<PAGE>
HARTFORD
MONEY MARKET FUND, INC.
----------------------------------------
Semi-Annual Report
June 30, 1995
<PAGE>
LETTER TO SHAREHOLDERS
Dear Shareholders,
The rate of economic growth slowed significantly in the first six months of
1995. Consumers pulled back after spending freely in the fourth quarter of
1994, and production cuts followed as manufacturers and retailers sought to
bring inventories back into line. By late spring, when continued drops in
production and surprising declines in employment indicated the slowdown had
intensified, concerns about the possibility of recession surfaced. The Federal
Reserve, which had maintained a firm anti-inflation stance through February
when it raised interest rates for the seventh time in just a year, shifted
policy and cut the Federal Funds rate by 25 basis points on July 6.
Despite the recession concerns, the economy appears to be undergoing a
mini-cycle--a period of temporary weakness within a longer up cycle--triggered
by an inventory correction. By the end of the second quarter, employment had
resumed its growth trend and healthy increases in housing and retail sales
indicated that demand was picking up again. Although production won't follow
suit immediately, the question is less whether growth will reaccelerate, than
how much.
How that question is answered will have a good deal to do with determining
Federal Reserve policy over the second half of the year. Slower first half
growth muted many of the inflationary pressures that had built in the pipeline
during the latter half of 1994, providing room for the Federal Reserve to
implement its rate cut in early July. Although the financial markets appear to
have priced in at least another 25 basis point reduction in short-term
interest rates, the timing of the Fed's next move looks less certain than it
did only a few weeks ago. Without additional evidence of economic weakness,
hopes for more than one more reduction in rates appear unlikely to be
fulfilled.
Lowndes A. Smith Joseph H. Gareau
CHAIRMAN PRESIDENT
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HARTFORD MONEY MARKET FUND, INC.
STATEMENT OF NET ASSETS
JUNE 30, 1995 (UNAUDITED)
<TABLE>
<CAPTION>
AMORTIZED
PRINCIPAL COST AND
AMOUNT VALUE
- ---------- ------------
<C> <S> <C>
COMMERCIAL PAPER -- 81.8%
$ 500,000 Air Products & Chemical Corp.
5.920% due 08/25/95......... $ 495,642
500,000 American Honda Finance
6.560% due 07/06/95......... 499,727
500,000 A T & T Company
5.820% due 08/30/95......... 495,312
480,000 Aristar Inc.
6.100% due 09/21/95......... 473,493
500,000 ANZ (Delaware) Inc.
5.850% due 09/07/95......... 494,638
500,000 Bass Finance C.I. Ltd.
5.830% due 09/28/95......... 492,955
500,000 Commerzbank U.S. Finance
6.100% due 07/03/95......... 500,000
500,000 Ford Motor Credit Corp.
5.950% due 07/24/95......... 498,265
500,000 General Electric Capital
5.700% due 09/05/95......... 494,933
500,000 General Motors Acceptance
Corp.
6.450% due 08/02/95......... 497,313
500,000 General Signal Corp.
5.920% due 08/28/95......... 495,396
500,000 Goldman Sachs Group
6.500% due 07/17/95......... 498,736
500,000 Nynex Corp.
6.030% due 07/31/95......... 497,655
500,000 RTZ America Inc.
5.930% due 08/07/95......... 497,117
500,000 Sherwood Medical
6.080% due 07/10/95......... 499,409
500,000 Sony Capital Corp.
5.940% due 07/19/95......... 498,680
500,000 Svenska Handelsbanken Inc.
5.970% due 08/17/95......... 496,269
500,000 Tambrands Inc.
5.990% due 07/17/95......... 498,835
500,000 US Bankcorp
6.050% due 07/07/95......... 499,664
500,000 Whirlpool Corp.
6.020% due 08/01/95......... 497,575
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$9,921,614
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NON-CONVERTIBLE CORPORATE BONDS -- 4.1%
$ 500,000 Abbey National Treasury
5.540% due 11/16/95......... $ 499,855
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REPURCHASE AGREEMENT -- 14.1%
1,705,000 Interest in $61,511,000 joint
repurchase
agreement dated 06/30/95
with Shawmut
Bank 6.100% due 07/03/95;
maturity amount $1,705,867;
(Collateralized by
$62,920,000 U.S. Treasury
Note 4.250% due 11/16/95)... 1,705,000
-----------
Total short-term securities... $12,126,469
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-----------
</TABLE>
<TABLE>
<S> <C> <C>
DIVERSIFICATION OF ASSETS:
Total investment in securities
*(Identified cost of $12,126,469).......... 102.3% $12,126,469
Excess of liabilities over cash and
receivables................................ (2.3) (275,318 )
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Net Assets (Applicable to $1.00 per share
based on 11,851,151 shares outstanding).... 100.0% $11,851,151
------ ------------
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SUMMARY OF SHAREHOLDERS' EQUITY:
Capital stock, par value $.10 per share; authorized
500,000,000 shares; outstanding 11,851,151
shares............................................. $ 1,185,115
Capital surplus...................................... 10,666,036
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Net assets, applicable to shares outstanding......... $11,851,151
------------
------------
</TABLE>
* Aggregate cost for Federal income tax purposes.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
1
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HARTFORD MONEY MARKET FUND, INC.
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1995 (UNAUDITED)
<TABLE>
<S> <C>
INVESTMENT INCOME:
Interest.................................................. $398,418
EXPENSES:
Shareholder accounting.................................... 48,898
Investment advisory services.............................. 16,191
Registration fees......................................... 15,691
Administrative services................................... 11,334
Custodian fees............................................ 8,886
Board of Directors........................................ 63
Other expenses............................................ 3,842
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Total expenses.......................................... 104,905
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Net investment income..................................... 293,513
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Net increase in net assets resulting from operations...... $293,513
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--------
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
JUNE 30, 1995
<TABLE>
<CAPTION>
FOR THE SIX MONTHS
ENDED JUNE 30, 1995 YEAR ENDED
(UNAUDITED) DECEMBER 31, 1994
------------------- -----------------
<S> <C> <C>
OPERATIONS:
Net investment income..................................... $ 293,513 $ 371,951
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Net increase in net assets................................ 293,513 371,951
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income..................................... (293,513) (371,951)
CAPTIAL SHARE TRANSACTIONS:
Proceeds from Fund Shares sold (15,493,401 and 35,072,968
shares, respectively).................................... 15,493,401 35,072,968
Net asset value of Fund shares issued upon reinvestment of
dividends
(292,154 and 369,629 shares, respectively)............... 292,154 369,629
Cost of Fund Shares redeemed (15,618,137 and 35,262,478
shares,
respectively)............................................ (15,618,137) (35,262,478)
------------------- -----------------
Net increase (decrease) in net assets resulting from
capital share transactions............................... 167,418 180,119
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Total increase (decrease) in net assets................. 167,418 180,119
NET ASSETS:
Beginning of period....................................... 11,683,732 11,503,613
------------------- -----------------
End of period............................................. $ 11,851,151 $ 11,683,732
------------------- -----------------
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</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
2
<PAGE>
HARTFORD MONEY MARKET FUND, INC.
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1995 (UNAUDITED)
1. ORGANIZATION:
Hartford Money Market Fund, Inc., (the Fund) is registered under the
Investment Company Act of 1940, as amended, as a diversified, open-ended
management investment company. The Fund was organized under the laws of the
State of Maryland in February 1982, and commenced operations in June 1982.
2. SIGNIFICANT ACCOUNTING POLICIES:
The following is a summary of significant accounting policies of the Fund,
which are in accordance with generally accepted accounting principles in the
investment company industry:
a) SECURITY TRANSACTIONS--Security transactions are recorded on the trade
date (date the order to buy or sell is executed). Security gains and
losses are determined on the basis of identified cost.
b) SECURITY VALUATION--Investments are valued at amortized cost, which
approximates fair market value. Under the amortized cost method of
valuation, an instrument is valued by reference to the Fund's
acquisition cost as adjusted for amortization of premium or accretion of
discount.
c) REPURCHASE TRANSACTIONS--A repurchase agreement is an agreement by which
the seller of a security agrees to repurchase the security sold at a
mutually agreed upon time and price.
At the time the Fund enters into a repurchase agreement, the value of the
underlying collateral security(ies), including accrued interest, will be
equal to or exceed the value of the repurchase agreement and, in the case
of repurchase agreements exceeding one day, the value of the underlying
security(ies), including accrued interest, is required during the term of
the agreement to be equal to or exceed the value of the repurchase
agreement. Security(ies) which serve to collateralize the repurchase
agreement are held by the Fund's custodian in book entry or physical form
in the custodial account of the Fund. Repurchase agreements are valued at
cost plus accrued interest receivable.
d) JOINT TRADING ACCOUNT--Pursuant to an exemptive order issued by the
Securities and Exchange Commission, the Fund may transfer uninvested
cash balances into a joint trading account managed by Hartford
Investment Management Company (HIMCO). These balances may be invested in
one or more repurchase agreements and/or short-term money market
instruments.
e) FEDERAL INCOME TAXES--For Federal income tax purposes, the Fund intends
to qualify as a regulated investment company under Subchapter M of the
Internal Revenue Code by distributing substantially all of its taxable
income to its shareholders and otherwise complying with the requirements
for regulated investment companies. Accordingly, no provision for
Federal income taxes has been made.
f) FUND SHARE VALUATION AND DIVIDEND DISTRIBUTION TO SHAREHOLDERS--Fund
shares are sold and redeemed on a continuing basis at net asset value.
Interest income and expenses are accrued on a daily basis. The Fund's
net asset value per share is determined as of 4:00 p.m., Eastern
Standard Time, on days the New York Stock Exchange is open for trading.
The Fund seeks to maintain a stable net asset value per share of $1.00
by declaring a daily dividend from net investment income, including net
realized gains and losses, and by valuing its investments using the
amortized cost method. Dividends are distributed monthly.
3. INVESTMENT ADVISORY AND ADMINISTRATIVE SERVICES AGREEMENTS:
a) INVESTMENT ADVISORY AGREEMENT--The Hartford Investment Management
Company (HIMCO), a wholly-owned subsidiary of Hartford Life Insurance
Company (HL), serves as investment adviser to the Fund pursuant to an
agreement approved by the Board of Directors and shareholders.
Under the terms of the agreement, HIMCO is compensated at a maximum
annual fee of .25% of the Fund's average daily net assets.
b) ADMINISTRATIVE SERVICES AGREEMENT--HL provides administrative services
to the Fund and receives an annual fee equal to .175% of the Fund's
average daily net assets.
The Fund assumes and pays certain other expenses (including, but not
limited to, shareholder accounting fees, registration and directors'
fees.) These expenses are either directly attributable to the Fund or are
allocated based on the ratio of the net assets of the Fund to the
combined net assets of the eleven Hartford family of mutual funds.
Directors' fees represent remuneration paid or accrued to directors not
affiliated with HL or any other related company.
3
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HARTFORD MONEY MARKET FUND, INC.
FINANCIAL HIGHLIGHTS*
<TABLE>
<CAPTION>
SIX MONTHS
ENDED YEAR ENDED DECEMBER 31,
JUNE 30 1995 ----------------------------------
(UNAUDITED) 1994 1993 1992 1991
---------------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.... $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
INCOME FROM INVESTMENT OPERATIONS:
Net Investment Income................. $ 0.023 $ 0.027 $ 0.018 $ 0.024 $ 0.049
Net gains or (losses) on Securities
(both realized and unrealized)....... -- -- -- -- --
------- ------- ------- ------- -------
Total From Investment
Operations....................... $ 0.023 $ 0.027 $ 0.018 $ 0.024 $ 0.049
LESS DISTRIBUTIONS:
Dividends (from net investment
income).............................. $(0.023) $(0.027) $(0.018) $(0.024) $(0.049)
Distributions (from capital gains).... -- -- -- -- --
Return of Capital..................... -- -- -- -- --
------- ------- ------- ------- -------
Total Distributions............... $(0.023) $(0.027) $(0.018) $(0.024) $(0.049)
Net Asset Value, End of Period.......... $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
------- ------- ------- ------- -------
------- ------- ------- ------- -------
Total Return............................ 2.26% 2.77% 1.88% 2.47% 4.99%
------- ------- ------- ------- -------
------- ------- ------- ------- -------
RATIOS AND SUPPLEMENTAL DATA:
Net Assets, End of Period (000's
omitted)............................... 11,851 11,684 11,504 13,483 13,866
Ratio of expenses to average net assets
(annualized)........................... 1.620% 1.610% 1.540% 1.630% 1.550%
Ratio of net investment income to
average net assets (annualized)........ 4.530% 2.720% 1.821% 2.440% 4.920%
<FN>
* Financial Highlights for the periods ended through December 31, 1992 have
been restated to conform with requirements issued by the SEC in April 1993.
</TABLE>
4
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HARTFORD MONEY MARKET FUND, INC.
BULK RATE
P.O. BOX 2999
U.S. POSTAGE
HARTFORD, CT 06104-2999
PAID
PERMIT NO. 1
HARTFORD, CT
- --------------------------------------------------------------------------------
DIRECTORS OF THE FUNDS:
JOSEPH A. BIERNAT - Director
JOSEPH H. GAREAU - Director/President
GOVERNOR WILLIAM A. O'NEILL - Director
MILLARD H. PRYOR, JR. - Director
LOWNDES A. SMITH - Director/Chairman
JOHN K. SPRINGER - Director
WINIFRED E. COLEMAN - Director
CUSTODIAN:
Chase Manhattan Bank
Brooklyn, NY 11245
TRANSFER AGENT:
State Street Bank and Trust Company
P.O. Box 1912
Boston, MA 02107
INVESTMENT ADVISER:
The Hartford Investment Management Company (HIMCO)
Hartford Plaza
Hartford, CT 06115
PRINCIPAL UNDERWRITER:
Hartford Equity Sales Company, Inc. (HESCO)
Hartford Plaza
Hartford, CT 06115
Hartford Securities Distribution Company, Inc. (HSD)
Hartford Plaza
Hartford, CT 06115
HV-1766-22 Printed in U.S.A.
