N-Q 1 a_moneymarket.htm PUTNAM MONEY MARKET FUND a_moneymarket.htm


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY




Investment Company Act file number: (811-02608)
Exact name of registrant as specified in charter: Putnam Money Market Fund
Address of principal executive offices: One Post Office Square, Boston, Massachusetts 02109
Name and address of agent for service: Robert T. Burns, Vice President
One Post Office Square
Boston, Massachusetts 02109
Copy to:         Bryan Chegwidden, Esq.
Ropes & Gray LLP
1211 Avenue of the Americas
New York, New York 10036
Registrant’s telephone number, including area code: (617) 292-1000
Date of fiscal year end: September 30, 2016
Date of reporting period: December 31, 2015



Item 1. Schedule of Investments:














Putnam Money Market Fund

The fund's portfolio
12/31/15 (Unaudited)
REPURCHASE AGREEMENTS (31.9%)(a)
Principal amount Value

Interest in $224,000,000 joint tri-party term repurchase agreement dated 12/31/15 with Citigroup Global Markets, Inc. due 1/7/16 - maturity value of $30,001,925 for an effective yield of 0.33% (collateralized by a U.S. Treasury bond with a coupon rate of 2.875% and a due date of 8/15/45, valued at $228,480,020) $30,000,000 $30,000,000
Interest in $312,000,000 joint tri-party repurchase agreement dated 12/31/15 with Citigroup Global Markets, Inc. due 1/4/16 - maturity value of $94,590,573 for an effective yield of 0.34% (collateralized by a U.S. Treasury note and various mortgage backed securities with coupon rates ranging from 1.750% to 6.500% and due dates ranging from 8/15/23 to 10/15/45, valued at $318,240,063) 94,587,000 94,587,000
Interest in $95,000,000 tri-party repurchase agreement dated 12/31/15 with Goldman, Sachs & Co. due 1/4/16 - maturity value of $95,003,378 for an effective yield of 0.32% (collateralized by various mortgage backed securities with coupon rates ranging from 2.396% to 6.500% and due dates ranging from 5/1/18 to 7/1/45, valued at $96,900,000) 95,000,000 95,000,000
Interest in $302,971,000 joint tri-party repurchase agreement dated 12/31/15 with Merrill Lynch, Pierce, Fenner and Smith, Inc. due 1/4/16 - maturity value of $94,503,255 for an effective yield of 0.31% (collateralized by various mortgage backed securities with coupon rates ranging from 2.500% to 4.500% and due dates ranging from 10/1/25 to 9/1/44, valued at $309,030,420) 94,500,000 94,500,000
Interest in $94,500,000 tri-party repurchase agreement dated 12/31/15 with RBC Capital Markets, LLC due 1/4/16 - maturity value of $94,502,940 for an effective yield of 0.280% (collateralized by various mortgage backed securities with coupon rates ranging from zero% to 4.866% and due dates ranging from 9/1/33 to 12/1/45, valued at $96,392,999) 94,500,000 94,500,000

Total repurchase agreements (cost $408,587,000) $408,587,000

COMMERCIAL PAPER (18.8%)(a)
Yield (%) Maturity date Principal amount Value

ABN AMRO Funding USA, LLC 0.280 1/5/16 $2,250,000 $2,249,930
American Honda Finance Corp. 0.240 2/4/16 6,000,000 5,998,640
American Honda Finance Corp. 0.200 2/10/16 2,475,000 2,474,450
Australia & New Zealand Banking Group, Ltd. 144A (Australia) 0.382 4/27/16 15,000,000 14,997,091
Chevron Corp. 0.240 3/1/16 11,950,000 11,945,220
Coca-Cola Co. (The) 0.260 3/21/16 5,000,000 4,997,111
Commonwealth Bank of Australia 144A (Australia) 0.528 3/24/16 6,450,000 6,450,000
Commonwealth Bank of Australia 144A (Australia) 0.400 3/2/16 11,500,000 11,492,206
Cooperatieve Centrale Raiffeisen-Boerenleenbank BA/NY (Netherlands) 0.315 3/10/16 12,000,000 11,992,755
Credit Agricole Corporate and Investment Bank/New York (France) 0.410 1/22/16 6,375,000 6,373,475
DnB Bank ASA (Norway) 0.210 1/8/16 5,625,000 5,624,770
DnB Bank ASA 144A (Norway) 0.310 1/20/16 12,275,000 12,272,992
Export Development Canada (Canada) 0.310 1/21/16 10,000,000 9,998,278
Lloyds Bank PLC (United Kingdom) 0.300 2/1/16 7,500,000 7,498,063
Lloyds Bank PLC (United Kingdom) 0.280 1/4/16 12,500,000 12,499,708
National Australia Bank, Ltd. 144A, Ser. CPIB (Australia) 0.427 1/11/16 15,125,000 15,125,000
National Australia Bank, Ltd. 144A, Ser. CPIB (Australia) 0.411 3/4/16 3,750,000 3,750,000
Nationwide Building Society (United Kingdom) 0.400 2/16/16 12,000,000 11,993,867
Nordea Bank AB 144A (Sweden) 0.300 2/2/16 10,000,000 9,997,333
Prudential PLC (United Kingdom) 0.280 2/8/16 11,750,000 11,746,527
Simon Property Group LP 0.400 3/4/16 3,250,000 3,247,725
Simon Property Group LP 0.260 2/1/16 2,500,000 2,499,440
Simon Property Group LP 0.220 1/6/16 6,300,000 6,299,808
Skandinaviska Enskilda Banken AB (Sweden) 0.350 3/10/16 4,000,000 3,997,317
Skandinaviska Enskilda Banken AB (Sweden) 0.320 2/12/16 5,150,000 5,148,077
Standard Chartered Bank/New York 0.380 2/17/16 12,000,000 11,994,047
Toronto-Dominion Holdings USA, Inc. 144A (Canada) 0.300 1/20/16 5,000,000 4,999,208
Toyota Motor Credit Corp. 0.357 1/19/16 18,600,000 18,600,000
Westpac Banking Corp. 144A (Australia) 0.479 7/7/16 5,000,000 5,000,000

Total commercial paper (cost $241,263,038) $241,263,038

ASSET-BACKED COMMERCIAL PAPER (14.6%)(a)
Yield (%) Maturity date Principal amount Value

Bedford Row Funding Corp. 0.501 5/12/16 $3,600,000 $3,593,400
Bedford Row Funding Corp. 0.300 2/23/16 14,000,000 13,993,817
Chariot Funding, LLC 0.501 5/3/16 16,250,000 16,222,240
Charta, LLC 0.601 3/23/16 12,675,000 12,657,678
CIESCO, LLC 0.561 3/15/16 12,600,000 12,585,496
Collateralized Commercial Paper Co., LLC 0.753 5/26/16 2,700,000 2,691,788
Collateralized Commercial Paper Co., LLC 0.591 5/17/16 9,550,000 9,550,000
Fairway Finance Co., LLC 144A (Canada) 0.487 5/12/16 7,750,000 7,750,000
Jupiter Securitization Co., LLC 144A 0.501 5/3/16 14,700,000 14,674,888
Liberty Street Funding, LLC (Canada) 0.320 1/19/16 1,000,000 999,840
MetLife Short Term Funding, LLC 0.300 1/12/16 5,000,000 4,999,542
MetLife Short Term Funding, LLC 144A 0.280 3/14/16 12,900,000 12,892,676
Old Line Funding, LLC 144A 0.301 1/25/16 18,750,000 18,750,000
Regency Markets No. 1, LLC 0.450 1/20/16 10,325,000 10,322,548
Thunder Bay Funding, LLC 144A 0.691 6/17/16 19,000,000 19,000,000
Victory Receivables Corp. (Japan) 0.500 2/16/16 6,675,000 6,670,735
Victory Receivables Corp. (Japan) 0.370 1/8/16 5,000,000 4,999,640
Victory Receivables Corp. (Japan) 0.300 1/21/16 7,400,000 7,398,767
Working Capital Management Co. (Japan) 0.420 1/12/16 7,150,000 7,149,082

Total asset-backed commercial paper (cost $186,902,137) $186,902,137

CERTIFICATES OF DEPOSIT (12.2%)(a)
Yield (%) Maturity date Principal amount Value

Bank of America, NA FRN 0.457 5/9/16 $17,900,000 $17,900,000
Bank of Montreal/Chicago, IL FRN (Canada) 0.647 10/14/16 10,000,000 10,000,000
Bank of Nova Scotia/Houston FRN 0.816 3/22/16 5,000,000 5,001,298
Bank of Nova Scotia/Houston FRN 0.667 6/10/16 9,250,000 9,252,085
Canadian Imperial Bank of Commerce/New York, NY FRN 0.501 6/17/16 12,325,000 12,325,000
Citibank, NA 0.500 3/8/16 10,250,000 10,250,000
Citibank, NA 0.340 2/23/16 8,000,000 8,000,000
Credit Suisse AG/New York, NY FRN 0.561 1/4/16 6,000,000 6,000,055
HSBC Bank USA, NA/New York, NY FRN (United Kingdom) 0.608 4/5/16 8,800,000 8,800,000
Mizuho Bank, Ltd./NY 0.390 2/18/16 5,525,000 5,525,000
National Bank of Canada/New York, NY FRN 0.521 1/15/16 12,500,000 12,500,390
Nordea Bank Finland PLC/New York FRN 0.682 6/13/16 2,540,000 2,540,179
Nordea Bank Finland PLC/New York FRN 0.454 5/3/16 1,800,000 1,800,150
State Street Bank & Trust Co. FRN 0.602 5/20/16 11,500,000 11,500,000
Sumitomo Mitsui Banking Corp./New York FRN (Japan) 0.562 1/28/16 17,625,000 17,625,000
Toronto-Dominion Bank/NY FRN (Canada) 0.572 5/19/16 12,000,000 12,000,000
Toronto-Dominion Bank/NY FRN (Canada) 0.532 2/25/16 1,000,000 999,940
Westpac Banking Corp./NY FRN (Australia) 0.437 4/13/16 4,200,000 4,199,313

Total certificates of deposit (cost $156,218,410) $156,218,410

CORPORATE BONDS AND NOTES (6.0%)(a)
Interest rate (%) Maturity date Principal amount Value

Australia & New Zealand Banking Group, Ltd./New York, NY sr. unsec. notes 0.900 2/12/16 $2,850,000 $2,851,295
Bank of New York Mellon Corp. (The) sr. unsec. FRN, Ser. MTN 0.666 3/4/16 7,700,000 7,702,118
Bank of Nova Scotia (The) sr. unsec. unsub. FRN (Canada) 0.912 3/15/16 2,300,000 2,301,574
Canadian Imperial Bank of Commerce/Canada sr. unsec. unsub. FRN (Canada) 0.835 7/18/16 6,575,000 6,583,287
GE Capital International Funding Co. 144A company guaranty sr. unsec. notes (Ireland) 0.964 4/15/16 8,075,000 8,085,619
General Electric Capital Corp. company guaranty sr. unsec. FRN, Ser. MTN 0.918 1/8/16 4,000,000 4,000,451
General Electric Capital Corp. company guaranty sr. unsec. FRN, MTN, Ser. A 0.556 5/11/16 4,450,000 4,452,378
General Electric Capital Corp. company guaranty sr. unsec. unsub. FRN, MTN, Ser. A 0.518 1/8/16 1,300,000 1,300,046
U.S. Bank, NA/Cincinnati, OH sr. unsec. FRN, Ser. BKNT 0.440 4/22/16 1,800,000 1,800,173
Wells Fargo & Co. sr. unsec. unsub. FRN, Ser. MTN 0.847 7/20/16 9,950,000 9,968,601
Wells Fargo Bank, NA sr. unsec. FRN, Ser. BKNT 0.566 6/2/16 4,150,000 4,151,289
Wells Fargo Bank, NA sr. unsec. FRN, Ser. MTN(M) 0.632 7/15/19 11,000,000 11,000,000
Westpac Banking Corp. sr. unsec. unsub. notes (Australia) 0.950 1/12/16 12,700,000 12,701,667

Total corporate bonds and notes (cost $76,898,498) $76,898,498

U.S. TREASURY OBLIGATIONS (5.2%)(a)
Yield (%) Maturity date Principal amount Value

U.S. Treasury FRN(M) 0.344 1/31/17 $12,500,000 $12,499,725
U.S. Treasury FRN 0.330 7/31/16 13,250,000 13,250,207
U.S. Treasury FRN 0.329 4/30/16 13,050,000 13,050,142
U.S. Treasury FRN 0.313 10/31/16 13,250,000 13,250,056
U.S. Treasury FRN 0.305 1/31/16 14,700,000 14,699,826

Total U.S. treasury obligations (cost $66,749,956) $66,749,956

U.S. GOVERNMENT AGENCY OBLIGATIONS (4.0%)(a)
Yield (%) Maturity date Principal amount Value

Federal Home Loan Banks unsec. discount notes 0.481 3/29/16 $18,500,000 $18,478,293
Federal Home Loan Banks unsec. discount notes 0.461 3/4/16 12,000,000 11,990,340
Federal Home Loan Banks unsec. discount notes 0.400 2/3/16 11,500,000 11,495,783
Federal Home Loan Banks unsec. discount notes 0.320 1/29/16 3,400,000 3,399,154
Federal Home Loan Banks unsec. discount notes 0.320 1/27/16 3,900,000 3,899,099
Federal Home Loan Banks unsec. discount notes 0.290 3/21/16 2,400,000 2,398,453

Total U.S. government agency obligations (cost $51,661,122) $51,661,122

MUTUAL FUNDS (3.0%)(a)
Yield (%) Shares Value

Putnam Money Market Liquidity Fund(AFF) 0.270 37,987,287 $37,987,287

Total mutual funds (cost $37,987,287) $37,987,287

MUNICIPAL BONDS AND NOTES (2.5%)(a)
Yield (%) Maturity date Principal amount Value

Johns Hopkins University Commercial Paper, Ser. C 0.240 1/21/16 $10,000,000 $10,000,000
Texas A&M University Commercial Paper, Ser. B 0.240 1/21/16 10,000,000 10,000,000
University of Chicago Commercial Paper, Ser. A 0.400 2/4/16 12,000,000 11,995,469

Total municipal bonds and notes (cost $31,995,469) $31,995,469

TIME DEPOSITS (2.0%)(a)
Yield (%) Maturity date Principal amount Value

Australia & New Zealand Banking Group, Ltd./Cayman Islands (Cayman Islands) 0.200 1/4/16 $19,000,000 $19,000,000
Credit Agricole Corporate and Investment Bank/Grand Cayman (Cayman Islands) 0.250 1/4/16 6,375,000 6,375,000

Total time deposits (cost $25,375,000) $25,375,000

TOTAL INVESTMENTS

Total investments (cost $1,283,637,917)(b) $1,283,637,917














Key to holding's abbreviations
BKNT Bank Note
FRN Floating Rate Notes: the rate shown is the current interest rate or yield at the close of the reporting period
MTN Medium Term Notes
Notes to the fund's portfolio
Unless noted otherwise, the notes to the fund's portfolio are for the close of the fund's reporting period, which ran from October 1, 2015 through December 31, 2015 (the reporting period). Within the following notes to the portfolio, references to “ASC 820” represent Accounting Standards Codification 820 Fair Value Measurements and Disclosures, references to “Putnam Management” represent Putnam Investment Management, LLC, the fund's manager, an indirect wholly-owned subsidiary of Putnam Investments, LLC and references to “OTC”, if any, represent over-the-counter.
(a) Percentages indicated are based on net assets of $1,281,256,668.
(b) The aggregate identified cost on a financial reporting and tax basis is the same.
(AFF) Affiliated company. The rate quoted in the security description is the annualized 7-day yield of the fund at the close of the reporting period. Transactions during the period with Putnam Money Market Liquidity Fund, which is under common ownership and control, were as follows:
Name of affiliate Fair value at the beginning of the reporting period Purchase cost Sale proceeds Investment income Fair value at the end of the reporting period

Putnam Money Market Liquidity Fund* $37,987,287 $— $— $15,596 $37,987,287
* Management fees charged to Putnam Money Market Liquidity Fund have been waived by Putnam Management.

(M) This security's effective maturity date is less than one year.
Debt obligations are considered secured unless otherwise indicated.
144A after the name of an issuer represents securities exempt from registration under Rule 144A under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers.
The dates shown on debt obligations are the original maturity dates.
DIVERSIFICATION BY COUNTRY
Distribution of investments by country of risk at the close of the reporting period, excluding collateral received, if any (as a percentage of Portfolio Value):
United States 75.5%
Australia 5.8
Canada 4.3
United Kingdom 4.1
Japan 3.4
Cayman Islands 2.0
Sweden 1.5
Norway 1.4
Netherlands 0.9
Ireland 0.6
France 0.5

Total 100.0%
Security valuation: Portfolio securities and other investments are valued using policies and procedures adopted by the Board of Trustees. The Trustees have formed a Pricing Committee to oversee the implementation of these procedures and have delegated responsibility for valuing the fund’s assets in accordance with these procedures to Putnam Management. Putnam Management has established an internal Valuation Committee that is responsible for making fair value determinations, evaluating the effectiveness of the pricing policies of the fund and reporting to the Pricing Committee.
The valuation of the fund’s portfolio instruments is determined by means of the amortized cost method (which approximates fair value) as set forth in Rule 2a-7 under the Investment Company Act of 1940. The amortized cost of an instrument is determined by valuing it at its original cost and thereafter amortizing any discount or premium from its face value at a constant rate until maturity and is generally categorized as a Level 2 security.
Investments in open-end investment companies (excluding exchange-traded funds), if any, which can be classified as Level 1 or Level 2 securities, are valued based on their net asset value. The net asset value of such investment companies equals the total value of their assets less their liabilities and divided by the number of their outstanding shares.
Repurchase agreements: The fund, or any joint trading account, through its custodian, receives delivery of the underlying securities, the fair value of which at the time of purchase is required to be in an amount at least equal to the resale price, including accrued interest. Collateral for certain tri-party repurchase agreements is held at the counterparty’s custodian in a segregated account for the benefit of the fund and the counterparty. Putnam Management is responsible for determining that the value of these underlying securities is at all times at least equal to the resale price, including accrued interest. In the event of default or bankruptcy by the other party to the agreement, retention of the collateral may be subject to legal proceedings.













ASC 820 establishes a three-level hierarchy for disclosure of fair value measurements. The valuation hierarchy is based upon the transparency of inputs to the valuation of the fund’s investments. The three levels are defined as follows:
Level 1: Valuations based on quoted prices for identical securities in active markets.
Level 2: Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.
Level 3: Valuations based on inputs that are unobservable and significant to the fair value measurement.
The following is a summary of the inputs used to value the fund’s net assets as of the close of the reporting period:

Valuation inputs

Investments in securities: Level 1 Level 2 Level 3
Asset-backed commercial paper $— $186,902,137 $—
Certificates of deposit 156,218,410
Commercial paper 241,263,038
Corporate bonds and notes 76,898,498
Municipal bonds and notes 31,995,469
Mutual funds 37,987,287
Repurchase agreements 408,587,000
Time deposits 25,375,000
U.S. government agency obligations 51,661,122
U.S. treasury obligations 66,749,956



Totals by level $37,987,287 $1,245,650,630 $—


During the reporting period, transfers within the fair value hierarchy, if any, did not represent, in the aggregate, more than 1% of the fund's net assets measured as of the end of the period. Transfers are accounted for using the end of period pricing valuation method.
   
  The following table summarizes any derivatives, repurchase agreements and reverse repurchase agreements, at the end of the reporting period, that are subject to an enforceable master netting agreement or similar agreement. For securities lending transactions, if applicable, see note "(d)" above, and for borrowing transactions associated with securities sold short, if applicable, see the "Short sales of securities" note above.
   
      Citigroup Global Markets, Inc. Goldman, Sachs & Co. Merrill Lynch, Pierce, Fenner and Smith, Inc. RBC Capital Markets, LLC   Total
                 
  Assets:              
  Repurchase agreements    $124,587,000  $95,000,000  $94,500,000  $94,500,000    $408,587,000
                 
  Total Assets    $124,587,000  $95,000,000  $94,500,000  $94,500,000    $408,587,000
                 
  Liabilities:              
                 
  Total Liabilities   $— $— $— $—   $—
                 
  Total Financial and Derivative Net Assets    $124,587,000  $95,000,000  $94,500,000  $94,500,000    $408,587,000
  Total collateral received (pledged)##†    $124,587,000  $95,000,000  $94,500,000  $94,500,000    
  Net amount   $— $— $— $—    
                 
 Additional collateral may be required from certain brokers based on individual agreements.
                 
## Any over-collateralization of total financial and derivative net assets is not shown. Collateral may include amounts related to unsettled agreements.

For additional information regarding the fund please see the fund's most recent annual or semiannual shareholder report filed on the Securities and Exchange Commission's Web site, www.sec.gov, or visit Putnam's Individual Investor Web site at www.putnaminvestments.com



Item 2. Controls and Procedures:
(a) The registrant’s principal executive officer and principal financial officer have concluded, based on their evaluation of the effectiveness of the design and operation of the registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the design and operation of such procedures are generally effective to provide reasonable assurance that information required to be disclosed by the registrant in this report is recorded, processed, summarized and reported within the time periods specified in the Commission’s rules and forms.

(b) Changes in internal control over financial reporting: Not applicable
Item 3. Exhibits:
Separate certifications for the principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are filed herewith.

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.

Putnam Money Market Fund
By (Signature and Title):
/s/ Janet C. Smith
Janet C. Smith
Principal Accounting Officer
Date: February 26, 2016

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 (Signature and Title):
/s/ Jonathan S. Horwitz
Jonathan S. Horwitz
Principal Executive Officer
Date: February 26, 2016

By (Signature and Title):
/s/ Steven D. Krichmar
Steven D. Krichmar
Principal Financial Officer
Date: February 26, 2016