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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM N-CSR
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CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-3807
SunAmerica Money Market Funds, Inc.
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(Exact name of registrant as specified in charter)
Harborside Financial Center, 3200 Plaza 5 Jersey City, NJ 07311
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(Address of principal executive offices) (Zip code)
John T. Genoy
Senior Vice President
SunAmerica Asset Management Corp.
Harborside Financial Center,
3200 Plaza 5
Jersey City, NJ 07311
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(Name and address of agent for service)
Registrant's telephone number, including area code: (201) 324-6414
Date of fiscal year end: December 31
Date of reporting period: June 30, 2010
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Item 1. Reports to Stockholders
[PHOTO]
SEMI-ANNUAL REPORT 2010
SUNAMERICA
Money Market Funds
[LOGO]
JUNE 30, 2010 SEMI-ANNUAL REPORT
SUNAMERICA MONEY MARKET FUNDS, INC.
SUNAMERICA MONEY MARKET FUND (SMAXX)
SUNAMERICA MUNICIPAL MONEY MARKET FUND (NMAXX)
TABLE OF CONTENTS
SHAREHOLDERS' LETTER........................................ 1
EXPENSE EXAMPLE............................................. 2
STATEMENT OF ASSETS AND LIABILITIES......................... 4
STATEMENT OF OPERATIONS..................................... 5
STATEMENT OF CHANGES IN NET ASSETS.......................... 6
FINANCIAL HIGHLIGHTS........................................ 7
PORTFOLIO OF INVESTMENTS.................................... 9
NOTES TO FINANCIAL STATEMENTS............................... 17
JUNE 30, 2010 SEMI-ANNUAL REPORT
SHAREHOLDERS' LETTER -- (unaudited)
Dear Shareholders,
We are pleased to present the semi-annual shareholder report for the SunAmerica
Money Market Fund and the SunAmerica Municipal Money Market Fund for the
six-month period ended June 30, 2010.
During the period, the Securities and Exchange Commission adopted amendments to
certain rules that govern money market funds. In particular, the amendments
require money market funds to maintain a portion of their portfolio in
instruments that can be readily converted into cash, reduce the maximum
weighted average maturity of portfolio holdings and improve the quality of
portfolio securities. The amendments are designed to make money market funds
more resilient to short-term market risks.
Interest rates remain at historically low levels (the Federal Funds Rate has
maintained at 0.00 - 0.25%) due to a combination of high unemployment levels
and slow economic growth. It appears that economic conditions, including low
rates of resource utilization, subdued inflation trends and stable inflation
expectations, are likely to warrant exceptionally low levels of the Federal
Funds Rate for an extended period.
Yields on money market securities remained range bound throughout the period,
with 1-month CDs yielding approximately 0.25% in the first calendar quarter of
2010 and 0.30% in the second. The tax-exempt market also remains in a low yield
environment, though yields steadily rose through the semi-annual period, from
0.15% at the beginning of 2010 to 0.32% midway through June, as measured by the
Securities Industry and Financial Markets Association (SIFMA) Index, a proxy
for weekly tax-exempt rates.
Though the markets have posed challenges, we remain diligent in the management
of your assets and thank you for your continued investment in our Funds. As
always, you may contact your financial adviser or visit www.sunamericafunds.com
for more information about any of our mutual funds.
Sincerely,
/s/ Peter A. Harbeck
Peter A. Harbeck
President & CEO
SunAmerica Asset Management Corp.
- --------
Past performance is no guarantee of future results.
An investment in the Fund is not insured or guaranteed by the Federal Deposit
Insurance Corporation (FDIC) or any other government agency. Although the Fund
seeks to preserve the value of your investment at $1.00 per share, it is
possible to lose money by investing in the Fund.
1
SUNAMERICA MONEY MARKET FUNDS, INC.
EXPENSE EXAMPLE -- JUNE 30, 2010 -- (UNAUDITED)
DISCLOSURE OF PORTFOLIO EXPENSES IN SHAREHOLDER REPORTS
As a shareholder of a Fund in the SunAmerica Money Market Funds, Inc., you may
incur two types of costs: (1) transaction costs, including contingent deferred
sales charges, small account fees and administrative fees and (2) ongoing
costs, including management fees, distribution and service fees, and other Fund
expenses. This Example set forth below is 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. The Example is based
on an investment of $1,000 invested at January 1, 2010 and held until June 30,
2010.
ACTUAL EXPENSES
The "Actual" section of the table provides information about actual account
values and actual expenses. You may use the information in these columns,
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 in the column under the heading entitled "Expenses Paid During the Six
Months Ended June 30, 2010" to estimate the expenses you paid on your account
during this period. For shareholder accounts in classes other than Class I, the
"Expenses Paid During the Six Months Ended December 31, 2009" column does not
include small account fees that may be charged if your account balance is below
$500 ($250 for retirement plan accounts). In addition, the "Expenses Paid
During the Six Months Ended June 30, 2010" column does not include
administrative fees that may apply to qualified retirement plan accounts. See
the Funds' prospectus, your retirement plan documents and/or materials from
your financial adviser for a full description of these fees. Had these fees
been included, the "Expenses Paid During the Six Months Ended June 30, 2010"
column would have been higher and the "Ending Account Value" would have been
lower.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" section of the table provides information about hypothetical
account values and hypothetical expenses based on the Fund's actual expense
ratio and an assumed rate of return of 5% per year before expenses, which is
not the Fund's actual return. The hypothetical account values and expenses may
not be used to estimate the actual ending account balance or expenses you paid
for the period. You may use this information to compare the ongoing costs of
investing in the Portfolios and other funds. To do so, compare this 5%
hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of other funds. For shareholder accounts in classes other
than Class I, the "Expenses Paid During the Six Months Ended June 30, 2010"
column does not include small account fees that may be charged if your account
balance is below $500 ($250 for retirement plan accounts). In addition, the
"Expenses Paid During the Six Months Ended June 30, 2010" column does not
include administrative fees that may apply to qualified retirement plan
accounts. See the Funds' prospectus, your retirement plan documents and/or
materials from your financial adviser for a full description of these fees. Had
these fees been included, the "Expenses Paid During the Six Months Ended June
30, 2010" column would have been higher and the "Ending Account Value" would
have been lower.
Please note that the expenses shown in the table are meant to highlight your
ongoing costs only and do not reflect any transaction costs, including
contingent deferred sales charges, small account fees and administrative fees,
if applicable to your account. Please refer to the Fund's prospectus, qualified
retirement plan document and/or materials from your financial adviser for more
information. Therefore, the "Hypothetical" example is useful in comparing
ongoing costs only, and will not help you determine the relative total costs of
owning different funds. In addition, if these transaction costs and other fees
were included, your costs would have been higher.
2
SUNAMERICA MONEY MARKET FUNDS, INC.
EXPENSE EXAMPLE -- JUNE 30, 2010 -- (UNAUDITED) (CONTINUED)
ACTUAL HYPOTHETICAL
---------------------------------------------------- -----------------------------------------------------
ENDING ACCOUNT
ENDING ACCOUNT EXPENSES PAID VALUE USING EXPENSES PAID
BEGINNING VALUE USING DURING THE BEGINNING A HYPOTHETICAL 5% DURING THE
ACCOUNT VALUE ACTUAL RETURNS SIX MONTHS ENDED ACCOUNT VALUE ASSUMED RETURN SIX MONTHS ENDED
FUND# AT JANUARY 1, 2010 AT JUNE 30, 2010 JUNE 30, 2010* AT JANUARY 1, 2010 AT JUNE 30, 2010 JUNE 30, 2010*
- ----- ------------------ ---------------- ---------------- ------------------ ----------------- ----------------
Money Market
Class A..... $1,000.00 $1,000.05 $1.64 $1,000.00 $1,023.16 $1.66
Class I..... $1,000.00 $1,000.05 $1.59 $1,000.00 $1,023.21 $1.61
Municipal
Money Market
Class A..... $1,000.00 $1,000.05 $1.39 $1,000.00 $1,023.41 $1.40
EXPENSE
RATIO AS OF
FUND# JUNE 30, 2010*
- ----- --------------
Money Market
Class A..... 0.33%
Class I..... 0.32%
Municipal
Money Market
Class A..... 0.28%
- --------
* Expenses are equal to the Fund's annualized expense ratio multiplied by the
average account value over the period, multiplied by 181 days divided by 365
days. These ratios do not reflect transaction costs, including contingent
deferred sales charges, small account fees and administrative fees, if
applicable to your account. Please refer to your Prospectus, your qualified
retirement plan document and/or materials from your financial adviser for
more information.
# During the stated period, the investment adviser and distributor either
waived a portion of or all of the fees and assumed a portion of or all
expenses for the Funds. As a result, if these fees and expenses had not been
waived, the "Actual/Hypothetical Ending Account Value" would have been lower
and the "Actual/Hypothetical Expenses Paid During the Six Months Ended June
30, 2010" and the "Expense Ratios" would have been higher.
3
SUNAMERICA MONEY MARKET FUNDS, INC.
STATEMENT OF ASSETS AND LIABILITIES -- JUNE 30, 2010 -- (UNAUDITED)
MONEY MARKET MUNICIPAL MONEY
FUND MARKET FUND
------------ ---------------
ASSETS:
Investments at value* (unaffiliated)............................... $684,458,151 $89,015,541
Repurchase agreements (cost approximates value).................... 45,610,000 --
------------ -----------
Total investments................................................ $730,068,151 $89,015,541
------------ -----------
Cash............................................................... 996 --
Receivable for:
Fund shares sold................................................. 140,227 --
Dividends and interest........................................... 194,050 165,537
Prepaid expenses and other assets.................................. 9,242 4,493
Due from investment adviser for expense reimbursements/fee waivers. 299,508 22,881
Due from distributor for fee waivers............................... 90,212 11,188
------------ -----------
Total assets..................................................... 730,802,386 89,219,640
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LIABILITIES:
Payable for:
Fund shares redeemed............................................. 324,992 10,100
Investment advisory and management fees.......................... 301,464 26,106
Distribution and service maintenance fees........................ 90,212 11,191
Transfer agent fees and expenses................................. 163,864 20,977
Directors' fees and expenses..................................... 31,068 4,798
Other accrued expenses........................................... 132,753 50,894
Dividends payable.................................................. 17,095 2,030
Due to custodian................................................... -- 266,238
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Total liabilities................................................ 1,061,448 392,334
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Net Assets...................................................... $729,740,938 $88,827,306
============ ===========
NET ASSETS REPRESENTED BY:
Common stock, $.001 par value (10 billion shares authorized)....... $ 730,906 $ 88,827
Paid-in capital.................................................... 730,079,641 88,747,520
------------ -----------
730,810,547 88,836,347
Accumulated undistributed net investment income (loss)............. 141,607 15,461
Accumulated realized gain (loss) on investments.................... (1,211,216) (24,502)
------------ -----------
Net assets...................................................... $729,740,938 $88,827,306
============ ===========
CLASS A:
Net assets......................................................... $713,219,637 $88,827,306
Shares outstanding................................................. 714,380,486 $88,826,541
Net asset value and redemption price per share
(excluding any applicable contingent deferred sales charge)....... $ 1.00 $ 1.00
============ ===========
CLASS I:
Net assets......................................................... $ 16,521,301 $ --
Shares outstanding................................................. 16,525,051 --
Net asset value and redemption price per share..................... $ 1.00 $ --
============ ===========
*Amortized cost of investment securities (unaffiliated)............ $684,458,151 $89,015,541
============ ===========
See Notes to Financial Statements
4
SUNAMERICA MONEY MARKET FUNDS, INC.
STATEMENT OF OPERATIONS -- FOR THE SIX MONTHS ENDED JUNE 30, 2010 --
(UNAUDITED)
MONEY MARKET MUNICIPAL MONEY
FUND MARKET FUND
------------ ---------------
INVESTMENT INCOME:
Interest (unaffiliated).............................................................. $ 1,271,537 $ 135,378
Dividends (unaffiliated)............................................................. 20 --
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Total investment income........................................................... 1,271,557 135,378
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EXPENSES:
Investment advisory and management fees.............................................. 1,850,107 164,461
Distribution and service maintenance fees
Class A............................................................................ 554,219 70,483
Transfer agent fees and expenses
Class A............................................................................ 846,264 105,186
Class I............................................................................ 21,326 --
Registration fees....................................................................
Class A............................................................................ 3,958 1,160
Class I............................................................................ 1,640 --
Custodian and accounting fees........................................................ 54,147 11,121
Reports to shareholders.............................................................. 41,353 3,213
Audit and tax fees................................................................... 20,343 19,302
Legal fees........................................................................... 16,003 10,478
Directors' fees and expenses......................................................... 44,912 2,186
Other expenses....................................................................... 11,013 4,578
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Total expenses before fee waivers, expense reimbursements and custody credits..... 3,465,285 392,168
Fees waived and expenses reimbursed by investment adviser & distributor (Note 3).. (2,231,485) (261,408)
Custody credits earned on cash balances........................................... (90) (83)
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Net expenses...................................................................... 1,233,710 130,677
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Net investment income (loss)......................................................... 37,847 4,701
----------- ---------
Net realized gain (loss) on investments........................................... 7,208 --
Net increase from payment by affiliate (Note 3)................................... 1,050,000 --
----------- ---------
Net realized gain (loss) on investments.............................................. 1,057,208 --
----------- ---------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS...................... $ 1,095,055 $ 4,701
=========== =========
See Notes to Financial Statements
5
SUNAMERICA MONEY MARKET FUNDS, INC.
STATEMENT OF CHANGES IN NET ASSETS
MONEY MARKET FUND
----------------------------
FOR THE
SIX MONTHS
ENDED FOR THE YEAR
JUNE 30, ENDED
2010 DECEMBER 31,
(UNAUDITED) 2009
------------ --------------
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net investment income (loss)........................................................... $ 37,847 $ 1,270,232
Net realized gain (loss) on investments................................................ 1,057,208 2,653,431
------------ --------------
Net increase (decrease) in net assets resulting from operations.......................... $ 1,095,055 $ 3,923,663
------------ --------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income (Class A)........................................................ (37,040) (1,229,487)
Net investment income (Class B)........................................................ -- (2,328)
Net investment income (Class C)........................................................ -- (4,524)
Net investment income (Class I)........................................................ (861) (33,086)
------------ --------------
Total distributions to shareholders...................................................... (37,901) (1,269,425)
------------ --------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS (NOTE 5). (46,540,835) (303,962,472)
------------ --------------
TOTAL INCREASE (DECREASE) IN NET ASSETS.................................................. (45,483,681) (301,308,234)
============ ==============
NET ASSETS:
Beginning of period...................................................................... 775,224,619 1,076,532,853
------------ --------------
End of period*........................................................................... $729,740,938 $ 775,224,619
============ ==============
*Includes accumulated undistributed net investment income (loss)......................... $ 141,607 $ 141,661
============ ==============
MUNICIPAL MONEY
MARKET FUND
--------------------------
FOR THE
SIX MONTHS
ENDED FOR THE YEAR
JUNE 30, ENDED
2010 DECEMBER 31,
(UNAUDITED) 2009
------------ ------------
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS:
Net investment income (loss)........................................................... $ 4,701 $ 33,173
Net realized gain (loss) on investments................................................ -- 8
------------ ------------
Net increase (decrease) in net assets resulting from operations.......................... $ 4,701 $ 33,181
------------ ------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income (Class A)........................................................ (4,699) (33,173)
Net investment income (Class B)........................................................ -- --
Net investment income (Class C)........................................................ -- --
Net investment income (Class I)........................................................ -- --
------------ ------------
Total distributions to shareholders...................................................... (4,699) (33,173)
------------ ------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE TRANSACTIONS (NOTE 5). (21,703,914) (77,551,485)
------------ ------------
TOTAL INCREASE (DECREASE) IN NET ASSETS.................................................. (21,703,912) (77,551,477)
============ ============
NET ASSETS:
Beginning of period...................................................................... 110,531,218 188,082,695
------------ ------------
End of period*........................................................................... $ 88,827,306 $110,531,218
============ ============
*Includes accumulated undistributed net investment income (loss)......................... $ 15,461 $ 15,459
============ ============
See Notes to Financial Statements
6
SUNAMERICA MONEY MARKET FUNDS, INC.
FINANCIAL HIGHLIGHTS
MONEY MARKET FUND
-----------------
NET NET RATIO OF NET
ASSET DIVIDENDS ASSET NET ASSETS RATIO OF INVESTMENT
VALUE NET FROM NET VALUE END OF EXPENSES INCOME TO
BEGINNING INVESTMENT INVESTMENT END OF TOTAL PERIOD TO AVERAGE AVERAGE
PERIOD ENDED OF PERIOD INCOME(1) INCOME PERIOD RETURN(2) (000'S) NET ASSETS NET ASSETS
- ------------ --------- ---------- ---------- ------ --------- ---------- ---------- ------------
CLASS A
-------
12/31/05 $1.00 $0.02 $(0.02) $1.00 2.38% $1,587,641 0.89% 2.35%
12/31/06 1.00 0.04 (0.04) 1.00 4.22 1,711,783 0.89 4.14
12/31/07 1.00 0.04 (0.04) 1.00 4.32 1,182,789 0.90 4.27
12/31/08 1.00 0.02 (0.02) 1.00 1.84(4) 995,968 0.94 1.86
12/31/09 1.00 0.00 (0.00) 1.00 0.12(5) 760,577 0.78(3) 0.14(3)
06/30/10(7) 1.00 0.00 (0.00) 1.00 0.00(6) 713,220 0.33(3)(8) 0.01(3)(8)
CLASS I
-------
12/31/05 $1.00 $0.03 $(0.03) $1.00 2.49% $ 13,708 0.80%(3) 2.49%(3)
12/31/06 1.00 0.04 (0.04) 1.00 4.31 18,057 0.80(3) 4.26(3)
12/31/07 1.00 0.04 (0.04) 1.00 4.43 18,543 0.80(3) 4.32(3)
12/31/08 1.00 0.02 (0.02) 1.00 1.98(4) 16,998 0.80(3) 1.97(3)
12/31/09 1.00 0.00 (0.00) 1.00 0.20(5) 14,648 0.69(3) 0.21(3)
06/30/10(7) 1.00 0.00 (0.00) 1.00 0.00(6) 16,521 0.32(3)(8) 0.01(3)(8)
- --------
(1) Calculated based upon average shares outstanding.
(2) Total return is not annualized and does not reflect sales load but does
include expense reimbursements.
(3) Net of the following expense reimbursements/waivers (based on average net
assets):
12/31/05 12/31/06 12/31/07 12/31/08 12/31/09 06/30/10(7)(8)
-------- -------- -------- -------- -------- --------------
Class A............. -- % -- % -- % -- % 0.21% 0.59%
Class I............. 0.05 0.05 0.04 0.18 0.34 0.48
(4) Total return includes the effect of payments by an affiliate. Without these
payments, the total return would have been 0.82% for Class A shares and
0.96% for Class I shares.
(5) Total return includes the effect of payments by an affiliate. Without these
payments, the total return would have been (0.88)% for Class A shares and
remained unchanged for Class I shares. (Note 3)
(6) The Fund's performance figure was increased by less than 0.01% from the
effect of payments by an affiliate (Note 3)
(7) Unaudited
(8) Annualized
See Notes to Financial Statements
7
SUNAMERICA MONEY MARKET FUNDS, INC.
FINANCIAL HIGHLIGHTS -- (CONTINUED)
MUNICIPAL MONEY MARKET FUND
---------------------------
NET NET NET RATIO OF NET
ASSET DIVIDENDS ASSET ASSETS RATIO OF INVESTMENT
VALUE NET FROM NET VALUE END OF EXPENSES INCOME TO
BEGINNING INVESTMENT INVESTMENT END OF TOTAL PERIOD TO AVERAGE AVERAGE
PERIOD ENDED OF PERIOD INCOME(1) INCOME PERIOD RETURN(2) (000'S) NET ASSETS NET ASSETS
- ------------ --------- ---------- ---------- ------ --------- -------- ---------- ------------
CLASS A
-------
12/31/05 $1.00 $0.02 $(0.02) $1.00 1.62% $ 84,817 0.81%(3) 1.58%(3)
12/31/06 1.00 0.03 (0.03) 1.00 2.69 101,083 0.78 2.68
12/31/07 1.00 0.03 (0.03) 1.00 2.84 153,906 0.83(3) 2.80(3)
12/31/08 1.00 0.02 (0.02) 1.00 1.53 188,083 0.83(3) 1.45(3)
12/31/09 1.00 0.00 (0.00) 1.00 0.02 110,531 0.52(3) 0.02(3)
06/30/10(4) 1.00 0.00 (0.00) 1.00 0.00 88,827 0.28(3)(5) 0.01(3)(5)
- --------
(1) Calculated based upon average shares outstanding.
(2) Total return is not annualized and does not reflect sales load but does
include expense reimbursements.
(3) Net of the following expense reimbursements/waivers (based on average net
assets):
12/31/05 12/31/06 12/31/07 12/31/08 12/31/09 06/30/10(4)(5)
-------- -------- -------- -------- -------- --------------
Class A............. 0.04% -- % 0.01% 0.01% 0.32% 0.56%
(4) Unaudited
(5) Annualized
See Notes to Financial Statements
8
SUNAMERICA MONEY MARKET FUND
PORTFOLIO PROFILE -- JUNE 30, 2010 -- (UNAUDITED)
INDUSTRY ALLOCATION*
U.S. Government Agencies.......... 62.2%
Foreign Banks..................... 8.8
U.S. Government Securities........ 6.8
Repurchase Agreement.............. 6.3
Time Deposit...................... 4.8
Commercial Banks-Canadian......... 3.4
Money Center Banks................ 2.6
Domestic Banks.................... 1.8
Super--Regional Banks-US.......... 1.7
Finance........................... 1.6
-----
100.0%
=====
Weighted average days to maturity. 56.1
CREDIT QUALITY ALLOCATION @#
A-1.......................... 99.8%
Not Rated+................... 0.2
-----
100.0%
=====
- --------
* Calculated as a percentage of net assets
@ Source: Standard and Poor's
# Calculated as a percentage of total debt issues
+ Represents debt issues that have either no rating or the rating is
unavailable from the data source.
9
SUNAMERICA MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS -- JUNE 30, 2010 -- (UNAUDITED)
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
SHORT-TERM INVESTMENT SECURITIES -- 93.8%
CERTIFICATES OF DEPOSIT -- 12.3%
Barclays Bank PLC
0.75% due 07/07/10+................. $25,750,000 $25,750,000
Credit Agricole Corp.
0.39% due 07/02/10+................. 11,300,000 11,299,997
Nordea Bank Finland PLC
0.28% due 07/16/10.................. 10,910,000 10,909,864
Nordea Bank Finland PLC
0.43% due 08/31/10.................. 5,040,000 5,040,000
Royal Bank of Canada
0.35% due 07/09/10+................. 12,300,000 12,300,000
Royal Bank of Canada
0.35% due 07/23/10+................. 12,500,000 12,500,000
Svenska Handelsbanken NY
0.27% due 07/12/10.................. 2,430,000 2,429,970
Svenska Handelsbanken NY
0.28% due 07/16/10.................. 9,360,000 9,359,902
-----------
TOTAL CERTIFICATES OF DEPOSIT
(amortized cost $89,589,733)....... 89,589,733
-----------
MEDIUM TERM NOTES -- 7.0%
Bank of America NA
0.38% due 07/22/10+................. 12,300,000 12,300,000
General Electric Capital Corp.
0.35% due 07/06/10+................. 1,050,000 1,050,180
General Electric Capital Corp.
FDIC Guar. Notes
1.17% due 09/09/10+................. 10,400,000 10,438,682
J.P. Morgan Chase & Co.
0.86% due 09/24/10+................. 14,000,000 14,011,424
Wachovia Bank NA
0.61% due 09/02/10+................. 7,050,000 7,048,220
Wells Fargo & Co.
0.68% due 08/20/10+................. 6,000,000 6,001,241
-----------
TOTAL MEDIUM TERM NOTES
(amortized cost $50,849,747)....... 50,849,747
-----------
TIME DEPOSITS -- 4.8%
Euro Time Deposit with State Street
Bank & Trust Co.
0.01% due 07/01/10
(amortized cost $34,810,000)........ 34,810,000 34,810,000
-----------
U.S. CORPORATE BONDS & NOTES -- 0.7%
J.P. Morgan Chase & Co.
FDIC Guar. Notes
0.56% due 08/23/10+
(amortized cost $5,000,000)......... 5,000,000 5,000,000
-----------
U.S. GOVERNMENT AGENCIES -- 62.2%
Agency for International Development
Panama
0.65% due 07/01/10+................. 1,375,656 1,377,933
Federal Farm Credit Bank
0.35% due 07/27/10+................ 13,000,000 12,999,333
2.25% due 07/01/10................. 280,000 280,000
4.45% due 08/27/10................. 290,000 291,614
Federal Home Loan Bank
0.16% due 09/17/10................. 2,480,000 2,479,140
0.17% due 09/24/10................. 9,960,000 9,956,002
0.18% due 07/28/10................. 9,700,000 9,698,691
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
U.S. GOVERNMENT AGENCIES (CONTINUED)
0.19% due 07/28/10............................ $ 6,350,000 $ 6,349,095
0.19% due 08/06/10............................ 5,890,000 5,888,881
0.20% due 07/13/10+........................... 35,000,000 34,999,762
0.20% due 08/20/10............................ 4,880,000 4,878,644
0.20% due 09/03/10............................ 12,480,000 12,475,563
0.22% due 09/06/10+........................... 9,700,000 9,697,488
0.25% due 07/08/10+........................... 28,000,000 28,000,374
0.25% due 12/27/10............................ 12,470,000 12,454,499
0.25% due 12/28/10............................ 7,460,000 7,459,470
0.27% due 10/29/10............................ 7,400,000 7,399,127
0.28% due 12/15/10............................ 10,020,000 10,006,985
0.39% due 02/25/11............................ 4,860,000 4,847,417
0.41% due 03/17/11............................ 7,560,000 7,537,700
0.50% due 10/19/10............................ 25,500,000 25,498,785
0.55% due 07/15/10............................ 635,000 634,952
0.61% due 05/26/11............................ 4,900,000 4,900,000
Federal Home Loan Mtg. Corp.
0.19% due 07/12/10+........................... 12,000,000 11,999,994
0.19% due 07/13/10............................ 12,300,000 12,299,221
0.20% due 07/23/10............................ 7,300,000 7,299,108
0.20% due 08/16/10............................ 9,740,000 9,737,573
0.20% due 08/17/10............................ 7,500,000 7,498,042
0.21% due 09/08/10............................ 4,880,000 4,878,036
0.23% due 09/30/10............................ 12,170,000 12,162,924
0.24% due 08/31/10............................ 12,700,000 12,694,835
0.28% due 10/26/10............................ 9,500,000 9,491,509
0.32% due 09/14/10............................ 3,612,000 3,609,592
0.34% due 07/07/10+........................... 13,500,000 13,498,964
Federal National Mtg. Assoc.
0.18% due 09/22/10............................ 12,440,000 12,434,837
0.19% due 07/13/10+........................... 32,000,000 31,999,987
0.19% due 07/19/10............................ 12,000,000 11,998,860
0.20% due 11/15/10............................ 8,500,000 8,493,531
0.21% due 08/02/10............................ 12,000,000 11,997,760
0.21% due 08/04/10............................ 12,600,000 12,597,501
0.24% due 12/08/10............................ 2,510,000 2,507,323
0.25% due 09/20/10............................ 9,680,000 9,674,555
0.25% due 10/20/10............................ 12,480,000 12,470,380
0.30% due 08/05/10+........................... 13,500,000 13,499,847
4.30% due 08/18/10............................ 520,000 522,349
4.38% due 09/13/10............................ 770,000 775,352
------------
TOTAL U.S. GOVERNMENT AGENCIES
(amortized cost $454,253,535)................. 454,253,535
------------
U.S. GOVERNMENT TREASURIES -- 6.8%
United States Treasury Bills
0.17% due 08/26/10............................ 18,150,000 18,145,200
0.18% due 12/23/10............................ 7,500,000 7,493,438
0.22% due 11/26/10............................ 12,170,000 12,158,993
0.22% due 12/16/10............................ 12,170,000 12,157,505
------------
TOTAL U.S. GOVERNMENT TREASURIES
(amortized cost $49,955,136).................. 49,955,136
------------
TOTAL SHORT-TERM INVESTMENT SECURITIES -- 93.8%
(amortized cost $684,458,151)................. 684,458,151
------------
REPURCHASE AGREEMENT -- 6.2%
UBS Securities LLC Joint Repurchase
Agreement(1)
(amortized cost $45,610,000).................. 45,610,000 45,610,000
------------
10
SUNAMERICA MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS -- JUNE 30, 2010 -- (UNAUDITED) (CONTINUED)
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
TOTAL INVESTMENTS
(amortized cost $730,068,151)(2).... 100.0% $730,068,151
LIABILITIES IN EXCESS OF OTHER ASSETS. 0.0 (327,213)
----- ------------
NET ASSETS............................ 100.0% $729,740,938
===== ============
- --------
+ Variable Rate Security - the rate reflected is as of June 30, 2010,
maturity date reflects next reset date.
(1) See Note 2 for details of Joint Repurchase Agreements.
(2) At June 30, 2010, the cost of securities for federal income tax purposes
was the same for book purposes.
FDIC --Federal Deposit Insurance Corp.
The following is a summary of the inputs used to value the Fund's net assets as
of June 30, 2010 (see Note 2):
LEVEL 1--UNADJUSTED LEVEL 2--OTHER LEVEL 3--SIGNIFICANT
QUOTED PRICES OBSERVABLE INPUTS UNOBSERVABLE INPUTS TOTAL
------------------- ----------------- -------------------- ------------
Short-Term Investment Securities:
Certificates of Deposit......... $-- $ 89,589,733 $-- $ 89,589,733
Medium Term Notes............... -- 50,849,747 -- 50,849,747
Time Deposit.................... -- 34,810,000 -- 34,810,000
U.S. Corporate Bonds & Notes.... -- 5,000,000 -- 5,000,000
U.S. Government Agencies........ -- 454,253,535 -- 454,253,535
U.S. Government Treasuries...... -- 49,955,136 -- 49,955,136
Repurchase Agreement.............. -- 45,610,000 -- 45,610,000
--- ------------ --- ------------
TOTAL............................. $-- $730,068,151 $-- $730,068,151
=== ============ === ============
See Notes to Financial Statements
11
SUNAMERICA MUNICIPAL MONEY MARKET FUND
PORTFOLIO PROFILE -- JUNE 30, 2010 -- (UNAUDITED)
ALLOCATION BY STATES*
New York.......................... 10.7%
Michigan.......................... 9.0
Kentucky.......................... 7.4
Colorado.......................... 7.2
California........................ 6.9
Virginia.......................... 6.3
Illinois.......................... 5.5
New Jersey........................ 4.7
Massachusetts..................... 4.0
District of Columbia.............. 4.0
Ohio.............................. 3.3
North Dakota...................... 3.2
North Carolina.................... 2.5
Pennsylvania...................... 2.5
Washington........................ 2.3
Arizona........................... 2.0
South Dakota...................... 1.9
Maine............................. 1.9
Florida........................... 1.8
Utah.............................. 1.8
Iowa.............................. 1.7
Indiana........................... 1.6
Connecticut....................... 1.5
Oregon............................ 1.2
Texas............................. 1.2
Wyoming........................... 1.2
New Mexico........................ 1.1
Idaho............................. 1.0
Kansas............................ 0.6
Maryland.......................... 0.1
Wisconsin......................... 0.1
-----
100.2%
=====
Weighted average days to maturity. 7.02
CREDIT QUALITY ALLOCATION@#
A-1......................... 67.2%
SP-1........................ 2.8
Not Rated+.................. 30.0
-----
100.0%
=====
- --------
* Calculated as a percentage of net assets.
@ Source: Standard and Poor's
# Calculated as percentage of total debt issues
+ Represent debt issues that either have no rating, or the rating is
unavailable from the data source.
12
SUNAMERICA MUNICIPAL MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS -- JUNE 30, 2010 -- (UNAUDITED)
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
SHORT-TERM INVESTMENT SECURITIES -- 100.2%
ARIZONA -- 2.0%
Maricopa County, Arizona Industrial
Development Authority
(LOC-Harris Trust & Savings Bank)
0.47% due 07/01/10+........................... $ 460,000 $ 460,000
Maricopa County, Arizona Industrial
Development Authority Multi Family Housing
Series A
(LOC-Wells Fargo Bank N.A.)
0.47% due 07/01/10+........................... 1,350,000 1,350,000
----------
1,810,000
----------
CALIFORNIA -- 6.9%
Big Bear Lake, California Industrial
Series A
(LOC-KBC Bank N.V.)
0.24% due 07/07/10+........................... 2,000,000 2,000,000
California State Department of Water
Resources Supply
Series C-11
(LOC-KBC Bank NV & Bank of Nova Scotia)
0.28% due 07/01/10+........................... 600,000 600,000
Metropolitan Water District of Southern
California
Series B-3
0.15% due 07/01/10+........................... 1,100,000 1,100,000
Sacramento County, California Santa Anna
District Authority
Series D
(LOC-Bank of America N.A.)
0.17% due 07/01/10+........................... 850,000 850,000
San Bernardino County, California Improvement
Project
(LOC-BNP Paribas)
0.26% due 07/01/10+........................... 1,300,000 1,300,000
San Jose, California Redevelopment Agency
Series B
(LOC-JP Morgan Chase Bank)
0.17% due 07/07/10+........................... 250,000 250,000
----------
6,100,000
----------
COLORADO -- 7.2%
Colorado Educational & Cultural Facilities
Authorities
(LOC-JP Morgan Chase Bank)
0.15% due 07/01/10+........................... 1,000,000 1,000,000
Colorado Housing & Finance Authority
Series I-B2
0.25% due 07/07/10+........................... 1,440,000 1,440,000
Colorado Housing & Finance Authority
Series I-B3
0.25% due 07/07/10+........................... 335,000 335,000
Colorado Springs, Colorado Utilities
Series A
0.25% due 07/01/10+........................... 3,630,000 3,630,000
----------
6,405,000
----------
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------------
CONNECTICUT -- 1.5%
Connecticut State Housing Finance Authority
Series A-1
0.16% due 07/01/10+................................. $1,325,000 $1,325,000
----------
DISTRICT OF COLUMBIA -- 4.0%
Metropolitan Washington, D.C. Airports
Authority System
Series A-2
0.59% due 07/01/10+................................. 3,500,000 3,500,000
----------
FLORIDA -- 1.8%
Collier County, Florida Health Facilities Authority
(LOC-Wells Fargo Bank N.A.)
0.23% due 07/07/10+................................. 350,000 350,000
Liberty County, Florida Industrial Development
(LOC-Bank of America N.A.)
0.35% due 07/01/10+................................. 1,250,000 1,250,000
----------
1,600,000
----------
IDAHO -- 1.0%
Idaho Health Facilities Authority
0.23% due 07/01/10+................................. 865,000 865,000
----------
ILLINOIS -- 5.5%
Chicago, Illinois O'Hare International Airport
Series B
(LOC-Societe Generale)
0.31% due 07/07/10+................................. 670,000 670,000
Illinois Finance Authority
Series E
0.26% due 07/07/10+................................. 695,000 695,000
Jackson-Union Counties, Illinois Regional Port
District
(LOC-Wachovia Bank N.A.)
0.22% due 07/07/10+................................. 3,550,000 3,550,000
----------
4,915,000
----------
INDIANA -- 1.6%
Indiana State Development Finance Authority
(LOC-JP Morgan Chase Bank)
0.14% due 07/01/10+................................. 1,425,500 1,425,000
----------
IOWA -- 1.7%
Iowa Finance Authority Health Facilities
Series E
(LOC-Bank of America N.A.)
0.18% due 07/01/10+................................. 1,500,000 1,500,000
----------
KANSAS -- 0.6%
Kansas State Department of Transportation
Series A-4
0.24% due 07/01/10+................................. 500,000 500,000
----------
KENTUCKY -- 7.4%
Breckinridge County, Kentucky Lease Program
(LOC-U.S. Bank N.A.)
0.22% due 07/07/10+................................. 1,175,000 1,175,000
Breckinridge County, Kentucky Lease Program
Series A
(LOC-U.S. Bank N.A.)
0.22% due 07/07/10+................................. 1,555,000 1,555,000
Kentucky Housing Corp.
Series F
0.30% due 07/07/10+................................. 1,090,000 1,090,000
13
SUNAMERICA MUNICIPAL MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS -- JUNE 30, 2010 -- (UNAUDITED) (CONTINUED)
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
SHORT-TERM INVESTMENT SECURITIES (CONTINUED)
KENTUCKY (CONTINUED)
Kentucky Housing Corp.
Series I
0.30% due 07/07/10+........................... $ 995,000 $ 995,000
Louisville & Jefferson County,
Kentucky Visitors & Convention Commission
Series B
0.16% due 07/01/10+........................... 820,000 820,000
Trimble County Assoc. of Counties Leasing
Trust Lease Program
Series A
(LOC-U.S. Bank N.A.)
0.14% due 07/01/10+........................... 950,000 950,000
----------
6,585,000
----------
MAINE -- 1.9%
Maine State Housing Authority
Series B-3
0.30% due 07/01/10+........................... 1,690,000 1,690,000
----------
MARYLAND -- 0.1%
Maryland Health & Higher Education Facilities
Authority
Series B
0.25% due 07/07/10+........................... 100,000 100,000
----------
MASSACHUSETTS -- 4.0%
Massachusetts State
Series B
0.14% due 07/01/10+........................... 495,000 495,000
Massachusetts State
Series B
0.16% due 07/01/10+........................... 150,000 150,000
Massachusetts State Water Resources
Authority
Series C
0.25% due 07/07/10+........................... 2,935,000 2,935,000
----------
3,580,000
----------
MICHIGAN -- 9.0%
Holt, Michigan Public Schools
0.35% due 07/01/10+........................... 3,220,000 3,220,000
Kent Hospital Finance Authority
Series B
(LOC-Bank of America N.A.)
0.38% due 07/01/10+........................... 2,255,000 2,255,000
Michigan State
Series A
2.00% due 09/30/10............................ 2,500,000 2,509,123
----------
7,984,123
----------
NEW JERSEY -- 4.7%
New Jersey Economic Development Authority
Series R-3
(LOC-Nova Scotia & Lloyds TSB
Bank PLC)
0.14% due 07/01/10+........................... 1,750,000 1,750,000
New Jersey Economic Development Authority
Series V-2
(LOC-Dexia Credit Local)
0.28% due 07/07/10+........................... 2,000,000 2,000,000
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
NEW JERSEY (CONTINUED)
New Jersey State Housing & Mortgage
Finance Agency
Series A
0.27% due 07/01/10+............................ $ 385,000 $ 385,000
----------
4,135,000
----------
NEW MEXICO -- 1.1%
Santa Fe County, New Mexico Education Facility
Series A
(LOC-Allied Irish Bank PLC)
3.20% due 07/01/10+............................ 1,000,000 1,000,000
----------
NEW YORK -- 10.7%
City of New York, New York
Series E-5
(LOC-JP Morgan Chase Bank)
0.18% due 07/01/10+............................ 150,000 150,000
City of New York, New York
Series H-1
(LOC-Dexia Credit Local)
0.17% due 07/01/10+............................ 270,000 270,000
City of New York, New York
Series H-4
(LOC-Bank of New York)
0.15% due 07/01/10+............................ 1,465,000 1,465,000
Metropolitan Transportation Authority
Series D-1
0.33% due 07/01/10+............................ 1,700,000 1,700,000
Metropolitan Transportation Authority
Series G
(LOC-BNP Paribas)
0.14% due 07/01/10+............................ 1,165,000 1,165,000
New York City Municipal Water Finance
Authority & Sewer System
Series B-2
0.13% due 07/01/10+............................ 1,055,000 1,055,000
New York City Municipal
Water Finance Authority Water & Sewer
Series B-4
0.24% due 07/01/10+............................ 1,675,000 1,675,000
New York City Municipal Water Finance
Authority & Sewer System
Series F-2
0.17% due 07/01/10............................. 105,000 105,000
New York City Transitional Finance Authority
Series 2-E
0.35% due 07/07/10+............................ 285,000 285,000
New York City Transitional Finance Authority
Series 3-C
0.35% due 07/07/10+............................ 660,000 660,000
New York City Transitional Finance Authority
Series 3-D
0.35% due 07/07/10+............................ 855,000 855,000
Triborough Bridge & Tunnel Authority
Series AB
0.23% due 07/07/10+............................ 130,000 130,000
----------
9,515,000
----------
14
SUNAMERICA MUNICIPAL MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS -- JUNE 30, 2010 -- (UNAUDITED) (CONTINUED)
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
SHORT-TERM INVESTMENT SECURITIES (CONTINUED)
NORTH CAROLINA -- 2.5%
City of Winston-Salem, North Carolina
Series C
0.30% due 07/01/10+.............................. $1,400,000 $1,400,000
Wilmington, North Carolina General Obligation
0.23% due 07/07/10+.............................. 855,000 855,000
----------
2,255,000
----------
NORTH DAKOTA -- 3.2%
North Dakota State Housing Finance Agency
Series A
0.29% due 07/07/10+.............................. 1,810,000 1,810,000
North Dakota State Housing Finance Agency
Series B
0.29% due 07/07/10+.............................. 1,000,000 1,000,000
----------
2,810,000
----------
OHIO -- 3.3%
Cuyahoga County, Ohio
Series B3
0.13% due 07/01/10+.............................. 1,855,000 1,855,000
Ohio Housing Finance Agency
Series B-1
0.29% due 07/07/10+.............................. 145,000 145,000
Ohio Housing Finance Agency Multi Family
Housing
(LOC-Federal Home Loan Bank)
0.33% due 07/01/10+.............................. 890,000 890,000
----------
2,890,000
----------
OREGON -- 1.2%
Medford, Oregan Hospital Facilities Authority
(LOC-KBC Bank N.V.)
0.15% due 07/01/10+.............................. 1,100,000 1,100,000
----------
PENNSYLVANIA -- 2.5%
Pennsylvania State Higher Educational Facilities
Authority
Series A-7
(LOC-Allied Irish Bank PLC)
3.57% due 07/01/10+.............................. 900,000 900,000
Pittsburgh, Pennsylvania Water & Sewer
Authority
Series B-1
0.30% due 07/01/10+.............................. 1,300,000 1,300,000
----------
2,200,000
----------
SOUTH DAKOTA -- 1.9%
South Dakota Housing Development Authority
Series C-1
0.35% due 07/01/10+.............................. 1,700,000 1,700,000
----------
PRINCIPAL VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
TEXAS -- 1.2%
Texas State Economic Development
Series A-2
0.25% due 07/07/10+....................... $1,100,000 $ 1,100,000
-----------
UTAH -- 1.8%
Utah Housing Corp. Single Family Mortgage
Series A
0.29% due 07/07/10+....................... 1,600,000 1,600,000
-----------
VIRGINIA -- 6.3%
Peninsula Ports Authority, Coal Terminal
Series D
(LOC-U.S. Bank N.A.)
0.15% due 07/01/10+....................... 1,200,000 1,200,000
Virginia State Public Building Authority
Series C
5.00% due 08/01/10........................ 4,380,000 4,397,470
-----------
5,597,470
-----------
WASHINGTON -- 2.3%
Washington State Housing Finance
Commission
(LOC-Bank of America N.A.)
0.28% due 07/01/10+....................... 2,050,000 2,050,000
-----------
WISCONSIN -- 0.1%
Wisconsin Housing & Economic Development
Authority
Series C
0.30% due 07/07/10+....................... 75,000 75,000
-----------
WYOMING -- 1.2%
Sweetwater County, Wyoming Pollution
Control
Series A
(LOC-Barclays Bank PLC)
0.21% due 07/07/10+....................... 1,100,000 1,100,000
-----------
REGISTERED INVESTMENT COMPANY -- 0.0%
SSGA Tax Free Money Market Fund
(amortized cost $3,948)................... 3,948 3,948
-----------
TOTAL INVESTMENTS
(amortized cost $89,015,541)(1)............ 100.2% 89,015,541
LIABILITIES IN EXCESS OF OTHER ASSETS........ (0.2) (188,235)
---------- -----------
NET ASSETS................................... 100.0% $88,827,306
========== ===========
- --------
+ Variable Rate Security - the rate reflected is as of June 30, 2010,
maturity date reflects next reset date.
(1) At June 30, 2010 the cost of securities for federal income tax purposes
was the same for book purposes.
LOC --Letter of Credit
15
SUNAMERICA MUNICIPAL MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS -- JUNE 30, 2010 -- (UNAUDITED) (CONTINUED)
The following is a summary of the inputs used to value the Fund's net assets as
of June 30, 2010 (see Note 2)
LEVEL 1--UNADJUSTED LEVEL 2--OTHER LEVEL 3--SIGNIFICANT
QUOTED PRICES OBSERVABLE INPUTS UNOBSERVABLE INPUTS TOTAL
------------------- ----------------- -------------------- -----------
Short-Term Investment Securities:
California...................... $-- $ 6,100,000 $-- $ 6,100,000
Colorado........................ -- 6,405,000 -- 6,405,000
Illinois........................ -- 4,915,000 -- 4,915,000
Kentucky........................ -- 6,585,000 -- 6,585,000
Michigan........................ -- 7,984,123 -- 7,984,123
New York........................ -- 9,515,000 -- 9,515,000
Virginia........................ -- 5,597,470 -- 5,597,470
Other States*................... -- 41,910,000 -- 41,910,000
Registered Investment Companies. -- 3,948 -- 3,948
--- ----------- --- -----------
TOTAL............................. $-- $89,015,541 $-- $89,015,541
=== =========== === ===========
- --------
* Sum of all other states each of which individually has an aggregate market
value of less than 5% of net assets. For a detailed presentation of
securities by state, please refer to the Portfolio of Investments.
See Notes to Financial Statements
16
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
Note 1. Organization
SunAmerica Money Market Funds, Inc. (the "Corporation") is an open-end
diversified management investment company organized as a Maryland
corporation. The Corporation consists of two investment funds (each, a
"Fund" and collectively, the "Funds"). Each Fund is a separate series with a
distinct investment objective. Each Fund is advised by SunAmerica Asset
Management Corp. ("SunAmerica" or "Adviser"), an indirect wholly-owned
subsidiary of American International Group, Inc. ("AIG"). The investment
objective for each of the Funds is as follows:
THE SUNAMERICA MONEY MARKET FUND ("Money Market Fund") seeks as high a level
of current income as is consistent with liquidity and stability of capital
by investing primarily in high-quality money market instruments selected
principally on the basis of quality and yield.
THE SUNAMERICA MUNICIPAL MONEY MARKET FUND ("Municipal Money Market Fund")
seeks as high a level of current income as is consistent with liquidity and
stability of capital and that is exempt from regular federal income taxation
by investing primarily in high-quality money market instruments selected
primarily on the basis of quality and yield, that are exempt from regular
federal income tax.
The Money Market Fund currently offers two classes of shares: Class A and
Class I. The Municipal Money Market Fund currently offers Class A shares.
These classes within the Funds are presented in the Statement of Assets and
Liabilities. The cost structure for each class is as follows:
Class A shares-- Class A shares are available with no front-end sales
charge. A 1.00% contingent deferred sales charge ("CDSC")
is imposed on certain shares sold within one year of
original purchase and a 0.50% CDSC is imposed on certain
shares sold after the first year and within the second year
after purchase, as described in the Funds' Prospectus.
Class I shares-- Class I shares are offered at net asset value per share
without any sales charge, exclusively to certain
institutions.
Effective June 3, 2009, the Money Market Fund no longer accepted orders to
purchase Class B and Class C shares, including from existing shareholders.
Any outstanding Class B and Class C shares of the Money Market Fund as of
the close of business on June 3, 2009 were converted to Class A shares of
the Money Market Fund.
Each class of shares bears the same voting, dividend, liquidation and other
rights and conditions, except as may otherwise be provided in the Funds'
registration statement. Class A shares of each Fund have their own 12b-1
plan.
INDEMNIFICATIONS: The Corporation's organizational documents provide current
and former officers and directors with a limited indemnification against
liabilities arising out of the performance of their duties to the
Corporation. In addition, pursuant to Indemnification Agreements between the
Corporation and each of the current directors who is not an "interested
person," as defined in Section 2(a)(19) of the Investment Company Act of
1940, as amended (the "1940 Act"), of the Corporation (collectively, the
"Disinterested Directors"), the Corporation provides the Disinterested
Directors with a limited indemnification against liabilities arising out of
the performance of their duties to the Corporation, whether such liabilities
are asserted during or after their service as directors. In addition, in the
normal course of business the Corporation enters into contracts that contain
the obligation to indemnify others. The Corporation's maximum exposure under
these arrangements is unknown. Currently, however, the Corporation expects
the risk of loss to be remote.
17
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
Note 2. Significant Accounting Policies
The preparation of financial statements in accordance with U.S. 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 these estimates and
those differences could be significant. The following is a summary of the
significant accounting policies followed by the Funds in the preparation of
its financial statements:
SECURITY VALUATIONS: Portfolio securities are valued at amortized cost,
which approximates market value. The amortized cost method involves valuing
a security at its cost on the date of purchase and thereafter assuming a
constant amortization/accretion to maturity of any discount or premium. In
accordance with rule 2a-7 under the Investment Company Act of 1940, as
amended (the "1940 Act"), the Corporation's Board of Directors ("Board") has
adopted procedures intended to stabilize the Funds' net asset value per
share at $1.00. These procedures include the determination, at such
intervals as the Board deems appropriate and reasonable in light of current
market conditions, of the extent, if any, to which the Funds' market-based
net asset value per share deviates from the Funds' amortized cost per share.
The calculation of such deviation is referred to as "Shadow Pricing". For
purposes of these market-based valuations, securities for which market
quotations are not readily available are fair valued, as determined pursuant
to procedures adopted in good faith by the Board.
Securities for which market quotations are not readily available or if a
development/significant event occurs that may significantly impact the value
of the security, then these securities are valued, as determined pursuant to
procedures adopted in good faith by the Board. There is no single standard
for making fair value determinations, which may result in market prices that
vary from those of other funds.
The various inputs that may be used to determine the value of the Funds'
investments are summarized into three broad levels listed below:
Level 1-- Unadjusted quoted prices in active markets for identical
securities
Level 2-- Other significant observable inputs (including quoted
prices for similar securities, interest rates, prepayment
speeds, credit risk, referenced indicies, quoted prices in
inactive markets, adjusted quoted prices in active markets,
adjusted quoted prices on foreign equity securities that
were adjusted in accordance with pricing procedures
approved by the Board, etc.)
Level 3-- Significant unobservable inputs (includes inputs that
reflect the Funds' own assumptions about the assumptions
market participants would use in pricing the security,
developed based on the best information available under the
circumstances)
The inputs or methodology used for valuing securities are not necessarily an
indication of the risk associated with investing in those securities.
The summary of the inputs used to value the Funds' net assets as of June 30,
2010 are reported on a schedule following the Portfolio of Investments.
REPURCHASE AGREEMENTS: The Funds, along with other affiliated registered
investment companies, pursuant to procedures adopted by the Board and
applicable guidance from the Securities and Exchange Commission, may
transfer uninvested cash balances into a single joint account, the daily
aggregate balance of which is invested in one or more repurchase agreements
collateralized by U.S. Treasury or federal agency obligations. For
repurchase agreements and joint repurchase agreements, the Funds' custodian
takes possession of the collateral pledged for investments in such
repurchase agreements. The underlying collateral is valued daily on a
mark-to-market basis, plus accrued interest, to ensure that the value, at
the time the agreement is entered into, is equal to at least 102% of the
repurchase price, including accrued interest. In the event of default of the
obligation to repurchase, a Fund has the right to liquidate the collateral
and apply the proceeds in satisfaction of the obligation. If the seller
defaults and the SunAmerica Money Market Funds, Inc. value of the collateral
declines or if bankruptcy proceedings are commenced with respect to the
seller of the security, realization of the collateral by the Funds may be
delayed or limited.
18
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
At June 30, 2010, the following Fund held an undivided interest in a joint
repurchase agreement with UBS Securities, LLC.:
PERCENTAGE PRINCIPAL
FUND INTEREST AMOUNT
---- ---------- -----------
Money Market Fund................................. 45.61% $45,610,000
As of that date, the repurchase agreement in the joint account and the
collateral therefore were as follows:
UBS Securities, LLC, dated June 30, 2010, bearing interest at a rate of
0.02% per annum, with a principal amount of $100,000,000, a repurchase price
of $100,000,056 and a maturity date of July 1, 2010. The repurchase
agreement is collateralized by the following:
INTEREST MATURITY
TYPE OF COLLATERAL RATE DATE PRINCIPAL AMOUNT MARKET VALUE
------------------ -------- -------- ---------------- ------------
U.S. Treasury Inflation Index
Notes....................... 2.38% 04/05/11 $90,868,600 $102,000,004
SECURITIES TRANSACTIONS, INVESTMENT INCOME, EXPENSES, DIVIDENDS AND
DISTRIBUTIONS TO SHAREHOLDERS: Security transactions are recorded on a trade
date basis. Realized gains and losses on sales of investments are calculated
on the identified cost basis. Interest income, including the accretion of
discount and amortization of premium, is accrued daily from settlement date,
except when collections is not expected; dividend income is recorded on the
ex-dividend date.
Net investment income, other than class specific expenses, and realized and
unrealized gains and losses, are allocated daily to each class of shares
based upon the relative net asset value of outstanding shares (or the value
of the dividend-eligible shares, as appropriate) of each class of shares at
the beginning of the day (after adjusting for the current capital shares
activity of the respective class).
Expenses common to all Funds, not directly related to individual Funds, are
allocated among the Funds based upon their relative net asset value or other
appropriate methods. In all respects, expenses are charged to each Fund as
incurred on a specific identification basis. Interest earned on cash
balances held at the custodian are shown as custody credits in the Statement
of Operations.
Dividends from net investment income, if any, are normally declared daily
and paid monthly. Capital gain distributions, if any, are paid annually. The
Funds record dividends and distributions to their shareholders on the ex-
dividend date. The amount of dividends and distributions from net investment
income and net realized capital gains are determined in accordance with
federal income tax regulations, which may differ from U.S. generally
accepted accounting principles. These "book/tax" differences are either
considered temporary or permanent in nature. To the extent these differences
are permanent in nature, such amounts are reclassified within the capital
accounts at fiscal year end based on their federal tax-basis treatment;
temporary differences do not require reclassification. Net investment income
(loss), net realized gain (loss), and net assets are not affected by these
reclassifications.
The Funds intend to comply with the requirements of the Internal Revenue
Code applicable to regulated investment companies and distribute all of its
taxable income, including any capital gains, to its shareholders. Therefore,
no federal tax provisions are required. Each Fund is considered a separate
entity for tax purposes. The Funds file U.S. federal and certain state
income tax returns. With few exceptions, the Funds are no longer subject to
U.S. federal and state tax examinations by tax authorities for tax years
ending before 2006.
Note 3. Investment Advisory and Management Agreement, Distribution and Service
Agreement and Other Transactions With Affiliates
The Funds have an Investment Advisory and Management Agreement (the
"Advisory Agreement") with SunAmerica. Under the Advisory Agreement,
SunAmerica provides continuous supervision to each Fund's portfolio and
administers the Corporation's corporate affairs, subject to general review
by the Board. In connection therewith,
19
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
SunAmerica furnishes the Funds with office facilities, maintains certain of
its books and records, and pays the salaries and expenses of all personnel,
including officers of the Corporation who are employees of SunAmerica and
its affiliates.
The Funds pay SunAmerica a monthly investment advisory and management fee
calculated daily at the following annual percentages of each Fund's average
daily net assets:
MANAGEMENT
FUND ASSETS FEES
---- ----------------------------- ----------
Money Market.................. $0 - $600 million 0.50%
next $900 million 0.45%
(greater than) $ 1.5 billion 0.40%
Municipal Money Market........ (greater than) $0 0.35%
The Municipal Money Market Fund is subadvised by AIG Asset Management
(U.S.), LLC ("AMG") pursuant to a subadvisory agreement with SunAmerica. AMG
is an indirect wholly-owned subsidiary of AIG and an affiliate of
SunAmerica. AMG receives the following fees from SunAmerica, based upon the
Fund's average daily net assets:
SUB-ADVISORY
ASSETS FEES
--------------------------- ------------
Municipal Money Market Fund... $0 - $200 million 0.25%
next $300 million 0.20%
(greater than) $500 million 0.15%
SunAmerica has contractually agreed to waive fees and/or reimburse expenses
to the extent necessary to cap the Funds' annual fund operating expenses at
the following percentages of each Fund's average net assets. Annual Fund
operating expenses shall not include extraordinary expenses, as determined
under generally accepted accounting principles, or acquired fund fees and
expenses. This fee waiver and expense reimbursement will continue in effect
indefinitely, unless terminated by the Board, including a majority of the
directors that are not deemed to be "interested persons" of the Funds as
defined by Section 2(a)(19) of the 1940 Act ("Independent Directors").
FUND PERCENTAGE
---- ----------
Money Market Class I.............................. 0.80%
Municipal Money Market Class A.................... 0.95
For the period ended June 30, 2010, pursuant to the contractual expense
limitations in the above table, SunAmerica reimbursed expenses as follows:
FUND
----
Money Market Class I........................................ $979
Municipal Money Market Class A.............................. --
SunAmerica may also voluntarily waive fees and/or reimburse expenses,
including to avoid a negative yield on any class of the Funds. The voluntary
waivers and/or reimbursements may be terminated at any time at the option of
SunAmerica. The exact amount of the voluntary waivers and/or reimbursements
may change on a day-to-day basis. There is no guarantee that either Fund
will be able to avoid a negative yield.
For the period ended June 30, 2010, SunAmerica voluntarily waived fees
and/or reimbursed expenses as follows:
FUND
----
Money Market Class A........................................ $1,635,871
Money Market Class I........................................ 40,416
Municipal Money Market Class A.............................. 190,925
20
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
The Corporation, on behalf of each Fund, has entered into a Distribution
Agreement with SunAmerica Capital Services, Inc. ("SACS" or the
"Distributor"), an affiliate of the Adviser. The Funds have adopted a
Distribution Plan on behalf of their Class A shares (each a "Plan" and
collectively, the "Plans") in accordance with the provisions of Rule 12b-1
under the 1940 Act. In adopting the Plans, the Board determined that there
was a reasonable likelihood that each such Plan would benefit the Fund and
the shareholders of the respective class. The sales charge and distribution
fees of a particular class will not be used to subsidize the sale of shares
of any other class.
The Plans provide that the Class A shares of the Funds shall pay the
Distributor an account maintenance fee at the annual rate of up to 0.15% of
the aggregate average daily net assets of such class of shares for payments
to compensate the Distributor and certain securities firms for account
maintenance activities. In this regard, some payments are used to compensate
broker-dealers with account maintenance fees in an amount up to 0.15% per
year of the assets maintained in the Funds by their customers. Accordingly,
SACS received fees (see Statement of Operations) based upon the
aforementioned rates. In addition, in light of current market conditions,
and in order to avoid a negative yield on Class A shares of the Fund, SACS
has agreed to waive up to 0.15% of the fees it receives under the Plans.
This voluntary waiver may be terminated at any time at the option of the
Distributor without notice to shareholders.
For the period ended June 30, 2010, SACS voluntarily waived fees as follows:
FUND
----
Money Market Class A.............................. $554,219
Municipal Money Market Class A.................... 70,483
SACS receives the proceeds of contingent deferred sales charges paid by
investors in connection with certain redemptions of each Fund's Class A
shares. SACS has advised the Funds for the year ended June 30, 2010, the
proceeds received from redemptions are as follows:
CONTINGENT DEFERRED SALES CHARGES
---------------------------------
FUND CLASS A
---- ---------------------------------
Money Market....................... $182
Municipal Money Market............. --
The Funds have entered into a Service Agreement with SunAmerica Fund
Services, Inc. ("SAFS"), an affiliate of the Adviser. Under the Service
Agreement, SAFS performs certain shareholder account functions by assisting
the Funds' transfer agent in connection with the services that it offers to
the shareholders of the Fund. The Service Agreement, which permits the Funds
to compensate SAFS for services rendered based upon the annual rate of 0.22%
of average daily net assets, is approved annually by the Board. For the year
ended June 30, 2010, the Funds incurred the following expenses which are
included in transfer agent fees and expenses payable line in the Statement
of Assets and Liabilities and in transfer agent fees and expenses in the
Statement of Operations to compensate SAFS pursuant to the terms of the
Service Agreement:
PAYABLE AT
FUND EXPENSES JUNE 30, 2010
---- -------- -------------
Money Market Class A............... $812,854 $132,310
Money Market Class I............... 18,912 3,017
Municipal Money Market Class A..... 103,376 16,409
As of June 30, 2010, 81% of the Money Market Fund's total outstanding shares
and 99% of the Municipal Money Market Fund's total outstanding shares were
held through Pershing LLC in a brokerage account sweep vehicle for customers
of the broker-dealers within Advisor Group, Inc., an affiliate of the
Adviser.
21
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
As a result of losses on medium-term notes issued by Cheyne Finance LLC,
that were previously held by the Money Market Fund, SunAmerica made capital
contributions to the Money Market Fund in the amount of $1,050,000 and
$2,295,500, for the period ended June 30, 2010 and year ended December 31,
2009, respectively.
On March 4, 2009, AIG, the ultimate parent of SunAmerica, SACS, SAFS and
AMG, issued and sold to the AIG Credit Facility Trust, a trust established
for the sole benefit of the United States Treasury (the "Trust"), 100,000
shares of AIG's Series C Perpetual, Convertible, Participating Preferred
Stock (the "Stock") for an aggregate purchase price of $500,000, with an
understanding that additional and independently sufficient consideration was
also furnished to AIG by the Federal Reserve Bank of New York (the "FRBNY")
in the form of its lending commitment (the "Credit Facility") under the
Credit Agreement, dated as of September 22, 2008, between AIG and the FRBNY.
The Stock has preferential liquidation rights over AIG common stock, and, to
the extent permitted by law, votes with AIG's common stock on all matters
submitted to AIG's shareholders. As of June 30, 2010, the Trust has
approximately 79.7% of the aggregate voting power of AIG's common stock and
is entitled to approximately 79.7% of all dividends paid on AIG's common
stock, in each case treating the Stock as if converted. The Stock will
remain outstanding even if the Credit Facility is repaid in full or
otherwise terminates.
Note 4. Federal Income Taxes
The following details the tax basis distributions as well as the components
of distributable earnings. The tax basis components of distributable
earnings differ from the amounts reflected in the Statement of Assets and
Liabilities by temporary book/tax differences primarily arising from
dividends payable, capital contributions and cumulative pension expenses.
DISTRIBUTABLE EARNINGS TAX DISTRIBUTIONS
--------------------------------------- -------------------------------
FOR THE YEAR ENDED DECEMBER 31, 2009
-----------------------------------------------------------------------
LONG-TERM
GAINS/CAPITAL UNREALIZED LONG-TERM
ORDINARY AND OTHER APPRECIATION ORDINARY CAPITAL
FUND INCOME LOSSES (DEPRECIATION) INCOME GAINS TAX EXEMPT
- ---- --------- ------------- -------------- ---------- --------- ----------
Money Market....................... $ 174,435 $(2,268,424) $ -- $1,269,425 $ -- $ --
Municipal Money Market............. 17,108* (24,502) -- -- -- 33,173
-
* Tax Exempt distributable earnings
For Federal income tax purposes, the Funds indicated below have capital loss
carryforwards, which expire in the year indicated, as of December 31, 2009,
which are available to offset future capital gains, if any:
FUND CAPITAL LOSS CARRYFORWARD
---- ----------------------------------------
2012 2013 2014 2015 2016 2017
- ------ ------- ---- ---- ---------- ----
Money Market.................. $ -- $ -- $-- $-- $2,268,424 $--
Municipal Money Market........ 8,062 16,252 -- -- 188 --
22
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
Note 5. Capital Share Transactions
Transactions in each class of shares of the Funds, all at $1.00 per share,
for the period ended June 30, 2010 and for the prior year were as follows:
MONEY MARKET FUND
-------------------------------------------------------------------------------------
CLASS A CLASS B(2) CLASS C(2)
---------------------------- ------------------------ ------------------------
FOR THE FOR THE FOR THE
SIX MONTHS FOR THE SIX MONTHS FOR THE SIX MONTHS FOR THE
ENDED YEAR ENDED PERIOD ENDED PERIOD
JUNE 30, ENDED JUNE 30, JANUARY 1 TO JUNE 30, JANUARY 1 TO
2010 DECEMBER 31, 2010 JUNE 3, 2010 JUNE 3,
(UNAUDITED) 2009 (UNAUDITED) 2009 (UNAUDITED) 2009
------------- ------------- ----------- ------------ ----------- ------------
Shares sold........... $ 199,067,911 $ 373,006,486(1) $ -- $ 5,107,861 $ -- $ 15,016,720
Shares issued and
redeemed in
conversion(2)........ -- 53,035,799 -- (18,382,384) -- (34,653,415)
Reinvested dividends.. 35,854 1,220,038 -- 2,027 -- 4,274
Shares redeemed....... (247,493,550) (664,975,046) -- (9,881,430)(1) -- (21,065,068)
------------- ------------- ----------- ------------ ----------- ------------
Net increase
(decrease)........... $ (48,389,785) $(237,712,723) $ -- $(23,153,926) $ -- $(40,697,489)
============= ============= =========== ============ =========== ============
MONEY MARKET FUND
----------------------------
CLASS I
----------------------------
FOR THE
SIX MONTHS FOR THE
ENDED YEAR
JUNE 30, ENDED
2010 DECEMBER 31,
(UNAUDITED) 2009
------------- -------------
Shares sold........... $ 12,317,552 $ 11,621,049
Reinvested dividends.. 844 33,086
Shares redeemed....... (10,469,446) (14,052,469)
------------- -------------
Net increase
(decrease)........... $ 1,848,950 $ (2,398,334)
============= =============
MUNICIPAL MONEY MARKET FUND
----------------------------
CLASS A
----------------------------
FOR THE
SIX MONTHS FOR THE
ENDED YEAR
JUNE 30, ENDED
2010 DECEMBER 31,
(UNAUDITED) 2009
------------- -------------
Shares sold........... $ 89,877,748 $ 123,834,392
Reinvested dividends.. 4,686 33,134
Shares redeemed....... (111,586,348) (201,419,011)
------------- -------------
Net increase
(decrease)........... $ (21,703,914) $ (77,551,485)
============= =============
23
- --------
(1)Includes automatic conversion of Class B shares in the amount of $1,832,886
to Class A shares.
(2)See Note 1
SUNAMERICA MONEY MARKET FUNDS, INC.
NOTES TO FINANCIAL STATEMENTS -- JUNE 30, 2010 -- (UNAUDITED)
(CONTINUED)
Note 6. Directors' Retirement Plan
The Directors of the SunAmerica Money Market Funds, Inc. have adopted the
SunAmerica Disinterested Trustees' and Directors' Retirement Plan (the
"Retirement Plan") effective January 1, 1993, as amended for the Independent
Directors. The Retirement Plan provides generally that an Independent
Director may become a participant ("Participant") in the Retirement Plan if
he or she has at least 10 years of consecutive service as a Disinterested
Director of any of the adopting SunAmerica mutual funds (the "Adopting
Funds") or has attained the age of 60 while a Director and completed five
(5) consecutive years of service as a Director of any Adopting Fund (an
"Eligible Director"). Pursuant to the Retirement Plan, an Eligible Director
may receive benefits upon (i) his or her death or disability while a
Director or (ii) the termination of his or her tenure as a Director, other
than removal for cause from each of the Adopting Funds with respect to which
he or she is an Eligible Director.
As of each of the first 10 birthdays after becoming a Participant and on
which he or she is both a Director and Participant, each Eligible Director
will be credited with an amount equal to 50% of his or her regular fees
(excluding committee fees) for services as a Disinterested Director of each
Adopting Fund for the calendar year in which such birthday occurs. In
addition, an amount equal to 8.50% of any amounts credited under the
preceding clause during prior years is added to each Eligible Director's
account. The rights of any Participant to benefits under the Retirement Plan
shall be an unsecured claim against the assets of the Adopting Funds. An
Eligible Director may receive any benefits payable under the Retirement
Plan, at his or her election, either in one lump sum or in up to 15 annual
installments. Any undistributed amounts shall continue to accrue interest at
8.50%.
Effective December 3, 2008, the Retirement Plan was amended to, among other
things, (1) freeze the Retirement Plan as to future accruals for active
Participants as of December 31, 2008, (2) prohibit Disinterested Directors
from first becoming participants in the Retirement Plan after December 31,
2008 and (3) permits active Participants to elect to receive a distribution
of their entire Retirement Plan account balance in 2009. The freeze on
future accruals does not apply to Participants that have commenced receiving
benefits under the Retirement Plan on or before December 31, 2008.
The following amounts for the Retirement Plan Liabilities are included in
the Directors' fees and expenses line on the Statement of Assets and
Liabilities and the amounts for the Retirement Plan Expenses are included in
the Director's fees and expenses line on the Statement of Operations.
RETIREMENT PLAN RETIREMENT PLAN RETIREMENT PLAN
LIABILITY EXPENSE PAYMENTS
--------------- --------------- ---------------
FUND AS OF JUNE 30, 2010
---- -----------------------------------------------
Money Market.................. $31,176 $1,995 $3,587
Municipal Money Market........ 1,934 376 85
Note 7. Interfund Lending
Pursuant to exemptive relief granted by the Commission, the Funds are
permitted to participate in an interfund lending program among investment
companies advised by SunAmerica or an affiliate. The interfund lending
program allows the participating Funds to borrow money from and loan money
to each other for the temporary or emergency purposes. An interfund loan
will be made under this facility only if the participating Funds receive a
more favorable interest rate than would otherwise be available from a
typical bank for a comparable transaction. For the period ended June 30,
2010, the Funds did not participate in the program.
24
[LOGO] Sun America
Mutual Funds
HARBORSIDE FINANCIAL CENTER
3200 PLAZA 5
JERSEY CITY, NJ 07311-4992
DIRECTORS/TRUSTEES VOTING PROXIES ON FUND Securities and Exchange
Jeffrey S. Burum PORTFOLIO SECURITIES Commission, without
Dr. Judith L. Craven A description of the charge, upon request, by
William F. Devin policies and proce-dures call-ing (800) 858-8850
Samuel M. Eisenstat that the Funds use to or on the U.S. Securities
Stephen J. Gutman determine how to vote and Exchange Commission's
Peter A. Harbeck proxies relating to website at
William J. Shea secu-rities held in the http://www.sec.gov.
Funds' portfolios which
OFFICERS is available in the DISCLOSURE OF QUARTERLY
John T. Genoy, President Funds' State-ment of PORTFOLIO HOLDINGS
and Chief Additional Information The Fund is required to
Executive Officer may be obtained without file its com-plete
Donna M. Handel, charge upon re-quest, by schedule of portfolio
Treasurer calling (800) 858-8850. holdings with the U.S.
James Nichols, Vice This information is also Securities and Exchange
President available from the EDGAR Commission for its first
Timothy Pettee, Vice database on the U.S. and third fiscal quarters
President Secu-rities and Exchange on Form N-Q. The Fund's
Cynthia A. Commission's website at Forms N-Q are available
Gibbons-Skrehot, Vice http://www.sec.gov. on the U.S. Securities
President and Chief and Exchange Commission's
Compliance Officer DELIVERY OF SHAREHOLDER website at
Gregory N. Bressler, DOCUMENTS http://www.sec.gov. You
Chief Legal Officer The Funds have adopted a can also review and
and Secretary policy that allows them obtain copies of the
Nori L. Gabert, Vice to send only one copy of Forms N-Q at the U.S.
President and a Fund's prospectus, Securities and Exchange
Assistant Secretary proxy material, annual Commission's Public
Kathleen Fuentes, report and semi-annual Refer-ence Room in
Assistant Secretary report (the "shareholder Washington, DC
John E. McLean, documents") to (information on the
Assistant Secretary shareholders with operation of the Public
Gregory R. Kingston, multiple accounts Reference Room may be
Vice President and residing at the same ob-tained by calling
Assistant Treasurer "household." This 1-800-SEC-0330).
Diedre L. Shepherd, practice is called
Assistant Treasurer householding and reduces This report is submitted
Matthew J. Hackethal, Fund expenses, which solely for the general
Anti-Money Laundering benefits you and other information of
Compliance Officer shareholders. Unless the shareholders of the Fund.
Funds receive Distribution of this
INVESTMENT ADVISER instructions to the report to persons other
SunAmerica Asset con-trary, you will only than shareholders of the
Management Corp. receive one copy of the Fund is authorized only
Harborside Financial shareholder documents. in connection with a
Center The Funds will continue currently effective
3200 Plaza 5 to household the prospectus, setting forth
Jersey City, NJ share-holder documents details of the Fund,
07311-4992 indefinitely, until we which must precede or
are instructed otherwise. accompany this report.
DISTRIBUTOR If you do not wish to
SunAmerica Capital participate in The accompanying report
Services, Inc. householding please has not been audited by
Harborside Financial contact Shareholder independent accountants
Center Services at (800) and accordingly no
3200 Plaza 5 858-8850 ext. 6010 or opinion has been
Jersey City, NJ send a written request expressed thereon.
07311-4992 with your name, the name
of your fund(s) and your
SHAREHOLDER SERVICING account member(s) to
AGENT SunAmerica Mutual Funds
SunAmerica Fund c/o BFDS, P.O. Box
Services, Inc. 219186, Kansas City MO,
Harborside Financial 64121-9186. We will
Center resume individual
3200 Plaza 5 mailings for your account
Jersey City, NJ within thirty (30) days
07311-4992 of receipt of your
request.
CUSTODIAN AND TRANSFER
AGENT PROXY VOTING RECORD ON
State Street Bank and SUNAMERICA MONEY MARKET
Trust Company FUNDS
P.O. Box 419572 Information regarding how
Kansas City, MO the Funds voted proxies
64141-6572 relating to securities
held in the Funds during
the most recent
twelve month period ended
June 30 is available,
once filed with the U.S.
25
[GRAPHIC]
GO PAPERLESS!!
DID YOU KNOW THAT YOU HAVE THE OPTION TO
RECEIVE YOUR SHAREHOLDER REPORTS ONLINE?
By choosing this convenient service, you will no longer receive paper copies of
Fund documents such as annual reports, semi-annual reports, prospectuses and
proxy statements in the mail. Instead, you are provided with quick and easy
access to this information via the Internet.
Why Choose Electronic Delivery?
IT'S QUICK -- Fund documents will be received faster than via traditional mail.
IT'S CONVENIENT -- Elimination of bulky documents from personal files.
IT'S COST EFFECTIVE -- Reduction of your Fund's printing and mailing costs.
TO SIGN UP FOR ELECTRONIC DELIVERY, FOLLOW
THESE SIMPLE STEPS:
1
GO TO
WWW.SUNAMERICAFUNDS.COM
2
CLICK ON THE LINK TO "GO PAPERLESS!!"
The email address you provide will be kept strictly confidential. Once your
enrollment has been processed, you will begin receiving email notifications
when anything you receive electronically is available online.
You can return to www.sunamericafunds.com at any time to change your email
address, edit your preferences or to cancel this service if you choose to
resume physical delivery of your Fund documents.
Please note - this option is only available to accounts opened through the
Funds.
FOR INFORMATION ON RECEIVING THIS REPORT ONLINE, SEE INSIDE BACK COVER.
DISTRIBUTED BY:
SUNAMERICA CAPITAL SERVICES, INC.
Investors should carefully consider a Fund's investment objectives, risks,
charges and expenses before investing. The prospectus, containing this and
other important information, can be obtained from your financial adviser, the
SunAmerica Sales Desk at 800-858-8850, ext. 6003, or at
www.sunamericafunds.com. Read the prospectus carefully before investing.
WWW.SUNAMERICAFUNDS.COM
MMSAN - 6/10
[LOGO]
AIG
Sun America
Mutual Funds
Item 2. Code of Ethics
Not applicable.
Item 3. Audit Committee Financial Expert.
Not applicable.
Item 4. Principal Accountant Fees and Services.
Not applicable.
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Investments.
Included in Item 1 to the Form.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment
Company and Affiliated Purchasers.
Not applicable.
Item 10.Submission of Matters to a Vote of Security Holders.
There were no material changes to the procedures by which shareholders may
recommend nominees to the registrant's Board of Directors that were
implemented after the registrant last provided disclosure in response to the
requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as
required by 22(b)(15)) of Schedule 14A (17 CFR 240.14a- 101), or this
Item 10.
Item 11.Controls and Procedures.
(a) An evaluation was performed within 90 days of the filing of this report,
under the supervision and with the participation of the registrant's
management, including the President and Treasurer, of the effectiveness of
the design and operation of the registrant's disclosure controls and
procedures as defined under Rule 30a-3(c) under the Investment Company Act
of 1940 (17 CFR 270.30a-3(c)). Based on that evaluation, the registrant's
management, including the President and Treasurer, concluded that the
registrant's disclosure controls and procedures are effective.
(b) There was no change in the registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Investment Company Act of
1940 (17 CFR 270.30a-3(d))) that occurred during the registrant's last
fiscal quarter of the period covered by this report that has materially
affected, or is reasonably likely to materially affect, the registrant's
internal contro1 over financial reporting.
Item 12.Exhibits.
(a) (1) Not applicable.
(2) Certifications pursuant to Rule 30a-2(a) under the Investment Company
Act of 1940 (17 CFR 270.30a-2(a)) attached hereto as Exhibit 99.CERT.
(3) Not applicable.
(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of
1940 (17 CFR 270.30a-2(a)) and Section 906 of the Sarbanes- Oxley Act of
2002 attached hereto as Exhibit 99.906.CERT.
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.
SunAmerica Money Market Funds, Inc.
By: /s/ John T. Genoy
------------------------------
John T. Genoy
President
Date: September 03, 2010
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By: /s/ John T. Genoy
------------------------------
John T. Genoy
President
Date: September 03, 2010
By: /s/ Donna M. Handel
------------------------------
Donna M. Handel
Treasurer
Date: September 03, 2010