$0.21 per share from ordinary income

Payable date September 27, 2007

Record date September 13, 2007

 

	Three Months Ended July 31		Nine Months Ended July 31
Earnings Report	2007	2006	2007	2006
Net Income	$1,309,000	$1,125,000	$3,647,000	$3,419,000
Per Share	$0.23	$0.20	$0.64	$0.61
Shares Outstanding	5,733,016	5,625,134	5,733,016	5,625,134
Total Net Assets	$133,301,000	$122,180,000	$133,301,000	$122,180,000
Net Asset Value Per Share	$23.25	$21.72	$23.25	$21.72

Fund Statistics as of July 31, 2007			Top Ten Holdings by underlying common stock as of July 31, 2007
				% of
Market price	$20.95			Net Assets
Net asset value (NAV)	$23.25		LSI Corp.	2.7
Premium/(Discount)	(9.89)%		U.S. Bancorp	2.6
Total Net Assets	$133,301,000		LSB Industries, Inc.	2.3
12-Month income distribution	$0.865		Prudential Financial, Inc.	2.3
Yield on market value	4.13%		The Walt Disney Company	2.2
Ratio of expenses	1.06%*		Bristow Group Inc.	2.1
Ratio of net income	3.71%*		Chesapeake Energy Corp.	2.1
Portfolio turnover	65.21%		Freeport-McMoRan Copper & Gold Inc.	2.1
Shares outstanding	5,733,016		Nabors Industries Ltd.	2.1
* Annualized			New York Community Bancorp, Inc.	2.0
Major Industry Exposure	% of		Portfolio Ratings from Moody's
as of July 31, 2007	Net Assets		as of July 31, 2007
Energy	10.3		(From S&P when Moody's is unavailable)	% of Portfolio
Insurance	8.8		Aa	13
Pharmaceuticals	8.4		A	19
Banking/Savings and Loan	7.7		Baa	15
Semiconductors	6.9		Ba	9
Computer Hardware	5.1		B	17
Health Care	4.8		NR	27
Minerals and Mining	4.5
Multi-Industry	4.4
Telecommunications	3.9
Asset Allocation	% of
as of July 31, 2007	Net Assets
Convertible Bonds and Notes	62.3
Corporate Bonds and Notes	1.1
Convertible Preferred Stocks	10.8
Mandatory Conv. Securities	20.2
Short-term Securities	5.0
Other Assets	0.6