UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-2861
Fidelity Money Market Trust
(Exact name of registrant as specified in charter)
82 Devonshire St., Boston, Massachusetts 02109
(Address of principal executive offices) (Zip code)
Scott C. Goebel, Secretary
82 Devonshire St.
Boston, Massachusetts 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: 617-563-7000
Date of fiscal year end: | August 31 |
| |
Date of reporting period: | August 31, 2011 |
Item 1. Reports to Stockholders
Fidelity
Money Market Trust
Retirement Government
Money Market Portfolio
Annual Report
August 31, 2011
(2_fidelity_logos) (Registered_Trademark)
Contents
Shareholder Expense Example | <Click Here> | An example of shareholder expenses. |
Investment Changes/ Performance | <Click Here> | A summary of major shifts in the fund's investments over the past six months and one year, and performance information. |
Investments | <Click Here> | A complete list of the fund's investments. |
Financial Statements | <Click Here> | Statements of assets and liabilities, operations, and changes in net assets,
as well as financial highlights. |
Notes | <Click Here> | Notes to the financial statements. |
Report of Independent Registered Public Accounting Firm | <Click Here> | |
Trustees and Officers | <Click Here> | |
Distributions | <Click Here> | |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
The fund seeks to obtain as high a level of current income as is consistent with the preservation of capital and liquidity by investing in high-quality, short-term money market securities issued or guaranteed as to principal and interest by the U.S. Government, or by any of its agencies or instrumentalities.
An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund.
Interest rate increases can cause the price of a money market security to decrease.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.advisor.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (March 1, 2011 to August 31, 2011).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
| Annualized Expense Ratio | Beginning
Account Value
March 1, 2011 | Ending
Account Value
August 31, 2011 | Expenses Paid
During Period*
March 1, 2011 to
August 31, 2011 |
Actual | .18% | $ 1,000.00 | $ 1,000.10 | $ .91 ** |
Hypothetical (5% return per year before expenses) | | $ 1,000.00 | $ 1,024.30 | $ .92 ** |
* Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
** If certain fees were not voluntarily waived by FMR or its affiliates during the period, the annualized expense ratio would have been .42% and the expenses paid in the actual and hypothetical examples above would have been $2.12 and $2.14, respectively.
Annual Report
Investment Changes/Performance (Unaudited)
Effective Maturity Diversification |
Days | % of fund's investments 8/31/11 | % of fund's investments 2/28/11 | % of fund's
investments
8/31/10 |
1 - 7 | 49.6 | 44.3 | 59.4 |
8 - 30 | 11.9 | 13.7 | 14.9 |
31 - 60 | 4.5 | 10.5 | 6.3 |
61 - 90 | 9.9 | 12.4 | 13.3 |
91 - 180 | 18.1 | 11.0 | 2.1 |
>180 | 6.0 | 8.1 | 4.0 |
Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940. |
Weighted Average Maturity |
| 8/31/11 | 2/28/11 | 8/31/10 |
Retirement Government Money Market Portfolio | 51 Days | 54 Days | 30 Days |
All Taxable Money Market Funds Average* | 39 Days | 45 Days | 43 Days |
This is a weighted average of all the maturities of the securities held in a fund. Weighted Average Maturity (WAM) can be used as a measure of sensitivity to interest rate changes and markets changes. Generally, the longer the maturity, the greater the sensitivity to such changes. WAM is based on the dollar-weighted average length of time until principal payments must be paid. Depending on the types of securities held in a fund, certain maturity shortening devices (e.g., demand features, interest rate resets, and call options) may be taken into account when calculating the WAM. |
Weighted Average Life |
| 8/31/11 | 2/28/11 | 8/31/10 |
Retirement Government Money Market Portfolio | 72 Days | 100 Days | 95 Days |
Weighted Average Life (WAL) is the weighted average of the life of the securities held in a fund or portfolio and can be used as a measure of sensitivity to changes in liquidity and/or credit risk. Generally, the higher the value, the greater the sensitivity. WAL is based on the dollar-weighted average length of time until principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets. The difference between WAM and WAL is that WAM takes into account interest rate resets and WAL does not. WAL for money market funds is not the same as WAL of a mortgage- or asset-backed security. |
Asset Allocation (% of fund's net assets) |
As of August 31, 2011 | As of February 28, 2011 |
 | Federal Agency
Issues 42.4% | |  | Federal Agency
Issues 48.0% | |
 | U.S. Treasury
Obligations 12.7% | | | U.S. Treasury
Obligations 4.8% | |
 | Other Government Related † 2.9% | |  | Other Government Related † 9.6% | |
 | Repurchase
Agreements 45.1% | | | Repurchase
Agreements 39.3% | |
 | Net Other Assets** (3.1)% | | | Net Other Assets** (1.7)% | |
Current and Historical Seven-Day Yields |
| 8/30/11 | 5/31/11 | 3/1/11 | 11/30/10 | 8/31/10 |
Retirement Government
Money Market Portfolio | 0.01% | 0.01% | 0.01% | 0.01% | 0.01% |
Yield refers to the income paid by the fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it's possible to lose money by investing in the fund. A portion of the Fund's expenses was reimbursed and/or waived. Absent such reimbursements and/or waivers the yield for the period ending August 30, 2011, the most recent period shown in the table, would have been -.27%.
* Source: iMoneyNet, Inc.
** Net Other Assets are not included in the pie chart.
† Includes Federal Financing Bank Supported Student Loan Short-Term Notes.
Annual Report
Investments August 31, 2011
Showing Percentage of Net Assets
U.S. Government and Government Agency Obligations - 2.9% |
| | Yield (a) | Principal Amount (000s) | Value (000s) |
Other Government Related - 2.9% |
Straight-A Funding LLC (Liquidity Facility Federal Financing Bank) |
| | | | |
| 10/12/11 | 0.65% (b) | $ 4,000 | $ 3,997 |
| 10/21/11 | 0.20 (b) | 86,000 | 85,978 |
| 10/26/11 | 0.65 (b) | 43,000 | 42,957 |
TOTAL U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS | 132,932 |
Federal Agencies - 42.4% |
|
Fannie Mae - 8.4% |
| 10/20/11 to 9/17/12 | 0.09 to 0.24 (d) | 376,541 | 377,060 |
Federal Farm Credit Bank - 0.2% |
| 11/29/12 | 0.17 (d) | 10,000 | 9,997 |
Federal Home Loan Bank - 26.3% |
| 9/13/11 to 11/15/12 | 0.09 to 0.41 (d) | 1,181,875 | 1,182,204 |
Freddie Mac - 7.5% |
| 11/29/11 to 11/2/12 | 0.09 to 0.35 (d) | 338,000 | 338,016 |
TOTAL FEDERAL AGENCIES | 1,907,277 |
U.S. Treasury Obligations - 12.7% |
|
U.S. Treasury Bills - 7.7% |
| 9/15/11 to 1/26/12 | 0.07 to 0.18 (c) | 344,000 | 343,947 |
U.S. Treasury Notes - 5.0% |
| 9/30/11 to 5/15/12 | 0.07 to 0.33 | 225,000 | 225,608 |
TOTAL U.S. TREASURY OBLIGATIONS | 569,555 |
Repurchase Agreements - 45.1% |
| Maturity Amount (000s) | | |
In a joint trading account at 0.08% dated 8/31/11 due 9/1/11 (Collateralized by U.S. Treasury Obligations) # | $ 1,819,363 | | 1,819,359 |
| | | |
Repurchase Agreements - continued |
| Maturity Amount (000s) | | Value (000s) |
With: | | | |
Barclays Capital, Inc. at 0.15%, dated 7/27/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $13,307,822, 2.58% - 6%, 6/1/24 - 8/1/41) | $ 13,005 | | $ 13,000 |
Deutsche Bank Securities, Inc. at: | | | |
0.19%, dated 8/17/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $14,338,940, 3.5% - 7%, 10/1/38 - 9/20/40) | 14,009 | | 14,000 |
0.23%, dated 8/3/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $14,438,928, 4%, 10/15/40) | 14,008 | | 14,000 |
ING Financial Markets LLC at: | | | |
0.17%, dated: | | | |
8/9/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $7,211,318, 0.61%, 3/15/34) | 7,003 | | 7,000 |
8/10/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $5,101,367, 5.91%, 9/1/36) | 5,001 | | 5,000 |
0.18%, dated 8/11/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $8,162,680, 4.42% - 4.8%, 4/1/38 - 5/1/38) | 8,003 | | 8,000 |
0.19%, dated: | | | |
7/13/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $57,137,689, 3.01% - 3.2%, 2/1/41 - 3/1/41) | 56,054 | | 56,000 |
7/15/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $27,816,994, 0.52% - 1.22%, 11/25/21 - 7/25/48) | 27,027 | | 27,000 |
0.2%, dated 4/4/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $7,217,529, 3.5%, 7/25/26) | 7,008 | | 7,000 |
0.23%, dated: | | | |
8/4/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $7,211,927, 0.5%, 3/25/37) | 7,008 | | 7,000 |
8/18/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $14,282,090, 2.24% - 6.01%, 10/1/31 - 11/1/36) | 14,015 | | 14,000 |
Morgan Stanley & Co., Inc. at: | | | |
0.15%, dated 6/17/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $9,211,851, 3.5% - 7%, 2/1/36 - 10/1/47) | 9,003 | | 9,000 |
0.19%, dated 8/12/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $16,357,287, 3.3% - 7%, 9/1/36 - 8/1/41) | 16,004 | | 16,000 |
Repurchase Agreements - continued |
| Maturity Amount (000s) | | Value (000s) |
With: - continued | | | |
RBC Capital Markets Corp. at 0.16%, dated 8/26/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $8,241,231, 0.59% - 5.75%, 6/15/31 - 3/20/38) | $ 8,004 | | $ 8,000 |
Wells Fargo Securities, LLC at 0.2%, dated 4/20/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $6,170,781, 4.5%, 7/1/41) | 6,006 | | 6,000 |
TOTAL REPURCHASE AGREEMENTS |
2,030,359
|
TOTAL INVESTMENT PORTFOLIO - 103.1% (Cost $4,640,123) | | 4,640,123 |
NET OTHER ASSETS (LIABILITIES) - (3.1)% | | (140,925) |
NET ASSETS - 100% | $ 4,499,198 |
Legend |
(a) Yield represents either the annualized yield at the date of purchase, or the stated coupon rate, or, for floating and adjustable rate securities, the rate at period end. |
(b) The Federal Financing Bank, an instrumentality of the U.S. Government acting under the supervision of the Secretary of the Treasury (FFB), has entered into a Liquidity Loan Agreement with Straight-A Funding LLC (Issuer), pursuant to which the FFB has committed, subject to certain conditions, to provide financing to the Issuer to cover any payment deficiencies in respect of notes on their legal final maturity dates. At the end of the period, these securities amounted to $132,932,000, or 2.9% of net assets. |
(c) Security or a portion of the security was pledged to cover open reverse repurchase agreements. At the period end, the value of securities pledged amounted to $97,999,000. The principal amount of the outstanding reverse repurchase agreement is $98,001,000. |
(d) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end. |
# Additional information on each counterparty to the repurchase agreement is as follows: |
Repurchase Agreement / Counterparty | Value
(Amounts in thousands) |
$1,819,359,000 due 9/01/11 at 0.08% |
BNP Paribas Securities Corp. | $ 190,959 |
Bank of America NA | 509,222 |
Citibank NA | 12,731 |
Citigroup Global Markets, Inc. | 101,845 |
Credit Agricole Securities (USA), Inc. | 50,922 |
Deutsche Bank Securities, Inc. | 190,959 |
ING Financial Markets LLC | 42,216 |
J.P. Morgan Securities, Inc. | 157,859 |
Merrill Lynch, Pierce, Fenner & Smith, Inc. | 122,167 |
RBC Capital Markets Corp. | 101,845 |
RBS Securities, Inc. | 25,461 |
Societe Generale | 101,845 |
UBS Securities LLC | 76,384 |
Wells Fargo Securities LLC | 134,944 |
| $ 1,819,359 |
Other Information |
The date shown for securities represents the date when principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets. |
All investments are categorized as Level 2 under the Fair Value Hierarchy. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Assets and Liabilities
Amounts in thousands (except per-share amount) | August 31, 2011 |
| | |
Assets | | |
Investment in securities, at value (including repurchase agreements of $2,030,359) - See accompanying schedule: Unaffiliated issuers (cost $4,640,123) | | $ 4,640,123 |
Interest receivable | | 2,481 |
Total assets | | 4,642,604 |
| | |
Liabilities | | |
Payable for investments purchased | $ 34,997 | |
Payable for fund shares redeemed | 9,851 | |
Accrued management fee | 556 | |
Payable for reverse repurchase agreement | 98,001 | |
Other affiliated payables | 1 | |
Total liabilities | | 143,406 |
| | |
Net Assets | | $ 4,499,198 |
Net Assets consist of: | | |
Paid in capital | | $ 4,499,157 |
Accumulated undistributed net realized gain (loss) on investments | | 41 |
Net Assets, for 4,498,774 shares outstanding | | $ 4,499,198 |
Net Asset Value, offering price and redemption price per share ($4,499,198 ÷ 4,498,774 shares) | | $ 1.00 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Operations
Amounts in thousands | Year ended August 31, 2011 |
| | |
Investment Income | | |
Interest | | $ 10,119 |
| | |
Expenses | | |
Management fee | $ 19,024 | |
Independent trustees' compensation | 17 | |
Interest | 2 | |
Total expenses before reductions | 19,043 | |
Expense reductions | (9,380) | 9,663 |
Net investment income (loss) | | 456 |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | | |
Investment securities: | | |
Unaffiliated issuers | | 45 |
Net increase in net assets resulting from operations | | $ 501 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Changes in Net Assets
Amounts in thousands | Year ended
August 31,
2011 | Year ended
August 31,
2010 |
Increase (Decrease) in Net Assets | | |
Operations | | |
Net investment income (loss) | $ 456 | $ 497 |
Net realized gain (loss) | 45 | 75 |
Net increase in net assets resulting
from operations | 501 | 572 |
Distributions to shareholders from net investment income | (454) | (498) |
Distributions to shareholders from net realized gain | (92) | (704) |
Total distributions | (546) | (1,202) |
Share transactions at net asset value of $1.00 per share
Proceeds from sales of shares | 3,002,289 | 2,249,145 |
Reinvestment of distributions | 546 | 1,202 |
Cost of shares redeemed | (3,304,741) | (2,718,806) |
Net increase (decrease) in net assets and shares resulting from share transactions | (301,906) | (468,459) |
Total increase (decrease) in net assets | (301,951) | (469,089) |
| | |
Net Assets | | |
Beginning of period | 4,801,149 | 5,270,238 |
End of period | $ 4,499,198 | $ 4,801,149 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended August 31, | 2011 | 2010 | 2009 | 2008 | 2007 |
Selected Per-Share Data | | | | | |
Net asset value, beginning of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Income from Investment Operations | | | | | |
Net investment income (loss) | - C | - C | .009 | .033 | .049 |
Net realized and unrealized gain loss C | - | - | - | - | - |
Total from investment operations | - C | - C | .009 | .033 | .049 |
Distributions from net investment income | - C | - C | (.009) | (.033) | (.049) |
Distributions from net realized gain | - C | - C | - | - | - |
Total distributions | - C | - C | (.009) | (.033) | (.049) |
Net asset value, end of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Total Return A | .01% | .02% | .86% | 3.35% | 5.06% |
Ratios to Average Net Assets B | | | | | |
Expenses before reductions | .42% | .42% | .44% | .42% | .42% |
Expenses net of fee waivers, if any | .21% | .29% | .44% | .42% | .42% |
Expenses net of all reductions | .21% | .29% | .44% | .41% | .39% |
Net investment income (loss) | .01% | .01% | .84% | 3.28% | 4.95% |
Supplemental Data | | | | | |
Net assets, end of period (in millions) | $ 4,499 | $ 4,801 | $ 5,270 | $ 5,016 | $ 4,733 |
A Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
B Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
C Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended August 31, 2011
(Amounts in thousands except ratios)
1. Organization.
Retirement Government Money Market Portfolio (the Fund) is a fund of Fidelity Money Market Trust (the Trust) and is authorized to issue an unlimited number of shares. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Delaware statutory trust.
2. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Security Valuation. The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
Level 1 - quoted prices in active markets for identical investments
Level 2 - other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
Level 3 - unobservable inputs (including the Fund's own assumptions based on the best information available)
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities are valued at amortized cost, which approximates fair value, and are categorized as Level 2 in the hierarchy.
Investment Transactions and Income. The net asset value per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Annual Report
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company, including distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. As of August 31, 2011, the Fund did not have any unrecognized tax benefits in the financial statements. A fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared and recorded daily and paid monthly from net investment income. Distributions from realized gains, if any, are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to deferred trustees compensation and losses deferred due to wash sales.
Gross unrealized appreciation | $ - |
Gross unrealized depreciation | - |
Net unrealized appreciation (depreciation) on securities and other investments | $ - |
| |
Tax Cost | $ 4,640,123 |
The tax-based components of distributable earnings as of period end were as follows:
| |
Undistributed ordinary income | $ 42 |
Under the recently enacted Regulated Investment Company Modernization Act of 2010 (the Act), the Fund will be permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period. However, any losses incurred during those future taxable years will be required to be utilized prior to any losses incurred in pre-enactment taxable years, which generally expire after eight years from when they are incurred. Additionally, post-enactment capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term as under previous law. The Fund's first fiscal year end subject to the Act will be August 31, 2012.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
The tax character of distributions paid was as follows:
| August 31, 2011 | August 31, 2010 |
Ordinary Income | $ 546 | $ 1,202 |
3. Operating Policies.
Repurchase Agreements. Fidelity Management & Research Company (FMR) has received an Exemptive Order from the Securities and Exchange Commission (the SEC) which permits the Fund and other affiliated entities of FMR to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The Fund may also invest directly with institutions in repurchase agreements. Repurchase agreements are collateralized by government or non-government securities. Upon settlement date, collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The Fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
Reverse Repurchase Agreements. To enhance its yield, the Fund may enter into reverse repurchase agreements whereby the Fund transfers securities to a counterparty who then agrees to transfer them back to the Fund at a future date and agreed upon price, reflecting a rate of interest below market rate. Securities sold under a reverse repurchase agreement are recorded as a liability in the accompanying Statement of Assets and Liabilities. The Fund receives cash proceeds, which are invested in other securities, and agrees to repay the proceeds plus any accrued interest in return for the same securities transferred. The Fund continues to receive interest payments on the transferred securities during the term of the reverse repurchase agreement. During the period that a reverse repurchase agreement is outstanding, the Fund identifies cash and liquid securities as segregated in its custodian records with a value at least equal to its obligation under the agreement. If the counterparty defaults on its obligation, because of insolvency or other reasons, the Fund could experience delays and costs in recovering the security or in gaining access to the collateral. The average daily balance during the period for which reverse repurchase agreements were outstanding subject to interest amounted to $29,457. The weighted average interest rate was .07% on such amounts. Information regarding reverse repurchase agreements open at period end is included at the end of the Fund's Schedule of Investments.
Annual Report
4. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee that is based on an annual rate of .42% of the Fund's average net assets. FMR pays all other expenses, except the compensation of the independent Trustees and certain exceptions such as interest expense. The management fee paid to FMR by the Fund is reduced by an amount equal to the fees and expenses paid by the Fund to the independent Trustees.
5. Expense Reductions.
FMR or its affiliates voluntarily agreed to waive certain fees in order to maintain a minimum annualized yield of .01%. Such arrangements may be discontinued by FMR at any time. For the period, the amount of the waiver was $9,380.
6. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
Annual Report
To the Trustees of Fidelity Money Market Trust and the Shareholders of Retirement Government Money Market Portfolio:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Retirement Government Money Market Portfolio (a fund of Fidelity Money Market Trust) at August 31, 2011, 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 five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Retirement Government Money Market Portfolio's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at August 31, 2011 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
October 10, 2011
Annual Report
The Trustees and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, oversee management of the risks associated with such activities and contractual arrangements, and review the fund's performance. Except for James C. Curvey, each of the Trustees oversees 203 funds advised by FMR or an affiliate. Mr. Curvey oversees 424 funds advised by FMR or an affiliate. The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 75th birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers hold office without limit in time, except that any officer may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
Experience, Skills, Attributes, and Qualifications of the Fund's Trustees. The Governance and Nominating Committee has adopted a statement of policy that describes the experience, qualifications, attributes, and skills that are necessary and desirable for potential Independent Trustee candidates (Statement of Policy). The Board believes that each Trustee satisfied at the time he or she was initially elected or appointed a Trustee, and continues to satisfy, the standards contemplated by the Statement of Policy. The Governance and Nominating Committee also engages professional search firms to help identify potential Independent Trustee candidates who have the experience, qualifications, attributes, and skills consistent with the Statement of Policy. From time to time, additional criteria based on the composition and skills of the current Independent Trustees, as well as experience or skills that may be appropriate in light of future changes to board composition, business conditions, and regulatory or other developments, have also been considered by the professional search firms and the Governance and Nominating Committee. In addition, the Board takes into account the Trustees' commitment and participation in Board and committee meetings, as well as their leadership of standing and ad hoc committees throughout their tenure. In determining that a particular Trustee was and continues to be qualified to serve as a Trustee, the Board has considered a variety of criteria, none of which, in isolation, was controlling. The Board believes that, collectively, the Trustees have balanced and diverse experience, qualifications, attributes, and skills, which allow the Board to operate effectively in governing the fund and protecting the interests of shareholders. Information about the specific experience, skills, attributes, and qualifications of each Trustee, which in each case led to the Board's conclusion that the Trustee should serve (or continue to serve) as a trustee of the funds, is provided below.
Annual Report
Trustees and Officers - continued
Board Structure and Oversight Function. Abigail P. Johnson is an interested person (as defined in the 1940 Act) and currently serves as Chairman. The Trustees have determined that an interested Chairman is appropriate and benefits shareholders because an interested Chairman has a personal and professional stake in the quality and continuity of services provided to the fund. Independent Trustees exercise their informed business judgment to appoint an individual of their choosing to serve as Chairman, regardless of whether the Trustee happens to be independent or a member of management. The Independent Trustees have determined that they can act independently and effectively without having an Independent Trustee serve as Chairman and that a key structural component for assuring that they are in a position to do so is for the Independent Trustees to constitute a substantial majority for the Board. The Independent Trustees also regularly meet in executive session. Kenneth L. Wolfe serves as Chairman of the Independent Trustees and as such (i) acts as a liaison between the Independent Trustees and management with respect to matters important to the Independent Trustees and (ii) with management prepares agendas for Board meetings.
Fidelity funds are overseen by different Boards of Trustees. The fund's Board oversees Fidelity's investment-grade bond, money market, and asset allocation funds and another Board oversees Fidelity's equity and high income funds. The asset allocation funds may invest in Fidelity funds that are overseen by such other Board. The use of separate Boards, each with its own committee structure, allows the Trustees of each group of Fidelity funds to focus on the unique issues of the funds they oversee, including common research, investment, and operational issues. On occasion, the separate Boards establish joint committees to address issues of overlapping consequences for the Fidelity funds overseen by each Board.
The Trustees operate using a system of committees to facilitate the timely and efficient consideration of all matters of importance to the Trustees, the fund, and fund shareholders and to facilitate compliance with legal and regulatory requirements and oversight of the fund's activities and associated risks. The Board, acting through its committees, has charged FMR and its affiliates with (i) identifying events or circumstances the occurrence of which could have demonstrably adverse effects on the fund's business and/or reputation; (ii) implementing processes and controls to lessen the possibility that such events or circumstances occur or to mitigate the effects of such events or circumstances if they do occur; and (iii) creating and maintaining a system designed to evaluate continuously business and market conditions in order to facilitate the identification and implementation processes described in (i) and (ii) above. Because the day-to-day operations and activities of the fund are carried out by or through FMR, its affiliates and other service providers, the fund's exposure to risks is mitigated but not eliminated by the processes overseen by the Trustees. While each of the Board's committees has responsibility for overseeing different aspects of the fund's activities, oversight is exercised primarily through the Operations and Audit Committees. In addition, an ad hoc Board committee of Independent Trustees has worked with FMR to enhance the Board's oversight of investment and financial risks, legal and regulatory risks, technology risks, and operational risks, including the development of additional risk reporting to the Board. The Operations Committee also has worked and continues to work with FMR to enhance the stress tests required under SEC regulations for money market funds. Appropriate personnel, including but not limited to the fund's Chief Compliance Officer (CCO), FMR's internal auditor, the independent accountants, the fund's Treasurer and portfolio management personnel, make periodic reports to the Board's committees, as appropriate, including an annual review of FMR's risk management program for the Fidelity funds. The responsibilities of each standing committee, including their oversight responsibilities, are described further under "Standing Committees of the Fund's Trustees."
Annual Report
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupations and Other Relevant Experience+ |
Abigail P. Johnson (49) |
| Year of Election or Appointment: 2009 Ms. Johnson is Trustee and Chairman of the Board of Trustees of certain Trusts. Ms. Johnson serves as President of Personal, Workplace and Institutional Services (2005-present). Ms. Johnson is Chairman and Director of FMR Co., Inc. (2011-present), Chairman and Director of FMR (2011-present), and the Vice Chairman and Director (2007-present) of FMR LLC. Previously, Ms. Johnson served as President and a Director of FMR (2001-2005), a Trustee of other investment companies advised by FMR, Fidelity Investments Money Management, Inc., and FMR Co., Inc. (2001-2005), Senior Vice President of the Fidelity funds (2001-2005), and managed a number of Fidelity funds. Ms. Abigail P. Johnson and Mr. Arthur E. Johnson are not related. |
James C. Curvey (76) |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of Fidelity Investments Money Management, Inc. (2009-present), Director of Fidelity Research & Analysis Co. (2009-present) and Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2007-present) and Director of FMR LLC. In addition, Mr. Curvey serves as an Overseer for the Boston Symphony Orchestra and a member of the Trustees of Villanova University. Previously, Mr. Curvey was the Vice Chairman (2006-2007) and Director (2000-2007) of FMR Corp. |
Annual Report
Trustees and Officers - continued
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust or various entities under common control with FMR.
+ The information above includes each Trustee's principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to each Trustee's qualifications to serve as a Trustee, which led to the conclusion that each Trustee should serve as a Trustee for the fund.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupations and Other Relevant Experience+ |
Albert R. Gamper, Jr. (69) |
| Year of Election or Appointment: 2006 Mr. Gamper is Vice Chairman of the Independent Trustees of the Fixed Income and Asset Allocation Funds (2011-present). Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (2002-2003). He also served as President and Chief Executive Officer of Tyco Capital Corporation (2001-2002). Mr. Gamper currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities, 2000-present), a member of the Board of Trustees, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Robert F. Gartland (59) |
| Year of Election or Appointment: 2010 Mr. Gartland is a partner and investor of Vietnam Partners LLC (investments and consulting, 2008-present) and is Chairman and an investor in Gartland and Mellina Group Corp. (consulting, 2009-present). Prior to his retirement, Mr. Gartland held a variety of positions at Morgan Stanley (financial services, 1979-2007) including Managing Director (1987-2007). |
Arthur E. Johnson (64) |
| Year of Election or Appointment: 2008 Mr. Johnson serves as a member of the Board of Directors of Eaton Corporation (diversified power management, 2009-present) and AGL Resources, Inc. (holding company). Prior to his retirement, Mr. Johnson served as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor, 1999-2009). He previously served on the Board of Directors of IKON Office Solutions, Inc. (1999-2008) and Delta Airlines (2005-2007). Mr. Arthur E. Johnson is not related to Mr. Edward C. Johnson 3d or Ms. Abigail P. Johnson. |
Michael E. Kenneally (57) |
| Year of Election or Appointment: 2009 Previously, Mr. Kenneally served as a Member of the Advisory Board for certain Fidelity Fixed Income and Asset Allocation Funds (2008-2009). Prior to his retirement, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of the Credit Suisse Funds (U.S. mutual funds, 2004-2008) and certain other closed-end funds (2004-2005) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
James H. Keyes (70) |
| Year of Election or Appointment: 2007 Mr. Keyes serves as a member of the Boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines, since 2002) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions, since 1998). Prior to his retirement, Mr. Keyes served as Chairman and Chief Executive Officer of Johnson Controls (automotive, building, and energy, 1998-2002) and as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (64) |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. Ms. Knowles currently serves as a Director and Chairman of the Audit Committee of McKesson Corporation (healthcare service, since 2002). Ms. Knowles is an Honorary Trustee of the Brookings Institution and a member of the Board of the Catalina Island Conservancy and of the Santa Catalina Island Company (2009-present). She also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California and the Foundation Board of the School of Architecture at the University of Virginia (2007-present). Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (72) |
| Year of Election or Appointment: 2005 Mr. Wolfe is Chairman of the Independent Trustees of the Fixed Income and Asset Allocation Funds (2008-present). Prior to his retirement, Mr. Wolfe served as Chairman and a Director (2007-2009) and Chairman and Chief Executive Officer (1994-2001) of Hershey Foods Corporation. He also served as a member of the Boards of Adelphia Communications Corporation (telecommunications, 2003-2006), Bausch & Lomb, Inc. (medical/pharmaceutical, 1993-2007), and Revlon, Inc. (personal care products, 2004-2009). |
+ The information above includes each Trustee's principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to each Trustee's qualifications to serve as a Trustee, which led to the conclusion that each Trustee should serve as a Trustee for the fund.
Annual Report
Executive Officers:
Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation |
John R. Hebble (53) |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble also serves as President (2011-present), Treasurer, and Chief Financial Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present), Assistant Treasurer of other Fidelity funds (2009-present) and is an employee of Fidelity Investments. |
Robert P. Brown (47) |
| Year of Election or Appointment: 2010 Vice President of Fidelity's Money Market Funds and Executive Vice President of Fidelity Investments Money Management, Inc. (2010-present). Mr. Brown also serves as President, Money Market Group of FMR (2010-present), Managing Director of Research, Director of Fidelity Management & Research (U.K.) Inc. (2008-present) and is an employee of Fidelity Investments. |
Scott C. Goebel (43) |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as Secretary of Fidelity Investments Money Management, Inc. (FIMM) (2010-present) and Fidelity Research and Analysis Company (FRAC) (2010-present); Secretary and CLO of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present); General Counsel, Secretary, and Senior Vice President of FMR (2008-present) and FMR Co., Inc. (2008-present); employed by FMR LLC or an affiliate (2001-present); Chief Legal Officer of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present), and Fidelity Management & Research (U.K.) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of FIMM (2008-2010), FRAC (2008-2010), and the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
David J. Carter (38) |
| Year of Election or Appointment: 2010 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Carter also serves as Vice President, Associate General Counsel (2010-present) and is an employee of Fidelity Investments (2005-present). |
Holly C. Laurent (57) |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent also serves as AML Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present) and is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), and Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (52) |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. Ms. Reynolds served as Chief Operating Officer of FPCMS (2007-2008). Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). |
Michael H. Whitaker (44) |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker also serves as Chief Compliance Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present). Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Jeffrey S. Christian (49) |
| Year of Election or Appointment: 2009 Deputy Treasurer of the Fidelity funds. Mr. Christian is an employee of Fidelity Investments. Previously, Mr. Christian served as Chief Financial Officer (2008-2009) of certain Fidelity funds and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2004-2009). |
Bryan A. Mehrmann (50) |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. |
Stephanie J. Dorsey (42) |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey also serves as Assistant Treasurer of other Fidelity funds (2010-present) and is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Vice President (2004-2008) of JPMorgan Chase Bank. |
Adrien E. Deberghes (44) |
| Year of Election or Appointment: 2010 Assistant Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Deberghes also serves as Vice President and Assistant Treasurer of Fidelity Rutland Square Trust II and Fidelity Commonwealth Trust II (2011-present), Deputy Treasurer of other Fidelity funds (2008-present), and is an employee of Fidelity Investments (2008-present). Previously, Mr. Deberghes served as Senior Vice President of Mutual Fund Administration at State Street Corporation (2007-2008), Senior Director of Mutual Fund Administration at Investors Bank & Trust (2005-2007), and Director of Finance for Dunkin' Brands (2000-2005). |
Kenneth B. Robins (42) |
| Year of Election or Appointment: 2009 Assistant Treasurer of the Fidelity Fixed Income and Asset Allocation Funds. Mr. Robins also serves as President and Treasurer of other Fidelity funds (2008-present; 2010-present) and is an employee of Fidelity Investments (2004-present). Previously, Mr. Robins served as Deputy Treasurer of the Fidelity funds (2005-2008) and Treasurer and Chief Financial Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2006-2008). |
Gary W. Ryan (53) |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
Jonathan Davis (43) |
| Year of Election or Appointment: 2010 Assistant Treasurer of the Fidelity funds. Mr. Davis is also Assistant Treasurer of Fidelity Rutland Square Trust II and Fidelity Commonwealth Trust II. Mr. Davis is an employee of Fidelity Investments. Previously, Mr. Davis served as Vice President and Associate General Counsel of FMR LLC (2003-2010). |
Annual Report
A total of 41.87% of the dividends distributed during the fiscal year was derived from interest on U.S. Government securities which is generally exempt from state income tax.
The fund designates $296,829 of distributions paid during the period January 1, 2011 to August 31, 2011 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2012 of amounts for use in preparing 2011 income tax returns.
Annual Report
Investment Adviser
Fidelity Management &
Research Company
Boston, MA
Investment Sub-Advisers
Fidelity Investments Money
Management, Inc.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Hong Kong) Limited
Fidelity Management & Research
(Japan) Inc.
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Fidelity Investments Institutional
Operations Company, Inc.
Boston, MA
Fidelity Service Company, Inc.
Boston, MA
Custodian
JPMorgan Chase Bank
New York, NY
RGM-ANN-1011
1.768777.109
Fidelity
Money Market Trust
Retirement Money Market
Portfolio
Annual Report
August 31, 2011
(2_fidelity_logos) (Registered_Trademark)
Contents
Shareholder Expense Example | <Click Here> | An example of shareholder expenses. |
Investment Changes/ Performance | <Click Here> | A summary of major shifts in the fund's investments over the past six months and one year, and performance information. |
Investments | <Click Here> | A complete list of the fund's investments. |
Financial Statements | <Click Here> | Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights. |
Notes | <Click Here> | Notes to the financial statements. |
Report of Independent Registered Public Accounting Firm | <Click Here> | |
Trustees and Officers | <Click Here> | |
Distributions | <Click Here> | |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.
The fund seeks to obtain as high a level of current income as is consistent with the preservation of capital and liquidity by investing in high-quality, short-term money market securities.
An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund.
Foreign securities are subject to interest-rate, currency-exchange-rate, economic, and political risks.
Interest rate increases can cause the price of a money market security to decrease.
Annual Report
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.advisor.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Annual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (March 1, 2011 to August 31, 2011).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
| Annualized Expense Ratio | Beginning
Account Value
March 1, 2011 | Ending
Account Value
August 31, 2011 | Expenses Paid
During Period*
March 1, 2011 to August 31, 2011 |
Actual | .34% | $ 1,000.00 | $ 1,000.10 | $ 1.71 ** |
Hypothetical (5% return per year before expenses) | | $ 1,000.00 | $ 1,023.49 | $ 1.73 ** |
* Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).
** If certain fees were not voluntarily waived by FMR or its affiliates during the period, the annualized expense ratio Retirement Money Market Portfolio would have been .42% and the expenses paid in the actual and hypothetical examples above would have been $2.12 and $2.14, respectively.
Annual Report
Investment Changes/Performance (Unaudited)
Effective Maturity Diversification |
Days | % of fund's investments 8/31/11 | % of fund's investments 2/28/11 | % of fund's
investments
8/31/10 |
1 - 7 | 28.5 | 25.3 | 29.9 |
8 - 30 | 21.4 | 28.3 | 26.7 |
31 - 60 | 20.5 | 15.2 | 14.4 |
61 - 90 | 18.7 | 13.3 | 12.8 |
91 - 180 | 7.3 | 11.9 | 14.8 |
>180 | 3.6 | 6.0 | 1.4 |
Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940. |
Weighted Average Maturity |
| 8/31/11 | 2/28/11 | 8/31/10 |
Retirement Money Market Portfolio | 45 Days | 50 Days | 43 Days |
All Taxable Money Market Funds Average* | 39 Days | 45 Days | 43 Days |
This is a weighted average of all the maturities of the securities held in a fund. Weighted Average Maturity (WAM) can be used as a measure of sensitivity to interest rate changes and markets changes. Generally, the longer the maturity, the greater the sensitivity to such changes. WAM is based on the dollar-weighted average length of time until principal payments must be paid. Depending on the types of securities held in a fund, certain maturity shortening devices (e.g., demand features, interest rate resets, and call options) may be taken into account when calculating the WAM. |
Weighted Average Life |
| 8/31/11 | 2/28/11 | 8/31/10 |
Retirement Money Market Portfolio | 83 Days | 96 Days | 80 Days |
Weighted Average Life (WAL) is the weighted average of the life of the securities held in a fund or portfolio and can be used as a measure of sensitivity to changes in liquidity and/or credit risk. Generally, the higher the value, the greater the sensitivity. WAL is based on the dollar-weighted average length of time until principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets. The difference between WAM and WAL is that WAM takes into account interest rate resets and WAL does not. WAL for money market funds is not the same as WAL of a mortgage- or asset-backed security. |
Asset Allocation (% of fund's net assets) |
As of August 31, 2011 | As of February 28, 2011 |
 | Corporate Bonds 0.0% | | | Corporate Bonds 0.2% | |
 | Commercial Paper 19.7% | | | Commercial Paper 22.2% | |
 | Bank CDs, BAs,
TDs, and Notes 56.7% | | | Bank CDs, BAs,
TDs, and Notes 51.2% | |
 | Government
Securities† 11.5% | | | Government
Securities† 10.8% | |
 | Repurchase
Agreements 17.1% | | | Repurchase
Agreements 17.1% | |
 | Net Other Assets** (5.0)% | |  | Net Other Assets** (1.5)% | |
* Source: iMoneyNet, Inc.
** Net Other Assets are not included in the pie chart.
† Includes FDIC Guaranteed Corporate Securities.
Annual Report
Current and Historical Seven-Day Yields |
| 8/30/11 | 5/31/11 | 3/1/11 | 11/30/10 | 8/31/10 |
Retirement Money Market Portfolio | 0.01% | 0.01% | 0.01% | 0.01% | 0.02% |
Yield refers to the income paid by the fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it is possible to lose money by investing in the Fund. A portion of the Fund's expenses was reimbursed and/or waived. Absent such reimbursements and/or waivers the yield for the period ending August 30, 2011, the most recent period shown in the table, would have been -0.09%.
Annual Report
Investments August 31, 2011
Showing Percentage of Net Assets
Certificates of Deposit - 48.0% |
| | Yield (a) | Principal Amount (000s) | Value (000s) |
Domestic Certificates Of Deposit - 0.3% |
Branch Banking & Trust Co. |
| 11/17/11 to 12/5/11 | 0.24 to 0.27% | $ 52,000 | $ 52,000 |
London Branch, Eurodollar, Foreign Banks - 12.1% |
ABN AMRO Bank NV |
| 10/3/11 | 0.32 | 130,000 | 130,001 |
Australia & New Zealand Banking Group Ltd. |
| 10/28/11 to 11/30/11 | 0.21 to 0.25 | 71,000 | 71,000 |
Commonwealth Bank of Australia |
| 10/21/11 to 11/30/11 | 0.20 to 0.25 | 196,000 | 196,000 |
Credit Agricole SA |
| 9/1/11 to 10/5/11 | 0.35 to 0.36 | 263,000 | 263,000 |
Credit Industriel et Commercial |
| 9/1/11 | 0.31 | 200,000 | 200,000 |
HSBC Bank PLC |
| 2/9/12 to 5/10/12 | 0.38 to 0.55 | 227,000 | 227,000 |
ING Bank NV |
| 9/1/11 | 0.21 | 75,000 | 75,000 |
Lloyds TSB Bank PLC |
| 9/9/11 | 0.22 | 168,000 | 168,000 |
National Australia Bank Ltd. |
| 9/8/11 to 12/1/11 | 0.20 to 0.30 | 587,000 | 587,000 |
| | 1,917,001 |
New York Branch, Yankee Dollar, Foreign Banks - 35.6% |
Bank of Montreal |
| 9/6/11 to 9/5/12 | 0.19 to 0.50 (d) | 231,000 | 231,000 |
Bank of Nova Scotia |
| 11/9/11 to 9/15/12 | 0.25 to 0.44 (d) | 657,000 | 657,000 |
Bank of Tokyo-Mitsubishi |
| 11/2/11 to 11/29/11 | 0.28 to 0.32 | 303,000 | 303,000 |
BNP Paribas SA |
| 9/27/11 to 12/12/11 | 0.37 to 0.48 (d) | 740,000 | 740,000 |
Canadian Imperial Bank of Commerce New York Branch |
| 10/4/11 to 9/17/12 | 0.29 to 0.30 (d) | 380,000 | 380,000 |
Credit Suisse |
| 9/2/11 | 0.25 (d) | 99,000 | 99,000 |
|
Certificates of Deposit - continued |
| | Yield (a) | Principal Amount (000s) | Value (000s) |
New York Branch, Yankee Dollar, Foreign Banks - continued |
Credit Suisse New York Branch |
| 10/4/11 to 10/25/11 | 0.20 to 0.24% | $ 293,000 | $ 293,000 |
DnB NOR Bank ASA |
| 11/18/11 | 0.30 | 131,000 | 131,000 |
Mitsubishi UFJ Trust & Banking Corp. |
| 10/3/11 | 0.28 | 16,000 | 16,000 |
Mizuho Corporate Bank Ltd. |
| 9/1/11 to 9/2/11 | 0.18 | 111,000 | 111,000 |
Natexis Banques Populaires New York Branch |
| 9/23/11 | 0.35 | 221,000 | 221,000 |
National Bank Canada |
| 11/4/11 to 7/6/12 | 0.32 to 0.37 (d) | 183,000 | 183,000 |
Nordea Bank Finland PLC |
| 10/7/11 to 10/11/11 | 0.20 | 164,000 | 164,000 |
Rabobank Nederland New York Branch |
| 9/12/11 to 6/8/12 | 0.19 to 0.50 (d) | 660,000 | 660,000 |
Royal Bank of Canada |
| 8/31/12 | 0.59 (d) | 110,000 | 110,000 |
Sumitomo Mitsui Banking Corp. |
| 9/2/11 to 9/12/11 | 0.19 to 0.21 | 706,000 | 706,000 |
Svenska Handelsbanken |
| 11/3/11 to 11/8/11 | 0.22 to 0.30 | 290,000 | 290,001 |
Toronto-Dominion Bank New York Branch |
| 11/15/11 to 1/12/12 | 0.25 to 0.29 (d) | 110,000 | 110,000 |
UBS AG |
| 10/5/11 to 11/23/11 | 0.25 to 0.35 | 215,000 | 214,998 |
| | 5,619,999 |
TOTAL CERTIFICATES OF DEPOSIT | 7,589,000 |
Commercial Paper - 19.7% |
|
ABN AMRO Funding USA LLC |
| 9/26/11 | 0.32 | 28,000 | 27,994 |
Anheuser-Busch InBev Worldwide, Inc. |
| 9/16/11 to 10/7/11 | 0.27 to 0.30 | 30,000 | 29,993 |
Commercial Paper - continued |
| | Yield (a) | Principal Amount (000s) | Value (000s) |
ASB Finance Ltd. |
| 3/2/12 | 0.34% (d) | $ 56,000 | $ 55,999 |
Barclays Bank PLC/Barclays US CCP Funding LLC |
| 9/28/11 to 10/4/11 | 0.27 | 84,000 | 83,982 |
Barclays U.S. Funding Corp. |
| 9/6/11 | 0.21 | 154,000 | 153,996 |
BP Capital Markets PLC |
| 9/8/11 | 0.27 | 56,000 | 55,997 |
Caisse d'Amort de la Dette Societe |
| 10/11/11 to 5/25/12 | 0.24 to 0.31 (b)(d) | 320,000 | 319,855 |
Comcast Corp. |
| 9/30/11 | 0.30 | 11,525 | 11,522 |
Commonwealth Bank of Australia |
| 10/6/11 to 11/21/11 | 0.20 to 0.35 (d) | 172,000 | 171,979 |
CVS Caremark Corp. |
| 9/1/11 | 0.25 to 0.26 | 21,000 | 21,000 |
Danske Corp. |
| 9/19/11 | 0.30 | 56,000 | 55,992 |
DnB NOR Bank ASA |
| 10/20/11 to 12/7/11 | 0.22 to 0.30 | 73,000 | 72,956 |
Duke Energy Corp. |
| 9/9/11 to 9/12/11 | 0.34 to 0.40 | 32,000 | 31,997 |
Gotham Funding Corp. (Liquidity Facility Bank Tokyo-Mitsubishi UFJ Ltd.) |
| 9/1/11 to 10/4/11 | 0.25 to 0.26 | 246,000 | 245,966 |
Manhattan Asset Funding Co. LLC (Liquidity Facility Sumitomo Mitsui Banking Corp.) |
| 9/7/11 to 10/4/11 | 0.25 to 0.30 | 205,000 | 204,963 |
National Australia Funding, Inc. |
| 10/6/11 | 0.20 | 35,000 | 34,993 |
Commercial Paper - continued |
| | Yield (a) | Principal Amount (000s) | Value (000s) |
Nordea North America, Inc. |
| 10/5/11 to 2/2/12 | 0.21 to 0.40% | $ 375,000 | $ 374,681 |
Northern Pines Funding LLC |
| 9/7/11 | 0.36 (d) | 23,000 | 23,000 |
Northern Pines Funding LLC (Liquidity Facility Shanghai Bestway Marine Engineering Design Co. Ltd.) |
| 9/28/11 | 0.29 | 26,000 | 25,994 |
Rabobank USA Financial Corp. |
| 10/11/11 | 0.19 | 75,000 | 74,984 |
Royal Bank of Canada |
| 11/23/11 | 0.30 | 95,000 | 94,934 |
Skandinaviska Enskilda Banken AB |
| 9/6/11 to 10/7/11 | 0.21 to 0.30 | 185,000 | 184,959 |
Societe Generale North America, Inc. |
| 9/1/11 | 0.28 | 70,000 | 70,000 |
Svenska Handelsbanken, Inc. |
| 10/28/11 | 0.22 | 160,000 | 159,944 |
Texas Instruments, Inc. |
| 12/6/11 to 12/12/11 | 0.20 | 20,000 | 19,989 |
Total Capital Canada Ltd. |
| 9/15/11 to 12/15/11 | 0.40 to 0.42 | 42,000 | 41,968 |
Verizon Communications, Inc. |
| 9/9/11 to 10/14/11 | 0.25 to 0.39 (d) | 80,000 | 79,999 |
Westpac Banking Corp. |
| 9/12/11 to 11/9/11 | 0.23 to 0.45 (d) | 329,000 | 328,971 |
Xerox Corp. |
| 9/8/11 to 9/16/11 | 0.50 to 0.55 | 56,000 | 55,992 |
TOTAL COMMERCIAL PAPER | 3,114,599 |
U.S. Government and Government Agency Obligations - 1.2% |
|
Other Government Related - 1.2% |
Straight-A Funding LLC (Liquidity Facility Federal Financing Bank) |
| 10/11/11 to 10/31/11 | 0.65 (c) | 187,000 | 186,805 |
Federal Agencies - 4.6% |
| | Yield (a) | Principal
Amount (000s) | Value (000s) |
|
Fannie Mae - 1.0% |
| 4/2/12 | 0.20% | $ 155,000 | $ 154,816 |
Federal Home Loan Bank - 3.6% |
| 9/15/11 to 8/30/12 | 0.16 to 0.41 (d) | 573,000 | 572,983 |
TOTAL FEDERAL AGENCIES | 727,799 |
U.S. Treasury Obligations - 5.7% |
|
U.S. Treasury Bills - 1.9% |
| 10/20/11 to 2/9/12 | 0.12 to 0.31 | 302,000 | 301,805 |
U.S. Treasury Notes - 3.8% |
| 9/30/11 to 2/29/12 | 0.20 to 0.35 | 593,000 | 594,519 |
TOTAL U.S. TREASURY OBLIGATIONS | 896,324 |
Medium-Term Notes - 6.5% |
|
Commonwealth Bank of Australia |
| 2/10/12 | 0.31 (b)(d) | 50,000 | 50,000 |
Metropolitan Life Insurance Co. |
| 11/29/11 | 0.58 (d)(h) | 45,000 | 45,000 |
Royal Bank of Canada |
| 8/31/12 to 9/14/12 | 0.30 to 0.67 (b)(d) | 351,000 | 351,000 |
| 9/5/12 | 0.27 (d) | 151,000 | 150,950 |
Westpac Banking Corp. |
| 4/2/12 to 6/14/12 | 0.28 to 0.32 (b)(d) | 426,000 | 426,000 |
TOTAL MEDIUM-TERM NOTES | 1,022,950 |
Municipal Securities- 2.2% |
| Yield (a) | Principal
Amount (000s) | | Value (000s) |
|
ABAG Fin. Auth. for Nonprofit Corps. Multi-family Hsg. Rev. (Miramar Apts. Proj.) Series 2000 A, LOC Fannie Mae, VRDN |
9/7/11 | 0.20% (d)(e) | $ 15,000 | | $ 15,000 |
ABAG Fin. Auth. for Nonprofit Corps. Multi-family Hsg. Rev. (Southport Apts. Proj.) Series 2002 A, LOC Fannie Mae, VRDN |
9/7/11 | 0.20 (d)(e) | 19,995 | | 19,995 |
Arizona Health Facilities Auth. Rev. (Catholic Healthcare West Proj.) Series 2008 A, LOC JPMorgan Chase Bank, VRDN |
9/7/11 | 0.16 (d) | 5,600 | | 5,600 |
Ascension Parish Indl. Dev. Board Rev. (IMTT-Geismar Proj.) Series 2007, LOC Fed. Home Ln. Bank Atlanta, VRDN |
9/7/11 | 0.17 (d) | 8,000 | | 8,000 |
Beaver County Indl. Dev. Auth. Poll. Cont. Rev. (FirstEnergy Nuclear Generation Corp. Proj.) Series 2006 B, LOC Citibank NA, VRDN |
9/7/11 | 0.15 (d) | 12,600 | | 12,600 |
California Hsg. Fin. Agcy. Rev. (Multifamily Hsg. Prog.) Series III 2001 E, (Liquidity Facility Fannie Mae) (Liquidity Facility Freddie Mac), VRDN |
9/7/11 | 0.15 (d)(e) | 26,615 | | 26,615 |
California Statewide Cmntys. Dev. Auth. Rev. (Motion Picture & Television Fund Proj.) Series 2001 A, LOC Northern Trust Co., VRDN |
9/7/11 | 0.18 (d) | 5,900 | | 5,900 |
El Dorado Irrigation District Rev. Ctfs. of Prtn. Series 2008 A, LOC Citibank NA, VRDN |
9/7/11 | 0.15 (d) | 9,195 | | 9,195 |
Hawaii State Hsg. Fin. & Dev. Corp. Rev. (Lokahi Kau Apts. Proj.) Series 2008, LOC Freddie Mac, VRDN |
9/7/11 | 0.19 (d) | 5,200 | | 5,200 |
Idaho Health Facilities Auth. Rev. (St. Luke's Health Sys. Proj.) Series 2009 A, LOC Wells Fargo Bank NA, VRDN |
9/7/11 | 0.17 (d) | 17,000 | | 17,000 |
Illinois Fin. Auth. Poll. Cont. Rev. (Commonwealth Edison Co. Proj.) Series 2008 F, LOC JPMorgan Chase Bank, VRDN |
9/7/11 | 0.16 (d) | 10,100 | | 10,100 |
Illinois Fin. Auth. Rev. (Chicago Symphony Orchestra Proj.) Series 2008, LOC U.S. Bank NA, Minnesota, VRDN |
9/7/11 | 0.18 (d) | 10,065 | | 10,065 |
Lake County Hosp. Facilities Rev. (Lake Hosp. Sys., Inc. Proj.) Series 2008 B, LOC JPMorgan Chase Bank, VRDN |
9/7/11 | 0.17 (d) | 14,000 | | 14,000 |
LP Pinewood SPV LLC Taxable, LOC Wells Fargo Bank NA, VRDN |
9/7/11 | 0.21 (d) | 25,000 | | 25,000 |
Municipal Securities - continued |
| Yield (a) | Principal
Amount (000s) | | Value (000s) |
Metropolitan Atlanta Rapid Transit Auth. Sales Tax Rev. Series 2000 B, LOC U.S. Bank NA, Minnesota, VRDN |
9/7/11 | 0.16% (d) | $ 9,000 | | $ 9,000 |
Milpitas Multiple-family Rev. (Crossing at Montague Proj.) Series A, LOC Fannie Mae, VRDN |
9/7/11 | 0.21 (d)(e) | 29,000 | | 29,000 |
Missouri Health & Edl. Facilities Auth. Edl. Facilities Rev. Participating VRDN Series Putters 3546, (Liquidity Facility JPMorgan Chase Bank) |
9/7/11 | 0.21 (d)(f) | 11,300 | | 11,300 |
New York Hsg. Fin. Agcy. Rev. (125 West 31st Street Proj.) Series 2005 A, LOC Fannie Mae, VRDN |
9/7/11 | 0.17 (d)(e) | 12,500 | | 12,500 |
New York Hsg. Fin. Agcy. Rev. (Clinton Green North Hsg. Proj.) Series 2005 A, LOC Freddie Mac, VRDN |
9/7/11 | 0.17 (d)(e) | 25,000 | | 25,000 |
New York Hsg. Fin. Agcy. Rev. (Clinton Green South Hsg. Proj.) Series 2005 A, LOC Freddie Mac, VRDN |
9/7/11 | 0.17 (d)(e) | 10,000 | | 10,000 |
New York Hsg. Fin. Agcy. Rev. (Tower 31 Hsg. Proj.) Series 2005 A, LOC Freddie Mac, VRDN |
9/7/11 | 0.17 (d)(e) | 19,000 | | 19,000 |
Pennsylvania Higher Edl. Facilities Auth. Rev. (Holy Family Univ. Proj.) Series 2008, LOC TD Banknorth, NA, VRDN |
9/7/11 | 0.21 (d) | 7,090 | | 7,090 |
Southern California Pub. Pwr. Auth. Rev. (Palo Verde Proj.) Series 2008 B, LOC Citibank NA, VRDN |
9/7/11 | 0.14 (d) | 5,300 | | 5,300 |
Virginia Small Bus. Fing. (Children's Hosp. of The King's Daughters, Inc. Proj.) Series 2006, LOC Bank of America NA, VRDN |
9/7/11 | 0.31 (d) | 16,000 | | 16,000 |
Washington Health Care Facilities Auth. Rev. (Children's Hosp. Reg'l. Med. Ctr. Proj.) Series 2008 B, LOC Bank of America NA, VRDN |
9/7/11 | 0.18 (d) | 17,010 | | 17,010 |
TOTAL MUNICIPAL SECURITIES | 345,470 |
Repurchase Agreements - 17.1% |
| Maturity Amount (000s) | | Value (000s) |
In a joint trading account at 0.08% dated 8/31/11 due 9/1/11 (Collateralized by U.S. Treasury Obligations) # | $ 959 | | $ 959 |
With: | | | |
Barclays Capital, Inc. at: | | | |
0.15%, dated 7/27/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $47,074,657, 0% - 5%, 10/15/19 - 8/20/41) | 46,017 | | 46,000 |
0.34%, dated: | | | |
8/25/11 due 9/1/11 (Collateralized by Equity Securities valued at $25,921,734) | 24,002 | | 24,000 |
8/26/11 due 9/2/11 (Collateralized by Equity Securities valued at $17,280,981) | 16,001 | | 16,000 |
8/30/11 due 9/6/11 (Collateralized by Equity Securities valued at $25,920,535) | 24,002 | | 24,000 |
0.4%, dated 8/5/11 due 9/6/11 (Collateralized by Mortgage Loan Obligations valued at $22,697,948, 0.4% - 6.63%, 8/25/21 - 12/20/54) | 21,007 | | 21,000 |
0.45%, dated 8/29/11 due 9/7/11 (Collateralized by Equity Securities valued at $25,920,975) | 24,009 | | 24,000 |
1%, dated: | | | |
9/9/10 due 9/8/11 (Collateralized by Mortgage Loan Obligations valued at $55,675,636, 0.25% - 7.49%, 3/15/28 - 11/25/54) | 52,526 | | 52,000 |
10/13/10 due 10/11/11 (Collateralized by Corporate Obligations valued at $37,862,558, 0.75% - 7.25%, 3/15/12 - 3/15/47) | 34,343 | | 34,000 |
8/8/11 due 10/7/11 (Collateralized by Mortgage Loan Obligations valued at $56,230,149, 0% - 7.15%, 3/15/19 - 12/20/54) | 53,088 | | 53,000 |
BNP Paribas Securities Corp. at 0.23%, dated 8/31/11 due 9/1/11 (Collateralized by Corporate Obligations valued at $52,500,336, 2.7% - 7.72%, 9/15/12 - 4/15/41) | 50,000 | | 50,000 |
Citigroup Global Markets, Inc. at 0.32%, dated 8/31/11 due 9/1/11 (Collateralized by U.S. Government Obligations valued at $91,670,815, 4% - 6.58%, 4/25/37 - 8/25/41) | 89,001 | | 89,000 |
Credit Suisse Securities (USA) LLC at: | | | |
0.34%, dated 7/14/11 due 9/7/11 (Collateralized by Equity Securities valued at $55,107,067) | 51,043 | | 51,000 |
0.65%, dated 8/1/11 due 9/7/11 (Collateralized by Equity Securities valued at $56,193,421) | 52,039 | | 52,000 |
Deutsche Bank Securities, Inc. at: | | | |
0.19%, dated 8/17/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $49,162,079, 3.5% - 7%, 2/1/39 - 9/20/40) | 48,030 | | 48,000 |
Repurchase Agreements - continued |
| Maturity Amount (000s) | | Value (000s) |
With: - continued | | | |
0.23%, dated 8/3/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $49,435,182, 0.43% - 7%, 2/15/19 - 5/20/59) | $ 48,028 | | $ 48,000 |
Goldman Sachs & Co. at: | | | |
0.2%, dated 8/31/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $108,120,601, 4.5% - 5.0%, 2/1/29 - 6/1/41) | 106,004 | | 106,000 |
0.23%, dated 8/26/11 due 9/2/11 (Collateralized by U.S. Government Obligations valued at $40,801,565, 4.5%, 8/1/31) | 40,002 | | 40,000 |
ING Financial Markets LLC at: | | | |
0.17%, dated: | | | |
8/9/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $24,723,472, 5% - 6%, 3/15/34 - 2/15/35) | 24,010 | | 24,000 |
8/10/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $17,345,209, 2.83% - 6.03%, 9/30/16 - 10/1/36) | 17,004 | | 17,000 |
0.18%, dated 8/11/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $29,584,680, 5.03% - 5.27%, 4/1/38 - 8/1/38) | 29,012 | | 29,000 |
0.23%, dated: | | | |
8/4/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $25,755,649, 0.5% - 0.67%, 12/25/33 - 6/25/37) | 25,029 | | 25,000 |
8/18/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $48,966,661, 2.37% - 6.16%, 5/1/32 - 7/1/37) | 48,051 | | 48,000 |
0.3%, dated 8/8/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $26,256,179, 5% - 5.9%, 2/15/15 - 1/9/17) | 25,006 | | 25,000 |
0.32%, dated 8/19/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $74,561,252, 4.65% - 7.13%, 2/15/13 - 10/1/46) | 71,018 | | 71,000 |
J.P. Morgan Clearing Corp. at: | | | |
0.29%, dated 8/31/11 due 9/1/11 (Collateralized by Equity Securities valued at $19,565,385) | 18,000 | | 18,000 |
0.5%, dated 7/25/11 due 10/24/11 (Collateralized by Equity Securities valued at $96,790,189) | 89,112 | | 89,000 |
0.52%, dated 8/31/11 due 9/1/11 (Collateralized by Equity Securities valued at $263,048,020) | 242,003 | | 242,000 |
0.65%, dated 4/26/11 due 10/24/11 (Collateralized by Equity Securities valued at $18,520,978) | 17,056 | | 17,000 |
0.69%, dated 7/27/11 due 1/23/12 (Collateralized by Equity Securities valued at $77,227,740) | 71,245 | | 71,000 |
Repurchase Agreements - continued |
| Maturity Amount (000s) | | Value (000s) |
With: - continued | | | |
0.72%, dated 3/7/11 due 9/1/11 (Collateralized by Equity Securities valued at $76,357,850) | $ 70,249 | | $ 70,000 |
J.P. Morgan Securities, Inc. at: | | | |
0.13%, dated 8/31/11 due 9/1/11 (Collateralized by U.S. Government Obligations valued at $161,162,802, 4% - 6%, 3/1/26 - 6/1/41) | 158,001 | | 158,000 |
0.59%, dated 8/31/11 due 9/1/11 (Collateralized by Corporate Obligations valued at $108,002,064, 0.34% - 9.5%, 4/15/15 - 11/25/51) | 100,002 | | 100,000 |
0.73%, dated 4/1/11 due 9/28/11 (Collateralized by Corporate Obligations valued at $26,802,425, 0.4% - 7.27%, 2/27/12 - 12/26/50) | 25,091 | | 25,000 |
Merrill Lynch, Pierce, Fenner & Smith at: | | | |
0.67%, dated 11/19/10 due 10/5/11 (Collateralized by Equity Securities valued at $32,400,618) (d)(g) | 30,203 | | 30,000 |
0.77%, dated 10/28/10 due 10/5/11 (Collateralized by Corporate Obligations valued at $90,721,941, 0% - 33.53%, 11/6/14 - 7/25/51) (d)(g) | 84,654 | | 84,000 |
Mizuho Securities USA, Inc. at: | | | |
0.25%, dated 8/31/11 due 9/1/11 (Collateralized by U.S. Government Obligations valued at $70,877,305, 0% - 51.57%, 8/23/12 - 9/25/41) | 69,000 | | 69,000 |
0.26%, dated 8/31/11 due 9/1/11 (Collateralized by Equity Securities valued at $58,320,428) | 54,000 | | 54,000 |
0.37%, dated 8/31/11 due 9/1/11 (Collateralized by U.S. Government Obligations valued at $50,470,519, 5.87% - 6.93%, 12/16/30 - 6/20/41) | 49,001 | | 49,000 |
0.38%, dated: | | | |
8/8/11 due 9/7/11 (Collateralized by Equity Securities valued at $38,889,854) | 36,011 | | 36,000 |
8/18/11 due 9/7/11 (Collateralized by Equity Securities valued at $31,324,681) | 29,006 | | 29,000 |
0.39%, dated: | | | |
8/8/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $30,469,724, 3.5%, 4/15/12) | 29,010 | | 29,000 |
8/17/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $24,156,005, 3.5% - 5.25%, 4/15/12 - 3/15/14) | 23,007 | | 23,000 |
0.4%, dated 8/15/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $30,471,868, 3.5%, 4/15/12) | 29,010 | | 29,000 |
0.41%, dated 8/29/11 due 9/7/11 (Collateralized by Equity Securities valued at $38,881,334) | 36,012 | | 36,000 |
Repurchase Agreements - continued |
| Maturity Amount (000s) | | Value (000s) |
With: - continued | | | |
Morgan Stanley & Co., Inc. at 0.19%, dated 8/12/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $58,266,049, 4% - 7%, 9/1/18 - 11/1/47) | $ 57,015 | | $ 57,000 |
RBC Capital Markets Co. at: | | | |
0.41%, dated 8/5/11 due 9/2/11 (Collateralized by Corporate Obligations valued at $20,440,809, 0% - 7.67%, 5/15/14 - 7/1/47) | 19,006 | | 19,000 |
0.42%, dated 8/26/11 due 9/7/11 (Collateralized by Mortgage Loan Obligations valued at $29,661,555, 5.5% - 6.5%, 6/25/37 - 6/25/46) | 27,010 | | 27,000 |
RBC Capital Markets Corp. at: | | | |
0.16%, dated 8/26/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $29,891,197, 0.59% - 5.5%, 7/25/21 - 7/15/39) | 29,016 | | 29,000 |
0.17%, dated 7/28/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $17,387,497, 2.61% - 6%, 11/1/13 - 7/1/36) | 17,008 | | 17,000 |
RBS Securities, Inc. at 0.57%, dated 8/26/11 due 9/2/11 (Collateralized by Corporate Obligations valued at $118,772,397, 0.49% - 5.9%, 9/23/11 - 2/25/45) | 113,013 | | 113,000 |
Royal Bank of Scotland PLC at 0.57%, dated 8/26/11 due 9/2/11 (Collateralized by Corporate Obligations valued at $58,171,440, 7.25% - 11.5%, 12/16/13 - 12/1/20) | 54,006 | | 54,000 |
UBS Securities LLC at: | | | |
0.38%, dated: | | | |
6/14/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $21,618,013, 3.25% - 6.88%, 10/31/13 - 12/15/25) | 20,019 | | 20,000 |
7/7/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $18,161,813, 1.75% - 3.13%, 12/1/11 - 3/30/23) | 17,016 | | 17,000 |
0.42%, dated: | | | |
8/24/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $14,701,372, 2.9% - 5.7%, 4/24/15 - 12/15/36) | 14,015 | | 14,000 |
8/25/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $19,441,588, 5.75% - 7.88%, 2/1/14 - 2/15/21) | 18,019 | | 18,000 |
Repurchase Agreements - continued |
| Maturity Amount (000s) | | Value (000s) |
With: - continued | | | |
Wells Fargo Securities, LLC at: | | | |
0.2%, dated 4/20/11 due 9/7/11 (Collateralized by U.S. Government Obligations valued at $23,654,659, 4.5%, 7/1/41) | $ 23,023 | | $ 23,000 |
0.35%, dated 7/11/11 due 9/7/11 (Collateralized by Corporate Obligations valued at $19,024,799, 2% - 7.6%, 10/7/11 - 3/15/41) | 18,016 | | 18,000 |
TOTAL REPURCHASE AGREEMENTS | 2,701,959 |
TOTAL INVESTMENT PORTFOLIO - 105.0% (Cost $16,584,906) | 16,584,906 |
NET OTHER ASSETS (LIABILITIES) - (5.0)% | (793,152) |
NET ASSETS - 100% | $ 15,791,754 |
Security Type Abbreviations |
VRDN | - | VARIABLE RATE DEMAND NOTE (A debt instrument that is payable upon demand, either daily, weekly or monthly) |
Legend |
(a) Yield represents either the annualized yield at the date of purchase, or the stated coupon rate, or, for floating and adjustable rate securities, the rate at period end. |
(b) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At the end of the period, the value of these securities amounted to $1,146,855,000 or 7.3% of net assets. |
(c) The Federal Financing Bank, an instrumentality of the U.S. Government acting under the supervision of the Secretary of the Treasury (FFB), has entered into a Liquidity Loan Agreement with Straight-A Funding LLC (Issuer), pursuant to which the FFB has committed, subject to certain conditions, to provide financing to the Issuer to cover any payment deficiencies in respect of notes on their legal final maturity dates. At the end of the period, these securities amounted to $186,805,000, or 1.2% of net assets. |
(d) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end. |
(e) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals. |
(f) Provides evidence of ownership in one or more underlying municipal bonds. |
(g) The maturity amount is based on the rate at period end. |
(h) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $45,000,000 or 0.3% of net assets. |
Additional information on each restricted holding is as follows: |
Security | Acquisition Date | Cost
(000s) |
Metropolitan Life Insurance Co. 0.58%, 11/29/11 | 3/26/02 | $ 45,000 |
# Additional information on each counterparty to the repurchase agreement is as follows: |
Repurchase Agreement / Counterparty | Value
(Amounts in thousands) |
$959,000 due 9/01/11 at 0.08% |
BNP Paribas Securities Corp. | $ 101 |
Bank of America NA | 268 |
Citibank NA | 7 |
Citigroup Global Markets, Inc. | 54 |
Credit Agricole Securities (USA), Inc. | 27 |
Deutsche Bank Securities, Inc. | 101 |
ING Financial Markets LLC | 22 |
J.P. Morgan Securities, Inc. | 83 |
Merrill Lynch, Pierce, Fenner & Smith, Inc. | 64 |
RBC Capital Markets Corp. | 54 |
RBS Securities, Inc. | 13 |
Societe Generale | 54 |
UBS Securities LLC | 40 |
Wells Fargo Securities LLC | 71 |
| $ 959 |
Other Information |
The date shown for securities represents the date when principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets. |
All investments are categorized as Level 2 under the Fair Value Hierarchy. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, please refer to the Security Valuation section in the accompanying Notes to Financial Statements. |
Income Tax Information |
At August 31, 2011, the Fund had a capital loss carryforward of approximately $67,000 all of which will expire in fiscal 2019. Capital loss carryforwards are only available to offset future capital gains of the Fund to the extent provided by regulations and may be limited. |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Assets and Liabilities
Amounts in thousands (except per-share amount) | August 31, 2011 |
| | |
Assets | | |
Investment in securities, at value (including repurchase agreements of $2,701,959) - See accompanying schedule: Unaffiliated issuers (cost $16,584,906) | | $ 16,584,906 |
Cash | | 3 |
Receivable for fund shares sold | | 25,542 |
Interest receivable | | 7,592 |
Other receivables | | 304 |
Total assets | | 16,618,347 |
| | |
Liabilities | | |
Payable for investments purchased | $ 775,977 | |
Payable for fund shares redeemed | 46,148 | |
Accrued management fee | 4,161 | |
Other affiliated payables | 2 | |
Other payables and accrued expenses | 305 | |
Total liabilities | | 826,593 |
| | |
Net Assets | | $ 15,791,754 |
Net Assets consist of: | | |
Paid in capital | | $ 15,792,146 |
Distributions in excess of net investment income | | (325) |
Accumulated undistributed net realized gain (loss) on investments | | (67) |
Net Assets, for 15,790,729 shares outstanding | | $ 15,791,754 |
Net Asset Value, offering price and redemption price per share ($15,791,754 ÷ 15,790,729 shares) | | $ 1.00 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Statements - continued
Statement of Operations
Amounts in thousands | Year ended August 31, 2011 |
| | |
Investment Income | | |
Interest | | $ 60,421 |
| | |
Expenses | | |
Management fee | $ 66,344 | |
Independent trustees' compensation | 59 | |
Interest | 5 | |
Total expenses before reductions | 66,408 | |
Expense reductions | (7,645) | 58,763 |
Net investment income (loss) | | 1,658 |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | | |
Investment securities: | | |
Unaffiliated issuers | | 86 |
Net increase in net assets resulting from operations | | $ 1,744 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Statement of Changes in Net Assets
Amounts in thousands | Year ended
August 31,
2011 | Year ended
August 31,
2010 |
Increase (Decrease) in Net Assets | | |
Operations | | |
Net investment income (loss) | $ 1,658 | $ 9,934 |
Net realized gain (loss) | 86 | 119 |
Net increase in net assets resulting
from operations | 1,744 | 10,053 |
Distributions to shareholders from net investment income | (1,656) | (9,930) |
Distributions to shareholders from net realized gain | (486) | (2,284) |
Total distributions | (2,142) | (12,214) |
Share transactions at net asset value of $1.00 per share
Proceeds from sales of shares | 10,221,821 | 8,813,994 |
Reinvestment of distributions | 2,142 | 12,205 |
Cost of shares redeemed | (11,146,673) | (10,156,351) |
Net increase (decrease) in net assets and shares resulting from share transactions | (922,710) | (1,330,152) |
Total increase (decrease) in net assets | (923,108) | (1,332,313) |
| | |
Net Assets | | |
Beginning of period | 16,714,862 | 18,047,175 |
End of period (including distributions in excess of net investment income of $325 and $0, respectively) | $ 15,791,754 | $ 16,714,862 |
See accompanying notes which are an integral part of the financial statements.
Annual Report
Financial Highlights
Years ended August 31, | 2011 | 2010 | 2009 | 2008 | 2007 |
Selected Per-Share Data | | | | | |
Net asset value, beginning of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Income from Investment Operations | | | | | |
Net investment income (loss) | -C | .001 | .015 | .037 | .050 |
Net realized and unrealized gain (loss)C | - | - | - | - | - |
Total from investment operations | -C | .001 | .015 | .037 | .050 |
Distributions from net investment income | -C | (.001) | (.015) | (.037) | (.050) |
Distributions from net realized gain | -C | -C | - | - | - |
Total distributions | -C | (.001) | (.015) | (.037) | (.050) |
Net asset value, end of period | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 | $ 1.00 |
Total ReturnA | .01% | .07% | 1.46% | 3.72% | 5.15% |
Ratios to Average Net AssetsB | | | | | |
Expenses before reductions | .42% | .42% | .45% | .42% | .42% |
Expenses net of fee waivers, if any | .37% | .42% | .45% | .42% | .42% |
Expenses net of all reductions | .37% | .42% | .45% | .40% | .39% |
Net investment income (loss) | .01% | .06% | 1.43% | 3.66% | 5.03% |
Supplemental Data | | | | | |
Net assets, end of period (in millions) | $ 15,792 | $ 16,715 | $ 18,047 | $ 16,290 | $ 16,057 |
A Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
B Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
C Amount represents less than $.001 per share.
See accompanying notes which are an integral part of the financial statements.
Annual Report
Notes to Financial Statements
For the period ended August 31, 2011
(Amounts in thousands except ratios)
1. Organization.
Retirement Money Market Portfolio (the Fund) is a fund of Fidelity Money Market Trust (the Trust) and is authorized to issue an unlimited number of shares. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Delaware statutory trust.
2. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Security Valuation. The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
Level 1 - quoted prices in active markets for identical investments
Level 2 - other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
Level 3 - unobservable inputs (including the Fund's own assumptions based on the best information available)
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities are valued at amortized cost, which approximates fair value, and are categorized as Level 2 in the hierarchy.
Investment Transactions and Income. The net asset value per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
2. Significant Accounting Policies - continued
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), independent Trustees may elect to defer receipt of a portion of their annual compensation. Deferred amounts are invested in a cross-section of Fidelity funds, are marked-to-market and remain in the Fund until distributed in accordance with the Plan. The investment of deferred amounts and the offsetting payable to the Trustees are included in the accompanying Statement of Assets and Liabilities.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company, including distributing substantially all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code and filing its U.S. federal tax return. As a result, no provision for income taxes is required. As of August 31, 2011, the Fund did not have any unrecognized tax benefits in the financial statements. A fund's federal tax return is subject to examination by the Internal Revenue Service (IRS) for a period of three years.
Dividends are declared and recorded daily and paid monthly from net investment income. Distributions from realized gains, if any, are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to deferred trustees compensation, capital loss carryforwards and losses deferred due to excise tax regulations.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
Gross unrealized appreciation | $ - |
Gross unrealized depreciation | - |
Net unrealized appreciation (depreciation) on securities and other investments | $ - |
| |
Tax Cost | $ 16,584,906 |
The tax-based components of distributable earnings as of period end were as follows:
Capital loss carryforward | $ (67) |
Net unrealized appreciation (depreciation) | $ - |
Annual Report
2. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Under the recently enacted Regulated Investment Company Modernization Act of 2010 (the Act), the Fund will be permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period. However, any losses incurred during those future taxable years will be required to be utilized prior to any losses incurred in pre-enactment taxable years, which generally expire after eight years from when they are incurred. Additionally, post-enactment capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term as under previous law. The Fund's first fiscal year end subject to the Act will be August 31, 2012.
The tax character of distributions paid was as follows:
| August 31, 2011 | August 31, 2010 |
Ordinary Income | $ 2,142 | $ 12,214 |
3. Operating Policies.
Repurchase Agreements. Fidelity Management & Research Company (FMR) has received an Exemptive Order from the Securities and Exchange Commission (the SEC) which permits the Fund and other affiliated entities of FMR to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The Fund may also invest directly with institutions in repurchase agreements. Repurchase agreements are collateralized by government or non-government securities. Upon settlement date, collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The Fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
Reverse Repurchase Agreements. To enhance its yield, the Fund may enter into reverse repurchase agreements whereby the Fund transfers securities to a counterparty who then agrees to transfer them back to the Fund at a future date and agreed upon price, reflecting a rate of interest below market rate. Securities sold under a reverse repurchase agreement, if any, are recorded as a liability in the accompanying Statement of Assets and Liabilities. The Fund receives cash proceeds, which are invested in other securities, and agrees to repay the proceeds plus any accrued interest in return for the same securities transferred. The Fund continues to receive interest payments on the transferred securities during the term of the reverse repurchase agreement. During the period that a reverse repurchase agreement is outstanding, the Fund identifies cash and
Annual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
3. Operating Policies - continued
Reverse Repurchase Agreements - continued
liquid securities as segregated in its custodian records with a value at least equal to its obligation under the agreement. If the counterparty defaults on its obligation, because of insolvency or other reasons, the Fund could experience delays and costs in recovering the security or in gaining access to the collateral. The average daily balance during the period for which reverse repurchase agreements were outstanding subject to interest amounted to $73,201. The weighted average interest rate was .04% on such amounts. At period end, there were no reverse repurchase agreements outstanding.
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
4. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee that is based on an annual rate of .42% of the Fund's average net assets. FMR pays all other expenses, except the compensation of the independent Trustees and certain exceptions such as interest expense. The management fee paid to FMR by the Fund is reduced by an amount equal to the fees and expenses paid by the Fund to the independent Trustees.
5. Expense Reductions.
FMR or its affiliates voluntarily agreed to waive certain fees in order to maintain a minimum annualized yield of .01%. Such arrangements may be discontinued by FMR at any time. For the period, the amount of the waiver was $7,645.
6. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
Annual Report
To the Trustees of Fidelity Money Market Trust and the Shareholders of Retirement Money Market Portfolio:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Retirement Money Market Portfolio (a fund of Fidelity Money Market Trust) at August 31, 2011, 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 five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Retirement Money Market Portfolio's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at August 31, 2011 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
October 10, 2011
Annual Report
The Trustees and executive officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, oversee management of the risks associated with such activities and contractual arrangements, and review the fund's performance. Except for James C. Curvey, each of the Trustees oversees 203 funds advised by FMR or an affiliate. Mr. James C. Curvey oversees 424 funds advised by FMR or an affiliate. The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) (Independent Trustee), shall retire not later than the last day of the calendar year in which his or her 75th birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. The executive officers hold office without limit in time, except that any officer may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
Experience, Skills, Attributes, and Qualifications of the Fund's Trustees. The Governance and Nominating Committee has adopted a statement of policy that describes the experience, qualifications, attributes, and skills that are necessary and desirable for potential Independent Trustee candidates (Statement of Policy). The Board believes that each Trustee satisfied at the time he or she was initially elected or appointed a Trustee, and continues to satisfy, the standards contemplated by the Statement of Policy. The Governance and Nominating Committee also engages professional search firms to help identify potential Independent Trustee candidates who have the experience, qualifications, attributes, and skills consistent with the Statement of Policy. From time to time, additional criteria based on the composition and skills of the current Independent Trustees, as well as experience or skills that may be appropriate in light of future changes to board composition, business conditions, and regulatory or other developments, have also been considered by the professional search firms and the Governance and Nominating Committee. In addition, the Board takes into account the Trustees' commitment and participation in Board and committee meetings, as well as their leadership of standing and ad hoc committees throughout their tenure. In determining that a particular Trustee was and continues to be qualified to serve as a Trustee, the Board has considered a variety of criteria, none of which, in isolation, was controlling. The Board believes that, collectively, the Trustees have balanced and diverse experience, qualifications, attributes, and skills, which allow the Board to operate effectively in governing the fund and protecting the interests of shareholders. Information about the specific experience, skills, attributes, and qualifications of each Trustee, which in each case led to the Board's conclusion that the Trustee should serve (or continue to serve) as a trustee of the funds, is provided below.
Annual Report
Board Structure and Oversight Function. Abigail P. Johnson is an interested person (as defined in the 1940 Act) and currently serves as Chairman. The Trustees have determined that an interested Chairman is appropriate and benefits shareholders because an interested Chairman has a personal and professional stake in the quality and continuity of services provided to the fund. Independent Trustees exercise their informed business judgment to appoint an individual of their choosing to serve as Chairman, regardless of whether the Trustee happens to be independent or a member of management. The Independent Trustees have determined that they can act independently and effectively without having an Independent Trustee serve as Chairman and that a key structural component for assuring that they are in a position to do so is for the Independent Trustees to constitute a substantial majority for the Board. The Independent Trustees also regularly meet in executive session. Kenneth L. Wolfe serves as Chairman of the Independent Trustees and as such (i) acts as a liaison between the Independent Trustees and management with respect to matters important to the Independent Trustees and (ii) with management prepares agendas for Board meetings.
Fidelity funds are overseen by different Boards of Trustees. The fund's Board oversees Fidelity's investment-grade bond, money market, and asset allocation funds and another Board oversees Fidelity's equity and high income funds. The asset allocation funds may invest in Fidelity funds that are overseen by such other Board. The use of separate Boards, each with its own committee structure, allows the Trustees of each group of Fidelity funds to focus on the unique issues of the funds they oversee, including common research, investment, and operational issues. On occasion, the separate Boards establish joint committees to address issues of overlapping consequences for the Fidelity funds overseen by each Board.
The Trustees operate using a system of committees to facilitate the timely and efficient consideration of all matters of importance to the Trustees, the fund, and fund shareholders and to facilitate compliance with legal and regulatory requirements and oversight of the fund's activities and associated risks. The Board, acting through its committees, has charged FMR and its affiliates with (i) identifying events or circumstances the occurrence of which could have demonstrably adverse effects on the fund's business and/or reputation; (ii) implementing processes and controls to lessen the possibility that such events or circumstances occur or to mitigate the effects of such events or circumstances if they do occur; and (iii) creating and maintaining a system designed to evaluate continuously business and market conditions in order to facilitate the identification and implementation processes described in (i) and (ii) above. Because the day-to-day operations and activities of the fund are carried out by or through FMR, its affiliates and other service providers, the fund's exposure to risks is mitigated but not eliminated by the processes overseen by the Trustees. While each of the Board's committees has responsibility for overseeing different aspects of the fund's activities, oversight is exercised primarily through the Operations and Audit Committees. In addition, an ad hoc Board committee of Independent Trustees has worked with FMR to enhance the Board's oversight of investment and financial risks, legal and regulatory risks, technology risks, and operational risks, including the development of additional risk reporting to the Board. The Operations Committee also has worked and continues to work with FMR to enhance the stress tests required under SEC regulations for money market funds. Appropriate personnel, including but not limited to the fund's Chief Compliance Officer (CCO), FMR's internal auditor, the independent accountants, the fund's Treasurer and portfolio management personnel, make periodic reports to the Board's committees, as appropriate, including an annual review of FMR's risk management program for the Fidelity funds. The responsibilities of each standing committee, including their oversight responsibilities, are described further under "Standing Committees of the Fund's Trustees."
The fund's Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-800-544-8544.
Annual Report
Trustees and Officers - continued
Interested Trustees*:
Correspondence intended for each Trustee who is an interested person may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupations and Other Relevant Experience+ |
Abigail P. Johnson (49) |
| Year of Election or Appointment: 2009 Ms. Johnson is Trustee and Chairman of the Board of Trustees of certain Trusts. Ms. Johnson serves as President of Personal, Workplace and Institutional Services (2005-present). Ms. Johnson is Chairman and Director of FMR Co., Inc. (2011-present), Chairman and Director of FMR (2011-present), and the Vice Chairman and Director (2007-present) of FMR LLC. Previously, Ms. Johnson served as President and a Director of FMR (2001-2005), a Trustee of other investment companies advised by FMR, Fidelity Investments Money Management, Inc., and FMR Co., Inc. (2001-2005), Senior Vice President of the Fidelity funds (2001-2005), and managed a number of Fidelity funds. Ms. Abigail P. Johnson and Mr. Arthur E. Johnson are not related. |
James C. Curvey (76) |
| Year of Election or Appointment: 2007 Mr. Curvey also serves as Trustee (2007-present) of other investment companies advised by FMR. Mr. Curvey is a Director of Fidelity Investments Money Management, Inc. (2009-present), Director of Fidelity Research & Analysis Co. (2009-present) and Director of FMR and FMR Co., Inc. (2007-present). Mr. Curvey is also Vice Chairman (2007-present) and Director of FMR LLC. In addition, Mr. Curvey serves as an Overseer for the Boston Symphony Orchestra and a member of the Trustees of Villanova University. Previously, Mr. Curvey was the Vice Chairman (2006-2007) and Director (2000-2007) of FMR Corp. |
* Trustees have been determined to be "Interested Trustees" by virtue of, among other things, their affiliation with the trust or various entities under common control with FMR.
+ The information above includes each Trustee's principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to each Trustee's qualifications to serve as a Trustee, which led to the conclusion that each Trustee should serve as a Trustee for the fund.
Independent Trustees:
Correspondence intended for each Independent Trustee (that is, the Trustees other than the Interested Trustees) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Age; Principal Occupations and Other Relevant Experience+ |
Albert R. Gamper, Jr. (69) |
| Year of Election or Appointment: 2006 Mr. Gamper is Vice Chairman of the Independent Trustees of the Fixed Income and Asset Allocation Funds (2011-present). Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (2002-2003). He also served as President and Chief Executive Officer of Tyco Capital Corporation (2001-2002). Mr. Gamper currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities, 2000-present), a member of the Board of Trustees, Rutgers University (2004-present), and Chairman of the Board of Saint Barnabas Health Care System. Previously, Mr. Gamper served as Chairman of the Board of Governors, Rutgers University (2004-2007). |
Robert F. Gartland (59) |
| Year of Election or Appointment: 2010 Mr. Gartland is a partner and investor of Vietnam Partners LLC (investments and consulting, 2008-present) and is Chairman and an investor in Gartland and Mellina Group Corp. (consulting, 2009-present). Prior to his retirement, Mr. Gartland held a variety of positions at Morgan Stanley (financial services, 1979-2007) including Managing Director (1987-2007). |
Arthur E. Johnson (64) |
| Year of Election or Appointment: 2008 Mr. Johnson serves as a member of the Board of Directors of Eaton Corporation (diversified power management, 2009-present) and AGL Resources, Inc. (holding company). Prior to his retirement, Mr. Johnson served as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor, 1999-2009). He previously served on the Board of Directors of IKON Office Solutions, Inc. (1999-2008) and Delta Airlines (2005-2007). Mr. Arthur E. Johnson is not related to Mr. Edward C. Johnson 3d or Ms. Abigail P. Johnson. |
Michael E. Kenneally (57) |
| Year of Election or Appointment: 2009 Previously, Mr. Kenneally served as a Member of the Advisory Board for certain Fidelity Fixed Income and Asset Allocation Funds (2008-2009). Prior to his retirement, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management (2003-2005). Mr. Kenneally was a Director of the Credit Suisse Funds (U.S. mutual funds, 2004-2008) and certain other closed-end funds (2004-2005) and was awarded the Chartered Financial Analyst (CFA) designation in 1991. |
James H. Keyes (70) |
| Year of Election or Appointment: 2007 Mr. Keyes serves as a member of the Boards of Navistar International Corporation (manufacture and sale of trucks, buses, and diesel engines, since 2002) and Pitney Bowes, Inc. (integrated mail, messaging, and document management solutions, since 1998). Prior to his retirement, Mr. Keyes served as Chairman and Chief Executive Officer of Johnson Controls (automotive, building, and energy, 1998-2002) and as a member of the Board of LSI Logic Corporation (semiconductor technologies, 1984-2008). |
Marie L. Knowles (64) |
| Year of Election or Appointment: 2001 Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company. She served as a Director of ARCO from 1996 to 1998. Ms. Knowles currently serves as a Director and Chairman of the Audit Committee of McKesson Corporation (healthcare service, since 2002). Ms. Knowles is an Honorary Trustee of the Brookings Institution and a member of the Board of the Catalina Island Conservancy and of the Santa Catalina Island Company (2009-present). She also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California and the Foundation Board of the School of Architecture at the University of Virginia (2007-present). Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007). |
Kenneth L. Wolfe (72) |
| Year of Election or Appointment: 2005 Mr. Wolfe is Chairman of the Independent Trustees of the Fixed Income and Asset Allocation Funds (2008-present). Prior to his retirement, Mr. Wolfe served as Chairman and a Director (2007-2009) and Chairman and Chief Executive Officer (1994-2001) of Hershey Foods Corporation. He also served as a member of the Boards of Adelphia Communications Corporation (telecommunications, 2003-2006), Bausch & Lomb, Inc. (medical/pharmaceutical, 1993-2007), and Revlon, Inc. (personal care products, 2004-2009). |
+ The information above includes each Trustee's principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to each Trustee's qualifications to serve as a Trustee, which led to the conclusion that each Trustee should serve as a Trustee for the fund.
Annual Report
Trustees and Officers - continued
Executive Officers:
Correspondence intended for each executive officer may be sent to Fidelity Investments, 82 Devonshire Street, Boston, Massachusetts 02109.
Name, Age; Principal Occupation |
John R. Hebble (53) |
| Year of Election or Appointment: 2008 President and Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Hebble also serves as President (2011-present), Treasurer, and Chief Financial Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present), Assistant Treasurer of other Fidelity funds (2009-present) and is an employee of Fidelity Investments. |
Robert P. Brown (47) |
| Year of Election or Appointment: 2010 Vice President of Fidelity's Money Market Funds and Executive Vice President of Fidelity Investments Money Management, Inc. (2010-present). Mr. Brown also serves as President, Money Market Group of FMR (2010-present), Managing Director of Research, Director of Fidelity Management & Research (U.K.) Inc. (2008-present) and is an employee of Fidelity Investments. |
Scott C. Goebel (43) |
| Year of Election or Appointment: 2008 Secretary and Chief Legal Officer (CLO) of the Fidelity funds. Mr. Goebel also serves as Secretary of Fidelity Investments Money Management, Inc. (FIMM) (2010-present) and Fidelity Research and Analysis Company (FRAC) (2010-present); Secretary and CLO of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present); General Counsel, Secretary, and Senior Vice President of FMR (2008-present) and FMR Co., Inc. (2008-present); employed by FMR LLC or an affiliate (2001-present); Chief Legal Officer of Fidelity Management & Research (Hong Kong) Limited (2008-present) and Assistant Secretary of Fidelity Management & Research (Japan) Inc. (2008-present), and Fidelity Management & Research (U.K.) Inc. (2008-present). Previously, Mr. Goebel served as Assistant Secretary of FIMM (2008-2010), FRAC (2008-2010), and the Funds (2007-2008) and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007). |
David J. Carter (38) |
| Year of Election or Appointment: 2010 Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Carter also serves as Vice President, Associate General Counsel (2010-present) and is an employee of Fidelity Investments (2005-present). |
Holly C. Laurent (57) |
| Year of Election or Appointment: 2008 Anti-Money Laundering (AML) Officer of the Fidelity funds. Ms. Laurent also serves as AML Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present) and is an employee of Fidelity Investments. Previously, Ms. Laurent was Senior Vice President and Head of Legal for Fidelity Business Services India Pvt. Ltd. (2006-2008), and Senior Vice President, Deputy General Counsel and Group Head for FMR LLC (2005-2006). |
Christine Reynolds (52) |
| Year of Election or Appointment: 2008 Chief Financial Officer of the Fidelity funds. Ms. Reynolds became President of Fidelity Pricing and Cash Management Services (FPCMS) in August 2008. Ms. Reynolds served as Chief Operating Officer of FPCMS (2007-2008). Previously, Ms. Reynolds served as President, Treasurer, and Anti-Money Laundering officer of the Fidelity funds (2004-2007). |
Michael H. Whitaker (44) |
| Year of Election or Appointment: 2008 Chief Compliance Officer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Whitaker also serves as Chief Compliance Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2008-present). Mr. Whitaker is an employee of Fidelity Investments (2007-present). Prior to joining Fidelity Investments, Mr. Whitaker worked at MFS Investment Management where he served as Senior Vice President and Chief Compliance Officer (2004-2006), and Assistant General Counsel. |
Jeffrey S. Christian (49) |
| Year of Election or Appointment: 2009 Deputy Treasurer of the Fidelity funds. Mr. Christian is an employee of Fidelity Investments. Previously, Mr. Christian served as Chief Financial Officer (2008-2009) of certain Fidelity funds and Senior Vice President of Fidelity Pricing and Cash Management Services (FPCMS) (2004-2009). |
Bryan A. Mehrmann (50) |
| Year of Election or Appointment: 2005 Deputy Treasurer of the Fidelity funds. Mr. Mehrmann is an employee of Fidelity Investments. |
Stephanie J. Dorsey (42) |
| Year of Election or Appointment: 2008 Deputy Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Ms. Dorsey also serves as Assistant Treasurer of other Fidelity funds (2010-present) and is an employee of Fidelity Investments (2008-present). Previously, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Vice President (2004-2008) of JPMorgan Chase Bank. |
Adrien E. Deberghes (44) |
| Year of Election or Appointment: 2010 Assistant Treasurer of Fidelity's Fixed Income and Asset Allocation Funds. Mr. Deberghes also serves as Vice President and Assistant Treasurer of Fidelity Rutland Square Trust II and Fidelity Commonwealth Trust II (2011-present), Deputy Treasurer of other Fidelity funds (2008-present), and is an employee of Fidelity Investments (2008-present). Previously, Mr. Deberghes served as Senior Vice President of Mutual Fund Administration at State Street Corporation (2007-2008), Senior Director of Mutual Fund Administration at Investors Bank & Trust (2005-2007), and Director of Finance for Dunkin' Brands (2000-2005). |
Kenneth B. Robins (42) |
| Year of Election or Appointment: 2009 Assistant Treasurer of the Fidelity Fixed Income and Asset Allocation Funds. Mr. Robins also serves as President and Treasurer of other Fidelity funds (2008-present; 2010-present) and is an employee of Fidelity Investments (2004-present). Previously, Mr. Robins served as Deputy Treasurer of the Fidelity funds (2005-2008) and Treasurer and Chief Financial Officer of The North Carolina Capital Management Trust: Cash and Term Portfolios (2006-2008). |
Gary W. Ryan (53) |
| Year of Election or Appointment: 2005 Assistant Treasurer of the Fidelity funds. Mr. Ryan is an employee of Fidelity Investments. Previously, Mr. Ryan served as Vice President of Fund Reporting in Fidelity Pricing and Cash Management Services (FPCMS) (1999-2005). |
Jonathan Davis (43) |
| Year of Election or Appointment: 2010 Assistant Treasurer of the Fidelity funds. Mr. Davis is also Assistant Treasurer of Fidelity Rutland Square Trust II and Fidelity Commonwealth Trust II. Mr. Davis is an employee of Fidelity Investments. Previously, Mr. Davis served as Vice President and Associate General Counsel of FMR LLC (2003-2010). |
Annual Report
A total of 6.43% of the dividends distributed during the fiscal year was derived from interest on U.S. Government securities which is generally exempt from state income tax.
The fund designates $744,633 of distributions paid during the period January 1, 2011 to August 31, 2011 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2012 of amounts for use in preparing 2011 income tax returns.
Annual Report
Investment Adviser
Fidelity Management &
Research Company
Boston, MA
Investment Sub-Advisers
Fidelity Investments Money
Management, Inc.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Hong Kong) Limited
Fidelity Management & Research
(Japan) Inc.
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Fidelity Investments Institutional
Operations Company, Inc.
Boston, MA
Fidelity Service Company, Inc.
Boston, MA
Custodian
JPMorgan Chase Bank
New York, NY
RMM-ANN-1011
1.768778.109
Item 2. Code of Ethics
As of the end of the period, August 31, 2011, Fidelity Money Market Trust (the trust) has adopted a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its President and Treasurer and its Chief Financial Officer. A copy of the code of ethics is filed as an exhibit to this Form N-CSR.
Item 3. Audit Committee Financial Expert
The Board of Trustees of the trust has determined that Marie L. Knowles is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Ms. Knowles is independent for purposes of Item 3 of Form N-CSR.
Item 4. Principal Accountant Fees and Services
Fees and Services
The following table presents fees billed by PricewaterhouseCoopers LLP ("PwC") in each of the last two fiscal years for services rendered to Retirement Government Money Market Portfolio and Retirement Money Market Portfolio (the "Funds"):
Services Billed by PwC
August 31, 2011 FeesA
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Retirement Government Money Market Portfolio | $51,000 | $- | $2,000 | $3,700 |
Retirement Money Market Portfolio | $66,000 | $- | $2,000 | $9,100 |
August 31, 2010 FeesA
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Retirement Government Money Market Portfolio | $53,000 | $- | $2,000 | $3,700 |
Retirement Money Market Portfolio | $73,000 | $- | $2,000 | $9,600 |
A Amounts may reflect rounding.
The following table presents fees billed by PwC that were required to be approved by the Audit Committee for services that relate directly to the operations and financial reporting of the Funds and that are rendered on behalf of Fidelity Management & Research Company ("FMR") and entities controlling, controlled by, or under common control with FMR (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) that provide ongoing services to the Funds ("Fund Service Providers"):
Services Billed by PwC
| August 31, 2011A | August 31, 2010A |
Audit-Related Fees | $1,860,000 | $2,130,000 |
Tax Fees | $- | $- |
All Other Fees | $- | $510,000 |
A Amounts may reflect rounding.
"Audit-Related Fees" represent fees billed for assurance and related services that are reasonably related to the performance of the fund audit or the review of the fund's financial statements and that are not reported under Audit Fees.
"Tax Fees" represent fees billed for tax compliance, tax advice or tax planning that relate directly to the operations and financial reporting of the fund.
"All Other Fees" represent fees billed for services provided to the fund or Fund Service Provider, a significant portion of which are assurance related, that relate directly to the operations and financial reporting of the fund, excluding those services that are reported under Audit Fees, Audit-Related Fees or Tax Fees.
Assurance services must be performed by an independent public accountant.
* * *
The aggregate non-audit fees billed by PwC for services rendered to the Funds, FMR (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any Fund Service Provider for each of the last two fiscal years of the Funds are as follows:
Billed By | August 31, 2011 A | August 31, 2010 A |
PwC | $3,310,000 | $5,150,000 |
A Amounts may reflect rounding.
The trust's Audit Committee has considered non-audit services that were not pre-approved that were provided by PwC to Fund Service Providers to be compatible with maintaining the independence of PwC in its audit of the Funds, taking into account representations from PwC, in accordance with Public Company Accounting Oversight Board rules, regarding its independence from the Funds and their related entities and FMR's review of the appropriateness and permissibility under applicable law of such non-audit services prior to their provision to the Fund Service Providers.
Audit Committee Pre-Approval Policies and Procedures
The trust's Audit Committee must pre-approve all audit and non-audit services provided by a fund's independent registered public accounting firm relating to the operations or financial reporting of the fund. Prior to the commencement of any audit or non-audit services to a fund, the Audit Committee reviews the services to determine whether they are appropriate and permissible under applicable law.
The Audit Committee has adopted policies and procedures to, among other purposes, provide a framework for the Committee's consideration of non-audit services by the audit firms that audit the Fidelity funds. The policies and procedures require that any non-audit service provided by a fund audit firm to a Fidelity fund and any non-audit service provided by a fund auditor to a Fund Service Provider that relates directly to the operations and financial reporting of a Fidelity fund ("Covered Service") are subject to approval by the Audit Committee before such service is provided.
All Covered Services must be approved in advance of provision of the service either: (i) by formal resolution of the Audit Committee, or (ii) by oral or written approval of the service by the Chair of the Audit Committee (or if the Chair is unavailable, such other member of the Audit Committee as may be designated by the Chair to act in the Chair's absence). The approval contemplated by (ii) above is permitted where the Treasurer determines that action on such an engagement is necessary before the next meeting of the Audit Committee.
Non-audit services provided by a fund audit firm to a Fund Service Provider that do not relate directly to the operations and financial reporting of a Fidelity fund are reported to the Audit Committee on a periodic basis.
Non-Audit Services Approved Pursuant to Rule 2-01(c)(7)(i)(C) and (ii) of Regulation S-X ("De Minimis Exception")
There were no non-audit services approved or required to be approved by the Audit Committee pursuant to the De Minimis Exception during the Funds' last two fiscal years relating to services provided to (i) the Funds or (ii) any Fund Service Provider that relate directly to the operations and financial reporting of the Funds.
Item 5. Audit Committee of Listed Registrants
Not applicable.
Item 6. Investments
(a) Not applicable.
(b) Not applicable
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies
Not applicable.
Item 9. Purchase of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders
There were no material changes to the procedures by which shareholders may recommend nominees to the trust's Board of Trustees.
Item 11. Controls and Procedures
(a)(i) The President and Treasurer and the Chief Financial Officer have concluded that the trust's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act) provide reasonable assurances that material information relating to the trust is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.
(a)(ii) There was no change in the trust's internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the trust's internal control over financial reporting.
Item 12. Exhibits
(a) | (1) | Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH. |
(a) | (2) | Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT. |
(a) | (3) | Not applicable. |
(b) | | Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Fidelity Money Market Trust
By: | /s/John R. Hebble |
| John R. Hebble |
| President and Treasurer |
| |
Date: | October 26, 2011 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/John R. Hebble |
| John R. Hebble |
| President and Treasurer |
| |
Date: | October 26, 2011 |
By: | /s/Christine Reynolds |
| Christine Reynolds |
| Chief Financial Officer |
| |
Date: | October 26, 2011 |
