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 811-7038
--------

THE MONEY MARKET PORTFOLIOS
---------------------------
(Exact name of registrant as specified in charter)

ONE FRANKLIN PARKWAY, SAN MATEO, CA 94403-1906
(Address of principal executive offices) (Zip code)

MURRAY L. SIMPSON, ONE FRANKLIN PARKWAY, SAN MATEO, CA 94403-1906
-----------------------------------------------------------------
(Name and address of agent for service)

Registrant's telephone number, including area code: (650) 312-2000
--------------

Date of fiscal year end: 6/30
----

Date of reporting period: 6/30/03
-------

ITEM 1. REPORTS TO STOCKHOLDERS.

ANNUAL REPORT 29

The Money Market Portfolios

FINANCIAL HIGHLIGHTS

THE MONEY MARKET PORTFOLIO

-------------------------------------------------------------------
YEAR ENDED JUNE 30,
-------------------------------------------------------------------
2003 2002 2001 2000 1999

Per share operating performance
(for a share outstanding throughout the year)

Net asset value, beginning of year ..................... $1.00 $1.00 $1.00 $1.00 $1.00
-------------------------------------------------------------------

Income from investment operations - net investment
income ................................................ .014 .026 .059 .056 .051

Less distributions from net investment income .......... (.014) (.026) (.059) (.056) (.051)
-------------------------------------------------------------------

Net asset value, end of year ........................... $1.00 $1.00 $1.00 $1.00 $1.00
-------------------------------------------------------------------

Total return a ......................................... 1.41% 2.63% 6.08% 5.75% 5.18%

RATIOS/SUPPLEMENTAL DATA

Net assets, end of year (000's) ........................ $5,331,200 $4,734,196 $4,490,919 $4,144,043 $3,672,404

Ratios to average net assets:

Expenses .............................................. .15% .15% .15% .15% .15%

Expenses excluding waiver by affiliate ................ .15% .16% .16% .16% .15%

Net investment income ................................. 1.39% 2.56% 5.91% 5.65% 5.04%

a Total return is not annualized for periods less than one year.

30 |See notes to financial statements.|Annual Report

The Money Market Portfolios

STATEMENT OF INVESTMENTS, JUNE 30, 2003

- ---------------------------------------------------------------------------------------------------------------------
THE MONEY MARKET PORTFOLIO PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------------------------------------------------------
CERTIFICATES OF DEPOSIT 34.3%

Bank of America NT & SA, Charlotte Branch, 1.24%, 10/20/03 - 10/21/03 .......... $ 100,000,000 $ 100,000,000
Bank of Nova Scotia, Portland Branch, 1.03% - 1.22%, 7/14/03 - 9/24/03 ......... 150,000,000 150,000,000
Banque Nationale De Paris, New York Branch, 1.02% - 1.35%, 9/26/03 - 4/13/04 ... 125,000,000 125,000,603
Barclays Bank PLC, New York Branch, 1.24%, 8/04/03 - 10/31/03 .................. 125,000,000 125,001,872
Bayerische Landesbank Girozen, New York Branch, 1.21% - 1.30%, 7/16/03 - 7/18/03 130,000,000 130,001,056
Credit Agricole, New York Branch, .98% - 1.34%, 9/02/03 - 10/07/03 ............. 150,000,000 150,002,221
Danske Bank AS, New York Branch, 1.22%, 7/11/03 ................................ 50,000,000 50,000,139
Dexia Bank, New York Branch, .905% - 1.20%, 7/22/03 - 8/12/03 .................. 100,000,000 100,000,728
Landesbank Hessen Thueringen Giro., New York Branch, 1.205%, 11/17/03 .......... 50,000,000 50,006,570
Lloyds Bank PLC, New York Branch, .90% - 1.19%, 9/04/03 - 9/23/03 .............. 75,000,000 75,000,450
Rabobank Nederland NV, New York Branch, 1.09%, 9/05/03 ......................... 75,000,000 75,001,371
Societe Generale North America, New York Branch, 1.24%, 7/16/03 ................ 50,000,000 49,999,988
State Street Corp., Boston Branch, 1.14%, 10/02/03 - 10/03/03 .................. 100,000,000 100,000,000
Svenska Handelsbanken, New York Branch, 1.25% - 1.29%, 7/15/03 - 7/21/03 ....... 125,000,000 125,001,353
Toronto Dominion Bank, New York Branch, 1.21%, 7/25/03 ......................... 75,000,000 75,000,499
UBS AG, Chicago Branch, .92% - 1.305%, 9/26/03 - 4/16/04 ....................... 150,000,000 150,001,205
Wells Fargo Bank, NA, San Francisco Branch, 1.03% - 1.21%, 7/23/03 - 8/29/03 ... 200,000,000 200,000,000
---------------
TOTAL CERTIFICATES OF DEPOSIT (COST $1,830,018,055) ............................ 1,830,018,055
---------------

Commercial Paper 34.8%
a American International Group I, .96% - 1.20%, 7/01/03 - 8/26/03 ................ 31,000,000 30,977,600
a ANZ (Delaware) Inc., .99% - 1.24%, 7/07/03 - 8/18/03 ........................... 125,000,000 124,918,500
a Bank of Montreal, 1.20%, 7/10/03 - 7/11/03 ..................................... 100,000,000 99,969,167
a Barclays U.S. Funding Corp., 1.04%, 8/25/03 .................................... 11,150,000 11,132,284
a Commonwealth Bank of Australia, 1.21% - 1.22%, 7/08/03 - 7/14/03 ............... 125,000,000 124,963,778
a Danske Corp., .92%, 9/19/03 .................................................... 25,000,000 24,948,889
a Den Danske Corp. Inc., 1.12% - 1.21%, 7/08/03 - 9/08/03 ........................ 75,000,000 74,933,729
a Dupont De Nemours Inc., .95% - 1.18%, 7/21/03 - 9/08/03 ........................ 113,650,000 113,512,041
a General Electric Capital Corp., .91% - 1.26%, 7/23/03 - 9/30/03 ................ 165,100,000 164,776,900
a Hbos Treasury Services, .97% - 1.22%, 7/17/03 - 9/19/03 ........................ 175,000,000 174,705,306
a Internationale Ned. U.S. Funding, 1.02% - 1.23%, 7/28/03 - 9/25/03 ............. 150,000,000 149,807,847
a Merck & Co Inc., .95%, 8/20/03 ................................................. 50,000,000 49,934,028
a Novartis Finance Corp., 1.19%, 7/30/03 ......................................... 50,000,000 49,952,069
a Province of British Columbia, 1.18%, 8/13/03 ................................... 23,000,000 22,967,583
a Societe Generale NA Inc., .97% - 1.24%, 8/01/03 - 9/16/03 ...................... 110,211,000 110,058,940
a Toronto Dominion Holdings, 1.05%, 8/11/03 ...................................... 50,000,000 49,940,208
a Total Fina Elf Capital, 1.30%, 7/01/03 ......................................... 200,000,000 200,000,000
a Toyota Motor Credit Corp., .91% - 1.20%, 7/10/03 - 7/23/03 ..................... 128,297,000 128,235,395
a Westdeutsche Landesbank, .90% - 1.19%, 8/08/03 - 9/12/03 ....................... 50,000,000 49,922,972
a Westpac Capital Corp., 1.21%, 10/09/03 - 10/10/03 .............................. 100,000,000 99,662,208
---------------
Total Commercial Paper (Cost $1,855,319,444) ................................... 1,855,319,444
---------------
U.S. Government Agency Securities 21.5%
Federal Home Loan Bank, .95% - 1.165%, 7/01/03 - 8/27/03 ....................... 50,355,000 50,313,319
Federal Home Loan Mortgage Corp., 1.04% - 1.39%, 7/28/03 - 12/31/03 ............ 485,000,000 483,806,960
Federal National Mortgage Association, 1.08% - 1.26%, 7/01/03 - 10/08/03 ....... 610,778,000 609,915,681
---------------
TOTAL U.S. GOVERNMENT AGENCY SECURITIES
(COST $1,144,035,960) .......................................................... 1,144,035,960
---------------
TOTAL INVESTMENTS BEFORE REPURCHASE AGREEMENTS
(COST $4,829,373,459) .......................................................... 4,829,373,459
---------------

Annual Report| 31

The Money Market Portfolios

STATEMENT OF INVESTMENTS, JUNE 30, 2003 (CONTINUED)

- ---------------------------------------------------------------------------------------------------------------------------
THE MONEY MARKET PORTFOLIO PRINCIPAL AMOUNT VALUE
- ---------------------------------------------------------------------------------------------------------------------------

REPURCHASE AGREEMENTS 10.3%
b ABN AMRO Bank, NV, New York Branch, 1.30%, 7/01/03
(Maturity Value $180,006,500) ...................................................... $180,000,000 $ 180,000,000
Collateralized by U.S. Government Agency Coupons
b Deutsche Bank Securities Inc., 1.07%, 7/01/03 (Maturity Value
$93,917,791) ....................................................................... 93,915,000 93,915,000
Collateralized by U.S. Treasury Notes
b Morgan Stanley & Co. Inc., 1.03%, 7/01/03 (Maturity Value
$93,917,687) ....................................................................... 93,915,000 93,915,000
Collateralized by U.S. Treasury Notes
b UBS Securities LLC, 1.25%, 7/01/03 (Maturity Value $180,006,250) ................... 180,000,000 180,000,000
Collateralized by U.S. Government Agency Coupons
----------------
TOTAL REPURCHASE AGREEMENTS (COST $547,830,000) .................................... 547,830,000
----------------
TOTAL INVESTMENTS (COST $5,377,203,459) 100.9% ..................................... 5,377,203,459
OTHER ASSETS, LESS LIABILITIES (.9)% ............................................... (46,003,746)
----------------
NET ASSETS 100.0% .................................................................. $ 5,331,199,713
----------------

aSecurities are traded on a discount basis; the rates shown are the discount
rates at the time of purchase by the Portfolio.
bSee Note 1(b) regarding repurchase agreements.

32 |See notes to financial statements.|Annual Report

The Money Market Portfolios

FINANCIAL HIGHLIGHTS

THE U.S. GOVERNMENT SECURITIES MONEY MARKET PORTFOLIO

--------------------------------------------------------
YEAR ENDED JUNE 30,
2003 2002 2001 2000 1999
--------------------------------------------------------

Per share operating performance
(for a share outstanding throughout the year)

Net asset value, beginning of year ............................... $1.00 $1.00 $1.00 $1.00 $1.00
--------------------------------------------------------
Income from investment operations - net investment income ........ .013 .024 .056 .054 .049

Less distributions from net investment income .................... (.013) (.024) (.056) (.054) (.049)
--------------------------------------------------------
Net asset value, end of year ..................................... $1.00 $1.00 $1.00 $1.00 $1.00
--------------------------------------------------------

Total return a ................................................... 1.34% 2.43% 5.75% 5.48% 4.97%

RATIOS/SUPPLEMENTAL DATA

Net assets, end of year (000's) .................................. $201,758 $226,676 $186,718 $221,993 $258,458

Ratios to average net assets:

Expenses ........................................................ .15% .15% .15% .15% .15%

Expenses excluding waiver by affiliate .......................... .16% .16% .16% .16% .15%

Net investment income ........................................... 1.34% 2.33% 5.63% 5.36% 4.84%

aTotal return is not annualized for periods less than one year.

Annual Report|See notes to financial statements.| 33

The Money Market Portfolios

STATEMENT OF INVESTMENTS, JUNE 30, 2003

- --------------------------------------------------------------------------------------------------------------------------
THE U.S. GOVERNMENT SECURITIES MONEY MARKET PORTFOLIO PRINCIPAL AMOUNT VALUE
- --------------------------------------------------------------------------------------------------------------------------

GOVERNMENT SECURITIES 48.5%
U.S. Treasury Bill, 7/03/03 ....................................................... $ 5,000,000 $ 4,999,707
U.S. Treasury Bill, 7/10/03 ....................................................... 5,000,000 4,998,469
U.S. Treasury Bill, 7/31/03 ....................................................... 5,000,000 4,995,146
U.S. Treasury Bill, 8/21/03 ....................................................... 5,000,000 4,992,775
U.S. Treasury Bill, 8/28/03 ....................................................... 5,000,000 4,991,139
U.S. Treasury Bill, 9/04/03 ....................................................... 10,000,000 9,980,410
U.S. Treasury Bill, 9/11/03 ....................................................... 10,000,000 9,981,600
U.S. Treasury Bill, 10/09/03 ...................................................... 10,000,000 9,968,056
U.S. Treasury Bill, 10/16/03 ...................................................... 5,000,000 4,987,517
U.S. Treasury Bill, 11/20/03 ...................................................... 5,000,000 4,979,883
U.S. Treasury Bill, 12/04/03 ...................................................... 10,000,000 9,959,592
U.S. Treasury Bill, 12/18/03 ...................................................... 5,000,000 4,978,750
U.S. Treasury Bill, 1/02/04 ....................................................... 5,000,000 4,976,363
U.S. Treasury Note, 2.75%, 9/30/03 ................................................ 5,000,000 5,016,645
U.S. Treasury Note, 3.25%, 12/31/03 ............................................... 5,000,000 5,049,707
U.S. Treasury Note, 3.38%, 4/30/04 ................................................ 3,000,000 3,052,187
---------------
Total Government Securities (Cost $97,907,946)..................................... 97,907,946
---------------

REPURCHASE AGREEMENTS 56.4%
a ABN AMRO Bank, N.V., New York Branch, 1.08%, 7/01/03
(Maturity Value $10,000,300) ...................................................... 10,000,000 10,000,000
Collateralized by U.S. Treasury Notes
a Banc of America Securities LLC, .97%, 7/01/03 (Maturity Value
$7,000,189) ....................................................................... 7,000,000 7,000,000
Collateralized by U.S. Treasury Notes
a Barclays Capital Inc., 1.08%, 7/01/03 (Maturity Value $7,000,210) ................. 7,000,000 7,000,000
Collateralized by U.S. Treasury Notes
a Bear, Stearns & Co. Inc., 1.08%, 7/01/03 (Maturity Value $7,000,210) .............. 7,000,000 7,000,000
Collateralized by U.S. Treasury Notes
a Deutsche Bank Securities Inc., 1.07%, 7/01/03 (Maturity Value
$29,395,874)....................................................................... 29,395,000 29,395,000
Collateralized by U.S. Treasury Notes
a Dresdner Kleinwort Wasserstein Securities LLC, 1.00%, 7/01/03
(Maturity Value $7,000,194) ....................................................... 7,000,000 7,000,000
Collateralized by U.S. Treasury Bonds
a Goldman, Sachs, & Co., 1.07%, 7/01/03 (Maturity Value $7,000,208) ................ 7,000,000 7,000,000
Collateralized by U.S. Treasury Bonds
a Morgan Stanley & Co. Inc., 1.03%, 7/01/03 (Maturity Value
$29,390,841) ..................................................................... 29,390,000 29,390,000
Collateralized by U.S. Treasury Notes
a UBS Securities LLC, 1.08%, 7/01/03 (Maturity Value $10,000,300) .................. 10,000,000 10,000,000
Collateralized by U.S. Treasury Bills
---------------
TOTAL REPURCHASE AGREEMENTS (COST $113,785,000) ................................... 113,785,000
---------------

TOTAL INVESTMENTS (COST $211,692,946) 104.9% ...................................... 211,692,946
OTHER ASSETS, LESS LIABILITIES (4.9%) ............................................ (9,934,917)
---------------

NET ASSETS 100.0% ................................................................. $ 201,758,029
---------------

aSee Note 1(b) regarding repurchase agreements.

34 |See notes to financial statements.|Annual Report

The Money Market Portfolios

FINANCIAL STATEMENTS

STATEMENTS OF ASSETS AND LIABILITIES
June 30, 2003

----------------------------------
THE U.S.
GOVERNMENT
THE SECURITIES
MONEY MARKET MONEY MARKET
PORTFOLIO PORTFOLIO
----------------------------------

Assets:
Investments in securities, at value and cost ....................................... $ 4,829,373,459 $ 97,907,946
Repurchase agreements, at value and cost ........................................... 547,830,000 113,785,000
Cash ............................................................................... -- 5,321
Interest receivable 3,422,596 55,391
----------------------------------
Total assets 5,380,626,055 211,753,658
Liabilities:
Payables:
Investment securities purchased ................................................... -- 9,956,213
Affiliates ........................................................................ 649,120 20,470
Funds advanced by custodian ........................................................ 48,717,550 --
Other liabilities .................................................................. 59,672 18,946
----------------------------------
Total liabilities ............................................................. 49,426,342 9,995,629
----------------------------------
Net assets, at value ................................................................ $ 5,331,199,713 $201,758,029
----------------------------------
Shares outstanding .................................................................. 5,331,199,713 201,758,029
----------------------------------
Net asset value per share ........................................................... $1.00 $1.00
----------------------------------

Annual Report|See notes to financial statements.| 35

The Money Market Portfolios

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF OPERATIONS
for the year ended June 30, 2003

------------------------------
THE U.S.
GOVERNMENT
THE SECURITIES
MONEY MARKET MONEY MARKET
PORTFOLIO PORTFOLIO
------------------------------

Investment income:
Interest ............................................................................. $ 81,056,516 $ 3,206,342
------------------------------
Expenses:
Management fees (Note 3) ............................................................. 7,877,475 322,526
Custodian fees ....................................................................... 51,156 2,206
Professional fees .................................................................... 53,677 19,963
Other ................................................................................ 83,273 3,266
------------------------------
Total expenses .................................................................. 8,065,581 347,961
Expenses waived by affiliate (Note 3) ........................................... (185,571) (25,474)
------------------------------
Net expenses ................................................................... 7,880,010 322,487
------------------------------
Net investment income ......................................................... 73,176,506 2,883,855
------------------------------
Net realized gain (loss) from investments ............................................. 19,063 --
------------------------------
Net increase (decrease) in net assets resulting from operations ....................... $ 73,195,569 $ 2,883,855
------------------------------

36 |See notes to financial statements.|Annual Report

The Money Market Portfolios

FINANCIAL STATEMENTS (CONTINUED)

STATEMENTS OF CHANGES IN NET ASSETS
for the years ended June 30, 2003 and 2002

---------------------------------------------------------------------
THE U.S. GOVERNMENT SECURITIES
THE MONEY MARKET PORTFOLIO MONEY MARKET PORTFOLIO
2003 2002 2003 2002
---------------------------------------------------------------------

Increase (decrease) in net assets:
Operations:
Net investment income ........................... $ 73,176,506 $ 125,672,808 $ 2,883,855 $ 5,015,722
Net realized gain (loss) from investments........ 19,063 83,083 -- --
---------------------------------------------------------------------
Net increase (decrease) in net assets
resulting from operations .................. 73,195,569 125,755,891 2,883,855 5,015,722
Distributions to shareholders from net investment
income .......................................... (73,195,569) a (125,755,891) b (2,883,855) (5,015,722)
Capital share transactions (Note 2) .............. 597,003,871 243,276,615 (24,918,467) 39,958,367
---------------------------------------------------------------------
Net increase (decrease) in net assets........ 597,003,871 243,276,615 (24,918,467) 39,958,367
Net assets (there is no undistributed net investment
income at beginning or end of year):
Beginning of year ............................... 4,734,195,842 4,490,919,227 226,676,496 186,718,129
---------------------------------------------------------------------
End of year ..................................... $ 5,331,199,713 $4,734,195,842 $201,758,029 $ 226,676,496
---------------------------------------------------------------------

aDistributions were increased by a net realized gain from investments of
$19,063.
bDistributions were increased by a net realized gain from investments of
$83,083.

Annual Report|See notes to financial statements.| 37

The Money Market Portfolios

NOTES TO FINANCIAL STATEMENTS

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

The Money Market Portfolios (the Trust) is registered under the Investment
Company Act of 1940 as a diversified, open-end investment company, consisting of
two separate portfolios (the Portfolios). The shares of the Trust are issued in
private placements and are exempt from registration under the Securities Act of
1933. The Portfolios seek to provide high current income consistent with
preservation of capital and liquidity.

The following summarizes the Portfolios' significant accounting policies.

a. Security Valuation

Securities are valued at amortized cost which approximates value.

b. Repurchase Agreements

The Portfolios may enter into repurchase agreements, which are accounted for as
a loan by the Portfolios to the seller, collateralized by securities which are
delivered to the Portfolios' custodian. The market value, including accrued
interest, of the initial collateralization is required to be at least 102% of
the dollar amount invested by the Portfolios, with the value of the underlying
securities marked to market daily to maintain coverage of at least 100%. At June
30, 2003, all repurchase agreements held by the Portfolios had been entered into
on that date.

c. Income Taxes

No provision has been made for income taxes because each Portfolio's policy is
to qualify as a regulated investment company under the Internal Revenue Code and
to distribute substantially all of its taxable income.

38 |Annual Report

The Money Market Portfolios

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

1. ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (continued)

d. Security Transactions, Investment Income, Expenses and Distributions

Security transactions are accounted for on trade date. Realized gains and losses
on security transactions are determined on a specific identification basis.
Interest income and estimated expenses are accrued daily. Discounts and premiums
on securities purchased are amortized over the lives of the respective
securities. Dividends from net investment income and capital gains or losses are
normally declared daily. Such distributions are reinvested in additional shares
of the Portfolios.

Common expenses incurred by the Trust are allocated among the Portfolios based
on the ratio of net assets of each Portfolio to the combined net assets. Other
expenses are charged to each Portfolio on a specific identification basis.

e. Accounting Estimates

The preparation of financial statements in accordance with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities at the date of the financial statements and the amounts of income
and expenses during the reporting period. Actual results could differ from those
estimates.

f. Guarantees and Indemnifications

Under the Portfolios' organizational documents, its officers and trustees are
indemnified against certain liability arising out of the performance of their
duties to the Portfolios. Additionally, in the normal course of business, the
Portfolios enter into contracts with service providers that contain general
indemnification clauses. The Portfolios' maximum exposure under these
arrangements is unknown as this would involve future claims that may be made
against the Portfolios that have not yet occurred. However, based on experience,
the Portfolios expect the risk of loss to be remote.

Annual Report| 39

The Money Market Portfolios

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

2. SHARES OF BENEFICIAL INTEREST

At June 30, 2003, there were an unlimited number of shares authorized ($.01 par
value). Transactions in the Portfolios' shares were as follows:

THE U.S.
GOVERNMENT
THE SECURITIES
MONEY MARKET MONEY MARKET
PORTFOLIO PORTFOLIO
---------------------------------

Year ended June 30, 2003
Shares sold ......................................... $ 6,279,565,500 $ 309,427,987
Shares issued in reinvestment of distributions ...... 73,193,516 2,884,175
Shares redeemed ..................................... (5,755,755,145) (337,230,629)
---------------------------------
Net increase (decrease) ............................. $ 597,003,871 $ (24,918,467)
=================================
Year ended June 30, 2002
Shares sold ......................................... $ 7,836,706,875 $ 356,762,722
Shares issued in reinvestment of distributions ...... 125,757,515 5,017,250
Shares redeemed ..................................... (7,719,187,775) (321,821,605)
---------------------------------
Net increase (decrease) ............................. $ 243,276,615 $ 39,958,367
=================================

40 |Annual Report

The Money Market Portfolios

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

3. TRANSACTIONS WITH AFFILIATES

Certain officers and trustees of the Trust are also officers and/or directors of
Franklin Advisers Inc. (Advisers) and Franklin/Templeton Investor Services LLC
(Investor Services), the Portfolios' investment manager and transfer agent,
respectively, and of the Franklin Money Fund, the Institutional Fiduciary Trust,
the Franklin Templeton Money Fund Trust, and the Franklin Federal Money Fund.

The Portfolios pay an investment management fee to Advisers of .15% per year of
the average daily net assets of each Portfolio. Advisers agreed in advance to
waive management fees as noted in the Statement of Operations.

At June 30, 2003, the shares of The Money Market Portfolio were owned by the
following funds:

---------------------------------
Percentage of
Shares Outstanding Shares
---------------------------------

Institutional Fiduciary Trust - Money Market Portfolio 2,998,841,506 56.25%
Franklin Money Fund 1,959,838,113 36.76%
Institutional Fiduciary Trust - Franklin Cash Reserves Fund 231,177,015 4.34%
Franklin Templeton Money Fund Trust - Franklin Templeton
Money Fund 141,343,079 2.65%

At June 30, 2003, the shares of The U.S. Government Securities Money Market
Portfolio were owned by the following funds:

---------------------------------
Percentage of
Shares Outstanding Shares
---------------------------------

Franklin Federal Money Fund 125,651,937 62.28%
Institutional Fiduciary Trust - Franklin U.S. Government Securities
Money Market Portfolio 76,106,092 37.72%

Annual Report| 41

The Money Market Portfolios

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

4. INCOME TAXES

The tax character of distributions paid during the years ended June 30, 2003 and
2002, was as follows:

THE U.S.
GOVERNMENT
THE SECURITIES
MONEY MARKET MONEY MARKET
PORTFOLIO PORTFOLIO
--------------------------------------------------------------
2003 2002 2003 2002
--------------------------------------------------------------

Distributions paid from ordinary income $73,195,569 $125,755,891 $2,883,855 $5,015,722
==============================================================

At June 30, 2003, the cost of investments and undistributed ordinary income for
income tax purposes were as follows:

The U.S.
Government
The Securities
Money Market Money Market
Portfolio Portfolio
-------------------------------
Cost of investments $5,377,203,459 $ 211,692,946
===============================

Undistributed ordinary income $ 6,843 $ --
===============================

42 |Annual Report

The Money Market Portfolios

INDEPENDENT AUDITORS' REPORT

TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF THE MONEY MARKET PORTFOLIOS

In our opinion, the accompanying statements of assets and liabilities, including
the statements of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of each of the portfolios constituting
The Money Market Portfolios (hereafter referred to as the "Portfolios") at June
30, 2003, the results of each of their operations for the year then ended, the
changes in each of 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. These financial statements and financial highlights (hereafter referred
to as "financial statements") are the responsibility of the Portfolios'
management; our responsibility is to express an opinion on these financial
statements based on our audits. We conducted our audits of these financial
statements in accordance with auditing standards generally accepted in the
United States of America, which require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements, assessing
the accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits, which included confirmation of securities at June 30, 2003 by
correspondence with the custodian and brokers, provide a reasonable basis for
our opinion.

PricewaterhouseCoopers LLP

San Francisco, California
August 5, 2003

Annual Report| 43

BOARD MEMBERS AND OFFICERS

THE MONEY MARKET PORTFOLIOS

The name, age and address of the officers and board members, as well as their
affiliations, positions held with the Trust, principal occupations during the
past five years and number of portfolios overseen in the Franklin Templeton
Investments fund complex are shown below. Each board member will serve until
that person's successor is elected and qualified.

INDEPENDENT BOARD MEMBERS

FRANK H. ABBOTT, III (82) Trustee Since 1992 105 None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
President and Director, Abbott Corporation (an investment company); and
FORMERLY, Director, MotherLode Gold Mines Consolidated (gold mining) (until
1996) and Vacu-Dry Co. (food processing) (until 1996).
- --------------------------------------------------------------------------------------------------------------------------
HARRIS J. ASHTON (71) Trustee Since 1992 132 Director, Bar-S Foods (meat
One Franklin Parkway packing company).
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Director of various companies; and FORMERLY, Director, RBC Holdings, Inc. (bank
holding company) (until 2002); and President, Chief Executive Officer and
Chairman of the Board, General Host Corporation (nursery and craft centers)
(until 1998).
- --------------------------------------------------------------------------------------------------------------------------
ROBERT F. CARLSON (75) Trustee Since 1998 46 None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Vice President and past President, Board of Administration, California Public
Employees Retirement Systems (CALPERS); and FORMERLY, member and Chairman of
the Board, Sutter Community Hospitals; member, Corporate Board, Blue Shield of
California; and Chief Counsel, California Department of Transportation.
- --------------------------------------------------------------------------------------------------------------------------
S. JOSEPH FORTUNATO (70) Trustee Since 1992 133 None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Attorney; and FORMERLY, member of the law firm of Pitney, Hardin, Kipp & Szuch.
- --------------------------------------------------------------------------------------------------------------------------
Frank W.T. LaHaye (74) Trustee Since 1992 105 Director, The California Center
One Franklin Parkway for Land Recycling (redevelopment).
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
General Partner, Las Olas L.P. (Asset Management); and FORMERLY, Chairman, Peregrine Venture Management Company
(venture capital).
- --------------------------------------------------------------------------------------------------------------------------

44 |Annual Report

- --------------------------------------------------------------------------------------------------------------------------------
NUMBER OF PORTFOLIOS IN
LENGTH OF FUND COMPLEX OVERSEEN
NAME, AGE AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- --------------------------------------------------------------------------------------------------------------------------------

GORDON S. MACKLIN (75) Trustee Since 1992 132 Director, White Mountains Insurance
One Franklin Parkway Group, Ltd. (holding company);
San Mateo, CA 94403-1906 Martek Biosciences Corporation;
MedImmune, Inc. (biotechnology);
Overstock.com (Internet services);
and Spacehab, Inc. (aerospace
services); and FORMERLY, Director,
MCI Communication Corporation
(subsequently known as MCI WorldCom,
Inc. and WorldCom, Inc.)
(communications services) (1988-2002).
- --------------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Deputy Chairman, White Mountains Insurance Group, Ltd. (holding company); and
FORMERLY, Chairman, White River Corporation (financial services) (1993-1998)
and Hambrecht & Quist Group (investment banking) (1987-1992); and President,
National Association of Securities Dealers, Inc.
(1970-1987).
- --------------------------------------------------------------------------------------------------------------------------

INTERESTED BOARD MEMBERS AND OFFICERS

- ---------------------------------------------------------------------------------------------------------------------------
NUMBER OF PORTFOLIOS IN
LENGTH OF FUND COMPLEX OVERSEEN
NAME, AGE AND ADDRESS POSITION TIME SERVED BY BOARD MEMBER* OTHER DIRECTORSHIPS HELD
- ---------------------------------------------------------------------------------------------------------------------------
**CHARLES B. JOHNSON (70) Trustee and Trustee since 132 None
One Franklin Parkway Chairman of 1992 and
San Mateo, CA 94403-1906 the Board Chairman of the
Board since 1993
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Chairman of the Board, Chief Executive Officer, Member - Office of the Chairman
and Director, Franklin Resources, Inc.; Vice President, Franklin Templeton
Distributors, Inc.; Director, Fiduciary Trust Company International; and
officer and/or director or trustee, as the case may be, of some of the other
subsidiaries of Franklin Resources, Inc. and of 45 of the investment companies
in Franklin Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------
**RUPERT H. JOHNSON, JR. (62) Trustee and Trustee since 115 None
One Franklin Parkway President and 1992 and
San Mateo, CA 94403-1906 Chief President and
Executive Chief Executive
Officer - Officer -
Investment Investment
Management Management
since 2002
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Vice Chairman, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Vice President and Director,
Franklin Templeton Distributors, Inc.; Director, Franklin Advisers, Inc. and Franklin Investment Advisory Services,
Inc.; Senior Vice President, Franklin Advisory Services, LLC; and officer and/or director or trustee, as the case may
be, of some of the other subsidiaries of Franklin Resources, Inc. and of 48 of the investment companies in Franklin
Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------

Annual Report| 45

HARMON E. BURNS (58) Vice President Since 1992 Not Applicable None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Vice Chairman, Member - Office of the Chairman and Director, Franklin Resources, Inc.; Vice President and Director,
Franklin Templeton Distributors, Inc.; Executive Vice President, Franklin Advisers, Inc.; Director, Franklin Investment
Advisory Services, Inc.; and officer and/or director or trustee, as the case may be, of some of the other subsidiaries
of Franklin Resources, Inc. and of 48 of the investment companies in Franklin Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------
MARTIN L. FLANAGAN (43) Vice President Since 1995 Not Applicable None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
President, Franklin Resources, Inc.; Senior Vice President and Chief Financial
Officer, Franklin Mutual Advisers, LLC; Executive Vice President, Chief
Financial Officer and Director, Templeton Worldwide, Inc.; Executive Vice
President and Chief Operating Officer, Templeton Investment Counsel, LLC;
President and Director, Franklin Advisers, Inc.; Executive Vice President,
Franklin Investment Advisory Services, Inc. and Franklin Templeton Investor
Services, LLC; Chief Financial Officer, Franklin Advisory Services, LLC;
Chairman, Franklin Templeton Services, LLC; and officer and/or director of some
of the other subsidiaries of Franklin Resources, Inc. and of 49 of the
investment companies in Franklin Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------
JIMMY D. GAMBILL (55) Senior Vice Since 2002 Not Applicable None
500 East Broward Blvd. President and
Suite 2100 Chief
Fort Lauderdale, FL 33394-3091 Executive
Officer -
Finance and
Administration
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
President, Franklin Templeton Services, LLC; Senior Vice President, Templeton Worldwide, Inc.; and officer of 51 of the
investment companies in Franklin Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------
DAVID P. GOSS (56) Vice President Since 2000 Not Applicable None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Associate General Counsel, Franklin Resources, Inc.; officer and director of
one of the subsidiaries of Franklin Resources, Inc.; officer of 51 of the
investment companies in Franklin Templeton Investments; and FORMERLY,
President, Chief Executive Officer and Director, Property Resources Equity
Trust (until 1999) and Franklin Select Realty Trust (until 2000).
- --------------------------------------------------------------------------------------------------------------------------
BARBARA J. GREEN (55) Vice President Since 2000 Not Applicable None
One Franklin Parkway
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Vice President and Deputy General Counsel, Franklin Resources, Inc.; Senior Vice President, Templeton Worldwide, Inc.;
officer of one of the other subsidiaries of Franklin Resources, Inc. and of 51 of the investment companies in Franklin
Templeton Investments; and FORMERLY, Deputy Director, Division of Investment Management, Executive Assistant and Senior
Advisor to the Chairman, Counselor to the Chairman, Special Counsel and Attorney Fellow, U.S. Securities and Exchange
Commission (1986-1995); Attorney, Rogers & Wells (until 1986); and Judicial Clerk, U.S. District Court (District of
Massachusetts) (until 1979).
- --------------------------------------------------------------------------------------------------------------------------

46 |Annual Report

MICHAEL O. MAGDOL (66) Vice President Since 2002 Not Applicable Director, FTI Banque, Arch
600 Fifth Avenue -AML Chemicals, Inc. and Lingnan
Rockefeller Center Compliance Foundation.
New York, NY 10048-0772
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Vice Chairman, Chief Banking Officer and Director, Fiduciary Trust Company
International; and officer and/or director, as the case may be, of some of the
other subsidiaries of Franklin Resources, Inc. and of 48 of the investment
companies in Franklin Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------
KIMBERLEY H. MONASTERIO (39) Treasurer and Treasurer since Not Applicable None
One Franklin Parkway Chief Financial 2000 and Chief
San Mateo, CA 94403-1906 Officer Financial Officer
since 2002
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Senior Vice President, Franklin Templeton Services, LLC; and officer of 51 of
the investment companies in Franklin Templeton Investments.
- --------------------------------------------------------------------------------------------------------------------------
MURRAY L. SIMPSON (66) Vice President Since 2000 Not Applicable None
One Franklin Parkway and Secretary
San Mateo, CA 94403-1906
- --------------------------------------------------------------------------------------------------------------------------
PRINCIPAL OCCUPATION DURING PAST 5 YEARS:
Executive Vice President and General Counsel, Franklin Resources, Inc.; officer and/or director, as the case may be, of
some of the subsidiaries of Franklin Resources, Inc. and of 51 of the investment companies in Franklin Templeton
Investments; and FORMERLY, Chief Executive Officer and Managing Director, Templeton Franklin Investment Services (Asia)
Limited (until 2000); and Director, Templeton Asset Management Ltd. (until 1999).
- --------------------------------------------------------------------------------------------------------------------------

*We base the number of portfolios on each separate series of the U.S. registered
investment companies within the Franklin Templeton Investments fund complex.
These portfolios have a common investment adviser or affiliated investment
advisers.
**Charles B. Johnson and Rupert H. Johnson, Jr. are considered interested
persons of the Fund under the federal securities laws due to their positions as
officers and directors and major shareholders of Franklin Resources Inc., which
is the parent company of the Fund's adviser and distributor.
Note: Charles B. Johnson and Rupert H. Johnson, Jr. are brothers.

THE STATEMENT OF ADDITIONAL INFORMATION (SAI) INCLUDES ADDITIONAL INFORMATION
ABOUT THE BOARD MEMBERS AND IS AVAILABLE, WITHOUT CHARGE, UPON REQUEST.
SHAREHOLDERS MAY CALL 1-800/DIAL BEN (1-800/342-5236) TO REQUEST THE SAI.

Annual Report| 47

ITEM 2. CODE OF ETHICS. N/A
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT. N/A
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES. N/A
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS. N/A
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES. N/A

ITEM 9. CONTROLS AND PROCEDURES.
(a) EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES. The Registrant maintains
disclosure controls and procedures that are designed to ensure that information
required to be disclosed in the Registrant's filings under the Securities
Exchange Act of 1934 and the Investment Company Act of 1940 is recorded,
processed, summarized and reported within the periods specified in the rules and
forms of the Securities and Exchange Commission. Such information is accumulated
and communicated to the Registrant's management, including its principal
executive officer and principal financial officer, as appropriate, to allow
timely decisions regarding required disclosure. The Registrant's management,
including the principal executive officer and the principal financial officer,
recognizes that any set of controls and procedures, no matter how well designed
and operated, can provide only reasonable assurance of achieving the desired
control objectives.

Within 90 days prior to the filing date of this Shareholder Report on Form
N-CSR, the Registrant had carried out an evaluation, under the supervision and
with the participation of the Registrant's management, including the
Registrant's principal executive officer and the Registrant's principal
financial officer, of the effectiveness of the design and operation of the
Registrant's disclosure controls and procedures. Based on such evaluation, the
Registrant's principal executive officer and principal financial officer
concluded that the Registrant's disclosure controls and procedures are
effective.

(B) CHANGES IN INTERNAL CONTROLS. There have been no significant changes in the
Registrant's internal controls or in other factors that could significantly
affect the internal controls subsequent to the date of their evaluation in
connection with the preparation of this Shareholder Report on Form N-CSR.

ITEM 10. EXHIBITS.
(A) N/A

(B)(1) CERTIFICATIONS PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002
OF JIMMY D. GAMBILL, CHIEF EXECUTIVE OFFICER - FINANCE AND ADMINISTRATION, AND
KIMBERLEY H. MONASTERIO, CHIEF FINANCIAL OFFICER

(B(2) CERTIFICATIONS PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
OF JIMMY D. GAMBILL, CHIEF EXECUTIVE OFFICER - FINANCE AND ADMINISTRATION, AND
KIMBERLEY H. MONASTERIO, CHIEF FINANCIAL OFFICER

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.

THE MONEY MARKET PORTFOLIOS

By /s/Jimmy D. Gambill
Chief Executive Officer - Finance and Administration
Date August 30, 2003

Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

By /s/Jimmy D. Gambill
Chief Executive Officer - Finance and Administration
Date August 30, 2003

By /s/Kimberley H. Monasterio
Chief Financial Officer
Date August 30, 2003