VAN KAMPEN MERRITT MUNICIPAL OPPORTUNITY TRUST, N-30D, 1995-12-28

VAN KAMPEN MERRITT MUNICIPAL OPPORTUNITY TRUST
N-30D, 1995-12-28

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Table of Contents

<TABLE>
<CAPTION>
<S> <C>
Letter to Shareholders ................ 1
Performance Results ................... 3
Portfolio of Investments ............. 4
Statement of Assets and Liabilities ... 10
Statement of Operations ............... 11
Statement of Changes in Net Assets .... 12
Financial Highlights ................. 13
Notes to Financial Statements ......... 14
Independent Auditors' Report .......... 19
Dividend Reinvestment Plan ........... 20
</TABLE>

VMO ANR 12/95

Letter to Shareholders

November 22, 1995

Dear Shareholder:

The first ten months of 1995 have been very positive for most investors. Both
the fixed-income and equity markets have made considerable gains during the
period ended October 31, 1995.

This year serves as a reminder of just how quickly markets can move and how
difficult it can be to predict the timing of those movements. Moreover, this
year reinforces the importance of maintaining a long-term perspective and
reaffirms the principle that it is time -- not timing -- that leads to
investment success.

[PHOTO]
Dennis J. McDonnell and Don G. Powell

Economic Overview

Although the third quarter posted a stronger-than-expected annual gross
domestic product growth rate of 4.2 percent, the economy has slowed
significantly this year. This slowdown is due in large part to the Federal
Reserve Board's efforts to tighten monetary supply in 1994 --
a measure that proved successful, as economic growth during the first half of
1995 was substantially lower than its fourth quarter 1994 rate of 5.1 percent.
And, while other key economic data have shown mixed signs during recent months,
the general economic trends for the year continue to support a "soft landing"
scenario.

Comfortable with the economy's rate of growth and level of inflation, the Fed
reversed its trend of raising interest rates and lowered short-term rates by a
quarter percent on July 6. With slowing growth, interest rates declined and the
value of many fixed-income investments rose (bond yields and prices move in
opposite directions).

Performance Summary

The Trust produced a tax-exempt distribution of 7.13 percent<F3>, based on the
closing stock price of $13.625 per common share on October 31, 1995. Because
income from the Trust is exempt from federal income tax, it is important to
compare the Trust's distribution rate to an equivalent taxable rate. For
example, for investors in the 36 percent federal income tax bracket, the Trust's
distribution rate represents a yield equivalent to a taxable investment earning
11.14 percent<F4>. In fact, many closed-end municipal bond funds, such as your
investment, are currently offering higher yields (after taxes) over many income
alternatives.

As the graph on the following page shows, the Trust's net asset value and
market price have made significant gains over the one-year period. The Trust's
closing stock price, for example, gained 4.8 percent from October 1994 to
October 1995. Moreover, we are pleased to report the Trust generated a one-year
total return at market price of 12.70 percent<F1>, which includes reinvestment
of dividends for the period ended October 31, 1995.

1 (Continued on page two)

Economic Outlook

We believe the Fed will move cautiously before it continues to lower
short-term rates, waiting for key indicators to show that the economy has truly
settled into a slow growth pattern. Although current economic data continues to
send mixed signals, we anticipate the economy will grow at an annual rate of 3
percent in the fourth quarter and inflation will run under 3 percent.

Based upon a generally modest growth and low inflation outlook, we believe
the outlook for fixed-income markets is positive. As interest rates fall in
response to a slowing economy, we believe yields on short-term municipal bonds
will continue to move significantly lower than long-term municipal bonds.
Lower short-term rates typically translate into lower leveraging costs for the
Trust, which provides increased opportunities for higher earnings over time.
Additionally, a steepening of the municipal yield curve would likely increase
investor demand for long-term municipal bonds and help to boost market prices.
Long-term municipal bond prices will also benefit from the combination of low
supply of new municipal bond issues and increased demand driven by scheduled
bond maturities.

[GRAPH]
Trust Participates in
Market Gains of '95

Market
Date NAV Price

31-Oct-94 14.390 13.000
30-Nov-94 13.640 12.625
31-Dec-94 14.300 12.750
31-Jan-95 14.800 13.750
28-Feb-95 15.410 14.500
31-Mar-95 15.610 14.000
30-Apr-95 15.320 13.375
31-May-95 15.660 14.000
3O-Jun-95 15.230 13.875
31-Jul-95 15.190 14.125
31-Aug-95 15.400 13.875
3O-Sep-95 15.480 13.500
31-Oct-95 15.850 13.625

Based on month-end prices

While there has been varied speculation about the impact of tax reform, no one
is certain about what will finally happen. Consequently, in the near term, the
municipal market may continue to experience periodic market fluctuations as
various proposals come to the forefront. However, in the long term, we believe
the municipal market will remain an attractive investment choice for investors
seeking high current income. We will continue to keep a close watch over any new
developments and evaluate the potential impact they may have on your investment
in the Trust.

Once again, thank you for your continued confidence in your investment with
Van Kampen American Capital and for the privilege of working with you in seeking
to reach your financial goals.

Sincerely,

Don G. Powell Dennis J. McDonnell
Chairman President
Van Kampen American Capital Van Kampen American Capital
Investment Advisory Corp. Investment Advisory Corp.

<TABLE>
Performance Results for the Period Ended October 31, 1995
Van Kampen Merritt Municipal Opportunity Trust
(NYSE Ticker Symbol-VMO)
<CAPTION>
<S> <C>
Total Returns
One-year total return based on market price<F1> ....................................... 12.70%
One-year total return based on NAV<F2> ................................................ 17.74%
Distribution Rates
Distribution rate as a % of initial offer common stock price<F3> ...................... 6.48%
Taxable-equivalent distribution rate as a % of initial offer common stock price<F4> ... 10.13%
Distribution rate as a % of closing common stock price<F3> ........................... 7.13%
Taxable-equivalent distribution rate as a % of closing common stock price<F4> ......... 11.14%
Share Valuations
Net asset value ....................................................................... $ 15.85
Closing common stock price .......................................................... $ 13.625
One-year high common stock price (03/03/95) ........................................... $ 14.500
One-year low common stock price (11/11/94) ........................................... $ 11.750
Preferred share (Series A) rate<F5> .................................................. 3.770%
Preferred share (Series B) rate<F5> .................................................. 3.807%

<FN>
<F1> Total return based on market price assumes an investment at the market
price at the beginning of the period indicated, reinvestment of all
distributions for the period in accordance with the Trust's dividend
reinvestment plan, and sale of all shares at the closing stock price at the end
of the period indicated.

<F2> Total return based on net asset value (NAV) assumes an investment at the
beginning of the period indicated, reinvestment of all distributions for the
period, and sale of all shares at the end of the period, all at NAV.

<F3> Distribution rate represents the monthly annualized distributions of the
Trust at the end of the period and not the earnings of the Trust.

<F4> The taxable-equivalent distribution rate is calculated assuming a 36%
federal tax bracket.

<F5> See "Notes to Financial Statements" footnote #5, for more information
concerning Preferred Share reset periods.

A portion of the interest income may be taxable for those investors subject to
the federal alternative minimum tax (AMT).

Past performance does not guarantee future results. Investment return, stock
price and net asset value will fluctuate with market conditions. Trust shares,
when sold, may be worth more or less than their original cost.
</FN>
</TABLE>

<TABLE>
<CAPTION>
Portfolio of Investments
October 31,1995
- -----------------------------------------------------------------------------------------------------
Par
Amount
(000) Description Coupon Maturity Market Value
- -----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Municipal Bonds
Alabama 1.0%
$ 2,000 Birmingham-Carraway, AL Methodist Hlth
Sys Ser A (Connie Lee Insd) <F2> ...................... 5.875% 08/15/25 $ 1,985,880
2,000 Mobile, AL Indl Dev Brd Solid Waste Disp Rev
Mobile Energy Svcs Co Proj Rfdg ........................ 6.950 01/01/20 2,075,260
------------
4,061,140
------------
Alaska 2.2%
8,625 Alaska St Hsg Fin Corp Ser A (MBIA Insd) <F2> ......... 5.875 12/01/24 8,476,995
------------

California 12.9%
1,590 California Hsg Fin Agy Rev Home Mtg Ser B1
(FHA Gtd) .............................................. 6.300 08/01/08 1,661,820
6,000 California Pollutn Ctl Fin Auth Pollutn Ctl Rev
Pacific Gas & Elec Co Ser B (MBIA Insd) ................ 5.850 12/01/23 5,922,240
2,000 California Pollutn Ctl Fin Auth Pollutn Ctl Rev Southern
CA Edison Co (Embedded Cap) (AMBAC Insd) .............. 6.000 07/01/27 2,004,780
3,000 California St Ser 94 ................................... 5.500 03/01/12 2,963,160
1,000 California Statewide Cmntys Dev Auth Rev Ctfs
Children's Hosp (MBIA Insd) ............................ 6.000 06/01/12 1,052,210
1,000 California Statewide Cmntys Dev Auth Rev Ctfs
Children's Hosp (MBIA Insd) ............................ 6.000 06/01/13 1,048,330
5,000 Contra Costa, CA Home Mtg Fin Auth Home
Mtg Rev (MBIA Insd) ................................... * 09/01/17 1,292,300
4,000 Foothill/Eastern Tran Agy Conv Cap Apprec
Sr Lien Ser A <F4> ..................................... 0/7.050 01/01/10 2,203,520
8,000 Foothill/Eastern Tran Corridor Agy CA Toll Rd Rev ...... * 01/01/15 2,196,000
7,000 Metropolitan Wtr Dist Southern CA Wtrwks Rev ........... 5.950 08/05/22 6,999,230
3,000 Orange Cnty, CA Recovery Ser A Rfdg (MBIA Insd) ....... 6.000 06/01/08 3,172,800
2,895 San Bernardino, CA Jt Pwrs Fin Ser A Rfdg
(Cap Guar Insd) ....................................... 5.500 10/01/10 2,891,931
2,000 San Bernardino, CA Jt Pwrs Fin Ser A Rfdg
(Cap Guar Insd) ....................................... 5.750 10/01/15 1,975,380
10,000 San Diego, CA Indl Dev Rev San Diego Gas & Elec
Ser A (Embedded Cap) (MBIA Insd) ....................... 6.100 09/01/18 10,060,300
1,000 San Jose, CA Redev Agy Tax Alloc Merged Area
Redev Proj (MBIA Insd) ................................. 6.000 08/01/11 1,063,550
4,000 Southern CA Rapid Tran Dist CA Rev Spl Benefit
Assmt Dist Ser A1 (AMBAC Insd) ........................ 5.500 09/01/09 4,030,240
------------
50,537,791
------------

Colorado 5.9%
2,000 Arapahoe Cnty, CO Cap Impt Trust Fund Hwy
Rev E-470 Proj Ser B .................................. 7.000 08/31/26 2,117,220
9,000 Arapahoe Cnty, CO Cap Impt Trust Fund Hwy
Rev E-470 Proj Ser C .................................. * 08/31/15 2,208,780
</TABLE>

4 See Notes to Financial Statements

<TABLE>
<CAPTION>
Portfolio of Investments (Continued)
October 31,1995
- ------------------------------------------------------------------------------------------------------
Par
Amount
(000) Description Coupon Maturity Market Value
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Colorado (Continued)
$ 19,000 Arapahoe Cnty, CO Cap Impt Trust Fund Hwy
Rev E-470 Proj Ser C ................................ *% 08/31/26 $ 1,981,130
1,000 Colorado Hlth Fac Auth Rev Vail Vly Med
Cent Proj Ser A ...................................... 6.500 01/15/13 1,026,290
1,570 Colorado Hsg Fin Auth Single Family Proj Sr Ser A3 ... 7.000 11/01/24 1,635,202
3,500 Denver, CO City & Cnty Arpt Rev Ser A ............... 8.500 11/15/07 3,995,635
7,000 Denver, CO City & Cnty Arpt Rev Ser A ............... 8.875 11/15/12 8,263,010
2,000 Denver, CO City & Cnty Arpt Rev Ser B (MBIA Insd) ... 5.750 11/15/17 1,952,380
------------
23,179,647
------------

District of Columbia 3.8%
2,000 Metropolitan WA, DC Arpt Auth Genl Arpt Rev
Ser A (FGIC Insd) .................................... 7.250 10/01/10 2,210,960
1,500 Metropolitan WA, DC Arpt Auth Genl Arpt Rev
Ser A (MBIA Insd) .................................... 5.875 10/01/15 1,507,110
12,000 Metropolitan WA, DC Arpt Auth Genl Arpt Rev
Ser A (MBIA Insd) .................................... 5.500 10/01/24 11,361,000
------------
15,079,070
------------

Florida 0.8%
3,000 Florida St Brd Edl Cap Outlay Pub Edl Ser A ......... 5.875 06/01/16 3,039,300
------------

Georgia 2.9%
3,370 Fulton Cnty, GA Lease Rev <F5> ....................... 7.250 06/15/10 3,777,736
7,000 Municipal Elec Auth GA Spl Oblig First Crossover
(MBIA Insd) ......................................... 6.500 01/01/20 7,803,250
------------
11,580,986
------------

Hawaii 1.4%
5,000 Hawaii St Arpt Sys Rev Ser 2 ......................... 7.000 07/01/18 5,311,000
------------

Illinois 5.1%
5,000 Chicago, IL O'Hare Intl Arpt Rev Genl Arpt
2nd Lien Ser A (MBIA Insd) <F3> ..................... 6.375 01/01/12 5,337,300
6,400 Chicago, IL Sch Fin Auth Ser A (MBIA Insd) ............ 5.000 06/01/09 6,155,520
3,285 Illinois Hlth Fac Auth Rev Midwest Physician
Group Ltd Proj ...................................... 8.125 11/15/19 3,467,449
1,475 Regional Tran Auth IL Ser A (AMBAC Insd) ............ 6.500 06/01/15 1,564,916
1,410 Sangamon Cnty, IL Cmnty Unit Sch Dist No 5
(FGIC Insd) .......................................... 6.400 12/01/03 1,566,087
1,865 Sangamon Cnty, IL Cmnty Unit Sch Dist No 5
(FGIC Insd) .......................................... 6.500 12/01/05 2,094,563
------------
20,185,835
------------

Indiana 1.1%
1,500 Indianapolis, IN Loc Pub Impt Bond Bank Ser D ....... 6.500 02/01/22 1,526,895
2,500 Purdue Univ, IN Univ Rev Student Fee Ser B .......... 6.750 07/01/09 2,907,475
------------
4,434,370
------------
</TABLE>

5 See Notes to Financial Statements

Maine 1.2%
2,870 Maine Edl Ln Auth Edl Ln Rev Supplemental Edl Ln
Pgm Ser A1 ........................................ 7.000 12/01/16 3,138,288
1,575 Maine Edl Ln Auth Edl Ln Rev Supplemental Edl Ln
Pgm Ser A2 ...................................... 7.150 12/01/16 1,700,307
-------------
4,838,595
-------------

Maryland 1.3%
5,000 Northeast, MD Waste Disp Auth Solid Waste Rev
Montgomery Cnty Res Recovery Proj Ser A .......... 6.200 07/01/10 5,090,750
-------------

Massachusetts 1.6%
1,500 Lowell, MA Ser B (FSA Insd) ...................... 5.600 11/01/12 1,509,135
2,000 Massachusetts St Hlth & Edl Fac Auth Rev
New England Med Cent Hosp Ser G
(Embedded Swap) (MBIA Insd) ..................... 3.100 07/01/13 1,665,640
3,000 Plymouth Cnty, MA Ctfs Partn Ser A .............. 7.000 04/01/22 3,307,080
-------------
6,481,855
-------------

Michigan 1.9%
2,500 Michigan St Hosp Fin Auth Rev Hosp Port Huron
Hosp Oblig Rfdg (FSA Insd) <F2> .................. 5.375 07/01/12 2,423,575
4,500 Monroe Cnty, MI Pollutn Ctl Rev Coll Detroit
Edison Monroe Ser 1 (MBIA Insd) <F3> ............ 6.875 09/01/22 4,860,630
-------------
7,284,205
-------------

Minnesota 1.1%
24,160 Southern MN Muni Pwr Agy Pwr Supply
Sys Rev Ser A (MBIA Insd) ....................... * 01/01/26 4,205,773
-------------

Mississippi 1.4%
5,500 Mississippi St Ctfs Partn Marshall Cnty
Correctl Fac (MBIA Insd) ......................... 5.625 06/01/11 5,569,795
-------------

Missouri 1.4%
1,000 Missouri St Hsg Dev Comm Mtg Single Family
Homeowner Ser C (GNMA Collateralized) ........... 7.250 09/01/26 1,093,140
1,185 Saint Louis Cnty, MO Single Family (MBIA Insd) ... 6.900 04/01/16 1,224,200
3,000 Sikeston, MO Elec Rev Rfdg (MBIA Insd) <F3> ....... 6.200 06/01/10 3,276,510
-------------
5,593,850
-------------

Nevada 2.3%
4,000 Clark Cnty, NV Indl Dev Rev NV Pwr Co Proj
Ser A (FGIC Insd) <F3> .......................... 6.700 06/01/22 4,211,480
5,000 Clark Cnty, NV Passenger Fac Las Vegas
Macarran Intl Arpt (MBIA Insd) .................. 5.750 07/01/23 4,815,500
-------------
9,026,980
-------------
</TABLE>

6 See Notes to Financial Statements

New Mexico 0.9%
1,165 Hobbs, NM Single Family Mtg Rev Rfdg ................ 8.750 07/01/11 1,273,881
2,000 University of NM Technology Dev Corp Lease Rev
Univ Cent Resh Pk Proj Ser A (MBIA Insd) ............ 6.450 08/15/18 2,146,960
-------------
3,420,841
-------------

New York 13.0%
3,000 Metropolitan Tran Auth NY Svcs Contract Tran
Fac Ser 5 Rfdg ...................................... 7.000 07/01/12 3,235,230
1,440 New York City Indl Spl Fac Terminal
One Group Assn Proj ................................. 6.100 01/01/09 1,465,502
8,000 New York City Ser D .................................. 7.500 02/01/19 8,736,800
6,060 New York St Dorm Auth Rev City Univ Ser F ........... 5.500 07/01/12 5,746,031
1,365 New York St Dorm Auth Rev St Univ Edl Fac
Ser B Rfdg .......................................... 5.250 05/15/09 1,301,978
8,000 New York St Energy Resh & Dev Auth Elec Fac Rev
Cons Edison Co NY Proj Ser A (MBIA Insd) ............ 7.500 11/15/21 8,406,480
4,325 New York St Energy Resh & Dev Auth St Svc
Contract Rev Western NY Nuclear Svc Cent Proj ....... 5.500 04/01/99 4,442,727
3,000 New York St Loc Govt Assistance Corp Ser C Rfdg ...... 5.000 04/01/21 2,688,300
4,000 Onondaga Cnty, NY Res Recovery Agy Rev Proj
Res Recovery Fac ..................................... 6.625 05/01/00 4,119,520
3,500 Port Auth NY & NJ Cons 97th Ser (FGIC Insd) ......... 6.650 01/15/23 3,739,225
7,500 Port Auth NY & NJ Cons 102nd Ser (MBIA Insd) <F2> ... 5.625 10/15/17 7,425,150
-------------
51,306,943
-------------

North Carolina 6.9%
13,000 North Carolina Eastn Muni Pwr Agy Pwr Sys Rev
Ser B Rfdg (Embedded Cap) ........................... 6.000 01/01/14 12,769,510
11,000 North Carolina Muni Pwr Agy No 1 Catawba Elec Rev
(Embedded Cap) ....................................... 6.000 01/01/12 10,936,310
3,000 Wake Cnty, NC Indl Fac & Pollutn Ctl Fin Auth Rev ... 6.900 04/01/09 3,241,650
-------------
26,947,470
-------------

Ohio 0.9%
2,545 Middleburg Heights, OH Southwest Genl Hlth Cent
(FSA Insd) .......................................... 5.700 08/15/10 2,591,955
1,000 Ohio St Air Quality Dev Auth Rev JMG Funding Ltd
Partnership Proj Rfdg (AMBAC Insd) ................... 6.375 04/01/29 1,054,660
-------------
3,646,615
-------------
</TABLE>

7 See Notes to Financial Statements

Pennsylvania 4.5%
6,655 Berks Cnty, PA Muni Auth Rev Highlands at
Wyomissing Proj B .................................... 6.875 10/01/17 7,055,498
8,500 Geisinger Auth PA Hlth Sys Muni Cap Ser A
(Embedded Cap) ....................................... 5.450 07/01/22 8,611,945
1,000 Pennsylvania Intergvtl Coop Auth Spl Tax Rev
City of Philadelphia (Prerefunded @ 06/15/02) ....... 6.800 06/15/22 1,129,170
1,000 Philadelphia, PA Sch Dist Ser A (MBIA Insd) .......... 5.750 07/01/07 1,051,640
------------
17,848,253
------------

South Carolina 0.3%
1,000 Aiken County, SC Indl Rev Beloit Corp Proj Rfdg ...... 6.000 12/01/11 992,810
------------

Texas 3.8%
4,500 Dallas-Fort Worth, TX Intl Arpt Fac Impt Corp Rev
Delta Airls Inc ...................................... 7.000 11/01/01 4,673,565
2,525 Dallas-Fort Worth, TX Intl Arpt Fac Impt Corp Rev
Delta Airls Inc ...................................... 7.625 11/01/21 2,703,896
5,000 Ector Cnty, TX Hosp Dist Hosp Rev Med Cent Hosp ...... 7.300 04/15/12 5,416,250
1,962 Texas Genl Svcs Comm Partn Int Lease Pur Ctfs ....... 7.250 08/15/11 2,040,643
------------
14,834,354
------------

Utah 1.5%
3,000 Salt Lake City, UT Hosp Rev IHC Hosp Inc Rfdg
(Embedded Cap) ....................................... 5.500 02/15/17 2,811,120
2,920 Utah St Hsg Fin Agy Single Family Mtg Sr Issue B3 .... 7.100 07/01/24 3,053,999
------------
5,865,119
------------

Virginia 2.9%
2,500 Loudoun Cnty, VA Indl Dev Auth Loudoun
Hosp Cent (FSA Insd) ................................. 5.800 06/01/20 2,485,275
1,000 Loudoun Cnty, VA Indl Dev Auth Loudoun
Hosp Cent (FSA Insd) ................................. 5.800 06/01/26 993,560
8,200 Roanoke, VA Indl Dev Auth Hosp Rev Roanoke Mem
Hosp Carilion Hlth Sys Ser B Rfdg (MBIA Insd) <F4> ... 4.70/6.25 07/01/20 7,793,280
------------
11,272,115
------------

Washington 6.1%
9,850 Bellevue, WA Convention Cent Comp Int Rfdg
(MBIA Insd) ......................................... * 02/01/25 1,736,260
10,975 Washington St Pub Pwr Supply Sys Nuclear
Proj No 1 Rev Ser A Rfdg (MBIA Insd) ................. 5.700 07/01/17 10,766,694
10,000 Washington St Pub Pwr Supply Sys Nuclear
Proj No 1 Rev Ser B Rfdg (MBIA Insd) ................. 5.600 07/01/15 9,795,000
5,125 Washington St Pub Pwr Supply Sys Nuclear
Proj No 3 Rev Ser C Rfdg ............................ * 07/01/14 1,620,269
------------
23,918,223
------------
</TABLE>

8 See Notes to Financial Statements

Wisconsin 0.9%
1,000 Madison, WI Indl Dev Rev Madison Gas & Elec Co
Proj Ser A ...................................... 6.750 04/01/27 1,055,010
2,500 Wisconsin St Hlth & Edl Fac Waukesha Mem Hosp
Ser A (AMBAC Insd) <F2> ........................ 5.000 08/15/09 2,382,400
---------------
3,437,410
---------------

Puerto Rico 0.7%
3,000 Puerto Rico Elec Pwr Auth Pwr Rev Ser Z Rfdg ... 5.500 07/01/12 2,948,400
---------------

Swaps 0.0%
JP Morgan Securities, $8,500,000 notional amount, 01/01/96 maturity, Trust pays variable
rate, Trust receives 5.45% fixed rate (used to offset variable component of Geisinger
Auth PA Hlth Sys Muni Cap Ser A Bond) .................................................. (99,672)
---------------
Total Long-Term Investments 103.0%
(Cost $383,441,338) <F1> ............................................................... 404,956,154
Short-Term Investments at Amortized Cost 0.8% ......................................... 3,200,000
Liabilities in Excess of Other Assets (3.8%) .......................................... (14,873,503)
---------------
Net Assets 100% ........................................................................ $ 393,282,651
===============
*Zero coupon bond

<FN>
<F1> At October 31, 1995, cost for federal income tax purposes is $383,441,338;
the aggregate gross unrealized appreciation is $22,490,041 and the aggregate
gross unrealized depreciation is $1,304,892, resulting in net unrealized
appreciation including futures transactions of $21,185,149.

<F2> Securities purchased on a when issued or delayed delivery basis.

<F3> Assets segregated as collateral for when issued or delayed delivery
purchase commitments and open futures transactions.

<F4> Security is a "Step-up" bond where the coupon increases or steps up at a
predetermined date.

<F5> Private placement issue.
</FN>
</TABLE>

The following table summarizes the portfolio composition at October 31, 1995,
based upon quality ratings issued by Standard & Poor's. For securities not rated
by Standard & Poor's, the Moody's rating is used.

Portfolio Composition by Credit Quality

9 See Notes to Financial Statements

<TABLE>
Statement of Assets and Liabilities
October 31,1995
- --------------------------------------------------------------------------------------------------------------
<CAPTION>
<S> <C>
Assets:
Investments, at Market Value (Cost $383,441,338) (Note 1) .................................... $ 404,956,154
Short-Term Investments (Note 1) .............................................................. 3,200,000
Cash ........................................................................................ 2,105,183
Receivables:
Interest ................................................................................... 6,554,362
Investments Sold ........................................................................... 75,875
Unamortized Organizational Expenses (Note 1) ................................................ 11,811
---------------
Total Assets ............................................................................. 416,903,385
---------------
Liabilities:
Payables:
Investments Purchased ...................................................................... 22,614,209
Income Distributions - Common and Preferred Shares ........................................ 377,712
Investment Advisory Fee (Note 2) ........................................................... 215,889
Administrative Fee (Note 2) ............................................................... 66,427
Margin on Futures (Note 4) ................................................................ 6,250
Accrued Expenses ............................................................................. 340,247
---------------
Total Liabilities ........................................................................ 23,620,734
---------------
Net Assets ................................................................................... $ 393,282,651
===============
Net Assets Consist of:
Preferred Shares ($.01 par value, authorized 100,000,000 shares, 3,000 issued with liquidation
preference of $50,000 per share) (Note 5) .................................................. $ 150,000,000
---------------
Common Shares ($.01 par value with an unlimited number of shares authorized,
15,352,891 shares issued and outstanding) ................................................. 153,529
Paid in Surplus ............................................................................. 226,719,758
Net Unrealized Appreciation on Investments .................................................. 21,185,149
Accumulated Undistributed Net Investment Income ............................................. 1,095,548
Accumulated Net Realized Loss on Investments ................................................. (5,871,333)
---------------
Net Assets Applicable to Common Shares ................................................... 243,282,651
---------------
Net Assets ................................................................................... $ 393,282,651
===============
Net Asset Value Per Common Share($243,282,651 divided
by 15,352,891 shares outstanding) .......................................................... $ 15.85
===============
</TABLE>

10 See Notes to Financial Statements

<TABLE>
<CAPTION>
Statement of Operations
For the Year Ended October 31,1995
- ---------------------------------------------------------------------------------------------------------
<S> <C>
Investment Income:
Interest .............................................................................. $ 23,627,905
----------------
Expenses:
Investment Advisory Fee (Note 2) ..................................................... 2,480,950
Administrative Fee (Note 2) ........................................................... 763,369
Preferred Share Maintenance (Note 5) .................................................. 412,968
Trustees Fees and Expenses (Note 2) ................................................... 30,787
Legal (Note 2) ....................................................................... 29,200
Amortization of Organizational Expenses (Note 1) ..................................... 8,001
Other ................................................................................. 320,087
----------------
Total Expenses .................................................................... 4,045,362
----------------
Net Investment Income ................................................................. $ 19,582,543
================
Realized and Unrealized Gain/Loss on Investments:
Realized Gain/Loss on Investments:
Proceeds from Sales ................................................................. $ 250,462,348
Cost of Securities Sold ............................................................. (256,031,574)
----------------
Net Realized Loss on Investments (Including realized loss on closed and expired option
and futures transactions of $555,488 and $7,749,842, respectively) .................... (5,569,226)
----------------
Unrealized Appreciation/Depreciation on Investments:
Beginning of the Period ............................................................ (8,696,440)
End of the Period (Including unrealized depreciation on open futures transactions
of $329,667) ...................................................................... 21,185,149
----------------
Net Unrealized Appreciation on Investments During the Period .......................... 29,881,589
----------------
Net Realized and Unrealized Gain on Investments ....................................... $ 24,312,363
================
Net Increase in Net Assets from Operations ............................................ $ 43,894,906
================

</TABLE>

11 See Notes to Financial Statements

<TABLE>
<CAPTION>
Statement of Changes in Net Assets
For the Years Ended October 31,1995 and 1994
- -----------------------------------------------------------------------------------------------------
Year Ended Year Ended
October 31,1995 October 31,1994
<S> <C> <C>
From Investment Activities:
Operations:
Net Investment Income ............................................. $ 19,582,543 $ 20,007,543
Net Realized Gain/Loss on Investments ............................. (5,569,226) 2,271,422
Net Unrealized Appreciation/Depreciation on Investments
During the Period .............................................. 29,881,589 (47,067,641)
--------------- ---------------
Change in Net Assets from Operations ............................. 43,894,906 (24,788,676)
--------------- ---------------
Distributions from Net Investment Income:
Common Shares ................................................... (15,536,849) (15,659,804)
Preferred Shares ............................................... (5,986,277) (4,196,785)
--------------- ---------------
Total Distributions .............................................. (21,523,126) (19,856,589)
--------------- ---------------
Net Change in Net Assets from Investment Activities ............... 22,371,780 (44,645,265)
Net Assets:
Beginning of the Period .......................................... 370,910,871 415,556,136
--------------- ---------------
End of the Period (Including undistributed net investment income of
$1,095,548 and $3,036,131, respectively) ....................... $ 393,282,651 $ 370,910,871
=============== ===============
</TABLE>

12 See Notes to Financial Statements

<TABLE>
<CAPTION>
Financial Highlights
The following schedule presents financial highlights for one common share
of the Trust outstanding throughout the periods indicated.
- ----------------------------------------------------------------------------------------------
April 24,1992
(Commencement
Year Ended October 31 of Investment
------------------------------------ Operations) to
1995 1994 1993 October 31,1992
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net Asset Value,
Beginning of the Period <F1> ........ $ 14.389 $ 17.297 $ 14.990 $ 14.771
---------- ------------ ---------- ---------------
Net Investment Income ............... 1.275 1.303 1.354 .611
Net Realized and Unrealized
Gain/Loss on Investments ......... 1.584 (2.918) 2.332 .083
---------- ------------ ---------- ---------------
Total from Investment Operations ..... 2.859 (1.615) 3.686 .694
---------- ------------ ---------- ---------------
Less:
Distributions from Net
Investment Income:
Paid to Common Shareholders ....... 1.012 1.020 1.020 .340
Common Share Equivalent of
Distributions Paid to
Preferred Shareholders .......... .390 .273 .282 .135
Distributions from Net Realized
Gain on Investments:
Paid to Common Shareholders ....... -0- -0- .057 -0-
Common Share Equivalent of
Distributions Paid to
Preferred Shareholders .......... -0- -0- .020 -0-
---------- ------------ ---------- ---------------
Total Distributions ................... 1.402 1.293 1.379 .475
---------- ------------ ---------- ---------------
Net Asset Value, End of the Period ... $ 15.846 $ 14.389 $ 17.297 $ 14.990
========== ============ ========== ===============
Market Price Per Share
at End of the Period ................ $ 13.625 $ 13.000 $ 16.375 $ 14.500
Total Investment Return at Market
Price (Non-Annualized) <F2> ......... 12.70% (14.96%) 20.85% (1.16%)
Total Return at Net
Asset Value (Non-Annualized) <F3> ... 17.74% (11.30%) 23.17% 2.10%
Net Assets at End of the Period
(In millions) ....................... $ 393.3 $ 370.9 $ 415.6 $ 380.1
Ratio of Expenses to Average
Net Assets Applicable to
Common Shares (Annualized) .......... 1.75% 1.69% 1.62% 1.54%
Ratio of Expenses to Average
Net Assets (Annualized) ............ 1.06% 1.05% 1.02% 1.04%
Ratio of Net Investment Income to
Average Net Assets Applicable
to Common Shares
(Annualized) <F4> ................... 5.87% 6.43% 6.51% 5.82%
Portfolio Turnover .................... 69.55% 75.64% 52.40% 53.37%

<FN>
<F1> Net asset value at April 24, 1992, is adjusted for common and preferred
share offering costs of $.229 per common share.

<F2> Total investment return at market price reflects the change in market value
of the common shares for the period indicated with reinvestment of dividends in
accordance with the Trust's dividend reinvestment plan.

<F3> Total return at net asset value (NAV) reflects the change in value of the
Trust's assets with reinvestment of dividends based upon NAV.

<F4> Net investment income is adjusted for the common share equivalent of
distributions paid to preferred shareholders.
</FN>
</TABLE>

13 See Notes to Financial Statements

Notes to Financial Statements
October 31,1995
- --------------------------------------------------------------------------------

1. Significant Accounting Policies
Van Kampen Merritt Municipal Opportunity Trust (the "Trust") is registered as a
diversified closed-end management investment company under the Investment
Company Act of 1940, as amended. The Trust commenced investment operations on
April 24, 1992.

The following is a summary of significant accounting policies consistently
followed by the Trust in the preparation of its financial statements.

A. Security Valuation-Investments are stated at value using market quotations
or, if such valuations are not available, estimates obtained from yield data
relating to instruments or securities with similar characteristics in accordance
with procedures established in good faith by the Board of Trustees. Short-term
securities with remaining maturities of less than 60 days are valued at
amortized cost.

B. Security Transactions-Security transactions are recorded on a trade date
basis. Realized gains and losses are determined on an identified cost basis. The
Trust may purchase and sell securities on a "when issued" or "delayed delivery"
basis with settlement to occur at a later date. The value of the security so
purchased is subject to market fluctuations during this period. The Trust will
maintain, in a segregated account with its custodian, assets having an aggregate
value at least equal to the amount of the when issued or delayed delivery
purchase commitments until payment is made.

C. Investment Income-Interest income is recorded on an accrual basis. Bond
premium and original issue discount are amortized over the expected life of each
applicable security.

D. Organizational Expenses-The Trust has reimbursed Van Kampen American Capital
Distributors Inc. or its affiliates (collectively "VKAC") for costs incurred in
connection with the Trust's organization and initial registration in the amount
of $40,000. These costs are being amortized on a straight line basis over the 60
month period ending April 23, 1997. Van Kampen American Capital Investment
Advisory Corp. (the "Adviser") has agreed that in the event any of the initial
shares of the Trust originally purchased by VKAC are redeemed during the
amortization period, the Trust will be reimbursed for any unamortized
organizational expenses in the same proportion as the number of shares redeemed
bears to the number of initial shares held at the time of redemption.

Notes to Financial Statements (Continued)
October 31,1995
- --------------------------------------------------------------------------------

E. Federal Income Taxes-It is the Trust's policy to comply with the requirements
of the Internal Revenue Code applicable to regulated investment companies and to
distribute substantially all of its taxable income to its shareholders.
Therefore, no provision for federal income taxes is required.

The Trust intends to utilize provisions of the federal income tax laws which
allow it to carry a realized capital loss forward for eight years following the
year of the loss and offset such losses against any future realized capital
gains. At October 31, 1995, the Trust had an accumulated capital loss
carryforward for tax purposes of $5,871,333, of which $302,107 and $5,569,226
will expire on October 31, 2001 and 2003, respectively.

F. Distribution of Income and Gains-The Trust declares and pays dividends from
net investment income to common shareholders monthly. Net realized gains, if
any, are distributed annually on a pro rata basis to common and preferred
shareholders. Distributions from net realized gains for book purposes may
include short-term capital gains, which are included as ordinary income for tax
purposes.

2. Investment Advisory Agreement and Other Transactions with Affiliates
Under the terms of the Trust's Investment Advisory Agreement, the Adviser will
provide investment advice and facilities to the Trust for an annual fee payable
monthly of .65% of the average net assets of the Trust. In addition, the Trust
will pay a monthly administrative fee to VKAC, the Trust's Administrator, at an
annual rate of .20% of the average net assets of the Trust. The administrative
services provided by the Administrator include record keeping and reporting
responsibilities with respect to the Trust's portfolio and preferred shares and
providing certain services to shareholders.

Certain legal expenses are paid to Skadden, Arps, Slate, Meagher & Flom,
counsel to the Trust, of which a trustee of the Trust is an affiliated person.

For the year ended October 31, 1995, the Trust recognized expenses of
approximately $24,100 representing VKAC's cost of providing accounting and legal
services to the Trust.

Certain officers and trustees of the Trust are also officers and directors of
VKAC. The Trust does not compensate its officers or trustees who are officers of
VKAC.

The Trust has implemented deferred compensation and retirement plans for its
trustees. Under the deferred compensation plan, trustees may elect to defer all
or a portion of their compensation to a later date. The retirement plan covers
those trustees who are not officers
of VKAC. The Trust's liability under the deferred compensation and retirement
plans at October 31, 1995, was $24,400.

At October 31, 1995, VKAC owned 6,700 common shares of the Trust.

Notes to Financial Statements (Continued)
October 31,1995
- --------------------------------------------------------------------------------

3. Investment Transactions
Aggregate purchases and cost of sales of investment securities, excluding
short-term notes, for the year ended October 31, 1995 were $276,281,475 and
$256,031,574, respectively.

4. Derivative Financial Instruments
A derivative financial instrument in very general terms refers to a security
whose value is "derived" from the value of an underlying asset, reference rate
or index.

The Trust has a variety of reasons to use derivative instruments, such as to
attempt to protect the Trust against possible changes in the market value of its
portfolio and to manage the portfolio's effective yield, maturity and duration.
All of the Trust's portfolio holdings, including derivative instruments, are
marked to market each day with the change in value reflected in the unrealized
appreciation/depreciation on investments. Upon disposition, a realized gain or
loss is recognized accordingly, except for exercised option contracts where the
recognition of gain or loss is postponed until the disposal of the security
underlying the option contract.

Summarized below are the specific types of derivative financial instruments
used by the Trust.

A. Option Contracts-An option contract gives the buyer the right, but not the
obligation to buy (call) or sell (put) an underlying item at a fixed exercise
price during a specified period. These contracts are generally used by the Trust
to manage the portfolio's effective maturity and duration.

Transactions in options for the year ended October 31, 1995, were as follows:

<TABLE>
<CAPTION>
Contracts Premium
- -------------------------------------------------------------------------------
<S> <C> <C>
Outstanding at October 31, 1994 .................... 200 $ 57,759
Options Written and Purchased (Net) ................ 3,952 (1,246,133)
Options Terminated in Closing Transactions (Net) ... (1,026) 528,378
Options Expired (Net) .............................. (2,226) 621,478
Options Exercised (Net) ........................... (900) 38,518
--------- --------------
Outstanding at October 31, 1995 .................... -0- $ -0-
========= ==============
</TABLE>

Notes to Financial Statements (Continued)
October 31,1995
- --------------------------------------------------------------------------------

B. Futures Contracts-A futures contract is an agreement involving the delivery
of a particular asset on a specified future date at an agreed upon price. The
Trust generally invests in futures on U.S. Treasury Bonds, the Municipal Bond
Index and Eurodollar Notes and typically closes the contracts prior to the
delivery date. These contracts are generally used to manage the portfolio's
effective maturity and duration.

The fluctuation in market value of the contracts is settled daily through a
cash margin account. Realized gains and losses are recognized when the contracts
are closed or expire.

Transactions in futures contracts for the year ended October 31, 1995, were as
follows:

<TABLE>
<CAPTION>
Contracts
- -----------------------------------------------
<S> <C>
Outstanding at October 31, 1994 .... 1,150
Futures Opened ..................... 13,150
Futures Closed ..................... (13,700)
---------
Outstanding at October 31, 1995 ... 600
=========
</TABLE>

The futures contracts outstanding as of October 31, 1995, and the descriptions
and unrealized depreciation are as follows:

<TABLE>
<CAPTION>
Unrealized
Contracts Depreciation
- ----------------------------------------------------------------
<S> <C> <C>
Eurodollar Note Futures
December 1995 - Sells to Open ........ 350 $ 30,587
March 1996 - Sells to Open ........... 250 299,080
--------- ------------
600 $ 329,667
========= ============
</TABLE>

C. Swap Transactions-These transactions are identified in the portfolio of
investments and represent an agreement between two parties to exchange a series
of cash flows at specified intervals. The cash flows can be indexed to various
indices such as interest rates. The difference in the cash flows is recorded as
increases or decreases in interest income.

D. Indexed Securities-These instruments are identified in the portfolio of
investments. Their price may be more volatile than the price of a comparable
fixed rate security.

An Embedded Cap security includes a cap strike level such that the coupon
payment may be supplemented by cap payments if the floating rate index upon
which the cap is based rises above the strike level. The Trust invests in these
instruments as a hedge against a rise in the short term interest rates which it
pays on its preferred shares.

Notes to Financial Statements (Continued)
October 31,1995
- --------------------------------------------------------------------------------

An Embedded Swap security includes a swap component such that the fixed coupon
component of the underlying bond is adjusted by the difference between the
securities fixed swap rate and the floating swap index. As the floating rate
rises, the coupon is reduced. Conversely, as the floating rate declines, the
coupon is increased. These instruments are typically used by the Trust to
enhance the yield of the portfolio.

5. Preferred Shares
The Trust has outstanding 3,000 Auction Preferred Shares ("APS") in two series
of 1,500 shares each. Dividends are cumulative and the dividend rate on each
series is currently reset every
28 days through an auction process. The average rate in effect on October 31,
1995 was 3.789%. During the year ended October 31, 1995, the rates ranged from
3.310% to 5.375%.

The Trust pays annual fees equivalent to .25% of the preferred share
liquidation value for the remarketing efforts associated with the preferred
auctions. These fees are included as a component of Preferred Share Maintenance
expense.

The APS are redeemable at the option of the Trust in whole or in part at the
liquidation value of $50,000 per share plus accumulated and unpaid dividends.
The Trust is subject to certain asset coverage tests and the APS are subject to
mandatory redemption if the tests are not met.

Independent Auditors' Report

The Board of Trustees and Shareholders of
Van Kampen Merritt Municipal Opportunity Trust:

We have audited the accompanying statement of assets and liabilities of Van
Kampen Merritt Municipal Opportunity Trust (the "Trust"), including the
portfolio of investments, as of October 31, 1995, and the related statement
of operations for the year then ended, the statement of changes in net
assets for each of the two years in the period then ended, and the financial
highlights for each of the periods presented. These financial statements and
financial highlights are the responsibility of the Trust'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
October 31, 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 Van
Kampen Merritt Municipal Opportunity Trust as of October 31, 1995, the results
of its operations for the year then ended, the changes in its net assets for
each of the two years in the period then ended, and the financial highlights for
each of the periods presented, in conformity with generally accepted accounting
principles.

KPMG Peat Marwick LLP
Chicago, Illinois
December 5, 1995

Dividend Reinvestment Plan

The Trust offers a dividend reinvestment plan (the "Plan") pursuant to which
Common Shareholders may elect to have dividends and capital gains distributions
reinvested in Common Shares of the Trust. The Trust declares dividends out of
net investment income, and will distribute annually net realized capital gains,
if any. Common Shareholders may join or withdraw from the Plan at
any time.

If you decide to participate in the Plan, State Street Bank and Trust Company,
as your Plan Agent, will automatically invest your dividends and capital gains
distributions in Common Shares of the Trust for your account.

How to Participate

If you wish to participate and your shares are held in your own name, call
1-800-341-2929 for more information and a Plan brochure. If your shares are held
in the name of a brokerage firm, bank, or other nominee, you should contact your
nominee to see if it would participate in the Plan on your behalf. If you wish
to participate in the Plan, but your brokerage firm, bank or nominee is unable
to participate on your behalf, you should request that your shares be
re-registered in your own name which will enable your participation in the Plan.

How the Plan Works

Participants in the Plan will receive the equivalent in Common Shares valued on
the valuation date, generally at the lower of market price or net asset value,
except as specified below. The valuation date will be the dividend or
distribution payment date or, if that date is not a trading day on the national
securities exchange or market system on which the Common Shares are listed for
trading, the next preceding trading day. If the market price per Common Share on
the valuation date equals or exceeds net asset value per Common Share on that
date, the Trust will issue new Common Shares to participants valued at the
higher of net asset value or 95% of the market price on the valuation date. In
the foregoing situation, the Trust will not issue Common Shares under the Plan
below net asset value. If net asset value per Common Share on the valuation date
exceeds the market price per Common Share on that date, or if the Board of
Trustees should declare a dividend or capital gains distribution payable to the
Common Shareholders only in cash, participants in the Plan will be deemed to
have elected to receive Common Shares from the Trust valued at the market price
on that date. Accordingly, in this circumstance, the Plan Agent will, as agent
for the participants, buy the Trust's Common Shares in the open market for the
participants' accounts on or shortly after the payment date. If,before the Plan
Agent has completed its purchases, the market price exceeds the net asset value
per share of the Common Shares, the average per share purchase price paid by the
Plan Agent may exceed the net asset value of the Trust's Common Shares,
resulting in the acquisition of fewer Common Shares than if the dividend or
distribution had been paid in Common Shares issued by the Trust. All
reinvestments are in full and fractional Common Shares and are carried to three
decimal places.

Experience under the Plan may indicate that changes are desirable.
Accordingly, the Trust reserves the right to amend or terminate the Plan as
applied to any dividend or distribution paid subsequent to written notice of the
changes sent to all Common Shareholders of the Trust at least 90 days before the
record date for the dividend or distribution. The Plan also may be amended or
terminated by the Plan Agent by at least 90 days written notice to all Common
Shareholders of the Trust.

Costs of the Plan

The Plan Agent's fees for the handling of the reinvestment of dividends and
distributions will be paid by the Trust. However, each participant will pay a
pro rata share of brokerage commissions incurred with respect to the Plan
Agent's open market purchases in connection with the reinvestment of dividends
and distributions. No other charges will be made to participants for reinvesting
dividends or capital gains distributions, except for certain brokerage
commissions, as described above.

Tax Implications

You will receive tax information annually for your personal records and to help
you prepare your federal income tax return. The automatic reinvestment of divi
dends and capital gains distributions does not relieve you of any income tax
which may be payable on dividends or distributions.

Right to Withdraw

Plan participants may withdraw at any time by calling 1-800-341-2929 or by
writing State Street Bank and Trust Company, P.O. Box 8200, Boston, MA
02266-8200. If you withdraw, you will receive, without charge, a share
certificate issued in your name for all full Common Shares credited to your
account under the Plan and a cash payment will be made for any fractional Common
Share credited to your account under the Plan. You may again elect to
participate in the Plan at any time by calling 1-800-341-2929 or writing to the
Trust at:

One Parkview Plaza, Oakbrook Terrace, IL 60181
Attn: Closed-End Funds

Van Kampen Merritt Municipal Opportunity Trust

Officers and Trustees

Don G. Powell*
Chairman and Trustee

Dennis J. McDonnell*
President and Trustee

David C. Arch
Trustee

Rod Dammeyer
Trustee

Howard J Kerr
Trustee

Theodore A. Myers
Trustee

Hugo F. Sonnenschein
Trustee

Wayne W. Whalen*
Trustee

Peter W. Hegel*
Vice President

Ronald A. Nyberg*
Vice President and Secretary

Edward C. Wood, III*
Vice President and Treasurer

Scott E. Martin*
Assistant Secretary

Weston B. Wetherell*
Assistant Secretary

Nicholas Dalmaso*
Assistant Secretary

John L. Sullivan*
Controller

Steven M. Hill*
Assistant Treasurer

Investment Adviser

Van Kampen American Capital Investment Advisory Corp.
One Parkview Plaza
Oakbrook Terrace, Illinois 60181

Custodian and Transfer Agent

State Street Bank
and Trust Company
225 Franklin Street
P.O. Box 1713
Boston, Massachusetts 02105

Legal Counsel

Skadden, Arps, Slate, Meagher & Flom
333 West Wacker Drive Chicago, Illinois 60606

Independent Auditors

KPMG Peat Marwick LLP
Peat Marwick Plaza
303 East Wacker Drive Chicago, Illinois 60601

*"Interested" persons of the Trust, as defined in the Investment Company Act of
1940.

SM denotes a service mark of
Van Kampen American Capital Distributors, Inc.