Nuveen Tax-Advantaged Floating Rate Fund (NYSE: JFP)
Shareholder Fund Report | Printable Fact Sheet | Glossary
OBJECTIVE
The fund's primary investment objective is to provide an attractive level of after-tax current income. The fund's secondary objective is capital preservation.
INVESTMENT STRATEGY

The fund invests at least 80% of its managed assets in adjustable rate preferred stock and other adjustable rate securities that the fund believes at the time of investment are eligible to pay dividends that qualify for favorable federal income tax treatment (eligibility for the "dividends received deductions" or classified as "qualified dividend income"). At least 90% of the fund's managed assets will be invested in securities, that, at the time of investment, are rated investment grade, or are unrated but judged to be of comparable quality. The fund expects that a substantial portion of its investments will be invested in securities issued by banking companies and other financial institutions, including securities of middle market banking companies, but may invest up to 25% of its managed assets in investment-grade securities issued by non-financial companies.

HIGHLIGHTS
  • Tax-advantaged distributions from strategies designed to benefit from a rising short-term interest rate environment
  • Short effective duration for investors seeking alternatives to highly leveraged loans
  • Access to illiquid asset class for retail investors through closed-end fund structure
DAILY PRICING
Closing Share Price (As of 11/19/2009)$2.30
Closing NAV per Share (As of 11/19/2009)$2.46
Premium / Discount-6.50%
Current Distribution Rate (Market price)††11.48%
Distribution Amount (Monthly) $0.0220
This fund has adopted a "managed distribution policy". Regular distributions througout the year may include realized and unrealized capital gains along with net investment income, and may from time to time also include a return of capital. Consequently, it is important to understand the components of a managed distribution, and the fund's NAV performance relative to its distribution rate.

View more information about Managed Distributions. View fund performance and current estimates of the fund's managed distribution components.

PORTFOLIO MANAGEMENT
Spectrum Asset Management
ASSET ALLOCATION As of 09/30/2009

Total may not add up to 100% due to rounding.

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. Shares of closed-end funds are subject to investment risks, including the possible loss of principal invested. Past performance is no guarantee of future results.

Fund data is updated daily, monthly, and quarterly, depending on the specific data point. Click HERE for the update schedule.

RISKS
Investment and Market RiskAn investment in the fund's common shares is subject to investment risk, including the possible loss of the entire principal amount that you invest. Your investment in common shares represents an indirect investment in the securities owned by the fund, most of which are traded on a national securities exchange or in the over-the-counter markets. The value of these securities, like other market investments, may move up or down, sometimes rapidly and unpredictably. Your common shares at any point in time may be worth less than your original investment, even after considering the reinvestment of fund dividends and distributions. Closed-end funds also carry price risk, or the risk that shares may trade at prices different from their net asset values.Availability Risk Associated with Investments in Preferred Stock Issued by Middle Market Banking CompaniesThe fund's ability to make investments in preferred stock issued by middle market banking companies is dependent upon the availability of a sufficient supply of such preferred stock that meets the investment criteria established by the fund's portfolio manager. When an investment is made, the fund typically expects to own all of the outstanding preferred stock of a middle market banking company. Credit riskThe risk that a security in the fund's portfolio will decline in price, or fail to make dividend or interest payments when due, because the security's issuer defaults or experiences a decline in its financial status. Securities falling lower in a company's capital structure and/or unrated securities and securities with lower credit ratings are expected to have higher credit risk. See subordination.Illiquid Securities RiskIlliquid securities involve the risk that the securities will not be able to be sold at the time or prices desired by the fund. Illiquid securities are not readily marketable and may include some restricted securities that may be resold to qualified institutional buyers in private transactions but otherwise would not have a regular secondary trading market.Non-Diversification and Concentration RiskA fund classified as "non-diversified" under the Investment Company Act of 1940 can invest a greater portion of its assets in obligations of a single issuer than a "diversified" fund. The risk is that a non-diversified fund or one with a portfolio concentrated in a particular industry or geographical region may be affected disproportionately by the performance of a single security or relatively few securities as a result of adverse economic, regulatory, or market occurrences. Preferred Stock RiskPreferred stocks are subordinated to bonds and other debt instruments in a company's capital structure in terms of priority to corporate income and liquidation payments, and therefore will be subject to greater credit risk than those debt instruments. Certain preferred stocks contain provisions that allow an issuer under certain circumstances to skip distributions (in the case of "non-cumulative" preferred stocks) or defer distributions (in the case of "cumulative" preferred stocks). If the fund owns a preferred stock that is deferring its distributions, the fund may be required to report income for tax purposes while it is not receiving income from that stock. Preferred stocks typically do not provide any voting rights, except in cases when dividends are in arrears for a specified number of periods.Unrated Investment RiskIn determining whether an unrated security is an appropriate investment for the fund, the manager will seek to determine whether the default probability and financial strength characteristics of the security are comparable to those of issuers of securities rated investment grade quality. The manager will consider information from industry sources, as well as its own quantitative and qualitative analysis, in making such a determination. However, such a determination by the manager is not the equivalent of an investment grade rating by a rating agency.
NOTES

†† Distribution rates represent the latest declared regular distribution, annualized, relative to the most recent daily market price and NAV.

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