Eaton Vance Insured New York Municipal Bond Fund
 
 
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
811-21148
Investment Company Act File Number
Eaton Vance Insured New York Municipal Bond Fund
(Exact Name of Registrant as Specified in Charter)
The Eaton Vance Building, 255 State Street, Boston, Massachusetts 02109
(Address of Principal Executive Offices)
Maureen A. Gemma
Eaton Vance Management, 255 State Street, Boston, Massachusetts 02109
(Name and Address of Agent for Services)
(617) 482-8260
(Registrant’s Telephone Number, Including Area Code)
September 30
Date of Fiscal Year End
December 31, 2008
Date of Reporting Period
 
 

 

 

TABLE OF CONTENTS

Item 1. Schedule of Investments
Item 2. Controls and Procedures
Signatures
EX-99.CERT Section 302 Certifications
Item 1. Schedule of Investments

 

 

     
Eaton Vance Insured New York Municipal Bond Fund   as of December 31, 2008
     
     
PORTFOLIO OF INVESTMENTS (Unaudited)    
Tax-Exempt Investments — 186.0%
                 
Principal Amount            
(000’s omitted)     Security   Value  
 
General Obligations — 1.0%        
$ 1,750    
New York, 5.25%, 1/15/33(1)
   $ 1,615,372  
       
 
      
       
 
   $ 1,615,372  
       
 
      
Hospital — 0.3%        
$ 640    
New York Dormitory Authority, (Lenox Hill Hospital), 5.50%, 7/1/30
   $ 419,610  
       
 
      
       
 
   $ 419,610  
       
 
      
Industrial Development Revenue — 2.7%        
$ 4,340    
Liberty Development Corp., (Goldman Sachs Group, Inc.), 5.25%, 10/1/35
   $ 3,289,503  
  1,440    
Liberty Development Corp., (Goldman Sachs Group, Inc.), 5.50%, 10/1/37
     1,126,397  
       
 
      
       
 
   $ 4,415,900  
       
 
      
Insured-Electric Utilities — 8.7%        
$ 5,000    
Long Island Power Authority, Electric System Revenue, (BHAC), 5.75%, 4/1/33
   $ 5,215,900  
  3,685    
Long Island Power Authority, Electric System Revenue, (MBIA), 4.25%, 5/1/33
     2,780,517  
  7,210    
New York Power Authority, (BHAC), (MBIA), 4.50%, 11/15/47(1)
     5,900,664  
       
 
      
       
 
   $ 13,897,081  
       
 
      
Insured-Escrowed/Prerefunded — 1.9%        
$ 8,615    
New York Dormitory Authority, (Memorial Sloan-Kettering Cancer Center), (MBIA), Escrowed to Maturity, 0.00%, 7/1/30
   $ 3,126,728  
       
 
      
       
 
   $ 3,126,728  
       
 
      
Insured-General Obligations — 9.0%        
$ 2,290    
Brentwood Union Free School District, (AGC), 4.75%, 11/15/23
   $ 2,309,648  
  2,390    
Brentwood Union Free School District, (AGC), 5.00%, 11/15/24
     2,459,190  
  200    
East Northport Fire District, (AGC), 4.50%, 11/1/19
     215,922  
  200    
East Northport Fire District, (AGC), 4.50%, 11/1/20
     213,436  
  200    
East Northport Fire District, (AGC), 4.50%, 11/1/21
     211,760  
  200    
East Northport Fire District, (AGC), 4.50%, 11/1/22
     210,264  
  200    
East Northport Fire District, (AGC), 4.50%, 11/1/23
     208,584  
  175    
Freeport, (AGC), 5.00%, 10/15/19
     194,808  
  185    
Freeport, (AGC), 5.00%, 10/15/20
     204,062  
  195    
Freeport, (AGC), 5.00%, 10/15/21
     213,385  
  1,750    
New York Dormitory Authority, (School Districts Financing Program), (MBIA), 5.00%, 10/1/30
     1,584,082  
  2,250    
New York, (FSA), 5.00%, 4/1/22(2)
     2,286,765  
  175    
Rockville Centre, (FSA), 4.50%, 10/15/20
     184,300  
  175    
Rockville Centre, (FSA), 4.50%, 10/15/21
     182,940  
  175    
Rockville Centre, (FSA), 4.50%, 10/15/22
     181,605  
  785    
Wantagh Union Free School District, (AGC), 4.50%, 11/15/19
     822,107  
  825    
Wantagh Union Free School District, (AGC), 4.50%, 11/15/20
     848,067  
  905    
Wantagh Union Free School District, (AGC), 4.75%, 11/15/22
     921,887  
  950    
Wantagh Union Free School District, (AGC), 4.75%, 11/15/23
     957,477  
       
 
      
       
 
   $ 14,410,289  
       
 
      

1

 

 

                 
Principal Amount            
(000’s omitted)     Security   Value  
 
Insured-Hospital — 12.6%        
$ 7,250    
New York Dormitory Authority, (Health Quest Systems), (AGC), 5.125%, 7/1/37(1)
   $ 6,265,486  
  4,830    
New York Dormitory Authority, (Maimonides Medical Center), (MBIA), 5.00%, 8/1/33
     4,068,019  
  10,000    
New York Dormitory Authority, (Presbyterian Hospital), (FSA), (FHA), 5.25%, 2/15/31(1)
     9,858,000  
       
 
      
       
 
   $ 20,191,505  
       
 
      
Insured-Lease Revenue/Certificates of Participation — 5.9%        
$ 8,120    
Hudson Infrastructure Corp., (MBIA), 4.50%, 2/15/47
   $ 5,309,181  
  4,050    
New York City, Transitional Finance Authority, (BHAC), 5.50%, 7/15/38(3)
     4,097,830  
       
 
      
       
 
   $ 9,407,011  
       
 
      
Insured-Other Revenue — 8.8%        
$ 5,535    
New York City Cultural Resource Trust, (American Museum of Natural History), (MBIA), 5.00%, 7/1/44
   $ 5,049,138  
  4,250    
New York City Cultural Resource Trust, (Museum of Modern Arts), (AMBAC), (BHAC),
5.125%, 7/1/31(1)
     4,180,406  
  7,820    
New York Industrial Development Agency, (Yankee Stadium), (MBIA), 4.75%, 3/1/46(2)
     4,859,974  
       
 
      
       
 
   $ 14,089,518  
       
 
      
Insured-Private Education — 44.2%        
$ 4,000    
Madison County Industrial Development Agency, (Colgate University), (MBIA), 5.00%, 7/1/39(2)
   $ 3,718,680  
  16,500    
New York City Industrial Development Agency, (New York University), (AMBAC), (BHAC), 5.00%, 7/1/41(1)
     15,639,443  
  11,500    
New York Dormitory Authority, (Brooklyn Law School), (XLCA), 5.125%, 7/1/30
     9,537,525  
  1,000    
New York Dormitory Authority, (City University of New York), (AMBAC), 5.50%, 7/1/35
     795,680  
  40    
New York Dormitory Authority, (Fordham University), (AGC), (BHAC), 5.00%, 7/1/38
     38,162  
  10,750    
New York Dormitory Authority, (Fordham University), (AGC), (BHAC), 5.00%, 7/1/38(1)
     10,256,414  
  4,500    
New York Dormitory Authority, (New York University), (AMBAC), 5.00%, 7/1/41
     4,091,715  
  4,250    
New York Dormitory Authority, (New York University), (AMBAC), (BHAC), 5.00%, 7/1/31(1)
     3,995,956  
  11,485    
New York Dormitory Authority, (Rochester Institute of Technology), (AMBAC), 5.25%, 7/1/32
     10,848,731  
  8,500    
New York Dormitory Authority, (State University Dormitory), (BHAC), 5.00%, 7/1/38
     8,109,510  
  5,705    
Oneida County Industrial Development Agency, (Hamilton College), (MBIA), 0.00%, 7/1/34
     1,311,294  
  8,455    
Oneida County Industrial Development Agency, (Hamilton College), (MBIA), 0.00%, 7/1/36
     1,725,243  
  4,000    
Oneida County Industrial Development Agency, (Hamilton College), (MBIA), 0.00%, 7/1/37
     768,200  
       
 
      
       
 
   $ 70,836,553  
       
 
      
Insured-Solid Waste — 1.8%        
$ 1,790    
Ulster County, Resource Recovery Agency, Solid Waste System, (AMBAC), 0.00%, 3/1/21
   $ 937,960  
  1,090    
Ulster County, Resource Recovery Agency, Solid Waste System, (AMBAC), 0.00%, 3/1/23
     499,830  
  3,735    
Ulster County, Resource Recovery Agency, Solid Waste System, (AMBAC), 0.00%, 3/1/25
     1,486,717  
       
 
      
       
 
   $ 2,924,507  
       
 
      
Insured-Special Tax Revenue — 35.9%        
$ 14,560    
Metropolitan Transportation Authority, (FSA), 5.00%, 11/15/32(1)
   $ 13,238,389  
  10,000    
New York City, Transitional Finance Authority, (FSA), (FGIC), 5.00%, 7/15/31(1)
     9,469,600  
  4,000    
New York Convention Center Development Corp., Hotel Occupancy Tax, (AMBAC), 4.75%, 11/15/45
     3,198,840  
  12,320    
New York Convention Center Development Corp., Hotel Occupancy Tax, (AMBAC), 5.00%, 11/15/44
     10,499,350  
  2,415    
New York State Housing Finance Agency, (FSA), 5.00%, 3/15/37
     2,272,394  
  3,000    
Puerto Rico Infrastructure Financing Authority, (AMBAC), 0.00%, 7/1/36
     414,240  
  4,000    
Puerto Rico Infrastructure Financing Authority, (FGIC), 0.00%, 7/1/32
     743,680  
  83,445    
Puerto Rico Sales Tax Financing, (MBIA), 0.00%, 8/1/44
     7,163,753  
  18,440    
Puerto Rico Sales Tax Financing, (MBIA), 0.00%, 8/1/45
     1,471,328  
  11,605    
Puerto Rico Sales Tax Financing, (MBIA), 0.00%, 8/1/46
     857,842  
  4,310    
Sales Tax Asset Receivables Corp., (AMBAC), 5.00%, 10/15/29
     4,216,990  

2

 

 

                 
Principal Amount            
(000’s omitted)     Security   Value  
 
  4,185    
Sales Tax Asset Receivables Corp., (AMBAC), 5.00%, 10/15/32
     4,037,981  
       
 
      
       
 
   $ 57,584,387  
       
 
      
Insured-Transportation — 30.7%        
$ 22,500    
Metropolitan Transportation Authority, (FSA), 5.00%, 11/15/30(1)
   $ 20,782,125  
  4,195    
New York Thruway Authority, (AMBAC), 5.50%, 4/1/20
     4,582,408  
  5,600    
Port Authority of New York and New Jersey, (FSA), 5.00%, 8/15/24(1)
     5,580,456  
  11,000    
Port Authority of New York and New Jersey, (FSA), 5.00%, 8/15/33(1)
     10,318,825  
  2,000    
Puerto Rico Highway and Transportation Authority, (AMBAC), 5.25%, 7/1/38
     1,423,340  
  3,145    
Puerto Rico Highway and Transportation Authority, (MBIA), 5.25%, 7/1/35
     2,318,526  
  4,500    
Triborough Bridge and Tunnel Authority, (MBIA), 5.00%, 11/15/32
     4,248,270  
       
 
      
       
 
   $ 49,253,950  
       
 
      
Insured-Water and Sewer — 13.4%        
$ 300    
Nassau County Sewer and Storm Water Finance Authority, (BHAC), 5.125%, 11/1/23
   $ 308,382  
  3,835    
Nassau County Sewer and Storm Water Finance Authority, (BHAC), 5.375%, 11/1/28
     3,900,617  
  6,500    
New York City Municipal Water Finance Authority, (Water and Sewer System), (AMBAC), (BHAC), 5.00%, 6/15/38(1)
     6,201,585  
  10,000    
New York City Municipal Water Finance Authority, (Water and Sewer System), (BHAC), (MBIA), 5.125%, 6/15/34(1)
     9,702,550  
  1,475    
Suffolk County Water Authority, (MBIA), 4.50%, 6/1/25
     1,361,100  
       
 
      
       
 
   $ 21,474,234  
       
 
      
Lease Revenue/Certificates of Participation — 8.1%        
$ 4,000    
Metropolitan Transportation Authority, Lease Contract, 5.125%, 1/1/29
   $ 3,638,800  
  10,000    
New York Dormitory Authority, (North General Hospital), 5.00%, 2/15/25
     9,285,500  
       
 
      
       
 
   $ 12,924,300  
       
 
      
Private Education — 1.0%        
$ 1,630    
Madison County Industrial Development Agency, (Colgate University), 5.00%, 7/1/33
   $ 1,546,218  
       
 
      
       
 
   $ 1,546,218  
       
 
      
       
 
        
Total Tax-Exempt Investments — 186.0%      
       
 
      
(identified cost $335,124,173)   $ 298,117,163  
       
 
      
       
 
        
Other Assets, Less Liabilities — (86.0)%   $ (137,812,344 )
       
 
      
       
 
        
Net Assets — 100.0%   $ 160,304,819  
       
 
      
     
AGC
  -  Assured Guaranty Corp.
 
    
AMBAC
  -  AMBAC Financial Group, Inc.
 
    
BHAC
  -  Berkshire Hathaway Assurance Corp.
 
    
FGIC
  -  Financial Guaranty Insurance Company
 
    
FHA
  -  Federal Housing Administration
 
    
FSA
  -  Financial Security Assurance, Inc.
 
    
MBIA
  -  Municipal Bond Insurance Association
 
    
XLCA
  -  XL Capital Assurance, Inc.
 
    
 
  The Fund invests primarily in debt securities issued by New York municipalities. The ability of the issuers of the debt securities to meet their obligations may be affected by economic developments in a specific industry or municipality. In order to reduce the risk associated with such economic developments, at December 31, 2008, 93.0% of total investments are backed by bond insurance of various financial institutions and financial guaranty assurance agencies. The aggregate percentage insured by an individual financial institution ranged from 3.2% to 26.0% of total investments.
 
    
(1)
  Security represents the underlying municipal bond of a tender option bond trust.
 
    
(2)
  Security (or a portion thereof) has been pledged as collateral for open swap contracts.
 
    
(3)
  Security (or a portion thereof) has been segregated to cover margin requirements on open financial futures contracts.

3

 

 

A summary of financial instruments at December 31, 2008 is as follows:
Futures Contracts
                                 
Expiration           Aggregate             Net Unrealized  
Date   Contracts   Position   Cost     Value     Depreciation  
 
3/09  
167 U.S. Treasury Bond
   Short   $ (20,807,870 )   $ (23,053,829 )   $ (2,245,959 )
   
 
                          
Interest Rate Swaps
                                 
            Annual     Floating   Effective Date/      
    Notional     Fixed Rate     Rate   Termination   Net Unrealized  
Counterparty   Amount     Paid By Fund     Paid To Fund   Date   Depreciation  
 
JPMorgan Chase Co.
   $ 4,637,500       4.743 %   3-month
USD-LIBOR-BMA		   September 14, 2009 /
September 14, 2039		   $ (1,750,491 )
Merrill Lynch Capital Services, Inc.
     12,300,000       4.682 %   3-month
USD-LIBOR-BBA		   April 1, 2009 /
April 1, 2039		     (4,646,942 )
Morgan Stanley Capital Services, Inc.
     5,600,000       4.691 %   3-month
USD-LIBOR-BBA		   June 11, 2009 /
June 11, 2039		     (2,101,427 )
 
                              
 
                           $ (8,498,860 )
 
                              
The effective date represents the date on which the Fund and the counterparty to the interest rate swap contract begin interest payment accruals.
At December 31, 2008, the Fund had sufficient cash and/or securities to cover commitments under these contracts.
The cost and unrealized appreciation (depreciation) of investments of the Fund at December 31, 2008, as determined on a federal income tax basis, were as follows:
         
Aggregate cost
   $ 196,127,746  
 
      
Gross unrealized appreciation
   $ 2,100,422  
Gross unrealized depreciation
     (39,986,005 )
 
      
Net unrealized depreciation
   $ (37,885,583 )
 
      
The Fund adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157 (FAS 157), “Fair Value Measurements”, effective October 1, 2008. FAS 157 established a three-tier hierarchy to prioritize the assumptions, referred to as inputs, used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.
  •   Level 1 – quoted prices in active markets for identical investments
 
  •   Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)
 
  •   Level 3 – significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments)
The inputs or methodology used for valuing securities are not necessarily an indication of the risk
associated with investing in those securities.
At December 31, 2008, the inputs used in valuing the Fund’s investments, which are carried at value, were as follows:
                         
            Investments in     Other Financial  
        Valuation Inputs   Securities     Instruments*  
Level 1  
Quoted Prices
   $ —     $ (2,245,959 )
Level 2  
Other Significant Observable Inputs
     298,117,163       (8,498,860 )
Level 3  
Significant Unobservable Inputs
     —       —  
       
 
            
Total  
 
   $ 298,117,163     $ (10,744,819 )
       
 
            
 
*   Other financial instruments include futures and interest rate swap contracts not reflected in the Portfolio of Investments.
The Fund held no investments or other financial instruments as of September 30, 2008 whose fair value was determined using Level 3 inputs.
For information on the Fund’s policy regarding valuation of investments and other significant accounting policies, please refer to the Fund’s most recent financial statements included in its semiannual or annual report to shareholders.

4

 

 

Item 2. Controls and Procedures
(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.
(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

 

 

Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Eaton Vance Insured New York Municipal Bond Fund
         
By:
  /s/ Cynthia J. Clemson
 
Cynthia J. Clemson 		   
 
  President    
 
        
Date:
  February 25, 2009    
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
         
By:
  /s/ Cynthia J. Clemson
 
Cynthia J. Clemson 		   
 
  President    
 
        
Date:
  February 25, 2009    
 
        
By:
  /s/ Barbara E. Campbell    
 
       
 
  Barbara E. Campbell    
 
  Treasurer    
 
        
Date:
  February 25, 2009