Tax-Free High Yield Fund  (PTHAX)

Pursuing a high level of tax-free income for shareholders since 1993

Objective

The fund seeks high current income exempt from federal income tax.

Fund price

Yesterday’s close 52-week high 52-week low
Net asset value $12.64
0.00% | $0.00
$12.79
10/20/16
$12.09
12/05/16
Historical fund price

Fund facts as of 09/30/17

Total net assets
$942.10M
Turnover (fiscal year end)
32%
Dividend frequency (view rate)
Monthly
Number of holdings
472
Fiscal year end
July
CUSIP / Fund code
746872407 / 0040
Inception Date
09/20/93
Category
Tax-free Income
Open to new investors
Ticker
PTHAX

Management team


Portfolio Manager

Portfolio Manager

Strategy and process

  • Tax-advantaged income: The fund pursues above-average income free from federal income tax by investing in higher-yielding, lower-rated municipal bonds.
  • Focus on performance: The portfolio managers select bonds that offer attractive return potential relative to risk and position the portfolio based on Putnam's fundamental research and risk management.
  • Leading research: Members of Putnam's fixed-income organization have a range of skills to analyze the credit risk of below-investment grade bonds and help build a well-diversified portfolio of tax-exempt bonds.

Literature


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Performance

Consistency of positive performance over five years

Performance represents 5-year returns in rolling quarter-end periods since inception.

Performance shown above does not reflect the effects of any sales charges. Note that returns of 0.00% are counted as positive periods. For complete fund performance, please see below.

10.93%

Best 5-year annualized return

(for period ending 12/31/13)


-1.89%

Worst 5-year annualized return

(for period ending 12/31/08)


5.66%

Average 5-year annualized return


  • Total return (%) as of 09/30/17

  • Annual performance as of 09/30/17

Annualized performance 1 yr. 3 yrs. 5 yrs. 10 yrs.
Before sales charge 1.42% 4.73% 4.24% 4.88%
After sales charge -2.64% 3.31% 3.39% 4.45%
Bloomberg Barclays Municipal Bond Index 0.87% 3.19% 3.01% 4.52%

Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or loss when you sell your shares. To obtain the most recent month-end performance, visit putnam.com. Performance assumes reinvestment of distributions and does not account for taxes. Returns before sales charge do not reflect the current maximum sales charges as indicated below. Had the sales charge been reflected, returns would be lower. Returns at public offering price (after sales charge) for class A and class M shares reflect the current maximum initial sales charges of 5.75% and 3.50% for equity funds and Putnam Absolute Return 500 Fund and 700 Fund, and 4.00% and 3.25% for income funds (1.00% and 0.75% for Putnam Floating Rate Income Fund, Putnam Absolute Return 100 Fund and 300 Fund, and Putnam Short-Term Municipal Income Fund), respectively. Class B share returns reflect the applicable contingent deferred sales charge (CDSC), which is 5% in the first year, declining to 1% in the sixth year, and is eliminated thereafter (except for Putnam Floating Rate Income Fund, Putnam Absolute Return 100 Fund and 300 Fund, and Putnam Short-Term Municipal Income Fund, which is 1% in the first year, declining to 0.5% in the second year, and is eliminated thereafter). Class C shares reflect a 1% CDSC the first year that is eliminated thereafter. Performance for class B, C, M, R, T1, and Y shares prior to their inception is derived from the historical performance of class A shares, adjusted for the applicable sales charge (or CDSC) and, except for class Y shares, the higher operating expenses for such shares (with the exception of Putnam Tax-Free High Yield Fund and Putnam AMT-Free Municipal Fund, which are based on the historical performance of class B shares). Class R5/R6 shares, available to qualified employee-benefit plans only, are sold without an initial sales charge and have no CDSC. Class Y shares are generally only available for corporate and institutional clients and have no initial sales charge. Performance for Class R5/R6 shares before their inception are derived from the historical performance of class Y shares, which have not been adjusted for the lower expenses; had they, returns would have been higher. Class A, M, and T1 shares of Putnam money market funds have no initial sales charge. For a portion of the period, some funds had expenses limitations or had been sold on a limited basis with limited assets and expenses, without which returns would be lower.

Performance snapshot

  Before sales charge After sales charge
1 mt. as of 09/30/17 0.00 % -4.00 %
YTD as of 10/19/17 7.32 % 3.03 %

Yield

Distribution rate before sales charge
as of 10/19/17
3.58%
Distribution rate after sales charge
as of 10/19/17
3.44%
30-day SEC yield as of 09/29/17
(after sales charge)
2.50%

Risk-adjusted performance as of 09/30/17

Sharpe ratio (3 yrs.) 1.23
Information ratio (3 yrs.) 1.43

Volatility as of 09/30/17

Standard deviation (3 yrs.) 3.64%
Beta 1.07
R-squared 0.92

Lipper rankings as of 09/30/17

High Yield Municipal Debt Funds Percentile ranking Rank/Funds in category
1 yr. 35% 55/159
3 yrs. 45% 62/138
5 yrs. 52% 58/111
10 yrs. 15% 12/79

Morningstar ratings as of 09/30/17

High Yield Muni Rating Funds in category
Overall (146)
3 yrs. (146)
5 yrs. (118)
10 yrs. (85)

Distributions

Accrual days 29
Accrual start date 09/01/17
Accrual end date 09/29/17
Payable date 09/29/17
Non-taxable income $0.039867569
Extra taxable income $0.0

Lipper rankings are based on total return without sales charge relative to all share classes of funds with similar objectives as determined by Lipper. Past performance is not indicative of future results.

The Morningstar RatingTM for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

The up-market capture ratio is used to evaluate how well an investment manager performed relative to an index during periods when that index has risen. The ratio is calculated by dividing the manager’s returns by the returns of the index during the up-market, and multiplying that factor by 100. The down-market capture ratio is used to evaluate how well an investment manager performed relative to an index during periods when that index has dropped. The ratio is calculated by dividing the manager’s returns by the returns of the index during the down-market and multiplying that factor by 100.


Holdings

Top 10 holdings as of 09/30/17

Tob Settle-C 05.3750 06/01/2038 1.08%
Golden Tob Sr-Conv A2 05.3000 06/01/2037 0.88%
Chicago Il 06.0000 01/01/2038 0.88%
Tob Settlement Ser 1a 05.0000 06/01/2041 0.87%
Illinois St 05.0000 11/01/2036 0.86%
Tob Settlement Ser 1a 04.7500 06/01/2034 0.81%
Hi Dept Budget Hawaii 06.5000 07/01/2039 0.81%
Golden Tob Sr-A-1 05.1250 06/01/2047 0.79%
Jefferson Co-Cabs-F 00.0000 10/01/2046 0.77%
New Jersey St Econ De 05.0000 11/01/2026 0.75%
Top 10 holdings, percent of portfolio 8.50%

Full portfolio holdings as of 06/30/17

TOB SETTLE-C 05.3750 06/01/2038 1.05%
NYC TRANS FIN-A-E-1 05.0000 02/01/2040 0.92%
TOB SETTLEMENT SER 1A 05.0000 06/01/2041 0.86%
GOLDEN TOB SR-CONV A2 05.3000 06/01/2037 0.85%
HI DEPT BUDGET HAWAII 06.5000 07/01/2039 0.81%
TOB SETTLEMENT SER 1A 04.7500 06/01/2034 0.80%
ILLINOIS ST 05.0000 11/01/2036 0.79%
HARRIS CULT ED VAR-C1 00.7800 12/01/2024 0.78%
CHICAGO IL 06.0000 01/01/2038 0.77%
GOLDEN TOB SR-A-1 05.1250 06/01/2047 0.77%
JEFFERSON CO-CABS-F 00.0000 10/01/2046 0.75%
BUCKEYE TOB ASSET-A-2 05.8750 06/01/2047 0.71%
CA ST UNIV-A 05.0000 11/01/2041 0.71%
N TX TWY CAB-REF-I 06.5000 01/01/2043 0.71%
DE HLTH-VAR-A-CHRISTI 00.7800 10/01/2038 0.70%
SC PUB SVC AUTH-A 05.5000 12/01/2054 0.70%
NEW JERSEY ST ECON DE 05.0000 11/01/2026 0.68%
E-470 PUB HWY-CAB-A 00.0000 09/01/2034 0.67%
MUNIMAE TE BOND SUBS P/P 144A 05.7500 06/30/2050 0.66%
PORT SEATTLE IND DEV 05.0000 04/01/2030 0.65%
FOOTHILL E TRANSP-A 06.0000 01/15/2053 0.63%
IL FIN-SILVER CROSS & 07.0000 08/15/2044 0.63%
BUCKEYE TOB ASSET-A-2 05.8750 06/01/2030 0.62%
MASSACHUSETTS ST-A 05.0000 04/01/2036 0.62%
CA ST PUBLIC WKS-A 05.0000 04/01/2030 0.60%
CHICAGO O'HARE-A 05.7500 01/01/2039 0.60%
LONG ISLAND PWR AUTH 05.0000 09/01/2044 0.59%
WA HSP-C-MTN STS HLTH 07.7500 07/01/2038 0.59%
CO ST HLTH FACS-EVANG 05.0000 12/01/2033 0.58%
NJ ECON DEV-MSU HSG 05.8750 06/01/2042 0.57%
LOVE FIELD ARPT-SW AI 05.2500 11/01/2040 0.56%
MARICOPA PCR--A 07.2500 02/01/2040 0.56%
MIAMI-DADE CNTY-REF 04.0000 07/01/2036 0.56%
MASSACHUSETTS ST 04.0000 04/01/2046 0.54%
MI FIN AUTH-C 05.0000 07/01/2034 0.54%
TX PRIVATE ACT-SR LIE 07.0000 06/30/2040 0.53%
CHICAGO SPL ASSMNT 06.7500 12/01/2032 0.52%
LAKELAND HOSP 05.0000 11/15/2045 0.52%
MIAMI-DADE CNTY AVTN 05.0000 10/01/2041 0.52%
ILLINOIS ST-REF 05.0000 02/01/2029 0.51%
SAN BERNARDINO CLG-B 00.0000 08/01/2044 0.51%
VA ST BUSINESS FING 05.0000 01/01/2040 0.50%
HOUSTON ARPT SYS-REF 04.7500 07/01/2024 0.49%
MSR ENERGY 06.5000 11/01/2039 0.48%
NY LIBERTY DEV CORP P/P 144A 05.0000 11/15/2044 0.48%
LOWER AL GAS DIST GAS 05.0000 09/01/2046 0.47%
PALM BEACH HLTH-REF 05.0000 11/15/2032 0.47%
TARRANT ED-AIR FORCE 06.3750 11/15/2044 0.47%
NJ ECON CONTINENTAL 05.2500 09/15/2029 0.46%
WA ST HSG FIN COMM-A 05.0000 01/01/2046 0.45%
DIST COLUM REV-UNREF 06.5000 10/01/2041 0.44%
HALIFAX HOSP MED-REF 05.0000 06/01/2036 0.44%
PHOENIX INDL DEV AUTH 05.0000 07/01/2044 0.43%
BUCKEYE TOB ASSET-A-2 06.5000 06/01/2047 0.42%
GA MUNI ELEC AUTH-A 05.5000 07/01/2060 0.42%
IL ST FIN AUTH-REFD 07.7500 08/15/2034 0.42%
NEW JERSEY ST TRANSPR 05.0000 06/15/2030 0.42%
GLDN ST TOBACCO-UNREF 05.7500 06/01/2047 0.41%
GTR ORLANDO FL AVIATI 05.0000 10/01/2046 0.41%
HOUSTON-UTL SYS-B-REF 05.0000 11/15/2036 0.41%
MET WA DC ARPTS-CABS 00.0000 10/01/2038 0.41%
SUNNYVALE-FACS DIST 1 07.7500 08/01/2032 0.41%
BUCKEYE TOB ASSET-A-2 05.7500 06/01/2034 0.40%
CA MUNI FIN-EMERSON 06.0000 01/01/2042 0.40%
WASHINGTON ST-A-COPS 05.0000 07/01/2038 0.40%
N TX TOLL AUTH-A-REF 05.0000 01/01/2039 0.39%
PUBLIC FIN AUTH-REF 05.0000 07/01/2042 0.39%
TX PRIVATE ACTIVITY 06.8750 12/31/2039 0.39%
HOUSTON ARPT-REF-A 06.5000 07/15/2030 0.38%
JEFFERSON CO SWR-D 06.5000 10/01/2053 0.38%
WASHINGTON ST-A-COPS 05.0000 07/01/2033 0.38%
AMERICAN MUNI PWR-OHI 05.0000 02/15/2038 0.37%
E-470 PUB HWY-CAB-A 00.0000 09/01/2028 0.37%
ME H/E AUTH-HOSP 07.5000 07/01/2032 0.37%
NC MED-CAROLINA VLG 06.0000 04/01/2038 0.37%
BROOKLYN ARENA LOC DE 06.3750 07/15/2043 0.36%
CHESAPEAKE BAY VA BRI 05.0000 07/01/2046 0.36%
FRANKLIN CNTY-A 06.0000 07/01/2035 0.36%
WA ST HLTH CR FACS 07.0000 07/01/2039 0.36%
BUCKEYE TOB CAB-SR-A3 06.2500 06/01/2037 0.35%
CA DEV FRONT PORCH-A P/P 144A 05.1250 04/01/2037 0.35%
CENTRAL PLAINS ENERGY 05.0000 09/01/2032 0.35%
MA H/E-WINCHESTER HSP 05.2500 07/01/2038 0.35%
MATAGORDA NAV 1-RF-A 04.4000 05/01/2030 0.35%
SELMA INDL-A-GULF OPP 06.2500 11/01/2033 0.35%
CHICAGO BOE-C-PROJ 05.2500 12/01/2039 0.34%
CHICAGO-2005D-REF 05.5000 01/01/2037 0.34%
MICHIGAN ST FIN AUTH 05.0000 02/01/2047 0.34%
NY DORM ORANGE MED 06.2500 12/01/2037 0.34%
PR S/TAX-CABS-A 00.0000 08/01/2043 0.34%
WESTMINSTER-REF 05.1250 07/01/2034 0.34%
DELAWARE ECON DEV AUT 05.3750 10/01/2045 0.33%
MARIETTA DEV-REF-UNIV 07.0000 06/15/2039 0.33%
NC MED CARE COMM 05.2500 10/01/2037 0.33%
PLAZA MET DIST 1-REF 05.0000 12/01/2040 0.33%
CHICAGO WSTWTR TRANS 05.0000 01/01/2039 0.32%
CHICAGO-A-REF 05.2500 01/01/2033 0.32%
LANCASTER HSP-A-BRETH 06.5000 07/01/2040 0.32%
MARTIN CO DEV-REF 04.2000 12/15/2025 0.32%
TOB SETTLEMT FING-B 05.0000 06/01/2050 0.32%
WESTCHESTER DEV-A 05.5000 05/01/2042 0.32%
CHICAGO-C-REF 05.0000 01/01/2038 0.30%
HOUSTON ARPT FAC-B-1 05.0000 07/15/2030 0.30%
MSR ENERGY 06.5000 11/01/2039 0.30%
NJ ECON DEV AUTH-AMT 05.3750 01/01/2043 0.30%
PUB AUTH FOR CO GAS 06.5000 11/15/2038 0.30%
CA DEV-AMERN BAPTIST P/P 144A 06.2500 10/01/2039 0.29%
CA MUNI FIN AUTH-A 05.0000 02/01/2046 0.29%
LA VERNIA HGR ED-A-KI 06.3750 08/15/2044 0.29%
MURRAY CITY HSP-VAR-A 00.7500 05/15/2037 0.29%
N TX EDU FIN CORP-A 05.1250 12/01/2042 0.29%
NJ HLTH-ST PETERS-REF 06.2500 07/01/2035 0.29%
NJ HLTHCARE FACS-REF 05.0000 07/01/2041 0.29%
SOUTH CAROLINA ST PUB 05.2500 12/01/2055 0.29%
CA POLL CNTRL-AMT 05.0000 11/21/2045 0.28%
LA VERNIA HGR ED-A-KI 06.2500 08/15/2039 0.28%
LONG BCH NAT GAS-A 05.5000 11/15/2037 0.27%
MATAGORDA NAV 1-RF-A 06.3000 11/01/2029 0.27%
NY TOBACCO-A-2B-REF 05.0000 06/01/2051 0.27%
ONONDAGA CIVIC DEV-A 05.1250 07/01/2031 0.27%
BUCKEYE TOB ASSET-A-2 06.0000 06/01/2042 0.26%
CULLMAN COUNTY 07.0000 02/01/2036 0.26%
GAINESVILLE ETC DEV 05.0000 03/01/2037 0.26%
HIGH PLAINS CO MET DI 04.0000 12/01/2047 0.26%
HOUSTON HGR ED-A 05.0000 02/15/2032 0.26%
MA DEV SABIS INTL-A 08.0000 04/15/2039 0.26%
NH HLTH &EDU FACS-REF 05.0000 10/01/2037 0.26%
PHILA AUTH INDL DEV 06.0000 08/01/2035 0.26%
RAILSPLITTER 06.0000 06/01/2028 0.26%
SOUTHEASTERN OH PORT 05.7500 12/01/2032 0.26%
AMERICAN MUNI PWR-A 05.0000 02/15/2041 0.25%
CA UNIV REVENUE-A-REF 05.0000 11/01/2038 0.25%
HOUSTON HGR ED-A 05.0000 02/15/2042 0.25%
JACKSONVILLE ECON-GER 05.3000 05/01/2037 0.25%
MED CTR REF-SPR HBR 05.2500 07/01/2027 0.25%
PORT AUTH -SPEC PROJ 06.0000 12/01/2042 0.25%
WV HSP-THOMAS HLTH SY 06.7500 10/01/2043 0.25%
AMERICAN MUNI PWR-OHI 05.0000 02/15/2041 0.24%
CA SCH FIN AUTH-A 05.0000 07/01/2034 0.24%
CLAYTON DEV-A-DELTA A 08.7500 06/01/2029 0.24%
CLIFTON HGR ED FIN 05.0000 08/15/2032 0.24%
DALLAS-FT WORTH ARPT 05.2500 11/01/2030 0.24%
GAINESVILLE HOSP-A 05.0000 02/15/2042 0.24%
GREATER CHICAGO MET-A 05.0000 12/01/2031 0.24%
IA ST FIN AUTH 05.2500 12/01/2025 0.24%
ILLINOIS ST 05.0000 11/01/2034 0.24%
KY PUB TRANSPTRN-A 06.0000 07/01/2053 0.24%
MA DEV FIN AGY 05.0000 07/01/2034 0.24%
MA ST DEV FIN AGY-N 05.0000 12/01/2046 0.24%
SALT LAKE ARPT REV-A 05.0000 07/01/2042 0.24%
VALPARAISO EXEMPT FAC 06.7500 01/01/2034 0.24%
CALIFORNIA PUBLIC FIN 05.0000 10/15/2047 0.23%
DALLAS ETC ARPRT-A 05.0000 11/01/2043 0.23%
FARMINGTON POLL-REF-D 05.9000 06/01/2040 0.23%
LOUISVILLE & JEFFERSO 05.0000 10/01/2030 0.23%
MA HLTHCR-A-ADVENTCA P/P 144A 06.6500 10/15/2028 0.23%
NEW JERSEY ST TRANSPR 05.0000 06/15/2028 0.23%
NJ ECON DEV AUTH-REMK 05.5000 06/01/2033 0.23%
ORLANDO REDEV AGY-REF 05.0000 04/01/2024 0.23%
TARRANT ED-A-SR LVG C 08.2500 11/15/2044 0.23%
AUSTIN TX ARPT SYS RE 05.0000 11/15/2041 0.22%
CENTERVILLE OH HLTH C 05.2500 11/01/2047 0.22%
CHICAGO WSTWTR TRANS 05.0000 01/01/2034 0.22%
COLORADO ST HLTH FACS 05.0000 01/01/2031 0.22%
IL FIN-REF-ROOSEVELT 06.5000 04/01/2039 0.22%
IN FIN AUTH-A-2-UNREF 00.8000 02/01/2037 0.22%
MA DEV-SUFFOLK UNIV 05.1250 07/01/2040 0.22%
MARIETTA DEV-A-REF 05.0000 11/01/2037 0.22%
MI FIN AUTH-D4 05.0000 07/01/2034 0.22%
MOON IDA-REF 05.7500 07/01/2035 0.22%
NJ ECON DEV-C 05.3000 07/01/2044 0.22%
OK ST TPK-VAR-REF-F 00.7300 01/01/2028 0.22%
PHOENIX IDA 05.3750 09/01/2032 0.22%
SKAGIT HOSP DIST-REF 05.0000 12/01/2037 0.22%
TULSA CO ARPT-B-REF 05.5000 12/01/2035 0.22%
WA ST HSG FIN-A-REF 05.0000 07/01/2046 0.22%
GREAT LAKES WTR-C-REF 05.0000 07/01/2036 0.21%
KY ECON DEV FIN-A-REF 05.0000 05/15/2036 0.21%
LANCASTER HSP 1-IMMA 05.6250 01/01/2040 0.21%
MIAMI-DADE IDA 05.0000 09/15/2034 0.21%
SAN DIEGO SD-CABS-C 00.0000 07/01/2040 0.21%
VA ST SMALL BUS-SR 06.0000 01/01/2037 0.21%
CA DEV-A 06.0000 10/01/2042 0.20%
ILLINOIS ST 05.0000 11/01/2041 0.20%
LAKELAND RETIRE-REF 06.3750 01/01/2043 0.20%
MA DEV-A1-LINDEN POND 06.2500 11/15/2046 0.20%
MICHIGAN FIN AUTH 05.0000 11/01/2044 0.20%
MINNEAPOLIS HLTH-B1-A 00.7300 11/15/2035 0.20%
MO H/E VAR-WA UNIV-D 00.7600 09/01/2030 0.20%
PRINCE GEORGES CO-REF 05.2500 04/01/2037 0.20%
RUTGERS UNIV-VAR-RF-A 00.3500 05/01/2018 0.20%
SALT VERDE FNL CORP 05.5000 12/01/2029 0.20%
SAN FRANCISCO REDEV-C 00.0000 08/01/2043 0.20%
WARM SPRINGS RESRV-B P/P 144A 06.3750 11/01/2033 0.20%
ARLINGTON HGR EDU-A 04.0000 12/01/2042 0.19%
BALTIMORE CO-REF 05.0000 01/01/2037 0.19%
CA POLL FING AUTH 04.7500 11/01/2046 0.19%
NEW HOPE EDU FACS-A 05.0000 04/01/2029 0.19%
NJ ECON-A-CRANES MILL 06.0000 07/01/2038 0.19%
OAKLAND USD-A 05.5000 08/01/2032 0.19%
OAKLEY FIN AUTH-REF 05.0000 09/02/2031 0.19%
PHOENIX IDA-A P/P 144A 05.0000 07/01/2035 0.19%
PUB FIN AUTH-A 05.5000 11/15/2034 0.19%
SALT VERDE FNL CORP 05.0000 12/01/2032 0.19%
WI H/E FACS AUTH-A 07.6250 09/15/2039 0.19%
NC MED CARE COMM-REF 05.0000 10/01/2037 0.18%
NEW YORK TRANSPRTN-A 05.2500 01/01/2050 0.18%
SALT VERDE FNL CORP 05.0000 12/01/2037 0.18%
STAR INTL ACDMY-REF 05.0000 03/01/2033 0.18%
STHRN CA 05.2500 11/01/2021 0.18%
ALEXANDRIA VA INDL DE 05.0000 10/01/2045 0.17%
ALLEGHENY HGR ED BLDG 05.0000 09/01/2030 0.17%
CA CMNTYS DEV-REF 05.3750 05/15/2038 0.17%
CENTRAL PLAINS 05.2500 12/01/2018 0.17%
COLORADO ST HLTH FACS 05.2500 05/15/2037 0.17%
CT HLTH & EDU-F-REF 05.0000 07/01/2033 0.17%
GOLDEN ST TOBACCO-A-1 05.0000 06/01/2026 0.17%
HI BUDGET 09.0000 11/15/2044 0.17%
LENEXA HLTH-LAKEVIEW 07.2500 05/15/2039 0.17%
MONTGOMERY H/E-ARCADI 05.2500 04/01/2030 0.17%
MUNIMAE TE BOND SUBS P/P 144A 05.0000 04/30/2028 0.17%
MURRAY CITY HSP-IHC-C 00.7500 05/15/2036 0.17%
NC MED CARE COMM 05.0000 07/01/2045 0.17%
PHOENIX INDL DEV AUT P/P 144A 05.0000 07/01/2035 0.17%
S E OVERTOWN PK P/P 144A 05.0000 03/01/2030 0.17%
SUFFOLK VA ECON DEV A 05.0000 09/01/2031 0.17%
TOWN CTR AT PALM COAS 06.0000 05/01/2036 0.17%
TX PRIVATE ACTIVITY 05.0000 12/31/2055 0.17%
WA HLTH CARE FACS 04.0000 07/01/2036 0.17%
YAVAPAI INDL DEV 05.0000 03/01/2032 0.17%
BURLINGTON BRDG-EVERG 05.6250 01/01/2038 0.16%
CHICAGO WTRWKS-REMK 05.0000 11/01/2030 0.16%
CO HLTH FACS AUTH-REF 05.1250 01/01/2030 0.16%
HAM LAKE CHRT SCH-A 05.0000 11/01/2036 0.16%
IA ST FIN AUTH 05.5000 12/01/2022 0.16%
IL RUSH UNIV MD CTR-C 06.6250 11/01/2039 0.16%
LAS VEGAS REDEV-REF 05.0000 06/15/2040 0.16%
MA DEV FIN-A-PREREF 05.7500 07/01/2039 0.16%
MIDDLE VLG DEV-A 06.0000 05/01/2035 0.16%
NORTH EAST TEXAS REGL 05.0000 01/01/2046 0.16%
ONEIDA IDA CIVIC-A-EL 05.8750 12/01/2029 0.16%
PUBLIC FIN AUTH -REF P/P 144A 05.0000 09/01/2038 0.16%
TARRANT CNTY CULT EDU 05.5000 11/15/2045 0.16%
VLG CMNTY DEV DIST11 04.5000 05/01/2045 0.16%
ABAG-REF 06.0000 07/01/2031 0.15%
KY ECON DEV AUTH-REF 05.3750 11/15/2042 0.15%
LAKE CO HOSP-C-PREREF 06.0000 08/15/2043 0.15%
LANCASTER HSP-A-BRETH 06.3750 07/01/2030 0.15%
MA H/E FISHER COLL-A 05.1250 04/01/2037 0.15%
MAIN ST NAT GAS INC-A 05.5000 09/15/2021 0.15%
NEW YORK ST DORM AUTH 05.0000 12/01/2035 0.15%
NEW YORK ST ENVRNMNT P/P 144A 03.7500 12/01/2044 0.15%
PR BLDGS-REF-P-GOVT 06.7500 07/01/2036 0.15%
ROCKDALE DEV-A-VISY 06.1250 01/01/2034 0.15%
TEMPE DEV AUTH-REF-A 06.0000 12/01/2032 0.15%
CO HLTH FACS AUTH-REF 05.0000 06/01/2040 0.14%
COBB CNTY GA DEV AUTH 05.0000 07/15/2038 0.14%
NY LIBERTY DEV CORP P/P 144A 05.3750 11/15/2040 0.14%
SC PUB SVC AUTH-C-REF 05.0000 12/01/2046 0.14%
VLG CDD 10 05.7500 05/01/2031 0.14%
CA DEV-A 05.6250 10/01/2032 0.13%
CHESTER CO INDL DEV-A 05.1250 10/15/2037 0.13%
CHICAGO-2007G-REF 05.5000 01/01/2035 0.13%
IL FIN-NAVISTAR-RECOV 06.5000 10/15/2040 0.13%
NEW YORK ST DORM AUTH 05.0000 12/01/2036 0.13%
CA PUB WKS-C 05.7500 10/01/2031 0.12%
CA SCH FIN AUTH-A 06.0000 07/01/2033 0.12%
CHICAGO ARPT-AMT 05.0000 01/01/2046 0.12%
CHICAGO O'HARE ARPT-D 05.0000 01/01/2042 0.12%
CHICAGO WTRWRKS-2ND 05.0000 11/01/2039 0.12%
DIST OF COLUMBIA 06.0000 07/01/2033 0.12%
HI DEPT BUDGET-REF 05.1250 11/15/2032 0.12%
LA DEPT OF APRTS-B 05.0000 05/15/2041 0.12%
LA PUB FACS AUTH-AMT P/P 144A 06.5000 07/01/2036 0.12%
LAKELAND HOSP 05.0000 11/15/2040 0.12%
MA DEV FIN-F 05.7500 07/15/2043 0.12%
MI FIN AUTH-C 05.0000 07/01/2035 0.12%
NC MED CARE-C-REF 05.0000 10/01/2031 0.12%
NEW HOPE ED FACS 05.5000 01/01/2043 0.12%
NEW YORK TRANSPRTN-A 05.0000 07/01/2041 0.12%
NJ ECON DEV-B-AMT 05.6250 11/15/2030 0.12%
NORTH TX TWY-B-CABS 00.0000 09/01/2037 0.12%
NYC IDA YANKEE STADI 07.0000 03/01/2049 0.12%
PA HGR ED-SHIPPENSBUR 06.2500 10/01/2043 0.12%
PRIV CLGS & UNIV-A 05.0000 10/01/2032 0.12%
SALT LAKE ARPT REV-A 05.0000 07/01/2037 0.12%
SELMA USD-CABS-06-C 00.0000 08/01/2037 0.12%
SOUTH JERSEY NJ PORT 05.0000 01/01/2039 0.12%
TARRANT CNTY CULT EDU 06.7500 11/15/2047 0.12%
UPTOWN DEV TAX 05.5000 09/01/2029 0.12%
VT EDU HLTH BLDG FIN 05.0000 12/01/2035 0.12%
WI H/E FACS AUTH-A 07.2500 09/15/2029 0.12%
ALLEGHENY HGR ED BLDG 05.0000 09/01/2035 0.11%
CA CMNTYS DEV-A 05.0000 10/01/2043 0.11%
CHICAGO MTR FUEL TAX 05.0000 01/01/2028 0.11%
CHICAGO WSTWTR TRANS 05.0000 01/01/2033 0.11%
CT HLTH & EDU-A 05.0000 09/01/2046 0.11%
GTR ORLANDO AVIATION 05.0000 11/15/2036 0.11%
HAM LAKE CHRT SCH-A 05.0000 07/01/2047 0.11%
HARRIS CNTY TX 05.0000 01/01/2037 0.11%
ILLINOIS ST 05.0000 01/01/2041 0.11%
ILLINOIS ST FIN AUTH 05.0000 02/15/2036 0.11%
INVER GROVE HTS NRSG 05.5000 10/01/2041 0.11%
KIRKWOOD INDL DEV 05.2500 05/15/2037 0.11%
LAKEWOOD RANCH CDD 04.8750 05/01/2035 0.11%
LOUISVILLE & JEFFERSO 05.0000 10/01/2032 0.11%
MA DEV FIN-A-PREREF 06.2500 07/01/2030 0.11%
MI FIN AUTH-REF-HOSP 05.5000 11/15/2045 0.11%
MS BUS-VAR-E-CHEVRON 00.7700 12/01/2030 0.11%
MULTNOMAH HOSP-A-REF 05.4000 10/01/2044 0.11%
N ESTRN-WILKES UNIV 05.2500 03/01/2042 0.11%
NC MED CARE-A-REF 05.0000 09/01/2037 0.11%
NEW HOPE CULT EDU FAC 05.0000 07/01/2047 0.11%
NEW YORK TRANSPRTN-A 05.0000 07/01/2046 0.11%
NJ ECON DEV AUTH-A 05.0000 06/15/2037 0.11%
NJ TRANSPRTN TRUST-AA 05.2500 06/15/2032 0.11%
NY LIBERTY-3-TRD CTR 05.0000 03/15/2044 0.11%
OHIO HOSP REVENUE-A 05.0000 01/15/2041 0.11%
OK DEV FIN AUTH-A 05.0000 08/01/2047 0.11%
OK FIN AUTH-EPWORTH-A 05.0000 04/01/2033 0.11%
PUB FIN AUTH-A 06.0000 11/15/2049 0.11%
RANCHO CORDOVA-REF 05.0000 09/01/2037 0.11%
SAN FRANCISCO REDV-A 05.1500 08/01/2035 0.11%
SANTALUZ FACS DIST2 05.0000 09/01/2028 0.11%
SANTALUZ FACS DIST2 05.0000 09/01/2029 0.11%
SARASOTA CNTY FL HLTH 05.0000 01/01/2031 0.11%
STAFFORD CO ECON DEV 05.0000 06/15/2036 0.11%
TARRANT CNTY CULT EDU 06.6250 11/15/2037 0.11%
WA ST HSG FIN COMM-A 07.0000 07/01/2050 0.11%
ALLEGHENY CO IDA 05.7500 08/01/2042 0.10%
CO HLTH-A-TOTAL LONG 06.2500 11/15/2040 0.10%
DELAWARE ST ECON DEV 05.0000 06/01/2046 0.10%
HARRIS CULTURAL ED-B1 00.7300 09/01/2031 0.10%
LAKEWOOD RANCH DIST 05.0000 05/01/2036 0.10%
MAINE ST FIN AUTH SOL 05.1250 08/01/2035 0.10%
MS BUS FIN-VAR-E-CHEV 00.7700 12/01/2030 0.10%
NC CAP AGY-A-UNREF 06.0000 06/01/2031 0.10%
NH HLTH & EDU-A 06.1250 07/01/2037 0.10%
OTSEGO CHRT SCH-A 05.0000 09/01/2044 0.10%
RED RIVER HLTH-A 07.7500 11/15/2044 0.10%
SCIOTO CO HOSP FACS 05.0000 02/15/2034 0.10%
VERANDAH W CDD-REF 05.0000 05/01/2033 0.10%
ALLEGHENY HGR ED-A-RO 05.7500 10/15/2040 0.09%
ARLINGTON HGR EDU FIN 05.0000 12/01/2036 0.09%
CA MUNI FIN-A-SENIOR 05.2500 08/15/2039 0.09%
CA ST MUNI FIN-A 05.2500 08/01/2042 0.09%
CA STWD CMNTYS DEV-A 05.2500 11/01/2044 0.09%
CENTRL PLATTE VLY MDD 05.0000 12/01/2043 0.09%
COLORADO HLTH FAC 06.3750 01/01/2041 0.09%
DU PAGE SPL SVC 31 05.6250 03/01/2036 0.09%
E HEMPFIELD TWP IDA 05.0000 07/01/2034 0.09%
ILLINOIS ST FIN AUTH 05.2500 05/15/2045 0.09%
LOUISVILLE CLG-REF-A 06.0000 05/01/2038 0.09%
LOWER MAGNOLIA GREEN 05.0000 03/01/2035 0.09%
MA DEV FIN AGY-I 05.0000 07/01/2036 0.09%
NORTH CAROLINA ST TUR 05.0000 01/01/2039 0.09%
PUBLIC FIN AUTH-REF 05.2500 07/01/2028 0.09%
RIVERSIDE TRANS-A 05.7500 06/01/2044 0.09%
SARASOTA CNTY FL HLTH 05.0000 01/01/2030 0.09%
SOUTH DAKOTA ST HLTH 05.0000 11/01/2035 0.09%
VLG CMNTY DEV DIST 8 06.1250 05/01/2039 0.09%
WESTMINSTER-A 06.0000 07/01/2034 0.09%
WISCONSIN ST HLTH & E 05.0000 08/15/2039 0.09%
YAVAPAI CNTY AZ INDL 05.0000 08/01/2036 0.09%
CLARK IMPT DIST 05.0000 08/01/2035 0.08%
CO HLTH FACS AUTH-REF 05.2500 01/01/2037 0.08%
DC-A-METHODIST HOME 05.2500 01/01/2039 0.08%
FLINT HSP-HURLEY MED 07.5000 07/01/2039 0.08%
HENDERSON IMPT-T17 05.0000 09/01/2025 0.08%
LA VERNE-COPS 05.0000 05/15/2036 0.08%
LANCASTER CO HOSP AUT 05.1250 07/01/2037 0.08%
LAS VEGAS DIST 812 05.0000 12/01/2035 0.08%
MA DEV FIN-A-UNREF 05.7500 07/01/2039 0.08%
MA DEV-A1-LINDEN POND 06.2500 11/15/2031 0.08%
MIDTOWN MIAMI CDD-A 05.0000 05/01/2029 0.08%
NC MED CARE COMM-A 05.0000 07/01/2047 0.08%
NEW HOPE EDU FACS-A 05.0000 04/01/2034 0.08%
NJ ECON DEV AUTH-AAA 05.0000 06/15/2036 0.08%
PHOENIX IDA-A P/P 144A 05.0000 07/01/2046 0.08%
PUBLIC FIN AUTH WI SE 05.2500 05/15/2042 0.08%
SAINT TAMMANY PUB-REF 05.2500 11/15/2037 0.08%
WI HLTH & EDU-REF-B 05.0000 09/15/2045 0.08%
YAMHILL CO HOSP-A-REF 05.0000 11/15/2046 0.08%
CA ST MUNI FIN-A 05.0000 08/01/2032 0.07%
CHESTER CNTY PA INDL 05.0000 10/01/2034 0.07%
CHICAGO O'HARE ARPT-G 05.0000 01/01/2037 0.07%
CHICAGO WTR REV 05.0000 11/01/2042 0.07%
CO HLTH FACS AUTH 05.6250 06/01/2043 0.07%
FISHHAWK CMNTY DEV IV 07.2500 05/01/2043 0.07%
MICHIGAN ST FIN AUTH 04.5000 10/01/2029 0.07%
NEW HOPE CUTL ED-A 05.5000 11/15/2046 0.07%
NH BUS FIN-VAR-REMK P/P 144A 04.0000 04/01/2029 0.07%
NH HLTH & EDU FACS 05.0000 10/01/2046 0.07%
NJ ECON DEV AUTH-A 06.1000 07/01/2044 0.07%
NJ ECON DEV-A 05.0000 07/15/2029 0.07%
PUBLIC FIN AUTH WI EX 04.3000 11/01/2030 0.07%
CA DEV-A 06.0000 10/01/2047 0.06%
CLIFTON HGR EDU FIN 06.0000 08/15/2033 0.06%
CO HIGH PERFORMANCE T 05.0000 12/31/2047 0.06%
FLINT HOSP BLDG-A 05.2500 07/01/2039 0.06%
GUAM GOVT COPS-A-JOHN 06.8750 12/01/2040 0.06%
IL FIN AUTH 04.0000 11/15/2032 0.06%
LA PUB FACS AUTH-REF 05.0000 05/15/2047 0.06%
LAS VEGAS SPL IMPT 05.0000 06/01/2030 0.06%
LUCAS HLTH-RF/IMP-A-L 07.0000 11/01/2045 0.06%
MA DEV FIN AGY-A 06.0000 01/01/2033 0.06%
MA DEV FIN-A-UNREF 06.2500 07/01/2030 0.06%
NC MED CARE COMM-REF 05.0000 10/01/2035 0.06%
NEW HOPE EDU FACS-A 05.0000 04/01/2039 0.06%
NH HLTH & EDU FACS 05.0000 10/01/2038 0.06%
NJ HLTH CARE FAC FIN 05.0000 07/01/2046 0.06%
PA HGR ED FACS AUTH-A 05.0000 07/01/2032 0.06%
PUB FIN AUTH-A 05.7500 11/15/2044 0.06%
SAN FRANCISCO REDEV-D 06.5000 08/01/2031 0.06%
ST PAUL HSG & REDEV-A 06.3750 09/01/2031 0.06%
WA HSG FIN-REF P/P 144A 05.0000 07/01/2036 0.06%
WICHITA HLTH-II-A 05.3750 12/01/2046 0.06%
CELEBRATION PT CDD 1 05.0000 05/01/2048 0.05%
CHERRY HILL CMNTY DEV 05.1500 03/01/2035 0.05%
GLEN COVE AST CORP-C 00.0000 01/01/2055 0.05%
ILLINOIS ST 05.0000 02/01/2039 0.05%
ILLINOIS ST-REF 05.0000 02/01/2028 0.05%
LAS VEGAS IMPT DIST 05.0000 06/01/2022 0.05%
LENEXA HLTH REF-IMPT 05.3750 05/15/2027 0.05%
NEW HOPE CUTL ED-A 05.3750 11/15/2036 0.05%
NJ ECON DEV AUTH 05.2500 01/01/2044 0.05%
PHOENIX IDA 06.3000 07/01/2042 0.05%
SA ENERGY ACQ PUB FAC 05.5000 08/01/2025 0.05%
YAVAPAI CO INDL DEV 05.0000 09/01/2034 0.05%
YONKERS IDA-A-ST JOHN 07.1250 07/01/2031 0.05%
BAYTOWN TWP MN LEASE 04.0000 08/01/2036 0.04%
CA MUNI FIN AUTH-A 05.0000 07/01/2042 0.04%
CLIFTON HGR EDU FIN 05.0000 08/15/2027 0.04%
E-470 HWY-CABS 00.0000 09/01/2041 0.04%
EATON AREA PK & REC 05.2500 12/01/2034 0.04%
FAIRFAX CNTY VA ECON 05.0000 10/01/2036 0.04%
KY ST ECON DEV-A 05.2500 06/01/2041 0.04%
MET WA DC ARPTS-CABS 00.0000 10/01/2040 0.04%
NEW HOPE CULT EDU-A 05.0000 04/01/2036 0.04%
NEW HOPE CULTURAL ED 05.0000 11/15/2036 0.04%
PARK CREEK CO MET-A 05.0000 12/01/2045 0.04%
PR SALES-1ST SUB-A 05.3750 08/01/2039 0.04%
VLG FL CDD 9-REF 05.0000 05/01/2022 0.04%
COLORADO ST HLTH FACS 05.2500 05/15/2047 0.03%
JACKSONVILLE ECON -A 06.0000 09/01/2017 0.03%
LAKE CO HOSP-C-UNREF 06.0000 08/15/2043 0.03%
MO H/E VAR-WA UNIV-C 00.7600 09/01/2030 0.03%
NH HLTH & EDU-A 06.2500 07/01/2042 0.03%
NJ ECON DEV AUTH-A 06.0000 07/01/2032 0.03%
OTSEGO CHRT SCH-A 05.0000 09/01/2034 0.03%
PHOENIX IDA 06.0000 07/01/2032 0.03%
SOUTHEASTERN OH PORT 05.5000 12/01/2043 0.03%
TX PRIVATE ACTIVITY 05.0000 12/31/2050 0.03%
CHICAGO MTR FUEL TAX 05.0000 01/01/2030 0.02%
CO HLTH FACS AUTH 05.5000 06/01/2033 0.02%
HOUSTON ARPT FAC-B-1 05.0000 07/15/2035 0.02%
MA DEV FIN AGY-A-2-II 05.5000 11/15/2046 0.02%
NJ ECON DEV AUTH-A 04.7500 06/15/2032 0.02%
DIST COLUM REV-PRERF 06.5000 10/01/2041 0.01%
GAINESVILLE ETC DEV 05.0000 03/01/2047 0.01%
MA DEV FIN AGY 05.0000 07/01/2035 0.01%
RED RIVER HLTH FAC-A 05.4500 11/15/2038 0.01%
RED RIVER HLTH-B 06.1500 11/15/2049 0.01%
CASA GRANDE IDA-REF-A ESCROW 07.2500 12/01/2019 0.00%
CASA GRANDE IDA-REF-A ESCROW 07.6250 12/01/2029 0.00%
CMS LIQUIDATING TR UNITS 0.00%
IL ST FIN AUTH-PREREF 07.7500 08/15/2034 0.00%
LA PUB FACS AUTH-A 08.3750 07/01/2039 0.00%
MASSACUSETTS ST DEV FIN AGY R 00.0000 11/15/2056 0.00%
NC CAP AGY-A-PREREF 06.0000 06/01/2031 0.00%
RED RIVER HLTH FAC-A 06.0500 11/15/2046 0.00%
RED RIVER HLTH FAC-D 06.0500 11/15/2046 0.00%
RED RIVER HLTH-C 06.2500 05/09/2053 0.00%
TEMBEC INC 0.00%

Prior top 10 holdings

Top 10 holdings as of 09/30/17
Tob Settle-C 05.3750 06/01/2038
Golden Tob Sr-Conv A2 05.3000 06/01/2037
Chicago Il 06.0000 01/01/2038
Tob Settlement Ser 1a 05.0000 06/01/2041
Illinois St 05.0000 11/01/2036
Tob Settlement Ser 1a 04.7500 06/01/2034
Hi Dept Budget Hawaii 06.5000 07/01/2039
Golden Tob Sr-A-1 05.1250 06/01/2047
Jefferson Co-Cabs-F 00.0000 10/01/2046
New Jersey St Econ De 05.0000 11/01/2026
Holdings represent 8.50% of portfolio
Top 10 holdings as of 08/31/17
Tob Settle-C 05.3750 06/01/2038
Nyc Trans Fin-A-E-1 05.0000 02/01/2040
Chicago Il 06.0000 01/01/2038
Golden Tob Sr-Conv A2 05.3000 06/01/2037
Tob Settlement Ser 1a 05.0000 06/01/2041
Illinois St 05.0000 11/01/2036
Hi Dept Budget Hawaii 06.5000 07/01/2039
Tob Settlement Ser 1a 04.7500 06/01/2034
Golden Tob Sr-A-1 05.1250 06/01/2047
Jefferson Co-Cabs-F 00.0000 10/01/2046
Holdings represent 8.53% of portfolio
Top 10 holdings as of 07/31/17
Tob Settle-C 05.3750 06/01/2038
Nyc Trans Fin-A-E-1 05.0000 02/01/2040
Golden Tob Sr-Conv A2 05.3000 06/01/2037
Tob Settlement Ser 1a 05.0000 06/01/2041
Illinois St 05.0000 11/01/2036
Chicago Il 06.0000 01/01/2038
Hi Dept Budget Hawaii 06.5000 07/01/2039
Golden Tob Sr-A-1 05.1250 06/01/2047
Tob Settlement Ser 1a 04.7500 06/01/2034
Jefferson Co-Cabs-F 00.0000 10/01/2046
Holdings represent 8.42% of portfolio
Top 10 holdings as of 06/30/17
Tob Settle-C 05.3750 06/01/2038
Nyc Trans Fin-A-E-1 05.0000 02/01/2040
Tob Settlement Ser 1a 05.0000 06/01/2041
Golden Tob Sr-Conv A2 05.3000 06/01/2037
Hi Dept Budget Hawaii 06.5000 07/01/2039
Tob Settlement Ser 1a 04.7500 06/01/2034
Illinois St 05.0000 11/01/2036
Harris Cult Ed Var-C1 00.9000 12/01/2024
Golden Tob Sr-A-1 05.1250 06/01/2047
Chicago Il 06.0000 01/01/2038
Holdings represent 8.40% of portfolio

Portfolio composition as of 09/30/17

Municipal bonds and notes 97.28%
Cash and net other assets 2.72%

Fixed income statistics as of 09/30/17

Average stated maturity 20.98 yrs.
Average effective maturity 7.46 yrs.
Option adjusted duration 7.93 yrs.
Duration to worst 5.69 yrs.
Average yield to maturity 4.34%
Average coupon 5.11%
Average price $106.07
AMT exposure 9.34%

Quality rating as of 09/30/17

AAA 1.38%
AA 6.38%
A 22.68%
BBB 32.89%
BB 9.49%
B 7.64%
CCC and Below 0.50%
Not Rated 16.32%
Cash and net other assets 2.72%

Fund characteristics will vary over time.

Due to rounding, percentages may not equal 100%.

Consider these risks before investing: Capital gains, if any, are taxed at the federal and, in most cases, state levels. For some investors, investment income may be subject to the federal alternative minimum tax. Income from federally tax-exempt funds may be subject to state and local taxes. Bond investments are subject to interest-rate risk (the risk of bond prices falling if interest rates rise) and credit risk (the risk of an issuer defaulting on interest or principal payments). Interest-rate risk is greater for longer-term bonds, and credit risk is greater for below-investment-grade bonds. Unlike bonds, funds that invest in bonds have fees and expenses. The fund may invest significantly in particular segments of the tax-exempt debt market, making it more vulnerable to fluctuations in the values of the securities it holds than a more broadly invested fund. Interest the fund receives might be taxable. Bond prices may fall or fail to rise over time for several reasons, including general financial market conditions, changing market perceptions of the risk of default, changes in government intervention in the financial markets, and factors related to a specific issuer. These factors may also lead to periods of high volatility and reduced liquidity in the bond markets. You can lose money by investing in the fund.

Credit qualities are shown as a percentage of net assets as of the date indicated above. A bond rated BBB or higher (SP-3 or higher, for short-term debt) is considered investment grade. This chart reflects the highest security rating provided by one or more of Standard & Poor's, Moody's and Fitch. Short-term cash bonds are included in the cash and net other assets category. Ratings and portfolio credit quality will vary over time. Derivative instruments are only included to the extent of any unrealized gain or loss on such instruments and are shown in the cash and net other assets category. Cash is also shown in the cash and net other assets category. The fund itself has not been rated by an independent rating agency.

Top Industry Sectors as of 09/30/17

Health care 22.13%
Transportation 13.13%
Utilities 11.64%
Education 9.48%
Tobacco 8.35%
Prerefunded 6.02%
Local Debt 5.23%
State Debt 4.86%
Land 4.27%
 
Other
14.89%
Financials 3.11%
Cash and net other assets 2.72%
Housing 2.69%
Special Tax 2.29%
Other 2.12%
Industrials 1.96%

The unclassified sector (where applicable) includes exchange traded funds and other securities not able to be classified by sector.

Sectors will vary over time. Represents the equity portion of the portfolio.


Expenses

Expense ratio

Class A Class B Class C Class M Class Y
Total expense ratio 0.83% 1.45% 1.60% 1.10% 0.60%
What you pay 0.83% 1.45% 1.60% 1.10% 0.60%

Sales charge

Investment Breakpoint Class A Class B Class C Class M Class Y
$0-$49,999 4.00% 0.00% 0.00% 3.25% --
$50,000-$99,999 4.00% 0.00% 0.00% 2.25% --
$100,000-$249,999 3.25% -- 0.00% 1.25% --
$250,000-$499,999 2.50% -- 0.00% 1.00% --
$500,000-$999,999 0.00% -- -- -- --
$1M-$4M 0.00% -- -- -- --
$4M-$50M 0.00% -- -- -- --
$50M+ 0.00% -- -- -- --

CDSC

  Class A (sales for $500,000+) Class B Class C Class M Class Y
0 to 9 mts. 1.00% 5.00% 1.00% -- --
9 to 12 mts. 0.00% 5.00% 1.00% -- --
2 yrs. -- 4.00% 0.00% -- --
3 yrs. -- 3.00% 0.00% -- --
4 yrs. -- 3.00% 0.00% -- --
5 yrs. -- 2.00% 0.00% -- --
6 yrs. -- 1.00% 0.00% -- --
7+ yrs. -- 0.00% 0.00% -- --

The Bloomberg Barclays Municipal Bond Index is an unmanaged index of long-term fixed-rate investment-grade tax-exempt bonds. You cannot invest directly in an index.

Consider these risks before investing: Capital gains, if any, are taxed at the federal and, in most cases, state levels. For some investors, investment income may be subject to the federal alternative minimum tax. Income from federally tax-exempt funds may be subject to state and local taxes. Bond investments are subject to interest-rate risk (the risk of bond prices falling if interest rates rise) and credit risk (the risk of an issuer defaulting on interest or principal payments). Interest-rate risk is greater for longer-term bonds, and credit risk is greater for below-investment-grade bonds. Unlike bonds, funds that invest in bonds have fees and expenses. The fund may invest significantly in particular segments of the tax-exempt debt market, making it more vulnerable to fluctuations in the values of the securities it holds than a more broadly invested fund. Interest the fund receives might be taxable. Bond prices may fall or fail to rise over time for several reasons, including general financial market conditions, changing market perceptions of the risk of default, changes in government intervention in the financial markets, and factors related to a specific issuer. These factors may also lead to periods of high volatility and reduced liquidity in the bond markets. You can lose money by investing in the fund.

Credit qualities are shown as a percentage of net assets as of the date indicated above. A bond rated BBB or higher (SP-3 or higher, for short-term debt) is considered investment grade. This chart reflects the highest security rating provided by one or more of Standard & Poor's, Moody's and Fitch. Short-term cash bonds are included in the cash and net other assets category. Ratings and portfolio credit quality will vary over time. Derivative instruments are only included to the extent of any unrealized gain or loss on such instruments and are shown in the cash and net other assets category. Cash is also shown in the cash and net other assets category. The fund itself has not been rated by an independent rating agency.