The investment seeks a high level of current interest income exempt from federal and state income taxes for individual investors as is consistent with preservation of capital. The fund invests normally at least 80% of assets in securities the income from which is exempt from both federal and Minnesota individual income tax. It invests its assets so that at least 95% of the exempt-interest dividends that it pays are derived from Minnesota municipal obligations as required for state tax exemption under Minnesota law. The fund also can invest up to 20% of assets in inverse floaters, a variable rate obligation and form of derivative. The fund is nondiversified.
