Portfolio Manager's Letter
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
Dear Investor:
U.S. economic growth slowed during the first six months of 1995. In
response to the Federal Reserve's tightening of monetary policy,
economic growth downshifted from an unsustainable 5.1% fourth quarter
pace to a more moderate 2.7% rate in the first quarter of 1995. By
Spring, the financial markets began to anticipate an end to the Federal
Reserve's interest rate hikes. The economic crisis in Mexico, higher
individual tax payments and excessive business inventories further
dampened the U.S. economy in the second quarter. By June, in a notable
reversal of opinion from six months earlier, the markets began to expect
the Federal Reserve to lower short-term interest rates to insure against
the possibility of a recession.
The municipal bond market rose during the first six months of 1995. Most
of the gain occurred during the first quarter of the year as new
issuance of municipal bonds fell by approximately 45% compared to the
first quarter of 1994. During the second quarter, several factors
limited further improvement in the market. First, concern about
potential tax reform and a rallying equity market limited investor
interest in tax-exempt bonds. Second, new issue supply began to
increase, reaching an eighteen month high in June. Third, Orange County,
California's bankruptcy raised concerns about credit risk in the
municipal bond market and dramatically underscored the importance of
insurance for municipal bonds.
During the first half of 1995, the Insured Tax Exempt Fund gained on a
net asset value basis 8.20% on Class A shares and 6.92% on Class B
shares (first offered for sale on January 12, 1995). During this period,
dividends paid from net investment income amounted to 26.8 cents per
share on Class A shares and 21.3 cents per share on Class B shares.
Management of the Fund focused on improving call protection,
particularly through purchases of noncallable bonds when available. This
helped the Fund maintain its duration -- or sensitivity to interest
rates -- throughout the rally, which enhanced total return. In order to
maximize current income, the Fund remained fully invested although calls
on high coupon bonds slightly eroded the Fund's yield. Although already
underweighted in California issues, the Fund further reduced its
California holdings -- all of which are insured -- from 5.9% to 3.4% of
assets in response to the Orange County bankruptcy.
Looking forward, the uncertainty of potential tax reform over the next
few years is the main hurdle facing the tax exempt bond market. The
market has responded to this uncertainty by becoming cheaper relative to
taxable bonds. While it is impossible to predict what might occur in
Congress, at current levels, we believe insured municipal bonds appear
attractive for long-term investors.
As always we appreciate the opportunity to serve your investment needs.
Sincerely,
/s/ Clark D. Wagner
Clark D. Wagner
Chief Investment Officer
and Portfolio Manager
July 31, 1995
<TABLE>
<CAPTION>
Portfolio of Investments
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
June 30, 1995
-------------------------------------------------------------------------------------------------------------------------
Amount
Invested
For Each
Principal $10,000 of
Amount Security Value Net Assets
-------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
MUNICIPAL BONDS--99.2%
Alaska--.4%
$ 8,000M North Slope Boro, Alaska General Obligation Zero Coupon 6/30/2005 $4,660,000 $35
-------------------------------------------------------------------------------------------------------------------------
Arizona--.8%
8,550M Arizona State Municipal Financing Program Ctfs. of Partn.
7.7% 8/1/2010 10,035,563 75
-------------------------------------------------------------------------------------------------------------------------
California--3.4%
2,865M California Public Capital Improv. Fin. Auth. 8.1% 3/1/2018 3,137,175 23
4,220M Long Beach Finance Authority 6% 11/1/2017 4,198,900 31
10,000M San Francisco City & County Redev. Agcy. 6 3/4% 7/1/2025 10,562,500 79
San Jose Redevelopment Agency Tax Allocation:
5,000M 6% 8/1/2015 5,006,250 37
12,700M 5% 8/1/2020 10,937,875 82
5,000M Santa Clara County Financing Authority 7 3/4% 11/15/2010 5,956,250 44
5,720M South Orange Cnty. Public Financing Authority 6 1/2% 8/15/2010 6,127,550 46
-------------------------------------------------------------------------------------------------------------------------
45,926,500 342
-------------------------------------------------------------------------------------------------------------------------
Colorado--1.2%
6,260M Adams Cnty. School District No.12 General Obligation Zero Coupon
12/15/2012 2,175,350 16
1,850M Aurora Municipal Building Corp. 9.2% 12/1/1997* 2,072,000 15
12,825M Denver Airport Revenue 5.7% 11/15/2025 12,039,469 90
-------------------------------------------------------------------------------------------------------------------------
16,286,819 121
-------------------------------------------------------------------------------------------------------------------------
Delaware--.6%
7,000M Delaware State Econ. Dev. Auth. Rev. Pollution Control 7.15%
7/1/2018 7,612,500 57
-------------------------------------------------------------------------------------------------------------------------
District of Columbia--2.9%
Washington D.C. General Obligation:
10,530M Series "C" 8% 6/1/1998* 11,688,300 86
5,800M Series "A" 6 1/2% 6/1/2009 6,068,250 45
Washington D.C. General Obligation:
8,875M Series "A" 6% 6/1/2011 8,730,781 65
13,255M Series "E" 6% 6/1/2012 12,973,331 97
-------------------------------------------------------------------------------------------------------------------------
39,460,662 293
-------------------------------------------------------------------------------------------------------------------------
Florida--5.3%
5,000M Dade County Aviation 5 3/4% 10/1/2025 4,812,500 36
13,865M Dade County Guaranteed Entitlement Rev. Zero Coupon 2/1/2011 5,390,019 40
2,255M Dade County Spec. Oblig. (Miami Beach Conv. Ctr.)
8 5/8% 12/1/2008 2,503,050 19
Escambia County Utilities Authority:
5,485M 6 1/4% 1/1/2012 5,766,106 43
5,360M 6 1/4% 1/1/2013 5,614,600 42
1,070M Florida Hsg. Fin. Agy. Residential Mtge. Rev. (Series 2)
8% 12/15/2016 1,120,825 8
6,750M Hillsboro County School Board Certificates of Participation
5 5/8% 7/1/2015 6,454,687 48
4,000M Jacksonville Sales Tax Revenue 5 3/8% 10/1/2018 3,680,000 27
Orange County Health Facilities:
8,445M Mercy Medical 7 7/8% 12/1/2025 8,993,925 67
7,745M Sarasota, Lee Memorial, Venice 7 7/8% 12/1/2025 8,248,425 62
1,750M Palm Beach County Solid Waste Authority 8 3/8% 7/1/2010 1,920,625 14
4,000M Plant City Utility System 6% 10/1/2015 4,055,000 30
Sunrise Utilities System Revenue:
1,500M 10 1/4% 10/1/2000* 1,890,000 14
1,500M 10 3/4% 10/1/2000* 1,925,625 14
5,975M Tampa Utilities Tax & Spl. Rev. 8 1/8% 10/1/1997* 6,579,969 49
1,395M West Coast Regional Water Supply Auth. 10.4% 10/1/2010* 1,949,513 15
-------------------------------------------------------------------------------------------------------------------------
70,904,869 528
-------------------------------------------------------------------------------------------------------------------------
Georgia--4.9%
8,400M Fulton County Hosp. Auth. (Northside Hosp.) 5 1/8% 10/1/2016 7,570,500 56
5,815M Fulton County Water & Sewer Revenue 6 3/8% 1/1/2014 6,192,975 46
Georgia Municipal Electric Authority Power Revenue:
2,000M 8 3/8% 1/1/1997* 2,137,500 16
14,000M 8 1/8% 1/1/1998* 15,365,000 114
5,000M 6 1/4% 1/1/2012 5,250,000 39
Metropolitan Atlanta Rapid Transit Authority:
20,500M 6 1/4% 7/1/2011 21,601,875 161
7,500M 6 3/4% 7/1/2013 8,053,125 60
-------------------------------------------------------------------------------------------------------------------------
66,170,975 492
-------------------------------------------------------------------------------------------------------------------------
Hawaii--1.3%
Hawaii State General Obligation:
5,500M 6% 10/1/2009 5,706,250 42
6,000M 6% 10/1/2010 6,202,500 46
6,000M Honolulu General Obligation 5 3/4% 4/1/2012 6,022,500 45
-------------------------------------------------------------------------------------------------------------------------
17,931,250 133
-------------------------------------------------------------------------------------------------------------------------
Illinois--12.0%
1,000M Aurora Hosp. Facs. (Mercy Ctr. Health Care Svcs.) 9 5/8% 10/1/2009 1,032,500 8
27,200M Chicago Board of Education Lease Certificates 6% 1/1/2020 26,792,000 200
3,500M Chicago Gas Supply Rev. (Peoples Gas Lt. & Coke Co.)
10 1/4% 3/1/2015 3,600,625 27
16,660M Chicago General Obligation 6 1/8% 1/1/2016 16,639,175 124
Chicago O'Hare International Airport Revenue:
15,500M 5 3/4% 1/1/2009 15,422,500 115
13,090M 6 3/8% 1/1/2012 13,482,700 100
10,000M 6 3/8% 1/1/2015 10,262,500 76
Chicago Public Building Commission Building Revenue:
3,340M 7 3/4% 1/1/1999* 3,749,150 28
3,500M 8 3/4% 1/1/2007 3,797,500 28
2,500M Des Plaines Hosp. Facs. (Holy Family Hosp.) 9 1/4% 1/1/2014 2,606,250 19
2,800M Hazel Crest Hosp. Facs. Rev. (South Sub. Proj.) 9 1/8% 7/1/1997* 3,111,500 23
16,750M Illinois Development Finance Auth. Poll. Control Rev. 6 3/4% 3/1/2015 17,755,000 132
Illinois Development Finance Authority Rev. (Rockford School 205):
3,400M 6.55% 2/1/2009 3,629,500 27
5,000M 6.6% 2/1/2010 5,356,250 40
3,000M 6.65% 2/1/2011 3,221,250 24
Illinois Health Facilities Authority Revenue:
4,300M Bromenn Healthcare Project 8% 8/15/1998* 4,821,375 36
1,500M Grant Hospital 7 1/2% 12/1/1996* 1,597,500 12
1,765M Mercy Hospital & Medical Center 9 1/2% 1/1/2015 1,831,187 14
1,000M Methodist Medical Center 9 5/8% 10/1/2010 1,031,250 8
2,600M SSM Health Care Project Series "B" 8% 6/1/1998* 2,899,000 22
4,000M University of Chicago Hospital 8.1% 8/1/1997* 4,375,000 33
1,750M Lansing Sales Tax Rfdg. 7.7% 12/1/1998* 1,940,313 14
4,000M Regional Transportation Authority 7 3/4% 6/1/2019 4,870,000 36
Will County School District General Obligation:
3,600M 7% 12/1/2007 4,009,500 30
2,080M 7.05% 12/1/2008 2,316,600 17
1,175M 7.1% 12/1/2009 1,314,531 10
-------------------------------------------------------------------------------------------------------------------------
161,464,656 1,203
-------------------------------------------------------------------------------------------------------------------------
Indiana--1.2%
4,070M Delaware Cnty. Hosp. Auth. (Ball Memorial Hosp.) 6 5/8% 8/1/2006 4,380,338 33
4,205M Indiana Housing Fin. Auth. Single-Family Mtge. Rev. 7.6% 1/1/2016 4,441,531 33
2,000M Indiana State Edl. Facs. Auth. (Butler University) 8% 11/1/1998* 2,252,500 17
4,000M Marion County Hosp. Auth. (St. Vincent Hosp.) 10 1/8% 11/1/2015 4,150,000 31
1,000M Muncie Certificates of Participation 8.1% 2/1/1998* 1,100,000 8
-------------------------------------------------------------------------------------------------------------------------
16,324,369 122
-------------------------------------------------------------------------------------------------------------------------
Kentucky--.4%
5,710M Kenton County Hosp. Facs. Rev. (St. Elizabeth Med. Ctr.)
9.3% 11/1/1995* 5,916,988 44
-------------------------------------------------------------------------------------------------------------------------
Louisiana--5.1%
1,030M Bossier Cty. Public Imp. Sales & Use Tax Rev. 9 1/4% 11/1/1997* 1,154,887 9
2,000M Calcasieu Parish Mem. Hosp. (Lake Charles Hosp.) 8.4% 12/1/1997* 2,220,000 17
3,000M Greater New Orleans Expressway 7.8% 11/1/1996* 3,225,000 24
3,750M Lafayette Public Power Authority 9 5/8% 11/1/1995* 3,928,125 29
Louisiana Public Facilities Authority Hospital Revenue:
1,325M Daughters of Charity 9 3/4% 2/1/1996* 1,392,906 10
2,350M Touro Infirmary 8% 6/1/1998* 2,617,312 20
2,400M Womens Hospital Foundation 8 1/8% 10/1/1998* 2,703,000 20
Louisiana Public Facilities Hlth. & Ed. Cap. Fac.:
5,905M CP Program 7.9% 12/1/2015 6,502,881 48
1,750M Our Lady of the Lake Hosp. 8.2% 12/1/1998* 1,962,188 15
Louisiana State General Obligation:
8,050M 6.1% 5/1/2010 8,251,250 61
14,555M 6% 5/1/2012 14,682,356 109
14,000M 6% 5/1/2014 14,070,000 105
15,000M New Orleans Regl. Transit Auth. Sales Tax Rev. Zero Cpn. 12/1/2021 2,906,250 22
3,000M Regional Transportation Authority Revenue 8% 12/1/2013 3,326,250 25
-------------------------------------------------------------------------------------------------------------------------
68,942,405 514
-------------------------------------------------------------------------------------------------------------------------
Maine--.4%
5,000M Maine Health & Ed. Facs. Auth. 5 7/8% 7/1/2015 4,912,500 37
-------------------------------------------------------------------------------------------------------------------------
Maryland--.4%
5,000M Maryland Indl. Dev. Auth. 5.928% 8/26/2022 4,850,000 36
-------------------------------------------------------------------------------------------------------------------------
Massachusetts--4.9%
4,750M Boston General Obligation 7 3/8% 2/1/2000* 5,355,625 40
2,300M Mass. Bay Transportation Authority Ctfs. of Partn. 7.65% 8/1/2000* 2,668,000 20
Mass. Bay Transportation Authority Gen. Sys. Rev.:
9,080M 5.8% 3/1/2012 9,000,550 67
11,175M 5.8% 3/1/2013 11,105,156 83
10,000M 5 7/8% 3/1/2015 9,937,500 74
Mass. Health & Educational Facilities Authority:
2,300M Berkshire Health Systems 7.6% 10/1/1998* 2,564,500 19
1,500M Carney Hospital 7 3/4% 7/1/2000* 1,732,500 13
1,540M Mass. Housing Finance Agency 7.7% 6/1/2017 1,628,550 12
20,550M Massachusetts State General Obligation 6% 8/1/2009 21,192,188 158
1,000M Palmer General Obligation 7.3% 3/1/2000* 1,127,500 8
-------------------------------------------------------------------------------------------------------------------------
66,312,069 494
-------------------------------------------------------------------------------------------------------------------------
Michigan--3.2%
6,000M Detroit Water Supply System Revenue 6 1/4% 7/1/2012 6,172,500 46
10,000M Michigan State General Obligation 6 1/4% 11/1/2012 10,537,500 79
6,000M Michigan State Hosp. Fin. Auth. (St. John's Hosp.) 6% 5/15/2008 6,180,000 46
Michigan State Housing Development Authority Single-Family Mtge. Rev.:
4,685M 7 1/2% 6/1/2015 4,878,256 36
2,500M 7.3% 12/1/2016 2,584,375 19
2,135M 7.7% 12/1/2016 2,239,081 17
4,500M Monroe Cnty. Econ. Dev. Corp. (Detroit Edison Co.) 6.95% 9/1/2022 5,068,125 38
6,010M Wayne Charter Cnty. Airport Rev. 5 1/4% 12/1/2021 5,378,950 40
-------------------------------------------------------------------------------------------------------------------------
43,038,787 321
-------------------------------------------------------------------------------------------------------------------------
Minnesota--.3%
1,320M Eden Prairie Multi-Family Housing 8% 7/1/2026 1,394,250 10
1,000M Minnesota State Hsg. Fin. Agency Single-Family Mtge. 7.65% 7/1/2008 1,071,250 8
1,240M St. Paul Hsg. & Red. Auth. (Como-Lake Proj.) 7 1/2% 3/1/2026
(Defaulted) (Note 1A) 1,240,000 10
-------------------------------------------------------------------------------------------------------------------------
3,705,500 28
-------------------------------------------------------------------------------------------------------------------------
Mississippi--.5%
4,475M Mississippi Hosp. Equip. & Facs. Auth. Rev. (Baptist Med. Ctr.)
7.6% 5/1/2000* 5,118,281 38
1,640M Mississippi Hsg. Fin. Corp. Single-Family Mtge. Pur. Rev.
7.8% 10/15/2016 1,695,350 13
-------------------------------------------------------------------------------------------------------------------------
6,813,631 51
-------------------------------------------------------------------------------------------------------------------------
Missouri--2.3%
3,640M Kansas City School District Bldg. Cap. Improvement 7.9% 2/1/1998* 4,026,750 30
Missouri State Health & Educational Facilities Authority:
BJC Health System Series "A":
6,840M 6 3/4% 5/15/2010 7,455,600 56
10,175M 6 3/4% 5/15/2011 11,179,781 83
10,000M Lester Cox Zero Cpn. 9/1/2016 2,762,500 21
5,245M SSM Health Care 6 1/4% 6/1/2007 5,520,363 41
-------------------------------------------------------------------------------------------------------------------------
30,944,994 231
-------------------------------------------------------------------------------------------------------------------------
Montana--.3%
4,730M Montana State Board Housing Single Family Proj. 6.3% 6/1/2008 4,854,163 36
-------------------------------------------------------------------------------------------------------------------------
Nevada--.2%
1,640M Nevada Housing Div. Single-Family Prog. 7.6% 10/1/2018 1,722,000 13
1,195M Reno Hosp. Rev. (St. Mary's Hospital) 7 3/4% 1/1/2000* 1,362,300 10
-------------------------------------------------------------------------------------------------------------------------
3,084,300 23
-------------------------------------------------------------------------------------------------------------------------
New Jersey--3.9%
7,120M Camden County Municipal Utilities Sewer Rev. 8 1/4% 12/1/2017 7,814,200 58
New Jersey Economic Development Authority Market Trans. Fac. Rev.:
9,630M 5.8% 7/1/2009 9,666,112 72
11,185M 5 7/8% 7/1/2011 11,212,963 84
New Jersey Housing & Mortgage Financing Revenue:
5,380M 7 1/2% 4/1/2015 5,595,200 42
8,400M 7 3/8% 10/1/2017 8,757,000 65
4,195M 8.1% 10/1/2017 4,451,944 33
5,000M New Jersey Sports & Exposition Authority Conv. Ctr. 6% 7/1/2012 5,056,250 38
-------------------------------------------------------------------------------------------------------------------------
52,553,669 392
-------------------------------------------------------------------------------------------------------------------------
New Mexico--.4%
1,000M Farmington Power Rev. Gen. Dev. 9 7/8% 7/1/2005* 1,315,000 10
New Mexico Mortgage Finance Authority, Single-Family Mortgage:
3,075M 8% 1/1/2017 3,201,844 24
1,290M 8 5/8% 7/1/2017 1,343,212 10
-------------------------------------------------------------------------------------------------------------------------
5,860,056 44
-------------------------------------------------------------------------------------------------------------------------
New York--6.5%
Metropolitan Transit Authority, Transit Facilities:
10,000M 8% 7/1/1998* 11,225,000 84
3,500M 7 1/2% 7/1/2000* 3,863,125 29
New York City General Obligation:
10,000M Series "A" 8 3/4% 11/1/1997* 11,150,000 82
5,000M Series "B" 7 3/4% 8/1/1998* 5,493,750 41
3,850M Series "A" 8% 8/1/2017 4,307,188 32
4,500M New York State Dorm. Auth. Revs. City Univ. System 7 1/2% 7/1/2000* 5,169,375 39
New York State Dorm. Auth. Revs. State Univ. Educ. System:
2,780M 7 1/4% 5/15/2000* 3,155,300 24
11,300M 7 3/8% 5/15/2014 12,415,875 93
5,000M New York State General Obligation 6% 6/15/2011 5,131,250 38
New York State Med. Care Facs. Fin. Agcy. Rev.:
2,025M Hosp. & Nursing 7.35% 2/15/2029 2,209,781 16
10,500M St. Luke's Hosp. 7.45% 2/15/2000* 11,943,750 89
4,000M New York State Urban Dev. Corp. 7 1/2% 1/1/2000* 4,550,000 34
5,840M Suffolk Cnty., N.Y. Indl. Dev. Agcy. Southwest Sewer Sys.
6% 2/1/2008 6,088,200 45
-------------------------------------------------------------------------------------------------------------------------
86,702,594 646
-------------------------------------------------------------------------------------------------------------------------
North Carolina--2.0%
North Carolina Municipal Power Agency (Catawba):
9,025M 6% 1/1/2010 9,284,469 69
8,945M 6% 1/1/2011 9,157,444 69
8,900M 5% 1/1/2018 7,820,875 58
------------------------------------------------------------------------------------------------------------------------
26,262,788 196
------------------------------------------------------------------------------------------------------------------------
North Dakota--.7%
8,000M Mercer County Poll. Ctrl. Rev. (Basin Elec. Pwr. Coop.)
7.2% 6/30/2013 9,220,000 69
------------------------------------------------------------------------------------------------------------------------
Ohio--1.5%
5,250M Clermont Cnty. Hosp. Facs. Rev. (Mercy Hlth. Care Sys.)
9 3/4% 9/1/2013 5,400,937 40
1,145M Cuyahoga Cnty. Hosp. Rev. (Richmond Hts. Gen. Hosp.)
10% 12/1/2011 1,145,000 9
4,220M Hamilton Cnty. Hlth. Care Sys. Rev. (Sisters of Charity)
6 1/4% 5/15/2008 4,420,450 33
8,350M Lucas Cnty. Hospital (Toledo Hosp.) 5% 11/15/2022 7,191,438 54
1,435M Ohio State Air Quality Dev. Auth. (Ohio Power Co.) 7.4% 8/1/2009 1,521,100 11
-------------------------------------------------------------------------------------------------------------------------
19,678,925 147
-------------------------------------------------------------------------------------------------------------------------
Oklahoma--1.6%
4,000M Central Oklahoma Transp. & Pkg. Rev. 8% 7/1/2006 4,215,000 31
Grand River Dam Authority Revenue:
9,000M 5 3/4% 6/1/2008 9,270,000 69
5,100M 5 1/2% 6/1/2010 5,055,375 38
1,595M Muskogee County Home Fin. Auth. Single-Family Mtge.
7.6% 12/1/2010 1,650,825 12
1,420M Tulsa County Home Fin. Auth. Single-Family Mtge. 7.35% 11/1/2010 1,501,650 11
-------------------------------------------------------------------------------------------------------------------------
21,692,850 161
-------------------------------------------------------------------------------------------------------------------------
Pennsylvania--5.3%
6,500M Allegheny County Hospital Develop. Auth. Rev. (Magee-Womens)
Zero Cpn. 10/1/2017 1,698,125 12
1,275M Allegheny County Rev. Fin. Auth. Mtge. Single-Family Mtge.
8% 6/1/2017 1,324,406 10
1,750M Pennsylvania Housing Fin. Agency Single-Family Mtge.
7.3% 10/1/2017 1,811,250 14
6,500M Pennsylvania State Certificates of Participation 5% 7/1/2015 5,695,625 42
5,000M Pennsylvania State General Obligation 6 3/4% 11/15/2013 5,362,500 40
6,415M Pennsylvania State Higher Education 5 5/8% 6/15/2019 6,142,363 46
9,700M Pennsylvania State Ind. Dev. Auth. 5 1/2% 1/1/2014 9,215,000 69
5,000M Pennsylvania State Turnpike Commission Turnpike Revenue
5 1/2% 12/1/2012 4,781,250 36
Philadelphia Water & Wastewater Revenue:
2,000M 6 1/4% 8/1/2011 2,085,000 16
2,000M 6 1/4% 8/1/2012 2,077,500 15
5,000M 5% 6/15/2017 4,337,500 32
5,000M 5% 6/15/2018 4,325,000 32
Pittsburgh Water & Sewer Authority:
5,000M 6 1/2% 9/1/2013 5,325,000 40
12,500M 4 3/4% 9/1/2016 10,546,875 79
1,000M Sewickely Valley Hosp. Auth. (Sewickely Vy. Hosp.) 7 1/2% 10/1/1999* 1,128,750 8
5,025M Washington County Ind. Dev. Auth. Poll. Control Rev. 6.05% 4/1/2014 5,006,156 37
-------------------------------------------------------------------------------------------------------------------------
70,862,300 528
-------------------------------------------------------------------------------------------------------------------------
Puerto Rico--1.6%
Puerto Rico General Obligations:
6,495M 5% 7/1/2021 5,756,194 43
11,730M 5% 7/1/2021 10,395,712 77
5,000M 5 3/8% 7/1/2022 4,643,750 35
-------------------------------------------------------------------------------------------------------------------------
20,795,656 155
-------------------------------------------------------------------------------------------------------------------------
Rhode Island--.5%
1,000M Rhode Island Health & Ed. Bldg. Corp. (Roger Williams Hosp.)
11 3/8% 7/1/1996* 1,070,000 8
Rhode Island Housing & Mortgage Finance Corp.:
1,000M 8 3/8% 10/1/2013 1,048,750 8
1,500M 8 3/8% 10/1/2016 1,573,125 11
2,500M 8 3/8% 4/1/2019 2,621,875 20
-------------------------------------------------------------------------------------------------------------------------
6,313,750 47
-------------------------------------------------------------------------------------------------------------------------
South Carolina--1.2%
14,615M Piedmont Municipal Power Agency Electric Revenue 9 1/4% 1/1/1996* 15,418,825 115
-------------------------------------------------------------------------------------------------------------------------
South Dakota--.3%
4,485M South Dakota Health & Edl. Facs. Auth. (McKennan Hosp.)
7 5/8% 7/1/2014 4,927,894 37
-------------------------------------------------------------------------------------------------------------------------
Tennessee--.4%
5,500M Chattanooga-Hamilton Cntys. (Erlanger Med. Ctr.)
5 5/8% 10/1/2009 5,445,000 41
-------------------------------------------------------------------------------------------------------------------------
Texas--13.1%
Austin, Texas Utilities System Revenue:
Capital Appreciation:
30,465M Zero Coupon 5/15/2018 7,425,844 55
29,410M Zero Coupon 5/15/2019 6,727,538 50
5,120M Series "A" 7.8% 11/15/1998* 5,747,200 42
4,280M Series "B" 7.8% 11/15/2012 4,691,950 35
1,000M 8 5/8% 5/15/2002* 1,218,750 9
2,000M 8 5/8% 5/15/2002* 2,437,500 18
14,000M 6% 11/15/2013 14,192,500 106
5,000M Bexar County, Texas Health Facs. (Baptist Memorial)
6 3/4% 8/15/2019 5,287,500 39
10,000M Brazos River Auth., Houston Light & Power Proj. 8.1% 5/1/2019 10,950,000 82
9,215M Coastal Water Auth. Water Conveyance System 8 1/8% 12/15/1997* 10,032,831 75
5,000M East Texas Criminal Justice Facs. Fing. Corp. 5 3/4% 11/1/2009 5,000,000 37
Harris County Toll Road Senior Lien:
3,355M Series "B" 6 5/8% 8/15/1997* 3,577,269 27
8,375M Series "A" 6 1/2% 8/15/2002* 9,338,125 70
11,065M Series "A" 6 1/2% 8/15/2012 11,839,550 88
7,305M Series "A" 6 1/2% 8/15/2013 7,788,956 58
Houston Water Conveyance System Certificates of Participation:
2,250M 6 1/4% 12/15/2012 2,356,875 18
4,705M 6 1/4% 12/15/2013 4,881,437 36
4,350M 6 1/4% 12/15/2014 4,545,750 34
5,860M 6 1/4% 12/15/2015 6,131,025 46
2,750M Kerrville Electric System Rev. 8 3/8% 11/1/1997* 3,045,625 23
4,720M North Cent. Texas Hlth. Fac. Dev. Corp. (Presbyt. "A" & "B")
8 7/8% 12/1/1997* 5,292,300 39
1,500M Northeast Hospital Auth. Rev. (Northeast Med. Ctr. Hosp.)
8 1/8% 7/1/1998* 1,681,875 13
Rio Grande Valley Hlth. Fac. Dev. Corp. (Valley Baptist Med. Ctr.):
3,910M 8% 8/1/1998* 4,379,200 32
5,300M 6.4% 8/1/2012 5,445,750 41
1,500M Sabine River Auth. Poll. Control (Texas Util. Co. Proj.)
7 3/4% 4/1/2016 1,578,750 12
San Antonio Electric & Gas Revenue:
3,000M 8% 2/1/1998* 3,318,750 25
1,850M 10 1/2% 2/1/1998* 2,157,563 16
1,800M Texas Health Facs. Dev. Corp. (Fort Worth Med. Ctr.) 8 1/8% 6/1/1998* 2,013,750 15
10,395M Texas Municipal Power Agency 5 1/2% 9/1/2010 10,161,112 76
5,000M Texas Public Fin. Auth. 6.2% 2/1/2005 5,331,250 40
2,700M Texas Public Ppty. Fin. Corp. Rev. (Mental Health & Retardation)
7 7/8% 1/1/1998* 2,926,125 22
5,000M Texas Southern University Revenue 5% 8/1/2013 4,493,750 32
-------------------------------------------------------------------------------------------------------------------------
175,996,400 1,311
-------------------------------------------------------------------------------------------------------------------------
Utah--1.0%
Intermountain Power Agency (Utah Power Supply):
4,000M Series C, 8 3/8% 7/1/1997* 4,385,000 33
2,500M Series D, 8 3/8% 7/1/2012 2,709,375 20
2,000M Provo, Utah Electric System Revenue 10 3/8% 9/15/2015 2,862,500 21
Salt Lake County Water Conservancy District Revenue:
3,800M Zero Cpn. 10/1/2011 1,453,500 11
3,800M Zero Cpn. 10/1/2012 1,358,500 10
3,760M Zero Cpn. 10/1/2013 1,254,900 9
-------------------------------------------------------------------------------------------------------------------------
14,023,775 104
-------------------------------------------------------------------------------------------------------------------------
Virginia--1.3%
11,000M Hanover County Indl. Dev. Auth. (Mem. Regl. Med. Ctr. Proj.)
6 3/8% 8/15/2018 11,536,250 86
5,940M Riverside Regional Jail Authority 5 7/8% 7/1/2014 5,895,450 44
-------------------------------------------------------------------------------------------------------------------------
17,431,700 130
-------------------------------------------------------------------------------------------------------------------------
Washington--2.5%
Benton County Public Utilities District No. 1:
2,850M 11 5/8% 11/1/1997* 3,306,000 25
4,700M 9 3/8% 11/1/2004 4,823,375 36
5,000M Tacoma Electric System Revenue 8% 1/1/1998* 5,518,750 41
Washington Public Power Supply System:
5,000M Project No. 2 - 7 3/8% 7/1/2000* 5,681,250 42
4,960M Project No. 2 - 7 3/8% 7/1/2001* 5,660,600 42
958M Project Nos. 4 & 5 - 8 1/2% 7/1/2017 (Defaulted) (Note 1A) 958,120 7
2,500M Washington State Hlth. & Educ. Facs. (Mason Med. Ctr.) 8% 7/1/2015 2,687,500 20
4,140M Washington State Hsg. Fin. Comm. Single-Family Mtge. 7.7% 7/1/2016 4,315,950 32
-------------------------------------------------------------------------------------------------------------------------
32,951,545 245
-------------------------------------------------------------------------------------------------------------------------
West Virginia--1.0%
1,050M West Virginia State Hosp. Fin. Auth. (Monongalia Hosp.) 8 1/2%
7/1/1997* 1,134,000 8
13,885M West Virginia Water Development Authority 5% 11/1/2018 11,958,456 90
-------------------------------------------------------------------------------------------------------------------------
13,092,456 98
-------------------------------------------------------------------------------------------------------------------------
Wisconsin--2.4%
5,000M Superior, Wisconsin Ltd. Oblig. Rev. (Midwest Energy) 6.9% 8/1/2021 5,593,750 42
Wisconsin Housing & Economic Development Authority:
1,435M 7 1/2% 9/1/2017 1,476,256 11
4,145M 7.6% 9/1/2017 4,310,800 32
14,840M 7 3/4% 9/1/2017 15,526,350 116
1,545M Wisconsin Municipal Insurance Comm. Rev. 8.7% 4/1/2007 1,676,325 12
Wisconsin State Health & Educational Facilities Authority Revenue:
2,000M Hospital Sisters Services Inc. 7 5/8% 11/15/1998* 2,237,500 17
1,500M Novus Health Group 8% 12/1/1998* 1,695,000 12
-------------------------------------------------------------------------------------------------------------------------
32,515,981 242
-------------------------------------------------------------------------------------------------------------------------
Total Value of Municipal Bonds (cost $1,260,003,262) 1,331,899,664 9,924
-------------------------------------------------------------------------------------------------------------------------
SHORT-TERM TAX EXEMPT INVESTMENTS--.3%
New York
2,600M New York City General Obligation Floating Rate Note 4.55%** $2,600,000 $19
1,000M New York City Water Auth. Floating Rate Note 4 1/2%** 1,000,000 8
-------------------------------------------------------------------------------------------------------------------------
Total Value of Short-Term Tax Exempt Investments
(cost $3,600,000) 3,600,000 27
-------------------------------------------------------------------------------------------------------------------------
Total Value of Municipal Investments (cost $1,263,603,262) 99.5% 1,335,499,664 9,951
Other Assets Less Liabilties .5 6,560,976 49
-------------------------------------------------------------------------------------------------------------------------
Net Assets 100.00% $1,342,060,640 $10,000
=========================================================================================================================
*Municipal Bonds which have been prerefunded are shown maturing at the prerefunded call date.
**Interest rates are determined and reset daily by the issuer. Interest rate shown is the rate in effect at June 30, 1995.
</TABLE>
See notes to financial statements
<TABLE>
<CAPTION>
Statement of Assets and Liabilities
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
June 30, 1995
-------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Assets
Investments in securities, at value (identified cost $1,263,603,262)
(Note 1A) $1,335,499,664
Cash 4,301,387
Receivables:
Interest $ 25,649,392
Capital shares sold 363,430
Investment securities sold 290,000 26,302,822
--------------
Other assets 81,733
--------------
Total Assets 1,366,185,606
Liabilities
Payables:
Investment securities purchased 15,578,603
Dividend payable July 10, 1995 5,846,699
Capital shares redeemed 1,605,726
Accrued advisory fee 788,269
Accrued expenses 305,669
--------------
Total Liabilities 24,124,966
--------------
Net Assets (Note 4):
Class A (135,143,107 shares outstanding) 1,340,975,276
Class B (109,357 shares outstanding) 1,085,364 $1,342,060,640
-------------- ==============
Net Assets Consist of:
Capital paid in $1,291,901,726
Undistributed net investment income 71,396
Accumulated net realized loss on investment transactions (21,808,884)
Net unrealized appreciation in value of investments 71,896,402
--------------
Total $1,342,060,640
==============
Net asset value and redemption price per share--Class A $ 9.92
======
Maximum offering price per share--Class A ($9.92/.9375)* $10.58
======
Net asset value and offering price per share--Class B $ 9.92
======
*On purchases of $25,000 or more, the sales charge is reduced.
See notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
Statement of Operations
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
Six Months Ended June 30, 1995
-------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Investment Income
Interest income $ 44,092,440
Expenses:
Advisory fee (Note 3) $ 4,680,002
Distribution plan expenses-Class A (Note 3) 2,024,540
Distribution plan expenses-Class B (Note 3) 2,325
Shareholder servicing costs (Note 3) 528,545
Bond insurance premiums (Note 1A) 177,594
Reports and notices to shareholders 65,744
Professional fees 49,698
Other expenses 273,076
--------------
Total expenses 7,801,524
--------------
Net investment income 36,290,916
Realized and Unrealized Gain (Loss) on Investments (Note 2):
Net realized gain on investments 203,565
Net unrealized appreciation of investments 70,105,172
--------------
Net gain on investments 70,308,737
--------------
Net Increase in Net Assets Resulting from Operations $106,599,653
==============
See notes to financial statements
</TABLE>
<TABLE>
<CAPTION>
Statement of Changes in Net Assets
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
------------------------------------------------------------------------------------------------------------------
Six Months Ended Year Ended
June 30, 1995 December 31, 1994
------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Increase (Decrease) in Net Assets from Operations
Net investment income $ 36,290,916 $ 78,721,451
Net realized gain (loss) on investments 203,565 (21,856,239)
Net unrealized appreciation (depreciation) of investments 70,105,172 (141,170,233)
-------------- --------------
Net increase (decrease) in net assets resulting from operations 106,599,653 (84,305,021)
-------------- --------------
Dividends to Shareholders from:
Net investment income - Class A (36,702,548) (78,422,877)
Net investment income - Class B (10,867) --
-------------- --------------
Total dividends (36,713,415) (78,422,877)
-------------- --------------
Capital Share Transactions (a)
Class A:
Proceeds from shares sold 38,072,723 98,224,276
Value of dividends reinvested 23,988,151 61,033,013
Cost of shares redeemed (92,504,609) (202,387,164)
-------------- --------------
(30,443,735) (43,129,875)
-------------- --------------
Class B:
Proceeds from shares sold 1,244,339 --
Value of dividends reinvested 4,553 --
Cost of shares redeemed (167,389) --
-------------- --------------
1,081,503 --
-------------- --------------
Net decrease from capital share transactions (29,362,232) (43,129,875)
-------------- --------------
Net increase (decrease) in net assets 40,524,006 (205,857,773)
Net Assets
Beginning of period 1,301,536,634 1,507,394,407
-------------- --------------
End of period (including undistributed net investment income of
$71,396 and $493,895, respectively) 1,342,060,640 1,301,536,634
============== ==============
(a)Capital Shares Issued and Redeemed
Class A:
Sold 3,874,031 9,853,687
Issued for dividends reinvested 2,429,542 6,238,112
Redeemed (9,385,402) (20,662,077)
-------------- --------------
Net decrease in Class A shares outstanding (3,081,829) (4,570,278)
============== ==============
Class B:
Sold 125,991 --
Issued for dividends reinvested 458 --
Redeemed (17,092) --
-------------- --------------
Net increase in Class B shares outstanding 109,357 --
============== ==============
See notes to financial statements
</TABLE>
Notes to Financial Statements
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
1. Significant Accounting Policies--The Fund is registered under the
Investment Company Act of 1940 (the "1940 Act") as a diversified, open-
end management investment company.
A. Security Valuation--The Municipal Bonds in which the Fund invests are
traded primarily in the over-the-counter markets. Such securities are
valued daily at their fair value on the basis of valuations provided by
a pricing service approved by the Board of Directors. The pricing
service considers security type, rating, market condition and yield
data, as well as market quotations and prices provided by market makers.
"When Issued Securities" are reflected in the assets of the Fund as of
the date the securities are purchased.
The Fund's Municipal Bonds are insured as to payment of principal and
interest by the issuer or under insurance policies written by
independent insurance companies. It is the intention of the Fund to
retain any insured securities which are in default or in significant
risk of default and to place a value on the defaulted securities equal
to the value of similar securities which are not in default.
B. Federal Income Taxes--It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute exempt-
interest dividends, by complying with the provisions available to
certain investment companies, as defined in the Internal Revenue Code,
and to make distributions of income and net realized capital gains (in
excess of any available capital loss carryovers), sufficient to relieve
it from all, or substantially all, federal income taxes. At June 30,
1995, the Fund had a capital loss carryover of $20,025,997 expiring in
the year 2002.
C. Distributions to Shareholders--Dividends from net investment income
are declared daily and paid monthly. Distributions from net realized
capital gains are normally declared and paid annually. Income dividends
and capital gain distributions are determined in accordance with income
tax regulations which may differ from generally accepted accounting
principles. These differences are primarily due to differing treatments
for capital loss carryforwards, deferral of wash sales and post October
losses.
D. Security Transactions and Investment Income--Security transactions
are accounted for on the date the securities are purchased or sold. Cost
is determined, and gains and losses are based, on the identified cost
basis for both financial statement and federal income tax purposes.
Interest income is earned from settlement date and recorded on the
accrual basis. Estimated expenses are accrued daily.
2. Securities Transactions--For the six months ended June 30, 1995,
purchases and sales of investment securities, other than United States
Government obligations and short-term notes, aggregated $271,326,148 and
$315,817,244, respectively.
At June 30, 1995, the cost of investments for federal income tax
purposes was $1,263,606,312. Accumulated net unrealized appreciation on
investments was $71,893,352, consisting of $76,001,565 gross unrealized
appreciation and $4,108,213 gross unrealized depreciation.
3. Advisory Fee and Other Transactions With Affiliates--Certain officers
and directors of the Fund are officers and directors of its investment
adviser, First Investors Management Company, Inc. ("FIMCO"), its
underwriter, First Investors Corporation ("FIC") and/or its transfer
agent, Administrative Data Management Corp. ("ADM"). Officers and
directors of the Fund received no remuneration from the Fund for serving
in such capacity. Their remuneration (together with certain other
expenses of the Fund) is paid by FIMCO or FIC.
The Investment Advisory Agreement provides as compensation to FIMCO an
annual fee, payable monthly, at the rate of .75% of the first $250
million of the Fund's average daily net assets, declining by .03% on
each $250 million thereafter, down to .66% on average daily net assets
over $750 million.
Pursuant to certain state regulations, FIMCO has agreed to reimburse the
Fund if and to the extent that the Fund's aggregate operating expenses,
including the advisory fee but generally excluding interest, bond
insurance premiums, taxes, brokerage commissions and extraordinary
expenses, exceed any limitation on expenses applicable to the Fund in
those states (unless waivers of such limitation have been obtained).
The amount of any such reimbursement is limited to the amount of the
yearly advisory fee. For the six months ended June 30, 1995, no
reimbursement was required pursuant to these provisions.
For the six months ended June 30, 1995, FIC, as underwriter, received
$379,278 in commissions, after allowing $82,620 to other dealers.
Shareholder servicing costs included $428,245 in transfer agent fees
paid to ADM.
Pursuant to a Distribution Plan adopted under Rule 12b-1 of the 1940
Act, the Fund is authorized to pay FIC a fee equal to .30% of the
average net assets of the Class A shares and 1% of the average net
assets of the Class B shares on an annualized basis each year, payable
monthly. The fee consists of a distribution fee and a service fee. The
service fee is paid for the ongoing servicing of clients who are
shareholders of the Fund.
4. Capital--The Fund sells two classes of shares, Class A and Class B,
each with a public offering price that reflects different sales charges
and expense levels. Class A shares are sold with an initial sales
charge of up to 6.25% of the amount invested and are subject to a
maximum 12b-1 fee at the annual rate of .30% of the Fund's average daily
net assets attributable to Class A shares. Class B shares are sold
without an initial sales charge, but are generally subject to a
contingent deferred sales charge which declines in steps from 4% to 0%
during a six-year period and pay a 12b-1 fee at the annual rate of 1% of
the Fund's average daily net assets attributable to Class B shares.
Class B shares automatically convert into Class A shares after eight
years. Realized and unrealized gains or losses, investment income and
expenses (other than 12b-1 fees and certain other class expenses) are
allocated daily to each class of shares based upon the relative
proportion of net assets of each class. Of the 500,000,000 shares
originally authorized, the Fund has designated 300,000,000 shares as
Class A and 200,000,000 shares as Class B.
<TABLE>
<CAPTION>
Financial Highlights
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
The following table sets forth the per share operating performance for a share of capital stock outstanding, total return,
ratios to average net assets and other supplemental data for each period indicated.
----------------------------------------------------------------------------------------------------------------------------
Class A Class B
--------------------------------------------------------------- -------
1/1/95 Year Ended December 31 1/12/95*
to --------------------------------------------------- to
6/30/95 1994 1993 1992 1991 1990 6/30/95
----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Per Share Data
Net Asset Value, Beginning of Period $ 9.42 $10.56 $10.32 $10.22 $ 9.92 $10.03 $ 9.48
------ ------- ------- ------- ------- ------- -------
Income from Investment Operations
Net investment income .265 .56 .60 .65 .69 .70 .212
Net realized and unrealized gain (loss) on
investments .503 (1.15) .40 .15 .30 (.11) .441
------ ------- ------- ------- ------- ------- -------
Total from Investment Operations .768 (.59) 1.00 .80 .99 .59 .653
------ ------- ------- ------- ------- ------- -------
Less Distributions from:
Net investment income .268 .55 .61 .65 .69 .70 .213
Net realized gains -- -- .15 .05 -- -- --
------ ------- ------- ------- ------- ------- -------
Total Distributions .268 .55 .76 .70 .69 .70 .213
------ ------- ------- ------- ------- ------- -------
Net Asset Value, End of Period $ 9.92 $ 9.42 $10.56 $10.32 $10.22 $ 9.92 $ 9.92
====== ======= ======= ======= ======= ======= ======
Total Return(%)+ 8.20 (5.61) 9.88 8.05 10.26 6.13 6.92
Ratios/Supplemental Data
Net Assets, End of Period (in millions) $1,341 $1,302 $1,507 $1,363 $1,208 $1,132 $1
Ratio to Average Net Assets:(%)
Expenses 1.16(a) 1.18 1.15 1.16 1.13 1.14 1.82(a)
Net investment income 5.38(a) 5.64 5.69 6.32 6.82 7.03 4.63(a)
Portfolio Turnover Rate(%) 20 57 58 52 34 28 20
*Date shares first offered
+Calculated without sales charges
(a)Annualized
See notes to financial statements
</TABLE>
Independent Auditor's
Report
To the Shareholders and Board of Directors of
First Investors Insured Tax Exempt Fund, Inc.
We have audited the accompanying statement of assets and liabilities of
First Investors Insured Tax Exempt Fund, Inc., including the portfolio
of investments, as of June 30, 1995, and the related statement of
operations for the six months then ended, the statement of changes in
net assets for the six months ended June 30, 1995 and the year ended
December 31, 1994 and financial highlights for each of the periods
presented. These financial statements and financial highlights are the
responsibility of the Fund's management. Our responsibility is to
express an opinion on these financial statements and financial
highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the
amounts and disclosures in the financial statements.
Our procedures included confirmation of securities owned as of June 30,
1995, by correspondence with the custodian and brokers. An audit also
includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the
financial position of First Investors Insured Tax Exempt Fund, Inc. at
June 30, 1995, and the results of its operations, changes in its net
assets and financial highlights for each of the respective periods
presented, in conformity with generally accepted accounting principles.
Tait, Weller & Baker
Philadelphia, Pennsylvania
July 31, 1995
Directors
-------------------------------------
James J. Coy
Roger L. Grayson
Glenn O. Head
Kathryn S. Head
F. William Ortman, Jr.
Rex R. Reed
Herbert Rubinstein
James M. Srygley
John T. Sullivan
Robert F. Wentworth
Officers
Glenn O. Head
President
Concetta Durso
Vice President and Secretary
Clark D. Wagner
Vice President
Joseph I. Benedek
Treasurer
Carol Lerner Brown
Assistant Secretary
Shareholder Information
-------------------------------------
Investment Adviser
First Investors
Management Company, Inc.
95 Wall Street
New York, NY 10005
Underwriter
First Investors Corporation
95 Wall Street
New York, NY 10005
Custodian
The Bank of New York
48 Wall Street
New York, NY 10286
Transfer Agent
Administrative Data
Management Corp.
581 Main Street
Woodbridge, NJ 07095-1198
Legal Counsel
Kirkpatrick & Lockhart LLP
1800 M Street, N.W.
Washington, DC 20036
Auditors
Tait, Weller & Baker
Two Penn Center Plaza
Philadelphia, PA 19102
It is the Fund's practice to mail only one copy of its annual and semi-
annual reports to any address at which more than one shareholder with
the same last name has indicated that mail is to be delivered.
Additional copies of the reports will be mailed if requested by any
shareholder in writing or by calling 800-423-4026. The Fund will ensure
that separate reports are sent to any shareholder who subsequently
changes his or her mailing address.
This report is authorized for distribution only to existing
shareholders, and, if given to prospective shareholders, must be
accompanied or preceded by the Fund's prospectus.
FIRST INVESTORS INSURED TAX EXEMPT FUND, INC.
95 WALL STREET
NEW YORK, NY 10005
The following appears on the bottom lefthand side:
First Investors Logo, which is described as follows: the arabic numeral
one separated into seven vertical segments followed by the word "First
Investors."
A MEMBER OF THE
FIRST INVESTORS
FINANCIAL NETWORK
FITE113
Vertically reading from bottom to top in the center of the page the
words "FIRST INVESTORS" appear.
FIRST
INVESTORS
INSURED
TAX EXEMPT
FUND, INC.
SEMI-
ANNUAL
REPORT
JUNE 30, 1995
