Delaware Tax-Exempt Opportunities Fund** (formerly, First Investors Tax Exempt Opportunities Fund)

Key features

  • Income-driven, risk-controlled approach
  • Disciplined, bottom-up, research-driven process
  • Experienced management team dedicated solely to municipal bond investing
Fund information
Inception date05/01/2013
Dividends paid (if any)Monthly
Capital gains paid (if any)Annually
Fund identifiers
NASDAQEIIAX
CUSIP245912837

Institutional Class shares are available only to certain investors. See the prospectus for more information

Please click below to view Fund performance:

The performance quoted represents past performance and does not guarantee future results. Investment return and principal value of an investment will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted.

Total returns may reflect waivers and/or expense reimbursements by the manager and/or distributor for some or all of the periods shown. Performance would have been lower without such waivers and reimbursements.

Average annual total return

as of month-end (10/31/2019)

as of quarter-end (09/30/2019)

YTD1 year3 year5 year10 yearLifetimeInception date
NAV (view definition)7.11%9.18%2.80%3.06%n/a2.82%05/01/2013
Bloomberg Barclays Municipal Bond Index6.94%9.42%3.62%3.55%n/a3.36%
ICE BofAML Municipal Securities Master Index7.19%9.65%3.60%3.64%n/a3.43%
1 year3 year5 year10 yearLifetimeInception date
NAV (view definition)1.79%8.58%2.60%3.20%n/a2.87%05/01/2013
Bloomberg Barclays Municipal Bond Index1.58%8.55%3.19%3.66%n/a3.38%
ICE BofAML Municipal Securities Master Index1.62%8.73%3.24%3.74%n/a3.46%

Returns for less than one year are not annualized.

Benchmark lifetime returns are as of the month end prior to the Fund's inception date.

Index performance returns do not reflect any management fees, transaction costs, or expenses. Indices are unmanaged and one cannot invest directly in an index.

Expense ratio
Gross0.73%
Net0.66%

Net expense ratio reflects a contractual waiver of certain fees and/or expense reimbursements from Oct. 4, 2019 through Oct. 31, 2021. Please see the fee table in the Fund’s prospectus for more information.

Quarterly total returns @ NAV
Year1st quarter2nd quarter3rd quarter4th quarterAnnual return
2019n/an/a1.79%n/an/a

Institutional Class shares are available only to certain investors. See the prospectus for more information

 

Please click here to view monthly holdings.

Portfolio characteristics - as of 10/31/2019Bloomberg Barclays Municipal Bond Index
Number of holdings21655,153
Portfolio turnover (last fiscal year)135%n/a
Modified duration (view definition)5.44 years4.87 years
Effective maturity (weighted average) (view definition)6.43 years5.63 years
Yield to maturity (view definition)3.89%2.80%
Average market price (view definition)$117.39n/a
Average coupon (view definition)5.17%4.62%
Yield to worst (view definition)1.97%1.81%
Alternative minimum tax170.33%4.19%
SEC 30-day yield with waiver (view definition)1.47%
SEC 30-day yield without waiver (view definition)1.42%

Cash and cash equivalents include accruals on bonds and long-term receivables.

Top 10 fixed income holdings as of 10/31/2019

Holdings are as of the date indicated and subject to change.

List excludes cash and cash equivalents.

Holding% of portfolio
California Edl Facs Auth Rev 5.000 3/15/20394.93%
Northwest Tex Indpt Sch Dist 5.000 2/15/20422.90%
Rockwall Tex Indpt Sch Dist 5.000 2/15/20462.84%
Honolulu Hawaii City & Cnty wa 5.000 7/1/20402.19%
New York ST Urban Dev Corp. Rev 5.000 3/15/20372.13%
New York ST Dorm Auth Sales ta 5.000 3/15/20421.81%
North Carolina Tpk Auth Triang 5.000 1/1/20361.80%
Denver Colo City & Cnty Arpt R 5.000 12/1/20431.77%
New Jersey ST Tpk Auth Tpk Rev 5.000 1/1/20451.70%
Allegheny Cnty PA Port Auth Spl RE 5.250 3/1/20241.56%
Total % Portfolio in Top 10 holdings23.63%
Fixed income sectors as of 10/31/2019

List may exclude cash, cash equivalents, and exchanged-traded funds (ETFs) that are used for cash management purposes. Please see the Fund’s complete list of holdings for more information.

SectorFund
Transportation24.7%
Local general obligations16.4%
Special tax15.3%
Education12.6%
Hospital6.0%
Water & sewer5.1%
State general obligations4.9%
Leasing4.8%
IDR/PCR (corporate)3.5%
Electric3.0%
Pre-refunded2.0%
Housing0.6%
Resource recovery0.5%
Credit quality as of 10/31/2019
RatingFundBenchmark
AAA12.4%0.0%
AA44.9%0.0%
A25.4%0.0%
BBB4.5%0.0%
BB2.0%0.0%
B1.3%0.0%
CC0.0%0.0%
Not rated9.5%0.0%

Total may not equal 100% due to rounding. The Fund’s investment manager, Delaware Management Company (DMC), a series of Macquarie Investment Management Business Trust, receives “Credit Quality” ratings for the underlying securities held by the Fund from three “nationally recognized statistical rating organizations” (NRSROs): Standard & Poor’s (S&P), Moody’s Investors Service, and Fitch, Inc. The credit quality breakdown is calculated by DMC based on the NRSRO ratings. If two or more NRSROs have assigned a rating to a security the higher rating (lower value) is used. If only one NRSRO rates a security, that rating is used. Securities that are unrated by any of the three NRSROs are included in the “not rated” category when applicable. Unrated securities do not necessarily indicate low quality. More information about securities ratings is contained in the Fund’s Statement of Additional Information.

Institutional Class shares are available only to certain investors. See the prospectus for more information

Greg Gizzi

Greg Gizzi 

Managing Director, Head of Municipal Bonds, Senior Portfolio Manager

Start date on the Fund: October 2019

Years of industry experience: 35

(View bio)


Steve Czepiel

Steve Czepiel 

Managing Director, Head of Municipal Bonds Portfolio Management, Senior Portfolio Manager

Start date on the Fund: October 2019

Years of industry experience: 37

(View bio)


Jake Van Roden

Jake van Roden 

Senior Vice President, Head of Municipal Trading, Portfolio Manager

Start date on the Fund: October 2019

Years of industry experience: 15

(View bio)


Institutional Class shares are available only to certain investors. See the prospectus for more information.

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund.

Shareholder fees
Maximum sales charge (load) imposed on purchases as a percentage of offering pricenone
Maximum contingent deferred sales charge (load) as a percentage of original purchase price or redemption price, whichever is lowernone
Annual fund operating expenses
Management fees0.55%
Distribution and service (12b-1) feesnone
Other expenses0.18%
Total annual fund operating expenses0.73%
Fee waivers and expense reimbursements(0.07%)
Total annual fund operating expenses after fee waivers and expense reimbursements0.66%

Institutional Class shares are available only to certain investors. See the prospectus for more information

1 The Fund’s investment manager, Delaware Management Company (Manager), has contractually agreed to waive all or a portion of its investment advisory fees and/or pay/reimburse expenses (excluding any acquired fund fees and expenses, taxes, interest, short sale and dividend interest expenses, brokerage fees, certain insurance costs, and nonroutine expenses or costs, including, but not limited to, those relating to reorganizations, litigation, conducting shareholder meetings, and liquidations) in order to prevent total annual fund operating expenses from exceeding 0.66% of the Fund’s average daily net assets from Oct. 4, 2019 through Oct. 31, 2021. These waivers and reimbursements may only be terminated by agreement of the Manager and the Fund.

*The Fund changed its broad-based securities index to the Bloomberg Barclays Municipal Bond Index as of Oct. 4, 2019. The Fund elected to use the new index because it more closely reflected the Fund's investment strategies.

**April 6, 2019, Foresters Investment Management Company, Inc. (FIMCO), the investment adviser to the First Investors Funds, entered into an agreement with Macquarie Management Holdings, Inc. (MMHI), a leading global investment management company, whereby MMHI, on behalf of its affiliate Delaware Management Company (DMC), a series of Macquarie Investment Management Business Trust (Macquarie), would acquire FIMCO's asset management business (the “Transaction”). In connection with the Transaction, the Board of Trustees of the First Investors Trusts approved, pursuant to an Agreement and Plan of Reorganization (the “Agreement”), the transfer of all assets and liabilities of each First Investors Fund to a corresponding, newly formed fund (each, an “Acquiring Fund,” and collectively, the “Acquiring Funds”) in the Delaware Funds by Macquarie family of funds (each, a “Reorganization” and together, the “Reorganizations”). Following the requisite approval of each Reorganization from shareholders of each First Investors Fund, each Acquiring Fund will be managed by DMC and each Acquiring Fund will have the same or substantially the same investment objective and the same or similar principal investment strategies and principal risks as the corresponding First Investors Fund. The Transaction closed on Oct. 4, 2019 (the “Closing Date”). Information, including without limitation historical holdings and performance information, relating to the Acquiring Funds for periods prior to the Closing Date has been provided by FIMCO and is attributable to the Acquired Funds.

Carefully consider the Fund’s investment objectives, risk factors, charges, and expenses before investing. This and other information can be found in the Fund’s prospectus and its summary prospectus, which may be obtained by clicking the prospectus link located in the right-hand sidebar. For investors investing in Delaware Funds by Macquarie (formerly First Investors Funds) please call 800 423-4026. Investors should read the prospectus and the summary prospectus carefully before investing.

Investing involves risk, including the possible loss of principal.

Fixed income securities and bond funds can lose value, and investors can lose principal, as interest rates rise. They also may be affected by economic conditions that hinder an issuer’s ability to make interest and principal payments on its debt. The Fund may also be subject to prepayment risk, the risk that the principal of a bond that is held by a portfolio will be prepaid prior to maturity, at the time when interest rates are lower than what the bond was paying. A portfolio may then have to reinvest that money at a lower interest rate.

High yielding, non-investment-grade bonds (junk bonds) involve higher risk than investment grade bonds.

Substantially all dividend income derived from tax-free funds is exempt from federal income tax. Some income may be subject to state or local taxes and/or the federal alternative minimum tax (AMT) that applies to certain investors. Capital gains, if any, are taxable.

Duration number will change as market conditions change. Therefore, duration should not be solely relied upon to indicate a municipal bond fund’s potential volatility.

All third-party marks cited are the property of their respective owners.

Not FDIC Insured | No Bank Guarantee | May Lose Value

Fund Finder

Daily pricing (as of 11/18/2019)

Institutional ClassPriceNet change
NAV$16.67no chg
Max offer price$16.67n/a

Total net assets (as of 10/31/2019)

$403.3 million all share classes

Overall Morningstar RatingTM

 
Institutional Class shares (as of 10/31/2019)
RatingNo. of funds
Overall3147
3 Yrs2147
5 Yrs3133
10 Yrs3110
Morningstar categoryMorningstar Muni National Long Category

(View Morningstar disclosure)

The Morningstar rating is based on risk-adjusted returns.

Morningstar ranking (as of 10/31/2019)

YTD ranking108 / 176
1 year110 / 176
3 years122 / 147
5 years99 / 133
10 yearsn/a
Morningstar categoryMorningstar Muni National Long Category

(View Morningstar disclosure)

The Morningstar ranking is based on historical total returns.

Lipper ranking (as of 10/31/2019)

YTD ranking147 / 285
1 year146 / 281
3 years180 / 241
5 years138 / 209
10 yearsn/a
Lipper classificationLipper General & Insured Municipal Debt Funds Average

(View Lipper disclosure)

The Lipper ranking is based on historical total returns.

Literature

Prospectuses and reports

Benchmark and peer group

Bloomberg Barclays Municipal Bond Index (view definition)

ICE BofAML US Municipal Securities Index (view definition)

Morningstar Muni National Long Category (view definition)

Lipper General & Insured Municipal Debt Funds Average (view definition)

Additional information