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 811-09455
---------------------
Nuveen New Jersey Dividend Advantage Municipal Fund
------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
------------------------------------------------------------------------------
(Address of principal executive offices) (Zip code)
Jessica R. Droeger
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
------------------------------------------------------------------------------
(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
-------------------
Date of fiscal year end: June 30
------------------
Date of reporting period: December 31, 2005
------------------
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.
SEMIANNUAL REPORT December 31, 2005
Nuveen Investments Municipal
Exchange-Traded
Closed-End Funds
NUVEEN NEW JERSEY INVESTMENT QUALITY MUNICIPAL FUND, INC.
NQJ
NUVEEN NEW JERSEY PREMIUM INCOME MUNICIPAL FUND, INC.
NNJ
NUVEEN NEW JERSEY DIVIDEND ADVANTAGE MUNICIPAL FUND
NXJ
NUVEEN NEW JERSEY DIVIDEND ADVANTAGE MUNICIPAL FUND 2
NUJ
NUVEEN PENNSYLVANIA INVESTMENT QUALITY MUNICIPAL FUND
NQP
NUVEEN PENNSYLVANIA PREMIUM INCOME MUNICIPAL FUND 2
NPY
NUVEEN PENNSYLVANIA DIVIDEND ADVANTAGE MUNICIPAL FUND
NXM
NUVEEN PENNSYLVANIA DIVIDEND ADVANTAGE MUNICIPAL FUND 2
NVY
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Photo of: Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
Chairman's
LETTER TO SHAREHOLDERS
I am pleased to report that over the 6-month period covered by this report your
Fund continued to provide you with attractive monthly tax-free income. For more
details about the management strategy and performance of your Fund, please read
the Portfolio Manager's Comments, the Dividend and Share Price Information, and
the Performance Overview sections of this report.
Portfolio diversification is a recognized way to try to reduce some of the risk
that comes with investing. Since one part of your portfolio may be going up when
another is going down, portfolio diversification may help smooth your investment
returns over time. In addition to providing regular tax-free monthly income, a
municipal bond investment like your Fund may help you achieve and benefit from
"IN ADDITION TO PROVIDING REGULAR TAX-FREE MONTHLY INCOME, A MUNICIPAL BOND
INVESTMENT LIKE YOUR FUND MAY HELP YOU ACHIEVE AND BENEFIT FROM GREATER
PORTFOLIO DIVERSIFICATION."
greater portfolio diversification. Your financial advisor can explain these
potential advantages in more detail. I urge you to contact him or her soon for
more information on this important investment strategy.
As you look through this report, be sure to review the inside front cover. This
contains information on how you can receive future Fund reports and other Fund
information faster by using e-mails and the Internet. Sign up is quick and easy
- just follow the step-by-step instructions.
At Nuveen Investments, our mission continues to be to assist you and your
financial advisor by offering investment services and products that can help you
to secure your financial objectives. We are grateful that you have chosen us as
a partner as you pursue your financial goals, and we look forward to continuing
to earn your trust in the months and years ahead.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
February 15, 2006
Nuveen New Jersey and Pennsylvania Municipal Exchange-Traded
Closed-End Funds (NQJ, NNJ, NXJ, NUJ, NQP, NPY, NXM, NVY)
Portfolio Manager's
COMMENTS
Portfolio manager Paul Brennan discusses key investment strategies and the
six-month performance of these New Jersey and Pennsylvania Funds. Paul, who has
16 years of investment experience, including 14 years with Nuveen, has managed
these Funds since 2003.
WHAT KEY STRATEGIES WERE USED TO MANAGE THE FUNDS DURING THE SIX-MONTH PERIOD
ENDED DECEMBER 31, 2005?
Over this period, shorter-term interest rates rose faster than longer-term
rates. As a result, bond valuations generally declined and the yield curve
flattened (short-term interest rates approached the levels of longer-term
rates). In this environment, one of our key strategies continued to be careful
duration management. (Duration is a measure of a bond's price sensitivity as
interest rates change, with longer duration bonds displaying more sensitivity to
these changes than bonds with shorter durations.)
In this environment, our purchase activity generally focused on increasing the
Funds' exposure to bonds that mature in 10 to 20 years. We believed that bonds
in this part of the yield curve generally offered more attractive opportunities
and the best values during this period. We also kept an opportunistic eye out
for all types of issuance that we believed could add value to the Funds'
portfolios. This included occasionally purchasing longer-term bonds, especially
for the New Jersey Funds, as part of our overall duration management strategy.
To help us maintain the Funds' durations within our preferred range, we
selectively sold holdings with shorter maturities, including pre-refunded bonds,
and reinvested the proceeds further out on the yield curve. Proceeds from called
bonds also were reinvested in an effort to maintain duration ranges.
4
As longer-term yields rose during this period, we found some opportunities to
sell a few of our holdings purchased when yields were lower and replace them
with similar credits that yielded comparatively more. This helped to strengthen
the Funds' income streams. This process also enabled us to realize some capital
losses, which can be used to offset realized capital gains (to the extent they
exist this year) or carried forward to offset future realized gains. This
strategy benefits shareholders by reducing or deferring the Funds' shareholders'
tax liabilities.
Most of our new purchases over this time were higher-rated and/or insured bonds,
reflecting not just the overall high credit quality of the new issue supply in
these states, but also the dwindling attractive investment opportunities for
lower-rated bonds - more so in New Jersey than in Pennsylvania. This is because
lower rated credits, continuing a trend from prior reporting periods, performed
relatively well during this period due to considerable investor demand and the
resulting higher prices. The rising prices of lower-quality bonds diminished
their yield advantage over higher-quality bonds. Even so, we sought to maintain
the Funds' weightings of bonds rated BBB or lower, a decision that benefited the
Funds' returns.
In past shareholder reports, we discussed the use of hedging as part of our
strategy to manage the Funds' interest rate risk. During this reporting period,
there was no hedging activity for these Funds and no hedged positions were in
place at the end of the reporting period.
HOW DID THE FUNDS PERFORM?
Individual results for these Funds, as well as for comparative indexes and
averages, are presented in the accompanying table.
5
TOTAL RETURNS ON NET ASSET VALUE*
For periods ended 12/31/05
6-MONTH 1-YEAR 5-YEAR 10-YEAR
--------------------------------------------------------------------------------
NEW JERSEY FUNDS
--------------------------------------------------------------------------------
NQJ 0.08% 5.28% 7.02% 6.30%
--------------------------------------------------------------------------------
NNJ -0.12% 4.52% 6.85% 6.54%
--------------------------------------------------------------------------------
NXJ 0.42% 5.72% NA NA
--------------------------------------------------------------------------------
NUJ 0.40% 5.87% NA NA
--------------------------------------------------------------------------------
Lipper New Jersey
Municipal Debt Funds
Average1 0.58% 4.72% 7.21% 6.35%
--------------------------------------------------------------------------------
PENNSYLVANIA FUNDS
--------------------------------------------------------------------------------
NQP -0.27% 4.07% 6.98% 5.87%
--------------------------------------------------------------------------------
NPY -0.04% 3.87% 7.24% 6.60%
--------------------------------------------------------------------------------
NXM 0.29% 4.78% NA NA
--------------------------------------------------------------------------------
NVY 0.02% 4.34% NA NA
--------------------------------------------------------------------------------
Lipper Pennsylvania
Municipal Debt Funds
Average1 0.70% 5.92% 7.25% 6.19%
--------------------------------------------------------------------------------
Lehman Brothers Municipal
Bond Index2 0.60% 3.51% 5.59% 5.72%
--------------------------------------------------------------------------------
*Six-month returns are cumulative; returns for one year, five years, and ten
years are annualized.
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.
For the six months ended December 31, 2005, the cumulative returns on net asset
value (NAV) for all of these Funds underperformed the return on the Lehman
Brothers Municipal Bond Index benchmark. The Funds also trailed the averages of
their respective Lipper peer groups.
One of the factors affecting the Funds' six-month performance relative to that
of the unleveraged Lehman Brothers index was the Funds' use of financial
leverage. While leveraging provides opportunities for additional income and
total returns for common shareholders when interest rates fall or remain
consistently low (as has been the case over the past several years), this
benefit is reduced when interest rates rise. With the increase in both
short-term and long-term rates over this six-month period, the decline in value
of the bonds in these Funds' portfolios was exacerbated by the effect of
leveraging. In addition, the extent of the leverage benefit is tied in part to
the short-term
1 The Lipper New Jersey Municipal Debt Funds category average is calculated
using the returns of all closed-end exchange-traded funds in this category
for each period as follows: 6 months, 13 funds; 1 year, 13 funds; 5 years,
8 funds; and 10 years, 6 funds. The Lipper Pennsylvania Municipal Debt
Funds category average is calculated using the returns of all
exchange-traded closed-end funds for each period as follows: 6 months, 12
funds; 1 year, 12 funds; 5 years, 9 funds; and 10 years, 7 funds. Fund and
Lipper returns assume reinvestment of dividends.
2 The Lehman Brothers Municipal Bond Index is an unleveraged, unmanaged
national index comprising a broad range of investment-grade municipal
bonds. Results for the Lehman index do not reflect any expenses.
6
rates the Funds pay their MuniPreferred(R) shareholders. During periods of low
short-term rates, leveraged Funds generally pay lower dividends to their
MuniPreferred share holders, which can leave more earnings to support common
share dividends. When short-term interest rates rise, as they did during this
reporting period, the Funds' borrowing costs also rise, impacting the Funds'
expenses, income streams and common share total returns. However, leverage is
still contributing positively to common share net income, and we remain
convinced that leveraging is likely to benefit the performance of these Funds
over the long term.
During this reporting period, all of the Funds benefited from their allocations
of lower-quality credits, as bonds rated BBB or lower generally outperformed
higher-rated securities. This was largely the result of investor demand for the
higher yields typically associated with lower-quality bonds, which drove up the
value of these bonds. Among the New Jersey Funds, allocations of bonds rated BBB
or lower and non-rated bonds totaled 12% in NNJ, 14% in NXJ, 15% in NQJ, and 21%
in NUJ as of December 31, 2005. The Pennsylvania Funds had weightings ranging
from 7% in NQP to 12% in NPY, 16% in NXM and 17% NVY. The differences in
allocations to lower-rated bonds accounted for much of the performance
differential among these Funds for this six-month period, especially in NNJ, NQP
and NPY, which had the smallest weightings of lower-rated credits.
Among the holdings making positive contributions to all of the Funds' cumulative
returns for this period were industrial development and healthcare bonds, which
ranked as the top two sectors in terms of performance among the Lehman Brothers
municipal revenue sectors for the period. BBB rated bonds backed by the 1998
master tobacco settlement agreement also contributed to the New Jersey Funds'
returns, as the litigation environment for tobacco companies improved and
favorable supply/demand dynamics drove tobacco bond prices higher. As of
December 31, 2005, the New Jersey Funds held between 3% and 4% of their
portfolios in unenhanced, uninsured New Jersey tobacco bonds. The Pennsylvania
Funds did not hold any tobacco credits during this reporting period.
7
NXJ and NUJ also held small positions in bonds rated Caa2/B issued by New Jersey
Economic Development Authority for Continental Airlines, which performed very
well during this period. Given the continued turmoil in the airline industry due
to additional bankruptcies and higher energy prices, we believed it would be
prudent to reduce our exposure to this credit and took advantage of an
attractive opportunity to sell some of these bonds. However, because we think
they could still offer some upside potential, both NXJ and NUJ continued to
maintain a position in these bonds as of December 31, 2005.
Among higher quality credits, housing bonds, particularly those issued for
multifamily housing, were some of the best performing issues in the Funds'
portfolios, as rising interest rates lessened the incidence and impact of
prepayments and calls on these bonds.
During this six-month period, the Funds' holdings of pre-refunded bonds and
insured credits tended to underperform other segments of the municipal market.
Among the Pennsylvania Funds, NPY had the heaviest weighting in insured bonds,
which constrained its performance for this period. In general, bonds that mature
in four to twelve years also underperformed. NVY held a large position in
Pennsylvania general obligation bonds that generally fell into this maturity
range and this hampered its performance over this period.
HOW WERE THE FUNDS POSITIONED IN TERMS OF CREDIT QUALITY AND BOND CALLS AS OF
DECEMBER 31, 2005?
As of December 31, 2005, all eight of these Funds continued to offer excellent
credit quality, with allocations of bonds rated AAA/U.S. guaranteed and AA
ranging from 66% in NUJ to 73% in NXM, 78% in NXJ, 79% in NVY, 81% in NQJ, 83%
in NPY, 84% in NNJ and 88% in NQP.
As of December 31, 2005, potential call exposure during 2006 and 2007 ranged
from 0% in NVY to 3% in NQP and NXM, 7% in NUJ, 9% in NNJ,10% in NXJ, 11% in NQJ
and 14% in NPY. The number of actual bond calls in all of these Funds depends
largely on future market interest rates.
8
Dividend and Share Price
INFORMATION
All of these Funds use leverage to potentially enhance the income available to
support common shareholder dividends. The extent of this benefit is tied in part
to the short-term rates these leveraged Funds pay their MuniPreferred(R)
shareholders. During periods of low short-term rates, leveraged Funds generally
pay lower dividends to their MuniPreferred shareholders, which can leave more
earnings to support common share dividends. However, when short-term interest
rates rise, as they did during this reporting period, the Funds' borrowing costs
also rise. While leveraging still provided income benefits for common
shareholders, the extent of these benefits was reduced. This resulted in a
single monthly dividend reduction in NUJ and NXM and two reductions in NQJ, NNJ,
NQP and NPY over the six-month period ended December 31, 2005. The dividends of
NXJ and NVY remained stable throughout this reporting period.
In addition, due to normal portfolio activity, common shareholders of the Funds
received capital gains and net ordinary income distributions at the end of
December 2005 as follows:
LONG-TERM CAPITAL GAINS ORDINARY INCOME
(PER SHARE) (PER SHARE)
--------------------------------------------------------------------------------
NQJ $0.2403 --
--------------------------------------------------------------------------------
NNJ $0.3089 $0.0007
--------------------------------------------------------------------------------
NXJ $0.1034 --
--------------------------------------------------------------------------------
NUJ $0.0940 $0.0001
--------------------------------------------------------------------------------
NQP $0.1058 $0.0005
--------------------------------------------------------------------------------
NPY $0.2137 $0.0023
--------------------------------------------------------------------------------
NXM $0.1015 --
--------------------------------------------------------------------------------
NVY $0.0976 --
--------------------------------------------------------------------------------
9
These distributions, some of which were relatively large, represented an
important part of the Funds' returns for this period. They were generated by
bond calls and the sale of appreciated securities. This had a slight negative
impact on the Funds' earning power per common share and was a minor factor in
the per share dividend reductions noted above.
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 December 31, 2005, all of
the Funds in this report except NQP and NVY had positive UNII balances for both
financial statement and tax purposes. NQP and NVY had positive UNII balances for
tax purposes and negative UNII balances for financial statement purposes.
10
As of December 31, 2005, the Funds' share prices were trading at premiums or
discounts to their NAVs as shown in the accompanying chart:
12/31/05 6-MONTH AVERAGE
PREMIUM/DISCOUNT PREMIUM/DISCOUNT
--------------------------------------------------------------------------------
NQJ -5.68% -2.12%
--------------------------------------------------------------------------------
NNJ -5.55% -3.12%
--------------------------------------------------------------------------------
NXJ +0.59% -1.49%
--------------------------------------------------------------------------------
NUJ +7.77% +1.42%
--------------------------------------------------------------------------------
NQP -10.07% -5.94%
--------------------------------------------------------------------------------
NPY -4.63% -1.47%
--------------------------------------------------------------------------------
NXM +2.59% +3.33%
--------------------------------------------------------------------------------
NVY -5.59% -3.98%
--------------------------------------------------------------------------------
11
Nuveen New Jersey Investment Quality Municipal Fund, Inc.
NQJ
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 76%
AA 5%
A 4%
BBB 13%
BB or Lower 1%
N/R 1%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.08
Feb 0.08
Mar 0.077
Apr 0.077
May 0.077
Jun 0.073
Jul 0.073
Aug 0.073
Sep 0.069
Oct 0.069
Nov 0.069
Dec 0.0655
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 15.37
15.33
15.46
15.44
15.52
15.6
15.52
15.51
15.4
15.37
15.46
15.45
15.51
15.38
15.44
15.4
15.4
15.37
15.66
15.73
15.95
15.99
15.78
15.83
15.8
15.95
15.9
15.93
15.86
15.83
15.7
15.63
15.51
15.43
15.6
15.64
15.5
15.63
15.5
15.55
15.6
15.64
15.72
15.75
15.75
15.49
15.39
15.29
15.32
15.1
15.13
15.04
15.05
14.97
14.92
14.64
14.69
14.58
14.54
14.69
14.75
14.82
14.77
14.72
14.75
14.84
14.88
14.9
14.92
14.8
14.82
14.75
14.92
14.88
14.79
14.73
14.81
14.8
14.85
14.98
15.06
14.96
14.96
14.96
14.98
15.08
15.08
15
14.98
15.01
14.91
14.95
15
15.09
15.05
15.09
15.11
15.05
15.06
15.08
15.07
15.07
15.15
15.4
15.38
15.4
15.35
15.27
15.25
15.25
15.21
15.17
15.01
15.09
15.09
15.14
15.21
15.16
15.18
15.22
15.24
15.2
15.27
15.26
15.31
15.25
15.4
15.39
15.43
15.43
15.4
15.3
15.34
15.26
15.28
15.26
15.26
15.29
15.32
15.34
15.39
15.36
15.44
15.44
15.49
15.58
15.58
15.5
15.43
15.39
15.48
15.47
15.6
15.42
15.59
15.49
15.38
15.4
15.41
15.33
15.4
15.49
15.45
15.54
15.47
15.58
15.58
15.65
15.56
15.64
15.67
15.75
15.66
15.63
15.74
15.77
15.85
15.82
15.64
15.7
15.41
15.4
15.46
15.4
15.36
15.3
15.21
15.16
15.27
15.28
15.3
15.29
15.17
15.14
15
15.02
14.91
14.96
14.78
14.66
14.6
14.55
14.44
14.31
14.41
14.45
14.48
14.43
14.28
14.37
14.37
14.46
14.48
14.52
14.44
14.42
14.35
14.4
14.38
14.29
14.29
14.15
14.18
14.18
14.15
14.17
14.19
14.17
14.15
14.19
14.22
14.29
14.41
14.38
14.36
14.31
14.4
14.4
14.45
14.45
14.4
14.1
14.25
14.19
14.18
14.14
14
13.89
13.96
14
14.01
14.13
14.14
14.11
12/31/05 14.11
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $14.11
------------------------------------
Common Share
Net Asset Value $14.96
------------------------------------
Premium/(Discount) to NAV -5.68%
------------------------------------
Market Yield 5.57%
------------------------------------
Taxable-Equivalent Yield1 8.25%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $306,253
------------------------------------
Average Effective
Maturity on Securities (Years) 17.26
------------------------------------
Leverage-Adjusted Duration 8.33
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 2/21/91)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) -3.24% 0.08%
------------------------------------
1-Year -0.34% 5.28%
------------------------------------
5-Year 4.66% 7.02%
------------------------------------
10-Year 5.58% 6.30%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Transportation 17.4%
------------------------------------
Tax Obligation/Limited 16.2%
------------------------------------
Education and Civic
Organizations 14.1%
------------------------------------
Health Care 12.6%
------------------------------------
U.S. Guaranteed 11.7%
------------------------------------
Tax Obligation/General 8.1%
------------------------------------
Water and Sewer 5.1%
------------------------------------
Other 14.8%
------------------------------------
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 32.5%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders a capital gains distribution in December
2005 of $0.2403 per share.
12
Nuveen New Jersey Premium Income Municipal Fund, Inc.
NNJ
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 78%
AA 6%
A 4%
BBB 10%
N/R 2%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.078
Feb 0.078
Mar 0.075
Apr 0.075
May 0.075
Jun 0.071
Jul 0.071
Aug 0.071
Sep 0.0675
Oct 0.0675
Nov 0.0675
Dec 0.064
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 15.8
15.7
15.64
15.59
15.54
15.67
15.74
15.73
15.71
15.71
15.68
15.85
15.87
15.88
15.81
15.92
15.93
15.86
15.84
15.85
15.99
16.1
16.04
16.14
16.06
16.12
16.13
16.25
15.77
15.81
15.67
15.6
15.55
15.48
15.45
15.51
15.79
15.75
15.7
15.68
15.71
15.7
15.69
15.66
15.7
15.57
15.42
15.35
15.4
15.21
15.2
15.39
15.24
15.21
14.91
14.85
14.96
14.86
14.85
14.72
14.96
15.19
15.1
15.05
15
14.99
14.9
14.92
15.12
14.98
15.04
14.96
15.03
15.1
15.07
15.07
15.08
15.28
15.3
15.49
15.54
15.55
15.55
15.55
15.67
15.51
15.52
15.34
15.4
15.41
15.36
15.39
15.38
15.39
15.39
15.54
15.58
15.5
15.52
15.45
15.44
15.48
15.56
15.71
15.81
15.7
15.71
15.67
15.64
15.58
15.62
15.62
15.56
15.52
15.51
15.53
15.54
15.48
15.5
15.59
15.6
15.62
15.59
15.52
15.51
15.76
15.89
15.76
15.8
15.8
15.8
15.6
15.64
15.5
15.45
15.48
15.45
15.44
15.38
15.42
15.44
15.48
15.5
15.57
15.64
15.7
15.7
15.75
15.79
15.72
15.75
15.82
15.72
15.53
15.74
15.6
15.56
15.58
15.69
15.6
15.61
15.6
15.59
15.67
15.69
15.76
15.79
15.95
16
15.98
15.89
15.81
15.7
15.66
15.65
15.64
15.68
15.6
15.53
15.48
15.47
15.4
15.32
15.35
15.53
15.32
15.3
15.06
15.13
15.09
15.18
15.26
15.15
15.12
14.95
14.9
14.84
14.84
14.72
14.82
14.69
14.6
14.41
14.4
14.47
14.63
14.69
14.61
14.69
14.78
14.74
14.74
14.74
14.8
15.28
15.12
15.21
15.16
14.95
14.83
14.81
14.9
14.82
14.78
14.79
14.86
14.81
14.88
14.76
14.81
14.81
14.73
14.7
14.69
14.75
14.74
14.82
14.74
14.8
14.78
14.78
14.36
14.45
14.44
14.38
14.4
14.38
14.29
14.29
14.35
14.27
14.34
14.41
14.46
12/31/05 14.46
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $14.46
------------------------------------
Common Share
Net Asset Value $15.31
------------------------------------
Premium/(Discount) to NAV -5.55%
------------------------------------
Market Yield 5.31%
------------------------------------
Taxable-Equivalent Yield1 7.87%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $184,385
------------------------------------
Average Effective
Maturity on Securities (Years) 16.08
------------------------------------
Leverage-Adjusted Duration 8.71
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 12/17/92)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) -3.74% -0.12%
------------------------------------
1-Year -1.30% 4.52%
------------------------------------
5-Year 6.77% 6.85%
------------------------------------
10-Year 7.34% 6.54%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Tax Obligation/Limited 20.8%
------------------------------------
Transportation 14.3%
------------------------------------
Education and Civic
Organizations 12.6%
------------------------------------
U.S. Guaranteed 11.3%
------------------------------------
Tax Obligation/General 10.4%
------------------------------------
Health Care 9.7%
------------------------------------
Water and Sewer 9.6%
------------------------------------
Other 11.3%
------------------------------------
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 32.5%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2005 of $0.3089 and $0.0007 per share,
respectively.
13
Nuveen New Jersey Dividend Advantage Municipal Fund
NXJ
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 76%
AA 2%
A 8%
BBB 12%
BB or Lower 1%
N/R 1%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.0785
Feb 0.0785
Mar 0.0755
Apr 0.0755
May 0.0755
Jun 0.0715
Jul 0.0715
Aug 0.0715
Sep 0.0715
Oct 0.0715
Nov 0.0715
Dec 0.0715
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 15.14
15.23
15.15
15.05
15.23
15.22
15.03
15.09
15.35
15.35
15.23
15.09
15.23
15.43
15.54
15.55
15.58
15.55
15.6
15.55
15.9
15.61
15.43
15.62
15.77
15.75
15.8
15.88
15.69
15.7
15.74
15.68
15.41
15.11
15
15.17
15.21
15.4
15.12
15.23
15.26
15.46
15.5
15.54
15.27
15.08
15
14.91
15.08
14.7
14.77
14.8
14.83
14.91
14.9
14.1
14.2
13.85
13.75
13.96
14.09
14.15
14.17
14.32
14.42
14.4
14.31
14.36
14.37
14.3
14.36
14.36
14.43
14.52
14.44
14.34
14.38
14.43
14.82
14.7
14.86
14.96
14.96
14.63
14.65
14.65
14.76
14.7
15
14.94
14.75
14.92
14.92
15.06
14.96
14.85
14.98
14.9
14.99
14.93
15.01
15.25
15.3
15.3
15.25
15.15
15.16
15.05
15.22
15.12
14.87
14.9
14.82
14.84
15
14.94
14.82
15.14
15.06
15.33
15.1
15.07
15.23
15.13
15.12
15.38
15.56
15.2
15.22
15.28
15.38
15.29
15.32
15.25
15.42
15.39
15.3
15.43
15.36
15.38
15.27
15.43
15.61
15.62
15.42
15.39
15.39
15.42
15.5
15.4
15.46
15.34
15.24
15.16
15.29
15.29
15.22
15.22
15.33
15.05
15.15
15.17
15.31
15.3
15.3
15.4
15.4
15.48
15.57
15.44
15.43
15.43
15.23
15.04
15.09
15.32
15.39
15.29
15.38
15.17
15.21
15.19
15.1
14.91
15.09
15.07
14.91
15.14
15.1
15.08
15.25
15.47
15.38
15.4
15.23
15.3
15.27
15.2
15
14.75
14.76
14.76
14.96
14.94
15
14.98
14.61
14.85
14.7
14.6
14.63
14.58
14.66
14.73
14.68
14.58
14.7
14.7
14.74
14.55
14.5
14.55
14.49
14.49
14.54
14.38
14.36
14.45
14.3
14.48
14.49
14.7
15.15
15
15.2
15.1
15.35
15.16
15.1
15.12
15.1
15
15.2
15.04
14.9
14.88
14.85
14.78
14.9
14.82
14.75
14.95
14.94
15.25
12/31/05 15.25
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $15.25
------------------------------------
Common Share
Net Asset Value $15.16
------------------------------------
Premium/(Discount) to NAV 0.59%
------------------------------------
Market Yield 5.63%
------------------------------------
Taxable-Equivalent Yield1 8.34%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $99,419
------------------------------------
Average Effective
Maturity on Securities (Years) 17.21
------------------------------------
Leverage-Adjusted Duration 8.23
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/27/01)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 2.66% 0.42%
------------------------------------
1-Year 7.33% 5.72%
------------------------------------
Since
Inception 6.57% 7.44%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Transportation 16.7%
------------------------------------
Water and Sewer 16.6%
------------------------------------
Tax Obligation/Limited 15.1%
------------------------------------
Education and Civic
Organizations 14.3%
------------------------------------
U.S. Guaranteed 13.8%
------------------------------------
Health Care 11.4%
------------------------------------
Other 12.1%
------------------------------------
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 32.5%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders a capital gains distribution in December
2005 of $0.1034 per share.
14
Nuveen New Jersey Dividend Advantage Municipal Fund 2
NUJ
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 64%
AA 2%
A 13%
BBB 17%
BB or Lower 2%
N/R 2%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.0765
Feb 0.0765
Mar 0.0765
Apr 0.0765
May 0.0765
Jun 0.0765
Jul 0.0765
Aug 0.0765
Sep 0.073
Oct 0.073
Nov 0.073
Dec 0.073
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 15.2
15.04
15.1
15.1
15.08
15.13
15.24
15.15
15
14.99
14.95
15.21
15.12
15
15
14.93
15
14.95
15.21
15.46
15.73
15.65
15.69
15.56
15.53
15.57
15.75
15.87
15.8
15.95
15.91
15.7
15.39
14.97
14.91
15.03
15.2
15.46
15.31
15.3
15.45
15.5
15.57
15.65
15.61
15.52
15.41
15.29
15.29
14.9
14.86
14.82
14.75
14.46
14.36
13.89
14.05
14.08
14.05
14.18
14.22
14.29
14.29
14.18
14.11
14.23
14.26
14.34
14.52
14.5
14.57
14.62
14.67
14.9
14.74
14.55
14.6
14.47
14.44
14.55
14.7
14.74
14.74
14.82
15.18
15.1
15.3
15.09
15.13
15.12
15.08
14.99
14.96
15.21
15.06
14.96
14.93
15.03
15.09
15.02
15.04
15.14
15.47
15.78
15.8
15.7
15.57
15.58
15.66
15.79
15.59
15.77
15.79
15.79
15.9
15.83
15.65
15.65
15.8
15.76
15.62
15.64
15.61
15.61
15.47
15.9
16
16
16.25
16.2
16.1
15.98
15.95
15.48
15.52
15.55
15.65
15.81
16.05
15.9
15.77
15.61
15.64
15.9
16.11
16
16
16.1
15.8
16.09
16.01
15.97
15.7
15.7
15.68
15.72
15.6
15.62
16
15.62
15.58
15.66
15.86
16.09
15.94
15.95
15.9
16.05
16.25
16.21
16.2
16.05
15.9
15.6
15.44
15.6
15.6
15.55
15.55
15.51
15.46
15.44
15.47
15.44
15.55
15.62
15.75
15.74
15.62
15.61
15.6
15.87
15.87
15.87
15.85
15.75
15.74
15.7
15.25
15.1
15.19
15.19
15.71
15.3
15.41
15.29
14.92
15.1
15.03
15.11
15.25
15.1
15.05
15.11
15.08
14.95
15.16
15.7
15.36
15.17
15.11
15.02
15.06
15.25
15.25
15.14
15.23
15.34
15.15
15.45
15.7
15.61
15.8
15.6
15.66
15.57
15.88
15.87
15.87
15.77
15.89
15.71
15.85
15.9
15.92
16.1
15.64
16.07
16.15
16.14
16.15
16.25
16.5
16.5
12/31/05 16.5
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $16.50
------------------------------------
Common Share
Net Asset Value $15.31
------------------------------------
Premium/(Discount) to NAV 7.77%
------------------------------------
Market Yield 5.31%
------------------------------------
Taxable-Equivalent Yield1 7.87%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $69,079
------------------------------------
Average Effective
Maturity on Securities (Years) 17.58
------------------------------------
Leverage-Adjusted Duration 8.07
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/25/02)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 7.32% 0.40%
------------------------------------
1-Year 17.41% 5.87%
------------------------------------
Since
Inception 9.19% 8.34%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Health Care 17.1%
------------------------------------
Transportation 14.5%
------------------------------------
U.S. Guaranteed 14.4%
------------------------------------
Tax Obligation/Limited 11.5%
------------------------------------
Education and Civic
Organizations 10.7%
------------------------------------
Utilities 6.9%
------------------------------------
Long-Term Care 5.2%
------------------------------------
Water and Sewer 4.8%
------------------------------------
Other 14.9%
------------------------------------
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 32.5%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2005 of $0.0940 and $0.0001 per share,
respectively.
15
Nuveen Pennsylvania Investment Quality Municipal Fund
NQP
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 71%
AA 17%
A 5%
BBB 6%
N/R 1%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.076
Feb 0.076
Mar 0.072
Apr 0.072
May 0.072
Jun 0.067
Jul 0.067
Aug 0.067
Sep 0.062
Oct 0.062
Nov 0.062
Dec 0.0575
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 15.32
15.38
15.47
15.46
15.47
15.51
15.55
15.51
15.47
15.62
15.5
15.58
15.54
15.45
15.43
15.42
15.48
15.42
15.44
15.47
15.5
15.49
15.55
15.58
15.56
15.68
15.92
15.78
15.57
15.72
15.5
15.51
15.47
15.51
15.25
15.24
15.33
15.36
15.41
15.6
15.55
15.58
15.76
15.8
15.7
15.49
15.55
15.29
15.01
14.85
14.8
14.75
14.7
14.64
14.19
13.86
14.15
13.9
13.91
14.02
14.16
14.27
14.45
14.28
14.26
14.27
14.32
14.34
14.38
14.24
14.28
14.3
14.36
14.44
14.42
14.28
14.36
14.5
14.41
14.42
14.49
14.53
14.53
14.48
14.5
14.57
14.67
14.67
14.78
14.83
14.79
14.82
14.78
14.76
14.82
14.88
14.92
14.93
14.87
14.95
14.89
14.97
14.98
15.13
15.16
15.12
15.04
15
15
15.02
14.85
14.86
14.92
14.72
14.7
14.71
14.8
14.69
14.7
14.74
14.81
14.84
14.89
14.91
14.91
15.16
15.1
15.09
15.04
15.04
15.05
15.06
15.12
15
15.01
15.1
15.05
15.15
15.06
15.06
15
15
15.04
14.97
15.01
15.01
15.01
14.99
15.05
15.07
15.11
15.09
14.97
14.91
14.88
15.05
15.2
15.02
15.07
15.08
15.17
15.13
15.04
15.08
15.08
15.02
15.02
15.18
15.17
15.21
15.3
15.27
15.27
15.11
15.12
15.1
15.12
14.92
14.83
14.81
14.81
14.83
14.75
14.77
14.76
14.76
14.57
14.42
14.35
14.34
14.39
14.39
14.4
14.4
14.32
14.31
14.29
14.31
14.22
14.08
14.05
14.09
14
14
14.01
14.03
13.95
13.96
13.92
13.98
13.98
14.03
14.06
13.96
13.92
14.01
14.08
14.16
13.94
13.94
13.85
13.97
13.89
13.9
13.8
13.79
13.77
13.81
13.97
13.95
13.95
13.85
13.76
13.72
13.72
13.67
13.71
13.72
13.71
13.6
13.63
13.39
13.44
13.41
13.5
13.5
13.52
13.5
13.58
13.63
13.64
13.63
13.6
13.67
12/31/05 13.67
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $13.67
------------------------------------
Common Share
Net Asset Value $15.20
------------------------------------
Premium/(Discount) to NAV -10.07%
------------------------------------
Market Yield 5.05%
------------------------------------
Taxable-Equivalent Yield1 7.21%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $247,844
------------------------------------
Average Effective
Maturity on Securities
(Years) 15.30
------------------------------------
Leverage-Adjusted Duration 8.25
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 2/21/91)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) -6.72% -0.27%
------------------------------------
1-Year -5.06% 4.07%
------------------------------------
5-Year 6.38% 6.98%
------------------------------------
10-Year 4.17% 5.87%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Education and Civic
Organizations 16.9%
------------------------------------
Tax Obligation/Limited 16.5%
------------------------------------
U.S. Guaranteed 14.8%
------------------------------------
Tax Obligation/General 14.7%
------------------------------------
Water and Sewer 9.9%
------------------------------------
Transportation 7.0%
------------------------------------
Health Care 6.8%
------------------------------------
Utilities 6.2%
------------------------------------
Other 7.2%
------------------------------------
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 30%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2005 of $0.1058 and $0.0005 per share,
respectively.
16
Nuveen Pennsylvania Premium Income Municipal Fund 2
NPY
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 77%
AA 6%
A 5%
BBB 7%
BB or Lower 3%
N/R 2%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.079
Feb 0.079
Mar 0.075
Apr 0.075
May 0.075
Jun 0.071
Jul 0.071
Aug 0.071
Sep 0.0665
Oct 0.0665
Nov 0.0665
Dec 0.063
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 15.54
15.37
15.28
15.44
15.4
15.36
15.38
15.46
15.48
15.66
15.46
15.48
15.56
15.6
15.78
15.85
15.85
15.76
15.83
15.69
15.77
15.67
15.8
15.84
15.9
15.83
15.89
15.82
15.76
15.7
15.56
15.68
15.66
15.62
15.47
15.7
15.81
15.79
15.85
15.95
15.9
16
16.02
15.92
15.71
15.65
15.48
15.52
15.45
15.14
15.22
15.34
15.26
15.2
15.19
15.11
15.3
14.93
14.9
15
14.8
14.9
14.87
14.83
14.84
14.83
14.9
15.13
15.06
15.06
15
14.96
14.86
14.86
14.88
14.87
14.92
14.88
14.85
14.94
15.21
15.05
15.05
15.05
15
14.95
15.01
15.06
15.1
15.21
15.08
15.16
15.12
15.1
15.09
15.07
15.13
15.14
15.12
15.16
15.19
15.24
15.22
15.33
15.37
15.54
15.48
15.4
15.35
15.38
15.39
15.32
15.3
15.2
15.2
15.3
15.25
15.15
15.02
15.15
15.22
15.21
15.13
15.16
15.19
15.16
15.22
15.17
15.3
15.33
15.18
15.15
15.29
15.27
15.3
15.38
15.32
15.4
15.36
15.31
15.31
15.25
15.2
15.42
15.52
15.34
15.34
15.38
15.49
15.4
15.39
15.38
15.33
15.45
15.54
15.52
15.6
15.56
15.56
15.61
15.78
15.81
15.7
15.63
15.61
15.61
15.55
15.52
15.63
15.63
15.75
15.8
15.77
15.54
15.7
15.73
15.55
15.44
15.46
15.31
15.25
15.17
15.1
15.05
15
15
14.94
14.94
14.75
14.89
14.82
14.94
14.93
14.8
14.77
14.68
14.66
14.79
14.61
14.43
14.38
14.21
14.14
14.2
14.14
14.24
14.13
14.1
14.1
14.18
14.14
14.19
14.16
14.07
14.09
14
13.99
13.98
13.97
13.9
13.85
13.87
13.85
13.89
13.87
13.84
13.84
13.89
13.8
13.84
13.89
13.95
13.87
14.05
14.02
13.91
13.89
13.9
13.86
13.88
13.92
13.66
13.64
13.5
13.63
13.63
13.71
13.59
13.7
13.64
13.75
13.96
14.06
14.01
12/31/05 14.01
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $14.01
------------------------------------
Common Share
Net Asset Value $14.69
------------------------------------
Premium/(Discount) to NAV -4.63%
------------------------------------
Market Yield 5.40%
------------------------------------
Taxable-Equivalent Yield1 7.71%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $232,528
------------------------------------
Average Effective
Maturity on Securities (Years) 17.15
------------------------------------
Leverage-Adjusted Duration 7.93
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/18/93)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) -3.56% -0.04%
------------------------------------
1-Year -3.23% 3.87%
------------------------------------
5-Year 8.67% 7.24%
------------------------------------
10-Year 7.87% 6.60%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Tax Obligation/General 17.2%
------------------------------------
Education and Civic
Organizations 12.5%
------------------------------------
Transportation 12.2%
------------------------------------
Health Care 11.9%
------------------------------------
Utilities 10.9%
------------------------------------
Water and Sewer 9.7%
------------------------------------
Tax Obligation/Limited 9.1%
------------------------------------
U.S. Guaranteed 6.3%
------------------------------------
Other 10.2%
------------------------------------
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 30%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2005 of $0.2137 and $0.0023 per share,
respectively.
17
Nuveen Pennsylvania Dividend Advantage Municipal Fund
NXM
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 56%
AA 17%
A 11%
BBB 8%
BB or Lower 3%
N/R 5%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.0805
Feb 0.0805
Mar 0.0775
Apr 0.0775
May 0.0775
Jun 0.0775
Jul 0.0775
Aug 0.0775
Sep 0.074
Oct 0.074
Nov 0.074
Dec 0.074
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 16.06
16.06
16.38
16.38
16.38
16.13
15.97
15.94
15.92
16.36
16.5
16.42
16.32
16.15
16.15
16.1
16.2
16.14
16.14
16.46
16.27
16.3
16.4
16.5
16.5
16.6
16.75
16.67
16.67
16.35
16.18
16.06
16.08
16.08
15.84
15.76
15.78
15.79
15.78
16.18
16.19
16.24
16.36
16.35
16.28
16.21
16.43
16.2
16.08
16.01
15.82
15.51
15.5
15.53
15.5
15.44
14.89
14.88
14.78
14.78
15.02
14.97
14.9
15.25
15.36
15.15
15.16
15.13
15.13
15.08
15.2
15.46
15.66
15.56
15.49
15.41
15.45
15.32
15.33
15.65
15.83
15.87
15.87
16.55
16.38
16.32
16.06
16.38
16.3
16.33
16.3
16.3
16.29
16.12
15.75
15.72
15.72
15.7
15.74
15.67
15.69
15.61
15.69
15.73
16.2
16.25
16.25
16.17
16.19
16.14
16.12
16.19
16.18
16.18
16.12
16.15
15.86
15.99
15.99
15.99
15.99
16.1
16.18
16.12
16.02
16.14
16.34
16.51
16.3
16.32
16.51
16.65
16.61
16.36
16.5
16.52
16.65
16.6
16.36
16.25
16.3
16.4
16.4
16.64
16.55
16.81
16.81
16.76
16.38
16.45
16.6
16.69
16.69
16.63
16.63
17
16.9
16.85
16.8
17.04
17.16
17.15
17.05
16.85
16.9
16.81
16.99
16.99
16.75
16.71
16.7
16.75
16.75
16.72
16.72
16.7
16.65
16.65
16.65
16.48
16.5
16.5
16.42
16.28
16.28
16.08
15.97
15.91
15.77
15.75
15.6
15.58
15.57
15.46
15.58
15.65
15.7
15.72
15.59
15.63
15.4
15.55
15.55
15.49
15.2
15.24
15.11
15.01
14.96
14.9
14.95
15.1
15.29
15.7
15.81
15.81
15.95
15.95
15.85
15.77
15.77
15.72
15.72
15.9
15.72
15.72
15.72
15.9
16.05
16.05
15.58
15.75
15.36
15.41
15.36
15.35
15.4
15.4
15.4
15.35
15.4
15.4
15.59
16
15.8
15.85
15.3
16
15.6
15.75
15.75
15.66
15.85
15.82
12/31/05 15.82
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $15.82
------------------------------------
Common Share
Net Asset Value $15.42
------------------------------------
Premium/(Discount) to NAV 2.59%
------------------------------------
Market Yield 5.61%
------------------------------------
Taxable-Equivalent Yield1 8.01%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $51,090
------------------------------------
Average Effective
Maturity on Securities (Years) 16.51
------------------------------------
Leverage-Adjusted Duration 8.22
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/27/01)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 1.46% 0.29%
------------------------------------
1-Year 4.47% 4.78%
------------------------------------
Since
Inception 8.29% 8.71%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Education and Civic
Organizations 20.6%
------------------------------------
Tax Obligation/General 13.4%
------------------------------------
Health Care 13.3%
------------------------------------
Long-Term Care 9.2%
------------------------------------
Utilities 8.7%
------------------------------------
Transportation 8.5%
------------------------------------
Tax Obligation/Limited 6.8%
------------------------------------
U.S. Guaranteed 6.3%
------------------------------------
Other 13.2%
------------------------------------
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 30%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders a capital gains distribution in December
2005 of $0.1015 per share.
18
Nuveen Pennsylvania Dividend Advantage Municipal Fund 2
NVY
Performance
OVERVIEW As of December 31, 2005
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 59%
AA 20%
A 4%
BBB 9%
BB or Lower 3%
N/R 5%
Bar Chart:
2005 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Jan 0.0735
Feb 0.0735
Mar 0.0705
Apr 0.0705
May 0.0705
Jun 0.067
Jul 0.067
Aug 0.067
Sep 0.067
Oct 0.067
Nov 0.067
Dec 0.067
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
1/01/05 14.79
14.9
14.87
14.92
14.92
15.01
15.13
15.05
15.19
15.18
15.28
15.6
15.53
15.43
15.63
15.5
15.43
15.4
15.32
15.4
15.56
15.73
16.2
16.11
16.1
15.9
15.82
15.64
15.58
15.58
15.63
15.53
15.41
15.3
15.06
15.06
15.16
15.16
14.9
14.91
14.91
14.98
15.1
15.28
15.35
15.21
15.21
14.9
14.64
14.65
14.45
14.4
14.34
14.1
14.06
13.73
13.7
13.67
13.71
13.8
14.05
14.1
13.97
13.99
14.11
14.17
14.17
14.14
14.1
14.07
14.17
14.21
14.23
14.46
14.4
14.25
14.45
14.41
14.42
14.47
14.53
14.67
14.67
14.67
14.68
14.7
14.72
14.79
14.75
14.64
14.71
14.64
14.68
14.77
14.8
14.75
14.75
14.83
14.74
14.86
14.93
14.9
14.9
15
15.15
15.2
14.88
14.92
14.9
14.84
14.84
14.78
14.8
14.68
14.66
14.7
14.67
14.74
14.7
14.73
14.75
14.98
14.85
14.78
14.76
14.9
14.94
14.99
15.08
15.04
15.17
15.33
15.24
15.3
15.3
15.25
15.15
15.12
15.07
15.12
15.12
15.12
15.15
15.11
15.12
15.12
15.12
15.05
15.1
15.12
15.2
15.11
15.05
15.01
15.15
15.4
15.91
15.7
15.58
15.79
16.19
16.24
16
15.48
15.19
15.1
15.18
15.51
15.61
15.56
15.58
15.65
15.82
15.85
16.01
16
15.86
15.65
15.36
15.15
15.15
15.16
15.35
15.85
15.95
15.8
15.59
15.41
15.29
15.34
15.28
15.3
15.3
15.2
15.2
15.2
15.2
15.2
15
14.8
14.53
14.43
14.2
14.23
14.15
14.25
14.4
14.3
14.1
14.36
14.12
14.34
14.77
14.94
14.85
14.57
14.51
14.75
14.7
14.54
14.35
14.2
13.94
14.09
13.96
14.06
13.92
13.98
13.8
13.95
14.16
14.21
14.23
14.16
14.1
14
14.24
14.24
14.25
14.26
14.01
13.98
14.01
13.91
14.25
14.28
14.31
14.44
14.7
14.72
14.68
14.67
14.54
14.53
12/31/05 14.53
(Sidebar)
FUND SNAPSHOT
------------------------------------
Common Share Price $14.53
------------------------------------
Common Share
Net Asset Value $15.39
------------------------------------
Premium/(Discount) to NAV -5.59%
------------------------------------
Market Yield 5.53%
------------------------------------
Taxable-Equivalent Yield1 7.90%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $57,323
------------------------------------
Average Effective
Maturity on Securities (Years) 15.07
------------------------------------
Leverage-Adjusted Duration 8.37
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/25/02)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 0.84% 0.02%
------------------------------------
1-Year 4.67% 4.34%
------------------------------------
Since
Inception 5.67% 8.40%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Tax Obligation/Limited 21.8%
------------------------------------
U.S. Guaranteed 14.0%
------------------------------------
Education and Civic
Organizations 13.7%
------------------------------------
Tax Obligation/General 12.7%
------------------------------------
Health Care 10.0%
------------------------------------
Utilities 6.6%
------------------------------------
Water and Sewer 6.4%
------------------------------------
Other 14.8%
------------------------------------
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 30%. When comparing this Fund to investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders a capital gains distribution in December
2005 of $0.0976 per share.
19
Shareholder
MEETING REPORT
Approval of the new investment management agreement was the proposal voted upon
at the July 26, 2005, shareholder meeting held at The Northern Trust Bank.
Approval of the Board Members was the proposal voted upon at the November 15,
2005, shareholder meeting held at the offices of Nuveen Investments.
NQJ NNJ NXJ
------------------------------------------------------------------------------------------------------------------------------------
APPROVAL OF THE NEW INVESTMENT MANAGEMENT
AGREEMENT WAS REACHED AS FOLLOWS:
Common and Common and Common and
MuniPreferred MuniPreferred MuniPreferred
shares voting shares voting shares voting
together together together
as a class as a class as a class
====================================================================================================================================
For 18,505,771 10,987,087 6,373,676
Against 210,065 153,354 42,255
Abstain 299,555 151,225 65,804
------------------------------------------------------------------------------------------------------------------------------------
Total 19,015,391 11,291,666 6,481,735
====================================================================================================================================
APPROVAL OF THE BOARD MEMBERS
WAS REACHED AS FOLLOWS:
Common and Common and Common and
MuniPreferred MuniPreferred MuniPreferred MuniPreferred MuniPreferred MuniPreferred
shares voting shares voting shares voting shares voting shares voting shares voting
together together together together together together
as a class as a class as a class as a class as a class as a class
====================================================================================================================================
Robert P. Bremner
For 18,714,547 -- 11,088,387 -- 6,263,557 --
Withhold 197,207 -- 117,710 -- 43,663 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
Lawrence H. Brown
For 18,723,669 -- 11,090,586 -- 6,266,257 --
Withhold 188,085 -- 115,511 -- 40,963 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
Jack B. Evans
For 18,716,713 -- 11,092,660 -- 6,267,657 --
Withhold 195,041 -- 113,437 -- 39,563 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
William C. Hunter
For 18,734,300 -- 11,094,855 -- 6,265,957 --
Withhold 177,454 -- 111,242 -- 41,263 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
David J. Kundert
For 18,735,909 -- 11,090,641 -- 6,264,957 --
Withhold 175,845 -- 115,456 -- 42,263 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
William J. Schneider
For -- 6,084 -- 3,507 -- 1,889
Withhold -- 3 -- 10 -- --
------------------------------------------------------------------------------------------------------------------------------------
Total -- 6,087 -- 3,517 -- 1,889
====================================================================================================================================
Timothy R. Schwertfeger
For -- 6,084 -- 3,507 -- 1,889
Withhold -- 3 -- 10 -- --
------------------------------------------------------------------------------------------------------------------------------------
Total -- 6,087 -- 3,517 -- 1,889
====================================================================================================================================
Judith M. Stockdale
For 18,722,784 -- 11,090,919 -- 6,260,558 --
Withhold 188,970 -- 115,178 -- 46,662 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
Eugene S. Sunshine
For 18,736,689 -- 11,092,660 -- 6,263,957 --
Withhold 175,065 -- 113,437 -- 43,263 --
------------------------------------------------------------------------------------------------------------------------------------
Total 18,911,754 -- 11,206,097 -- 6,307,220 --
====================================================================================================================================
20
NUJ NQP NPY
------------------------------------------------------------------------------------------------------------------------------------
APPROVAL OF THE NEW INVESTMENT MANAGEMENT
AGREEMENT WAS REACHED AS FOLLOWS:
Common and Common and Common and
MuniPreferred MuniPreferred MuniPreferred
shares voting shares voting shares voting
together together together
as a class as a class as a class
====================================================================================================================================
For 4,354,936 14,331,001 14,303,453
Against 60,220 172,990 151,862
Abstain 40,539 214,905 177,968
------------------------------------------------------------------------------------------------------------------------------------
Total 4,455,695 14,718,896 14,633,283
====================================================================================================================================
APPROVAL OF THE BOARD MEMBERS
WAS REACHED AS FOLLOWS:
Common and Common and Common and
MuniPreferred MuniPreferred MuniPreferred MuniPreferred MuniPreferred MuniPreferred
shares voting shares voting shares voting shares voting shares voting shares voting
together together together together together together
as a class as a class as a class as a class as a class as a class
====================================================================================================================================
Robert P. Bremner
For 4,381,676 -- 14,605,496 -- 14,484,048 --
Withhold 43,034 -- 264,244 -- 141,045 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
Lawrence H. Brown
For 4,381,673 -- 14,594,107 -- 14,458,173 --
Withhold 43,037 -- 275,633 -- 166,920 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
Jack B. Evans
For 4,396,673 -- 14,613,170 -- 14,470,075 --
Withhold 28,037 -- 256,570 -- 155,018 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
William C. Hunter
For 4,396,676 -- 14,617,162 -- 14,476,551 --
Withhold 28,034 -- 252,578 -- 148,542 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
David J. Kundert
For 4,380,926 -- 14,618,855 -- 14,476,190 --
Withhold 43,784 -- 250,885 -- 148,903 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
William J. Schneider
For -- 1,347 -- 5,138 -- 4,622
Withhold -- 4 -- 17 -- 12
------------------------------------------------------------------------------------------------------------------------------------
Total -- 1,351 -- 5,155 -- 4,634
====================================================================================================================================
Timothy R. Schwertfeger
For -- 1,347 -- 5,138 -- 4,623
Withhold -- 4 -- 17 -- 11
------------------------------------------------------------------------------------------------------------------------------------
Total -- 1,351 -- 5,155 -- 4,634
====================================================================================================================================
Judith M. Stockdale
For 4,381,677 -- 14,609,904 -- 14,473,174 --
Withhold 43,033 -- 259,836 -- 151,919 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
Eugene S. Sunshine
For 4,396,676 -- 14,614,445 -- 14,477,245 --
Withhold 28,034 -- 255,295 -- 147,848 --
------------------------------------------------------------------------------------------------------------------------------------
Total 4,424,710 -- 14,869,740 -- 14,625,093 --
====================================================================================================================================
21
Shareholder
MEETING REPORT (continued)
NXM NVY
------------------------------------------------------------------------------------------------------------------------------------
APPROVAL OF THE NEW INVESTMENT MANAGEMENT
AGREEMENT WAS REACHED AS FOLLOWS:
Common and Common and
MuniPreferred MuniPreferred
shares voting shares voting
together together
as a class as a class
====================================================================================================================================
For 3,166,331 3,574,233
Against 19,047 28,151
Abstain 50,355 30,611
------------------------------------------------------------------------------------------------------------------------------------
Total 3,235,733 3,632,995
====================================================================================================================================
APPROVAL OF THE BOARD MEMBERS
WAS REACHED AS FOLLOWS:
Common and Common and
MuniPreferred MuniPreferred MuniPreferred MuniPreferred
shares voting shares voting shares voting shares voting
together together together together
as a class as a class as a class as a class
====================================================================================================================================
Robert P. Bremner
For 3,161,479 -- 3,610,515 --
Withhold 32,223 -- 19,108 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
Lawrence H. Brown
For 3,154,279 -- 3,607,709 --
Withhold 39,423 -- 21,914 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
Jack B. Evans
For 3,161,679 -- 3,615,347 --
Withhold 32,023 -- 14,276 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
William C. Hunter
For 3,161,479 -- 3,612,980 --
Withhold 32,223 -- 16,643 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
David J. Kundert
For 3,161,679 -- 3,613,080 --
Withhold 32,023 -- 16,543 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
William J. Schneider
For -- 950 -- 1,130
Withhold -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Total -- 950 -- 1,130
====================================================================================================================================
Timothy R. Schwertfeger
For -- 950 -- 1,130
Withhold -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Total -- 950 -- 1,130
====================================================================================================================================
Judith M. Stockdale
For 3,159,254 -- 3,614,147 --
Withhold 34,448 -- 15,476 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
Eugene S. Sunshine
For 3,159,379 -- 3,603,797 --
Withhold 34,323 -- 25,826 --
------------------------------------------------------------------------------------------------------------------------------------
Total 3,193,702 -- 3,629,623 --
====================================================================================================================================
22
Nuveen New Jersey Investment Quality Municipal Fund, Inc. (NQJ)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER DISCRETIONARY - 0.5% (0.4% OF TOTAL INVESTMENTS)
Middlesex County Improvement Authority, New Jersey, Senior
Revenue Bonds, Heldrich Center Hotel/Conference Center Project,
Series 2005A:
$ 800 5.000%, 1/01/32 1/15 at 100.00 Baa3 $ 797,112
690 5.125%, 1/01/37 1/15 at 100.00 Baa3 694,451
------------------------------------------------------------------------------------------------------------------------------------
1,490 Total Consumer Discretionary 1,491,563
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 5.9% (3.9% OF TOTAL INVESTMENTS)
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2002:
8,380 5.750%, 6/01/32 6/12 at 100.00 BBB 8,709,921
3,000 6.000%, 6/01/37 6/12 at 100.00 BBB 3,113,670
Tobacco Settlement Financing Corporation, New Jersey, Tobacco
Settlement Asset-Backed Bonds, Series 2003:
3,200 6.125%, 6/01/24 6/13 at 100.00 BBB 3,496,320
2,625 6.375%, 6/01/32 6/13 at 100.00 BBB 2,888,130
------------------------------------------------------------------------------------------------------------------------------------
17,205 Total Consumer Staples 18,208,041
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 21.2% (14.1% OF TOTAL INVESTMENTS)
2,500 Bergen County Improvement Authority, New Jersey, Revenue 9/12 at 101.00 N/R 2,645,850
Bonds, Yeshiva Ktana of Passaic Project, Series 2002,
6.000%, 9/15/27
1,000 New Jersey Economic Development Authority, Revenue Bonds, 6/15 at 100.00 AAA 1,060,480
The Seeing Eye Inc., Series 2005, 5.000%, 12/01/24 -
AMBAC Insured
2,000 New Jersey Educational Facilities Authority, Revenue Bonds, 7/13 at 100.00 A 2,055,500
Fairleigh Dickinson University, Series 2002D, 5.250%, 7/01/32 -
ACA Insured
500 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 N/R 530,110
Fairleigh Dickinson University, Series 2004C, 5.500%, 7/01/23
1,500 New Jersey Educational Facilities Authority, Revenue Bonds, 7/13 at 100.00 AAA 1,630,620
Kean University, Series 2003D, 5.250%, 7/01/20 - FGIC Insured
1,925 New Jersey Educational Facilities Authority, Revenue Bonds, 7/16 at 100.00 AAA 2,030,432
Kean University, Series 2005B, 5.000%, 7/01/30 - MBIA Insured
1,500 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA 1,608,885
Montclair State University, Series 2004L, 5.125%, 7/01/22 -
MBIA Insured
New Jersey Educational Facilities Authority, Revenue Bonds,
Montclair State University, Series 2005F:
1,225 5.000%, 7/01/16 - FGIC Insured 7/15 at 100.00 AAA 1,330,644
2,850 5.000%, 7/01/18 - FGIC Insured 7/15 at 100.00 AAA 3,069,963
1,460 5.000%, 7/01/32 - FGIC Insured 7/15 at 100.00 AAA 1,529,744
2,000 New Jersey Educational Facilities Authority, Revenue Bonds, 7/12 at 100.00 AAA 2,069,500
New Jersey City University, Series 2002A, 5.000%, 7/01/32 -
AMBAC Insured
New Jersey Educational Facilities Authority, Revenue Bonds, New
Jersey Institute of Technology, Series 2001G:
1,000 5.250%, 7/01/20 - MBIA Insured 7/11 at 100.00 AAA 1,068,830
1,945 5.250%, 7/01/21 - MBIA Insured 7/11 at 100.00 AAA 2,078,874
New Jersey Educational Facilities Authority, Revenue Bonds, New
Jersey Institute of Technology, Series 2004B:
2,285 5.000%, 7/01/18 - AMBAC Insured 1/14 at 100.00 AAA 2,437,752
1,260 5.000%, 7/01/19 - AMBAC Insured 1/14 at 100.00 AAA 1,342,454
2,510 4.750%, 7/01/20 - AMBAC Insured 1/14 at 100.00 AAA 2,614,265
2,060 4.250%, 7/01/24 - AMBAC Insured 1/14 at 100.00 AAA 2,025,001
23
Nuveen New Jersey Investment Quality Municipal Fund, Inc. (NQJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS (continued)
$ 1,000 New Jersey Educational Facilities Authority, Revenue Bonds, 7/11 at 100.00 AAA $ 1,030,270
Ramapo College, Series 2001D, 5.000%, 7/01/31 -
AMBAC Insured
1,495 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA 1,612,477
Ramapo College, Series 2004H, 5.000%, 7/01/16 - FGIC Insured
610 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AA 659,868
Rider University, Series 2004A, 5.500%, 7/01/23 -
RAAI Insured
1,300 New Jersey Educational Facilities Authority, Revenue Bonds, 7/13 at 100.00 AAA 1,400,971
Rowan University, Series 2003I, 5.125%, 7/01/21 - FGIC Insured
New Jersey Educational Facilities Authority, Revenue Bonds,
Rowan University, Series 2004C:
1,000 5.000%, 7/01/15 - MBIA Insured 7/14 at 100.00 AAA 1,082,340
1,195 5.000%, 7/01/20 - MBIA Insured 7/14 at 100.00 AAA 1,274,647
1,875 5.000%, 7/01/24 - MBIA Insured 7/14 at 100.00 AAA 1,983,394
New Jersey Educational Facilities Authority, Revenue Bonds,
St. Peter's College, Series 1998B:
1,000 5.375%, 7/01/18 7/08 at 102.00 BB+ 1,003,170
1,750 5.500%, 7/01/27 7/08 at 102.00 BB+ 1,737,995
1,050 New Jersey Educational Facilities Authority, Revenue 7/12 at 100.00 AA 1,096,452
Refunding Bonds, Rider University, Series 2002A,
5.000%, 7/01/17 - RAAI Insured
3,640 New Jersey Higher Education Assistance Authority, Student 6/07 at 102.00 AAA 3,702,098
Loan Revenue Bonds, New Jersey Class Loan Program,
Series 1997A, 5.800%, 6/01/16 - MBIA Insured (Alternative
Minimum Tax)
2,740 New Jersey Higher Education Assistance Authority, 6/10 at 101.00 AAA 2,772,113
Student Loan Revenue Bonds, Series 2000A, 6.125%, 6/01/17 -
MBIA Insured (Alternative Minimum Tax)
4,235 Puerto Rico Industrial, Tourist, Educational, Medical and 9/11 at 100.00 BBB 4,388,900
Environmental Control Facilities Financing Authority, Higher
Education Revenue Bonds, University of the Sacred Heart,
Series 2001, 5.250%, 9/01/21
University of Medicine and Dentistry of New Jersey, Certificates
of Participation, Child Health Institute, LLC, Series 2003:
1,945 5.000%, 4/15/20 - AMBAC Insured 4/13 at 100.00 AAA 2,068,118
1,370 5.000%, 4/15/22 - AMBAC Insured 4/13 at 100.00 AAA 1,453,419
University of Medicine and Dentistry of New Jersey, Revenue
Bonds, Series 2002A:
2,100 5.000%, 12/01/24 - AMBAC Insured 12/12 at 100.00 AAA 2,216,025
4,000 5.500%, 12/01/27 - AMBAC Insured 12/12 at 100.00 AAA 4,349,840
------------------------------------------------------------------------------------------------------------------------------------
61,825 Total Education and Civic Organizations 64,961,001
------------------------------------------------------------------------------------------------------------------------------------
FINANCIALS - 1.8% (1.2% OF TOTAL INVESTMENTS)
5,000 New Jersey Economic Development Authority, Revenue No Opt. Call Baa3 5,456,550
Refunding Bonds, Kapkowski Road Landfill Project,
Series 2002, 5.750%, 10/01/21
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 19.0% (12.6% OF TOTAL INVESTMENTS)
1,000 Camden County Improvement Authority, New Jersey, Revenue 8/14 at 100.00 BBB 1,056,620
Bonds, Cooper Health System, Series 2004A, 5.750%, 2/15/34
5,750 New Jersey Health Care Facilities Financing Authority, 8/11 at 100.00 AAA 5,892,657
FHA-Insured Mortgage Revenue Bonds, Jersey City Medical
Center, Series 2001, 5.000%, 8/01/41 - AMBAC Insured
400 New Jersey Health Care Facilities Financing Authority, Revenue 7/15 at 100.00 Baa3 418,336
Bonds, Children's Specialized Hospital, Series 2005A,
5.500%, 7/01/36
615 New Jersey Health Care Facilities Financing Authority, Revenue 7/16 at 100.00 A- 629,655
Bonds, Hunterdon Medical Center, Series 2006,
5.125%, 7/01/35 (WI/DD, Settling 1/05/06)
3,000 New Jersey Health Care Facilities Financing Authority, 7/11 at 100.00 A2 3,180,780
Revenue Bonds, Kennedy Health System Obligated Group,
Series 2001, 5.500%, 7/01/21
3,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/09 at 101.00 AAA 3,698,730
Bonds, Meridian Health System Obligated Group,
Series 1999, 5.250%, 7/01/29 - FSA Insured
24
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (continued)
New Jersey Health Care Facilities Financing Authority, Revenue
Bonds, Robert Wood Johnson University Hospital, Series 2000:
$ 3,850 5.750%, 7/01/25 7/10 at 100.00 A2 $ 4,098,210
2,000 5.750%, 7/01/31 7/10 at 100.00 A2 2,128,940
2,600 New Jersey Health Care Facilities Financing Authority, 7/15 at 100.00 AA 2,677,324
Revenue Bonds, RWJ Health Care Corporation, Series 2005B,
5.000%, 7/01/35 - RAAI Insured
5,040 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 100.00 AAA 5,352,833
Bonds, Society of the Valley Hospital Obligated Group,
Series 2000, 5.375%, 7/01/31 - AMBAC Insured
3,300 New Jersey Health Care Facilities Financing Authority, Revenue 7/13 at 100.00 Baa3 3,399,066
Bonds, Somerset Medical Center, Series 2003, 5.500%, 7/01/33
7,860 New Jersey Health Care Facilities Financing Authority, Revenue 7/12 at 100.00 Baa1 8,465,770
Bonds, South Jersey Hospital System, Series 2002,
5.875%, 7/01/21
1,690 New Jersey Health Care Facilities Financing Authority, Revenue 7/14 at 100.00 AA 1,809,551
Bonds, St. Clare's Hospital, Series 2004A, 5.250%, 7/01/20 -
RAAI Insured
2,000 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 100.00 BBB+ 2,214,820
Bonds, St. Peter's University Hospital, Series 2000A,
6.875%, 7/01/20
3,135 New Jersey Health Care Facilities Financing Authority, Revenue 1/12 at 100.00 AA 3,227,106
Refunding Bonds, Bayshore Community Hospital, Series 2002,
5.125%, 7/01/32 - RAAI Insured
4,320 New Jersey Health Care Facilities Financing Authority, Revenue 7/08 at 101.00 Aaa 4,427,957
Refunding Bonds, St. Barnabas Healthcare System - West
Hudson Hospital Obligated Group, Series 1998A, 5.000%,
7/01/23 - MBIA Insured
1,500 New Jersey Health Care Facilities Financing Authority, 7/07 at 102.00 BBB- 1,556,955
Revenue Refunding Bonds, St. Elizabeth Hospital Obligated
Group, Series 1997, 6.000%, 7/01/27
3,835 Newark, New Jersey, GNMA Collateralized Healthcare Facility 6/12 at 102.00 Aaa 4,064,563
Revenue Bonds, New Community Urban Renewal
Corporation, Series 2001A, 5.200%, 6/01/30
------------------------------------------------------------------------------------------------------------------------------------
55,395 Total Health Care 58,299,873
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 2.7% (1.8% OF TOTAL INVESTMENTS)
890 Long Branch Housing Finance Corporation New Jersey, Housing 4/06 at 100.00 N/R 895,189
Revenue Bonds, Washington Manor Associates Ltd. Section 8
Assisted Elderly Project, Series 1980, 10.000%, 10/01/11
4,500 New Jersey Housing and Mortgage Finance Agency, 5/06 at 102.00 AAA 4,609,035
Multifamily Housing Revenue Bonds, Series 1996A,
6.250%, 5/01/28 - AMBAC Insured (Alternative Minimum Tax)
2,743 Newark Housing Authority, New Jersey, GNMA Collateralized 10/09 at 102.00 Aaa 2,909,268
Housing Revenue Bonds, Fairview Apartments Project,
Series 2000A, 6.400%, 10/20/34 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
8,133 Total Housing/Multifamily 8,413,492
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 4.0% (2.6% OF TOTAL INVESTMENTS)
3,545 New Jersey Housing and Mortgage Finance Agency, 10/07 at 101.50 AAA 3,652,874
Home Buyer Program Revenue Bonds, Series 1997U,
5.850%, 4/01/29 - MBIA Insured (Alternative Minimum Tax)
3,100 New Jersey Housing and Mortgage Finance Agency, 10/10 at 100.00 AAA 3,117,515
Home Buyer Program Revenue Bonds, Series 2000CC,
5.875%, 10/01/31 - MBIA Insured (Alternative Minimum Tax)
2,595 Puerto Rico Housing Finance Corporation, Mortgage-Backed 6/11 at 100.00 AAA 2,670,852
Securities Home Mortgage Revenue Bonds, Series 2001A,
5.200%, 12/01/33
2,590 Puerto Rico Housing Finance Corporation, Mortgage-Backed 6/11 at 100.00 AAA 2,662,624
Securities Home Mortgage Revenue Bonds, Series 2001B,
5.300%, 12/01/28 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
11,830 Total Housing/Single Family 12,103,865
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 2.8% (1.9% OF TOTAL INVESTMENTS)
1,125 New Jersey Economic Development Authority, First Mortgage 11/14 at 100.00 N/R 1,187,460
Revenue Bonds, Winchester Gardens at Wards Homestead,
Series 2004A, 5.750%, 11/01/24
2,895 New Jersey Economic Development Authority, GNMA 12/11 at 103.00 Aaa 3,066,008
Collateralized Mortgage Revenue Bonds, Victoria Health
Corporation, Series 2001A, 5.200%, 12/20/36
25
Nuveen New Jersey Investment Quality Municipal Fund, Inc. (NQJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE (continued)
$ 595 New Jersey Economic Development Authority, Revenue Bonds, 6/11 at 102.00 A+ $ 652,489
Masonic Charity Foundation of New Jersey, Series 2001,
5.875%, 6/01/18
1,100 New Jersey Economic Development Authority, Revenue Bonds, 6/13 at 102.00 A+ 1,164,900
Masonic Charity Foundation of New Jersey, Series 2002,
5.250%, 6/01/32
New Jersey Health Care Facilities Financing Authority, Revenue
Bonds, House of the Good Shepherd Obligated Group, Series 2001:
1,000 5.100%, 7/01/21 - RAAI Insured 7/11 at 100.00 AA 1,037,000
1,500 5.200%, 7/01/31 - RAAI Insured 7/11 at 100.00 AA 1,552,380
------------------------------------------------------------------------------------------------------------------------------------
8,215 Total Long-Term Care 8,660,237
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 12.1% (8.0% OF TOTAL INVESTMENTS)
Clifton, New Jersey, General Obligation Bonds, Series 2002:
1,700 5.000%, 1/15/21 - FGIC Insured 1/11 at 100.00 AAA 1,784,813
1,625 5.000%, 1/15/22 - FGIC Insured 1/11 at 100.00 AAA 1,706,071
1,000 Essex County, New Jersey, General Obligation Refunding Bonds, 11/07 at 101.00 Aaa 1,038,180
Series 1996A-1, 5.000%, 11/15/11 - FGIC Insured
3,000 Jersey City, New Jersey, General Obligation Improvement Bonds, No Opt. Call AAA 3,294,690
Series 2002A, 5.250%, 3/01/13 - AMBAC Insured
1,735 Jersey City, New Jersey, General Obligation Public Improvement 9/11 at 102.00 AAA 1,846,994
Bonds, Series 2003B, 5.000%, 9/01/20 - FSA Insured
1,420 Lenape Regional High School District, Burlington County, No Opt. Call Aaa 1,542,802
New Jersey, General Obligation Bonds, Series 2004,
5.000%, 4/01/14 - FGIC Insured
Middletown Township Board of Education, Monmouth County, New
Jersey, Refunding School Bonds, Series 2001:
4,725 5.000%, 8/01/22 - FSA Insured 8/10 at 100.00 AAA 4,960,022
1,500 5.000%, 8/01/27 - FSA Insured 8/10 at 100.00 AAA 1,562,745
5,000 New Jersey, General Obligation Bonds, Series 1992D, No Opt. Call AA 5,574,850
6.000%, 2/15/11
1,200 New Jersey, General Obligation Bonds, Series 2005L, No Opt. Call AAA 1,337,256
5.250%, 7/15/16 - AMBAC Insured
2,040 Ocean City Board of Education, Cape May County, New Jersey, 4/16 at 100.00 Aaa 2,198,508
General Obligation Bonds, Series 2005, 5.000%, 4/01/20 -
MBIA Insured
Sayreville School District, Middlesex County, New Jersey,
General Obligation Bonds, Series 2002:
1,470 5.000%, 3/01/24 - FGIC Insured 3/12 at 100.00 AAA 1,549,013
1,545 5.000%, 3/01/25 - FGIC Insured 3/12 at 100.00 AAA 1,618,063
1,285 Tinton Falls Board of Education, Monmouth County, 10/14 at 100.00 Aaa 1,398,157
New Jersey, General Obligation Bonds, Series 2004,
5.000%, 10/15/15 - FSA Insured
1,745 Washington Township Board of Education, Mercer County, 1/16 at 100.00 Aaa 1,875,037
New Jersey, General Obligation Bonds, Series 2005,
5.000%, 1/01/19 - FSA Insured
West Deptford Township, New Jersey, General Obligation
Bonds, Series 2004:
1,690 5.000%, 9/01/16 - AMBAC Insured 9/14 at 100.00 Aaa 1,831,368
1,865 4.750%, 9/01/18 - AMBAC Insured 9/14 at 100.00 Aaa 1,965,822
------------------------------------------------------------------------------------------------------------------------------------
34,545 Total Tax Obligation/General 37,084,391
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 24.4% (16.2% OF TOTAL INVESTMENTS)
3,320 Atlantic County Improvement Authority, New Jersey, Egg Harbor 11/10 at 100.00 Aaa 3,543,868
Township Golf Corporation Township Guaranteed Revenue
Bonds, Series 2000, 5.400%, 11/01/30 - AMBAC Insured
Bergen County Improvement Authority, New Jersey, Guaranteed
Lease Revenue Bonds, County Administration Complex Project,
Series 2003:
1,795 5.000%, 11/15/17 11/13 at 100.00 Aaa 1,943,949
2,000 5.000%, 11/15/18 11/13 at 100.00 Aaa 2,158,160
1,775 Bergen County Improvement Authority, New Jersey, Guaranteed No Opt. Call Aaa 1,969,717
Lease Revenue Bonds, County Administration Complex Project,
Series 2005, 5.000%, 11/15/26
2,225 Essex County Improvement Authority, New Jersey, General 10/13 at 100.00 Aaa 2,322,878
Obligation Lease Revenue Bonds, Correctional Facilities
Project, Series 2003A, 5.000%, 10/01/28 - FGIC Insured
26
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED (continued)
$ 10,000 Essex County Improvement Authority, New Jersey, Lease Revenue No Opt. Call Aaa $ 10,808,100
Bonds, Series 2003, 5.000%, 12/15/12 - FSA Insured
2,650 Garden State Preservation Trust, New Jersey, Open Space No Opt. Call AAA 2,945,475
and Farmland Preservation Bonds, Series 2005C,
5.125%, 11/01/18 - FSA Insured
1,100 Gloucester County Improvement Authority, New Jersey, 9/15 at 100.00 AAA 1,181,499
Lease Revenue Bonds, Series 2005A, 5.000%, 9/01/18 -
MBIA Insured
Hudson County Improvement Authority, New Jersey, County Secured
Lease Revenue Bonds, County Services Building Project, Series
2005:
1,090 5.000%, 4/01/25 - AMBAC Insured 4/15 at 100.00 AAA 1,151,509
2,525 5.000%, 4/01/35 - AMBAC Insured 4/15 at 100.00 AAA 2,632,136
1,445 Lower Township Municipal Utilities Authority, Cape May County, No Opt. Call Aaa 1,551,843
New Jersey, Revenue Bonds, Series 2003D, 5.000%, 12/01/16 -
FGIC Insured
Middlesex County Improvement Authority, New Jersey, County
Guaranteed Open Space Trust Fund Revenue Bonds, Series 2003:
1,000 5.250%, 9/15/16 9/13 at 100.00 AAA 1,095,350
2,000 5.250%, 9/15/18 9/13 at 100.00 AAA 2,185,100
1,000 5.250%, 9/15/21 9/13 at 100.00 AAA 1,091,860
4,000 New Jersey Economic Development Authority, Cigarette 6/14 at 100.00 BBB 4,214,640
Tax Revenue Bonds, Series 2004, 5.750%, 6/15/34
7,000 New Jersey Economic Development Authority, Revenue Bonds, 7/14 at 100.00 AAA 7,696,920
Motor Vehicle Surcharge, Series 2004A, 5.250%, 7/01/15 -
MBIA Insured
1,925 New Jersey Economic Development Authority, School 9/15 at 100.00 AAA 2,078,807
Facilities Construction Bonds, Series 2005N-1,
5.000%, 9/01/17 - AMBAC Insured
4,815 New Jersey Economic Development Authority, School Facility No Opt. Call AAA 5,316,964
Construction Bonds, Series 2005K, 5.250%, 12/15/14 -
FGIC Insured
2,000 New Jersey Educational Facilities Authority, Revenue Bonds, 9/12 at 100.00 AAA 2,158,940
Higher Education Capital Improvement Bonds, Fund Issue,
Series 2002A, 5.250%, 9/01/19 - AMBAC Insured
2,500 New Jersey Health Care Facilities Financing Authority, 9/13 at 100.00 AA- 2,596,175
Lease Revenue Bonds, Department of Human Services -
Greystone Park Psychiatric Hospital, Series 2003,
5.000%, 9/15/25
2,885 New Jersey Health Care Facilities Financing Authority, 9/15 at 100.00 AAA 3,088,681
Lease Revenue Bonds, Department of Human Services -
Greystone Park Psychiatric Hospital, Series 2005,
5.000%, 9/15/18 - AMBAC Insured
3,405 New Jersey Transit Corporation, Lease Appropriation Bonds, 9/15 at 100.00 AAA 3,629,934
Series 2005A, 5.000%, 9/15/18 - FGIC Insured
7,000 New Jersey Transportation Trust Fund Authority, Transportation 6/15 at 100.00 AAA 7,469,910
System Bonds, Series 2005D, 5.000%, 6/15/19 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
69,455 Total Tax Obligation/Limited 74,832,415
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 26.3% (17.4% OF TOTAL INVESTMENTS)
2,250 Casino Reinvestment Development Authority, New Jersey, 6/15 at 100.00 AAA 2,434,883
Parking Revenue Bonds, Series 2005A, 5.250%, 6/01/20 -
MBIA Insured
Delaware River and Bay Authority, Delaware and New Jersey,
Revenue Bonds, Series 2005:
2,000 5.000%, 1/01/25 - MBIA Insured 1/15 at 100.00 AAA 2,119,680
4,050 5.000%, 1/01/26 - MBIA Insured 1/15 at 100.00 AAA 4,283,037
1,500 5.000%, 1/01/27 - MBIA Insured 1/15 at 100.00 AAA 1,581,705
2,500 5.000%, 1/01/28 - MBIA Insured 1/15 at 100.00 AAA 2,626,650
3,500 Delaware River Port Authority, New Jersey and Pennsylvania, 1/10 at 100.00 AAA 3,774,120
Revenue Bonds, Series 1999, 5.750%, 1/01/22 - FSA Insured
2,960 Delaware River Port Authority, Pennsylvania and New Jersey, 1/12 at 100.00 AAA 3,125,257
Revenue Refunding Bonds, Port District Project, Series 2001A,
5.200%, 1/01/27 - FSA Insured
3,000 New Jersey Economic Development Authority, Revenue Bonds, 5/06 at 100.00 CCC 2,461,860
American Airlines Inc., Series 1991, 7.100%, 11/01/31
(Alternative Minimum Tax)
27
Nuveen New Jersey Investment Quality Municipal Fund, Inc. (NQJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION (continued)
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
$ 495 6.500%, 1/01/16 No Opt. Call A $ 581,150
160 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 188,586
9,500 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 10,130,800
5.000%, 1/01/19 - FGIC Insured
4,660 New Jersey Turnpike Authority, Revenue Bonds, Series 2005C, 1/15 at 100.00 AAA 4,871,284
5.000%, 1/01/35 - FSA Insured
1,250 Newark Housing Authority, New Jersey, Port Authority 1/14 at 100.00 AAA 1,348,563
Terminal Revenue Bonds, Series 2004, 5.250%, 1/01/21 -
MBIA Insured
7,000 Port Authority of New York and New Jersey, Consolidated 6/15 at 101.00 AAA 7,381,080
Revenue Bonds, One Hundred Fortieth Series 2005,
5.000%, 12/01/28 - XLCA Insured
Port Authority of New York and New Jersey, Consolidated
Revenue Bonds, One Hundred Twenty-Fifth Series 2002:
2,280 5.000%, 10/15/26 - FSA Insured 4/12 at 101.00 AAA 2,391,538
5,000 5.000%, 4/15/32 - FSA Insured 4/12 at 101.00 AAA 5,204,350
Port Authority of New York and New Jersey, Special Project
Bonds, JFK International Air Terminal LLC, Sixth Series 1997:
3,500 7.000%, 12/01/12 - MBIA Insured (Alternative Minimum Tax) No Opt. Call AAA 4,078,935
6,605 5.750%, 12/01/22 - MBIA Insured (Alternative Minimum Tax) 12/07 at 102.00 AAA 6,976,201
12,130 5.750%, 12/01/25 - MBIA Insured (Alternative Minimum Tax) 12/07 at 100.00 AAA 12,585,600
2,000 South Jersey Port Corporation, New Jersey, Marine Terminal 1/13 at 100.00 A 2,062,920
Revenue Refunding Bonds, Series 2002K, 5.100%, 1/01/33
------------------------------------------------------------------------------------------------------------------------------------
76,340 Total Transportation 80,208,199
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 17.6% (11.7% OF TOTAL INVESTMENTS)
3,275 Delaware River and Bay Authority, Delaware and New Jersey, 1/10 at 101.00 AAA 3,590,022
Revenue Bonds, Series 2000A, 5.750%, 1/01/29 (Pre-refunded
1/01/10) - AMBAC Insured
Garden State Preservation Trust, New Jersey, Open Space and
Farmland Preservation Bonds, Series 2003A:
2,000 5.250%, 11/01/19 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 2,209,820
3,000 5.000%, 11/01/20 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 3,264,120
3,365 5.000%, 11/01/21 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 3,661,255
5,000 New Jersey Economic Development Authority, School Facilities 6/12 at 100.00 AAA 5,399,200
Construction Bonds, Series 2002C, 5.000%, 6/15/20
(Pre-refunded 6/15/12) - MBIA Insured
3,000 New Jersey Economic Development Authority, School Facilities 6/13 at 100.00 AAA 3,306,150
Construction Bonds, Series 2003F, 5.250%, 6/15/21
(Pre-refunded 6/15/13) - FGIC Insured
3,600 New Jersey Economic Development Authority, School Facilities 9/13 at 100.00 AAA 3,912,840
Construction Bonds, Series 2004G, 5.000%, 9/01/17
(Pre-refunded 9/01/13) - MBIA Insured
5,670 New Jersey Transportation Trust Fund Authority, Transportation 12/11 at 100.00 AAA 6,104,492
System Bonds, Series 2001B, 5.000%, 12/15/21
(Pre-refunded 12/15/11) - MBIA Insured
New Jersey Transportation Trust Fund Authority, Transportation
System Bonds, Series 2003C:
3,000 5.500%, 6/15/17 (Pre-refunded 6/15/13) 6/13 at 100.00 AAA 3,358,860
3,000 5.500%, 6/15/18 (Pre-refunded 6/15/13) 6/13 at 100.00 AAA 3,358,860
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
170 6.500%, 1/01/16 No Opt. Call AAA 200,556
55 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 64,886
2,505 6.500%, 1/01/16 No Opt. Call AAA 2,955,249
760 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 894,839
7,500 Puerto Rico Infrastructure Financing Authority, Special 10/10 at 101.00 AAA 8,106,750
Obligation Bonds, Series 2000A, 5.500%, 10/01/34
1,230 Puerto Rico, General Obligation and Public Improvement Bonds, 7/11 at 100.00 AAA 1,327,022
Series 2001, 5.125%, 7/01/30 (Pre-refunded 7/01/11) -
FSA Insured
2,000 West Orange Board of Education, Essex County, New Jersey, 10/09 at 101.00 Aaa 2,200,380
Certificates of Participation, Series 1999, 6.000%, 10/01/24
(Pre-refunded 10/01/09) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
49,130 Total U.S. Guaranteed 53,915,301
------------------------------------------------------------------------------------------------------------------------------------
28
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 4.5% (3.0% OF TOTAL INVESTMENTS)
$ 3,500 Camden County Pollution Control Financing Authority, 6/06 at 100.00 Baa3 $ 3,553,410
New Jersey, Solid Waste Disposal and Resource Recovery
System Revenue Bonds, Series 1991A, 7.500%, 12/01/10
(Alternative Minimum Tax)
1,730 Camden County Pollution Control Financing Authority, 6/06 at 100.00 Baa3 1,756,400
New Jersey, Solid Waste Disposal and Resource Recovery
System Revenue Bonds, Series 1991B, 7.500%, 12/01/09
(Alternative Minimum Tax)
2,055 Mercer County Improvement Authority, New Jersey, Solid 12/13 at 100.00 AAA 2,213,893
Waste Revenue Bonds, Regional Sludge Project, Series 2003,
5.000%, 12/15/14 - FGIC Insured
400 New Jersey Economic Development Authority, Pollution Control 1/06 at 101.00 Baa3 411,840
Revenue Bonds, Jersey Central Power and Light Company,
Series 1985, 7.100%, 7/01/15
2,500 Salem County Pollution Control Financing Authority, New Jersey, 4/12 at 101.00 Baa1 2,657,475
Pollution Control Revenue Refunding Bonds, PSEG Power
LLC Project, Series 2001A, 5.750%, 4/01/31 (Alternative
Minimum Tax)
3,000 Union County Utilities Authority, New Jersey, Solid Waste 6/08 at 101.00 AAA 3,063,270
Facility Senior Lien Revenue Bonds, Ogden Martin Systems
of Union Inc., Series 1998A, 5.000%, 6/01/23 - AMBAC
Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
13,185 Total Utilities 13,656,288
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 7.7% (5.1% OF TOTAL INVESTMENTS)
3,000 Jersey City Municipal Utilities Authority, Hudson County, 7/08 at 102.00 AAA 3,125,460
New Jersey, Sewer Revenue Bonds, Series 2001A-2,
5.200%, 7/15/21 - FGIC Insured (Alternative Minimum Tax)
Lacey Municipal Utilities Authority, Ocean County, New Jersey,
Water Revenue Bonds, Series 2003B:
1,750 5.000%, 12/01/17 - FGIC Insured 12/13 at 100.00 Aaa 1,880,025
1,835 5.000%, 12/01/18 - FGIC Insured 12/13 at 100.00 Aaa 1,965,652
1,000 5.000%, 12/01/19 - FGIC Insured 12/13 at 100.00 Aaa 1,069,800
7,500 New Jersey Economic Development Authority, Water 5/06 at 102.00 Aaa 7,707,975
Facilities Revenue Bonds, American Water Company,
Series 1996, 6.000%, 5/01/36 - FGIC Insured (Alternative
Minimum Tax)
North Hudson Sewerage Authority, New Jersey, Sewerage
Revenue Refunding Bonds, Series 2002A:
3,000 5.250%, 8/01/16 - FGIC Insured 8/12 at 100.00 Aaa 3,257,430
3,000 5.250%, 8/01/18 - FGIC Insured 8/12 at 100.00 Aaa 3,235,860
1,250 Ocean County Utilities Authority, New Jersey, Wastewater 1/11 at 101.00 Aa1 1,326,463
Revenue Refunding Bonds, Series 2000, 5.000%, 1/01/18
------------------------------------------------------------------------------------------------------------------------------------
22,335 Total Water and Sewer 23,568,665
------------------------------------------------------------------------------------------------------------------------------------
$ 434,083 Total Long-Term Investments (cost $444,228,443) - 150.5% 460,859,881
=============-----------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.2% (0.1% OF TOTAL INVESTMENTS)
600 Puerto Rico Government Development Bank, Adjustable No Opt. Call VMIG-1 600,000
Refunding Bonds, Variable Rate Demand Obligations,
Series 1985, 3.400%, 12/01/15 - MBIA Insured (5)
------------------------------------------------------------------------------------------------------------------------------------
$ 600 Total Short-Term Investments (cost $600,000) 600,000
=============-----------------------------------------------------------------------------------------------------------------------
Total Investments (cost $444,828,443) - 150.7% 461,459,881
--------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.2% 6,793,415
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (52.9)% (162,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 306,253,296
====================================================================================================================
(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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest.
(5) Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term investment. The rate disclosed is that in
effect at the end of the reporting period. This rate
changes periodically based on market conditions or a
specified market index.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
29
Nuveen New Jersey Premium Income Municipal Fund, Inc. (NNJ)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER DISCRETIONARY - 0.5% (0.3% OF TOTAL INVESTMENTS)
Middlesex County Improvement Authority, New Jersey, Senior
Revenue Bonds, Heldrich Center Hotel/Conference Center Project,
Series 2005A:
$ 480 5.000%, 1/01/32 1/15 at 100.00 Baa3 $ 478,267
415 5.125%, 1/01/37 1/15 at 100.00 Baa3 417,677
------------------------------------------------------------------------------------------------------------------------------------
895 Total Consumer Discretionary 895,944
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 5.2% (3.5% OF TOTAL INVESTMENTS)
3,215 Tobacco Settlement Financing Corporation, New Jersey, 6/12 at 100.00 BBB 3,341,575
Tobacco Settlement Asset-Backed Bonds, Series 2002,
5.750%, 6/01/32
Tobacco Settlement Financing Corporation, New Jersey,
Tobacco Settlement Asset-Backed Bonds, Series 2003:
3,520 6.125%, 6/01/24 6/13 at 100.00 BBB 3,845,952
2,250 6.375%, 6/01/32 6/13 at 100.00 BBB 2,475,540
------------------------------------------------------------------------------------------------------------------------------------
8,985 Total Consumer Staples 9,663,067
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 18.7% (12.6% OF TOTAL INVESTMENTS)
1,125 New Jersey Economic Development Authority, Revenue Bonds, 6/15 at 100.00 AAA 1,193,040
The Seeing Eye Inc., Series 2005, 5.000%, 12/01/24 -
AMBAC Insured
2,840 New Jersey Economic Development Authority, Revenue Bonds, No Opt. Call N/R 3,367,644
Yeshiva Ktana of Passaic, Series 1993, 8.000%, 9/15/18
500 New Jersey Educational Facilities Authority, Revenue Bonds, 7/13 at 100.00 A 513,875
Fairleigh Dickinson University, Series 2002D,
5.250%, 7/01/32 - ACA Insured
300 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 N/R 318,066
Fairleigh Dickinson University, Series 2004C, 5.500%, 7/01/23
595 New Jersey Educational Facilities Authority, Revenue Bonds, 7/16 at 100.00 AAA 627,588
Kean University, Series 2005B, 5.000%, 7/01/30 - MBIA Insured
1,245 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA 1,342,782
Montclair State University, Series 2004L, 5.125%, 7/01/19 -
MBIA Insured
2,080 New Jersey Educational Facilities Authority, Revenue Bonds, 7/15 at 100.00 AAA 2,179,362
Montclair State University, Series 2005F, 5.000%, 7/01/32 -
FGIC Insured
New Jersey Educational Facilities Authority, Revenue Bonds, New
Jersey Institute of Technology, Series 2004B:
1,375 5.000%, 7/01/18 - AMBAC Insured 1/14 at 100.00 AAA 1,466,919
725 5.000%, 7/01/19 - AMBAC Insured 1/14 at 100.00 AAA 772,444
1,530 4.750%, 7/01/20 - AMBAC Insured 1/14 at 100.00 AAA 1,593,556
1,125 4.250%, 7/01/24 - AMBAC Insured 1/14 at 100.00 AAA 1,105,886
New Jersey Educational Facilities Authority, Revenue Bonds,
Ramapo College, Series 2004H:
1,640 5.000%, 7/01/18 - FGIC Insured 7/14 at 100.00 AAA 1,755,390
1,040 5.000%, 7/01/23 - FGIC Insured 7/14 at 100.00 AAA 1,101,641
300 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AA 324,525
Rider University, Series 2004A, 5.500%, 7/01/23 - RAAI Insured
1,000 New Jersey Educational Facilities Authority, Revenue Bonds, 7/13 at 100.00 AAA 1,077,670
Rowan University, Series 2003I, 5.125%, 7/01/21 - FGIC Insured
New Jersey Educational Facilities Authority, Revenue Bonds,
Rowan University, Series 2004C:
905 5.000%, 7/01/15 - MBIA Insured 7/14 at 100.00 AAA 979,518
400 5.000%, 7/01/20 - MBIA Insured 7/14 at 100.00 AAA 426,660
330 New Jersey Educational Facilities Authority, Revenue Bonds, 1/06 at 100.00 A- 336,306
Trenton State College Issue, Series 1976D, 6.750%, 7/01/08
30
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS (continued)
$ 245 New Jersey Higher Education Assistance Authority, Student 1/06 at 100.00 A+ $ 245,519
Loan Revenue Bonds, New Jersey Class Loan Program,
Series 1992A, 6.125%, 7/01/09 (Alternative Minimum Tax)
2,175 New Jersey Higher Education Assistance Authority, Student 6/09 at 101.00 AAA 2,225,199
Loan Revenue Bonds, Series 1999A, 5.250%, 6/01/18 -
MBIA Insured (Alternative Minimum Tax)
New Jersey Higher Education Assistance Authority, Student
Loan Revenue Bonds, Series 2000A:
1,995 5.700%, 6/01/08 - MBIA Insured (Alternative Minimum Tax) No Opt. Call AAA 2,013,693
1,330 6.000%, 6/01/15 - MBIA Insured (Alternative Minimum Tax) 6/10 at 101.00 AAA 1,344,909
2,000 Rutgers State University, New Jersey, Revenue Bonds, 5/14 at 100.00 AAA 2,085,000
Series 2004E, 5.000%, 5/01/34 - FGIC Insured
2,025 University of Medicine and Dentistry of New Jersey, 4/13 at 100.00 AAA 2,150,024
Certificates of Participation, Child Health Institute, LLC,
Series 2003, 5.000%, 4/15/21 - AMBAC Insured
1,000 University of Medicine and Dentistry of New Jersey, 6/14 at 100.00 AAA 1,040,900
Certificates of Participation, University Housing Associates,
LLC, Series 2004, 5.000%, 6/15/29 - MBIA Insured
2,750 University of Medicine and Dentistry of New Jersey, 12/12 at 100.00 AAA 2,851,557
Revenue Bonds, Series 2002A, 5.000%, 12/01/31 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
32,575 Total Education and Civic Organizations 34,439,673
------------------------------------------------------------------------------------------------------------------------------------
FINANCIALS - 0.9% (0.7% OF TOTAL INVESTMENTS)
1,500 New Jersey Economic Development Authority, Revenue No Opt. Call Baa3 1,636,965
Refunding Bonds, Kapkowski Road Landfill Project,
Series 2002, 5.750%, 10/01/21
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 14.4% (9.7% OF TOTAL INVESTMENTS)
620 Camden County Improvement Authority, New Jersey, Revenue 8/14 at 100.00 BBB 655,104
Bonds, Cooper Health System, Series 2004A, 5.750%, 2/15/34
240 New Jersey Health Care Facilities Financing Authority, Revenue 7/15 at 100.00 Baa3 251,002
Bonds, Children's Specialized Hospital, Series 2005A,
5.500%, 7/01/36
2,900 New Jersey Health Care Facilities Financing Authority, Revenue 1/10 at 101.00 A2 3,099,027
Bonds, Hackensack University Medical Center, Series 2000,
6.000%, 1/01/34
375 New Jersey Health Care Facilities Financing Authority, Revenue 7/16 at 100.00 A- 383,936
Bonds, Hunterdon Medical Center, Series 2006,
5.125%, 7/01/35 (WI/DD, Settling 1/05/06)
3,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/11 at 100.00 A2 3,705,765
Bonds, Kennedy Health System Obligated Group, Series 2001,
5.625%, 7/01/31
1,800 New Jersey Health Care Facilities Financing Authority, Revenue 7/09 at 101.00 AAA 1,930,230
Bonds, Meridian Health System Obligated Group, Series 1999,
5.625%, 7/01/12 - FSA Insured
1,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/15 at 100.00 AA 1,544,610
Bonds, RWJ Health Care Corporation, Series 2005B,
5.000%, 7/01/35 - RAAI Insured
2,000 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 100.00 AAA 2,162,160
Bonds, Society of the Valley Hospital Obligated Group,
Series 2000, 5.750%, 7/01/15 - AMBAC Insured
1,875 New Jersey Health Care Facilities Financing Authority, Revenue 7/13 at 100.00 Baa3 1,931,287
Bonds, Somerset Medical Center, Series 2003, 5.500%, 7/01/33
3,000 New Jersey Health Care Facilities Financing Authority, Revenue 7/12 at 100.00 Baa1 3,231,210
Bonds, South Jersey Hospital System, Series 2002,
5.875%, 7/01/21
1,270 New Jersey Health Care Facilities Financing Authority, Revenue 7/14 at 100.00 AA 1,359,840
Bonds, St. Clare's Hospital, Series 2004A, 5.250%, 7/01/20 -
RAAI Insured
545 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 609,648
Bonds, Trinitas Hospital Obligated Group, Series 2000,
7.500%, 7/01/30
1,130 New Jersey Health Care Facilities Financing Authority, Revenue 7/12 at 100.00 A 1,218,434
Refunding Bonds, Atlantic City Medical Center, Series 2002,
5.750%, 7/01/25
1,710 New Jersey Health Care Facilities Financing Authority, Revenue 1/12 at 100.00 AA 1,764,977
Refunding Bonds, Bayshore Community Hospital, Series 2002,
5.000%, 7/01/22 - RAAI Insured
25 New Jersey Health Care Facilities Financing Authority, Revenue 7/07 at 102.0 BBB- 25,949
Refunding Bonds, St. Elizabeth Hospital Obligated Group,
Series 1997, 6.000%, 7/01/27
31
Nuveen New Jersey Premium Income Municipal Fund, Inc. (NNJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (continued)
$ 2,650 Puerto Rico Industrial, Tourist, Educational, Medical and 6/06 at 102.00 Baa1 $ 2,706,498
Environmental Control Facilities Financing Authority,
Adjustable Rate Industrial Revenue Bonds, American Home
Products Corporation, Series 1983A, 5.100%, 12/01/18
------------------------------------------------------------------------------------------------------------------------------------
25,140 Total Health Care 26,579,677
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 4.4% (3.0% OF TOTAL INVESTMENTS)
340 Essex County Improvement Authority, New Jersey, FNMA 11/12 at 100.00 Aaa 343,638
Enhanced Multifamily Revenue Bonds, Mount Carmel Towers,
Series 2002, 4.750%, 11/01/22 (Alternative Minimum Tax)
530 Long Branch Housing Finance Corporation New Jersey, 4/06 at 100.00 N/R 533,090
Housing Revenue Bonds, Washington Manor Associates Ltd.
Section 8 Assisted Elderly Project, Series 1980,
10.000%, 10/01/11
7,000 New Jersey Housing and Mortgage Finance Agency, 11/07 at 101.50 AAA 7,299,880
Multifamily Housing Revenue Bonds, Series 1997A,
5.550%, 5/01/27 - AMBAC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
7,870 Total Housing/Multifamily 8,176,608
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 1.7% (1.2% OF TOTAL INVESTMENTS)
New Jersey Housing and Mortgage Finance Agency, Home
Buyer Program Revenue Bonds, Series 1997U:
1,965 5.700%, 10/01/14 - MBIA Insured (Alternative Minimum Tax) 10/07 at 101.50 AAA 2,029,570
535 5.850%, 4/01/29 - MBIA Insured (Alternative Minimum Tax) 10/07 at 101.50 AAA 551,280
500 New Jersey Housing and Mortgage Finance Agency, No Opt. Call AAA 516,050
Home Buyer Program Revenue Bonds, Series 2000CC,
4.600%, 10/01/09 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
3,000 Total Housing/Single Family 3,096,900
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 1.0% (0.7% OF TOTAL INVESTMENTS)
750 New Jersey Economic Development Authority, First Mortgage 11/14 at 100.00 N/R 784,470
Revenue Bonds, Winchester Gardens at Wards Homestead,
Series 2004A, 5.800%, 11/01/31
1,000 New Jersey Economic Development Authority, Revenue Bonds, 6/11 at 102.00 A+ 1,078,100
Masonic Charity Foundation of New Jersey, Series 2001,
5.500%, 6/01/21
------------------------------------------------------------------------------------------------------------------------------------
1,750 Total Long-Term Care 1,862,570
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 15.4% (10.4% OF TOTAL INVESTMENTS)
2,075 Egg Harbor Township School District, Atlantic County, 4/15 at 100.00 Aaa 2,188,835
New Jersey, General Obligation Bonds, Series 2005,
5.000%, 4/01/27 - MBIA Insured
2,460 Freehold Regional High School District, Monmouth County No Opt. Call AAA 2,715,200
Board of Education, New Jersey, School District Refunding
Bonds, Series 2001, 5.000%, 3/01/17 - FGIC Insured
1,170 Jersey City, New Jersey, General Obligation Improvement Bonds, No Opt. Call AAA 1,284,929
Series 2002A, 5.250%, 3/01/13 - AMBAC Insured
1,500 Jersey City, New Jersey, General Obligation Public Improvement 9/11 at 102.00 AAA 1,596,825
Bonds, Series 2003B, 5.000%, 9/01/20 - FSA Insured
2,000 Manalapan-Englishtown Regional Board of Education, 10/13 at 100.00 AAA 2,101,440
New Jersey, General Obligation Bonds, Series 2003,
5.000%, 10/01/27 - MBIA Insured
New Jersey, General Obligation Bonds, Series 1992D:
2,580 6.000%, 2/15/11 No Opt. Call AA 2,876,623
1,560 6.000%, 2/15/13 No Opt. Call AA 1,781,270
720 New Jersey, General Obligation Bonds, Series 2005L, No Opt. Call AAA 802,354
5.250%, 7/15/16 - AMBAC Insured
4,000 Passaic County, New Jersey, General Improvement Refunding No Opt. Call AAA 4,312,880
Bonds, Series 1993, 5.125%, 9/01/12 - FGIC Insured
Stafford Township Board of Education, Ocean County, New Jersey,
General Obligation Bonds, Series 2003:
1,350 5.250%, 1/15/18 - FSA Insured 1/12 at 100.00 Aaa 1,448,361
1,100 5.250%, 1/15/19 - FSA Insured 1/12 at 100.00 Aaa 1,180,146
2,085 Washington Township Board of Education, Gloucester County, 2/13 at 100.00 Aaa 2,235,078
New Jersey, General Obligation Bonds, Series 2004,
5.000%, 2/01/15 - MBIA Insured
1,780 West Deptford Township, New Jersey, General Obligation Bonds, 9/14 at 100.00 Aaa 1,884,255
Series 2004, 4.750%, 9/01/17 - AMBAC Insured
32
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL (continued)
$ 1,800 Woodbridge Township, Middlesex County, New Jersey, 7/09 at 102.00 Aaa $ 1,927,314
Sewer Utility Bonds, Series 1999, 5.300%, 7/01/20 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
26,180 Total Tax Obligation/General 28,335,510
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 30.8% (20.8% OF TOTAL INVESTMENTS)
Bergen County Improvement Authority, New Jersey, Guaranteed
Lease Revenue Bonds, County Administration Complex Project,
Series 2003:
1,200 5.000%, 11/15/17 11/13 at 100.00 Aaa 1,299,576
1,145 5.000%, 11/15/18 11/13 at 100.00 Aaa 1,235,547
1,000 Bergen County Improvement Authority, New Jersey, Guaranteed No Opt. Call Aaa 1,109,700
Lease Revenue Bonds, County Administration Complex Project,
Series 2005, 5.000%, 11/15/26
2,225 Essex County Improvement Authority, New Jersey, General 10/13 at 100.00 Aaa 2,322,878
Obligation Lease Revenue Bonds, Correctional Facilities
Project, Series 2003A, 5.000%, 10/01/28 - FGIC Insured
5,515 Essex County Improvement Authority, New Jersey, Lease Revenue 12/13 at 100.00 Aaa 5,965,465
Bonds, Series 2003, 5.125%, 12/15/19 - FSA Insured
1,225 Garden State Preservation Trust, New Jersey, Open Space and No Opt. Call AAA 1,361,588
Farmland Preservation Bonds, Series 2005C, 5.125%, 11/01/18 -
FSA Insured
Hudson County Improvement Authority, New Jersey, County Secured
Lease Revenue Bonds, County Services Building Project, Series
2005:
1,185 5.000%, 4/01/25 - AMBAC Insured 4/15 at 100.00 AAA 1,251,870
2,755 5.000%, 4/01/35 - AMBAC Insured 4/15 at 100.00 AAA 2,871,895
Middlesex County Improvement Authority, New Jersey, County
Guaranteed Open Space Trust Fund Revenue Bonds, Series 2003:
1,000 5.250%, 9/15/16 9/13 at 100.00 AAA 1,095,350
1,705 5.250%, 9/15/17 9/13 at 100.00 AAA 1,865,185
1,000 5.250%, 9/15/21 9/13 at 100.00 AAA 1,091,860
2,540 New Jersey Economic Development Authority, Cigarette Tax 6/14 at 100.00 BBB 2,676,296
Revenue Bonds, Series 2004, 5.750%, 6/15/34
4,200 New Jersey Economic Development Authority, Revenue Bonds, 7/14 at 100.00 AAA 4,618,152
Motor Vehicle Surcharge, Series 2004A, 5.250%, 7/01/15 -
MBIA Insured
2,925 New Jersey Economic Development Authority, School Facility No Opt. Call AAA 3,229,931
Construction Bonds, Series 2005K, 5.250%, 12/15/14 -
FGIC Insured
1,000 New Jersey Educational Facilities Authority, Revenue Bonds, 9/12 at 100.00 AAA 1,079,470
Higher Education Capital Improvement Bonds, Fund Issue,
Series 2002A, 5.250%, 9/01/19 - AMBAC Insured
2,720 New Jersey Health Care Facilities Financing Authority, 9/13 at 100.00 AA- 2,824,638
Lease Revenue Bonds, Department of Human Services -
Greystone Park Psychiatric Hospital, Series 2003,
5.000%, 9/15/25
4,000 New Jersey Health Care Facilities Financing Authority, 9/15 at 100.00 AAA 4,190,920
Lease Revenue Bonds, Department of Human Services -
Greystone Park Psychiatric Hospital, Series 2005,
5.000%, 9/15/28 - AMBAC Insured
1,500 New Jersey Sports and Exposition Authority, Convention No Opt. Call AAA 1,733,820
Center Luxury Tax Bonds, Series 2004, 5.500%, 3/01/22 -
MBIA Insured
3,000 New Jersey Transit Corporation, Certificates of Participation, No Opt. Call AAA 3,340,350
Federal Transit Administration Grants, Series 2002A,
5.500%, 9/15/14 - AMBAC Insured
1,875 New Jersey Transit Corporation, Lease Appropriation Bonds, 9/15 at 100.00 AAA 1,998,862
Series 2005A, 5.000%, 9/15/18 - FGIC Insured
2,000 New Jersey Transportation Trust Fund Authority, 12/15 at 100.00 AAA 2,192,460
Transportation System Bonds, Series 2005B,
5.250%, 12/15/18 - FGIC Insured
2,000 New Jersey Transportation Trust Fund Authority, 6/15 at 100.00 AAA 2,134,260
Transportation System Bonds, Series 2005D, 5.000%, 6/15/19 -
FSA Insured
2,745 Union County Improvement Authority, New Jersey, General 3/13 at 100.00 Aaa 2,847,718
Obligation Lease Revenue Bonds, Plainfield Park Madison
Redevelopment Project, Series 2003, 5.000%, 3/01/34 -
FSA Insured
2,445 Union County Improvement Authority, New Jersey, General 6/13 at 100.00 Aa1 2,591,896
Obligation Lease Revenue Bonds, Series 2003, 5.000%, 6/15/23
------------------------------------------------------------------------------------------------------------------------------------
52,905 Total Tax Obligation/Limited 56,929,687
------------------------------------------------------------------------------------------------------------------------------------
33
Nuveen New Jersey Premium Income Municipal Fund, Inc. (NNJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 21.2% (14.3% OF TOTAL INVESTMENTS)
$ 2,750 Casino Reinvestment Development Authority, New Jersey, 6/15 at 100.00 AAA $ 2,975,968
Parking Revenue Bonds, Series 2005A, 5.250%, 6/01/20 -
MBIA Insured
Delaware River and Bay Authority, Delaware and New Jersey,
Revenue Bonds, Series 2005:
2,500 5.000%, 1/01/27 - MBIA Insured 1/15 at 100.00 AAA 2,636,175
4,000 5.000%, 1/01/28 - MBIA Insured 1/15 at 100.00 AAA 4,202,640
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
1,365 6.500%, 1/01/16 No Opt. Call A 1,602,565
565 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 665,943
345 6.500%, 1/01/16 - AMBAC Insured No Opt. Call AAA 406,638
5,750 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 6,131,800
5.000%, 1/01/19 - FGIC Insured
1,995 New Jersey Turnpike Authority, Revenue Bonds, Series 2005C, 1/15 at 100.00 AAA 2,085,453
5.000%, 1/01/35 - FSA Insured
750 Newark Housing Authority, New Jersey, Port Authority 1/14 at 100.00 AAA 809,138
Terminal Revenue Bonds, Series 2004, 5.250%, 1/01/21 -
MBIA Insured
2,750 Passaic County Improvement Authority, New Jersey, Revenue 4/15 at 100.00 Aaa 2,856,480
Bonds, Paterson Parking Deck Facility, Series 2005,
5.000%, 4/15/35 - FSA Insured
4,000 Port Authority of New York and New Jersey, Consolidated 6/15 at 101.00 AAA 4,217,760
Revenue Bonds, One Hundred Fortieth Series 2005,
5.000%, 12/01/28 - XLCA Insured
2,000 Port Authority of New York and New Jersey, Consolidated 4/12 at 101.00 AAA 2,081,740
Revenue Bonds, One Hundred Twenty-Fifth Series 2002,
5.000%, 4/15/32 - FSA Insured
8,000 Port Authority of New York and New Jersey, Special Project 12/07 at 102.00 AAA 8,449,598
Bonds, JFK International Air Terminal LLC, Sixth Series 1997,
5.750%, 12/01/22 - MBIA Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
36,770 Total Transportation 39,121,898
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 16.8% (11.3% OF TOTAL INVESTMENTS)
Garden State Preservation Trust, New Jersey, Open Space and
Farmland Preservation Bonds, Series 2003A:
1,750 5.000%, 11/01/20 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 1,904,070
1,965 5.000%, 11/01/21 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 2,137,999
2,000 New Jersey Economic Development Authority, School Facilities 6/12 at 100.00 AAA 2,159,680
Construction Bonds, Series 2002C, 5.000%, 6/15/20
(Pre-refunded 6/15/12) - MBIA Insured
3,425 New Jersey Economic Development Authority, School Facilities 6/13 at 100.00 AAA 3,774,521
Construction Bonds, Series 2003F, 5.250%, 6/15/21
(Pre-refunded 6/15/13) - FGIC Insured
2,250 New Jersey Economic Development Authority, School Facilities 9/13 at 100.00 AAA 2,445,525
Construction Bonds, Series 2004G, 5.000%, 9/01/17
(Pre-refunded 9/01/13) - MBIA Insured
2,025 New Jersey Transportation Trust Fund Authority, Transportation 12/11 at 100.00 AAA 2,288,027
System Bonds, Series 2001B, 6.000%, 12/15/19
(Pre-refunded 12/15/11) - MBIA Insured
2,000 New Jersey Transportation Trust Fund Authority, 6/13 at 100.00 AAA 2,239,240
Transportation System Bonds, Series 2003C, 5.500%, 6/15/18
(Pre-refunded 6/15/13)
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
465 6.500%, 1/01/16 No Opt. Call AAA 548,579
195 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 230,049
120 6.500%, 1/01/16 - AMBAC Insured No Opt. Call AAA 141,569
6,590 6.500%, 1/01/16 No Opt. Call AAA 7,774,487
1,760 6.500%, 1/01/16 - AMBAC Insured No Opt. Call AAA 2,076,342
2,745 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 3,232,018
------------------------------------------------------------------------------------------------------------------------------------
27,290 Total U.S. Guaranteed 30,952,106
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 2.8% (1.9% OF TOTAL INVESTMENTS)
545 Camden County Pollution Control Financing Authority, 6/06 at 100.00 Baa3 548,150
New Jersey, Solid Waste Disposal and Resource Recovery
System Revenue Bonds, Series 1991D, 7.250%, 12/01/10
1,250 New Jersey Economic Development Authority, Pollution Control No Opt. Call Baa1 1,295,187
Revenue Refunding Bonds, Public Service Electric and Gas
Company, Series 2001A, 5.000%, 3/01/12
34
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES (continued)
$ 3,125 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 AAA $ 3,280,500
Series 2005RR, 5.000%, 7/01/35 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
4,920 Total Utilities 5,123,837
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 14.3% (9.6% OF TOTAL INVESTMENTS)
Bayonne Municipal Utilities Authority, New Jersey, Water
System Revenue Refunding Bonds, Series 2003A:
1,450 5.000%, 4/01/19 - XLCA Insured 4/13 at 100.00 Aaa 1,531,534
1,250 5.000%, 4/01/24 - XLCA Insured 4/13 at 100.00 Aaa 1,308,300
1,000 Hudson County Improvement Authority, New Jersey, Utility 1/08 at 101.50 AAA 1,046,100
System Revenue Bonds, Harrison Franchise Acquisition
Project, Series 1997, 5.350%, 1/01/27 - FSA Insured
1,000 Jersey City Sewer Authority, Hudson County, New Jersey, No Opt. Call AAA 1,146,450
Sewer Revenue Refunding Bonds, Series 1993,
6.250%, 1/01/14 - AMBAC Insured
3,100 New Jersey Economic Development Authority, Water Facilities 3/06 at 100.00 AAA 3,208,097
Revenue Refunding Bonds, Hackensack Water Company,
Series 1994B, 5.900%, 3/01/24 - MBIA Insured (Alternative
Minimum Tax)
6,950 New Jersey Environmental Infrastructure Trust, Environmental 9/11 at 101.00 AAA 7,229,529
Infrastructure Bonds, Series 2001A, 4.750%, 9/01/20
1,650 New Jersey Water Supply Authority, Water Supply Authority 8/15 at 100.00 AAA 1,729,975
Bonds, Manasquan Reservoir, Series 2005,
5.000%, 8/01/31 - MBIA Insured
3,500 North Hudson Sewerage Authority, New Jersey, Sewerage 8/12 at 100.00 Aaa 3,775,170
Revenue Refunding Bonds, Series 2002A, 5.250%, 8/01/19 -
FGIC Insured
1,155 Ocean County, New Jersey, Brick Township Municipal Utilities 12/12 at 100.00 Aaa 1,249,814
Authority, Revenue Bonds, Series 2002, 5.250%, 12/01/18 -
FGIC Insured
1,000 Stony Brook Regional Sewer Authority, Princeton, New Jersey, No Opt. Call Aa2 1,081,580
Revenue Refunding Bonds, Series 1993B, 5.450%, 12/01/12
1,200 Trenton Parking Authority, Mercer County, New Jersey, 10/13 at 100.00 Aaa 1,272,348
Guaranteed Parking System Revenue Bonds, Series 2003,
5.000%, 10/01/24 - FGIC Insured
1,500 Wanaque Valley Regional Sewer Authority, Passaic County, No Opt. Call AAA 1,711,920
New Jersey, Sewer Revenue Refunding Bonds, Series 1993B,
5.750%, 9/01/18 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
24,755 Total Water and Sewer 26,290,817
------------------------------------------------------------------------------------------------------------------------------------
$ 254,535 Total Investments (cost $262,030,984) - 148.1% 273,105,259
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.6% 2,879,878
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (49.7)% (91,600,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 184,385,137
====================================================================================================================
(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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
35
Nuveen New Jersey Dividend Advantage Municipal Fund (NXJ)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER DISCRETIONARY - 0.5% (0.4% OF TOTAL INVESTMENTS)
Middlesex County Improvement Authority, New Jersey, Senior
Revenue Bonds, Heldrich Center Hotel/Conference Center
Project, Series 2005A:
$ 260 5.000%, 1/01/32 1/15 at 100.00 Baa3 $ 259,061
230 5.125%, 1/01/37 1/15 at 100.00 Baa3 231,484
35 New Jersey Economic Development Authority, General Motors No Opt. Call B1 31,343
Corporation, Series 1984, 5.350%, 4/01/09
------------------------------------------------------------------------------------------------------------------------------------
525 Total Consumer Discretionary 521,888
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 4.7% (3.2% OF TOTAL INVESTMENTS)
915 Tobacco Settlement Financing Corporation, New Jersey, 6/12 at 100.00 BBB 951,024
Tobacco Settlement Asset-Backed Bonds, Series 2002,
5.750%, 6/01/32
Tobacco Settlement Financing Corporation, New Jersey,
Tobacco Settlement Asset-Backed Bonds, Series 2003:
2,240 6.125%, 6/01/24 6/13 at 100.00 BBB 2,447,424
1,125 6.375%, 6/01/32 6/13 at 100.00 BBB 1,237,770
------------------------------------------------------------------------------------------------------------------------------------
4,280 Total Consumer Staples 4,636,218
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 21.0% (14.3% OF TOTAL INVESTMENTS)
250 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 N/R 265,055
Fairleigh Dickinson University, Series 2004C, 5.500%, 7/01/23
385 New Jersey Educational Facilities Authority, Revenue Bonds, 7/16 at 100.00 AAA 406,086
Kean University, Series 2005B, 5.000%, 7/01/30 - MBIA Insured
750 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA 805,553
Montclair State University, Series 2004L, 5.125%, 7/01/21 -
MBIA Insured
New Jersey Educational Facilities Authority, Revenue Bonds,
Montclair State University, Series 2005F:
1,200 5.000%, 7/01/17 - FGIC Insured 7/15 at 100.00 AAA 1,297,548
520 5.000%, 7/01/32 - FGIC Insured 7/15 at 100.00 AAA 544,840
1,000 New Jersey Educational Facilities Authority, Revenue Bonds, 7/11 at 100.00 AAA 1,072,160
New Jersey Institute of Technology, Series 2001G,
5.250%, 7/01/18 - MBIA Insured
1,000 New Jersey Educational Facilities Authority, Revenue Bonds, 1/14 at 100.00 AAA 1,061,230
New Jersey Institute of Technology, Series 2004B,
5.000%, 7/01/21 - AMBAC Insured
1,500 New Jersey Educational Facilities Authority, Revenue Bonds, 7/11 at 101.00 AAA 1,552,560
Rowan College, Series 2001C, 5.000%, 7/01/31 - FGIC Insured
New Jersey Educational Facilities Authority, Revenue Bonds,
Rowan University, Series 2004C:
1,255 5.000%, 7/01/12 - MBIA Insured No Opt. Call AAA 1,354,170
625 5.000%, 7/01/24 - MBIA Insured 7/14 at 100.00 AAA 661,131
630 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA 679,480
William Paterson University, Series 2004A, 5.125%, 7/01/19 -
FGIC Insured
300 New Jersey Educational Facilities Authority, Revenue Refunding 7/12 at 100.00 AA 313,272
Bonds, Rider University, Series 2002A, 5.000%, 7/01/17 -
RAAI Insured
200 New Jersey Educational Facilities Authority, Revenue Refunding 7/11 at 100.00 AAA 214,740
Bonds, Seton Hall University Project, Series 2001A,
5.250%, 7/01/16 - AMBAC Insured
New Jersey Educational Facilities Authority, Revenue Refunding
Bonds, Seton Hall University Project, Series 2001G:
3,820 4.875%, 7/01/21 - AMBAC Insured 7/11 at 100.00 AAA 3,950,262
1,600 5.000%, 7/01/26 - AMBAC Insured 7/11 at 100.00 AAA 1,659,520
36
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS (continued)
Puerto Rico Industrial, Tourist, Educational, Medical and
Environmental Control Facilities Financing Authority, Higher
Education Revenue Bonds, University of the Sacred Heart, Series
2001:
$ 2,000 5.250%, 9/01/21 9/11 at 100.00 BBB $ 2,072,680
500 5.250%, 9/01/31 9/11 at 100.00 BBB 513,140
500 Puerto Rico Industrial, Tourist, Educational, Medical and 12/12 at 101.00 BBB- 514,185
Environmental Control Facilities Financing Authority, Higher
Education Revenue Refunding Bonds, Ana G. Mendez
University System, Series 2002, 5.500%, 12/01/31
1,905 University of Puerto Rico, University System Revenue Bonds, 6/06 at 100.75 AAA 1,936,109
Series 1995M, 5.250%, 6/01/25 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
19,940 Total Education and Civic Organizations 20,873,721
------------------------------------------------------------------------------------------------------------------------------------
ENERGY - 1.1% (0.8% OF TOTAL INVESTMENTS)
1,000 Virgin Islands, Senior Secured Revenue Bonds, Government 1/13 at 100.00 BBB 1,134,730
Refinery Facilities - Hovensa LLC Coker, Series 2002,
6.500%, 7/01/21 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
FINANCIALS - 2.0% (1.3% OF TOTAL INVESTMENTS)
850 New Jersey Economic Development Authority, Economic 11/08 at 101.00 N/R 863,796
Development Revenue Bonds, Glimcher Properties LP,
Series 1998, 6.000%, 11/01/28 (Alternative Minimum Tax)
250 New Jersey Economic Development Authority, Industrial 4/06 at 102.00 Ba3 257,005
Development Revenue Refunding Bonds, Newark Airport
Marriott Hotel, Series 1996, 7.000%, 10/01/14
750 New Jersey Economic Development Authority, Revenue No Opt. Call Baa3 818,483
Refunding Bonds, Kapkowski Road Landfill Project,
Series 2002, 5.750%, 10/01/21
------------------------------------------------------------------------------------------------------------------------------------
1,850 Total Financials 1,939,284
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 16.6% (11.4% OF TOTAL INVESTMENTS)
310 Camden County Improvement Authority, New Jersey, Revenue 8/14 at 100.00 BBB 327,552
Bonds, Cooper Health System, Series 2004A, 5.750%, 2/15/34
130 New Jersey Health Care Facilities Financing Authority, 7/15 at 100.00 Baa3 135,959
Revenue Bonds, Children's Specialized Hospital, Series 2005A,
5.500%, 7/01/36
180 New Jersey Health Care Facilities Financing Authority, Revenue 7/16 at 100.00 A- 184,289
Bonds, Hunterdon Medical Center, Series 2006,
5.125%, 7/01/35 (WI/DD, Settling 1/05/06)
3,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/11 at 100.00 A2 3,705,765
Bonds, Kennedy Health System Obligated Group, Series 2001,
5.625%, 7/01/31
New Jersey Health Care Facilities Financing Authority, Revenue
Bonds, Robert Wood Johnson University Hospital, Series 2000:
750 5.750%, 7/01/25 7/10 at 100.00 A2 798,353
3,000 5.750%, 7/01/31 7/10 at 100.00 A2 3,193,410
1,000 New Jersey Health Care Facilities Financing Authority, Revenue 7/13 at 100.00 Baa3 1,030,020
Bonds, Somerset Medical Center, Series 2003, 5.500%, 7/01/33
1,350 New Jersey Health Care Facilities Financing Authority, Revenue 7/12 at 100.00 Baa1 1,454,044
Bonds, South Jersey Hospital System, Series 2002,
5.875%, 7/01/21
845 New Jersey Health Care Facilities Financing Authority, Revenue 7/14 at 100.00 AA 904,775
Bonds, St. Clare's Hospital, Series 2004A, 5.250%, 7/01/20 -
RAAI Insured
500 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 101.00 BBB- 559,310
Bonds, Trinitas Hospital Obligated Group, Series 2000,
7.500%, 7/01/30
1,500 New Jersey Health Care Facilities Financing Authority, Revenue 1/09 at 101.00 AAA 1,588,830
Bonds, Virtua Health System, Series 1998, 5.250%, 7/01/10 -
FSA Insured
2,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/09 at 101.00 A2 2,607,775
Refunding Bonds, Burdette Tomlin Memorial Hospital,
Series 1999, 5.500%, 7/01/29
40 New Jersey Health Care Facilities Financing Authority, 7/07 at 102.00 BBB- 41,519
Revenue Refunding Bonds, St. Elizabeth Hospital Obligated
Group, Series 1997, 6.000%, 7/01/27
------------------------------------------------------------------------------------------------------------------------------------
15,605 Total Health Care 16,531,601
------------------------------------------------------------------------------------------------------------------------------------
37
Nuveen New Jersey Dividend Advantage Municipal Fund (NXJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 1.7% (1.2% OF TOTAL INVESTMENTS)
$ 250 New Jersey Economic Development Authority, First Mortgage 11/14 at 100.00 N/R $ 261,490
Revenue Bonds, Winchester Gardens at Wards Homestead,
Series 2004A, 5.800%, 11/01/31
New Jersey Economic Development Authority, Revenue Bonds,
Masonic Charity Foundation of New Jersey, Series 2001:
1,000 6.000%, 6/01/25 6/11 at 102.00 A+ 1,109,830
335 5.500%, 6/01/31 6/11 at 102.00 A+ 357,224
------------------------------------------------------------------------------------------------------------------------------------
1,585 Total Long-Term Care 1,728,544
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 5.5% (3.7% OF TOTAL INVESTMENTS)
Hamilton Township, Mercer County Board of Education, New Jersey,
General Obligation Bonds, Series 2001:
1,850 4.750%, 8/15/18 - FSA Insured 8/10 at 100.00 AAA 1,921,355
1,630 4.750%, 8/15/19 - FSA Insured 8/10 at 100.00 AAA 1,691,337
360 New Jersey, General Obligation Bonds, Series 2005L, No Opt. Call AAA 401,177
5.250%, 7/15/16 - AMBAC Insured
1,350 Puerto Rico, General Obligation and Public Improvement Bonds, 7/11 at 100.00 AAA 1,439,478
Series 2001, 5.250%, 7/01/27 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
5,190 Total Tax Obligation/General 5,453,347
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 22.2% (15.1% OF TOTAL INVESTMENTS)
600 Bergen County Improvement Authority, New Jersey, Guaranteed No Opt. Call Aaa 665,820
Lease Revenue Bonds, County Administration Complex Project,
Series 2005, 5.000%, 11/15/26
1,500 Camden County Improvement Authority, New Jersey, County 9/15 at 100.00 AAA 1,624,860
Guaranteed Lease Revenue Bonds, Series 2005A,
5.000%, 9/01/16 - FSA Insured
1,100 Casino Reinvestment Development Authority, New Jersey, 1/15 at 102.00 AAA 1,208,152
Hotel Room Fee Revenue Bonds, Series 2004, 5.250%, 1/01/16 -
AMBAC Insured
2,000 Essex County Improvement Authority, New Jersey, Lease No Opt. Call Aaa 2,161,620
Revenue Bonds, Series 2003, 5.000%, 12/15/12 - FSA Insured
815 Garden State Preservation Trust, New Jersey, Open Space and No Opt. Call AAA 905,873
Farmland Preservation Bonds, Series 2005C, 5.125%, 11/01/18 -
FSA Insured
1,055 Gloucester County Improvement Authority, New Jersey, 9/15 at 100.00 AAA 1,128,808
Lease Revenue Bonds, Series 2005A, 5.000%, 9/01/20 -
MBIA Insured
1,200 New Jersey Economic Development Authority, Cigarette Tax 6/14 at 100.00 BBB 1,264,392
Revenue Bonds, Series 2004, 5.750%, 6/15/34
2,200 New Jersey Economic Development Authority, Revenue Bonds, 7/14 at 100.00 AAA 2,419,032
Motor Vehicle Surcharge, Series 2004A, 5.250%, 7/01/15 -
MBIA Insured
525 New Jersey Economic Development Authority, School Facilities 9/15 at 100.00 AAA 566,947
Construction Bonds, Series 2005N-1, 5.000%, 9/01/17 -
AMBAC Insured
1,550 New Jersey Economic Development Authority, School Facility No Opt. Call AAA 1,711,588
Construction Bonds, Series 2005K, 5.250%, 12/15/14 -
FGIC Insured
1,000 New Jersey Educational Facilities Authority, Revenue Bonds, 9/12 at 100.00 AAA 1,079,470
Higher Education Capital Improvement Bonds, Fund Issue,
Series 2002A, 5.250%, 9/01/19 - AMBAC Insured
925 New Jersey Health Care Facilities Financing Authority, Lease 9/15 at 100.00 AAA 990,305
Revenue Bonds, Department of Human Services - Greystone
Park Psychiatric Hospital, Series 2005, 5.000%, 9/15/18 -
AMBAC Insured
1,000 New Jersey Transit Corporation, Certificates of Participation, No Opt. Call AAA 1,113,450
Federal Transit Administration Grants, Series 2002A,
5.500%, 9/15/14 - AMBAC Insured
1,115 New Jersey Transit Corporation, Lease Appropriation Bonds, 9/15 at 100.00 AAA 1,188,657
Series 2005A, 5.000%, 9/15/18 - FGIC Insured
2,300 New Jersey Transportation Trust Fund Authority, Transportation 6/15 at 100.00 AAA 2,454,399
System Bonds, Series 2005D, 5.000%, 6/15/19 - FSA Insured
1,500 Virgin Islands Public Finance Authority, Senior Lien Revenue 10/08 at 101.00 AA 1,570,050
Refunding Bonds, Matching Fund Loan Note, Series 1998A,
5.500%, 10/01/18 - RAAI Insured
------------------------------------------------------------------------------------------------------------------------------------
20,385 Total Tax Obligation/Limited 22,053,423
------------------------------------------------------------------------------------------------------------------------------------
38
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 24.5% (16.7% OF TOTAL INVESTMENTS)
Delaware River and Bay Authority, Delaware and New Jersey,
Revenue Bonds, Series 2005:
$ 1,000 5.000%, 1/01/25 - MBIA Insured 1/15 at 100.00 AAA $ 1,059,840
1,000 5.000%, 1/01/26 - MBIA Insured 1/15 at 100.00 AAA 1,057,540
500 5.000%, 1/01/27 - MBIA Insured 1/15 at 100.00 AAA 527,235
1,000 5.000%, 1/01/28 - MBIA Insured 1/15 at 100.00 AAA 1,050,660
900 New Jersey Economic Development Authority, Special Facilities 11/10 at 101.00 B 878,184
Revenue Bonds, Continental Airlines Inc., Series 2000,
7.000%, 11/15/30 (Alternative Minimum Tax)
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
180 6.500%, 1/01/16 No Opt. Call A 211,327
50 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 58,933
3,000 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 3,199,200
5.000%, 1/01/19 - FGIC Insured
1,195 New Jersey Turnpike Authority, Revenue Bonds, Series 2005C, 1/15 at 100.00 AAA 1,249,181
5.000%, 1/01/35 - FSA Insured
375 Newark Housing Authority, New Jersey, Port Authority Terminal 1/14 at 100.00 AAA 404,569
Revenue Bonds, Series 2004, 5.250%, 1/01/21 - MBIA Insured
2,000 Port Authority of New York and New Jersey, Consolidated 1/07 at 101.00 AAA 2,058,700
Revenue Bonds, One Hundred Ninth Series 1997,
5.375%, 1/15/32 - MBIA Insured
3,500 Port Authority of New York and New Jersey, Consolidated 10/07 at 101.00 AAA 3,632,685
Revenue Bonds, One Hundred Twentieth Series 2000,
5.500%, 10/15/35 - MBIA Insured (Alternative Minimum Tax)
5,000 Port Authority of New York and New Jersey, Special Project 12/07 at 102.00 AAA 5,281,000
Bonds, JFK International Air Terminal LLC, Sixth Series 1997,
5.750%, 12/01/22 - MBIA Insured (Alternative Minimum Tax)
3,435 South Jersey Transportation Authority New Jersey, 11/09 at 101.00 AAA 3,642,027
Transportation System Revenue Bonds, Series 1999,
5.125%, 11/01/22 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
23,135 Total Transportation 24,311,081
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 20.2% (13.8% OF TOTAL INVESTMENTS)
1,000 Delaware River and Bay Authority, Delaware and New Jersey, 1/13 at 100.00 AAA 1,098,410
Revenue Bonds, Series 2003, 5.250%, 1/01/18 (Pre-refunded
1/01/13) - MBIA Insured
Garden State Preservation Trust, New Jersey, Open Space and
Farmland Preservation Bonds, Series 2003A:
550 5.250%, 11/01/19 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 607,701
900 5.000%, 11/01/20 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 979,236
1,015 5.000%, 11/01/21 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 1,104,361
2,400 New Jersey Economic Development Authority, School Facilities
Construction Bonds, Series 2001A, 5.000%, 6/15/21
(Pre-refunded 6/15/11) - AMBAC Insured 6/11 at 100.00 AAA 2,573,736
1,000 New Jersey Economic Development Authority, School Facilities
Construction Bonds, Series 2003F, 5.250%, 6/15/21
(Pre-refunded 6/15/13) - FGIC Insured 6/13 at 100.00 AAA 1,102,050
900 New Jersey Economic Development Authority, School Facilities
Construction Bonds, Series 2004G, 5.000%, 9/01/17
(Pre-refunded 9/01/13) - MBIA Insured 9/13 at 100.00 AAA 978,210
New Jersey Transportation Trust Fund Authority, Transportation
System Bonds, Series 2003C:
1,000 5.500%, 6/15/17 (Pre-refunded 6/15/13) 6/13 at 100.00 AAA 1,119,620
1,000 5.500%, 6/15/18 (Pre-refunded 6/15/13) 6/13 at 100.00 AAA 1,119,620
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
45 6.500%, 1/01/16 No Opt. Call AAA 53,088
20 6.500%, 1/01/16 - MBIA Insured No Opt. Call AAA 23,595
795 6.500%, 1/01/16 No Opt. Call AAA 937,893
1,500 Puerto Rico Infrastructure Financing Authority, Special 10/10 at 101.00 AAA 1,620,000
Obligation Bonds, Series 2000A, 5.500%, 10/01/40
Puerto Rico, General Obligation and Public Improvement Bonds,
Series 2001:
2,150 5.250%, 7/01/27 (Pre-refunded 7/01/11) - FSA Insured 7/11 at 100.00 AAA 2,332,922
1,000 5.125%, 7/01/30 (Pre-refunded 7/01/11) - FSA Insured 7/11 at 100.00 AAA 1,078,880
3,000 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 7/10 at 100.00 AAA 3,309,270
Asset-Backed Bonds, Series 2000, 6.000%, 7/01/26
(Pre-refunded 7/01/10)
------------------------------------------------------------------------------------------------------------------------------------
18,275 Total U.S. Guaranteed 20,038,592
------------------------------------------------------------------------------------------------------------------------------------
39
Nuveen New Jersey Dividend Advantage Municipal Fund (NXJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 2.2% (1.5% OF TOTAL INVESTMENTS)
$ 1,425 Camden County Pollution Control Financing Authority, 6/06 at 100.00 Baa3 $ 1,446,746
New Jersey, Solid Waste Disposal and Resource Recovery
System Revenue Bonds, Series 1991B, 7.500%, 12/01/09
(Alternative Minimum Tax)
750 New Jersey Economic Development Authority, Pollution No Opt. Call Baa1 777,112
Control Revenue Refunding Bonds, Public Service Electric
and Gas Company, Series 2001A, 5.000%, 3/01/12
------------------------------------------------------------------------------------------------------------------------------------
2,175 Total Utilities 2,223,858
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 24.3% (16.6% OF TOTAL INVESTMENTS)
1,745 Burlington County Bridge Commission, New Jersey, Guaranteed 12/13 at 100.00 AAA 1,869,244
Pooled Loan Bonds, Series 2003, 5.000%, 12/01/18 -
MBIA Insured
225 Guam Government Waterworks Authority, Water and 7/15 at 100.00 Ba2 241,238
Wastewater System Revenue Bonds, Series 2005,
6.000%, 7/01/25
4,635 New Jersey Economic Development Authority, Water Facilities 5/08 at 102.00 Aaa 4,836,298
Revenue Bonds, American Water Company, Series 1997B,
5.375%, 5/01/32 - FGIC Insured (Alternative Minimum Tax)
7,000 New Jersey Economic Development Authority, Water Facilities 2/08 at 102.00 AAA 7,235,618
Revenue Bonds, Middlesex Water Company, Series 1998,
5.350%, 2/01/38 - MBIA Insured (Alternative Minimum Tax)
2,775 New Jersey Environmental Infrastructure Trust, Environmental 9/08 at 101.00 AAA 2,829,279
Infrastructure Bonds, Series 1998A, 4.500%, 9/01/18
15,840 North Hudson Sewerage Authority, New Jersey, Sewerage No Opt. Call Aaa 7,167,917
Revenue Refunding Bonds, Series 2001A, 0.000%, 8/01/23 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
32,220 Total Water and Sewer 24,179,594
------------------------------------------------------------------------------------------------------------------------------------
$ 146,165 Total Investments (cost $139,614,300) - 146.5% 145,625,881
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.8% 1,792,698
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (48.3)% (48,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 99,418,579
====================================================================================================================
(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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
40
Nuveen New Jersey Dividend Advantage Municipal Fund 2 (NUJ)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER DISCRETIONARY - 0.5% (0.3% OF TOTAL INVESTMENTS)
Middlesex County Improvement Authority, New Jersey, Senior
Revenue Bonds, Heldrich Center Hotel/Conference Center
Project, Series 2005A:
$ 180 5.000%, 1/01/32 1/15 at 100.00 Baa3 $ 179,350
150 5.125%, 1/01/37 1/15 at 100.00 Baa3 150,968
------------------------------------------------------------------------------------------------------------------------------------
330 Total Consumer Discretionary 330,318
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 6.1% (4.1% OF TOTAL INVESTMENTS)
1,030 Tobacco Settlement Financing Corporation, New Jersey, 6/12 at 100.00 BBB 1,070,551
Tobacco Settlement Asset-Backed Bonds, Series 2002,
5.750%, 6/01/32
Tobacco Settlement Financing Corporation, New Jersey,
Tobacco Settlement Asset-Backed Bonds, Series 2003:
1,600 6.125%, 6/01/24 6/13 at 100.00 BBB 1,748,160
1,250 6.375%, 6/01/32 6/13 at 100.00 BBB 1,375,300
------------------------------------------------------------------------------------------------------------------------------------
3,880 Total Consumer Staples 4,194,011
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 15.8% (10.7% OF TOTAL INVESTMENTS)
1,000 Bergen County Improvement Authority, New Jersey, Revenue 9/12 at 101.00 N/R 1,058,340
Bonds, Yeshiva Ktana of Passaic Project, Series 2002,
6.000%, 9/15/27
3,000 New Jersey Educational Facilities Authority, Revenue Bonds, 7/12 at 100.00 AAA 3,112,920
College of New Jersey Project, Series 2002C,
4.750%, 7/01/19 - FGIC Insured
200 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 N/R 212,044
Fairleigh Dickinson University, Series 2004C, 5.500%, 7/01/23
175 New Jersey Educational Facilities Authority, Revenue Bonds, 7/16 at 100.00 AAA 184,585
Kean University, Series 2005B, 5.000%, 7/01/30 -
MBIA Insured
New Jersey Educational Facilities Authority, Revenue Bonds,
Montclair State University, Series 2005F:
800 5.000%, 7/01/17 - FGIC Insured 7/15 at 100.00 AAA 865,032
315 5.000%, 7/01/32 - FGIC Insured 7/15 at 100.00 AAA 330,048
575 New Jersey Educational Facilities Authority, Revenue Bonds, 1/14 at 100.00 AAA 610,207
New Jersey Institute of Technology, Series 2004B,
5.000%, 7/01/21 - AMBAC Insured
500 New Jersey Educational Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA 539,270
William Paterson University, Series 2004A, 5.125%, 7/01/19 -
FGIC Insured
1,090 New Jersey Educational Facilities Authority, Revenue Refunding 7/12 at 100.00 AA 1,138,222
Bonds, Rider University, Series 2002A, 5.000%, 7/01/17 -
RAAI Insured
1,000 Puerto Rico Industrial, Tourist, Educational, Medical and 2/09 at 101.00 BBB- 1,026,930
Environmental Control Facilities Financing Authority, Higher
Education Revenue Bonds, Ana G. Mendez University System,
Series 1999, 5.375%, 2/01/19
1,790 University of Medicine and Dentistry of New Jersey, Revenue 12/12 at 100.00 AAA 1,856,105
Bonds, Series 2002A, 5.000%, 12/01/31 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
10,445 Total Education and Civic Organizations 10,933,703
------------------------------------------------------------------------------------------------------------------------------------
ENERGY - 1.6% (1.1% OF TOTAL INVESTMENTS)
1,000 Virgin Islands, Senior Secured Revenue Bonds, Government 1/13 at 100.00 BBB 1,134,730
Refinery Facilities - Hovensa LLC Coker, Series 2002,
6.500%, 7/01/21 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
FINANCIALS - 5.0% (3.4% OF TOTAL INVESTMENTS)
600 New Jersey Economic Development Authority, Economic 11/08 at 101.00 N/R 609,738
Development Revenue Bonds, Glimcher Properties LP,
Series 1998, 6.000%, 11/01/28 (Alternative Minimum Tax)
41
Nuveen New Jersey Dividend Advantage Municipal Fund 2 (NUJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
FINANCIALS (continued)
$ 1,250 New Jersey Economic Development Authority, Industrial 4/06 at 102.00 Ba3 $ 1,285,025
Development Revenue Refunding Bonds, Newark Airport
Marriott Hotel, Series 1996, 7.000%, 10/01/14
1,450 New Jersey Economic Development Authority, Revenue No Opt. Call Baa3 1,582,400
Refunding Bonds, Kapkowski Road Landfill Project,
Series 2002, 5.750%, 10/01/21
------------------------------------------------------------------------------------------------------------------------------------
3,300 Total Financials 3,477,163
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 25.4% (17.1% OF TOTAL INVESTMENTS)
220 Camden County Improvement Authority, New Jersey, Revenue 8/14 at 100.00 BBB 232,456
Bonds, Cooper Health System, Series 2004A, 5.750%, 2/15/34
New Jersey Health Care Facilities Financing Authority,
FHA-Insured Mortgage Revenue Bonds, Jersey City Medical Center,
Series 2001:
500 5.000%, 8/01/31 - AMBAC Insured 8/11 at 100.00 AAA 519,490
1,925 5.000%, 8/01/41 - AMBAC Insured 8/11 at 100.00 AAA 1,972,759
90 New Jersey Health Care Facilities Financing Authority, Revenue 7/15 at 100.00 Baa3 94,126
Bonds, Children's Specialized Hospital, Series 2005A,
5.500%, 7/01/36
120 New Jersey Health Care Facilities Financing Authority, Revenue 7/16 at 100.00 A- 122,860
Bonds, Hunterdon Medical Center, Series 2006,
5.125%, 7/01/35 (WI/DD, Settling 1/05/06)
New Jersey Health Care Facilities Financing Authority, Revenue
Bonds, Kennedy Health System Obligated Group, Series 2001:
400 5.500%, 7/01/21 7/11 at 100.00 A2 424,104
140 5.625%, 7/01/31 7/11 at 100.00 A2 148,231
510 New Jersey Health Care Facilities Financing Authority, 7/09 at 101.00 AAA 538,958
Revenue Bonds, Meridian Health System Obligated Group,
Series 1999, 5.250%, 7/01/29 - FSA Insured
1,000 New Jersey Health Care Facilities Financing Authority, 7/12 at 101.00 BBB- 1,093,030
Revenue Bonds, Palisades Medical Center of New York
Presbyterian Healthcare System, Series 2002, 6.625%, 7/01/31
3,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/10 at 100.00 A2 3,725,645
Bonds, Robert Wood Johnson University Hospital,
Series 2000, 5.750%, 7/01/31
700 New Jersey Health Care Facilities Financing Authority, Revenue 7/13 at 100.00 Baa3 721,014
Bonds, Somerset Medical Center, Series 2003, 5.500%, 7/01/33
1,250 New Jersey Health Care Facilities Financing Authority, Revenue 7/12 at 100.00 Baa1 1,346,337
Bonds, South Jersey Hospital System, Series 2002,
5.875%, 7/01/21
2,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/12 at 100.00 A 2,695,650
Refunding Bonds, Atlantic City Medical Center, Series 2002,
5.750%, 7/01/25
1,150 New Jersey Health Care Facilities Financing Authority, Revenue 1/12 at 100.00 AA 1,183,787
Refunding Bonds, Bayshore Community Hospital, Series 2002,
5.125%, 7/01/32 - RAAI Insured
1,500 New Jersey Health Care Facilities Financing Authority, Revenue 7/07 at 102.00 BBB- 1,556,955
Refunding Bonds, St. Elizabeth Hospital Obligated Group,
Series 1997, 6.000%, 7/01/27
1,100 Puerto Rico Industrial, Tourist, Educational, Medical and 6/06 at 102.00 Baa1 1,123,452
Environmental Control Facilities Financing Authority,
Adjustable Rate Industrial Revenue Bonds, American Home
Products Corporation, Series 1983A, 5.100%, 12/01/18
------------------------------------------------------------------------------------------------------------------------------------
16,605 Total Health Care 17,498,854
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 3.4% (2.3% OF TOTAL INVESTMENTS)
2,250 New Jersey Housing and Mortgage Finance Agency, 11/07 at 101.50 AAA 2,348,303
Multifamily Housing Revenue Bonds, Series 1997A,
5.650%, 5/01/40 - AMBAC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 7.7% (5.2% OF TOTAL INVESTMENTS)
New Jersey Economic Development Authority, Revenue Bonds,
Masonic Charity Foundation of New Jersey, Series 2001:
1,000 5.500%, 6/01/21 6/11 at 102.00 A+ 1,078,100
4,000 5.500%, 6/01/31 6/11 at 102.00 A+ 4,265,360
------------------------------------------------------------------------------------------------------------------------------------
5,000 Total Long-Term Care 5,343,460
------------------------------------------------------------------------------------------------------------------------------------
42
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 5.6% (3.7% OF TOTAL INVESTMENTS)
$ 3,000 Jackson Township School District, Ocean County, New Jersey, 4/12 at 100.00 AAA $ 3,165,240
General Obligation Bonds, Series 2002, 5.000%, 4/15/21 -
FGIC Insured
240 New Jersey, General Obligation Bonds, Series 2005L, No Opt. Call AAA 267,451
5.250%, 7/15/16 - AMBAC Insured
385 Puerto Rico, General Obligation and Public Improvement Bonds, 7/11 at 100.00 AAA 410,314
Series 2001, 5.125%, 7/01/23 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
3,625 Total Tax Obligation/General 3,843,005
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 17.1% (11.5% OF TOTAL INVESTMENTS)
400 Bergen County Improvement Authority, New Jersey, Guaranteed No Opt. Call Aaa 443,880
Lease Revenue Bonds, County Administration Complex
Project, Series 2005, 5.000%, 11/15/26
750 Casino Reinvestment Development Authority, New Jersey, 1/15 at 102.00 AAA 823,740
Hotel Room Fee Revenue Bonds, Series 2004, 5.250%, 1/01/16 -
AMBAC Insured
1,000 Essex County Improvement Authority, New Jersey, Lease No Opt. Call Aaa 1,080,810
Revenue Bonds, Series 2003, 5.000%, 12/15/12 - FSA Insured
530 Garden State Preservation Trust, New Jersey, Open Space and No Opt. Call AAA 589,095
Farmland Preservation Bonds, Series 2005C, 5.125%, 11/01/18 -
FSA Insured
535 Mansfield Township Board of Education, Warren County, 3/06 at 102.00 AAA 548,027
New Jersey, Certificates of Participation, Series 1995,
5.900%, 3/01/15 - MBIA Insured
700 New Jersey Economic Development Authority, Cigarette 6/14 at 100.00 BBB 737,562
Tax Revenue Bonds, Series 2004, 5.750%, 6/15/34
1,500 New Jersey Economic Development Authority, Revenue Bonds, 7/14 at 100.00 AAA 1,649,340
Motor Vehicle Surcharge, Series 2004A, 5.250%, 7/01/15 -
MBIA Insured
350 New Jersey Economic Development Authority, School Facilities 9/15 at 100.00 AAA 377,965
Construction Bonds, Series 2005N-1, 5.000%, 9/01/17 -
AMBAC Insured
1,010 New Jersey Economic Development Authority, School Facility No Opt. Call AAA 1,115,293
Construction Bonds, Series 2005K, 5.250%, 12/15/14 -
FGIC Insured
655 New Jersey Health Care Facilities Financing Authority, Lease 9/15 at 100.00 AAA 701,243
Revenue Bonds, Department of Human Services - Greystone
Park Psychiatric Hospital, Series 2005, 5.000%, 9/15/18 -
AMBAC Insured
1,000 New Jersey Transit Corporation, Certificates of Participation, No Opt. Call AAA 1,113,450
Federal Transit Administration Grants, Series 2002A,
5.500%, 9/15/14 - AMBAC Insured
765 New Jersey Transit Corporation, Lease Appropriation Bonds, 9/15 at 100.00 AAA 815,536
Series 2005A, 5.000%, 9/15/18 - FGIC Insured
1,200 New Jersey Transportation Trust Fund Authority, Transportation 6/15 at 100.00 AAA 1,280,556
System Bonds, Series 2005D, 5.000%, 6/15/19 - FSA Insured
505 Puerto Rico Public Finance Corporation, Commonwealth 2/12 at 100.00 BBB- 528,321
Appropriation Bonds, Series 2002E, 5.500%, 8/01/29
------------------------------------------------------------------------------------------------------------------------------------
10,900 Total Tax Obligation/Limited 11,804,818
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 21.6% (14.5% OF TOTAL INVESTMENTS)
500 Delaware River and Bay Authority, Delaware and New Jersey, 1/15 at 100.00 AAA 527,235
Revenue Bonds, Series 2005, 5.000%, 1/01/27 - MBIA Insured
600 New Jersey Economic Development Authority, Special Facilities 11/10 at 101.00 B 585,456
Revenue Bonds, Continental Airlines Inc., Series 2000,
7.000%, 11/15/30 (Alternative Minimum Tax)
505 New Jersey Turnpike Authority, Revenue Bonds, Series 1991C, No Opt. Call A 592,890
6.500%, 1/01/16
2,000 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 2,132,800
5.000%, 1/01/19 - FGIC Insured
820 New Jersey Turnpike Authority, Revenue Bonds, Series 2005C, 1/15 at 100.00 AAA 857,179
5.000%, 1/01/35 - FSA Insured
250 Newark Housing Authority, New Jersey, Port Authority Terminal 1/14 at 100.00 AAA 269,713
Revenue Bonds, Series 2004, 5.250%, 1/01/21 - MBIA Insured
3,000 Port Authority of New York and New Jersey, Consolidated 4/12 at 101.00 AAA 3,146,760
Revenue Bonds, One Hundred Twenty-Fifth Series 2002,
5.000%, 10/15/26 - FSA Insured
43
Nuveen New Jersey Dividend Advantage Municipal Fund 2 (NUJ) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION (continued)
$ 2,000 Port Authority of New York and New Jersey, Consolidated 6/14 at 100.00 AAA $ 2,076,260
Revenue Bonds, One Hundred Twenty-Seventh Series 2002,
5.125%, 6/15/37 - AMBAC Insured (Alternative Minimum Tax)
Port Authority of New York and New Jersey, Special Project
Bonds, JFK International Air Terminal LLC, Sixth Series 1997:
4,000 7.000%, 12/01/12 - MBIA Insured (Alternative Minimum Tax) No Opt. Call AAA 4,661,637
50 5.750%, 12/01/22 - MBIA Insured (Alternative Minimum Tax) 12/07 at 102.00 AAA 52,810
------------------------------------------------------------------------------------------------------------------------------------
13,725 Total Transportation 14,902,740
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 21.3% (14.4% OF TOTAL INVESTMENTS)
770 Delaware River and Bay Authority, Delaware and New Jersey, 1/13 at 100.00 AAA 845,776
Revenue Bonds, Series 2003, 5.250%, 1/01/18
(Pre-refunded 1/01/13) - MBIA Insured
Garden State Preservation Trust, New Jersey, Open Space and
Farmland Preservation Bonds, Series 2003A:
500 5.250%, 11/01/19 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 552,455
625 5.000%, 11/01/20 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 680,025
700 5.000%, 11/01/21 (Pre-refunded 11/01/13) - FSA Insured 11/13 at 100.00 AAA 761,628
1,000 New Jersey Economic Development Authority, School Facilities 6/12 at 100.00 AAA 1,079,840
Construction Bonds, Series 2002C, 5.000%, 6/15/20
(Pre-refunded 6/15/12) - MBIA Insured
900 New Jersey Economic Development Authority, School Facilities 9/13 at 100.00 AAA 978,210
Construction Bonds, Series 2004G, 5.000%, 9/01/17
(Pre-refunded 9/01/13) - MBIA Insured
680 New Jersey Transportation Trust Fund Authority, Transportation 12/11 at 100.00 AAA 732,108
System Bonds, Series 2001B, 5.000%, 12/15/21
(Pre-refunded 12/15/11) - MBIA Insured
1,000 New Jersey Transportation Trust Fund Authority, Transportation 6/13 at 100.00 AAA 1,119,620
System Bonds, Series 2003C, 5.500%, 6/15/18
(Pre-refunded 6/15/13)
New Jersey Turnpike Authority, Revenue Bonds, Series 1991C:
170 6.500%, 1/01/16 No Opt. Call AAA 200,556
2,430 6.500%, 1/01/16 No Opt. Call AAA 2,866,768
1,000 Puerto Rico Infrastructure Financing Authority, Special Obligation 10/10 at 101.00 AAA 1,080,000
Bonds, Series 2000A, 5.500%, 10/01/40
1,495 Puerto Rico Public Finance Corporation, Commonwealth 2/12 at 100.00 Aaa 1,641,076
Appropriation Bonds, Series 2002E, 5.500%, 8/01/29
(Pre-refunded 2/01/12)
2,000 Puerto Rico, The Children's Trust Fund, Tobacco Settlement 7/10 at 100.00 AAA 2,206,180
Asset-Backed Bonds, Series 2000, 6.000%, 7/01/26
(Pre-refunded 7/01/10)
------------------------------------------------------------------------------------------------------------------------------------
13,270 Total U.S. Guaranteed 14,744,242
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 10.2% (6.9% OF TOTAL INVESTMENTS)
650 Camden County Pollution Control Financing Authority, 6/06 at 100.00 Baa3 659,919
New Jersey, Solid Waste Disposal and Resource Recovery
System Revenue Bonds, Series 1991B, 7.500%, 12/01/09
(Alternative Minimum Tax)
2,300 Guam Power Authority, Revenue Bonds, Series 1999A, 10/09 at 101.00 AAA 2,433,469
5.250%, 10/01/34 - MBIA Insured
750 New Jersey Economic Development Authority, Pollution Control No Opt. Call Baa1 777,112
Revenue Refunding Bonds, Public Service Electric and Gas
Company, Series 2001A, 5.000%, 3/01/12
3,000 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/12 at 101.00 AAA 3,182,760
Series 2002II, 5.125%, 7/01/26 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
6,700 Total Utilities 7,053,260
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 7.1% (4.8% OF TOTAL INVESTMENTS)
1,000 Burlington County Bridge Commission, New Jersey, 12/13 at 100.00 AAA 1,071,200
Guaranteed Pooled Loan Bonds, Series 2003,
5.000%, 12/01/18 - MBIA Insured
150 Guam Government Waterworks Authority, Water and 7/15 at 100.00 Ba2 160,826
Wastewater System Revenue Bonds, Series 2005,
6.000%, 7/01/25
500 North Hudson Sewerage Authority, New Jersey, Sewerage 8/12 at 100.00 Aaa 539,310
Revenue Refunding Bonds, Series 2002A, 5.250%, 8/01/19 -
FGIC Insured
44
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER (continued)
$ 3,000 Ocean County, New Jersey, Brick Township Municipal Utilities 12/12 at 100.00 Aaa $ 3,154,110
Authority, Revenue Bonds, Series 2002, 5.000%, 12/01/25 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
4,650 Total Water and Sewer 4,925,446
------------------------------------------------------------------------------------------------------------------------------------
$ 95,680 Total Investments (cost $97,571,188) - 148.4% 102,534,053
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.5% 1,044,963
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (49.9)% (34,500,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 69,079,016
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares unl
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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
45
Nuveen Pennsylvania Investment Quality Municipal Fund (NQP)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 0.4% (0.3% OF TOTAL INVESTMENTS)
$ 1,000 Pennsylvania Economic Development Financing Authority, No Opt. Call AA- $ 1,109,200
Solid Waste Disposal Revenue Bonds, Procter & Gamble
Paper Project, Series 2001, 5.375%, 3/01/31 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 25.6% (16.9% OF TOTAL INVESTMENTS)
2,000 Allegheny County Higher Education Building Authority, 9/08 at 102.00 BBB 2,054,200
Pennsylvania, College Revenue Bonds, Chatham College,
Series 1998A, 5.250%, 9/01/18
975 Allegheny County Higher Education Building Authority, 2/06 at 102.00 Baa3 997,211
Pennsylvania, College Revenue Bonds, Robert Morris College,
Series 1996A, 6.250%, 2/15/26
200 Allegheny County Higher Education Building Authority, No Opt. Call Baa3 224,248
Pennsylvania, College Revenue Refunding Bonds, Robert
Morris College, Series 1998A, 6.000%, 5/01/28
3,000 Allegheny County Higher Education Building Authority, 3/12 at 100.00 AA- 3,119,490
Pennsylvania, Revenue Bonds, Carnegie Mellon University,
Series 2002, 5.125%, 3/01/32
2,000 Chester County Industrial Development Authority, 1/12 at 100.00 AAA 2,073,920
Pennsylvania, Educational Facilities Revenue Bonds,
Westtown School, Series 2002, 5.000%, 1/01/26 -
AMBAC Insured
3,000 Delaware County Authority, Pennsylvania, Revenue Bonds, 11/10 at 101.00 AA 3,281,940
Haverford College, Series 2000, 5.750%, 11/15/29
Delaware County Authority, Pennsylvania, Revenue Bonds,
Villanova University, Series 2005:
1,000 5.000%, 8/01/12 - MBIA Insured No Opt. Call AAA 1,079,580
1,240 5.000%, 8/01/13 - MBIA Insured No Opt. Call AAA 1,343,354
1,305 5.000%, 8/01/16 - MBIA Insured 8/15 at 100.00 AAA 1,414,176
1,315 Delaware County Authority, Pennsylvania, Revenue Refunding 8/13 at 100.00 AAA 1,429,668
Bonds, Villanova University, Series 2003, 5.250%, 8/01/18 -
FGIC Insured
1,000 Harveys Lake General Municipal Authority, Pennsylvania, 11/09 at 100.00 A 1,060,730
College Revenue Bonds, College of Misericordia Project,
Series 1999, 6.000%, 5/01/19 - ACA Insured
Indiana County Industrial Development Authority, Pennsylvania,
Revenue Bonds, Student Cooperative Association Inc./Indiana
University of Pennsylvania - Student Union Project, Series
1999B:
815 0.000%, 11/01/15 - AMBAC Insured No Opt. Call AAA 537,085
815 0.000%, 11/01/16 - AMBAC Insured No Opt. Call AAA 510,443
815 0.000%, 11/01/17 - AMBAC Insured No Opt. Call AAA 485,373
815 0.000%, 11/01/18 - AMBAC Insured No Opt. Call AAA 462,195
815 0.000%, 11/01/19 - AMBAC Insured No Opt. Call AAA 439,114
8,000 Pennsylvania Higher Education Assistance Agency, Capital 11/11 at 100.00 Aaa 8,254,640
Acquisition Revenue Refunding Bonds, Series 2001,
5.000%, 12/15/30 - MBIA Insured
5,000 Pennsylvania Higher Educational Facilities Authority, General 6/12 at 100.00 Aaa 5,325,050
Revenue Bonds, State System of Higher Education,
Series 2002W, 5.000%, 6/15/19 - AMBAC Insured
5,000 Pennsylvania Higher Educational Facilities Authority, Revenue 7/11 at 100.00 AA 5,201,300
Bonds, Moravian College, Series 2001, 5.375%, 7/01/31 -
RAAI Insured
1,000 Pennsylvania Higher Educational Facilities Authority, Revenue 1/13 at 100.00 A1 1,041,940
Bonds, Thomas Jefferson University, Series 2002,
5.000%, 1/01/20
3,450 Pennsylvania Higher Educational Facilities Authority, Revenue No Opt. Call AA 3,758,775
Bonds, University of Pennsylvania, Series 2005A,
5.000%, 9/01/14
2,000 Pennsylvania Higher Educational Facilities Authority, Revenue 7/15 at 100.00 AA 2,090,260
Bonds, University of Pennsylvania, Series 2005C,
5.000%, 7/15/38
2,945 Pennsylvania Higher Educational Facilities Authority, Revenue 7/13 at 100.00 AA 3,142,286
Bonds, Ursinus College, Series 2003, 5.375%, 1/01/20 -
RAAI Insured
2,000 Pennsylvania State University, General Obligation Refunding No Opt. Call AA 2,191,400
Bonds, Series 2002, 5.250%, 8/15/12
46
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS (continued)
Pennsylvania State University, General Revenue Bonds,
Series 2005:
$ 1,040 5.000%, 9/01/14 No Opt. Call AA $ 1,133,080
1,560 5.000%, 9/01/15 No Opt. Call AA 1,702,038
6,000 Swarthmore Borough Authority, Pennsylvania, Swarthmore 9/08 at 100.00 AA+ 6,095,940
College Revenue Bonds, Series 1998, 5.000%, 9/15/28
Union County, Higher Education Facilities Financing Authority,
Pennsylvania, Revenue Bonds, Bucknell University, Series 2002A:
1,665 5.250%, 4/01/18 4/13 at 100.00 Aa2 1,790,458
1,000 5.250%, 4/01/20 4/13 at 100.00 Aa2 1,084,510
10 Wilkes-Barre General Municipal Authority, Pennsylvania, 6/06 at 100.00 N/R 10,032
College Revenue Refunding Bonds, College of Misericordia,
Series 1992B, 7.750%, 12/01/12
------------------------------------------------------------------------------------------------------------------------------------
61,780 Total Education and Civic Organizations 63,334,436
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 10.3% (6.8% OF TOTAL INVESTMENTS)
1,555 Allegheny County Hospital Development Authority, Pennsylvania, 4/15 at 100.00 Baa2 1,566,725
Revenue Bonds, Ohio Valley General Hospital, Series 2005A,
5.125%, 4/01/35
1,115 Erie County Hospital Authority, Pennsylvania, Revenue Bonds, 11/12 at 100.00 AAA 1,195,726
Hamot Health Foundation, Series 2002, 5.250%, 11/01/15 -
AMBAC Insured
2,500 Lehigh County General Purpose Authority, Pennsylvania, 8/13 at 100.00 Baa1 2,589,125
Hospital Revenue Bonds, St. Luke's Hospital of Bethlehem,
Series 2003, 5.375%, 8/15/33
1,250 Lehigh County General Purpose Authority, Pennsylvania, Revenue 11/14 at 100.00 A 1,320,163
Bonds, Good Shepherd Group, Series 2004A, 5.500%, 11/01/24
2,360 Pennsylvania Higher Educational Facilities Authority, Revenue 8/15 at 100.00 AAA 2,548,068
Bonds, University of Pennsylvania Health Services,
Series 2005B, 5.000%, 8/15/16 - FGIC Insured
9,000 Pennsylvania Higher Educational Facilities Authority, Revenue 1/11 at 101.00 Aa3 9,782,730
Bonds, UPMC Health System, Series 2001A, 6.000%, 1/15/31
1,225 Philadelphia Hospitals and Higher Education Facilities Authority, 11/23 at 100.00 BBB 1,233,330
Pennsylvania, Hospital Revenue Bonds, Temple University
Hospital, Series 1993A, 6.625%, 11/15/23
1,615 Sayre Health Care Facility Authority, Pennsylvania, Revenue 7/12 at 100.00 AAA 1,743,005
Bonds, Latrobe Area Hospital, Series 2002A, 5.250%, 7/01/13 -
AMBAC Insured
Southcentral Pennsylvania General Authority, Revenue Bonds,
Hanover Hospital Inc., Series 2005:
525 5.000%, 12/01/27 - RAAI Insured 12/15 at 100.00 AA 544,094
370 5.000%, 12/01/29 - RAAI Insured 12/15 at 100.00 AA 382,262
960 St. Mary Hospital Authority, Pennsylvania, Health System 11/14 at 100.00 A1 1,009,229
Revenue Bonds, Catholic Health East, Series 2004B,
5.375%, 11/15/34
1,500 West Shore Area Hospital Authority, Cumberland County, 1/12 at 100.00 BBB 1,617,540
Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital
of the Sisters of Christian Charity Project, Series 2001,
6.250%, 1/01/32
------------------------------------------------------------------------------------------------------------------------------------
23,975 Total Health Care 25,531,997
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 0.7% (0.5% OF TOTAL INVESTMENTS)
800 Philadelphia Authority for Industrial Development, Pennsylvania, 5/15 at 102.00 Baa2 812,408
Multifamily Housing Revenue Bonds, Presbyterian Homes
Germantown - Morrisville Project, Series 2005A,
5.625%, 7/01/35
900 Pittsburgh Urban Redevelopment Authority, Pennsylvania, 2/06 at 100.00 A2 901,071
Mortgage Revenue Bonds, Series 1992C, 7.125%, 8/01/13
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
1,700 Total Housing/Multifamily 1,713,479
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 1.3% (0.8% OF TOTAL INVESTMENTS)
960 Pittsburgh Urban Redevelopment Authority, Pennsylvania, 4/07 at 102.00 AAA 965,232
Mortgage Revenue Bonds, Series 1997A, 6.250%, 10/01/28
(Alternative Minimum Tax)
2,140 Pittsburgh Urban Redevelopment Authority, Pennsylvania, 10/11 at 100.00 AAA 2,201,118
Mortgage Revenue Bonds, Series 2001B, 5.450%, 10/01/32
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
3,100 Total Housing/Single Family 3,166,350
------------------------------------------------------------------------------------------------------------------------------------
47
Nuveen Pennsylvania Investment Quality Municipal Fund (NQP) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS - 4.4% (2.9% OF TOTAL INVESTMENTS)
$ 5,000 Pennsylvania Economic Development Financing Authority, 5/11 at 101.00 A3 $ 5,404,050
Exempt Facilities Revenue Bonds, Amtrak Project,
Series 2001A, 6.375%, 11/01/41 (Alternative Minimum Tax)
5,000 Pennsylvania Industrial Development Authority, Economic No Opt. Call AAA 5,526,600
Development Revenue Bonds, Series 2002, 5.500%, 7/01/12 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
10,000 Total Industrials 10,930,650
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 2.7% (1.8% OF TOTAL INVESTMENTS)
1,500 Cumberland County Municipal Authority, Pennsylvania, Revenue 12/12 at 100.00 AA 1,530,705
Bonds, Presbyterian Homes Inc., Series 2003A,
5.000%, 12/01/26 - RAAI Insured
3,225 Montgomery County Higher Education and Health Authority, 1/06 at 101.00 BBB 3,259,894
Pennsylvania, Mortgage Revenue Bonds, Waverly Heights
Ltd., Series 1996, 6.375%, 1/01/26
230 Philadelphia Authority for Industrial Development, Pennsylvania, 5/08 at 102.00 N/R 234,549
Health Care Facilities Revenue Bonds, Paul's Run,
Series 1998A, 5.875%, 5/15/28
1,500 Philadelphia Authority for Industrial Development, Pennsylvania, 7/11 at 101.00 AAA 1,586,325
Revenue Bonds, Philadelphia Corporation for the Aging Project,
Series 2001B, 5.250%, 7/01/26 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
6,455 Total Long-Term Care 6,611,473
------------------------------------------------------------------------------------------------------------------------------------
MATERIALS - 1.3% (0.9% OF TOTAL INVESTMENTS)
1,260 Bradford County Industrial Development Authority, Pennsylvania, 12/15 at 100.00 BBB 1,269,173
Solid Waste Disposal Revenue Bonds, International Paper
Company, Series 2005B, 5.200%, 12/01/19 (WI/DD,
Settling 1/03/06) (Alternative Minimum Tax)
1,750 Pennsylvania Economic Development Financing Authority, 11/08 at 102.00 N/R 1,854,265
Exempt Facilities Revenue Bonds, National Gypsum Company,
Series 1997B, 6.125%, 11/01/27 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
3,010 Total Materials 3,123,438
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 21.7% (14.4% OF TOTAL INVESTMENTS)
1,800 Allegheny County, Pennsylvania, General Obligation Bonds, 5/11 at 100.00 AAA 1,920,420
Series 2000C-53, 5.250%, 11/01/20 - FGIC Insured
4,000 Allegheny County, Pennsylvania, General Obligation Bonds, No Opt. Call AAA 4,413,040
Series 2005C-57, 5.250%, 11/01/13 - FGIC Insured
1,640 Bensalem Township, Pennsylvania, General Obligation Bonds, No Opt. Call Aaa 1,782,565
Series 2004, 5.000%, 12/01/13 - FGIC Insured
1,200 Butler County, Pennsylvania, General Obligation Bonds, 7/14 at 100.00 AAA 1,296,816
Series 2004, 5.000%, 7/15/16 - FGIC Insured
2,200 Central Bucks County School District, Pennsylvania, General 5/13 at 100.00 Aaa 2,331,714
Obligation Bonds, Series 2003, 5.000%, 5/15/23 -
MBIA Insured
1,000 Delaware County, Pennsylvania, General Obligation Bonds, 10/09 at 100.00 AA 1,053,210
Series 1999, 5.125%, 10/01/19
2,345 Delaware County, Pennsylvania, General Obligation Bonds, 10/15 at 100.00 AA 2,516,044
Series 2005, 5.000%, 10/01/20
7,500 Montgomery County, Pennsylvania, General Obligation Bonds, 7/09 at 100.00 Aaa 7,815,675
Series 1999, 5.000%, 7/15/24
1,000 New Castle Area School District, Lawrence County, 3/10 at 100.00 AAA 1,075,980
Pennsylvania, General Obligation Bonds, Series 2000,
5.600%, 3/01/25 - MBIA Insured
1,025 Norristown Area School District, Montgomery County, 3/13 at 100.00 Aaa 1,093,552
Pennsylvania, General Obligation Bonds, Series 2003,
5.000%, 9/01/19 - FGIC Insured
2,100 Pennsylvania, General Obligation Bonds, Second Series 2005, 1/16 at 100.00 AA 2,269,029
5.000%, 1/01/19
Philadelphia, Pennsylvania, General Obligation Bonds,
Series 2003A:
1,000 5.000%, 2/15/12 - XLCA Insured No Opt. Call AAA 1,069,210
2,585 5.250%, 2/15/13 - XLCA Insured No Opt. Call AAA 2,812,713
3,000 Pittsburgh School District, Allegheny County, Pennsylvania, No Opt. Call AAA 3,390,630
General Obligation Refunding Bonds, Series 2002A,
5.500%, 9/01/15 - FSA Insured
2,725 Pittsburgh, Pennsylvania, General Obligation Bonds, No Opt. Call AAA 2,915,341
Series 2005A, 5.000%, 9/01/11 - MBIA Insured
3,390 Pocono Mountain School District, Monroe County, Pennsylvania, 2/13 at 100.00 Aaa 3,634,250
General Obligation Bonds, Series 2003, 5.000%, 2/15/15 -
FGIC Insured
48
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL (continued)
$ 1,590 Red Lion Area School District, York County, Pennsylvania, General 10/11 at 100.00 Aaa $ 1,679,803
Obligation Bonds, Series 2001, 5.000%, 4/15/20 - FSA Insured
2,500 Seneca Valley School District, Butler County, Pennsylvania, 7/15 at 100.00 Aaa 2,684,775
General Obligation Bonds, Series 2005, 5.000%, 1/01/19 -
FGIC Insured
445 State Public School Building Authority, Pennsylvania, School 11/13 at 100.00 AAA 484,578
Revenue Bonds, Conneaut School District, Series 2003,
5.250%, 11/01/21 - FGIC Insured
1,465 Stroudsburg Area School District, Monroe County, Pennsylvania, 4/12 at 100.00 AAA 1,558,159
General Obligation Bonds, Series 2001A, 5.000%, 4/01/18 -
FSA Insured
4,020 Upper Merion Area School District, Montgomery County, 2/13 at 100.00 Aa2 4,354,585
Pennsylvania, General Obligation Bonds, Series 2003,
5.250%, 2/15/19
1,600 Woodland Hills School District, Allegheny County, Pennsylvania, 9/15 at 100.00 AAA 1,730,112
General Obligation Bonds, Series 2005D, 5.000%, 9/01/17 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
50,130 Total Tax Obligation/General 53,882,201
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 24.9% (16.5% OF TOTAL INVESTMENTS)
5,045 Allegheny County Industrial Development Authority, 11/12 at 100.00 AAA 5,328,125
Pennsylvania, Revenue Bonds, Guaranteed County Building
Project, Series 2002A, 5.000%, 11/01/22 - MBIA Insured
Allegheny County Port Authority, Pennsylvania, Special
Transportation Revenue Bonds, Series 2001:
1,000 5.500%, 3/01/17 - FGIC Insured 3/11 at 101.00 AAA 1,089,890
3,500 5.000%, 3/01/29 - FGIC Insured 3/11 at 101.00 AAA 3,622,710
6,000 Delaware Valley Regional Finance Authority, Pennsylvania, No Opt. Call AA- 6,820,980
Local Government Revenue Bonds, Series 2002,
5.750%, 7/01/17
8,725 Pennsylvania Intergovernmental Cooperative Authority, Special 6/09 at 100.00 AAA 8,849,768
Tax Revenue Refunding Bonds, Philadelphia Funding Program,
Series 1999, 4.750%, 6/15/23 - FGIC Insured
Pennsylvania Turnpike Commission, Oil Franchise Tax Senior
Lien Revenue Bonds, Series 2003A:
1,800 5.250%, 12/01/14 - MBIA Insured 12/13 at 100.00 AAA 1,979,838
1,500 5.250%, 12/01/15 - MBIA Insured 12/13 at 100.00 AAA 1,642,125
2,600 5.250%, 12/01/17 - MBIA Insured 12/13 at 100.00 AAA 2,838,940
2,125 5.250%, 12/01/18 - MBIA Insured 12/13 at 100.00 AAA 2,317,270
1,000 5.250%, 12/01/19 - MBIA Insured 12/13 at 100.00 AAA 1,089,770
2,125 Pennsylvania Turnpike Commission, Oil Franchise Tax 12/13 at 100.00 AAA 2,317,270
Subordinate Lien Revenue Bonds, Series 2003B,
5.250%, 12/01/18 - MBIA Insured
1,900 Pennsylvania Turnpike Commission, Registration Fee Revenue No Opt. Call AAA 2,119,773
Bonds, Series 2005A, 5.250%, 7/15/16 - FSA Insured
10,935 Philadelphia Authority for Industrial Development, Pennsylvania, 10/11 at 101.00 AAA 11,560,478
Lease Revenue Bonds, Series 2001B, 5.250%, 10/01/30 -
FSA Insured
2,700 Philadelphia Municipal Authority, Pennsylvania, Lease Revenue 11/13 at 100.00 AAA 2,895,399
Bonds, Series 2003B, 5.250%, 11/15/17 - FSA Insured
4,000 Pittsburgh and Allegheny Counties Public Auditorium Authority, 8/09 at 101.00 AAA 4,158,800
Pennsylvania, Sales Tax Revenue Bonds, Regional Asset
District, Series 1999, 5.000%, 2/01/29 - AMBAC Insured
1,090 Pittsburgh Urban Redevelopment Authority, Pennsylvania, 5/09 at 100.00 A2 1,155,095
Tax Increment Financing District Bonds, Center Triangle
Project, Series 1999A, 6.100%, 5/01/19
1,800 Southeastern Transportation Authority, Pennsylvania, Special 3/09 at 101.00 AAA 1,906,146
Revenue Bonds, Series 1999A, 5.250%, 3/01/16 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
57,845 Total Tax Obligation/Limited 61,692,377
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 10.6% (7.0% OF TOTAL INVESTMENTS)
630 Delaware River Joint Toll Bridge Commission, Pennsylvania and 7/13 at 100.00 A2 677,231
New Jersey, Revenue Bonds, Series 2003, 5.250%, 7/01/17
2,035 Lehigh-Northampton Airport Authority, Pennsylvania, Airport 5/10 at 100.00 Aaa 2,189,579
Revenue Bonds, Lehigh Valley Airport System, Series 2000A,
6.000%, 5/15/30 - MBIA Insured (Alternative Minimum Tax)
5,400 Pennsylvania Economic Development Financing Authority, 6/12 at 102.00 A 5,834,592
Revenue Bonds, Amtrak 30th Street Station Parking Garage,
Series 2002, 5.800%, 6/01/23 - ACA Insured (Alternative
Minimum Tax)
49
Nuveen Pennsylvania Investment Quality Municipal Fund (NQP) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION (continued)
$ 4,000 Pennsylvania Turnpike Commission, Registration Fee Revenue No Opt. Call AAA $ 4,512,080
Bonds, Series 2005A, 5.250%, 7/15/19 - FSA Insured
2,200 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, 12/11 at 101.00 AAA 2,291,476
Series 2001R, 5.000%, 12/01/30 - AMBAC Insured
5,000 Philadelphia Airport System, Pennsylvania, Revenue Bonds, 6/11 at 101.00 AAA 5,178,300
Series 2001B, 5.250%, 6/15/31 - FGIC Insured (Alternative
Minimum Tax)
3,250 Philadelphia Parking Authority, Pennsylvania, Airport Parking 9/09 at 101.00 AAA 3,431,253
Revenue Bonds, Series 1999, 5.250%, 9/01/29 - FSA Insured
1,885 Pittsburgh Public Parking Authority, Pennsylvania, Parking No Opt. Call AAA 2,041,719
System Revenue Refunding Bonds, Series 2002,
5.000%, 12/01/12 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
24,400 Total Transportation 26,156,230
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 22.4% (14.8% OF TOTAL INVESTMENTS)
3,550 Allegheny County, Pennsylvania, General Obligation Bonds, 5/11 at 100.00 AAA 3,847,135
Series 2000C-52, 5.250%, 11/01/23 (Pre-refunded 5/01/11) -
FGIC Insured
1,320 Allegheny County, Pennsylvania, General Obligation Refunding 5/11 at 100.00 AAA 1,430,484
Bonds, Series 2000C-53, 5.250%, 11/01/20 (Pre-refunded
5/01/11) - FGIC Insured
1,355 Bucks County, Pennsylvania, Bensalem Township School 7/06 at 100.00 AAA 1,373,984
District, General Obligation Bonds, Series 1996,
5.850%, 7/15/12 (Pre-refunded 7/15/06) - FGIC Insured
830 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 (4) 909,912
and New Jersey, Revenue Bonds, Series 2003,
5.250%, 7/01/17 (Pre-refunded 7/01/13)
5,000 Erie, Pennsylvania, Water Authority, Water Revenue Bonds, 12/11 at 100.00 AAA 5,434,600
Series 2001A, 5.200%, 12/01/30 (Pre-refunded 12/01/11) -
MBIA Insured
6,275 Hempfield Area School District, Westmoreland County, 2/12 at 100.00 AAA 6,887,503
Pennsylvania, General Obligation Bonds, Series 2002,
5.375%, 2/15/18 (Pre-refunded 2/15/12) - FGIC Insured
1,450 Indiana County Industrial Development Authority, Pennsylvania, 11/06 at 100.00 AAA 1,480,856
Revenue Bonds, Student Cooperative Association Inc./Indiana
University of Pennsylvania - Student Union Project,
Series 1999A, 5.875%, 11/01/29 (Pre-refunded 11/01/06) -
AMBAC Insured
925 Moon Area School District, Allegheny County, Pennsylvania, No Opt. Call AAA 1,008,657
General Obligation Bonds, Series 2004, 5.250%, 11/15/12 -
FSA Insured
3,650 Pennsylvania Turnpike Commission, Registration Fee Revenue 7/11 at 101.00 AAA 3,946,599
Bonds, Series 2001, 5.000%, 7/15/41 (Pre-refunded 7/15/11) -
AMBAC Insured
790 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, Twelfth No Opt. Call AAA 953,649
Series 1990B, 7.000%, 5/15/20 - MBIA Insured
3,400 Philadelphia School District, Pennsylvania, General Obligation 8/12 at 100.00 AAA 3,797,222
Bonds, Series 2002B, 5.625%, 8/01/18 (Pre-refunded 8/01/12) -
FGIC Insured
6,100 Plum Borough School District, Allegheny County, Pennsylvania, 9/11 at 100.00 AAA 6,594,222
General Obligation Bonds, Series 2001, 5.250%, 9/15/30
(Pre-refunded 9/15/11) - FGIC Insured
785 State Public School Building Authority, Pennsylvania, School 11/13 at 100.00 AAA 867,354
Revenue Bonds, Conneaut School District, Series 2003,
5.250%, 11/01/21 (Pre-refunded 11/01/13) - FGIC Insured
2,000 Sto Rox School District, Allegheny County, Pennsylvania, 12/10 at 100.00 AAA 2,212,200
General Obligation Bonds, Series 2000, 5.800%, 6/15/30
(Pre-refunded 12/15/10) - MBIA Insured
3,000 Warrington Township Municipal Authority, Bucks County, 11/15 at 100.00 AAA 3,661,770
Pennsylvania, Water and Sewer Revenue Bonds, Series 1991,
7.100%, 12/01/21 (Pre-refunded 11/15/15) - FGIC Insured
5,450 West View Borough Municipal Authority, Allegheny County, No Opt. Call AAA 7,015,676
Pennsylvania, Special Obligation Bonds, Series 1985A,
9.500%, 11/15/14
Wilkes-Barre Area School District, Luzerne County, Pennsylvania,
General Obligation Bonds, Series 2003A:
1,700 5.250%, 4/01/19 (Pre-refunded 4/01/14) - MBIA Insured 4/14 at 100.00 AAA 1,880,098
2,050 5.250%, 4/01/20 (Pre-refunded 4/01/14) -MBIA Insured 4/14 at 100.00 AAA 2,267,177
------------------------------------------------------------------------------------------------------------------------------------
49,630 Total U.S. Guaranteed 55,569,098
------------------------------------------------------------------------------------------------------------------------------------
50
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
4 UTILITIES - 9.4% (6.2% OF TOTAL INVESTMENTS)
$ 1,250 Allegheny County Industrial Development Authority, Pennsylvania, No Opt. Call AAA $ 1,297,725
Pollution Control Revenue Refunding Bonds, Duquesne Light
Company, Series 1999A, 4.350%, 12/01/13 - AMBAC Insured
1,820 Beaver Falls Municipal Authority, Pennsylvania, Water and No Opt. Call AAA 1,965,054
Hydroelectric Revenue Bonds, Series 2002A, 5.000%, 6/01/12 -
AMBAC Insured
2,320 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 2,492,214
Resource Recovery Revenue Refunding Bonds, Panther Creek
Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative
Minimum Tax)
2,430 Lehigh County Industrial Development Authority, Pennsylvania, 2/15 at 100.00 AAA 2,479,499
Pollution Control Revenue Bonds, Pennsylvania Power and
Light Company, Series 2005, 4.750%, 2/15/27 - FGIC Insured
3,500 Montgomery County Industrial Development Authority, No Opt. Call AAA 3,834,005
Pennsylvania, Resource Recovery Revenue Refunding Bonds,
Montgomery County Montenay Project, Series 2002A,
5.250%, 11/01/13 - MBIA Insured
680 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, No Opt. Call AAA 730,633
Eighteenth Series 2004, 5.000%, 8/01/13 - AGC Insured
700 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General 9/14 at 100.00 AAA 728,679
Ordinance, Fifth Series 2004A-1, 5.000%, 9/01/26 - FSA Insured
2,000 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 7/13 at 100.00 AAA 2,157,240
General Ordinance, Seventeenth Series 2003,
5.375%, 7/01/19 - FSA Insured
3,500 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 7/09 at 101.00 AAA 3,748,500
General Ordinance, Sixteenth Series 1999, 5.500%, 7/01/13 -
FSA Insured
3,700 York County Industrial Development Authority, Pennsylvania, 3/12 at 101.00 Baa1 3,915,007
Pollution Control Revenue Refunding Bonds, PSEG Power
Project, Series 2001A, 5.500%, 9/01/20
------------------------------------------------------------------------------------------------------------------------------------
21,900 Total Utilities 23,348,556
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 15.0% (9.9% OF TOTAL INVESTMENTS)
2,205 Bethlehem Authority, Northhampton and Lehigh Counties, 11/14 at 100.00 AAA 2,355,513
Pennsylvania, Guaranteed Water Revenue Bonds, Series 2004,
5.000%, 11/15/20 - FSA Insured
1,000 Bucks County Water and Sewerage Authority, Pennsylvania, 12/06 at 100.00 AAA 1,020,050
Collection System Revenue Bonds, Series 1996,
5.550%, 12/01/17 - FGIC Insured
Bucks County Water and Sewerage Authority, Pennsylvania,
Sewerage System Revenue Bonds, Neshaminy Interceptor
Project, Series 2004:
655 5.250%, 6/01/14 - FSA Insured No Opt. Call AAA 724,758
530 5.250%, 6/01/15 - FSA Insured No Opt. Call AAA 588,141
5,000 Delaware County Industrial Development Authority, 10/12 at 100.00 AAA 5,226,400
Pennsylvania, Water Facilities Revenue Bonds, Philadelphia
Water Company, Series 2001, 5.350%, 10/01/31 -
AMBAC Insured (Alternative Minimum Tax)
Delaware County Regional Water Quality Control Authority,
Pennsylvania, Sewerage Revenue Bonds, Series 2001A:
5,325 5.100%, 5/01/20 - FGIC Insured 11/11 at 100.00 AAA 5,666,812
1,465 5.100%, 5/01/21 - FGIC Insured 11/11 at 100.00 AAA 1,559,038
1,400 Delaware County Regional Water Quality Control Authority, 5/14 at 100.00 Aaa 1,522,416
Pennsylvania, Sewerage Revenue Bonds, Series 2004,
5.250%, 5/01/20 - MBIA Insured
2,000 Harrisburg Authority, Dauphin County, Pennsylvania, Water 7/14 at 100.00 AAA 2,113,080
Revenue Refunding Bonds, Series 2004, 5.000%, 7/15/22 -
FSA Insured
1,540 Hempfield Township Municipal Authority, Westmoreland No Opt. Call Aaa 1,680,217
County, Pennsylvania, Guaranteed Sewerage Revenue
Bonds, Series 2005, 5.000%, 9/01/15 - FSA Insured
1,250 Lancaster Area Sewerage Authority, Pennsylvania, Sewerage 4/14 at 100.00 AAA 1,329,363
Revenue Bonds, Series 2004, 5.000%, 4/01/20 - MBIA Insured
Philadelphia, Pennsylvania, Water and Wastewater Revenue
Bonds, Series 2001A:
5,525 5.375%, 11/01/20 - FGIC Insured 11/12 at 100.00 AAA 5,999,211
5,000 5.000%, 11/01/31 - FGIC Insured 11/12 at 100.00 AAA 5,176,650
2,150 Philadelphia, Pennsylvania, Water and Wastewater Revenue 7/15 at 100.00 AAA 2,274,120
Bonds, Series 2005A, 5.000%, 7/01/23 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
35,045 Total Water and Sewer 37,235,769
------------------------------------------------------------------------------------------------------------------------------------
$ 349,970 Total Long-Term Investments (cost $355,724,563) - 150.7% 373,405,254
=============-----------------------------------------------------------------------------------------------------------------------
51
Nuveen Pennsylvania Investment Quality Municipal Fund (NQP) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.4% (0.3% OF TOTAL INVESTMENTS)
$ 1,000 Puerto Rico Government Development Bank, Adjustable Refunding No Opt. Call VMIG-1 $ 1,000,000
Bonds, Variable Rate Demand Obligations, Series 1985,
3.400%, 12/01/15 - MBIA Insured (5)
------------------------------------------------------------------------------------------------------------------------------------
$ 1,000 Total Short-Term Investments (cost $1,000,000) 1,000,000
=============-----------------------------------------------------------------------------------------------------------------------
Total Investments (cost $356,724,563) - 151.1% 374,405,254
--------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.2% 5,438,458
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (53.3)% (132,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 247,843,712
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares unl
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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
(5) Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term investment. The rate disclosed is that in
effect at the end of the reporting period. This rate
changes periodically based on market conditions or a
specified market index.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
52
Nuveen Pennsylvania Premium Income Municipal Fund 2 (NPY)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 18.6% (12.5% OF TOTAL INVESTMENTS)
$ 900 Allegheny County Higher Education Building Authority, 2/06 at 102.00 Baa3 $ 920,502
Pennsylvania, College Revenue Bonds, Robert Morris College,
Series 1996A, 6.250%, 2/15/26
1,045 Allegheny County Higher Education Building Authority, 5/09 at 102.00 A 1,084,888
Pennsylvania, College Revenue Bonds, Thiel College,
Series 1999A, 5.375%, 11/15/29 - ACA Insured
200 Allegheny County Higher Education Building Authority, No Opt. Call Baa3 224,248
Pennsylvania, College Revenue Refunding Bonds,
Robert Morris College, Series 1998A, 6.000%, 5/01/28
1,245 Allegheny County Higher Education Building Authority, 3/14 at 100.00 AAA 1,326,050
Pennsylvania, Revenue Bonds, Duquesne University,
Series 2004A, 5.000%, 3/01/19 - FGIC Insured
3,000 Chester County Health and Education Facilities Authority, 10/08 at 102.00 BB+ 3,022,230
Pennsylvania, College Revenue Bonds, Immaculata College,
Series 1998, 5.625%, 10/15/27
Delaware County Authority, Pennsylvania, Revenue Refunding
Bonds, Villanova University, Series 2003:
1,705 5.250%, 8/01/19 - FGIC Insured 8/13 at 100.00 AAA 1,852,500
1,350 5.250%, 8/01/20 - FGIC Insured 8/13 at 100.00 AAA 1,466,789
1,000 5.250%, 8/01/21 - FGIC Insured 8/13 at 100.00 AAA 1,086,510
3,060 Indiana County Industrial Development Authority, Pennsylvania, 11/14 at 100.00 AAA 3,223,955
Revenue Bonds, Student Cooperative Association Inc./Indiana
University of Pennsylvania - Student Union Project,
Series 2004, 5.000%, 11/01/24 - AMBAC Insured
2,500 Montgomery County Industrial Development Authority, 8/15 at 100.00 Aaa 2,643,700
Pennsylvania, Revenue Bonds, Hill School, Series 2005,
5.000%, 8/15/25 - MBIA Insured
4,085 Pennsylvania Higher Educational Facilities Authority, General 6/12 at 100.00 Aaa 4,350,566
Revenue Bonds, State System of Higher Education,
Series 2002W, 5.000%, 6/15/19 - AMBAC Insured
1,000 Pennsylvania Higher Educational Facilities Authority, Revenue 5/08 at 101.00 Aaa 1,046,260
Bonds, LaSalle University, Series 1998, 5.250%, 5/01/23 -
MBIA Insured
2,100 Pennsylvania Higher Educational Facilities Authority, Revenue 6/10 at 100.00 AA 2,257,521
Bonds, Philadelphia University, Series 2000, 6.000%, 6/01/29 -
RAAI Insured
1,500 Pennsylvania Higher Educational Facilities Authority, Revenue 7/11 at 101.00 AAA 1,551,075
Bonds, Temple University, Series 2001, 5.000%, 7/15/31 -
MBIA Insured
5,750 Pennsylvania Higher Educational Facilities Authority, Revenue 1/13 at 100.00 A1 5,914,105
Bonds, Thomas Jefferson University, Series 2002,
5.000%, 1/01/32
1,000 Pennsylvania Higher Educational Facilities Authority, Revenue 5/15 at 100.00 AAA 1,006,310
Bonds, University of Pennsylvania Sciences, Series 2005A,
4.750%, 11/01/33 - XLCA Insured
2,000 Pennsylvania Higher Educational Facilities Authority, Revenue 7/15 at 100.00 AA 2,090,260
Bonds, University of Pennsylvania, Series 2005C,
5.000%, 7/15/38
1,310 Pennsylvania Higher Educational Facilities Authority, Revenue 7/13 at 100.00 AA 1,405,565
Bonds, Ursinus College, Series 2003, 5.500%, 1/01/24 -
RAAI Insured
State Public School Building Authority, Pennsylvania, College
Revenue Bonds, Montgomery County Community College,
Series 2005:
1,545 5.000%, 5/01/18 - AMBAC Insured 5/15 at 100.00 Aaa 1,649,164
1,625 5.000%, 5/01/19 - AMBAC Insured 5/15 at 100.00 Aaa 1,728,984
750 Union County, Higher Education Facilities Financing Authority, 4/13 at 100.00 Aa2 813,382
Pennsylvania, Revenue Bonds, Bucknell University,
Series 2002A, 5.250%, 4/01/19
2,500 West Cornwall Township Municipal Authority, Pennsylvania, 12/11 at 100.00 BBB+ 2,675,025
College Revenue Bonds, Elizabethtown College Project,
Series 2001, 5.900%, 12/15/18
25 Wilkes-Barre General Municipal Authority, Pennsylvania, 6/06 at 100.00 N/R 25,080
College Revenue Refunding Bonds, College of Misericordia,
Series 1992B, 7.750%, 12/01/12
------------------------------------------------------------------------------------------------------------------------------------
41,195 Total Education and Civic Organizations 43,364,669
------------------------------------------------------------------------------------------------------------------------------------
53
Nuveen Pennsylvania Premium Income Municipal Fund 2 (NPY) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 17.7% (11.9% OF TOTAL INVESTMENTS)
$ 1,455 Allegheny County Hospital Development Authority, 4/15 at 100.00 Baa2 $ 1,465,971
Pennsylvania, Revenue Bonds, Ohio Valley General Hospital,
Series 2005A, 5.125%, 4/01/35
3,500 Allegheny County Hospital Development Authority, 5/06 at 102.00 AAA 3,599,400
Pennsylvania, Revenue Bonds, South Hills Health System,
Series 1996A, 5.875%, 5/01/26 - MBIA Insured
14,000 Allegheny County Hospital Development Authority, 4/07 at 102.00 AAA 14,593,175
Pennsylvania, Revenue Bonds, University of Pittsburgh
Medical Center System, Series 1997A, 5.625%, 4/01/27 -
MBIA Insured
1,230 Erie County Hospital Authority, Pennsylvania, Revenue Bonds, 11/12 at 100.00 AAA 1,315,780
Hamot Health Foundation, Series 2002, 5.250%, 11/01/16 -
AMBAC Insured
5,000 Lebanon County Health Facilities Authority, Pennsylvania, 11/12 at 101.00 BBB+ 5,360,350
Revenue Bonds, Good Samaritan Hospital Project, Series 2002,
5.900%, 11/15/28
2,425 Lehigh County General Purpose Authority, Pennsylvania, 8/13 at 100.00 Baa1 2,511,451
Hospital Revenue Bonds, St. Luke's Hospital of Bethlehem,
Series 2003, 5.375%, 8/15/33
1,250 Lehigh County General Purpose Authority, Pennsylvania, 11/14 at 100.00 A 1,320,163
Revenue Bonds, Good Shepherd Group, Series 2004A,
5.500%, 11/01/24
1,765 Pennsylvania Higher Educational Facilities Authority, Revenue 8/15 at 100.00 AAA 1,905,653
Bonds, University of Pennsylvania Health Services,
Series 2005B, 5.000%, 8/15/16 - FGIC Insured
Pottsville Hospital Authority, Pennsylvania, Hospital Revenue
Bonds, Pottsville Hospital and Warne Clinic, Series 1998:
2,000 5.500%, 7/01/18 7/08 at 100.00 BB+ 2,002,760
2,000 5.625%, 7/01/24 7/08 at 100.00 BB+ 1,987,500
Sayre Health Care Facility Authority, Pennsylvania, Revenue
Bonds, Latrobe Area Hospital, Series 2002A:
1,700 5.250%, 7/01/14 - AMBAC Insured 7/12 at 100.00 AAA 1,827,670
1,200 5.250%, 7/01/15 - AMBAC Insured 7/12 at 100.00 AAA 1,283,724
Southcentral Pennsylvania General Authority, Revenue Bonds,
Hanover Hospital Inc., Series 2005:
475 5.000%, 12/01/27 - RAAI Insured 12/15 at 100.00 AA 492,276
330 5.000%, 12/01/29 - RAAI Insured 12/15 at 100.00 AA 340,936
1,015 St. Mary Hospital Authority, Pennsylvania, Health System 11/14 at 100.00 A1 1,067,049
Revenue Bonds, Catholic Health East, Series 2004B,
5.375%, 11/15/34
------------------------------------------------------------------------------------------------------------------------------------
39,345 Total Health Care 41,073,858
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 3.1% (2.1% OF TOTAL INVESTMENTS)
4,345 Bucks County Redevelopment Authority, Pennsylvania, 2/06 at 100.00 Baa2 4,350,388
Section 8 Assisted Second Lien Multifamily Mortgage
Revenue Bonds, Country Commons Apartments, Series 1993A,
6.200%, 8/01/14 (Alternative Minimum Tax)
2,000 Delaware County Industrial Development Authority, 4/12 at 100.00 AAA 2,079,620
Pennsylvania, Multifamily Housing Revenue Bonds, Darby
Townhouses Project, Series 2002A, 5.500%, 4/01/32
(Mandatory put 4/01/22) (Alternative Minimum Tax)
740 Philadelphia Authority for Industrial Development, 5/15 at 102.00 Baa2 751,477
Pennsylvania, Multifamily Housing Revenue Bonds,
Presbyterian Homes Germantown - Morrisville Project,
Series 2005A, 5.625%, 7/01/35
------------------------------------------------------------------------------------------------------------------------------------
7,085 Total Housing/Multifamily 7,181,485
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 2.6% (1.7% OF TOTAL INVESTMENTS)
1,170 Allegheny County Residential Finance Authority, Pennsylvania, 11/10 at 100.00 Aaa 1,219,386
GNMA Mortgage-Backed Securities Program Single Family
Mortgage Revenue Bonds, Series 2000II-2, 5.900%, 11/01/32
(Alternative Minimum Tax)
1,120 Pennsylvania Housing Finance Agency, Single Family Mortgage No Opt. Call AA+ 1,138,346
Revenue Bonds, Series 1996-47, 6.750%, 10/01/06
(Alternative Minimum Tax)
1,645 Pennsylvania Housing Finance Agency, Single Family 10/07 at 101.50 AA+ 1,653,209
Mortgage Revenue Bonds, Series 1997-59A, 5.700%, 4/01/17
(Alternative Minimum Tax)
445 Pennsylvania Housing Finance Agency, Single Family Mortgage 6/08 at 101.50 AA+ 459,907
Revenue Bonds, Series 1998-62A, 5.500%, 10/01/22
(Alternative Minimum Tax)
54
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY (continued)
Pittsburgh Urban Redevelopment Authority, Pennsylvania,
Mortgage Revenue Bonds, Series 1997A:
$ 845 6.150%, 10/01/16 (Alternative Minimum Tax) 4/07 at 102.00 AAA $ 856,678
765 6.200%, 10/01/21 (Alternative Minimum Tax) 4/07 at 102.00 AAA 791,737
------------------------------------------------------------------------------------------------------------------------------------
5,990 Total Housing/Single Family 6,119,263
------------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS - 3.1% (2.1% OF TOTAL INVESTMENTS)
2,000 New Morgan Industrial Development Authority, Pennsylvania, 4/06 at 100.00 BB- 1,998,160
Solid Waste Disposal Revenue Bonds, New Morgan Landfill
Company Inc., Series 1994, 6.500%, 4/01/19 (Alternative
Minimum Tax)
2,000 Pennsylvania Economic Development Financing Authority, 5/11 at 101.00 A3 2,155,360
Exempt Facilities Revenue Bonds, Amtrak Project,
Series 2001A, 6.250%, 11/01/31 (Alternative Minimum Tax)
2,750 Pennsylvania Industrial Development Authority, Economic 7/12 at 101.00 AAA 3,031,133
Development Revenue Bonds, Series 2002, 5.500%, 7/01/17 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
6,750 Total Industrials 7,184,653
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 3.6% (2.4% OF TOTAL INVESTMENTS)
1,000 Cumberland County Municipal Authority, Pennsylvania, Revenue 12/12 at 100.00 AA 1,025,230
Bonds, Presbyterian Homes Inc., Series 2003A,
5.000%, 12/01/22 - RAAI Insured
Pennsylvania Economic Development Financing Authority,
Revenue Bonds, Dr. Gertrude A. Barber Center Inc., Series 2000:
1,000 6.150%, 12/01/20 - RAAI Insured 2/06 at 100.00 AA 1,002,050
2,000 5.900%, 12/01/30 - RAAI Insured 12/10 at 100.00 AA 2,152,840
1,230 Pennsylvania Economic Development Financing Authority, 6/08 at 100.00 BB+ 1,093,495
Revenue Bonds, Northwestern Human Services Inc.,
Series 1998A, 5.250%, 6/01/28
Philadelphia Authority for Industrial Development, Pennsylvania,
Health Care Facilities Revenue Bonds, Paul's Run, Series 1998A:
1,350 5.750%, 5/15/18 5/08 at 102.00 N/R 1,371,249
1,650 5.875%, 5/15/28 5/08 at 102.00 N/R 1,682,637
------------------------------------------------------------------------------------------------------------------------------------
8,230 Total Long-Term Care 8,327,501
------------------------------------------------------------------------------------------------------------------------------------
MATERIALS - 2.8% (1.9% OF TOTAL INVESTMENTS)
1,190 Bradford County Industrial Development Authority, Pennsylvania, 12/15 at 100.00 BBB 1,198,663
Solid Waste Disposal Revenue Bonds, International Paper
Company, Series 2005B, 5.200%, 12/01/19 (WI/DD,
Settling 1/03/06) (Alternative Minimum Tax)
500 Erie County Industrial Development Authority, Pennsylvania, 9/10 at 101.00 BBB 526,445
Environmental Improvement Revenue Refunding Bonds,
Series 2000B, 6.000%, 9/01/16 (Alternative Minimum Tax)
4,500 Pennsylvania Economic Development Financing Authority, 11/08 at 102.00 N/R 4,768,110
Exempt Facilities Revenue Bonds, National Gypsum Company,
Series 1997B, 6.125%, 11/01/27 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
6,190 Total Materials 6,493,218
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 25.2% (16.9% OF TOTAL INVESTMENTS)
3,695 Allegheny County, Pennsylvania, General Obligation Bonds, No Opt. Call AAA 4,076,546
Series 2005C-57, 5.250%, 11/01/13 - FGIC Insured
1,200 Butler County, Pennsylvania, General Obligation Bonds, 7/14 at 100.00 AAA 1,296,816
Series 2004, 5.000%, 7/15/16 - FGIC Insured
2,120 Central Bucks County School District, Pennsylvania, General 5/13 at 100.00 Aaa 2,246,924
Obligation Bonds, Series 2003, 5.000%, 5/15/23 - MBIA Insured
3,325 Cumberland Valley School District, Cumberland County, 11/15 at 100.00 Aaa 3,613,444
Pennsylvania, General Obligation Bonds, Series 2005,
5.000%, 11/15/16 - FSA Insured
2,315 Delaware County, Pennsylvania, General Obligation Bonds, 10/15 at 100.00 AA 2,483,856
Series 2005, 5.000%, 10/01/20
Harrisburg Redevelopment Authority, Dauphin County,
Pennsylvania, Guaranteed Revenue Bonds, Series 1998B:
1,750 0.000%, 5/01/22 - FSA Insured 5/16 at 75.56 AAA 808,920
2,750 0.000%, 11/01/22 - FSA Insured 5/16 at 73.64 AAA 1,238,738
2,750 0.000%, 5/01/23 - FSA Insured 5/16 at 71.71 AAA 1,199,385
55
Nuveen Pennsylvania Premium Income Municipal Fund 2 (NPY) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL (continued)
$ 2,080 Meadville, Crawford County, Pennsylvania, General Obligation 10/15 at 100.00 Aaa $ 2,187,245
Bonds, Series 2005, 5.000%, 10/01/25 - XLCA Insured
1,000 New Castle Area School District, Lawrence County, 3/10 at 100.00 AAA 1,075,980
Pennsylvania, General Obligation Bonds, Series 2000,
5.600%, 3/01/25 - MBIA Insured
Norristown Area School District, Montgomery County,
Pennsylvania, General Obligation Bonds, Series 2003:
1,000 5.000%, 9/01/19 - FGIC Insured 3/13 at 100.00 Aaa 1,066,880
1,000 5.000%, 9/01/20 - FGIC Insured 3/13 at 100.00 Aaa 1,064,440
1,735 5.000%, 9/01/21 - FGIC Insured 3/13 at 100.00 Aaa 1,844,010
2,000 5.000%, 9/01/22 - FGIC Insured 3/13 at 100.00 Aaa 2,123,620
2,270 5.000%, 9/01/23 - FGIC Insured 3/13 at 100.00 Aaa 2,407,244
2,600 5.000%, 9/01/24 - FGIC Insured 3/13 at 100.00 Aaa 2,756,052
1,110 North Hills School District, Allegheny County, Pennsylvania, 12/15 at 100.00 AAA 1,192,395
General Obligation Bonds, Series 2005, 5.000%, 12/15/20 -
FSA Insured
1,900 Pennsylvania, General Obligation Bonds, Second 1/16 at 100.00 AA 2,052,931
Series 2005, 5.000%, 1/01/19
Philadelphia, Pennsylvania, General Obligation Bonds,
Series 2003A:
1,000 5.000%, 2/15/12 - XLCA Insured No Opt. Call AAA 1,069,210
2,000 5.250%, 2/15/13 - XLCA Insured No Opt. Call AAA 2,176,180
1,000 Pittsburgh School District, Allegheny County, Pennsylvania, No Opt. Call AAA 1,120,670
General Obligation Refunding Bonds, Series 2002A,
5.500%, 9/01/14 - FSA Insured
3,300 Pocono Mountain School District, Monroe County, Pennsylvania, 2/13 at 100.00 Aaa 3,537,765
General Obligation Bonds, Series 2003, 5.000%, 2/15/15 -
FGIC Insured
State Public School Building Authority, Berkes County,
Pennsylvania, School Revenue Bonds, Brandywine Heights Area
School District, Series 2003:
2,930 5.000%, 2/01/20 - FGIC Insured 2/13 at 100.00 Aaa 3,113,594
1,955 5.000%, 2/01/21 - FGIC Insured 2/13 at 100.00 Aaa 2,074,646
4,050 State Public School Building Authority, Pennsylvania, Lease 6/13 at 100.00 AAA 4,190,576
Revenue Bonds, Philadelphia School District, Series 2003,
5.000%, 6/01/33 - FSA Insured
State Public School Building Authority, Pennsylvania, School
Revenue Bonds, Conneaut School District, Series 2003:
360 5.250%, 11/01/21 - FGIC Insured 11/13 at 100.00 AAA 392,018
490 5.250%, 11/01/22 - FGIC Insured 11/13 at 100.00 AAA 533,581
2,550 State Public School Building Authority, Pennsylvania, School 5/13 at 100.00 Aaa 2,451,596
Revenue Bonds, York City School District, Series 2003,
4.000%, 5/01/21 - FSA Insured
1,535 Stroudsburg Area School District, Monroe County, Pennsylvania, 4/12 at 100.00 AAA 1,632,611
General Obligation Bonds, Series 2001A, 5.000%, 4/01/19 -
FSA Insured
1,400 Woodland Hills School District, Allegheny County, Pennsylvania, 9/15 at 100.00 AAA 1,513,848
General Obligation Bonds, Series 2005D, 5.000%, 9/01/17 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
59,170 Total Tax Obligation/General 58,541,721
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 13.5% (9.1% OF TOTAL INVESTMENTS)
4,060 Delaware Valley Regional Finance Authority, Pennsylvania, Local 4/06 at 100.00 AAA 4,090,653
Government Revenue Bonds, Series 1996A, 6.000%, 4/15/26 -
AMBAC Insured
1,500 Erie County Convention Center Authority, Pennsylvania, 1/15 at 100.00 AAA 1,564,695
Convention Center Revenue Bonds, Series 2005,
5.000%, 1/15/36 - FGIC Insured
Pennsylvania Turnpike Commission, Oil Franchise Tax Senior
Lien Revenue Bonds, Series 2003A:
1,000 5.250%, 12/01/14 - MBIA Insured 12/13 at 100.00 AAA 1,099,910
1,000 5.250%, 12/01/15 - MBIA Insured 12/13 at 100.00 AAA 1,094,750
2,400 5.250%, 12/01/17 - MBIA Insured 12/13 at 100.00 AAA 2,620,560
2,000 5.250%, 12/01/18 - MBIA Insured 12/13 at 100.00 AAA 2,180,960
1,000 5.250%, 12/01/19 - MBIA Insured 12/13 at 100.00 AAA 1,089,770
2,000 Pennsylvania Turnpike Commission, Oil Franchise Tax Subordinate 12/13 at 100.00 AAA 2,180,960
Lien Revenue Bonds, Series 2003B, 5.250%, 12/01/18 -
MBIA Insured
56
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED (continued)
$ 1,700 Pennsylvania Turnpike Commission, Registration Fee Revenue No Opt. Call AAA $ 1,896,639
Bonds, Series 2005A, 5.250%, 7/15/16 - FSA Insured
7,015 Philadelphia Municipal Authority, Pennsylvania, Lease Revenue 11/13 at 100.00 AAA 7,522,675
Bonds, Series 2003B, 5.250%, 11/15/17 - FSA Insured
2,405 Puerto Rico, Highway Revenue Bonds, Highway and No Opt. Call AAA 2,771,763
Transportation Authority, Series 2003AA, 5.500%, 7/01/19 -
MBIA Insured
1,000 Southeastern Transportation Authority, Pennsylvania, Special 3/09 at 101.00 AAA 1,058,970
Revenue Bonds, Series 1999A, 5.250%, 3/01/16 - FGIC Insured
York County School of Technology Authority, Pennsylvania,
Lease Revenue Bonds, Series 2003:
1,000 5.375%, 2/15/20 - FGIC Insured 2/13 at 100.00 Aaa 1,088,350
1,000 5.500%, 2/15/22 - FGIC Insured 2/13 at 100.00 Aaa 1,096,040
------------------------------------------------------------------------------------------------------------------------------------
29,080 Total Tax Obligation/Limited 31,356,695
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 18.2% (12.2% OF TOTAL INVESTMENTS)
2,300 Allegheny County, Pennsylvania, Airport Revenue Refunding 1/08 at 101.00 AAA 2,376,452
Bonds, Pittsburgh International Airport, Series 1997A,
5.250%, 1/01/16 - MBIA Insured (Alternative Minimum Tax)
650 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 698,731
and New Jersey, Revenue Bonds, Series 2003, 5.250%, 7/01/17
4,600 Pennsylvania Economic Development Financing Authority, 6/12 at 102.00 A 4,930,740
Revenue Bonds, Amtrak 30th Street Station Parking Garage,
Series 2002, 5.875%, 6/01/33 - ACA Insured (Alternative
Minimum Tax)
3,800 Pennsylvania Turnpike Commission, Registration Fee Revenue No Opt. Call AAA 4,286,476
Bonds, Series 2005A, 5.250%, 7/15/19 - FSA Insured
3,575 Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, 12/11 at 101.00 AAA 3,723,649
Series 2001R, 5.000%, 12/01/30 - AMBAC Insured
10,000 Philadelphia Authority for Industrial Development, Pennsylvania, 7/11 at 101.00 AAA 10,322,099
Airport Revenue Bonds, Philadelphia Airport System Project,
Series 2001A, 5.250%, 7/01/28 - FGIC Insured (Alternative
Minimum Tax)
6,525 Pittsburgh and Allegheny County Sports and Exhibition 12/06 at 100.00 Aaa 6,627,247
Authority, Pennsylvania, Parking Revenue Bonds,
Series 2001A, 5.350%, 12/01/26 - AMBAC Insured
2,355 Scranton Parking Authority, Pennsylvania, Guaranteed Parking 9/13 at 100.00 AAA 2,447,151
Revenue Bonds, Series 2004, 5.000%, 9/15/33 - FGIC Insured
6,700 Susquehanna Area Regional Airport Authority, Pennsylvania, 1/13 at 100.00 Aaa 6,921,636
Airport System Revenue Bonds, Series 2003B,
5.000%, 1/01/33 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
40,505 Total Transportation 42,334,181
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 9.3% (6.3% OF TOTAL INVESTMENTS)
1,695 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/10 at 101.00 AAA 1,853,025
Revenue Bonds, Series 2000, 5.500%, 12/01/30 (Pre-refunded
12/01/10) - MBIA Insured
Butler County, Pennsylvania, General Obligation Bonds,
Series 2003:
1,000 5.250%, 7/15/19 (Pre-refunded 7/15/13) - FGIC Insured 7/13 at 100.00 AAA 1,102,700
1,000 5.250%, 7/15/21 (Pre-refunded 7/15/13) - FGIC Insured 7/13 at 100.00 AAA 1,102,700
1,200 5.250%, 7/15/23 (Pre-refunded 7/15/13) - FGIC Insured 7/13 at 100.00 AAA 1,323,240
850 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 (4) 931,838
and New Jersey, Revenue Bonds, Series 2003,
5.250%, 7/01/17 (Pre-refunded 7/01/13)
2,110 Fayette County, Pennsylvania, General Obligation Bonds, 11/10 at 100.00 AAA 2,314,206
Series 2000, 5.625%, 11/15/28 (Pre-refunded 11/15/10) -
AMBAC Insured
985 Moon Area School District, Allegheny County, Pennsylvania, No Opt. Call AAA 1,074,083
General Obligation Bonds, Series 2004, 5.250%, 11/15/12 -
FSA Insured
1,225 Pennsylvania Higher Educational Facilities Authority, College No Opt. Call Aaa 1,424,344
Revenue Bonds, Ninth Series 1976, 7.625%, 7/01/15
57
Nuveen Pennsylvania Premium Income Municipal Fund 2 (NPY) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) (continued)
Philadelphia Hospitals and Higher Education Facilities
Authority, Pennsylvania, Hospital Revenue Bonds, Presbyterian
Medical Center of Philadelphia, Series 1993:
$ 1,000 6.500%, 12/01/11 No Opt. Call AAA $ 1,106,490
3,740 6.650%, 12/01/19 No Opt. Call AAA 4,544,885
State Public School Building Authority, Pennsylvania, School
Revenue Bonds, Conneaut School District, Series 2003:
640 5.250%, 11/01/21 (Pre-refunded 11/01/13) - FGIC Insured 11/13 at 100.00 AAA 707,142
865 5.250%, 11/01/22 (Pre-refunded 11/01/13) - FGIC Insured 11/13 at 100.00 AAA 955,747
1,650 West View Borough Municipal Authority, Allegheny County, No Opt. Call AAA 2,124,012
Pennsylvania, Special Obligation Bonds, Series 1985A,
9.500%, 11/15/14
1,000 Wilkes-Barre Area School District, Luzerne County, 4/14 at 100.00 AAA 1,105,940
Pennsylvania, General Obligation Bonds, Series 2003A,
5.250%, 4/01/19 (Pre-refunded 4/01/14) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
18,960 Total U.S. Guaranteed 21,670,352
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 16.3% (10.9% OF TOTAL INVESTMENTS)
1,125 Allegheny County Industrial Development Authority, No Opt. Call AAA 1,167,953
Pennsylvania, Pollution Control Revenue Refunding Bonds,
Duquesne Light Company, Series 1999A, 4.350%, 12/01/13 -
AMBAC Insured
8,000 Beaver County Industrial Development Authority, Pennsylvania, 6/08 at 102.00 AAA 8,340,799
Exempt Facilities Revenue Bonds, Shippingport Project,
Series 1998A, 5.375%, 6/01/28 - AMBAC Insured (Alternative
Minimum Tax)
3,150 Carbon County Industrial Development Authority, Pennsylvania, No Opt. Call BBB- 3,383,825
Resource Recovery Revenue Refunding Bonds, Panther Creek
Partners Project, Series 2000, 6.650%, 5/01/10 (Alternative
Minimum Tax)
7,590 Indiana County Industrial Development Authority, Pennsylvania, 5/07 at 102.00 AAA 7,951,663
Pollution Control Revenue Bonds, Metropolitan Edison
Company, Series 1997A, 5.950%, 5/01/27 - AMBAC Insured
(Alternative Minimum Tax)
2,000 Indiana County Industrial Development Authority, Pennsylvania, 6/12 at 101.00 Baa1 2,102,240
Pollution Control Revenue Refunding Bonds, PSEG Power LLC,
Series 2001A, 5.850%, 6/01/27 (Alternative Minimum Tax)
2,150 Lehigh County Industrial Development Authority, Pennsylvania, 2/15 at 100.00 AAA 2,193,796
Pollution Control Revenue Bonds, Pennsylvania Power and
Light Company, Series 2005, 4.750%, 2/15/27 - FGIC Insured
1,530 Montgomery County Industrial Development Authority, No Opt. Call AAA 1,676,008
Pennsylvania, Resource Recovery Revenue Refunding Bonds,
Montgomery County Montenay Project, Series 2002A,
5.250%, 11/01/13 - MBIA Insured
745 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, No Opt. Call AAA 800,473
Eighteenth Series 2004, 5.000%, 8/01/13 - AGC Insured
700 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 9/14 at 100.00 AAA 728,679
General Ordinance, Fifth Series 2004A-1, 5.000%, 9/01/26 -
FSA Insured
5,750 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 7/09 at 101.00 AAA 5,975,170
General Ordinance, Second Series 1999, 5.000%, 7/01/29 -
FSA Insured
1,000 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 7/13 at 100.00 AAA 1,078,620
General Ordinance, Seventeenth Series 2003,
5.375%, 7/01/19 - FSA Insured
2,240 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 7/09 at 101.00 AAA 2,399,040
General Ordinance, Sixteenth Series 1999, 5.500%, 7/01/13 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
35,980 Total Utilities 37,798,266
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 14.5% (9.7% OF TOTAL INVESTMENTS)
305 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/10 at 101.00 AAA 329,906
Revenue Bonds, Series 2000, 5.500%, 12/01/30 -
MBIA Insured
1,000 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/11 at 101.00 AAA 1,095,830
Revenue Refunding Bonds, Series 2001, 5.375%, 12/01/13 -
MBIA Insured
2,500 Bethlehem Authority, Northhampton and Lehigh Counties, 11/14 at 100.00 AAA 2,670,650
Pennsylvania, Guaranteed Water Revenue Bonds, Series 2004,
5.000%, 11/15/20 - FSA Insured
4,000 Bucks County Industrial Development Authority, Pennsylvania, 3/12 at 100.00 AAA 4,223,600
Water Facility Revenue Bonds, Pennsylvania Suburban Water
Company, Series 2002, 5.550%, 9/01/32 - FGIC Insured
(Alternative Minimum Tax)
58
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER (continued)
Bucks County Water and Sewerage Authority, Pennsylvania,
Sewerage System Revenue Bonds, Neshaminy Interceptor
Project, Series 2004:
$ 605 5.250%, 6/01/14 - FSA Insured No Opt. Call AAA $ 669,433
485 5.250%, 6/01/15 - FSA Insured No Opt. Call AAA 538,205
1,615 Delaware County Regional Water Quality Control Authority, 5/14 at 100.00 Aaa 1,746,703
Pennsylvania, Sewerage Revenue Bonds, Series 2004,
5.250%, 5/01/23 - MBIA Insured
2,000 Harrisburg Authority, Dauphin County, Pennsylvania, Water 7/14 at 100.00 AAA 2,113,080
Revenue Refunding Bonds, Series 2004, 5.000%, 7/15/22 -
FSA Insured
1,315 Lancaster Area Sewerage Authority, Pennsylvania, Sewerage 4/14 at 100.00 AAA 1,394,715
Revenue Bonds, Series 2004, 5.000%, 4/01/21 - MBIA Insured
3,870 Lancaster Area Sewerage Authority, Pennsylvania, Sewerage 4/15 at 100.00 AAA 4,175,924
Revenue Bonds, Series 2005, 5.000%, 4/01/17 - FGIC Insured
3,360 Mercer County Industrial Development Authority, Pennsylvania, 7/10 at 100.00 AAA 3,627,926
Water Facility Revenue Bonds, Consumers Water Company,
Shenango Valley Division Project, Series 2000,
6.000%, 7/01/30 - MBIA Insured (Alternative Minimum Tax)
Norristown Municipal Waste Authority, Pennsylvania, Sewer
Revenue Bonds, Series 2003:
1,140 5.125%, 11/15/22 - FGIC Insured 11/13 at 100.00 Aaa 1,208,309
2,535 5.125%, 11/15/23 - FGIC Insured 11/13 at 100.00 Aaa 2,681,827
2,730 Philadelphia, Pennsylvania, Water and Wastewater Revenue No Opt. Call AAA 3,050,338
Bonds, Series 1995, 6.250%, 8/01/10 - MBIA Insured
2,000 Philadelphia, Pennsylvania, Water and Wastewater Revenue 7/15 at 100.00 AAA 2,115,460
Bonds, Series 2005A, 5.000%, 7/01/23 - FSA Insured
2,000 Unity Township Municipal Authority, Pennsylvania, Sewerage 12/14 at 100.00 AAA 2,088,420
Revenue Bonds, Series 2004, 5.000%, 12/01/34 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
31,460 Total Water and Sewer 33,730,326
------------------------------------------------------------------------------------------------------------------------------------
$ 329,940 Total Long-Term Investments (cost $329,776,649) - 148.5% 345,176,188
=============-----------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.4% (0.3% OF TOTAL INVESTMENTS)
1,000 Puerto Rico Government Development Bank, Adjustable No Opt. Call VMIG-1 1,000,000
Refunding Bonds, Variable Rate Demand Obligations,
Series 1985, 3.400%, 12/01/15 - MBIA Insured (5)
------------------------------------------------------------------------------------------------------------------------------------
$ 1,000 Total Short-Term Investments (cost $1,000,000) 1,000,000
=============-----------------------------------------------------------------------------------------------------------------------
Total Investments (cost $330,776,649) - 148.9% 346,176,188
--------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.9% 4,451,953
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (50.8)% (118,100,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 232,528,141
====================================================================================================================
(1) All percentages shown in the Portfolio of Investments
are based on net assets applicable to Common shares unl
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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
(5) Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term investment. The rate disclosed is that in
effect at the end of the reporting period. This rate
changes periodically based on market conditions or a
specified market index.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
59
Nuveen Pennsylvania Dividend Advantage Municipal Fund (NXM)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 2.2% (1.6% OF TOTAL INVESTMENTS)
$ 1,000 Pennsylvania Economic Development Financing Authority, No Opt. Call AA- $ 1,109,200
Solid Waste Disposal Revenue Bonds, Procter & Gamble
Paper Project, Series 2001, 5.375%, 3/01/31 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 30.4% (20.6% OF TOTAL INVESTMENTS)
125 Allegheny County Higher Education Building Authority, 2/06 at 102.00 Baa3 127,848
Pennsylvania, College Revenue Bonds, Robert Morris College,
Series 1996A, 6.250%, 2/15/26
100 Allegheny County Higher Education Building Authority, No Opt. Call Baa3 112,124
Pennsylvania, College Revenue Refunding Bonds, Robert
Morris College, Series 1998A, 6.000%, 5/01/28
2,250 Bucks County Industrial Development Authority, Pennsylvania, 9/11 at 100.00 Aaa 2,338,313
Revenue Bonds, George School Project, Series 2001,
5.125%, 9/15/31 - AMBAC Insured
700 Chester County Health and Education Facilities Authority, 10/15 at 102.00 N/R 702,044
Pennsylvania, Revenue Bonds, Immaculata University,
Series 2005, 5.500%, 10/15/25
1,000 Delaware County Authority, Pennsylvania, College Revenue 10/11 at 100.00 BBB- 1,050,640
Refunding Bonds, Neumann College, Series 2001,
6.000%, 10/01/31
1,310 Delaware County Authority, Pennsylvania, Revenue Refunding 8/13 at 100.00 AAA 1,427,821
Bonds, Villanova University, Series 2003, 5.250%, 8/01/16 -
FGIC Insured
1,000 Montgomery County Industrial Development Authority, 8/15 at 100.00 Aaa 1,055,860
Pennsylvania, Revenue Bonds, Hill School, Series 2005,
5.000%, 8/15/27 - MBIA Insured
1,000 Pennsylvania Higher Educational Facilities Authority, General 6/12 at 100.00 Aaa 1,065,010
Revenue Bonds, State System of Higher Education,
Series 2002W, 5.000%, 6/15/19 - AMBAC Insured
1,500 Pennsylvania Higher Educational Facilities Authority, Revenue 7/11 at 100.00 AA 1,560,390
Bonds, Moravian College, Series 2001, 5.375%, 7/01/31 -
RAAI Insured
1,090 Pennsylvania Higher Educational Facilities Authority, Revenue 1/13 at 100.00 A1 1,178,628
Bonds, Thomas Jefferson University, Series 2002,
5.500%, 1/01/16
3,000 Pennsylvania State University, General Obligation Refunding No Opt. Call AA 3,323,040
Bonds, Series 2002, 5.250%, 8/15/14
470 Philadelphia Authority for Industrial Development, Pennsylvania, 1/13 at 102.00 BBB- 467,208
Revenue Bonds, Leadership Learning Partners, Series 2005A,
5.375%, 7/01/36
1,000 West Cornwall Township Municipal Authority, Pennsylvania, 12/11 at 100.00 BBB+ 1,062,850
College Revenue Bonds, Elizabethtown College Project,
Series 2001, 6.000%, 12/15/27
------------------------------------------------------------------------------------------------------------------------------------
14,545 Total Education and Civic Organizations 15,471,776
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 19.5% (13.3% OF TOTAL INVESTMENTS)
260 Allegheny County Hospital Development Authority, 4/15 at 100.00 Baa2 261,960
Pennsylvania, Revenue Bonds, Ohio Valley General Hospital,
Series 2005A, 5.125%, 4/01/35
400 Allegheny County Hospital Development Authority, 11/10 at 102.00 Ba3 476,288
Pennsylvania, Revenue Bonds, West Penn Allegheny
Health System, Series 2000B, 9.250%, 11/15/30
700 Allentown Area Hospital Authority, Pennsylvania, Revenue No Opt. Call BB+ 701,106
Bonds, Sacred Heart Hospital, Series 2005, 6.000%, 11/15/16
2,500 Chester County Health and Educational Facilities Authority, 5/08 at 101.00 AA- 2,592,575
Pennsylvania, Health System Revenue Bonds, Jefferson
Health System, Series 1997B, 5.375%, 5/15/27
100 Jeannette Health Services Authority, Pennsylvania, Hospital 11/06 at 102.00 BB- 99,636
Revenue Bonds, Jeannette District Memorial Hospital,
Series 1996A, 6.000%, 11/01/18
600 Lehigh County General Purpose Authority, Pennsylvania, 8/13 at 100.00 Baa1 621,390
Hospital Revenue Bonds, St. Luke's Hospital of Bethlehem,
Series 2003, 5.375%, 8/15/33
250 Lehigh County General Purpose Authority, Pennsylvania, Revenue 11/14 at 100.00 A 264,033
Bonds, Good Shepherd Group, Series 2004A, 5.500%, 11/01/24
60
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (continued)
$ 465 Pennsylvania Higher Educational Facilities Authority, Revenue 8/15 at 100.00 AAA $ 502,056
Bonds, University of Pennsylvania Health Services,
Series 2005B, 5.000%, 8/15/16 - FGIC Insured
2,150 Pennsylvania Higher Educational Facilities Authority, Revenue 1/11 at 101.00 Aa3 2,336,986
Bonds, UPMC Health System, Series 2001A, 6.000%, 1/15/31
70 Philadelphia Hospitals and Higher Education Facilities Authority, 11/23 at 100.00 BBB 70,476
Pennsylvania, Hospital Revenue Bonds, Temple University
Hospital, Series 1993A, 6.625%, 11/15/23
170 St. Mary Hospital Authority, Pennsylvania, Health System 11/14 at 100.00 A1 178,718
Revenue Bonds, Catholic Health East, Series 2004B,
5.375%, 11/15/34
1,000 Washington County Hospital Authority, Pennsylvania, Revenue 6/12 at 101.00 A3 1,068,060
Bonds, Monongahela Valley Hospital Project, Series 2002,
5.500%, 6/01/17
750 West Shore Area Hospital Authority, Cumberland County, 1/12 at 100.00 BBB 808,770
Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital
of the Sisters of Christian Charity Project, Series 2001,
6.250%, 1/01/32
------------------------------------------------------------------------------------------------------------------------------------
9,415 Total Health Care 9,982,054
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 0.2% (0.1% OF TOTAL INVESTMENTS)
100 Philadelphia Authority for Industrial Development, Pennsylvania, 5/15 at 102.00 Baa2 101,551
Multifamily Housing Revenue Bonds, Presbyterian Homes
Germantown - Morrisville Project, Series 2005A,
5.625%, 7/01/35
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 3.4% (2.3% OF TOTAL INVESTMENTS)
1,700 Allegheny County Residential Finance Authority, Pennsylvania, 11/08 at 102.00 Aaa 1,740,426
GNMA Mortgage-Backed Securities Program Single Family
Mortgage Revenue Bonds, Series 1998DD-2, 5.400%, 11/01/29
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS - 6.9% (4.7% OF TOTAL INVESTMENTS)
2,000 Pennsylvania Economic Development Financing Authority, 5/11 at 101.00 A3 2,155,360
Exempt Facilities Revenue Bonds, Amtrak Project,
Series 2001A, 6.250%, 11/01/31 (Alternative Minimum Tax)
1,250 Pennsylvania Industrial Development Authority, Economic 7/12 at 101.00 AAA 1,377,788
Development Revenue Bonds, Series 2002,
5.500%, 7/01/17 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
3,250 Total Industrials 3,533,148
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 13.5% (9.2% OF TOTAL INVESTMENTS)
1,000 Cumberland County Municipal Authority, Pennsylvania, 1/13 at 101.00 N/R 1,096,200
Retirement Community Revenue Bonds, Wesley Affiliated
Services Inc., Series 2002A, 7.125%, 1/01/25
2,100 Lancaster County Hospital Authority, Pennsylvania, Health 12/11 at 100.00 A- 2,215,038
Center Revenue Bonds, Willow Valley Retirement Communities
Project, Series 2001, 5.875%, 6/01/31
285 Lebanon County Health Facilities Authority, Pennsylvania, 12/14 at 100.00 N/R 286,385
Health Center Revenue Bonds, Pleasant View Retirement
Community, Series 2005A, 5.300%, 12/15/26
Pennsylvania Economic Development Financing Authority,
Revenue Bonds, Northwestern Human Services Inc., Series 1998A:
240 5.250%, 6/01/14 6/08 at 100.00 BB+ 237,259
50 5.125%, 6/01/18 6/08 at 100.00 BB+ 46,661
2,875 Philadelphia Authority for Industrial Development, 7/11 at 101.00 AAA 3,011,591
Pennsylvania, Revenue Bonds, Philadelphia Corporation for
the Aging Project, Series 2001B, 5.250%, 7/01/31 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
6,550 Total Long-Term Care 6,893,134
------------------------------------------------------------------------------------------------------------------------------------
MATERIALS - 4.2% (2.9% OF TOTAL INVESTMENTS)
350 Allegheny County Industrial Development Authority, No Opt. Call BB 354,995
Pennsylvania, Revenue Bonds, United States Steel
Corporation, Series 2005, 5.500%, 11/01/16
210 Bradford County Industrial Development Authority, 12/15 at 100.00 BBB 211,529
Pennsylvania, Solid Waste Disposal Revenue Bonds,
International Paper Company, Series 2005B,
5.200%, 12/01/19 (WI/DD, Settling 1/03/06)
(Alternative Minimum Tax)
750 Bucks County Industrial Development Authority, Pennsylvania, 11/17 at 100.00 BBB+ 806,558
Environmental Improvement Revenue Bonds, USX
Corporation Project, Series 1995, 5.400%, 11/01/17
(Mandatory put 11/01/11)
61
Nuveen Pennsylvania Dividend Advantage Municipal Fund (NXM) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MATERIALS (continued)
$ 750 Pennsylvania Economic Development Financing Authority, 11/08 at 102.00 N/R $ 794,685
Exempt Facilities Revenue Bonds, National Gypsum
Company, Series 1997B, 6.125%, 11/01/27 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
2,060 Total Materials 2,167,767
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 19.7% (13.4% OF TOTAL INVESTMENTS)
1,000 Allegheny County, Pennsylvania, General Obligation Bonds, No Opt. Call AAA 1,103,260
Series 2005C-57, 5.250%, 11/01/13 - FGIC Insured
2,415 Bucks County, Pennsylvania, Central Bucks School District, 5/12 at 100.00 Aaa 2,638,967
General Obligation Bonds, Series 2002, 5.500%, 5/15/18 -
FGIC Insured
750 Luzerne County, Pennsylvania, General Obligation Bonds, 5/13 at 100.00 Aaa 815,820
Series 2003A, 5.250%, 11/15/16 - MBIA Insured
2,000 Pennsylvania, General Obligation Bonds, Second 9/11 at 101.00 AA 2,149,880
Series 2001, 5.000%, 9/15/13
3,000 Pittsburgh School District, Allegheny County, Pennsylvania, No Opt. Call AAA 3,362,006
General Obligation Refunding Bonds, Series 2002A,
5.500%, 9/01/14 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
9,165 Total Tax Obligation/General 10,069,933
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 10.0% (6.8% OF TOTAL INVESTMENTS)
1,000 Allegheny County Redevelopment Authority, Pennsylvania, No Opt. Call N/R 1,045,650
TIF Revenue Bonds, Pittsburg Mills Project, Series 2004,
5.600%, 7/01/23
1,000 Pennsylvania Turnpike Commission, Oil Franchise Tax Senior 12/13 at 100.00 AAA 1,094,750
Lien Revenue Bonds, Series 2003A, 5.250%, 12/01/15 -
MBIA Insured
1,000 Philadelphia Municipal Authority, Pennsylvania, Lease Revenue 11/13 at 100.00 AAA 1,072,370
Bonds, Series 2003B, 5.250%, 11/15/17 - FSA Insured
1,500 Philadelphia Redevelopment Authority, Pennsylvania, Revenue 4/12 at 100.00 AAA 1,628,745
Bonds, Philadelphia Neighborhood Transformation Initiative,
Series 2002A, 5.500%, 4/15/19 - FGIC Insured
250 Southeastern Transportation Authority, Pennsylvania, Special 3/09 at 101.00 AAA 264,743
Revenue Bonds, Series 1999A, 5.250%, 3/01/16 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
4,750 Total Tax Obligation/Limited 5,106,258
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 12.5% (8.5% OF TOTAL INVESTMENTS)
130 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 139,746
and New Jersey, Revenue Bonds, Series 2003,
5.250%, 7/01/17
1,000 Pennsylvania Economic Development Financing Authority, 6/12 at 102.00 A 1,071,900
Revenue Bonds, Amtrak 30th Street Station Parking Garage,
Series 2002, 5.875%, 6/01/33 - ACA Insured (Alternative
Minimum Tax)
1,000 Pennsylvania Turnpike Commission, Registration Fee Revenue No Opt. Call AAA 1,122,840
Bonds, Series 2005A, 5.250%, 7/15/18 - FSA Insured
1,750 Philadelphia Authority for Industrial Development, 7/11 at 101.00 AAA 1,806,368
Pennsylvania, Airport Revenue Bonds, Philadelphia Airport
System Project, Series 2001A, 5.250%, 7/01/28 - FGIC
Insured (Alternative Minimum Tax)
2,210 Pittsburgh and Allegheny County Sports and Exhibition 12/06 at 100.00 Aaa 2,245,117
Authority, Pennsylvania, Parking Revenue Bonds,
Series 2001A, 5.375%, 12/01/30 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
6,090 Total Transportation 6,385,971
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 9.2% (6.3% OF TOTAL INVESTMENTS)
170 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 (4) 186,368
and New Jersey, Revenue Bonds, Series 2003,
5.250%, 7/01/17 (Pre-refunded 7/01/13)
250 Moon Area School District, Allegheny County, Pennsylvania, No Opt. Call AAA 274,373
General Obligation Bonds, Series 2004, 5.250%, 11/15/13 -
FSA Insured
1,105 Oxford Area School District, Chester County, Pennsylvania, 2/12 at 100.00 AAA 1,220,395
General Obligation Bonds, Series 2001A, 5.500%, 2/15/17
(Pre-refunded 2/15/12) - FGIC Insured
185 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, No Opt. Call AAA 223,323
Twelfth Series 1990B, 7.000%, 5/15/20 - MBIA Insured
2,500 Philadelphia School District, Pennsylvania, General Obligation 8/12 at 100.00 AAA 2,792,075
Bonds, Series 2002B, 5.625%, 8/01/18 (Pre-refunded 8/01/12) -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
4,210 Total U.S. Guaranteed 4,696,534
------------------------------------------------------------------------------------------------------------------------------------
62
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 12.8% (8.7% OF TOTAL INVESTMENTS)
$ 500 Allegheny County Industrial Development Authority, No Opt. Call AAA $ 519,090
Pennsylvania, Pollution Control Revenue Refunding Bonds,
Duquesne Light Company, Series 1999A, 4.350%, 12/01/13 -
AMBAC Insured
3,100 Montgomery County Industrial Development Authority, No Opt. Call AAA 3,301,531
Pennsylvania, Resource Recovery Revenue Refunding Bonds,
Montgomery County Montenay Project, Series 2002A,
5.000%, 11/01/10 - MBIA Insured
285 Pennsylvania Economic Development Financing Authority, 12/09 at 103.00 B1 304,428
Exempt Facilities Revenue Bonds, Reliant Energy Inc.,
Series 2003A, 6.750%, 12/01/36 (Alternative Minimum Tax)
135 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, No Opt. Call AAA 145,052
Eighteenth Series 2004, 5.000%, 8/01/13 - AGC Insured
140 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 9/14 at 100.00 AAA 145,736
General Ordinance, Fifth Series 2004A-1, 5.000%, 9/01/26 -
FSA Insured
Philadelphia Gas Works, Pennsylvania, Revenue Bonds,
General Ordinance, Fourth Series 1998:
1,000 5.250%, 8/01/18 - FSA Insured 8/13 at 100.00 AAA 1,072,470
1,000 5.250%, 8/01/19 - FSA Insured 8/13 at 100.00 AAA 1,071,260
------------------------------------------------------------------------------------------------------------------------------------
6,160 Total Utilities 6,559,567
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 2.3% (1.6% OF TOTAL INVESTMENTS)
500 Bethlehem Authority, Northhampton and Lehigh Counties, 11/14 at 100.00 AAA 534,130
Pennsylvania, Guaranteed Water Revenue Bonds,
Series 2004, 5.000%, 11/15/20 - FSA Insured
600 Harrisburg Authority, Dauphin County, Pennsylvania, Water 7/14 at 100.00 AAA 633,924
Revenue Refunding Bonds, Series 2004, 5.000%, 7/15/22 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
1,100 Total Water and Sewer 1,168,054
------------------------------------------------------------------------------------------------------------------------------------
$ 70,095 Total Investments (cost $71,116,650) - 146.8% 74,985,373
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.1% 1,104,948
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (48.9)% (25,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 51,090,321
====================================================================================================================
(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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
63
Nuveen Pennsylvania Dividend Advantage Municipal Fund 2 (NVY)
Portfolio of
INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 20.1% (13.7% OF TOTAL INVESTMENTS)
$ 1,000 Allegheny County Higher Education Building Authority, No Opt. Call Baa3 $ 1,121,240
Pennsylvania, College Revenue Refunding Bonds, Robert
Morris College, Series 1998A, 6.000%, 5/01/28
700 Allegheny County Higher Education Building Authority, 3/27 at 100.00 AA- 702,030
Pennsylvania, Revenue Bonds, Carnegie Mellon University,
Series 2002, 5.450%, 3/01/27
800 Chester County Health and Education Facilities Authority, 10/15 at 102.00 N/R 802,336
Pennsylvania, Revenue Bonds, Immaculata University,
Series 2005, 5.500%, 10/15/25
325 Delaware County Authority, Pennsylvania, College Revenue 10/11 at 100.00 BBB- 341,458
Refunding Bonds, Neumann College, Series 2001,
6.000%, 10/01/31
1,435 Delaware County Authority, Pennsylvania, Revenue Refunding 8/13 at 100.00 AAA 1,562,098
Bonds, Villanova University, Series 2003, 5.250%, 8/01/17 -
FGIC Insured
2,000 Pennsylvania Higher Educational Facilities Authority, Revenue 7/11 at 101.00 AAA 2,068,100
Bonds, Temple University, Series 2001, 5.000%, 7/15/31 -
MBIA Insured
3,000 Pennsylvania State University, General Obligation Refunding No Opt. Call AA 3,287,100
Bonds, Series 2002, 5.250%, 8/15/12
530 Philadelphia Authority for Industrial Development, Pennsylvania, 1/13 at 102.00 BBB- 526,852
Revenue Bonds, Leadership Learning Partners, Series 2005A,
5.375%, 7/01/36
1,000 Union County, Higher Education Facilities Financing Authority, 4/13 at 100.00 Aa2 1,084,510
Pennsylvania, Revenue Bonds, Bucknell University,
Series 2002A, 5.250%, 4/01/20
35 West Cornwall Township Municipal Authority, Pennsylvania, 12/11 at 100.00 BBB+ 37,200
College Revenue Bonds, Elizabethtown College Project,
Series 2001, 6.000%, 12/15/27
------------------------------------------------------------------------------------------------------------------------------------
10,825 Total Education and Civic Organizations 11,532,924
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE - 14.7% (10.0% OF TOTAL INVESTMENTS)
295 Allegheny County Hospital Development Authority, 4/15 at 100.00 Baa2 297,224
Pennsylvania, Revenue Bonds, Ohio Valley General Hospital,
Series 2005A, 5.125%, 4/01/35
Allegheny County Hospital Development Authority, Pennsylvania,
Revenue Bonds, West Penn Allegheny Health System, Series 2000B:
100 9.250%, 11/15/22 11/10 at 102.00 Ba3 119,498
300 9.250%, 11/15/30 11/10 at 102.00 Ba3 357,216
800 Allentown Area Hospital Authority, Pennsylvania, Revenue No Opt. Call BB+ 801,264
Bonds, Sacred Heart Hospital, Series 2005, 6.000%, 11/15/16
2,000 Chester County Health and Educational Facilities Authority, 5/08 at 101.00 AA- 2,074,060
Pennsylvania, Health System Revenue Bonds, Jefferson
Health System, Series 1997B, 5.375%, 5/15/27
120 Jeannette Health Services Authority, Pennsylvania, Hospital 11/06 at 102.00 BB- 119,563
Revenue Bonds, Jeannette District Memorial Hospital,
Series 1996A, 6.000%, 11/01/18
600 Lehigh County General Purpose Authority, Pennsylvania, 8/13 at 100.00 Baa1 621,390
Hospital Revenue Bonds, St. Luke's Hospital of Bethlehem,
Series 2003, 5.375%, 8/15/33
465 Pennsylvania Higher Educational Facilities Authority, Revenue 8/15 at 100.00 AAA 502,056
Bonds, University of Pennsylvania Health Services,
Series 2005B, 5.000%, 8/15/16 - FGIC Insured
20 Pennsylvania Higher Educational Facilities Authority, Revenue 1/11 at 101.00 Aa3 21,739
Bonds, UPMC Health System, Series 2001A, 6.000%, 1/15/31
1,000 Philadelphia Hospitals and Higher Education Facilities 11/23 at 100.00 BBB 1,006,800
Authority, Pennsylvania, Hospital Revenue Bonds, Temple
University Hospital, Series 1993A, 6.625%, 11/15/23
225 St. Mary Hospital Authority, Pennsylvania, Health System 11/14 at 100.00 A1 236,538
Revenue Bonds, Catholic Health East, Series 2004B,
5.375%, 11/15/34
1,450 Washington County Hospital Authority, Pennsylvania, Revenue 6/12 at 101.00 A3 1,597,973
Bonds, Monongahela Valley Hospital Project, Series 2002,
6.250%, 6/01/22
64
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (continued)
West Shore Area Hospital Authority, Cumberland County,
Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital of
the Sisters of Christian Charity Project, Series 2001:
$ 25 6.150%, 1/01/21 1/12 at 100.00 BBB $ 27,172
600 6.250%, 1/01/32 1/12 at 100.00 BBB 647,016
------------------------------------------------------------------------------------------------------------------------------------
8,000 Total Health Care 8,429,509
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 0.2% (0.1% OF TOTAL INVESTMENTS)
120 Philadelphia Authority for Industrial Development, Pennsylvania, 5/15 at 102.00 Baa2 121,861
Multifamily Housing Revenue Bonds, Presbyterian Homes
Germantown - Morrisville Project, Series 2005A,
5.625%, 7/01/35
------------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS - 5.8% (3.9% OF TOTAL INVESTMENTS)
3,000 Pennsylvania Industrial Development Authority, Economic 7/12 at 101.00 AAA 3,306,690
Development Revenue Bonds, Series 2002, 5.500%, 7/01/19 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 5.1% (3.5% OF TOTAL INVESTMENTS)
1,155 Bucks County Industrial Development Authority, Pennsylvania, 10/12 at 101.00 BBB+ 1,228,608
Revenue Bonds, Pennswood Village Project, Series 2002A,
6.000%, 10/01/34
1,000 Cumberland County Municipal Authority, Pennsylvania, 1/13 at 101.00 N/R 1,096,200
Retirement Community Revenue Bonds, Wesley Affiliated
Services Inc., Series 2002A, 7.125%, 1/01/25
285 Lebanon County Health Facilities Authority, Pennsylvania, 12/14 at 100.00 N/R 286,385
Health Center Revenue Bonds, Pleasant View Retirement
Community, Series 2005A, 5.300%, 12/15/26
Pennsylvania Economic Development Financing Authority,
Revenue Bonds, Northwestern Human Services Inc., Series 1998A:
260 5.250%, 6/01/14 6/08 at 100.00 BB+ 257,031
50 5.125%, 6/01/18 6/08 at 100.00 BB+ 46,661
------------------------------------------------------------------------------------------------------------------------------------
2,750 Total Long-Term Care 2,914,885
------------------------------------------------------------------------------------------------------------------------------------
MATERIALS - 4.5% (3.1% OF TOTAL INVESTMENTS)
400 Allegheny County Industrial Development Authority, No Opt. Call BB 405,708
Pennsylvania, Revenue Bonds, United States Steel
Corporation, Series 2005, 5.500%, 11/01/16
280 Bradford County Industrial Development Authority, 12/15 at 100.00 BBB 282,038
Pennsylvania, Solid Waste Disposal Revenue Bonds,
International Paper Company, Series 2005B,
5.200%, 12/01/19 (WI/DD, Settling 1/03/06)
(Alternative Minimum Tax)
1,000 Bucks County Industrial Development Authority, Pennsylvania, 11/17 at 100.00 BBB+ 1,075,410
Environmental Improvement Revenue Bonds, USX Corporation
Project, Series 1995, 5.400%, 11/01/17 (Mandatory
put 11/01/11)
750 Pennsylvania Economic Development Financing Authority, 11/08 at 102.00 N/R 794,685
Exempt Facilities Revenue Bonds, National Gypsum Company,
Series 1997B, 6.125%, 11/01/27 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
2,430 Total Materials 2,557,841
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 18.4% (12.5% OF TOTAL INVESTMENTS)
500 Allegheny County, Pennsylvania, General Obligation Bonds, No Opt. Call AAA 551,630
Series 2005C-57, 5.250%, 11/01/13 - FGIC Insured
1,740 Butler County, Pennsylvania, Butler Area School District, 10/12 at 100.00 AAA 1,870,657
General Obligation Bonds, Series 2002A, 5.375%, 10/01/26 -
FGIC Insured
625 Delaware County, Pennsylvania, General Obligation Bonds, 10/15 at 100.00 AA 670,588
Series 2005, 5.000%, 10/01/20
Greensburg Salem School District, Westmoreland County,
Pennsylvania, General Obligation Refunding Bonds, Series 2002:
725 5.375%, 9/15/15 - FGIC Insured 9/12 at 100.00 AAA 794,535
1,000 5.375%, 9/15/16 - FGIC Insured 9/12 at 100.00 AAA 1,094,040
4,280 Lehigh County, Pennsylvania, General Obligation Bonds, 11/11 at 100.00 Aa3 4,572,153
Series 2001, 5.000%, 11/15/15
1,100 Luzerne County, Pennsylvania, General Obligation Bonds, 11/12 at 57.97 Aaa 472,483
Series 2002B, 0.000%, 11/15/21 - MBIA Insured
500 Woodland Hills School District, Allegheny County, 9/15 at 100.00 AAA 540,660
Pennsylvania, General Obligation Bonds, Series 2005D,
5.000%, 9/01/17 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
10,470 Total Tax Obligation/General 10,566,746
------------------------------------------------------------------------------------------------------------------------------------
65
Nuveen Pennsylvania Dividend Advantage Municipal Fund 2 (NVY) (continued)
Portfolio of INVESTMENTS December 31, 2005 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 32.2% (21.8% OF TOTAL INVESTMENTS)
$ 1,000 Allegheny County Redevelopment Authority, Pennsylvania, No Opt. Call N/R $ 1,045,650
TIF Revenue Bonds, Pittsburg Mills Project, Series 2004,
5.600%, 7/01/23
4,000 Delaware Valley Regional Finance Authority, Pennsylvania, No Opt. Call AA- 4,547,320
Local Government Revenue Bonds, Series 2002,
5.750%, 7/01/17
2,000 Grove City Area Hospital Authority, Mercer County, 3/12 at 100.00 AAA 2,108,900
Pennsylvania, Revenue Bonds, County Guaranteed, Woodland
Place Project, Series 2002, 5.400%, 3/01/31 - FGIC Insured
4,000 Harrisburg Parking Authority, Pennsylvania, Guaranteed Revenue 9/11 at 100.00 Aaa 4,221,640
Refunding Bonds, Series 2001J, 5.000%, 9/01/22 - MBIA Insured
1,000 Pennsylvania Turnpike Commission, Oil Franchise Tax Senior 12/13 at 100.00 AAA 1,094,750
Lien Revenue Bonds, Series 2003A, 5.250%, 12/01/15 -
MBIA Insured
2,000 Philadelphia Authority for Industrial Development, Pennsylvania, 10/11 at 101.00 AAA 2,112,480
Lease Revenue Bonds, Series 2001B, 5.125%, 10/01/26 -
FSA Insured
Philadelphia Redevelopment Authority, Pennsylvania, Revenue
Bonds, Philadelphia Neighborhood Transformation Initiative,
Series 2002A:
1,000 5.500%, 4/15/18 - FGIC Insured 4/12 at 100.00 AAA 1,085,830
1,750 5.500%, 4/15/22 - FGIC Insured 4/12 at 100.00 AAA 1,894,620
250 Southeastern Transportation Authority, Pennsylvania, Special 3/09 at 101.00 AAA 264,743
Revenue Bonds, Series 1999A, 5.250%, 3/01/16 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
17,000 Total Tax Obligation/Limited 18,375,933
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 6.2% (4.2% OF TOTAL INVESTMENTS)
130 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 139,746
and New Jersey, Revenue Bonds, Series 2003, 5.250%, 7/01/17
1,000 Pennsylvania Economic Development Financing Authority, 6/12 at 102.00 A 1,071,900
Revenue Bonds, Amtrak 30th Street Station Parking Garage,
Series 2002, 5.875%, 6/01/33 - ACA Insured (Alternative
Minimum Tax)
1,200 Pennsylvania Turnpike Commission, Registration Fee Revenue No Opt. Call AAA 1,347,408
Bonds, Series 2005A, 5.250%, 7/15/18 - FSA Insured
1,000 Susquehanna Area Regional Airport Authority, Pennsylvania, 1/13 at 100.00 Aaa 1,021,010
Airport System Revenue Bonds, Series 2003A,
5.000%, 1/01/28 - AMBAC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
3,330 Total Transportation 3,580,064
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED (4) - 20.5% (14.0% OF TOTAL INVESTMENTS)
2,000 Adams County, Pennsylvania, General Obligation Bonds, 5/11 at 100.00 AAA 2,192,300
Series 2001, 5.500%, 11/15/26 (Pre-refunded 5/15/11) -
FGIC Insured
170 Delaware River Joint Toll Bridge Commission, Pennsylvania 7/13 at 100.00 A2 (4) 186,368
and New Jersey, Revenue Bonds, Series 2003,
5.250%, 7/01/17 (Pre-refunded 7/01/13)
275 Moon Area School District, Allegheny County, Pennsylvania, No Opt. Call AAA 301,810
General Obligation Bonds, Series 2004, 5.250%, 11/15/13 -
FSA Insured
2,945 Pennsylvania Turnpike Commission, Registration Fee Revenue 7/11 at 101.00 AAA 3,257,818
Bonds, Series 2001, 5.500%, 7/15/33 (Pre-refunded 7/15/11) -
AMBAC Insured
60 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, No Opt. Call AAA 72,429
Twelfth Series 1990B, 7.000%, 5/15/20 - MBIA Insured
2,000 Philadelphia School District, Pennsylvania, General Obligation 2/12 at 100.00 AAA 2,208,040
Bonds, Series 2002A, 5.500%, 2/01/31 (Pre-refunded 2/01/12) -
FSA Insured
3,170 Philadelphia School District, Pennsylvania, General Obligation 8/12 at 100.00 AAA 3,540,351
Bonds, Series 2002B, 5.625%, 8/01/18 (Pre-refunded 8/01/12) -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
10,620 Total U.S. Guaranteed 11,759,116
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 9.6% (6.6% OF TOTAL INVESTMENTS)
2,135 Montgomery County Industrial Development Authority, No Opt. Call AAA 2,273,796
Pennsylvania, Resource Recovery Revenue Refunding Bonds,
Montgomery County Montenay Project, Series 2002A,
5.000%, 11/01/10 - MBIA Insured
66
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES (continued)
$ 315 Pennsylvania Economic Development Financing Authority, 12/09 at 103.00 B1 $ 336,474
Exempt Facilities Revenue Bonds, Reliant Energy Inc.,
Series 2003A, 6.750%, 12/01/36 (Alternative Minimum Tax)
160 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, No Opt. Call AAA 171,914
Eighteenth Series 2004, 5.000%, 8/01/13 - AGC Insured
145 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 9/14 at 100.00 AAA 150,941
General Ordinance, Fifth Series 2004A-1, 5.000%, 9/01/26 -
FSA Insured
2,420 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 8/13 at 100.00 AAA 2,590,828
General Ordinance, Fourth Series 1998, 5.250%, 8/01/20 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
5,175 Total Utilities 5,523,953
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 9.4% (6.4% OF TOTAL INVESTMENTS)
4,500 Bucks County Industrial Development Authority, Pennsylvania, 3/12 at 100.00 AAA 4,751,548
Water Facility Revenue Bonds, Pennsylvania Suburban Water
Company, Series 2002, 5.550%, 9/01/32 - FGIC Insured
(Alternative Minimum Tax)
600 Harrisburg Authority, Dauphin County, Pennsylvania, Water 7/14 at 100.00 AAA 633,924
Revenue Refunding Bonds, Series 2004, 5.000%, 7/15/22 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
5,100 Total Water and Sewer 5,385,472
------------------------------------------------------------------------------------------------------------------------------------
$ 78,820 Total Long-Term Investments (cost $79,484,517) - 146.7% 84,054,994
=============-----------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.3% (0.2% OF TOTAL INVESTMENTS)
200 Puerto Rico Government Development Bank, Adjustable No Opt. Call VMIG-1 200,000
Refunding Bonds, Variable Rate Demand Obligations,
Series 1985, 3.400%, 12/01/15 - MBIA Insured (5)
------------------------------------------------------------------------------------------------------------------------------------
$ 200 Total Short-Term Investments (cost $200,000) 200,000
=============-----------------------------------------------------------------------------------------------------------------------
Total Investments (cost $79,684,517) - 147.0% 84,254,994
--------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.7% 1,567,808
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (49.7)% (28,500,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 57,322,802
====================================================================================================================
(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 higher of Standard & Poor's or
Moody's rating. Ratings below Baa by Moody's Investor
Service, Inc. or BBB by Standard & Poor's Group are
considered to be below investment grade.
(4) Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
(5) Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term investment. The rate disclosed is that in
effect at the end of the reporting period. This rate
changes periodically based on market conditions or a
specified market index.
WI/DD Security purchased on a when-issued or delayed
delivery basis.
N/R Investment is not rated.
See accompanying notes to financial statements.
67
Statement of
ASSETS AND LIABILITIES December 31, 2005 (Unaudited)
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $444,828,443, $262,030,984,
$139,614,300, $97,571,188, respectively) $461,459,881 $273,105,259 $145,625,881 $102,534,053
Cash 1,339,880 -- -- --
Receivables:
Interest 6,439,918 4,050,405 2,215,483 1,539,717
Investments sold -- -- -- --
Other assets 40,050 31,139 4,037 3,944
------------------------------------------------------------------------------------------------------------------------------------
Total assets 469,279,729 277,186,803 147,845,401 104,077,714
------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Bank borrowings -- 580,585 156,503 319,163
Payable for investments purchased 624,065 380,527 182,653 121,769
Accrued expenses:
Management fees 248,394 148,110 42,174 29,791
Other 121,266 92,444 27,872 20,884
Preferred share dividends payable 32,708 -- 17,620 7,091
------------------------------------------------------------------------------------------------------------------------------------
Total liabilities 1,026,433 1,201,666 426,822 498,698
------------------------------------------------------------------------------------------------------------------------------------
Preferred shares, at liquidation value 162,000,000 91,600,000 48,000,000 34,500,000
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $306,253,296 $184,385,137 $ 99,418,579 $ 69,079,016
====================================================================================================================================
Common shares outstanding 20,465,539 12,044,633 6,557,606 4,512,557
====================================================================================================================================
Net asset value per Common share outstanding
(net assets applicable to Common shares,
divided by Common shares outstanding) $ 14.96 $ 15.31 $ 15.16 $ 15.31
====================================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 204,655 $ 120,446 $ 65,576 $ 45,126
Paid-in surplus 288,745,879 171,950,777 93,090,021 63,988,472
Undistributed (Over-distribution of) net investment income 281,731 913,610 415,103 188,960
Accumulated net realized gain (loss) from investments and
derivative transactions 389,593 326,029 (163,702) (106,407)
Net unrealized appreciation (depreciation) of
investments 16,631,438 11,074,275 6,011,581 4,962,865
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $306,253,296 $184,385,137 $ 99,418,579 $ 69,079,016
====================================================================================================================================
Authorized shares:
Common 200,000,000 200,000,000 Unlimited Unlimited
Preferred 1,000,000 1,000,000 Unlimited Unlimited
====================================================================================================================================
See accompanying notes to financial statements.
68
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value (cost $356,724,563, $330,776,649,
$71,116,650, $79,684,517, respectively) $374,405,254 $346,176,188 $74,985,373 $84,254,994
Cash 2,037,219 1,347,696 26,219 595,274
Receivables:
Interest 4,975,105 4,574,983 1,077,106 1,301,128
Investments sold -- -- 253,750 --
Other assets 31,295 34,976 3,849 3,851
------------------------------------------------------------------------------------------------------------------------------------
Total assets 381,448,873 352,133,843 76,346,297 86,155,247
------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Bank borrowings -- -- -- --
Payable for investments purchased 1,265,824 1,195,500 210,971 281,294
Accrued expenses:
Management fees 201,723 186,890 21,888 24,688
Other 106,244 122,861 16,951 17,676
Preferred share dividends payable 31,370 451 6,166 8,787
------------------------------------------------------------------------------------------------------------------------------------
Total liabilities 1,605,161 1,505,702 255,976 332,445
------------------------------------------------------------------------------------------------------------------------------------
Preferred shares, at liquidation value 132,000,000 118,100,000 25,000,000 28,500,000
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $247,843,712 $232,528,141 $51,090,321 $57,322,802
====================================================================================================================================
Common shares outstanding 16,301,498 15,826,751 3,313,915 3,724,790
====================================================================================================================================
Net asset value per Common share outstanding
(net assets applicable to Common shares,
divided by Common shares outstanding) $ 15.20 $ 14.69 $ 15.42 $ 15.39
====================================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 163,015 $ 158,268 $ 33,139 $ 37,248
Paid-in surplus 230,742,390 216,528,206 47,033,135 52,797,234
Undistributed (Over-distribution of) net investment income (520,646) 314,508 229,408 (51,948)
Accumulated net realized gain (loss) from investments and
derivative transactions (221,738) 127,620 (74,084) (30,209)
Net unrealized appreciation (depreciation) of
investments 17,680,691 15,399,539 3,868,723 4,570,477
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares $247,843,712 $232,528,141 $51,090,321 $57,322,802
====================================================================================================================================
Authorized shares:
Common Unlimited Unlimited Unlimited Unlimited
Preferred Unlimited Unlimited Unlimited Unlimited
====================================================================================================================================
See accompanying notes to financial statements.
69
Statement of
OPERATIONS Six Months Ended December 31, 2005 (Unaudited)
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $11,244,759 $ 6,525,386 $ 3,497,064 $ 2,494,163
------------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 1,493,283 892,185 477,386 336,407
Preferred shares - auction fees 204,391 115,569 60,560 43,528
Preferred shares - dividend disbursing agent fees 15,123 11,726 5,042 5,042
Shareholders' servicing agent fees and expenses 24,602 14,464 913 875
Custodian's fees and expenses 66,782 38,276 23,686 16,641
Directors'/Trustees' fees and expenses 4,719 2,930 1,614 1,194
Professional fees 13,399 9,851 7,343 6,496
Shareholders' reports - printing and mailing expenses 25,120 12,778 8,908 7,342
Stock exchange listing fees 5,360 5,268 281 194
Investor relations expense 29,878 18,332 9,257 6,313
Other expenses 14,429 11,142 7,813 6,243
------------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit
and expense reimbursement 1,897,086 1,132,521 602,803 430,275
Custodian fee credit (44,840) (17,326) (9,670) (9,087)
Expense reimbursement -- -- (224,465) (157,690)
------------------------------------------------------------------------------------------------------------------------------------
Net expenses 1,852,246 1,115,195 368,668 263,498
------------------------------------------------------------------------------------------------------------------------------------
Net investment income 9,392,513 5,410,191 3,128,396 2,230,665
------------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from investments 2,614,889 1,020,898 469,168 110,964
Change in net unrealized appreciation
(depreciation) of investments (9,699,753) (5,589,428) (2,659,257) (1,676,247)
------------------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) (7,084,864) (4,568,530) (2,190,089) (1,565,283)
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS
From net investment income (1,482,958) (794,628) (468,905) (370,956)
From accumulated net realized gains (500,238) (279,977) (82,059) (57,710)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Preferred shareholders (1,983,196) (1,074,605) (550,964) (428,666)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable
to Common shares from operations $ 324,453 $ (232,944) $ 387,343 $ 236,716
====================================================================================================================================
See accompanying notes to financial statements.
70
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 8,767,859 $ 8,423,592 $ 1,815,736 $ 2,044,632
------------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 1,208,914 1,122,914 246,945 278,572
Preferred shares - auction fees 166,541 149,004 31,542 35,958
Preferred shares - dividend disbursing agent fees 15,123 16,740 5,042 5,041
Shareholders' servicing agent fees and expenses 27,224 22,580 1,240 1,110
Custodian's fees and expenses 49,761 47,268 13,782 12,947
Directors'/Trustees' fees and expenses 3,866 3,711 841 819
Professional fees 11,094 11,161 5,765 6,110
Shareholders' reports - printing and mailing expenses 24,318 16,358 6,346 6,037
Stock exchange listing fees 5,265 5,272 142 160
Investor relations expense 25,308 23,499 5,063 5,953
Other expenses 13,686 10,983 6,503 6,165
------------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit
and expense reimbursement 1,551,100 1,429,490 323,211 358,872
Custodian fee credit (27,986) (22,927) (3,382) (6,854)
Expense reimbursement -- -- (115,755) (130,580)
------------------------------------------------------------------------------------------------------------------------------------
Net expenses 1,523,114 1,406,563 204,074 221,438
------------------------------------------------------------------------------------------------------------------------------------
Net investment income 7,244,745 7,017,029 1,611,662 1,823,194
------------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) from investments (220,716) 135,480 21,890 242,815
Change in net unrealized appreciation
(depreciation) of investments (6,032,146) (5,971,496) (1,211,638) (1,724,016)
------------------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized gain (loss) (6,252,862) (5,836,016) (1,189,748) (1,481,201)
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS
From net investment income (1,365,279) (1,031,975) (256,533) (285,031)
From accumulated net realized gains (261,069) (316,979) (40,350) (47,058)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Preferred shareholders (1,626,348) (1,348,954) (296,883) (332,089)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable
to Common shares from operations $ (634,465) $ (167,941) $ 125,031 $ 9,904
====================================================================================================================================
See accompanying notes to financial statements.
71
Statement of
CHANGES IN NET ASSETS (Unaudited)
NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT QUALITY (NQJ) PREMIUM INCOME (NNJ) DIVIDEND ADVANTAGE (NXJ)
------------------------------- ---------------------------------- ---------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
12/31/05 6/30/05 12/31/05 6/30/05 12/31/05 6/30/05
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 9,392,513 $ 19,481,237 $ 5,410,191 $ 11,306,412 $ 3,128,396 $ 6,400,915
Net realized gain (loss)
from investments 2,614,889 3,339,508 1,020,898 4,268,639 469,168 1,221,262
Net realized gain (loss) from
forward swaps -- -- -- -- -- (201,571)
Change in net unrealized
appreciation (depreciation)
of investments (9,699,753) 19,532,836 (5,589,428) 7,825,789 (2,659,257) 6,136,129
Distributions to Preferred Shareholders:
From net investment income (1,482,958) (2,081,219) (794,628) (1,150,783) (468,905) (658,577)
From accumulated net
realized gains (500,238) (107,515) (279,977) (121,121) (82,059) --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations 324,453 40,164,847 (232,944) 22,128,936 387,343 12,898,158
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (8,562,543) (19,283,118) (4,926,724) (11,079,485) (2,813,118) (6,070,304)
From accumulated net
realized gains (4,917,869) (2,241,452) (3,721,776) (2,620,075) (678,058) --
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Common shareholders (13,480,412) (21,524,570) (8,648,500) (13,699,560) (3,491,176) (6,070,304)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from Common shares
issued to shareholders due to
reinvestment of distributions 326,627 770,952 84,271 -- 20,735 22,984
------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable
to Common shares from
capital share transactions 326,627 770,952 84,271 -- 20,735 22,984
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares (12,829,332) 19,411,229 (8,797,173) 8,429,376 (3,083,098) 6,850,838
Net assets applicable to Common
shares at the beginning
of period 319,082,628 299,671,399 193,182,310 184,752,934 102,501,677 95,650,839
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common
shares at the end of period $306,253,296 $319,082,628 $184,385,137 $193,182,310 $ 99,418,579 $102,501,677
====================================================================================================================================
Undistributed (Over-distribution of)
net investment income at the
end of period $ 281,731 $ 934,719 $ 913,610 $ 1,224,771 $ 415,103 $ 568,730
====================================================================================================================================
See accompanying notes to financial statements.
72
NEW JERSEY PENNSYLVANIA PENNSYLVANIA
DIVIDEND ADVANTAGE 2 (NUJ) INVESTMENT QUALITY (NQP) PREMIUM INCOME 2 (NPY)
------------------------------- ---------------------------------- ---------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
12/31/05 6/30/05 12/31/05 6/30/05 12/31/05 6/30/05
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 2,230,665 $ 4,539,226 $ 7,244,745 $ 15,081,033 $ 7,017,029 $ 14,629,139
Net realized gain (loss)
from investments 110,964 545,334 (220,716) 3,033,351 135,480 5,554,834
Net realized gain (loss) from
forward swaps -- (143,801) -- -- -- --
Change in net unrealized
appreciation (depreciation)
of investments (1,676,247) 5,262,530 (6,032,146) 13,962,464 (5,971,496) 8,419,347
Distributions to
Preferred Shareholders:
From net investment income (370,956) (500,033) (1,365,279) (2,017,435) (1,031,975) (1,647,195)
From accumulated net
realized gains (57,710) (13,577) (261,069) (138,958) (316,979) (131,391)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations 236,716 9,689,679 (634,465) 29,920,455 (167,941) 26,824,734
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (2,007,983) (4,140,074) (6,153,819) (14,534,163) (6,430,090) (14,724,745)
From accumulated net realized gains (424,180) (237,176) (1,732,849) (2,308,550) (3,389,441) (2,842,911)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Common shareholders (2,432,163) (4,377,250) (7,886,668) (16,842,713) (9,819,531) (17,567,656)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from Common shares
issued to shareholders due to
reinvestment of distributions 43,339 -- -- -- 142,460 661,012
------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable
to Common shares from
capital share transactions 43,339 -- -- -- 142,460 661,012
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares (2,152,108) 5,312,429 (8,521,133) 13,077,742 (9,845,012) 9,918,090
Net assets applicable to Common
shares at the beginning
of period 71,231,124 65,918,695 256,364,845 243,287,103 242,373,153 232,455,063
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common
shares at the end of period $69,079,016 $71,231,124 $247,843,712 $256,364,845 $232,528,141 $242,373,153
====================================================================================================================================
Undistributed (Over-distribution of)
net investment income at the
end of period $ 188,960 $ 337,234 $ (520,646) $ (246,293) $ 314,508 $ 759,544
====================================================================================================================================
See accompanying notes to financial statements.
73
Statement of
CHANGES IN NET ASSETS (Unaudited) (continued)
PENNSYLVANIA PENNSYLVANIA
DIVIDEND ADVANTAGE (NXM) DIVIDEND ADVANTAGE 2 (NVY)
----------------------------------- ---------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
12/31/05 6/30/05 12/31/05 6/30/05
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 1,611,662 $ 3,275,260 $ 1,823,194 $ 3,626,330
Net realized gain (loss) from investments 21,890 1,620,266 242,815 320,219
Net realized gain (loss) from forward swaps -- (232,654) -- (164,341)
Change in net unrealized appreciation
(depreciation) of investments (1,211,638) 2,111,728 (1,724,016) 3,889,901
Distributions to Preferred Shareholders:
From net investment income (256,533) (327,355) (285,031) (416,243)
From accumulated net realized gains (40,350) (58,447) (47,058) (9,192)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations 125,031 6,388,798 9,904 7,246,674
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (1,493,711) (3,171,680) (1,497,367) (3,283,404)
From accumulated net realized gains (336,362) (1,198,780) (363,540) (159,790)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Common shareholders (1,830,073) (4,370,460) (1,860,907) (3,443,194)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from Common shares
issued to shareholders due to
reinvestment of distributions 83,646 144,217 -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets applicable
to Common shares from
capital share transactions 83,646 144,217 -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares (1,621,396) 2,162,555 (1,851,003) 3,803,480
Net assets applicable to Common
shares at the beginning of period 52,711,717 50,549,162 59,173,805 55,370,325
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common
shares at the end of period $51,090,321 $52,711,717 $57,322,802 $59,173,805
====================================================================================================================================
Undistributed (Over-distribution of)
net investment income at the
end of period $ 229,408 $ 367,990 $ (51,948) $ (92,744)
====================================================================================================================================
See accompanying notes to financial statements.
74
Notes to
FINANCIAL STATEMENTS (Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The state funds (the "Funds") covered in this report and their corresponding
Common share stock exchange symbols are Nuveen New Jersey Investment Quality
Municipal Fund, Inc. (NQJ), Nuveen New Jersey Premium Income Municipal Fund,
Inc. (NNJ), Nuveen New Jersey Dividend Advantage Municipal Fund (NXJ), Nuveen
New Jersey Dividend Advantage Municipal Fund 2 (NUJ), Nuveen Pennsylvania
Investment Quality Municipal Fund (NQP), Nuveen Pennsylvania Premium Income
Municipal Fund 2 (NPY), Nuveen Pennsylvania Dividend Advantage Municipal Fund
(NXM) and Nuveen Pennsylvania Dividend Advantage Municipal Fund 2 (NVY). Common
shares of New Jersey Investment Quality (NQJ), New Jersey Premium Income (NNJ),
Pennsylvania Investment Quality (NQP) and Pennsylvania Premium Income 2 (NPY)
are traded on the New York Stock Exchange while Common shares of New Jersey
Dividend Advantage (NXJ), New Jersey Dividend Advantage 2 (NUJ), Pennsylvania
Dividend Advantage (NXM) and Pennsylvania Dividend Advantage 2 (NVY) are traded
on the American Stock Exchange. The Funds are registered under the Investment
Company Act of 1940, as amended, as closed-end management investment companies.
Each Fund seeks to provide current income exempt from both regular federal and
applicable state income taxes by investing primarily in a diversified portfolio
of municipal obligations issued by state and local government authorities within
a single state or certain U.S. territories.
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements in accordance with U.S.
generally accepted accounting principles.
Investment Valuation
The prices of municipal bonds in each Fund's investment portfolio are provided
by a pricing service approved by the Fund's Board of Directors/Trustees. When
market price quotes are not readily available (which is usually the case for
municipal securities), the pricing service establishes fair market value based
on yields or prices of municipal bonds of comparable quality, type of issue,
coupon, maturity and rating, indications of value from securities dealers,
evaluations of anticipated cash flows or collateral and general market
conditions. Prices of derivative investments are also provided by an independent
pricing service approved by each Fund's Board of Directors/Trustees. If the
pricing service is unable to supply a price for a municipal bond or derivative
investment, each Fund may use a market price or fair market value quote provided
by a major broker/dealer in such investments. If it is determined that the
market price or fair market value for an investment is unavailable or
inappropriate, the Board of Directors/Trustees of the Funds, or its designee,
may establish a fair value for the investment. Temporary investments in
securities that have variable rate and demand features qualifying them as
short-term investments are valued at amortized cost, which approximates market
value.
Investment Transactions
Investment transactions are recorded on a trade date basis. Realized gains and
losses from transactions are determined on the specific identification method.
Investments purchased on a when-issued or delayed delivery basis may have
extended settlement periods. Any investments so purchased are subject to market
fluctuation during this period. The Funds have instructed the custodian to
segregate assets with a current value at least equal to the amount of the
when-issued and delayed delivery purchase commitments. At December 31, 2005, New
Jersey Investment Quality (NQJ), New Jersey Premium Income (NNJ), New Jersey
Dividend Advantage (NXJ), New Jersey Dividend Advantage 2 (NUJ), Pennsylvania
Investment Quality (NQP), Pennsylvania Premium Income 2 (NPY), Pennsylvania
Dividend Advantage (NXM) and Pennsylvania Dividend Advantage 2 (NVY) had
outstanding when-issued and/or delayed delivery purchase commitments of
$624,065, $380,527, $182,653, $121,769, $1,265,824, $1,195,500, $210,971 and
$281,294, respectively.
Investment Income
Interest income, which includes the amortization of premiums and accretion of
discounts for financial reporting purposes, is recorded on an accrual basis.
Investment income also includes paydown gains and losses, if any.
75
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund
intends to distribute substantially all net investment income and net capital
gains to shareholders and to otherwise comply with the requirements of
Subchapter M of the Internal Revenue Code applicable to regulated investment
companies. Therefore, no federal income tax provision is required. Furthermore,
each Fund intends to satisfy conditions which will enable interest from
municipal securities, which is exempt from regular federal and applicable state
taxes, to retain such tax-exempt status when distributed to shareholders of the
Funds. Net realized capital gains and ordinary income distributions paid by the
Funds are subject to federal taxation.
Dividends and Distributions to Common Shareholders
Dividends from tax-exempt net investment income are declared monthly. Net
realized capital gains and/or market discount from investment transactions, if
any, are distributed to shareholders not less frequently than annually.
Furthermore, capital gains are distributed only to the extent they exceed
available capital loss carryforwards.
Distributions to Common shareholders of tax-exempt net investment income, net
realized capital gains and/or market discount, if any, are recorded on the
ex-dividend date. The amount and timing of distributions are determined in
accordance with federal income tax regulations, which may differ from U.S.
generally accepted accounting principles.
Preferred Shares
The Funds have issued and outstanding Preferred shares, $25,000 stated value per
share, as a means of effecting financial leverage. Each Fund's Preferred shares
are issued in one or more Series. The dividend rate paid by the Funds on each
Series is determined every seven days, pursuant to a dutch auction process
overseen by the auction agent, and is payable at the end of each rate period.
The number of Preferred shares outstanding, by Series and in total, for each
Fund is as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
--------------------------------------------------------------------------------
Number of shares:
Series M 3,200 -- -- --
Series T -- 624 1,920 --
Series W -- 1,440 -- 1,380
Series TH 2,000 1,600 -- --
Series F 1,280 -- -- --
--------------------------------------------------------------------------------
Total 6,480 3,664 1,920 1,380
================================================================================
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
--------------------------------------------------------------------------------
Number of shares:
Series M -- 844 -- 1,140
Series T 880 -- 1,000 --
Series W 2,400 -- -- --
Series TH 2,000 2,080 -- --
Series F -- 1,800 -- --
--------------------------------------------------------------------------------
Total 5,280 4,724 1,000 1,140
================================================================================
76
Forward Swap Transactions
The Funds are authorized to invest in certain derivative financial instruments.
The Funds' use of forward interest rate swap transactions is intended to
mitigate the negative impact that an increase in long-term interest rates could
have on Common share net asset value. Forward interest rate swap transactions
involve each Fund's agreement with the counterparty to pay, in the future, a
fixed rate payment in exchange for the counterparty paying the Fund a variable
rate payment, the accruals for which would begin at a specified date in the
future (the "effective date"). The amount of the payment obligation is based on
the notional amount of the forward swap contract, and would increase or decrease
in value based primarily on the extent to which long-term interest rates for
bonds having a maturity of the swaps' termination date were to increase or
decrease. The Funds may close out a contract prior to the effective date, at
which point a realized gain or loss would be recognized. When a forward swap is
terminated, it ordinarily does not involve the delivery of securities or other
underlying assets or principal, but rather is settled in cash on a net basis.
Each Fund intends, but is not obligated to, terminate its forward swaps before
the effective date. Accordingly, the risk of loss with respect to the swap
counterparty on such transactions is limited to the credit risk associated with
a counterparty failing to honor its commitment to pay any realized gain to the
Fund upon termination. To minimize such credit risk, all counterparties are
required to pledge collateral daily (based on the daily valuation of each swap)
on behalf of each Fund with a value approximately equal to the amount of any
unrealized gain above a pre-determined threshold. Reciprocally, when any of the
Funds have an unrealized loss on a swap contract, the Funds have instructed the
custodian to pledge assets of the Funds as collateral with a value approximately
equal to the amount of the unrealized loss above a pre-determined threshold.
Collateral pledges are monitored and subsequently adjusted if and when the swap
valuations fluctuate, either up or down, by at least the predetermined threshold
amount. At December 31, 2005, the Funds did not have any forward swap contracts
outstanding.
Bank Borrowings
The Funds' have an unsecured bank line of credit under which outstanding
balances bear interest at a variable rate. As of December 31, 2005, the Funds
were paying interest at 4.45% per year on their respective outstanding
borrowings. No compensating balances are required.
Custodian Fee Credit
Each Fund has an arrangement with the custodian bank whereby certain custodian
fees and expenses are reduced by credits earned on each Fund's cash on deposit
with the bank. Such deposit arrangements are an alternative to overnight
investments.
Indemnifications
Under the Funds' organizational documents, its Officers and Directors/Trustees
are indemnified against certain liabilities arising out of the performance of
their duties to the Funds. In addition, in the normal course of business, the
Funds enter into contracts that provide general indemnifications to other
parties. The Funds' maximum exposure under these arrangements is unknown as this
would involve future claims that may be made against the Funds that have not yet
occurred. However, the Funds have not had prior claims or losses pursuant to
these contracts and expect the risk of loss to be remote.
Use of Estimates
The preparation of financial statements in conformity with U.S. generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities at the
date of the financial statements and the reported amounts of increases and
decreases in net assets applicable to Common shares from operations during the
reporting period. Actual results may differ from those estimates.
2. FUND SHARES
Transactions in Common shares were as follows:
NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT QUALITY (NQJ) PREMIUM INCOME (NNJ) DIVIDEND ADVANTAGE (NXJ)
------------------------ ------------------------ ------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
12/31/05 6/30/05 12/31/05 6/30/05 12/31/05 6/30/05
--------------------------------------------------------------------------------------------------------
Common shares issued to
shareholders due to
reinvestment
of distributions 20,959 49,812 5,304 -- 1,345 1,445
========================================================================================================
NEW JERSEY PENNSYLVANIA PENNSYLVANIA
DIVIDEND ADVANTAGE 2 (NUJ) INVESTMENT QUALITY (NQP) PREMIUM INCOME 2 (NPY)
-------------------------- ------------------------ -------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
12/31/05 6/30/05 12/31/05 6/30/05 12/31/05 6/30/05
--------------------------------------------------------------------------------------------------------
Common shares issued to
shareholders due to
reinvestment
of distributions 2,718 -- -- -- 9,155 42,619
========================================================================================================
77
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
PENNSYLVANIA PENNSYLVANIA
DIVIDEND ADVANTAGE (NXM) DIVIDEND ADVANTAGE 2 (NVY)
------------------------ --------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
12/31/05 6/30/05 12/31/05 6/30/05
--------------------------------------------------------------------------------------------------------
Common shares issued to
shareholders due to
reinvestment of distributions 5,177 8,948 -- --
========================================================================================================
3. SECURITIES TRANSACTIONS
Purchases and sales (including maturities) of investments in long-term municipal
securities during the six months ended December 31, 2005, were as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
--------------------------------------------------------------------------------
Purchases $45,710,983 $ 21,564,275 $14,787,089 $7,829,221
Sales and maturities 56,284,511 25,893,961 16,147,799 7,807,642
================================================================================
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
--------------------------------------------------------------------------------
Purchases $30,201,048 $23,592,090 $3,017,473 $5,404,683
Sales and maturities 33,384,502 33,745,000 3,215,268 5,967,685
================================================================================
4. INCOME TAX INFORMATION
The following information is presented on an income tax basis. Differences
between amounts for financial statement and federal income tax purposes are
primarily due to the treatment of paydown gains and losses, timing differences
in recognizing taxable market discount and timing differences in recognizing
certain gains and losses on investment transactions.
At December 31, 2005, the cost of investments was as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
--------------------------------------------------------------------------------
Cost of investments $444,815,493 $261,891,869 $139,728,835 $97,634,836
================================================================================
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
--------------------------------------------------------------------------------
Cost of investments $356,714,481 $330,628,904 $71,190,157 $79,815,699
================================================================================
Gross unrealized appreciation and gross unrealized depreciation of investments
at December 31, 2005, were as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
------------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $17,914,236 $11,697,521 $6,230,369 $5,031,671
Depreciation (1,269,848) (484,131) (333,323) (132,454)
------------------------------------------------------------------------------------------------------------
Net unrealized appreciation
(depreciation) of investments $16,644,388 $11,213,390 $5,897,046 $4,899,217
============================================================================================================
78
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
------------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $18,220,900 $16,110,935 $3,928,185 $4,608,018
Depreciation (530,127) (563,651) (132,969) (168,723)
------------------------------------------------------------------------------------------------------------
Net unrealized appreciation
(depreciation) of investments $17,690,773 $15,547,284 $3,795,216 $4,439,295
============================================================================================================
The tax components of undistributed net investment income and net realized gains
at June 30, 2005, the Funds' last fiscal year end, were as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
------------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income * $ 2,455,252 $ 1,957,962 $1,005,406 $ 666,880
Undistributed net ordinary income ** -- 8,126 -- 124
Undistributed net long-term capital gains 3,192,811 3,306,884 283,535 348,418
============================================================================================================
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
------------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income * $ 868,902 $ 1,756,762 $ 608,163 $ 146,085
Undistributed net ordinary income ** 8,580 41,520 -- --
Undistributed net long-term capital gains 1,984,315 3,689,922 376,400 288,023
============================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced
for the dividend declared on June 1, 2005, paid on July 1, 2005.
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
The tax character of distributions paid during the fiscal year ended June 30,
2005, the Funds' last fiscal year end, was designated for purposes of the
dividends paid deduction as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
2005 (NQJ) (NNJ) (NXJ) (NUJ)
------------------------------------------------------------------------------------------------------------
Distributions from net tax-exempt income $21,476,819 $12,307,476 $6,771,438 $4,644,877
Distributions from net ordinary income ** -- 3,453 -- 44
Distributions from net long-term capital gains 2,348,967 2,741,196 -- 250,753
============================================================================================================
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
2005 (NQP) (NPY) (NXM) (NVY)
------------------------------------------------------------------------------------------------------------
Distributions from net tax-exempt income $16,672,670 $16,397,456 $3,485,060 $3,731,320
Distributions from net ordinary income ** 17,181 90,448 20,509 --
Distributions from net long-term capital gains 2,440,428 2,957,194 1,257,227 168,982
============================================================================================================
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
5. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Each Fund's management fee is separated into two components - a complex-level
component, based on the aggregate amount of all fund assets managed by Nuveen
Asset Management (the "Adviser"), a wholly owned subsidiary of Nuveen
Investments, Inc., and a specific fund-level component, based only on the amount
of assets within each individual fund. This pricing structure enables Nuveen
fund shareholders to benefit from growth in the assets within each individual
fund as well as from growth in the amount of complex-wide assets managed by the
Adviser.
79
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
The annual fund-level fee, payable monthly, for each Fund is based upon the
average daily net assets (including net assets attributable to Preferred shares)
of each Fund as follows:
NEW JERSEY INVESTMENT QUALITY (NQJ)
NEW JERSEY PREMIUM INCOME (NNJ)
AVERAGE DAILY NET ASSETS PENNSYLVANIA INVESTMENT QUALITY (NQP)
(INCLUDING NET ASSETS PENNSYLVANIA PREMIUM INCOME 2 (NPY)
ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $125 million .4500%
For the next $125 million .4375
For the next $250 million .4250
For the next $500 million .4125
For the next $1 billion .4000
For the next $3 billion .3875
For net assets over $5 billion .3750
================================================================================
NEW JERSEY DIVIDEND ADVANTAGE (NXJ)
NEW JERSEY DIVIDEND ADVANTAGE 2 (NUJ)
AVERAGE DAILY NET ASSETS PENNSYLVANIA DIVIDEND ADVANTAGE (NXM)
(INCLUDING NET ASSETS PENNSYLVANIA DIVIDEND ADVANTAGE 2 (NVY)
ATTRIBUTABLE TO PREFERRED SHARES) FUND-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $125 million .4500%
For the next $125 million .4375
For the next $250 million .4250
For the next $500 million .4125
For the next $1 billion .4000
For net assets over $2 billion .3750
================================================================================
The annual complex-level fee, payable monthly, which is additive to the
fund-level fee, for all Nuveen sponsored funds in the U.S., is based on the
aggregate amount of total fund assets managed as stated in the table below. As
of December 31, 2005, the complex-level fee rate was .1895%.
COMPLEX-LEVEL ASSETS(1) COMPLEX-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $55 billion .2000%
For the next $1 billion .1800
For the next $1 billion .1600
For the next $3 billion .1425
For the next $3 billion .1325
For the next $3 billion .1250
For the next $5 billion .1200
For the next $5 billion .1175
For the next $15 billion .1150
For Managed Assets over $91 billion (2) .1400
================================================================================
(1) The complex-level fee component of the management fee for the funds is
calculated based upon the aggregate Managed Assets ("Managed Assets" means
the average daily net assets of each fund including assets attributable to
all types of leverage used by the Nuveen funds) of Nuveen-sponsored funds
in the U.S.
(2) With respect to the complex-wide Managed Assets over $91 billion, the fee
rate or rates that will apply to such assets will be determined at a later
date. In the unlikely event that complex-wide Managed Assets reach $91
billion prior to a determination of the complex-level fee rate or rates to
be applied to Managed Assets in excess of $91 billion, the complex-level
fee rate for such complex-wide Managed Assets shall be .1400% until such
time as a different rate or rates is determined.
The management fee compensates the Adviser for overall investment advisory and
administrative services and general office facilities. The Funds pay no
compensation directly to those of its Directors/Trustees who are affiliated with
the Adviser or to their officers, all of whom receive remuneration for their
services to the Funds from the Adviser or its affiliates. The Board of
Directors/Trustees has adopted a deferred compensation plan for independent
Directors/Trustees that enables Directors/Trustees to elect to defer receipt of
all or a portion of the annual compensation they are entitled to receive from
certain Nuveen advised Funds. Under the plan, deferred amounts are treated as
though equal dollar amounts had been invested in shares of select Nuveen advised
Funds.
80
For the first ten years of New Jersey Dividend Advantage's (NXJ) and
Pennsylvania Dividend Advantage's (NXM) operations, the Adviser has agreed to
reimburse the Funds, as a percentage of average daily net assets (including net
assets attributable to Preferred shares), for fees and expenses in the amounts
and for the time periods set forth below:
YEAR ENDING YEAR ENDING
MARCH 31, MARCH 31,
--------------------------------------------------------------------------------
2001* .30% 2007 .25%
2002 .30 2008 .20
2003 .30 2009 .15
2004 .30 2010 .10
2005 .30 2011 .05
2006 .30
================================================================================
* From the commencement of operations.
The Adviser has not agreed to reimburse New Jersey Dividend Advantage (NXJ) and
Pennsylvania Dividend Advantage (NXM) for any portion of their fees and expenses
beyond March 31, 2011.
For the first ten years of New Jersey Dividend Advantage 2's (NUJ) and
Pennsylvania Dividend Advantage 2's (NVY) operations, the Adviser has agreed to
reimburse the Funds, as a percentage of average daily net assets (including net
assets attributable to Preferred shares), for fees and expenses in the amounts
and for the time periods set forth below:
YEAR ENDING YEAR ENDING
MARCH 31, MARCH 31,
--------------------------------------------------------------------------------
2002* .30% 2008 .25%
2003 .30 2009 .20
2004 .30 2010 .15
2005 .30 2011 .10
2006 .30 2012 .05
2007 .30
================================================================================
* From the commencement of operations.
The Adviser has not agreed to reimburse New Jersey Dividend Advantage 2 (NUJ)
and Pennsylvania Dividend Advantage 2 (NVY) for any portion of their fees and
expenses beyond March 31, 2012.
6. SUBSEQUENT EVENT - DISTRIBUTIONS TO COMMON SHAREHOLDERS
The Funds declared Common share dividend distributions from their tax-exempt net
investment income which were paid on February 1, 2006, to shareholders of record
on January 15, 2006, as follows:
NEW JERSEY NEW JERSEY NEW JERSEY NEW JERSEY
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME ADVANTAGE ADVANTAGE 2
(NQJ) (NNJ) (NXJ) (NUJ)
--------------------------------------------------------------------------------
Dividend per share $.0655 $.0640 $.0715 $.0730
================================================================================
PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA PENNSYLVANIA
INVESTMENT PREMIUM DIVIDEND DIVIDEND
QUALITY INCOME 2 ADVANTAGE ADVANTAGE 2
(NQP) (NPY) (NXM) (NVY)
--------------------------------------------------------------------------------
Dividend per share $.0575 $.0630 $.0740 $.0670
================================================================================
81
Financial
HIGHLIGHTS (Unaudited)
Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions
---------------------------------------------------------------- ------------------------------
Distributions Distributions
from Net from Net
Beginning Investment Capital Investment Capital
Common Net Income to Gains to Income to Gains to
Share Net Realized/ Preferred Preferred Common Common
Net Asset Investment Unrealized Share- Share- Share- Share-
Value Income Gain (Loss) holders+ holders+ Total holders holders Total
===============================================================================================================================
NEW JERSEY INVESTMENT
QUALITY (NQJ)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) $15.61 $ .46 $ (.36) $(.07) $(.02) $.01 $(.42) $ (.24) $ (.66)
2005 14.69 .95 1.13 (.10) (.01) 1.97 (.94) (.11) (1.05)
2004 15.65 1.01 (.75) (.05) (.01) .20 (.96) (.20) (1.16)
2003 15.07 1.05 .61 (.07) (.01) 1.58 (.93) (.07) (1.00)
2002 15.03 1.10 (.01) (.13) -- .96 (.92) -- (.92)
2001 14.45 1.19 .58 (.27) -- 1.50 (.92) -- (.92)
NEW JERSEY PREMIUM
INCOME (NNJ)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 16.05 .45 (.38) (.07) (.02) (.02) (.41) (.31) (.72)
2005 15.35 .94 1.01 (.10) (.01) 1.84 (.92) (.22) (1.14)
2004 16.28 .99 (.79) (.05) (.01) .14 (.94) (.13) (1.07)
2003 15.60 1.04 .63 (.07) -- 1.60 (.92) -- (.92)
2002 15.27 1.06 .24 (.12) -- 1.18 (.85) -- (.85)
2001 14.28 1.07 .99 (.25) -- 1.81 (.82) -- (.82)
NEW JERSEY DIVIDEND
ADVANTAGE (NXJ)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 15.63 .48 (.34) (.07) (.01) .06 (.43) (.10) (.53)
2005 14.59 .98 1.09 (.10) -- 1.97 (.93) -- (.93)
2004 15.35 1.00 (.77) (.05) -- .18 (.94) -- (.94)
2003 14.38 1.04 .86 (.07) -- 1.83 (.87) -- (.87)
2002 14.39 1.04 (.07) (.13) -- .84 (.85) -- (.85)
2001(a) 14.33 .14 .22 (.03) -- .33 (.14) -- (.14)
NEW JERSEY DIVIDEND
ADVANTAGE 2 (NUJ)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 15.79 .49 (.34) (.08) (.01) .06 (.45) (.09) (.54)
2005 14.62 1.00 1.25 (.11) -- 2.14 (.92) (.05) (.97)
2004 15.44 1.03 (.82) (.06) -- .15 (.92) (.05) (.97)
2003 14.46 1.05 .96 (.08) -- 1.93 (.92) (.03) (.95)
2002(b) 14.33 .16 .27 (.01) -- .42 (.15) -- (.15)
===============================================================================================================================
Total Returns
--------------------
Based
Offering on
Costs and Ending Common
Preferred Common Based Share
Share Share Ending on Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value** Value**
========================================================================================
NEW JERSEY INVESTMENT
QUALITY (NQJ)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) $ -- $14.96 $14.11 (3.24)% .08%
2005 -- 15.61 15.25 15.13 13.81
2004 -- 14.69 14.19 (4.09) 1.26
2003 -- 15.65 15.94 11.68 10.72
2002 -- 15.07 15.22 4.19 6.56
2001 -- 15.03 15.50 17.13 10.62
NEW JERSEY PREMIUM
INCOME (NNJ)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) -- 15.31 14.46 (3.74) (.12)
2005 -- 16.05 15.76 19.43 12.31
2004 -- 15.35 14.19 (5.65) .85
2003 -- 16.28 16.10 10.18 10.48
2002 -- 15.60 15.50 7.88 7.91
2001 -- 15.27 15.19 20.13 12.90
NEW JERSEY DIVIDEND
ADVANTAGE (NXJ)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) -- 15.16 15.25 2.66 .42
2005 -- 15.63 15.38 19.97 13.80
2004 -- 14.59 13.63 (5.13) 1.20
2003 .01 15.35 15.30 15.09 13.18
2002 -- 14.38 14.12 (.17) 6.05
2001(a) (.13) 14.39 14.99 .87 1.42
NEW JERSEY DIVIDEND
ADVANTAGE 2 (NUJ)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) -- 15.31 16.50 7.32 .40
2005 -- 15.79 15.90 23.39 15.00
2004 -- 14.62 13.74 (4.81) 1.02
2003 -- 15.44 15.40 9.14 13.74
2002(b) (.14) 14.46 15.04 1.29 1.98
========================================================================================
Ratios/Supplemental Data
-----------------------------------------------------------------------------------------------
Before Credit/Reimbursement After Credit/Reimbursement***
---------------------------- -------------------------------
Ratio of Net Ratio of Net
Ratio of Investment Ratio of Investment
Ending Expenses Income to Expenses Income to
Net to Average Average to Average Average
Assets Net Assets Net Assets Net Assets Net Assets
Applicable Applicable Applicable Applicable Applicable Portfolio
to Common to Common to Common to Common to Common Turnover
Shares (000) Shares++ Shares++ Shares++ Shares++ Rate
========================================================================================================================
NEW JERSEY INVESTMENT
QUALITY (NQJ)
------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) $306,253 1.21%* 5.95%* 1.18%* 5.97%* 10%
2005 319,083 1.21 6.22 1.20 6.23 15
2004 299,671 1.21 6.64 1.21 6.64 19
2003 316,970 1.22 6.80 1.22 6.81 12
2002 304,808 1.25 7.35 1.23 7.36 22
2001 301,785 1.24 7.97 1.23 7.99 16
NEW JERSEY PREMIUM
INCOME (NNJ)
------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 184,385 1.19* 5.68* 1.17* 5.70* 8
2005 193,182 1.18 5.91 1.17 5.92 21
2004 184,753 1.18 6.23 1.18 6.23 23
2003 195,568 1.20 6.48 1.20 6.48 13
2002 187,393 1.22 6.85 1.22 6.86 14
2001 183,451 1.25 7.14 1.24 7.15 6
NEW JERSEY DIVIDEND
ADVANTAGE (NXJ)
------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 99,419 1.19* 5.72* .73* 6.18* 10
2005 102,502 1.19 5.94 .74 6.39 17
2004 95,651 1.20 6.26 .74 6.71 11
2003 100,502 1.19 6.56 .74 7.01 8
2002 94,130 1.24 6.76 .75 7.25 7
2001(a) 94,187 1.05* 3.65* .66* 4.03* 1
NEW JERSEY DIVIDEND
ADVANTAGE 2 (NUJ)
------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 69,079 1.22* 5.87* .75* 6.35* 8
2005 71,231 1.23 6.09 .77 6.54 11
2004 65,919 1.25 6.41 .79 6.87 11
2003 69,616 1.23 6.53 .76 7.00 12
2002(b) 65,153 1.07* 3.86* .67* 4.25* --
========================================================================================================================
Preferred Shares at End of Period
---------------------------------------
Aggregate Liquidation
Amount and Market Asset
Outstanding Value Coverage
(000) Per Share Per Share
===================================================================
NEW JERSEY INVESTMENT
QUALITY (NQJ)
-------------------------------------------------------------------
Year Ended 6/30:
2006(c) $162,000 $25,000 $72,261
2005 162,000 25,000 74,241
2004 162,000 25,000 71,246
2003 162,000 25,000 73,915
2002 162,000 25,000 72,038
2001 162,000 25,000 71,572
NEW JERSEY PREMIUM
INCOME (NNJ)
-------------------------------------------------------------------
Year Ended 6/30:
2006(c) 91,600 25,000 75,323
2005 91,600 25,000 77,724
2004 91,600 25,000 75,424
2003 91,600 25,000 78,376
2002 91,600 25,000 76,144
2001 91,600 25,000 75,068
NEW JERSEY DIVIDEND
ADVANTAGE (NXJ)
-------------------------------------------------------------------
Year Ended 6/30:
2006(c) 48,000 25,000 76,781
2005 48,000 25,000 78,386
2004 48,000 25,000 74,818
2003 48,000 25,000 77,345
2002 48,000 25,000 74,026
2001(a) 48,000 25,000 74,055
NEW JERSEY DIVIDEND
ADVANTAGE 2 (NUJ)
-------------------------------------------------------------------
Year Ended 6/30:
2006(c) 34,500 25,000 75,057
2005 34,500 25,000 76,617
2004 34,500 25,000 72,767
2003 34,500 25,000 75,446
2002(b) 34,500 25,000 72,213
===================================================================
* Annualized.
** Total Return on Market Value is the combination of changes in the market
price per share and the effect of reinvested dividend income and reinvested
capital gains distributions, if any, at the average price paid per share at
the time of reinvestment. Total Return on Common Share Net Asset Value is
the combination of changes in Common Share net asset value, reinvested
dividend income at net asset value and reinvested capital gains
distributions at net asset value, if any. Total returns are not annualized.
*** After custodian fee credit and expense reimbursement, where applicable.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Preferred
shareholders; income ratios reflect income earned on assets attributable to
Preferred shares.
(a) For the period March 27, 2001 (commencement of operations) through June 30,
2001.
(b) For the period March 25, 2002 (commencement of operations) through June 30,
2002.
(c) For the six months ended December 31, 2005.
See accompanying notes to financial statements.
82-83 SPREAD
Financial HIGHLIGHTS (Unaudited) (continued)
Selected data for a Common share outstanding throughout each period:
Investment Operations Less Distributions
---------------------------------------------------------------- ------------------------------
Distributions Distributions
from Net from Net
Beginning Investment Capital Investment Capital
Common Net Income to Gains to Income to Gains to
Share Net Realized/ Preferred Preferred Common Common
Net Asset Investment Unrealized Share- Share- Share- Share-
Value Income Gain (Loss) holders+ holders+ Total holders holders Total
===============================================================================================================================
PENNSYLVANIA INVESTMENT
QUALITY (NQP)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) $15.73 $ .44 $ (.38) $(.08) $(.02) $ (.04) $(.38) $(.11) $(.49)
2005 14.92 .92 1.05 (.12) (.01) 1.84 (.89) (.14) (1.03)
2004 15.91 .98 (.98) (.06) -- (.06) (.92) (.01) (.93)
2003 14.70 1.02 1.19 (.09) -- 2.12 (.91) -- (.91)
2002 14.57 1.09 .09 (.14) -- 1.04 (.91) -- (.91)
2001 14.39 1.23 .16 (.30) -- 1.09 (.91) -- (.91)
PENNSYLVANIA PREMIUM
INCOME 2 (NPY)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 15.32 .44 (.36) (.07) (.02) (.01) (.41) (.21) (.62)
2005 14.74 .92 .88 (.10) (.01) 1.69 (.93) (.18) (1.11)
2004 15.65 .98 (.77) (.05) (.01) .15 (.95) (.11) (1.06)
2003 14.83 1.04 .79 (.08) -- 1.75 (.93) -- (.93)
2002 14.44 1.07 .30 (.12) -- 1.25 (.86) -- (.86)
2001 13.48 1.07 .95 (.27) -- 1.75 (.79) -- (.79)
PENNSYLVANIA DIVIDEND
ADVANTAGE (NXM)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 15.93 .49 (.36) (.08) (.01) .04 (.45) (.10) (.55)
2005 15.32 .99 1.06 (.10) (.02) 1.93 (.96) (.36) (1.32)
2004 16.25 1.04 (.78) (.05) (.01) .20 (.96) (.17) (1.13)
2003 14.96 1.08 1.29 (.07) (.01) 2.29 (.92) (.10) (1.02)
2002 14.48 1.12 .37 (.13) -- 1.36 (.87) (.01) (.88)
2001(a) 14.33 .14 .35 (.03) -- .46 (.15) -- (.15)
PENNSYLVANIA DIVIDEND
ADVANTAGE 2 (NVY)
-------------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 15.89 .49 (.40) (.08) (.01) -- (.40) (.10) (.50)
2005 14.87 .97 1.08 (.11) -- 1.94 (.88) (.04) (.92)
2004 15.90 .98 (.87) (.05) (.01) .05 (.92) (.16) (1.08)
2003 14.64 1.00 1.30 (.09) -- 2.21 (.92) (.03) (.95)
2002(b) 14.33 .15 .46 (.01) -- .60 (.15) -- (.15)
===============================================================================================================================
Total Returns
--------------------
Based
Offering on
Costs and Ending Common
Preferred Common Based Share
Share Share Ending on Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value** Value**
========================================================================================
PENNSYLVANIA INVESTMENT
QUALITY (NQP)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) $-- $15.20 $13.67 (6.72)% (.27)%
2005 -- 15.73 15.16 19.53 12.67
2004 -- 14.92 13.58 (9.73) (.38)
2003 -- 15.91 16.01 11.98 14.79
2002 -- 14.70 15.18 6.57 7.34
2001 -- 14.57 15.13 11.99 7.75
PENNSYLVANIA PREMIUM
INCOME 2 (NPY)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) -- 14.69 14.01 (3.56) (.04)
2005 -- 15.32 15.16 17.79 11.80
2004 -- 14.74 13.84 (7.22) .94
2003 -- 15.65 16.00 15.09 12.09
2002 -- 14.83 14.79 13.25 8.88
2001 -- 14.44 13.87 19.04 13.25
PENNSYLVANIA DIVIDEND
ADVANTAGE (NXM)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) -- 15.42 15.82 1.46 .29
2005 -- 15.93 16.14 21.84 13.02
2004 -- 15.32 14.39 (5.95) 1.30
2003 .02 16.25 16.46 18.13 15.95
2002 -- 14.96 14.89 9.10 9.67
2001(a) (.16) 14.48 14.49 (2.45) 2.06
PENNSYLVANIA DIVIDEND
ADVANTAGE 2 (NVY)
----------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) -- 15.39 14.53 .84 .02
2005 -- 15.89 14.90 17.63 13.37
2004 -- 14.87 13.48 (8.58) .29
2003 -- 15.90 15.84 14.38 15.48
2002(b) (.14) 14.64 14.74 (.73) 3.24
========================================================================================
Ratios/Supplemental Data
-----------------------------------------------------------------------------------------------
Before Credit/Reimbursement After Credit/Reimbursement***
---------------------------- -------------------------------
Ratio of Net Ratio of Net
Ratio of Investment Ratio of Investment
Ending Expenses Income to Expenses Income to
Net to Average Average to Average Average
Assets Net Assets Net Assets Net Assets Net Assets
Applicable Applicable Applicable Applicable Applicable Portfolio
to Common to Common to Common to Common to Common Turnover
Shares (000) Shares++ Shares++ Shares++ Shares++ Rate
=========================================================================================================================
PENNSYLVANIA INVESTMENT
QUALITY (NQP)
-------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) $247,844 1.23%* 5.72%* 1.21%* 5.74%* 8%
2005 256,365 1.23 5.96 1.22 5.97 18
2004 243,287 1.23 6.38 1.22 6.39 17
2003 258,924 1.27 6.59 1.26 6.60 11
2002 238,926 1.31 7.42 1.30 7.44 34
2001 235,188 1.29 8.40 1.27 8.41 17
PENNSYLVANIA PREMIUM
INCOME 2 (NPY)
-------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 232,528 1.20* 5.87* 1.18* 5.89* 7
2005 242,373 1.19 6.09 1.19 6.10 22
2004 232,455 1.18 6.45 1.17 6.46 16
2003 246,604 1.20 6.76 1.19 6.77 19
2002 233,536 1.24 7.28 1.23 7.29 7
2001 227,377 1.25 7.55 1.24 7.57 10
PENNSYLVANIA DIVIDEND
ADVANTAGE (NXM)
-------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 51,090 1.24* 5.75* .79* 6.21* 4
2005 52,712 1.23 5.82 .78 6.28 13
2004 50,549 1.21 6.15 .76 6.60 10
2003 53,591 1.23 6.44 .79 6.88 13
2002 49,306 1.29 7.12 .82 7.59 48
2001(a) 47,723 1.26* 3.51* .87* 3.90* --
PENNSYLVANIA DIVIDEND
ADVANTAGE 2 (NVY)
-------------------------------------------------------------------------------------------------------------------------
Year Ended 6/30:
2006(c) 57,323 1.23* 5.78* .76* 6.26* 6
2005 59,174 1.23 5.80 .78 6.25 8
2004 55,370 1.24 5.95 .78 6.40 4
2003 59,202 1.25 6.07 .78 6.53 13
2002(b) 54,481 1.09* 3.77* .70* 4.15* 8
=========================================================================================================================
Preferred Shares at End of Period
---------------------------------------
Aggregate Liquidation
Amount and Market Asset
Outstanding Value Coverage
(000) Per Share Per Share
====================================================================
PENNSYLVANIA INVESTMENT
QUALITY (NQP)
--------------------------------------------------------------------
Year Ended 6/30:
2006(c) $132,000 $25,000 $71,940
2005 132,000 25,000 73,554
2004 132,000 25,000 71,077
2003 132,000 25,000 74,039
2002 132,000 25,000 70,251
2001 132,000 25,000 69,543
PENNSYLVANIA PREMIUM
INCOME 2 (NPY)
--------------------------------------------------------------------
Year Ended 6/30:
2006(c) 118,100 25,000 74,223
2005 118,100 25,000 76,307
2004 118,100 25,000 74,207
2003 118,100 25,000 77,202
2002 118,100 25,000 74,436
2001 118,100 25,000 73,132
PENNSYLVANIA DIVIDEND
ADVANTAGE (NXM)
--------------------------------------------------------------------
Year Ended 6/30:
2006(c) 25,000 25,000 76,090
2005 25,000 25,000 77,712
2004 25,000 25,000 75,549
2003 25,000 25,000 78,591
2002 25,000 25,000 74,306
2001(a) 25,000 25,000 72,723
PENNSYLVANIA DIVIDEND
ADVANTAGE 2 (NVY)
--------------------------------------------------------------------
Year Ended 6/30:
2006(c) 28,500 25,000 75,283
2005 28,500 25,000 76,907
2004 28,500 25,000 73,570
2003 28,500 25,000 76,932
2002(b) 28,500 25,000 72,790
====================================================================
* Annualized.
** Total Return on Market Value is the combination of changes in the market
price per share and the effect of reinvested dividend income and reinvested
capital gains distributions, if any, at the average price paid per share at
the time of reinvestment. Total Return on Common Share Net Asset Value is
the combination of changes in Common Share net asset value, reinvested
dividend income at net asset value and reinvested capital gains
distributions at net asset value, if any. Total returns are not annualized.
*** After custodian fee credit and expense reimbursement, where applicable.
+ The amounts shown are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Preferred
shareholders; income ratios reflect income earned on assets attributable to
Preferred shares.
(a) For the period March 27, 2001 (commencement of operations) through June 30,
2001.
(b) For the period March 25, 2002 (commencement of operations) through June 30,
2002.
(c) For the six months ended December 31, 2005.
See accompanying notes to financial statements.
84-85 SPREAD
Reinvest Automatically
EASILY AND CONVENIENTLY
Sidebar text: NUVEEN MAKES REINVESTING EASY. A PHONE CALL IS ALL IT TAKES TO SET
UP YOUR REINVESTMENT ACCOUNT.
NUVEEN EXCHANGE-TRADED CLOSED-END FUNDS
DIVIDEND REINVESTMENT PLAN
Your Nuveen Exchange-Traded Closed-End Fund allows you to conveniently reinvest
dividends and/or capital gains distributions in additional fund shares.
By choosing to reinvest, you'll be able to invest money regularly and
automatically, and watch your investment grow through the power of tax-free
compounding. Just like dividends or distributions in cash, there may be times
when income or capital gains taxes may be payable on dividends or distributions
that are reinvested.
It is important to note that an automatic reinvestment plan does not ensure a
profit, nor does it protect you against loss in a declining market.
EASY AND CONVENIENT
To make recordkeeping easy and convenient, each month you'll receive a statement
showing your total dividends and distributions, the date of investment, the
shares acquired and the price per share, and the total number of shares you own.
HOW SHARES ARE PURCHASED
The shares you acquire by reinvesting will either be purchased on the open
market or newly issued by the Fund. If the shares are trading at or above net
asset value at the time of valuation, the Fund will issue new shares at the
then-current market price. If the shares are trading at less than net asset
value, shares for your account will be purchased on the open market. Dividends
and distributions received to purchase shares in the open market will normally
be invested shortly after the dividend payment date. No interest will be paid on
dividends and distributions awaiting reinvestment. Because the market price of
the shares may increase before purchases are completed, the average purchase
price per share may exceed the market price at the time of valuation, resulting
in the acquisition of fewer shares than if the dividend or distribution had been
paid in shares issued by the Fund. A pro rata portion of any applicable
brokerage commissions on open market purchases will be paid by Plan
participants. These commissions usually will be lower than those charged on
individual transactions.
FLEXIBLE
You may change your distribution option or withdraw from the Plan at any time,
should your needs or situation change. Should you withdraw, you can receive a
certificate for all whole shares credited to your reinvestment account and cash
payment for fractional shares, or cash payment for all reinvestment account
shares, less brokerage commissions and a $2.50 service fee.
You can reinvest whether your shares are registered in your name, or in the name
of a brokerage firm, bank, or other nominee. Ask your investment advisor if his
or her firm will participate on your behalf. Participants whose shares are
registered in the name of one firm may not be able to transfer the shares to
another firm and continue to participate in the Plan.
The Fund reserves the right to amend or terminate the Plan at any time. Although
the Fund reserves the right to amend the Plan to include a service charge
payable by the participants, there is no direct service charge to participants
in the Plan at this time.
CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in
or withdraw from the Plan, speak with your financial advisor or call us at (800)
257-8787.
86
Other Useful
INFORMATION
QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION
Each Fund's (i) quarterly portfolio of investments, (ii) information regarding
how the Funds voted proxies relating to portfolio securities held during the
12-month period ended June 30, 2005, and (iii) a description of the policies and
procedures that the Funds used to determine how to vote proxies relating to
portfolio securities are available without charge, upon request, by calling
Nuveen Investments toll-free at (800) 257-8787 or on Nuveen's website at
www.nuveen.com.
You may also obtain this and other Fund information directly from the Securities
and Exchange Commission ("SEC"). The SEC may charge a copying fee for this
information. Visit the SEC on-line at http://www.sec.gov or in person at the
SEC's Public Reference Room in Washington, D.C. Call the SEC at 1-202-942-8090
for room hours and operation. You may also request Fund information by sending
an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public
References Section at 450 Fifth Street NW, Washington, D.C. 20549.
GLOSSARY OF TERMS USED IN THIS REPORT
AVERAGE ANNUAL TOTAL RETURN: This is a commonly used method to express an
investment's performance over a particular, usually multi-year time period. It
expresses the return that would have been necessary each year to equal the
investment's actual cumulative performance (including change in NAV or market
price and reinvested dividends and capital gains distributions, if any) over the
time period being considered.
AVERAGE EFFECTIVE MATURITY: The average of all the maturities of the bonds in a
Fund's portfolio, computed by weighting each maturity date (the date the
security comes due) by the market value of the security. This figure does not
account for the likelihood of prepayments or the exercise of call provisions.
LEVERAGE-ADJUSTED DURATION: Duration is a measure of the expected period over
which a bond's principal and interest will be paid, and consequently is a
measure of the sensitivity of a bond's or bond Fund's value to changes when
market interest rates change. Generally, the longer a bond's or Fund's duration,
the more the price of the bond or Fund will change as interest rates change.
Leverage-adjusted duration takes into account the leveraging process for a Fund
and therefore is longer than the duration of the Fund's portfolio of bonds.
MARKET YIELD (ALSO KNOWN AS DIVIDEND YIELD OR CURRENT YIELD): An investment's
current annualized dividend divided by its current market price.
NET ASSET VALUE (NAV): A Fund's common share NAV per share is calculated by
subtracting the liabilities of the Fund (including any MuniPreferred shares
issued in order to leverage the Fund) from its total assets and then dividing
the remainder by the number of shares outstanding. Fund NAVs are calculated at
the end of each business day.
TAXABLE-EQUIVALENT YIELD: The yield necessary from a fully taxable investment to
equal, on an after-tax basis, the yield of a municipal bond investment.
BOARD OF DIRECTORS/TRUSTEES
Robert P. Bremner
Lawrence H. Brown
Jack B. Evans
William C. Hunter
David J. Kundert
William J. Schneider
Timothy R. Schwertfeger
Judith M. Stockdale
Eugene S. Sunshine
FUND MANAGER
Nuveen Asset Management
333 West Wacker Drive
Chicago, IL 60606
CUSTODIAN
State Street Bank & Trust Company
Boston, MA
TRANSFER AGENT AND SHAREHOLDER SERVICES
State Street Bank & Trust Company
Nuveen Funds
P.O. Box 43071 Providence, RI 02940-3071
(800) 257-8787
LEGAL COUNSEL
Chapman and Cutler LLP
Chicago, IL
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Ernst & Young LLP
Chicago, IL
Each Fund intends to repurchase shares of its own common or preferred stock in
the future at such times and in such amounts as is deemed advisable. No shares
were repurchased during the period covered by this report. Any future
repurchases will be reported to shareholders in the next annual or semiannual
report.
87
Nuveen Investments:
SERVING Investors
For GENERATIONS
Photo of: 2 women looking at a photo album.
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions. For the past century,
Nuveen Investments has adhered to the belief that the best approach to investing
is to apply conservative risk-management principles to help minimize volatility.
Building on this tradition, we today offer a range of high quality equity and
fixed-income solutions that are integral to a well-diversified core portfolio.
Our clients have come to appreciate this diversity, as well as our continued
adherence to proven, long-term investing principles.
WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS.
Managing more than $135 billion in assets, Nuveen Investments offers access to a
number of different asset classes and investing solutions through a variety of
products. Nuveen Investments markets its capabilities under four distinct
brands: Nuveen, a leader in fixed-income investments; NWQ, a leader in
value-style equities; Rittenhouse, a leader in growth-style equities; and
Symphony, a leading institutional manager of market-neutral alternative
investment portfolios.
FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS.
To learn more about the products and services Nuveen Investments offers, talk to
your financial advisor, or call us at (800) 257-8787. Please read the
information provided carefully before you invest.
Be sure to obtain a prospectus, where applicable. Investors should consider the
investment objective and policies, risk considerations, charges and expenses of
the Fund carefully before investing. The prospectus contains this and other
information relevant to an investment in the Fund. For a prospectus, please
contact your securities representative or Nuveen Investments, 333 W. Wacker Dr.,
Chicago, IL 60606. Please read the prospectus carefully before you invest or
send money.
o Share prices
o Fund details
Learn more o Daily financial news
about Nuveen Funds at o Investor education
WWW.NUVEEN.COM/ETF o Interactive planning tools
Logo: NUVEEN Investments
ESA-B-1205D
ITEM 2. CODE OF ETHICS.
Not applicable to this filing.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to this filing.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to this filing.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable to this filing.
ITEM 6. SCHEDULE OF INVESTMENTS.
See Portfolio of Investments in Item 1.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which shareholders may
recommend nominees to the registrant's Board implemented after the registrant
last provided disclosure in response to this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of this report that includes the disclosure
required by this paragraph, based on their evaluation of the controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR
240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act
(17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter
of the period covered by this report that has materially affected, or
is reasonably likely to materially affect, the registrant's internal
control over financial reporting.
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit: Not applicable to
this filing.
(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule 30a-2(a) under
the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT
attached hereto.
(a)(3) Any written solicitation to purchase securities under Rule 23c-1 under
the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the
report by or on behalf of the registrant to 10 or more persons: Not applicable.
(b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act,
provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR
270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR
240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of
the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished
pursuant to this paragraph will not be deemed "filed" for purposes of Section 18
of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of
that section. Such certification will not be deemed to be incorporated by
reference into any filing under the Securities Act of 1933 or the Exchange Act,
except to the extent that the registrant specifically incorporates it by
reference. Ex-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen New Jersey Dividend Advantage Municipal Fund
-----------------------------------------------------------
By (Signature and Title)* /s/ Jessica R. Droeger
----------------------------------------------
Jessica R. Droeger
Vice President and Secretary
Date: March 8, 2006
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Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ Gifford R. Zimmerman
----------------------------------------------
Gifford R. Zimmerman
Chief Administrative Officer
(principal executive officer)
Date: March 8, 2006
-------------------------------------------------------------------
By (Signature and Title)* /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(principal financial officer)
Date: March 8, 2006
-------------------------------------------------------------------
* Print the name and title of each signing officer under his or her signature.