(registered trademark)
STATE AND LOCAL
ASSET MANAGEMENT
SERIES:
GOVERNMENT
MONEY MARKET
PORTFOLIO
SEMIANNUAL REPORT
MAY 31, 1995
SLAMG-7-95S
CONTENTS
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SCHEDULES OF INVESTMENTS & FINANCIAL STATEMENTS
INVESTMENTS 3 A complete list of the fund's
investments with their market
values.
FINANCIAL STATEMENTS 4 Statements of assets and liabilities,
operations, and changes in net
assets, as well as financial
highlights.
NOTES 8 Notes to the financial statements.
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THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR
THE GENERAL INFORMATION OF THE SHAREHOLDERS OF THE
FUND. THIS REPORT IS NOT AUTHORIZED FOR DISTRIBUTION TO PROSPECTIVE
INVESTORS IN THE FUND UNLESS PRECEDED OR ACCOMPANIED BY AN
EFFECTIVE PROSPECTUS. MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS
OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE NOT INSURED BY THE FDIC, THE FEDERAL RESERVE BOARD OR ANY OTHER AGENCY,
AND ARE SUBJECT TO INVESTMENT RISK, INCLUDING THE
POSSIBLE LOSS OF PRINCIPAL. NEITHER THE FUND NOR FIDELITY DISTRIBUTORS
CORPORATION IS A BANK. FOR MORE INFORMATION ON ANY FIDELITY
FUND INCLUDING CHARGES AND EXPENSES, CALL 1-800-544-0276 FOR A FREE
PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.
INVESTMENTS MAY 31, 1995 (UNAUDITED)
Showing Percentage of Total Value of Investments
U.S. TREASURY OBLIGATIONS - 17.3%
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
U.S. TREASURY BILLS - 12.7%
7/13/95 6.64% $ 11,000,000 $ 10,917,602
7/27/95 6.40 6,000,000 5,942,133
8/10/95 6.29 5,000,000 4,940,694
8/31/95 6.19 3,000,000 2,954,500
24,754,929
U.S. TREASURY NOTES - 4.6%
2/15/96 6.18 4,000,000 3,953,670
2/15/96 6.21 5,000,000 4,942,095
8,895,765
TOTAL U.S. TREASURY OBLIGATIONS 33,650,694
REPURCHASE AGREEMENTS - 82.7%
MATURITY VALUE
AMOUNT (NOTE 1)
With First Boston Corporation:
At 6.10%, dated 4/28/95 due 8/25/95:
U.S. Treasury Obligations
(principal amount $20,515,238)
6.875%, 8/31/99 $ 20,403,278 $ 20,000,000
With Merrill Lynch Government Securities, Inc.:
At 6.15% (a), dated 5/19/95 due 9/29/95:
U.S. Treasury Obligations
(principal amount $3,179,194)
8.125%, 8/15/19 3,068,163 (b) 3,000,000
In a joint trading account
(U.S. Treasury Obligations)
dated 5/31/95 due 6/1/95:
(Note 2)
At 6.13% 87,014,808 87,000,000
At 6.14% 39,732,775 39,726,000
(U.S. Treasury Obligations)
dated 5/30/95 due 6/30/95:
At 6.15% (a) 11,058,254 (b) 11,000,000
TOTAL REPURCHASE AGREEMENTS 160,726,000
TOTAL INVESTMENTS - 100% $ 194,376,694
Total Cost for Income Tax Purposes $ 194,376,694
INCOME TAX INFORMATION
At November 30, 1994 the fund had a capital loss carryforward of
approximately $85,400 of which $29,000, $8,400 and $48,000 will expire on
November 30, 1999, 2001 and 2002, respectively.
SECURITY TYPE ABBREVIATIONS
(a) The coupon rate shown on floating or adjustable rate securities
represents the rate at period end. The due date on these types of
securities reflects the next interest rate reset date or, when applicable,
the final maturity date.
(b) The maturity amount is calculated based on the rate at period end.
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
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MAY 31, 1995 (UNAUDITED)
1.ASSETS 2. 3.
4.Investment in securities, at value (including repurchase agreements of $160,726,000) - 5. $ 194,376,694
See accompanying schedule
6.Cash 7. 23,414
8.Interest receivable 9. 268,855
10. 11.TOTAL ASSETS 12. 194,668,963
13.LIABILITIES 14. 15.
16.Distributions payable $ 31,725 17.
18.Accrued management fee 72,019 19.
20. 21.TOTAL LIABILITIES 22. 103,744
23.24.NET ASSETS 25. $ 194,565,219
26.Net Assets consist of: 27. 28.
29.Paid in capital 30. $ 194,612,404
31.Accumulated net realized gain (loss) on investments 32. (47,185)
33.34.NET ASSETS, for 194,612,404 shares outstanding 35. $ 194,565,219
36.37.NET ASSET VALUE, offering price and redemption price per share 38. $1.00
($194,565,219 (divided by) 194,612,404 shares)
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STATEMENT OF OPERATIONS
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SIX MONTHS ENDED MAY 31, 1995 (UNAUDITED)
39.40.INTEREST INCOME 41. $ 6,659,313
42.EXPENSES 43. 44.
45.Management fee $ 488,225 46.
47.Non-interested trustees' compensation 611
48. 49.TOTAL EXPENSES 50. 488,836
51.52.NET INTEREST INCOME 53. 6,170,477
54.55.NET REALIZED GAIN (LOSS) ON INVESTMENTS 56. (14,172)
57.58.NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 59. $ 6,156,305
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STATEMENT OF CHANGES IN NET ASSETS
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SIX MONTHS YEAR
ENDED ENDED
MAY 31, 1995 NOVEMBER 30,
(UNAUDITED) 1994
60.INCREASE (DECREASE) IN NET ASSETS
61.Operations $ 6,170,477 $ 13,640,847
Net interest income
62. Net realized gain (loss) (14,172) (48,217)
63. 64.NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS 6,156,305 13,592,630
65.Distributions to shareholders from net interest income (6,170,477) (13,640,847)
66.Share transactions at net asset value of $1.00 per share 43,930,818 513,135,378
Proceeds from sales of shares
67. Reinvestment of distributions from net interest income 5,906,476 12,343,246
68. Cost of shares redeemed (99,398,325) (804,168,405)
69.70. (49,561,031) (278,689,781)
NET INCREASE (DECREASE) IN NET ASSETS AND SHARES RESULTING FROM SHARE TRANSACTIONS
71. 72.TOTAL INCREASE (DECREASE) IN NET ASSETS (49,575,203) (278,737,998)
73.NET ASSETS 74. 75.
76. Beginning of period 244,140,422 522,878,420
77. End of period $ 194,565,219 $ 244,140,422
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FINANCIAL HIGHLIGHTS
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78. SIX MONTHS YEARS ENDED NOVEMBER 30,
ENDED
MAY 31, 1995
79. (UNAUDITED) 1994C 1993 1992 1991 1990
80.SELECTED PER-SHARE DATA
81.Net asset value, beginning of
period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
82.Income from Investment Operations .027 .036 .028 .037 .058 .078
Net interest income
83.Less Distributions (.027) (.036) (.028) (.037) (.058) (.078)
From net interest income
84.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
85.TOTAL RETURN B 2.76% 3.63 2.82 3.73% 5.98% 8.09
% % %
86.RATIOS AND SUPPLEMENTAL DATA
87.Net assets, end of period
(000 omitted) $ 194,565 $ 244,140 $ 522,878 $ 1,084,963 $ 1,095,483 $ 935,570
88.Ratio of expenses to average
net assets .43% .43 .43 .43% .43% .43
A % % %
89.Ratio of net interest income
to average 5.43% 3.44 2.79 3.64% 5.81% 7.81
net assets A % % %
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A ANNUALIZED
B TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C EFFECTIVE DECEMBER 1, 1993, THE FUND ADOPTED STATEMENT OF POSITION 93-2,
"DETERMINATION, DISCLOSURE AND FINANCIAL STATEMENT PRESENTATION OF INCOME,
CAPITAL GAIN AND RETURN OF CAPITAL DISTRIBUTIONS BY INVESTMENT COMPANIES."
AS A RESULT, NET INTEREST INCOME PER SHARE MAY REFLECT CERTAIN
RECLASSIFICATIONS RELATED TO BOOK TO TAX DIFFERENCES.
NOTES TO FINANCIAL STATEMENTS
For the period ended May 31, 1995 (Unaudited)
1. SIGNIFICANT ACCOUNTING POLICIES.
State and Local Asset Management Series: Government Money Market Portfolio
(the fund) is a fund of Fidelity Institutional Investors Trust (the trust)
and is authorized to issue an unlimited number of shares. The trust is
registered under the Investment Company Act of 1940, as amended (the 1940
Act), as an open-end management investment company organized as a Delaware
business trust. The following summarizes the significant accounting
policies of the fund:
SECURITY VALUATION. As permitted under Rule 2a-7 of the 1940 Act, and
certain conditions therein, securities are valued initially at cost and
thereafter assume a constant amortization to maturity of any discount or
premium.
INCOME TAXES. As a qualified regulated investment company under Subchapter
M of the Internal Revenue Code, the fund is not subject to income taxes to
the extent that it distributes substantially all of its taxable income for
its fiscal year. The schedule of investments includes information regarding
income taxes under the caption "Income Tax Information."
INTEREST INCOME. Interest income, which includes amortization of premium
and accretion of original issue discount, is accrued as earned.
DISTRIBUTIONS TO SHAREHOLDERS. Dividends are declared daily and paid
monthly from net interest income.
SECURITY TRANSACTIONS. Security transactions are accounted for as of trade
date. Gains and losses on securities sold are determined on the basis of
identified cost.
2. OPERATING POLICIES.
REPURCHASE AGREEMENTS. The fund, through its custodian, receives delivery
of the underlying securities, whose market value is required to be at least
102% of the resale price at the time of purchase. The fund's investment
adviser, Fidelity Management & Research Company (FMR), is responsible for
determining that the value of these underlying securities remains at least
equal to the resale price.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, the fund, along with other affiliated
entities of FMR, may transfer uninvested cash balances into one or more
joint trading accounts. These balances are invested in one or more
repurchase agreements that mature in 60 days or less from the date of
purchase, and are collateralized by U.S. Treasury or Federal Agency
obligations.
3. JOINT TRADING ACCOUNT.
At the end of the period, the fund had 20% or more of its total investments
in repurchase agreements through a joint trading account. These repurchase
agreements were with entities whose creditworthiness has been reviewed and
found satisfactory by FMR. The maturity values of the joint trading account
investments having variable rates are calculated based on the rate at
period end. The maturity values of the joint trading account investments
were $87,014,808 at 6.13%, $39,732,775 at 6.14% and $11,058,254 at 6.15%.
The investments in repurchase agreements through the joint trading account
are summarized as follows:
MAXIMUM
AMOUNT AGGREGATE AGGREGATE AGGREGATE
NO. OF WITH ONE PRINCIPAL MATURITY MARKET COUPON MATURITY
DEALERS DEALER AMOUNT OF AMOUNT OF VALUE OF RATES OF DATES OF
OR BANKS OR BANK AGREEMENTS AGREEMENTS COLLATERAL COLLATERAL COLLATERAL
DATED MAY 31, 1995, DUE JUNE 1, 1995
At 6.13% 15 23% $ 4,129,000,000 $ 4,129,702,774 $ 4,214,587,460 0%-14.00%
8/10/95 to 2/15/21
At 6.14% 6 17% $ 575,000,000 $ 575,098,061 $ 586,741,733 0%-14.00% 8/10/95
to 2/15/21
DATED MAY 30, 1995, DUE JUNE 30, 1995
At 6.15% (a) 1 100% $ 500,000,000 $ 502,593,021 $ 510,020,330 5.125%-8.875%
7/15/95 to 6/30/99
(a) = Variable rate
4. FEES AND OTHER TRANSACTIONS WITH
AFFILIATES.
MANAGEMENT FEE. As the fund's investment adviser, FMR pays all expenses,
including the cost of providing shareholder services, except the
compensation of the non-interested Trustees and certain exceptions such as
interest, taxes, brokerage commissions and extraordinary expenses. FMR
receives a fee that is computed daily at an annual rate of .43% of the
fund's average net assets.
SUB-ADVISER FEE. As the fund's investment sub-adviser, FMR Texas Inc., a
wholly owned subsidiary of FMR, receives a fee from FMR of 50% of the
management fee payable to FMR. The fee is paid prior to any voluntary
expense reimbursements which may be in effect, and after reducing the fee
for any payments by FMR pursuant to the fund's Distribution and Service
Plan.
DISTRIBUTION AND SERVICE PLAN. Pursuant to the Distribution and Service
Plan (the Plan), and in accordance with Rule 12b-1 of the 1940 Act, FMR or
the fund's distributor, Fidelity Distributors Corporation (FDC), an
affiliate of FMR, may use their resources to pay administrative and
promotional expenses related to the sale of the fund's shares. Subject to
the approval of the Board of Trustees, the Plan also authorizes payments to
third parties that assist in the sale of the fund's shares or render
shareholder support services. FMR or FDC has informed the fund that
payments made to third parties under the Plan amounted to $493 for the
period.
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INVESTMENT ADVISER
Fidelity Management & Research Company
Boston, MA
SUB-ADVISER
FMR Texas Inc.
Irving, TX
OFFICERS
Edward C. Johnson 3d, PRESIDENT
J. Gary Burkhead, SENIOR VICE PRESIDENT
Fred L. Henning, Jr., VICE PRESIDENT
Arthur S. Loring, SECRETARY
Stephen P. Jonas, TREASURER
Thomas D. Maher, ASSISTANT VICE PRESIDENT
Michael D. Conway, ASSISTANT TREASURER
John H. Costello, ASSISTANT TREASURER
Leonard M. Rush, ASSISTANT TREASURER
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox
Phyllis Burke Davis
Richard J. Flynn
Edward C. Johnson 3d
E. Bradley Jones
Donald J. Kirk
Peter S. Lynch
Edward H. Malone
Marvin L. Mann
Gerald C. McDonough
Thomas R. Williams
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND
SHAREHOLDER
SERVICING AGENT
Fidelity Investments
Institutional Operations Company
Boston, MA
CUSTODIAN
Morgan Guaranty Trust Company of New York
New York, NY
