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 811-21213
---------------------
Nuveen Insured Tax-Free 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: October 31
------------------
Date of reporting period: April 30, 2006
------------------
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 April 30, 2006
Nuveen Investments
Municipal Exchange-Traded
Closed-End Funds
NUVEEN INSURED
QUALITY MUNICIPAL
FUND, INC.
NQI
NUVEEN INSURED
MUNICIPAL OPPORTUNITY
FUND, INC.
NIO
NUVEEN PREMIER
INSURED MUNICIPAL
INCOME FUND, INC.
NIF
NUVEEN INSURED
PREMIUM INCOME
MUNICIPAL FUND 2
NPX
NUVEEN INSURED
DIVIDEND ADVANTAGE
MUNICIPAL FUND
NVG
NUVEEN INSURED
TAX-FREE ADVANTAGE
MUNICIPAL FUND
NEA
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Photo: Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
Chairman's
LETTER TO SHAREHOLDERS
Once again, I am pleased to report that over the six-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."
Municipal bonds can be an important building block in a well balanced investment
portfolio. In addition to providing attractive tax-free monthly income, a
municipal bond investment like your Fund may help you achieve and benefit from
greater portfolio diversification. Portfolio diversification is a recognized way
to try to reduce some of the risk that comes with investing. I encourage you to
contact your personal financial advisor who may help explain this important
investment strategy.
Nuveen Investments is pleased to offer you choices when it comes to receiving
your fund reports. In addition to mailed print copies, you can also sign up to
receive future Fund reports and other Fund information by e-mail and the
Internet. Not only will you receive the information faster, but this also may
help lower your Fund's expenses. The inside front cover of this report contains
information on how you can sign up.
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. 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.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
June 12, 2006
Nuveen Investments Municipal Exchange-Traded Closed-End Funds
NQI, NIO, NIF, NPX, NVG, NEA
Portfolio Manager's
COMMENTS
Portfolio manager Dan Solender reviews key investment strategies and the
six-month performance of these six insured Funds. With 19 years of investment
experience, including 10 at Nuveen, Dan has managed NQI, NIO, NIF, NPX, NVG, and
NEA since 2004.
WHAT KEY STRATEGIES WERE USED TO MANAGE THESE FUNDS DURING THE SIX MONTHS ENDED
APRIL 30, 2006?
During this reporting period, we saw a general increase in interest rates,
although rates at the longer end of the yield curve remained more stable than
those at the short end throughout much of the period. Between November 1, 2005
and April 30, 2006, the Federal Reserve implemented four increases of 0.25% each
in the fed funds rate, raising this short-term target by 100 basis points--from
3.75% to 4.75%. (On May 10, 2006, the fed funds rate was increased by another 25
basis points to 5%, marking the Fed's 16th consecutive quarter-point hike since
June 2004.) In contrast, the yield on the benchmark 10-year U.S. Treasury note
ended April 2006 at 5.06%, up from 4.55% six months earlier, while the yield on
the Bond Buyer 25 Revenue Bond Index, a widely followed measure of longer-term
municipal market rates, was 5.22% at the end of April 2006, an increase of just
two basis points from the beginning of November 2005. As interest rates
increased, bond valuations generally declined, and the yield curve flattened as
short-term rates approached the levels of longer-term rates.
In this environment, one of our key strategies continued to be careful duration1
management, part of which included efforts to more closely align the duration
and yield curve positioning of these Funds. In general, our purchase activity
targeted attractively priced bonds maturing in 15 to 20 years. We believed that
bonds in this part of the curve generally offered better value and reward
opportunities more commensurate with their risk levels. As the yield curve
continued to flatten, we started to see more opportunities to add value at the
longer end of the curve, and we began to move our purchases out to bonds in the
20-year to 25-year range. To help us maintain the Funds' durations within our
preferred strategic range, we were also selectively selling holdings with
shorter durations. Selling these shorter duration bonds and reinvesting further
out on the yield curve also helped to improve the Funds' overall call protection
profile.
As yields rose during this period, we also found some opportunities to sell a
few of our holdings that were purchased when yields were lower and replace them
with similar,
1 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.
4
newer credits that yielded comparatively more. This process allowed us to
maintain the Funds' current portfolio characteristics while strengthening their
income streams. It also enabled us to realize some capital losses that can be
used to offset any capital gains realized in 2006 or carried forward to offset
future realized gains.
In looking for potential purchase candidates, we kept an opportunistic eye
toward all types of issuance that we believed could add value to the Funds'
portfolios and keep the Funds well diversified geographically. Overall,
portfolio activity was relatively light during this period. This was due in part
to the fact that these Funds entered the reporting period fully invested and
with routine call exposure. Another factor was the 5.5% decline in municipal
supply during this six-month period compared with the same period 12 months
earlier (November 2004-April 2005). The decrease in supply was even more evident
during the first four months of 2006, when new issuance dropped almost 25% from
the levels of January-April 2005. For NVG and NEA, which can invest up to 20% of
their portfolio in uninsured investment-grade quality securities, tighter supply
and declining relative valuations also meant fewer opportunities to find
lower-rated issues that we believed represented value for shareholders or
improved the structure of these two Funds.
Given the tightness of spreads in all parts of the municipal market, we
continued to purchase paper issued in specialty states such as California and
New York when we found attractively priced opportunities. Because of the
relatively higher tax levels in of these specialty states, municipal bonds
issued in these states are generally in great demand by retail investors, which
helps to support their value. They also provide additional liquidity, making it
easier for us to execute trades as part of implementing our strategies.
In NEA, our duration management strategies also included the use of forward
interest rate swaps, a type of derivative financial instrument. As discussed in
our last shareholder report, we began using these swaps in late 2004 in an
effort to reduce the interest rate risk in this Fund. These hedges were not an
attempt to profit from correctly predicting the timing and direction of interest
rate movements. Instead, our sole objective was to reduce NEA's duration (and
resulting pricing sensitivity) without having a negative impact on its income
stream or common share dividends over the short term. We believe the hedging
strategy has been effective in helping to reduce NEA's net asset value (NAV)
5
volatility, and the hedge on this Fund remained in place as of April 30, 2006.
During this reporting period, the hedge performed as expected and had a positive
impact on the performance of NEA. As long-term interest rates rose, the value of
the hedge increased while the valuation of the Fund's holdings generally
declined.
HOW DID THE FUNDS PERFORM?
Individual results for these Funds, as well as relevant benchmark and peer group
information, are presented in the accompanying table.
TOTAL RETURNS ON NET ASSET VALUE*
For periods ended 4/30/06
6-MONTH 1-YEAR 5-YEAR 10-YEAR
--------------------------------------------------------------------------------
NQI 1.41% 1.91% 6.95% 6.50%
--------------------------------------------------------------------------------
NIO 1.79% 1.51% 6.92% 6.49%
--------------------------------------------------------------------------------
NIF 1.11% 1.04% 6.67% 6.19%
--------------------------------------------------------------------------------
NPX 1.55% 1.42% 6.71% 6.68%
--------------------------------------------------------------------------------
NVG 2.19% 2.33% NA NA
--------------------------------------------------------------------------------
NEA 2.49% 2.51% NA NA
--------------------------------------------------------------------------------
Lehman Brothers
Insured Municipal
Bond Index2 1.69% 2.10% 5.66% 6.09%
--------------------------------------------------------------------------------
Lipper Insured
Municipal Debt
Funds Average3 1.94% 2.24% 6.27% 6.21%
--------------------------------------------------------------------------------
* 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 April 30, 2006, the cumulative returns on NAV for NIO,
NVG, and NEA exceeded the return on their Lehman Brothers insured municipal
benchmark, while NQI, NIF and NPX underperformed the index. NVG and NEA also
outperformed the average return for their Lipper insured peer group, while the
other four Funds underperformed the Lipper peer group for the period.
One of the factors affecting the six-month performance of these Funds relative
to that of the unleveraged Lehman Brothers Insured Municipal Bond Index was the
Funds' use of financial leverage. While leveraging can add volatility to a
Fund's NAV and share price, this strategy can also provide opportunities for
additional income and total return for
2 The Lehman Brothers Insured Municipal Bond Index is an unleveraged,
unmanaged national index comprising a broad range of insured municipal
bonds. Results for the Lehman index do not reflect any expenses.
3 The Lipper Insured 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, 26; 1 year, 26; 5 years, 21; and 10
years, 18. Fund and Lipper returns assume reinvestment of dividends.
6
common shareholders. The benefits of leveraging are tied in part to the
short-term rates 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. Conversely, when short-term interest rates rise, as they
did during this reporting period, the Funds' borrowing costs also rise, which
can impact the Funds' income streams and total returns. However, as long as
short-term yields are lower than those of the long-term bonds in the Funds'
portfolios, the income received by the common shareholders of leveraged Funds
will be higher than it would be if the Funds were unleveraged. Despite the
impact of rising interest rates on bond valuations, the extra income, or yield
advantage, resulting from leveraging during this period remained strong enough
to help the Funds post positive results for this six months. Over the long term,
we believe the use of financial leverage will continue to work to the benefit of
the Funds, as demonstrated by the five-year and ten-year return
performance--both absolute and relative--of the Funds in this report.
During this reporting period, positive contributors to the Funds' returns
included yield curve and duration positioning, exposure to noninsured credits in
NVG and NEA, and pre-refunding activity. As mentioned earlier, the hedging
strategies we employed in NEA also had a positive impact on the performance of
this Fund for the period.
As the yield curve continued to flatten over the course of this period, yield
curve and duration positioning played important roles in the Funds'
performances. On the whole, shorter maturity bonds were the most impacted by
recent changes in the yield curve. As a result, these bonds generally
underperformed both intermediate and long bonds, with credits having the longest
durations posting the best returns for this period. Yield curve positioning or,
more specifically, greater exposure to those parts of the yield curve that
performed well helped performance during this period, while exposure to the
short end of the curve hurt performance. This was especially true in NIF, which
had relatively heavier weightings of pre-refunded bonds and premium credits with
short calls, which were adversely affected by rising short-term rates.
Conversely, NVG and NEA, which were established in 2002, were more
advantageously positioned on the curve, with less exposure to bonds with
maturities of 10 years or less. As previously mentioned, we continued to work to
more closely align the yield curve positioning of all of these Funds.
7
NEA, which can invest up to 20% of its portfolio in uninsured investment-grade
quality securities, also benefited from its allocations of lower-quality credits
during this period, as these bonds generally outperformed other credit quality
sectors. This was largely the result of investor demand for the higher yields
typically associated with lower-quality bonds, which drove up their value and
kept credit spreads narrow. As of April 30, 2006, NEA held 2% of its portfolio
in bonds rated BBB, 3% in bonds in bonds rated A, and 3% in bonds rated AA. NVG,
which also can invest in uninsured securities, held 5% of its portfolio in bonds
rated AA, but did not hold any bonds rated below AA as of the end of this
period.
We also continued to see a number of advance refundings4 during this period,
which benefited the Funds through price appreciation and enhanced credit
quality. However, as the yield curve flattened, more lower coupon bonds were
being pre-refunded, which meant that, in general, the positive impact from
refinancings was less than in the previous reporting period.
While advance refundings generally enhanced total return performance for this
six-month period, the rising interest rate environment--especially at the short
end of the yield curve--meant that the Funds' holdings of older, previously
pre-refunded bonds tended to underperform the general municipal market, due
primarily to the shorter effective maturities of these bonds. This was
especially true in the four older Funds (NQI, NIO, NIF, and NPX). Because these
pre-refunded bonds tended to produce strong income, we continued to hold them in
our portfolios. NQI, NIF, and NPX also experienced some calls affecting their
holdings of higher-yielding housing bonds, which impacted the income component
of these Funds' total returns. This had an adverse effect on their six-month
performance.
4 Advance refundings, also known as pre-refundings or refinancings, occur
when an issuer sells new bonds and uses the proceeds to fund principal and
interest payments of older existing bonds. This process often results in
lower borrowing costs for bond issuers.
8
HOW WERE THE FUNDS POSITIONED IN TERMS OF CREDIT QUALITY AND BOND CALLS AS OF
APRIL 30, 2006?
We continued to believe that maintaining strong credit quality was an important
requirement. As of April 30, 2006, NQI, NIO, NIF, and NPX continued to be 100%
invested in insured and/or U.S. guaranteed securities, while NVG and NEA, which
can invest up to 20% of their portfolio in uninsured investment-grade quality
securities, had allocated 93% and 89% of their portfolios, respectively, to
insured and U.S. guaranteed bonds.
At the end of April 2006, potential call exposure for the period May 2006
through the end of 2007 ranged from 3% in NEA, NVG and NIF to 8% in NPX and NQI,
and 10% in NIO. The number of actual bond calls in all of these Funds depends
largely on future market interest rates.
9
Dividend and Share Price
INFORMATION
As previously noted, all of the Funds in this report use leverage to potentially
enhance opportunities for additional income for common shareholders. During
periods of rising short-term interest rates, as was the case during this
reporting period, the Funds' borrowing costs also rise, reducing the extent of
the benefits of leveraging. This resulted in one monthly dividend reduction in
NIO and NIF and two in NQI and NPX over the six-month period ended April 30,
2006. The dividends of NVG and NEA remained stable throughout the reporting
period.
Due to capital gains generated by normal portfolio activity, common shareholders
of the following 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)
--------------------------------------------------------------------------------
NQI $0.0775 --
--------------------------------------------------------------------------------
NIO $0.1394 $0.0004
--------------------------------------------------------------------------------
NIF $0.0955 --
--------------------------------------------------------------------------------
These distributions, which represented an important part of the total returns of
these three Funds for this period, were generated by bond calls or by sales of
appreciated securities. This had a slight negative impact on the Funds' earning
power per common share and was a minor factor in the common 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 April 30, 2006, all of the
Funds in this report except NEA had a positive UNII balance for financial
statement purposes and a positive UNII balance, based upon our best estimate,
for tax purposes. NEA had a negative UNII balance for financial statement
purposes and a positive UNII balance, based upon our best estimate, for tax
purposes.
10
At the end of the reporting period, the Funds' share prices were trading at
discounts to their NAVs as shown in the accompanying chart:
4/30/06 6-MONTH
DISCOUNT AVERAGE DISCOUNT
--------------------------------------------------------------------------------
NQI -3.19% -2.45%
--------------------------------------------------------------------------------
NIO -4.02% -4.78%
--------------------------------------------------------------------------------
NIF -3.73% -4.79%
--------------------------------------------------------------------------------
NPX -8.19% -8.33%
--------------------------------------------------------------------------------
NVG -0.26% -4.63%
--------------------------------------------------------------------------------
NEA -5.77% -7.61%
--------------------------------------------------------------------------------
11
Nuveen Insured Quality Municipal Fund, Inc.
NQI
Performance
OVERVIEW As of April 30, 2006
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
Insured 87%
U.S. Guaranteed 13%
Bar Chart:
2005-2006 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
May 0.0815
Jun 0.0775
Jul 0.0775
Aug 0.0775
Sep 0.074
Oct 0.074
Nov 0.074
Dec 0.0705
Jan 0.0705
Feb 0.0705
Mar 0.067
Apr 0.067
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/01/05 15.42
15.51
15.5
15.61
15.42
15.4
15.62
15.52
15.64
15.65
15.65
15.63
15.77
15.76
15.77
15.72
15.8
15.75
15.84
15.9
15.96
16.01
16.02
16.1
16.02
15.91
15.99
15.99
15.96
15.76
15.76
15.93
15.94
15.91
15.9
16.01
16.05
16.14
16.22
16.16
16.09
16.08
16.07
16.03
16.1
16.19
16.2
16.21
16.34
16.4
16.42
16.47
16.36
16.17
16.07
16.08
15.94
15.96
15.79
15.8
15.88
15.85
15.91
15.91
15.73
15.75
15.79
15.74
15.62
15.57
15.45
15.57
15.53
15.55
15.57
15.63
15.63
15.64
15.67
15.68
15.7
15.66
15.59
15.6
15.6
15.7
15.83
15.85
15.93
15.9
15.91
15.9
15.89
15.73
15.66
15.68
15.6
15.56
15.58
15.61
15.62
15.55
15.5
15.55
15.38
15.45
15.59
15.58
15.6
15.63
15.6
15.65
15.59
15.54
15.59
15.59
15.39
15.34
15.43
15.19
15.3
15.38
15.42
15.44
15.42
15.24
15.46
15.3
15.31
15.33
15.38
15.39
15.31
15.44
15.46
15.32
15.1
15.02
14.97
14.92
14.91
14.89
14.55
14.7
14.62
14.6
14.6
14.74
14.67
14.62
14.76
14.73
14.66
14.71
14.56
14.57
14.55
14.59
14.4
14.35
14.35
14.39
14.38
14.36
14.42
14.42
14.56
14.51
14.6
14.76
14.79
14.79
14.83
14.95
14.96
15
15.07
15.1
15.08
14.97
14.96
15.06
15.09
15.09
15.21
15.34
15.32
15.23
15.33
15.44
15.5
15.61
15.58
15.5
15.34
15.26
15.26
15.25
15.07
15.04
15.01
14.93
14.91
14.98
14.95
15
15.04
15
14.97
15.02
15.09
15
15.06
15.05
14.86
14.75
14.75
14.81
14.88
14.93
14.86
14.85
15.03
15.03
14.96
14.94
14.86
14.94
15
15
14.88
14.96
15
14.99
15.01
14.99
14.91
14.84
14.79
14.68
14.57
14.54
14.55
14.46
14.5
14.51
14.45
14.45
14.51
14.54
14.57
14.56
14.55
4/30/06 14.55
FUND SNAPSHOT
------------------------------------
Common Share Price $14.55
------------------------------------
Common Share
Net Asset Value $15.03
------------------------------------
Premium/(Discount) to NAV -3.19%
------------------------------------
Market Yield 5.53%
------------------------------------
Taxable-Equivalent Yield1 7.68%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $575,498
------------------------------------
Average Effective Maturity
on Securities (Years) 19.38
------------------------------------
Leverage-Adjusted Duration 8.03
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 12/19/90)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) -1.76% 1.41%
------------------------------------
1-Year -0.66% 1.91%
------------------------------------
5-Year 6.71% 6.95%
------------------------------------
10-Year 6.37% 6.50%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
California 18.9%
------------------------------------
Texas 12.8%
------------------------------------
New York 11.4%
------------------------------------
Illinois 10.0%
------------------------------------
Washington 7.2%
------------------------------------
Florida 5.6%
------------------------------------
Nevada 4.6%
------------------------------------
Hawaii 4.0%
------------------------------------
Kentucky 3.8%
------------------------------------
Pennsylvania 2.0%
------------------------------------
Other 19.7%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Transportation 22.3%
------------------------------------
Tax Obligation/Limited 15.1%
------------------------------------
U.S. Guaranteed 13.4%
------------------------------------
Tax Obligation/General 13.0%
------------------------------------
Health Care 12.5%
------------------------------------
Utilities 9.0%
------------------------------------
Water and Sewer 6.1%
------------------------------------
Other 8.6%
------------------------------------
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 federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
2 The Fund paid shareholders a capital gains distribution in December 2005 of
$0.0775 per share.
12
Nuveen Insured Municipal Opportunity Fund, Inc.
NIO
Performance
OVERVIEW As of April 30, 2006
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
Insured 77%
U.S. Guaranteed 23%
Bar Chart:
2005-2006 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
May 0.078
Jun 0.074
Jul 0.074
Aug 0.074
Sep 0.071
Oct 0.071
Nov 0.071
Dec 0.071
Jan 0.071
Feb 0.071
Mar 0.0675
Apr 0.0675
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/01/05 15.1
15.15
15.18
15.27
15.15
15.27
15.29
15.28
15.21
15.28
15.36
15.4
15.42
15.36
15.44
15.54
15.52
15.45
15.44
15.4
15.42
15.42
15.43
15.45
15.48
15.6
15.55
15.51
15.54
15.42
15.43
15.39
15.5
15.46
15.5
15.49
15.6
15.67
15.65
15.62
15.63
15.7
15.6
15.56
15.64
15.69
15.73
15.67
15.65
15.76
15.65
15.62
15.64
15.5
15.59
15.57
15.48
15.46
15.42
15.37
15.49
15.44
15.38
15.38
15.42
15.47
15.5
15.51
15.36
15.34
15.3
15.37
15.22
15.26
15.25
15.26
15.22
15.25
15.25
15.22
15.26
15.31
15.32
15.35
15.35
15.36
15.41
15.41
15.5
15.53
15.52
15.47
15.5
15.56
15.44
15.26
15.17
15.11
15.1
15.13
15.14
15.03
15.01
14.87
14.74
14.85
14.9
14.96
14.97
14.99
15.07
15.09
14.97
14.88
14.91
14.75
14.71
14.51
14.51
14.36
14.45
14.45
14.5
14.5
14.51
14.37
14.42
14.51
14.52
14.51
14.55
14.52
14.43
14.42
14.45
14.35
14.2
14.32
14.22
14.21
14.23
14.24
14.2
14.23
14.25
14.23
14.28
14.35
14.37
14.24
14.29
14.34
14.2
14.25
14.27
14.22
14.2
14.22
13.94
14.02
13.96
13.95
13.94
14.03
14.08
14.06
14.03
14.14
14.31
14.42
14.44
14.44
14.72
14.84
14.89
15
14.96
14.8
14.83
14.94
14.91
14.92
15.03
15.06
15.14
15.14
15.23
15.21
15.1
15.12
15.12
15.24
15.24
15.2
15.15
15.12
15.02
15.2
15.19
15.16
15.1
15.12
15.13
15.1
15.14
15.16
15.15
15.15
15.23
15.31
15.29
15.36
15.2
15.21
15.14
14.95
15.02
15.06
14.95
14.95
14.91
14.8
14.85
14.85
14.85
14.79
14.81
14.85
14.95
14.98
14.9
14.98
14.95
15.02
15.11
15.03
14.97
14.91
14.73
14.7
14.6
14.55
14.44
14.35
14.38
14.39
14.37
14.43
14.51
14.46
14.47
14.54
14.57
4/30/06 14.57
FUND SNAPSHOT
------------------------------------
Common Share Price $14.57
------------------------------------
Common Share
Net Asset Value $15.18
------------------------------------
Premium/(Discount) to NAV -4.02%
------------------------------------
Market Yield 5.56%
------------------------------------
Taxable-Equivalent Yield1 7.72%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $1,231,901
------------------------------------
Average Effective Maturity
on Securities (Years) 17.62
------------------------------------
Leverage-Adjusted Duration 8.38
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 9/19/91)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 4.17% 1.79%
------------------------------------
1-Year 3.80% 1.51%
------------------------------------
5-Year 7.28% 6.92%
------------------------------------
10-Year 6.43% 6.49%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
California 19.3%
------------------------------------
Texas 10.5%
------------------------------------
Alabama 7.1%
------------------------------------
New York 6.2%
------------------------------------
Nevada 5.4%
------------------------------------
Colorado 4.6%
------------------------------------
Michigan 4.2%
------------------------------------
Florida 4.1%
------------------------------------
Illinois 3.9%
------------------------------------
Massachusetts 3.0%
------------------------------------
Wisconsin 2.7%
------------------------------------
South Carolina 2.6%
------------------------------------
Hawaii 2.1%
------------------------------------
Ohio 1.9%
------------------------------------
Indiana 1.7%
------------------------------------
New Jersey 1.5%
------------------------------------
Louisiana 1.5%
------------------------------------
Virginia 1.5%
------------------------------------
Other 16.2%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
U.S. Guaranteed 23.1%
------------------------------------
Tax Obligation/Limited 16.9%
------------------------------------
Transportation 16.8%
------------------------------------
Tax Obligation/General 13.0%
------------------------------------
Health Care 7.7%
------------------------------------
Utilities 7.4%
------------------------------------
Water and Sewer 6.7%
------------------------------------
Other 8.4%
------------------------------------
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 federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
2 The Fund paid shareholders capital gains and net ordinary income
distributions in December 2005 of $0.1398 per share.
13
Nuveen Premier Insured Municipal Income Fund, Inc.
NIF
Performance
OVERVIEW As of April 30, 2006
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
Insured 83%
U.S. Guaranteed 17%
Bar Chart:
2005-2006 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
May 0.0785
Jun 0.0745
Jul 0.0745
Aug 0.0745
Sep 0.071
Oct 0.071
Nov 0.071
Dec 0.0675
Jan 0.0675
Feb 0.0675
Mar 0.0675
Apr 0.0675
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/01/05 15.13
15.22
15.22
15.3
15.2
15.29
15.35
15.31
15.41
15.26
15.3
15.42
15.41
15.35
15.34
15.42
15.43
15.56
15.56
15.65
15.58
15.6
15.55
15.49
15.51
15.5
15.54
15.53
15.48
15.42
15.4
15.4
15.58
15.53
15.5
15.56
15.6
15.65
15.69
15.69
15.62
15.7
15.69
15.74
15.81
15.86
15.85
15.92
16
16
16.03
16
15.81
15.6
15.47
15.54
15.45
15.45
15.53
15.6
15.65
15.67
15.62
15.62
15.7
15.77
15.75
15.7
15.57
15.37
15.4
15.48
15.49
15.36
15.34
15.33
15.24
15.33
15.24
15.26
15.28
15.37
15.34
15.25
15.38
15.37
15.44
15.5
15.5
15.58
15.58
15.45
15.48
15.54
15.53
15.5
15.34
15.38
15.33
15.31
15.37
15.19
15.07
15.15
15.11
15.14
15.14
15.26
15.24
15.25
15.32
15.27
15.14
15.14
15.15
14.96
14.71
14.64
14.5
14.41
14.39
14.42
14.46
14.57
14.67
14.39
14.46
14.41
14.4
14.42
14.41
14.46
14.33
14.32
14.32
14.15
14.11
14.01
14.09
14.11
14.13
14.1
14.02
14.18
14.15
14.2
14.26
14.38
14.36
14.37
14.42
14.23
14.29
14.25
14.26
14.38
14.22
14.16
13.9
13.97
13.92
13.97
14.04
13.97
14.07
14.14
14.19
14.15
14.29
14.41
14.31
14.31
14.41
14.44
14.51
14.61
14.6
14.56
14.47
14.51
14.47
14.48
14.59
14.62
14.64
14.72
14.84
14.88
14.86
14.88
14.77
14.91
15.03
14.99
15
15
14.99
14.87
14.95
15
15
14.96
14.87
14.9
14.8
14.76
14.75
14.86
14.85
14.95
14.99
14.99
15.16
15.02
14.87
14.74
14.86
14.85
14.86
14.82
14.75
14.76
14.81
14.76
14.6
14.65
14.76
14.62
14.87
15
15
14.93
14.9
14.98
14.99
14.98
14.9
14.76
14.76
14.69
14.72
14.6
14.51
14.47
14.49
14.38
14.37
14.37
14.41
14.4
14.29
14.3
14.44
4/30/06 14.44
FUND SNAPSHOT
------------------------------------
Common Share Price $14.44
------------------------------------
Common Share
Net Asset Value $15.00
------------------------------------
Premium/(Discount) to NAV -3.73%
------------------------------------
Market Yield 5.61%
------------------------------------
Taxable-Equivalent Yield1 7.79%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $291,250
------------------------------------
Average Effective Maturity
on Securities (Years) 15.99
------------------------------------
Leverage-Adjusted Duration 8.91
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 12/19/91)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 3.77% 1.11%
------------------------------------
1-Year 1.97% 1.04%
------------------------------------
5-Year 6.47% 6.67%
------------------------------------
10-Year 6.43% 6.19%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
California 19.9%
------------------------------------
Washington 12.1%
------------------------------------
Illinois 10.3%
------------------------------------
Texas 6.9%
------------------------------------
New York 6.0%
------------------------------------
Nevada 5.7%
------------------------------------
Colorado 4.7%
------------------------------------
Florida 3.7%
------------------------------------
Oregon 2.8%
------------------------------------
Hawaii 2.5%
------------------------------------
Michigan 2.4%
------------------------------------
Tennessee 2.4%
------------------------------------
Missouri 2.3%
------------------------------------
Other 18.3%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Tax Obligation/General 22.9%
------------------------------------
Transportation 19.6%
------------------------------------
U.S. Guaranteed 17.3%
------------------------------------
Tax Obligation/Limited 13.0%
------------------------------------
Health Care 10.1%
------------------------------------
Utilities 7.4%
------------------------------------
Other 9.7%
------------------------------------
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 federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
2 The Fund paid shareholders a capital gains distribution in December 2005 of
$0.0955 per share.
14
Nuveen Insured Premium Income Municipal Fund 2
NPX
Performance
OVERVIEW As of April 30, 2006
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
Insured 88%
U.S. Guaranteed 12%
Bar Chart:
2005-2006 MONTHLY TAX-FREE DIVIDENDS PER SHARE
May 0.07
Jun 0.0665
Jul 0.0665
Aug 0.0665
Sep 0.0635
Oct 0.0635
Nov 0.0635
Dec 0.06
Jan 0.06
Feb 0.06
Mar 0.057
Apr 0.057
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/01/05 13.38
13.35
13.41
13.43
13.35
13.34
13.5
13.43
13.46
13.48
13.56
13.64
13.54
13.51
13.47
13.5
13.54
13.49
13.48
13.46
13.58
13.61
13.65
13.61
13.66
13.68
13.73
13.72
13.74
13.59
13.65
13.56
13.56
13.55
13.47
13.52
13.5
13.55
13.56
13.67
13.68
13.7
13.64
13.6
13.63
13.71
13.75
13.75
13.78
13.81
13.69
13.69
13.66
13.59
13.63
13.7
13.57
13.58
13.67
13.67
13.69
13.69
13.68
13.68
13.68
13.71
13.9
13.84
13.76
13.7
13.56
13.63
13.59
13.6
13.57
13.62
13.59
13.54
13.56
13.6
13.61
13.62
13.61
13.62
13.63
13.67
13.69
13.78
13.82
13.8
13.81
13.89
13.87
13.86
13.79
13.65
13.51
13.47
13.43
13.32
13.29
13.24
13.17
13.05
12.94
13.07
13.1
13.15
13.14
13.1
13.2
13.21
13.13
13.13
13.17
12.9
12.74
12.74
12.75
12.68
12.74
12.75
12.86
12.89
12.87
12.7
12.75
12.75
12.83
12.88
12.83
12.75
12.81
12.8
12.86
12.75
12.61
12.65
12.58
12.5
12.53
12.54
12.47
12.44
12.48
12.51
12.53
12.61
12.6
12.65
12.63
12.65
12.57
12.54
12.51
12.56
12.55
12.51
12.42
12.44
12.47
12.47
12.44
12.46
12.43
12.43
12.52
12.54
12.58
12.61
12.65
12.65
12.67
12.79
13.03
13.08
13.18
13
12.85
12.89
12.95
12.96
12.99
13
13.06
13.07
13.14
13.11
13.05
13.1
13.08
13.09
13.13
13.08
13.05
12.96
13.04
13.04
13.15
13.2
13.14
13.14
13.14
13.13
13.14
13.11
13.16
13.09
13.15
13.15
13.22
13.19
13.14
13.06
13
12.86
12.82
12.85
12.87
12.91
12.9
12.92
12.96
12.95
12.92
12.95
12.93
12.95
12.91
12.93
12.92
12.94
12.91
12.99
13.08
13.08
12.94
12.93
12.9
12.82
12.72
12.74
12.69
12.64
12.62
12.62
12.53
12.55
12.54
12.52
12.58
12.6
12.66
4/30/06 12.66
FUND SNAPSHOT
------------------------------------
Common Share Price $12.66
------------------------------------
Common Share
Net Asset Value $13.79
------------------------------------
Premium/(Discount) to NAV -8.19%
------------------------------------
Market Yield 5.40%
------------------------------------
Taxable-Equivalent Yield1 7.50%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $515,211
------------------------------------
Average Effective Maturity
on Securities (Years) 17.18
------------------------------------
Leverage-Adjusted Duration 8.25
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 7/22/93)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 1.45% 1.55%
------------------------------------
1-Year 0.24% 1.42%
------------------------------------
5-Year 5.90% 6.71%
------------------------------------
10-Year 7.40% 6.68%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
California 14.5%
------------------------------------
Texas 10.0%
------------------------------------
Pennsylvania 8.7%
------------------------------------
New York 8.6%
------------------------------------
Colorado 6.2%
------------------------------------
Hawaii 5.3%
------------------------------------
Washington 4.6%
------------------------------------
Wisconsin 4.3%
------------------------------------
Massachusetts 3.8%
------------------------------------
North Dakota 2.5%
------------------------------------
Georgia 2.5%
------------------------------------
Oregon 2.4%
------------------------------------
Utah 2.2%
------------------------------------
Nevada 2.1%
------------------------------------
Illinois 2.1%
------------------------------------
New Jersey 2.1%
------------------------------------
Other 18.1%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Utilities 17.0%
------------------------------------
Tax Obligation/Limited 13.2%
------------------------------------
Tax Obligation/General 12.5%
------------------------------------
U.S. Guaranteed 12.1%
------------------------------------
Water and Sewer 11.6%
------------------------------------
Transportation 11.0%
------------------------------------
Health Care 10.6%
------------------------------------
Education and Civic
Organizations 7.4%
------------------------------------
Other 4.6%
------------------------------------
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 federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
15
Nuveen Insured Dividend Advantage Municipal Fund
NVG
Performance
OVERVIEW As of April 30, 2006
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
Insured 93%
AAA (Uninsured) 2%
AA (Uninsured) 5%
Bar Chart:
2005-2006 MONTHLY TAX-FREE DIVIDENDS PER SHARE
May 0.0745
Jun 0.0705
Jul 0.0705
Aug 0.0705
Sep 0.0705
Oct 0.0705
Nov 0.0705
Dec 0.0705
Jan 0.0705
Feb 0.0705
Mar 0.0705
Apr 0.0705
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/01/05 14.36
14.37
14.38
14.38
14.31
14.34
14.35
14.26
14.32
14.38
14.38
14.43
14.45
14.47
14.39
14.45
14.5
14.5
14.44
14.53
14.66
14.82
14.84
14.9
14.91
14.9
14.85
14.75
14.63
14.45
14.45
14.47
14.62
14.72
14.69
14.73
14.78
14.72
14.7
14.73
14.72
14.79
14.75
14.77
14.79
14.85
14.84
14.9
14.9
14.94
14.83
14.84
14.85
14.76
14.82
14.82
14.74
14.71
14.7
14.79
14.87
14.94
14.91
14.91
14.88
14.79
14.83
14.88
14.82
14.82
14.86
14.8
14.78
14.74
14.7
14.74
14.73
14.69
14.68
14.64
14.67
14.66
14.7
14.68
14.7
14.73
14.72
14.73
14.86
14.81
14.85
14.88
14.92
14.95
14.89
14.87
14.68
14.55
14.58
14.46
14.55
14.46
14.47
14.49
14.43
14.55
14.45
14.46
14.52
14.5
14.5
14.43
14.5
14.5
14.54
14.37
14.18
14.14
14.1
14.07
13.96
14.11
14.24
14.29
14.24
14.18
14.19
14.12
14.17
14.2
14.08
14.12
14.06
14.12
14.18
14.13
14.06
14.16
14.07
14.05
14.13
14.06
13.95
14.03
14
13.93
14.07
14.14
14.15
14.03
14.03
14.14
14.04
14
14.05
14.1
14.1
14.11
13.97
13.93
13.9
13.97
14.03
14
13.99
14.06
14
14.05
14.08
14.17
14.12
14.12
14.23
14.34
14.36
14.58
14.65
14.6
14.5
14.55
14.7
14.72
14.96
14.9
14.86
14.9
14.98
14.95
15
14.94
14.92
15.03
15.03
14.92
14.87
14.91
15.01
14.93
14.98
14.85
14.74
14.87
14.94
14.94
15.01
14.89
15.02
15
15
15.01
15.04
14.98
15.04
15.05
15
14.94
15.04
15.07
15.05
14.92
14.91
14.91
14.92
15.01
15.08
15
14.94
14.9
14.8
14.82
14.81
14.85
14.87
14.88
14.93
14.98
14.99
15.07
14.97
14.98
14.88
14.88
14.89
14.61
14.72
14.88
14.9
15
14.98
14.98
15
14.99
15.1
4/30/06 15.1
FUND SNAPSHOT
------------------------------------
Common Share Price $15.10
------------------------------------
Common Share
Net Asset Value $15.14
------------------------------------
Premium/(Discount) to NAV -0.26%
------------------------------------
Market Yield 5.60%
------------------------------------
Taxable-Equivalent Yield1 7.78%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $451,207
------------------------------------
Average Effective Maturity
on Securities (Years) 16.17
------------------------------------
Leverage-Adjusted Duration 7.95
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/25/02)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 9.66% 2.19%
------------------------------------
1-Year 11.87% 2.33%
------------------------------------
Since
Inception 6.87% 7.80%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
Texas 18.3%
------------------------------------
Indiana 11.5%
------------------------------------
Illinois 10.0%
------------------------------------
Washington 9.1%
------------------------------------
Florida 8.7%
------------------------------------
California 7.8%
------------------------------------
Tennessee 6.2%
------------------------------------
Pennsylvania 3.6%
------------------------------------
Colorado 3.0%
------------------------------------
Nevada 2.9%
------------------------------------
Other 18.9%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
U.S. Guaranteed 19.3%
------------------------------------
Tax Obligation/General 18.1%
------------------------------------
Tax Obligation/Limited 15.7%
------------------------------------
Transportation 13.4%
------------------------------------
Water and Sewer 9.2%
------------------------------------
Education and Civic
Organizations 7.4%
------------------------------------
Utilities 7.3%
------------------------------------
Health Care 7.0%
------------------------------------
Other 2.6%
------------------------------------
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 federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
16
Nuveen Insured Tax-Free Advantage Municipal Fund
NEA
Performance
OVERVIEW As of April 30, 2006
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
Insured 89%
AAA (Uninsured) 4%
AA (Uninsured) 2%
A (Uninsured) 3%
BBB (Uninsured) 2%
Bar Chart:
2005-2006 MONTHLY TAX-FREE DIVIDENDS PER SHARE
May 0.0685
Jun 0.065
Jul 0.065
Aug 0.065
Sep 0.062
Oct 0.062
Nov 0.062
Dec 0.062
Jan 0.062
Feb 0.062
Mar 0.062
Apr 0.062
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
5/01/05 14.07
14.08
14.1
13.9
13.82
13.87
14.09
14.04
14.1
14.25
14.27
14.24
14.25
14.26
14.26
14.5
14.44
14.33
14.3
14.11
14.25
14.4
14.49
14.38
14.47
14.47
14.47
14.44
14.33
14.26
14.22
14.17
14.33
14.51
14.35
14.5
14.49
14.49
14.46
14.49
14.51
14.62
14.5
14.57
14.47
14.5
14.47
14.48
14.5
14.5
14.5
14.5
14.43
14.44
14.45
14.41
14.34
14.53
14.46
14.61
14.66
14.83
14.73
14.73
14.75
14.7
14.67
14.51
14.55
14.65
14.55
14.59
14.4
14.42
14.35
14.34
14.34
14.4
14.4
14.36
14.44
14.46
14.39
14.43
14.47
14.47
14.58
14.64
14.57
14.6
14.55
14.43
14.4
14.52
14.52
14.38
14.27
14.31
14.21
14.11
14.04
13.79
13.87
13.9
13.68
13.7
13.78
13.88
13.93
13.92
13.88
13.91
13.91
13.87
14.04
14.12
13.79
13.92
13.78
13.47
13.51
13.5
13.59
13.52
13.5
13.23
13.34
13.41
13.41
13.47
13.44
13.37
13.18
13.31
13.33
13.27
13.2
13.16
13.06
13.02
13.15
13.08
13.15
13.17
13.09
13.09
13.07
13.17
13.05
12.98
13.12
13.09
13.08
13.1
13.01
13.13
13.09
13.16
13.09
13.11
13.1
13.09
13.04
13.01
13.01
13.04
13.12
13.11
13.23
13.35
13.34
13.34
13.56
13.63
13.68
13.7
13.71
13.68
13.68
13.94
13.65
13.6
13.7
13.74
13.72
13.81
14.01
13.93
13.83
13.95
13.83
13.88
13.84
13.7
13.62
13.6
13.6
13.67
13.73
13.75
13.95
13.84
13.92
13.9
14
14.05
14.07
14.02
14.04
14.1
14.1
14.07
14.02
13.85
13.85
13.8
13.8
13.95
13.87
13.71
13.65
13.8
13.75
13.82
13.73
13.57
13.67
13.63
13.75
13.71
13.73
13.75
13.69
13.78
13.8
13.79
13.84
13.75
13.72
13.65
13.56
13.48
13.5
13.56
13.73
13.6
13.59
13.65
13.66
13.7
13.7
13.75
13.71
4/30/06 13.71
FUND SNAPSHOT
------------------------------------
Common Share Price $13.71
------------------------------------
Common Share
Net Asset Value $14.55
------------------------------------
Premium/(Discount) to NAV -5.77%
------------------------------------
Market Yield 5.43%
------------------------------------
Taxable-Equivalent Yield1 7.54%
------------------------------------
Net Assets Applicable to
Common Shares ($000) $269,324
------------------------------------
Average Effective Maturity
on Securities (Years) 20.53
------------------------------------
Leverage-Adjusted Duration 7.26
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 11/21/02)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-Month
(Cumulative) 5.05% 2.49%
------------------------------------
1-Year 2.50% 2.51%
------------------------------------
Since
Inception 3.27% 6.36%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
California 19.3%
------------------------------------
Texas 8.6%
------------------------------------
Michigan 7.7%
------------------------------------
New York 6.8%
------------------------------------
Washington 6.1%
------------------------------------
Indiana 5.8%
------------------------------------
Pennsylvania 5.8%
------------------------------------
Alabama 5.5%
------------------------------------
South Carolina 4.9%
------------------------------------
Wisconsin 4.4%
------------------------------------
Massachusetts 3.4%
------------------------------------
Colorado 2.5%
------------------------------------
Illinois 2.5%
------------------------------------
Arizona 2.5%
------------------------------------
Other 14.2%
------------------------------------
INDUSTRIES
(as a % of total investments)
------------------------------------
Tax Obligation/General 27.9%
------------------------------------
Tax Obligation/Limited 26.2%
------------------------------------
Health Care 13.6%
------------------------------------
Utilities 9.5%
------------------------------------
Transportation 7.1%
------------------------------------
Water and Sewer 6.5%
------------------------------------
U.S. Guaranteed 6.1%
------------------------------------
Other 3.1%
------------------------------------
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 federal income tax rate of 28%. When
comparing this Fund to investments that generate qualified dividend income,
the Taxable-Equivalent Yield is lower.
17
Nuveen Insured Quality Municipal Fund, Inc. (NQI)
Portfolio of
INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.5% (1.0% OF TOTAL INVESTMENTS)
$ 1,135 Birmingham Waterworks and Sewerage Board, Alabama, Water 1/13 at 100.00 AAA $ 1,202,589
and Sewerage Revenue Bonds, Series 2002B, 5.250%, 1/01/20 -
MBIA Insured
7,500 Huntsville Healthcare Authority, Alabama, Revenue Bonds, 6/15 at 100.00 AAA 7,709,325
Series 2005A, 5.000%, 6/01/24 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
8,635 Total Alabama 8,911,914
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 1.6% (1.1% OF TOTAL INVESTMENTS)
9,200 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/12 at 100.00 AAA 9,465,328
Airport Revenue Bonds, Series 2002B, 5.250%, 7/01/32 -
FGIC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.8% (0.5% OF TOTAL INVESTMENTS)
4,250 University of Arkansas, Fayetteville, Revenue Bonds, Medical 11/14 at 100.00 Aaa 4,406,443
Sciences Campus, Series 2004B, 5.000%, 11/01/24 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 29.0% (18.9% OF TOTAL INVESTMENTS)
1,500 Acalanes Union High School District, Contra Costa County, 8/15 at 100.00 AAA 1,564,830
California, General Obligation Bonds, Series 2005,
5.000%, 8/01/24 - FGIC Insured
6,620 Alameda County, California, Certificates of Participation, 9/06 at 102.00 AAA 6,801,256
Alameda County Public Facilities Corporation, Series 1991,
6.000%, 9/01/21 (Pre-refunded 9/01/06) - MBIA Insured
California Department of Water Resources, Water System
Revenue Bonds, Central Valley Project, Series 2005AC:
4,045 5.000%, 12/01/24 - MBIA Insured 12/14 at 100.00 AAA 4,206,638
4,000 5.000%, 12/01/26 - MBIA Insured 12/14 at 100.00 AAA 4,151,160
1,275 California Educational Facilities Authority, Revenue Bonds, 10/15 at 100.00 Aaa 1,369,541
Occidental College, Series 2005A, 5.250%, 10/01/23 -
MBIA Insured
13,175 California Pollution Control Financing Authority, Revenue 9/09 at 101.00 AAA 13,853,776
Refunding Bonds, Southern California Edison Company,
Series 1999A, 5.450%, 9/01/29 - MBIA Insured
8,000 California, General Obligation Bonds, Series 2002, 10/12 at 100.00 AAA 8,188,080
5.000%, 10/01/32 - MBIA Insured
3,750 California, General Obligation Bonds, Series 2004, 4/14 at 100.00 AAA 3,857,325
5.000%, 4/01/31 - AMBAC Insured
20,500 California, General Obligation Refunding Bonds, Series 2002, 4/12 at 100.00 AAA 21,003,685
5.000%, 4/01/27 - AMBAC Insured
2,340 Cerritos Public Financing Authority, California, Tax Allocation 11/17 at 102.00 AAA 2,463,529
Revenue Bonds, Los Cerritos Redevelopment Projects,
Series 2002A, 5.000%, 11/01/24 - AMBAC Insured
Foothill/Eastern Transportation Corridor Agency, California,
Toll Road Revenue Refunding Bonds, Series 1999:
22,985 0.000%, 1/15/24 - MBIA Insured 1/10 at 44.52 AAA 8,642,590
22,000 0.000%, 1/15/31 - MBIA Insured 1/10 at 29.11 AAA 5,417,720
50,000 0.000%, 1/15/37 - MBIA Insured 1/10 at 20.19 AAA 8,538,500
5,000 Garden Grove, California, Certificates of Participation, Financing 3/12 at 101.00 AAA 5,174,300
Project, Series 2002A, 5.125%, 3/01/32 - AMBAC Insured
5,500 Golden State Tobacco Securitization Corporation, California, 6/15 at 100.00 AAA 5,626,830
Tobacco Settlement Asset-Backed Revenue Bonds,
Series 2005A, 5.000%, 6/01/35 - FGIC Insured
5,000 Inland Empire Solid Waste Financing Authority, California, 8/06 at 102.00 AAA 5,126,950
Revenue Bonds, Landfill Improvement Financing Project,
Series 1996B, 6.000%, 8/01/16 (Pre-refunded 8/01/06) - FSA
Insured (Alternative Minimum Tax)
3,795 Kern Community College District, California, General Obligation 11/15 at 100.00 AAA 3,986,913
Bonds, Series 2005, 5.000%, 11/01/20 - FSA Insured
3,600 Los Angeles Unified School District, California, General 7/16 at 100.00 AAA 3,761,892
Obligation Bonds, Series 2006F, 5.000%, 7/01/25 - FGIC Insured
18
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 5,438 Moreno Valley Public Finance Authority, California, GNMA 1/12 at 105.00 Aaa $ 5,796,745
Collateralized Assisted Living Housing Revenue Bonds,
CDC Assisted Living Project, Series 2000A, 7.500%, 1/20/42
5,860 Ontario Redevelopment Financing Authority, San Bernardino 8/06 at 100.00 AAA 5,997,124
County, California, Revenue Bonds, Redevelopment Project 1,
Series 1993, 5.850%, 8/01/22 - MBIA Insured (ETM)
3,615 Pasadena Unified School District, Los Angeles County, California, 5/13 at 100.00 AAA 3,862,519
General Obligation Bonds, Series 2003D, 5.000%, 5/01/24
(Pre-refunded 5/01/13) - MBIA Insured
2,590 Riverside County Public Financing Authority, California, 10/14 at 100.00 AAA 2,669,798
Tax Allocation Bonds, Multiple Projects, Series 2004,
5.000%, 10/01/25 - XLCA Insured
2,000 San Diego Redevelopment Agency, California, Subordinate 9/14 at 100.00 AAA 2,070,900
Lien Tax Allocation Bonds, Centre City Project, Series 2004A,
5.000%, 9/01/21 - XLCA Insured
San Francisco Airports Commission, California, Revenue Refunding
Bonds, San Francisco International Airport, Second Series 2001,
Issue 27A:
7,200 5.125%, 5/01/21 - MBIA Insured (Alternative Minimum Tax) 5/11 at 100.00 AAA 7,402,032
12,690 5.250%, 5/01/31 - MBIA Insured (Alternative Minimum Tax) 5/11 at 100.00 AAA 12,978,317
San Francisco Bay Area Rapid Transit District, California, Sales
Tax Revenue Bonds, Series 2005A:
2,000 5.000%, 7/01/21 - MBIA Insured 7/15 at 100.00 AAA 2,093,520
3,655 5.000%, 7/01/22 - MBIA Insured 7/15 at 100.00 AAA 3,823,093
3,840 5.000%, 7/01/23 - MBIA Insured 7/15 at 100.00 AAA 4,010,688
1,000 Sierra Joint Community College District, Tahoe Truckee, 8/14 at 100.00 AAA 1,034,450
California, General Obligation Bonds, School Facilities
Improvement District 1, Series 2005A, 5.000%, 8/01/27 -
FGIC Insured
1,575 Sierra Joint Community College District, Western Nevada, 8/14 at 100.00 AAA 1,627,070
California, General Obligation Bonds, School Facilities
Improvement District 2, Series 2005A, 5.000%, 8/01/27 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
234,548 Total California 167,101,771
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 1.4% (0.9% OF TOTAL INVESTMENTS)
2,015 Board of Trustees of the University of Northern Colorado, 6/15 at 100.00 AAA 2,107,025
Revenue Bonds, Series 2005, 5.000%, 6/01/22 - FSA Insured
3,750 Denver City and County, Colorado, Airport System Revenue 11/06 at 101.00 AAA 3,819,413
Bonds, Series 1996D, 5.500%, 11/15/25 - MBIA Insured
1,250 Jefferson County School District R1, Colorado, General 12/14 at 100.00 AAA 1,301,038
Obligation Bonds, Series 2004, 5.000%, 12/15/24 - FSA Insured
1,000 University of Colorado, Enterprise System Revenue Bonds, 6/15 at 100.00 AAA 1,035,800
Series 2005, 5.000%, 6/01/30 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
8,015 Total Colorado 8,263,276
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.4% (0.2% OF TOTAL INVESTMENTS)
2,000 Connecticut, General Obligation Bonds, Series 2004D, 12/14 at 100.00 AAA 2,095,940
5.000%, 12/01/22 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
DELAWARE - 0.5% (0.4% OF TOTAL INVESTMENTS)
3,000 Delaware River and Bay Authority, Delaware and 1/15 at 100.00 AAA 3,122,970
New Jersey, Revenue Bonds, Series 2005, 5.000%, 1/01/25 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 1.4% (0.9% OF TOTAL INVESTMENTS)
8,000 Washington Convention Center Authority, District of Columbia, 10/08 at 101.00 AAA 8,255,760
Senior Lien Dedicated Tax Revenue Bonds, Series 1998,
5.000%, 10/01/21 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 8.5% (5.6% OF TOTAL INVESTMENTS)
3,450 Collier County, Florida, Capital Improvement Revenue Bonds, 10/14 at 100.00 AAA 3,590,588
Series 2005, 5.000%, 10/01/24 - MBIA Insured
4,000 Florida Board of Education, Lottery Revenue Bonds, 7/15 at 101.00 AAA 4,206,640
Series 2005A, 5.000%, 7/01/22 - AMBAC Insured
3,250 Florida State Board of Education, Full Faith and Credit Public 6/13 at 101.00 AAA 3,381,430
Education Capital Outlay Bonds, Series 2003J,
5.000%, 6/01/22 - AMBAC Insured
19
Nuveen Insured Quality Municipal Fund, Inc. (NQI) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 20,000 Lee County, Florida, Airport Revenue Bonds, Series 2000A, 10/10 at 101.00 AAA $ 21,294,800
5.750%, 10/01/25 - FSA Insured (Alternative Minimum Tax)
4,115 Miami-Dade County Housing Finance Authority, Florida, 7/11 at 100.00 AAA 4,251,042
Multifamily Housing Revenue Bonds, Monterey Pointe
Apartments, Series 2001-2A, 5.850%, 7/01/37 - FSA Insured
(Alternative Minimum Tax)
7,000 Miami-Dade County, Florida, Aviation Revenue Bonds, Miami 10/12 at 100.00 AAA 7,288,260
International Airport, Series 2002, 5.375%, 10/01/32 -
FGIC Insured (Alternative Minimum Tax)
1,000 Ocala, Florida, Utility System Revenue Bonds, Series 2005B, 10/15 at 100.00 Aaa 1,070,940
5.250%, 10/01/25 - FGIC Insured
3,780 Palm Beach County School Board, Florida, Certificates of 8/13 at 100.00 AAA 3,967,979
Participation, Series 2003A, 5.000%, 8/01/16 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
46,595 Total Florida 49,051,679
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 0.3% (0.1% OF TOTAL INVESTMENTS)
1,000 Atlanta, Georgia, Water and Wastewater Revenue Bonds, 11/14 at 100.00 AAA 1,040,400
Series 2004, 5.000%, 11/01/22 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 6.1% (4.0% OF TOTAL INVESTMENTS)
1,620 Hawaii County, Hawaii, General Obligation Bonds, Series 2003A, 7/13 at 100.00 AAA 1,683,472
5.000%, 7/15/21 - FSA Insured
16,180 Hawaii Department of Budget and Finance, Special Purpose 5/06 at 101.00 AAA 16,371,895
Revenue Bonds, Hawaiian Electric Company Inc., Series 1996A,
6.200%, 5/01/26 - MBIA Insured (Alternative Minimum Tax)
Hawaii Department of Transportation, Airport System Revenue
Refunding Bonds, Series 2000B:
8,785 6.625%, 7/01/18 - FGIC Insured (Alternative Minimum Tax) 7/10 at 101.00 AAA 9,676,853
7,000 6.000%, 7/01/19 - FGIC Insured (Alternative Minimum Tax) 7/10 at 101.00 AAA 7,543,270
------------------------------------------------------------------------------------------------------------------------------------
33,585 Total Hawaii 35,275,490
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 15.4% (10.0% OF TOTAL INVESTMENTS)
9,500 Chicago, Illinois, Second Lien General Airport Revenue Refunding 1/10 at 101.00 AAA 9,997,420
Bonds, O'Hare International Airport, Series 1999,
5.500%, 1/01/15 - AMBAC Insured (Alternative Minimum Tax)
2,875 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 AAA 3,057,534
O'Hare International Airport, Series 2005A, 5.250%, 1/01/24 -
MBIA Insured
25,000 Illinois Health Facilities Authority, Revenue Bonds, Iowa Health 2/10 at 101.00 AAA 26,987,250
System, Series 2000, 5.875%, 2/15/30 - AMBAC Insured (ETM)
13,275 Illinois, General Obligation Bonds, Illinois FIRST Program, 5/11 at 100.00 AAA 13,900,518
Series 2001, 5.250%, 5/01/26 - FSA Insured
15,785 Illinois, General Obligation Bonds, Illinois FIRST Program, 4/12 at 100.00 AAA 16,606,136
Series 2002, 5.250%, 4/01/27 - FSA Insured
18,000 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA 7,331,040
Bonds, McCormick Place Expansion Project, Series 2002A,
0.000%, 12/15/24 - MBIA Insured
10,000 University of Illinois, Certificates of Participation, Utility 8/11 at 100.00 AAA 10,701,600
Infrastructure Projects, Series 2001B, 5.250%, 8/15/21
(Pre-refunded 8/15/11) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
94,435 Total Illinois 88,581,498
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 1.6% (1.1% OF TOTAL INVESTMENTS)
7,790 Indiana Transportation Finance Authority, Highway Revenue No Opt. Call AAA 9,286,926
Bonds, Series 1990A, 7.250%, 6/01/15 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.5% (0.4% OF TOTAL INVESTMENTS)
3,000 Wichita, Kansas, Water and Sewerage Utility Revenue Bonds, 10/13 at 100.00 AAA 3,120,570
Series 2003, 5.000%, 10/01/21 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 5.8% (3.8% OF TOTAL INVESTMENTS)
3,015 Kentucky Asset/Liability Commission, General Fund Revenue 5/15 at 100.00 AAA 3,131,289
Project Notes, First Series 2005, 5.000%, 5/01/25 -
MBIA Insured
20
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY (continued)
Kentucky Economic Development Finance Authority, Health
System Revenue Bonds, Norton Healthcare Inc., Series 2000C:
$ 6,345 6.150%, 10/01/27 - MBIA Insured 10/13 at 101.00 AAA $ 7,230,191
18,185 6.150%, 10/01/28 - MBIA Insured 10/13 at 101.00 AAA 20,661,979
2,230 Kentucky State Property and Buildings Commission, Revenue 8/15 at 100.00 AAA 2,331,554
Bonds, Project 85, Series 2005, 5.000%, 8/01/23 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
29,775 Total Kentucky 33,355,013
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 0.7% (0.4% OF TOTAL INVESTMENTS)
3,790 Orleans Levee District, Louisiana, Levee District General 6/06 at 103.00 AAA 3,907,983
Obligation Bonds, Series 1986, 5.950%, 11/01/15 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
MAINE - 1.5% (1.0% OF TOTAL INVESTMENTS)
8,000 Maine Health and Higher Educational Facilities Authority, 7/09 at 101.00 AAA 8,574,800
Revenue Bonds, Series 1999B, 6.000%, 7/01/29 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 1.4% (0.9% OF TOTAL INVESTMENTS)
7,535 Maryland Transportation Authority, Airport Parking Revenue 3/12 at 101.00 AAA 8,029,899
Bonds, Baltimore-Washington International Airport Passenger
Facility, Series 2002B, 5.500%, 3/01/18 - AMBAC Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 2.2% (1.5% OF TOTAL INVESTMENTS)
5,000 Massachusetts Bay Transportation Authority, Senior Sales Tax 7/12 at 100.00 AAA 5,308,850
Revenue Refunding Bonds, Series 2002A, 5.000%, 7/01/27
(Pre-refunded 7/01/12) - FGIC Insured
1,680 Massachusetts College Building Authority, Project Revenue 5/16 at 100.00 AAA 1,734,096
Bonds, Series 2006A, 5.000%, 5/01/36 - AMBAC Insured
Massachusetts, Special Obligation Dedicated Tax Revenue
Bonds, Series 2004:
1,250 5.250%, 1/01/21 (Pre-refunded 1/01/14) - FGIC Insured 1/14 at 100.00 AAA 1,341,638
1,000 5.250%, 1/01/22 (Pre-refunded 1/01/14) - FGIC Insured 1/14 at 100.00 AAA 1,073,310
1,195 5.250%, 1/01/23 (Pre-refunded 1/01/14) - FGIC Insured 1/14 at 100.00 AAA 1,282,605
2,000 5.250%, 1/01/24 (Pre-refunded 1/01/14) - FGIC Insured 1/14 at 100.00 AAA 2,146,620
------------------------------------------------------------------------------------------------------------------------------------
12,125 Total Massachusetts 12,887,119
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 0.9% (0.6% OF TOTAL INVESTMENTS)
4,750 Michigan Strategic Fund, Collateralized Limited Obligation 9/09 at 102.00 AAA 4,978,190
Pollution Control Revenue Refunding Bonds, Detroit Edison
Company, Series 1999A, 5.550%, 9/01/29 - MBIA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 0.0% (0.0% OF TOTAL INVESTMENTS)
127 St. Louis Park, Minnesota, GNMA Mortgage-Backed Securities 10/06 at 100.00 Aaa 127,086
Program Single Family Residential Mortgage Revenue Bonds,
Series 1991A, 7.250%, 4/20/23
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 1.4% (0.9% OF TOTAL INVESTMENTS)
2,715 Harrison County Wastewater Management District, Mississippi, No Opt. Call AAA 3,321,477
Revenue Refunding Bonds, Wastewater Treatment Facilities,
Series 1991B, 7.750%, 2/01/14 - FGIC Insured
2,545 Harrison County Wastewater Management District, Mississippi, No Opt. Call AAA 3,171,299
Wastewater Treatment Facilities Revenue Refunding Bonds,
Series 1991A, 8.500%, 2/01/13 - FGIC Insured
1,640 Mississippi Home Corporation, GNMA Collateralized Single 6/06 at 105.00 Aaa 1,682,361
Family Mortgage Revenue Bonds, Series 1996C,
7.600%, 6/01/29 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
6,900 Total Mississippi 8,175,137
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,500 Camdenton Reorganized School District R3, Camden County, No Opt. Call AAA 1,605,510
Missouri, General Obligation Bonds, Series 2005,
5.250%, 3/01/24 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
21
Nuveen Insured Quality Municipal Fund, Inc. (NQI) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 7.1% (4.6% OF TOTAL INVESTMENTS)
$ 33,700 Director of Nevada State Department of Business and Industry, 1/10 at 100.00 AAA $ 34,928,700
Revenue Bonds, Las Vegas Monorail Project, First Tier,
Series 2000, 5.375%, 1/01/40 - AMBAC Insured
5,720 Reno, Nevada, Senior Lien Sales and Room Tax Revenue Bonds, 6/12 at 100.00 AAA 6,102,210
Reno Transportation Rail Access Corridor Project, Series 2002,
5.125%, 6/01/32 (Pre-refunded 6/01/12) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
39,420 Total Nevada 41,030,910
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.1% (0.7% OF TOTAL INVESTMENTS)
New Jersey Economic Development Authority, Revenue Bonds,
Motor Vehicle Surcharge, Series 2004A:
1,700 5.000%, 7/01/22 - MBIA Insured 7/14 at 100.00 AAA 1,765,161
1,700 5.000%, 7/01/23 - MBIA Insured 7/14 at 100.00 AAA 1,762,798
2,500 New Jersey Turnpike Authority, Revenue Bonds, Series 2003A, 7/13 at 100.00 AAA 2,604,550
5.000%, 1/01/19 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
5,900 Total New Jersey 6,132,509
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 1.1% (0.7% OF TOTAL INVESTMENTS)
New Mexico Finance Authority, Public Project Revolving Fund
Revenue Bonds, Series 2004C:
1,420 5.000%, 6/01/22 - AMBAC Insured 6/14 at 100.00 AAA 1,478,887
3,290 5.000%, 6/01/23 - AMBAC Insured 6/14 at 100.00 AAA 3,419,626
1,530 New Mexico State University, Revenue Bonds, Series 2004, 4/14 at 100.00 AAA 1,589,257
5.000%, 4/01/23 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
6,240 Total New Mexico 6,487,770
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 17.5% (11.4% OF TOTAL INVESTMENTS)
11,760 Dormitory Authority of the State of New York, New York City, 5/10 at 101.00 AAA 12,782,767
Lease Revenue Bonds, Court Facilities, Series 1999,
5.750%, 5/15/30 (Pre-refunded 5/15/10) - AMBAC Insured
1,100 Dormitory Authority of the State of New York, Revenue Bonds, 2/15 at 100.00 AAA 1,141,547
Mental Health Services Facilities Improvements, Series 2005A,
5.000%, 2/15/24 - AMBAC Insured
15,000 Dormitory Authority of the State of New York, Revenue Bonds, 10/12 at 100.00 AAA 16,241,100
School Districts Financing Program, Series 2002D,
5.500%, 10/01/17 - MBIA Insured
5,000 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 AAA 5,211,100
Revenue Bonds, Series 2006A, 5.000%, 12/01/25 - FGIC Insured
8,000 Metropolitan Transportation Authority, New York, State Service 7/12 at 100.00 AAA 8,257,920
Contract Refunding Bonds, Series 2002A, 5.000%, 7/01/25 -
FGIC Insured
New York City Sales Tax Asset Receivable Corporation, New York,
Dedicated Revenue Bonds, Local Government Assistance
Corporation, Series 2004A:
5,000 5.000%, 10/15/22 - MBIA Insured 10/14 at 100.00 AAA 5,233,400
1,630 5.000%, 10/15/24 - MBIA Insured 10/14 at 100.00 AAA 1,700,220
1,675 5.000%, 10/15/25 - MBIA Insured 10/14 at 100.00 AAA 1,747,159
10,615 New York State Housing Finance Agency, Mortgage Revenue 5/06 at 102.00 AAA 10,847,575
Refunding Bonds, Housing Project, Series 1996A,
6.125%, 11/01/20 - FSA Insured
4,200 New York State Mortgage Agency, Homeowner Mortgage 10/09 at 100.00 AAA 4,311,426
Revenue Bonds, Series 82, 5.550%, 10/01/19 - MBIA Insured
(Alternative Minimum Tax)
10,120 New York State Thruway Authority, General Revenue Bonds, 7/15 at 100.00 AAA 10,531,074
Series 2005G, 5.000%, 1/01/26 - FSA Insured
1,950 New York State Thruway Authority, Highway and Bridge Trust 10/15 at 100.00 AAA 2,044,770
Fund Bonds, Second Generation, Series 2005B, 5.000%, 4/01/21 -
AMBAC Insured
New York State Thruway Authority, State Personal Income Tax
Revenue Bonds, Series 2005A:
3,500 5.000%, 3/15/19 - FSA Insured 3/15 at 100.00 AAA 3,675,140
6,595 5.000%, 3/15/25 - FSA Insured 3/15 at 100.00 AAA 6,860,844
New York State Urban Development Corporation, Service
Contract Revenue Bonds, Series 2005B:
2,460 5.000%, 3/15/24 - FSA Insured 3/15 at 100.00 AAA 2,562,828
2,465 5.000%, 3/15/25 - FSA Insured 3/15 at 100.00 AAA 2,564,364
5,000 Triborough Bridge and Tunnel Authority, New York, Subordinate 11/13 at 100.00 AAA 5,143,850
Lien General Purpose Revenue Bonds, Series 2003A,
5.000%, 11/15/32 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
96,070 Total New York 100,857,084
------------------------------------------------------------------------------------------------------------------------------------
22
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.8% (1.8% OF TOTAL INVESTMENTS)
$ 7,000 Cleveland State University, Ohio, General Receipts Bonds, 6/14 at 100.00 AAA $ 7,464,940
Series 2004, 5.250%, 6/01/19 - FGIC Insured
5,000 Lorain County, Ohio, Health Facilities Revenue Bonds, Catholic 9/09 at 102.00 AAA 5,303,550
Healthcare Partners, Series 1999A, 5.500%, 9/01/29 -
AMBAC Insured
3,065 Oak Hills Local School District, Hamilton County, Ohio, General 12/15 at 100.00 AAA 3,194,098
Obligation Bonds, Series 2005, 5.000%, 12/01/24 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
15,065 Total Ohio 15,962,588
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.4% (0.3% OF TOTAL INVESTMENTS)
2,250 Oklahoma Capitol Improvement Authority, State Facilities Revenue 7/15 at 100.00 AAA 2,344,838
Bonds, Series 2005F, 5.000%, 7/01/24 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 3.0% (2.0% OF TOTAL INVESTMENTS)
3,000 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/15 at 100.00 AAA 3,123,990
Revenue Bonds, Series 2005A, 5.000%, 12/01/23 -
MBIA Insured
7,000 Allegheny County, Pennsylvania, Airport Revenue Refunding 1/08 at 101.00 AAA 7,157,920
Bonds, Pittsburgh International Airport, Series 1997A,
5.250%, 1/01/16 - MBIA Insured (Alternative Minimum Tax)
Delaware County Authority, Pennsylvania, Revenue Bonds,
Villanova University, Series 2006:
3,260 5.000%, 8/01/23 - AMBAC Insured 8/16 at 100.00 AAA 3,413,024
1,600 5.000%, 8/01/24 - AMBAC Insured 8/16 at 100.00 AAA 1,673,760
2,000 Pittsburgh Public Parking Authority, Pennsylvania, Parking 12/15 at 100.00 AAA 2,073,180
Revenue Bonds, Series 2005B, 5.000%, 12/01/23 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
16,860 Total Pennsylvania 17,441,874
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 1.4% (0.9% OF TOTAL INVESTMENTS)
2,500 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 AAA 2,628,475
Series 2005RR, 5.000%, 7/01/22 - FGIC Insured
5,000 Puerto Rico, Highway Revenue Bonds, Highway and No Opt. Call AAA 5,522,500
Transportation Authority, Series 2003AA, 5.500%, 7/01/16 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
7,500 Total Puerto Rico 8,150,975
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 0.5% (0.4% OF TOTAL INVESTMENTS)
3,000 Charleston County School District, South Carolina, General 2/14 at 100.00 AAA 3,124,020
Obligation Bonds, Series 2004A, 5.000%, 2/01/22 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.0% (0.6% OF TOTAL INVESTMENTS)
Knox County Health, Educational and Housing Facilities Board,
Tennessee, Hospital Revenue Refunding Bonds, Covenant Health,
Series 2002A:
7,500 0.000%, 1/01/24 - FSA Insured 1/13 at 52.75 AAA 2,814,225
5,000 0.000%, 1/01/25 - FSA Insured 1/13 at 49.71 AAA 1,764,800
2,750 0.000%, 1/01/26 - FSA Insured 1/13 at 46.78 AAA 911,103
------------------------------------------------------------------------------------------------------------------------------------
15,250 Total Tennessee 5,490,128
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 19.6% (12.8% OF TOTAL INVESTMENTS)
8,000 Abilene Health Facilities Development Corporation, Texas, 9/06 at 101.00 AAA 8,174,720
Hospital Revenue Refunding and Improvement Bonds,
Hendrick Medical Center Project, Series 1995C,
6.150%, 9/01/25 - MBIA Insured
5,275 Austin, Texas, Combined Utility System Revenue Refunding 11/07 at 100.00 AAA 5,372,218
Bonds, Series 1997, 5.125%, 11/15/20 - FSA Insured
3,135 Corpus Christi, Texas, Utility System Revenue Bonds, 7/14 at 100.00 AAA 3,329,025
Series 2004, 5.250%, 7/15/20 - FSA Insured
3,000 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 AAA 3,239,550
Refunding and Improvement Bonds, Series 2001A,
5.750%, 11/01/13 - FGIC Insured (Alternative Minimum Tax)
3,735 Grand Prairie Independent School District, Dallas County, 2/13 at 100.00 AAA 3,843,688
Texas, General Obligation Bonds, Series 2003, 5.125%, 2/15/31 -
FSA Insured
23
Nuveen Insured Quality Municipal Fund, Inc. (NQI) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 1,865 Harris County Hospital District, Texas, Revenue Refunding No Opt. Call AAA $ 2,008,195
Bonds, Series 1990, 7.400%, 2/15/10 - AMBAC Insured
715 Harris County Hospital District, Texas, Revenue Refunding No Opt. Call AAA 760,374
Bonds, Series 1990, 7.400%, 2/15/10 - AMBAC Insured (ETM)
5,000 Houston, Texas, First Lien Combined Utility System Revenue 5/14 at 100.00 AAA 5,276,600
Bonds, Series 2004A, 5.250%, 5/15/24 - FGIC Insured
4,500 Houston, Texas, General Obligation Public Improvement Bonds, 3/11 at 100.00 AAA 4,648,230
Series 2001A, 5.000%, 3/01/22 - FSA Insured
17,000 Houston, Texas, Junior Lien Water and Sewerage System No Opt. Call AAA 20,089,240
Revenue Refunding Bonds, Series 2002A, 5.750%, 12/01/32 -
FSA Insured (ETM)
4,685 Houston, Texas, Subordinate Lien Airport System Revenue 7/10 at 100.00 AAA 4,895,638
Bonds, Series 2000A, 5.500%, 7/01/19 - FSA Insured
(Alternative Minimum Tax)
19,200 Jefferson County Health Facilities Development Corporation, 8/11 at 100.00 AAA 19,980,288
Texas, FHA-Insured Mortgage Revenue Bonds, Baptist Hospital
of Southeast Texas, Series 2001, 5.400%, 8/15/31 -
AMBAC Insured
6,000 Laredo Community College District, Texas, Limited Tax General 8/10 at 100.00 AAA 6,378,840
Obligation Bonds, Series 2001, 5.375%, 8/01/31 (Pre-refunded
8/01/10) - AMBAC Insured
2,000 Laredo Independent School District Public Facilities Corporation, 8/11 at 100.00 AAA 2,039,180
Texas, Lease Revenue Bonds, Series 2004A, 5.000%, 8/01/24 -
AMBAC Insured
22,045 North Central Texas Health Facilities Development Corporation, 8/12 at 101.00 AAA 22,878,962
Revenue Bonds, Children's Medical Center of Dallas,
Series 2002, 5.250%, 8/15/32 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
106,155 Total Texas 112,914,748
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.4% (0.2% OF TOTAL INVESTMENTS)
1,660 Salt Lake City, Utah, Hospital Revenue Refunding Bonds, IHC 5/06 at 100.00 AAA 1,693,715
Hospitals Inc., Series 1988A, 8.000%, 5/15/07 (ETM)
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 11.1% (7.2% OF TOTAL INVESTMENTS)
10,730 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 11,430,669
Consolidated System Revenue Refunding Bonds, Series 2001C,
5.650%, 7/01/32 - MBIA Insured (Alternative Minimum Tax)
15,025 Seattle Housing Authority, Washington, GNMA Collateralized 11/11 at 105.00 AAA 16,760,237
Mortgage Loan Low Income Housing Assistance Revenue
Bonds, Park Place Project, Series 2000A, 7.000%, 5/20/42
4,625 Seattle Housing Authority, Washington, GNMA Collateralized 9/11 at 102.00 AAA 4,990,976
Mortgage Loan Low Income Housing Assistance Revenue
Bonds, RHF/Esperanza Apartments Project, Series 2000A,
6.125%, 3/20/42 (Alternative Minimum Tax)
5,000 Seattle, Washington, Municipal Light and Power Revenue Bonds, 12/10 at 100.00 AAA 5,240,800
Series 2000, 5.250%, 12/01/21 - FSA Insured
11,750 Washington Public Power Supply System, Revenue Refunding 7/08 at 102.00 AAA 12,191,213
Bonds, Nuclear Project 1, Series 1998A, 5.125%, 7/01/17 -
MBIA Insured
2,500 Washington State Healthcare Facilities Authority, Revenue 12/09 at 101.00 AAA 2,618,425
Bonds, Providence Services, Series 1999, 5.375%, 12/01/19 -
MBIA Insured
10,000 Washington, General Obligation Refunding Bonds, 1/12 at 100.00 AAA 10,373,600
Series R-2003A, 5.000%, 1/01/19 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
59,630 Total Washington 63,605,920
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 2.4% (1.5% OF TOTAL INVESTMENTS)
12,845 West Virginia Water Development Authority, Infrastructure 10/10 at 100.00 AAA 13,608,250
Revenue Bonds, Infrastructure and Jobs Development
Council Program, Series 2000A, 5.500%, 10/01/39 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
24
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 0.7% (0.5% OF TOTAL INVESTMENTS)
$ 2,180 Green Bay, Wisconsin, Water System Revenue Bonds, 11/14 at 100.00 Aaa $ 2,257,128
Series 2004, 5.000%, 11/01/26 - FSA Insured
1,675 Wisconsin Public Power Incorporated System, Power Supply 7/15 at 100.00 AAA 1,727,746
System Revenue Bonds, Series 2005A, 5.000%, 7/01/30 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
3,855 Total Wisconsin 3,984,874
------------------------------------------------------------------------------------------------------------------------------------
$ 930,255 Total Investments (cost $842,621,523) - 153.3% 882,450,905
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.0% 11,047,495
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (55.3)% (318,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 575,498,400
====================================================================================================================
All of the bonds in the Portfolio of Investments are
either covered by Original Issue Insurance, Secondary
Market Insurance or Portfolio Insurance, or are backed
by an escrow or trust containing sufficient U.S.
Government or U.S. Government agency securities, any of
which ensure the timely payment of principal and
interest.
(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 BBB by Standard & Poor's
Group or Baa by Moody's Investor Service, Inc. are
considered to be below investment grade.
(ETM) Escrowed to maturity.
See accompanying notes to financial statements.
25
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO)
Portfolio of
INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 11.0% (7.1% OF TOTAL INVESTMENTS)
Birmingham Special Care Facilities Financing Authority,
Alabama, Revenue Bonds, Baptist Health System Inc.,
Series 1996A:
$ 7,465 5.875%, 11/15/19 (Pre-refunded 11/15/06) - MBIA Insured 11/06 at 102.00 AAA $ 7,699,774
1,750 5.875%, 11/15/26 (Pre-refunded 11/15/06) - MBIA Insured 11/06 at 102.00 AAA 1,805,038
11,175 Hoover Board of Education, Alabama, Capital Outlay Tax 2/11 at 100.00 AAA 11,706,483
Anticipation Warrants, Series 2001, 5.250%, 2/15/22 -
MBIA Insured
Jefferson County, Alabama, Sewer Revenue Capital Improvement
Warrants, Series 1999A:
10,815 5.000%, 2/01/33 (Pre-refunded 2/01/09) - FGIC Insured 2/09 at 101.00 AAA 11,262,525
9,790 5.000%, 2/01/33 (Pre-refunded 2/01/09) - FGIC Insured 2/09 at 101.00 AAA 10,205,586
29,860 5.750%, 2/01/38 (Pre-refunded 2/01/09) - FGIC Insured 2/09 at 101.00 AAA 31,709,528
2,500 Jefferson County, Alabama, Sewer Revenue Capital Improvement 8/12 at 100.00 AAA 2,673,050
Warrants, Series 2002B, 5.125%, 2/01/42 (Pre-refunded
8/01/12) - FGIC Insured
Jefferson County, Alabama, Sewer Revenue Capital Improvement
Warrants, Series 2002D:
425 5.000%, 2/01/38 (Pre-refunded 8/01/12) - FGIC Insured 8/12 at 100.00 AAA 450,037
14,800 5.000%, 2/01/42 (Pre-refunded 8/01/12) - FGIC Insured 8/12 at 100.00 AAA 15,722,484
18,760 Jefferson County, Alabama, Sewer Revenue Capitol Improvement 2/11 at 101.00 AAA 19,880,535
Warrants, Series 2001A, 5.000%, 2/01/41 (Pre-refunded
2/01/11) - FGIC Insured
10,195 Jefferson County, Alabama, Sewer Revenue Refunding Warrants, 2/07 at 100.00 AAA 10,304,086
Series 1997A, 5.375%, 2/01/27 - FGIC Insured
5,240 Jefferson County, Alabama, Sewer Revenue Refunding Warrants, 2/11 at 101.00 AAA 5,564,775
Series 2003B, 5.000%, 2/01/41 (Pre-refunded 2/01/11) -
FGIC Insured
6,000 University of Alabama, Tuscaloosa, General Revenue Bonds, 7/14 at 100.00 AAA 6,196,740
Series 2004A, 5.000%, 7/01/29 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
128,775 Total Alabama 135,180,641
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 1.5% (0.9% OF TOTAL INVESTMENTS)
3,190 Alaska Housing Finance Corporation, Collateralized Veterans 12/09 at 100.00 AAA 3,307,807
Mortgage Program Bonds, First Series 1999A-1,
6.150%, 6/01/39
11,245 Alaska Housing Finance Corporation, General Mortgage Revenue 6/09 at 100.00 AAA 11,548,952
Bonds, Series 1999A, 6.050%, 6/01/39 - MBIA Insured
3,000 Alaska Student Loan Corporation, Student Loan Revenue Bonds, 7/08 at 100.00 AAA 3,053,070
Series 1998A, 5.250%, 7/01/14 - AMBAC Insured (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
17,435 Total Alaska 17,909,829
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 2.1% (1.4% OF TOTAL INVESTMENTS)
Arizona State University, Certificates of Participation, Resh
Infrastructure Projects, Series 2005A:
2,000 5.000%, 9/01/25 - AMBAC Insured 3/15 at 100.00 AAA 2,069,960
2,000 5.000%, 9/01/27 - AMBAC Insured 3/15 at 100.00 AAA 2,061,120
1,000 Arizona State University, System Revenue Bonds, Series 2005, 7/15 at 100.00 AAA 1,036,040
5.000%, 7/01/27 - AMBAC Insured
1,000 Maricopa County Union High School District 210, Phoenix, 7/14 at 100.00 AAA 1,042,510
Arizona, General Obligation Bonds, Series 2004A,
5.000%, 7/01/22 - FSA Insured
1,150 Phoenix Civic Improvement Corporation, Arizona, Junior Lien 7/14 at 100.00 AAA 1,189,296
Wastewater System Revenue Bonds, Series 2004,
5.000%, 7/01/27 - MBIA Insured
13,490 Phoenix Civic Improvement Corporation, Arizona, Junior Lien 7/15 at 100.00 AAA 13,704,896
Water System Revenue Bonds, Series 2005, 4.750%, 7/01/25 -
MBIA Insured
26
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA (continued)
$ 4,815 Pima County Industrial Development Authority, Arizona, Lease 7/06 at 101.00 AAA $ 4,845,142
Obligation Revenue Refunding Bonds, Tucson Electric Power
Company, Series 1988A, 7.250%, 7/15/10 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
25,455 Total Arizona 25,948,964
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 0.7% (0.5% OF TOTAL INVESTMENTS)
3,660 Arkansas State University, Student Fee Revenue Bonds, Beebe 9/15 at 100.00 Aaa 3,776,937
Campus, Series 2006, 5.000%, 9/01/35 - AMBAC Insured
Pulaski County, Arkansas, Hospital Revenue Bonds, Arkansas
Children's Hospital, Series 2005:
2,000 5.000%, 3/01/25 - AMBAC Insured 3/15 at 100.00 AAA 2,060,380
3,000 5.000%, 3/01/30 - AMBAC Insured 3/15 at 100.00 AAA 3,079,620
------------------------------------------------------------------------------------------------------------------------------------
8,660 Total Arkansas 8,916,937
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 29.8% (19.3% OF TOTAL INVESTMENTS)
10,000 California Department of Veterans Affairs, Home Purchase 6/12 at 101.00 AAA 10,577,100
Revenue Bonds, Series 2002A, 5.300%, 12/01/21 -
AMBAC Insured
California Department of Water Resources, Power Supply
Revenue Bonds, Series 2002A:
30,000 5.375%, 5/01/17 (Pre-refunded 5/01/12) - XLCA Insured 5/12 at 101.00 AAA 32,861,099
35,000 5.375%, 5/01/18 (Pre-refunded 5/01/12) - AMBAC Insured 5/12 at 101.00 AAA 38,337,949
California Department of Water Resources, Water System
Revenue Bonds, Central Valley Project, Series 2005AC:
3,700 5.000%, 12/01/24 - MBIA Insured 12/14 at 100.00 AAA 3,847,852
2,820 5.000%, 12/01/27 - MBIA Insured 12/14 at 100.00 AAA 2,918,418
California Rural Home Mortgage Finance Authority, GNMA
Mortgage-Backed Securities Program Single Family Mortgage
Revenue Bonds, Series 1996A:
50 7.550%, 11/01/26 (Alternative Minimum Tax) No Opt. Call AAA 51,534
45 7.750%, 5/01/27 (Alternative Minimum Tax) No Opt. Call AAA 46,456
4,500 California, General Obligation Bonds, Series 1998, 10/08 at 101.00 AAA 4,645,485
5.000%, 10/01/19 - FGIC Insured
10,150 California, General Obligation Bonds, Series 2004, 12/14 at 100.00 AAA 10,460,488
5.000%, 6/01/31 - AMBAC Insured
3,500 Coachella Valley Unified School District, Riverside County, 8/15 at 100.00 AAA 3,643,185
California, General Obligation Bonds, Series 2005A,
5.000%, 8/01/26 - FGIC Insured
20,000 Cucamonga County Water District, San Bernardino County, 9/11 at 101.00 AAA 20,686,200
California, Certificates of Participation, Water Shares
Purchase, Series 2000, 5.125%, 9/01/35 - FGIC Insured
5,750 East Bay Municipal Utility District, Alameda and Contra Costa 6/15 at 100.00 AAA 5,964,532
Counties, California, Water System Subordinated Revenue
Bonds, Series 2005A, 5.000%, 6/01/27 - MBIA Insured
10,000 Golden State Tobacco Securitization Corporation, California, 6/15 at 100.00 AAA 10,208,300
Tobacco Settlement Asset-Backed Revenue Bonds,
Series 2005A, 5.000%, 6/01/38 - FGIC Insured
4,000 Kern Community College District, California, General Obligation 11/15 at 100.00 AAA 4,202,280
Bonds, Series 2005, 5.000%, 11/01/20 - FSA Insured
5,000 Long Beach Bond Financing Authority, California, Lease Revenue 11/11 at 101.00 AAA 5,231,050
Refunding Bonds, Long Beach Aquarium of the South Pacific,
Series 2001, 5.250%, 11/01/30 - AMBAC Insured
1,875 Los Angeles Department of Water and Power, California, 7/16 at 100.00 AAA 1,946,869
Waterworks Revenue Bonds, Series 2006A-1, 5.000%, 7/01/36 -
AMBAC Insured
2,740 Los Angeles Harbors Department, California, Revenue Bonds, 8/16 at 102.00 AAA 2,855,984
Series 2006A, 5.000%, 8/01/22 (WI/DD, Settling 5/04/06) -
FGIC Insured (Alternative Minimum Tax)
20,000 Los Angeles Unified School District, California, General 7/13 at 100.00 AAA 20,761,400
Obligation Bonds, Series 2003A, 5.000%, 7/01/21 - FSA Insured
2,000 Los Angeles Unified School District, California, General 7/15 at 100.00 AAA 2,088,900
Obligation Bonds, Series 2005A-2, 5.000%, 7/01/23 -
MBIA Insured
3,000 Los Angeles Unified School District, California, General 7/16 at 100.00 AAA 3,139,920
Obligation Bonds, Series 2006F, 5.000%, 7/01/24 -
FGIC Insured
6,205 Port of Oakland, California, Revenue Bonds, Series 2002L, 11/12 at 100.00 AAA 6,355,471
5.000%, 11/01/22 - FGIC Insured (Alternative Minimum Tax)
27
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
Poway Redevelopment Agency, California, Tax Allocation Bonds,
Paguay Redevelopment Project, Series 2001:
$ 15,000 5.200%, 6/15/30 - AMBAC Insured 12/11 at 101.00 AAA $ 15,615,450
5,000 5.125%, 6/15/33 - AMBAC Insured 12/11 at 101.00 AAA 5,152,600
2,035 Redding, California, Electric System Revenue Certificates 6/15 at 100.00 AAA 2,091,024
of Participation, Series 2005, 5.000%, 6/01/30 - FGIC Insured
6,000 Redlands Unified School District, San Bernardino County, 7/13 at 100.00 AAA 6,198,540
California, General Obligation Bonds, Series 2003,
5.000%, 7/01/26 - FSA Insured
2,285 Rio Hondo Community College District, California, General 8/15 at 100.00 AAA 2,397,948
Obligation Bonds, Series 2005A, 5.000%, 8/01/20 -
FGIC Insured
2,970 Riverside Community College District, California, General 8/15 at 100.00 AAA 3,107,570
Obligation Bonds, Series 2005, 5.000%, 8/01/22 - FSA Insured
2,500 Sacramento County Sanitation District Financing Authority, 12/15 at 100.00 AAA 2,564,825
California, Revenue Bonds, Series 2005B, 4.750%, 12/01/21 -
FGIC Insured
6,500 Salinas, California, GNMA Collateralized Housing Facility 7/06 at 100.00 AAA 6,522,230
Revenue Refunding Bonds, Villa Serra Project, Series 1994A,
6.600%, 7/20/30
13,710 San Francisco Airports Commission, California, Revenue 5/11 at 100.00 AAA 14,101,421
Refunding Bonds, San Francisco International Airport, Second
Series 2001, Issue 27A, 5.250%, 5/01/26 - MBIA Insured
(Alternative Minimum Tax)
11,500 San Francisco Bay Area Rapid Transit District, California, Sales 7/11 at 100.00 AAA 11,809,120
Tax Revenue Bonds, Series 2001, 5.125%, 7/01/36 -
AMBAC Insured
San Francisco Bay Area Rapid Transit District, California, Sales
Tax Revenue Bonds, Series 2005A:
1,165 5.000%, 7/01/21 - MBIA Insured 7/15 at 100.00 AAA 1,219,475
1,220 5.000%, 7/01/22 - MBIA Insured 7/15 at 100.00 AAA 1,276,108
1,280 5.000%, 7/01/23 - MBIA Insured 7/15 at 100.00 AAA 1,336,896
66,685 San Joaquin Hills Transportation Corridor Agency, Orange No Opt. Call AAA 33,579,898
County, California, Senior Lien Toll Road Revenue Bonds,
Series 1993, 0.000%, 1/01/21 (ETM)
San Joaquin Hills Transportation Corridor Agency, Orange
County, California, Toll Road Revenue Refunding Bonds,
Series 1997A:
31,615 5.250%, 1/15/30 - MBIA Insured 1/07 at 102.00 AAA 32,528,041
21,500 0.000%, 1/15/32 - MBIA Insured No Opt. Call AAA 6,023,440
12,525 San Jose Redevelopment Agency, California, Tax Allocation 8/10 at 101.00 AAA 12,847,519
Bonds, Merged Area Redevelopment Project, Series 2002,
5.000%, 8/01/20 - MBIA Insured
11,000 Santa Ana Financing Authority, California, Lease Revenue No Opt. Call AAA 13,287,010
Bonds, Police Administration and Housing Facility,
Series 1994A, 6.250%, 7/01/24 - MBIA Insured
5,000 Walnut Energy Center Authority, California, Electric Revenue 1/14 at 100.00 AAA 5,116,400
Bonds, Turlock Irrigation District, Series 2004A,
5.000%, 1/01/34 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
399,825 Total California 367,605,987
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 7.2% (4.6% OF TOTAL INVESTMENTS)
1,080 Arkansas River Power Authority, Colorado, Power Revenue 10/16 at 100.00 AAA 1,136,203
Bonds, Series 2006, 5.250%, 10/01/40 - XLCA Insured
1,900 Aspen, Colorado, Sales Tax Revenue Bonds, Parks and Open 11/15 at 100.00 AAA 2,031,233
Space, Series 2005B, 5.250%, 11/01/24 - FSA Insured
1,000 Colorado Department of Transportation, Certificates of 6/14 at 100.00 AAA 1,031,960
Participation, Series 2004, 5.000%, 6/15/25 - MBIA Insured
10,545 Denver City and County, Colorado, Airport System Revenue 11/06 at 101.00 AAA 10,740,188
Bonds, Series 1996D, 5.500%, 11/15/25 - MBIA Insured
4,950 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 AAA 5,247,198
Revenue Bonds, Convention Center Hotel, Series 2003A,
5.000%, 12/01/33 (Pre-refunded 12/01/13) - XLCA Insured
1,740 Douglas County School District RE1, Douglas and Elbert 12/14 at 100.00 Aaa 1,799,682
Counties, Colorado, General Obligation Bonds, Series 2005B,
5.000%, 12/15/28 - FSA Insured
28
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
$ 35,995 E-470 Public Highway Authority, Colorado, Senior Revenue No Opt. Call AAA $ 15,521,044
Bonds, Series 1997B, 0.000%, 9/01/23 - MBIA Insured
30,800 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 102.00 AAA 33,547,667
Bonds, Series 2000A, 5.750%, 9/01/35 - MBIA Insured
11,800 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 74.80 AAA 7,452,054
Bonds, Series 2000B, 0.000%, 9/01/15 (Pre-refunded 9/01/10) -
MBIA Insured
10,000 E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, No Opt. Call AAA 3,478,300
Series 2004A, 0.000%, 9/01/27 - MBIA Insured
2,750 Jefferson County School District R1, Colorado, General Obligation 12/14 at 100.00 AAA 2,862,283
Bonds, Series 2004, 5.000%, 12/15/24 - FSA Insured
2,500 Summit County School District RE-1, Summit, Colorado, General 12/14 at 100.00 Aaa 2,603,525
Obligation Bonds, Series 2004B, 5.000%, 12/01/24 - FGIC Insured
1,000 University of Colorado, Enterprise System Revenue Bonds, 6/15 at 100.00 AAA 1,035,800
Series 2005, 5.000%, 6/01/30 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
116,060 Total Colorado 88,487,137
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,100 Connecticut Health and Educational Facilities Authority, 11/15 at 100.00 AAA 2,216,256
Revenue Bonds, Connecticut State University System,
Series 2005G, 5.000%, 11/01/19 - FSA Insured
4,000 Connecticut, General Obligation Bonds, Series 2004D, 12/14 at 100.00 AAA 4,177,280
5.000%, 12/01/24 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
6,100 Total Connecticut 6,393,536
------------------------------------------------------------------------------------------------------------------------------------
DELAWARE - 0.3% (0.2% OF TOTAL INVESTMENTS)
3,400 Delaware River and Bay Authority, Delaware and 1/15 at 100.00 AAA 3,541,848
New Jersey, Revenue Bonds, Series 2005, 5.000%, 1/01/24 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 1.0% (0.6% OF TOTAL INVESTMENTS)
1,895 District of Columbia Housing Finance Agency, GNMA 6/06 at 100.00 AAA 1,899,396
Collateralized Single Family Mortgage Revenue Bonds,
Series 1990B, 7.100%, 12/01/24 (Alternative Minimum Tax)
District of Columbia Water and Sewerage Authority, Subordinate
Lien Public Utility Revenue Bonds, Series 2003:
5,000 5.125%, 10/01/24 - FGIC Insured 10/13 at 100.00 AAA 5,209,650
5,000 5.125%, 10/01/25 - FGIC Insured 10/13 at 100.00 AAA 5,203,550
------------------------------------------------------------------------------------------------------------------------------------
11,895 Total District Of Columbia 12,312,596
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 6.3% (4.1% OF TOTAL INVESTMENTS)
6,020 Board of Regents, Florida State University, Housing Facility 5/15 at 101.00 AAA 6,243,161
Revenue Bonds, Series 2005A, 5.000%, 5/01/27 - MBIA Insured
1,000 Hillsborough County School Board, Florida, Certificates of 7/15 at 100.00 AAA 1,033,760
Participation, Master Lease Program, Series 2005A,
5.000%, 7/01/26 - MBIA Insured
Indian Trace Development District, Florida, Water Management
Special Benefit Assessment Bonds, Series 2005:
645 5.000%, 5/01/25 - MBIA Insured 5/15 at 102.00 Aaa 673,606
1,830 5.000%, 5/01/27 - MBIA Insured 5/15 at 102.00 Aaa 1,903,090
4,425 Jacksonville Economic Development Commission, Florida, 11/12 at 100.00 AAA 4,748,866
Healthcare Facilities Revenue Bonds, Mayo Clinic,
Series 2001C, 5.500%, 11/15/36 - MBIA Insured
1,505 Lee County, Florida, Transportation Facilities Revenue Bonds, 10/14 at 100.00 AAA 1,572,800
Series 2004B, 5.000%, 10/01/21 - AMBAC Insured
2,000 Marco Island, Florida, Water Utility System Revenue Bonds, 10/13 at 100.00 AAA 2,063,100
Series 2003, 5.000%, 10/01/27 - MBIA Insured
2,150 Miami-Dade County, Florida, Aviation Revenue Bonds, 10/12 at 100.00 AAA 2,196,139
Miami International Airport, Series 2002A,
5.125%, 10/01/35 - FSA Insured (Alternative Minimum Tax)
35,920 Miami-Dade County, Florida, Aviation Revenue Bonds, Miami 10/12 at 100.00 AAA 37,399,185
International Airport, Series 2002, 5.375%, 10/01/32 -
FGIC Insured (Alternative Minimum Tax)
29
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 5,320 Miami-Dade County, Florida, Public Facilities Revenue Bonds, 6/15 at 100.00 AAA $ 5,508,434
Jackson Health System, Series 2005B, 5.000%, 6/01/25 -
MBIA Insured
Northern Palm Beach County Improvement District, Florida,
Revenue Bonds, Water Control and Improvement Development Unit
9B, Series 2005:
1,290 5.000%, 8/01/23 - MBIA Insured 8/15 at 102.00 AAA 1,353,958
2,145 5.000%, 8/01/29 - MBIA Insured 8/15 at 102.00 AAA 2,228,205
Ocala, Florida, Utility System Revenue Bonds, Series 2005B:
1,025 5.250%, 10/01/24 - FGIC Insured 10/15 at 100.00 Aaa 1,099,364
2,590 5.000%, 10/01/27 - FGIC Insured 10/15 at 100.00 Aaa 2,679,433
2,320 Osceola County, Florida, Transportation Revenue Bonds, Osceola 4/14 at 100.00 Aaa 2,413,009
Parkway, Series 2004, 5.000%, 4/01/23 - MBIA Insured
Plantation, Florida, Non-Ad Valorem Revenue Refunding and
Improvement Bonds, Series 2003:
2,110 5.000%, 8/15/17 - FSA Insured 8/13 at 100.00 Aaa 2,211,639
2,225 5.000%, 8/15/18 - FSA Insured 8/13 at 100.00 Aaa 2,326,482
------------------------------------------------------------------------------------------------------------------------------------
74,520 Total Florida 77,654,231
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 1.0% (0.6% OF TOTAL INVESTMENTS)
1,000 Atlanta, Georgia, Water and Wastewater Revenue Bonds, 11/14 at 100.00 AAA 1,040,400
Series 2004, 5.000%, 11/01/22 - FSA Insured
1,520 College Park Business and Industrial Development Authority, 9/14 at 102.00 AAA 1,628,422
Georgia, Revenue Bonds, Public Safety Project, Series 2004,
5.250%, 9/01/23 - MBIA Insured
Fulton County Development Authority, Georgia, Revenue Bonds,
Georgia Tech Molecular Science Building, Series 2004:
1,695 5.250%, 5/01/19 - MBIA Insured 5/14 at 100.00 AAA 1,806,667
1,135 5.250%, 5/01/20 - MBIA Insured 5/14 at 100.00 AAA 1,208,979
4,500 5.000%, 5/01/36 - MBIA Insured 5/14 at 100.00 AAA 4,627,035
1,250 Glynn-Brunswick Memorial Hospital Authority, Georgia, Revenue 8/06 at 102.00 AAA 1,278,888
Bonds, Southeast Georgia Health Systems, Series 1996,
5.250%, 8/01/13 - MBIA Insured
640 Glynn-Brunswick Memorial Hospital Authority, Georgia, Revenue 8/06 at 102.00 AAA 655,181
Bonds, Southeast Georgia Health Systems, Series 1996,
5.250%, 8/01/13 (Pre-refunded 8/01/06) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
11,740 Total Georgia 12,245,572
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 3.3% (2.1% OF TOTAL INVESTMENTS)
24,250 Hawaii Department of Budget and Finance, Special Purpose 5/06 at 101.00 AAA 24,537,605
Revenue Bonds, Hawaiian Electric Company Inc., Series 1996A,
6.200%, 5/01/26 - MBIA Insured (Alternative Minimum Tax)
Hawaii, General Obligation Bonds, Series 2005DF:
10,000 5.000%, 7/01/24 - AMBAC Insured 7/15 at 100.00 AAA 10,413,800
5,000 5.000%, 7/01/25 - AMBAC Insured 7/15 at 100.00 AAA 5,199,250
------------------------------------------------------------------------------------------------------------------------------------
39,250 Total Hawaii 40,150,655
------------------------------------------------------------------------------------------------------------------------------------
IDAHO - 0.2% (0.2% OF TOTAL INVESTMENTS)
645 Idaho Housing Agency, Single Family Mortgage Senior Bonds, No Opt. Call Aa1 649,089
Series 1994B-1, 6.750%, 7/01/22
580 Idaho Housing Agency, Single Family Mortgage Senior Bonds, No Opt. Call Aa1 584,019
Series 1994B-2, 6.900%, 7/01/26 (Alternative Minimum Tax)
630 Idaho Housing Agency, Single Family Mortgage Senior Bonds, 7/06 at 101.00 Aaa 632,451
Series 1995B, 6.600%, 7/01/27 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
1,855 Total Idaho 1,865,559
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 6.0% (3.9% OF TOTAL INVESTMENTS)
1,050 Bedford Park, Illinois, General Obligation Bonds, Series 2004A, 12/14 at 100.00 AAA 1,120,455
5.250%, 12/15/20 - FSA Insured
Chicago, Illinois, Second Lien Passenger Facility Charge Revenue
Refunding Bonds, O'Hare International Airport, Series 2001E:
4,615 5.500%, 1/01/17 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 4,867,533
4,870 5.500%, 1/01/18 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 5,136,486
30
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 7,200 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 AAA $ 7,657,128
O'Hare International Airport, Series 2005A, 5.250%, 1/01/24 -
MBIA Insured
1,295 Eastern Illinois University, Auxiliary Facilities System Revenue 10/06 at 85.17 AAA 1,084,200
Bonds, Series 1989, 0.000%, 10/01/09 - MBIA Insured
10,000 Illinois Development Finance Authority, Revenue Bonds, Provena 5/08 at 101.00 AAA 10,354,100
Health, Series 1998A, 5.500%, 5/15/21 - MBIA Insured
2,095 Illinois Educational Facilities Authority, Revenue Bonds, Robert 12/07 at 100.00 Aaa 2,156,740
Morris College, Series 2000, 5.800%, 6/01/30 - MBIA Insured
4,500 Illinois Health Facilities Authority, Revenue Bonds, Alexian 1/09 at 101.00 AAA 4,683,015
Brothers Health System, Series 1999, 5.000%, 1/01/19
(Pre-refunded 1/01/09) - FSA Insured
7,000 Illinois Health Facilities Authority, Revenue Bonds, Hospital 6/08 at 101.00 Aaa 7,149,940
Sisters Services Inc. Obligated Group, Series 1998A,
5.000%, 6/01/18 - MBIA Insured
22,410 Illinois, General Obligation Bonds, Illinois FIRST Program, 2/12 at 100.00 AAA 23,133,843
Series 2002, 5.125%, 2/01/27 - FGIC Insured
Schaumburg, Illinois, General Obligation Bonds, Series 2004B:
4,260 5.000%, 12/01/22 - FGIC Insured 12/14 at 100.00 AAA 4,427,162
2,365 5.000%, 12/01/23 - FGIC Insured 12/14 at 100.00 AAA 2,452,671
------------------------------------------------------------------------------------------------------------------------------------
71,660 Total Illinois 74,223,273
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 2.7% (1.7% OF TOTAL INVESTMENTS)
2,030 Decatur Township-Marion County Multi-School Building 7/13 at 100.00 AAA 2,108,906
Corporation, Indiana, First Mortgage Bonds, Series 2003,
5.000%, 7/15/20 - FGIC Insured
20,000 Indianapolis Local Public Improvement Bond Bank, Indiana, No Opt. Call AAA 6,829,000
Series 1999E, 0.000%, 2/01/28 - AMBAC Insured
3,250 Indianapolis Local Public Improvement Bond Bank, Indiana, 7/12 at 100.00 AAA 3,491,312
Waterworks Project, Series 2002A, 5.250%, 7/01/33
(Pre-refunded 7/01/12) - MBIA Insured
1,340 Monroe-Gregg Grade School Building Corporation, Morgan 1/14 at 100.00 AAA 1,379,208
County, Indiana, First Mortgage Bonds, Series 2004,
5.000%, 1/15/25 - FSA Insured
5,000 Noblesville Redevelopment Authority, Indiana, Economic 7/13 at 100.00 AAA 5,122,800
Development Lease Rental Bonds, Exit 10 Project, Series 2003,
5.000%, 1/15/28 - AMBAC Insured
10,000 Purdue University, Indiana, Student Fee Bonds, Series 2002O, 1/12 at 100.00 AAA 10,363,900
5.000%, 7/01/19 - MBIA Insured
3,705 Whitley County Middle School Building Corporation, Columbia 7/13 at 100.00 AAA 3,915,222
City, Indiana, First Mortgage Bonds, Series 2003,
5.000%, 7/15/16 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
45,325 Total Indiana 33,210,348
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.3% (0.8% OF TOTAL INVESTMENTS)
1,055 Butler County Unified School District 394, Kansas, General 9/14 at 100.00 AAA 1,103,614
Obligation Bonds, Series 2004, 5.000%, 9/01/20 - FSA Insured
2,055 Kansas Turnpike Authority, Revenue Bonds, Series 2004A-2, 9/14 at 101.00 AAA 2,153,763
5.000%, 9/01/23 - FSA Insured
Neosho County Unified School District 413, Kansas, General
Obligation Bonds, Series 2006:
2,145 5.000%, 9/01/27 - FSA Insured 9/14 at 100.00 Aaa 2,221,040
4,835 5.000%, 9/01/29 - FSA Insured 9/14 at 100.00 Aaa 4,996,199
5,000 University of Kansas Hospital Authority, Health Facilities Revenue 9/09 at 100.00 AAA 5,239,450
Bonds, KU Health System, Series 1999A, 5.650%, 9/01/29 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
15,090 Total Kansas 15,714,066
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 2.1% (1.4% OF TOTAL INVESTMENTS)
3,870 Kenton County School District Finance Corporation, Kentucky, 6/14 at 100.00 Aaa 4,038,539
School Building Revenue Bonds, Series 2004, 5.000%, 6/01/20 -
MBIA Insured
7,500 Kentucky Turnpike Authority, Economic Development Road 7/16 at 100.00 AAA 7,818,525
Revenue Bonds, Revitalization Project, Series 2006B,
5.000%, 7/01/25 (WI/DD, Settling 6/21/06) - AMBAC Insured
31
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY (continued)
$ 12,980 Louisville and Jefferson County Metropolitan Sewer District, 11/11 at 101.00 AAA $ 13,998,930
Kentucky, Sewer and Drainage System Revenue Bonds,
Series 2001A, 5.500%, 5/15/34 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
24,350 Total Kentucky 25,855,994
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.4% (1.5% OF TOTAL INVESTMENTS)
5,000 DeSoto Parish, Louisiana, Pollution Control Revenue Refunding 9/09 at 102.00 AAA 5,386,000
Bonds, Cleco Utility Group Inc. Project, Series 1999,
5.875%, 9/01/29 - AMBAC Insured
3,025 Lafayette City and Parish, Louisiana, Utilities Revenue Bonds, 11/14 at 100.00 AAA 3,217,995
Series 2004, 5.250%, 11/01/22 - MBIA Insured
1,640 Louisiana Public Facilities Authority, Revenue Bonds, Baton 7/14 at 100.00 AAA 1,728,986
Rouge General Hospital, Series 2004, 5.250%, 7/01/24 -
MBIA Insured
Louisiana, Gasoline and Fuels Tax Revenue Bonds, Series 2005A:
2,400 5.000%, 5/01/25 - FGIC Insured 5/15 at 100.00 AAA 2,474,616
4,415 5.000%, 5/01/26 - FGIC Insured 5/15 at 100.00 AAA 4,545,684
5,000 5.000%, 5/01/27 - FGIC Insured 5/15 at 100.00 AAA 5,159,150
6,455 Orleans Levee District, Louisiana, Levee District General 6/06 at 103.00 AAA 6,655,944
Obligation Bonds, Series 1986, 5.950%, 11/01/15 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
27,935 Total Louisiana 29,168,375
------------------------------------------------------------------------------------------------------------------------------------
MAINE - 0.2% (0.2% OF TOTAL INVESTMENTS)
3,000 Maine Health and Higher Educational Facilities Authority, 7/13 at 100.00 AAA 3,077,040
Revenue Bonds, Series 2003B, 5.000%, 7/01/28 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.4% (0.3% OF TOTAL INVESTMENTS)
5,345 Baltimore, Maryland, Senior Lien Convention Center Hotel 9/16 at 100.00 AAA 5,702,901
Revenue Bonds, Series 2006A, 5.250%, 9/01/28 - XLCA Insured
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 4.6% (3.0% OF TOTAL INVESTMENTS)
22,500 Massachusetts Development Finance Authority, Revenue Bonds, 1/12 at 101.00 AAA 24,456,150
WGBH Educational Foundation, Series 2002A,
5.375%, 1/01/42 (Pre-refunded 1/01/12) - AMBAC Insured
11,000 Massachusetts School Building Authority, Dedicated Sales 8/15 at 100.00 AAA 11,477,070
Tax Revenue Bonds, Series 2005A, 5.000%, 8/15/23 -
FSA Insured
15,000 Massachusetts, Special Obligation Dedicated Tax Revenue 1/14 at 100.00 AAA 16,099,650
Bonds, Series 2004, 5.250%, 1/01/23 (Pre-refunded 1/01/14) -
FGIC Insured
University of Massachusetts Building Authority, Senior Lien Project
Revenue Bonds, Series 2004-1:
1,500 5.375%, 11/01/20 (Pre-refunded 11/01/14) - AMBAC Insured 11/14 at 100.00 AAA 1,638,675
2,500 5.375%, 11/01/21 (Pre-refunded 11/01/14) - AMBAC Insured 11/14 at 100.00 AAA 2,731,125
------------------------------------------------------------------------------------------------------------------------------------
52,500 Total Massachusetts 56,402,670
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 6.6% (4.2% OF TOTAL INVESTMENTS)
5,490 Detroit City School District, Wayne County, Michigan, Unlimited No Opt. Call AAA 6,631,426
Tax School Building and Site Improvement Bonds, Series 2001A,
6.000%, 5/01/29 - FSA Insured
6,000 Detroit, Michigan, General Obligation Bonds, Series 2001A-1, 10/11 at 100.00 AAA 6,385,020
5.375%, 4/01/18 - MBIA Insured
7,420 Detroit, Michigan, Senior Lien Water Supply System Revenue 7/07 at 101.00 AAA 7,534,045
Bonds, Series 1997A, 5.000%, 7/01/27 - MBIA Insured
Detroit, Michigan, Sewerage Disposal System Revenue Bonds,
Series 1999A:
15,825 5.750%, 7/01/26 (Pre-refunded 1/01/10) - FGIC Insured 1/10 at 101.00 AAA 17,047,798
20,000 5.875%, 7/01/27 (Pre-refunded 1/01/10) - FGIC Insured 1/10 at 101.00 AAA 21,626,800
8,000 Gaylord Community Schools, Otsego and Antrim Counties, 5/07 at 37.75 AAA 2,911,600
Michigan, School Building and Site Refunding Bonds,
Series 1992, 0.000%, 5/01/21 (Pre-refunded 5/01/07) -
MBIA Insured
1,085 Grand Rapids Community College, Kent County, Michigan, 5/13 at 100.00 AAA 1,150,838
General Obligation Refunding Bonds, Series 2003,
5.250%, 5/01/20 - AMBAC Insured
32
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN (continued)
$ 6,850 Wayne County, Michigan, Airport Revenue Bonds, Detroit 12/08 at 101.00 AAA $ 7,107,766
Metropolitan Wayne County Airport, Series 1998A,
5.375%, 12/01/15 - MBIA Insured (Alternative Minimum Tax)
10,000 Wayne County, Michigan, Limited Tax General Obligation 12/11 at 101.00 AAA 10,564,500
Airport Hotel Revenue Bonds, Detroit Metropolitan Wayne
County Airport, Series 2001A, 5.250%, 12/01/25 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
80,670 Total Michigan 80,959,793
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.1% (0.7% OF TOTAL INVESTMENTS)
13,020 St. Paul Housing and Redevelopment Authority, Minnesota, 12/11 at 102.00 Aaa 13,821,511
GNMA Collateralized Multifamily Housing Revenue Bonds,
Marian Center Project, Series 2001A, 6.450%, 6/20/43
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 0.1% (0.2% OF TOTAL INVESTMENTS)
Nebraska Public Power District, General Revenue Bonds,
Series 2005A:
1,000 5.000%, 1/01/24 - FSA Insured 1/15 at 100.00 AAA 1,040,990
1,000 5.000%, 1/01/25 - FSA Insured 1/15 at 100.00 AAA 1,040,260
------------------------------------------------------------------------------------------------------------------------------------
2,000 Total Nebraska 2,081,250
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 8.4% (5.4% OF TOTAL INVESTMENTS)
12,105 Clark County, Nevada, General Obligation Bank Bonds, Southern 12/12 at 100.00 AAA 12,373,731
Nevada Water Authority Loan, Series 2002, 5.000%, 6/01/32 -
MBIA Insured
7,370 Clark County, Nevada, Subordinate Lien Airport Revenue Bonds, 7/14 at 100.00 AAA 7,665,316
Series 2004A-2, 5.125%, 7/01/25 - FGIC Insured
Director of Nevada State Department of Business and Industry,
Revenue Bonds, Las Vegas Monorail Project, First Tier, Series
2000:
15,000 5.625%, 1/01/34 - AMBAC Insured 1/10 at 102.00 AAA 16,041,150
13,000 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 13,473,980
110 Nevada Housing Division, Single Family Mortgage Bonds, 10/06 at 100.00 Aa2 110,154
Senior Series 1994B-1, 6.700%, 10/01/17
85 Nevada Housing Division, Single Family Mortgage Bonds, 10/06 at 100.00 Aa2 85,036
Senior Series 1994B-2, 6.950%, 10/01/26
(Alternative Minimum Tax)
14,985 Reno, Nevada, Capital Improvement Revenue Bonds, 6/12 at 100.00 AAA 15,854,430
Series 2002, 5.375%, 6/01/32 - FGIC Insured
25,300 Reno, Nevada, Capital Improvement Revenue Bonds, 6/12 at 100.00 AAA 27,330,831
Series 2002, 5.375%, 6/01/32 (Pre-refunded 6/01/12) -
FGIC Insured
10,000 Reno, Nevada, Senior Lien Sales and Room Tax Revenue Bonds, 6/12 at 100.00 AAA 10,668,200
Reno Transportation Rail Access Corridor Project, Series 2002,
5.125%, 6/01/27 (Pre-refunded 6/01/12) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
97,955 Total Nevada 103,602,828
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 2.4% (1.5% OF TOTAL INVESTMENTS)
Essex County Improvement Authority, New Jersey, Guaranteed
Revenue Bonds, Project Consolidation, Series 2004:
2,000 5.125%, 10/01/21 - MBIA Insured 10/14 at 100.00 Aaa 2,104,680
2,250 5.125%, 10/01/22 - MBIA Insured 10/14 at 100.00 Aaa 2,366,145
New Jersey Economic Development Authority, Revenue Bonds,
Motor Vehicle Surcharge, Series 2004A:
3,850 5.000%, 7/01/22 - MBIA Insured 7/14 at 100.00 AAA 3,997,571
3,850 5.000%, 7/01/23 - MBIA Insured 7/14 at 100.00 AAA 3,992,219
New Jersey Turnpike Authority, Revenue Bonds, Series 2003A:
8,250 5.000%, 1/01/19 - FGIC Insured 7/13 at 100.00 AAA 8,595,015
2,000 5.000%, 1/01/23 - FSA Insured 7/13 at 100.00 AAA 2,071,780
3,320 New Jersey Turnpike Authority, Revenue Bonds, Series 2005A, 1/15 at 100.00 AAA 3,463,391
5.000%, 1/01/21 - FSA Insured
2,795 Rutgers State University, New Jersey, Revenue Bonds, 5/14 at 100.00 AAA 2,907,163
Series 2004E, 5.000%, 5/01/22 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
28,315 Total New Jersey 29,497,964
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.3% (0.2% OF TOTAL INVESTMENTS)
3,660 San Juan County, New Mexico, Subordinate Gross Receipts 6/15 at 100.00 AAA 3,802,520
Tax Revenue Bonds, Series 2005, 5.000%, 6/15/25 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
33
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 9.6% (6.2% OF TOTAL INVESTMENTS)
$ 1,880 Dormitory Authority of the State of New York, FHA-Insured 2/15 at 100.00 AAA $ 1,953,508
Mortgage Revenue Bonds, Montefiore Hospital, Series 2004,
5.000%, 8/01/23 - FGIC Insured
3,335 Dormitory Authority of the State of New York, State Personal 3/15 at 100.00 AAA 3,471,902
Income Tax Revenue Bonds, Series 2005F, 5.000%, 3/15/24 -
AMBAC Insured
8,685 Long Island Power Authority, New York, Electric System General 6/08 at 101.00 AAA 9,052,202
Revenue Bonds, Series 1998A, 5.300%, 12/01/19 (Pre-refunded
6/01/08) - FSA Insured
12,500 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 AAA 13,027,750
Revenue Bonds, Series 2006A, 5.000%, 12/01/25 -
FGIC Insured
Metropolitan Transportation Authority, New York, State Service
Contract Refunding Bonds, Series 2002A:
2,500 5.000%, 7/01/21 - FGIC Insured 7/12 at 100.00 AAA 2,597,025
5,000 5.000%, 7/01/25 - FGIC Insured 7/12 at 100.00 AAA 5,161,200
1,500 New York City Municipal Water Finance Authority, New York, 6/15 at 100.00 AAA 1,561,845
Water and Sewerage System Revenue Bonds, Fiscal
Series 2005C, 5.000%, 6/15/25 - MBIA Insured
10,000 New York City Municipal Water Finance Authority, New York, 6/15 at 100.00 AAA 10,336,400
Water and Sewerage System Revenue Bonds, Fiscal
Series 2006A, 5.000%, 6/15/32 - FSA Insured
New York City Sales Tax Asset Receivable Corporation, New York,
Dedicated Revenue Bonds, Local Government Assistance
Corporation, Series 2004A:
4,825 5.000%, 10/15/24 - MBIA Insured 10/14 at 100.00 AAA 5,032,861
1,665 5.000%, 10/15/25 - MBIA Insured 10/14 at 100.00 AAA 1,736,728
10,525 New York City, New York, General Obligation Bonds, Fiscal 4/15 at 100.00 AAA 10,919,688
Series 2005M, 5.000%, 4/01/26 - FGIC Insured
5,000 New York City, New York, General Obligation Bonds, Fiscal 9/15 at 100.00 AAA 5,225,550
Series 2006F-1, 5.000%, 9/01/21 - AMBAC Insured
5,000 New York State Thruway Authority, General Revenue Bonds, 1/15 at 100.00 AAA 5,194,000
Series 2005F, 5.000%, 1/01/26 - AMBAC Insured
3,000 New York State Thruway Authority, General Revenue Bonds, 7/15 at 100.00 AAA 3,020,910
Series 2005G, 4.750%, 1/01/29 - FSA Insured
New York State Thruway Authority, Highway and Bridge Trust
Fund Bonds, Second Generation, Series 2005B:
3,770 5.000%, 4/01/21 - AMBAC Insured 10/15 at 100.00 AAA 3,953,222
7,000 5.000%, 4/01/22 - AMBAC Insured 10/15 at 100.00 AAA 7,334,740
3,500 New York State Thruway Authority, State Personal Income Tax 3/15 at 100.00 AAA 3,675,140
Revenue Bonds, Series 2005A, 5.000%, 3/15/19 - FSA Insured
3,650 New York State Urban Development Corporation, Service 3/15 at 100.00 AAA 3,797,132
Contract Revenue Bonds, Series 2005B, 5.000%, 3/15/25 -
FSA Insured
New York State Urban Development Corporation, State Personal
Income Tax Revenue Bonds, Series 2004A-1:
1,000 5.000%, 3/15/23 - FGIC Insured 3/14 at 100.00 AAA 1,037,860
5,000 5.000%, 3/15/25 - FGIC Insured 3/14 at 100.00 AAA 5,182,550
15,000 Triborough Bridge and Tunnel Authority, New York, Subordinate 11/12 at 100.00 AAA 15,382,350
Lien General Purpose Revenue Refunding Bonds,
Series 2002E, 5.000%, 11/15/32 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
114,335 Total New York 118,654,563
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.4% (0.9% OF TOTAL INVESTMENTS)
Mooresville, North Carolina, Enterprise System Revenue Bonds,
Series 2004:
2,115 5.000%, 5/01/22 - FGIC Insured 5/14 at 100.00 AAA 2,203,492
2,575 5.000%, 5/01/26 - FGIC Insured 5/14 at 100.00 AAA 2,668,653
5,000 North Carolina Municipal Power Agency 1, Catawba Electric 1/13 at 100.00 AAA 5,341,550
Revenue Bonds, Series 2003A, 5.250%, 1/01/16 - FSA Insured
34
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA (continued)
Raleigh Durham Airport Authority, North Carolina, Airport
Revenue Bonds, Series 2005A:
$ 3,205 5.000%, 5/01/23 - AMBAC Insured 5/15 at 100.00 Aaa $ 3,333,424
3,295 5.000%, 5/01/24 - AMBAC Insured 5/15 at 100.00 Aaa 3,424,559
------------------------------------------------------------------------------------------------------------------------------------
16,190 Total North Carolina 16,971,678
------------------------------------------------------------------------------------------------------------------------------------
NORTH DAKOTA - 0.6% (0.4% OF TOTAL INVESTMENTS)
Grand Forks, North Dakota, Sales Tax Revenue Bonds,
Alerus Project, Series 2005A:
2,195 5.000%, 12/15/22 - MBIA Insured 12/15 at 100.00 Aaa 2,298,253
1,355 5.000%, 12/15/23 - MBIA Insured 12/15 at 100.00 Aaa 1,415,487
3,000 5.000%, 12/15/24 - MBIA Insured 12/15 at 100.00 Aaa 3,131,520
------------------------------------------------------------------------------------------------------------------------------------
6,550 Total North Dakota 6,845,260
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 2.9% (1.9% OF TOTAL INVESTMENTS)
2,650 Cleveland State University, Ohio, General Receipts Bonds, 6/14 at 100.00 AAA 2,818,540
Series 2004, 5.250%, 6/01/24 - FGIC Insured
2,000 Columbus City School District, Franklin County, Ohio, General 12/14 at 100.00 AAA 2,134,760
Obligation Bonds, Series 2004, 5.250%, 12/01/25 - FSA Insured
2,385 Columbus, Ohio, Tax Increment Financing Bonds, Easton 6/14 at 100.00 AAA 2,464,206
Project, Series 2004A, 5.000%, 12/01/22 - AMBAC Insured
2,205 Hamilton City School District, Ohio, General Obligation Bonds, 6/15 at 100.00 Aaa 2,300,653
Series 2005, 5.000%, 12/01/24 - MBIA Insured
20,100 Lucas County, Ohio, Hospital Revenue Bonds, ProMedica 11/09 at 101.00 AAA 21,050,529
Healthcare Obligated Group, Series 1999, 5.375%, 11/15/39 -
AMBAC Insured
3,000 Ross Local School District, Butler County, Ohio, General 12/13 at 100.00 Aaa 3,094,470
Obligation Bonds, Series 2003, 5.000%, 12/01/28 -
FSA Insured
1,530 Tallmadge City School District, Ohio, General Obligation 6/15 at 100.00 AAA 1,582,464
Bonds, Series 2005, 5.000%, 12/01/28 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
33,870 Total Ohio 35,445,622
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.8% (1.2% OF TOTAL INVESTMENTS)
3,500 Oklahoma Capitol Improvement Authority, State Facilities 7/15 at 100.00 AAA 3,647,525
Revenue Bonds, Series 2005F, 5.000%, 7/01/24 -
AMBAC Insured
5,070 Oklahoma Housing Finance Agency, GNMA Collateralized Single No Opt. Call AAA 5,352,298
Family Mortgage Revenue Bonds, Series 1987A,
7.997%, 8/01/18 (Alternative Minimum Tax)
5,245 Oklahoma State Industries Authority, Revenue Bonds, Oklahoma 2/11 at 100.00 Aaa 5,474,679
Medical Research Foundation, Series 2001, 5.250%, 2/01/21 -
AMBAC Insured
2,515 Oklahoma State University, Athletic Facilities Revenue Bonds, 8/14 at 100.00 AAA 2,589,595
Series 2004, 5.000%, 8/01/34 - AMBAC Insured
4,880 University of Oklahoma, Student Housing Revenue Bonds, 7/14 at 100.00 Aaa 5,080,617
Series 2004, 5.000%, 7/01/22 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
21,210 Total Oklahoma 22,144,714
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 0.8% (0.5% OF TOTAL INVESTMENTS)
Oregon Department of Administrative Services, Certificates of
Participation, Series 2005A:
2,535 5.000%, 5/01/25 - FSA Insured 5/15 at 100.00 AAA 2,623,269
2,115 5.000%, 5/01/30 - FSA Insured 5/15 at 100.00 AAA 2,176,018
3,470 Oregon Department of Administrative Services, Certificates 11/15 at 100.00 AAA 3,642,737
of Participation, Series 2005B, 5.000%, 11/01/18 - FGIC Insured
1,335 Oregon Housing and Community Services Department, Single 7/06 at 101.00 Aa2 1,355,652
Family Mortgage Revenue Bonds, Series 1995A,
6.450%, 7/01/26 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
9,455 Total Oregon 9,797,676
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 1.9% (1.2% OF TOTAL INVESTMENTS)
7,925 Commonwealth Financing Authority, Pennsylvania, State 6/16 at 100.00 AAA 8,259,593
Appropriation Lease Bonds, Series 2006A, 5.000%, 6/01/26 -
FSA Insured
35
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA (continued)
$ 1,800 Pennsylvania Higher Educational Facilities Authority, Revenue 5/15 at 100.00 AAA $ 1,862,676
Bonds, Drexel University, Series 2005A, 5.000%, 5/01/28 -
MBIA Insured
6,335 Radnor Township School District, Delaware County, 8/15 at 100.00 Aaa 6,560,906
Pennsylvania, General Obligation Bonds, Series 2005B,
5.000%, 2/15/30 - FSA Insured
Reading School District, Berks County, Pennsylvania, General
Obligation Bonds, Series 2005:
3,285 5.000%, 1/15/22 - FSA Insured 1/16 at 100.00 AAA 3,440,545
3,450 5.000%, 1/15/23 - FSA Insured 1/16 at 100.00 AAA 3,605,043
------------------------------------------------------------------------------------------------------------------------------------
22,795 Total Pennsylvania 23,728,763
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,500 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 AAA 2,588,200
Series 2005RR, 5.000%, 7/01/30 - XLCA Insured
2,000 Puerto Rico Highway and Transportation Authority, Highway 7/13 at 100.00 AAA 2,140,700
Revenue Bonds, Series 2003G, 5.250%, 7/01/19 - FGIC Insured
1,550 Puerto Rico Municipal Finance Agency, Series 2005C, No Opt. Call AAA 1,696,103
5.250%, 8/01/21 - CIFG Insured
------------------------------------------------------------------------------------------------------------------------------------
6,050 Total Puerto Rico 6,425,003
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 2.1% (1.3% OF TOTAL INVESTMENTS)
2,195 Providence Housing Development Corporation, Rhode Island, 7/06 at 100.00 AAA 2,201,234
FHA-Insured Section 8 Assisted Mortgage Revenue Refunding
Bonds, Barbara Jordan Apartments, Series 1994A,
6.750%, 7/01/25 - MBIA Insured
20,475 Rhode Island Depositors Economic Protection Corporation, 2/11 at 100.00 AAA 21,811,813
Special Obligation Refunding Bonds, Series 1993B,
5.250%, 8/01/21 (Pre-refunded 2/01/11) - MBIA Insured
1,405 Rhode Island Health and Educational Building Corporation, 9/14 at 100.00 Aaa 1,528,190
Higher Education Auxiliary Enterprise Revenue Bonds,
Series 2004A, 5.500%, 9/15/24 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
24,075 Total Rhode Island 25,541,237
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 4.0% (2.6% OF TOTAL INVESTMENTS)
10,000 Beaufort County, South Carolina, Tax Increment Bonds, 12/12 at 100.00 AAA 10,262,000
New River Redevelopment Project, Series 2002,
5.000%, 6/01/27 - MBIA Insured
Medical University Hospital Authority, South Carolina,
FHA-Insured Mortgage Revenue Bonds, Series 2004A:
2,000 5.250%, 8/15/22 - MBIA Insured 8/14 at 100.00 AAA 2,116,980
2,105 5.250%, 8/15/23 - MBIA Insured 8/14 at 100.00 AAA 2,225,111
4,855 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call AAA 3,548,034
Revenue Bonds, Series 1988A, 0.000%, 1/01/13 -
AMBAC Insured (ETM)
9,190 Piedmont Municipal Power Agency, South Carolina, Electric 7/09 at 76.63 AAA 6,235,691
Revenue Bonds, Series 1988A, 0.000%, 1/01/13
(Pre-refunded 7/01/09) - AMBAC Insured
7,955 Piedmont Municipal Power Agency, South Carolina, Electric No Opt. Call AAA 5,723,702
Revenue Bonds, Series 1988A, 0.000%, 1/01/13 -
AMBAC Insured
8,000 South Carolina JOBS Economic Development Authority, 11/12 at 100.00 AAA 8,420,240
Industrial Revenue Bonds, South Carolina Electric and
Gas Company, Series 2002A, 5.200%, 11/01/27 -
AMBAC Insured
10,000 South Carolina JOBS Economic Development Authority, 11/12 at 100.00 AAA 10,476,800
Industrial Revenue Bonds, South Carolina Electric and Gas
Company, Series 2002B, 5.450%, 11/01/32 - AMBAC Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
54,105 Total South Carolina 49,008,558
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 0.5% (0.4% OF TOTAL INVESTMENTS)
6,455 Memphis-Shelby County Airport Authority, Tennessee, Airport 3/11 at 100.00 AAA 6,774,135
Revenue Bonds, Series 2001A, 5.500%, 3/01/18 - FSA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 16.3% (10.5% OF TOTAL INVESTMENTS)
22,650 Brazos River Authority, Texas, Revenue Refunding Bonds, 5/08 at 102.00 AAA 23,447,507
Houston Industries Inc., Series 1998C, 5.125%, 5/01/19 -
AMBAC Insured
36
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 521 Capital Area Housing Finance Corporation, Texas, FNMA 4/12 at 106.00 AAA $ 523,823
Backed Single Family Mortgage Revenue Refunding Bonds,
Series 2002A-2, 6.300%, 4/01/35 - AMBAC Insured
(Alternative Minimum Tax)
12,500 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/09 at 100.00 AAA 13,292,000
Bonds, Series 2000A, 6.125%, 11/01/35 - FGIC Insured
(Alternative Minimum Tax)
Harris County, Texas, Toll Road Senior Lien Revenue Bonds,
Series 1989:
9,000 0.000%, 8/15/18 (Pre-refunded 8/15/09) - AMBAC Insured 8/09 at 53.84 AAA 4,267,890
39,000 0.000%, 8/15/19 (Pre-refunded 8/15/09) - AMBAC Insured 8/09 at 50.26 AAA 17,264,520
7,280 0.000%, 8/15/20 (Pre-refunded 8/15/09) - AMBAC Insured 8/09 at 46.91 AAA 3,008,460
5,085 0.000%, 8/15/21 (Pre-refunded 8/15/09) - AMBAC Insured 8/09 at 43.80 AAA 1,961,640
25,000 Harris County-Houston Sports Authority, Texas, Junior Lien 11/11 at 100.00 AAA 25,878,500
Revenue Refunding Bonds, Series 2001B, 5.250%, 11/15/40 -
MBIA Insured
4,671 Houston Housing Finance Corporation, Texas, GNMA 9/11 at 105.00 Aaa 4,887,688
Collateralized Mortgage Multifamily Housing Revenue Bonds,
RRG Apartments Project, Series 2001, 6.350%, 3/20/42
Houston, Texas, First Lien Combined Utility System Revenue
Bonds, Series 2004A:
4,000 5.250%, 5/15/24 - FGIC Insured 5/14 at 100.00 AAA 4,221,280
5,000 5.250%, 5/15/25 - MBIA Insured 5/14 at 100.00 AAA 5,276,600
6,570 Houston, Texas, General Obligation Public Improvement Bonds, 3/11 at 100.00 AAA 7,031,740
Series 2001A, 5.375%, 3/01/19 (Pre-refunded 3/01/11) -
FSA Insured
17,500 Houston, Texas, Hotel Occupancy Tax and Special Revenue 9/11 at 100.00 AAA 18,137,000
Bonds, Convention and Entertainment Project, Series 2001B,
5.250%, 9/01/33 - AMBAC Insured
4,170 Houston, Texas, Subordinate Lien Airport System Revenue Bonds, 7/10 at 100.00 AAA 4,403,145
Series 2000B, 5.500%, 7/01/30 - FSA Insured
23,865 Jefferson County Health Facilities Development Corporation, 8/11 at 100.00 AAA 25,078,058
Texas, FHA-Insured Mortgage Revenue Bonds, Baptist Hospital
of Southeast Texas, Series 2001, 5.500%, 8/15/41 -
AMBAC Insured
8,205 Lower Colorado River Authority, Texas, Revenue Refunding and 5/11 at 100.00 AAA 8,475,683
Improvement Bonds, Series 2001A, 5.000%, 5/15/21 -
MBIA Insured
Port of Houston Authority, Harris County, Texas, General
Obligation Port Improvement Bonds, Series 2001B:
3,205 5.500%, 10/01/18 - FGIC Insured (Alternative Minimum Tax) 10/11 at 100.00 AAA 3,367,878
3,375 5.500%, 10/01/19 - FGIC Insured (Alternative Minimum Tax) 10/11 at 100.00 AAA 3,546,517
7,205 San Antonio, Texas, Airport System Improvement Revenue 7/11 at 101.00 AAA 7,580,380
Bonds, Series 2001, 5.375%, 7/01/15 - FGIC Insured
(Alternative Minimum Tax)
Tarrant County Health Facilities Development Corporation, Texas,
Revenue Bonds, Texas Health Resources System, Series 1997A:
2,900 5.250%, 2/15/22 - MBIA Insured 2/08 at 102.00 AAA 3,006,749
6,820 5.000%, 2/15/26 - MBIA Insured 2/08 at 101.00 AAA 6,918,822
6,800 Texas Department of Housing and Community Affairs, Single 9/06 at 102.00 AAA 6,943,344
Family Mortgage Revenue Bonds, Series 1996D,
6.250%, 9/01/28 - MBIA Insured (Alternative Minimum Tax)
1,840 Ysleta Independent School District Public Facility Corporation, 11/09 at 100.00 AAA 1,917,298
Texas, Lease Revenue Refunding Bonds, Series 2001,
5.375%, 11/15/24 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
227,162 Total Texas 200,436,522
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.3% (0.2% OF TOTAL INVESTMENTS)
2,000 Clearfield City, Utah, Sales Tax Revenue Bonds, Series 2003, 7/13 at 100.00 AAA 2,055,060
5.000%, 7/01/28 - FGIC Insured
1,810 Utah Housing Finance Agency, FHA-Insured Section 8 Assisted 7/06 at 100.00 AA 1,812,806
Multifamily Housing Revenue Bonds, Series 1992A,
7.400%, 7/01/24
------------------------------------------------------------------------------------------------------------------------------------
3,810 Total Utah 3,867,866
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 2.4% (1.5% OF TOTAL INVESTMENTS)
8,000 Greater Richmond Convention Center Authority, Virginia, Hotel 6/15 at 100.00 AAA 8,251,040
Tax Revenue Bonds, Series 2005, 5.000%, 6/15/30 -
MBIA Insured
1,035 Loudoun County Industrial Development Authority, Virginia, 6/14 at 100.00 AAA 1,103,641
Lease Revenue Bonds, Public Safety Facilities, Series 2003A,
5.250%, 12/15/20 - FSA Insured
37
Nuveen Insured Municipal Opportunity Fund, Inc. (NIO) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA (continued)
$ 4,840 Metropolitan Washington D.C. Airports Authority, Airport System 10/11 at 101.00 AAA $ 5,114,186
Revenue Bonds, Series 2001A, 5.500%, 10/01/19 -
MBIA Insured (Alternative Minimum Tax)
4,265 Metropolitan Washington D.C. Airports Authority, Airport System 10/14 at 100.00 AAA 4,461,744
Revenue Bonds, Series 2004A, 5.000%, 10/01/20 - MBIA Insured
10,000 Virginia Housing Development Authority, Commonwealth 7/11 at 100.00 AAA 10,441,500
Mortgage Bonds, Series 2001H-1, 5.375%, 7/01/36 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
28,140 Total Virginia 29,372,111
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 1.2% (0.8% OF TOTAL INVESTMENTS)
2,500 Grant County Public Utility District 2, Washington, Revenue 1/15 at 100.00 AAA 2,571,600
Bonds, Wanapum Hydroelectric Development, Series 2005A,
5.000%, 1/01/29 - FGIC Insured
3,500 King County School District 401, Highline, Washington, General 12/14 at 100.00 AAA 3,622,150
Obligation Bonds, Series 2004, 5.000%, 10/01/24 -
FGIC Insured
3,195 Kitsap County, Washington, Limited Tax General Obligation 7/10 at 100.00 AAA 3,409,672
Bonds, Series 2000, 5.500%, 7/01/25 (Pre-refunded 7/01/10) -
AMBAC Insured
4,250 Snohomish County Public Utility District 1, Washington, 7/06 at 100.00 AAA 4,933,230
Generation System Revenue Bonds, Series 1989,
6.650%, 1/01/16 - FGIC Insured (ETM)
------------------------------------------------------------------------------------------------------------------------------------
13,445 Total Washington 14,536,652
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.8% (0.5% OF TOTAL INVESTMENTS)
10,000 Harrison County Commission, West Virginia, Solid Waste 5/06 at 100.00 AAA 10,002,300
Disposal Revenue Bonds, West Penn Power Company -
Harrison Station, Series 1993B, 6.300%, 5/01/23 - MBIA
Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 4.1% (2.7% OF TOTAL INVESTMENTS)
18,000 Wisconsin Health and Educational Facilities Authority, Revenue 8/07 at 102.00 AAA 18,554,400
Bonds, Aurora Healthcare Inc., Series 1997, 5.250%, 8/15/17 -
MBIA Insured
15,000 Wisconsin Health and Educational Facilities Authority, Revenue 2/07 at 102.00 AAA 15,502,500
Bonds, Marshfield Clinic, Series 1997, 5.750%, 2/15/27 -
MBIA Insured
680 Wisconsin Housing and Economic Development Authority, 7/06 at 100.00 AAA 680,993
Housing Revenue Bonds, Series 1992A, 6.850%, 11/01/12 -
MBIA Insured
1,675 Wisconsin Public Power Incorporated System, Power Supply 7/15 at 100.00 AAA 1,727,746
System Revenue Bonds, Series 2005A, 5.000%, 7/01/30 -
AMBAC Insured
2,890 Wisconsin, General Obligation Bonds, Series 2004-3, 5/14 at 100.00 AAA 3,076,347
5.250%, 5/01/20 - FGIC Insured
10,945 Wisconsin, General Obligation Bonds, Series 2004-4, 5/14 at 100.00 AAA 11,402,939
5.000%, 5/01/20 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
49,190 Total Wisconsin 50,944,925
------------------------------------------------------------------------------------------------------------------------------------
$ 1,962,632 Total Investments (cost $1,813,064,169) - 154.7% 1,905,831,610
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.5% 6,069,267
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (55.2)% (680,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $1,231,900,877
====================================================================================================================
All of the bonds in the Portfolio of Investments are
either covered by Original Issue Insurance, Secondary
Market Insurance or Portfolio Insurance, or are backed
by an escrow or trust containing sufficient U.S.
Government or U.S. Government agency securities, any of
which ensure the timely payment of principal and
interest.
(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 BBB by Standard & Poor's
Group or Baa by Moody's Investor Service, Inc. are
considered to be below investment grade.
WI/DD Purchased on a when-issued or delayed delivery basis.
(ETM) Escrowed to maturity.
See accompanying notes to financial statements.
38
Nuveen Premier Insured Municipal Income Fund, Inc. (NIF)
Portfolio of
INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 1.2% (0.8% OF TOTAL INVESTMENTS)
$ 3,200 Auburn, Alabama, General Obligation Warrants, Series 2005, 8/15 at 100.00 AAA $ 3,308,800
5.000%, 8/01/30 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 1.5% (1.0% OF TOTAL INVESTMENTS)
4,370 Phoenix Civic Improvement Corporation, Arizona, Junior Lien 7/15 at 100.00 AAA 4,439,614
Water System Revenue Bonds, Series 2005, 4.750%, 7/01/25 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.4% (0.9% OF TOTAL INVESTMENTS)
4,020 Northwest Community College District, Arkansas, General 5/15 at 100.00 AAA 4,193,744
Obligation Bonds, Series 2005, 5.000%, 5/15/23 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 30.4% (19.9% OF TOTAL INVESTMENTS)
ABAG Finance Authority for Non-Profit Corporations, California,
Insured Certificates of Participation, Children's Hospital
Medical Center of Northern California, Series 1999:
6,750 5.875%, 12/01/19 - AMBAC Insured 12/09 at 101.00 AAA 7,259,963
6.000%, 12/01/29 - AMBAC Insured 12/09 at 101.00 AAA 10,798,100
1,000 California Department of Water Resources, Water System 12/14 at 100.00 AAA 1,037,790
Revenue Bonds, Central Valley Project, Series 2005AC,
5.000%, 12/01/26 - MBIA Insured
1,250 California Pollution Control Financing Authority, Remarketed 4/11 at 102.00 AAA 1,319,800
Revenue Bonds, Pacific Gas and Electric Company,
Series 1996A, 5.350%, 12/01/16 - MBIA Insured (Alternative
Minimum Tax)
1,005 Folsom Cordova Unified School District, Sacramento County, 10/14 at 100.00 AAA 1,043,090
California, General Obligation Bonds, School Facilities
Improvement District 2, Series 2004B, 5.000%, 10/01/26 -
FSA Insured
85 Kern County Housing Authority, California, GNMA Guaranteed No Opt. Call AAA 85,422
Tax-Exempt Mortgage Obligation Bonds, Series 1994A-I,
7.150%, 12/30/24 (Alternative Minimum Tax)
55 Kern County Housing Authority, California, GNMA Guaranteed No Opt. Call AAA 55,287
Tax-Exempt Mortgage Obligation Bonds, Series 1994A-III,
7.450%, 6/30/25 (Alternative Minimum Tax)
4,865 La Verne-Grand Terrace Housing Finance Agency, California, No Opt. Call AAA 6,518,808
Single Family Residential Mortgage Revenue Bonds,
Series 1984A, 10.250%, 7/01/17 (ETM)
1,690 Los Angeles Community College District, Los Angeles County, 8/15 at 100.00 AAA 1,763,042
California, General Obligation Bonds, Series 2005A,
5.000%, 8/01/24 - FSA Insured
3,600 Los Angeles Unified School District, California, General 7/16 at 100.00 AAA 3,761,892
Obligation Bonds, Series 2006F, 5.000%, 7/01/25 - FGIC Insured
5,000 Ontario Redevelopment Financing Authority, San Bernardino No Opt. Call AAA 6,650,300
County, California, Revenue Refunding Bonds, Redevelopment
Project 1, Series 1995, 7.400%, 8/01/25 - MBIA Insured
8,880 Pomona, California, GNMA/FHLMC Collateralized Single No Opt. Call AAA 11,537,606
Family Mortgage Revenue Refunding Bonds, Series 1990B,
7.500%, 8/01/23 (ETM)
13,215 San Bernardino County, California, GNMA Mortgage-Backed No Opt. Call AAA 15,594,490
Securities Program Single Family Home Mortgage Revenue
Bonds, Series 1988A, 8.300%, 9/01/14 (Alternative
Minimum Tax) (ETM)
10,155 San Bernardino, California, GNMA Mortgage-Backed Securities No Opt. Call AAA 12,786,668
Program Single Family Mortgage Revenue Refunding Bonds,
Series 1990A, 7.500%, 5/01/23 (ETM)
4,300 San Francisco Airports Commission, California, Revenue 5/11 at 100.00 AAA 4,438,933
Refunding Bonds, San Francisco International Airport,
Second Series 2001, Issue 27A, 5.125%, 5/01/19 - MBIA Insured
(Alternative Minimum Tax)
2,000 San Jose Redevelopment Agency, California, Tax Allocation 8/14 at 100.00 AAA 2,134,340
Bonds, Merged Area Redevelopment Project, Series 2004A,
5.250%, 8/01/19 - MBIA Insured
1,815 University of California, General Revenue Bonds, Series 2005G, 5/13 at 101.00 AAA 1,825,218
4.750%, 5/15/31 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
75,665 Total California 88,610,749
------------------------------------------------------------------------------------------------------------------------------------
39
Nuveen Premier Insured Municipal Income Fund, Inc. (NIF) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 7.2% (4.7% OF TOTAL INVESTMENTS)
$ 1,500 Adams and Arapahoe Counties Joint School District 28J, 12/13 at 100.00 AAA $ 1,578,585
Aurora, Colorado, General Obligation Bonds, Series 2003A,
5.125%, 12/01/21 - FSA Insured
2,500 Denver City and County, Colorado, Airport System Revenue 11/12 at 100.00 AAA 2,649,800
Refunding Bonds, Series 2002E, 5.500%, 11/15/18 -
FGIC Insured (Alternative Minimum Tax)
6,000 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 102.00 AAA 6,535,260
Bonds, Series 2000A, 5.750%, 9/01/29 - MBIA Insured
4,405 Garfield, Eagle and Pitkin Counties School District RE-1, 12/14 at 100.00 AAA 4,584,856
Roaring Fork, Colorado, General Obligation Bonds,
Series 2005A, 5.000%, 12/15/24 - FSA Insured
2,065 Jefferson County School District R1, Colorado, General 12/14 at 100.00 AAA 2,149,314
Obligation Bonds, Series 2004, 5.000%, 12/15/24 -
FSA Insured
1,390 Teller County School District RE-2, Woodland Park, Colorado, 12/14 at 100.00 AAA 1,450,590
General Obligation Bonds, Series 2004, 5.000%, 12/01/22 -
MBIA Insured
1,000 University of Colorado, Enterprise System Revenue Bonds, 6/12 at 100.00 AAA 1,039,350
Series 2002A, 5.000%, 6/01/19 - FGIC Insured
1,000 University of Colorado, Enterprise System Revenue Bonds, 6/15 at 100.00 AAA 1,035,800
Series 2005, 5.000%, 6/01/30 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
19,860 Total Colorado 21,023,555
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 5.6% (3.7% OF TOTAL INVESTMENTS)
2,285 Florida Municipal Loan Council, Revenue Bonds, Series 2005A, 2/15 at 100.00 AAA 2,376,012
5.000%, 2/01/23 - MBIA Insured
1,500 JEA, Florida, Water and Sewerage System Revenue Bonds, 10/13 at 100.00 AAA 1,564,635
Series 2004A, 5.000%, 10/01/19 - FGIC Insured
4,145 Miami, Florida, General Obligation Bonds, Series 2002, 1/12 at 100.00 AAA 4,299,857
5.000%, 1/01/22 - MBIA Insured
4,240 Reedy Creek Improvement District, Florida, Utility Revenue 10/13 at 100.00 AAA 4,531,076
Bonds, Series 2003-1, 5.250%, 10/01/17 - MBIA Insured
2,000 Tallahassee, Florida, Energy System Revenue Bonds, 10/15 at 100.00 AAA 2,069,060
Series 2005, 5.000%, 10/01/28 - MBIA Insured
1,415 Taylor County, Florida, Sales Tax Revenue Bonds, Series 2005, 10/15 at 100.00 AAA 1,469,364
5.000%, 10/01/25 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
15,585 Total Florida 16,310,004
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 3.4% (2.2% OF TOTAL INVESTMENTS)
2,950 Atlanta, Georgia, Airport General Revenue Bonds, Series 2004G, 1/15 at 100.00 AAA 3,051,569
5.000%, 1/01/25 - FSA Insured
6,500 Medical Center Hospital Authority, Georgia, Revenue 8/09 at 102.00 AAA 6,908,915
Anticipation Certificates, Columbus Regional Healthcare
System, Inc. Project, Series 1999, 5.500%, 8/01/25 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
9,450 Total Georgia 9,960,484
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 3.8% (2.5% OF TOTAL INVESTMENTS)
2,250 Hawaii Department of Budget and Finance, Special Purpose 1/09 at 101.00 AAA 2,386,642
Revenue Bonds, Hawaiian Electric Company Inc., Series 1999D,
6.150%, 1/01/20 - AMBAC Insured (Alternative Minimum Tax)
8,030 Hawaii Department of Transportation, Airport System Revenue 7/10 at 101.00 AAA 8,807,143
Refunding Bonds, Series 2000B, 6.500%, 7/01/15 -
FGIC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
10,280 Total Hawaii 11,193,785
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 15.7% (10.3% OF TOTAL INVESTMENTS)
4,000 Bridgeview, Illinois, General Obligation Bonds, Series 2002, 12/12 at 100.00 AAA 4,146,280
5.000%, 12/01/22 - FGIC Insured
8,200 Chicago Board of Education, Illinois, General Obligation Lease No Opt. Call AAA 9,188,756
Certificates, Series 1992A, 6.250%, 1/01/15 - MBIA Insured
10,000 Chicago, Illinois, General Obligation Refunding Bonds, 1/10 at 101.00 AAA 10,586,700
Series 2000D, 5.500%, 1/01/35 - FGIC Insured
1,450 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 AAA 1,542,061
O'Hare International Airport, Series 2005A, 5.250%, 1/01/24 -
MBIA Insured
23,110 Illinois Development Finance Authority, Local Government No Opt. Call Aaa 14,236,684
Program Revenue Bonds, Kane, Cook and DuPage Counties
School District U46 - Elgin, Series 2002, 0.000%, 1/01/17 -
FSA Insured
40
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 5,010 Metropolitan Pier and Exposition Authority, Illinois, Revenue No Opt. Call AAA $ 2,372,435
Refunding Bonds, McCormick Place Expansion Project,
Series 1996A, 0.000%, 12/15/21 - MBIA Insured
3,225 Regional Transportation Authority, Cook, DuPage, Kane, No Opt. Call AAA 3,706,396
Lake, McHenry and Will Counties, Illinois, General Obligation
Bonds, Series 1992A, 9.000%, 6/01/09 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
54,995 Total Illinois 45,779,312
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 2.8% (1.8% OF TOTAL INVESTMENTS)
Indiana University, Parking Facility Revenue Bonds, Series 2004:
1,015 5.250%, 11/15/19 - AMBAC Insured 11/14 at 100.00 AAA 1,082,964
1,060 5.250%, 11/15/20 - AMBAC Insured 11/14 at 100.00 AAA 1,130,193
1,100 5.250%, 11/15/21 - AMBAC Insured 11/14 at 100.00 AAA 1,172,842
9,255 Indianapolis Local Public Improvement Bond Bank, Indiana, No Opt. Call AAA 3,691,727
Series 1999E, 0.000%, 2/01/25 - AMBAC Insured
1,000 Metropolitan School District Steuben County K-5 Building 7/14 at 102.00 AAA 1,067,140
Corporation, Indiana, First Mortgage Bonds, Series 2003,
5.250%, 1/15/21 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
13,430 Total Indiana 8,144,866
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.2% (0.8% OF TOTAL INVESTMENTS)
3,345 Ames, Iowa, Hospital Revenue Refunding Bonds, Mary Greeley 6/13 at 100.00 Aaa 3,469,635
Medical Center, Series 2003, 5.000%, 6/15/17 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 1.4% (0.9% OF TOTAL INVESTMENTS)
1,245 Kansas Development Finance Authority, Board of Regents, 4/15 at 100.00 AAA 1,297,265
Revenue Bonds, Kansas State University Housing System,
Series 2005A, 5.000%, 4/01/23 - MBIA Insured
2,760 Neosho County Unified School District 413, Kansas, General 9/14 at 100.00 Aaa 2,848,154
Obligation Bonds, Series 2006, 5.000%, 9/01/31 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
4,005 Total Kansas 4,145,419
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 2.2% (1.4% OF TOTAL INVESTMENTS)
1,200 Maryland Economic Development Corporation, Student Housing 6/16 at 100.00 AAA 1,240,800
Revenue Bonds, University of Maryland College Park Projects
Refunding, Series 2006, 5.000%, 6/01/28 - CIFG Insured
5,000 Maryland Transportation Authority, Airport Parking Revenue 3/12 at 101.00 AAA 5,168,850
Bonds, Baltimore-Washington International Airport Passenger
Facility, Series 2002B, 5.125%, 3/01/21 - AMBAC Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
6,200 Total Maryland 6,409,650
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.6% (1.0% OF TOTAL INVESTMENTS)
4,400 Massachusetts School Building Authority, Dedicated Sales 8/15 at 100.00 AAA 4,590,828
Tax Revenue Bonds, Series 2005A, 5.000%, 8/15/23 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 3.7% (2.4% OF TOTAL INVESTMENTS)
6,500 Michigan Higher Education Student Loan Authority, Revenue No Opt. Call AAA 6,760,585
Bonds, Series 2000 XII-T, 5.300%, 9/01/10 - AMBAC Insured
(Alternative Minimum Tax)
3,810 Michigan Housing Development Authority, GNMA Collateralized 8/12 at 102.00 Aaa 3,926,205
Limited Obligation Multifamily Housing Revenue Bonds,
Cranbrook Apartments, Series 2001A, 5.500%, 2/20/43
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
10,310 Total Michigan 10,686,790
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 1.8% (1.2% OF TOTAL INVESTMENTS)
4,860 Minneapolis-St. Paul Metropolitan Airports Commission, 1/11 at 100.00 AAA 5,164,771
Minnesota, Airport Revenue Bonds, Series 2001B,
5.750%, 1/01/15 - FGIC Insured (Alternative Minimum Tax)
150 Minnesota Housing Finance Agency, Rental Housing Bonds, 8/06 at 101.00 AAA 151,205
Series 1995D, 5.950%, 2/01/18 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
5,010 Total Minnesota 5,315,976
------------------------------------------------------------------------------------------------------------------------------------
41
Nuveen Premier Insured Municipal Income Fund, Inc. (NIF) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 3.5% (2.3% OF TOTAL INVESTMENTS)
$ 7,495 Jefferson County Industrial Development Authority, Missouri, 8/07 at 100.00 AAA $ 8,163,854
Housing Revenue Bonds, Richardson Road Apartments Project,
Series 1985, 11.000%, 12/15/15 (Pre-refunded 8/15/07)
2,000 Missouri Western State College, Auxiliary System Revenue 10/13 at 100.00 AAA 2,080,380
Bonds, Series 2003, 5.000%, 10/01/21 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
9,495 Total Missouri 10,244,234
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 8.7% (5.7% OF TOTAL INVESTMENTS)
3,000 Clark County, Nevada, General Obligation Bank Bonds, 12/12 at 100.00 AAA 3,066,600
Southern Nevada Water Authority Loan, Series 2002,
5.000%, 6/01/32 - MBIA Insured
8,000 Clark County, Nevada, Subordinate Lien Airport Revenue Bonds, 7/11 at 100.00 AAA 8,495,280
Series 2001B, 5.125%, 7/01/21 (Pre-refunded 7/01/11) -
FGIC Insured
7,990 Reno, Nevada, Senior Lien Sales and Room Tax Revenue Bonds, 6/12 at 100.00 AAA 8,577,585
Reno Transportation Rail Access Corridor Project, Series 2002,
5.250%, 6/01/41 (Pre-refunded 6/01/12) - AMBAC Insured
5,050 Washoe County, Nevada, Gas and Water Facilities Remarketed 7/06 at 100.00 AAA 5,171,352
Revenue Refunding Bonds, Sierra Pacific Power Company,
Series 1987, 6.300%, 12/01/14 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
24,040 Total Nevada 25,310,817
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.2% (0.8% OF TOTAL INVESTMENTS)
New Jersey Economic Development Authority, Revenue Bonds,
Motor Vehicle Surcharge, Series 2004A:
1,200 5.000%, 7/01/22 - MBIA Insured 7/14 at 100.00 AAA 1,245,996
1,200 5.000%, 7/01/23 - MBIA Insured 7/14 at 100.00 AAA 1,244,328
800 Rutgers State University, New Jersey, Certificates of 1/14 at 100.00 AAA 825,408
Participation, Lower Georges Street University Redevelopment
Associates LLC, Series 2004, 5.000%, 1/01/24 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
3,200 Total New Jersey 3,315,732
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 9.2% (6.0% OF TOTAL INVESTMENTS)
1,000 Dormitory Authority of the State of New York, FHA-Insured 2/15 at 100.00 AAA 1,039,100
Mortgage Revenue Bonds, Montefiore Hospital, Series 2004,
5.000%, 8/01/23 - FGIC Insured
1,510 Dormitory Authority of the State of New York, Revenue Bonds, 2/15 at 100.00 AAA 1,569,252
Mental Health Services Facilities Improvements, Series 2005B,
5.000%, 2/15/24 - AMBAC Insured
5,000 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 AAA 5,211,100
Revenue Bonds, Series 2006A, 5.000%, 12/01/25 - FGIC Insured
10,000 Metropolitan Transportation Authority, New York, Transportation 11/12 at 100.00 AAA 10,580,100
Revenue Refunding Bonds, Series 2002F, 5.250%, 11/15/27 -
MBIA Insured
1,000 New York City Municipal Water Finance Authority, New York, 6/15 at 100.00 AAA 1,041,230
Water and Sewerage System Revenue Bonds, Fiscal
Series 2005C, 5.000%, 6/15/25 - MBIA Insured
5,700 New York State Thruway Authority, General Revenue Bonds, 7/15 at 100.00 AAA 5,931,534
Series 2005G, 5.000%, 1/01/26 - FSA Insured
1,450 New York State Thruway Authority, Highway and Bridge 10/15 at 100.00 AAA 1,520,470
Trust Fund Bonds, Second Generation, Series 2005B,
5.000%, 4/01/21 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
25,660 Total New York 26,892,786
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 2.2% (1.4% OF TOTAL INVESTMENTS)
3,100 North Carolina Medical Care Commission, FHA-Insured 10/13 at 100.00 AAA 3,205,214
Mortgage Revenue Bonds, Betsy Johnson Regional Hospital
Project, Series 2003, 5.125%, 10/01/32 - FSA Insured
3,050 Raleigh Durham Airport Authority, North Carolina, Airport 5/15 at 100.00 Aaa 3,179,107
Revenue Bonds, Series 2005A, 5.000%, 5/01/22 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
6,150 Total North Carolina 6,384,321
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,500 Tallmadge City School District, Ohio, General Obligation Bonds, 6/15 at 100.00 AAA 1,551,435
Series 2005, 5.000%, 12/01/28 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
42
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.6% (1.1% OF TOTAL INVESTMENTS)
$ 3,500 Oklahoma Capitol Improvement Authority, State Facilities 7/15 at 100.00 AAA $ 3,647,525
Revenue Bonds, Series 2005F, 5.000%, 7/01/24 -
AMBAC Insured
1,075 Oklahoma Housing Finance Agency, GNMA Collateralized Single No Opt. Call AAA 1,134,856
Family Mortgage Revenue Bonds, Series 1987A,
7.997%, 8/01/18 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
4,575 Total Oklahoma 4,782,381
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 4.4% (2.8% OF TOTAL INVESTMENTS)
Oregon Health Sciences University, Revenue Bonds, Series 2002A:
5,000 5.000%, 7/01/26 - MBIA Insured 1/13 at 100.00 AAA 5,158,450
7,000 5.000%, 7/01/32 - MBIA Insured 1/13 at 100.00 AAA 7,189,280
345 Oregon Health, Housing, Educational and Cultural Facilities 3/12 at 105.00 Aaa 355,740
Authority, GNMA Mortgage-Backed Securities Program
Assisted Living Project Revenue Bonds, Necanicum Village
LLC, Series 2001A, 6.850%, 6/20/42
------------------------------------------------------------------------------------------------------------------------------------
12,345 Total Oregon 12,703,470
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.0% (1.3% OF TOTAL INVESTMENTS)
1,500 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/15 at 100.00 AAA 1,561,995
Revenue Bonds, Series 2005A, 5.000%, 12/01/23 -
MBIA Insured
4,000 Commonwealth Financing Authority, Pennsylvania, State 6/16 at 100.00 AAA 4,168,880
Appropriation Lease Bonds, Series 2006A, 5.000%, 6/01/26 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
5,500 Total Pennsylvania 5,730,875
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 2.0% (1.3% OF TOTAL INVESTMENTS)
2,500 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 AAA 2,628,475
Series 2005RR, 5.000%, 7/01/22 - FGIC Insured
1,000 Puerto Rico Municipal Finance Agency, Series 2005C, No Opt. Call AAA 1,094,260
5.250%, 8/01/21 - CIFG Insured
2,000 Puerto Rico, Highway Revenue Bonds, Highway and No Opt. Call AAA 2,216,680
Transportation Authority, Series 2003AA, 5.500%, 7/01/17 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
5,500 Total Puerto Rico 5,939,415
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 3.7% (2.4% OF TOTAL INVESTMENTS)
3,000 Blount County Public Building Authority, Tennessee, Local 6/15 at 100.00 Aaa 3,130,140
Government Public Improvement Lease Bonds, Oak Ridge,
Series 2005B-9-A, 5.000%, 6/01/24 - AMBAC Insured
2,055 Memphis, Tennessee, Sanitary Sewerage System Revenue 10/14 at 100.00 AAA 2,144,619
Bonds, Series 2004, 5.000%, 10/01/22 - FSA Insured
5,000 Metropolitan Government of Nashville-Davidson County Health 11/09 at 101.00 AAA 5,407,200
and Educational Facilities Board, Tennessee, Revenue Bonds,
Ascension Health Credit Group, Series 1999A, 6.000%, 11/15/30
(Pre-refunded 11/15/09) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
10,055 Total Tennessee 10,681,959
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 10.6% (6.9% OF TOTAL INVESTMENTS)
12,500 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/09 at 100.00 AAA 13,014,625
Refunding and Improvement Bonds, Series 2001A,
5.500%, 11/01/35 - FGIC Insured (Alternative Minimum Tax)
North Harris County Regional Water Authority, Texas, Senior
Water Revenue Bonds, Series 2003:
4,565 5.250%, 12/15/20 - FGIC Insured 12/13 at 100.00 AAA 4,824,566
4,800 5.250%, 12/15/21 - FGIC Insured 12/13 at 100.00 AAA 5,085,072
7,600 San Antonio, Texas, Airport System Improvement Revenue 7/11 at 101.00 AAA 7,969,132
Bonds, Series 2001, 5.375%, 7/01/16 - FGIC Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
29,465 Total Texas 30,893,395
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 18.6% (12.1% OF TOTAL INVESTMENTS)
5,000 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 5,307,900
Consolidated System Revenue Bonds, Series 2001B,
5.600%, 1/01/36 - MBIA Insured (Alternative Minimum Tax)
43
Nuveen Premier Insured Municipal Income Fund, Inc. (NIF) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON (continued)
King County School District 405, Bellevue, Washington, General
Obligation Bonds, Series 2002:
$ 12,060 5.000%, 12/01/19 - FGIC Insured 12/12 at 100.00 AAA $ 12,536,129
12,785 5.000%, 12/01/20 - FGIC Insured 12/12 at 100.00 AAA 13,259,963
Pierce County School District 343, Dieringer, Washington,
General Obligation Refunding Bonds, Series 2003:
2,755 5.250%, 12/01/18 - FGIC Insured 6/13 at 100.00 Aaa 2,926,389
2,990 5.250%, 12/01/19 - FGIC Insured 6/13 at 100.00 Aaa 3,173,736
4,715 Port of Seattle, Washington, Revenue Bonds, Series 2001B, 10/11 at 100.00 AAA 5,001,389
5.625%, 4/01/17 - FGIC Insured (Alternative Minimum Tax)
895 Port of Seattle, Washington, Special Facility Revenue Bonds, 3/10 at 101.00 AAA 957,203
Terminal 18, Series 1999C, 6.000%, 9/01/29 - MBIA Insured
(Alternative Minimum Tax)
1,265 Tacoma, Washington, General Obligation Bonds, Series 2002, 12/12 at 100.00 AAA 1,320,913
5.000%, 12/01/18 - FGIC Insured
4,200 Tacoma, Washington, Solid Waste Utility Revenue Refunding 12/11 at 100.00 AAA 4,410,756
Bonds, Series 2001, 5.250%, 12/01/20 - AMBAC Insured
5,000 Washington, General Obligation Bonds, Series 2001C, 1/11 at 100.00 AAA 5,229,100
5.250%, 1/01/26 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
51,665 Total Washington 54,123,478
------------------------------------------------------------------------------------------------------------------------------------
$ 433,275 Total Investments (cost $425,112,914) - 153.2% 446,137,509
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.1% 6,112,739
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (55.3)% (161,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 291,250,248
====================================================================================================================
All of the bonds in the Portfolio of Investments are
either covered by Original Issue Insurance, Secondary
Market Insurance or Portfolio Insurance, or are backed
by an escrow or trust containing sufficient U.S.
Government or U.S. Government agency securities, any of
which ensure the timely payment of principal and
interest.
(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 BBB by Standard & Poor's
Group or Baa by Moody's Investor Service, Inc. are
considered to be below investment grade.
(ETM) Escrowed to maturity.
See accompanying notes to financial statements.
44
Nuveen Insured Premium Income Municipal Fund 2 (NPX)
Portfolio of
INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 2.2% (1.5% OF TOTAL INVESTMENTS)
$ 3,750 Huntsville Healthcare Authority, Alabama, Revenue Bonds, 6/15 at 100.00 AAA $ 3,854,662
Series 2005A, 5.000%, 6/01/24 - MBIA Insured
Jefferson County, Alabama, General Obligation Warrants,
Series 2004A:
1,395 5.000%, 4/01/22 - MBIA Insured 4/14 at 100.00 AAA 1,450,926
1,040 5.000%, 4/01/23 - MBIA Insured 4/14 at 100.00 AAA 1,079,572
Montgomery Water and Sewerage Board, Alabama, Water and
Sewerage Revenue Bonds, Series 2005:
2,220 5.000%, 3/01/24 - FSA Insured 3/15 at 100.00 AAA 2,310,798
2,590 5.000%, 3/01/25 - FSA Insured 3/15 at 100.00 AAA 2,692,072
------------------------------------------------------------------------------------------------------------------------------------
10,995 Total Alabama 11,388,030
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 2.4% (1.6% OF TOTAL INVESTMENTS)
12,365 Phoenix Civic Improvement Corporation, Arizona, Junior Lien 7/15 at 100.00 AAA 12,497,182
Water System Revenue Bonds, Series 2005, 4.750%, 7/01/27 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 2.9% (1.9% OF TOTAL INVESTMENTS)
7,745 Arkansas Development Finance Authority, State Facility Revenue 6/14 at 100.00 AAA 8,202,342
Bonds, Donaghey Plaza Project, Series 2004, 5.250%, 6/01/25 -
FSA Insured
University of Arkansas, Fayetteville, Revenue Bonds, Medical
Sciences Campus, Series 2004B:
2,000 5.000%, 11/01/27 - MBIA Insured 11/14 at 100.00 Aaa 2,067,900
2,000 5.000%, 11/01/28 - MBIA Insured 11/14 at 100.00 Aaa 2,066,460
2,480 University of Arkansas, Monticello Campus, Revenue Bonds, 12/13 at 100.00 Aaa 2,546,861
Series 2005, 5.000%, 12/01/35 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
14,225 Total Arkansas 14,883,563
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 21.9% (14.5% OF TOTAL INVESTMENTS)
California Department of Water Resources, Water System
Revenue Bonds, Central Valley Project, Series 2005AC:
2,000 5.000%, 12/01/24 - MBIA Insured 12/14 at 100.00 AAA 2,079,920
2,215 5.000%, 12/01/25 - MBIA Insured 12/14 at 100.00 AAA 2,300,300
1,800 California Educational Facilities Authority, Revenue Bonds, 10/15 at 100.00 Aaa 1,859,364
Occidental College, Series 2005A, 5.000%, 10/01/33 -
MBIA Insured
31,200 Foothill/Eastern Transportation Corridor Agency, California, 1/10 at 24.23 AAA 6,393,504
Toll Road Revenue Refunding Bonds, Series 1999,
0.000%, 1/15/34 - MBIA Insured
1,735 Fullerton Public Financing Authority, California, Tax Allocation 9/15 at 100.00 AAA 1,791,769
Revenue Bonds, Series 2005, 5.000%, 9/01/27 -
AMBAC Insured
7,000 Golden State Tobacco Securitization Corporation, California, 6/15 at 100.00 AAA 7,161,420
Tobacco Settlement Asset-Backed Revenue Bonds,
Series 2005A, 5.000%, 6/01/35 - FGIC Insured
6,520 Los Angeles Unified School District, California, General 7/15 at 100.00 AAA 6,819,855
Obligation Bonds, Series 2005E, 5.000%, 7/01/22 -
AMBAC Insured
4,000 Los Angeles Unified School District, California, General 7/16 at 100.00 AAA 4,186,560
Obligation Bonds, Series 2006F, 5.000%, 7/01/24 -
FGIC Insured
15,000 Orange County Sanitation District, California, Certificates 8/13 at 100.00 AAA 15,760,049
of Participation, Series 2003, 5.250%, 2/01/30 - FGIC Insured
10,000 Orange County Water District, California, Revenue Certificates 8/13 at 100.00 AAA 10,231,800
of Participation, Series 2003B, 5.000%, 8/15/34 - MBIA Insured
1,000 Orange County Water District, California, Revenue Certificates 2/15 at 100.00 AAA 1,034,090
of Participation, Series 2005B, 5.000%, 8/15/24 - MBIA Insured
45
Nuveen Insured Premium Income Municipal Fund 2 (NPX) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA (continued)
$ 1,435 Pasadena Area Community College District, Los Angeles 6/13 at 100.00 AAA $ 1,493,204
County, California, General Obligation Bonds, Series 2003A,
5.000%, 6/01/22 - FGIC Insured
12,265 Sacramento City Financing Authority, California, Capital 12/09 at 102.00 AAA 13,375,718
Improvement Revenue Bonds, Solid Waste and Redevelopment
Projects, Series 1999, 5.800%, 12/01/19 (Pre-refunded 12/01/09) -
AMBAC Insured
735 Sacramento City Financing Authority, California, Capital 12/09 at 102.00 AAA 797,379
Improvement Revenue Bonds, Solid Waste and Redevelopment
Projects, Series 1999, 5.800%, 12/01/19 - AMBAC Insured
San Diego County, California, Certificates of Participation,
Edgemoor Facility Project and Regional System, Series 2005:
1,675 5.000%, 2/01/24 - AMBAC Insured 2/15 at 100.00 AAA 1,731,900
720 5.000%, 2/01/25 - AMBAC Insured 2/15 at 100.00 AAA 743,400
14,170 San Diego Unified School District, San Diego County, 7/15 at 100.00 AAA 14,669,917
California, General Obligation Bonds, Series 2005G,
5.000%, 7/01/29 - FSA Insured
2,000 San Jose Redevelopment Agency, California, Tax Allocation 8/14 at 100.00 AAA 2,134,340
Bonds, Merged Area Redevelopment Project, Series 2004A,
5.250%, 8/01/19 - MBIA Insured
5,000 Torrance, California, Certificates of Participation, Series 2005B, No Opt. Call AAA 5,172,950
5.000%, 6/01/24 - AMBAC Insured
12,500 University of California, Revenue Bonds, Multi-Purpose 5/13 at 100.00 AAA 12,862,125
Projects, Series 2003A, 5.000%, 5/15/33 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
132,970 Total California 112,599,564
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 9.3% (6.2% OF TOTAL INVESTMENTS)
1,690 Adams 12 Five Star Schools, Adams County, Colorado, General 12/15 at 100.00 AAA 1,765,442
Obligation Bonds, Series 2005, 5.000%, 12/15/24 - FSA Insured
1,940 Colorado Educational and Cultural Facilities Authority, Charter 6/13 at 100.00 AAA 2,040,046
School Revenue Bonds, Adams School District 12 - Pinnacle
School, Series 2003, 5.250%, 6/01/23 - XLCA Insured
3,405 Colorado Educational and Cultural Facilities Authority, Charter 12/13 at 100.00 AAA 3,591,049
School Revenue Bonds, Classical Academy, Series 2003,
5.250%, 12/01/23 - XLCA Insured
3,500 Colorado Health Facilities Authority, Revenue Bonds, Poudre 12/09 at 101.00 Aaa 3,759,770
Valley Healthcare Inc., Series 1999A, 5.750%, 12/01/23
(Pre-refunded 12/01/09) - FSA Insured
17,145 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 AAA 18,174,385
Revenue Bonds, Convention Center Hotel, Series 2003A,
5.000%, 12/01/33 (Pre-refunded 12/01/13) - XLCA Insured
6,100 Denver School District 1, Colorado, General Obligation Bonds, 12/13 at 100.00 AAA 6,387,920
Series 2004, 5.000%, 12/01/18 - FSA Insured
1,325 El Paso County, Colorado, Certificates of Participation, Detention 12/12 at 100.00 AAA 1,356,681
Facility Project, Series 2002B, 5.000%, 12/01/27 -
AMBAC Insured
Jefferson County School District R1, Colorado, General Obligation
Bonds, Series 2004:
2,500 5.000%, 12/15/22 - FSA Insured 12/14 at 100.00 AAA 2,609,350
5,125 5.000%, 12/15/23 - FSA Insured 12/14 at 100.00 AAA 5,337,944
2,000 5.000%, 12/15/24 - FSA Insured 12/14 at 100.00 AAA 2,081,660
1,000 University of Colorado, Enterprise System Revenue Bonds, 6/15 at 100.00 AAA 1,035,800
Series 2005, 5.000%, 6/01/30 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
45,730 Total Colorado 48,140,047
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.6% (0.4% OF TOTAL INVESTMENTS)
3,140 District of Columbia Housing Finance Agency, GNMA 6/06 at 100.00 AAA 3,145,558
Collateralized Single Family Mortgage Revenue Bonds,
Series 1990C-4, 6.350%, 12/01/24 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 0.8% (0.5% OF TOTAL INVESTMENTS)
4,000 Florida State Board of Education, Full Faith and Credit Public 6/13 at 101.00 AAA 4,161,760
Education Capital Outlay Bonds, Series 2003J, 5.000%, 6/01/22 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 3.8% (2.5% OF TOTAL INVESTMENTS)
4,000 Cobb County Development Authority, Georgia, Parking Revenue 7/14 at 100.00 Aaa 4,159,480
Bonds, Kennesaw State University, Series 2004,
5.000%, 7/15/24 - MBIA Insured
46
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA (continued)
$ 2,925 Columbus, Georgia, Water and Sewerage Revenue Bonds, 5/14 at 100.00 AAA $ 3,043,375
Series 2005, 5.000%, 5/01/23 - MBIA Insured
Municipal Electric Authority of Georgia, Combustion Turbine
Revenue Bonds, Series 2003A:
1,775 5.000%, 11/01/21 - MBIA Insured 11/13 at 100.00 AAA 1,842,468
2,580 5.000%, 11/01/22 - MBIA Insured 11/13 at 100.00 AAA 2,674,712
4,500 South Fulton Municipal Regional Water and Sewerage 1/13 at 100.00 Aaa 4,613,850
Authority, Georgia, Water and Sewerage Revenue Bonds,
Series 2003, 5.000%, 1/01/33 - MBIA Insured
3,000 Valdosta and Lowndes County Hospital Authority, Georgia, 10/12 at 101.00 AAA 3,149,730
Revenue Certificates, South Georgia Medical Center,
Series 2002, 5.200%, 10/01/22 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
18,780 Total Georgia 19,483,615
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 7.9% (5.3% OF TOTAL INVESTMENTS)
2,375 Hawaii County, Hawaii, General Obligation Bonds, 7/13 at 100.00 AAA 2,474,774
Series 2003A, 5.000%, 7/15/19 - FSA Insured
20,000 Hawaii Department of Budget and Finance, Special Purpose 7/10 at 101.00 AAA 21,257,398
Revenue Refunding Bonds, Hawaiian Electric Company Inc.,
Series 2000, 5.700%, 7/01/20 - AMBAC Insured
(Alternative Minimum Tax)
Hawaii Department of Transportation, Airport System Revenue
Refunding Bonds, Series 2000B:
6,105 6.100%, 7/01/16 - FGIC Insured (Alternative Minimum Tax) 7/10 at 101.00 AAA 6,615,378
9,500 6.625%, 7/01/17 - FGIC Insured (Alternative Minimum Tax) 7/10 at 101.00 AAA 10,464,440
------------------------------------------------------------------------------------------------------------------------------------
37,980 Total Hawaii 40,811,990
------------------------------------------------------------------------------------------------------------------------------------
IDAHO - 0.2% (0.1% OF TOTAL INVESTMENTS)
615 Idaho Housing and Finance Association, Single Family 1/08 at 101.50 AAA 619,889
Mortgage Bonds, Series 1998E, 5.450%, 7/01/18 - AMBAC
Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 3.1% (2.1% OF TOTAL INVESTMENTS)
1,015 Chicago Park District, Illinois, Limited Tax General Obligation 7/11 at 100.00 AAA 1,080,346
Park Bonds, Series 2001C, 5.500%, 1/01/18 - FGIC Insured
3,100 Chicago Park District, Illinois, Limited Tax General Obligation 7/11 at 100.00 AAA 3,350,573
Park Bonds, Series 2001C, 5.500%, 1/01/18 (Pre-refunded
7/01/11) - FGIC Insured
Illinois Health Facilities Authority, Revenue Bonds, Lutheran
General Health System, Series 1993A:
3,230 6.125%, 4/01/12 - FSA Insured (ETM) No Opt. Call AAA 3,452,935
5,000 6.250%, 4/01/18 - FSA Insured (ETM) No Opt. Call AAA 5,784,450
1,950 Illinois Health Facilities Authority, Revenue Refunding Bonds, No Opt. Call AAA 2,251,841
SSM Healthcare System, Series 1992AA, 6.550%, 6/01/14 -
MBIA Insured
290 Peoria, Moline and Freeport, Illinois, GNMA Collateralized 10/06 at 104.00 AAA 293,706
Single Family Mortgage Revenue Bonds, Series 1995A,
7.600%, 4/01/27 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
14,585 Total Illinois 16,213,851
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 0.9% (0.6% OF TOTAL INVESTMENTS)
Hamilton County Public Building Corporation, Indiana, First
Mortgage Bonds, Series 2004:
2,105 5.000%, 8/01/23 - FSA Insured 8/14 at 100.00 AAA 2,176,044
2,215 5.000%, 8/01/24 - FSA Insured 8/14 at 100.00 AAA 2,286,677
------------------------------------------------------------------------------------------------------------------------------------
4,320 Total Indiana 4,462,721
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.3% (0.2% OF TOTAL INVESTMENTS)
1,500 Kansas Turnpike Authority, Revenue Bonds, Series 2004A-2, 9/14 at 101.00 AAA 1,563,270
5.000%, 9/01/27 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 1.2% (0.8% OF TOTAL INVESTMENTS)
7,000 Kentucky Economic Development Finance Authority, Health No Opt. Call AAA 2,333,100
System Revenue Bonds, Norton Healthcare Inc., Series 2000B,
0.000%, 10/01/28 - MBIA Insured
3,575 Kentucky Turnpike Authority, Economic Development Road 7/15 at 100.00 AAA 3,722,934
Revenue Bonds, Revitalization Project, Series 2005B,
5.000%, 7/01/25 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
10,575 Total Kentucky 6,056,034
------------------------------------------------------------------------------------------------------------------------------------
47
Nuveen Insured Premium Income Municipal Fund 2 (NPX) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 1.5% (1.0% OF TOTAL INVESTMENTS)
$ 1,640 Louisiana Public Facilities Authority, Revenue Bonds, 7/14 at 100.00 AAA $ 1,728,986
Baton Rouge General Hospital, Series 2004, 5.250%, 7/01/24 -
MBIA Insured
Louisiana, Gasoline and Fuels Tax Revenue Bonds, Series 2005A:
1,200 5.000%, 5/01/25 - FGIC Insured 5/15 at 100.00 AAA 1,237,308
2,210 5.000%, 5/01/26 - FGIC Insured 5/15 at 100.00 AAA 2,275,416
2,500 5.000%, 5/01/27 - FGIC Insured 5/15 at 100.00 AAA 2,579,575
------------------------------------------------------------------------------------------------------------------------------------
7,550 Total Louisiana 7,821,285
------------------------------------------------------------------------------------------------------------------------------------
MARYLAND - 0.4% (0.3% OF TOTAL INVESTMENTS)
1,865 Baltimore, Maryland, Senior Lien Convention Center Hotel 9/16 at 100.00 AAA 1,996,259
Revenue Bonds, Series 2006A, 5.250%, 9/01/26 - XLCA Insured
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 5.7% (3.8% OF TOTAL INVESTMENTS)
3,000 Massachusetts Development Finance Authority, Revenue Bonds, No Opt. Call AAA 3,556,950
WGBH Educational Foundation, Series 2002A,
5.750%, 1/01/42 - AMBAC Insured
2,600 Massachusetts Health and Educational Facilities Authority, 10/13 at 100.00 AAA 2,670,460
Revenue Bonds, Simmons College, Series 2003F,
5.000%, 10/01/33 - FGIC Insured
10,925 Massachusetts School Building Authority, Dedicated Sales 8/15 at 100.00 AAA 11,424,272
Tax Revenue Bonds, Series 2005A, 5.000%, 8/15/22 -
FSA Insured
4,910 Massachusetts, General Obligation Bonds, Consolidated Loan, No Opt. Call AAA 5,415,043
Series 2002C, 5.500%, 11/01/15 - MBIA Insured
Massachusetts, Special Obligation Dedicated Tax Revenue
Bonds, Series 2004:
3,650 5.250%, 1/01/22 (Pre-refunded 1/01/14) - FGIC Insured 1/14 at 100.00 AAA 3,917,582
2,000 5.250%, 1/01/24 (Pre-refunded 1/01/14) - FGIC Insured 1/14 at 100.00 AAA 2,146,620
------------------------------------------------------------------------------------------------------------------------------------
27,085 Total Massachusetts 29,130,927
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 2.0% (1.3% OF TOTAL INVESTMENTS)
10,000 Michigan Housing Development Authority, Rental Housing 4/07 at 102.00 AAA 10,371,600
Revenue Bonds, Series 1997A, 6.000%, 4/01/16 - AMBAC
Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 0.2% (0.1% OF TOTAL INVESTMENTS)
915 Minnesota Housing Finance Agency, Rental Housing Bonds, 8/06 at 101.00 AAA 922,347
Series 1995D, 5.950%, 2/01/18 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 0.4% (0.3% OF TOTAL INVESTMENTS)
975 Hazelwood Industrial Development Authority, Missouri, 9/06 at 102.00 AAA 999,151
GNMA Collateralized Project Multifamily Housing Revenue
Refunding Bonds, Lakes Apartments Project, Series 1996,
6.000%, 9/20/16
535 Missouri Housing Development Commission, Multifamily 12/06 at 102.00 AAA 547,524
Housing Revenue Bonds, Brookstone Village Apartments,
Series 1996A, 6.000%, 12/01/16 - FSA Insured (Alternative
Minimum Tax)
750 Missouri Western State College, Auxiliary System Revenue 10/13 at 100.00 AAA 770,798
Bonds, Series 2003, 5.000%, 10/01/33 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
2,260 Total Missouri 2,317,473
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 0.4% (0.3% OF TOTAL INVESTMENTS)
Nebraska Public Power District, General Revenue Bonds,
Series 2005A:
1,000 5.000%, 1/01/24 - FSA Insured 1/15 at 100.00 AAA 1,040,990
1,000 5.000%, 1/01/25 - FSA Insured 1/15 at 100.00 AAA 1,040,260
------------------------------------------------------------------------------------------------------------------------------------
2,000 Total Nebraska 2,081,250
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 3.2% (2.1% OF TOTAL INVESTMENTS)
5,000 Clark County, Nevada, Industrial Development Revenue Bonds, 7/10 at 102.00 AAA 5,414,600
Southwest Gas Corporation, Series 2000C, 5.950%, 12/01/38 -
AMBAC Insured (Alternative Minimum Tax)
3,280 Clark County, Nevada, Subordinate Lien Airport Revenue Bonds, 7/14 at 100.00 AAA 3,415,989
Series 2004A-2, 5.125%, 7/01/24 - FGIC Insured
48
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEVADA (continued)
Director of Nevada State Department of Business and Industry,
Revenue Bonds, Las Vegas Monorail Project, First Tier, Series 2000:
$ 5,000 0.000%, 1/01/27 - AMBAC Insured No Opt. Call AAA $ 1,788,450
5,500 5.625%, 1/01/32 - AMBAC Insured 1/10 at 102.00 AAA 5,881,755
------------------------------------------------------------------------------------------------------------------------------------
18,780 Total Nevada 16,500,794
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 3.1% (2.1% OF TOTAL INVESTMENTS)
Essex County Improvement Authority, New Jersey, Guaranteed
Revenue Bonds, Project Consolidation, Series 2004:
2,000 5.125%, 10/01/21 - MBIA Insured 10/14 at 100.00 Aaa 2,104,680
2,250 5.125%, 10/01/22 - MBIA Insured 10/14 at 100.00 Aaa 2,366,145
1,560 Mount Olive Township Board of Education, Morris County, 1/15 at 100.00 Aaa 1,625,317
New Jersey, General Obligation Bonds, Series 2004,
5.000%, 1/15/22 - MBIA Insured
New Jersey Economic Development Authority, Revenue Bonds,
Motor Vehicle Surcharge, Series 2004A:
1,475 5.000%, 7/01/22 - MBIA Insured 7/14 at 100.00 AAA 1,531,537
1,475 5.000%, 7/01/23 - MBIA Insured 7/14 at 100.00 AAA 1,529,487
3,075 New Jersey Transit Corporation, Certificates of Participation No Opt. Call AAA 3,369,585
Refunding, Series 2003, 5.500%, 10/01/15 - FSA Insured
3,315 New Jersey Turnpike Authority, Revenue Bonds, Series 2005A, 1/15 at 100.00 AAA 3,448,462
5.000%, 1/01/25 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
15,150 Total New Jersey 15,975,213
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.9% (0.6% OF TOTAL INVESTMENTS)
New Mexico Finance Authority, Public Project Revolving Fund
Revenue Bonds, Series 2004C:
1,415 5.000%, 6/01/22 - AMBAC Insured 6/14 at 100.00 AAA 1,473,680
1,050 5.000%, 6/01/24 - AMBAC Insured 6/14 at 100.00 AAA 1,090,646
2,000 New Mexico Finance Authority, Public Project Revolving Fund 6/15 at 100.00 Aaa 2,077,880
Revenue Bonds, Series 2005E, 5.000%, 6/15/25 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
4,465 Total New Mexico 4,642,206
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 12.9% (8.6% OF TOTAL INVESTMENTS)
1,120 Dormitory Authority of the State of New York, FHA-Insured 2/15 at 100.00 AAA 1,163,792
Mortgage Revenue Bonds, Montefiore Hospital, Series 2004,
5.000%, 8/01/23 - FGIC Insured
Dormitory Authority of the State of New York, Insured Revenue
Bonds, New Island Hospital, Series 1999B:
3,400 5.750%, 7/01/19 - MBIA Insured 7/09 at 101.00 AAA 3,615,492
5,750 6.000%, 7/01/24 - MBIA Insured 7/09 at 101.00 AAA 6,170,325
1,785 Dormitory Authority of the State of New York, Revenue Bonds, 2/15 at 100.00 AAA 1,852,419
Mental Health Services Facilities Improvements, Series 2005A,
5.000%, 2/15/24 - AMBAC Insured
1,230 Dormitory Authority of the State of New York, Revenue Bonds, 2/15 at 100.00 AAA 1,276,457
Mental Health Services Facilities Improvements, Series 2005D,
5.000%, 8/15/24 - FGIC Insured
1,000 Dormitory Authority of the State of New York, State Personal 3/15 at 100.00 AAA 1,041,050
Income Tax Revenue Bonds, Series 2005F, 5.000%, 3/15/24 -
AMBAC Insured
5,000 Long Island Power Authority, New York, Electric System General 6/16 at 100.00 AAA 5,211,100
Revenue Bonds, Series 2006A, 5.000%, 12/01/25 - FGIC Insured
1,755 Nassau County, New York, General Obligation Improvement 3/10 at 100.00 AAA 1,901,156
Bonds, Series 2000E, 6.000%, 3/01/16 (Pre-refunded 3/01/10) -
FSA Insured
7,500 Nassau Health Care Corporation, New York, County Guaranteed 8/09 at 102.00 AAA 8,111,400
Revenue Bonds, Series 1999, 5.750%, 8/01/29 (Pre-refunded
8/01/09) - FSA Insured
1,250 New York City Municipal Water Finance Authority, New York, 6/15 at 100.00 AAA 1,301,538
Water and Sewerage System Revenue Bonds, Fiscal
Series 2005C, 5.000%, 6/15/25 - MBIA Insured
New York City Sales Tax Asset Receivable Corporation, New York,
Dedicated Revenue Bonds, Local Government Assistance
Corporation, Series 2004A:
3,225 5.000%, 10/15/24 - MBIA Insured 10/14 at 100.00 AAA 3,363,933
1,665 5.000%, 10/15/25 - MBIA Insured 10/14 at 100.00 AAA 1,736,728
49
Nuveen Insured Premium Income Municipal Fund 2 (NPX) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (continued)
$ 5,000 New York City, New York, General Obligation Bonds, Fiscal 11/14 at 100.00 AAA $ 5,209,200
Series 2004E, 5.000%, 11/01/21 - FSA Insured
8,880 New York State Housing Finance Agency, Mortgage Revenue 5/06 at 102.00 AAA 9,074,561
Refunding Bonds, Housing Project, Series 1996A,
6.125%, 11/01/20 - FSA Insured
New York State Thruway Authority, General Revenue Bonds, Series 2005G:
3,770 5.000%, 1/01/25 - FSA Insured 7/15 at 100.00 AAA 3,926,003
5,980 5.000%, 1/01/26 - FSA Insured 7/15 at 100.00 AAA 6,222,908
5,000 New York State Thruway Authority, Highway and Bridge Trust 10/15 at 100.00 AAA 5,243,000
Fund Bonds, Second Generation, Series 2005B,
5.000%, 4/01/21 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
63,310 Total New York 66,421,062
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.8% (1.2% OF TOTAL INVESTMENTS)
1,250 Appalachian State University, North Carolina, Revenue Bonds, 7/15 at 100.00 Aaa 1,295,200
Series 2005, 5.000%, 7/15/30 - MBIA Insured
Mooresville, North Carolina, Enterprise System Revenue Bonds,
Series 2004:
2,225 5.000%, 5/01/23 - FGIC Insured 5/14 at 100.00 AAA 2,313,510
2,335 5.000%, 5/01/24 - FGIC Insured 5/14 at 100.00 AAA 2,426,299
2,900 Raleigh Durham Airport Authority, North Carolina, Airport 5/15 at 100.00 Aaa 3,024,961
Revenue Bonds, Series 2005A, 5.000%, 5/01/21 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
8,710 Total North Carolina 9,059,970
------------------------------------------------------------------------------------------------------------------------------------
NORTH DAKOTA - 3.8% (2.5% OF TOTAL INVESTMENTS)
10,715 Fargo, North Dakota, Health System Revenue Bonds, MeritCare 6/10 at 101.00 AAA 11,376,758
Obligated Group, Series 2000A, 5.600%, 6/01/21 - FSA Insured
8,000 North Dakota, Student Loan Trust Revenue Bonds, 12/10 at 100.00 AAA 8,309,360
Series 2000B, 5.850%, 12/01/25 - AMBAC Insured (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
18,715 Total North Dakota 19,686,118
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 0.5% (0.4% OF TOTAL INVESTMENTS)
1,930 Marysville Exempted Village School District, Ohio, Certificates 6/15 at 100.00 AAA 2,086,465
of Participation, School Facilities Project, Series 2005,
5.250%, 12/01/22 (Pre-refunded 6/01/15) - MBIA Insured
700 Shaker Heights, Ohio, General Obligation Bonds, Series 2003, 12/13 at 100.00 AAA 738,577
5.250%, 12/01/26 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
2,630 Total Ohio 2,825,042
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.4% (0.9% OF TOTAL INVESTMENTS)
1,500 Oklahoma Capitol Improvement Authority, State Facilities 7/15 at 100.00 AAA 1,563,225
Revenue Bonds, Series 2005F, 5.000%, 7/01/24 - AMBAC Insured
Oklahoma City Airport Trust, Oklahoma, Junior Lien Tax Exempt
Bonds, Twenty Seventh Series 2000A:
1,320 5.125%, 7/01/20 - FSA Insured 7/10 at 100.00 AAA 1,353,370
4,040 5.250%, 7/01/21 - FSA Insured 7/10 at 100.00 AAA 4,206,933
------------------------------------------------------------------------------------------------------------------------------------
6,860 Total Oklahoma 7,123,528
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 3.6% (2.4% OF TOTAL INVESTMENTS)
2,110 Oregon Department of Administrative Services, Certificates 5/15 at 100.00 AAA 2,170,874
of Participation, Series 2005A, 5.000%, 5/01/30 - FSA Insured
1,520 Portland Housing Authority, Oregon, Multifamily Housing 7/10 at 100.00 Aaa 1,567,561
Revenue Bonds, Lovejoy Station Apartments, Series 2000,
6.000%, 7/01/33 - MBIA Insured (Alternative Minimum Tax)
Portland, Oregon, Airport Way Urban Renewal and Redevelopment
Bonds, Series 2000A:
4,405 5.700%, 6/15/17 (Pre-refunded 6/15/10) - AMBAC Insured 6/10 at 101.00 Aaa 4,769,646
3,665 5.750%, 6/15/18 (Pre-refunded 6/15/10) - AMBAC Insured 6/10 at 101.00 Aaa 3,975,352
4,265 5.750%, 6/15/19 (Pre-refunded 6/15/10) - AMBAC Insured 6/10 at 101.00 Aaa 4,626,160
1,375 5.750%, 6/15/20 (Pre-refunded 6/15/10) - AMBAC Insured 6/10 at 101.00 Aaa 1,491,435
------------------------------------------------------------------------------------------------------------------------------------
17,340 Total Oregon 18,601,028
------------------------------------------------------------------------------------------------------------------------------------
50
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 13.0% (8.7% OF TOTAL INVESTMENTS)
$ 12,620 Allegheny County Hospital Development Authority, 11/10 at 102.00 AAA $ 14,066,630
Pennsylvania, Insured Revenue Bonds, West Penn Allegheny
Health System, Series 2000A, 6.500%, 11/15/30 -
MBIA Insured
2,000 Allegheny County Sanitary Authority, Pennsylvania, Sewerage 12/15 at 100.00 AAA 2,082,660
Revenue Bonds, Series 2005A, 5.000%, 12/01/23 -
MBIA Insured
9,485 Berks County Municipal Authority, Pennsylvania, Hospital 11/09 at 102.00 AAA 10,347,566
Revenue Bonds, Reading Hospital and Medical Center,
Series 1999, 6.000%, 11/01/19 (Pre-refunded 11/01/09) -
FSA Insured
725 Central Dauphin School District, Dauphin County, Pennsylvania, 2/16 at 100.00 AAA 874,611
General Obligation Bonds, Series 2006, 6.750%, 2/01/24
(WI/DD, Settling 5/15/06) - MBIA Insured
5,780 Pennsylvania Higher Educational Facilities Authority, Revenue 5/15 at 100.00 AAA 5,981,260
Bonds, Drexel University, Series 2005A, 5.000%, 5/01/28 -
MBIA Insured
Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General
Ordinance, Fifth Series 2004A-1:
5,235 5.000%, 9/01/24 - FSA Insured 9/14 at 100.00 AAA 5,394,877
3,000 5.000%, 9/01/25 - FSA Insured 9/14 at 100.00 AAA 3,087,420
2,360 Philadelphia, Pennsylvania, Water and Wastewater Revenue 8/07 at 102.00 AAA 2,405,005
Bonds, Series 1997A, 5.125%, 8/01/27 - AMBAC Insured (ETM)
10,370 Philadelphia, Pennsylvania, Water and Wastewater Revenue 8/07 at 102.00 AAA 10,671,352
Bonds, Series 1997A, 5.125%, 8/01/27 - AMBAC Insured
3,785 Reading School District, Berks County, Pennsylvania, General 1/16 at 100.00 AAA 3,945,976
Obligation Bonds, Series 2005, 5.000%, 1/15/25 - FSA Insured
2,500 Seneca Valley School District, Butler County, Pennsylvania, 7/14 at 100.00 Aaa 2,626,150
General Obligation Bonds, Series2004, 5.125%, 1/01/23 -
FGIC Insured
1,705 Solebury Township, Pennsylvania, General Obligation Bonds, 6/15 at 100.00 Aaa 1,774,001
Series 2005, 5.000%, 12/15/25 - AMBAC Insured
3,650 State Public School Building Authority, Pennsylvania, Lease 6/13 at 100.00 AAA 3,745,119
Revenue Bonds, Philadelphia School District, Series 2003,
5.000%, 6/01/29 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
63,215 Total Pennsylvania 67,002,627
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.5% (0.3% OF TOTAL INVESTMENTS)
2,500 Puerto Rico Electric Power Authority, Power Revenue Bonds, 7/15 at 100.00 AAA 2,628,475
Series 2005RR, 5.000%, 7/01/22 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 1.0% (0.7% OF TOTAL INVESTMENTS)
5,000 South Carolina Public Service Authority, Revenue Bonds, 1/14 at 100.00 AAA 5,204,900
Santee Cooper Electric System, Series 2004A,
5.000%, 1/01/20 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 14.9% (10.0% OF TOTAL INVESTMENTS)
Brazos River Authority, Texas, Revenue Refunding Bonds,
Houston Industries Inc., Series 1998C:
10,000 5.125%, 5/01/19 - AMBAC Insured 5/08 at 102.00 AAA 10,352,100
9,000 5.125%, 11/01/20 - AMBAC Insured 11/08 at 102.00 AAA 9,293,490
Corpus Christi, Texas, Utility System Revenue Bonds,
Series 2004:
3,475 5.000%, 7/15/22 - FSA Insured 7/14 at 100.00 AAA 3,596,590
3,645 5.000%, 7/15/23 - FSA Insured 7/14 at 100.00 AAA 3,764,957
12,500 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/09 at 100.00 AAA 13,014,625
Refunding and Improvement Bonds, Series 2001A,
5.500%, 11/01/35 - FGIC Insured (Alternative Minimum Tax)
4,485 Lower Colorado River Authority, Texas, Contract Revenue 5/12 at 100.00 AAA 4,636,055
Refunding Bonds, Transmission Services Corporation,
Series 2003B, 5.000%, 5/15/21 - FSA Insured
10,000 Lower Colorado River Authority, Texas, Contract Revenue 5/13 at 100.00 AAA 10,199,000
Refunding Bonds, Transmission Services Corporation,
Series 2003C, 5.000%, 5/15/33 - AMBAC Insured
4,151 Panhandle Regional Housing Finance Corporation, Texas, 7/12 at 105.00 Aaa 4,469,257
GNMA Collateralized Multifamily Housing Mortgage Revenue
Bonds, Renaissance of Amarillo Apartments, Series 2001A,
6.650%, 7/20/42
Tarrant County Health Facilities Development Corporation, Texas,
Hospital Revenue Bonds, Cook Children's Healthcare System,
Series 2000A:
6,725 5.750%, 12/01/17 - FSA Insured 12/10 at 101.00 AAA 7,233,948
7,500 5.750%, 12/01/24 - FSA Insured 12/10 at 101.00 AAA 8,072,475
51
Nuveen Insured Premium Income Municipal Fund 2 (NPX) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 2,300 Texas State University System, Financing Revenue Refunding 3/12 at 100.00 AAA $ 2,384,571
Bonds, Series 2002, 5.000%, 3/15/18 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
73,781 Total Texas 77,017,068
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 3.3% (2.2% OF TOTAL INVESTMENTS)
8,600 Intermountain Power Agency, Utah, Power Supply Revenue 7/13 at 100.00 AAA 8,986,656
Refunding Bonds, Series 2003A, 5.000%, 7/01/18 - FSA Insured
2,385 Mountain Regional Water Special Service District, Utah, 12/13 at 100.00 AAA 2,446,461
Water Revenue Bonds, Series 2003, 5.000%, 12/15/33 -
MBIA Insured
5,525 Utah Transit Authority, Sales Tax Revenue Bonds, Series 2002A, 12/12 at 100.00 AAA 5,711,303
5.000%, 6/15/24 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
16,510 Total Utah 17,144,420
------------------------------------------------------------------------------------------------------------------------------------
VERMONT - 0.3% (0.1% OF TOTAL INVESTMENTS)
1,320 Vermont Educational and Health Buildings Financing Agency, 12/10 at 101.00 AAA 1,435,012
Revenue Bonds, Fletcher Allen Health Care Inc., Series 2000A,
6.000%, 12/01/23 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 3.0% (2.0% OF TOTAL INVESTMENTS)
Greater Richmond Convention Center Authority, Virginia, Hotel
Tax Revenue Bonds, Series 2005:
5,880 5.000%, 6/15/20 - MBIA Insured 6/15 at 100.00 AAA 6,135,898
5,000 5.000%, 6/15/22 - MBIA Insured 6/15 at 100.00 AAA 5,206,150
Loudoun County Industrial Development Authority, Virginia, Lease
Revenue Bonds, Public Safety Facilities, Series 2003A:
1,150 5.250%, 12/15/22 - FSA Insured 6/14 at 100.00 AAA 1,226,268
500 5.250%, 12/15/23 - FSA Insured 6/14 at 100.00 AAA 532,450
2,250 Virginia Housing Development Authority, Multifamily Housing 1/08 at 102.00 AAA 2,324,655
Bonds, Series 1997B, 6.050%, 5/01/17 - MBIA Insured
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
14,780 Total Virginia 15,425,421
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 6.9% (4.6% OF TOTAL INVESTMENTS)
10,000 Chelan County Public Utility District 1, Washington, Hydro 7/11 at 101.00 AAA 10,615,800
Consolidated System Revenue Bonds, Series 2001B,
5.600%, 1/01/36 - MBIA Insured (Alternative Minimum Tax)
1,370 Clark County School District 101, La Center, Washington, 12/12 at 100.00 Aaa 1,418,525
General Obligation Bonds, Series 2002, 5.000%, 12/01/22 -
FSA Insured
5,230 Douglas County Public Utility District 1, Washington, Revenue 9/09 at 102.00 AAA 5,651,172
Bonds, Wells Hydroelectric, Series 1999A, 6.125%, 9/01/29 -
MBIA Insured (Alternative Minimum Tax)
1,545 Tacoma, Washington, General Obligation Bonds, Series 2004, 12/14 at 100.00 AAA 1,610,106
5.000%, 12/01/19 - MBIA Insured
3,950 Washington State Healthcare Facilities Authority, Revenue 11/08 at 101.00 Aaa 4,074,464
Bonds, Swedish Health Services, Series 1998,
5.125%, 11/15/22 - AMBAC Insured
10,855 Washington, General Obligation Bonds, Series 2000S-5, No Opt. Call AAA 5,659,363
0.000%, 1/01/20 - FGIC Insured
6,200 Washington, General Obligation Various Purpose Bonds, 7/12 at 100.00 AAA 6,417,496
Series 2003A, 5.000%, 7/01/20 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
39,150 Total Washington 35,446,926
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.6% (1.0% OF TOTAL INVESTMENTS)
8,000 Pleasants County, West Virginia, Pollution Control Revenue 5/06 at 101.00 AAA 8,070,720
Bonds, Monongahela Power Company Pleasants Station
Project, Series 1995C, 6.150%, 5/01/15 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 6.4% (4.3% OF TOTAL INVESTMENTS)
7,000 La Crosse, Wisconsin, Resource Recovery Revenue Refunding No Opt. Call AAA 8,073,800
Bonds, Northern States Power Company Project, Series 1996,
6.000%, 11/01/21 - MBIA Insured (Alternative Minimum Tax)
12,750 Milwaukee County, Wisconsin, Airport Revenue Bonds, 12/10 at 100.00 Aaa 13,493,835
Series 2000A, 5.750%, 12/01/25 - FGIC Insured (Alternative
Minimum Tax)
5,000 Wisconsin Health and Educational Facilities Authority, Revenue 8/06 at 101.00 AAA 5,108,700
Bonds, Mercy Health System Corporation, Series 1995,
6.125%, 8/15/13 - AMBAC Insured
52
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN (continued)
$ 6,250 Wisconsin Health and Educational Facilities Authority, 8/06 at 102.00 AAA $ 6,408,625
Revenue Bonds, Sinai Samaritan Medical Center Inc.,
Series 1996, 5.750%, 8/15/16 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
31,000 Total Wisconsin 33,084,960
------------------------------------------------------------------------------------------------------------------------------------
$ 774,671 Total Investments (cost $750,969,130) - 150.2% 773,963,705
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.0% 10,147,058
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (52.2)% (268,900,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 515,210,763
====================================================================================================================
All of the bonds in the Portfolio of Investments are
either covered by Original Issue Insurance, Secondary
Market Insurance or Portfolio Insurance, or are backed
by an escrow or trust containing sufficient U.S.
Government or U.S. Government agency securities, any of
which ensure the timely payment of principal and
interest.
(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 BBB by Standard & Poor's
Group or Baa by Moody's Investor Service, Inc. are
considered to be below investment grade.
WI/DD Purchased on a when-issued or delayed delivery basis.
(ETM) Escrowed to maturity.
See accompanying notes to financial statements.
53
Nuveen Insured Dividend Advantage Municipal Fund (NVG)
Portfolio of
INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 4.3% (2.8% OF TOTAL INVESTMENTS)
$ 5,310 Athens, Alabama, Water and Sewerage Revenue Warrants, 5/12 at 101.00 AAA $ 5,594,881
Series 2002, 5.300%, 5/01/32 - MBIA Insured
3,045 Hoover, Alabama, General Obligation Bonds, Series 2003, 3/12 at 101.00 AAA 3,161,776
5.000%, 3/01/20 - MBIA Insured
10,000 Jefferson County, Alabama, Sewer Revenue Capital Improvement 2/09 at 101.00 AAA 10,521,900
Warrants, Series 1999A, 5.375%, 2/01/36 (Pre-refunded
2/01/09) - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
18,355 Total Alabama 19,278,557
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 3.6% (2.4% OF TOTAL INVESTMENTS)
15,000 Alaska, International Airport System Revenue Bonds, 10/12 at 100.00 AAA 16,162,650
Series 2002B, 5.250%, 10/01/27 (Pre-refunded 10/01/12) -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 1.1% (0.8% OF TOTAL INVESTMENTS)
5,000 Phoenix, Arizona, Civic Improvement Corporation, Senior Lien 7/12 at 100.00 AAA 5,144,200
Airport Revenue Bonds, Series 2002B, 5.250%, 7/01/32 -
FGIC Insured (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 11.7% (7.8% OF TOTAL INVESTMENTS)
California Educational Facilities Authority, Revenue Bonds,
Occidental College, Series 2005A:
1,485 5.000%, 10/01/26 - MBIA Insured 10/15 at 100.00 Aaa 1,547,845
1,565 5.000%, 10/01/27 - MBIA Insured 10/15 at 100.00 Aaa 1,626,348
190 California, General Obligation Bonds, Series 2000, 9/10 at 100.00 AAA 199,850
5.250%, 9/01/17 - MBIA Insured
California, General Obligation Bonds, Series 2000:
375 5.250%, 9/01/17 (Pre-refunded 9/01/10) - MBIA Insured 9/10 at 100.00 AAA 398,329
2,635 5.250%, 9/01/17 (Pre-refunded 9/01/10) - MBIA Insured 9/10 at 100.00 AAA 2,789,174
10,000 California, General Obligation Refunding Bonds, Series 2002, No Opt. Call AAA 10,319,600
5.000%, 2/01/23 - MBIA Insured
8,890 California, General Obligation Veterans Welfare Bonds, 12/08 at 101.00 AA- 9,132,964
Series 1997BH, 5.400%, 12/01/14 (Alternative Minimum Tax)
3,000 California, General Obligation Veterans Welfare Bonds, 6/07 at 101.00 AAA 3,075,360
Series 2001BZ, 5.375%, 12/01/24 - MBIA Insured (Alternative
Minimum Tax)
2,425 Fullerton Public Financing Authority, California, Tax Allocation 9/15 at 100.00 AAA 2,504,346
Revenue Bonds, Series 2005, 5.000%, 9/01/27 -
AMBAC Insured
625 Los Angeles Department of Water and Power, California, 7/16 at 100.00 AAA 648,956
Waterworks Revenue Bonds, Series 2006A-1, 5.000%, 7/01/36 -
AMBAC Insured
1,800 Los Angeles Unified School District, California, General 7/16 at 100.00 AAA 1,880,946
Obligation Bonds, Series 2006F, 5.000%, 7/01/25 -
FGIC Insured
7,935 Los Angeles, California, Certificates of Participation, 4/12 at 100.00 AAA 8,291,043
Series 2002, 5.300%, 4/01/32 - AMBAC Insured
7,500 Northern California Power Agency, Revenue Refunding Bonds, 7/08 at 101.00 AAA 7,753,125
Hydroelectric Project 1, Series 1998A, 5.200%, 7/01/32 -
MBIA Insured
2,320 Sacramento Municipal Utility District, California, Electric 8/11 at 100.00 AAA 2,459,896
Revenue Bonds, Series 2001P, 5.250%, 8/15/18 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
50,745 Total California 52,627,782
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 4.5% (3.0% OF TOTAL INVESTMENTS)
17,300 Adams County, Colorado, FHA-Insured Mortgage Revenue 8/15 at 100.00 AAA 17,908,095
Bonds, Platte Valley Medical Center, Series 2005,
5.000%, 8/01/24 - MBIA Insured
750 Arkansas River Power Authority, Colorado, Power Revenue 10/16 at 100.00 AAA 797,333
Bonds, Series 2006, 5.250%, 10/01/32 - XLCA Insured
54
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
$ 1,625 Superior Metropolitan District 1, Colorado, Special Revenue 12/15 at 100.00 AAA $ 1,679,340
Bonds, Series 2006, 5.000%, 12/01/28 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
19,675 Total Colorado 20,384,768
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 13.1% (8.7% OF TOTAL INVESTMENTS)
Florida Municipal Loan Council, Revenue Bonds, Series 2003B:
2,305 5.250%, 12/01/17 - MBIA Insured 12/13 at 100.00 AAA 2,452,843
1,480 5.250%, 12/01/18 - MBIA Insured 12/13 at 100.00 AAA 1,573,536
11,600 Greater Orlando Aviation Authority, Florida, Airport Facilities 10/12 at 100.00 AAA 11,931,180
Revenue Bonds, Series 2002B, 5.125%, 10/01/21 -
FSA Insured (Alternative Minimum Tax)
6,000 JEA, Florida, Water and Sewerage System Revenue Bonds, 4/07 at 100.00 AAA 6,084,840
Series 2002A, 5.500%, 10/01/41 - MBIA Insured
8,155 Lee County, Florida, Solid Waste System Revenue Refunding 10/11 at 100.00 Aaa 8,699,020
Bonds, Series 2001, 5.625%, 10/01/13 - MBIA Insured
(Alternative Minimum Tax)
Miami-Dade County, Florida, Aviation Revenue Bonds, Miami
International Airport, Series 2002:
7,165 5.625%, 10/01/15 - FGIC Insured (Alternative Minimum Tax) 10/12 at 100.00 AAA 7,709,397
5,600 5.750%, 10/01/16 - FGIC Insured (Alternative Minimum Tax) 10/12 at 100.00 AAA 6,036,744
10,000 5.125%, 10/01/21 - FGIC Insured (Alternative Minimum Tax) 10/12 at 100.00 AAA 10,319,100
2,000 5.250%, 10/01/22 - FGIC Insured (Alternative Minimum Tax) 10/12 at 100.00 AAA 2,083,380
1,000 Orange County, Florida, Sales Tax Revenue Bonds, Series 2002B, 1/13 at 100.00 AAA 1,031,810
5.000%, 1/01/25 - FGIC Insured
1,000 Tallahassee, Florida, Energy System Revenue Bonds, Series 2005, 10/15 at 100.00 AAA 1,034,530
5.000%, 10/01/28 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
56,305 Total Florida 58,956,380
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 2.2% (1.5% OF TOTAL INVESTMENTS)
6,925 Atlanta and Fulton County Recreation Authority, Georgia, 12/15 at 100.00 AAA 7,167,444
Guaranteed Revenue Bonds, Park Improvement, Series 2005A,
5.000%, 12/01/30 - MBIA Insured
1,000 Atlanta, Georgia, Water and Wastewater Revenue Bonds, 11/14 at 100.00 AAA 1,040,400
Series 2004, 5.000%, 11/01/22 - FSA Insured
1,695 Georgia Housing and Finance Authority, Single Family Mortgage 12/11 at 100.00 AAA 1,737,053
Bonds, Series 2002B-2, 5.500%, 6/01/32 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
9,620 Total Georgia 9,944,897
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 14.9% (10.0% OF TOTAL INVESTMENTS)
10,000 Bolingbrook, Illinois, General Obligation Bonds, Series 2002A, 1/12 at 100.00 AAA 10,571,700
5.375%, 1/01/38 - FGIC Insured
1,305 Chicago, Illinois, General Obligation Bonds, Series 2001A, 1/11 at 101.00 AAA 1,390,256
5.500%, 1/01/38 - MBIA Insured
Chicago, Illinois, General Obligation Bonds, Series 2001A:
50 5.500%, 1/01/38 (Pre-refunded 1/01/11) - MBIA Insured 1/11 at 101.00 AAA 54,127
3,645 5.500%, 1/01/38 (Pre-refunded 1/01/11) - MBIA Insured 1/11 at 101.00 AAA 3,945,822
12,765 Chicago, Illinois, Revenue Bonds, Skyway Toll Bridge, 1/07 at 102.00 AAA 13,171,693
Series 1996, 5.500%, 1/01/23 (Pre-refunded 1/01/07) -
MBIA Insured
Chicago, Illinois, Second Lien Passenger Facility Charge Revenue
Bonds, O'Hare International Airport, Series 2001C:
4,250 5.500%, 1/01/16 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 4,482,560
4,485 5.500%, 1/01/17 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 4,730,419
4,730 5.500%, 1/01/18 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 4,988,826
2,930 5.500%, 1/01/19 - AMBAC Insured (Alternative Minimum Tax) 1/11 at 101.00 AAA 3,078,844
3,600 Chicago, Illinois, Third Lien General Airport Revenue Bonds, 1/16 at 100.00 AAA 3,828,564
O'Hare International Airport, Series 2005A, 5.250%, 1/01/24 -
MBIA Insured
3,000 Chicago, Illinois, Third Lien General Airport Revenue Refunding 1/12 at 100.00 AAA 3,209,790
Bonds, O'Hare International Airport, Series 2002A,
5.750%, 1/01/17 - MBIA Insured (Alternative Minimum Tax)
4,000 Cicero, Cook County, Illinois, General Obligation Corporate 12/12 at 101.00 AAA 4,158,560
Purpose Bonds, Series 2002, 5.000%, 12/01/21 - MBIA Insured
730 DuPage County Community School District 200, Wheaton, 10/13 at 100.00 Aaa 774,705
Illinois, General Obligation Bonds, Series 2003C,
5.250%, 10/01/22 - FSA Insured
55
Nuveen Insured Dividend Advantage Municipal Fund (NVG) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 770 DuPage County Community School District 200, Wheaton, 10/13 at 100.00 Aaa $ 833,078
Illinois, General Obligation Bonds, Series 2003C,
5.250%, 10/01/22 (Pre-refunded 10/01/13) - FSA Insured
5,000 Illinois, General Obligation Bonds, Illinois FIRST Program, 4/12 at 100.00 AAA 5,276,700
Series 2002, 5.250%, 4/01/23 - FSA Insured
2,700 University of Illinois, Certificates of Participation, Utility 8/11 at 100.00 AAA 2,857,302
Infrastructure Projects, Series 2001A, 5.000%, 8/15/20
(Pre-refunded 8/15/11) - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
63,960 Total Illinois 67,352,946
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 17.2% (11.5% OF TOTAL INVESTMENTS)
3,380 Evansville, Indiana, Sewerage Works Revenue Refunding Bonds, 7/13 at 100.00 AAA 3,510,806
Series 2003A, 5.000%, 7/01/20 - AMBAC Insured
Indiana Bond Bank, Special Program Bonds, Hendricks County
Redevelopment District, Series 2002D:
2,500 5.375%, 4/01/23 - AMBAC Insured 4/12 at 100.00 AAA 2,642,525
7,075 5.250%, 4/01/26 - AMBAC Insured 4/12 at 100.00 AAA 7,446,862
7,000 5.250%, 4/01/30 - AMBAC Insured 4/12 at 100.00 AAA 7,367,920
10,000 Indiana Health Facility Financing Authority, Hospital Revenue 7/12 at 100.00 AAA 10,339,900
Bonds, Marion General Hospital, Series 2002, 5.250%, 7/01/32 -
AMBAC Insured
25,000 Indianapolis Local Public Improvement Bond Bank, Indiana, 7/12 at 100.00 AAA 26,856,246
Waterworks Project, Series 2002A, 5.250%, 7/01/33
(Pre-refunded 7/01/12) - MBIA Insured
New Albany-Floyd County School Building Corporation, Indiana,
First Mortgage Bonds, Series 2002:
2,500 5.750%, 7/15/17 (Pre-refunded 7/15/12) - FGIC Insured 7/12 at 100.00 AAA 2,754,750
3,810 5.750%, 7/15/20 (Pre-refunded 7/15/12) - FGIC Insured 7/12 at 100.00 AAA 4,198,239
Northern Wells Community School Building Corporation, Wells
County, Indiana, First Mortgage Bonds, Series 2001:
420 5.250%, 1/15/19 - FGIC Insured 7/12 at 100.00 AAA 440,429
430 5.250%, 7/15/19 - FGIC Insured 7/12 at 100.00 AAA 451,491
1,675 5.400%, 7/15/23 - FGIC Insured 7/12 at 100.00 AAA 1,776,572
6,960 Valparaiso Middle School Building Corporation, Indiana, 1/13 at 100.00 AAA 7,175,551
First Mortgage Refunding Bonds, Series 2002, 5.000%, 7/15/24 -
MBIA Insured
2,490 Whitley County Middle School Building Corporation, Columbia 7/13 at 100.00 AAA 2,599,311
City, Indiana, First Mortgage Bonds, Series 2003,
5.000%, 1/15/18 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
73,240 Total Indiana 77,560,602
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 0.7% (0.5% OF TOTAL INVESTMENTS)
3,085 New Orleans, Louisiana, General Obligation Refunding Bonds, 9/12 at 100.00 AAA 3,181,067
Series 2002, 5.125%, 9/01/21 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 1.8% (1.2% OF TOTAL INVESTMENTS)
2,630 Massachusetts College Building Authority, Project Revenue 5/16 at 100.00 AAA 2,723,207
Bonds, Series 2006A, 5.000%, 5/01/31 - AMBAC Insured
5,000 Massachusetts, General Obligation Bonds, Consolidated Loan, 8/14 at 100.00 AAA 5,287,850
Series 2004B, 5.000%, 8/01/22 (Pre-refunded 8/01/14) -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
7,630 Total Massachusetts 8,011,057
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 2.4% (1.6% OF TOTAL INVESTMENTS)
1,600 St. Louis County Pattonville School District R3, Missouri, 3/14 at 100.00 AAA 1,705,664
General Obligation Bonds, Series 2004, 5.250%, 3/01/19 -
FSA Insured
8,735 St. Louis, Missouri, Airport Revenue Bonds, Airport Development 7/11 at 100.00 AAA 9,339,287
Program, Series 2001A, 5.250%, 7/01/31 (Pre-refunded
7/01/11) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
10,335 Total Missouri 11,044,951
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.9% (1.3% OF TOTAL INVESTMENTS)
6,360 Lincoln, Nebraska, Electric System Revenue Bonds, 9/15 at 100.00 AA 6,548,574
Series 2005, 5.000%, 9/01/32
56
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA (continued)
Municipal Energy Agency of Nebraska, Power Supply System
Revenue Bonds, Series 2003A:
$ 1,000 5.250%, 4/01/20 - FSA Insured 4/13 at 100.00 AAA $ 1,058,310
1,000 5.250%, 4/01/21 - FSA Insured 4/13 at 100.00 AAA 1,059,290
------------------------------------------------------------------------------------------------------------------------------------
8,360 Total Nebraska 8,666,174
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 4.3% (2.9% OF TOTAL INVESTMENTS)
9,810 Clark County School District, Nevada, General Obligation Bonds, 6/12 at 100.00 AAA 10,402,230
Series 2002C, 5.000%, 6/15/21 (Pre-refunded 6/15/12) -
MBIA Insured
8,750 Truckee Meadows Water Authority, Nevada, Water Revenue 7/11 at 100.00 AAA 9,140,512
Bonds, Series 2001A, 5.250%, 7/01/34 (Pre-refunded
7/01/11) - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
18,560 Total Nevada 19,542,742
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 3.7% (2.5% OF TOTAL INVESTMENTS)
1,120 Dormitory Authority of the State of New York, FHA-Insured 2/15 at 100.00 AAA 1,163,792
Mortgage Revenue Bonds, Montefiore Hospital, Series 2004,
5.000%, 8/01/23 - FGIC Insured
3,660 Dormitory Authority of the State of New York, Revenue Bonds, 2/15 at 100.00 AAA 3,809,035
Mental Health Services Facilities Improvements, Series 2005B,
5.000%, 2/15/23 - AMBAC Insured
1,500 Metropolitan Transportation Authority, New York, Transportation 11/15 at 100.00 AAA 1,554,705
Revenue Bonds, Series 2005B, 5.000%, 11/15/30 -
AMBAC Insured
10,000 Metropolitan Transportation Authority, New York, Transportation 11/12 at 100.00 AAA 10,253,800
Revenue Refunding Bonds, Series 2002A, 5.000%, 11/15/30 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
16,280 Total New York 16,781,332
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 0.6% (0.3% OF TOTAL INVESTMENTS)
2,435 North Carolina Medical Care Commission, FHA-Insured 10/13 at 100.00 AAA 2,596,928
Mortgage Revenue Bonds, Betsy Johnson Regional Hospital
Project, Series 2003, 5.375%, 10/01/24 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 1.8% (1.2% OF TOTAL INVESTMENTS)
Oregon, General Obligation Veterans Welfare Bonds, Series 82:
5,560 5.375%, 12/01/31 12/11 at 100.00 AA- 5,668,476
2,590 5.500%, 12/01/42 12/11 at 100.00 AA- 2,640,479
------------------------------------------------------------------------------------------------------------------------------------
8,150 Total Oregon 8,308,955
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 5.4% (3.6% OF TOTAL INVESTMENTS)
4,500 Allegheny County, Pennsylvania, Airport Revenue Refunding No Opt. Call AAA 4,876,200
Bonds, Pittsburgh International Airport, Series 1997A,
5.750%, 1/01/13 - MBIA Insured (Alternative Minimum Tax)
1,000 Pennsylvania Higher Educational Facilities Authority, Revenue 11/13 at 100.00 AA 1,055,940
Bonds, Lycoming College, Series 2003-AA2, 5.250%, 11/01/16 -
RAAI Insured
5,000 Pennsylvania Higher Educational Facilities Authority, Revenue 7/08 at 100.00 AAA 5,190,700
Bonds, University of Pennsylvania, Series 1998,
5.500%, 7/15/38 (Pre-refunded 7/15/08) - MBIA Insured
Philadelphia Municipal Authority, Pennsylvania, Lease Revenue
Bonds, Series 2003B:
3,540 5.250%, 11/15/16 - FSA Insured 11/13 at 100.00 AAA 3,728,611
2,000 5.250%, 11/15/18 - FSA Insured 11/13 at 100.00 AAA 2,100,920
Philadelphia, Pennsylvania, General Obligation Bonds,
Series 2003A:
3,090 5.250%, 2/15/14 - XLCA Insured 2/13 at 100.00 AAA 3,283,681
1,000 5.250%, 2/15/15 - XLCA Insured 2/13 at 100.00 AAA 1,057,220
2,000 Reading School District, Berks County, Pennsylvania, General 1/16 at 100.00 AAA 2,106,020
Obligation Bonds, Series 2005, 5.000%, 1/15/19 - FSA Insured
1,000 State Public School Building Authority, Pennsylvania, Lease 6/13 at 100.00 AAA 1,034,320
Revenue Bonds, Philadelphia School District, Series 2003,
5.000%, 6/01/23 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
23,130 Total Pennsylvania 24,433,612
------------------------------------------------------------------------------------------------------------------------------------
57
Nuveen Insured Dividend Advantage Municipal Fund (NVG) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 0.3% (0.1% OF TOTAL INVESTMENTS)
$ 1,225 Puerto Rico Municipal Finance Agency, Series 2005C, No Opt. Call AAA $ 1,340,469
5.250%, 8/01/21 - CIFG Insured
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 1.0% (0.7% OF TOTAL INVESTMENTS)
Greenville, South Carolina, Tax Increment Revenue Improvement
Bonds, Series 2003:
1,000 5.500%, 4/01/17 - MBIA Insured 4/13 at 100.00 AAA 1,080,810
2,300 5.000%, 4/01/21 - MBIA Insured 4/13 at 100.00 AAA 2,387,101
1,000 Scago Educational Facilities Corporation, South Carolina, 10/15 at 100.00 AAA 1,038,420
Installment Purchase Revenue Bonds, Spartanburg County
School District 5, Series 2005, 5.000%, 4/01/21 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
4,300 Total South Carolina 4,506,331
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 9.3% (6.2% OF TOTAL INVESTMENTS)
Memphis, Tennessee, Sanitary Sewerage System Revenue
Bonds, Series 2004:
1,495 5.000%, 10/01/19 - FSA Insured 10/14 at 100.00 AAA 1,567,717
1,455 5.000%, 10/01/20 - FSA Insured 10/14 at 100.00 AAA 1,522,628
1,955 5.000%, 10/01/21 - FSA Insured 10/14 at 100.00 AAA 2,043,073
10,000 Memphis-Shelby County Sports Authority, Tennessee, Revenue 11/12 at 100.00 AAA 10,360,000
Bonds, Memphis Arena, Series 2002A, 5.125%, 11/01/28 -
AMBAC Insured
10,000 Memphis-Shelby County Sports Authority, Tennessee, Revenue 11/12 at 100.00 AAA 10,343,500
Bonds, Memphis Arena, Series 2002B, 5.125%, 11/01/29 -
AMBAC Insured
15,195 Tennessee State School Bond Authority, Higher Educational 5/12 at 100.00 AAA 15,942,290
Facilities Second Program Bonds, Series 2002A,
5.250%, 5/01/32 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
40,100 Total Tennessee 41,779,208
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 27.5% (18.3% OF TOTAL INVESTMENTS)
3,500 Dallas-Ft. Worth International Airport, Texas, Joint Revenue 11/11 at 100.00 AAA 3,779,475
Refunding and Improvement Bonds, Series 2001A,
5.750%, 11/01/13 - FGIC Insured (Alternative Minimum Tax)
10,000 Gainesville Hospital District, Texas, Limited Tax General 8/11 at 100.00 AAA 10,361,900
Obligation Bonds, Series 2002, 5.375%, 8/15/32 -
MBIA Insured
1,210 Galveston, Texas, General Obligation Bonds, Series 2001, 5/11 at 100.00 AAA 1,266,120
5.250%, 5/01/21 - AMBAC Insured
2,435 Galveston, Texas, General Obligation Bonds, Series 2001, 5/11 at 100.00 AAA 2,597,512
5.250%, 5/01/21 (Pre-refunded 5/01/11) - AMBAC Insured
Harris County Health Facilities Development Corporation, Texas,
Thermal Utility Revenue Bonds, TECO Project, Series 2003:
2,240 5.000%, 11/15/16 - MBIA Insured 11/13 at 100.00 AAA 2,328,525
2,355 5.000%, 11/15/17 - MBIA Insured 11/13 at 100.00 AAA 2,440,416
13,000 Houston Area Water Corporation, Texas, Contract Revenue 3/12 at 100.00 AAA 13,325,260
Bonds, Northeast Water Purification Plant, Series 2002,
5.125%, 3/01/32 - FGIC Insured
2,500 Houston Higher Education Finance Corporation, Texas, Revenue 11/09 at 101.00 AAA 2,655,625
Bonds, Rice University, Series 1999A, 5.375%, 11/15/29
(Pre-refunded 11/15/09)
1,000 Houston, Texas, First Lien Combined Utility System Revenue 5/14 at 100.00 AAA 1,055,320
Bonds, Series 2004A, 5.250%, 5/15/24 - FGIC Insured
4,345 San Antonio, Texas, Water System Senior Lien Revenue 5/12 at 100.00 AAA 4,668,746
Refunding Bonds, Series 2002, 5.500%, 5/15/17 - FSA Insured
6,000 Texas Department of Housing and Community Affairs, 7/11 at 100.00 AAA 6,203,340
Residential Mortgage Revenue Bonds, Series 2001A,
5.350%, 7/01/33 (Alternative Minimum Tax)
58
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 8,635 Texas Department of Housing and Community Affairs, Single 3/12 at 100.00 AAA $ 8,846,471
Family Mortgage Bonds, Series 2002B, 5.550%, 9/01/33 -
MBIA Insured (Alternative Minimum Tax)
Texas Public Finance Authority, Revenue Bonds, Texas Southern
University Financing System, Series 2002:
3,520 5.125%, 11/01/20 - MBIA Insured 5/12 at 100.00 Aaa 3,673,261
3,520 5.125%, 11/01/21 - MBIA Insured 5/12 at 100.00 Aaa 3,680,477
Texas Student Housing Authority, Revenue Bonds, Austin
Project, Senior Series 2001A:
9,400 5.375%, 1/01/23 - MBIA Insured 1/12 at 102.00 Aaa 9,982,706
11,665 5.500%, 1/01/33 - MBIA Insured 1/12 at 102.00 Aaa 12,575,220
5,000 Texas Water Development Board, Senior Lien State Revolving 1/10 at 100.00 AAA 5,212,350
Fund Revenue Bonds, Series 1999B, 5.250%, 7/15/17
9,145 Texas, General Obligation Bonds, Veterans Housing Assistance 6/12 at 100.00 Aa1 9,504,033
Program Fund II, Series 2002A-1, 5.250%, 12/01/22 (Alternative
Minimum Tax)
Williamson County, Texas, General Obligation Bonds, Series 2002:
3,500 5.200%, 2/15/21 - FSA Insured 2/12 at 100.00 AAA 3,670,520
3,000 5.250%, 2/15/22 - FSA Insured 2/12 at 100.00 AAA 3,160,080
7,340 5.250%, 2/15/23 - FSA Insured 2/12 at 100.00 AAA 7,731,662
5,000 5.250%, 2/15/25 - FSA Insured 2/12 at 100.00 AAA 5,255,800
------------------------------------------------------------------------------------------------------------------------------------
118,310 Total Texas 123,974,819
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 13.7% (9.1% OF TOTAL INVESTMENTS)
6,600 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 AAA 7,001,280
Bonds, Columbia Generating Station - Nuclear Project 2,
Series 2002B, 5.350%, 7/01/18 - FSA Insured
7,675 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 AAA 8,246,788
Bonds, Nuclear Project 1, Series 2002A, 5.500%, 7/01/15 -
MBIA Insured
2,500 Port of Seattle, Washington, Revenue Refunding Bonds, 11/12 at 100.00 AAA 2,697,275
Series 2002D, 5.750%, 11/01/15 - FGIC Insured (Alternative
Minimum Tax)
2,200 Snohomish County School District 2, Everett, Washington, 12/13 at 100.00 AAA 2,306,744
General Obligation Bonds, Series 2003B, 5.000%, 6/01/17 -
FSA Insured
3,255 Thurston and Pierce Counties School District, Washington, 6/13 at 100.00 Aaa 3,495,447
General Obligation Bonds, Yelm Community Schools,
Series 2003, 5.250%, 12/01/16 - FSA Insured
Washington State Economic Development Finance Authority,
Wastewater Revenue Bonds, LOTT Project, Series 2002:
2,000 5.500%, 6/01/17 - AMBAC Insured 6/12 at 100.00 Aaa 2,149,840
4,325 5.125%, 6/01/22 - AMBAC Insured 6/12 at 100.00 Aaa 4,528,881
10,000 Washington State Healthcare Facilities Authority, Revenue 10/11 at 100.00 Aaa 10,626,100
Bonds, Children's Hospital and Regional Medical Center,
Series 2001, 5.125%, 10/01/31 (Pre-refunded 10/01/11) -
AMBAC Insured
15,000 Washington State Healthcare Facilities Authority, Revenue 8/13 at 102.00 AAA 15,361,950
Bonds, Harrison Memorial Hospital, Series 1998,
5.000%, 8/15/28 - AMBAC Insured
5,170 Whitman County School District 267, Pullman, Washington, 6/12 at 100.00 Aaa 5,350,175
General Obligation Bonds, Series 2002, 5.000%, 12/01/20 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
58,725 Total Washington 61,764,480
------------------------------------------------------------------------------------------------------------------------------------
59
Nuveen Insured Dividend Advantage Municipal Fund (NVG) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 3.0% (2.0% OF TOTAL INVESTMENTS)
$ 920 Wisconsin Housing and Economic Development Authority, 3/12 at 100.00 AA $ 939,633
Home Ownership Revenue Bonds, Series 2002E,
5.250%, 9/01/22 (Alternative Minimum Tax)
11,950 Wisconsin, Transportation Revenue Refunding Bonds, 7/12 at 100.00 AAA 12,564,947
Series 2002-1, 5.125%, 7/01/18 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
12,870 Total Wisconsin 13,504,580
------------------------------------------------------------------------------------------------------------------------------------
$ 645,395 Total Investments (cost $644,759,508) - 150.0% 676,849,487
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.6% 7,357,074
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (51.6)% (233,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 451,206,561
====================================================================================================================
At least 80% of the Fund's net assets (including net
assets attributable to Preferred shares) are invested
in municipal securities that are either covered by
Original Issue Insurance, Secondary Market Insurance or
Portfolio Insurance which ensures the timely payment of
principal and interest. Up to 20% of the Fund's net
assets (including net assets attributable to Preferred
shares) may be invested in municipal securities that
are (i) either backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities (also ensuring the timely payment of
principal and interest), or (ii) rated, at the time of
investment, within the four highest grades (Baa or BBB
or better by Moody's, S&P or Fitch) or unrated but
judged to be of comparable quality by the Adviser.
(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 BBB by Standard & Poor's
Group or Baa by Moody's Investor Service, Inc. are
considered to be below investment grade.
See accompanying notes to financial statements.
60
Nuveen Insured Tax-Free Advantage Municipal Fund (NEA)
Portfolio of
INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 8.3% (5.5% OF TOTAL INVESTMENTS)
$ 5,655 Colbert County-Northwest Health Care Authority, Alabama, 6/13 at 101.00 Baa3 $ 5,751,531
Revenue Bonds, Helen Keller Hospital, Series 2003,
5.750%, 6/01/27
3,100 Huntsville Healthcare Authority, Alabama, Revenue Bonds, 5/12 at 102.00 AAA 3,325,277
Series 1998A, 5.400%, 6/01/22 - MBIA Insured
6,280 Jefferson County, Alabama, Sewer Revenue Capital 8/12 at 100.00 AAA 6,671,432
Improvement Warrants, Series 2002D, 5.000%, 2/01/32
(Pre-refunded 8/01/12) - FGIC Insured
1,750 Montgomery, Alabama, General Obligation Warrants, 5/12 at 101.00 AAA 1,817,007
Series 2003, 5.000%, 5/01/21 - AMBAC Insured
4,500 Sheffield, Alabama, Electric Revenue Bonds, Series 2003, 7/13 at 100.00 Aaa 4,823,640
5.500%, 7/01/29 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
21,285 Total Alabama 22,388,887
------------------------------------------------------------------------------------------------------------------------------------
ARIZONA - 3.8% (2.5% OF TOTAL INVESTMENTS)
10,000 Maricopa County Pollution Control Corporation, Arizona, 11/12 at 100.00 AAA 10,241,000
Revenue Bonds, Arizona Public Service Company - Palo Verde
Project, Series 2002A, 5.050%, 5/01/29 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 29.1% (19.3% OF TOTAL INVESTMENTS)
26,300 California State Public Works Board, Lease Revenue Bonds, 12/12 at 100.00 AAA 26,989,058
Department of General Services, Capital East End Project,
Series 2002A, 5.000%, 12/01/27 - AMBAC Insured
7,500 California, General Obligation Bonds, Series 2004, 4/14 at 100.00 AAA 7,714,650
5.000%, 4/01/31 - AMBAC Insured
13,500 California, General Obligation Refunding Bonds, Series 2002, 4/12 at 100.00 AAA 14,195,115
5.250%, 4/01/30 - XLCA Insured
2,910 Cathedral City Public Financing Authority, California, 8/12 at 102.00 AAA 3,006,205
Tax Allocation Bonds, Housing Set-Aside, Series 2002D,
5.000%, 8/01/26 - MBIA Insured
2,500 Irvine Public Facilities and Infrastructure Authority, California, 9/06 at 103.00 AAA 2,546,750
Assessment Revenue Bonds, Series 2003C, 5.000%, 9/02/23 -
AMBAC Insured
4,000 Montara Sanitation District, California, General Obligation 8/11 at 101.00 AAA 4,121,160
Bonds, Series 2003, 5.000%, 8/01/28 - FGIC Insured
Plumas County, California, Certificates of Participation, Capital
Improvement Program, Series 2003A:
1,130 5.250%, 6/01/19 - AMBAC Insured 6/13 at 101.00 AAA 1,203,857
1,255 5.250%, 6/01/21 - AMBAC Insured 6/13 at 101.00 AAA 1,333,500
1,210 Redding Joint Powers Financing Authority, California, Lease 3/13 at 100.00 AAA 1,242,888
Revenue Bonds, Capital Improvement Projects, Series 2003A,
5.000%, 3/01/23 - AMBAC Insured
3,750 Sacramento Municipal Utility District, California, Electric 8/13 at 100.00 AAA 3,868,800
Revenue Bonds, Series 2003R, 5.000%, 8/15/28 -
MBIA Insured
1,500 San Diego Community College District, California, General 5/13 at 100.00 AAA 1,544,190
Obligation Bonds, Series 2003A, 5.000%, 5/01/28 -
FSA Insured
3,000 San Jose Redevelopment Agency, California, Tax Allocation 8/10 at 101.00 AAA 3,063,570
Bonds, Merged Area Redevelopment Project, Series 2002,
5.000%, 8/01/32 - MBIA Insured
1,055 Turlock Irrigation District, California, Certificates of 1/13 at 100.00 AAA 1,081,080
Participation, Series 2003A, 5.000%, 1/01/28 - MBIA Insured
6,300 University of California, Revenue Bonds, Multi-Purpose 5/13 at 100.00 AAA 6,482,511
Projects, Series 2003A, 5.000%, 5/15/33 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
75,910 Total California 78,393,334
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 3.8% (2.5% OF TOTAL INVESTMENTS)
Bowles Metropolitan District, Colorado, General Obligation
Bonds, Series 2003:
4,300 5.500%, 12/01/23 - FSA Insured 12/13 at 100.00 AAA 4,663,178
3,750 5.500%, 12/01/28 - FSA Insured 12/13 at 100.00 AAA 4,046,737
61
Nuveen Insured Tax-Free Advantage Municipal Fund (NEA) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
COLORADO (continued)
$ 1,450 Colorado Educational and Cultural Facilities Authority, 8/14 at 100.00 AAA $ 1,532,230
Charter School Revenue Bonds, Peak-to-Peak Charter School,
Series 2004, 5.250%, 8/15/24 - XLCA Insured
9,500 Total Colorado 10,242,145
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 1.2% (0.8% OF TOTAL INVESTMENTS)
3,000 Pinellas County Health Facilities Authority, Florida, Revenue 5/13 at 100.00 A1 (4) 3,251,880
Bonds, Baycare Health System, Series 2003, 5.500%, 11/15/27
(Pre-refunded 5/15/13)
------------------------------------------------------------------------------------------------------------------------------------
GEORGIA - 1.5% (1.0% OF TOTAL INVESTMENTS)
3,825 Metropolitan Atlanta Rapid Transit Authority, Georgia, Sales 1/13 at 100.00 AAA 3,923,991
Tax Revenue Bonds, Second Indenture Series 2002,
5.000%, 7/01/32 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 3.7% (2.5% OF TOTAL INVESTMENTS)
905 Cook County School District 100, Berwyn South, Illinois, 12/13 at 100.00 Aaa 980,133
General Obligation Refunding Bonds, Series 2003B,
5.250%, 12/01/21 (Pre-refunded 12/01/13) - FSA Insured
Cook County School District 145, Arbor Park, Illinois, General
Obligation Bonds, Series 2004:
3,285 5.125%, 12/01/20 - FSA Insured 12/14 at 100.00 Aaa 3,455,426
2,940 5.125%, 12/01/23 - FSA Insured 12/14 at 100.00 Aaa 3,083,942
2,500 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/13 at 100.00 A- 2,548,425
Forest Hospital, Series 2003, 5.250%, 7/01/23
------------------------------------------------------------------------------------------------------------------------------------
9,630 Total Illinois 10,067,926
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 8.8% (5.8% OF TOTAL INVESTMENTS)
2,500 Evansville, Indiana, Sewerage Works Revenue Refunding 7/13 at 100.00 AAA 2,586,625
Bonds, Series 2003A, 5.000%, 7/01/23 - AMBAC Insured
2,190 Indiana Bond Bank, Advance Purchase Funding Bonds, Common 8/13 at 100.00 AAA 2,270,045
School Fund, Series 2003B, 5.000%, 8/01/19 - MBIA Insured
1,000 Indiana University, Student Fee Revenue Bonds, Series 2003O, 8/13 at 100.00 AAA 1,036,870
5.000%, 8/01/22 - FGIC Insured
IPS Multi-School Building Corporation, Indiana, First Mortgage
Revenue Bonds, Series 2003:
11,020 5.000%, 7/15/19 - MBIA Insured 7/13 at 100.00 AAA 11,469,065
6,000 5.000%, 7/15/20 - MBIA Insured 7/13 at 100.00 AAA 6,233,220
------------------------------------------------------------------------------------------------------------------------------------
22,710 Total Indiana 23,595,825
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 2.4% (1.6% OF TOTAL INVESTMENTS)
6,250 Kansas Development Finance Authority, Board of Regents, 4/13 at 102.00 AAA 6,565,938
Revenue Bonds, Scientific Research and Development
Facilities Projects, Series 2003C, 5.000%, 10/01/22 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 0.4% (0.2% OF TOTAL INVESTMENTS)
985 Kentucky State Property and Buildings Commission, Revenue 8/13 at 100.00 AAA 1,049,143
Refunding Bonds, Project 77, Series 2003, 5.000%, 8/01/23
(Pre-refunded 8/01/13) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 2.2% (1.5% OF TOTAL INVESTMENTS)
5,785 New Orleans, Louisiana, General Obligation Refunding Bonds, 12/12 at 100.00 AAA 6,029,127
Series 2002, 5.300%, 12/01/27 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 5.1% (3.4% OF TOTAL INVESTMENTS)
9,000 Massachusetts Bay Transportation Authority, Senior Sales 7/12 at 100.00 AAA 9,555,930
Tax Revenue Refunding Bonds, Series 2002A, 5.000%, 7/01/27
(Pre-refunded 7/01/12) - FGIC Insured
1,125 Massachusetts Development Finance Authority, Revenue Bonds, 9/13 at 100.00 A1 1,164,926
Middlesex School, Series 2003, 5.125%, 9/01/23
3,000 Massachusetts Turnpike Authority, Metropolitan Highway 1/07 at 102.00 AAA 3,040,080
System Revenue Bonds, Senior Series 1997A,
5.000%, 1/01/37 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
13,125 Total Massachusetts 13,760,936
------------------------------------------------------------------------------------------------------------------------------------
62
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 11.6% (7.7% OF TOTAL INVESTMENTS)
$ 6,130 Detroit, Michigan, Senior Lien Water Supply System Revenue 7/13 at 100.00 AAA $ 6,352,274
Bonds, Series 2003A, 5.000%, 7/01/23 - MBIA Insured
4,465 Detroit, Michigan, Senior Lien Water Supply System Revenue 7/13 at 100.00 AAA 4,636,367
Refunding Bonds, Series 2003C, 5.000%, 7/01/22 -
MBIA Insured
10,800 Michigan Strategic Fund, Limited Obligation Resource Recovery 12/12 at 100.00 AAA 11,197,332
Revenue Refunding Bonds, Detroit Edison Company,
Series 2002D, 5.250%, 12/15/32 - XLCA Insured
2,250 Romulus Community Schools, Wayne County, Michigan, 5/11 at 100.00 AA 2,361,195
General Obligation Refunding Bonds, Series 2001,
5.250%, 5/01/25
6,500 Wayne County, Michigan, Limited Tax General Obligation 12/11 at 101.00 AAA 6,674,005
Airport Hotel Revenue Bonds, Detroit Metropolitan Wayne
County Airport, Series 2001A, 5.000%, 12/01/30 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
30,145 Total Michigan 31,221,173
------------------------------------------------------------------------------------------------------------------------------------
MISSOURI - 1.1% (0.7% OF TOTAL INVESTMENTS)
Clay County Public School District 53, Liberty, Missouri, General
Obligation Bonds, Series 2004:
1,325 5.250%, 3/01/23 - FSA Insured 3/14 at 100.00 AAA 1,409,774
1,500 5.250%, 3/01/24 - FSA Insured 3/14 at 100.00 AAA 1,594,950
------------------------------------------------------------------------------------------------------------------------------------
2,825 Total Missouri 3,004,724
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.9% (1.3% OF TOTAL INVESTMENTS)
5,000 Lincoln, Nebraska, Sanitary Sewerage System Revenue 6/13 at 100.00 AAA 5,146,200
Refunding Bonds, Series 2003, 5.000%, 6/15/28 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 0.9% (0.6% OF TOTAL INVESTMENTS)
2,315 Clark County, Nevada, Subordinate Lien Airport Revenue 7/11 at 100.00 AAA 2,466,401
Bonds, Series 2001B, 5.200%, 7/01/31 (Pre-refunded
7/01/11) - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
NEW MEXICO - 0.8% (0.5% OF TOTAL INVESTMENTS)
1,975 New Mexico State University, Revenue Bonds, Series 2004, 4/14 at 100.00 AAA 2,063,579
5.000%, 4/01/19 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 10.2% (6.8% OF TOTAL INVESTMENTS)
25,000 Metropolitan Transportation Authority, New York, Transportation 11/12 at 100.00 AAA 25,651,500
Revenue Refunding Bonds, Series 2002F, 5.000%, 11/15/31 -
MBIA Insured
1,850 New York State Urban Development Corporation, Service 3/15 at 100.00 AAA 1,924,574
Contract Revenue Bonds, Series 2005B, 5.000%, 3/15/25 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
26,850 Total New York 27,576,074
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 3.4% (2.2% OF TOTAL INVESTMENTS)
8,700 North Carolina Medical Care Commission, Revenue Bonds, 10/13 at 100.00 AA 9,075,231
Maria Parham Medical Center, Series 2003, 5.375%, 10/01/33 -
RAAI Insured
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 0.4% (0.2% OF TOTAL INVESTMENTS)
1,000 Oklahoma Capitol Improvement Authority, State Facilities 7/15 at 100.00 AAA 1,042,150
Revenue Bonds, Series 2005F, 5.000%, 7/01/24 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
OREGON - 3.6% (2.4% OF TOTAL INVESTMENTS)
9,350 Oregon Health Sciences University, Revenue Bonds, 1/13 at 100.00 AAA 9,602,824
Series 2002A, 5.000%, 7/01/32 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 8.8% (5.8% OF TOTAL INVESTMENTS)
3,000 Lehigh County General Purpose Authority, Pennsylvania, 8/13 at 100.00 Baa1 3,079,830
Hospital Revenue Bonds, St. Luke's Hospital of Bethlehem,
Series 2003, 5.375%, 8/15/33
2,000 Philadelphia Gas Works, Pennsylvania, Revenue Bonds, 8/13 at 100.00 AAA 2,046,900
General Ordinance, Fourth Series 1998, 5.000%, 8/01/32 -
FSA Insured
925 Philadelphia, Pennsylvania, Water and Wastewater Revenue 8/07 at 102.00 AAA 942,640
Bonds, Series 1997A, 5.125%, 8/01/27 - AMBAC Insured
(ETM)
4,075 Philadelphia, Pennsylvania, Water and Wastewater Revenue 8/07 at 102.00 AAA 4,193,420
Bonds, Series 1997A, 5.125%, 8/01/27 - AMBAC Insured
63
Nuveen Insured Tax-Free Advantage Municipal Fund (NEA) (continued)
Portfolio of INVESTMENTS April 30, 2006 (Unaudited)
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA (continued)
$ 13,000 State Public School Building Authority, Pennsylvania, Lease 6/13 at 100.00 AAA $ 13,307,190
Revenue Bonds, Philadelphia School District, Series 2003,
5.000%, 6/01/33 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
23,000 Total Pennsylvania 23,569,980
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 7.4% (4.9% OF TOTAL INVESTMENTS)
5,000 Florence County, South Carolina, Hospital Revenue Bonds, 11/14 at 100.00 AAA 5,302,550
McLeod Regional Medical Center, Series 2004A,
5.250%, 11/01/23 - FSA Insured
Greenville County School District, South Carolina, Installment
Purchase Revenue Bonds, Series 2003:
3,000 5.000%, 12/01/22 12/13 at 100.00 AA- 3,077,970
1,785 5.000%, 12/01/23 12/13 at 100.00 AA- 1,826,787
1,365 Myrtle Beach, South Carolina, Water and Sewerage System 3/13 at 100.00 AAA 1,463,212
Revenue Refunding Bonds, Series 2003, 5.375%, 3/01/19 -
FGIC Insured
8,000 South Carolina Transportation Infrastructure Bank, Revenue 10/12 at 100.00 Aaa 8,187,120
Bonds, Series 2002A, 5.000%, 10/01/33 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
19,150 Total South Carolina 19,857,639
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 13.0% (8.6% OF TOTAL INVESTMENTS)
7,975 Fort Bend Independent School District, Fort Bend County, 8/10 at 100.00 AAA 8,190,165
Texas, General Obligation Bonds, Series 2000, 5.000%, 8/15/25
12,500 Grand Prairie Independent School District, Dallas County, 2/13 at 100.00 AAA 12,863,750
Texas, General Obligation Bonds, Series 2003,
5.125%, 2/15/31 - FSA Insured
2,000 Houston, Texas, First Lien Combined Utility System Revenue 5/14 at 100.00 AAA 2,110,640
Bonds, Series 2004A, 5.250%, 5/15/25 - MBIA Insured
5,515 Houston, Texas, General Obligation Refunding Bonds, 3/12 at 100.00 AAA 5,816,560
Series 2002, 5.250%, 3/01/20 - MBIA Insured
5,850 Katy Independent School District, Harris, Fort Bend and Waller 2/12 at 100.00 AAA 6,123,663
Counties, Texas, General Obligation Bonds, Series 2002A,
5.125%, 2/15/18
------------------------------------------------------------------------------------------------------------------------------------
33,840 Total Texas 35,104,778
------------------------------------------------------------------------------------------------------------------------------------
VIRGINIA - 0.6% (0.4% OF TOTAL INVESTMENTS)
1,500 Hampton, Virginia, Revenue Bonds, Convention Center Project, 1/13 at 100.00 AAA 1,552,740
Series 2002, 5.125%, 1/15/28 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 9.2% (6.1% OF TOTAL INVESTMENTS)
4,945 Broadway Office Properties, King County, Washington, Lease 12/12 at 100.00 AAA 5,051,960
Revenue Bonds, Washington Project, Series 2002,
5.000%, 12/01/31 - MBIA Insured
5,250 Chelan County Public Utility District 1, Washington, Hydro 7/12 at 100.00 AAA 5,390,700
Consolidated System Revenue Bonds, Series 2002C,
5.125%, 7/01/33 - AMBAC Insured
2,135 Kitsap County Consolidated Housing Authority, Washington, 7/13 at 100.00 Aaa 2,196,403
Revenue Bonds, Bremerton Government Center, Series 2003,
5.000%, 7/01/23 - MBIA Insured
1,935 Pierce County School District 343, Dieringer, Washington, 6/13 at 100.00 Aaa 2,055,376
General Obligation Refunding Bonds, Series 2003,
5.250%, 12/01/17 - FGIC Insured
9,670 Washington, General Obligation Bonds, Series 2003D, 6/13 at 100.00 AAA 10,031,755
5.000%, 12/01/21 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
23,935 Total Washington 24,726,194
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.2% (0.8% OF TOTAL INVESTMENTS)
3,000 West Virginia State Building Commission, Lease Revenue No Opt. Call AAA 3,291,420
Refunding Bonds, Regional Jail and Corrections Facility,
Series 1998A, 5.375%, 7/01/21 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 6.7% (4.4% OF TOTAL INVESTMENTS)
1,190 Sun Prairie Area School District, Dane County, Wisconsin, 3/14 at 100.00 Aaa 1,257,616
General Obligation Bonds, Series 2004C, 5.250%, 3/01/24 -
FSA Insured
4,605 Wisconsin Health and Educational Facilities Authority, 9/13 at 100.00 A- 4,854,038
Revenue Bonds, Franciscan Sisters of Christian Charity
Healthcare Ministry, Series 2003A, 5.875%, 9/01/33
64
PRINCIPAL OPTIONAL CALL
AMOUNT (000) DESCRIPTION (1) PROVISIONS (2) RATINGS (3) VALUE
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN (continued)
$ 3,000 Wisconsin Health and Educational Facilities Authority, Revenue No Opt. Call AAA $ 3,366,930
Bonds, Meriter Hospital Inc., Series 1992A, 6.000%, 12/01/22 -
FGIC Insured
3,600 Wisconsin Health and Educational Facilities Authority, Revenue 8/13 at 100.00 A 3,630,240
Bonds, Wheaton Franciscan Services Inc., Series 2003A,
5.125%, 8/15/33
4,750 Wisconsin Health and Educational Facilities Authority, Revenue 8/08 at 102.00 AAA 4,907,795
Refunding Bonds, Wausau Hospital Inc., Series 1998A,
5.125%, 8/15/20 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
17,145 Total Wisconsin 18,016,619
------------------------------------------------------------------------------------------------------------------------------------
$ 391,735 Total Investments (cost $392,622,303) - 151.1% 406,827,858
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.4% 6,496,513
--------------------------------------------------------------------------------------------------------------------
Preferred Shares, at Liquidation Value - (53.5)% (144,000,000)
--------------------------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shares - 100% $ 269,324,371
====================================================================================================================
FORWARD SWAPS OUTSTANDING AT APRIL 30, 2006:
FIXED RATE FLOATING RATE
PAID FIXED RATE RECEIVED FLOATING RATE UNREALIZED
NOTIONAL BY THE FUND PAYMENT BY THE FUND PAYMENT EFFECTIVE TERMINATION APPRECIATION
COUNTERPARTY AMOUNT (ANNUALIZED) FREQUENCY BASED ON FREQUENCY DATE (5) DATE (DEPRECIATION)
------------------------------------------------------------------------------------------------------------------------------------
Goldman Sachs $10,200,000 4.013% Quarterly BMA Quarterly 9/14/06 9/14/26 $ 471,968
Merrill Lynch 19,000,000 4.021 Quarterly BMA Quarterly 9/21/06 9/21/26 863,679
------------------------------------------------------------------------------------------------------------------------------------
$1,335,647
====================================================================================================================================
BMA - The daily arithmetic average of the weekly BMA (Bond Market Association)
Municipal Swap Index.
At least 80% of the Fund's net assets (including net
assets attributable to Preferred shares) are invested
in municipal securities that are either covered by
Original Issue Insurance, Secondary Market Insurance or
Portfolio Insurance which ensures the timely payment of
principal and interest. Up to 20% of the Fund's net
assets (including net assets attributable to Preferred
shares) may be invested in municipal securities that
are (i) either backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities (also ensuring the timely payment of
principal and interest), or (ii) rated, at the time of
investment, within the four highest grades (Baa or BBB
or better by Moody's, S&P or Fitch) or unrated but
judged to be of comparable quality by the Adviser.
(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 BBB by Standard & Poor's
Group or Baa by Moody's Investor Service, Inc. are
considered to be below investment grade.
(4) Backed by an escrow or trust containing sufficient U.S.
Government or U.S. Government agency securities which
ensure the timely payment of principal and interest.
Such investments are normally considered to be
equivalent to AAA rated securities.
(5) Effective date represents the date on which both the
Fund and counterparty commence interest payment
accruals on each forward swap contract.
(ETM) Escrowed to maturity.
See accompanying notes to financial statements.
65
Statement of
ASSETS AND LIABILITIES April 30, 2006 (Unaudited)
INSURED INSURED INSURED
INSURED INSURED PREMIER PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INSURED INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at value $882,450,905 $1,905,831,610 $446,137,509 $773,963,705 $676,849,487 $406,827,858
(cost $842,621,523, $1,813,064,169,
$425,112,914, $750,969,130,
$644,759,508 and $392,622,303,
respectively)
Cash -- -- -- 2,438,288 -- --
Receivables:
Interest 12,394,651 29,451,560 7,309,705 13,512,174 9,636,928 6,367,836
Investments sold 1,555,000 9,441,610 165,000 1,027,569 -- --
Unrealized appreciation
on forward swaps -- -- -- -- -- 1,335,647
Other assets 62,871 167,341 34,734 71,661 21,536 27,192
------------------------------------------------------------------------------------------------------------------------------------
Total assets 896,463,427 1,944,892,121 453,646,948 791,013,397 686,507,951 414,558,533
------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Cash overdraft 2,176,329 12,771,507 986,912 -- 1,911,296 1,008,479
Payable for investments purchased -- 18,591,784 -- 6,107,549 -- --
Accrued expenses:
Management fees 451,294 946,165 232,465 397,198 178,661 103,857
Other 177,893 372,196 96,229 263,266 103,567 61,861
Preferred share dividends payable 159,511 309,592 81,094 134,621 107,866 59,965
------------------------------------------------------------------------------------------------------------------------------------
Total liabilities 2,965,027 32,991,244 1,396,700 6,902,634 2,301,390 1,234,162
------------------------------------------------------------------------------------------------------------------------------------
Preferred shares, at
liquidation value 318,000,000 680,000,000 161,000,000 268,900,000 233,000,000 144,000,000
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to
Common shares $575,498,400 $1,231,900,877 $291,250,248 $515,210,763 $451,206,561 $269,324,371
====================================================================================================================================
Common shares outstanding 38,295,278 81,138,036 19,419,608 37,353,512 29,807,822 18,515,282
====================================================================================================================================
Net asset value per
Common share outstanding
(net assets applicable to
Common shares, divided by
Common shares outstanding) $ 15.03 $ 15.18 $ 15.00 $ 13.79 $ 15.14 $ 14.55
====================================================================================================================================
NET ASSETS APPLICABLE TO COMMON SHARES CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value
per share $ 382,953 $ 811,380 $ 194,196 $ 373,535 $ 298,078 $ 185,153
Paid-in surplus 534,537,618 1,128,874,275 269,467,179 491,941,518 423,484,088 261,528,621
Undistributed
(Over-distribution of)
net investment income 2,351,445 8,129,017 587,124 920,244 632,107 (93,766)
Accumulated net realized
gain (loss)
from investments and
derivative transactions (1,602,998) 1,318,764 (22,846) (1,019,109) (5,297,691) (7,836,839)
Net unrealized appreciation
(depreciation) of
investments and
derivative transactions 39,829,382 92,767,441 21,024,595 22,994,575 32,089,979 15,541,202
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to
Common shares $575,498,400 $1,231,900,877 $291,250,248 $515,210,763 $451,206,561 $269,324,371
====================================================================================================================================
Authorized shares:
Common 200,000,000 200,000,000 200,000,000 Unlimited Unlimited Unlimited
Preferred 1,000,000 1,000,000 1,000,000 Unlimited Unlimited Unlimited
====================================================================================================================================
See accompanying notes to financial statements.
66
Statement of
OPERATIONS Six Months Ended April 30, 2006 (Unaudited)
INSURED INSURED INSURED
INSURED INSURED PREMIER PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INSURED INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $22,419,798 $ 47,196,492 $11,338,774 $19,016,969 $16,585,377 $ 9,902,523
------------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 2,747,291 5,764,291 1,418,486 2,415,848 2,111,949 1,289,445
Preferred shares - auction fees 394,614 843,895 199,727 333,685 289,215 178,743
Preferred shares - dividend
disbursing agent fees 24,795 34,712 14,877 24,795 14,877 9,918
Shareholders' servicing agent fees
and expenses 48,397 80,656 19,126 28,164 4,851 3,072
Custodian's fees and expenses 113,098 225,125 52,128 85,422 76,814 45,277
Directors'/Trustees' fees
and expenses 9,251 18,529 4,177 7,676 6,850 4,165
Professional fees 20,483 37,825 13,044 14,732 17,012 11,730
Shareholders' reports - printing
and mailing expenses 43,944 85,695 23,730 40,508 33,090 20,138
Stock exchange listing fees 7,640 15,030 4,998 6,927 1,258 782
Investor relations expense 28,845 57,647 15,826 25,407 22,436 14,366
Portfolio insurance expense -- 14,435 -- -- -- --
Other expenses 30,693 39,255 19,552 19,123 15,382 11,213
------------------------------------------------------------------------------------------------------------------------------------
Total expenses before
custodian fee credit
and expense reimbursement 3,469,051 7,217,095 1,785,671 3,002,287 2,593,734 1,588,849
Custodian fee credit (1,737) (7,737) (4,069) (4,391) (2,724) (2,049)
Expense reimbursement -- -- -- -- (1,025,811) (659,608)
------------------------------------------------------------------------------------------------------------------------------------
Net expenses 3,467,314 7,209,358 1,781,602 2,997,896 1,565,199 927,192
------------------------------------------------------------------------------------------------------------------------------------
Net investment income 18,952,484 39,987,134 9,557,172 16,019,073 15,020,178 8,975,331
------------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss)
from investments (1,628,211) 1,278,248 (21,383) 256,553 (1,598,514) 22,017
Net realized gain (loss)
from forward swaps -- -- -- -- -- 957,040
Net increase from payments
by the Adviser for losses
realized on the disposal of
investments purchased in
violation of investment
restrictions 27,762 42,338 -- -- -- --
Change in net unrealized
appreciation (depreciation)
of investments (4,256,445) (8,183,328) (3,658,253) (4,345,364) (195,251) (1,278,538)
Change in net unrealized
appreciation (depreciation)
of forward swaps -- -- -- -- -- (94,360)
------------------------------------------------------------------------------------------------------------------------------------
Net realized and unrealized
gain (loss) (5,856,894) (6,862,742) (3,679,636) (4,088,811) (1,793,765) (393,841)
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS
From net investment income (4,197,643) (8,206,733) (2,100,438) (3,873,137) (3,428,904) (1,983,357)
From accumulated net
realized gains (565,042) (2,314,744) (363,000) -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to
Common shares from distributions
to Preferred shareholders (4,762,685) (10,521,477) (2,463,438) (3,873,137) (3,428,904) (1,983,357)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets
applicable to Common shares
from operations $ 8,332,905 $ 22,602,915 $ 3,414,098 $ 8,057,125 $ 9,797,509 $ 6,598,133
====================================================================================================================================
See accompanying notes to financial statements.
67
Statement of
CHANGES IN NET ASSETS (Unaudited)
INSURED QUALITY (NQI) INSURED OPPORTUNITY (NIO)
----------------------------- --------------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/06 10/31/05 4/30/06 10/31/05
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 18,952,484 $ 39,418,327 $ 39,987,134 $ 81,917,886
Net realized gain (loss) from investments (1,628,211) 3,528,017 1,278,248 14,031,164
Net realized gain (loss) from forward swaps -- -- -- --
Net increase from payments by the Adviser for losses realized
on the disposal of investments purchased in violation of
investment restrictions 27,762 -- 42,338 --
Change in net unrealized appreciation (depreciation) of investments (4,256,445) (18,408,001) (8,183,328) (53,551,554)
Change in net unrealized appreciation (depreciation)
of forward swaps -- -- -- --
Distributions to Preferred Shareholders:
From net investment income (4,197,643) (6,065,197) (8,206,733) (13,081,165)
From accumulated net realized gains (565,042) (159,181) (2,314,744) (217,348)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable
to Common shares from operations 8,332,905 18,313,965 22,602,915 29,098,983
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (16,062,050) (36,927,040) (34,029,303) (74,809,273)
From accumulated net realized gains (2,966,866) (2,090,966) (11,310,642) (2,636,993)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Common shareholders (19,028,916) (39,018,006) (45,339,945) (77,446,266)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from Common shares issued to shareholders
due to reinvestment of distributions 417,198 1,453,639 -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from capital share transactions 417,198 1,453,639 -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common shares (10,278,813) (19,250,402) (22,737,030) (48,347,283)
Net assets applicable to Common shares at the beginning of period 585,777,213 605,027,615 1,254,637,907 1,302,985,190
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of period $575,498,400 $585,777,213 $1,231,900,877 $1,254,637,907
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 2,351,445 $ 3,658,654 $ 8,129,017 $ 10,377,919
====================================================================================================================================
See accompanying notes to financial statements.
68
PREMIER INSURED INSURED PREMIUM
INCOME (NIF) INCOME 2 (NPX)
----------------------------- -----------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/06 10/31/05 4/30/06 10/31/05
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 9,557,172 $ 19,566,875 $ 16,019,073 $ 33,147,615
Net realized gain (loss) from investments (21,383) 2,211,037 256,553 10,740,879
Net realized gain (loss) from forward swaps -- -- -- --
Net increase from payments by the Adviser for losses
realized on the disposal of investments purchased
in violation of investment restrictions -- -- -- --
Change in net unrealized appreciation (depreciation) of investments (3,658,253) (12,070,538) (4,345,364) (26,834,953)
Change in net unrealized appreciation (depreciation)
of forward swaps -- -- -- --
Distributions to Preferred Shareholders:
From net investment income (2,100,438) (3,104,665) (3,873,137) (5,295,715)
From accumulated net realized gains (363,000) (127,563) -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable
to Common shares from operations 3,414,098 6,475,146 8,057,125 11,757,826
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (7,932,914) (17,999,191) (13,353,880) (30,947,388)
From accumulated net realized gains (1,854,573) (1,655,759) -- --
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Common shareholders (9,787,487) (19,654,950) (13,353,880) (30,947,388)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from Common shares issued to shareholders
due to reinvestment of distributions -- 136,954 -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from capital share transactions -- 136,954 -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common shares (6,373,389) (13,042,850) (5,296,755) (19,189,562)
Net assets applicable to Common shares at the beginning of period 297,623,637 310,666,487 520,507,518 539,697,080
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of period $291,250,248 $297,623,637 $515,210,763 $520,507,518
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 587,124 $ 1,063,304 $ 920,244 $ 2,128,188
====================================================================================================================================
See accompanying notes to financial statements.
69
Statement of
CHANGES IN NET ASSETS (Unaudited) (continued)
INSURED DIVIDEND INSURED TAX-FREE
ADVANTAGE (NVG) ADVANTAGE (NEA)
------------------------------ ----------------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
4/30/06 10/31/05 4/30/06 10/31/05
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 15,020,178 $ 29,839,906 $ 8,975,331 $ 17,988,913
Net realized gain (loss) from investments (1,598,514) (174,429) 22,017 299,519
Net realized gain (loss) from forward swaps -- (3,525,412) 957,040 (9,115,854)
Net increase from payments by the Adviser for losses realized
on the disposal of investments purchased in violation of
investment restrictions -- -- -- --
Change in net unrealized appreciation (depreciation)
of investments (195,251) (10,512,717) (1,278,538) (2,445,575)
Change in net unrealized appreciation (depreciation)
of forward swaps -- 2,750,245 (94,360) 7,736,635
Distributions to Preferred Shareholders:
From net investment income (3,428,904) (4,486,974) (1,983,357) (2,741,233)
From accumulated net realized gains -- (278,326) -- (14,037)
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable
to Common shares from operations 9,797,509 13,612,293 6,598,133 11,708,368
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO COMMON SHAREHOLDERS
From net investment income (12,608,708) (26,409,732) (6,887,683) (15,062,183)
From accumulated net realized gains -- (3,573,972) -- (179,616)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets applicable to Common shares
from distributions to Common shareholders (12,608,708) (29,983,704) (6,887,683) (15,241,799)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from Common shares issued to shareholders
due to reinvestment of distributions -- -- -- 35,393
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common
shares from capital share transactions -- -- -- 35,393
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets applicable to Common shares (2,811,199) (16,371,411) (289,550) (3,498,038)
Net assets applicable to Common shares at the beginning of period 454,017,760 470,389,171 269,613,921 273,111,959
------------------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common shares at the end of period $451,206,561 $454,017,760 $269,324,371 $269,613,921
====================================================================================================================================
Undistributed (Over-distribution of) net investment income
at the end of period $ 632,107 $ 1,649,541 $ (93,766) $ (198,057)
====================================================================================================================================
See accompanying notes to financial statements.
70
Notes to
FINANCIAL STATEMENTS (Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The funds (the "Funds") covered in this report and their corresponding Common
share stock exchange symbols are Nuveen Insured Quality Municipal Fund, Inc.
(NQI), Nuveen Insured Municipal Opportunity Fund, Inc. (NIO), Nuveen Premier
Insured Municipal Income Fund, Inc. (NIF), Nuveen Insured Premium Income
Municipal Fund 2 (NPX), Nuveen Insured Dividend Advantage Municipal Fund (NVG)
and Nuveen Insured Tax-Free Advantage Municipal Fund (NEA). Common shares of
Insured Quality (NQI), Insured Opportunity (NIO), Premier Insured Income (NIF)
and Insured Premium Income 2 (NPX) are traded on the New York Stock Exchange
while Common shares of Insured Dividend Advantage (NVG) and Insured Tax-Free
Advantage (NEA) are traded on the American Stock Exchange. The Funds are
registered under the Investment Company Act of 1940, as amended, as closed-end,
diversified management investment companies.
Each Fund seeks to provide current income exempt from regular federal income
tax, and in the case of Insured Tax-Free Advantage (NEA) the alternative minimum
tax applicable to individuals, by investing primarily in a diversified portfolio
of municipal obligations issued by state and local government authorities 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 are 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 securities 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/delayed delivery purchase commitments. At April 30, 2006, Insured
Opportunity (NIO) and Insured Premium Income 2 (NPX) had outstanding
when-issued/delayed delivery purchase commitments of $10,748,176 and $867,927,
respectively. There were no such outstanding purchase commitments in any of the
other Funds.
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.
Federal 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 income tax, and in
the case of Insured Tax-Free Advantage (NEA) the alternative minimum tax
applicable to individuals, 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.
71
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
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 more than one 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:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
---------------------------------------------------------------------------------------------------------
Number of shares:
Series M 2,600 4,000 -- 2,080 3,160 --
Series T 2,600 4,000 -- 2,200 3,080 2,880
Series W 2,600 4,000 840 2,080 -- 2,880
Series W2 -- 3,200 -- -- -- --
Series TH 2,320 4,000 2,800 2,200 3,080 --
Series TH2 -- 4,000 -- -- -- --
Series F 2,600 4,000 2,800 2,196 -- --
---------------------------------------------------------------------------------------------------------
Total 12,720 27,200 6,440 10,756 9,320 5,760
=========================================================================================================
Insurance
Insured Quality (NQI), Insured Opportunity (NIO), Premier Insured Income (NIF)
and Insured Premium Income 2 (NPX) invest only in municipal securities which are
either covered by insurance or are backed by an escrow or trust account
containing sufficient U.S. Government or U.S. Government agency securities, both
of which ensure the timely payment of principal and interest.
Insured Dividend Advantage (NVG) and Insured Tax-Free Advantage (NEA) invest at
least 80% of their net assets (including net assets attributable to Preferred
shares) in municipal securities that are covered by insurance. Each Fund may
also invest up to 20% of its net assets (including net assets attributable to
Preferred shares) in municipal securities which are either (i) backed by an
escrow or trust containing sufficient U.S. Government or U.S. Government agency
securities, or (ii) rated, at the time of investment, within the four highest
grades (Baa or BBB or better by Moody's, S&P or Fitch) or unrated but judged to
be of comparable quality by the Adviser.
Each insured municipal security is covered by Original Issue Insurance,
Secondary Market Insurance or Portfolio Insurance. Such insurance does not
guarantee the market value of the municipal securities or the value of the
Funds' Common shares. Original Issue Insurance and Secondary Market Insurance
remain in effect as long as the municipal securities covered thereby remain
outstanding and the insurer remains in business, regardless of whether the Funds
ultimately dispose of such municipal securities. Consequently, the market value
of the municipal securities covered by Original Issue Insurance or Secondary
Market Insurance may reflect value attributable to the insurance. Portfolio
Insurance, in contrast, is effective only while the municipal securities are
held by the Funds. Accordingly, neither the prices used in determining the
market value of the underlying municipal securities nor the Common share net
asset value of the Funds include value, if any, attributable to the Portfolio
Insurance. Each policy of the Portfolio Insurance does, however, give the Funds
the right to obtain permanent insurance with respect to the municipal security
covered by the Portfolio Insurance policy at the time of its sale.
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
72
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.
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, their 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:
INSURED INSURED PREMIER INSURED
QUALITY (NQI) OPPORTUNITY (NIO) INCOME (NIF)
----------------------- ------------------------ -----------------------
SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
4/30/06 10/31/05 4/30/06 10/31/05 4/30/06 10/31/05
-------------------------------------------------------------------------------------------------------------------------
Common shares issued to shareholders
due to reinvestment of distributions 27,000 91,214 -- -- -- 8,559
=========================================================================================================================
INSURED INSURED INSURED TAX-FREE
PREMIUM INCOME 2 (NPX) DIVIDEND ADVANTAGE (NVG) ADVANTAGE (NEA)
----------------------- ------------------------ -----------------------
SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
4/30/06 10/31/05 4/30/06 10/31/05 4/30/06 10/31/05
-------------------------------------------------------------------------------------------------------------------------
Common shares issued to shareholders
due to reinvestment of distributions -- -- -- -- -- 2,359
=========================================================================================================================
3. INVESTMENT TRANSACTIONS
Purchases and sales (including maturities but excluding short-term investments
and derivative transactions) during the six months ended April 30, 2006, were as
follows:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
----------------------------------------------------------------------------------------------------------
Purchases $47,559,949 $145,877,371 $27,605,251 $34,619,855 $60,915,651 $2,957,511
Sales and maturities 46,702,161 146,909,367 29,825,722 35,309,051 60,325,426 361,226
==========================================================================================================
73
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
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 April 30, 2006, the cost of investments was as follows:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
-------------------------------------------------------------------------------------------------------------------
Cost of investments $842,193,826 $1,811,592,637 $425,053,780 $750,935,804 $647,040,291 $396,626,314
===================================================================================================================
Gross unrealized appreciation and gross unrealized depreciation of investments
at April 30, 2006, were as follows:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
-------------------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $42,629,975 $97,750,303 $22,062,849 $26,723,209 $33,133,402 $14,237,678
Depreciation (2,372,896) (3,511,330) (979,120) (3,695,308) (3,324,206) (4,036,134)
-------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation
(depreciation)
of investments $40,257,079 $94,238,973 $21,083,729 $23,027,901 $29,809,196 $10,201,544
===================================================================================================================
The tax components of undistributed net investment income and net realized gains
at October 31, 2005, the Funds' last tax year end, were as follows:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
-------------------------------------------------------------------------------------------------------------------
Undistributed net
tax-exempt income * $6,201,252 $14,970,304 $2,420,156 $4,545,989 $3,696,503 $976,133
Undistributed net
ordinary income ** -- 36,367 -- -- -- --
Undistributed net long-term
capital gains 3,529,359 13,623,564 2,216,110 -- -- --
===================================================================================================================
* Undistributed net tax-exempt income (on a tax basis) has not been reduced
for the dividend declared on October 3, 2005, paid on November 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 Funds' last tax year ended
October 31, 2005, was designated for purposes of the dividends paid deduction as
follows:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
-------------------------------------------------------------------------------------------------------------------
Distributions from
net tax-exempt
income $43,231,354 $88,622,431 $21,307,834 $36,572,931 $31,059,072 $18,006,667
Distributions from
net ordinary income ** 425,383 -- 801,863 -- 320,955 --
Distributions from
net long-term
capital gains 1,943,044 2,854,341 981,459 -- 3,528,645 193,086
===================================================================================================================
** Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
74
At October 31, 2005, the Funds' last tax year end, the following Funds had
unused capital loss carryforwards available for federal income tax purposes to
be applied against future capital gains, if any. If not applied the
carryforwards will expire as follows:
INSURED INSURED INSURED
PREMIUM DIVIDEND TAX-FREE
INCOME 2 ADVANTAGE ADVANTAGE
(NPX) (NVG) (NEA)
--------------------------------------------------------------------------------
Expiration year:
2008 $1,274,854 $ -- $ --
2009 -- -- --
2010 -- -- --
2011 -- -- --
2012 -- -- --
2013 -- 1,257,089 4,779,762
--------------------------------------------------------------------------------
Total $1,274,854 $1,257,089 $4,779,762
================================================================================
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.
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:
INSURED QUALITY (NQI)
INSURED OPPORTUNITY (NIO)
AVERAGE DAILY NET ASSETS PREMIER INSURED INCOME (NIF)
(INCLUDING NET ASSETS INSURED PREMIUM INCOME 2 (NPX)
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
================================================================================
AVERAGE DAILY NET ASSETS INSURED DIVIDEND ADVANTAGE (NVG)
(INCLUDING NET ASSETS INSURED TAX-FREE ADVANTAGE (NEA)
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 April 30, 2006, the complex-level fee rate was .1888%.
75
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
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 their 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.
For the first ten years of Insured Dividend Advantage's (NVG) operations, the
Adviser has agreed to reimburse the Fund, 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 Insured Dividend Advantage (NVG) for any
portion of its fees and expenses beyond March 31, 2012.
76
For the first eight years of Insured Tax-Free Advantage's (NEA) operations, the
Adviser has agreed to reimburse the Fund, 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
NOVEMBER 30, NOVEMBER 30,
--------------------------------------------------------------------------------
2002* .32% 2007 .32%
2003 .32 2008 .24
2004 .32 2009 .16
2005 .32 2010 .08
2006 .32
================================================================================
* From the commencement of operations.
The Adviser has not agreed to reimburse Insured Tax-Free Advantage (NEA) for any
portion of its fees and expenses beyond November 30, 2010.
As a result of certain trading errors that occurred during the six months ended
April 30, 2006, Insured Quality (NQI) and Insured Opportunity (NIO) were
reimbursed $27,762 and $42,338, respectively, by the Adviser to offset losses
realized on the disposal of investments in violation of investment guidelines.
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 June 1, 2006, to shareholders of record on
May 15, 2006, as follows:
PREMIER INSURED INSURED INSURED
INSURED INSURED INSURED PREMIUM DIVIDEND TAX-FREE
QUALITY OPPORTUNITY INCOME INCOME 2 ADVANTAGE ADVANTAGE
(NQI) (NIO) (NIF) (NPX) (NVG) (NEA)
---------------------------------------------------------------------------------------------------------
Dividend per share $.0670 $.0675 $.0675 $.0570 $.0705 $.0620
=========================================================================================================
77
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
====================================================================================================================================
INSURED QUALITY (NQI)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) $15.31 $ .49 $ (.15) $(.11) $(.01) $.22 $ (.42) $(.08) $ (.50)
2005 15.85 1.03 (.39) (.16) -- .48 (.97) (.05) (1.02)
2004 15.72 1.08 .20 (.08) -- 1.20 (1.02) (.05) (1.07)
2003 15.87 1.10 (.05) (.07) (.01) .97 (1.00) (.12) (1.12)
2002 15.78 1.12 .03 (.11) (.01) 1.03 (.92) (.02) (.94)
2001 14.51 1.18 1.20 (.26) -- 2.12 (.85) -- (.85)
INSURED OPPORTUNITY
(NIO)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) 15.46 .49 (.08) (.10) (.03) .28 (.42) (.14) (.56)
2005 16.06 1.01 (.50) (.16) -- .35 (.92) (.03) (.95)
2004 15.89 1.05 .20 (.08) -- 1.17 (.97) (.03) (1.00)
2003 15.83 1.06 .17 (.07) (.01) 1.15 (.97) (.12) (1.09)
2002 15.72 1.15 .03 (.11) (.01) 1.06 (.93) (.02) (.95)
2001 14.64 1.17 1.04 (.26) -- 1.95 (.87) -- (.87)
PREMIER INSURED
INCOME (NIF)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) 15.33 .49 (.18) (.11) (.02) .18 (.41) (.10) (.51)
2005 16.00 1.01 (.49) (.16) (.01) .35 (.93) (.09) (1.02)
2004 15.69 1.03 .36 (.08) -- 1.31 (.98) (.02) (1.00)
2003 15.59 1.05 .13 (.07) -- 1.11 (.98) (.03) (1.01)
2002 15.55 1.14 (.05) (.11) -- .98 (.94) -- (.94)
2001 14.66 1.18 .85 (.26) -- 1.77 (.88) -- (.88)
====================================================================================================================================
Total Returns
-------------------------
Offering Based
Costs and Ending on
Preferred Common Based Common
Share Share Ending on Share Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value** Value**
==============================================================================================
INSURED QUALITY (NQI)
----------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) $ -- $15.03 $14.55 (1.76)% 1.41%****
2005 -- 15.31 15.31 2.11 3.09
2004 -- 15.85 16.00 4.37 7.90
2003 -- 15.72 16.39 12.92 6.27
2002 -- 15.87 15.55 10.82 6.83
2001 -- 15.78 14.92 15.53 14.94
INSURED OPPORTUNITY
(NIO)
----------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) -- 15.18 14.57 4.17 1.79****
2005 -- 15.46 14.52 (3.72) 2.21
2004 -- 16.06 16.05 9.47 7.64
2003 -- 15.89 15.64 10.22 7.51
2002 -- 15.83 15.21 9.80 7.01
2001 -- 15.72 14.74 19.84 13.61
PREMIER INSURED
INCOME (NIF)
----------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) -- 15.00 14.44 3.77 1.11
2005 -- 15.33 14.40 (1.66) 2.16
2004 -- 16.00 15.64 7.55 8.62
2003 -- 15.69 15.51 7.84 7.28
2002 -- 15.59 15.33 6.84 6.57
2001 -- 15.55 15.25 19.97 12.40
==============================================================================================
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
============================================================================================================================
INSURED QUALITY (NQI)
----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) $ 575,498 1.20%* 6.54%* 1.20%* 6.54%* 5%
2005 585,777 1.19 6.58 1.19 6.58 21
2004 605,028 1.19 6.88 1.19 6.88 8
2003 598,102 1.20 6.93 1.20 6.94 14
2002 601,495 1.23 7.22 1.21 7.24 44
2001 596,999 1.24 7.72 1.23 7.74 34
INSURED OPPORTUNITY
(NIO)
----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) 1,231,901 1.16* 6.43* 1.16* 6.44* 8
2005 1,254,638 1.16 6.35 1.16 6.35 25
2004 1,302,985 1.16 6.59 1.16 6.59 8
2003 1,288,087 1.17 6.67 1.16 6.68 21
2002 1,283,353 1.20 7.42 1.19 7.42 37
2001 1,274,659 1.21 7.69 1.20 7.70 39
PREMIER INSURED
INCOME (NIF)
----------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(a) 291,250 1.21* 6.49* 1.21* 6.49* 6
2005 297,624 1.20 6.39 1.20 6.40 20
2004 310,666 1.21 6.53 1.20 6.53 13
2003 303,912 1.22 6.66 1.21 6.68 25
2002 301,121 1.25 7.40 1.23 7.42 43
2001 299,654 1.26 7.79 1.24 7.81 34
============================================================================================================================
Preferred Shares at End of Period
--------------------------------------------
Aggregate Liquidation
Amount and Market Asset
Outstanding Value Coverage
(000) Per Share Per Share
============================================================================
INSURED QUALITY (NQI)
----------------------------------------------------------------------------
Year Ended 10/31:
2006(a) $318,000 $25,000 $70,244
2005 318,000 25,000 71,052
2004 318,000 25,000 72,565
2003 318,000 25,000 72,021
2002 318,000 25,000 72,287
2001 318,000 25,000 71,934
INSURED OPPORTUNITY
(NIO)
----------------------------------------------------------------------------
Year Ended 10/31:
2006(a) 680,000 25,000 70,290
2005 680,000 25,000 71,126
2004 680,000 25,000 72,904
2003 680,000 25,000 72,356
2002 680,000 25,000 72,182
2001 680,000 25,000 71,862
PREMIER INSURED
INCOME (NIF)
----------------------------------------------------------------------------
Year Ended 10/31:
2006(a) 161,000 25,000 70,225
2005 161,000 25,000 71,215
2004 161,000 25,000 73,240
2003 161,000 25,000 72,191
2002 161,000 25,000 71,758
2001 161,000 25,000 71,530
============================================================================
* 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.
**** During the six months ended April 30, 2006, Insured Quality's (NQI) and
Insured Opportunity's (NIO) received payments from the Adviser of $27,762
and $42,338, respectively, to offset losses realized on the disposal of
investments purchased in violation of each Fund's investment restrictions.
This reimbursement did not have an impact on the Funds' Total Return on
Common Share Net Asset Value.
+ 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 six months ended April 30, 2006.
See accompanying notes to financial statements.
78-79 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
====================================================================================================================================
INSURED PREMIUM
INCOME 2 (NPX)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) $13.93 $ .43 $ (.11) $(.10) $ -- $ .22 $ (.36) $ -- $ (.36)
2005 14.45 .89 (.44) (.14) -- .31 (.83) -- (.83)
2004 14.24 .93 .23 (.07) -- 1.09 (.88) -- (.88)
2003 14.17 .96 .03 (.06) -- .93 (.86) -- (.86)
2002 13.94 .99 .16 (.10) -- 1.05 (.82) -- (.82)
2001 13.05 1.01 .86 (.23) -- 1.64 (.75) -- (.75)
INSURED DIVIDEND
ADVANTAGE (NVG)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) 15.23 .50 (.05) (.12) -- .33 (.42) -- (.42)
2005 15.78 1.00 (.38) (.15) (.01) .46 (.89) (.12) (1.01)
2004 15.41 1.02 .42 (.07) -- 1.37 (.93) (.07) (1.00)
2003 15.35 1.03 .15 (.07) (.01) 1.10 (.93) (.11) (1.04)
2002(a) 14.33 .55 1.10 (.05) -- 1.60 (.47) -- (.47)
INSURED TAX-FREE
ADVANTAGE (NEA)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) 14.56 .48 (.01) (.11) -- .36 (.37) -- (.37)
2005 14.75 .97 (.19) (.15) -- .63 (.81) (.01) (.82)
2004 14.54 .99 .21 (.07) -- 1.13 (.92) (.01) (.93)
2003(b) 14.33 .82 .42 (.05) -- 1.19 (.78) -- (.78)
====================================================================================================================================
Total Returns
-----------------------
Offering Based
Costs and Ending on
Preferred Common Based Common
Share Share Ending on Share Net
Underwriting Net Asset Market Market Asset
Discounts Value Value Value** Value**
===========================================================================================
INSURED PREMIUM
INCOME 2 (NPX)
-------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) $ -- $13.79 $12.66 1.45% 1.55%
2005 -- 13.93 12.83 (3.32) 2.14
2004 -- 14.45 14.11 6.42 7.89
2003 -- 14.24 14.12 8.84 6.70
2002 -- 14.17 13.77 6.32 7.83
2001 -- 13.94 13.75 29.46 12.85
INSURED DIVIDEND
ADVANTAGE (NVG)
-------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) -- 15.14 15.10 9.66 2.19
2005 -- 15.23 14.17 2.00 2.93
2004 -- 15.78 14.89 7.61 9.19
2003 -- 15.41 14.81 6.10 7.37
2002(a) (.11) 15.35 14.96 2.84 10.44
INSURED TAX-FREE
ADVANTAGE (NEA)
-------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) -- 14.55 13.71 5.05 2.49
2005 -- 14.56 13.41 (4.68) 4.33
2004 .01 14.75 14.91 7.41 8.07
2003(b) (.20) 14.54 14.79 3.87 6.98
===========================================================================================
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
==========================================================================================================================
INSURED PREMIUM
INCOME 2 (NPX)
--------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) $515,211 1.16%* 6.18%* 1.16%* 6.18%* 4%
2005 520,508 1.16 6.20 1.16 6.20 23
2004 539,697 1.16 6.52 1.16 6.53 14
2003 530,975 1.17 6.68 1.16 6.69 31
2002 527,800 1.20 7.13 1.19 7.14 26
2001 519,296 1.22 7.39 1.20 7.41 27
INSURED DIVIDEND
ADVANTAGE (NVG)
--------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) 451,207 1.15* 6.18* .69* 6.63* 9
2005 454,018 1.15 5.96 .70 6.42 2
2004 470,389 1.15 6.09 .70 6.54 11
2003 459,368 1.17 6.22 .72 6.67 25
2002(a) 457,432 1.10* 5.71* .61* 6.20* 22
INSURED TAX-FREE
ADVANTAGE (NEA)
--------------------------------------------------------------------------------------------------------------------------
Year Ended 10/31:
2006(c) 269,324 1.18* 6.17* .69* 6.66* --
2005 269,614 1.19 6.06 .70 6.55 1
2004 273,112 1.20 6.24 .71 6.73 13
2003(b) 269,112 1.12* 5.52* .65* 6.00* 72
==========================================================================================================================
Preferred Shares at End of Period
--------------------------------------------
Aggregate Liquidation
Amount and Market Asset
Outstanding Value Coverage
(000) Per Share Per Share
=======================================================================
INSURED PREMIUM
INCOME 2 (NPX)
-----------------------------------------------------------------------
Year Ended 10/31:
2006(c) $268,900 $25,000 $72,900
2005 268,900 25,000 73,392
2004 268,900 25,000 75,176
2003 268,900 25,000 74,365
2002 268,900 25,000 74,070
2001 268,900 25,000 73,280
INSURED DIVIDEND
ADVANTAGE (NVG)
-----------------------------------------------------------------------
Year Ended 10/31:
2006(c) 233,000 25,000 73,413
2005 233,000 25,000 73,714
2004 233,000 25,000 75,471
2003 233,000 25,000 74,288
2002(a) 233,000 25,000 74,081
INSURED TAX-FREE
ADVANTAGE (NEA)
-----------------------------------------------------------------------
Year Ended 10/31:
2006(c) 144,000 25,000 71,758
2005 144,000 25,000 71,808
2004 144,000 25,000 72,415
2003(b) 144,000 25,000 71,721
=======================================================================
* 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 25, 2002 (commencement of operations) through October
31, 2002.
(b) For the period November 21, 2002 (commencement of operations) through
October 31, 2003.
(c) For the six months ended April 30, 2006.
See accompanying notes to financial statements.
80-81 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.
82
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.
MODIFIED 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.
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.
83
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 $145 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/CEF o Interactive planning tools
Logo: NUVEEN Investments
ESA-D-0406D
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.
During this reporting period, the registrant's Board of Trustees implemented a
change to the procedures by which shareholders may recommend nominees to the
registrant's board of trustees by amending the registrant's by-laws to include a
provision specifying the date by which shareholder nominations for election as
trustee at a subsequent meeting must be submitted to the registrant.
Shareholders must deliver or mail notice to the registrant not less than
forty-five days nor more than sixty days prior to the first anniversary date of
the date on which the registrant first mailed its proxy materials for the prior
year's annual meeting; provided, however, if an only if the annual meeting is
not scheduled to be held within a period that commences thirty days before the
first anniversary date of the annual meeting for the preceding year and ends
thirty days after such anniversary date (an annual meeting date outside such
period being referred to as an "Other Annual Meeting Date" hereafter), the
shareholder notice must be given no later than the close of business on the date
forty-five days prior to such Other Annual Meeting Date or the tenth business
day following the date such Other Annual Meeting Date is first publicly
announced or disclosed. The shareholder's notice must be in writing and set
forth the name, age, date of birth, business address, residence address and
nationality of the person(s) being nominated and the class or series, number of
all shares of the registrant owned of record or beneficially be each such
person(s), any other information regarding such person required by Item 401 of
Regulation S-K or Item 22 of Rule 14a-101 (Schedule 14A) under the Securities
Exchange Act of 1934, as amended, any other information regarding the person(s)
to be nominated that would be required to be disclosed in a proxy statement or
other filings required to be made in connection with solicitation of proxies for
election of trustees, and whether such shareholder believes any nominee is or
will be an "interested person" (as that term is defined in the Investment
Company Act of 1940, as amended) of the registrant or sufficient information to
enable the registrant to make that determination and the written and signed
consent of the person(s) to be nominated.
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 Insured Tax-Free Advantage Municipal Fund
-----------------------------------------------------------
By (Signature and Title)* /s/ Jessica R. Droeger
----------------------------------------------
Jessica R. Droeger
Vice President and Secretary
Date: July 7, 2006
-------------------------------------------------------------------
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: July 7, 2006
-------------------------------------------------------------------
By (Signature and Title)* /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(principal financial officer)
Date: July 7, 2006
-------------------------------------------------------------------
* Print the name and title of each signing officer under his or her signature.