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 811-06265

Nuveen Pennsylvania Quality Municipal Income Fund
(Exact name of registrant as specified in charter)

Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Address of principal executive offices) (Zip code)

Gifford R. Zimmerman
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: February 28

Date of reporting period: February 28, 2018

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.

 

 

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Table of Contents

 

Chairman’s Letter to Shareholders 4
   
Portfolio Manager’s Comments 5
   
Fund Leverage 11
   
Common Share Information 13
   
Risk Considerations 15
   
Performance Overview and Holding Summaries 16
   
Shareholder Meeting Report 20
   
Report of Independent Registered Public Accounting Firm 21
   
Portfolios of Investments 22
   
Statement of Assets and Liabilities 59
   
Statement of Operations 60
   
Statement of Changes in Net Assets 61
   
Statement of Cash Flows 63
   
Financial Highlights 64
   
Notes to Financial Statements 69
   
Additional Fund Information 83
   
Glossary of Terms Used in this Report 84
   
Reinvest Automatically, Easily and Conveniently 86
   
Board Members & Officers 87
3

Chairman’s Letter to Shareholders

Dear Shareholders,

After a prolonged absence, volatility has returned to the markets in 2018. Last year, the markets seemed willing to shrug off any bad news. But in the first few months of 2018, a backdrop of greater economic uncertainty has made markets more reactive to daily headlines. Interest rates in the U.S. have started to move off of historic lows, inflation is expected to finally pick up and the tax reform passed in late December 2017 could extend, and possibly bolster, the economy’s growth streak. How the U.S. Federal Reserve (Fed) will manage these conditions is under intense scrutiny, particularly in light of the Fed’s leadership change in February 2018.

At the same time, trade protectionism could upend sentiment and growth assumptions for the global economy. Investors are also concerned about the potential for increased government regulation on technology companies, whose shares recently declined due to a data privacy scandal and other negative news. Trade and tech do merit watching, but with few policy specifics at the moment, the long-term implications remain difficult to assess.

While the risks surrounding trade, monetary and fiscal policy may have increased, there is still opportunity for upside. Recession risk continues to look low, global economies are still expanding and corporate profits have continued to be healthy. Fundamentals, not headlines, drive markets over the long term. And, it’s easy to forget the relative calm over the past year was the outlier. A return to more historically normal volatility levels is both to be expected and part of the healthy functioning of the markets.

Context and perspective are important. If you’re investing for long-term goals, stay focused on the long term, as temporary bumps may smooth over time. Individuals that have shorter timeframes could also benefit from sticking to a clearly defined investment strategy with a portfolio designed for short-term needs. Your financial advisor can help you determine if your portfolio is properly aligned with your goals, timeline and risk tolerance, as well as help you differentiate the noise from what really matters. On behalf of the other members of the Nuveen Fund Board, we look forward to continuing to earn your trust in the months and years ahead.

Sincerely,

William J. Schneider
Chairman of the Board
April 23, 2018

4

Portfolio Manager’s Comments

Nuveen New Jersey Quality Municipal Income Fund (NXJ)
Nuveen New Jersey Municipal Value Fund (NJV)
Nuveen Pennsylvania Quality Municipal Income Fund (NQP)
Nuveen Pennsylvania Municipal Value Fund (NPN)

These Funds feature portfolio management by Nuveen Asset Management, LLC (NAM), an affiliate of Nuveen, LLC. Portfolio manager Paul L. Brennan, CFA, reviews U.S. economic and municipal market conditions at the national and state levels, key investment strategies and the twelve-month performance of the Nuveen New Jersey and Pennsylvania Funds. Paul assumed portfolio management responsibility for these four Funds in 2011.

What factors affected the U.S. economy and the national municipal bond market during the twelve-month reporting period ended February 28, 2018?

The U.S. economy began 2017 at a sluggish pace but gained momentum mid-year, growing at an annualized rate above 3% in the second and third quarters of 2017. In the final three months of 2017, the economy slowed slightly to 2.9%, as reported by the Bureau of Economic Analysis “third” estimate of fourth-quarter gross domestic product (GDP). GDP is the value of goods and services produced by the nation’s economy less the value of the goods and services used up in production, adjusted for price changes.

Consumer spending, boosted by employment and wage gains, continued to drive the economy. The Atlantic coast hurricanes in September and October 2017 temporarily weakened shopping and dining out activity, but rebuilding efforts had a positive impact on the economy. Business investment, which had been lackluster in the recovery so far, accelerated in 2017, and hiring continued to boost employment. As reported by the Bureau of Labor Statistics, the unemployment rate fell to 4.1% in February 2018 from 4.7% in February 2017 and job gains averaged around 190,000 per month for the past twelve months. While the jobs market has continued to tighten, wage growth has remained lackluster during this economic recovery. However, the January jobs report revealed an unexpected pick-up in wages, which triggered a broad sell-off in equities, despite tame inflation readings. The Consumer Price Index (CPI) increased 2.2% over the twelve-month reporting period ended February 28, 2018 on a seasonally adjusted basis, as reported by the Bureau of Labor Statistics. The core CPI (which excludes food and energy) increased 1.8% during the same period, slightly below the Federal Reserve’s (Fed) unofficial longer term inflation objective of 2.0%.

 

 
This material is not intended to be a recommendation or investment advice, does not constitute a solicitation to buy or sell securities, and is not provided in a fiduciary capacity. The information provided does not take into account the specific objectives or circumstances of any particular investor, or suggest any specific course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with his or her advisors.

Certain statements in this report are forward-looking statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio manager as of the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements, and the views expressed herein are subject to change at any time, due to numerous market and other factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.

For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group (S&P), Moody’s Investors Service, Inc. (Moody’s) or Fitch, Inc. (Fitch). This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings, while BB, B, CCC, CC, C and D are below investment grade ratings. Holdings designated N/R are not rated by these national rating agencies.

Bond insurance guarantees only the payment of principal and interest on the bond when due, and not the value of the bonds themselves, which will fluctuate with the bond market and the financial success of the issuer and the insurer. Insurance relates specifically to the bonds in the portfolio and not to the share prices of a Fund. No representation is made as to the insurers’ ability to meet their commitments.

Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this section.

5

Portfolio Manager’s Comments (continued)

The housing market also continued to improve, with historically low mortgage rates and low inventory driving home prices higher. The S&P CoreLogic Case-Shiller U.S. National Home Price Index, which covers all nine U.S. census divisions, recorded a 6.2% annual gain in January 2018 (most recent data available at the time this report was prepared). The 10-City and 20-City Composites reported year-over-year increases of 6.0% and 6.4%, respectively.

With the U.S. economy delivering a sustainable growth rate and employment strengthening, the Fed’s policy making committee continued to incrementally raise its main benchmark interest rate. The most recent increase, in March 2018 (after the close of this reporting period), was the sixth rate hike since December 2015. In addition, in October 2017, the Fed began reducing its balance sheet by allowing a small amount of maturing Treasury and mortgage securities to roll off without reinvestment. The market expects the pace to remain moderate and predictable, with minimal market disruption.

Investors carefully watched the transition of leadership from outgoing Fed Chair Janet Yellen, whose term expired in February 2018, to the new Chairman Jerome Powell. While Chairman Powell was largely expected to stay on the path set by his predecessor, his first public address was perceived as somewhat more hawkish than the market expected, which led to some near-term volatility at the end of the reporting period.

Investors also sought to gauge the Fed’s reaction to the Tax Cuts and Jobs Act, which was signed into law in late December 2017. While it is still too early to know the full impact of the tax reform, which lowers the tax rates on individuals and corporations, investors worried about the Fed stepping up the pace of rate increases to temper a potentially overheating economy.

With the tax overhaul accomplished, the Trump administration resumed focus on some of its other policies. The surprise announcement of steel and aluminum tariffs sparked fears of a trade war and added uncertainty to the ongoing North American Free Trade Agreement (NAFTA) negotiations. Protectionist rhetoric also garnered attention across Europe, as anti-European Union sentiment featured prominently (although did not win a majority) in the Dutch, French, German and Italian elections held in 2017 and early 2018. In the U.K., Brexit talks have progressed but uncertainties remain.

The municipal bond market produced a positive return over this reporting period, although not without volatility. For most of the reporting period, municipal bonds continued to rebound from the post-election sell-off in the fourth quarter of 2016. After President Trump’s surprising win, bond markets repriced his reflationary fiscal agenda, driving interest rates higher. Municipal bonds suffered a surge in investor outflows due to speculation that the Trump administration’s tax reform proposals could adversely impact municipal bonds.

However, the economy sustained its moderate growth with low inflation, an improving jobs market and modest wage growth, and progress on the White House’s agenda was slow. This backdrop helped municipal bond yields and valuations return to pre-election levels and reverse the trend of outflows. Fundamental credit conditions continued to be favorable overall, while the ongoing high-profile difficulties in Puerto Rico, Illinois and New Jersey were contained.

After the new administration’s health care and immigration reforms met obstacles, Congress refocused on tax reform initiatives in the latter months of 2017. Early drafts of the bill fostered significant uncertainty about the impact on the municipal bond market, leading municipal bonds to underperform taxable bonds in December and provoking issuers to rush bond offerings ahead of the pending tax law. Issuance in December reached an all-time high of $62.5 billion, exacerbating the market’s price decline during the month. However, all of the supply was absorbed and municipal bond valuations subsequently returned to more typical levels.

The final tax reform legislation signed on December 27, 2017 largely spared municipal bonds and was considered neutral to positive for the municipal market overall. Notably, a provision that would have eliminated the tax-preferred status of 20 to 30% of the municipal bond market was not included in the final bill. Moreover, investors were relieved that the adopted changes apply only to newly issued municipal bonds and also could be beneficial from a technical standpoint. Because new issue advance refunding bonds are no longer tax exempt, the total supply of municipal bonds will decrease going forward, boosting the scarcity value of existing municipal bonds. The new tax law also caps the state and local tax (SALT) deduction for individuals, which will likely increase demand for tax-exempt municipal bonds, especially in states with high income and/or property taxes.

6

Following the issuance surge in late 2017, issuance remained sharply lower in early 2018. However, the overall balance of municipal bond supply and demand remained advantageous for prices. Municipal bond issuance nationwide totaled $453.6 billion in this reporting period, an 8.8% drop from the issuance for the twelve-month reporting period ended February 28, 2017. The robust pace of issuance seen since the low volume depths of 2011 began to moderate in 2017 as interest rates moved higher. Despite the increase, the overall level of interest rates still remained low, encouraging issuers to continue to actively refund their outstanding debt. In these transactions the issuers are issuing new bonds and taking the bond proceeds and redeeming (calling) old bonds. These refunding transactions have ranged from 40%-60% of total issuance over the past few years. Thus, the net issuance (all bonds issued less bonds redeemed) is actually much lower than the gross issuance. So, while gross issuance volume has been strong, the net has not, and this was an overall positive technical factor on municipal bond investment performance in recent years. Although the pace of refundings is slowing, net negative issuance is expected to continue.

Despite the volatility surrounding the potential tax law changes, demand remained robust and continued to outstrip supply. Low global interest rates have continued to drive investors toward higher after-tax yielding assets, including U.S. municipal bonds. As a result, municipal bond fund inflows steadily increased in 2017 overall.

How were the economic and market environments in New Jersey and Pennsylvania during the reporting period ended February 28, 2018?

New Jersey’s economic recovery from the recession continues to be slow. The state has several characteristics that position it to do quite well, such as its proximity to New York City’s extensive job market, a shoreline along the Atlantic coast that benefits from a strong tourism industry and two large transportation hubs in the Port of New York and New Jersey and Newark airport. However, for years following the recession, the state’s recovery fell short of many of its peers. New Jersey had the slowest job growth rate in the Northeast until the middle of 2015. In 2017, the construction, information and professional and business services sectors lost jobs, while a number of industries including health care, transportation, leisure and hospitality, and manufacturing reported job gains. As of February 2018, the state’s unemployment rate registered 4.6%, flat from a year prior, and higher than the national rate of 4.1%. Maintaining and upgrading infrastructure is key to economic growth. To address the dire need to finance infrastructure projects, the New Jersey legislature voted to raise the per-gallon tax on gas and diesel effective November 1, 2016. Prior to this, all revenues coming into the transportation trust fund were needed to cover debt service. While resources dedicated to transportation funding are set to increase, the state reduced its sales tax rate and phased out the estate tax, so general operating revenues are projected to decline. However, Governor Murphy’s proposed Fiscal Year 2019 budget restores the sales tax rate, institutes a millionaire’s tax, and counts on legalizing marijuana and closing loopholes in the corporate tax model to generate new revenues. The sluggishness of the state’s recovery exacerbated fiscal pressures caused by growing pension, health care and debt service payments. In the proposed Fiscal Year 2019 budget, expenditures on these three line items constitute 25% of expenses. The $3.2 billion pension payment in the Fiscal Year 2019 budget proposed by Governor Murphy funds only 60% of the actuarially recommended contribution. The state has been downgraded several times in recent years and now carries an A- rating by S&P, A3 by Moody’s and A by Fitch, all with stable outlooks. For the twelve months ending February 28, 2018, the state issued $11.8 billion in tax exempt debt, a gross issuance, year-over-year decrease of 9.1%.

Pennsylvania is the fifth-largest state by population and sixth-largest by gross state product. The commonwealth’s economy did well in 2017. Pennsylvania’s unemployment rate remained steady at 4.8% as of February 28, 2018. Job growth in Pennsylvania, at 1.5% year-over-year as of December 2017, was stronger than in other Northeast states. The slump in the mining sector that was brought on by low oil and gas prices is over. Large pipeline projects in development should bode well for the Pennsylvania economy in the near term. The education and health services sector represents 20.7% of total employment in the commonwealth. Job growth in this sector was a strong 3.3% in December 2017. On the fiscal front, Pennsylvania continues to have trouble balancing its general fund budget. Late budget passage has become an almost annual occurrence as the governor and the legislature cannot agree on basic budget fundamentals. Pennsylvania drew down all of its rainy day funds years ago and has failed to replenish those funds. The Fiscal Year 2018 budget was balanced with a number of one-time measures, including borrowing $2 billion from the state’s future tobacco

7

Portfolio Manager’s Comments (continued)

settlement revenues. Pennsylvania’s debt burden is considered moderate. The $17 billion of net tax-supported debt is equal to 2.7% of personal income, ranking Pennsylvania 22nd among the 50 states. The commonwealth’s pension liabilities are above average. The unfunded pension liability is estimated at more than $65 billion, split between the State Employees Retirement System and the Public School Employees Retirement System. As of February 2018, Pennsylvania’s general obligation (GO) debt was rated Aa3 by Moody’s and A+ by S&P. For the twelve months ended February 28, 2018, $19.6 billion in new municipal bonds were issued in the commonwealth, a gross issuance decrease of 9.4% from the previous twelve months.

What key strategies were used to manage these Funds during the twelve-month reporting period ended February 28, 2018?

Municipal bonds benefited from a generally favorable macroeconomic backdrop, despite the uncertainties surrounding the tax reform bill. Credit spreads narrowed, as sentiment improved after the fourth-quarter sell-off and municipal bond fund flows reversed from net negative to net positive. While yields on the short end of the yield curve moved higher with the Fed’s rate hikes, rates on the long end declined slightly amid low inflation, resulting in a flatter yield curve over this reporting period. New Jersey’s municipal market outperformed the national market, propelled by an upgraded outlook from S&P announced midway through the reporting period. Pennsylvania’s municipal market also outpaced the national market but by a much narrower margin than New Jersey’s.

We also note that New Jersey is among the states with the highest personal income and property taxes, which will be more meaningfully affected by the new limits on SALT deductions (as discussed in the market conditions section of this commentary). While individual taxpayers in New Jersey could see an increased tax burden, we also expect municipal bond demand to remain robust. Instate issues, which offer both state and federal tax advantages, are likely to be especially attractive to taxpayers in high income states. For state and local governments, the ability to raise taxes in the future may be more politically challenging. Bonds backed by tax revenues could face headwinds going forward, and state and local credit profiles could suffer if delays in tax increases hurt pension funding, capital investment or other government spending priorities.

Our trading activity continued to focus on pursuing the Funds’ investment objectives. We continued to seek bonds in areas of the market that we expected to perform well as the economy continued to improve. In this reporting period, we opportunistically sought to buy bonds offering better relative value and long-term total return potential. The Funds’ positioning emphasized intermediate and longer maturities, lower rated credits and sectors offering higher yields. Additionally, with both Pennsylvania and New Jersey facing ongoing fiscal challenges, we continued to limit exposure to state-supported obligations in all four Funds.

To fund these purchases, we reinvested the proceeds primarily from called and maturing bonds. We also selectively sold positions with short maturities such as pre-refunded bonds or positions that could be swapped for more attractive relative long-term opportunities. Some of these trades generated tax efficiencies, as the loss on the depreciated bonds we sold can be used to offset capital gains in the future. Additionally, we sought to diversify some of the call risk in NPN and NJV, which hold meaningful exposure to bonds with 2019 call dates. In fact, NJV had an elevated level of advance refundings in its portfolio in this reporting period. NPN and NJV were launched in 2009 when interest rates were higher. We should note these trades have had a negative impact on the two Funds’ earnings in the short term. To keep the Funds fully invested, the older bonds, which were issued when prevailing interest rates were higher, are being replaced with the lower-yielding bonds available in the current market.

As of February 28, 2018, all of these Funds continued to use inverse floating rate securities. We employ inverse floaters for a variety of reasons, including duration management, income enhancement and total return enhancement. As part of our duration management strategies, NQP and NXJ also invested in forward interest rates swaps to help reduce price volatility risk to movements in U.S. interest rates relative to the Funds’ benchmark. NQP added another swap position during the reporting period, which increased the amount of hedging. NXJ’s swap position rolled off during the reporting period, and the Fund did not hold any swaps as of the end of the reporting period. These swaps had a positive impact to the performance of NQP and a negligible impact to the performance of NXJ during this reporting period.

8

How did the Funds perform during the twelve-month reporting period ended February 28, 2018?

The tables in each Fund’s Performance Overview and Holding Summaries section of this report provide the Funds’ total returns for the one-year, five-year, ten-year and since inception periods ended February 28, 2018. Each Fund’s total returns at common share net asset value (NAV) are compared with the performance of corresponding market indexes.

For the twelve-month reporting period ended February 28, 2018, the total returns on common share NAV for these four Funds outperformed that of the national S&P Municipal Bond Index, NXJ and NQP beat their respective state’s S&P Municipal Bond Index, and NJV and NPN trailed their respective state’s S&P Municipal Bond Index.

The factors influencing the Funds’ performance during this reporting period included yield curve and duration positioning, credit rating allocations and sector allocations. The main positive contributor to the Funds’ relative performance was their longer yield curve and duration positioning. In this reporting period, longer duration bonds outperformed those with shorter durations, and all four Funds held overweight exposures to longer duration credits and underweight exposures to shorter duration credits. The Funds’ credit ratings allocations were also advantageous to relative performance. The Funds have continued to emphasize lower rated bonds over high grade bonds, which was favorable to performance as lower credit quality bonds (A rated and lower) performed better than higher quality (AAA and AA rated) bonds in this reporting period.

On a sector basis, the New Jersey Funds benefited from holdings in the health care sector, which included Kennedy Health System, Palisades Medical Center, RWJ Barnabas Health, Saint Joseph’s Healthcare, Cooper Health System and Hackensack Meridian Health, toll roads (including New Jersey Turnpike Authority and two bi-state agencies, Delaware River Joint Toll Bridge and Delaware River and Bay Authority), higher education (including Seton Hall University, New Jersey Institute of Technology and New Jersey City University), state- and state agency-backed, and tobacco settlement sectors. The Funds’ holdings in local GOs underperformed due to the sector’s higher credit ratings and lower yields. While the New Jersey Funds’ overweight allocation to pre-refunded bonds was an overall detractor from performance, some of the newly refunded bonds appreciated strongly, including a number of hospital bonds.

The Pennsylvania Funds saw gains concentrated in the health care, higher education, student housing, family housing, transportation (including Delaware River Joint Toll Bridge, which is also held in the New Jersey Funds), and water and sewer sectors. NPN also benefited from a District of Columbia tobacco securitization bond, which the Fund holds because Pennsylvania does not offer tobacco bonds. (NQP has no exposure to the tobacco sector.) The two Pennsylvania Funds continued to have exposure to FirstEnergy. The energy supplier had performed poorly earlier in 2017 amid credit concerns relating to its parent company’s plan to exit the power generation business, but the credit partially rebounded during the reporting period, which was positive for the Funds’ performance. However, performance was less favorable for NQP and NPN’s local GOs and pre-refunded bonds, due to the sectors’ higher credit ratings and lower yields.

In addition, the use of regulatory leverage was a factor affecting the performance of NXJ and NQP. NJV and NPN do not use regulatory leverage. Leverage is discussed in more detail later in the Fund Leverage section of this report.

An Update Involving Puerto Rico

As noted in the Funds’ previous shareholder reports, we continue to monitor situations in the broader municipal market for any impact on the Funds’ holdings and performance: Puerto Rico’s ongoing debt restructuring is one such case. Puerto Rico began warning investors in 2014 the island’s debt burden might prove to be unsustainable and the Commonwealth pursued various strategies to deal with this burden.

In June 2016, the Puerto Rico Oversight, Management and Economic Stability Act (PROMESA) was signed into law. The legislation established an independent Financial Oversight and Management Board (FOMB) charged with restructuring Puerto Rico’s financial operations and encouraging economic development. In May 2017, the oversight board initiated a bankruptcy-like process for the general government, general obligation debt, the Puerto Rico Sales Tax Financing Corporation (COFINA), the Highways and Transportation Authority (HTA), and the Employee Retirement System. Officials have indicated more public corporations could follow.

9

Portfolio Manager’s Comments (continued)

In mid-September 2017, Puerto Rico was severely impacted by two hurricanes within the span of just two weeks causing massive damage across the island. The disruption in the local economy caused by the hurricanes and anticipated incoming federal aid created the need for revised fiscal plans for all Puerto Rican entities. These revised plans have not yet been approved by the Oversight Board. Importantly, federal resources dedicated to rebuilding and recovery efforts will not be available for bondholders in the revised fiscal plans. As of April 2018 (subsequent to the close of this reporting period), Puerto Rico has defaulted on many of its debt obligations, including General Obligation bonds.

In terms of Puerto Rico holdings, shareholders should note that, as of the end of this reporting period, NQP had limited exposure of 0.65%, which was either insured or investment grade, to Puerto Rico debt, while NXJ, NJV and NPN did not hold any Puerto Rico bonds. The Puerto Rico credits offered higher yields, added diversification and triple exemption (i.e., exemption from most federal, state and local taxes). Puerto Rico general obligation debt is currently in default and rated Caa3/D/D by Moody’s, S&P and Fitch, respectively, with negative outlooks.

A Note About Investment Valuations

The municipal securities held by the Funds are valued by the Funds’ pricing service using a range of market-based inputs and assumptions. A different municipal pricing service might incorporate different assumptions and inputs into its valuation methodology, potentially resulting in different values for the same securities. Thus, the current net asset value of a Fund’s shares might be impacted, higher or lower, if the Fund were to use a different pricing service, or if its pricing service were to materially change its valuation methodology. On October 4, 2016, the Fund’s then-current municipal bond pricing service was acquired by the parent company of another pricing service, and the combination of the valuation methodologies used by the two organizations took place on October 16, 2017. The change of valuation methodologies due to that combination had little or no impact on the net asset value of each Fund’s shares.

10

Fund Leverage

IMPACT OF THE FUNDS’ LEVERAGE STRATEGIES ON PERFORMANCE

One important factor impacting the returns of the Funds relative to their comparative benchmarks was the Funds’ use of leverage through their issuance of preferred shares and/or investments in inverse floating rate securities, which represent leveraged investments in underlying bonds. NJV and NPN do not use regulatory leverage. The Funds use leverage because our research has shown that, over time, leveraging provides opportunities for additional income, particularly in the recent market environment where short-term market rates are at or near historical lows, meaning that the short-term rates the Fund has been paying on its leveraging instruments have been much lower than the interest the Fund has been earning on its portfolio of long-term bonds that it has bought with the proceeds of that leverage. However, use of leverage also can expose the Fund to additional price volatility. When a Fund uses leverage, the Fund will experience a greater increase in its net asset value if the municipal bonds acquired through the use of leverage increase in value, but it will also experience a correspondingly larger decline in its net asset value if the bonds acquired through leverage decline in value, which will make the Fund’s net asset value more volatile, and its total return performance more variable over time. In addition, income in levered funds will typically decrease in comparison to unlevered funds when short-term interest rates increase and increase when short-term interest rates decrease. The use of leverage through inverse floating rate securities contributed positively to the performance of the Funds over this reporting period. Regulatory leverage had a positive impact on the performance of NXJ and NQP over this reporting period.

As of February 28, 2018, the Funds’ percentages of leverage are as shown in the accompanying table.

 

      NXJ     NJV     NQP     NPN  
Effective Leverage*     39.17 %   9.48 %   40.56 %   4.44 %
Regulatory Leverage*     32.44 %   0.00 %   35.42 %   0.00 %

 

* Effective Leverage is a Fund’s effective economic leverage, and includes both regulatory leverage and the leverage effects of certain derivative and other investments in a Fund’s portfolio that increase the Fund’s investment exposure. Currently, the leverage effects of Tender Option Bond (TOB) inverse floater holdings are included in effective leverage values, in addition to any regulatory leverage. Regulatory leverage consists of preferred shares issued or borrowings of a Fund. Both of these are part of a Fund’s capital structure. A Fund, however, may from time to time borrow on a typically transient basis in connection with its day-to-day operations, primarily in connection with the need to settle portfolio trades. Such incidental borrowings are excluded from the calculation of a Fund’s effective leverage ratio. Regulatory leverage is subject to asset coverage limits set forth in the Investment Company Act of 1940.
11

Fund Leverage (continued)

THE FUND’S REGULATORY LEVERAGE

As of February 28, 2018, the following Funds have issued and outstanding preferred shares as shown in the accompanying table. As mentioned previously, NJV and NPN do not use regulatory leverage.

                     
      Variable Rate
Preferred*
    Variable Rate
Remarketed Preferred**
       
      Shares Issued at
Liquidation Preference
    Shares Issued at
Liquidation Preference
    Total  
NXJ   $ 313,900,000   $   $ 313,900,000  
NQP   $ 304,500,000   $   $ 304,500,000  

 

* Preferred shares of the Fund featuring a floating rate dividend based on a predetermined formula or spread to an index rate. Includes the following preferred shares iMTP, VMTP, MFP-VRM and VRDP in Special Rate Mode. See Notes to Financial Statements, Note 4 – Fund Shares, Preferred Shares for further details.
** Preferred shares of the Fund featuring floating rate dividends set by a remarketing agent via a regular remarketing. Includes the following preferred shares VRDP not in Special Rate Mode, MFP-VRRM and MFP-VRDM, where applicable. See Notes to Financial Statements, Note 4 – Fund Shares, Preferred Shares for further details.

Refer to Notes to Financial Statements, Note – 4 Fund Shares, Preferred Shares for further details on preferred shares and each Fund’s respective transactions.

12

Common Share Information

COMMON SHARE DISTRIBUTION INFORMATION

The following information regarding the Funds’ distributions is current as of February 28, 2018. Each Fund’s distribution levels may vary over time based on each Fund’s investment activity and portfolio investment value changes.

During the current reporting period, each Fund’s distributions to common shareholders were as shown in the accompanying table.

                           
    Per Common Share Amounts
Monthly Distributions (Ex-Dividend Date)     NXJ     NJV     NQP     NPN  
March 2017   $ 0.0580   $ 0.0475   $ 0.0585   $ 0.0495  
April     0.0580     0.0475     0.0585     0.0495  
May     0.0580     0.0475     0.0585     0.0495  
June     0.0580     0.0475     0.0585     0.0495  
July     0.0580     0.0475     0.0585     0.0495  
August     0.0580     0.0475     0.0585     0.0495  
September     0.0580     0.0475     0.0585     0.0470  
October     0.0580     0.0475     0.0585     0.0470  
November     0.0580     0.0475     0.0585     0.0470  
December     0.0580     0.0475     0.0535     0.0455  
January     0.0580     0.0475     0.0535     0.0455  
February 2018     0.0580     0.0475     0.0535     0.0455  
Total Monthly Per Share Distributions   $ 0.6960   $ 0.5700   $ 0.6870   $ 0.5745  
Ordinary Income Distribution*   $ 0.0028   $ 0.0073   $ 0.0038   $ 0.0080  
Total Distributions from Net Investment Income   $ 0.6988   $ 0.5773   $ 0.6908   $ 0.5825  
Short-term Capital Gain*   $   $ 0.0028   $   $ 0.0213  
Long-term Capital Gain*   $   $ 0.3494   $ 0.0017   $ 0.1710  
Total Distributions from Accumulated Net Realized Gains   $   $ 0.3522   $ 0.0017   $ 0.1923  
Total Distributions   $ 0.6988   $ 0.9295   $ 0.6925   $ 0.7748  
                           
Yields                          
Market Yield**     5.31 %   4.21 %   5.13 %   3.60 %
Taxable-Equivalent Yield**     7.63 %   6.05 %   7.04 %   4.94 %

 

* Distribution paid December 2017.
** Market Yield is based on the Fund’s current annualized monthly dividend divided by the Fund’s current market price as of the end of the reporting period. Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 30.4% and 27.1% for New Jersey and Pennsylvania, respectively. When comparing a Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.

Each Fund in this report seeks to pay regular monthly dividends out of its net investment income at a rate that reflects its past and projected net income performance. To permit each Fund to maintain a more stable monthly dividend, the Fund may pay dividends at a rate that may be more or less than the amount of net income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it will hold the excess in reserve as undistributed net investment income (UNII) as part of the Fund’s net asset value. Conversely, if a Fund has cumulatively paid in dividends more than it has earned, the excess will constitute a

13

Common Share Information (continued)

negative UNII that will likewise be reflected in the Fund’s net asset value. Each Fund will, over time, pay all its net investment income as dividends to shareholders.

As of February 28, 2018, the Funds had positive UNII balances for tax purposes. NXJ, NJV and NPN had positive UNII balances while NQP had a negative UNII balance for financial reporting purposes.

All monthly dividends paid by each Fund during the current reporting period were paid from net investment income. If a portion of the Fund’s monthly distributions was sourced from or comprised of elements other than net investment income, including capital gains and/or a return of capital, shareholders would have received a notice to that effect. For financial reporting purposes, the composition and per share amounts of each Fund’s dividends for the reporting period are presented in this report’s Statement of Changes in Net Assets and Financial Highlights, respectively. For income tax purposes, distribution information for each Fund as of its most recent tax year end is presented in Note 6 — Income Tax Information within the Notes to Financial Statements of this report.

COMMON SHARE REPURCHASES

During August 2017, the Funds’ Board of Trustees reauthorized an open-market share repurchase program, allowing each Fund to repurchase an aggregate of up to approximately 10% of its outstanding shares.

As of February 28, 2018, and since the inception of the Funds’ repurchase programs, the Funds have cumulatively repurchased and retired their outstanding common shares as shown in the accompanying table.

                 
  NXJ   NJV   NQP   NPN  
Common shares cumulatively repurchased and retired 658,200   15,000   378,900   0  
Common shares authorized for repurchase 4,260,000   155,000   3,775,000   120,000  

During the current reporting period, the following Funds repurchased and retired their common shares at a weighted average price per common share and a weighted average discount per common share as shown in the accompanying table.

               
      NXJ     NQP  
Common shares repurchased and retired     49,600     15,500  
Weighted average price per common share repurchased and retired   $ 13.47   $ 12.68  
Weighted average discount per common share repurchased and retired     14.07 %   14.72 %

OTHER COMMON SHARE INFORMATION

As of February 28, 2018, and during the current reporting period, the Funds’ common share prices were trading at a premium/ (discount) to their common share NAVs as shown in the accompanying table.

                           
      NXJ     NJV     NQP     NPN  
Common Share NAV     15.37     15.15     14.71     14.78  
Common Share Price     13.10     13.55     12.52     15.15  
Premium/(Discount) to NAV     (14.77 )%   (10.56 )%   (14.89 )%   2.50 %
12-month average premium/(discount) to NAV     (12.83 )%   (6.44 )%   (11.77 )%   1.45 %
14

Risk Considerations

Fund shares are not guaranteed or endorsed by any bank or other insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation.

Nuveen New Jersey Quality Municipal Income Fund (NXJ)
Investing in closed-end funds involves risk; principal loss is possible. There is no guarantee the Fund’s investment objectives will be achieved. Closed-end fund shares may frequently trade at a discount or premium to their net asset value. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, derivatives risk, liquidity risk, and income risk. As interest rates rise, bond prices fall. Leverage increases return volatility and magnifies the Fund’s potential return and its risks; there is no guarantee a fund’s leverage strategy will be successful. State concentration makes the Fund more susceptible to local adverse economic, political, or regulatory changes affecting municipal bond issuers. These and other risk considerations such as inverse floater risk and tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NXJ.

Nuveen New Jersey Municipal Value Fund (NJV)
Investing in closed-end funds involves risk; principal loss is possible. There is no guarantee the Fund’s investment objectives will be achieved. Closed-end fund shares may frequently trade at a discount or premium to their net asset value. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, derivatives risk, liquidity risk, and income risk. As interest rates rise, bond prices fall. State concentration makes the Fund more susceptible to local adverse economic, political, or regulatory changes affecting municipal bond issuers. These and other risk considerations such as tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NJV.

Nuveen Pennsylvania Quality Municipal Income Fund (NQP)
Investing in closed-end funds involves risk; principal loss is possible. There is no guarantee the Fund’s investment objectives will be achieved. Closed-end fund shares may frequently trade at a discount or premium to their net asset value. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, derivatives risk, liquidity risk, and income risk. As interest rates rise, bond prices fall. Leverage increases return volatility and magnifies the Fund’s potential return and its risks; there is no guarantee a fund’s leverage strategy will be successful. State concentration makes the Fund more susceptible to local adverse economic, political, or regulatory changes affecting municipal bond issuers. These and other risk considerations such as inverse floater risk and tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NQP.

Nuveen Pennsylvania Municipal Value Fund (NPN)
Investing in closed-end funds involves risk; principal loss is possible. There is no guarantee the Fund’s investment objectives will be achieved. Closed-end fund shares may frequently trade at a discount or premium to their net asset value. Debt or fixed income securities such as those held by the Fund, are subject to market risk, credit risk, interest rate risk, derivatives risk, liquidity risk, and income risk. As interest rates rise, bond prices fall. State concentration makes the Fund more susceptible to local adverse economic, political, or regulatory changes affecting municipal bond issuers. These and other risk considerations such as tax risk are described in more detail on the Fund’s web page at www.nuveen.com/NPN.

 

15

 

NXJ Nuveen New Jersey Quality Municipal
  Income Fund
  Performance Overview and Holding Summaries as of
  February 28, 2018

Refer to Glossary of Terms Used in this Report for further definition of the terms used within this section.

Average Annual Total Returns as of February 28, 2018

  Average Annual
  1-Year   5-Year   10-Year  
NXJ at Common Share NAV 5.66%   3.91%   6.67%  
NXJ at Common Share Price 2.74%   2.47%   6.29%  
S&P Municipal Bond New Jersey Index 4.53%   3.05%   4.98%  
S&P Municipal Bond Index 2.32%   2.59%   4.68%  

Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index return information is provided for the Fund’s shares at NAV only. Indexes are not available for direct investment.

This data relates to the securities held in the Fund’s portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.

For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Holdings designated N/R are not rated by these national rating agencies.

 

Fund Allocation    
(% of net assets)    
Long-Term Municipal Bonds 147.7%  
Other Assets Less Liabilities 1.5%  
Net Assets Plus Floating Rate Obligations and VRDP Shares,net of deferred offering costs 149.2%  
Floating Rate Obligations (1.4)%  
VRDP Shares, net of deferred offering costs (47.8)%  
Net Assets 100%  

 

Portfolio Composition    
(% of total investments)    
Tax Obligation/Limited 22.7%  
Transportation 19.3%  
Education and Civic Organizations 14.0%  
Health Care 13.0%  
U.S. Guaranteed 8.6%  
Tax Obligation/General 4.8%  
Consumer Staples 3.9%  
Other 13.7%  
Total 100%  

 

Portfolio Credit Quality    
(% of total investment exposure)    
U.S. Guaranteed 11.9%  
AAA 7.8%  
AA 28.8%  
A 28.7%  
BBB 13.8%  
BB or Lower 8.2%  
N/R 0.8%  
Total 100%  

 

16

 

NJV Nuveen New Jersey Municipal Value Fund
  Performance Overview and Holding Summaries as of
  February 28, 2018

Refer to Glossary of Terms Used in this Report for further definition of the terms used within this section.

Average Annual Total Returns as of February 28, 2018

  Average Annual
  1-Year   5-Year   Since Inception  
NJV at Common Share NAV 3.31%   2.98%   5.92%  
NJV at Common Share Price (7.48)%   2.16%   4.38%  
S&P Municipal Bond New Jersey Index 4.53%   3.05%   5.01%  
S&P Municipal Bond Index 2.32%   2.59%   4.67%  

Since inception returns are from 4/28/09. Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index return information is provided for the Fund’s shares at NAV only. Indexes are not available for direct investment.

This data relates to the securities held in the Fund’s portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.

For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Holdings designated N/R are not rated by these national rating agencies.

 

Fund Allocation    
(% of net assets)    
Long-Term Municipal Bonds 105.6%  
Other Assets Less Liabilities 0.8%  
Net Assets Plus Floating Rate Obligations 106.4%  
Floating Rate Obligations (6.4)%  
Net Assets 100%  

 

Portfolio Composition    
(% of total investments)    
Health Care 17.9%  
Education and Civic Organizations 17.2%  
Tax Obligation/Limited 16.8%  
Transportation 11.7%  
U.S. Guaranteed 11.4%  
Tax Obligation/General 8.9%  
Housing/Multifamily 6.8%  
Other 9.3%  
Total 100%  

 

Portfolio Credit Quality    
(% of total investment exposure)    
U.S. Guaranteed 10.4%  
AAA 10.1%  
AA 30.5%  
A 28.3%  
BBB 11.9%  
BB or Lower 7.7%  
N/R 1.1%  
Total 100%  

 

17

 

NQP Nuveen Pennsylvania Quality Municipal
  Income Fund
  Performance Overview and Holding Summaries as of
  February 28, 2018

Refer to Glossary of Terms Used in this Report for further definition of the terms used within this section.

Average Annual Total Returns as of February 28, 2018

 

  Average Annual
  1-Year   5-Year   10-Year  
NQP at Common Share NAV 4.12%   3.31%   6.54%  
NQP at Common Share Price (0.85)%   1.44%   6.28%  
S&P Municipal Bond Pennsylvania Index 2.84%   2.94%   4.79%  
S&P Municipal Bond Index 2.32%   2.59%   4.68%  

 

Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index return information is provided for the Fund’s shares at NAV only. Indexes are not available for direct investment.

This data relates to the securities held in the Fund’s portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.

For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Holdings designated N/R are not rated by these national rating agencies.

 

Fund Allocation    
(% of net assets)    
Long-Term Municipal Bonds 161.5%  
Other Assets Less Liabilities 1.8%  
Net Assets Plus Floating Rate Obligations,VMTP Shares, net of deferred offering costs & VRDP Shares, net of deferred offering costs 163.3%  
Floating Rate Obligations (8.6)%  
VMTP Shares, net of deferred offering costs (15.7)%  
VRDP Shares, net of deferred offering costs (39.0)%  
Net Assets 100%  

 

Portfolio Composition    
(% of total investments)    
Health Care 20.1%  
Tax Obligations/General 15.4%  
U.S. Guaranteed 13.8%  
Education and Civic Organizations 12.0%  
Housing/Single Family 9.9%  
Transportation 6.6%  
Tax Obligation/Limited 6.3%  
Water and Sewer 5.8%  
Other 10.1%  
Total 100%  

 

Portfolio Credit Quality    
(% of total investment exposure)    
U.S. Guaranteed 15.3%  
AAA 0.1%  
AA 39.3%  
A 29.5%  
BBB 7.8%  
BB or Lower 5.0%  
N/R 3.0%  
Total 100%  

 

18

 

NPN Nuveen Pennsylvania Municipal Value Fund
  Performance Overview and Holding Summaries as of
  February 28, 2018

Refer to Glossary of Terms Used in this Report for further definition of the terms used within this section.

Average Annual Total Returns as of February 28, 2018

 

  Average Annual
  1-Year   5-Year   Since Inception  
NPN at Common Share NAV 2.58%   2.87%   5.51%  
NPN at Common Share Price 0.68%   3.98%   5.41%  
S&P Municipal Bond Pennsylvania Index 2.84%   2.94%   4.74%  
S&P Municipal Bond Index 2.32%   2.59%   4.67%  

Since inception returns are from 4/28/09. Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares. Returns at NAV are net of Fund expenses, and assume reinvestment of distributions. Comparative index return information is provided for the Fund’s shares at NAV only. Indexes are not available for direct investment.

This data relates to the securities held in the Fund’s portfolio of investments as of the end of the reporting period. It should not be construed as a measure of performance for the Fund itself. Holdings are subject to change.

For financial reporting purposes, the ratings disclosed are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Holdings designated N/R are not rated by these national rating agencies.

 

Fund Allocation    
(% of net assets)    
Long-Term Municipal Bonds 100.6%  
Other Assets Less Liabilities 1.1%  
Net Assets Plus Floating Rate Obligations 101.7%  
Floating Rate Obligations (1.7)%  
Net Assets 100%  

 

Portfolio Composition    
(% of total investments)    
U.S. Guaranteed 19.2%  
Health Care 18.7%  
Housing/Single Family 11.4%  
Transportation 8.9%  
Tax Obligation/General 8.0%  
Housing/Multifamily 7.1%  
Education and Civic Organizations 5.9%  
Long-Term Care 4.7%  
Tax Obligation/Limited 4.1%  
Other 12.0%  
Total 100%  

 

Portfolio Credit Quality    
(% of total investment exposure)    
U.S. Guaranteed 18.7%  
AA 39.8%  
A 21.0%  
BBB 11.3%  
BB or Lower 4.8%  
N/R 4.4%  
Total 100%  
19

Shareholder Meeting Report

The annual meeting of shareholders was held in the offices of Nuveen on November 14, 2017 for NXJ, NJV, NQP and NPN; at this meeting the shareholders were asked to elect Board Members.

                         
  NXJ   NJV   NQP   NPN  
  Common and
Preferred
shares voting
together
as a class
  Preferred
Shares
  Common
Shares
  Common and
Preferred
shares voting
together
as a class
  Preferred
Shares
  Common
Shares
 
Approval of the Board Members was reached as follows:                        
David J. Kundert                        
For 36,382,607     1,388,987   28,852,251     1,024,973  
Withhold 976,066     11,101   979,464     61,129  
Total 37,358,673     1,400,088   29,831,715     1,086,102  
John K. Nelson                        
For 36,467,514     1,394,412   29,076,593     1,028,875  
Withhold 891,159     5,676   755,122     57,227  
Total 37,358,673     1,400,088   29,831,715     1,086,102  
Terence J. Toth                        
For 36,446,616     1,394,412   28,998,921     1,028,875  
Withhold 912,057     5,676   832,794     57,227  
Total 37,358,673     1,400,088   29,831,715     1,086,102  
Robert L. Young                        
For 36,448,385     1,394,412   29,077,368     1,025,845  
Withhold 910,288     5,676   754,347     60,257  
Total 37,358,673     1,400,088   29,831,715     1,086,102  
William C. Hunter                        
For   2,329       3,045    
Withhold            
Total   2,329       3,045    
William J. Schneider                        
For   2,329       3,045    
Withhold            
Total   2,329       3,045    
20

Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Trustees of
Nuveen New Jersey Quality Municipal Income Fund
Nuveen New Jersey Municipal Value Fund
Nuveen Pennsylvania Quality Municipal Income Fund
Nuveen Pennsylvania Municipal Value Fund:

Opinion on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of Nuveen New Jersey Quality Municipal Income Fund, Nuveen New Jersey Municipal Value Fund, Nuveen Pennsylvania Quality Municipal Income Fund, and Nuveen Pennsylvania Municipal Value Fund (the “Funds”) as of February 28, 2018, the related statements of operations for the year then ended, the statements of changes in net assets for the year then ended, the ten-month period from May 1, 2016 through February 28, 2017, and the year ended April 30, 2016, the statements of cash flows (where applicable) for the year then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for the year then ended, for the ten-month period from May 1, 2016 through February 28, 2017, and each of the years in the two-year period ended April 30, 2016. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Funds as of February 28, 2018, the results of their operations and their cash flows for the year then ended, the changes in their net assets for the year then ended, the ten-month period from May 1, 2016 through February 28, 2017, and the year ended April 30, 2016, and the financial highlights for the year then ended, the ten-month period from May 1, 2016 through February 28, 2017, and each of the years in the two-year period ended April 30, 2016, in conformity with U.S. generally accepted accounting principles. The financial highlights for the periods presented through April 30, 2014 were audited by other independent registered public accountants whose report dated June 25, 2014 expressed an unqualified opinion on those financial highlights.

Basis for Opinion
These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of February 28, 2018, by correspondence with the custodian and brokers or other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

/s/ KPMG LLP

We have served as the auditor of certain Nuveen investment companies since 2014.

Chicago, Illinois
April 25, 2018

 

21

 

NXJ Nuveen New Jersey Quality Municipal
  Income Fund
  Portfolio of Investments
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      LONG-TERM INVESTMENTS – 147.7% (100.0% of Total Investments)            
      MUNICIPAL BONDS – 147.7% (100.0% of Total Investments)            
      Consumer Discretionary – 0.4% (0.3% of Total Investments)            
      Middlesex County Improvement Authority, New Jersey, Senior Revenue Bonds, Heldrich Center Hotel/Conference Center Project, Series 2005A:            
$ 1,720   5.000%, 1/01/32 5/18 at 100.00   Caa1 $ 1,354,827  
  1,485   5.125%, 1/01/37 5/18 at 100.00   Caa1   1,109,132  
  3,205   Total Consumer Discretionary         2,463,959  
      Consumer Staples – 5.7% (3.9% of Total Investments)            
      Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2007-1A:            
  3,290   4.500%, 6/01/23 4/18 at 100.00   BBB+   3,305,957  
  31,735   4.750%, 6/01/34 4/18 at 100.00   BB–   31,417,964  
  2,695   5.000%, 6/01/41 4/18 at 100.00   B   2,692,575  
  37,720   Total Consumer Staples         37,416,496  
      Education and Civic Organizations – 20.7% (14.0% of Total Investments)            
  1,760   Camden County Improvement Authority, New Jersey, Lease Revenue Bonds, Rowan University School of Osteopathic Medicine Project, Refunding Series 2013A, 5.000%, 12/01/32 12/23 at 100.00   A   1,968,120  
  175   New Jersey Economic Development Authority, Charter School Revenue Bonds, Teaneck Community Charter School, Series 2017A, 5.125%, 9/01/52, 144A 9/27 at 100.00   BB   166,980  
  2,025   New Jersey Economic Development Authority, Revenue Bonds, The Seeing Eye Inc., Refunding Series 2015, 5.000%, 3/01/25 No Opt. Call   A   2,327,110  
      New Jersey Economic Development Authority, Revenue Bonds, The Seeing Eye Inc., Refunding Series 2017:            
  500   5.000%, 6/01/32 12/27 at 100.00   A   578,910  
  820   3.000%, 6/01/32 12/27 at 100.00   A   751,497  
  2,455   New Jersey Economic Development Authority, Rutgers University General Obligation Lease Revenue Bonds, Tender Option Bond 2016-XF2357, 15.063%, 6/15/46, 144A (IF) (4) 6/23 at 100.00   AA3   3,509,275  
      New Jersey Education Facilities Authority Revenue Bonds, The College of New Jersey Issue, Series 2013A:            
  2,475   5.000%, 7/01/38 7/23 at 100.00   AA–   2,718,342  
  3,250   5.000%, 7/01/43 7/23 at 100.00   AA–   3,556,150  
  1,100   New Jersey Educational Facilities Authority, Revenue Bonds, Kean University, Refunding Series 2015H, 4.000%, 7/01/39 – AGM Insured 7/25 at 100.00   AA   1,135,244  
  5,000   New Jersey Educational Facilities Authority, Revenue Bonds, Montclair State University, Series 2014A, 5.000%, 7/01/44 7/24 at 100.00   AA–   5,532,950  
      New Jersey Educational Facilities Authority, Revenue Bonds, Montclair State University, Series 2015D:            
  2,395   5.000%, 7/01/31 7/25 at 100.00   AA–   2,702,973  
  1,600   5.000%, 7/01/33 7/25 at 100.00   AA–   1,793,456  
  1,000   5.000%, 7/01/34 7/25 at 100.00   AA–   1,119,520  
  5,955   New Jersey Educational Facilities Authority, Revenue Bonds, New Jersey City University, Series 2015A, 5.000%, 7/01/45 7/25 at 100.00   AA   6,499,704  
      New Jersey Educational Facilities Authority, Revenue Bonds, Passaic County Community College, Series 2010C:            
  1,500   5.250%, 7/01/32 7/20 at 100.00   A3   1,593,120  
  1,000   5.375%, 7/01/41 7/20 at 100.00   A3   1,062,550  

 

22

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Education and Civic Organizations (continued)            
$ 4,335   New Jersey Educational Facilities Authority, Revenue Bonds, Princeton University, Tender Option Bond Trust 2015-XF0099, 11.585%, 7/01/39, 144A (IF) 7/21 at 100.00   AAA $ 5,567,614  
  4,000   New Jersey Educational Facilities Authority, Revenue Bonds, Princeton University, Tender Option Bond Trust 2015-XF0149, 11.735%, 7/01/44, 144A (IF) (4) 7/24 at 100.00   AAA   5,633,160  
      New Jersey Educational Facilities Authority, Revenue Bonds, Ramapo College, Refunding Series 2012B:            
  550   5.000%, 7/01/37 7/22 at 100.00   A   598,538  
  1,050   5.000%, 7/01/42 7/22 at 100.00   A   1,139,093  
      New Jersey Educational Facilities Authority, Revenue Bonds, Rider University, Series 2012A:            
  1,140   5.000%, 7/01/32 7/21 at 100.00   Baa2   1,199,861  
  740   5.000%, 7/01/37 7/21 at 100.00   Baa2   768,275  
      New Jersey Educational Facilities Authority, Revenue Bonds, Rider University, Series 2017F:            
  275   3.750%, 7/01/37 7/27 at 100.00   Baa2   261,168  
  3,830   4.000%, 7/01/42 7/27 at 100.00   Baa2   3,719,466  
  4,205   5.000%, 7/01/47 7/27 at 100.00   Baa2   4,532,948  
  1,200   New Jersey Educational Facilities Authority, Revenue Bonds, Seton Hall University, Refunding Series 2015C, 5.000%, 7/01/35 7/25 at 100.00   A–   1,327,704  
  915   New Jersey Educational Facilities Authority, Revenue Bonds, Seton Hall University, Refunding Series 2017D, 3.500%, 7/01/44 7/27 at 100.00   A–   873,944  
      New Jersey Educational Facilities Authority, Revenue Bonds, Seton Hall University, Series 2013D:            
  675   5.000%, 7/01/38 7/23 at 100.00   A–   745,220  
  1,935   5.000%, 7/01/43 7/23 at 100.00   A–   2,123,256  
  1,970   New Jersey Educational Facilities Authority, Revenue Bonds, Seton Hall University, Series 2016C, 3.000%, 7/01/46 7/26 at 100.00   A–   1,720,539  
      New Jersey Educational Facilities Authority, Revenue Bonds, Stevens Institute of Technology, Series 2017A:            
  1,060   5.000%, 7/01/37 7/27 at 100.00   A–   1,187,380  
  2,500   5.000%, 7/01/42 7/27 at 100.00   A–   2,783,575  
  1,690   5.000%, 7/01/47 7/27 at 100.00   A–   1,874,599  
  1,050   4.000%, 7/01/47 7/27 at 100.00   A–   1,068,806  
  2,000   New Jersey Educational Facilities Authority, Revenue Bonds, Stockton University Issue, Refunding Series 2016A, 5.000%, 7/01/41 7/26 at 100.00   A   2,168,420  
  975   New Jersey Educational Facilities Authority, Revenue Bonds, The College of Saint Elizabeth, Series 2016D, 5.000%, 7/01/46 7/26 at 100.00   BB   979,553  
  4,560   New Jersey Educational Facilities Authority, Revenue Bonds, William Paterson University, Series 2015C, 5.000%, 7/01/40 7/25 at 100.00   A2   5,011,030  
      New Jersey Educational Facilities Authority, Revenue Bonds, William Paterson University, Series 2017B:            
  2,000   5.000%, 7/01/42 – AGM Insured 7/27 at 100.00   AA   2,245,420  
  2,420   5.000%, 7/01/47 – AGM Insured 7/27 at 100.00   AA   2,706,722  
      New Jersey Educational Facilities Authority, Revenue Refunding Bonds, College of New Jersey, Series 2012A:            
  200   5.000%, 7/01/18 No Opt. Call   AA–   202,300  
  1,000   5.000%, 7/01/19 No Opt. Call   AA–   1,043,210  
      New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Senior Lien Series 2016-1A:            
  6,180   3.500%, 12/01/32 (Alternative Minimum Tax) 12/25 at 100.00   Aaa   5,958,323  
  1,430   4.000%, 12/01/39 (Alternative Minimum Tax) 12/25 at 100.00   Aaa   1,379,507  
  1,930   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2008A, 6.125%, 6/01/30 – AGC Insured (Alternative Minimum Tax) 6/18 at 100.00   Aaa   1,943,857  
23

 

NXJ Nuveen New Jersey Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Education and Civic Organizations (continued)            
$ 860   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2010-1A, 5.000%, 12/01/25 12/19 at 100.00   Aaa $ 898,838  
  960   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2010-2, 5.000%, 12/01/30 12/20 at 100.00   Aaa   1,013,347  
  1,050   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2011-1, 5.750%, 12/01/27 (Alternative Minimum Tax) 12/21 at 100.00   Aaa   1,130,703  
      New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2012-1A:            
  2,955   4.250%, 12/01/25 (Alternative Minimum Tax) 12/22 at 100.00   Aaa   3,081,267  
  975   4.375%, 12/01/26 (Alternative Minimum Tax) 12/22 at 100.00   Aaa   1,015,004  
  500   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2012-1B, 5.750%, 12/01/39 (Alternative Minimum Tax) 12/22 at 100.00   Aaa   543,085  
  1,120   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2013-1A, 3.750%, 12/01/26 (Alternative Minimum Tax) 12/22 at 100.00   Aaa   1,135,534  
      New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2015-1A:            
  5,000   4.000%, 12/01/28 (Alternative Minimum Tax) 12/24 at 100.00   Aaa   5,130,700  
  2,575   4.000%, 12/01/30 (Alternative Minimum Tax) 12/24 at 100.00   Aaa   2,605,282  
  6,855   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Subordinate Series 2017-C, 4.250%, 12/01/47 (Alternative Minimum Tax) 12/26 at 100.00   Aaa   6,831,624  
      New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Tender Option Bond Trust 2015-XF0151:            
  1,051   8.845%, 12/01/23, 144A (Alternative Minimum Tax) (IF) (4) 12/22 at 100.00   AAA   1,137,455  
  940   8.955%, 12/01/24, 144A (Alternative Minimum Tax) (IF) (4) 12/22 at 100.00   AAA   1,017,324  
  640   9.367%, 12/01/25, 144A (Alternative Minimum Tax) (IF) (4) 12/22 at 100.00   AAA   679,494  
  190   9.917%, 12/01/26, 144A (Alternative Minimum Tax) (IF) (4) 12/22 at 100.00   AAA   200,520  
  2,395   10.978%, 12/01/27, 144A (Alternative Minimum Tax) (IF) (4) 12/22 at 100.00   AAA   2,671,670  
  2,000   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Tender Option Bond Trust 2016-XG0001, 16.650%, 6/01/30, 144A (IF) (4) 6/19 at 100.00   AA   2,326,900  
  400   New Jersey Institute of Technology, New Jersey, General Obligation Bonds, Series 2012A, 5.000%, 7/01/42 7/22 at 100.00   A1   436,664  
  2,300   New Jersey Institute of Technology, New Jersey, General Obligation Bonds, Series 2015A, 5.000%, 7/01/45 7/25 at 100.00   A1   2,573,286  
  2,170   Rutgers State University, New Jersey, Revenue Bonds, Tender Option Bond 2016-XF2356, 15.180%, 5/01/43, 144A (IF) (4) 5/23 at 100.00   AA–   3,074,087  
  123,761   Total Education and Civic Organizations         135,282,173  
      Financials – 1.3% (0.9% of Total Investments)            
      New Jersey Economic Development Authority, Revenue Refunding Bonds, Kapkowski Road Landfill Project, Series 2002:            
  6,590   5.750%, 10/01/21 No Opt. Call   Ba2   6,990,738  
  1,500   6.500%, 4/01/28 No Opt. Call   Ba2   1,758,855  
  8,090   Total Financials         8,749,593  
      Health Care – 19.3% (13.0% of Total Investments)            
      Camden County Improvement Authority, New Jersey, Health Care Redevelopment Revenue Bonds, Cooper Health System Obligated Group Issue, Refunding Series 2014A:            
  175   5.000%, 2/15/25 2/24 at 100.00   BBB+   195,262  
  220   5.000%, 2/15/26 2/24 at 100.00   BBB+   243,569  
  1,320   5.000%, 2/15/27 2/24 at 100.00   BBB+   1,452,343  
  1,385   5.000%, 2/15/28 2/24 at 100.00   BBB+   1,516,769  
  1,385   5.000%, 2/15/29 2/24 at 100.00   BBB+   1,509,719  
  2,500   5.000%, 2/15/32 2/24 at 100.00   BBB+   2,695,725  
  3,040   5.000%, 2/15/33 2/24 at 100.00   BBB+   3,269,550  
  1,000   5.000%, 2/15/34 2/24 at 100.00   BBB+   1,072,730  
  1,950   5.000%, 2/15/35 2/24 at 100.00   BBB+   2,087,514  

 

24

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Health Care (continued)            
$ 6,100   Camden County Improvement Authority, New Jersey, Health Care Redevelopment Revenue Bonds, Cooper Health System Obligated Group Issue, Series 2013A, 5.750%, 2/15/42 2/23 at 100.00   BBB+ $ 6,666,812  
  225   New Jersey Health Care Facilities Finance Authority, Revenue Bonds, AHS Hospital Corporation, Series 2008A, 5.000%, 7/01/27 7/18 at 100.00   AA–   227,525  
  2,500   New Jersey Health Care Facilities Financing Authority, Hospital Revenue Bonds, Virtua Health, Tender Option Bond Trust 2016-XG0047, 16.124%, 7/01/38 – AGC Insured, 144A (IF) (4) 7/19 at 100.00   AA–   2,955,650  
      New Jersey Health Care Facilities Financing Authority, New Jersey, Revenue Bonds, Saint Peters University Hospital, Refunding Series 2011:            
  2,000   6.000%, 7/01/26 7/21 at 100.00   BB+   2,141,480  
  2,500   6.250%, 7/01/35 7/21 at 100.00   BB+   2,687,300  
  3,550   New Jersey Health Care Facilities Financing Authority, New Jersey, Revenue Bonds, Saint Peters University Hospital, Series 2007, 5.750%, 7/01/37 7/18 at 100.00   BB+   3,585,855  
  1,145   New Jersey Health Care Facilities Financing Authority, Revenue and Refunding Bonds, Barnabas Health, Series 2012A, 5.000%, 7/01/24 7/22 at 100.00   A+   1,273,377  
  2,525   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, AHS Hospital Corporation, Refunding Series 2016, 4.000%, 7/01/41 1/27 at 100.00   AA–   2,545,554  
  10,000   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Barnabas Health, Refunding Series 2014A, 5.000%, 7/01/44 7/24 at 100.00   A+   10,805,000  
  4,140   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Hackensack Meridian Health Obligated Group, Refunding Series 2017A, 5.000%, 7/01/57 7/27 at 100.00   A+   4,582,318  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Hunterdon Medical Center, Refunding Series 2014A:            
  2,055   5.000%, 7/01/45 7/24 at 100.00   A+   2,219,236  
  1,295   4.000%, 7/01/45 7/24 at 100.00   A+   1,300,025  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Meridian Health System Obligated Group, Refunding Series 2011:            
  3,000   5.000%, 7/01/25 7/22 at 100.00   AA–   3,331,800  
  3,000   5.000%, 7/01/26 7/22 at 100.00   AA–   3,314,130  
  2,500   5.000%, 7/01/27 7/22 at 100.00   AA–   2,750,375  
  1,450   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Meridian Health System Obligated Group, Refunding Series 2013A, 5.000%, 7/01/32 7/23 at 100.00   AA–   1,589,940  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Princeton HealthCare System, Series 2016A:            
  830   5.000%, 7/01/32 7/26 at 100.00   Baa2   935,867  
  1,055   5.000%, 7/01/33 7/26 at 100.00   Baa2   1,183,024  
  1,370   5.000%, 7/01/34 7/26 at 100.00   Baa2   1,528,852  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Robert Wood Johnson University Hospital Issue, Series 2014A:            
  4,235   5.000%, 7/01/39 7/24 at 100.00   A+   4,672,010  
  5,955   5.000%, 7/01/43 7/24 at 100.00   A+   6,547,880  
  3,945   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Robert Wood Johnson University Hospital, Series 2013A, 5.500%, 7/01/43 7/23 at 100.00   A+   4,449,289  
  780   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, RWJ Barnabas Health Obligated Group, Refunding Series 2016A, 5.000%, 7/01/43 7/26 at 100.00   A+   861,042  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Joseph’s Healthcare System Obligated Group Issue, Refunding Series 2016:            
  1,335   3.000%, 7/01/32 7/26 at 100.00   BBB–   1,157,218  
  1,135   4.000%, 7/01/34 7/26 at 100.00   BBB–   1,124,206  
  2,600   5.000%, 7/01/35 7/26 at 100.00   BBB–   2,807,376  
  1,700   5.000%, 7/01/36 7/26 at 100.00   BBB–   1,831,835  
  3,095   5.000%, 7/01/41 7/26 at 100.00   BBB–   3,310,010  
  4,510   4.000%, 7/01/48 7/26 at 100.00   BBB–   4,261,995  
25

 

NXJ Nuveen New Jersey Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Health Care (continued)            
$ 2,345   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Luke’s Warren Hospital Obligated Group, Series 2013, 4.000%, 8/15/37 8/23 at 100.00   A– $ 2,350,769  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, University Hospital Issue, Refunding Series 2015A:            
  5,055   4.125%, 7/01/38 – AGM Insured 7/25 at 100.00   AA   5,198,158  
  3,910   5.000%, 7/01/46 – AGM Insured 7/25 at 100.00   AA   4,288,801  
  12,010   New Jersey Health Care Facilities Financing Authority, Revenue Bonds Series 2017A, 5.000%, 7/01/42, (UB) (4) 7/27 at 100.00   A2   13,362,206  
  116,825   Total Health Care         125,890,096  
      Housing/Multifamily – 3.1% (2.1% of Total Investments)            
  1,845   New Jersey Economic Development Authority, Revenue Bonds, Provident Group – Kean Properties LLC – Kean University Student Housing Project, Series 2017A, 5.000%, 7/01/47 1/27 at 100.00   BBB–   1,966,881  
  1,900   New Jersey Economic Development Authority, Revenue Bonds, Provident Group – Rowan Properties LLC – Rowan University Student Housing Project, Series 2015A, 5.000%, 1/01/48 1/25 at 100.00   BBB–   2,006,666  
  6,075   New Jersey Economic Development Authority, Revenue Bonds, West Campus Housing LLC – New Jersey City University Student Housing Project, Series 2015, 5.000%, 7/01/47 7/25 at 100.00   BBB–   6,327,963  
      New Jersey Housing and Mortgage Finance Agency, Multifamily Housing Revenue Bonds, Series 2013-2:            
  2,165   4.350%, 11/01/33 (Alternative Minimum Tax) 11/22 at 100.00   AA   2,249,132  
  1,235   4.600%, 11/01/38 (Alternative Minimum Tax) 11/22 at 100.00   AA   1,279,472  
  1,235   4.750%, 11/01/46 (Alternative Minimum Tax) 11/22 at 100.00   AA   1,280,374  
  2,280   New Jersey Housing and Mortgage Finance Agency, Multifamily Revenue Bonds, Series 2015A, 4.000%, 11/01/45 11/24 at 100.00   AA–   2,302,504  
      New Jersey Housing and Mortgage Finance Agency, Multifamily Revenue Bonds, Series 2017D:            
  1,125   3.900%, 11/01/32 (Alternative Minimum Tax) 5/26 at 100.00   AA–   1,115,033  
  1,750   4.250%, 11/01/37 (Alternative Minimum Tax) 5/26 at 100.00   AA–   1,754,708  
  19,610   Total Housing/Multifamily         20,282,733  
      Housing/Single Family – 3.1% (2.1% of Total Investments)            
      New Jersey Housing & Mortgage Finance Agency, Single Family Home Mortgage Revenue Bonds, Series 2011A:            
  9,495   4.450%, 10/01/25 4/21 at 100.00   Aa2   9,977,061  
  9,505   4.650%, 10/01/29 4/21 at 100.00   Aa2   9,897,557  
  515   New Jersey Housing and Mortgage Finance Agency, Single Family Housing Revenue Bonds, Series 2007T, 4.700%, 10/01/37 (Alternative Minimum Tax) 4/18 at 100.00   AA   515,417  
  19,515   Total Housing/Single Family         20,390,035  
      Long-Term Care – 2.2% (1.5% of Total Investments)            
  7,835   Burlington County Bridge Commission, New Jersey, Economic Development Revenue Bonds, The Evergreens Project, Series 2007, 5.625%, 1/01/38 5/18 at 100.00   N/R   7,197,074  
  510   New Jersey Economic Development Authority, Fixed Rate Revenue Bonds, Lions Gate Project, Series 2014, 5.250%, 1/01/44 1/24 at 100.00   N/R   523,867  
  5,000   New Jersey Economic Development Authority, Revenue Bonds, United Methodist Homes of New Jersey Obligated Group Issue, Refunding Series 2013, 5.000%, 7/01/34 7/23 at 100.00   BBB–   5,254,800  
  1,410   New Jersey Economic Development Authority, Revenue Bonds, United Methodist Homes of New Jersey Obligated Group Issue, Refunding Series 2014A, 5.000%, 7/01/29 7/24 at 100.00   BBB–   1,519,966  
  14,755   Total Long-Term Care         14,495,707  
26

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligation/General – 7.1% (4.8% of Total Investments)            
$ 2,225   Cumberland County Improvement Authority, New Jersey, County General Obligation Revenue Bonds, Technical High School Project, Series 2014, 5.000%, 9/01/39 – AGM Insured 9/24 at 100.00   AA $ 2,483,145  
  815   Cumberland County Improvement Authority, New Jersey, General Obligation Lease Revenue Bonds, Vineland Public Safety Building Project, Series 2017., 3.250%, 12/15/37 – BAM Insured 12/27 at 100.00   AA   767,119  
      Gloucester County, New Jersey, General Obligation Bonds, Series 2017B:            
  550   4.000%, 10/15/24 No Opt. Call   AA   604,258  
  195   4.000%, 10/15/25 No Opt. Call   AA   214,748  
  575   4.000%, 10/15/27 No Opt. Call   AA   635,375  
  1,335   Hamilton Township, Mercer County Board of Education, New Jersey, General Obligation Bonds, Series 2017., 3.250%, 12/15/38 12/27 at 100.00   AA   1,266,982  
      Hudson County, New Jersey, General Obligation Bonds, County College, Refunding Series 2017:            
  650   4.000%, 2/15/21 No Opt. Call   AA   690,554  
  500   4.000%, 2/15/22 No Opt. Call   AA   538,415  
  300   4.000%, 2/15/23 No Opt. Call   AA   326,088  
  500   4.000%, 2/15/25 No Opt. Call   AA   550,945  
  325   4.000%, 2/15/27 No Opt. Call   AA   358,397  
      Jersey City, New Jersey, General Obligation Bonds, Refunding General Improvement Series 2017A:            
  1,000   5.000%, 11/01/29 11/27 at 100.00   AA–   1,173,080  
  550   5.000%, 11/01/30 11/27 at 100.00   AA–   642,169  
  515   5.000%, 11/01/31 11/27 at 100.00   AA–   599,424  
  440   5.000%, 11/01/33 11/27 at 100.00   AA–   510,928  
  1,100   Linden, New Jersey, General Obligation Bonds, Refunding Series 2011, 4.000%, 5/01/23 5/21 at 100.00   AA–   1,157,409  
  1,380   Middlesex County, New Jersey, General Obligation Bonds, Refunding General Improvement Series 2017, 4.000%, 1/15/24 No Opt. Call   AAA   1,523,244  
  975   Middlesex County, New Jersey, General Obligation Bonds, Refunding Redevelopment Series 2017, 4.000%, 1/15/23 No Opt. Call   AAA   1,065,500  
  1,975   Middletown Township Board of Education, Monmouth County, New Jersey, Refunding Series 2010, 5.000%, 8/01/27 8/20 at 100.00   AA–   2,131,400  
  2,280   Monroe Township Board of Education, Middlesex County, New Jersey, General Obligation Bonds, Refunding Series 2015, 5.000%, 3/01/38 3/25 at 100.00   AA–   2,532,442  
  760   Montclair Township, Essex County, New Jersey, General Obligation Bonds, Refunding Parking Utility Series 2014A, 5.000%, 1/01/37 1/24 at 100.00   AAA   859,818  
      Mount Laurel Township, Burlington County, New Jersey, General Obligation Bonds, Refunding Series 2017:            
  250   3.000%, 4/15/22 No Opt. Call   AA   259,433  
  750   4.000%, 4/15/29 4/27 at 100.00   AA   808,185  
      New Brunswick Parking Authority, Middlesex County, New Jersey, Guaranteed Parking Revenue Bonds, Refunding Series 2012:            
  465   5.000%, 9/01/28 9/22 at 100.00   A+   514,369  
  610   5.000%, 9/01/29 9/22 at 100.00   A+   673,940  
  300   5.000%, 9/01/31 9/22 at 100.00   A+   330,774  
  250   3.625%, 9/01/34 9/22 at 100.00   A+   251,705  
      New Brunswick Parking Authority, Middlesex County, New Jersey, Guaranteed Parking Revenue Bonds, Refunding Series 2016:            
  860   3.000%, 9/01/32 9/25 at 100.00   AA   831,431  
  1,000   3.000%, 9/01/33 9/25 at 100.00   AA   956,790  
  2,190   New Brunswick, New Jersey, General Obligation Bonds, Cultural Center Project, Series 2017, 4.000%, 9/15/44 – AGM Insured 9/27 at 100.00   AA   2,272,694  
      Sparta Township Board of Education, Sussex County, New Jersey, General Obligation Bonds, Refunding Series 2015:            
  1,000   5.000%, 2/15/34 2/25 at 100.00   AA–   1,124,660  
  1,395   5.000%, 2/15/35 2/25 at 100.00   AA–   1,566,111  
27

 

NXJ Nuveen New Jersey Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligation/General (continued)            
$ 5,165   Union County Utilities Authority, New Jersey, Resource Recovery Facility Lease Revenue Bonds, Covantan Union Inc. Lessee, Refunding Series 2011B, 5.250%, 12/01/31 (Alternative Minimum Tax) 12/21 at 100.00   AA+ $ 5,724,524  
  2,515   Union County Utilities Authority, New Jersey, Solid Waste System County Deficiency Revenue Bonds, Series 2011A, 5.000%, 6/15/41 6/21 at 100.00   Aaa   2,746,179  
      Union County, New Jersey, General Obligation Bonds, Refunding Series 2017:            
  2,000   4.000%, 3/01/24 No Opt. Call   Aaa   2,204,780  
  1,535   4.000%, 3/01/26 No Opt. Call   Aaa   1,716,299  
  1,515   Washington Township Board of Education, Mercer County, New Jersey, General Obligation Bonds, Series 2005, 5.250%, 1/01/27 – AGM Insured No Opt. Call   Aa3   1,839,225  
  1,435   West Deptford Township, Gloucester County, New Jersey, General Obligation Bonds, Refunding Series 2014, 4.000%, 9/01/28 – BAM Insured 9/24 at 100.00   AA   1,516,537  
  100   Woodbridge Township, Middlesex County, New Jersey, General Obligation Bonds, Refunding Series 2010, 5.000%, 7/15/19 No Opt. Call   AA+   104,725  
  42,280   Total Tax Obligation/General         46,073,801  
      Tax Obligation/Limited – 33.5% (22.7% of Total Investments)            
  3,775   Bergen County Improvement Authority, New Jersey, Guaranteed Lease Revenue Bonds, County Administration Complex Project, Series 2005, 5.000%, 11/15/26 No Opt. Call   Aaa   4,512,144  
      Burlington County Bridge Commission, New Jersey, County Guaranteed Bridge System Revenue Bonds, Series 2017:            
  1,000   5.000%, 10/01/19 No Opt. Call   AA   1,053,490  
  300   5.000%, 10/01/22 No Opt. Call   AA   339,342  
  4,150   Essex County Improvement Authority, New Jersey, Project Consolidation Revenue Bonds, Refunding Series 2007, 5.250%, 12/15/22 – AMBAC Insured No Opt. Call   Aa1   4,744,197  
  3,000   Garden State Preservation Trust, New Jersey, Open Space and Farmland Preservation Bonds, Series 2003B, 0.000%, 11/01/25 – AGM Insured No Opt. Call   AA   2,380,680  
  3,015   Garden State Preservation Trust, New Jersey, Open Space and Farmland Preservation Bonds, Series 2005A, 5.750%, 11/01/28 – AGM Insured No Opt. Call   AA   3,571,418  
  5,120   Garden State Preservation Trust, New Jersey, Open Space and Farmland Preservation Bonds, Series 2005C, 5.125%, 11/01/18 – AGM Insured No Opt. Call   AA   5,247,232  
      Government of Guam, Business Privilege Tax Bonds, Series 2011A:            
  5,005   5.250%, 1/01/36 1/22 at 100.00   A   5,271,416  
  3,020   5.125%, 1/01/42 1/22 at 100.00   A   3,149,860  
  500   Government of Guam, Business Privilege Tax Bonds, Series 2012B-1, 5.000%, 1/01/29 1/22 at 100.00   A   526,570  
  1,110   Hudson County Improvement Authority, New Jersey, County Secured Lease Revenue Bonds, Hudson County Plaza Refunding Project, Series 2013, 3.250%, 4/01/35 4/22 at 100.00   Aa3   1,082,905  
      Hudson County Improvement Authority, New Jersey, County Secured Lease Revenue Bonds, Hudson County Vocational Technical Schools Project, Series 2016:            
  10,310   5.000%, 5/01/46 5/26 at 100.00   AA   11,570,604  
  3,745   5.250%, 5/01/51 5/26 at 100.00   AA   4,240,801  
      New Jersey Economic Development Authority, Cigarette Tax Revenue Refunding Bonds, Series 2012:            
  310   5.000%, 6/15/21 No Opt. Call   BBB+   335,618  
  6,400   5.000%, 6/15/25 6/22 at 100.00   BBB+   6,943,104  
  3,480   5.000%, 6/15/26 6/22 at 100.00   BBB+   3,759,270  
  7,945   5.000%, 6/15/28 6/22 at 100.00   BBB+   8,536,267  
  415   5.000%, 6/15/29 6/22 at 100.00   BBB+   444,851  
  5,640   New Jersey Economic Development Authority, Revenue Bonds, Motor Vehicle Surcharge, Refunding Series 2017A, 3.375%, 7/01/30 7/27 at 100.00   BBB+   5,368,096  
      New Jersey Economic Development Authority, Revenue Bonds, Newark Downtown District Management Corporation Project, Series 2007:            
  440   5.125%, 6/15/27 5/18 at 100.00   Baa3   440,273  
  740   5.125%, 6/15/37 5/18 at 100.00   Baa3   740,400  

 

28

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligation/Limited (continued)            
$ 6,385   New Jersey Economic Development Authority, School Facilities Construction Bonds, Series 2014UU, 5.000%, 6/15/27 6/24 at 100.00   A– $ 6,857,490  
  12,000   New Jersey Economic Development Authority, School Facilities Construction Bonds, Series 2015WW, 5.250%, 6/15/40 6/25 at 100.00   A–   12,705,840  
  5,000   New Jersey Economic Development Authority, School Facilities Construction Financing Program Bonds, Refunding Series 2014PP, 5.000%, 6/15/26 6/24 at 100.00   A–   5,402,100  
  6,000   New Jersey Economic Development Authority, Sublease Revenue Bonds, New Jersey Transit Corporation Projects, Refunding Series 2017B, 5.000%, 11/01/25 No Opt. Call   A–   6,612,840  
  3,750   New Jersey Transportation Trust Fund Authority, Federal Highway Aid Grant Anticipation Bonds, Series 2006, 5.000%, 6/15/18 – FGIC Insured 4/18 at 100.00   A–   3,814,200  
      New Jersey Transportation Trust Fund Authority, Federal Highway Reimbursement Revenue Notes, Series 2016A-1:            
  1,130   5.000%, 6/15/29 6/26 at 100.00   A+   1,243,260  
  655   5.000%, 6/15/30 6/26 at 100.00   A+   716,721  
  32,965   New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Capital Appreciation Series 2010A, 0.000%, 12/15/30 No Opt. Call   A–   18,568,193  
  8,100   New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Refunding Series 2006A, 5.500%, 12/15/22 No Opt. Call   A–   9,030,609  
      New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Refunding Series 2006C:            
  37,565   0.000%, 12/15/32 – AGM Insured No Opt. Call   AA   20,317,403  
  39,090   0.000%, 12/15/33 – AGM Insured No Opt. Call   AA   20,125,484  
  5,160   0.000%, 12/15/34 – AGM Insured No Opt. Call   AA   2,526,388  
  7,500   New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Series 2007A, 5.000%, 12/15/26 – AMBAC Insured 4/18 at 100.00   A–   7,516,125  
  7,000   New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Series 2010D, 5.000%, 12/15/24 No Opt. Call   A–   7,758,310  
  3,860   Passaic County Improvement Authority, New Jersey, Lease Revenue Bonds, Preakness Healthcare Center Expansion Project, Refunding Series 2015, 3.750%, 5/01/36 5/25 at 100.00   AA   3,932,800  
      Passaic County Improvement Authority, New Jersey, Lease Revenue Bonds, Preakness Healthcare Center Expansion Project, Series 2012:            
  865   5.000%, 5/01/21 No Opt. Call   Aa2   948,334  
  4,105   3.500%, 5/01/35 5/22 at 100.00   Aa2   4,089,114  
      Union County Improvement Authority, New Jersey, General Obligation Lease Bonds, Juvenile Detention Center Facility Project, Tender Option Bond Trust 2015-XF1019:            
  285   20.832%, 5/01/28, 144A (IF) (4) No Opt. Call   Aaa   619,211  
  285   20.899%, 5/01/29, 144A (IF) (4) No Opt. Call   Aaa   629,973  
  200   20.899%, 5/01/30, 144A (IF) (4) No Opt. Call   Aaa   452,012  
  370   20.691%, 5/01/31, 144A (IF) (4) No Opt. Call   Aaa   850,760  
  385   20.799%, 5/01/32, 144A (IF) (4) No Opt. Call   Aaa   913,628  
  400   20.803%, 5/01/33, 144A (IF) (4) No Opt. Call   Aaa   965,852  
  415   20.899%, 5/01/34, 144A (IF) (4) No Opt. Call   Aaa   1,019,655  
  3,975   Union County Improvement Authority, New Jersey, Lease Revenue Bonds, Plainfield – Park Madison Redevelopment Project, Tender Option Trust 2016-XG0057, 15.008%, 3/01/34, 144A (IF) (4) No Opt. Call   AA+   7,211,644  
  256,865   Total Tax Obligation/Limited         219,086,484  
      Transportation – 28.4% (19.3% of Total Investments)            
  5,550   Casino Reinvestment Development Authority, New Jersey, Parking Revenue Bonds, Series 2005A, 5.250%, 6/01/20 – NPFG Insured 5/18 at 100.00   Baa2   5,567,649  
  2,400   Delaware River and Bay Authority, Delaware and New Jersey, Revenue Bonds, Series 2012A, 5.000%, 1/01/42 1/23 at 100.00   A1   2,622,168  
29

 

NXJ Nuveen New Jersey Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Transportation (continued)            
      Delaware River and Bay Authority, Delaware and New Jersey, Revenue Bonds, Series 2014A:            
$ 1,285   5.000%, 1/01/34 1/24 at 100.00   A1 $ 1,422,212  
  5,890   4.125%, 1/01/39 1/24 at 100.00   A1   6,054,213  
  7,800   5.000%, 1/01/44 1/24 at 100.00   A1   8,571,498  
      Delaware River Joint Toll Bridge Commission, New Jersey and Pennsylvania, Bridge System Revenue Bonds, Refunding Series 2015:            
  1,000   4.000%, 7/01/34 – BAM Insured 7/25 at 100.00   AA   1,045,210  
  2,820   4.000%, 7/01/35 – BAM Insured 7/25 at 100.00   AA   2,940,019  
      Delaware River Joint Toll Bridge Commission, New Jersey and Pennsylvania, Bridge System Revenue Bonds, Series 2017:            
  2,820   5.000%, 7/01/42 7/27 at 100.00   A1   3,190,097  
  10,210   5.000%, 7/01/47 7/27 at 100.00   A1   11,506,262  
      Delaware River Joint Toll Bridge Commission, Pennsylvania, Bridge System Revenue Bonds, Refunding Series 2012A:            
  2,150   5.000%, 7/01/24 7/22 at 100.00   A1   2,396,369  
  1,105   5.000%, 7/01/25 7/22 at 100.00   A1   1,230,650  
  650   4.000%, 7/01/26 7/22 at 100.00   A1   687,843  
  625   4.000%, 7/01/27 7/22 at 100.00   A1   658,238  
      Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2010E:            
  1,000   5.000%, 1/01/40 – AGM Insured 1/20 at 100.00   AA   1,056,230  
  5,005   5.000%, 1/01/40 1/20 at 100.00   A   5,272,517  
  7,035   Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2013, 5.000%, 1/01/40 1/24 at 100.00   A   7,750,530  
      Delaware River Port Authority, Pennsylvania and New Jersey, Revenue Refunding Bonds, Port District Project, Series 2012:            
  1,800   5.000%, 1/01/24 1/23 at 100.00   A–   1,988,820  
  1,635   5.000%, 1/01/25 1/23 at 100.00   A–   1,794,069  
  1,875   5.000%, 1/01/26 1/23 at 100.00   A–   2,048,569  
  3,595   5.000%, 1/01/27 1/23 at 100.00   A–   3,907,513  
  5,555   New Jersey Economic Development Authority, Private Activity Bonds, The Goethals Bridge Replacement Project, Series 2013, 5.625%, 1/01/52 (Alternative Minimum Tax) 1/24 at 100.00   BBB   6,200,324  
      New Jersey Economic Development Authority, Special Facilities Revenue Bonds, Continental Airlines Inc., Series 1999:            
  1,000   5.125%, 9/15/23 (Alternative Minimum Tax) 3/18 at 100.00   BB–   1,104,460  
  1,800   5.250%, 9/15/29 (Alternative Minimum Tax) 8/22 at 101.00   BB–   1,964,898  
  2,250   New Jersey Economic Development Authority, Special Facilities Revenue Bonds, Continental Airlines Inc., Series 2000A & 2000B, 5.625%, 11/15/30 (Alternative Minimum Tax) 3/24 at 101.00   BB–   2,548,845  
      New Jersey Economic Development Authority, Special Facility Revenue Bonds, Port Newark Container Terminal LLC Project, Refunding Series 2017.:            
  5,660   5.000%, 10/01/37 (Alternative Minimum Tax) 10/27 at 100.00   Ba1   6,134,761  
  6,940   5.000%, 10/01/47 (Alternative Minimum Tax) 10/27 at 100.00   Ba1   7,464,733  
      New Jersey Transit Corporation, Grant Anticipation Notes, Federal Transit Administration Section 5307 Urbanized Area Formula Funds, Series 2014A:            
  6,000   5.000%, 9/15/20 No Opt. Call   A   6,380,040  
  5,750   5.000%, 9/15/21 No Opt. Call   A   6,195,108  
  7,780   New Jersey Turnpike Authority, Revenue Bonds, Refunding Series 2015E, 5.000%, 1/01/45 1/25 at 100.00   A+   8,632,766  
  3,065   New Jersey Turnpike Authority, Revenue Bonds, Series 2005A, 5.250%, 1/01/29 – AGM Insured No Opt. Call   AA   3,736,633  
  7,620   New Jersey Turnpike Authority, Revenue Bonds, Series 2012B, 5.000%, 1/01/28 1/23 at 100.00   A+   8,481,517  
  3,625   New Jersey Turnpike Authority, Revenue Bonds, Tender Option Bond Trust 2016-XF1057, 13.969%, 1/01/43, 144A (IF) (4) 7/22 at 100.00   AA   5,309,538  
  2,750   Passaic County Improvement Authority, New Jersey, Revenue Bonds, Paterson Parking Deck Facility, Series 2005, 5.000%, 4/15/35 – AGM Insured 5/18 at 100.00   A2   2,757,590  
30

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Transportation (continued)            
$ 7,235   Port Authority of New York and New Jersey, Consolidated Revenue Bonds, One Hundred Seventy Ninth Series 2013, 5.000%, 12/01/43 12/23 at 100.00   AA– $ 8,164,408  
  5,700   Port Authority of New York and New Jersey, Consolidated Revenue Bonds, One Hundred Seventy Seventh Series 2013, 4.000%, 1/15/43 (Alternative Minimum Tax) 1/23 at 100.00   AA–   5,777,919  
      Port Authority of New York and New Jersey, Special Project Bonds, JFK International Air Terminal LLC, Sixth Series 1997:            
  19,655   5.750%, 12/01/22 – NPFG Insured (Alternative Minimum Tax) 6/18 at 100.00   Baa1   20,638,926  
  12,130   5.750%, 12/01/25 – NPFG Insured (Alternative Minimum Tax) 6/18 at 100.00   Baa1   12,736,985  
  170,765   Total Transportation         185,940,127  
      U.S. Guaranteed – 12.7% (8.6% of Total Investments) (5)            
  25   Essex County Improvement Authority, New Jersey, Project Consolidation Revenue Bonds, Refunding Series 2007, 5.250%, 12/15/22 – AMBAC Insured (ETM) No Opt. Call   Aa1   28,801  
  335   New Jersey Economic Development Authority, Revenue Bonds, Yeshiva Ktana of Passaic, Series 1993, 8.000%, 9/15/18 (ETM) No Opt. Call   N/R   346,802  
      New Jersey Economic Development Authority, Student Housing Revenue Bonds, Provident Group-Montclair Properties LLC, Montclair State University Student Housing Project, Series 2010A:            
  3,870   5.750%, 6/01/31 (Pre-refunded 6/01/20) 6/20 at 100.00   Aaa   4,223,912  
  2,100   5.875%, 6/01/42 (Pre-refunded 6/01/20) 6/20 at 100.00   Aaa   2,297,820  
  250   New Jersey Educational Facilities Authority, Revenue Bonds, Georgian Court University, Series 2007D, 5.000%, 7/01/27 (Pre-refunded 4/24/18) 4/18 at 100.00   BBB–   251,363  
      New Jersey Educational Facilities Authority, Revenue Bonds, University of Medicine and Dentistry of New Jersey, Refunding Series 2009B:            
  25   6.500%, 12/01/19 (Pre-refunded 6/01/19) 6/19 at 100.00   N/R   26,496  
  100   6.500%, 12/01/20 (Pre-refunded 6/01/19) 6/19 at 100.00   N/R   105,985  
  5   7.125%, 12/01/23 (Pre-refunded 6/01/19) 6/19 at 100.00   N/R   5,338  
  30   New Jersey Environmental Infrastructure Trust, Environmental Infrastructure Bonds, Series 2012A, 3.250%, 9/01/31 (Pre-refunded 9/01/21) 9/21 at 100.00   N/R   31,447  
  4,885   New Jersey Health Care Facilities Finance Authority, Revenue Bonds, AHS Hospital Corporation, Series 2008A, 5.000%, 7/01/27 (Pre-refunded 7/01/18) 7/18 at 100.00   N/R   4,945,134  
      New Jersey Health Care Facilities Financing Authority, Revenue and Refunding Bonds, Palisades Medical Center Obligated Group Issue, Series 2013:            
  555   5.250%, 7/01/31 (Pre-refunded 7/01/23) 7/23 at 100.00   N/R   640,897  
  2,570   5.250%, 7/01/31 (Pre-refunded 7/01/23) 7/23 at 100.00   A–   2,981,791  
  275   5.500%, 7/01/43 (Pre-refunded 7/01/23) 7/23 at 100.00   N/R   321,005  
  1,285   5.500%, 7/01/43 (Pre-refunded 7/01/23) 7/23 at 100.00   A–   1,507,035  
  4,165   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Kennedy Health System Obligated Group Issue, Refunding Series 2012, 3.750%, 7/01/27 (ETM) No Opt. Call   N/R   4,582,958  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Kennedy Health System Obligated Group Issue, Refunding Series 2012:            
  3,375   5.000%, 7/01/31 (Pre-refunded 7/01/22) 7/22 at 100.00   N/R   3,806,393  
  1,500   5.000%, 7/01/37 (Pre-refunded 7/01/22) 7/22 at 100.00   N/R   1,691,730  
  7,520   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Meridian Health, Series 2007, 5.000%, 7/01/38 (Pre-refunded 7/01/18) – AGC Insured 7/18 at 100.00   AA   7,612,571  
  7,670   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Barnabas Health Care System, Refunding Series 2011A, 5.625%, 7/01/37 (Pre-refunded 7/01/21) 7/21 at 100.00   N/R   8,585,031  
  5,000   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Joseph’s Healthcare System Obligated Group Issue, Series 2008, 6.625%, 7/01/38 (Pre-refunded 7/01/18) 7/18 at 100.00   Baa3   5,086,550  
  3,805   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, St. Clare’s Hospital, Series 2004A, 5.250%, 7/01/20 – AGC Insured (ETM) No Opt. Call   AA   4,121,386  
31

 

NXJ Nuveen New Jersey Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      U.S. Guaranteed (5) (continued)            
      New Jersey Health Care Facilities Financing Authority, State Contract Bonds, Hospital Asset Transformation Program, Series 2008A:            
$ 410   5.250%, 10/01/38 (Pre-refunded 10/01/18) 10/18 at 100.00   N/R $ 419,455  
  1,400   5.250%, 10/01/38 (Pre-refunded 10/01/18) 10/18 at 100.00   BBB+   1,431,864  
  175   New Jersey Institute of Technology, New Jersey, General Obligation Bonds, Series 2012A, 5.000%, 7/01/42 (Pre-refunded 7/01/22) 7/22 at 100.00   N/R   197,757  
  1,555   New Jersey Sports and Exposition Authority, Convention Center Luxury Tax Bonds, Series 2004, 5.500%, 3/01/22 – NPFG Insured (ETM) No Opt. Call   Baa2   1,766,931  
  7,500   New Jersey Turnpike Authority, Revenue Bonds, Series 2009I, 5.000%, 1/01/35 (Pre-refunded 1/01/20) 1/20 at 100.00   A+   7,969,275  
  1,650   Newark Housing Authority, New Jersey, City-Secured Police Facility Revenue Bonds, South Ward Police Facility, Series 2009A, 6.750%, 12/01/38 (Pre-refunded 12/01/19) – AGC Insured 12/19 at 100.00   A3   1,795,184  
  15,840   North Hudson Sewerage Authority, New Jersey, Sewerage Revenue Refunding Bonds, Series 2001A, 0.000%, 8/01/23 – NPFG Insured (ETM) No Opt. Call   Baa2   13,980,384  
  2,100   Passaic County Improvement Authority, New Jersey, County Guaranteed Parking Revenue Bonds, 200 Hospital Plaza Project, Series 2010, 5.000%, 5/01/42 (Pre-refunded 5/01/20) 5/20 at 100.00   Aa2   2,254,014  
  79,975   Total U.S. Guaranteed         83,015,309  
      Utilities – 4.8% (3.2% of Total Investments)            
  13,500   Essex County Improvement Authority, New Jersey, Solid Waste Disposal Revenue Bonds, Covanta Project, Series 2015, 5.250%, 7/01/45, 144A (Alternative Minimum Tax) 7/20 at 100.00   BB–   13,548,870  
  1,510   Industrial Pollution Control Financing Authority of Cape May County (New Jersey), Pollution Control Revenue Refunding Bonds, 1991 Series A (Atlantic City Electric Company Project), 6.800%, 3/01/21 – NPFG Insured No Opt. Call   A   1,688,950  
      New Jersey Economic Development Authority, Energy Facilities Revenue Bonds, UMM Energy Partners, LLC Project, Series 2012A:            
  1,000   4.750%, 6/15/32 (Alternative Minimum Tax) 6/22 at 100.00   Baa3   1,036,390  
  1,225   5.125%, 6/15/43 (Alternative Minimum Tax) 6/22 at 100.00   Baa3   1,272,849  
  5,100   New Jersey Economic Development Authority, Water Facilities Revenue Bonds, New Jersey-American Water Company Inc. Project, Refunding Series 2010B, 5.600%, 11/01/34 (Alternative Minimum Tax) 5/20 at 100.00   A+   5,428,593  
  2,040   New Jersey Economic Development Authority, Water Facilities Revenue Bonds, New Jersey-American Water Company Inc. Project, Refunding Series 2010D, 4.875%, 11/01/29 (Alternative Minimum Tax) 11/20 at 100.00   A+   2,162,971  
  2,700   Passaic County Utilities Authority, New Jersey, Solid Waste Disposal Revenue Bonds, Refunding Series 2018, 5.000%, 3/01/37 No Opt. Call   AA   3,216,888  
  2,530   Salem County Pollution Control Financing Authority, New Jersey, Pollution Control Revenue Bonds, Chambers Project, Refunding Series 2014A, 5.000%, 12/01/23 (Alternative Minimum Tax) No Opt. Call   BBB–   2,721,799  
  29,605   Total Utilities         31,077,310  
      Water and Sewer – 5.4% (3.6% of Total Investments)            
      New Jersey Economic Development Authority, Water Facilities Revenue Bonds, Middlesex Water Company, Series 2012C:            
  1,460   5.000%, 10/01/23 No Opt. Call   A+   1,656,312  
  15,670   4.250%, 10/01/47 (Alternative Minimum Tax) 10/22 at 100.00   A+   15,884,522  
  1,650   New Jersey Environmental Infrastructure Trust, Environmental Infrastructure Bonds, Series 2012A, 3.250%, 9/01/31 9/21 at 100.00   AAA   1,667,424  
  6,270   New Jersey Environmental Infrastructure Trust, Environmental Infrastructure Bonds, Tender Option Bond Trust 2016-XF0395, 6.357%, 9/01/21, 144A (IF) (4) No Opt. Call   AAA   7,232,257  
      North Hudson Sewerage Authority, New Jersey, Gross Revenue Lease Certificates, Senior Lien Series 2012A:            
  3,515   5.000%, 6/01/27 6/22 at 100.00   A   3,849,030  
  4,000   5.000%, 6/01/42 – NPFG Insured 6/22 at 100.00   A   4,338,240  
  305   North Hudson Sewerage Authority, New Jersey, Gross Revenue Lease Certificates, Senior Lien Series 2012A, 5.000%, 6/01/27 6/22 at 100.00   N/R   342,600  
32

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Water and Sewer (continued)            
$ 105   Wanaque Valley Regional Sewer Authority, Passaic County, New Jersey, Sewer Revenue Refunding Bonds, Series 1993B, 5.750%, 9/01/18 – AMBAC Insured No Opt. Call   N/R $ 106,010  
  32,975   Total Water and Sewer         35,076,395  
$ 955,946   Total Long-Term Investments (cost $915,423,409)         965,240,218  
      Floating Rate Obligations – (1.4)%         (9,005,000 )
      Variable Rate Demand Preferred Shares, net of deferred offering costs – (47.8)% (6)         (312,379,779 )
      Other Assets Less Liabilities – 1.5%         9,828,576  
      Net Assets Applicable to Common Shares – 100%       $ 653,684,015  

 

(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2)
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm.
(3) For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. Ratings are not covered by the report of independent registered public accounting firm.
(4) Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest.
(6) Variable Rate Demand Preferred Shares, net of deferred offering costs as a percentage of Total Investments is 32.4%.
144A Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers.
ETM Escrowed to maturity.
IF Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust.
UB Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.

 

See accompanying notes to financial statements.

33

 

NJV Nuveen New Jersey Municipal Value Fund
  Portfolio of Investments
  February 28, 2018

 

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      LONG-TERM INVESTMENTS – 105.6% (100.0% of Total Investments)            
      MUNICIPAL BONDS – 105.6% (100.0% of Total Investments)            
      Consumer Staples – 4.2% (3.9% of Total Investments)            
      Tobacco Settlement Financing Corporation, New Jersey, Tobacco Settlement Asset-Backed Bonds, Series 2007-1A:            
$ 20   4.625%, 6/01/26 4/18 at 100.00   BBB $ 20,070  
  190   4.750%, 6/01/34 4/18 at 100.00   BB–   188,102  
  770   5.000%, 6/01/41 4/18 at 100.00   B   769,307  
  980   Total Consumer Staples         977,479  
      Education and Civic Organizations – 18.2% (17.2% of Total Investments)            
  110   Camden County Improvement Authority, New Jersey, Lease Revenue Bonds, Rowan University School of Osteopathic Medicine Project, Refunding Series 2013A, 5.000%, 12/01/32 12/23 at 100.00   A   123,008  
      New Jersey Economic Development Authority, Charter School Revenue Bonds, North Star Academy Charter School of Newark, Series 2017:            
  220   4.000%, 7/15/37 7/27 at 100.00   BBB–   212,216  
  25   5.000%, 7/15/47 7/27 at 100.00   BBB–   26,815  
  100   New Jersey Economic Development Authority, Charter School Revenue Bonds, Teaneck Community Charter School, Series 2017A, 5.125%, 9/01/52, 144A 9/27 at 100.00   BB   95,417  
  115   New Jersey Economic Development Authority, Revenue Bonds, The Seeing Eye Inc., Refunding Series 2015, 5.000%, 3/01/25 No Opt. Call   A   132,157  
      New Jersey Economic Development Authority, Revenue Bonds, The Seeing Eye Inc., Refunding Series 2017:            
  15   5.000%, 6/01/32 12/27 at 100.00   A   17,367  
  20   3.000%, 6/01/32 12/27 at 100.00   A   18,329  
  45   New Jersey Economic Development Authority, Rutgers University General Obligation Lease Revenue Bonds, Tender Option Bond 2016-XM2357, 15.063%, 6/15/46, 144A (IF) (4) 6/23 at 100.00   Aa3   64,325  
  185   New Jersey Educational Facilities Authority, Revenue Bonds, College of New Jersey, Refunding Series 2016F, 3.000%, 7/01/40 7/26 at 100.00   AA–   160,055  
  100   New Jersey Educational Facilities Authority, Revenue Bonds, Kean University, Refunding Series 2015H, 4.000%, 7/01/39 – AGM Insured 7/25 at 100.00   AA   103,204  
  155   New Jersey Educational Facilities Authority, Revenue Bonds, New Jersey City University, Series 2015A, 5.000%, 7/01/45 7/25 at 100.00   AA   169,178  
      New Jersey Educational Facilities Authority, Revenue Bonds, Rider University, Series 2012A:            
  90   5.000%, 7/01/32 7/21 at 100.00   Baa2   94,726  
  30   5.000%, 7/01/37 7/21 at 100.00   Baa2   31,146  
      New Jersey Educational Facilities Authority, Revenue Bonds, Rider University, Series 2017F:            
  5   3.750%, 7/01/37 7/27 at 100.00   Baa2   4,749  
  100   4.000%, 7/01/42 7/27 at 100.00   Baa2   97,114  
  100   5.000%, 7/01/47 7/27 at 100.00   Baa2   107,799  
  75   New Jersey Educational Facilities Authority, Revenue Bonds, Seton Hall University, Series 2013D, 5.000%, 7/01/38 7/23 at 100.00   A–   82,802  
      New Jersey Educational Facilities Authority, Revenue Bonds, Seton Hall University, Series 2016C:            
  435   3.000%, 7/01/41 7/26 at 100.00   A–   388,055  
  50   3.000%, 7/01/46 7/26 at 100.00   A–   43,669  
  200   New Jersey Educational Facilities Authority, Revenue Bonds, Stevens Institute of Technology, Series 2017A, 4.000%, 7/01/47 7/27 at 100.00   A–   203,582  
34

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Education and Civic Organizations (continued)            
$ 100   New Jersey Educational Facilities Authority, Revenue Bonds, Stockton University Issue, Refunding Series 2016A, 5.000%, 7/01/41 7/26 at 100.00   A $ 108,421  
  25   New Jersey Educational Facilities Authority, Revenue Bonds, The College of Saint Elizabeth, Series 2016D, 5.000%, 7/01/46 7/26 at 100.00   BB   25,117  
  200   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Senior Lien Series 2017-1A, 4.000%, 12/01/40 (Alternative Minimum Tax) 12/26 at 100.00   Aaa   194,452  
  1,000   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2009A, 5.625%, 6/01/30 6/19 at 100.00   AA   1,040,860  
  30   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2010-2, 5.000%, 12/01/30 12/20 at 100.00   Aaa   31,667  
  100   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2012-1B, 5.750%, 12/01/39 (Alternative Minimum Tax) 12/22 at 100.00   Aaa   108,617  
  195   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Series 2015-1A, 4.000%, 12/01/30 (Alternative Minimum Tax) 12/24 at 100.00   Aaa   197,293  
  79   New Jersey Higher Education Assistance Authority, Student Loan Revenue Bonds, Tender Option Bond Trust 2015-XF0151, 8.845%, 12/01/23, 144A (Alternative Minimum Tax) (IF) (4) 12/22 at 100.00   AAA   85,499  
  200   New Jersey Institute of Technology, New Jersey, General Obligation Bonds, Series 2015A, 5.000%, 7/01/45 7/25 at 100.00   A1   223,764  
  60   Rutgers State University, New Jersey, Revenue Bonds, Tender Option Bond 2016-XF2356, 15.180%, 5/01/43, 144A (IF) (4) 5/23 at 100.00   Aa3   84,998  
  4,164   Total Education and Civic Organizations         4,276,401  
      Health Care – 18.9% (17.9% of Total Investments)            
      Camden County Improvement Authority, New Jersey, Health Care Redevelopment Revenue Bonds, Cooper Health System Obligated Group Issue, Refunding Series 2014A:            
  105   5.000%, 2/15/25 2/24 at 100.00   BBB+   117,157  
  100   5.000%, 2/15/34 2/24 at 100.00   BBB+   107,273  
  115   Camden County Improvement Authority, New Jersey, Health Care Redevelopment Revenue Bonds, Cooper Health System Obligated Group Issue, Series 2013A, 5.750%, 2/15/42 2/23 at 100.00   BBB+   125,686  
  360   New Jersey Health Care Facilities Financing Authority, Hospital Revenue Bonds, Virtua Health, Series 2009A, 5.500%, 7/01/38 – AGC Insured 7/19 at 100.00   AA   376,402  
  1,640   New Jersey Health Care Facilities Financing Authority, Hospital Revenue Bonds, Virtua Health, Series 2009A, 5.500%, 7/01/38 – AGC Insured, (UB) (4) 7/19 at 100.00   AA   1,714,718  
  70   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, AHS Hospital Corporation, Refunding Series 2016, 4.000%, 7/01/41 1/27 at 100.00   AA–   70,570  
  215   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Barnabas Health, Refunding Series 2014A, 5.000%, 7/01/44 7/24 at 100.00   A+   232,308  
  150   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Hackensack Meridian Health Obligated Group, Refunding Series 2017A, 5.000%, 7/01/57 7/27 at 100.00   A+   166,026  
  100   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Hunterdon Medical Center, Refunding Series 2014A, 4.000%, 7/01/45 7/24 at 100.00   A+   100,388  
  20   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Meridian Health System Obligated Group, Refunding Series 2011, 5.000%, 7/01/21 No Opt. Call   AA–   22,013  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Princeton HealthCare System, Series 2016A:            
  25   5.000%, 7/01/32 7/26 at 100.00   Baa2   28,189  
  40   5.000%, 7/01/33 7/26 at 100.00   Baa2   44,854  
  30   5.000%, 7/01/34 7/26 at 100.00   Baa2   33,479  
  130   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Robert Wood Johnson University Hospital Issue, Series 2014A, 5.000%, 7/01/39 7/24 at 100.00   A+   143,415  

35

 

NJV Nuveen New Jersey Municipal Value Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Health Care (continued)            
$ 110   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Robert Wood Johnson University Hospital, Series 2013A, 5.500%, 7/01/43 7/23 at 100.00   A+ $ 124,061  
  100   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, RWJ Barnabas Health Obligated Group, Refunding Series 2016A, 5.000%, 7/01/43 7/26 at 100.00   A+   110,390  
  185   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Joseph’s Healthcare System Obligated Group Issue, Refunding Series 2016, 4.000%, 7/01/48 7/26 at 100.00   BBB–   174,827  
  100   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Luke’s Warren Hospital Obligated Group, Series 2013, 4.000%, 8/15/37 8/23 at 100.00   A–   100,246  
      New Jersey Health Care Facilities Financing Authority, Revenue Bonds, University Hospital Issue, Refunding Series 2015A:            
  125   4.125%, 7/01/38 – AGM Insured 7/25 at 100.00   AA   128,540  
  110   5.000%, 7/01/46 – AGM Insured 7/25 at 100.00   AA   120,657  
  360   New Jersey Health Care Facilities Financing Authority, Hospital Revenue Bonds, Series 2017A, 5.000%, 7/01/42, (UB) (4) 7/27 at 100.00   A2   400,532  
  4,190   Total Health Care         4,441,731  
      Housing/Multifamily – 7.1% (6.8% of Total Investments)            
  55   New Jersey Economic Development Authority, Revenue Bonds, Provident Group – Kean Properties LLC – Kean University Student Housing Project, Series 2017A, 5.000%, 7/01/47 1/27 at 100.00   BBB–   58,633  
  100   New Jersey Economic Development Authority, Revenue Bonds, Provident Group – Rowan Properties LLC – Rowan University Student Housing Project, Series 2015A, 5.000%, 1/01/48 1/25 at 100.00   BBB–   105,614  
  155   New Jersey Economic Development Authority, Revenue Bonds, West Campus Housing LLC – New Jersey City University Student Housing Project, Series 2015, 5.000%, 7/01/47 7/25 at 100.00   BBB–   161,454  
  1,000   New Jersey Housing and Mortgage Finance Agency, Multifamily Revenue Bonds, Series 2009A, 4.950%, 5/01/41 11/19 at 100.00   AA–   1,024,010  
  60   New Jersey Housing and Mortgage Finance Agency, Multifamily Revenue Bonds, Series 2015A, 4.000%, 11/01/45 11/24 at 100.00   AA–   60,592  
  270   New Jersey Housing and Mortgage Finance Agency, Multifamily Revenue Bonds, Series 2016B, 3.600%, 11/01/40 11/25 at 100.00   AA–   266,690  
  1,640   Total Housing/Multifamily         1,676,993  
      Long-Term Care – 2.0% (1.9% of Total Investments)            
  285   Burlington County Bridge Commission, New Jersey, Economic Development Revenue Bonds, The Evergreens Project, Series 2007, 5.625%, 1/01/38 5/18 at 100.00   N/R   261,795  
  15   New Jersey Economic Development Authority, Fixed Rate Revenue Bonds, Lions Gate Project, Series 2014, 5.250%, 1/01/44 1/24 at 100.00   N/R   15,408  
  140   New Jersey Economic Development Authority, Revenue Bonds, United Methodist Homes of New Jersey Obligated Group Issue, Refunding Series 2013, 5.000%, 7/01/34 7/23 at 100.00   BBB–   147,134  
  40   New Jersey Economic Development Authority, Revenue Bonds, United Methodist Homes of New Jersey Obligated Group Issue, Refunding Series 2014A, 5.000%, 7/01/29 7/24 at 100.00   BBB–   43,120  
  480   Total Long-Term Care         467,457  
      Tax Obligation/General – 9.4% (8.9% of Total Investments)            
  20   Cumberland County Improvement Authority, New Jersey, General Obligation Lease Revenue Bonds, Vineland Public Safety Building Project, Series 2017., 3.250%, 12/15/37 – BAM Insured 12/27 at 100.00   AA   18,825  
  100   Gloucester County, New Jersey, General Obligation Bonds, Series 2017B, 4.000%, 10/15/27 No Opt. Call   AA   110,500  
  35   Hamilton Township, Mercer County Board of Education, New Jersey, General Obligation Bonds, Series 2017., 3.250%, 12/15/38 12/27 at 100.00   AA   33,217  
  100   Jersey City, New Jersey, General Obligation Bonds, Refunding General Improvement Series 2017A, 5.000%, 11/01/29 11/27 at 100.00   AA–   117,308  
36

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligation/General (continued)            
$ 290   Middlesex County, New Jersey, General Obligation Bonds, Refunding General Improvement Series 2017, 4.000%, 1/15/24 No Opt. Call   AAA $ 320,102  
  225   Middlesex County, New Jersey, General Obligation Bonds, Refunding Redevelopment Series 2017, 5.000%, 1/15/27 No Opt. Call   AAA   268,308  
  110   Monroe Township Board of Education, Middlesex County, New Jersey, General Obligation Bonds, Refunding Series 2015, 5.000%, 3/01/38 3/25 at 100.00   AA–   122,179  
  20   Montclair Township, Essex County, New Jersey, General Obligation Bonds, Refunding Parking Utility Series 2014A, 5.000%, 1/01/37 1/24 at 100.00   AAA   22,627  
  100   Montclair Township, Essex County, New Jersey, General Obligation Bonds, Refunding School Series 2017B, 4.000%, 3/01/25 No Opt. Call   AAA   111,203  
  50   Mount Laurel Township, Burlington County, New Jersey, General Obligation Bonds, Refunding Series 2017, 4.000%, 4/15/25 No Opt. Call   AA   54,897  
      New Brunswick Parking Authority, Middlesex County, New Jersey, Guaranteed Parking Revenue Bonds, Refunding Series 2016A:            
  310   5.000%, 9/01/29 – BAM Insured 9/26 at 100.00   AA   357,455  
  130   5.000%, 9/01/39 – BAM Insured 9/26 at 100.00   AA   145,952  
  195   New Brunswick Parking Authority, Middlesex County, New Jersey, Guaranteed Parking Revenue Bonds, Refunding Series 2016B, 3.000%, 9/01/39 – AGM Insured 9/26 at 100.00   AA   172,928  
  150   Union County Utilities Authority, New Jersey, Resource Recovery Facility Lease Revenue Bonds, Covantan Union Inc. Lessee, Refunding Series 2011B, 5.250%, 12/01/31 (Alternative Minimum Tax) 12/21 at 100.00   AA+   166,250  
  170   Union County Utilities Authority, New Jersey, Solid Waste System County Deficiency Revenue Bonds, Series 2011A, 5.000%, 6/15/41 6/21 at 100.00   Aaa   185,626  
  2,005   Total Tax Obligation/General         2,207,377  
      Tax Obligation/Limited – 17.8% (16.8% of Total Investments)            
  270   Garden State Preservation Trust, New Jersey, Open Space and Farmland Preservation Bonds, Series 2005A, 5.750%, 11/01/28 – AGM Insured No Opt. Call   AA   319,829  
  175   Hudson County Improvement Authority, New Jersey, County Secured Lease Revenue Bonds, Hudson County Vocational Technical Schools Project, Series 2016, 5.250%, 5/01/51 5/26 at 100.00   AA   198,168  
      New Jersey Economic Development Authority, Cigarette Tax Revenue Refunding Bonds, Series 2012:            
  250   5.000%, 6/15/25 6/22 at 100.00   BBB+   271,215  
  400   5.000%, 6/15/28 6/22 at 100.00   BBB+   429,768  
  100   New Jersey Economic Development Authority, Revenue Bonds, Motor Vehicle Surcharge, Refunding Series 2017A, 3.375%, 7/01/30 7/27 at 100.00   BBB+   95,179  
  1,775   New Jersey Health Care Facilities Financing Authority, State Contract Bonds, Hospital Asset Transformation Program, Series 2009A, 5.750%, 10/01/31 10/19 at 100.00   A–   1,864,935  
  2,170   New Jersey Transportation Trust Fund Authority, Transportation System Bonds, Series 2009A, 0.000%, 12/15/39 No Opt. Call   A–   754,227  
  110   Union County Improvement Authority, New Jersey, General Obligation Lease Bonds, Juvenile Detention Center Facility Project, Tender Option Bond Trust 2015-XF1019, 20.375%,5/01/30, 144A (IF) (4) No Opt. Call   Aaa   244,826  
  5,250   Total Tax Obligation/Limited         4,178,147  
      Transportation – 12.3% (11.7% of Total Investments)            
  250   Casino Reinvestment Development Authority, New Jersey, Parking Revenue Bonds, Series 2005A, 5.250%, 6/01/20 – NPFG Insured 5/18 at 100.00   Baa2   250,795  
      Delaware River and Bay Authority, Delaware and New Jersey, Revenue Bonds, Series 2014A:            
  150   4.125%, 1/01/39 1/24 at 100.00   A1   154,182  
  200   5.000%, 1/01/44 1/24 at 100.00   A1   219,782  
37

 

NJV Nuveen New Jersey Municipal Value Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Transportation (continued)            
$ 540   Delaware River Joint Toll Bridge Commission, New Jersey and Pennsylvania, Bridge System Revenue Bonds, Series 2017, 5.000%, 7/01/47 7/27 at 100.00   A1 $ 608,558  
  300   Delaware River Port Authority, Pennsylvania and New Jersey, Revenue Refunding Bonds, Port District Project, Series 2012, 5.000%, 1/01/27 1/23 at 100.00   A–   326,079  
  190   New Jersey Economic Development Authority, Private Activity Bonds, The Goethals Bridge Replacement Project, Series 2013, 5.625%, 1/01/52 (Alternative Minimum Tax) 1/24 at 100.00   BBB   212,072  
  80   New Jersey Economic Development Authority, Special Facilities Revenue Bonds, Continental Airlines Inc., Series 2000A & 2000B, 5.625%, 11/15/30 (Alternative Minimum Tax) 3/24 at 101.00   BB–   90,626  
  320   New Jersey Economic Development Authority, Special Facility Revenue Bonds, Port Newark Container Terminal LLC Project, Refunding Series 2017., 5.000%, 10/01/47 (Alternative Minimum Tax) 10/27 at 100.00   Ba1   344,195  
  295   New Jersey Turnpike Authority, Revenue Bonds, Refunding Series 2015E, 5.000%, 1/01/45 1/25 at 100.00   A+   327,335  
  315   Port Authority of New York and New Jersey, Consolidated Revenue Bonds, One Hundred Seventy Ninth Series 2013, 5.000%, 12/01/43 12/23 at 100.00   AA–   355,465  
  2,640   Total Transportation         2,889,089  
      U.S. Guaranteed 12.0% (11.4% of Total Investments) (5)            
  630   Guam Government, Limited Obligation Section 30 Revenue Bonds, Series 2009A, 5.750%, 12/01/34 (Pre-refunded 12/01/19) 12/19 at 100.00   BBB+   676,104  
      New Jersey Economic Development Authority, Student Housing Revenue Bonds, Provident Group-Montclair Properties LLC, Montclair State University Student Housing Project, Series 2010A:            
  100   5.750%, 6/01/31 (Pre-refunded 6/01/20) 6/20 at 100.00   Aaa   109,145  
  50   5.875%, 6/01/42 (Pre-refunded 6/01/20) 6/20 at 100.00   Aaa   54,710  
  910   New Jersey Educational Facilities Authority, Revenue Bonds, Kean University, Refunding Series 2009A, 5.500%, 9/01/36 (Pre-refunded 9/01/19) 9/19 at 100.00   A2   961,879  
  5   New Jersey Health Care Facilities Finance Authority, Revenue Bonds, AHS Hospital Corporation, Series 2008A, 5.125%, 7/01/22 (Pre-refunded 7/01/18) 7/18 at 100.00   N/R   5,064  
      New Jersey Health Care Facilities Financing Authority, Revenue and Refunding Bonds, Palisades Medical Center Obligated Group Issue, Series 2013:            
  20   5.250%, 7/01/31 (Pre-refunded 7/01/23) 7/23 at 100.00   N/R   23,095  
  85   5.250%, 7/01/31 (Pre-refunded 7/01/23) 7/23 at 100.00   A–   98,620  
  70   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Barnabas Health Care System, Refunding Series 2011A, 5.625%, 7/01/37 (Pre-refunded 7/01/21) 7/21 at 100.00   N/R   78,351  
  265   New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Saint Joseph’s Healthcare System Obligated Group Issue, Series 2008, 6.000%, 7/01/18 (ETM) No Opt. Call   Baa3   269,089  
  545   New Jersey Health Care Facilities Financing Authority, State Contract Bonds, Hospital Asset Transformation Program, Series 2008A, 5.250%, 10/01/38 (Pre-refunded 10/01/18) 10/18 at 100.00   BBB+   557,404  
  2,680   Total U.S. Guaranteed         2,833,461  
38

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Utilities – 3.7% (3.5% of Total Investments)            
$ 470   Essex County Improvement Authority, New Jersey, Solid Waste Disposal Revenue Bonds, Covanta Project, Series 2015, 5.250%, 7/01/45, 144A (Alternative Minimum Tax) 7/20 at 100.00   BB– $ 471,701  
  300   Industrial Pollution Control Financing Authority of Cape May County (New Jersey), Pollution Control Revenue Refunding Bonds, 1991 Series A (Atlantic City Electric Company Project), 6.800%, 3/01/21 – NPFG Insured No Opt. Call   A   335,553  
  65   Salem County Pollution Control Financing Authority, New Jersey, Pollution Control Revenue Bonds, Chambers Project, Refunding Series 2014A, 5.000%, 12/01/23 (Alternative Minimum Tax) No Opt. Call   BBB–   69,928  
  835   Total Utilities         877,182  
$ 24,864   Total Long-Term Investments (cost $23,631,392)         24,825,317  
      Floating Rate Obligations – (6.4)%         (1,500,000 )
      Other Assets Less Liabilities – 0.8%         184,889  
      Net Assets Applicable to Common Shares – 100%       $ 23,510,206  

 

(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm.
(3) For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. Ratings are not covered by the report of independent registered public accounting firm.
(4) Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest.
144A Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers.
ETM Escrowed to maturity.
IF Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust.
UB Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.

See accompanying notes to financial statements.

39

 

NQP Nuveen Pennsylvania Quality Municipal
  Income Fund
  Portfolio of Investments
  February 28, 2018

 

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      LONG-TERM INVESTMENTS – 161.5% (100.0% of Total Investments)            
      MUNICIPAL BONDS – 161.5% (100.0% of Total Investments)            
      Consumer Staples – 0.4% (0.3% of Total Investments)            
$ 2,000   Pennsylvania Economic Development Financing Authority, Solid Waste Disposal Revenue Bonds, Procter & Gamble Paper Project, Series 2001, 5.375%, 3/01/31 (Alternative Minimum Tax) No Opt. Call   AA– $ 2,398,200  
      Education and Civic Organizations – 19.4% (12.0% of Total Investments)            
  1,340   Allegheny County Higher Education Building Authority, Pennsylvania, College Revenue Refunding Bonds, Robert Morris College, Series 1998A, 6.000%, 5/01/28 No Opt. Call   Baa3   1,516,826  
  5,035   Allegheny County Higher Education Building Authority, Pennsylvania, Revenue Bonds, Carnegie Mellon University, Series 2013, 5.000%, 3/01/28 3/23 at 100.00   AA   5,650,529  
  940   Allegheny County Higher Education Building Authority, Pennsylvania, Revenue Bonds, Duquesne University, Series 2013A, 3.500%, 3/01/34 3/23 at 100.00   A   909,713  
      Allegheny County Higher Education Building Authority, Pennsylvania, Revenue Bonds, Robert Morris University, Series 2016:            
  735   3.000%, 10/15/30 10/26 at 100.00   Baa3   653,929  
  1,000   5.000%, 10/15/38 10/26 at 100.00   Baa3   1,079,070  
  1,625   Allegheny County Higher Education Building Authority, Pennsylvania, Revenue Bonds, Robert Morris University, Series 2017, 5.000%, 10/15/47 10/27 at 100.00   Baa3   1,753,635  
  3,215   Bucks County Industrial Development Authority, Pennsylvania, Revenue Bonds, School Lane Charter School Project, Series 2016, 5.125%, 3/15/36 3/27 at 100.00   BBB–   3,446,641  
  835   Chester County Industrial Development Authority, Pennsylvania, Avon Grove Charter School Revenue Bonds, Series 2017A, 5.000%, 12/15/47 12/27 at 100.00   BBB–   867,699  
  2,200   Crawford County Industrial Development Authority, Pennsylvania, College Revenue Bonds, Allegheny College, Series 2016, 3.000%, 5/01/34 5/26 at 100.00   A–   1,964,820  
  1,000   Cumberland County Municipal Authority, Pennsylvania, Revenue Bonds, Dickinson College Project, Second Series 2017A., 5.000%, 11/01/39 11/27 at 100.00   A+   1,139,650  
  1,020   Dallas Area Municipal Authority, Pennsylvania, Revenue Bonds, Misericordia University, Series 2014, 5.000%, 5/01/37 5/24 at 100.00   Baa3   1,086,647  
  750   Delaware County Authority, Pennsylvania, General Revenue Bonds, Eastern University, Series 2006, 4.500%, 10/01/27 – RAAI Insured 5/18 at 100.00   AA   750,773  
  4,595   Erie Higher Education Building Authority, Pennsylvania, Revenue Bonds, Gannon University, Series 2016, 4.000%, 5/01/46 11/26 at 100.00   BBB+   4,407,202  
  2,395   General Authority of Southcentral Pennsylvania, Revenue Bonds, AICUP Financing Program-York College of Pennsylvania, Series 2017 PP4, 3.375%, 11/01/37 10/27 at 100.00   A–   2,245,336  
      Huntingdon County General Authority, Pennsylvania, Revenue Bonds, Juniata College, Series 2016OO2:            
  590   3.250%, 5/01/36 5/26 at 100.00   BBB+   538,959  
  1,555   3.500%, 5/01/41 5/26 at 100.00   BBB+   1,440,443  
  815   Indiana County Industrial Development Authority, Pennsylvania, Revenue Bonds, Student Cooperative Association Inc./Indiana University of Pennsylvania – Student Union Project, Series 1999B, 0.000%, 11/01/19 – AMBAC Insured No Opt. Call   N/R   792,628  
      Lackawanna County Industrial Development Authority, Pennsylvania, Revenue Bonds, University of Scranton, Series 2017:            
  475   3.375%, 11/01/33 11/27 at 100.00   A–   450,238  
  2,910   4.000%, 11/01/40 11/27 at 100.00   A–   2,912,182  
  5,235   Lycoming County Authority, Pennsylvania, Revenue Bonds, Pennsylvania College of Technology, Series 2012, 5.000%, 5/01/32 5/22 at 100.00   A   5,582,552  
  2,155   Montgomery County Higher Education and Health Authority, Pennsylvania, Revenue Bonds, Arcadia University, Series 2010, 5.625%, 4/01/40 4/20 at 100.00   BBB   2,252,665  
40

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Education and Civic Organizations (continued)            
$ 1,400   Northampton County General Purpose Authority, Pennsylvania, Revenue Bonds, Lafayette College, Refunding Series 2017, 5.000%, 11/01/34 11/27 at 100.00   Aa3 $ 1,609,258  
  85   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Drexel University, Series 2011A, 5.250%, 5/01/41 5/21 at 100.00   A   92,146  
  1,465   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Holy Family University, Series 2013A, 6.500%, 9/01/38 9/23 at 100.00   BBB–   1,579,695  
  1,625   Pennsylvania Higher Educational Facilities Authority, General Revenue Bonds, State System of Higher Education, Series 2008AH, 5.000%, 6/15/33 6/18 at 100.00   Aa3   1,640,746  
  2,415   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, AICUP Financing Program-Mount Aloysius College Project, Series 2011R-1, 5.000%, 11/01/35 11/21 at 100.00   A–   2,620,637  
      Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Bryn Mawr College, Refunding Series 2014:            
  2,545   5.000%, 12/01/38 12/24 at 100.00   AA   2,893,665  
  2,080   5.000%, 12/01/44 12/24 at 100.00   AA   2,355,371  
  1,000   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Gwynedd Mercy College, Series 2012-KK1, 5.375%, 5/01/42 5/22 at 100.00   BBB   1,039,360  
  320   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, LaSalle University, Series 2012, 4.000%, 5/01/32 11/22 at 100.00   BBB   316,573  
  2,000   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Temple University, First Series of 2012, 5.000%, 4/01/42 4/22 at 100.00   Aa3   2,170,920  
  7,125   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Thomas Jefferson University, Refunding Series 2015A, 5.250%, 9/01/50 3/25 at 100.00   A+   7,902,266  
  760   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Thomas Jefferson University, Series 2012, 5.000%, 3/01/42 9/22 at 100.00   A+   827,511  
      Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University of the Sciences in Philadelphia, Series 2012:            
  1,030   4.000%, 11/01/39 11/22 at 100.00   A3   1,036,932  
  4,300   5.000%, 11/01/42 11/22 at 100.00   A3   4,683,259  
  1,310   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University of the Sciences in Philadelphia, Series 2015A, 5.000%, 11/01/36 11/25 at 100.00   A3   1,435,498  
  1,590   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Widener University, Series 2013A, 5.500%, 7/15/38 7/23 at 100.00   A–   1,721,700  
  3,005   Pennsylvania State University, Revenue Bonds, Series 2010, 5.000%, 3/01/35 3/20 at 100.00   Aa1   3,198,913  
  1,255   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, La Salle University, Series 2017, 3.625%, 5/01/35 11/27 at 100.00   BBB–   1,183,478  
  554   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, Leadership Learning Partners, Series 2005A, 5.375%, 7/01/36 (4) 5/18 at 100.00   N/R   5,540  
  4,500   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, Philadelphia Performing Arts Charter School, Series 2013, 6.750%, 6/15/43, 144A 6/20 at 100.00   BB   4,748,265  
  500   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, Richard Allen Preparatory Charter School, Series 2006, 6.250%, 5/01/33 5/18 at 100.00   N/R   438,150  
  2,420   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, University of the Arts, Series 2017., 5.000%, 3/15/45, 144A 3/28 at 100.00   N/R   2,296,314  
  2,320   Scranton-Lackawanna Health and Welfare Authority, Pennsylvania, Revenue Bonds, University of Scranton, Series 2016, 5.000%, 11/01/37 5/26 at 100.00   A–   2,522,211  
  5,250   Scranton-Lackawanna Health and Welfare Authority, Pennsylvania, University Revenue Bonds, Marywood University, Series 2016, 5.000%, 6/01/46 6/26 at 100.00   BB+   5,253,098  
  5,000   State Public School Building Authority, Pennsylvania, College Revenue Bonds, Northampton County Area Community College, Series 2011, 5.500%, 3/01/31 3/21 at 100.00   A1   5,476,050  
  3,555   Washington County Industrial Development Authority, Pennsylvania, College Revenue Bonds, AICUP Financing Program-Washington and Jefferson College Project, Series 2017-PP5., 3.375%, 11/01/36 11/27 at 100.00   A–  

3,318,024

 

 
41

 

NQP Nuveen Pennsylvania Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Education and Civic Organizations (continued)            
      Wilkes-Barre Finance Authority, Pennsylvania, Revenue Bonds, University of Scranton, Series 2015A:            
$ 1,890   5.000%, 11/01/32 11/25 at 100.00   A– $ 2,092,438  
  740   5.000%, 11/01/33 11/25 at 100.00   A–   817,160  
  740   4.000%, 11/01/35 11/25 at 100.00   A–   745,321  
  103,199   Total Education and Civic Organizations         107,462,636  
      Health Care – 32.4% (20.1% of Total Investments)            
      Allegheny County Hospital Development Authority, Pennsylvania, Revenue Bonds, Ohio Valley General Hospital, Series 2005A:            
  1,860   5.000%, 4/01/25 5/18 at 100.00   Caa1   1,837,029  
  4,160   5.125%, 4/01/35 5/18 at 100.00   Caa1   3,828,365  
      Beaver County Hospital Authority, Pennsylvania, Revenue Bonds, Heritage Valley Health System, Inc., Series 2012:            
  4,010   5.000%, 5/15/26 5/21 at 100.00   A+   4,322,219  
  1,910   5.000%, 5/15/27 5/21 at 100.00   A+   2,051,798  
  2,000   5.000%, 5/15/28 5/21 at 100.00   A+   2,143,640  
  9,885   Berks County Industrial Development Authority; Pennsylvania, Health System Revenue Bonds, Tower Health Project Series 2017, 5.000%, 11/01/50 11/27 at 100.00   A   10,794,618  
  3,300   Berks County Municipal Authority, Pennsylvania, Revenue Bonds, Reading Hospital & Medical Center Project, Series 2012A, 4.500%, 11/01/41 5/22 at 100.00   A   3,397,383  
  4,000   Central Bradford Progress Authority, Pennsylvania, Revenue Bonds, Guthrie Health, Refunding Series 2011, 5.375%, 12/01/41 12/21 at 100.00   AA–   4,380,080  
      Centre County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Mount Nittany Medical Center Project, Series 2016A:            
  805   5.000%, 11/15/41 11/25 at 100.00   A   880,300  
  2,985   5.000%, 11/15/46 11/25 at 100.00   A   3,251,620  
      Chester County Health and Education Facilities Authority, Pennsylvania, Health System Revenue Bonds, Main Line Health System, Series 2017A:            
  3,200   4.000%, 10/01/36 10/27 at 100.00   AA   3,305,504  
  1,655   4.000%, 10/01/37 10/27 at 100.00   AA   1,705,494  
  420   Chester County Health and Educational Facilities Authority, Pennsylvania, Health System Revenue Bonds, Jefferson Health System, Series 2010A, 5.000%, 5/15/40 5/20 at 100.00   AA   442,260  
      Dauphin County General Authority, Pennsylvania, Health System Revenue Bonds, Pinnacle Health System Project, Refunding Series 2016A:            
  1,375   5.000%, 6/01/34 6/26 at 100.00   A+   1,548,841  
  375   5.000%, 6/01/35 6/26 at 100.00   A+   421,260  
  3,460   Dauphin County General Authority, Pennsylvania, Health System Revenue Bonds, Pinnacle Health System Project, Series 2012A, 5.000%, 6/01/42 6/22 at 100.00   A+   3,775,725  
  1,500   Doylestown Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Series 2013A, 5.000%, 7/01/28 7/23 at 100.00   BBB–   1,602,465  
  2,275   Doylestown Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Series 2016A, 5.000%, 7/01/41 7/26 at 100.00   BBB–   2,390,206  
  6,845   Franklin County Industrial Development Authority, Pennsylvania, Revenue Bonds, Chambersburg Hospital Project, Series 2010, 5.375%, 7/01/42 7/20 at 100.00   A+   7,273,976  
  4,555   Geisinger Authority, Montour County, Pennsylvania, Health System Revenue Bonds, Geisinger Health System, Series 2014A, 5.000%, 6/01/41 6/24 at 100.00   AA   4,988,682  
  1,370   Indiana County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Indiana Regional Medical Center, Series 2014A, 6.000%, 6/01/39 6/23 at 100.00   Ba1   1,484,943  
  3,200   Lancaster County Hospital Authority, Revenue Bonds, University of Pennsylvania Health System, Refunding Series 2016B, 5.000%, 8/15/46 8/26 at 100.00   AA–   3,570,880  
  3,000   Lancaster County Hospital Authority, Revenue Bonds, University of Pennsylvania Health System, Series 2016A, 5.000%, 8/15/42 8/26 at 100.00   AA–   3,357,030  
42

 

               

 

 

Principal
Amount (000)
Description (1) Optional Call
Provisions (2)
  Ratings (3)   Value  
      Health Care (continued)            
$ 3,450   Lehigh County General Purpose Authority, Pennsylvania, Hospital Revenue Bonds, Lehigh Valley Health Network, Refunding Series 2016A, 4.000%, 7/01/35 7/26 at 100.00   A+ $ 3,488,881  
  2,565   Lehigh County General Purpose Authority, Pennsylvania, Hospital Revenue Bonds, Lehigh Valley Health Network, Series 2012B, 4.000%, 7/01/43 7/22 at 100.00   A+   2,593,369  
      Lehigh County General Purpose Authority, Pennsylvania, Revenue Bonds, Good Shepherd Group, Refunding Series 2016:            
  1,265   3.000%, 11/01/36 5/26 at 100.00   A   1,111,872  
  2,850   4.000%, 11/01/41 5/26 at 100.00   A   2,845,554  
  4,955   4.000%, 11/01/46 5/26 at 100.00   A   4,904,707  
  4,600   Lehigh County General Purpose Authority, Pennsylvania, Revenue Bonds, Good Shepherd Group, Series 2012, 4.000%, 11/01/32 11/22 at 100.00   A   4,724,430  
      Lycoming County Authority, Pennsylvania, Health System Revenue Bonds, Susquehanna Health System Project, Series 2009A:            
  6,000   5.500%, 7/01/28 7/19 at 100.00   AA–   6,279,540  
  2,840   5.750%, 7/01/39 7/19 at 100.00   AA–   2,982,909  
      Monroe County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Pocono Medical Center, Series 2016:            
  1,020   3.375%, 7/01/32 7/26 at 100.00   A+   972,397  
  2,650   5.000%, 7/01/41 7/26 at 100.00   A+   2,917,464  
  925   Montgomery County Industrial Development Authority, Pennsylvania, Health Facilities Revenue Bonds, Jefferson Health System, Series 2012A, 5.000%, 10/01/41 4/22 at 100.00   AA   984,755  
  7,500   Montgomery County Industrial Development Authority, Pennsylvania, Health System Revenue Bonds, Albert Einstein Healthcare Network Issue, Series 2015A, 5.250%, 1/15/45 1/25 at 100.00   BBB   7,988,175  
  4,000   Pennsylvania Economic Development Financing Authority, Revenue Bonds, University of Pittsburgh Medical Center, Series 2013A, 5.000%, 7/01/43 7/23 at 100.00   AA–   4,308,200  
  3,100   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University of Pennsylvania Health System, Series 2012A, 5.000%, 8/15/42 8/22 at 100.00   AA–   3,333,802  
  16,385   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University of Pennsylvania Health System, Series 2016C, 4.000%, 8/15/41, 144A (UB) (5) 8/26 at 100.00   AA–   16,810,682  
  3,935   Philadelphia Authority for Industrial Development, Pennsylvania, Hospital Revenue Bonds, The Children’s Hospital of Philadelphia, Series 2017, 5.000%, 7/01/33 7/27 at 100.00   AA   4,553,857  
  2,440   Philadelphia Hospitals and Higher Education Facilities Authority, Pennsylvania, Hospital Revenue Bonds, Children’s Hospital of Philadelphia, Tender Option Bond Trust 2015-XF0114, 11.576%, 7/01/41, 144A (IF) 7/21 at 100.00   AA   3,111,171  
  4,885   Philadelphia Hospitals and Higher Education Facilities Authority, Pennsylvania, Hospital Revenue Bonds, Temple University Health System Obligated Group, Series 2012A, 5.625%, 7/01/42 7/22 at 100.00   BBB–   5,305,501  
      Pocono Mountains Industrial Park Authority, Pennsylvania, Hospital Revenue Bonds, Saint Luke’s Hospital -Monroe Project, Series 2015A:            
  3,000   5.000%, 8/15/40 2/25 at 100.00   A–   3,220,410  
  1,590   4.000%, 8/15/45 2/25 at 100.00   A–   1,593,848  
  3,000   Pottsville Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Lehigh Valley Health Network, Series 2016B, 5.000%, 7/01/45 1/27 at 100.00   A+   3,282,360  
  3,000   Southcentral Pennsylvania General Authority, Revenue Bonds, Wellspan Health Obligated Group, Refunding Series 2014A, 5.000%, 6/01/44 6/24 at 100.00   Aa3   3,252,690  
  1,800   The Hospitals and Higher Education Facilities Authority of Philadelphia, Hospital Revenue Bonds, Pennsylvania, Temple University Health System Obligated Group, Series of 2017, 5.000%, 7/01/30 7/27 at 100.00   BBB–   1,972,710  
      Union County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Evangelical Community Hospital Project, Refunding & Improvement Series 2011:            
  3,130   6.875%, 8/01/31 8/21 at 100.00   A–   3,475,552  
  2,500   7.000%, 8/01/41 8/21 at 100.00   A–   2,753,775  
  3,470   Washington County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, The Washington Hospital Project, Series 2013A, 5.000%, 7/01/28 7/23 at 100.00   A–   3,658,768  
43

 

NQP Nuveen Pennsylvania Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Health Care (continued)            
      West Shore Area Authority, Cumberland County, Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital of the Sisters of Christian Charity, Series 2011B:            
$ 1,635   5.625%, 1/01/32 1/22 at 100.00   AA $ 1,844,721  
  1,970   5.750%, 1/01/41 1/22 at 100.00   AA   2,216,230  
  575   Westmoreland County Industrial Development Authority, Pennsylvania, Health System Revenue Bonds, Excela Health Project, Series 2010A, 5.125%, 7/01/30 7/20 at 100.00   A3   602,019  
  169,180   Total Health Care         179,844,667  
      Housing/Multifamily – 1.1% (0.6% of Total Investments)            
  160   Chester County Industrial Development Authority, Pennsylvania, Student Housing Revenue Bonds, University Student Housing, LLC Project at West Chester University Series 2013A, 5.000%, 8/01/45 8/23 at 100.00   Baa3   167,714  
  1,235   East Hempfield Township Industrial Development Authority, Pennsylvania, Student Services Inc. – Student Housing Project at Millersville University, Series 2014, 5.000%, 7/01/46 7/24 at 100.00   BBB–   1,300,579  
  1,900   East Hempfield Township Industrial Development Authority, Pennsylvania, Student Services Inc. – Student Housing Project at Millersville University, Series 2015, 5.000%, 7/01/47 7/25 at 100.00   BBB–   2,004,766  
  420   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Shippensburg University Student Services, Inc. Student Housing Project at Shippensburg University of Pennsylvania, Series 2012, 5.000%, 10/01/44 10/22 at 100.00   BBB–   436,514  
  270   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University Properties Inc. Student Housing Project at East Stroudsburg University of Pennsylvania, Series 2016A, 5.000%, 7/01/31 7/26 at 100.00   Baa3   291,136  
  1,684   Philadelphia Authority for Industrial Development, Pennsylvania, Multifamily Housing Revenue Bonds, Presbyterian Homes Germantown – Morrisville Project, Series 2005A, 5.625%, 7/01/35 5/18 at 100.00   Baa3   1,685,718  
  5,669   Total Housing/Multifamily         5,886,427  
      Housing/Single Family – 16.0% (9.9% of Total Investments)            
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2012-114:            
  4,750   3.300%, 10/01/32 10/21 at 100.00   AA+   4,690,292  
  2,275   3.650%, 10/01/37 10/21 at 100.00   AA+   2,271,792  
  2,005   3.700%, 10/01/42 10/21 at 100.00   AA+   2,040,128  
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2015-116B:            
  2,330   3.950%, 10/01/40 10/24 at 100.00   AA+   2,358,263  
  3,155   4.000%, 4/01/45 10/24 at 100.00   AA+   3,176,706  
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2015-117B:            
  3,290   3.900%, 10/01/35 10/24 at 100.00   AA+   3,333,790  
  2,465   4.050%, 10/01/40 10/24 at 100.00   AA+   2,503,405  
  4,225   4.150%, 10/01/45 10/24 at 100.00   AA+   4,290,572  
  7,175   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2015-118B, 4.100%, 10/01/45 4/25 at 100.00   AA+   7,271,719  
  2,045   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016-119, 3.500%, 10/01/36 4/25 at 100.00   AA+   2,011,973  
  7,000   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016-120, 3.200%, 4/01/40 10/25 at 100.00   AA+   6,401,290  
  2,450   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016-121, 3.200%, 10/01/41 10/25 at 100.00   AA+   2,247,458  
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2017-123B:            
  4,160   3.450%, 10/01/32 10/26 at 100.00   AA+   4,175,267  
  4,135   3.900%, 10/01/37 10/26 at 100.00   AA+   4,201,325  
  3,960   4.000%, 10/01/42 10/26 at 100.00   AA+   4,005,857  
  5,000   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2017-124B, 3.500%, 10/01/37 10/26 at 100.00   AA+   4,888,750  

 

 

44

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Housing/Single Family (continued)            
$ 20,000   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016, 3.200%, 10/01/41, (UB) 10/25 at 100.00   AA+ $ 18,346,600  
  980   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Tender Option Bond Trust 2015-XF0066, 11.255%, 10/01/33, 144A (Alternative Minimum Tax) (IF) 10/22 at 100.00   AA+   1,129,166  
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2017:            
  2,000   3.650%, 10/01/32, (UB) (5) 4/26 at 100.00   AA+   2,035,020  
  6,725   3.900%, 10/01/36, (UB) (5) 4/26 at 100.00   AA+   6,827,422  
  600   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Tender Option Bonds Trust 2015-XF0109, 8.513%, 10/01/38, 144A (IF) (5) 10/22 at 100.00   AA+   617,976  
  90,725   Total Housing/Single Family         88,824,771  
      Industrials – 1.0% (0.6% of Total Investments)            
      Pennsylvania Economic Development Financing Authority, Exempt Facilities Revenue Refunding Bonds, Amtrak Project, Series 2012A:            
  2,495   5.000%, 11/01/23 (Alternative Minimum Tax) 11/22 at 100.00   A1   2,729,904  
  545   5.000%, 11/01/27 (Alternative Minimum Tax) 11/22 at 100.00   A1   594,322  
  2,000   5.000%, 11/01/41 (Alternative Minimum Tax) 11/22 at 100.00   A1   2,142,200  
  5,040   Total Industrials         5,466,426  
      Long-Term Care – 5.2% (3.2% of Total Investments)            
      Berks County Industrial Development Authority, Pennsylvania, Healthcare Facilities Revenue Bonds, Highlands at Wyomissing, Series 2017A:            
  565   5.000%, 5/15/37 5/27 at 100.00   N/R   614,918  
  1,160   5.000%, 5/15/47 5/27 at 100.00   N/R   1,245,736  
  230   Chester County Health and Education Facilities Authority, Pennsylvania, Revenue Bonds, Simpson Senior Services Project, Series 2015A, 5.000%, 12/01/35 12/25 at 100.00   N/R   235,773  
      Cumberland County Municipal Authority Revenue Bonds, Pennsylvania, Diakon Lutheran Social Ministries Project, Series 2016:            
  985   5.000%, 1/01/28 1/26 at 100.00   N/R   1,106,904  
  1,815   5.000%, 1/01/29 1/26 at 100.00   N/R   2,027,645  
  735   5.000%, 1/01/30 1/26 at 100.00   N/R   817,893  
  300   3.250%, 1/01/36 1/26 at 100.00   N/R   271,857  
  2,015   3.250%, 1/01/39 1/26 at 100.00   N/R   1,789,562  
  500   Cumberland County Municipal Authority Revenue Bonds, Pennsylvania, Diakon Lutheran Social Ministries Project, Series 2009, 6.375%, 1/01/39 1/19 at 100.00   BBB+   514,550  
      Cumberland County Municipal Authority, Pennsylvania, Revenue Bonds, Diakon Lutheran Social Ministries Project, Series 2015:            
  4,380   4.000%, 1/01/33 1/25 at 100.00   BBB+   4,403,258  
  5,740   5.000%, 1/01/38 1/25 at 100.00   BBB+   6,215,272  
  650   Lancaster County Hospital Authority, Pennsylvania, Health Center Revenue Bonds, Masonic Villages Project, Series 2015, 5.000%, 11/01/35 5/25 at 100.00   A   719,959  
  530   Lancaster County Hospital Authority, Pennsylvania, Health Center Revenue Bonds, Saint Anne’s Retirement Community, Inc., Series 2012, 5.000%, 4/01/33 4/22 at 100.00   BB+   544,130  
  1,250   Lancaster County Hospital Authority, Pennsylvania, Revenue Bonds, Landis Homes Retirement Community Project, Refunding Series 2015A, 5.000%, 7/01/45 7/25 at 100.00   N/R   1,324,600  
      Lancaster Industrial Development Authority, Pennsylvania, Revenue Bonds, Garden Spot Village Project, Series 2013:            
  1,000   5.375%, 5/01/28 5/23 at 100.00   BBB   1,107,740  
  1,665   5.750%, 5/01/35 5/23 at 100.00   BBB   1,858,823  
  1,500   Langhorne Manor Boro Higher Education and Health Authority, Pennsylvania, Revenue Bonds, Woods Services Project, Series 2013, 4.000%, 11/15/38 11/18 at 100.00   A–   1,502,820  
  2,150   Montgomery County Industrial Development Authority, Pennsylvania, Revenue Bonds, ACTS Retirement-Life Communities, Inc. Obligated Group, Refunding Series 2012, 5.000%, 11/15/26 5/22 at 100.00   A–   2,350,509  
  27,170   Total Long-Term Care         28,651,949  

 

45

 

NQP Nuveen Pennsylvania Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Materials – 1.2% (0.8% of Total Investments)            
$ 6,455   Pennsylvania Economic Development Financing Authority, Exempt Facilities Revenue Bonds, National Gypsum Company, Refunding Series 2014, 5.500%, 11/01/44 (Alternative Minimum Tax) 11/24 at 100.00   N/R $ 6,811,251  
      Tax Obligations/General – 24.9% (15.4% of Total Investments)            
  1,305   Adams County, Pennsylvania, General Obligation Bonds, Series 2017B, 2.500%, 11/15/29 11/25 at 100.00   Aa2   1,219,496  
  1,700   Allegheny County, Pennsylvania, General Obligation Bonds, Series 2011C-65, 5.375%, 5/01/31 5/21 at 100.00   AA–   1,873,349  
      Allegheny County, Pennsylvania, General Obligation Bonds, Series 2013C-72:            
  2,780   5.250%, 12/01/32 12/23 at 100.00   AA–   3,150,185  
  2,000   5.250%, 12/01/33 12/23 at 100.00   AA–   2,265,180  
      Allegheny County, Pennsylvania, General Obligation Bonds, Series 2014C-74:            
  1,750   5.000%, 12/01/32 12/24 at 100.00   AA–   1,961,138  
  1,285   5.000%, 12/01/34 12/24 at 100.00   AA–   1,436,707  
  5,100   Allegheny County, Pennsylvania, General Obligation Bonds, Series C69-C70 of 2012, 5.000%, 12/01/37 12/22 at 100.00   AA–   5,604,849  
      Bethel Park School District, Allegheny County, Pennsylvania, General Obligation Bonds, Refunding Series 2016:            
  1,500   4.000%, 8/01/31 8/26 at 100.00   Aa2   1,563,105  
  1,500   4.000%, 8/01/32 8/26 at 100.00   Aa2   1,558,650  
  1,255   4.000%, 8/01/33 8/26 at 100.00   Aa2   1,299,440  
  1,950   Boyertown Area School District, Berks and Montgomery Counties, Pennsylvania, General Obligation Bonds, Series 2015, 5.000%, 10/01/38 4/24 at 100.00   AA–   2,172,125  
  3,000   Bristol Township School District, Bucks County, Pennsylvania, General Obligation Bonds, Series 2013, 5.250%, 6/01/43 6/23 at 100.00   A2   3,322,260  
      Canon-McMillan School District, Washington County, Pennsylvania, General Obligation Bonds, Series 2014D:            
  3,000   5.000%, 12/15/37 12/24 at 100.00   AA   3,352,110  
  1,075   5.000%, 12/15/38 – BAM Insured 12/24 at 100.00   AA   1,199,087  
  1,100   5.000%, 12/15/39 12/24 at 100.00   AA   1,226,258  
  650   Cranberry Township, Pennsylvania, General Obligation Bonds, Refunding Series 2015, 3.250%, 10/01/32 10/25 at 100.00   Aaa   655,220  
  7,465   Erie City School District, Erie County, Pennsylvania, General Obligation Bonds, Series 2000, 0.000%, 9/01/30 – AMBAC Insured No Opt. Call   N/R   4,408,083  
  6,680   Gateway School District, Allegheny County, Pennsylvania, General Obligation Bonds, Refunding Series 2012, 4.000%, 10/15/32 10/22 at 100.00   Aa3   6,916,338  
  6,225   Lehighton Area School District, Carbon County, Pennsylvania, General Obligation Bonds, Limited Tax Series 2015A, 5.000%, 11/15/43 – BAM Insured 11/23 at 100.00   AA   6,859,141  
      Nazareth Area School District, Northampton County, Pennsylvania, General Obligation Bonds, Series 2017E:            
  1,350   5.000%, 11/15/37 11/25 at 100.00   AA   1,531,426  
  1,000   5.000%, 11/15/39 11/25 at 100.00   AA   1,131,460  
      North Allegheny School District, Allegheny County, Pennsylvania, General Obligation Bonds, Series 2015:            
  5,000   5.000%, 5/01/31 5/25 at 100.00   AA   5,719,800  
  4,000   5.000%, 5/01/32 5/25 at 100.00   AA   4,570,280  
  2,875   5.000%, 5/01/33 5/25 at 100.00   AA   3,276,868  
      Pennsbury School District, Bucks County, Pennsylvania, General Obligation Bonds, Series 2016A:            
  3,115   5.000%, 10/01/32 4/25 at 100.00   Aa2   3,550,165  
  1,000   5.000%, 10/01/33 4/25 at 100.00   Aa2   1,136,950  
  2,660   5.000%, 10/01/34 4/25 at 100.00   Aa2   3,009,710  
  2,045   5.000%, 10/01/35 4/25 at 100.00   Aa2   2,302,731  
  1,410   5.000%, 10/01/36 4/25 at 100.00   Aa2   1,584,826  
  2,620   Pennsylvania Economic Development Financing Authority, Parking System Revenue Bonds, Capitol Region Parking System, Junior Insured Series 2013C, 5.500%, 1/01/30 – AGM Insured 1/24 at 100.00   AA   2,963,377  
46

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligations/General (continued)            
$ 3,925   Philadelphia School District, Pennsylvania, General Obligation Bonds, Series 2007A, 5.000%, 6/01/34 – FGIC Insured No Opt. Call   A+ $ 4,332,297  
  745   Pittsburgh School District, Allegheny County, Pennsylvania, General Obligation Bonds, Series 2014A, 5.000%, 9/01/25 – BAM Insured 9/22 at 100.00   AA   834,534  
      Pittsburgh, Pennsylvania, General Obligation Bonds, Series 2012B:            
  2,590   5.000%, 9/01/25 9/22 at 100.00   AA–   2,895,387  
  6,800   5.000%, 9/01/26 9/22 at 100.00   AA–   7,598,660  
  2,485   Radnor Township School District, Delaware County, Pennsylvania, General Obligation Bonds, Series 2012, 3.000%, 2/15/34 4/18 at 100.00   Aa1   2,478,713  
  1,000   Radnor Township, Pennsylvania, General Obligation Bonds, Series 2012, 4.000%, 11/01/37 11/22 at 100.00   Aa1   1,041,420  
  11,440   Reading School District, Berks County, Pennsylvania, General Obligation Bonds, Series 2003B, 0.000%, 1/15/32 – FGIC Insured No Opt. Call   Baa2   6,713,564  
      Scranton, Lackawanna County, Pennsylvania, General Obligation Notes, Series 2016:            
  280   5.000%, 11/15/26 5/24 at 100.00   BB+   298,875  
  2,925   5.000%, 11/15/32 5/24 at 100.00   BB+   3,051,389  
  1,000   South Park School District, Allegheny County, Pennsylvania, General Obligation Bonds, Series 2014, 3.375%, 8/01/32 – BAM Insured 2/20 at 100.00   AA   1,003,940  
  21,000   State Public School Building Authority, Pennsylvania, School Revenue Bonds, Philadelphia School District Project, Series 2003, 5.500%, 6/01/28 – AGM Insured, (UB) (5) No Opt. Call   AA   24,708,180  
      The Redevelopment Authority of the City of Scranton, Lackawanna County, Pennsylvania, Guaranteed Lease Revenue Bonds, Series 2016A:            
  285   5.000%, 11/15/21 No Opt. Call   BB+   294,505  
  170   5.000%, 11/15/28 5/24 at 100.00   BB+   172,523  
  133,040   Total Tax Obligation/General         138,244,301  
      Tax Obligation/Limited – 10.1% (6.3% of Total Investments)            
  1,490   Allegheny County Redevelopment Authority, Pennsylvania, TIF Revenue Bonds, Pittsburg Mills Project, Series 2004, 5.600%, 7/01/23 5/18 at 100.00   N/R   1,464,059  
  1,115   Allentown Neighborhood Improvement Zone Development Authority, Pennsylvania, Tax Revenue Bonds, City Center Refunding Project, Series 2017, 5.000%, 5/01/42, 144A 5/27 at 100.00   Ba1   1,185,702  
  1,475   Allentown Neighborhood Improvement Zone Development Authority, Pennsylvania, Tax Revenue Bonds, Series 2012A, 5.000%, 5/01/35 5/22 at 100.00   Baa3   1,542,496  
      Government of Guam, Business Privilege Tax Bonds, Series 2011A:            
  1,670   5.250%, 1/01/36 1/22 at 100.00   A   1,758,894  
  655   5.125%, 1/01/42 1/22 at 100.00   A   683,165  
  1,704   Monroe County Industrial Development Authority, Pennsylvania, Special Obligation Revenue Bonds, Tobyhanna Township Project, Series 2014, 6.875%, 7/01/33, 144A 7/24 at 100.00   N/R   1,731,230  
  3,500   Norristown Area School District, Pennsylvania, Installment Purchase Certificates of Participation, Series 2012, 5.000%, 4/01/32 4/22 at 100.00   A3   3,676,190  
  7,000   Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Turnpike Subordinate Special Revenue Bonds, Series 2013B-1, 5.250%, 12/01/43 12/23 at 100.00   AA–   7,755,300  
      Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Turnpike Subordinate Special Revenue Bonds, Series 2014A:            
  2,650   0.000%, 12/01/37 (6) No Opt. Call   AA–   2,386,484  
  4,000   0.000%, 12/01/44 (6) No Opt. Call   AA–   3,587,680  
  2,200   Pennsylvania Turnpike Commission, Registration Fee Revenue Bonds, Series 2005A, 5.250%, 7/15/18 – AGM Insured No Opt. Call   AA   2,232,054  
  5,530   Philadelphia Authority For Industrial Development, Pennsylvania, Revenue Bonds, Cultural and Commercial Corridors Program, Refunding Series 2016A, 5.000%, 12/01/30 12/25 at 100.00   A+   6,199,904  
  3,820   Pittsburgh and Allegheny County Sports and Exhibition Authority, Pennsylvania, Hotel Room Excise Tax Revenue Bonds, Refunding Series 2012, 5.000%, 2/01/26 – AGC Insured 8/22 at 100.00   AA   4,204,903  
47

 

NQP Nuveen Pennsylvania Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligation/Limited (continued)            
$ 4,225   Puerto Rico Highway and Transportation Authority, Highway Revenue Bonds, Series 2007N, 5.500%, 7/01/29 – AMBAC Insured No Opt. Call   C $ 4,245,914  
  2,500   Southeastern Pennsylvania Transportation Authority, Capital Grant Receipts Bonds, Federal Transit Administration Section 5309 Fixed Guideway Modernization Formula Funds, Series 2011, 5.000%, 6/01/23 No Opt. Call   AA–   2,837,050  
      Southeastern Pennsylvania Transportation Authority, Capital Grant Receipts Bonds, Federal Transit Administration Section 5337 State of Good Repair Formula Program Funds, Refunding Series 2017:            
  1,180   5.000%, 6/01/24 No Opt. Call   AA–   1,358,440  
  2,000   5.000%, 6/01/25 No Opt. Call   AA–   2,326,600  
  2,370   5.000%, 6/01/26 No Opt. Call   AA–   2,780,081  
      Washington County Redevelopment Authority, Pennsylvania, Tanger Outlet Victory Center Tax Increment Bonds, Series 2018            
  1,135   5.000%, 6/01/33 6/28 at 100.00   A1   1,262,903  
  825   5.000%, 7/01/35 (WI/DD, Settling 3/14/18) 1/28 at 100.00   BB   844,198  
  1,935   5.000%, 12/01/41 12/21 at 100.00   A2   2,086,781  
  52,979   Total Tax Obligation/Limited         56,150,028  
      Transportation – 10.7% (6.6% of Total Investments)            
  3,280   Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2010E, 5.000%, 1/01/40 1/20 at 100.00   A   3,455,316  
      Delaware River Port Authority, Pennsylvania and New Jersey, Revenue Refunding Bonds, Port District Project, Series 2012:            
  1,270   5.000%, 1/01/22 No Opt. Call   A–   1,393,533  
  2,425   5.000%, 1/01/23 No Opt. Call   A–   2,706,179  
  2,310   5.000%, 1/01/24 1/23 at 100.00   A–   2,552,319  
  610   5.000%, 1/01/25 1/23 at 100.00   A–   669,347  
  3,990   Pennsylvania Economic Development Financing Authority, Parking System Revenue Bonds, Capitol Region Parking System, Series 2013A, 5.250%, 1/01/44 – AGM Insured 1/24 at 100.00   AA   4,326,716  
  12,100   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Capital Appreciation Series 2009E, 6.375%, 12/01/38 12/27 at 100.00   A–   14,861,341  
  820   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Refunding Subordinate Second Series 2016B-2, 5.000%, 6/01/39 6/26 at 100.00   A3   899,401  
  3,000   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Series 2014C, 5.000%, 12/01/44 12/24 at 100.00   A1   3,330,990  
  10,000   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Series 2015B, 5.000%, 12/01/45 12/25 at 100.00   A1   11,059,700  
  2,000   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Subordinate Series 2009C, 6.250%, 6/01/33 – AGM Insured 6/26 at 100.00   AA   2,461,820  
      Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Subordinate Series 2017B-1:            
  1,430   5.000%, 6/01/31 6/27 at 100.00   A3   1,608,964  
  1,430   5.000%, 6/01/33 6/27 at 100.00   A3   1,596,938  
  1,050   Philadelphia, Pennsylvania, Airport Revenue Bonds, Refunding Series 2017A., 3.000%, 7/01/34 – AGM Insured 7/27 at 100.00   AA   993,877  
  1,500   Philadelphia, Pennsylvania, Airport Revenue Bonds, Refunding Series 2017B., 5.000%, 7/01/42 (Alternative Minimum Tax) 7/27 at 100.00   A   1,658,835  
  1,865   Philadelphia, Pennsylvania, Airport Revenue Bonds, Series 2010A, 5.250%, 6/15/28 6/20 at 100.00   A   2,008,419  
      Pittsburgh and Allegheny County Sports and Exhibition Authority, Pennsylvania, Parking Revenue Bonds, Series 2017:            
  1,000   5.000%, 12/15/30 12/27 at 100.00   A–   1,133,980  
  500   5.000%, 12/15/33 12/27 at 100.00   A–   561,670  
  550   5.000%, 12/15/34 12/27 at 100.00   A–   615,417  
  1,000   5.000%, 12/15/36 12/27 at 100.00   A–   1,112,820  
  250   5.000%, 12/15/37 12/27 at 100.00   A–   277,550  
  52,380   Total Transportation         59,285,132  
48

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      U.S. Guaranteed – 22.3% (13.8% of Total Investments) (7)            
$ 2,325   Allegheny County, Pennsylvania, General Obligation Bonds, Series 2011C-65, 5.375%, 5/01/31 (Pre-refunded 5/01/21) 5/21 at 100.00   N/R $ 2,579,448  
  6,025   Bethel Park School District, Allegheny County, Pennsylvania, General Obligation Bonds, Series 2009, 5.000%, 8/01/29 (Pre-refunded 8/01/19) 8/19 at 100.00   Aa2   6,321,430  
      Bucks County Water and Sewer Authority, Pennsylvania, Revenue Bonds, Tender Option Bond Trust 2015-XF0123:            
  1,665   11.362%, 12/01/29 – AGM Insured, 144A (Pre-refunded 12/01/21) (IF) (5) 12/21 at 100.00   AA   2,242,139  
  825   11.353%, 12/01/33 – AGM Insured, 144A (Pre-refunded 12/01/21) (IF) (5) 12/21 at 100.00   AA   1,110,681  
  4,100   Centre County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Mount Nittany Medical Center Project, Series 2011, 7.000%, 11/15/46 (Pre-refunded 11/15/21) 11/21 at 100.00   AA–   4,853,785  
      Centre County, Pennsylvania, General Obligation Bonds, Series 2012B:            
  310   4.000%, 7/01/24 (Pre-refunded 7/01/20) 7/20 at 100.00   AA   326,948  
  1,430   4.000%, 7/01/25 (Pre-refunded 7/01/20) 7/20 at 100.00   AA   1,508,178  
  915   4.000%, 7/01/26 (Pre-refunded 7/01/20) 7/20 at 100.00   AA   965,023  
  1,175   Chester County Health and Educational Facilities Authority, Pennsylvania, Health System Revenue Bonds, Jefferson Health System, Series 2010A, 5.000%, 5/15/40 (Pre-refunded 5/15/20) 5/20 at 100.00   N/R   1,261,363  
  4,500   Cumberland County Municipal Authority Revenue Bonds, Pennsylvania, Diakon Lutheran Social Ministries Project, Series 2009, 6.375%, 1/01/39 (Pre-refunded 1/01/19) 1/19 at 100.00   N/R   4,682,565  
  3,000   Erie County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Saint Vincent Health Center Project, Series 2010A, 7.000%, 7/01/27 (Pre-refunded 7/01/20) 7/20 at 100.00   N/R   3,361,710  
  3,385   Lancaster County Hospital Authority, Pennsylvania, Health System Revenue Bonds, Lancaster General Hospital Project, Tender Option Bond Trust 2015-XF0064, 11.584%, 7/01/42, 144A (Pre-refunded 1/01/22) (IF) 1/22 at 100.00   N/R   4,529,976  
  7,660   Lehigh County General Purpose Authority, Pennsylvania, Hospital Revenue Bonds, Lehigh Valley Health Network, Series 2008A, 5.000%, 7/01/33 (Pre-refunded 7/01/18) – AGM Insured 7/18 at 100.00   AA   7,754,295  
  2,000   Luzerne County, Pennsylvania, General Obligation Bonds, Series 2008B, 5.000%, 12/15/27 (Pre-refunded 6/15/18) – AGM Insured 6/18 at 100.00   AA   2,021,140  
      Monroe County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Pocono Medical Center, Series 2012A:            
  365   4.000%, 1/01/25 (Pre-refunded 1/01/22) 1/22 at 100.00   A+   392,762  
  3,000   5.000%, 1/01/41 (Pre-refunded 1/01/22) 1/22 at 100.00   A+   3,338,430  
  3,730   Montgomery County Higher Education and Health Authority, Pennsylvania, Hospital Revenue Bonds, Abington Memorial Hospital Obligated Group, Series 2012A, 5.000%, 6/01/31 (Pre-refunded 6/01/22) 6/22 at 100.00   A+   4,197,929  
  1,130   Montgomery County Industrial Development Authority, Pennsylvania, FHA Insured Mortgage Revenue Bonds, New Regional Medical Center Project, Series 2010, 5.375%, 8/01/38 (Pre-refunded 8/01/20) 8/20 at 100.00   N/R   1,229,191  
  1,415   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Drexel University, Series 2011A, 5.250%, 5/01/41 (Pre-refunded 5/01/21) 5/21 at 100.00   N/R   1,566,759  
      Northampton County General Purpose Authority, Pennsylvania, Hospital Revenue Bonds, Saint Lukes Hospital Project, Series 2008A:            
  1,235   5.250%, 8/15/23 (Pre-refunded 8/15/18) 8/18 at 100.00   A–   1,256,094  
  2,000   5.500%, 8/15/35 (Pre-refunded 8/15/18) 8/18 at 100.00   A–   2,036,400  
  3,525   Pennsylvania Economic Development Financing Authority, Health System Revenue Bonds , Albert Einstein Healthcare, Series 2009A, 6.250%, 10/15/23 (Pre-refunded 10/15/19) 10/19 at 100.00   N/R   3,756,663  
  9,125   Pennsylvania Higher Educational Facilities Authority, General Revenue Bonds, State System of Higher Education, Series 2008AH, 5.000%, 6/15/33 (Pre-refunded 6/15/18) 6/18 at 100.00   N/R   9,222,729  
  1,300   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Edinboro University Foundation Student Housing Project, Series 2010, 6.000%, 7/01/43 (Pre-refunded 7/01/20) 7/20 at 100.00   N/R   1,427,166  
      Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Foundation for Student Housing at Indiana University, Project Series 2012A:            
  1,000   5.000%, 7/01/27 (Pre-refunded 7/01/22) 7/22 at 100.00   N/R   1,121,180  
  750   5.000%, 7/01/32 (Pre-refunded 7/01/22) 7/22 at 100.00   N/R   840,885  
49

 

NQP Nuveen Pennsylvania Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      U.S. Guaranteed (7) (continued)            
$ 1,195   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Philadelphia University, Refunding Series 2013, 5.000%, 6/01/32 (Pre-refunded 6/01/23) 6/23 at 100.00   N/R $ 1,366,291  
  2,015   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Thomas Jefferson University, Series 2010, 5.000%, 3/01/40 (Pre-refunded 3/01/20) 3/20 at 100.00   A+   2,147,486  
      Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Turnpike Special Revenue Bonds, Subordinate Series 2010A1&2:            
  315   5.500%, 12/01/34 (Pre-refunded 12/01/20) 12/20 at 100.00   N/R   346,361  
  1,440   5.500%, 12/01/34 (Pre-refunded 12/01/20) 12/20 at 100.00   AA–   1,587,456  
  3,915   5.000%, 12/01/38 (Pre-refunded 12/01/19) 12/19 at 100.00   AA–   4,145,437  
  3,180   Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Turnpike Special Revenue Bonds, Subordinate Series 2012A, 5.000%, 12/01/31 (Pre-refunded 12/01/21) 12/21 at 100.00   AA–   3,547,067  
  5,125   Pennsylvania Turnpike Commission, Oil Franchise Tax Revenue Bonds, Senior Lien Series 2003A, 5.000%, 12/01/32 (Pre-refunded 12/01/18) – NPFG Insured 12/18 at 100.00   AA   5,265,835  
  2,485   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Subordinate Lien, Refunding Series 2010B-1, 5.000%, 12/01/37 (Pre-refunded 12/01/19) 12/19 at 100.00   A–   2,631,267  
  2,065   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Subordinate Lien, Refunding Series 2011B, 5.000%, 12/01/41 (Pre-refunded 12/01/21) 12/21 at 100.00   N/R   2,303,363  
  300   Philadelphia Gas Works, Pennsylvania, Revenue Bonds, Twelfth Series 1990B, 7.000%, 5/15/20 – NPFG Insured (ETM) No Opt. Call   N/R   318,450  
  7,165   Philadelphia Hospitals and Higher Education Facilities Authority, Pennsylvania, Health System Revenue Bonds, Jefferson Health System, Series 2010B, 5.000%, 5/15/40 (Pre-refunded 5/15/20) 5/20 at 100.00   N/R   7,683,603  
  1,135   Philadelphia Hospitals and Higher Education Facilities Authority, Pennsylvania, Hospital Revenue Bonds, Presbyterian Medical Center of Philadelphia, Series 1993, 6.650%, 12/01/19 (ETM) No Opt. Call   AA+   1,212,350  
  3,345   Philadelphia, Pennsylvania, General Obligation Bonds, Refunding Series 2011, 6.500%, 8/01/41 (Pre-refunded 8/01/20) 8/20 at 100.00   A+   3,723,085  
  1,470   Puerto Rico, Highway Revenue Bonds, Highway and Transportation Authority, Series 2003AA, 5.500%, 7/01/19 – NPFG Insured (ETM) No Opt. Call   Baa2   1,546,543  
      Saint Mary Hospital Authority, Pennsylvania, Health System Revenue Bonds, Catholic Health East, Series 2010A:            
  55   5.000%, 11/15/40 (Pre-refunded 11/15/20) 11/20 at 100.00   N/R   59,728  
  605   5.000%, 11/15/40 (Pre-refunded 11/15/20) 11/20 at 100.00   AA–   658,682  
  1,613   South Fork Municipal Authority, Pennsylvania, Hospital Revenue Bonds, Conemaugh Valley Memorial Hospital, Series 2010, 5.500%, 7/01/29 (Pre-refunded 7/01/20) 7/20 at 100.00   N/R   1,750,508  
  1,930   Westmoreland County Municipal Authority, Pennsylvania, Municipal Service Revenue Bonds, Tender Option Bond Trust 2016-XF1058, 14.043%, 8/15/37, 144A (Pre-refunded 8/15/23) (IF) (5) 8/23 at 100.00   A+   3,087,575  
      West Shore Area Authority, Cumberland County, Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital of the Sisters of Christian Charity Project, Series 2011:            
  325   6.250%, 1/01/31 (Pre-refunded 1/01/21) 1/21 at 100.00   AA   365,495  
  4,555   6.500%, 1/01/36 (Pre-refunded 1/01/21) 1/21 at 100.00   AA   5,147,104  
  1,110   Wilkes-Barre Finance Authority, Pennsylvania, Revenue Bonds, University of Scranton, Series 2010, 5.000%, 11/01/40 (Pre-refunded 11/01/20) 11/20 at 100.00   A–   1,208,624  
  113,233   Total U.S. Guaranteed         124,007,179  
      Utilities – 7.5% (4.6% of Total Investments)            
  2,540   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Bonds, FirstEnergy Nuclear Generation Project, Refunding Series 2005A, 4.000%, 1/01/35 (Mandatory put 7/01/21) No Opt. Call   C   863,600  
  3,000   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generation Project, Series 2006A, 4.375%, 1/01/35 (Mandatory put 7/01/22) No Opt. Call   Caa3   2,752,500  
50

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Utilities (continued)            
$ 6,210   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generation Project, Series 2006B, 3.500%, 12/01/35 (Mandatory put 6/01/20) No Opt. Call   C $ 2,111,400  
  9,855   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generation Project, Series 2008A, 2.700%, 4/01/35 (Mandatory put 4/01/18) No Opt. Call   C   3,350,700  
  7,250   Delaware County Industrial Development Authority, Pennsylvania, Revenue Bonds, Covanta Project, Refunding Series 2015A, 5.000%, 7/01/43 7/20 at 100.00   BB–   7,287,482  
  4,015   Luzerne County Industrial Development Authority, Pennsylvania, Water Facility Revenue Refunding Bonds, Pennsylvania-American Water Company, Series 2009, 5.500%, 12/01/39 12/19 at 100.00   A+   4,255,699  
  2,220   Pennsylvania Economic Development Financing Authority, Exempt Facilities Revenue Refunding Bonds, PPL Energy Supply, LLC Project, Series 2009A, 6.400%, 12/01/38 9/25 at 100.00   B+   2,262,269  
  4,575   Pennsylvania Economic Development Financing Authority, Water Facilities Revenue Bonds, Aqua Pennsylvania, Inc. Project, Series 2009A, 5.000%, 10/01/39 10/19 at 100.00   AA–   4,791,077  
  5,000   Pennsylvania Economic Development Financing Authority, Water Facilities Revenue Bonds, Aqua Pennsylvania, Inc. Project, Series 2009B, 5.000%, 11/15/40 11/19 at 100.00   AA–   5,254,050  
      Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General Ordinance, Fifteenth Series 2017:            
  3,500   5.000%, 8/01/42 8/27 at 100.00   A   3,917,865  
  1,500   5.000%, 8/01/47 8/27 at 100.00   A   1,672,710  
  2,735   Philadelphia Gas Works, Pennsylvania, Revenue Bonds, Refunding Thirteenth Series 2015, 5.000%, 8/01/29 8/25 at 100.00   A   3,115,603  
  52,400   Total Utilities         41,634,955  
      Water and Sewer – 9.3% (5.8% of Total Investments)            
      Allegheny County Sanitary Authority, Pennsylvania, Sewer Revenue Bonds, Refunding Series 2015:            
  3,325   5.000%, 12/01/40 12/25 at 100.00   A1   3,694,075  
  3,320   5.000%, 12/01/45 12/25 at 100.00   A1   3,671,820  
  750   Allegheny County Sanitary Authority, Pennsylvania, Sewer Revenue Bonds, Refunding Series 2016, 4.000%, 12/01/32 – AGM Insured 12/26 at 100.00   AA   791,917  
      Delaware County Regional Water Quality Control Authority, Pennsylvania, Sewer Revenue Bonds, Series 2015:            
  1,110   5.000%, 5/01/40 5/25 at 100.00   Aa3   1,241,479  
  2,220   4.000%, 5/01/45 5/25 at 100.00   Aa3   2,264,289  
  335   Easton, Pennsylvania, Area Joint Sewer Authority, Water and Sewer Revenue Bonds, Series 2015, 3.200%, 12/01/34 – BAM Insured 12/23 at 100.00   AA   327,747  
  665   Findlay Township Municipal Authority, Allegheny County, Pennsylvania, Revenue Bonds, Series 2015, 3.375%, 12/15/35 – BAM Insured 12/20 at 100.00   AA   660,139  
      Lehigh County Authority, Pennsylvania, Water and Sewer Revenue Bonds, Allentown Concession, Capital Appreciation Series 2013B:            
  7,295   0.000%, 12/01/34 No Opt. Call   A   3,630,794  
  4,420   0.000%, 12/01/35 No Opt. Call   A   2,088,229  
  12,500   Lehigh County Authority, Pennsylvania, Water and Sewer Revenue Bonds, Allentown Concession, Series 2013A, 5.125%, 12/01/47 12/23 at 100.00   A   13,843,375  
  1,100   Pennsylvania Economic Development Financing Authority, Sewage Sludge Disposal Revenue Bonds, Philadelphia Biosolids Facility Project, Series 2009, 6.250%, 1/01/32 1/20 at 100.00   BBB+   1,164,174  
  6,560   Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series 2011A, 5.000%, 1/01/41 1/21 at 100.00   A+   7,001,554  
  2,500   Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series 2013A, 5.125%, 1/01/43 1/22 at 100.00   A+   2,712,475  
  5,000   Pittsburgh Water and Sewer Authority, Pennsylvania, Water and Sewer System Revenue Bonds, First Lien Series 2013B, 5.250%, 9/01/40 9/23 at 100.00   A   5,612,000  
  2,840   Robinson Township Municipal Authority, Allegheny County, Pennsylvania, Water and Sewer Revenue Bonds, Series 2014, 4.000%, 5/15/40 – BAM Insured 11/19 at 100.00   AA   2,770,392  
51

 

NQP Nuveen Pennsylvania Quality Municipal Income Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Water and Sewer (continued)            
$ 170   Robinson Township Municipal Authority, Allegheny County, Pennsylvania, Water and Sewer Revenue Bonds, Series 2017, 3.375%, 5/15/32 – AGM Insured 5/26 at 100.00   AA $ 172,003  
  54,110   Total Water and Sewer         51,646,462  
$ 867,580   Total Long-Term Investments (cost $875,655,557)         896,314,384  
      Floating Rate Obligations – (8.6)%         (47,825,000 )
      Variable Rate MuniFund Term Preferred (“VMTP”) Shares, net of deferred offering costs – (15.7)% (8)         (86,988,948 )
      Variable Rate Demand Preferred (“VRDP”) Shares, net of deferred offering costs – (39.0)% (9)         (216,647,855 )
      Other Assets Less Liabilities – 1.8% (10)         10,241,742  
      Net Assets Applicable to Common Shares – 100%       $ 555,094,323  

Investments in Derivatives

Interest Rate Swaps – OTC Uncleared

 

Counterparty     Notional
Amount
  Fund
Pay/Receive
Floating Rate
    Floating
Rate
Index
    Fixed Rate
(Annualized
)   Fixed Rate
Payment
Frequency
    Effective
Date (11)
    Optional
Termination
Date
    Maturity
Date
    Value     Unrealized
Appreciation
(Depreciation
)
JPMorgan   $ 22,000,000   Receive     3-Month     2.043%     Quarterly     5/25/18     6/25/18     5/25/28   $ 445,168   $ 445,168  
Chase             SIFMA                                            
Bank, N.A.                                                            
JPMorgan     20,300,000   Receive     3-Month     2.038%     Quarterly     12/14/18     1/11/19     12/14/28     523,817     523,817  
Chase             SIFMA                                            
Bank, N.A                                                            
    $ 42,300,000                                           $ 968,985   $ 968,985  

 

(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm
 (3) For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. Ratings are not covered by the report of independent registered public accounting firm.
(4) As of, or subsequent to, the end of the reporting period, this security is non-income producing. Non-income producing, in the case of a fixed-income security, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has ceased accruing additional income on the Fund’s records.
(5) Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in derivatives and/or inverse floating rate transactions.
(6) Step-up coupon bond, a bond with a coupon that increases (steps up), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period.
(7) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest.
(8) Variable Rate MuniFund Term Preferred Shares, net of deferred offering costs as a percentage of Total Investments is 9.7%.
(9) Variable Rate Demand Preferred Shares, net of deferred offering costs as a percentage of Total Investments is 24.2%.
(10) Other assets less liabilities includes the unrealized appreciation (depreciation) of certain over-the-counter (“OTC”) derivatives as presented on the Statement of Assets and Liabilities, when applicable. The unrealized appreciation (depreciation) of OTC cleared and exchange-traded derivatives is recognized as part of cash collateral at brokers and/or the receivable or payable for variation margin as presented on the Statement of Assets and Liabilities, when applicable.
(11) Effective date represents the date on which both the Fund and counterparty commence interest payment accruals on each contract.
144A Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers.
ETM Escrowed to maturity.
IF Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust.
SIFMA Securities Industry and Financial Market Association
UB Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.
WI/DD Investment, or portion of investment, purchased on a when-issued or delayed delivery basis.

 

See accompanying notes to financial statements.

52

 

NPN Nuveen Pennsylvania Municipal Value Fund
  Portfolio of Investments
  February 28, 2018

 

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      LONG-TERM INVESTMENTS – 100.6% (100.0% of Total Investments)            
      MUNICIPAL BONDS – 100.6% (100.0% of Total Investments)            
      Consumer Staples – 4.1% (4.1% of Total Investments)            
$ 570   District of Columbia Tobacco Settlement Corporation, Tobacco Settlement Asset-Backed Bonds, Series 2001, 6.500%, 5/15/33 No Opt. Call   A– $ 642,007  
  80   Pennsylvania Economic Development Financing Authority, Solid Waste Disposal Revenue Bonds, Procter & Gamble Paper Project, Series 2001, 5.375%, 3/01/31 (Alternative Minimum Tax) No Opt. Call   AA–   95,928  
  650   Total Consumer Staples         737,935  
      Education and Civic Organizations – 6.0% (5.9% of Total Investments)            
  50   Allegheny County Higher Education Building Authority, Pennsylvania, Revenue Bonds, Robert Morris University, Series 2017, 5.000%, 10/15/37 10/27 at 100.00   Baa3   54,374  
  70   Bucks County Industrial Development Authority, Pennsylvania, Revenue Bonds, School Lane Charter School Project, Series 2016, 5.125%, 3/15/36 3/27 at 100.00   BBB–   75,044  
  20   Chester County Industrial Development Authority, Pennsylvania, Avon Grove Charter School Revenue Bonds, Series 2017A, 5.000%, 12/15/47 12/27 at 100.00   BBB–   20,783  
  100   Cumberland County Municipal Authority, Pennsylvania, Revenue Bonds, Dickinson College Project, Second Series 2017A., 5.000%, 11/01/39 11/27 at 100.00   A+   113,965  
  30   Dallas Area Municipal Authority, Pennsylvania, Revenue Bonds, Misericordia University, Series 2014, 5.000%, 5/01/37 5/24 at 100.00   Baa3   31,960  
  60   Erie Higher Education Building Authority, Pennsylvania, Revenue Bonds, Gannon University, Series 2016, 4.000%, 5/01/46 11/26 at 100.00   BBB+   57,548  
  60   General Authority of Southcentral Pennsylvania, Revenue Bonds, AICUP Financing Program-York College of Pennsylvania, Series 2017 PP4, 3.375%, 11/01/37 10/27 at 100.00   A–   56,251  
      Huntingdon County General Authority, Pennsylvania, Revenue Bonds, Juniata College, Series 2016OO2:            
  15   3.250%, 5/01/36 5/26 at 100.00   BBB+   13,702  
  35   3.500%, 5/01/41 5/26 at 100.00   BBB+   32,422  
  35   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Holy Family University, Series 2013A, 6.500%, 9/01/38 9/23 at 100.00   BBB–   37,740  
  40   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Thomas Jefferson University, Series 2012, 5.000%, 3/01/42 9/22 at 100.00   A+   43,553  
      Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University of the Sciences in Philadelphia, Series 2012:            
  35   4.000%, 11/01/39 11/22 at 100.00   A3   35,236  
  60   5.000%, 11/01/42 11/22 at 100.00   A3   65,348  
  95   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Widener University, Series 2013A, 5.500%, 7/15/38 7/23 at 100.00   A–   102,869  
  70   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, La Salle University, Series 2017, 3.625%, 5/01/35 11/27 at 100.00   BBB–   66,011  
  100   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, Philadelphia Performing Arts Charter School, Series 2013, 6.750%, 6/15/43, 144A 6/20 at 100.00   BB   105,517  
  50   Philadelphia Authority for Industrial Development, Pennsylvania, Revenue Bonds, University of the Arts, Series 2017., 5.000%, 3/15/45, 144A 3/28 at 100.00   N/R   47,445  
  130   Washington County Industrial Development Authority, Pennsylvania, College Revenue Bonds, AICUP Financing Program-Washington and Jefferson College Project, Series 2017-PP5., 3.375%, 11/01/36 11/27 at 100.00   A–   121,334  
  1,055   Total Education and Civic Organizations         1,081,102  
53

 

NPN Nuveen Pennsylvania Municipal Value Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Health Care – 18.8% (18.7% of Total Investments)            
$ 500   Allegheny County Hospital Development Authority, Pennsylvania, Revenue Bonds, University of Pittsburgh Medical Center, Series 2009A, 5.500%, 8/15/34 8/19 at 100.00   AA– $ 524,635  
  235   Berks County Industrial Development Authority; Pennsylvania, Health System Revenue Bonds, Tower Health Project Series 2017, 5.000%, 11/01/50 11/27 at 100.00   A   256,625  
  100   Centre County Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Mount Nittany Medical Center Project, Series 2016A, 5.000%, 11/15/46 11/25 at 100.00   A   108,932  
  75   Chester County Health and Education Facilities Authority, Pennsylvania, Health System Revenue Bonds, Main Line Health System, Series 2017A, 4.000%, 10/01/37 10/27 at 100.00   AA   77,288  
  55   Dauphin County General Authority, Pennsylvania, Health System Revenue Bonds, Pinnacle Health System Project, Refunding Series 2016A, 5.000%, 6/01/35 6/26 at 100.00   A+   61,785  
  35   Dauphin County General Authority, Pennsylvania, Health System Revenue Bonds, Pinnacle Health System Project, Series 2012A, 5.000%, 6/01/42 6/22 at 100.00   A+   38,194  
  225   Doylestown Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Series 2016A, 5.000%, 7/01/41 7/26 at 100.00   BBB–   236,394  
  100   Lancaster County Hospital Authority, Revenue Bonds, University of Pennsylvania Health System, Refunding Series 2016B, 5.000%, 8/15/46 8/26 at 100.00   AA–   111,590  
  150   Lancaster County Hospital Authority, Revenue Bonds, University of Pennsylvania Health System, Series 2016A, 5.000%, 8/15/42 8/26 at 100.00   AA–   167,852  
  100   Lehigh County General Purpose Authority, Pennsylvania, Revenue Bonds, Good Shepherd Group, Refunding Series 2016, 4.000%, 11/01/41 5/26 at 100.00   A   99,844  
  100   Lycoming County Authority, Pennsylvania, Health System Revenue Bonds, Susquehanna Health System Project, Series 2009A, 5.750%, 7/01/39 7/19 at 100.00   AA–   105,032  
  200   Montgomery County Industrial Development Authority, Pennsylvania, Health System Revenue Bonds, Albert Einstein Healthcare Network Issue, Series 2015A, 5.250%, 1/15/45 1/25 at 100.00   BBB   213,018  
  65   Philadelphia Authority for Industrial Development, Pennsylvania, Hospital Revenue Bonds, The Children’s Hospital of Philadelphia, Series 2017, 5.000%, 7/01/33 7/27 at 100.00   AA   75,223  
  130   Philadelphia Hospitals and Higher Education Facilities Authority, Pennsylvania, Hospital Revenue Bonds, Temple University Health System Obligated Group, Series 2012A, 5.625%, 7/01/42 7/22 at 100.00   BBB–   141,190  
  200   Pottsville Hospital Authority, Pennsylvania, Hospital Revenue Bonds, Lehigh Valley Health Network, Series 2016B, 5.000%, 7/01/45 1/27 at 100.00   A+   218,824  
  700   St. Mary Hospital Authority, Pennsylvania, Health System Revenue Bonds, Catholic Health East, Series 2009D, 6.250%, 11/15/34 5/19 at 100.00   AA–   734,096  
  100   The Hospitals and Higher Education Facilities Authority of Philadelphia, Pennsylvania, Hospital Revenue Bonds, Temple University Health System Obligated Group, Series of 2017, 5.000%, 7/01/30 7/27 at 100.00   BBB–   109,595  
  100   West Shore Area Authority, Cumberland County, Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital of the Sisters of Christian Charity, Series 2011B, 5.750%, 1/01/41 1/22 at 100.00   AA   112,499  
  3,170   Total Health Care         3,392,616  
      Housing/Multifamily – 7.1% (7.1% of Total Investments)            
  15   Chester County Industrial Development Authority, Pennsylvania, Student Housing Revenue Bonds, University Student Housing, LLC Project at West Chester University Series 2013A, 5.000%, 8/01/45 8/23 at 100.00   Baa3   15,723  
  30   East Hempfield Township Industrial Development Authority, Pennsylvania, Student Services Inc. - Student Housing Project at Millersville University, Series 2014, 5.000%, 7/01/46 7/24 at 100.00   BBB–   31,593  
  100   East Hempfield Township Industrial Development Authority, Pennsylvania, Student Services Inc. - Student Housing Project at Millersville University, Series 2015, 5.000%, 7/01/47 7/25 at 100.00   BBB–   105,514  
  300   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, University Properties Inc. Student Housing Project at East Stroudsburg University of Pennsylvania, Series 2016A, 5.000%, 7/01/35 7/26 at 100.00   Baa3   319,746  
  800   Pittsburgh Urban Redevelopment Authority, Pennsylvania, Multifamily Housing Revenue Bonds, Eva P. Mithcell Residence Project, Series 2009, 5.100%, 10/20/44 10/19 at 100.00   Aa1   816,661  
  1,245   Total Housing/Multifamily         1,289,237  
54

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Housing/Single Family – 11.5% (11.4% of Total Investments)            
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2012-114:            
$ 65   3.300%, 10/01/32 10/21 at 100.00   AA+ $ 64,183  
  25   3.650%, 10/01/37 10/21 at 100.00   AA+   24,965  
  40   3.700%, 10/01/42 10/21 at 100.00   AA+   40,701  
  120   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2015-116B, 4.000%, 4/01/45 10/24 at 100.00   AA+   120,826  
  315   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2015-118B, 4.100%, 10/01/45 4/25 at 100.00   AA+   319,246  
  55   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016-119, 3.500%, 10/01/36 4/25 at 100.00   AA+   54,112  
  500   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016-120, 3.200%, 4/01/40 10/25 at 100.00   AA+   457,235  
  100   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016-121, 3.200%, 10/01/41 10/25 at 100.00   AA+   91,733  
      Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2017-123B:            
  70   3.450%, 10/01/32 10/26 at 100.00   AA+   70,257  
  70   3.900%, 10/01/37 10/26 at 100.00   AA+   71,123  
  70   4.000%, 10/01/42 10/26 at 100.00   AA+   70,811  
  250   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2017-125B., 3.700%, 10/01/47 4/27 at 100.00   AA+   245,575  
  400   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 2016, 3.200%, 10/01/41, (UB) 10/25 at 100.00   AA+   366,932  
  50   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Tender Option Bond Trust 2015-XF0066, 11.255%, 10/01/33, 144A (Alternative Minimum Tax) (IF) 10/22 at 100.00   AA+   57,611  
  25   Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Tender Option Bonds Trust 2015-XF0109, 8.513%, 10/01/38, 144A (IF) (4) 10/22 at 100.00   AA+   25,749  
  2,155   Total Housing/Single Family         2,081,059  
      Long-Term Care – 4.7% (4.7% of Total Investments)            
  155   Berks County Industrial Development Authority, Pennsylvania, Healthcare Facilities Revenue Bonds, Highlands at Wyomissing, Series 2017A, 5.000%, 5/15/42 5/27 at 100.00   N/R   167,695  
  100   Cumberland County Municipal Authority Revenue Bonds, Pennsylvania, Diakon Lutheran Social Ministries Project, Series 2016, 5.000%, 1/01/29 1/26 at 100.00   N/R   111,716  
      Cumberland County Municipal Authority, Pennsylvania, Revenue Bonds, Diakon Lutheran Social Ministries Project, Series 2015:            
  120   4.000%, 1/01/33 1/25 at 100.00   BBB+   120,637  
  135   5.000%, 1/01/38 1/25 at 100.00   BBB+   146,178  
  20   Lancaster County Hospital Authority, Pennsylvania, Health Center Revenue Bonds, Masonic Villages Project, Series 2015, 5.000%, 11/01/35 5/25 at 100.00   A   22,153  
  55   Lancaster Industrial Development Authority, Pennsylvania, Revenue Bonds, Garden Spot Village Project, Series 2013, 5.750%, 5/01/35 5/23 at 100.00   BBB   61,403  
  200   Montgomery County Industrial Development Authority, Pennsylvania, Revenue Bonds, ACTS Retirement-Life Communities, Inc. Obligated Group, Series 2016, 5.000%, 11/15/36 11/26 at 100.00   N/R   223,444  
  785   Total Long-Term Care         853,226  
      Materials – 1.0% (1.0% of Total Investments)            
  165   Pennsylvania Economic Development Financing Authority, Exempt Facilities Revenue Bonds, National Gypsum Company, Refunding Series 2014, 5.500%, 11/01/44 (Alternative Minimum Tax) 11/24 at 100.00   N/R   174,106  
      Tax Obligation/General – 8.0% (8.0% of Total Investments)            
  215   Adams County, Pennsylvania, General Obligation Bonds, Series 2017B, 2.500%, 11/15/29 11/25 at 100.00   Aa2   200,913  
  220   Allegheny County, Pennsylvania, General Obligation Bonds, Series 2013C-72, 5.250%, 12/01/32 12/23 at 100.00   AA–   249,295  
  45   Boyertown Area School District, Berks and Montgomery Counties, Pennsylvania, General Obligation Bonds, Series 2015, 5.000%, 10/01/38 4/24 at 100.00   AA–   50,126  
55

 

NPN Nuveen Pennsylvania Municipal Value Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Tax Obligation/General (continued)            
$ 115   Canon-McMillan School District, Washington County, Pennsylvania, General Obligation Bonds, Series 2014D, 5.000%, 12/15/39 12/24 at 100.00   AA $ 128,200  
  195   Lehighton Area School District, Carbon County, Pennsylvania, General Obligation Bonds, Limited Tax Series 2015A, 5.000%, 11/15/43 – BAM Insured 11/23 at 100.00   AA   214,865  
  15   Pittsburgh School District, Allegheny County, Pennsylvania, General Obligation Bonds, Series 2014A, 5.000%, 9/01/25 – BAM Insured 9/22 at 100.00   AA   16,803  
  400   Pittsburgh, Pennsylvania, General Obligation Bonds, Series 2012B, 5.000%, 9/01/26 9/22 at 100.00   AA–   446,980  
  35   Radnor Township School District, Delaware County, Pennsylvania, General Obligation Bonds, Series 2012, 3.000%, 2/15/34 4/18 at 100.00   Aa1   34,911  
  80   Scranton, Lackawanna County, Pennsylvania, General Obligation Notes, Series 2016, 5.000%, 11/15/32 5/24 at 100.00   BB+   83,457  
      The Redevelopment Authority of the City of Scranton, Lackawanna County, Pennsylvania, Guaranteed Lease Revenue Bonds, Series 2016A:            
  15   5.000%, 11/15/21 No Opt. Call   BB+   15,500  
  10   5.000%, 11/15/28 5/24 at 100.00   BB+   10,148  
  1,345   Total Tax Obligation/General         1,451,198  
      Tax Obligation/Limited – 4.1% (4.1% of Total Investments)            
  230   Allentown Neighborhood Improvement Zone Development Authority, Pennsylvania, Tax Revenue Bonds, City Center Refunding Project, Series 2017, 5.000%, 5/01/42, 144A 5/27 at 100.00   Ba1   244,584  
  25   Allentown Neighborhood Improvement Zone Development Authority, Pennsylvania, Tax Revenue Bonds, Series 2012A, 5.000%, 5/01/35 5/22 at 100.00   Baa3   26,144  
  35   Commonwealth Fiancing Authority, Pennsylvania, Master Settlement Series 2018, 5.000%, 6/01/33 6/28 at 100.00   A1   38,944  
  120   Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.250%, 1/01/36 1/22 at 100.00   A   126,388  
  101   Monroe County Industrial Development Authority, Pennsylvania, Special Obligation Revenue Bonds, Tobyhanna Township Project, Series 2014, 6.875%, 7/01/33, 144A 7/24 at 100.00   N/R   102,614  
  100   Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Turnpike Subordinate Special Revenue Bonds, Series 2014A, 0.000%, 12/01/37 (5) No Opt. Call   AA–   90,056  
  15   Washington County Redevelopment Authority, Pennsylvania, Tanger Outlet Victory Center Tax Increment Bonds, Series 2018, 5.000%, 7/01/35 (WI/DD, Settling 3/14/18) 1/28 at 100.00   BB   15,349  
  100   York County School of Technology Authority, Pennsylvania, Lease Revenue Bonds, York County School of Technology, Series 2017B, 3.125%, 2/15/32 – BAM Insured 8/24 at 100.00   AA   95,780  
  726   Total Tax Obligation/Limited         739,859  
      Transportation – 9.0% (8.9% of Total Investments)            
  230   Delaware River Joint Toll Bridge Commission, New Jersey and Pennsylvania, Bridge System Revenue Bonds, Series 2017, 5.000%, 7/01/42 7/27 at 100.00   A1   260,185  
  240   Delaware River Port Authority, New Jersey and Pennsylvania, Revenue Bonds, Series 2010E, 5.000%, 1/01/40 1/20 at 100.00   A   252,828  
  140   Pennsylvania Economic Development Financing Authority, Parking System Revenue Bonds, Capitol Region Parking System, Series 2013A, 5.250%, 1/01/44 – AGM Insured 1/24 at 100.00   AA   151,815  
  175   Pennsylvania Economic Development Financing Authority, Private Activity Revenue Bonds, Pennsylvania Rapid Bridge Replacement Project, Series 2015, 5.000%, 6/30/42 (Alternative Minimum Tax) 6/26 at 100.00   BBB   188,955  
  565   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Series 2015B, 5.000%, 12/01/45 12/25 at 100.00   A1   624,872  
  30   Philadelphia, Pennsylvania, Airport Revenue Bonds, Refunding Series 2017A., 3.000%, 7/01/34 – AGM Insured 7/27 at 100.00   AA   28,397  
  100   Pittsburgh and Allegheny County Sports and Exhibition Authority, Pennsylvania, Parking Revenue Bonds, Series 2017, 5.000%, 12/15/34 12/27 at 100.00   A–   111,894  
  1,480   Total Transportation         1,618,946  
56

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      U.S. Guaranteed – 19.3% (19.2% of Total Investments) (6)            
$ 550   Guam Government, Limited Obligation Section 30 Revenue Bonds, Series 2009A, 5.750%, 12/01/34 (Pre-refunded 12/01/19) 12/19 at 100.00   BBB+ $ 590,249  
  5   Montgomery County Higher Education and Health Authority, Pennsylvania, Hospital Revenue Bonds, Abington Memorial Hospital Obligated Group, Series 2009A, 5.125%, 6/01/33 (Pre-refunded 6/01/19) 6/19 at 100.00   A+   5,215  
  750   Montgomery County Industrial Development Authority, Pennsylvania, Revenue Bonds, ACTS Retirement-Life Communities, Inc. Obligated Group, Series 2009A-1, 6.250%, 11/15/29 (Pre-refunded 11/15/19) 11/19 at 100.00   A–   808,199  
  310   Pennsylvania Economic Development Financing Authority, Health System Revenue Bonds , Albert Einstein Healthcare, Series 2009A, 6.250%, 10/15/23 (Pre-refunded 10/15/19) 10/19 at 100.00   N/R   330,373  
  50   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Edinboro University Foundation Student Housing Project, Series 2010, 6.000%, 7/01/43 (Pre-refunded 7/01/20) 7/20 at 100.00   N/R   54,891  
  120   Pennsylvania Higher Educational Facilities Authority, Revenue Bonds, Philadelphia University, Refunding Series 2013, 5.000%, 6/01/32 (Pre-refunded 6/01/23) 6/23 at 100.00   N/R   137,201  
      Pennsylvania Turnpike Commission, Motor License Fund-Enhanced Turnpike Special Revenue Bonds, Subordinate Series 2010A1&2:            
  110   5.500%, 12/01/34 (Pre-refunded 12/01/20) 12/20 at 100.00   N/R   120,952  
  480   5.500%, 12/01/34 (Pre-refunded 12/01/20) 12/20 at 100.00   AA–   529,152  
  100   5.000%, 12/01/38 (Pre-refunded 12/01/19) 12/19 at 100.00   AA–   105,886  
  55   Pennsylvania Turnpike Commission, Turnpike Revenue Bonds, Subordinate Lien, Refunding Series 2010B-1, 5.000%, 12/01/37 (Pre-refunded 12/01/19) 12/19 at 100.00   A–   58,237  
  500   Philadelphia Municipal Authority, Pennsylvania, Lease Revenue Bonds, Series 2009, 6.500%, 4/01/34 (Pre-refunded 4/01/19) 4/19 at 100.00   A+   526,635  
  100   West Shore Area Authority, Cumberland County, Pennsylvania, Hospital Revenue Bonds, Holy Spirit Hospital of the Sisters of Christian Charity Project, Series 2011, 6.250%, 1/01/31 (Pre-refunded 1/01/21) 1/21 at 100.00   AA   112,460  
  100   Wilkes-Barre Finance Authority, Pennsylvania, Revenue Bonds, University of Scranton, Series 2010, 5.000%, 11/01/40 (Pre-refunded 11/01/20) 11/20 at 100.00   A–   108,885  
  3,230   Total U.S. Guaranteed         3,488,335  
      Utilities – 4.1% (4.0% of Total Investments)            
  140   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Bonds, FirstEnergy Nuclear Generation Project, Refunding Series 2005A, 4.000%, 1/01/35 (Mandatory put 7/01/21) No Opt. Call   C   47,600  
  250   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generation Project, Series 2006B, 3.500%, 12/01/35 (Mandatory put 6/01/20) No Opt. Call   C   85,000  
  10   Beaver County Industrial Development Authority, Pennsylvania, Pollution Control Revenue Refunding Bonds, FirstEnergy Nuclear Generation Project, Series 2008A, 2.700%, 4/01/35 (Mandatory put 4/01/18) No Opt. Call   C   3,400  
  170   Delaware County Industrial Development Authority, Pennsylvania, Revenue Bonds, Covanta Project, Refunding Series 2015A, 5.000%, 7/01/43 7/20 at 100.00   BB–   170,879  
  55   Pennsylvania Economic Development Financing Authority, Exempt Facilities Revenue Bonds, Shippingport Project, First Energy Guarantor., Series 2006A, 2.550%, 11/01/41 (Mandatory put 12/03/18) 12/18 at 100.00   C   18,700  
  100   Pennsylvania Economic Development Financing Authority, Exempt Facilities Revenue Refunding Bonds, PPL Energy Supply, LLC Project, Series 2009A, 6.400%, 12/01/38 9/25 at 100.00   B+   101,904  
  150   Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General Ordinance, Fifteenth Series 2017, 5.000%, 8/01/47 8/27 at 100.00   A   167,271  
  125   Philadelphia Gas Works, Pennsylvania, Revenue Bonds, Refunding Thirteenth Series 2015, 5.000%, 8/01/30 8/25 at 100.00   A   141,860  
  1,000   Total Utilities         736,614  

 

57

 

NPN Nuveen Pennsylvania Municipal Value Fund
  Portfolio of Investments (continued)
  February 28, 2018

 

  Principal     Optional Call          
  Amount (000)   Description (1) Provisions (2)   Ratings (3)   Value  
      Water and Sewer – 2.9% (2.9% of Total Investments)            
$ 175   Bucks County Water and Sewer Authority, Pennsylvania, Revenue Bonds, Tender Option Bond Trust 2015-XF0123, 11.353%, 12/01/33 – AGM Insured, 144A (IF) (4) 12/21 at 100.00   AA $ 235,599  
  200   Lehigh County Authority, Pennsylvania, Water and Sewer Revenue Bonds, Allentown Concession, Series 2013A, 5.125%, 12/01/47 12/23 at 100.00   A   221,494  
  60   Robinson Township Municipal Authority, Allegheny County, Pennsylvania, Water and Sewer Revenue Bonds, Series 2014, 4.000%, 5/15/40 – BAM Insured 11/19 at 100.00   AA   58,529  
  5   Robinson Township Municipal Authority, Allegheny County, Pennsylvania, Water and Sewer Revenue Bonds, Series 2017, 3.375%, 5/15/32 – AGM Insured 5/26 at 100.00   AA   5,059  
  440   Total Water and Sewer         520,681  
$ 17,446   Total Long-Term Investments (cost $17,683,695)         18,164,914  
      Floating Rate Obligations – (1.7)%         (300,000 ) 
      Other Assets Less Liabilities – 1.1%         201,416  
      Net Assets Applicable to Common Shares – 100%       $ 18,066,330  

 

(1) All percentages shown in the Portfolio of Investments are based on net assets applicable to common shares unless otherwise noted.
(2) Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns. Optional Call Provisions are not covered by the report of independent registered public accounting firm.
(3) For financial reporting purposes, the ratings disclosed are the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. This treatment of split-rated securities may differ from that used for other purposes, such as for Fund investment policies. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies. Ratings are not covered by the report of independent registered public accounting firm.
(4) Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5) Step-up coupon bond, a bond with a coupon that increases (steps up), usually at regular intervals, while the bond is outstanding. The rate shown is the coupon as of the end of the reporting period.
(6) Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest.
144A Investment is exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These investments may only be resold in transactions exempt from registration, which are normally those transactions with qualified institutional buyers.
IF Inverse floating rate security issued by a tender option bond (“TOB”) trust, the interest rate on which varies inversely with the Securities Industry Financial Markets Association (SIFMA) short-term rate, which resets weekly, or a similar short-term rate, and is reduced by the expenses related to the TOB trust.
UB Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities for more information.
WI/DD Investment, or portion of investment, purchased on a when-issued or delayed delivery basis.

See accompanying notes to financial statements.

58

Statement of Assets and Liabilities

February 28, 2018

                           
      NXJ     NJV     NQP     NPN  
Assets                          
Long-term investments, at value (cost $915,423,409, $23,631,392, $875,655,557 and $17,683,695, respectively)   $ 965,240,218   $ 24,825,317   $ 896,314,384   $ 18,164,914  
Cash     685,130     1,696     318,608     55,756  
Unrealized appreciation on interest rate swaps             968,985      
Receivable for:                          
Interest     10,049,952     303,272     10,593,826     242,462  
Investments sold     1,951,627         12,896,248     278,299  
Other assets     139,791     265     130,429     234  
Total assets     978,066,718     25,130,550     921,222,480     18,741,665  
Liabilities                          
Floating rate obligations     9,005,000     1,500,000     47,825,000     300,000  
Payable for:                          
Dividends     2,173,565     71,633     1,809,914     54,137  
Interest             131,310      
Investments purchased             11,804,356     275,920  
Variable Rate MuniFund Term Preferred (“VMTP”) Shares, net of deferred offering costs (liquidation preference $—, $—, $87,000,000 and $—, respectively)             86,988,948      
Variable Rate Demand Preferred (“VRDP”) Shares, net of deferred offering costs (liquidation preference $313,900,000, $—, $217,500,000 and $—, respectively)     312,379,779         216,647,855      
Accrued expenses:                          
Management fees     450,505     11,206     399,306     8,142  
Trustees fees     142,145     261     135,011     201  
Other     231,709     37,244     386,457     36,935  
Total liabilities     324,382,703     1,620,344     366,128,157     675,335  
Net assets applicable to common shares   $ 653,684,015   $ 23,510,206   $ 555,094,323   $ 18,066,330  
Common shares outstanding     42,535,079     1,551,357     37,739,341     1,222,474  
Net asset value (“NAV”) per common share outstanding   $ 15.37   $ 15.15   $ 14.71   $ 14.78  
Net assets applicable to common shares consist of:                          
Common shares, $0.01 par value per share   $ 425,351   $ 15,514   $ 377,393   $ 12,225  
Paid-in surplus     605,586,479     22,165,394     533,192,255     17,487,951  
Undistributed (Over-distribution of) net investment income     1,465,610     48,099     (947,591 )   5,626  
Accumulated net realized gain (loss)     (3,610,234 )   87,274     844,454     79,309  
Net unrealized appreciation (depreciation)     49,816,809     1,193,925     21,627,812     481,219  
Net assets applicable to common shares   $ 653,684,015   $ 23,510,206   $ 555,094,323   $ 18,066,330  
Authorized shares:                          
Common     Unlimited     Unlimited     Unlimited     Unlimited  
Preferred     Unlimited     N/A     Unlimited     N/A  

N/A — Fund is not authorized to issue Preferred Shares.

See accompanying notes to financial statements.

59

Statement of Operations

Year Ended February 28, 2018

                           
      NXJ     NJV     NQP     NPN  
Investment Income   $ 42,187,872   $ 1,132,130   $ 37,679,392   $ 860,401  
Expenses                          
Management fees     5,906,137     150,043     5,280,123     108,906  
Interest expense and amortization of offering costs     5,317,766     22,348     6,019,127     4,500  
Custodian fees     105,410     13,775     102,892     14,309  
Trustees fees     30,972     765     27,766     585  
Professional fees     137,271     26,908     30,742     26,838  
Shareholder reporting expenses     62,484     11,391     66,026     10,314  
Shareholder servicing agent fees     27,510     190     47,309     134  
Stock exchange listing fees     11,900     9,695     10,552     7,630  
Investor relations expenses     62,156     3,118     58,143     2,715  
Other     219,230     12,664     68,264     13,125  
Total expenses     11,880,836     250,897     11,710,944     189,056  
Net investment income (loss)     30,307,036     881,233     25,968,448     671,345  
Realized and Unrealized Gain (Loss)                          
Net realized gain (loss) from:                          
Investments     (348,769 )   145,010     953,724     159,795  
Swaps     1,369,000         1,066,000      
Change in net unrealized appreciation (depreciation) of:                          
Investments     6,872,993     (214,984 )   (4,563,430 )   (351,563 )
Swaps     (1,720,413 )       (362,007 )    
Net realized and unrealized gain (loss)     6,172,811     (69,974 )   (2,905,713 )   (191,768 )
Net increase (decrease) in net assets applicable to common shares from operations     36,479,847     811,259     23,062,735     479,577  

See accompanying notes to financial statements.

60

 

Statement of Changes in Net Assets

 

    NXJ   NJV  
      Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
    Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
 
Operations                                      
Net investment income (loss)   $ 30,307,036   $ 25,588,309   $ 33,872,344   $ 881,233   $ 753,676   $ 969,943  
Net realized gain (loss) from:                                      
Investments     (348,769 )   1,504,348     1,086,377     145,010     678,205     63,034  
Swaps     1,369,000     (2,275,000 )                
Change in net unrealized appreciation (depreciation) of:                                      
Investments     6,872,993     (43,919,021 )   29,494,099     (214,984 )   (1,571,732 )   96,605  
Swaps     (1,720,413 )   4,537,380     (2,816,967 )            
Net increase (decrease) in net assets applicable to common shares from operations     36,479,847     (14,563,984 )   61,635,853     811,259     (139,851 )   1,129,582  
Distributions to Common Shareholders                                      
From net investment income     (29,752,332 )   (26,781,505 )   (34,887,468 )   (895,598 )   (799,685 )   (938,856 )
From accumulated net realized gains             (344,985 )   (546,388 )   (237,527 )   (323,803 )
Decrease in net assets applicable to common shares from distributions to common shareholders     (29,752,332 )   (26,781,505 )   (35,232,453 )   (1,441,986 )   (1,037,212 )   (1,262,659 )
Capital Share Transactions                                      
Common shares:                                      
Cost of shares repurchased and retired     (669,274 )       (6,101,727 )            
Net proceeds from shares issued to shareholders due to reinvestment of distributions                 2,200     18,824      
Net increase (decrease) in net assets applicable to common shares from capital share transactions     (669,274 )       (6,101,727 )   2,200     18,824      
Net increase (decrease) in net assets applicable to common shares     6,058,241     (41,345,489 )   20,301,673     (628,527 )   (1,158,239 )   (133,077 )
Net assets applicable to common shares at the beginning of period     647,625,774     688,971,263     668,669,590     24,138,733     25,296,972     25,430,049  
Net assets applicable to common shares at the end of period   $ 653,684,015   $ 647,625,774   $ 688,971,263   $ 23,510,206   $ 24,138,733   $ 25,296,972  
Undistributed (Over-distribution of) net investment income at the end of period   $ 1,465,610   $ 777,822   $ 1,655,681   $ 48,099   $ 62,468   $ 109,501  

See accompanying notes to financial statements.

61

Statement of Changes in Net Assets (continued)

 

    NQP   NPN  
      Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
    Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
 
Operations                                      
Net investment income (loss)   $ 25,968,448   $ 22,503,153   $ 30,318,912   $ 671,345   $ 622,740   $ 827,936  
Net realized gain (loss) from:                                      
Investments     953,724     1,796,704     1,035,292     159,795     461,016     334,215  
Swaps     1,066,000                      
Change in net unrealized appreciation (depreciation) of:                                      
Investments     (4,563,430 )   (50,059,876 )   16,309,552     (351,563 )   (1,349,575 )   (226,671 )
Swaps     (362,007 )   1,330,992                  
Net increase (decrease) in net assets applicable to common shares from operations     23,062,735     (24,429,027 )   47,663,756     479,577     (265,819 )   935,480  
Distributions to Common Shareholders                                      
From net investment income     (26,080,218 )   (23,275,600 )   (31,373,686 )   (711,822 )   (783,355 )   (769,533 )
From accumulated net realized gains     (64,183 )   (1,162,849 )       (235,044 )   (585,077 )    
Decrease in net assets applicable to common shares from distributions to common shareholders     (26,144,401 )   (24,438,449 )   (31,373,686 )   (946,866 )   (1,368,432 )   (769,533 )
Capital Share Transactions                                      
Common shares:                                      
Cost of shares repurchased and retired     (196,781 )       (1,589,406 )            
Net proceeds from shares issued to shareholders due to reinvestment of distributions                 16,262     33,532      
Net increase (decrease) in net assets applicable to common shares from capital share transactions     (196,781 )       (1,589,406 )   16,262     33,532      
Net increase (decrease) in net assets applicable to common shares     (3,278,447 )   (48,867,476 )   14,700,664     (451,027 )   (1,600,719 )   165,947  
Net assets applicable to common shares at the beginning of period     558,372,770     607,240,246     592,539,582     18,517,357     20,118,076     19,952,129  
Net assets applicable to common shares at the end of period   $ 555,094,323   $ 558,372,770   $ 607,240,246   $ 18,066,330   $ 18,517,357   $ 20,118,076  
Undistributed (Over-distribution of) net investment income at the end of period   $ (947,591 ) $ (964,777 ) $ (412,865 ) $ 5,626   $ 46,103   $ 210,729  

See accompanying notes to financial statements.

62

Statement of Cash Flows

Year Ended February 28, 2018

               
      NXJ     NQP  
Cash Flows from Operating Activities:              
Net Increase (Decrease) In Net Assets Applicable to Common Shares from Operations   $ 36,479,847   $ 23,062,735  
Adjustments to reconcile the net increase (decrease) in net assets applicable to common shares from operations to net cash provided by (used in) operating activities:              
Purchases of investments     (118,706,077 )   (130,656,903 )
Proceeds from sales and maturities of investments     110,699,750     112,657,345  
Taxes paid     (1,563 )   (715 )
Amortization (Accretion) of premiums and discounts, net     1,001,686     2,608,879  
Amortization of deferred offering costs     60,283     41,730  
(Increase) Decrease in:              
Receivable for interest     54,718     7,890  
Receivable for investments sold     10,975,264     583,222  
Other assets     (14,293 )   (13,563 )
Increase (Decrease) in:              
Payable for interest         25,980  
Payable for investments purchased     (16,919,223 )   11,763,562  
Payable for offering costs     (251,996 )   (23,451 )
Accrued management fees     6,524     (640 )
Accrued Trustees fees     18,415     16,805  
Accrued other expenses     161,708     (49,439 )
Net realized (gain) loss from investments     348,769     (953,724 )
Change in net unrealized (appreciation) depreciation of:              
Investments     (6,872,993 )   4,563,430  
Swaps     1,720,413     362,007  
Net cash provided by (used in) operating activities     18,761,232     23,995,150  
Cash Flows from Financing Activities              
Increase (Decrease) in Floating rate obligations     9,005,000     (1,470,000 )
Cash distribution paid to common shareholders     (29,922,331 )   (26,339,634 )
Cost of shares repurchased and retired     (669,274 )   (196,781 )
Net cash provided by (used in) financing activities     (21,586,605 )   (28,006,415 )
Net Increase (Decrease) in Cash     (2,825,373 )   (4,011,265 )
Cash at beginning of period     3,510,503     4,329,873  
Cash at end of period   $ 685,130   $ 318,608  
               
Supplemental Disclosure of Cash Flow Information     NXJ     NQP  
Cash paid for interest (excluding amortization of offering costs)   $ 5,265,283   $ 5,962,668  

See accompanying notes to financial statements.

63

Financial Highlights

Selected data for a common share outstanding throughout each period:

 

          Investment Operations   Less Distributions to
Common Shareholders
  Common Share  
    Beginning
Common
Share
NAV
  Net
Investment
Income
(Loss
) Net
Realized/
Unrealized
Gain (Loss
) Total   From
Net
Investment
Income
  From
Accumulated
Net
Realized
Gains
  Total   Discount
Per
Share
Repurchased
and Retired
  Ending
NAV
  Ending
Share
Price
 
NXJ                                                              
Year Ended 2/28-2/29:                                            
2018   $ 15.21   $ 0.71   $ 0.15   $ 0.86   $ (0.70 ) $   $ (0.70 ) $ $ 15.37   $ 13.10  
2017(e)     16.18     0.60     (0.94 )   (0.34 )   (0.63 )       (0.63 )       15.21     13.42  
Year Ended 4/30:                                                  
2016     15.53     0.79     0.66     1.45     (0.82 )   (0.01 )   (0.83 )   0.03     16.18     14.66  
2015     15.28     0.67     0.34     1.01     (0.77 )       (0.77 )   0.01     15.53     13.58  
2014     16.12     0.71     (0.87 )   (0.16 )   (0.68 )       (0.68 )     15.28     13.64  
2013     15.31     0.63     0.93     1.56     (0.75 )       (0.75 )       16.12     14.94  
                                                               
NJV                                                              
Year Ended 2/28-2/29:                                            
2018     15.56     0.57     (0.05 )   0.52     (0.58 )   (0.35 )   (0.93 )       15.15     13.55  
2017(e)     16.32     0.49     (0.58 )   (0.09 )   (0.52 )   (0.15 )   (0.67 )       15.56     15.61  
Year Ended 4/30:                                            
2016     16.41     0.62     0.11     0.73     (0.61 )   (0.21 )   (0.82 )       16.32     15.16  
2015     16.15     0.62     0.43     1.05     (0.63 )   (0.18 )   (0.81 )   0.02     16.41     14.75  
2014     16.98     0.65     (0.66 )   (0.01 )   (0.63 )   (0.19 )   (0.82 )       16.15     14.48  
2013     16.62     0.67     0.61     1.28     (0.67 )   (0.25 )   (0.92 )       16.98     16.02  

 

(a) Total Return Based on Common Share NAV is the combination of changes in common share NAV, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending NAV. The actual reinvest price for the last dividend declared in the period may often be based on the Fund’s market price (and not its NAV), and therefore may be different from the price used in the calculation. Total returns are not annualized.
   
  Total Return Based on Common Share Price 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.

 

64

 

 

            Common Share Supplemental Data/
Ratios Applicable to Common Shares
Common Share
Total Returns
      Ratios to Average Net Assets(b)        
                                 
Based
on
NAV
(a)   Based
on
Share
Price
(a)   Ending
Net
Assets
(000
)   Expenses (c)   Net
Investment
Income (Loss)
    Portfolio
Turnover
Rate
(d)
                                 
                                 
5.66 %   2.74 % $ 653,684     1.78 %   4.55 %   11 %
(2.20 )   (4.35 )   647,626     1.76 **   4.54 **   12  
9.85     14.79     688,971     1.56     5.12     14  
6.77     5.35     668,670     1.71     4.64     14  
(0.71 )   (3.78 )   100,181     2.07     4.83     6  
10.29     5.04     105,892     2.37     3.91     17  
                                 
                                 
3.31     (7.48 )   23,510     1.03     3.63     16  
(0.57 )   7.39     24,139     0.96 **   3.62 **   14  
4.57     8.70     25,297     0.89     3.87     8  
6.68     7.62     25,430     0.87     3.75     13  
0.25     (4.18 )   25,272     0.88     4.12     12  
7.86     3.58     26,574     0.83     3.95     7  

 

(b) Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to preferred shares issued by the Fund, where applicable.
(c) The expense ratios reflect, among other things, all interest expense and other costs related to preferred shares (as described in Note 4 – Fund Shares, Preferred Shares) and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund (as described in Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities), where applicable, as follows:

 

NXJ        
Year Ended 2/28-2/29:        
2018     0.80 %
2017(e)     0.79 **
Year Ended 4/30:        
2016     0.57  
2015     0.60  
2014     0.98  
2013     1.27  

 

NJV        
Year Ended 2/28-2/29:        
2018     0.09 %
2017(e)     0.07 **
Year Ended 4/30:        
2016     0.04  
2015     0.04  
2014     0.04  
2013     0.04  

 

(d) Portfolio Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period.
(e) For the ten months ended February 28, 2017.
* Rounds to less than $0.01 per share.
** Annualized.

See accompanying notes to financial statements.

65

Financial Highlights (continued)

Selected data for a common share outstanding throughout each period:

 

          Investment Operations   Less Distributions to
Common Shareholders
  Common Share  
    Beginning
Common
Share
NAV
  Net
Investment
Income
(Loss
)  Net
Realized/
Unrealized
Gain (Loss
)  Total   From
Net
Investment
Income
  From
Accumulated
Net
Realized
Gains
  Total   Discount
Per
Share
Repurchased
and Retired
  Ending
NAV
  Ending
Share
Price
 
NQP                                                              
Year Ended 2/28-2/29:                                            
2018   $ 14.79   $ 0.69   $ (0.08 ) $ 0.61   $ (0.69 ) $ *** $ (0.69 ) $ * $ 14.71   $ 12.52  
2017(e)     16.08     0.60     (1.24 )   (0.64 )   (0.62 )   (0.03 )   (0.65 )       14.79     13.30  
Year Ended 4/30:                                            
2016     15.64     0.80     0.46     1.26     (0.83 )       (0.83 )   0.01     16.08     14.91  
2015     15.17     0.81     0.50     1.31     (0.84 )       (0.84 )   *   15.64     13.87  
2014     16.21     0.74     (0.93 )   (0.19 )   (0.85 )       (0.85 )   *   15.17     13.76  
2013     15.78     0.80     0.54     1.34     (0.91 )       (0.91 )       16.21     15.24  
                                                               
NPN                                                              
Year Ended 2/28-2/29:                                                  
2018     15.16     0.55     (0.16 )   0.39     (0.58 )   (0.19 )   (0.77 )       14.78     15.15  
2017(e)     16.50     0.51     (0.73 )   (0.22 )   (0.64 )   (0.48 )   (1.12 )       15.16     15.83  
Year Ended 4/30:                                                  
2016     16.36     0.68     0.09     0.77     (0.63 )       (0.63 )       16.50     16.45  
2015     15.91     0.67     0.41     1.08     (0.63 )       (0.63 )       16.36     15.57  
2014     16.48     0.67     (0.56 )   0.11     (0.64 )   (0.04 )   (0.68 )       15.91     14.45  
2013     16.36     0.68     0.38     1.06     (0.64 )   (0.30 )   (0.94 )       16.48     15.86  

 

(a) Total Return Based on Common Share NAV is the combination of changes in common share NAV, reinvested dividend income at NAV and reinvested capital gains distributions at NAV, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending NAV. The actual reinvest price for the last dividend declared in the period may often be based on the Fund’s market price (and not its NAV), and therefore may be different from the price used in the calculation. Total returns are not annualized.
   
  Total Return Based on Common Share Price 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. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.

 

66

 

            Common Share Supplemental Data/
Ratios Applicable to Common Shares
 
Common Share
Total Returns
        Ratios to Average Net Assets(b)        
                                 
Based
on
NAV
(a)   Based
on
Share
Price
(a)   Ending
Net
Assets
(000
)   Expenses (c)   Net
Investment
Income (Loss
)   Portfolio
Turnover
Rate
(d)
                                 
                                 
4.12 %   (0.85 )% $ 555,094     2.05 %   4.56 %   12 %
(4.19 )   (6.66 )   558,373     1.87 **   4.57 **   16  
8.46     14.21     607,240     1.51     5.13     16  
8.79     7.09     592,540     1.60     5.21     9  
(0.69 )   (3.65 )   574,558     1.87     5.33     8  
8.50     2.97     261,195     1.80     4.98     17  
                                 
                                 
2.58     0.68     18,066     1.02     3.61     28  
(1.33 )   3.08     18,517     0.93 **   3.80 **   23  
4.82     10.09     20,118     0.85     4.17     14  
6.87     12.30     19,952     0.85     4.11     5  
0.80     (4.45 )   19,401     0.85     4.28     6  
6.58     9.39     20,089     0.81     4.11     7  

 

(b) Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to preferred shares issued by the Fund, where applicable.
(c) The expense ratios reflect, among other things, all interest expense and other costs related to preferred shares (as described in Note 4 – Fund Shares, Preferred Shares) and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund (as described in Note 3 – Portfolio Securities and Investments in Derivatives, Inverse Floating Rate Securities), where applicable, as follows:

 

NQP        
Year Ended 2/28-2/29:        
2018     1.06 %
2017(e)     0.89 **
Year Ended 4/30:        
2016     0.56  
2015     0.60  
2014     0.68  
2013     0.72  

 

NPN        
Year Ended 2/28-2/29:        
2018     0.02 %
2017(e)     0.01 **
Year Ended 4/30:        
2016      
2015      
2014      
2013      

 

(d) Portfolio Turnover Rate is calculated based on the lesser of long-term purchases or sales (as disclosed in Note 5 – Investment Transactions) divided by the average long-term market value during the period.
(e) For the ten months ended February 28, 2017.
* Rounds to less than $0.01 per share.
** Annualized.
*** Rounds to less than $(0.01) per share.

See accompanying notes to financial statements.

67

Financial Highlights (continued)

 

                                             
    MTP Shares
at the End of Period (a)
  VMTP Shares
at the End of Period
  VRDP Shares
at the End of Period
  MTP, VMTP and/or
VRDP Shares at
the End of Period
      Aggregate
Amount
Outstanding
(000
)   Asset
Coverage
Per $10
Share
    Aggregate
Amount
Outstanding
(000
)   Asset
Coverage
Per $100,000
Share
    Aggregate
Amount
Outstanding
(000
)   Asset
Coverage
Per $100,000
Share
    Asset
Coverage
Per $1
Liquidation
Preference
 
NXJ                                            
Year Ended 2/28-2/29:                                            
2018   $   $   $   $   $ 313,900   $ 308,246   $  
2017(b)                     313,900     306,316      
Year Ended 4/30:                                            
2016                     313,900     319,488      
2015                     313,900     313,020      
2014                     45,000     322,624      
2013     44,861     33.60                      
                                             
NQP                                            
Year Ended 2/28-2/29:                                            
2018             87,000     282,297     217,500     282,297     2.82  
2017(b)             87,000     283,374     217,500     283,374     2.83  
Year Ended 4/30:                                            
2016             48,000     328,716     217,500     328,716     3.29  
2015             48,000     323,179     217,500     323,179     3.23  
2014     47,740     31.66             217,500     316,618     3.17  
2013                     112,500     332,174      

 

(a) The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:

 

      2015     2014     2013  
NXJ                    
Series 2014 (NXJ PRCCL)                    
Ending Market Value per Share   $   $   $ 10.02  
Average Market Value per Share         10.03 ^   10.09  
Series 2015 (NXJ PRCCL)                    
Ending Market Value per Share                  
Average Market Value per Share     10.01 ^^            
                     
NQP                    
Series 2015 (NQP PRCCL)                    
Ending Market Value per Share         10.05        
Average Market Value per Share     10.01 ΩΩ   10.03 Ω      
Series 2015 (NQP PRDCL)                    
Ending Market Value per Share         10.04        
Average Market Value per Share     10.02 ΩΩ   10.03 Ω      

 

(b) For the ten months ended February 28, 2017.
^ For the period May 1, 2013 through September 9, 2013.
^^ For the period November 10, 2014 (effective date of the reorganizations) through February 9, 2015.
Ω For the period February 11, 2014 (effective date of the reorganizations) through April 30, 2014.
ΩΩ For the period May 1, 2014 through May 30, 2014.

See accompanying notes to financial statements.

68

Notes to Financial Statements

1. General Information and Significant Accounting Policies

General Information

Fund Information
The funds covered in this report and their corresponding New York Stock Exchange (“NYSE”) symbols are as follows (each a “Fund” and collectively, the “Funds”):

 

  Nuveen New Jersey Quality Municipal Income Fund (NXJ)
  Nuveen New Jersey Municipal Value Fund (NJV)
  Nuveen Pennsylvania Quality Municipal Income Fund (NQP)
  Nuveen Pennsylvania Municipal Value Fund (NPN)

The Funds are registered under the Investment Company Act of 1940, as amended, as diversified (non-diversified for NJV) closed-end management investment companies. Common shares of NJV and NPN were formerly traded on the NYSE American. NXJ, NJV, NQP and NPN were organized as Massachusetts business trusts on June 1, 1999, January 26, 2009, December 20, 1990 and January 26, 2009, respectively.

The end of the reporting period for the Funds is February 28, 2018, and the period covered by these Notes to Financial is the fiscal year ended February 28, 2018 (the “current fiscal period”).

Investment Adviser
The Funds’ investment adviser is Nuveen Fund Advisors, LLC (the “Adviser”), a subsidiary of Nuveen, LLC (“Nuveen”). Nuveen is the investment management arm of Teachers Insurance and Annuity Association of America (TIAA). The Adviser has overall responsibility for management of the Funds, oversees the management of the Funds’ portfolios, manages the Funds’ business affairs and provides certain clerical, bookkeeping and other administrative services, and if necessary asset allocation decisions. The Adviser has entered into sub-advisory agreements with Nuveen Asset Management, LLC (the “Sub-Adviser”), a subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds.

Investment Objectives and Principal Investment Strategies
Each Fund seeks to provide current income exempt from both regular federal and designated state income taxes by investing primarily in a portfolio of municipal obligations issued by state and local government authorities within a single state or certain U.S. territories.

Significant Accounting Policies
Each Fund is an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (ASC) Topic 946, “Financial Services – Investment Companies.” 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 (“U.S. GAAP”).

Investment Transactions
Investment transactions are recorded on a trade date basis. Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have earmarked securities in their portfolios with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments.

As of the end of the reporting period, the following Funds’ outstanding when-issued/delayed delivery purchase commitments were as follows:

               
      NQP     NPN  
Outstanding when-issued/delayed delivery purchase commitments   $ 842,243   $ 15,314  

Investment Income
Investment income is comprised of interest income, which reflects the amortization of premiums and accretion of discounts for financial reporting purposes, and is recorded on an accrual basis. Investment income also reflects payment-in-kind (“PIK”) interest and paydown gains and losses, if any. PIK interest represents income received in the form of securities in lieu of cash.

69

Notes to Financial Statements (continued)

Professional Fees
Professional fees presented on the Statement of Operations consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment or to pursue other claims or legal actions on behalf of Fund shareholders. If a refund is received for workout expenditures paid in a prior reporting period, such amounts will be recognized as “Legal fee refund” on the Statement of Operations.

Dividends and Distributions to Common Shareholders
Dividends from net investment income, if any, are declared monthly. Net realized capital gains and/or market discount from investment transactions, if any, are distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards.

Distributions to common shareholders of 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. GAAP.

Compensation
The Funds pay no compensation directly to those of its trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Funds’ Board of Trustees (the “Board”) 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.

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.

Netting Agreements
In the ordinary course of business, the Funds may enter into transactions subject to enforceable International Swaps and Derivative Association, Inc. (ISDA) master agreements or other similar arrangements (“netting agreements”). Generally, the right to offset in netting agreements allows each Fund to offset certain securities and derivatives with a specific counterparty, when applicable, as well as any collateral received or delivered to that counterparty based on the terms of the agreements. Generally, each Fund manages its cash collateral and securities collateral on a counterparty basis.

The Funds’ investments subject to netting agreements as of the end of the reporting period, if any, are further described in Note 3 – Portfolio Securities and Investments in Derivatives.

Use of Estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets applicable to common shares from operations during the current fiscal period. Actual results may differ from those estimates.

2. Investment Valuation and Fair Value Measurements
The fair valuation input levels as described below are for fair value measurement purposes.

Fair value is defined as the price that would be received upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The following is a summary of the three-tiered hierarchy of valuation input levels.

 

  Level 1 – Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
  Level 2 – Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
  Level 3 – Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).
70

Prices of fixed income securities are provided by an independent pricing service (“pricing service”) approved by the Board. The pricing service establishes a security’s fair value using methods that may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics considered relevant. These securities are generally classified as Level 2. In pricing certain securities, particularly less liquid and lower quality securities, the pricing service may consider information about a security, its issuer or market activity, provided by the Adviser. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs.

Prices of swap contracts are also provided by a pricing service approved by the Board using the same methods as described above and are generally classified as Level 2.

Certain securities may not be able to be priced by the pre-established pricing methods as described above. Such securities may be valued by the Board and/or its appointee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be publicly sold without registration under the Securities Act of 1933, as amended) for which a pricing service is unable to provide a market price; securities whose trading has been formally suspended; debt securities that have gone into default and for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially affect the value of the security after the market has closed but before the calculation of a Fund’s net asset value (“NAV”) (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable market quotation; and a security whose price, as provided by the pricing service, is not deemed to reflect the security’s fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might reasonably expect to receive for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics considered relevant. These securities are generally classified as Level 2 or Level 3 depending on the observability of the significant inputs. Regardless of the method employed to value a particular security, all valuations are subject to review by the Board and/or its appointee.

The inputs or methodologies used for valuing securities are not an indication of the risks associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:

 

                           
NXJ     Level 1     Level 2     Level 3     Total  
Long-Term Investments*:                          
Municipal Bonds   $   $ 965,240,218   $   $ 965,240,218  
NJV                          
Long-Term Investments*:                          
Municipal Bonds   $   $ 24,825,317   $   $ 24,825,317  
NQP                          
Long-Term Investments*:                          
Municipal Bonds   $   $ 896,314,384   $   $ 896,314,384  
Investments in Derivatives:                          
Interest Rate Swaps**         968,985         968,985  
Total   $   $ 897,283,369   $   $ 897,283,369  
NPN                          
Long-Term Investments*:                          
Municipal Bonds   $   $ 18,164,914   $   $ 18,164,914  

 

* Refer to the Fund’s Portfolio of Investments for industry classifications.
** Represents net unrealized appreciation (depreciation) as reported in the Fund’s Portfolio of Investments.

The Board is responsible for the valuation process and has appointed the oversight of the daily valuation process to the Adviser’s Valuation Committee. The Valuation Committee, pursuant to the valuation policies and procedures adopted by the Board, is responsible for making fair value determinations, evaluating the effectiveness of the Funds’ pricing policies and reporting to the Board. The Valuation Committee is aided in its efforts by the Adviser’s dedicated Securities Valuation Team, which is responsible for administering the daily valuation process and applying fair value methodologies as approved by the Valuation Committee. When determining the reliability of independent pricing services for investments owned by the Funds, the Valuation Committee, among other things, conducts due diligence reviews of the pricing services and monitors the quality of security prices received through various testing reports conducted by the Securities Valuation Team.

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Notes to Financial Statements (continued)

The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making a fair value determination, based on the facts and circumstances specific to the portfolio instrument. Fair value determinations generally will be derived as follows, using public or private market information:

 

(i)   If available, fair value determinations shall be derived by extrapolating from recent transactions or quoted prices for identical or comparable securities.
     
(ii)   If such information is not available, an analytical valuation methodology may be used based on other available information including, but not limited to: analyst appraisals, research reports, corporate action information, issuer financial statements and shelf registration statements. Such analytical valuation methodologies may include, but are not limited to: multiple of earnings, discount from market value of a similar freely-traded security, discounted cash flow analysis, book value or a multiple thereof, risk premium/yield analysis, yield to maturity and/or fundamental investment analysis.

The purchase price of a portfolio instrument will be used to fair value the instrument only if no other valuation methodology is available or deemed appropriate, and it is determined that the purchase price fairly reflects the instrument’s current value.

For each portfolio security that has been fair valued pursuant to the policies adopted by the Board, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such testing and fair valuation occurrences are reported to the Board.

3. Portfolio Securities and Investments in Derivatives

Portfolio Securities

Inverse Floating Rate Securities
Each Fund is authorized to invest in inverse floating rate securities. An inverse floating rate security is created by depositing a municipal bond (referred to as an “Underlying Bond”), typically with a fixed interest rate, into a special purpose tender option bond (“TOB”) trust (referred to as the “TOB Trust”) created by or at the direction of one or more Funds. In turn, the TOB Trust issues (a) floating rate certificates (referred to as “Floaters”) in face amounts equal to some fraction of the Underlying Bond’s par amount or market value, and (b) an inverse floating rate certificate (referred to as an “Inverse Floater”) that represents all remaining or residual interest in the TOB Trust. Floaters typically pay short-term tax-exempt interest rates to third parties who are also provided a right to tender their certificate and receive its par value, which may be paid from the proceeds of a remarketing of the Floaters, by a loan to the TOB Trust from a third party liquidity provider (“Liquidity Provider”), or by the sale of assets from the TOB Trust. The Inverse Floater is issued to a long term investor, such as one or more of the Funds. The income received by the Inverse Floater holder varies inversely with the short-term rate paid to holders of the Floaters, and in most circumstances the Inverse Floater holder bears substantially all of the Underlying Bond’s downside investment risk and also benefits disproportionately from any potential appreciation of the Underlying Bond’s value. The value of an Inverse Floater will be more volatile than that of the Underlying Bond because the interest rate is dependent on not only the fixed coupon rate of the Underlying Bond but also on the short-term interest paid on the Floaters, and because the Inverse Floater essentially bears the risk of loss (and possible gain) of the greater face value of the Underlying Bond.

The Inverse Floater held by a Fund gives the Fund the right to (a) cause the holders of the Floaters to tender their certificates at par (or slightly more than par in certain circumstances), and (b) have the trustee of the TOB Trust (the “Trustee”) transfer the Underlying Bond held by the TOB Trust to the Fund, thereby collapsing the TOB Trust.

The Fund may acquire an Inverse Floater in a transaction where it (a) transfers an Underlying Bond that it owns to a TOB Trust created by a third party or (b) transfers an Underlying Bond that it owns, or that it has purchased in a secondary market transaction for the purpose of creating an Inverse Floater, to a TOB Trust created at its direction, and in return receives the Inverse Floater of the TOB Trust (referred to as a “self-deposited Inverse Floater”). A Fund may also purchase an Inverse Floater in a secondary market transaction from a third party creator of the TOB Trust without first owning the Underlying Bond (referred to as an “externally-deposited Inverse Floater”).

An investment in a self-deposited Inverse Floater is accounted for as a “financing” transaction (i.e., a secured borrowing). For a self-deposited Inverse Floater, the Underlying Bond deposited into the TOB Trust is identified in the Fund’s Portfolio of Investments as “(UB) – Underlying bond of an inverse floating rate trust reflected as a financing transaction,” with the Fund recognizing as liabilities, labeled “Floating rate obligations” on the Statement of Assets and Liabilities, (a) the liquidation value of Floaters issued by the TOB Trust, and (b) the amount of any borrowings by the TOB Trust from a Liquidity Provider to enable the TOB Trust to purchase outstanding Floaters in lieu of a remarketing. In addition, the Fund recognizes in “Investment Income” the entire earnings of the Underlying Bond, and recognizes (a) the interest paid to the holders of the Floaters or on the TOB Trust’s borrowings, and (b) other expenses related to remarketing, administration, trustee, liquidity and other services to a TOB Trust, as a component of “Interest expense and amortization of offering costs” on the Statement of Operations.

In contrast, an investment in an externally-deposited Inverse Floater is accounted for as a purchase of the Inverse Floater and is identified in the Fund’s Portfolio of Investments as “(IF) – Inverse floating rate investment.” For an externally-deposited Inverse Floater, a Fund’s Statement of Assets and Liabilities recognizes the Inverse Floater and not the Underlying Bond as an asset, and the Fund does not recognize the Floaters, or any related

72

borrowings from a Liquidity Provider, as a liability. Additionally, the Fund reflects in “Investment Income” only the net amount of earnings on the Inverse Floater (net of the interest paid to the holders of the Floaters or the Liquidity Provider as lender, and the expenses of the Trust), and does not show the amount of that interest paid or the expenses of the TOB Trust as described above as interest expense on the Statement of Operations.

Fees paid upon the creation of a TOB Trust for self-deposited Inverse Floaters and externally-deposited Inverse Floaters are recognized as part of the cost basis of the Inverse Floater and are capitalized over the term of the TOB Trust.

As of the end of the reporting period, the aggregate value of Floaters issued by each Fund’s TOB Trust for self-deposited Inverse Floaters and externally-deposited Inverse Floaters was as follows:

                           
Floating Rate Obligations Outstanding     NXJ     NJV     NQP     NPN  
Floating rate obligations: self-deposited Inverse Floaters   $ 9,005,000   $ 1,500,000   $ 47,825,000   $ 300,000  
Floating rate obligations: externally-deposited Inverse Floaters     98,058,000     962,000     26,500,000     540,000  
Total   $ 107,063,000   $ 2,462,000   $ 74,325,000   $ 840,000  

During the current fiscal period, the average amount of Floaters (including any borrowings from a Liquidity Provider) outstanding, and the average annual interest rate and fees related to self-deposited Inverse Floaters, were as follows:

                           
Self-Deposited Inverse Floaters     NXJ     NJV     NQP     NPN  
Average floating rate obligations outstanding   $ 345,397   $ 1,500,000   $ 48,276,068   $ 300,000  
Average annual interest rate and fees     1.61 %   1.49 %   1.47 %   1.50 %

TOB Trusts are supported by a liquidity facility provided by a Liquidity Provider pursuant to which the Liquidity Provider agrees, in the event that Floaters are (a) tendered to the Trustee for remarketing and the remarketing does not occur, or (b) subject to mandatory tender pursuant to the terms of the TOB Trust agreement, to either purchase Floaters or to provide the Trustee with an advance from a loan facility to fund the purchase of Floaters by the TOB Trust. In certain circumstances, the Liquidity Provider may otherwise elect to have the Trustee sell the Underlying Bond to retire the Floaters that were tendered and not remarketed prior to providing such a loan. In these circumstances, the Liquidity Provider remains obligated to provide a loan to the extent that the proceeds of the sale of the Underlying Bond is not sufficient to pay the purchase price of the Floaters.

The size of the commitment under the loan facility for a given TOB Trust is at least equal to the balance of that TOB Trust’s outstanding Floaters plus any accrued interest. In consideration of the loan facility, fee schedules are in place and are charged by the Liquidity Provider(s). Any loans made by the Liquidity Provider will be secured by the purchased Floaters held by the TOB Trust. Interest paid on any outstanding loan balances will be effectively borne by the Fund that owns the Inverse Floaters of the TOB Trust that has incurred the borrowing and may be at a rate that is greater than the rate that would have been paid had the Floaters been successfully remarketed.

As described above, any amounts outstanding under a liquidity facility are recognized as a component of “Floating rate obligations” on the Statement of Assets and Liabilities by the Fund holding the corresponding Inverse Floaters issued by the borrowing TOB Trust. As of the end of the reporting period, there were no loans outstanding under any such facility.

Each Fund may also enter into shortfall and forbearance agreements (sometimes referred to as a “recourse arrangement”) (TOB Trusts involving such agreements are referred to herein as “Recourse Trusts”), under which a Fund agrees to reimburse the Liquidity Provider for the Trust’s Floaters, in certain circumstances, for the amount (if any) by which the liquidation value of the Underlying Bond held by the TOB Trust may fall short of the sum of the liquidation value of the Floaters issued by the TOB Trust plus any amounts borrowed by the TOB Trust from the Liquidity Provider, plus any shortfalls in interest cash flows. Under these agreements, a Fund’s potential exposure to losses related to or on an Inverse Floater may increase beyond the value of the Inverse Floater as a Fund may potentially be liable to fulfill all amounts owed to holders of the Floaters or the Liquidity Provider. Any such shortfall amount in the aggregate is recognized as “Unrealized depreciation on Recourse Trusts” on the Statement of Assets and Liabilities.

As of the end of the reporting period, each Fund’s maximum exposure to the Floaters issued by Recourse Trusts for self-deposited Inverse Floaters and externally-deposited Inverse Floaters was as follows:

                           
Floating Rate Obligations — Recourse Trusts     NXJ     NJV     NQP     NPN  
Maximum exposure to Recourse Trusts: self-deposited Inverse Floaters   $ 9,005,000   $ 1,500,000   $ 32,825,000   $  
Maximum exposure to Recourse Trusts: externally-deposited Inverse Floaters     89,393,000     962,000     11,955,000     400,000  
Total   $ 98,398,000   $ 2,462,000   $ 44,780,000   $ 400,000  
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Notes to Financial Statements (continued)

Zero Coupon Securities
A zero coupon security does not pay a regular interest coupon to its holders during the life of the security. Income to the holder of the security comes from accretion of the difference between the original purchase price of the security at issuance and the par value of the security at maturity and is effectively paid at maturity. The market prices of zero coupon securities generally are more volatile than the market prices of securities that pay interest periodically.

Investments in Derivatives
In addition to the inverse floating rate securities in which each Fund may invest, which are considered portfolio securities for financial reporting purposes, each Fund is authorized to invest in certain derivative investments such as futures, options and swap contracts. Each Fund limits its investments in futures, options on futures and swap contracts to the extent necessary for the Adviser to claim exclusion from registration by the Commodity Futures Trading Commission as a commodity pool operator with respect to the Fund. The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds’ investments in derivatives may represent economic hedges, they are not considered to be hedge transactions for financial reporting purposes.

Interest Rate Swap Contracts
Interest rate swap contracts involve a Fund’s agreement with the counterparty to pay or receive a fixed rate payment in exchange for the counterparty receiving or paying a variable rate payment. Forward interest rate swap contracts involve a Fund’s agreement with a counterparty to pay, in the future, a fixed or variable rate payment in exchange for the counterparty paying the Fund a variable or fixed rate payment, the accruals for which would begin at a specified date in the future (the “effective date”).

The amount of the payment obligation for an interest rate swap is based is based on the notional amount and the termination date of the contract. Interest rate swap contracts do not involve the delivery of securities or other underlying assets or principal. Accordingly, the risk of loss with respect to the swap counterparty on such transactions is limited to the net amount of interest payments that the Fund is to receive.

Interest rate swap contracts are valued daily. Upon entering into an interest rate swap contract (and beginning on the effective date for a forward interest rate swap contract), the Fund accrues the fixed rate payment expected to be paid or received and the variable rate payment expected to be received or paid on the interest rate swap contracts on a daily basis, and recognizes the daily change in the fair value of the Fund’s contractual rights and obligations under the contracts. For an over-the-counter (“OTC”) swap that is not cleared through a clearing house (“OTC Uncleared”), the amount recorded on these transactions is recognized on the Statement of Assets and Liabilities as a component of “Unrealized appreciation or depreciation on interest rate swaps.”

Upon the execution of an OTC swap cleared through a clearing house (“OTC Cleared”), the Fund is obligated to deposit cash or eligible securities, also known as “initial margin,” into an account at its clearing broker equal to a specified percentage of the contract amount. Cash deposited by the Fund to cover initial margin requirements on open swap contracts, if any, is recognized as a component of “Cash collateral at brokers for investments in swaps” on the Statement of Assets and Liabilities. Investments in OTC Cleared swaps obligate the Fund and the clearing broker to settle monies on a daily basis representing changes in the prior day’s “mark-to-market” of the swap contract. If the Fund has unrealized appreciation, the clearing broker will credit the Fund’s account with an amount equal to the appreciation. Conversely, if the Fund has unrealized depreciation, the clearing broker will debit the Fund’s account with an amount equal to the depreciation. These daily cash settlements are also known as “variation margin.” Variation margin for OTC Cleared swaps is recognized as a receivable and/or payable for “Variation margin on swap contracts” on the Statement of Assets and Liabilities. Upon the execution of an OTC Uncleared swap, neither the Fund nor the counterparty is required to deposit initial margin as the trades are recorded bilaterally between both parties to the swap contract, and the terms of the variation margin are subject to a predetermined threshold negotiated by the Fund and the counterparty. Variation margin for OTC Uncleared swaps is recognized as a component of “Unrealized appreciation or depreciation on interest rate swaps” as described in the preceding paragraph.

The net amount of periodic payments settled in cash are recognized as a component of “Net realized gain (loss) from swaps” on the Statement of Operations, in addition to the net realized gain or loss recorded upon the termination of the swap contract. For tax purposes, payments expected to be received or paid on the swap contracts are treated as ordinary income or expense, respectively. Changes in the value of the swap contracts during the fiscal period are recognized as a component of “Change in net unrealized appreciation (depreciation) of swaps” on the Statement of Operations. In certain instances, payments are made or received upon entering into the swap contract to compensate for differences between the stated terms of the swap agreements and prevailing market conditions (credit spreads, currency exchange rates, interest rates, and other relevant factors). Payments received or made at the beginning of the measurement period, if any, are recognized as “Interest rate swaps premiums paid and/or received” on the Statement of Assets and Liabilities.

During the current fiscal period, NXJ and NQP invested in forward interest rate swap contracts, reducing the Fund’s duration and limiting their vulnerability to rising rates.

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The average notional amount of interest rate swap contracts outstanding during the current fiscal period was as follows:

               
      NXJ     NQP  
Average notional amount of interest rate swap contracts outstanding*   $ 15,450,000   $ 37,420,000  

 

* The average notional amount is calculated based on the outstanding notional at the beginning of the current fiscal period and at the end of each fiscal quarter within the current fiscal period.

The following table presents the fair value of all swap contracts held by the Funds as of the end of the reporting period, the location of these instruments on the Statement of Assets and Liabilities and the primary underlying risk exposure.

 

            Location on the Statement of Assets and Liabilities
Underlying     Derivative     Asset Derivatives     (Liability) Derivatives
Risk Exposure     Instrument     Location     Value     Location    

Value 

 
NQP                                
Interest rate     Swaps (OTC Uncleared)     Unrealized appreciation
on interest rate swaps
  $ 968,985       $  

 

The following table presents the swap contracts subject to netting agreements and the collateral delivered related to those swap contracts as of the end of the reporting period.

 

Fund Counterparty     Gross
Unrealized
Appreciation on
Interest
Rate Swaps
*   Gross
Unrealized
(Depreciation)
on Interest
Rate Swaps
*   Net Unrealized
Appreciation
(Depreciation) on
Interest Rate
Swaps
    Collateral
Pledged
to (from)
Counterparty
    Net
Exposure
 
NQP JPMorgan Chase Bank, N.A.   $ 968,985   $   $ 968,985   $ (968,985 ) $  

 

* Represents gross unrealized appreciation (depreciation) for the counterparty as reported in the Fund’s Portfolio of Investments.

The following table presents the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized on swap contracts on the Statement of Operations during the current fiscal period, and the primary underlying risk exposure.

 

Fund     Underlying
Risk Exposure
    Derivative
Instrument
    Net Realized
Gain (Loss) from
Swaps
    Change in Net
Unrealized
Appreciation
(Depreciation) of
Swaps
 
NXJ     Interest rate     Swaps   $ 1,369,000   $ (1,720,413 )
NQP     Interest rate     Swaps   $ 1,066,000   $ (362,007 )

Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap transactions, when applicable. The extent of each Fund’s exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities.

Each Fund helps manage counterparty credit risk by entering into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an unrealized loss, the Funds have instructed the custodian to pledge assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold amount.

75

Notes to Financial Statements (continued)

4. Fund Shares

Common Share Transactions
Transactions in common shares for the Funds during the Funds’ current and prior fiscal periods, where applicable, were as follows:

 

    NXJ   NJV  
      Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
    Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
 
Common shares:                                      
Issued to shareholders due to reinvestments of distributions                 141     1,180      
Repurchased and retired     (49,600 )       (473,600 )            
Weighted average common share:                                      
Price per share repurchased and retired   $ 13.47   $   $ 12.86   $   $   $  
Discount per share repurchased and retired     14.07 %   %   15.38 %   %   %   %

 

 

    NQP   NPN  
      Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
    Year
Ended
2/28/18
    Ten Months
Ended
2/28/17
    Year
Ended
4/30/16
 
Common shares:                                      
Issued to shareholders due to reinvestments of distributions                 1,060     2,062      
Repurchased and retired     (15,500 )       (121,000 )            
Weighted average common share:                                      
Price per share repurchased and retired   $ 12.68   $   $ 13.12   $   $   $  
Discount per share repurchased and retired     14.72 %   %   15.08 %   %   %   %

Preferred Shares

Variable Rate MuniFund Term Preferred Shares
The following Fund has issued and has outstanding Variable Rate MuniFund Term Preferred (“VMTP”) Shares, with a $100,000 liquidation preference per share. VMTP Shares are issued via private placement and are not publicly available.

As of the end of the reporting period, VMTP Shares outstanding, at liquidation preference, for the Fund was as follows:

 

Fund     Series     Shares
Outstanding
    Liquidation
Preference
 
NQP     2019     870   $ 87,000,000  

The Fund is obligated to redeem its VMTP Shares by the date as specified in its offering document (“Term Redemption Date”), unless earlier redeemed by the Fund. VMTP Shares are subject to optional and mandatory redemption in certain circumstances. The VMTP Shares may be redeemed at the option of the Fund, subject to payment of premium for approximately one year following the date of issuance (“Premium Expiration Date”), and at the redemption price per share thereafter. The redemption price per share is equal to the sum of the liquidation preference per share plus any accumulated but unpaid dividends. The Fund may be obligated to redeem a certain amount of the VMTP Shares if the Fund fails to maintain certain asset coverage and leverage ratio requirements and such failures are not cured by the applicable cure date. The Term Redemption Date and Premium Expiration Date for the Fund’s VMTP Shares are as follows:

 

                     
Fund     Series     Term
Redemption Date
    Premium
Expiration Date
 
NQP     2019     September 1, 2019     August 31, 2017  

The average liquidation preference of VMTP Shares outstanding and annualized dividend rate for the Fund during the current fiscal period were as follows:

         
      NQP  
Average liquidation preference of VMTP Shares outstanding   $ 87,000,000  
Annualized dividend rate     1.85 %

VMTP Shares are subject to restrictions on transfer, generally do not trade, and market quotations are generally not available. VMTP Shares are short-term or short/intermediate-term instruments that pay a variable dividend rate tied to a short-term index, plus an additional fixed “spread” amount established at the time of issuance. The fair value of VMTP Shares is expected to be approximately their liquidation preference so long as the fixed “spread” on the VMTP Shares remains roughly in line with the “spread” being demanded by investors on instruments having similar terms in the current market environment. In present market conditions, the Fund’s Adviser has determined that fair value of VMTP Shares is approximately their

76

liquidation preference, but their fair value could vary if market conditions change materially. For financial reporting purposes, the liquidation preference of VMTP Shares is a liability and is recognized as a component of “Variable Rate MuniFund Term Preferred (“VMTP”) Shares, net of deferred offering costs” on the Statement of Assets and Liabilities.

Dividends on the VMTP shares (which are treated as interest payments for financial reporting purposes) are set weekly. Unpaid dividends on VMTP Shares are recognized as a component of “Interest payable” on the Statement of Assets and Liabilities. Dividends accrued on VMTP Shares are recognized as a component of “Interest expense and amortization of offering costs” on the Statement of Operations.

Costs incurred in connection with the Fund’s initial offering of VMTP Shares were recorded as a deferred charges, which are amortized over the life of the shares and are recognized as components of “Variable Rate MuniFund Term Preferred (“VMTP”) Shares, net of deferred offering costs” on the Statement of Assets and Liabilities and “Interest expense and amortization of offering costs” on the Statement of Operations.

Variable Rate Demand Preferred Shares
The following Funds have issued and have outstanding Variable Rate Demand Preferred (“VRDP”) Shares, with a $100,000 liquidation preference per share. VRDP Shares are issued via private placement and are not publicly available.

As of the end of the reporting period, details of the Funds’ VRDP Shares outstanding were as follows:

 

Fund     Series     Shares
Outstanding
    Liquidation
Preference
    Special Rate
Period Expiration
    Maturity  
NXJ     1     810   $ 81,000,000     July 25, 2018     August 3, 2043  
      2     1,443     144,300,000     April 1, 2043     April 1, 2043  
      3     886     88,600,000     November 14, 2018     April 1, 2043  
NQP     2     1,125   $ 112,500,000     December 1, 2042     December 1, 2042  
      3     1,050     105,000,000     November 14, 2018     December 1, 2042  

VRDP Shares include a liquidity feature that allows VRDP shareholders to have their shares purchased by a liquidity provider with whom each Fund has contracted in the event that the VRDP Shares are not able to be successfully remarketed. Each Fund is required to redeem any VRDP Shares that are still owned by the liquidity provider after six months of continuous, unsuccessful remarketing. Each Fund pays an annual remarketing fee of 0.10% on the aggregate principal amount of all VRDP Shares outstanding. Each Fund’s VRDP Shares have successfully remarketed since issuance.

All series of NXJ’s and NQP’s VRDP Shares are considered to be Special Rate Period VRDP, which are sold to institutional investors. During the special rate period, the VRDP Shares will not be remarketed by a remarketing agent, be subject to optional or mandatory tender events, or be supported by a liquidity provider. During the period, VRDP dividends will be set monthly as a floating rate based on the predetermined formula. Following the initial special rate period, Special Rate Period VRDP Shares will transition to traditional VRDP Shares with dividends set at weekly remarketings, and be supported by a designated liquidity provider, unless the Board approves a subsequent special rate period.

Dividends on the VRDP Shares (which are treated as interest payments for financial reporting purposes) are set at a rate established by a remarketing agent; therefore, the market value of the VRDP Shares is expected to approximate its liquidation preference. In the event that VRDP Shares are unable to be successfully remarketed, the dividend rate will be the maximum rate which is designed to escalate according to a specified schedule in order to enhance the remarketing agent’s ability to successfully remarket the VRDP Shares.

Subject to certain conditions, VRDP Shares may be redeemed, in whole or in part, at any time at the option of each Fund. Each Fund may also redeem certain of the VRDP Shares if the Fund fails to maintain certain asset coverage requirements and such failures are not cured by the applicable cure date. The redemption price per share is equal to the sum of the liquidation preference per share plus any accumulated but unpaid dividends.

The average liquidation preference of VRDP Shares outstanding and annualized dividend rate for each Fund during the current fiscal period were as follows:

               
      NXJ     NQP  
Average liquidation preference of VRDP Shares outstanding   $ 313,900,000   $ 217,500,000  
Annualized dividend rate     1.67 %   1.68 %

For financial reporting purposes, the liquidation preference of VRDP Shares is a liability and is recognized as a component of “Variable Rate Demand Preferred (“VRDP”) Shares, net of deferred offering costs” on the Statement of Assets and Liabilities. Unpaid dividends on VRDP Shares are recognized as a component of “Interest payable” on the Statement of Assets and Liabilities, when applicable. Dividends accrued on VRDP Shares are recognized as a component of “Interest expense and amortization of offering costs” on the Statement of Operations. Costs incurred by the Funds in connection with their offerings of VRDP Shares were recorded as a deferred charge, which are amortized over the life of the shares and are recognized as a component of “Variable Rate Demand Preferred (“VRDP”) Shares, net of deferred offering costs” on the Statement of Assets and Liabilities and “Interest expense and amortization of offering costs” on the Statement of Operations. In addition to interest expense, each Fund may also pay a per annum liquidity fee to the liquidity provider, as well as a remarketing fee, which are recognized as “Liquidity fees” and “Remarketing fees,” respectively, on the Statement of Operations, when applicable.

77

Notes to Financial Statements (continued)

Preferred Share Transactions
Transactions in preferred shares for the Funds during the Funds’ current and prior fiscal periods, where applicable, are noted in the following tables.

 

    Ten Months Ended
February 28, 2017
      Series     Shares     Amount  
NQP                    
VMTP Shares issued     2019     870   $ 87,000,000  
VMTP Shares exchanged     2017     (480 )   (48,000,000 )
Net increase (decrease)           390   $ 39,000,000  

5. Investment Transactions
Long-term purchases and sales (including maturities but excluding derivative transactions, where applicable) during the current fiscal period were as follows:

                           
      NXJ     NJV     NQP     NPN  
Purchases   $ 118,706,077   $ 4,288,684   $ 130,656,903   $ 5,321,099  
Sales and maturities     110,699,750     4,148,204     112,657,345     5,391,875  

6. Income Tax Information
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all of its 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 that will enable interest from municipal securities, which is exempt from regular federal and designated state income taxes, to retain such tax-exempt status when distributed to shareholders of the Funds. Net realized capital gains and ordinary income distributions paid by the Funds are subject to federal taxation.

For all open tax years and all major taxing jurisdictions, management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally the last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

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 taxable market discount, timing differences in recognizing certain gains and losses on investment transactions and the treatment of investments in inverse floating rate securities reflected as financing transactions, if any. To the extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts as detailed below. Temporary differences do not require reclassification. Temporary and permanent differences do not impact the NAVs of the Funds.

The tables below present the cost and unrealized appreciation (depreciation) of each Fund’s investment portfolio, as determined on a federal income tax basis, as of February 28, 2018.

For purposes of this disclosure, derivative tax cost is generally the sum of any upfront fees or premiums exchanged and any amounts unrealized for income statement reporting but realized in income and/or capital gains for tax reporting. If a particular derivative category does not disclose any tax unrealized appreciation or depreciation, the change in value of those derivatives have generally been fully realized for tax purposes.

                           
      NXJ     NJV     NQP     NPN  
Tax cost of investments:   $ 904,960,557   $ 22,081,540   $ 827,241,707   $ 17,362,134  
Gross unrealized:                          
Appreciation     56,780,480     1,443,941     40,025,134     848,279  
Depreciation     (5,505,865 )   (200,157 )   (18,777,482 )   (345,498 )
Net unrealized appreciation (depreciation) of investments   $ 51,274,615   $ 1,243,784   $ 21,247,652   $ 502,781  

78

 

         
      NQP  
Tax cost of swaps   $  
Net unrealized appreciation (depreciation) of swaps     968,985  

 

Permanent differences, primarily due to federal taxes paid, taxable market discount, and nondeductible offering costs, resulted in reclassifications among the Funds’ components of common share net assets as of February 28, 2018, the Funds’ tax year end, as follows:

 

      NXJ     NJV     NQP     NPN  
Paid-in-surplus   $ (143,897 ) $   $ (153,045 ) $  
Undistributed (Over-distribution of) net investment income     133,084     (4 )   128,956      
Accumulated net realized gain (loss)     10,813     4     24,089      

 

The tax components of undistributed net tax-exempt income, net ordinary income and net long-term capital gains as of February 28, 2018, the Funds’ tax year end, were as follows:

 

                           
      NXJ     NJV     NQP     NPN  
Undistributed net tax-exempt income1   $ 2,449,229   $ 69,711   $ 596,004   $ 39,687  
Undistributed net ordinary income2     1,781     2,994     17,945      
Undistributed net long-term capital gains         86,498     844,454     79,309  

 

1 Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on February 1, 2018, paid on March 1, 2018.
2 Net ordinary income consists of taxable market discount income and net short-term capital gains, if any.

The tax character of distributions paid during the Funds’ tax years ended February 28, 2018, February 28, 2017 and April 30, 2016 was designated for purposes of the dividends paid deduction as follows:

                           
2018     NXJ     NJV     NQP     NPN  
Distributions from net tax-exempt income3   $ 34,901,901   $ 886,594   $ 31,232,070   $ 709,942  
Distributions from net ordinary income2     119,237     15,669     143,468     30,136  
Distributions from net long-term capital gains4         542,044     64,183     214,679  
2017     NXJ     NJV     NQP     NPN  
Distributions from net tax-exempt income   $ 29,151,901   $ 759,626   $ 25,923,253   $ 634,294  
Distributions from net ordinary income2     123,496     43,739     56,632     152,003  
Distributions from net long-term capital gains         233,789     1,162,849     582,027  
2016     NXJ     NJV     NQP     NPN  
Distributions from net tax-exempt income   $ 35,379,191   $ 914,520   $ 31,959,341   $ 760,876  
Distributions from net ordinary income2     21,295     25,886     369,997     8,657  
Distributions from net long-term capital gains     345,375     323,803          

 

2 Net ordinary income consists of taxable market discount income and net short-term capital gains, if any.
3 The Funds hereby designate these amounts paid during the fiscal year ended February 28, 2018, as Exempt Interest Dividends.
4 The Funds designate as long-term capital gain dividend, pursuant to the Internal Revenue Code Section 852(b)(3), the amount necessary to reduce earnings and profits of the Funds related to net capital gain to zero for the tax year ended February 28, 2018.

As of February 28, 2018, the Funds’ tax year end, the following Fund has unused capital losses carrying forward available for federal income tax purposes to be applied against future capital gains, if any. The capital losses are not subject to expiration.

         
      NXJ 5
Capital losses to be carried forward – not subject to expiration   $ 3,586,406  

 

5 A portion of NXJ’s capital loss carryforward is subject to an annual limitation under the Internal Revenue Code and related regulations.

During the Funds’ tax year ended February 28, 2018, NXJ utilized $1,031,847 of its capital loss carryforward.

7. Management Fees and Other Transactions with Affiliates

Management Fees
Each Fund’s management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.

79

Notes to Financial Statements (continued)

Each Fund’s management fee consists of two components – a fund-level fee, based only on the amount of assets within each individual Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables Fund shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.

The annual fund-level fee, payable monthly, for each Fund is calculated according to the following schedules:

 

      NXJ  
      NQP  
Average Daily Managed Assets*     Fund-Level Fee  
For the first $125 million     0.4500 %
For the next $125 million     0.4375  
For the next $250 million     0.4250  
For the next $500 million     0.4125  
For the next $1 billion     0.4000  
For the next $3 billion     0.3750  
For managed assets over $5 billion     0.3625  

 

 

      NJV  
      NPN  
Average Daily Net Assets*     Fund-Level Fee  
For the first $125 million     0.4000 %
For the next $125 million     0.3875  
For the next $250 million     0.3750  
For the next $500 million     0.3625  
For the next $1 billion     0.3500  
For the next $3 billion     0.3250  
For managed assets over $5 billion     0.3125  

The annual complex-level fee, payable monthly, for each Fund is calculated by multiplying the current complex-wide fee rate, determined according to the following schedule by the Fund’s daily managed assets (net assets for NJV and NPN):

         
Complex-Level Eligible Asset Breakpoint Level*     Effective Complex-Level Fee Rate at Breakpoint Level  
$55 billion     0.2000 %
$56 billion     0.1996  
$57 billion     0.1989  
$60 billion     0.1961  
$63 billion     0.1931  
$66 billion     0.1900  
$71 billion     0.1851  
$76 billion     0.1806  
$80 billion     0.1773  
$91 billion     0.1691  
$125 billion     0.1599  
$200 billion     0.1505  
$250 billion     0.1469  
$300 billion     0.1445  

 

* For the complex-level fees, managed assets include closed-end fund assets managed by the Adviser that are attributable to certain types of leverage. For these purposes, leverage includes the funds’ use of preferred stock and borrowings and certain investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust’s issuance of floating rate securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining managed assets in certain circumstances. The complex-level fee is calculated based upon the aggregate daily managed assets of all Nuveen funds that constitute “eligible assets.” Eligible assets do not include assets attributable to investments in other Nuveen funds or assets in excess of a determined amount (originally $2 billion) added to the Nuveen fund complex in connection with the Adviser’s assumption of the management of the former First American Funds effective January 1, 2011. As of February 28, 2018, the complex-level fee for each Fund was 0.1595%.

Other Transactions with Affiliates
Each Fund is permitted to purchase or sell securities from or to certain other funds managed by the Adviser (“inter-fund trade”) under specified conditions outlined in procedures adopted by the Board. These procedures have been designed to ensure that any inter-fund trade of securities by the

80

Fund from or to another fund that is, or could be, considered an affiliate of the Fund under certain limited circumstances by virtue of having a common investment adviser (or affiliated investment adviser), common officer and/or common trustee complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each inter-fund trade is effected at the current market price as provided by an independent pricing service. Unsettled inter-fund trades as of the end of the reporting period are recognized as a component of “Receivable for investments sold” and/or “Payable for investments purchased” on the Statement of Assets and Liabilities, when applicable.

During the current fiscal period, the Funds did not engage in inter-fund trades pursuant to these procedures.

8. Borrowing Arrangements

Uncommitted Line of Credit
During the current fiscal period, the Funds participated in an unsecured bank line of credit (“Unsecured Credit Line”) under which outstanding balances would bear interest at a variable rate. Although the Funds participated in the Unsecured Credit Line, they did not have any outstanding balances during the current fiscal period.

The Unsecured Credit Line was not renewed after its scheduled termination date on July 27, 2017.

Committed Line of Credit
The Funds, along with certain other funds managed by the Adviser (“Participating Funds”), have established a 364-day, approximately $3 billion standby credit facility with a group of lenders, under which the Participating Funds may borrow for various purposes other than leveraging for investment purposes. A large portion of this facility’s capacity (and its associated costs as described below) is currently dedicated for use by a small number of Participating Funds, which does not include any of the Funds covered by this shareholder report. The remaining capacity under the facility (and the corresponding portion of the facility’s annual costs) is separately dedicated to most of the other open-end funds in the Nuveen fund family, along with a number of Nuveen closed-end funds, including all of the Funds covered by this shareholder report. The credit facility expires in July 2018 unless extended or renewed.

The credit facility has the following terms: a fee of 0.15% per annum on unused commitment amounts, and interest at a rate equal to the higher of (a) one-month LIBOR (London Inter-Bank Offered Rate) plus 1.00% (1.25% prior to July 27, 2017) per annum or (b) the Fed Funds rate plus 1.00% (1.25% prior to July 27, 2017) per annum on amounts borrowed. Participating Funds paid administration, legal and arrangement fees, which are recognized as a component of “Other expenses” on the Statement of Operations, and along with commitment fees, have been allocated among such Participating Funds based upon the relative proportions of the facility’s aggregate capacity reserved for them and other factors deemed relevant by the Adviser and the Board of each Participating Fund.

During the current fiscal period, the following Funds utilized this facility. The Funds’ maximum outstanding balance during the utilization period was as follows:

                           
      NXJ     NJV     NQP     NPN  
Maximum outstanding balance   $ 14,876,862   $ 222,534   $ 14,257,343   $ 484,810  

During each Fund’s utilization period(s) during the current fiscal period, the average daily balance outstanding and average annual interest rate on the Borrowings were as follows:

                           
      NXJ     NJV     NQP     NPN  
Average daily balance outstanding   $ 14,876,862   $ 222,534   $ 6,457,187   $ 484,410  
Average annual interest rate     2.56 %   2.56 %   2.56 %   2.56 %

Borrowings outstanding as of the end of the reporting period are recognized as “Borrowings” on the Statement of Assets and Liabilities, where applicable.

Inter-Fund Borrowing and Lending
The Securities and Exchange Commission (“SEC”) has granted an exemptive order permitting registered open-end and closed-end Nuveen funds to participate in an inter-fund lending facility whereby the Nuveen funds may directly lend to and borrow money from each other for temporary purposes (e.g., to satisfy redemption requests or when a sale of securities “fails,” resulting in an unanticipated cash shortfall) (the “Inter-Fund Program”). The closed-end Nuveen funds, including the Funds covered by this shareholder report, will participate only as lenders, and not as borrowers, in the Inter-Fund Program because such closed-end funds rarely, if ever, need to borrow cash to meet redemptions. The Inter-Fund Program is subject to a number of conditions, including, among other things, the requirements that (1) no fund may borrow or lend money through the Inter-Fund Program unless it receives a more favorable interest rate than is typically available from a bank or other financial institution for a comparable transaction; (2) no fund may borrow on an unsecured basis through the Inter-Fund Program unless the fund’s outstanding borrowings from all sources immediately after the inter-fund borrowing total 10% or less of its total assets; provided that if the borrowing fund has a secured borrowing outstanding from any other lender, including but not limited to another fund, the inter-fund loan must be secured on at least an equal

81

Notes to Financial Statements (continued)

priority basis with at least an equivalent percentage of collateral to loan value; (3) if a fund’s total outstanding borrowings immediately after an inter-fund borrowing would be greater than 10% of its total assets, the fund may borrow through the inter-fund loan on a secured basis only; (4) no fund may lend money if the loan would cause its aggregate outstanding loans through the Inter-Fund Program to exceed 15% of its net assets at the time of the loan; (5) a fund’s inter-fund loans to any one fund shall not exceed 5% of the lending fund’s net assets; (6) the duration of inter-fund loans will be limited to the time required to receive payment for securities sold, but in no event more than seven days; and (7) each interfund loan may be called on one business day’s notice by a lending fund and may be repaid on any day by a borrowing fund. In addition, a Nuveen fund may participate in the Inter-Fund Program only if and to the extent that such participation is consistent with the fund’s investment objective and investment policies. The Board is responsible for overseeing the Inter-Fund Program.

The limitations detailed above and the other conditions of the SEC exemptive order permitting the Inter-Fund Program are designed to minimize the risks associated with Inter-Fund Program for both the lending fund and the borrowing fund. However, no borrowing or lending activity is without risk. When a fund borrows money from another fund, there is a risk that the loan could be called on one day’s notice or not renewed, in which case the fund may have to borrow from a bank at a higher rate or take other actions to payoff such loan if an inter-fund loan is not available from another fund. Any delay in repayment to a lending fund could result in a lost investment opportunity or additional borrowing costs.

During May 2017, the Board approved the Nuveen funds participation in the Inter-Fund Program. During the current reporting period, none of the Funds have entered into any inter-fund loan activity.

9. New Accounting Pronouncements

FASB Accounting Standards Update (“ASU”) 2017-08 (“ASU 2017-08”) Premium Amortization on Purchased Callable Debt Securities
The FASB has issued ASU 2017-08, which shortens the premium amortization period for purchased non-contingently callable debt securities. ASU 2017-08 specifies that the premium amortization period ends at the earliest call date, for purchased non-contingently callable debt securities. ASU 2017-08 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Management is currently evaluating the implications of ASU 2017-08, if any.

FASB ASU 2016-18: Statement of Cash Flows – Restricted Cash (“ASU 2016-18”)
The FASB has issued ASU 2016-18, which will require entities to include the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the beginning and ending cash balances in the Statement of Cash Flows. The guidance will be applied retrospectively and is effective for fiscal years beginning after December 15, 2017, and interim periods within those years. Management is currently evaluating the implications of ASU 2016-18, if any.

82

Additional Fund Information (Unaudited)

 

Board of Trustees          
Margo Cook * Jack B. Evans William C. Hunter Albin F. Moschner John K. Nelson William J. Schneider
Judith M. Stockdale Carole E. Stone Terence J. Toth Margaret L. Wolff Robert L. Young  

 

* Interested Board Member.
   

 

Fund Manager Custodian Legal Counsel Independent Registered Transfer Agent and
Nuveen Fund Advisors, LLC State Street Bank Chapman and Cutler LLP Public Accounting Firm Shareholder Services
333 West Wacker Drive and Trust Company Chicago, IL 60603 KPMG LLP Computershare Trust
Chicago, IL 60606 One Lincoln Street   200 East Randolph Street Company, N.A.
  Boston, MA 02111   Chicago, IL 60601 250 Royall Street
        Canton, MA 02021
        (800) 257-8787
         

Quarterly Form N-Q Portfolio of Investments Information
Each Fund is required to file its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-Q. You may obtain this information directly from the SEC. 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 toll-free at (800) SEC-0330 for room hours and operation.

         

Nuveen Funds’ Proxy Voting Information
You may obtain (i) information regarding how each fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, without charge, upon request, by calling Nuveen toll-free at (800) 257-8787 or on Nuveen’s website at www.nuveen.com and (ii) a description of the policies and procedures that each fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling Nuveen toll free at (800) 257-8787. You may also obtain this information directly from the SEC. Visit the SEC on-line at http://www.sec.gov.

         

CEO Certification Disclosure
Each Fund’s Chief Executive Officer (CEO) has submitted to the New York Stock Exchange (NYSE) the annual CEO certification as required by Section 303A.12(a) of the NYSE Listed Company Manual. Each Fund has filed with the SEC the certification of its CEO and Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act.

         

Common Share Repurchases
Each Fund intends to repurchase, through its open-market share repurchase program, shares of its own common stock at such times and in such amounts as is deemed advisable. During the period covered by this report, each Fund repurchased shares of its common stock, as shown in the accompanying table. Any future repurchases will be reported to shareholders in the next annual or semi-annual report.

                           
      NXJ     NJV     NQP     NPN  
Common shares repurchased     49,600         15,500      

FINRA BrokerCheck
The Financial Industry Regulatory Authority (FINRA) provides information regarding the disciplinary history of FINRA member firms and associated investment professionals. This information as well as an investor brochure describing FINRA BrokerCheck is available to the public by calling the FINRA BrokerCheck Hotline number at (800) 289-9999 or by visiting www.FINRA.org.

         
83

Glossary of Terms Used in this Report (Unaudited)

 

Auction Rate Bond: An auction rate bond is a security whose interest payments are adjusted periodically through an auction process, which process typically also serves as a means for buying and selling the bond. Auctions that fail to attract enough buyers for all the shares offered for sale are deemed to have “failed,” with current holders receiving a formula-based interest rate until the next scheduled auction.
   
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.
   
Duration: Duration is a measure of the expected period over which a bond’s principal and interest will be paid, and consequently is a measure of the sensitivity of a bond’s or bond fund’s value to changes when market interest rates change. Generally, the longer a bond’s or fund’s duration, the more the price of the bond or fund will change as interest rates change.
   
Effective Leverage: Effective leverage is a fund’s effective economic leverage, and includes both regulatory leverage (see leverage) and the leverage effects of certain derivative investments in the fund’s portfolio. Currently, the leverage effects of Tender Option Bond (TOB) inverse floater holdings are included in effective leverage values, in addition to any regulatory leverage.
   
Forward Interest Rate Swap: A contractual agreement between two counterparties under which one party agrees to make periodic payments to the other for an agreed period of time based on a fixed rate, while the other party agrees to make periodic payments based on a floating rate of interest based on an underlying index. Alternatively, both series of cashflows to be exchanged could be calculated using floating rates of interest but floating rates that are based upon different underlying indexes.
   
Gross Domestic Product (GDP): The total market value of all final goods and services produced in a country/region in a given year, equal to total consumer, investment and government spending, plus the value of exports, minus the value of imports.
   
Inverse Floating Rate Securities: Inverse floating rate securities, also known as inverse floaters or tender option bonds (TOBs), are created by depositing a municipal bond, typically with a fixed interest rate, into a special purpose trust. This trust, in turn, (a) issues floating rate certificates typically paying short-term tax-exempt interest rates to third parties in amounts equal to some fraction of the deposited bond’s par amount or market value, and (b) issues an inverse floating rate certificate (sometimes referred to as an “inverse floater”) to an investor (such as a Fund) interested in gaining investment exposure to a long-term municipal bond. The income received by the holder of the inverse floater varies inversely with the short-term rate paid to the floating rate certificates’ holders, and in most circumstances the holder of the inverse floater bears substantially all of the underlying bond’s downside investment risk. The holder of the inverse floater typically also benefits disproportionately from any potential appreciation of the underlying bond’s value. Hence, an inverse floater essentially represents an investment in the underlying bond on a leveraged basis.
   
Leverage: Leverage is created whenever a fund has investment exposure (both reward and/or risk) equivalent to more than 100% of the investment capital.
   
Net Asset Value (NAV) Per Share: A fund’s Net Assets is equal to its total assets (securities, cash, accrued earnings and receivables) less its total liabilities. NAV per share is equal to the fund’s Net Assets divided by its number of shares outstanding.
   
Pre-Refunding: Pre-Refunding, also known as advanced refundings or refinancings, is a procedure used by state and local governments to refinance municipal bonds to lower interest expenses. The issuer sells new bonds with a lower yield and uses the proceeds to buy U.S. Treasury securities, the interest from which is used to make payments on the higher-yielding bonds. Because of this collateral, pre-refunding generally raises a bond’s credit rating and thus its value.
84

 

Regulatory Leverage: Regulatory leverage consists of preferred shares issued by or borrowings of a fund. Both of these are part of a fund’s capital structure. Regulatory leverage is subject to asset coverage limits set in the Investment Company Act of 1940.
   
S&P Municipal Bond Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade U.S. municipal bond market. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
   
S&P Municipal Bond New Jersey Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade New Jersey municipal bond market. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
   
S&P Municipal Bond Pennsylvania Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment-grade Pennsylvania municipal bond market. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
   
Total Investment Exposure: Total investment exposure is a fund’s assets managed by the Adviser that are attributable to financial leverage. For these purposes, financial leverage includes a fund’s use of preferred stock and borrowings and investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust’s issuance of floating rate securities.
   
Zero Coupon Bond: A zero coupon bond does not pay a regular interest coupon to its holders during the life of the bond. Income to the holder of the bond comes from accretion of the difference between the original purchase price of the bond at issuance and the par value of the bond at maturity and is effectively paid at maturity. The market prices of zero coupon bonds generally are more volatile than the market prices of bonds that pay interest periodically.

 

85

Reinvest Automatically, Easily and Conveniently

Nuveen makes reinvesting easy. A phone call is all it takes to set up your reinvestment account.

 

Nuveen Closed-End Funds Automatic Reinvestment Plan

 

 

Nuveen Closed-End Fund allows you to conveniently reinvest 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 compounding. Just like distributions in cash, there may be times when income or capital gains taxes may be payable on 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 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 greater of the net asset value or 95% of 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. If the Plan Agent begins purchasing Fund shares on the open market while shares are trading below net asset value, but the Fund’s shares subsequently trade at or above their net asset value before the Plan Agent is able to complete its purchases, the Plan Agent may cease open-market purchases and may invest the uninvested portion of the distribution in newly-issued Fund shares at a price equal to the greater of the shares’ net asset value or 95% of the shares’ market value on the last business day immediately prior to the purchase date. Distributions received to purchase shares in the open market will normally be invested shortly after the distribution payment date. No interest will be paid on 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 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. 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 distributions

For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial advisor or call us at (800) 257-8787.

86

Board Members & Officers (Unaudited)

The management of the Funds, including general supervision of the duties performed for the Funds by the Adviser, is the responsibility of the Board of Trustees of the Funds. The number of trustees of the Funds is set at eleven. None of the trustees who are not “interested” persons of the Funds (referred to herein as “independent board members”) has ever been a director or employee of, or consultant to, Nuveen or its affiliates. The names and business addresses of the trustees and officers of the Funds, their principal occupations and other affiliations during the past five years, the number of portfolios each oversees and other directorships they hold are set forth below.

 

  Name,
Year of Birth
& Address
  Position(s) Held
with the Funds
  Year First
Elected or
Appointed
and Term(1)
  Principal
Occupation(s)
Including other
Directorships
During Past 5 Years
  Number
of Portfolios
in Fund Complex
Overseen by
Board Member
                   
Independent Board Members:
                   
WILLIAM J. SCHNEIDER
1944
333 W. Wacker Drive
Chicago, IL 6o6o6
 

Chairman and
Board Member
 


1996
Class III
  Chairman of Miller-Valentine Partners, a real estate investment company; Board Member of WDPR Public Radio station; formerly, Senior Partner and Chief Operating Officer (retired (2004) of Miller-Valentine Group; formerly, Board member, Business Advisory Council of the Cleveland Federal Reserve Bank and University of Dayton Business School Advisory Council; past Chair and Director, Dayton Development Coalition.  


175
                   
JACK B. EVANS
1948
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Board Member
 


1999
Class III
  President, The Hall-Perrine Foundation, a private philanthropic corporation (since 1996); Director and Chairman, United Fire Group, a publicly held company; Director, Public Member, American Board of Orthopaedic Surgery (since 2015); Life Trustee of Coe College and the Iowa College Foundation; formerly, President Pro-Tem of the Board of Regents for the State of Iowa University System; formerly, Director, Alliant Energy and The Gazette Company; formerly, Director, Federal Reserve Bank of Chicago; formerly, President and Chief Operating Officer, SCI Financial Group, Inc., a regional financial services firm.  


175
                   
WILLIAM C. HUNTER
1948
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Board Member
 


2003
Class I
  Dean Emeritus, formerly, Dean, Tippie College of Business, University of Iowa (2006-2012); Director (since 2004) of Xerox Corporation; Director of Wellmark, Inc. (since 2009); past Director (2005-2015), and past President (2010-2014) Beta Gamma Sigma, Inc., The International Business Honor Society; formerly, Dean and Distinguished Professor of Finance, School of Business at the University of Connecticut (2003-2006); previously, Senior Vice President and Director of Research at the Federal Reserve Bank of Chicago (1995-2003); formerly, Director (1997-2007), Credit Research Center at Georgetown University.  


175
                   
ALBIN F. MOSCHNER
1952
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Board Member
 


2016
Class III
  Founder and Chief Executive Officer, Northcroft Partners, LLC, a management consulting firm (since 2012); Director, USA Technologies, Inc., a provider of solutions and services to facilitate electronic payment transactions (since 2012); formerly, Director, Wintrust Financial Corporation (1996-2016); previously, held positions at Leap Wireless International, Inc., including Consultant (2011-2012), Chief Operating Officer (2008-2011), and Chief Marketing Officer (2004-2008); formerly, President, Verizon Card Services division of Verizon Communications, Inc. (2000-2003); formerly, President, One Point Services at One Point Communications (1999-2000); formerly, Vice Chairman of the Board, Diba, Incorporated (1996-1997); formerly, various executive positions with Zenith Electronics Corporation (1991-1996).  


175

 

87

Board Members & Officers (Unaudited) (continued)

 

  Name,
Year of Birth
& Address
  Position(s) Held
with the Funds
  Year First
Elected or
Appointed
and Term(1)
  Principal
Occupation(s)
Including other
Directorships
During Past 5 Years
  Number
of Portfolios
in Fund Complex
Overseen by
Board Member
                   
Independent Board Members (continued):
                   
JOHN K. NELSON
1962
333 W. Wacker Drive
Chicago, IL 6o6o6



Board Member
 


2013
Class II
  Member of Board of Directors of Core12 LLC (since 2008), a private firm which develops branding, marketing and communications strategies for clients; Director of The Curran Center for Catholic American Studies (since 2009) and The President’s Council, Fordham University (since 2010); formerly, senior external advisor to the financial services practice of Deloitte Consulting LLP (2012-2014): formerly, Chairman of the Board of Trustees of Marian University (2010 as trustee, 2011-2014 as Chairman); formerly, Chief Executive Officer of ABN AMRO N.V. North America, and Global Head of its Financial Markets Division (2007-2008); prior senior positions held at ABN AMRO include Corporate Executive Vice President and Head of Global Markets-the Americas (2006-2007), CEO of Wholesale Banking North America and Global Head of Foreign Exchange and Futures Markets (2001-2006), and Regional Commercial Treasurer and Senior Vice President Trading-North America (1996-2001); formerly, Trustee at St. Edmund Preparatory School in New York City.  


175
                   
JUDITH M. STOCKDALE
1947
333 W. Wacker Drive
Chicago, IL 6o6o6



Board Member
 


1997
Class I
  Board Member, Land Trust Alliance (since 2013) and U.S. Endowment for Forestry and Communities (since 2013); formerly, Executive Director (1994-2012), Gaylord and Dorothy Donnelley Foundation; prior thereto, Executive Director, Great Lakes Protection Fund (1990-1994).  


175
                   
CAROLE E. STONE
1947
333 W. Wacker Drive
Chicago, IL 6o6o6



Board Member
 


2007
Class I
  Former Director, Chicago Board Options Exchange, Inc. (2006-2017); and C2 Options Exchange, Incorporated (2009-2017); Director, CBOE Global Markets, Inc., formerly, CBOE Holdings, Inc. (since 2010); formerly, Commissioner, New York State Commission on Public Authority Reform (2005-2010).  


175
                   
TERENCE J. TOTH
1959
333 W. Wacker Drive
Chicago, IL 6o6o6



Board Member
 


2008
Class II
  Formerly, a Co-Founding Partner, Promus Capital (2008-2017); Director, Fulcrum IT Service LLC (since 2010) and Quality Control Corporation (since 2012); member: Catalyst Schools of Chicago Board (since 2008) and Mather Foundation Board (since 2012), and chair of its Investment Committee; formerly, Director, Legal & General Investment Management America, Inc. (2008-2013); formerly, CEO and President, Northern Trust Global Investments (2004-2007): Executive Vice President, Quantitative Management & Securities Lending (2000-2004); prior thereto, various positions with Northern Trust Company (since 1994); formerly, Member, Northern Trust Mutual Funds Board (2005-2007), Northern Trust Global Investments Board (2004-2007), Northern Trust Japan Board (2004-2007), Northern Trust Securities Inc. Board (2003-2007) and Northern Trust Hong Kong Board (1997-2004).  


175
                   
MARGARET L. WOLFF
1955
333 W. Wacker Drive
Chicago, IL 6o6o6



Board Member
 


2016
Class I
  Formerly, member of the Board of Directors (2013-2017) of Travelers Insurance Company of Canada and The Dominion of Canada General Insurance Company (each, a part of Travelers Canada, the Canadian operation of The Travelers Companies, Inc.); formerly, Of Counsel, Skadden, Arps, Slate, Meagher & Flom LLP (Mergers & Acquisitions Group) (2005-2014); Member of the Board of Trustees of New York- Presbyterian Hospital (since 2005); Member (since 2004) and Chair (since 2015) of the Board of Trustees of The John A. Hartford Foundation (a philanthropy dedicated to improving the care of older adults); formerly, Member (2005-2015) and Vice Chair (2011-2015) of the Board of Trustees of Mt. Holyoke College.  


175

  

 

88

 

  Name,
Year of Birth
& Address
  Position(s) Held
with the Funds
  Year First
Elected or
Appointed
and Term(1)
  Principal
Occupation(s)
Including other
Directorships
During Past 5 Years
  Number
of Portfolios
in Fund Complex
Overseen by
Board Member
                   
Independent Board Members (continued):
                   
ROBERT L. YOUNG(2)
1963
333 W. Wacker Drive
Chicago, IL 6o6o6



Board Member
 


2017
Class II
  Formerly, Chief Operating Officer and Director, J.P.Morgan Investment Management Inc. (2010-2016); formerly, President and Principal Executive Officer (2013-2016), and Senior Vice President and Chief Operating Officer (2005-2010), of J.P.Morgan Funds; formerly, Director and various officer positions for J.P.Morgan Investment Management Inc. (formerly, JPMorgan Funds Management, Inc. and formerly, One Group Administrative Services) and JPMorgan Distribution Services, Inc. (formerly, One Group Dealer Services, Inc.) (1999-2017).  


173
                   
Interested Board Member:
                   
MARGO L. COOK(3)(4)
1964
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Board Member
 


2016
Class III
  President (since April 2017), formerly, Co-Chief Executive Officer and Co-President (2016-2017), formerly, Senior Executive Vice President of Nuveen Investments, Inc.; President, Global Products and Solutions (since July 2017), and, Co-Chief Executive Officer (since 2015), formerly, Executive Vice President (2013-2015), of Nuveen Securities, LLC; Executive Vice President (since February 2017) of Nuveen, LLC; President (since August 2017), formerly Co-President (October 2016- August 2017), formerly, Senior Executive Vice President of Nuveen Fund Advisors, LLC (Executive Vice President since 2011); President (since 2017), Nuveen Alternative Investments, LLC; Chartered Financial Analyst.  


175

 

 

  Name,
Year of Birth
& Address
  Position(s) Held
with the Funds
  Year First
Elected or
Appointed(4)
  Principal
Occupation(s)
During Past 5 Years
  Number
of Portfolios
in Fund Complex
Overseen by
Officer
                   
Officers of the Funds:
                   
CEDRIC H. ANTOSIEWICZ
1962
333 W. Wacker Drive
Chicago, IL 6o6o6
 

Chief
Administrative
Officer
 


2007
  Senior Managing Director (since January 2017), formerly, Managing Director (2004-2017) of Nuveen Securities, LLC; Senior Managing Director (since February 2017), formerly, Managing Director (2014-2017) of Nuveen Fund Advisors, LLC.  


75
                   
STEPHEN D. FOY
1954
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Vice President
and Controller
 


1998
  Managing Director (since 2014), formerly, Senior Vice President (2013- 2014) and Vice President (2005-2013) of Nuveen Fund Advisors, LLC; Managing Director (since 2016) of Nuveen Securities, LLC Managing Director (since 2016) of Nuveen Alternative Investments, LLC; Certified Public Accountant.  


175
                   
NATHANIEL T. JONES
1979
333 W. Wacker Drive
Chicago, IL 6o6o6



Vice President
and Treasurer
 


2016
  Managing Director (since January 2017), formerly, Senior Vice President (2016-2017), formerly, Vice President (2011-2016) of Nuveen.; Chartered Financial Analyst.  


175
                   
WALTER M. KELLY
1970
333 W. Wacker Drive
Chicago, IL 6o6o6


Chief Compliance
Officer and
Vice President
 


2003
  Managing Director (since January 2017), formerly, Senior Vice President (2008-2017) of Nuveen.  


175

 

89

Board Members & Officers (Unaudited) (continued)

 

  Name,
Year of Birth
& Address
  Position(s) Held
with the Funds
  Year First
Elected or
Appointed(4)
  Principal
Occupation(s)
During Past 5 Years
  Number
of Portfolios
in Fund Complex
Overseen by
Officer
                   
Officers of the Funds (continued):
                   
DAVID J. LAMB
1963
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Vice President
 


2015
  Managing Director (since January 2017), formerly, Senior Vice President of Nuveen (since 2006), Vice President prior to 2006.  


75
                   
TINA M. LAZAR
1961
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Vice President
 


2002
  Managing Director (since January 2017), formerly, Senior Vice President (2014-2017) of Nuveen Securities, LLC.  


175
                   
KEVIN J. MCCARTHY
1966
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Vice President
and Assistant
Secretary
 



2007
  Senior Managing Director (since February 2017) and Secretary and General Counsel (since 2016) of Nuveen Investments, Inc., formerly, Executive Vice President (2016-2017) and Managing Director and Assistant Secretary (2008-2016); Senior Managing Director (since January 2017) and Assistant Secretary (since 2008) of Nuveen Securities, LLC, formerly Executive Vice President (2016-2017) and Managing Director (2008-2016); Senior Managing Director (since February 2017), Secretary (since 2016) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC, formerly, Executive Vice President (2016- 2017), Managing Director (2008-2016) and Assistant Secretary (2007-2016); Senior Managing Director (since February 2017), Secretary (since 2016) and Associate General Counsel (since 2011) of Nuveen Asset Management, LLC, formerly Executive Vice President (2016-2017) and Managing Director and Assistant Secretary (2011-2016); Senior Managing Director (since February 2017) and Secretary (since 2016) of Nuveen Investments Advisers, LLC, formerly Executive Vice President (2016-2017); Vice President (since 2007) and Secretary (since 2016), formerly, Assistant Secretary, of NWQ Investment Management Company, LLC, Symphony Asset Management LLC, Santa Barbara Asset Management, LLC and Winslow Capital Management, LLC (since 2010). Senior Managing Director (since 2017) and Secretary (since 2016) of Nuveen Alternative Investments, LLC.  



175
                   
WILLIAM T. MEYERS
1966
333 W. Wacker Drive
Chicago, IL 60606
 


Vice President
 


2018
  Senior Managing Director (since 2017), formerly, Managing Director (2016-2017), Senior Vice President (2010-2016) of Nuveen Securities, LLC; Senior Managing Director (since 2017), formerly, Managing Director (2016-2017), Senior Vice President (2010-2016) of Nuveen, has held various positions with Nuveen since 1991.  


75
                   
MICHAEL A. PERRY
1967
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Vice President
 


2017
  Executive Vice President since February 2017, previously Managing Director from October 2016), of Nuveen Fund Advisors, LLC and Nuveen Alternative Investments, LLC; Executive Vice President (since 2017), formerly, Managing Director (2015-2017), of Nuveen Securities, LLC; formerly, Managing Director (2010-2015) of UBS Securities, LLC.  


75
                   
CHRISTOPHER M. ROHRBACHER
1971
333 W. Wacker Drive
Chicago, IL 6o6o6


Vice President
and Assistant
Secretary
 


2008
  Managing Director (since January 2017) of Nuveen Securities, LLC; 2008 Managing Director (since January 2017), formerly, Senior Vice President (2016-2017) and Assistant Secretary (since October 2016) of Nuveen Fund Advisors, LLC.  


175
                   
WILLIAM A. SIFFERMANN
1975
333 W. Wacker Drive
Chicago, IL 6o6o6
 


Vice President
 


2017
  Managing Director (since February 2017), formerly Senior Vice President (2016-2017) and Vice President (2011-2016) of Nuveen.  


175
                   
JOEL T. SLAGER
1978
333 W. Wacker Drive
Chicago, IL 6o6o6
 

Vice President
and Assistant
Secretary
 


2013
  Fund Tax Director for Nuveen Funds (since 2013); previously, Vice President of Morgan Stanley Investment Management, Inc., Assistant Treasurer of the Morgan Stanley Funds (from 2010 to 2013).  


175

 

 

90

 

  Name,
Year of Birth
& Address
  Position(s) Held
with the Funds
  Year First
Elected or
Appointed(4)
  Principal
Occupation(s)
During Past 5 Years
  Number
of Portfolios
in Fund Complex
Overseen by
Officer
                   
Officers of the Funds (continued):
                   
MARK L. WINGET
1968
333 W. Wacker Drive
Chicago, IL 60606


Vice President
and Assistant
Secretary
 


2008
  Vice President and Assistant Secretary of Nuveen Securities, LLC (since 2008); Vice President (since 2010) and Associate General Counsel (since 2008) of Nuveen.  


175
                   
GIFFORD R. ZIMMERMAN
1956
333 W. Wacker Drive
Chicago, IL 6o6o6



Vice President
Secretary
 


1988
  Managing Director (since 2002), and Assistant Secretary of Nuveen Securities, LLC; Managing Director (since 2004) and Assistant Secretary (since 1994) of Nuveen Investments, Inc.; Managing Director (since 2002), Assistant Secretary (since 1997) and Co-General Counsel (since 2011) of Nuveen Fund Advisors, LLC; Managing Director, Assistant Secretary and Associate General Counsel of Nuveen Asset Management, LLC (since 2011); Vice President (since February 2017), formerly, Managing Director (2003-2017) and Assistant Secretary (since 2003) of Symphony Asset Management LLC; Managing Director and Assistant Secretary (since 2002) of Nuveen Investments Advisers, LLC; Vice President and Assistant Secretary of NWQ Investment Management Company, LLC (since 2002), Santa Barbara Asset Management, LLC (since 2006), and of Winslow Capital Management, LLC, (since 2010); Chartered Financial Analyst.  


175

 

(1) The Board of Trustees is divided into three classes, Class I, Class II, and Class III, with each being elected to serve until the third succeeding annual shareholders’ meeting subsequent to its election or thereafter in each case when its respective successors are duly elected or appointed, except two board members are elected by the holders of Preferred Shares, when applicable, to serve until the next annual shareholders’ meeting subsequent to its election or thereafter in each case when its respective successors are duly elected or appointed. The year first elected or appointed represents the year in which the board member was first elected or appointed to any fund in the Nuveen Complex. Terence J. Toth has been appointed Chairman of the Board to take effect July 1, 2018.
(2) On May 25, 2017, Mr. Young was appointed as a Board Member, effective July 1, 2017. He is a Board Member of each of the Nuveen Funds, except Nuveen Diversified Dividend and Income Fund and Nuveen Real Estate Income Fund.
(3) “Interested person” as defined in the 1940 Act, by reason of her position with Nuveen, LLC. and certain of its subsidiaries, which are affiliates of the Nuveen Funds.
(4) Officers serve one year terms through August of each year. The year first elected or appointed represents the year in which the Officer was first elected or appointed to any fund in the Nuveen Complex.

 

91

 

 

Nuveen:
Serving Investors for Generations
Since 1898, financial advisors and their clients have relied on Nuveen to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality solutions designed to be integral components of a well-diversified core portfolio.

Focused on meeting investor needs.
Nuveen is the investment manager of TIAA. We have grown into one of the world’s premier global asset managers, with specialist knowledge across all major asset classes and particular strength in solutions that provide income for investors and that draw on our expertise in alternatives and responsible investing. Nuveen is driven not only by the independent investment processes across the firm, but also the insights, risk management, analytics and other tools and resources that a truly world-class platform provides. As a global asset manager, our mission is to work in partnership with our clients to create solutions which help them secure their financial future.

Find out how we can help you.
To learn more about how the products and services of Nuveen may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen, 333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.

Learn more about Nuveen Funds at: www.nuveen.com/cef

     
Nuveen Securities, LLC, member FINRA and SIPC | 333 West Wacker Drive Chicago, IL 60606 | www.nuveen.com EAN-D-0218D 464940-INV-Y-04/19

 




 
ITEM 2. CODE OF ETHICS.

As of the end of the period covered by this report, the registrant has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There were no amendments to or waivers from the Code during the period covered by this report. The registrant has posted the code of ethics on its website at www.nuveen.com/CEF/Shareholder/FundGovernance.aspx. (To view the code, click on Code of Conduct.)

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

As of the end of the period covered by this report, the registrant’s Board of Directors or Trustees (“Board”) determined that the registrant has at least one “audit committee financial expert” (as defined in Item 3 of Form N-CSR) serving on its Audit Committee. The registrant’s audit committee financial experts are Carole E. Stone, Jack B. Evans and William C. Hunter, who are “independent” for purposes of Item 3 of Form N-CSR.
Ms. Stone served for five years as Director of the New York State Division of the Budget. As part of her role as Director, Ms. Stone was actively involved in overseeing the development of the State’s operating, local assistance and capital budgets, its financial plan and related documents; overseeing the development of the State’s bond-related disclosure documents and certifying that they fairly presented the State’s financial position; reviewing audits of various State and local agencies and programs; and coordinating the State’s system of internal audit and control. Prior to serving as Director, Ms. Stone worked as a budget analyst/examiner with increasing levels of responsibility over a 30 year period, including approximately five years as Deputy Budget Director. Ms. Stone has also served as Chair of the New York State Racing Association Oversight Board, as Chair of the Public Authorities Control Board, as a Commissioner on the New York State Commission on Public Authority Reform and as a member of the Boards of Directors of several New York State public authorities. These positions have involved overseeing operations and finances of certain entities and assessing the adequacy of project/entity financing and financial reporting. Currently, Ms. Stone is on the Board of Directors of CBOE Holdings, Inc., of the Chicago Board Options Exchange, and of C2 Options Exchange. Ms. Stone’s position on the boards of these entities and as a member of both CBOE Holdings’ Audit Committee and its Finance Committee has involved, among other things, the oversight of audits, audit plans and preparation of financial statements.
 
Mr. Evans was formerly President and Chief Operating Officer of SCI Financial Group, Inc., a full service registered broker-dealer and registered investment adviser (“SCI”). As part of his role as President and Chief Operating Officer, Mr. Evans actively supervised the Chief Financial Officer (the “CFO”) and actively supervised the CFO’s preparation of financial statements and other filings with various regulatory authorities. In such capacity, Mr. Evans was actively involved in the preparation of SCI’s financial statements and the resolution of issues raised in connection therewith. Mr. Evans has also served on the audit committee of various reporting companies. At such companies, Mr. Evans was involved in the oversight of audits, audit plans, and the preparation of financial statements. Mr. Evans also formerly chaired the audit committee of the Federal Reserve Bank of Chicago.
 
Mr. Hunter was formerly a Senior Vice President at the Federal Reserve Bank of Chicago. As part of his role as Senior Vice President, Mr. Hunter was the senior officer responsible for all operations of each of the Economic Research, Statistics, and Community and Consumer Affairs units at the Federal Reserve Bank of Chicago. In such capacity, Mr. Hunter oversaw the subunits of the Statistics and Community and Consumer Affairs divisions responsible for the analysis and evaluation of bank and bank holding company financial statements and financial filings. Prior to serving as Senior Vice President at the Federal Reserve Bank of Chicago, Mr. Hunter was the Vice President of the Financial Markets unit at the Federal Reserve Bank of Atlanta where he supervised financial staff and bank holding company analysts who analyzed and evaluated bank and bank holding company financial statements. Mr. Hunter also currently serves on the Boards of Directors of Xerox Corporation and Wellmark, Inc. as well as on the Audit Committees of such Boards. As an Audit Committee member, Mr. Hunter’s responsibilities include, among other things, reviewing financial statements, internal audits and internal controls over financial reporting. Mr. Hunter also formerly was a Professor of Finance at the University of Connecticut School of Business and has authored numerous scholarly articles on the topics of finance, accounting and economics.
 
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Nuveen Pennsylvania Quality Municipal Income Fund

The following tables show the amount of fees that KPMG LLP, the Fund’s auditor, billed to the Fund during the Fund’s last two full fiscal years. For engagements with KPMG LLP the Audit Committee approved in advance all audit services and non-audit services that KPMG LLP provided to the Fund, except for those non-audit services that were subject to the pre-approval exception under Rule 2-01 of Regulation S-X (the “pre-approval exception”). The pre-approval exception for services provided directly to the Fund waives the pre-approval requirement for services other than audit, review or attest services if: (A) the aggregate amount of all such services provided constitutes no more than 5% of the total amount of revenues paid by the Fund to its accountant during the fiscal year in which the services are provided; (B) the Fund did not recognize the services as non-audit services at the time of the engagement; and (C) the services are promptly brought to the Audit Committee’s attention, and the Committee (or its delegate) approves the services before the audit is completed.

The Audit Committee has delegated certain pre-approval responsibilities to its Chairman (or, in his absence, any other member of the Audit Committee).
 
SERVICES THAT THE FUND’S AUDITOR BILLED TO THE FUND
 
   
Audit Fees Billed
   
Audit-Related Fees
   
Tax Fees
   
All Other Fees
 
Fiscal Year Ended
 
to Fund 1
   
Billed to Fund 2
   
Billed to Fund 3
   
Billed to Fund 4
 
February 28, 2018
 
$
24,750
   
$
0
   
$
0
   
$
0
 
                                 
Percentage approved
   
0
%
   
0
%
   
0
%
   
0
%
pursuant to
                               
pre-approval
                               
exception
                               
                                 
February 28, 2017
 
$
24,090
   
$
0
   
$
0
   
$
0
 
                                 
Percentage approved
   
0
%
   
0
%
   
0
%
   
0
%
pursuant to
                               
pre-approval
                               
exception
                               
                                 
1 “Audit Fees” are the aggregate fees billed for professional services for the audit of the Fund’s annual financial statements and services provided in
 
connection with statutory and regulatory filings or engagements.
                         
                                 
2 “Audit Related Fees” are the aggregate fees billed for assurance and related services reasonably related to the performance of the audit or review of
 
financial statements that are not reported under “Audit Fees”. These fees include offerings related to the Fund’s common shares and leverage.
 
                                 
3 “Tax Fees” are the aggregate fees billed for professional services for tax advice, tax compliance, and tax planning. These fees include: all global
 
withholding tax services; excise and state tax reviews; capital gain, tax equalization and taxable basis calculation performed by the principal accountant.
 
                                 
4 “All Other Fees” are the aggregate fees billed for products and services other than “Audit Fees”, “Audit-Related Fees” and “Tax Fees”. These fees
 
represent all “Agreed-Upon Procedures” engagements pertaining to the Fund’s use of leverage.
                 

SERVICES THAT THE FUND’S AUDITOR BILLED TO THE ADVISER AND AFFILIATED FUND SERVICE PROVIDERS

The following tables show the amount of fees billed by KPMG LLP to Nuveen Fund Advisors, LLC (formerly Nuveen Fund Advisors, Inc.) (the “Adviser”), and any entity controlling, controlled by or under common control with the Adviser that provides ongoing services to the Fund (“Affiliated Fund Service Provider”), for engagements directly related to the Fund’s operations and financial reporting, during the Fund’s last two full fiscal years.

The tables also show the percentage of fees subject to the pre-approval exception. The pre-approval exception for services provided to the Adviser and any Affiliated Fund Service Provider (other than audit, review or attest services) waives the pre-approval requirement if: (A) the aggregate amount of all such services provided constitutes no more than 5% of the total amount of revenues paid to KPMG LLP by the Fund, the Adviser and Affiliated Fund Service Providers during the fiscal year in which the services are provided that would have to be pre-approved by the Audit Committee; (B) the Fund did not recognize the services as non-audit services at the time of the engagement; and (C) the services are promptly brought to the Audit Committee’s attention, and the Committee (or its delegate) approves the services before the Fund’s audit is completed.
 
 
Audit-Related Fees
Tax Fees Billed to
All Other Fees
 
Billed to Adviser and
Adviser and
Billed to Adviser
 
Affiliated Fund
Affiliated Fund
and Affiliated Fund
Fiscal Year Ended
Service Providers
Service Providers
Service Providers
February 28, 2018
 $                            0
 $                                  0
 $                                0
       
Percentage approved
0%
0%
0%
pursuant to
     
pre-approval
     
exception
     
February 28, 2017
 $                            0
 $                                  0
 $                                0
       
Percentage approved
0%
0%
0%
pursuant to
     
pre-approval
     
exception
     

NON-AUDIT SERVICES

The following table shows the amount of fees that KPMG LLP billed during the Fund’s last two full fiscal years for non-audit services. The Audit Committee is required to pre-approve non- audit services that KPMG LLP provides to the Adviser and any Affiliated Fund Services Provider, if the engagement related directly to the Fund’s operations and financial reporting (except for those subject to the pre-approval exception described above). The Audit Committee requested and received information from KPMG LLP about any non-audit services that KPMG LLP rendered during the Fund’s last fiscal year to the Adviser and any Affiliated Fund Service Provider. The Committee considered this information in evaluating KPMG LLP’s independence.

   
Total Non-Audit Fees
   
   
billed to Adviser and
   
   
Affiliated Fund Service
Total Non-Audit Fees
 
   
Providers (engagements
billed to Adviser and
 
   
related directly to the
Affiliated Fund Service
 
 
Total Non-Audit Fees
operations and financial
Providers (all other
 
Fiscal Year Ended
Billed to Fund
reporting of the Fund)
engagements)
Total
February 28, 2018
 $                            0
 $                                  0
 $                                0
 $                        0
February 28, 2017
 $                            0
 $                                  0
 $                                0
 $                        0
         
         
“Non-Audit Fees billed to Fund” for both fiscal year ends represent “Tax Fees” and “All Other Fees” billed to Fund in their respective
amounts from the previous table.
       
         
Less than 50 percent of the hours expended on the principal accountant’s engagement to audit the registrant’s financial statements for the most recent
fiscal year were attributed to work performed by persons other than the principal accountant’s full-time, permanent employees.

Audit Committee Pre-Approval Policies and Procedures. Generally, the Audit Committee must approve (i) all non-audit services to be performed for the Fund by the Fund’s independent accountants and (ii) all audit and non-audit services to be performed by the Fund’s independent accountants for the Affiliated Fund Service Providers with respect to operations and financial reporting of the Fund. Regarding tax and research projects conducted by the independent accountants for the Fund and Affiliated Fund Service Providers (with respect to operations and financial reports of the Fund) such engagements will be (i) pre-approved by the Audit Committee if they are expected to be for amounts greater than $10,000; (ii) reported to the Audit Committee chairman for his verbal approval prior to engagement if they are expected to be for amounts under $10,000 but greater than $5,000; and (iii) reported to the Audit Committee at the next Audit Committee meeting if they are expected to be for an amount under $5,000.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
 
The registrant’s Board has a separately designated Audit Committee established in accordance with Section 3(a)(58)(A) of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78c(a)(58)(A)). As of the end of the period covered by this report the members of the audit committee are Jack B. Evans, Chair, William C. Hunter, John K. Nelson, Carole E. Stone and Terence J. Toth.
ITEM 6. SCHEDULE OF INVESTMENTS.

a) See Portfolio of Investments in Item 1.

b) Not applicable.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Nuveen Fund Advisors, LLC is the registrant’s investment adviser (referred to herein as the “Adviser”). The Adviser is responsible for the on-going monitoring of the Fund’s investment portfolio, managing the Fund’s business affairs and providing certain clerical, bookkeeping and administrative services. The Adviser has engaged Nuveen Asset Management, LLC (“Sub-Adviser”) as Sub-Adviser to provide discretionary investment advisory services. As part of these services, the Adviser has delegated to the Sub-Adviser the full responsibility for proxy voting on securities held in the registrant’s portfolio and related duties in accordance with the Sub-Adviser’s policies and procedures. The Adviser periodically monitors the Sub-Adviser’s voting to ensure that it is carrying out its duties. The Sub-Adviser’s proxy voting policies and procedures are attached to this filing as an exhibit and incorporated herein by reference.
 
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Nuveen Fund Advisors, LLC is the registrant’s investment adviser (also referred to as the “Adviser”).  The Adviser is responsible for the selection and on-going monitoring of the Fund’s investment portfolio, managing the Fund’s business affairs and providing certain clerical, bookkeeping and administrative services.  The Adviser has engaged Nuveen Asset Management, LLC (“Nuveen Asset Management” or “Sub-Adviser”) as Sub-Adviser to provide discretionary investment advisory services. The following section provides information on the portfolio manager at the Sub-Adviser:

Item 8(a)(1). PORTFOLIO MANAGER BIOGRAPHY

Paul Brennan, CFA, CPA, manages several Nuveen municipal national and state mutual funds and closed-end bond funds.  Paul began his career in the investment business in 1991, as a municipal credit analyst for Flagship Financial, before becoming a portfolio manager in 1994.  He joined Nuveen Investments in 1997, when Nuveen acquired Flagship Financial that year.   He earned his B.S. in Accountancy and Finance from Wright State University.  He is a CPA, has earned the Chartered Financial Analyst (CFA) designation, and currently sits on the Nuveen Asset Management Investment Management Committee.

Item 8(a)(2). OTHER ACCOUNTS MANAGED BY THE PORTFOLIO MANAGER

Other Accounts Managed. In addition to managing the registrant, the portfolio manager is also primarily responsible for the day-to-day portfolio management of the following accounts:
 
Portfolio Manager
Type of Account
Managed
Number of
Accounts
Assets*
Paul Brennan
Registered Investment Company
10
$17.38 billion
 
Other Pooled Investment Vehicles
1
$44.2 million
 
Other Accounts
2
$52.3 million
*
Assets are as of February 28, 2018.  None of the assets in these accounts are subject to an advisory fee based on performance.

POTENTIAL MATERIAL CONFLICTS OF INTEREST

Actual or apparent conflicts of interest may arise when a portfolio manager has day-to-day management responsibilities with respect to more than one account. More specifically, portfolio managers who manage multiple accounts are presented a number of potential conflicts, including, among others, those discussed below.

The management of multiple accounts may result in a portfolio manager devoting unequal time and attention to the management of each account. Nuveen Asset Management seeks to manage such competing interests for the time and attention of portfolio managers by having portfolio managers focus on a particular investment discipline. Most accounts managed by a portfolio manager in a particular investment strategy are managed using the same investment models.

If a portfolio manager identifies a limited investment opportunity which may be suitable for more than one account, an account may not be able to take full advantage of that opportunity due to an allocation of filled purchase or sale orders across all eligible accounts. To deal with these situations, Nuveen Asset Management has adopted procedures for allocating limited opportunities across multiple accounts.

With respect to many of its clients’ accounts, Nuveen Asset Management determines which broker to use to execute transaction orders, consistent with its duty to seek best execution of the transaction. However, with respect to certain other accounts, Nuveen Asset Management may be limited by the client with respect to the selection of brokers or may be instructed to direct trades through a particular broker. In these cases, Nuveen Asset Management may place separate, non-simultaneous, transactions for a Fund and other accounts which may temporarily affect the market price of the security or the execution of the transaction, or both, to the detriment of the Fund or the other accounts.

Some clients are subject to different regulations. As a consequence of this difference in regulatory requirements, some clients may not be permitted to engage in all the investment techniques or transactions or to engage in these transactions to the same extent as the other accounts managed by the portfolio manager. Finally, the appearance of a conflict of interest may arise where Nuveen Asset Management has an incentive, such as a performance-based management fee, which relates to the management of some accounts, with respect to which a portfolio manager has day-to-day management responsibilities.

Nuveen Asset Management has adopted certain compliance procedures which are designed to address these types of conflicts common among investment managers. However, there is no guarantee that such procedures will detect each and every situation in which a conflict arises.

Item 8(a)(3). FUND MANAGER COMPENSATION

Portfolio manager compensation consists primarily of base pay, an annual cash bonus and long term incentive payments.

Base pay. Base pay is determined based upon an analysis of the portfolio manager’s general performance, experience, and market levels of base pay for such position.

Annual cash bonus.  The Fund’s portfolio managers are eligible for an annual cash bonus based on investment performance, qualitative evaluation and financial performance of Nuveen Asset Management.

A portion of each portfolio manager’s annual cash bonus is based on the Fund’s pre-tax investment performance, generally measured over the past one- and three or five-year periods unless the portfolio manager’s tenure is shorter. Investment performance for the Fund generally is determined by evaluating the Fund’s performance relative to its benchmark(s) and/or Lipper industry peer group.

A portion of the cash bonus is based on a qualitative evaluation made by each portfolio manager’s supervisor taking into consideration a number of factors, including the portfolio manager’s team collaboration, expense management, support of personnel responsible for asset growth, and his or her compliance with Nuveen Asset Management’s policies and procedures.
 
The final factor influencing a portfolio manager’s cash bonus is the financial performance of Nuveen Asset Management based on its operating earnings.

Long-term incentive compensation.  Certain key employees of Nuveen Asset Management, including certain portfolio managers, have received profits interests in Nuveen Asset Management which entitle their holders to participate in the firm’s growth over time.

There are generally no differences between the methods used to determine compensation with respect to the Fund and the Other Accounts shown in the table above.

Item 8(a)(4). OWNERSHIP OF NQP SECURITIES AS OF FEBRUARY 28, 2018

Name of Portfolio Manager
None
$1 - $10,000
$10,001-$50,000
$50,001-$100,000
$100,001-$500,000
$500,001-$1,000,000
Over $1,000,000
Paul Brennan
X
           
 
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Period*
(a)
(b)
(c)
(d)*
 
TOTAL NUMBER OF
AVERAGE
TOTAL NUMBER OF SHARES
MAXIMUM NUMBER (OR
 
SHARES (OR
PRICE
(OR UNITS) PURCHASED AS
APPROXIMATE DOLLAR VALUE) OF
 
UNITS)
PAID PER
PART OF PUBLICLY
SHARES (OR UNITS) THAT MAY YET
 
PURCHASED
SHARE (OR
ANNOUNCED PLANS OR
BE PURCHASED UNDER THE PLANS OR
   
UNIT)
PROGRAMS
PROGRAMS
         
MARCH 1-31, 2017
         0
 
0
 
         
APRIL 1-30, 2017
         0
 
0
 
         
MAY 1-31, 2017
         0
 
0
 
         
JUNE 1-30, 2017
         0
 
0
 
         
JULY 1-31, 2017
         0
 
0
 
         
AUGUST 1-31, 2017
         0
 
0
3,775,000
         
SEPTEMBER 1-30, 2017
         0
 
0
3,775,000
         
OCTOBER 1-31, 2017
         0
 
0
3,775,000
         
NOVEMBER 1-30, 2017
         0
 
0
3,775,000
         
DECEMBER 1-31, 2017
         0
 
0
3,775,000
         
JANUARY 1-31, 2018
         0
 
0
3,775,000
         
FEBRUARY 1-29, 2018
15,500
$12.66
0
3,759,500
         
TOTAL
15,500
     

* The program was reauthorized for a maximum repurchase amount of 3,775,000 shares on August 1, 2017.  Any repurchases made by the registrant pursuant to the program were made through open-market transactions.
 
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board implemented after the registrant last provided disclosure in response to this Item.

ITEM 11. CONTROLS AND PROCEDURES.

(a)
The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (17 CFR 240.13a-15(b) or 240.15d-15(b)).

(b)
There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 12. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.
 
ITEM 13. 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 because the code is posted on registrant’s website at www.nuveen.com/CEF/Shareholder/FundGovernance.aspx and there were no amendments during the period covered by this report. (To view the code, click on Code of Conduct.)

(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 Pennsylvania Quality Municipal Income Fund

By (Signature and Title) /s/ Gifford R. Zimmerman
Gifford R. Zimmerman
Vice President and Secretary
 
Date: May 7, 2018

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

By (Signature and Title) /s/ Cedric H. Antosiewicz
Cedric H. Antosiewicz
Chief Administrative Officer
(principal executive officer)
 
Date: May 7, 2018
 
By (Signature and Title) /s/ Stephen D. Foy
Stephen D. Foy
Vice President and Controller
(principal financial officer)

Date: May 7, 2018