CMA
CMA MONEY FUND
Annual Report
March 31, 1996
MERRILL LYNCH BULL LOGO
This report is not authorized for use as an offer of sale or a
solicitation of an offer to buy shares of the Fund unless
accompanied or preceded by the Fund's current prospectus. Past
performance results shown in this report should not be considered a
representation of future performance, which will fluctuate. The Fund
seeks to maintain a consistent $1.00 net asset value per share,
although this cannot be assured. An investment in the Fund is
neither insured nor guaranteed by the US Government. Statements and
other information herein are as dated and are subject to change.
<PAGE>
CMA Money Fund
Box 9011
Princeton, NJ 08543-9011
DEAR SHAREHOLDER:
For the year ended March 31, 1996, CMA Money Fund paid shareholders
a net annualized dividend of 5.51%*. As of March 31, 1996, the
Fund's 7-day yield was 4.79%.
The average portfolio maturity for CMA Money Fund at March 31, 1996
was 48 days, compared to 77 days at September 30, 1995.
The Environment
As 1995 drew to a close and 1996 began, it appeared that the US
economy was losing momentum. Lackluster retail sales, increases in
initial unemployment claims (along with weak job and income growth),
and evidence of slowing in the manufacturing sector all suggested
that the rate of economic growth was slowing, with some forecasters
even suggesting the possibility of an imminent recession. With
inflationary pressures well subdued, these signs of economic
weakness led the Federal Reserve Board to follow a more
accommodative monetary policy. However, our approach to the market
grew less constructive in late February, following the release of
data that suggested the long inventory correction had largely run
its course.
However, investor perceptions regarding the rate of future economic
growth changed dramatically with the report of stronger-than-
expected employment data for February and March. As a result, the
consensus outlook regarding the direction of business activity
shifted from expectations of weakness to anticipation of a revival
in growth of the economy. Long-term interest rates rose, and the
Federal Reserve Board left monetary policy on hold. Concerned that
economic momentum was building, we further reduced the Fund's
commitment to the market.
Investors are likely to continue to focus on the probable direction
of economic activity and Federal Reserve Board monetary policy in
the weeks ahead. At this time, inflationary pressures do not seem to
be building and the manufacturing sector is still relatively weak,
which suggest that the economy is not on the verge of seriously
overheating. Nevertheless, it is likely that any further indication
of stronger economic activity in the weeks ahead may add to investor
concerns that accelerating economic activity could lead to higher
interest rates.
<PAGE>
[FN]
*Based on a constant investment throughout the period, with
dividends compounded daily, and reflecting a net return to the
investor after all expenses.
The Fund's portfolio composition at the end of the March period and
as of our last report to shareholders is detailed below:
3/31/96 9/30/95
Bank Notes 4.3% 5.6%
Certificates of Deposit 0.3 --
Certificates of Deposit--European 1.4 3.9
Certificates of Deposit--Yankee* 1.3 5.3
Commercial Paper 38.0 37.2
Corporate Notes 5.6 2.3
Funding Agreements 0.4 --
Master Notes 2.2 1.5
Medium-Term Notes 0.7 2.3
Repurchase Agreements 1.9 2.5
Time Deposits 0.2 --
US Government, Agency &
Instrumentality Obligations--
Discount Notes 16.4 7.5
US Government & Agency
Obligations--Non-Discount Notes 27.1 33.4
Liabilities in Excess of Other Assets -- (1.5)
Other Assets Less Liabilities 0.2 --
------ ------
Total 100.0% 100.0%
====== ======
[FN]
*US branches of foreign banks.
In Conclusion
We appreciate your continued support of CMA Money Fund, and we look
forward to assisting you with your financial needs in the months and
years ahead.
Sincerely,
(Arthur Zeikel)
Arthur Zeikel
President
<PAGE>
(Kevin J. McKenna)
Kevin J. McKenna
Vice President and Portfolio Manager
May 6, 1996
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Bank Notes++--4.3%
Banc One, Chicago $ 100,000 5.38 % 9/05/96 $ 99,987
Banc One, Columbus 69,000 5.32 9/18/96 68,975
Banc One, Dayton 50,000 5.33 1/27/97 49,980
Banc One, Milwaukee 106,000 5.37 8/28/96 105,983
Banc One, Texas 125,000 5.37 9/05/96 124,979
First Bank N.A., 100,000 5.386 5/06/96 100,000
Milwaukee 100,000 5.356 9/18/96 99,986
First Bank Systems, Inc. 37,000 5.346 11/20/96 36,993
50,000 5.346 12/17/96 49,990
Key Bank of New York, 100,000 5.36 8/16/96 99,982
Albany 50,000 5.33 9/06/96 49,985
Key Bank of 50,000 5.35 9/06/96 49,985
Washington
Morgan Guaranty 90,000 5.33 7/05/96 89,984
Trust
NBD Bank N.A., 95,000 6.40 4/25/96 95,060
Indianapolis
Nations Bank,
Texas 75,000 5.40 4/17/96 75,000
<PAGE>
Society National Bank, 75,000 5.36 8/16/96 74,986
Cleveland 50,000 5.35 9/06/96 49,985
Wachovia Bank of 100,000 5.188 4/01/97 99,907
North Carolina 150,000 5.188 4/03/97 149,859
Total Bank Notes
(Cost--$1,571,541) 1,571,606
Certificates of Deposit--0.3%
American Express 50,000 5.24 4/01/96 50,000
Centurion Bank 50,000 5.25 4/02/96 50,000
Total Certificates of Deposit
(Cost--$100,000) 100,000
Certificates of Deposit--European--1.4%
ABN AMRO Bank 30,000 5.74 4/23/96 30,007
N.V., London
Abbey National 20,000 6.76 4/02/96 20,003
Treasury Services 100,000 6.54 4/09/96 100,030
PLC, London
Australia & New Zealand 40,000 5.36 7/09/96 39,991
Banking Group,
London
Bank Austria, London 30,000 5.43 4/16/96 30,002
Bank of America 50,000 5.75 4/29/96 50,015
N.T. & S.A., London
Bayerische Hypotheken- 50,000 5.47 4/16/96 50,004
und-Wechsel Bank,
London
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Certificates of Deposit--European (concluded)
<PAGE>
Bayerische $ 35,000 5.75 % 4/30/96 $ 35,013
Vereinsbank AG, London
Chemical Bank, London 100,000 5.81 4/04/96 100,007
Landesbank Hessen- 30,000 5.73 4/23/96 30,007
Thuringen Girozentrale,
London
Westpac Banking Corp., 25,000 5.84 4/04/96 25,002
London
Total Certificates of Deposit--European
(Cost--$510,002) 510,081
Certificates of Deposit--Yankee--1.3%
ABN AMRO Bank 50,000 5.11 5/31/96 49,974
N.V., Chicago
Banque Nationale 20,000 5.19 5/03/96 19,999
de Paris, San Francisco
Dresdner Bank, NY 50,000 6.50 5/01/96 50,045
HongKong Bank, NY 100,000 5.29 4/15/96 100,000
Societe Generale, NY 100,000 5.47 4/04/96 100,003
135,000 5.23 5/01/96 135,001
15,000 5.28 5/01/96 15,001
Total Certificates of Deposit--Yankee
(Cost--$470,028) 470,023
Commercial Paper--38.0%
ABN AMRO North 173,000 5.57 4/24/96 172,348
America Finance, Inc.
ANZ (Delaware), Inc. 23,000 5.25 4/01/96 22,990
APRECO, Inc. 25,000 5.35 4/22/96 24,911
ARCO Coal Australia 21,705 5.22 4/10/96 21,667
Inc.
AT&T Corp. 150,000 5.35 4/24/96 149,420
(Assumable by 150,000 5.35 4/25/96 149,398
Lucent Technologies)
<PAGE>
Allomon Funding Corp. 20,100 5.35 4/17/96 20,043
20,136 5.35 5/09/96 20,013
Alpine Securitization 43,205 5.20 4/03/96 43,174
Corp. 15,159 5.21 4/03/96 15,148
16,636 5.17 4/22/96 16,579
American Brands, Inc. 70,000 5.33 4/11/96 69,868
American Express 25,000 5.39 7/11/96 24,619
Credit Corp.
Asset Securitization 81,625 5.20 4/02/96 81,578
Cooperative Corp. 115,000 5.20 4/03/96 114,917
43,000 5.20 5/02/96 42,789
36,490 5.35 5/03/96 36,300
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Commercial Paper (continued)
Associates Corporation $ 50,000 5.42 % 4/15/96 $ 49,877
of North America 50,000 5.42 4/16/96 49,870
50,000 5.42 4/17/96 49,862
50,000 5.54 5/09/96 49,706
200,000 5.54 5/10/96 198,794
100,000 5.45 6/14/96 98,871
Avco Financial 30,000 5.22 4/11/96 29,943
Services, Inc.
B.A.T. Capital Corp. 12,250 5.23 4/02/96 12,243
BOC Group, Inc. 50,000 5.37 4/08/96 49,925
BankAmerica Corp. 100,000 5.27 4/12/96 99,795
Bass Finance (C.I.) Ltd. 34,875 5.25 5/17/96 34,625
Bear Stearns Cos., Inc. 100,000 5.42 4/02/96 99,941
25,000 5.23 4/12/96 24,949
50,000 5.18 4/22/96 49,827
50,000 5.15 6/25/96 49,355
<PAGE>
Beta Finance Inc. 16,500 5.35 4/19/96 16,449
CIT Group Holdings, 100,000 5.25 4/12/96 99,796
Inc. (The) 75,000 5.35 4/23/96 74,721
CS First Boston Inc. 70,000 5.19 4/10/96 69,879
25,000 5.19 4/11/96 24,953
35,000 5.27 4/29/96 34,841
CSW Credit, Inc. 23,300 5.20 4/08/96 23,266
33,200 5.20 4/09/96 33,147
20,000 5.21 4/11/96 19,962
11,400 5.22 4/12/96 11,377
20,500 5.35 5/09/96 20,375
22,000 5.37 5/09/96 21,865
CXC Inc. 25,000 5.18 4/03/96 24,982
10,000 5.40 4/04/96 9,991
20,000 5.20 4/09/96 19,968
25,000 5.22 4/10/96 24,957
25,000 5.18 4/11/96 24,953
40,000 5.35 4/22/96 39,857
25,000 5.25 5/09/96 24,851
Caisse des Depots et 195,000 5.35 4/18/96 194,420
Consignations 30,000 5.23 6/21/96 29,630
Canadian Wheat Board 50,000 5.58 4/26/96 49,797
50,000 5.575 4/29/96 49,775
50,000 5.58 4/29/96 49,775
50,000 5.575 4/30/96 49,769
50,000 5.58 4/30/96 49,769
Cargill Inc. 65,825 5.45 4/03/96 65,775
Caterpillar, Financial 11,600 5.37 5/08/96 11,531
Services Corp. 13,500 5.375 5/30/96 13,376
Cheltenham & 25,000 5.38 4/04/96 24,978
Gloucester PLC
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Commercial Paper (continued)
<PAGE>
Chevron UK $ 25,000 5.25 % 4/11/96 $ 24,953
Investments PLC Corp.
Ciesco L.P. 30,000 5.35 4/24/96 29,884
40,000 5.23 4/26/96 39,837
24,000 5.35 5/03/96 23,875
Commercial Credit Corp. 50,000 5.19 4/11/96 49,906
Commerzbank US 107,000 5.22 4/04/96 106,907
Finance Inc.
Corporate Asset 75,000 5.45 4/01/96 74,966
Funding Co., Inc.
Corporate Receivables 38,200 5.17 4/10/96 38,134
Corp. 50,000 5.24 4/11/96 49,905
40,000 5.32 4/12/96 39,917
106,700 5.35 4/23/96 106,304
50,000 5.35 4/24/96 49,807
75,000 5.35 5/03/96 74,610
Creditanstalt Finance, 50,000 5.22 4/08/96 49,928
Inc.
Daimler-Benz North 75,000 5.50 4/02/96 74,954
America Corp.
Deer Park Refining L.P. 50,000 5.35 4/12/96 49,896
Delaware Funding Corp. 84,087 5.21 4/01/96 84,050
18,377 5.35 4/15/96 18,331
16,839 5.35 4/22/96 16,779
Du Pont (E.I.) de 25,000 5.58 4/26/96 24,899
Nemours & Co. 50,000 5.58 4/30/96 49,769
ESC Securitization Inc. 30,000 5.21 4/01/96 29,987
38,000 5.17 4/19/96 37,885
Eiger Capital Corp. 19,903 5.35 4/24/96 19,826
39,977 5.35 4/25/96 39,817
120,000 5.37 4/25/96 119,517
18,107 5.37 4/29/96 18,023
Electricite de France 20,000 5.63 4/02/96 19,988
Service Nationale 25,000 5.59 4/26/96 24,899
<PAGE>
Eureka Securitization 10,000 5.22 4/01/96 9,996
Inc. 40,000 5.23 4/11/96 39,924
10,000 5.35 4/25/96 9,960
20,000 5.15 5/02/96 19,902
20,000 5.12 5/24/96 19,836
Export Development Corp. 30,000 5.35 4/12/96 29,938
Exxon Imperial (US) Inc. 74,445 5.22 4/09/96 74,326
50,000 5.22 4/11/96 49,906
Falcon Asset 59,050 5.18 4/09/96 58,957
Securitization Corp. 25,000 5.21 4/09/96 24,960
55,490 5.37 4/25/96 55,267
58,100 5.27 4/26/96 57,862
Fleet Funding Corp. 33,581 5.35 4/10/96 33,521
39,200 5.35 4/23/96 39,054
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Commercial Paper (continued)
Ford Motor Credit Co. $100,000 5.20 % 4/03/96 $ 99,928
150,000 5.20 4/04/96 149,870
100,000 5.50 4/08/96 99,924
150,000 5.23 4/12/96 149,695
250,000 5.34 4/24/96 249,036
250,000 5.35 4/26/96 248,960
France Telecom 14,600 5.29 4/22/96 14,549
General Electric 100,000 5.41 4/01/96 99,956
Capital Corp. 100,000 5.41 4/02/96 99,941
261,000 5.18 4/11/96 260,512
262,000 5.21 4/12/96 261,469
200,000 5.35 4/19/96 199,376
50,000 5.59 4/19/96 49,848
100,000 5.58 4/22/96 99,652
125,000 5.59 4/22/96 124,565
100,000 5.59 4/23/96 99,638
General Electric 50,000 5.18 4/11/96 49,906
Capital Services, Inc. 50,000 5.21 4/12/96 49,899
50,000 5.35 4/18/96 49,851
<PAGE>
General Motors 20,000 5.25 4/02/96 19,988
Acceptance Corp. 250,000 5.23 4/04/96 249,782
150,000 5.37 4/12/96 149,687
30,000 5.40 4/15/96 29,924
150,000 5.33 5/09/96 149,089
150,000 5.17 6/03/96 148,548
Glaxo Wellcome PLC 50,000 5.20 4/03/96 49,964
Greenwich Funding Corp. 27,126 5.37 4/25/96 27,017
40,400 5.30 4/26/96 40,233
20,000 5.27 5/13/96 19,868
Heinz (H.J.) Company 14,000 5.22 4/09/96 13,978
Hertz Corp. 25,000 5.20 4/04/96 24,978
50,000 5.36 4/26/96 49,792
IBM Credit Corp. 100,000 5.22 4/11/96 99,812
50,000 5.35 4/19/96 49,844
International Business 20,100 5.22 4/02/96 20,088
Machines Corp. 50,000 5.35 4/19/96 49,844
International Lease 75,000 5.22 4/10/96 74,870
Finance Corp. 25,000 5.35 4/22/96 24,911
International 58,000 5.57 4/19/96 57,823
Nederlanden (US)
Funding Corp
KFW International 30,000 5.22 4/09/96 29,952
Finance Inc. 17,000 5.22 4/11/96 16,968
25,000 5.22 4/12/96 24,949
Kingdom of Sweden 36,895 5.37 4/04/96 36,862
50,000 5.58 4/25/96 49,804
50,000 5.54 4/30/96 49,769
15,000 5.10 5/16/96 14,895
19,425 5.20 5/16/96 19,289
Knight-Ridder, Inc. 50,000 5.59 5/03/96 49,749
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
<PAGE>
Commercial Paper (continued)
Korea Development $ 50,000 5.18 % 4/22/96 $ 49,827
Bank
Matterhorn Capital Corp. 42,995 5.37 4/25/96 42,822
McKenna Triangle 40,000 5.20 4/09/96 39,936
National Corp. 30,000 5.20 4/10/96 29,948
13,000 5.22 4/12/96 12,974
17,000 5.20 4/19/96 16,948
50,000 5.35 4/23/96 49,814
50,000 5.15 5/03/96 49,749
Morgan (J.P.) & 193,300 5.27 4/11/96 192,932
Company, Inc.
Morgan Stanley 70,000 5.21 4/19/96 69,787
Group, Inc. 25,000 5.30 4/29/96 24,888
National Australia 250,000 5.44 5/16/96 248,243
Funding (Delaware)
Inc.
National Fleet 66,000 5.18 4/03/96 65,953
Funding Corp. 45,000 5.18 4/04/96 44,961
15,000 5.23 4/12/96 14,969
19,820 5.21 4/26/96 19,740
National Rural Utilities 35,000 5.22 4/26/96 34,858
Cooperative Finance
Corp.
New Center Asset Trust 150,000 5.34 4/22/96 149,466
100,000 5.35 5/01/96 99,510
400,000 5.39 5/10/96 397,485
New South Wales 62,000 5.64 4/02/96 61,964
Treasury Corp. 68,000 5.63 4/04/96 67,941
Nomura Holding 10,000 5.19 4/16/96 9,974
America, Inc. 20,000 5.21 4/17/96 19,945
40,000 5.17 4/29/96 39,820
20,000 5.33 5/16/96 19,859
20,000 5.33 5/17/96 19,857
20,000 5.35 5/22/96 19,842
20,000 5.35 5/24/96 19,836
<PAGE>
Oesterreichische 114,925 5.51 7/26/96 112,919
Kontrollbank
Aktiengesellschaft
PHH Corp. 16,030 5.23 4/03/96 16,018
20,500 5.18 4/12/96 20,459
Panasonic Finance Inc. 13,000 5.37 4/04/96 12,988
Preferred Receivables 151,430 5.25 4/01/96 151,364
Funding Corp. 100,000 5.32 4/17/96 99,719
43,600 5.35 4/17/96 43,477
Premium Funding, Inc. 23,608 5.25 4/01/96 23,598
(Series A)
Province of British 29,000 5.63 4/01/96 28,987
Columbia
Province of Quebec 55,500 5.35 5/01/96 55,228
Queensland Treasury 25,000 5.38 4/16/96 24,935
Corp.
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Commercial Paper (concluded)
RTZ America Inc. $ 20,000 5.20 % 4/04/96 $ 19,983
20,000 5.18 4/12/96 19,960
33,000 5.22 4/12/96 32,933
Raytheon Co. 70,000 5.45 4/01/96 69,968
Reed Elsevier Inc. 30,000 5.22 4/12/96 29,939
50,000 5.35 4/25/96 49,799
Rexam PLC 27,250 5.22 4/01/96 27,238
11,000 5.22 4/04/96 10,990
15,648 5.37 4/12/96 15,615
21,000 5.15 4/25/96 20,918
<PAGE>
Riverwoods Funding 25,000 5.35 4/23/96 24,907
Corp.
Sandoz Corp. 25,000 5.25 4/03/96 24,982
75,000 5.15 4/29/96 74,663
Sheffield Receivables 18,000 5.18 4/11/96 17,966
Corp. 63,300 5.20 4/15/96 63,145
118,700 5.22 4/15/96 118,407
Siemens Corp. 25,000 5.25 4/09/96 24,960
Student Loan Corp. 25,000 5.25 4/04/96 24,978
Svenska 68,700 5.40 4/09/96 68,590
Handelsbanken, Inc.
Toronto Dominion 70,000 5.35 4/22/96 69,750
Holdings (USA) Inc.
Toshiba America Inc. 25,000 5.20 4/12/96 24,949
Toshiba International 9,900 5.12 5/24/96 9,819
Finance (UK) PLC
Toyota Motor Credit 40,000 5.25 4/04/96 39,965
Corp. 25,000 5.23 4/08/96 24,964
25,000 5.35 4/18/96 24,926
30,000 5.35 4/23/96 29,889
25,000 5.35 4/24/96 24,903
Vermont American 40,000 5.35 5/03/96 39,792
Corp.
WCP Funding Inc. 10,000 5.20 4/08/96 9,986
20,000 5.25 4/16/96 19,948
25,000 5.32 4/16/96 24,934
30,000 5.25 5/10/96 29,816
Walt Disney Co. (The) 350,000 5.25 4/17/96 349,030
500,000 5.25 4/18/96 498,542
Windmill Funding Corp. 16,708 5.23 4/04/96 16,693
26,335 5.40 4/04/96 26,312
14,000 5.35 4/22/96 13,950
49,200 5.37 4/22/96 49,024
40,250 5.30 4/26/96 40,084
92,957 5.35 4/26/96 92,570
Xerox Corp. 50,000 5.35 5/08/96 49,703
<PAGE>
Xerox Credit Corp. 21,000 5.35 4/02/96 20,988
45,000 5.35 4/03/96 44,967
Total Commercial Paper
(Cost--$14,030,351) 14,030,929
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
Corporate Notes--5.6%
CIT Group Holdings, $180,000 5.31++ % 9/12/96 $ 179,928
Inc. (The) 150,000 5.31++ 9/26/96 149,936
200,000 5.30++ 12/23/96 199,858
100,000 5.30++ 2/06/97 99,934
Ford Motor Credit Co. 38,090 8.875 8/01/96 38,505
Morgan (J.P.) & 146,500 5.38++ 7/17/96 146,470
Company, Inc.
PHH Corp. 175,000 5.393++ 12/13/96 174,952
75,000 5.342++ 3/25/97 74,971
SMM Trust 1995--K 261,000 5.333++ 6/14/96 261,000
SMM Trust 1995--Q 346,000 5.375++ 1/08/97 346,000
Short Term Card 400,000 5.323++ 1/15/97 400,000
Account Trust 1995--I
Total Corporate Notes
(Cost--$2,071,463) 2,071,554
Funding Agreements--0.4%
Transamerica Life 150,000 5.313 2/28/97 150,000
Insurance & Annuity
Company
Total Funding Agreements
(Cost--$150,000) 150,000
<PAGE>
Master Notes--2.2%
Goldman Sachs 130,000 5.46 8/09/96 130,000
Group, L.P. 300,000 5.44 11/08/96 300,000
400,000 5.41 11/29/96 400,000
Total Master Notes (Cost--$830,000) 830,000
Medium-Term Notes--0.7%
Bear Stearns Cos., Inc. 31,000 6.00++ 5/22/96 31,005
Beta Finance Inc. 120,000 5.335++ 9/16/96 120,000
Toyota Motor 112,000 5.343++ 9/13/96 111,965
Credit Corp.
Total Medium-Term Notes
(Cost--$262,971) 262,970
Time Deposits--0.2%
Society National Bank 75,000 5.50 4/01/96 75,000
Cleveland, Cayman
Total Time Deposits (Cost--$75,000) 75,000
US Government & Agency Obligations--
Discount Notes--16.4%
Federal Farm 23,000 5.25 4/08/96 22,967
Credit Bank 47,000 5.25 4/15/96 46,885
90,000 5.24 4/17/96 89,754
Federal Home 41,725 5.33 4/19/96 41,599
Loan Banks 24,000 5.17 5/02/96 23,885
36,505 4.99 5/06/96 36,310
15,000 4.99 5/07/96 14,918
100,000 4.99 5/08/96 99,434
17,000 5.17 5/10/96 16,899
153,000 5.17 5/13/96 152,027
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
<PAGE>
US Government & Agency Obligations--
Discount Notes (concluded)
Federal Home Loan $ 10,200 6.02 % 4/12/96 $ 10,179
Mortgage Corp. 34,000 4.99 5/02/96 33,837
8,379 4.99 5/06/96 8,334
88,690 4.99 5/07/96 88,203
14,000 4.99 5/08/96 13,921
33,824 5.00 5/08/96 33,633
36,709 5.00 5/09/96 36,496
20,000 5.00 5/10/96 19,881
100,000 5.03 6/05/96 99,008
150,000 5.045 6/07/96 148,469
Federal National 188,485 5.25 4/09/96 188,187
Mortgage Association 87,220 5.24 4/10/96 87,070
226,000 5.08 4/24/96 225,156
200,000 5.08 4/26/96 199,196
85,000 5.22 4/26/96 84,658
140,000 5.07 4/29/96 139,377
54,000 5.15 5/03/96 53,734
164,000 5.16 5/03/96 163,192
25,000 5.34 5/07/96 24,863
272,935 4.99 5/10/96 271,314
378,645 5.00 5/10/96 376,396
102,890 5.04 6/06/96 101,855
28,000 5.09 7/24/96 27,527
US Treasury Bills 84,220 5.05 4/18/96 83,984
200,000 4.70 9/19/96 195,118
100,000 4.72 9/19/96 97,559
600,000 4.80 9/19/96 585,355
50,000 4.62 11/14/96 48,369
260,000 4.67 11/14/96 251,520
50,000 4.69 11/14/96 48,369
100,000 4.70 11/14/96 96,738
400,000 4.715 11/14/96 386,954
100,000 4.72 11/14/96 96,738
335,000 4.545 2/06/97 320,009
410,000 4.55 2/06/97 391,655
100,000 4.552 2/06/97 95,526
90,000 4.555 2/06/97 85,973
105,000 4.557 2/06/97 100,302
50,000 4.56 2/06/97 47,763
150,000 4.565 2/06/97 143,288
Total US Government & Agency
Obligations--Discount Notes
(Cost--$6,064,603) 6,054,384
<PAGE>
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
US Government & Agency Obligations--
Non-Discount Notes--27.1%
Federal Farm $ 25,000 6.39 % 4/17/96 $ 25,009
Credit Bank 50,000 5.25 5/01/96 49,992
15,000 5.17 10/01/96 14,988
34,000 5.22++ 1/13/97 33,962
140,000 5.30++ 3/14/97 139,902
100,000 5.20++ 3/19/97 99,848
125,000 5.31++ 2/02/98 124,935
85,000 5.28++ 3/02/98 84,908
Federal Home 209,485 6.42 4/24/96 209,592
Loan Banks 274,000 5.71++ 6/17/96 274,000
109,000 5.71++ 6/21/96 109,000
60,000 5.125++ 8/05/96 59,967
38,500 5.67++ 12/23/96 38,513
61,570 6.18 10/02/97 61,539
25,000 5.60++ 1/26/98 24,852
50,000 5.60++ 1/29/98 49,702
135,000 5.70++ 10/11/00 135,000
Federal Home Loan 165,000 6.45 4/08/96 165,035
Mortgage Corp. 58,400 5.58++ 5/06/96 58,400
55,000 5.75++ 5/13/98 55,000
Federal National 355,000 5.22++ 5/10/96 354,980
Mortgage Association 374,000 5.58++ 5/13/96 374,000
270,000 5.58++ 5/24/96 270,000
198,000 5.31++ 7/08/96 197,953
173,000 5.318++ 7/18/96 172,959
175,000 5.122++ 10/11/96 174,880
624,000 5.218++ 10/11/96 624,000
220,000 5.36++ 10/15/96 219,928
163,000 5.39++ 11/04/96 163,000
200,000 5.29++ 12/19/96 199,895
445,000 5.34++ 2/21/97 445,000
80,000 5.30++ 3/14/97 80,000
50,000 5.168++ 3/19/97 49,964
50,000 5.238++ 3/19/97 49,964
75,000 5.245++ 3/25/97 74,961
250,000 5.36++ 3/27/97 249,880
266,000 5.268++ 4/15/97 265,716
305,000 5.27++ 4/28/97 304,776
200,000 5.205++ 4/29/97 199,779
267,700 5.70++ 5/19/97 267,700
200,000 5.30++ 8/07/97 199,716
116,675 5.79 11/14/97 116,224
200,000 5.33++ 1/06/98 199,900
190,000 5.19 1/08/98 187,625
<PAGE>
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONCLUDED) (IN THOUSANDS)
Face Interest Maturity Value
Issue Amount Rate* Date (Note 1a)
US Government & Agency Obligations--
Non-Discount Notes (concluded)
Student Loan $ 25,000 5.34 % 4/11/96 $ 24,999
Marketing Association++ 39,100 5.34 4/16/96 39,101
50,000 5.30 5/14/96 50,005
98,585 5.27 8/09/96 98,561
15,000 5.57 8/22/96 15,017
710,000 5.218 9/20/96 710,000
355,000 5.39 10/04/96 354,983
150,000 5.48 1/14/97 150,000
7,095 5.52 1/23/97 7,098
38,480 5.54 2/14/97 38,530
44,215 5.29 10/14/97 44,126
54,500 5.33 10/17/97 54,427
23,175 5.47 10/30/97 23,192
US Treasury Notes 576,000 7.875 7/15/96 580,140
130,000 6.125 7/31/96 130,325
150,000 7.25 11/15/96 151,617
287,000 5.00 1/31/98 282,960
Total US Government & Agency Obligations--
Non-Discount Notes (Cost--$10,019,758) 10,012,025
CMA MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONCLUDED) (IN THOUSANDS)
Face Value
Amount Issue (Note 1a)
Repurchase Agreements**--1.9%
$ 75,000 Dean Witter Reynolds, Inc.,
purchased on 3/29/96 to yield
5.45% to 4/01/96 $ 75,000
100,000 Fuji Securities, Inc., purchased
on 3/29/96 to yield 5.45% to
4/01/96 100,000
<PAGE>
300,000 Lehman Brothers Inc.,
purchased on 3/29/96 to yield
5.45% to 4/01/96 300,000
250,000 Nomura Securities International
Inc., purchased on 3/29/96 to yield
5.45% to 4/01/96 250,000
Total Repurchase Agreements
(Cost--$725,000) 725,000
Total Investments
(Cost--$36,880,717)--99.8% 36,863,572
Other Assets Less Liabilities--0.2% 59,286
-----------
Net Assets--100.0% $36,922,858
===========
[FN]
*Commercial Paper and certain US Government & Agency Obligations are
traded on a discount basis; the interest rates shown are the
discount rates paid at the time of purchase by the Fund. Other
securities bear interest at the rates shown, payable at fixed dates
through maturity. Interest rates on variable rate securities are
adjusted periodically based on appropriate indexes; the interest
rates shown are the rates in effect at March 31, 1996.
**Repurchase Agreements are fully collateralized by US Government
Obligations.
++Variable Rate Notes.
See Notes To Financial Statements.
<TABLE>
CMA MONEY FUND
STATEMENT OF ASSETS AND LIABILITIES AS OF MARCH 31, 1996
<S> <C> <C>
Assets:
Investments, at value (identified cost--$36,880,716,523++) (Note 1a) $ 36,863,571,861
Cash 296,499
Receivables:
Securities sold $ 368,765,167
Interest 142,670,583
Beneficial interest sold 41,204 511,476,954
----------------
Prepaid registration fees and other assets (Note 1d) 1,305,278
----------------
Total assets 37,376,650,592
----------------
<PAGE>
Liabilities:
Payables:
Securities purchased 425,639,363
Distributor (Note 2) 11,185,288
Investment adviser (Note 2) 11,104,875 447,929,526
----------------
Accrued expenses and other liabilities 5,862,708
----------------
Total liabilities 453,792,234
----------------
Net Assets $ 36,922,858,358
================
Net Assets Consist of:
Shares of beneficial interest, $0.10 par value, unlimited number of
shares authorized $ 3,694,000,302
Paid-in capital in excess of par 33,246,002,718
Unrealized depreciation on investments--net (17,144,662)
----------------
Net Assets--Equivalent to $1.00 per share based on 36,940,003,019 shares
of beneficial interest outstanding $ 36,922,858,358
================
<FN>
++Cost for Federal income tax purposes was $36,882,135,789. As of
March 31, 1996, net unrealized depreciation for Federal income tax
purposes amounted to $18,563,928, of which $1,144,206 related to
appreciated securities and $19,708,134 related to depreciated
securities.
See Notes to Financial Statements.
</TABLER>
</TABLE>
<TABLE>
CMA MONEY FUND
STATEMENT OF OPERATIONS FOR THE YEAR ENDED MARCH 31, 1996
<S> <C> <C>
Investment Income (Note 1c):
Interest and amortization of premium and discount earned $ 1,928,838,025
<PAGE>
Expenses:
Investment advisory fees (Note 2) $ 124,239,520
Distribution fees (Note 2) 40,955,813
Transfer agent fees (Note 2) 13,553,915
Registration fees (Note 1d) 3,850,511
Accounting services (Note 2) 1,117,588
Custodian fees 782,658
Printing and shareholder reports 541,695
Professional fees 176,848
Trustees' fees and expenses 77,711
Other 467,074
----------------
Total expenses 185,763,333
----------------
Investment income--net 1,743,074,692
Realized Gain on Investments--Net (Note 1c) 18,808,723
Change in Unrealized Depreciation on Investments--Net (9,344,275)
----------------
Net Increase in Net Assets Resulting from Operations $ 1,752,539,140
================
See Notes to Financial Statements.
</TABLE>
<TABLE>
CMA MONEY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
For the Year Ended March 31,
Increase (Decrease) in Net Assets: 1996 1995
<S> <C> <C>
Operations:
Investment income--net $ 1,743,074,692 $ 1,209,280,186
Realized gain on investments--net 18,808,723 7,984,282
Change in unrealized depreciation on investments--net (9,344,275) 5,456,273
---------------- ----------------
Net increase in net assets resulting from operations 1,752,539,140 1,222,720,741
---------------- ----------------
Dividends and Distributions to Shareholders (Note 1e):
Investment income-- net (1,743,074,692) (1,209,280,186)
Realized gain on investments-- net (18,808,723) (7,984,282)
---------------- ----------------
Net decrease in net assets resulting from dividends and distributions
to shareholders (1,761,883,415) (1,217,264,468)
---------------- ----------------
<PAGE>
Beneficial Interest Transactions (Note 3):
Net proceeds from sale of shares 139,092,550,999 114,576,757,341
Net asset value of shares issued to shareholders in reinvestment of
dividends (Note 1e) 1,758,190,139 1,214,458,420
---------------- ----------------
140,850,741,138 115,791,215,761
Cost of shares redeemed (132,985,300,190) (113,801,792,385)
---------------- ----------------
Net increase in net assets derived from beneficial interest
transactions 7,865,440,948 1,989,423,376
---------------- ----------------
Net Assets:
Total increase in net assets 7,856,096,673 1,994,879,649
Beginning of year 29,066,761,685 27,071,882,036
---------------- ----------------
End of year $ 36,922,858,358 $ 29,066,761,685
================ ================
See Notes to Financial Statements.
</TABLE>
<TABLE>
CMA MONEY FUND
FINANCIAL HIGHLIGHTS
<CAPTION>
The following per share data and ratios have
been derived from information provided in the
financial statements.
For the Year Ended March 31,
Increase (Decrease) in Net Asset Value: 1996 1995 1994 1993 1992
<S> <C> <C> <C> <C> <C>
Per Share Operating Performance:
Net asset value, beginning of year $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
----------- ----------- ----------- ----------- -----------
Investment income--net .0529 .0437 .0276 .0309 .0498
Realized and unrealized gain (loss) on
investments--net .0003 .0005 (.0005) .0019 .0019
----------- ----------- ----------- ----------- -----------
Total from investment operations .0532 .0442 .0271 .0328 .0517
----------- ----------- ----------- ----------- -----------
Less dividends and distributions:
Investment income--net (.0529) (.0437) (.0276) (.0309) (.0498)
Realized gain on investments--net (.0006) (.0003) (.0003) (.0015) (.0020)
<PAGE> ----------- ----------- ----------- ----------- -----------
Total dividends and distributions (.0535) (.0440) (.0279) (.0324) (.0518)
----------- ----------- ----------- ----------- -----------
Net asset value, end of year $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
=========== =========== =========== =========== ===========
Total Investment Return 5.51% 4.50% 2.82% 3.30% 5.27%
=========== =========== =========== =========== ===========
Ratios to Average Net Assets:
Expenses .56% .56% .55% .55% .54%
=========== =========== =========== =========== ===========
Investment income and realized gain on
investments--net 5.35% 4.42% 2.79% 3.25% 5.18%
=========== =========== =========== =========== ===========
Supplemental Data:
Net assets, end of year (in thousands) $36,922,858 $29,066,762 $27,071,882 $27,093,682 $29,106,627
=========== =========== =========== =========== ===========
See Notes to Financial Statements.
</TABLE>
CMA MONEY FUND
NOTES TO FINANCIAL STATEMENTS
1. Significant Accounting Policies:
CMA Money Fund (the "Fund") is registered under the Investment
Company Act of 1940 as a no load, diversified, open-end management
investment company. The following is a summary of significant
accounting policies followed by the Fund.
(a) Valuation of investments--Investments maturing more than sixty
days after the valuation date are valued at the most recent bid
price or yield equivalent as obtained from dealers that make markets
in such securities. When securities are valued with sixty days or
less to maturity, the difference between the valuation existing on
the sixty-first day before maturity and maturity value is amortized
on a straight-line basis to maturity. Investments maturing within
sixty days from their date of acquisition are valued at amortized
cost, which approximates market value.
For the purpose of valuation, the maturity of variable rate
certificates of deposit, variable rate commercial paper, short-term
corporate bond notes and variable rate corporate notes is deemed to
be the next coupon date on which the interest rate is to be
adjusted. Assets for which market quotations are not readily
available are valued at fair value as determined in good faith by or
under the direction of the Board of Trustees of the Fund.
<PAGE>
(b) Income taxes--It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of its taxable income to
its shareholders. Therefore, no Federal income tax provision is
required.
(c) Security transactions and investment income--Security
transactions are recorded on the dates the transactions are entered
into (the trade dates). Interest income, including amortization of
premium and discount, is recognized on the accrual basis. Realized
gains and losses on security transactions are determined on the
identified cost basis.
(d) Prepaid registration fees--Prepaid registration fees are charged
to expense as the related shares are issued.
(e) Dividends and distributions to shareholders--The Fund declares
dividends daily and reinvests daily such dividends (net of non-
resident alien tax and back-up withholding tax withheld) in
additional fund shares at net asset value. Dividends and
distributions are declared from the total of net investment income
and net realized gain or loss on investments.
2. Investment Advisory Agreement and
Transactions with Affiliates:
The Fund has entered into an Investment Advisory Agreement with Fund
Asset Management, L.P. ("FAM" or "Adviser"). The general partner of
FAM is Princeton Services, Inc. ("PSI"), an indirect wholly-owned
subsidiary of Merrill Lynch & Co., Inc. ("ML & Co."), which is the
limited partner.
FAM is responsible for the management of the Fund's portfolio and
provides the necessary personnel, facilities, equipment and certain
other services necessary to the operations of the Fund. For such
services, the Fund pays a monthly fee based upon the average daily
value of the Fund's net assets at the following annual rates: 0.50%
of the Fund's average daily net assets not exceeding $500 million;
0.425% of the average daily net assets in excess of $500 million,
but not exceeding $1 billion; and 0.375% of the average daily net
assets in excess of $1 billion. The most restrictive annual expense
limitation requires that the Adviser reimburse the Fund to the
extent the Fund's expenses (excluding interest, taxes, distribution
fees, brokerage fees and commissions, and extraordinary items)
exceed 2.5% of the Fund's first $30 million of average daily net
assets, 2.0% of the next $70 million of average daily net assets and
1.5% of the average daily net assets in excess thereof.
<PAGE>
CMA MONEY FUND
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)
No fee payment will be made to the Adviser during the year which
will cause such expenses to exceed the pro rata expense limitation
at the time of such payment.
The Fund has adopted a Distribution and Shareholder Servicing Plan
in compliance with Rule 12b-1 under the Investment Company Act of
1940, pursuant to which Merrill Lynch, Pierce, Fenner & Smith Inc.
("MLPF&S") receives a distribution fee under the Distribution
Agreement from the Fund at the end of each month at the annual rate
of 0.125% of average daily net assets of the Fund for shareholders
who maintain their accounts through MLPF&S. The distribution fee is
to compensate MLPF&S financial consultants and other directly
involved branch office personnel for selling shares of the Fund and
for providing direct personal services to shareholders. The
distribution fee is not compensation for the administrative and
operational services rendered to the Fund by MLPF&S in processing
share orders and administering shareholder accounts.
Merrill Lynch Financial Data Services, Inc. ("MLFDS"), a wholly-
owned subsidiary of ML & Co., is the Fund's transfer agent.
Accounting services are provided to the Fund by FAM at cost.
Certain officers and/or trustees of the Fund are officers and/or
directors of FAM, PSI, MLPF&S, MLFDS, and/or ML & Co.
3. Shares of Beneficial Interest:
The number of shares purchased and redeemed during the periods
corresponds to the amounts included in the Statements of Changes in
Net Assets for net proceeds from sale of shares and cost of shares
redeemed, respectively, since shares are recorded at $1.00 per
share.
<AUDIT-REPORT>
CMA MONEY FUND
INDEPENDENT AUDITORS' REPORT
The Board of Trustees and Shareholders,
CMA Money Fund:
<PAGE>
We have audited the accompanying statement of assets and
liabilities, including the schedule of investments, of CMA Money
Fund as of March 31, 1996, the related statements of operations for
the year then ended and changes in net assets for each of the years
in the two-year period then ended, and the financial highlights for
each of the years in the five-year period then ended. These
financial statements and the financial highlights are the
responsibility of the Fund's management. Our responsibility is to
express an opinion on these financial statements and the financial
highlights based on our audits.
We conducted our audits in accordance with generally accepted
auditing standards. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial
statements and the financial highlights are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements.
Our procedures included confirmation of securities owned at March
31, 1996 by correspondence with the custodian and brokers. An audit
also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits
provide a reasonable basis for our opinion.
In our opinion, such financial statements and financial highlights
present fairly, in all material respects, the financial position of
CMA Money Fund at March 31, 1996, the results of its operations, the
changes in its net assets, and the financial highlights for the
respective stated periods in conformity with generally accepted
accounting principles.
Deloitte & Touche LLP
Princeton, New Jersey
May 6, 1996
</AUDIT-REPORT>
IMPORTANT TAX INFORMATION (UNAUDITED)
None of the ordinary income distributions paid daily by CMA Money
Fund during the fiscal year ended March 31, 1996 qualify for the
dividends-received deduction for corporations. Additionally, there
were no long-term capital gains distributions paid during the year.
<PAGE>
The law varies in each state as to whether and what percentage of
dividend income attributable to Federal Obligations is exempt from
state income tax. We recommend that you consult your tax adviser to
determine if any portion of the dividends you received is exempt
from state income tax.
Listed below are the percentages of total assets of the Fund
invested in Federal Obligations as of the end of each quarter of the
fiscal year:
Federal
For the Quarter Ended Obligations*
June 30, 1995 19.08%
September 30, 1995 19.27%
December 31, 1995 15.46%
March 31, 1996 21.01%
Of the Fund's ordinary income dividends paid during the fiscal year
ended March 31, 1996, 19.75% was attributable to Federal
Obligations. In calculating the foregoing percentages, expenses of
the Fund have been allocated on a pro rata basis.
Please retain this information for your records.
[FN]
*For purposes of this calculation, Federal Obligations include US
Treasury Notes, US Treasury Bills and US Treasury Bonds. Also
included are obligations issued by the following agencies: Banks for
Cooperatives, Federal Intermediate Credit Banks, Federal Land Banks,
Federal Home Loan Banks, and the Student Loan Marketing Association.
Repurchase Agreements are not included in this calculation.
CMA MONEY FUND
Officers and Trustees
Arthur Zeikel--President and Trustee
Ronald W. Forbes--Trustee
Cynthia A. Montgomery--Trustee
Charles C. Reilly--Trustee
Kevin A. Ryan--Trustee
Richard R. West--Trustee
Terry K. Glenn--Executive Vice President
Joseph T. Monagle, Jr.--Senior Vice President
Donald C. Burke--Vice President
Kevin J. McKenna--Vice President
Gerald M. Richard--Treasurer
Robert Harris--Secretary
<PAGE>
Custodian
State Street Bank and Trust Company
P.O. Box 1713
Boston, Massachusetts 02101
Transfer Agent
Merrill Lynch Financial Data Services, Inc.
4800 Deer Lake Drive East
Jacksonville, Florida 32246-6484
(800) 221-7210*
[FN]
*For inquiries regarding your CMA account,
call (800) CMA-INFO [(800) 262-4636].
