Fund Description

The fund seeks to achieve its objective by investing under normal circumstances at least 80% of its assets in debt securities whose interest is, in the opinion of bond counsel for the issuer at the time of issuance, exempt from federal income tax (Municipal Bonds). It may invest up to 20% of net assets in U.S. Government securities and/or money market instruments, and without limitation in private activity bonds that may be a tax-preference item for AMT. It primarily holds investment grade debt but may invest up to 20% of total assets in high yield securities. It may invest more than 25% of its total assets in bonds of issuers in California and New York. It may invest 25% or more of its total assets in Municipal Bonds that finance education, health care, housing, transportation, utilities and other similar projects, and 25% or more of its total assets in industrial development bonds. It may use derivatives, mortgage- or asset-backed securities, when-issued/forward trades, short sales, and up to 10% in preferred securities.