Delaware Tax-Free California II Fund**
(formerly, First Investors California Tax Exempt Fund)
- Income-driven, risk-controlled approach
- Disciplined, bottom-up, research-driven process
- Experienced management team dedicated solely to municipal bond investing
|Dividends paid (if any)||Monthly|
|Capital gains paid (if any)||Annually|
|Systematic withdrawal balance||$5,000|
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 (12/31/2019)
as of quarter-end (12/31/2019)
|YTD||1 year||3 year||5 year||10 year||Lifetime||Inception date|
|NAV (view definition)||7.52%||7.52%||3.80%||2.95%||4.10%||n/a||02/23/1987|
|Max offer price||3.22%||3.22%||2.41%||2.12%||3.68%||n/a|
|Bloomberg Barclays Municipal Bond Index||7.54%||7.54%||4.72%||3.53%||4.34%||n/a|
|ICE BofA Municipal Securities Master Index||7.74%||7.74%||4.69%||3.60%||4.49%||n/a|
|1 year||3 year||5 year||10 year||Lifetime||Inception date|
|NAV (view definition)||0.40%||7.52%||3.80%||2.95%||4.10%||n/a||02/23/1987|
|Max offer price||-3.65%||3.22%||2.41%||2.12%||3.68%||n/a|
|Bloomberg Barclays Municipal Bond Index||0.74%||7.54%||4.72%||3.53%||4.34%||n/a|
|ICE BofA Municipal Securities Master Index||0.63%||7.74%||4.69%||3.60%||4.49%||n/a|
Returns for less than one year are not annualized.
Class A shares have a maximum up-front sales charge of 4.50% and are subject to an annual distribution fee.
Index performance returns do not reflect any management fees, transaction costs, or expenses. Indices are unmanaged and one cannot invest directly in an index.
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|
|Year||1st quarter||2nd quarter||3rd quarter||4th quarter||Annual return|
Please click here to view monthly holdings.
Portfolio composition as of 12/31/2019Total may not equal 100% due to rounding.|
|Cash and cash equivalents||2.0%|
Cash and cash equivalents include accruals on bonds and long-term receivables.
|Top 10 fixed income holdings as of 12/31/2019|
Holdings are as of the date indicated and subject to change.
List excludes cash and cash equivalents.
|Holding||% of portfolio|
|Bay Area Toll Auth Calif Toll 5.000 4/1/2044||5.71%|
|San Francisco Calif City & Cnt 5.000 5/1/2034||5.70%|
|California ST 5.000 4/1/2037||5.13%|
|California Edl Facs Auth Rev 5.250 4/1/2040||3.78%|
|Sacramento Calif Transient Occ 5.000 6/1/2038||3.37%|
|Los Angeles Calif Wastewater S 5.000 6/1/2038||2.85%|
|Moreno Valley Calif Uni Sch di 5.000 8/1/2043||2.82%|
|California Mun Fin Auth Rev 5.000 1/1/2032||2.78%|
|San Jose Calif Arpt Rev 5.000 3/1/2042||2.77%|
|Los Angeles Calif Dept Wtr & P 5.000 7/1/2042||2.75%|
|Total % Portfolio in Top 10 holdings||37.66%|
Monthly holdings as of 11/30/2019 (all share classes)
|SEC description||# Holdings||Market value||Coupon rate||Maturity date||Portfolio %|
|Bay Area Toll Auth Calif Toll 5.000 4/1/2032||1,000,000.00||$1,134,810.00||5.000||04/01/2032||2.70|
|Bay Area Toll Auth Calif Toll 5.000 4/1/2044||2,000,000.00||$2,492,340.00||5.000||04/01/2044||5.93|
|California Cmnty Hsg Agy Workf 5.000 4/1/2049||300,000.00||$333,522.00||5.000||04/01/2049||0.79|
|California Edl Facs Auth Rev 5.250 12/1/2031||500,000.00||$540,635.00||5.250||12/01/2031||1.28|
|California Edl Facs Auth Rev 5.250 4/1/2040||1,100,000.00||$1,642,344.00||5.250||04/01/2040||3.90|
|California Health Facs Fing AU 5.000 8/15/2043||1,000,000.00||$1,161,460.00||5.000||08/15/2043||2.76|
|California Mun Fin Auth Lease 5.000 6/1/2043||750,000.00||$906,487.50||5.000||06/01/2043||2.15|
|California Mun Fin Auth Rev 5.000 1/1/2032||1,000,000.00||$1,210,230.00||5.000||01/01/2032||2.88|
|California Pollutn Ctl Fing AU 8.000 7/1/2039||300,000.00||$326,196.00||8.000||07/01/2039||0.77|
|California Sch Fin Auth Rev 3.000 7/15/2020||300,000.00||$300,303.00||3.000||07/15/2020||0.71|
|California Sch Fin Auth Sch fa 5.625 10/1/2034||300,000.00||$333,993.00||5.625||10/01/2034||0.79|
|California Sch Fin Auth Sch fa 5.875 10/1/2044||300,000.00||$331,800.00||5.875||10/01/2044||0.78|
|California ST 5.000 4/1/2037||2,000,000.00||$2,238,500.00||5.000||04/01/2037||5.32|
|California ST For Previous Iss 5.000 9/1/2031||1,000,000.00||$1,137,980.00||5.000||09/01/2031||2.70|
|California ST Pub Wks Brd Leas 5.000 12/1/2029||500,000.00||$537,250.00||5.000||12/01/2029||1.27|
|California ST Pub Wks Brd Leas 5.000 9/1/2033||1,000,000.00||$1,111,750.00||5.000||09/01/2033||2.64|
|California ST Pub Wks Brd Leas 5.500 11/1/2030||1,000,000.00||$1,156,980.00||5.500||11/01/2030||2.75|
|California Statewide Cmntys DE 5.250 12/1/2056||300,000.00||$337,878.00||5.250||12/01/2056||0.80|
|California Statewide Cmntys DE 5.250 7/1/2052||550,000.00||$631,598.00||5.250||07/01/2052||1.50|
|California Statewide Cmntys DE 5.750 1/15/2045||300,000.00||$323,247.00||5.750||01/15/2045||0.76|
|Centinela Valley Calif un High Sch 5.000 8/1/2031||500,000.00||$534,060.00||5.000||08/01/2031||1.27|
|Fresno Calif Uni Sch Dist 5.000 8/1/2041||1,000,000.00||$1,189,920.00||5.000||08/01/2041||2.83|
|Golden ST Tob Securitization C 5.000 6/1/2045||1,000,000.00||$1,151,240.00||5.000||06/01/2045||2.74|
|Golden ST Tob Securitization C 5.000 6/1/2047||400,000.00||$411,564.00||5.000||06/01/2047||0.97|
|Guam Port Auth Port Rev 5.000 7/1/2048||375,000.00||$441,300.00||5.000||07/01/2048||1.05|
|Los Angeles Calif Dept Wtr & P 5.000 7/1/2042||1,000,000.00||$1,198,450.00||5.000||07/01/2042||2.85|
|Los Angeles Calif Uni Sch Dist 5.000 7/1/2040||1,000,000.00||$1,173,130.00||5.000||07/01/2040||2.79|
|Los Angeles Calif Wastewater S 5.000 6/1/2035||1,000,000.00||$1,190,960.00||5.000||06/01/2035||2.83|
|Los Angeles Calif Wastewater S 5.000 6/1/2038||1,000,000.00||$1,245,380.00||5.000||06/01/2038||2.96|
|Los Angeles Cnty Calif Met Tra 5.000 7/1/2032||500,000.00||$640,250.00||5.000||07/01/2032||1.52|
|Moreno Valley Calif Uni Sch di 5.000 8/1/2043||1,000,000.00||$1,229,600.00||5.000||08/01/2043||2.92|
|Natomas un Sch Dist Calif 5.950 9/1/2021||185,000.00||$192,542.45||5.950||09/01/2021||0.45|
|New Haven Calif Uni Sch Dist 5.000 8/1/2040||1,000,000.00||$1,158,460.00||5.000||08/01/2040||2.75|
|Puerto Rico Sales Tax Fing Cor 4.329 7/1/2040||115,000.00||$116,867.60||4.329||07/01/2040||0.27|
|Puerto Rico Sales Tax Fing Cor 4.750 7/1/2053||1,035,000.00||$1,071,069.75||4.750||07/01/2053||2.54|
|Sacramento Calif Transient Occ 5.000 6/1/2038||1,200,000.00||$1,469,112.00||5.000||06/01/2038||3.49|
|San Diego Calif Uni Sch Dist 5.000 7/1/2040||1,000,000.00||$1,163,870.00||5.000||07/01/2040||2.77|
|San Francisco Calif City & Cnt 5.000 5/1/2034||2,000,000.00||$2,490,680.00||5.000||05/01/2034||5.92|
|San Francisco Calif Mun Transn 5.000 3/1/2032||1,000,000.00||$1,119,130.00||5.000||03/01/2032||2.66|
|San Joaquin Cnty Calif Transn Auth 5.750 3/1/2028||250,000.00||$264,775.00||5.750||03/01/2028||0.63|
|San Jose Calif Arpt Rev 5.000 3/1/2036||575,000.00||$696,509.00||5.000||03/01/2036||1.65|
|San Jose Calif Arpt Rev 5.000 3/1/2037||570,000.00||$688,742.40||5.000||03/01/2037||1.63|
|San Jose Calif Arpt Rev 5.000 3/1/2042||1,000,000.00||$1,194,450.00||5.000||03/01/2042||2.84|
|SECURITIZED NET CASH - ACR1||545,939.07||$545,939.07||0.000||-||1.29|
|SECURITIZED NET CASH - CSH1 0.050 12/15/2038||-405.92||-$405.92||0.000||-||-0.01|
|SECURITIZED NET CASH - LT||-73,043.75||-$73,043.75||0.000||-||-0.18|
|Univ Calif Regts Med Ctr Poole 0.700 5/15/2032||200,000.00||$200,000.00||0.550||05/15/2032||0.47|
|University Calif Revs 5.000 5/15/2043||500,000.00||$615,090.00||5.000||05/15/2043||1.46|
|Virgin Islands Pub Fin Auth RE 4.000 10/1/2022||130,000.00||$127,641.80||4.000||10/01/2022||0.30|
|Virgin Islands Pub Fin Auth Rev 5.000 10/1/2029||100,000.00||$100,438.00||5.000||10/01/2029||0.23|
|West Contra Costa Calif Uni SC 5.250 8/1/2032||250,000.00||$268,060.00||5.250||08/01/2032||0.63|
Portfolio holdings are as of the date noted below and are subject to change at any time. Holdings may not be representative of current or future investments and may not include the entire investment portfolio. Holdings information is made available to the public 30 calendar days after the most recent month-end.
Holdings data is for informational purposes only, and is not intended as a recommendation, offer, or solicitation for the purchase or sale of any specific security. By accessing the portfolio holdings, you agree not to reproduce, distribute or disseminate the portfolio holdings, in whole or part. In no event shall the Delaware Family of Funds or its affiliates have any liability relating to the use of the portfolio holdings.
Unlike the Fund's regulatory filings, the portfolio data and its presentation in this document is not required to conform to Generally Accepted Accounting Principles (GAAP) and Securities and Exchange Commission (SEC) presentation requirements. Therefore, it may differ from that provided in the complete portfolio of investments in the annual and semiannual report to shareholders filed with the SEC on Form N-CSR, and the complete portfolio of investments filed in the first and third quarter on Form N-Q.
*Cash balance includes other assets and liabilities.
Fixed income sectors
as of 12/31/2019
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.
|Local general obligations||14.0%|
|State general obligations||7.7%|
|Water & sewer||5.6%|
|Credit quality as of 12/31/2019|
Total may not equal 100% due to rounding. The Fund’s investment manager, DMC, 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.
Distribution history - annual distributions (Class A)1,2|
Distributions ($ per share)
|Year||Capital gains3||Net investment|
1If a Fund makes a distribution from any source other than net income, it is required to provide shareholders with a notice disclosing the source of such distribution (each a "Notice"). The amounts and sources of distributions reported above and in each Notice are only estimates and are not provided for tax reporting purposes. Each Fund will send each shareholder a Form 1099 DIV for the calendar year that will provide definitive information on how to report the Fund's distributions for federal income tax purposes. The information in the table above will not be updated to reflect any subsequent recharacterization of dividends and distributions. Click here to see recent Notices pertaining to the Fund (if any).
2Information on return of capital distributions (if any) is only provided from June 1, 2014 onward.
3Includes both short- and long-term capital gains.
Managing Director, Head of Municipal Bonds, Senior Portfolio Manager
Start date on the Fund: October 2019
Years of industry experience: 35
Managing Director, Head of Municipal Bonds Portfolio Management, Senior Portfolio Manager
Start date on the Fund: October 2019
Years of industry experience: 38
Senior Vice President, Head of Municipal Trading, Portfolio Manager
Start date on the Fund: October 2019
Years of industry experience: 15
You may qualify for sales-charge discounts if you and your family invest, or agree to invest in the future, at least $100,000 in Delaware Funds® by Macquarie. More information about these and other discounts is available from your financial intermediary, in the Fund's Prospectus under the section entitled "About your account," and in the Fund's statement of additional information (SAI) under the section entitled "Purchasing Shares."
The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund.
|Maximum sales charge (load) imposed on purchases as a percentage of offering price||4.50%|
|Maximum contingent deferred sales charge (load) as a percentage of original purchase price or redemption price, whichever is lower||none|
|Annual fund operating expenses|
|Distribution and service (12b-1) fees||0.25%|
|Total annual fund operating expenses||1.02%|
|Fee waivers and expense reimbursements||(0.10%)|
|Total annual fund operating expenses after fee waivers and expense reimbursements||0.92%|
*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.
**On 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), whereby MMHI, on behalf of its affiliate Delaware Management Company (DMC), a series of Macquarie Investment Management Business Trust (MIMBT), would acquire FIMCO’s asset management business (the “Transaction”). In connection with the Transaction, the Board of Trustees of the First Investors Trusts and the First Investors Fund shareholders 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 in the Delaware Funds by Macquarie family of funds. The Transaction closed on Oct. 4, 2019.
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.
Funds that invest primarily in one state may be more susceptible to the economic, regulatory, regional, and other factors of that state than geographically diversified funds.
Substantially all dividend income derived from tax-free funds is exempt from federal income tax. Some income may be subject to state or local 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
Daily pricing (as of 01/22/2020)
|Class A||Price||Net change|
|Max offer price||$13.61||n/a|
Total net assets (as of 12/31/2019)
$43.6 million all share classes
Morningstar ranking (as of 12/31/2019)
|YTD ranking||71 / 109|
|1 year||71 / 109|
|3 years||86 / 93|
|5 years||73 / 87|
|10 years||60 / 68|
|Morningstar category||Morningstar Muni California Long Category|
Lipper ranking (as of 12/31/2019)
|YTD ranking||75 / 131|
|1 year||75 / 131|
|3 years||102 / 113|
|5 years||88 / 106|
|10 years||74 / 86|
|Lipper classification||Lipper California Municipal Debt Funds Average|
Prospectuses and reports
Bloomberg Barclays Municipal Bond Index (view definition)
ICE BofA US Municipal Securities Index (view definition)
Morningstar Muni California Long Category (view definition)
Municipal Debt Funds Average (view definition)