UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSRS
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-6567
Van Kampen Municipal Opportunity Trust
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(Exact name of registrant as specified in charter)
522 Fifth Avenue, New York, New York 10036
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(Address of principal executive offices) (Zip code)
Jerry W. Miller
522 Fifth Avenue, New York, New York 10036
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(Name and address of agent for service)
Registrant's telephone number, including area code: 212-762-4000
Date of fiscal year end: 10/31
Date of reporting period: 4/30/08
Item 1. Report to Shareholders
The Trust's semi-annual report transmitted to shareholders pursuant to Rule
30e-1
under the Investment Company Act of 1940 is as follows:
Welcome, Shareholder
In this report, you'll learn about how your investment in Van Kampen
Municipal Opportunity Trust performed during the semiannual period. The
portfolio management team will provide an overview of the market
conditions and discuss some of the factors that affected investment
performance during the reporting period. In addition, this report
includes the trust's financial statements and a list of trust investments
as of April 30, 2008.
MARKET FORECASTS PROVIDED IN THIS REPORT MAY NOT NECESSARILY COME TO
PASS. THERE IS NO ASSURANCE THAT THE TRUST WILL ACHIEVE ITS INVESTMENT
OBJECTIVE. TRUSTS ARE SUBJECT TO MARKET RISK, WHICH IS THE POSSIBILITY
THAT THE MARKET VALUES OF SECURITIES OWNED BY THE TRUST WILL DECLINE AND
THAT THE VALUE OF TRUST SHARES MAY THEREFORE BE LESS THAN WHAT YOU PAID
FOR THEM. ACCORDINGLY, YOU CAN LOSE MONEY INVESTING IN THIS TRUST.
INCOME MAY SUBJECT CERTAIN INDIVIDUALS TO THE FEDERAL ALTERNATIVE MINIMUM
TAX (AMT).
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NOT FDIC INSURED OFFER NO BANK GUARANTEE MAY LOSE VALUE
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NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY NOT A DEPOSIT
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Performance Summary as of 4/30/08
MUNICIPAL OPPORTUNITY TRUST
SYMBOL: VMO
------------------------------------------------------------
AVERAGE ANNUAL BASED ON BASED ON
TOTAL RETURNS NAV MARKET PRICE
Since Inception (4/24/92) 6.72% 6.62%
10-year 5.38 6.18
5-year 2.99 3.43
1-year -7.90 -5.69
6-month -4.95 1.76
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PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE, WHICH IS NO GUARANTEE OF
FUTURE RESULTS, AND CURRENT PERFORMANCE MAY BE LOWER OR HIGHER THAN THE FIGURES
SHOWN. FOR THE MOST RECENT MONTH-END PERFORMANCE FIGURES, PLEASE VISIT
VANKAMPEN.COM OR SPEAK WITH YOUR FINANCIAL ADVISER. INVESTMENT RETURNS, NET
ASSET VALUE (NAV) AND COMMON SHARE MARKET PRICE WILL FLUCTUATE AND TRUST SHARES,
WHEN SOLD, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST.
NAV per share is determined by dividing the value of the trust's portfolio
securities, cash and other assets, less all liabilities and preferred shares, by
the total number of common shares outstanding. The common share market price is
the price the market is willing to pay for shares of the trust at a given time.
Common share market price is influenced by a range of factors, including supply
and demand and market conditions. Total return assumes an investment at the
beginning of the period, reinvestment of all distributions for the period in
accordance with the trust's dividend reinvestment plan, and sale of all shares
at the end of the period. The Trust's adviser has waived or reimbursed fees and
expenses from time to time. Absent such waivers/reimbursements the trust's
returns would have been lower.
The Lehman Brothers Municipal Bond Index is a broad-based statistical composite
of municipal bonds. The Index does not include any expenses, fees or sales
charges, which would lower performance. The Index is unmanaged and should not be
considered an investment. It is not possible to invest directly in an index.
1
Trust Report
FOR THE SIX-MONTH PERIOD ENDED APRIL 30, 2008
MARKET CONDITIONS
The financial markets experienced significant volatility throughout the
six-month reporting period as many large banks and financial firms began writing
down mortgage-related losses, and liquidity and credit availability became even
more restricted. At the same time, the pace of economic growth began to slow,
with gross domestic product (GDP) growth measuring an anemic 0.6 percent for the
fourth quarter of 2007. As weaker economic data was released in the first
quarter of 2008, fears of recession grew and consumer confidence waned,
prompting investors to continue to seek out the relative safety of high-quality
Treasury securities over other sectors of the fixed income market.
The municipal bond market faced additional headwinds as various monoline bond
insurers experienced credit rating downgrades, which caused spreads to widen,
and the auction rate and variable rate markets deteriorated. As a result, the
municipal market underperformed Treasuries for the overall period, with
municipal bond prices reaching historically attractive levels relative to
Treasury bonds in the first quarter of 2008. While yields on short-dated
municipal securities declined, yields on intermediate- and long-dated securities
rose, leading to the steepest yield curve in the past four years as the spread
between one-year and 30-year maturities reached 343 basis points. After a record
year for new municipal bond issuance in 2007, the amount of new issues coming to
market in the first four months of 2008 declined by roughly nine percent versus
the same period one year earlier due in part to a drop in refunding issuance.
The Federal Reserve (the "Fed") took various steps to ease the liquidity crisis
and boost the economy during the period. Not only did the Federal Open Market
Committee reduce the target federal funds rate from 4.50 percent to 2.00 percent
by the end of the period, but in an unprecedented move, the Fed granted primary
Treasury dealers (mostly brokerage firms) access to its discount window and
loosened its collateral requirements, extending loans of Treasury securities in
exchange for lower quality, less liquid securities. Finally, in the biggest
headline event, the Fed arranged and supported JPMorgan Chase's purchase of Bear
Stearns, which was viewed by many as necessary to avoid serious market
repercussions had the firm failed.
2
PERFORMANCE ANALYSIS
The Trust's return can be calculated based upon either the market price or the
net asset value (NAV) of its shares. NAV per share is determined by dividing the
value of the Trust's portfolio securities, cash and other assets, less all
liabilities and preferred shares, by the total number of common shares
outstanding, while market price reflects the supply and demand for the shares.
As a result, the two returns can differ, as they did during the reporting
period. On an NAV basis, the Trust underperformed its benchmark index, the
Lehman Brothers Municipal Bond Index. On a market price basis, the Trust
outperformed its benchmark.
TOTAL RETURN FOR THE SIX-MONTH PERIOD ENDED APRIL 30, 2008
------------------------------------------------------------
LEHMAN BROTHERS
BASED ON MARKET MUNICIPAL
BASED ON NAV PRICE BOND INDEX
-4.95% 1.76% 1.47%
------------------------------------------------------------
Performance data quoted represents past performance, which is no guarantee of
future results, and current performance may be lower or higher than the figures
shown. Investment return, net asset value and common share market price will
fluctuate and Trust shares, when sold, may be worth more or less than their
original cost. See Performance Summary for additional performance information
and index definition.
Although the municipal market rebounded in the last two months of the reporting
period and outperformed Treasuries, it was an extremely difficult period
overall, particularly for higher-yielding, lower-rated bonds as the flight to
quality put considerable pressure on prices. The Trust maintained an allocation
to non-rated bonds throughout the reporting period whereas the Lehman Brothers
Municipal Bond Index contains only investment-grade issues. As such, the Trust's
overweight to non-rated, higher-yielding securities was a contributor to its
relative underperformance. Holdings in BBB rated bonds, particularly within the
health care and tobacco sectors, also tempered returns.
The Trust's yield curve positioning also hindered performance, as it was
overweighted on the long end of the municipal yield curve, which underperformed
the shorter end of the curve. The negative impact was amplified by holdings in
longer-maturity inverse floating-rate securities,* which are highly sensitive to
interest rate changes. However, these securities did serve to enhance the
Trust's income and diversification during the period. Additionally, the emphasis
on the long end of the curve led to a longer duration (a measure of
interest-rate sensitivity) for the Trust, which we reduced somewhat through the
use of a Treasury futures hedge. However, the Trust still maintained a slightly
longer duration than that of the Lehman Brothers Municipal Bond Index, which
detracted from performance as rates on the
*An inverse floating-rate security, or "inverse floater", is a variable rate
security whose coupon rate changes in the opposite direction from the change in
the reference rate used to calculate the coupon rate.
3
intermediate and long end of the curve rose. At the same time, the Treasury
market rally hurt the performance of the hedge.
Conversely, an overweight to pre-refunded bonds was additive to performance.
These are high-quality, shorter-maturity issues which benefited as short-term
rates declined during the period. The Trust's overweight to higher-yielding
municipal auction rate securities (ARS) with low durations was also beneficial
to performance.
The Trustees have approved a procedure whereby the trust may, when appropriate,
repurchase its shares in the open market or in privately negotiated transactions
at a price not above market value or NAV, whichever is lower at the time of
purchase. This may help support the market value of the trust's shares.
There is no guarantee that any sectors mentioned will continue to perform as
discussed herein or that securities in such sectors will be held by the Trust in
the future.
4
RATINGS ALLOCATION AS OF 4/30/08
AAA/Aaa 48.9%
AA/Aa 16.5
A/A 9.7
BBB/Baa 16.6
BB/Ba 1.2
Non-Rated 7.1
TOP 5 SECTORS AS OF 4/30/08
Hospital 22.9%
Airports 9.6
General Purpose 7.3
Master Tobacco Settlement 7.2
Wholesale Electric 6.3
SUMMARY OF INVESTMENTS BY STATE CLASSIFICATION AS OF 4/30/08
Texas 9.9%
California 9.9
Illinois 8.4
New Jersey 8.3
Florida 7.1
New York 6.1
Washington 4.4
North Carolina 3.6
South Carolina 3.2
Pennsylvania 2.6
Ohio 2.2
Colorado 2.2
Arizona 2.2
District of Columbia 2.2
Louisiana 2.1
Georgia 2.1
Missouri 2.1
Massachusetts 2.0
Alabama 1.7
Indiana 1.5
Iowa 1.5
Nevada 1.4
Oklahoma 1.4
Kentucky 1.2
Puerto Rico 1.2
Tennessee 1.2
Wisconsin 1.1
South Dakota 1.1
Minnesota 1.0
Connecticut 0.9
Maryland 0.9
Michigan 0.8
Kansas 0.6
Oregon 0.4
Utah 0.4
Alaska 0.2
(continued on next page)
5
SUMMARY OF INVESTMENTS BY STATE CLASSIFICATION AS OF 4/30/08
(continued from previous page)
New Hampshire 0.2
Virginia 0.2
West Virginia 0.1
New Mexico 0.1
Wyoming 0.1
North Dakota 0.1
Idaho 0.1
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Total Investments 100.0%
Subject to change daily. Provided for informational purposes only and should not
be deemed as a recommendation to buy or sell the securities mentioned or
securities in the sectors shown above. Ratings and summary of investments by
state classification are as a percentage of total investments. Sectors are as a
percentage of total long-term investments. Securities are classified by sectors
that represent broad groupings of related industries. Van Kampen is a wholly
owned subsidiary of a global securities firm which is engaged in a wide range of
financial services including, for example, securities trading and brokerage
activities, investment banking, research and analysis, financing and financial
advisory services. Rating allocations based upon ratings as issued by Standard
and Poor's and Moody's, respectively.
6
FOR MORE INFORMATION ABOUT PORTFOLIO HOLDINGS
Each Van Kampen trust provides a complete schedule of portfolio holdings
in its semiannual and annual reports within 60 days of the end of the
trust's second and fourth fiscal quarters. The semiannual reports and the
annual reports are filed electronically with the Securities and Exchange
Commission (SEC) on Form N-CSRS and Form N-CSR, respectively. Van Kampen
also delivers the semiannual and annual reports to fund shareholders, and
makes these reports available on its public Web site, www.vankampen.com.
In addition to the semiannual and annual reports that Van Kampen delivers
to shareholders and makes available through the Van Kampen public Web
site, each fund files a complete schedule of portfolio holdings with the
SEC for the trust's first and third fiscal quarters on Form N-Q. Van
Kampen does not deliver the reports for the first and third fiscal
quarters to shareholders, nor are the reports posted to the Van Kampen
public Web site. You may, however, obtain the Form N-Q filings (as well
as the Form N-CSR and N-CSRS filings) by accessing the SEC's Web site,
http://www.sec.gov. You may also review and copy them at the SEC's Public
Reference Room in Washington, D.C. Information on the operation of the
SEC's Public Reference Room may be obtained by calling the SEC at 1-800
SEC-0330. You can also request copies of these materials, upon payment of
a duplicating fee, by electronic request at the SEC's e-mail address
(publicinfo@sec.gov) or by writing the Public Reference section of the
SEC, Washington, DC 20549-0102.
You may obtain copies of a trust's fiscal quarter filings by contacting
Van Kampen Client Relations at 1-800 341-2929.
PROXY VOTING POLICY AND PROCEDURES AND PROXY VOTING RECORD
You may obtain a copy of the Trust's Proxy Voting Policy and Procedures
without charge, upon request, by calling toll free (800) 341-2929 or by
visiting our Web site at www.vankampen.com. It is also available on the
Securities and Exchange Commission's Web site at http://www.sec.gov.
You may obtain information regarding how the Trust voted proxies relating
to portfolio securities during the most recent twelve-month period ended
June 30 without charge by visiting our Web site at www.vankampen.com.
This information is also available on the Securities and Exchange
Commission's Web site at http://www.sec.gov.
7
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED)
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
MUNICIPAL BONDS 211.4%
ALABAMA 3.5%
$ 1,000 Alabama Bldg Renovation Fin Auth Rev Rfdg
(AMBAC Insd).................................. 5.625% 09/01/24 $ 1,044,260
1,975 Bessemer, AL Governmental Util Svcs Corp Wtr
Supply Rev Rfdg Ser A (AGL Insd) (a).......... 5.000 06/01/39 1,972,432
4,000 Birmingham Baptist Med Ctr AL Spl Care Fac Fin
Auth Rev Baptist Hlth Sys Inc Ser A........... 5.000 11/15/30 3,482,360
4,800 Healthcare Auth for Baptist Hlth AL Ser B (AGL
Insd) (b) (c)................................. 5.330 11/15/37 4,800,000
1,600 Huntsville-Redstone Vlg, AL Spl Care Fac Fin
Auth Redstone Vlg Proj........................ 5.500 01/01/43 1,335,968
2,255 Marshall Cnty, AL Hlthcare Ser C.............. 6.000 01/01/32 2,311,849
5 Mobile, AL Indl Dev Brd Solid Waste Disp Rev
Mobile Energy Svc Co Proj Rfdg................ 6.950 01/01/20 461
2,000 Montgomery Cnty, AL Pub Bldg Auth Rev Wt Fac
Proj (MBIA Insd).............................. 5.000 03/01/31 2,046,720
-------------
16,994,050
-------------
ALASKA 0.5%
3,000 Northern Tob Sec Corp AK Tob Settlement Rev
Asset Bkd Ser A............................... 5.000 06/01/46 2,344,050
-------------
ARIZONA 4.7%
1,425 Arizona Cap Fac Fin Corp Student Hsg Rev AZ St
Univ Proj..................................... 6.250 09/01/32 1,433,992
3,000 Goodyear, AZ McDowell Rd Coml Corridor Impt
Dist Impt (AMBAC Insd)........................ 5.250 01/01/32 3,056,250
1,500 Maricopa Cnty, AZ Stad Dist Rfdg (AMBAC
Insd)......................................... 5.375 06/01/19 1,586,550
2,100 Pima Cnty, AZ Indl Dev Auth Global Wtr Resh
LLC Proj (AMT)................................ 6.550 12/01/37 1,956,087
370 Pima Cnty, AZ Indl Dev Auth Indl Rev Lease
Oblig Irvington Proj Tucson Rfdg Ser A (FSA
Insd)......................................... 7.250 07/15/10 381,673
1,000 Salt Verde Fin Corp Gas Rev AZ Sr............. 5.250 12/01/20 1,003,980
14,840 University of AZ Med Ctr Corp................. 5.000 07/01/35 13,262,063
-------------
22,680,595
-------------
CALIFORNIA 20.9%
625 Aliso Viejo, CA Cmnty Fac Dist Spl Tax No
2005-01 Glenwood at Aliso..................... 6.000 09/01/38 615,331
2,630 Anaheim, CA Pub Fin Auth Lease Rev Cap Apprec
Sub Pub Impt Proj Ser C (FSA Insd)............ * 09/01/20 1,440,504
7,925 Anaheim, CA Redev Agy Tax Alloc Rfdg Merged
Redev Proj Area Ser A (FSA Insd) (d).......... 5.000 02/01/31 8,134,100
2,400 Bay Area Govt Assn CA Rev Tax Alloc CA Redev
Pool Ser A (XLCA Insd)........................ 5.250 09/01/29 2,401,104
8 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 1,050 California Cnty, CA Tob Sec Agy Asset Bkd
Merced Cnty Rfdg Ser A........................ 5.125% 06/01/38 $ 877,044
1,750 California Cnty, CA Tob Sec Agy Asset Bkd
Sonoma Cnty Corp Rfdg......................... 5.250 06/01/45 1,451,030
4,200 California Hsg Fin Agy Rev Home Mtg Ser G
(AMT) (d)..................................... 4.950 08/01/23 4,065,138
2,800 California Hsg Fin Agy Rev Home Mtg Ser G
(AMT) (d)..................................... 5.050 02/01/29 2,710,092
2,900 California Infrastructure & Econ Dev Bk Rev
San Francisco Ballet Assn (FGIC Insd) (b)
(c)........................................... 8.000 07/01/36 2,900,000
2,000 California Pollutn Ctl Fin Auth Solid Waste
Disp Rev Waste Mgmt Inc Proj Ser B (AMT)...... 5.000 07/01/27 1,693,100
15 California Rural Home Mtg Fin Auth Single
Family Mtg Rev Ser C (GNMA Collateralized)
(AMT)......................................... 7.800 02/01/28 15,337
420 California St (AMBAC Insd).................... 5.125 10/01/27 422,201
725 California St Dept Wtr Res Wtr Rev Cent Vy
Proj Ser AE (a)............................... 5.000 12/01/24 767,978
900 California St Dept Wtr Res Wtr Rev Cent Vy
Proj Ser AE (a)............................... 5.000 12/01/25 949,572
900 California St Dept Wtr Res Wtr Rev Cent Vy
Proj Ser AE (a)............................... 5.000 12/01/26 945,819
525 California St Dept Wtr Res Wtr Rev Cent Vy
Proj Ser AE (a)............................... 5.000 12/01/27 549,544
900 California St Dept Wtr Res Wtr Rev Cent Vy
Proj Ser AE (a)............................... 5.000 12/01/28 938,349
3,500 California St Pub Wk Brd Lease Rev Dept
Corrections Ser C............................. 5.250 06/01/28 3,560,795
2,000 California St Pub Wk Brd Lease Rev Dept Mental
Hlth Coalinga Ser A........................... 5.000 06/01/25 2,018,700
7,000 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A............... 5.000 07/01/39 6,026,300
7,750 California Statewide Cmnty Dev Auth Rev
Daughters of Charity Hlth Ser A............... 5.250 07/01/30 7,175,880
5,000 California Statewide Cmnty Dev Auth Rev Hlth
Fac Adventist Hlth Ser A...................... 5.000 03/01/30 4,800,700
3,000 California Statewide Cmnty Dev Auth Rev Hlth
Fac Adventist Hlth Ser A...................... 5.000 03/01/35 2,826,690
3,000 California Statewide Cmnty Dev Auth Rev Kaiser
Permanente Ser B.............................. 5.000 03/01/41 2,882,970
3,100 California Statewide Cmnty Dev Auth Rev Museum
of Art Proj Ser C (FGIC Insd) (b) (c)......... 10.000 12/01/34 3,100,000
1,000 California Statewide Cmnty Front Porch Cmnty &
Svc Ser A (e)................................. 5.125 04/01/37 895,580
410 Daly City, CA Hsg Dev Fin Agy Mobile Home Pk
Rev Rfdg Third Tier Franciscan Ser C.......... 6.500 12/15/47 368,852
See Notes to Financial Statements 9
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
CALIFORNIA (CONTINUED)
$ 5,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Cap Apprec Rfdg............................... * 01/15/25 $ 1,836,550
4,000 Foothill/Eastern Corridor Agy CA Toll Rd Rev
Conv Cap Apprec Sr Lien Ser A (f)............. 7.050% 01/01/10 4,307,280
5,000 Golden St Tob Sec Corp CA Tob Settlement Ser
A-1........................................... 5.750 06/01/47 4,489,450
400 Morongo Band of Mission Indians CA Enterprise
Rev Indians Enterprise Casino Ser B (e)....... 5.500 03/01/18 402,472
2,200 Quechan Indian Tribe Ft Yuma Indian
Reservation CA & Govt Proj.................... 7.000 12/01/27 2,171,686
3,500 Rancho Mirage, CA Jt Pwrs Eisenhower Med Ctr
Ser A......................................... 5.000 07/01/47 3,246,460
2,400 Tobacco Sec Auth Northn CA Tob Settlement Rev
Asset Bkd Ser A-1............................. 5.375 06/01/38 2,081,808
1,600 Tobacco Sec Auth Northn CA Tob Settlement Rev
Asset Bkd Ser A-1............................. 5.500 06/01/45 1,382,640
6,000 Tobacco Sec Auth Southn CA Tob Settlement Ser
A-1........................................... 5.000 06/01/37 4,986,120
12,000 Tobacco Sec Auth Southn CA Tob Settlement Ser
A-1........................................... 5.125 06/01/46 9,725,400
1,600 Turlock, CA Hlth Fac Rev Ctf Partn Emanuel Med
Ctr Inc....................................... 5.375 10/15/34 1,397,584
-------------
100,560,160
-------------
COLORADO 4.7%
500 Colorado Hlth Fac Auth Hlth & Residential Care
Fac Volunteers of Amer Care Ser A............. 5.250 07/01/27 434,230
375 Colorado Hlth Fac Auth Hlth & Residential Care
Fac Volunteers of Amer Care Ser A............. 5.300 07/01/37 308,681
3,000 Colorado Hlth Fac Auth Rev Catholic Hlth
Initiatives Ser A (f)......................... 5.500 03/01/32 3,177,000
2,400 Colorado Hlth Fac Auth Rev Catholic Hlth Ser
C-3 (FSA Insd) (a)............................ 5.100 10/01/41 2,411,208
4,475 Colorado Hlth Fac Auth Rev Catholic Hlth Ser
C-5 (FSA Insd) (a)............................ 5.000 09/01/36 4,495,988
2,500 Colorado Hlth Fac Auth Rev Covenant Retirement
Cmnty Inc..................................... 5.000 12/01/35 2,085,700
3,700 Colorado Hlth Fac Auth Rev
Evangelical Lutheran.......................... 5.000 06/01/35 3,382,614
1,000 Colorado Hlth Fac Auth Rev Hosp Portercare
Adventist Hlth (Prerefunded @ 11/15/11)....... 6.500 11/15/31 1,132,980
645 Colorado Hsg Fin Auth Multi-Family Hsg Ins Mtg
Ser B-2 (FHA Gtd) (AMT)....................... 5.800 10/01/28 647,135
30 Colorado Hsg Fin Auth Single Family Pgm Sr Ser
A-2 (AMT)..................................... 7.250 05/01/27 31,115
10 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
COLORADO (CONTINUED)
$ 10 Colorado Hsg Fin Auth Single Family Pgm Sr Ser
C-1 (AMT)..................................... 7.550% 11/01/27 $ 10,199
530 Highlands Ranch Metro Dist No 2 CO (FSA Insd)
(f)........................................... 6.500 06/15/11 590,266
470 Highlands Ranch Metro Dist No 2 CO
(FSA Insd).................................... 6.500 06/15/11 522,476
955 Montezuma Cnty, CO Hosp Dist Hlth Fac
Enterprise Hosp Rfdg.......................... 5.900 10/01/37 850,733
1,500 Salida, CO Hosp Dist Rev...................... 5.250 10/01/36 1,229,235
1,500 University of CO Hosp Auth Rev Ser A.......... 5.250 11/15/39 1,399,575
-------------
22,709,135
-------------
CONNECTICUT 2.0%
750 Connecticut St Dev Auth Solid Waste Disp Fac
Rev PSEG Pwr LLC Proj Ser A (AMT)............. 5.750 11/01/37 734,873
6,500 Connecticut St Spl Oblig Pkg Rev Bradley Intl
Arpt Ser A (ACA Insd) (AMT)................... 6.600 07/01/24 6,397,235
1,000 Hartford, CT Pkg Sys Rev Ser A (Prerefunded @
7/01/10)...................................... 6.400 07/01/20 1,081,920
1,575 Mashantucket West Pequot Tribe CT Spl Rev Ser
A (e)......................................... 5.500 09/01/36 1,397,072
-------------
9,611,100
-------------
DISTRICT OF COLUMBIA 4.5%
2,500 District Columbia Rev Gonzaga College (FSA
Insd)......................................... 5.250 07/01/32 2,577,700
700 District Columbia Wtr & Swr Auth Pub Util Rev
Rfdg Sub Lien Ser A (AGL Insd)................ 5.000 10/01/29 717,696
1,425 District Columbia Wtr & Swr Auth Pub Util Rev
Rfdg Sub Lien Ser A (AGL Insd)................ 5.000 10/01/34 1,452,788
8,000 District Columbia Wtr & Swr Auth Pub Util Rev
Sub Lien Ser A (FGIC Insd) (d)................ 5.500 10/01/41 8,526,160
8,850 Metropolitan Washington DC Arpt Auth Sys Ser A
(FGIC Insd) (AMT)............................. 5.250 10/01/32 8,658,928
-------------
21,933,272
-------------
FLORIDA 14.9%
1,000 Alachua Cnty, FL Indl Dev Rev North FL
Retirement Vlg................................ 5.875 11/15/36 896,530
500 Alachua Cnty, FL Indl Dev Rev North FL
Retirement Vlg................................ 5.875 11/15/42 444,005
375 Beacon Lakes, FL Cmnty Dev FL Spl Assmt Ser
A............................................. 6.000 05/01/38 320,591
250 Beacon Lakes, FL Cmnty Dev FL Spl Assmt Sub
Ser B......................................... 6.200 05/01/38 214,172
1,250 Brevard Cnty, FL Hlth Fac Auth Residential
Care Fac Rev Buena Vida Estates Inc........... 6.750 01/01/37 1,230,388
460 Escambia Cnty, FL Hlth Auth Rev FL Hlthcare
Fac Ln VHA Pgm (AMBAC Insd)................... 5.950 07/01/20 485,259
See Notes to Financial Statements 11
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
FLORIDA (CONTINUED)
$ 2,540 Florida St Tpk Auth Tpk Rev Rfdg Dept Tran Ser
A (d)......................................... 5.000% 07/01/26 $ 2,615,491
2,580 Florida St Tpk Auth Tpk Rev Rfdg Dept Tran Ser
A (d)......................................... 5.000 07/01/27 2,656,679
2,805 Florida St Tpk Auth Tpk Rev Rfdg Dept Tran Ser
A (d)......................................... 5.000 07/01/28 2,888,367
2,500 Florida St Tpk Auth Tpk Rev Rfdg Dept Tran Ser
A (d)......................................... 5.000 07/01/32 2,574,302
3,525 Fort Lauderdale, FL Wtr & Swr Rev............. 5.000 09/01/32 3,611,186
790 Highlands, FL Cmnty Dev Dist Spl Assmt........ 5.550 05/01/36 622,544
900 Hillsborough Cnty, FL Aviation Auth Rev Ser A
(AGL Insd) (AMT) (a).......................... 5.375 10/01/33 900,315
2,000 Hillsborough Cnty, FL Aviation Auth Rev Ser A
(AGL Insd) (AMT) (a).......................... 5.500 10/01/38 2,018,860
700 Hillsborough Cnty, FL Indl Dev Auth Pollutn
Ctl Rev Hillsborough Cnty Rfdg (AMBAC Insd)... 5.000 12/01/34 709,674
775 Hillsborough Cnty, FL Indl Dev Auth Pollutn
Ctl Rev Tampa Elec Ser B...................... 5.150 09/01/25 787,036
8,000 Jea, FL Elec Sys Rev Ser 3B (CIFG Insd) (b)
(c)........................................... 8.000 10/01/37 8,000,000
1,000 Lakeland, FL Hosp Sys Rev Lakeland Regl Hlth
Sys (Prerefunded @ 11/15/12).................. 5.500 11/15/32 1,104,920
680 Main Str Cmnty Dev Dist FL Cap Impt
Rev Ser A..................................... 6.800 05/01/38 629,184
400 Main Str Cmnty Dev Dist FL Cap Impt
Rev Ser B..................................... 6.900 05/01/17 386,388
2,100 Miami-Dade Cnty, FL Aviation Rev Miami Intl
Arpt AGC-ICC (FGIC Insd) (AMT)................ 5.375 10/01/27 2,109,324
2,500 Miami-Dade Cnty, FL Aviation Rev Miami Intl
Arpt AGC-ICC (FGIC Insd) (AMT)................ 5.375 10/01/32 2,500,375
2,700 Miami-Dade Cnty, FL Hlth Fac Auth Hosp Rev
Miami Childrens Hosp Proj B3
(MBIA Insd) (b) (c)........................... 6.000 08/01/34 2,700,000
595 Midtown Miami, FL Cmnty Dev FL Spl Assmt Rev
Ser A......................................... 6.000 05/01/24 552,559
2,160 North Broward, FL Hosp Dist Rev Impt
(Prerefunded @ 1/15/11)....................... 6.000 01/15/31 2,364,163
215 North Broward, FL Hosp Dist Rev Impt
(Prerefunded @ 1/15/11)....................... 6.000 01/15/31 235,500
3,100 North Broward, FL Hosp Dist Rev Rfdg Ser B
(CIFG Insd) (b) (c)........................... 7.750 01/15/31 3,100,000
1,525 Orange Cnty, FL Hlth Fac Auth Rev First Mtg
Orlando Lutheran Tower........................ 5.500 07/01/32 1,314,565
545 Overoaks, FL Cmnty Dev Dist Cap Impt Rev Ser
A............................................. 6.125 05/01/35 475,442
1,000 Palm Beach Cnty, FL Hlth Fac Auth Rev
Waterford Proj................................ 5.875 11/15/37 942,660
12 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
FLORIDA (CONTINUED)
$ 5,500 Port St Lucie, FL Spl Assmt Rev Southwest
Annexation Dist 1-B (MBIA Insd)............... 5.000% 07/01/40 $ 5,547,575
2,900 Putnam Cnty, FL Dev Auth Pollutn Ctl Rev Rfdg
Seminole Proj Ser A (AMBAC Insd) (a).......... 5.350 03/15/42 2,911,571
495 Reunion East Cmnty Dev Dist FL Spl Assmt...... 5.800 05/01/36 410,236
750 Seminole Tribe, FL Spl Oblig Rev Ser A (e).... 5.750 10/01/22 738,780
885 Seven Oaks, FL Cmnty Dev Dist II Spl Assmt Rev
Ser A......................................... 5.875 05/01/35 739,417
7,510 South Miami, FL Health Fac Auth Hosp Rev
Baptist Health So FL Grp (d).................. 5.000 08/15/32 7,432,318
1,750 South Vlg Cmnty Dev Dist FL Cap Impt Rev Ser
A............................................. 5.700 05/01/35 1,478,470
750 Sterling Hill Cmnty Dev Dist FL Cap Impt Rev
Ser A......................................... 6.200 05/01/35 754,282
2,100 Tolomato Cmnty, FL Dev Dist Spl Assmt......... 6.650 05/01/40 2,055,102
475 World Commerce Cmnty Dev Dist FL Spl Assmt.... 5.500 05/01/38 380,513
-------------
71,838,743
-------------
GEORGIA 4.3%
5,000 Atlanta, GA Arpt Passenger Fac Charge Rev Gen
Sub Lien Ser C (FSA Insd) (d)................. 5.000 01/01/33 5,079,225
1,000 Atlanta, GA Arpt Rev Ser B (FGIC Insd)
(AMT)......................................... 5.625 01/01/30 1,004,680
1,053 Fulton Cnty, GA Lease Rev (Acquired 12/23/94,
Cost $1,052,972) (g).......................... 7.250 06/15/10 1,069,505
7,000 Georgia Muni Elec Auth Pwr Rev Ser A (MBIA
Insd)......................................... 6.500 01/01/20 8,640,800
3,770 Monroe Cnty, GA Dev Auth Pollutn Ctl Rev
Oglethorpe Pwr Corp Scherer Ser A............. 6.800 01/01/12 4,161,590
1,000 Oconee Cnty, GA Indl Dev Auth Rev Oiit Proj
(XLCA Insd)................................... 5.250 07/01/25 1,013,010
-------------
20,968,810
-------------
IDAHO 0.2%
845 Idaho Hlth Fac Auth Rev Vly Vista Care Corp
Rfdg.......................................... 6.125 11/15/27 793,328
-------------
ILLINOIS 17.9%
1,250 Bartlett, IL Tax Increment Rev Rfdg Sr Lien
Quarry Redev Proj............................. 5.600 01/01/23 1,203,325
1,365 Bolingbrook, IL Cap Apprec Ser B (MBIA
Insd)......................................... * 01/01/30 406,401
2,385 Bolingbrook, IL Cap Apprec Ser B (MBIA Insd)
(Prerefunded @ 1/01/09)....................... * 01/01/30 754,423
7,200 Chicago, IL Brd of Ed Rfdg Ser C (FSA Insd)... 5.000 12/01/27 7,475,040
3,150 Chicago, IL O'Hare Intl Arpt Rev Gen Arpt
Third Lien Rfdg Ser A (MBIA Insd) (AMT)....... 5.375 01/01/32 3,118,532
10,900 Chicago, IL O'Hare Intl Arpt Rev Gen Arpt
Third Lien Ser A (MBIA Insd) (d).............. 5.250 01/01/24 11,141,985
10,000 Chicago, IL O'Hare Intl Arpt Rev Gen Arpt
Third Lien Ser A (MBIA Insd) (d).............. 5.250 01/01/25 10,222,005
See Notes to Financial Statements 13
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
ILLINOIS (CONTINUED)
$ 3,855 Chicago, IL O'Hare Intl Arpt Rev Gen Arpt
Third Lien Ser A (MBIA Insd) (d).............. 5.250% 01/01/26 $ 3,940,583
615 Chicago, IL Pk Dist Ser C (FGIC Insd)......... 5.500 01/01/19 644,126
4,500 Cook Cnty, IL Cap Impt Ser A (FGIC Insd)...... 5.000 11/15/23 4,565,250
4,500 Hoffman Estates, IL (d)....................... 5.000 12/01/38 4,592,588
2,300 Illinois Fin Auth Rev Christian Homes Inc Rfdg
Ser A......................................... 5.750 05/15/26 2,067,562
1,000 Illinois Fin Auth Rev IL Fin Auth Roosevelt
Univ.......................................... 5.500 04/01/37 956,770
6,000 Illinois Fin Auth Rev Northwestern Mem Hosp
Ser A (Prerefunded @ 8/15/14)................. 5.500 08/15/43 6,768,840
3,500 Illinois Fin Auth Rev Osf Hlthcare Sys Ser
A............................................. 5.750 11/15/37 3,470,390
5,500 Illinois Fin Auth Rev Sherman Hlth Sys Ser
2007 A........................................ 5.500 08/01/37 5,158,340
1,250 Metropolitan Pier & Expo Auth IL Dedicated St
Tax Rev McCormick Pl Expn Proj Ser A (FGIC
Insd)......................................... 5.375 12/15/18 1,295,750
2,000 Metropolitan Pier & Expo Auth IL Dedicated St
Tax Rev McCormick Pl Expn Proj Ser A (FGIC
Insd)......................................... 5.500 12/15/24 2,073,420
6,000 Metropolitan Pier & Expo Auth IL Dedicated St
Tax Rev McCormick Pl Expn Ser A
(MBIA Insd)................................... 5.250 06/15/42 6,137,700
3,000 Pekin, IL Mtg Rev United Auto Workers Inc Proj
Ser A (GNMA Collateralized)................... 5.250 05/20/34 2,962,140
5,000 Regional Tran Auth IL Ser B (AMBAC Insd)...... 8.000 06/01/17 6,486,850
475 Will-Kankakee Regl Dev Auth IL Multi-Family
Hsg Rev Sr Estates Supportive Living (AMT).... 7.000 12/01/42 464,384
-------------
85,906,404
-------------
INDIANA 3.2%
1,000 Allen Cnty, IN Juvenile Just Ctr First Mtg
(AMBAC Insd).................................. 5.500 01/01/18 1,064,420
1,000 Indiana Hlth & Ed Fac Fin Cmnty Fndtn
Northwest IN.................................. 5.500 03/01/37 878,590
2,000 Indiana Hlth Fac Fin Auth Hosp Rev Columbus
Regl Hosp Rfdg (FSA Insd)..................... 7.000 08/15/15 2,289,660
2,500 Indiana St Dev Fin Auth Rev Exempt Fac Conv
Rfdg (AMT).................................... 5.950 08/01/30 2,458,875
10,000 Indiana St Hsg & Cmnty Dev Auth Single Family
Mtg Rev Ser D-1 (GNMA Collateralized)
(AMT) (d)..................................... 4.625 07/01/38 8,333,008
500 Vigo Cnty, IN Hosp Auth Rev Union Hosp Inc
(e)........................................... 5.750 09/01/42 437,870
-------------
15,462,423
-------------
14 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
IOWA 3.1%
$ 1,890 Des Moines, IA Pub Pkg Sys Rev Ser A (FGIC
Insd) (h)..................................... 5.750% 06/01/17 $ 1,984,141
2,600 Iowa Fin Auth Hlthcare Fac Rev IA Hlth Sys Ser
A-1 (FGIC Insd) (b) (c)....................... 10.000 02/15/35 2,600,000
2,600 Iowa Fin Auth Hlthcare Fac Rev IA Hlth Sys Ser
A-2 (FGIC Insd) (b) (c)....................... 10.000 02/15/35 2,600,000
2,600 Iowa Fin Auth Hlthcare Fac Rev IA Hlth Sys Ser
A-3 (FGIC Insd) (b) (c)....................... 10.000 02/15/35 2,600,000
500 Jefferson Cnty, IA Hosp Rev Jefferson Cnty
Hosp Proj Ser C............................... 5.950 08/01/37 475,285
325 Sibley, IA Hlthcare Fac Rev Osceola Cmnty Hosp
Proj.......................................... 6.000 12/01/37 297,992
2,500 Tobacco Settlement Auth IA Rev Asset
Bkd Ser C..................................... 5.500 06/01/42 2,137,650
2,500 Tobacco Settlement Auth IA Rev Asset
Bkd Ser C..................................... 5.625 06/01/46 2,170,900
-------------
14,865,968
-------------
KANSAS 1.3%
1,300 Burlington, KS Environmental Impt Rev Rfdg KC
Pwr LT Ser B (XLCA Insd)...................... 5.000 12/01/23 1,299,428
1,250 Labette Cnty, KS Hosp Rev Impt Rfdg Ser A..... 5.750 09/01/29 1,185,225
1,600 Manhattan, KS Hlthcare Fac Rev Meadowlark
Hills Retirement Ser A........................ 5.000 05/15/24 1,392,592
1,600 Manhattan, KS Hlthcare Fac Rev Meadowlark
Hills Retirement Ser A........................ 5.000 05/15/36 1,300,032
375 Manhattan, KS Hlthcare Fac Rev Meadowlark
Hills Retirement Ser B........................ 5.125 05/15/37 309,510
675 Olathe, KS Sr Living Fac Rev Catholic Care
Campus Inc Ser A.............................. 6.000 11/15/38 609,451
-------------
6,096,238
-------------
KENTUCKY 2.5%
300 Kentucky Hsg Corp Hsg Rev Ser F (FNMA
Collateralized) (AMT)......................... 5.450 01/01/32 299,580
7,785 Louisville & Jefferson Cnty, KY Metro Govt
Hlth Sys Rev Norton Hlthcare Inc (d).......... 5.250 10/01/36 7,557,728
4,500 Louisville & Jefferson Cntys, KY Metro Govt
Indl Bldg Rev Sisters of Mercy Cincinnati..... 5.000 10/01/35 4,219,380
-------------
12,076,688
-------------
LOUISIANA 4.4%
525 Colonial Pinnacle Cmnty Dev Dist Dev.......... 6.750 05/01/23 519,062
5,000 Lafayette, LA Util Rev (MBIA Insd)............ 5.250 11/01/23 5,247,000
997 Lakeshore Vlgs Master Cmnty Dev Dist LA Spl
Assmt......................................... 5.250 07/01/17 887,480
See Notes to Financial Statements 15
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
LOUISIANA (CONTINUED)
$ 40 Louisiana Hsg Fin Agy Mtg Rev Single Family
Access Pgm Ser B
(GNMA Collateralized) (AMT)................... 8.000% 03/01/25 $ 40,917
1,930 Louisiana Hsg Fin Agy Rev Azalea Estates Rfdg
Ser A (GNMA Collateralized) (AMT)............. 5.375 10/20/39 1,882,773
3,000 Louisiana St Energy & Pwr Auth Pwr Proj Rev
Rfdg (FSA Insd)............................... 5.750 01/01/12 3,284,490
8,000 Louisiana St Gas & Fuels Tax Rev Ser A (FSA
Insd) (d)..................................... 5.000 05/01/36 8,153,200
1,100 Rapides Fin Auth LA Rev Cleco Pwr Proj
(AMT)......................................... 5.250 11/01/37 1,097,503
-------------
21,112,425
-------------
MARYLAND 2.0%
775 Gaithersburg, MD Econ Dev Rev Asbury MD Oblig
Group A....................................... 5.125 01/01/36 683,930
2,900 Maryland St Cmnty Dev Admin Dev Ser H (AMT)... 5.100 09/01/37 2,727,798
2,000 Maryland St Hlth & Higher Ed Fac Auth Rev
Medstar Hlth Rfdg............................. 5.375 08/15/24 2,014,680
2,750 Maryland St Hlth & Higher Ed Fac Auth Rev
Mercy Med Ctr Ser A........................... 5.500 07/01/42 2,582,360
1,000 Maryland St Hlth & Higher Ed Fac Auth Rev
Washington Cnty Hosp.......................... 5.750 01/01/38 958,780
600 Prince Georges Cnty, MD Spl Oblig Natl Harbor
Proj.......................................... 5.200 07/01/34 505,416
-------------
9,472,964
-------------
MASSACHUSETTS 4.2%
3,955 Massachusetts Bay Trans Auth Gen Trans Sys
Rfdg Ser A.................................... 5.500 03/01/12 4,197,758
400 Massachusetts St Dev Fin Agy Linden Ponds Inc
Fac Ser A..................................... 5.750 11/15/35 349,352
475 Massachusetts St Dev Fin Agy Linden Ponds Inc
Fac Ser A..................................... 5.750 11/15/42 411,716
4,800 Massachusetts St Dev Fin Agy Rev College
Pharmacy & Allied Hlth Ser D (AGL Insd)....... 5.000 07/01/35 4,857,360
3,000 Massachusetts St Dev Fin Agy Semass Sys Ser A
(MBIA Insd)................................... 5.625 01/01/16 3,232,170
35 Massachusetts St Hlth & Ed Fac Auth Rev Partn
Hlthcare Sys Ser C............................ 5.750 07/01/32 36,454
965 Massachusetts St Hlth & Ed Fac Auth Rev Partn
Hlthcare Sys Ser C (Prerefunded @ 7/01/11).... 5.750 07/01/32 1,062,494
965 Massachusetts St Hlth & Ed Fac Auth Rev Saint
Mem Med Ctr Ser A............................. 6.000 10/01/23 964,990
6,050 Massachusetts St Hlth & Ed Fac Auth Rev Univ
MA Mem Issue Ser D............................ 5.000 07/01/33 5,290,120
-------------
20,402,414
-------------
16 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
MICHIGAN 1.6%
$ 3,000 Kent Hosp Fin Auth MI Rev Metro Hosp Proj Ser
A............................................. 6.250% 07/01/40 $ 3,037,650
800 Kent Hosp Fin Auth MI Rev Spectrum
Hlth Ser A.................................... 5.250 01/15/47 828,224
400 Kent Hosp Fin Auth MI Rev Spectrum
Hlth Ser A.................................... 5.500 01/15/47 420,052
3,750 Michigan Tob Settlement Fin Auth Tob
Settlement Asset Sr Ser A..................... 6.000 06/01/48 3,424,350
-------------
7,710,276
-------------
MINNESOTA 2.1%
10 Chaska, MN Elec Rev Ser A..................... 6.100 10/01/30 10,515
990 Chaska, MN Elec Rev Ser A (Prerefunded @
10/01/10)..................................... 6.100 10/01/30 1,069,873
425 Chisago, MN Hlthcare Fac Rev CDL Homes LLC
Proj.......................................... 6.000 08/01/42 406,270
1,000 Meeker Cnty, MN Gross Rev Hosp Fac Mem Hosp
Proj.......................................... 5.750 11/01/27 977,660
175 North Oaks, MN Sr Hsg Rev Presbyterian Homes
North Oaks.................................... 6.000 10/01/27 170,396
550 North Oaks, MN Sr Hsg Rev Presbyterian Homes
North Oaks.................................... 6.000 10/01/33 525,503
175 North Oaks, MN Sr Hsg Rev Presbyterian Homes
North Oaks.................................... 6.125 10/01/39 168,508
1,800 Saint Paul, MN Hsg & Redev Auth Hlthcare Fac
Rev Hlth Partners Oblig Grp Proj.............. 5.250 05/15/36 1,622,322
900 Saint Paul, MN Hsg & Redev Auth Hosp Rev Hlth
East Proj..................................... 6.000 11/15/35 895,761
3,875 Saint Paul, MN Port Auth Lease Rev Office Bldg
at Cedar Str (h).............................. 5.250 12/01/19 4,156,286
-------------
10,003,094
-------------
MISSOURI 4.3%
1,800 Cape Girardeau Cnty, MO Indl Dev Auth Hlthcare
Fac Rev Southeast MO Hosp Assoc (Prerefunded @
6/01/12)...................................... 5.500 06/01/22 1,971,576
350 Cape Girardeau Cnty, MO Indl Southeast MO Hosp
Assoc......................................... 5.500 06/01/22 347,613
1,300 Cass Cnty, MO Hosp Rev........................ 5.625 05/01/38 1,207,050
850 Maryland Heights, MO Tax Increment Rev South
Heights Redev Proj Rfdg Ser A................. 5.500 09/01/18 831,920
1,375 Missouri St Hlth & Ed Fac Auth Rev Sr Living
Fac Lutheran Ser A............................ 5.375 02/01/35 1,324,854
615 Saint Louis Cnty, MO Indl Dev Auth Sr Living
Fac Rev Saint Andrews Res for Srs Ser A....... 6.375 12/01/30 585,345
1,450 Saint Louis Cnty, MO Indl Dev Auth Sr Living
Fac Rev Saint Andrews Res for Srs Ser A....... 6.375 12/01/41 1,360,709
See Notes to Financial Statements 17
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
MISSOURI (CONTINUED)
$ 575 Saint Louis, MO Indl Dev Auth Tax Increment &
Cmnty Impt Dist Loughborough Com
Redev Rfdg.................................... 5.750% 11/01/27 $ 546,261
2,060 Sikeston, MO Elec Rev Rfdg (MBIA Insd)........ 6.200 06/01/10 2,133,048
5,500 Springfield, MO Pub Bldg Corp Leasehold Rev
Springfield Branson Arpt Ser B (AMBAC Insd)
(AMT) (d)..................................... 4.550 07/01/29 4,810,740
6,650 Springfield, MO Pub Bldg Corp Leasehold Rev
Springfield Branson Arpt Ser B (AMBAC Insd)
(AMT) (d)..................................... 4.600 07/01/36 5,816,622
-------------
20,935,738
-------------
NEVADA 3.1%
6,000 Clark Cnty, NV Indl Dev Rev Southwest Gas Corp
Proj Ser A (AMBAC Insd) (AMT)................. 5.250 07/01/34 5,482,800
2,800 Clark Cnty, NV Indl Dev Rev Southwest Gas Corp
Proj Ser A (FGIC Insd) (AMT).................. 4.750 09/01/36 2,245,264
2,500 Nevada Hsg Div Single Family Mtg Rev Ser A
(GNMA Collateralized) (AMT)................... 5.875 04/01/38 2,544,975
4,750 Reno, NV Hosp Rev Renown Regl Med Ctr Proj Ser
A (d)......................................... 5.250 06/01/37 4,473,063
-------------
14,746,102
-------------
NEW HAMPSHIRE 0.5%
1,155 New Hampshire Hlth & Ed Fac Auth Rev
Derryfield Sch (Prerefunded @ 7/01/10)........ 7.000 07/01/30 1,193,277
950 New Hampshire St Bus Fin Auth Wtr Fac Rev
Pennichuck Wtrwks Inc (AMBAC Insd) (AMT)...... 6.300 05/01/22 959,965
-------------
2,153,242
-------------
NEW JERSEY 17.5%
375 Burlington Cnty, NJ Bridge Commn Econ Dev Rev
The Evergreens Proj........................... 5.625 01/01/38 343,129
2,700 New Jersey Econ Dev Auth Rev Cig Tax.......... 5.750 06/15/29 2,648,052
3,025 New Jersey Econ Dev Auth Rev Cig Tax.......... 5.750 06/15/34 2,906,359
30,000 New Jersey Econ Dev Auth St Contract Econ
Recovery (MBIA Insd).......................... 5.900 03/15/21 34,796,700
8,000 New Jersey Econ Dev Auth Wtr Fac Rev NJ Amer
Wtr Co Inc Proj Ser A (FGIC Insd) (AMT)....... 6.875 11/01/34 8,091,360
2,400 New Jersey Hlthcare Fac Fin Auth Rev Holy Name
Hosp.......................................... 5.000 07/01/36 2,090,088
1,350 New Jersey Hlthcare Fac Fin Auth Rev Saint
Peters Univ Hosp Oblig........................ 5.750 07/01/37 1,316,345
40,000 Tobacco Settlement Fin Corp NJ Ser 1-A (d).... 5.000 06/01/41 32,015,400
-------------
84,207,433
-------------
NEW MEXICO 0.2%
1,125 University NM Univ Rev Sub Lien Rfdg Ser A.... 5.250 06/01/21 1,184,209
-------------
18 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
NEW YORK 12.9%
$ 5,200 Metropolitan Trans Auth NY Dedicated Tax Fd
Rfdg Ser A 1 (XLCA Insd) (b) (c).............. 10.000% 11/01/31 $ 5,200,000
2,325 New York City Indl Dev Agy Rev Liberty 7 World
Trade Ctr Proj Ser B.......................... 6.750 03/01/15 2,396,447
1,255 New York City Indl Dev Civic YMCA Gtr NY
Proj.......................................... 5.800 08/01/16 1,298,398
5,500 New York City Ser I-1 (d)..................... 5.000 02/01/26 5,684,057
2,525 New York St Dorm Auth Lease Rev Muni Hlth Fac
Impt Pgm Ser A (FSA Insd)..................... 5.500 05/15/25 2,553,962
3,100 New York St Dorm Auth Rev City Univ Sys Cons
Ser A......................................... 5.625 07/01/16 3,436,753
2,600 New York St Dorm Auth Rev Cons City Univ Sys
Second Gen Ser A.............................. 5.750 07/01/13 2,821,676
2,040 New York St Dorm Auth Rev Secd Hosp Gen Hosp
Rfdg.......................................... 5.750 02/15/18 2,209,381
590 New York St Dorm Auth Rev Ser B............... 7.500 05/15/11 649,407
650 New York St Dorm Auth Rev Ser B (Prerefunded @
5/15/10)...................................... 7.500 05/15/11 697,411
5,000 New York St Dorm Auth Rev St Univ Ed Fac Ser
A............................................. 5.500 05/15/08 5,007,600
1,500 New York St Dorm Auth Rev Upstate Cmnty
Colleges Ser B................................ 5.250 07/01/20 1,590,165
1,000 New York St Dorm Auth Rev Upstate Cmnty
Colleges Ser B................................ 5.250 07/01/21 1,055,100
935 New York St Mtg Agy Rev Homeowner Mtg Ser 82
(AMT)......................................... 5.650 04/01/30 974,223
3,395 New York St Mtg Agy Rev Ser 101 (AMT)......... 5.400 04/01/32 3,390,315
3,400 New York St Urban Dev Corp Rev St Fac & Equip
Sub Ser A-3B (CIFG Insd) (b) (c).............. 7.750 03/15/33 3,400,000
15,000 Port Auth NY & NJ Cons Ser 144 (d)............ 5.000 10/01/35 15,330,375
4,000 Port Auth NY & NJ Spl Oblig Rev Spl Proj JFK
Intl Arpt Terminal 6 (MBIA Insd) (AMT)........ 5.750 12/01/22 4,013,560
575 Seneca Nation Indians Cap Impt Auth NY Spl
Oblig Ser A (e)............................... 5.000 12/01/23 511,658
-------------
62,220,488
-------------
NORTH CAROLINA 7.5%
3,575 North Carolina Cap Fac Fin Agy Rev Duke Univ
Proj Ser A.................................... 5.000 10/01/41 3,650,361
1,500 North Carolina Eastn Muni Pwr Agy Pwr Sys Rev
Ser D......................................... 6.700 01/01/19 1,572,000
6,000 North Carolina Med Care Commn Hlthcare Fac Rev
Univ Eastn Carolina Ser A (AMBAC Insd) (b)
(c)........................................... 4.500 12/01/28 6,000,000
See Notes to Financial Statements 19
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
NORTH CAROLINA (CONTINUED)
$ 1,000 North Carolina Med Care Commn Retirement Fac
Rev First Mtg Southminster Proj Ser A......... 5.750% 10/01/37 $ 990,140
22,000 North Carolina Muni Pwr Agy No 1 Catawba Elec
Rev Rfdg (MBIA Insd).......................... 6.000 01/01/12 23,964,380
-------------
36,176,881
-------------
NORTH DAKOTA 0.2%
565 North Dakota St Hsg Fin Agy Rev Hsg Fin Pgm
Home Mtg Fin Ser B (MBIA Insd) (AMT).......... 5.500 07/01/29 577,029
240 North Dakota St Hsg Fin Agy Ser C (AMT)....... 5.550 07/01/29 242,541
-------------
819,570
-------------
OHIO 4.7%
6,600 Buckeye, OH Tob Settlement Fin Auth Asset Bkd
Sr Turbo Ser A-2.............................. 5.750 06/01/34 5,966,334
400 Cuyahoga Cnty, OH Hlthcare & Indpt Living Fac
Rev Eliza Jennings Sr Care Ser A.............. 5.750 05/15/27 363,232
1,500 Cuyahoga Cnty, OH Hosp Fac Rev Canton Inc
Proj.......................................... 7.500 01/01/30 1,610,985
2,450 Lorain Cnty, OH Hosp Rev Catholic Hlthcare
Impt & Rfdg Ser A............................. 5.250 10/01/33 2,473,789
2,000 Lorain Cnty, OH Hosp Rev Catholic Hlthcare Ser
S............................................. 5.375 10/01/30 2,028,540
3,000 Lorain Cnty, OH Hosp Rev Catholic Rfdg Ser C-1
(FSA Insd) (a)................................ 5.000 04/01/24 3,073,650
2,750 Lorain Cnty, OH Hosp Rev Fac Catholic Ser A
(FSA Insd) (a)................................ 5.000 02/01/24 2,817,513
2,775 Lorain Cnty, OH Hosp Rev Fac Catholic Ser B
(FSA Insd) (a)................................ 5.000 02/01/24 2,843,126
1,625 Montgomery Cnty, OH Rev Var Catholic Hlth Ser
C-1 (FSA Insd) (a)............................ 5.000 10/01/41 1,644,126
-------------
22,821,295
-------------
OKLAHOMA 3.1%
1,375 Chickasaw Nation, OK Hlth Sys (e)............. 6.250 12/01/32 1,372,333
3,410 Jenks, OK Aquarium Auth Rev Rfdg (MBIA Insd)
(h)........................................... 5.250 07/01/24 3,555,266
1,475 Jenks, OK Aquarium Auth Rev Rfdg (MBIA
Insd)......................................... 5.250 07/01/33 1,516,315
3,970 McAlester, OK Pub Wk Auth Util Cap Apprec (FSA
Insd)......................................... * 02/01/34 1,026,999
2,250 Oklahoma City, OK Pub Ppty Auth Hotel Tax Rev
(FGIC Insd)................................... 5.250 10/01/29 2,309,670
1,120 Oklahoma Dev Fin Auth Lease Rev OK Council Law
Enforcement (MBIA Insd) (h)................... 5.500 06/01/18 1,190,302
1,185 Oklahoma Dev Fin Auth Lease Rev OK Council Law
Enforcement (MBIA Insd) (h)................... 5.500 06/01/19 1,259,382
2,250 Tulsa Cnty, OK Pub Fac Auth Cap Impt Rev
(AMBAC Insd) (Prerefunded @ 11/01/09)......... 6.250 11/01/22 2,425,703
-------------
14,655,970
-------------
20 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
OREGON 0.9%
$ 4,000 Oregon Hlth Sciences Univ Insd Ser A (MBIA
Insd)......................................... 5.250% 07/01/22 $ 4,177,880
-------------
PENNSYLVANIA 5.5%
875 Montgomery Cnty, PA Indl Dev Auth Rev Mtg
Whitemarsh Care Proj.......................... 6.250 02/01/35 803,399
950 Pennsylvania Econ Dev Fin Auth Exempt Fac Rev
Reliant Energy Ser B (AMT).................... 6.750 12/01/36 960,051
16,755 Pennsylvania St Pub Sch Bldg Auth Lease Rev
Sch Dist Ser B (d)............................ 4.500 06/01/32 16,328,310
3,000 Susquehanna Area Regl Arpt Auth PA Arpt Sys
Rev Ser A (AMBAC Insd) (AMT).................. 5.375 01/01/21 3,031,200
5,415 Susquehanna Area Regl Arpt Auth PA Ser A
(AMBAC Insd) (AMT) (h)........................ 5.375 01/01/22 5,460,107
-------------
26,583,067
-------------
SOUTH CAROLINA 6.7%
2,500 Charleston Ed Excellence Fin Corp SC Rev
Charleston Cnty Sch Dist (d).................. 5.250 12/01/25 2,559,544
7,500 Charleston Ed Excellence Fin Corp SC Rev
Charleston Cnty Sch Dist (d).................. 5.250 12/01/26 7,678,631
1,000 South Carolina Jobs Econ Dev Auth Hlth Fac Rev
First Wesley Com Rfdg......................... 5.300 10/01/36 818,230
1,840 South Carolina Jobs Econ Dev Auth Hosp Fac Rev
Palmetto Hlth Alliance Rfdg Ser A............. 6.250 08/01/31 1,869,348
8,200 South Carolina Jobs Econ Dev Auth Hosp Fac Rev
Rfdg Palmetto Hlth Ser A (FSA Insd) (b) (c)... 4.990 08/01/35 8,200,000
5,000 South Carolina Jobs Econ Dev Auth Indl Rev
Elec & Gas Co Proj Ser A (AMBAC Insd)......... 5.200 11/01/27 5,102,400
3,750 South Carolina Jobs Econ Dev Auth Indl Rev
Elec & Gas Co Proj Ser B (AMBAC Insd) (AMT)... 5.450 11/01/32 3,750,000
725 South Carolina Jobs Econ Dev Auth Rev
Woodlands at Furman Proj Ser A................ 6.000 11/15/27 677,969
1,650 South Carolina Jobs Economic Rfdg First Mtg
Lutheran Homes................................ 5.375 05/01/21 1,471,421
-------------
32,127,543
-------------
SOUTH DAKOTA 2.3%
1,375 Deadwood, SD Ctf Partn (ACA Insd)............. 6.375 11/01/20 1,444,355
8,060 South Dakota Hsg Dev Auth Homeownership Mtg
Ser E (d)..................................... 4.625 05/01/36 7,024,881
2,500 South Dakota St Hlth & Ed Fac Auth Rev Sioux
Vly Hosp & Hlth Sys A......................... 5.250 11/01/34 2,501,350
-------------
10,970,586
-------------
See Notes to Financial Statements 21
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
TENNESSEE 2.5%
$ 1,750 Chattanooga, TN Hlth Ed & Hsg Fac Brd Rev CDFI
Phase I LLC Proj Rfdg Ser A................... 5.125% 10/01/35 $ 1,516,760
2,000 Elizabethton, TN Hlth & Ed Fac Brd Rev Impt
Hosp First Mtg Rfdg Ser B (Prerefunded @
7/01/12)...................................... 8.000 07/01/33 2,430,100
1,500 Elizabethton, TN Hlth & Ed Fac Brd Rev Impt
Hosp Rfdg Ser B (MBIA Insd) (Prerefunded @
7/01/12)...................................... 7.750 07/01/29 1,739,445
1,000 Johnson City, TN Hlth & Ed Fac Brd Hosp Rev
First Mtg Mtn St Hlth Rfdg Ser A (MBIA Insd)
(Prerefunded @ 7/01/12)....................... 7.500 07/01/25 1,162,340
5,000 Tennessee Energy Acquisition Corp Gas Rev Ser
A............................................. 5.250 09/01/21 4,927,550
-------------
11,776,195
-------------
TEXAS 20.9%
725 Dallas Cnty, TX Flood Ctl Dist Rfdg........... 6.750 04/01/16 744,104
5,500 Dallas-Fort Worth, TX Intl Arpt Rev Jt Impt &
Rfdg Ser A (FGIC Insd) (AMT).................. 5.500 11/01/31 5,421,515
8,000 Dallas-Fort Worth, TX Intl Arpt Rev Jt Ser A
(FSA Insd) (AMT).............................. 5.500 11/01/21 8,225,200
4,000 Dallas-Fort Worth, TX Intl Arpt Rev Ser A
(FGIC Insd) (AMT)............................. 5.750 11/01/30 4,015,360
650 Dallas-Fort Worth, TX Intl Arpt Rev Ser C
(MBIA Insd) (AMT)............................. 5.750 11/01/18 656,656
1,225 Dallas-Fort Worth, TX Intl Arpt Rev Ser C
(MBIA Insd) (AMT)............................. 6.000 11/01/23 1,238,279
4,850 El Paso Cnty, TX Hosp Dist Ser A
(AGL Insd) (a)................................ 5.000 08/15/37 4,872,892
2,200 Fort Bend, TX Indpt Sch Dist Rfdg & Sch Bldg
(PSF GTD) (a)................................. 5.000 08/15/27 2,285,998
2,000 Harris Cnty, TX Hlth Fac Dev Corp Hosp Rev Mem
Hermann Hlthcare Ser A (Prerefunded @
6/01/11)...................................... 6.375 06/01/29 2,225,880
2,000 Houston, TX Arpt Sys Rev Sub Lien (FSA
Insd)......................................... 5.500 07/01/20 2,135,820
10,000 Houston, TX Arpt Sys Rev Sub Lien Ser A (FSA
Insd) (AMT)................................... 5.125 07/01/32 9,669,800
3,000 Houston, TX Arpt Sys Rev Sub Lien Ser A (FSA
Insd) (AMT)................................... 5.625 07/01/30 3,024,390
5,000 Houston, TX Util Sys Rev First Lien Rfdg Ser A
(FSA Insd).................................... 5.250 05/15/21 5,334,350
7,825 Houston, TX Util Sys Rev Rfdg Comb First Lien
Ser A (FSA Insd).............................. 5.000 11/15/36 8,015,773
3,030 Judson, TX Indpt Sch Dist Sch Bldg (AGL
Insd)......................................... 5.000 02/01/37 3,079,177
680 Lower CO Riv Auth TX Transmission Contract Rev
LCRA Svc Corp Proj Rfdg (FGIC Insd)........... 5.000 05/15/33 678,055
1,250 Lufkin, TX Hlth Fac Dev Corp Hlth Sys Rev Mem
Hlth Sys East TX.............................. 5.500 02/15/37 1,140,850
22 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
TEXAS (CONTINUED)
$ 1,000 Matagorda Cnty, TX Nav Dist No 1 Rev Coll
Centerpoint Energy Proj Rfdg.................. 5.600% 03/01/27 $ 940,220
3,000 Metropolitan Hlth Fac Dev Corp TX Wilson N
Jones Mem Hosp Proj........................... 7.250 01/01/31 3,035,910
10,000 North Cent, TX Hlth Fac Dev Hosp Childrens Med
Ctr Dallas (AMBAC Insd)....................... 5.250 08/15/32 10,128,100
1,000 North TX Twy Auth Rev Rfdg Sys
First Tier Ser A.............................. 5.625 01/01/33 1,020,470
1,000 North TX Twy Auth Rev Rfdg Sys
First Tier Ser B.............................. 5.625 01/01/28 1,034,200
1,000 North TX Twy Auth Rev Rfdg Sys
First Tier Ser B.............................. 6.000 01/01/26 1,074,270
1,000 North TX Twy Auth Rev Rfdg Sys
First Tier Ser B.............................. 6.000 01/01/27 1,067,950
400 Tarrant Cnty, TX Cultural Ed Fac Fin Corp
Retirement CC Young Mem
Hom Proj...................................... 5.750 02/15/25 362,552
1,000 Tarrant Cnty, TX Cultural Ed Fac Fin Corp
Retirement Fac Buckingham Sr Living
Cmnty Inc..................................... 5.625 11/15/27 877,860
2,600 Tarrant Cnty, TX Cultural Ed Fac Fin Corp
Retirement Fac Buckingham Sr Living
Cmnty Inc..................................... 5.750 11/15/37 2,260,024
4,000 Tarrant Cnty, TX Cultural Ed Fac Fin Corp
Retirement Fac Buckner Retirement Svc
Inc Proj...................................... 5.250 11/15/37 3,582,000
2,450 Tarrant Cnty, TX Hlth Fac Dev Corp Hosp Rev
Rfdg Cook Childrens Med Ctr Ser B
(FSA Insd).................................... 5.000 12/01/30 2,477,808
2,000 Texas St Dept Hsg & Cmnty Affairs Mtg Ser B
(GNMA Collaterized) (AMT)..................... 5.300 09/01/39 1,928,840
5,400 Texas St Trans Cmnty Mobility Fd (d).......... 5.000 04/01/28 5,627,124
2,750 Tyler, TX Hlth Fac Dev Corp Hosp Rev & Impt
East TX Med Ctr Rfdg Ser A.................... 5.375 11/01/37 2,417,635
-------------
100,599,062
-------------
UTAH 0.8%
2,380 Mountain Regl Wtr Spl Svc Dist Rfdg
(MBIA Insd)................................... 5.000 12/15/33 2,384,498
700 Utah St Charter Sch Fin Auth Channing Hal Ser
A (e)......................................... 6.000 07/15/37 639,114
730 Utah St Charter Sch Fin Auth Charter Sch Rev
Summit Academy Ser A.......................... 5.800 06/15/38 676,973
-------------
3,700,585
-------------
See Notes to Financial Statements 23
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
VIRGINIA 0.5%
$ 750 Peninsula Town Ctr Cmnty Dev Auth VA
Spl Oblig..................................... 6.350% 09/01/28 $ 701,685
1,500 White Oak Vlg Shops VA Cmnty Dev Auth Spl
Assmt Rev Special Assmt....................... 5.300 03/01/17 1,450,095
-------------
2,151,780
-------------
WASHINGTON 9.4%
9,850 Bellevue, WA Convention Ctr Auth Spl Oblig Rev
Comp Int Rfdg (MBIA Insd)..................... * 02/01/25 4,250,570
7,500 Chelan Cnty, WA Pub Util Dist No 001 Cons Rev
Chelan Hydro Ser A (MBIA Insd) (AMT).......... 5.600 01/01/36 7,529,775
5,000 Energy Northwest WA Elec Rev Columbia
Generating Rfdg Ser A (FSA Insd).............. 5.500 07/01/16 5,392,900
2,500 Energy Northwest WA Elec Rev Proj No 3 Rfdg
Ser A (FSA Insd).............................. 5.500 07/01/18 2,659,775
5,000 Energy Northwest WA Elec Rev Proj No 3 Rfdg
Ser B (FSA Insd).............................. 6.000 07/01/16 5,537,000
1,250 Kalispel Tribe Indians Priority Dist WA Rev... 6.625 01/01/28 1,196,325
2,000 Port Seattle, WA Rev Ser B (MBIA Insd)
(AMT)......................................... 5.625 02/01/24 2,015,980
2,120 Seattle, WA Muni Lt & Pwr Rev................. 5.625 12/01/17 2,255,574
1,250 Skagit Cnty, WA Pub Hosp Dist No 001 Rev
Skagit Vly Hosp............................... 5.750 12/01/28 1,240,988
3,000 Spokane, WA Pub Fac Dist Hotel Motel & Sales
Use Tax (MBIA Insd)........................... 5.250 09/01/33 3,060,930
4,750 Tacoma, WA Elec Sys Rev Rfdg Ser A
(FSA Insd).................................... 5.750 01/01/14 5,126,342
1,000 Washington St Hsg Fin Commn Nonprofit Rev
Skyline at First Hill Proj Ser A.............. 5.625 01/01/27 890,230
5,125 Washington St Pub Pwr Supply Sys Nuclear Proj
No 3 Rev Rfdg Ser C (MBIA Insd)............... * 07/01/14 4,055,515
-------------
45,211,904
-------------
WEST VIRGINIA 0.3%
500 Ohio Cnty, WV Cnty Commn Tax Increment Rev
Fort Henry Centre Fin Dist Ser A.............. 5.850 06/01/34 501,540
1,000 Pleasants Cnty, WV Pollutn Ctl Rev Cnty Comm
Allegheny Rfdg Ser F.......................... 5.250 10/15/37 951,140
-------------
1,452,680
-------------
24 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
--------------------------------------------------------------------------------------------
WISCONSIN 2.4%
$ 1,500 Southeast WI Professional Baseball Pk Dist
Sales Tax Rev Rfdg Ser A (MBIA Insd).......... 5.500% 12/15/20 $ 1,700,520
4,000 Wisconsin Hsg & Econ Dev Auth Home Ownership
Rev Ser A (d)................................. 4.800 03/01/38 3,575,440
2,800 Wisconsin St Hlth & Ed Fac Auth Rev Ministry
Hlth (FSA Insd)............................... 5.000 08/01/34 2,775,528
3,000 Wisconsin St Hlth & Ed Fac Wheaton Franciscan
Svc Rfdg (Prerefunded @ 2/15/12).............. 5.750 08/15/30 3,324,000
-------------
11,375,488
-------------
WYOMING 0.2%
1,000 University WY Univ Rev Fac Impt (FSA Insd).... 5.500 06/01/18 1,055,740
-------------
PUERTO RICO 2.5%
10,000 Puerto Rico Comwlth Hwy & Trans Auth Hwy Rev
Ser Y (FSA Insd) (d).......................... 6.250 07/01/21 11,811,550
-------------
TOTAL INVESTMENTS 211.4%
(Cost $1,026,695,592)..................................................... 1,016,457,125
LIABILITY FOR FLOATING RATE NOTE OBLIGATIONS RELATED TO SECURITIES HELD (33.4%)
(Cost ($160,513,000))
(160,513) Notes with interest rates ranging from 2.42%
to 5.00% at April 30, 2008 and collateral with
contractual maturities ranging from 2021 to
2041
(See note 1) (i)................................................ (160,513,000)
-------------
TOTAL NET INVESTMENTS 178.0%
(Cost $866,182,592)....................................................... 855,944,125
LIABILITIES IN EXCESS OF OTHER ASSETS (7.2%)............................... (34,753,402)
PREFERRED SHARES (INCLUDING ACCRUED DISTRIBUTIONS) (70.8%)................. (340,300,455)
-------------
NET ASSETS APPLICABLE TO COMMON SHARES 100.0%.............................. $ 480,890,268
=============
Percentages are calculated as a percentage of net assets applicable to common
shares.
* Zero coupon bond
(a) Security purchased on a when-issued or delayed delivery basis.
(b) Security includes a feature allowing the Trust an option on any interest
rate payment date to offer the security for sale at par. The sale is
contingent upon market conditions.
(c) Variable Rate Coupon
(d) Underlying security related to Inverse Floaters entered into by the Trust.
See Note 1.
See Notes to Financial Statements 25
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
PORTFOLIO OF INVESTMENTS -- APRIL 30, 2008 (UNAUDITED) continued
(e) 144A-Private Placement security which is exempt from registration under Rule
144A of the Securities Act of 1933, as amended. This security may only be
resold in transactions exempt from registration which are normally those
transactions with qualified institutional buyers.
(f) Escrowed to Maturity
(g) Security is restricted and may be resold only in transactions exempt from
registration which are normally those transactions with qualified
institutional buyers. Restricted securities comprise 0.2% of net assets
applicable to common shares.
(h) The Trust owns 100% of the outstanding bond issuance.
(i) Floating rate notes. The interest rates shown reflect the rates in effect at
April 30, 2008.
ACA--American Capital Access
AGC--AGC Insured Custody Certificates
AGL--Assured Guaranty Ltd.
AMBAC--AMBAC Indemnity Corp.
AMT--Alternative Minimum Tax
CIFG--CDC IXIS Financial Guaranty
FGIC--Financial Guaranty Insurance Co.
FHA--Federal Housing Administration
FNMA--Federal National Mortgage Association
FSA--Financial Security Assurance Inc.
GNMA--Government National Mortgage Association
MBIA--Municipal Bond Investors Assurance Corp.
PSF--Public School Fund
XLCA--XL Capital Assurance Inc.
26 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
FINANCIAL STATEMENTS
Statements of Assets and Liabilities
April 30, 2008 (Unaudited)
ASSETS:
Total Investments (Cost $1,026,695,592)..................... $1,016,457,125
Receivables:
Interest.................................................. 15,280,683
Investments Sold.......................................... 7,329,534
Other....................................................... 1,731
--------------
Total Assets............................................ 1,039,069,073
--------------
LIABILITIES:
Payables:
Floating Rate Note Obligations............................ 160,513,000
Investments Purchased..................................... 49,651,839
Custodian Bank............................................ 6,347,826
Investment Advisory Fee................................... 302,059
Income Distributions--Common Shares....................... 93,171
Trust Shares Repurchased.................................. 4,000
Other Affiliates.......................................... 30,989
Trustees' Deferred Compensation and Retirement Plans........ 785,649
Accrued Expenses............................................ 149,817
--------------
Total Liabilities....................................... 217,878,350
PREFERRED SHARES (INCLUDING ACCRUED DISTRIBUTIONS).......... 340,300,455
--------------
NET ASSETS APPLICABLE TO COMMON SHARES...................... $ 480,890,268
==============
NET ASSET VALUE PER COMMON SHARE ($480,890,268 divided by
33,682,579 shares outstanding)............................ $ 14.28
==============
NET ASSETS CONSIST OF:
Common Shares ($0.01 par value with an unlimited number of
shares authorized, 33,682,579 shares issued and
outstanding).............................................. $ 336,826
Paid in Surplus............................................. 501,189,937
Accumulated Undistributed Net Investment Income............. 3,449,006
Net Unrealized Depreciation................................. (10,238,467)
Accumulated Net Realized Loss............................... (13,847,034)
--------------
NET ASSETS APPLICABLE TO COMMON SHARES...................... $ 480,890,268
==============
PREFERRED SHARES ($0.01 par value, authorized 100,000,000
shares, 13,600 issued with liquidation preference of
$25,000 per share)........................................ $ 340,000,000
==============
NET ASSETS INCLUDING PREFERRED SHARES....................... $ 820,890,268
==============
See Notes to Financial Statements 27
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
FINANCIAL STATEMENTS continued
Statement of Operations
For the Six Months Ended April 30, 2008 (Unaudited)
INVESTMENT INCOME:
Interest.................................................... $ 25,932,121
------------
EXPENSES:
Investment Advisory Fee..................................... 2,292,667
Interest and Residual Trust Expenses........................ 1,984,781
Preferred Share Maintenance................................. 453,279
Accounting and Administrative Expenses...................... 76,112
Professional Fees........................................... 63,476
Reports to Shareholders..................................... 32,499
Custody..................................................... 29,292
Transfer Agent Fees......................................... 20,328
Registration Fees........................................... 13,432
Trustees' Fees and Related Expenses......................... 9,525
Depreciation in Trustees' Deferred Compensation Accounts.... (80,912)
Other....................................................... 16,963
------------
Total Expenses.......................................... 4,911,442
Investment Advisory Fee Reduction....................... 416,848
------------
Net Expenses............................................ 4,494,594
------------
NET INVESTMENT INCOME....................................... $ 21,437,527
============
REALIZED AND UNREALIZED GAIN/LOSS:
Realized Gain/Loss:
Investments............................................... $ (5,043,225)
Futures................................................... (6,036,205)
------------
Net Realized Loss........................................... (11,079,430)
------------
Unrealized Appreciation/Depreciation:
Beginning of the Period................................... 20,391,188
End of the Period......................................... (10,238,467)
------------
NET UNREALIZED DEPRECIATION DURING THE PERIOD............... (30,629,655)
------------
NET REALIZED AND UNREALIZED LOSS............................ (41,709,085)
------------
DISTRIBUTIONS TO PREFERRED SHAREHOLDERS..................... $ (6,146,185)
============
NET DECREASE IN NET ASSETS APPLICABLE TO COMMON SHARES FROM
OPERATIONS................................................ $(26,417,743)
============
28 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
FINANCIAL STATEMENTS continued
Statements of Changes in Net Assets (Unaudited)
FOR THE FOR THE
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 2008 OCTOBER 31, 2007
------------------------------------
FROM INVESTMENT ACTIVITIES:
Operations:
Net Investment Income................................... $ 21,437,527 $ 40,069,070
Net Realized Loss....................................... (11,079,430) (2,657,204)
Net Unrealized Depreciation During the Period........... (30,629,655) (37,544,159)
Distributions to Preferred Shareholders:
Net Investment Income................................. (6,146,185) (12,656,912)
------------ ------------
Change in Net Assets Applicable to Common Shares from
Operations............................................ (26,417,743) (12,789,205)
Distributions to Common Shareholders:
Net Investment Income................................. (13,686,303) (26,719,347)
------------ ------------
NET CHANGE IN NET ASSETS APPLICABLE TO COMMON SHARES
FROM INVESTMENT ACTIVITIES............................ (40,104,046) (39,508,552)
------------ ------------
FROM CAPITAL TRANSACTIONS:
Value of Common Shares Issued Through Dividend
Reinvestment.......................................... 93,670 -0-
Repurchase of Shares.................................... (3,961,678) (3,167,636)
------------ ------------
NET CHANGE IN NET ASSETS APPLICABLE TO COMMON SHARES
FROM CAPITAL TRANSACTIONS............................. (3,868,008) (3,167,636)
------------ ------------
TOTAL DECREASE IN NET ASSETS APPLICABLE TO COMMON
SHARES................................................ (43,972,054) (42,676,188)
NET ASSETS APPLICABLE TO COMMON SHARES:
Beginning of the Period................................. 524,862,322 567,538,510
------------ ------------
End of the Period (Including accumulated undistributed
net investment income of $3,449,006 and $1,843,967,
respectively)......................................... $480,890,268 $524,862,322
============ ============
See Notes to Financial Statements 29
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
FINANCIAL STATEMENTS continued
Statement of Cash Flows
For the Six Months Ended April 30, 2008 (Unaudited)
CHANGE IN NET ASSETS FROM OPERATIONS (INCLUDING PREFERRED
SHARE DISTRIBUTIONS)...................................... $ (26,417,743)
--------------
Adjustments to Reconcile the Change in Net Assets from
Operations to Net Cash Provided by Operating Activities:
Purchases of Investments.................................. (355,756,306)
Proceeds from Sales of Investments........................ 310,158,417
Amortization of Premium................................... 650,018
Accretion of Discount..................................... (521,270)
Net Realized Loss on Investments.......................... 5,043,225
Net Change in Unrealized Depreciation on Investments...... 30,957,540
Decrease in Variation Margin on Futures................... 890,000
Increase in Interest Receivables and Other Assets......... (1,002,270)
Increase in Receivable for Investments Sold............... (4,921,887)
Decrease in Accrued Expenses and Other Payables........... (140,483)
Increase in Investments Purchased Payable................. 41,505,087
Increase in Custodian Bank Payable........................ 2,480,893
--------------
Total Adjustments....................................... 29,342,964
--------------
NET CASH PROVIDED BY OPERATING ACTIVITIES................... 2,925,221
--------------
CASH FLOWS FROM FINANCING ACTIVITIES
Repurchased Shares........................................ (4,238,562)
Dividends Paid (Net of reinvested dividends of $93,670)... (13,776,659)
Proceeds from and Repayments of Floating Rate Note
Obligations............................................. 15,090,000
--------------
NET CASH USED FOR FINANCING ACTIVITIES...................... (2,925,221)
--------------
NET DECREASE IN CASH........................................ --
Cash at the Beginning of the Period......................... --
--------------
CASH AT THE END OF THE PERIOD............................... $ --
==============
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash Paid During the Period for Interest.................. $ 1,984,781
==============
30 See Notes to Financial Statements
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
FINANCIAL HIGHLIGHTS (UNAUDITED)
THE FOLLOWING SCHEDULE PRESENTS FINANCIAL HIGHLIGHTS FOR ONE COMMON SHARE OF THE
TRUST OUTSTANDING THROUGHOUT THE PERIODS INDICATED.
SIX
MONTHS
ENDED YEAR ENDED OCTOBER 31,
APRIL 30, ---------------------------------------------------
2008 2007 2006 2005 2004 2003
----------------------------------------------------------------
NET ASSET VALUE, BEGINNING OF THE PERIOD.......... $ 15.46 $ 16.61 $ 16.52 $ 16.89 $ 17.02 $ 17.48
------- ------- ------- ------- ------- -------
Net Investment Income............................ 0.64(a) 1.17(a) 1.11(a) 1.12 1.13 1.19
Net Realized and Unrealized Gain/Loss............ (1.23) (1.17) 0.49 (0.33) 0.23 0.09
Common Share Equivalent of Distributions Paid to
Preferred Shareholders:
Net Investment Income.......................... (0.18) (0.37) (0.31) (0.22) (0.10) (0.08)
Net Realized Gain.............................. -0- -0- (0.04) -0- (0.02) (0.04)
------- ------- ------- ------- ------- -------
Total from Investment Operations.................. (0.77) (0.37) 1.25 0.57 1.24 1.16
Distributions Paid to Common Shareholders:
Net Investment Income.......................... (0.41) (0.78) (0.81) (0.94) (1.08) (1.16)
Net Realized Gain.............................. -0- -0- (0.35) -0- (0.29) (0.46)
------- ------- ------- ------- ------- -------
NET ASSET VALUE, END OF THE PERIOD................ $ 14.28 $ 15.46 $ 16.61 $ 16.52 $ 16.89 $ 17.02
======= ======= ======= ======= ======= =======
Common Share Market Price at End of the Period.... $ 14.14 $ 14.30 $ 14.70 $ 14.35 $ 15.20 $ 16.65
Total Return (b).................................. 1.76%** 2.40% 10.76% 0.55% -0.60% 14.53%
Net Assets Applicable to Common Shares at End of
the Period (In millions)......................... $ 480.9 $ 524.9 $ 567.5 $ 253.7 $ 259.4 $ 261.3
Ratio of Expenses to Average Net Assets Applicable
to Common Shares (c)............................. 1.81% 2.03% 1.36% 1.18% 1.30% 1.28%
Ratio of Net Investment Income to Average Net
Assets Applicable to Common Shares (c)........... 8.65% 7.30% 6.86% 6.67% 6.74% 6.90%
Portfolio Turnover................................ 31%** 23% 20% 32% 28% 36%
* If certain expenses had not been voluntarily assumed by Van Kampen, total return would have been lower and the
ratios would have been as follows:
Ratio of Expenses to Average Net Assets
Applicable to Common Shares................... 1.98% 2.18% N/A N/A N/A N/A
Ratio of Net Investment Income to Average Net
Assets Applicable to Common Shares............ 8.48% 7.15% N/A N/A N/A N/A
SUPPLEMENTAL RATIOS:
Ratio of Expenses (Excluding Interest and Residual
Trust Expenses) to Average Net Assets Applicable
to Common Shares (c)............................. 1.01% 1.03% 1.25% 1.18% 1.30% 1.28%
Ratio of Expenses (Excluding Interest and Residual
Trust Expenses) to Average Net Assets Applicable
including Preferred Shares (c)................... 0.60% 0.63% 0.78% 0.75% 0.82% 0.81%
Ratio of Net Investment Income to Average Net
Assets Applicable to Common Shares (d)........... 6.17% 4.99% 4.92% 5.37% 6.15% 6.43%
SENIOR SECURITIES:
Total Preferred Shares Outstanding................ 13,600 13,600 13,600 6,000 6,000 6,000
Asset Coverage Per Preferred Share (e)............ $60,382 $63,629 $66,761 $67,307 $68,253 $68,560
Involuntary Liquidating Preference Per Preferred
Share............................................ $25,000 $25,000 $25,000 $25,000 $25,000 $25,000
Average Market Value Per Preferred Share.......... $25,000 $25,000 $25,000 $25,000 $25,000 $25,000
** Non-Annualized
(a) Based on average shares outstanding.
(b) Total return assumes an investment at the common share market price at the
beginning of the period indicated, reinvestment of all distributions for the
period in accordance with the Trust's dividend reinvestment plan, and sale
of all shares at the closing common share market price at the end of the
period indicated.
(c) Ratios do not reflect the effect of dividend payments to preferred
shareholders.
(d) Ratios reflect the effect of dividend payments to preferred shareholders.
(e) Calculated by subtracting the Trust's total liabilities (not including the
preferred shares) from the Trust's total assets and dividing this by the
number of preferred shares outstanding.
See Notes to Financial Statements 31
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED)
1. SIGNIFICANT ACCOUNTING POLICIES
Van Kampen Municipal Opportunity Trust (the "Trust") is registered as a
diversified, closed-end management investment company under the Investment
Company Act of 1940 (the "1940 Act"), as amended. The Trust's investment
objective is to provide a high level of current income exempt from federal
income tax, consistent with preservation of capital. The Trust commenced
investment operations on April 24, 1992.
The following is a summary of significant accounting policies consistently
followed by the Trust in the preparation of its financial statements. The
preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those estimates.
A. SECURITY VALUATION Municipal bonds are valued by independent pricing services
or dealers using the mean of the last reported bid and asked prices or, in the
absence of market quotations, at fair value based upon yield data relating to
municipal bonds with similar characteristics and general market conditions.
Securities which are not valued by independent pricing services or dealers are
valued at fair value using procedures established in good faith by the Board of
Trustees. Futures contracts are valued at the settlement price established each
day on the exchange on which they are traded. Swaps are valued using market
quotations obtained from brokers. Short-term securities with remaining
maturities of 60 days or less are valued at amortized cost, which approximates
market value.
B. SECURITY TRANSACTIONS Security transactions are recorded on a trade date
basis. Realized gains and losses are determined on an identified cost basis. The
Trust may purchase and sell securities on a "when-issued" or "delayed delivery"
basis, with settlement to occur at a later date. The value of the security so
purchased is subject to market fluctuations during this period. The Trust will
segregate assets with the custodian having an aggregate value at least equal to
the amount of the when-issued or delayed delivery purchase commitments until
payment is made. At April 30, 2008, the Trust had $36,213,486 of when-issued or
delayed delivery purchase commitments.
C. INVESTMENT INCOME Interest income is recorded on an accrual basis. Bond
premium is amortized and discount is accreted over the expected life of each
applicable security.
D. FEDERAL INCOME TAXES It is the Trust's policy to comply with the requirements
of Subchapter M of the Internal Revenue Code applicable to regulated investment
companies and to distribute substantially all of its taxable income to its
shareholders. Therefore, no provision for federal income taxes is required. The
Trust adopted the provisions of the Financial Accounting Standards Board
("FASB") Interpretation No. 48 ("FIN 48") Accounting for Uncertainty in Income
Taxes on April 30, 2008. FIN 48 sets forth a minimum threshold for financial
statement recognition of the benefit of a tax position taken or expected to be
taken in a tax return. The implementation of FIN 48 did not result in any
unrecognized tax benefits in the accompanying financial statements. If
applicable, the Trust recognizes interest accrued related to unrecognized tax
benefits in "Interest Expense" and penalties in "Other"
32
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
expenses on the Statement of Operations. The Trust files tax returns with the
U.S. Internal Revenue Service and various states. Generally, each of the tax
years in the four year period ended October 31, 2007, remains subject to
examination by taxing authorities. The Trust intends to utilize provisions of
the federal income tax laws which allow it to carry a realized capital loss
forward for eight years following the year of the loss and offset these losses
against any future realized capital gains.
At October 31, 2007, the Trust had an accumulated capital loss carryforward
for tax purposes of $4,964,859 which will expire according to the following
schedule:
AMOUNT EXPIRATION
$577,984.................................................... October 31, 2013
1,179,918................................................... October 31, 2014
3,206,957................................................... October 31, 2015
Part of the capital loss carryforward above was acquired due to a merger
with another regulated investment company.
At April 30, 2008, the cost and related gross unrealized appreciation and
depreciation are as follows:
Cost of investments for tax purposes........................ $855,976,780
============
Gross tax unrealized appreciation........................... $ 27,367,154
Gross tax unrealized depreciation........................... (27,399,809)
------------
Net tax unrealized depreciation on investments.............. $ (32,655)
============
E. DISTRIBUTION OF INCOME AND GAINS The Trust declares and pays monthly
dividends from net investment income to common shareholders. Net realized gains,
if any, are distributed annually on a pro rata basis to common and preferred
shareholders. Distributions from net realized gains for book purposes may
include short-term capital gains and a portion of futures, which are included as
ordinary income for tax purposes.
The tax character of distributions paid during the year ended October 31,
2007 was as follows:
Distributions paid from:
Ordinary income........................................... $ 1,380
Tax exempt income......................................... 39,305,813
-----------
$39,307,193
===========
As of October 31, 2007, the components of distributable earnings on a tax
basis were as follows:
Undistributed ordinary income............................... $ 1,325
Undistributed tax-exempt income............................. 2,233,162
Net realized gains or losses may differ for financial reporting and tax
purposes primarily as a result of gains or losses recognized on securities for
tax purposes but not for book.
33
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
F. FLOATING RATE NOTE OBLIGATIONS RELATED TO SECURITIES HELD The Trust enters
into transactions in which it transfers to dealer trusts fixed rate bonds in
exchange for cash and residual interest in the dealer trusts' assets and cash
flows, which are in the form of inverse floating rate investments. The dealer
trusts fund the purchases of the fixed rate bonds by issuing floating rate notes
to third parties and allowing the Trust to retain residual interests in the
bonds. The Trust enters into shortfall agreements with the dealer trusts, which
commit the Trust to pay the dealer trusts, in certain circumstances, the
difference between the liquidation value of the fixed rate bonds held by the
dealer trusts and the liquidation value of the floating rate notes held by third
parties, as well as any shortfalls in interest cash flows. The residual
interests held by the Trust (inverse floating rate investments) include the
right of the Trust (1) to cause the holders of the floating rate notes to tender
their notes at par at the next interest rate reset date, and (2) to transfer the
municipal bond from the dealer trusts to the Trust, thereby collapsing the
dealer trusts. The Trust accounts for the transfer of bonds to the dealer trusts
as secured borrowings, with the securities transferred remaining in the Trust's
investments assets, and the related floating rate notes reflected as Trust
liabilities under the caption "Floating Rate Note Obligations" on the Statement
of Assets and Liabilities. The Trust records the interest income from the fixed
rate bonds under the caption "Interest" and records the expenses related to
floating rate note obligations and any administrative expenses of the dealer
trusts under the caption "Interest and Residual Trust Expenses" on the Trust's
Statement of Operations. The notes issued by the dealer trust have interest
rates that reset weekly and the floating rate note holders have the option to
tender their notes to the dealer trusts for redemption at par at each reset
date. At April 30, 2008, Trust investments with a value of $223,358,706 are held
by the dealer trusts and serve as collateral for the $160,513,000 in floating
rate notes outstanding at that date. Contractual maturities of the floating rate
notes and interest rates in effect at April 30, 2008 are presented on the
Portfolio of Investments. The average floating rate notes outstanding and
average annual interest and fee rate related to residual interests during the
six months ended April 30, 2008 were $157,107,286 and 2.54%, respectively.
2. INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES
Under the terms of the Trust's Investment Advisory Agreement, Van Kampen Asset
Management (the "Adviser") will provide investment advice and facilities to the
Trust for an annual fee payable monthly of .55% of the average daily net assets
including preferred shares of the Trust. The Adviser has agreed to waive
investment advisory fees equal to .10% of the average daily net assets including
preferred shares of the Trust. For the six months ended April 30, 2008, the
Adviser waived $416,848 of its advisory fees. This waiver is voluntary and can
be discounted at any time.
For the six months ended April 30, 2008, the Trust recognized expenses of
approximately $22,900 representing legal services provided by Skadden, Arps,
Slate, Meagher & Flom LLP, of which a Trustee of the Trust is a partner of such
firm and he and his law firm provide legal services as legal counsel to the
Trust.
Under separate Legal Services, Accounting Services and Chief Compliance
Officer (CCO) Employment agreements, the Adviser provides accounting and legal
services and the CCO provides compliance services to the Trust. The costs of
these services are allocated to each trust. For the six months ended April 30,
2008, the Trust recognized expenses of approximately $44,900 representing Van
Kampen Investments Inc.'s or its affiliates'
34
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
(collectively "Van Kampen") cost of providing accounting and legal services to
the Trust, as well as, the salary, benefits and related costs of the CCO and
related support staff paid by Van Kampen. Services provided pursuant to the
Legal Services agreement are reported as part of "Professional Fees" on the
Statement of Operations. Services provided pursuant to the Accounting Services
and CCO Employment agreement are reported as part of "Accounting and
Administrative Expenses" on the Statement of Operations.
Certain officers and trustees of the Trust are also officers and directors
of Van Kampen. The Trust does not compensate its officers or trustees who are
also officers of Van Kampen.
The Trust provides deferred compensation and retirement plans for its
trustees who are not officers of Van Kampen. Under the deferred compensation
plan, trustees may elect to defer all or a portion of their compensation to a
later date. Benefits under the retirement plan are payable upon retirement for a
ten-year period and are based upon each trustee's years of service to the Trust.
The maximum annual benefit per trustee under the plan is $2,500.
3. CAPITAL TRANSACTIONS
For the six months ended April 30, 2008 and the year ended October 31, 2007,
transactions in common shares were as follows:
SIX MONTHS ENDED YEAR ENDED
APRIL 30, 2008 OCTOBER 31, 2007
Beginning Shares....................................... 33,957,237 34,172,537
Shares Issued Through Dividend Reinvestment............ 7,107 -0-
Shares Repurchased *................................... (281,765) (215,300)
---------- ----------
Ending Shares.......................................... 33,682,579 33,957,237
========== ==========
* On February 28, 2007, the Trust commenced a share repurchase program for
purposes of enhancing stockholder value and reducing the discount at which
the Trust's shares trade from their net asset value. For the six months
ended April 30, 2008 and the year ended October 31, 2007, the Trust
repurchased 281,765 and 215,300 of its shares, respectively, at an average
discount of 6.91% and 6.59%, respectively, from net asset value per share.
The Trust expects to continue to repurchase its outstanding shares at such
time and in such amounts as it believes such activity will further the
accomplishment of the foregoing objectives, subject to review of the
Trustees.
4. INVESTMENT TRANSACTIONS
During the period, the cost of purchases and proceeds from sales of investments,
excluding short-term investments, were $355,756,306 and $310,158,417,
respectively.
5. DERIVATIVE FINANCIAL INSTRUMENTS
A derivative financial instrument in very general terms refers to a security
whose value is "derived" from the value of an underlying asset, reference rate
or index.
In order to seek to manage the interest rate exposure of the Trust's
portfolio in a changing interest rate environment, the Trust may purchase or
sell financial futures contracts or engage in transactions involving interest
rate swaps, caps, floors or collars. The Trust expects to enter into these
transactions primarily as a hedge against anticipated interest rate or fixed
income market changes, for duration management or for risk management purposes,
but may also enter into these transactions to generate additional income. All of
the Trust's
35
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
portfolio holdings, including derivative instruments, are marked to market each
day with the change in value reflected in the unrealized
appreciation/depreciation. Upon disposition, a realized gain or loss is
recognized accordingly, except when taking delivery of a security underlying a
futures contract. In these instances, the recognition of gain or loss is
postponed until the disposal of the security underlying the futures contract.
Risks may arise as a result of the potential inability of the counterparties to
meet the terms of their contracts.
Summarized below are the specific types of derivative financial instruments
used by the Trust.
A. FUTURES CONTRACTS A futures contract is an agreement involving the delivery
of a particular asset on a specified future date at an agreed upon price. The
Trust generally invests in exchange traded futures contracts on U.S. Treasury
securities and typically closes the contract prior to the delivery date. These
contracts are generally used to manage the Trust's effective maturity and
duration. Upon entering into futures contracts, the Trust maintains an amount of
cash or liquid securities with a value equal to a percentage of the contract
amount with either a futures commission merchant pursuant to the rules and
regulations promulgated under the 1940 Act, as amended, or with its custodian in
an account in the broker's name. This amount is known as initial margin. During
the period the futures contract is open, payments are received from or made to
the broker based upon changes in the value of the contract (the variation
margin). The risk of loss associated with a futures contract is in excess of the
variation margin reflected on the Statement of Assets and Liabilities.
Transactions in futures contracts for the six months ended April 30, 2008
were as follows:
CONTRACTS
Outstanding at October 31, 2007............................. 890
Futures Opened.............................................. 927
Futures Closed.............................................. (1,817)
------
Outstanding at April 30, 2008............................... -0-
======
B. INVERSE FLOATING RATE SECURITIES The Trust may invest a portion of its assets
in inverse floating rate instruments, either through outright purchases of
inverse floating rate securities or through the transfer of bonds to a dealer
trust in exchange for cash and residual interests in the dealer trust. These
investments are typically used by the Trust in seeking to enhance the yield of
the portfolio. These instruments typically involve greater risks than a fixed
rate municipal bond. In particular, these instruments are acquired through
leverage or may have leverage embedded in them and therefore involve many of the
risks associated with leverage. Leverage is a speculative technique that may
expose the Trust to greater risk and increased costs. Leverage may cause the
Trust's net asset value to be more volatile than if it had not been leveraged
because leverage tends to magnify the effect of any increases or decreases in
the value of the Trust's portfolio securities. The use of leverage may also
cause the Trust to liquidate portfolio positions when it may not be advantageous
to do so in order to satisfy its obligations with respect to inverse floating
rate instruments.
36
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
C. INTEREST RATE SWAPS The Trust may enter into forward interest rate swap
transactions intended to help the Trust manage its overall interest rate
sensitivity, either shorter or longer, generally to more closely align the
Trust's interest rate sensitivity with that of the broader municipal market.
Forward interest rate swap transactions involve the Trust's agreement with a
counterparty to pay, in the future, a fixed or variable rate payment in exchange
for the counterparty paying the Trust a variable or fixed rate payment, the
accruals for which would begin at a specified date in the future (the "effective
date"). The amount of the payment obligation is based on the notional amount of
the forward swap contract and the termination date of the swap (which is akin to
a bond's maturity). The value of the Trust's swap commitment would increase or
decrease based primarily on the extent to which long-term interest rates for
bonds having a maturity of the swap's termination date increases or decreases.
The Trust may terminate a swap contract prior to the effective date, at which
point a realized gain or loss is 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. The Trust
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
Trust upon termination. To reduce such credit risk, all counterparties are
required to pledge collateral daily (based on the daily valuation of each swap)
on behalf of the Trust with a value approximately equal to the amount of any
unrealized gain. Reciprocally, when the Trust has an unrealized loss on a swap
contract, the Trust has instructed the custodian to pledge cash or liquid
securities as collateral with a value approximately equal to the amount of the
unrealized loss. Collateral pledges are monitored and subsequently adjusted if
and when the swap valuations fluctuate. Restricted cash for segregating purposes
is shown on the Statement of Assets and Liabilities. Risks may arise as a result
of the potential inability of the counterparties to meet the terms of their
contracts. If there is a default by the counterparty, the Trust will have
contractual remedies pursuant to the agreements related to the transaction.
6. PREFERRED SHARES
The Trust has outstanding 13,600 Auction Preferred Shares (APS). Series A and B
contain 3,000 shares, Series C, D and E contain 2,000 shares, and Series F
contains 1,600 shares. Dividends are cumulative and the dividend rate on each
series is currently reset every 28 days through an auction process. Beginning on
February 14, 2008 and continuing through April 30, 2008, all series of preferred
shares of the Trust were not successfully remarketed. As a result, the dividend
rates of these preferred shares were reset to the maximum applicable rate on
APS. The average rate in effect on April 30, 2008 was 2.920%. During the six
months ended April 30, 2008, the rates ranged from 2.602% to 4.800%.
The Trust pays annual fees equivalent to .25% of the preferred share
liquidation value for the remarketing efforts associated with the preferred
auctions. These fees are included as a component of "Preferred Share
Maintenance" expense on the Statement of Operations.
The APS are redeemable at the option of the Trust in whole or in part at the
liquidation value of $25,000 per share plus accumulated and unpaid dividends.
The Trust is subject to certain asset coverage tests and the APS are subject to
mandatory redemption if the tests are not met.
37
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
NOTES TO FINANCIAL STATEMENTS -- APRIL 30, 2008 (UNAUDITED) continued
7. INDEMNIFICATIONS
The Trust enters into contracts that contain a variety of indemnifications. The
Trust's maximum exposure under these arrangements is unknown. However, the Trust
has not had prior claims or losses pursuant to these contracts and expects the
risk of loss to be remote.
8. ACCOUNTING PRONOUNCEMENTS
In September 2006, Statement of Financial Accounting Standards No. 157, Fair
Value Measurements (SFAS 157), was issued and is effective for fiscal years
beginning after November 15, 2007. SFAS 157 defines fair value, establishes a
framework for measuring fair value and expands disclosures about fair value
measurements. As of April 30, 2008, the Adviser does not believe the adoption of
SFAS 157 will impact the amounts reported in the financial statements, however,
additional disclosures will be required about the inputs used to develop the
measurements of fair value and the effect of certain measurements reported on
the Statement of Operations for a fiscal period.
On March 19, 2008, Financial Accounting Standards Board released Statement
of Financial Accounting Standards No. 161, Disclosures about Derivative
Instruments and Hedging Activities (SFAS 161). SFAS 161 requires qualitative
disclosures about objectives and strategies for using derivatives, quantitative
disclosures about fair value amounts of and gains and losses on derivative
instruments, and disclosures about credit-risk-related contingent features in
derivative agreements. The application of SFAS 161 is required for fiscal years
and interim periods beginning after November 15, 2008. At this time, management
is evaluating the implications of SFAS 161 and its impact on the financial
statements has not yet been determined.
9. SUBSEQUENT EVENT
On June 13, 2008, the Trust announced plans for the partial redemption of its
preferred shares. The Trust intends to redeem 20% of each of its Series per the
table below. The Board of Trustees previously approved the use of tender option
bonds as a replacement source of funding. The Depository Trust Company, the
securities' holder of record, will determine how the partial series redemptions
will be allocated among each participant broker-dealer account.
SERIES DATE
A........................................................... July 21, 2008
B........................................................... July 16, 2008
C........................................................... July 30, 2008
D........................................................... July 16, 2008
E........................................................... July 25, 2008
F........................................................... July 30, 2008
38
VAN KAMPEN MUNICIPAL OPPORTUNITY TRUST
BOARD OF TRUSTEES, OFFICERS AND IMPORTANT ADDRESSES
BOARD OF TRUSTEES
DAVID C. ARCH
JERRY D. CHOATE
ROD DAMMEYER
LINDA HUTTON HEAGY
R. CRAIG KENNEDY
HOWARD J KERR
JACK E. NELSON
HUGO F. SONNENSCHEIN
WAYNE W. WHALEN* - Chairman
SUZANNE H. WOOLSEY
OFFICERS
JERRY W. MILLER
President and Principal Executive Officer
DENNIS SHEA
Vice President
KEVIN KLINGERT
Vice President
AMY R. DOBERMAN
Vice President
STEFANIE V. CHANG
Vice President and Secretary
JOHN L. SULLIVAN
Chief Compliance Officer
STUART N. SCHULDT
Chief Financial Officer and Treasurer
INVESTMENT ADVISER
VAN KAMPEN ASSET MANAGEMENT
522 Fifth Avenue
New York, New York 10036
CUSTODIAN
STATE STREET BANK
AND TRUST COMPANY
One Lincoln Street
Boston, Massachusetts 02111
TRANSFER AGENT
COMPUTERSHARE TRUST COMPANY, N.A.
C/O COMPUTERSHARE INVESTOR SERVICES
P.O. Box 43078
Providence, Rhode Island 02940-3078
LEGAL COUNSEL
SKADDEN, ARPS, SLATE,
MEAGHER & FLOM LLP
333 West Wacker Drive
Chicago, Illinois 60606
INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
DELOITTE & TOUCHE LLP
111 South Wacker Drive
Chicago, Illinois 60606-4301
* "Interested persons" of the Trust, as defined in the investment Company Act
of 1940, as amended.
39
Van Kampen Municipal Opportunity Trust
An Important Notice Concerning Our U.S. Privacy Policy
We are required by federal law to provide you with a copy of our Privacy
Policy annually.
The following Policy applies to current and former individual clients of Van
Kampen Investments Inc., Van Kampen Asset Management, Van Kampen Advisors
Inc., Van Kampen Funds Inc., Van Kampen Investor Services Inc. and Van
Kampen Exchange Corp., as well as current and former individual investors in
Van Kampen mutual funds, unit investment trusts, and related companies.
This Policy is not applicable to partnerships, corporations, trusts or other
non-individual clients or account holders, nor is this Policy applicable to
individuals who are either beneficiaries of a trust for which we serve as
trustee or participants in an employee benefit plan administered or advised
by us. This Policy is, however, applicable to individuals who select us to
be a custodian of securities or assets in individual retirement accounts,
401(k) accounts, 529 Educational Savings Accounts, accounts subject to the
Uniform Gifts to Minors Act, or similar accounts.
Please note that we may amend this Policy at any time, and will inform you
of any changes to this Policy as required by law.
WE RESPECT YOUR PRIVACY
We appreciate that you have provided us with your personal financial
information. We strive to maintain the privacy of such information while we
help you achieve your financial objectives. This Policy describes what
non-public personal information we collect about you, why we collect it, and
when we may share it with others.
We hope this Policy will help you understand how we collect and share
non-public personal information that we gather about you. Throughout this
Policy, we refer to the non-public information that personally identifies
you or your accounts as "personal information."
1. WHAT PERSONAL INFORMATION DO WE COLLECT ABOUT YOU?
To serve you better and manage our business, it is important that we collect
and maintain accurate information about you. We may obtain this information
from applications and other forms you submit to us, from your dealings with
us, from consumer reporting agencies, from our Web sites and from third
parties and other sources.
(continued on next page)
Van Kampen Municipal Opportunity Trust
An Important Notice Concerning Our U.S. Privacy Policy continued
For example:
-- We may collect information such as your name, address, e-mail address,
telephone/fax numbers, assets, income and investment objectives through
applications and other forms you submit to us.
-- We may obtain information about account balances, your use of
account(s) and the types of products and services you prefer to receive
from us through your dealings and transactions with us and other
sources.
-- We may obtain information about your creditworthiness and credit
history from consumer reporting agencies.
-- We may collect background information from and through third-party
vendors to verify representations you have made and to comply with
various regulatory requirements.
-- If you interact with us through our public and private Web sites, we
may collect information that you provide directly through online
communications (such as an e-mail address). We may also collect
information about your Internet service provider, your domain name,
your computer's operating system and Web browser, your use of our Web
sites and your product and service preferences, through the use of
"cookies." "Cookies" recognize your computer each time you return to
one of our sites, and help to improve our sites' content and
personalize your experience on our sites by, for example, suggesting
offerings that may interest you. Please consult the Terms of Use of
these sites for more details on our use of cookies.
2. WHEN DO WE DISCLOSE PERSONAL INFORMATION WE COLLECT ABOUT YOU?
To provide you with the products and services you request, to serve you
better and to manage our business, we may disclose personal information we
collect about you to our affiliated companies and to non-affiliated third
parties as required or permitted by law.
A. INFORMATION WE DISCLOSE TO OUR AFFILIATED COMPANIES. We do not disclose
personal information that we collect about you to our affiliated companies
except to enable them to provide services on our behalf or as otherwise
required or permitted by law.
B. INFORMATION WE DISCLOSE TO THIRD PARTIES. We do not disclose personal
information that we collect about you to non-affiliated third parties except
to enable them to provide services on our behalf, to perform joint marketing
agreements with
(continued on back)
Van Kampen Municipal Opportunity Trust
An Important Notice Concerning Our U.S. Privacy Policy continued
other financial institutions, or as otherwise required or permitted by law.
For example, some instances where we may disclose information about you to
non-affiliated third parties include: for servicing and processing
transactions, to offer our own products and services, to protect against
fraud, for institutional risk control, to respond to judicial process or to
perform services on our behalf. When we share personal information with
these companies, they are required to limit their use of personal
information to the particular purpose for which it was shared and they are
not allowed to share personal information with others except to fulfill that
limited purpose.
3. HOW DO WE PROTECT THE SECURITY AND CONFIDENTIALITY OF PERSONAL
INFORMATION WE COLLECT ABOUT YOU?
We maintain physical, electronic and procedural security measures to help
safeguard the personal information we collect about you. We have internal
policies governing the proper handling of client information. Third parties
that provide support or marketing services on our behalf may also receive
personal information, and we require them to adhere to confidentiality
standards with respect to such information.
Van Kampen Funds Inc.
522 Fifth Avenue
New York, New York 10036
www.vankampen.com
Copyright (C)2008 Van Kampen Funds Inc.
All rights reserved. Member FINRA/SIPC.
VMOSAN 6/08
(VAN KAMPEN INVESTMENTS LOGO) IU08-03230P-Y04/08
Item 2. Code of Ethics.
Not applicable for semi-annual reports.
Item 3. Audit Committee Financial Expert.
Not applicable for semi-annual reports.
Item 4. Principal Accountant Fees and Services.
Not applicable for semi-annual reports.
Item 5. Audit Committee of Listed Registrants.
Not applicable for semi-annual reports.
Item 6. Schedule of Investments.
Please refer to Item #1.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies.
Not applicable for semi-annual reports.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable for semi-annual reports.
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.
Not applicable.
Item 11. Controls and Procedures
(a) The Trust's principal executive officer and principal financial officer have
concluded that the Trust's disclosure controls and procedures are sufficient to
ensure that information required to be disclosed by the Trust in this Form
N-CSRS was recorded, processed, summarized and reported within the time periods
specified in the Securities and Exchange Commission's rules and forms, based
upon such officers' evaluation of these controls and procedures as of a date
within 90 days of the filing date of the report.
(b) There were no changes in the registrant's internal control over financial
reporting 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.
(1) Code of Ethics -- Not applicable for semi-annual reports.
(2)(a) A certification for the Principal Executive Officer of the registrant is
attached hereto as part of EX-99.CERT.
(2)(b) A certification for the Principal Financial Officer of the registrant is
attached hereto as part of EX-99.CERT.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Van Kampen Municipal Opportunity Trust
By: /s/ Jerry W. Miller
--------------------
Name: Jerry W. Miller
Title: Principal Executive Officer
Date: June 19, 2008
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed by the following
persons on behalf of the registrant and in the capacities and on the dates
indicated.
By: /s/ Jerry W. Miller
--------------------
Name: Jerry W. Miller
Title: Principal Executive Officer
Date: June 19, 2008
By: /s/ Stuart N. Schuldt
---------------------
Name: Stuart N. Schuldt
Title: Principal Financial Officer
Date: June 19, 2008