goldman Sachs International
   Coca-Cola Enterprises, Inc.   Buy     0.588       03/20/13       2,130       0       (10,564 )
Goldman Sachs International
   Eaton Corp.   Buy     0.970       03/20/18       690       0       10,008  
Goldman Sachs International
   Goodrich Corp.   Buy     0.470       03/20/18       600       0       5,056  
Goldman Sachs International
   Prologis   Buy     2.970       06/20/13       590       0       36,969  
Goldman Sachs International
   Sealed Air Corp.   Buy     1.080       03/20/18       370       0       17,709  
Goldman Sachs International
   Sealed Air Corp.   Buy     1.240       03/20/18       360       0       14,153  
Goldman Sachs International
   Trane, Inc.   Buy     0.500       03/20/13       380       0       (562 )
Goldman Sachs International
   Trane, Inc.   Buy     0.600       03/20/18       145       0       (196 )

 

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            Pay/                            
            Receive             Notional              
        Buy/Sell   Fixed     Expiration     Amount     Upfront        
Counterparty   Reference Entity   Protection   Rate     Date     (000)     Payments     Value  
JPMorgan Chase Bank, N.A.
   Nordstrom, Inc.   Buy     1.070 %     03/20/18     $ 415     $ 0     $ 14,518  
JPMorgan Chase Bank, N.A.
   Nordstrom, Inc.   Buy     1.150       03/20/18       665       0       19,458  
JPMorgan Chase Bank, N.A.
   The Pepsi Bottling Group, Inc.   Buy     0.630       03/20/13       685       0       (1,961 )
Merrill Lynch International
   Carnival Corp.   Buy     1.600       03/20/18       695       0       (12,074 )
Merrill Lynch International
   The Walt Disney Company   Buy     0.770       03/20/13       2,110       0       (31,065 )
UBS Securities, AG
   Martin Marietta Materials, Inc.   Buy     1.730       03/20/18       670       0       12,574  
UBS Securities, AG
   Martin Marietta Materials, Inc.   Buy     1.780       03/20/13       990       0       4,071  
UBS Securities, AG
   Trane, Inc.   Buy     0.500       03/20/13       730       0       (1,080 )
UBS Securities, AG
   Trane, Inc.   Buy     0.600       03/20/18       470       0       (637 )
 
                                            
 
                                     0       78,809  
 
                                            
 
Goldman Sachs International
   CDX.NA.IG.10   Sell     1.550       06/20/13       6,120       34,925       (66,191 )
Goldman Sachs International
   CDX.NA.IG.HVOL.9   Sell     1.400       12/20/12       2,105       (119,237 )     (228,414 )
Goldman Sachs International
   CDX.NA.IG.HVOL.9   Sell     1.400       12/20/12       2,200       (121,977 )     (238,722 )

 

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            Pay/                            
            Receive             Notional              
        Buy/Sell   Fixed     Expiration     Amount     Upfront        
Counterparty   Reference Entity   Protection   Rate     Date     (000)     Payments     Value  
Goldman Sachs International
   CDX.NA.IG.HVOL.9   Sell     1.400 %     12/20/12     $ 4,720     $ (278,710 )   $ (512,167 )
JPMorgan Chase Bank, N.A.
   SLM Corp.   Sell     4.950       03/20/13       600       0       (155,882 )
Merrill Lynch International
   CDX.NA.IG.HVOL.9   Sell     1.400       12/20/12       3,865       (408,238 )     (419,410 )
Merrill Lynch International
   SLM Corp.   Sell     5.000       03/20/13       600       0       (155,146 )
 
                                            
 
                                     (893,237 )     (1,775,932 )
 
                                            
Total Credit Default Swaps
                                   $ (893,237 )   $ (1,697,123 )
 
                                            
Interest Rate Swaps
                                         
        Pay/                            
        Receive                   Notional        
        Floating   Fixed     Expiration     Amount        
Counterparty   Floating Rate Index   Rate   Rate     Date     (000)     Value  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     4.429       06/24/13       4,300       122,169  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     4.556       06/17/13       33,800       1,192,710  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     4.983       04/15/18       3,475       6,185  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     5.070       04/14/18       4,180       20,816  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     5.280       09/03/23       39,400       392,555  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     5.550       02/22/18       4,137       95,441  

 

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        Pay/                            
        Receive                   Notional        
        Floating   Fixed     Expiration     Amount        
Counterparty   Floating Rate Index   Rate   Rate     Date     (000)     Value  
Bank of America, N.A.
   USD-LIBOR BBA   Pay     5.638 %     03/07/18     $ 14,365     $ 375,070  
Citibank, N.A., New York
   USD-LIBOR BBA   Pay     5.275       10/25/37       14,700       1,621,389  
Citibank, N.A., New York
   USD-LIBOR BBA   Pay     5.414       05/25/17       28,400       2,544,908  
Citibank, N.A., New York
   USD-LIBOR BBA   Pay     5.440       05/29/17       975       89,271  
Citibank, N.A., New York
   USD-LIBOR BBA   Pay     5.448       08/09/17       30,000       2,394,574  
JPMorgan Chase Bank, N.A.
   USD-LIBOR BBA   Pay     5.448       05/29/17       6,475       596,780  
Merrill Lynch Capital Services, Inc.
   USD-LIBOR BBA   Pay     5.000       04/15/18       4,635       11,217  
 
                                      
 
                                     9,463,085  
 
                                      
 
Bank of America, N.A.
   USD-LIBOR BBA   Receive     3.903       09/10/13       17,745       105,347  
Bank of America, N.A.
   USD-LIBOR BBA   Receive     4.664       08/04/18       11,200       (208,401 )
Bank of America, N.A.
   USD-LIBOR BBA   Receive     5.080       09/03/18       30,790       (259,320 )
Bank of America, N.A.
   USD-LIBOR BBA   Receive     5.380       04/15/23       4,185       (36,326 )
Bank of America, N.A.
   USD-LIBOR BBA   Receive     5.470       04/14/23       5,355       (60,190 )
Bank of America, N.A.
   USD-LIBOR BBA   Receive     5.958       02/22/23       5,167       (130,984 )
Bank of America, N.A.
   USD-LIBOR BBA   Receive     6.040       03/07/23       18,470       (510,326 )
JPMorgan Chase Bank, N.A.
   USD-LIBOR BBA   Receive     **       05/15/21       2,156       0  

 

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        Pay/                            
        Receive                   Notional        
        Floating   Fixed     Expiration     Amount        
Counterparty   Floating Rate Index   Rate   Rate     Date     (000)     Value  
JPMorgan Chase Bank, N.A.
   USD-LIBOR BBA   Receive     3.966 %     03/25/18     $ 17,700     $ 642,230  
JPMorgan Chase Bank, N.A.
   USD-LIBOR BBA   Receive     3.966       03/25/18       26,800       972,416  
Merrill Lynch Capital Services, Inc.
   USD-LIBOR BBA   Receive     5.395       04/16/23       5,885       (53,613 )
 
                                      
 
                                     460,833  
 
                                      
Total Interest Rate Swaps                               $ 9,923,918  
 
                                      
Total Credit Default and Interest Rate Swaps                               $ 8,226,795  
 
                                      
 
                                        
Swap Collateral Received From Counterparty                                    
Bank of America, N.A.
                                     (970,000 )
Citibank, N.A., New York
                                     (6,420,000 )
JP Morgan Chase Bank, N.A.
                                     (2,390,000 )
 
                                      
Total Swap Collateral Received
                                   $ (9,780,000 )
 
                                      
Total Swap Agreements
                                   $ (1,553,205 )
 
                                      
**  Zero coupon swap. The Fund and/or counterparty will make a net payment on the expiration date.
The Fund adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, “Fair Value Measurements” (“FAS 157”), effective July 1, 2008. In accordance with FAS 157, fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in an orderly transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. FAS 157 establishes a three-tier hierarchy to distinguish between (1) inputs that reflect the assumptions market participants would use in pricing an asset or liability developed based on market data obtained from sources independent of the reporting entity (observable inputs) and (2) inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing an asset or liability developed based on the best information available in the circumstances (unobservable inputs) and to establish classification of fair value measurements for disclosure purposes. Various inputs are used in determining the value of the Fund’s investments. The inputs are summarized in the three broad levels listed below.
  •   Level 1 — quoted prices in active markets for identical investments

 

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  •   Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)
 
  •   Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used as of September 30, 2008 in valuing the Fund’s investments carried at value:
                 
    Investments in     Other Financial  
Valuation Inputs   Securities     Instruments*  
Level 1 — Quoted Prices
   $ 13,420     $ 308,864  
Level 2 — Other Significant Observable Inputs
     188,454,486       7,720,732  
Level 3 — Significant Unobservable Inputs
     121,495       -0-  
     
Total
   $ 188,589,401     $ 8,029,596  
     
*Other financial instruments include futures, forwards and swap contracts.
Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining value:
         
    Investments in  
    Securities  
Balance as of 6/30/08
   $ -0-  
Accrued Discounts/Premiums
     -0-  
Realized Gain/Loss
     3,528  
Change in Unrealized Appreciation/Depreciation
     (1,295,978 )
Net Purchases/Sales
     (35,393 )
Net Transfers in and/or out of Level 3
     1,449,338  
 
      
Balance as of 9/30/08
   $ 121,495  
Net Change in Unrealized Appreciation/Depreciation from Investments still held as of 9/30/08
     (1,295,978 )
Security Valuation Fixed income investments are stated at value using market quotations or indications of value obtained from an independent pricing service. Investments in securities listed on a securities exchange are valued at their last sale price as of the close of such securities exchange. Listed and unlisted securities for which the last sale price is not available are valued at the mean of the last reported bid and asked prices. For those securities where quotations or prices are not readily available as noted above, valuations are determined in accordance with procedures established in good faith by the Board of Trustees. Futures contracts are valued at the settlement price established each day on the exchange on which they are traded. Credit default and interest rate swaps are valued using market quotations from brokers. Short-term securities with remaining maturities of 60 days or less are valued at amortized cost, which approximates market value.

 

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Item 2. Controls and Procedures.
(a) The Fund’s principal executive officer and principal financial officer have concluded that the Fund’s disclosure controls and procedures are sufficient to ensure that information required to be disclosed by the Fund in this Form N-Q was recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, based upon such officers’ evaluation of these controls and procedures as of a date within 90 days of the filing date of the report.
(b) There were no changes in the Fund’s internal control over financial reporting that occurred during the registrant’s fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Fund’s internal control over financial reporting.
Item 3. Exhibits.
(a) A certification for the Principal Executive Officer of the registrant is attached hereto as part of EX-99.cert.
(b) A certification for the Principal Financial Officer of the registrant is attached hereto as part of EX-99.cert.

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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) Van Kampen Bond Fund
By: /s/ Edward C. Wood III           
Name: Edward C. Wood III
Title: Principal Executive Officer
Date: November 18, 2008
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: /s/ Edward C. Wood III           
Name: Edward C. Wood III
Title: Principal Executive Officer
Date: November 18, 2008
By: /s/ Stuart N. Schuldt               
Name: Stuart N. Schuldt
Title: Principal Financial Officer
Date: November 18, 2008