VAN KAMPEN MERRITT MUNICIPAL OPPORTUNITY TRUST II, N-30D, 1995-06-29

VAN KAMPEN MERRITT MUNICIPAL OPPORTUNITY TRUST II
N-30D, 1995-06-29

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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
</TABLE>

Page: 1

Letter to Shareholders

June 16, 1995

Dear Shareholder:

During the six-month period covered by this report, November 1, 1994 through
April 30, 1995, we saw the close of a challenging and difficult year in the
financial markets -- and the beginning of a new year, with renewed optimism and
strength on many fronts.

Market Overview

Most of 1994 was a difficult period for fixed-income investors as the Federal
Reserve Board's crusade against inflation drove interest rates markedly higher.
The yield on 30-year Treasury securities, for example, climbed from 6.35
percent as the year began to a high of 8.16 percent by early November. As
interest rates rose, fixed-income investments declined in value.

The fixed-income markets have rebounded considerably since late 1994, however,
with growing confidence that the Fed's inflation fighting initiatives have taken
hold. The yield on 30-year Treasury securities fell to 7.34 percent by the end
of April 1995 and to approximately 6.50 percent at the time of this writing.
This rate reversal has pushed bond prices back to February 1994 levels.
Closed-end municipal bond funds, in particular, have been among the greatest
beneficiaries in this rally,earning back virtually all of last year's losses
and posting attractive returns.

Performance Summary

The Trust achieved a six-month total return of 16.03 percent <F1>, based on
market price, for the period ended April 30, 1995. This robust performance can
be partially attributed to the Trust's leveraged capital structure, which has
helped it to more fully benefit from a fall in long- term interest rates over
the last six months. While leveraging adds certain financing risks and
volatility, it is designed, over time, to provide shareholders with enhanced
returns by taking advantage of the yield differential between long-term and
short-term interest rates.

Clearly, the Trust has recovered from the difficult previous six-month period
and made significant price gains. The Trust's closing stock price, for example,
gained almost 12 percent from its $10.500 level on October 31, 1994, to $11.750
on April 30, 1995. As the graph on the following page shows, we've also seen the
Trust's net asset value rebound during the last six months.

Although intermediate- and long-term interest rates eased during this
reporting period, short-term interest rates have remained persistently high,
placing continued pressure on the Trust's preferred rates and common dividend.
After careful consideration, the Trust's Board of Trustees approved a new
annualized dividend level of $0.75 per common share, effective May 1 and payable
May 31, 1995. This new dividend level, which more closely reflects the Trust's
earnings, provides a tax-exempt distribution rate of 6.38 percent, based on the
closing stock price of $11.750 per share on April 30, 1995. For shareholders in
the 36 percent federal income tax bracket, this distribution rate represents a
yield equivalent to a taxable investment earning 9.97 percent <F4>.

[PHOTO]

Dennis J. McDonnell and Don G. Powell

(Continued on page two)

Page: 2

Outlook

The outlook for fixed-income securities appears favorable. To date, inflation
remains under control, and recent economic data continues to suggest a slowdown
in the economy. First-quarter gross domestic product, for example, grew at an
annual rate of 2.8 percent, substantially lower than its fourth-quarter rate of
5.1 percent last year. Many analysts now expect GDP to grow at an annual rate
between 1 and 2 percent in the second half of this year. Should this scenario
play out,we suspect that the Fed is more likely to lower than raise short-term
rates, which would be a positive development for all fixed-income investors.

Regarding the municipal market, we remain optimistic about the current
supply-and-demand dynamics. With much of the refinancing by municipal issuers
behind us, we expect new-issue supply to remain low in 1995 and demand for
municipals to be steady, if not strong. A decline in supply combined with steady
demand should lend price stability and price support to this market. We believe
the Trust will continue to provide shareholders with long-term value as we seek
to maintain a high level of current income over time.

[GRAPH]

Trust Rebounds in 1995

<TABLE>
COMPARISON OF NAV AND MARKET PRICE OF THE TRUST
<CAPTION>
Measurement Market
Period NAV Price
<S> <C> <C>
30-Apr-94 $13.22 12.125
31-May-94 $13.35 12.625
30-Jun-94 $13.09 12.500
31-Jul-94 $13.36 12.125
31-Aug-94 $13.31 12.000
30-Sep-94 $12.78 11.125
31-Oct-94 $12.20 10.500
30-Nov-94 $11.59 10.750
31-Dec-94 $12.06 10.250
31-Jan-95 $12.62 11.250
28-Feb-95 $13.23 12.000
31-Mar-95 $13.32 11.750
30-Apr-95 $13.12 11.750
</TABLE>

Corporate News

As you may have already noticed, we have adopted a new design for our
shareholder reports that reflects our new identity as Van Kampen American
Capital. Going forward, we will continue to look for new ways to improve upon
the presentation of information in your Trust's report. In addition, we have
developed a new corporate advertising campaign introducing Van Kampen American
Capital. Full page ads appeared in The Wall Street Journal in the first quarter
of 1995 -- watch for more advertising throughout the year.

We look forward to communicating with you on a regular basis, providing
information about your Trust's performance, new investment opportunities, and
our newly created company. We appreciate your continued confidence in your
investment with Van Kampen American Capital.

Sincerely,

Don G. Powell
Chief Executive Officer
Van Kampen American Capital
Investment Advisory Corp.

Dennis J. McDonnell
President
Van Kampen American Capital
Investment Advisory Corp.

Page: 3

<TABLE>
Performance Results for the Period Ended April 30, 1995
Van Kampen Merritt Municipal Opportunity Trust II
(NYSE Ticker Symbol-VOT)
<CAPTION>
<S> <C>
Total Returns
Six-month total return based on market price<F1> .................................. 16.03%
Six-month total return based on NAV<F2> ........................................... 11.17%

Distribution Rates
Distribution rate as a % of initial offer stock price<F3> ......................... 5.60%
Taxable-equivalent distribution rate as a % of initial offer stock price<F4> ...... 8.75%
Distribution rate as a % of 04/30/95 closing stock price<F3> ...................... 7.15%
Taxable-equivalent distribution rate as a % of 04/30/95 closing stock price<F4> ... 11.17%

Share Valuations
Net asset value as of 04/30/95 .................................................... $ 13.12
Preferred share (Series A) rate as of 04/30/95<F5> ................................ 4.40%
Preferred share (Series B) rate as of 04/30/95<F5> ................................ 4.10%
Preferred share (Series C) rate as of 04/30/95<F5> ................................ 4.50%
Closing common stock price as of 04/30/95 ........................................ $ 11.750
Six-month high common stock price (03/02/95) ..................................... $ 12.250
Six-month low common stock price (11/14/94) ...................................... $ 9.375

<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 net asset value.

<F3> Distribution rate represents the monthly annualized distributions of the
Trust at the end of April 1995, 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.
</TABLE>

Page: 4

<TABLE>
Portfolio of Investments
<CAPTION>
April 30,1995 (Unaudited)
- -------------------------------------------------------------------------------------------------
Par
Amount
(000) Description Coupon Maturity Market Value
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Municipal Bonds
Alaska 1.2%
$ 3,000 North Slope Borough, AK Ser B (Cap Guar Insd) ...... 6.100% 06/30/99 $ 3,118,050
------------
Arizona 1.6%
4,000 Pima Cnty, AZ Indl Dev Auth Indl Rev Lease Oblig
Irvington Proj Tucson Ser A Rfdg (FSA Insd) ........ 7.250 07/15/10 4,385,880
------------
California 14.1%
4,000 California Pollutn Ctl Fin Auth Pollutn Ctl Rev
San Diego Gas & Elec Ser A (MBIA Insd) ............. 5.850 06/01/21 3,746,400
4,600 California St Pub Wks Brd Lease Rev Var
Univ CA Proj A Rfdg ................................. 5.500 06/01/10 4,257,300
5,905 California St Pub Wks Brd Lease Rev Var
Univ CA Proj A Rfdg ................................. 5.500 06/01/14 5,353,768
2,000 Imperial Irrigation Dist CA Ctfs Partn
Elec Sys Proj (MBIA Insd) ........................... 6.750 11/01/11 2,157,900
3,530 Loma Linda, CA Ctfs Partn City Hall Pub
Impt Proj Ser C Rfdg (AMBAC Insd) .................. 5.400 01/01/16 3,206,864
2,860 Los Angeles Cnty, CA Metro Tran Auth Sales
Tax Rev Ppty Ser A Rfdg (FGIC Insd) ................ 5.000 07/01/21 2,421,390
11,500 Los Angeles, CA Dept Wtr & Pwr Elec
Plant Rev Crossover Rfdg (FGIC Insd) ................ 5.375 09/01/23 10,253,860
3,000 Southern CA Pub Pwr Auth Pwr Proj Rev
San Juan Unit 3 Ser A (MBIA Insd) .................. 5.000 01/01/20 2,551,140
4,075 Union City, CA Cmnty Redev Agy Tax
Alloc Rev Cmnty Redev Proj (AMBAC Insd) ............. 5.650 10/01/14 3,863,263
------------
37,811,885
------------
Colorado 3.1%
1,600 Denver, CO City & Cnty Arpt Rev Ser A .............. 6.900 11/15/98 1,642,624
1,250 Denver, CO City & Cnty Arpt Rev Ser A .............. 7.000 11/15/99 1,288,750
2,650 Denver, CO City & Cnty Arpt Rev Ser B .............. 7.250 11/15/05 2,740,656
1,000 Denver, CO City & Cnty Arpt Rev Ser B .............. 7.000 11/15/07 1,023,420
1,500 Denver, CO City & Cnty Arpt Rev Ser D .............. 7.750 11/15/13 1,645,485
------------
8,340,935
------------
District of Columbia 1.2%
2,370 Dist of Columbia Ser E (FSA Insd) ................... 6.000 06/01/11 2,314,921
1,000 Metropolitan WA, DC Arpts Auth Genl
Arpt Rev Ser A (MBIA Insd) .......................... 5.750 10/01/20 929,480
------------
3,244,401
------------
Florida 6.5%
3,435 Dade Cnty, FL Aviation Rev (MBIA Insd) ............. 5.750 10/01/12 3,314,019
2,000 Dade Cnty, FL Genl Oblig Seaport
Bonds (AMBAC Insd) ................................. 6.500 10/01/26 2,072,700
1,500 Florida Hsg Fin Agy Single Family Mtg Ser A Rfdg ... 6.550 07/01/14 1,521,210

See Notes to Financial Statements

</TABLE>

Page: 5

<TABLE>
Portfolio of Investments (Continued)
<CAPTION>
April 30,1995 (Unaudited)
- -------------------------------------------------------------------------------------------------
Par
Amount
(000) Description Coupon Maturity Market Value
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Florida (Continued)
$ 3,000 Hillsborough Cnty, FL Cap Impt Pgm Rev
Criminal Justice Fac Rfdg (FGIC Insd) .............. 5.250% 08/01/16 $ 2,731,410
2,000 Hillsborough Cnty, FL Indl Dev Auth Pollutn Ctl
Rev Tampa Elec Co Proj Ser 92 Rfdg ................. 8.000 05/01/22 2,334,940
1,000 Jacksonville, FL Hosp Rev Univ Med Cent
Inc Proj (Connie Lee Insd) ......................... 6.500 02/01/11 1,035,620
4,500 Pinellas Cnty, FL Hsg Fin Auth Single Family
Mtg Rev Multi Cnty Ser A (GNMA Collateralized) ..... 6.650 08/01/21 4,532,220
------------
17,542,119
------------
Georgia 0.8%
2,000 Burke Cnty, GA Dev Auth Pollutn Ctl Rev GA Pwr
Co Plant Vogtle Proj (MBIA Insd) .................. 6.350 05/01/19 2,004,820
------------
Illinois 5.5%
3,365 Chicago, IL Cap Apprec (AMBAC Insd) ................ * 01/01/17 757,361
1,500 Chicago, IL O'Hare Intl Arpt Spl Intl
Terminal Ser A (FGIC Insd) ........................ 6.500 01/01/18 1,511,805
7,305 Illinois Hlth Fac Auth Rev OSF Hlthcare Sys Rfdg ... 6.000 11/15/10 7,026,533
1,000 Illinois Hlth Fac Auth Rev Ravenswood
Hosp Med Cent A Rfdg .............................. 8.800 06/01/06 1,083,170
1,540 Illinois Hsg Dev Auth Multi Family Hsg Ser A ...... 6.125 07/01/25 1,479,570
3,000 Saint Clair Cnty, IL (FGIC Insd) ................... 5.750 10/01/15 2,811,690
------------
14,670,129
------------
Indiana 1.3%
3,000 Indiana Hlth Fac Fin Auth Hosp Rev Columbus
Regl Hosp Rfdg (Cap Guar Insd) .................... 7.000 08/15/15 3,345,240
------------
Kentucky 0.7%
2,000 Kentucky Econ Dev Fin Auth Hosp Fac Rev Saint
Claire Med Cent Proj Rfdg (Connie Lee Insd) ........ 5.625 09/01/21 1,834,520
------------
Louisiana 3.1%
3,000 De Soto Parish LA Pollutn Ctl Rev
Southwestern Elec Pwr Rfdg ........................ 7.600 01/01/19 3,309,990
2,000 Louisiana St Ser A (AMBAC Insd) ................... 6.500 05/01/10 2,091,140
2,800 Saint Charles Parish, LA Solid Waste Disp
Rev LA Pwr & Lt Co Proj (FSA Insd) <F2> ........... 7.050 04/01/22 2,957,808
------------
8,358,938
------------
Maine 0.9%
2,500 Maine St Hsg Auth Mtg Purp Ser C2 ................. 6.875 11/15/23 2,536,375
------------

See Notes to Financial Statements

</TABLE>

Page: 6

Michigan 2.5%
1,000 Battle Creek, MI Downtown Dev Auth
Tax Increment Rev ................................... 7.600 05/01/16 1,054,150
3,495 Grand Rapids, MI Downtown Dev Auth
Tax Increment Rev (MBIA Insd) ...................... * 06/01/18 826,987
1,500 Michigan St Hsg Dev Auth Multi Family Rev Ltd
Oblig Ser A Rfdg (GNMA Collateralized) ............. 6.600 04/01/30 1,510,965
5,000 Romulus, MI Cmnty Sch Rfdg (FSA Insd) .............. * 05/01/13 1,647,700
5,330 Romulus, MI Cmnty Sch Rfdg (FSA Insd) .............. * 05/01/14 1,645,371
------------
6,685,173
------------
Missouri 0.9%
2,730 Saint Louis Cnty, MO Mtg Rev Ctfs Receipt
Ser H (GNMA Collateralized) ......................... 5.400 07/01/18 2,444,579
------------
Nevada 1.2%
2,970 Clark Cnty, NV Indl Dev Rev NV Pwr Co
Proj C Rfdg (AMBAC Insd) ........................... 7.200 10/01/22 3,234,063
------------
New Hampshire 0.8%
2,450 New Hampshire St Tpk Sys Rev (MBIA Insd) ........... 5.250 02/01/19 2,179,030
------------
New Jersey 4.4%
1,500 New Jersey Econ Dev Auth Mkt Transition
Fac Rev Sr Lien Ser A (MBIA Insd) .................. 5.800 07/01/09 1,484,160
1,000 New Jersey Hlthcare Fac Fin Auth Rev Genl
Hosp Cent at Passaic (FSA Insd) ..................... 6.000 07/01/06 1,041,230
1,750 New Jersey Hlthcare Fac Fin Auth Rev
Hackensack Med Cent Rfdg (FGIC Insd) ............... 6.625 07/01/17 1,825,390
5,630 Salem Cnty, NJ Indl Pollutn Ctl Fin Auth Rev
Pollutn Ctl Pub Svc Elec & Gas Ser A (MBIA Insd) ... 5.450 02/01/32 4,991,108
2,500 Secaucus, NJ Muni Utils Auth Swr Rev Ser A Rfdg ..... 6.000 12/01/08 2,569,225
------------
11,911,113
------------
New York 11.8%
2,645 Metropolitan Tran Auth NY Trans Fac
Rev Ser O (MBIA Insd) .............................. 6.000 07/01/24 2,584,218
3,000 New York City Muni Wtr Fin Auth
Wtr & Swr Sys Rev Ser A ............................ 7.000 06/15/09 3,182,070
4,000 New York City Muni Wtr Fin Auth Wtr & Swr
Sys Rev Ser F (MBIA Insd) .......................... 5.500 06/15/23 3,683,800
2,500 New York City Ser A Rfdg ........................... 7.000 08/01/04 2,621,450

See Notes to Financial Statements

</TABLE>

Page: 7

<TABLE>
Portfolio of Investments (Continued)
<CAPTION>
April 30,1995 (Unaudited)
- -------------------------------------------------------------------------------------------------
Par
Amount
(000) Description Coupon Maturity Market Value
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
New York (Continued)
$ 2,000 New York City Ser B (MBIA Insd) ................... 6.950% 08/15/12 $ 2,179,520
1,800 New York City Ser E Rfdg ......................... 6.600 08/01/03 1,852,506
1,000 New York St Dorm Auth Rev City Univ 3rd
Genl Resources Ser 2 (MBIA Insd) ................. 6.250 07/01/19 1,009,610
1,500 New York St Loc Govt Assistance Corp Ser A ........ 6.875 04/01/19 1,602,405
2,275 New York St Loc Govt Assistance Corp Ser C ....... 5.500 04/01/22 2,053,939
1,375 New York St Med Care Fac Fin Agy Rev Mental
Hlth Svcs Fac Impt Ser D (MBIA Insd) .............. 5.900 02/15/10 1,373,501
1,145 New York St Med Care Fac Fin Agy Rev Mental
Hlth Svcs Fac Ser A (AMBAC Insd) ................. 5.800 08/15/22 1,087,830
3,000 New York St Ser B Rfdg ............................ 6.375 08/15/00 3,191,040
4,000 New York St Urban Dev Corp Rev Correctional
Fac Ser A Rfdg (AMBAC Insd) ....................... 5.000 01/01/17 3,470,120
2,000 New York St Urban Dev Corp Rev
Correctional Fac Ser A Rfdg ...................... 5.500 01/01/16 1,772,020
------------
31,664,029
------------
North Carolina 0.9%
2,500 North Carolina Eastn Muni Pwr Agy Pwr
Sys Rev Ser B Rfdg ................................ 6.000 01/01/13 2,349,525
------------
North Dakota 0.4%
1,110 Ward Cnty, ND Hlthcare Fac Rev Saint
Joseph's Hosp Corp Proj ........................... 8.875 11/15/24 1,191,330
------------
Ohio 3.6%
1,000 Cleveland Rock Glen Hsg Assistance Corp OH
Mtg Rev Ser A Rfdg (FHA Insd) ..................... 6.625 01/15/18 1,020,860
1,000 Franklin Cnty, OH Convention Fac Auth Tax &
Lease Rev Antic Bonds Rfdg (MBIA Insd) ............ 5.800 12/01/13 977,700
2,000 Franklin Cnty, OH Hosp Rev Holy Cross Hlth
Sys Ser B Rfdg (MBIA Insd) ....................... 5.250 06/01/08 1,880,720
2,000 Franklin Cnty, OH Hosp Rev Holy Cross Hlth
Sys Ser B Rfdg (MBIA Insd) ....................... 5.250 06/01/10 1,833,720
2,395 Lucas Cnty, OH Hosp Rev Impt Saint
Vincent Med Cent (MBIA Insd) ..................... 6.625 08/15/22 2,590,145
5,100 Ohio Hsg Fin Agy Single Family Mtg
Rev (Prerefunded @ 1/15/14) ...................... * 01/15/15 1,458,702
------------
9,761,847
------------
Oklahoma 2.2%
2,000 Comanche Cnty, OK Hosp Auth Rev Ser A
(Connie Lee Insd) ................................. 5.375 07/01/23 1,745,480
2,250 Shawnee, OK Hosp Auth Hosp Rev Midamerica
Hlthcare Inc Rfdg ................................ 6.125 10/01/14 2,007,517
1,975 Tulsa, OK Muni Arpt Tran Rev American Airls Inc ... 7.375 12/01/20 2,008,575
------------
5,761,572
------------

See Notes to Financial Statements

</TABLE>

Page: 8

<TABLE>
Portfolio of Investments (Continued)
<CAPTION>
April 30, 1995 (Unaudited)
- -------------------------------------------------------------------------------------------------
Par
Amount
(000) Description Coupon Maturity Market Value
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Pennsylvania 11.9%
$ 2,000 Cumberland Cnty, PA Muni Auth Rev 1st Mtg
Carlisle Hosp & Hlth ................................. 6.800% 11/15/23 $ 1,851,440
3,500 Delaware Cnty, PA Auth Hlthcare Rev Mercy Hlth
Corp of Southeastn PA Ser A Rfdg (Connie Lee Insd) ... 5.375 11/15/23 3,077,620
2,500 Derry, PA Area Sch Dist Rfdg (MBIA Insd) ............ 5.500 02/01/21 2,330,650
6,440 Lehigh Cnty, PA Genl Purp Auth Ser A (MBIA Insd) .... 6.000 07/01/25 6,342,241
1,000 Pennsylvania Hsg Fin Agy Single Family Mtg Ser 43 ... 7.500 10/01/25 1,076,340
1,600 Pennsylvania St Higher Edl Fac Auth Rev
Med College PA Ser A ................................. 7.250 03/01/11 1,691,712
7,500 Philadelphia, PA Gas Wks Rev 14th Ser (FSA Insd) .... 6.250 07/01/08 7,726,800
2,000 Philadelphia, PA Hosp & Higher Edl Fac Auth
Hosp Rev Friends Hosp ................................ 6.200 05/01/11 1,836,580
5,000 Philadelphia, PA Wtr & Wastewtr
Rev Rfdg (Cap Guar Insd) ............................ 5.500 06/15/14 4,701,150
1,315 State Pub Sch Bldg Auth PA Sch Rev
Burgettstown Sch Dist Ser D (MBIA Insd) ............. 6.450 02/01/10 1,387,890
------------
32,022,423
------------
South Dakota 2.0%
5,000 South Dakota Student Ln Assistance Corp
Student Ln Rev Ser B (MBIA Insd) ..................... 7.625 08/01/06 5,413,700
------------
Tennessee 1.3%
1,000 Maury Cnty, TN Indl Dev Brd Pollutn Ctl Rev
Multi Modal Saturn Corp Proj Rfdg .................... 6.500 09/01/24 976,850
2,500 Tennessee Hsg Dev Agy Mtg Fin Ser A ................. 7.125 07/01/26 2,592,975
------------
3,569,825
------------
Texas 1.9%
2,000 Harris Cnty, TX Hlth Fac Dev Corp Hosp Rev
Hermann Hosp Proj (MBIA Insd) ........................ 6.375 10/01/24 2,016,820
2,840 Harris Cnty, TX Toll Rd Sub Lien Rev Rfdg ............ 6.750 08/01/14 3,030,053
------------
5,046,873
------------
Utah 1.2%
1,050 Intermountain Pwr Agy UT Pwr Supply Rev Ser B ........ 7.000 07/01/21 1,098,437
2,000 Utah St Hsg Fin Agy Single Family
Mtg Sr Issue Ser B-2 (FHA Insd) ...................... 6.500 07/01/15 2,006,240
------------
3,104,677
------------
Virginia 4.7%
1,250 Fredericksburg, VA Indl Dev Auth Hosp Fac Rev
(Inverse Fltg) (FGIC Insd) .......................... 6.600 08/15/23 1,275,000
1,500 Henrico Cnty, VA Indl Dev Auth Pub Fac Lease
Rev Henrico Cnty Regl Jail Proj ...................... 6.500 08/01/10 1,561,605
2,000 Loudoun Cnty, VA Ctfs Partn (FSA Insd) .............. 6.900 03/01/19 2,148,340

See Notes to Financial Statements

</TABLE>

Page: 9

Total Long-Term Investments 98.3%
(Cost $264,222,747) <F1> .......................................................... 263,762,618
Short-Term Investments at Amortized Cost 0.6% ................................... 1,500,000
Other Assets in Excess of Liabilities 1.1% ....................................... 3,051,303
--------------
Net Assets 100% .................................................................. $ 268,313,921
--------------
*Zero coupon bond

<FN>
<F1> At April 30, 1995, cost for federal income tax purposes is $264,222,747;
the aggregate gross unrealized appreciation is $5,213,923 and the aggregate
gross unrealized depreciation is $7,171,837, resulting in net unrealized
depreciation including futures transactions of $1,957,914.

<F2> Assets segregated as collateral for open futures transactions.
</TABLE>

The following table summarizes the portfolio composition at April 30, 1995,
based upon quality ratings issued by Standard & Poor's. For securities not rated
by Standard & Poor's, the Moody's rating is used.

<TABLE>
Portfolio Composition by Credit Quality
<CAPTION>
<S> <C>
AAA ... 65.9%
AA .... 8.8
A ..... 15.3
BBB ... 5.1
BB .... 3.9
B ..... 1.0
-------
100.0%
-------
</TABLE>

See Notes to Financial Statements

Page: 10

<TABLE>
Statement of Assets and Liabilities
<CAPTION>
April 30,1995 (Unaudited)
- --------------------------------------------------------------------------------------------------------------
<S> <C>
Assets:
Investments, at Market Value (Cost $264,222,747) (Note 1) .................................... $ 263,762,618
Short-Term Investments (Note 1) .............................................................. 1,500,000
Cash ........................................................................................ 42,585
Interest Receivable .......................................................................... 5,036,830
Unamortized Organizational Expenses (Note 1) ................................................ 25,204
---------------
Total Assets ................................................................................. 270,367,237
---------------
Liabilities:
Payables:
Investments Purchased ........................................................................ 1,556,907
Income Distributions - Common and Preferred Shares .......................................... 162,985
Investment Advisory Fee (Note 2) ............................................................. 145,281
Administrative Fee (Note 2) ................................................................. 44,702
Accrued Expenses ............................................................................. 143,441
---------------
Total Liabilities ............................................................................ 2,053,316
---------------
Net Assets ................................................................................... $ 268,313,921
---------------
Net Assets Consist of:
Preferred Shares ($.01 par value, authorized 100,000,000 shares, 2,300 issued with liquidation
preference of $50,000 per share) (Note 5) .................................................... $ 115,000,000
---------------
Common Shares ($.01 par value with an unlimited number of shares authorized,
11,681,272 shares issued and outstanding) ................................................... 116,813
Paid in Surplus ............................................................................. 172,387,137
Accumulated Undistributed Net Investment Income ............................................. 283,388
Net Unrealized Depreciation on Investments .................................................. (1,957,914)
Accumulated Net Realized Loss on Investments ................................................. (17,515,503)
---------------
Net Assets Applicable to Common Shares ....................................................... 153,313,921
---------------
Net Assets ................................................................................... $ 268,313,921
---------------
Net Asset Value Per Common Share($153,313,921 divided
by 11,681,272 shares outstanding) ............................................................ $ 13.12
---------------

See Notes to Financial Statements

</TABLE>

Page: 11

<TABLE>
Statement of Operations
<CAPTION>
For the Six Months Ended April 30,1995 (Unaudited)
- ---------------------------------------------------------------------------------------------------
<S> <C>
Investment Income:
Interest ........................................................................ $ 8,189,999
----------------
Expenses:
Investment Advisory Fee (Note 2) ............................................... 842,270
Administrative Fee (Note 2) ..................................................... 259,160
Preferred Share Maintenance (Note 5) ............................................ 178,933
Legal (Note 2) ................................................................. 10,860
Trustees Fees and Expenses (Note 2) ............................................. 10,498
Amortization of Organizational Expenses (Note 1) ............................... 3,967
Other ........................................................................... 127,120
----------------
Total Expenses .................................................................. 1,432,808
----------------
Net Investment Income ........................................................... $ 6,757,191
----------------
Realized and Unrealized Gain/Loss on Investments:
Realized Gain/Loss on Investments:
Proceeds from Sales ............................................................. $ 96,447,802
Cost of Securities Sold ......................................................... (104,917,287)
----------------
Net Realized Loss on Investments (Including realized loss on futures transactions
of $956,651) ................................................................... (8,469,485)
----------------
Unrealized Appreciation/Depreciation on Investments:
Beginning of the Period ........................................................ (21,636,777)
End of the Period (Including unrealized depreciation on futures transactions
of $1,497,785) .................................................................. (1,957,914)
----------------
Net Unrealized Appreciation on Investments During the Period .................... 19,678,863
----------------
Net Realized and Unrealized Gain on Investments ................................. $ 11,209,378
----------------
Net Increase in Net Assets from Operations ...................................... $ 17,966,569
----------------

See Notes to Financial Statements

</TABLE>

Page: 12

<TABLE>
Statement of Changes in Net Assets

For the Six Months Ended April 30,1995 and the Year Ended October 31,1994
(Unaudited)
- ------------------------------------------------------------------------------------------------------
<CAPTION>
Six Months Ended Year Ended
April 30, 1995 October 31,1994
---------------- ---------------
<S> <C> <C>
From Investment Activities:
Operations:
Net Investment Income ............................................. $ 6,757,191 $ 12,940,740
Net Realized Loss on Investments .................................. (8,469,485) (9,046,018)
Net Unrealized Appreciation/Depreciation on Investments
During the Period ................................................ 19,678,863 (29,225,644)
---------------- ---------------
Change in Net Assets from Operations ............................. 17,966,569 (25,330,922)
---------------- ---------------
Distributions from Net Investment Income:
Common Shares ..................................................... (4,906,117) (10,513,149)
Preferred Shares ................................................. (2,270,247) (2,992,127)
---------------- ---------------

(7,176,364) (13,505,276)
---------------- ---------------
Distributions from Net Realized Gain on Investments:
Common Shares ..................................................... -0- (566,542)
Preferred Shares ................................................. -0- (118,795)
---------------- ---------------

-0- (685,337)
---------------- ---------------
Total Distributions .............................................. (7,176,364) (14,190,613)
---------------- ---------------
Net Change in Net Assets from Investment Activities ............... 10,790,205 (39,521,535)
Net Assets:
Beginning of the Period .......................................... 257,523,716 297,045,251
---------------- ---------------
End of the Period (Including undistributed net investment income of
$283,388 and $702,561, respectively) ............................. $ 268,313,921 $ 257,523,716
---------------- ---------------

See Notes to Financial Statements

</TABLE>

Page: 13

<TABLE>
Financial Highlights

The following schedule presents financial highlights for one common share of the
Trust outstanding throughout the periods indicated.(Unaudited)
- ---------------------------------------------------------------------------------------------------
<CAPTION>
June 25,1993
Six Months Year (Commencement
Ended Ended of Investment
April 30, October 31, Operations) to
1995 1994 October 31,1993
---------- ------------ ---------------
<S> <C> <C> <C>
Net Asset Value, Beginning of Period <F1> .............. $ 12.201 $ 15.584 $ 14.766
---------- ------------ ---------------
Net Investment Income .................................. .578 1.108 .312
Net Realized and Unrealized
Gain/Loss on Investments .............................. .959 (3.276) .710
---------- ------------ ---------------
Total from Investment Operations ...................... 1.537 (2.168) 1.022
---------- ------------ ---------------
Less:
Distributions from Net Investment Income:
Paid to Common Shareholders ............................ .420 .900 .150
Common Share Equivalent of Distributions Paid
to Preferred Shareholders ............................. .194 .256 .054
Distributions from Net Realized Gain on Investments:
Paid to Common Shareholders ............................ -0- .049 -0-
Common Share Equivalent of Distributions Paid
to Preferred Shareholders ............................. -0- .010 -0-
---------- ------------ ---------------
Total Distributions ................................... .614 1.215 .204
---------- ------------ ---------------
Net Asset Value, End of Period ......................... $ 13.124 $ 12.201 $ 15.584
---------- ------------ ---------------
Market Price Per Share at End of Period ................ $ 11.750 $ 10.500 $ 15.000
Total Investment Return at Market Price
(Non-Annualized) <F2> .................................. 16.03% (24.59%) 1.01%
Total Return at Net Asset Value
(Non-Annualized) <F3> .................................. 11.17% (16.14%) 4.87%
Net Assets at End of Period (In millions) .............. $ 268.3 $ 257.5 $ 297.0
Ratio of Expenses to Average Net Assets Applicable to
Common Shares (Annualized) ............................ 1.95% 1.82% 1.59%
Ratio of Expenses to Average Net Assets (Annualized) ... 1.09% 1.06% 1.11%
Ratio of Net Investment Income to Average Net Assets
Applicable to Common Shares (Annualized) <F4> ......... 6.10% 6.11% 4.76%
Portfolio Turnover ..................................... 36.40% 115.07% 54.51%

<FN>

<F1> Net asset value at June 25, 1993 is adjusted for common and preferred share
offering costs of $.234 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.
</TABLE>

See Notes to Financial Statements

Page: 14

Notes to Financial Statements

April 30,1995 (Unaudited)
- --------------------------------------------------------------------------------

1. Significant Accounting Policies

Van Kampen Merritt Municipal Opportunity Trust II (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
June 25, 1993.

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. At April 30, 1995, there were no
when issued or delayed delivery purchase commitments.

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 ("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 June 24, 1998. 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.

Page: 15

Notes to Financial Statements (Continued)

April 30,1995 (Unaudited)
- --------------------------------------------------------------------------------

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, 1994, the Trust had an accumulated capital loss
carryforward for tax purposes of $9,046,018, which will expire on October 31,
2002.

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 six months ended April 30, 1995, the Trust recognized expenses of
approximately $9,000 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 April 30, 1995, was approximately
$13,100.

At April 30, 1995, VKAC owned 6,700 common shares of the Trust.

Page: 16

Notes to Financial Statements (Continued)

April 30,1995 (Unaudited)
- --------------------------------------------------------------------------------

3. Investment Transactions

Aggregate purchases and cost of sales of investment securities, excluding
short-term notes, for the six months ended April 30, 1995 were $93,477,775 and
$104,917,287, 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.

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

A. 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 and the Municipal Bond
Index and typically closes the contract 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 six months ended April 30, 1995,
were as follows:

<TABLE>
<CAPTION>
Contracts
- ---------------------------------------------
<S> <C>
Outstanding at October 31, 1994 ... 450
Futures Opened .................... 1,100
Futures Closed .................... (1,050)
--------
Outstanding at April 30, 1995 ..... 500
--------
</TABLE>

The futures contracts outstanding as of April 30, 1995, and the description
and unrealized depreciation are as follows:

<TABLE>
<CAPTION>
Unrealized
Contracts Depreciation
- -------------------------------------------------------
<S> <C> <C>
U.S. Treasury Bond Futures
June 1995 - Sells to Open ... 500 $ 1,497,785
--------- ------------
</TABLE>

Page: 17

Notes to Financial Statements (Continued)

April 30,1995 (Unaudited)
- --------------------------------------------------------------------------------

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

An Inverse Floating security is one where the coupon is inversely indexed to a
short-term floating interest rate multiplied by a specified factor. 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.

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 2,300 Auction Preferred Shares ("APS") in three
series. Series A and B each contain 800 shares while Series C contains 700
shares. Dividends are cumulative and the dividend rates are currently reset
every seven days through an auction process. The average rate in effect on April
30, 1995 was 4.326%. During the six months ended April 30, 1995, the rates
ranged from 3.240% to 6.375%.

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.

Page: 18

Funds Distributed by Van Kampen American Capital

GLOBAL AND INTERNATIONAL

Govett Emerging Markets Fund
AC Global Equity Fund
Govett Global Government Income Fund
AC Global Government Securities
AC Global Managed Assets Fund
Govett International Equity Fund
Govett Latin America Fund
Govett Pacific Strategy Fund
VKM Short-Term Global Income Fund
VKM Strategic Income Fund

EQUITY

Growth

AC Emerging Growth Fund
AC Enterprise Fund
AC Pace Fund
Govett Smaller Companies Fund

Growth & Income

VKM Balanced Fund
AC Comstock Fund
AC Equity Income Fund
AC Growth and Income Fund
VKM Growth and Income Fund
AC Harbor Fund
AC Real Estate Securities Fund
VKM Utility Fund
AC Utilities Income Fund

FIXED INCOME

VKM Adjustable Rate U.S. Government Fund
AC Corporate Bond Fund
AC Federal Mortgage Trust
AC Government Securities
VKM High Yield Fund
AC High Yield Investments
VKM Money Market Fund
VKM Prime Rate Income Trust
AC Reserve Fund
VKM U.S. Government Fund
AC U.S. Government Trust for Income

TAX-FREE

VKM California Insured Tax Free Fund
VKM Florida Insured Tax Free Income Fund
VKM Insured Tax Free Income Fund
VKM Limited Term Municipal Income Fund
AC Municipal Bond Fund
VKM Municipal Income Fund
VKM New Jersey Tax Free Income Fund
VKM New York Tax Free Income Fund
VKM Pennsylvania Tax Free Income Fund
AC Tax-Exempt Trust
-- High Yield Municipal Portfolio
-- Insured Municipal Portfolio
VKM Tax Free High Income Fund
VKM Tax Free Money Fund
AC Texas Municipal Securities

Ask your investment representative for a prospectus containing more complete
information, including sales charges and expenses. Please read it carefully
before you invest or send money. Or call us direct at 1-800-421-5666 weekdays
from 7:00 a.m. to 7:00 p.m. Central time.

Page: 19

Van Kampen Merritt Municipal Opportunity Trust II

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.

Page: 20

Van Kampen Merritt Municipal Opportunity Trust II

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