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 811-02224
MML Series Investment Fund
(Exact name of registrant as specified in charter)
100 Bright Meadow Blvd., Enfield, CT 06082
(Address of principal executive offices) (Zip code)
Jeffrey M. Dube
100 Bright Meadow Blvd., Enfield, CT 06082
(Name and address of agent for service)
Registrant’s telephone number, including area code: (860) 562-1000
Date of fiscal year end: 12/31/2015
Date of reporting period: 12/31/2015
Item 1. Reports to Stockholders.
Table of Contents
This material must be preceded or accompanied by a current prospectus (or summary prospectus, if available) for the MML Series Investment Fund. Investors should consider a Fund’s investment objective, risks, and charges and expenses carefully before investing. This and other information about the investment company is available in the prospectus (or summary prospectus, if available). Read it carefully before investing.
MML Series Investment Fund – President’s Letter to Shareholders (Unaudited)
To Our Shareholders
Jeffrey M. Dube
“In our view, the 2015 market environment underscored once again how important it can be for investors to take a long-term perspective and avoid reacting to current events or short-term market changes.”
December 31, 2015
The return of market volatility challenges retirement investors
Welcome to the MML Series Investment Fund Annual Report covering the year ended December 31, 2015. Large-company U.S. stocks and technology shares represented by the S&P 500® Index, NASDAQ Composite® Index, and Dow Jones Industrial AverageSM outperformed stocks of small and midsize U.S. companies along with foreign stocks from both developed and emerging markets in a volatile market environment. Despite the challenges presented by slowdowns in large and emerging economies across the globe, the U.S. economy continued to show overall progress. The economic difficulties elsewhere, which were exacerbated by new concerns about China, continuing low oil prices, and other factors, created a challenging investing environment that left some major U.S. and international stock indexes in negative territory for the year. While the market volatility that generally characterized the year presented a significant challenge, it can serve to remind investors that market conditions are cyclical and subject to change at any time.
In our view, the 2015 market environment underscored once again how important it can be for investors to take a long-term perspective and avoid reacting to current events or short-term market changes. We also believe individuals are wise to maintain a plan that focuses on their goals, how long they have to invest, and how comfortable they are with the ups and downs of the market.
Suggestions for retirement investors under any market conditions
| • | | You are likely in it for the long term. Investing for retirement doesn’t happen overnight. Many people save and invest throughout their working years. It may help you to keep in mind that, although the financial markets will go up and down over time, taking a long-term approach to investing gives you more time to ride out the downturns as you work toward your long-term investment goals. |
| • | | Continue to invest. Of course, you can’t control the performance of your investments, but you can control how often and how much you save. Contributing to your retirement account on a regular basis and increasing your contribution level as often as possible can help you boost your retirement savings.* |
| • | | Monitor your asset allocation and diversify. Stocks, bonds, and short-term/money market investments are asset classes that tend to behave differently, depending upon the economic and market environment. Those broad asset classes contain an even greater array of asset sub-categories (such as small-cap stocks, international stocks, and high-yield bonds). Most financial professionals agree that investors can take advantage of different opportunities in the market and reduce the risk of over-exposure to one or two poorly performing asset types by selecting a number of investments that represent a mix of asset classes and sub-categories.* |
Who and what matter most
We believe “Who Matters Most to You Says the Most About You.” Helping our customers prepare for the kind of financial future they see for themselves matters most to us. That’s why we encourage you to maintain perspective when it comes to retirement investing, despite short-term changes in the
| | * | Systematic investing and asset allocation do not ensure a profit or protect against loss in a declining market. Systematic investing involves continuous investment in securities regardless of fluctuating price levels. Investors should consider their ability to continue investing through periods of low price levels. |
(Continued)
1
MML Series Investment Fund – President’s Letter to Shareholders (Unaudited) (Continued)
markets or day-to-day events that may seem unsettling. We also believe changing market conditions have the potential to reward patient investors. If you work with a financial professional, this may be an excellent time to contact him or her for assistance in reviewing your personal retirement investment strategy and making any adjustments that may be appropriate. Thank you for your continued confidence and trust in us.
Sincerely,
Jeffrey M. Dube
President
The information provided is the opinion of MassMutual Retirement Services Investments Services as of 1/1/16 and is subject to change without notice. It is not to be construed as tax, legal or investment advice. Of course, past performance does not guarantee future results.
2
MML Series Investment Fund – Economic and Market Overview (Unaudited)
December 31, 2015
Stocks mixed in a period of economic weakness abroad and low oil prices
Stock performance was mixed in the U.S. and around the world in a volatile market environment that challenged investors for much of the year ended December 31, 2015. High-quality U.S. bonds finished in positive territory, as many investors sought cover in the traditionally safer investments amid the market choppiness. Data pointing to weakness in certain measures confounded investors at different points during the year, but the U.S. economy continued to show overall progress, which stood in contrast to slowdowns in other large and emerging markets across the globe. Geopolitical wrangling centered around the Middle East, economic events and issues in China and Europe, dramatically lower oil prices, the strength of the U.S. dollar versus other benchmark currencies, and the latest announcements from the Federal Reserve (“Fed”) occupied the attention of investors and impacted markets throughout the year.
As 2015 kicked off, Fed watchers – fresh from witnessing the end of the central bank’s Quantitative Easing monthly bond purchase program in autumn 2014 – were speculating about when the central bank would see the U.S. economy as strong enough to begin increasing key short-term interest rates. Investors drove market volatility in reaction to economic data and statements by the Fed that possibly offered clues about when increases might start. The U.S. economy continued to show improvement in key measures, including in unemployment and some price categories; but the threat to U.S. growth represented by the nearly worldwide economic slowdown and unsettling news from China contributed to the Fed’s decision to delay increasing interest rates until its final meeting of the year in mid-December, when policymakers increased the federal funds rate by 0.25%, from 0.0% – 0.25% to 0.25% – 0.50% and made comparable increases in other relevant short-term rates. (The federal funds rate is the interest rate that banks and other financial institutions charge each other for borrowing funds overnight.)
Slowing economic growth and weak demand in foreign markets combined with an overabundant supply drove investor concerns about oil, which continued its dramatic decline into 2015 before finally hitting a low of $43.39 per barrel in mid-March. The closely watched commodity gushed as high as $61.36 in June, and dropped to $38.22 in the late-August market turmoil. Oil never got as high as $50 again in 2015 and finished the year at $37.13, its lowest price since the height of the 2008 financial crisis. U.S. retail gasoline prices started 2015 at their lowest levels since 2009 and drove uphill into mid-summer before rolling back down to near where they had started the year. Gold prices peaked in late January 2015 at $1,295.75 per ounce then lost luster for much of the rest of the year and finished at approximately $1,060.
Market performance
A strong fourth quarter for U.S. stocks, with the strongest gains coming in October, helped lift most broad-market indexes into positive territory, but small- and mid-cap stocks failed to keep pace and declined for the year. The full-year advances in the most widely followed U.S. indexes masked the volatile environment, as the strong U.S. dollar made American goods more expensive in foreign markets and the nearly worldwide economic slowdown reduced overall demand. For the year, the technology-focused NASDAQ Composite® Index rose 6.96%, the S&P 500® Index (S&P 500) of large-capitalization U.S. stocks gained 1.38%, and the blue-chip Dow Jones Industrial AverageSM (Dow) just made it into positive territory with a 0.21% advance. Conversely, the Russell 2000® Index of small-capitalization stocks declined 4.41%. In foreign markets, the MSCI EAFE® Index, a barometer for foreign stocks in developed markets, fell 0.81%, and the MSCI Emerging Markets Index, a measure of the performance of emerging stock markets throughout the world, dropped 14.92%.*
Bonds mainly advanced during the year, with the Barclays U.S. Aggregate Bond Index, a broad measure of the U.S. investment-grade bond markets, rising just 0.55% in the nearly unrelenting low interest rate environment. The Barclays U.S. 1-3 Year Government Bond Index, which measures the performance of short-term U.S. government bonds, returned 0.57%. Treasury bills, as measured by the Citigroup 3-Month Treasury Bill Index, gained only 0.03%. The impact of lower oil prices on energy companies during the year worked against high-yield bonds, as many issuers of such bonds are energy companies. In this environment, the Barclays U.S. Corporate High-Yield Index, a measure of the performance of fixed-rate, non-investment-grade debt from corporate sectors, dropped 4.47% for the year. The yield of the bellwether 10-year Treasury note increased from 2.17% at the beginning of 2015 to 2.27% at the close of business on the last day of the year, although that change masked considerable volatility along the way.*
| * | Indexes are unmanaged, do not incur fees or expenses and cannot be purchased directly for investment. |
3
MML Series Investment Fund – Economic and Market Overview (Unaudited) (Continued)
Q1 2015: Market momentum cools amid increasing talk of Fed rate hikes
In the first quarter of 2015, U.S. stocks declined in January and March, but produced strong gains in February. When the dust settled at the end of March, some key market benchmarks were not far from where they started the quarter. Much of the downside volatility in January was due to weakness in crude oil prices. A surging U.S. dollar also fueled concern about multinational companies that derive a significant portion of their profits from overseas, especially Europe.
February brought renewed optimism among stock investors amid some stabilization in oil’s price and favorable corporate earnings reports. However, stocks surrendered some of those gains in March, as a better-than-expected February employment report raised the possibility that the Fed might speed up its timetable for raising short-term interest rates. Other reports offered a mixed picture of the U.S. economy, however. According to data released in the first quarter, gross domestic product (GDP) expanded by a relatively modest 2.2% in the fourth quarter of 2014, which also included weak durable goods orders and retail sales.
The possibility of Greece defaulting on its debt following the January election of Prime Minister Alexis Tsipras (who had run a campaign against austerity), air strikes in Yemen by Saudi Arabia, more disappointing economic data from Europe and China, and concern about the upcoming second-quarter earnings season were other factors unsettling the market as the first quarter wound to a close.
Q2 2015: Greek debt crisis drives increased volatility
U.S. stocks were choppy in the second quarter of 2015, and most indexes made little headway in either direction. Investors sought clarity on a number of issues, including the debt problems of Greece, the sustainability of the U.S. economic recovery following a weak first quarter, when the Fed’s first interest-rate hike since mid-2006 could occur, and the near-term path of crude oil and the U.S. dollar.
Despite repeated efforts to forge an agreement with other countries in the European Union to reschedule its debt, Greece was unable to make a loan payment to the International Monetary Fund of €1.6 billion (euro), or roughly $1.8 billion, by a June 30 deadline. The default resulted in Greek banks and markets closing the week of June 29 through July 3. Global stock markets fell sharply in response on Monday, June 29, but stabilized on the final day of the quarter.
On the U.S. economic front, the news was somewhat encouraging – but still mixed. First-quarter GDP had originally been reported at -0.7% but underwent an upward revision to -0.2%. Nonfarm payrolls bounced back nicely in April and May after falling well short of estimates in March; however, industrial production remained weak amid challenges from lower oil prices and the stronger dollar.
The Fed’s Open Market Committee met in April and June, deciding both times to leave short-term interest rates unchanged. Crude oil, the focus of so much attention in prior quarters due to its steep decline, receded from the limelight in the second quarter when prices for the commodity rose.
Q3 2015: China’s economic slowdown sinks stocks worldwide; Fed leaves rates unchanged
U.S. stocks struggled in the third quarter of 2015, as concerns about China and fresh weakness in commodity prices prompted nervous investors to sell stocks and seek safer ground. A string of disappointing reports on China’s economy, coupled with that nation’s decision to devalue its currency on August 11 and another freefall in its share prices, contributed to the risk-sensitive environment.
The extreme volatility in Chinese stocks – partly a result of local investors buying on margin – had little effect on U.S. securities markets for much of 2015, but that changed in August, as the Shanghai Stock Exchange Composite Index plunged 43% following its mid-June peak. Most major U.S. stock benchmarks had their worst quarter since 2011 after U.S. stocks dropped roughly 10% in a decline that mostly occurred in just a handful of days in the second half of August. Crude oil prices had recovered somewhat starting in early spring, but again came under pressure during the August stock decline before regaining some ground by the end of the quarter. Following its mid-September meeting, the Fed provided few clues to investors about when the central bank would start increasing interest rates, and the lack of guidance roiled markets in the immediate aftermath.
4
MML Series Investment Fund – Economic and Market Overview (Unaudited) (Continued)
Despite the market jitters, most data indicated the U.S. economy was expanding at a reasonably healthy rate, even if the progress was subpar compared with most other post-World War II recoveries. Following a slow first quarter attributed to extreme weather, the final revised estimate for U.S. second-quarter growth came in at a fairly robust 3.9% annual rate, and overall expectations for 2015 were about in line with 2014’s annual growth of 2.4%. In August, the U.S. unemployment rate fell from 5.3% to 5.1%, the lowest level in seven years.
Q4 2015: Good quarter in a mediocre year; Fed increases rates
Stocks recovered strongly in October, with two of the most widely followed U.S. equity benchmarks, the Dow and the S&P 500, turning in their best monthly gains since October 2011. Fears about China and crude oil eased, and a weak September payroll number fueled hopes that the Fed might delay raising short-term interest rates; however, the October and November employment reports were considerably stronger, renewing talk of a rate increase, which ultimately occurred at the Fed’s December 16 meeting. Elsewhere, crude oil broke to another new low for the year in December and ended 2015 with an annual decline of 31% after falling almost 50% in 2014. These factors led to choppy market action over the final two months of the year.
Data from the Department of Commerce continued to support the view the U.S. economy is generally expanding at a reasonably healthy rate that, nevertheless, has been subdued compared with most other post-World War II recoveries. Following a weak 0.6% pace for real (inflation-adjusted) GDP in the first quarter, second-quarter growth rebounded strongly, putting GDP at 3.9%, but it settled back to 2.0% in the third quarter. As of late December, the Fed was forecasting further slowing and GDP at 1.3% for the fourth quarter.
With 2015 in the books, stocks worldwide kicked off 2016 by declining sharply in response to more bad news about the Chinese economy, and investors entered the new year wary of many of the same factors that drove markets in 2015, including the ongoing impact of economic malaise in China, Europe and emerging markets, the low price of oil, the timetable for Fed interest rate increases and the potential actions of other central banks around the world.
The information provided is the opinion of MassMutual Retirement Services Investment Services as of 1/1/16 and is subject to change without notice. It is not to be construed as tax, legal or investment advice. Of course, past performance does not guarantee future results.
5
MML Allocation Fund Series – Portfolio Manager Report (Unaudited)
What are the investment approaches of the Funds that constitute the MML Allocation Series (the “Series”), and who is the Series’ investment adviser?
The MML Allocation Series comprises five Funds – each of which has a “fund of funds” structure. The five Funds in the Series are MML Conservative Allocation Fund, MML Balanced Allocation Fund, MML Moderate Allocation Fund, MML Growth Allocation Fund, and MML Aggressive Allocation Fund.
Each Fund seeks to achieve as high a total return over time as is considered consistent with prudent investment risk, preservation of capital, and recognition of the Fund’s stated asset allocation. Each Fund invests in a combination of domestic and international mutual funds (“MML Underlying Funds”) using an asset allocation strategy. MML Underlying Funds can include series of the MML Series Investment Fund and MML Series Investment Fund II (which are advised by MML Investment Advisers, LLC (MML Advisers), Oppenheimer Funds (which are advised by OFI Global Asset Management, Inc. (OFI Global Asset Management), a majority owned, indirect subsidiary of MassMutual), and non-affiliated funds. The Series’ investment adviser is MML Advisers.
Through their investment in MML Underlying Funds, the Funds may be exposed to a wide range of securities and other instruments with differing characteristics (such as credit quality, duration, geography, industry, and market capitalization), including, but not limited to, equity securities of small-, mid-, or large-capitalization U.S. or non-U.S. issuers, fixed income securities of U.S. or non-U.S. private or governmental issuers (including “junk” or “high-yield” bonds, including securities in default), inflation-protected securities, bank loans, commodities, real estate, and short-term investments of any kind.
Each Fund’s assets are allocated to its MML Underlying Funds according to an asset allocation strategy stated below. Each Fund may allocate a portion of its assets to “alternative” investments, such as investments in commodities, precious metals, real estate, and foreign currencies.
| • | | MML Conservative Allocation Fund: Approximately 40% in equity and similar funds and 60% in fixed income and similar funds, including money market funds. |
| • | | MML Balanced Allocation Fund: Approximately 50% in equity and similar funds and 50% in fixed income and similar funds, including money market funds. |
| • | | MML Moderate Allocation Fund: Approximately 60% in equity and similar funds and 40% in fixed income and similar funds, including money market funds. |
| • | | MML Growth Allocation Fund: Approximately 75% in equity and similar funds and 25% in fixed income and similar funds, including money market funds. |
| • | | MML Aggressive Allocation Fund: Approximately 90% in equity and similar funds and 10% in fixed income and similar funds, including money market funds. |
How did each Fund perform during the 12 months ended December 31, 2015?
The return of each Fund’s Initial Class shares is shown below. Also shown are the returns of each Fund’s Custom Index (defined below); the Russell 3000® Index, a widely recognized, unmanaged index that measures the performance of the 3,000 largest U.S. companies based on market capitalization; the MSCI All Country World Index (ACWI) ex USA, an unmanaged index representative of stocks domiciled in global developed and emerging markets, excluding the United States; and the Barclays U.S. Aggregate Bond Index, an unmanaged index of fixed-rate investment-grade securities with at least one year to maturity, combining the Barclays U.S. Treasury Bond Index, the Barclays U.S. Government-Related Bond Index, the Barclays U.S. Corporate Bond Index, and the Barclays U.S. Securitized Bond Index.
| | | | | | | | | | |
| | | Fund’s Initial
Class Return | | Custom
Index Return | | Russell 3000
Index Return | | MSCI ACWI
ex USA Return | | Barclays U.S.
Aggregate Bond
Index Return
|
| MML Conservative Allocation Fund | | -0.38% | | -0.02% | | 0.48% | | -5.66% | | 0.55%* |
| | | | | |
| MML Balanced Allocation Fund | | -0.36% | | -0.18% | | 0.48%* | | -5.66% | | 0.55% |
6
MML Allocation Fund Series – Portfolio Manager Report (Unaudited) (Continued)
| | | | | | | | | | |
| | | Fund’s Initial
Class Return | | Custom
Index Return | | Russell 3000
Index Return | | MSCI ACWI
ex USA Return | | Barclays U.S.
Aggregate Bond
Index Return
|
| | | | | |
| MML Moderate Allocation Fund | | -0.64% | | -0.34% | | 0.48%* | | -5.66% | | 0.55% |
| | | | | |
| MML Growth Allocation Fund | | -0.71% | | -0.60% | | 0.48%* | | -5.66% | | 0.55% |
| | | | | |
| MML Aggressive Allocation Fund | | -0.84% | | -0.87% | | 0.48%* | | -5.66% | | 0.55% |
* Benchmark return
Each of the MML Allocation Series Funds – except MML Aggressive Allocation Fund – underperformed its respective Custom Index. All five Funds underperformed the Russell 3000 Index and the Barclays U.S. Aggregate Bond Index for the full year. Conversely, all five Funds outpaced the MSCI ACWI ex USA.
MML Allocation Fund Series Custom Indexes
| • | | The Custom MML Conservative Allocation Index comprises the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI All Country World Index (ACWI) ex USA. The weightings of each index are 60%, 30%, and 10%, respectively. |
| • | | The Custom MML Balanced Allocation Index comprises the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI All Country World Index (ACWI) ex USA. The weightings of each index are 50%, 37.5%, and 12.5%, respectively. |
| • | | The Custom MML Moderate Allocation Index comprises the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI All Country World Index (ACWI) ex USA. The weightings of each index are 40%, 45%, and 15%, respectively. |
| • | | The Custom MML Growth Allocation Index comprises the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI All Country World Index (ACWI) ex USA. The weightings of each index are 25%, 56.25%, and 18.75%, respectively. |
| • | | The Custom MML Aggressive Allocation Index comprises the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, and the MSCI All Country World Index (ACWI) ex USA. The weightings of each index are 10%, 67.5%, and 22.5%, respectively. |
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Investment adviser discussion of factors that contributed to the Funds’ performance
For the year ended December 31, 2015, the Series Funds delivered slightly negative returns. As in 2014, once again diversification did not pay off in 2015 – as we continued to see markets in which only certain investment categories rewarded investors. Indeed, the S&P 500® Index was one of the only major global equity indexes to post a positive return for the year.
In the equity (stock) components of the Series, performance drivers included underweight positioning, relative to Series history, in international stocks as well as favorable strategy selection in international MML Underlying Funds, including Oppenheimer International Growth Fund and Oppenheimer Global Fund. In the U.S., performance by mid-cap equity strategies held by the Series Funds helped offset the general weakness of the mid-cap market in 2015. In the large-cap equity segment of the Series, allocation and strategy selection in large-cap growth MML Underlying Funds made a solid contribution, particularly the Series Funds’ allocation to the MML Blue Chip Growth Fund. Additional allocation in the MML Focused Equity Fund, a concentrated large-cap equity strategy, was a notable detractor from the Series Funds’ performance for the year.
7
MML Allocation Fund Series – Portfolio Manager Report (Unaudited) (Continued)
In the fixed-income (bond) components of the Series, allocation to sectors that are not included in the Barclays U.S. Aggregate Bond Index detracted. The Series allocation to high-yield bonds declined as weakness in oil prices plagued bond issuers in the poorly performing energy sector and lost additional ground in response to the Federal Reserve’s (the “Fed”) long-awaited increase in interest rates. Series positioning in U.S. Treasury inflation-protected securities (“TIPS”) – which declined due to falling inflation expectations – also worked against returns. Series holdings within the investment-grade market segment lagged their benchmarks, as managers of MML Underlying Funds in this segment dealt with market realities in positioning portfolios in consideration of Fed interest rate policy, the credit impact of the slowdown in China, and the steep decline in oil prices.
Investment adviser outlook
We believe 2016 is likely to be a challenging year with continued divergence of central bank policy around the world, as the Fed moves toward increasing interest rates while other central banks continue to implement more accommodative monetary policies in an effort to stimulate growth in their respective regions. Slowing growth in China and the prospect of declining earnings in the first half of 2016 are likely to cause even more disruption, in our view. With regard to the management of the Series, we plan to continue focusing on large-cap equities (over their small-cap counterparts), given valuation differentials, and to seek a more neutral positing of growth versus value style, particularly given declines in energy and the potential growth in financial stocks due to rising interest rates. We also expect to seek additional allocation to international equities, as easing central bank policies against a backdrop of significant U.S. dollar strengthening may spark growth in the segment. In the fixed-income positioning of the Series, we plan to continue to focus on increasing quality and reduce exposure to interest rate movements, on the assumption that the Fed may implement more modest rate hikes in 2016.
8
MML Allocation Fund Series – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Conservative Allocation Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Fixed Income Funds | | | 57.3 | % |
Equity Funds | | | 42.8 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
| | | | |
MML Balanced Allocation Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 52.1 | % |
Fixed Income Funds | | | 48.0 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
| | | | |
MML Moderate Allocation Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 61.4 | % |
Fixed Income Funds | | | 38.7 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
| | | | |
MML Growth Allocation Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 75.6 | % |
Fixed Income Funds | | | 24.5 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
| | | | |
MML Aggressive Allocation Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 90.0 | % |
Fixed Income Funds | | | 10.1 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
9
MML Conservative Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Conservative Allocation Fund Initial Class, the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, the MSCI ACWI ex USA, and the Custom MML Conservative Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/31/07 -
12/31/15 | |
Initial Class | | | -0.38% | | | | 5.90% | | | | 4.99% | |
Barclays U.S Aggregate Bond Index* | | | 0.55% | | | | 3.25% | | | | 4.50% | |
Russell 3000 Index | | | 0.48% | | | | 12.18% | | | | 6.53% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | -0.34% | |
Custom MML Conservative Allocation Index | | | -0.02% | | | | 5.84% | | | | 5.18% | + |
Hypothetical Investments in MML Conservative Allocation Fund Service Class, the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, the MSCI ACWI ex USA, and the Custom MML Conservative Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class | | | -0.63% | | | | 5.63% | | | | 5.41% | |
Barclays U.S Aggregate Bond Index* | | | 0.55% | | | | 3.25% | | | | 4.43% | |
Russell 3000 Index | | | 0.48% | | | | 12.18% | | | | 8.70% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | 1.21% | |
Custom MML Conservative Allocation Index | | | -0.02% | | | | 5.84% | | | | 6.01% | ++ |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
+ From 9/4/07.
++ From 9/2/08.
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Barclays U.S. Aggregate Bond Index, the Russell 3000 Index, the MSCI ACWI ex USA, and the Custom MML Conservative Allocation Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
10
MML Balanced Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Balanced Allocation Fund Initial Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Balanced Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/31/07 -
12/31/15 | |
Initial Class | | | -0.36% | | | | 6.56% | | | | 4.84% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 6.53% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.50% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | -0.34% | |
Custom MML Balanced Allocation Index | | | -0.18% | | | | 6.46% | | | | 5.23% | + |
Hypothetical Investments in MML Balanced Allocation Fund Service Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Balanced Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class | | | -0.61% | | | | 6.31% | | | | 5.52% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 8.70% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.43% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | 1.21% | |
Custom MML Balanced Allocation Index | | | -0.18% | | | | 6.46% | | | | 6.31% | ++ |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
+ From 9/4/07.
++ From 9/2/08.
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Balanced Allocation Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
11
MML Moderate Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Moderate Allocation Fund Initial Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Moderate Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/31/07 -
12/31/15 | |
Initial Class | | | -0.64% | | | | 7.12% | | | | 4.94% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 6.53% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.50% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | -0.34% | |
Custom MML Moderate Allocation Index | | | -0.34% | | | | 7.07% | | | | 5.23% | + |
Hypothetical Investments in MML Moderate Allocation Fund Service Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Moderate Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class | | | -0.86% | | | | 6.86% | | | | 5.86% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 8.70% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.43% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | 1.21% | |
Custom MML Moderate Allocation Index | | | -0.34% | | | | 7.07% | | | | 6.56% | ++ |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
+ From 9/4/07.
++ From 9/2/08.
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Moderate Allocation Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
12
MML Growth Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Growth Allocation Fund Initial Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Growth Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/31/07 -
12/31/15 | |
Initial Class | | | -0.71% | | | | 7.99% | | | | 4.89% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 6.53% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.50% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | -0.34% | |
Custom MML Growth Allocation Index | | | -0.60% | | | | 7.96% | | | | 5.13% | + |
Hypothetical Investments in MML Growth Allocation Fund Service Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Growth Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class | | | -0.97% | | | | 7.73% | | | | 6.17% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 8.70% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.43% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | 1.21% | |
Custom MML Growth Allocation Index | | | -0.60% | | | | 7.96% | | | | 6.84% | ++ |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
+ From 9/4/07.
++ From 9/2/08.
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Growth Allocation Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
13
MML Aggressive Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Aggressive Allocation Fund Initial Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Aggressive Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/31/07 -
12/31/15 | |
Initial Class | | | -0.84% | | | | 8.72% | | | | 4.86% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 6.53% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.50% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | -0.34% | |
Custom MML Aggressive Allocation Index | | | -0.87% | | | | 8.82% | | | | 4.92% | + |
Hypothetical Investments in MML Aggressive Allocation Fund Service Class, the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Aggressive Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class | | | -1.07% | | | | 8.47% | | | | 6.47% | |
Russell 3000 Index* | | | 0.48% | | | | 12.18% | | | | 8.70% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.43% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | 1.21% | |
Custom MML Aggressive Allocation Index | | | -0.87% | | | | 8.82% | | | | 6.99% | ++ |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
+ From 9/4/07.
++ From 9/2/08.
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 3000 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Aggressive Allocation Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
14
MML American Funds Growth Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML American Funds® Growth Fund, and who is the Fund’s investment adviser?
The Fund seeks to provide investors with long-term capital growth through a “master feeder” relationship. (See page 52 of this report for information about the “master feeder” relationship.) The Fund invests all of its assets in Class 1 shares of the American Funds Insurance Series – Growth Fund (the “Master Growth Fund”), a series of the American Funds Insurance Series®, a registered open-end investment company, managed by Capital Research and Management Company (Capital Research), with substantially the same investment objective. The Master Growth Fund invests primarily in common stocks and seeks to invest in companies that appear to offer superior opportunities for growth of capital. The Master Growth Fund may invest a portion of its assets in common stocks and other securities of issuers domiciled outside the United States. Although the Master Growth Fund focuses on investments in medium- to large-capitalization companies, the Master Growth Fund’s investments are not limited to a particular capitalization size. The Fund’s investment adviser is MML Investment Advisers, LLC (MML Advisers).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund returned 6.41%, substantially outperforming the 1.38% return of the S&P 500® Index (the “benchmark”), a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies. The Fund also significantly outperformed the 5.67% return of the Russell 1000® Growth Index, an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies based on market capitalization) with greater than average growth orientation that tend to exhibit higher price-to-book ratios and higher forecasted growth rates than securities in the value universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Capital Research’s discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, the Fund’s favorable stock selection in the consumer discretionary, health care, and technology sectors was the primary driver of the Fund’s strong performance. In consumer discretionary, where the Fund held an overweight position, relative to the benchmark, Fund holding Amazon continued its market leadership in e-commerce and built on the success of its cloud business, Amazon Web Services. Another Fund holding, Home Depot, a home improvement retailer, outperformed due to the recovery in the U.S. housing market, as well as the growth of its Pro Xtra loyalty program, which has helped convince more contractors to turn to Home Depot as their supplier. In health care, another area in which the Fund held an overweight position, biotechnology companies did well, particularly those with new drugs entering the pipeline for the treatment of rare diseases. For example, Fund holding Incyte, which focuses on small molecule drugs for cancer and inflammation, advanced for the year. Another Fund holding, Regeneron, benefited from its cardiovascular disease drug, Praluent, as well as a robust drug pipeline. In the technology sector, Fund holding Avago Technologies, a component manufacturer for mobile devices, advanced strongly, consistent with the continued growth of the overall mobile phone industry. Finally, Fund holding SalesForce.com, a leader in cloud-based CRM (Customer Relationship Management) solutions, rose on continued growth in 2015.
Specific holdings in the industrials, energy, and materials sectors detracted from the Fund’s performance. In industrials, the Fund held an overweight allocation to airlines earlier in the year, which underperformed on fears of increased competition and capacity growth (which can translate to lower ticket prices, since the supply of seats increases). The Fund sold most of its airline holdings in the first half of the year – including American Airlines and United Continental. Fund holdings in the materials and energy sectors, including Noble Energy, declined along with prices across the commodities spectrum, and the Fund’s exploration and production stocks declined more than stocks of large integrated oil companies. In materials, Saskatchewan-based PotashCorp – an integrated producer of fertilizer, industrial chemicals, and animal feed – underperformed on investor fears of a dividend cut.
Capital Research’s outlook
Market volatility resurfaced in a big way in 2015. Markets were buffeted by slowing growth in China and emerging markets, depressed commodity prices, instability in the Middle East, and a focus on the Federal Reserve in the U.S. American consumers seem to have made their way back to the marketplace, and the U.S. economy has been experiencing moderate growth; however, the uncertainty and unsteadiness of economic growth abroad and fluctuating energy prices drive our belief there may be greater volatility in 2016.
15
MML American Funds Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML American Funds Growth Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 100.1 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
16
MML American Funds Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML American Funds Growth Fund Service Class I, the S&P 500 Index, and the Russell 1000 Growth Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class I | | | 6.41% | | | | 10.74% | | | | 7.77% | |
S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 8.75% | |
Russell 1000 Growth Index | | | 5.67% | | | | 13.53% | | | | 10.11% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index and the Russell 1000 Growth Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
17
MML American Funds International Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML American Funds® International Fund, and who is the Fund’s investment adviser?
The Fund seeks long-term capital growth of assets through a “master-feeder” relationship. (See page 52 of this report for information about the “master feeder” relationship.) The Fund invests all of its assets in Class 1 shares of the American Funds Insurance Series – International Fund (the “Master International Fund”), a series of the American Funds Insurance Series®, a registered open-end investment company managed by Capital Research and Management Company (Capital Research), with substantially the same investment objective. The Master International Fund invests primarily in common stocks of companies domiciled outside the United States, including companies domiciled in developing countries, that Capital Research believes have the potential for growth. Although the Master International Fund focuses on investments in medium- to large-capitalization companies, the Master International Fund’s investments are not limited to a particular capitalization size. The Fund’s investment adviser is MML Investment Advisers, LLC (MML Advisers).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund returned -4.93%, outperforming the -5.66% return of MSCI All Country World Index (ACWI) ex USA (the “benchmark”), an unmanaged index representative of stocks domiciled in global developed and emerging markets, excluding the United States. On the other hand, the Fund trailed the -0.81% return of the MSCI EAFE Index, a widely recognized, unmanaged index representative of equity securities in developed markets around the world, excluding the U.S. and Canada.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Capital Research’s discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, Fund holdings in the financials, energy, and health care sectors were the primary drivers of Fund performance. In financials, stock selection contributed to performance, particularly with respect to Indian banks and insurance companies. During 2015, privately managed Indian banks continued to take market share away from their government-operated counterparts, including Fund holdings HDFC Bank and Axis Bank. In insurance, Fund holding AIA Group advanced strongly on the continued growth of demand for life insurance and annuities in the Asia-Pacific region. The Fund held an underweight position in the underperforming energy sector, which benefited relative performance. One strong performer within energy was Fund holding BG Group, a U.K. energy producer that advanced due to its position as an acquisition target of Royal Dutch Shell. In health care, where the Fund’s slightly overweight stake proved beneficial, Fresenius, a German health care provider, was a Fund holding that advanced on investor endorsement of the course taken by company management to expand the business. Fund holding UCB, a Belgian pharmaceutical company that primarily focuses on neurological disease drugs, rose on the success of its treatment for osteoporosis.
From a geographic perspective, China (ex-Hong Kong), where the Fund held a slightly overweight position, was a relative contributor to Fund performance, largely due to the Fund’s focus on Chinese Internet stocks as well as its low exposure to banks and infrastructure companies. Fund holdings that contributed to the Fund’s relative performance included Tencent (a social media platform), Baidu (a popular search engine), and Alibaba (a favored shopping platform). Although Baidu and Alibaba posted slightly negative absolute returns for the year, all three of these Fund holdings outperformed other Chinese stocks. In addition, the Fund largely avoided Canada and Australia, a strategy that contributed to Fund performance, as many of each country’s stocks – particularly those in commodity-related industries – underperformed.
Conversely, Fund holdings in the consumer discretionary, telecommunications, and consumer staples sectors detracted from performance. In consumer discretionary, where the Fund had an overweight stake, Volkswagen was the primary driver of the Fund’s underperformance. The German automobile maker became embroiled in a scandal over its alleged rigging of emissions tests. The Fund ultimately sold its position in Volkswagen. Macau gaming stocks also detracted from performance, with Fund holdings Galaxy Entertainment Group and Sands China losing ground largely due to China’s anti-corruption crackdown and macro-economic weakness. In telecommunications, Fund holding Softbank – a Japanese multinational telecommunications and Internet corporation that owns Sprint USA and a large stake in Alibaba – underperformed largely due to poor performance by Sprint, which continued to face competitive challenges. Finally, an underweight allocation to the strong-performing consumer staples sector, especially with respect to beverages, worked against relative returns. The Fund did not hold AB InBev, the world’s largest brewer and a strong performer, which also held back relative returns. SABMiller, in which the Fund held just a small position, advanced strongly, as it was acquired by AB InBev.
18
MML American Funds International Fund – Portfolio Manager Report (Unaudited) (Continued)
From a geographic perspective, Japan was a relative detractor because it was one of the strongest-performing developed international equity markets – and the Fund held an underweight stake there. Finally, Hong Kong also detracted as a result of overall weakness in China.
Capital Research’s outlook
Market volatility resurfaced in a big way in 2015. Markets were buffeted by slowing growth in China and emerging markets, depressed commodity prices, instability in the Middle East, and a focus on the Federal Reserve in the U.S.
We believe there is likely to be further volatility in 2016, as major world markets are being pulled in different directions. We believe that questions for investors will revolve around whether or not the U.S. can sustain its growth while China slows, whether consumption in China will pick up enough to offset slowing infrastructure spending, and what opportunity may look like in low-growth areas such as Europe and Japan. Our view is that, as the year unfolds, investors who can see beyond macro-economic headlines and seek out bright spots across the investment landscape potentially stand to benefit.
| | | | |
MML American Funds
International Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 100.1 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets and Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
19
MML American Funds International Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML American Funds International Fund Service Class I, the MSCI ACWI ex USA, and the MSCI EAFE Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class I | | | -4.93% | | | | 2.32% | | | | 2.30% | |
MSCI ACWI
ex USA* | | | -5.66% | | | | 1.06% | | | | 1.21% | |
MSCI EAFE Index | | | -0.81% | | | | 3.60% | | | | 2.07% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the MSCI ACWI ex USA and the MSCI EAFE Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
20
MML American Funds Core Allocation Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML American Funds® Core Allocation Fund, and who is the Fund’s investment adviser?
The Fund seeks to achieve as high a total return over time as is considered consistent with prudent investment risk, preservation of capital, and recognition of the Fund’s stated asset allocation. The Fund is a “fund of funds” and seeks to achieve its investment objective by principally investing in a combination of series of the American Funds Insurance Series¨ (the “American Underlying Funds”), managed by Capital Research and Management Company (“Capital Research”), using a flexible asset allocation approach. The Fund’s investment adviser invests the Fund’s assets in a combination of domestic and international American Underlying Funds. As of the date of this report, it is expected that the American Underlying Funds will include Class 1 shares of the American Funds Insurance Series – Bond Fund, the American Funds Insurance Series – Blue Chip Income and Growth Fund, the American Funds Insurance Series – Growth-Income Fund, and the American Funds Insurance Series – International Fund. The Fund’s investment adviser allocates the Fund’s assets among a variety of different asset classes through investing in American Underlying Funds in response to changing market, economic, and investment conditions. The Fund’s investment adviser is MML Investment Advisers, LLC (MML Advisers).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund returned -1.12%, trailing the 1.38% return of the S&P 500® Index (the “benchmark”), a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies. Conversely, the Fund outperformed the -5.66% return of the MSCI All Country World Index (ACWI) ex USA, an unmanaged index representative of stocks domiciled in global developed and emerging markets, excluding the United States. The Fund also underperformed the 0.55% return of the Barclays U.S. Aggregate Bond Index, an unmanaged index of fixed-rate investment-grade securities with at least one year to maturity, combining the Barclays U.S. Treasury Bond Index, the Barclays U.S. Government-Related Bond Index, the Barclays U.S. Corporate Bond Index, and the Barclays U.S. Securitized Bond Index. Finally, the Fund’s -1.12% return trailed the 0.61% return of the Custom MML Core Allocation Index, which comprises the benchmark (55%), the Barclays U.S. Aggregate Bond Index (35%), and the MSCI ACWI ex USA (10%).
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Capital Research’s discussion of factors that contributed to the Fund’s performance
The following paragraphs discuss the results of each of the Fund’s underlying portfolio components. Because the Fund invests in both stock- and bond-based portfolios, its overall performance may vary considerably from the broad market indexes listed above, which each measure the performance of a specific group of securities. These component-specific discussions focus on results and positioning versus each component’s main comparative index, not how the Fund as a whole performed or was positioned versus those indexes.
The American Funds Insurance Series – Bond Fund (the “Bond Fund”) outperformed the Barclays U.S. Aggregate Bond Index (the “Index”) for the year. The main driver of performance was issuer and bond selection, which included investment-grade corporate bonds, commercial mortgage-backed securities (CMBS), and asset-backed securities (ABS). The Bond Fund’s CMBS holdings from high-quality issuers helped drive returns, as did our strategy with regard to interest rate movements. Conversely, positioning in securities of certain maturities was a minor negative for the Bond Fund, along with its small allocation to high-yield bonds, which underperformed broadly.
The American Funds Insurance Series – Blue Chip Income and Growth Fund (the “Income and Growth Fund”) underperformed the benchmark in 2015. Unfortunately, in 2015, high-dividend-paying stocks – which are a main focus of the Income and Growth Fund – were significantly weaker overall, compared to fast-growing, non-dividend-paying stocks. From a sector perspective, consumer discretionary was the largest detractor, followed by industrials and utilities. In consumer discretionary, the Income and Growth Fund did not hold online retailing giant Amazon, which detracted from relative returns. The Income and Growth Fund’s position in high-dividend-paying stocks in Macau also worked against returns due to a slowdown in China and that country’s anti-corruption crackdown. In industrials, U.S. rail companies – including Income and Growth Fund holdings CSX, Norfolk, and Union Pacific – suffered over investor fears of a U.S. economic slowdown. Utilities underperformed in 2015 and were the
21
MML American Funds Core Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
second-weakest market segment in the S&P 500 – after being the strongest sector in 2014. One laggard in utilities was Income and Growth Fund holding Exelon, an electricity provider and nuclear power plant operator. Income and Growth Fund holdings in the consumer staples, technology, and financials sectors contributed to performance. In consumer staples, tobacco companies and food companies outperformed. Specifically, Income and Growth Fund holdings Altria (tobacco) and Kraft (a food company that merged with Heinz in July) were both standouts. The Income and Growth Fund also benefited from an underweight stake in the underperforming financials sector, which contributed to relative performance, as that sector faced challenges due to interest rate uncertainty.
The American Funds Insurance Series – Growth-Income Fund (the “Growth-Income Fund”) outperformed the benchmark for the year, as strong stock selection in consumer discretionary, technology, and health care stocks contributed. Amazon, the Growth-Income Fund’s second-largest holding, was the strongest contributor and continued to grow its market leadership in e-commerce and build on the success of its cloud business, Amazon Web Services. Another strong contributor was Alphabet (the parent company of Google), the Growth-Income Fund’s third-largest holding, which continued its dominance in the search engine business. In health care, biotechnology company Gilead was a Growth-Income Fund holding that enjoyed continued success with its hepatitis C drug. Conversely, from a sector perspective, industrials, materials, and energy detracted from the Growth-Income Fund’s performance. In industrials, U.S. rail companies CSX, Norfolk, and Union Pacific were Growth-Income Fund holdings that suffered over investor fears of a U.S. economic slowdown. Fund holdings in the materials and energy sectors declined along with prices across the commodities spectrum. Examples of laggards there included Vale, a Brazilian metals and mining company in the materials sector, and U.K. oil company Royal Dutch Shell, in the energy sector.
The American Funds Insurance Series – International Fund (the “International Fund”) outperformed the MSCI ACWI ex USA (the “Index”) for the year, as International Fund holdings in the financials, energy, and health care sectors were the primary drivers of performance. In financials, stock selection contributed, particularly with respect to Indian banks and insurance companies. Specifically, International Fund holdings HDFC Bank and Axis Bank were top contributors. In insurance, AIA Group was an International Fund holding that advanced strongly, driven by the continued growth of demand for life insurance and annuities in the Asia-Pacific region. The Fund held an underweight position in the underperforming energy sector, which benefited relative performance. Conversely, International Fund holdings in the consumer discretionary, telecommunications, and consumer staples sectors detracted from performance. In consumer discretionary, where the International Fund had an overweight stake, Volkswagen was the largest detractor. The German automobile maker became embroiled in a scandal over its alleged rigging of emissions tests. The International Fund ultimately sold its position in Volkswagen. Macau gaming stocks also detracted, with International Fund holdings Galaxy Entertainment Group and Sands China losing ground, largely due to China’s anti-corruption crackdown and macro-economic weakness. In telecommunications, International Fund holding Softbank – a Japanese multinational telecommunications and Internet corporation that owns Sprint USA and a large stake in Alibaba – underperformed, largely due to poor performance by Sprint, which continued to face competitive challenges. Finally, the International Fund’s underweight allocation to the strong-performing consumer staples sector worked against relative returns.
Capital Research’s outlook
Market volatility resurfaced in a big way in 2015. Markets were buffeted by slowing growth in China and emerging markets, depressed commodity prices, instability in the Middle East and a focus on the Federal Reserve in the U.S.
We believe there is likely to be further volatility in 2016, as major world markets are being pulled in different directions. We believe that questions for investors will revolve around whether or not the U.S. can sustain its growth while China slows, whether consumption in China will pick up enough to offset slowing infrastructure spending, and what opportunity may look like in low-growth areas such as Europe and Japan. Our view is that, as the year unfolds, investors who can see beyond macro-economic headlines and seek out bright spots across the investment landscape potentially stand to benefit.
22
MML American Funds Core Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML American Funds
Core Allocation Fund
Asset Allocation
(% of Net Assets) on 12/31/15 | |
| | |
Equity Funds | | | 64.0 | % |
Fixed Income Funds | | | 36.1 | % |
| | | | | |
Total Long-Term Investments | | | 100.1 | % |
Other Assets & Liabilities | | | (0.1 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
23
MML American Funds Core Allocation Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML American Funds Core Allocation Fund Service Class I, the S&P 500 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Core Allocation Index.
| | | | | | | | | | | | |
| | | | |
TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual 1/1/11 -
12/31/15 | | | Since Inception
Average
Annual
8/15/08 -
12/31/15 | |
Service Class I | | | -1.12% | | | | 7.11% | | | | 5.50% | |
S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 8.75% | |
Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.43% | |
MSCI ACWI ex USA | | | -5.66% | | | | 1.06% | | | | 1.21% | |
Custom MML Core Allocation Index | | | 0.61% | | | | 8.27% | | | | 6.90% | + |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
+ From 9/2/08.
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index, the Barclays U.S. Aggregate Bond Index, the MSCI ACWI ex USA, and the Custom MML Core Allocation Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
24
MML Conservative Allocation Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 42.8% | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class (a) | | | 1,167,140 | | | $ | 18,429,146 | |
MML Equity Income Fund, Initial Class (a) | | | 1,311,877 | | | | 14,811,092 | |
MML Focused Equity Fund, Class II (a) | | | 494,591 | | | | 6,009,276 | |
MML Foreign Fund, Initial Class (a) | | | 940,166 | | | | 8,922,172 | |
MML Fundamental Growth Fund, Class II (a) | | | 940,992 | | | | 11,790,634 | |
MML Fundamental Value Fund, Class II (a) | | | 1,124,438 | | | | 15,967,015 | |
MML Global Fund, Class I (a) | | | 918,807 | | | | 10,786,796 | |
MML Income & Growth Fund, Initial Class (a) | | | 961,082 | | | | 10,908,280 | |
MML International Equity Fund, Class II (a) | | | 1,005,672 | | | | 8,859,973 | |
MML Large Cap Growth Fund, Initial Class (a) | | | 987,465 | | | | 11,553,346 | |
MML Mid Cap Growth Fund, Initial Class (a) | | | 565,678 | | | | 8,768,004 | |
MML Mid Cap Value Fund, Initial Class (a) | | | 1,012,760 | | | | 10,877,046 | |
MML Small Cap Growth Equity Fund, Initial Class (a) | | | 161,880 | | | | 2,186,669 | |
MML Small Company Value Fund, Class II (a) | | | 340,419 | | | | 5,065,433 | |
MML Small/Mid Cap Value Fund, Initial Class (a) | | | 195,748 | | | | 2,219,785 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares (a) | | | 40,579 | | | | 3,118,463 | |
Oppenheimer Global Fund/VA, Non-Service Shares (a) | | | 217,899 | | | | 8,280,166 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares (a) | | | 3,090,684 | | | | 29,856,003 | |
Oppenheimer International Growth Fund/VA, Non-Service Shares (a) | | | 3,148,664 | | | | 6,927,061 | |
| | | | | | | | |
| | | | | | | 195,336,360 | |
| | | | | | | | |
| Fixed Income Funds — 57.3% | | | | | | | | |
MML Dynamic Bond Fund, Class II (a) | | | 5,963,265 | | | | 57,903,299 | |
MML High Yield Fund, Class II (a) | | | 1,936,560 | | | | 17,758,252 | |
MML Inflation-Protected and Income Fund, Initial Class (a) | | | 1,831,486 | | | | 18,150,023 | |
MML Managed Bond Fund, Initial Class (a) | | | 8,526,226 | | | | 104,975,821 | |
MML Short-Duration Bond Fund, Class II (a) | | | 1,705,983 | | | | 16,548,033 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
MML Total Return Bond Fund, Class II (a) | | | 4,513,410 | | | $ | 45,991,649 | |
| | | | | | | | |
| | | | | | | 261,327,077 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $477,773,933) | | | | | | | 456,663,437 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $477,773,933) | | | | | | | 456,663,437 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $477,773,933) (b) | | | | | | | 456,663,437 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (350,065 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 456,313,372 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Affiliated issuer. See Note 7 for a summary of transactions in the investments of affiliated issuers. |
| (b) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
25
MML Balanced Allocation Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 52.1% | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class (a) | | | 1,712,363 | | | $ | 27,038,213 | |
MML Equity Income Fund, Initial Class (a) | | | 1,744,461 | | | | 19,694,962 | |
MML Focused Equity Fund, Class II (a) | | | 863,712 | | | | 10,494,099 | |
MML Foreign Fund, Initial Class (a) | | | 1,578,092 | | | | 14,976,094 | |
MML Fundamental Growth Fund, Class II (a) | | | 1,356,886 | | | | 17,001,780 | |
MML Fundamental Value Fund, Class II (a) | | | 1,548,381 | | | | 21,987,008 | |
MML Global Fund, Class I (a) | | | 1,357,142 | | | | 15,932,846 | |
MML Income & Growth Fund, Initial Class (a) | | | 1,581,322 | | | | 17,948,003 | |
MML International Equity Fund, Class II (a) | | | 1,688,153 | | | | 14,872,626 | |
MML Large Cap Growth Fund, Initial Class (a) | | | 1,417,002 | | | | 16,578,923 | |
MML Mid Cap Growth Fund, Initial Class (a) | | | 1,018,445 | | | | 15,785,904 | |
MML Mid Cap Value Fund, Initial Class (a) | | | 1,589,173 | | | | 17,067,721 | |
MML Small Cap Growth Equity Fund, Initial Class (a) | | | 295,911 | | | | 3,997,140 | |
MML Small Company Value Fund, Class II (a) | | | 486,852 | | | | 7,244,363 | |
MML Small/Mid Cap Value Fund, Initial Class (a) | | | 385,482 | | | | 4,371,363 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares (a) | | | 73,033 | | | | 5,612,556 | |
Oppenheimer Global Fund/VA, Non-Service Shares (a) | | | 346,047 | | | | 13,149,782 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares (a) | | | 4,230,578 | | | | 40,867,384 | |
Oppenheimer International Growth Fund/VA, Non-Service Shares (a) | | | 6,092,835 | | | | 13,404,237 | |
| | | | | | | | |
| | | | | | | 298,025,004 | |
| | | | | | | | |
| Fixed Income Funds — 48.0% | | | | | | | | |
MML Dynamic Bond Fund, Class II (a) | | | 6,262,802 | | | | 60,811,811 | |
MML High Yield Fund, Class II (a) | | | 2,113,483 | | | | 19,380,635 | |
MML Inflation-Protected and Income Fund, Initial Class (a) | | | 2,006,442 | | | | 19,883,840 | |
MML Managed Bond Fund, Initial Class (a) | | | 8,462,758 | | | | 104,194,402 | |
MML Short-Duration Bond Fund, Class II (a) | | | 2,144,780 | | | | 20,804,370 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
MML Total Return Bond Fund, Class II (a) | | | 4,817,762 | | | $ | 49,092,996 | |
| | | | | | | | |
| | | | | | | 274,168,054 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $588,621,892) | | | | | | | 572,193,058 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $588,621,892) | | | | | | | 572,193,058 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $588,621,892) (b) | | | | | | | 572,193,058 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (427,306 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 571,765,752 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Affiliated issuer. See Note 7 for a summary of transactions in the investments of affiliated issuers. |
| (b) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
26
MML Moderate Allocation Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | |
| Equity Funds — 61.4% | |
MML Blue Chip Growth Fund, Initial Class (a) | | | 8,184,941 | | | $ | 129,240,217 | |
MML Equity Income Fund, Initial Class (a) | | | 7,849,388 | | | | 88,619,596 | |
MML Focused Equity Fund, Class II (a) | | | 5,314,303 | | | | 64,568,779 | |
MML Foreign Fund, Initial Class (a) | | | 7,686,617 | | | | 72,945,999 | |
MML Fundamental Growth Fund, Class II (a) | | | 6,304,428 | | | | 78,994,479 | |
MML Fundamental Value Fund, Class II (a) | | | 6,892,236 | | | | 97,869,752 | |
MML Global Fund, Class I (a) | | | 8,079,675 | | | | 94,855,380 | |
MML Income & Growth Fund, Initial Class (a) | | | 6,906,198 | | | | 78,385,343 | |
MML International Equity Fund, Class II (a) | | | 8,224,169 | | | | 72,454,931 | |
MML Large Cap Growth Fund, Initial Class (a) | | | 6,659,363 | | | | 77,914,545 | |
MML Mid Cap Growth Fund, Initial Class (a) | | | 5,220,967 | | | | 80,924,987 | |
MML Mid Cap Value Fund, Initial Class (a) | | | 8,084,466 | | | | 86,827,162 | |
MML Small Cap Growth Equity Fund, Initial Class (a) | | | 1,495,898 | | | | 20,206,474 | |
MML Small Company Value Fund, Class II (a) | | | 2,639,451 | | | | 39,275,032 | |
MML Small/Mid Cap Value Fund, Initial Class (a) | | | 1,746,669 | | | | 19,807,224 | |
MML Strategic Emerging Markets Fund, Class II (a) | | | 4,949,839 | | | | 40,341,191 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares (a) | | | 371,954 | | | | 28,584,668 | |
Oppenheimer Global Fund/VA, Non-Service Shares (a) | | | 1,369,488 | | | | 52,040,525 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares (a) | | | 18,158,610 | | | | 175,412,174 | |
Oppenheimer International Growth Fund/VA, Non-Service Shares (a) | | | 16,540,251 | | | | 36,388,553 | |
| | | | | | | | |
| | | | | | | 1,435,657,011 | |
| | | | | | | | |
| Fixed Income Funds — 38.7% | | | | | | | | |
MML Dynamic Bond Fund, Class II (a) | | | 19,891,309 | | | | 193,144,610 | |
MML High Yield Fund, Class II (a) | | | 6,660,545 | | | | 61,077,196 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
MML Inflation-Protected and Income Fund, Initial Class (a) | | | 7,044,413 | | | $ | 69,810,133 | |
MML Managed Bond Fund, Initial Class (a) | | | 27,926,248 | | | | 343,831,012 | |
MML Short-Duration Bond Fund, Class II (a) | | | 7,835,240 | | | | 76,001,830 | |
MML Total Return Bond Fund, Class II (a) | | | 15,791,998 | | | | 160,920,460 | |
| | | | | | | | |
| | | | | | | 904,785,241 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $2,403,523,778) | | | | | | | 2,340,442,252 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $2,403,523,778) | | | | | | | 2,340,442,252 | |
| | | | | | | | |
| | |
| TOTAL INVESTMENTS — 100.1% (Cost $2,403,523,778) (b) | | | | | | | 2,340,442,252 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (1,711,803 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 2,338,730,449 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Affiliated issuer. See Note 7 for a summary of transactions in the investments of affiliated issuers. |
| (b) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
27
MML Growth Allocation Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 75.6% | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class (a) | | | 7,224,353 | | | $ | 114,072,529 | |
MML Equity Income Fund, Initial Class (a) | | | 5,960,113 | | | | 67,289,675 | |
MML Focused Equity Fund, Class II (a) | | | 5,009,056 | | | | 60,860,036 | |
MML Foreign Fund, Initial Class (a) | | | 6,575,048 | | | | 62,397,206 | |
MML Fundamental Growth Fund, Class II (a) | | | 5,526,176 | | | | 69,242,990 | |
MML Fundamental Value Fund, Class II (a) | | | 5,259,437 | | | | 74,684,001 | |
MML Global Fund, Class I (a) | | | 7,587,562 | | | | 89,077,979 | |
MML Income & Growth Fund, Initial Class (a) | | | 4,641,511 | | | | 52,681,147 | |
MML International Equity Fund, Class II (a) | | | 7,033,804 | | | | 61,967,810 | |
MML Large Cap Growth Fund, Initial Class (a) | | | 5,852,306 | | | | 68,471,985 | |
MML Mid Cap Growth Fund, Initial Class (a) | | | 4,928,272 | | | | 76,388,220 | |
MML Mid Cap Value Fund, Initial Class (a) | | | 6,623,031 | | | | 71,131,352 | |
MML Small Cap Growth Equity Fund, Initial Class (a) | | | 1,310,125 | | | | 17,697,071 | |
MML Small Company Value Fund, Class II (a) | | | 2,231,233 | | | | 33,200,753 | |
MML Small/Mid Cap Value Fund, Initial Class (a) | | | 1,958,155 | | | | 22,205,475 | |
MML Strategic Emerging Markets Fund, Class II (a) | | | 4,892,264 | | | | 39,871,950 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares (a) | | | 353,340 | | | | 27,154,191 | |
Oppenheimer Global Fund/VA, Non-Service Shares (a) | | | 1,041,496 | | | | 39,576,848 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares (a) | | | 14,402,875 | | | | 139,131,775 | |
Oppenheimer International Growth Fund/VA, Non-Service Shares (a) | | | 13,406,401 | | | | 29,494,082 | |
| | | | | | | | |
| | | | | | | 1,216,597,075 | |
| | | | | | | | |
| Fixed Income Funds — 24.5% | | | | | | | | |
MML Dynamic Bond Fund, Class II (a) | | | 8,864,352 | | | | 86,072,859 | |
MML High Yield Fund, Class II (a) | | | 1,709,366 | | | | 15,674,888 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
MML Inflation-Protected and Income Fund, Initial Class (a) | | | 6,207,439 | | | $ | 61,515,724 | |
MML Managed Bond Fund, Initial Class (a) | | | 9,735,409 | | | | 119,863,423 | |
MML Short-Duration Bond Fund, Class II (a) | | | 4,041,195 | | | | 39,199,592 | |
MML Total Return Bond Fund, Class II (a) | | | 6,991,579 | | | | 71,244,187 | |
| | | | | | | | |
| | | | | | | 393,570,673 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $1,591,182,890) | | | | | | | 1,610,167,748 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $1,591,182,890) | | | | | | | 1,610,167,748 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $1,591,182,890) (b) | | | | | | | 1,610,167,748 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (1,063,939 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 1,609,103,809 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Affiliated issuer. See Note 7 for a summary of transactions in the investments of affiliated issuers. |
| (b) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
28
MML Aggressive Allocation Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 90.0% | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class (a) | | | 634,872 | | | $ | 10,024,622 | |
MML Equity Income Fund, Initial Class (a) | | | 534,057 | | | | 6,029,504 | |
MML Focused Equity Fund, Class II (a) | | | 456,845 | | | | 5,550,668 | |
MML Foreign Fund, Initial Class (a) | | | 629,255 | | | | 5,971,630 | |
MML Fundamental Growth Fund, Class II (a) | | | 489,197 | | | | 6,129,644 | |
MML Fundamental Value Fund, Class II (a) | | | 466,188 | | | | 6,619,874 | |
MML Global Fund, Class I (a) | | | 667,387 | | | | 7,835,128 | |
MML Income & Growth Fund, Initial Class (a) | | | 413,791 | | | | 4,696,528 | |
MML International Equity Fund, Class II (a) | | | 673,188 | | | | 5,930,787 | |
MML Large Cap Growth Fund, Initial Class (a) | | | 522,418 | | | | 6,112,291 | |
MML Mid Cap Growth Fund, Initial Class (a) | | | 483,289 | | | | 7,490,979 | |
MML Mid Cap Value Fund, Initial Class (a) | | | 660,236 | | | | 7,090,938 | |
MML Small Cap Growth Equity Fund, Initial Class (a) | | | 132,887 | | | | 1,795,033 | |
MML Small Company Value Fund, Class II (a) | | | 221,501 | | | | 3,295,938 | |
MML Small/Mid Cap Value Fund, Initial Class (a) | | | 193,691 | | | | 2,196,451 | |
MML Strategic Emerging Markets Fund, Class II (a) | | | 503,233 | | | | 4,101,350 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares (a) | | | 35,731 | | | | 2,745,932 | |
Oppenheimer Global Fund/VA, Non-Service Shares (a) | | | 91,900 | | | | 3,492,213 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares (a) | | | 1,171,285 | | | | 11,314,615 | |
Oppenheimer International Growth Fund/VA, Non-Service Shares (a) | | | 1,172,242 | | | | 2,578,933 | |
| | | | | | | | |
| | | | | | | 111,003,058 | |
| | | | | | | | |
| Fixed Income Funds — 10.1% | | | | | | | | |
MML Dynamic Bond Fund, Class II (a) | | | 237,604 | | | | 2,307,131 | |
MML Inflation-Protected and Income Fund, Initial Class (a) | | | 314,711 | | | | 3,118,783 | |
MML Managed Bond Fund, Initial Class (a) | | | 216,089 | | | | 2,660,506 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
MML Short-Duration Bond Fund, Class II (a) | | | 278,729 | | | $ | 2,703,668 | |
MML Total Return Bond Fund, Class II (a) | | | 166,200 | | | | 1,693,578 | |
| | | | | | | | |
| | | | | | | 12,483,666 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $129,247,807) | | | | | | | 123,486,724 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $129,247,807) | | | | | | | 123,486,724 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $129,247,807) (b) | | | | | | | 123,486,724 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (94,175 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 123,392,549 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Affiliated issuer. See Note 7 for a summary of transactions in the investments of affiliated issuers. |
| (b) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
29
MML American Funds Growth Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 100.1% | | | | | | | | |
American Funds Growth Fund, Class 1 | | | 1,879,221 | | | $ | 127,824,642 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $119,475,530) | | | | | | | 127,824,642 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $119,475,530) | | | | | | | 127,824,642 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $119,475,530) (a) | | | | | | | 127,824,642 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (158,079 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 127,666,563 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
30
MML American Funds International Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 100.1% | | | | | | | | |
American Funds International Fund, Class 1 | | | 3,078,980 | | | $ | 55,667,966 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $55,442,016) | | | | | | | 55,667,966 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $55,442,016) | | | | | | | 55,667,966 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $55,442,016) (a) | | | | | | | 55,667,966 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (79,295 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 55,588,671 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
31
MML American Funds Core Allocation Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 100.1% | | | | | | | | |
| Equity Funds — 64.0% | | | | | | | | |
American Funds Blue Chip Income and Growth Fund, Class 1 | | | 15,742,011 | | | $ | 198,664,175 | |
American Funds Growth-Income Fund, Class 1 | | | 5,413,169 | | | | 245,757,854 | |
American Funds International Fund, Class 1 | | | 4,221,182 | | | | 76,318,978 | |
| | | | | | | | |
| | | | | | | 520,741,007 | |
| | | | | | | | |
| Fixed Income Funds — 36.1% | | | | | | | | |
American Funds Bond Fund, Class 1 | | | 27,410,102 | | | | 293,288,087 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $767,911,454) | | | | | | | 814,029,094 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM
INVESTMENTS
(Cost $767,911,454) | | | | | | | 814,029,094 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $767,911,454) (a) | | | | | | | 814,029,094 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (925,939 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 813,103,155 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
32
THIS PAGE INTENTIONALLY LEFT BLANK
33
MML Series Investment Fund – Financial Statements
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Conservative
Allocation
Fund | | | MML
Balanced
Allocation
Fund | |
| Assets: | | | | | | | | |
Investments, at value — unaffiliated issuers (Note 2) (a) | | $ | - | | | $ | - | |
Investments, at value — affiliated issuers (Note 2 & 7) (b) | | | 456,663,437 | | | | 572,193,058 | |
| | | | | | | | |
Total investments | | | 456,663,437 | | | | 572,193,058 | |
| | | | | | | | |
Receivables from: | | | | | | | | |
Investments sold | | | 162,730 | | | | 1,199 | |
Investment adviser (Note 3) | | | - | | | | - | |
Fund shares sold | | | 2,276 | | | | 135,489 | |
| | | | | | | | |
Total assets | | | 456,828,443 | | | | 572,329,746 | |
| | | | | | | | |
| Liabilities: | | | | | | | | |
Payables for: | | | | | | | | |
Investments purchased | | | - | | | | 119,556 | |
Fund shares repurchased | | | 162,901 | | | | 14,516 | |
Trustees’ fees and expenses (Note 3) | | | 66,999 | | | | 80,328 | |
Affiliates (Note 3): | | | | | | | | |
Investment advisory fees | | | 39,174 | | | | 48,790 | |
Administration fees | | | - | | | | - | |
Service fees | | | 217,318 | | | | 271,159 | |
Accrued expense and other liabilities | | | 28,679 | | | | 29,645 | |
| | | | | | | | |
Total liabilities | | | 515,071 | | | | 563,994 | |
| | | | | | | | |
Net assets | | $ | 456,313,372 | | | $ | 571,765,752 | |
| | | | | | | | |
| Net assets consist of: | | | | | | | | |
Paid-in capital | | $ | 443,296,647 | | | $ | 537,193,801 | |
Undistributed (accumulated) net investment income (loss) | | | 10,438,968 | | | | 12,170,055 | |
Accumulated net realized gain (loss) on investments and foreign currency transactions | | | 23,688,253 | | | | 38,830,730 | |
Net unrealized appreciation (depreciation) on investments and foreign currency translations | | | (21,110,496 | ) | | | (16,428,834 | ) |
| | | | | | | | |
Net assets | | $ | 456,313,372 | | | $ | 571,765,752 | |
| | | | | | | | |
| | | | | | | | |
(a) Cost of investments — unaffiliated issuers: | | $ | - | | | $ | - | |
(b) Cost of investments — affiliated issuers: | | $ | 477,773,933 | | | $ | 588,621,892 | |
The accompanying notes are an integral part of the financial statements.
34
| | | | | | | | | | | | | | | | | | | | | | |
MML
Moderate
Allocation
Fund | | | MML
Growth
Allocation
Fund | | | MML
Aggressive
Allocation
Fund | | | MML
American
Funds Growth
Fund | | | MML
American
Funds
International
Fund | | | MML
American
Funds Core
Allocation
Fund | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | 127,824,642 | | | $ | 55,667,966 | | | $ | 814,029,094 | |
| | 2,340,442,252 | | | | 1,610,167,748 | | | | 123,486,724 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 2,340,442,252 | | | | 1,610,167,748 | | | | 123,486,724 | | | | 127,824,642 | | | | 55,667,966 | | | | 814,029,094 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 39,775 | | | | 290,707 | | | | - | | | | 3,332,469 | | | | - | | | | - | |
| | - | | | | - | | | | - | | | | - | | | | 1,241 | | | | - | |
| | 781,396 | | | | 19,463 | | | | 79,433 | | | | 55,404 | | | | 764,712 | | | | 524,361 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 2,341,263,423 | | | | 1,610,477,918 | | | | 123,566,157 | | | | 131,212,515 | | | | 56,433,919 | | | | 814,553,455 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 252,963 | | | | - | | | | 71,640 | | | | - | | | | 764,394 | | | | 229,317 | |
| | 557,556 | | | | 302,767 | | | | 7,235 | | | | 3,387,291 | | | | 65 | | | | 291,403 | |
| | 266,139 | | | | 255,231 | | | | 15,407 | | | | 12,660 | | | | 7,249 | | | | 84,684 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 199,384 | | | | 137,534 | | | | 10,495 | | | | 16,674 | | | | 6,994 | | | | 137,964 | |
| | - | | | | - | | | | - | | | | 27,790 | | | | 11,657 | | | | 172,457 | |
| | 1,213,518 | | | | 639,910 | | | | 42,636 | | | | 81,247 | | | | 35,061 | | | | 508,388 | |
| | 43,414 | | | | 38,667 | | | | 26,195 | | | | 20,290 | | | | 19,828 | | | | 26,087 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 2,532,974 | | | | 1,374,109 | | | | 173,608 | | | | 3,545,952 | | | | 845,248 | | | | 1,450,300 | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 2,338,730,449 | | | $ | 1,609,103,809 | | | $ | 123,392,549 | | | $ | 127,666,563 | | | $ | 55,588,671 | | | $ | 813,103,155 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 2,192,617,319 | | | $ | 1,397,830,631 | | | $ | 114,277,073 | | | $ | 89,999,933 | | | $ | 50,790,773 | | | $ | 684,839,169 | |
| | 44,735,030 | | | | 27,457,310 | | | | 1,780,744 | | | | 255,401 | | | | 625,998 | | | | 16,008,733 | |
| | 164,459,626 | | | | 164,831,010 | | | | 13,095,815 | | | | 29,062,117 | | | | 3,945,950 | | | | 66,137,613 | |
| | (63,081,526 | ) | | | 18,984,858 | | | | (5,761,083 | ) | | | 8,349,112 | | | | 225,950 | | | | 46,117,640 | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 2,338,730,449 | | | $ | 1,609,103,809 | | | $ | 123,392,549 | | | $ | 127,666,563 | | | $ | 55,588,671 | | | $ | 813,103,155 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | 119,475,530 | | | $ | 55,442,016 | | | $ | 767,911,454 | |
| $ | 2,403,523,778 | | | $ | 1,591,182,890 | | | $ | 129,247,807 | | | $ | - | | | $ | - | | | $ | - | |
35
MML Series Investment Fund – Financial Statements (Continued)
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Conservative
Allocation
Fund | | | MML
Balanced
Allocation
Fund | |
| Initial Class shares: | | | | | | | | |
Net assets | | $ | 117,636,437 | | | $ | 144,083,859 | |
| | | | | | | | |
Shares outstanding (a) | | | 11,970,664 | | | | 14,336,318 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 9.83 | | | $ | 10.05 | |
| | | | | | | | |
| Service Class shares: | | | | | | | | |
Net assets | | $ | 338,676,935 | | | $ | 427,681,893 | |
| | | | | | | | |
Shares outstanding (a) | | | 34,770,097 | | | | 42,872,100 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 9.74 | | | $ | 9.98 | |
| | | | | | | | |
| Service Class I shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| (a) | Authorized unlimited number of shares with no par value. |
The accompanying notes are an integral part of the financial statements.
36
| | | | | | | | | | | | | | | | | | | | | | |
MML
Moderate
Allocation
Fund | | | MML
Growth
Allocation
Fund | | | MML
Aggressive
Allocation
Fund | | | MML
American
Funds Growth
Fund | | | MML
American
Funds
International
Fund | | | MML
American
Funds Core
Allocation
Fund | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 416,556,050 | | | $ | 605,992,819 | | | $ | 55,419,852 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 39,070,890 | | | | 62,532,072 | | | | 5,485,822 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 10.66 | | | $ | 9.69 | | | $ | 10.10 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 1,922,174,399 | | | $ | 1,003,110,990 | | | $ | 67,972,697 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 181,932,664 | | | | 104,193,068 | | | | 6,800,218 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 10.57 | | | $ | 9.63 | | | $ | 10.00 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | 127,666,563 | | | $ | 55,588,671 | | | $ | 813,103,155 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | 8,786,323 | | | | 5,774,530 | | | | 67,299,568 | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | 14.53 | | | $ | 9.63 | | | $ | 12.08 | |
| | | | | | | | | | | | | | | | | | | | | | |
37
MML Series Investment Fund – Financial Statements (Continued)
Statements of Operations
For the Year Ended December 31, 2015
| | | | | | | | |
| | | MML
Conservative
Allocation
Fund | | | MML
Balanced
Allocation
Fund | |
| Investment income (Note 2): | | | | | | | | |
Dividends — unaffiliated issuers | | $ | - | | | $ | - | |
Dividends — affiliated issuers (Note 7) | | | 9,964,954 | | | | 11,352,912 | |
| | | | | | | | |
Total investment income | | | 9,964,954 | | | | 11,352,912 | |
| | | | | | | | |
| Expenses (Note 3): | | | | | | | | |
Investment advisory fees | | | 470,952 | | | | 591,685 | |
Custody fees | | | 23,116 | | | | 23,130 | |
Audit fees | | | 29,371 | | | | 29,449 | |
Legal fees | | | 5,214 | | | | 6,651 | |
Proxy fees | | | 1,033 | | | | 1,033 | |
Shareholder reporting fees | | | 10,878 | | | | 12,888 | |
Trustees’ fees | | | 28,697 | | | | 36,163 | |
| | | | | | | | |
| | | 569,261 | | | | 700,999 | |
Administration fees: | | | | | | | | |
Service Class I | | | - | | | | - | |
Service fees: | | | | | | | | |
Service Class | | | 863,469 | | | | 1,086,564 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total expenses | | | 1,432,730 | | | | 1,787,563 | |
Expenses waived (Note 3): | | | | | | | | |
Service Class I fees reimbursed by adviser | | | - | | | | - | |
| | | | | | | | |
Net expenses | | | 1,432,730 | | | | 1,787,563 | |
| | | | | | | | |
Net investment income (loss) | | | 8,532,224 | | | | 9,565,349 | |
| | | | | | | | |
| Realized and unrealized gain (loss): | | | | | | | | |
Net realized gain (loss) on: | | | | | | | | |
Investment transactions — unaffiliated issuers | | | - | | | | - | |
Investment transactions — affiliated issuers (Note 7) | | | 6,926,931 | | | | 13,278,807 | |
Realized gain distributions — unaffiliated issuers | | | - | | | | - | |
Realized gain distributions — affiliated issuers (Note 7) | | | 19,317,782 | | | | 28,418,562 | |
| | | | | | | | |
Net realized gain (loss) | | | 26,244,713 | | | | 41,697,369 | |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) on: | | | | | | | | |
Investment transactions — unaffiliated issuers | | | - | | | | - | |
Investment transactions — affiliated issuers | | | (37,319,169 | ) | | | (54,370,281 | ) |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) | | | (37,319,169 | ) | | | (54,370,281 | ) |
| | | | | | | | |
Net realized gain (loss) and change in unrealized appreciation (depreciation) | | | (11,074,456 | ) | | | (12,672,912 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | $ | (2,542,232 | ) | | $ | (3,107,563 | ) |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
38
| | | | | | | | | | | | | | | | | | | | | | |
MML
Moderate
Allocation
Fund | | | MML
Growth
Allocation
Fund | | | MML
Aggressive
Allocation
Fund | | | MML
American
Funds Growth
Fund | | | MML
American
Funds
International
Fund | | | MML
American
Funds Core
Allocation
Fund | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | 1,109,099 | | | $ | 1,020,621 | | | $ | 15,246,133 | |
| | 40,571,246 | | | | 22,576,087 | | | | 1,343,053 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 40,571,246 | | | | 22,576,087 | | | | 1,343,053 | | | | 1,109,099 | | | | 1,020,621 | | | | 15,246,133 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 2,338,604 | | | | 1,683,932 | | | | 124,068 | | | | 183,960 | | | | 83,254 | | | | 1,532,195 | |
| | 24,153 | | | | 24,109 | | | | 23,961 | | | | 1,824 | | | | 1,824 | | | | 6,394 | |
| | 30,558 | | | | 30,149 | | | | 29,151 | | | | 29,147 | | | | 29,106 | | | | 29,551 | |
| | 26,273 | | | | 18,905 | | | | 1,399 | | | | 1,521 | | | | 702 | | | | 9,429 | |
| | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | |
| | 40,997 | | | | 29,959 | | | | 5,537 | | | | 5,613 | | | | 4,368 | | | | 15,576 | |
| | 141,845 | | | | 103,126 | | | | 7,561 | | | | 7,367 | | | | 3,381 | | | | 45,949 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 2,603,463 | | | | 1,891,213 | | | | 192,710 | | | | 230,465 | | | | 123,668 | | | | 1,640,127 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | 306,600 | | | | 138,757 | | | | 1,915,244 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 4,713,383 | | | | 2,595,280 | | | | 166,345 | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | - | | | | 306,600 | | | | 138,757 | | | | 1,915,244 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 7,316,846 | | | | 4,486,493 | | | | 359,055 | | | | 843,665 | | | | 401,182 | | | | 5,470,615 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | (12,664 | ) | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 7,316,846 | | | | 4,486,493 | | | | 359,055 | | | | 843,665 | | | | 388,518 | | | | 5,470,615 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 33,254,400 | | | | 18,089,594 | | | | 983,998 | | | | 265,434 | | | | 632,103 | | | | 9,775,518 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | 4,118,479 | | | | 836,336 | | | | 11,907,660 | |
| | 46,080,871 | | | | 60,120,589 | | | | 3,962,832 | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | - | | | | 24,972,422 | | | | 3,120,671 | | | | 60,826,255 | |
| | 130,754,133 | | | | 115,181,420 | | | | 10,131,124 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 176,835,004 | | | | 175,302,009 | | | | 14,093,956 | | | | 29,090,901 | | | | 3,957,007 | | | | 72,733,915 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | (21,936,851 | ) | | | (7,549,023 | ) | | | (92,597,078 | ) |
| | (232,107,546 | ) | | | (206,408,711 | ) | | | (16,481,035 | ) | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | |
| | (232,107,546 | ) | | | (206,408,711 | ) | | | (16,481,035 | ) | | | (21,936,851 | ) | | | (7,549,023 | ) | | | (92,597,078 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | (55,272,542 | ) | | | (31,106,702 | ) | | | (2,387,079 | ) | | | 7,154,050 | | | | (3,592,016 | ) | | | (19,863,163 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | (22,018,142 | ) | | $ | (13,017,108 | ) | | $ | (1,403,081 | ) | | $ | 7,419,484 | | | $ | (2,959,913 | ) | | $ | (10,087,645 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
39
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Conservative Allocation Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 8,532,224 | | | $ | 9,748,029 | |
Net realized gain (loss) on investment transactions | | | 26,244,713 | | | | 35,476,461 | |
Net change in unrealized appreciation (depreciation) on investments | | | (37,319,169 | ) | | | (22,033,023 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | (2,542,232 | ) | | | 23,191,467 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | (3,548,310 | ) | | | (3,316,678 | ) |
Service Class | | | (9,257,469 | ) | | | (7,634,184 | ) |
| | | | | | | | |
Total distributions from net investment income | | | (12,805,779 | ) | | | (10,950,862 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Initial Class | | | (8,482,637 | ) | | | (8,558,756 | ) |
Service Class | | | (24,137,599 | ) | | | (21,713,529 | ) |
| | | | | | | | |
Total distributions from net realized gains | | | (32,620,236 | ) | | | (30,272,285 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | (1,290,436 | ) | | | (4,941,717 | ) |
Service Class | | | 32,124,904 | | | | 28,425,895 | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | 30,834,468 | | | | 23,484,178 | |
| | | | | | | | |
Total increase (decrease) in net assets | | | (17,133,779 | ) | | | 5,452,498 | |
| Net assets | | | | | | | | |
Beginning of year | | | 473,447,151 | | | | 467,994,653 | |
| | | | | | | | |
End of year | | $ | 456,313,372 | | | $ | 473,447,151 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 10,438,968 | | | $ | 12,743,544 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
40
| | | | | | | | | | | | | | | | | | | | | | |
MML
Balanced Allocation Fund | | | MML
Moderate Allocation Fund | | | MML
Growth Allocation Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 9,565,349 | | | $ | 10,862,858 | | | $ | 33,254,400 | | | $ | 33,468,350 | | | $ | 18,089,594 | | | $ | 20,696,901 | |
| | 41,697,369 | | | | 47,662,995 | | | | 176,835,004 | | | | 180,516,920 | | | | 175,302,009 | | | | 202,866,564 | |
| | (54,370,281 | ) | | | (29,577,365 | ) | | | (232,107,546 | ) | | | (103,221,483 | ) | | | (206,408,711 | ) | | | (131,625,524 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | (3,107,563 | ) | | | 28,948,488 | | | | (22,018,142 | ) | | | 110,763,787 | | | | (13,017,108 | ) | | | 91,937,941 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | (4,229,838 | ) | | | (3,493,205 | ) | | | (10,521,815 | ) | | | (7,789,127 | ) | | | (15,422,196 | ) | | | (10,171,624 | ) |
| | (11,062,307 | ) | | | (7,749,627 | ) | | | (41,343,113 | ) | | | (25,050,379 | ) | | | (22,654,401 | ) | | | (13,443,525 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | (15,292,145 | ) | | | (11,242,832 | ) | | | (51,864,928 | ) | | | (32,839,506 | ) | | | (38,076,597 | ) | | | (23,615,149 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | (11,110,139 | ) | | | (10,148,367 | ) | | | (30,264,718 | ) | | | (27,413,258 | ) | | | (68,635,702 | ) | | | (54,601,309 | ) |
| | (31,751,368 | ) | | | (25,073,115 | ) | | | (130,628,347 | ) | | | (99,204,242 | ) | | | (112,068,753 | ) | | | (84,318,527 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | (42,861,507 | ) | | | (35,221,482 | ) | | | (160,893,065 | ) | | | (126,617,500 | ) | | | (180,704,455 | ) | | | (138,919,836 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | (7,845,258 | ) | | | 7,872,198 | | | | (6,251,096 | ) | | | 9,978,414 | | | | 32,647,952 | | | | 28,647,305 | |
| | 42,469,680 | | | | 49,812,634 | | | | 322,910,814 | | | | 349,026,913 | | | | 112,688,243 | | | | 82,255,959 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 34,624,422 | | | | 57,684,832 | | | | 316,659,718 | | | | 359,005,327 | | | | 145,336,195 | | | | 110,903,264 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | (26,636,793 | ) | | | 40,169,006 | | | | 81,883,583 | | | | 310,312,108 | | | | (86,461,965 | ) | | | 40,306,220 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 598,402,545 | | | | 558,233,539 | | | | 2,256,846,866 | | | | 1,946,534,758 | | | | 1,695,565,774 | | | | 1,655,259,554 | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 571,765,752 | | | $ | 598,402,545 | | | $ | 2,338,730,449 | | | $ | 2,256,846,866 | | | $ | 1,609,103,809 | | | $ | 1,695,565,774 | |
| | | | | | | | | | | | | | | | | | | | | | |
$ | 12,170,055 | | | $ | 15,218,288 | | | $ | 44,735,030 | | | $ | 33,284,754 | | | $ | 27,457,310 | | | $ | 37,836,803 | |
| | | | | | | | | | | | | | | | | | | | | | |
41
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Aggressive Allocation Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 983,998 | | | $ | 1,002,461 | |
Net realized gain (loss) on investment transactions | | | 14,093,956 | | | | 16,175,218 | |
Net change in unrealized appreciation (depreciation) on investments | | | (16,481,035 | ) | | | (10,698,722 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | (1,403,081 | ) | | | 6,478,957 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | (1,172,374 | ) | | | (602,090 | ) |
Service Class | | | (1,250,188 | ) | | | (524,093 | ) |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net investment income | | | (2,422,562 | ) | | | (1,126,183 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Initial Class | | | (6,716,268 | ) | | | (4,842,596 | ) |
Service Class | | | (7,984,963 | ) | | | (5,079,903 | ) |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net realized gains | | | (14,701,231 | ) | | | (9,922,499 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | 5,801,096 | | | | 3,432,821 | |
Service Class | | | 15,411,238 | | | | 13,802,672 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | 21,212,334 | | | | 17,235,493 | |
| | | | | | | | |
Total increase (decrease) in net assets | | | 2,685,460 | | | | 12,665,768 | |
| Net assets | | | | | | | | |
Beginning of year | | | 120,707,089 | | | | 108,041,321 | |
| | | | | | | | |
End of year | | $ | 123,392,549 | | | $ | 120,707,089 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 1,780,744 | | | $ | 2,408,677 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
42
| | | | | | | | | | | | | | | | | | | | | | |
MML
American Funds Growth Fund | | | MML
American Funds International Fund | | | MML
American Funds Core Allocation Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 265,434 | | | $ | 842,597 | | | $ | 632,103 | | | $ | 505,794 | | | $ | 9,775,518 | | | $ | 10,438,955 | |
| | 29,090,901 | | | | 7,372,634 | | | | 3,957,007 | | | | 1,279,794 | | | | 72,733,915 | | | | 19,404,007 | |
| | (21,936,851 | ) | | | (124,585 | ) | | | (7,549,023 | ) | | | (3,343,434 | ) | | | (92,597,078 | ) | | | 17,450,415 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 7,419,484 | | | | 8,090,646 | | | | (2,959,913 | ) | | | (1,557,846 | ) | | | (10,087,645 | ) | | | 47,293,377 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | - | | | | - | | | | - | | | | - | |
| | (845,292 | ) | | | (446,049 | ) | | | (507,014 | ) | | | (420,622 | ) | | | (10,454,332 | ) | | | (6,184,753 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | (845,292 | ) | | | (446,049 | ) | | | (507,014 | ) | | | (420,622 | ) | | | (10,454,332 | ) | | | (6,184,753 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | - | | | | - | | | | - | | | | - | |
| | (7,362,462 | ) | | | (3,755,899 | ) | | | (1,269,671 | ) | | | (1,619,296 | ) | | | (19,404,002 | ) | | | (20,183,153 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | (7,362,462 | ) | | | (3,755,899 | ) | | | (1,269,671 | ) | | | (1,619,296 | ) | | | (19,404,002 | ) | | | (20,183,153 | ) |
| | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | - | | | | - | | | | - | | | | - | |
| | 16,528,308 | | | | 13,870,736 | | | | 8,983,872 | | | | 6,484,094 | | | | 156,441,371 | | | | 125,165,626 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 16,528,308 | | | | 13,870,736 | | | | 8,983,872 | | | | 6,484,094 | | | | 156,441,371 | | | | 125,165,626 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 15,740,038 | | | | 17,759,434 | | | | 4,247,274 | | | | 2,886,330 | | | | 116,495,392 | | | | 146,091,097 | |
| | | | | | | | | | | | | | | | | | | | | | |
| | 111,926,525 | | | | 94,167,091 | | | | 51,341,397 | | | | 48,455,067 | | | | 696,607,763 | | | | 550,516,666 | |
| | | | | | | | | | | | | | | | | | | | | | |
| $ | 127,666,563 | | | $ | 111,926,525 | | | $ | 55,588,671 | | | $ | 51,341,397 | | | $ | 813,103,155 | | | $ | 696,607,763 | |
| | | | | | | | | | | | | | | | | | | | | | |
$ | 255,401 | | | $ | 835,284 | | | $ | 625,998 | | | $ | 500,927 | | | $ | 16,008,733 | | | $ | 10,386,072 | |
| | | | | | | | | | | | | | | | | | | | | | |
43
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Conservative Allocation Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assetsw | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.94 | | | $ | 0.21 | | | $ | (0.25 | ) | | $ | (0.04 | ) | | $ | (0.32 | ) | | $ | (0.75 | ) | | $ | (1.07 | ) | | $ | 9.83 | | | | (0.38% | ) | | $ | 117,636 | | | | 0.12% | | | | 1.96% | |
| 12/31/14 | | | 11.40 | | | | 0.25 | | | | 0.33 | | | | 0.58 | | | | (0.29 | ) | | | (0.75 | ) | | | (1.04 | ) | | | 10.94 | | | | 5.13% | | | | 131,214 | | | | 0.13% | | | | 2.22% | |
| 12/31/13 | | | 10.81 | | | | 0.25 | | | | 0.93 | | | | 1.18 | | | | (0.26 | ) | | | (0.33 | ) | | | (0.59 | ) | | | 11.40 | | | | 11.32% | | | | 141,078 | | | | 0.13% | | | | 2.19% | |
| 12/31/12 | | | 10.24 | | | | 0.25 | | | | 0.90 | | | | 1.15 | | | | (0.21 | ) | | | (0.37 | ) | | | (0.58 | ) | | | 10.81 | | | | 11.40% | | | | 140,899 | | | | 0.13% | | | | 2.29% | |
| 12/31/11 | | | 10.82 | | | | 0.21 | | | | 0.06 | | | | 0.27 | | | | (0.31 | ) | | | (0.54 | ) | | | (0.85 | ) | | | 10.24 | | | | 2.57% | | | | 113,666 | | | | 0.13% | | | | 2.00% | |
| Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.85 | | | $ | 0.19 | | | $ | (0.26 | ) | | $ | (0.07 | ) | | $ | (0.29 | ) | | $ | (0.75 | ) | | $ | (1.04 | ) | | $ | 9.74 | | | | (0.63% | ) | | $ | 338,677 | | | | 0.37% | | | | 1.76% | |
| 12/31/14 | | | 11.32 | | | | 0.23 | | | | 0.31 | | | | 0.54 | | | | (0.26 | ) | | | (0.75 | ) | | | (1.01 | ) | | | 10.85 | | | | 4.83% | | | | 342,234 | | | | 0.38% | | | | 2.01% | |
| 12/31/13 | | | 10.74 | | | | 0.22 | | | | 0.93 | | | | 1.15 | | | | (0.24 | ) | | | (0.33 | ) | | | (0.57 | ) | | | 11.32 | | | | 11.07% | | | | 326,916 | | | | 0.38% | | | | 1.96% | |
| 12/31/12 | | | 10.18 | | | | 0.22 | | | | 0.90 | | | | 1.12 | | | | (0.19 | ) | | | (0.37 | ) | | | (0.56 | ) | | | 10.74 | | | | 11.15% | | | | 295,560 | | | | 0.38% | | | | 2.05% | |
| 12/31/11 | | | 10.77 | | | | 0.19 | | | | 0.04 | | | | 0.23 | | | | (0.28 | ) | | | (0.54 | ) | | | (0.82 | ) | | | 10.18 | | | | 2.28% | | | | 231,334 | | | | 0.38% | | | | 1.75% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 29 | % | | | 33 | % | | | 33 | % | | | 18 | % | | | 20 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| w | Expenses of the underlying funds are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying fund. |
| x | Amount does not include the portfolio activity of any underlying fund. |
The accompanying notes are an integral part of the financial statements.
44
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Balanced Allocation Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assetsw | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.23 | | | $ | 0.19 | | | $ | (0.23 | ) | | $ | (0.04 | ) | | $ | (0.31 | ) | | $ | (0.83 | ) | | $ | (1.14 | ) | | $ | 10.05 | | | | (0.36% | ) | | $ | 144,084 | | | | 0.12% | | | | 1.77% | |
| 12/31/14 | | | 11.58 | | | | 0.24 | | | | 0.38 | | | | 0.62 | | | | (0.25 | ) | | | (0.72 | ) | | | (0.97 | ) | | | 11.23 | | | | 5.35% | | | | 167,530 | | | | 0.12% | | | | 2.05% | |
| 12/31/13 | | | 10.85 | | | | 0.23 | | | | 1.29 | | | | 1.52 | | | | (0.28 | ) | | | (0.51 | ) | | | (0.79 | ) | | | 11.58 | | | | 14.49% | | | | 164,583 | | | | 0.13% | | | | 1.99% | |
| 12/31/12 | | | 10.06 | | | | 0.22 | | | | 1.01 | | | | 1.23 | | | | (0.19 | ) | | | (0.25 | ) | | | (0.44 | ) | | | 10.85 | | | | 12.40% | | | | 148,872 | | | | 0.13% | | | | 2.08% | |
| 12/31/11 | | | 10.34 | | | | 0.18 | | | | (0.00 | )d | | | 0.18 | | | | (0.27 | ) | | | (0.19 | ) | | | (0.46 | ) | | | 10.06 | | | | 1.73% | | | | 126,438 | | | | 0.13% | | | | 1.76% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.16 | | | $ | 0.17 | | | $ | (0.23 | ) | | $ | (0.06 | ) | | $ | (0.29 | ) | | $ | (0.83 | ) | | $ | (1.12 | ) | | $ | 9.98 | | | | (0.61% | ) | | $ | 427,682 | | | | 0.37% | | | | 1.56% | |
| 12/31/14 | | | 11.52 | | | | 0.21 | | | | 0.37 | | | | 0.58 | | | | (0.22 | ) | | | (0.72 | ) | | | (0.94 | ) | | | 11.16 | | | | 5.07% | | | | 430,872 | | | | 0.37% | | | | 1.81% | |
| 12/31/13 | | | 10.80 | | | | 0.20 | | | | 1.28 | | | | 1.48 | | | | (0.25 | ) | | | (0.51 | ) | | | (0.76 | ) | | | 11.52 | | | | 14.23% | | | | 393,650 | | | | 0.38% | | | | 1.75% | |
| 12/31/12 | | | 10.02 | | | | 0.19 | | | | 1.01 | | | | 1.20 | | | | (0.17 | ) | | | (0.25 | ) | | | (0.42 | ) | | | 10.80 | | | | 12.12% | | | | 312,268 | | | | 0.38% | | | | 1.83% | |
| 12/31/11 | | | 10.30 | | | | 0.16 | | | | 0.00 | d | | | 0.16 | | | | (0.25 | ) | | | (0.19 | ) | | | (0.44 | ) | | | 10.02 | | | | 1.54% | | | | 249,453 | | | | 0.38% | | | | 1.51% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 26 | % | | | 23 | % | | | 22 | % | | | 21 | % | | | 12 | % |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| w | Expenses of the underlying funds are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying fund. |
| x | Amount does not include the portfolio activity of any underlying fund. |
The accompanying notes are an integral part of the financial statements.
45
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Moderate Allocation Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assetsw | | | Net
investment
income
(loss) to
average
daily net
assets | |
| Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.83 | | | $ | 0.18 | | | $ | (0.26 | ) | | $ | (0.08 | ) | | $ | (0.28 | ) | | $ | (0.81 | ) | | $ | (1.09 | ) | | $ | 10.66 | | | | (0.64% | ) | | $ | 416,556 | | | | 0.11% | | | | 1.59% | |
| 12/31/14 | | | 12.10 | | | | 0.21 | | | | 0.47 | | | | 0.68 | | | | (0.21 | ) | | | (0.74 | ) | | | (0.95 | ) | | | 11.83 | | | | 5.61% | | | | 465,943 | | | | 0.11% | | | | 1.76% | |
| 12/31/13 | | | 10.96 | | | | 0.20 | | | | 1.66 | | | | 1.86 | | | | (0.21 | ) | | | (0.51 | ) | | | (0.72 | ) | | | 12.10 | | | | 17.57% | | | | 465,692 | | | | 0.12% | | | | 1.74% | |
| 12/31/12 | | | 10.04 | | | | 0.20 | | | | 1.11 | | | | 1.31 | | | | (0.16 | ) | | | (0.23 | ) | | | (0.39 | ) | | | 10.96 | | | | 13.17% | | | | 410,035 | | | | 0.12% | | | | 1.82% | |
| 12/31/11 | | | 10.16 | | | | 0.16 | | | | (0.06 | ) | | | 0.10 | | | | (0.21 | ) | | | (0.01 | ) | | | (0.22 | ) | | | 10.04 | | | | 1.00% | | | | 365,793 | | | | 0.12% | | | | 1.55% | |
| Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.74 | | | $ | 0.16 | | | $ | (0.26 | ) | | $ | (0.10 | ) | | $ | (0.26 | ) | | $ | (0.81 | ) | | $ | (1.07 | ) | | $ | 10.57 | | | | (0.86% | ) | | $ | 1,922,174 | | | | 0.36% | | | | 1.38% | |
| 12/31/14 | | | 12.02 | | | | 0.19 | | | | 0.46 | | | | 0.65 | | | | (0.19 | ) | | | (0.74 | ) | | | (0.93 | ) | | | 11.74 | | | | 5.37% | | | | 1,790,903 | | | | 0.36% | | | | 1.55% | |
| 12/31/13 | | | 10.89 | | | | 0.18 | | | | 1.65 | | | | 1.83 | | | | (0.19 | ) | | | (0.51 | ) | | | (0.70 | ) | | | 12.02 | | | | 17.37% | | | | 1,480,843 | | | | 0.37% | | | | 1.51% | |
| 12/31/12 | | | 9.99 | | | | 0.17 | | | | 1.10 | | | | 1.27 | | | | (0.14 | ) | | | (0.23 | ) | | | (0.37 | ) | | | 10.89 | | | | 12.82% | | | | 1,060,743 | | | | 0.37% | | | | 1.60% | |
| 12/31/11 | | | 10.12 | | | | 0.13 | | | | (0.06 | ) | | | 0.07 | | | | (0.19 | ) | | | (0.01 | ) | | | (0.20 | ) | | | 9.99 | | | | 0.73% | | | | 780,302 | | | | 0.37% | | | | 1.31% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 19 | % | | | 19 | % | | | 19 | % | | | 18 | % | | | 12 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| w | Expenses of the underlying funds are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying fund. |
| x | Amount does not include the portfolio activity of any underlying fund. |
The accompanying notes are an integral part of the financial statements.
46
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Growth Allocation Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net assets,
end of the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assetsw | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.28 | | | $ | 0.13 | | | $ | (0.21 | ) | | $ | (0.08 | ) | | $ | (0.28 | ) | | $ | (1.23 | ) | | $ | (1.51 | ) | | $ | 9.69 | | | | (0.71% | ) | | $ | 605,993 | | | | 0.11% | | | | 1.22% | |
| 12/31/14 | | | 11.80 | | | | 0.16 | | | | 0.52 | | | | 0.68 | | | | (0.19 | ) | | | (1.01 | ) | | | (1.20 | ) | | | 11.28 | | | | 5.77% | | | | 660,986 | | | | 0.11% | | | | 1.39% | |
| 12/31/13 | | | 10.66 | | | | 0.16 | | | | 2.13 | | | | 2.29 | | | | (0.21 | ) | | | (0.94 | ) | | | (1.15 | ) | | | 11.80 | | | | 22.64% | | | | 659,823 | | | | 0.12% | | | | 1.36% | |
| 12/31/12 | | | 9.53 | | | | 0.15 | | | | 1.22 | | | | 1.37 | | | | (0.14 | ) | | | (0.10 | ) | | | (0.24 | ) | | | 10.66 | | | | 14.49% | | | | 559,044 | | | | 0.12% | | | | 1.43% | |
| 12/31/11 | | | 9.75 | | | | 0.12 | | | | (0.16 | ) | | | (0.04 | ) | | | (0.18 | ) | | | - | | | | (0.18 | ) | | | 9.53 | | | | (0.41% | ) | | | 518,216 | | | | 0.12% | | | | 1.23% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.22 | | | $ | 0.11 | | | $ | (0.22 | ) | | $ | (0.11 | ) | | $ | (0.25 | ) | | $ | (1.23 | ) | | $ | (1.48 | ) | | $ | 9.63 | | | | (0.97% | ) | | $ | 1,003,111 | | | | 0.36% | | | | 0.98% | |
| 12/31/14 | | | 11.74 | | | | 0.13 | | | | 0.52 | | | | 0.65 | | | | (0.16 | ) | | | (1.01 | ) | | | (1.17 | ) | | | 11.22 | | | | 5.56% | | | | 1,034,580 | | | | 0.36% | | | | 1.14% | |
| 12/31/13 | | | 10.62 | | | | 0.13 | | | | 2.11 | | | | 2.24 | | | | (0.18 | ) | | | (0.94 | ) | | | (1.12 | ) | | | 11.74 | | | | 22.25% | | | | 995,436 | | | | 0.37% | | | | 1.11% | |
| 12/31/12 | | | 9.49 | | | | 0.12 | | | | 1.23 | | | | 1.35 | | | | (0.12 | ) | | | (0.10 | ) | | | (0.22 | ) | | | 10.62 | | | | 14.28% | | | | 826,960 | | | | 0.37% | | | | 1.18% | |
| 12/31/11 | | | 9.71 | | | | 0.10 | | | | (0.16 | ) | | | (0.06 | ) | | | (0.16 | ) | | | - | | | | (0.16 | ) | | | 9.49 | | | | (0.63% | ) | | | 745,526 | | | | 0.37% | | | | 0.98% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 22 | % | | | 25 | % | | | 22 | % | | | 27 | % | | | 12 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| w | Expenses of the underlying funds are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying fund. |
| x | Amount does not include the portfolio activity of any underlying fund. |
The accompanying notes are an integral part of the financial statements.
47
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Aggressive Allocation Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waiversw | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversw,j | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.86 | | | $ | 0.10 | | | $ | (0.20 | ) | | $ | (0.10 | ) | | $ | (0.25 | ) | | $ | (1.41 | ) | | $ | (1.66 | ) | | $ | 10.10 | | | | (0.84% | ) | | $ | 55,420 | | | | 0.16% | | | | N/A | | | | 0.92% | |
| 12/31/14 | | | 12.38 | | | | 0.12 | | | | 0.60 | | | | 0.72 | | | | (0.14 | ) | | | (1.10 | ) | | | (1.24 | ) | | | 11.86 | | | | 5.85% | | | | 57,996 | | | | 0.17% | | | | N/A | | | | 0.98% | |
| 12/31/13 | | | 10.47 | | | | 0.11 | | | | 2.65 | | | | 2.76 | | | | (0.14 | ) | | | (0.71 | ) | | | (0.85 | ) | | | 12.38 | | | | 27.39% | | | | 56,721 | | | | 0.19% | | | | 0.19% | l | | | 0.94% | |
| 12/31/12 | | | 9.12 | | | | 0.10 | | | | 1.33 | | | | 1.43 | | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 10.47 | | | | 15.73% | | | | 45,399 | | | | 0.20% | | | | 0.20% | k | | | 0.98% | |
| 12/31/11 | | | 9.40 | | | | 0.08 | | | | (0.26 | ) | | | (0.18 | ) | | | (0.10 | ) | | | - | | | | (0.10 | ) | | | 9.12 | | | | (1.86% | ) | | | 40,085 | | | | 0.19% | | | | N/A | | | | 0.81% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 11.76 | | | $ | 0.08 | | | $ | (0.21 | ) | | $ | (0.13 | ) | | $ | (0.22 | ) | | $ | (1.41 | ) | | $ | (1.63 | ) | | $ | 10.00 | | | | (1.07% | ) | | $ | 67,973 | | | | 0.41% | | | | N/A | | | | 0.69% | |
| 12/31/14 | | | 12.29 | | | | 0.09 | | | | 0.59 | | | | 0.68 | | | | (0.11 | ) | | | (1.10 | ) | | | (1.21 | ) | | | 11.76 | | | | 5.61% | | | | 62,711 | | | | 0.42% | | | | N/A | | | | 0.77% | |
| 12/31/13 | | | 10.40 | | | | 0.08 | | | | 2.64 | | | | 2.72 | | | | (0.12 | ) | | | (0.71 | ) | | | (0.83 | ) | | | 12.29 | | | | 27.15% | | | | 51,320 | | | | 0.44% | | | | 0.44% | l | | | 0.74% | |
| 12/31/12 | | | 9.07 | | | | 0.07 | | | | 1.32 | | | | 1.39 | | | | (0.06 | ) | | | - | | | | (0.06 | ) | | | 10.40 | | | | 15.35% | | | | 34,472 | | | | 0.45% | | | | 0.45% | k | | | 0.72% | |
| 12/31/11 | | | 9.35 | | | | 0.05 | | | | (0.24 | ) | | | (0.19 | ) | | | (0.09 | ) | | | - | | | | (0.09 | ) | | | 9.07 | | | | (2.03% | ) | | | 28,803 | | | | 0.44% | | | | N/A | | | | 0.59% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 22 | % | | | 31 | % | | | 27 | % | | | 35 | % | | | 20 | % |
| c | Per share amount calculated on the average shares method. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| k | Amount waived had no impact on the ratio of expenses to average daily net assets. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| w | Expenses of the underlying funds are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying fund. |
| x | Amount does not include the portfolio activity of any underlying fund. |
The accompanying notes are an integral part of the financial statements.
48
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML American Funds Growth Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waiversu | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversu,j | | Net
investment
income
(loss) to
average
daily net
assets | |
| Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.67 | | | $ | 0.03 | | | $ | 0.84 | | | $ | 0.87 | | | $ | (0.10 | ) | | $ | (0.91 | ) | | $ | (1.01 | ) | | $ | 14.53 | | | | 6.41% | | | $ | 127,667 | | | | 0.69% | | | 0.69%l | | | 0.22% | |
| 12/31/14 | | | 14.14 | | | | 0.12 | | | | 1.00 | | | | 1.12 | | | | (0.06 | ) | | | (0.53 | ) | | | (0.59 | ) | | | 14.67 | | | | 7.99% | | | | 111,927 | | | | 0.70% | | | 0.70%l | | | 0.83% | |
| 12/31/13 | | | 11.16 | | | | 0.07 | | | | 3.19 | | | | 3.26 | | | | (0.04 | ) | | | (0.24 | ) | | | (0.28 | ) | | | 14.14 | | | | 29.56% | | | | 94,167 | | | | 0.70% | | | 0.70%k | | | 0.55% | |
| 12/31/12 | | | 9.61 | | | | 0.05 | | | | 1.62 | | | | 1.67 | | | | (0.02 | ) | | | (0.10 | ) | | | (0.12 | ) | | | 11.16 | | | | 17.41% | | | | 66,069 | | | | 0.74% | | | 0.70% | | | 0.44% | |
| 12/31/11 | | | 10.32 | | | | 0.03 | | | | (0.51 | ) | | | (0.48 | ) | | | (0.03 | ) | | | (0.20 | ) | | | (0.23 | ) | | | 9.61 | | | | (4.74% | ) | | | 49,279 | | | | 0.77% | | | 0.70% | | | 0.26% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 7 | % | | | 4 | % | | | 8 | % | | | 6 | % | | | 3 | % |
| c | Per share amount calculated on the average shares method. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| k | Amount waived had no impact on the ratio of expenses to average daily net assets. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| u | Expenses of the Master Fund are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of the Master Fund. |
| x | Amount does not include the portfolio activity of the Master Fund. |
The accompanying notes are an integral part of the financial statements.
49
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML American Funds International Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waiversu | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversu,j | | | Net
investment
income
(loss) to
average
daily net
assets | |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.48 | | | $ | 0.12 | | | $ | (0.63 | ) | | $ | (0.51 | ) | | $ | (0.10 | ) | | $ | (0.24 | ) | | $ | (0.34 | ) | | $ | 9.63 | | | | (4.93% | ) | | $ | 55,589 | | | | 0.72% | | | | 0.70% | | | | 1.14% | |
| 12/31/14 | | | 11.27 | | | | 0.11 | | | | (0.43 | ) | | | (0.32 | ) | | | (0.10 | ) | | | (0.37 | ) | | | (0.47 | ) | | | 10.48 | | | | (3.09% | ) | | | 51,341 | | | | 0.73% | | | | 0.70% | | | | 1.02% | |
| 12/31/13 | | | 9.62 | | | | 0.10 | | | | 1.88 | | | | 1.98 | | | | (0.10 | ) | | | (0.23 | ) | | | (0.33 | ) | | | 11.27 | | | | 21.09% | | | | 48,455 | | | | 0.74% | | | | 0.70% | | | | 0.98% | |
| 12/31/12 | | | 8.44 | | | | 0.10 | | | | 1.34 | | | | 1.44 | | | | (0.12 | ) | | | (0.14 | ) | | | (0.26 | ) | | | 9.62 | | | | 17.38% | | | | 38,624 | | | | 0.79% | | | | 0.70% | | | | 1.11% | |
| 12/31/11 | | | 10.22 | | | | 0.14 | | | | (1.60 | ) | | | (1.46 | ) | | | (0.13 | ) | | | (0.19 | ) | | | (0.32 | ) | | | 8.44 | | | | (14.36% | ) | | | 31,801 | | | | 0.81% | | | | 0.70% | | | | 1.49% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 4 | % | | | 6 | % | | | 8 | % | | | 10 | % | | | 6 | % |
| c | Per share amount calculated on the average shares method. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| u | Expenses of the Master Fund are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of the Master Fund. |
| x | Amount does not include the portfolio activity of the Master Fund. |
The accompanying notes are an integral part of the financial statements.
50
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML American Funds Core Allocation Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waiversw | | | Ratio of
expenses
to��average
daily net
assets
after
expense
waiversw,j | | Net
investment
income
(loss) to
average
daily net
assets | |
| Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.72 | | | $ | 0.16 | | | $ | (0.31 | ) | | $ | (0.15 | ) | | $ | (0.17 | ) | | $ | (0.32 | ) | | $ | (0.49 | ) | | $ | 12.08 | | | | (1.12% | ) | | $ | 813,103 | | | | 0.71% | | | N/A | | | 1.28% | |
| 12/31/14 | | | 12.28 | | | | 0.21 | | | | 0.78 | | | | 0.99 | | | | (0.13 | ) | | | (0.42 | ) | | | (0.55 | ) | | | 12.72 | | | | 8.05% | | | | 696,608 | | | | 0.72% | | | N/A | | | 1.71% | |
| 12/31/13 | | | 10.72 | | | | 0.19 | | | | 1.73 | | | | 1.92 | | | | (0.15 | ) | | | (0.21 | ) | | | (0.36 | ) | | | 12.28 | | | | 18.30% | | | | 550,517 | | | | 0.72% | | | 0.72%l | | | 1.68% | |
| 12/31/12 | | | 10.00 | | | | 0.17 | | | | 0.99 | | | | 1.16 | | | | (0.16 | ) | | | (0.28 | ) | | | (0.44 | ) | | | 10.72 | | | | 11.70% | | | | 422,997 | | | | 0.73% | | | 0.73%l | | | 1.63% | |
| 12/31/11 | | | 10.21 | | | | 0.18 | | | | (0.20 | ) | | | (0.02 | ) | | | (0.15 | ) | | | (0.04 | ) | | | (0.19 | ) | | | 10.00 | | | | (0.16% | ) | | | 356,240 | | | | 0.75% | | | N/A | | | 1.77% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover ratex | | | 3 | % | | | 3 | % | | | 8 | % | | | 8 | % | | | 13 | % |
| c | Per share amount calculated on the average shares method. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| w | Expenses of the underlying funds are not included in the Fund’s expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying fund. |
| x | Amount does not include the portfolio activity of any underlying fund. |
The accompanying notes are an integral part of the financial statements.
51
Notes to Financial Statements
MML Series Investment Fund (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as a no-load, open-end, management investment company. The Trust is organized under the laws of the Commonwealth of Massachusetts as a Massachusetts business trust pursuant to an Agreement and Declaration of Trust dated December 19, 1984, as restated May 14, 1993, and further amended and restated as of December 15, 2011, as it may be further amended from time to time. The following are eight series of the Trust (each individually referred to as a “Fund” or collectively as the “Funds”):
MML Conservative Allocation Fund (“Conservative Allocation Fund”)
MML Balanced Allocation Fund (“Balanced Allocation Fund”)
MML Moderate Allocation Fund (“Moderate Allocation Fund”)
MML Growth Allocation Fund (“Growth Allocation Fund”)
MML Aggressive Allocation Fund (“Aggressive Allocation Fund”)
MML American Funds® Growth Fund (“American Funds Growth Fund”)
MML American Funds® International Fund (“American Funds International Fund”)
MML American Funds® Core Allocation Fund (“American Funds Core Allocation Fund”)
The Trust makes shares of the Funds available for the investment of assets of various separate investment accounts established by Massachusetts Mutual Life Insurance Company (“MassMutual”) and by life insurance companies which are subsidiaries of MassMutual. Shares of the Trust are not offered to the general public. MassMutual, MML Bay State Life Insurance Company, and C.M. Life Insurance Company are the record owners of all of the outstanding shares of the Funds.
The Conservative Allocation Fund, Balanced Allocation Fund, Moderate Allocation Fund, Growth Allocation Fund, and Aggressive Allocation Fund (the “Allocation Funds”) invest their investable assets primarily in shares of various funds advised by MML Investment Advisers, LLC (“MML Advisers”) or its affiliate. The Allocation Funds may also invest in non-affiliated funds. The financial statements of other series of the Trust and the applicable series of the MML Series Investment Fund II (which are advised by MML Advisers), Oppenheimer Funds (which are advised by OFI Global Asset Management, Inc., a majority-owned, indirect subsidiary of MassMutual), and non-affiliated funds are presented separately and can be obtained from the Securities and Exchange Commission’s (“SEC”) EDGAR database on its website at http://www.sec.gov or by calling MassMutual at 1-888-309-3539. The assets of each of the five Allocation Funds listed above are diversified and a shareholder’s interest is limited to the series of the Trust, MML Series Investment Fund II, Oppenheimer Funds, or any non-affiliated funds in which the shares are invested.
American Funds Growth Fund and American Funds International Fund (each a “Feeder Fund,” collectively the “Feeder Funds”) invest all of their assets in Class 1 shares of the Growth and International Funds, respectively, each a series of the American Funds Insurance Series (each a “Master Fund,” collectively the “Master Funds”). Each Master Fund is an open-end investment company and organized as a Massachusetts business trust. Each Feeder Fund has an investment objective that is consistent with its corresponding Master Fund. Each Master Fund intends to comply with the requirements under Subchapter M of the Internal Revenue Code applicable to mutual funds and intends to distribute substantially all of its taxable income and capital gains to shareholders, which includes the applicable Feeder Fund, to qualify as a regulated investment company. The performance of the Feeder Funds is directly affected by the performance of the Master Funds. The financial statements of the Master Funds, including the Summary Investment Portfolios, are provided separately and should be read in conjunction with the Feeder Funds’ financial statements. As of December 31, 2015, the American Funds Growth Fund and American Funds International Fund owned 0.59% and 0.74% of the Growth and International Master Funds, respectively. The American Funds Core Allocation Fund invests all of its investable assets in shares of various series of American Funds Insurance Series, which are managed by Capital Research and Management Company.
The SEC file number for the American Funds Insurance Series is 811-03857. Additional information related to the Master Funds’ financial reports can be located on the SEC’s EDGAR database on its website at http://www.sec.gov.
Each share class of a Fund represents an interest in the same portfolio of assets. The principal difference among the classes is the level of service and administration fees, and shareholder and distribution service expenses borne by the classes. Because each class will have different fees and expenses, performance and share prices will vary between the classes. The classes of shares are offered to different types of investors, as outlined in the Funds’ Prospectus.
52
Notes to Financial Statements (Continued)
| 2. | | Significant Accounting Policies |
The following is a summary of significant accounting policies followed consistently by each Fund in the preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America (“generally accepted accounting principles”). The preparation of the financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates.
Investment Valuation
The net asset value of each Fund’s shares is determined once daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), on each day the NYSE is open for trading (a “business day”). The NYSE normally closes at 4:00 p.m. Eastern Time, but may close earlier on some days.
The net asset value of each Fund is based upon the net asset value(s) of its corresponding Master Fund or underlying funds. Shares of the Master Fund and underlying funds are valued at their closing net asset values as reported on each business day.
Certain underlying funds or Master Funds may invest in securities that are traded principally in foreign markets and that trade on weekends and other days when the Funds do not price their shares. As a result, the values of the Funds’ portfolio securities may change on days when the prices of the Funds’ shares are not calculated. The prices of the Funds’ shares will reflect any such changes when the prices of the Funds’ shares are next calculated, which is the next business day.
The Prospectuses and Statements of Additional Information (“SAIs”) for the underlying funds or Master Funds, as applicable, explain the valuation methods for the underlying funds or Master Funds including the circumstances under which the underlying funds or Master Funds, may use fair value pricing and the effects of doing so. Such Prospectuses and SAIs are available on the SEC’s EDGAR database on its website at http://www.sec.gov.
Various inputs may be used to determine the value of the Funds’ investments. The Funds categorize the inputs to valuation techniques used to value their investments into a disclosure hierarchy consisting of three levels as summarized below. The inputs or methodology used for valuing investments are not necessarily an indication of the risk associated with investing in those investments.
Level 1 – quoted prices (unadjusted) in active markets for identical investments that the Funds can access at the measurement date
Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)
Level 3 – significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)
Each Fund characterized all investments at Level 1, as of December 31, 2015. For each Fund, the level classification by major category of investments is the same as the category presentation in the Portfolio of Investments.
The Funds had no transfers between Level 1, Level 2, and Level 3 of the fair value hierarchy during the year ended December 31, 2015. The Funds recognize transfers between the Levels as of the beginning of the year.
Accounting for Investment Transactions
Investment transactions are accounted for on the trade date. Realized gains and losses on sales of investments and unrealized appreciation and depreciation of investments are computed by the specific identification cost method. Proceeds received from litigation, if any, are included in realized gains on investment transactions for any investments that are no longer held in the portfolio and as a reduction in cost for investments that continue to be held in the portfolio. Interest income, adjusted for amortization of discounts and premiums on debt securities, is earned from the settlement date and is recorded on the accrual basis. Dividend income and distributions including realized gain distributions are recorded on the ex-dividend date. Withholding taxes on foreign interest, dividends, and capital gains have been provided for in accordance with the applicable country’s tax rules and rates.
53
Notes to Financial Statements (Continued)
Foreign dividend income is recorded on the ex-dividend date or as soon as practicable after the Fund determines the existence of a dividend declaration after exercising reasonable due diligence. Distributions received on securities that represent a return of capital or capital gain are recorded as a reduction of cost of investments and/or as a realized gain. The Funds determine the classification of distributions received as return of capital distributions or capital gain distributions.
Allocation of Operating Activity
In maintaining the records for the Funds, the income and expense accounts are allocated daily to each class of shares. Investment income and loss, and unrealized and realized gains or losses are prorated among the classes of shares based on the relative net assets of each. Expenses are allocated to each class of shares depending on the nature of the expenditures. Administration and service fees, if any, which are directly attributable to a class of shares, are charged to that class’s operations. Expenses of a Fund not directly attributable to the operations of any specific class of shares of the Fund are prorated among the classes to which the expense relates based on relative net assets.
In addition, each Fund will also incur certain fees and expenses indirectly as a shareholder in the underlying funds or Master Funds. Because the underlying funds have varied expense and fee levels and the Allocation Funds may own different proportions of underlying funds at different times, the amount of fees and expenses indirectly incurred by each of the Allocation Funds will vary.
Foreign Securities
Certain underlying funds or Master Funds may invest in foreign securities. Foreign securities, including American Depositary Receipts, are subject to additional risks compared to securities of U.S. issuers, including international trade, currency, political, regulatory, and diplomatic risks. In addition, fluctuations in currency exchange rates may adversely affect the values of foreign securities and the price of a Fund’s shares. Emerging markets securities are subject to greater risks than securities issued in developed foreign markets, including less liquidity, greater price volatility, higher relative rates of inflation, greater political, economic, and social instability, greater custody and operational risks, and greater volatility in currency exchange rates.
Federal Income Tax
It is each Fund’s intent to continue to comply with the provisions of subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to a regulated investment company. Under such provisions, the Funds would not be subject to federal income taxes on their ordinary income and net realized capital gains to the extent they are distributed or deemed to have been distributed to their shareholders. Therefore, the Funds have not made any provision for federal income tax.
Dividends and Distributions to Shareholders
Dividends from net investment income and distributions of any net realized capital gains of each Fund are declared and paid annually and at other times as may be required to satisfy tax or regulatory requirements.
Distributions to shareholders are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. As a result, net investment income and net realized capital gains on investment transactions for a reporting period may differ significantly from distributions during such period.
54
Notes to Financial Statements (Continued)
| 3. | | Advisory Fees and Other Transactions |
Investment Advisory Fees
MML Advisers, a wholly-owned subsidiary of MassMutual, serves as investment adviser to each Fund. Under the investment advisory agreements between MML Advisers and the Trust on behalf of each Fund, MML Advisers is responsible for providing investment management services for each Fund. In return for these services, MML Advisers receives advisory fees, based upon each Fund’s average daily net assets, at the following annual rates:
| | | | | | |
Conservative Allocation Fund | | 0.10% | | Aggressive Allocation Fund | | 0.10% |
Balanced Allocation Fund | | 0.10% | | American Funds Growth Fund | | 0.15% |
Moderate Allocation Fund | | 0.10% | | American Funds International Fund | | 0.15% |
Growth Allocation Fund | | 0.10% | | American Funds Core Allocation Fund | | 0.20% |
Administration Fees
For the American Funds Growth Fund, American Funds International Fund, and American Funds Core Allocation Fund, under a separate Administrative and Shareholder Services Agreement between the Funds and MML Advisers, MML Advisers is obligated to provide all necessary administrative and shareholder services and bear some of the Fund specific administrative expenses. In return for these services, MML Advisers receives an administrative services fee based upon the average daily net assets of the applicable class of shares of the Funds, at the following annual rates:
| | | | |
| | | Service Class I | |
American Funds Growth Fund | | | 0.25% | |
American Funds International Fund | | | 0.25% | |
American Funds Core Allocation Fund | | | 0.25% | |
Distribution and Service Fees
MML Distributors, LLC (the “Distributor”) acts as distributor to the Funds. Pursuant to a Distribution and Services Plan adopted by the Funds pursuant to Rule 12b-1 under the 1940 Act, Service Class shares and Service Class I shares of the Funds pay an annual fee of 0.25% of the average daily net asset value of Service Class shares and Service Class I shares. This fee, or a portion thereof, is paid to: (i) the Distributor for services provided and expenses incurred by it in connection with the distribution of Service Class shares or Service Class I shares, as applicable, of each Fund; and/or (ii) MassMutual for services provided and expenses incurred by it for purposes of maintaining or providing personal services to Service Class and Service Class I shareholders. The Distributor is a wholly-owned subsidiary of MassMutual.
Expense Caps and Waivers
MML Advisers agreed to cap the fees and expenses of the Funds noted below (other than extraordinary litigation and legal expenses, Master Fund Fees and Expenses#, interest expense, short sale dividend and loan expense, or other non-recurring or unusual expenses such as organizational expenses and shareholder meeting expenses) based upon the average daily net assets of the applicable class of shares of the Funds, as follows:
| | | | |
| | | Service Class I | |
American Funds Growth Fund* | | | 0.70% | |
American Funds International Fund* | | | 0.70% | |
| # | Master Fund Fees and Expenses are expenses borne indirectly by a Fund through investments in other pooled investment vehicles. |
| * | Expense caps in effect through April 30, 2016. |
55
Notes to Financial Statements (Continued)
Expense caps and waiver amounts are reflected as a reduction of expenses on the Statements of Operations.
Deferred Compensation
Trustees of the Funds who are not officers or employees of MassMutual may elect to defer receipt of their annual fees in accordance with terms of a Non-Qualified Deferred Compensation Plan. Amounts deferred shall accrue interest or earnings and shall be recorded on the Funds’ books as other liabilities. Deferred compensation is included within Trustees’ fees and expenses in the Statements of Assets and Liabilities.
Other
Certain officers and trustees of the Funds are also employees of MassMutual. The compensation of each trustee who is not an employee of MassMutual is borne by the Funds.
| 4. | | Purchases and Sales of Investments |
Cost of purchases and proceeds from sales of investments in underlying funds or Master Funds (excluding short-term investments) for the year ended December 31, 2015, were as follows:
| | | | | | | | | | | | | | | | |
| | | Purchases | | | Sales | |
| | | Long-Term U.S.
Government
Securities | | | Other
Long-Term
Securities | | | Long-Term U.S.
Government
Securities | | | Other
Long-Term
Securities | |
Conservative Allocation Fund | | $ | - | | | $ | 152,024,783 | | | $ | - | | | $ | 138,770,154 | |
Balanced Allocation Fund | | | - | | | | 167,458,560 | | | | - | | | | 153,003,471 | |
Moderate Allocation Fund | | | - | | | | 721,016,788 | | | | - | | | | 452,975,177 | |
Growth Allocation Fund | | | - | | | | 430,670,860 | | | | - | | | | 370,860,767 | |
Aggressive Allocation Fund | | | - | | | | 42,776,546 | | | | - | | | | 27,571,431 | |
American Funds Growth Fund | | | - | | | | 42,105,436 | | | | - | | | | 8,532,747 | |
American Funds International Fund | | | - | | | | 13,272,110 | | | | - | | | | 2,310,799 | |
American Funds Core Allocation Fund | | | - | | | | 221,530,844 | | | | - | | | | 24,220,822 | |
| 5. | | Capital Share Transactions |
Changes in shares outstanding for each Fund were as follows:
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
| | | | | | | | | | | | | | | | |
Conservative Allocation Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 1,756,649 | | | $ | 18,905,121 | | | | 2,112,131 | | | $ | 23,846,397 | |
Issued as reinvestment of dividends | | | 1,221,416 | | | | 12,030,947 | | | | 1,088,491 | | | | 11,875,434 | |
Redeemed | | | (3,000,297 | ) | | | (32,226,504 | ) | | | (3,587,170 | ) | | | (40,663,548 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (22,232 | ) | | $ | (1,290,436 | ) | | | (386,548 | ) | | $ | (4,941,717 | ) |
| | | | | | | | | | | | | | | | |
Conservative Allocation Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 4,182,198 | | | $ | 44,590,385 | | | | 4,651,064 | | | $ | 51,932,797 | |
Issued as reinvestment of dividends | | | 3,418,124 | | | | 33,395,068 | | | | 2,709,853 | | | | 29,347,713 | |
Redeemed | | | (4,360,810 | ) | | | (45,860,549 | ) | | | (4,720,909 | ) | | | (52,854,615 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 3,239,512 | | | $ | 32,124,904 | | | | 2,640,008 | | | $ | 28,425,895 | |
| | | | | | | | | | | | | | | | |
56
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
| | | | | | | | | | | | | | | | |
Balanced Allocation Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 670,590 | | | $ | 7,374,874 | | | | 1,232,264 | | | $ | 14,334,033 | |
Issued as reinvestment of dividends | | | 1,524,849 | | | | 15,339,977 | | | | 1,219,086 | | | | 13,641,572 | |
Redeemed | | | (2,773,827 | ) | | | (30,560,109 | ) | | | (1,744,750 | ) | | | (20,103,407 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (578,388 | ) | | $ | (7,845,258 | ) | | | 706,600 | | | $ | 7,872,198 | |
| | | | | | | | | | | | | | | | |
Balanced Allocation Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 3,556,395 | | | $ | 38,690,272 | | | | 3,947,500 | | | $ | 45,132,445 | |
Issued as reinvestment of dividends | | | 4,281,368 | | | | 42,813,675 | | | | 2,951,685 | | | | 32,822,742 | |
Redeemed | | | (3,583,988 | ) | | | (39,034,267 | ) | | | (2,462,441 | ) | | | (28,142,553 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 4,253,775 | | | $ | 42,469,680 | | | | 4,436,744 | | | $ | 49,812,634 | |
| | | | | | | | | | | | | | | | |
Moderate Allocation Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 1,881,741 | | | $ | 21,996,513 | | | | 2,320,547 | | | $ | 27,998,154 | |
Issued as reinvestment of dividends | | | 3,826,129 | | | | 40,786,533 | | | | 2,985,783 | | | | 35,202,385 | |
Redeemed | | | (6,009,084 | ) | | | (69,034,142 | ) | | | (4,409,998 | ) | | | (53,222,125 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (301,214 | ) | | $ | (6,251,096 | ) | | | 896,332 | | | $ | 9,978,414 | |
| | | | | | | | | | | | | | | | |
Moderate Allocation Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 17,299,728 | | | $ | 198,445,800 | | | | 21,621,081 | | | $ | 259,141,484 | |
Issued as reinvestment of dividends | | | 16,269,769 | | | | 171,971,460 | | | | 10,610,984 | | | | 124,254,621 | |
Redeemed | | | (4,174,971 | ) | | | (47,506,446 | ) | | | (2,874,675 | ) | | | (34,369,192 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 29,394,526 | | | $ | 322,910,814 | | | | 29,357,390 | | | $ | 349,026,913 | |
| | | | | | | | | | | | | | | | |
Growth Allocation Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 1,743,894 | | | $ | 19,150,556 | | | | 2,037,865 | | | $ | 23,891,204 | |
Issued as reinvestment of dividends | | | 8,692,647 | | | | 84,057,898 | | | | 5,767,848 | | | | 64,772,933 | |
Redeemed | | | (6,497,306 | ) | | | (70,560,502 | ) | | | (5,151,777 | ) | | | (60,016,832 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 3,939,235 | | | $ | 32,647,952 | | | | 2,653,936 | | | $ | 28,647,305 | |
| | | | | | | | | | | | | | | | |
Growth Allocation Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 3,281,727 | | | $ | 34,772,801 | | | | 3,641,064 | | | $ | 41,825,560 | |
Issued as reinvestment of dividends | | | 14,019,059 | | | | 134,723,154 | | | | 8,744,370 | | | | 97,762,052 | |
Redeemed | | | (5,344,473 | ) | | | (56,807,712 | ) | | | (4,961,969 | ) | | | (57,331,653 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 11,956,313 | | | $ | 112,688,243 | | | | 7,423,465 | | | $ | 82,255,959 | |
| | | | | | | | | | | | | | | | |
Aggressive Allocation Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 515,681 | | | $ | 5,777,095 | | | | 523,477 | | | $ | 6,383,805 | |
Issued as reinvestment of dividends | | | 784,159 | | | | 7,888,642 | | | | 461,023 | | | | 5,444,686 | |
Redeemed | | | (702,596 | ) | | | (7,864,641 | ) | | | (676,706 | ) | | | (8,395,670 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 597,244 | | | $ | 5,801,096 | | | | 307,794 | | | $ | 3,432,821 | |
| | | | | | | | | | | | | | | | |
Aggressive Allocation Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 984,077 | | | $ | 11,205,683 | | | | 1,045,467 | | | $ | 12,696,529 | |
Issued as reinvestment of dividends | | | 927,224 | | | | 9,235,151 | | | | 478,157 | | | | 5,603,996 | |
Redeemed | | | (444,298 | ) | | | (5,029,596 | ) | | | (366,062 | ) | | | (4,497,853 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,467,003 | | | $ | 15,411,238 | | | | 1,157,562 | | | $ | 13,802,672 | |
| | | | | | | | | | | | | | | | |
American Funds Growth Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 1,352,994 | | | $ | 20,149,461 | | | | 1,182,031 | | | $ | 16,969,319 | |
Issued as reinvestment of dividends | | | 599,106 | | | | 8,207,754 | | | | 289,390 | | | | 4,201,948 | |
Redeemed | | | (793,612 | ) | | | (11,828,907 | ) | | | (504,045 | ) | | | (7,300,531 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,158,488 | | | $ | 16,528,308 | | | | 967,376 | | | $ | 13,870,736 | |
| | | | | | | | | | | | | | | | |
57
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
| | | | | | | | | | | | | | | | |
American Funds International Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 1,042,589 | | | $ | 10,938,123 | | | | 766,614 | | | $ | 8,359,495 | |
Issued as reinvestment of dividends | | | 182,224 | | | | 1,776,685 | | | | 184,274 | | | | 2,039,918 | |
Redeemed | | | (351,204 | ) | | | (3,730,936 | ) | | | (351,053 | ) | | | (3,915,319 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 873,609 | | | $ | 8,983,872 | | | | 599,835 | | | $ | 6,484,094 | |
| | | | | | | | | | | | | | | | |
American Funds Core Allocation Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 12,267,580 | | | $ | 154,946,189 | | | | 9,571,220 | | | $ | 120,895,852 | |
Issued as reinvestment of dividends | | | 2,526,086 | | | | 29,858,334 | | | | 2,087,720 | | | | 26,367,906 | |
Redeemed | | | (2,241,931 | ) | | | (28,363,152 | ) | | | (1,751,227 | ) | | | (22,098,132 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 12,551,735 | | | $ | 156,441,371 | | | | 9,907,713 | | | $ | 125,165,626 | |
| | | | | | | | | | | | | | | | |
| 6. | | Federal Income Tax Information |
At December 31, 2015, the cost of securities and the unrealized appreciation (depreciation) in the value of investments owned by the Fund(s), as computed on a federal income tax basis, were as follows:
| | | | | | | | | | | | | | | | |
| | | Federal Income
Tax Cost | | | Tax Basis
Unrealized
Appreciation | | | Tax Basis
Unrealized
(Depreciation) | | | Net Unrealized
Appreciation
(Depreciation) | |
Conservative Allocation Fund | | $ | 479,262,963 | | | $ | 1,837,746 | | | $ | (24,437,272 | ) | | $ | (22,599,526 | ) |
Balanced Allocation Fund | | | 589,181,703 | | | | 9,778,257 | | | | (26,766,902 | ) | | | (16,988,645 | ) |
Moderate Allocation Fund | | | 2,405,183,908 | | | | 45,701,867 | | | | (110,443,523 | ) | | | (64,741,656 | ) |
Growth Allocation Fund | | | 1,592,972,132 | | | | 78,395,209 | | | | (61,199,593 | ) | | | 17,195,616 | |
Aggressive Allocation Fund | | | 129,564,654 | | | | 1,482,339 | | | | (7,560,269 | ) | | | (6,077,930 | ) |
American Funds Growth Fund | | | 119,482,384 | | | | 8,342,258 | | | | - | | | | 8,342,258 | |
American Funds International Fund | | | 55,451,150 | | | | 216,816 | | | | - | | | | 216,816 | |
American Funds Core Allocation Fund | | | 768,204,283 | | | | 51,296,719 | | | | (5,471,908 | ) | | | 45,824,811 | |
Net capital loss carryforwards may be applied against any net realized taxable gains in succeeding years, subject to the carryforward period limitations, where applicable. On December 22, 2010, the Regulated Investment Company Modernization Act of 2010 (the “Modernization Act”) was signed by the President. The Modernization Act changed the capital loss carryforward rules as they relate to regulated investment companies. Capital losses generated in tax years beginning after the date of enactment may now be carried forward indefinitely, and retain the character of the original loss. Under pre-enactment law, capital losses could be carried forward for up to eight tax years as short-term capital losses. The provisions affecting the utilization of capital loss carryforwards under the Modernization Act also require the utilization of post-enactment losses prior to the utilization of pre-enactment losses.
At December 31, 2015, for federal income tax purposes, there were no unused capital losses.
Generally accepted accounting principles in the United States of America require that only distributions in excess of tax basis earnings and profits be reported in the financial statements as a return of capital.
The tax character of distributions (including capital gain dividends, if any, designated pursuant to Section 852 of the Code) paid during the year ended December 31, 2015, was as follows:
| | | | | | | | | | | | |
| | | Ordinary
Income | | | Long Term
Capital Gain | | | Return of
Capital | |
Conservative Allocation Fund | | $ | 13,013,682 | | | $ | 32,412,333 | | | $ | - | |
Balanced Allocation Fund | | | 15,528,133 | | | | 42,625,519 | | | | - | |
Moderate Allocation Fund | | | 52,556,082 | | | | 160,201,911 | | | | - | |
58
Notes to Financial Statements (Continued)
| | | | | | | | | | | | |
| | | Ordinary
Income | | | Long Term
Capital Gain | | | Return of
Capital | |
Growth Allocation Fund | | $ | 38,564,652 | | | $ | 180,216,400 | | | $ | - | |
Aggressive Allocation Fund | | | 2,510,513 | | | | 14,613,280 | | | | - | |
American Funds Growth Fund | | | 845,292 | | | | 7,362,462 | | | | - | |
American Funds International Fund | | | 507,014 | | | | 1,269,671 | | | | - | |
American Funds Core Allocation Fund | | | 10,454,332 | | | | 19,404,002 | | | | - | |
The tax character of distributions (including capital gain dividends, if any, designated pursuant to Section 852 of the Code) paid during the year ended December 31, 2014, was as follows:
| | | | | | | | | | | | |
| | | Ordinary
Income | | | Long Term
Capital Gain | | | Return of
Capital | |
Conservative Allocation Fund | | $ | 11,109,037 | | | $ | 30,114,110 | | | $ | - | |
Balanced Allocation Fund | | | 11,336,038 | | | | 35,128,276 | | | | - | |
Moderate Allocation Fund | | | 33,338,544 | | | | 126,118,462 | | | | - | |
Growth Allocation Fund | | | 23,848,590 | | | | 138,686,395 | | | | - | |
Aggressive Allocation Fund | | | 1,151,808 | | | | 9,896,874 | | | | - | |
American Funds Growth Fund | | | 446,049 | | | | 3,755,899 | | | | - | |
American Funds International Fund | | | 420,622 | | | | 1,619,296 | | | | - | |
American Funds Core Allocation Fund | | | 6,184,753 | | | | 20,183,153 | | | | - | |
The following Fund(s) have elected to pass through the foreign tax credit for the year ended December 31, 2015:
| | | | |
| | | Amount | |
Conservative Allocation Fund | | $ | 23,822 | |
Balanced Allocation Fund | | | 39,619 | |
Moderate Allocation Fund | | | 680,362 | |
Growth Allocation Fund | | | 670,546 | |
Aggressive Allocation Fund | | | 65,711 | |
American Funds International Fund | | | 91,329 | |
American Funds Core Allocation Fund | | | 193,462 | |
Capital accounts within the financial statements are periodically adjusted for permanent differences between book and tax accounting. These adjustments have no impact on net assets or the results of operations. Temporary book and tax accounting differences will reverse in subsequent periods. At December 31, 2015, temporary book and tax accounting differences were primarily attributable to the deferral of wash sale losses and deferred Trustee compensation.
At December 31, 2015, the components of distributable earnings on a tax basis were as follows:
| | | | | | | | | | | | | | | | |
| | | Undistributed
Ordinary
Income | | | Undistributed
Long Term
Capital Gain
(Capital Loss
Carryover) | | | Other
Temporary
Differences | | | Unrealized
Appreciation
(Depreciation) | |
Conservative Allocation Fund | | $ | 10,503,230 | | | $ | 25,177,282 | | | $ | (64,262 | ) | | $ | (22,599,526 | ) |
Balanced Allocation Fund | | | 12,246,976 | | | | 39,390,540 | | | | (76,920 | ) | | | (16,988,645 | ) |
Moderate Allocation Fund | | | 44,987,385 | | | | 166,119,757 | | | | (252,356 | ) | | | (64,741,656 | ) |
Growth Allocation Fund | | | 27,702,878 | | | | 166,620,253 | | | | (245,569 | ) | | | 17,195,616 | |
Aggressive Allocation Fund | | | 1,795,427 | | | | 13,412,663 | | | | (14,684 | ) | | | (6,077,930 | ) |
American Funds Growth Fund | | | 267,316 | | | | 29,068,970 | | | | (11,914 | ) | | | 8,342,258 | |
American Funds International Fund | | | 632,919 | | | | 3,955,085 | | | | (6,922 | ) | | | 216,816 | |
American Funds Core Allocation Fund | | | 16,088,754 | | | | 66,430,441 | | | | (80,020 | ) | | | 45,824,811 | |
59
Notes to Financial Statements (Continued)
During the year ended December 31, 2015, the following amounts were reclassified due to permanent differences between book and tax accounting:
| | | | | | | | | | | | |
| | | Paid-in
Capital | | | Accumulated
Net Realized
Gain (Loss) on
Investments | | | Undistributed
Net Investment
Income (Loss) | |
Conservative Allocation Fund | | $ | 146 | | | $ | (1,969,125 | ) | | $ | 1,968,979 | |
Balanced Allocation Fund | | | 184 | | | | (2,678,747 | ) | | | 2,678,563 | |
Moderate Allocation Fund | | | 544 | | | | (30,061,348 | ) | | | 30,060,804 | |
Growth Allocation Fund | | | 659 | | | | (9,608,169 | ) | | | 9,607,510 | |
Aggressive Allocation Fund | | | 35 | | | | (810,666 | ) | | | 810,631 | |
American Funds Growth Fund | | | 25 | | | | - | | | | (25 | ) |
American Funds International Fund | | | 18 | | | | - | | | | (18 | ) |
American Funds Core Allocation Fund | | | 198 | | | | (6,301,673 | ) | | | 6,301,475 | |
The Funds did not have any unrecognized tax benefits at December 31, 2015, nor were there any increases or decreases in unrecognized tax benefits for the year then ended. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as an income tax expense in the Statements of Operations. During the year ended December 31, 2015, the Funds did not incur any such interest or penalties. The Funds are subject to examination by U.S. federal and state tax authorities for returns filed for the prior three fiscal years. Foreign taxes are provided for based on the Funds’ understanding of the tax rules and rates that exist in the foreign markets in which they invest.
| 7. | | Investment in Affiliated Issuers |
A summary of the Funds’ transactions in the securities of affiliated issuers during the year ended December 31, 2015, was as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number of
Shares Held
as of
12/31/14 | | | Purchases | | | Sales | | | Number of
Shares Held
as of
12/31/15 | | | Value as of
12/31/15 | | | Dividend
Income | | | Realized
Gains
Distributions | | | Net
Realized
Gain (Loss) | |
Conservative Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class | | | 1,108,468 | | | | 324,487 | | | | 265,815 | | | | 1,167,140 | | | $ | 18,429,146 | | | $ | - | | | $ | 3,030,533 | | | $ | 1,539,792 | |
MML Dynamic Bond Fund, Class II | | | - | | | | 6,013,668 | | | | 50,403 | | | | 5,963,265 | | | | 57,903,299 | | | | 924,476 | | | | - | | | | (2,520 | ) |
MML Equity Income Fund, Initial Class | | | 1,305,812 | | | | 315,496 | | | | 309,431 | | | | 1,311,877 | | | | 14,811,092 | | | | 304,319 | | | | 1,605,896 | | | | 1,477,926 | |
MML Focused Equity Fund, Class II | | | 426,033 | | | | 163,078 | | | | 94,520 | | | | 494,591 | | | | 6,009,276 | | | | 119,025 | | | | 852,012 | | | | 321,269 | |
MML Foreign Fund, Initial Class | | | 680,114 | | | | 331,256 | | | | 71,204 | | | | 940,166 | | | | 8,922,172 | | | | 279,071 | | | | - | | | | 49,070 | |
MML Fundamental Growth Fund, Class II | | | 862,515 | | | | 298,603 | | | | 220,126 | | | | 940,992 | | | | 11,790,634 | | | | 100,945 | | | | 2,349,907 | | | | 617,634 | |
MML Fundamental Value Fund, Class II | | | 1,051,603 | | | | 270,744 | | | | 197,909 | | | | 1,124,438 | | | | 15,967,015 | | | | 234,863 | | | | 1,333,631 | | | | 1,019,981 | |
MML Global Fund, Class I | | | 753,705 | | | | 311,818 | | | | 146,716 | | | | 918,807 | | | | 10,786,796 | | | | 125,615 | | | | 481,394 | | | | 690,973 | |
MML High Yield Fund, Class II | | | 1,856,018 | | | | 138,025 | | | | 57,483 | | | | 1,936,560 | | | | 17,758,252 | | | | 1,231,129 | | | | 106,188 | | | | (19,133 | ) |
MML Income & Growth Fund, Initial Class | | | 849,973 | | | | 258,009 | | | | 146,900 | | | | 961,082 | | | | 10,908,280 | | | | 215,833 | | | | 704,664 | | | | 412,376 | |
MML Inflation-Protected and Income Fund, Initial Class | | | 1,833,931 | | | | 217,554 | | | | 219,999 | | | | 1,831,486 | | | | 18,150,023 | | | | 217,106 | | | | - | | | | (333,811 | ) |
MML International Equity Fund, Class II | | | 781,144 | | | | 306,710 | | | | 82,182 | | | | 1,005,672 | | | | 8,859,973 | | | | 18,247 | | | | - | | | | (56,241 | ) |
MML Large Cap Growth Fund, Initial Class | | | 910,651 | | | | 313,614 | | | | 236,800 | | | | 987,465 | | | | 11,553,346 | | | | - | | | | 2,415,743 | | | | 815,820 | |
MML Managed Bond Fund, Initial Class | | | 10,091,028 | | | | 1,670,202 | | | | 3,235,004 | | | | 8,526,226 | | | | 104,975,821 | | | | 3,212,796 | | | | 530,402 | | | | (929,252 | ) |
MML Managed Volatility Fund, Initial Class | | | 647,599 | | | | - | | | | 647,599 | | | | - | | | | - | | | | - | | | | - | | | | (61,874 | ) |
MML Mid Cap Growth Fund, Initial Class | | | 489,785 | | | | 154,079 | | | | 78,186 | | | | 565,678 | | | | 8,768,004 | | | | - | | | | 1,000,303 | | | | 310,984 | |
MML Mid Cap Value Fund, Initial Class | | | 799,616 | | | | 325,744 | | | | 112,600 | | | | 1,012,760 | | | | 10,877,046 | | | | 216,086 | | | | 1,602,903 | | | | 153,675 | |
MML Short-Duration Bond Fund, Class II | | | 2,318,005 | | | | 121,732 | | | | 733,754 | | | | 1,705,983 | | | | 16,548,033 | | | | 438,164 | | | | - | | | | (169,934 | ) |
MML Small Cap Growth Equity Fund, Initial Class | | | 238,652 | | | | 54,838 | | | | 131,610 | | | | 161,880 | | | | 2,186,669 | | | | - | | | | 500,824 | | | | 114,184 | |
60
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number of
Shares Held
as of
12/31/14 | | | Purchases | | | Sales | | | Number of
Shares Held
as of
12/31/15 | | | Value as of
12/31/15 | | | Dividend
Income | | | Realized
Gains
Distributions | | | Net
Realized
Gain (Loss) | |
Conservative Allocation Fund (Continued) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Small Company Value Fund, Class II | | | 317,539 | | | | 65,492 | | | | 42,612 | | | | 340,419 | | | $ | 5,065,433 | | | $ | 17,188 | | | $ | 528,691 | | | $ | 51,280 | |
MML Small/Mid Cap Value Fund, Initial Class | | | 234,751 | | | | 55,818 | | | | 94,821 | | | | 195,748 | | | | 2,219,785 | | | | 17,566 | | | | 401,275 | | | | 123,568 | |
MML Total Return Bond Fund, Class II | | | 5,752,757 | | | | 639,641 | | | | 1,878,988 | | | | 4,513,410 | | | | 45,991,649 | | | | 1,593,815 | | | | 519,700 | | | | 597,058 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares* | | | 35,830 | | | | 10,490 | | | | 5,741 | | | | 40,579 | | | | 3,118,463 | | | | - | | | | 271,446 | | | | 59,741 | |
Oppenheimer Global Fund/VA, Non-Service Shares* | | | 180,730 | | | | 84,055 | | | | 46,886 | | | | 217,899 | | | | 8,280,166 | | | | 113,286 | | | | 564,781 | | | | 550,248 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares* | | | 2,359,705 | | | | 730,979 | | | | - | | | | 3,090,684 | | | | 29,856,003 | | | | 104,100 | | | | - | | | | - | |
Oppenheimer Global Strategic Income Fund/VA, Non-Service Shares* | | | 3,912,966 | | | | 78,368 | | | | 3,991,334 | | | | - | | | | - | | | | 396,540 | | | | - | | | | (579,113 | ) |
Oppenheimer International Growth Fund/VA, Non-Service Shares* | | | 3,030,603 | | | | 1,183,883 | | | | 1,065,822 | | | | 3,148,664 | | | | 6,927,061 | | | | 84,784 | | | | 517,489 | | | | 173,230 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | $ | 456,663,437 | | | $ | 9,964,954 | | | $ | 19,317,782 | | | $ | 6,926,931 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Balanced Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class | | | 1,672,364 | | | | 375,819 | | | | 335,820 | | | | 1,712,363 | | | $ | 27,038,213 | | | $ | - | | | $ | 4,333,731 | | | $ | 2,830,903 | |
MML Dynamic Bond Fund, Class II | | | - | | | | 6,313,205 | | | | 50,403 | | | | 6,262,802 | | | | 60,811,811 | | | | 970,843 | | | | - | | | | (2,520 | ) |
MML Equity Income Fund, Initial Class | | | 1,761,921 | | | | 322,391 | | | | 339,851 | | | | 1,744,461 | | | | 19,694,962 | | | | 395,108 | | | | 2,084,991 | | | | 1,645,752 | |
MML Focused Equity Fund, Class II | | | 779,283 | | | | 231,946 | | | | 147,517 | | | | 863,712 | | | | 10,494,099 | | | | 208,256 | | | | 1,490,757 | | | | 554,252 | |
MML Foreign Fund, Initial Class | | | 1,184,484 | | | | 524,181 | | | | 130,573 | | | | 1,578,092 | | | | 14,976,094 | | | | 464,139 | | | | - | | | | 246,473 | |
MML Fundamental Growth Fund, Class II | | | 1,285,251 | | | | 359,972 | | | | 288,337 | | | | 1,356,886 | | | | 17,001,780 | | | | 141,149 | | | | 3,285,808 | | | | 994,746 | |
MML Fundamental Value Fund, Class II | | | 1,455,693 | | | | 263,308 | | | | 170,620 | | | | 1,548,381 | | | | 21,987,008 | | | | 311,544 | | | | 1,769,054 | | | | 682,922 | |
MML Global Fund, Class I | | | 1,119,769 | | | | 404,467 | | | | 167,094 | | | | 1,357,142 | | | | 15,932,846 | | | | 183,240 | | | | 702,232 | | | | 777,013 | |
MML High Yield Fund, Class II | | | 2,009,508 | | | | 161,525 | | | | 57,550 | | | | 2,113,483 | | | | 19,380,635 | | | | 1,353,629 | | | | 114,970 | | | | (37,192 | ) |
MML Income & Growth Fund, Initial Class | | | 1,466,044 | | | | 328,880 | | | | 213,602 | | | | 1,581,322 | | | | 17,948,003 | | | | 346,544 | | | | 1,131,416 | | | | 666,883 | |
MML Inflation-Protected and Income Fund, Initial Class | | | 2,027,046 | | | | 172,642 | | | | 193,246 | | | | 2,006,442 | | | | 19,883,840 | | | | 236,343 | | | | - | | | | (118,387 | ) |
MML International Equity Fund, Class II | | | 1,365,174 | | | | 474,217 | | | | 151,238 | | | | 1,688,153 | | | | 14,872,626 | | | | 30,347 | | | | - | | | | (90,850 | ) |
MML Large Cap Growth Fund, Initial Class | | | 1,350,440 | | | | 388,029 | | | | 321,467 | | | | 1,417,002 | | | | 16,578,923 | | | | - | | | | 3,375,660 | | | | 1,436,459 | |
MML Managed Bond Fund, Initial Class | | | 10,638,276 | | | | 1,127,452 | | | | 3,302,970 | | | | 8,462,758 | | | | 104,194,402 | | | | 3,250,271 | | | | 554,713 | | | | (7,402 | ) |
MML Managed Volatility Fund, Initial Class | | | 1,000,281 | | | | 5,151 | | | | 1,005,432 | | | | - | | | | - | | | | - | | | | - | | | | (89,172 | ) |
MML Mid Cap Growth Fund, Initial Class | | | 989,339 | | | | 170,185 | | | | 141,079 | | | | 1,018,445 | | | | 15,785,904 | | | | - | | | | 1,776,326 | | | | 779,540 | |
MML Mid Cap Value Fund, Initial Class | | | 1,325,557 | | | | 406,332 | | | | 142,716 | | | | 1,589,173 | | | | 17,067,721 | | | | 334,186 | | | | 2,478,948 | | | | 367,542 | |
MML Short-Duration Bond Fund, Class II | | | 2,514,332 | | | | 192,744 | | | | 562,296 | | | | 2,144,780 | | | | 20,804,370 | | | | 515,394 | | | | - | | | | (157,019 | ) |
MML Small Cap Growth Equity Fund, Initial Class | | | 408,657 | | | | 79,976 | | | | 192,722 | | | | 295,911 | | | | 3,997,140 | | | | - | | | | 878,590 | | | | 406,070 | |
MML Small Company Value Fund, Class II | | | 462,499 | | | | 72,029 | | | | 47,676 | | | | 486,852 | | | | 7,244,363 | | | | 24,178 | | | | 743,698 | | | | 734 | |
MML Small/Mid Cap Value Fund, Initial Class | | | 410,739 | | | | 89,122 | | | | 114,379 | | | | 385,482 | | | | 4,371,363 | | | | 33,809 | | | | 772,341 | | | | 150,998 | |
MML Total Return Bond Fund, Class II | | | 5,910,819 | | | | 454,995 | | | | 1,548,052 | | | | 4,817,762 | | | | 49,092,996 | | | | 1,668,571 | | | | 544,076 | | | | 978,004 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares* | | | 70,294 | | | | 12,887 | | | | 10,148 | | | | 73,033 | | | | 5,612,556 | | | | - | | | | 505,704 | | | | 87,695 | |
Oppenheimer Global Fund/VA, Non-Service Shares* | | | 307,582 | | | | 139,136 | | | | 100,671 | | | | 346,047 | | | | 13,149,782 | | | | 172,417 | | | | 859,566 | | | | 1,090,223 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares* | | | 2,919,619 | | | | 1,310,959 | | | | - | | | | 4,230,578 | | | | 40,867,384 | | | | 142,494 | | | | - | | | | - | |
Oppenheimer Global Strategic Income Fund/VA, Non-Service Shares* | | | 3,999,649 | | | | 79,840 | | | | 4,079,489 | | | | - | | | | - | | | | 403,991 | | | | - | | | | (644,856 | ) |
Oppenheimer International Growth Fund/VA, Non-Service Shares* | | | 5,346,658 | | | | 2,204,189 | | | | 1,458,012 | | | | 6,092,835 | | | | 13,404,237 | | | | 166,459 | | | | 1,015,981 | | | | 729,996 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | $ | 572,193,058 | | | $ | 11,352,912 | | | $ | 28,418,562 | | | $ | 13,278,807 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Moderate Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class | | | 7,469,514 | | | | 1,899,067 | | | | 1,183,640 | | | | 8,184,941 | | | $ | 129,240,217 | | | $ | - | | | $ | 20,358,498 | | | $ | 10,260,295 | |
MML Dynamic Bond Fund, Class II | | | - | | | | 19,992,115 | | | | 100,806 | | | | 19,891,309 | | | | 193,144,610 | | | | 3,081,911 | | | | - | | | | (5,040 | ) |
MML Equity Income Fund, Initial Class | | | 6,690,847 | | | | 1,805,931 | | | | 647,390 | | | | 7,849,388 | | | | 88,619,596 | | | | 1,726,721 | | | | 9,111,931 | | | | 3,316,829 | |
61
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number of
Shares Held
as of
12/31/14 | | | Purchases | | | Sales | | | Number of
Shares Held
as of
12/31/15 | | | Value as of
12/31/15 | | | Dividend
Income | | | Realized
Gains
Distributions | | | Net
Realized
Gain (Loss) | |
Moderate Allocation Fund (Continued) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Focused Equity Fund, Class II | | | 4,049,828 | | | | 1,679,728 | | | | 415,253 | | | | 5,314,303 | | | $ | 64,568,779 | | | $ | 1,243,317 | | | $ | 8,900,029 | | | $ | 1,755,997 | |
MML Foreign Fund, Initial Class | | | 4,619,959 | | | | 3,252,054 | | | | 185,396 | | | | 7,686,617 | | | | 72,945,999 | | | | 2,223,518 | | | | - | | | | 447,075 | |
MML Fundamental Growth Fund, Class II | | | 5,840,289 | | | | 1,755,035 | | | | 1,290,896 | | | | 6,304,428 | | | | 78,994,479 | | | | 644,772 | | | | 15,009,676 | | | | 4,618,523 | |
MML Fundamental Value Fund, Class II | | | 5,753,191 | | | | 1,354,638 | | | | 215,593 | | | | 6,892,236 | | | | 97,869,752 | | | | 1,352,067 | | | | 7,677,506 | | | | 1,119,817 | |
MML Global Fund, Class I | | | 7,253,182 | | | | 1,767,741 | | | | 941,248 | | | | 8,079,675 | | | | 94,855,380 | | | | 1,067,364 | | | | 4,090,473 | | | | 5,231,668 | |
MML High Yield Fund, Class II | | | 6,081,792 | | | | 578,753 | | | | - | | | | 6,660,545 | | | | 61,077,196 | | | | 4,183,669 | | | | 347,958 | | | | - | |
MML Income & Growth Fund, Initial Class | | | 6,201,946 | | | | 1,221,086 | | | | 516,834 | | | | 6,906,198 | | | | 78,385,343 | | | | 1,497,042 | | | | 4,887,630 | | | | 1,646,740 | |
MML Inflation-Protected and Income Fund, Initial Class | | | 6,555,075 | | | | 717,563 | | | | 228,225 | | | | 7,044,413 | | | | 69,810,133 | | | | 818,181 | | | | - | | | | (178,067 | ) |
MML International Equity Fund, Class II | | | 5,300,929 | | | | 3,083,418 | | | | 160,178 | | | | 8,224,169 | | | | 72,454,931 | | | | 145,382 | | | | - | | | | (90,180 | ) |
MML Large Cap Growth Fund, Initial Class | | | 6,137,665 | | | | 1,824,833 | | | | 1,303,135 | | | | 6,659,363 | | | | 77,914,545 | | | | - | | | | 15,421,543 | | | | 6,298,602 | |
MML Managed Bond Fund, Initial Class | | | 32,590,196 | | | | 4,577,746 | | | | 9,241,694 | | | | 27,926,248 | | | | 343,831,012 | | | | 10,416,451 | | | | 1,773,185 | | | | 313,939 | |
MML Managed Volatility Fund, Initial Class | | | 4,503,232 | | | | 90,261 | | | | 4,593,493 | | | | - | | | | - | | | | - | | | | - | | | | (328,528 | ) |
MML Mid Cap Growth Fund, Initial Class | | | 4,635,039 | | | | 1,035,297 | | | | 449,369 | | | | 5,220,967 | | | | 80,924,987 | | | | - | | | | 8,922,738 | | | | 3,363,226 | |
MML Mid Cap Value Fund, Initial Class | | | 6,305,478 | | | | 2,164,989 | | | | 386,001 | | | | 8,084,466 | | | | 86,827,162 | | | | 1,683,426 | | | | 12,487,450 | | | | 791,724 | |
MML Short-Duration Bond Fund, Class II | | | 7,627,141 | | | | 1,052,306 | | | | 844,207 | | | | 7,835,240 | | | | 76,001,830 | | | | 1,776,584 | | | | - | | | | (231,460 | ) |
MML Small Cap Growth Equity Fund, Initial Class | | | 1,870,987 | | | | 418,862 | | | | 793,951 | | | | 1,495,898 | | | | 20,206,474 | | | | - | | | | 4,245,327 | | | | 1,759,819 | |
MML Small Company Value Fund, Class II | | | 2,331,749 | | | | 419,528 | | | | 111,826 | | | | 2,639,451 | | | | 39,275,032 | | | | 128,220 | | | | 3,943,908 | | | | 23,454 | |
MML Small/Mid Cap Value Fund, Initial Class | | | 1,864,400 | | | | 428,808 | | | | 546,539 | | | | 1,746,669 | | | | 19,807,224 | | | | 148,927 | | | | 3,402,134 | | | | 1,032,190 | |
MML Strategic Emerging Markets Fund, Class II | | | 4,014,300 | | | | 1,132,057 | | | | 196,518 | | | | 4,949,839 | | | | 40,341,191 | | | | 500,232 | | | | - | | | | (298,092 | ) |
MML Total Return Bond Fund, Class II | | | 17,821,385 | | | | 1,719,465 | | | | 3,748,852 | | | | 15,791,998 | | | | 160,920,460 | | | | 5,333,378 | | | | 1,739,071 | | | | 2,658,159 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares* | | | 319,778 | | | | 78,795 | | | | 26,619 | | | | 371,954 | | | | 28,584,668 | | | | - | | | | 2,514,703 | | | | 243,353 | |
Oppenheimer Global Fund/VA, Non-Service Shares* | | | 1,037,262 | | | | 464,008 | | | | 131,782 | | | | 1,369,488 | | | | 52,040,525 | | | | 632,409 | | | | 3,152,809 | | | | 1,522,121 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares* | | | 10,946,823 | | | | 7,211,787 | | | | - | | | | 18,158,610 | | | | 175,412,174 | | | | 611,617 | | | | - | | | | - | |
Oppenheimer Global Strategic Income Fund/VA, Non-Service Shares* | | | 9,723,403 | | | | 178,384 | | | | 9,901,787 | | | | - | | | | - | | | | 902,621 | | | | - | | | | (1,307,210 | ) |
Oppenheimer International Growth Fund/VA, Non-Service Shares* | | | 17,855,247 | | | | 6,969,485 | | | | 8,284,481 | | | | 16,540,251 | | | | 36,388,553 | | | | 453,437 | | | | 2,767,564 | | | | 2,115,917 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | $ | 2,340,442,252 | | | $ | 40,571,246 | | | $ | 130,754,133 | | | $ | 46,080,871 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Growth Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class | | | 6,943,503 | | | | 1,378,902 | | | | 1,098,052 | | | | 7,224,353 | | | $ | 114,072,529 | | | $ | - | | | $ | 18,550,886 | | | $ | 8,506,753 | |
MML Dynamic Bond Fund, Class II | | | - | | | | 8,965,158 | | | | 100,806 | | | | 8,864,352 | | | | 86,072,859 | | | | 1,358,757 | | | | - | | | | (5,040 | ) |
MML Equity Income Fund, Initial Class | | | 5,747,051 | | | | 1,105,792 | | | | 892,730 | | | | 5,960,113 | | | | 67,289,675 | | | | 1,365,197 | | | | 7,204,162 | | | | 4,287,980 | |
MML Focused Equity Fund, Class II | | | 4,410,908 | | | | 1,285,574 | | | | 687,426 | | | | 5,009,056 | | | | 60,860,036 | | | | 1,219,742 | | | | 8,731,267 | | | | 2,692,278 | |
MML Foreign Fund, Initial Class | | | 4,702,623 | | | | 2,348,448 | | | | 476,023 | | | | 6,575,048 | | | | 62,397,206 | | | | 1,943,773 | | | | - | | | | 957,762 | |
MML Fundamental Growth Fund, Class II | | | 5,462,334 | | | | 1,301,440 | | | | 1,237,598 | | | | 5,526,176 | | | | 69,242,990 | | | | 585,709 | | | | 13,634,736 | | | | 4,263,825 | |
MML Fundamental Value Fund, Class II | | | 4,909,630 | | | | 796,940 | | | | 447,133 | | | | 5,259,437 | | | | 74,684,001 | | | | 1,069,660 | | | | 6,073,900 | | | | 2,715,276 | |
MML Global Fund, Class I | | | 6,544,819 | | | | 2,166,251 | | | | 1,123,508 | | | | 7,587,562 | | | | 89,077,979 | | | | 1,032,828 | | | | 3,958,121 | | | | 7,361,368 | |
MML High Yield Fund, Class II | | | 1,699,715 | | | | 124,780 | | | | 115,129 | | | | 1,709,366 | | | | 15,674,888 | | | | 1,112,352 | | | | 97,246 | | | | (57,909 | ) |
MML Income & Growth Fund, Initial Class | | | 4,593,643 | | | | 680,038 | | | | 632,170 | | | | 4,641,511 | | | | 52,681,147 | | | | 1,041,684 | | | | 3,400,949 | | | | 1,964,724 | |
MML Inflation-Protected and Income Fund, Initial Class | | | 6,199,487 | | | | 463,851 | | | | 455,899 | | | | 6,207,439 | | | | 61,515,724 | | | | 729,113 | | | | - | | | | (233,787 | ) |
MML International Equity Fund, Class II | | | 5,397,692 | | | | 2,051,610 | | | | 415,498 | | | | 7,033,804 | | | | 61,967,810 | | | | 127,101 | | | | - | | | | (224,242 | ) |
62
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number of
Shares Held
as of
12/31/14 | | | Purchases | | | Sales | | | Number of
Shares Held
as of
12/31/15 | | | Value as of
12/31/15 | | | Dividend
Income | | | Realized
Gains
Distributions | | | Net
Realized
Gain (Loss) | |
Growth Allocation Fund (Continued) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Large Cap Growth Fund, Initial Class | | | 5,731,581 | | | | 1,350,049 | | | | 1,229,324 | | | | 5,852,306 | | | $ | 68,471,985 | | | $ | - | | | $ | 14,008,088 | | | $ | 6,444,179 | |
MML Managed Bond Fund, Initial Class | | | 15,187,866 | | | | 768,041 | | | | 6,220,498 | | | | 9,735,409 | | | | 119,863,423 | | | | 4,016,730 | | | | 794,391 | | | | 41,597 | |
MML Managed Volatility Fund, Initial Class | | | 4,282,220 | | | | 13,789 | | | | 4,296,009 | | | | - | | | | - | | | | - | | | | - | | | | (379,254 | ) |
MML Mid Cap Growth Fund, Initial Class | | | 4,778,861 | | | | 814,966 | | | | 665,555 | | | | 4,928,272 | | | | 76,388,220 | | | | - | | | | 8,665,653 | | | | 6,204,120 | |
MML Mid Cap Value Fund, Initial Class | | | 6,102,725 | | | | 1,372,968 | | | | 852,662 | | | | 6,623,031 | | | | 71,131,352 | | | | 1,432,026 | | | | 10,622,597 | | | | 4,523,258 | |
MML Short-Duration Bond Fund, Class II | | | 4,208,966 | | | | 478,068 | | | | 645,839 | | | | 4,041,195 | | | | 39,199,592 | | | | 975,804 | | | | - | | | | (138,466 | ) |
MML Small Cap Growth Equity Fund, Initial Class | | | 1,897,224 | | | | 303,988 | | | | 891,087 | | | | 1,310,125 | | | | 17,697,071 | | | | - | | | | 3,871,203 | | | | 2,283,489 | |
MML Small Company Value Fund, Class II | | | 2,137,814 | | | | 273,156 | | | | 179,737 | | | | 2,231,233 | | | | 33,200,753 | | | | 111,875 | | | | 3,441,164 | | | | 294,519 | |
MML Small/Mid Cap Value Fund, Initial Class | | | 1,838,275 | | | | 393,151 | | | | 273,271 | | | | 1,958,155 | | | | 22,205,475 | | | | 173,223 | | | | 3,957,166 | | | | 318,537 | |
MML Strategic Emerging Markets Fund, Class II | | | 4,473,421 | | | | 909,002 | | | | 490,159 | | | | 4,892,264 | | | | 39,871,950 | | | | 514,567 | | | | - | | | | (849,757 | ) |
MML Total Return Bond Fund, Class II | | | 8,276,281 | | | | 563,408 | | | | 1,848,110 | | | | 6,991,579 | | | | 71,244,187 | | | | 2,393,903 | | | | 780,588 | | | | 1,418,941 | |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares* | | | 324,794 | | | | 73,019 | | | | 44,473 | | | | 353,340 | | | | 27,154,191 | | | | - | | | | 2,531,442 | | | | 351,790 | |
Oppenheimer Global Fund/VA, Non-Service Shares* | | | 796,419 | | | | 506,905 | | | | 261,828 | | | | 1,041,496 | | | | 39,576,848 | | | | 496,840 | | | | 2,476,945 | | | | 2,949,161 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares* | | | 8,331,471 | | | | 6,071,404 | | | | - | | | | 14,402,875 | | | | 139,131,775 | | | | 485,117 | | | | - | | | | - | |
Oppenheimer Global Strategic Income Fund/VA, Non-Service Shares* | | | 3,289 | | | | - | | | | 3,289 | | | | - | | | | - | | | | - | | | | - | | | | (124 | ) |
Oppenheimer International Growth Fund/VA, Non-Service Shares* | | | 18,560,470 | | | | 2,746,379 | | | | 7,900,448 | | | | 13,406,401 | | | | 29,494,082 | | | | 390,086 | | | | 2,380,916 | | | | 4,429,611 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | $ | 1,610,167,748 | | | $ | 22,576,087 | | | $ | 115,181,420 | | | $ | 60,120,589 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Aggressive Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Blue Chip Growth Fund, Initial Class | | | 564,279 | | | | 172,600 | | | | 102,007 | | | | 634,872 | | | $ | 10,024,622 | | | $ | - | | | $ | 1,592,402 | | | $ | 679,454 | |
MML Dynamic Bond Fund, Class II | | | - | | | | 239,620 | | | | 2,016 | | | | 237,604 | | | | 2,307,131 | | | | 35,758 | | | | - | | | | (101 | ) |
MML Equity Income Fund, Initial Class | | | 458,450 | | | | 148,895 | | | | 73,288 | | | | 534,057 | | | | 6,029,504 | | | | 117,873 | | | | 622,015 | | | | 292,175 | |
MML Focused Equity Fund, Class II | | | 366,280 | | | | 153,538 | | | | 62,973 | | | | 456,845 | | | | 5,550,668 | | | | 107,250 | | | | 767,726 | | | | 233,932 | |
MML Foreign Fund, Initial Class | | | 453,685 | | | | 208,773 | | | | 33,203 | | | | 629,255 | | | | 5,971,630 | | | | 182,220 | | | | - | | | | 41,764 | |
MML Fundamental Growth Fund, Class II | | | 453,726 | | | | 160,841 | | | | 125,370 | | | | 489,197 | | | | 6,129,644 | | | | 50,357 | | | | 1,172,259 | | | | 407,118 | |
MML Fundamental Value Fund, Class II | | | 390,143 | | | | 120,265 | | | | 44,220 | | | | 466,188 | | | | 6,619,874 | | | | 91,704 | | | | 520,727 | | | | 172,285 | |
MML Global Fund, Class I | | | 499,894 | | | | 259,128 | | | | 91,635 | | | | 667,387 | | | | 7,835,128 | | | | 88,520 | | | | 339,235 | | | | 478,367 | |
MML High Yield Fund, Class II | | | 5,880 | | | | - | | | | 5,880 | | | | - | | | | - | | | | - | | | | - | | | | (5,263 | ) |
MML Income & Growth Fund, Initial Class | | | 381,619 | | | | 111,482 | | | | 79,310 | | | | 413,791 | | | | 4,696,528 | | | | 90,643 | | | | 295,935 | | | | 238,170 | |
MML Inflation-Protected and Income Fund, Initial Class | | | 291,882 | | | | 49,594 | | | | 26,765 | | | | 314,711 | | | | 3,118,783 | | | | 36,453 | | | | - | | | | (32,670 | ) |
MML International Equity Fund, Class II | | | 520,644 | | | | 187,357 | | | | 34,813 | | | | 673,188 | | | | 5,930,787 | | | | 11,915 | | | | - | | | | (27,409 | ) |
MML Large Cap Growth Fund, Initial Class | | | 475,358 | | | | 166,777 | | | | 119,717 | | | | 522,418 | | | | 6,112,291 | | | | - | | | | 1,204,342 | | | | 472,879 | |
MML Managed Bond Fund, Initial Class | | | 333,211 | | | | 67,527 | | | | 184,649 | | | | 216,089 | | | | 2,660,506 | | | | 87,898 | | | | 18,439 | | | | (41,499 | ) |
MML Managed Volatility Fund, Initial Class | | | 363,799 | | | | 5,654 | | | | 369,453 | | | | - | | | | - | | | | - | | | | - | | | | (28,867 | ) |
MML Mid Cap Growth Fund, Initial Class | | | 429,121 | | | | 114,867 | | | | 60,699 | | | | 483,289 | | | | 7,490,979 | | | | - | | | | 828,306 | | | | 380,961 | |
MML Mid Cap Value Fund, Initial Class | | | 557,787 | | | | 174,315 | | | | 71,866 | | | | 660,236 | | | | 7,090,938 | | | | 136,318 | | | | 1,011,188 | | | | 175,400 | |
MML Short-Duration Bond Fund, Class II | | | 242,510 | | | | 55,970 | | | | 19,751 | | | | 278,729 | | | | 2,703,668 | | | | 60,809 | | | | - | | | | (3,384 | ) |
MML Small Cap Growth Equity Fund, Initial Class | | | 176,916 | | | | 45,287 | | | | 89,316 | | | | 132,887 | | | | 1,795,033 | | | | - | | | | 371,057 | | | | 80,246 | |
MML Small Company Value Fund, Class II | | | 195,361 | | | | 44,410 | | | | 18,270 | | | | 221,501 | | | | 3,295,938 | | | | 10,790 | | | | 331,876 | | | | 7,811 | |
63
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Number of
Shares Held
as of
12/31/14 | | | Purchases | | | Sales | | | Number of
Shares Held
as of
12/31/15 | | | Value as of
12/31/15 | | | Dividend
Income | | | Realized
Gains
Distributions | | | Net
Realized
Gain (Loss) | |
Aggressive Allocation Fund (Continued) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
MML Small/Mid Cap Value Fund, Initial Class | | | 163,877 | | | | 53,243 | | | | 23,429 | | | | 193,691 | | | $ | 2,196,451 | | | $ | 16,614 | | | $ | 379,540 | | | $ | 24,741 | |
MML Strategic Emerging Markets Fund, Class II | | | 419,279 | | | | 133,852 | | | | 49,898 | | | | 503,233 | | | | 4,101,350 | | | | 51,145 | | | | - | | | | (81,135 | ) |
MML Total Return Bond Fund, Class II | | | 173,768 | | | | 34,201 | | | | 41,769 | | | | 166,200 | | | | 1,693,578 | | | | 52,971 | | | | 17,273 | | | | (9,738 | ) |
Oppenheimer Discovery Mid Cap Growth Fund/VA, Non-Service Shares* | | | 30,702 | | | | 11,252 | | | | 6,223 | | | | 35,731 | | | | 2,745,932 | | | | - | | | | 251,557 | | | | 56,268 | |
Oppenheimer Global Fund/VA, Non-Service Shares* | | | 64,709 | | | | 61,555 | | | | 34,364 | | | | 91,900 | | | | 3,492,213 | | | | 41,717 | | | | 207,973 | | | | 251,416 | |
Oppenheimer Global Multi-Alternatives Fund/VA, Non-Service Shares* | | | 590,256 | | | | 581,029 | | | | - | | | | 1,171,285 | | | | 11,314,615 | | | | 39,450 | | | | - | | | | - | |
Oppenheimer Global Strategic Income Fund/VA, Non-Service Shares* | | | 14,638 | | | | - | | | | 14,638 | | | | - | | | | - | | | | - | | | | - | | | | (961 | ) |
Oppenheimer International Growth Fund/VA, Non-Service Shares* | | | 1,559,480 | | | | 340,812 | | | | 728,050 | | | | 1,172,242 | | | | 2,578,933 | | | | 32,648 | | | | 199,274 | | | | 200,872 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | $ | 123,486,724 | | | $ | 1,343,053 | | | $ | 10,131,124 | | | $ | 3,962,832 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| * | Fund advised by OFI Global Asset Management, Inc. |
Under the Funds’ organizational documents, current and former Trustees and Officers are provided with specified rights to indemnification against liabilities arising in connection with the performance of their duties to the Funds, and shareholders are indemnified against personal liability for obligations of the Funds. In the normal course of business, the Funds may also enter into contracts that provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Funds. The risk of material loss from such claims is considered remote.
In preparation of these financial statements, management has evaluated the events and transactions subsequent to December 31, 2015, through the date when the financial statements were issued, and determined that there are no subsequent events or transactions that would require adjustments to or disclosures in the Funds’ financial statements other than those disclosed below.
Effective January 1, 2016, the advisory fees, based upon each Fund’s average daily net assets, were changed for the following Funds as noted in the table below:
| | |
American Funds Growth Fund | | 0.15% on the first $500 million; and |
| | 0.125% on any excess over $500 million |
American Funds International Fund | | 0.15% on the first $500 million; and |
| | 0.125% on any excess over $500 million |
American Funds Core Allocation Fund | | 0.20% on the first $750 million; and |
| | 0.175% on any excess over $750 million |
64
Report of Independent Registered Public Accounting Firm
To the Board of Trustees of MML Series Investment Fund and Shareholders of MML Conservative Allocation Fund, MML Balanced Allocation Fund, MML Moderate Allocation Fund, MML Growth Allocation Fund, MML Aggressive Allocation Fund, MML American Funds Growth Fund, MML American Funds International Fund, and MML American Funds Core Allocation Fund (collectively, the “Funds”):
We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of the Funds as of December 31, 2015, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with 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 and financial highlights are free of material misstatement. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also 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, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2015, by correspondence with the custodian and transfer agents; when replies were not received from transfer agents, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds as of December 31, 2015, the results of their operations for the year ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America.
Deloitte & Touche LLP
Boston, Massachusetts
February 22, 2016
65
Trustees and Officers (Unaudited)
The following table lists the Trust’s Trustees and Officers; their address and age; their position with the Trust; the length of time holding that position with the Trust; their principal occupation(s) during the past five years; the number of portfolios in the fund complex they oversee; and other directorships they hold in companies subject to registration or reporting requirements of the Securities Exchange Act of 1934 (generally called “public companies”) or in registered investment companies. The Trust’s Statement of Additional Information includes additional information about the Trust’s Trustees and is available, without charge, upon request by calling 1-888-309-3539 or by writing MML Series Investment Fund, c/o Massachusetts Mutual Life Insurance Company, 100 Bright Meadow Blvd., Enfield, Connecticut 06082-1981, Attention: Retirement Services Marketing.
Disinterested Trustees
| | | | | | | | | | |
Name, Address*, and Age | | Position(s)
Held with Trust | | Term of
Office** and
Length of
Time Served | | Principal Occupation(s)
During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Trustee | | Other Directorships
Held by Trustee |
Allan W. Blair Age: 67 | | Trustee | | Since 2003 | | Retired; President and Chief Executive Officer (1996-2014), Economic Development Council of Western Massachusetts (non-profit development company); President and Chief Executive Officer (1984-2014), Westover Metropolitan Development Corporation (quasi-public development company). | | 93 | | Trustee (since 2003), MassMutual Select Funds (open-end investment company); Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Nabil N. El-Hage
Age: 57 | | Trustee | | Since 2012 | | Chairman (since 2011), Academy of Executive Education, LLC; Consultant (2010-2011); Senior Associate Dean for External Relations (2009-2010), Thomas Henry Carroll Ford Foundation Adjunct Professor of Business Administration (2009-2010), Harvard Business School. | | 93 | | Director (2011-2015), Argo Group International Holdings, Ltd. (underwriter of specialty insurance and reinsurance products); Director (2007-2010), Virtual Radiologic Corporation (telemedicine company); Trustee (since 2012), MassMutual Select Funds (open-end investment company); Trustee (since 2005), Chairman (2006-2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2003), Chairman (2006-2012), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Maria D. Furman
Age: 62 | | Trustee | | Since 2012 | | Retired. | | 93 | | Trustee (since 2011), GMO Series Trust (open-end investment company); Trustee (since 2012), MassMutual Select Funds (open-end investment company); Trustee (since 2005), MML Series Investment Fund II (open-end investment company); Trustee (since 2004), MassMutual Premier Funds (open-end investment company). |
| | | | | |
R. Alan Hunter, Jr. Age: 69 | | Chairperson Trustee | | Since 2016 Since 2003 | | Retired. | | 93 | | Director (since 2007), Actuant Corporation (diversified industrial company); Chairperson (since 2016), Trustee (since 2003), MassMutual Select Funds (open-end investment company); Chairperson (since 2016), Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Chairperson (since 2016), Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
66
Trustees and Officers (Unaudited) (Continued)
| | | | | | | | | | |
Name, Address*, and Age | | Position(s)
Held with
Trust | | Term of
Office** and
Length of
Time Served | | Principal Occupation(s)
During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Trustee | | Other Directorships
Held by Trustee |
C. Ann Merrifield
Age: 64 | | Trustee | | Since
2012 | | Retired; President and Chief Executive Officer (2012-2014), PathoGenetix (genomics company); Senior Vice President, Genzyme Business Excellence Initiative (2009-2011), Genzyme Corporation (biotechnology company). | | 93 | | Director (since 2015), Juniper Pharmaceuticals Inc. (specialty pharmaceutical company); Director (since 2014), Flexion Therapeutics (specialty pharmaceutical company); Director (since 2014), InVivo Therapeutics (research and clinical-stage biomaterials and biotechnology company); Trustee (since 2012), MassMutual Select Funds (open-end investment company); Trustee (since 2005), MML Series Investment Fund II (open-end investment company); Trustee (since 2004), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Susan B. Sweeney Age: 63 | | Trustee | | Since 2009 | | Retired; Senior Vice President and Chief Investment Officer (2010-2014), Selective Insurance Group (property and casualty company); Senior Managing Director (2008-2010), Ironwood Capital (private equity firm). | | 95^ | | Trustee (since 2012), Babson Capital Corporate Investors (closed-end investment company); Trustee (since 2012), Babson Capital Participation Investors (closed-end investment company); Trustee (since 2009), MassMutual Select Funds (open-end investment company); Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Robert E. Joyal^^ Age: 71 | | Trustee | | Since 2003 | | Retired. | | 95^ | | Director (since 2013), Leucadia National Corporation (holding company); Director (since 2012), Ormat Technologies, Inc. (provider of alternative and renewable energy technology); Director (2006-2014), Jefferies Group LLC (investment bank); Director (2007-2011), Scottish Re Group Ltd. (holding company); Trustee (since 2003), Babson Capital Corporate Investors (closed-end investment company); Trustee (since 2003), Babson Capital Participation Investors (closed-end investment company); Trustee (since 2003), MassMutual Select Funds (open-end investment company); Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
67
Trustees and Officers (Unaudited) (Continued)
Interested Trustees
| | | | | | | | | | |
Name, Address*, and Age | | Position(s)
Held with
Trust | | Term of
Office** and
Length of
Time Served | | Principal Occupation(s)
During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Trustee | | Other Directorships
Held by Trustee |
Elaine A. Sarsynski^^^ Age: 60 | | Trustee | | Since
2008 | | Executive Vice President (since 2008), MassMutual Retirement Services Division, MassMutual; Chairman (since 2013), President, Chairman & CEO (2012-2013), Chairman & CEO (2008-2012), President & CEO (2006-2008), MassMutual International LLC. | | 93 | | Director (since 2012), Horizon Technology Finance Management LLC (specialty finance company); Director (since 2013), MML Advisers; Trustee (since 2008), MassMutual Select Funds (open-end investment company); Vice Chairperson (2011-2012), Trustee (since 2011), MML Series Investment Fund II (open-end investment company); Vice Chairperson (2011-2012), Trustee (since 2011), MassMutual Premier Funds (open-end investment company). |
Principal Officers who are Not Trustees
| | | | | | | | |
Name, Address*, and Age | | Position(s) Held
with Trust | | Term of
Office# and
Length of
Time Served | | Principal Occupation(s) During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Officer |
Jeffrey M. Dube Age: 47 | | President | | Since
2014 | | Vice President (since 2012), Assistant Vice President (2011-2012), Managing Director (2009-2011), MassMutual; President (since 2014), MML Series Investment Fund II (open-end investment company). | | 40 |
| | | | |
Michael C. Eldredge
Age: 51 | | Vice President | | Since
2009 | | Head of Investments and portfolio manager (since 2014), MML Advisers; Vice President (since 2008), MassMutual; Vice President (since 2009), MassMutual Select Funds (open-end investment company); Vice President (since 2009), MML Series Investment Fund II (open-end investment company); Vice President (since 2009), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Andrew M. Goldberg Age: 49 | | Vice President, Secretary, and Chief Legal Officer Assistant Secretary | | Since
2008 (2001-
2008) | | Assistant Vice President and Counsel (since 2004), MassMutual; Secretary (since 2015), Assistant Secretary (2013-2015), MML Advisers; Vice President, Secretary, and Chief Legal Officer (since 2008), Assistant Secretary (2001-2008), MassMutual Select Funds (open-end investment company); Vice President, Secretary, (formerly known as “Clerk”), and Chief Legal Officer (since 2008), Assistant Clerk (2005-2008), MML Series Investment Fund II (open-end investment company); Vice President, Secretary, (formerly known as “Clerk”), and Chief Legal Officer (since 2008), Assistant Clerk (2004-2008), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Brian K. Haendiges Age: 55 | | Vice President | | Since
2014 | | Vice President (since 2014), MML Advisers; Senior Vice President (since 2014), Vice President (2010-2014), MassMutual; Vice President (since 2014), MassMutual Select Funds (open-end investment company); Vice President (since 2014), MML Series Investment Fund II (open-end investment company); Vice President (since 2014), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Nicholas H. Palmerino Age: 50 | | Chief Financial Officer and Treasurer | | Since
2006 | | Vice President (since 2014), Assistant Vice President (2006-2014), MassMutual; Chief Financial Officer and Treasurer (since 2006), MassMutual Select Funds (open-end investment company); Chief Financial Officer and Treasurer (since 2006), MML Series Investment Fund II (open-end investment company); Chief Financial Officer and Treasurer (since 2006), MassMutual Premier Funds (open-end investment company). | | 93 |
68
Trustees and Officers (Unaudited) (Continued)
| | | | | | | | |
Name, Address*, and Age | | Position(s) Held
with Trust | | Term of
Office# and
Length of
Time Served | | Principal Occupation(s) During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Officer |
Philip S. Wellman Age: 51 | | Vice President and Chief Compliance Officer | | Since
2007 | | Vice President and Chief Compliance Officer (since 2013), MML Advisers; Vice President, Associate General Counsel, and Chief Compliance Officer (Mutual Funds) (since 2014), Vice President, Associate General Counsel, and Chief Compliance Officer (Mutual Funds and Investment Advisory) (2008-2014), MassMutual; Vice President and Chief Compliance Officer (since 2007), MassMutual Select Funds (open-end investment company); Vice President and Chief Compliance Officer (since 2007), MML Series Investment Fund II (open-end investment company); Vice President and Chief Compliance Officer (since 2007), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Eric H. Wietsma Age: 49 | | Vice President | | Since
2006 | | Director and President (since 2013), MML Advisers; Senior Vice President (since 2010), Corporate Vice President (2007-2010), MassMutual; President (since 2008), Vice President (2006-2008), MassMutual Select Funds (open-end investment company); Vice President (since 2006), MML Series Investment Fund II (open-end investment company); President (since 2008) Vice President (2006-2008), MassMutual Premier Funds (open-end investment company). | | 93 |
| * | The address of each Trustee and Principal Officer is the same as that for the Trust; 100 Bright Meadow Blvd., Enfield, CT 06082-1981. |
| ** | Each Trustee of the Trust serves until the next meeting of shareholders called for the purpose of electing Trustees and until the election and qualification of his or her successor or until he or she dies, resigns, or is removed. Notwithstanding the foregoing, unless the Trustees determine that it is desirable and in the best interest of the Trust that an exception to the retirement policy of the Trust be made, a Trustee shall retire and cease to serve as a Trustee upon the conclusion of the calendar year in which such Trustee attains the age of seventy-two years. |
| | The Chairperson is elected to hold such office for a term of three years or until their successor is elected and qualified to carry out the duties and responsibilities of their office, or until he or she retires, dies, resigns, is removed, or becomes disqualified. The Chairperson shall hold office at the pleasure of the Trustees. |
| ^ | Babson Capital Participation Investors and Babson Capital Corporate Investors are deemed to be a part of the Fund Complex, because they are managed by Babson Capital Management LLC, an affiliate of MML Advisers. |
| ^^ | Mr. Joyal is an “Interested Person,” as that term is defined in the 1940 Act, through his position as a director of Leucadia National Corporation, which controls Jefferies Group LLC, a broker-dealer that may execute portfolio transactions and/or engage in principal transactions with the Funds, other investment companies advised by MML Advisers or holding themselves out to investors as related companies for purposes of investment or investor services, or any other advisory accounts over which MML Advisers has brokerage placement discretion. |
| ^^^ | Ms. Sarsynski is an Interested Person as a director of MML Advisers. |
| # | The President, Treasurer, and Secretary and such other officers as the Trustees may in their discretion from time to time elect are elected to hold such office until their successor is elected and qualified to carry out the duties and responsibilities of their office, or until he or she dies, resigns, is removed, or becomes disqualified. Each officer shall hold office at the pleasure of the Trustees. |
69
Federal Tax Information (Unaudited)
For corporate shareholders, a portion of the ordinary dividends paid during the Fund(s)’ year ended December 31, 2015, qualified for the dividends received deduction, as follows:
| | | | |
| |
| | | Dividends Received
Deductions | |
Conservative Allocation Fund | | | 60.41% | |
Balanced Allocation Fund | | | 75.32% | |
Moderate Allocation Fund | | | 94.50% | |
Growth Allocation Fund | | | 98.86% | |
Aggressive Allocation Fund | | | 98.60% | |
American Funds Core Allocation Fund | | | 81.64% | |
For the year ended December 31, 2015, the following Fund(s) earned the following foreign sources of income:
| | | | |
| | | Amount | |
Conservative Allocation Fund | | $ | 186,979 | |
Balanced Allocation Fund | | | 310,977 | |
Moderate Allocation Fund | | | 1,922,517 | |
Growth Allocation Fund | | | 1,747,493 | |
Aggressive Allocation Fund | | | 166,334 | |
American Funds International Fund | | | 780,509 | |
American Funds Core Allocation Fund | | | 3,323,491 | |
70
Other Information (Unaudited)
Proxy Voting
A description of the policies and procedures that each Fund’s investment adviser uses to vote proxies relating to the Fund’s portfolio securities is available, without charge, upon request, by calling 1-888-309-3539, and on the SEC’s EDGAR database on its website at http://www.sec.gov.
Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available, without charge, upon request, on the MassMutual website at http://www.massmutual.com/funds and on the SEC’s EDGAR database on its website at http://www.sec.gov.
Quarterly Reporting
The Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s EDGAR database on its website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington D.C. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330.
Trustees Approval of Investment Advisory Contracts
At their meeting in November 2015, the Trustees, including the Trustees who are not “interested persons” (as such term is defined in the 1940 Act) of the Trust or MML Advisers (the “Independent Trustees”), reviewed and approved a proposal to add breakpoints to the advisory fees of the American Funds Core Allocation Fund, American Funds Growth Fund, and American Funds International Fund (the “Funds”). In arriving at their decision, the Trustees considered materials provided by MML Advisers, including revised profitability schedules for the Funds. In their deliberations, the Trustees were advised by independent counsel.
The amendments to the advisory agreements for the Funds became effective on January 1, 2016.
Prior to the votes being taken to approve the amendments to the advisory agreements discussed above, the Independent Trustees met separately in executive session to discuss the appropriateness of each such contract. The Independent Trustees weighed the foregoing matters in light of the advice given to them by their independent legal counsel as to the law applicable to the review of investment advisory contracts. In arriving at a decision, the Trustees, including the Independent Trustees, did not identify any single matter as all-important or controlling. The foregoing summary does not detail all of the matters considered.
71
Other Information (Unaudited) (Continued)
Fund Expenses December 31, 2015
Expense Examples:
The following information is in regards to expenses for the six months ended December 31, 2015:
As a shareholder of the Funds, you incur ongoing costs, including advisory fees, distribution and/or service (12b-1) fees, and other Fund expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. These examples are based on an investment of $1,000 invested for the six months ended December 31, 2015.
Actual Expenses:
The first four columns of the table below provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Operating Expenses Incurred” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes:
The last two columns of the table below provide 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 transactional costs. Therefore, the last two columns of the table are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Beginning
Value | | | Annualized
Expense
Ratio | | | Ending
Value (Based
on Actual
Returns and
Expenses) | | | Operating
Expenses
Incurred* | | | Ending
Value (Based
on
Hypothetical
Returns and
Expenses) | | | Operating
Expenses
Incurred* | |
| Conservative Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | $ | 1,000 | | | | 0.12 | % | | $ | 981.80 | | | $ | 0.60 | | | $ | 1,024.60 | | | $ | 0.61 | |
Service Class | | | 1,000 | | | | 0.37 | % | | | 980.10 | | | | 1.85 | | | | 1,023.30 | | | | 1.89 | |
| Balanced Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.12 | % | | | 978.90 | | | | 0.60 | | | | 1,024.60 | | | | 0.61 | |
Service Class | | | 1,000 | | | | 0.37 | % | | | 978.10 | | | | 1.84 | | | | 1,023.30 | | | | 1.89 | |
| Moderate Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.11 | % | | | 974.60 | | | | 0.55 | | | | 1,024.70 | | | | 0.56 | |
Service Class | | | 1,000 | | | | 0.36 | % | | | 974.00 | | | | 1.79 | | | | 1,023.40 | | | | 1.84 | |
| Growth Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.11 | % | | | 970.50 | | | | 0.55 | | | | 1,024.70 | | | | 0.56 | |
Service Class | | | 1,000 | | | | 0.36 | % | | | 969.60 | | | | 1.79 | | | | 1,023.40 | | | | 1.84 | |
| Aggressive Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.16 | % | | | 965.50 | | | | 0.79 | | | | 1,024.40 | | | | 0.82 | |
Service Class | | | 1,000 | | | | 0.41 | % | | | 964.70 | | | | 2.03 | | | | 1,023.10 | | | | 2.09 | |
72
Other Information (Unaudited) (Continued)
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Beginning
Value | | | Annualized
Expense
Ratio | | | Ending
Value (Based
on Actual
Returns and
Expenses) | | | Operating
Expenses
Incurred* | | | Ending
Value (Based
on
Hypothetical
Returns and
Expenses) | | | Operating
Expenses
Incurred* | |
| American Funds Growth Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Service Class I** | | $ | 1,000 | | | | 1.04 | % | | $ | 1,007.10 | | | $ | 5.26 | | | $ | 1,020.00 | | | $ | 5.30 | |
| American Funds International Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Service Class I** | | | 1,000 | | | | 1.24 | % | | | 904.10 | | | | 5.95 | | | | 1,019.00 | | | | 6.31 | |
| American Funds Core Allocation Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Service Class I | | | 1,000 | | | | 0.71 | % | | | 978.10 | | | | 3.54 | | | | 1,021.60 | | | | 3.62 | |
| * | Expenses are calculated using the annualized expense ratio for the six months ended December 31, 2015, multiplied by the average account value over the period, multiplied by 184 days in the period, divided by 365 days in the year, unless stated otherwise. The annualized expense ratio does not reflect expenses deducted under the variable life insurance or variable annuity contract through which the Funds are invested in. Inclusion of these expenses would increase the annualized expense ratios shown. |
| ** | The annualized expense ratio reflects the expenses of both the Feeder Fund and the Master Fund in which it invests. |
73
| | |
Underwriter: MML Distributors, LLC 100 Bright Meadow Blvd. Enfield, CT 06082-1981 | |  |
| | |
| ©2016 Massachusetts Mutual Life Insurance Company, Springfield, MA 01111-0001. All rights reserved. www.massmutual.com. MassMutual Financial Group is a marketing name for Massachusetts Mutual Life Insurance Company (MassMutual) and its affiliated companies and sales representatives. Investment Adviser: MML Investment Advisers, LLC | | RS-38739-00 |
Table of Contents
This material must be preceded or accompanied by a current prospectus (or summary prospectus, if available) for the MML Series Investment Fund. Investors should consider a Fund’s investment objective, risks, and charges and expenses carefully before investing. This and other information about the investment company is available in the prospectus (or summary prospectus, if available). Read it carefully before investing.
MML Series Investment Fund – President’s Letter to Shareholders (Unaudited)
To Our Shareholders
Jeffrey M. Dube
“In our view, the 2015 market environment underscored once again how important it can be for investors to take a long-term perspective and avoid reacting to current events or short-term market changes.”
December 31, 2015
The return of market volatility challenges retirement investors
Welcome to the MML Series Investment Fund Annual Report covering the year ended December 31, 2015. Large-company U.S. stocks and technology shares represented by the S&P 500® Index, NASDAQ Composite® Index, and Dow Jones Industrial AverageSM outperformed stocks of small and midsize U.S. companies along with foreign stocks from both developed and emerging markets in a volatile market environment. Despite the challenges presented by slowdowns in large and emerging economies across the globe, the U.S. economy continued to show overall progress. The economic difficulties elsewhere, which were exacerbated by new concerns about China, continuing low oil prices, and other factors, created a challenging investing environment that left some major U.S. and international stock indexes in negative territory for the year. While the market volatility that generally characterized the year presented a significant challenge, it can serve to remind investors that market conditions are cyclical and subject to change at any time.
In our view, the 2015 market environment underscored once again how important it can be for investors to take a long-term perspective and avoid reacting to current events or short-term market changes. We also believe individuals are wise to maintain a plan that focuses on their goals, how long they have to invest, and how comfortable they are with the ups and downs of the market.
Suggestions for retirement investors under any market conditions
| • | | You are likely in it for the long term. Investing for retirement doesn’t happen overnight. Many people save and invest throughout their working years. It may help you to keep in mind that, although the financial markets will go up and down over time, taking a long-term approach to investing gives you more time to ride out the downturns as you work toward your long-term investment goals. |
| • | | Continue to invest. Of course, you can’t control the performance of your investments, but you can control how often and how much you save. Contributing to your retirement account on a regular basis and increasing your contribution level as often as possible can help you boost your retirement savings.* |
| • | | Monitor your asset allocation and diversify. Stocks, bonds, and short-term/money market investments are asset classes that tend to behave differently, depending upon the economic and market environment. Those broad asset classes contain an even greater array of asset sub-categories (such as small-cap stocks, international stocks, and high-yield bonds). Most financial professionals agree that investors can take advantage of different opportunities in the market and reduce the risk of over-exposure to one or two poorly performing asset types by selecting a number of investments that represent a mix of asset classes and sub-categories.* |
Who and what matter most
We believe “Who Matters Most to You Says the Most About You.” Helping our customers prepare for the kind of financial future they see for themselves matters most to us. That’s why we encourage you to maintain perspective when it comes to retirement investing, despite short-term changes in the
| * | Systematic investing and asset allocation do not ensure a profit or protect against loss in a declining market. Systematic investing involves continuous investment in securities regardless of fluctuating price levels. Investors should consider their ability to continue investing through periods of low price levels. |
(Continued)
1
MML Series Investment Fund – President’s Letter to Shareholders (Unaudited) (Continued)
markets or day-to-day events that may seem unsettling. We also believe changing market conditions have the potential to reward patient investors. If you work with a financial professional, this may be an excellent time to contact him or her for assistance in reviewing your personal retirement investment strategy and making any adjustments that may be appropriate. Thank you for your continued confidence and trust in us.
Sincerely,
Jeffrey M. Dube
President
The information provided is the opinion of MassMutual Retirement Services Investments Services as of 1/1/16 and is subject to change without notice. It is not to be construed as tax, legal or investment advice. Of course, past performance does not guarantee future results.
2
MML Series Investment Fund – Economic and Market Overview (Unaudited)
December 31, 2015
Stocks mixed in a period of economic weakness abroad and low oil prices
Stock performance was mixed in the U.S. and around the world in a volatile market environment that challenged investors for much of the year ended December 31, 2015. High-quality U.S. bonds finished in positive territory, as many investors sought cover in the traditionally safer investments amid the market choppiness. Data pointing to weakness in certain measures confounded investors at different points during the year, but the U.S. economy continued to show overall progress, which stood in contrast to slowdowns in other large and emerging markets across the globe. Geopolitical wrangling centered around the Middle East, economic events and issues in China and Europe, dramatically lower oil prices, the strength of the U.S. dollar versus other benchmark currencies, and the latest announcements from the Federal Reserve (“Fed”) occupied the attention of investors and impacted markets throughout the year.
As 2015 kicked off, Fed watchers – fresh from witnessing the end of the central bank’s Quantitative Easing monthly bond purchase program in autumn 2014 – were speculating about when the central bank would see the U.S. economy as strong enough to begin increasing key short-term interest rates. Investors drove market volatility in reaction to economic data and statements by the Fed that possibly offered clues about when increases might start. The U.S. economy continued to show improvement in key measures, including in unemployment and some price categories; but the threat to U.S. growth represented by the nearly worldwide economic slowdown and unsettling news from China contributed to the Fed’s decision to delay increasing interest rates until its final meeting of the year in mid-December, when policymakers increased the federal funds rate by 0.25%, from 0.0% – 0.25% to 0.25% – 0.50% and made comparable increases in other relevant short-term rates. (The federal funds rate is the interest rate that banks and other financial institutions charge each other for borrowing funds overnight.)
Slowing economic growth and weak demand in foreign markets combined with an overabundant supply drove investor concerns about oil, which continued its dramatic decline into 2015 before finally hitting a low of $43.39 per barrel in mid-March. The closely watched commodity gushed as high as $61.36 in June, and dropped to $38.22 in the late-August market turmoil. Oil never got as high as $50 again in 2015 and finished the year at $37.13, its lowest price since the height of the 2008 financial crisis. U.S. retail gasoline prices started 2015 at their lowest levels since 2009 and drove uphill into mid-summer before rolling back down to near where they had started the year. Gold prices peaked in late January 2015 at $1,295.75 per ounce then lost luster for much of the rest of the year and finished at approximately $1,060.
Market performance
A strong fourth quarter for U.S. stocks, with the strongest gains coming in October, helped lift most broad-market indexes into positive territory, but small- and mid-cap stocks failed to keep pace and declined for the year. The full-year advances in the most widely followed U.S. indexes masked the volatile environment, as the strong U.S. dollar made American goods more expensive in foreign markets and the nearly worldwide economic slowdown reduced overall demand. For the year, the technology-focused NASDAQ Composite® Index rose 6.96%, the S&P 500® Index (S&P 500) of large-capitalization U.S. stocks gained 1.38%, and the blue-chip Dow Jones Industrial AverageSM (Dow) just made it into positive territory with a 0.21% advance. Conversely, the Russell 2000® Index of small-capitalization stocks declined 4.41%. In foreign markets, the MSCI EAFE® Index, a barometer for foreign stocks in developed markets, fell 0.81%, and the MSCI Emerging Markets Index, a measure of the performance of emerging stock markets throughout the world, dropped 14.92%.*
Bonds mainly advanced during the year, with the Barclays U.S. Aggregate Bond Index, a broad measure of the U.S. investment-grade bond markets, rising just 0.55% in the nearly unrelenting low interest rate environment. The Barclays U.S. 1-3 Year Government Bond Index, which measures the performance of short-term U.S. government bonds, returned 0.57%. Treasury bills, as measured by the Citigroup 3-Month Treasury Bill Index, gained only 0.03%. The impact of lower oil prices on energy companies during the year worked against high-yield bonds, as many issuers of such bonds are energy companies. In this environment, the Barclays U.S. Corporate High-Yield Index, a measure of the performance of fixed-rate, non-investment-grade debt from corporate sectors, dropped 4.47% for the year. The yield of the bellwether 10-year Treasury note increased from 2.17% at the beginning of 2015 to 2.27% at the close of business on the last day of the year, although that change masked considerable volatility along the way.*
| * | Indexes are unmanaged, do not incur fees or expenses and cannot be purchased directly for investment. |
3
MML Series Investment Fund – Economic and Market Overview (Unaudited) (Continued)
Q1 2015: Market momentum cools amid increasing talk of Fed rate hikes
In the first quarter of 2015, U.S. stocks declined in January and March, but produced strong gains in February. When the dust settled at the end of March, some key market benchmarks were not far from where they started the quarter. Much of the downside volatility in January was due to weakness in crude oil prices. A surging U.S. dollar also fueled concern about multinational companies that derive a significant portion of their profits from overseas, especially Europe.
February brought renewed optimism among stock investors amid some stabilization in oil’s price and favorable corporate earnings reports. However, stocks surrendered some of those gains in March, as a better-than-expected February employment report raised the possibility that the Fed might speed up its timetable for raising short-term interest rates. Other reports offered a mixed picture of the U.S. economy, however. According to data released in the first quarter, gross domestic product (GDP) expanded by a relatively modest 2.2% in the fourth quarter of 2014, which also included weak durable goods orders and retail sales.
The possibility of Greece defaulting on its debt following the January election of Prime Minister Alexis Tsipras (who had run a campaign against austerity), air strikes in Yemen by Saudi Arabia, more disappointing economic data from Europe and China, and concern about the upcoming second-quarter earnings season were other factors unsettling the market as the first quarter wound to a close.
Q2 2015: Greek debt crisis drives increased volatility
U.S. stocks were choppy in the second quarter of 2015, and most indexes made little headway in either direction. Investors sought clarity on a number of issues, including the debt problems of Greece, the sustainability of the U.S. economic recovery following a weak first quarter, when the Fed’s first interest-rate hike since mid-2006 could occur, and the near-term path of crude oil and the U.S. dollar.
Despite repeated efforts to forge an agreement with other countries in the European Union to reschedule its debt, Greece was unable to make a loan payment to the International Monetary Fund of €1.6 billion (euro), or roughly $1.8 billion, by a June 30 deadline. The default resulted in Greek banks and markets closing the week of June 29 through July 3. Global stock markets fell sharply in response on Monday, June 29, but stabilized on the final day of the quarter.
On the U.S. economic front, the news was somewhat encouraging – but still mixed. First-quarter GDP had originally been reported at -0.7% but underwent an upward revision to -0.2%. Nonfarm payrolls bounced back nicely in April and May after falling well short of estimates in March; however, industrial production remained weak amid challenges from lower oil prices and the stronger dollar.
The Fed’s Open Market Committee met in April and June, deciding both times to leave short-term interest rates unchanged. Crude oil, the focus of so much attention in prior quarters due to its steep decline, receded from the limelight in the second quarter when prices for the commodity rose.
Q3 2015: China’s economic slowdown sinks stocks worldwide; Fed leaves rates unchanged
U.S. stocks struggled in the third quarter of 2015, as concerns about China and fresh weakness in commodity prices prompted nervous investors to sell stocks and seek safer ground. A string of disappointing reports on China’s economy, coupled with that nation’s decision to devalue its currency on August 11 and another freefall in its share prices, contributed to the risk-sensitive environment.
The extreme volatility in Chinese stocks – partly a result of local investors buying on margin – had little effect on U.S. securities markets for much of 2015, but that changed in August, as the Shanghai Stock Exchange Composite Index plunged 43% following its mid-June peak. Most major U.S. stock benchmarks had their worst quarter since 2011 after U.S. stocks dropped roughly 10% in a decline that mostly occurred in just a handful of days in the second half of August. Crude oil prices had recovered somewhat starting in early spring, but again came under pressure during the August stock decline before regaining some ground by the end of the quarter. Following its mid-September meeting, the Fed provided few clues to investors about when the central bank would start increasing interest rates, and the lack of guidance roiled markets in the immediate aftermath.
4
MML Series Investment Fund – Economic and Market Overview (Unaudited) (Continued)
Despite the market jitters, most data indicated the U.S. economy was expanding at a reasonably healthy rate, even if the progress was subpar compared with most other post-World War II recoveries. Following a slow first quarter attributed to extreme weather, the final revised estimate for U.S. second-quarter growth came in at a fairly robust 3.9% annual rate, and overall expectations for 2015 were about in line with 2014’s annual growth of 2.4%. In August, the U.S. unemployment rate fell from 5.3% to 5.1%, the lowest level in seven years.
Q4 2015: Good quarter in a mediocre year; Fed increases rates
Stocks recovered strongly in October, with two of the most widely followed U.S. equity benchmarks, the Dow and the S&P 500, turning in their best monthly gains since October 2011. Fears about China and crude oil eased, and a weak September payroll number fueled hopes that the Fed might delay raising short-term interest rates; however, the October and November employment reports were considerably stronger, renewing talk of a rate increase, which ultimately occurred at the Fed’s December 16 meeting. Elsewhere, crude oil broke to another new low for the year in December and ended 2015 with an annual decline of 31% after falling almost 50% in 2014. These factors led to choppy market action over the final two months of the year.
Data from the Department of Commerce continued to support the view the U.S. economy is generally expanding at a reasonably healthy rate that, nevertheless, has been subdued compared with most other post-World War II recoveries. Following a weak 0.6% pace for real (inflation-adjusted) GDP in the first quarter, second-quarter growth rebounded strongly, putting GDP at 3.9%, but it settled back to 2.0% in the third quarter. As of late December, the Fed was forecasting further slowing and GDP at 1.3% for the fourth quarter.
With 2015 in the books, stocks worldwide kicked off 2016 by declining sharply in response to more bad news about the Chinese economy, and investors entered the new year wary of many of the same factors that drove markets in 2015, including the ongoing impact of economic malaise in China, Europe and emerging markets, the low price of oil, the timetable for Fed interest rate increases and the potential actions of other central banks around the world.
The information provided is the opinion of MassMutual Retirement Services Investment Services as of 1/1/16 and is subject to change without notice. It is not to be construed as tax, legal or investment advice. Of course, past performance does not guarantee future results.
5
MML Blue Chip Growth Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Blue Chip Growth Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital growth. Income is a secondary objective. Under normal circumstances, the Fund invests at least 80% of net assets in the common stocks of large- and medium-sized blue chip growth companies. The Fund’s subadviser currently defines blue chip growth companies to mean firms that, in its view, are well-established in their industries and have the potential for above-average earnings growth. The Fund’s subadviser is T. Rowe Price Associates, Inc. (T. Rowe Price).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned 11.10%, significantly outperforming the 5.67% return of the Russell 1000® Growth Index (the “benchmark”), an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies based on market capitalization) with greater than average growth orientation that tend to exhibit higher price-to-book ratios and higher forecasted growth rates than securities in the value universe. The Fund also outperformed, by a wide margin, the 1.38% return of the S&P 500® Index, a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Stock selection was the primary reason for the Fund’s outperformance, relative to the benchmark, during the year ended December 31, 2015. Fund holdings in the consumer discretionary, information technology, and materials sectors were standouts, whereas the Fund’s holdings in consumer staples and financials were the greatest detractors.
Consumer discretionary was by far the performance leader, with Fund holding Amazon, the online retailing giant, continuing to improve operating leverage in its core retail business and reporting impressive results with sharp acceleration in revenue and margins in its Amazon Web Services cloud-computing unit. Shares of Fund holding Netflix also surged, as the provider of video content continued to enjoy momentum in its core subscriber base – and announced a well-received seven-for-one stock split. In the information technology sector, multiple factors propelled shares of Fund holding Alphabet (the new holding company of Google) higher, including strong earnings driven by increased advertising coverage on mobile searches. The Fund’s limited position in Apple also aided relative performance when, despite strong iPhone sales in the first few months of 2015, the share price suffered as fiscal third-quarter sales fell below analyst expectations and investor concerns emerged over the company’s growth prospects in China.
On the downside, consumer staples was the largest relative detractor, mainly due to the Fund’s significantly underweight position, relative to the benchmark, in this strongest-performing sector. In the financials sector, stock selection was the primary detractor. Although shares of Fund holding Morgan Stanley advanced steadily through the first half of 2015 on better-than-expected earnings results, shares declined sharply during the third quarter’s market correction. State Street Bank, another Fund holding in the financials sector, benefited from revenue growth and demonstrated better-than-expected expense discipline, but the company experienced difficulty from industry-wide challenges, including foreign exchange headwinds, increasing regulatory and compliance costs, and unfavorable third-quarter market returns.
Subadviser outlook
We remain optimistic about the longer-term prospects for large-cap growth stocks and believe the U.S. may generate moderate economic growth in 2016. Our view is that the Federal Reserve could raise short-term interest rates at a slower pace than the market currently expects. However, we believe the recent weakness in China’s industrial economy, falling energy and commodity prices, and periodic geopolitical flare-ups may help sustain the market’s recent volatility. As we enter 2016, our view is that growth stocks remain fairly priced based on traditional valuation metrics, such as price/earnings and price/book ratios relative to their long-term history.
6
MML Blue Chip Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Blue Chip Growth Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Amazon.com, Inc. | | | 7.5 | % |
Alphabet, Inc. Class C | | | 4.3 | % |
Facebook, Inc. Class A | | | 3.5 | % |
The Priceline Group, Inc. | | | 3.2 | % |
Danaher Corp. | | | 3.1 | % |
Visa, Inc. Class A | | | 2.9 | % |
Alphabet, Inc. Class A | | | 2.6 | % |
Microsoft Corp. | | | 2.6 | % |
MasterCard, Inc. Class A | | | 2.6 | % |
Alexion Pharmaceuticals, Inc. | | | 2.6 | % |
| | | | | |
| | | | 34.9 | % |
| | | | | |
| | | | |
MML Blue Chip Growth Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 29.2 | % |
Communications | | | 28.0 | % |
Consumer, Cyclical | | | 16.2 | % |
Financial | | | 8.8 | % |
Technology | | | 8.4 | % |
Industrial | | | 8.0 | % |
Basic Materials | | | 1.2 | % |
Energy | | | 0.2 | % |
Mutual Funds | | | 0.0 | % |
| | | | | |
Total Long-Term Investments | | | 100.0 | % |
Short-Term Investments and Other Assets and Liabilities | | | 0.0 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
7
MML Blue Chip Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Blue Chip Growth Fund Initial Class, the Russell 1000 Growth Index, and the S&P 500 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/06 -
12/31/15 | |
| Initial Class | | | 11.10% | | | | 15.49% | | | | 9.17% | |
| Russell 1000 Growth Index* | | | 5.67% | | | | 13.53% | | | | 8.51% | |
| S&P 500 Index | | | 1.38% | | | | 12.57% | | | | 6.96% | |
Hypothetical Investments in MML Blue Chip Growth Fund Service Class, the Russell 1000 Growth Index, and the S&P 500 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
| Service Class | | | 10.76% | | | | 15.18% | | | | 10.78% | |
| Russell 1000 Growth Index* | | | 5.67% | | | | 13.53% | | | | 10.11% | |
| S&P 500 Index | | | 1.38% | | | | 12.57% | | | | 8.75% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 1000 Growth Index and the S&P 500 Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
8
MML Equity Income Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Equity Income Fund, and who is the Fund’s subadviser?
The Fund seeks dividend income and long-term capital growth by investing primarily in the common stocks of established companies. Under normal circumstances, the Fund invests at least 80% of its net assets in common stocks, with 65% in the common stocks of well-established companies paying above-average dividends. The Fund’s subadviser currently considers well-established companies to mean companies that it considers to be seasoned companies with relatively long operating histories. The Fund’s subadviser is T. Rowe Price Associates, Inc. (T. Rowe Price).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned -6.88%, significantly trailing the 1.38% return of the S&P 500® Index (the “benchmark”), a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies. The Fund also underperformed the -3.83% return of the Russell 1000® Value Index, an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies, based on market capitalization) with greater than average value orientation that tend to exhibit lower price-to-book ratios and lower forecasted growth rates than securities in the growth universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
The Fund’s unfavorable performance, relative to the benchmark, for the year ended December 31, 2015, was primarily attributable to stock selection and, secondarily, sector weightings. The leading detractors from relative results were the health care and consumer discretionary sectors. Conversely, the industrials and business services sector and the materials sector contributed to relative performance.
The health care sector detracted from relative returns due to an underweight allocation, relative to the benchmark, and stock selection. In particular, Fund holding GlaxoSmithKline, a pharmaceutical company, underperformed after the company had difficulty getting its new respiratory treatments reimbursed by health insurance plans. Stock selection and an overweight allocation to the consumer discretionary sector also hindered relative results. There, Fund holding of department store retailer Macy’s struggled from disappointing top-line growth driven by lower tourism at its highly profitable flagship stores, and from slower growth in its core handbags and accessories businesses. Shares of office supplies retailer Staples declined, amid concerns of antitrust objections from the Federal Trade Commission regarding its proposed acquisition of competitor Office Depot.
Conversely, an overweight allocation to the industrials and business services sectors contributed to the Fund’s relative performance. Fund holding Harris, a communications equipment company, experienced healthy levels of international demand for its tactical radios, as numerous countries upgraded their defense departments’ communication systems. Stock selection in the materials sector also helped relative results. There, Fund holding Vulcan Materials, a producer of construction aggregates, benefited from improving margins due to lower diesel fuel prices and robust volume growth.
Subadviser outlook
The final months of 2015 experienced higher-than-usual volatility, as investors worried about the effects of rising interest rates, economic conditions abroad, and weak commodity prices. Our view is that these issues could remain in the forefront during much of 2016, and we consequently are maintaining a cautious outlook. We believe we are likely to see reasonable economic and earnings growth going forward and valuations that are more in line with historic norms, but our view is that there is still much to be concerned with in the global economy. Growth in China continues to slow, and many investors remain concerned about the government’s ability to navigate a soft landing. In the U.S., investors were comforted by the Federal Reserve’s decision to raise interest rates, but remain nervous about the economic effects of rising rates. In Europe, the potential for additional European Central Bank stimulus was welcome news; however, other geopolitical challenges, such as the rise of ISIS and tensions with Russia, have introduced uncertainty.
Against this backdrop, we believe there may be more modest equity returns in 2016, as the impact of lower commodity prices and the strong U.S. dollar could continue to weigh on S&P 500 earnings.
9
MML Equity Income Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Equity Income Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
General Electric Co. | | | 3.5 | % |
JP Morgan Chase & Co. | | | 3.4 | % |
Exxon Mobil Corp. | | | 2.4 | % |
Microsoft Corp. | | | 2.3 | % |
Johnson & Johnson | | | 2.1 | % |
Pfizer, Inc. | | | 2.1 | % |
The Boeing Co. | | | 2.0 | % |
Bank of America Corp. | | | 1.8 | % |
MetLife, Inc. | | | 1.6 | % |
Verizon Communications, Inc. | | | 1.6 | % |
| | | | | |
| | | | 22.8 | % |
| | | | | |
| | | | |
MML Equity Income Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 24.7 | % |
Industrial | | | 12.9 | % |
Consumer, Non-cyclical | | | 12.5 | % |
Energy | | | 10.8 | % |
Communications | | | 10.2 | % |
Utilities | | | 7.7 | % |
Consumer, Cyclical | | | 7.6 | % |
Technology | | | 6.9 | % |
Basic Materials | | | 4.9 | % |
Mutual Funds | | | 0.0 | % |
| | | | | |
Total Long-Term Investments | | | 98.2 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.8 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
10
MML Equity Income Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Equity Income Fund Initial Class, the S&P 500 Index, and the Russell 1000 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/06 -
12/31/15 | |
| Initial Class | | | -6.88% | | | | 8.65% | | | | 4.99% | |
| S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 6.96% | |
| Russell 1000 Value Index | | | -3.83% | | | | 11.27% | | | | 5.47% | |
Hypothetical Investments in MML Equity Income Fund Service Class, the S&P 500 Index, and the Russell 1000 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
| Service Class | | | -7.10% | | | | 8.39% | | | | 6.04% | |
| S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 8.75% | |
| Russell 1000 Value Index | | | -3.83% | | | | 11.27% | | | | 7.47% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index and the Russell 1000 Value Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
11
MML Equity Index Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Equity Index Fund, and who is the Fund’s subadviser?
The Fund’s investment objective is to provide investment results that correspond to the price and yield performance of publicly traded common stocks in the aggregate as represented by the S&P 500® Index* (the “Index”). Under normal circumstances, the Fund invests at least 80% (and, typically, substantially all) of its net assets in the equity securities of companies included within the Index. The Fund’s subadviser is Northern Trust Investments, Inc. (NTI).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class I shares returned 0.99%, lagging the 1.38% return of the Index, a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
The Fund’s underperformance versus the Index is mainly attributable to the impact of fees and expenses necessary for the management and operation of the Fund. The Index is not subject to fees or expenses, and it is not possible to invest directly in the Index.
For the year ended December 31, 2015, consumer discretionary and health care were the strongest-performing sectors within the Index, whereas the energy and materials sectors exhibited the worst returns.
U.S. large-cap stocks were flat over the first quarter of 2015, with elevated levels of volatility partly related to the market’s anticipation of a possible Federal Reserve (the “Fed”) interest rate hike in the third or fourth quarter. The uncertainty surrounding a possible Greek exit from the euro zone also weighed on markets around the globe and the U.S. was no exception, with the majority of domestic markets down or flat over the second quarter of 2015. While the damage to U.S. markets was modest, government instability in Greece and the country’s inability to make certain debt payments increased volatility.
U.S. equities experienced negative returns in the third quarter, with increased volatility in August, partly attributable to turmoil in China’s stock market, global growth concerns, and uncertainty regarding future Fed interest rate decisions. The Chinese stock market’s bull run was interrupted in July, prompting the Chinese government to devalue the country’s currency in an effort to drive the economy and the market up, despite indicators of weaker growth in China. The strong dollar abroad negatively impacted some U.S. equity sectors that rely on non-U.S. revenues. The Fed declined to raise rates at its September meeting, instead delaying its initial rate increase until its December meeting.
Domestic equities experienced positive returns in the fourth quarter, driven largely by strong performance in October – although U.S. markets were generally flat in the final two months of the year. In October, Fed officials signaled the looming rate hike. The markets’ positive reaction to this, in tandem with the announcement of an expansion of the European Central Bank’s bond-buying program, helped support the October rally in global equity markets. During the fourth quarter, WTI and Brent crude oil prices both plummeted roughly 20%, continuing the downward trend seen throughout the year. Falling oil prices negatively impacted sectors with a greater reliance on oil – particularly the energy sector. Economic data was mostly positive in the fourth quarter, although there were some signs suggesting slowing growth in the U.S.
| * | The S&P 500 Index is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by MML Advisers. Standard & Poor’s®, S&P® and S&P 500® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by MML Advisers. The Fund is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P 500 Index. |
12
MML Equity Index Fund – Portfolio Manager Report (Unaudited) (Continued)
Subadviser outlook
Our view is that various factors, such as China’s struggles, low oil prices, Fed policy, the continuing impact of the strong dollar, and U.S. economic data will likely continue to play an influential role in the direction the equity markets take in 2016. We don’t manage the Fund according to a given outlook for the equity markets or the economy in general, because we’re managing an index fund that seeks to replicate as closely as possible (before deduction of expenses) the broad diversification and returns of the Index. Nevertheless, we will monitor economic conditions and their effect on the financial markets as we seek to track the Index’s performance closely.
| | | | |
MML Equity Index Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
Apple, Inc. | | | 3.3 | % |
Microsoft Corp. | | | 2.5 | % |
Exxon Mobil Corp. | | | 1.8 | % |
General Electric Co. | | | 1.6 | % |
Johnson & Johnson | | | 1.6 | % |
Amazon.com, Inc. | | | 1.4 | % |
Wells Fargo & Co. | | | 1.4 | % |
Berkshire Hathaway, Inc. Class B | | | 1.4 | % |
JP Morgan Chase & Co. | | | 1.4 | % |
Facebook, Inc. Class A | | | 1.3 | % |
| | | | | |
| | | | 17.7 | % |
| | | | | |
| | | | |
MML Equity Index Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
Consumer, Non-cyclical | | | 24.9 | % |
Financial | | | 16.5 | % |
Communications | | | 13.8 | % |
Technology | | | 12.5 | % |
Consumer, Cyclical | | | 10.2 | % |
Industrial | | | 9.5 | % |
Energy | | | 6.5 | % |
Utilities | | | 3.0 | % |
Basic Materials | | | 2.5 | % |
Diversified | | | 0.0 | % |
| | | | | |
Total Long-Term Investments | | | 99.4 | % |
Short-Term Investments and Other Assets and Liabilities | | | 0.6 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
13
MML Equity Index Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Equity Index Fund Class I, Class II, Class III, and the S&P 500 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Ten Year
Average
Annual
1/1/06 -
12/31/15 | |
| Class I | | | 0.99% | | | | 12.10% | | | | 6.88% | |
| Class II | | | 1.17% | | | | 12.27% | | | | 7.05% | |
| Class III | | | 1.32% | | | | 12.43% | | | | 7.21% | |
| S&P 500 Index | | | 1.38% | | | | 12.57% | | | | 7.31% | |
Hypothetical Investments in MML Equity Index Fund Service Class I and the S&P 500 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
| Service Class I | | | 0.70% | | | | 11.82% | | | | 8.04% | |
| S&P 500 Index | | | 1.38% | | | | 12.57% | | | | 8.75% | |
GROWTH OF $10,000 INVESTMENT FOR THE PAST 10 YEARS
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
14
MML Focused Equity Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Focused Equity Fund, and who is the Fund’s subadviser?
The Fund seeks growth of capital over the long-term by investing primarily in equity securities of U.S. companies that the Fund’s subadviser believes are undervalued. Under normal circumstances, the Fund invests at least 80% of its net assets in equity securities. The Fund’s subadviser is Harris Associates L.P. (Harris).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class II shares returned -8.93%, underperforming, by a wide margin, the 0.92% return of the Russell 1000® Index (the “benchmark”), a widely recognized, unmanaged index representing the performance of common stocks of larger capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, the materials sector supplied the largest negative absolute return as a result of the Fund’s lone position in metals and mining company Glencore, whose share price was pressured as commodity and energy prices declined significantly throughout the year. The Fund eliminated its position in Glencore in late 2015 in favor of other holdings that Fund management believed had greater upside potential.
The energy sector supplied the next-largest negative return, as three underlying Fund holdings there – oil and gas equipment firms National Oilwell Varco and Halliburton as well as oil and gas exploration company Anadarko – all declined substantially. Finally, consumer discretionary media and publishing company Tribune Media and industrial construction machinery firm Cummins were the next-largest detractors from the Fund’s overall return in 2015.
Turning to the positive, two of the six sectors in which the Fund invested during the year delivered positive absolute returns. Technology provided the largest boost, and top-contributing Fund holdings were software giant Microsoft, semiconductor equipment maker Applied Materials, and payment processing company Visa – all of which turned in strong full-year results. The technology sector also delivered the best performance relative to the benchmark.
The best-performing individual security was online retailing giant Amazon, a Fund holding whose share price gained value throughout the year, making it a top contributor for all four quarters of 2015. Amazon’s most recent earnings report, released in October 2015, showed earnings per share and revenue that beat analyst estimates.
Subadviser outlook
The new year carries with it new market concerns, which we believe include possible actions the Federal Reserve will take regarding future interest rate increases. And while economic growth in the U.S. persists at a moderate pace overall, our view is that conditions outside of the country continue to sway market behavior. Slowing growth in China remains at the forefront, as its government works to boost domestic consumption, and currency disparities still adversely affect businesses around the world. Lastly, in addition to causing real-world destruction, we believe the unpredictable timing and intensity of terrorist activities may also threaten market stability in 2016.
Despite this challenging market environment, our plan is to stay the course and remain committed to the Fund’s investment philosophy and methodology.
15
MML Focused Equity Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Focused Equity Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
American International Group, Inc. | | | 7.9 | % |
General Motors Co. | | | 7.3 | % |
Wells Fargo & Co. | | | 7.1 | % |
Microsoft Corp. | | | 6.9 | % |
JP Morgan Chase & Co. | | | 5.6 | % |
Aon PLC | | | 5.5 | % |
Cummins, Inc. | | | 5.0 | % |
BlackRock, Inc. | | | 4.9 | % |
CBRE Group, Inc. | | | 4.8 | % |
Applied Materials, Inc. | | | 4.7 | % |
| | | | | |
| | | | 59.7 | % |
| | | | | |
| | | | |
MML Focused Equity Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 35.7 | % |
Technology | | | 18.0 | % |
Consumer, Cyclical | | | 13.7 | % |
Industrial | | | 9.4 | % |
Communications | | | 6.6 | % |
Energy | | | 6.3 | % |
| | | | | |
Total Long-Term Investments | | | 89.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 10.3 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
16
MML Focused Equity Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Focused Equity Fund Class II and the Russell 1000 Index.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Since
Inception
Average
Annual
12/8/11 -
12/31/15 | |
| Class II | | | -8.93% | | | | 14.10% | |
| Russell 1000 Index | | | 0.92% | | | | 15.02% | |
Hypothetical Investments in MML Focused Equity Fund Service Class I and the Russell 1000 Index.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/12 -
12/31/15 | |
| Service Class I | | | -9.16% | | | | 10.97% | |
| Russell 1000 Index | | | 0.92% | | | | 13.24% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 1000 Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund's prospectus with regard to the Fund's investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund's return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
17
MML Foreign Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Foreign Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital growth by investing, under normal circumstances, at least 80% of its net assets in investments of issuers located outside of the U.S., including those in emerging markets. Under normal market conditions, the Fund invests predominantly in equity securities, consisting primarily to predominantly of common stocks, and, while there are no set percentage targets, the Fund invests predominantly in large- to medium-capitalization companies with market capitalization values greater than $2 billion and may invest a portion in smaller companies. The Fund’s subadviser is Templeton Investment Counsel, LLC (Templeton).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned -4.17%, trailing the -0.81% return of the MSCI EAFE Index (the “benchmark”), a widely recognized, unmanaged index representative of equity securities in developed markets around the world, excluding the U.S. and Canada.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, stock selection in Asia detracted from the Fund’s relative performance – particularly in Japan, where an underweight position, relative to the benchmark, hindered results. Overweight allocations to China, South Korea, and Singapore, relative to the benchmark, also hampered results, as did non-benchmark exposures to Brazil and Canada.
From a sector perspective, key detractors from the Fund’s relative performance included stock selection in telecommunication services, where two underperforming Fund holdings included diversified telecommunication services providers China Telecom (not included in the benchmark) and Telefonica (Spain). Stock selection in the industrials sector hindered relative results, particularly Singapore-based industrial and commodity products supply chain company Noble Group, Chinese engine manufacturer Weichai Power (not included in the benchmark) and Japanese industrial conglomerate Toshiba, which were all Fund holdings that significantly underperformed. Stock selection and an underweight stake in consumer staples, which outperformed the benchmark, also hurt relative results, and U.K. retailer Tesco was another Fund holding that was a significant detractor for the year. Other Fund holdings that held back the Fund’s full-year returns included South Korean steel, engineering, and construction company POSCO (not included in the benchmark), financial services providers HSBC Holdings (U.K.) and DBS Group Holdings (Singapore), and U.K.-listed oil and gas company Royal Dutch Shell.
Conversely, stock selection in Europe – most notably in Germany, the Netherlands, Ireland, and Switzerland – benefited the Fund’s performance relative to the benchmark. Stock selection and an underweight position in Australia also contributed, as did stock selection and an overweight stake in Israel.
From a sector perspective, Fund holdings in materials benefited the Fund, notably construction materials companies CRH (Ireland) and HeidelbergCement (Germany), as well as U.K. consumer packaging manufacturer Rexam. A lack of exposure to the underperforming utilities sector helped the Fund’s relative performance, as did stock selection in consumer discretionary. In particular, Fund holdings that proved beneficial included Japanese automobile manufacturer Nissan Motor and U.K. media company Sky. Other key Fund holdings that contributed to the Fund’s results were German semiconductor company Infineon Technologies, Japanese food products and non-alcoholic beverages company Suntory Beverage & Food, Teva Pharmaceutical Industries (Israel), and insurance companies AXA (France) and Swiss Re (Switzerland).
During the period, the U.S. dollar appreciated against most foreign currencies, which hindered the Fund’s performance because investments in securities with non-U.S. currency exposure lost value as the dollar rose.
Subadviser outlook
At the onset of 2016, we believe value stocks have been overly lagging relative to other categories, including growth, quality, and safety. While this environment has been the case for some time, for us, the potential for value stocks represents some of the most compelling opportunities in equity markets today. Consequently, we have sought to position the Fund accordingly.
18
MML Foreign Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Foreign Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Samsung Electronics Co., Ltd. | | | 2.4 | % |
Teva Pharmaceutical Industries Ltd. Sponsored ADR (Israel) | | | 2.2 | % |
Roche Holding AG | | | 2.2 | % |
BNP Paribas | | | 2.0 | % |
GlaxoSmithKline PLC | | | 2.0 | % |
AXA SA | | | 1.8 | % |
ING Groep NV | | | 1.7 | % |
CRH PLC | | | 1.7 | % |
Bayer AG | | | 1.7 | % |
Nissan Motor Co. Ltd. | | | 1.7 | % |
| | | | | |
| | | | 19.4 | % |
| | | | | |
| | | | |
MML Foreign Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 26.4 | % |
Consumer, Non-cyclical | | | 17.4 | % |
Industrial | | | 12.9 | % |
Communications | | | 10.6 | % |
Energy | | | 10.4 | % |
Consumer, Cyclical | | | 9.5 | % |
Mutual Funds | | | 6.2 | % |
Technology | | | 4.6 | % |
Basic Materials | | | 3.6 | % |
Diversified | | | 0.4 | % |
| | | | | |
Total Long-Term Investments | | | 102.0 | % |
Short-Term Investments and Other Assets and Liabilities | | | (2.0 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
19
MML Foreign Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Foreign Fund Initial Class and the MSCI EAFE Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/06 -
12/31/15 | |
| Initial Class | | | -4.17% | | | | 2.93% | | | | 1.58% | |
| MSCI EAFE Index | | | -0.81% | | | | 3.60% | | | | 1.69% | |
Hypothetical Investments in MML Foreign Fund Service Class and the MSCI EAFE Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
| Service Class | | | -4.51% | | | | 2.66% | | | | 1.20% | |
| MSCI EAFE Index | | | -0.81% | | | | 3.60% | | | | 2.07% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the MSCI EAFE Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
20
MML Fundamental Growth Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Fundamental Growth Fund, and who is the Fund’s subadviser?
The Fund seeks long-term growth of capital by investing primarily in domestic equity securities that the Fund’s subadviser believes offer the potential for long-term growth. The Fund’s subadviser is Wellington Management Company LLP (Wellington Management).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class II shares returned 6.22%, outperforming the 5.67% return of the Russell 1000® Growth Index (the “benchmark”), an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies based on market capitalization) with greater than average growth orientation that tend to exhibit higher price-to-book ratios and higher forecasted growth rates than securities in the value universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
The Fund’s strong relative performance for the year ended December 31, 2015 was largely due to favorable stock selection within the industrials, consumer discretionary, and energy sectors – although this was partially offset by security selection within the information technology sector. The Fund’s underweight exposure to the lagging industrials and materials sectors also aided benchmark-relative results. Sector allocation is a result of the Fund’s bottom-up stock selection process, which focuses on the selection of individual securities.
Two Fund holdings that were top contributors to benchmark-relative performance for the year included Altera, in the information technology sector, and Amazon, in consumer discretionary. Altera, a semiconductor company that creates custom programmable chips, agreed to be acquired by Intel. The stock price rose on speculation of the deal in the months leading up to the announcement and advanced further when Intel offered a significant premium for Altera shares. The Fund received cash for its position in Altera.
The Fund initiated a position in Amazon during the period. The U.S.-based global e-commerce retailer’s results exceeded expectations throughout the year, driven by improving profitability and margin trends, both of which benefited share prices. Usage of their cloud business, Amazon Web Services, and Prime membership growth also continued to accelerate.
Turning to the downside, certain holdings hampered the Fund’s relative performance during the year. These included information technology companies Oracle and Western Digital. Oracle’s shares declined due to several quarters of revenue and operating margins that were below analyst estimates, as the company was affected by foreign exchange challenges and expenses related to building out its cloud business. Fund management believes, however, that Oracle has made progress in the cloud business and may be well positioned for a gradual industry transition from enterprise to cloud. Shares of Western Digital, a computer data storage company, pulled back in the first quarter of 2015 over concerns about weakening demand for hard disk drives. The Fund subsequently exited the position.
Subadviser outlook
The Fund decreased its exposure to the information technology sector during the year. Despite this, the sector remained the Fund’s largest overweight as of year-end. Conversely, at year-end, the Fund held its largest underweight positions in the industrials and materials sectors.
We continue to seek to construct a Fund portfolio that offers a balance of potentially favorable growth, quality, and valuation metrics based on our forecasts. We remain true to our process and believe the Fund has an attractive portfolio of companies with strong balance sheets, solid growth opportunities, and high returns on capital.
21
MML Fundamental Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Fundamental Growth Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Alphabet, Inc. Class C | | | 5.6 | % |
Apple, Inc. | | | 5.5 | % |
Amazon.com, Inc. | | | 3.5 | % |
Microsoft Corp. | | | 3.5 | % |
Facebook, Inc. Class A | | | 3.3 | % |
Oracle Corp. | | | 2.8 | % |
The Home Depot, Inc. | | | 2.6 | % |
PepsiCo, Inc. | | | 2.4 | % |
Visa, Inc. Class A | | | 2.1 | % |
Bristol-Myers Squibb Co. | | | 2.1 | % |
| | | | | |
| | | | 33.4 | % |
| | | | | |
| | | | |
MML Fundamental Growth Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 30.5 | % |
Communications | | | 22.2 | % |
Technology | | | 19.7 | % |
Consumer, Cyclical | | | 14.2 | % |
Financial | | | 6.7 | % |
Industrial | | | 3.5 | % |
Energy | | | 1.8 | % |
Basic Materials | | | 0.4 | % |
| | | | | |
Total Long-Term Investments | | | 99.0 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.0 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
22
MML Fundamental Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Fundamental Growth Fund Class II and the Russell 1000 Growth Index.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Since Inception
Average Annual 12/8/11 - 12/31/15 | |
| Class II | | | 6.22% | | | | 14.87% | |
| Russell 1000 Growth Index | | | 5.67% | | | | 15.90% | |
Hypothetical Investments in MML Fundamental Growth Fund Service Class I and the Russell 1000 Growth Index.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Since Inception
Average Annual 5/1/12 - 12/31/15 | |
| Service Class I | | | 5.91% | | | | 11.94% | |
| Russell 1000 Growth Index | | | 5.67% | | | | 13.76% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 1000 Growth Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund's prospectus with regard to the Fund's investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund's return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
23
MML Fundamental Value Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Fundamental Value Fund, and who is the Fund’s subadviser?
The Fund seeks long-term total return by investing primarily in equity securities of issuers that the Fund’s subadviser believes are undervalued. Under normal circumstances, the Fund invests at least 80% of its net assets in equity securities, with a focus on companies with large market capitalizations (which the subadviser believes are generally above $2 billion). The Fund’s subadviser is Wellington Management Company LLP (Wellington Management).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class II shares returned -2.88%, outperforming the -3.83% return of the Russell 1000® Value Index (the “benchmark”), an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies, based on market capitalization) with greater than average value orientation that tend to exhibit lower price-to-book ratios and lower forecasted growth rates than securities in the growth universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, security selection within the consumer staples, information technology, and financials sectors contributed to relative results. The Fund’s underweight allocation, relative to the benchmark, to the lagging energy sector, a result of the Fund’s bottom-up stock selection process, also aided relative performance. However, weak stock selection partially offset positive relative performance in the Fund’s energy sector holdings.
Fund holdings that were top contributors to benchmark-relative results included Kraft Foods (in the consumer staples sector) and Home Depot (consumer discretionary). The Fund’s avoidance of benchmark laggard Kinder Morgan, an energy company that operates a large network of natural gas and refined petroleum products pipelines, also boosted the Fund’s relative results. Shares of Kraft Foods moved up strongly on news that the company would merge with Heinz. Home Depot reported strong second-quarter earnings results and a strong outlook, which propelled the share price higher.
The oil sector saw its sharpest sell-off in three years following OPEC’s decision not to cut production in an environment of declining oil prices. The resulting unfavorable supply/demand backdrop drove declines in both of the Fund’s top relative detractors, Fund holdings Southwestern Energy and Marathon Oil. Southwestern Energy, a natural gas-focused exploration and production company, declined due to disappointing third-quarter earnings related to low natural gas prices and negative sentiment around the company’s recent acquisition of acreage in the Marcellus and Utica basins. Marathon Oil, a U.S. exploration and production company, underperformed amid the oil weakness and reported third-quarter earnings that were below analyst estimates. The falling oil prices worked against the company’s higher production volumes which resulted in reduced earnings.
Subadviser outlook
At the end of 2015, the Fund was avoiding financials with higher exposure to energy markets. Within the energy sector, we believe the moderation of commodity prices may follow several different paths, and plan to incorporate a broad range of possible prices into our analysis. We are positioning the Fund with exposure to companies that are, in our view, some of the best capitalized to withstand a protracted period of depressed prices. As we enter 2016, the Fund’s largest overweight stakes are in the consumer discretionary and health care sectors, with the most underweight allocations in the financials sector.
Looking ahead, we continue to seek balance in the Fund to allow for upside potential, while avoiding being overly influenced by a specific economic scenario. For example, while our opinion is that some bank and insurance stocks could benefit from prospective interest rate increases, the Fund is maintaining exposure to other, less interest-rate sensitive sectors of the market.
24
MML Fundamental Value Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Fundamental Value Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Wells Fargo & Co. | | | 4.1 | % |
JP Morgan Chase & Co. | | | 4.1 | % |
Cisco Systems, Inc. | | | 3.2 | % |
Microsoft Corp. | | | 2.9 | % |
Citigroup, Inc. | | | 2.5 | % |
Merck & Co., Inc. | | | 2.5 | % |
General Electric Co. | | | 2.4 | % |
PNC Financial Services Group, Inc. | | | 2.4 | % |
Intel Corp. | | | 2.2 | % |
Chevron Corp. | | | 2.1 | % |
| | | | | |
| | | | 28.4 | % |
| | | | | |
| | | | |
MML Fundamental Value Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 25.8 | % |
Consumer, Non-cyclical | | | 17.7 | % |
Industrial | | | 10.9 | % |
Communications | | | 10.1 | % |
Consumer, Cyclical | | | 9.8 | % |
Energy | | | 9.3 | % |
Technology | | | 7.4 | % |
Basic Materials | | | 3.6 | % |
Utilities | | | 3.2 | % |
| | | | | |
Total Long-Term Investments | | | 97.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | 2.2 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
25
MML Fundamental Value Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Fundamental Value Fund Class II and the Russell 1000 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average
Annual 1/1/11 -
12/31/15 | | | Since Inception
Average Annual 8/10/10 - 12/31/15 | |
| Class II | | | -2.88% | | | | 10.08% | | | | 11.56% | |
| Russell 1000 Value Index | | | -3.83% | | | | 11.27% | | | | 12.66% | |
Hypothetical Investments in MML Fundamental Value Fund Service Class I and the Russell 1000 Value Index.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Since Inception
Average Annual 5/1/12 - 12/31/15 | |
| Service Class I | | | -3.18% | | | | 10.81% | |
| Russell 1000 Value Index | | | -3.83% | | | | 12.59% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 1000 Value Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
26
MML Global Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Global Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital appreciation by investing primarily in the equity securities of U.S. and foreign companies, including companies in developed and emerging markets. The Fund may invest a large percentage of its assets in issuers in a single country, a small number of countries, or a particular geographic region. The Fund’s subadviser is Massachusetts Financial Services Company (MFS).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class I shares returned -1.36%, lagging the -0.87% return of the MSCI World Index (the “benchmark”), an unmanaged index of issuers listed on the stock exchanges of 22 foreign countries and the U.S.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Stock selection – both what the Fund invested in and those stocks it didn’t select – significantly contributed to the Fund’s underperformance versus the benchmark for the year ended December 31, 2015. Stock selection in the retailing sector detracted from benchmark-relative performance, since the Fund’s avoidance of Internet retailer Amazon proved detrimental due to the fact that the stock outperformed the benchmark during the reporting period. Security selection in the transportation sector also weighed on relative performance. An overweight allocation to railroad company Canadian Nation Railway (Canada), relative to the benchmark, also hindered relative returns, as this Fund holding lagged the benchmark for the year.
Elsewhere, the Fund’s overweight positions in six holdings – media firm Time Warner, investment management firm Franklin Resources, financial services company American Express, custody bank State Street, industrial gas supplier Linde (Germany), and enterprise software products maker Oracle – weakened relative results. Additionally, the Fund’s avoidance of Internet search company Alphabet (the parent company of Google) and software giant Microsoft hurt relative performance.
Also detracting from relative performance during the year was the Fund’s currency exposure relative to the benchmark, which resulted primarily from differences between the Fund’s and the benchmark’s exposures to holdings of securities denominated in foreign currencies. It is not unusual for the Fund to have different currency exposure than the benchmark.
On the positive side, contributing to the Fund’s full-year performance was a combination of its overweight position and security selection in the consumer staples sector, where overweight positions in four Fund holdings – Swedish paper manufacturer and consumer goods company Svenska Cellulosa, household products manufacturer Reckitt Benckiser (United Kingdom), brewer Heineken (Netherlands), and food manufacturing company Kellogg (U.S.) – all boosted relative returns.
An underweight position in the energy sector and the Fund’s avoidance of the utilities and communications sector further aided relative performance – although there were no individual stocks within either sector that were among the Fund’s largest relative contributors. Fund holdings in other sectors that bolstered relative performance included management consulting firm Accenture, media conglomerate Walt Disney, global payments technology company Visa, life sciences supply company Thermo Fisher Scientific, automotive replacement parts distributor Autozone, and cable services provider Time Warner Cable. The Fund held overweight positions in all of these stocks.
Subadviser outlook
Everywhere we look – across regions, countries, markets and assets – we see situations of divergence. The U.S. Federal Reserve (the “Fed”) has started to tighten (i.e., raise interest rates), while most other central banks keep easing. In China, manufacturing continues to falter, though the service sector appears to be faring better. And in the United States, we find industrials and goods producers subsiding, but nonmanufacturing and retail sales expanding.
Divergence is evident across many dimensions of the global economy, yet our view is that its roots likely lie in the policies of the world’s major monetary authorities. Consequently, we believe the ripple effects of central bank policy deviations have caused
27
MML Global Fund – Portfolio Manager Report (Unaudited) (Continued)
fractures across the global economy. In the U.S., our opinion is that the Fed is concerned with inflationary dynamics. The strengthening trend of the dollar has suppressed import prices and thus dampened domestic inflation, so we believe Fed policymakers may increase rates gradually – not as aggressively as in past cycles when the economy grew faster and price levels rose more quickly. In 2016, our view is that divergences within the credit and equity markets could provide buying opportunities for active managers.
| | | | |
MML Global Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Thermo Fisher Scientific, Inc. | | | 2.8 | % |
Nestle SA | | | 2.6 | % |
Honeywell International, Inc. | | | 2.6 | % |
Accenture PLC Class A | | | 2.5 | % |
The Walt Disney Co. | | | 2.5 | % |
Reckitt Benckiser Group PLC | | | 2.4 | % |
Time Warner, Inc. | | | 2.3 | % |
Visa, Inc. Class A | | | 2.2 | % |
Bayer AG | | | 2.1 | % |
State Street Corp. | | | 2.0 | % |
| | | | | |
| | | | 24.0 | % |
| | | | | |
| | | | |
MML Global Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 35.1 | % |
Industrial | | | 15.0 | % |
Financial | | | 12.5 | % |
Communications | | | 10.9 | % |
Consumer, Cyclical | | | 8.1 | % |
Basic Materials | | | 7.6 | % |
Technology | | | 6.0 | % |
Diversified | | | 1.7 | % |
Energy | | | 1.7 | % |
Mutual Funds | | | 1.1 | % |
| | | | | |
Total Long-Term Investments | | | 99.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 0.3 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
28
MML Global Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Global Fund Class I, Class II, and the MSCI World Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 5/1/06 - 12/31/15 | |
| Class I | | | -1.36% | | | | 9.25% | | | | 3.80% | |
| Class II | | | -1.35% | | | | 9.33% | | | | 3.95% | |
| MSCI World Index | | | -0.87% | | | | 7.59% | | | | 4.14% | |
Hypothetical Investments in MML Global Fund Service Class I and the MSCI World Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class I | | | -1.63% | | | | 8.94% | | | | 5.82% | |
| MSCI World Index | | | -0.87% | | | | 7.59% | | | | 5.09% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the MSCI World Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
29
MML Growth & Income Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Growth & Income Fund, and who is the Fund’s subadviser?
The Fund seeks capital appreciation and income by investing, under normal circumstances, at least 80% of its net assets in equity securities and equity-related securities, including convertible securities, preferred stocks, options, and warrants, of U.S. companies with market capitalizations at the time of purchase greater than $1 billion. The Fund’s subadviser is Massachusetts Financial Services Company (MFS).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned 0.49%, underperforming the 1.38% return of the S&P 500® Index (the “benchmark”), a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Stock selection – both what the Fund invested in and what it didn’t invest in – played a major role in the Fund’s underperformance versus the benchmark for the year ended December 31, 2015. For example, in the retailing sector, the Fund’s failure to invest in Internet retailer Amazon weakened relative results for the year, as that company’s shares appreciated strongly during the year. Stock selection in the leisure sector was another area of relative weakness, as two stocks the Fund held in overweight positions – lagging media firms Time Warner and Twenty-First Century Fox – hampered performance, relative to the benchmark.
Elsewhere, the Fund’s avoidance of software giant Microsoft, diversified industrial conglomerate General Electric, and social networking services provider Facebook dampened relative performance, as the shares of all three companies outpaced the benchmark. The Fund’s overweight positions in three holdings – financial services company American Express and energy exploration and production companies EOG Resources and Noble Energy – also detracted from relative results. The Fund’s investment in Canadian railroad company Canadian National Railway, which is not a benchmark constituent, further dampened relative returns.
During the year, the Fund’s currency exposure relative to the benchmark, resulting primarily from differences between the Fund’s and the benchmark’s exposures to holdings of securities denominated in foreign currencies, detracted from relative performance. It is not unusual for the Fund to have different currency exposure than the benchmark.
Turning to the positive, stock selection in the technology sector benefited relative performance, as the Fund’s overweight position in Internet search giant Alphabet (the parent company of Google) was a notable contributor. The Fund’s avoidance of poorly performing wireless communications software company QUALCOMM also aided relative results for the year. Another positive for the Fund was stock selection and an underweight position in the utilities and communications sector. The Fund’s avoidance of natural gas pipelines operator Kinder Morgan also supported relative results, as the company underperformed the benchmark.
In other sectors, the Fund’s overweight positions in several holdings strengthened relative results. These included global payments technology company Visa, snack food and beverage producer Mondelez International, management consulting firm Accenture, financial clearing house Nasdaq, commercial products manufacturer Newell Rubbermaid, and life sciences supply company Thermo Fisher Scientific. Conversely, the Fund’s avoidance of poorly performing integrated oil and gas company ExxonMobil also bolstered its relative performance for the year.
Subadviser outlook
Everywhere we look – across regions, countries, markets, and assets – we see situations of divergence. The U.S. Federal Reserve (the “Fed”) has started to tighten (i.e., raise interest rates), while most other central banks keep easing. In China, manufacturing continues to falter, though the service sector appears to be faring better. And in the United States, we find industrials and goods producers subsiding, but nonmanufacturing and retail sales expanding.
30
MML Growth & Income Fund – Portfolio Manager Report (Unaudited) (Continued)
Divergence is evident across many dimensions of the global economy, yet our view is that its roots likely lie in the policies of the world’s major monetary authorities. Consequently, we believe the ripple effects of central bank policy deviations have caused fractures across the global economy. In the U.S., our opinion is that the Fed is concerned with inflationary dynamics. The strengthening trend of the dollar has suppressed import prices and thus dampened domestic inflation, so we believe Fed policymakers may increase rates gradually – not as aggressively as in past cycles when the economy grew faster and price levels rose more quickly. In 2016, our view is that divergences within the credit and equity markets could provide buying opportunities for active managers.
| | | | |
MML Growth & Income Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
JP Morgan Chase & Co. | | | 3.3 | % |
Danaher Corp. | | | 2.9 | % |
Visa, Inc. Class A | | | 2.8 | % |
Alphabet, Inc. Class A | | | 2.4 | % |
Thermo Fisher Scientific, Inc. | | | 2.4 | % |
Bank of America Corp. | | | 2.1 | % |
Johnson & Johnson | | | 2.1 | % |
Wells Fargo & Co. | | | 2.1 | % |
American Tower Corp. | | | 1.9 | % |
Alphabet, Inc. Class C | | | 1.9 | % |
| | | | | |
| | | | 23.9 | % |
| | | | | |
| | | | |
MML Growth & Income Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 26.8 | % |
Financial | | | 21.1 | % |
Technology | | | 11.1 | % |
Communications | | | 9.9 | % |
Industrial | | | 9.9 | % |
Consumer, Cyclical | | | 9.4 | % |
Energy | | | 4.7 | % |
Basic Materials | | | 4.1 | % |
Utilities | | | 1.5 | % |
Diversified | | | 1.1 | % |
| | | | | |
Total Long-Term Investments | | | 99.6 | % |
Short-Term Investments and Other Assets and Liabilities | | | 0.4 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
31
MML Growth & Income Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Growth & Income Fund Initial Class and the S&P 500 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 5/1/06 - 12/31/15 | |
| Initial Class | | | 0.49% | | | | 11.68% | | | | 4.56% | |
| S&P 500 Index | | | 1.38% | | | | 12.57% | | | | 6.96% | |
Hypothetical Investments in MML Growth & Income Fund Service Class and the S&P 500 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class | | | 0.18% | | | | 11.40% | | | | 7.09% | |
| S&P 500 Index | | | 1.38% | | | | 12.57% | | | | 8.75% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
32
MML Income & Growth Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Income & Growth Fund, and who is the Fund’s subadviser?
The Fund seeks long-term total return and current income by investing primarily in equity securities of dividend paying companies that the Fund’s subadviser believes will both increase in value over the long term and provide current income. The Fund will focus on issuers that have good prospects for capital appreciation. The Fund’s subadviser is BlackRock Investment Management, LLC (BlackRock).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned -0.09%, underperforming the 1.38% return of the S&P 500® Index (the “benchmark”), a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies. Conversely, the Fund outperformed the -3.83% return of the Russell 1000® Value Index, an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies based on market capitalization) with greater than average value orientation that tend to exhibit lower price-to-book ratios and lower forecasted growth rates than securities in the growth universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Entering 2015, Fund management had positioned the Fund to take advantage of the improving U.S. economy and the higher interest-rate environment that investors expected to appear during the year. Toward that end, the Fund’s largest sector allocations for the year were in financials and industrials.
The largest detractor from relative performance during the year was a combination of stock selection and an underweight allocation, relative to the benchmark, to the health care sector. The Fund held an overweight stake in the managed care industry, but did not own benchmark holdings Cigna and Humana, each of which benefited from merger and acquisition (M&A) activity during the year. Stock selection in the financials sector also hurt relative returns. In particular, the Fund’s overweight allocation to credit services company American Express and certain Fund holdings within the insurance industry proved to be costly. Lastly, stock selection in telecommunication services and a combination of stock selection and an overweight stake in the materials sector also weighed on relative performance for the year.
On the positive side, the largest contributor to relative performance for the year was the Fund’s underweight allocation to and its stock selection within the energy sector. Notable relative contributors in the sector included the Fund’s overweight allocation to refiner Marathon Petroleum, which benefited from stronger gasoline demand; and the Fund’s avoidance of oil and gas pipelines operator Kinder Morgan. The Fund’s underweight allocation to the exploration and production and oilfield service industries also proved beneficial in the 2015 environment of falling crude oil prices. Fund holdings in industrials also boosted relative returns, particularly, an overweight allocation to aerospace and defense operators Northrop Grumman, Raytheon, and Lockheed Martin, which performed well during the year. Lastly, stock selection in the consumer staples and consumer discretionary sectors added to relative results. In consumer staples, a top contributor included Fund holding Kroger, which is a major grocery store operator. Within consumer staples, the Fund’s overweight allocation to the tobacco industry also contributed. Finally, in consumer discretionary, the Fund’s allocation to Home Depot, a home improvement retailer, outperformed due to the company’s stronger-than-expected sales and earnings growth.
At year-end, the Fund’s largest sector exposures included financials, health care, and industrials. With regard to financials, Fund management is particularly positive on the U.S. large-cap banks, given their improved capital ratios, current valuations, and positive sensitivity to increases in U.S. interest rates. Notably, as 2016 approached, the Fund increased its exposure to health care and information technology, added opportunistically to its energy allocation, and trimmed its exposure to the industrials sector.
Subadviser outlook
In our view, the U.S. economy could potentially continue its slow-growth trajectory, albeit with higher volatility and more moderate return expectations as we enter 2016. We continue to believe that U.S. economic growth could dictate a gradual increase in interest rates and may ultimately benefit companies with consistent earnings and strong/growing cash flows that have the potential to increase shareholder value.
33
MML Income & Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Income & Growth Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
JP Morgan Chase & Co. | | | 4.1 | % |
Wells Fargo & Co. | | | 3.7 | % |
General Electric Co. | | | 3.4 | % |
Pfizer, Inc. | | | 3.0 | % |
Citigroup, Inc. | | | 3.0 | % |
The Home Depot, Inc. | | | 2.5 | % |
Exxon Mobil Corp. | | | 2.4 | % |
Intel Corp. | | | 2.4 | % |
Microsoft Corp. | | | 2.4 | % |
Raytheon Co. | | | 2.0 | % |
| | | | | |
| | | | 28.9 | % |
| | | | | |
| | | | |
MML Income & Growth Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 24.7 | % |
Consumer, Non-cyclical | | | 21.3 | % |
Industrial | | | 12.3 | % |
Energy | | | 9.3 | % |
Technology | | | 7.6 | % |
Communications | | | 6.3 | % |
Consumer, Cyclical | | | 6.1 | % |
Utilities | | | 5.3 | % |
Basic Materials | | | 3.8 | % |
| | | | | |
Total Long-Term Investments | | | 96.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 3.3 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
34
MML Income & Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Income & Growth Fund Initial Class, the S&P 500 Index, and the Russell 1000 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 5/1/06 - 12/31/15 | |
| Initial Class | | | -0.09% | | | | 9.96% | | | | 4.51% | |
| S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 6.96% | |
| Russell 1000 Value Index | | | -3.83% | | | | 11.27% | | | | 5.47% | |
Hypothetical Investments in MML Income & Growth Fund Service Class, the S&P 500 Index, and the Russell 1000 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class | | | -0.35% | | | | 9.70% | | | | 5.93% | |
| S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 8.75% | |
| Russell 1000 Value Index | | | -3.83% | | | | 11.27% | | | | 7.47% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index and the Russell 1000 Value Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
35
MML International Equity Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML International Equity Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital growth by investing, under normal circumstances, at least 80% of its net assets in equity securities of non-U.S. companies located in non-U.S. markets throughout the world, including emerging markets. The Fund may invest a substantial portion of its assets in just one region or country and may, but does not currently intend to, invest in U.S. companies. Ordinarily, the Fund’s portfolio typically holds thirty to sixty stocks and the Fund invests in the securities of at least five countries outside the U.S. The Fund’s subadviser is Harris Associates L.P. (Harris).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class II shares returned -4.77%, underperforming the -3.04% return of the MSCI World Index ex USA (the “benchmark”), an unmanaged index representative of stocks domiciled in 22 global developed markets, excluding the United States.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, stock selection detracted from the Fund’s relative results. From a geographic perspective, Fund holdings in Switzerland and Japan detracted the most from the Fund’s performance. In fact, half of the 20 underlying holdings in these countries produced negative absolute collective returns. In Switzerland, two Fund holdings were significant detractors: Glencore, a materials metals and mining company, and construction materials firm LafargeHolcim. Japan’s technology electronics components company OMRON was another Fund holding that also lost ground in 2015 and dragged on the Fund’s full-year results. With respect to sectors, Fund holdings in materials produced the largest negative relative returns, followed by consumer discretionary, which was the next-largest relative underperformer.
Conversely, a lack of exposure to Canada contributed the most to the Fund’s relative performance for the year. Holdings in Germany generated the next-best relative result, as five of six underlying Fund holdings in Germany gained value, with consumer apparel company Adidas producing the top absolute return, followed by technology application software company SAP and insurance firm Allianz. From a sector perspective, the best relative results came from the financials sector, as banking entity Intesa Sanpaolo, diversified financial company EXOR, and insurance firm Willis Group Holdings were three Fund holdings that generated strong returns. A lack of exposure to energy and utilities shares also boosted results for the year.
With respect to the Fund’s use of derivatives, at year-end the Fund held currency hedges on the Australian dollar and Swiss franc. Approximately 9% of the underlying Australian dollar and 21% of the underlying franc were hedged. Currency hedges contributed modestly to the Fund’s 2015 performance. (Derivatives are securities that derive their value from the performance of one or more other investments and take the form of a contract between two or more parties. Most derivatives are used for hedging, speculation, or both.)
Subadviser outlook
Even though macro-economic and geopolitical events dominated the news in 2015, we believe it is a mistake to focus on these issues when making investment decisions. Our view is that these events are rarely likely to impact long-term business value in a meaningful way. In fact, we believe these events can be used to exploit short-term mispricing, which may enable investors to buy into businesses at low entry prices. Our view is that by focusing on these opportunities as they arise, rather than on the larger environmental factors and events mentioned above, the Fund is likely to have the potential to earn acceptable rates of return over the long term.
36
MML International Equity Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML International Equity Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Credit Suisse Group | | | 4.7 | % |
Honda Motor Co. Ltd. | | | 3.7 | % |
BNP Paribas | | | 3.6 | % |
Nomura Holdings, Inc. | | | 3.4 | % |
Daimler AG | | | 3.3 | % |
Toyota Motor Corp. | | | 3.2 | % |
Allianz SE | | | 3.2 | % |
Bayerische Motoren Werke AG | | | 2.9 | % |
CNH Industrial NV | | | 2.8 | % |
Glencore PLC | | | 2.7 | % |
| | | | | |
| | | | 33.5 | % |
| | | | | |
| | | | |
MML International Equity Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 28.9 | % |
Consumer, Cyclical | | | 25.3 | % |
Industrial | | | 18.4 | % |
Consumer, Non-cyclical | | | 10.6 | % |
Basic Materials | | | 4.4 | % |
Communications | | | 3.2 | % |
Mutual Funds | | | 3.1 | % |
Diversified | | | 3.0 | % |
Technology | | | 2.9 | % |
| | | | | |
Total Long-Term Investments | | | 99.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | 0.2 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
37
MML International Equity Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML International Equity Fund Class II and the MSCI World Index ex USA.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Since
Inception Average Annual 1/7/14 -
12/31/15 | |
| Class II | | | -4.77% | | | | -4.76% | |
| MSCI World Index ex USA | | | -3.04% | | | | -3.13% | |
Hypothetical Investments in MML International Equity Fund Service Class I and the MSCI World Index ex USA.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Since
Inception Average Annual 5/1/14 -
12/31/15 | |
| Service Class I | | | -5.10% | | | | -7.46% | |
| MSCI World Index ex USA | | | -3.04% | | | | -5.71% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the MSCI World Index ex USA is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
38
MML Large Cap Growth Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Large Cap Growth Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital appreciation by investing primarily in large-capitalization companies that the Fund’s subadviser believes offer the potential for long-term growth. Under normal circumstances, the Fund invests at least 80% of its net assets in the common stocks of companies whose market capitalizations at the time of purchase are within the market capitalization range of companies included in the Russell 1000® Growth Index. The Fund’s subadviser is Rainier Investment Management, LLC (Rainier).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned 5.12%, underperforming the 5.67% return of the Russell 1000 Growth Index (the “benchmark”), an unmanaged index consisting of those Russell 1000 securities (representing the 1,000 largest U.S. companies based on market capitalization) with greater than average growth orientation that tend to exhibit higher price-to-book ratios and higher forecasted growth rates than securities in the value universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Health care and financials detracted from relative performance during the year ended December 31, 2015. In contrast, five sectors contributed meaningfully to returns: consumer discretionary, materials, consumer staples, industrials, and technology.
On the downside, despite relative strength in the overall consumer discretionary sector, apparel company VF Corp was one Fund holding that was a notable detractor. Best known for brands such as Wrangler, Lee, North Face, Timberland, and Vans, VF Corp lagged as apparel spending trends were mixed due to an unseasonably warm winter in much of the U.S. and shifting consumer spending trends in apparel. Security software company FireEye and semiconductor maker Micron were two other stocks the Fund held that had disappointing results. We eliminated the Fund’s positions in both stocks due to the erosion in the competitive position of each company. Finally, health care was the largest detractor from the Fund’s performance for the year, as increased rhetoric among the presidential candidates about the high price of drugs triggered a sell-off in the sector.
Stock selection was the primary driver of returns in consumer discretionary and consumer staples. In consumer discretionary, cruise line operator Royal Caribbean Cruises was the top-performing Fund holding, benefiting from strong pricing and bookings, low fuel prices, and new growth initiatives. Beauty retailer Ulta Salon was another Fund holding that thrived due to new management and continued expansion of its stores. Two other Fund holdings that contributed were energy drink maker Monster Beverage and alcoholic beverage producer Constellation Brands. Monster Beverage gained from increased sales of its energy drinks through the Coca-Cola distribution system, while Constellation Brands continued to gain share in the U.S. beer market with its Corona and Modelo Especial brands. In technology, social network company Facebook and cloud software firm Salesforce.com were two Fund holdings that contributed to relative outperformance.
Subadviser outlook
We believe the U.S. economy – supported by improvement in the rate of employment, further recovery in the housing market, and sustained strength in consumer spending – continues to offer compelling investment opportunities in growing industries such as software, biotechnology, retail, leisure, and financial services. These areas constitute the core positions in the Fund. However, our primary concern is tepid global growth and the impact that slower growth may have on corporate earnings. In this environment, we believe it is critical to focus on companies that have the potential to continue to gain share and enhance their competitive positions through deliberate and disciplined growth strategies.
In 2016, we plan to continue evaluating the recovery potential of areas that have lagged, such as energy, materials, and industrials. Our view is that any hint of a resumption of growth in the emerging markets could shift investment opportunities quickly, and potentially lead to the appreciation of industries that have underperformed the equity markets over the last few years.
39
MML Large Cap Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Large Cap Growth Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Alphabet, Inc. Class A | | | 4.7 | % |
Visa, Inc. Class A | | | 4.1 | % |
Apple, Inc. | | | 4.0 | % |
Amazon.com, Inc. | | | 3.7 | % |
Facebook, Inc. Class A | | | 3.6 | % |
The Home Depot, Inc. | | | 3.6 | % |
Celgene Corp. | | | 2.7 | % |
The Walt Disney Co. | | | 2.5 | % |
CVS Health Corp. | | | 2.5 | % |
Salesforce.com, Inc. | | | 2.3 | % |
| | | | | |
| | | | 33.7 | % |
| | | | | |
| | | | |
MML Large Cap Growth Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 25.3 | % |
Communications | | | 22.9 | % |
Consumer, Cyclical | | | 20.9 | % |
Technology | | | 12.5 | % |
Financial | | | 9.3 | % |
Basic Materials | | | 3.8 | % |
Industrial | | | 3.0 | % |
Energy | | | 1.0 | % |
| | | | | |
Total Long-Term Investments | | | 98.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.3 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
40
MML Large Cap Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Large Cap Growth Fund Initial Class and the Russell 1000 Growth Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 5/1/06 - 12/31/15 | |
| Initial Class | | | 5.12% | | | | 11.39% | | | | 6.30% | |
| Russell 1000 Growth Index | | | 5.67% | | | | 13.53% | | | | 8.51% | |
Hypothetical Investments in MML Large Cap Growth Fund Service Class and the Russell 1000 Growth Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class | | | 4.80% | | | | 11.10% | | | | 8.22% | |
| Russell 1000 Growth Index | | | 5.67% | | | | 13.53% | | | | 10.11% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 1000 Growth Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
41
MML Managed Volatility Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Managed Volatility Fund and who is the Fund’s subadviser?
The Fund seeks to capture the majority of the returns associated with equity market investments, while exposing investors to less risk than other equity investments. Under normal circumstances, the Fund invests in a broadly diversified portfolio of common stocks, while also selling index call options and purchasing index put options. The Fund’s stock portfolio will have approximately 500 stocks, and seeks to duplicate the investment composition and return of the S&P 500® Index* (the “Index”) by holding each stock included in the Index in approximately the same proportion as each stock’s relative weighting in the Index. The Fund’s subadviser is Gateway Investment Advisers, LLC (Gateway).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned 3.01%, outperforming the 1.38% return of the Index, a widely recognized, unmanaged index representative of common stocks of larger capitalized U.S. companies. The Index is the Fund’s benchmark. The Fund also outpaced the 0.55% return of the Barclays U.S. Aggregate Bond Index, an unmanaged index of fixed-rate investment-grade securities with at least one year to maturity, combining the Barclays U.S. Treasury Bond Index, the Barclays U.S. Government-Related Bond Index, the Barclays U.S. Corporate Bond Index, and the Barclays U.S. Securitized Bond Index.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Fund management’s use of derivatives to implement hedging strategies drove Fund performance in 2015. These hedging strategies enabled the Fund to capture net positive returns from the heightened stock market volatility that prevailed throughout much of the year. The Fund’s hedging strategy consists of selling S&P 500 Index call options against at least 95% of the value of its underlying stock portfolio and purchasing protective out-of-the money S&P 500 Index put options on at least 95% of the equity portfolio. (A call option is an agreement that gives the owner the ability – if desired – to buy a specified amount of an underlying security at a specified price within a specified period of time. A put option is an agreement that gives the owner the ability – if desired – to sell a specified amount of an underlying security at a specified price within a specified period of time.) The net effect of the use of these call and put options made a significant contribution to the Fund’s performance.
The Fund’s return over the S&P 500 Index during 2015 was attributable to the volatile investing environment throughout much of the year, which increased the value of net index options held by the Fund. Market volatility, as measured by the Chicago Board Options Exchange Volatility Index (the “VIX”), averaged 16.67 for 2015, hit an intra-day high of 53.29 in late August, and twice had extended periods above its historical long-term average of 20. Moreover, unlike prior years, volatility did not quickly contract after each spike. For example, after the intra-day spike to 53.29 in late August, the VIX spent the entire month of September in a range between 20 and 30, and did not decline below 20 until early October. As a result, the selling of index call options contributed positively to the performance of the Fund for 2015. This positive result was partially offset by the protective puts that reduced overall performance modestly for the year. However, during the third quarter, when the market experienced a severe decline, the Fund’s protective puts contributed to performance.
Subadviser outlook
As a hedged equity manager, Gateway is more focused on market volatility and its outlook, rather than the equity markets in isolation. Many of the fundamental factors and geopolitical events that concerned investors in 2015 remain as we enter 2016, suggesting the potential for continued spikes in volatility. While our investment management team does not try to forecast these types of events, we remain vigilant to their possibility and will continue to manage the Fund’s index option positions in an effort to take full advantage of any spikes in volatility that may emerge in 2016.
| * | The S&P 500 Index is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by MML Advisers. Standard & Poor’s®, S&P® and S&P 500® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by MML Advisers. The Fund is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P 500 Index. |
42
MML Managed Volatility Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Managed Volatility Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Apple, Inc. | | | 3.3 | % |
Microsoft Corp. | | | 2.4 | % |
Exxon Mobil Corp. | | | 1.8 | % |
General Electric Co. | | | 1.6 | % |
Johnson & Johnson | | | 1.6 | % |
Amazon.com, Inc. | | | 1.4 | % |
Wells Fargo & Co. | | | 1.4 | % |
Berkshire Hathaway, Inc. Class B | | | 1.4 | % |
JP Morgan Chase & Co. | | | 1.3 | % |
Facebook, Inc. Class A | | | 1.3 | % |
| | | | | |
| | | | 17.5 | % |
| | | | | |
| | | | |
MML Managed Volatility Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 24.5 | % |
Financial | | | 16.7 | % |
Communications | | | 13.7 | % |
Technology | | | 12.5 | % |
Consumer, Cyclical | | | 10.2 | % |
Industrial | | | 9.4 | % |
Energy | | | 6.4 | % |
Utilities | | | 2.9 | % |
Basic Materials | | | 2.5 | % |
Diversified | | | 0.0 | % |
| | | | | |
Total Long-Term Investments | | | 98.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.2 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
43
MML Managed Volatility Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Managed Volatility Fund Initial Class, the S&P 500 Index, and the Barclays U.S. Aggregate Bond Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Ten Year
Average Annual 1/1/06 - 12/31/15 | |
| Initial Class | | | 3.01% | | | | 6.61% | | | | 3.87% | |
| S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 7.31% | |
| Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.52% | |
Hypothetical Investments in MML Managed Volatility Fund Service Class, the S&P 500 Index, and the Barclays U.S. Aggregate Bond Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class | | | 2.79% | | | | 6.36% | | | | 4.43% | |
| S&P 500 Index* | | | 1.38% | | | | 12.57% | | | | 8.75% | |
| Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 4.43% | |
GROWTH OF $10,000 INVESTMENT FOR THE PAST 10 YEARS
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the S&P 500 Index and the Barclays U.S. Aggregate Bond Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
44
MML Mid Cap Growth Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Mid Cap Growth Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital appreciation by investing primarily in equity securities of mid-capitalization companies that the Fund’s subadviser believes offer the potential for above-average earnings growth. Under normal circumstances, the Fund invests at least 80% of its net assets in a broadly diversified portfolio of common stocks of mid-cap companies whose earnings the subadviser expects to grow at a faster rate than the average company. The Fund’s subadviser is T. Rowe Price Associates, Inc. (T. Rowe Price).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned 6.78%, substantially outpacing the -0.20% return of the Russell Midcap® Growth Index (the “benchmark”), a widely recognized, unmanaged index that measures the performance of those Russell Midcap companies (representing mid-capitalization U.S. common stocks) with higher price-to-book ratios and higher forecasted growth rates than securities in the value universe. Similarly, the Fund’s 6.78% return outperformed, by a wide margin, the -2.18% return of the S&P MidCap 400® Index, a widely recognized, unmanaged index representative of common stocks of mid-capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Broadly speaking, stock selection accounted for the Fund’s outperformance, and sector allocation detracted from Fund results for the year ended December 31, 2015. At the sector level, information technology, consumer discretionary, and industrials and business services were positive contributors for the year, while consumer staples detracted.
Information technology proved to be the greatest contributor to relative results, due to Fund holdings such as Altera and Verisign. Altera, a semiconductor company that creates custom programmable chips, rose when Intel announced it would acquire the company. Verisign, a network infrastructure operator, benefited from strong results driven in part by a surge in demand for its services in China.
In consumer discretionary, the Fund benefited from stock positioning as well as underweight positioning, relative to the benchmark. Two Fund holdings – Norwegian Cruise Line and auto parts supplier O’Reilly Automotive – added relative value, with Norwegian Cruise Line reporting accelerating booking volumes and O’Reilly Automotive benefiting from lower gas prices and improved employment numbers, both of which tend to lead to increased demand for car repairs.
Industrials and business services was another area of relative strength for the Fund due to favorable stock selection. Pall was the leading Fund holding within this sector, based on news that industrial conglomerate Danaher would acquire the air and water-filter maker at a significant premium.
The primary detractor from the Fund’s performance for the year was consumer staples, due in roughly equal parts to underperforming stock holdings and a detrimental underweight. Sprouts Farmers Market and Whole Foods Market were two Fund holdings within consumer staples that hurt relative results. Whole Foods faced greater competitive pressure from other organic grocers as well as problems with inaccurate pricing, while strong results for Spouts Farmers Market, another organic-oriented retailer, were outweighed by investor concerns over competition from conventional grocers.
Subadviser outlook
We anticipate the U.S. economy could benefit from stable growth driven by labor market strength, low inflation, and reduced fiscal challenges. On balance, our view is that the environment for growth stocks has the potential to remain favorable in 2016, but market volatility has the potential to increase. We believe interest rates may rise but will likely stay low, and low energy costs could boost spending power for most consumers. Our strategy remains focused on growth companies that have the potential to grow revenues and earnings, regardless of the macro-economic conditions.
45
MML Mid Cap Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Mid Cap Growth Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Fiserv, Inc. | | | 2.4 | % |
Norwegian Cruise Line Holdings Ltd. | | | 1.8 | % |
VeriSign, Inc. | | | 1.8 | % |
Textron, Inc. | | | 1.7 | % |
Alkermes PLC | | | 1.7 | % |
CarMax, Inc. | | | 1.7 | % |
Intuitive Surgical, Inc. | | | 1.6 | % |
Roper Technologies, Inc. | | | 1.5 | % |
AutoZone, Inc. | | | 1.5 | % |
IHS, Inc. Class A | | | 1.4 | % |
| | | | | |
| | | | 17.1 | % |
| | | | | |
| | | | |
MML Mid Cap Growth Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 26.3 | % |
Industrial | | | 19.1 | % |
Consumer, Cyclical | | | 16.1 | % |
Technology | | | 12.4 | % |
Financial | | | 8.9 | % |
Communications | | | 7.2 | % |
Mutual Funds | | | 7.1 | % |
Basic Materials | | | 3.4 | % |
Energy | | | 1.4 | % |
Utilities | | | 0.1 | % |
| | | | | |
Total Long-Term Investments | | | 102.0 | % |
Short-Term Investments and Other Assets and Liabilities | | | (2.0 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
46
MML Mid Cap Growth Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Mid Cap Growth Fund Initial Class, the Russell Midcap Growth Index, and the S&P MidCap 400 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 5/1/06 - 12/31/15 | |
| Initial Class | | | 6.78% | | | | 13.19% | | | | 9.61% | |
| Russell Midcap Growth Index* | | | -0.20% | | | | 11.54% | | | | 7.59% | |
| S&P MidCap 400 Index | | | -2.18% | | | | 10.68% | | | | 7.49% | |
Hypothetical Investments in MML Mid Cap Growth Fund Service Class, the Russell Midcap Growth Index, and the S&P MidCap 400 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class | | | 6.59% | | | | 12.90% | | | | 11.08% | |
| Russell Midcap Growth Index* | | | -0.20% | | | | 11.54% | | | | 9.42% | |
| S&P MidCap 400 Index | | | -2.18% | | | | 10.68% | | | | 9.14% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell Midcap Growth Index and the S&P MidCap 400 Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
47
MML Mid Cap Value Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Mid Cap Value Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital growth. Income is a secondary objective. The Fund invests primarily in equity securities of mid-capitalization companies that the Fund’s subadviser believes offer prospects for long-term capital growth. Under normal circumstances, the Fund invests at least 80% of its net assets in equity securities of medium-size companies. The Fund’s subadviser is American Century Investment Management, Inc. (American Century).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned -1.45%, outperforming the -4.78% return of Russell Midcap® Value Index (the “benchmark”), a widely recognized, unmanaged index that measures the performance of those Russell Midcap companies (representing mid-capitalization U.S. common stocks) with lower price-to-book ratios and lower forecasted growth rates than securities in the growth universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, the Fund’s outperformance of the benchmark was primarily due to security selection. Stock selection and an overweight position, relative to the benchmark, in the consumer staples sector were the greatest contributors to relative performance. The Fund also benefited from security selection in the utilities and energy sectors.
Within consumer staples, the Fund’s overweight position in the food product industry proved advantageous. A notable Fund holding there was snack company Mondelez International, which is not represented in the benchmark. The company topped earnings expectations and raised margins while indicating a willingness to be acquired. Among food and staples retailers, Fund holding Sysco, a large distributor of food and related products, benefited from improving restaurant sales and the addition of an activist investor to its board.
Security selection in the energy sector bolstered results, as the Fund did not own some of this worst-performing sector’s steepest decliners. A key contributor was Fund holding Cameron International, a global provider of pressure control, processing, flow control, and compression systems. The company’s stock rose on news that oilfield-services provider Schlumberger had agreed to acquire it at a healthy premium.
The industrials sector provided top-contributing Fund holding Republic Services, a waste management company that recorded strong gains and continued to execute well, with minimal exposure to emerging markets and foreign currency issues.
Hampering the Fund’s relative performance during the year was stock selection in information technology and an underweight position in financials, especially in real estate investment trusts (REITs). Detractors within information technology included Fund holding Micron Technology (not included in the benchmark), a semiconductor company that suffered amid weakness in the PC-build segment. An overweight position in the energy sector also detracted. Declining oil and natural gas prices weighed on a number of Fund holdings, including Devon Energy, an independent natural gas and oil producer, and petroleum company Imperial Oil – neither of which is represented in the benchmark. The industrials sector included notable detractor Heartland Express. The trucking company was a Fund holding that underperformed along with other transportation stocks amid weaker volumes and increased labor costs.
The Fund occasionally uses derivatives to equitize cash and temporarily gain sector exposure. (Derivatives are securities that derive their value from the performance of one or more other investments and take the form of a contract between two or more parties. Most derivatives are used for hedging, speculation, or both.) During the year, the Fund’s use of forward currency contracts to help reduce risk that can result from currency fluctuations in foreign equity investments contributed slightly to returns.
48
MML Mid Cap Value Fund – Portfolio Manager Report (Unaudited) (Continued)
Subadviser outlook
As we entered 2016, Fund positioning reflected our view of where we see opportunities and where we are likely to be more wary in the near future. The Fund held a notably overweight stake in consumer staples stocks, on our belief that they likely have favorable risk-return profiles and show potential opportunity for continued industry consolidation in the future. The Fund also held a significant overweight position in energy, with a focus on higher-quality companies across the sector that have been pressured by the steep drop in oil prices. The Fund had smaller overweight stakes in the industrials and health care sectors. The Fund’s largest sector underweight position was in financials, with a significantly underweight REITs position due to what we view as unattractive valuations. Finally, the Fund held a moderately underweight stake in the materials sector.
| | | | |
MML Mid Cap Value Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Sysco Corp. | | | 3.2 | % |
Northern Trust Corp. | | | 3.0 | % |
Republic Services, Inc. | | | 2.4 | % |
Zimmer Biomet Holdings, Inc. | | | 1.9 | % |
Imperial Oil Ltd. | | | 1.8 | % |
Applied Materials, Inc. | | | 1.7 | % |
Weyerhaeuser Co. | | | 1.7 | % |
Tyco International PLC | | | 1.6 | % |
Cameron International Corp. | | | 1.6 | % |
PG&E Corp. | | | 1.6 | % |
| | | | | |
| | | | 20.5 | % |
| | | | | |
| | | | |
MML Mid Cap Value Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 26.2 | % |
Consumer, Non-cyclical | | | 17.0 | % |
Industrial | | | 14.3 | % |
Energy | | | 11.6 | % |
Utilities | | | 10.0 | % |
Consumer, Cyclical | | | 7.3 | % |
Technology | | | 7.0 | % |
Communications | | | 2.0 | % |
Basic Materials | | | 1.3 | % |
Mutual Funds | | | 1.0 | % |
| | | | | |
Total Long-Term Investments | | | 97.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 2.3 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
49
MML Mid Cap Value Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Mid Cap Value Fund Initial Class and the Russell Midcap Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/06 -
12/31/15 | |
| Initial Class | | | -1.45% | | | | 11.70% | | | | 8.66% | |
| Russell Midcap Value Index | | | -4.78% | | | | 11.25% | | | | 6.95% | |
Hypothetical Investments in MML Mid Cap Value Fund Service Class and the Russell Midcap Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
| Service Class | | | -1.60% | | | | 11.45% | | | | 10.18% | |
| Russell Midcap Value Index | | | -4.78% | | | | 11.25% | | | | 8.96% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell Midcap Value Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
50
MML Small Cap Growth Equity Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Small Cap Growth Equity Fund, and who are the Fund’s subadvisers?
The Fund seeks long-term capital appreciation by investing primarily in equity securities of smaller companies that the Fund’s subadvisers believe offer potential for long-term growth. Under normal circumstances, the Fund invests at least 80% of its net assets in the equity securities of companies whose market capitalizations at the time of purchase are within the market capitalization range of companies included in the Russell 2000® Index or the S&P SmallCap 600 Index. The Fund’s subadvisers are Wellington Management Company LLP (Wellington Management), which managed approximately 71% of the Fund’s portfolio; and Waddell & Reed Investment Management Company (Waddell & Reed), which was responsible for approximately 29% of the Fund’s portfolio, as of December 31, 2015.
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class shares returned -5.11%, trailing the -1.38% return of the Russell 2000 Growth Index (the “benchmark”), a widely recognized, unmanaged index that measures the performance of those Russell 2000 Index companies (representing small-capitalization U.S. common stocks) with higher price-to-book ratios and higher forecasted growth rates than securities in the value universe. Similarly, the Fund’s -5.11% return underperformed the -4.41% return of the Russell 2000 Index, a widely recognized, unmanaged index representative of common stocks of smaller capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the Wellington Management component of the Fund, weak stock selection within the materials and consumer staples sectors held back relative performance for the year ended December 31, 2015. Conversely, strong stock selection within the energy, health care, and industrials sectors contributed to relative results. The Wellington Management component’s holdings that were top relative detractors for the period included SunOpta, a global organic food company in the consumer staples sector; Pier 1 Imports, a home furnishings retailer in consumer discretionary; and eHealth, an online health insurance marketplace in the financials sector. The Wellington Management component sold its positions in SunOpta and Pier 1 during the year. Turning to the positive, Wellington Management component holdings that were top performers included Abiomed, a manufacturer of medical implant devices; and Foundation Medicine, a molecular information company – both in the health care sector; and Vonage, a Voice-over-Internet-Protocol (VoIP) services provider in telecommunications services. The Wellington Management component sold its position in Abiomed as the stock approached its valuation target – and also sold Foundation Medicine at a strong price after the company announced it would be selling a majority stake to Roche for $1 billion.
For the Waddell & Reed component of the Fund, relative performance within the health care and financials sectors were the primary detractors from relative performance for the year. Conversely, Waddell & Reed component holdings in information technology and industrial securities helped boost results. Although the health care sector was the second-best-performing segment of the benchmark for the year, the Waddell & Reed component’s avoidance of the more speculative biotechnology sector, which performed well, hindered results. Within health care, positions in ExamWorks Group – a provider of independent medical examinations, peer and bill reviews, and Medicare compliance – and LDR Holding Corp, a medical device company, accounted for much of the underperformance. Within the financials sector, one of the Waddell & Reed component’s top holdings, PRA Group, a financial and business service company, suffered due to lower earnings expectations. Conversely, Waddell & Reed component holdings in the strong-performing industrials sector contributed. Specifically, Acuity Brands, a producer and distributor of various lighting solutions and services; Toro, a manufacturer of professional turf maintenance equipment; and Hexcel, a manufacturer of structural materials for use in commercial aerospace, space and defense, and industrial markets, were standouts. In the information technology sector, three Waddell & Reed component holdings produced a return of greater than 50%: Tyler Technologies, a provider of integrated information management solutions and services for the public sector; Paycom Software, a human capital management software solutions provider; and Manhattan Associates, a software solutions developer.
Subadviser outlook
Entering the new year, Wellington Management remains optimistic about the potential for continued growth of the U.S. housing and consumer markets, though we are cautious given the recent weakness and volatility. We continue to emphasize fundamental
51
MML Small Cap Growth Equity Fund – Portfolio Manager Report (Unaudited) (Continued)
research and bottom-up stock selection as we look for companies with factors we consider critical to success. We focus on well-capitalized companies with high market share and high insider ownership – and we continue to seek opportunities to establish positions in stocks that we believe are undervalued relative to their fundamental outlooks.
In Waddell & Reed’s view, now that the Federal Reserve has implemented the first rate hike since 2006, the pace and magnitude of future rate increases are likely to remain a key focus of investors during the year ahead. The high-yield bond markets have experienced diminishing liquidity, increasing defaults among heavily leveraged energy companies and spiking yields, which we believe may foreshadow an environment of elevated risk aversion. Our opinion is that the volatility of 2015 could continue in 2016, and that movements in oil and the U.S. dollar could, once again, play a key role in determining the stability of the financial markets.
| | | | |
MML Small Cap Growth Equity Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Veeva Systems, Inc. Class A | | | 1.6 | % |
The Middleby Corp. | | | 1.5 | % |
Acadia Healthcare Co., Inc. | | | 1.3 | % |
Five Below, Inc. | | | 1.3 | % |
Insulet Corp. | | | 1.3 | % |
PRA Group, Inc. | | | 1.3 | % |
Tyler Technologies, Inc. | | | 1.3 | % |
The Toro Co. | | | 1.2 | % |
LDR Holding Corp. | | | 1.1 | % |
Dexcom, Inc. | | | 1.1 | % |
| | | | | |
| | | | 13.0 | % |
| | | | | |
| | | | |
MML Small Cap Growth Equity Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Consumer, Non-cyclical | | | 22.1 | % |
Technology | | | 16.0 | % |
Industrial | | | 15.7 | % |
Financial | | | 15.7 | % |
Consumer, Cyclical | | | 14.2 | % |
Mutual Funds | | | 9.9 | % |
Communications | | | 4.5 | % |
Energy | | | 4.0 | % |
Basic Materials | | | 1.9 | % |
Diversified | | | 0.6 | % |
Utilities | | | 0.2 | % |
| | | | | |
Total Long-Term Investments | | | 104.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | (4.8 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
52
MML Small Cap Growth Equity Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Small Cap Growth Equity Fund Initial Class, the Russell 2000 Growth Index, and the Russell 2000 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Ten Year
Average Annual 1/1/06 - 12/31/15 | |
| Initial Class | | | -5.11% | | | | 9.92% | | | | 7.15% | |
| Russell 2000 Growth Index* | | | -1.38% | | | | 10.67% | | | | 7.95% | |
| Russell 2000 Index | | | -4.41% | | | | 9.19% | | | | 6.80% | |
Hypothetical Investments in MML Small Cap Growth Equity Fund Service Class, the Russell 2000 Growth Index, and the Russell 2000 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since Inception
Average Annual 8/15/08 - 12/31/15 | |
| Service Class | | | -5.33% | | | | 9.64% | | | | 8.00% | |
| Russell 2000 Growth Index* | | | -1.38% | | | | 10.67% | | | | 8.41% | |
| Russell 2000 Index | | | -4.41% | | | | 9.19% | | | | 7.20% | |
GROWTH OF $10,000 INVESTMENT FOR THE PAST 10 YEARS
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 2000 Growth Index and the Russell 2000 Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
53
MML Small Company Value Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Small Company Value Fund, and who is the Fund’s subadviser?
The Fund seeks long-term capital appreciation by investing primarily in equity securities that the Fund’s subadviser believes are undervalued. Under normal circumstances, the Fund invests at least 80% of its net assets in the securities of companies whose market capitalizations at the time of purchase are within the market capitalization range of companies included in the Russell 2000® Index. The Fund’s subadviser is T. Rowe Price Associates, Inc. (T. Rowe Price).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class II shares returned -5.36%, outperforming the -7.47% return of the Russell 2000 Value Index (the “benchmark”), a widely recognized, unmanaged index that measures the performance of those Russell 2000 Index companies (representing small-capitalization U.S. common stocks) with lower price-to-book ratios and lower forecasted growth rates than securities in the growth universe. Conversely, the Fund lagged the -4.41% return of the Russell 2000 Index, a widely recognized, unmanaged index representative of common stocks of smaller capitalized U.S. companies.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
Generally speaking, stock selection accounted for the relative outperformance of the Fund for the year ended December 31, 2015; conversely, sector allocation hampered results. The energy, industrials and business services, materials, and consumer discretionary sectors all helped relative results, while information technology, health care, and financials were detractors.
Energy proved to be the greatest relative contributor, as the Fund’s stock holdings within that market segment held their value better than their benchmark counterparts. Oil and gas producer Matador was a key Fund holding, with its shares performing relatively well despite major sell-offs in the energy sector. In industrials and business services, the Fund benefited from strong stock selection – although overweight positioning hampered results, relative to the benchmark. Outperformers in this sector included Fund holdings Beacon Roofing Supply (“Beacon”) and Comfort Systems USA, a provider of installation and service for building mechanical systems. Both companies have benefited from the recovery in the housing market; Beacon received an additional boost from acquiring competitor RSG Roofing Supply.
Materials was another area of relative strength, as stock selection more than made up for a detrimental overweight position. One Fund holding, specialty chemicals company Innospec, which focuses on fuel additives and provides chemicals used in oil and gas production – including fracking, had relatively good performance when many materials companies faced serious challenges. Stock selection in consumer discretionary also added relative value – most notably Pool, a Fund holding that is a wholesale distributor of pool supplies and landscape and irrigation products, gained market share amid increased pool construction and warmer climate patterns in much of the United States.
Stock selection in information technology detracted from relative results. Belden, which manufactures cables and other connectivity products, had a strong 2014 after its acquisition of Tripwire, but recent weakness in its industrial end markets reduced the stock’s appeal to investors. Stock selection in health care also created a drag on relative performance – particularly the Fund’s investment in Halyard Health, a provider of surgical and infection prevention products that faced difficulty in international markets and pricing competitiveness due to the strong U.S. dollar. Finally, the Fund’s underweight stake in financials worked against performance, but stock choices helped mitigate damage. Expectations of an interest rate increase provided a boost to the financials sector throughout the year.
Subadviser outlook
We believe the U.S. economy may benefit from stable growth driven by labor market strength, low inflation, and reduced fiscal challenges in 2016. On balance, our view is that the environment for growth stocks has the potential to remain favorable, but we believe market volatility could potentially increase. Our view is that interest rates may rise but are likely to remain low, and the drop in energy costs could boost spending power for consumers.
54
MML Small Company Value Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Small Company Value Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Home Bancshares, Inc. | | | 2.2 | % |
ProAssurance Corp. | | | 2.0 | % |
East West Bancorp, Inc. | | | 1.8 | % |
West Pharmaceutical Services, Inc. | | | 1.7 | % |
SVB Financial Group | | | 1.5 | % |
Landstar System, Inc. | | | 1.5 | % |
Littelfuse, Inc. | | | 1.4 | % |
PNM Resources, Inc. | | | 1.4 | % |
SYNNEX Corp. | | | 1.4 | % |
Wintrust Financial Corp. | | | 1.1 | % |
| | | | | |
| | | | 16.0 | % |
| | | | | |
| | | | |
MML Small Company Value Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 31.2 | % |
Industrial | | | 19.1 | % |
Consumer, Non-cyclical | | | 13.8 | % |
Consumer, Cyclical | | | 10.0 | % |
Utilities | | | 7.6 | % |
Basic Materials | | | 4.7 | % |
Technology | | | 4.2 | % |
Energy | | | 3.5 | % |
Mutual Funds | | | 3.2 | % |
Communications | | | 2.8 | % |
Diversified | | | 0.7 | % |
| | | | | |
Total Long-Term Investments | | | 100.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | (0.8 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
55
MML Small Company Value Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Small Company Value Fund Class II, Service Class I, the Russell 2000 Value Index, and the Russell 2000 Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 - 12/31/15 | | | Five Year
Average Annual 1/1/11 - 12/31/15 | | | Since
Inception
Average
Annual
2/27/09 -
12/31/15 | |
| Class II | | | -5.36% | | | | 7.33% | | | | 16.09% | |
| Service Class I | | | -5.65% | | | | 7.05% | | | | 15.79% | |
| Russell 2000 Value Index* | | | -7.47% | | | | 7.67% | | | | 16.93% | |
| Russell 2000 Index | | | -4.41% | | | | 9.19% | | | | 18.39% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 2000 Value Index and the Russell 2000 Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
56
MML Small/Mid Cap Value Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Small/Mid Cap Value Fund, and who is the Fund’s subadviser?
The Fund seeks long-term total return by investing primarily in securities that the Fund’s subadviser believes to be undervalued. Under normal circumstances, the Fund invests at least 80% of its net assets in securities of small- and mid-cap companies. The Fund’s subadviser is AllianceBernstein L.P. (AllianceBernstein).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Initial Class Shares returned -5.53%, underperforming the -2.90% return of the Russell 2500TM Index (the “benchmark”), an unmanaged index that measures the performance of the 2,500 smallest companies in the Russell 3000® Index, which measures the performance of the 3,000 largest U.S. companies based on market capitalization. The Fund also trailed the -5.49% return of the Russell 2500 Value Index, an unmanaged index representative of common stocks of small- and mid-capitalization U.S. companies with lower price-to-book ratios and lower forecasted growth rates than securities in the growth universe.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, stock selection in the consumer discretionary and industrials sectors hindered the Fund’s performance. Sector allocation also detracted from performance relative to the benchmark. Underweight positions, relative to the benchmark, in financials – specifically real estate investment trusts ( REITs), health care, and utilities stocks – also hindered performance for the year. Conversely, the Fund benefited from stock selection, particularly within the financials and technology sectors. An underweight position in energy and an overweight stake in the technology sector also contributed.
During 2015, the declining price of oil and sluggishness in the energy sector drove down share prices of exploration & production companies. SM Energy was one Fund holding that underperformed along with other U.S. oil and gas producers due to expectations of continued weakness in oil and gas prices. Fund holding Pier 1 Imports, a home decor retailer, reported disappointing sales and margins, and faced increasing online competition and rising inventory levels. Bloomin’ Brands, an operator of restaurant chains such as Outback Steakhouse and Carrabba’s Italian Grill, was another Fund holding that underperformed. The company reported same-store sales below expectations, fueling fears that revenue growth pressure would offset the company’s efficiency initiatives.
Aiding the Fund’s results for the year was the top-performing Fund holding, StanCorp Financial, a U.S.-based provider of employee insurance and annuity products. StanCorp Financial was acquired at a substantial premium by Japanese company Meiji Yasuda, which was attracted to its strong American franchise. Helen of Troy, a manufacturer of consumer products such as hair dryers and kitchen housewares, was another Fund holding that outperformed. The company delivered strong profit growth, benefiting from the operational turnaround achieved by its new management team. The company successfully shifted toward a more integrated approach in the manufacturing and distribution of its products. In the technology sector, Fund holding Fairchild Semiconductor saw its shares rise following an announcement that ON Semiconductor intended to acquire Fairchild for $20 per share in cash, a premium over the company’s stock price.
Subadviser outlook
We believe the current investment climate is marked by high levels of uncertainty and that investors likely remain concerned about global economic growth. The depressed price of oil, declining Chinese economic indicators, and recent underperformance of high-yield bonds have likely magnified these concerns. In smaller-cap markets, we believe the result has manifested itself in the outperformance of sectors that are perceived to offer some shelter from these factors, such as health care. Further, persistently low interest rates have driven significant demand for bond proxies, such as REITs and utilities. Stocks judged to have sizable exposure to the broader economy – such as technology, industrials, and consumer companies – have lagged in spite of good company-level performance in this challenging climate. As a result, we believe a significant number of stocks in the Fund’s universe may have a potentially powerful combination of attractive value, strong cash flow, and company-level catalysts. We believe the strength of these companies’ cash flows and business models could help them navigate these obstacles, and that their valuations may offer upside potential once macro-economic concerns stabilize.
57
MML Small/Mid Cap Value Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Small/Mid Cap Value Fund
Largest Holdings
(% of Net Assets) on 12/31/15 | |
| | |
Fairchild Semiconductor International, Inc. | | | 1.7 | % |
StanCorp Financial Group, Inc. | | | 1.6 | % |
PNM Resources, Inc. | | | 1.6 | % |
Aspen Insurance Holdings Ltd. | | | 1.6 | % |
Validus Holdings Ltd. | | | 1.6 | % |
Ingredion, Inc. | | | 1.5 | % |
Granite Construction, Inc. | | | 1.5 | % |
CNO Financial Group, Inc. | | | 1.5 | % |
AECOM | | | 1.5 | % |
Gramercy Property Trust, Inc. | | | 1.5 | % |
| | | | | |
| | | | 15.6 | % |
| | | | | |
| | | | |
MML Small/Mid Cap Value Fund
Sector Table
(% of Net Assets) on 12/31/15 | |
| | |
Financial | | | 29.9 | % |
Consumer, Cyclical | | | 17.2 | % |
Industrial | | | 15.0 | % |
Consumer, Non-cyclical | | | 10.2 | % |
Technology | | | 7.5 | % |
Communications | | | 6.0 | % |
Energy | | | 5.4 | % |
Utilities | | | 4.2 | % |
Basic Materials | | | 2.8 | % |
| | | | | |
Total Long-Term Investments | | | 98.2 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.8 | % |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
58
MML Small/Mid Cap Value Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Small/Mid Cap Value Fund Initial Class, the Russell 2500 Index, and the Russell 2500 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/06 -
12/31/15 | |
| Initial Class | | | -5.53% | | | | 9.49% | | | | 4.35% | |
| Russell 2500 Index* | | | -2.90% | | | | 10.32% | | | | 6.61% | |
| Russell 2500 Value Index | | | -5.49% | | | | 9.23% | | | | 5.60% | |
Hypothetical Investments in MML Small/Mid Cap Value Fund Service Class, the Russell 2500 Index, and the Russell 2500 Value Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception
Average
Annual
8/15/08 -
12/31/15 | |
| Service Class | | | -5.74% | | | | 9.23% | | | | 8.27% | |
| Russell 2500 Index* | | | -2.90% | | | | 10.32% | | | | 8.52% | |
| Russell 2500 Value Index | | | -5.49% | | | | 9.23% | | | | 7.69% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
* Benchmark
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Russell 2500 Index and the Russell 2500 Value Index are unmanaged, do not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
59
MML Total Return Bond Fund – Portfolio Manager Report (Unaudited)
What is the investment approach of MML Total Return Bond Fund, and who is the Fund’s subadviser?
The Fund seeks maximum total return, consistent with preservation of capital and prudent investment management, by investing, under normal circumstances, at least 80% of its net assets in a diversified portfolio of investment grade fixed income securities. The Fund’s subadviser is Metropolitan West Asset Management, LLC (MetWest).
How did the Fund perform during the 12 months ended December 31, 2015?
The Fund’s Class II shares returned 0.24%, underperforming the 0.55% return of the Barclays U.S. Aggregate Bond Index (the “benchmark”), an unmanaged index of fixed-rate investment-grade securities with at least one year to maturity, combining the Barclays U.S. Treasury Bond Index, the Barclays U.S. Government-Related Bond Index, the Barclays U.S. Corporate Bond Index, and the Barclays U.S. Securitized Bond Index.
For a discussion on the economic and market environment during the 12-month period ended December 31, 2015, please see the Economic and Market Review, beginning on page 3.
Subadviser discussion of factors that contributed to the Fund’s performance
For the year ended December 31, 2015, the Fund’s emphasis on government-guaranteed student loans within the asset-backed securities (ABS) subsector detracted from relative performance. That subsector was weighed down by investor concerns over potential downgrades by rating agencies to some bonds that could come as a result of new income-based repayment plans. Although principal and interest payments remain guaranteed by the full faith and credit of the U.S. government, uncertainty surrounding the potential downgrade drove prices lower during the year. Additionally, the Fund’s small overweight allocation to high-yield and midstream energy bonds resulted in a drag on performance. High-yield bonds declined and were among the worst performers in the bond universe in 2015, as concerns over liquidity and investors’ search for quality reduced demand for lower-quality investments, particularly toward the end of the year. The midstream sector, which involves the transportation and storage of oil and gas through various mediums, including pipelines, also declined due to the slowdown in global growth and weakness in commodity pricing, despite the backing of the sector by tangible assets.
Meanwhile, the allocation to up-in-quality senior non-agency residential mortgage-backed securities (MBS) benefited returns as prices continued to improve. (Non-agency securities are issued and/or guaranteed by entities other than government agencies.) Solid marketplace fundamentals supported the legacy non-agency residential MBS market throughout most of 2015. In addition, the Fund’s strategic positioning with regard to interest-rate sensitivity added to performance, as Treasury yields were higher year over year.
The Fund utilized Treasury futures to manage interest-rate sensitivity and exposure to bonds of different maturities; there was no material impact to the Fund’s performance as a result. Treasury futures are derivatives that allow investors to leverage the performance of Treasury securities and are often used as a hedge. Most derivatives are used for hedging, speculation, or both.
Subadviser outlook
Our view is that recent heightened volatility in equity markets as well as in individual companies could be indicative of end-of-cycle dynamics and likely warrants a defensive and selective investment strategy. Although economic growth in the U.S. continued in 2015, we believe progress may have moderated, with particular softness in the manufacturing sector. We believe low inflation, geopolitical risks, and the ongoing weakness in global growth, in tandem with the associated decline and weakness in commodities, pose challenges, even as the Federal Reserve recently lifted interest rates for the first time in years.
Our opinion is that continued tighter liquidity conditions could lead to increased volatility and tighter financial conditions, particularly in more reactive sectors, such as the high-yield market recently. As such, Fund positioning remains cautious, with holdings focused on higher-quality, less cyclical companies, and liquidity to capitalize on opportunities as they occur.
60
MML Total Return Bond Fund – Portfolio Manager Report (Unaudited) (Continued)
| | | | |
MML Total Return Bond Fund
Portfolio Characteristics
(% of Net Assets) on 12/31/15 | |
| | |
U.S. Treasury Obligations | | | 28.3 | % |
U.S. Government Agency Obligations and Instrumentalities | | | 27.9 | % |
Corporate Debt | | | 24.2 | % |
Non-U.S. Government Agency Obligations | | | 21.2 | % |
Municipal Obligations | | | 1.0 | % |
Bank Loans | | | 0.2 | % |
| | | | | |
Total Long-Term Investments | | | 102.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | (2.8 | )% |
| | | | | |
Net Assets | | | 100.0 | % |
| | | | | |
61
MML Total Return Bond Fund – Portfolio Manager Report (Unaudited) (Continued)
Growth of a $10,000 Investment
Hypothetical Investments in MML Total Return Bond Fund Class II and the Barclays U.S. Aggregate Bond Index.
| | | | | | | | | | | | |
| | | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Five Year
Average
Annual
1/1/11 -
12/31/15 | | | Since
Inception Average Annual
8/10/10 -
12/31/15 | |
| Class II | | | 0.24% | | | | 2.88% | | | | 2.70% | |
| Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 3.25% | | | | 2.97% | |
Hypothetical Investments in MML Total Return Bond Fund Service Class I and the Barclays U.S. Aggregate Bond Index.
| | | | | | | | |
| | | |
| TOTAL RETURN | | One Year
1/1/15 -
12/31/15 | | | Since
Inception
Average
Annual
5/1/12 -
12/31/15 | |
| Service Class I | | | -0.05% | | | | 1.99% | |
| Barclays U.S. Aggregate Bond Index | | | 0.55% | | | | 1.93% | |
GROWTH OF $10,000 INVESTMENT SINCE INCEPTION
Performance data quoted represents past performance; past performance is not predictive of future results. The investment return and principal value of shares of the Fund will fluctuate with market conditions so that shares of the Fund, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by accessing the website www.massmutual.com.
Investors should note that the Fund is a professionally managed mutual fund, while the Barclays U.S. Aggregate Bond Index is unmanaged, does not incur expenses, and cannot be purchased directly by investors. Investors should read the Fund’s prospectus with regard to the Fund’s investment objective, risks, and charges and expenses in conjunction with these financial statements. The Fund’s return reflects changes in the net asset value per share without the deduction of any product charges (e.g., cost of insurance, mortality and expense risk charges, administrative fees, and CDSL). The inclusion of these charges would have reduced the performance shown here.
62
MML Blue Chip Growth Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 100.0% | | | | | |
| |
| COMMON STOCK — 100.0% | | | | | |
| Basic Materials — 1.2% | | | | | | | | |
| Chemicals — 1.2% | | | | | | | | |
Ashland, Inc. | | | 10,300 | | | $ | 1,057,810 | |
Ecolab, Inc. | | | 18,000 | | | | 2,058,840 | |
PPG Industries, Inc. | | | 300 | | | | 29,646 | |
The Sherwin-Williams Co. | | | 8,000 | | | | 2,076,800 | |
| | | | | | | | |
| | | | | | | 5,223,096 | |
| | | | | | | | |
| Communications — 28.0% | | | | | | | | |
| Internet — 27.0% | |
Akamai Technologies, Inc. (a) | | | 6,200 | | | | 326,306 | |
Alibaba Group Holding Ltd. Sponsored ADR (Cayman Islands) (a) | | | 71,246 | | | | 5,790,162 | |
Alphabet, Inc. Class A (a) | | | 14,600 | | | | 11,358,946 | |
Alphabet, Inc. Class C (a) | | | 24,156 | | | | 18,331,505 | |
Amazon.com, Inc. (a) | | | 47,900 | | | | 32,375,131 | |
Baidu, Inc. Sponsored ADR (Cayman Islands) (a) | | | 15,100 | | | | 2,854,504 | |
Ctrip.com International Ltd. ADR (Cayman Islands) (a) | | | 45,000 | | | | 2,084,850 | |
Facebook, Inc. Class A (a) | | | 145,076 | | | | 15,183,654 | |
JD.com, Inc. ADR (Cayman Islands) (a) | | | 15,200 | | | | 490,428 | |
LinkedIn Corp. Class A (a) | | | 13,700 | | | | 3,083,596 | |
Netflix, Inc. (a) | | | 45,800 | | | | 5,238,604 | |
The Priceline Group, Inc. (a) | | | 10,930 | | | | 13,935,204 | |
Tencent Holdings Ltd. | | | 270,500 | | | | 5,283,848 | |
| | | | | | | | |
| | | | | | | 116,336,738 | |
| | | | | | | | |
| Media — 0.9% | |
Time Warner, Inc. | | | 500 | | | | 32,335 | |
The Walt Disney Co. | | | 37,800 | | | | 3,972,024 | |
| | | | | | | | |
| | | | | | | 4,004,359 | |
| | | | | | | | |
| Telecommunications — 0.1% | |
T-Mobile US, Inc. (a) | | | 4,700 | | | | 183,864 | |
| | | | | | | | |
| | | | | | | 120,524,961 | |
| | | | | | | | |
| Consumer, Cyclical — 16.2% | |
| Airlines — 1.7% | |
Alaska Air Group, Inc. | | | 18,900 | | | | 1,521,639 | |
American Airlines Group, Inc. | | | 132,700 | | | | 5,619,845 | |
Delta Air Lines, Inc. | | | 2,900 | | | | 147,001 | |
| | | | | | | | |
| | | | | | | 7,288,485 | |
| | | | | | | | |
| Apparel — 1.7% | |
Hanesbrands, Inc. | | | 102,600 | | | | 3,019,518 | |
Nike, Inc. Class B | | | 63,480 | | | | 3,967,500 | |
VF Corp. | | | 3,700 | | | | 230,325 | |
| | | | | | | | |
| | | | | | | 7,217,343 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Auto Manufacturers — 0.4% | | | | | | | | |
Ferrari NV (a) | | | 1,800 | | | $ | 86,400 | |
Tesla Motors, Inc. (a) | | | 7,290 | | | | 1,749,673 | |
| | | | | | | | |
| | | | | | | 1,836,073 | |
| | | | | | | | |
| Automotive & Parts — 0.2% | | | | | | | | |
BorgWarner, Inc. | | | 2,500 | | | | 108,075 | |
Delphi Automotive PLC | | | 9,500 | | | | 814,435 | |
| | | | | | | | |
| | | | | | | 922,510 | |
| | | | | | | | |
| Leisure Time — 1.3% | | | | | | | | |
Carnival Corp. | | | 4,600 | | | | 250,608 | |
Norwegian Cruise Line Holdings Ltd. (a) | | | 43,700 | | | | 2,560,820 | |
Royal Caribbean Cruises Ltd. | | | 28,300 | | | | 2,864,243 | |
| | | | | | | | |
| | | | | | | 5,675,671 | |
| | | | | | | | |
| Lodging — 1.2% | | | | | | | | |
Hilton Worldwide Holdings, Inc. | | | 97,828 | | | | 2,093,519 | |
Las Vegas Sands Corp. | | | 1,200 | | | | 52,608 | |
Marriott International, Inc. Class A | | | 17,587 | | | | 1,179,033 | |
MGM Resorts International (a) | | | 81,800 | | | | 1,858,496 | |
| | | | | | | | |
| | | | | | | 5,183,656 | |
| | | | | | | | |
| Retail — 9.7% | | | | | | | | |
AutoZone, Inc. (a) | | | 3,500 | | | | 2,596,685 | |
CarMax, Inc. (a) | | | 6,300 | | | | 340,011 | |
Chipotle Mexican Grill, Inc. (a) | | | 2,000 | | | | 959,700 | |
Costco Wholesale Corp. | | | 6,900 | | | | 1,114,350 | |
CVS Health Corp. | | | 32,000 | | | | 3,128,640 | |
The Home Depot, Inc. | | | 40,600 | | | | 5,369,350 | |
L Brands, Inc. | | | 14,000 | | | | 1,341,480 | |
Lowe’s Cos., Inc. | | | 83,100 | | | | 6,318,924 | |
O’Reilly Automotive, Inc. (a) | | | 20,100 | | | | 5,093,742 | |
PVH Corp. | | | 400 | | | | 29,460 | |
Ross Stores, Inc. | | | 51,200 | | | | 2,755,072 | |
Starbucks Corp. | | | 98,000 | | | | 5,882,940 | |
Tractor Supply Co. | | | 33,700 | | | | 2,881,350 | |
Walgreens Boots Alliance, Inc. | | | 47,800 | | | | 4,070,409 | |
| | | | | | | | |
| | | | | | | 41,882,113 | |
| | | | | | | | |
| | | | | | | 70,005,851 | |
| | | | | | | | |
| Consumer, Non-cyclical — 29.2% | | | | | | | | |
| Beverages — 0.4% | | | | | | | | |
Constellation Brands, Inc. Class A | | | 10,800 | | | | 1,538,352 | |
Molson Coors Brewing Co. Class B | | | 900 | | | | 84,528 | |
Monster Beverage Corp. (a) | | | 2,300 | | | | 342,608 | |
| | | | | | | | |
| | | | | | | 1,965,488 | |
| | | | | | | | |
| Biotechnology — 9.7% | | | | | | | | |
Alexion Pharmaceuticals, Inc. (a) | | | 58,100 | | | | 11,082,575 | |
Amgen, Inc. | | | 1,300 | | | | 211,029 | |
Biogen, Inc. (a) | | | 14,000 | | | | 4,288,900 | |
Celgene Corp. (a) | | | 73,700 | | | | 8,826,312 | |
Gilead Sciences, Inc. | | | 72,900 | | | | 7,376,751 | |
The accompanying notes are an integral part of the financial statements.
63
MML Blue Chip Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Incyte Corp. (a) | | | 5,500 | | | $ | 596,475 | |
Regeneron Pharmaceuticals, Inc. (a) | | | 9,500 | | | | 5,157,265 | |
Vertex Pharmaceuticals, Inc. (a) | | | 33,800 | | | | 4,253,054 | |
| | | | | | | | |
| | | | | | | 41,792,361 | |
| | | | | | | | |
| Commercial Services — 5.2% | | | | | | | | |
McKesson Corp. | | | 48,300 | | | | 9,526,209 | |
PayPal Holdings, Inc. (a) | | | 14,000 | | | | 506,800 | |
Visa, Inc. Class A | | | 160,520 | | | | 12,448,326 | |
| | | | | | | | |
| | | | | | | 22,481,335 | |
| | | | | | | | |
| Cosmetics & Personal Care — 0.2% | |
The Estee Lauder Cos., Inc. Class A | | | 8,000 | | | | 704,480 | |
| | | | | | | | |
| Foods — 0.0% | | | | | | | | |
The Kroger Co. | | | 1,000 | | | | 41,830 | |
| | | | | | | | |
| Health Care – Products — 2.5% | | | | | | | | |
Becton, Dickinson & Co. | | | 22,600 | | | | 3,482,434 | |
Henry Schein, Inc. (a) | | | 4,100 | | | | 648,579 | |
Hologic, Inc. (a) | | | 11,100 | | | | 429,459 | |
Intuitive Surgical, Inc. (a) | | | 5,800 | | | | 3,167,728 | |
Medtronic PLC | | | 15,727 | | | | 1,209,721 | |
Stryker Corp. | | | 18,130 | | | | 1,685,002 | |
| | | | | | | | |
| | | | | | | 10,622,923 | |
| | | | | | | | |
| Health Care – Services — 4.4% | | | | | | | | |
Aetna, Inc. | | | 18,400 | | | | 1,989,408 | |
Anthem, Inc. | | | 26,700 | | | | 3,723,048 | |
Cigna Corp. | | | 400 | | | | 58,532 | |
Humana, Inc. | | | 4,200 | | | | 749,742 | |
Thermo Fisher Scientific, Inc. | | | 43,500 | | | | 6,170,475 | |
UnitedHealth Group, Inc. | | | 53,400 | | | | 6,281,976 | |
| | | | | | | | |
| | | | | | | 18,973,181 | |
| | | | | | | | |
| Pharmaceuticals — 6.8% | | | | | | | | |
AbbVie, Inc. | | | 1,700 | | | | 100,708 | |
Allergan PLC (a) | | | 35,354 | | | | 11,048,125 | |
AmerisourceBergen Corp. | | | 16,400 | | | | 1,700,844 | |
Baxalta, Inc. | | | 4,900 | | | | 191,247 | |
Bristol-Myers Squibb Co. | | | 70,600 | | | | 4,856,574 | |
Cardinal Health, Inc. | | | 34,100 | | | | 3,044,107 | |
Eli Lilly & Co. | | | 44,700 | | | | 3,766,422 | |
Perrigo Co. PLC | | | 300 | | | | 43,410 | |
Shire PLC Sponsored ADR (Ireland) | | | 2,000 | | | | 410,000 | |
Valeant Pharmaceuticals International, Inc. (a) | | | 37,000 | | | | 3,761,050 | |
Zoetis, Inc. | | | 6,200 | | | | 297,104 | |
| | | | | | | | |
| | | | | | | 29,219,591 | |
| | | | | | | | |
| | | | | | | 125,801,189 | |
| | | | | | | | |
| Energy — 0.2% | | | | | | | | |
| Oil & Gas — 0.2% | | | | | | | | |
Cimarex Energy Co. | | | 4,700 | | | | 420,086 | |
Concho Resources, Inc. (a) | | | 2,900 | | | | 269,294 | |
Pioneer Natural Resources Co. | | | 2,700 | | | | 338,526 | |
| | | | | | | | |
| | | | | | | 1,027,906 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Financial — 8.8% | | | | | | | | |
| Banks — 0.8% | | | | | | | | |
The Bank of New York Mellon Corp. | | | 19,500 | | | $ | 803,790 | |
Northern Trust Corp. | | | 6,200 | | | | 446,958 | |
State Street Corp. | | | 30,500 | | | | 2,023,980 | |
| | | | | | | | |
| | | | | | | 3,274,728 | |
| | | | | | | | |
| Diversified Financial — 6.1% | | | | | | | | |
Ameriprise Financial, Inc. | | | 15,700 | | | | 1,670,794 | |
Citigroup, Inc. | | | 7,000 | | | | 362,250 | |
Intercontinental Exchange, Inc. | | | 17,400 | | | | 4,458,924 | |
MasterCard, Inc. Class A | | | 115,500 | | | | 11,245,080 | |
Morgan Stanley | | | 147,000 | | | | 4,676,070 | |
TD Ameritrade Holding Corp. | | | 105,500 | | | | 3,661,905 | |
| | | | | | | | |
| | | | | | | 26,075,023 | |
| | | | | | | | |
| Insurance — 0.3% | | | | | | | | |
Marsh & McLennan Cos., Inc. | | | 26,600 | | | | 1,474,970 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 1.6% | |
American Tower Corp. | | | 70,770 | | | | 6,861,151 | |
| | | | | | | | |
| | | | | | | 37,685,872 | |
| | | | | | | | |
| Industrial — 8.0% | | | | | | | | |
| Aerospace & Defense — 1.8% | | | | | | | | |
The Boeing Co. | | | 47,000 | | | | 6,795,730 | |
Lockheed Martin Corp. | | | 2,400 | | | | 521,160 | |
Northrop Grumman Corp. | | | 400 | | | | 75,524 | |
Rockwell Collins, Inc. | | | 1,900 | | | | 175,370 | |
| | | | | | | | |
| | | | | | | 7,567,784 | |
| | | | | | | | |
| Airlines — 0.5% | | | | | | | | |
United Continental Holdings, Inc. (a) | | | 39,200 | | | | 2,246,160 | |
| | | | | | | | |
| Machinery – Diversified — 1.1% | | | | | | | | |
Flowserve Corp. | | | 2,100 | | | | 88,368 | |
Roper Technologies, Inc. | | | 16,000 | | | | 3,036,640 | |
Wabtec Corp. | | | 20,300 | | | | 1,443,736 | |
| | | | | | | | |
| | | | | | | 4,568,744 | |
| | | | | | | | |
| Manufacturing — 3.3% | | | | | | | | |
Danaher Corp. | | | 143,560 | | | | 13,333,853 | |
Textron, Inc. | | | 24,600 | | | | 1,033,446 | |
| | | | | | | | |
| | | | | | | 14,367,299 | |
| | | | | | | | |
| Transportation — 1.3% | | | | | |
Canadian Pacific Railway Ltd. | | | 14,900 | | | | 1,901,240 | |
FedEx Corp. | | | 18,300 | | | | 2,726,517 | |
J.B. Hunt Transport Services, Inc. | | | 12,000 | | | | 880,320 | |
Union Pacific Corp. | | | 3,600 | | | | 281,520 | |
| | | | | | | | |
| | | | | | | 5,789,597 | |
| | | | | | | | |
| | | | | | | 34,539,584 | |
| | | | | | | | |
| Technology — 8.4% | |
| Computers — 1.7% | |
Apple, Inc. | | | 56,940 | | | | 5,993,505 | |
Cognizant Technology Solutions Corp. Class A (a) | | | 12,300 | | | | 738,246 | |
The accompanying notes are an integral part of the financial statements.
64
MML Blue Chip Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
IHS, Inc. Class A (a) | | | 4,600 | | | $ | 544,778 | |
| | | | | | | | |
| | | | | | | 7,276,529 | |
| | | | | | | | |
| Semiconductors — 0.0% | | | | | |
Avago Technologies Ltd. | | | 600 | | | | 87,090 | |
| | | | | | | | |
| Software — 6.7% | | | | | | | | |
Electronic Arts, Inc. (a) | | | 19,600 | | | | 1,346,912 | |
First Data Corp. Class A (a) | | | 19,500 | | | | 312,390 | |
Fiserv, Inc. (a) | | | 41,840 | | | | 3,826,686 | |
Microsoft Corp. | | | 204,500 | | | | 11,345,660 | |
Red Hat, Inc. (a) | | | 33,648 | | | | 2,786,391 | |
Salesforce.com, Inc. (a) | | | 86,600 | | | | 6,789,440 | |
Servicenow, Inc. (a) | | | 29,400 | | | | 2,544,864 | |
| | | | | | | | |
| | | | | | | 28,952,343 | |
| | | | | | | | |
| | | | | | | 36,315,962 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $285,739,858) | | | | | | | 431,124,421 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $285,739,858) | | | | | | | 431,124,421 | |
| | | | | | | | |
| |
| MUTUAL FUNDS — 0.0% | | | | | |
| Diversified Financial — 0.0% | | | | | |
T. Rowe Price Reserve Investment Fund | | | 1,002 | | | | 1,002 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $1,002) | | | | | | | 1,002 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $285,740,860) | | | | | | | 431,125,423 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 0.2% | |
| Repurchase Agreement — 0.2% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 886,244 | | | | 886,244 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $886,244) | | | | | | | 886,244 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.2%
(Cost $286,627,104) (c) | | | | | | | 432,011,667 | |
| | |
| Other Assets/(Liabilities) — (0.2)% | | | | | | | (871,558 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 431,140,109 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Maturity value of $886,245. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $906,565. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
65
MML Equity Income Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 98.2% | |
|
| COMMON STOCK — 98.2% | |
| Basic Materials — 4.9% | |
| Chemicals — 1.4% | |
E.I. du Pont de Nemours & Co. | | | 101,000 | | | $ | 6,726,601 | |
| | | | | | | | |
| Forest Products & Paper — 1.6% | |
International Paper Co. | | | 138,100 | | | | 5,206,370 | |
Rayonier, Inc. | | | 103,600 | | | | 2,299,920 | |
| | | | | | | | |
| | | | | | | 7,506,290 | |
| | | | | | | | |
| Iron & Steel — 1.0% | |
Nucor Corp. | | | 111,700 | | | | 4,501,510 | |
| | | | | | | | |
| Mining — 0.9% | |
Vulcan Materials Co. | | | 45,700 | | | | 4,340,129 | |
| | | | | | | | |
| | | | | | | 23,074,530 | |
| | | | | | | | |
| Communications — 10.2% | | | | | | | | |
| Media — 3.5% | | | | | | | | |
Comcast Corp. Class A | | | 67,900 | | | | 3,831,597 | |
News Corp. Class A | | | 177,900 | | | | 2,376,744 | |
Time Warner, Inc. | | | 14,433 | | | | 933,382 | |
Twenty-First Century Fox Class A | | | 119,600 | | | | 3,248,336 | |
Twenty-First Century Fox, Inc. Class B | | | 84,900 | | | | 2,311,827 | |
Viacom, Inc. Class B | | | 18,500 | | | | 761,460 | |
The Walt Disney Co. | | | 29,600 | | | | 3,110,368 | |
| | | | | | | | |
| | | | | | | 16,573,714 | |
| | | | | | | | |
| Telecommunications — 6.7% | | | | | | | | |
AT&T, Inc. | | | 40,600 | | | | 1,397,046 | |
CenturyLink, Inc. | | | 87,805 | | | | 2,209,174 | |
Cisco Systems, Inc. | | | 204,600 | | | | 5,555,913 | |
Harris Corp. | | | 68,400 | | | | 5,943,960 | |
QUALCOMM, Inc. | | | 110,700 | | | | 5,533,339 | |
Telefonica SA | | | 196,932 | | | | 2,173,666 | |
Verizon Communications, Inc. | | | 162,435 | | | | 7,507,746 | |
Vodafone Group PLC | | | 376,189 | | | | 1,216,793 | |
| | | | | | | | |
| | | | | | | 31,537,637 | |
| | | | | | | | |
| | | | | | | 48,111,351 | |
| | | | | | | | |
| Consumer, Cyclical — 7.6% | | | | | | | | |
| Airlines — 0.2% | | | | | | | | |
Southwest Airlines Co. | | | 28,300 | | | | 1,218,598 | |
| | | | | | | | |
| Auto Manufacturers — 0.9% | |
Ford Motor Co. | | | 48,000 | | | | 676,320 | |
General Motors Co. | | | 102,549 | | | | 3,487,691 | |
| | | | | | | | |
| | | | | | | 4,164,011 | |
| | | | | | | | |
| Automotive & Parts — 0.8% | |
Johnson Controls, Inc. | | | 92,300 | | | | 3,644,927 | |
| | | | | | | | |
| Distribution & Wholesale — 0.0% | |
Genuine Parts Co. | | | 2,600 | | | | 223,314 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Leisure Time — 0.9% | |
Carnival Corp. | | | 80,900 | | | $ | 4,407,432 | |
| | | | | | | | |
| Lodging — 0.8% | |
Las Vegas Sands Corp. | | | 82,300 | | | | 3,608,032 | |
| | | | | | | | |
| Retail — 2.6% | |
Kohl’s Corp. | | | 97,800 | | | | 4,658,214 | |
Macy’s, Inc. | | | 74,400 | | | | 2,602,512 | |
Staples, Inc. | | | 125,500 | | | | 1,188,485 | |
Wal-Mart Stores, Inc. | | | 60,300 | | | | 3,696,390 | |
| | | | | | | | |
| | | | | | | 12,145,601 | |
| | | | | | | | |
| Toys, Games & Hobbies — 1.4% | |
Mattel, Inc. | | | 236,500 | | | | 6,425,705 | |
| | | | | | | | |
| | | | | | | 35,837,620 | |
| | | | | | | | |
| Consumer, Non-cyclical — 12.5% | |
| Agriculture — 1.1% | |
Archer-Daniels-Midland Co. | | | 135,900 | | | | 4,984,812 | |
| | | | | | | | |
| Beverages — 1.0% | |
PepsiCo, Inc. | | | 48,200 | | | | 4,816,144 | |
| | | | | | | | |
| Biotechnology — 0.5% | |
Gilead Sciences, Inc. | | | 25,900 | | | | 2,620,821 | |
| | | | | | | | |
| Cosmetics & Personal Care — 0.2% | |
Avon Products, Inc. | | | 222,700 | | | | 901,935 | |
| | | | | | | | |
| Foods — 0.8% | |
Kellogg Co. | | | 36,600 | | | | 2,645,082 | |
McCormick & Co., Inc. | | | 11,300 | | | | 966,828 | |
| | | | | | | | |
| | | | | | | 3,611,910 | |
| | | | | | | | |
| Health Care – Products — 2.4% | |
Becton, Dickinson & Co. | | | 7,300 | | | | 1,124,857 | |
Johnson & Johnson | | | 98,900 | | | | 10,159,008 | |
| | | | | | | | |
| | | | | | | 11,283,865 | |
| | | | | | | | |
| Health Care – Services — 1.0% | |
Anthem, Inc. | | | 35,600 | | | | 4,964,064 | |
| | | | | | | | |
| Pharmaceuticals — 5.5% | |
Bristol-Myers Squibb Co. | | | 96,300 | | | | 6,624,477 | |
GlaxoSmithKline PLC | | | 165,599 | | | | 3,344,768 | |
Merck & Co., Inc. | | | 119,500 | | | | 6,311,990 | |
Pfizer, Inc. | | | 304,654 | | | | 9,834,231 | |
| | | | | | | | |
| | | | | | | 26,115,466 | |
| | | | | | | | |
| | | | | | | 59,299,017 | |
| | | | | | | | |
| Energy — 10.8% | |
| Oil & Gas — 10.1% | |
Anadarko Petroleum Corp. | | | 44,700 | | | | 2,171,526 | |
Apache Corp. | | | 158,600 | | | | 7,052,942 | |
Canadian Natural Resources Ltd. | | | 165,900 | | | | 3,621,597 | |
Chevron Corp. | | | 72,900 | | | | 6,558,084 | |
Exxon Mobil Corp. | | | 143,400 | | | | 11,178,030 | |
Hess Corp. | | | 106,600 | | | | 5,167,968 | |
The accompanying notes are an integral part of the financial statements.
66
MML Equity Income Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Occidental Petroleum Corp. | | | 54,400 | | | $ | 3,677,984 | |
Royal Dutch Shell PLC A Shares Sponsored ADR (United Kingdom) | | | 142,300 | | | | 6,515,917 | |
Total SA | | | 39,029 | | | | 1,738,189 | |
| | | | | | | | |
| | | | | | | 47,682,237 | |
| | | | | | | | |
| Pipelines — 0.7% | |
Columbia Pipeline Group, Inc. | | | 172,400 | | | | 3,448,000 | |
| | | | | | | | |
| | | | | | | 51,130,237 | |
| | | | | | | | |
| Financial — 24.7% | |
| Banks — 9.0% | |
Bank of America Corp. | | | 497,877 | | | | 8,379,270 | |
The Bank of New York Mellon Corp. | | | 102,900 | | | | 4,241,538 | |
Fifth Third Bancorp | | | 135,100 | | | | 2,715,510 | |
Northern Trust Corp. | | | 91,300 | | | | 6,581,817 | |
PNC Financial Services Group, Inc. | | | 41,500 | | | | 3,955,365 | |
Royal Bank of Scotland Group PLC (a) | | | 698,924 | | | | 3,092,167 | |
State Street Corp. | | | 73,700 | | | | 4,890,732 | |
U.S. Bancorp | | | 56,500 | | | | 2,410,855 | |
Wells Fargo & Co. | | | 111,600 | | | | 6,066,576 | |
| | | | | | | | |
| | | | | | | 42,333,830 | |
| | | | | | | | |
| Diversified Financial — 8.2% | |
American Express Co. | | | 84,300 | | | | 5,863,065 | |
Ameriprise Financial, Inc. | | | 37,400 | | | | 3,980,108 | |
Citigroup, Inc. | | | 105,800 | | | | 5,475,150 | |
JP Morgan Chase & Co. | | | 244,000 | | | | 16,111,320 | |
Morgan Stanley | | | 207,800 | | | | 6,610,118 | |
Och-Ziff Capital Management Group LLC | | | 128,100 | | | | 798,063 | |
| | | | | | | | |
| | | | | | | 38,837,824 | |
| | | | | | | | |
| Insurance — 6.0% | |
The Chubb Corp. | | | 25,600 | | | | 3,395,584 | |
Loews Corp. | | | 155,600 | | | | 5,975,040 | |
Marsh & McLennan Cos., Inc. | | | 115,600 | | | | 6,410,020 | |
MetLife, Inc. | | | 160,800 | | | | 7,752,168 | |
Sun Life Financial, Inc. | | | 68,900 | | | | 2,149,680 | |
Willis Group Holdings PLC | | | 24,400 | | | | 1,185,108 | |
XL Group PLC | | | 36,900 | | | | 1,445,742 | |
| | | | | | | | |
| | | | | | | 28,313,342 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 1.5% | |
Digital Realty Trust, Inc. | | | 34,600 | | | | 2,616,452 | |
The Macerich Co. | | | 6,300 | | | | 508,347 | |
Weyerhaeuser Co. | | | 135,342 | | | | 4,057,553 | |
| | | | | | | | |
| | | | | | | 7,182,352 | |
| | | | | | | | |
| | | | | | | 116,667,348 | |
| | | | | | | | |
| Industrial — 12.9% | |
| Aerospace & Defense — 2.2% | |
The Boeing Co. | | | 66,300 | | | | 9,586,317 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
United Technologies Corp. | | | 9,900 | | | $ | 951,093 | |
| | | | | | | | |
| | | | | | | 10,537,410 | |
| | | | | | | | |
| Electrical Components & Equipment — 1.1% | |
Emerson Electric Co. | | | 112,900 | | | | 5,400,007 | |
| | | | | | | | |
| Electronics — 0.9% | |
TE Connectivity Ltd. | | | 16,000 | | | | 1,033,760 | |
Tyco International PLC | | | 100,400 | | | | 3,201,756 | |
| | | | | | | | |
| | | | | | | 4,235,516 | |
| | | | | | | | |
| Machinery – Diversified — 1.2% | |
Cummins, Inc. | | | 16,100 | | | | 1,416,961 | |
Deere & Co. | | | 55,500 | | | | 4,232,985 | |
| | | | | | | | |
| | | | | | | 5,649,946 | |
| | | | | | | | |
| Manufacturing — 5.5% | |
Eaton Corp. PLC | | | 2,684 | | | | 139,676 | |
General Electric Co. | | | 530,600 | | | | 16,528,190 | |
Illinois Tool Works, Inc. | | | 59,100 | | | | 5,477,388 | |
Pentair PLC | | | 77,300 | | | | 3,828,669 | |
| | | | | | | | |
| | | | | | | 25,973,923 | |
| | | | | | | | |
| Packaging & Containers — 0.2% | |
WestRock Co. | | | 16,594 | | | | 757,018 | |
| | | | | | | | |
| Transportation — 1.8% | |
Canadian Pacific Railway Ltd. | | | 9,400 | | | | 1,199,440 | |
Union Pacific Corp. | | | 30,200 | | | | 2,361,640 | |
United Parcel Service, Inc. Class B | | | 52,000 | | | | 5,003,960 | |
| | | | | | | | |
| | | | | | | 8,565,040 | |
| | | | | | | | |
| | | | | | | 61,118,860 | |
| | | | | | | | |
| Technology — 6.9% | |
| Computers — 1.1% | |
EMC Corp. | | | 140,700 | | | | 3,613,176 | |
International Business Machines Corp. | | | 4,000 | | | | 550,480 | |
Western Digital Corp. | | | 18,300 | | | | 1,098,915 | |
| | | | | | | | |
| | | | | | | 5,262,571 | |
| | | | | | | | |
| Semiconductors — 3.1% | |
Analog Devices, Inc. | | | 66,300 | | | | 3,667,716 | |
Applied Materials, Inc. | | | 324,800 | | | | 6,064,016 | |
Texas Instruments, Inc. | | | 86,900 | | | | 4,762,989 | |
| | | | | | | | |
| | | | | | | 14,494,721 | |
| | | | | | | | |
| Software — 2.7% | |
CA, Inc. | | | 70,900 | | | | 2,024,904 | |
Microsoft Corp. | | | 195,000 | | | | 10,818,600 | |
| | | | | | | | |
| | | | | | | 12,843,504 | |
| | | | | | | | |
| | | | | | | 32,600,796 | |
| | | | | | | | |
| Utilities — 7.7% | |
| Electric — 6.7% | |
The AES Corp. | | | 408,400 | | | | 3,908,388 | |
Duke Energy Corp. | | | 35,833 | | | | 2,558,118 | |
Edison International | | | 55,700 | | | | 3,297,997 | |
The accompanying notes are an integral part of the financial statements.
67
MML Equity Income Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Entergy Corp. | | | 82,200 | | | $ | 5,619,192 | |
Exelon Corp. | | | 42,200 | | | | 1,171,894 | |
FirstEnergy Corp. | | | 177,900 | | | | 5,644,767 | |
PG&E Corp. | | | 85,000 | | | | 4,521,150 | |
Xcel Energy, Inc. | | | 140,500 | | | | 5,045,355 | |
| | | | | | | | |
| | | | | | | 31,766,861 | |
| | | | | | | | |
| Gas — 1.0% | |
NiSource, Inc. | | | 233,500 | | | | 4,555,585 | |
| | | | | | | | |
| | | | | | | 36,322,446 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $391,890,447) | | | | | | | 464,162,205 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $391,890,447) | | | | | | | 464,162,205 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| BONDS & NOTES — 0.0% | |
|
| CORPORATE DEBT — 0.0% | |
| Pharmaceuticals — 0.0% | |
Valeant Pharmaceuticals International, Inc.
(Acquired 11/18/15,
Cost $165,765) (b) (c)
5.875% 5/15/23 | | $ | 202,000 | | | | 180,285 | |
| | | | | | | | |
| | |
TOTAL CORPORATE DEBT
(Cost $165,765) | | | | | | | 180,285 | |
| | | | | | | | |
| | |
TOTAL BONDS & NOTES
(Cost $165,765) | | | | | | | 180,285 | |
| | | | | | | | |
| | |
| | | Number of
Shares | | | | |
| MUTUAL FUNDS — 0.0% | |
| Diversified Financial — 0.0% | |
T. Rowe Price Reserve Investment Fund | | | 1,147 | | | | 1,147 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $1,147) | | | | | | | 1,147 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $392,057,359) | | | | | | | 464,343,637 | |
| | | | | | | | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| SHORT-TERM INVESTMENTS — 1.8% | |
| Repurchase Agreement — 1.8% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (d) | | $ | 8,266,498 | | | $ | 8,266,498 | |
| | | | | | | | |
| Time Deposits — 0.0% | |
Euro Time Deposit
0.010% 1/04/16 | | | 49,852 | | | | 49,852 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $8,316,350) | | | | | | | 8,316,350 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.0%
(Cost $400,373,709) (e) | | | | | | | 472,659,987 | |
| | |
| Other Assets/(Liabilities) — 0.0% | | | | | | | (99,232 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 472,560,755 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Securities 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 December 31, 2015, these securities amounted to a value of $180,285 or 0.04% of net assets. |
| (c) | Restricted security. Certain securities are restricted as to resale. At December 31, 2015, these securities amounted to a value of $180,285 or 0.04% of net assets. The Fund generally bears the costs, if any, associated with the disposition of restricted securities. |
| (d) | Maturity value of $8,266,507. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $8,433,502. |
| (e) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
68
MML Equity Index Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 99.4% | |
|
| COMMON STOCK — 99.4% | |
| Basic Materials — 2.5% | |
| Chemicals — 2.1% | |
Air Products & Chemicals, Inc. | | | 4,859 | | | $ | 632,205 | |
Airgas, Inc. | | | 1,624 | | | | 224,632 | |
CF Industries Holdings, Inc. | | | 5,795 | | | | 236,494 | |
The Dow Chemical Co. | | | 28,163 | | | | 1,449,831 | |
E.I. du Pont de Nemours & Co. | | | 21,947 | | | | 1,461,670 | |
Eastman Chemical Co. | | | 3,689 | | | | 249,044 | |
Ecolab, Inc. | | | 6,666 | | | | 762,457 | |
FMC Corp. | | | 3,300 | | | | 129,129 | |
International Flavors & Fragrances, Inc. | | | 2,026 | | | | 242,391 | |
LyondellBasell Industries NV Class A | | | 9,008 | | | | 782,795 | |
Monsanto Co. | | | 11,016 | | | | 1,085,296 | |
The Mosaic Co. | | | 8,383 | | | | 231,287 | |
PPG Industries, Inc. | | | 6,731 | | | | 665,157 | |
Praxair, Inc. | | | 7,114 | | | | 728,474 | |
The Sherwin-Williams Co. | | | 1,990 | | | | 516,604 | |
| | | | | | | | |
| | | | | | | 9,397,466 | |
| | | | | | | | |
| Forest Products & Paper — 0.1% | |
International Paper Co. | | | 10,364 | | | | 390,723 | |
| | | | | | | | |
| Iron & Steel — 0.1% | |
Nucor Corp. | | | 7,952 | | | | 320,466 | |
| | | | | | | | |
| Mining — 0.2% | |
Alcoa, Inc. | | | 32,585 | | | | 321,614 | |
Freeport-McMoRan, Inc. | | | 29,057 | | | | 196,716 | |
Newmont Mining Corp. | | | 13,167 | | | | 236,874 | |
Vulcan Materials Co. | | | 3,359 | | | | 319,004 | |
| | | | | | | | |
| | | | | | | 1,074,208 | |
| | | | | | | | |
| | | | | | | 11,182,863 | |
| | | | | | | | |
| Communications — 13.8% | |
| Advertising — 0.2% | |
The Interpublic Group of Companies, Inc. | | | 10,224 | | | | 238,015 | |
Nielsen Holdings PLC | | | 9,114 | | | | 424,712 | |
Omnicom Group, Inc. | | | 6,051 | | | | 457,819 | |
| | | | | | | | |
| | | | | | | 1,120,546 | |
| | | | | | | | |
| Internet — 6.7% | |
Akamai Technologies, Inc. (a) | | | 4,457 | | | | 234,572 | |
Alphabet, Inc. Class A (a) | | | 7,295 | | | | 5,675,583 | |
Alphabet, Inc. Class C (a) | | | 7,440 | | | | 5,646,067 | |
Amazon.com, Inc. (a) | | | 9,625 | | | | 6,505,441 | |
eBay, Inc. (a) | | | 27,656 | | | | 759,987 | |
Equinix, Inc. | | | 1,552 | | | | 469,325 | |
Expedia, Inc. | | | 2,951 | | | | 366,809 | |
F5 Networks, Inc. (a) | | | 1,785 | | | | 173,074 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Facebook, Inc. Class A (a) | | | 56,852 | | | $ | 5,950,130 | |
Netflix, Inc. (a) | | | 10,701 | | | | 1,223,980 | |
The Priceline Group, Inc. (a) | | | 1,246 | | | | 1,588,588 | |
Symantec Corp. | | | 16,976 | | | | 356,496 | |
TripAdvisor, Inc. (a) | | | 2,846 | | | | 242,622 | |
VeriSign, Inc. (a) | | | 2,449 | | | | 213,945 | |
Yahoo!, Inc. (a) | | | 21,748 | | | | 723,338 | |
| | | | | | | | |
| | | | | | | 30,129,957 | |
| | | | | | | | |
| Media — 3.0% | |
Cablevision Systems Corp. Class A | | | 5,570 | | | | 177,683 | |
CBS Corp. Class B | | | 10,858 | | | | 511,737 | |
Comcast Corp. Class A | | | 61,156 | | | | 3,451,033 | |
Discovery Communications, Inc. Series A (a) | | | 3,792 | | | | 101,171 | |
Discovery Communications, Inc. Series C (a) | | | 6,484 | | | | 163,526 | |
The McGraw Hill Financial, Inc. | | | 6,771 | | | | 667,485 | |
News Corp. Class A | | | 9,742 | | | | 130,153 | |
News Corp. Class B | | | 2,568 | | | | 35,849 | |
Scripps Networks Interactive Class A | | | 2,374 | | | | 131,069 | |
TEGNA, Inc. | | | 5,453 | | | | 139,161 | |
Time Warner Cable, Inc. | | | 7,093 | | | | 1,316,390 | |
Time Warner, Inc. | | | 20,019 | | | | 1,294,629 | |
Twenty-First Century Fox Class A | | | 29,315 | | | | 796,195 | |
Twenty-First Century Fox, Inc. Class B | | | 10,747 | | | | 292,641 | |
Viacom, Inc. Class B | | | 8,647 | | | | 355,910 | |
The Walt Disney Co. | | | 38,087 | | | | 4,002,182 | |
| | | | | | | | |
| | | | | | | 13,566,814 | |
| | | | | | | | |
| Telecommunications — 3.9% | |
AT&T, Inc. | | | 154,027 | | | | 5,300,069 | |
CenturyLink, Inc. | | | 13,729 | | | | 345,422 | |
Cisco Systems, Inc. | | | 127,084 | | | | 3,450,966 | |
Corning, Inc. | | | 29,625 | | | | 541,545 | |
Frontier Communications Corp. | | | 29,586 | | | | 138,167 | |
Harris Corp. | | | 3,134 | | | | 272,345 | |
Juniper Networks, Inc. | | | 8,957 | | | | 247,213 | |
Level 3 Communications, Inc. (a) | | | 7,264 | | | | 394,871 | |
Motorola Solutions, Inc. | | | 4,015 | | | | 274,827 | |
QUALCOMM, Inc. | | | 37,634 | | | | 1,881,135 | |
Verizon Communications, Inc. | | | 101,861 | | | | 4,708,015 | |
| | | | | | | | |
| | | | | | | 17,554,575 | |
| | | | | | | | |
| | | | | | | 62,371,892 | |
| | | | | | | | |
| Consumer, Cyclical — 10.2% | |
| Airlines — 0.5% | |
American Airlines Group, Inc. | | | 15,808 | | | | 669,469 | |
Delta Air Lines, Inc. | | | 19,691 | | | | 998,137 | |
Southwest Airlines Co. | | | 16,292 | | | | 701,533 | |
| | | | | | | | |
| | | | | | | 2,369,139 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
69
MML Equity Index Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Apparel — 0.8% | | | | | | | | |
Hanesbrands, Inc. | | | 9,807 | | | $ | 288,620 | |
Michael Kors Holdings Ltd. (a) | | | 4,603 | | | | 184,396 | |
Nike, Inc. Class B | | | 33,802 | | | | 2,112,625 | |
Ralph Lauren Corp. | | | 1,471 | | | | 163,987 | |
Under Armour, Inc. Class A (a) | | | 4,532 | | | | 365,325 | |
VF Corp. | | | 8,532 | | | | 531,117 | |
| | | | | | | | |
| | | | | | | 3,646,070 | |
| | | | | | | | |
| Auto Manufacturers — 0.7% | | | | | | | | |
Ford Motor Co. | | | 97,650 | | | | 1,375,889 | |
General Motors Co. | | | 35,470 | | | | 1,206,335 | |
Paccar, Inc. | | | 8,826 | | | | 418,352 | |
| | | | | | | | |
| | | | | | | 3,000,576 | |
| | | | | | | | |
| Automotive & Parts — 0.4% | | | | | | | | |
BorgWarner, Inc. | | | 5,615 | | | | 242,737 | |
Delphi Automotive PLC | | | 7,010 | | | | 600,967 | |
The Goodyear Tire & Rubber Co. | | | 6,751 | | | | 220,555 | |
Johnson Controls, Inc. | | | 16,257 | | | | 641,989 | |
| | | | | | | | |
| | | | | | | 1,706,248 | |
| | | | | | | | |
| Distribution & Wholesale — 0.2% | | | | | | | | |
Fastenal Co. | | | 7,235 | | | | 295,333 | |
Fossil Group, Inc. (a) | | | 1,099 | | | | 40,179 | |
Genuine Parts Co. | | | 3,755 | | | | 322,517 | |
W.W. Grainger, Inc. | | | 1,445 | | | | 292,743 | |
| | | | | | | | |
| | | | | | | 950,772 | |
| | | | | | | | |
| Home Builders — 0.1% | | | | | | | | |
D.R. Horton, Inc. | | | 8,268 | | | | 264,824 | |
Lennar Corp. Class A | | | 4,511 | | | | 220,633 | |
PulteGroup, Inc. | | | 7,931 | | | | 141,330 | |
| | | | | | | | |
| | | | | | | 626,787 | |
| | | | | | | | |
| Home Furnishing — 0.1% | | | | | | | | |
Harman International Industries, Inc. | | | 1,759 | | | | 165,715 | |
Whirlpool Corp. | | | 1,948 | | | | 286,103 | |
| | | | | | | | |
| | | | | | | 451,818 | |
| | | | | | | | |
| Housewares — 0.1% | | | | | | | | |
Newell Rubbermaid, Inc. | | | 6,652 | | | | 293,220 | |
| | | | | | | | |
| Leisure Time — 0.3% | | | | | | | | |
Carnival Corp. | | | 11,503 | | | | 626,683 | |
Harley-Davidson, Inc. | | | 4,775 | | | | 216,737 | |
Royal Caribbean Cruises Ltd. | | | 4,317 | | | | 436,924 | |
| | | | | | | | |
| | | | | | | 1,280,344 | |
| | | | | | | | |
| Lodging — 0.2% | | | | | | | | |
Marriott International, Inc. Class A | | | 4,819 | | | | 323,066 | |
Starwood Hotels & Resorts Worldwide, Inc. | | | 4,234 | | | | 293,332 | |
Wyndham Worldwide Corp. | | | 2,940 | | | | 213,591 | |
Wynn Resorts Ltd. | | | 2,071 | | | | 143,292 | |
| | | | | | | | |
| | | | | | | 973,281 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Retail — 6.6% | |
Advance Auto Parts, Inc. | | | 1,821 | | | $ | 274,079 | |
AutoNation, Inc. (a) | | | 1,954 | | | | 116,576 | |
AutoZone, Inc. (a) | | | 760 | | | | 563,852 | |
Bed Bath & Beyond, Inc. (a) | | | 4,225 | | | | 203,856 | |
Best Buy Co., Inc. | | | 7,460 | | | | 227,157 | |
CarMax, Inc. (a) | | | 5,066 | | | | 273,412 | |
Chipotle Mexican Grill, Inc. (a) | | | 783 | | | | 375,723 | |
Coach, Inc. | | | 6,971 | | | | 228,161 | |
Costco Wholesale Corp. | | | 10,964 | | | | 1,770,686 | |
CVS Health Corp. | | | 27,733 | | | | 2,711,455 | |
Darden Restaurants, Inc. | | | 2,883 | | | | 183,474 | |
Dollar General Corp. | | | 7,251 | | | | 521,129 | |
Dollar Tree, Inc. (a) | | | 5,902 | | | | 455,752 | |
GameStop Corp. Class A | | | 2,559 | | | | 71,754 | |
The Gap, Inc. | | | 5,717 | | | | 141,210 | |
The Home Depot, Inc. | | | 31,746 | | | | 4,198,408 | |
Kohl’s Corp. | | | 4,746 | | | | 226,052 | |
L Brands, Inc. | | | 6,389 | | | | 612,194 | |
Lowe’s Cos., Inc. | | | 22,907 | | | | 1,741,848 | |
Macy’s, Inc. | | | 7,868 | | | | 275,223 | |
McDonald’s Corp. | | | 22,986 | | | | 2,715,566 | |
Nordstrom, Inc. | | | 3,387 | | | | 168,706 | |
O’Reilly Automotive, Inc. (a) | | | 2,473 | | | | 626,708 | |
PVH Corp. | | | 2,032 | | | | 149,657 | |
Ross Stores, Inc. | | | 10,133 | | | | 545,257 | |
Signet Jewelers Ltd. | | | 1,979 | | | | 244,783 | |
Staples, Inc. | | | 16,218 | | | | 153,584 | |
Starbucks Corp. | | | 37,173 | | | | 2,231,495 | |
Target Corp. | | | 15,424 | | | | 1,119,937 | |
Tiffany & Co. | | | 2,785 | | | | 212,468 | |
The TJX Cos., Inc. | | | 16,778 | | | | 1,189,728 | |
Tractor Supply Co. | | | 3,376 | | | | 288,648 | |
Urban Outfitters, Inc. (a) | | | 2,267 | | | | 51,574 | |
Wal-Mart Stores, Inc. | | | 39,267 | | | | 2,407,067 | |
Walgreens Boots Alliance, Inc. | | | 21,809 | | | | 1,857,145 | |
Yum! Brands, Inc. | | | 10,797 | | | | 788,721 | |
| | | | | | | | |
| | | | | | | 29,923,045 | |
| | | | | | | | |
| Textiles — 0.1% | |
Cintas Corp. | | | 2,180 | | | | 198,489 | |
Mohawk Industries, Inc. (a) | | | 1,597 | | | | 302,456 | |
| | | | | | | | |
| | | | | | | 500,945 | |
| | | | | | | | |
| Toys, Games & Hobbies — 0.1% | |
Hasbro, Inc. | | | 2,796 | | | | 188,339 | |
Mattel, Inc. | | | 8,542 | | | | 232,086 | |
| | | | | | | | |
| | | | | | | 420,425 | |
| | | | | | | | |
| | | | | | | 46,142,670 | |
| | | | | | | | |
| Consumer, Non-cyclical — 24.9% | | | | | | | | |
| Agriculture — 1.7% | | | | | | | | |
Altria Group, Inc. | | | 49,097 | | | | 2,857,936 | |
Archer-Daniels-Midland Co. | | | 14,942 | | | | 548,073 | |
The accompanying notes are an integral part of the financial statements.
70
MML Equity Index Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Philip Morris International, Inc. | | | 38,791 | | | $ | 3,410,117 | |
Reynolds American, Inc. | | | 20,762 | | | | 958,166 | |
| | | | | | | | |
| | | | | | | 7,774,292 | |
| | | | | | | | |
| Beverages — 2.4% | | | | | | | | |
Brown-Forman Corp. Class B | | | 2,537 | | | | 251,873 | |
The Coca-Cola Co. | | | 98,003 | | | | 4,210,209 | |
Coca-Cola Enterprises, Inc. | | | 5,245 | | | | 258,264 | |
Constellation Brands, Inc. Class A | | | 4,334 | | | | 617,335 | |
Dr. Pepper Snapple Group, Inc. | | | 4,742 | | | | 441,954 | |
Keurig Green Mountain, Inc. | | | 2,908 | | | | 261,662 | |
Molson Coors Brewing Co. Class B | | | 3,931 | | | | 369,200 | |
Monster Beverage Corp. (a) | | | 3,750 | | | | 558,600 | |
PepsiCo, Inc. | | | 36,483 | | | | 3,645,381 | |
| | | | | | | | |
| | | | | | | 10,614,478 | |
| | | | | | | | |
| Biotechnology — 3.2% | | | | | | | | |
Alexion Pharmaceuticals, Inc. (a) | | | 5,654 | | | | 1,078,500 | |
Amgen, Inc. | | | 18,900 | | | | 3,068,037 | |
Biogen, Inc. (a) | | | 5,580 | | | | 1,709,433 | |
Celgene Corp. (a) | | | 19,673 | | | | 2,356,038 | |
Gilead Sciences, Inc. | | | 36,078 | | | | 3,650,733 | |
Illumina, Inc. (a) | | | 3,665 | | | | 703,478 | |
Regeneron Pharmaceuticals, Inc. (a) | | | 1,942 | | | | 1,054,254 | |
Vertex Pharmaceuticals, Inc. (a) | | | 6,149 | | | | 773,729 | |
| | | | | | | | |
| | | | | | | 14,394,202 | |
| | | | | | | | |
| Commercial Services — 2.2% | | | | | | | | |
The ADT Corp. | | | 4,123 | | | | 135,976 | |
Alliance Data Systems Corp. (a) | | | 1,527 | | | | 422,322 | |
Automatic Data Processing, Inc. | | | 11,524 | | | | 976,313 | |
Equifax, Inc. | | | 2,975 | | | | 331,326 | |
H&R Block, Inc. | | | 5,903 | | | | 196,629 | |
McKesson Corp. | | | 5,753 | | | | 1,134,664 | |
Moody’s Corp. | | | 4,319 | | | | 433,368 | |
Paychex, Inc. | | | 8,066 | | | | 426,611 | |
PayPal Holdings, Inc. (a) | | | 27,838 | | | | 1,007,736 | |
Quanta Services, Inc. (a) | | | 4,055 | | | | 82,114 | |
Robert Half International, Inc. | | | 3,363 | | | | 158,532 | |
Total System Services, Inc. | | | 4,235 | | | | 210,903 | |
United Rentals, Inc. (a) | | | 2,308 | | | | 167,422 | |
Verisk Analytics, Inc. (a) | | | 3,918 | | | | 301,216 | |
Visa, Inc. Class A | | | 48,745 | | | | 3,780,175 | |
Western Union Co. | | | 12,701 | | | | 227,475 | |
| | | | | | | | |
| | | | | | | 9,992,782 | |
| | | | | | | | |
| Cosmetics & Personal Care — 1.6% | | | | | | | | |
Colgate-Palmolive Co. | | | 22,475 | | | | 1,497,284 | |
The Estee Lauder Cos., Inc. Class A | | | 5,561 | | | | 489,702 | |
The Procter & Gamble Co. | | | 68,122 | | | | 5,409,568 | |
| | | | | | | | |
| | | | | | | 7,396,554 | |
| | | | | | | | |
| Foods — 1.9% | | | | | | | | |
Campbell Soup Co. | | | 4,501 | | | | 236,528 | |
ConAgra Foods, Inc. | | | 10,863 | | | | 457,984 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
General Mills, Inc. | | | 14,972 | | | $ | 863,285 | |
The Hershey Co. | | | 3,570 | | | | 318,694 | |
Hormel Foods Corp. | | | 3,358 | | | | 265,551 | |
The J.M. Smucker Co. | | | 3,015 | | | | 371,870 | |
Kellogg Co. | | | 6,383 | | | | 461,299 | |
The Kraft Heinz Co. | | | 14,892 | | | | 1,083,542 | |
The Kroger Co. | | | 24,356 | | | | 1,018,811 | |
McCormick & Co., Inc. | | | 2,892 | | | | 247,440 | |
Mondelez International, Inc. Class A | | | 39,807 | | | | 1,784,946 | |
Sysco Corp. | | | 13,186 | | | | 540,626 | |
Tyson Foods, Inc. Class A | | | 7,400 | | | | 394,642 | |
Whole Foods Market, Inc. | | | 8,530 | | | | 285,755 | |
| | | | | | | | |
| | | | | | | 8,330,973 | |
| | | | | | | | |
| Health Care – Products — 3.4% | | | | | | | | |
Baxter International, Inc. | | | 13,703 | | | | 522,770 | |
Becton, Dickinson & Co. | | | 5,268 | | | | 811,746 | |
Boston Scientific Corp. (a) | | | 33,703 | | | | 621,483 | |
C.R. Bard, Inc. | | | 1,843 | | | | 349,138 | |
Edwards Lifesciences Corp. (a) | | | 5,410 | | | | 427,282 | |
Henry Schein, Inc. (a) | | | 2,069 | | | | 327,295 | |
Intuitive Surgical, Inc. (a) | | | 934 | | | | 510,114 | |
Johnson & Johnson | | | 69,281 | | | | 7,116,544 | |
Medtronic PLC | | | 35,197 | | | | 2,707,353 | |
St. Jude Medical, Inc. | | | 7,086 | | | | 437,702 | |
Stryker Corp. | | | 7,920 | | | | 736,085 | |
Varian Medical Systems, Inc. (a) | | | 2,455 | | | | 198,364 | |
Zimmer Biomet Holdings, Inc. | | | 4,297 | | | | 440,829 | |
| | | | | | | | |
| | | | | | | 15,206,705 | |
| | | | | | | | |
| Health Care – Services — 2.1% | | | | | | | | |
Aetna, Inc. | | | 8,731 | | | | 943,996 | |
Anthem, Inc. | | | 6,541 | | | | 912,077 | |
Cigna Corp. | | | 6,448 | | | | 943,536 | |
DaVita HealthCare Partners, Inc. (a) | | | 4,208 | | | | 293,340 | |
HCA Holdings, Inc. (a) | | | 7,858 | | | | 531,436 | |
Humana, Inc. | | | 3,712 | | | | 662,629 | |
Laboratory Corporation of America Holdings (a) | | | 2,537 | | | | 313,675 | |
Quest Diagnostics, Inc. | | | 3,606 | | | | 256,531 | |
Tenet Healthcare Corp. (a) | | | 2,436 | | | | 73,811 | |
Thermo Fisher Scientific, Inc. | | | 9,991 | | | | 1,417,223 | |
UnitedHealth Group, Inc. | | | 23,866 | | | | 2,807,596 | |
Universal Health Services, Inc. Class B | | | 2,278 | | | | 272,198 | |
| | | | | | | | |
| | | | | | | 9,428,048 | |
| | | | | | | | |
| Household Products — 0.4% | | | | | | | | |
Avery Dennison Corp. | | | 2,266 | | | | 141,988 | |
Church & Dwight Co., Inc. | | | 3,283 | | | | 278,661 | |
The Clorox Co. | | | 3,232 | | | | 409,915 | |
Kimberly-Clark Corp. | | | 9,091 | | | | 1,157,284 | |
| | | | | | | | |
| | | | | | | 1,987,848 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
71
MML Equity Index Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Pharmaceuticals — 6.0% | | | | | | | | |
Abbott Laboratories | | | 37,342 | | | $ | 1,677,029 | |
AbbVie, Inc. | | | 40,926 | | | | 2,424,456 | |
Allergan PLC (a) | | | 9,868 | | | | 3,083,750 | |
AmerisourceBergen Corp. | | | 4,886 | | | | 506,727 | |
Baxalta, Inc. | | | 13,610 | | | | 531,198 | |
Bristol-Myers Squibb Co. | | | 41,768 | | | | 2,873,221 | |
Cardinal Health, Inc. | | | 8,234 | | | | 735,049 | |
DENTSPLY International, Inc. | | | 3,503 | | | | 213,158 | |
Eli Lilly & Co. | | | 24,436 | | | | 2,058,977 | |
Endo International PLC (a) | | | 5,181 | | | | 317,181 | |
Express Scripts Holding Co. (a) | | | 16,931 | | | | 1,479,939 | |
Mallinckrodt PLC (a) | | | 2,885 | | | | 215,308 | |
Mead Johnson Nutrition Co. | | | 4,935 | | | | 389,618 | |
Merck & Co., Inc. | | | 69,944 | | | | 3,694,442 | |
Mylan NV (a) | | | 10,365 | | | | 560,436 | |
Patterson Cos., Inc. | | | 2,083 | | | | 94,172 | |
Perrigo Co. PLC | | | 3,671 | | | | 531,194 | |
Pfizer, Inc. | | | 154,564 | | | | 4,989,326 | |
Zoetis, Inc. | | | 11,521 | | | | 552,086 | |
| | | | | | | | |
| | | | | | | 26,927,267 | |
| | | | | | | | |
| | | | | | | 112,053,149 | |
| | | | | | | | |
| Diversified — 0.0% | | | | | | | | |
| Holding Company – Diversified — 0.0% | |
Leucadia National Corp. | | | 8,277 | | | | 143,937 | |
| | | | | | | | |
| Energy — 6.5% | | | | | | | | |
| Coal — 0.0% | | | | | | | | |
CONSOL Energy, Inc. | | | 5,456 | | | | 43,103 | |
| | | | | | | | |
| Energy – Alternate Sources — 0.0% | | | | | | | | |
First Solar, Inc. (a) | | | 1,912 | | | | 126,173 | |
| | | | | | | | |
| Oil & Gas — 5.1% | | | | | | | | |
Anadarko Petroleum Corp. | | | 12,750 | | | | 619,395 | |
Apache Corp. | | | 9,523 | | | | 423,488 | |
Cabot Oil & Gas Corp. | | | 10,388 | | | | 183,764 | |
Chesapeake Energy Corp. | | | 13,548 | | | | 60,966 | |
Chevron Corp. | | | 47,122 | | | | 4,239,095 | |
Cimarex Energy Co. | | | 2,352 | | | | 210,222 | |
ConocoPhillips | | | 30,904 | | | | 1,442,908 | |
Devon Energy Corp. | | | 9,622 | | | | 307,904 | |
Diamond Offshore Drilling, Inc. | | | 1,724 | | | | 36,376 | |
Ensco PLC Class A | | | 5,926 | | | | 91,201 | |
EOG Resources, Inc. | | | 13,754 | | | | 973,646 | |
EQT Corp. | | | 3,792 | | | | 197,677 | |
Exxon Mobil Corp. | | | 104,235 | | | | 8,125,118 | |
Helmerich & Payne, Inc. | | | 2,701 | | | | 144,639 | |
Hess Corp. | | | 6,009 | | | | 291,316 | |
Marathon Oil Corp. | | | 16,862 | | | | 212,293 | |
Marathon Petroleum Corp. | | | 13,348 | | | | 691,960 | |
Murphy Oil Corp. | | | 4,104 | | | | 92,135 | |
Newfield Exploration Co. (a) | | | 4,097 | | | | 133,398 | |
Noble Energy, Inc. | | | 10,735 | | | | 353,503 | |
Occidental Petroleum Corp. | | | 19,111 | | | | 1,292,095 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Phillips 66 | | | 11,863 | | | $ | 970,393 | |
Pioneer Natural Resources Co. | | | 3,753 | | | | 470,551 | |
Range Resources Corp. | | | 4,319 | | | | 106,291 | |
Southwestern Energy Co. (a) | | | 9,912 | | | | 70,474 | |
Tesoro Corp. | | | 3,013 | | | | 317,480 | |
Valero Energy Corp. | | | 12,054 | | | | 852,338 | |
| | | | | | | | |
| | | | | | | 22,910,626 | |
| | | | | | | | |
| Oil & Gas Services — 1.0% | | | | | | | | |
Baker Hughes, Inc. | | | 10,892 | | | | 502,666 | |
Cameron International Corp. (a) | | | 4,773 | | | | 301,654 | |
FMC Technologies, Inc. (a) | | | 5,749 | | | | 166,778 | |
Halliburton Co. | | | 21,351 | | | | 726,788 | |
National Oilwell Varco, Inc. | | | 9,379 | | | | 314,103 | |
Schlumberger Ltd. | | | 31,592 | | | | 2,203,542 | |
Transocean Ltd. | | | 8,651 | | | | 107,099 | |
| | | | | | | | |
| | | | | | | 4,322,630 | |
| | | | | | | | |
| Pipelines — 0.4% | | | | | | | | |
Columbia Pipeline Group, Inc. | | | 9,683 | | | | 193,660 | |
Kinder Morgan, Inc. | | | 45,814 | | | | 683,545 | |
ONEOK, Inc. | | | 5,234 | | | | 129,070 | |
Spectra Energy Corp. | | | 16,723 | | | | 400,349 | |
The Williams Cos., Inc. | | | 17,173 | | | | 441,346 | |
| | | | | | | | |
| | | | | | | 1,847,970 | |
| | | | | | | | |
| | | | | | | 29,250,502 | |
| | | | | | | | |
| Financial — 16.5% | | | | | | | | |
| Banks — 4.4% | | | | | | | | |
Bank of America Corp. | | | 260,831 | | | | 4,389,786 | |
The Bank of New York Mellon Corp. | | | 27,378 | | | | 1,128,521 | |
BB&T Corp. | | | 19,482 | | | | 736,614 | |
Capital One Financial Corp. | | | 13,326 | | | | 961,871 | |
Comerica, Inc. | | | 4,393 | | | | 183,759 | |
Fifth Third Bancorp | | | 19,921 | | | | 400,412 | |
Huntington Bancshares, Inc. | | | 20,049 | | | | 221,742 | |
KeyCorp | | | 20,867 | | | | 275,236 | |
M&T Bank Corp. | | | 4,020 | | | | 487,144 | |
Northern Trust Corp. | | | 5,477 | | | | 394,837 | |
PNC Financial Services Group, Inc. | | | 12,689 | | | | 1,209,389 | |
Regions Financial Corp. | | | 32,884 | | | | 315,686 | |
State Street Corp. | | | 10,075 | | | | 668,577 | |
SunTrust Banks, Inc. | | | 12,716 | | | | 544,753 | |
U.S. Bancorp | | | 41,179 | | | | 1,757,108 | |
Wells Fargo & Co. | | | 116,377 | | | | 6,326,254 | |
Zions Bancorp | | | 5,131 | | | | 140,076 | |
| | | | | | | | |
| | | | | | | 20,141,765 | |
| | | | | | | | |
| Diversified Financial — 5.3% | | | | | | | | |
Affiliated Managers Group, Inc. (a) | | | 1,352 | | | | 215,996 | |
American Express Co. | | | 20,950 | | | | 1,457,073 | |
Ameriprise Financial, Inc. | | | 4,358 | | | | 463,778 | |
BlackRock, Inc. | | | 3,163 | | | | 1,077,065 | |
The Charles Schwab Corp. | | | 30,003 | | | | 987,999 | |
Citigroup, Inc. | | | 74,592 | | | | 3,860,136 | |
The accompanying notes are an integral part of the financial statements.
72
MML Equity Index Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
CME Group, Inc. | | | 8,468 | | | $ | 767,201 | |
Discover Financial Services | | | 10,703 | | | | 573,895 | |
E*TRADE Financial Corp. (a) | | | 7,397 | | | | 219,247 | |
Franklin Resources, Inc. | | | 9,454 | | | | 348,096 | |
The Goldman Sachs Group, Inc. | | | 9,937 | | | | 1,790,946 | |
Intercontinental Exchange, Inc. | | | 2,973 | | | | 761,861 | |
Invesco Ltd. | | | 10,640 | | | | 356,227 | |
JP Morgan Chase & Co. | | | 92,177 | | | | 6,086,447 | |
Legg Mason, Inc. | | | 2,684 | | | | 105,293 | |
MasterCard, Inc. Class A | | | 24,788 | | | | 2,413,360 | |
Morgan Stanley | | | 37,769 | | | | 1,201,432 | |
The Nasdaq, Inc. | | | 2,872 | | | | 167,064 | |
Navient Corp. | | | 9,063 | | | | 103,771 | |
Synchrony Financial (a) | | | 20,876 | | | | 634,839 | |
T. Rowe Price Group, Inc. | | | 6,280 | | | | 448,957 | |
| | | | | | | | |
| | | | | | | 24,040,683 | |
| | | | | | | | |
| Insurance — 4.1% | | | | | | | | |
ACE Ltd. | | | 8,117 | | | | 948,471 | |
Aflac, Inc. | | | 10,707 | | | | 641,349 | |
The Allstate Corp. | | | 9,697 | | | | 602,087 | |
American International Group, Inc. | | | 30,983 | | | | 1,920,016 | |
Aon PLC | | | 6,858 | | | | 632,376 | |
Assurant, Inc. | | | 1,635 | | | | 131,683 | |
Berkshire Hathaway, Inc. Class B (a) | | | 46,914 | | | | 6,194,525 | |
The Chubb Corp. | | | 5,685 | | | | 754,058 | |
Cincinnati Financial Corp. | | | 3,670 | | | | 217,154 | |
The Hartford Financial Services Group, Inc. | | | 10,204 | | | | 443,466 | |
Lincoln National Corp. | | | 6,239 | | | | 313,572 | |
Loews Corp. | | | 6,979 | | | | 267,994 | |
Marsh & McLennan Cos., Inc. | | | 13,058 | | | | 724,066 | |
MetLife, Inc. | | | 27,798 | | | | 1,340,142 | |
Principal Financial Group, Inc. | | | 6,806 | | | | 306,134 | |
The Progressive Corp. | | | 14,710 | | | | 467,778 | |
Prudential Financial, Inc. | | | 11,224 | | | | 913,746 | |
Torchmark Corp. | | | 2,859 | | | | 163,420 | |
The Travelers Cos., Inc. | | | 7,618 | | | | 859,767 | |
Unum Group | | | 6,100 | | | | 203,069 | |
XL Group PLC | | | 7,498 | | | | 293,772 | |
| | | | | | | | |
| | | | | | | 18,338,645 | |
| | | | | | | | |
| Real Estate — 0.1% | | | | | | | | |
CBRE Group, Inc. (a) | | | 7,343 | | | | 253,921 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 2.6% | |
American Tower Corp. | | | 10,606 | | | | 1,028,252 | |
Apartment Investment & Management Co. Class A | | | 3,879 | | | | 155,276 | |
AvalonBay Communities, Inc. | | | 3,424 | | | | 630,461 | |
Boston Properties, Inc. | | | 3,858 | | | | 492,049 | |
Crown Castle International Corp. | | | 8,362 | | | | 722,895 | |
Equity Residential | | | 9,124 | | | | 744,427 | |
Essex Property Trust, Inc. | | | 1,654 | | | | 395,984 | |
General Growth Properties, Inc. | | | 14,545 | | | | 395,769 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
HCP, Inc. | | | 11,636 | | | $ | 444,961 | |
Host Hotels & Resorts, Inc. | | | 18,681 | | | | 286,566 | |
Iron Mountain, Inc. | | | 4,809 | | | | 129,891 | |
Kimco Realty Corp. | | | 10,287 | | | | 272,194 | |
The Macerich Co. | | | 3,349 | | | | 270,231 | |
Plum Creek Timber Co., Inc. | | | 4,340 | | | | 207,105 | |
Prologis, Inc. | | | 13,166 | | | | 565,085 | |
Public Storage | | | 3,684 | | | | 912,527 | |
Realty Income Corp. | | | 6,295 | | | | 325,011 | |
Simon Property Group, Inc. | | | 7,747 | | | | 1,506,327 | |
SL Green Realty Corp. | | | 2,517 | | | | 284,371 | |
Ventas, Inc. | | | 8,358 | | | | 471,642 | |
Vornado Realty Trust | | | 4,454 | | | | 445,222 | |
Welltower, Inc. | | | 8,849 | | | | 601,997 | |
Weyerhaeuser Co. | | | 12,788 | | | | 383,384 | |
| | | | | | | | |
| | | | | | | 11,671,627 | |
| | | | | | | | |
| Savings & Loans — 0.0% | | | | | | | | |
People’s United Financial, Inc. | | | 7,864 | | | | 127,004 | |
| | | | | | | | |
| | | | | | | 74,573,645 | |
| | | | | | | | |
| Industrial — 9.5% | | | | | | | | |
| Aerospace & Defense — 2.0% | | | | | | | | |
The Boeing Co. | | | 15,767 | | | | 2,279,750 | |
General Dynamics Corp. | | | 7,433 | | | | 1,020,997 | |
L-3 Communications Holdings, Inc. | | | 1,958 | | | | 234,001 | |
Lockheed Martin Corp. | | | 6,615 | | | | 1,436,447 | |
Northrop Grumman Corp. | | | 4,563 | | | | 861,540 | |
Raytheon Co. | | | 7,552 | | | | 940,451 | |
Rockwell Collins, Inc. | | | 3,320 | | | | 306,436 | |
United Technologies Corp. | | | 20,665 | | | | 1,985,286 | |
| | | | | | | | |
| | | | | | | 9,064,908 | |
| | | | | | | | |
| Airlines — 0.1% | | | | | | | | |
United Continental Holdings, Inc. (a) | | | 9,314 | | | | 533,692 | |
| | | | | | | | |
| Building Materials — 0.1% | | | | | | | | |
Martin Marietta Materials, Inc. | | | 1,641 | | | | 224,128 | |
Masco Corp. | | | 8,355 | | | | 236,446 | |
| | | | | | | | |
| | | | | | | 460,574 | |
| | | | | | | | |
| Electrical Components & Equipment — 0.2% | |
AMETEK, Inc. | | | 5,925 | | | | 317,521 | |
Emerson Electric Co. | | | 16,459 | | | | 787,234 | |
| | | | | | | | |
| | | | | | | 1,104,755 | |
| | | | | | | | |
| Electronics — 0.6% | | | | | | | | |
Agilent Technologies, Inc. | | | 8,239 | | | | 344,473 | |
Allegion PLC | | | 2,423 | | | | 159,724 | |
Amphenol Corp. Class A | | | 7,685 | | | | 401,388 | |
FLIR Systems, Inc. | | | 3,454 | | | | 96,954 | |
Garmin Ltd. | | | 2,963 | | | | 110,135 | |
PerkinElmer, Inc. | | | 2,823 | | | | 151,228 | |
TE Connectivity Ltd. | | | 9,679 | | | | 625,360 | |
Tyco International PLC | | | 10,607 | | | | 338,257 | |
Waters Corp. (a) | | | 2,047 | | | | 275,485 | |
| | | | | | | | |
| | | | | | | 2,503,004 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
73
MML Equity Index Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Engineering & Construction — 0.1% | |
Fluor Corp. | | | 3,539 | | | $ | 167,112 | |
Jacobs Engineering Group, Inc. (a) | | | 3,080 | | | | 129,206 | |
| | | | | | | | |
| | | | | | | 296,318 | |
| | | | | | | | |
| Environmental Controls — 0.2% | |
Republic Services, Inc. | | | 5,991 | | | | 263,544 | |
Stericycle, Inc. (a) | | | 2,124 | | | | 256,154 | |
Waste Management, Inc. | | | 10,443 | | | | 557,343 | |
| | | | | | | | |
| | | | | | | 1,077,041 | |
| | | | | | | | |
| Hand & Machine Tools — 0.1% | |
Snap-on, Inc. | | | 1,445 | | | | 247,716 | |
Stanley Black & Decker, Inc. | | | 3,749 | | | | 400,131 | |
| | | | | | | | |
| | | | | | | 647,847 | |
| | | | | | | | |
| Machinery – Construction & Mining — 0.3% | |
Caterpillar, Inc. | | | 14,582 | | | | 990,993 | |
Ingersoll-Rand PLC | | | 6,507 | | | | 359,772 | |
| | | | | | | | |
| | | | | | | 1,350,765 | |
| | | | | | | | |
| Machinery – Diversified — 0.5% | |
Cummins, Inc. | | | 4,132 | | | | 363,657 | |
Deere & Co. | | | 7,822 | | | | 596,584 | |
Flowserve Corp. | | | 3,273 | | | | 137,728 | |
Rockwell Automation, Inc. | | | 3,283 | | | | 336,869 | |
Roper Technologies, Inc. | | | 2,531 | | | | 480,358 | |
Xylem, Inc. | | | 4,557 | | | | 166,331 | |
| | | | | | | | |
| | | | | | | 2,081,527 | |
| | | | | | | | |
| Manufacturing — 3.5% | | | | | | | | |
3M Co. | | | 15,415 | | | | 2,322,116 | |
Danaher Corp. | | | 14,927 | | | | 1,386,420 | |
Dover Corp. | | | 3,887 | | | | 238,312 | |
Eaton Corp. PLC | | | 11,632 | | | | 605,329 | |
General Electric Co. | | | 236,326 | | | | 7,361,555 | |
Honeywell International, Inc. | | | 19,291 | | | | 1,997,969 | |
Illinois Tool Works, Inc. | | | 8,199 | | | | 759,883 | |
Leggett & Platt, Inc. | | | 3,376 | | | | 141,860 | |
Parker Hannifin Corp. | | | 3,386 | | | | 328,374 | |
Pentair PLC | | | 4,516 | | | | 223,677 | |
Textron, Inc. | | | 6,873 | | | | 288,735 | |
| | | | | | | | |
| | | | | | | 15,654,230 | |
| | | | | | | | |
| Metal Fabricate & Hardware — 0.2% | |
Precision Castparts Corp. | | | 3,444 | | | | 799,042 | |
| | | | | | | | |
| Packaging & Containers — 0.2% | | | | | | | | |
Ball Corp. | | | 3,423 | | | | 248,955 | |
Owens-Illinois, Inc. (a) | | | 4,067 | | | | 70,847 | |
Sealed Air Corp. | | | 4,960 | | | | 221,216 | |
WestRock Co. | | | 6,397 | | | | 291,831 | |
| | | | | | | | |
| | | | | | | 832,849 | |
| | | | | | | | |
| Transportation — 1.4% | | | | | | | | |
American ExpressNorfolk Southern Corp. | | | 7,477 | | | | 632,479 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
C.H. Robinson Worldwide, Inc. | | | 3,611 | | | $ | 223,954 | |
CSX Corp. | | | 24,410 | | | | 633,440 | |
Expeditors International of Washington, Inc. | | | 4,651 | | | | 209,760 | |
FedEx Corp. | | | 6,581 | | | | 980,503 | |
J.B. Hunt Transport Services, Inc. | | | 2,256 | | | | 165,500 | |
Kansas City Southern | | | 2,738 | | | | 204,446 | |
Ryder System, Inc. | | | 1,297 | | | | 73,709 | |
Union Pacific Corp. | | | 21,395 | | | | 1,673,089 | |
United Parcel Service, Inc. Class B | | | 17,437 | | | | 1,677,963 | |
| | | | | | | | |
| | | | | | | 6,474,843 | |
| | | | | | | | |
| | | | | | | 42,881,395 | |
| | | | | | | | |
| Technology — 12.5% | | | | | | | | |
| Computers — 5.4% | | | | | | | | |
Accenture PLC Class A | | | 15,650 | | | | 1,635,425 | |
Apple, Inc. | | | 139,605 | | | | 14,694,822 | |
Cognizant Technology Solutions Corp. Class A (a) | | | 15,248 | | | | 915,185 | |
CSRA, Inc. | | | 3,455 | | | | 103,650 | |
EMC Corp. | | | 48,538 | | | | 1,246,456 | |
Hewlett Packard Enterprise Co. | | | 44,942 | | | | 683,118 | |
HP, Inc. | | | 45,359 | | | | 537,051 | |
International Business Machines Corp. | | | 22,349 | | | | 3,075,669 | |
NetApp, Inc. | | | 7,290 | | | | 193,404 | |
SanDisk Corp. | | | 5,021 | | | | 381,546 | |
Seagate Technology PLC | | | 7,511 | | | | 275,353 | |
Teradata Corp. (a) | | | 3,324 | | | | 87,820 | |
Western Digital Corp. | | | 5,813 | | | | 349,071 | |
| | | | | | | | |
| | | | | | | 24,178,570 | |
| | | | | | | | |
| Office Equipment/Supplies — 0.1% | |
Pitney Bowes, Inc. | | | 4,911 | | | | 101,412 | |
Xerox Corp. | | | 23,691 | | | | 251,835 | |
| | | | | | | | |
| | | | | | | 353,247 | |
| | | | | | | | |
| Semiconductors — 2.4% | |
Analog Devices, Inc. | | | 7,805 | | | | 431,773 | |
Applied Materials, Inc. | | | 28,769 | | | | 537,117 | |
Avago Technologies Ltd. | | | 6,565 | | | | 952,910 | |
Broadcom Corp. Class A | | | 14,045 | | | | 812,082 | |
Intel Corp. | | | 118,174 | | | | 4,071,094 | |
KLA-Tencor Corp. | | | 3,918 | | | | 271,713 | |
Lam Research Corp. | | | 3,935 | | | | 312,518 | |
Linear Technology Corp. | | | 5,957 | | | | 252,994 | |
Microchip Technology, Inc. | | | 5,084 | | | | 236,610 | |
Micron Technology, Inc. (a) | | | 27,187 | | | | 384,968 | |
NVIDIA Corp. | | | 12,742 | | | | 419,976 | |
Qorvo, Inc. (a) | | | 3,518 | | | | 179,066 | |
Skyworks Solutions, Inc. | | | 4,810 | | | | 369,552 | |
Texas Instruments, Inc. | | | 25,406 | | | | 1,392,503 | |
Xilinx, Inc. | | | 6,431 | | | | 302,064 | |
| | | | | | | | |
| | | | | | | 10,926,940 | �� |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
74
MML Equity Index Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Software — 4.6% | |
Activision Blizzard, Inc. | | | 12,644 | | | $ | 489,449 | |
Adobe Systems, Inc. (a) | | | 12,490 | | | | 1,173,311 | |
Autodesk, Inc. (a) | | | 5,624 | | | | 342,670 | |
CA, Inc. | | | 7,798 | | | | 222,711 | |
Cerner Corp. (a) | | | 7,637 | | | | 459,518 | |
Citrix Systems, Inc. (a) | | | 3,851 | | | | 291,328 | |
The Dun & Bradstreet Corp. | | | 887 | | | | 92,186 | |
Electronic Arts, Inc. (a) | | | 7,756 | | | | 532,992 | |
Fidelity National Information Services, Inc. | | | 6,922 | | | | 419,473 | |
Fiserv, Inc. (a) | | | 5,725 | | | | 523,609 | |
Intuit, Inc. | | | 6,610 | | | | 637,865 | |
Microsoft Corp. | | | 200,021 | | | | 11,097,165 | |
Oracle Corp. | | | 80,172 | | | | 2,928,683 | |
Red Hat, Inc. (a) | | | 4,556 | | | | 377,283 | |
Salesforce.com, Inc. (a) | | | 15,630 | | | | 1,225,392 | |
| | | | | | | | |
| | | | | | | 20,813,635 | |
| | | | | | | | |
| | | | | | | 56,272,392 | |
| | | | | | | | |
| Utilities — 3.0% | |
| Electric — 2.8% | |
The AES Corp. | | | 16,714 | | | | 159,953 | |
Ameren Corp. | | | 6,077 | | | | 262,709 | |
American Electric Power Co., Inc. | | | 12,286 | | | | 715,905 | |
CenterPoint Energy, Inc. | | | 10,653 | | | | 195,589 | |
CMS Energy Corp. | | | 6,884 | | | | 248,375 | |
Consolidated Edison, Inc. | | | 7,356 | | | | 472,770 | |
Dominion Resources, Inc. | | | 14,895 | | | | 1,007,498 | |
DTE Energy Co. | | | 4,509 | | | | 361,577 | |
Duke Energy Corp. | | | 17,217 | | | | 1,229,122 | |
Edison International | | | 8,183 | | | | 484,515 | |
Entergy Corp. | | | 4,453 | | | | 304,407 | |
Eversource Energy | | | 7,967 | | | | 406,875 | |
Exelon Corp. | | | 23,079 | | | | 640,904 | |
FirstEnergy Corp. | | | 10,655 | | | | 338,083 | |
NextEra Energy, Inc. | | | 11,525 | | | | 1,197,332 | |
NRG Energy, Inc. | | | 7,852 | | | | 92,418 | |
Pepco Holdings, Inc. | | | 6,432 | | | | 167,296 | |
PG&E Corp. | | | 12,268 | | | | 652,535 | |
Pinnacle West Capital Corp. | | | 2,771 | | | | 178,674 | |
PPL Corp. | | | 16,809 | | | | 573,691 | |
Public Service Enterprise Group, Inc. | | | 12,712 | | | | 491,827 | |
SCANA Corp. | | | 3,568 | | | | 215,828 | |
The Southern Co. | | | 22,710 | | | | 1,062,601 | |
TECO Energy, Inc. | | | 5,886 | | | | 156,862 | |
WEC Energy Group, Inc. | | | 7,934 | | | | 407,094 | |
Xcel Energy, Inc. | | | 12,730 | | | | 457,134 | |
| | | | | | | | |
| | | | | | | 12,481,574 | |
| | | | | | | | |
| Gas — 0.2% | |
AGL Resources, Inc. | | | 2,993 | | | | 190,984 | |
NiSource, Inc. | | | 7,865 | | | | 153,446 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Sempra Energy | | | 5,911 | | | $ | 555,787 | |
| | | | | | | | |
| | | | | | | 900,217 | |
| | | | | | | | |
| | | | | | | 13,381,791 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $260,463,329) | | | | | | | 448,254,236 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $260,463,329) | | | | | | | 448,254,236 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $260,463,329) | | | | | | | 448,254,236 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 0.6% | |
| Repurchase Agreement — 0.4% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 1,913,784 | | | | 1,913,784 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 5,253 | | | | 5,253 | |
| | | | | | | | |
| U.S. Treasury Bills — 0.2% | | | | | | | | |
U.S. Treasury Bill (c)
0.000% 3/31/16 | | | 605,000 | | | | 604,745 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $2,523,965) | | | | | | | 2,523,782 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.0%
(Cost $262,987,294) (d) | | | | | | | 450,778,018 | |
| | |
| Other Assets/(Liabilities) — 0.0% | | | | | | | 51,162 | |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 450,829,180 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Non-income producing security. |
| (b) | Maturity value of $1,913,786. Collateralized by U.S. Government Agency obligations with a rate of 4.000%, maturity date of 12/15/17, and an aggregate market value, including accrued interest, of $1,952,069. |
| (c) | A portion of this security is held as collateral for open futures contracts. (Note 2). |
| (d) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
75
MML Focused Equity Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 89.7% | |
|
| COMMON STOCK — 89.7% | |
| Communications — 6.6% | |
| Media — 6.6% | |
Charter Communications, Inc. Class A (a) | | | 27,800 | | | $ | 5,090,180 | |
Tribune Media Co. | | | 151,000 | | | | 5,105,310 | |
| | | | | | | | |
| | | | | | | 10,195,490 | |
| | | | | | | | |
| Consumer, Cyclical — 13.7% | |
| Auto Manufacturers — 7.3% | |
General Motors Co. | | | 330,000 | | | | 11,223,300 | |
| | | | | | | | |
| Retail — 6.4% | |
CarMax, Inc. (a) | | | 66,200 | | | | 3,572,814 | |
Tiffany & Co. | | | 82,500 | | | | 6,293,925 | |
| | | | | | | | |
| | | | | | | 9,866,739 | |
| | | | | | | | |
| | | | | | | 21,090,039 | |
| | | | | | | | |
| Energy — 6.3% | |
| Oil & Gas — 4.5% | |
Anadarko Petroleum Corp. | | | 143,000 | | | | 6,946,940 | |
| | | | | | | | |
| Oil & Gas Services ��� 1.8% | |
NOW, Inc. (a) | | | 177,019 | | | | 2,800,441 | |
| | | | | | | | |
| | | | | | | 9,747,381 | |
| | | | | | | | |
| Financial — 35.7% | |
| Banks — 7.1% | |
Wells Fargo & Co. | | | 201,000 | | | | 10,926,360 | |
| | | | | | | | |
| Diversified Financial — 10.5% | |
BlackRock, Inc. | | | 22,300 | | | | 7,593,596 | |
JP Morgan Chase & Co. | | | 131,000 | | | | 8,649,930 | |
| | | | | | | | |
| | | | | | | 16,243,526 | |
| | | | | | | | |
| Insurance — 13.3% | |
American International Group, Inc. | | | 196,000 | | | | 12,146,120 | |
Aon PLC | | | 91,500 | | | | 8,437,215 | |
| | | | | | | | |
| | | | | | | 20,583,335 | |
| | | | | | | | |
| Real Estate — 4.8% | |
CBRE Group, Inc. (a) | | | 216,000 | | | | 7,469,280 | |
| | | | | | | | |
| | | | | | | 55,222,501 | |
| | | | | | | | |
| Industrial — 9.4% | |
| Machinery – Construction & Mining — 4.4% | |
Caterpillar, Inc. | | | 101,500 | | | | 6,897,940 | |
| | | | | | | | |
| Machinery – Diversified — 5.0% | |
Cummins, Inc. | | | 87,500 | | | | 7,700,875 | |
| | | | | | | | |
| | | | | | | 14,598,815 | |
| | | | | | | | |
| Technology — 18.0% | |
| Computers — 2.4% | |
Apple, Inc. | | | 34,500 | | | | 3,631,470 | |
| | | | | | | | |
| Semiconductors — 8.7% | |
Applied Materials, Inc. | | | 392,000 | | | | 7,318,640 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Intel Corp. | | | 176,500 | | | $ | 6,080,425 | |
| | | | | | | | |
| | | | | | | 13,399,065 | |
| | | | | | | | |
| Software — 6.9% | |
Microsoft Corp. | | | 193,000 | | | | 10,707,640 | |
| | | | | | | | |
| | | | | | | 27,738,175 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $122,804,874) | | | | | | | 138,592,401 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $122,804,874) | | | | | | | 138,592,401 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $122,804,874) | | | | | | | 138,592,401 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 10.3% | |
| Repurchase Agreement — 10.3% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 15,870,322 | | | | 15,870,322 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $15,870,322) | | | | | | | 15,870,322 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.0%
(Cost $138,675,196) (c) | | | | | | | 154,462,723 | |
| | |
| Other Assets/(Liabilities) — (0.0)% | | | | | | | (3,135 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 154,459,588 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Non-income producing security. |
| (b) | Maturity value of $15,870,340. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $16,190,756. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
Country weightings, as a percentage of net assets, is as follows:
| | | | |
United States | | | 84.2 | % |
United Kingdom | | | 5.5 | % |
| | | | |
Total Long-Term Investments | | | 89.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 10.3 | % |
| | | | |
Net Assets | | | 100.0 | % |
| | | | |
The accompanying notes are an integral part of the financial statements.
76
MML Foreign Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 95.8% | | | | | | | | |
| | |
| COMMON STOCK — 95.8% | | | | | | | | |
| Bermuda — 0.8% | | | | | | | | |
Kunlun Energy Co. Ltd | | | 1,700,000 | | | $ | 1,499,463 | |
Noble Group Ltd. (a) | | | 4,670,400 | | | | 1,299,187 | |
| | | | | | | | |
| | | | | | | 2,798,650 | |
| | | | | | | | |
| Brazil — 0.8% | | | | | | | | |
Embraer SA Sponsored ADR (Brazil) (a) | | | 84,639 | | | | 2,500,236 | |
Petroleo Brasileiro SA Sponsored ADR (Brazil) (b) | | | 164,712 | | | | 560,021 | |
| | | | | | | | |
| | | | | | | 3,060,257 | |
| | | | | | | | |
| Cayman Islands — 2.0% | | | | | | | | |
Cheung Kong Property Holdings Ltd. | | | 367,254 | | | | 2,385,662 | |
CK Hutchison Holdings Ltd. | | | 367,254 | | | | 4,919,852 | |
| | | | | | | | |
| | | | | | | 7,305,514 | |
| | | | | | | | |
| China — 3.9% | | | | | | | | |
China Life Insurance Co. Ltd. | | | 1,251,000 | | | | 4,032,537 | |
China Telecom Corp. Ltd. Class H | | | 9,617,643 | | | | 4,479,415 | |
CRRC Corp. Ltd. | | | 1,616,100 | | | | 1,982,396 | |
Sinopharm Group Co. Ltd. Class H | | | 568,800 | | | | 2,268,697 | |
Weichai Power Co. Ltd. Class H | | | 1,090,000 | | | | 1,197,753 | |
| | | | | | | | |
| | | | | | | 13,960,798 | |
| | | | | | | | |
| France — 11.2% | | | | | | | | |
AXA SA | | | 234,467 | | | | 6,410,008 | |
BNP Paribas | | | 128,360 | | | | 7,265,689 | |
Cie Generale des Etablissements Michelin Class B | | | 56,000 | | | | 5,317,075 | |
Compagnie de Saint-Gobain | | | 96,920 | | | | 4,169,362 | |
Credit Agricole SA | | | 254,240 | | | | 2,995,117 | |
Sanofi | | | 66,618 | | | | 5,684,232 | |
Technip SA | | | 57,610 | | | | 2,845,706 | |
Total SA | | | 119,352 | | | | 5,315,441 | |
| | | | | | | | |
| | | | | | | 40,002,630 | |
| | | | | | | | |
| Germany — 12.0% | | | | | | | | |
Bayer AG | | | 49,610 | | | | 6,224,135 | |
Deutsche Boerse AG | | | 42,760 | | | | 3,782,774 | |
Deutsche Lufthansa AG (b) | | | 128,000 | | | | 2,021,339 | |
Deutsche Post AG | | | 66,911 | | | | 1,884,319 | |
HeidelbergCement AG | | | 72,710 | | | | 5,931,803 | |
Infineon Technologies AG | | | 308,437 | | | | 4,513,611 | |
Lanxess AG | | | 36,220 | | | | 1,667,619 | |
Merck KGaA | | | 50,900 | | | | 4,944,047 | |
Metro AG | | | 83,660 | | | | 2,670,194 | |
MorphoSys AG (b) | | | 20,350 | | | | 1,271,816 | |
Muenchener Rueckversicherungs AG | | | 10,850 | | | | 2,172,976 | |
SAP AG Sponsored ADR (Germany) (a) | | | 20,068 | | | | 1,587,379 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Siemens AG | | | 43,856 | | | $ | 4,254,956 | |
| | | | | | | | |
| | | | | | | 42,926,968 | |
| | | | | | | | |
| Hong Kong — 2.0% | | | | | | | | |
AIA Group Ltd. | | | 485,200 | | | | 2,890,607 | |
China Mobile Ltd. | | | 382,500 | | | | 4,286,844 | |
| | | | | | | | |
| | | | | | | 7,177,451 | |
| | | | | | | | |
| Ireland — 1.7% | | | | | | | | |
CRH PLC | | | 215,342 | | | | 6,224,498 | |
| | | | | | | | |
| Israel — 2.2% | | | | | | | | |
Teva Pharmaceutical Industries Ltd. Sponsored ADR (Israel) | | | 118,139 | | | | 7,754,644 | |
| | | | | | | | |
| Italy — 2.9% | | | | | | | | |
ENI SpA | | | 322,850 | | | | 4,782,749 | |
Intesa Sanpaolo SpA | | | 616,558 | | | | 2,054,739 | |
UniCredit SpA | | | 647,756 | | | | 3,567,817 | |
| | | | | | | | |
| | | | | | | 10,405,305 | |
| | | | | | | | |
| Japan — 7.2% | | | | | | | | |
Konica Minolta Holdings, Inc. | | | 344,300 | | | | 3,453,339 | |
Nissan Motor Co. Ltd. | | | 593,270 | | | | 6,213,231 | |
SoftBank Group Corp. | | | 83,700 | | | | 4,218,007 | |
Suntory Beverage & Food Ltd. | | | 112,800 | | | | 4,945,716 | |
Toshiba Corp. (a) (b) | | | 667,000 | | | | 1,368,743 | |
Toyota Motor Corp. Sponsored ADR (Japan) (a) | | | 45,239 | | | | 5,566,206 | |
| | | | | | | | |
| | | | | | | 25,765,242 | |
| | | | | | | | |
| Luxembourg — 0.6% | | | | | | | | |
Subsea 7 SA (a) (b) | | | 287,220 | | | | 2,020,126 | |
| | | | | | | | |
| Netherlands — 6.5% | | | | | | | | |
Akzo Nobel NV | | | 82,060 | | | | 5,481,075 | |
ING Groep NV | | | 464,630 | | | | 6,254,405 | |
Koninklijke Philips Electronics NV | | | 97,720 | | | | 2,484,572 | |
NN Group NV | | | 63,590 | | | | 2,236,174 | |
QIAGEN NV (b) | | | 69,390 | | | | 1,877,332 | |
SBM Offshore NV (b) | | | 191,128 | | | | 2,429,876 | |
TNT Express NV | | | 320,210 | | | | 2,709,610 | |
| | | | | | | | |
| | | | | | | 23,473,044 | |
| | | | | | | | |
| Norway — 1.6% | | | | | | | | |
StatoilHydro ASA | | | 90,840 | | | | 1,270,515 | |
Telenor ASA | | | 268,156 | | | | 4,461,108 | |
| | | | | | | | |
| | | | | | | 5,731,623 | |
| | | | | | | | |
| Portugal — 0.8% | | | | | | | | |
Galp Energia SGPS SA | | | 242,320 | | | | 2,808,948 | |
| | | | | | | | |
| Republic of Korea — 5.3% | | | | | | | | |
Hana Financial Group, Inc. | | | 79,353 | | | | 1,589,188 | |
Hyundai Mobis | | | 18,195 | | | | 3,797,307 | |
KB Financial Group, Inc. Sponsored ADR (Republic of Korea) (b) | | | 80,916 | | | | 2,255,129 | |
The accompanying notes are an integral part of the financial statements.
77
MML Foreign Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
POSCO ADR (Republic of Korea) (a) | | | 76,271 | | | $ | 2,696,943 | |
Samsung Electronics Co., Ltd. | | | 8,124 | | | | 8,675,064 | |
| | | | | | | | |
| | | | | | | 19,013,631 | |
| | | | | | | | |
| Russia — 0.5% | | | | | | | | |
MMC Norilsk Nickel PJSC ADR (Russia) | | | 145,469 | | | | 1,832,471 | |
| | | | | | | | |
| Singapore — 2.6% | | | | | | | | |
DBS Group Holdings, Ltd. | | | 385,379 | | | | 4,511,823 | |
Singapore Telecommunications Ltd. | | | 1,468,000 | | | | 3,778,009 | |
Singapore Telecommunications Ltd. | | | 340,700 | | | | 894,342 | |
| | | | | | | | |
| | | | | | | 9,184,174 | |
| | | | | | | | |
| Spain — 1.6% | | | | | | | | |
Repsol YPF SA | | | 81,144 | | | | 883,416 | |
Telefonica SA Sponsored ADR (Spain) (a) | | | 432,138 | | | | 4,779,446 | |
| | | | | | | | |
| | | | | | | 5,662,862 | |
| | | | | | | | |
| Sweden — 1.3% | | | | | | | | |
Getinge AB Class B | | | 128,140 | | | | 3,334,833 | |
Telefonaktiebolaget LM Ericsson Sponsored ADR (Sweden) | | | 133,854 | | | | 1,286,337 | |
| | | | | | | | |
| | | | | | | 4,621,170 | |
| | | | | | | | |
| Switzerland — 6.6% | | | | | | | | |
ABB Ltd. | | | 99,000 | | | | 1,757,254 | |
Credit Suisse Group | | | 264,255 | | | | 5,711,433 | |
Novartis AG | | | 39,920 | | | | 3,412,226 | |
Roche Holding AG | | | 28,130 | | | | 7,752,294 | |
Swiss Re AG | | | 53,250 | | | | 5,180,062 | |
| | | | | | | | |
| | | | | | | 23,813,269 | |
| | | | | | | | |
| Taiwan — 0.5% | | | | | | | | |
Taiwan Semiconductor Manufacturing Co. Ltd. | | | 416,275 | | | | 1,796,258 | |
| | | | | | | | |
| Thailand — 0.7% | | | | | | | | |
Bangkok Bank PCL (a) | | | 565,500 | | | | 2,410,381 | |
| | | | | | | | |
| United Kingdom — 20.5% | | | | | | | | |
Aviva PLC | | | 691,025 | | | | 5,221,420 | |
BAE Systems PLC | | | 633,010 | | | | 4,658,812 | |
Barclays PLC | | | 1,222,440 | | | | 3,956,645 | |
BP PLC | | | 1,050,334 | | | | 5,473,231 | |
GlaxoSmithKline PLC | | | 355,714 | | | | 7,184,710 | |
Glencore PLC | | | 922,750 | | | | 1,227,785 | |
HSBC Holdings PLC | | | 781,600 | | | | 6,188,488 | |
Kingfisher PLC | | | 1,039,414 | | | | 5,032,982 | |
Lloyds Banking Group PLC | | | 3,390,640 | | | | 3,649,411 | |
Marks & Spencer Group PLC | | | 725,600 | | | | 4,821,857 | |
Petrofac Ltd. | | | 190,850 | | | | 2,236,105 | |
Rexam PLC | | | 328,524 | | | | 2,914,205 | |
Royal Dutch Shell PLC Class A | | | 2,397 | | | | 53,852 | |
Royal Dutch Shell PLC Class B | | | 226,874 | | | | 5,180,504 | |
Sky PLC | | | 290,060 | | | | 4,745,654 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Standard Chartered PLC | | | 372,272 | | | $ | 3,088,491 | |
Tesco PLC (b) | | | 1,373,370 | | | | 3,022,668 | |
Vodafone Group PLC Sponsored ADR (United Kingdom) | | | 155,258 | | | | 5,008,623 | |
| | | | | | | | |
| | | | | | | 73,665,443 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $348,771,006) | | | | | | | 343,415,357 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $348,771,006) | | | | | | | 343,415,357 | |
| | | | | | | | |
|
| MUTUAL FUNDS — 6.2% | |
| United States — 6.2% | | | | | | | | |
State Street Navigator Securities Lending Prime Portfolio (c) | | | 22,186,164 | | | | 22,186,164 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $22,186,164) | | | | | | | 22,186,164 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $370,957,170) | | | | | | | 365,601,521 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 3.4% | |
| Repurchase Agreement — 3.4% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (d) | | $ | 12,373,678 | | | | 12,373,678 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $12,373,678) | | | | | | | 12,373,678 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 105.4%
(Cost $383,330,848) (e) | | | | | | | 377,975,199 | |
| | |
| Other Assets/(Liabilities) — (5.4)% | | | | | | | (19,506,648 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 358,468,551 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Denotes all or a portion of security on loan. The total value of securities on loan as of December 31, 2015, was $21,427,551 or 5.98% of net assets. Total securities on loan may not correspond with the amounts identified in the Portfolio of Investments because pending sales may be in the process of recall from the brokers. (Note 2). |
| (b) | Non-income producing security. |
The accompanying notes are an integral part of the financial statements.
78
MML Foreign Fund – Portfolio of Investments (Continued)
Notes to Portfolio of Investments (Continued)
| (c) | Represents investment of security lending collateral. (Note 2). |
| (d) | Maturity value of $12,373,691. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $12,623,302. |
| (e) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
79
MML Fundamental Growth Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 99.0% | | | | | | | | |
| | |
| COMMON STOCK — 99.0% | | | | | | | | |
| Basic Materials — 0.4% | | | | | | | | |
| Chemicals — 0.4% | | | | | | | | |
The Sherwin-Williams Co. | | | 3,165 | | | $ | 821,634 | |
| | | | | | | | |
| Communications — 22.2% | | | | | | | | |
| Advertising — 0.5% | | | | | | | | |
Nielsen Holdings PLC | | | 21,178 | | | | 986,895 | |
| | | | | | | | |
| Internet — 16.6% | | | | | | | | |
Alibaba Group Holding Ltd. Sponsored ADR (Cayman Islands) (a) | | | 11,795 | | | | 958,580 | |
Alphabet, Inc. Class C (a) | | | 13,691 | | | | 10,389,826 | |
Amazon.com, Inc. (a) | | | 9,759 | | | | 6,596,010 | |
Baidu, Inc. Sponsored ADR (Cayman Islands) (a) | | | 4,963 | | | | 938,206 | |
CDW Corp. | | | 15,131 | | | | 636,107 | |
eBay, Inc. (a) | | | 48,512 | | | | 1,333,110 | |
Expedia, Inc. | | | 7,280 | | | | 904,904 | |
F5 Networks, Inc. (a) | | | 8,650 | | | | 838,704 | |
Facebook, Inc. Class A (a) | | | 59,035 | | | | 6,178,603 | |
The Priceline Group, Inc. (a) | | | 1,713 | | | | 2,183,989 | |
| | | | | | | | |
| | | | | | | 30,958,039 | |
| | | | | | | | |
| Media — 2.7% | | | | | | | | |
Comcast Corp. Class A | | | 64,275 | | | | 3,627,038 | |
Discovery Communications, Inc. Series A (a) | | | 12,862 | | | | 343,158 | |
FactSet Research Systems, Inc. | | | 4,301 | | | | 699,214 | |
Scripps Networks Interactive Class A | | | 5,165 | | | | 285,160 | |
| | | | | | | | |
| | | | | | | 4,954,570 | |
| | | | | | | | |
| Telecommunications — 2.4% | | | | | | | | |
Cisco Systems, Inc. | | | 64,739 | | | | 1,757,987 | |
QUALCOMM, Inc. | | | 15,880 | | | | 793,762 | |
Verizon Communications, Inc. | | | 41,278 | | | | 1,907,869 | |
| | | | | | | | |
| | | | | | | 4,459,618 | |
| | | | | | | | |
| | | | | | | 41,359,122 | |
| | | | | | | | |
| Consumer, Cyclical — 14.2% | | | | | | | | |
| Apparel — 0.2% | | | | | | | | |
Ralph Lauren Corp. | | | 2,806 | | | | 312,813 | |
| | | | | | | | |
| Home Builders — 0.4% | | | | | | | | |
PulteGroup, Inc. | | | 46,124 | | | | 821,930 | |
| | | | | | | | |
| Lodging — 1.1% | | | | | | | | |
Hilton Worldwide Holdings, Inc. | | | 29,728 | | | | 636,179 | |
Las Vegas Sands Corp. | | | 13,979 | | | | 612,839 | |
Wyndham Worldwide Corp. | | | 10,483 | | | | 761,590 | |
| | | | | | | | |
| | | | | | | 2,010,608 | |
| | | | | | | | |
| Retail — 12.5% | | | | | | | | |
Advance Auto Parts, Inc. | | | 8,551 | | | | 1,287,011 | |
Costco Wholesale Corp. | | | 16,140 | | | | 2,606,610 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
CVS Health Corp. | | | 31,488 | | | $ | 3,078,582 | |
Dunkin’ Brands Group, Inc. | | | 17,511 | | | | 745,793 | |
The Home Depot, Inc. | | | 36,461 | | | | 4,821,967 | |
Lowe’s Cos., Inc. | | | 37,471 | | | | 2,849,295 | |
McDonald’s Corp. | | | 17,156 | | | | 2,026,810 | |
O’Reilly Automotive, Inc. (a) | | | 7,864 | | | | 1,992,895 | |
Ross Stores, Inc. | | | 29,162 | | | | 1,569,207 | |
The TJX Cos., Inc. | | | 31,389 | | | | 2,225,794 | |
| | | | | | | | |
| | | | | | | 23,203,964 | |
| | | | | | | | |
| | | | | | | 26,349,315 | |
| | | | | | | | |
| Consumer, Non-cyclical — 30.5% | | | | | | | | |
| Beverages — 3.5% | | | | | | | | |
Anheuser-Busch InBev SA/NV Sponsored ADR (Belgium) | | | 4,427 | | | | 553,375 | |
Monster Beverage Corp. (a) | | | 9,227 | | | | 1,374,454 | |
PepsiCo, Inc. | | | 44,962 | | | | 4,492,603 | |
| | | | | | | | |
| | | | | | | 6,420,432 | |
| | | | | | | | |
| Biotechnology — 6.1% | | | | | | | | |
Amgen, Inc. | | | 22,222 | | | | 3,607,297 | |
Celgene Corp. (a) | | | 18,856 | | | | 2,258,195 | |
Gilead Sciences, Inc. | | | 34,238 | | | | 3,464,543 | |
Regeneron Pharmaceuticals, Inc. (a) | | | 916 | | | | 497,269 | |
Vertex Pharmaceuticals, Inc. (a) | | | 11,609 | | | | 1,460,760 | |
| | | | | | | | |
| | | | | | | 11,288,064 | |
| | | | | | | | |
| Commercial Services — 6.7% | | | | | | | | |
Alliance Data Systems Corp. (a) | | | 4,713 | | | | 1,303,474 | |
Moody’s Corp. | | | 9,913 | | | | 994,670 | |
Paychex, Inc. | | | 36,711 | | | | 1,941,645 | |
PayPal Holdings, Inc. (a) | | | 42,264 | | | | 1,529,957 | |
Vantiv, Inc. Class A (a) | | | 29,321 | | | | 1,390,402 | |
Verisk Analytics, Inc. (a) | | | 18,299 | | | | 1,406,827 | |
Visa, Inc. Class A | | | 50,841 | | | | 3,942,720 | |
| | | | | | | | |
| | | | | | | 12,509,695 | |
| | | | | | | | |
| Cosmetics & Personal Care — 2.0% | | | | | | | | |
Colgate-Palmolive Co. | | | 21,225 | | | | 1,414,009 | |
The Estee Lauder Cos., Inc. Class A | | | 25,212 | | | | 2,220,169 | |
| | | | | | | | |
| | | | | | | 3,634,178 | |
| | | | | | | | |
| Foods — 1.0% | | | | | | | | |
Mondelez International, Inc. Class A | | | 40,022 | | | | 1,794,587 | |
| | | | | | | | |
| Health Care – Products — 3.6% | | | | | | | | |
Becton, Dickinson & Co. | | | 11,271 | | | | 1,736,749 | |
C.R. Bard, Inc. | | | 7,107 | | | | 1,346,350 | |
Johnson & Johnson | | | 10,456 | | | | 1,074,040 | |
Medtronic PLC | | | 19,510 | | | | 1,500,709 | |
Varian Medical Systems, Inc. (a) | | | 6,339 | | | | 512,191 | |
Zimmer Biomet Holdings, Inc. | | | 5,797 | | | | 594,714 | |
| | | | | | | | |
| | | | | | | 6,764,753 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
80
MML Fundamental Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Health Care – Services — 1.3% | |
Aetna, Inc. | | | 15,410 | | | $ | 1,666,129 | |
Anthem, Inc. | | | 5,669 | | | | 790,486 | |
| | | | | | | | |
| | | | | | | 2,456,615 | |
| | | | | | | | |
| Pharmaceuticals — 6.3% | |
Allergan PLC (a) | | | 5,040 | | | | 1,575,000 | |
AstraZeneca PLC Sponsored ADR (United Kingdom) | | | 26,967 | | | | 915,530 | |
Bristol-Myers Squibb Co. | | | 56,113 | | | | 3,860,013 | |
Cardinal Health, Inc. | | | 23,523 | | | | 2,099,898 | |
Eli Lilly & Co. | | | 24,767 | | | | 2,086,868 | |
Merck & Co., Inc. | | | 23,565 | | | | 1,244,703 | |
| | | | | | | | |
| | | | | | | 11,782,012 | |
| | | | | | | | |
| | | | | | | 56,650,336 | |
| | | | | | | | |
| Energy — 1.8% | |
| Energy – Alternate Sources — 0.9% | |
First Solar, Inc. (a) | | | 27,014 | | | | 1,782,654 | |
| | | | | | | | |
| Oil & Gas — 0.9% | |
BP PLC Sponsored ADR (United Kingdom) | | | 27,163 | | | | 849,116 | |
Chevron Corp. | | | 8,597 | | | | 773,386 | |
| | | | | | | | |
| | | | | | | 1,622,502 | |
| | | | | | | | |
| | | | | | | 3,405,156 | |
| | | | | | | | |
| Financial — 6.7% | |
| Banks — 0.9% | |
Bank of America Corp. | | | 98,777 | | | | 1,662,417 | |
| | | | | | | | |
| Diversified Financial — 3.8% | |
The Goldman Sachs Group, Inc. | | | 8,818 | | | | 1,589,268 | |
Intercontinental Exchange, Inc. | | | 7,511 | | | | 1,924,769 | |
JP Morgan Chase & Co. | | | 21,836 | | | | 1,441,831 | |
MasterCard, Inc. Class A | | | 21,139 | | | | 2,058,093 | |
| | | | | | | | |
| | | | | | | 7,013,961 | |
| | | | | | | | |
| Insurance — 0.8% | |
American International Group, Inc. | | | 24,175 | | | | 1,498,125 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 1.2% | |
Public Storage | | | 8,875 | | | | 2,198,337 | |
| | | | | | | | |
| | | | | | | 12,372,840 | |
| | | | | | | | |
| Industrial — 3.5% | |
| Aerospace & Defense — 1.2% | |
The Boeing Co. | | | 15,648 | | | | 2,262,544 | |
| | | | | | | | |
| Machinery – Diversified — 0.4% | |
Rockwell Automation, Inc. | | | 6,314 | | | | 647,880 | |
| | | | | | | | |
| Manufacturing — 1.9% | |
Danaher Corp. | | | 19,017 | | | | 1,766,299 | |
Honeywell International, Inc. | | | 17,486 | | | | 1,811,025 | |
| | | | | | | | |
| | | | | | | 3,577,324 | |
| | | | | | | | |
| | | | | | | 6,487,748 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Technology — 19.7% | |
| Computers — 7.4% | |
Amdocs Ltd. | | | 17,109 | | | $ | 933,638 | |
Apple, Inc. | | | 97,553 | | | | 10,268,429 | |
IHS, Inc. Class A (a) | | | 13,846 | | | | 1,639,782 | |
Jack Henry & Associates, Inc. | | | 11,798 | | | | 920,952 | |
| | | | | | | | |
| | | | | | | 13,762,801 | |
| | | | | | | | |
| Internet — 1.4% | |
Check Point Software Technologies Ltd. (a) | | | 33,103 | | | | 2,693,922 | |
| | | | | | | | |
| Semiconductors — 1.8% | |
Broadcom Corp. Class A | | | 6,290 | | | | 363,688 | |
Linear Technology Corp. | | | 29,624 | | | | 1,258,131 | |
Maxim Integrated Products, Inc. | | | 44,132 | | | | 1,677,016 | |
| | | | | | | | |
| | | | | | | 3,298,835 | |
| | | | | | | | |
| Software — 9.1% | |
Activision Blizzard, Inc. | | | 23,716 | | | | 918,046 | |
Fiserv, Inc. (a) | | | 16,280 | | | | 1,488,969 | |
Intuit, Inc. | | | 7,153 | | | | 690,264 | |
Microsoft Corp. | | | 116,556 | | | | 6,466,527 | |
Oracle Corp. | | | 142,271 | | | | 5,197,160 | |
Salesforce.com, Inc. (a) | | | 27,340 | | | | 2,143,456 | |
| | | | | | | | |
| | | | | | | 16,904,422 | |
| | | | | | | | |
| | | | | | | 36,659,980 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $152,319,432) | | | | | | | 184,106,131 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $152,319,432) | | | | | | | 184,106,131 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $152,319,432) | | | | | | | 184,106,131 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 1.2% | |
| Repurchase Agreement — 1.2% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 2,257,151 | | | | 2,257,151 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $2,257,151) | | | | | | | 2,257,151 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.2%
(Cost $154,576,583) (c) | | | | | | | 186,363,282 | |
| | |
| Other Assets/(Liabilities) — (0.2)% | | | | | | | (314,156 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 186,049,126 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
81
MML Fundamental Growth Fund – Portfolio of Investments (Continued)
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Maturity value of $2,257,154. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $2,303,165. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
82
MML Fundamental Value Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 97.8% | | | | | |
| |
| COMMON STOCK — 97.8% | | | | | |
| Basic Materials — 3.6% | | | | | | | | |
| Chemicals — 1.8% | | | | | | | | |
Agrium, Inc. | | | 11,500 | | | $ | 1,027,410 | |
The Dow Chemical Co. | | | 58,140 | | | | 2,993,047 | |
| | | | | | | | |
| | | | | | | 4,020,457 | |
| | | | | | | | |
| Forest Products & Paper — 0.7% | | | | | | | | |
International Paper Co. | | | 41,850 | | | | 1,577,745 | |
| | | | | | | | |
| Iron & Steel — 1.1% | | | | | | | | |
Nucor Corp. | | | 24,330 | | | | 980,499 | |
Steel Dynamics, Inc. | | | 85,740 | | | | 1,532,174 | |
| | | | | | | | |
| | | | | | | 2,512,673 | |
| | | | | | | | |
| | | | | | | 8,110,875 | |
| | | | | | | | |
| Communications — 10.1% | | | | | | | | |
| Advertising — 1.2% | | | | | | | | |
Nielsen Holdings PLC | | | 56,500 | | | | 2,632,900 | |
| | | | | | | | |
| Internet — 1.2% | | | | | | | | |
Symantec Corp. | | | 125,240 | | | | 2,630,040 | |
| | | | | | | | |
| Media — 3.0% | | | | | | | | |
CBS Corp. Class B | | | 48,780 | | | | 2,299,002 | |
Comcast Corp. Class A | | | 40,940 | | | | 2,310,244 | |
Thomson Reuters Corp. | | | 56,500 | | | | 2,138,525 | |
| | | | | | | | |
| | | | | | | 6,747,771 | |
| | | | | | | | |
| Telecommunications — 4.7% | | | | | | | | |
Cisco Systems, Inc. | | | 268,640 | | | | 7,294,919 | |
Verizon Communications, Inc. | | | 74,040 | | | | 3,422,129 | |
| | | | | | | | |
| | | | | | | 10,717,048 | |
| | | | | | | | |
| | | | | | | 22,727,759 | |
| | | | | | | | |
| Consumer, Cyclical — 9.8% | | | | | | | | |
| Home Builders — 0.9% | | | | | | | | |
PulteGroup, Inc. | | | 109,410 | | | | 1,949,686 | |
| | | | | | | | |
| Leisure Time — 1.4% | | | | | | | | |
Norwegian Cruise Line Holdings Ltd. (a) | | | 52,130 | | | | 3,054,818 | |
| | | | | | | | |
| Lodging — 0.8% | | | | | | | | |
Hilton Worldwide Holdings, Inc. | | | 87,210 | | | | 1,866,294 | |
| | | | | | | | |
| Retail — 6.7% | | | | | | | | |
CVS Health Corp. | | | 28,000 | | | | 2,737,560 | |
Dollar General Corp. | | | 22,700 | | | | 1,631,449 | |
The Home Depot, Inc. | | | 26,110 | | | | 3,453,047 | |
Lowe’s Cos., Inc. | | | 33,320 | | | | 2,533,653 | |
Nordstrom, Inc. | | | 26,480 | | | | 1,318,969 | |
PVH Corp. | | | 20,530 | | | | 1,512,035 | |
Signet Jewelers Ltd. | | | 15,100 | | | | 1,867,719 | |
| | | | | | | | |
| | | | | | | 15,054,432 | |
| | | | | | | | |
| | | | | | | 21,925,230 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Consumer, Non-cyclical — 17.7% | | | | | | | | |
| Agriculture — 1.0% | | | | | | | | |
British American Tobacco PLC | | | 42,850 | | | $ | 2,379,848 | |
| | | | | | | | |
| Beverages — 0.6% | | | | | | | | |
Diageo PLC Sponsored ADR (United Kingdom) | | | 11,540 | | | | 1,258,668 | |
| | | | | | | | |
| Biotechnology — 1.9% | | | | | | | | |
Amgen, Inc. | | | 15,500 | | | | 2,516,115 | |
Gilead Sciences, Inc. | | | 17,910 | | | | 1,812,313 | |
| | | | | | | | |
| | | | | | | 4,328,428 | |
| | | | | | | | |
| Foods — 1.9% | | | | | | | | |
Ingredion, Inc. | | | 19,000 | | | | 1,820,960 | |
The Kraft Heinz Co. | | | 33,626 | | | | 2,446,628 | |
| | | | | | | | |
| | | | | | | 4,267,588 | |
| | | | | | | | |
| Health Care – Products — 2.2% | | | | | | | | |
Baxter International, Inc. | | | 29,560 | | | | 1,127,714 | |
Medtronic PLC | | | 49,009 | | | | 3,769,772 | |
| | | | | | | | |
| | | | | | | 4,897,486 | |
| | | | | | | | |
| Health Care – Services — 1.4% | | | | | | | | |
UnitedHealth Group, Inc. | | | 26,260 | | | | 3,089,226 | |
| | | | | | | | |
| Pharmaceuticals — 8.7% | | | | | | | | |
Allergan PLC (a) | | | 7,300 | | | | 2,281,250 | |
AstraZeneca PLC Sponsored ADR (United Kingdom) | | | 74,540 | | | | 2,530,633 | |
Baxalta, Inc. | | | 16,960 | | | | 661,949 | |
Bristol-Myers Squibb Co. | | | 51,890 | | | | 3,569,513 | |
Merck & Co., Inc. | | | 107,010 | | | | 5,652,268 | |
Pfizer, Inc. | | | 58,549 | | | | 1,889,962 | |
Roche Holding AG | | | 10,863 | | | | 2,993,714 | |
| | | | | | | | |
| | | | | | | 19,579,289 | |
| | | | | | | | |
| | | | | | | 39,800,533 | |
| | | | | | | | |
| Energy — 9.3% | | | | | | | | |
| Oil & Gas — 8.2% | | | | | | | | |
Anadarko Petroleum Corp. | | | 22,520 | | | | 1,094,022 | |
Chevron Corp. | | | 53,490 | | | | 4,811,960 | |
EOG Resources, Inc. | | | 38,920 | | | | 2,755,147 | |
Exxon Mobil Corp. | | | 42,750 | | | | 3,332,362 | |
Marathon Oil Corp. | | | 159,550 | | | | 2,008,734 | |
Occidental Petroleum Corp. | | | 23,190 | | | | 1,567,876 | |
Pioneer Natural Resources Co. | | | 16,870 | | | | 2,115,161 | |
Southwestern Energy Co. (a) | | | 106,490 | | | | 757,144 | |
| | | | | | | | |
| | | | | | | 18,442,406 | |
| | | | | | | | |
| Oil & Gas Services — 1.1% | | | | | | | | |
Halliburton Co. | | | 72,300 | | | | 2,461,092 | |
| | | | | | | | |
| | | | | | | 20,903,498 | |
| | | | | | | | |
| Financial — 25.8% | | | | | | | | |
| Banks — 7.7% | | | | | | | | |
M&T Bank Corp. | | | 22,390 | | | | 2,713,220 | |
The accompanying notes are an integral part of the financial statements.
83
MML Fundamental Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
PNC Financial Services Group, Inc. | | | 55,470 | | | $ | 5,286,846 | |
Wells Fargo & Co. | | | 171,280 | | | | 9,310,781 | |
| | | | | | | | |
| | | | | | | 17,310,847 | |
| | | | | | | | |
| Diversified Financial — 11.8% | | | | | | | | |
Ameriprise Financial, Inc. | | | 5,880 | | | | 625,750 | |
BlackRock, Inc. | | | 10,830 | | | | 3,687,831 | |
Citigroup, Inc. | | | 110,310 | | | | 5,708,542 | |
The Goldman Sachs Group, Inc. | | | 14,110 | | | | 2,543,045 | |
Intercontinental Exchange, Inc. | | | 8,550 | | | | 2,191,023 | |
Invesco Ltd. | | | 80,600 | | | | 2,698,488 | |
JP Morgan Chase & Co. | | | 138,890 | | | | 9,170,907 | |
| | | | | | | | |
| | | | | | | 26,625,586 | |
| | | | | | | | |
| Insurance — 6.3% | | | | | | | | |
ACE Ltd. | | | 33,110 | | | | 3,868,903 | |
American International Group, Inc. | | | 41,250 | | | | 2,556,262 | |
Marsh & McLennan Cos., Inc. | | | 43,890 | | | | 2,433,701 | |
MetLife, Inc. | | | 57,790 | | | | 2,786,056 | |
Principal Financial Group, Inc. | | | 35,710 | | | | 1,606,236 | |
Unum Group | | | 26,150 | | | | 870,534 | |
| | | | | | | | |
| | | | | | | 14,121,692 | |
| | | | | | | | |
| | | | | | | 58,058,125 | |
| | | | | | | | |
| Industrial — 10.9% | | | | | | | | |
| Aerospace & Defense — 1.8% | | | | | | | | |
Triumph Group, Inc. | | | 21,500 | | | | 854,625 | |
United Technologies Corp. | | | 32,980 | | | | 3,168,389 | |
| | | | | | | | |
| | | | | | | 4,023,014 | |
| | | | | | | | |
| Building Materials — 1.6% | | | | | | | | |
Fortune Brands Home & Security, Inc. | | | 66,460 | | | | 3,688,530 | |
| | | | | | | | |
| Machinery – Construction & Mining — 0.8% | |
Ingersoll-Rand PLC | | | 33,750 | | | | 1,866,037 | |
| | | | | | | | |
| Manufacturing — 5.9% | | | | | | | | |
3M Co. | | | 15,990 | | | | 2,408,734 | |
Eaton Corp. PLC | | | 65,420 | | | | 3,404,457 | |
General Electric Co. | | | 172,170 | | | | 5,363,095 | |
Illinois Tool Works, Inc. | | | 22,500 | | | | 2,085,300 | |
| | | | | | | | |
| | | | | | | 13,261,586 | |
| | | | | | | | |
| Transportation — 0.8% | |
Union Pacific Corp. | | | 22,400 | | | | 1,751,680 | |
| | | | | | | | |
| | | | | | | 24,590,847 | |
| | | | | | | | |
| Technology — 7.4% | |
| Semiconductors — 4.5% | |
Analog Devices, Inc. | | | 20,190 | | | | 1,116,911 | |
Intel Corp. | | | 144,950 | | | | 4,993,527 | |
Maxim Integrated Products, Inc. | | | 104,480 | | | | 3,970,240 | |
| | | | | | | | |
| | | | | | | 10,080,678 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Software — 2.9% | |
Microsoft Corp. | | | 117,690 | | | $ | 6,529,441 | |
| | | | | | | | |
| | | | | | | 16,610,119 | |
| | | | | | | | |
| Utilities — 3.2% | |
| Electric — 3.2% | |
Dominion Resources, Inc. | | | 17,400 | | | | 1,176,936 | |
Edison International | | | 32,180 | | | | 1,905,378 | |
Eversource Energy | | | 54,570 | | | | 2,786,890 | |
NextEra Energy, Inc. | | | 12,890 | | | | 1,339,142 | |
| | | | | | | | |
| | | | | | | 7,208,346 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $179,256,975) | | | | | | | 219,935,332 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $179,256,975) | | | | | | | 219,935,332 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $179,256,975) | | | | | | | 219,935,332 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 2.7% | |
| Repurchase Agreement — 2.7% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 5,937,899 | | | | 5,937,899 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 9,788 | | | | 9,788 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $5,947,687) | | | | | | | 5,947,687 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.5%
(Cost $185,204,662) (c) | | | | | | | 225,883,019 | |
| | |
| Other Assets/(Liabilities) — (0.5)% | | | | | | | (1,017,527 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 224,865,492 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Maturity value of $5,937,906. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $6,056,833. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
84
MML Fundamental Value Fund – Portfolio of Investments (Continued)
Notes to Portfolio Investments (Continued)
Country weightings, as a percentage of net assets, is as follows:
| | | | |
United States | | | 81.0 | % |
Ireland | | | 5.0 | % |
United Kingdom | | | 3.9 | % |
Bermuda | | | 3.4 | % |
Switzerland | | | 3.1 | % |
Canada | | | 1.4 | % |
| | | | |
Total Long-Term Investments | | | 97.8 | % |
Short-Term Investments and Other Assets and Liabilities | | | 2.2 | % |
| | | | |
Net Assets | | | 100.0 | % |
| | | | |
The accompanying notes are an integral part of the financial statements.
85
MML Global Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 98.6% | | | | | | | | |
| | |
| COMMON STOCK — 98.6% | | | | | | | | |
| Austria — 0.5% | | | | | | | | |
Erste Group Bank AG (a) | | | 38,369 | | | $ | 1,199,152 | |
| | | | | | | | |
| Bermuda — 0.1% | | | | | | | | |
Credicorp Ltd. | | | 3,962 | | | | 385,582 | |
| | | | | | | | |
| Brazil — 0.7% | | | | | | | | |
AMBEV SA | | | 233,531 | | | | 1,045,692 | |
Itau Unibanco Holding SA Sponsored ADR (Brazil) | | | 99,841 | | | | 649,965 | |
| | | | | | | | |
| | | | | | | 1,695,657 | |
| | | | | | | | |
| Canada — 1.7% | | | | | | | | |
Canadian National Railway Co. | | | 75,193 | | | | 4,201,785 | |
| | | | | | | | |
| Cayman Islands — 0.2% | | | | | | | | |
Sands China Ltd. | | | 131,600 | | | | 443,427 | |
| | | | | | | | |
| Czech Republic — 0.1% | | | | | | | | |
Komercni Banka AS | | | 1,991 | | | | 394,522 | |
| | | | | | | | |
| Denmark — 0.9% | | | | | | | | |
Carlsberg A/S Class B | | | 25,062 | | | | 2,215,856 | |
| | | | | | | | |
| France — 7.4% | | | | | | | | |
Air Liquide | | | 10,165 | | | | 1,141,670 | |
Danone SA | | | 63,959 | | | | 4,316,425 | |
Hermes International | | | 1,235 | | | | 416,395 | |
Legrand SA | | | 40,318 | | | | 2,275,582 | |
LVMH Moet Hennessy Louis Vuitton SE | | | 26,880 | | | | 4,202,060 | |
Pernod-Ricard SA | | | 33,053 | | | | 3,757,829 | |
Schneider Electric SE | | | 44,750 | | | | 2,547,880 | |
| | | | | | | | |
| | | | | | | 18,657,841 | |
| | | | | | | | |
| Germany — 6.1% | | | | | | | | |
Bayer AG | | | 43,058 | | | | 5,402,112 | |
Brenntag AG | | | 19,653 | | | | 1,025,735 | |
Deutsche Boerse AG | | | 16,243 | | | | 1,436,941 | |
Linde AG | | | 23,762 | | | | 3,449,133 | |
Merck KGaA | | | 22,417 | | | | 2,177,421 | |
MTU Aero Engines AG | | | 18,426 | | | | 1,796,171 | |
| | | | | | | | |
| | | | | | | 15,287,513 | |
| | | | | | | | |
| Ireland — 4.3% | | | | | | | | |
Accenture PLC Class A | | | 60,057 | | | | 6,275,957 | |
Medtronic PLC | | | 58,946 | | | | 4,534,126 | |
| | | | | | | | |
| | | | | | | 10,810,083 | |
| | | | | | | | |
| Israel — 0.5% | | | | | | | | |
Check Point Software Technologies Ltd. (a) | | | 15,447 | | | | 1,257,077 | |
| | | | | | | | |
| Japan — 1.3% | | | | | | | | |
Hoya Corp. | | | 44,700 | | | | 1,822,361 | |
Inpex Corp. | | | 90,600 | | | | 894,097 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Lawson, Inc. | | | 8,600 | | | $ | 697,433 | |
| | | | | | | | |
| | | | | | | 3,413,891 | |
| | | | | | | | |
| Mexico — 0.4% | | | | | | | | |
Grupo Financiero Banorte SAB de CV Class O | | | 171,536 | | | | 943,550 | |
| | | | | | | | |
| Netherlands — 2.2% | | | | | | | | |
Akzo Nobel NV | | | 43,459 | | | | 2,902,779 | |
Heineken NV | | | 31,511 | | | | 2,689,415 | |
| | | | | | | | |
| | | | | | | 5,592,194 | |
| | | | | | | | |
| Netherlands Antilles — 0.9% | | | | | | | | |
Schlumberger Ltd. | | | 31,430 | | | | 2,192,243 | |
| | | | | | | | |
| Republic of Korea — 0.6% | | | | | | | | |
Samsung Electronics Co., Ltd. | | | 1,389 | | | | 1,483,218 | |
| | | | | | | | |
| Spain — 0.4% | | | | | | | | |
Aena SA (a) (b) | | | 8,316 | | | | 947,463 | |
| | | | | | | | |
| Sweden — 1.6% | | | | | | | | |
Svenska Cellulosa AB Class B | | | 143,620 | | | | 4,170,857 | |
| | | | | | | | |
| Switzerland — 8.3% | | | | | | | | |
Adecco SA | | | 31,422 | | | | 2,157,553 | |
Cie Financiere Richemont SA | | | 32,000 | | | | 2,298,668 | |
Julius Baer Group Ltd. | | | 23,913 | | | | 1,146,478 | |
Nestle SA | | | 89,840 | | | | 6,659,269 | |
Roche Holding AG | | | 9,141 | | | | 2,519,151 | |
Sonova Holding AG | | | 11,227 | | | | 1,425,226 | |
Swiss Re AG | | | 8,867 | | | | 862,565 | |
UBS Group AG | | | 202,261 | | | | 3,892,291 | |
| | | | | | | | |
| | | | | | | 20,961,201 | |
| | | | | | | | |
| Thailand — 0.2% | | | | | | | | |
Kasikornbank PCL | | | 117,100 | | | | 484,116 | |
| | | | | | | | |
| United Kingdom — 10.8% | | | | | | | | |
Burberry Group PLC | | | 81,426 | | | | 1,432,193 | |
Compass Group PLC | | | 183,459 | | | | 3,175,272 | |
Delphi Automotive PLC | | | 22,245 | | | | 1,907,064 | |
Diageo PLC | | | 183,970 | | | | 5,016,952 | |
Reckitt Benckiser Group PLC | | | 66,446 | | | | 6,116,283 | |
Sky PLC | | | 153,007 | | | | 2,503,338 | |
Standard Chartered PLC | | | 160,754 | | | | 1,333,668 | |
Whitbread PLC | | | 12,708 | | | | 821,246 | |
William Hill PLC | | | 140,199 | | | | 818,134 | |
WPP PLC | | | 171,010 | | | | 3,936,259 | |
| | | | | | | | |
| | | | | | | 27,060,409 | |
| | | | | | | | |
| United States — 49.4% | | | | | | | | |
3M Co. | | | 27,154 | | | | 4,090,479 | |
American Express Co. | | | 50,840 | | | | 3,535,922 | |
Amphenol Corp. Class A | | | 33,347 | | | | 1,741,714 | |
AutoZone, Inc. (a) | | | 2,832 | | | | 2,101,089 | |
The Bank of New York Mellon Corp. | | | 110,939 | | | | 4,572,906 | |
Cisco Systems, Inc. | | | 64,564 | | | | 1,753,235 | |
The accompanying notes are an integral part of the financial statements.
86
MML Global Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Colgate-Palmolive Co. | | | 50,172 | | | $ | 3,342,459 | |
The Cooper Cos., Inc. | | | 14,159 | | | | 1,900,138 | |
DENTSPLY International, Inc. | | | 27,838 | | | | 1,693,942 | |
eBay, Inc. (a) | | | 44,462 | | | | 1,221,816 | |
Franklin Resources, Inc. | | | 64,792 | | | | 2,385,641 | |
The Goldman Sachs Group, Inc. | | | 16,488 | | | | 2,971,632 | |
Harley-Davidson, Inc. | | | 7,815 | | | | 354,723 | |
Honeywell International, Inc. | | | 62,490 | | | | 6,472,089 | |
International Flavors & Fragrances, Inc. | | | 17,358 | | | | 2,076,711 | |
Johnson & Johnson | | | 17,157 | | | | 1,762,367 | |
Kellogg Co. | | | 58,523 | | | | 4,229,457 | |
McDonald’s Corp. | | | 5,463 | | | | 645,399 | |
Microchip Technology, Inc. (c) | | | 38,207 | | | | 1,778,154 | |
Monsanto Co. | | | 22,938 | | | | 2,259,852 | |
National Oilwell Varco, Inc. | | | 24,922 | | | | 834,638 | |
NOW, Inc. (a) (c) | | | 14,569 | | | | 230,482 | |
Omnicom Group, Inc. | | | 33,764 | | | | 2,554,584 | |
Oracle Corp. | | | 115,491 | | | | 4,218,886 | |
PayPal Holdings, Inc. (a) | | | 34,182 | | | | 1,237,388 | |
Praxair, Inc. | | | 20,639 | | | | 2,113,434 | |
Rockwell Automation, Inc. | | | 5,570 | | | | 571,538 | |
Sally Beauty Holdings, Inc. (a) | | | 63,918 | | | | 1,782,673 | |
St. Jude Medical, Inc. | | | 61,616 | | | | 3,806,020 | |
State Street Corp. | | | 77,175 | | | | 5,121,333 | |
Stryker Corp. | | | 41,048 | | | | 3,815,001 | |
Thermo Fisher Scientific, Inc. | | | 49,570 | | | | 7,031,504 | |
Time Warner Cable, Inc. | | | 15,289 | | | | 2,837,485 | |
Time Warner, Inc. | | | 90,382 | | | | 5,845,004 | |
Union Pacific Corp. | | | 16,483 | | | | 1,288,971 | |
United Parcel Service, Inc. Class B | | | 39,559 | | | | 3,806,763 | |
United Technologies Corp. | | | 38,679 | | | | 3,715,892 | |
Urban Outfitters, Inc. (a) | | | 58,823 | | | | 1,338,223 | |
Viacom, Inc. Class B | | | 11,351 | | | | 467,207 | |
Visa, Inc. Class A | | | 72,457 | | | | 5,619,040 | |
W.W. Grainger, Inc. (c) | | | 9,010 | | | | 1,825,336 | |
The Walt Disney Co. | | | 59,032 | | | | 6,203,083 | |
Waters Corp. (a) | | | 20,008 | | | | 2,692,677 | |
Wynn Resorts Ltd. (c) | | | 5,329 | | | | 368,713 | |
Zimmer Biomet Holdings, Inc. | | | 37,768 | | | | 3,874,619 | |
| | | | | | | | |
| | | | | | | 124,090,219 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $213,861,094) | | | | | | | 247,887,856 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $213,861,094) | | | | | | | 247,887,856 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 1.1% | | | | | | | | |
| United States — 1.1% | | | | | | | | |
State Street Navigator Securities Lending Prime Portfolio (d) | | | 2,755,916 | | | $ | 2,755,916 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $2,755,916) | | | | | | | 2,755,916 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $216,617,010) | | | | | | | 250,643,772 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 1.3% | |
| Repurchase Agreement — 1.3% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (e) | | $ | 3,229,450 | | | | 3,229,450 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 16,949 | | | | 16,949 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $3,246,399) | | | | | | | 3,246,399 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 101.0%
(Cost $219,863,409) (f) | | | | | | | 253,890,171 | |
| | |
| Other Assets/(Liabilities) — (1.0)% | | | | | | | (2,560,676 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 251,329,495 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Securities 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 December 31, 2015, these securities amounted to a value of $947,463 or 0.38% of net assets. |
| (c) | Denotes all or a portion of security on loan. The total value of securities on loan as of December 31, 2015, was $2,698,231 or 1.07% of net assets. Total securities on loan may not correspond with the amounts identified in the Portfolio of Investments because pending sales may be in the process of recall from the brokers. (Note 2). |
| (d) | Represents investment of security lending collateral. (Note 2). |
| (e) | Maturity value of $3,229,454. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $3,297,936. |
| (f) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
87
MML Growth & Income Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 99.6% | |
|
| COMMON STOCK — 99.4% | |
| Basic Materials — 4.1% | |
| Chemicals — 4.1% | |
Monsanto Co. | | | 18,030 | | | $ | 1,776,316 | |
Praxair, Inc. | | | 8,120 | | | | 831,488 | |
The Sherwin-Williams Co. | | | 5,122 | | | | 1,329,671 | |
W.R. Grace & Co. (a) | | | 11,357 | | | | 1,131,044 | |
| | | | | | | | |
| | | | | | | 5,068,519 | |
| | | | | | | | |
| Communications — 9.9% | |
| Internet — 4.4% | |
Alphabet, Inc. Class A (a) | | | 3,940 | | | | 3,065,359 | |
Alphabet, Inc. Class C (a) | | | 3,163 | | | | 2,400,338 | |
| | | | | | | | |
| | | | | | | 5,465,697 | |
| | | | | | | | |
| Media — 5.5% | |
Comcast Corp. Class A | | | 37,276 | | | | 2,103,484 | |
Time Warner, Inc. | | | 27,085 | | | | 1,751,587 | |
Twenty-First Century Fox Class A | | | 51,769 | | | | 1,406,046 | |
The Walt Disney Co. | | | 16,196 | | | | 1,701,876 | |
| | | | | | | | |
| | | | | | | 6,962,993 | |
| | | | | | | | |
| | | | | | | 12,428,690 | |
| | | | | | | | |
| Consumer, Cyclical — 9.4% | |
| Apparel — 1.3% | |
Nike, Inc. Class B | | | 9,046 | | | | 565,375 | |
VF Corp. | | | 16,977 | | | | 1,056,818 | |
| | | | | | | | |
| | | | | | | 1,622,193 | |
| | | | | | | | |
| Distribution & Wholesale — 1.1% | |
W.W. Grainger, Inc. | | | 6,592 | | | | 1,335,473 | |
| | | | | | | | |
| Housewares — 1.8% | |
Newell Rubbermaid, Inc. | | | 50,254 | | | | 2,215,197 | |
| | | | | | | | |
| Retail — 5.2% | |
AutoZone, Inc. (a) | | | 2,138 | | | | 1,586,203 | |
Costco Wholesale Corp. | | | 7,390 | | | | 1,193,485 | |
Kohl’s Corp. | | | 4,249 | | | | 202,380 | |
L Brands, Inc. | | | 7,265 | | | | 696,132 | |
Ross Stores, Inc. | | | 32,338 | | | | 1,740,108 | |
Target Corp. | | | 16,278 | | | | 1,181,946 | |
| | | | | | | | |
| | | | | | | 6,600,254 | |
| | | | | | | | |
| | | | | | | 11,773,117 | |
| | | | | | | | |
| Consumer, Non-cyclical — 26.8% | |
| Beverages — 1.8% | |
Diageo PLC | | | 32,301 | | | | 880,864 | |
Pernod-Ricard SA | | | 12,277 | | | | 1,395,784 | |
| | | | | | | | |
| | | | | | | 2,276,648 | |
| | | | | | | | |
| Commercial Services — 4.6% | |
Gartner, Inc. (a) | | | 9,363 | | | | 849,224 | |
McKesson Corp. | | | 7,160 | | | | 1,412,167 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Visa, Inc. Class A | | | 45,601 | | | $ | 3,536,357 | |
| | | | | | | | |
| | | | | | | 5,797,748 | |
| | | | | | | | |
| Cosmetics & Personal Care — 2.2% | |
Colgate-Palmolive Co. | | | 18,584 | | | | 1,238,066 | |
The Estee Lauder Cos., Inc. Class A | | | 5,974 | | | | 526,071 | |
The Procter & Gamble Co. | | | 13,095 | | | | 1,039,874 | |
| | | | | | | | |
| | | | | | | 2,804,011 | |
| | | | | | | | |
| Foods — 3.3% | |
Danone SA | | | 22,712 | | | | 1,532,773 | |
General Mills, Inc. | | | 9,761 | | | | 562,819 | |
Mondelez International, Inc. Class A | | | 45,421 | | | | 2,036,678 | |
| | | | | | | | |
| | | | | | | 4,132,270 | |
| | | | | | | | |
| Health Care – Products — 4.8% | |
Johnson & Johnson | | | 25,364 | | | | 2,605,390 | |
Medtronic PLC | | | 15,901 | | | | 1,223,105 | |
St. Jude Medical, Inc. | | | 14,343 | | | | 885,967 | |
Stryker Corp. | | | 13,591 | | | | 1,263,148 | |
| | | | | | | | |
| | | | | | | 5,977,610 | |
| | | | | | | | |
| Health Care – Services — 2.4% | |
Thermo Fisher Scientific, Inc. | | | 20,809 | | | | 2,951,757 | |
| | | | | | | | |
| Household Products — 0.5% | |
Kimberly-Clark Corp. | | | 5,398 | | | | 687,165 | |
| | | | | | | | |
| Pharmaceuticals — 7.2% | |
Abbott Laboratories | | | 15,610 | | | | 701,045 | |
Allergan PLC (a) | | | 5,590 | | | | 1,746,875 | |
Bristol-Myers Squibb Co. | | | 27,105 | | | | 1,864,553 | |
Eli Lilly & Co. | | | 19,534 | | | | 1,645,935 | |
Endo International PLC (a) | | | 19,719 | | | | 1,207,197 | |
Mead Johnson Nutrition Co. | | | 8,528 | | | | 673,286 | |
Valeant Pharmaceuticals International, Inc. (a) | | | 11,603 | | | | 1,179,445 | |
| | | | | | | | |
| | | | | | | 9,018,336 | |
| | | | | | | | |
| | | | | | | 33,645,545 | |
| | | | | | | | |
| Diversified — 1.1% | |
| Holding Company – Diversified — 1.1% | |
LVMH Moet Hennessy Louis Vuitton SE | | | 8,948 | | | | 1,398,811 | |
| | | | | | | | |
| Energy — 4.7% | |
| Oil & Gas — 2.4% | |
EOG Resources, Inc. | | | 23,559 | | | | 1,667,742 | |
Noble Energy, Inc. | | | 26,342 | | | | 867,442 | |
Occidental Petroleum Corp. | | | 6,576 | | | | 444,603 | |
| | | | | | | | |
| | | | | | | 2,979,787 | |
| | | | | | | | |
| Oil & Gas Services — 2.3% | |
Cameron International Corp. (a) | | | 17,221 | | | | 1,088,367 | |
National Oilwell Varco, Inc. | | | 13,674 | | | | 457,942 | |
The accompanying notes are an integral part of the financial statements.
88
MML Growth & Income Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Schlumberger Ltd. | | | 20,138 | | | $ | 1,404,626 | |
| | | | | | | | |
| | | | | | | 2,950,935 | |
| | | | | | | | |
| | | | | | | 5,930,722 | |
| | | | | | | | |
| Financial — 21.1% | |
| Banks — 5.4% | |
Bank of America Corp. | | | 157,811 | | | | 2,655,959 | |
BB&T Corp. | | | 20,465 | | | | 773,781 | |
State Street Corp. | | | 10,316 | | | | 684,570 | |
Wells Fargo & Co. | | | 47,805 | | | | 2,598,680 | |
| | | | | | | | |
| | | | | | | 6,712,990 | |
| | | | | | | | |
| Diversified Financial — 12.7% | |
American Express Co. | | | 32,953 | | | | 2,291,881 | |
BlackRock, Inc. | | | 5,545 | | | | 1,888,183 | |
The Blackstone Group LP | | | 20,292 | | | | 593,338 | |
The Goldman Sachs Group, Inc. | | | 12,651 | | | | 2,280,090 | |
JP Morgan Chase & Co. | | | 63,154 | | | | 4,170,059 | |
MasterCard, Inc. Class A | | | 22,114 | | | | 2,153,019 | |
Morgan Stanley | | | 31,814 | | | | 1,012,003 | |
The Nasdaq, Inc. | | | 27,141 | | | | 1,578,792 | |
| | | | | | | | |
| | | | | | | 15,967,365 | |
| | | | | | | | |
| Insurance — 1.0% | |
ACE Ltd. | | | 11,114 | | | | 1,298,671 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 2.0% | |
American Tower Corp. | | | 25,205 | | | | 2,443,625 | |
| | | | | | | | |
| | | | | | | 26,422,651 | |
| | | | | | | | |
| Industrial — 9.9% | |
| Aerospace & Defense — 1.4% | |
United Technologies Corp. | | | 17,892 | | | | 1,718,884 | |
| | | | | | | | |
| Engineering & Construction — 0.8% | |
Fluor Corp. | | | 19,728 | | | | 931,556 | |
| | | | | | | | |
| Manufacturing — 4.7% | |
Danaher Corp. | | | 39,801 | | | | 3,696,717 | |
Honeywell International, Inc. | | | 21,387 | | | | 2,215,051 | |
| | | | | | | | |
| | | | | | | 5,911,768 | |
| | | | | | | | |
| Metal Fabricate & Hardware — 0.4% | |
Precision Castparts Corp. | | | 2,065 | | | | 479,101 | |
| | | | | | | | |
| Packaging & Containers — 1.2% | |
Crown Holdings, Inc. (a) | | | 29,875 | | | | 1,514,663 | |
| | | | | | | | |
| Transportation — 1.4% | |
Canadian National Railway Co. | | | 32,241 | | | | 1,801,627 | |
| | | | | | | | |
| | | | | | | 12,357,599 | |
| | | | | | | | |
| Technology — 11.1% | |
| Computers — 6.6% | |
Accenture PLC Class A | | | 22,651 | | | | 2,367,029 | |
Apple, Inc. | | | 12,468 | | | | 1,312,382 | |
Cognizant Technology Solutions Corp. Class A (a) | | | 37,674 | | | | 2,261,193 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
EMC Corp. | | | 72,510 | | | $ | 1,862,057 | |
Hewlett Packard Enterprise Co. | | | 32,668 | | | | 496,554 | |
| | | | | | | | |
| | | | | | | 8,299,215 | |
| | | | | | | | |
| Semiconductors — 2.2% | |
Avago Technologies Ltd. | | | 15,417 | | | | 2,237,777 | |
Microchip Technology, Inc. | | | 11,503 | | | | 535,350 | |
| | | | | | | | |
| | | | | | | 2,773,127 | |
| | | | | | | | |
| Software — 2.3% | |
Adobe Systems, Inc. (a) | | | 9,743 | | | | 915,258 | |
Fidelity National Information Services, Inc. | | | 31,630 | | | | 1,916,778 | |
| | | | | | | | |
| | | | | | | 2,832,036 | |
| | | | | | | | |
| | | | | | | 13,904,378 | |
| | | | | | | | |
| Utilities — 1.3% | |
| Electric — 1.3% | |
American Electric Power Co., Inc. | | | 14,912 | | | | 868,922 | |
CMS Energy Corp. | | | 21,846 | | | | 788,204 | |
| | | | | | | | |
| | | | | | | 1,657,126 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $93,277,472) | | | | | | | 124,587,158 | |
| | | | | | | | |
|
| PREFERRED STOCK — 0.2% | |
| Utilities — 0.2% | |
| Electric — 0.2% | |
Exelon Corp. 6.500% | | | 7,560 | | | | 305,953 | |
| | | | | | | | |
| | |
TOTAL PREFERRED STOCK
(Cost $382,468) | | | | | | | 305,953 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $93,659,940) | | | | | | | 124,893,111 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $93,659,940) | | | | | | | 124,893,111 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 0.6% | |
| Repurchase Agreement — 0.6% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 685,695 | | | | 685,695 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
89
MML Growth & Income Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| Time Deposits — 0.0% | |
Euro Time Deposit
0.010% 1/04/16 | | $ | 6,186 | | | $ | 6,186 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $691,881) | | | | | | | 691,881 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.2%
(Cost $94,351,821) (c) | | | | | | | 125,584,992 | |
| | |
| Other Assets/(Liabilities) — (0.2)% | | | | | | | (210,229 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 125,374,763 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Non-income producing security. |
| (b) | Maturity value of $685,696. Collateralized by U.S. Government Agency obligations with a rate of 4.000%, maturity date of 12/15/17, and an aggregate market value, including accrued interest, of $699,471. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
Country weightings, as a percentage of net assets, is as follows:
| | | | |
United States | | | 83.9 | % |
Ireland | | | 5.2 | % |
France | | | 3.5 | % |
Canada | | | 2.4 | % |
Singapore | | | 1.8 | % |
Netherlands Antilles | | | 1.1 | % |
Switzerland | | | 1.0 | % |
United Kingdom | | | 0.7 | % |
| | | | |
Total Long-Term Investments | | | 99.6 | % |
Short-Term Investments and Other Assets and Liabilities | | | 0.4 | % |
| | | | |
Net Assets | | | 100.0 | % |
| | | | |
The accompanying notes are an integral part of the financial statements.
90
MML Income & Growth Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 96.7% | |
|
| COMMON STOCK — 96.7% | |
| Basic Materials — 3.8% | |
| Chemicals — 2.8% | |
The Dow Chemical Co. | | | 50,820 | | | $ | 2,616,213 | |
E.I. du Pont de Nemours & Co. | | | 51,900 | | | | 3,456,540 | |
Praxair, Inc. | | | 6,440 | | | | 659,456 | |
| | | | | | | | |
| | | | | | | 6,732,209 | |
| | | | | | | | |
| Forest Products & Paper — 0.8% | |
International Paper Co. | | | 48,690 | | | | 1,835,613 | |
| | | | | | | | |
| Mining — 0.2% | |
BHP Billiton Ltd. | | | 45,690 | | | | 593,527 | |
| | | | | | | | |
| | | | | | | 9,161,349 | |
| | | | | | | | |
| Communications — 6.3% | |
| Advertising — 0.5% | |
Nielsen Holdings PLC | | | 24,950 | | | | 1,162,670 | |
| | | | | | | | |
| Media — 1.4% | |
Comcast Corp. Class A | | | 59,480 | | | | 3,356,457 | |
| | | | | | | | |
| Telecommunications — 4.4% | |
BCE, Inc. | | | 15,900 | | | | 614,058 | |
Motorola Solutions, Inc. | | | 27,910 | | | | 1,910,439 | |
QUALCOMM, Inc. | | | 56,220 | | | | 2,810,157 | |
SK Telecom Co. Ltd. ADR (South Korea) | | | 48,150 | | | | 970,222 | |
Verizon Communications, Inc. | | | 89,330 | | | | 4,128,833 | |
| | | | | | | | |
| | | | | | | 10,433,709 | |
| | | | | | | | |
| | | | | | | 14,952,836 | |
| | | | | | | | |
| Consumer, Cyclical — 6.1% | |
| Retail — 6.1% | |
Dollar General Corp. | | | 60,320 | | | | 4,335,198 | |
The Gap, Inc. | | | 81,380 | | | | 2,010,086 | |
The Home Depot, Inc. | | | 45,200 | | | | 5,977,700 | |
McDonald’s Corp. | | | 18,842 | | | | 2,225,994 | |
| | | | | | | | |
| | | | | | | 14,548,978 | |
| | | | | | | | |
| Consumer, Non-cyclical — 21.3% | |
| Agriculture — 1.9% | |
Altria Group, Inc. | | | 28,200 | | | | 1,641,522 | |
Philip Morris International, Inc. | | | 13,420 | | | | 1,179,752 | |
Reynolds American, Inc. | | | 37,138 | | | | 1,713,919 | |
| | | | | | | | |
| | | | | | | 4,535,193 | |
| | | | | | | | |
| Beverages — 1.8% | |
The Coca-Cola Co. | | | 59,290 | | | | 2,547,099 | |
Diageo PLC | | | 64,580 | | | | 1,761,128 | |
| | | | | | | | |
| | | | | | | 4,308,227 | |
| | | | | | | | |
| Cosmetics & Personal Care — 1.8% | |
The Procter & Gamble Co. | | | 55,320 | | | | 4,392,961 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Foods — 2.2% | |
The Kroger Co. | | | 83,330 | | | $ | 3,485,694 | |
Mondelez International, Inc. Class A | | | 25,000 | | | | 1,121,000 | |
Unilever NV NY Shares | | | 11,600 | | | | 502,512 | |
| | | | | | | | |
| | | | | | | 5,109,206 | |
| | | | | | | | |
| Health Care – Products — 2.4% | |
Becton, Dickinson & Co. | | | 10,230 | | | | 1,576,341 | |
Johnson & Johnson | | | 40,010 | | | | 4,109,827 | |
| | | | | | | | |
| | | | | | | 5,686,168 | |
| | | | | | | | |
| Health Care – Services — 4.2% | |
Aetna, Inc. | | | 12,376 | | | | 1,338,093 | |
Anthem, Inc. | | | 20,270 | | | | 2,826,449 | |
Quest Diagnostics, Inc. | | | 32,700 | | | | 2,326,278 | |
UnitedHealth Group, Inc. | | | 30,360 | | | | 3,571,550 | |
| | | | | | | | |
| | | | | | | 10,062,370 | |
| | | | | | | | |
| Pharmaceuticals — 7.0% | |
Abbott Laboratories | | | 20,740 | | | | 931,433 | |
AbbVie, Inc. | | | 20,740 | | | | 1,228,638 | |
AstraZeneca PLC | | | 18,150 | | | | 1,227,103 | |
Bristol-Myers Squibb Co. | | | 22,060 | | | | 1,517,507 | |
Merck & Co., Inc. | | | 88,960 | | | | 4,698,867 | |
Pfizer, Inc. | | | 222,070 | | | | 7,168,420 | |
| | | | | | | | |
| | | | | | | 16,771,968 | |
| | | | | | | | |
| | | | | | | 50,866,093 | |
| | | | | | | | |
| Energy — 9.3% | |
| Oil & Gas — 8.6% | |
Chevron Corp. | | | 27,978 | | | | 2,516,901 | |
ConocoPhillips | | | 17,770 | | | | 829,681 | |
Exxon Mobil Corp. | | | 74,950 | | | | 5,842,353 | |
Marathon Oil Corp. | | | 52,340 | | | | 658,961 | |
Marathon Petroleum Corp. | | | 42,710 | | | | 2,214,086 | |
Occidental Petroleum Corp. | | | 61,994 | | | | 4,191,414 | |
Pioneer Natural Resources Co. | | | 9,000 | | | | 1,128,420 | |
Total SA Sponsored ADR (France) | | | 70,043 | | | | 3,148,433 | |
| | | | | | | | |
| | | | | | | 20,530,249 | |
| | | | | | | | |
| Oil & Gas Services — 0.4% | |
Schlumberger Ltd. | | | 14,320 | | | | 998,820 | |
| | | | | | | | |
| Pipelines — 0.3% | |
Spectra Energy Corp. | | | 29,580 | | | | 708,145 | |
| | | | | | | | |
| | | | | | | 22,237,214 | |
| | | | | | | | |
| Financial — 24.7% | |
| Banks — 8.5% | |
Bank of America Corp. | | | 207,060 | | | | 3,484,820 | |
SunTrust Banks, Inc. | | | 101,562 | | | | 4,350,916 | |
U.S. Bancorp | | | 89,770 | | | | 3,830,486 | |
Wells Fargo & Co. | | | 160,400 | | | | 8,719,344 | |
| | | | | | | | |
| | | | | | | 20,385,566 | |
| | | | | | | | |
| Diversified Financial — 10.5% | |
American Express Co. | | | 11,093 | | | | 771,518 | |
The accompanying notes are an integral part of the financial statements.
91
MML Income & Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Citigroup, Inc. | | | 136,760 | | | $ | 7,077,330 | |
CME Group, Inc. | | | 22,780 | | | | 2,063,868 | |
The Goldman Sachs Group, Inc. | | | 12,600 | | | | 2,270,898 | |
Invesco Ltd. | | | 17,848 | | | | 597,551 | |
JP Morgan Chase & Co. | | | 146,510 | | | | 9,674,055 | |
Morgan Stanley | | | 77,900 | | | | 2,477,999 | |
| | | | | | | | |
| | | | | | | 24,933,219 | |
| | | | | | | | |
| Insurance — 5.3% | |
American International Group, Inc. | | | 59,270 | | | | 3,672,962 | |
MetLife, Inc. | | | 62,960 | | | | 3,035,302 | |
Prudential Financial, Inc. | | | 38,330 | | | | 3,120,445 | |
The Travelers Cos., Inc. | | | 24,350 | | | | 2,748,141 | |
| | | | | | | | |
| | | | | | | 12,576,850 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 0.4% | |
Weyerhaeuser Co. | | | 33,770 | | | | 1,012,425 | |
| | | | | | | | |
| | | | | | | 58,908,060 | |
| | | | | | | | |
| Industrial — 12.3% | |
| Aerospace & Defense — 4.9% | |
Lockheed Martin Corp. | | | 13,520 | | | | 2,935,868 | |
Northrop Grumman Corp. | | | 17,840 | | | | 3,368,370 | |
Raytheon Co. | | | 38,380 | | | | 4,779,462 | |
United Technologies Corp. | | | 5,070 | | | | 487,075 | |
| | | | | | | | |
| | | | | | | 11,570,775 | |
| | | | | | | | |
| Electronics — 0.3% | |
Tyco International PLC | | | 22,640 | | | | 721,989 | |
| | | | | | | | |
| Machinery – Diversified — 0.3% | |
Rockwell Automation, Inc. | | | 8,070 | | | | 828,063 | |
| | | | | | | | |
| Manufacturing — 5.2% | |
3M Co. | | | 6,330 | | | | 953,551 | |
General Electric Co. | | | 256,680 | | | | 7,995,582 | |
Honeywell International, Inc. | | | 34,280 | | | | 3,550,380 | |
| | | | | | | | |
| | | | | | | 12,499,513 | |
| | | | | | | | |
| Transportation — 1.6% | |
Union Pacific Corp. | | | 15,969 | | | | 1,248,776 | |
United Parcel Service, Inc. Class B | | | 25,720 | | | | 2,475,035 | |
| | | | | | | | |
| | | | | | | 3,723,811 | |
| | | | | | | | |
| | | | | | | 29,344,151 | |
| | | | | | | | |
| Technology — 7.6% | |
| Computers — 0.5% | |
International Business Machines Corp. | | | 3,710 | | | | 510,570 | |
Lenovo Group Ltd. | | | 670,000 | | | | 675,148 | |
| | | | | | | | |
| | | | | | | 1,185,718 | |
| | | | | | | | |
| Semiconductors — 3.7% | |
Intel Corp. | | | 167,370 | | | | 5,765,896 | |
NVIDIA Corp. | | | 22,000 | | | | 725,120 | |
Samsung Electronics Co., Ltd. (a) | | | 4,230 | | | | 2,246,849 | |
| | | | | | | | |
| | | | | | | 8,737,865 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Software — 3.4% | |
Microsoft Corp. | | | 102,690 | | | $ | 5,697,241 | |
Oracle Corp. | | | 67,570 | | | | 2,468,332 | |
| | | | | | | | |
| | | | | | | 8,165,573 | |
| | | | | | | | |
| | | | | | | 18,089,156 | |
| | | | | | | | |
| Utilities — 5.3% | |
| Electric — 4.4% | |
CMS Energy Corp. | | | 37,390 | | | | 1,349,031 | |
Dominion Resources, Inc. | | | 36,000 | | | | 2,435,040 | |
Exelon Corp. | | | 38,200 | | | | 1,060,814 | |
ITC Holdings Corp. | | | 16,670 | | | | 654,298 | |
NextEra Energy, Inc. | | | 26,950 | | | | 2,799,836 | |
Public Service Enterprise Group, Inc. | | | 28,080 | | | | 1,086,415 | |
WEC Energy Group, Inc. | | | 21,840 | | | | 1,120,610 | |
| | | | | | | | |
| | | | | | | 10,506,044 | |
| | | | | | | | |
| Water — 0.9% | |
American Water Works Co., Inc. | | | 35,100 | | | | 2,097,226 | |
| | | | | | | | |
| | | | | | | 12,603,270 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $193,724,700) | | | | | | | 230,711,107 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $193,724,700) | | | | | | | 230,711,107 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $193,724,700) | | | | | | | 230,711,107 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 3.3% | |
| Repurchase Agreement — 3.3% | | | | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 7,921,616 | | | | 7,921,616 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $7,921,616) | | | | | | | 7,921,616 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.0%
(Cost $201,646,316) (c) | | | | | | | 238,632,723 | |
| | |
| Other Assets/(Liabilities) — 0.0% | | | | | | | 36,405 | |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 238,669,128 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
The accompanying notes are an integral part of the financial statements.
92
MML Income & Growth Fund – Portfolio of Investments (Continued)
Notes to Portfolio Investments (Continued)
| (a) | Security exempt from registration under Regulation S of the Securities Act of 1933, which exempts from registration securities offered and sold outside the United States. Security may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act of 1933. At December 31, 2015, these securities amounted to a value of $2,246,849 or 0.94% of net assets. |
| (b) | Maturity value of $7,921,625. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $8,080,677. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
93
MML International Equity Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 96.7% | | | | | | | | |
| | |
| COMMON STOCK — 96.7% | | | | | | | | |
| Australia — 2.9% | | | | | | | | |
AMP Ltd. | | | 599,400 | | | $ | 2,526,777 | |
Orica Ltd. (a) | | | 208,059 | | | | 2,327,376 | |
| | | | | | | | |
| | | | | | | 4,854,153 | |
| | | | | | | | |
| Cayman Islands — 3.3% | | | | | | | | |
Baidu, Inc. Sponsored ADR (Cayman Islands) (b) | | | 13,310 | | | | 2,516,122 | |
Melco Crown Entertainment Ltd. ADR (Cayman Islands) (a) | | | 174,800 | | | | 2,936,640 | |
| | | | | | | | |
| | | | | | | 5,452,762 | |
| | | | | | | | |
| France — 13.2% | | | | | | | | |
BNP Paribas | | | 106,100 | | | | 6,005,684 | |
Bureau Veritas SA | | | 149,300 | | | | 2,971,128 | |
Danone SA | | | 37,375 | | | | 2,522,341 | |
Kering | | | 24,240 | | | | 4,131,801 | |
LVMH Moet Hennessy Louis Vuitton SE | | | 13,720 | | | | 2,144,802 | |
Pernod-Ricard SA | | | 17,900 | | | | 2,035,069 | |
Safran SA | | | 5,170 | | | | 354,075 | |
Valeo SA | | | 11,160 | | | | 1,722,934 | |
| | | | | | | | |
| | | | | | | 21,887,834 | |
| | | | | | | | |
| Germany — 9.3% | | | | | | | | |
Allianz SE | | | 30,040 | | | | 5,321,756 | |
Bayerische Motoren Werke AG | | | 44,930 | | | | 4,731,960 | |
Daimler AG | | | 64,850 | | | | 5,413,045 | |
| | | | | | | | |
| | | | | | | 15,466,761 | |
| | | | | | | | |
| Indonesia — 2.0% | | | | | | | | |
Bank Mandari Tbk PT | | | 5,072,800 | | | | 3,367,466 | |
| | | | | | | | |
| Ireland — 3.7% | | | | | | | | |
Experian PLC | | | 153,300 | | | | 2,708,887 | |
Willis Group Holdings PLC | | | 71,800 | | | | 3,487,326 | |
| | | | | | | | |
| | | | | | | 6,196,213 | |
| | | | | | | | |
| Israel — 0.2% | | | | | | | | |
Check Point Software Technologies Ltd. (b) | | | 3,500 | | | | 284,830 | |
| | | | | | | | |
| Italy — 4.8% | | | | | | | | |
Exor SpA | | | 61,600 | | | | 2,787,794 | |
Intesa Sanpaolo SpA | | | 795,200 | | | | 2,650,081 | |
Prada SpA | | | 780,400 | | | | 2,421,636 | |
| | | | | | | | |
| | | | | | | 7,859,511 | |
| | | | | | | | |
| Japan — 19.2% | | | | | | | | |
Daiwa Securities Group, Inc. | | | 726,000 | | | | 4,438,784 | |
Honda Motor Co. Ltd. | | | 188,700 | | | | 6,046,238 | |
Komatsu Ltd. | | | 217,100 | | | | 3,537,390 | |
Nomura Holdings, Inc. | | | 1,025,200 | | | | 5,697,747 | |
Olympus Corp. | | | 21,800 | | | | 858,625 | |
Omron Corp. (a) | | | 108,000 | | | | 3,597,342 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Secom Co. Ltd. | | | 7,300 | | | $ | 493,988 | |
Sumitomo Mitsui Financial Group, Inc. | | | 44,500 | | | | 1,678,642 | |
Toyota Motor Corp. | | | 87,200 | | | | 5,352,340 | |
| | | | | | | | |
| | | | | | | 31,701,096 | |
| | | | | | | | |
| Mexico — 1.0% | | | | | | | | |
Grupo Televisa SAB Sponsored ADR (Mexico) | | | 60,000 | | | | 1,632,600 | |
| | | | | | | | |
| Netherlands — 5.3% | | | | | | | | |
Akzo Nobel NV | | | 7,561 | | | | 505,026 | |
CNH Industrial NV | | | 671,200 | | | | 4,575,321 | |
Koninklijke Philips Electronics NV | | | 143,500 | | | | 3,648,547 | |
| | | | | | | | |
| | | | | | | 8,728,894 | |
| | | | | | | | |
| Republic of Korea — 2.7% | | | | | | | | |
Samsung Electronics Co., Ltd. | | | 4,175 | | | | 4,458,197 | |
| | | | | | | | |
| Sweden — 3.5% | | | | | | | | |
Atlas Copco AB Class B | | | 73,900 | | | | 1,699,104 | |
Hennes & Mauritz AB Class B | | | 42,200 | | | | 1,502,715 | |
SKF AB Class B | | | 143,500 | | | | 2,313,477 | |
Swedish Match AB | | | 7,200 | | | | 254,732 | |
| | | | | | | | |
| | | | | | | 5,770,028 | |
| | | | | | | | |
| Switzerland — 12.6% | | | | | | | | |
Cie Financiere Richemont SA | | | 48,050 | | | | 3,451,593 | |
Credit Suisse Group | | | 357,627 | | | | 7,729,514 | |
Kuehne & Nagel International AG | | | 14,800 | | | | 2,029,298 | |
LafargeHolcim Ltd. | | | 75,870 | | | | 3,801,668 | |
Nestle SA | | | 5,350 | | | | 396,562 | |
Schindler Holding AG | | | 4,650 | | | | 778,627 | |
Swatch Group AG | | | 7,540 | | | | 2,631,278 | |
| | | | | | | | |
| | | | | | | 20,818,540 | |
| | | | | | | | |
| United Kingdom — 13.0% | | | | | | | | |
Ashtead Group PLC | | | 65,200 | | | | 1,072,841 | |
Burberry Group PLC | | | 76,700 | | | | 1,349,068 | |
Diageo PLC | | | 118,900 | | | | 3,242,461 | |
G4S PLC | | | 422,100 | | | | 1,401,953 | |
GlaxoSmithKline PLC | | | 25,000 | | | | 504,950 | |
Glencore PLC | | | 3,363,700 | | | | 4,475,644 | |
Lloyds Banking Group PLC | | | 3,221,900 | | | | 3,467,793 | |
Meggitt PLC | | | 251,838 | | | | 1,389,077 | |
Schroders PLC | | | 34,600 | | | | 1,506,878 | |
Smiths Group PLC | | | 138,000 | | | | 1,909,111 | |
Wolseley PLC | | | 3,200 | | | | 173,948 | |
WPP PLC | | | 47,000 | | | | 1,081,833 | |
| | | | | | | | |
| | | | | | | 21,575,557 | |
| | | | | | | | |
| | |
| TOTAL COMMON STOCK (Cost $183,569,980) | | | | | | | 160,054,442 | |
| | | | | | | | |
| | |
| TOTAL EQUITIES (Cost $183,569,980) | | | | | | | 160,054,442 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
94
MML International Equity Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 3.1% | |
| United States — 3.1% | | | | | | | | |
State Street Navigator Securities Lending Prime Portfolio (c) | | | 5,107,161 | | | $ | 5,107,161 | |
| | | | | | | | |
| | |
| TOTAL MUTUAL FUNDS (Cost $5,107,161) | | | | | | | 5,107,161 | |
| | | | | | | | |
| | |
| TOTAL LONG-TERM INVESTMENTS (Cost $188,677,141) | | | | | | | 165,161,603 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 3.3% | |
| Repurchase Agreement — 3.3% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (d) | | $ | 5,488,192 | | | | 5,488,192 | |
| | | | | | | | |
| | |
| TOTAL SHORT-TERM INVESTMENTS (Cost $5,488,192) | | | | | | | 5,488,192 | |
| | | | | | | | |
| | |
| TOTAL INVESTMENTS — 103.1% (Cost $194,165,333) (e) | | | | | | | 170,649,795 | |
| | |
| Other Assets/(Liabilities) — (3.1)% | | | | | | | (5,053,667 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 165,596,128 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Denotes all or a portion of security on loan. The total value of securities on loan as of December 31, 2015, was $4,904,742 or 2.96% of net assets. Total securities on loan may not correspond with the amounts identified in the Portfolio of Investments because pending sales may be in the process of recall from the brokers. (Note 2). |
| (b) | Non-income producing security. |
| (c) | Represents investment of security lending collateral. (Note 2). |
| (d) | Maturity value of $5,488,198. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $5,601,100. |
| (e) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
95
MML Large Cap Growth Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 98.7% | |
|
| COMMON STOCK — 98.7% | |
| Basic Materials — 3.8% | |
| Chemicals — 1.8% | |
The Sherwin-Williams Co. | | | 14,890 | | | $ | 3,865,444 | |
| | | | | | | | |
| Mining — 2.0% | |
Vulcan Materials Co. | | | 45,990 | | | | 4,367,670 | |
| | | | | | | | |
| | | | | | | 8,233,114 | |
| | | | | | | | |
| Communications — 22.9% | |
| Internet — 15.8% | |
Alphabet, Inc. Class A (a) | | | 13,240 | | | | 10,300,852 | |
Amazon.com, Inc. (a) | | | 12,080 | | | | 8,164,751 | |
Facebook, Inc. Class A (a) | | | 74,290 | | | | 7,775,191 | |
LinkedIn Corp. Class A (a) | | | 16,060 | | | | 3,614,785 | |
The Priceline Group, Inc. (a) | | | 3,620 | | | | 4,615,319 | |
| | | | | | | | |
| | | | | | | 34,470,898 | |
| | | | | | | | |
| Media — 5.4% | |
CBS Corp. Class B | | | 78,090 | | | | 3,680,382 | |
Time Warner, Inc. | | | 40,410 | | | | 2,613,315 | |
The Walt Disney Co. | | | 51,680 | | | | 5,430,534 | |
| | | | | | | | |
| | | | | | | 11,724,231 | |
| | | | | | | | |
| Telecommunications — 1.7% | |
Palo Alto Networks, Inc. (a) | | | 21,020 | | | | 3,702,463 | |
| | | | | | | | |
| | | | | | | 49,897,592 | |
| | | | | | | | |
| Consumer, Cyclical — 20.9% | |
| Airlines — 1.4% | |
Delta Air Lines, Inc. | | | 59,040 | | | | 2,992,738 | |
| | | | | | | | |
| Apparel — 3.7% | |
Nike, Inc. Class B | | | 57,040 | | | | 3,565,000 | |
VF Corp. | | | 72,140 | | | | 4,490,715 | |
| | | | | | | | |
| | | | | | | 8,055,715 | |
| | | | | | | | |
| Distribution & Wholesale — 1.1% | |
HD Supply Holdings, Inc. (a) | | | 83,370 | | | | 2,503,601 | |
| | | | | | | | |
| Leisure Time — 1.6% | |
Royal Caribbean Cruises Ltd. | | | 33,520 | | | | 3,392,559 | |
| | | | | | | | |
| Retail — 11.6% | |
Costco Wholesale Corp. | | | 27,250 | | | | 4,400,875 | |
CVS Health Corp. | | | 54,660 | | | | 5,344,108 | |
The Home Depot, Inc. | | | 58,520 | | | | 7,739,270 | |
Starbucks Corp. | | | 81,870 | | | | 4,914,656 | |
Ulta Salon Cosmetics & Fragrance, Inc. (a) | | | 15,690 | | | | 2,902,650 | |
| | | | | | | | |
| | | | | | | 25,301,559 | |
| | | | | | | | |
| Textiles — 1.5% | |
Mohawk Industries, Inc. (a) | | | 17,430 | | | | 3,301,068 | |
| | | | | | | | |
| | | | | | | 45,547,240 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Consumer, Non-cyclical — 25.3% | |
| Beverages — 3.3% | |
Constellation Brands, Inc. Class A | | | 27,630 | | | $ | 3,935,617 | |
Monster Beverage Corp. (a) | | | 21,460 | | | | 3,196,682 | |
| | | | | | | | |
| | | | | | | 7,132,299 | |
| | | | | | | | |
| Biotechnology — 6.1% | |
Alexion Pharmaceuticals, Inc. (a) | | | 17,660 | | | | 3,368,645 | |
Celgene Corp. (a) | | | 49,610 | | | | 5,941,293 | |
Regeneron Pharmaceuticals, Inc. (a) | | | 7,440 | | | | 4,038,953 | |
| | | | | | | | |
| | | | | | | 13,348,891 | |
| | | | | | | | |
| Commercial Services — 7.0% | |
McKesson Corp. | | | 16,550 | | | | 3,264,157 | |
Verisk Analytics, Inc. (a) | | | 39,030 | | | | 3,000,626 | |
Visa, Inc. Class A | | | 116,290 | | | | 9,018,289 | |
| | | | | | | | |
| | | | | | | 15,283,072 | |
| | | | | | | | |
| Cosmetics & Personal Care — 1.4% | |
The Estee Lauder Cos., Inc. Class A | | | 35,300 | | | | 3,108,518 | |
| | | | | | | | |
| Pharmaceuticals — 7.5% | |
Allergan PLC (a) | | | 14,640 | | | | 4,575,000 | |
BioMarin Pharmaceutical, Inc. (a) | | | 38,520 | | | | 4,035,356 | |
Endo International PLC (a) | | | 58,810 | | | | 3,600,348 | |
Shire PLC Sponsored ADR (Ireland) | | | 20,290 | | | | 4,159,450 | |
| | | | | | | | |
| | | | | | | 16,370,154 | |
| | | | | | | | |
| | | | | | | 55,242,934 | |
| | | | | | | | |
| Energy — 1.0% | |
| Oil & Gas — 1.0% | |
Concho Resources, Inc. (a) | | | 22,950 | | | | 2,131,137 | |
| | | | | | | | |
| Financial — 9.3% | |
| Banks — 1.4% | |
First Republic Bank | | | 44,440 | | | | 2,935,706 | |
| | | | | | | | |
| Diversified Financial — 6.3% | |
The Charles Schwab Corp. | | | 94,660 | | | | 3,117,154 | |
CME Group, Inc. | | | 24,190 | | | | 2,191,614 | |
Intercontinental Exchange, Inc. | | | 18,710 | | | | 4,794,625 | |
MasterCard, Inc. Class A | | | 37,840 | | | | 3,684,102 | |
| | | | | | | | |
| | | | | | | 13,787,495 | |
| | | | | | | | |
| Real Estate — 1.6% | |
CBRE Group, Inc. (a) | | | 102,580 | | | | 3,547,217 | |
| | | | | | | | |
| | | | | | | 20,270,418 | |
| | | | | | | | |
| Industrial — 3.0% | |
| Aerospace & Defense — 1.0% | |
Raytheon Co. | | | 16,860 | | | | 2,099,576 | |
| | | | | | | | |
| Machinery – Construction & Mining — 1.1% | |
Ingersoll-Rand PLC | | | 44,840 | | | | 2,479,204 | |
| | | | | | | | |
| Transportation — 0.9% | |
FedEx Corp. | | | 12,770 | | | | 1,902,602 | |
| | | | | | | | |
| | | | | | | 6,481,382 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
96
MML Large Cap Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Technology — 12.5% | |
| Computers — 4.0% | |
Apple, Inc. | | | 82,790 | | | $ | 8,714,475 | |
| | | | | | | | |
| Semiconductors — 1.9% | |
NXP Semiconductor NV (a) | | | 49,870 | | | | 4,201,548 | |
| | | | | | | | |
| Software — 6.6% | |
Cerner Corp. (a) | | | 53,430 | | | | 3,214,883 | |
Salesforce.com, Inc. (a) | | | 63,560 | | | | 4,983,104 | |
Servicenow, Inc. (a) | | | 32,700 | | | | 2,830,512 | |
Workday, Inc. Class A (a) | | | 41,560 | | | | 3,311,501 | |
| | | | | | | | |
| | | | | | | 14,340,000 | |
| | | | | | | | |
| | | | | | | 27,256,023 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $177,622,597) | | | | | | | 215,059,840 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $177,622,597) | | | | | | | 215,059,840 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $177,622,597) | | | | | | | 215,059,840 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 3.9% | |
| Repurchase Agreement — 3.9% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 8,472,833 | | | | 8,472,833 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 13,004 | | | | 13,004 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $8,485,837) | | | | | | | 8,485,837 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 102.6%
(Cost $186,108,434) (c) | | | | | | | 223,545,677 | |
| | |
| Other Assets/(Liabilities) — (2.6)% | | | | | | | (5,745,692 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 217,799,985 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Maturity value of $8,472,843. Collateralized by U.S. Government Agency obligations with rates ranging from 2.000% – 4.000%, maturity dates ranging from 12/15/17 – 1/30/23, and an aggregate market value, including accrued interest, of $8,646,270. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
Country weightings, as a percentage of net assets, is as follows:
| | | | |
United States | | | 88.4 | % |
Ireland | | | 6.8 | % |
Netherlands | | | 1.9 | % |
Liberia | | | 1.6 | % |
| | | | |
Total Long-Term Investments | | | 98.7 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.3 | % |
| | | | |
Net Assets | | | 100.0 | % |
| | | | |
The accompanying notes are an integral part of the financial statements.
97
MML Managed Volatility Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 98.5% | |
|
| COMMON STOCK — 98.5% | |
| Basic Materials — 2.5% | |
| Chemicals — 2.1% | |
Air Products & Chemicals, Inc. (a) | | | 2,078 | | | $ | 270,369 | |
Airgas, Inc. (a) | | | 763 | | | | 105,538 | |
CF Industries Holdings, Inc. (a) | | | 2,488 | | | | 101,535 | |
The Dow Chemical Co. (a) | | | 12,338 | | | | 635,160 | |
E.I. du Pont de Nemours & Co. (a) | | | 9,675 | | | | 644,355 | |
Eastman Chemical Co. (a) | | | 1,578 | | | | 106,531 | |
Ecolab, Inc. (a) | | | 2,873 | | | | 328,614 | |
FMC Corp. (a) | | | 1,405 | | | | 54,978 | |
International Flavors & Fragrances, Inc. (a) | | | 811 | | | | 97,028 | |
LyondellBasell Industries NV Class A (a) | | | 3,938 | | | | 342,212 | |
Monsanto Co. (a) | | | 4,993 | | | | 491,910 | |
The Mosaic Co. (a) | | | 3,643 | | | | 100,510 | |
PPG Industries, Inc. (a) | | | 2,911 | | | | 287,665 | |
Praxair, Inc. (a) | | | 3,097 | | | | 317,133 | |
The Sherwin-Williams Co. (a) | | | 841 | | | | 218,324 | |
| | | | | | | | |
| | | | | | | 4,101,862 | |
| | | | | | | | |
| Forest Products & Paper — 0.1% | |
International Paper Co. (a) | | | 4,506 | | | | 169,876 | |
| | | | | | | | |
| Iron & Steel — 0.1% | |
Nucor Corp. (a) | | | 3,404 | | | | 137,181 | |
| | | | | | | | |
| Mining — 0.2% | |
Alcoa, Inc. (a) | | | 13,982 | | | | 138,002 | |
Freeport-McMoRan, Inc. (a) | | | 12,125 | | | | 82,086 | |
Newmont Mining Corp. (a) | | | 5,684 | | | | 102,255 | |
Vulcan Materials Co. (a) | | | 1,384 | | | | 131,439 | |
| | | | | | | | |
| | | | | | | 453,782 | |
| | | | | | | | |
| | | | | | | 4,862,701 | |
| | | | | | | | |
| Communications — 13.7% | |
| Advertising — 0.3% | |
The Interpublic Group of Companies, Inc. (a) | | | 4,393 | | | | 102,269 | |
Nielsen Holdings PLC (a) | | | 3,877 | | | | 180,668 | |
Omnicom Group, Inc. (a) | | | 2,601 | | | | 196,792 | |
| | | | | | | | |
| | | | | | | 479,729 | |
| | | | | | | | |
| Internet — 6.5% | |
Akamai Technologies, Inc. (a) (b) | | | 1,865 | | | | 98,155 | |
Alphabet, Inc. Class A (a) (b) | | | 3,069 | | | | 2,387,713 | |
Alphabet, Inc. Class C (a) (b) | | | 3,127 | | | | 2,373,018 | |
Amazon.com, Inc. (a) (b) | | | 4,086 | | | | 2,761,686 | |
eBay, Inc. (a) (b) | | | 11,932 | | | | 327,891 | |
Equinix, Inc. (a) | | | 655 | | | | 198,072 | |
Expedia, Inc. (a) | | | 1,116 | | | | 138,719 | |
F5 Networks, Inc. (a) (b) | | | 782 | | | | 75,823 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Facebook, Inc. Class A (a) (b) | | | 24,278 | | | $ | 2,540,935 | |
Netflix, Inc. (a) (b) | | | 4,537 | | | | 518,942 | |
The Priceline Group, Inc. (a) (b) | | | 552 | | | | 703,772 | |
Symantec Corp. (a) | | | 7,313 | | | | 153,573 | |
TripAdvisor, Inc. (a) (b) | | | 1,159 | | | | 98,805 | |
VeriSign, Inc. (a) (b) | | | 1,111 | | | | 97,057 | |
Yahoo!, Inc. (a) (b) | | | 9,234 | | | | 307,123 | |
| | | | | | | | |
| | | | | | | 12,781,284 | |
| | | | | | | | |
| Media — 3.0% | |
Cablevision Systems Corp. Class A (a) | | | 2,377 | | | | 75,826 | |
CBS Corp. Class B (a) | | | 4,711 | | | | 222,029 | |
Comcast Corp. Class A (a) | | | 26,548 | | | | 1,498,104 | |
Discovery Communications, Inc. Series A (a) (b) | | | 1,578 | | | | 42,101 | |
Discovery Communications, Inc. Series C (a) (b) | | | 2,743 | | | | 69,178 | |
The McGraw Hill Financial, Inc. (a) | | | 2,923 | | | | 288,149 | |
News Corp. Class A (a) | | | 4,034 | | | | 53,894 | |
News Corp. Class B (a) | | | 1,183 | | | | 16,515 | |
Scripps Networks Interactive Class A (a) | | | 1,024 | | | | 56,535 | |
TEGNA, Inc. (a) | | | 2,461 | | | | 62,805 | |
Time Warner Cable, Inc. (a) | | | 2,989 | | | | 554,729 | |
Time Warner, Inc. (a) | | | 8,698 | | | | 562,500 | |
Twenty-First Century Fox Class A (a) | | | 13,050 | | | | 354,438 | |
Twenty-First Century Fox, Inc. Class B (a) | | | 4,587 | | | | 124,904 | |
Viacom, Inc. Class B (a) | | | 3,660 | | | | 150,646 | |
The Walt Disney Co. (a) | | | 16,577 | | | | 1,741,911 | |
| | | | | | | | |
| | | | | | | 5,874,264 | |
| | | | | | | | |
| Telecommunications — 3.9% | |
AT&T, Inc. (a) | | | 66,129 | | | | 2,275,499 | |
CenturyLink, Inc. (a) | | | 5,878 | | | | 147,891 | |
Cisco Systems, Inc. (a) | | | 54,754 | | | | 1,486,845 | |
Corning, Inc. (a) | | | 13,051 | | | | 238,572 | |
Frontier Communications Corp. (a) | | | 12,436 | | | | 58,076 | |
Harris Corp. (a) | | | 1,277 | | | | 110,971 | |
Juniper Networks, Inc. (a) | | | 3,730 | | | | 102,948 | |
Level 3 Communications, Inc. (a) (b) | | | 3,037 | | | | 165,091 | |
Motorola Solutions, Inc. (a) | | | 1,686 | | | | 115,407 | |
QUALCOMM, Inc. (a) | | | 16,734 | | | | 836,449 | |
Verizon Communications, Inc. (a) | | | 43,817 | | | | 2,025,222 | |
| | | | | | | | |
| | | | | | | 7,562,971 | |
| | | | | | | | |
| | | | | | | 26,698,248 | |
| | | | | | | | |
| Consumer, Cyclical — 10.2% | |
| Airlines — 0.5% | |
American Airlines Group, Inc. (a) | | | 7,146 | | | | 302,633 | |
Delta Air Lines, Inc. (a) | | | 8,491 | | | | 430,409 | |
Southwest Airlines Co. (a) | | | 7,035 | | | | 302,927 | |
| | | | | | | | |
| | | | | | | 1,035,969 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
98
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Apparel — 0.8% | | | | | | | | |
Hanesbrands, Inc. (a) | | | 4,285 | | | $ | 126,107 | |
Michael Kors Holdings Ltd. (a) (b) | | | 2,049 | | | | 82,083 | |
Nike, Inc. Class B (a) | | | 14,398 | | | | 899,875 | |
Ralph Lauren Corp. (a) | | | 647 | | | | 72,128 | |
Under Armour, Inc. Class A (a) (b) | | | 1,900 | | | | 153,159 | |
VF Corp. (a) | | | 3,651 | | | | 227,275 | |
| | | | | | | | |
| | | | | | | 1,560,627 | |
| | | | | | | | |
| Auto Manufacturers — 0.7% | | | | | | | | |
Ford Motor Co. (a) | | | 42,023 | | | | 592,104 | |
General Motors Co. (a) | | | 15,425 | | | | 524,604 | |
Paccar, Inc. (a) | | | 3,830 | | | | 181,542 | |
| | | | | | | | |
| | | | | | | 1,298,250 | |
| | | | | | | | |
| Automotive & Parts — 0.4% | | | | | | | | |
BorgWarner, Inc. (a) | | | 2,466 | | | | 106,605 | |
Delphi Automotive PLC (a) | | | 3,043 | | | | 260,876 | |
The Goodyear Tire & Rubber Co. (a) | | | 2,843 | | | | 92,881 | |
Johnson Controls, Inc. (a) | | | 6,954 | | | | 274,614 | |
| | | | | | | | |
| | | | | | | 734,976 | |
| | | | | | | | |
| Distribution & Wholesale — 0.2% | | | | | | | | |
Fastenal Co. (a) | | | 3,127 | | | | 127,644 | |
Fossil Group, Inc. (a) (b) | | | 430 | | | | 15,721 | |
Genuine Parts Co. (a) | | | 1,578 | | | | 135,534 | |
W.W. Grainger, Inc. (a) | | | 677 | | | | 137,154 | |
| | | | | | | | |
| | | | | | | 416,053 | |
| | | | | | | | |
| Home Builders — 0.1% | | | | | | | | |
D.R. Horton, Inc. (a) | | | 3,529 | | | | 113,034 | |
Lennar Corp. Class A (a) | | | 1,839 | | | | 89,945 | |
PulteGroup, Inc. (a) | | | 3,446 | | | | 61,408 | |
| | | | | | | | |
| | | | | | | 264,387 | |
| | | | | | | | |
| Home Furnishing — 0.1% | | | | | | | | |
Harman International Industries, Inc. (a) | | | 775 | | | | 73,013 | |
Whirlpool Corp. (a) | | | 820 | | | | 120,433 | |
| | | | | | | | |
| | | | | | | 193,446 | |
| | | | | | | | |
| Housewares — 0.1% | | | | | | | | |
Newell Rubbermaid, Inc. (a) | | | 2,867 | | | | 126,377 | |
| | | | | | | | |
| Leisure Time — 0.3% | | | | | | | | |
Carnival Corp. (a) | | | 4,971 | | | | 270,820 | |
Harley-Davidson, Inc. (a) | | | 2,192 | | | | 99,495 | |
Royal Caribbean Cruises Ltd. (a) | | | 1,807 | | | | 182,887 | |
| | | | | | | | |
| | | | | | | 553,202 | |
| | | | | | | | |
| Lodging — 0.2% | | | | | | | | |
Marriott International, Inc. Class A (a) | | | 2,117 | | | | 141,923 | |
Starwood Hotels & Resorts Worldwide, Inc. (a) | | | 1,782 | | | | 123,457 | |
Wyndham Worldwide Corp. (a) | | | 1,309 | | | | 95,099 | |
Wynn Resorts Ltd. (a) | | | 915 | | | | 63,309 | |
| | | | | | | | |
| | | | | | | 423,788 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Retail — 6.6% | | | | | | | | |
Advance Auto Parts, Inc. (a) | | | 814 | | | $ | 122,515 | |
AutoNation, Inc. (a) (b) | | | 846 | | | | 50,472 | |
AutoZone, Inc. (a) (b) | | | 331 | | | | 245,572 | |
Bed Bath & Beyond, Inc. (a) (b) | | | 1,789 | | | | 86,319 | |
Best Buy Co., Inc. (a) | | | 3,312 | | | | 100,851 | |
CarMax, Inc. (a) (b) | | | 2,207 | | | | 119,112 | |
Chipotle Mexican Grill, Inc. (a) (b) | | | 345 | | | | 165,548 | |
Coach, Inc. (a) | | | 2,914 | | | | 95,375 | |
Costco Wholesale Corp. (a) | | | 4,708 | | | | 760,342 | |
CVS Health Corp. (a) | | | 11,904 | | | | 1,163,854 | |
Darden Restaurants, Inc. (a) | | | 1,169 | | | | 74,395 | |
Dollar General Corp. (a) | | | 3,140 | | | | 225,672 | |
Dollar Tree, Inc. (a) (b) | | | 2,491 | | | | 192,355 | |
GameStop Corp. Class A (a) | | | 1,125 | | | | 31,545 | |
The Gap, Inc. (a) | | | 2,555 | | | | 63,109 | |
The Home Depot, Inc. (a) | | | 13,736 | | | | 1,816,586 | |
Kohl’s Corp. (a) | | | 2,097 | | | | 99,880 | |
L Brands, Inc. (a) | | | 2,760 | | | | 264,463 | |
Lowe’s Cos., Inc. (a) | | | 9,890 | | | | 752,036 | |
Macy’s, Inc. (a) | | | 3,491 | | | | 122,115 | |
McDonald’s Corp. (a) | | | 10,073 | | | | 1,190,024 | |
Nordstrom, Inc. (a) | | | 1,536 | | | | 76,508 | |
O’Reilly Automotive, Inc. (a) (b) | | | 1,067 | | | | 270,399 | |
PVH Corp. (a) | | | 931 | | | | 68,568 | |
Ross Stores, Inc. (a) | | | 4,395 | | | | 236,495 | |
Signet Jewelers Ltd. (a) | | | 872 | | | | 107,858 | |
Staples, Inc. (a) | | | 6,831 | | | | 64,690 | |
Starbucks Corp. (a) | | | 15,804 | | | | 948,714 | |
Target Corp. (a) | | | 6,664 | | | | 483,873 | |
Tiffany & Co. (a) | | | 1,147 | | | | 87,505 | |
The TJX Cos., Inc. (a) | | | 7,244 | | | | 513,672 | |
Tractor Supply Co. (a) | | | 1,494 | | | | 127,737 | |
Urban Outfitters, Inc. (a) (b) | | | 1,003 | | | | 22,818 | |
Wal-Mart Stores, Inc. (a) | | | 16,816 | | | | 1,030,821 | |
Walgreens Boots Alliance, Inc. (a) | | | 9,353 | | | | 796,455 | |
Yum! Brands, Inc. (a) | | | 4,560 | | | | 333,108 | |
| | | | | | | | |
| | | | | | | 12,911,361 | |
| | | | | | | | |
| Textiles — 0.1% | | | | | | | | |
Cintas Corp. (a) | | | 994 | | | | 90,504 | |
Mohawk Industries, Inc. (a) (b) | | | 701 | | | | 132,762 | |
| | | | | | | | |
| | | | | | | 223,266 | |
| | | | | | | | |
| Toys, Games & Hobbies — 0.1% | | | | | | | | |
Hasbro, Inc. (a) | | | 1,163 | | | | 78,340 | |
Mattel, Inc. (a) | | | 3,619 | | | | 98,328 | |
| | | | | | | | |
| | | | | | | 176,668 | |
| | | | | | | | |
| | | | | | | 19,918,370 | |
| | | | | | | | |
| Consumer, Non-cyclical — 24.5% | | | | | | | | |
| Agriculture — 1.7% | | | | | | | | |
Altria Group, Inc. (a) | | | 21,032 | | | | 1,224,273 | |
Archer-Daniels-Midland Co. (a) | | | 6,455 | | | | 236,769 | |
The accompanying notes are an integral part of the financial statements.
99
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Philip Morris International, Inc. (a) | | | 16,525 | | | $ | 1,452,713 | |
Reynolds American, Inc. (a) | | | 8,810 | | | | 406,581 | |
| | | | | | | | |
| | | | | | | 3,320,336 | |
| | | | | | | | |
| Beverages — 2.3% | | | | | | | | |
Brown-Forman Corp. Class B (a) | | | 1,182 | | | | 117,349 | |
The Coca-Cola Co. (a) | | | 42,194 | | | | 1,812,654 | |
Coca-Cola Enterprises, Inc. (a) | | | 2,242 | | | | 110,396 | |
Constellation Brands, Inc. Class A (a) | | | 1,800 | | | | 256,392 | |
Dr. Pepper Snapple Group, Inc. (a) | | | 2,009 | | | | 187,239 | |
Keurig Green Mountain, Inc. (a) | | | 1,269 | | | | 114,185 | |
Molson Coors Brewing Co. Class B (a) | | | 1,656 | | | | 155,531 | |
Monster Beverage Corp. (a) (b) | | | 1,617 | | | | 240,868 | |
PepsiCo, Inc. (a) | | | 15,678 | | | | 1,566,546 | |
| | | | | | | | |
| | | | | | | 4,561,160 | |
| | | | | | | | |
| Biotechnology — 3.2% | | | | | | | | |
Alexion Pharmaceuticals, Inc. (a) (b) | | | 2,454 | | | | 468,100 | |
Amgen, Inc. (a) | | | 8,079 | | | | 1,311,464 | |
Biogen, Inc. (a) (b) | | | 2,364 | | | | 724,211 | |
Celgene Corp. (a) (b) | | | 8,430 | | | | 1,009,577 | |
Gilead Sciences, Inc. (a) | | | 15,625 | | | | 1,581,094 | |
Illumina, Inc. (a) (b) | | | 1,580 | | | | 303,273 | |
Regeneron Pharmaceuticals, Inc. (a) (b) | | | 841 | | | | 456,554 | |
Vertex Pharmaceuticals, Inc. (a) (b) | | | 2,647 | | | | 333,072 | |
| | | | | | | | |
| | | | | | | 6,187,345 | |
| | | | | | | | |
| Commercial Services — 2.2% | | | | | | | | |
The ADT Corp. (a) | | | 1,832 | | | | 60,419 | |
Alliance Data Systems Corp. (a) (b) | | | 683 | | | | 188,897 | |
Automatic Data Processing, Inc. (a) | | | 4,969 | | | | 420,974 | |
Equifax, Inc. (a) | | | 1,310 | | | | 145,895 | |
H&R Block, Inc. (a) | | | 2,522 | | | | 84,008 | |
McKesson Corp. (a) | | | 2,435 | | | | 480,255 | |
Moody’s Corp. (a) | | | 1,839 | | | | 184,525 | |
Paychex, Inc. (a) | | | 3,385 | | | | 179,033 | |
PayPal Holdings, Inc. (a) (b) | | | 11,827 | | | | 428,137 | |
Quanta Services, Inc. (a) (b) | | | 2,135 | | | | 43,234 | |
Robert Half International, Inc. (a) | | | 1,442 | | | | 67,976 | |
Total System Services, Inc. (a) | | | 1,759 | | | | 87,598 | |
United Rentals, Inc. (a) (b) | | | 1,030 | | | | 74,716 | |
Verisk Analytics, Inc. (a) (b) | | | 1,678 | | | | 129,005 | |
Visa, Inc. Class A (a) | | | 20,933 | | | | 1,623,354 | |
Western Union Co. (a) | | | 5,479 | | | | 98,129 | |
| | | | | | | | |
| | | | | | | 4,296,155 | |
| | | | | | | | |
| Cosmetics & Personal Care — 1.6% | | | | | | | | |
Colgate-Palmolive Co. (a) | | | 9,663 | | | | 643,749 | |
The Estee Lauder Cos., Inc. Class A (a) | | | 2,403 | | | | 211,608 | |
The Procter & Gamble Co. (a) | | | 29,158 | | | | 2,315,437 | |
| | | | | | | | |
| | | | | | | 3,170,794 | |
| | | | | | | | |
| Foods — 1.8% | | | | | | | | |
Campbell Soup Co. (a) | | | 1,906 | | | | 100,160 | |
ConAgra Foods, Inc. (a) | | | 4,573 | | | | 192,798 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
General Mills, Inc. (a) | | | 6,381 | | | $ | 367,929 | |
The Hershey Co. (a) | | | 1,523 | | | | 135,958 | |
Hormel Foods Corp. (a) | | | 1,420 | | | | 112,294 | |
The J.M. Smucker Co. (a) | | | 1,230 | | | | 151,708 | |
Kellogg Co. (a) | | | 2,718 | | | | 196,430 | |
The Kraft Heinz Co. (a) | | | 6,358 | | | | 462,608 | |
The Kroger Co. (a) | | | 10,345 | | | | 432,731 | |
McCormick & Co., Inc. (a) | | | 1,288 | | | | 110,201 | |
Mondelez International, Inc. Class A (a) | | | 17,210 | | | | 771,697 | |
Sysco Corp. (a) | | | 5,920 | | | | 242,720 | |
Tyson Foods, Inc. Class A (a) | | | 3,286 | | | | 175,242 | |
Whole Foods Market, Inc. (a) | | | 3,858 | | | | 129,243 | |
| | | | | | | | |
| | | | | | | 3,581,719 | |
| | | | | | | | |
| Health Care – Products — 3.3% | | | | | | | | |
Baxter International, Inc. (a) | | | 5,809 | | | | 221,613 | |
Becton, Dickinson & Co. (a) | | | 2,229 | | | | 343,467 | |
Boston Scientific Corp. (a) (b) | | | 14,348 | | | | 264,577 | |
C.R. Bard, Inc. (a) | | | 818 | | | | 154,962 | |
Edwards Lifesciences Corp. (a) (b) | | | 2,382 | | | | 188,130 | |
Henry Schein, Inc. (a) (b) | | | 918 | | | | 145,218 | |
Intuitive Surgical, Inc. (a) (b) | | | 392 | | | | 214,095 | |
Johnson & Johnson (a) | | | 29,869 | | | | 3,068,144 | |
Medtronic PLC (a) | | | 15,073 | | | | 1,159,415 | |
St. Jude Medical, Inc. (a) | | | 3,015 | | | | 186,237 | |
Stryker Corp. (a) | | | 3,423 | | | | 318,134 | |
Varian Medical Systems, Inc. (a) (b) | | | 1,079 | | | | 87,183 | |
Zimmer Biomet Holdings, Inc. (a) | | | 1,819 | | | | 186,611 | |
| | | | | | | | |
| | | | | | | 6,537,786 | |
| | | | | | | | |
| Health Care – Services — 2.1% | | | | | | | | |
Aetna, Inc. (a) | | | 3,689 | | | | 398,855 | |
Anthem, Inc. (a) | | | 2,842 | | | | 396,288 | |
Cigna Corp. (a) | | | 2,794 | | | | 408,846 | |
DaVita HealthCare Partners, Inc. (a) (b) | | | 1,796 | | | | 125,199 | |
HCA Holdings, Inc. (a) (b) | | | 3,418 | | | | 231,159 | |
Humana, Inc. (a) | | | 1,594 | | | | 284,545 | |
Laboratory Corporation of America Holdings (a) (b) | | | 1,049 | | | | 129,698 | |
Quest Diagnostics, Inc. (a) | | | 1,568 | | | | 111,548 | |
Tenet Healthcare Corp. (a) (b) | | | 1,112 | | | | 33,694 | |
Thermo Fisher Scientific, Inc. (a) | | | 4,253 | | | | 603,288 | |
UnitedHealth Group, Inc. (a) | | | 10,168 | | | | 1,196,164 | |
Universal Health Services, Inc. Class B (a) | | | 1,028 | | | | 122,836 | |
| | | | | | | | |
| | | | | | | 4,042,120 | |
| | | | | | | | |
| Household Products — 0.4% | | | | | | | | |
Avery Dennison Corp. (a) | | | 1,022 | | | | 64,039 | |
The Clorox Co. (a) | | | 1,330 | | | | 168,684 | |
Kimberly-Clark Corp. (a) | | | 3,867 | | | | 492,269 | |
| | | | | | | | |
| | | | | | | 724,992 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
100
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Pharmaceuticals — 5.9% | | | | | | | | |
Abbott Laboratories (a) | | | 15,906 | | | $ | 714,338 | |
AbbVie, Inc. (a) | | | 17,661 | | | | 1,046,238 | |
Allergan PLC (a) (b) | | | 4,195 | | | | 1,310,937 | |
AmerisourceBergen Corp. (a) | | | 2,184 | | | | 226,503 | |
Baxalta, Inc. (a) | | | 5,806 | | | | 226,608 | |
Bristol-Myers Squibb Co. (a) | | | 17,812 | | | | 1,225,287 | |
Cardinal Health, Inc. (a) | | | 3,519 | | | | 314,141 | |
DENTSPLY International, Inc. (a) | | | 1,485 | | | | 90,362 | |
Eli Lilly & Co. (a) | | | 10,453 | | | | 880,770 | |
Endo International PLC (a) (b) | | | 2,212 | | | | 135,419 | |
Express Scripts Holding Co. (a) (b) | | | 7,177 | | | | 627,342 | |
Mallinckrodt PLC (a) (b) | | | 1,215 | | | | 90,675 | |
Mead Johnson Nutrition Co. (a) | | | 2,132 | | | | 168,321 | |
Merck & Co., Inc. (a) | | | 30,367 | | | | 1,603,985 | |
Mylan NV (a) (b) | | | 4,393 | | | | 237,530 | |
Patterson Cos., Inc. (a) | | | 967 | | | | 43,718 | |
Perrigo Co. PLC (a) | | | 1,567 | | | | 226,745 | |
Pfizer, Inc. (a) | | | 66,289 | | | | 2,139,809 | |
Zoetis, Inc. (a) | | | 4,876 | | | | 233,658 | |
| | | | | | | | |
| | | | | | | 11,542,386 | |
| | | | | | | | |
| | | | | | | 47,964,793 | |
| | | | | | | | |
| Diversified — 0.0% | |
| Holding Company – Diversified — 0.0% | |
Leucadia National Corp. (a) | | | 3,554 | | | | 61,804 | |
| | | | | | | | |
| Energy — 6.4% | | | | | | | | |
| Coal — 0.0% | | | | | | | | |
CONSOL Energy, Inc. (a) | | | 2,400 | | | | 18,960 | |
| | | | | | | | |
| Energy – Alternate Sources — 0.0% | | | | | | | | |
First Solar, Inc. (a) (b) | | | 849 | | | | 56,025 | |
| | | | | | | | |
| Oil & Gas — 5.0% | | | | | | | | |
Anadarko Petroleum Corp. (a) | | | 5,414 | | | | 263,012 | |
Apache Corp. (a) | | | 4,065 | | | | 180,771 | |
Cabot Oil & Gas Corp. (a) | | | 4,464 | | | | 78,968 | |
Chesapeake Energy Corp. (a) | | | 5,541 | | | | 24,935 | |
Chevron Corp. (a) | | | 20,158 | | | | 1,813,414 | |
Cimarex Energy Co. (a) | | �� | 1,050 | | | | 93,849 | |
ConocoPhillips (a) | | | 13,171 | | | | 614,954 | |
Devon Energy Corp. (a) | | | 4,061 | | | | 129,952 | |
Diamond Offshore Drilling, Inc. (a) | | | 658 | | | | 13,884 | |
Ensco PLC Class A (a) | | | 2,545 | | | | 39,168 | |
EOG Resources, Inc. (a) | | | 5,896 | | | | 417,378 | |
EQT Corp. (a) | | | 1,615 | | | | 84,190 | |
Exxon Mobil Corp. (a) | | | 44,943 | | | | 3,503,307 | |
Helmerich & Payne, Inc. (a) | | | 1,115 | | | | 59,708 | |
Hess Corp. (a) | | | 2,513 | | | | 121,830 | |
Marathon Oil Corp. (a) | | | 7,112 | | | | 89,540 | |
Marathon Petroleum Corp. (a) | | | 5,770 | | | | 299,117 | |
Murphy Oil Corp. (a) | | | 1,741 | | | | 39,086 | |
Newfield Exploration Co. (a) (b) | | | 1,715 | | | | 55,840 | |
Noble Energy, Inc. (a) | | | 4,525 | | | | 149,008 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Occidental Petroleum Corp. (a) | | | 8,144 | | | $ | 550,616 | |
Phillips 66 (a) | | | 5,104 | | | | 417,507 | |
Pioneer Natural Resources Co. (a) | | | 1,553 | | | | 194,715 | |
Range Resources Corp. (a) | | | 1,772 | | | | 43,609 | |
Southwestern Energy Co. (a) (b) | | | 4,140 | | | | 29,435 | |
Tesoro Corp. (a) | | | 1,268 | | | | 133,609 | |
Valero Energy Corp. (a) | | | 5,271 | | | | 372,712 | |
| | | | | | | | |
| | | | | | | 9,814,114 | |
| | | | | | | | |
| Oil & Gas Services — 1.0% | | | | | | | | |
Baker Hughes, Inc. (a) | | | 4,653 | | | | 214,736 | |
Cameron International Corp. (a) (b) | | | 2,026 | | | | 128,043 | |
FMC Technologies, Inc. (a) (b) | | | 2,494 | | | | 72,351 | |
Halliburton Co. (a) | | | 9,130 | | | | 310,785 | |
National Oilwell Varco, Inc. (a) | | | 4,069 | | | | 136,271 | |
Schlumberger Ltd. (a) | | | 13,513 | | | | 942,532 | |
Transocean Ltd. (a) | | | 3,645 | | | | 45,125 | |
| | | | | | | | |
| | | | | | | 1,849,843 | |
| | | | | | | | |
| Pipelines — 0.4% | | | | | | | | |
Columbia Pipeline Group, Inc. (a) | | | 3,370 | | | | 67,400 | |
Kinder Morgan, Inc. (a) | | | 19,206 | | | | 286,553 | |
ONEOK, Inc. (a) | | | 2,253 | | | | 55,559 | |
Spectra Energy Corp. (a) | | | 7,144 | | | | 171,027 | |
The Williams Cos., Inc. (a) | | | 7,268 | | | | 186,788 | |
| | | | | | | | |
| | | | | | | 767,327 | |
| | | | | | | | |
| | | | | | | 12,506,269 | |
| | | | | | | | |
| Financial — 16.4% | | | | | | | | |
| Banks — 4.4% | | | | | | | | |
Bank of America Corp. (a) | | | 112,468 | | | | 1,892,837 | |
The Bank of New York Mellon Corp. (a) | | | 11,768 | | | | 485,077 | |
BB&T Corp. (a) | | | 8,300 | | | | 313,823 | |
Capital One Financial Corp. (a) | | | 5,794 | | | | 418,211 | |
Comerica, Inc. (a) | | | 1,881 | | | | 78,682 | |
Fifth Third Bancorp (a) | | | 8,409 | | | | 169,021 | |
Huntington Bancshares, Inc. (a) | | | 8,580 | | | | 94,895 | |
KeyCorp (a) | | | 8,931 | | | | 117,800 | |
M&T Bank Corp. (a) | | | 1,675 | | | | 202,977 | |
Northern Trust Corp. (a) | | | 2,321 | | | | 167,321 | |
PNC Financial Services Group, Inc. (a) | | | 5,499 | | | | 524,110 | |
Regions Financial Corp. (a) | | | 14,114 | | | | 135,494 | |
State Street Corp. (a) | | | 4,398 | | | | 291,851 | |
SunTrust Banks, Inc. (a) | | | 5,516 | | | | 236,305 | |
U.S. Bancorp (a) | | | 17,657 | | | | 753,424 | |
Wells Fargo & Co. (a) | | | 50,261 | | | | 2,732,188 | |
Zions Bancorp (a) | | | 2,191 | | | | 59,814 | |
| | | | | | | | |
| | | | | | | 8,673,830 | |
| | | | | | | | |
| Diversified Financial — 5.3% | | | | | | | | |
Affiliated Managers Group, Inc. (a) (b) | | | 594 | | | | 94,897 | |
American Express Co. (a) | | | 9,096 | | | | 632,627 | |
The accompanying notes are an integral part of the financial statements.
101
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Ameriprise Financial, Inc. (a) | | | 1,884 | | | $ | 200,495 | |
BlackRock, Inc. (a) | | | 1,390 | | | | 473,323 | |
The Charles Schwab Corp. (a) | | | 12,771 | | | | 420,549 | |
Citigroup, Inc. (a) | | | 32,491 | | | | 1,681,409 | |
CME Group, Inc. (a) | | | 3,648 | | | | 330,509 | |
Discover Financial Services (a) | | | 4,665 | | | | 250,137 | |
E*TRADE Financial Corp. (a) (b) | | | 3,060 | | | | 90,698 | |
Franklin Resources, Inc. (a) | | | 4,108 | | | | 151,257 | |
The Goldman Sachs Group, Inc. (a) | | | 4,299 | | | | 774,809 | |
Intercontinental Exchange, Inc. (a) | | | 1,189 | | | | 304,693 | |
Invesco Ltd. (a) | | | 4,626 | | | | 154,879 | |
JP Morgan Chase & Co. (a) | | | 39,826 | | | | 2,629,711 | |
Legg Mason, Inc. (a) | | | 1,122 | | | | 44,016 | |
MasterCard, Inc. Class A (a) | | | 10,622 | | | | 1,034,158 | |
Morgan Stanley (a) | | | 16,224 | | | | 516,085 | |
The Nasdaq, Inc. (a) | | | 1,234 | | | | 71,782 | |
Navient Corp. (a) | | | 4,034 | | | | 46,189 | |
Synchrony Financial (a) (b) | | | 8,920 | | | | 271,257 | |
T. Rowe Price Group, Inc. (a) | | | 2,763 | | | | 197,527 | |
| | | | | | | | |
| | | | | | | 10,371,007 | |
| | | | | | | | |
| Insurance — 4.1% | |
ACE Ltd. (a) | | | 3,414 | | | | 398,926 | |
Aflac, Inc. (a) | | | 4,633 | | | | 277,517 | |
The Allstate Corp. (a) | | | 4,290 | | | | 266,366 | |
American International Group, Inc. (a) | | | 13,825 | | | | 856,735 | |
Aon PLC (a) | | | 3,014 | | | | 277,921 | |
Assurant, Inc. (a) | | | 728 | | | | 58,633 | |
Berkshire Hathaway, Inc. Class B (a) (b) | | | 20,101 | | | | 2,654,136 | |
The Chubb Corp. (a) | | | 2,446 | | | | 324,437 | |
Cincinnati Financial Corp. (a) | | | 1,568 | | | | 92,779 | |
The Hartford Financial Services Group, Inc. (a) | | | 4,402 | | | | 191,311 | |
Lincoln National Corp. (a) | | | 2,688 | | | | 135,099 | |
Loews Corp. (a) | | | 3,083 | | | | 118,387 | |
Marsh & McLennan Cos., Inc. (a) | | | 5,695 | | | | 315,788 | |
MetLife, Inc. (a) | | | 11,918 | | | | 574,567 | |
Principal Financial Group, Inc. (a) | | | 2,888 | | | | 129,902 | |
The Progressive Corp. (a) | | | 6,217 | | | | 197,701 | |
Prudential Financial, Inc. (a) | | | 4,789 | | | | 389,872 | |
Torchmark Corp. (a) | | | 1,200 | | | | 68,592 | |
The Travelers Cos., Inc. (a) | | | 3,371 | | | | 380,451 | |
Unum Group (a) | | | 2,619 | | | | 87,187 | |
XL Group PLC (a) | | | 3,262 | | | | 127,805 | |
| | | | | | | | |
| | | | | | | 7,924,112 | |
| | | | | | | | |
| Real Estate — 0.1% | |
CBRE Group, Inc. (a) (b) | | | 3,078 | | | | 106,437 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 2.5% | |
American Tower Corp. (a) | | | 4,509 | | | | 437,148 | |
Apartment Investment & Management Co. Class A (a) | | | 1,664 | | | | 66,610 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
AvalonBay Communities, Inc. (a) | | | 1,468 | | | $ | 270,303 | |
Boston Properties, Inc. (a) | | | 1,597 | | | | 203,681 | |
Crown Castle International Corp. (a) | | | 3,596 | | | | 310,874 | |
Equity Residential (a) | | | 3,932 | | | | 320,812 | |
Essex Property Trust, Inc. (a) | | | 693 | | | | 165,911 | |
General Growth Properties, Inc. (a) | | | 6,160 | | | | 167,614 | |
HCP, Inc. (a) | | | 4,901 | | | | 187,414 | |
Host Hotels & Resorts, Inc. (a) | | | 8,018 | | | | 122,996 | |
Iron Mountain, Inc. (a) | | | 2,011 | | | | 54,317 | |
Kimco Realty Corp. (a) | | | 4,259 | | | | 112,693 | |
The Macerich Co. (a) | | | 1,398 | | | | 112,805 | |
Plum Creek Timber Co., Inc. (a) | | | 1,892 | | | | 90,286 | |
Prologis, Inc. (a) | | | 5,582 | | | | 239,579 | |
Public Storage (a) | | | 1,594 | | | | 394,834 | |
Realty Income Corp. (a) | | | 2,622 | | | | 135,374 | |
Simon Property Group, Inc. (a) | | | 3,272 | | | | 636,208 | |
SL Green Realty Corp. (a) | | | 1,030 | | | | 116,369 | |
Ventas, Inc. (a) | | | 3,567 | | | | 201,286 | |
Vornado Realty Trust (a) | | | 1,873 | | | | 187,225 | |
Welltower, Inc. (a) | | | 3,789 | | | | 257,766 | |
Weyerhaeuser Co. (a) | | | 5,529 | | | | 165,759 | |
| | | | | | | | |
| | | | | | | 4,957,864 | |
| | | | | | | | |
| Savings & Loans — 0.0% | |
People’s United Financial, Inc. (a) | | | 3,280 | | | | 52,972 | |
| | | | | | | | |
| | | | | | | 32,086,222 | |
| | | | | | | | |
| Industrial — 9.4% | |
| Aerospace & Defense — 2.0% | |
The Boeing Co. (a) | | | 6,789 | | | | 981,622 | |
General Dynamics Corp. (a) | | | 3,205 | | | | 440,239 | |
L-3 Communications Holdings, Inc. (a) | | | 892 | | | | 106,603 | |
Lockheed Martin Corp. (a) | | | 2,823 | | | | 613,014 | |
Northrop Grumman Corp. (a) | | | 2,027 | | | | 382,718 | |
Raytheon Co. (a) | | | 3,287 | | | | 409,330 | |
Rockwell Collins, Inc. (a) | | | 1,455 | | | | 134,296 | |
United Technologies Corp. (a) | | | 8,843 | | | | 849,547 | |
| | | | | | | | |
| | | | | | | 3,917,369 | |
| | | | | | | | |
| Airlines — 0.1% | |
United Continental Holdings, Inc. (a) (b) | | | 4,000 | | | | 229,200 | |
| | | | | | | | |
| Building Materials — 0.1% | |
Martin Marietta Materials, Inc. (a) | | | 742 | | | | 101,342 | |
Masco Corp. (a) | | | 3,699 | | | | 104,682 | |
| | | | | | | | |
| | | | | | | 206,024 | |
| | | | | | | | |
| Electrical Components & Equipment — 0.2% | |
AMETEK, Inc. (a) | | | 2,622 | | | | 140,513 | |
Emerson Electric Co. (a) | | | 6,983 | | | | 333,997 | |
| | | | | | | | |
| | | | | | | 474,510 | |
| | | | | | | | |
| Electronics — 0.6% | |
Agilent Technologies, Inc. (a) | | | 3,581 | | | | 149,722 | |
Allegion PLC (a) | | | 984 | | | | 64,865 | |
The accompanying notes are an integral part of the financial statements.
102
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Amphenol Corp. Class A (a) | | | 3,343 | | | $ | 174,605 | |
FLIR Systems, Inc. (a) | | | 1,478 | | | | 41,487 | |
Garmin Ltd. (a) | | | 1,264 | | | | 46,983 | |
PerkinElmer, Inc. (a) | | | 1,176 | | | | 62,998 | |
TE Connectivity Ltd. (a) | | | 4,321 | | | | 279,180 | |
Tyco International PLC (a) | | | 4,530 | | | | 144,462 | |
Waters Corp. (a) (b) | | | 904 | | | | 121,660 | |
| | | | | | | | |
| | | | | | | 1,085,962 | |
| | | | | | | | |
| Engineering & Construction — 0.1% | | | | | | | | |
Fluor Corp. (a) | | | 1,449 | | | | 68,422 | |
Jacobs Engineering Group, Inc. (a) (b) | | | 1,350 | | | | 56,632 | |
| | | | | | | | |
| | | | | | | 125,054 | |
| | | | | | | | |
| Environmental Controls — 0.2% | | | | | | | | |
Republic Services, Inc. (a) | | | 2,574 | | | | 113,230 | |
Stericycle, Inc. (a) (b) | | | 932 | | | | 112,399 | |
Waste Management, Inc. (a) | | | 4,488 | | | | 239,525 | |
| | | | | | | | |
| | | | | | | 465,154 | |
| | | | | | | | |
| Hand & Machine Tools — 0.1% | | | | | | | | |
Snap-on, Inc. (a) | | | 656 | | | | 112,458 | |
Stanley Black & Decker, Inc. (a) | | | 1,607 | | | | 171,515 | |
| | | | | | | | |
| | | | | | | 283,973 | |
| | | | | | | | |
| Machinery – Construction & Mining — 0.3% | |
Caterpillar, Inc. (a) | | | 6,462 | | | | 439,158 | |
Ingersoll-Rand PLC (a) | | | 2,790 | | | | 154,259 | |
| | | | | | | | |
| | | | | | | 593,417 | |
| | | | | | | | |
| Machinery – Diversified — 0.5% | |
Cummins, Inc. (a) | | | 1,761 | | | | 154,985 | |
Deere & Co. (a) | | | 3,341 | | | | 254,818 | |
Flowserve Corp. (a) | | | 1,433 | | | | 60,301 | |
Rockwell Automation, Inc. (a) | | | 1,390 | | | | 142,628 | |
Roper Technologies, Inc. (a) | | | 1,109 | | | | 210,477 | |
Xylem, Inc. (a) | | | 1,958 | | | | 71,467 | |
| | | | | | | | |
| | | | | | | 894,676 | |
| | | | | | | | |
| Manufacturing — 3.4% | |
3M Co. (a) | | | 6,625 | | | | 997,990 | |
Danaher Corp. (a) | | | 6,395 | | | | 593,968 | |
Dover Corp. (a) | | | 1,642 | | | | 100,671 | |
Eaton Corp. PLC (a) | | | 5,003 | | | | 260,356 | |
General Electric Co. (a) | | | 101,067 | | | | 3,148,237 | |
Honeywell International, Inc. (a) | | | 8,380 | | | | 867,917 | |
Illinois Tool Works, Inc. (a) | | | 3,547 | | | | 328,736 | |
Leggett & Platt, Inc. (a) | | | 1,471 | | | | 61,811 | |
Parker Hannifin Corp. (a) | | | 1,439 | | | | 139,554 | |
Pentair PLC (a) | | | 1,889 | | | | 93,562 | |
Textron, Inc. (a) | | | 2,875 | | | | 120,779 | |
| | | | | | | | |
| | | | | | | 6,713,581 | |
| | | | | | | | |
| Metal Fabricate & Hardware — 0.2% | |
Precision Castparts Corp. (a) | | | 1,488 | | | | 345,231 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Packaging & Containers — 0.2% | | | | | | | | |
Ball Corp. (a) | | | 1,451 | | | $ | 105,531 | |
Owens-Illinois, Inc. (a) (b) | | | 1,754 | | | | 30,555 | |
Sealed Air Corp. (a) | | | 2,186 | | | | 97,496 | |
WestRock Co. (a) | | | 2,776 | | | | 126,641 | |
| | | | | | | | |
| | | | | | | 360,223 | |
| | | | | | | | |
| Transportation — 1.4% | |
American ExpressNorfolk Southern Corp. (a) | | | 3,228 | | | | 273,057 | |
C.H. Robinson Worldwide, Inc. (a) | | | 1,479 | | | | 91,728 | |
CSX Corp. (a) | | | 10,485 | | | | 272,086 | |
Expeditors International of Washington, Inc. (a) | | | 1,984 | | | | 89,478 | |
FedEx Corp. (a) | | | 2,759 | | | | 411,064 | |
J.B. Hunt Transport Services, Inc. (a) | | | 997 | | | | 73,140 | |
Kansas City Southern (a) | | | 1,146 | | | | 85,572 | |
Ryder System, Inc. (a) | | | 598 | | | | 33,984 | |
Union Pacific Corp. (a) | | | 9,292 | | | | 726,634 | |
United Parcel Service, Inc. Class B (a) | | | 7,436 | | | | 715,566 | |
| | | | | | | | |
| | | | | | | 2,772,309 | |
| | | | | | | | |
| | | | | | | 18,466,683 | |
| | | | | | | | |
| Technology — 12.5% | |
| Computers — 5.4% | |
Accenture PLC Class A (a) | | | 6,632 | | | | 693,044 | |
Apple, Inc. (a) | | | 61,261 | | | | 6,448,333 | |
Cognizant Technology Solutions Corp. Class A (a) (b) | | | 6,529 | | | | 391,870 | |
CSRA, Inc. (a) | | | 1,430 | | | | 42,900 | |
EMC Corp. (a) | | | 20,581 | | | | 528,520 | |
Hewlett Packard Enterprise Co. (a) | | | 19,383 | | | | 294,622 | |
HP, Inc. (a) | | | 19,383 | | | | 229,495 | |
International Business Machines Corp. (a) | | | 9,644 | | | | 1,327,207 | |
NetApp, Inc. (a) | | | 3,237 | | | | 85,878 | |
SanDisk Corp. (a) | | | 2,171 | | | | 164,974 | |
Seagate Technology PLC (a) | | | 3,255 | | | | 119,328 | |
Teradata Corp. (a) (b) | | | 1,538 | | | | 40,634 | |
Western Digital Corp. (a) | | | 2,460 | | | | 147,723 | |
| | | | | | | | |
| | | | | | | 10,514,528 | �� |
| | | | | | | | |
| Office Equipment/Supplies — 0.1% | | | | | | | | |
Pitney Bowes, Inc. (a) | | | 2,176 | | | | 44,935 | |
Xerox Corp. (a) | | | 10,759 | | | | 114,368 | |
| | | | | | | | |
| | | | | | | 159,303 | |
| | | | | | | | |
| Semiconductors — 2.4% | | | | | | | | |
Analog Devices, Inc. (a) | | | 3,350 | | | | 185,322 | |
Applied Materials, Inc. (a) | | | 12,853 | | | | 239,966 | |
Avago Technologies Ltd. (a) | | | 2,815 | | | | 408,597 | |
Broadcom Corp. Class A (a) | | | 5,941 | | | | 343,509 | |
Intel Corp. (a) | | | 51,129 | | | | 1,761,394 | |
The accompanying notes are an integral part of the financial statements.
103
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
KLA-Tencor Corp. (a) | | | 1,654 | | | $ | 114,705 | |
Lam Research Corp. (a) | | | 1,739 | | | | 138,111 | |
Linear Technology Corp. (a) | | | 2,478 | | | | 105,241 | |
Microchip Technology, Inc. (a) | | | 2,260 | | | | 105,180 | |
Micron Technology, Inc. (a) (b) | | | 11,540 | | | | 163,406 | |
NVIDIA Corp. (a) | | | 5,477 | | | | 180,522 | |
Qorvo, Inc. (a) (b) | | | 1,560 | | | | 79,404 | |
Skyworks Solutions, Inc. (a) | | | 2,006 | | | | 154,121 | |
Texas Instruments, Inc. (a) | | | 11,003 | | | | 603,075 | |
Xilinx, Inc. (a) | | | 2,762 | | | | 129,731 | |
| | | | | | | | |
| | | | | | | 4,712,284 | |
| | | | | | | | |
| Software — 4.6% | | | | | | | | |
Activision Blizzard, Inc. (a) | | | 5,400 | | | | 209,034 | |
Adobe Systems, Inc. (a) (b) | | | 5,326 | | | | 500,324 | |
Autodesk, Inc. (a) (b) | | | 2,371 | | | | 144,465 | |
CA, Inc. (a) | | | 3,362 | | | | 96,019 | |
Cerner Corp. (a) (b) | | | 3,292 | | | | 198,080 | |
Citrix Systems, Inc. (a) (b) | | | 1,674 | | | | 126,638 | |
The Dun & Bradstreet Corp. (a) | | | 406 | | | | 42,196 | |
Electronic Arts, Inc. (a) (b) | | | 3,352 | | | | 230,349 | |
Fidelity National Information Services, Inc. (a) | | | 2,993 | | | | 181,376 | |
Fiserv, Inc. (a) (b) | | | 2,507 | | | | 229,290 | |
Intuit, Inc. (a) | | | 2,976 | | | | 287,184 | |
Microsoft Corp. (a) | | | 86,049 | | | | 4,773,999 | |
Oracle Corp. (a) | | | 35,027 | | | | 1,279,536 | |
Red Hat, Inc. (a) (b) | | | 1,917 | | | | 158,747 | |
Salesforce.com, Inc. (a) (b) | | | 6,671 | | | | 523,006 | |
| | | | | | | | |
| | | | | | | 8,980,243 | |
| | | | | | | | |
| | | | | | | 24,366,358 | |
| | | | | | | | |
| Utilities — 2.9% | | | | | | | | |
| Electric — 2.7% | | | | | | | | |
The AES Corp. (a) | | | 7,277 | | | | 69,641 | |
Ameren Corp. (a) | | | 2,548 | | | | 110,150 | |
American Electric Power Co., Inc. (a) | | | 5,192 | | | | 302,538 | |
CenterPoint Energy, Inc. (a) | | | 4,329 | | | | 79,480 | |
CMS Energy Corp. (a) | | | 2,841 | | | | 102,503 | |
Consolidated Edison, Inc. (a) | | | 3,149 | | | | 202,386 | |
Dominion Resources, Inc. (a) | | | 6,351 | | | | 429,582 | |
DTE Energy Co. (a) | | | 1,884 | | | | 151,078 | |
Duke Energy Corp. (a) | | | 7,322 | | | | 522,718 | |
Edison International (a) | | | 3,517 | | | | 208,242 | |
Entergy Corp. (a) | | | 1,879 | | | | 128,448 | |
Eversource Energy (a) | | | 3,401 | | | | 173,689 | |
Exelon Corp. (a) | | | 9,153 | | | | 254,179 | |
FirstEnergy Corp. (a) | | | 4,554 | | | | 144,498 | |
NextEra Energy, Inc. (a) | | | 4,924 | | | | 511,554 | |
NRG Energy, Inc. (a) | | | 3,565 | | | | 41,960 | |
Pepco Holdings, Inc. (a) | | | 2,754 | | | | 71,632 | |
PG&E Corp. (a) | | | 5,270 | | | | 280,311 | |
Pinnacle West Capital Corp. (a) | | | 1,197 | | | | 77,183 | |
PPL Corp. (a) | | | 7,113 | | | | 242,767 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Public Service Enterprise Group, Inc. (a) | | | 5,394 | | | $ | 208,694 | |
SCANA Corp. (a) | | | 1,444 | | | | 87,348 | |
The Southern Co. (a) | | | 9,694 | | | | 453,582 | |
TECO Energy, Inc. (a) | | | 2,559 | | | | 68,197 | |
WEC Energy Group, Inc. (a) | | | 3,408 | | | | 174,864 | |
Xcel Energy, Inc. (a) | | | 5,402 | | | | 193,986 | |
| | | | | | | | |
| | | | | | | 5,291,210 | |
| | | | | | | | |
| Gas — 0.2% | | | | | | | | |
AGL Resources, Inc. (a) | | | 1,250 | | | | 79,762 | |
NiSource, Inc. (a) | | | 3,370 | | | | 65,749 | |
Sempra Energy (a) | | | 2,514 | | | | 236,341 | |
| | | | | | | | |
| | | | | | | 381,852 | |
| | | | | | | | |
| | | | | | | 5,673,062 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $172,200,956) | | | | | | | 192,604,510 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $172,200,956) | | | | | | | 192,604,510 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| BONDS & NOTES — 0.0% | | | | | | | | |
| | |
| CORPORATE DEBT — 0.0% | | | | | | | | |
| Forest Products & Paper — 0.0% | |
Sino Forest Corp. (a) (c) 5.000% 8/01/49 | | $ | 359,000 | | | | - | |
| | | | | | | | |
| | |
TOTAL CORPORATE DEBT
(Cost $0) | | | | | | | - | |
| | | | | | | | |
| | |
TOTAL BONDS & NOTES
(Cost $0) | | | | | | | - | |
| | | | | | | | |
| | |
| | | Units | | | | |
| PURCHASED OPTIONS — 0.3% | |
| Financial — 0.3% | | | | | | | | |
| Diversified Financial — 0.3% | | | | | | | | |
S&P 500 Index, Put, Expires 01/15/16, Strike 1,800.00 | | | 140 | | | | 10,500 | |
S&P 500 Index, Put, Expires 01/15/16, Strike 1,825.00 | | | 118 | | | | 11,446 | |
S&P 500 Index, Put, Expires 01/15/16, Strike 1,900.00 | | | 152 | | | | 37,240 | |
S&P 500 Index, Put, Expires 01/15/16, Strike 1,925.00 | | | 104 | | | | 36,400 | |
S&P 500 Index, Put, Expires 02/19/16, Strike 1,800.00 | | | 129 | | | | 94,428 | |
S&P 500 Index, Put, Expires 02/19/16, Strike 1,875.00 | | | 157 | | | | 200,175 | |
The accompanying notes are an integral part of the financial statements.
104
MML Managed Volatility Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Units | | | Value | |
S&P 500 Index, Put, Expires 03/18/16, Strike 1,850.00 | | | 138 | | | $ | 270,480 | |
| | | | | | | | |
| | | | | | | 660,669 | |
| | | | | | | | |
| | |
| TOTAL PURCHASED OPTIONS (Cost $1,434,617) | | | | | | | 660,669 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $173,635,573) | | | | | | | 193,265,179 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 2.4% | |
| Repurchase Agreement — 2.4% | | | | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (d) | | $ | 4,601,734 | | | | 4,601,734 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 2,316 | | | | 2,316 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM
INVESTMENTS
(Cost $4,604,050) | | | | | | | 4,604,050 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 101.2%
(Cost $178,239,623) (e) | | | | | | | 197,869,229 | |
| | |
| Other Assets/(Liabilities) — (1.2)% | | | | | | | (2,356,388 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 195,512,841 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | All or a portion of these securities are pledged as collateral for written options. (Note 2). |
| (b) | Non-income producing security. |
| (c) | This security is fair valued in good faith in accordance with procedures approved by the Board of Trustees. At December 31, 2015, these securities amounted to a value of $0 or 0.00% of net assets. |
| (d) | Maturity value of $4,601,739. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $4,694,535. |
| (e) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
105
MML Mid Cap Growth Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 94.9% | | | | | |
| |
| COMMON STOCK — 94.4% | | | | | |
| Basic Materials — 3.4% | | | | | | | | |
| Chemicals — 2.6% | | | | | | | | |
Air Products & Chemicals, Inc. | | | 27,000 | | | $ | 3,512,970 | |
Ashland, Inc. | | | 21,000 | | | | 2,156,700 | |
Celanese Corp. Series A | | | 41,000 | | | | 2,760,530 | |
RPM International, Inc. | | | 71,000 | | | | 3,128,260 | |
| | | | | | | | |
| | | | | | | 11,558,460 | |
| | | | | | | | |
| Mining — 0.8% | | | | | | | | |
Franco-Nevada Corp. (a) | | | 72,000 | | | | 3,294,000 | |
| | | | | | | | |
| | | | | | | 14,852,460 | |
| | | | | | | | |
| Communications — 7.0% | | | | | | | | |
| Internet — 4.2% | | | | | | | | |
Akamai Technologies, Inc. (b) | | | 81,000 | | | | 4,263,030 | |
Dropbox, Inc. (c) | | | 9,011 | | | | 136,967 | |
GrubHub, Inc. (a) (b) | | | 14,000 | | | | 338,800 | |
LinkedIn Corp. Class A (b) | | | 4,000 | | | | 900,320 | |
Match Group, Inc. (a) (b) | | | 43,600 | | | | 590,780 | |
TripAdvisor, Inc. (b) | | | 27,000 | | | | 2,301,750 | |
VeriSign, Inc. (a) (b) | | | 90,000 | | | | 7,862,400 | |
Zillow Group, Inc. Class A (a) (b) | | | 36,000 | | | | 937,440 | |
Zillow Group, Inc. Class C (a) (b) | | | 55,000 | | | | 1,291,400 | |
| | | | | | | | |
| | | | | | | 18,622,887 | |
| | | | | | | | |
| Media — 0.5% | | | | | | | | |
FactSet Research Systems, Inc. | | | 13,000 | | | | 2,113,410 | |
| | | | | | | | |
| Telecommunications — 2.3% | | | | | | | | |
DigitalGlobe, Inc. (b) | | | 99,000 | | | | 1,550,340 | |
Juniper Networks, Inc. | | | 16,000 | | | | 441,600 | |
Palo Alto Networks, Inc. (b) | | | 9,000 | | | | 1,585,260 | |
T-Mobile US, Inc. (b) | | | 162,000 | | | | 6,337,440 | |
Viavi Solutions, Inc. (b) | | | 66,000 | | | | 401,940 | |
| | | | | | | | |
| | | | | | | 10,316,580 | |
| | | | | | | | |
| | | | | | | 31,052,877 | |
| | | | | | | | |
| Consumer, Cyclical — 16.1% | | | | | | | | |
| Apparel — 1.0% | | | | | | | | |
Hanesbrands, Inc. | | | 149,000 | | | | 4,385,070 | |
| | | | | | | | |
| Auto Manufacturers — 0.4% | | | | | | | | |
Ferrari NV (a) (b) | | | 20,000 | | | | 960,000 | |
Tesla Motors, Inc. (a) (b) | | | 3,000 | | | | 720,030 | |
| | | | | | | | |
| | | | | | | 1,680,030 | |
| | | | | | | | |
| Automotive & Parts — 1.2% | | | | | | | | |
BorgWarner, Inc. | | | 90,000 | | | | 3,890,700 | |
WABCO Holdings, Inc. (b) | | | 13,000 | | | | 1,329,380 | |
| | | | | | | | |
| | | | | | | 5,220,080 | |
| | | | | | | | |
| Home Furnishing — 0.4% | | | | | | | | |
Harman International Industries, Inc. | | | 18,000 | | | | 1,695,780 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Leisure Time — 2.9% | | | | | | | | |
Harley-Davidson, Inc. | | | 35,000 | | | $ | 1,588,650 | |
Norwegian Cruise Line Holdings Ltd. (b) | | | 137,000 | | | | 8,028,200 | |
Royal Caribbean Cruises Ltd. | | | 32,000 | | | | 3,238,720 | |
| | | | | | | | |
| | | | | | | 12,855,570 | |
| | | | | | | | |
| Lodging — 2.0% | | | | | | | | |
Choice Hotels International, Inc. | | | 55,000 | | | | 2,772,550 | |
Marriott International, Inc. Class A | | | 63,000 | | | | 4,223,520 | |
MGM Resorts International (b) | | | 95,000 | | | | 2,158,400 | |
| | | | | | | | |
| | | | | | | 9,154,470 | |
| | | | | | | | |
| Retail — 8.2% | | | | | | | | |
AutoZone, Inc. (b) | | | 9,000 | | | | 6,677,190 | |
CarMax, Inc. (b) | | | 136,000 | | | | 7,339,920 | |
Chipotle Mexican Grill, Inc. (b) | | | 1,000 | | | | 479,850 | |
Dollar General Corp. | | | 72,000 | | | | 5,174,640 | |
L Brands, Inc. | | | 41,000 | | | | 3,928,620 | |
The Michaels Cos., Inc. (b) | | | 112,000 | | | | 2,476,320 | |
O’Reilly Automotive, Inc. (b) | | | 25,000 | | | | 6,335,500 | |
PVH Corp. | | | 23,000 | | | | 1,693,950 | |
Rite Aid Corp. (b) | | | 269,000 | | | | 2,108,960 | |
| | | | | | | | |
| | | | | | | 36,214,950 | |
| | | | | | | | |
| | | | | | | 71,205,950 | |
| | | | | | | | |
| Consumer, Non-cyclical — 26.0% | | | | | | | | |
| Beverages — 0.2% | | | | | | | | |
Keurig Green Mountain, Inc. | | | 9,000 | | | | 809,820 | |
| | | | | | | | |
| Biotechnology — 3.4% | | | | | | | | |
Alkermes PLC (b) | | | 95,000 | | | | 7,541,100 | |
Illumina, Inc. (b) | | | 10,000 | | | | 1,919,450 | |
Incyte Corp. (b) | | | 31,000 | | | | 3,361,950 | |
Vertex Pharmaceuticals, Inc. (b) | | | 18,000 | | | | 2,264,940 | |
| | | | | | | | |
| | | | | | | 15,087,440 | |
| | | | | | | | |
| Commercial Services — 8.8% | | | | | | | | |
Aramark | | | 82,000 | | | | 2,644,500 | |
CoreLogic, Inc. (b) | | | 90,000 | | | | 3,047,400 | |
Equifax, Inc. | | | 54,000 | | | | 6,013,980 | |
Gartner, Inc. (b) | | | 34,000 | | | | 3,083,800 | |
Global Payments, Inc. | | | 72,000 | | | | 4,644,720 | |
KAR Auction Services, Inc. | | | 27,000 | | | | 999,810 | |
Manpower, Inc. | | | 32,000 | | | | 2,697,280 | |
ServiceMaster Global Holdings, Inc. (b) | | | 52,000 | | | | 2,040,480 | |
Towers Watson & Co. Class A | | | 26,000 | | | | 3,339,960 | |
TransUnion (b) | | | 27,000 | | | | 744,390 | |
Vantiv, Inc. Class A (b) | | | 90,000 | | | | 4,267,800 | |
Verisk Analytics, Inc. (b) | | | 63,000 | | | | 4,843,440 | |
Wework Cos., Inc. Class A (c) | | | 12,099 | | | | 397,931 | |
| | | | | | | | |
| | | | | | | 38,765,491 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
106
MML Mid Cap Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Foods — 2.0% | | | | | | | | |
Blue Buffalo Pet Products, Inc. (b) | | | 10,000 | | | $ | 187,100 | |
Sprouts Farmers Market, Inc. (b) | | | 91,000 | | | | 2,419,690 | |
TreeHouse Foods, Inc. (b) | | | 23,000 | | | | 1,804,580 | |
The WhiteWave Foods Co. (b) | | | 81,000 | | | | 3,151,710 | |
Whole Foods Market, Inc. | | | 45,000 | | | | 1,507,500 | |
| | | | | | | | |
| | | | | | | 9,070,580 | |
| | | | | | | | |
| Health Care – Products — 6.5% | | | | | | | | |
Bruker Corp. (b) | | | 168,000 | | | | 4,077,360 | |
The Cooper Cos., Inc. | | | 33,000 | | | | 4,428,600 | |
Henry Schein, Inc. (b) | | | 36,000 | | | | 5,694,840 | |
Hologic, Inc. (b) | | | 59,000 | | | | 2,282,710 | |
IDEXX Laboratories, Inc. (b) | | | 45,000 | | | | 3,281,400 | |
Intuitive Surgical, Inc. (b) | | | 13,000 | | | | 7,100,080 | |
West Pharmaceutical Services, Inc. | | | 28,000 | | | | 1,686,160 | |
| | | | | | | | |
| | | | | | | 28,551,150 | |
| | | | | | | | |
| Health Care – Services — 2.5% | | | | | | | | |
Catalent, Inc. (b) | | | 118,000 | | | | 2,953,540 | |
Envision Healthcare Holdings, Inc. (b) | | | 64,000 | | | | 1,662,080 | |
MEDNAX, Inc. (b) | | | 63,000 | | | | 4,514,580 | |
Universal Health Services, Inc. Class B | | | 18,000 | | | | 2,150,820 | |
| | | | | | | | |
| | | | | | | 11,281,020 | |
| | | | | | | | |
| Pharmaceuticals — 2.6% | | | | | | | | |
Alnylam Pharmaceuticals, Inc. (b) | | | 9,000 | | | | 847,260 | |
Baxalta, Inc. | | | 94,000 | | | | 3,668,820 | |
DENTSPLY International, Inc. | | | 90,000 | | | | 5,476,500 | |
Mallinckrodt PLC (b) | | | 22,000 | | | | 1,641,860 | |
| | | | | | | | |
| | | | | | | 11,634,440 | |
| | | | | | | | |
| | | | | | | 115,199,941 | |
| | | | | | | | |
| Energy — 1.4% | | | | | | | | |
| Oil & Gas — 1.4% | | | | | | | | |
Cimarex Energy Co. | | | 7,000 | | | | 625,660 | |
Concho Resources, Inc. (b) | | | 18,000 | | | | 1,671,480 | |
EQT Corp. | | | 63,000 | | | | 3,284,190 | |
Pioneer Natural Resources Co. | | | 4,000 | | | | 501,520 | |
| | | | | | | | |
| | | | | | | 6,082,850 | |
| | | | | | | | |
| Financial — 8.9% | | | | | | | | |
| Diversified Financial — 5.6% | | | | | | | | |
CBOE Holdings, Inc. | | | 73,000 | | | | 4,737,700 | |
E*TRADE Financial Corp. (b) | | | 56,000 | | | | 1,659,840 | |
FNF Group | | | 181,000 | | | | 6,275,270 | |
Intercontinental Exchange, Inc. | | | 20,000 | | | | 5,125,200 | |
LPL Financial Holdings, Inc. (a) | | | 65,000 | | | | 2,772,250 | |
TD Ameritrade Holding Corp. | | | 129,000 | | | | 4,477,590 | |
| | | | | | | | |
| | | | | | | 25,047,850 | |
| | | | | | | | |
| Insurance — 2.3% | | | | | | | | |
The Progressive Corp. | | | 140,000 | | | | 4,452,000 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Willis Group Holdings PLC | | | 118,000 | | | $ | 5,731,260 | |
| | | | | | | | |
| | | | | | | 10,183,260 | |
| | | | | | | | |
| Real Estate — 1.0% | | | | | | | | |
Jones Lang LaSalle, Inc. | | | 27,000 | | | | 4,316,220 | |
| | | | | | | | |
| | | | | | | 39,547,330 | |
| | | | | | | | |
| Industrial — 19.1% | | | | | | | | |
| Building Materials — 0.7% | | | | | | | | |
Martin Marietta Materials, Inc. | | | 23,000 | | | | 3,141,340 | |
| | | | | | | | |
| Electrical Components & Equipment — 2.1% | |
Acuity Brands, Inc. | | | 15,000 | | | | 3,507,000 | |
AMETEK, Inc. | | | 82,000 | | | | 4,394,380 | |
Mobileye NV (a) (b) | | | 33,000 | | | | 1,395,240 | |
| | | | | | | | |
| | | | | | | 9,296,620 | |
| | | | | | | | |
| Electronics — 5.2% | | | | | | | | |
Agilent Technologies, Inc. | | | 126,000 | | | | 5,268,060 | |
Allegion PLC | | | 68,000 | | | | 4,482,560 | |
FEI Co. | | | 38,000 | | | | 3,032,020 | |
Keysight Technologies, Inc. (b) | | | 136,000 | | | | 3,852,880 | |
Mettler-Toledo International, Inc. (b) | | | 4,000 | | | | 1,356,520 | |
Sensata Technologies Holding NV (b) | | | 108,000 | | | | 4,974,480 | |
| | | | | | | | |
| | | | | | | 22,966,520 | |
| | | | | | | | |
| Environmental Controls — 0.9% | | | | | | | | |
Waste Connections, Inc. | | | 72,000 | | | | 4,055,040 | |
| | | | | | | | |
| Machinery – Diversified — 4.0% | | | | | | | | |
Cognex Corp. | | | 27,000 | | | | 911,790 | |
IDEX Corp. | | | 76,000 | | | | 5,822,360 | |
The Middleby Corp. (b) | | | 14,000 | | | | 1,510,180 | |
Roper Technologies, Inc. | | | 36,000 | | | | 6,832,440 | |
Xylem, Inc. | | | 67,000 | | | | 2,445,500 | |
| | | | | | | | |
| | | | | | | 17,522,270 | |
| | | | | | | | |
| Manufacturing — 3.4% | | | | | | | | |
Colfax Corp. (b) | | | 71,000 | | | | 1,657,850 | |
Teleflex, Inc. | | | 45,000 | | | | 5,915,250 | |
Textron, Inc. | | | 180,000 | | | | 7,561,800 | |
| | | | | | | | |
| | | | | | | 15,134,900 | |
| | | | | | | | |
| Metal Fabricate & Hardware — 0.1% | |
Rexnord Corp. (b) | | | 37,000 | | | | 670,440 | |
| | | | | | | | |
| Packaging & Containers — 0.9% | | | | | | | | |
Ball Corp. | | | 54,000 | | | | 3,927,420 | |
| | | | | | | | |
| Transportation — 1.8% | | | | | | | | |
J.B. Hunt Transport Services, Inc. | | | 41,000 | | | | 3,007,760 | |
Kansas City Southern | | | 49,000 | | | | 3,658,830 | |
Old Dominion Freight Line, Inc. (b) | | | 18,500 | | | | 1,092,795 | |
| | | | | | | | |
| | | | | | | 7,759,385 | |
| | | | | | | | |
| | | | | | | 84,473,935 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
107
MML Mid Cap Growth Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Technology — 12.4% | | | | | | | | |
| Computers — 1.8% | | | | | | | | |
Fortinet, Inc. (b) | | | 36,000 | | | $ | 1,122,120 | |
IHS, Inc. Class A (b) | | | 54,000 | | | | 6,395,220 | |
Lumentum Holdings, Inc. (b) | | | 27,000 | | | | 594,540 | |
| | | | | | | | |
| | | | | | | 8,111,880 | |
| | | | | | | | |
| Semiconductors — 2.3% | | | | | | | | |
Atmel Corp. | | | 307,000 | | | | 2,643,270 | |
Microchip Technology, Inc. (a) | | | 108,000 | | | | 5,026,320 | |
Xilinx, Inc. | | | 50,000 | | | | 2,348,500 | |
| | | | | | | | |
| | | | | | | 10,018,090 | |
| | | | | | | | |
| Software — 8.3% | | | | | | | | |
Atlassian Corp. PLC A Depository Receipt Class A (c) | | | 5,668 | | | | 161,969 | |
Atlassian Corp. PLC Class A (b) | | | 20,000 | | | | 601,600 | |
Atlassian Corp. PLC Class A Preference Depository Receipt (c) | | | 11,666 | | | | 333,368 | |
Atlassian Corp. PLC Depository Receipt (c) | | | 15,775 | | | | 450,786 | |
Atlassian Corp. PLC Series 1 Depository Receipt (c) | | | 12,075 | | | | 345,055 | |
Atlassian Corp. PLC Series 1 Restricted Depository Receipt (c) | | | 5,892 | | | | 168,370 | |
Fidelity National Information Services, Inc. | | | 45,000 | | | | 2,727,000 | |
Fiserv, Inc. (b) | | | 117,000 | | | | 10,700,820 | |
Guidewire Software, Inc. (b) | | | 6,000 | | | | 360,960 | |
IMS Health Holdings, Inc. (b) | | | 86,000 | | | | 2,190,420 | |
MSCI, Inc. | | | 77,000 | | | | 5,554,010 | |
NetSuite, Inc. (a) (b) | | | 12,000 | | | | 1,015,440 | |
Red Hat, Inc. (b) | | | 77,000 | | | | 6,376,370 | |
Servicenow, Inc. (b) | | | 9,000 | | | | 779,040 | |
Splunk, Inc. (b) | | | 13,000 | | | | 764,530 | |
SS&C Technologies Holdings, Inc | | | 36,000 | | | | 2,457,720 | |
Veeva Systems, Inc. Class A (b) | | | 54,000 | | | | 1,557,900 | |
| | | | | | | | |
| | | | | | | 36,545,358 | |
| | | | | | | | |
| | | | | | | 54,675,328 | |
| | | | | | | | |
| Utilities — 0.1% | | | | | | | | |
| Gas — 0.1% | | | | | | | | |
Atmos Energy Corp. | | | 8,000 | | | | 504,320 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $294,698,922) | | | | | | | 417,594,991 | |
| | | | | | | | |
| | |
| PREFERRED STOCK — 0.5% | | | | | | | | |
| Communications — 0.2% | | | | | | | | |
| Internet — 0.2% | | | | | | | | |
Dropbox, Inc. Series A (b) (c) | | | 11,190 | | | | 170,088 | |
Dropbox, Inc. Series A 1 (b) (c) | | | 54,965 | | | | 835,468 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Living Social (b) (c) | | | 158,890 | | | $ | - | |
| | | | | | | | |
| | | | | | | 1,005,556 | |
| | | | | | | | |
| Consumer, Non-cyclical — 0.3% | | | | | | | | |
| Commercial Services — 0.3% | | | | | | | | |
Wework, Inc. Series D 1 (b) (c) | | | 22,197 | | | | 730,050 | |
Wework, Inc. Series D 2 (b) (c) | | | 17,440 | | | | 573,594 | |
| | | | | | | | |
| | | | | | | 1,303,644 | |
| | | | | | | | |
| | |
TOTAL PREFERRED STOCK
(Cost $2,156,533) | | | | | | | 2,309,200 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $296,855,455) | | | | | | | 419,904,191 | |
| | | | | | | | |
|
| MUTUAL FUNDS — 7.1% | |
| Diversified Financial — 7.1% | | | | | | | | |
State Street Navigator Securities Lending Prime Portfolio (d) | | | 25,109,498 | | | | 25,109,498 | |
T. Rowe Price Government Reserve Investment Fund | | | 6,001,419 | | | | 6,001,419 | |
| | | | | | | | |
| | | | | | | 31,110,917 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $31,110,917) | | | | | | | 31,110,917 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $327,966,372) | | | | | | | 451,015,108 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 4.1% | |
| Repurchase Agreement — 4.1% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (e) | | $ | 18,076,168 | | | | 18,076,168 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 12,547 | | | | 12,547 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $18,088,715) | | | | | | | 18,088,715 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 106.1%
(Cost $346,055,087) (f) | | | | | | | 469,103,823 | |
| | |
| Other Assets/(Liabilities) — (6.1)% | | | | | | | (26,839,816 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 442,264,007 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
108
MML Mid Cap Growth Fund – Portfolio of Investments (Continued)
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Denotes all or a portion of security on loan. The total value of securities on loan as of December 31, 2015, was $24,561,189 or 5.55% of net assets. Total securities on loan may not correspond with the amounts identified in the Portfolio of Investments because pending sales may be in the process of recall from the brokers. (Note 2). |
| (b) | Non-income producing security. |
| (c) | This security is fair valued in good faith in accordance with procedures approved by the Board of Trustees. At December 31, 2015, these securities amounted to a value of $4,303,646 or 0.97% of net assets. |
| (d) | Represents investment of security lending collateral. (Note 2). |
| (e) | Maturity value of $18,076,188. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $18,440,017. |
| (f) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
109
MML Mid Cap Value Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 96.7% | |
|
| COMMON STOCK — 96.7% | |
| Basic Materials — 1.3% | |
| Chemicals — 0.3% | |
The Mosaic Co. | | | 57,937 | | | $ | 1,598,482 | |
| | | | | | | | |
| Iron & Steel — 1.0% | |
Nucor Corp. | | | 108,578 | | | | 4,375,693 | |
| | | | | | | | |
| | | | | | | 5,974,175 | |
| | | | | | | | |
| Communications — 2.0% | |
| Media — 0.5% | |
Markit, Ltd. (a) | | | 75,005 | | | | 2,262,901 | |
| | | | | | | | |
| Telecommunications — 1.5% | |
CenturyLink, Inc. | | | 203,894 | | | | 5,129,973 | |
Harris Corp. | | | 20,646 | | | | 1,794,137 | |
| | | | | | | | |
| | | | | | | 6,924,110 | |
| | | | | | | | |
| | | | | | | 9,187,011 | |
| | | | | | | | |
| Consumer, Cyclical — 7.3% | |
| Apparel — 0.6% | |
Ralph Lauren Corp. | | | 26,726 | | | | 2,979,415 | |
| | | | | | | | |
| Auto Manufacturers — 1.1% | |
Honda Motor Co. Ltd. Sponsored ADR (Japan) | | | 88,746 | | | | 2,833,660 | |
Oshkosh Corp. | | | 54,524 | | | | 2,128,617 | |
| | | | | | | | |
| | | | | | | 4,962,277 | |
| | | | | | | | |
| Home Builders — 1.8% | |
PulteGroup, Inc. | | | 186,528 | | | | 3,323,929 | |
Thor Industries, Inc. | | | 54,124 | | | | 3,039,063 | |
Toll Brothers, Inc. (a) | | | 54,323 | | | | 1,808,956 | |
| | | | | | | | |
| | | | | | | 8,171,948 | |
| | | | | | | | |
| Leisure Time — 0.5% | |
Carnival Corp. | | | 39,103 | | | | 2,130,331 | |
| | | | | | | | |
| Retail — 2.6% | |
Advance Auto Parts, Inc. | | | 31,505 | | | | 4,741,817 | |
CST Brands, Inc. | | | 112,383 | | | | 4,398,671 | |
Lowe’s Cos., Inc. | | | 15,526 | | | | 1,180,597 | |
Target Corp. | | | 24,380 | | | | 1,770,232 | |
| | | | | | | | |
| | | | | | | 12,091,317 | |
| | | | | | | | |
| Toys, Games & Hobbies — 0.7% | |
Mattel, Inc. | | | 123,285 | | | | 3,349,653 | |
| | | | | | | | |
| | | | | | | 33,684,941 | |
| | | | | | | | |
| Consumer, Non-cyclical — 17.0% | |
| Commercial Services — 0.8% | |
The ADT Corp. | | | 111,173 | | | | 3,666,486 | |
| | | | | | | | |
| Foods — 8.2% | |
ConAgra Foods, Inc. | | | 149,386 | | | | 6,298,114 | |
General Mills, Inc. | | | 60,341 | | | | 3,479,262 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
The J.M. Smucker Co. | | | 37,925 | | | $ | 4,677,669 | |
Kellogg Co. | | | 64,027 | | | | 4,627,231 | |
Mondelez International, Inc. Class A | | | 87,378 | | | | 3,918,030 | |
Sysco Corp. | | | 354,880 | | | | 14,550,080 | |
| | | | | | | | |
| | | | | | | 37,550,386 | |
| | | | | | | | |
| Health Care – Products — 5.1% | |
Baxter International, Inc. | | | 181,705 | | | | 6,932,046 | |
Becton, Dickinson & Co. | | | 19,079 | | | | 2,939,883 | |
Boston Scientific Corp. (a) | | | 268,658 | | | | 4,954,053 | |
Zimmer Biomet Holdings, Inc. | | | 86,545 | | | | 8,878,652 | |
| | | | | | | | |
| | | | | | | 23,704,634 | |
| | | | | | | | |
| Health Care – Services — 2.9% | |
LifePoint Health, Inc. (a) | | | 96,405 | | | | 7,076,127 | |
Quest Diagnostics, Inc. | | | 87,977 | | | | 6,258,684 | |
| | | | | | | | |
| | | | | | | 13,334,811 | |
| | | | | | | | |
| | | | | | | 78,256,317 | |
| | | | | | | | |
| Energy — 11.6% | |
| Oil & Gas — 9.2% | |
Anadarko Petroleum Corp. | | | 60,761 | | | | 2,951,769 | |
Cimarex Energy Co. | | | 43,109 | | | | 3,853,082 | |
Devon Energy Corp. | | | 122,522 | | | | 3,920,704 | |
EQT Corp. | | | 125,780 | | | | 6,556,911 | |
Helmerich & Payne, Inc. | | | 76,320 | | | | 4,086,936 | |
Imperial Oil Ltd. | | | 260,469 | | | | 8,485,902 | |
Noble Energy, Inc. | | | 197,450 | | | | 6,502,029 | |
Occidental Petroleum Corp. | | | 89,223 | | | | 6,032,367 | |
| | | | | | | | |
| | | | | | | 42,389,700 | |
| | | | | | | | |
| Oil & Gas Services — 2.4% | |
Cameron International Corp. (a) | | | 118,755 | | | | 7,505,316 | |
FMC Technologies, Inc. (a) | | | 131,670 | | | | 3,819,747 | |
| | | | | | | | |
| | | | | | | 11,325,063 | |
| | | | | | | | |
| | | | | | | 53,714,763 | |
| | | | | | | | |
| Financial — 26.2% | |
| Banks — 11.7% | |
Bank of Hawaii Corp. | | | 53,276 | | | | 3,351,060 | |
BB&T Corp. | | | 101,304 | | | | 3,830,304 | |
BOK Financial Corp. | | | 39,884 | | | | 2,384,664 | |
Comerica, Inc. | | | 58,123 | | | | 2,431,285 | |
Commerce Bancshares, Inc. | | | 115,627 | | | | 4,918,773 | |
Cullen/Frost Bankers, Inc. | | | 37,232 | | | | 2,233,920 | |
M&T Bank Corp. | | | 43,634 | | | | 5,287,568 | |
Northern Trust Corp. | | | 191,128 | | | | 13,778,418 | |
PNC Financial Services Group, Inc. | | | 45,583 | | | | 4,344,516 | |
State Street Corp. | | | 54,178 | | | | 3,595,252 | |
SunTrust Banks, Inc. | | | 62,588 | | | | 2,681,270 | |
Westamerica Bancorp. | | | 110,519 | | | | 5,166,763 | |
| | | | | | | | |
| | | | | | | 54,003,793 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
110
MML Mid Cap Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Diversified Financial — 1.8% | |
Franklin Resources, Inc. | | | 85,105 | | | $ | 3,133,566 | |
LPL Financial Holdings, Inc. | | | 52,522 | | | | 2,240,063 | |
T. Rowe Price Group, Inc. | | | 38,132 | | | | 2,726,057 | |
| | | | | | | | |
| | | | | | | 8,099,686 | |
| | | | | | | | |
| Insurance — 6.9% | |
ACE Ltd. | | | 57,857 | | | | 6,760,591 | |
Aflac, Inc. | | | 37,861 | | | | 2,267,874 | |
The Allstate Corp. | | | 34,894 | | | | 2,166,569 | |
Brown & Brown, Inc. | | | 101,553 | | | | 3,259,851 | |
MetLife, Inc. | | | 49,454 | | | | 2,384,177 | |
ProAssurance Corp. | | | 49,513 | | | | 2,402,866 | |
Reinsurance Group of America, Inc. | | | 53,864 | | | | 4,608,065 | |
Torchmark Corp. | | | 35,231 | | | | 2,013,804 | |
The Travelers Cos., Inc. | | | 12,949 | | | | 1,461,424 | |
Unum Group | | | 128,235 | | | | 4,268,943 | |
| | | | | | | | |
| | | | | | | 31,594,164 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 5.0% | |
Boston Properties, Inc. | | | 9,810 | | | | 1,251,167 | |
Corrections Corporation of America | | | 181,592 | | | | 4,810,372 | |
Empire State Realty Trust, Inc. Class A | | | 104,497 | | | | 1,888,261 | |
Host Hotels & Resorts, Inc. | | | 158,332 | | | | 2,428,813 | |
Piedmont Office Realty Trust, Inc. Class A | | | 261,462 | | | | 4,936,402 | |
Weyerhaeuser Co. | | | 254,517 | | | | 7,630,420 | |
| | | | | | | | |
| | | | | | | 22,945,435 | |
| | | | | | | | |
| Savings & Loans — 0.8% | |
Capitol Federal Financial, Inc. | | | 312,928 | | | | 3,930,376 | |
| | | | | | | | |
| | | | | | | 120,573,454 | |
| | | | | | | | |
| Industrial — 14.3% | |
| Electrical Components & Equipment — 1.3% | |
Emerson Electric Co. | | | 120,820 | | | | 5,778,820 | |
Hubbell, Inc. | | | 4,146 | | | | 418,912 | |
| | | | | | | | |
| | | | | | | 6,197,732 | |
| | | | | | | | |
| Electronics — 4.7% | |
Keysight Technologies, Inc. (a) | | | 167,001 | | | | 4,731,138 | |
Koninklijke Philips Electronics NV | | | 190,093 | | | | 4,833,194 | |
TE Connectivity Ltd. | | | 71,392 | | | | 4,612,637 | |
Tyco International PLC | | | 235,781 | | | | 7,519,056 | |
| | | | | | | | |
| | | | | | | 21,696,025 | |
| | | | | | | | |
| Environmental Controls — 3.2% | |
Clean Harbors, Inc. (a) | | | 90,639 | | | | 3,775,114 | |
Republic Services, Inc. | | | 250,206 | | | | 11,006,562 | |
| | | | | | | | |
| | | | | | | 14,781,676 | |
| | | | | | | | |
| Machinery – Diversified — 0.5% | |
Rockwell Automation, Inc. | | | 22,237 | | | | 2,281,739 | |
| | | | | | | | |
| Manufacturing — 1.2% | |
Parker Hannifin Corp. | | | 30,744 | | | | 2,981,553 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Textron, Inc. | | | 59,378 | | | $ | 2,494,470 | |
| | | | | | | | |
| | | | | | | 5,476,023 | |
| | | | | | | | |
| Packaging & Containers — 2.0% | |
Bemis Co., Inc. | | | 46,673 | | | | 2,085,816 | |
Sonoco Products Co. | | | 98,956 | | | | 4,044,332 | |
WestRock Co. | | | 65,956 | | | | 3,008,913 | |
| | | | | | | | |
| | | | | | | 9,139,061 | |
| | | | | | | | |
| Transportation — 1.4% | |
CSX Corp. | | | 55,013 | | | | 1,427,587 | |
Heartland Express, Inc. | | | 300,568 | | | | 5,115,668 | |
| | | | | | | | |
| | | | | | | 6,543,255 | |
| | | | | | | | |
| | | | | | | 66,115,511 | |
| | | | | | | | |
| Technology — 7.0% | |
| Computers — 1.6% | |
SanDisk Corp. | | | 71,794 | | | | 5,455,626 | |
Western Digital Corp. | | | 35,423 | | | | 2,127,151 | |
| | | | | | | | |
| | | | | | | 7,582,777 | |
| | | | | | | | |
| Semiconductors — 5.4% | |
Applied Materials, Inc. | | | 412,383 | | | | 7,699,191 | |
Lam Research Corp. | | | 41,142 | | | | 3,267,498 | |
Maxim Integrated Products, Inc. | | | 123,478 | | | | 4,692,164 | |
Microchip Technology, Inc. | | | 99,886 | | | | 4,648,694 | |
Teradyne, Inc. | | | 215,797 | | | | 4,460,524 | |
| | | | | | | | |
| | | | | | | 24,768,071 | |
| | | | | | | | |
| | | | | | | 32,350,848 | |
| | | | | | | | |
| Utilities — 10.0% | |
| Electric — 8.2% | |
Ameren Corp. | | | 55,685 | | | | 2,407,263 | |
Consolidated Edison, Inc. | | | 34,876 | | | | 2,241,481 | |
Edison International | | | 116,506 | | | | 6,898,320 | |
Great Plains Energy, Inc. | | | 136,561 | | | | 3,729,481 | |
NorthWestern Corp. | | | 45,782 | | | | 2,483,673 | |
PG&E Corp. | | | 134,538 | | | | 7,156,076 | |
Westar Energy, Inc. | | | 157,053 | | | | 6,660,618 | |
Xcel Energy, Inc. | | | 166,225 | | | | 5,969,140 | |
| | | | | | | | |
| | | | | | | 37,546,052 | |
| | | | | | | | |
| Gas — 1.8% | | | | | | | | |
Atmos Energy Corp. | | | 59,404 | | | | 3,744,828 | |
The Laclede Group, Inc. | | | 78,093 | | | | 4,639,505 | |
| | | | | | | | |
| | | | | | | 8,384,333 | |
| | | | | | | | |
| | | | | | | 45,930,385 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $442,377,177) | | | | | | | 445,787,405 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $442,377,177) | | | | | | | 445,787,405 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
111
MML Mid Cap Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| MUTUAL FUNDS — 1.0% | |
| Diversified Financial — 1.0% | | | | | | | | |
iShares Russell Mid-Cap Value ETF | | | 67,872 | | | $ | 4,661,449 | |
| | | | | | | | |
| | |
TOTAL MUTUAL FUNDS
(Cost $4,813,295) | | | | | | | 4,661,449 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $447,190,472) | | | | | | | 450,448,854 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 2.4% | |
| Repurchase Agreement — 2.4% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 11,061,803 | | | | 11,061,803 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $11,061,803) | | | | | | | 11,061,803 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 100.1%
(Cost $458,252,275) (c) | | | | | | | 461,510,657 | |
| | |
| Other Assets/(Liabilities) — (0.1)% | | | | | | | (640,997 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 460,869,660 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | Maturity value of $11,061,816. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $11,285,506. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
112
MML Small Cap Growth Equity Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 94.9% | | | | | |
| |
| COMMON STOCK — 93.7% | | | | | |
| Basic Materials — 1.9% | | | | | | | | |
| Chemicals — 1.0% | | | | | | | | |
Methanex Corp. | | | 21,670 | | | $ | 715,327 | |
Minerals Technologies, Inc. | | | 15,335 | | | | 703,263 | |
Platform Specialty Products Corp. (a) | | | 61,220 | | | | 785,452 | |
| | | | | | | | |
| | | | | | | 2,204,042 | |
| | | | | | | | |
| Forest Products & Paper — 0.9% | | | | | | | | |
KapStone Paper and Packaging Corp. | | | 80,625 | | | | 1,821,319 | |
| | | | | | | | |
| | | | | | | 4,025,361 | |
| | | | | | | | |
| Communications — 4.0% | | | | | | | | |
| Internet — 1.5% | | | | | | | | |
Comscore, Inc. (a) | | | 10,998 | | | | 452,568 | |
Dropbox, Inc. (b) | | | 10,469 | | | | 159,129 | |
GrubHub, Inc. (a) (c) | | | 5,200 | | | | 125,840 | |
Q2 Holdings, Inc. (a) | | | 38,500 | | | | 1,015,245 | |
SPS Commerce, Inc. (a) | | | 9,700 | | | | 681,037 | |
Zendesk, Inc. (a) | | | 3,900 | | | | 103,116 | |
Zillow Group, Inc. Class A (a) (c) | | | 7,198 | | | | 187,436 | |
Zillow Group, Inc. Class C (a) (c) | | | 16,570 | | | | 389,063 | |
| | | | | | | | |
| | | | | | | 3,113,434 | |
| | | | | | | | |
| Media — 0.9% | | | | | | | | |
FactSet Research Systems, Inc. | | | 5,765 | | | | 937,216 | |
The New York Times Co. Class A | | | 64,050 | | | | 859,551 | |
| | | | | | | | |
| | | | | | | 1,796,767 | |
| | | | | | | | |
| Telecommunications — 1.6% | | | | | | | | |
Arista Networks, Inc. (a) | | | 9,197 | | | | 715,895 | |
Ciena Corp. (a) | | | 40,781 | | | | 843,759 | |
DigitalGlobe, Inc. (a) | | | 1,820 | | | | 28,501 | |
Ruckus Wireless, Inc. (a) | | | 52,400 | | | | 561,204 | |
Vonage Holdings Corp. (a) | | | 205,950 | | | | 1,182,153 | |
| | | | | | | | |
| | | | | | | 3,331,512 | |
| | | | | | | | |
| | | | | | | 8,241,713 | |
| | | | | | | | |
| Consumer, Cyclical — 14.2% | | | | | | | | |
| Apparel — 1.5% | | | | | | | | |
Carter’s, Inc. | | | 25,143 | | | | 2,238,481 | |
Steven Madden Ltd. (a) | | | 29,228 | | | | 883,270 | |
| | | | | | | | |
| | | | | | | 3,121,751 | |
| | | | | | | | |
| Automotive & Parts — 0.7% | | | | | | | | |
Motorcar Parts of America, Inc. (a) | | | 19,800 | | | | 669,438 | |
Tenneco, Inc. (a) | | | 18,740 | | | | 860,353 | |
| | | | | | | | |
| | | | | | | 1,529,791 | |
| | | | | | | | |
| Entertainment — 1.4% | | | | | | | | |
Cinemark Holdings, Inc. | | | 24,400 | | | | 815,692 | |
DreamWorks Animation SKG, Inc. Class A (a) | | | 46,160 | | | | 1,189,543 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
National CineMedia, Inc. | | | 58,770 | | | $ | 923,277 | |
| | | | | | | | |
| | | | | | | 2,928,512 | |
| | | | | | | | |
| Home Furnishing — 0.4% | | | | | | | | |
La-Z-Boy, Inc. | | | 30,300 | | | | 739,926 | |
| | | | | | | | |
| Housewares — 1.2% | | | | | | | | |
The Toro Co. | | | 32,500 | | | | 2,374,775 | |
| | | | | | | | |
| Leisure Time — 1.1% | | | | | | | | |
ClubCorp Holdings, Inc. | | | 29,740 | | | | 543,350 | |
Diamond Resorts International, Inc. (a) (c) | | | 47,925 | | | | 1,222,567 | |
Lindblad Expeditions Holdings, Inc. (a) | | | 53,400 | | | | 593,274 | |
| | | | | | | | |
| | | | | | | 2,359,191 | |
| | | | | | | | |
| Retail — 7.5% | | | | | | | | |
Bloomin’ Brands, Inc. | | | 52,400 | | | | 885,036 | |
Boot Barn Holdings, Inc. (a) | | | 72,670 | | | | 893,114 | |
The Cheesecake Factory, Inc. | | | 18,885 | | | | 870,787 | |
Chico’s FAS, Inc. | | | 63,700 | | | | 679,679 | |
Destination Maternity Corp. | | | 40,340 | | | | 351,765 | |
DSW, Inc. Class A (c) | | | 36,900 | | | | 880,434 | |
Five Below, Inc. (a) | | | 84,267 | | | | 2,704,971 | |
Haverty Furniture Cos., Inc. | | | 36,700 | | | | 786,848 | |
HSN, Inc. | | | 24,031 | | | | 1,217,651 | |
Jack in the Box, Inc. | | | 9,735 | | | | 746,772 | |
Kate Spade & Co. (a) | | | 92,484 | | | | 1,643,441 | |
Krispy Kreme Doughnuts, Inc. (a) | | | 77,500 | | | | 1,167,925 | |
Panera Bread Co. Class A (a) | | | 7,043 | | | | 1,371,835 | |
Texas Roadhouse, Inc. | | | 22,493 | | | | 804,575 | |
Zoe’s Kitchen, Inc. (a) (c) | | | 13,900 | | | | 388,922 | |
| | | | | | | | |
| | | | | | | 15,393,755 | |
| | | | | | | | |
| Textiles — 0.4% | | | | | | | | |
Tumi Holdings, Inc. (a) | | | 46,485 | | | | 773,046 | |
| | | | | | | | |
| | | | | | | 29,220,747 | |
| | | | | | | | |
| Consumer, Non-cyclical — 22.1% | | | | | | | | |
| Biotechnology — 1.7% | | | | | | | | |
BioCryst Pharmaceuticals, Inc. (a) | | | 35,979 | | | | 371,303 | |
Five Prime Therapeutics, Inc. (a) | | | 14,535 | | | | 603,202 | |
Ironwood Pharmaceuticals, Inc. (a) | | | 21,144 | | | | 245,059 | |
Novavax, Inc. (a) (c) | | | 53,240 | | | | 446,684 | |
PTC Therapeutics, Inc. (a) | | | 19,389 | | | | 628,204 | |
Ultragenyx Pharmaceutical, Inc. (a) | | | 9,760 | | | | 1,094,877 | |
| | | | | | | | |
| | | | | | | 3,389,329 | |
| | | | | | | | |
| Commercial Services — 5.9% | | | | | | | | |
The Advisory Board Co. (a) | | | 20,245 | | | | 1,004,354 | |
Cardtronics, Inc. (a) | | | 26,650 | | | | 896,772 | |
Convergys Corp. | | | 37,565 | | | | 934,993 | |
CoStar Group, Inc. (a) | | | 7,741 | | | | 1,599,987 | |
ExamWorks Group, Inc. (a) | | | 78,200 | | | | 2,080,120 | |
Healthcare Services Group, Inc. | | | 35,400 | | | | 1,234,398 | |
The accompanying notes are an integral part of the financial statements.
113
MML Small Cap Growth Equity Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
HealthEquity, Inc. (a) | | | 23,100 | | | $ | 579,117 | |
Heartland Payment Systems, Inc. | | | 6,452 | | | | 611,779 | |
Monro Muffler Brake, Inc. | | | 3,800 | | | | 251,636 | |
Team Health Holdings, Inc. (a) | | | 7,867 | | | | 345,283 | |
TriNet Group, Inc. (a) | | | 23,391 | | | | 452,616 | |
WEX, Inc. (a) | | | 14,903 | | | | 1,317,425 | |
WNS Holdings Ltd. Sponsored ADR (India) (a) | | | 29,043 | | | | 905,851 | |
| | | | | | | | |
| | | | | | | 12,214,331 | |
| | | | | | | | |
| Foods — 1.7% | | | | | | | | |
Greencore Group PLC | | | 277,537 | | | | 1,446,673 | |
Sanderson Farms, Inc. (c) | | | 9,800 | | | | 759,696 | |
The Hain Celestial Group, Inc. (a) | | | 33,600 | | | | 1,357,104 | |
| | | | | | | | |
| | | | | | | 3,563,473 | |
| | | | | | | | |
| Health Care – Products — 6.8% | | | | | | | | |
AtriCure, Inc. (a) | | | 43,110 | | | | 967,389 | |
Bio-Techne Corp. | | | 5,780 | | | | 520,200 | |
Cepheid, Inc. (a) | | | 28,362 | | | | 1,036,064 | |
Dexcom, Inc. (a) | | | 27,588 | | | | 2,259,457 | |
Endologix, Inc. (a) (c) | | | 33,287 | | | | 329,541 | |
Globus Medical, Inc. Class A (a) | | | 41,495 | | | | 1,154,391 | |
HeartWare International, Inc. (a) | | | 6,747 | | | | 340,049 | |
Insulet Corp. (a) | | | 70,205 | | | | 2,654,451 | |
Intersect ENT, Inc. (a) | | | 72,402 | | | | 1,629,045 | |
LDR Holding Corp. (a) | | | 91,648 | | | | 2,301,281 | |
Novadaq Technologies, Inc. (a) (c) | | | 67,000 | | | | 853,580 | |
| | | | | | | | |
| | | | | | | 14,045,448 | |
| | | | | | | | |
| Health Care – Services — 3.6% | | | | | | | | |
Acadia Healthcare Co., Inc. (a) | | | 43,657 | | | | 2,726,816 | |
Envision Healthcare Holdings, Inc. (a) | | | 21,785 | | | | 565,756 | |
Kindred Healthcare, Inc. | | | 66,350 | | | | 790,229 | |
LifePoint Health, Inc. (a) | | | 17,871 | | | | 1,311,731 | |
Surgical Care Affiliates, Inc. (a) | | | 26,370 | | | | 1,049,790 | |
WellCare Health Plans, Inc. (a) | | | 11,850 | | | | 926,789 | |
| | | | | | | | |
| | | | | | | 7,371,111 | |
| | | | | | | | |
| Pharmaceuticals — 2.2% | | | | | | | | |
Aerie Pharmaceuticals, Inc. (a) | | | 13,104 | | | | 319,082 | |
Agios Pharmaceuticals, Inc. (a) (c) | | | 4,486 | | | | 291,231 | |
Anacor Pharmaceuticals, Inc. (a) | | | 6,556 | | | | 740,631 | |
Aratana Therapeutics, Inc. (a) | | | 10,364 | | | | 57,831 | |
Flexion Therapeutics, Inc. (a) | | | 14,342 | | | | 276,370 | |
Galapagos NV (a) (c) | | | 9,353 | | | | 588,117 | |
Otonomy, Inc. (a) | | | 11,497 | | | | 319,042 | |
Portola Pharmaceuticals, Inc. (a) | | | 13,327 | | | | 685,674 | |
Relypsa, Inc. (a) (c) | | | 7,569 | | | | 214,506 | |
TESARO, Inc. (a) (c) | | | 17,940 | | | | 938,621 | |
Tetraphase Pharmaceuticals, Inc. (a) | | | 13,143 | | | | 131,824 | |
| | | | | | | | |
| | | | | | | 4,562,929 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Textiles — 0.2% | | | | | | | | |
Samsonite International SA | | | 163,970 | | | $ | 492,981 | |
| | | | | | | | |
| | | | | | | 45,639,602 | |
| | | | | | | | |
| Diversified — 0.6% | | | | | | | | |
| Holding Company – Diversified — 0.6% | |
FCB Financial Holdings, Inc. (a) | | | 22,860 | | | | 818,159 | |
Nomad Foods Ltd. (a) | | | 27,554 | | | | 325,268 | |
| | | | | | | | |
| | | | | | | 1,143,427 | |
| | | | | | | | |
| Energy — 4.0% | | | | | | | | |
| Energy – Alternate Sources — 1.7% | | | | | | | | |
First Solar, Inc. (a) | | | 25,143 | | | | 1,659,187 | |
Headwaters, Inc. (a) | | | 62,238 | | | | 1,049,955 | |
Pattern Energy Group, Inc. (c) | | | 40,600 | | | | 848,946 | |
| | | | | | | | |
| | | | | | | 3,558,088 | |
| | | | | | | | |
| Oil & Gas — 1.9% | | | | | | | | |
Callon Petroleum Co. (a) | | | 79,730 | | | | 664,948 | |
Diamondback Energy, Inc. (a) | | | 16,096 | | | | 1,076,822 | |
Patterson-UTI Energy, Inc. | | | 52,440 | | | | 790,795 | |
QEP Resources, Inc. | | | 32,657 | | | | 437,604 | |
RSP Permian, Inc. (a) | | | 42,776 | | | | 1,043,307 | |
| | | | | | | | |
| | | | | | | 4,013,476 | |
| | | | | | | | |
| Oil & Gas Services — 0.4% | | | | | | | | |
Forum Energy Technologies, Inc. (a) | | | 58,300 | | | | 726,418 | |
| | | | | | | | |
| | | | | | | 8,297,982 | |
| | | | | | | | |
| Financial — 15.7% | | | | | | | | |
| Banks — 3.7% | | | | | | | | |
Ameris Bancorp | | | 24,400 | | | | 829,356 | |
Associated Banc-Corp. | | | 95,237 | | | | 1,785,694 | |
ConnectOne Bancorp, Inc. | | | 36,600 | | | | 684,054 | |
Great Western Bancorp, Inc. | | | 28,510 | | | | 827,360 | |
PacWest Bancorp | | | 15,814 | | | | 681,583 | |
PrivateBancorp, Inc. | | | 18,558 | | | | 761,249 | |
South State Corp. | | | 10,860 | | | | 781,377 | |
Texas Capital Bancshares, Inc. (a) | | | 15,900 | | | | 785,778 | |
United Community Banks, Inc. | | | 28,371 | | | | 552,951 | |
| | | | | | | | |
| | | | | | | 7,689,402 | |
| | | | | | | | |
| Diversified Financial — 3.9% | | | | | | | | |
Ellie Mae, Inc. (a) (c) | | | 14,500 | | | | 873,335 | |
Evercore Partners, Inc. Class A | | | 8,553 | | | | 462,461 | |
Hannon Armstrong Sustainable Infrastructure Capital, Inc. | | | 78,074 | | | | 1,477,160 | |
MarketAxess Holdings, Inc. | | | 11,264 | | | | 1,256,950 | |
PRA Group, Inc. (a) (c) | | | 75,177 | | | | 2,607,890 | |
WageWorks, Inc. (a) | | | 10,197 | | | | 462,638 | |
WisdomTree Investments, Inc. (c) | | | 59,122 | | | | 927,033 | |
| | | | | | | | |
| | | | | | | 8,067,467 | |
| | | | | | | | |
| Insurance — 2.8% | | | | | | | | |
Argo Group International Holdings Ltd. | | | 6,459 | | | | 386,506 | |
The accompanying notes are an integral part of the financial statements.
114
MML Small Cap Growth Equity Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Assurant, Inc. | | | 8,055 | | | $ | 648,750 | |
Assured Guaranty Ltd. | | | 49,715 | | | | 1,313,967 | |
eHealth, Inc. (a) | | | 33,180 | | | | 331,136 | |
First American Financial Corp. | | | 23,262 | | | | 835,106 | |
Horace Mann Educators Corp. | | | 25,260 | | | | 838,127 | |
MGIC Investment Corp. (a) | | | 66,700 | | | | 588,961 | |
Stewart Information Services Corp. | | | 23,760 | | | | 886,961 | |
| | | | | | | | |
| | | | | | | 5,829,514 | |
| | | | | | | | |
| Investment Companies — 0.6% | | | | | | | | |
Hercules Technology Growth Capital, Inc. | | | 48,600 | | | | 592,434 | |
Solar Capital Ltd. | | | 36,305 | | | | 596,491 | |
| | | | | | | | |
| | | | | | | 1,188,925 | |
| | | | | | | | |
| Real Estate — 1.9% | | | | | | | | |
HFF, Inc. | | | 49,962 | | | | 1,552,319 | |
Hilltop Holdings, Inc. (a) | | | 31,860 | | | | 612,349 | |
Kennedy-Wilson Holdings, Inc. | | | 74,192 | | | | 1,786,544 | |
| | | | | | | | |
| | | | | | | 3,951,212 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 1.9% | |
MFA Financial, Inc. | | | 117,635 | | | | 776,391 | |
Pebblebrook Hotel Trust | | | 12,637 | | | | 354,089 | |
PS Business Parks, Inc. | | | 9,300 | | | | 813,099 | |
Redwood Trust, Inc. | | | 63,455 | | | | 837,606 | |
Sovran Self Storage, Inc. | | | 10,200 | | | | 1,094,562 | |
| | | | | | | | |
| | | | | | | 3,875,747 | |
| | | | | | | | |
| Savings & Loans — 0.9% | | | | | | | | |
EverBank Financial Corp. | | | 31,090 | | | | 496,818 | |
Sterling Bancorp | | | 77,816 | | | | 1,262,176 | |
| | | | | | | | |
| | | | | | | 1,758,994 | |
| | | | | | | | |
| | | | | | | 32,361,261 | |
| | | | | | | | |
| Industrial — 15.7% | | | | | | | | |
| Aerospace & Defense — 1.5% | |
Astronics Corp. (a) | | | 8,812 | | | | 358,737 | |
Curtiss-Wright Corp. | | | 13,000 | | | | 890,500 | |
HEICO Corp. Class A | | | 18,000 | | | | 885,600 | |
Teledyne Technologies, Inc. (a) | | | 9,805 | | | | 869,703 | |
| | | | | | | | |
| | | | | | | 3,004,540 | |
| | | | | | | | |
| Building Materials — 2.5% | | | | | | | | |
Apogee Enterprises, Inc. | | | 9,856 | | | | 428,835 | |
Armstrong World Industries, Inc. (a) | | | 17,150 | | | | 784,269 | |
Boise Cascade Co. (a) | | | 29,700 | | | | 758,241 | |
Masonite International Corp. (a) | | | 28,628 | | | | 1,752,892 | |
Trex Co., Inc. (a) | | | 38,763 | | | | 1,474,545 | |
| | | | | | | | |
| | | | | | | 5,198,782 | |
| | | | | | | | |
| Electrical Components & Equipment — 1.3% | |
Acuity Brands, Inc. | | | 2,348 | | | | 548,962 | |
Generac Holdings, Inc. (a) (c) | | | 17,781 | | | | 529,340 | |
SunPower Corp. (a) (c) | | | 52,042 | | | | 1,561,781 | |
| | | | | | | | |
| | | | | | | 2,640,083 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Electronics — 2.4% | | | | | | | | |
Imax Corp. (a) (c) | | | 34,965 | | | $ | 1,242,656 | |
Rogers Corp. (a) | | | 12,915 | | | | 666,027 | |
Watts Water Technologies, Inc. Class A | | | 25,606 | | | | 1,271,850 | |
Woodward, Inc. | | | 34,500 | | | | 1,713,270 | |
| | | | | | | | |
| | | | | | | 4,893,803 | |
| | | | | | | | |
| Environmental Controls — 0.5% | |
Clean Harbors, Inc. (a) | | | 24,130 | | | | 1,005,015 | |
| | | | | | | | |
| Machinery – Diversified — 2.6% | |
Altra Industrial Motion Corp. | | | 18,537 | | | | 464,908 | |
Cognex Corp. | | | 37,200 | | | | 1,256,244 | |
The Middleby Corp. (a) | | | 29,395 | | | | 3,170,838 | |
Proto Labs, Inc. (a) (c) | | | 4,300 | | | | 273,867 | |
Tennant Co. | | | 5,326 | | | | 299,641 | |
| | | | | | | | |
| | | | | | | 5,465,498 | |
| | | | | | | | |
| Manufacturing — 0.5% | | | | | | | | |
John Bean Technologies Corp. | | | 19,845 | | | | 988,876 | |
| | | | | | | | |
| Metal Fabricate & Hardware — 0.6% | |
Advanced Drainage Systems, Inc. | | | 53,059 | | | | 1,275,008 | |
| | | | | | | | |
| Miscellaneous – Manufacturing — 0.6% | |
Hexcel Corp. | | | 25,800 | | | | 1,198,410 | |
| | | | | | | | |
| Packaging & Containers — 0.9% | |
Graphic Packaging Holding Co. | | | 148,303 | | | | 1,902,727 | |
| | | | | | | | |
| Transportation — 1.5% | |
Hub Group, Inc. Class A (a) | | | 17,910 | | | | 590,135 | |
Knight Transportation, Inc. | | | 26,970 | | | | 653,483 | |
Landstar System, Inc. | | | 16,150 | | | | 947,197 | |
Swift Transportation Co. (a) (c) | | | 50,100 | | | | 692,382 | |
XPO Logistics, Inc. (a) (c) | | | 11,503 | | | | 313,457 | |
| | | | | | | | |
| | | | | | | 3,196,654 | |
| | | | | | | | |
| Trucking & Leasing — 0.8% | |
Aircastle Ltd. | | | 37,490 | | | | 783,166 | |
GATX Corp. | | | 19,420 | | | | 826,321 | |
| | | | | | | | |
| | | | | | | 1,609,487 | |
| | | | | | | | |
| | | | | | | 32,378,883 | |
| | | | | | | | |
| Technology — 15.3% | |
| Computers — 3.8% | |
Cadence Design Systems, Inc. (a) | | | 35,630 | | | | 741,460 | |
FleetMatics Group PLC (a) | | | 4,325 | | | | 219,667 | |
Manhattan Associates, Inc. (a) | | | 18,495 | | | | 1,223,814 | |
MAXIMUS, Inc. | | | 10,942 | | | | 615,488 | |
Mercury Systems, Inc. (a) | | | 25,600 | | | | 470,016 | |
Pure Storage, Inc. Class A (a) (c) | | | 23,783 | | | | 370,301 | |
Stratasys Ltd. (a) (c) | | | 20,700 | | | | 486,036 | |
Syntel, Inc. (a) | | | 37,800 | | | | 1,710,450 | |
Virtusa Corp. (a) | | | 48,356 | | | | 1,999,037 | |
| | | | | | | | |
| | | | | | | 7,836,269 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
115
MML Small Cap Growth Equity Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Semiconductors — 1.6% | |
Entegris, Inc. (a) | | | 90,065 | | | $ | 1,195,163 | |
Mellanox Technologies Ltd. (a) | | | 22,766 | | | | 959,359 | |
Monolithic Power Systems, Inc. | | | 9,150 | | | | 582,946 | |
ON Semiconductor Corp. (a) | | | 45,675 | | | | 447,615 | |
| | | | | | | | |
| | | | | | | 3,185,083 | |
| | | | | | | | |
| Software — 9.9% | |
Allscripts Healthcare Solutions, Inc. (a) | | | 82,760 | | | | 1,272,849 | |
Atlassian Corp. PLC Class A (a) | | | 6,864 | | | | 206,469 | |
Demandware, Inc. (a) (c) | | | 18,584 | | | | 1,002,979 | |
Fair Isaac Corp. | | | 8,724 | | | | 821,626 | |
Globant SA (a) (c) | | | 17,900 | | | | 671,429 | |
Guidewire Software, Inc. (a) | | | 30,235 | | | | 1,818,938 | |
HubSpot, Inc. (a) | | | 27,943 | | | | 1,573,470 | |
Imperva, Inc. (a) | | | 6,530 | | | | 413,414 | |
Monotype Imaging Holdings, Inc. | | | 43,800 | | | | 1,035,432 | |
Paycom Software, Inc. (a) | | | 14,942 | | | | 562,268 | |
Proofpoint, Inc. (a) | | | 23,872 | | | | 1,551,919 | |
Tableau Software, Inc. Class A (a) | | | 2,500 | | | | 235,550 | |
Telogis (b) | | | 80,369 | | | | 151,897 | |
TiVo, Inc. (a) | | | 94,070 | | | | 811,824 | |
Tyler Technologies, Inc. (a) | | | 14,917 | | | | 2,600,331 | |
The Ultimate Software Group, Inc. (a) | | | 8,055 | | | | 1,574,833 | |
Veeva Systems, Inc. Class A (a) | | | 117,357 | | | | 3,385,750 | |
Verint Systems, Inc. (a) | | | 18,854 | | | | 764,718 | |
| | | | | | | | |
| | | | | | | 20,455,696 | |
| | | | | | | | |
| | | | | | | 31,477,048 | |
| | | | | | | | |
| Utilities — 0.2% | |
| Electric — 0.2% | |
8Point3 Energy Partners LP | | | 29,221 | | | | 471,627 | |
| | | | | | | | |
| | |
| TOTAL COMMON STOCK (Cost $189,698,242) | | | | | | | 193,257,651 | |
| | | | | | | | |
|
| PREFERRED STOCK — 1.2% | |
| Communications — 0.5% | |
| Internet — 0.5% | |
The Honest Co. (a) (b) | | | 4,027 | | | | 182,544 | |
Draftkings Series D (a) (b) | | | 14,868 | | | | 46,537 | |
Draftkings, Inc. Series D 1 (a) (b) | | | 28,744 | | | | 116,413 | |
Veracode, Inc. (a) (b) | | | 10,688 | | | | 290,072 | |
Zuora, Inc. Series F (a) (b) | | | 69,937 | | | | 289,539 | |
| | | | | | | | |
| | | | | | | 925,105 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Technology — 0.7% | |
| Software — 0.7% | |
Cloudera, Inc. Series F (a) (b) | | | 12,068 | | | $ | 310,027 | |
Docusign, Inc. Series B (a) (b) | | | 456 | | | | 8,700 | |
Docusign, Inc. Series B 1 (a) (b) | | | 136 | | | | 2,595 | |
Docusign, Inc. Series D (a) (b) | | | 327 | | | | 6,239 | |
Docusign, Inc. Series E (a) (b) | | | 8,460 | | | | 161,417 | |
Docusign, Inc. Series F (a) (b) | | | 1,224 | | | | 23,354 | |
Marklogic Corp. Series F (a) (b) | | | 22,966 | | | | 268,013 | |
NUTANIX, Inc. Series E (a) (b) | | | 14,135 | | | | 230,966 | |
Telogis (a) (b) | | | 109,450 | | | | 482,675 | |
| | | | | | | | |
| | | | | | | 1,493,986 | |
| | | | | | | | |
| | |
| TOTAL PREFERRED STOCK (Cost $1,967,004) | | | | | | | 2,419,091 | |
| | | | | | | | |
| | |
| TOTAL EQUITIES (Cost $191,665,246) | | | | | | | 195,676,742 | |
| | | | | | | | |
|
| MUTUAL FUNDS — 9.9% | |
| Diversified Financial — 9.9% | |
iShares Russell 2000 Growth Index Fund (c) | | | 6,779 | | | | 945,060 | |
iShares Russell 2000 Index Fund (c) | | | 13,480 | | | | 1,516,635 | |
State Street Navigator Securities Lending Prime Portfolio (d) | | | 17,995,978 | | | | 17,995,978 | |
| | | | | | | | |
| | | | | | | 20,457,673 | |
| | | | | | | | |
| | |
| TOTAL MUTUAL FUNDS (Cost $20,466,742) | | | | | | | 20,457,673 | |
| | | | | | | | |
| | |
| TOTAL LONG-TERM INVESTMENTS (Cost $212,131,988) | | | | | | | 216,134,415 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 3.0% | |
| Repurchase Agreement — 3.0% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (e) | | $ | 6,151,386 | | | | 6,151,386 | |
| | | | | | | | |
| Time Deposits — 0.0% | |
Euro Time Deposit
0.010% 1/04/16 | | | 5,950 | | | | 5,950 | |
| | | | | | | | |
| | |
| TOTAL SHORT-TERM INVESTMENTS (Cost $6,157,336) | | | | | | | 6,157,336 | |
| | | | | | | | |
| | |
| TOTAL INVESTMENTS — 107.8% (Cost $218,289,324) (f) | | | | | | | 222,291,751 | |
| | |
| Other Assets/(Liabilities) — (7.8)% | | | | | | | (16,027,957 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 206,263,794 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
116
MML Small Cap Growth Equity Fund – Portfolio of Investments (Continued)
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| ADR | American Depositary Receipt |
| (a) | Non-income producing security. |
| (b) | This security is fair valued in good faith in accordance with procedures approved by the Board of Trustees. At December 31, 2015, these securities amounted to a value of $2,730,117 or 1.32% of net assets. |
| (c) | Denotes all or a portion of security on loan. The total value of securities on loan as of December 31, 2015, was $17,566,369 or 8.52% of net assets. Total securities on loan may not correspond with the amounts identified in the Portfolio of Investments because pending sales may be in the process of recall from the brokers. (Note 2). |
| (d) | Represents investment of security lending collateral. (Note 2). |
| (e) | Maturity value of $6,151,393. Collateralized by U.S. Government Agency obligations with rates ranging from 2.120% – 4.000%, maturity dates ranging from 12/15/17 – 11/07/22, and an aggregate market value, including accrued interest, of $6,279,631. |
| (f) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
117
MML Small Company Value Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 97.6% | |
|
| COMMON STOCK — 97.6% | |
| Basic Materials — 4.7% | |
| Chemicals — 2.3% | |
American Vanguard Corp. | | | 27,600 | | | $ | 386,676 | |
Innospec, Inc. | | | 20,400 | | | | 1,107,924 | |
Minerals Technologies, Inc. | | | 17,100 | | | | 784,206 | |
| | | | | | | | |
| | | | | | | 2,278,806 | |
| | | | | | | | |
| Forest Products & Paper — 1.4% | |
Clearwater Paper Corp. (a) | | | 16,000 | | | | 728,480 | |
Wausau Paper Corp. | | | 67,100 | | | | 686,433 | |
| | | | | | | | |
| | | | | | | 1,414,913 | |
| | | | | | | | |
| Iron & Steel — 1.0% | |
Carpenter Technology Corp. | | | 19,500 | | | | 590,265 | |
Reliance Steel & Aluminum Co. | | | 6,500 | | | | 376,415 | |
| | | | | | | | |
| | | | | | | 966,680 | |
| | | | | | | | |
| | | | | | | 4,660,399 | |
| | | | | | | | |
| Communications — 2.8% | |
| Internet — 1.1% | |
New Media Investment Group, Inc. | | | 39,700 | | | | 772,562 | |
Safeguard Scientifics, Inc. (a) | | | 25,100 | | | | 364,201 | |
| | | | | | | | |
| | | | | | | 1,136,763 | |
| | | | | | | | |
| Media — 0.9% | |
Cable One, Inc. | | | 950 | | | | 411,977 | |
Scholastic Corp. | | | 11,400 | | | | 439,584 | |
| | | | | | | | |
| | | | | | | 851,561 | |
| | | | | | | | |
| Telecommunications — 0.8% | |
Ixia (a) | | | 50,300 | | | | 625,229 | |
Sonus Networks, Inc. (a) | | | 22,680 | | | | 161,708 | |
| | | | | | | | |
| | | | | | | 786,937 | |
| | | | | | | | |
| | | | | | | 2,775,261 | |
| | | | | | | | |
| Consumer, Cyclical — 10.0% | |
| Apparel — 0.8% | |
Crocs, Inc. (a) | | | 21,300 | | | | 218,112 | |
Steven Madden Ltd. (a) | | | 17,800 | | | | 537,916 | |
| | | | | | | | |
| | | | | | | 756,028 | |
| | | | | | | | |
| Automotive & Parts — 0.8% | |
Dorman Products, Inc. (a) (b) | | | 16,200 | | | | 769,014 | |
| | | | | | | | |
| Distribution & Wholesale — 2.0% | |
Beacon Roofing Supply, Inc. (a) | | | 22,100 | | | | 910,078 | |
Pool Corp. | | | 13,500 | | | | 1,090,530 | |
| | | | | | | | |
| | | | | | | 2,000,608 | |
| | | | | | | | |
| Home Builders — 1.1% | |
Cavco Industries, Inc. (a) | | | 7,900 | | | | 658,149 | |
Meritage Home Corp. (a) | | | 13,600 | | | | 462,264 | |
| | | | | | | | |
| | | | | | | 1,120,413 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Home Furnishing — 0.6% | |
Ethan Allen Interiors, Inc. (b) | | | 22,200 | | | $ | 617,604 | |
| | | | | | | | |
| Leisure Time — 0.3% | |
Interval Leisure Group, Inc. | | | 21,400 | | | | 334,054 | |
| | | | | | | | |
| Retail — 2.8% | |
Fred’s, Inc. Class A | | | 29,300 | | | | 479,641 | |
Party City Holdco, Inc. (a) (b) | | | 18,600 | | | | 240,126 | |
Pier 1 Imports, Inc. (b) | | | 70,300 | | | | 357,827 | |
PriceSmart, Inc. | | | 10,100 | | | | 838,199 | |
Red Robin Gourmet Burgers, Inc. (a) | | | 5,100 | | | | 314,874 | |
Sportsman’s Warehouse Holdings, Inc. (a) (b) | | | 39,200 | | | | 505,680 | |
| | | | | | | | |
| | | | | | | 2,736,347 | |
| | | | | | | | |
| Textiles — 1.6% | |
Culp, Inc. | | | 22,300 | | | | 567,981 | |
G&K Services, Inc. Class A | | | 15,350 | | | | 965,515 | |
| | | | | | | | |
| | | | | | | 1,533,496 | |
| | | | | | | | |
| | | | | | | 9,867,564 | |
| | | | | | | | |
| Consumer, Non-cyclical — 13.8% | |
| Agriculture — 0.5% | |
Vector Group Ltd. (b) | | | 19,929 | | | | 470,125 | |
| | | | | | | | |
| Commercial Services — 4.6% | |
Aaron’s, Inc. | | | 40,800 | | | | 913,512 | |
American Public Education, Inc. (a) | | | 17,700 | | | | 329,397 | |
Capella Education Co. | | | 8,900 | | | | 411,358 | |
Electro Rent Corp. | | | 44,400 | | | | 408,480 | |
FTI Consulting, Inc. (a) | | | 14,600 | | | | 506,036 | |
Hillenbrand, Inc. | | | 13,130 | | | | 389,042 | |
McGrath RentCorp | | | 36,100 | | | | 909,359 | |
Navigant Consulting, Inc. (a) | | | 43,000 | | | | 690,580 | |
| | | | | | | | |
| | | | | | | 4,557,764 | |
| | | | | | | | |
| Foods — 1.5% | |
Pinnacle Foods, Inc. | | | 12,400 | | | | 526,504 | |
Post Holdings, Inc. (a) | | | 7,800 | | | | 481,260 | |
SpartanNash Co. | | | 22,300 | | | | 482,572 | |
| | | | | | | | |
| | | | | | | 1,490,336 | |
| | | | | | | | |
| Health Care – Products — 4.2% | |
Atrion Corp. | | | 2,730 | | | | 1,040,676 | |
Halyard Health, Inc. (a) | | | 24,500 | | | | 818,545 | |
Quidel Corp. (a) | | | 31,000 | | | | 657,200 | |
West Pharmaceutical Services, Inc. | | | 27,700 | | | | 1,668,094 | |
| | | | | | | | |
| | | | | | | 4,184,515 | |
| | | | | | | | |
| Health Care – Services — 2.5% | |
The Ensign Group, Inc. | | | 11,000 | | | | 248,930 | |
National Healthcare Corp. | | | 12,400 | | | | 765,080 | |
Select Medical Holdings Corp. | | | 34,800 | | | | 414,468 | |
Triple-S Management Corp. Class B (a) | | | 18,400 | | | | 439,944 | |
The accompanying notes are an integral part of the financial statements.
118
MML Small Company Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
WellCare Health Plans, Inc. (a) | | | 7,200 | | | $ | 563,112 | |
| | | | | | | | |
| | | | | | | 2,431,534 | |
| | | | | | | | |
| Household Products — 0.5% | |
CSS Industries, Inc. | | | 18,400 | | | | 522,192 | |
| | | | | | | | |
| | | | | | | 13,656,466 | |
| | | | | | | | |
| Diversified — 0.7% | |
| Holding Company – Diversified — 0.7% | |
National Bank Holdings Corp. Class A | | | 33,700 | | | | 720,169 | |
| | | | | | | | |
| Energy — 3.5% | |
| Oil & Gas — 2.2% | |
Atwood Oceanics, Inc. (b) | | | 20,700 | | | | 211,761 | |
Clayton Williams Energy, Inc. (a) (b) | | | 12,300 | | | | 363,711 | |
Matador Resources Co. (a) | | | 44,000 | | | | 869,880 | |
PDC Energy, Inc. (a) (b) | | | 9,100 | | | | 485,758 | |
WPX Energy, Inc. (a) | | | 53,700 | | | | 308,238 | |
| | | | | | | | |
| | | | | | | 2,239,348 | |
| | | | | | | | |
| Oil & Gas Services — 1.3% | |
RPC, Inc. (b) | | | 42,800 | | | | 511,460 | |
Tesco Corp. | | | 31,800 | | | | 230,232 | |
TETRA Technologies, Inc. (a) | | | 68,500 | | | | 515,120 | |
| | | | | | | | |
| | | | | | | 1,256,812 | |
| | | | | | | | |
| | | | | | | 3,496,160 | |
| | | | | | | | |
| Financial — 31.2% | |
| Banks — 12.0% | |
BBCN Bancorp, Inc. | | | 42,000 | | | | 723,240 | |
Columbia Banking System, Inc. | | | 33,900 | | | | 1,102,089 | |
East West Bancorp, Inc. | | | 43,626 | | | | 1,813,097 | |
Glacier Bancorp, Inc. | | | 39,000 | | | | 1,034,670 | |
Home Bancshares, Inc. | | | 52,975 | | | | 2,146,547 | |
Popular, Inc. | | | 32,000 | | | | 906,880 | |
Prosperity Bancshares, Inc. | | | 10,200 | | | | 488,172 | |
Sandy Spring Bancorp, Inc. | | | 24,550 | | | | 661,868 | |
SVB Financial Group (a) | | | 12,850 | | | | 1,527,865 | |
TowneBank | | | 17,100 | | | | 356,877 | |
Wintrust Financial Corp. | | | 23,100 | | | | 1,120,812 | |
| | | | | | | | |
| | | | | | | 11,882,117 | |
| | | | | | | | |
| Diversified Financial — 1.0% | |
Houlihan Lokey, Inc. | | | 6,500 | | | | 170,365 | |
Janus Capital Group, Inc. | | | 31,200 | | | | 439,608 | |
Waddell & Reed Financial, Inc. Class A | | | 12,300 | | | | 352,518 | |
| | | | | | | | |
| | | | | | | 962,491 | |
| | | | | | | | |
| Insurance — 5.8% | |
Assured Guaranty Ltd. | | | 20,782 | | | | 549,268 | |
Employers Holdings, Inc. | | | 28,700 | | | | 783,510 | |
National Interstate Corp. | | | 22,100 | | | | 590,070 | |
ProAssurance Corp. | | | 41,400 | | | | 2,009,142 | |
Radian Group, Inc. | | | 48,900 | | | | 654,771 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
RenaissanceRe Holdings Ltd. | | | 2,700 | | | $ | 305,613 | |
Safety Insurance Group, Inc. | | | 6,300 | | | | 355,194 | |
State Auto Financial Corp. Class A | | | 21,400 | | | | 440,626 | |
Third Point Reinsurance Ltd. (a) | | | 4,500 | | | | 60,345 | |
| | | | | | | | |
| | | | | | | 5,748,539 | |
| | | | | | | | |
| Real Estate — 0.4% | |
Forestar Real Esate Group, Inc. (a) | | | 22,700 | | | | 248,338 | |
RE/MAX Holdings, Inc. Class A | | | 3,400 | | | | 126,820 | |
| | | | | | | | |
| | | | | | | 375,158 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 9.3% | |
Acadia Realty Trust | | | 29,300 | | | | 971,295 | |
American Assets Trust, Inc. | | | 7,400 | | | | 283,790 | |
American Campus Communities, Inc. | | | 17,100 | | | | 706,914 | |
Catchmark Timber Trust, Inc. Class A | | | 28,610 | | | | 323,579 | |
Cedar Realty Trust, Inc. | | | 84,800 | | | | 600,384 | |
Corporate Office Properties Trust | | | 19,100 | | | | 416,953 | |
Douglas Emmett, Inc. | | | 16,400 | | | | 511,352 | |
First Potomac Realty Trust | | | 53,300 | | | | 607,620 | |
Kilroy Realty Corp. | | | 11,600 | | | | 734,048 | |
LaSalle Hotel Properties | | | 27,150 | | | | 683,094 | |
Potlatch Corp. | | | 18,400 | | | | 556,416 | |
PS Business Parks, Inc. | | | 7,400 | | | | 646,982 | |
RLJ Lodging Trust | | | 26,500 | | | | 573,195 | |
Rouse Properties, Inc. (b) | | | 17,600 | | | | 256,256 | |
Saul Centers, Inc. | | | 14,300 | | | | 733,161 | |
Washington Real Estate Investment Trust | | | 23,000 | | | | 622,380 | |
| | | | | | | | |
| | | | | | | 9,227,419 | |
| | | | | | | | |
| Savings & Loans — 2.7% | |
BankUnited, Inc. | | | 22,500 | | | | 811,350 | |
Beneficial Bancorp, Inc. (a) | | | 48,600 | | | | 647,352 | |
United Financial Bancorp, Inc. | | | 46,900 | | | | 604,072 | |
WSFS Financial Corp. | | | 18,600 | | | | 601,896 | |
| | | | | | | | |
| | | | | | | 2,664,670 | |
| | | | | | | | |
| | | | | | | 30,860,394 | |
| | | | | | | | |
| Industrial — 19.1% | |
| Aerospace & Defense — 1.2% | |
Cubic Corp. | | | 8,400 | | | | 396,900 | |
Kaman Corp. | | | 15,100 | | | | 616,231 | |
Triumph Group, Inc. | | | 5,200 | | | | 206,700 | |
| | | | | | | | |
| | | | | | | 1,219,831 | |
| | | | | | | | |
| Building Materials — 2.5% | |
Comfort Systems USA, Inc. | | | 22,500 | | | | 639,450 | |
Drew Industries, Inc. | | | 16,700 | | | | 1,016,863 | |
Universal Forest Products, Inc. | | | 12,400 | | | | 847,788 | |
| | | | | | | | |
| | | | | | | 2,504,101 | |
| | | | | | | | |
| Electrical Components & Equipment — 3.5% | |
Advanced Energy Industries, Inc. (a) | | | 25,800 | | | | 728,334 | |
Belden, Inc. | | | 17,400 | | | | 829,632 | |
The accompanying notes are an integral part of the financial statements.
119
MML Small Company Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
Energizer Holdings, Inc. | | | 14,500 | | | $ | 493,870 | |
Littelfuse, Inc. | | | 13,000 | | | | 1,391,130 | |
| | | | | | | | |
| | | | | | | 3,442,966 | |
| | | | | | | | |
| Electronics — 2.8% | |
Analogic Corp. | | | 7,000 | | | | 578,200 | |
Badger Meter, Inc. | | | 10,000 | | | | 585,900 | |
Brady Corp. Class A | | | 23,300 | | | | 535,434 | |
Fabrinet (a) | | | 9,800 | | | | 233,436 | |
Methode Electronics, Inc. | | | 17,500 | | | | 557,025 | |
Newport Corp. (a) | | | 19,800 | | | | 314,226 | |
| | | | | | | | |
| | | | | | | 2,804,221 | |
| | | | | | | | |
| Engineering & Construction — 0.6% | |
Aegion Corp. (a) | | | 29,600 | | | | 571,576 | |
| | | | | | | | |
| Environmental Controls — 0.5% | |
MSA Safety, Inc. | | | 11,000 | | | | 478,170 | |
| | | | | | | | |
| Machinery – Diversified — 0.3% | |
Nordson Corp. | | | 4,200 | | | | 269,430 | |
| | | | | | | | |
| Manufacturing — 2.1% | |
ESCO Technologies, Inc. | | | 22,800 | | | | 823,992 | |
Matthews International Corp. Class A | | | 11,200 | | | | 598,640 | |
Myers Industries, Inc. | | | 45,000 | | | | 599,400 | |
| | | | | | | | |
| | | | | | | 2,022,032 | |
| | | | | | | | |
| Metal Fabricate & Hardware — 1.6% | |
Circor International, Inc. | | | 12,500 | | | | 526,875 | |
RBC Bearings, Inc. (a) | | | 7,800 | | | | 503,802 | |
Sun Hydraulics Corp. | | | 16,800 | | | | 533,064 | |
| | | | | | | | |
| | | | | | | 1,563,741 | |
| | | | | | | | |
| Transportation — 4.0% | |
Bristow Group, Inc. | | | 9,800 | | | | 253,820 | |
Genesee & Wyoming, Inc. Class A (a) | | | 17,850 | | | | 958,366 | |
Kirby Corp. (a) | | | 10,350 | | | | 544,617 | |
Landstar System, Inc. | | | 24,700 | | | | 1,448,655 | |
Teekay Tankers Ltd. Class A | | | 8,500 | | | | 58,480 | |
Universal Truckload Services, Inc. | | | 20,900 | | | | 293,436 | |
UTI Worldwide, Inc. (a) | | | 60,100 | | | | 422,503 | |
| | | | | | | | |
| | | | | | | 3,979,877 | |
| | | | | | | | |
| | | | | | | 18,855,945 | |
| | | | | | | | |
| Technology — 4.2% | |
| Semiconductors — 2.3% | |
Brooks Automation, Inc. | | | 41,500 | | | | 443,220 | |
Cabot Microelectronics Corp. (a) | | | 20,100 | | | | 879,978 | |
Intersil Corp. Class A | | | 33,700 | | | | 430,012 | |
Veeco Instruments, Inc. (a) | | | 23,400 | | | | 481,104 | |
| | | | | | | | |
| | | | | | | 2,234,314 | |
| | | | | | | | |
| Software — 1.9% | |
Progress Software Corp. (a) | | | 23,700 | | | | 568,800 | |
SYNNEX Corp. | | | 14,900 | | | | 1,339,957 | |
| | | | | | | | |
| | | | | | | 1,908,757 | |
| | | | | | | | |
| | | | | | | 4,143,071 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Utilities — 7.6% | |
| Electric — 3.5% | |
Cleco Corp. | | | 14,450 | | | $ | 754,435 | |
El Paso Electric Co. | | | 24,700 | | | | 950,950 | |
NorthWestern Corp. | | | 19,500 | | | | 1,057,875 | |
Portland General Electric Co. | | | 20,100 | | | | 731,037 | |
| | | | | | | | |
| | | | | | | 3,494,297 | |
| | | | | | | | |
| Gas — 4.1% | |
Atmos Energy Corp. | | | 5,500 | | | | 346,720 | |
ONE Gas, Inc. | | | 22,100 | | | | 1,108,757 | |
PNM Resources, Inc. | | | 44,100 | | | | 1,348,137 | |
Southwest Gas Corp. | | | 10,600 | | | | 584,696 | |
WGL Holdings, Inc. | | | 9,800 | | | | 617,302 | |
| | | | | | | | |
| | | | | | | 4,005,612 | |
| | | | | | | | |
| | | | | | | 7,499,909 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $84,193,159) | | | | | | | 96,535,338 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $84,193,159) | | | | | | | 96,535,338 | |
| | | | | | | | |
|
| MUTUAL FUNDS — 3.2% | |
| Diversified Financial — 3.2% | |
State Street Navigator Securities Lending Prime Portfolio (c) | | | 3,199,810 | | | | 3,199,810 | |
T. Rowe Price Reserve Investment Fund | | | 1,002 | | | | 1,002 | |
| | | | | | | | |
| | | | | | | 3,200,812 | |
| | | | | | | | |
| | |
| TOTAL MUTUAL FUNDS (Cost $3,200,812) | | | | | | | 3,200,812 | |
| | | | | | | | |
| | |
| TOTAL LONG-TERM INVESTMENTS (Cost $87,393,971) | | | | | | | 99,736,150 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 2.5% | |
| Repurchase Agreement — 2.5% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (d) | | $ | 2,440,513 | | | | 2,440,513 | |
| | | | | | | | |
| | |
| TOTAL SHORT-TERM INVESTMENTS (Cost $2,440,513) | | | | | | | 2,440,513 | |
| | | | | | | | |
| | |
| TOTAL INVESTMENTS — 103.3% (Cost $89,834,484) (e) | | | | | | | 102,176,663 | |
| | |
| Other Assets/(Liabilities) — (3.3)% | | | | | | | (3,279,189 | ) |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 98,897,474 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
120
MML Small Company Value Fund – Portfolio of Investments (Continued)
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Non-income producing security. |
| (b) | Denotes all or a portion of security on loan. The total value of securities on loan as of December 31, 2015, was $3,121,690 or 3.16% of net assets. Total securities on loan may not correspond with the amounts identified in the Portfolio of Investments because pending sales may be in the process of recall from the brokers. (Note 2). |
| (c) | Represents investment of security lending collateral. (Note 2). |
| (d) | Maturity value of $2,440,515. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $2,489,378. |
| (e) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
121
MML Small/Mid Cap Value Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| EQUITIES — 98.2% | |
|
| COMMON STOCK — 98.2% | |
| Basic Materials — 2.8% | |
| Chemicals — 2.0% | |
A. Schulman, Inc. | | | 72,770 | | | $ | 2,229,674 | |
Huntsman Corp. | | | 170,490 | | | | 1,938,471 | |
| | | | | | | | |
| | | | | | | 4,168,145 | |
| | | | | | | | |
| Iron & Steel — 0.8% | |
Steel Dynamics, Inc. | | | 97,709 | | | | 1,746,060 | |
| | | | | | | | |
| | | | | | | 5,914,205 | |
| | | | | | | | |
| Communications — 6.0% | |
| Internet — 2.1% | |
CDW Corp. | | | 66,370 | | | | 2,790,195 | |
Shutterfly, Inc. (a) | | | 37,740 | | | | 1,681,694 | |
| | | | | | | | |
| | | | | | | 4,471,889 | |
| | | | | | | | |
| Media — 1.5% | |
Cable One, Inc. | | | 3,685 | | | | 1,598,036 | |
Scholastic Corp. | | | 42,140 | | | | 1,624,919 | |
| | | | | | | | |
| | | | | | | 3,222,955 | |
| | | | | | | | |
| Telecommunications — 2.4% | |
Finisar Corp. (a) | | | 195,140 | | | | 2,837,335 | |
Polycom, Inc. (a) | | | 186,610 | | | | 2,349,420 | |
| | | | | | | | |
| | | | | | | 5,186,755 | |
| | | | | | | | |
| | | | | | | 12,881,599 | |
| | | | | | | | |
| Consumer, Cyclical — 17.2% | |
| Apparel — 1.0% | |
Crocs, Inc. (a) | | | 210,500 | | | | 2,155,520 | |
| | | | | | | | |
| Auto Manufacturers — 1.2% | |
Oshkosh Corp. | | | 66,230 | | | | 2,585,619 | |
| | | | | | | | |
| Automotive & Parts — 3.3% | |
Dana Holding Corp. | | | 171,893 | | | | 2,372,124 | |
Lear Corp. | | | 22,846 | | | | 2,806,174 | |
Tenneco, Inc. (a) | | | 41,931 | | | | 1,925,052 | |
| | | | | | | | |
| | | | | | | 7,103,350 | |
| | | | | | | | |
| Distribution & Wholesale — 2.2% | |
MRC Global, Inc. (a) | | | 222,980 | | | | 2,876,442 | |
WESCO International, Inc. (a) | | | 41,580 | | | | 1,816,214 | |
| | | | | | | | |
| | | | | | | 4,692,656 | |
| | | | | | | | |
| Home Builders — 2.5% | |
Meritage Home Corp. (a) | | | 65,354 | | | | 2,221,383 | |
PulteGroup, Inc. | | | 169,600 | | | | 3,022,272 | |
| | | | | | | | |
| | | | | | | 5,243,655 | |
| | | | | | | | |
| Retail — 7.0% | |
Big Lots, Inc. | | | 64,560 | | | | 2,488,143 | |
Bloomin’ Brands, Inc. | | | 168,990 | | | | 2,854,241 | |
Caleres, Inc. | | | 58,420 | | | | 1,566,824 | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
The Children’s Place Retail Store, Inc. | | | 51,404 | | | $ | 2,837,501 | |
GameStop Corp. Class A | | | 42,203 | | | | 1,183,372 | |
The Michaels Cos., Inc. (a) | | | 91,820 | | | | 2,030,140 | |
Office Depot, Inc. (a) | | | 350,677 | | | | 1,977,818 | |
| | | | | | | | |
| | | | | | | 14,938,039 | |
| | | | | | | | |
| | | | | | | 36,718,839 | |
| | | | | | | | |
| Consumer, Non-cyclical — 10.2% | |
| Commercial Services — 3.0% | |
Booz Allen Hamilton Holding Corp. | | | 93,540 | | | | 2,885,709 | |
Genpact Ltd. (a) | | | 54,887 | | | | 1,371,077 | |
Quanta Services, Inc. (a) | | | 102,260 | | | | 2,070,765 | |
| | | | | | | | |
| | | | | | | 6,327,551 | |
| | | | | | | | |
| Foods — 2.2% | |
Dean Foods Co. | | | 88,374 | | | | 1,515,614 | |
Ingredion, Inc. | | | 34,460 | | | | 3,302,646 | |
| | | | | | | | |
| | | | | | | 4,818,260 | |
| | | | | | | | |
| Health Care – Services — 3.1% | |
LifePoint Health, Inc. (a) | | | 37,550 | | | | 2,756,170 | |
Molina Healthcare, Inc. (a) | | | 25,570 | | | | 1,537,524 | |
WellCare Health Plans, Inc. (a) | | | 30,180 | | | | 2,360,378 | |
| | | | | | | | |
| | | | | | | 6,654,072 | |
| | | | | | | | |
| Household Products — 1.9% | |
Avery Dennison Corp. | | | 30,995 | | | | 1,942,147 | |
Helen of Troy Ltd. (a) | | | 21,800 | | | | 2,054,650 | |
| | | | | | | | |
| | | | | | | 3,996,797 | |
| | | | | | | | |
| | | | | | | 21,796,680 | |
| | | | | | | | |
| Energy — 5.4% | |
| Oil & Gas — 4.4% | |
Murphy Oil Corp. | | | 113,880 | | | | 2,556,606 | |
Murphy USA, Inc. (a) | | | 39,460 | | | | 2,396,800 | |
QEP Resources, Inc. | | | 201,070 | | | | 2,694,338 | |
SM Energy Co. | | | 89,180 | | | | 1,753,279 | |
| | | | | | | | |
| | | | | | | 9,401,023 | |
| | | | | | | | |
| Oil & Gas Services — 1.0% | |
RPC, Inc. | | | 172,970 | | | | 2,066,992 | |
| | | | | | | | |
| | | | | | | 11,468,015 | |
| | | | | | | | |
| Financial — 29.9% | |
| Banks — 9.1% | |
Associated Banc-Corp. | | | 92,907 | | | | 1,742,006 | |
Comerica, Inc. | | | 72,685 | | | | 3,040,414 | |
Fulton Financial Corp. | | | 163,970 | | | | 2,133,250 | |
Huntington Bancshares, Inc. | | | 293,875 | | | | 3,250,257 | |
Synovus Financial Corp. | | | 68,390 | | | | 2,214,468 | |
Texas Capital Bancshares, Inc. (a) | | | 36,090 | | | | 1,783,568 | |
Webster Financial Corp. | | | 61,230 | | | | 2,277,144 | |
Zions Bancorp | | | 112,935 | | | | 3,083,125 | |
| | | | | | | | |
| | | | | | | 19,524,232 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
122
MML Small/Mid Cap Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Diversified Financial — 1.8% | |
E*TRADE Financial Corp. (a) | | | 81,324 | | | $ | 2,410,443 | |
SLM Corp. (a) | | | 231,501 | | | | 1,509,387 | |
| | | | | | | | |
| | | | | | | 3,919,830 | |
| | | | | | | | |
| Insurance — 11.3% | |
American Financial Group, Inc. | | | 38,160 | | | | 2,750,573 | |
Aspen Insurance Holdings Ltd. | | | 68,610 | | | | 3,313,863 | |
CNO Financial Group, Inc. | | | 171,570 | | | | 3,275,271 | |
Essent Group Ltd. (a) | | | 106,920 | | | | 2,340,479 | |
First American Financial Corp. | | | 82,350 | | | | 2,956,365 | |
The Hanover Insurance Group, Inc. | | | 32,500 | | | | 2,643,550 | |
StanCorp Financial Group, Inc. | | | 30,510 | | | | 3,474,479 | |
Validus Holdings Ltd. | | | 71,430 | | | | 3,306,494 | |
| | | | | | | | |
| | | | | | | 24,061,074 | |
| | | | | | | | |
| Real Estate — 1.0% | |
Realogy Holdings Corp. (a) | | | 57,070 | | | | 2,092,757 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 5.7% | |
DDR Corp. | | | 118,220 | | | | 1,990,825 | |
Gramercy Property Trust, Inc. | | | 421,436 | | | | 3,253,486 | |
LTC Properties, Inc. | | | 64,230 | | | | 2,770,882 | |
Mid-America Apartment Communities, Inc. | | | 25,270 | | | | 2,294,769 | |
RLJ Lodging Trust | | | 79,210 | | | | 1,713,312 | |
STAG Industrial, Inc. | | | 4,797 | | | | 88,505 | |
| | | | | | | | |
| | | | | | | 12,111,779 | |
| | | | | | | | |
| Savings & Loans — 1.0% | |
First Niagara Financial Group, Inc. | | | 189,468 | | | | 2,055,728 | |
| | | | | | | | |
| | | | | | | 63,765,400 | |
| | | | | | | | |
| Industrial — 15.0% | |
| Aerospace & Defense — 1.0% | |
Spirit AeroSystems Holdings, Inc. Class A (a) | | | 43,980 | | | | 2,202,079 | |
| | | | | | | | |
| Electronics — 5.2% | |
Avnet, Inc. | | | 63,430 | | | | 2,717,341 | |
Celestica, Inc. (a) | | | 119,160 | | | | 1,314,335 | |
Keysight Technologies, Inc. (a) | | | 96,800 | | | | 2,742,344 | |
TTM Technologies, Inc. (a) | | | 207,976 | | | | 1,353,924 | |
Vishay Intertechnology, Inc. | | | 251,366 | | | | 3,028,960 | |
| | | | | | | | |
| | | | | | | 11,156,904 | |
| | | | | | | | |
| Engineering & Construction — 4.4% | |
AECOM (a) | | | 108,443 | | | | 3,256,543 | |
EMCOR Group, Inc. | | | 57,060 | | | | 2,741,162 | |
Granite Construction, Inc. | | | 76,525 | | | | 3,283,688 | |
| | | | | | | | |
| | | | | | | 9,281,393 | |
| | | | | | | | |
| Hand & Machine Tools — 1.2% | |
Regal Beloit Corp. | | | 45,040 | | | | 2,635,741 | |
| | | | | | | | |
| Manufacturing — 1.3% | |
ITT Corp. | | | 73,120 | | | | 2,655,718 | |
| | | | | | | | |
| | | | | | | | |
| | | Number of
Shares | | | Value | |
| Packaging & Containers — 0.8% | |
Graphic Packaging Holding Co. | | | 134,160 | | | $ | 1,721,273 | |
| | | | | | | | |
| Transportation — 1.1% | |
Ryder System, Inc. | | | 41,200 | | | | 2,341,396 | |
| | | | | | | | |
| | | | | | | 31,994,504 | |
| | | | | | | | |
| Technology — 7.5% | |
| Computers — 2.6% | |
Amdocs Ltd. | | | 45,838 | | | | 2,501,380 | |
NCR Corp. (a) | | | 124,740 | | | | 3,051,140 | |
| | | | | | | | |
| | | | | | | 5,552,520 | |
| | | | | | | | |
| Semiconductors — 4.1% | |
Advanced Micro Devices, Inc. (a) | | | 314,070 | | | | 901,381 | |
Cypress Semiconductor Corp. | | | 252,070 | | | | 2,472,807 | |
Fairchild Semiconductor International, Inc. (a) | | | 170,050 | | | | 3,521,735 | |
Lam Research Corp. | | | 22,315 | | | | 1,772,257 | |
| | | | | | | | |
| | | | | | | 8,668,180 | |
| | | | | | | | |
| Software — 0.8% | |
Verint Systems, Inc. (a) | | | 40,850 | | | | 1,656,876 | |
| | | | | | | | |
| | | | | | | 15,877,576 | |
| | | | | | | | |
| Utilities — 4.2% | |
| Electric — 1.3% | |
Westar Energy, Inc. | | | 67,270 | | | | 2,852,921 | |
| | | | | | | | |
| Gas — 2.9% | |
PNM Resources, Inc. | | | 110,123 | | | | 3,366,460 | |
Southwest Gas Corp. | | | 50,570 | | | | 2,789,441 | |
| | | | | | | | |
| | | | | | | 6,155,901 | |
| | | | | | | | |
| | | | | | | 9,008,822 | |
| | | | | | | | |
| | |
TOTAL COMMON STOCK
(Cost $204,670,922) | | | | | | | 209,425,640 | |
| | | | | | | | |
| | |
TOTAL EQUITIES
(Cost $204,670,922) | | | | | | | 209,425,640 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $204,670,922) | | | | | | | 209,425,640 | |
| | | | | | | | |
| | |
| | | Principal
Amount | | | | |
| SHORT-TERM INVESTMENTS — 0.8% | |
| Repurchase Agreement — 0.8% | | | | | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15, 0.010%, due 1/04/16 (b) | | $ | 1,551,792 | | | | 1,551,792 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
123
MML Small/Mid Cap Value Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| Time Deposits — 0.0% | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 1,250 | | | $ | 1,250 | |
| | | | | | | | |
| | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $1,553,042) | | | | | | | 1,553,042 | |
| | | | | | | | |
| | |
TOTAL INVESTMENTS — 99.0%
(Cost $206,223,964) (c) | | | | | | | 210,978,682 | |
| | |
| Other Assets/(Liabilities) — 1.0% | | | | | | | 2,237,332 | |
| | | | | | | | |
| | |
| NET ASSETS — 100.0% | | | | | | $ | 213,216,014 | |
| | | | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| (a) | Non-income producing security. |
| (b) | Maturity value of $1,551,793. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $1,587,713. |
| (c) | See Note 6 for aggregate cost for federal tax purposes. |
Country weightings, as a percentage of net assets, is as follows:
| | | | |
United States | | | 90.6 | % |
Bermuda | | | 5.8 | % |
United Kingdom | | | 1.2 | % |
Canada | | | 0.6 | % |
| | | | |
Total Long-Term Investments | | | 98.2 | % |
Short-Term Investments and Other Assets and Liabilities | | | 1.8 | % |
| | | | |
Net Assets | | | 100.0 | % |
| | | | |
The accompanying notes are an integral part of the financial statements.
124
MML Total Return Bond Fund – Portfolio of Investments
December 31, 2015
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| BONDS & NOTES — 102.8% | | | | | |
| |
| BANK LOANS — 0.2% | | | | | |
| Diversified Financial — 0.2% | | | | | | | | |
Delos Finance SARL, Term Loan B
3.500% 3/06/21 | | $ | 840,000 | | | $ | 835,650 | |
| | | | | | | | |
| | |
TOTAL BANK LOANS
(Cost $836,370) | | | | | | | 835,650 | |
| | | | | | | | |
| | |
| CORPORATE DEBT — 24.2% | | | | | | | | |
| Airlines — 0.7% | | | | | | | | |
Continental Airlines Pass Through Trust
7.250% 5/10/21 | | | 1,880,557 | | | | 2,119,388 | |
Northwest Airlines Pass Through Trust
7.041% 10/01/23 | | | 384,781 | | | | 434,802 | |
| | | | | | | | |
| | | | | | | 2,554,190 | |
| | | | | | | | |
| Auto Manufacturers — 0.4% | | | | | | | | |
General Motors Financial Co., Inc.
2.750% 5/15/16 | | | 750,000 | | | | 752,193 | |
General Motors Financial Co., Inc.
4.750% 8/15/17 | | | 500,000 | | | | 518,220 | |
| | | | | | | | |
| | | | | | | 1,270,413 | |
| | | | | | | | |
| Banks — 3.8% | | | | | | | | |
American Express Centurion Bank
6.000% 9/13/17 | | | 750,000 | | | | 803,356 | |
Bank of America Corp.,
3 mo. USD LIBOR + .280%, FRN
0.792% 6/15/16 | | | 2,500,000 | | | | 2,498,840 | |
CIT Group, Inc. (a)
6.625% 4/01/18 | | | 350,000 | | | | 369,250 | |
Citigroup, Inc.,
3 mo. USD LIBOR + .960%, FRN
1.280% 7/25/16 | | | 2,800,000 | | | | 2,803,945 | |
Credit Suisse,
3 mo. USD LIBOR + .690%, FRN
1.014% 1/29/18 | | | 1,750,000 | | | | 1,744,267 | |
The Goldman Sachs Group, Inc.
3.750% 5/22/25 | | | 600,000 | | | | 604,001 | |
The Goldman Sachs Group, Inc.
4.750% 10/21/45 | | | 500,000 | | | | 496,689 | |
HBOS PLC (a)
6.750% 5/21/18 | | | 1,100,000 | | | | 1,199,719 | |
JP Morgan Chase & Co.,
3 mo. USD LIBOR + .550%, FRN
0.870% 4/25/18 | | | 700,000 | | | | 695,112 | |
Morgan Stanley,
3 mo. USD LIBOR + 1.280%, FRN
1.600% 4/25/18 | | | 1,000,000 | | | | 1,010,681 | |
Royal Bank of Scotland Group PLC 6.400% 10/21/19 | | | 750,000 | | | | 832,109 | |
| | | | | | | | |
| | | | | | | 13,057,969 | |
| | | | | | | | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| Biotechnology — 0.3% | | | | | | | | |
Celgene Corp.
5.000% 8/15/45 | | $ | 400,000 | | | $ | 401,555 | |
Gilead Sciences, Inc.
3.250% 9/01/22 | | | 600,000 | | | | 604,158 | |
| | | | | | | | |
| | | | | | | 1,005,713 | |
| | | | | | | | |
| Commercial Services — 0.1% | | | | | | | | |
Catholic Health Initiatives
2.950% 11/01/22 | | | 500,000 | | | | 487,690 | |
| | | | | | | | |
| Diversified Financial — 7.6% | | | | | | | | |
Capital One Bank USA NA
2.250% 2/13/19 | | | 1,000,000 | | | | 995,605 | |
Federal Home Loan Banks STEP
1.250% 6/28/30 | | | 2,010,000 | | | | 2,002,507 | |
Federal Home Loan Mortgage Corp.
1.250% 10/02/19 | | | 700,000 | | | | 689,649 | |
Federal National Mortgage Association, 1 mo. USD LIBOR + .010%, FRN
0.279% 10/05/17 | | | 3,475,000 | | | | 3,468,865 | |
Ford Motor Credit Co. LLC,
3 mo. USD LIBOR + .450%, FRN
0.794% 11/08/16 | | | 1,400,000 | | | | 1,390,215 | |
GE Capital International Funding Co. (a)
4.418% 11/15/35 | | | 780,000 | | | | 795,976 | |
General Electric Capital Corp.
5.875% 1/14/38 | | | 244,000 | | | | 298,549 | |
The Goldman Sachs Group, Inc.
3.500% 1/23/25 | | | 500,000 | | | | 491,407 | |
The Goldman Sachs Group, Inc.
5.950% 1/18/18 | | | 1,750,000 | | | | 1,884,710 | |
International Lease Finance Corp. (a)
7.125% 9/01/18 | | | 1,000,000 | | | | 1,096,250 | |
JP Morgan Chase & Co.,
3 mo. USD LIBOR + .520%, FRN
0.882% 2/15/17 | | | 2,700,000 | | | | 2,698,234 | |
JP Morgan Chase & Co.
5.875% 6/13/16 | | | 3,100,000 | | | | 3,161,182 | |
Macquarie Bank Ltd. (a)
6.625% 4/07/21 | | | 975,000 | | | | 1,092,274 | |
Merrill Lynch & Co., Inc.
6.875% 4/25/18 | | | 4,400,000 | | | | 4,854,331 | |
Morgan Stanley
2.375% 7/23/19 | | | 500,000 | | | | 498,324 | |
Morgan Stanley
5.450% 1/09/17 | | | 1,000,000 | | | | 1,038,048 | |
| | | | | | | | |
| | | | | | | 26,456,126 | |
| | | | | | | | |
| Electric — 2.1% | | | | | | | | |
Duquesne Light Holdings, Inc. (a)
6.400% 9/15/20 | | | 1,500,000 | | | | 1,697,936 | |
Florida Power & Light Co.
3.800% 12/15/42 | | | 1,200,000 | | | | 1,136,311 | |
The accompanying notes are an integral part of the financial statements.
125
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Jersey Central Power & Light Co. (a)
4.700% 4/01/24 | | $ | 800,000 | | | $ | 828,841 | |
Jersey Central Power & Light Co.
6.400% 5/15/36 | | | 425,000 | | | | 461,846 | |
MidAmerican Energy Co.
4.800% 9/15/43 | | | 1,400,000 | | | | 1,497,917 | |
Southern California Edison Co.
3.600% 2/01/45 | | | 700,000 | | | | 633,959 | |
Southwestern Electric Power Co.
6.200% 3/15/40 | | | 800,000 | | | | 947,410 | |
| | | | | | | | |
| | | | | | | 7,204,220 | |
| | | | | | | | |
| Entertainment — 0.1% | | | | | | | | |
Churchill Downs, Inc. (a)
5.375% 12/15/21 | | | 175,000 | | | | 175,438 | |
| | | | | | | | |
| Foods — 0.2% | | | | | | | | |
Kraft Heinz Foods Co. (a)
1.600% 6/30/17 | | | 558,000 | | | | 556,383 | |
| | | | | | | | |
| Gas — 0.9% | | | | | | | | |
CenterPoint Energy Resources Corp.
6.250% 2/01/37 | | | 1,095,000 | | | | 1,211,310 | |
Florida Gas Transmission Co. LLC (a)
7.900% 5/15/19 | | | 1,000,000 | | | | 1,126,742 | |
Southern California Gas Co.
3.750% 9/15/42 | | | 1,000,000 | | | | 932,383 | |
| | | | | | | | |
| | | | | | | 3,270,435 | |
| | | | | | | | |
| Health Care – Services — 0.5% | | | | | | | | |
CHS/Community Health Systems, Inc. 5.125% 8/01/21 | | | 175,000 | | | | 174,125 | |
DaVita HealthCare Partners, Inc.
5.000% 5/01/25 | | | 415,000 | | | | 400,475 | |
HCA, Inc.
5.000% 3/15/24 | | | 800,000 | | | | 798,000 | |
Tenet Healthcare Corp.,
3 mo. USD LIBOR + 3.500%, FRN (a)
4.012% 6/15/20 | | | 350,000 | | | | 341,250 | |
| | | | | | | | |
| | | | | | | 1,713,850 | |
| | | | | | | | |
| Household Products — 0.1% | | | | | | | | |
Spectrum Brands, Inc. (a)
5.750% 7/15/25 | | | 340,000 | | | | 348,500 | |
| | | | | | | | |
| Insurance — 1.0% | | | | | | | | |
Berkshire Hathaway Finance Corp.
4.300% 5/15/43 | | | 500,000 | | | | 490,337 | |
Berkshire Hathaway Finance Corp.
4.400% 5/15/42 | | | 750,000 | | | | 742,592 | |
Farmers Exchange Capital III,
3 mo. USD LIBOR + 3.454%, VRN (a)
5.454% 10/15/54 | | | 970,000 | | | | 942,723 | |
New York Life Global Funding (a)
1.550% 11/02/18 | | | 750,000 | | | | 743,891 | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Reliance Standard Life Global Funding II (a)
2.150% 10/15/18 | | $ | 695,000 | | | $ | 690,894 | |
| | | | | | | | |
| | | | | | | 3,610,437 | |
| | | | | | | | |
| Lodging — 0.1% | | | | | | | | |
Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp.
5.625% 10/15/21 | | | 345,000 | | | | 357,506 | |
| | | | | | | | |
| Media — 0.6% | | | | | | | | |
CCO Holdings LLC/CCO Holdings Capital Corp.
6.500% 4/30/21 | | | 475,000 | | | | 494,000 | |
CCO Safari II LLC (a)
4.464% 7/23/22 | | | 875,000 | | | | 871,946 | |
DISH DBS Corp.
6.750% 6/01/21 | | | 170,000 | | | | 171,275 | |
Neptune Finco Corp. (a)
6.625% 10/15/25 | | | 350,000 | | | | 364,000 | |
Sirius XM Radio, Inc. (a)
4.250% 5/15/20 | | | 165,000 | | | | 166,650 | |
Univision Communications, Inc. (a)
5.125% 5/15/23 | | | 170,000 | | | | 163,625 | |
| | | | | | | | |
| | | | | | | 2,231,496 | |
| | | | | | | | |
| Oil & Gas — 0.2% | | | | | | | | |
Noble Energy, Inc.
5.250% 11/15/43 | | | 140,000 | | | | 112,940 | |
Shell International Finance BV
4.375% 5/11/45 | | | 415,000 | | | | 391,788 | |
| | | | | | | | |
| | | | | | | 504,728 | |
| | | | | | | | |
| Packaging & Containers — 0.3% | | | | | | | | |
Ardagh Packaging Finance PLC/Ardagh Holdings USA, Inc.,
3 mo. USD LIBOR + 3.000%, FRN (a)
3.512% 12/15/19 | | | 200,000 | | | | 195,500 | |
Ball Corp.
4.375% 12/15/20 | | | 350,000 | | | | 355,469 | |
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer Lu
5.750% 10/15/20 | | | 345,000 | | | | 350,930 | |
| | | | | | | | |
| | | | | | | 901,899 | |
| | | | | | | | |
| Pharmaceuticals — 0.5% | | | | | | | | |
AbbVie, Inc.
3.600% 5/14/25 | | | 500,000 | | | | 493,468 | |
Actavis Funding SCS
3.800% 3/15/25 | | | 250,000 | | | | 248,723 | |
Actavis Funding SCS
4.750% 3/15/45 | | | 600,000 | | | | 585,027 | |
The accompanying notes are an integral part of the financial statements.
126
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Valeant Pharmaceuticals International, Inc. (a)
5.500% 3/01/23 | | $ | 400,000 | | | $ | 352,000 | |
| | | | | | | | |
| | | | | | | 1,679,218 | |
| | | | | | | | |
| Pipelines — 1.0% | | | | | | | | |
Boardwalk Pipelines LLC
5.500% 2/01/17 | | | 1,000,000 | | | | 1,013,232 | |
Energy Transfer Equity LP
5.500% 6/01/27 | | | 175,000 | | | | 133,000 | |
Energy Transfer Partners LP
3.600% 2/01/23 | | | 1,250,000 | | | | 1,028,954 | |
Energy Transfer Partners LP
5.150% 3/15/45 | | | 400,000 | | | | 282,727 | |
Rockies Express Pipeline LLC (a)
5.625% 4/15/20 | | | 350,000 | | | | 322,000 | |
Spectra Energy Partners LP
4.500% 3/15/45 | | | 800,000 | | | | 614,780 | |
| | | | | | | | |
| | | | | | | 3,394,693 | |
| | | | | | | | |
| Real Estate — 0.2% | | | | | | | | |
WEA Finance LLC / Westfield UK & Europe Finance PLC (a)
1.750% 9/15/17 | | | 550,000 | | | | 545,281 | |
| | | | | | | | |
| Real Estate Investment Trusts (REITS) — 1.6% | |
HCP, Inc.
3.400% 2/01/25 | | | 1,000,000 | | | | 931,482 | |
HCP, Inc.
3.875% 8/15/24 | | | 500,000 | | | | 484,614 | |
Highwoods Realty LP
5.850% 3/15/17 | | | 1,000,000 | | | | 1,042,513 | |
National Retail Properties, Inc.
6.875% 10/15/17 | | | 750,000 | | | | 809,204 | |
Ventas Realty LP
3.500% 2/01/25 | | | 1,500,000 | | | | 1,436,296 | |
Welltower, Inc.
4.000% 6/01/25 | | | 830,000 | | | | 816,443 | |
| | | | | | | | |
| | | | | | | 5,520,552 | |
| | | | | | | | |
| Retail — 0.1% | | | | | | | | |
Wal-Mart Stores, Inc.
4.000% 4/11/43 | | | 400,000 | | | | 388,435 | |
| | | | | | | | |
| Software — 0.6% | | | | | | | | |
First Data Corp. (a)
5.000% 1/15/24 | | | 350,000 | | | | 348,250 | |
Microsoft Corp.
3.125% 11/03/25 | | | 1,045,000 | | | | 1,050,544 | |
Microsoft Corp.
3.750% 2/12/45 | | | 635,000 | | | | 585,098 | |
| | | | | | | | |
| | | | | | | 1,983,892 | |
| | | | | | | | |
| Telecommunications — 1.1% | | | | | | | | |
Altice US Finance I Corp. (a)
5.375% 7/15/23 | | | 350,000 | | | | 350,875 | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Sprint Communications, Inc. (a)
9.000% 11/15/18 | | $ | 400,000 | | | $ | 421,000 | |
T-Mobile USA, Inc.
6.250% 4/01/21 | | | 345,000 | | | | 355,350 | |
Verizon Communications, Inc.,
3 mo. USD LIBOR + 1.530%, FRN
2.042% 9/15/16 | | | 1,000,000 | | | | 1,006,123 | |
Verizon Communications, Inc.,
3 mo. USD LIBOR + 1.750%, FRN
2.252% 9/14/18 | | | 200,000 | | | | 204,787 | |
Verizon Communications, Inc.
2.500% 9/15/16 | | | 1,509,000 | | | | 1,520,775 | |
| | | | | | | | |
| | | | | | | 3,858,910 | |
| | | | | | | | |
| Transportation — 0.1% | | | | | | | | |
Burlington Northern Santa Fe LLC 4.150% 4/01/45 | | | 525,000 | | | | 475,822 | |
| | | | | | | | |
| | |
TOTAL CORPORATE DEBT
(Cost $85,457,916) | | | | | | | 83,553,796 | |
| | | | | | | | |
|
| MUNICIPAL OBLIGATIONS — 1.0% | |
City of New York NY
5.206% 10/01/31 | | | 750,000 | | | | 908,527 | |
Los Angeles Community College District BAB
6.750% 8/01/49 | | | 900,000 | | | | 1,272,753 | |
New York City Water & Sewer System 5.882% 6/15/44 | | | 315,000 | | | | 409,034 | |
New York State Dormitory Authority 5.289% 3/15/33 | | | 750,000 | | | | 874,680 | |
| | | | | | | | |
| | | | | | | 3,464,994 | |
| | | | | | | | |
| | |
TOTAL MUNICIPAL OBLIGATIONS
(Cost $3,138,067) | | | | | | | 3,464,994 | |
| | | | | | | | |
|
NON-U.S. GOVERNMENT AGENCY
OBLIGATIONS — 21.2% | |
| Automobile ABS — 0.7% | | | | | | | | |
Honda Auto Receivables Owner Trust, Series 2015-4, Class A2
0.820% 7/23/18 | | | 870,000 | | | | 866,528 | |
Nissan Auto Receivables Owner Trust, Series 2015-C, Class A2A
0.870% 11/15/18 | | | 870,000 | | | | 866,777 | |
Toyota Auto Receivables Owner Trust, Series 2014-A, Class A3
0.670% 12/15/17 | | | 749,035 | | | | 748,288 | |
| | | | | | | | |
| | | | | | | 2,481,593 | |
| | | | | | | | |
| Commercial MBS — 2.0% | | | | | | | | |
BAMLL Commercial Mortgage Securities Trust, Series 2012-PARK, Class A (a)
2.959% 12/10/30 | | | 375,000 | | | | 369,042 | |
The accompanying notes are an integral part of the financial statements.
127
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Banc of America Large Loan, Inc., Series 2009-UB2, Class A4AA, VRN (a)
7.892% 2/24/51 | | $ | 796,640 | | | $ | 815,468 | |
GS Mortgage Securities Trust, Series 2011-GC3, Class A3 (a)
4.473% 3/10/44 | | | 1,570,000 | | | | 1,574,835 | |
JP Morgan Chase Commercial Mortgage Securities Corp., Series 2011-C4, Class A2 (a)
3.341% 7/15/46 | | | 1,161,384 | | | | 1,162,740 | |
JP Morgan Chase Commercial Mortgage Securities Corp., Series 2010-C2, Class A2 (a)
3.616% 11/15/43 | | | 1,200,000 | | | | 1,226,175 | |
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2011-C3, Class A2 (a)
3.673% 2/15/46 | | | 185,982 | | | | 187,560 | |
JP Morgan Chase Commercial Mortgage Securities Trust, Series 2010-C1, Class A1 (a)
3.853% 6/15/43 | | | 42,182 | | | | 42,247 | |
Wells Fargo Commercial Mortgage Trust, Series 2010-C1, Class A2 (a)
4.393% 11/15/43 | | | 500,000 | | | | 533,710 | |
WF-RBS Commercial Mortgage Trust, Series 2011-C4, Class A4, VRN (a)
4.902% 6/15/44 | | | 800,000 | | | | 883,781 | |
| | | | | | | | |
| | | | | | | 6,795,558 | |
| | | | | | | | |
| Credit Card ABS — 0.5% | | | | | | | | |
Chase Issuance Trust, Series 2015-A6, Class A6, 1 mo. LIBOR + .250%, FRN
0.581% 5/15/19 | | | 865,000 | | | | 863,865 | |
Citibank Credit Card Issuance Trust, Series 2014-A3, Class A3,
1 mo. LIBOR + .200%, FRN
0.487% 5/09/18 | | | 865,000 | | | | 864,583 | |
| | | | | | | | |
| | | | | | | 1,728,448 | |
| | | | | | | | |
| Home Equity ABS — 1.4% | | | | | | | | |
Bear Stearns I Trust, Series 2006-HE1, Class 1M1, 1 mo. USD
LIBOR + .410%, FRN
0.832% 12/25/35 | | | 2,000,000 | | | | 1,925,731 | |
New Century Home Equity Loan Trust, Series 2005-2, Class M1, 1 mo. USD LIBOR + .430%, FRN
0.852% 6/25/35 | | | 1,291,675 | | | | 1,290,850 | |
Wells Fargo Home Equity Trust,
Series 2004-2, Class M3, 1 mo. USD LIBOR + 1.050%,
FRN 1.271% 10/25/34 | | | 1,958,072 | | | | 1,825,508 | |
| | | | | | | | |
| | | | | | | 5,042,089 | |
| | | | | | | | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| Other ABS — 2.8% | | | | | | | | |
Blue Hill CLO Ltd., Series 2013-1A, Class A, 3 mo. USD LIBOR + 1.480%, FRN (a)
1.801% 1/15/26 | | $ | 950,000 | | | $ | 935,668 | |
Cedar Funding CLO Ltd.,
Series 2014-3A, Class A1, 3 mo. USD LIBOR + 1.530%, FRN (a)
1.900% 5/20/26 | | | 1,175,000 | | | | 1,161,341 | |
Countrywide Asset-Backed Certificates, Series 2006-15, Class A3, VRN
5.049% 10/25/46 | | | 2,232,851 | | | | 2,097,704 | |
First Frankin Mortgage Loan Trust, Series 2005-FF7, Class M2, 1 mo. USD LIBOR + .470%, FRN
0.892% 7/25/35 | | | 1,006,274 | | | | 963,843 | |
Magnetite CLO Ltd., Series 2015-12A, Class A, 3 mo. USD LIBOR + 1.500%, FRN (a)
1.821% 4/15/27 | | | 1,060,000 | | | | 1,052,923 | |
RAMP Trust, Series 2005-RS2, Class M2, 1 mo. USD
LIBOR + .480%, FRN
0.902% 2/25/35 | | | 1,349,706 | | | | 1,345,186 | |
Saxon Asset Securities Trust, Series 2005-1, Class M1, 1 mo. USD LIBOR + .690%, FRN
1.112% 5/25/35 | | | 1,058,495 | | | | 1,017,494 | |
Voya CLO Ltd., Series 2015-1A, Class A1, 3 mo. USD
LIBOR + 1.480%, FRN (a)
1.795% 4/18/27 | | | 1,020,000 | | | | 1,008,782 | |
| | | | | | | | |
| | | | | | | 9,582,941 | |
| | | | | | | | |
| Student Loans ABS — 6.7% | | | | | | | | |
Access Group, Inc., Series 2015-1, Class A Series 2015-1, Class A, Series 2015-1, Class A1, 1 mo. LIBOR + .700%, FRN (a)
0.921% 7/25/56 | | | 1,277,764 | | | | 1,240,507 | |
Collegiate Funding Services Education Loan Trust, Series 2005-A, Class A4, 3 mo. LIBOR + .200%, FRN
0.803% 3/28/35 | | | 1,500,000 | | | | 1,389,072 | |
Nelnet Student Loan Trust,
Series 2015-1A, Class A, 1 mo. LIBOR + .590%, FRN (a)
0.811% 4/25/41 | | | 1,932,411 | | | | 1,876,207 | |
Nelnet Student Loan Trust,
Series 2015-3A, Class A2, 1 mo. LIBOR + .600%, FRN (a)
0.821% 2/26/46 | | | 2,075,000 | | | | 2,002,361 | |
The accompanying notes are an integral part of the financial statements.
128
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Pennsylvania Higher Education Assistance Agency, Series 2013-3A, Class A, 1 mo. LIBOR + .750%, FRN (a)
0.971% 11/25/42 | | $ | 1,806,993 | | | $ | 1,747,635 | |
SLC Student Loan Trust, Series 2006-2, Class A6, 3 mo. LIBOR + .160%, FRN
0.672% 9/15/39 | | | 2,300,000 | | | | 1,965,277 | |
SLC Student Loan Trust, Series 2005-2, Class B, 3 mo. LIBOR + .280%, FRN
0.792% 3/15/40 | | | 432,329 | | | | 367,454 | |
SLM Student Loan Trust,
Series 2007-1, Class A5, 3 mo. LIBOR + .090%, FRN
0.410% 1/26/26 | | | 2,140,000 | | | | 2,041,421 | |
SLM Student Loan Trust,
Series 2005-4, Class B, 3 mo.
LIBOR + .180%, FRN
0.500% 7/25/40 | | | 227,028 | | | | 190,957 | |
SLM Student Loan Trust,
Series 2005-9, Class B, 3 mo.
LIBOR + .300%, FRN
0.620% 1/25/41 | | | 220,419 | | | | 184,187 | |
SLM Student Loan Trust,
Series 2007-6, Class A4, 3 mo. LIBOR + .380%, FRN
0.700% 10/25/24 | | | 2,120,000 | | | | 2,012,651 | |
SLM Student Loan Trust,
Series 2012-1, Class A2, 1 mo. LIBOR + .450%, FRN
0.872% 11/25/20 | | | 1,186,343 | | | | 1,183,894 | |
SLM Student Loan Trust,
Series 2011-1, Class A1, 1 mo. LIBOR + .520%, FRN
0.942% 3/25/26 | | | 1,485,422 | | | | 1,467,047 | |
SLM Student Loan Trust,
Series 2012-2, Class A, 1 mo.
LIBOR + .700%, FRN
1.122% 1/25/29 | | | 1,764,324 | | | | 1,721,887 | |
SLM Student Loan Trust,
Series 2007-6, Class B, 3 mo.
LIBOR + .850%, FRN
1.170% 4/27/43 | | | 623,940 | | | | 519,730 | |
SLM Student Loan Trust,
Series 2007-8, Class B, 3 mo.
LIBOR + 1.000% , FRN
1.320% 4/27/43 | | | 215,084 | | | | 181,731 | |
SLM Student Loan Trust,
Series 2008-9, Class A, 3 mo.
LIBOR + 1.500% , FRN
1.820% 4/25/23 | | | 1,721,236 | | | | 1,721,821 | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
SLM Student Loan Trust,
Series 2008-5, Class B, 3 mo. LIBOR + 1.850% , FRN
2.170% 7/25/29 | | $ | 700,000 | | | $ | 646,089 | |
SLM Student Loan Trust,
Series 2008-9, Class B, 3 mo. LIBOR + 2.250% , FRN
2.570% 10/25/29 | | | 680,000 | | | | 635,072 | |
| | | | | | | | |
| | | | | | | 23,095,000 | |
| | | | | | | | |
| WL Collateral CMO — 7.1% | | | | | | | | |
Banc of America Funding Ltd.,
Series 2012-R5, Class A, 1 mo. LIBOR + .260%, FRN (a)
0.503% 10/03/39 | | | 444,507 | | | | 442,132 | |
Chase Mortgage Finance Corp.,
Series 2006-A1, Class 4A1, FRN
5.413% 9/25/36 | | | 60,392 | | | | 52,437 | |
Chase Mortgage Finance Trust,
Series 2007-A1, Class 11A4, FRN
2.464% 3/25/37 | | | 1,041,705 | | | | 927,956 | |
Citigroup Mortgage Loan Trust,
Series 2005-11, Class A2A, 1 year CMT + 2.400%, FRN
2.730% 10/25/35 | | | 1,472,525 | | | | 1,441,197 | |
First Horizon Mortgage Pass-Through Trust, Series 2005-AR5, Class 2A1, FRN
2.739% 11/25/35 | | | 1,800,891 | | | | 1,644,354 | |
GSR Mortgage Loan Trust,
Series 2005-AR6, Class 1A1, FRN
2.746% 9/25/35 | | | 375,807 | | | | 375,506 | |
Impac CMB Trust, Series 2005-1, Class 1A1, 1 mo. USD
LIBOR + .520%, FRN
0.942% 4/25/35 | | | 1,961,678 | | | | 1,740,734 | |
IndyMac Index Mortgage Loan Trust, Series 2006-AR27, Class 1A3, 1 mo. USD LIBOR + .270%, FRN
0.692% 10/25/36 | | | 2,935,806 | | | | 1,905,574 | |
IndyMac Index Mortgage Loan Trust, Series 2005-AR19, Class A1, FRN 2.843% 10/25/35 | | | 1,929,408 | | | | 1,583,039 | |
JP Morgan Alternative Loan Trust, Series 2005-A2, Class 1A1, 1 mo. USD LIBOR + .520%, FRN
0.741% 1/25/36 | | | 350,015 | | | | 314,167 | |
Morgan Stanley Resecuritization Trust, Series 2014-R9, Class 3A, 12 mo. MTA .840%, FRN (a)
1.083% 11/26/46 | | | 1,880,604 | | | | 1,818,809 | |
The accompanying notes are an integral part of the financial statements.
129
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Nomura Asset Acceptance Corp. Alternative Loan Trust,
Series 2005-AR1, Class M1, 1 mo. LIBOR + 1.070% , FRN
1.266% 2/25/35 | | $ | 3,200,000 | | | $ | 2,946,543 | |
Nomura Resecuritization Trust,
Series 2015-1R, Class 6A1, 1 mo. USD LIBOR + .210%, FRN (a)
0.417% 5/26/47 | | | 1,376,855 | | | | 1,335,381 | |
Opteum Mortgage Acceptance Corp., Series 2005-5, Class 1APT, 1 mo. USD LIBOR + .280%, FRN
0.501% 12/25/35 | | | 847,220 | | | | 731,580 | |
WaMu Mortgage Pass-Through Certificates, Series 2005-AR13, Class A1A1, 1 mo. USD
LIBOR + .290%, FRN
0.511% 10/25/45 | | | 1,651,061 | | | | 1,531,592 | |
Washington Mutual Mortgage Pass-Through Certificates, Series 2005-AR2, Class 2A21, 1 mo. USD LIBOR + .330%, FRN
0.551% 1/25/45 | | | 1,553,483 | | | | 1,425,197 | |
Washington Mutual Mortgage Pass-Through Certificates, Series 2006-1 Class 3A2
5.750% 2/25/36 | | | 1,922,960 | | | | 1,708,147 | |
Wells Fargo Mortgage Backed Securities Trust, Series 2006-AR8, Class 3A1, FRN
2.692% 4/25/36 | | | 1,862,942 | | | | 1,774,886 | |
Wells Fargo Mortgage Backed Securities Trust, Series 2006-AR10, Class 1A1, FRN
2.703% 7/25/36 | | | 436,198 | | | | 419,976 | |
Wells Fargo Mortgage Backed Securities Trust, Series 2004-DD, Class 2A6, FRN
2.807% 1/25/35 | | | 607,090 | | | | 604,235 | |
| | | | | | | | |
| | | | | | | 24,723,442 | |
| | | | | | | | |
| | |
TOTAL NON-U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $73,920,990) | | | | | | | 73,449,071 | |
| | | | | | | | |
|
U.S. GOVERNMENT AGENCY OBLIGATIONS AND
INSTRUMENTALITIES — 27.9% | |
| Collateralized Mortgage Obligations — 0.1% | |
Federal Home Loan Mortgage Corp. Multifamily Structured Pass Through Certificates, Series KS03, Class A4 3.161% 5/25/25 | | | 340,000 | | | | 342,313 | |
| | | | | | | | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
| Pass-Through Securities — 27.8% | |
Federal Home Loan Mortgage Corp. | | | | | | | | |
Pool #G18568 2.500%
9/01/30 | | $ | 1,954,349 | | | $ | 1,973,435 | |
Pool #G18565 3.000%
8/01/30 | | | 1,048,225 | | | | 1,081,391 | |
Pool #G08653 3.000%
7/01/45 | | | 1,775,400 | | | | 1,774,221 | |
Pool #G08680 3.000%
12/01/45 | | | 565,000 | | | | 564,448 | |
Pool #U99114 3.500%
2/01/44 | | | 2,141,099 | | | | 2,209,932 | |
Pool #G07848 3.500%
4/01/44 | | | 3,635,562 | | | | 3,767,209 | |
Pool #G07924 3.500%
1/01/45 | | | 3,775,363 | | | | 3,899,684 | |
Pool #G60023 3.500%
4/01/45 | | | 3,762,705 | | | | 3,896,016 | |
Pool #G08641 3.500%
5/01/45 | | | 3,596,413 | | | | 3,704,165 | |
Pool #G08650 3.500%
6/01/45 | | | 2,713,870 | | | | 2,795,180 | |
Pool #G60238 3.500%
10/01/45 | | | 1,005,640 | | | | 1,038,441 | |
Pool #G08671 3.500%
10/01/45 | | | 1,927,340 | | | | 1,985,084 | |
Pool #G08669 4.000%
9/01/45 | | | 1,618,221 | | | | 1,711,711 | |
Pool #G08672 4.000%
10/01/45 | | | 1,625,303 | | | | 1,719,202 | |
Pool #G08677 4.000%
11/01/45 | | | 1,610,539 | | | | 1,703,585 | |
Federal National Mortgage Association | | | | | | | | |
Pool #AM0359 2.310%
8/01/22 | | | 500,000 | | | | 492,132 | |
Pool #AM0992 2.340%
11/01/22 | | | 820,000 | | | | 805,097 | |
Pool #AM1402 2.420%
11/01/22 | | | 945,000 | | | | 933,193 | |
Pool #AM0827 2.600%
11/01/22 | | | 1,020,371 | | | | 1,025,945 | |
Pool #AM2808 2.700%
3/01/23 | | | 375,000 | | | | 376,760 | |
Pool #AL6829 2.966%
5/01/27 | | | 1,383,219 | | | | 1,362,052 | |
Pool #MA1607 3.000%
10/01/33 | | | 1,045,572 | | | | 1,071,670 | |
Pool #AB4262 3.500%
1/01/32 | | | 1,160,859 | | | | 1,214,141 | |
Pool #MA1512 3.500%
7/01/33 | | | 528,347 | | | | 551,937 | |
Pool #MA1148 3.500%
8/01/42 | | | 3,476,572 | | | | 3,588,339 | |
The accompanying notes are an integral part of the financial statements.
130
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Pool #469621 3.650%
11/01/21 | | $ | 1,628,383 | | | $ | 1,732,178 | |
Pool #AM4108 3.850%
8/01/25 | | | 386,712 | | | | 413,045 | |
Pool #AM4109 3.850%
8/01/25 | | | 430,218 | | | | 459,513 | |
Pool #466960 3.890%
12/01/20 | | | 1,164,144 | | | | 1,247,253 | |
Pool #466919 3.930%
1/01/21 | | | 1,498,462 | | | | 1,608,628 | |
Pool #AM4236 3.940%
8/01/25 | | | 639,658 | | | | 687,726 | |
Pool #468551 3.980%
7/01/21 | | | 1,230,000 | | | | 1,329,822 | |
Pool #AM5165 4.080%
1/01/29 | | | 662,047 | | | | 713,978 | |
Pool #931504 4.500%
7/01/39 | | | 161,364 | | | | 176,026 | |
Pool #986268 5.000%
7/01/38 | | | 2,160 | | | | 2,380 | |
Pool #AB0057 5.000%
4/01/39 | | | 1,605,279 | | | | 1,770,071 | |
Pool #AD6374 5.000%
5/01/40 | | | 60,937 | | | | 67,164 | |
Pool #AE6338 5.000%
11/01/40 | | | 70,996 | | | | 78,284 | |
Pool #AI2733 5.000%
5/01/41 | | | 493,527 | | | | 545,039 | |
Pool #977014 5.500%
5/01/38 | | | 68,970 | | | | 77,376 | |
Pool #985524 5.500%
6/01/38 | | | 55,739 | | | | 62,045 | |
Pool #988578 5.500%
8/01/38 | | | 478,210 | | | | 534,699 | |
Pool #995482 5.500%
1/01/39 | | | 312,406 | | | | 350,382 | |
Federal National Mortgage Association TBA | | | | | | | | |
Pool #3348 2.500%
3/01/28 (b) | | | 2,605,000 | | | | 2,625,759 | |
Pool #4241 3.000%
12/01/42 (b) | | | 5,230,000 | | | | 5,228,774 | |
Pool #1963 3.500%
7/01/43 (b) | | | 10,415,000 | | | | 10,742,910 | |
Pool #9174 4.000%
9/01/42 (b) | | | 2,260,000 | | | | 2,391,010 | |
Pool #18718 4.500%
5/01/40 (b) | | | 3,250,000 | | | | 3,510,000 | |
Government National Mortgage Association II | | | | | | | | |
Pool #MA3033 3.000%
8/20/45 | | | 3,356,876 | | | | 3,404,737 | |
| | | | | | | | |
| | | Principal
Amount | | | Value | |
Pool #MA2961 3.500%
7/20/45 | | $ | 1,798,853 | | | $ | 1,877,131 | |
Pool #MA3173 3.500%
10/20/45 | | | 1,203,904 | | | | 1,256,669 | |
Pool #MA3310 3.500%
12/20/45 | | | 315,000 | | | | 328,806 | |
Pool #MA3106 4.000%
9/20/45 | | | 2,316,442 | | | | 2,464,025 | |
Government National Mortgage Association II TBA | | | | | | | | |
Pool #207 3.500%
12/01/43 (b) | | | 3,950,000 | | | | 4,117,875 | |
Pool #872 4.500%
3/01/41 (b) | | | 1,000,000 | | | | 1,074,375 | |
| | | | | | | | |
| | | | | | | 96,122,650 | |
| | | | | | | | |
| | |
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS AND INSTRUMENTALITIES
(Cost $97,030,401) | | | | | | | 96,464,963 | |
| | | | | | | | |
|
| U.S. TREASURY OBLIGATIONS — 28.3% | |
| U.S. Treasury Bonds & Notes — 28.3% | |
U.S. Treasury Bond
3.000% 11/15/45 | | | 7,910,000 | | | | 7,891,616 | |
U.S. Treasury Inflation Index
0.125% 4/15/16 | | | 1,169,109 | | | | 1,164,558 | |
U.S. Treasury Inflation Index
0.125% 7/15/24 | | | 3,265,444 | | | | 3,101,281 | |
U.S. Treasury Inflation Index
0.250% 1/15/25 | | | 4,543,869 | | | | 4,337,087 | |
U.S. Treasury Inflation Index
0.750% 2/15/45 | | | 4,035,030 | | | | 3,518,986 | |
U.S. Treasury Inflation Index
1.375% 2/15/44 | | | 4,245,363 | | | | 4,320,540 | |
U.S. Treasury Inflation Index
2.500% 7/15/16 | | | 688,966 | | | | 700,063 | |
U.S. Treasury Note
0.750% 10/31/17 | | | 10,105,000 | | | | 10,050,528 | |
U.S. Treasury Note
0.750% 12/31/17 | | | 100,000 | | | | 99,320 | |
U.S. Treasury Note
0.875% 11/15/17 | | | 16,500,000 | | | | 16,443,522 | |
U.S. Treasury Note
1.000% 12/31/17 | | | 5,270,000 | | | | 5,263,412 | |
U.S. Treasury Note
1.375% 10/31/20 | | | 5,370,000 | | | | 5,275,448 | |
U.S. Treasury Note
1.625% 11/30/20 | | | 4,960,000 | | | | 4,930,841 | |
U.S. Treasury Note
1.750% 12/31/20 | | | 5,425,000 | | | | 5,420,762 | |
U.S. Treasury Note
2.125% 9/30/21 | | | 12,895,000 | | | | 13,030,247 | |
The accompanying notes are an integral part of the financial statements.
131
MML Total Return Bond Fund – Portfolio of Investments (Continued)
| | | | | | | | |
| | | Principal
Amount | | | Value | |
U.S. Treasury Note
2.250% 11/15/25 | | $ | 12,285,000 | | | $ | 12,257,886 | |
| | | | | | | | |
| | | | | | | 97,806,097 | |
| | | | | | | | |
| | |
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $99,269,003) | | | | | | | 97,806,097 | |
| | | | | | | | |
| | |
TOTAL BONDS & NOTES
(Cost $359,652,747) | | | | | | | 355,574,571 | |
| | | | | | | | |
| | |
TOTAL LONG-TERM INVESTMENTS
(Cost $359,652,747) | | | | | | | 355,574,571 | |
| | | | | | | | |
|
| SHORT-TERM INVESTMENTS — 6.2% | |
| Discount Notes — 1.2% | |
Federal Home Loan Bank Discount Note
0.010% 1/15/16 | | | 2,380,000 | | | | 2,379,890 | |
Federal Home Loan Mortgage Discount Note
0.010% 3/08/16 | | | 1,910,000 | | | | 1,908,982 | |
| | | | | | | | |
| | | | | | | 4,288,872 | |
| | | | | | | | |
| Repurchase Agreement — 0.4% | |
State Street Bank & Trust Co. Repurchase Agreement, dated 12/31/15,
0.010%, due 1/04/16 (c) | | | 1,444,482 | | | | 1,444,482 | |
| | | | | | | | |
| Time Deposits — 0.0% | | | | | | | | |
Euro Time Deposit
0.010% 1/04/16 | | | 7,633 | | | | 7,633 | |
| | | | | | | | |
| U.S. Treasury Bills — 4.6% | | | | | | | | |
U.S. Treasury Bill (d)
0.000% 1/07/16 | | | 110,000 | | | | 109,999 | |
U.S. Treasury Bill
0.000% 2/25/16 | | | 125,000 | | | | 124,985 | |
U.S. Treasury Bill
0.000% 3/03/16 | | | 2,330,000 | | | | 2,329,590 | |
U.S. Treasury Bill
0.000% 3/03/16 | | | 1,790,000 | | | | 1,789,685 | |
U.S. Treasury Bill
0.000% 4/07/16 | | | 2,140,000 | | | | 2,139,161 | |
U.S. Treasury Bill
0.000% 4/07/16 | | | 9,505,000 | | | | 9,501,275 | |
| | | | | | | | |
| | | | | | | 15,994,695 | |
| | | | | | | | |
| | | | | | |
| | | | | Value | |
TOTAL SHORT-TERM INVESTMENTS
(Cost $21,734,992) | | | | $ | 21,735,682 | |
| | | | | | |
| | |
TOTAL INVESTMENTS — 109.0%
(Cost $381,387,739) (e) | | | | | 377,310,253 | |
| | |
| Other Assets/(Liabilities) — (9.0)% | | | | | (31,221,302 | ) |
| | | | | | |
| | |
| NET ASSETS — 100.0% | | | | $ | 346,088,951 | |
| | | | | | |
Notes to Portfolio of Investments
Percentages are stated as a percent of net assets.
| CLO | Collateralized Loan Obligation |
| CMO | Collateralized Mortgage Obligation |
| CMT | Constant Maturity Treasury Index |
| MBS | Mortgage-Backed Security |
| MTA | Monthly Treasury Average Index |
| (a) | Securities 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 December 31, 2015, these securities amounted to a value of $37,524,498 or 10.84% of net assets. |
| (b) | A portion of this security is purchased on a when-issued, delayed-delivery or forward commitment basis. (Note 2). |
| (c) | Maturity value of $1,444,484. Collateralized by U.S. Government Agency obligations with a rate of 2.120%, maturity date of 11/07/22, and an aggregate market value, including accrued interest, of $1,475,005. |
| (d) | A portion of this security is held as collateral for open futures contracts. (Note 2). |
| (e) | See Note 6 for aggregate cost for federal tax purposes. |
The accompanying notes are an integral part of the financial statements.
132
THIS PAGE INTENTIONALLY LEFT BLANK
133
MML Series Investment Fund – Financial Statements
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Blue Chip
Growth Fund | | | MML
Equity
Income Fund | |
| Assets: | | | | | | | | |
Investments, at value (Note 2) (a) | | $ | 431,125,423 | | | $ | 464,343,637 | |
Repurchase agreements, at value (b) | | | 886,244 | | | | 8,266,498 | |
Other short-term investments, at value (Note 2) (c) | | | - | | |
| 49,852
|
|
| | | | | | | | |
Total investments (d) | | | 432,011,667 | | | | 472,659,987 | |
| | | | | | | | |
Foreign currency, at value (e) | | | 3,448 | | | | 8 | |
Receivables from: | | | | | | | | |
Investments sold | | | 671,512 | | | | 1,999,794 | |
Fund shares sold | | | 77,534 | | | | 632,560 | |
Interest and dividends | | | 203,162 | | | | 905,094 | |
Foreign taxes withheld | | | 1,382 | | | | - | |
| | | | | | | | |
Total assets | | | 432,968,705 | | | | 476,197,443 | |
| | | | | | | | |
| Liabilities: | | | | | | | | |
Payables for: | | | | | | | | |
Investments purchased | | | 255,117 | | | | 366,806 | |
Fund shares repurchased | | | 1,145,752 | | | | 2,748,735 | |
Securities on loan (Note 2) | | | - | | | | - | |
Trustees’ fees and expenses (Note 3) | | | 72,441 | | | | 116,600 | |
Variation margin on open derivative instruments (Note 2) | | | - | | | | - | |
Affiliates (Note 3): | | | | | | | | |
Investment advisory fees | | | 274,381 | | | | 304,560 | |
Administration fees | | | - | | | | - | |
Service fees | | | 25,641 | | | | 39,943 | |
Accrued expense and other liabilities | | | 55,264 | | | | 60,044 | |
| | | | | | | | |
Total liabilities | | | 1,828,596 | | | | 3,636,688 | |
| | | | | | | | |
Net assets | | $ | 431,140,109 | | | $ | 472,560,755 | |
| | | | | | | | |
| Net assets consist of: | | | | | | | | |
Paid-in capital | | $ | 237,232,610 | | | $ | 346,979,343 | |
Undistributed (accumulated) net investment income (loss) | | | (69,942 | ) | | | 9,649,862 | |
Accumulated net realized gain (loss) on investments and foreign currency transactions | | | 48,592,857 | | | | 43,648,183 | |
Net unrealized appreciation (depreciation) on investments and foreign currency translations | | | 145,384,584 | | | | 72,283,367 | |
| | | | | | | | |
Net assets | | $ | 431,140,109 | | | $ | 472,560,755 | |
| | | | | | | | |
| | | | | | | | |
(a) Cost of investments: | | $ | 285,740,860 | | | $ | 392,057,359 | |
(b) Cost of repurchase agreements: | | $ | 886,244 | | | $ | 8,266,498 | |
(c) Cost of other short-term investments: | | $ | - | | | $ | 49,852 | |
(d) Securities on loan with market value of: | | $ | - | | | $ | - | |
(e) Cost of foreign currency: | | $ | 3,357 | | | $ | 8 | |
The accompanying notes are an integral part of the financial statements.
134
| | | | | | | | | | | | | | | | | | |
MML
Equity
Index Fund | | | MML
Focused
Equity Fund | | | MML
Foreign
Fund | | | MML
Fundamental
Growth Fund | | | MML
Fundamental
Value Fund | |
| | | | | | | | | | | | | | | | | | |
| $ | 448,254,236 | | | $ | 138,592,401 | | | $ | 365,601,521 | | | $ | 184,106,131 | | | $ | 219,935,332 | |
| | 1,913,784 | | | | 15,870,322 | | | | 12,373,678 | | | | 2,257,151 | | | | 5,937,899 | |
| | 609,998 | | | | - | | | | - | | | | - | | | | 9,788 | |
| | | | | | | | | | | | | | | | | | |
| | 450,778,018 | | | | 154,462,723 | | | | 377,975,199 | | | | 186,363,282 | | | | 225,883,019 | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | 6 | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | 141,278 | | | | - | | | | 310,675 | | | | 70,894 | |
| | 463,371 | | | | 38,695 | | | | 2,294,158 | | | | 76,787 | | | | 51,133 | |
| | 600,715 | | | | 32,204 | | | | 522,228 | | | | 96,366 | | | | 305,639 | |
| | - | | | | - | | | | 342,163 | | | | 4,045 | | | | 37,679 | |
| | | | | | | | | | | | | | | | | | |
| | 451,842,104 | | | | 154,674,900 | | | | 381,133,754 | | | | 186,851,155 | | | | 226,348,364 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | 58,678 | | | | - | | | | - | | | | 560,171 | | | | 1,191,698 | |
| | 607,568 | | | | 47,121 | | | | 26,394 | | | | 52,249 | | | | 76,679 | |
| | - | | | | - | | | | 22,186,164 | | | | - | | | | - | |
| | 151,144 | | | | 18,405 | | | | 82,817 | | | | 24,196 | | | | 28,843 | |
| | 28,800 | | | | - | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 38,497 | | | | 92,969 | | | | 272,917 | | | | 98,580 | | | | 115,098 | |
| | 50,211 | | | | 19,922 | | | | - | | | | 23,850 | | | | 28,775 | |
| | 24,569 | | | | 4,347 | | | | 7,360 | | | | 1,796 | | | | 4,423 | |
| | 53,457 | | | | 32,548 | | | | 89,551 | | | | 41,187 | | | | 37,356 | |
| | | | | | | | | | | | | | | | | | |
| | 1,012,924 | | | | 215,312 | | | | 22,665,203 | | | | 802,029 | | | | 1,482,872 | |
| | | | | | | | | | | | | | | | | | |
| $ | 450,829,180 | | | $ | 154,459,588 | | | $ | 358,468,551 | | | $ | 186,049,126 | | | $ | 224,865,492 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 251,604,556 | | | $ | 126,398,759 | | | $ | 367,046,330 | | | $ | 132,353,262 | | | $ | 163,793,401 | |
| | 7,900,197 | | | | 2,287,193 | | | | 6,846,380 | | | | 1,213,633 | | | | 3,401,647 | |
| | 3,530,454 | | | | 9,986,109 | | | | (10,030,461 | ) | | | 20,695,532 | | | | 16,994,937 | |
| | 187,793,973 | | | | 15,787,527 | | | | (5,393,698 | ) | | | 31,786,699 | | | | 40,675,507 | |
| | | | | | | | | | | | | | | | | | |
| $ | 450,829,180 | | | $ | 154,459,588 | | | $ | 358,468,551 | | | $ | 186,049,126 | | | $ | 224,865,492 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 260,463,329 | | | $ | 122,804,874 | | | $ | 370,957,170 | | | $ | 152,319,432 | | | $ | 179,256,975 | |
| $ | 1,913,784 | | | $ | 15,870,322 | | | $ | 12,373,678 | | | $ | 2,257,151 | | | $ | 5,937,899 | |
| $ | 610,181 | | | $ | - | | | $ | - | | | $ | - | | | $ | 9,788 | |
| $ | - | | | $ | - | | | $ | 21,427,551 | | | $ | - | | | $ | - | |
| $ | - | | | $ | - | | | $ | 6 | | | $ | - | | | $ | - | |
135
MML Series Investment Fund – Financial Statements (Continued)
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Blue Chip
Growth Fund | | | MML
Equity
Income Fund | |
| Initial Class shares: | | | | | | | | |
Net assets | | $ | 388,654,355 | | | $ | 409,297,762 | |
| | | | | | | | |
Shares outstanding (a) | | | 24,618,792 | | | | 36,260,538 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 15.79 | | | $ | 11.29 | |
| | | | | | | | |
| Class I shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| Class II shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| Class III shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| Service Class shares: | | | | | | | | |
Net assets | | $ | 42,485,754 | | | $ | 63,262,993 | |
| | | | | | | | |
Shares outstanding (a) | | | 2,745,566 | | | | 5,649,555 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 15.47 | | | $ | 11.20 | |
| | | | | | | | |
| Service Class I shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| (a) | Authorized unlimited number of shares with no par value. |
The accompanying notes are an integral part of the financial statements.
136
| | | | | | | | | | | | | | | | | | |
MML
Equity
Index Fund | | | MML
Focused
Equity Fund | | | MML
Foreign
Fund | | | MML
Fundamental
Growth Fund | | | MML
Fundamental
Value Fund | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | 347,072,319 | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | 36,587,173 | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | 9.49 | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 74,631,425 | | | $ | - | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | 3,013,940 | | | | - | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | 24.76 | | | $ | - | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 164,515,218 | | | $ | 147,436,422 | | | $ | - | | | $ | 183,094,390 | | | $ | 217,108,609 | |
| | | | | | | | | | | | | | | | | | |
| | 6,634,985 | | | | 12,138,506 | | | | - | | | | 14,617,680 | | | | 15,290,680 | |
| | | | | | | | | | | | | | | | | | |
| $ | 24.80 | | | $ | 12.15 | | | $ | - | | | $ | 12.53 | | | $ | 14.20 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 172,991,753 | | | $ | - | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | 6,982,458 | | | | - | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | 24.78 | | | $ | - | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | 11,396,232 | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | 1,208,737 | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | 9.43 | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 38,690,784 | | | $ | 7,023,166 | | | $ | - | | | $ | 2,954,736 | | | $ | 7,756,883 | |
| | | | | | | | | | | | | | | | | | |
| | 1,601,190 | | | | 582,467 | | | | - | | | | 238,107 | | | | 551,919 | |
| | | | | | | | | | | | | | | | | | |
| $ | 24.16 | | | $ | 12.06 | | | $ | - | | | $ | 12.41 | | | $ | 14.05 | |
| | | | | | | | | | | | | | | | | | |
137
MML Series Investment Fund – Financial Statements (Continued)
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Global Fund | | | MML
Growth &
Income Fund | |
| Assets: | | | | | | | | |
Investments, at value (Note 2) (a) | | $ | 250,643,772 | | | $ | 124,893,111 | |
Repurchase agreements, at value (b) | | | 3,229,450 | | | | 685,695 | |
Other short-term investments, at value (Note 2) (c) | | | 16,949 | | | | 6,186 | |
| | | | | | | | |
Total investments (d) | | | 253,890,171 | | | | 125,584,992 | |
| | | | | | | | |
Foreign currency, at value (e) | | | 7,895 | | | | 21 | |
Receivables from: | | | | | | | | |
Investments sold | | | 153 | | | | - | |
Open forward foreign currency contracts (Note 2) | | | - | | | | - | |
Investment adviser (Note 3) | | | - | | | | - | |
Fund shares sold | | | 78,783 | | | | 1,444 | |
Interest and dividends | | | 239,206 | | | | 117,183 | |
Foreign taxes withheld | | | 188,741 | | | | - | |
| | | | | | | | |
Total assets | | | 254,404,949 | | | | 125,703,640 | |
| | | | | | | | |
| Liabilities: | | | | | | | | |
Payables for: | | | | | | | | |
Investments purchased | | | 32 | | | | - | |
Written options outstanding, at value (Note 2) (f) | | | - | | | | - | |
Fund shares repurchased | | | 67,387 | | | | 187,644 | |
Securities on loan (Note 2) | | | 2,755,916 | | | | - | |
Trustees’ fees and expenses (Note 3) | | | 30,436 | | | | 42,930 | |
Affiliates (Note 3): | | | | | | | | |
Investment advisory fees | | | 128,938 | | | | 53,690 | |
Administration fees | | | 32,235 | | | | - | |
Service fees | | | 6,554 | | | | 11,820 | |
Accrued expense and other liabilities | | | 53,956 | | | | 32,793 | |
| | | | | | | | |
Total liabilities | | | 3,075,454 | | | | 328,877 | |
| | | | | | | | |
Net assets | | $ | 251,329,495 | | | $ | 125,374,763 | |
| | | | | | | | |
| Net assets consist of: | | | | | | | | |
Paid-in capital | | $ | 194,888,442 | | | $ | 112,206,841 | |
Undistributed (accumulated) net investment income (loss) | | | 2,874,790 | | | | 1,261,906 | |
Accumulated net realized gain (loss) on investments and foreign currency transactions | | | 19,555,215 | | | | (19,327,155 | ) |
Net unrealized appreciation (depreciation) on investments and foreign currency translations | | | 34,011,048 | | | | 31,233,171 | |
| | | | | | | | |
Net assets | | $ | 251,329,495 | | | $ | 125,374,763 | |
| �� | | | | | | | |
| | | | | | | | |
(a) Cost of investments: | | $ | 216,617,010 | | | $ | 93,659,940 | |
(b) Cost of repurchase agreements: | | $ | 3,229,450 | | | $ | 685,695 | |
(c) Cost of other short-term investments: | | $ | 16,949 | | | $ | 6,186 | |
(d) Securities on loan with market value of: | | $ | 2,698,231 | | | $ | - | |
(e) Cost of foreign currency: | | $ | 8,075 | | | $ | 21 | |
(f) Premiums on written options: | | $ | - | | | $ | - | |
The accompanying notes are an integral part of the financial statements.
138
| | | | | | | | | | | | | | | | | | |
MML
Income &
Growth Fund | | | MML
International
Equity Fund | | | MML
Large Cap
Growth Fund | | | MML
Managed
Volatility Fund | | | MML
Mid Cap
Growth Fund | |
| | | | | | | | | | | | | | | | | | |
| $ | 230,711,107 | | | $ | 165,161,603 | | | $ | 215,059,840 | | | $ | 193,265,179 | | | $ | 451,015,108 | |
| | 7,921,616 | | | | 5,488,192 | | | | 8,472,833 | | | | 4,601,734 | | | | 18,076,168 | |
| | - | | | | - | | | | 13,004 | | | | 2,316 | | | | 12,547 | |
| | | | | | | | | | | | | | | | | | |
| | 238,632,723 | | | | 170,649,795 | | | | 223,545,677 | | | | 197,869,229 | | | | 469,103,823 | |
| | | | | | | | | | | | | | | | | | |
| | 1,549 | | | | 178 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 362,905 | | | | - | | | | 2,402,178 | | | | - | | | | - | |
| | - | | | | 203,703 | | | | - | | | | - | | | | - | |
| | - | | | | 21,050 | | | | - | | | | - | | | | - | |
| | 45,156 | | | | 24,803 | | | | 68,889 | | | | 430,787 | | | | 69,837 | |
| | 385,185 | | | | 143,410 | | | | 174,135 | | | | 257,329 | | | | 151,194 | |
| | 6,975 | | | | 263,470 | | | | 12,695 | | | | 1,257 | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 239,434,493 | | | | 171,306,409 | | | | 226,203,574 | | | | 198,558,602 | | | | 469,324,854 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | 341,931 | | | | 352,349 | | | | 8,092,583 | | | | - | | | | 174,353 | |
| | - | | | | - | | | | - | | | | 2,388,480 | | | | - | |
| | 195,913 | | | | 25,124 | | | | 113,496 | | | | 350,216 | | | | 1,304,067 | |
| | - | | | | 5,107,161 | | | | - | | | | - | | | | 25,109,498 | |
| | 43,785 | | | | 7,641 | | | | 36,640 | | | | 76,644 | | | | 83,642 | |
| | | | | | | | | | | | | | | | | | |
| | 132,464 | | | | 113,742 | | | | 120,916 | | | | 124,754 | | | | 290,458 | |
| | - | | | | 21,326 | | | | - | | | | - | | | | - | |
| | 10,483 | | | | 837 | | | | 2,044 | | | | 20,932 | | | | 41,955 | |
| | 40,789 | | | | 82,101 | | | | 37,910 | | | | 84,735 | | | | 56,874 | |
| | | | | | | | | | | | | | | | | | |
| | 765,365 | | | | 5,710,281 | | | | 8,403,589 | | | | 3,045,761 | | | | 27,060,847 | |
| | | | | | | | | | | | | | | | | | |
| $ | 238,669,128 | | | $ | 165,596,128 | | | $ | 217,799,985 | | | $ | 195,512,841 | | | $ | 442,264,007 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 174,788,877 | | | $ | 186,480,865 | | | $ | 163,993,221 | | | $ | 137,155,292 | | | $ | 263,655,494 | |
| | 4,517,405 | | | | 3,017,091 | | | | 195,662 | | | | 2,763,852 | | | | (682,055 | ) |
| | 22,376,511 | | | | (551,866 | ) | | | 16,173,859 | | | | 33,577,741 | | | | 56,241,831 | |
| | 36,986,335 | | | | (23,349,962 | ) | | | 37,437,243 | | | | 22,015,956 | | | | 123,048,737 | |
| | | | | | | | | | | | | | | | | | |
| $ | 238,669,128 | | | $ | 165,596,128 | | | $ | 217,799,985 | | | $ | 195,512,841 | | | $ | 442,264,007 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 193,724,700 | | | $ | 188,677,141 | | | $ | 177,622,597 | | | $ | 173,635,573 | | | $ | 327,966,372 | |
| $ | 7,921,616 | | | $ | 5,488,192 | | | $ | 8,472,833 | | | $ | 4,601,734 | | | $ | 18,076,168 | |
| $ | - | | | $ | - | | | $ | 13,004 | | | $ | 2,316 | | | $ | 12,547 | |
| $ | - | | | $ | 4,904,742 | | | $ | - | | | $ | - | | | $ | 24,561,189 | |
| $ | 1,556 | | | $ | 178 | | | $ | - | | | $ | - | | | $ | - | |
| $ | - | | | $ | - | | | $ | - | | | $ | 4,774,926 | | | $ | - | |
139
MML Series Investment Fund – Financial Statements (Continued)
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Global Fund | | | MML
Growth &
Income Fund | |
| Initial Class shares: | | | | | | | | |
Net assets | | $ | - | | | $ | 106,578,014 | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | 8,088,256 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | 13.18 | |
| | | | | | | | |
| Class I shares: | | | | | | | | |
Net assets | | $ | 224,807,737 | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | 19,156,601 | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 11.74 | | | $ | - | |
| | | | | | | | |
| Class II shares: | | | | | | | | |
Net assets | | $ | 15,876,186 | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | 1,330,867 | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 11.93 | | | $ | - | |
| | | | | | | | |
| Service Class shares: | | | | | | | | |
Net assets | | $ | - | | | $ | 18,796,749 | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | 1,434,898 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | 13.10 | |
| | | | | | | | |
| Service Class I shares: | | | | | | | | |
Net assets | | $ | 10,645,572 | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | 914,168 | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 11.65 | | | $ | - | |
| | | | | | | | |
| (a) | Authorized unlimited number of shares with no par value. |
The accompanying notes are an integral part of the financial statements.
140
| | | | | | | | | | | | | | | | | | |
MML
Income &
Growth Fund | | | MML
International
Equity Fund | | | MML
Large Cap
Growth Fund | | | MML
Managed
Volatility Fund | | | MML
Mid Cap
Growth Fund | |
| | | | | | | | | | | | | | | | | | |
| $ | 221,763,168 | | | $ | - | | | $ | 214,298,900 | | | $ | 162,332,407 | | | $ | 375,328,084 | |
| | | | | | | | | | | | | | | | | | |
| | 19,535,185 | | | | - | | | | 18,322,750 | | | | 11,374,624 | | | | 24,210,171 | |
| | | | | | | | | | | | | | | | | | |
| $ | 11.35 | | | $ | - | | | $ | 11.70 | | | $ | 14.27 | | | $ | 15.50 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | 164,083,111 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | 18,624,986 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | 8.81 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 16,905,960 | | | $ | - | | | $ | 3,501,085 | | | $ | 33,180,434 | | | $ | 66,935,923 | |
| | | | | | | | | | | | | | | | | | |
| | 1,502,200 | | | | - | | | | 304,913 | | | | 2,340,508 | | | | 4,415,152 | |
| | | | | | | | | | | | | | | | | | |
| $ | 11.25 | | | $ | - | | | $ | 11.48 | | | $ | 14.18 | | | $ | 15.16 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | 1,513,017 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | 172,310 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| $ | - | | | $ | 8.78 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | |
141
MML Series Investment Fund – Financial Statements (Continued)
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Mid Cap
Value Fund | | | MML
Small Cap
Growth
Equity Fund | |
| Assets: | | | | | | | | |
Investments, at value (Note 2) (a) | | $ | 450,448,854 | | | $ | 216,134,415 | |
Repurchase agreements, at value (b) | | | 11,061,803 | | | | 6,151,386 | |
Other short-term investments, at value (Note 2) (c) | | | - | | | | 5,950 | |
| | | | | | | | |
Total investments (d) | | | 461,510,657 | | | | 222,291,751 | |
| | | | | | | | |
Foreign currency, at value (e) | | | - | | | | 5 | |
Receivables from: | | | | | | | | |
Investments sold | | | 716,285 | | | | 480,916 | |
Investments sold on a when-issued basis (Note 2) | | | - | | | | - | |
Open forward foreign currency contracts (Note 2) | | | 34,027 | | | | - | |
Investment adviser (Note 3) | | | - | | | | - | |
Fund shares sold | | | 40,811 | | | | 2,108,128 | |
Variation margin on open derivative instruments (Note 2) | | | - | | | | - | |
Interest and dividends | | | 985,662 | | | | 174,840 | |
Foreign taxes withheld | | | 1,461 | | | | - | |
| | | | | | | | |
Total assets | | | 463,288,903 | | | | 225,055,640 | |
| | | | | | | | |
| Liabilities: | | | | | | | | |
Payables for: | | | | | | | | |
Investments purchased | | | 538,789 | | | | 471,179 | |
Open forward foreign currency contracts (Note 2) | | | 64,070 | | | | - | |
Fund shares repurchased | | | 1,295,763 | | | | 18,380 | |
Investments purchased on a when-issued basis (Note 2) | | | - | | | | - | |
Securities on loan (Note 2) | | | - | | | | 17,995,978 | |
Investment advisory fees | | | - | | | | - | |
Trustees’ fees and expenses (Note 3) | | | 104,221 | | | | 73,016 | |
Affiliates (Note 3): | | | | | | | | |
Investment advisory fees | | | 332,069 | | | | 182,340 | |
Administration fees | | | - | | | | - | |
Service fees | | | 20,766 | | | | 7,047 | |
Due to custodian | | | - | | | | 73 | |
Accrued expense and other liabilities | | | 63,565 | | | | 43,833 | |
| | | | | | | | |
Total liabilities | | | 2,419,243 | | | | 18,791,846 | |
| | | | | | | | |
Net assets | | $ | 460,869,660 | | | $ | 206,263,794 | |
| | | | | | | | |
| Net assets consist of: | | | | | | | | |
Paid-in capital | | $ | 408,445,232 | | | $ | 169,593,196 | |
Undistributed (accumulated) net investment income (loss) | | | 8,320,913 | | | | (71,739 | ) |
Accumulated net realized gain (loss) on investments and foreign currency transactions | | | 40,875,941 | | | | 32,740,405 | |
Net unrealized appreciation (depreciation) on investments and foreign currency translations | | | 3,227,574 | | | | 4,001,932 | |
| | | | | | | | |
Net assets | | $ | 460,869,660 | | | $ | 206,263,794 | |
| | | | | | | | |
| | | | | | | | |
(a) Cost of investments: | | $ | 447,190,472 | | | $ | 212,131,988 | |
(b) Cost of repurchase agreements: | | $ | 11,061,803 | | | $ | 6,151,386 | |
(c) Cost of other short-term investments: | | $ | - | | | $ | 5,950 | |
(d) Securities on loan with market value of: | | $ | - | | | $ | 17,566,369 | |
(e) Cost of foreign currency: | | $ | - | | | $ | 5 | |
The accompanying notes are an integral part of the financial statements.
142
| | | | | | | | | | |
MML
Small
Company
Value Fund | | | MML
Small/Mid
Cap Value
Fund | | | MML
Total Return
Bond Fund | |
| | | | | | | | | | |
| $ | 99,736,150 | | | $ | 209,425,640 | | | $ | 355,574,571 | |
| | 2,440,513 | | | | 1,551,792 | | | | 1,444,482 | |
| | - | | | | 1,250 | | | | 20,291,200 | |
| | | | | | | | | | |
| | 102,176,663 | | | | 210,978,682 | | | | 377,310,253 | |
| | | | | | | | | | |
| | - | | | | - | | | | - | |
| | | | | | | | | | |
| | 240,197 | | | | 363,952 | | | | - | |
| | - | | | | - | | | | 2,794,674 | |
| | - | | | | - | | | | - | |
| | 1 | | | | - | | | | - | |
| | 77,127 | | | | 1,879,323 | | | | 81,638 | |
| | - | | | | - | | | | 13,926 | |
| | 157,592 | | | | 244,729 | | | | 1,401,604 | |
| | - | | | | - | | | | - | |
| | | | | | | | | | |
| | 102,651,580 | | | | 213,466,686 | | | | 381,602,095 | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | 397,844 | | | | - | | | | 2,600,334 | |
| | - | | | | - | | | | - | |
| | 19,644 | | | | 14,818 | | | | 85,890 | |
| | - | | | | - | | | | 32,523,160 | |
| | 3,199,810 | | | | - | | | | - | |
| | - | | | | - | | | | 11,672 | |
| | 18,516 | | | | 50,524 | | | | 48,514 | |
| | | | | | | | | | |
| | 68,570 | | | | 136,689 | | | | 132,556 | |
| | 12,856 | | | | - | | | | 44,185 | |
| | 6,946 | | | | 10,070 | | | | 10,405 | |
| | - | | | | - | | | | - | |
| | 29,920 | | | | 38,571 | | | | 56,428 | |
| | | | | | | | | | |
| | 3,754,106 | | | | 250,672 | | | | 35,513,144 | |
| | | | | | | | | | |
| $ | 98,897,474 | | | $ | 213,216,014 | | | $ | 346,088,951 | |
| | | | | | | | | | |
| | | | | | | | | | |
| $ | 72,907,032 | | | $ | 193,323,143 | | | $ | 345,271,142 | |
| | 604,429 | | | | 1,171,178 | | | | 6,160,640 | |
| | 13,043,834 | | | | 13,966,975 | | | | (1,238,333 | ) |
| | 12,342,179 | | | | 4,754,718 | | | | (4,104,498 | ) |
| | | | | | | | | | |
| $ | 98,897,474 | | | $ | 213,216,014 | | | $ | 346,088,951 | |
| | | | | | | | | | |
| | | | | | | | | | |
| $ | 87,393,971 | | | $ | 204,670,922 | | | $ | 359,652,747 | |
| $ | 2,440,513 | | | $ | 1,551,792 | | | $ | 1,444,482 | |
| $ | - | | | $ | 1,250 | | | $ | 20,290,510 | |
| $ | 3,121,690 | | | $ | - | | | $ | - | |
| $ | - | | | $ | - | | | $ | - | |
143
MML Series Investment Fund – Financial Statements (Continued)
Statements of Assets and Liabilities
December 31, 2015
| | | | | | | | |
| | | MML
Mid Cap
Value Fund | | | MML
Small Cap
Growth
Equity Fund | |
| Initial Class shares: | | | | | | | | |
Net assets | | $ | 427,919,995 | | | $ | 194,888,801 | |
| | | | | | | | |
Shares outstanding (a) | | | 39,830,679 | | | | 14,427,576 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 10.74 | | | $ | 13.51 | |
| | | | | | | | |
| Class II shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| Service Class shares: | | | | | | | | |
Net assets | | $ | 32,949,665 | | | $ | 11,374,993 | |
| | | | | | | | |
Shares outstanding (a) | | | 3,103,954 | | | | 871,502 | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | 10.62 | | | $ | 13.05 | |
| | | | | | | | |
| Service ClassI shares: | | | | | | | | |
Net assets | | $ | - | | | $ | - | |
| | | | | | | | |
Shares outstanding (a) | | | - | | | | - | |
| | | | | | | | |
Net asset value, offering price and redemption price per share | | $ | - | | | $ | - | |
| | | | | | | | |
| (a) | Authorized unlimited number of shares with no par value. |
The accompanying notes are an integral part of the financial statements.
144
| | | | | | | | | | |
MML
Small
Company
Value Fund | | | MML
Small/Mid
Cap Value
Fund | | | MML
Total Return
Bond Fund | |
| | | | | | | | | | |
| $ | - | | | $ | 197,296,974 | | | $ | - | |
| | | | | | | | | | |
| | - | | | | 17,403,672 | | | | - | |
| | | | | | | | | | |
| $ | - | | | $ | 11.34 | | | $ | - | |
| | | | | | | | | | |
| | | | | | | | | | |
| $ | 88,068,058 | | | $ | - | | | $ | 328,928,289 | |
| | | | | | | | | | |
| | 5,919,457 | | | | - | | | | 32,280,949 | |
| | | | | | | | | | |
| $ | 14.88 | | | $ | - | | | $ | 10.19 | |
| | | | | | | | | | |
| | | | | | | | | | |
| $ | - | | | $ | 15,919,040 | | | $ | - | |
| | | | | | | | | | |
| | - | | | | 1,415,433 | | | | - | |
| | | | | | | | | | |
| $ | - | | | $ | 11.25 | | | $ | - | |
| | | | | | | | | | |
| | | | | | | | | | |
| $ | 10,829,416 | | | $ | - | | | $ | 17,160,662 | |
| | | | | | | | | | |
| | 742,571 | | | | - | | | | 1,696,775 | |
| | | | | | | | | | |
| $ | 14.58 | | | $ | - | | | $ | 10.11 | |
| | | | | | | | | | |
145
MML Series Investment Fund – Financial Statements (Continued)
Statements of Operations
For the Year Ended December 31, 2015
| | | | | | | | |
| | | MML
Blue Chip
Growth Fund | | | MML
Equity
Income Fund | |
| Investment income (Note 2): | | | | | | | | |
Dividends (a) | | $ | 3,123,526 | | | $ | 13,905,781 | |
Interest | | | 176 | | | | 4,632 | |
Securities lending net income | | | - | | | | - | |
| | | | | | | | |
Total investment income | | | 3,123,702 | | | | 13,910,413 | |
| | | | | | | | |
| Expenses (Note 3): | | | | | | | | |
Investment advisory fees | | | 3,212,579 | | | | 3,804,357 | |
Custody fees | | | 54,119 | | | | 50,640 | |
Audit fees | | | 34,643 | | | | 34,084 | |
Legal fees | | | 3,730 | | | | 4,359 | |
Proxy fees | | | 1,033 | | | | 1,033 | |
Shareholder reporting fees | | | 49,092 | | | | 53,148 | |
Trustees’ fees | | | 26,200 | | | | 31,407 | |
| | | | | | | | |
| | | 3,381,396 | | | | 3,979,028 | |
Administration fees: | | | | | | | | |
Class I | | | - | | | | - | |
Class II | | | - | | | | - | |
Class III | | | - | | | | - | |
Service Class I | | | - | | | | - | |
Service fees: | | | | | | | | |
Service Class | | | 91,374 | | | | 157,683 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total expenses | | | 3,472,770 | | | | 4,136,711 | |
Expenses waived (Note 3): | | | | | | | | |
Class II administrative fees waived | | | - | | | | - | |
Class III administrative fees waived | | | - | | | | - | |
| | | | | | | | |
Net expenses | | | 3,472,770 | | | | 4,136,711 | |
| | | | | | | | |
Net investment income (loss) | | | (349,068 | ) | | | 9,773,702 | |
| | | | | | | | |
| Realized and unrealized gain (loss): | | | | | | | | |
Net realized gain (loss) on: | | | | | | | | |
Investment transactions | | | 50,460,781 | | | | 48,050,464 | |
Futures contracts | | | - | | | | - | |
Foreign currency transactions | | | (5,240 | ) | | | (6,761 | ) |
| | | | | | | | |
Net realized gain (loss) | | | 50,455,541 | | | | 48,043,703 | |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) on: | | | | | | | | |
Investment transactions | | | (4,300,500 | ) | | | (93,039,893 | ) |
Futures contracts | | | - | | | | - | |
Translation of assets and liabilities in foreign currencies | | | (469 | ) | | | (2,210 | ) |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) | | | (4,300,969 | ) | | | (93,042,103 | ) |
| | | | | | | | |
Net realized gain (loss) and change in unrealized appreciation (depreciation) | | | 46,154,572 | | | | (44,998,400 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | $ | 45,805,504 | | | $ | (35,224,698 | ) |
| | | | | | | | |
| | | | | | | | |
(a) Net of foreign withholding tax of: | | $ | 1,685 | | | $ | 122,142 | |
The accompanying notes are an integral part of the financial statements.
146
| | | | | | | | | | | | | | | | | | |
MML
Equity
Index Fund | | | MML
Focused
Equity Fund | | | MML
Foreign
Fund | | | MML
Fundamental
Growth Fund | | | MML
Fundamental
Value Fund | |
| | | | | | | | | | | | | | | | | | |
| $ | 9,317,100 | | | $ | 3,776,165 | | | $ | 10,522,127 | | | $ | 2,889,654 | | | $ | 5,214,871 | |
| | 460 | | | | 1,450 | | | | 1,501 | | | | 97 | | | | 563 | |
| | - | | | | - | | | | 337,078 | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 9,317,560 | | | | 3,777,615 | | | | 10,860,706 | | | | 2,889,751 | | | | 5,215,434 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | 441,495 | | | | 1,161,987 | | | | 3,385,392 | | | | 1,275,224 | | | | 1,396,473 | |
| | 40,019 | | | | 13,278 | | | | 191,273 | | | | 42,425 | | | | 20,248 | |
| | 34,652 | | | | 33,859 | | | | 45,215 | | | | 33,884 | | | | 33,903 | |
| | 3,840 | | | | 1,403 | | | | 3,168 | | | | 1,682 | | | | 1,933 | |
| | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | |
| | 46,037 | | | | 19,310 | | | | 44,630 | | | | 23,556 | | | | 25,246 | |
| | 26,802 | | | | 10,060 | | | | 23,418 | | | | 12,120 | | | | 13,796 | |
| | | | | | | | | | | | | | | | | | |
| | 593,878 | | | | 1,240,930 | | | | 3,694,129 | | | | 1,389,924 | | | | 1,492,632 | |
| | | | | | | | | | | | | | | | | | |
| | 240,188 | | | | - | | | | - | | | | - | | | | - | |
| | 246,530 | | | | 206,880 | | | | - | | | | 256,716 | | | | 294,630 | |
| | 28,689 | | | | - | | | | - | | | | - | | | | - | |
| | 109,115 | | | | 9,599 | | | | - | | | | 3,520 | | | | 8,402 | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | 29,611 | | | | - | | | | - | |
| | 90,930 | | | | 18,042 | | | | - | | | | 6,512 | | | | 15,595 | |
| | | | | | | | | | | | | | | | | | |
| | 1,309,330 | | | | 1,475,451 | | | | 3,723,740 | | | | 1,656,672 | | | | 1,811,259 | |
| | | | | | | | | | | | | | | | | | |
| | (24,769 | ) | | | - | | | | - | | | | - | | | | - | |
| | (28,689 | ) | | | - | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 1,255,872 | | | | 1,475,451 | | | | 3,723,740 | | | | 1,656,672 | | | | 1,811,259 | |
| | | | | | | | | | | | | | | | | | |
| | 8,061,688 | | | | 2,302,164 | | | | 7,136,966 | | | | 1,233,079 | | | | 3,404,175 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | 11,080,946 | | | | 10,037,468 | | | | 6,655,558 | | | | 20,689,392 | | | | 17,027,406 | |
| | 75,894 | | | | - | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | (208,102 | ) | | | - | | | | (4,116 | ) |
| | | | | | | | | | | | | | | | | | |
| | 11,156,840 | | | | 10,037,468 | | | | 6,447,456 | | | | 20,689,392 | | | | 17,023,290 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | (14,511,934 | ) | | | (27,280,097 | ) | | | (30,297,797 | ) | | | (9,853,074 | ) | | | (27,342,575 | ) |
| | (138,825 | ) | | | - | | | | - | | | | - | | | | - | |
| | - | | | | - | | | | (23,678 | ) | | | - | | | | 345 | |
| | | | | | | | | | | | | | | | | | |
| | (14,650,759 | ) | | | (27,280,097 | ) | | | (30,321,475 | ) | | | (9,853,074 | ) | | | (27,342,230 | ) |
| | | | | | | | | | | | | | | | | | |
| | (3,493,919 | ) | | | (17,242,629 | ) | | | (23,874,019 | ) | | | 10,836,318 | | | | (10,318,940 | ) |
| | | | | | | | | | | | | | | | | | |
| $ | 4,567,769 | | | $ | (14,940,465 | ) | | $ | (16,737,053 | ) | | $ | 12,069,397 | | | $ | (6,914,765 | ) |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 665 | | | $ | - | | | $ | 981,906 | | | $ | 6,213 | | | $ | 32,222 | |
147
MML Series Investment Fund – Financial Statements (Continued)
Statements of Operations
For the Year Ended December 31, 2015
| | | | | | | | |
| | | MML
Global Fund | | | MML
Growth &
Income Fund | |
| Investment income (Note 2): | | | | | | | | |
Dividends (a) | | $ | 5,079,336 | | | $ | 2,110,683 | |
Interest | | | 335 | | | | 91 | |
Securities lending net income | | | 107,682 | | | | - | |
| | | | | | | | |
Total investment income | | | 5,187,353 | | | | 2,110,774 | |
| | | | | | | | |
| Expenses (Note 3): | | | | | | | | |
Investment advisory fees | | | 1,575,550 | | | | 669,299 | |
Custody fees | | | 83,582 | | | | 19,574 | |
Audit fees | | | 42,166 | | | | 33,845 | |
Legal fees | | | 2,366 | | | | 1,153 | |
Proxy fees | | | 1,033 | | | | 1,033 | |
Shareholder reporting fees | | | 33,233 | | | | 20,339 | |
Trustees’ fees | | | 16,244 | | | | 8,231 | |
| | | | | | | | |
| | | 1,754,174 | | | | 753,474 | |
Administration fees: | | | | | | | | |
Class I | | | 453,032 | | | | - | |
Class II | | | 27,445 | | | | - | |
Service Class I | | | 19,035 | | | | - | |
Service fees: | | | | | | | | |
Service Class | | | - | | | | 48,080 | |
Service Class I | | | 24,916 | | | | - | |
| | | | | | | | |
Total expenses | | | 2,278,602 | | | | 801,554 | |
Expenses waived (Note 3): | | | | | | | | |
Class I fees reimbursed by adviser | | | (31,509 | ) | | | - | |
Class II fees reimbursed by adviser | | | (2,339 | ) | | | - | |
Service Class I fees reimbursed by adviser | | | (1,283 | ) | | | - | |
| | | | | | | | |
Net expenses | | | 2,243,471 | | | | 801,554 | |
| | | | | | | | |
Net investment income (loss) | | | 2,943,882 | | | | 1,309,220 | |
| | | | | | | | |
| Realized and unrealized gain (loss): | | | | | | | | |
Net realized gain (loss) on: | | | | | | | | |
Investment transactions | | | 19,629,816 | | | | 11,756,662 | |
Written options | | | - | | | | - | |
Foreign currency transactions | | | (37,959 | ) | | | (2,859 | ) |
| | | | | | | | |
Net realized gain (loss) | | | 19,591,857 | | | | 11,753,803 | |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) on: | | | | | | | | |
Investment transactions | | | (25,736,031 | ) | | | (12,364,594 | ) |
Written options | | | - | | | | - | |
Translation of assets and liabilities in foreign currencies | | | 30,265 | | | | 436 | |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) | | | (25,705,766 | ) | | | (12,364,158 | ) |
| | | | | | | | |
Net realized gain (loss) and change in unrealized appreciation (depreciation) | | | (6,113,909 | ) | | | (610,355 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | $ | (3,170,027 | ) | | $ | 698,865 | |
| | | | | | | | |
| | | | | | | | |
(a) Net of foreign withholding tax of: | | $ | 244,593 | | | $ | 17,630 | |
The accompanying notes are an integral part of the financial statements.
148
| | | | | | | | | | | | | | | | | | |
MML
Income &
Growth Fund | | | MML
International
Equity Fund | | | MML
Large Cap
Growth Fund | | | MML
Managed
Volatility Fund | | | MML
Mid Cap
Growth Fund | |
| | | | | | | | | | | | | | | | | | |
| $ | 6,295,524 | | | $ | 4,240,879 | | | $ | 1,840,613 | | | $ | 5,125,786 | | | $ | 3,079,103 | |
| | 791 | | | | - | | | | 426 | | | | 726 | | | | 4,713 | |
| | - | | | | 88,093 | | | | - | | | | - | | | | 220,603 | |
| | | | | | | | | | | | | | | | | | |
| | 6,296,315 | | | | 4,328,972 | | | | 1,841,039 | | | | 5,126,512 | | | | 3,304,419 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | 1,579,813 | | | | 1,361,462 | | | | 1,503,580 | | | | 1,852,367 | | | | 3,434,718 | |
| | 28,681 | | | | 162,144 | | | | 21,845 | | | | 263,524 | | | | 52,038 | |
| | 34,526 | | | | 36,012 | | | | 33,906 | | | | 33,924 | | | | 34,654 | |
| | 2,105 | | | | 1,481 | | | | 2,021 | | | | 2,533 | | | | 3,886 | |
| | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | | | | 1,033 | |
| | 27,178 | | | | 19,513 | | | | 26,127 | | | | 28,871 | | | | 46,378 | |
| | 14,873 | | | | 10,199 | | | | 14,298 | | | | 15,383 | | | | 27,175 | |
| | | | | | | | | | | | | | | | | | |
| | 1,688,209 | | | | 1,591,844 | | | | 1,602,810 | | | | 2,197,635 | | | | 3,599,882 | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | - | |
| | - | | | | 224,598 | | | | - | | | | - | | | | - | |
| | - | | | | 1,294 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 40,360 | | | | - | | | | 7,762 | | | | 81,534 | | | | 156,639 | |
| | - | | | | 2,294 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 1,728,569 | | | | 1,820,030 | | | | 1,610,572 | | | | 2,279,169 | | | | 3,756,521 | |
| | | | | | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | | | | - | |
| | - | | | | (145,961 | ) | | | - | | | | - | | | | - | |
| | - | | | | (876 | ) | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | |
| | 1,728,569 | | | | 1,673,193 | | | | 1,610,572 | | | | 2,279,169 | | | | 3,756,521 | |
| | | | | | | | | | | | | | | | | | |
| | 4,567,746 | | | | 2,655,779 | | | | 230,467 | | | | 2,847,343 | | | | (452,102 | ) |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | 22,638,624 | | | | (28,599 | ) | | | 16,258,399 | | | | 42,491,190 | | | | 57,282,879 | |
| | - | | | | - | | | | - | | | | 7,635,344 | | | | - | |
| | (7,839 | ) | | | 750,652 | | | | (3 | ) | | | (32 | ) | | | 985 | |
| | | | | | | | | | | | | | | | | | |
| | 22,630,785 | | | | 722,053 | | | | 16,258,396 | | | | 50,126,502 | | | | 57,283,864 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| | (27,368,258 | ) | | | (13,841,006 | ) | | | (4,137,656 | ) | | | (47,547,366 | ) | | | (27,940,085 | ) |
| | - | | | | - | | | | - | | | | 2,792,653 | | | | - | |
| | (18 | ) | | | (319,464 | ) | | | - | | | | 435 | | | | 274 | |
| | | | | | | | | | | | | | | | | | |
| | (27,368,276 | ) | | | (14,160,470 | ) | | | (4,137,656 | ) | | | (44,754,278 | ) | | | (27,939,811 | ) |
| | | | | | | | | | | | | | | | | | |
| | (4,737,491 | ) | | | (13,438,417 | ) | | | 12,120,740 | | | | 5,372,224 | | | | 29,344,053 | |
| | | | | | | | | | | | | | | | | | |
| $ | (169,745 | ) | | $ | (10,782,638 | ) | | $ | 12,351,207 | | | $ | 8,219,567 | | | $ | 28,891,951 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | |
| $ | 47,547 | | | $ | 375,068 | | | $ | 1,518 | | | $ | 391 | | | $ | 10,549 | |
149
MML Series Investment Fund – Financial Statements (Continued)
Statements of Operations
For the Year Ended December 31, 2015
| | | | | | | | |
| | | MML
Mid Cap
Value Fund | | | MML
Small Cap
Growth
Equity Fund | |
| Investment income (Note 2): | | | | | | | | |
Dividends (a) | | $ | 10,358,840 | | | $ | 1,833,427 | |
Interest (b) | | | 1,024 | | | | 580 | |
Securities lending net income | | | - | | | | 203,955 | |
| | | | | | | | |
Total investment income | | | 10,359,864 | | | | 2,037,962 | |
| | | | | | | | |
| Expenses (Note 3): | | | | | | | | |
Investment advisory fees | | | 4,059,404 | | | | 2,418,248 | |
Custody fees | | | 73,570 | | | | 48,224 | |
Audit fees | | | 34,680 | | | | 36,489 | |
Legal fees | | | 4,124 | | | | 2,027 | |
Proxy fees | | | 1,033 | | | | 1,033 | |
Shareholder reporting fees | | | 50,780 | | | | 26,425 | |
Trustees’ fees | | | 29,605 | | | | 14,489 | |
| | | | | | | | |
| | | 4,253,196 | | | | 2,546,935 | |
Administration fees: | | | | | | | | |
Class II | | | - | | | | - | |
Service Class I | | | - | | | | - | |
Service fees: | | | | | | | | |
Service Class | | | 79,368 | | | | 26,906 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total expenses | | | 4,332,564 | | | | 2,573,841 | |
Expenses waived (Note 3): | | | | | | | | |
Class II fees reimbursed by adviser | | | - | | | | - | |
Service Class I fees reimbursed by adviser | | | - | | | | - | |
Class II advisory fees waived | | | - | | | | - | |
Service Class I advisory fees waived | | | - | | | | - | |
| | | | | | | | |
Net expenses | | | 4,332,564 | | | | 2,573,841 | |
| | | | | | | | |
Net investment income (loss) | | | 6,027,300 | | | | (535,879 | ) |
| | | | | | | | |
| Realized and unrealized gain (loss): | | | | | | | | |
Net realized gain (loss) on: | | | | | | | | |
Investment transactions | | | 45,632,348 | | | | 33,642,574 | |
Futures contracts | | | - | | | | - | |
Foreign currency transactions | | | 2,388,260 | | | | 337 | |
| | | | | | | | |
Net realized gain (loss) | | | 48,020,608 | | | | 33,642,911 | |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) on: | | | | | | | | |
Investment transactions | | | (60,784,486 | ) | | | (41,187,456 | ) |
Futures contracts | | | - | | | | - | |
Translation of assets and liabilities in foreign currencies | | | (110,686 | ) | | | (392 | ) |
| | | | | | | | |
Net change in unrealized appreciation (depreciation) | | | (60,895,172 | ) | | | (41,187,848 | ) |
| | | | | | | | |
Net realized gain (loss) and change in unrealized appreciation (depreciation) | | | (12,874,564 | ) | | | (7,544,937 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | $ | (6,847,264 | ) | | $ | (8,080,816 | ) |
| | | | | | | | |
| | | | | | | | |
(a) Net of foreign withholding tax of: | | $ | 32,965 | | | $ | 1,601 | |
(b) Net of foreign withholding tax of: | | $ | - | | | $ | - | |
The accompanying notes are an integral part of the financial statements.
150
| | | | | | | | | | |
MML
Small
Company
Value Fund | | | MML
Small/Mid
Cap Value
Fund | | | MML
Total Return
Bond Fund | |
| | | | | | | | | | |
| $ | 1,700,717 | | | $ | 3,036,425 | | | $ | 22,344 | |
| | 288 | | | | 424 | | | | 7,246,332 | |
| | 38,717 | | | | - | | | | - | |
| | | | | | | | | | |
| | 1,739,722 | | | | 3,036,849 | | | | 7,268,676 | |
| | | | | | | | | | |
| | | | | | | | | | |
| | 856,693 | | | | 1,753,645 | | | | 1,776,057 | |
| | 28,536 | | | | 24,308 | | | | 84,335 | |
| | 34,440 | | | | 33,912 | | | | 50,956 | |
| | 863 | | | | 2,093 | | | | 3,429 | |
| | 1,033 | | | | 1,033 | | | | 1,033 | |
| | 13,982 | | | | 26,465 | | | | 45,544 | |
| | 6,371 | | | | 14,438 | | | | 23,839 | |
| | | | | | | | | | |
| | 941,918 | | | | 1,855,894 | | | | 1,985,193 | |
| | | | | | | | | | |
| | 171,292 | | | | - | | | | 478,891 | |
| | 20,055 | | | | - | | | | 20,864 | |
| | | | | | | | | | |
| | - | | | | 39,768 | | | | - | |
| | 27,494 | | | | - | | | | 38,893 | |
| | | | | | | | | | |
| | 1,160,759 | | | | 1,895,662 | | | | 2,523,841 | |
| | | | | | | | | | |
| | (8,186 | ) | | | - | | | | (18,732 | ) |
| | (940 | ) | | | - | | | | (752 | ) |
| | (26,967 | ) | | | - | | | | (181,864 | ) |
| | (3,246 | ) | | | - | | | | (7,787 | ) |
| | | | | | | | | | |
| | 1,121,420 | | | | 1,895,662 | | | | 2,314,706 | |
| | | | | | | | | | |
| | 618,302 | | | | 1,141,187 | | | | 4,953,970 | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | 13,291,659 | | | | 14,216,113 | | | | 1,574,874 | |
| | - | | | | - | | | | 238,696 | |
| | - | | | | - | | | | 512,247 | |
| | | | | | | | | | |
| | 13,291,659 | | | | 14,216,113 | | | | 2,325,817 | |
| | | | | | | | | | |
| | | | | | | | | | |
| | (19,544,016 | ) | | | (27,388,266 | ) | | | (6,029,665 | ) |
| | - | | | | - | | | | (27,012 | ) |
| | - | | | | - | | | | (512,093 | ) |
| | | | | | | | | | |
| | (19,544,016 | ) | | | (27,388,266 | ) | | | (6,568,770 | ) |
| | | | | | | | | | |
| | (6,252,357 | ) | | | (13,172,153 | ) | | | (4,242,953 | ) |
| | | | | | | | | | |
| $ | (5,634,055 | ) | | $ | (12,030,966 | ) | | $ | 711,017 | |
| | | | | | | | | | |
| | | | | | | | | | |
| $ | 1,784 | | | $ | - | | | $ | - | |
| $ | - | | | $ | - | | | $ | 452 | |
151
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Blue Chip Growth Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | (349,068 | ) | | $ | (427,892 | ) |
Net realized gain (loss) on investment transactions | | | 50,455,541 | | | | 69,547,800 | |
Net change in unrealized appreciation (depreciation) on investments | | | (4,300,969 | ) | | | (32,686,480 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | 45,805,504 | | | | 36,433,428 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | - | | | | - | |
Class I | | | - | | | | - | |
Class II | | | - | | | | - | |
Class III | | | - | | | | - | |
Service Class | | | - | | | | - | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net investment income | | | - | | | | - | |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Initial Class | | | (62,289,222 | ) | | | (38,644,089 | ) |
Class I | | | - | | | | - | |
Class II | | | - | | | | - | |
Class III | | | - | | | | - | |
Service Class | | | (6,171,321 | ) | | | (2,902,689 | ) |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net realized gains | | | (68,460,543 | ) | | | (41,546,778 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | 18,440,481 | | | | (34,706,171 | ) |
Class I | | | - | | | | - | |
Class II | | | - | | | | - | |
Class III | | | - | | | | - | |
Service Class | | | 13,312,534 | | | | 8,899,336 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | 31,753,015 | | | | (25,806,835 | ) |
| | | | | | | | |
Total increase (decrease) in net assets | | | 9,097,976 | | | | (30,920,185 | ) |
| Net assets | | | | | | | | |
Beginning of year | | | 422,042,133 | | | | 452,962,318 | |
| | | | | | | | |
End of year | | $ | 431,140,109 | | | $ | 422,042,133 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | (69,942 | ) | | $ | (69,328 | ) |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
152
| | | | | | | | | | | | | | |
MML
Equity Income Fund | | | MML
Equity Index Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| $ | 9,773,702 | | | $ | 9,884,056 | | | $ | 8,061,688 | | | $ | 7,369,722 | |
| | 48,043,703 | | | | 49,898,629 | | | | 11,156,840 | | | | 9,812,260 | |
| | (93,042,103 | ) | | | (21,571,782 | ) | | | (14,650,759 | ) | | | 36,428,737 | |
| | | | | | | | | | | | | | |
| | (35,224,698 | ) | | | 38,210,903 | | | | 4,567,769 | | | | 53,610,719 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | (8,271,226 | ) | | | (8,018,961 | ) | | | - | | | | - | |
| | - | | | | - | | | | (1,153,387 | ) | | | (1,175,835 | ) |
| | - | | | | - | | | | (2,440,730 | ) | | | (2,276,426 | ) |
| | - | | | | - | | | | (3,144,175 | ) | | | (2,698,994 | ) |
| | (1,072,744 | ) | | | (901,506 | ) | | | - | | | | - | |
| | - | | | | - | | | | (555,456 | ) | | | (353,133 | ) |
| | | | | | | | | | | | | | |
| | (9,343,970 | ) | | | (8,920,467 | ) | | | (7,293,748 | ) | | | (6,504,388 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | (43,647,364 | ) | | | (10,656,649 | ) | | | - | | | | - | |
| | - | | | | - | | | | (1,723,595 | ) | | | (1,137,718 | ) |
| | - | | | | - | | | | (3,212,126 | ) | | | (1,938,297 | ) |
| | - | | | | - | | | | (3,815,424 | ) | | | (2,135,011 | ) |
| | (6,436,103 | ) | | | (1,355,561 | ) | | | - | | | | - | |
| | - | | | | - | | | | (843,155 | ) | | | (345,612 | ) |
| | | | | | | | | | | | | | |
| | (50,083,467 | ) | | | (12,012,210 | ) | | | (9,594,300 | ) | | | (5,556,638 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | 18,918,608 | | | | (99,003,700 | ) | | | - | | | | - | |
| | - | | | | - | | | | (7,783,632 | ) | | | (17,034,367 | ) |
| | - | | | | - | | | | 14,726,714 | | | | (1,698,383 | ) |
| | - | | | | - | | | | 4,278,949 | | | | 2,153,206 | |
| | 11,554,876 | | | | 7,240,263 | | | | - | | | | - | |
| | - | | | | - | | | | 7,738,315 | | | | 8,099,942 | |
| | | | | | | | | | | | | | |
| | 30,473,484 | | | | (91,763,437 | ) | | | 18,960,346 | | | | (8,479,602 | ) |
| | | | | | | | | | | | | | |
| | (64,178,651 | ) | | | (74,485,211 | ) | | | 6,640,067 | | | | 33,070,091 | |
| | | | | | | | | | | | | | |
| | 536,739,406 | | | | 611,224,617 | | | | 444,189,113 | | | | 411,119,022 | |
| | | | | | | | | | | | | | |
| $ | 472,560,755 | | | $ | 536,739,406 | | | $ | 450,829,180 | | | $ | 444,189,113 | |
| | | | | | | | | | | | | | |
$ | 9,649,862 | | | $ | 9,750,164 | | | $ | 7,900,197 | | | $ | 7,226,791 | |
| | | | | | | | | | | | | | |
153
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Focused Equity Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 2,302,164 | | | $ | 3,010,809 | |
Net realized gain (loss) on investment transactions | | | 10,037,468 | | | | 21,601,865 | |
Net change in unrealized appreciation (depreciation) on investments | | | (27,280,097 | ) | | | (5,518,774 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | (14,940,465 | ) | | | 19,093,900 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | - | | | | - | |
Class II | | | (2,897,589 | ) | | | (589,491 | ) |
Service Class | | | - | | | | - | |
Service Class I | | | (110,596 | ) | | | (21,642 | ) |
| | | | | | | | |
Total distributions from net investment income | | | (3,008,185 | ) | | | (611,133 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Class II | | | (20,741,790 | ) | | | (14,323,542 | ) |
Service Class I | | | (899,601 | ) | | | (589,870 | ) |
| | | | | | | | |
Total distributions from net realized gains | | | (21,641,391 | ) | | | (14,913,412 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | - | | | | - | |
Class II | | | 25,146,462 | | | | (9,844,613 | ) |
Service Class | | | - | | | | - | |
Service Class I | | | 1,408,371 | | | | 2,155,549 | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | 26,554,833 | | | | (7,689,064 | ) |
| | | | | | | | |
Total increase (decrease) in net assets | | | (13,035,208 | ) | | | (4,119,709 | ) |
| Net assets | | | | | | | | |
Beginning of year | | | 167,494,796 | | | | 171,614,505 | |
| | | | | | | | |
End of year | | $ | 154,459,588 | | �� | $ | 167,494,796 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 2,287,193 | | | $ | 3,000,315 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
154
| | | | | | | | | | | | | | |
MML
Foreign Fund | | | MML
Fundamental Growth Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| $ | 7,136,966 | | | $ | 11,131,531 | | | $ | 1,233,079 | | | $ | 1,666,125 | |
| | 6,447,456 | | | | 9,670,848 | | | | 20,689,392 | | | | 35,932,608 | |
| | (30,321,475 | ) | | | (45,513,392 | ) | | | (9,853,074 | ) | | | (16,193,852 | ) |
| | | | | | | | | | | | | | |
| | (16,737,053 | ) | | | (24,711,013 | ) | | | 12,069,397 | | | | 21,404,881 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | (10,665,933 | ) | | | (7,579,051 | ) | | | - | | | | - | |
| | - | | | | - | | | | (1,522,932 | ) | | | (1,444,222 | ) |
| | (322,750 | ) | | | (234,680 | ) | | | - | | | | - | |
| | - | | | | - | | | | (20,162 | ) | | | (11,734 | ) |
| | | | | | | | | | | | | | |
| | (10,988,683 | ) | | | (7,813,731 | ) | | | (1,543,094 | ) | | | (1,455,956 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (35,452,387 | ) | | | (13,666,020 | ) |
| | - | | | | - | | | | (541,999 | ) | | | (121,957 | ) |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (35,994,386 | ) | | | (13,787,977 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | 45,853,471 | | | | (52,893,639 | ) | | | - | | | | - | |
| | - | | | | - | | | | 1,052,674 | | | | (35,841,777 | ) |
| | 1,207,009 | | | | 3,838,810 | | | | - | | | | - | |
| | - | | | | - | | | | 1,164,609 | | | | 791,045 | |
| | | | | | | | | | | | | | |
| | 47,060,480 | | | | (49,054,829 | ) | | | 2,217,283 | | | | (35,050,732 | ) |
| | | | | | | | | | | | | | |
| | 19,334,744 | | | | (81,579,573 | ) | | | (23,250,800 | ) | | | (28,889,784 | ) |
| | | | | | | | | | | | | | |
| | 339,133,807 | | | | 420,713,380 | | | | 209,299,926 | | | | 238,189,710 | |
| | | | | | | | | | | | | | |
| $ | 358,468,551 | | | $ | 339,133,807 | | | $ | 186,049,126 | | | $ | 209,299,926 | |
| | | | | | | | | | | | | | |
$ | 6,846,380 | | | $ | 10,833,558 | | | $ | 1,213,633 | | | $ | 1,651,596 | |
| | | | | | | | | | | | | | |
155
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Fundamental Value Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 3,404,175 | | | $ | 3,237,128 | |
Net realized gain (loss) on investment transactions | | | 17,023,290 | | | | 17,798,013 | |
Net change in unrealized appreciation (depreciation) on investments | | | (27,342,230 | ) | | | 2,465,443 | |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | (6,914,765 | ) | | | 23,500,584 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | - | | | | - | |
Class I | | | - | | | | - | |
Class II | | | (3,059,837 | ) | | | (3,289,698 | ) |
Service Class | | | - | | | | - | |
Service Class I | | | (74,012 | ) | | | (64,331 | ) |
| | | | | | | | |
Total distributions from net investment income | | | (3,133,849 | ) | | | (3,354,029 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Class I | | | - | | | | - | |
Class II | | | (17,374,817 | ) | | | (9,467,364 | ) |
Service Class I | | | (465,845 | ) | | | (185,991 | ) |
| | | | | | | | |
Total distributions from net realized gains | | | (17,840,662 | ) | | | (9,653,355 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | - | | | | - | |
Class I | | | - | | | | - | |
Class II | | | 24,581,537 | | | | (24,332,536 | ) |
Service Class | | | - | | | | - | |
Service Class I | | | 2,883,449 | | | | 2,755,530 | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | 27,464,986 | | | | (21,577,006 | ) |
| | | | | | | | |
Total increase (decrease) in net assets | | | (424,290 | ) | | | (11,083,806 | ) |
| Net assets | | | | | | | | |
Beginning of year | | | 225,289,782 | | | | 236,373,588 | |
| | | | | | | | |
End of year | | $ | 224,865,492 | | | $ | 225,289,782 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 3,401,647 | | | $ | 3,219,670 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
156
| | | | | | | | | | | | | | |
MML
Global Fund | | | MML
Growth & Income Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| $ | 2,943,882 | | | $ | 2,929,597 | | | $ | 1,309,220 | | | $ | 1,586,152 | |
| | 19,591,857 | | | | 10,949,982 | | | | 11,753,803 | | | | 17,449,332 | |
| | (25,705,766 | ) | | | (3,796,286 | ) | | | (12,364,158 | ) | | | (4,156,861 | ) |
| | | | | | | | | | | | | | |
| | (3,170,027 | ) | | | 10,083,293 | | | | 698,865 | | | | 14,878,623 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (1,325,627 | ) | | | (1,393,594 | ) |
| | (2,573,159 | ) | | | (1,754,223 | ) | | | - | | | | - | |
| | (194,417 | ) | | | (152,774 | ) | | | - | | | | - | |
| | - | | | | - | | | | (190,746 | ) | | | (172,322 | ) |
| | (95,568 | ) | | | (57,994 | ) | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | (2,863,144 | ) | | | (1,964,991 | ) | | | (1,516,373 | ) | | | (1,565,916 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | (9,861,148 | ) | | | (3,467,392 | ) | | | - | | | | - | |
| | (706,225 | ) | | | (292,710 | ) | | | - | | | | - | |
| | (431,717 | ) | | | (138,436 | ) | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | (10,999,090 | ) | | | (3,898,538 | ) | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (14,434,363 | ) | | | (19,004,784 | ) |
| | 29,653,736 | | | | 56,727,406 | | | | - | | | | - | |
| | (516,071 | ) | | | (1,446,027 | ) | | | - | | | | - | |
| | - | | | | - | | | | 31,132 | | | | 38,388 | |
| | 2,128,221 | | | | 2,461,129 | | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | 31,265,886 | | | | 57,742,508 | | | | (14,403,231 | ) | | | (18,966,396 | ) |
| | | | | | | | | | | | | | |
| | 14,233,625 | | | | 61,962,272 | | | | (15,220,739 | ) | | | (5,653,689 | ) |
| | | | | | | | | | | | | | |
| | 237,095,870 | | | | 175,133,598 | | | | 140,595,502 | | | | 146,249,191 | |
| | | | | | | | | | | | | | |
| $ | 251,329,495 | | | $ | 237,095,870 | | | $ | 125,374,763 | | | $ | 140,595,502 | |
| | | | | | | | | | | | | | |
$ | 2,874,790 | | | $ | 2,848,820 | | | $ | 1,261,906 | | | $ | 1,540,527 | |
| | | | | | | | | | | | | | |
157
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Income & Growth Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 4,567,746 | | | $ | 4,645,111 | |
Net realized gain (loss) on investment transactions | | | 22,630,785 | | | | 16,807,475 | |
Net change in unrealized appreciation (depreciation) on investments | | | (27,368,276 | ) | | | 376,641 | |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | (169,745 | ) | | | 21,829,227 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | (4,320,659 | ) | | | (4,208,862 | ) |
Class II | | | - | | | | - | |
Service Class | | | (279,311 | ) | | | (246,039 | ) |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net investment income | | | (4,599,970 | ) | | | (4,454,901 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Initial Class | | | (14,106,335 | ) | | | - | |
Class II | | | - | | | | - | |
Service Class | | | (1,036,220 | ) | | | - | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net realized gains | | | (15,142,555 | ) | | | - | |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | 8,119,045 | | | | (12,189,357 | ) |
Class II | | | - | | | | - | |
Service Class | | | 2,143,957 | | | | 263,856 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | 10,263,002 | | | | (11,925,501 | ) |
| | | | | | | | |
Total increase (decrease) in net assets | | | (9,649,268 | ) | | | 5,448,825 | |
| Net assets | | | | | | | | |
Beginning of year | | | 248,318,396 | | | | 242,869,571 | |
| | | | | | | | |
End of year | | $ | 238,669,128 | | | $ | 248,318,396 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 4,517,405 | | | $ | 4,588,599 | |
| | | | | | | | |
Distributions in excess of net investment income included in net assets at end of year | | $ | - | | | $ | - | |
| | | | | | | | |
| † | Fund commenced operations on January 7, 2014. |
| * | Service Class I Shares commenced operations on May 1, 2014. |
The accompanying notes are an integral part of the financial statements.
158
| | | | | | | | | | | | | | |
MML
International Equity Fund | | | MML
Large Cap Growth Fund | |
Year
Ended
December 31, 2015 | | | Period
Ended
December 31, 2014† | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| $ | 2,655,779 | | | $ | 2,062,762 | | | $ | 230,467 | | | $ | (165,680 | ) |
| | 722,053 | | | | 753,347 | | | | 16,258,396 | | | | 44,101,255 | |
| | (14,160,470 | ) | | | (9,189,492 | ) | | | (4,137,656 | ) | | | (21,583,797 | ) |
| | | | | | | | | | | | | | |
| | (10,782,638 | ) | | | (6,373,383 | ) | | | 12,351,207 | | | | 22,351,778 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | - | | | | - | |
| | (332,992 | ) | | | (2,657,331 | ) | | | - | | | | - | |
| | - | | | | - | | | | - | | | | - | |
| | (2,305 | ) | | | (5,758 | )* | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | (335,297 | ) | | | (2,663,089 | ) | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (43,425,029 | ) | | | (30,391,668 | ) |
| | - | | | | (728,662 | ) | | | - | | | | - | |
| | - | | | | - | | | | (653,118 | ) | | | (304,214 | ) |
| | - | | | | (1,648 | )* | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | - | | | | (730,310 | ) | | | (44,078,147 | ) | | | (30,695,882 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | 3,267,615 | | | | (17,830,893 | ) |
| | 51,164,597 | | | | 133,659,993 | | | | - | | | | - | |
| | - | | | | - | | | | 1,304,526 | | | | 950,193 | |
| | 1,335,762 | | | | 320,493 | * | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | 52,500,359 | | | | 133,980,486 | | | | 4,572,141 | | | | (16,880,700 | ) |
| | | | | | | | | | | | | | |
| | 41,382,424 | | | | 124,213,704 | | | | (27,154,799 | ) | | | (25,224,804 | ) |
| | | | | | | | | | | | | | |
| | 124,213,704 | | | | - | | | | 244,954,784 | | | | 270,179,588 | |
| | | | | | | | | | | | | | |
| $ | 165,596,128 | | | $ | 124,213,704 | | | $ | 217,799,985 | | | $ | 244,954,784 | |
| | | | | | | | | | | | | | |
$ | 3,017,091 | | | $ | - | | | $ | 195,662 | | | $ | (34,704 | ) |
| | | | | | | | | | | | | | |
| $ | - | | | $ | (200,398 | ) | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | |
159
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Managed Volatility Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 2,847,343 | | | $ | 3,661,614 | |
Net realized gain (loss) on investment transactions | | | 50,126,502 | | | | (20,508,003 | ) |
Net change in unrealized appreciation (depreciation) on investments | | | (44,754,278 | ) | | | 31,911,183 | |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | 8,219,567 | | | | 15,064,794 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | (3,096,226 | ) | | | (2,425,071 | ) |
Service Class | | | (511,045 | ) | | | (148,137 | ) |
| | | | | | | | |
Total distributions from net investment income | | | (3,607,271 | ) | | | (2,573,208 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Initial Class | | | - | | | | (17,208,642 | ) |
Service Class | | | - | | | | (1,517,818 | ) |
| | | | | | | | |
Total distributions from net realized gains | | | - | | | | (18,726,460 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | (178,845,533 | ) | | | 139,360,818 | |
Service Class | | | 1,003,527 | | | | 3,863,259 | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | (177,842,006 | ) | | | 143,224,077 | |
| | | | | | | | |
Total increase (decrease) in net assets | | | (173,229,710 | ) | | | 136,989,203 | |
| Net assets | | | | | | | | |
Beginning of year | | | 368,742,551 | | | | 231,753,348 | |
| | | | | | | | |
End of year | | $ | 195,512,841 | | | $ | 368,742,551 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 2,763,852 | | | $ | 3,596,420 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
160
| | | | | | | | | | | | | | |
MML
Mid Cap Growth Fund | | | MML
Mid Cap Value Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| $ | (452,102 | ) | | $ | (823,910 | ) | | $ | 6,027,300 | | | $ | 6,795,594 | |
| | 57,283,864 | | | | 50,185,261 | | | | 48,020,608 | | | | 72,698,666 | |
| | (27,939,811 | ) | | | 2,639,391 | | | | (60,895,172 | ) | | | (3,544,653 | ) |
| | | | | | | | | | | | | | |
| | 28,891,951 | | | | 52,000,742 | | | | (6,847,264 | ) | | | 75,949,607 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (8,610,298 | ) | | | (7,330,241 | ) |
| | - | | | | - | | | | (553,849 | ) | | | (386,907 | ) |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (9,164,147 | ) | | | (7,717,148 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | (42,547,818 | ) | | | (47,080,105 | ) | | | (63,870,147 | ) | | | (76,236,493 | ) |
| | (7,241,068 | ) | | | (6,703,945 | ) | | | (4,598,846 | ) | | | (4,547,879 | ) |
| | | | | | | | | | | | | | |
| | (49,788,886 | ) | | | (53,784,050 | ) | | | (68,468,993 | ) | | | (80,784,372 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | 15,687,945 | | | | 6,567,387 | | | | 41,173,782 | | | | 9,854,080 | |
| | 13,988,017 | | | | 13,025,653 | | | | 8,626,487 | | | | 7,513,491 | |
| | | | | | | | | | | | | | |
| | 29,675,962 | | | | 19,593,040 | | | | 49,800,269 | | | | 17,367,571 | |
| | | | | | | | | | | | | | |
| | 8,779,027 | | | | 17,809,732 | | | | (34,680,135 | ) | | | 4,815,658 | |
| | | | | | | | | | | | | | |
| | 433,484,980 | | | | 415,675,248 | | | | 495,549,795 | | | | 490,734,137 | |
| | | | | | | | | | | | | | |
| $ | 442,264,007 | | | $ | 433,484,980 | | | $ | 460,869,660 | | | $ | 495,549,795 | |
| | | | | | | | | | | | | | |
| $ | (682,055 | ) | | $ | (1,075,530 | ) | | $ | 8,320,913 | | | $ | 8,821,677 | |
| | | | | | | | | | | | | | |
161
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Small Cap Growth Equity Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | (535,879 | ) | | $ | (1,164,956 | ) |
Net realized gain (loss) on investment transactions | | | 33,642,911 | | | | 44,707,494 | |
Net change in unrealized appreciation (depreciation) on investments | | | (41,187,848 | ) | | | (28,466,011 | ) |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | (8,080,816 | ) | | | 15,076,527 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Initial Class | | | - | | | | - | |
Class II | | | - | | | | - | |
Service Class | | | - | | | | - | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net investment income | | | - | | | | - | |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Initial Class | | | (40,634,083 | ) | | | (66,804,629 | ) |
Class II | | | - | | | | - | |
Service Class | | | (2,122,311 | ) | | | (2,431,449 | ) |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Total distributions from net realized gains | | | (42,756,394 | ) | | | (69,236,078 | ) |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Initial Class | | | (10,108,774 | ) | | | 32,326,503 | |
Class II | | | - | | | | - | |
Service Class | | | 4,136,629 | | | | 3,994,325 | |
Service Class I | | | - | | | | - | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | (5,972,145 | ) | | | 36,320,828 | |
| | | | | | | | |
Total increase (decrease) in net assets | | | (56,809,355 | ) | | | (17,838,723 | ) |
| Net assets | | | | | | | | |
Beginning of year | | | 263,073,149 | | | | 280,911,872 | |
| | | | | | | | |
End of year | | $ | 206,263,794 | | | $ | 263,073,149 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | (71,739 | ) | | $ | (75,079 | ) |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
162
| | | | | | | | | | | | | | |
MML
Small Company Value Fund | | | MML
Small/Mid Cap Value Fund | |
Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| $ | 618,302 | | | $ | 243,670 | | | $ | 1,141,187 | | | $ | 2,016,336 | |
| | 13,291,659 | | | | 10,227,800 | | | | 14,216,113 | | | | 37,841,770 | |
| | (19,544,016 | ) | | | (9,900,674 | ) | | | (27,388,266 | ) | | | (16,434,754 | ) |
| | | | | | | | | | | | | | |
| | (5,634,055 | ) | | | 570,796 | | | | (12,030,966 | ) | | | 23,423,352 | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (1,528,716 | ) | | | (1,482,993 | ) |
| | (292,251 | ) | | | - | | | | - | | | | - | |
| | - | | | | - | | | | (82,016 | ) | | | (68,366 | ) |
| | (15,522 | ) | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | (307,773 | ) | | | - | | | | (1,610,732 | ) | | | (1,551,359 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | (34,922,416 | ) | | | (5,182,761 | ) |
| | (8,989,337 | ) | | | (24,803,043 | ) | | | - | | | | - | |
| | - | | | | - | | | | (2,694,866 | ) | | | (332,856 | ) |
| | (1,113,650 | ) | | | (2,698,082 | ) | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | (10,102,987 | ) | | | (27,501,125 | ) | | | (37,617,282 | ) | | | (5,515,617 | ) |
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
| | - | | | | - | | | | 8,419,482 | | | | (36,300,349 | ) |
| | 6,549,088 | | | | 22,237,102 | | | | - | | | | - | |
| | - | | | | - | | | | 4,172,406 | | | | 1,888,505 | |
| | 1,879,270 | | | | 3,422,840 | | | | - | | | | - | |
| | | | | | | | | | | | | | |
| | 8,428,358 | | | | 25,659,942 | | | | 12,591,888 | | | | (34,411,844 | ) |
| | | | | | | | | | | | | | |
| | (7,616,457 | ) | | | (1,270,387 | ) | | | (38,667,092 | ) | | | (18,055,468 | ) |
| | | | | | | | | | | | | | |
| | 106,513,931 | | | | 107,784,318 | | | | 251,883,106 | | | | 269,938,574 | |
| | | | | | | | | | | | | | |
| $ | 98,897,474 | | | $ | 106,513,931 | | | $ | 213,216,014 | | | $ | 251,883,106 | |
| | | | | | | | | | | | | | |
$ | 604,429 | | | $ | 301,570 | | | $ | 1,171,178 | | | $ | 1,894,691 | |
| | | | | | | | | | | | | | |
163
MML Series Investment Fund – Financial Statements (Continued)
Statements of Changes in Net Assets
| | | | | | | | |
| | | MML
Total Return Bond Fund | |
| | | Year
Ended
December 31, 2015 | | | Year
Ended
December 31, 2014 | |
| Increase (Decrease) in Net Assets: | | | | | | | | |
| Operations: | | | | | | | | |
Net investment income (loss) | | $ | 4,953,970 | | | $ | 5,352,769 | |
Net realized gain (loss) on investment transactions | | | 2,325,817 | | | | 12,592,356 | |
Net change in unrealized appreciation (depreciation) on investments | | | (6,568,770 | ) | | | 1,673,346 | |
| | | | | | | | |
Net increase (decrease) in net assets resulting from operations | | | 711,017 | | | | 19,618,471 | |
| | | | | | | | |
| Distributions to shareholders (Note 2): | | | | | | | | |
From net investment income: | | | | | | | | |
Class II | | | (11,042,639 | ) | | | (7,279,537 | ) |
Service Class I | | | (502,420 | ) | | | (235,738 | ) |
| | | | | | | | |
Total distributions from net investment income | | | (11,545,059 | ) | | | (7,515,275 | ) |
| | | | | | | | |
From net realized gains: | | | | | | | | |
Class II | | | (3,600,708 | ) | | | - | |
Service Class I | | | (173,513 | ) | | | - | |
| | | | | | | | |
Total distributions from net realized gains | | | (3,774,221 | ) | | | - | |
| | | | | | | | |
| Net fund share transactions (Note 5): | | | | | | | | |
Class II | | | (60,886,838 | ) | | | (9,158,988 | ) |
Service Class I | | | 3,416,275 | | | | 2,692,310 | |
| | | | | | | | |
Increase (decrease) in net assets from fund share transactions | | | (57,470,563 | ) | | | (6,466,678 | ) |
| | | | | | | | |
Total increase (decrease) in net assets | | | (72,078,826 | ) | | | 5,636,518 | |
| Net assets | | | | | | | | |
Beginning of year | | | 418,167,777 | | | | 412,531,259 | |
| | | | | | | | |
End of year | | $ | 346,088,951 | | | $ | 418,167,777 | |
| | | | | | | | |
Undistributed (accumulated) net investment income (loss) included in net assets at end of year | | $ | 6,160,640 | | | $ | 10,725,232 | |
| | | | | | | | |
The accompanying notes are an integral part of the financial statements.
164
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Blue Chip Growth Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 17.09 | | | $ | (0.01 | ) | | $ | 1.70 | | | $ | 1.69 | | | $ | - | | | $ | (2.99 | ) | | $ | (2.99 | ) | | $ | 15.79 | | | | 11.10% | | | $ | 388,654 | | | | 0.79% | | | | (0.06% | ) |
| 12/31/14 | | | 17.35 | | | | (0.01 | ) | | | 1.55 | | | | 1.54 | | | | - | | | | (1.80 | ) | | | (1.80 | ) | | | 17.09 | | | | 9.13% | | | | 390,322 | | | | 0.79% | | | | (0.09% | ) |
| 12/31/13 | | | 13.50 | | | | (0.00 | )d | | | 5.28 | | | | 5.28 | | | | (0.04 | ) | | | (1.39 | ) | | | (1.43 | ) | | | 17.35 | | | | 41.33% | | | | 429,689 | | | | 0.79% | | | | (0.01% | ) |
| 12/31/12 | | | 11.42 | | | | 0.03 | | | | 2.06 | | | | 2.09 | | | | (0.01 | ) | | | - | | | | (0.01 | ) | | | 13.50 | | | | 18.31% | | | | 321,245 | | | | 0.80% | | | | 0.26% | |
| 12/31/11 | | | 11.27 | | | | 0.01 | | | | 0.14 | | | | 0.15 | | | | (0.00 | )d | | | - | | | | (0.00 | )d | | | 11.42 | | | | 1.37% | | | | 323,779 | | | | 0.80% | | | | 0.09% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 16.85 | | | $ | (0.05 | ) | | $ | 1.66 | | | $ | 1.61 | | | $ | - | | | $ | (2.99 | ) | | $ | (2.99 | ) | | $ | 15.47 | | | | 10.76% | | | $ | 42,486 | | | | 1.04% | | | | (0.31% | ) |
| 12/31/14 | | | 17.17 | | | | (0.06 | ) | | | 1.54 | | | | 1.48 | | | | - | | | | (1.80 | ) | | | (1.80 | ) | | | 16.85 | | | | 8.87% | | | | 31,721 | | | | 1.04% | | | | (0.34% | ) |
| 12/31/13 | | | 13.38 | | | | (0.04 | ) | | | 5.23 | | | | 5.19 | | | | (0.01 | ) | | | (1.39 | ) | | | (1.40 | ) | | | 17.17 | | | | 41.00% | | | | 23,273 | | | | 1.04% | | | | (0.26% | ) |
| 12/31/12 | | | 11.34 | | | | 0.01 | | | | 2.03 | | | | 2.04 | | | | - | | | | - | | | | - | | | | 13.38 | | | | 17.99% | | | | 14,895 | | | | 1.05% | | | | 0.06% | |
| 12/31/11 | | | 11.22 | | | | (0.02 | ) | | | 0.14 | | | | 0.12 | | | | - | | | | - | | | | - | | | | 11.34 | | | | 1.07% | | | | 9,476 | | | | 1.05% | | | | (0.15% | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 31 | % | | | 30 | % | | | 35 | % | | | 25 | % | | | 37 | % |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
165
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Equity Income Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 13.93 | | | $ | 0.25 | | | $ | (1.28 | ) | | $ | (1.03 | ) | | $ | (0.26 | ) | | $ | (1.35 | ) | | $ | (1.61 | ) | | $ | 11.29 | | | | (6.88% | ) | | $ | 409,298 | | | | 0.78% | | | | 1.96% | |
| 12/31/14 | | | 13.47 | | | | 0.25 | | | | 0.76 | | | | 1.01 | | | | (0.24 | ) | | | (0.31 | ) | | | (0.55 | ) | | | 13.93 | | | | 7.54% | | | | 472,989 | | | | 0.78% | | | | 1.84% | |
| 12/31/13 | | | 10.57 | | | | 0.20 | | | | 2.93 | | | | 3.13 | | | | (0.23 | ) | | | - | | | | (0.23 | ) | | | 13.47 | | | | 29.93% | | | | 556,649 | | | | 0.78% | | | | 1.64% | |
| 12/31/12 | | | 9.20 | | | | 0.21 | | | | 1.37 | | | | 1.58 | | | | (0.21 | ) | | | - | | | | (0.21 | ) | | | 10.57 | | | | 17.32% | | | | 478,096 | | | | 0.79% | | | | 2.12% | |
| 12/31/11 | | | 9.44 | | | | 0.18 | | | | (0.26 | ) | | | (0.08 | ) | | | (0.16 | ) | | | - | | | | (0.16 | ) | | | 9.20 | | | | (0.79% | ) | | | 511,951 | | | | 0.79% | | | | 1.92% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 13.83 | | | $ | 0.22 | | | $ | (1.27 | ) | | $ | (1.05 | ) | | $ | (0.23 | ) | | $ | (1.35 | ) | | $ | (1.58 | ) | | $ | 11.20 | | | | (7.10% | ) | | $ | 63,263 | | | | 1.03% | | | | 1.72% | |
| 12/31/14 | | | 13.39 | | | | 0.22 | | | | 0.74 | | | | 0.96 | | | | (0.21 | ) | | | (0.31 | ) | | | (0.52 | ) | | | 13.83 | | | | 7.23% | | | | 63,751 | | | | 1.03% | | | | 1.58% | |
| 12/31/13 | | | 10.52 | | | | 0.17 | | | | 2.91 | | | | 3.08 | | | | (0.21 | ) | | | - | | | | (0.21 | ) | | | 13.39 | | | | 29.55% | | | | 54,576 | | | | 1.03% | | | | 1.39% | |
| 12/31/12 | | | 9.16 | | | | 0.19 | | | | 1.36 | | | | 1.55 | | | | (0.19 | ) | | | - | | | | (0.19 | ) | | | 10.52 | | | | 17.06% | | | | 39,397 | | | | 1.04% | | | | 1.88% | |
| 12/31/11 | | | 9.40 | | | | 0.16 | | | | (0.26 | ) | | | (0.10 | ) | | | (0.14 | ) | | | - | | | | (0.14 | ) | | | 9.16 | | | | (0.97% | ) | | | 30,889 | | | | 1.04% | | | | 1.69% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 39 | % | | | 9 | % | | | 15 | % | | | 15 | % | | | 22 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
166
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Equity Index Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000's) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 25.52 | | | $ | 0.42 | | | $ | (0.23 | ) | | $ | 0.19 | | | $ | (0.38 | ) | | $ | (0.57 | ) | | $ | (0.95 | ) | | $ | 24.76 | | | | 0.95% | * | | $ | 74,631 | | | | 0.43% | | | | N/A | | | | 1.67% | |
| 12/31/14 | | | 23.14 | | | | 0.38 | | | | 2.65 | | | | 3.03 | | | | (0.33 | ) | | | (0.32 | ) | | | (0.65 | ) | | | 25.52 | | | | 13.17% | | | | 84,445 | | | | 0.44% | | | | N/A | | | | 1.58% | |
| 12/31/13 | | | 17.89 | | | | 0.34 | | | | 5.30 | | | | 5.64 | | | | (0.33 | ) | | | (0.06 | ) | | | (0.39 | ) | | | 23.14 | | | | 31.84% | | | | 92,853 | | | | 0.44% | | | | 0.44% | l | | | 1.65% | |
| 12/31/12 | | | 15.73 | | | | 0.32 | | | | 2.11 | | | | 2.43 | | | | (0.27 | ) | | | - | | | | (0.27 | ) | | | 17.89 | | | | 15.47% | | | | 79,070 | | | | 0.45% | | | | 0.45% | l | | | 1.84% | |
| 12/31/11 | | | 15.73 | | | | 0.26 | | | | 0.00 | d | | | 0.26 | | | | (0.26 | ) | | | - | | | | (0.26 | ) | | | 15.73 | | | | 1.71% | | | | 74,927 | | | | 0.44% | | | | N/A | | | | 1.62% | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 25.56 | | | $ | 0.47 | | | $ | (0.23 | ) | | $ | 0.24 | | | $ | (0.43 | ) | | $ | (0.57 | ) | | $ | (1.00 | ) | | $ | 24.80 | | | | 1.17% | | | $ | 164,515 | | | | 0.30% | | | | 0.28% | | | | 1.83% | |
| 12/31/14 | | | 23.19 | | | | 0.42 | | | | 2.65 | | | | 3.07 | | | | (0.38 | ) | | | (0.32 | ) | | | (0.70 | ) | | | 25.56 | | | | 13.35% | | | | 154,210 | | | | 0.33% | | | | 0.28% | | | | 1.74% | |
| 12/31/13 | | | 17.93 | | | | 0.37 | | | | 5.31 | | | | 5.68 | | | | (0.36 | ) | | | (0.06 | ) | | | (0.42 | ) | | | 23.19 | | | | 32.02% | | | | 141,468 | | | | 0.33% | | | | 0.28% | | | | 1.81% | |
| 12/31/12 | | | 15.76 | | | | 0.35 | | | | 2.12 | | | | 2.47 | | | | (0.30 | ) | | | - | | | | (0.30 | ) | | | 17.93 | | | | 15.69% | | | | 109,646 | | | | 0.34% | | | | 0.29% | | | | 2.00% | |
| 12/31/11 | | | 15.76 | | | | 0.28 | | | | (0.00 | )d | | | 0.28 | | | | (0.28 | ) | | | - | | | | (0.28 | ) | | | 15.76 | | | | 1.84% | | | | 106,050 | | | | 0.33% | | | | 0.28% | | | | 1.78% | |
Class III | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 25.54 | | | $ | 0.50 | | | $ | (0.22 | ) | | $ | 0.28 | | | $ | (0.47 | ) | | $ | (0.57 | ) | | $ | (1.04 | ) | | $ | 24.78 | | | | 1.32% | | | $ | 172,992 | | | | 0.15% | | | | 0.13% | | | | 1.97% | |
| 12/31/14 | | | 23.16 | | | | 0.46 | | | | 2.65 | | | | 3.11 | | | | (0.41 | ) | | | (0.32 | ) | | | (0.73 | ) | | | 25.54 | | | | 13.54% | | | | 173,459 | | | | 0.19% | | | | 0.14% | | | | 1.88% | |
| 12/31/13 | | | 17.91 | | | | 0.40 | | | | 5.29 | | | | 5.69 | | | | (0.38 | ) | | | (0.06 | ) | | | (0.44 | ) | | | 23.16 | | | | 32.17% | | | | 155,356 | | | | 0.19% | | | | 0.14% | | | | 1.95% | |
| 12/31/12 | | | 15.74 | | | | 0.37 | | | | 2.12 | | | | 2.49 | | | | (0.32 | ) | | | - | | | | (0.32 | ) | | | 17.91 | | | | 15.87% | | | | 119,034 | | | | 0.20% | | | | 0.15% | | | | 2.14% | |
| 12/31/11 | | | 15.75 | | | | 0.31 | | | | (0.02 | ) | | | 0.29 | | | | (0.30 | ) | | | - | | | | (0.30 | ) | | | 15.74 | | | | 1.96% | | | | 106,669 | | | | 0.19% | | | | 0.14% | | | | 1.92% | |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 24.98 | | | $ | 0.35 | | | $ | (0.23 | ) | | $ | 0.12 | | | $ | (0.37 | ) | | $ | (0.57 | ) | | $ | (0.94 | ) | | $ | 24.16 | | | | 0.70% | | | $ | 38,691 | | | | 0.68% | | | | N/A | | | | 1.43% | |
| 12/31/14 | | | 22.72 | | | | 0.32 | | | | 2.59 | | | | 2.91 | | | | (0.33 | ) | | | (0.32 | ) | | | (0.65 | ) | | | 24.98 | | | | 12.92% | | | | 32,075 | | | | 0.69% | | | | N/A | | | | 1.34% | |
| 12/31/13 | | | 17.62 | | | | 0.29 | | | | 5.20 | | | | 5.49 | | | | (0.33 | ) | | | (0.06 | ) | | | (0.39 | ) | | | 22.72 | | | | 31.49% | | | | 21,443 | | | | 0.69% | | | | 0.69% | l | | | 1.40% | |
| 12/31/12 | | | 15.53 | | | | 0.28 | | | | 2.08 | | | | 2.36 | | | | (0.27 | ) | | | - | | | | (0.27 | ) | | | 17.62 | | | | 15.21% | | | | 10,229 | | | | 0.70% | | | | 0.70% | l | | | 1.63% | |
| 12/31/11 | | | 15.59 | | | | 0.22 | | | | 0.00 | d | | | 0.22 | | | | (0.28 | ) | | | - | | | | (0.28 | ) | | | 15.53 | | | | 1.47% | | | | 6,231 | | | | 0.69% | | | | N/A | | | | 1.40% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 4 | % | | | 3 | % | | | 4 | % | | | 3 | % | | | 4 | % |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| * | Generally accepted accounting principles may require adjustment to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the net asset values for shareholder transactions and the returns based on those net asset values may differ from the returns reported in the portfolio manager commentary section of this report. |
The accompanying notes are an integral part of the financial statements.
167
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Focused Equity Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain
(loss) on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gain | | | Tax
return of
capital | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 15.97 | | | $ | 0.21 | | | $ | (1.71 | ) | | $ | (1.50 | ) | | $ | (0.28 | ) | | $ | (2.04 | ) | | $ | - | | | $ | (2.32 | ) | | $ | 12.15 | | | | (8.93% | ) | | $ | 147,436 | | | | 0.90% | | | | N/A | | | | 1.43% | |
| 12/31/14 | | | 15.64 | | | | 0.29 | | | | 1.59 | | | | 1.88 | | | | (0.06 | ) | | | (1.49 | ) | | | - | | | | (1.55 | ) | | | 15.97 | | | | 12.24% | | | | 160,206 | | | | 0.90% | | | | N/A | | | | 1.86% | |
| 12/31/13 | | | 11.49 | | | | 0.05 | | | | 4.29 | | | | 4.34 | | | | - | | | | (0.19 | ) | | | - | | | | (0.19 | ) | | | 15.64 | | | | 38.05% | | | | 166,655 | | | | 0.90% | | | | 0.90% | l | | | 0.40% | |
| 12/31/12 | | | 10.03 | | | | 0.09 | | | | 1.98 | | | | 2.07 | | | | (0.09 | ) | | | (0.52 | ) | | | - | | | | (0.61 | ) | | | 11.49 | | | | 20.61% | | | | 136,305 | | | | 0.90% | | | | 0.90% | k | | | 0.76% | |
| 12/31/11i | | | 10.00 | | | | 0.01 | | | | 0.04 | | | | 0.05 | | | | (0.02 | ) | | | - | | | | (0.00 | )d | | | (0.02 | ) | | | 10.03 | | | | 0.46% | b | | | 110,550 | | | | 1.58% | a | | | 0.90% | a | | | 1.94% | a |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 15.87 | | | $ | 0.17 | | | $ | (1.69 | ) | | $ | (1.52 | ) | | $ | (0.25 | ) | | $ | (2.04 | ) | | $ | - | | | $ | (2.29 | ) | | $ | 12.06 | | | | (9.16% | ) | | $ | 7,023 | | | | 1.15% | | | | N/A | | | | 1.20% | |
| 12/31/14 | | | 15.58 | | | | 0.22 | | | | 1.61 | | | | 1.83 | | | | (0.05 | ) | | | (1.49 | ) | | | - | | | | (1.54 | ) | | | 15.87 | | | | 11.97% | | | | 7,289 | | | | 1.15% | | | | N/A | | | | 1.39% | |
| 12/31/13 | | | 11.48 | | | | 0.02 | | | | 4.27 | | | | 4.29 | | | | - | | | | (0.19 | ) | | | - | | | | (0.19 | ) | | | 15.58 | | | | 37.64% | | | | 4,960 | | | | 1.15% | | | | 1.15% | k | | | 0.18% | |
| 12/31/12h | | | 11.54 | | | | 0.07 | | | | 0.47 | | | | 0.54 | | | | (0.08 | ) | | | (0.52 | ) | | | - | | | | (0.60 | ) | | | 11.48 | | | | 4.68% | b | | | 818 | | | | 1.15% | a | | | 1.15% | a,l | | | 0.91% | a |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 52 | % | | | 35 | % | | | 28 | % | | | 34 | % | | | 13 | %b |
| b | Percentage represents the results for the period and is not annualized. |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| h | For the period May 1, 2012 (commencement of operations) through December 31, 2012. |
| i | For the period December 8, 2011 (commencement of operations) through December 31, 2011. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| k | Amount waived had no impact on the ratio of expenses to average daily net assets. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
168
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Foreign Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to
shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.22 | | | $ | 0.20 | | | $ | (0.63 | ) | | $ | (0.43 | ) | | $ | (0.30 | ) | | $ | (0.30 | ) | | $ | 9.49 | | | | (4.26% | )* | | $ | 347,072 | | | | 0.97% | | | | 1.89% | |
| 12/31/14 | | | 11.22 | | | | 0.34 | | | | (1.09 | ) | | | (0.75 | ) | | | (0.25 | ) | | | (0.25 | ) | | | 10.22 | | | | (6.97% | ) | | | 328,045 | | | | 0.97% | | | | 3.09% | |
| 12/31/13 | | | 9.47 | | | | 0.20 | | | | 1.75 | | | | 1.95 | | | | (0.20 | ) | | | (0.20 | ) | | | 11.22 | | | | 20.80% | | | | 412,363 | | | | 0.97% | | | | 2.00% | |
| 12/31/12 | | | 8.13 | | | | 0.21 | | | | 1.32 | | | | 1.53 | | | | (0.19 | ) | | | (0.19 | ) | | | 9.47 | | | | 19.06% | | | | 355,174 | | | | 0.97% | | | | 2.38% | |
| 12/31/11 | | | 9.21 | | | | 0.23 | | | | (1.14 | ) | | | (0.91 | ) | | | (0.17 | ) | | | (0.17 | ) | | | 8.13 | | | | (9.90% | ) | | | 303,229 | | | | 0.98% | | | | 2.50% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.16 | | | $ | 0.17 | | | $ | (0.62 | ) | | $ | (0.45 | ) | | $ | (0.28 | ) | | $ | (0.28 | ) | | $ | 9.43 | | | | (4.51% | ) | | $ | 11,396 | | | | 1.22% | | | | 1.59% | |
| 12/31/14 | | | 11.16 | | | | 0.30 | | | | (1.07 | ) | | | (0.77 | ) | | | (0.23 | ) | | | (0.23 | ) | | | 10.16 | | | | (7.07% | ) | | | 11,089 | | | | 1.22% | | | | 2.72% | |
| 12/31/13 | | | 9.43 | | | | 0.17 | | | | 1.74 | | | | 1.91 | | | | (0.18 | ) | | | (0.18 | ) | | | 11.16 | | | | 20.42% | | | | 8,350 | | | | 1.22% | | | | 1.71% | |
| 12/31/12 | | | 8.10 | | | | 0.18 | | | | 1.32 | | | | 1.50 | | | | (0.17 | ) | | | (0.17 | ) | | | 9.43 | | | | 18.74% | | | | 6,756 | | | | 1.22% | | | | 2.13% | |
| 12/31/11 | | | 9.18 | | | | 0.20 | | | | (1.12 | ) | | | (0.92 | ) | | | (0.16 | ) | | | (0.16 | ) | | | 8.10 | | | | (10.13% | ) | | | 5,615 | | | | 1.23% | | | | 2.23% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 12 | % | | | 13 | %t | | | 20 | % | | | 15 | % | | | 9 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| t | The portfolio turnover rate was not impacted as a result of the cash merger. |
| * | Generally accepted accounting principles may require adjustment to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the net asset values for shareholder transactions and the returns based on those net asset values may differ from the returns reported in the portfolio manager commentary section of this report. |
The accompanying notes are an integral part of the financial statements.
169
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Fundamental Growth Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.89 | | | $ | 0.09 | | | $ | 0.64 | | | $ | 0.73 | | | $ | (0.13 | ) | | $ | (2.96 | ) | | $ | (3.09 | ) | | $ | 12.53 | | | | 6.22% | | | $ | 183,094 | | | | 0.84% | | | | 0.84% | l | | | 0.63% | |
| 12/31/14 | | | 14.46 | | | | 0.12 | | | | 1.44 | | | | 1.56 | | | | (0.11 | ) | | | (1.02 | ) | | | (1.13 | ) | | | 14.89 | | | | 11.06% | | | | 207,086 | | | | 0.86% | | | | 0.85% | | | | 0.81% | |
| 12/31/13 | | | 10.94 | | | | 0.09 | | | | 3.44 | | | | 3.53 | | | | - | | | | (0.01 | ) | | | (0.01 | ) | | | 14.46 | | | | 32.29% | | | | 236,837 | | | | 0.86% | | | | 0.85% | | | | 0.72% | |
| 12/31/12 | | | 9.95 | | | | 0.09 | | | | 1.23 | | | | 1.32 | | | | (0.09 | ) | | | (0.24 | ) | | | (0.33 | ) | | | 10.94 | | | | 13.14% | | | | 179,834 | | | | 0.87% | | | | 0.85% | | | | 0.79% | |
| 12/31/11i | | | 10.00 | | | | (0.00 | )d | | | (0.05 | ) | | | (0.05 | ) | | | - | | | | - | | | | - | | | | 9.95 | | | | (0.50% | )b | | | 149,274 | | | | 1.41% | a | | | 0.85% | a | | | (0.05% | )a |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.80 | | | $ | 0.05 | | | $ | 0.63 | | | $ | 0.68 | | | $ | (0.11 | ) | | $ | (2.96 | ) | | $ | (3.07 | ) | | $ | 12.41 | | | | 5.91% | | | $ | 2,955 | | | | 1.09% | | | | 1.09% | l | | | 0.36% | |
| 12/31/14 | | | 14.40 | | | | 0.09 | | | | 1.43 | | | | 1.52 | | | | (0.10 | ) | | | (1.02 | ) | | | (1.12 | ) | | | 14.80 | | | | 10.81% | | | | 2,214 | | | | 1.11% | | | | 1.10% | | | | 0.59% | |
| 12/31/13 | | | 10.92 | | | | 0.06 | | | | 3.43 | | | | 3.49 | | | | - | | | | (0.01 | ) | | | (0.01 | ) | | | 14.40 | | | | 31.98% | | | | 1,353 | | | | 1.11% | | | | 1.10% | | | | 0.45% | |
| 12/31/12h | | | 11.50 | | | | 0.07 | | | | (0.33 | ) | | | (0.26 | ) | | | (0.08 | ) | | | (0.24 | ) | | | (0.32 | ) | | | 10.92 | | | | (2.32% | )b | | | 518 | | | | 1.12% | a | | | 1.10% | a | | | 0.94% | a |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 44 | % | | | 51 | % | | | 61 | % | | | 66 | % | | | 0 | %b |
| b | Percentage represents the results for the period and is not annualized. |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| h | For the period May 1, 2012 (commencement of operations) through December 31, 2012. |
| i | For the period December 8, 2011 (commencement of operations) through December 31, 2011. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
170
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Fundamental Value Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 16.20 | | | $ | 0.23 | | | $ | (0.76 | ) | | $ | (0.53 | ) | | $ | (0.22 | ) | | $ | (1.25 | ) | | $ | (1.47 | ) | | $ | 14.20 | | | | (2.88% | ) | | $ | 217,109 | | | | 0.79% | | | | N/A | | | | 1.51% | |
| 12/31/14 | | | 15.46 | | | | 0.23 | | | | 1.47 | | | | 1.70 | | | | (0.25 | ) | | | (0.71 | ) | | | (0.96 | ) | | | 16.20 | | | | 11.19% | | | | 219,679 | | | | 0.79% | | | | N/A | | | | 1.47% | |
| 12/31/13 | | | 12.45 | | | | 0.23 | | | | 3.54 | | | | 3.77 | | | | (0.25 | ) | | | (0.51 | ) | | | (0.76 | ) | | | 15.46 | | | | 30.91% | | | | 233,724 | | | | 0.79% | | | | 0.79% | l | | | 1.61% | |
| 12/31/12 | | | 10.88 | | | | 0.24 | | | | 1.53 | | | | 1.77 | | | | (0.17 | ) | | | (0.03 | ) | | | (0.20 | ) | | | 12.45 | | | | 16.31% | | | | 185,473 | | | | 0.80% | | | | 0.80% | l | | | 1.98% | |
| 12/31/11 | | | 11.08 | | | | 0.18 | | | | (0.37 | ) | | | (0.19 | ) | | | - | | | | (0.01 | ) | | | (0.01 | ) | | | 10.88 | | | | (1.68% | ) | | | 172,645 | | | | 0.81% | | | | 0.80% | | | | 1.65% | |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 16.07 | | | $ | 0.19 | | | $ | (0.76 | ) | | $ | (0.57 | ) | | $ | (0.20 | ) | | $ | (1.25 | ) | | $ | (1.45 | ) | | $ | 14.05 | | | | (3.18% | ) | | $ | 7,757 | | | | 1.04% | | | | N/A | | | | 1.26% | |
| 12/31/14 | | | 15.37 | | | | 0.19 | | | | 1.47 | | | | 1.66 | | | | (0.25 | ) | | | (0.71 | ) | | | (0.96 | ) | | | 16.07 | | | | 10.98% | | | | 5,611 | | | | 1.04% | | | | N/A | | | | 1.21% | |
| 12/31/13 | | | 12.42 | | | | 0.19 | | | | 3.52 | | | | 3.71 | | | | (0.25 | ) | | | (0.51 | ) | | | (0.76 | ) | | | 15.37 | | | | 30.55% | | | | 2,650 | | | | 1.04% | | | | 1.04% | l | | | 1.28% | |
| 12/31/12h | | | 12.16 | | | | 0.14 | | | | 0.33 | | | | 0.47 | | | | (0.18 | ) | | | (0.03 | ) | | | (0.21 | ) | | | 12.42 | | | | 3.90% | b | | | 381 | | | | 1.05% | a | | | 1.05% | a,l | | | 1.78% | a |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 19 | % | | | 14 | % | | | 22 | % | | | 24 | % | | | 14 | % |
| b | Percentage represents the results for the period and is not annualized. |
| c | Per share amount calculated on the average shares method. |
| h | For the period May 1, 2012 (commencement of operations) through December 31, 2012. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| l | Expenses incurred during the period fell under the expense cap. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
171
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Global Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.61 | | | $ | 0.14 | | | $ | (0.33 | ) | | $ | (0.19 | ) | | $ | (0.14 | ) | | $ | (0.54 | ) | | $ | (0.68 | ) | | $ | 11.74 | | | | (1.36% | ) | | $ | 224,808 | | | | 0.86% | | | | 0.85% | | | | 1.13% | |
| 12/31/14 | | | 12.44 | | | | 0.16 | | | | 0.33 | | | | 0.49 | | | | (0.11 | ) | | | (0.21 | ) | | | (0.32 | ) | | | 12.61 | | | | 3.95% | | | | 210,395 | | | | 0.95% | | | | 0.90% | | | | 1.29% | |
| 12/31/13 | | | 9.82 | | | | 0.12 | | | | 2.63 | | | | 2.75 | | | | (0.13 | ) | | | - | | | | (0.13 | ) | | | 12.44 | | | | 28.13% | | | | 149,796 | | | | 0.96% | | | | 0.90% | | | | 1.10% | |
| 12/31/12 | | | 8.02 | | | | 0.12 | | | | 1.77 | | | | 1.89 | | | | (0.09 | ) | | | - | | | | (0.09 | ) | | | 9.82 | | | | 23.69% | | | | 131,665 | | | | 0.98% | | | | 0.90% | | | | 1.33% | |
| 12/31/11 | | | 8.46 | | | | 0.11 | | | | (0.47 | ) | | | (0.36 | ) | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 8.02 | | | | (4.24% | ) | | | 92,595 | | | | 1.00% | | | | 0.90% | | | | 1.28% | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.81 | | | $ | 0.15 | | | $ | (0.34 | ) | | $ | (0.19 | ) | | $ | (0.15 | ) | | $ | (0.54 | ) | | $ | (0.69 | ) | | $ | 11.93 | | | | (1.35% | ) | | $ | 15,876 | | | | 0.83% | | | | 0.81% | | | | 1.13% | |
| 12/31/14 | | | 12.63 | | | | 0.17 | | | | 0.33 | | | | 0.50 | | | | (0.11 | ) | | | (0.21 | ) | | | (0.32 | ) | | | 12.81 | | | | 4.00% | | | | 17,481 | | | | 0.85% | | | | 0.80% | | | | 1.35% | |
| 12/31/13 | | | 9.96 | | | | 0.14 | | | | 2.66 | | | | 2.80 | | | | (0.13 | ) | | | - | | | | (0.13 | ) | | | 12.63 | | | | 28.34% | | | | 18,681 | | | | 0.86% | | | | 0.80% | | | | 1.21% | |
| 12/31/12 | | | 8.13 | | | | 0.13 | | | | 1.80 | | | | 1.93 | | | | (0.10 | ) | | | - | | | | (0.10 | ) | | | 9.96 | | | | 23.79% | | | | 16,324 | | | | 0.88% | | | | 0.80% | | | | 1.45% | |
| 12/31/11 | | | 8.57 | | | | 0.12 | | | | (0.48 | ) | | | (0.36 | ) | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 8.13 | | | | (4.15% | ) | | | 15,218 | | | | 0.90% | | | | 0.80% | | | | 1.42% | |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.52 | | | $ | 0.10 | | | $ | (0.31 | ) | | $ | (0.21 | ) | | $ | (0.12 | ) | | $ | (0.54 | ) | | $ | (0.66 | ) | | $ | 11.65 | | | | (1.55% | )* | | $ | 10,646 | | | | 1.11% | | | | 1.10% | | | | 0.84% | |
| 12/31/14 | | | 12.38 | | | | 0.12 | | | | 0.32 | | | | 0.44 | | | | (0.09 | ) | | | (0.21 | ) | | | (0.30 | ) | | | 12.52 | | | | 3.57% | | | | 9,220 | | | | 1.20% | | | | 1.15% | | | | 1.00% | |
| 12/31/13 | | | 9.78 | | | | 0.09 | | | | 2.63 | | | | 2.72 | | | | (0.12 | ) | | | - | | | | (0.12 | ) | | | 12.38 | | | | 27.94% | | | | 6,657 | | | | 1.21% | | | | 1.15% | | | | 0.82% | |
| 12/31/12 | | | 8.00 | | | | 0.09 | | | | 1.77 | | | | 1.86 | | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 9.78 | | | | 23.35% | | | | 3,707 | | | | 1.23% | | | | 1.15% | | | | 1.03% | |
| 12/31/11 | | | 8.47 | | | | 0.08 | | | | (0.47 | ) | | | (0.39 | ) | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 8.00 | | | | (4.58% | ) | | | 2,330 | | | | 1.25% | | | | 1.15% | | | | 0.98% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 17 | % | | | 12 | % | | | 11 | % | | | 11 | % | | | 16 | % |
| c | Per share amount calculated on the average shares method. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| * | Generally accepted accounting principles may require adjustment to be made to the net assets of the Fund at period end for financial reporting purposes, and as such, the net asset values for shareholder transactions and the returns based on those net asset values may differ from the returns reported in the portfolio manager commentary section of this report. |
The accompanying notes are an integral part of the financial statements.
172
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Growth & Income Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to
shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 13.28 | | | $ | 0.14 | | | $ | (0.08 | ) | | $ | 0.06 | | | $ | (0.16 | ) | | $ | (0.16 | ) | | $ | 13.18 | | | | 0.49% | | | $ | 106,578 | | | | 0.56% | | | | 1.01% | |
| 12/31/14 | | | 12.08 | | | | 0.14 | | | | 1.20 | | | | 1.34 | | | | (0.14 | ) | | | (0.14 | ) | | | 13.28 | | | | 11.19% | | | | 121,667 | | | | 0.56% | | | | 1.16% | |
| 12/31/13 | | | 9.24 | | | | 0.13 | | | | 2.85 | | | | 2.98 | | | | (0.14 | ) | | | (0.14 | ) | | | 12.08 | | | | 32.53% | | | | 129,107 | | | | 0.57% | | | | 1.22% | |
| 12/31/12 | | | 7.83 | | | | 0.13 | | | | 1.39 | | | | 1.52 | | | | (0.11 | ) | | | (0.11 | ) | | | 9.24 | | | | 19.49% | | | | 116,115 | | | | 0.58% | | | | 1.46% | |
| 12/31/11 | | | 8.07 | | | | 0.10 | | | | (0.25 | ) | | | (0.15 | ) | | | (0.09 | ) | | | (0.09 | ) | | | 7.83 | | | | (1.83% | ) | | | 116,867 | | | | 0.58% | | | | 1.23% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 13.21 | | | $ | 0.10 | | | $ | (0.08 | ) | | $ | 0.02 | | | $ | (0.13 | ) | | $ | (0.13 | ) | | $ | 13.10 | | | | 0.18% | | | $ | 18,797 | | | | 0.81% | | | | 0.76% | |
| 12/31/14 | | | 12.02 | | | | 0.11 | | | | 1.20 | | | | 1.31 | | | | (0.12 | ) | | | (0.12 | ) | | | 13.21 | | | | 10.94% | | | | 18,929 | | | | 0.81% | | | | 0.91% | |
| 12/31/13 | | | 9.20 | | | | 0.10 | | | | 2.84 | | | | 2.94 | | | | (0.12 | ) | | | (0.12 | ) | | | 12.02 | | | | 32.20% | | | | 17,142 | | | | 0.82% | | | | 0.97% | |
| 12/31/12 | | | 7.79 | | | | 0.11 | | | | 1.39 | | | | 1.50 | | | | (0.09 | ) | | | (0.09 | ) | | | 9.20 | | | | 19.32% | | | | 12,385 | | | | 0.83% | | | | 1.21% | |
| 12/31/11 | | | 8.03 | | | | 0.08 | | | | (0.25 | ) | | | (0.17 | ) | | | (0.07 | ) | | | (0.07 | ) | | | 7.79 | | | | (2.13% | ) | | | 10,090 | | | | 0.83% | | | | 0.97% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 17 | % | | | 20 | % | | | 19 | % | | | 26 | % | | | 22 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
173
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Income & Growth Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.44 | | | $ | 0.23 | | | $ | (0.31 | ) | | $ | (0.08 | ) | | $ | (0.24 | ) | | $ | (0.77 | ) | | $ | (1.01 | ) | | $ | 11.35 | | | | (0.09% | ) | | $ | 221,763 | | | | 0.69% | | | | 1.90% | |
| 12/31/14 | | | 11.60 | | | | 0.23 | | | | 0.83 | | | | 1.06 | | | | (0.22 | ) | | | - | | | | (0.22 | ) | | | 12.44 | | | | 9.22% | | | | 232,187 | | | | 0.70% | | | | 1.91% | |
| 12/31/13 | | | 9.48 | | | | 0.22 | | | | 2.09 | | | | 2.31 | | | | (0.19 | ) | | | - | | | | (0.19 | ) | | | 11.60 | | | | 24.62% | | | | 228,095 | | | | 0.70% | | | | 2.07% | |
| 12/31/12 | | | 8.56 | | | | 0.23 | | | | 0.79 | | | | 1.02 | | | | (0.10 | ) | | | - | | | | (0.10 | ) | | | 9.48 | | | | 11.96% | | | | 171,207 | | | | 0.72% | | | | 2.51% | |
| 12/31/11 | | | 8.37 | | | | 0.20 | | | | 0.25 | | | | 0.45 | | | | (0.26 | ) | | | - | | | | (0.26 | ) | | | 8.56 | | | | 5.60% | | | | 88,465 | | | | 0.74% | | | | 2.37% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.34 | | | $ | 0.20 | | | $ | (0.31 | ) | | $ | (0.11 | ) | | $ | (0.21 | ) | | $ | (0.77 | ) | | $ | (0.98 | ) | | $ | 11.25 | | | | (0.35% | ) | | $ | 16,906 | | | | 0.94% | | | | 1.65% | |
| 12/31/14 | | | 11.51 | | | | 0.20 | | | | 0.83 | | | | 1.03 | | | | (0.20 | ) | | | - | | | | (0.20 | ) | | | 12.34 | | | | 8.96% | | | | 16,131 | | | | 0.95% | | | | 1.66% | |
| 12/31/13 | | | 9.42 | | | | 0.20 | | | | 2.06 | | | | 2.26 | | | | (0.17 | ) | | | - | | | | (0.17 | ) | | | 11.51 | | | | 24.22% | | | | 14,775 | | | | 0.95% | | | | 1.82% | |
| 12/31/12 | | | 8.51 | | | | 0.20 | | | | 0.80 | | | | 1.00 | | | | (0.09 | ) | | | - | | | | (0.09 | ) | | | 9.42 | | | | 11.73% | | | | 11,282 | | | | 0.97% | | | | 2.23% | |
| 12/31/11 | | | 8.33 | | | | 0.18 | | | | 0.26 | | | | 0.44 | | | | (0.26 | ) | | | - | | | | (0.26 | ) | | | 8.51 | | | | 5.40% | | | | 8,466 | | | | 0.99% | | | | 2.18% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 27 | % | | | 19 | % | | | 15 | % | | | 3 | % | | | 12 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
174
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML International Equity Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 9.27 | | | $ | 0.15 | | | $ | (0.59 | ) | | $ | (0.44 | ) | | $ | (0.02 | ) | | $ | - | | | $ | (0.02 | ) | | $ | 8.81 | | | | (4.77% | ) | | $ | 164,083 | | | | 1.09% | | | | 1.00% | | | | 1.59% | |
| 12/31/14g | | | 10.00 | | | | 0.18 | | | | (0.65 | ) | | | (0.47 | ) | | | (0.20 | ) | | | (0.06 | ) | | | (0.26 | ) | | | 9.27 | | | | (4.67% | )b | | | 123,915 | | | | 1.15% | a | | | 1.00% | a | | | 1.79% | a |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 9.27 | | | $ | 0.10 | | | $ | (0.57 | ) | | $ | (0.47 | ) | | $ | (0.02 | ) | | $ | - | | | $ | (0.02 | ) | | $ | 8.78 | | | | (5.10% | ) | | $ | 1,513 | | | | 1.35% | | | | 1.25% | | | | 1.11% | |
| 12/31/14h | | | 10.29 | | | | 0.07 | | | | (0.83 | ) | | | (0.76 | ) | | | (0.20 | ) | | | (0.06 | ) | | | (0.26 | ) | | | 9.27 | | | | (7.44% | )b | | | 298 | | | | 1.36% | a | | | 1.25% | a | | | 1.08% | a |
| | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | |
Portfolio turnover rate | | | 46 | % | | | 39 | %b,g |
| b | Percentage represents the results for the period and is not annualized. |
| c | Per share amount calculated on the average shares method. |
| g | For the period January 7, 2014 (commencement of operations) through December 31, 2014. |
| h | For the period May 1, 2014 (commencement of operations) through December 31, 2014. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
175
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Large Cap Growth Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.06 | | | $ | 0.01 | | | $ | 0.58 | | | $ | 0.59 | | | $ | - | | | $ | (2.95 | ) | | $ | (2.95 | ) | | $ | 11.70 | | | | 5.12% | | | $ | 214,299 | | | | 0.69% | | | | 0.10% | |
| 12/31/14 | | | 14.63 | | | | (0.01 | ) | | | 1.36 | | | | 1.35 | | | | - | | | | (1.92 | ) | | | (1.92 | ) | | | 14.06 | | | | 9.51% | | | | 242,229 | | | | 0.69% | | | | (0.07% | ) |
| 12/31/13 | | | 11.62 | | | | 0.00 | d | | | 3.76 | | | | 3.76 | | | | (0.05 | ) | | | (0.70 | ) | | | (0.75 | ) | | | 14.63 | | | | 33.54% | | | | 268,330 | | | | 0.70% | | | | 0.00% | e |
| 12/31/12 | | | 10.04 | | | | 0.05 | | | | 1.54 | | | | 1.59 | | | | (0.01 | ) | | | - | | | | (0.01 | ) | | | 11.62 | | | | 15.81% | | | | 205,833 | | | | 0.70% | | | | 0.49% | |
| 12/31/11 | | | 10.45 | | | | 0.01 | | | | (0.40 | ) | | | (0.39 | ) | | | (0.02 | ) | | | - | | | | (0.02 | ) | | | 10.04 | | | | (3.69% | ) | | | 188,235 | | | | 0.71% | | | | 0.08% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 13.89 | | | $ | (0.02 | ) | | $ | 0.56 | | | $ | 0.54 | | | $ | - | | | $ | (2.95 | ) | | $ | (2.95 | ) | | $ | 11.48 | | | | 4.80% | | | $ | 3,501 | | | | 0.94% | | | | (0.15% | ) |
| 12/31/14 | | | 14.51 | | | | (0.04 | ) | | | 1.34 | | | | 1.30 | | | | - | | | | (1.92 | ) | | | (1.92 | ) | | | 13.89 | | | | 9.23% | | | | 2,726 | | | | 0.94% | | | | (0.29% | ) |
| 12/31/13 | | | 11.53 | | | | (0.03 | ) | | | 3.73 | | | | 3.70 | | | | (0.02 | ) | | | (0.70 | ) | | | (0.72 | ) | | | 14.51 | | | | 33.24% | | | | 1,849 | | | | 0.95% | | | | (0.25% | ) |
| 12/31/12 | | | 9.99 | | | | 0.03 | | | | 1.51 | | | | 1.54 | | | | - | | | | - | | | | - | | | | 11.53 | | | | 15.42% | | | | 1,439 | | | | 0.95% | | | | 0.25% | |
| 12/31/11 | | | 10.40 | | | | (0.02 | ) | | | (0.38 | ) | | | (0.40 | ) | | | (0.01 | ) | | | - | | | | (0.01 | ) | | | 9.99 | | | | (3.82% | ) | | | 1,176 | | | | 0.96% | | | | (0.17% | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 73 | % | | | 77 | % | | | 89 | % | | | 91 | % | | | 90 | % |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| e | Amount is less than 0.005%. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
176
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Managed Volatility Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.11 | | | $ | 0.17 | | | $ | 0.25 | | | $ | 0.42 | | | $ | (0.26 | ) | | $ | - | | | $ | (0.26 | ) | | $ | 14.27 | | | | 3.01% | | | $ | 162,332 | | | | 0.89% | | | | 1.18% | |
| 12/31/14 | | | 14.33 | | | | 0.16 | | | | 0.46 | | | | 0.62 | | | | (0.10 | ) | | | (0.74 | ) | | | (0.84 | ) | | | 14.11 | | | | 4.41% | | | | 336,931 | | | | 0.90% | | | | 1.14% | |
| 12/31/13 | | | 12.34 | | | | 0.16 | | | | 2.02 | | | | 2.18 | | | | (0.19 | ) | | | - | | | | (0.19 | ) | | | 14.33 | | | | 17.78% | | | | 203,330 | | | | 0.88% | | | | 1.19% | |
| 12/31/12 | | | 10.98 | | | | 0.17 | | | | 1.27 | | | | 1.44 | | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 12.34 | | | | 13.19% | | | | 193,271 | | | | 0.83% | | | | 1.43% | |
| 12/31/11 | | | 11.54 | | | | 0.10 | | | | (0.56 | ) | | | (0.46 | ) | | | (0.10 | ) | | | - | | | | (0.10 | ) | | | 10.98 | | | | (3.94% | ) | | | 193,403 | | | | 0.82% | | | | 0.89% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.02 | | | $ | 0.14 | | | $ | 0.24 | | | $ | 0.38 | | | $ | (0.22 | ) | | $ | - | | | $ | (0.22 | ) | | $ | 14.18 | | | | 2.79% | | | $ | 33,180 | | | | 1.14% | | | | 0.95% | |
| 12/31/14 | | | 14.25 | | | | 0.13 | | | | 0.45 | | | | 0.58 | | | | (0.07 | ) | | | (0.74 | ) | | | (0.81 | ) | | | 14.02 | | | | 4.14% | | | | 31,812 | | | | 1.15% | | | | 0.88% | |
| 12/31/13 | | | 12.27 | | | | 0.13 | | | | 2.02 | | | | 2.15 | | | | (0.17 | ) | | | - | | | | (0.17 | ) | | | 14.25 | | | | 17.56% | | | | 28,423 | | | | 1.13% | | | | 0.95% | |
| 12/31/12 | | | 10.93 | | | | 0.14 | | | | 1.26 | | | | 1.40 | | | | (0.06 | ) | | | - | | | | (0.06 | ) | | | 12.27 | | | | 12.83% | | | | 22,660 | | | | 1.08% | | | | 1.21% | |
| 12/31/11 | | | 11.49 | | | | 0.07 | | | | (0.55 | ) | | | (0.48 | ) | | | (0.08 | ) | | | - | | | | (0.08 | ) | | | 10.93 | | | | (4.14% | ) | | | 18,508 | | | | 1.07% | | | | 0.64% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 3 | % | | | 14 | % | | | 94 | % | | | 11 | % | | | 15 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
177
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Mid Cap Growth Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss)
to average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 16.41 | | | $ | (0.01 | ) | | $ | 1.05 | | | $ | 1.04 | | | $ | - | | | $ | (1.95 | ) | | $ | (1.95 | ) | | $ | 15.50 | | | | 6.78% | | | $ | 375,328 | | | | 0.81% | | | | (0.07% | ) |
| 12/31/14 | | | 16.59 | | | | (0.03 | ) | | | 2.11 | | | | 2.08 | | | | - | | | | (2.26 | ) | | | (2.26 | ) | | | 16.41 | | | | 13.27% | | | | 377,028 | | | | 0.81% | | | | (0.17% | ) |
| 12/31/13 | | | 12.96 | | | | (0.03 | ) | | | 4.65 | | | | 4.62 | | | | (0.04 | ) | | | (0.95 | ) | | | (0.99 | ) | | | 16.59 | | | | 36.69% | | | | 371,803 | | | | 0.81% | | | | (0.21% | ) |
| 12/31/12 | | | 12.08 | | | | 0.01 | | | | 1.63 | | | | 1.64 | | | | - | | | | (0.76 | ) | | | (0.76 | ) | | | 12.96 | | | | 13.78% | | | | 330,731 | | | | 0.82% | | | | 0.04% | |
| 12/31/11 | | | 12.23 | | | | (0.04 | ) | | | (0.11 | ) | | | (0.15 | ) | | | - | | | | - | | | | - | | | | 12.08 | | | | (1.23% | ) | | | 305,757 | | | | 0.82% | | | | (0.33% | ) |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 16.12 | | | $ | (0.05 | ) | | $ | 1.04 | | | $ | 0.99 | | | $ | - | | | $ | (1.95 | ) | | $ | (1.95 | ) | | $ | 15.16 | | | | 6.59% | | | $ | 66,936 | | | | 1.06% | | | | (0.31% | ) |
| 12/31/14 | | | 16.38 | | | | (0.07 | ) | | | 2.07 | | | | 2.00 | | | | - | | | | (2.26 | ) | | | (2.26 | ) | | | 16.12 | | | | 12.93% | | | | 56,457 | | | | 1.06% | | | | (0.42% | ) |
| 12/31/13 | | | 12.81 | | | | (0.07 | ) | | | 4.61 | | | | 4.54 | | | | (0.02 | ) | | | (0.95 | ) | | | (0.97 | ) | | | 16.38 | | | | 36.40% | | | | 43,873 | | | | 1.06% | | | | (0.45% | ) |
| 12/31/12 | | | 11.98 | | | | (0.02 | ) | | | 1.61 | | | | 1.59 | | | | - | | | | (0.76 | ) | | | (0.76 | ) | | | 12.81 | | | | 13.47% | | | | 29,154 | | | | 1.07% | | | | (0.19% | ) |
| 12/31/11 | | | 12.17 | | | | (0.07 | ) | | | (0.12 | ) | | | (0.19 | ) | | | - | | | | - | | | | - | | | | 11.98 | | | | (1.56% | ) | | | 22,796 | | | | 1.07% | | | | (0.57% | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 35 | % | | | 25 | % | | | 26 | % | | | 31 | % | | | 33 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
178
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Mid Cap Value Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 13.12 | | | $ | 0.16 | | | $ | (0.43 | ) | | $ | (0.27 | ) | | $ | (0.25 | ) | | $ | (1.86 | ) | | $ | (2.11 | ) | | $ | 10.74 | | | | (1.45% | ) | | $ | 427,920 | | | | 0.88% | | | | 1.26% | |
| 12/31/14 | | | 13.65 | | | | 0.19 | | | | 1.97 | | | | 2.16 | | | | (0.24 | ) | | | (2.45 | ) | | | (2.69 | ) | | | 13.12 | | | | 16.66% | | | | 465,533 | | | | 0.88% | | | | 1.39% | |
| 12/31/13 | | | 11.11 | | | | 0.20 | | | | 3.09 | | | | 3.29 | | | | (0.24 | ) | | | (0.51 | ) | | | (0.75 | ) | | | 13.65 | | | | 30.43% | | | | 467,386 | | | | 0.88% | | | | 1.57% | |
| 12/31/12 | | | 10.17 | | | | 0.23 | | | | 1.42 | | | | 1.65 | | | | (0.18 | ) | | | (0.53 | ) | | | (0.71 | ) | | | 11.11 | | | | 16.70% | | | | 437,725 | | | | 0.89% | | | | 2.12% | |
| 12/31/11 | | | 10.46 | | | | 0.17 | | | | (0.25 | ) | | | (0.08 | ) | | | (0.21 | ) | | | - | | | | (0.21 | ) | | | 10.17 | | | | (0.64% | ) | | | 407,615 | | | | 0.90% | | | | 1.62% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 12.99 | | | $ | 0.12 | | | $ | (0.41 | ) | | $ | (0.29 | ) | | $ | (0.22 | ) | | $ | (1.86 | ) | | $ | (2.08 | ) | | $ | 10.62 | | | | (1.60% | ) | | $ | 32,950 | | | | 1.13% | | | | 1.03% | |
| 12/31/14 | | | 13.55 | | | | 0.16 | | | | 1.94 | | | | 2.10 | | | | (0.21 | ) | | | (2.45 | ) | | | (2.66 | ) | | | 12.99 | | | | 16.33% | | | | 30,017 | | | | 1.13% | | | | 1.16% | |
| 12/31/13 | | | 11.04 | | | | 0.17 | | | | 3.07 | | | | 3.24 | | | | (0.22 | ) | | | (0.51 | ) | | | (0.73 | ) | | | 13.55 | | | | 30.11% | | | | 23,348 | | | | 1.13% | | | | 1.33% | |
| 12/31/12 | | | 10.12 | | | | 0.20 | | | | 1.41 | | | | 1.61 | | | | (0.16 | ) | | | (0.53 | ) | | | (0.69 | ) | | | 11.04 | | | | 16.37% | | | | 16,241 | | | | 1.14% | | | | 1.89% | |
| 12/31/11 | | | 10.41 | | | | 0.14 | | | | (0.23 | ) | | | (0.09 | ) | | | (0.20 | ) | | | - | | | | (0.20 | ) | | | 10.12 | | | | (0.81% | ) | | | 12,970 | | | | 1.15% | | | | 1.38% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 68 | % | | | 66 | % | | | 71 | % | | | 81 | % | | | 106 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
179
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Small Cap Growth Equity Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to
shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000's) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 17.85 | | | $ | (0.04 | ) | | $ | (0.74 | ) | | $ | (0.78 | ) | | $ | (3.56 | ) | | $ | (3.56 | ) | | $ | 13.51 | | | | (5.11 | %) | | $ | 194,889 | | | | 1.09 | % | | | N/A | | | | (0.22 | %) |
| 12/31/14 | | | 22.81 | | | | (0.09 | ) | | | 1.21 | | | | 1.12 | | | | (6.08 | ) | | | (6.08 | ) | | | 17.85 | | | | 5.92 | % | | | 253,096 | | | | 1.08 | % | | | N/A | | | | (0.43 | %) |
| 12/31/13 | | | 16.30 | | | | (0.08 | ) | | | 7.79 | | | | 7.71 | | | | (1.20 | ) | | | (1.20 | ) | | | 22.81 | | | | 48.54 | % | | | 273,041 | | | | 1.10 | % | | | 1.08 | % | | | (0.43 | %) |
| 12/31/12 | | | 16.05 | | | | (0.06 | ) | | | 2.17 | | | | 2.11 | | | | (1.86 | ) | | | (1.86 | ) | | | 16.30 | | | | 13.41 | % | | | 256,961 | | | | 1.13 | % | | | 1.12 | % | | | (0.38 | %) |
| 12/31/11 | | | 17.70 | | | | (0.12 | ) | | | (0.82 | ) | | | (0.94 | ) | | | (0.71 | ) | | | (0.71 | ) | | | 16.05 | | | | (5.23 | %) | | | 250,279 | | | | 1.13 | % | | | N/A | | | | (0.68 | %) |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 17.40 | | | $ | (0.07 | ) | | $ | (0.72 | ) | | $ | (0.79 | ) | | $ | (3.56 | ) | | $ | (3.56 | ) | | $ | 13.05 | | | | (5.33 | %) | | $ | 11,375 | | | | 1.34 | % | | | N/A | | | | (0.46 | %) |
| 12/31/14 | | | 22.44 | | | | (0.13 | ) | | | 1.17 | | | | 1.04 | | | | (6.08 | ) | | | (6.08 | ) | | | 17.40 | | | | 5.62 | % | | | 9,977 | | | | 1.33 | % | | | N/A | | | | (0.67 | %) |
| 12/31/13 | | | 16.09 | | | | (0.13 | ) | | | 7.68 | | | | 7.55 | | | | (1.20 | ) | | | (1.20 | ) | | | 22.44 | | | | 48.17 | % | | | 7,871 | | | | 1.35 | % | | | 1.34 | % | | | (0.69 | %) |
| 12/31/12 | | | 15.91 | | | | (0.10 | ) | | | 2.14 | | | | 2.04 | | | | (1.86 | ) | | | (1.86 | ) | | | 16.09 | | | | 13.07 | % | | | 5,837 | | | | 1.38 | % | | | 1.37 | % | | | (0.63 | %) |
| 12/31/11 | | | 17.59 | | | | (0.16 | ) | | | (0.81 | ) | | | (0.97 | ) | | | (0.71 | ) | | | (0.71 | ) | | | 15.91 | | | | (5.43 | %) | | | 5,120 | | | | 1.38 | % | | | N/A | | | | (0.92 | %) |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 78 | % | | | 78 | % | | | 86 | % | | | 90 | % | | | 91 | % |
| c | Per share amount calculated on the average shares method. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
180
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Small Company Value Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waivers | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj | | | Net
investment
income
(loss) to
average
daily net
assets | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 17.59 | | | $ | 0.10 | | | $ | (1.06 | ) | | $ | (0.96 | ) | | $ | (0.06 | ) | | $ | (1.69 | ) | | $ | (1.75 | ) | | $ | 14.88 | | | | (5.36% | ) | | $ | 88,068 | | | | 1.09% | | | | 1.05% | | | | 0.62% | |
| 12/31/14 | | | 23.88 | | | | 0.05 | | | | (0.01 | ) | | | 0.04 | | | | - | | | | (6.33 | ) | | | (6.33 | ) | | | 17.59 | | | | 0.47% | | | | 95,788 | | | | 1.17% | | | | 1.15% | | | | 0.26% | |
| 12/31/13 | | | 18.86 | | | | (0.01 | ) | | | 5.87 | | | | 5.86 | | | | (0.26 | ) | | | (0.58 | ) | | | (0.84 | ) | | | 23.88 | | | | 31.71% | | | | 97,840 | | | | 1.16% | | | | 1.15% | | | | (0.04% | ) |
| 12/31/12 | | | 16.83 | | | | 0.19 | | | | 2.34 | | | | 2.53 | | | | (0.00 | )d | | | (0.50 | ) | | | (0.50 | ) | | | 18.86 | | | | 15.20% | | | | 114,274 | | | | 1.17% | | | | 1.15% | | | | 1.05% | |
| 12/31/11 | | | 17.30 | | | | (0.01 | ) | | | (0.23 | ) | | | (0.24 | ) | | | - | | | | (0.23 | ) | | | (0.23 | ) | | | 16.83 | | | | (1.26% | ) | | | 102,633 | | | | 1.17% | | | | 1.15% | | | | (0.06% | ) |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 17.29 | | | $ | 0.06 | | | $ | (1.06 | ) | | $ | (1.00 | ) | | $ | (0.02 | ) | | $ | (1.69 | ) | | $ | (1.71 | ) | | $ | 14.58 | | | | (5.65% | ) | | $ | 10,829 | | | | 1.33% | | | | 1.30% | | | | 0.37% | |
| 12/31/14 | | | 23.63 | | | | 0.00 | d | | | (0.01 | ) | | | (0.01 | ) | | | - | | | | (6.33 | ) | | | (6.33 | ) | | | 17.29 | | | | 0.24% | | | | 10,726 | | | | 1.42% | | | | 1.40% | | | | 0.02% | |
| 12/31/13 | | | 18.70 | | | | (0.05 | ) | | | 5.79 | | | | 5.74 | | | | (0.23 | ) | | | (0.58 | ) | | | (0.81 | ) | | | 23.63 | | | | 31.34% | | | | 9,944 | | | | 1.41% | | | | 1.40% | | | | (0.23% | ) |
| 12/31/12 | | | 16.73 | | | | 0.15 | | | | 2.32 | | | | 2.47 | | | | - | | | | (0.50 | ) | | | (0.50 | ) | | | 18.70 | | | | 14.99% | | | | 6,354 | | | | 1.42% | | | | 1.40% | | | | 0.86% | |
| 12/31/11 | | | 17.24 | | | | (0.05 | ) | | | (0.23 | ) | | | (0.28 | ) | | | - | | | | (0.23 | ) | | | (0.23 | ) | | | 16.73 | | | | (1.56% | ) | | | 3,951 | | | | 1.42% | | | | 1.40% | | | | (0.28% | ) |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 44 | % | | | 22 | % | | | 12 | % | | | 14 | % | | | 13 | % |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
181
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Small/Mid Cap Value Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c | | | Net
realized
and
unrealized
gain (loss)
on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets | | | Net
investment
income
(loss) to
average
daily net
assets | |
Initial Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.69 | | | $ | 0.07 | | | $ | (0.89 | ) | | $ | (0.82 | ) | | $ | (0.11 | ) | | $ | (2.42 | ) | | $ | (2.53 | ) | | $ | 11.34 | | | | (5.53% | ) | | $ | 197,297 | | | | 0.79% | | | | 0.50% | |
| 12/31/14 | | | 13.80 | | | | 0.11 | | | | 1.19 | | | | 1.30 | | | | (0.09 | ) | | | (0.32 | ) | | | (0.41 | ) | | | 14.69 | | | | 9.45% | | | | 236,399 | | | | 0.79% | | | | 0.80% | |
| 12/31/13 | | | 10.06 | | | | 0.09 | | | | 3.74 | | | | 3.83 | | | | (0.09 | ) | | | - | | | | (0.09 | ) | | | 13.80 | | | | 38.18% | | | | 257,210 | | | | 0.80% | | | | 0.74% | |
| 12/31/12 | | | 8.51 | | | | 0.08 | | | | 1.54 | | | | 1.62 | | | | (0.07 | ) | | | - | | | | (0.07 | ) | | | 10.06 | | | | 19.06% | | | | 168,248 | | | | 0.81% | | | | 0.82% | |
| 12/31/11 | | | 9.26 | | | | 0.05 | | | | (0.75 | ) | | | (0.70 | ) | | | (0.05 | ) | | | - | | | | (0.05 | ) | | | 8.51 | | | | (7.50% | ) | | | 170,925 | | | | 0.81% | | | | 0.53% | |
Service Class | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 14.59 | | | $ | 0.04 | | | $ | (0.89 | ) | | $ | (0.85 | ) | | $ | (0.07 | ) | | $ | (2.42 | ) | | $ | (2.49 | ) | | $ | 11.25 | | | | (5.74% | ) | | $ | 15,919 | | | | 1.04% | | | | 0.27% | |
| 12/31/14 | | | 13.72 | | | | 0.08 | | | | 1.18 | | | | 1.26 | | | | (0.07 | ) | | | (0.32 | ) | | | (0.39 | ) | | | 14.59 | | | | 9.16% | | | | 15,484 | | | | 1.04% | | | | 0.56% | |
| 12/31/13 | | | 10.01 | | | | 0.06 | | | | 3.72 | | | | 3.78 | | | | (0.07 | ) | | | - | | | | (0.07 | ) | | | 13.72 | | | | 37.82% | | | | 12,729 | | | | 1.05% | | | | 0.47% | |
| 12/31/12 | | | 8.47 | | | | 0.06 | | | | 1.53 | | | | 1.59 | | | | (0.05 | ) | | | - | | | | (0.05 | ) | | | 10.01 | | | | 18.78% | | | | 8,717 | | | | 1.06% | | | | 0.60% | |
| 12/31/11 | | | 9.22 | | | | 0.03 | | | | (0.74 | ) | | | (0.71 | ) | | | (0.04 | ) | | | - | | | | (0.04 | ) | | | 8.47 | | | | (7.70% | ) | | | 7,067 | | | | 1.06% | | | | 0.30% | |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 42 | % | | | 46 | % | | | 67 | % | | | 49 | % | | | 72 | % |
| c | Per share amount calculated on the average shares method. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
The accompanying notes are an integral part of the financial statements.
182
MML Series Investment Fund – Financial Statements (Continued)
Financial Highlights (For a share outstanding throughout each period)
MML Total Return Bond Fund
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | Income (loss) from investment
operations | | | Less distributions
to shareholders | | | | | | | | | Ratios / Supplemental Data | |
| | | Net
asset
value,
beginning
of the
period | | | Net
investment
income
(loss)c,j | | | Net
realized
and
unrealized
gain
(loss) on
investments | | | Total
income
(loss) from
investment
operations | | | From net
investment
income | | | From net
realized
gains | | | Total
distributions | | | Net
asset
value,
end of
the
period | | | Total
returnm | | | Net
assets,
end of
the
period
(000’s) | | | Ratio of
expenses
to average
daily net
assets
before
expense
waiversn | | | Ratio of
expenses
to average
daily net
assets
after
expense
waiversj,n | | | Interest
expense
to
average
daily
net
assetsp | | | Net
investment
income
(loss) to
average
daily
net assetsn | |
Class II | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.64 | | | $ | 0.14 | | | $ | (0.11 | ) | | $ | 0.03 | | | $ | (0.36 | ) | | $ | (0.12 | ) | | $ | (0.48 | ) | | $ | 10.19 | | | | 0.24% | | | $ | 328,928 | | | | 0.66% | | | | 0.60% | | | | N/A | | | | 1.32% | |
| 12/31/14 | | | 10.34 | | | | 0.13 | | | | 0.36 | | | | 0.49 | | | | (0.19 | ) | | | - | | | | (0.19 | ) | | | 10.64 | | | | 4.75% | | | | 403,732 | | | | 0.70% | | | | 0.65% | | | | 0.00% | e | | | 1.27% | |
| 12/31/13 | | | 10.82 | | | | 0.13 | | | | (0.31 | ) | | | (0.18 | ) | | | (0.21 | ) | | | (0.09 | ) | | | (0.30 | ) | | | 10.34 | | | | (1.63% | ) | | | 401,127 | | | | 0.69% | | | | 0.65% | | | | 0.00% | e | | | 1.23% | |
| 12/31/12 | | | 10.13 | | | | 0.20 | | | | 0.70 | | | | 0.90 | | | | (0.21 | ) | | | - | | | | (0.21 | ) | | | 10.82 | | | | 8.93% | | | | 306,746 | | | | 0.72% | | | | 0.65% | | | | 0.00% | e | | | 1.84% | |
| 12/31/11 | | | 9.90 | | | | 0.22 | | | | 0.02 | | | | 0.24 | | | | (0.01 | ) | | | - | | | | (0.01 | ) | | | 10.13 | | | | 2.45% | | | | 226,663 | | | | 0.70% | | | | 0.65% | | | | N/A | | | | 2.21% | |
Service Class I | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| 12/31/15 | | $ | 10.57 | | | $ | 0.11 | | | $ | (0.11 | ) | | $ | (0.00 | )d | | $ | (0.34 | ) | | $ | (0.12 | ) | | $ | (0.46 | ) | | $ | 10.11 | | | | (0.05% | ) | | $ | 17,161 | | | | 0.90% | | | | 0.85% | | | | N/A | | | | 1.09% | |
| 12/31/14 | | | 10.29 | | | | 0.10 | | | | 0.35 | | | | 0.45 | | | | (0.17 | ) | | | - | | | | (0.17 | ) | | | 10.57 | | | | 4.43% | | | | 14,435 | | | | 0.95% | | | | 0.90% | | | | 0.00% | e | | | 1.00% | |
| 12/31/13 | | | 10.79 | | | | 0.10 | | | | (0.30 | ) | | | (0.20 | ) | | | (0.21 | ) | | | (0.09 | ) | | | (0.30 | ) | | | 10.29 | | | | (1.85% | ) | | | 11,404 | | | | 0.94% | | | | 0.90% | | | | 0.00% | e | | | 1.00% | |
| 12/31/12h | | | 10.49 | | | | 0.10 | | | | 0.41 | | | | 0.51 | | | | (0.21 | ) | | | - | | | | (0.21 | ) | | | 10.79 | | | | 4.94% | b | | | 5,730 | | | | 0.97% | a | | | 0.90% | a | | | 0.00% | a,e | | | 1.45% | a |
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 | |
| | | 2015 | | | 2014 | | | 2013 | | | 2012 | | | 2011 | |
Portfolio turnover rate | | | 322 | % | | | 447 | %u | | | 550 | %u | | | 583 | %u | | | 417 | % |
| b | Percentage represents the results for the period and is not annualized. |
| c | Per share amount calculated on the average shares method. |
| d | Amount is less than $0.005 per share. |
| e | Amount is less than 0.005%. |
| h | For the period May 1, 2012 (commencement of operations) through December 31, 2012. |
| j | Computed after giving effect to an agreement by MML Advisers and/or MassMutual to waive certain fees and expenses of the Fund. |
| m | Total return does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. |
| n | Includes interest expense. |
| p | Interest expense incurred as a result of entering into reverse repurchase agreements is included in the Fund’s net expenses in the Statements of Operations. Income earned on investing proceeds from reverse repurchase agreements is included in interest income in the Statements of Operations. |
| u | Excludes Treasury roll transactions. Including these transactions, the portfolio turnover would have been 479%, 574% and 618%, respectively, for the years ended December 31, 2014, December 31, 2013 and December 31, 2012. |
The accompanying notes are an integral part of the financial statements.
183
Notes to Financial Statements
MML Series Investment Fund (the “Trust”) is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as a no-load, open-end, management investment company. The Trust is organized under the laws of the Commonwealth of Massachusetts as a Massachusetts business trust pursuant to an Agreement and Declaration of Trust dated December 19, 1984, as restated May 14, 1993, and further amended and restated as of December 15, 2011, as it may be further amended from time to time. The following are 19 series of the Trust (each individually referred to as a “Fund” or collectively as the “Funds”):
MML Blue Chip Growth Fund (“Blue Chip Growth Fund”)
MML Equity Income Fund (“Equity Income Fund”)
MML Equity Index Fund (“Equity Index Fund”)
MML Focused Equity Fund (“Focused Equity Fund”)
MML Foreign Fund (“Foreign Fund”)
MML Fundamental Growth Fund (“Fundamental Growth Fund”)
MML Fundamental Value Fund (“Fundamental Value Fund”)
MML Global Fund (“Global Fund”)
MML Growth & Income Fund (“Growth & Income Fund”)
MML Income & Growth Fund (“Income & Growth Fund”)
MML International Equity Fund (“International Equity Fund”)
MML Large Cap Growth Fund (“Large Cap Growth Fund”)
MML Managed Volatility Fund (“Managed Volatility Fund”)
MML Mid Cap Growth Fund (“Mid Cap Growth Fund”)
MML Mid Cap Value Fund (“Mid Cap Value Fund”)
MML Small Cap Growth Equity Fund (“Small Cap Growth Equity Fund”)
MML Small Company Value Fund (“Small Company Value Fund”)
MML Small/Mid Cap Value Fund (“Small/Mid Cap Value Fund”)
MML Total Return Bond Fund (“Total Return Bond Fund”)
The Trust makes shares of the Funds available for the investment of assets of various separate investment accounts established by Massachusetts Mutual Life Insurance Company (“MassMutual”) and by life insurance companies which are subsidiaries of MassMutual. Shares of the Trust are not offered to the general public. MassMutual, MML Bay State Life Insurance Company, C.M. Life Insurance Company, and the MML Allocation Funds, which are “funds of funds” series of the Trust, are the record owners of all of the outstanding shares of the Funds.
Each share class of a Fund represents an interest in the same portfolio of assets. The principal difference among the classes is the level of service and administration fees, and shareholder and distribution service expenses borne by the classes. Because each class will have different fees and expenses, performance and share prices will vary between the classes. The classes of shares are offered to different types of investors, as outlined in the Funds’ Prospectus.
| 2. | | Significant Accounting Policies |
The following is a summary of significant accounting policies followed consistently by each Fund in the preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America (“generally accepted accounting principles”). The preparation of the financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates.
Investment Valuation
The net asset value of each Fund’s shares is determined once daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), on each day the NYSE is open for trading (a “business day”). The NYSE normally closes at 4:00 p.m. Eastern Time, but may close earlier on some days.
184
Notes to Financial Statements (Continued)
Equity securities and derivative contracts that are actively traded on a national securities exchange or contract market are valued on the basis of information furnished by a pricing service, which provides the last reported sale price, or, in the case of futures contracts, the settlement price, for securities or derivatives listed on the exchange or contract market or the official closing price on the NASDAQ National Market System, or in the case of over-the-counter (“OTC”) securities for which an official closing price is unavailable or not reported on the NASDAQ System, the last reported bid price. Portfolio securities traded on more than one national securities exchange are valued at the last price at the close of the exchange representing the principal market for such securities. Debt securities are valued on the basis of valuations furnished by a pricing service, which generally determines valuations taking into account factors such as institutional-size trading in similar securities, yield, quality, coupon rate, maturity, type of issue, trading characteristics, and other market data. Shares of other open-end mutual funds are valued at their closing net asset values as reported on each business day.
Investments for which market quotations are readily available are marked to market daily based on those quotations. Market quotations may be provided by third-party vendors or market makers, and may be determined on the basis of a variety of factors, such as broker quotations, financial modeling, and other market data, such as market indexes and yield curves, counterparty information, and foreign exchange rates. U.S. Government and agency securities may be valued on the basis of market quotations or using a model that may incorporate market observable data such as reported sales of similar securities, broker quotes, yields, bids, offers, quoted market prices, and reference data. The fair values of OTC derivative contracts, including forward, swap, and option contracts related to interest rates, foreign currencies, credit standing of reference entities, equity prices, or commodity prices, may be based on market quotations or may be modeled using a series of techniques, including simulation models, depending on the contract and the terms of the transaction. The fair values of asset-backed securities and mortgage-backed securities are estimated based on models that consider the estimated cash flows of each debt tranche of the issuer, established benchmark yield, and estimated tranche-specific spread to the benchmark yield based on the unique attributes of the tranche, including, but not limited to, prepayment speed assumptions and attributes of the collateral. Restricted securities are generally valued at a discount to similar publicly traded securities.
Investments for which market quotations are not available or for which a pricing service or vendor does not provide a value, or for which such market quotations or values are considered by the investment adviser or subadviser to be unreliable (including, for example, certain foreign securities, thinly-traded securities, certain restricted securities, certain initial public offerings, or securities whose values may have been affected by a significant event) are stated at fair valuations determined in good faith by the Funds’ Valuation Committee1 in accordance with procedures approved annually by the Board of Trustees (“Trustees”), and under the general oversight of the Trustees. The Funds’ Valuation Committee employs various methods to determine fair valuations including a regular review of significant inputs and assumptions and review of any related market activity. The Funds’ Valuation Committee reports to the Trustees at their regularly scheduled meetings. It is possible that fair value prices will be used by the Funds to a significant extent. The value determined for an investment using the Funds’ fair value procedures may differ from recent market prices for the investment and may be significantly different from the value realized upon the sale of such investment.
The Funds may invest in securities that are traded principally in foreign markets and that trade on weekends and other days when the Funds do not price their shares. As a result, the values of the Funds’ portfolio securities may change on days when the prices of the Funds’ shares are not calculated. The prices of the Funds’ shares will reflect any such changes when the prices of the Funds’ shares are next calculated, which is the next business day. The Funds may use fair value pricing more frequently for securities primarily traded in foreign markets because, among other things, most foreign markets close well before the Funds value their securities. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, may have occurred in the interim. The Funds’ investments may be priced based on fair values provided by a third-party vendor, based on certain factors and methodologies applied by such vendor, in the event that there is movement in the U.S. market, between the close of the foreign market and the time the Funds calculate their net asset values. All assets and liabilities expressed in foreign currencies are converted into U.S. dollars at the mean between the buying and selling rates of such currencies against the U.S. dollar at the end of each business day.
| 1 | The Valuation Committee consists of the President, Treasurer, Assistant Treasurers, Vice Presidents (except for the CCO), Secretary, and Assistant Secretaries of the Trust, as well as such alternate members as the Trustees may from time to time designate. The Valuation Committee reviews and determines the fair valuation of portfolio securities and the Funds’ pricing procedures in general. |
185
Notes to Financial Statements (Continued)
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three-tier hierarchy is utilized to maximize the use of observable market data inputs and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, for example, the risk inherent in a particular valuation technique used to measure fair value (such as a pricing model) and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below. The inputs or methodology used for valuing investments are not necessarily an indication of the risk associated with investing in those investments and the determination of the significance of a particular input to the fair value measurement in its entirety requires judgment and consideration of factors specific to each security.
Level 1 – quoted prices (unadjusted) in active markets for identical investments that the Funds can access at the measurement date
The types of assets and liabilities categorized in Level 1 generally include actively traded domestic and certain foreign equity securities, derivatives actively traded on a national securities exchange (such as some warrants, rights, futures, and options), and shares of open-end mutual funds.
Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)
The types of assets and liabilities categorized in Level 2 generally include debt securities such as U.S. government and agency securities, mortgage-backed securities, asset-backed securities, municipal obligations, sovereign debt obligations, bank loans, corporate bonds, and those securities valued at amortized cost; OTC derivatives such as swaps, options, swaptions, and forward foreign currency exchange contracts; certain restricted securities; and non-exchange traded equity securities and certain foreign equity securities traded on particular foreign exchanges that close before the Funds determine their net asset values.
Level 3 – significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments)
The types of assets and liabilities categorized in Level 3 generally include securities for which prices, spreads, or any of the other aforementioned significant inputs are unobservable. Generally, securities whose trading has been suspended or that have been de-listed from their current primary trading exchange; securities in default or bankruptcy proceedings for which there is no current market quotation; securities and certain derivatives valued by broker quotes which may include brokers’ assumptions; and any illiquid Rule 144A securities or restricted securities issued by non-public entities are categorized in Level 3.
The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.
Changes in valuation techniques may result in transfers in or out of an investment’s assigned Level within the hierarchy. In addition, in periods of market dislocation, the observability of prices and inputs may be reduced for many instruments. This condition, as well as changes related to liquidity of investments, could cause a security to be reclassified between Level 1, Level 2, or Level 3.
In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes the level in the fair value hierarchy within which the fair value measurement falls is determined based on the lowest level input that is significant to the overall fair value measurement.
186
Notes to Financial Statements (Continued)
The Focused Equity Fund, Fundamental Growth Fund, Large Cap Growth Fund, Small Company Value Fund, and Small/Mid Cap Value Fund characterized all long-term investments at Level 1, and all short-term investments at Level 2, as of December 31, 2015. For each Fund noted in the preceding sentence, the level classification by major category of investments is the same as the category presentation in the Portfolio of Investments.
The following is the aggregate value by input level, as of December 31, 2015, for the remaining Funds’ investments:
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Blue Chip Growth Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 425,840,573 | | | $ | 5,283,848 | * | | $ | - | | | $ | 431,124,421 | |
Mutual Funds | | | 1,002 | | | | - | | | | - | | | | 1,002 | |
Short-Term Investments | | | - | | | | 886,244 | | | | - | | | | 886,244 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 425,841,575 | | | $ | 6,170,092 | | | $ | - | | | $ | 432,011,667 | |
| | | | | | | | | | | | | | | | |
| | | | |
Equity Income Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 452,596,622 | | | $ | 11,565,583 | * | | $ | - | | | $ | 464,162,205 | |
Corporate Debt | | | - | | | | - | | | | 180,285 | | | | 180,285 | |
Mutual Funds | | | 1,147 | | | | - | | | | - | | | | 1,147 | |
Short-Term Investments | | | - | | | | 8,316,350 | | | | - | | | | 8,316,350 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 452,597,769 | | | $ | 19,881,933 | | | $ | 180,285 | | | $ | 472,659,987 | |
| | | | | | | | | | | | | | | | |
| | | | |
Equity Index Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 448,254,236 | | | $ | - | | | $ | - | | | $ | 448,254,236 | |
Short-Term Investments | | | - | | | | 2,523,782 | | | | - | | | | 2,523,782 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 448,254,236 | | | $ | 2,523,782 | | | $ | - | | | $ | 450,778,018 | |
| | | | | | | | | | | | | | | | |
Asset Derivatives | | | | | | | | | | | | | | | | |
Futures Contracts | | $ | 3,249 | | | $ | - | | | $ | - | | | $ | 3,249 | |
| | | | | | | | | | | | | | | | |
| | | | |
Foreign Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock* | | | | | | | | | | | | | | | | |
Bermuda | | $ | - | | | $ | 2,798,650 | | | $ | - | | | $ | 2,798,650 | |
Brazil | | | 3,060,257 | | | | - | | | | - | | | | 3,060,257 | |
Cayman Islands | | | - | | | | 7,305,514 | | | | - | | | | 7,305,514 | |
China | | | - | | | | 13,960,798 | | | | - | | | | 13,960,798 | |
France | | | - | | | | 40,002,630 | | | | - | | | | 40,002,630 | |
Germany | | | 1,587,379 | | | | 41,339,589 | | | | - | | | | 42,926,968 | |
Hong Kong | | | - | | | | 7,177,451 | | | | - | | | | 7,177,451 | |
Ireland | | | - | | | | 6,224,498 | | | | - | | | | 6,224,498 | |
Israel | | | 7,754,644 | | | | - | | | | - | | | | 7,754,644 | |
Italy | | | - | | | | 10,405,305 | | | | - | | | | 10,405,305 | |
Japan | | | 5,566,206 | | | | 20,199,036 | | | | - | | | | 25,765,242 | |
Luxembourg | | | - | | | | 2,020,126 | | | | - | | | | 2,020,126 | |
Netherlands | | | - | | | | 23,473,044 | | | | - | | | | 23,473,044 | |
Norway | | | - | | | | 5,731,623 | | | | - | | | | 5,731,623 | |
Portugal | | | - | | | | 2,808,948 | | | | - | | | | 2,808,948 | |
Republic of Korea | | | 4,952,072 | | | | 14,061,559 | | | | - | | | | 19,013,631 | |
187
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Foreign Fund (Continued) | | | | | | | | | | | | | | | | |
Asset Investments (Continued) | | | | | | | | | | | | | | | | |
Common Stock (Continued) | | | | | | | | | | | | | | | | |
Russia | | $ | - | | | $ | 1,832,471 | | | $ | - | | | $ | 1,832,471 | |
Singapore | | | - | | | | 9,184,174 | | | | - | | | | 9,184,174 | |
Spain | | | 4,779,446 | | | | 883,416 | | | | - | | | | 5,662,862 | |
Sweden | | | 1,286,337 | | | | 3,334,833 | | | | - | | | | 4,621,170 | |
Switzerland | | | - | | | | 23,813,269 | | | | - | | | | 23,813,269 | |
Taiwan | | | - | | | | 1,796,258 | | | | - | | | | 1,796,258 | |
Thailand | | | - | | | | 2,410,381 | | | | - | | | | 2,410,381 | |
United Kingdom | | | 5,008,623 | | | | 68,656,820 | | | | - | | | | 73,665,443 | |
Mutual Funds | | | 22,186,164 | | | | - | | | | - | | | | 22,186,164 | |
Short-Term Investments | | | - | | | | 12,373,678 | | | | - | | | | 12,373,678 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 56,181,128 | | | $ | 321,794,071 | | | $ | - | | | $ | 377,975,199 | |
| | | | | | | | | | | | | | | | |
| | | | |
Fundamental Value Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 214,561,770 | | | $ | 5,373,562 | * | | $ | - | | | $ | 219,935,332 | |
Short-Term Investments | | | - | | | | 5,947,687 | | | | - | | | | 5,947,687 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 214,561,770 | | | $ | 11,321,249 | | | $ | - | | | $ | 225,883,019 | |
| | | | | | | | | | | | | | | | |
| | | | |
Global Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock* | | | | | | | | | | | | | | | | |
Austria | | $ | - | | | $ | 1,199,152 | | | $ | - | | | $ | 1,199,152 | |
Bermuda | | | 385,582 | | | | - | | | | - | | | | 385,582 | |
Brazil | | | 649,965 | | | | 1,045,692 | | | | - | | | | 1,695,657 | |
Canada | | | 4,201,785 | | | | - | | | | - | | | | 4,201,785 | |
Cayman Islands | | | - | | | | 443,427 | | | | - | | | | 443,427 | |
Czech Republic | | | - | | | | 394,522 | | | | - | | | | 394,522 | |
Denmark | | | - | | | | 2,215,856 | | | | - | | | | 2,215,856 | |
France | | | - | | | | 18,657,841 | | | | - | | | | 18,657,841 | |
Germany | | | - | | | | 15,287,513 | | | | - | | | | 15,287,513 | |
Ireland | | | 10,810,083 | | | | - | | | | - | | | | 10,810,083 | |
Israel | | | 1,257,077 | | | | - | | | | - | | | | 1,257,077 | |
Japan | | | - | | | | 3,413,891 | | | | - | | | | 3,413,891 | |
Mexico | | | 943,550 | | | | - | | | | - | | | | 943,550 | |
Netherlands | | | - | | | | 5,592,194 | | | | - | | | | 5,592,194 | |
Netherlands Antilles | | | 2,192,243 | | | | - | | | | - | | | | 2,192,243 | |
Republic of Korea | | | - | | | | 1,483,218 | | | | - | | | | 1,483,218 | |
Spain | | | - | | | | 947,463 | | | | - | | | | 947,463 | |
Sweden | | | - | | | | 4,170,857 | | | | - | | | | 4,170,857 | |
Switzerland | | | - | | | | 20,961,201 | | | | - | | | | 20,961,201 | |
Thailand | | | - | | | | 484,116 | | | | - | | | | 484,116 | |
United Kingdom | | | 1,907,064 | | | | 25,153,345 | | | | - | | | | 27,060,409 | |
United States | | | 124,090,219 | | | | - | | | | - | | | | 124,090,219 | |
Mutual Funds | | | 2,755,916 | | | | - | | | | - | | | | 2,755,916 | |
Short-Term Investments | | | - | | | | 3,246,399 | | | | - | | | | 3,246,399 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 149,193,484 | | | $ | 104,696,687 | | | $ | - | | | $ | 253,890,171 | |
| | | | | | | | | | | | | | | | |
188
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Growth & Income Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 119,378,926 | | | $ | 5,208,232 | * | | $ | - | | | $ | 124,587,158 | |
Preferred Stock | | | 305,953 | | | | - | | | | - | | | | 305,953 | |
Short-Term Investments | | | - | | | | 691,881 | | | | - | | | | 691,881 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 119,684,879 | | | $ | 5,900,113 | | | $ | - | | | $ | 125,584,992 | |
| | | | | | | | | | | | | | | | |
| | | | |
Income & Growth Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 224,207,352 | | | $ | 6,503,755 | * | | $ | - | | | $ | 230,711,107 | |
Short-Term Investments | | | - | | | | 7,921,616 | | | | - | | | | 7,921,616 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 224,207,352 | | | $ | 14,425,371 | | | $ | - | | | $ | 238,632,723 | |
| | | | | | | | | | | | | | | | |
| | | | |
International Equity Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock* | | | | | | | | | | | | | | | | |
Australia | | $ | - | | | $ | 4,854,153 | | | $ | - | | | $ | 4,854,153 | |
Cayman Islands | | | 5,452,762 | | | | - | | | | - | | | | 5,452,762 | |
France | | | - | | | | 21,887,834 | | | | - | | | | 21,887,834 | |
Germany | | | - | | | | 15,466,761 | | | | - | | | | 15,466,761 | |
Indonesia | | | - | | | | 3,367,466 | | | | - | | | | 3,367,466 | |
Ireland | | | 3,487,326 | | | | 2,708,887 | | | | - | | | | 6,196,213 | |
Israel | | | 284,830 | | | | - | | | | - | | | | 284,830 | |
Italy | | | - | | | | 7,859,511 | | | | - | | | | 7,859,511 | |
Japan | | | - | | | | 31,701,096 | | | | - | | | | 31,701,096 | |
Mexico | | | 1,632,600 | | | | - | | | | - | | | | 1,632,600 | |
Netherlands | | | - | | | | 8,728,894 | | | | - | | | | 8,728,894 | |
Republic of Korea | | | - | | | | 4,458,197 | | | | - | | | | 4,458,197 | |
Sweden | | | - | | | | 5,770,028 | | | | - | | | | 5,770,028 | |
Switzerland | | | - | | | | 20,818,540 | | | | - | | | | 20,818,540 | |
United Kingdom | | | - | | | | 21,575,557 | | | | - | | | | 21,575,557 | |
Mutual Funds | | | 5,107,161 | | | | - | | | | - | | | | 5,107,161 | |
Short-Term Investments | | | - | | | | 5,488,192 | | | | - | | | | 5,488,192 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 15,964,679 | | | $ | 154,685,116 | | | $ | - | | | $ | 170,649,795 | |
| | | | | | | | | | | | | | | | |
Asset Derivatives | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 203,703 | | | $ | - | | | $ | 203,703 | |
| | | | | | | | | | | | | | | | |
| | | | |
Managed Volatility Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 192,604,510 | | | $ | - | | | $ | - | | | $ | 192,604,510 | |
Corporate Debt | | | - | | | | - | | | | - | † | | | - | |
Purchased Options | | | 660,669 | | | | - | | | | - | | | | 660,669 | |
Short-Term Investments | | | - | | | | 4,604,050 | | | | - | | | | 4,604,050 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 193,265,179 | | | $ | 4,604,050 | | | $ | - | | | $ | 197,869,229 | |
| | | | | | | | | | | | | | | | |
Liability Derivatives | | | | | | | | | | | | | | | | |
Written Options | | $ | (2,388,480 | ) | | $ | - | | | $ | - | | | $ | (2,388,480 | ) |
| | | | | | | | | | | | | | | | |
189
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | |
Mid Cap Growth Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 415,600,545 | | | $ | - | | | $ | 1,994,446 | | | $ | 417,594,991 | |
Preferred Stock | | | - | | | | - | | | | 2,309,200 | | | | 2,309,200 | |
Mutual Funds | | | 31,110,917 | | | | - | | | | - | | | | 31,110,917 | |
Short-Term Investments | | | - | | | | 18,088,715 | | | | - | | | | 18,088,715 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 446,711,462 | | | $ | 18,088,715 | | | $ | 4,303,646 | | | $ | 469,103,823 | |
| | | | | | | | | | | | | | | | |
| | | | |
Mid Cap Value Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 440,954,211 | | | $ | 4,833,194 | * | | $ | - | | | $ | 445,787,405 | |
Mutual Funds | | | 4,661,449 | | | | - | | | | - | | | | 4,661,449 | |
Short-Term Investments | | | - | | | | 11,061,803 | | | | - | | | | 11,061,803 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 445,615,660 | | | $ | 15,894,997 | | | $ | - | | | $ | 461,510,657 | |
| | | | | | | | | | | | | | | | |
Asset Derivatives | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 34,027 | | | $ | - | | | $ | 34,027 | |
| | | | | | | | | | | | | | | | |
Liability Derivatives | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | (64,070 | ) | | $ | - | | | $ | (64,070 | ) |
| | | | | | | | | | | | | | | | |
| | | | |
Small Cap Growth Equity Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Common Stock | | $ | 190,681,703 | | | $ | 2,264,922 | * | | $ | 311,026 | | | $ | 193,257,651 | |
Preferred Stock | | | - | | | | - | | | | 2,419,091 | | | | 2,419,091 | |
Mutual Funds | | | 20,457,673 | | | | - | | | | - | | | | 20,457,673 | |
Short-Term Investments | | | - | | | | 6,157,336 | | | | - | | | | 6,157,336 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | 211,139,376 | | | $ | 8,422,258 | | | $ | 2,730,117 | | | $ | 222,291,751 | |
| | | | | | | | | | | | | | | | |
| | | | |
Total Return Bond Fund | | | | | | | | | | | | | | | | |
Asset Investments | | | | | | | | | | | | | | | | |
Bank Loans | | $ | - | | | $ | 835,650 | | | $ | - | | | $ | 835,650 | |
Corporate Debt | | | - | | | | 83,553,796 | | | | - | | | | 83,553,796 | |
Municipal Obligations | | | - | | | | 3,464,994 | | | | - | | | | 3,464,994 | |
Non-U.S. Government Agency Obligations | | | - | | | | 73,449,071 | | | | - | | | | 73,449,071 | |
U.S. Government Agency Obligations and Instrumentalities | | | - | | | | 96,464,963 | | | | - | | | | 96,464,963 | |
U.S. Treasury Obligations | | | - | | | | 97,806,097 | | | | - | | | | 97,806,097 | |
Short-Term Investments | | | - | | | | 21,735,682 | | | | - | | | | 21,735,682 | |
| | | | | | | | | | | | | | | | |
| Total Investments | | $ | - | | | $ | 377,310,253 | | | $ | - | | | $ | 377,310,253 | |
| | | | | | | | | | | | | | | | |
Liability Derivatives | | | | | | | | | | | | | | | | |
Futures Contracts | | $ | (27,012 | ) | | $ | - | | | $ | - | | | $ | (27,012 | ) |
| | | | | | | | | | | | | | | | |
| * | Includes foreign equity securities whose values were adjusted to reflect market trading of comparable securities or other correlated instruments after the close of trading in their applicable foreign markets. |
| † | Represents a security at $0 value as of December 31, 2015. |
190
Notes to Financial Statements (Continued)
The following tables show Funds with certain assets and liabilities, which approximate fair value and would be categorized at Level 2 as of December 31, 2015.
| | |
Statements of Assets and Liabilities location: | | Total
Return
Bond
Fund |
Receivables from: | | |
Investments sold on a when-issued basis | | X |
Payables for: | | |
Investments purchased on a when-issued basis | | X |
| | | | | | | | | | | | |
Statements of Assets and Liabilities location: | | Foreign
Fund | | Global
Fund | | International
Equity Fund | | Mid Cap
Growth Fund | | Small Cap Growth
Equity Fund | | Small Company
Value Fund |
Payables for: | | | | | | | | | | | | |
Securities on loan | | X | | X | | X | | X | | X | | X |
Due To Custodian | | | | | | | | | | X | | |
The Funds had no transfers between Level 1 and Level 2 of the fair value hierarchy during the year ended December 31, 2015. The Funds recognize transfers between the Levels as of the beginning of the year.
Following is a reconciliation of investments for which significant unobservable inputs (Level 3) were used in determining value:
Asset Valuation Inputs
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Investments in Securities | |
| | | Balance
as of
12/31/14 | | | Accrued
Discounts
(Premiums) | | | Realized
Gain
(Loss) | | | Change in
Unrealized
Appreciation
(Depreciation) | | | Purchases | | | (Sales) | | | Transfers
into
Level 3* | | | Transfers
(out) of
Level 3* | | | Balance
as of
12/31/15 | | | Net Change
in Unrealized
Appreciation
(Depreciation)
from
Investments
Still Held
as of
12/31/15 | |
Equity Income Fund | |
Corporate Debt† | | $ | - | | | $ | - | | | $ | - | | | $ | 14,520 | | | $ | 165,765 | | | $ | - | | | $ | - | | | $ | - | | | $ | 180,285 | | | $ | 14,520 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Managed Volatility Fund | |
Corporate Debt | | $ | - | *** | | $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | - | †† | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Mid Cap Growth Fund | |
Common Stock | | $ | 1,216,929 | | | $ | - | | | $ | - | | | $ | 669,348 | | | $ | 108,169 | | | $ | - | | | $ | - | | | $ | - | | | $ | 1,994,446 | | | $ | 669,348 | |
Preferred Stock | | | 1,961,775 | | | | - | | | | - | | | | 347,425 | | | | - | | | | - | | | | - | | | | - | | | | 2,309,200 | | | | 347,425 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 3,178,704 | | | $ | - | | | $ | - | | | $ | 1,016,773 | | | $ | 108,169 | | | $ | - | | | $ | - | | | $ | - | | | $ | 4,303,646 | | | $ | 1,016,773 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Small Cap Growth Equity Fund | |
Common Stock | | $ | 240,155 | | | $ | - | | | $ | - | | | $ | 70,871 | | | $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | 311,026 | | | $ | 70,871 | |
Preferred Stock | | | 3,653,969 | | | | - | | | | 209,396 | | | | (1,868,493 | ) | | | 1,040,480 | | | | (616,261 | ) | | | - | | | | - | | | | 2,419,091 | | | | (29,327 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 3,894,124 | | | $ | - | | | $ | 209,396 | | | $ | (1,797,622 | ) | | $ | 1,040,480 | | | $ | (616,261 | ) | | $ | - | | | $ | - | | | $ | 2,730,117 | | | $ | 41,544 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Total Return Bond Fund | |
Non-U.S. Government Agency Obligations | | $ | - | | | $ | - | | | $ | - | | | $ | - | | | $ | 1,018,957 | | | $ | - | | | $ | - | | | $ | (1,018,957 | )** | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| * | The Fund(s) recognize transfers between the Levels as of the beginning of the year. |
| ** | Transfers occurred between Level 3 and Level 2 as inputs were more observable. |
| *** | Represents a security at $0 value as of December 31, 2014. |
| † | Represents (i) an illiquid 144A security valued by a broker quote or vendor price or (ii) a restricted security issued by a non-public entity valued by a broker quote or vendor price. |
| †† | Represents a security at $0 value as of December 31, 2015. |
191
Notes to Financial Statements (Continued)
None of the unobservable inputs, individually or collectively, had a material impact on the Fund(s) other than those disclosed below.
The Small Cap Growth Equity Fund initially fair valued certain of its Level 3 investments using acquisition cost. These investments are generally privately held investments, but may include defaulted securities and new debt issuances. There may not be a secondary market, and/or there are a limited number of investors. The determination to fair value such investments at cost is based upon factors consistent with the principles of fair value measurement that are reasonably available to the Valuation Committee. Valuations are reviewed utilizing available market information to determine if the carrying value should be adjusted. Such market data may include, but is not limited to, observations of the trading multiples of public companies considered comparable to the private companies being valued, financial or operational information released by the company, and/or news or corporate events that affect the investment, also referred to as enterprise value (EV) to earnings before interest, taxes, depreciation and amortization (EBITDA) ratios. Valuations may be adjusted to account for company-specific issues, the lack of liquidity inherent in a nonpublic investment and the fact that comparable public companies are not identical to the investments being fair valued by the Fund. All market variables are assessed on a regular frequency and calibrated as necessary.
| | | | | | | | | | | | |
| Small Cap Growth Equity Fund | | Fair Value
Amount | | | Valuation
Technique | | Unobservable Input Description | | Value/
Weighted
Average
Range | |
| Common stock — $311,026 | | | | | | | | | | | | |
Dropbox Inc. | | $ | 159,129 | | | Market Approach | | EV/Multiple | | | 5.69 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Telogis | | | 151,897 | | | Market Approach | | EV/Multiple | | | 4.45 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Preferred stock — $2,419,091 | | | | | | | | | | | | |
Cloudera Inc. | | | 310,027 | | | Market Approach | | EV/Multiple | | | 11.60 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Docusign Series F | | | 23,354 | | | Market Approach | | EV/Multiple | | | 7.50 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Docusign Series E | | | 161,417 | | | Market Approach | | EV/Multiple | | | 7.50 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Docusign Series D | | | 6,239 | | | Market Approach | | EV/Multiple | | | 7.50 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Docusign Series B | | | 8,700 | | | Market Approach | | EV/Multiple | | | 7.50 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Docusign Series B1 | | | 2,595 | | | Market Approach | | EV/Multiple | | | 7.50 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Draftkings Series D | | | 46,537 | | | Market Approach | | Market Observed Transaction | | | $3.13 | |
Draftkings Inc. Series D1 | | | 116,413 | | | Market Approach | | Market Observed Transaction | | | $4.05 | |
MarkLogic Corp. Series F | | | 268,013 | | | Market Approach | | EV/Multiple | | | 3.30 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
NUTANIX, Inc. Series E | | | 230,966 | | | Market Approach | | EV/Multiple | | | 4.10 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Telogis | | | 482,675 | | | Market Approach | | EV/Multiple | | | 4.45 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
The Honest Co. | | | 182,544 | | | Market Approach | | EV/Multiple | | | 3.80 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Veracode, Inc | | | 290,072 | | | Market Approach | | EV/Multiple | | | 7.68 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
Zuora Inc. Series F | | | 289,539 | | | Market Approach | | EV/Multiple | | | 6.00 | x |
| | | | | | | | Discount for Lack of Marketability | | | 10 | % |
| | | | | | | | | | | | |
Total | | $ | 2,730,117 | | | | | | | | | |
| | | | | | | | | | | | |
192
Notes to Financial Statements (Continued)
Derivative Instruments
Derivatives are financial instruments whose values are based on the values of one or more indicators, such as a security, asset, currency, interest rate, or index. Derivative transactions can create investment leverage and may be highly volatile. Gains or losses from derivatives can be substantially greater than the derivatives original cost and can sometimes be unlimited. A Fund may not be able to close out a derivative transaction at a favorable time or price. For those Funds that held derivatives during the year ended December 31, 2015, the following table shows how the Fund used these types of derivatives during the period (marked with an “A”), as well as additional uses, if any, it may have for them in the future (marked with an “M”).
| | | | | | | | | | | | | | | | | | |
Type of Derivative and Objective for Use | | Equity
Income
Fund | | Equity
Index
Fund | | Foreign
Fund | | Global
Fund | | Growth &
Income
Fund | | International
Equity
Fund | | Managed
Volatility
Fund | | Mid Cap
Value
Fund | | Total
Return
Bond
Fund |
Foreign Currency Exchange Transactions* | | | | | | | | | | | | | | | | | | |
Hedging/Risk Management | | | | | | | | | | | | A | | | | A | | A |
Directional Exposures to Currencies | | | | | | | | | | | | | | | | | | A |
| | | | | | | | | | |
Futures Contracts** | | | | | | | | | | | | | | | | | | |
Hedging/Risk Management | | | | | | | | | | | | | | | | | | A |
Duration/Credit Quality Management | | | | | | | | | | | | | | | | | | M |
Substitution for Direct Investment | | | | A | | | | | | | | | | | | | | M |
| | | | | | | | | | |
Options (Purchased) | | | | | | | | | | | | | | | | | | |
Hedging/Risk Management | | | | | | | | | | | | | | A | | | | |
| | | | | | | | | | |
Options (Written) | | | | | | | | | | | | | | | | | | |
Hedging/Risk Management | | | | | | | | | | | | | | A | | | | |
Income | | | | | | | | | | | | | | A | | | | |
| | | | | | | | | | |
Rights and Warrants | | | | | | | | | | | | | | | | | | |
Result of a Corporate Action | | A | | | | A | | A | | A | | A | | | | A | | |
| * | Includes any options purchased or written, futures contracts, forward contracts, and swap agreements, if applicable. |
| ** | Includes any options purchased or written on futures contracts, if applicable. |
At December 31, 2015, and during the year then ended, the Fund(s) had the following derivatives and transactions in derivatives, grouped into the indicated risk categories:
| | | | | | | | | | | | | | | | |
| | | Equity
Risk | | | Foreign
Exchange
Risk | | | Interest
Rate
Risk | | | Total | |
| Equity Income Fund | | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Rights | | $ | 1 | | | $ | - | | | $ | - | | | $ | 1 | |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Rights | | | 177,650 | | | | - | | | | - | | | | 177,650 | |
| | | | |
| Equity Index Fund | | | | | | | | | | | | | | | | |
| Asset Derivatives | | | | | | | | | | | | | | | | |
Futures Contracts^^ | | $ | 3,249 | | | $ | - | | | $ | - | | | $ | 3,249 | |
| | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Futures Contracts | | $ | 75,894 | | | $ | - | | | $ | - | | | $ | 75,894 | |
| | | | | | | | | | | | | | | | |
193
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Equity
Risk | | | Foreign
Exchange
Risk | | | Interest
Rate
Risk | | | Total | |
| Equity Index Fund (Continued) | | | | | | | | | | | | | | | | |
| Change in Appreciation (Depreciation)## | | | | | | | | | | | | | | | | |
Futures Contracts | | $ | (138,825 | ) | | $ | - | | | $ | - | | | $ | (138,825 | ) |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Futures Contracts | | | 34 | | | | - | | | | - | | | | 34 | |
| | | | |
| Foreign Fund | | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Rights | | $ | (4,523 | ) | | $ | - | | | $ | - | | | $ | (4,523 | ) |
| | | | | | | | | | | | | | | | |
| Change in Appreciation (Depreciation)## | | | | | | | | | | | | | | | | |
Rights | | $ | 1,600 | | | $ | - | | | $ | - | | | $ | 1,600 | |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Rights | | | 133,336 | | | | - | | | | - | | | | 133,336 | |
| | | | |
| Global Fund | | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Rights | | $ | 95 | | | $ | - | | | $ | - | | | $ | 95 | |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Rights | | | 8,931 | | | | - | | | | - | | | | 8,931 | |
| | | | |
| Growth & Income Fund | | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Rights | | $ | 1 | | | $ | - | | | $ | - | | | $ | 1 | |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Rights | | | - | †† | | | - | | | | - | | | | - | |
| | | | |
| International Equity Fund | | | | | | | | | | | | | | | | |
| Asset Derivatives | | | | | | | | | | | | | | | | |
Forward Contracts* | | $ | - | | | $ | 203,703 | | | $ | - | | | $ | 203,703 | |
| | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 714,210 | | | $ | - | | | $ | 714,210 | |
Rights | | | 630 | | | | - | | | | - | | | | 630 | |
| | | | | | | | | | | | | | | | |
Total Realized Gain (Loss) | | $ | 630 | | | $ | 714,210 | | | $ | - | | | $ | 714,840 | |
| | | | | | | | | | | | | | | | |
| Change in Appreciation (Depreciation)## | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | (304,607 | ) | | $ | - | | | $ | (304,607 | ) |
| | | | | | | | | | | | | | | | |
Number of Contracts Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 9,252,953 | | | $ | - | | | $ | 9,252,953 | |
Rights | | | 71,789 | | | | - | | | | - | | | | 71,789 | |
| | | | |
| Managed Volatility Fund | | | | | | | | | | | | | | | | |
| Asset Derivatives | | | | | | | | | | | | | | | | |
Purchased Options* | | $ | 660,669 | | | $ | - | | | $ | - | | | $ | 660,669 | |
| | | | | | | | | | | | | | | | |
| Liability Derivatives | | | | | | | | | | | | | | | | |
Written Options^ | | $ | (2,388,480 | ) | | $ | - | | | $ | - | | | $ | (2,388,480 | ) |
| | | | | | | | | | | | | | | | |
194
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Equity
Risk | | | Foreign
Exchange
Risk | | | Interest
Rate
Risk | | | Total | |
| Managed Volatility Fund (Continued) | | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Purchased Options | | $ | (5,173,080 | ) | | $ | - | | | $ | - | | | $ | (5,173,080 | ) |
Written Options | | | 7,635,344 | | | | - | | | | - | | | | 7,635,344 | |
| | | | | | | | | | | | | | | | |
Total Realized Gain (Loss) | | $ | 2,462,264 | | | $ | - | | | $ | - | | | $ | 2,462,264 | |
| | | | | | | | | | | | | | | | |
| Change in Appreciation (Depreciation)## | | | | | | | | | | | | | | | | |
Purchased Options | | $ | 143,677 | | | $ | - | | | $ | - | | | $ | 143,677 | |
Written Options | | | 2,792,653 | | | | - | | | | - | | | | 2,792,653 | |
| | | | | | | | | | | | | | | | |
Total Change in Appreciation (Depreciation) | | $ | 2,936,330 | | | $ | - | | | $ | - | | | $ | 2,936,330 | |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Purchased Options | | | 1,087 | | | | - | | | | - | | | | 1,087 | |
Written Options | | | 1,131 | | | | - | | | | - | | | | 1,131 | |
| | | | |
| Mid Cap Value Fund | | | | | | | | | | | | | | | | |
| Asset Derivatives | | | | | | | | | | | | | | | | |
Forward Contracts* | | $ | - | | | $ | 34,027 | | | $ | - | | | $ | 34,027 | |
| | | | | | | | | | | | | | | | |
| Liability Derivatives | | | | | | | | | | | | | | | | |
Forward Contracts^ | | $ | - | | | $ | (64,070 | ) | | $ | - | | | $ | (64,070 | ) |
| | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 2,384,087 | | | $ | - | | | $ | 2,384,087 | |
Rights | | | 23 | | | | - | | | | - | | | | 23 | |
| | | | | | | | | | | | | | | | |
Total Realized Gain (Loss) | | $ | 23 | | | $ | 2,384,087 | | | $ | - | | | $ | 2,384,110 | |
| | | | | | | | | | | | | | | | |
| Change in Appreciation (Depreciation)## | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | (110,784 | ) | | $ | - | | | $ | (110,784 | ) |
| | | | | | | | | | | | | | | | |
Number of Contracts Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 17,214,879 | | | $ | - | | | $ | 17,214,879 | |
Rights | | | - | †† | | | - | | | | - | | | | - | |
| | | | |
| Total Return Bond Fund | | | | | | | | | | | | | | | | |
| Liability Derivatives | | | | | | | | | | | | | | | | |
Futures Contracts^^ | | $ | - | | | $ | - | | | $ | (27,012 | ) | | $ | (27,012 | ) |
| | | | | | | | | | | | | | | | |
| Realized Gain (Loss)# | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 510,125 | | | $ | - | | | $ | 510,125 | |
Futures Contracts | | | - | | | | - | | | | 238,696 | | | | 238,696 | |
| | | | | | | | | | | | | | | | |
Total Realized Gain (Loss) | | $ | - | | | $ | 510,125 | | | $ | 238,696 | | | $ | 748,821 | |
| | | | | | | | | | | | | | | | |
| Change in Appreciation (Depreciation)## | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | (510,125 | ) | | $ | - | | | $ | (510,125 | ) |
Futures Contracts | | | - | | | | - | | | | (27,012 | ) | | | (27,012 | ) |
| | | | | | | | | | | | | | | | |
Total Change in Appreciation (Depreciation) | | $ | - | | | $ | (510,125 | ) | | $ | (27,012 | ) | | $ | (537,137 | ) |
| | | | | | | | | | | | | | | | |
Number of Contracts, Notional Amounts or
Shares/Units† | | | | | | | | | | | | | | | | |
Forward Contracts | | $ | - | | | $ | 192,340,901 | | | $ | - | | | $ | 192,340,901 | |
Futures Contracts | | | - | | | | - | | | | 120 | | | | 120 | |
| * | Statements of Assets and Liabilities location: Investments, at value, Receivables from: open forward foreign currency contracts. |
195
Notes to Financial Statements (Continued)
| ^ | Statements of Assets and Liabilities location: Payables for: open forward foreign currency contracts or written options outstanding, at value, as applicable. |
| ^^ | Cumulative appreciation (depreciation) on futures contracts is reported in “Futures Contracts” below. Only current day’s variation margin, if any, is reported within the Statements of Assets and Liabilities. |
| # | Statements of Operations location: Amounts are included in net realized gain (loss) on: investment transactions, futures contracts, written options, or foreign currency transactions, as applicable. |
| ## | Statements of Operations location: Amounts are included in net change in unrealized appreciation (depreciation) on: investment transactions, futures contracts, written options, translation of assets and liabilities in foreign currencies, as applicable. |
| † | Amount(s) disclosed represent average number of contracts for futures contracts, notional amounts for forward contracts, and shares/units outstanding for written options, purchased options, and rights, which is indicative of volume of this derivative type, for the months that the Fund held such derivatives during the year ended December 31, 2015. |
| †† | Amount is less than 0.5 shares. |
The following table presents derivative assets by counterparty net of amounts available for offset under a master netting agreement (“MNA”), or similar agreement, and net of the related collateral received by the Fund(s) as of December 31, 2015.
| | | | | | | | | | | | | | | | |
| | | Counterparty | | Derivative
Assets Subject
to a MNA by
Counterparty† | | | Financial
Instruments
Available for Offset | | Collateral
Received** | | | Net
Amount* | |
| International Equity Fund | | | | | | | | | | | | | | |
| | State Street Bank and Trust | | $ | 203,703 | | | $ - | | $ | - | | | $ | 203,703 | |
| * | Represents the net amount receivable from the counterparty in the event of default. |
| ** | The amount presented here may be less than the total amount of collateral received/pledged as the net amount of derivative assets and liabilities for a counterparty cannot be less than $0. |
| † | The amount presented here may be less than the total amount shown in the Statements of Assets and Liabilities as some derivatives held by the counterparty are not covered within the master netting agreements. |
Such agreements typically permit a single net payment in the event of default, including the bankruptcy or insolvency of the counterparty. Typically, the Fund(s) and counterparties are not permitted to sell, re-pledge, or use the collateral they receive.
Further details regarding the derivatives and other investments held by the Fund(s) during the year ended December 31, 2015, are discussed below.
Foreign Currency Exchange Transactions
A Fund may engage in foreign currency exchange transactions for hedging purposes in order to protect against uncertainty in the level of future foreign currency exchange rates, or for other, non-hedging purposes.
A Fund may enter into foreign currency exchange transactions, including foreign currency forward contracts. These contracts call for the Fund to deliver in the future an amount of one currency in return for an amount of another currency, at an exchange rate determined at the time the contract is entered into. Forward contracts are private contractual arrangements and a Fund is subject to the risk that its counterparty will not, or will not be able to, perform its obligations. This type of arrangement may require the Fund to post margin. A Fund may enter into foreign currency exchange transactions in order to hedge against changes in the values of the assets or liabilities denominated in one or more foreign currencies, or otherwise to increase or reduce a Fund’s exposure to various foreign currencies. The use of foreign currency exchange transactions may create investment leverage.
Whenever a Fund enters into a foreign currency exchange transaction, it is subject to the risk that the value of the transaction will move in a direction unfavorable to it. When the Fund uses the transactions for hedging purposes, it is likely that the Fund will have an asset or liability that will offset any loss (or gain) on the transactions, at least in part. If a Fund enters into foreign currency exchange transactions other than for hedging purposes (for example, seeking to profit from an anticipated change in the values of currencies by creating directional exposures in the portfolio with respect to one or more currencies), it will generally be subject to the same risks, but is less likely to have assets or liabilities that will offset any losses on the transactions. There can be no assurance that a Fund will be able to terminate any foreign currency exchange transaction prior to its maturity in order to limit its loss on the transaction.
196
Notes to Financial Statements (Continued)
Forward foreign currency contracts are marked to market daily and the change in their value is recorded by the Funds as an unrealized gain or loss. Forward foreign currency contracts are valued at the settlement price established through dealers or other market sources on the day which they are traded. When a forward foreign currency contract is extinguished, through delivery or offset by entering into another forward foreign currency contract, the Funds record a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value of the contract at the time it was extinguished or offset. The notional or contractual amounts of these instruments do not necessarily represent the amounts potentially subject to risk. The measurement of the risk associated with these instruments is meaningful only when all related and offsetting transactions and counterparty risks are considered.
The Fund(s) listed in the following table had open forward foreign currency contracts at December 31, 2015. A Fund’s current exposure to a counterparty is the unrealized appreciation on the contract.
| | | | | | | | | | | | | | | | | | |
| | | | | | Counterparty | | Settlement
Date | | | | In Exchange
for | | | Unrealized
Appreciation/
(Depreciation) | |
| International Equity Fund | | | | | | | | | | | | |
| Contracts to Buy | | | | | | | | | | | | |
| AUD | | | 660,000 | | | State Street Bank and Trust | | 03/16/16 | | | | $ | 475,011 | | | $ | 4,250 | |
| JPY | | | 19,494,249 | | | State Street Bank and Trust | | 01/04/16 | | | | | 161,854 | | | | 335 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | $ | 636,865 | | | $ | 4,585 | |
| | | | | | | | | | | | | | | | | | |
| | | | |
| Contracts to Deliver | | | | | | | | | | | | |
| AUD | | | 1,234,000 | | | State Street Bank and Trust | | 03/16/16 | | | | $ | 935,199 | | | $ | 39,126 | |
| CHF | | | 4,355,000 | | | State Street Bank and Trust | | 03/16/16 | | | | | 4,521,199 | | | | 159,992 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | $ | 5,456,398 | | | $ | 199,118 | |
| | | | | | | | | | | | | | | | | | |
| | | | |
| Mid Cap Value Fund | | | | | | | | | | | | |
| Contracts to Deliver | | | | | | | | | | | | |
| JPY | | | 206,255,830 | | | Credit Suisse International | | 01/29/16 | | | | $ | 1,707,020 | | | $ | (9,868 | ) |
| | | | | | | | | | | | | | | | | | |
| | | | | | |
| CAD | | | 10,066,997 | | | JP Morgan Chase Bank | | 01/29/16 | | | | | 7,221,585 | | | | (54,202 | ) |
| | | | | | | | | | | | | | | | | | |
| | | | | | |
| EUR | | | 3,804,379 | | | UBS AG | | 01/29/16 | | | | | 4,170,893 | | | | 34,027 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | $ | 13,099,498 | | | $ | (30,043 | ) |
| | | | | | | | | | | | | | | | | | |
Futures Contracts
A Fund may seek to manage a variety of different risks, such as interest rate risk, equity price risk, and currency risk, through the use of futures contracts. A Fund may use interest rate futures contracts to adjust the interest rate sensitivity (duration) of its portfolio or the credit exposure of the portfolio. Interest rate futures contracts obligate the long or short holder to take or make delivery of a specified quantity of a financial instrument, such as a specific fixed-income security, during a specified future period at a specified price. A Fund may use index futures to hedge against broad market risks to its portfolio or to gain broad market exposure when it holds uninvested cash or as an inexpensive substitute for cash investments directly in securities or other assets. Securities index futures contracts are contracts to buy or sell units of a securities index at a specified future date at a price agreed upon when the contract is made and are settled in cash. Positions in futures may be closed out only on an exchange or board of trade which provides a secondary market for such futures. Because futures contracts are exchange-traded, they typically have minimal exposure to counterparty risk.
197
Notes to Financial Statements (Continued)
Parties to a futures contract are not required to post the entire notional amount of the contract, but rather a small percentage of that amount (by way of margin), both at the time they enter into futures transactions, and then on a daily basis if their positions decline in value; as a result, futures contracts are highly leveraged. Such payments are known as variation margin and are recorded by the Funds as unrealized gains or losses. Because futures markets are highly leveraged, they can be extremely volatile, and there can be no assurance that the pricing of a futures contract will correlate precisely with the pricing of the asset or index underlying it or the asset or liability of the Fund that is the subject of the hedge. It may not always be possible for a Fund to enter into a closing transaction with respect to a futures contract it has entered into, at a favorable time or price. When a Fund enters into a futures transaction, it is subject to the risk that the value of the futures contract will move in a direction unfavorable to it. When a Fund uses futures contracts for hedging purposes, it is likely that the Fund will have an asset or liability that will offset any loss (or gain) on the transactions, at least in part.
When a futures contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded.
The Fund(s) listed in the following table had open futures contracts at December 31, 2015:
| | | | | | | | | | | | | | | | |
| | | Expiration
Date | | | Number of
Contracts | | | Notional
Amount | | | Net Unrealized
Appreciation/
(Depreciation) | |
Equity Index Fund | | | | | | | | | | | | | | | | |
Futures Contracts — Long | | | | | | | | | | | | | | | | |
S&P 500 E Mini Index | | | 03/18/16 | | | | 30 | | | $ | 3,053,100 | | | $ | 3,249 | |
| | | | | | | | | | | | | | | | |
Total Return Bond Fund | | | | | | | | | | | | | | | | |
Futures Contracts — Long | | | | | | | | | | | | | | | | |
U.S. Treasury Note 5 Year | | | 03/31/16 | | | | 99 | | | $ | 11,713,711 | | | $ | (27,012 | ) |
| | | | | | | | | | | | | | | | |
Options, Rights, and Warrants
A Fund may purchase and sell put and call options on securities or an index of securities to enhance investment performance or to protect against changes in market prices. A Fund that invests in debt securities may also purchase and sell put and call options to adjust the interest rate sensitivity of its portfolio or the credit exposure of the portfolio.
Call Options. A call option gives the holder the right to purchase, and obligates the writer to sell, a security at the strike price at any time before the expiration date.
Put Options. A put option gives the holder the right to sell, and obligates the writer to buy, a security at the exercise price at any time before the expiration date.
Writing put and call options. A Fund may write call options on a security it owns, in a “directional” strategy hoping to realize a greater current return through the receipt of premiums. In return for the option premium, the Fund takes the risk that it will have to forego any increase in the value of the security over the strike price. When a Fund has written a call option on a security it does not own, its exposure on such an option is theoretically unlimited. A Fund may enter into closing purchase transactions in order to realize a profit or limit a loss on a previously written call option or, in the case of a call option on a security it owns, to free itself to sell the underlying security or to write another call on the security, or protect a security from being called in an unexpected market rise. Any profits from a closing purchase transaction in the case of a call option on a security a Fund owns may be offset by a decline in the value of the underlying security. Conversely, because increases in the market price of a call option will generally reflect increases in the market price of the underlying security, any loss resulting from a closing purchase transaction relating to a call option on a security a Fund owns is likely to be offset in whole or in part by unrealized appreciation of the underlying security owned by the Fund. A Fund may not be able to close out a call option that it has previously written. A Fund may write put options in order to enhance its current return by taking a long directional position as to a security or index of securities. By writing a put
198
Notes to Financial Statements (Continued)
option, the Fund assumes the risk that it may be required to purchase the underlying security for an exercise price higher than its then current market value, resulting in a potential capital loss unless the security later appreciates in value. A Fund may terminate a put option that it has written before it expires by entering into a closing purchase transaction. Any loss from this transaction may be partially or entirely offset by the premium received on the terminated option. A Fund may not be able to close out a put option that it has previously written.
When a Fund writes a call or put option, an amount equal to the premium received is recorded as a liability. Premiums received from writing options which expire are treated as realized gains. Premiums received from writing options which are exercised or closed are added to the proceeds or offset against the amount paid on the underlying investment to determine the realized gain or loss.
Purchasing put and call options. A Fund may purchase put options to protect portfolio holdings against a decline in market value of a security or securities held by it. A Fund may also purchase a put option hoping to profit from an anticipated decline in the value of the underlying security. If the Fund holds the security underlying the option, the option premium and any transaction costs will reduce any profit the Fund might have realized had it sold the underlying security instead of buying the put option. A Fund may purchase call options to hedge against an increase in the price of securities that the Fund wants ultimately to buy. A Fund may also purchase a call option as a long directional investment hoping to profit from an anticipated increase in the value of the underlying security. In order for a call option to be profitable, the market price of the underlying security must rise sufficiently above the exercise price to cover the premium and transaction costs. These costs will reduce any profit the Fund might have realized had it bought the underlying security at the time it purchased the call option.
When a Fund purchases an option, it runs the risk that it will lose its entire investment in the option in a relatively short period of time, unless the Fund exercises the option or enters into a closing sale transaction before the option’s expiration. If the price of the underlying security does not rise (in the case of a call) or fall (in the case of a put) to an extent sufficient to cover the option premium and transaction costs, the Fund will lose part or all of its investment in the option. This contrasts with an investment by a Fund in the underlying security, since the Fund will not realize a loss if the security’s price does not change. Premiums paid for purchasing options that expire are treated as realized losses.
Exchange Traded Options. Exchange traded options purchased or sold by a Fund may be traded on a securities or options exchange or market. Such options typically have minimal exposure to counterparty risk. However, an exchange or market may at times find it necessary to impose restrictions on particular types of options transactions, such as opening transactions. If an underlying security ceases to meet qualifications imposed by the market or the Options Clearing Corporation, new series of options on that security will no longer be opened to replace expiring series, and opening transactions in existing series may be prohibited. Exchange traded options are valued at the last sale price, or if no sales are reported, the last bid price.
Rights and Warrants. A Fund may purchase or hold warrants or rights in order to gain exposure to the underlying security without owning the security, including, for example, cases where the Fund hopes to lock in the price today of a security it may wish to purchase in the future. Warrants generally give the holder the right, but not the obligation, to buy a security at a stated price. In order for a warrant to be profitable, the market price of the underlying security must rise sufficiently above the exercise price to cover any premium and transaction costs. Rights may similarly confer on the holder the right to purchase or acquire securities, including through participation in a so-called rights offering. Bonds may be issued with warrants or other rights attached to purchase or acquire equity or other debt securities, typically of the bond issuer. The market prices of bonds with warrants or rights attached to purchase equity securities or bonds may, to some degree, reflect changes in the values of the underlying securities.
When a Fund purchases or otherwise acquires warrants or other rights, it runs the risk that it will lose its entire investment in the warrants or rights, unless the Fund exercises the warrant or right, acquires the underlying securities, or enters into a closing transaction before expiration. If the price of the underlying security does not rise to an extent sufficient to cover any premium and transaction costs, the Fund will lose part or all of its investment. Any premiums or purchase price paid for warrants or other rights that expire are treated as realized losses. Warrants and similar rights differ from options in that they are typically written by the issuer of the security underlying the warrant or right. Although some warrants and rights may be non-transferable, others may be traded over-the-counter or on an exchange.
199
Notes to Financial Statements (Continued)
The Fund(s) listed in the following table had open written option contracts at December 31, 2015:
| | | | | | | | | | | | | | | | | | |
| | Units | | | Expiration
Date | | | Description | | Premiums
Received | | | Value | |
| Managed Volatility Fund | | | | | | | | | | | | | | | | | | |
| | | 106 | | | | 1/08/16 | | | S&P 500 Index Call, Strike 2,050.00 | | $ | 360,758 | | | $ | 162,180 | |
| . | | | 102 | | | | 1/15/16 | | | S&P 500 Index Call, Strike 2,000.00 | | | 744,345 | | | | 613,020 | |
| | | 208 | | | | 1/15/16 | | | S&P 500 Index Call, Strike 2,050.00 | | | 1,455,480 | | | | 407,680 | |
| | | 112 | | | | 1/15/16 | | | S&P 500 Index Call, Strike 2,075.00 | | | 283,618 | | | | 100,800 | |
| | | 108 | | | | 1/15/16 | | | S&P 500 Index Call, Strike 2,100.00 | | | 400,880 | | | | 32,400 | |
| | | 106 | | | | 1/22/16 | | | S&P 500 Index Call, Strike 2,075.00 | | | 349,535 | | | | 159,000 | |
| | | 94 | | | | 2/19/16 | | | S&P 500 Index Call, Strike 2,025.00 | | | 507,365 | | | | 509,480 | |
| | | 102 | | | | 2/19/16 | | | S&P 500 Index Call, Strike 2,050.00 | | | 672,945 | | | | 403,920 | |
| | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | $ | 4,774,926 | | | $ | 2,388,480 | |
| | | | | | | | | | | | | | | | | | |
Transactions in written option contracts during the year ended December 31, 2015, were as follows:
| | | | | | | | |
| | | Number of
Contracts | | | Premiums
Received | |
| Managed Volatility Fund | |
Options outstanding at December 31, 2014 | | | 1,779 | | | $ | 7,831,873 | |
Options written | | | 13,851 | | | | 48,592,334 | |
Options terminated in closing purchase transactions | | | (14,449 | ) | | | (51,272,218 | ) |
Options expired | | | (243 | ) | | | (377,063 | ) |
| | | | | | | | |
Options outstanding at December 31, 2015 | | | 938 | | | $ | 4,774,926 | |
| | | | | | | | |
Inflation-Indexed Bonds
The Funds may invest in inflation-indexed bonds, which are fixed income securities whose principal value or coupon is periodically adjusted according to the rate of inflation, as measured by the Consumer Price Index for All Urban Consumers (“CPI-U”) (for U.S. Treasury inflation-indexed bonds) or, generally, by a comparable inflation index calculated by the foreign government issuing the inflation-indexed bonds.
If the periodic adjustment rate measuring inflation falls, the principal value of inflation-indexed bonds will be adjusted downward, and consequently the interest payable on these securities (calculated with respect to a smaller principal amount) will be reduced. Repayment of the original bond principal upon maturity (as adjusted for inflation) is guaranteed in the case of U.S. Treasury inflation-indexed bonds, even during a period of deflation. However, the current market value of the bonds is not guaranteed, and will fluctuate. The Funds may also invest in other inflation related bonds which may or may not provide a similar guarantee. If a guarantee of principal is not provided, the adjusted principal value of the bond repaid at maturity may be less than the original principal. Any adjustments to the principal amount of an inflation-indexed bond due to inflation will be reflected as increases or decreases to interest income. Such adjustments may have a significant impact on the Fund’s distributions.
The value of inflation-indexed bonds is generally based on changes in real interest rates, which in turn are tied to the relationship between nominal interest rates and the rate of inflation. Therefore, if nominal interest rates increased at a faster rate than inflation, real interest rates might rise, leading to a decrease in value of inflation-indexed bonds. While the values of these securities are expected to be protected from long-term inflationary trends, short-term increases in inflation may lead to a decline in value. There can be no assurance that the CPI-U or any foreign inflation index will accurately measure the real rate of inflation, or that the rate of inflation in a foreign country will correlate to the rate of inflation in the United States. Additionally, if interest rates rise due to reasons other than inflation, investors in these securities may not be protected to the extent that the increase is not reflected in the bond’s inflation measure.
200
Notes to Financial Statements (Continued)
Bank Loans
Certain of the Funds may invest in bank loans including, for example, corporate loans, loan participations, direct debt, bank debt, and bridge debt. A Fund may invest in a loan by lending money to a borrower directly as part of a syndicate of lenders. In a syndicated loan, the agent that originated and structured the loan typically administers and enforces the loan on behalf of the syndicate. Failure by the agent to fulfill its obligations may delay or adversely affect receipt of payment by a Fund. A Fund may also invest in loans through novations, assignments, and participation interests. In a novation, a Fund typically assumes all of the rights of a lending institution in a loan, including the right to receive payments of principal and interest and other amounts directly from the borrower and to enforce its rights as a lender directly against the borrower. When a Fund takes an assignment of a loan, the Fund acquires some or all of the interest of another lender (or assignee) in the loan. In such cases, the Fund may be required generally to rely upon the assignor to demand payment and enforce rights under the loan. If a Fund acquires a participation in the loan, the Fund purchases an indirect interest in a loan held by a third party and the Fund typically will have a contractual relationship only with the third party loan investor, not with the borrower. As a result, a Fund may have the right to receive payments of principal, interest, and any fees to which it is entitled only from the loan investor selling the participation and only upon receipt by such loan investor of such payments from the borrower. In such cases, a Fund assumes the credit risk of both the borrower and the loan investor selling the participation, and the Fund may be unable to realize some or all of the value of its interest in the loan in the event of the insolvency of the third party.
Changes in the financial condition of the borrower or economic conditions or other circumstances may reduce the capacity of the borrower to make principal and interest payments on such instruments and may lead to defaults. The value of any collateral securing a bank loan may decline after the Fund invests, and there is a risk that the value of the collateral may not be sufficient to cover the amount owed to the Fund.
At December 31, 2015, the Funds had no unfunded loan commitments.
Repurchase Agreements
Each Fund may enter into repurchase agreements with certain banks and broker-dealers whereby a Fund acquires a security for cash and obtains a simultaneous commitment from the seller to repurchase the security at an agreed upon price and date. A Fund, through its custodian, takes possession of the securities collateralizing the repurchase agreement in a segregated account. Repurchase agreements must be fully collateralized at all times, but involve some risk to a Fund if the other party should default on its obligation and the Fund is delayed or prevented from recovering the collateral, or if the Fund is required to return collateral to a borrower at a time when it may realize a loss on the investment of that collateral.
When-Issued, Delayed-Delivery, Forward Commitment, and To-Be-Announced Transactions
A Fund may enter into when-issued, delayed-delivery, forward commitment, or to-be-announced (“TBA”) transactions (collectively, the “Forward Transactions”) in order to lock in the purchase price of the underlying security, or in order to adjust the interest rate exposure of the Fund’s existing portfolio. In Forward Transactions, a Fund commits to purchase or sell particular securities, with payment and delivery to take place at a future date. In the case of TBA purchase commitments, the unit price and the estimated principal amount are established when the Fund enters into a commitment, with the actual principal amount being within a specified range of the estimate. Although a Fund does not typically pay for the securities in these types of transactions until they are delivered, it immediately assumes the risks of ownership, including the risk of price fluctuation. As a result, each of these types of transactions may create investment leverage in a Fund’s portfolio and increase the volatility of the Fund. If a Fund’s counterparty fails to deliver a security purchased in a Forward Transaction, there may be a loss, and the Fund may have missed an opportunity to make an alternative investment.
These securities are valued on the basis of valuations furnished by a pricing service, selected pursuant to procedures approved by the Trustees, which determines valuations taking into account appropriate factors such as institutional-size trading in similar groups of securities, yield, quality, coupon rate, maturity, type of issue, trading characteristics, and other market data. Securities for which no market quotation is available are valued at fair value in accordance with procedures approved by the Trustees. The Funds record on a daily basis the unrealized appreciation (depreciation) based upon changes in the values of these securities. When a Forward Transaction is closed, the Funds record a realized gain or loss equal to the difference between the value of the transaction at the time it was opened and the value of the transaction at the time it was closed.
201
Notes to Financial Statements (Continued)
Dollar Roll Transactions
A Fund may enter into dollar roll transactions, in which the Fund sells mortgage-backed securities for delivery in the current month and simultaneously contracts to purchase substantially similar securities on a specified future date from the same party. A Fund may invest in dollar rolls in order to benefit from anticipated changes in pricing for the mortgage-backed securities during the term of the transaction, or for the purpose of creating investment leverage. In a dollar roll, the securities that are to be purchased will be of the same type as the securities sold, but will be supported by different pools of mortgages.
Dollar rolls involve the risk that the Fund’s counterparty will be unable to deliver the mortgage-backed securities underlying the dollar roll at the fixed time. If the counterparty files for bankruptcy or becomes insolvent, a Fund’s use of the transaction proceeds may be restricted pending a determination by the counterparty or its representative, whether to enforce the Fund’s obligation to repurchase the securities. A Fund can incur a loss on a dollar roll transaction (either because its counterparty fails to perform or because the value of the mortgages subject to the transaction declines) and on the investments made by the Fund with the proceeds of the dollar roll transaction.
A Fund accounts for a dollar roll transaction as a purchase and sale whereby the difference in the sales price and purchase price of the security sold is recorded as a realized gain (loss). If certain criteria are met, these dollar roll transactions may be considered financing transactions, whereby the difference in the sales price and the future purchase price is recorded as an adjustment to interest income. Dollar roll transactions generally have the effect of creating leverage in a Fund’s portfolio.
Securities Lending
Each Fund may lend its securities; however, lending cannot exceed 33% of the total assets of the Fund taken at current value. The Funds’ securities lending activities are governed by a Securities Lending Agency Agreement (“Lending Agreement”) between each Fund and the lending agent (“agent”). The Lending Agreement authorizes the agent to lend qualifying U.S. and foreign securities held by a Fund to approved borrowers (each, a “Borrower”).
Each Fund expects that in connection with any securities on loan, the loan will be secured continuously by collateral consisting of cash or securities adjusted daily to have market value at least equal to the current market value of the securities loaned. The market value of the loaned securities is determined at the close of business of a Fund and any additional collateral is delivered to the Fund the next business day. As with other extensions of credit, the Funds may bear the risk of delay in recovery or even loss of rights in the collateral should the Borrower of the securities fail financially. The Funds receive compensation for lending their securities in the form of a securities loan fee paid by the Borrower, as well as a share of the income earned on investment of the cash collateral received for the loaned securities. At December 31, 2015, the Funds’ collateral was equal to or greater than 100% of the market value of securities on loan.
Security loans can be terminated at the discretion of either the lending agent or the Fund and the related securities must be returned within the earlier of the standard trade settlement period for such securities or within three business days. For all Funds, all securities on loan are classified as common stock in the Fund’s Portfolio of Investments at December 31, 2015.
The Funds employ the agent to implement their securities lending program and the agent receives a fee from the Funds for its services. In addition, the Funds may be required to pay a rebate to the Borrower. Accordingly, a Fund’s compensation for lending its securities is reduced by any such fees or rebate paid to the securities lending agent or Borrower, respectively. For the year ended December 31, 2015, the Fund(s) earned securities lending net income as follows:
| | | | | | | | | | | | |
| | | Securities
Lending Gross
Income | | | Securities
Lending Fees
and Expenses | | | Securities
Lending Net
Income | |
Foreign Fund | | $ | 424,151 | | | $ | 87,073 | | | $ | 337,078 | |
Global Fund | | | 134,952 | | | | 27,270 | | | | 107,682 | |
International Equity Fund | | | 110,179 | | | | 22,086 | | | | 88,093 | |
Mid Cap Growth Fund | | | 275,780 | | | | 55,177 | | | | 220,603 | |
Small Cap Growth Equity Fund | | | 254,922 | | | | 50,967 | | | | 203,955 | |
Small Company Value Fund | | | 48,420 | | | | 9,703 | | | | 38,717 | |
202
Notes to Financial Statements (Continued)
Accounting for Investment Transactions
Investment transactions are accounted for on the trade date. Realized gains and losses on sales of investments and unrealized appreciation and depreciation of investments are computed by the specific identification cost method. Proceeds received from litigation, if any, are included in realized gains on investment transactions for any investments that are no longer held in the portfolio and as a reduction in cost for investments that continue to be held in the portfolio. Interest income, adjusted for amortization of discounts and premiums on debt securities, is earned from the settlement date and is recorded on the accrual basis. Dividend income is recorded on the ex-dividend date. Withholding taxes on foreign interest, dividends, and capital gains have been provided for in accordance with the applicable country’s tax rules and rates. Foreign dividend income is recorded on the ex-dividend date or as soon as practicable after the Fund determines the existence of a dividend declaration after exercising reasonable due diligence. Distributions received on securities that represent a return of capital or capital gain are recorded as a reduction of cost of investments and/or as a realized gain. The Funds determine the classification of distributions received as return of capital distributions or capital gain distributions.
Foreign Currency Translation
The books and records of the Funds are maintained in U.S. dollars. The market values of foreign currencies, foreign securities, and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars at the mean of the buying and selling rates of such currencies against the U.S. dollar at the end of each business day. Purchases and sales of foreign securities and income and expense items are translated at the rates of exchange prevailing on the respective dates of such transactions. The Funds do not isolate that portion of the results of operations arising from changes in the exchange rates from that portion arising from changes in the market prices of securities. Net realized foreign currency gains and losses resulting from changes in exchange rates include foreign currency gains and losses between trade date and settlement date on investment securities transactions, foreign currency transactions, and the difference between the amounts of dividends or interest recorded on the books of the Funds and the amount actually received.
Allocation of Operating Activity
In maintaining the records for the Funds, the income and expense accounts are allocated daily to each class of shares. Investment income and loss, and unrealized and realized gains or losses are prorated among the classes of shares based on the relative net assets of each. Expenses are allocated to each class of shares depending on the nature of the expenditures. Administration and service fees, if any, which are directly attributable to a class of shares, are charged to that class’s operations. Expenses of a Fund not directly attributable to the operations of any specific class of shares of the Fund are prorated among the classes to which the expense relates based on relative net assets.
Foreign Securities
Each of the Foreign Fund and the International Equity Fund invests substantially all of its assets and the Global Fund invests a significant amount of its assets in foreign securities. The other Funds may also invest in foreign securities. Foreign securities, including American Depositary Receipts, are subject to additional risks compared to securities of U.S. issuers, including international trade, currency, political, regulatory, and diplomatic risks. In addition, fluctuations in currency exchange rates may adversely affect the values of foreign securities and the price of a Fund’s shares. Emerging markets securities are subject to greater risks than securities issued in developed foreign markets, including less liquidity, greater price volatility, higher relative rates of inflation, greater political, economic, and social instability, greater custody and operational risks, and greater volatility in currency exchange rates.
Federal Income Tax
It is each Fund’s intent to continue to comply with the provisions of subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to a regulated investment company. Under such provisions, the Funds would not be subject to federal income taxes on their ordinary income and net realized capital gains to the extent they are distributed or deemed to have been distributed to their shareholders. Therefore, the Funds have not made any provision for federal income tax.
203
Notes to Financial Statements (Continued)
Dividends and Distributions to Shareholders
Dividends from net investment income and distributions of any net realized capital gains of each Fund are declared and paid annually and at other times as may be required to satisfy tax or regulatory requirements.
Distributions to shareholders are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. As a result, net investment income and net realized capital gains on investment transactions for a reporting period may differ significantly from distributions during such period.
3. Advisory Fees and Other Transactions
Investment Advisory Fees and Investment Subadvisers
MML Investment Advisers, LLC (“MML Advisers”), a wholly-owned subsidiary of MassMutual, serves as investment adviser to each Fund. Under the investment advisory agreements between MML Advisers and the Trust on behalf of each Fund, MML Advisers is responsible for providing investment management services for each Fund. In return for these services, MML Advisers receives advisory fees, based upon each Fund’s average daily net assets, at the annual rates shown in the following table.
MML Advisers has also entered into investment subadvisory agreements for each Fund with the unaffiliated investment subadviser(s) shown in the following table. MML Advisers pays a subadvisory fee to each of these subadvisers based upon the aggregate net assets under management which include (1) the average daily net assets of the specified Fund which it manages, and, if applicable, (2) the average daily net assets of all other Funds or accounts of MML Advisers or its affiliates for which the subadviser provides subadvisory services and which have substantially the same investment objective, policies, and investment strategies.
The Funds’ subadvisory fees are paid by MML Advisers out of the advisory fees.
| | | | |
Fund | | Investment Advisory Fee | | Investment Subadviser(s) |
Blue Chip Growth Fund | | 0.75% on the first $400 million; and | | T. Rowe Price Associates, Inc. |
| | 0.70% on any excess over $400 million | | |
Equity Income Fund | | 0.75% on the first $600 million; and | | T. Rowe Price Associates, Inc. |
| | 0.70% on any excess over $600 million | | |
Equity Index Fund | | 0.10% on the first $750 million; and | | Northern Trust Investments, Inc. |
| | 0.08% on any excess over $750 million | | |
Focused Equity Fund** | | 0.70% on the first $250 million; and | | Harris Associates L.P. |
| | 0.60% on any excess over $250 million | | |
Foreign Fund | | 0.89% on the first $500 million; and | | Templeton Investment Counsel, LLC |
| | 0.85% on any excess over $500 million | | |
Fundamental Growth Fund* | | 0.62% on the first $250 million; and | | Wellington Management Company LLP |
| | 0.60% on any excess over $250 million | | |
Fundamental Value Fund** | | 0.60% on the first $500 million; and | | Wellington Management Company LLP |
| | 0.575% on any excess over $500 million | | |
Global Fund | | 0.60% on the first $600 million; and | | Massachusetts Financial Services Company |
| | 0.55% on any excess over $600 million | | |
Growth & Income Fund* | | 0.50% on the first $500 million; and | | Massachusetts Financial Services Company |
| | 0.475% on any excess over $500 million | | |
Income & Growth Fund | | 0.65% on the first $600 million; and | | BlackRock Investment Management, LLC |
| | 0.60% on any excess over $600 million | | |
International Equity Fund* | | 0.80% on the first $250 million; and | | Harris Associates L.P. |
| | 0.75% on any excess over $250 million | | |
204
Notes to Financial Statements (Continued)
| | | | |
Fund | | Investment Advisory Fee | | Investment Subadviser(s) |
Large Cap Growth Fund | | 0.65% on the first $600 million; and | | Rainier Investment Management, LLC |
| | 0.60% on any excess over $600 million | | |
Managed Volatility Fund | | 0.75% on the first $500 million; and | | Gateway Investment Advisers, LLC |
| | 0.70% on any excess over $500 million | | |
Mid Cap Growth Fund | | 0.77% on the first $600 million; and | | T. Rowe Price Associates, Inc. |
| | 0.75% on any excess over $600 million | | |
Mid Cap Value Fund | | 0.84% on the first $600 million; and 0.80% on any excess over $600 million | | American Century Investment Management, Inc. |
Small Cap Growth Equity Fund | | 1.04% on the first $200 million; and 1.00% on any excess over $200 million | | Waddell & Reed Investment Management Company; and Wellington Management Company LLP |
Small Company Value Fund* | | 0.80% on the first $150 million; and | | T. Rowe Price Associates, Inc. |
| | 0.70% on any excess over $150 million | | |
Small/Mid Cap Value Fund* | | 0.75% on the first $500 million; and | | AllianceBernstein L.P. |
| | 0.70% on any excess over $500 million | | |
Total Return Bond Fund** | | 0.45% on the first $500 million; and 0.43% on any excess over $500 million | | Metropolitan West Asset Management, LLC |
| * | Prior to June 1, 2015, the investment advisory fees were as follows: |
| | |
Fund | | Investment Advisory Fee |
Fundamental Growth Fund** | | 0.65% on the first $250 million; and |
| | 0.63% on any excess over $250 million |
Growth & Income Fund | | 0.50% |
International Equity Fund** | | 0.80% |
Small Company Value Fund | | 0.85% on the first $150 million; and |
| | 0.75% on any excess over $150 million |
Small/Mid Cap Value Fund | | 0.75% |
| ** | Prior to May 1, 2015, the investment advisory fees were as follows: |
| | |
Fund | | Investment Advisory Fee |
Focused Equity Fund | | 0.75% on the first $250 million; and |
| | 0.65% on any excess over $250 million |
Fundamental Growth Fund | | 0.70% on the first $250 million; and |
| | 0.68% on any excess over $250 million |
Fundamental Value Fund | | 0.65% on the first $500 million; and |
| | 0.625% on any excess over $500 million |
International Equity Fund | | 0.85% |
Total Return Bond Fund | | 0.50% on the first $500 million; and |
| | 0.48% on any excess over $500 million |
Administration Fees
For the Equity Index Fund, Focused Equity Fund, Fundamental Growth Fund, Fundamental Value Fund, Global Fund, International Equity Fund, Small Company Value Fund, and Total Return Bond Fund, under a separate Administrative and Shareholder Services Agreement between the Funds and MML Advisers, MML Advisers is obligated to provide all necessary administrative and shareholder services and bear some of the Fund specific administrative expenses. In return for these services, MML Advisers receives an administrative services fee based upon the average daily net assets of the applicable class of shares of the Funds, at the following annual rates:
| | | | | | | | | | | | | | | | |
| | | Class I | | | Class II | | | Class III | | | Service
Class I | |
Equity Index Fund* | | | 0.30% | | | | 0.15% | | | | None | | | | 0.30% | |
Focused Equity Fund* | | | None | | | | 0.15% | | | | None | | | | 0.15% | |
205
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Class I | | | Class II | | | Class III | | | Service
Class I | |
Fundamental Growth Fund* | | | None | | | | 0.15% | | | | None | | | | 0.15% | |
Fundamental Value Fund* | | | None | | | | 0.15% | | | | None | | | | 0.15% | |
Global Fund* | | | 0.15% | | | | 0.15% | | | | None | | | | 0.15% | |
International Equity Fund* | | | None | | | | 0.15% | | | | None | | | | 0.15% | |
Small Company Value Fund* | | | None | | | | 0.15% | | | | None | | | | 0.15% | |
Total Return Bond Fund* | | | None | | | | 0.15% | | | | None | | | | 0.15% | |
| * | Prior to May 1, 2015, the administration fees were as follows: |
| | | | | | | | | | | | |
| | | Class I | | Class II | | | Class III | | | Service Class I |
Equity Index Fund | | 0.30% on the first $100 million; | | | 0.19% | | | | 0.05% | | | 0.30% on the first $100 million; |
| | 0.28% on the next $150 million; and | | | | | | | | | | 0.28% on the next $150 million; and |
| | 0.26% on any excess over $250 million | | | | | | | | | | 0.26% on any excess over $250 million |
Focused Equity Fund | | None | | | 0.10% | | | | None | | | 0.10% |
Fundamental Growth Fund | | None | | | 0.10% | | | | None | | | 0.10% |
Fundamental Value Fund | | None | | | 0.10% | | | | None | | | 0.10% |
Global Fund | | 0.28% | | | 0.18% | | | | None | | | 0.28% |
International Equity Fund | | None | | | 0.10% | | | | None | | | 0.10% |
Small Company Value Fund | | None | | | 0.25% | | | | None | | | 0.25% |
Total Return Bond Fund | | None | | | 0.10% | | | | None | | | 0.10% |
Distribution and Service Fees
MML Distributors, LLC (the “Distributor”) acts as distributor to the Funds. Pursuant to a Distribution and Services Plan adopted by the Funds pursuant to Rule 12b-1 under the 1940 Act, Service Class shares and Service Class I shares of the Funds pay an annual fee of 0.25% of the average daily net asset value of Service Class shares and Service Class I shares. This fee, or a portion thereof, is paid to: (i) the Distributor for services provided and expenses incurred by it in connection with the distribution of Service Class shares or Service Class I shares, as applicable, of each Fund; and/or (ii) MassMutual for services provided and expenses incurred by it for purposes of maintaining or providing personal services to Service Class and Service Class I shareholders. The Distributor is a wholly-owned subsidiary of MassMutual.
Expense Caps and Waivers
MML Advisers agreed to cap the fees and expenses of the Funds noted below (other than extraordinary litigation and legal expenses, Acquired Fund Fees and Expenses#, interest expense, short sale dividend and loan expense, or other non-recurring or unusual expenses such as organizational expenses and shareholder meeting expenses) based upon the average daily net assets of the applicable class of shares of the Funds, as follows:
| | | | | | | | | | | | |
| | | Class I | | | Class II | | | Service
Class I | |
Fundamental Growth Fund* | | | None | | | | 0.85% | | | | 1.10% | |
Global Fund** | | | 0.90% | | | | 0.80% | | | | 1.15% | |
International Equity Fund* | | | None | | | | 1.00% | | | | 1.25% | |
Small Company Value Fund** | | | None | | | | 1.15% | | | | 1.40% | |
Total Return Bond Fund* | | | None | | | | 0.60% | | | | 0.85% | |
| # | Acquired Fund Fees and Expenses are expenses borne indirectly by a Fund through investments in other pooled investment vehicles. |
| * | Expense caps in effect through April 30, 2016. |
| ** | Expense caps in effect through April 30, 2015. |
206
Notes to Financial Statements (Continued)
MML Advisers has contractually agreed to waive, through April 30, 2016, 0.05% of the advisory fee for each class of the Total Return Bond Fund.
MML Advisers had agreed to waive, through April 30, 2015, 0.05% of the administrative and shareholder service fee for Class II and Class III shares of the Equity Index Fund.
Effective June 1, 2015, MML Advisers has agreed to voluntarily waive 0.05% of the advisory fee for each class of the MML Small Company Value Fund.
Expense caps and waiver amounts are reflected as a reduction of expenses on the Statements of Operations.
Rebated Brokerage Commissions
The Funds listed below have entered into agreements with certain brokers whereby the brokers will rebate to the Funds, in cash, a portion of brokerage commissions. Rebated brokerage commissions are amounts earned by the Funds and are included with realized gain or loss on investment transactions presented in the Statements of Operations. For the year ended December 31, 2015, brokerage commissions rebated under these agreements were as follows:
| | | | |
| | | Rebated
Commissions | |
Blue Chip Growth Fund | | $ | 700 | |
Equity Income Fund | | | 4,554 | |
Foreign Fund | | | 490 | |
Fundamental Growth Fund | | | 18 | |
Global Fund | | | 2,735 | |
Growth & Income Fund | | | 2,451 | |
Income & Growth Fund | | | 1,115 | |
Large Cap Growth Fund | | | 1,763 | |
Managed Volatility Fund | | | 18,695 | |
Mid Cap Growth Fund | | | 970 | |
Small Cap Growth Equity Fund | | | 37,290 | |
Small Company Value Fund | | | 279 | |
Small/Mid Cap Value Fund | | | 33,440 | |
Deferred Compensation
Trustees of the Funds who are not officers or employees of MassMutual may elect to defer receipt of their annual fees in accordance with terms of a Non-Qualified Deferred Compensation Plan. Amounts deferred shall accrue interest or earnings and shall be recorded on the Funds’ books as other liabilities. Deferred compensation is included within Trustees’ fees and expenses in the Statements of Assets and Liabilities.
Other
Certain officers and trustees of the Funds are also employees of MassMutual. The compensation of each trustee who is not an employee of MassMutual is borne by the Funds.
207
Notes to Financial Statements (Continued)
| 4. | | Purchases and Sales of Investments |
Cost of purchases and proceeds from sales of investment securities (excluding short-term investments) for the year ended December 31, 2015, were as follows:
| | | | | | | | | | | | | | | | |
| | | Purchases | | | Sales | |
| | | Long-Term U.S.
Government
Securities | | | Other
Long-Term
Securities | | | Long-Term U.S.
Government
Securities | | | Other
Long-Term
Securities | |
Blue Chip Growth Fund | | $ | - | | | $ | 132,106,057 | | | $ | - | | | $ | 162,172,425 | |
Equity Income Fund | | | - | | | | 200,221,386 | | | | - | | | | 189,347,158 | |
Equity Index Fund | | | - | | | | 33,092,750 | | | | - | | | | 15,696,895 | |
Focused Equity Fund | | | - | | | | 80,011,381 | | | | - | | | | 76,838,432 | |
Foreign Fund | | | - | | | | 100,757,925 | | | | - | | | | 43,750,952 | |
Fundamental Growth Fund | | | - | | | | 85,964,486 | | | | - | | | | 121,616,234 | |
Fundamental Value Fund | | | - | | | | 54,012,294 | | | | - | | | | 42,423,845 | |
Global Fund | | | - | | | | 65,338,005 | | | | - | | | | 44,699,562 | |
Growth & Income Fund | | | - | | | | 22,019,013 | | | | - | | | | 35,530,047 | |
Income & Growth Fund | | | - | | | | 63,420,610 | | | | - | | | | 65,370,060 | |
International Equity Fund | | | - | | | | 128,540,444 | | | | - | | | | 72,685,619 | |
Large Cap Growth Fund | | | - | | | | 165,426,225 | | | | - | | | | 204,495,738 | |
Managed Volatility Fund | | | - | | | | 7,373,225 | | | | - | | | | 180,936,641 | |
Mid Cap Growth Fund | | | - | | | | 146,318,555 | | | | - | | | | 158,755,109 | |
Mid Cap Value Fund | | | - | | | | 322,731,860 | | | | - | | | | 344,483,981 | |
Small Cap Growth Equity Fund | | | - | | | | 178,625,013 | | | | - | | | | 236,377,327 | |
Small Company Value Fund | | | - | | | | 44,797,226 | | | | - | | | | 44,668,775 | |
Small/Mid Cap Value Fund | | | - | | | | 95,704,981 | | | | - | | | | 127,129,521 | |
Total Return Bond Fund | | | 1,135,459,113 | | | | 117,833,356 | | | | 1,193,827,240 | | | | 96,352,383 | |
| 5. | | Capital Share Transactions |
Changes in shares outstanding for each Fund were as follows:
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Blue Chip Growth Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 2,050,627 | | | $ | 35,000,186 | | | | 2,432,310 | | | $ | 41,415,411 | |
Issued as reinvestment of dividends | | | 4,217,280 | | | | 62,289,222 | | | | 2,309,868 | | | | 38,644,089 | |
Redeemed | | | (4,490,729 | ) | | | (78,848,927 | ) | | | (6,665,224 | ) | | | (114,765,671 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,777,178 | | | $ | 18,440,481 | | | | (1,923,046 | ) | | $ | (34,706,171 | ) |
| | | | | | | | | | | | | | | | |
Blue Chip Growth Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 700,855 | | | $ | 11,542,611 | | | | 485,695 | | | $ | 8,240,685 | |
Issued as reinvestment of dividends | | | 425,902 | | | | 6,171,321 | | | | 175,921 | | | | 2,902,689 | |
Redeemed | | | (264,136 | ) | | | (4,401,398 | ) | | | (134,052 | ) | | | (2,244,038 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 862,621 | | | $ | 13,312,534 | | | | 527,564 | | | $ | 8,899,336 | |
| | | | | | | | | | | | | | | | |
Equity Income Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 3,349,391 | | | $ | 43,038,102 | | | | 2,190,166 | | | $ | 29,879,917 | |
Issued as reinvestment of dividends | | | 4,798,391 | | | | 51,918,590 | | | | 1,355,269 | | | | 18,675,610 | |
Redeemed | | | (5,851,519 | ) | | | (76,038,084 | ) | | | (10,908,154 | ) | | | (147,559,227 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 2,296,263 | | | $ | 18,918,608 | | | | (7,362,719 | ) | | $ | (99,003,700 | ) |
| | | | | | | | | | | | | | | | |
208
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Equity Income Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 801,621 | | | $ | 9,912,506 | | | | 670,085 | | | $ | 9,079,857 | |
Issued as reinvestment of dividends | | | 699,148 | | | | 7,508,847 | | | | 164,870 | | | | 2,257,067 | |
Redeemed | | | (461,419 | ) | | | (5,866,477 | ) | | | (301,982 | ) | | | (4,096,661 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,039,350 | | | $ | 11,554,876 | | | | 532,973 | | | $ | 7,240,263 | |
| | | | | | | | | | | | | | | | |
Equity Index Fund Class I | | | | | | | | | | | | | | | | |
Sold | | | 131,076 | | | $ | 3,326,839 | | | | 191,367 | | | $ | 4,599,754 | |
Issued as reinvestment of dividends | | | 123,159 | | | | 2,876,982 | | | | 93,856 | | | | 2,313,553 | |
Redeemed | | | (549,858 | ) | | | (13,987,453 | ) | | | (988,488 | ) | | | (23,947,674 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (295,623 | ) | | $ | (7,783,632 | ) | | | (703,265 | ) | | $ | (17,034,367 | ) |
| | | | | | | | | | | | | | | | |
Equity Index Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 1,052,550 | | | $ | 26,566,026 | | | | 389,841 | | | $ | 9,411,432 | |
Issued as reinvestment of dividends | | | 241,782 | | | | 5,652,856 | | | | 170,775 | | | | 4,214,723 | |
Redeemed | | | (691,685 | ) | | | (17,492,168 | ) | | | (629,543 | ) | | | (15,324,538 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 602,647 | | | $ | 14,726,714 | | | | (68,927 | ) | | $ | (1,698,383 | ) |
| | | | | | | | | | | | | | | | |
Equity Index Fund Class III | | | | | | | | | | | | | | | | |
Sold | | | 866 | | | $ | 22,459 | | | | 915 | | | $ | 21,042 | |
Issued as reinvestment of dividends | | | 298,056 | | | | 6,959,599 | | | | 196,106 | | | | 4,834,005 | |
Redeemed | | | (106,824 | ) | | | (2,703,109 | ) | | | (113,391 | ) | | | (2,701,841 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 192,098 | | | $ | 4,278,949 | | | | 83,630 | | | $ | 2,153,206 | |
| | | | | | | | | | | | | | | | |
Equity Index Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 367,151 | | | $ | 9,082,505 | | | | 449,061 | | | $ | 10,641,924 | |
Issued as reinvestment of dividends | | | 61,289 | | | | 1,398,611 | | | | 28,933 | | | | 698,745 | |
Redeemed | | | (111,382 | ) | | | (2,742,801 | ) | | | (137,780 | ) | | | (3,240,727 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 317,058 | | | $ | 7,738,315 | | | | 340,214 | | | $ | 8,099,942 | |
| | | | | | | | | | | | | | | | |
Focused Equity Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 1,950,228 | | | $ | 29,160,625 | | | | 1,160,066 | | | $ | 17,935,868 | |
Issued as reinvestment of dividends | | | 2,006,738 | | | | 23,639,379 | | | | 955,351 | | | | 14,913,033 | |
Redeemed | | | (1,850,790 | ) | | | (27,653,542 | ) | | | (2,740,919 | ) | | | (42,693,514 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 2,106,176 | | | $ | 25,146,462 | | | | (625,502 | ) | | $ | (9,844,613 | ) |
| | | | | | | | | | | | | | | | |
Focused Equity Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 152,134 | | | $ | 2,134,769 | | | | 183,039 | | | $ | 2,799,861 | |
Issued as reinvestment of dividends | | | 86,342 | | | | 1,010,197 | | | | 39,376 | | | | 611,512 | |
Redeemed | | | (115,281 | ) | | | (1,736,595 | ) | | | (81,455 | ) | | | (1,255,824 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 123,195 | | | $ | 1,408,371 | | | | 140,960 | | | $ | 2,155,549 | |
| | | | | | | | | | | | | | | | |
Foreign Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 7,768,376 | | | $ | 81,258,787 | | | | 3,871,730 | | | $ | 41,684,165 | |
Issued — merger | | | - | | | | - | | | | 1,701,290 | | | | 19,292,633 | |
Issued as reinvestment of dividends | | | 1,099,581 | | | | 10,665,933 | | | | 676,097 | | | | 7,579,051 | |
Redeemed | | | (4,394,039 | ) | | | (46,071,249 | ) | | | (10,892,002 | ) | | | (121,449,488 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 4,473,918 | | | $ | 45,853,471 | | | | (4,642,885 | ) | | $ | (52,893,639 | ) |
| | | | | | | | | | | | | | | | |
Foreign Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 224,140 | | | $ | 2,317,484 | | | | 122,641 | | | $ | 1,295,588 | |
Issued — merger | | | - | | | | - | | | | 305,170 | | | | 3,442,313 | |
Issued as reinvestment of dividends | | | 33,446 | | | | 322,750 | | | | 21,048 | | | | 234,680 | |
Redeemed | | | (140,636 | ) | | | (1,433,225 | ) | | | (104,987 | ) | | | (1,133,771 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 116,950 | | | $ | 1,207,009 | | | | 343,872 | | | $ | 3,838,810 | |
| | | | | | | | | | | | | | | | |
209
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Fundamental Growth Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 1,328,385 | | | $ | 18,826,700 | | | | 1,515,895 | | | $ | 22,042,851 | |
Issued as reinvestment of dividends | | | 3,138,822 | | | | 36,975,319 | | | | 1,056,660 | | | | 15,110,242 | |
Redeemed | | | (3,753,642 | ) | | | (54,749,345 | ) | | | (5,045,952 | ) | | | (72,994,870 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 713,565 | | | $ | 1,052,674 | | | | (2,473,397 | ) | | $ | (35,841,777 | ) |
| | | | | | | | | | | | | | | | |
Fundamental Growth Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 81,440 | | | $ | 1,149,694 | | | | 85,311 | | | $ | 1,230,250 | |
Issued as reinvestment of dividends | | | 48,130 | | | | 562,161 | | | | 9,395 | | | | 133,691 | |
Redeemed | | | (41,054 | ) | | | (547,246 | ) | | | (39,049 | ) | | | (572,896 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 88,516 | | | $ | 1,164,609 | | | | 55,657 | | | $ | 791,045 | |
| | | | | | | | | | | | | | | | |
Fundamental Value Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 1,885,056 | | | $ | 29,843,976 | | | | 1,647,967 | | | $ | 25,792,859 | |
Issued as reinvestment of dividends | | | 1,499,241 | | | | 20,434,654 | | | | 811,002 | | | | 12,757,062 | |
Redeemed | | | (1,653,877 | ) | | | (25,697,093 | ) | | | (4,019,590 | ) | | | (62,882,457 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,730,420 | | | $ | 24,581,537 | | | | (1,560,621 | ) | | $ | (24,332,536 | ) |
| | | | | | | | | | | | | | | | |
Fundamental Value Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 267,094 | | | $ | 3,957,337 | | | | 204,745 | | | $ | 3,184,188 | |
Issued as reinvestment of dividends | | | 39,989 | | | | 539,857 | | | | 16,026 | | | | 250,322 | |
Redeemed | | | (104,355 | ) | | | (1,613,745 | ) | | | (43,917 | ) | | | (678,980 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 202,728 | | | $ | 2,883,449 | | | | 176,854 | | | $ | 2,755,530 | |
| | | | | | | | | | | | | | | | |
Global Fund Class I | | | | | | | | | | | | | | | | |
Sold | | | 4,496,635 | | | $ | 57,265,309 | | | | 6,485,317 | | | $ | 79,570,972 | |
Issued as reinvestment of dividends | | | 1,081,244 | | | | 12,434,307 | | | | 415,403 | | | | 5,221,615 | |
Redeemed | | | (3,111,843 | ) | | | (40,045,880 | ) | | | (2,247,657 | ) | | | (28,065,181 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 2,466,036 | | | $ | 29,653,736 | | | | 4,653,063 | | | $ | 56,727,406 | |
| | | | | | | | | | | | | | | | |
Global Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 47,470 | | | $ | 614,645 | | | | 31,033 | | | $ | 393,624 | |
Issued as reinvestment of dividends | | | 77,044 | | | | 900,642 | | | | 34,912 | | | | 445,484 | |
Redeemed | | | (158,619 | ) | | | (2,031,358 | ) | | | (180,216 | ) | | | (2,285,135 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (34,105 | ) | | $ | (516,071 | ) | | | (114,271 | ) | | $ | (1,446,027 | ) |
| | | | | | | | | | | | | | | | |
Global Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 240,960 | | | $ | 2,974,186 | | | | 212,279 | | | $ | 2,631,226 | |
Issued as reinvestment of dividends | | | 46,172 | | | | 527,285 | | | | 15,727 | | | | 196,430 | |
Redeemed | | | (109,180 | ) | | | (1,373,250 | ) | | | (29,560 | ) | | | (366,527 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 177,952 | | | $ | 2,128,221 | | | | 198,446 | | | $ | 2,461,129 | |
| | | | | | | | | | | | | | | | |
Growth & Income Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 107,989 | | | $ | 1,438,084 | | | | 152,081 | | | $ | 1,911,429 | |
Issued as reinvestment of dividends | | | 104,134 | | | | 1,325,627 | | | | 109,646 | | | | 1,393,594 | |
Redeemed | | | (1,283,961 | ) | | | (17,198,074 | ) | | | (1,790,439 | ) | | | (22,309,807 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (1,071,838 | ) | | $ | (14,434,363 | ) | | | (1,528,712 | ) | | $ | (19,004,784 | ) |
| | | | | | | | | | | | | | | | |
Growth & Income Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 179,282 | | | $ | 2,384,744 | | | | 293,790 | | | $ | 3,607,961 | |
Issued as reinvestment of dividends | | | 15,067 | | | | 190,746 | | | | 13,622 | | | | 172,322 | |
Redeemed | | | (192,689 | ) | | | (2,544,358 | ) | | | (300,673 | ) | | | (3,741,895 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,660 | | | $ | 31,132 | | | | 6,739 | | | $ | 38,388 | |
| | | | | | | | | | | | | | | | |
210
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Income & Growth Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 2,092,475 | | | $ | 25,180,057 | | | | 2,524,602 | | | $ | 29,488,802 | |
Issued as reinvestment of dividends | | | 1,736,757 | | | | 18,426,994 | | | | 349,573 | | | | 4,208,862 | |
Redeemed | | | (2,959,410 | ) | | | (35,488,006 | ) | | | (3,873,523 | ) | | | (45,887,021 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 869,822 | | | $ | 8,119,045 | | | | (999,348 | ) | | $ | (12,189,357 | ) |
| | | | | | | | | | | | | | | | |
Income & Growth Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 238,369 | | | $ | 2,815,280 | | | | 213,242 | | | $ | 2,510,636 | |
Issued as reinvestment of dividends | | | 124,932 | | | | 1,315,531 | | | | 20,572 | | | | 246,039 | |
Redeemed | | | (168,232 | ) | | | (1,986,854 | ) | | | (210,004 | ) | | | (2,492,819 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 195,069 | | | $ | 2,143,957 | | | | 23,810 | | | $ | 263,856 | |
| | | | | | | | | | | | | | | | |
International Equity Fund Class II* | | | | | | | | | | | | | | | | |
Sold | | | 6,490,052 | | | $ | 62,903,390 | | | | 23,728,769 | | | $ | 237,787,100 | |
Issued as reinvestment of dividends | | | 37,164 | | | | 332,992 | | | | 368,443 | | | | 3,385,993 | |
Redeemed | | | (1,267,813 | ) | | | (12,071,785 | ) | | | (10,731,629 | ) | | | (107,513,100 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 5,259,403 | | | $ | 51,164,597 | | | | 13,365,583 | | | $ | 133,659,993 | |
| | | | | | | | | | | | | | | | |
International Equity Fund Service Class I** | | | | | | | | | | | | | | | | |
Sold | | | 149,566 | | | $ | 1,425,758 | | | | 36,222 | | | $ | 357,907 | |
Issued as reinvestment of dividends | | | 258 | | | | 2,305 | | | | 807 | | | | 7,406 | |
Redeemed | | | (9,716 | ) | | | (92,301 | ) | | | (4,827 | ) | | | (44,820 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 140,108 | | | $ | 1,335,762 | | | | 32,202 | | | $ | 320,493 | |
| | | | | | | | | | | | | | | | |
Large Cap Growth Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 1,489,752 | | | $ | 20,105,961 | | | | 1,634,154 | | | $ | 23,278,500 | |
Issued as reinvestment of dividends | | | 3,877,235 | | | | 43,425,029 | | | | 2,203,892 | | | | 30,391,668 | |
Redeemed | | | (4,271,474 | ) | | | (60,263,375 | ) | | | (4,945,901 | ) | | | (71,501,061 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,095,513 | | | $ | 3,267,615 | | | | (1,107,855 | ) | | $ | (17,830,893 | ) |
| | | | | | | | | | | | | | | | |
Large Cap Growth Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 94,721 | | | $ | 1,212,549 | | | | 83,413 | | | $ | 1,164,721 | |
Issued as reinvestment of dividends | | | 59,374 | | | | 653,118 | | | | 22,303 | | | | 304,214 | |
Redeemed | | | (45,443 | ) | | | (561,141 | ) | | | (36,887 | ) | | | (518,742 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 108,652 | | | $ | 1,304,526 | | | | 68,829 | | | $ | 950,193 | |
| | | | | | | | | | | | | | | | |
Managed Volatility Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 490,598 | | | $ | 7,007,282 | | | | 11,028,176 | | | $ | 158,958,673 | |
Issued as reinvestment of dividends | | | 223,684 | | | | 3,096,226 | | | | 1,396,227 | | | | 19,633,713 | |
Redeemed | | | (13,214,384 | ) | | | (188,949,041 | ) | | | (2,734,564 | ) | | | (39,231,568 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (12,500,102 | ) | | $ | (178,845,533 | ) | | | 9,689,839 | | | $ | 139,360,818 | |
| | | | | | | | | | | | | | | | |
Managed Volatility Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 342,915 | | | $ | 4,861,141 | | | | 397,254 | | | $ | 5,625,059 | |
Issued as reinvestment of dividends | | | 37,132 | | | | 511,045 | | | | 119,130 | | | | 1,665,955 | |
Redeemed | | | (308,184 | ) | | | (4,368,659 | ) | | | (242,040 | ) | | | (3,427,755 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 71,863 | | | $ | 1,003,527 | | | | 274,344 | | | $ | 3,863,259 | |
| | | | | | | | | | | | | | | | |
Mid Cap Growth Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 1,563,833 | | | $ | 26,333,144 | | | | 1,092,094 | | | $ | 17,956,822 | |
Issued as reinvestment of dividends | | | 2,842,206 | | | | 42,547,818 | | | | 3,019,891 | | | | 47,080,105 | |
Redeemed | | | (3,176,630 | ) | | | (53,193,017 | ) | | | (3,541,263 | ) | | | (58,469,540 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,229,409 | | | $ | 15,687,945 | | | | 570,722 | | | $ | 6,567,387 | |
| | | | | | | | | | | | | | | | |
211
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Mid Cap Growth Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 735,303 | | | $ | 11,926,952 | | | | 609,521 | | | $ | 9,922,863 | |
Issued as reinvestment of dividends | | | 494,271 | | | | 7,241,068 | | | | 437,024 | | | | 6,703,945 | |
Redeemed | | | (315,754 | ) | | | (5,180,003 | ) | | | (223,557 | ) | | | (3,601,155 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 913,820 | | | $ | 13,988,017 | | | | 822,988 | | | $ | 13,025,653 | |
| | | | | | | | | | | | | | | | |
Mid Cap Value Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 2,446,808 | | | $ | 31,047,996 | | | | 1,953,776 | | | $ | 26,504,287 | |
Issued as reinvestment of dividends | | | 6,996,182 | | | | 72,480,445 | | | | 6,642,825 | | | | 83,566,734 | |
Redeemed | | | (5,101,145 | ) | | | (62,354,659 | ) | | | (7,338,549 | ) | | | (100,216,941 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 4,341,845 | | | $ | 41,173,782 | | | | 1,258,052 | | | $ | 9,854,080 | |
| | | | | | | | | | | | | | | | |
Mid Cap Value Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 468,251 | | | $ | 5,612,473 | | | | 389,404 | | | $ | 5,220,634 | |
Issued as reinvestment of dividends | | | 503,193 | | | | 5,152,695 | | | | 395,733 | | | | 4,934,786 | |
Redeemed | | | (178,011 | ) | | | (2,138,681 | ) | | | (197,323 | ) | | | (2,641,929 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 793,433 | | | $ | 8,626,487 | | | | 587,814 | | | $ | 7,513,491 | |
| | | | | | | | | | | | | | | | |
Small Cap Growth Equity Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 1,154,116 | | | $ | 17,387,574 | | | | 1,047,511 | | | $ | 20,678,582 | |
Issued as reinvestment of dividends | | | 2,896,528 | | | | 40,634,083 | | | | 3,883,872 | | | | 66,804,629 | |
Redeemed | | | (3,805,914 | ) | | | (68,130,431 | ) | | | (2,720,244 | ) | | | (55,156,708 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 244,730 | | | $ | (10,108,774 | ) | | | 2,211,139 | | | $ | 32,326,503 | |
| | | | | | | | | | | | | | | | |
Small Cap Growth Equity Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 205,576 | | | $ | 3,075,237 | | | | 130,448 | | | $ | 2,562,512 | |
Issued as reinvestment of dividends | | | 156,435 | | | | 2,122,311 | | | | 144,811 | | | | 2,431,449 | |
Redeemed | | | (63,729 | ) | | | (1,060,919 | ) | | | (52,757 | ) | | | (999,636 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 298,282 | | | $ | 4,136,629 | | | | 222,502 | | | $ | 3,994,325 | |
| | | | | | | | | | | | | | | | |
Small Company Value Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 423,909 | | | $ | 7,077,697 | | | | 719,701 | | | $ | 14,977,142 | |
Issued as reinvestment of dividends | | | 630,971 | | | | 9,281,588 | | | | 1,427,103 | | | | 24,803,043 | |
Redeemed | | | (580,385 | ) | | | (9,810,197 | ) | | | (799,602 | ) | | | (17,543,083 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 474,495 | | | $ | 6,549,088 | | | | 1,347,202 | | | $ | 22,237,102 | |
| | | | | | | | | | | | | | | | |
Small Company Value Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 135,867 | | | $ | 2,235,487 | | | | 125,419 | | | $ | 2,473,795 | |
Issued as reinvestment of dividends | | | 78,252 | | | | 1,129,172 | | | | 157,782 | | | | 2,698,082 | |
Redeemed | | | (91,945 | ) | | | (1,485,389 | ) | | | (83,672 | ) | | | (1,749,037 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 122,174 | | | $ | 1,879,270 | | | | 199,529 | | | $ | 3,422,840 | |
| | | | | | | | | | | | | | | | |
Small/Mid Cap Value Fund Initial Class | | | | | | | | | | | | | | | | |
Sold | | | 948,363 | | | $ | 12,302,868 | | | | 1,400,271 | | | $ | 19,425,968 | |
Issued as reinvestment of dividends | | | 3,225,764 | | | | 36,451,132 | | | | 460,660 | | | | 6,665,754 | |
Redeemed | | | (2,865,346 | ) | | | (40,334,518 | ) | | | (4,402,555 | ) | | | (62,392,071 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 1,308,781 | | | $ | 8,419,482 | | | | (2,541,624 | ) | | $ | (36,300,349 | ) |
| | | | | | | | | | | | | | | | |
Small/Mid Cap Value Fund Service Class | | | | | | | | | | | | | | | | |
Sold | | | 208,211 | | | $ | 2,741,062 | | | | 255,516 | | | $ | 3,597,046 | |
Issued as reinvestment of dividends | | | 247,494 | | | | 2,776,882 | | | | 27,882 | | | | 401,222 | |
Redeemed | | | (101,380 | ) | | | (1,345,538 | ) | | | (149,720 | ) | | | (2,109,763 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 354,325 | | | $ | 4,172,406 | | | | 133,678 | | | $ | 1,888,505 | |
| | | | | | | | | | | | | | | | |
212
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Year Ended December 31, 2015 | | | Year Ended December 31, 2014 | |
| | | | |
| | | Shares | | | Amount | | | Shares | | | Amount | |
Total Return Bond Fund Class II | | | | | | | | | | | | | | | | |
Sold | | | 3,363,333 | | | $ | 35,396,133 | | | | 5,607,993 | | | $ | 59,028,518 | |
Issued as reinvestment of dividends | | | 1,437,031 | | | | 14,643,347 | | | | 692,630 | | | | 7,279,537 | |
Redeemed | | | (10,454,425 | ) | | | (110,926,318 | ) | | | (7,151,125 | ) | | | (75,467,043 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | (5,654,061 | ) | | $ | (60,886,838 | ) | | | (850,502 | ) | | $ | (9,158,988 | ) |
| | | | | | | | | | | | | | | | |
Total Return Bond Fund Service Class I | | | | | | | | | | | | | | | | |
Sold | | | 452,786 | | | $ | 4,709,307 | | | | 513,127 | | | $ | 5,379,972 | |
Issued as reinvestment of dividends | | | 66,792 | | | | 675,933 | | | | 22,559 | | | | 235,738 | |
Redeemed | | | (188,061 | ) | | | (1,968,965 | ) | | | (278,958 | ) | | | (2,923,400 | ) |
| | | | | | | | | | | | | | | | |
Net increase (decrease) | | | 331,517 | | | $ | 3,416,275 | | | | 256,728 | | | $ | 2,692,310 | |
| | | | | | | | | | | | | | | | |
| * | Fund and Class II shares commenced operations on January 7, 2014. |
| ** | Service Class I commenced operations on May 1, 2014. |
| 6. | | Federal Income Tax Information |
At December 31, 2015, the cost of securities and the unrealized appreciation (depreciation) in the value of investments owned by the Fund(s), as computed on a federal income tax basis, were as follows:
| | | | | | | | | | | | | | | | |
| | | Federal Income
Tax Cost | | | Tax Basis
Unrealized
Appreciation | | | Tax Basis
Unrealized
(Depreciation) | | | Net Unrealized
Appreciation
(Depreciation) | |
Blue Chip Growth Fund | | $ | 286,974,444 | | | $ | 149,927,647 | | | $ | (4,890,424 | ) | | $ | 145,037,223 | |
Equity Income Fund | | | 404,462,928 | | | | 93,733,293 | | | | (25,536,234 | ) | | | 68,197,059 | |
Equity Index Fund | | | 270,405,334 | | | | 190,333,295 | | | | (9,960,611 | ) | | | 180,372,684 | |
Focused Equity Fund | | | 138,675,196 | | | | 26,915,071 | | | | (11,127,544 | ) | | | 15,787,527 | |
Foreign Fund | | | 383,848,431 | | | | 46,736,975 | | | | (52,610,207 | ) | | | (5,873,232 | ) |
Fundamental Growth Fund | | | 154,693,098 | | | | 34,240,844 | | | | (2,570,660 | ) | | | 31,670,184 | |
Fundamental Value Fund | | | 185,215,412 | | | | 51,609,698 | | | | (10,942,091 | ) | | | 40,667,607 | |
Global Fund | | | 219,968,224 | | | | 43,397,107 | | | | (9,475,160 | ) | | | 33,921,947 | |
Growth & Income Fund | | | 94,477,733 | | | | 34,096,253 | | | | (2,988,994 | ) | | | 31,107,259 | |
Income & Growth Fund | | | 201,857,267 | | | | 45,295,611 | | | | (8,520,155 | ) | | | 36,775,456 | |
International Equity Fund | | | 195,154,440 | | | | 2,234,840 | | | | (26,739,485 | ) | | | (24,504,645 | ) |
Large Cap Growth Fund | | | 186,166,634 | | | | 40,978,048 | | | | (3,599,005 | ) | | | 37,379,043 | |
Managed Volatility Fund | | | 178,366,686 | | | | 32,606,885 | | | | (13,104,342 | ) | | | 19,502,543 | |
Mid Cap Growth Fund | | | 346,795,038 | | | | 132,030,119 | | | | (9,721,334 | ) | | | 122,308,785 | |
Mid Cap Value Fund | | | 461,104,487 | | | | 31,725,474 | | | | (31,319,304 | ) | | | 406,170 | |
Small Cap Growth Equity Fund | | | 219,835,987 | | | | 19,645,652 | | | | (17,189,888 | ) | | | 2,455,764 | |
Small Company Value Fund | | | 89,934,034 | | | | 18,135,168 | | | | (5,892,539 | ) | | | 12,242,629 | |
Small/Mid Cap Value Fund | | | 206,329,065 | | | | 22,966,871 | | | | (18,317,254 | ) | | | 4,649,617 | |
Total Return Bond Fund | | | 382,489,410 | | | | 2,679,036 | | | | (7,858,193 | ) | | | (5,179,157 | ) |
Net capital loss carryforwards may be applied against any net realized taxable gains in succeeding years, subject to the carryforward period limitations, where applicable. On December 22, 2010, the Regulated Investment Company Modernization Act of 2010 (the “Modernization Act”) was signed by the President. The Modernization Act changed the capital loss carryforward rules as they relate to regulated investment companies. Capital losses generated in tax years beginning after the date of enactment may now be carried forward indefinitely, and retain the character of the original loss. Under pre-enactment law, capital losses could be carried forward for up to eight tax years as short-term capital losses. The provisions affecting the utilization of capital loss carryforwards under the Modernization Act also require the utilization of post-enactment losses prior to the utilization of pre-enactment losses.
213
Notes to Financial Statements (Continued)
At December 31, 2015, the following Fund(s) had available, for federal income tax purposes, pre-enactment unused capital losses:
| | | | | | | | | | | | |
| | | Expiring
2016 | | | Expiring
2017 | | | Expiring
2018 | |
Blue Chip Growth Fund | | $ | 615,351 | | | $ | - | | | $ | - | |
Growth & Income Fund | | | - | | | | 19,201,241 | | | | - | |
Foreign Fund | | | - | | | | 5,029,961 | | | | 4,482,917 | |
At December 31, 2015, the following Fund(s) had post-enactment accumulated capital loss carryforwards:
| | | | | | | | |
| | | Short Term
Capital Loss
Carryforward | | | Long term
Capital Loss
Carryforward | |
Total Return Bond Fund | | $ | - | | | $ | 163,673 | |
Net capital loss carryforwards for the Fund(s) shown in the above table are from post-enactment years and are, therefore, not subject to the eight-year carryforward period and possible expiration.
Generally accepted accounting principles in the United States of America require that only distributions in excess of tax basis earnings and profits be reported in the financial statements as a return of capital.
The tax character of distributions (including capital gain dividends, if any, designated pursuant to Section 852 of the Code) paid during the year ended December 31, 2015, was as follows:
| | | | | | | | | | | | |
| | | Ordinary
Income | | | Long Term
Capital Gain | | | Return of
Capital | |
Blue Chip Growth Fund | | $ | 127,622 | | | $ | 68,332,921 | | | $ | - | |
Equity Income Fund | | | 10,497,374 | | | | 48,930,063 | | | | - | |
Equity Index Fund | | | 7,613,210 | | | | 9,274,838 | | | | - | |
Focused Equity Fund | | | 3,008,185 | | | | 21,641,391 | | | | - | |
Foreign Fund | | | 10,988,683 | | | | - | | | | - | |
Fundamental Growth Fund | | | 4,952,300 | | | | 32,585,180 | | | | - | |
Fundamental Value Fund | | | 3,558,038 | | | | 17,416,473 | | | | - | |
Global Fund | | | 3,587,393 | | | | 10,274,841 | | | | - | |
Growth & Income Fund | | | 1,516,373 | | | | - | | | | - | |
Income & Growth Fund | | | 4,599,970 | | | | 15,142,555 | | | | - | |
International Equity Fund | | | 335,297 | | | | - | | | | - | |
Large Cap Growth Fund | | | 8,119,837 | | | | 35,958,310 | | | | - | |
Managed Volatility Fund | | | 3,607,271 | | | | - | | | | - | |
Mid Cap Growth Fund | | | 1,921,136 | | | | 47,867,750 | | | | - | |
Mid Cap Value Fund | | | 27,961,974 | | | | 49,671,166 | | | | - | |
Small Cap Growth Equity Fund | | | 4,560,467 | | | | 38,195,927 | | | | - | |
Small Company Value Fund | | | 307,773 | | | | 10,102,987 | | | | - | |
Small/Mid Cap Value Fund | | | 6,813,552 | | | | 32,414,462 | | | | - | |
Total Return Bond Fund | | | 11,545,091 | | | | 3,774,189 | | | | - | |
214
Notes to Financial Statements (Continued)
The tax character of distributions (including capital gain dividends, if any, designated pursuant to Section 852 of the Code) paid during the year ended December 31, 2014, was as follows:
| | | | | | | | | | | | |
| | | Ordinary
Income | | | Long Term
Capital Gain | | | Return of
Capital | |
Blue Chip Growth Fund | | $ | 1,386,920 | | | $ | 40,159,858 | | | $ | - | |
Equity Income Fund | | | 8,920,467 | | | | 12,012,210 | | | | - | |
Equity Index Fund | | | 7,495,243 | | | | 4,565,783 | | | | - | |
Focused Equity Fund | | | 3,317,750 | | | | 12,206,795 | | | | - | |
Foreign Fund | | | 7,813,731 | | | | - | | | | - | |
Fundamental Growth Fund | | | 3,016,690 | | | | 12,227,243 | | | | - | |
Fundamental Value Fund | | | 3,500,862 | | | | 9,506,522 | | | | - | |
Global Fund | | | 1,964,991 | | | | 3,898,538 | | | | - | |
Growth & Income Fund | | | 1,565,916 | | | | - | | | | - | |
Income & Growth Fund | | | 4,454,901 | | | | - | | | | - | |
International Equity Fund | | | 3,393,399 | | | | - | | | | - | |
Large Cap Growth Fund | | | 11,926,761 | | | | 18,769,121 | | | | - | |
Managed Volatility Fund | | | 2,573,217 | | | | 18,726,451 | | | | - | |
Mid Cap Growth Fund | | | 4,467,990 | | | | 49,316,060 | | | | - | |
Mid Cap Value Fund | | | 38,355,923 | | | | 50,145,597 | | | | - | |
Small Cap Growth Equity Fund | | | 22,287,130 | | | | 46,948,948 | | | | - | |
Small Company Value Fund | | | 283,229 | | | | 27,217,896 | | | | - | |
Small/Mid Cap Value Fund | | | 1,551,359 | | | | 5,515,617 | | | | - | |
Total Return Bond Fund | | | 7,515,275 | | | | - | | | | - | |
The following Fund(s) have elected to pass through the foreign tax credit for the year ended December 31, 2015:
| | | | |
| | | Amount | |
Foreign Fund | | $ | 443,905 | |
International Equity Fund | | | 231,061 | |
Capital accounts within the financial statements are periodically adjusted for permanent differences between book and tax accounting. These adjustments have no impact on net assets or the results of operations. Temporary book and tax accounting differences will reverse in subsequent periods. At December 31, 2015, temporary book and tax accounting differences were primarily attributable to investments in forward contracts, futures contracts, options contracts, premium amortization accruals, passive foreign investment companies, non-taxable dividends, the deferral of wash sale losses, and deferred Trustee compensation.
At December 31, 2015, the components of distributable earnings on a tax basis were as follows:
| | | | | | | | | | | | | | | | |
| | | Undistributed
Ordinary
Income | | | Undistributed
Long Term
Capital Gain
(Capital Loss
Carryover) | | | Other
Temporary
Differences | | | Unrealized
Appreciation
(Depreciation) | |
Blue Chip Growth Fund | | $ | 761,223 | | | $ | 48,178,973 | | | $ | (69,941 | ) | | $ | 145,037,244 | |
Equity Income Fund | | | 9,763,614 | | | | 47,737,402 | | | | (113,752 | ) | | | 68,194,148 | |
Equity Index Fund | | | 8,048,771 | | | | 10,951,744 | | | | (148,576 | ) | | | 180,372,685 | |
Focused Equity Fund | | | 2,825,160 | | | | 9,465,620 | | | | (17,478 | ) | | | 15,787,527 | |
Foreign Fund | | | 6,927,009 | | | | (9,512,878 | ) | | | (80,629 | ) | | | (5,911,281 | ) |
Fundamental Growth Fund | | | 1,236,720 | | | | 20,812,045 | | | | (23,085 | ) | | | 31,670,184 | |
Fundamental Value Fund | | | 4,411,389 | | | | 16,023,460 | | | | (27,515 | ) | | | 40,664,757 | |
Global Fund | | | 3,148,847 | | | | 19,414,903 | | | | (28,930 | ) | | | 33,906,233 | |
Growth & Income Fund | | | 1,304,084 | | | | (19,201,241 | ) | | | (42,178 | ) | | | 31,107,257 | |
Income & Growth Fund | | | 5,019,451 | | | | 22,127,800 | | | | (42,384 | ) | | | 36,775,384 | |
215
Notes to Financial Statements (Continued)
| | | | | | | | | | | | | | | | |
| | | Undistributed
Ordinary
Income | | | Undistributed
Long Term
Capital Gain
(Capital Loss
Carryover) | | | Other
Temporary
Differences | | | Unrealized
Appreciation
(Depreciation) | |
International Equity Fund | | $ | 3,664,678 | | | $ | - | | | $ | (6,643 | ) | | $ | (24,542,772 | ) |
Large Cap Growth Fund | | | 231,011 | | | | 16,232,059 | | | | (35,349 | ) | | | 37,379,043 | |
Managed Volatility Fund | | | 2,839,185 | | | | 35,317,305 | | | | (1,687,834 | ) | | | 21,888,893 | |
Mid Cap Growth Fund | | | 1,825,796 | | | | 54,554,964 | | | | (81,033 | ) | | | 122,308,786 | |
Mid Cap Value Fund | | | 19,127,364 | | | | 33,924,143 | | | | (1,032,484 | ) | | | 405,405 | |
Small Cap Growth Equity Fund | | | - | | | | 34,287,065 | | | | (71,736 | ) | | | 2,455,269 | |
Small Company Value Fund | | | 622,337 | | | | 13,143,385 | | | | (17,909 | ) | | | 12,242,629 | |
Small/Mid Cap Value Fund | | | 1,908,314 | | | | 13,384,143 | | | | (49,203 | ) | | | 4,649,617 | |
Total Return Bond Fund | | | 6,207,101 | | | | (163,673 | ) | | | (46,462 | ) | | | (5,179,157 | ) |
During the year ended December 31, 2015, the following amounts were reclassified due to permanent differences between book and tax accounting:
| | | | | | | | | | | | |
| | | Paid-in
Capital | | | Accumulated
Net Realized
Gain (Loss) on
Investments | | | Undistributed
Net Investment
Income (Loss) | |
Blue Chip Growth Fund | | $ | 225 | | | $ | (348,679 | ) | | $ | 348,454 | |
Equity Income Fund | | | 427 | | | | 529,607 | | | | (530,034 | ) |
Equity Index Fund | | | 793 | | | | 93,741 | | | | (94,534 | ) |
Focused Equity Fund | | | 26 | | | | 7,075 | | | | (7,101 | ) |
Foreign Fund | | | 305 | | | | 135,156 | | | | (135,461 | ) |
Fundamental Growth Fund | | | 34 | | | | 127,914 | | | | (127,948 | ) |
Fundamental Value Fund | | | 51 | | | | 88,298 | | | | (88,349 | ) |
Global Fund | | | 75 | | | | 54,693 | | | | (54,768 | ) |
Growth & Income Fund | | | 203 | | | | 71,265 | | | | (71,468 | ) |
Income & Growth Fund | | | 153 | | | | 38,817 | | | | (38,970 | ) |
International Equity Fund | | | 9 | | | | (897,016 | ) | | | 897,007 | |
Large Cap Growth Fund | | | 91 | | | | 10 | | | | (101 | ) |
Managed Volatility Fund | | | 358 | | | | 72,282 | | | | (72,640 | ) |
Mid Cap Growth Fund | | | 294 | | | | (845,871 | ) | | | 845,577 | |
Mid Cap Value Fund | | | (603 | ) | | | (2,635,480 | ) | | | 2,636,083 | |
Small Cap Growth Equity Fund | | | (425,091 | ) | | | (114,128 | ) | | | 539,219 | |
Small Company Value Fund | | | 46 | | | | 7,624 | | | | (7,670 | ) |
Small/Mid Cap Value Fund | | | 200 | | | | 253,768 | | | | (253,968 | ) |
Total Return Bond Fund | | | 78 | | | | (2,026,575 | ) | | | 2,026,497 | |
The Funds did not have any unrecognized tax benefits at December 31, 2015, nor were there any increases or decreases in unrecognized tax benefits for the year then ended. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as an income tax expense in the Statements of Operations. During the year ended December 31, 2015, the Funds did not incur any such interest or penalties. The Funds are subject to examination by U.S. federal and state tax authorities for returns filed for the prior three fiscal years, or the returns filed to date for Funds in existence less than three years. Foreign taxes are provided for based on the Funds’ understanding of the tax rules and rates that exist in the foreign markets in which they invest.
Under the Funds’ organizational documents, current and former Trustees and Officers are provided with specified rights to indemnification against liabilities arising in connection with the performance of their duties to the Funds, and shareholders are indemnified against personal liability for obligations of the Funds. In the normal course of business, the Funds may also enter into contracts that provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown as this
216
Notes to Financial Statements (Continued)
would be dependent on future claims that may be made against the Funds. The risk of material loss from such claims is considered remote.
On December 7, 2010, the Trust was named as a defendant and putative member of the proposed defendant class of shareholders named in an adversary proceeding brought by The Official Committee of Unsecured Creditors of Tribune Company (the “Official Committee”) in the U.S. Bankruptcy Court for the District of Delaware, in connection with Tribune Company’s Chapter 11 bankruptcy proceeding (In re Tribune Company). The proceeding relates to a leveraged buyout (“LBO”) transaction by which Tribune Company converted to a privately-held company in 2007, and the putative defendant class is comprised of beneficial owners of shares of Tribune Company who received proceeds (the “Proceeds”) of the LBO. The Official Committee seeks to recover payments of those Proceeds.
The potential amounts sought to be recovered from the Equity Income Fund and Equity Index Fund, plus interest and the Official Committee’s court costs, are approximately $4,562,800 and $207,706, respectively.
In addition, on June 2, 2011, the Equity Income Fund was named as a defendant in two closely related, parallel adversary proceedings brought in connection with the Tribune Company’s LBO by Deutsche Bank Trust Company Americas, in its capacity as successor indenture trustee for a certain series of Senior Notes, Law Debenture Trust Company of New York, in its capacity as successor indenture trustee for a certain series of Senior Notes, and Wilmington Trust Company, in its capacity as successor indenture trustee for the PHONES Notes (together, the “Plaintiffs”), one in the United States District Court for the District of Massachusetts and one in the United States District Court for the District of Connecticut. The Plaintiffs also seek to recover payments of the Proceeds.
The Funds cannot predict the outcome of these proceedings. Accordingly, the Funds have not accrued any amounts related to these proceedings. If the proceedings were to be decided in a manner adverse to the Funds, or if the Funds were to enter into a settlement agreement with the Official Committee or the Plaintiffs, as applicable, the payment of such judgment or settlement could potentially have a material adverse effect on the Funds’ net asset values depending on the net assets of each applicable Fund at the time of such judgment or settlement.
In preparation of these financial statements, management has evaluated the events and transactions subsequent to December 31, 2015, through the date when the financial statements were issued, and determined that there are no subsequent events or transactions that would require adjustments to or disclosures in the Funds’ financial statements other than those disclosed below.
Effective January 1, 2016, the advisory fees, based upon each Fund’s average daily net assets, were changed for the following Funds as noted in the table below:
| | |
Fund | | Investment Advisory Fee |
Equity Income Fund | | 0.75% on the first $500 million; and |
| | 0.70% on any excess over $500 million |
Equity Index Fund | | 0.10% on the first $500 million; and |
| | 0.08% on any excess over $500 million |
Global Fund | | 0.60% on the first $500 million; and |
| | 0.55% on any excess over $500 million |
Income & Growth Fund | | 0.65% on the first $500 million; and |
| | 0.60% on any excess over $500 million |
Large Cap Growth Fund | | 0.65% on the first $500 million; and |
| | 0.60% on any excess over $500 million |
Mid Cap Growth Fund | | 0.77% on the first $500 million; and |
| | 0.75% on any excess over $500 million |
Mid Cap Value Fund | | 0.84% on the first $500 million; and |
| | 0.80% on any excess over $500 million |
217
Report of Independent Registered Public Accounting Firm
To the Board of Trustees of MML Series Investment Fund and Shareholders of MML Blue Chip Growth Fund, MML Equity Income Fund, MML Equity Index Fund, MML Focused Equity Fund, MML Foreign Fund, MML Fundamental Growth Fund, MML Fundamental Value Fund, MML Global Fund, MML Growth & Income Fund, MML Income & Growth Fund, MML International Equity Fund, MML Large Cap Growth Fund, MML Managed Volatility Fund, MML Mid Cap Growth Fund, MML Mid Cap Value Fund, MML Small Cap Growth Equity Fund, MML Small Company Value Fund, MML Small/Mid Cap Value Fund, and MML Total Return Bond Fund (collectively, the “Funds”):
We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of the Funds as of December 31, 2015, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with 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 and financial highlights are free of material misstatement. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also 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, as well as evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2015, by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds as of December 31, 2015, the results of their operations for the year ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America.
Deloitte & Touche LLP
Boston, Massachusetts
February 19, 2016
218
Trustees and Officers (Unaudited)
The following table lists the Trust’s Trustees and Officers; their address and age; their position with the Trust; the length of time holding that position with the Trust; their principal occupation(s) during the past five years; the number of portfolios in the fund complex they oversee; and other directorships they hold in companies subject to registration or reporting requirements of the Securities Exchange Act of 1934 (generally called “public companies”) or in registered investment companies. The Trust’s Statement of Additional Information includes additional information about the Trust’s Trustees and is available, without charge, upon request by calling 1-888-309-3539 or by writing MML Series Investment Fund, c/o Massachusetts Mutual Life Insurance Company, 100 Bright Meadow Blvd., Enfield, Connecticut 06082-1981, Attention: Retirement Services Marketing.
Disinterested Trustees
| | | | | | | | | | |
Name, Address*, and Age | | Position(s)
Held with Trust | | Term of
Office** and
Length of
Time Served | | Principal Occupation(s)
During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Trustee | | Other Directorships
Held by Trustee |
Allan W. Blair Age: 67 | | Trustee | | Since 2003 | | Retired; President and Chief Executive Officer (1996-2014), Economic Development Council of Western Massachusetts (non-profit development company); President and Chief Executive Officer (1984-2014), Westover Metropolitan Development Corporation (quasi-public development company). | | 93 | | Trustee (since 2003), MassMutual Select Funds (open-end investment company); Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Nabil N. El-Hage
Age: 57 | | Trustee | | Since 2012 | | Chairman (since 2011), Academy of Executive Education, LLC; Consultant (2010-2011); Senior Associate Dean for External Relations (2009-2010), Thomas Henry Carroll Ford Foundation Adjunct Professor of Business Administration (2009-2010), Harvard Business School. | | 93 | | Director (2011-2015), Argo Group International Holdings, Ltd. (underwriter of specialty insurance and reinsurance products); Director (2007-2010), Virtual Radiologic Corporation (telemedicine company); Trustee (since 2012), MassMutual Select Funds (open-end investment company); Trustee (since 2005), Chairman (2006-2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2003), Chairman (2006-2012), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Maria D. Furman
Age: 62 | | Trustee | | Since 2012 | | Retired. | | 93 | | Trustee (since 2011), GMO Series Trust (open-end investment company); Trustee (since 2012), MassMutual Select Funds (open-end investment company); Trustee (since 2005), MML Series Investment Fund II (open-end investment company); Trustee (since 2004), MassMutual Premier Funds (open-end investment company). |
| | | | | |
R. Alan Hunter, Jr. Age: 69 | | Chairperson Trustee | | Since 2016 Since 2003 | | Retired. | | 93 | | Director (since 2007), Actuant Corporation (diversified industrial company); Chairperson (since 2016), Trustee (since 2003), MassMutual Select Funds (open-end investment company); Chairperson (since 2016), Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Chairperson (since 2016), Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
219
Trustees and Officers (Unaudited) (Continued)
| | | | | | | | | | |
Name, Address*, and Age | | Position(s)
Held with
Trust | | Term of
Office** and
Length of
Time Served | | Principal Occupation(s)
During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Trustee | | Other Directorships
Held by Trustee |
C. Ann Merrifield
Age: 64 | | Trustee | | Since
2012 | | Retired; President and Chief Executive Officer (2012-2014), PathoGenetix (genomics company); Senior Vice President, Genzyme Business Excellence Initiative (2009-2011), Genzyme Corporation (biotechnology company). | | 93 | | Director (since 2015), Juniper Pharmaceuticals Inc. (specialty pharmaceutical company); Director (since 2014), Flexion Therapeutics (specialty pharmaceutical company); Director (since 2014), InVivo Therapeutics (research and clinical-stage biomaterials and biotechnology company); Trustee (since 2012), MassMutual Select Funds (open-end investment company); Trustee (since 2005), MML Series Investment Fund II (open-end investment company); Trustee (since 2004), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Susan B. Sweeney Age: 63 | | Trustee | | Since 2009 | | Retired; Senior Vice President and Chief Investment Officer (2010-2014), Selective Insurance Group (property and casualty company); Senior Managing Director (2008-2010), Ironwood Capital (private equity firm). | | 95^ | | Trustee (since 2012), Babson Capital Corporate Investors (closed-end investment company); Trustee (since 2012), Babson Capital Participation Investors (closed-end investment company); Trustee (since 2009), MassMutual Select Funds (open-end investment company); Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
| | | | | |
Robert E. Joyal^^ Age: 71 | | Trustee | | Since 2003 | | Retired. | | 95^ | | Director (since 2013), Leucadia National Corporation (holding company); Director (since 2012), Ormat Technologies, Inc. (provider of alternative and renewable energy technology); Director (2006-2014), Jefferies Group LLC (investment bank); Director (2007-2011), Scottish Re Group Ltd. (holding company); Trustee (since 2003), Babson Capital Corporate Investors (closed-end investment company); Trustee (since 2003), Babson Capital Participation Investors (closed-end investment company); Trustee (since 2003), MassMutual Select Funds (open-end investment company); Trustee (since 2012), MML Series Investment Fund II (open-end investment company); Trustee (since 2012), MassMutual Premier Funds (open-end investment company). |
220
Trustees and Officers (Unaudited) (Continued)
Interested Trustees
| | | | | | | | | | |
Name, Address*, and Age | | Position(s)
Held with
Trust | | Term of
Office** and
Length of
Time Served | | Principal Occupation(s)
During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Trustee | | Other Directorships
Held by Trustee |
Elaine A. Sarsynski^^^ Age: 60 | | Trustee | | Since
2008 | | Executive Vice President (since 2008), MassMutual Retirement Services Division, MassMutual; Chairman (since 2013), President, Chairman & CEO (2012-2013), Chairman & CEO (2008-2012), President & CEO (2006-2008), MassMutual International LLC. | | 93 | | Director (since 2012), Horizon Technology Finance Management LLC (specialty finance company); Director (since 2013), MML Advisers; Trustee (since 2008), MassMutual Select Funds (open-end investment company); Vice Chairperson (2011-2012), Trustee (since 2011), MML Series Investment Fund II (open-end investment company); Vice Chairperson (2011-2012), Trustee (since 2011), MassMutual Premier Funds (open-end investment company). |
Principal Officers who are Not Trustees
| | | | | | | | |
Name, Address*, and Age | | Position(s) Held
with Trust | | Term of
Office# and
Length of
Time Served | | Principal Occupation(s) During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Officer |
Jeffrey M. Dube Age: 47 | | President | | Since
2014 | | Vice President (since 2012), Assistant Vice President (2011-2012), Managing Director (2009-2011), MassMutual; President (since 2014), MML Series Investment Fund II (open-end investment company). | | 40 |
| | | | |
Michael C. Eldredge
Age: 51 | | Vice President | | Since
2009 | | Head of Investments and portfolio manager (since 2014), MML Advisers; Vice President (since 2008), MassMutual; Vice President (since 2009), MassMutual Select Funds (open-end investment company); Vice President (since 2009), MML Series Investment Fund II (open-end investment company); Vice President (since 2009), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Andrew M. Goldberg Age: 49 | | Vice President, Secretary, and Chief Legal Officer Assistant Secretary | | Since
2008 (2001-
2008) | | Assistant Vice President and Counsel (since 2004), MassMutual; Secretary (since 2015), Assistant Secretary (2013-2015), MML Advisers; Vice President, Secretary, and Chief Legal Officer (since 2008), Assistant Secretary (2001-2008), MassMutual Select Funds (open-end investment company); Vice President, Secretary, (formerly known as “Clerk”), and Chief Legal Officer (since 2008), Assistant Clerk (2005-2008), MML Series Investment Fund II (open-end investment company); Vice President, Secretary, (formerly known as “Clerk”), and Chief Legal Officer (since 2008), Assistant Clerk (2004-2008), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Brian K. Haendiges Age: 55 | | Vice President | | Since
2014 | | Vice President (since 2014), MML Advisers; Senior Vice President (since 2014), Vice President (2010-2014), MassMutual; Vice President (since 2014), MassMutual Select Funds (open-end investment company); Vice President (since 2014), MML Series Investment Fund II (open-end investment company); Vice President (since 2014), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Nicholas H. Palmerino Age: 50 | | Chief Financial Officer and Treasurer | | Since
2006 | | Vice President (since 2014), Assistant Vice President (2006-2014), MassMutual; Chief Financial Officer and Treasurer (since 2006), MassMutual Select Funds (open-end investment company); Chief Financial Officer and Treasurer (since 2006), MML Series Investment Fund II (open-end investment company); Chief Financial Officer and Treasurer (since 2006), MassMutual Premier Funds (open-end investment company). | | 93 |
221
Trustees and Officers (Unaudited) (Continued)
| | | | | | | | |
Name, Address*, and Age | | Position(s) Held
with Trust | | Term of
Office# and
Length of
Time Served | | Principal Occupation(s) During Past 5 Years | | Number of
Portfolios in
Fund Complex
Overseen by Officer |
Philip S. Wellman Age: 51 | | Vice President and Chief Compliance Officer | | Since
2007 | | Vice President and Chief Compliance Officer (since 2013), MML Advisers; Vice President, Associate General Counsel, and Chief Compliance Officer (Mutual Funds) (since 2014), Vice President, Associate General Counsel, and Chief Compliance Officer (Mutual Funds and Investment Advisory) (2008-2014), MassMutual; Vice President and Chief Compliance Officer (since 2007), MassMutual Select Funds (open-end investment company); Vice President and Chief Compliance Officer (since 2007), MML Series Investment Fund II (open-end investment company); Vice President and Chief Compliance Officer (since 2007), MassMutual Premier Funds (open-end investment company). | | 93 |
| | | | |
Eric H. Wietsma Age: 49 | | Vice President | | Since
2006 | | Director and President (since 2013), MML Advisers; Senior Vice President (since 2010), Corporate Vice President (2007-2010), MassMutual; President (since 2008), Vice President (2006-2008), MassMutual Select Funds (open-end investment company); Vice President (since 2006), MML Series Investment Fund II (open-end investment company); President (since 2008) Vice President (2006-2008), MassMutual Premier Funds (open-end investment company). | | 93 |
| * | The address of each Trustee and Principal Officer is the same as that for the Trust; 100 Bright Meadow Blvd., Enfield, CT 06082-1981. |
| ** | Each Trustee of the Trust serves until the next meeting of shareholders called for the purpose of electing Trustees and until the election and qualification of his or her successor or until he or she dies, resigns, or is removed. Notwithstanding the foregoing, unless the Trustees determine that it is desirable and in the best interest of the Trust that an exception to the retirement policy of the Trust be made, a Trustee shall retire and cease to serve as a Trustee upon the conclusion of the calendar year in which such Trustee attains the age of seventy-two years. |
| | The Chairperson is elected to hold such office for a term of three years or until their successor is elected and qualified to carry out the duties and responsibilities of their office, or until he or she retires, dies, resigns, is removed, or becomes disqualified. The Chairperson shall hold office at the pleasure of the Trustees. |
| ^ | Babson Capital Participation Investors and Babson Capital Corporate Investors are deemed to be a part of the Fund Complex, because they are managed by Babson Capital Management LLC, an affiliate of MML Advisers. |
| ^^ | Mr. Joyal is an “Interested Person,” as that term is defined in the 1940 Act, through his position as a director of Leucadia National Corporation, which controls Jefferies Group LLC, a broker-dealer that may execute portfolio transactions and/or engage in principal transactions with the Funds, other investment companies advised by MML Advisers or holding themselves out to investors as related companies for purposes of investment or investor services, or any other advisory accounts over which MML Advisers has brokerage placement discretion. |
| ^^^ | Ms. Sarsynski is an Interested Person as a director of MML Advisers. |
| # | The President, Treasurer, and Secretary and such other officers as the Trustees may in their discretion from time to time elect are elected to hold such office until their successor is elected and qualified to carry out the duties and responsibilities of their office, or until he or she dies, resigns, is removed, or becomes disqualified. Each officer shall hold office at the pleasure of the Trustees. |
222
Federal Tax Information (Unaudited)
For corporate shareholders, a portion of the ordinary dividends paid during the Fund(s)’ year ended December 31, 2015, qualified for the dividends received deduction, as follows:
| | | | |
| | | Dividends Received
Deductions | |
Blue Chip Growth Fund | | | 100.00 | % |
Equity Income Fund | | | 100.00 | % |
Equity Index Fund | | | 100.00 | % |
Focused Equity Fund | | | 86.55 | % |
Fundamental Growth Fund | | | 65.47 | % |
Fundamental Value Fund | | | 100.00 | % |
Global Fund | | | 48.57 | % |
Growth & Income Fund | | | 100.00 | % |
Income & Growth Fund | | | 100.00 | % |
Large Cap Growth Fund | | | 17.01 | % |
Managed Volatility Fund | | | 100.00 | % |
Mid Cap Growth Fund | | | 100.00 | % |
Mid Cap Value Fund | | | 32.06 | % |
Small Cap Growth Equity Fund | | | 25.26 | % |
Small Company Value Fund | | | 100.00 | % |
Small/Mid Cap Value Fund | | | 43.07 | % |
For the year ended December 31, 2015, the following Fund(s) earned the following foreign sources of income:
| | | | |
| | | Amount | |
Foreign Fund | | $ | 7,358,139 | |
International Equity Fund | | | 3,606,860 | |
223
Other Information (Unaudited)
Proxy Voting
A description of the policies and procedures that each Fund’s investment adviser and subadvisers use to vote proxies relating to the Fund’s portfolio securities is available, without charge, upon request, by calling 1-888-309-3539, and on the Securities and Exchange Commission’s (“SEC”) EDGAR database on its website at http://www.sec.gov.
Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available, without charge, upon request, on the MassMutual website at http://www.massmutual.com/funds and on the SEC’s EDGAR database on its website at http://www.sec.gov.
Quarterly Reporting
The Funds file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the SEC’s EDGAR database on its website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington D.C. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330.
Trustees Approval of Investment Advisory Contracts
At their meeting in November 2015, the Trustees, including the Trustees who are not “interested persons” (as such term is defined in the 1940 Act) of the Trust, MML Advisers, or subadvisers (the “Independent Trustees”), reviewed and approved a proposal to lower the advisory fee breakpoints of the Equity Income Fund, Equity Index Fund, Global Fund, Income & Growth Fund, Large Cap Growth Fund, Mid Cap Growth Fund, and Mid Cap Value Fund (the “Funds”). In arriving at their decision, the Trustees considered materials provided by MML Advisers, including revised profitability schedules for the Funds. In their deliberations, the Trustees were advised by independent counsel.
The amendments to the advisory agreements for the Funds became effective on January 1, 2016.
At their meeting in November 2015, the Trustees, including the Independent Trustees, also reviewed and approved a proposal to lower the subadvisory fee paid by MML Advisers to BlackRock Investment Management, LLC (“BlackRock”) for the Income & Growth Fund. In arriving at their decision, the Trustees discussed the fees payable to BlackRock for the Income & Growth Fund by MML Advisers and the effect of such fees on the profitability to MML Advisers. The Trustees concluded that they were satisfied that MML Advisers’ projected level of profitability due to the amended subadvisory agreement was not excessive and the subadvisory fee amount under the amended subadvisory agreement was fair and reasonable. In their deliberations, the Trustees were advised by independent counsel.
The amended subadvisory agreement became effective on December 1, 2015.
Prior to the votes being taken to approve the amendments to the advisory and subadvisory agreements discussed above, the Independent Trustees met separately in executive session to discuss the appropriateness of each such contract. The Independent Trustees weighed the foregoing matters in light of the advice given to them by their independent legal counsel as to the law applicable to the review of investment advisory contracts. In arriving at a decision, the Trustees, including the Independent Trustees, did not identify any single matter as all-important or controlling. The foregoing summary does not detail all of the matters considered.
At their meeting in August 2015, the Trustees, including the Independent Trustees, approved a renegotiated subadvisory agreement with BlackRock for the Income & Growth Fund (“Renegotiated Subadvisory Agreement”). In preparation for the meeting, the Trustees requested, and MML Advisers provided in advance, certain materials relevant to the consideration of the Renegotiated Subadvisory Agreement. In all of their deliberations, the Trustees were advised by independent counsel.
In reviewing the Renegotiated Subadvisory Agreement, the Trustees discussed with MML Advisers and considered a wide range of information about, among other things: (i) BlackRock and its personnel with responsibilities for providing services to the Income & Growth Fund; (ii) the terms of the Renegotiated Subadvisory Agreement; and (iii) the scope and quality of services that BlackRock will provide under the Renegotiated Subadvisory Agreement.
224
Other Information (Unaudited) (Continued)
Prior to the votes being taken to approve the Renegotiated Subadvisory Agreement, the Independent Trustees met separately in executive session to discuss the appropriateness of the contract. The Independent Trustees weighed the foregoing matters in light of the advice given to them by their independent legal counsel as to the law applicable to the review of investment advisory contracts. In arriving at a decision, the Trustees, including the Independent Trustees, did not identify any single matter as all-important or controlling. The foregoing summary does not detail all of the matters considered.
Based on the foregoing, the Trustees concluded that: (i) overall, they were satisfied with the nature, extent, and quality of services expected to be provided under the Renegotiated Subadvisory Agreement; and (ii) the terms of the Renegotiated Subadvisory Agreement are fair and reasonable with respect to Income & Growth Fund and are in the best interest of the Fund’s shareholders. After carefully considering the information summarized above, the Trustees, including the Independent Trustees voting separately, unanimously voted to approve the Renegotiated Subadvisory Agreement.
The Renegotiated Subadvisory Agreement became effective on September 1, 2015.
225
Other Information (Unaudited) (Continued)
Fund Expenses December 31, 2015
Expense Examples:
The following information is in regards to expenses for the six months ended December 31, 2015:
As a shareholder of the Funds, you incur ongoing costs, including advisory fees, distribution and/or service (12b-1) fees, and other Fund expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. These examples are based on an investment of $1,000 invested for the six months ended December 31, 2015.
Actual Expenses:
The first four columns of the table below provide information about actual account values and actual expenses. You may use this information, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Operating Expenses Incurred” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes:
The last two columns of the table below provide 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 transactional costs. Therefore, the last two columns of the table are useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Beginning
Value | | | Annualized
Expense
Ratio | | | Ending
Value (Based
on Actual
Returns and
Expenses) | | | Operating
Expenses
Incurred* | | | Ending
Value (Based
on
Hypothetical
Returns and
Expenses) | | | Operating
Expenses
Incurred* | |
| Blue Chip Growth Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | $ | 1,000 | | | | 0.79 | % | | $ | 1,043.80 | | | $ | 4.07 | | | $ | 1,021.20 | | | $ | 4.02 | |
Service Class | | | 1,000 | | | | 1.04 | % | | | 1,042.00 | | | | 5.35 | | | | 1,020.00 | | | | 5.30 | |
| Equity Income Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.79 | % | | | 948.20 | | | | 3.88 | | | | 1,021.20 | | | | 4.02 | |
Service Class | | | 1,000 | | | | 1.04 | % | | | 946.80 | | | | 5.10 | | | | 1,020.00 | | | | 5.30 | |
| Equity Index Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class I | | | 1,000 | | | | 0.43 | % | | | 999.70 | | | | 2.17 | | | | 1,023.00 | | | | 2.19 | |
Class II | | | 1,000 | | | | 0.28 | % | | | 1,000.70 | | | | 1.41 | | | | 1,023.80 | | | | 1.43 | |
Class III | | | 1,000 | | | | 0.13 | % | | | 1,001.50 | | | | 0.66 | | | | 1,024.60 | | | | 0.66 | |
Service Class I | | | 1,000 | | | | 0.68 | % | | | 998.30 | | | | 3.43 | | | | 1,021.80 | | | | 3.47 | |
| Focused Equity Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class II | | | 1,000 | | | | 0.90 | % | | | 917.60 | | | | 4.35 | | | | 1,020.70 | | | | 4.58 | |
Service Class I | | | 1,000 | | | | 1.15 | % | | | 916.50 | | | | 5.56 | | | | 1,019.40 | | | | 5.85 | |
| Foreign Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.98 | % | | | 903.40 | | | | 4.70 | | | | 1,020.30 | | | | 4.99 | |
Service Class | | | 1,000 | | | | 1.23 | % | | | 901.70 | | | | 5.90 | | | | 1,019.00 | | | | 6.26 | |
226
Other Information (Unaudited) (Continued)
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Beginning
Value | | | Annualized
Expense
Ratio | | | Ending
Value (Based
on Actual
Returns and
Expenses) | | | Operating
Expenses
Incurred* | | | Ending
Value (Based
on
Hypothetical
Returns and
Expenses) | | | Operating
Expenses
Incurred* | |
| Fundamental Growth Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class II | | $ | 1,000 | | | | 0.83 | % | | $ | 1,033.10 | | | $ | 4.25 | | | $ | 1,021.00 | | | $ | 4.23 | |
Service Class I | | | 1,000 | | | | 1.09 | % | | | 1,031.20 | | | | 5.58 | | | | 1,019.70 | | | | 5.55 | |
| Fundamental Value Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class II | | | 1,000 | | | | 0.79 | % | | | 961.70 | | | | 3.91 | | | | 1,021.20 | | | | 4.02 | |
Service Class I | | | 1,000 | | | | 1.04 | % | | | 960.40 | | | | 5.14 | | | | 1,020.00 | | | | 5.30 | |
| Global Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class I | | | 1,000 | | | | 0.82 | % | | | 959.10 | | | | 4.05 | | | | 1,021.10 | | | | 4.18 | |
Class II | | | 1,000 | | | | 0.82 | % | | | 958.80 | | | | 4.05 | | | | 1,021.10 | | | | 4.18 | |
Service Class I | | | 1,000 | | | | 1.07 | % | | | 956.90 | | | | 5.28 | | | | 1,019.80 | | | | 5.45 | |
| Growth & Income Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.57 | % | | | 987.80 | | | | 2.86 | | | | 1,022.30 | | | | 2.91 | |
Service Class | | | 1,000 | | | | 0.82 | % | | | 986.80 | | | | 4.11 | | | | 1,021.10 | | | | 4.18 | |
| Income & Growth Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.70 | % | | | 1,008.80 | | | | 3.54 | | | | 1,021.70 | | | | 3.57 | |
Service Class | | | 1,000 | | | | 0.95 | % | | | 1,007.10 | | | | 4.81 | | | | 1,020.40 | | | | 4.84 | |
| International Equity Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class II | | | 1,000 | | | | 1.00 | % | | | 906.30 | | | | 4.80 | | | | 1,020.20 | | | | 5.09 | |
Service Class I | | | 1,000 | | | | 1.25 | % | | | 905.10 | | | | 6.00 | | | | 1,018.90 | | | | 6.36 | |
| Large Cap Growth Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.69 | % | | | 1,006.10 | | | | 3.49 | | | | 1,021.70 | | | | 3.52 | |
Service Class | | | 1,000 | | | | 0.94 | % | | | 1,003.90 | | | | 4.75 | | | | 1,020.50 | | | | 4.79 | |
| Managed Volatility Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.86 | % | | | 1,004.50 | | | | 4.35 | | | | 1,020.90 | | | | 4.38 | |
Service Class | | | 1,000 | | | | 1.12 | % | | | 1,003.60 | | | | 5.66 | | | | 1,019.60 | | | | 5.70 | |
| Mid Cap Growth Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.81 | % | | | 988.90 | | | | 4.06 | | | | 1,021.10 | | | | 4.13 | |
Service Class | | | 1,000 | | | | 1.06 | % | | | 988.00 | | | | 5.31 | | | | 1,019.90 | | | | 5.40 | |
| Mid Cap Value Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.88 | % | | | 978.00 | | | | 4.39 | | | | 1,020.80 | | | | 4.48 | |
Service Class | | | 1,000 | | | | 1.13 | % | | | 978.00 | | | | 5.63 | | | | 1,019.50 | | | | 5.75 | |
| Small Cap Growth Equity Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 1.09 | % | | | 885.40 | | | | 5.18 | | | | 1,019.70 | | | | 5.55 | |
Service Class | | | 1,000 | | | | 1.34 | % | | | 883.70 | | | | 6.36 | | | | 1,018.50 | | | | 6.82 | |
| Small Company Value Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class II | | | 1,000 | | | | 0.98 | % | | | 939.50 | | | | 4.79 | | | | 1,020.30 | | | | 4.99 | |
Service Class I | | | 1,000 | | | | 1.23 | % | | | 938.10 | | | | 6.01 | | | | 1,019.00 | | | | 6.26 | |
| Small/Mid Cap Value Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Initial Class | | | 1,000 | | | | 0.79 | % | | | 926.40 | | | | 3.84 | | | | 1,021.20 | | | | 4.02 | |
Service Class | | | 1,000 | | | | 1.04 | % | | | 925.50 | | | | 5.05 | | | | 1,020.00 | | | | 5.30 | |
| Total Return Bond Fund | | | | | | | | | | | | | | | | | | | | | | | | |
Class II | | | 1,000 | | | | 0.60 | % | | | 1,003.30 | | | | 3.03 | | | | 1,022.20 | | | | 3.06 | |
Service Class I | | | 1,000 | | | | 0.85 | % | | | 1,001.40 | | | | 4.29 | | | | 1,020.90 | | | | 4.33 | |
| * | Expenses are calculated using the annualized expense ratio for the six months ended December 31, 2015, multiplied by the average account value over the period, multiplied by 184 days in the period, divided by 365 days in the year, unless stated otherwise. The annualized expense ratio does not reflect expenses deducted under the variable life insurance or variable annuity contract through which the Funds are invested in. Inclusion of these expenses would increase the annualized expense ratios shown. |
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Underwriter: MML Distributors, LLC 100 Bright Meadow Blvd. Enfield, CT 06082-1981 | |  |
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© 2016 Massachusetts Mutual Life Insurance Company, Springfield, MA. All rights reserved. www.massmutual.com. MassMutual Financial Group is a marketing name for Massachusetts Mutual Life Insurance Company (MassMutual) and its affiliated companies and sales representatives. Investment Adviser: MML Investment Advisers, LLC | | RS-38740-00 |
Item 2. Code of Ethics.
As of December 31, 2015, the Registrant adopted a Code of Ethics that applies to the Principal Executive Officer and Principal Financial Officer pursuant to the Sarbanes-Oxley Act of 2002. For the year ended December 31, 2015, there were no reportable amendments to a provision of the Code of Ethics. A copy of its Code of Ethics is filed with this Form N-CSR under Item 12(a)(1).
Item 3. Audit Committee Financial Expert.
The Registrant’s Board of Trustees has determined that Susan B. Sweeney and Nabil N. El-Hage, both members of the Audit Committee, are audit committee financial experts as defined by the Securities and Exchange Commission (the “SEC”). Ms. Sweeney and Mr. El-Hage are both “independent” as defined by the SEC for purposes of audit committee financial expert determinations.
Item 4. Principal Accountant Fees and Services.
References below to Deloitte & Touche LLP include its affiliates where applicable.
| | (a) | AUDIT FEES: The aggregate fees billed to the Registrant for professional services rendered by its independent auditors, Deloitte & Touche LLP, for the audit of the Registrant’s annual financial statements for the fiscal years ended 2015 and 2014 were $1,038,764 and $793,707, respectively. |
| | (b) | AUDIT RELATED FEES: No such fees were billed to the Registrant by Deloitte & Touche LLP for the fiscal years ended 2015 and 2014. No such fees were billed to the Registrant’s adviser and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the Registrant by Deloitte & Touche LLP* for the fiscal years ended 2015 and 2014. |
| | (c) | TAX FEES: The aggregate fees billed to the Registrant for professional services rendered by Deloitte & Touche LLP for the review of Form 1120-RIC, Form 8613, excise distribution projections, distribution calculation and reasonable out of pocket expenses for the fiscal years ended 2015 and 2014 were $126,364 and $120,910, respectively. No such fees were billed to the Registrant’s adviser and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the Registrant by Deloitte & Touche LLP* for the fiscal years ended 2015 and 2014. |
| | (d) | ALL OTHER FEES: No such fees were billed to the Registrant by Deloitte & Touche LLP for the fiscal years ended 2015 and 2014. No such fees were billed to the Registrant’s adviser and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the Registrant by Deloitte & Touche LLP* for the fiscal years ended 2015 and 2014. |
| | (e) | (1) AUDIT COMMITTEE PRE-APPOVAL POLICY: All services to be performed for the Registrant by Deloitte & Touche LLP must be pre-approved by the audit committee. All services performed during the fiscal years ended 2015 and 2014 were pre-approved by the committee. |
(2) Not applicable.
| | (g) | The aggregate non-audit fees billed by Deloitte & Touche LLP for services rendered to the Registrant, the Registrant’s adviser and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the Registrant, for the fiscal years ended 2015 and 2014 were $732,859 and $1,959,810, respectively. |
| | (h) | The audit committee considers whether the provision of non-audit services by Deloitte & Touche LLP to the Registrant’s adviser and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the Registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining Deloitte & Touche LLP’s independence. |
| * | Refers to fees that were required to be approved by the audit committee for services that relate directly to the operations and financial reporting of the Registrant. |
Item 5. Audit Committee of Listed Registrants.
Not applicable to this filing.
Item 6. Investments.
Please see portfolio of investments contained in the Reports to Stockholders included under Item 1 of this form N-CSR.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable to this filing.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable to this filing.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable to this filing.
Item 10. Submission of Matters to a Vote of Security Holders.
Not applicable to this filing.
Item 11. Controls and Procedures.
(a) The Registrant’s Principal Executive Officer and Principal Financial Officer have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this Form N-CSR, to provide reasonable assurance that the information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, based on their evaluation of these disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d))) that occurred during the Registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting.
Item 12. Exhibits.
(a)(1) Code of Ethics (Item 2) is attached.
(a)(2) Certifications of the Principal Executive Officer and Principal Financial Officer of the Registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) are attached hereto as Exhibit 99CERT.
(a)(3) Not applicable to this filing.
(b) Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 as required by Rule 30a-2(b), under the 1940 Act (17 CFR 270.30a-2(b)), Rule 15d-14(b) under the Securities Exchange Act of 1934 (17 CFR 240.15d-14(b)) and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) are 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.
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| (Registrant) | | MML Series Investment Fund | | |
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| By (Signature and Title) | | /s/ Jeffrey M. Dube | | |
| | Jeffrey M. Dube, President and Principal Executive Officer | | |
Date 2/23/16
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.
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| By (Signature and Title) | | /s/ Jeffrey M. Dube | | |
| | Jeffrey M. Dube, President and Principal Executive Officer | | |
Date 2/23/16
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| By (Signature and Title) | | /s/ Nicholas H. Palmerino | | |
| | Nicholas H. Palmerino, Treasurer and Principal Financial Officer | | |
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Date 2/23/16
