Eaton Vance New Jersey Municipal Bond Fund

 

 

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

811-21229

Investment Company Act File Number

Eaton Vance New Jersey Municipal Bond Fund

(Exact Name of Registrant as Specified in Charter)

Two International Place, Boston, Massachusetts 02110

(Address of Principal Executive Offices)

Maureen A. Gemma

Two International Place, Boston, Massachusetts 02110

(Name and Address of Agent for Services)

(617) 482-8260

(Registrant’s Telephone Number, Including Area Code)

September 30

Date of Fiscal Year End

June 30, 2018

Date of Reporting Period

 

 

 

Item 1. Schedule of Investments

 

Eaton Vance

New Jersey Municipal Bond Fund

June 30, 2018

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Investments — 162.6%

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Education — 5.0%

 

New Jersey Educational Facilities Authority, (Montclair State University), 5.00%, 7/1/33

    $ 340      $ 384,618  

New Jersey Educational Facilities Authority, (Montclair State University), 5.00%, 7/1/34

      210        236,815  

New Jersey Educational Facilities Authority, (Ramapo College), 5.00%, 7/1/37

      360        391,579  

New Jersey Educational Facilities Authority, (Ramapo College), 5.00%, 7/1/40

      690        760,015  
     

 

 

  
   $ 1,773,027  
     

 

 

  

Escrowed/Prerefunded — 7.7%

 

Monmouth County Improvement Authority, Prerefunded to 1/15/21, 5.00%, 1/15/27

    $ 1,115      $ 1,201,524  

New Jersey Health Care Facilities Financing Authority, (Hospital Asset Transformation Program), Prerefunded to 10/1/18, 5.25%, 10/1/38

      135        136,266  

New Jersey Health Care Facilities Financing Authority, (Hospital Asset Transformation Program), Prerefunded to 10/1/18, 5.25%, 10/1/38

      465        469,362  

New Jersey Health Care Facilities Financing Authority, (Palisades Medical Center), Prerefunded to 7/1/23, 5.25%, 7/1/31

      615        705,768  

Rutgers State University, Prerefunded to 5/1/19, 5.00%, 5/1/39

      250        257,230  
     

 

 

  
   $ 2,770,150  
     

 

 

  

General Obligations — 0.8%

 

Monmouth County Improvement Authority, 5.00%, 1/15/27

    $ 260      $ 279,976  
     

 

 

  
   $ 279,976  
     

 

 

  

Hospital — 15.1%

 

Camden County Improvement Authority, (Cooper Health System), 5.75%, 2/15/42

    $ 250      $ 273,330  

New Jersey Health Care Facilities Financing Authority, (Barnabas Health Obligated Group), 4.25%, 7/1/44

      450        463,685  

New Jersey Health Care Facilities Financing Authority, (Hackensack Meridian Health Obligated Group), 4.00%, 7/1/34

      500        525,455  

New Jersey Health Care Facilities Financing Authority, (Inspira Health Obligated Group), 4.00%, 7/1/47

      500        506,795  

New Jersey Health Care Facilities Financing Authority, (Meridian Health System),
5.00%, 7/1/26

      295        325,589  

New Jersey Health Care Facilities Financing Authority, (Palisades Medical Center), Prerefunded to 7/1/23, 5.25%, 7/1/31

      135        154,580  

New Jersey Health Care Facilities Financing Authority, (Princeton HealthCare System), 5.00%, 7/1/32

      385        443,508  

New Jersey Health Care Facilities Financing Authority, (Princeton HealthCare System), 5.00%, 7/1/39

      1,085        1,231,627  

New Jersey Health Care Facilities Financing Authority, (Robert Wood Johnson University Hospital), 5.00%, 7/1/34

      700        781,165  

New Jersey Health Care Facilities Financing Authority, (RWJ Barnabas Health Obligated Group), 4.00%, 7/1/35

      675        699,313  
     

 

 

  
   $ 5,405,047  
     

 

 

  

 

1

 

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Housing — 2.5%

 

New Jersey Housing and Mortgage Finance Agency, (Single Family Housing),
4.375%, 4/1/28

    $ 855      $ 887,558  
     

 

 

  
   $ 887,558  
     

 

 

  

Insured – Education — 0.3%

 

New Jersey Educational Facilities Authority, (William Paterson University), (AGC),
4.75%, 7/1/34

    $ 85      $ 85,155  

New Jersey Educational Facilities Authority, (William Paterson University), (AGC),
5.00%, 7/1/38

      20        20,043  
     

 

 

  
   $ 105,198  
     

 

 

  

Insured – Electric Utilities — 2.7%

 

Puerto Rico Electric Power Authority, (NPFG), 5.25%, 7/1/26

    $ 615      $ 639,704  

Puerto Rico Electric Power Authority, (NPFG), 5.25%, 7/1/35

      335        339,600  
     

 

 

  
   $ 979,304  
     

 

 

  

Insured – Escrowed/Prerefunded — 11.4%

 

Bayonne, (AGM), Prerefunded to 7/1/19, 5.50%, 7/1/39

    $ 1,000      $ 1,038,730  

Jersey City, (AGM), Prerefunded to 1/15/19, 5.00%, 1/15/29

      1,000        1,019,000  

Lakewood Township, (AGC), Prerefunded to 11/1/18, 5.75%, 11/1/31

      700        709,996  

New Jersey Economic Development Authority, (School Facilities Construction), (AGC), Prerefunded to 12/15/18, 5.50%, 12/15/34

      840        855,389  

New Jersey Economic Development Authority, (School Facilities Construction), (AGC), Prerefunded to 12/15/18, 5.50%, 12/15/34

      450        458,140  
     

 

 

  
   $ 4,081,255  
     

 

 

  

Insured – General Obligations — 25.4%

 

Atlantic City, (BAM), 5.00%, 3/1/37

    $ 500      $ 555,990  

Bayonne, (AGM), 0.00%, 7/1/23

      2,415        2,088,444  

Hudson County Improvement Authority, (Harrison Parking), (AGC), 5.25%, 1/1/39

      1,500        1,525,875  

Hudson County Improvement Authority, (Harrison Redevelopment), (NPFG),
0.00%, 12/15/38

      2,000        905,980  

Irvington Township, (AGM), 0.00%, 7/15/26

      5,235        4,005,560  
     

 

 

  
   $ 9,081,849  
     

 

 

  

Insured – Hospital — 4.3%

 

New Jersey Health Care Facilities Financing Authority, (Virtua Health), (AGC),
5.50%, 7/1/38

    $ 1,500      $ 1,556,880  
     

 

 

  
   $ 1,556,880  
     

 

 

  

Insured – Lease Revenue/Certificates of Participation — 5.2%

 

Essex County Improvement Authority, (NPFG), 5.50%, 10/1/30

    $ 1,000      $ 1,260,420  

New Jersey Economic Development Authority, (School Facilities Construction), (NPFG), 5.50%, 9/1/28

      500        586,735  
     

 

 

  
   $ 1,847,155  
     

 

 

  

Insured – Special Tax Revenue — 12.2%

 

Garden State Preservation Trust, (AGM), 0.00%, 11/1/21

    $ 1,000      $ 920,040  

Garden State Preservation Trust, (AGM), 5.75%, 11/1/28

      500        591,250  

New Jersey Economic Development Authority, (Motor Vehicle Surcharges), (XLCA), 0.00%, 7/1/26

      2,380        1,786,547  

New Jersey Economic Development Authority, (Motor Vehicle Surcharges), (XLCA), 0.00%, 7/1/27

      1,120        806,109  

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/45

      1,105        252,658  
     

 

 

  
   $ 4,356,604  
     

 

 

  

 

2

 

 

                                                 
Security   

Principal

Amount

(000’s omitted)

      Value  

Insured – Transportation — 7.8%

 

New Jersey Transportation Trust Fund Authority, (Transportation System), (AMBAC), 0.00%, 12/15/28

    $ 1,200      $ 784,416  

New Jersey Turnpike Authority, (AGM), (BHAC), 5.25%, 1/1/29

      1,500        1,833,705  

South Jersey Transportation Authority, (AGC), 5.50%, 11/1/33

      180        188,282  
     

 

 

  
   $ 2,806,403  
     

 

 

  

Insured – Water and Sewer — 11.9%

 

Middlesex County Improvement Authority, (Perth Amboy), (AMBAC), 0.00%, 9/1/24

    $ 4,500      $ 3,705,030  

Passaic Valley Sewerage Commissioners, (NPFG), 2.50%, 12/1/32

      635        562,934  
     

 

 

  
   $ 4,267,964  
     

 

 

  

Other Revenue — 3.1%

 

New Jersey Economic Development Authority, (The Seeing Eye, Inc.), 3.00%, 6/1/32

    $ 1,175      $ 1,104,758  
     

 

 

  
   $ 1,104,758  
     

 

 

  

Senior Living/Life Care — 2.0%

 

New Jersey Economic Development Authority, (United Methodist Homes of New Jersey), 5.00%, 7/1/34

    $ 675      $ 709,027  
     

 

 

  
   $ 709,027  
     

 

 

  

Special Tax Revenue — 8.1%

 

New York State Urban Development Corp., Personal Income Tax Revenue,
4.00%, 3/15/45(1)

    $ 2,800      $ 2,904,720  
     

 

 

  
   $ 2,904,720  
     

 

 

  

Student Loan — 2.8%

 

New Jersey Higher Education Student Assistance Authority, 5.625%, 6/1/30

    $ 965      $ 994,539  
     

 

 

  
   $ 994,539  
     

 

 

  

Transportation — 28.5%

 

Delaware River Joint Toll Bridge Commission of Pennsylvania and New Jersey, 5.00%, 7/1/47(1)

    $ 1,275      $ 1,444,613  

Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/35

      590        615,488  

Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/40

      210        218,978  

New Jersey Transportation Trust Fund Authority, (Transportation System), 5.50%, 6/15/31

      1,150        1,217,885  

New Jersey Turnpike Authority, 3.25%, 1/1/38

      1,250        1,185,725  

Port Authority of New York and New Jersey, 5.00%, 10/15/35(1)

      2,675        3,046,985  

Port Authority of New York and New Jersey, 5.00%, 10/15/41(1)

      2,000        2,258,480  

South Jersey Transportation Authority, 5.00%, 11/1/39

      200        217,716  
     

 

 

  
   $ 10,205,870  
     

 

 

  

Water and Sewer — 5.8%

 

North Hudson Sewerage Authority, 5.00%, 6/1/29

    $ 695      $ 754,478  

Passaic County Utilities Authority, 5.00%, 3/1/37

      695        846,607  

Sussex County Municipal Utilities Authority, 0.00%, 12/1/37

      1,000        469,710  
     

 

 

  
   $ 2,070,795  
     

 

 

  

Total Tax-Exempt Investments — 162.6%
(identified cost $54,986,331)

       $ 58,188,079  
     

 

 

  

 

3

 

 

                                                 
            Value  

Institutional MuniFund Term Preferred Shares, at Liquidation Value (net of unamortized deferred offering costs) — (45.6)%

    $ (16,306,656 ) 
     

 

 

  

Other Assets, Less Liabilities — (17.0)%

    $ (6,094,539 ) 
     

 

 

  

Net Assets Applicable to Common Shares — 100.0%

    $ 35,786,884  
     

 

 

  

The percentage shown for each investment category in the Portfolio of Investments is based on net assets applicable to common shares.

The Fund invests primarily in debt securities issued by New Jersey municipalities. The ability of the issuers of the debt securities to meet their obligations may be affected by economic developments in a specific industry or municipality. In order to reduce the risk associated with such economic developments, at June 30, 2018, 50.0% of total investments are backed by bond insurance of various financial institutions and financial guaranty assurance agencies. The aggregate percentage insured by an individual financial institution or financial guaranty assurance agency ranged from 1.0% to 19.8% of total investments.

 

(1)

Security represents the municipal bond held by a trust that issues residual interest bonds.

Abbreviations:

 

AGC

   -   Assured Guaranty Corp.

AGM

   -   Assured Guaranty Municipal Corp.

AMBAC

   -   AMBAC Financial Group, Inc.

BAM

   -   Build America Mutual Assurance Co.

BHAC

   -   Berkshire Hathaway Assurance Corp.

NPFG

   -   National Public Finance Guaranty Corp.

XLCA

   -   XL Capital Assurance, Inc.
 

 

4

 

 

The Fund did not have any open derivative instruments at June 30, 2018.

Under generally accepted accounting principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

•  

Level 1 — quoted prices in active markets for identical investments

 

•  

Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

•  

Level 3 — significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments)

In cases where the inputs used to measure fair value fall in different levels of the fair value hierarchy, the level disclosed is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

At June 30, 2018, the hierarchy of inputs used in valuing the Fund’s investments, which are carried at value, were as follows:

 

Asset Description    Level 1      Level 2      Level 3      Total  

Tax-Exempt Investments

    $ —      $ 58,188,079      $ —      $ 58,188,079  

Total Investments

    $     —      $     58,188,079      $     —      $     58,188,079  

At June 30, 2018, there were no investments transferred between Level 1 and Level 2 during the fiscal year to date then ended.

For information on the Fund’s policy regarding the valuation of investments and other significant accounting policies, please refer to the Fund’s most recent financial statements included in its semiannual or annual report to shareholders.

Subsequent Event

In July 2018, the Trustees of the Fund approved an Agreement and Plan of Reorganization whereby Eaton Vance Municipal Bond Fund (Municipal Bond Fund) would acquire substantially all the assets and assume substantially all the liabilities of the Fund in exchange for common shares of Municipal Bond Fund. The proposed reorganization is subject to approval by the shareholders of the Fund.

 

5

 

 

Item 2. Controls and Procedures

(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.

(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

Item 3. Exhibits

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act is attached hereto.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Eaton Vance New Jersey Municipal Bond Fund

 

By:   /s/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   August 21, 2018

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By:   /s/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   August 21, 2018

 

By:   /s/ James F. Kirchner
  James F. Kirchner
  Treasurer
Date:   August 21, 2018