UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-6548
---------------------
Nuveen Select Tax-Free Income Portfolio
------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
------------------------------------------------------------------------------
(Address of principal executive offices) (Zip code)
Jessica R. Droeger
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
------------------------------------------------------------------------------
(Name and address of agent for service)
Registrant's telephone number, including area code: (312) 917-7700
-------------------
Date of fiscal year end: March 31
------------------
Date of reporting period: September 30, 3004
------------------
Form N-CSR is to be used by management investment companies to file reports with
the Commission not later than 10 days after the transmission to stockholders of
any report that is required to be transmitted to stockholders under Rule 30e-1
under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may
use the information provided on Form N-CSR in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-CSR
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. ss. 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
SEMIANNUAL REPORT September 30, 2004
Nuveen Investments
Municipal Closed-End
Exchange-Traded
Funds
NUVEEN SELECT TAX-FREE INCOME PORTFOLIO
NXP
NUVEEN SELECT TAX-FREE INCOME PORTFOLIO 2
NXQ
NUVEEN SELECT TAX-FREE INCOME PORTFOLIO 3
NXR
NUVEEN CALIFORNIA SELECT TAX-FREE INCOME PORTFOLIO
NXC
NUVEEN NEW YORK SELECT TAX-FREE INCOME PORTFOLIO
NXN
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DEPENDABLE, TAX-FREE INCOME BECAUSE IT'S NOT WHAT YOU EARN, IT'S WHAT YOU
KEEP.(R)
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Photo: Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
Chairman's
LETTER TO SHAREHOLDERS
Once again, I am pleased to report that over the most recent reporting period
your Fund continued to provide you with monthly tax-free income and an
attractive total return. For more specific information about the performance of
your investment, please see the Portfolio Managers' Comments and Performance
Overview sections of this report.
With longer-term interest rates still near historic lows, many investors have
begun to wonder whether these rates will soon begin to rise, and whether that
makes this the time to adjust their holdings of fixed-income investments. No one
knows what the future will bring, which is why we think a well-balanced
portfolio that is structured and carefully monitored with the help of an
investment professional is an important component in achieving your long-term
financial goals. A well-diversified portfolio
"OUR MISSION CONTINUES TO BE TO ASSIST YOU AND YOUR FINANCIAL ADVISOR BY
OFFERING THE INVESTMENT SERVICES AND PRODUCTS THAT CAN HELP YOU TO SECURE YOUR
FINANCIAL OBJECTIVES."
may actually help to reduce your overall investment risk. We believe that a
municipal bond investments like these Nuveen Funds can be important building
blocks in a portfolio designed to perform well through a variety of market
conditions.
As in past reports, I'd also like to direct your attention to the inside front
cover, which explains the quick and easy process to begin receiving these
reports via e-mail and the internet. Thousands of Nuveen Fund shareholders
already have signed-up, and they are getting their information faster and more
conveniently than ever. I urge you to consider joining them.
At Nuveen Investments, our mission continues to be to assist you and your
financial advisor by offering the investment services and products that can help
you to secure your financial objectives. We are grateful that you have chosen us
as a partner as you pursue your financial goals, and we look forward to
continuing to earn your trust in the months and years ahead.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
November 15, 2004
Nuveen Municipal Closed-End Exchange-Traded Funds
(NXP, NXQ, NXR, NXC, NXN)
Portfolio Managers'
PERSPECTIVE
Portfolio managers Tom Spalding, Scott Romans and Paul Brennan discuss the
market environment, key investment strategies and the performance of the Funds.
With 29 years of investment experience, Tom has managed the three national Funds
since 1999. Scott, who joined Nuveen in 2000, and Paul, who has 13 years of
investment experience, have managed NXC and NXN, respectively, since January
2003.
WHAT FACTORS AFFECTED THE U.S. ECONOMY AND MUNICIPAL MARKET DURING THE
SEMIANNUAL REPORTING PERIOD ENDED SEPTEMBER 30, 2004?
During this six-month period, the U.S. economy demonstrated improvement in a
number of key areas, although the pace of recovery slowed compared with that of
the previous six months. After posting GDP (gross domestic product) annualized
growth above 4% in the previous two quarters, economic growth in the second
quarter of 2004 moderated to 3.3% annualized. Slower job growth and higher oil
prices held GDP growth to an annualized rate of 3.7% in the third quarter of
2004.
Higher energy costs also were partially responsible for some increased
speculation about a rise in the rate of inflation. The Consumer Price Index rose
at a 4.8% annualized rate in the second quarter of 2004, before slowing to a
0.6% annual growth rate in the third quarter. These inflation concerns, along
with the pace of economic recovery and continued geopolitical uncertainty, acted
as catalysts for heightened volatility in the fixed-income markets during this
reporting period.
As one example, the yield on the Bond Buyer 25 Revenue Bond Index (BB25), a
widely followed municipal bond index, stood at 4.91% when this reporting period
began on April 1, 2004. As a series of improved employment reports sparked
increased anticipation that the Federal Reserve might move to raise short-term
interest rates, the index yield began to climb, rising to 5.45% by May 13, 2004.
By the end of September 2004, more bond-friendly news--including indications of
slower economic growth and relatively benign inflation--had prompted a retreat
to 5.02%.
While intermediate and long-term rates were moving up and then down, short-term
rates rose. The Federal Reserve introduced three one-quarter-point increases in
the fed funds rate between June and September 2004, raising the target rate by a
total of 75 basis points to 1.75%. As a result, we saw some flattening of the
yield curve. The Fed continued to note that it anticipated taking a "measured"
approach to further tightening as a way to promote a sustainable recovery
without increasing inflationary pressures.
4
During this six-month period, municipal bond supply nationwide remained
relatively strong despite a decline in year-to-year issuance. More than $180
billion in new bonds came to market in the second and third quarters of 2004, a
decrease of 10% when compared with April-September 2003. In contrast to 2003,
when many states were issuing bonds to bridge budget gaps and fund operations,
an improving economy and higher tax revenues have, in general, lessened the
states' need to borrow. In September 2004 alone, national volume was down 24%
from one year earlier.
HOW ABOUT ECONOMIC AND MARKET CONDITIONS IN CALIFORNIA AND NEW YORK?
The biggest financial market story in California during this six-month reporting
period was the state's issuance of $11 billion of economic recovery bonds (ERBs)
in May and June 2004, which essentially resolved the state's short-term cash
flow crisis. The ERBs improved the state's balance sheet and, combined with
California's steadily recovering economy, led all three major credit rating
agencies to upgrade the state's outstanding general obligation debt (GOs). In
May 2004, Moody's revised its rating of California GOs to A3 from Baa1, followed
by Standard & Poor's upgrade to A from BBB in August. S&P also removed
California from its credit watchlist. In September, Fitch moved its rating for
California to A- from BBB. During this reporting period, California issuers
marketed $35.8 billion in new municipal bonds, up 69% from the previous
six-month period, with the ERBs accounting for most of the increase. From an
economic standpoint, California continued to recover as it benefited from the
stability provided by a diverse economy. The jobless rate in California stood at
5.9% in September 2004, compared with the national average of 5.4%.
Over the past six months, New York continued to recover from the general
economic downturn that affected the entire nation as well as from the direct
impact of the terrorist attacks on September 11, 2001. The jobless rate in the
state dropped significantly over the past six months, from 6.2% in April 2004 to
5.5% in September 2004, the lowest since August 2001. Overall, strong job growth
in the construction, tourism, and business services sectors more than offset
continued losses in the manufacturing sector. While New York, along with many
other states, grappled with budgetary pressures over the past few years, the
state ended fiscal 2004 on March 31 with a general fund surplus.
5
During April-September 2004, New York issuers brought $13.7 billion in new
municipal bonds to market, down 40% from the previous six months, but still
ranking the state behind California as the second largest municipal issuer. Over
this period, Moody's maintained its A2 rating for New York and, in September
2004, placed the state on its watchlist for a possible upgrade based on
improving liquidity. Also in September, S&P reconfirmed its AA rating of New
York and revised its outlook to stable from negative, citing improvements in the
state's economy.
IN THIS ENVIRONMENT, WHAT KEY STRATEGIES WERE USED TO MANAGE THE FUNDS DURING
THE SIX MONTHS ENDED SEPTEMBER 30, 2004?
As the market continued to anticipate interest rate increases, our focus during
this reporting period remained on looking for bonds that we believed had the
potential to add value and perform well under a variety of market scenarios.
While our purchase activity for all of the Funds emphasized attractive
securities, the specifics of our strategies varied somewhat between the national
Funds and the California and New York Funds.
In our opinion, the national Funds--NXP, NXQ, and NXR--were relatively well
positioned coming into this reporting period, and we did not make major changes
during this six months. When we did make purchases, we generally sought bonds
with 20 to 25-year maturities and attractive coupon rates that could help to
support the Funds' dividends. While we continued to keep the Funds well
diversified geographically, we often looked to the states with greater overall
issuance--such as California, Texas, Florida and Illinois--to find these
opportunities.
In NXC and NXN, on the other hand, we were actively seeking lower-rated bonds to
continue the transition of these two Funds from their previous 100% insured
status to more balanced holdings of investment-grade quality bonds. Our main
goal was to capture additional yield for NXC and NXN to help support their
dividends, while also continuing to diversify the Funds and enhance their
longer-term total return potential.
HOW DID THE FUNDS PERFORM?
Individual results for the Funds, as well as for relevant benchmarks, are
presented in the accompanying table.
6
TOTAL RETURNS ON NET ASSET VALUE
For periods ended 9/30/04
CUMULATIVE ANNUALIZED
---------- ---------------------------------------
NATIONAL FUNDS 6-MONTH 1-YEAR 5-YEAR 10-YEAR
--------------------------------------------------------------------------------
NXP 2.28% 5.65% 5.67% 6.49%
--------------------------------------------------------------------------------
NXQ 1.80% 5.55% 5.22% 6.20%
--------------------------------------------------------------------------------
NXR 1.95% 5.69% 5.34% 6.39%
--------------------------------------------------------------------------------
Lehman Brothers
Municipal
Bond Index1 1.44% 4.60% 6.77% 6.77%
--------------------------------------------------------------------------------
Lipper General and
Insured Unleveraged
Municipal Debt
Funds Average2 2.04% 5.86% 5.38% 6.12%
--------------------------------------------------------------------------------
CALIFORNIA FUND
--------------------------------------------------------------------------------
NXC 2.33% 6.26% 5.49% 6.24%
--------------------------------------------------------------------------------
Lehman Brothers
California Tax-Exempt
Bond Index1 1.77% 5.58% 6.67% 6.90%
--------------------------------------------------------------------------------
Lipper California
Municipal Debt
Funds Average2 2.34% 8.22% 7.80% 7.45%
--------------------------------------------------------------------------------
NEW YORK FUND
--------------------------------------------------------------------------------
NXN 1.54% 5.12% 5.36% 6.08%
--------------------------------------------------------------------------------
Lehman Brothers
New York Tax-Exempt
Bond Index1 1.43% 4.42% 6.76% 6.87%
--------------------------------------------------------------------------------
Lipper New York
Municipal Debt Funds
Average2 1.42% 7.07% 7.85% 7.04%
--------------------------------------------------------------------------------
Past performance is not predictive of future results.
For additional information, see the individual Performance Overview for your
Fund in this report.
For the six months ended September 30, 2004, the cumulative returns on net asset
value (NAV) for all five Funds were greater than the returns on their respective
Lehman Brothers indexes. NXP also outperformed the average return for the Lipper
General and Insured Unleveraged peer group for this period, while NXQ and NXR
trailed this measure. NXC performed in line with its Lipper California peer
group, and NXN modestly outperformed the Lipper New York peer group average.
One of the factors benefiting the six-month performances of the Funds was their
duration3 positioning. Among the national Funds, NXP had a slightly longer
duration than
1 The Lehman Brothers Municipal Bond Index is an unleveraged, unmanaged
national index containing a broad range of investment-grade municipal
bonds. The Lehman Tax-Exempt Bond Indexes for California and New York are
also unleveraged and unmanaged and comprise a broad range of municipal
bonds issued in California and New York, respectively. Results for the
Lehman Brothers indexes do not reflect any expenses.
2 Each of the Lipper Municipal Debt Funds averages shown in this report are
calculated using the returns of all closed-end exchange-traded funds in
their respective categories for each period as follows: Lipper General and
Insured Unleveraged category, 6 months, 9 funds; 1 year, 9 funds; 5 years,
8 funds; and 10 years, 8 funds; Lipper California category, 6 months, 30
funds; 1 year, 30 funds; 5 years, 19 funds; and 10 years, 17 funds; and
Lipper New York category, 6 months, 23 funds; 1 year, 23 funds; 5 years, 12
funds; and 10 years, 10 funds. Fund and Lipper returns assume reinvestment
of dividends.
3 Duration is a measure of a bond's or a Fund's net asset value (NAV)
sensitivity to changes in interest rates. In this report, duration refers
to the Fund's modified duration.
7
NXQ and NXR, which helped the Fund's performance as longer-term rates generally
fell during the last half of this six-month period.
In addition, all of the Funds benefited from their holdings of lower quality
bonds, which generally outperformed higher-rated bonds as the economy improved.
Allocations of bonds rated BBB or lower and nonrated bonds ranged from 9% in
NXQ, NXR, and NXC and 8% in NXP to 4% in NXN, reflecting the relative scarcity
of BBB rated issues in New York.
Among the lower-rated credits making positive contributions to the Funds' total
returns during this period were bonds backed by the 1998 master tobacco
settlement agreement. At the end of this period, the three national Funds
maintained exposures between 2.9% and 6.8% to tobacco bonds, while NXC allocated
3.6% and NXN 4.9% to these credits.
In NXC, other strong performers over the period included California GOs and
several issues that were upgraded during these six months, including Association
of Bay Area Governments Finance Authority bonds for Odd Fellows Home of
California, and bonds issued by California Statewide Community Development
Authority for Mission Community Hospital.
Among the bonds that did not perform as well during this period were NXN's
holding of hospital bonds issued for Staten Island University Hospital, which
were downgraded in May 2004 by both Moody's (Ba3 from Baa3) and Fitch (BB- from
BB+) due to legal problems related to the hospital's financial statements for
fiscal 2002 and 2003. The subsequent decline in valuation for these bonds
detracted from the otherwise good performance of NXN's healthcare holdings.
HOW ABOUT THE FUNDS' DIVIDENDS AND SHARE PRICES?
Interest rates remained at or near historically low levels throughout this
reporting period. This meant that proceeds from bond calls had to be reinvested
in the current lower interest rate environment. While we were able to maintain
the stability of NXN's dividend throughout the period, the other Funds faced a
greater number of calls on higher-yielding bonds, and this led to a dividend cut
in NXP, NXQ, NXR and NXC in June 2004.
8
All of these Funds seek to pay stable dividends at rates that reflect each
Fund's past results and projected future performance. During certain periods,
each Fund may pay dividends at a rate that may be more or less than the amount
of net investment income actually earned by the Fund during the period. If a
Fund has cumulatively earned more than it has paid in dividends, it holds the
excess in reserve as undistributed net investment income (UNII) as part of the
Fund's NAV. Conversely, if a Fund has cumulatively paid dividends in excess of
its earnings, the excess constitutes negative UNII that is likewise reflected in
the Fund's NAV. Each Fund will, over time, pay all of its net investment income
as dividends to shareholders. As of September 30, 2004, all of the Funds had
negative UNII balances, for the purposes of their financial statements.
As of September 30, 2004, all five of the Funds were trading at discounts to
their NAVs. These discounts were generally in line with the Funds' average
discounts over the entire six-month reporting period.
HOW WERE THE FUNDS POSITIONED IN TERMS OF CREDIT QUALITY AND BOND CALLS AS OF
SEPTEMBER 30, 2004?
Given the current geopolitical and economic climate, we continued to believe
that maintaining strong credit quality was an important requirement. As of the
end of September 2004, these five Funds continued to offer excellent credit
quality, with allocations of bonds rated AAA/U.S. guaranteed and AA ranging from
65% in NXC and 69% in NXR to 76% in NXP, 81% in NXQ, and 94% in NXN.
At the end of September 2004, potential call exposure for these Funds during
2004-2005 ranged from 9% in NXN and 10% in NXP to 13% in NXR, 14% in NXC,
and 16% in NXQ. The number of actual bond calls in all of these Funds depends
largely on market interest rates.
9
Nuveen Select Tax-Free Income Portfolio
NXP
Performance
OVERVIEW As of September 30, 2004
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 54%
AA 22%
A 16%
BBB 7%
BB or Lower 1%
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Oct 0.061
Nov 0.061
Dec 0.061
Jan 0.061
Feb 0.061
Mar 0.061
Apr 0.061
May 0.061
Jun 0.059
Jul 0.059
Aug 0.059
Sep 0.059
Line Chart:
Share Price Performance
Weekly Closing Price
Past performance is not predictive of future results.
10/1/03 14
13.99
13.89
13.81
13.95
13.95
13.93
13.88
13.73
13.77
13.81
13.78
13.7
13.69
13.77
13.83
13.75
13.75
13.67
13.63
13.63
13.6
13.7
13.73
13.76
13.69
13.68
13.61
13.64
13.7
13.6
13.71
13.72
13.7
13.71
13.62
13.61
13.66
13.6
13.64
13.73
13.77
13.77
13.61
13.55
13.52
13.5
13.5
13.5
13.52
13.45
13.32
13.49
13.39
13.44
13.5
13.61
13.78
13.69
13.69
13.73
13.7
13.71
13.78
13.65
13.65
13.64
13.74
13.79
13.71
13.78
13.75
13.67
13.8
13.84
13.92
13.84
13.87
13.86
13.94
13.9
13.83
13.91
13.86
13.9
13.9
13.98
13.92
14
14.08
14.1
14.18
14.2
14.23
14.43
14.43
14.16
14.13
14.26
14.2
14.15
14.04
14.03
14.07
14.07
14.07
14.1
14.1
14.11
14.1
14.08
14.18
14.41
14.41
14.33
14.36
14.35
14.36
14.29
14.35
14.23
14.35
14.26
14.29
14.29
14.29
14.28
14.28
14.3
14.32
14.17
13.84
13.8
13.8
13.82
13.78
13.5
13.63
13.56
13.51
13.48
13.38
13.4
13.2
13.2
13.13
13.1
13.05
13.1
13.26
13.07
13.05
12.95
13.06
12.95
12.77
12.71
12.63
12.65
12.8
12.89
12.86
12.86
12.85
12.83
12.94
12.98
13.02
13.17
13.28
13.28
13.2
13.17
13.25
13.06
13.1
13.05
13.04
13.07
12.87
12.91
12.96
13.01
12.96
12.95
13.1
13.15
13.18
13.28
13.28
13.27
13.34
13.38
13.42
13.48
13.45
13.44
13.46
13.56
13.38
13.53
13.56
13.52
13.52
13.57
13.37
13.39
13.38
13.41
13.4
13.46
13.42
13.49
13.49
13.57
13.53
13.51
13.52
13.63
13.64
13.61
13.57
13.57
13.54
13.53
13.63
13.66
13.71
13.69
13.68
13.69
13.83
13.83
13.81
13.79
13.85
13.85
13.83
13.68
13.7
13.77
13.78
13.77
13.79
13.74
13.68
13.8
13.75
13.69
13.72
13.75
13.8
13.83
13.87
13.89
13.85
9/30/04 13.77
FUND SNAPSHOT
------------------------------------
Share Price $13.77
------------------------------------
Common Share
Net Asset Value $14.82
------------------------------------
Premium/(Discount) to NAV -7.09%
------------------------------------
Market Yield 5.14%
------------------------------------
Taxable-Equivalent Yield1 7.14%
------------------------------------
Net Assets ($000) $242,802
------------------------------------
Average Effective
Maturity (Years) 16.02
------------------------------------
Modified Duration 5.59
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 3/19/92)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-month
(cumulative) -1.12% 2.28%
------------------------------------
1-Year 4.47% 5.65%
------------------------------------
5-Year 5.41% 5.67%
------------------------------------
10-Year 6.54% 6.49%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
Illinois 15%
------------------------------------
Colorado 14%
------------------------------------
Washington 10%
------------------------------------
Texas 9%
------------------------------------
Indiana 8%
------------------------------------
Florida 7%
------------------------------------
South Carolina 7%
------------------------------------
Nevada 7%
------------------------------------
California 6%
------------------------------------
Other 17%
------------------------------------
SECTORS
(as a % of total investments)
------------------------------------
Healthcare 21%
------------------------------------
Tax Obligation/Limited 17%
------------------------------------
Transportation 15%
------------------------------------
Utilities 11%
------------------------------------
Tax Obligation/General 11%
------------------------------------
U.S. Guaranteed 9%
------------------------------------
Water and Sewer 5%
------------------------------------
Other 11%
------------------------------------
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a income tax rate of 28%. For investments
that generate qualified dividend income, the taxable-equivalent yield is
lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2003 of $0.1059 per share.
10
Nuveen Select Tax-Free Income Portfolio 2
NXQ
Performance
OVERVIEW As of September 30, 2004
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 58%
AA 23%
A 10%
BBB 8%
BB or Lower 1%
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Oct 0.0585
Nov 0.0585
Dec 0.0585
Jan 0.0585
Feb 0.0585
Mar 0.0585
Apr 0.0585
May 0.0585
Jun 0.0565
Jul 0.0565
Aug 0.0565
Sep 0.0565
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
10/1/03 13.37
13.31
13.17
13.17
13.22
13.17
13.07
13.15
13.06
13.03
13.09
13.14
13.15
13.11
13.1
13.1
13.12
13.14
13.16
13.2
13.2
13.19
13.13
13.15
13.19
13.19
13.24
13.18
13.23
13.22
13.23
13.18
13.24
13.24
13.21
13.18
13.18
13.18
13.25
13.24
13.25
13.25
13.25
13.21
13.25
13.24
13.18
13.2
13.27
13.15
13.2
13.18
13.21
13.19
13.21
13.19
13.29
13.3
13.23
13.23
13.21
13.19
13.19
13.27
13.27
13.27
13.3
13.37
13.34
13.37
13.45
13.43
13.41
13.45
13.5
13.45
13.51
13.55
13.54
13.53
13.57
13.53
13.5
13.42
13.5
13.5
13.6
13.6
13.59
13.57
13.55
13.59
13.63
13.62
13.64
13.73
13.68
13.73
13.72
13.67
13.64
13.55
13.63
13.64
13.65
13.65
13.72
13.72
13.74
13.75
13.76
13.71
13.87
13.83
13.76
13.79
13.8
13.78
13.77
13.77
13.79
13.74
13.74
13.8
13.77
13.82
13.79
13.82
13.8
13.8
13.6
13.5
13.3
13.48
13.48
13.4
13.15
13.06
12.98
13.17
13.12
13.04
12.93
12.83
12.84
12.72
12.63
12.67
12.55
12.7
12.71
12.66
12.59
12.58
12.5
12.61
12.6
12.64
12.36
12.45
12.4
12.5
12.53
12.59
12.67
12.78
12.82
12.8
12.92
12.94
12.94
12.76
12.77
12.85
12.75
12.7
12.68
12.61
12.52
12.54
12.66
12.57
12.56
12.56
12.68
12.8
12.65
12.75
12.84
12.78
12.74
12.78
12.94
13.05
12.9
12.95
12.99
12.99
13.01
12.89
12.87
12.92
12.99
12.95
12.89
12.83
12.83
12.84
12.85
12.77
12.85
12.89
12.96
12.96
12.96
12.99
12.93
12.96
13.12
13.03
12.95
12.95
12.91
12.97
12.94
12.96
12.918
12.9
12.94
12.9
12.88
12.9
12.93
12.99
13
13.08
13.04
13.07
13.01
13.05
13.12
13.15
13.156
13.16
13.25
13.14
13.26
13.16
13.19
13.2
13.21
13.19
13.34
13.3
13.38
13.3
9/30/04 13.17
FUND SNAPSHOT
------------------------------------
Share Price $13.17
------------------------------------
Common Share
Net Asset Value $14.47
------------------------------------
Premium/(Discount) to NAV -8.98%
------------------------------------
Market Yield 5.15%
------------------------------------
Taxable-Equivalent Yield1 7.15%
------------------------------------
Net Assets ($000) $254,745
------------------------------------
Average Effective
Maturity (Years) 16.85
------------------------------------
Modified Duration 5.21
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 5/21/92)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-month
(cumulative) -2.01% 1.80%
------------------------------------
1-Year 5.17% 5.55%
------------------------------------
5-Year 5.09% 5.22%
------------------------------------
10-Year 6.49% 6.20%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
Illinois 16%
------------------------------------
Texas 15%
------------------------------------
Colorado 8%
------------------------------------
California 8%
------------------------------------
Nevada 7%
------------------------------------
South Carolina 7%
------------------------------------
New York 6%
------------------------------------
Washington 4%
------------------------------------
Indiana 3%
------------------------------------
Vermont 3%
------------------------------------
Other 23%
------------------------------------
SECTORS
(as a % of total investments)
------------------------------------
Transportation 17%
------------------------------------
Healthcare 16%
------------------------------------
Tax Obligation/Limited 14%
------------------------------------
Utilities 13%
------------------------------------
U.S. Guaranteed 10%
------------------------------------
Tax Obligation/General 8%
------------------------------------
Consumer Staples 4%
------------------------------------
Housing/Multifamily 4%
------------------------------------
Education and Civic Organizations 4%
------------------------------------
Other 10%
------------------------------------
1 Taxable-equivalent yield represents the yield that must be earned on a fully
taxable investment in order to equal the yield of the Fund on an after-tax
basis. It is based on a income tax rate of 28%. For investments that generate
qualified dividend income, the taxable-equivalent yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2003 of $0.0646 per share.
11
Nuveen Select Tax-Free Income Portfolio 3
NXR
Performance
OVERVIEW As of September 30, 2004
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 38%
AA 31%
A 22%
BBB 8%
NR 1%
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Oct 0.0575
Nov 0.0575
Dec 0.0575
Jan 0.0575
Feb 0.0575
Mar 0.0575
Apr 0.0575
May 0.0575
Jun 0.0565
Jul 0.0565
Aug 0.0565
Sep 0.0565
Line Chart:
Share Price Performance
Weekly Closing Price
Past performance is not predictive of future results.
10/1/03 13.13
13.07
12.95
12.99
13
12.96
12.9
12.87
12.83
12.87
12.83
12.81
12.8
12.77
12.88
12.98
12.91
13
12.96
13.02
12.99
12.91
12.97
12.93
12.99
13.05
12.94
12.92
12.99
12.96
12.91
12.94
12.89
12.92
12.92
12.96
12.98
13
12.97
12.95
13.03
13.02
13.02
12.97
13.02
13.02
13.02
13.06
13.08
13.05
13.03
12.93
12.92
12.92
12.93
13.03
13.06
13.13
13.1
13.15
13.1
13.09
13.06
13.15
13.16
13.11
13.08
13.17
13.19
13.23
13.29
13.29
13.22
13.25
13.27
13.33
13.27
13.38
13.35
13.4
13.39
13.3
13.34
13.26
13.26
13.26
13.44
13.48
13.53
13.39
13.55
13.57
13.54
13.48
13.62
13.59
13.57
13.51
13.47
13.45
13.52
13.45
13.48
13.51
13.51
13.51
13.52
13.6
13.53
13.64
13.67
13.65
13.69
13.75
13.64
13.68
13.75
13.7
13.68
13.65
13.61
13.58
13.55
13.65
13.58
13.55
13.56
13.61
13.56
13.62
13.48
13.2
13.09
13.25
13.24
13.15
12.81
12.96
13.05
12.93
12.86
12.8
12.91
12.67
12.76
12.53
12.55
12.67
12.65
12.85
12.6
12.52
12.57
12.58
12.42
12.4
12.34
12.37
12.22
12.33
12.64
12.49
12.48
12.68
12.54
12.63
12.78
12.7
12.9
13
13
12.96
12.87
12.86
12.79
12.69
12.75
12.57
12.53
12.6
12.55
12.69
12.72
12.65
12.68
12.65
12.67
12.59
12.7
12.66
12.65
12.67
12.69
12.76
12.73
12.79
12.8
12.84
12.83
12.79
12.72
12.77
12.8
12.84
12.74
12.6
12.63
12.68
12.73
12.68
12.76
12.76
12.9
12.9
12.78
12.93
12.9
12.86
12.93
12.86
12.79
12.82
12.8
12.87
12.87
12.86
12.86
12.79
12.79
12.74
12.78
12.75
12.86
12.89
12.85
12.88
12.98
12.95
12.95
12.95
12.94
13.03
13.13
13.09
13.01
12.99
13.04
13.08
13.06
13.04
13.11
13.06
13.14
13.2
13.31
13.16
9/30/04 13.17
FUND SNAPSHOT
------------------------------------
Share Price $13.17
------------------------------------
Common Share
Net Asset Value $14.30
------------------------------------
Premium/(Discount) to NAV -7.90%
------------------------------------
Market Yield 5.15%
------------------------------------
Taxable-Equivalent Yield1 7.15%
------------------------------------
Net Assets ($000) $185,397
------------------------------------
Average Effective
Maturity (Years) 16.57
------------------------------------
Modified Duration 5.33
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 7/24/92)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-month
(cumulative) -0.28% 1.95%
------------------------------------
1-Year 6.91% 5.69%
------------------------------------
5-Year 6.27% 5.34%
------------------------------------
10-Year 6.52% 6.39%
------------------------------------
STATES
(as a % of total investments)
------------------------------------
Illinois 22%
------------------------------------
Texas 15%
------------------------------------
California 8%
------------------------------------
Colorado 6%
------------------------------------
Florida 5%
------------------------------------
Nevada 5%
------------------------------------
Michigan 5%
------------------------------------
North Carolina 4%
------------------------------------
New York 4%
------------------------------------
Indiana 4%
------------------------------------
Other 22%
------------------------------------
SECTORS
(as a % of total investments)
------------------------------------
Utilities 21%
------------------------------------
Healthcare 21%
------------------------------------
Tax Obligation/Limited 15%
------------------------------------
Tax Obligation/General 11%
------------------------------------
Transportation 8%
------------------------------------
Education and Civic Organizations 6%
------------------------------------
U.S. Guaranteed 5%
------------------------------------
Consumer Staples 5%
------------------------------------
Other 8%
------------------------------------
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a income tax rate of 28%. For investments
that generate qualified dividend income, the taxable-equivalent yield is
lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2003 of $0.0719 per share.
12
Nuveen California Select Tax-Free Income Portfolio
NXC
Performance
OVERVIEW As of September 30, 2004
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 60%
AA 5%
A 26%
BBB 8%
NR 1%
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Oct 0.056
Nov 0.056
Dec 0.056
Jan 0.056
Feb 0.056
Mar 0.056
Apr 0.056
May 0.056
Jun 0.055
Jul 0.055
Aug 0.055
Sep 0.055
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
10/1/03 13.46
13.53
13.51
13.48
13.4
13.5
13.52
13.49
13.39
13.29
13.33
13.23
13.2
13.21
13.22
13.23
13.32
13.28
13.33
13.28
13.32
13.3
13.32
13.33
13.4
13.41
13.35
13.39
13.39
13.42
13.35
13.4
13.4
13.35
13.3
13.4
13.39
13.32
13.36
13.37
13.37
13.38
13.38
13.38
13.36
13.43
13.4
13.43
13.38
13.38
13.42
13.45
13.45
13.55
13.48
13.55
13.42
13.45
13.4
13.39
13.4
13.4
13.32
13.35
13.3
13.3
13.4
13.4
13.4
13.53
13.6
13.62
13.63
13.69
13.7
13.96
13.95
13.92
13.93
13.94
13.95
13.94
13.94
13.84
13.8
13.8
13.84
13.87
13.9
13.94
13.93
13.93
13.96
13.97
14.02
14.09
14.18
14.23
14.12
14.12
14.11
14.14
14.08
14.03
14.06
14.06
14.04
14.07
14.03
13.98
14.1
14.24
14.18
14.21
14.1
14.07
14.08
14.1
14.08
14.03
14.01
14
14.04
14.03
13.99
14.04
13.99
13.99
14.06
13.99
13.8
13.74
13.45
13.43
13.39
13.35
13.3
13.25
13.28
13.25
13.23
13.25
13.06
12.99
12.97
12.75
12.85
12.7
12.83
12.88
12.87
12.87
12.94
12.86
12.61
12.52
12.6
12.74
12.71
12.73
12.72
12.82
12.87
13
13.05
13.04
12.98
13.02
13.14
13.18
13.18
13.15
13.13
13.14
13.16
13.12
13.07
13.05
13.04
12.89
12.86
12.71
12.72
12.8
12.8
12.75
12.72
12.77
12.72
12.79
12.8
12.85
12.94
12.99
13.01
13.1
13.11
13.06
13.08
13.03
13.08
13.09
13.09
13.08
13.12
12.95
12.97
13
13.13
12.99
13.09
13.11
13.11
13.11
13.19
13.15
13.13
13.15
13.35
13.25
13.29
13.25
13.24
13.27
13.32
13.34
13.29
13.32
13.32
13.49
13.35
13.42
13.36
13.46
13.4
13.45
13.44
13.53
13.38
13.39
13.38
13.46
13.41
13.38
13.38
13.36
13.39
13.48
13.4
13.46
13.52
13.6
13.7
13.56
13.48
13.52
9/30/04 13.51
FUND SNAPSHOT
------------------------------------
Share Price $13.51
------------------------------------
Common Share
Net Asset Value $14.68
------------------------------------
Premium/(Discount) to NAV -7.97%
------------------------------------
Market Yield 4.89%
------------------------------------
Taxable-Equivalent Yield1 7.47%
------------------------------------
Net Assets ($000) $91,828
------------------------------------
Average Effective
Maturity (Years) 16.83
------------------------------------
Modified Duration 6.29
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/19/92)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-month
(cumulative) -1.47% 2.33%
------------------------------------
1-Year 5.97% 6.26%
------------------------------------
5-Year 4.74% 5.49%
------------------------------------
10-Year 5.93% 6.24%
------------------------------------
SECTORS
(as a % of total investments)
------------------------------------
Tax Obligation/General 21%
------------------------------------
Tax Obligation/Limited 15%
------------------------------------
Education and Civic
Organizations 14%
------------------------------------
Transportation 13%
------------------------------------
Healthcare 12%
------------------------------------
Water and Sewer 11%
------------------------------------
Utilities 10%
------------------------------------
Other 4%
------------------------------------
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a combined federal and state income tax
rate of 34.5%. For investments that generate qualified dividend income, the
taxable-equivalent yield is lower.
2 The Fund also paid shareholders capital gains and net ordinary income
distributions in December 2003 of $0.0540 per share.
13
Nuveen New York Select Tax-Free Income Portfolio
NXN
Performance
OVERVIEW As of September 30, 2004
Pie Chart:
CREDIT QUALITY
(as a % of total investments)
AAA/U.S. Guaranteed 79%
AA 15%
A 2%
BBB 4%
Bar Chart:
2003-2004 MONTHLY TAX-FREE DIVIDENDS PER SHARE2
Oct 0.057
Nov 0.057
Dec 0.057
Jan 0.057
Feb 0.057
Mar 0.056
Apr 0.056
May 0.056
Jun 0.056
Jul 0.056
Aug 0.056
Sep 0.056
Line Chart:
SHARE PRICE PERFORMANCE
Weekly Closing Price
Past performance is not predictive of future results.
10/1/03 13.13
13.07
12.95
12.99
13
12.96
12.9
12.87
12.83
12.87
12.83
12.81
12.8
12.77
12.88
12.98
12.91
13
12.96
13.02
12.99
12.91
12.97
12.93
12.99
13.05
12.94
12.92
12.99
12.96
12.91
12.94
12.89
12.92
12.92
12.96
12.98
13
12.97
12.95
13.03
13.02
13.02
12.97
13.02
13.02
13.02
13.06
13.08
13.05
13.03
12.93
12.92
12.92
12.93
13.03
13.06
13.13
13.1
13.15
13.1
13.09
13.06
13.15
13.16
13.11
13.08
13.17
13.19
13.23
13.29
13.29
13.22
13.25
13.27
13.33
13.27
13.38
13.35
13.4
13.39
13.3
13.34
13.26
13.26
13.26
13.44
13.48
13.53
13.39
13.55
13.57
13.54
13.48
13.62
13.59
13.57
13.51
13.47
13.45
13.52
13.45
13.48
13.51
13.51
13.51
13.52
13.6
13.53
13.64
13.67
13.65
13.69
13.75
13.64
13.68
13.75
13.7
13.68
13.65
13.61
13.58
13.55
13.65
13.58
13.55
13.56
13.61
13.56
13.62
13.48
13.2
13.09
13.25
13.24
13.15
12.81
12.96
13.05
12.93
12.86
12.8
12.91
12.67
12.76
12.53
12.55
12.67
12.65
12.85
12.6
12.52
12.57
12.58
12.42
12.4
12.34
12.37
12.22
12.33
12.64
12.49
12.48
12.68
12.54
12.63
12.78
12.7
12.9
13
13
12.96
12.87
12.86
12.79
12.69
12.75
12.57
12.53
12.6
12.55
12.69
12.72
12.65
12.68
12.65
12.67
12.59
12.7
12.66
12.65
12.67
12.69
12.76
12.73
12.79
12.8
12.84
12.83
12.79
12.72
12.77
12.8
12.84
12.74
12.6
12.63
12.68
12.73
12.68
12.76
12.76
12.9
12.9
12.78
12.93
12.9
12.86
12.93
12.86
12.79
12.82
12.8
12.87
12.87
12.86
12.86
12.79
12.79
12.74
12.78
12.75
12.86
12.89
12.85
12.88
12.98
12.95
12.95
12.95
12.94
13.03
13.13
13.09
13.01
12.99
13.04
13.08
13.06
13.04
13.11
13.06
13.14
13.2
13.31
13.16
9/30/04 13.17
FUND SNAPSHOT
------------------------------------
Share Price $13.55
------------------------------------
Common Share
Net Asset Value $14.45
------------------------------------
Premium/(Discount) to NAV -6.23%
------------------------------------
Market Yield 4.96%
------------------------------------
Taxable-Equivalent Yield1 7.46%
------------------------------------
Net Assets ($000) $56,474
------------------------------------
Average Effective
Maturity (Years) 16.95
------------------------------------
Modified Duration 5.48
------------------------------------
AVERAGE ANNUAL TOTAL RETURN
(Inception 6/19/92)
------------------------------------
ON SHARE PRICE ON NAV
------------------------------------
6-month
(cumulative) -3.49% 1.54%
------------------------------------
1-Year 5.44% 5.12%
------------------------------------
5-Year 5.60% 5.36%
------------------------------------
10-Year 6.88% 6.08%
------------------------------------
SECTORS
(as a % of total investments)
------------------------------------
Water and Sewer 12%
------------------------------------
Education and Civic
Organizations 12%
------------------------------------
Tax Obligation/Limited 12%
------------------------------------
Healthcare 11%
------------------------------------
Long-Term Care 9%
------------------------------------
Housing/Single Family 8%
------------------------------------
Tax Obligation/General 8%
------------------------------------
Housing/Multifamily 8%
------------------------------------
Utilities 6%
------------------------------------
U.S. Guaranteed 6%
------------------------------------
Transportation 6%
------------------------------------
Other 2%
------------------------------------
1 Taxable-equivalent yield represents the yield that must be earned on a
fully taxable investment in order to equal the yield of the Fund on an
after-tax basis. It is based on a combined federal and state income tax
rate of 33.5%. For investments that generate qualified dividend income, the
taxable-equivalent yield is lower.
2 The Fund also paid shareholders a capital gains distribution in December
2003 of $0.0825 per share.
14
Shareholder
MEETING REPORT
The Shareholder Meeting was held in Chicago, Illinois on August 3, 2004.
NXP NXQ NXR NXC NXN
------------------------------------------------------------------------------------------------------------------------------------
APPROVAL OF THE BOARD MEMBERS WAS REACHED AS FOLLOWS:
====================================================================================================================================
Robert P. Bremner
For 14,819,212 16,029,239 11,568,330 5,736,951 3,510,659
Withhold 163,561 234,858 122,470 30,224 100,753
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
Lawrence H. Brown
For 14,819,520 16,037,315 11,565,870 5,733,151 3,511,859
Withhold 163,253 226,782 124,930 34,024 99,553
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
Jack B. Evans
For 14,813,030 16,036,472 11,565,960 5,736,351 3,509,812
Withhold 169,743 227,625 124,840 30,824 101,600
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
William C. Hunter
For 14,810,479 16,032,704 11,560,660 5,736,351 3,508,972
Withhold 172,294 231,393 130,140 30,824 102,440
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
William J. Schneider
For 14,817,906 16,030,746 11,567,523 5,736,951 3,510,659
Withhold 164,867 233,351 123,277 30,224 100,753
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
Timothy R. Schwertfeger
For 14,816,943 16,037,920 11,570,505 5,739,072 3,511,859
Withhold 165,830 226,177 120,295 28,103 99,553
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
Judith M. Stockdale
For 14,819,368 16,037,920 11,567,492 5,736,951 3,511,859
Withhold 163,405 226,177 123,308 30,224 99,553
------------------------------------------------------------------------------------------------------------------------------------
Total 14,982,773 16,264,097 11,690,800 5,767,175 3,611,412
====================================================================================================================================
15
Nuveen Select Tax-Free Income Portfolio (NXP)
Portfolio of
INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALASKA - 1.1%
$ 2,475 Alaska Municipal Bond Bank Authority, General Obligation Bonds, 12/13 at 100.00 AAA $ 2,648,572
Series 2003E, 5.250%, 12/01/23 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 5.8%
2,000 Alameda Corridor Transportation Authority, California, 10/17 at 100.00 AAA 1,367,260
Subordinate Lien Revenue Bonds, Series 2004A,
0.000%, 10/01/25 - AMBAC Insured
3,325 California Department of Water Resources, Power Supply 5/12 at 101.00 A2 3,899,826
Revenue Bonds, Series 2002A, 6.000%, 5/01/14
3,000 California State Public Works Board, Lease Revenue Bonds, 11/04 at 102.00 Aaa 3,073,830
Department of Corrections, Soledad II State Prison,
Series 1994A, 6.875%, 11/01/14 (Pre-refunded to 11/01/04)
1,450 California Statewide Community Development Authority, 2/05 at 100.00 A3 1,455,307
Certificates of Participation, Cedars-Sinai Medical Center,
Series 1992, 6.500%, 8/01/15
200 Contra Costa County, California, Refunding Certificates 11/07 at 102.00 AAA 219,436
of Participation, Merrithew Memorial Hospital Replacement
Project, Series 1997, 5.375%, 11/01/17 - MBIA Insured
3,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 BBB 2,904,210
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39
1,130 Los Angeles Department of Water and Power, California, 7/11 at 100.00 AAA 1,146,588
Waterworks Revenue Refunding Bonds, Series 2001A,
5.125%, 7/01/41 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 13.6%
3,000 Colorado Health Facilities Authority, Revenue Bonds, Catholic 9/12 at 100.00 AA 3,178,620
Health Initiatives, Series 2002A, 5.500%, 3/01/22
1,000 Colorado Water Resources and Power Development 11/10 at 100.00 AAA 1,133,260
Authority, Small Water Resources Revenue Bonds,
Series 2000A, 5.800%, 11/01/20 - FGIC Insured
5,000 Denver, Colorado, Airport System Revenue Refunding Bonds, 11/11 at 100.00 AAA 5,556,450
Series 2001B, 5.625%, 11/15/17 (Alternative Minimum
Tax) - FGIC Insured
10,750 Denver, Colorado, Airport System Revenue Bonds, No Opt. Call A 13,112,957
Series 1991D, 7.750%, 11/15/13 (Alternative Minimum Tax)
640 Denver, Colorado, Airport System Revenue Bonds, Series 1996A, 11/06 at 101.00 AAA 677,990
5.500%, 11/15/25 - MBIA Insured
230 Denver, Colorado, Airport System Revenue Bonds, 11/06 at 101.00 AAA 243,653
Series 1996D, 5.500%, 11/15/25 - MBIA Insured
Denver Convention Center Hotel Authority, Colorado, Senior
Revenue Bonds, Convention Center Hotel, Series 2003A:
1,000 5.000%, 12/01/22 - XLCA Insured 12/13 at 100.00 AAA 1,041,360
3,000 5.000%, 12/01/23 - XLCA Insured 12/13 at 100.00 AAA 3,105,810
5,000 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 31.42 AAA 1,240,250
Bonds, Series 2000A, 0.000%, 9/01/28 - MBIA Insured
3,160 Northwest Parkway Public Highway Authority, Colorado, 6/11 at 102.00 AAA 3,535,977
Revenue Bonds, Senior Series 2001A, 5.500%, 6/15/20 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.6%
1,000 District of Columbia, Hospital Revenue Refunding Bonds, 8/06 at 102.00 AAA 1,082,150
Medlantic Healthcare Group, Series 1996A, 5.750%, 8/15/16 -
MBIA Insured
265 District of Columbia, Revenue Bonds, Catholic University 10/09 at 101.00 AAA 288,347
of America, Series 1999, 5.625%, 10/01/29 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 7.1%
450 Escambia County, Florida, Pollution Control Revenue Bonds, 12/04 at 101.00 BBB 452,426
Champion International Corporation Project, Series 1993,
5.875%, 6/01/22 (Alternative Minimum Tax)
10,000 JEA, Florida, St. John's River Power Park System, Revenue 10/11 at 100.00 Aa2 10,703,200
Refunding Bonds, Series 2002-17, Issue 2, 5.000%, 10/01/17
16
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA (continued)
$ 6,100 JEA, Florida, St. John's River Power Park System Revenue 10/04 at 100.00 Aa2 $ 6,112,444
Refunding Bonds, Issue Two, Series Nine, 5.250%, 10/01/21
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.6%
1,330 Hawaii, Certificates of Participation, Kapolei State Office 11/08 at 101.00 AAA 1,429,058
Building, Series 1998A, 5.000%, 5/01/17 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 15.3%
Chicago Heights, Illinois, General Obligation Corporate Purpose
Bonds, Series 1993:
3,820 5.650%, 12/01/15 - FGIC Insured 12/08 at 100.00 AAA 4,256,779
2,600 5.650%, 12/01/17 - FGIC Insured 12/08 at 100.00 AAA 2,887,950
2,500 Chicago, Illinois, Special Facility Revenue Refunding Bonds, No Opt. Call N/R 687,500
O'Hare International Airport, United Air Lines Inc. Project,
Series 2001C, 6.300%, 5/01/16#
1,000 DuPage County Community School District 200, Wheaton, 11/13 at 100.00 Aaa 1,088,450
Illinois, General Obligation Bonds, Series 2003B,
5.250%, 11/01/20 - FSA Insured
1,000 Illinois Educational Facilities Authority, Revenue Bonds, 5/08 at 101.00 A 1,043,090
Midwestern University, Series 1998B, 5.500%, 5/15/18 -
ACA Insured
4,000 Illinois Finance Authority, Revenue Bonds, Northwestern 8/14 at 100.00 AA+ 4,117,360
Memorial Hospital, Series 2004A, 5.500%, 8/15/43
1,960 Illinois Health Facilities Authority, Revenue Refunding Bonds, No Opt. Call N/R*** 2,132,441
Evangelical Hospitals Corporation, Series 1992B,
6.500%, 4/15/09
300 Illinois Health Facilities Authority, Revenue Bonds, 11/04 at 101.00 AAA 306,588
Rush-Presbyterian St. Luke's Medical Center Obligated
Group, Series 1993, 5.250%, 11/15/20 - MBIA Insured
1,320 Illinois Health Facilities Authority, Revenue Bonds, 10/11 at 100.00 A 1,400,454
Decatur Memorial Hospital, Series 2001, 5.600%, 10/01/16
2,700 Illinois Health Facilities Authority, Revenue Bonds, Lake 7/12 at 100.00 A- 2,975,373
Forest Hospital, Series 2002A, 6.000%, 7/01/17
2,275 Illinois Health Facilities Authority, Revenue Refunding Bonds, 1/13 at 100.00 A2 2,542,586
Elmhurst Memorial Healthcare, Series 2002, 6.250%, 1/01/17
800 Illinois Housing Development Authority, Homeowner Mortgage 2/10 at 100.00 AA 858,280
Revenue Bonds, Series 2000D-3, 5.700%, 8/01/17
1,500 Illinois Housing Development Authority, Homeowner 7/10 at 100.00 AA 1,616,835
Mortgage Revenue Bonds, Series 1999G-1, 5.700%, 8/01/17
600 Illinois Educational Facilities Authority, Student Housing 5/12 at 101.00 Baa2 625,068
Revenue Bonds, Educational Advancement Foundation Fund,
University Center Project, Series 2002, 6.000%, 5/01/22
3,125 Metropolitan Pier and Exposition Authority, Illinois, No Opt. Call AAA 1,779,594
McCormick Place Expansion Project Bonds, Series 1992A,
0.000%, 6/15/17 - FGIC Insured
5,000 Metropolitan Pier and Exposition Authority, Illinois, 6/12 at 101.00 AAA 5,268,400
McCormick Place Expansion Project Refunding Bonds,
Series 2002B, 5.000%, 6/15/21 - MBIA Insured
1,300 Schaumburg, Illinois, General Obligation Bonds, 12/14 at 100.00 AAA 1,361,802
Series 2004B, 5.250%, 12/01/34 - FGIC Insured
Yorkville, Illinois, General Obligation Debt Certificates,
Series 2003:
1,000 5.000%, 12/15/19 - RAAI Insured 12/11 at 100.00 AA 1,034,160
1,000 5.000%, 12/15/20 - RAAI Insured 12/11 at 100.00 AA 1,028,560
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 8.0%
5,000 Duneland School Building Corporation, Indiana, First 2/09 at 101.00 AAA 5,403,750
Mortgage Refunding Bonds, Series 1999, 5.125%, 2/01/18 -
MBIA Insured
1,000 Franklin Community Multi-School Building Corporation, 7/14 at 100.00 AAA 1,050,910
Marion County, Indiana, First Mortgage Revenue Bonds,
Series 2004, 5.000%, 7/15/22 - FGIC Insured
2,000 Indiana Health Facility Financing Authority, Hospital Revenue No Opt. Call AAA 2,478,200
Refunding Bonds, Columbus Regional Hospital, Series 1993,
7.000%, 8/15/15 - FSA Insured
9,855 Indianapolis Local Public Improvement Bond Bank, Indiana, 7/12 at 100.00 AAA 10,470,346
Waterworks Project, Series 2002A, 5.125%, 7/01/21 -
MBIA Insured
17
Nuveen Select Tax-Free Income Portfolio (NXP) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
KANSAS - 0.3%
$ 750 Wamego, Kansas, Pollution Control Revenue Bonds, Kansas 6/14 at 100.00 AAA $ 791,460
Gas and Electric Company, Series 2004, 5.300%, 6/01/31 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
KENTUCKY - 1.8%
1,100 Jefferson County, Kentucky, Health System Revenue Bonds, 10/08 at 101.00 AAA 1,159,961
Alliant Health System Inc., Series 1998, 5.125%, 10/01/18 -
MBIA Insured
3,230 Lexington-Fayette Urban County Government, Kentucky, 11/04 at 102.00 AAA 3,308,909
Revenue Bonds, University of Kentucky Alumni Association
Project, Series 1994, 6.750%, 11/01/15 (Pre-refunded
to 11/01/04) - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.2%
500 Massachusetts Health and Educational Facilities Authority, 7/11 at 101.00 AA- 565,945
Revenue Bonds, Partners HealthCare System Inc.,
Series 2001C, 6.000%, 7/01/17
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 1.8%
665 Detroit, Michigan, Second Lien Water Supply System Revenue 7/05 at 102.00 AAA 690,962
Bonds, Series 1995A, 5.500%, 7/01/25 (Pre-refunded to
7/01/05) - MBIA Insured
2,900 Michigan State Hospital Finance Authority, Revenue 12/12 at 100.00 AA- 2,982,766
Refunding Bonds, Trinity Health Credit Group, Series 2002C,
5.375%, 12/01/30
1,000 Michigan State Hospital Finance Authority, Hospital Revenue 8/08 at 101.00 Ba3 797,990
Bonds, Detroit Medical Center Obligated Group, Series 1998A,
5.125%, 8/15/18
------------------------------------------------------------------------------------------------------------------------------------
MINNESOTA - 0.2%
515 Minnesota Housing Finance Agency, Single Family Mortgage 7/08 at 101.00 AA+ 540,230
Revenue Bonds, Series 1995A, 5.200%, 1/01/17
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 1.6%
3,600 Calhoun County, Mississippi, Solid Waste Disposal Revenue 4/07 at 103.00 BBB 3,871,872
Bonds, Weyerhauser Company Project, Series 1992,
6.875%, 4/01/16 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 6.6%
2,500 Clark County, Nevada, Motor Vehicle Fuel Tax Highway 7/13 at 100.00 AAA 2,603,225
Improvement Revenue Bonds, Series 2003,
5.000%, 7/01/23 - AMBAC Insured
Director of Nevada State Department of Business and Industry,
Revenue Bonds, Las Vegas Monorail Project, First Tier Series 2000:
2,360 0.000%, 1/01/21 - AMBAC Insured No Opt. Call AAA 1,069,764
3,500 0.000%, 1/01/22 - AMBAC Insured No Opt. Call AAA 1,491,420
6,025 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 6,231,718
4,070 Reno, Nevada, Capital Improvement Revenue Bonds, 6/12 at 100.00 AAA 4,523,764
Series 2002, 5.500%, 6/01/21 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 0.3%
795 New Hampshire Housing Finance Agency, Single Family 5/11 at 100.00 Aa2 810,789
Mortgage Acquisition Bonds, Series 2001A,
5.600%, 7/01/21 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.0%
2,500 New Jersey Health Care Facilities Financing Authority, 7/13 at 100.00 Baa2 2,534,425
Revenue Bonds, Somerset Medical Center, Series 2003,
5.500%, 7/01/23
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 1.3%
450 Long Island Power Authority, New York, Electric System 6/08 at 101.00 AAA 478,022
General Revenue Bonds, Series 1998A, 5.125%, 12/01/22 -
FSA Insured
1,000 New York State Dormitory Authority, FHA-Insured Mortgage 2/14 at 100.00 AAA 1,034,440
Hospital Revenue Bonds, Kaleida Health, Series 2004,
5.050%, 2/15/25
1,600 New York State Dormitory Authority, Revenue Bonds, 7/10 at 101.00 Ba1 1,638,800
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/17
18
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 1.1%
$ 2,195 North Carolina Eastern Municipal Power Agency, Power 1/05 at 100.00 BBB $ 2,196,339
System Revenue Refunding Bonds, Series 1993B,
5.500%, 1/01/21
500 Raleigh Durham Airport Authority, North Carolina, Airport 5/11 at 101.00 Aaa 539,405
Revenue Bonds, Series 2001A, 5.250%, 11/01/17 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 0.6%
1,365 Ohio Housing Finance Agency, GNMA Mortgage-Backed 9/07 at 102.00 Aaa 1,443,610
Securities Program Residential Mortgage Remarketed
Revenue Bonds, Series 1997A-1, 6.050%, 9/01/17
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.7%
4,000 Oklahoma Development Finance Authority, Revenue Bonds, 2/14 at 100.00 AA 4,079,280
St. John Health System, Series 2004, 5.000%, 2/15/24
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 0.5%
500 Pennsylvania Higher Educational Facilities Authority, Revenue 7/13 at 100.00 BBB+ 512,160
Bonds, Widner University, Series 2003, 5.250%, 7/15/24
700 Pennsylvania Turnpike Commission, Pennsylvania Turnpike 12/14 at 100.00 AAA 760,445
Revenue Bonds, Series 2004A, 5.500%, 12/01/31 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 7.0%
10,000 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- 11,248,300
Purchase Revenue Bonds, Series 2002, 5.875%, 12/01/19
1,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A 1,666,815
Hospital Revenue Refunding and Improvement Bonds,
Series 2003, 6.000%, 11/01/18
2,500 South Carolina JOBS Economic Development Authority, 11/12 at 100.00 A- 2,545,475
Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30
1,500 Tobacco Settlement Revenue Management Authority, 5/11 at 101.00 BBB 1,428,645
South Carolina, Tobacco Settlement Asset-Backed Bonds,
Series 2001B, 6.000%, 5/15/22
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 8.5%
5,000 Brazos River Harbor Navigation District, Brazoria County, 5/12 at 101.00 A- 5,456,050
Texas, Environmental Facilities Revenue Bonds, Dow
Chemical Company Project, Series 2002A-6, 6.250%, 5/15/33
(Alternative Minimum Tax) (Mandatory put 5/15/17)
360 Dallas-Fort Worth International Airport Public Facility 1/09 at 100.00 AAA 389,005
Corporation, Texas, Airport Hotel Revenue Bonds,
Series 2001, 5.500%, 1/15/20 - FSA Insured
6,150 Dallas Independent School District, Dallas County, Texas, 2/12 at 100.00 AAA 6,614,141
General Obligation Refunding Bonds, Series 2002,
5.250%, 2/15/20
2,300 Harris County Health Facilities Development Corporation, 11/13 at 100.00 AAA 2,331,832
Texas, Thermal Utility Revenue Bonds, TECO Project,
Series 2003, 5.000%, 11/15/30 - MBIA Insured
3,500 Irving Independent School District, Dallas County, Texas, 2/12 at 100.00 AAA 3,543,925
General Obligation Refunding Bonds, Series 2002A,
5.000%, 2/15/31
San Antonio, Texas, Water System Revenue Refunding Bonds,
Series 1992:
465 6.000%, 5/15/16 - MBIA Insured No Opt. Call AAA 541,055
95 6.000%, 5/15/16 (Pre-refunded to 5/15/07) - MBIA Insured 5/07 at 100.00 AAA 104,529
1,750 Texas, General Obligation Bonds, Water Financial 8/13 at 100.00 Aa1 1,761,865
Assistance Program, Series 2003A, 5.125%, 8/01/42
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 9.5%
250 Energy Northwest, Washington, Electric Revenue Refunding 7/12 at 100.00 AAA 281,133
Bonds, Columbia Generating Station, Series 2002C,
5.500%, 7/01/17 - MBIA Insured
5,700 Snohomish County Public Utility District 1, Washington, 1/05 at 100.00 Aaa 6,640,101
Generation System Revenue Bonds, Series 1989,
6.750%, 1/01/12
2,550 Washington State Tobacco Settlement Authority, Tobacco 6/13 at 100.00 BBB 2,513,306
Settlement Asset-Backed Revenue Bonds, Series 2002,
6.500%, 6/01/26
19
Nuveen Select Tax-Free Income Portfolio (NXP) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON (continued)
$ 3,000 Washington State Healthcare Facilities Authority, Revenue 12/07 at 101.00 AAA $ 3,217,800
Bonds, Catholic Health Initiatives, Series 1997A,
5.125%, 12/01/17 - MBIA Insured
9,750 Washington State Healthcare Facilities Authority, Revenue 10/11 at 100.00 AAA 10,365,225
Bonds, Sisters of Providence Health System, Series 2001A,
5.125%, 10/01/17 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 0.9%
1,885 Marshall County, West Virginia, Special Obligation Refunding No Opt. Call AAA 2,153,914
Bonds, Series 1992, 6.500%, 5/15/10
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.5%
2,500 Wisconsin, General Obligation Refunding Bonds, 11/13 at 100.00 AA- 2,570,673
Series 2003-3, 5.000%, 11/01/26
1,000 Wisconsin Health and Educational Facilities Authority, 8/13 at 100.00 A 1,069,350
Revenue Bonds, Wheaton Franciscan Services Inc.,
Series 2003A, 5.500%, 8/15/17
------------------------------------------------------------------------------------------------------------------------------------
$ 234,235 Total Long-Term Investments (cost $225,455,212) - 98.5% 239,124,297
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.5% 3,677,467
--------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 242,801,764
====================================================================================================================
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
# On December 9, 2002, UALCorporation, the holding
company of United Air Lines, Inc. filed for federal
bankruptcy protection. The Adviser determined that it
was likely United would not remain current on their
interest payment obligations with respect to these
bonds and thus has stopped accruing interest.
N/R Investment is not rated.
See accompanying notes to financial statements.
20
Nuveen Select Tax-Free Income Portfolio 2 (NXQ)
Portfolio of
INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
ARKANSAS - 1.6%
$ 1,000 Fort Smith, Arkansas, Water and Sewer Revenue Refunding 10/11 at 100.00 AAA $ 1,073,490
and Construction Bonds, Series 2002A, 5.000%, 10/01/19 -
FSA Insured
1,000 Sebastian County Health Facilities Board, Arkansas, Hospital 11/11 at 101.00 Baa1 1,006,830
Revenue Improvement Bonds, Sparks Regional Medical
Center, Series 2001A, 5.250%, 11/01/21
2,000 University of Arkansas, Fayetteville, Various Facilities 12/12 at 100.00 Aaa 2,034,220
Revenue Bonds, Series 2002, 5.000%, 12/01/32 -
FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 7.5%
1,000 Alameda Corridor Transportation Authority, California, 10/17 at 100.00 AAA 683,630
Subordinate Lien Revenue Bonds, Series 2004A,
0.000%, 10/01/25 - AMBAC Insured
2,500 California, General Obligation Bonds, Series 1997, 10/07 at 101.00 AAA 2,661,925
5.000%, 10/01/18 - AMBAC Insured
3,325 California Department of Water Resources, Power Supply 5/12 at 101.00 A2 3,899,826
Revenue Bonds, Series 2002A, 6.000%, 5/01/14
2,000 California State Public Works Board, Lease Revenue Refunding No Opt. Call Aa2 2,264,040
Bonds, Various University of California Projects,
Series 1993A, 5.500%, 6/01/14
5,000 California State Public Works Board, Lease Revenue Bonds, 11/04 at 102.00 Aaa 5,123,050
Department of Corrections, Soledad II State Prison,
Series 1994A, 6.875%, 11/01/14 (Pre-refunded to 11/01/04)
500 California State Public Works Board, Lease Revenue 12/08 at 101.00 A- 525,335
Refunding Bonds, Community Colleges Projects,
Series 1998A, 5.250%, 12/01/16
500 Contra Costa Water District, California, Water Revenue 10/07 at 100.00 AA 529,470
Refunding Bonds, Series 1997H, 5.000%, 10/01/17
500 Contra Costa County, California, Refunding Certificates 11/07 at 102.00 AAA 548,590
of Participation, Merrithew Memorial Hospital Replacement
Project, Series 1997, 5.375%, 11/01/17 - MBIA Insured
3,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 BBB 2,904,210
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 7.9%
3,000 Colorado Health Facilities Authority, Revenue Bonds, 9/12 at 100.00 AA 3,178,620
Catholic Health Initiatives, Series 2002A, 5.500%, 3/01/22
5,000 Denver, Colorado, Airport System Revenue Refunding Bonds, 11/11 at 100.00 AAA 5,556,450
Series 2001B, 5.625%, 11/15/17 (Alternative Minimum
Tax) - FGIC Insured
3,185 Denver, Colorado, Airport System Revenue Bonds, No Opt. Call A 3,885,095
Series 1991D, 7.750%, 11/15/13 (Alternative Minimum Tax)
3,000 Denver Convention Center Hotel Authority, Colorado, 12/13 at 100.00 AAA 3,105,810
Senior Revenue Bonds, Convention Center Hotel,
Series 2003A, 5.000%, 12/01/23 - XLCA Insured
5,000 E-470 Public Highway Authority, Colorado, Senior Revenue No Opt. Call AAA 1,837,150
Bonds, Series 2000B, 0.000%, 9/01/24 - MBIA Insured
5,000 E-470 Public Highway Authority, Colorado, Senior Revenue 9/10 at 31.42 AAA 1,240,250
Bonds, Series 2000A, 0.000%, 9/01/28 - MBIA Insured
250 Northwest Parkway Public Highway Authority, Colorado, 6/11 at 102.00 AAA 257,105
Revenue Bonds, Senior Series 2001A, 5.250%, 6/15/41 -
FSA Insured
1,100 University of Colorado Hospital Authority, Hospital Revenue 11/11 at 100.00 A3 1,124,200
Bonds, Series 2001A, 5.600%, 11/15/31
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.2%
500 District of Columbia, Hospital Revenue Refunding Bonds, 8/06 at 102.00 AAA 541,075
Medlantic Healthcare Group, Series 1996A,
5.750%, 8/15/16 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 2.4%
6,060 JEA, Florida, St. John's River Power Park System Revenue 10/04 at 100.00 Aa2 6,072,362
Refunding Bonds, Issue Two, Series Nine, 5.250%, 10/01/21
21
Nuveen Select Tax-Free Income Portfolio 2 (NXQ) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
HAWAII - 0.5%
$ 1,100 Hawaii, Certificates of Participation, Kapolei State Office 11/08 at 101.00 AAA $ 1,181,928
Building, Series 1998A, 5.000%, 5/01/17 - AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 15.8%
4,425 Chicago Metropolitan Housing Development Corporation, 1/05 at 100.00 AA 4,432,523
Illinois, FHA-Insured Section 8 Assisted Housing Development
Revenue Refunding Bonds, Series 1992, 6.800%, 7/01/17
2,400 Chicago, Illinois, Special Facility Revenue Refunding Bonds, No Opt. Call N/R 660,000
O'Hare International Airport, United Air Lines Inc. Project,
Series 2001C, 6.300%, 5/01/16#
250 Illinois Development Finance Authority, Economic Development 8/08 at 100.00 Baa2 261,842
Revenue Bonds, Latin School of Chicago Project, Series 1998,
5.200%, 8/01/11
Illinois Educational Facilities Authority, Revenue Refunding
Bonds, Columbia College, Series 1992:
2,610 6.875%, 12/01/17 (Pre-refunded to 12/01/04) 12/04 at 100.00 N/R*** 2,633,229
1,140 6.875%, 12/01/17 (Pre-refunded to 12/01/04) 12/04 at 100.00 BBB 1,149,804
3,000 Illinois Health Facilities Authority, Revenue Bonds, 11/04 at 101.00 AAA 3,065,880
Rush-Presbyterian St. Luke's Medical Center Obligated
Group, Series 1993, 5.250%, 11/15/20 - MBIA Insured
1,055 Illinois Health Facilities Authority, Revenue Bonds, Loyola 7/11 at 100.00 Baa1 1,081,808
University Health System, Series 2001A, 6.125%, 7/01/31
2,255 Illinois Health Facilities Authority, Revenue Bonds, 7/12 at 100.00 A- 2,465,166
Lake Forest Hospital, Series 2002A, 6.250%, 7/01/22
1,900 Illinois Housing Development Authority, Homeowner 2/10 at 100.00 AA 2,038,415
Mortgage Revenue Bonds, Series 2000D-3, 5.700%, 8/01/17
600 Illinois Educational Facilities Authority, Student Housing 5/12 at 101.00 Baa2 625,068
Revenue Bonds, Educational Advancement Foundation Fund,
University Center Project, Series 2002, 6.000%, 5/01/22
5,700 Illinois, Sales Tax Revenue Bonds, First Series 2002, 6/13 at 100.00 AAA 5,967,957
5.000%, 6/15/22
45 Metropolitan Pier and Exposition Authority, Illinois, 12/04 at 101.00 A1 45,539
McCormick Place Expansion Project Bonds, Series 1992A,
6.500%, 6/15/22
7,000 Metropolitan Pier and Exposition Authority, Illinois, 6/12 at 101.00 AAA 7,375,760
McCormick Place Expansion Project Refunding Bonds,
Series 2002B, 5.000%, 6/15/21 - MBIA Insured
5,045 Sauk Village, Illinois, General Obligation Alternate Revenue 12/12 at 100.00 AA 5,153,215
Source Bonds, Tax Increment, Series 2002A,
5.000%, 6/01/22 - RAAI Insured
Sauk Village, Illinois, General Obligation Alternate Revenue
Source Bonds, Tax Increment, Series 2002B:
1,060 0.000%, 12/01/17 - RAAI Insured No Opt. Call AA 556,723
1,135 0.000%, 12/01/18 - RAAI Insured No Opt. Call AA 561,587
1,100 Schaumburg, Illinois, General Obligation Bonds, 12/14 at 100.00 AAA 1,152,294
Series 2004B, 5.250%, 12/01/34 - FGIC Insured
1,000 Yorkville, Illinois, General Obligation Debt Certificates, 12/11 at 100.00 AA 1,023,000
Series 2003, 5.000%, 12/15/21 - RAAI Insured
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 2.9%
1,000 Franklin Community Multi-School Building Corporation, 7/14 at 100.00 AAA 1,050,910
Marion County, Indiana, First Mortgage Revenue Bonds,
Series 2004, 5.000%, 7/15/22 - FGIC Insured
4,380 Indiana Municipal Power Agency, Power Supply System 1/12 at 100.00 AAA 4,624,316
Revenue Bonds, Series 2002A, 5.125%, 1/01/21 -
AMBAC Insured
1,545 Indiana Housing Finance Authority, Single Family Mortgage 7/11 at 100.00 Aaa 1,598,534
Revenue Bonds, Series 2002C-2, 5.250%, 7/01/23
(Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 1.5%
Iowa Tobacco Settlement Authority, Tobacco Settlement
Asset-Backed Revenue Bonds, Series 2001B:
1,000 5.300%, 6/01/25 6/11 at 101.00 BBB 839,070
3,500 5.600%, 6/01/35 6/11 at 101.00 BBB 2,867,620
------------------------------------------------------------------------------------------------------------------------------------
LOUISIANA - 1.2%
3,000 Louisiana Public Facilities Authority, Revenue Bonds, Tulane 7/12 at 100.00 AAA 3,108,630
University, Series 2002A, 5.125%, 7/01/27 - AMBAC Insured
22
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 2.2%
$ 3,000 Massachusetts Health and Educational Facilities Authority, 10/11 at 101.00 BBB+ $ 3,111,720
Revenue Bonds, Berkshire Health System, Series 2001E,
6.250%, 10/01/31
2,090 Massachusetts Water Resources Authority, General Revenue No Opt. Call AAA 2,366,883
Bonds, Series 1993C, 5.250%, 12/01/15 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 2.0%
2,900 Michigan State Hospital Finance Authority, Revenue 12/12 at 100.00 AA- 2,982,766
Refunding Bonds, Trinity Health Credit Group, Series 2002C,
5.375%, 12/01/30
2,000 Plymouth-Canton Community School District, Wayne and 5/09 at 100.00 AA+ 2,102,420
Washtenaw Counties, Michigan, Unlimited Tax General
Obligation School Building and Site Bonds, Series 1999,
4.750%, 5/01/18
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 7.0%
500 Clark County, Nevada, Limited Tax General Obligation 7/06 at 101.00 AAA 532,655
Las Vegas Convention and Visitors Authority Bonds,
Series 1996, 5.500%, 7/01/17 - MBIA Insured
1,500 Clark County, Nevada, General Obligation Bank Bonds, 6/11 at 100.00 AAA 1,654,125
Southern Nevada Water Authority Loan, Series 2001,
5.300%, 6/01/19 - FGIC Insured
Director of Nevada State Department of Business and Industry,
Revenue Bonds, Las Vegas Monorail Project, First Tier Series 2000:
4,595 0.000%, 1/01/22 - AMBAC Insured No Opt. Call AAA 1,958,021
13,250 5.375%, 1/01/40 - AMBAC Insured 1/10 at 100.00 AAA 13,704,608
------------------------------------------------------------------------------------------------------------------------------------
NEW JERSEY - 1.0%
2,500 New Jersey Health Care Facilities Financing Authority, 7/13 at 100.00 Baa2 2,534,425
Revenue Bonds, Somerset Medical Center, Series 2003,
5.500%, 7/01/23
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 6.0%
2,700 New York State Dormitory Authority, Revenue Bonds, 7/10 at 101.00 Ba1 2,765,475
Mount Sinai NYU Health Obligated Group, Series 2000A,
6.500%, 7/01/17
4,000 New York State Medical Care Facilities Finance Agency, 2/05 at 102.00 AAA 4,156,560
FHA-Insured Mortgage Revenue Bonds, New York and
Presbyterian Hospital, Series 1994A, 6.750%, 8/15/14
(Pre-refunded to 2/15/05) - AMBAC Insured
3,000 New York Tobacco Settlement Financing Corporation, 6/11 at 100.00 AA- 3,319,200
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/16
4,425 Triborough Bridge and Tunnel Authority, New York, No Opt. Call AA- 5,024,278
Convention Center Bonds, Series 1990E, 7.250%, 1/01/10
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 0.6%
1,500 Charlotte-Mecklenburg Hospital Authority, North Carolina, 1/11 at 101.00 AA 1,509,915
Healthcare System Revenue Bonds, Carolinas Healthcare
System, Series 2001A, 5.000%, 1/15/31
------------------------------------------------------------------------------------------------------------------------------------
OHIO - 1.2%
2,800 Cuyahoga County, Ohio, Hospital Revenue Bonds, Cleveland 8/05 at 102.00 AAA 2,967,832
Clinic Foundation, Meridia Health System, Series 1995,
6.250%, 8/15/14 (Pre-refunded to 8/15/05)
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.3%
1,000 Dauphin County General Authority, Pennsylvania, Health 2/09 at 101.00 AAA 1,072,890
System Revenue Bonds, Pinnacle Health System Project,
Series 1999, 5.125%, 8/15/17 - MBIA Insured
1,000 Philadelphia Authority for Industrial Development, 7/11 at 101.00 AAA 1,105,900
Pennsylvania, Airport Revenue Bonds, Philadelphia Airport
System Project, Series 2001A, 5.500%, 7/01/17 (Alternative
Minimum Tax) - FGIC Insured
3,250 Philadelphia School District, Pennsylvania, General 2/12 at 100.00 AAA 3,717,350
Obligation Bonds, Series 2002A, 5.500%, 2/01/31
(Pre-refunded to 2/01/12) - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
PUERTO RICO - 1.2%
3,000 Puerto Rico Housing Finance Authority, Capital Fund 12/13 at 100.00 AA*** 3,175,050
Program Revenue Bonds, Series 2003, 5.000%, 12/01/20
23
Nuveen Select Tax-Free Income Portfolio 2 (NXQ) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
RHODE ISLAND - 1.7%
$ 5,000 Rhode Island Tobacco Settlement Financing Corporation, 6/12 at 100.00 BBB $ 4,452,900
Tobacco Settlement Asset-Backed Bonds, Series 2002A,
6.250%, 6/01/42
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 6.3%
4,000 Greenville County School District, South Carolina, Installment 12/12 at 101.00 AA- 4,499,320
Purchase Revenue Bonds, Series 2002, 5.875%, 12/01/19
2,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A 2,778,025
Hospital Revenue Refunding and Improvement Bonds,
Series 2003, 6.000%, 11/01/18
8,350 South Carolina Public Service Authority, Revenue Refunding 1/06 at 102.00 AAA 8,880,809
Bonds, Santee Cooper Electric System, Series 1996A,
5.750%, 1/01/22 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.4%
1,000 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 A+ 1,005,550
Revenue Bonds, Sioux Valley Hospitals and Health System,
Series 2004A, 5.250%, 11/01/34
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 14.3%
4,000 Brazos River Harbor Navigation District, Brazoria County, 5/12 at 101.00 A- 4,364,840
Texas, Environmental Facilities Revenue Bonds, Dow
Chemical Company Project, Series 2002A-6, 6.250%, 5/15/33
(Alternative Minimum Tax) (Mandatory put 5/15/17)
2,365 Cleveland Housing Corporation, Texas, FHA-Insured 1/05 at 100.00 AAA 2,368,879
Section 8 Assisted Mortgage Revenue Refunding Bonds,
Series 1992C, 7.375%, 7/01/24 - MBIA Insured
4,550 Harris County-Houston Sports Authority, Texas, Junior Lien 11/31 at 53.78 AAA 531,668
Revenue Bonds, Series 2001H, 0.000%, 11/15/41 -
MBIA Insured
2,500 Harris County Health Facilities Development Corporation, 10/05 at 102.00 AAA 2,844,975
Texas, Hospital Revenue Bonds, Texas Children's Hospital,
Series 1995, 5.500%, 10/01/16 - MBIA Insured
3,000 Harris County Health Facilities Development Corporation, 11/13 at 100.00 AAA 3,041,520
Texas, Thermal Utility Revenue Bonds, TECO Project,
Series 2003, 5.000%, 11/15/30 - MBIA Insured
2,000 Houston, Texas, Airport System Subordinate Lien Revenue 7/12 at 100.00 AAA 2,214,680
Bonds, Series 2002A, 5.625%, 7/01/20 (Alternative
Minimum Tax) - FSA Insured
3,125 Katy Independent School District, Harris, Fort Bend 2/12 at 100.00 AAA 3,164,031
and Waller Counties, Texas, General Obligation Bonds,
Series 2002A, 5.000%, 2/15/32
1,000 Killeen Independent School District, Bell County, Texas, 2/08 at 100.00 AAA 1,076,030
General Obligation Bonds, Series 1998, 5.000%, 2/15/14
4,750 Sam Rayburn Municipal Power Agency, Texas, Power 10/12 at 100.00 AA 5,159,308
Supply System Revenue Refunding Bonds, Series 2002A,
5.500%, 10/01/17 - RAAI Insured
1,000 Texas, General Obligation Bonds, Water Financial 8/13 at 100.00 Aa1 1,006,780
Assistance Program, Series 2003A, 5.125%, 8/01/42
(Alternative Minimum Tax)
8,900 Texas Turnpike Authority, Dallas North Tollway System 1/06 at 102.00 AAA 9,355,146
Revenue Bonds, President George Bush Turnpike,
Series 1995, 5.250%, 1/01/23 - FGIC Insured
1,250 Texas Water Development Board, Senior Lien State 1/07 at 100.00 AAA 1,318,163
Revolving Fund Revenue Bonds, Series 1996B,
5.125%, 7/15/18
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.6%
1,435 Salt Lake City and Sandy Metropolitan Water District, 7/14 at 100.00 Aaa 1,523,052
Utah, Water Revenue Bonds, Series 2004, 5.000%, 7/01/21
------------------------------------------------------------------------------------------------------------------------------------
VERMONT - 2.7%
3,000 Vermont Housing Finance Agency, Multifamily Housing 2/09 at 100.00 AAA 3,172,170
Bonds, Series 1999C, 5.800%, 8/15/16 - FSA Insured
3,600 Vermont Industrial Development Authority, Industrial 3/05 at 100.00 A 3,606,804
Development Revenue Refunding Bonds, Stanley Works
Inc. Project, Series 1992, 6.750%, 9/01/10
24
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 3.6%
$ 2,000 Washington State Healthcare Facilities Authority, 12/07 at 101.00 AAA $ 2,145,200
Revenue Bonds, Catholic Health Initiatives, Series 1997A,
5.125%, 12/01/17 - MBIA Insured
6,715 Washington State Healthcare Facilities Authority, 10/11 at 100.00 AAA 7,138,715
Revenue Bonds, Sisters of Providence Health System,
Series 2001A, 5.125%, 10/01/17 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 2.1%
4,000 Wisconsin Housing and Economic Development Authority, 3/12 at 100.00 AA 4,199,000
Home Ownership Revenue Bonds, Series 2002G,
4.850%, 9/01/17
1,000 Wisconsin Health and Educational Facilities Authority, 8/13 at 100.00 A 1,064,540
Revenue Bonds, Wheaton Franciscan Services Inc.,
Series 2003A, 5.500%, 8/15/18
------------------------------------------------------------------------------------------------------------------------------------
$ 251,715 Total Long-Term Investments (cost $237,596,420) - 96.7% 246,247,729
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 3.3% 8,496,837
--------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 254,744,566
====================================================================================================================
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
# On December 9, 2002, UALCorporation, the holding
company of United Air Lines, Inc. filed for federal
bankruptcy protection. The Adviser determined that it
was likely United would not remain current on their
interest payment obligations with respect to these
bonds and thus has stopped accruing interest.
N/R Investment is not rated.
See accompanying notes to financial statements.
25
Nuveen Select Tax-Free Income Portfolio 3 (NXR)
Portfolio of
INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
ALABAMA - 0.3%
$ 500 Marshall County Healthcare Authority, Alabama, Revenue 1/12 at 101.00 A- $ 543,780
Bonds, Series 2002A, 6.250%, 1/01/22
------------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA - 7.7%
2,105 Azusa Unified School District, Los Angeles County, 7/12 at 100.00 AAA 2,312,511
California, General Obligation Bonds, Series 2002,
5.375%, 7/01/21 - FSA Insured
3,350 California Department of Water Resources, Power Supply 5/12 at 101.00 A2 3,929,148
Revenue Bonds, Series 2002A, 6.000%, 5/01/14
3,000 California State Public Works Board, Lease Revenue Bonds, 11/04 at 102.00 Aaa 3,073,830
Department of Corrections, Soledad II State Prison,
Series 1994A, 6.875%, 11/01/14 (Pre-refunded to 11/01/04)
3,000 Golden State Tobacco Securitization Corporation, California, 6/13 at 100.00 BBB 2,904,210
Tobacco Settlement Asset-Backed Bonds, Series 2003A-1,
6.750%, 6/01/39
2,000 Golden State Tobacco Securitization Corporation, 6/05 at 100.00 A- 2,018,700
California, Enhanced Tobacco Settlement Asset-Backed
Bonds, Series 2003B, 5.250%, 6/01/16
------------------------------------------------------------------------------------------------------------------------------------
COLORADO - 5.7%
4,000 Colorado Health Facilities Authority, Revenue Bonds, 9/12 at 100.00 AA 4,238,160
Catholic Health Initiatives, Series 2002A, 5.500%, 3/01/22
2,700 Denver, Colorado, Airport System Revenue Bonds, No Opt. Call A 3,293,487
Series 1991D, 7.750%, 11/15/13 (Alternative Minimum Tax)
3,000 Denver Convention Center Hotel Authority, Colorado, Senior 12/13 at 100.00 AAA 3,092,160
Revenue Bonds, Convention Center Hotel, Series 2003A,
5.000%, 12/01/24 - XLCA Insured
------------------------------------------------------------------------------------------------------------------------------------
CONNECTICUT - 0.1%
250 Connecticut Health and Educational Facilities Authority, 1/05 at 100.00 AAA 250,915
Revenue Bonds, Bridgeport Hospital Issue, Series 1992A,
6.625%, 7/01/18 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 0.2%
235 District of Columbia, General Obligation Refunding Bonds, No Opt. Call AAA 276,409
Series 1994A-1, 6.500%, 6/01/10 - MBIA Insured
15 District of Columbia, General Obligation Bonds, Series 1993E, 12/04 at 101.00 AAA 15,209
6.000%, 6/01/13 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
FLORIDA - 5.0%
4,000 JEA, Florida, Subordinate Lien Electric System Revenue 10/07 at 100.00 Aa3 4,017,800
Bonds, Series 2002D, 4.625%, 10/01/22
5,020 JEA, Florida, St. John's River Power Park System, Revenue 10/11 at 100.00 Aa2 5,344,443
Refunding Bonds, Series 2002-17, Issue 2, 5.000%, 10/01/18
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS - 21.8%
3,000 Bryant, Illinois, Pollution Control Revenue Refunding Bonds, 2/05 at 100.00 A2 3,004,140
Central Illinois Light Company Project, Series 1992,
6.500%, 2/01/18
1,200 Chicago Metropolitan Housing Development Corporation, 1/05 at 100.00 AA 1,215,336
Illinois, FHA-Insured Section 8 Assisted Housing
Development Revenue Refunding Bonds, Series 1992,
6.850%, 7/01/22
2,550 Chicago, Illinois, FHA-Insured Mortgage Revenue Bonds, 12/04 at 100.00 AAA 2,553,851
Lakeview Towers Project, Series 1992, 6.600%, 12/01/20
700 Chicago, Illinois, Special Facility Revenue Refunding Bonds, No Opt. Call N/R 192,500
O'Hare International Airport, United Air Lines Inc. Project,
Series 2001C, 6.300%, 5/01/16#
1,930 Illinois Development Finance Authority, Revenue Bonds, 5/11 at 101.00 A- 2,097,910
Midwestern University, Series 2001B, 5.750%, 5/15/16
1,500 Illinois Health Facilities Authority, Revenue Bonds, Evangelical No Opt. Call N/R*** 1,831,515
Hospitals Corporation, Series 1992C, 6.250%, 4/15/22
26
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
ILLINOIS (continued)
$ 4,000 Illinois Health Facilities Authority, Revenue Bonds, 9/06 at 100.00 AAA $ 4,354,360
Franciscan Sisters Healthcare Corporation Project,
Series 1992B, 6.625%, 9/01/13 (Pre-refunded to 9/01/06) -
MBIA Insured
4,465 Illinois Health Facilities Authority, Remarketed Revenue Bonds, 8/11 at 103.00 Aa1 4,934,182
University of Chicago Project, Series 1985A, 5.500%, 8/01/20
2,225 Illinois Health Facilities Authority, Revenue Refunding Bonds, 1/13 at 100.00 A2 2,486,705
Elmhurst Memorial Healthcare, Series 2002, 6.250%, 1/01/17
620 Illinois Housing Development Authority, Homeowner 2/10 at 100.00 AA 665,167
Mortgage Revenue Bonds, Series 2000D-3, 5.700%, 8/01/17
5,700 Illinois, Sales Tax Revenue Bonds, First Series 2002, 6/13 at 100.00 AAA 5,967,957
5.000%, 6/15/22
2,000 Illinois, Sales Tax Revenue Bonds, Series 1997X, 5.600%, 6/15/17 6/07 at 101.00 AAA 2,181,920
6,000 Metropolitan Pier and Exposition Authority, Illinois, McCormick 6/12 at 101.00 AAA 6,322,080
Place Expansion Project Refunding Bonds, Series 2002B,
5.000%, 6/15/21 - MBIA Insured
1,300 Schaumburg, Illinois, General Obligation Bonds, 12/14 at 100.00 AAA 1,361,802
Series 2004B, 5.250%, 12/01/34 - FGIC Insured
1,000 Yorkville, Illinois, General Obligation Debt Certificates, 12/11 at 100.00 AA 1,019,320
Series 2003, 5.000%, 12/15/22 - RAAI Insured
------------------------------------------------------------------------------------------------------------------------------------
INDIANA - 3.6%
1,000 Franklin Community Multi-School Building Corporation, 7/14 at 100.00 AAA 1,050,910
Marion County, Indiana, First Mortgage Revenue Bonds,
Series 2004, 5.000%, 7/15/22 - FGIC Insured
3,500 Indiana Health Facility Financing Authority, Hospital Revenue 9/11 at 100.00 A+ 3,618,825
Bonds, Methodist Hospital Inc., Series 2001,
5.375%, 9/15/22
2,000 Indianapolis Local Public Improvement Bond Bank, Indiana, 7/12 at 100.00 AAA 2,087,660
Waterworks Project, Series 2002A, 5.250%, 7/01/33 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
IOWA - 2.8%
Iowa Tobacco Settlement Authority, Tobacco Settlement
Asset-Backed Revenue Bonds, Series 2001B:
3,500 5.300%, 6/01/25 6/11 at 101.00 BBB 2,936,745
2,850 5.600%, 6/01/35 6/11 at 101.00 BBB 2,335,062
------------------------------------------------------------------------------------------------------------------------------------
MASSACHUSETTS - 0.8%
1,000 Massachusetts Development Finance Agency, Resource 12/08 at 102.00 BBB 985,610
Recovery Revenue Bonds, Ogden Haverhill Project,
Series 1998B, 5.200%, 12/01/13 (Alternative Minimum Tax)
500 Massachusetts Health and Educational Facilities Authority, 7/11 at 101.00 AA- 565,945
Revenue Bonds, Partners HealthCare System Inc.,
Series 2001C, 6.000%, 7/01/17
------------------------------------------------------------------------------------------------------------------------------------
MICHIGAN - 4.9%
4,000 Michigan Housing Development Authority, Single Family 6/06 at 102.00 AA+ 4,185,560
Mortgage Revenue Bonds, Series 1996C, 5.950%, 12/01/17
235 Michigan State Hospital Finance Authority, Revenue 2/05 at 101.00 Ba3 215,110
Refunding Bonds, Detroit Medical Center Obligated Group,
Series 1993A, 6.500%, 8/15/18
2,900 Michigan State Hospital Finance Authority, Revenue 12/12 at 100.00 AA- 2,982,766
Refunding Bonds, Trinity Health Credit Group,
Series 2002C, 5.375%, 12/01/30
1,600 Plymouth-Canton Community School District, Wayne and 5/09 at 100.00 AA+ 1,681,936
Washtenaw Counties, Michigan, Unlimited Tax General
Obligation School Building and Site Bonds, Series 1999,
4.750%, 5/01/18
------------------------------------------------------------------------------------------------------------------------------------
MISSISSIPPI - 0.4%
725 Mississippi Hospital Equipment and Facilities Authority, 9/14 at 100.00 N/R 725,254
Revenue Bonds, Baptist Memorial Health Care, Series
2004B-1, 5.000%, 9/01/24
------------------------------------------------------------------------------------------------------------------------------------
NEBRASKA - 1.9%
3,500 Nebraska Public Power District, General Revenue 1/13 at 100.00 AAA 3,574,480
Bonds, Series 2002B, 5.000%, 1/01/33 - AMBAC Insured
27
Nuveen Select Tax-Free Income Portfolio 3 (NXR) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
NEVADA - 4.9%
$ 4,000 Director of Nevada State Department of Business and 1/10 at 100.00 AAA $ 4,137,240
Industry, Revenue Bonds, Las Vegas Monorail Project,
First Tier Series 2000, 5.375%, 1/01/40 - AMBAC Insured
4,510 Reno, Nevada, Capital Improvement Revenue Bonds, 6/12 at 100.00 AAA 4,991,668
Series 2002, 5.500%, 6/01/22 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
NEW HAMPSHIRE - 0.5%
975 New Hampshire Housing Finance Agency, Single Family 5/11 at 100.00 Aa2 994,364
Mortgage Acquisition Bonds, Series 2001A,
5.600%, 7/01/21 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 3.8%
2,335 Long Island Power Authority, New York, Electric System 9/11 at 100.00 A- 2,464,476
General Revenue Bonds, Series 2001A, 5.375%, 9/01/21
35 New York City, New York, General Obligation Bonds, 2/05 at 100.00 A 35,131
Series 1991B, 7.000%, 2/01/18
2,130 New York State Dormitory Authority, Second General No Opt. Call A3 2,455,741
Resolution Consolidated Revenue Bonds, City University
System, Series 1990C, 7.500%, 7/01/10
1,850 New York Tobacco Settlement Financing Corporation, 6/10 at 100.00 AA- 2,030,209
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/15
------------------------------------------------------------------------------------------------------------------------------------
NORTH CAROLINA - 4.3%
5,000 North Carolina Municipal Power Agency 1, Catawba 1/13 at 100.00 AAA 5,459,200
Electric Revenue Bonds, Series 2003A, 5.250%, 1/01/18 -
MBIA Insured
2,345 Piedmont Triad Airport Authority, North Carolina, Airport 7/11 at 101.00 AAA 2,588,083
Revenue Bonds, Series 2001A, 5.250%, 7/01/16 -
FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
OKLAHOMA - 1.7%
3,000 Oklahoma Development Finance Authority, Revenue Bonds, 2/14 at 100.00 AA 3,059,460
St. John Health System, Series 2004, 5.000%, 2/15/24
------------------------------------------------------------------------------------------------------------------------------------
PENNSYLVANIA - 2.5%
2,435 Dauphin County Industrial Development Authority, No Opt. Call A- 3,032,817
Pennsylvania, Water Development Revenue Refunding
Bonds, Dauphin Consolidated Water Supply Company,
Series 1992B, 6.700%, 6/01/17
500 Pennsylvania Higher Educational Facilities Authority, 7/13 at 100.00 BBB+ 512,160
Revenue Bonds, Widner University, Series 2003,
5.250%, 7/15/24
1,000 Philadelphia Authority for Industrial Development, 7/11 at 101.00 AAA 1,105,900
Pennsylvania, Airport Revenue Bonds, Philadelphia
Airport System Project, Series 2001A, 5.500%, 7/01/17
(Alternative Minimum Tax) - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
SOUTH CAROLINA - 2.3%
1,500 Lexington County Health Service District, South Carolina, 11/13 at 100.00 A 1,666,815
Hospital Revenue Refunding and Improvement Bonds,
Series 2003, 6.000%, 11/01/18
2,500 South Carolina JOBS Economic Development Authority, 11/12 at 100.00 A- 2,545,475
Revenue Bonds, Bon Secours Health System Inc.,
Series 2002A, 5.625%, 11/15/30
------------------------------------------------------------------------------------------------------------------------------------
SOUTH DAKOTA - 0.5%
1,000 South Dakota Health and Educational Facilities Authority, 11/14 at 100.00 A+ 1,005,550
Revenue Bonds, Sioux Valley Hospitals and Health System,
Series 2004A, 5.250%, 11/01/34
------------------------------------------------------------------------------------------------------------------------------------
TENNESSEE - 1.1%
2,000 Knox County Health, Educational and Housing Facilities 4/12 at 101.00 Baa3 1,986,160
Board, Tennessee, Hospital Facilities Revenue Bonds,
Baptist Health System of East Tennessee Inc., Series 2002,
6.375%, 4/15/22
------------------------------------------------------------------------------------------------------------------------------------
TEXAS - 14.6%
3,755 Grand Prairie Industrial Development Authority, Texas, 12/04 at 100.00 A- 3,782,749
Industrial Development Revenue Refunding Bonds, Baxter
International Inc. Project, Series 1992, 6.550%, 12/01/12
2,500 Harris County Health Facilities Development Corporation, 11/13 at 100.00 AAA 2,534,600
Texas, Thermal Utility Revenue Bonds, TECO Project,
Series 2003, 5.000%, 11/15/30 - MBIA Insured
3,000 Houston, Texas, Airport System Subordinate Lien Revenue 7/12 at 100.00 AAA 3,371,640
Bonds, Series 2002B, 5.500%, 7/01/18
28
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
TEXAS (continued)
$ 3,125 Katy Independent School District, Harris, Fort Bend and 2/12 at 100.00 AAA $ 3,164,031
Waller Counties, Texas, General Obligation Bonds,
Series 2002A, 5.000%, 2/15/32
1,825 Killeen Independent School District, Bell County, Texas, 2/08 at 100.00 AAA 1,963,755
General Obligation Bonds, Series 1998, 5.000%, 2/15/14
5,000 North Central Texas Health Facilities Development 5/06 at 102.00 AA- 5,174,600
Corporation, Hospital Revenue Refunding Bonds, Baylor
Healthcare System, Series 1995, 5.250%, 5/15/16
4,750 Sam Rayburn Municipal Power Agency, Texas, Power 10/12 at 100.00 AA 5,159,308
Supply System Revenue Refunding Bonds, Series 2002A,
5.500%, 10/01/17 - RAAI Insured
1,750 Texas, General Obligation Bonds, Water Financial Assistance 8/13 at 100.00 Aa1 1,761,865
Program, Series 2003A, 5.125%, 8/01/42 (Alternative
Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
UTAH - 0.9%
1,710 Intermountain Power Agency, Utah, Power Supply Revenue 7/06 at 102.00 A+ 1,750,972
Refunding Bonds, Series 1996D, 5.000%, 7/01/21
------------------------------------------------------------------------------------------------------------------------------------
WASHINGTON - 2.1%
3,880 Washington, General Obligation Bonds, Series 1993A, 10/04 at 100.00 Aa1 3,881,048
4.500%, 10/01/18
------------------------------------------------------------------------------------------------------------------------------------
WEST VIRGINIA - 1.4%
2,500 Berkeley County Building Commission, West Virginia, 11/04 at 100.00 BBB- 2,503,150
Hospital Revenue Bonds, City Hospital Project, Series 1992,
6.500%, 11/01/09
------------------------------------------------------------------------------------------------------------------------------------
WISCONSIN - 1.4%
2,500 Wisconsin, General Obligation Refunding Bonds, 11/13 at 100.00 AA- 2,570,671
Series 2003-3, 5.000%, 11/01/26
------------------------------------------------------------------------------------------------------------------------------------
$ 172,085 Total Long-Term Investments (cost $173,438,732) - 97.2% 180,134,208
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 2.8% 5,262,508
--------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 185,396,716
====================================================================================================================
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
*** Securities are backed by an escrow or trust containing
sufficient U.S. Government or U.S. Government agency
securities which ensures the timely payment of
principal and interest. Such securities are normally
considered to be equivalent to AAA rated securities.
# On December 9, 2002, UALCorporation, the holding
company of United Air Lines, Inc. filed for federal
bankruptcy protection. The Adviser determined that it
was likely United would not remain current on their
interest payment obligations with respect to these
bonds and thus has stopped accruing interest.
N/R Investment is not rated.
See accompanying notes to financial statements.
29
Nuveen California Select Tax-Free Income Portfolio (NXC)
Portfolio of
INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 2.0%
$ 1,885 California County Tobacco Securitization Agency, Tobacco 6/12 at 100.00 BBB $ 1,814,671
Settlement Asset-Backed Revenue Bonds, Fresno County
Tobacco Funding Corporation, Series 2002, 5.625%, 6/01/23
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 13.9%
1,000 California Educational Facilities Authority, Revenue Bonds, 12/09 at 101.00 AAA 1,037,980
Stanford University, Series 1999P, 5.000%, 12/01/23
750 California Educational Facilities Authority, Revenue Bonds, 8/09 at 100.00 A1 780,533
Pepperdine University, Series 2002A, 5.500%, 8/01/32
2,600 California Educational Facilities Authority, Revenue Bonds, 11/11 at 100.00 A2 2,740,478
University of the Pacific, Series 2002, 5.250%, 11/01/21
1,000 California Educational Facilities Authority, Revenue Bonds, 10/12 at 100.00 A2 1,049,310
University of San Diego, Series 2002A, 5.500%, 10/01/32
3,000 California Infrastructure Economic Development Bank, 10/11 at 101.00 A- 3,212,580
Revenue Bonds, J. David Gladstone Institutes,
Series 2001, 5.500%, 10/01/19
2,000 California State Public Works Board, Lease Revenue Bonds, 10/12 at 100.00 AAA 2,094,640
University of California System, Series 2002A,
5.000%, 10/01/22
750 California Statewide Community Development Authority, 8/12 at 100.00 A 775,485
Student Housing Revenue Bonds, EAH - Irvine East
Campus Apartments LLC Project, Series 2002A,
5.500%, 8/01/22 - ACA Insured
1,000 Long Beach Bond Financing Authority, California, 11/11 at 101.00 AAA 1,041,040
Lease Revenue Refunding Bonds, Long Beach Aquarium
of the South Pacific, Series 2001, 5.250%, 11/01/30 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
HEALTHCARE - 11.6%
2,500 California Health Facilities Financing Authority, Insured 10/04 at 100.00 AAA 2,555,525
Hospital Revenue Bonds, Scripps Memorial Hospital,
Series 1992A, 6.400%, 10/01/12 - MBIA Insured
2,000 California Infrastructure Economic Development Bank, 8/11 at 102.00 A 2,073,020
Revenue Bonds, Kaiser Hospital Assistance LLC,
Series 2001A, 5.550%, 8/01/31
1,880 California Statewide Community Development Authority, 6/07 at 101.00 AAA 2,036,942
Revenue Bonds, Los Angeles Orthopedic Hospital
Foundation, Series 2000, 5.500%, 6/01/17 - AMBAC Insured
1,500 California Statewide Community Development Authority, 11/09 at 102.00 A 1,549,860
Insured Mortgage Hospital Revenue Bonds, Mission
Community Hospital, Series 2001, 5.375%, 11/01/26
1,500 California Statewide Community Development Authority, 6/13 at 100.00 AAA 1,644,780
Hospital Revenue Bonds, Monterey Peninsula Hospital,
Series 2003B, 5.250%, 6/01/18 - FSA Insured
790 Central California Joint Powers Health Finance Authority, 2/05 at 100.00 Baa2 761,821
Certificates of Participation, Community Hospitals of
Central California, Series 1993, 5.000%, 2/01/23
------------------------------------------------------------------------------------------------------------------------------------
INDUSTRIALS - 1.4%
1,250 California Pollution Control Financing Authority, Solid No Opt. Call BBB+ 1,317,488
Waste Disposal Revenue Bonds, Republic Services Inc.,
Series 2002C, 5.250%, 6/01/23 (Alternative Minimum
Tax) (Mandatory put 12/01/17)
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 1.7%
1,500 ABAG Finance Authority for Non-Profit Corporations, 11/12 at 100.00 A 1,560,675
California, Insured Senior Living Revenue Bonds, Odd
Fellows Home of California, Series 2003A,
5.200%, 11/15/22
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 20.4%
500 Beverly Hills Unified School District, Los Angeles County, 8/12 at 100.00 AA 514,165
California, General Obligation Bonds, Series 2002A,
5.000%, 8/01/26
California, General Obligation Bonds, Series 2003:
500 5.250%, 11/01/19 - RAAI Insured 11/13 at 100.00 AA 542,050
1,450 5.250%, 2/01/21 8/13 at 100.00 A 1,553,037
1,000 5.250%, 2/01/22 - CIFG Insured 8/13 at 100.00 AAA 1,079,470
30
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL (continued)
California, General Obligation Bonds, Series 2004:
$ 750 5.000%, 2/01/23 2/14 at 100.00 A $ 777,413
800 5.125%, 4/01/25 4/14 at 100.00 A 829,232
2,000 Fremont Unified School District, Alameda County, 8/12 at 101.00 AAA 2,120,780
California, General Obligation Bonds, Series 2002A,
5.000%, 8/01/21-- FGIC Insured
Golden West Schools Financing Authority, California, Revenue
Bonds, School District General Obligation Refunding Program,
Series 1999A:
4,650 0.000%, 8/01/16 - MBIA Insured No Opt. Call AAA 2,766,750
1,750 0.000%, 2/01/17 - MBIA Insured No Opt. Call AAA 1,004,010
2,375 0.000%, 8/01/17 - MBIA Insured No Opt. Call AAA 1,332,256
2,345 0.000%, 2/01/18 - MBIA Insured No Opt. Call AAA 1,267,824
Mountain View-Los Altos Union High School District, Santa Clara
County, California, General Obligation Capital Appreciation
Bonds, Series 1995C:
1,015 0.000%, 5/01/17 - MBIA Insured No Opt. Call AAA 577,231
1,080 0.000%, 5/01/18 - MBIA Insured No Opt. Call AAA 578,740
2,000 North Orange County Community College District, 8/12 at 101.00 AAA 2,108,680
California, General Obligation Bonds, Series 2002A,
5.000%, 8/01/22 - MBIA Insured
1,500 San Diego Unified School District, San Diego County, 7/13 at 101.00 AAA 1,700,745
California, General Obligation Bonds, Series 2003E,
5.250%, 7/01/24 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 14.7%
1,000 Bell Community Redevelopment Agency, California, 10/13 at 100.00 AA 1,060,480
Tax Allocation Bonds, Bell Project Area, Series 2003,
5.625%, 10/01/33 - RAAI Insured
California, Economic Recovery Revenue Bonds, Series 2004A:
1,250 5.000%, 7/01/15 7/14 at 100.00 AA- 1,381,413
1,000 5.000%, 7/01/16 7/11 at 100.00 AA- 1,071,750
1,000 California State Public Works Board, Lease Revenue Bonds, 6/14 at 100.00 A- 1,079,680
Department of Mental Health, Coalinga State Hospital,
Series 2004A, 5.500%, 6/01/23
3,500 California State Public Works Board, Lease Revenue Bonds, No Opt. Call AAA 4,361,875
Department of Corrections, Calipatria State Prison,
Series 1991A, 6.500%, 9/01/17 - MBIA Insured
1,400 Golden State Tobacco Securitization Corporation, 6/13 at 100.00 A- 1,453,144
California, Enhanced Tobacco Settlement Asset-Backed
Bonds, Series 2003B, 5.500%, 6/01/33
1,300 Orange County, California, Special Tax Bonds, Community 8/12 at 101.00 N/R 1,325,363
Facilities District 03-1 of Ladera Ranch, Series 2004A,
5.625%, 8/15/34
605 Sacramento City Financing Authority, California, Lease No Opt. Call AAA 690,251
Revenue Refunding Bonds, Series 1993A,
5.400%, 11/01/20 - MBIA Insured
1,000 Santa Clara County Board of Education, California, 4/12 at 101.00 AAA 1,031,790
Certificates of Participation, Series 2002,
5.000%, 4/01/25 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 12.3%
1,150 Foothill/Eastern Transportation Corridor Agency, California, 1/10 at 100.00 BBB- 1,033,701
Toll Road Revenue Bonds, Series 1995A, 5.000%, 1/01/35
5,000 Los Angeles Harbors Department, California, Revenue 8/11 at 100.00 AAA 5,512,000
Refunding Bonds, Series 2001B, 5.500%, 8/01/17
(Alternative Minimum Tax) - AMBAC Insured
3,675 Palm Springs Financing Authority, California, Palm Springs 1/05 at 100.00 AAA 3,686,576
Regional Airport Revenue Bonds, Series 1992,
6.000%, 1/01/12 (Alternative Minimum Tax) -
MBIA Insured
1,000 Port of Oakland, California, Revenue Bonds, Series 2002M, 11/12 at 100.00 AAA 1,082,370
5.250%, 11/01/20 - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 9.4%
California Department of Water Resources, Power Supply
Revenue Bonds, Series 2002A:
2,000 5.750%, 5/01/17 5/12 at 101.00 A2 2,257,920
2,000 5.125%, 5/01/19 5/12 at 101.00 A2 2,131,380
31
Nuveen California Select Tax-Free Income (NXC) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES (continued)
$ 200 Los Angeles Department of Water and Power, California, 7/13 at 100.00 AAA $ 211,982
Power System Revenue Bonds, Series 2003A-2,
5.000%, 7/01/21 - MBIA Insured
2,550 M-S-R Public Power Agency, California, San Juan Project 1/05 at 100.00 AAA 2,578,560
Revenue Bonds, Series 1991E, 6.000%, 7/01/22 -
MBIA Insured
1,225 Turlock Irrigation District, California, Revenue Refunding No Opt. Call AAA 1,418,489
Bonds, Series 1992A, 6.250%, 1/01/12 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 10.9%
2,160 California Statewide Community Development Authority, 10/11 at 101.00 AAA 2,295,367
Water and Wastewater Revenue Bonds, Pooled Financing
Program, Series 2001B, 5.125%, 10/01/22 - FSA Insured
3,000 Contra Costa Water District, Contra Costa County, 10/04 at 102.00 AAA 3,032,130
California, Water Revenue Bonds, Series 2001G,
5.000%, 10/01/24 - MBIA Insured
2,800 Los Angeles, California, Wastewater System Revenue 6/08 at 101.00 AAA 2,883,412
Bonds, Series 1998A, 5.000%, 6/01/23 - FGIC Insured
825 South Feather Water and Power Agency, California, 4/13 at 100.00 BBB 821,053
Water Revenue Certificates of Participation, Solar
Photovoltaic Project, Series 2003, 5.375%, 4/01/24
1,000 Woodbridge Irrigation District, California, Certificates 7/13 at 100.00 BBB+ 1,022,150
of Participation, Water Systems Project, Series 2003,
5.625%, 7/01/43
------------------------------------------------------------------------------------------------------------------------------------
$ 91,260 Total Long-Term Investments (cost $85,731,059) - 98.3% 90,222,047
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.7% 1,605,712
--------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 91,827,759
====================================================================================================================
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
N/R Investment is not rated.
See accompanying notes to financial statements.
32
Nuveen New York Select Tax-Free Income Portfolio (NXN)
Portfolio of
INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER STAPLES - 1.9%
$ 1,120 TSASC Inc., New York, Tobacco Asset-Backed Bonds, 7/12 at 100.00 BBB $ 1,086,411
Series 2002-1, 5.500%, 7/15/24
------------------------------------------------------------------------------------------------------------------------------------
EDUCATION AND CIVIC ORGANIZATIONS - 12.1%
1,700 Amherst Industrial Development Agency, New York, Revenue 8/12 at 101.00 AAA 1,796,220
Bonds, UBF Faculty/Student Housing Corporation, University
of Buffalo Creekside Project, Series 2002A,
5.000%, 8/01/22 - AMBAC Insured
500 New York City Industrial Development Agency, New York, 2/11 at 100.00 A- 517,515
Civic Facility Revenue Bonds, YMCA of Greater New York,
Series 2002, 5.250%, 8/01/21
570 New York State Dormitory Authority, Second General No Opt. Call AAA 662,477
Resolution Consolidated Revenue Bonds, City University
System, Series 1990C, 7.500%, 7/01/10 - FGIC Insured
1,425 New York State Dormitory Authority, Insured Revenue 7/07 at 101.00 AAA 1,524,123
Bonds, Rochester Institute of Technology, Series 1997,
5.250%, 7/01/22 - MBIA Insured
1,430 New York State Dormitory Authority, Revenue Bonds, 7/11 at 101.00 AA- 1,474,373
Upstate Community Colleges, Series 2002A, 5.000%, 7/01/23
785 New York State Dormitory Authority, Insured Revenue Bonds, 7/12 at 100.00 AAA 819,014
Iona College, Series 2002, 5.000%, 7/01/22 - XLCA Insured
------------------------------------------------------------------------------------------------------------------------------------
HEALTHCARE - 10.8%
750 New York City Health and Hospitals Corporation, New York, 2/13 at 100.00 AAA 808,103
Health System Revenue Bonds, Series 2003A,
5.250%, 2/15/21 - AMBAC Insured
250 New York City Industrial Development Agency, New York, 7/12 at 101.00 Ba3 237,028
Civic Facility Revenue Bonds, Staten Island University
Hospital, Series 2002C, 6.450%, 7/01/32
415 New York State Dormitory Authority, Revenue Bonds, 8/14 at 100.00 AAA 465,414
New York and Presbyterian Hospital, Series 2004A,
5.250%, 8/15/15 - FSA Insured
500 New York State Dormitory Authority, Revenue Bonds, 7/13 at 100.00 Baa1 508,640
Winthrop-South Nassau University Hospital Association,
Series 2003A, 5.500%, 7/01/32
670 New York State Dormitory Authority, Revenue Bonds, 7/13 at 100.00 AAA 709,128
Memorial Sloan-Kettering Cancer Center, Series 2003-1,
5.000%, 7/01/21 - MBIA Insured
250 New York State Dormitory Authority, Revenue Bonds, 5/13 at 100.00 A3 261,350
North Shore Long Island Jewish Group, Series 2003,
5.375%, 5/01/23
1,680 New York State Dormitory Authority, Revenue Bonds, 7/11 at 101.00 AAA 1,826,866
Winthrop-South Nassau University Health System
Obligated Group, Series 2001A, 5.250%, 7/01/17 -
AMBAC Insured
1,195 New York State Dormitory Authority, Revenue Bonds, 7/11 at 101.00 AAA 1,299,467
Winthrop-South Nassau University Health System
Obligated Group, Series 2001B, 5.250%, 7/01/17 -
AMBAC Insured
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/MULTIFAMILY - 7.8%
1,000 East Rochester Housing Authority, New York, Revenue 12/12 at 103.00 AAA 1,070,900
Bonds, GNMA/FHA Secured Revenue Bonds, St. Mary's
Residence Project, Series 2002A, 5.375%, 12/20/22
1,270 New Hartford Housing Development Corporation, 1/05 at 100.00 AAA 1,272,273
New York, FHA-Insured Section 8 Assisted Mortgage
Revenue Refunding Bonds, Village Point Apartments
Project, Series 1992A, 7.375%, 1/01/24 - MBIA Insured
1,000 New Hartford-Sunset Woods Funding Corporation, 8/12 at 101.00 AAA 1,071,500
New York, FHA-Insured Mortgage Revenue Bonds,
Sunset Woods Apartments II Project, Series 2002,
5.350%, 2/01/20
975 New York State Housing Finance Agency, FHA-Insured 2/05 at 100.00 AAA 976,677
Mortgage Multifamily Housing Revenue Bonds,
Series 1992C, 6.450%, 8/15/14 - MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
HOUSING/SINGLE FAMILY - 8.2%
2,500 New York State Mortgage Agency, Mortgage Revenue 4/11 at 100.00 Aaa 2,527,225
Bonds, Thirty-First Series A, 5.300%, 10/01/31 (Alternative
Minimum Tax)
2,000 New York State Mortgage Agency, Homeowner Mortgage 10/11 at 100.00 Aa1 2,086,960
Revenue Bonds, Series 101, 5.000%, 10/01/18
(Alternative Minimum Tax)
33
Nuveen New York Select Tax-Free Income (NXN) (continued)
Portfolio of INVESTMENTS September 30, 2004 (Unaudited)
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
LONG-TERM CARE - 9.2%
$ 2,000 East Rochester Housing Authority, New York, FHA-Insured 8/12 at 101.00 AAA $ 2,098,280
Mortgage Revenue Refunding Bonds, Jewish Home of
Rochester, Series 2002, 4.625%, 2/15/17
1,000 New York City Industrial Development Agency, New York, 11/12 at 101.00 AA+ 1,011,070
GNMA Collateralized Mortgage Revenue Bonds, Eger
Harbor House Inc. Project, Series 2002A, 4.950%, 11/20/32
2,000 New York State Dormitory Authority, FHA-Insured Nursing 8/11 at 101.00 AAA 2,065,360
Home Mortgage Revenue Bonds, Norwegian Christian
Home and Health Center, Series 2001, 5.200%, 8/01/36 -
MBIA Insured
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/GENERAL - 7.6%
Clarkstown, Rickland County, New York, Various Purposes
Serial Bonds, Series 1992:
505 5.600%, 6/15/10 - AMBAC Insured No Opt. Call AAA 575,180
525 5.600%, 6/15/11 - AMBAC Insured No Opt. Call AAA 602,926
525 5.600%, 6/15/12 - AMBAC Insured No Opt. Call AAA 610,523
750 New York City, New York, General Obligation Bonds, 8/14 at 100.00 AAA 817,785
Fiscal Series 2004I, 5.000%, 8/01/17 - MBIA Insured
225 New York City, New York, General Obligation Bonds, 8/14 at 100.00 A 248,733
Fiscal Series 2004B, 5.250%, 8/01/15
300 New York City, New York, General Obligation Bonds, 8/14 at 100.00 A 329,946
Fiscal Series 2004C, 5.250%, 8/15/16
1,000 West Islip Union Free School District, Suffolk County, 10/10 at 100.00 Aaa 1,083,000
New York, General Obligation Bonds, Series 2001,
5.000%, 10/01/17 - FSA Insured
------------------------------------------------------------------------------------------------------------------------------------
TAX OBLIGATION/LIMITED - 11.3%
600 Battery Park City Authority, New York, Senior Revenue 11/13 at 100.00 AAA 632,910
Bonds, Series 2003A, 5.000%, 11/01/23
500 Metropolitan Transportation Authority, New York, State 7/12 at 100.00 AAA 561,905
Service Contract Refunding Bonds, Series 2002A,
5.500%, 1/01/20 - MBIA Insured
95 Nassau County Interim Finance Authority, New York, 11/06 at 101.00 AAA 100,509
Sales Tax Secured Revenue Bonds, Series 2001A-2,
5.125%, 11/15/21 - AMBAC Insured
670 New York City Transitional Finance Authority, New York, 2/13 at 100.00 AA+ 699,426
Future Tax Secured Bonds, Fiscal Series 2003E,
5.000%, 2/01/23
50 New York State Thruway Authority, Highway and Bridge 4/05 at 102.00 AAA 51,735
Trust Fund Bonds, Series 1995A, 5.125%, 4/01/15 -
MBIA Insured
750 New York State Thruway Authority, Highway and Bridge 4/13 at 100.00 AAA 805,545
Trust Fund Bonds, Second General, Series 2003,
5.250%, 4/01/23 - MBIA Insured
250 New York State Thruway Authority, Highway and Bridge 4/14 at 100.00 AAA 266,648
Trust Fund Bonds, Second General, Series 2004,
5.000%, 4/01/21 - MBIA Insured
1,000 New York State Urban Development Corporation, State 3/13 at 100.00 AAA 1,109,380
Personal Income Tax Revenue Bonds, State Facilities
and Equipment, Series 2002C-1, 5.500%, 3/15/21 -
FGIC Insured
1,000 New York Tobacco Settlement Financing Corporation, 6/13 at 100.00 AAA 1,084,280
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003A-1,
5.250%, 6/01/20 - AMBAC Insured
500 New York Tobacco Settlement Financing Corporation, 6/13 at 100.00 AA- 545,085
Tobacco Settlement Asset-Backed and State Contingency
Contract-Backed Bonds, Series 2003B-1C, 5.500%, 6/01/21
500 Yonkers Industrial Development Agency, New York, 2/11 at 100.00 BBB- 545,580
Revenue Bonds, Community Development Properties -
Yonkers Inc. Project, Series 2001A, 6.250%, 2/01/16
------------------------------------------------------------------------------------------------------------------------------------
TRANSPORTATION - 5.5%
500 Metropolitan Transportation Authority, New York, No Opt. Call AAA 560,515
Transportation Revenue Bonds, Series 2003A,
5.000%, 11/15/15 - FGIC Insured
2,500 Port Authority of New York and New Jersey, Consolidated 1/05 at 101.00 AAA 2,557,975
Bonds, Ninety-Seventh Series, 6.500%, 7/15/19 (Alternative
Minimum Tax) - FGIC Insured
------------------------------------------------------------------------------------------------------------------------------------
U.S. GUARANTEED - 5.7%
905 Nassau County Interim Finance Authority, New York, 11/06 at 101.00 AAA 976,151
Sales Tax Secured Revenue Bonds, Series 2001A-2,
5.125%, 11/15/21 (Pre-refunded to 11/15/06) -
AMBAC Insured
1,365 New York State Dormitory Authority, Judicial Facilities No Opt. Call AAA 1,686,826
Lease Revenue Bonds, Suffolk County Issue, Series 1986,
7.375%, 7/01/16
485 Suffolk County Water Authority, New York, Water Revenue No Opt. Call AAA 571,539
Bonds, Series 1986V, 6.750%, 6/01/12
34
PRINCIPAL OPTIONAL CALL MARKET
AMOUNT (000) DESCRIPTION PROVISIONS* RATINGS** VALUE
------------------------------------------------------------------------------------------------------------------------------------
UTILITIES - 5.8%
$ 2,000 Long Island Power Authority, New York, Electric System 6/08 at 101.00 AAA $ 2,124,540
General Revenue Bonds, Series 1998A, 5.125%, 12/01/22 -
FSA Insured
1,000 Long Island Power Authority, New York, Electric System 9/13 at 100.00 AAA 1,088,060
General Revenue Bonds, Series 2003C, 5.000%, 9/01/16 -
CIFG Insured
60 Westchester County Industrial Development Agency, 7/07 at 101.00 BBB 63,212
Westchester County, New York, Resource Recovery
Revenue Bonds, RESCO Company, Series 1996,
5.500%, 7/01/09 (Alternative Minimum Tax)
------------------------------------------------------------------------------------------------------------------------------------
WATER AND SEWER - 12.0%
2,500 New York City Municipal Water Finance Authority, 6/11 at 101.00 AA+ 2,562,173
New York, Water and Sewerage System Revenue
Bonds, Fiscal Series 2001C, 5.125%, 6/15/33
New York State Environmental Facilities Corporation, State Clean
Water and Drinking Water Revolving Funds Revenue Bonds, New York
City Municipal Water Finance Authority Loan, Series 2002B:
2,000 5.250%, 6/15/19 6/12 at 100.00 AAA 2,184,400
2,000 5.000%, 6/15/27 6/12 at 100.00 AAA 2,050,640
------------------------------------------------------------------------------------------------------------------------------------
$ 52,045 Total Long-Term Investments (cost $52,673,622) - 97.9% 55,273,501
=============-----------------------------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 0.5%
300 New York City, New York, General Obligation Bonds, VMIG-1 300,000
Variable Rate Demand Obligations, Series 1995B2-B10,
1.700%, 8/15/22 - MBIA Insured+
------------------------------------------------------------------------------------------------------------------------------------
300 Total Short-Term Investments (cost $300,000) 300,000
------------------------------------------------------------------------------------------------------------------------------------
$ 300 Total Investments (cost $52,973,622) - 98.4% 55,573,501
=============-----------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.6% 900,927
--------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $ 56,474,428
====================================================================================================================
* Optional Call Provisions: Dates (month and year) and
prices of the earliest optional call or redemption.
There may be other call provisions at varying prices at
later dates.
** Ratings: Using the higher of Standard & Poor's or
Moody's rating.
+ Security has a maturity of more than one year, but has
variable rate and demand features which qualify it as a
short-term security. The rate disclosed is that
currently in effect. This rate changes periodically
based on market conditions or a specified market index.
See accompanying notes to financial statements.
35
Statement of
ASSETS AND LIABILITIES September 30, 2004 (Unaudited)
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
------------------------------------------------------------------------------------------------------------------------------------
ASSETS
Investments, at market value
(cost $225,455,212, $237,596,420,
$173,438,732, $85,731,059 and
$52,973,622, respectively) $239,124,297 $246,247,729 $180,134,208 $90,222,047 $55,573,501
Cash -- -- -- 295,095 165,160
Receivables:
Interest 4,052,206 3,908,845 2,954,189 1,355,323 764,040
Investments sold 40,647 4,988,831 3,835,248 -- --
Other assets 59,027 62,411 46,202 24,645 16,651
------------------------------------------------------------------------------------------------------------------------------------
Total assets 243,276,177 255,207,816 186,969,847 91,897,110 56,519,352
------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Cash overdraft 308,201 279,445 1,436,210 -- --
Accrued expenses:
Management fees 47,454 60,117 44,131 22,182 13,650
Other 118,758 123,688 92,790 47,169 31,274
------------------------------------------------------------------------------------------------------------------------------------
Total liabilities 474,413 463,250 1,573,131 69,351 44,924
------------------------------------------------------------------------------------------------------------------------------------
Net assets $242,801,764 $254,744,566 $185,396,716 $91,827,759 $56,474,428
====================================================================================================================================
Shares outstanding 16,378,096 17,607,068 12,964,124 6,257,070 3,908,223
====================================================================================================================================
Net asset value per share outstanding
(net assets divided by shares outstanding) $ 14.82 $ 14.47 $ 14.30 $ 14.68 $ 14.45
====================================================================================================================================
NET ASSETS CONSIST OF:
------------------------------------------------------------------------------------------------------------------------------------
Common shares, $.01 par value per share $ 163,781 $ 176,071 $ 129,641 $ 62,571 $ 39,082
Paid-in surplus 227,635,044 245,690,697 178,372,581 87,121,715 53,622,238
Undistributed (Over-distribution of)
net investment income (120,952) (327,304) (151,800) (127,506) (36,616)
Accumulated net realized gain from investments 1,454,806 553,793 350,818 279,991 249,845
Net unrealized appreciation of investments 13,669,085 8,651,309 6,695,476 4,490,988 2,599,879
------------------------------------------------------------------------------------------------------------------------------------
Net assets $242,801,764 $254,744,566 $185,396,716 $91,827,759 $56,474,428
====================================================================================================================================
See accompanying notes to financial statements.
36
Statement of
OPERATIONS Six Months Ended September 30, 2004 (Unaudited)
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
------------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME $ 6,182,554 $ 6,545,363 $ 4,741,458 $2,245,288 $1,387,879
------------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Management fees 289,312 366,325 268,858 134,128 83,017
Shareholders' servicing agent fees and expenses 23,147 20,531 16,314 5,902 4,398
Custodian's fees and expenses 28,656 30,549 25,242 14,449 8,152
Trustees' fees and expenses 99 1,295 2,219 513 213
Professional fees 19,248 16,145 8,822 4,339 3,288
Shareholders' reports - printing and mailing expenses 26,213 26,994 19,481 8,170 6,132
Stock exchange listing fees 4,326 4,326 4,326 5,428 5,428
Investor relations expense 8,401 1,261 7,034 6,311 2,234
Other expenses 4,338 4,341 3,419 2,283 1,810
------------------------------------------------------------------------------------------------------------------------------------
Total expenses before custodian fee credit 403,740 471,767 355,715 181,523 114,672
Custodian fee credit (9,650) (11,772) (8,648) (657) (917)
------------------------------------------------------------------------------------------------------------------------------------
Net expenses 394,090 459,995 347,067 180,866 113,755
------------------------------------------------------------------------------------------------------------------------------------
Net investment income 5,788,464 6,085,368 4,394,391 2,064,422 1,274,124
------------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENTS
Net realized gain (loss) from investments 1,129,643 113,163 345,650 (12,678) 75,973
Change in net unrealized appreciation
(depreciation) of investments (1,418,162) (1,787,361) (1,280,602) (10,734) (520,272)
------------------------------------------------------------------------------------------------------------------------------------
Net gain (loss) from investments (288,519) (1,674,198) (934,952) (23,412) (444,299)
------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets from operations $ 5,499,945 $ 4,411,170 $ 3,459,439 $2,041,010 $ 829,825
====================================================================================================================================
See accompanying notes to financial statements.
37
Statement of
CHANGES IN NET ASSETS (Unaudited)
SELECT TAX-FREE (NXP) SELECT TAX-FREE 2 (NXQ) SELECT TAX-FREE 3 (NXR)
---------------------------------- ---------------------------------- -------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
9/30/04 3/31/04 9/30/04 3/31/04 9/30/04 3/31/04
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 5,788,464 $ 11,905,808 $ 6,085,368 $ 12,376,091 $ 4,394,391 $ 8,972,377
Net realized gain (loss)
from investments 1,129,643 1,631,548 113,163 1,107,932 345,650 388,100
Change in net unrealized
appreciation (depreciation)
of investments (1,418,162) 764,039 (1,787,361) 2,207,042 (1,280,602) 1,738,203
------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets
from operations 5,499,945 14,301,395 4,411,170 15,691,065 3,459,439 11,098,680
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS
From net investment income (5,863,359) (12,405,127) (6,039,225) (12,700,072) (4,420,767) (9,009,179)
From accumulated net realized
gains from investments -- (1,399,973) -- (973,580) -- (868,194)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets from
distributions to shareholders (5,863,359) (13,805,100) (6,039,225) (13,673,652) (4,420,767) (9,877,373)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from shares
issued to shareholders due to
reinvestment of distributions -- -- -- -- -- --
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease)
in net assets (363,414) 496,295 (1,628,055) 2,017,413 (961,328) 1,221,307
Net assets at the beginning
of period 243,165,178 242,668,883 256,372,621 254,355,208 186,358,044 185,136,737
------------------------------------------------------------------------------------------------------------------------------------
Net assets at the end of period $242,801,764 $243,165,178 $254,744,566 $256,372,621 $185,396,716 $186,358,044
====================================================================================================================================
Undistributed
(Over-distribution of) net
investment income at the
end of period $ (120,952) $ (46,057) $ (327,304) $ (373,447) $ (151,800) $ (125,424)
====================================================================================================================================
See accompanying notes to financial statements.
38
CALIFORNIA SELECT TAX-FREE (NXC) NEW YORK SELECT TAX-FREE (NXN)
--------------------------------- ---------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
9/30/04 3/31/04 9/30/04 3/31/04
------------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
Net investment income $ 2,064,422 $ 4,230,020 $ 1,274,124 $ 2,640,505
Net realized gain (loss) from investments (12,678) 528,424 75,973 314,601
Change in net unrealized appreciation
(depreciation) of investments (10,734) 704,451 (520,272) 294,010
------------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets
from operations 2,041,010 5,462,895 829,825 3,249,116
------------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS
From net investment income (2,077,348) (4,262,921) (1,313,099) (2,668,659)
From accumulated net realized gains
from investments -- (310,999) -- (322,333)
------------------------------------------------------------------------------------------------------------------------------------
Decrease in net assets from
distributions to shareholders (2,077,348) (4,573,920) (1,313,099) (2,990,992)
------------------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS
Net proceeds from shares
issued to shareholders due to
reinvestment of distributions -- -- -- 16,500
------------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets (36,338) 888,975 (483,274) 274,624
Net assets at the beginning of period 91,864,097 90,975,122 56,957,702 56,683,078
------------------------------------------------------------------------------------------------------------------------------------
Net assets at the end of period $91,827,759 $91,864,097 $56,474,428 $56,957,702
====================================================================================================================================
Undistributed (Over-distribution of) net
investment income at the
end of period $ (127,506) $ (114,580) $ (36,616) $ 2,359
====================================================================================================================================
See accompanying notes to financial statements.
39
Notes to
FINANCIAL STATEMENTS (Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The Funds covered in this report and their corresponding Common share New York
Stock Exchange symbols are Nuveen Select Tax-Free Income Portfolio (NXP), Nuveen
Select Tax-Free Income Portfolio 2 (NXQ), Nuveen Select Tax-Free Income
Portfolio 3 (NXR), Nuveen California Select Tax-Free Income Portfolio (NXC) and
Nuveen New York Select Tax-Free Income Portfolio (NXN). The Funds are registered
under the Investment Company Act of 1940, as amended, as closed-end, diversified
management investment companies.
Each Fund seeks to provide stable dividends consistent with the preservation of
capital, exempt from regular federal and designated state income taxes, where
applicable, by investing primarily in a diversified portfolio of municipal
obligations.
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements in accordance with U.S.
generally accepted accounting principles.
Securities Valuation
The prices of municipal bonds in each Fund's investment portfolio are provided
by a pricing service approved by the Fund's Board of Trustees. When price quotes
are not readily available (which is usually the case for municipal securities),
the pricing service establishes fair market value based on yields or prices of
municipal bonds of comparable quality, type of issue, coupon, maturity and
rating, indications of value from securities dealers, evaluations of anticipated
cash flows or collateral and general market conditions. If it is determined that
market prices for a security are unavailable or inappropriate, the Board of
Trustees of the Funds, or its designee, may establish a fair value for the
security. Temporary investments in securities that have variable rate and demand
features qualifying them as short-term securities are valued at amortized cost,
which approximates market value.
Securities Transactions
Securities transactions are recorded on a trade date basis. Realized gains and
losses from such transactions are determined on the specific identification
method. Securities purchased or sold on a when-issued or delayed delivery basis
may have extended settlement periods. The securities so purchased are subject to
market fluctuation during this period. The Funds have instructed the custodian
to segregate assets with a current value at least equal to the amount of the
when-issued and delayed delivery purchase commitments. At September 30, 2004,
there were no such outstanding purchase commitments in any of the Funds.
40
Investment Income
Interest income, which includes the amortization of premiums and accretion of
discounts for financial reporting purposes, is recorded on an accrual basis.
Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund
intends to distribute all net investment income and net capital gains to
shareholders and to otherwise comply with the requirements of subchapter M of
the Internal Revenue Code applicable to regulated investment companies.
Therefore, no federal income tax provision is required. Furthermore, each Fund
intends to satisfy conditions which will enable interest from municipal
securities, which is exempt from regular federal and designated state income
taxes, where applicable, to retain such tax-exempt status when distributed to
shareholders of the Funds. Net realized capital gains and ordinary income
distributions made by the Funds are subject to federal taxation.
Dividends and Distributions to Shareholders
Dividends from tax-exempt net investment income are declared monthly. Net
realized capital gains and/or market discount from investment transactions, if
any, are distributed to shareholders not less frequently than annually.
Furthermore, capital gains are distributed only to the extent they exceed
available capital loss carryforwards.
Distributions to shareholders of tax-exempt net investment income, net realized
capital gains and/or market discount, if any, are recorded on the ex-dividend
date. The amount and timing of distributions are determined in accordance with
federal income tax regulations, which may differ from U.S. generally accepted
accounting principles.
Derivative Financial Instruments
The Funds are not authorized to invest in derivative financial instruments.
Custodian Fee Credit
Each Fund has an arrangement with the custodian bank whereby certain custodian
fees and expenses are reduced by credits earned on each Fund's cash on deposit
with the bank. Such deposit arrangements are an alternative to overnight
investments.
Indemnifications
Under the Funds' organizational documents, their Officers and Trustees are
indemnified against certain liabilities arising out of the performance of their
duties to the Funds. In addition, in the normal course of business, the Funds
enter into contracts that provide general indemnifications to other parties. The
Funds' maximum exposure under these arrangements is unknown as this would
involve future claims that may be made against the Funds that have not yet
occurred. However, the Funds have not had prior claims or losses pursuant to
these contracts and expect the risk of loss to be remote.
Use of Estimates
The preparation of financial statements in conformity with U.S. generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities at the
date of the financial statements and the reported amounts of increases and
decreases in net assets from operations during the reporting period. Actual
results may differ from those estimates.
41
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
2. FUND SHARES
None of the Funds engaged in transactions in their own shares during the six
months ended September 30, 2004, nor during the fiscal year ended March 31,
2004, with the exception of New York Select-Tax Free (NXN) which issued 1,154
shares to shareholders due to reinvestment of distributions during the fiscal
year ended March 31, 2004.
3. SECURITIES TRANSACTIONS
Purchases and sales (including maturities) of investments in long-term municipal
securities during the six months ended September 30, 2004, were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
---------------------------------------------------------------------------------------------------------
Purchases $20,463,817 $11,991,649 $15,604,326 $8,471,265 $2,105,716
Sales and maturities 17,967,500 15,360,500 17,929,950 8,952,963 2,983,290
=========================================================================================================
4. INCOME TAX INFORMATION
The following information is presented on an income tax basis. Differences
between amounts for financial statement and federal income tax purposes are
primarily due to timing differences in recognizing income on taxable market
discount securities and timing differences in recognizing certain gains and
losses on security transactions.
At September 30, 2004, the cost of investments were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
----------------------------------------------------------------------------------------------------------
Cost of investments $225,184,369 $237,509,583 $173,398,925 $85,730,675 $52,968,611
==========================================================================================================
42
Gross unrealized appreciation and gross unrealized depreciation of investments
at September 30, 2004, were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
-----------------------------------------------------------------------------------------------------------
Gross unrealized:
Appreciation $15,997,460 $11,404,076 $ 7,916,537 $4,618,724 $2,646,325
Depreciation (2,057,532) (2,665,930) (1,181,254) (127,352) (41,435)
-----------------------------------------------------------------------------------------------------------
Net unrealized appreciation
of investments $13,939,928 $ 8,738,146 $ 6,735,283 $4,491,372 $2,604,890
===========================================================================================================
The tax components of undistributed net investment income and net realized gains
at March 31, 2004, the Funds' last fiscal year end, were as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
---------------------------------------------------------------------------------------------------------
Undistributed net tax-exempt income $639,159 $577,541 $554,901 $235,627 $216,645
Undistributed net ordinary income* 14,208 -- -- -- --
Undistributed net long-term capital gains 310,956 440,630 5,168 292,669 173,872
=========================================================================================================
* Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
The tax character of distributions paid during the fiscal year ended March 31,
2004, the Funds' last fiscal year end, was designated for purposes of the
dividends paid deduction as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
2004 (NXP) (NXQ) (NXR) (NXC) (NXN)
---------------------------------------------------------------------------------------------------------
Distributions from net
tax-exempt income $12,087,037 $12,571,449 $8,945,252 $4,242,294 $2,672,502
Distributions from net ordinary income* 334,467 163,837 63,927 27,740 --
Distributions from net long-term
capital gains 1,399,973 973,580 868,194 310,142 322,333
=========================================================================================================
* Net ordinary income consists of taxable market discount income and net
short-term capital gains, if any.
43
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
5. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
As approved by the Board of Trustees, effective August 1, 2004, a complex-wide
management fee structure was adopted for all funds sponsored by Nuveen
Institutional Advisory Corp. (the "Adviser"), a wholly owned subsidiary of
Nuveen Investments, Inc. and its affiliates. This fee structure separates each
fund's management fee into two components - a complex-level component, based on
the aggregate amount of all funds assets managed by the Adviser and its
affiliates, and a specific fund-level component, based only on the amount of
assets within each individual fund. This pricing structure enables Nuveen fund
shareholders to benefit from growth in the assets within each individual fund as
well as from growth in the amount of complex-wide assets managed by the Adviser
and its affiliates. Under no circumstances will this pricing structure result in
a fund paying management fees at a rate higher than would otherwise have been
applicable had the complex-wide management fee structure not been implemented.
As a consequence of this new management fee structure, the funds' effective
management fees were reduced by approximately .007% as of October 31, 2004.
Effective August 1, 2004, the annual fund-level fee, payable monthly, for each
of the Funds is based upon the average daily net assets of each Fund as follows:
SELECT TAX-FREE 2 (NXQ)
SELECT TAX-FREE 3 (NXR)
CALIFORNIA SELECT TAX-FREE (NXC)
SELECT TAX-FREE (NXP) NEW YORK SELECT TAX-FREE (NXN)
AVERAGE DAILY NET ASSETS FUND-LEVEL FEE RATE FUND-LEVEL FEE RATE
----------------------------------------------------------------------------------------------------------
For the first $125 million .0500% .1000%
For the next $125 million .0375 .0875
For the next $250 million .0250 .0750
For the next $500 million .0125 .0625
==========================================================================================================
44
Effective August 1, 2004, the annual complex-level fee, payable monthly, which
is additive to the fund-level fee, for all Nuveen sponsored funds in the U.S.,
is based on the aggregate amount of total fund assets managed as follows:
COMPLEX-LEVEL ASSETS(1) COMPLEX-LEVEL FEE RATE
--------------------------------------------------------------------------------
For the first $55 billion .2000%
For the next $1 billion .1800
For the next $1 billion .1600
For the next $3 billion .1425
For the next $3 billion .1325
For the next $3 billion .1250
For the next $5 billion .1200
For the next $5 billion .1175
For the next $15 billion .1150
For Managed Assets over $91 billion (2) .1400
================================================================================
(1) The complex-level fee component of the management fee for the funds is
calculated based upon the aggregate Managed Assets ("Managed Assets" means
the average daily net assets of each fund including assets attributable to
all types of leverage used by the Nuveen funds) of Nuveen-sponsored funds
in the U.S.
(2) With respect to the complex-wide Managed Assets over $91 billion, the fee
rate or rates that will apply to such assets will be determined at a later
date. In the unlikely event that complex-wide Managed Assets reach $91
billion prior to a determination of the complex-level fee rate or rates to
be applied to Managed Assets in excess of $91 billion, the complex-level
fee rate for such complex-wide Managed Assets shall be .1400% until such
time as a different rate or rates is determined.
Each Fund paid through July 31, 2004, an annual management fee, payable monthly,
at the rates set forth below, which were based upon the average daily net assets
(including net assets attributable to Preferred shares) of each Fund as follows:
SELECT TAX-FREE 2 (NXQ)
SELECT TAX-FREE 3 (NXR)
CALIFORNIA SELECT TAX-FREE (NXC)
AVERAGE DAILY NET ASSETS SELECT TAX-FREE (NXP) NEW YORK SELECT TAX-FREE (NXN)
---------------------------------------------------------------------------------------------------------
For the first $125 million .2500% .3000%
For the next $125 million .2375 .2875
For the next $250 million .2250 .2750
For the next $500 million .2125 .2625
For the next $1 billion .2000 .2500
For net assets over $2 billion .1875 .2375
=========================================================================================================
The management fee compensates the Adviser for overall investment advisory and
administrative services and general office facilities. The Funds pay no
compensation directly to those of its Trustees who are affiliated with the
Adviser or to their officers, all of whom receive remuneration for their
services to the Funds from the Adviser or its affiliates. The Board of Trustees
has adopted a deferred compensation plan for independent Trustees that enables
Trustees to elect to defer receipt of all or a portion of the annual
compensation they are entitled to receive from certain Nuveen advised Funds.
Under the plan, deferred amounts are treated as though equal dollar amounts had
been invested in shares of select Nuveen advised Funds.
45
Notes to
FINANCIAL STATEMENTS (Unaudited) (continued)
6. SUBSEQUENT EVENT - DISTRIBUTIONS TO SHAREHOLDERS
The Funds declared dividend distributions from their tax-exempt net investment
income which were paid on November 1, 2004, to shareholders of record on October
15, 2004, as follows:
CALIFORNIA NEW YORK
SELECT SELECT SELECT SELECT SELECT
TAX-FREE TAX-FREE 2 TAX-FREE 3 TAX-FREE TAX-FREE
(NXP) (NXQ) (NXR) (NXC) (NXN)
---------------------------------------------------------------------------------------------------------
Dividend per share $.0590 $.0565 $.0565 $.0550 $.0560
=========================================================================================================
46
Financial
HIGHLIGHTS (Unaudited)
47
Financial
HIGHLIGHTS (Unaudited)
Selected data for a share outstanding throughout each period:
INVESTMENT OPERATIONS LESS DISTRIBUTIONS
--------------------------------- ----------------------------
NET
REALIZED/ ENDING
BEGINNING NET UNREALIZED NET NET ENDING
NET ASSET INVESTMENT INVESTMENT INVESTMENT CAPITAL ASSET MARKET
VALUE INCOME GAIN (LOSS) TOTAL INCOME GAINS TOTAL VALUE VALUE
==============================================================================================================================
SELECT TAX-FREE (NXP)
------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) $14.85 $.35 $(.02) $ .33 $(.36) $ -- $(.36) $14.82 $13.7700
2004 14.82 .73 .15 .88 (.76) (.09) (.85) 14.85 14.3000
2003 14.67 .77 .37 1.14 (.82) (.17) (.99) 14.82 14.1500
2002 15.05 .88 (.38) .50 (.86) (.02) (.88) 14.67 13.8500
2001 14.89 .91 .15 1.06 (.90) -- (.90) 15.05 14.5000
2000 15.55 .90 (.66) .24 (.90) -- (.90) 14.89 13.6875
SELECT TAX-FREE 2 (NXQ)
------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) 14.56 .35 (.10) .25 (.34) -- (.34) 14.47 13.1700
2004 14.45 .70 .19 .89 (.72) (.06) (.78) 14.56 13.8000
2003 14.53 .76 .14 .90 (.80) (.18) (.98) 14.45 13.4900
2002 14.89 .86 (.36) .50 (.84) (.02) (.86) 14.53 13.6600
2001 14.75 .87 .14 1.01 (.87) -- (.87) 14.89 14.1500
2000 15.41 .87 (.66) .21 (.87) -- (.87) 14.75 13.3750
SELECT TAX-FREE 3 (NXR)
------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) 14.37 .34 (.07) .27 (.34) -- (.34) 14.30 13.1700
2004 14.28 .69 .16 .85 (.69) (.07) (.76) 14.37 13.5600
2003 14.26 .73 .12 .85 (.76) (.07) (.83) 14.28 13.0600
2002 14.53 .81 (.28) .53 (.80) -- (.80) 14.26 13.4200
2001 14.32 .81 .21 1.02 (.81) -- (.81) 14.53 13.7000
2000 14.98 .82 (.66) .16 (.82) -- (.82) 14.32 12.8750
CALIFORNIA SELECT
TAX-FREE (NXC)
------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) 14.68 .33 -- .33 (.33) -- (.33) 14.68 13.5100
2004 14.54 .68 .19 .87 (.68) (.05) (.73) 14.68 14.0600
2003 14.44 .71 .26 .97 (.73) (.14) (.87) 14.54 13.5900
2002 14.79 .78 (.34) .44 (.77) (.02) (.79) 14.44 14.2500
2001 14.57 .79 .23 1.02 (.79) (.01) (.80) 14.79 13.9400
2000 15.26 .79 (.67) .12 (.79) (.02) (.81) 14.57 13.7500
NEW YORK SELECT
TAX-FREE (NXN)
------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) 14.57 .33 (.11) .22 (.34) -- (.34) 14.45 13.5500
2004 14.51 .68 .14 .82 (.68) (.08) (.76) 14.57 14.4000
2003 14.17 .70 .43 1.13 (.70) (.09) (.79) 14.51 13.6000
2002 14.51 .73 (.33) .40 (.74) -- (.74) 14.17 13.7600
2001 14.31 .78 .20 .98 (.78) -- (.78) 14.51 14.0500
2000 14.92 .78 (.61) .17 (.78) -- (.78) 14.31 12.6875
==============================================================================================================================
RATIOS/SUPPLEMENTAL DATA
--------------------------------------------------------------------------------
TOTAL RETURNS BEFORE CREDIT AFTER CREDIT***
---------------------- --------------------------- ---------------------------
RATIO OF NET RATIO OF NET
BASED ON ENDING RATIO OF INVESTMENT RATIO OF INVESTMENT
BASED ON NET NET EXPENSES TO INCOME TO EXPENSES TO INCOME TO PORTFOLIO
MARKET ASSET ASSETS AVERAGE AVERAGE AVERAGE AVERAGE TURNOVER
VALUE** VALUE** (000) NET ASSETS NET ASSETS NET ASSETS NET ASSETS RATE
====================================================================================================================================
SELECT TAX-FREE (NXP)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) (1.12)% 2.28% $242,802 .34%* 4.84%* .33%* 4.85%* 8%
2004 7.34 6.13 243,165 .34 4.90 .33 4.91 16
2003 9.51 7.84 242,669 .37 5.20 .36 5.21 35
2002 1.54 3.41 240,275 .38 5.89 .37 5.89 26
2001 12.63 7.32 246,475 .35 6.06 .35 6.07 2
2000 (11.09) 1.62 243,814 .36 5.97 .36 5.97 --
SELECT TAX-FREE 2 (NXQ)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) (2.01) 1.80 254,745 .38* 4.83* .37* 4.84* 5
2004 8.35 6.31 256,373 .39 4.86 .38 4.86 10
2003 6.01 6.33 254,355 .42 5.20 .41 5.21 46
2002 2.57 3.41 255,887 .43 5.79 .42 5.80 21
2001 12.46 7.04 262,144 .41 5.89 .40 5.90 2
2000 (10.38) 1.43 259,660 .40 5.82 .40 5.82 1
SELECT TAX-FREE 3 (NXR)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) (.28) 1.95 185,397 .39* 4.80* .38* 4.81* 9
2004 9.96 6.13 186,358 .38 4.84 .38 4.85 6
2003 3.51 6.09 185,137 .42 5.09 .41 5.10 51
2002 3.84 3.70 184,837 .44 5.59 .42 5.60 9
2001 12.97 7.36 188,344 .47 5.66 .46 5.67 2
2000 (10.29) 1.11 185,671 .41 5.65 .41 5.65 --
CALIFORNIA SELECT
TAX-FREE (NXC)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) (1.47) 2.33 91,828 .40* 4.59* .40* 4.59* 9
2004 9.14 6.16 91,864 .40 4.64 .39 4.65 30
2003 1.34 6.86 90,975 .43 4.84 .42 4.85 42
2002 7.95 3.03 90,346 .44 5.27 .43 5.28 12
2001 7.23 7.21 92,517 .43 5.38 .42 5.39 2
2000 (7.57) .90 91,166 .45 5.37 .45 5.38 3
NEW YORK SELECT
TAX-FREE (NXN)
------------------------------------------------------------------------------------------------------------------------------------
Year Ended 3/31:
2005(a) (3.49) 1.54 56,474 .41* 4.57* .41* 4.58* 4
2004 11.81 5.84 56,958 .43 4.65 .42 4.65 16
2003 4.73 8.17 56,683 .46 4.85 .45 4.86 35
2002 3.17 2.75 55,362 .49 5.04 .48 5.05 28
2001 17.36 7.02 56,679 .48 5.39 .47 5.40 3
2000 (11.18) 1.21 55,924 .50 5.36 .49 5.37 --
====================================================================================================================================
* Annualized.
** Total Investment Return on Market Value is the combination of changes in
the market price per share and the effect of reinvested dividend income and
reinvested capital gains distributions, if any, at the average price paid
per share at the time of reinvestment. Total Return on Common Share Net
Asset Value is the combination of changes in Common Share net asset value
per share, reinvested dividend income at net asset value and reinvested
capital gains distributions at net asset value, if any. Total returns are
not annualized.
*** After custodian fee credit, where applicable.
(a) For the six months ended September 30, 2004.
See accompanying notes to financial statements.
48-49 SPREAD
Reinvest Automatically
EASILY AND CONVENIENTLY
SIDEBAR TEXT: NUVEEN MAKES REINVESTING EASY. A PHONE CALL IS ALL IT TAKES TO SET
UP YOUR REINVESTMENT ACCOUNT.
NUVEEN CLOSED-END EXCHANGE-TRADED FUNDS
DIVIDEND REINVESTMENT PLAN
Your Nuveen Closed-End Exchange-Traded Fund allows you to conveniently reinvest
dividends and/or capital gains distributions in additional fund shares.
By choosing to reinvest, you'll be able to invest money regularly and
automatically, and watch your investment grow through the power of tax-free
compounding. Just like dividends or distributions in cash, there may be times
when income or capital gains taxes may be payable on dividends or distributions
that are reinvested.
It is important to note that an automatic reinvestment plan does not ensure a
profit, nor does it protect you against loss in a declining market.
EASY AND CONVENIENT
To make recordkeeping easy and convenient, each month you'll receive a statement
showing your total dividends and distributions, the date of investment, the
shares acquired and the price per share, and the total number of shares you own.
HOW SHARES ARE PURCHASED
The shares you acquire by reinvesting will either be purchased on the open
market or newly issued by the Fund. If the shares are trading at or above net
asset value at the time of valuation, the Fund will issue new shares at the
then-current market price. If the shares are trading at less than net asset
value, shares for your account will be purchased on the open market. Dividends
and distributions received to purchase shares in the open market will normally
be invested shortly after the dividend payment date. No interest will be paid on
dividends and distributions awaiting reinvestment. Because the market price of
the shares may increase before purchases are completed, the average purchase
price per share may exceed the market price at the time of valuation, resulting
in the acquisition of fewer shares than if the dividend or distribution had been
paid in shares issued by the Fund. A pro rata portion of any applicable
brokerage commissions on open market purchases will be paid by Plan
participants. These commissions usually will be lower than those charged on
individual transactions.
FLEXIBLE
You may change your distribution option or withdraw from the Plan at any time,
should your needs or situation change. Should you withdraw, you can receive a
certificate for all whole shares credited to your reinvestment account and cash
payment for fractional shares, or cash payment for all reinvestment account
shares, less brokerage commissions and a $2.50 service fee.
You can reinvest whether your shares are registered in your name, or in the name
of a brokerage firm, bank, or other nominee. Ask your investment advisor if his
or her firm will participate on your behalf. Participants whose shares are
registered in the name of one firm may not be able to transfer the shares to
another firm and continue to participate in the Plan.
The Fund reserves the right to amend or terminate the Plan at any time. Although
the Fund reserves the right to amend the Plan to include a service charge
payable by the participants, there is no direct service charge to participants
in the Plan at this time.
CALL TODAY TO START REINVESTING DIVIDENDS AND/OR DISTRIBUTIONS
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in
or withdraw from the Plan, speak with your financial advisor or call us at (800)
257-8787.
50
Other Useful
INFORMATION
QUARTERLY PORTFOLIO OF INVESTMENTS AND PROXY VOTING INFORMATION
Each Fund's (i) quarterly portfolio of investments and (ii) information
regarding how the Funds voted proxies relating to portfolio securities held
during the most recent 12-month period ended June 30, 2004, are available
without charge, upon request, by calling Nuveen Investments toll-free at (800)
257-8787 or on Nuveen's web site at www.nuveen.com.
You may also obtain this and other Fund information directly from the Securities
and Exchange Commission ("SEC"). The SEC may charge a copying fee for this
information. Visit the SEC on-line at http://www.sec.gov or in person at the
SEC's Public Reference Room in Washington, D.C. Call the SEC at 1-202-942-8090
for room hours and operation. You may also request Fund information by sending
an e-mail request to publicinfo@sec.gov or by writing to the SEC's Public
References Section at 450 Fifth Street NW, Washington, D.C. 20549.
GLOSSARY OF TERMS USED IN THIS REPORT
AVERAGE ANNUAL TOTAL RETURN: This is a commonly used method to express an
investment's performance over a particular, usually multi-year time period. It
expresses the return that would have been necessary each year to equal the
investment's actual cumulative performance (including change in NAV or market
price and reinvested dividends and capital gains distributions, if any) over the
time period being considered.
AVERAGE EFFECTIVE MATURITY: The average of all the maturities of the bonds in a
fund's portfolio, computed by weighting each maturity date (the date the
security comes due) by the market value of the security. This figure does not
account for the likelihood of prepayments or the exercise of call provisions.
MODIFIED DURATION: Duration is a measure of the sensitivity of a bond or bond
fund's value to changes when interest rates change. Generally, the longer a bond
or fund's duration, the more the price of the bond or fund will change as
interest rates change.
MARKET YIELD (ALSO KNOWN AS DIVIDEND YIELD OR CURRENT YIELD): An investment's
current annualized dividend divided by its current market price.
NET ASSET VALUE (NAV): A Fund's common share NAV per share is calculated by
subtracting the liabilities of the Fund (including any MuniPreferred shares
issued in order to leverage the Fund) from its total assets and then dividing
the remainder by the number of shares outstanding. Fund NAVs are calculated at
the end of each business day.
TAXABLE-EQUIVALENT YIELD: The yield necessary from a fully taxable investment to
equal, on an after-tax basis, the yield of a municipal bond investment.
BOARD OF TRUSTEES
Robert P. Bremner
Lawrence H. Brown
Jack B. Evans
William C. Hunter
William J. Schneider
Timothy R. Schwertfeger
Judith M. Stockdale
FUND MANAGER
Nuveen Institutional
Advisory Corp.
333 West Wacker Drive
Chicago, IL 60606
CUSTODIAN
State Street Bank & Trust
Boston, MA
TRANSFER AGENT AND
SHAREHOLDER SERVICES
State Street Bank & Trust
Nuveen Funds
P.O. Box 43071
Providence, RI 02940-3071
(800) 257-8787
LEGAL COUNSEL
Chapman and Cutler LLP
Chicago, IL
INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
Ernst & Young LLP
Chicago, IL
Each Fund intends to repurchase shares of its own common or preferred stock in
the future at such times and in such amounts as is deemed advisable. No shares
were repurchased during the six months ended September 30, 2004. Any future
repurchases will be reported to shareholders in the next annual or semiannual
report.
51
Photo of: 2 women looking at a photo album.
Nuveen Investments:
SERVING Investors
For GENERATIONS
Since 1898, financial advisors and their clients have relied on Nuveen
Investments to provide dependable investment solutions. For the past century,
Nuveen Investments has adhered to the belief that the best approach to investing
is to apply conservative risk-management principles to help minimize volatility.
Building on this tradition, we today offer a range of high quality equity and
fixed-income solutions that are integral to a well-diversified core portfolio.
Our clients have come to appreciate this diversity, as well as our continued
adherence to proven, long-term investing principles.
WE OFFER MANY DIFFERENT INVESTING SOLUTIONS FOR OUR CLIENTS' DIFFERENT NEEDS.
Managing $100 billion in assets, Nuveen Investments offers access to a number of
different asset classes and investing solutions through a variety of products.
Nuveen Investments markets its capabilities under four distinct brands: Nuveen,
a leader in tax-free investments; NWQ, a leader in value-style equities;
Rittenhouse, a leader in growth-style equities; and Symphony, a leading
institutional manager of market-neutral alternative investment portfolios.
FIND OUT HOW WE CAN HELP YOU REACH YOUR FINANCIAL GOALS.
To learn more about the products and services Nuveen Investments offers and for
a prospectus, where applicable, talk to your financial advisor, or call us at
(800) 257-8787. Please read the information carefully before you invest.
Learn more
about Nuveen Funds at
WWW.NUVEEN.COM/ETF
o Share prices
o Fund details
o Daily financial news
o Investor education
o Interactive planning tools
Logo: NUVEEN Investments
ESA-B-0904D
ITEM 2. CODE OF ETHICS.
Not applicable to this filing.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to this filing.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to this filing.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable to this filing.
ITEM 6. SCHEDULE OF INVESTMENTS.
See Schedule I in Item 1.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to this filing.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
In the event of a vacancy on the Board, the nominating and governance committee
receives suggestions from various sources, including shareholders, as to
suitable candidates. Suggestions should be sent in writing to Lorna Ferguson,
Vice President for Board Relations, Nuveen Investments, 333 West Wacker Drive,
Chicago, IL 60606. The nominating and governance committee sets appropriate
standards and requirements for nominations for new directors and reserves the
right to interview all candidates and to make the final selection of any new
directors.
ITEM 11. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers,
or persons performing similar functions, have concluded that the
registrant's disclosure controls and procedures (as defined in Rule
30a-3(c) under the Investment Company Act of 1940, as amended (the
"1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within
90 days of the filing date of this report that includes the disclosure
required by this paragraph, based on their evaluation of the controls
and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR
270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR
240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act
(17 CFR 270.30a-3(d)) that occurred during the registrant's last
fiscal half-year (the registrant's second fiscal half-year in the case
of an annual report) that has materially affected, or is reasonably
likely to materially affect, the registrant's internal control over
financial reporting.
ITEM 12. EXHIBITS.
File the exhibits listed below as part of this Form.
(a)(1) Any code of ethics, or amendment thereto, that is the subject of the
disclosure required by Item 2, to the extent that the registrant intends to
satisfy the Item 2 requirements through filing of an exhibit: Not applicable to
this filing.
(a)(2) A separate certification for each principal executive officer and
principal financial officer of the registrant as required by Rule 30a-2(a) under
the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: Ex-99.CERT
attached hereto.
(a)(3) Any written solicitation to purchase securities under Rule 23c-1 under
the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the
report by or on behalf of the registrant to 10 or more persons: Not applicable.
(b) If the report is filed under Section 13(a) or 15(d) of the Exchange Act,
provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR
270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR
240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of
the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished
pursuant to this paragraph will not be deemed "filed" for purposes of Section 18
of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of
that section. Such certification will not be deemed to be incorporated by
reference into any filing under the Securities Act of 1933 or the Exchange Act,
except to the extent that the registrant specifically incorporates it by
reference. Ex-99.906 CERT attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Nuveen Select Tax-Free Income Portfolio
-----------------------------------------------------------
By (Signature and Title)* /s/ Jessica R. Droeger
----------------------------------------------
Jessica R. Droeger
Vice President and Secretary
Date: December 8, 2004
-------------------------------------------------------------------
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title)* /s/ Gifford R. Zimmerman
----------------------------------------------
Gifford R. Zimmerman
Chief Administrative Officer
(Principal Executive Officer)
Date: December 8, 2004
-------------------------------------------------------------------
By (Signature and Title)* /s/ Stephen D. Foy
----------------------------------------------
Stephen D. Foy
Vice President and Controller
(Principal Financial Officer)
Date: December 8, 2004
-------------------------------------------------------------------
* Print the name and title of each signing officer under his or her signature.