Fund Description

The fund normally invests at least 80% of its net assets, plus any borrowings for investment purposes, in municipal securities whose interest is exempt from regular federal income tax, and may use derivatives with similar economic characteristics to meet this policy. It primarily invests in high-yield municipal obligations, including securities rated Ba/BB or lower, unrated securities of comparable quality, and securities in default or debtor-in-possession financings. The fund may invest in municipal securities of any maturity and may invest 25% or more of its assets in issuers in any one or more states or in the same economic sector or similar project type. The fund may, but is not required to, use derivatives for purposes such as attempting to hedge against adverse changes in market prices or interest rates, as a substitute for purchasing or selling securities, attempting to increase return as a non-hedging strategy that may be considered speculative, managing portfolio characteristics, or as a cash flow management technique. The fund may invest up to 20% of its net assets in inverse floating rate obligations and up to 20% of its net assets in taxable investments, and it may hold cash or other short-term investments.