AUCTION MARKET PREFERRED SHARES	2008 Preferred Tax Guide

AUCTION MARKET PREFERRED SHARES OVERVIEW

Auction Market Preferred Shares (AMPS^SM) are utilized primarily in conjunction with the leveraging of closed-end funds. A fund “borrows” at the current AMPS rates (typically reset every 7 or 28 days) and invests the proceeds into the fund’s primary asset class. Individual investors are also able to purchase AMPS for their accounts. AMPS entitle their holders to receive cash dividends at an annual rate that may vary for the successive dividend periods. The AMPS are not listed on an exchange. Instead, investors may be able to buy or sell AMPS in an auction by submitting orders to broker-dealers that have entered into an agreement with the auction agent and the fund. Following is a more detailed description of AMPS.

• MINIMUM PURCHASE
One share minimum, $25,000 per share.

• NO SALES LOAD
There is no sales load if shares of AMPSSM are purchased or sold at auction. If shares are purchased or sold in the secondary market, purchasers may be required to pay a commission to their financial advisor.

• AAA SECURITY
Each series of Auction Market Preferred Shares "AMPS^SM" is rated Aaa by both Moody's and Fitch . Preferred stocks which are rated "Aaa" by Moody's are judged to be of best quality. This rating indicates good asset protection and the least risk of dividend impairment within the universe of preferred stocks.

• 1940 ACT COVERAGE
Under the 1940 Act, AMPS^SM are backed by at least 200% of the issuing Fund's total assets.

• PRIORITY PAYMENT
As a purchaser of AMPS^SM, shareholders will be paid all dividends before any payments are made to the Fund's common shareholders.

• QUALITY MANAGEMENT
The Fund issuing AMPS^SM is managed by Advent Capital Management, LLC.

HOW THE AUCTION WORKS

To purchase AMPS^SM at auction, advisors and their investors should first discuss an acceptable yield level. All bids must specify:

The number of shares desired ($25,000 per share)

The desired dividend rate Bids are submitted through your brokerage firm. The new dividend rate is set by the last order that completes the sell orders. Settlement is the next business day.

At auction, AMPS^SM shareholders may submit one of three orders:

1. BID
Indicating the desire to purchase or hold the indicated number of AMPS^SM at $25,000 per share if the applicable rate for the next rate period is not less than the rate specified in the bid. A bid order will be deemed an irrevocable offer to sell AMPS^SM at $25,000 per share if the applicable rate for the next rate period is less than the rate specified in the bid.

2. HOLD ORDER
Indicating the desire to hold AMPSSM without regard to the applicable rate for the next period.

3. SELL ORDER
Indicating the desire to sell AMPSSM at $25,000 per share without regard to the applicable rate for the next period.

The following is a simplified example of how a typical auction works. Assume that the Fund has 1,000 outstanding AMPS and three current holders. The three current holders and three potential holders submit orders through broker-dealers at the auction:

The lowest dividend rate that will result in all 1,000 AMPS continuing to be held is 1.9%. Therefore, the dividend rate will be 1.9%. Current holders B and C will continue to own their shares. Current holder A will sell its shares because A's dividend rate bid was higher than the dividend rate. Potential holder E will buy 500 shares because its bid rate was at or below the dividend rate. Potential holders D and F will not buy any shares because their bid rates were above the dividend rate.

The dividend rates used in the example above are hypothetical, and are not necessarily indicative of the rates that may be payable on the AMPS at any time.

RISKS OF INVESTING IN THE AMPS

In addition to the risks inherent with an investment in the affiliated Fund itself, AMPS also have their own unique risks. The primary risks of investing in the AMPS include:

Dividend Payment Risk The Fund will not be permitted to declare dividends or other distributions with respect to the AMPS unless the Fund meets certain asset coverage requirements. In certain circumstances, the Fund may not earn sufficient income from its investments to pay dividends on the AMPS.

Redeemability Unlike shares of an open-end mutual fund, including a money market mutual fund, the AMPS may not be redeemed at the option of the holder.

Interest Rate Risk The AMPS pay dividends based on shorter-term interest rates. If shorter-term interest rates rise, dividend rates on AMPS may rise so that the amount of dividends paid to holders of AMPS exceeds the income from the portfolio securities. Because income from the Fund’s entire investment portfolio (not just the portion of the portfolio purchased with the proceeds of the AMPS offering) is available to pay dividends on AMPS, however, dividend rates on AMPS would need to exceed the net rate of return on the Fund’s portfolio by a significant margin before the Fund’s ability to pay dividends on AMPS would be jeopardized. If long-term interest rates rise, this could negatively impact the value of the Fund’s investment portfolio and thus reduce the amount of assets serving as asset coverage for the AMPS.

Auction Risk Investors may not be able to sell their AMPS at an auction if the auction fails, i.e., if there are more AMPS offered for sale than there are buyers for those shares. Also, if an investor places a bid order (an order to retain AMPS) at an auction only at a specified rate, and that rate exceeds the rate set at the auction, their order will be deemed an irrevocable offer to sell their AMPS, and they will not retain their AMPS. Additionally, if they buy AMPS or elect to retain AMPS without specifying a rate below which they would not wish to buy or continue to hold those shares, and the auction sets a below-market rate, they may receive a lower rate of return on their AMPS than the market rate for similar investments. The dividend period for the AMPS may be changed by the Fund, subject to certain conditions and with notice to the holders of the AMPS, which could also affect the liquidity of an investment in AMPS.

Secondary Market Risk If an investor tries to sell their AMPS between auctions, they may not be able to sell any or all of their shares, or they may not be able to sell them for $25,000 per share or $25,000 per share plus accumulated dividends. Changes in interest rates could affect the price they would receive if they sold their AMPS in the secondary market, particularly if the Fund has designated a special rate period (a dividend period of more than seven days for Series 7s and of more than 28 days for Series 28s. Broker-dealers that maintain a secondary trading market (if any) for the AMPS are not required to maintain this market, and the Fund is not required to redeem shares if either an auction or an attempted secondary market sale fails because of a lack of buyers. The AMPS are not registered on a stock exchange or The Nasdaq Stock Market, Inc. If an investor sells their AMPS between auctions, they may receive less than the price they paid for them, especially when market interest rates have risen since the last auction or during a special rate period.

Ratings and Asset Coverage Risk While it is a condition to the closing of the offering that Moody’s assigns a rating of "Aaa" and Fitch assigns a rating of "AAA" to the AMPS, these ratings do not eliminate or necessarily mitigate the risks of investing in AMPS. In addition, Moody’s, Fitch or another rating agency rating the AMPS could downgrade the AMPS, which may make your shares less liquid at an auction or in the secondary market. If a rating agency downgrades the AMPS, the Fund may (but is not required to) alter its portfolio in an effort to improve the rating, although there is no assurance that it will be able to do so to the extent necessary to restore the prior rating. Such a downgrade could affect the liquidity of the AMPS. In addition, the Fund may be forced to redeem AMPS to meet regulatory or rating agency requirements. The Fund may also voluntarily redeem AMPS under certain circumstances. The asset coverage requirements imposed by a rating agency may limit the Fund’s ability to invest in certain securities or utilize certain investment techniques that the Adviser might otherwise consider desirable.

Restrictions on Dividends and Other Distributions Restrictions imposed on the declaration and payment of dividends or other distributions to the holders of the Funds’ common shares and AMPS, both by the 1940 Act and by requirements imposed by rating agencies, might impair the Fund’s ability to maintain its qualification as a regulated investment company for federal

NOT FDIC-INSURED | NOT BANK-GUARANTEED | MAY LOSE VALUE