Wells Fargo Advantage Pennsylvania Tax-Free Fund
EKVAX
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ADVISER | Wells Fargo Funds Management, LLC
SUB-ADVISER | Wells Capital Management Incorporated ("Wells Capital Management")
PORTFOLIO MANAGERS
THE FUND | The Wells Fargo Advantage Pennsylvania Tax-Free Fund seeks tax-free income by principally investing in a diversified portfolio of securities that are exempt from Pennsylvania tax.
FUND STRATEGY
- Uses both bottom-up credit research and top-down macroeconomic analysis.
- Seeks to generate equivalent amounts of excess performance by actively managing the four key elements of total return: security selection, sector rotation, duration, and yield-curve positioning.
- Uses a relative-value approach based on extensive credit analysis that seeks opportunities from changing market trends and pricing inefficiencies to generate excess returns.
COMPETITIVE ADVANTAGES
- Rigorous fundamental credit research: Research is conducted through a comprehensive team effort in which all members operate as credit analysts for each of the credits that they cover. This empowers the team to act opportunistically in the marketplace.
- Open work environment: The team benefits from an open work environment in which investment management professionals in varying capacities interact continuously throughout the day. This includes partnerships with economists and taxable fixed-income teams who provide valuable perspective and information in measuring markets and anticipating shifts in the tax-free markets, which are often preceded by shifts in the taxable markets.
- Disciplined research and risk management: The team's disciplined credit analysis and proprietary risk management model allow portfolio managers to move down in credit without compromising the investment process.
RISKS |
Bond fund values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond fund values fall and investors may lose principal value. The use of derivatives may reduce returns and/or increase volatility. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). This Fund is exposed to Pennsylvania municipal securities risk, high-yield securities risk, and nondiversification risk. Consult the fund's prospectus for additional information on these and other risks.
A portion of the Fund's income may be subject to federal, state, and/or local income taxes or the alternative minimum tax (AMT). Any capital gains distributions may be taxable.
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TOP HOLDINGS – % of net assets as of 05-31-2013


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| Montgomery Cnty Pa Indl Dev Au Mondev Fixed, 5.00%, 2022-11-15 |
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3.01% |


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| State Pub Sch Bldg Auth Pa Col, 5.50%, 2031-03-01 |
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2.68% |


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| Pennsylvania St Higher Edl Pasedu Fixed, 5.25%, 2027-05-01 |
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2.65% |


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| Allegheny Cnty Pa All Fixed, 5.50%, 2024-05-01 |
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2.58% |


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| Pennsylvania Hsg Fin Agy Passfm Fixed, 4.50%, 2024-10-01 |
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2.53% |


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| Philadelphia Pa Auth For Indl Phidev Fixed Oid, 5.30%, 2027-09-15 |
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2.49% |


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| Cumberland Cnty Pa Mun Auth Cumgen Fixed, 5.00%, 2036-01-01 |
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2.43% |


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| Delaware Valley Pa Regl Fin Au Dlvgen Fixed, 5.50%, 2028-08-01 |
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2.37% |


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| Pennsylvania Hsg Fin Agy Passfm Fixed, 5.00%, 2028-04-01 |
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2.23% |


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| Pennsylvania St Higher Edl Fac Pasedu Fixed Oid, 5.40%, 2036-07-15 |
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2.18% |


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