09/11/2025 | Press release | Distributed by Public on 09/11/2025 13:46
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act File Number: 811-02924
LORD ABBETT U.S. GOVERNMENT & GOVERNMENT SPONSORED
ENTERPRISES MONEY MARKET FUND, INC.
(Exact name of Registrant as specified in charter)
30 Hudson Street, Jersey City, New Jersey 07302-4804
(Address of principal executive offices) (Zip code)
Randolph A. Stuzin, Esq.
Vice President and Assistant Secretary
30 Hudson Street, Jersey City, New Jersey 07302-4804
(Name and address of agent for service)
Registrant's telephone number, including area code: (888) 522-2388
Date of fiscal year end: 6/30
Date of reporting period: 6/30/2025
EXPLANATORY NOTE
The Registrant is filing this amendment to its Form N-CSR for the reporting period ended June 30, 2025, originally filed with the Securities and Exchange Commission on September 3, 2025 (Accession Number 0000930413-25-002879). The sole purpose of this amendment is to remove the word "Unaudited" from the headers of the Notes to Financial Statements pages in Item 7: Financial Statements and Financial Highlights for Open-End Management Investment Companies, which was inadvertently included in the original filing.
Except as set forth above, this amendment does not amend, update or change any other items or disclosures found in the original Form N-CSR filing.
Item 1: | Report(s) to Shareholders. |
Annual Shareholder Report
June 30, 2025
lordabbett.com/FundDocuments
This annual shareholder report contains important information about the Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund for the period of July 1, 2024 to June 30, 2025. You can find additional information about the Fund at lordabbett.com/FundDocuments. You can also request this information by contacting us at 888-522-2388.
Class Name
|
Costs of a $10,000 investment
|
Costs paid as a percentage of a $10,000 investment
|
Class A
|
$28
|
0.27%
|
(as of June 30, 2025)
(as of June 30, 2025)
Total Net Assets
|
$1,443,403,937
|
# of Portfolio Holdings
|
15
|
Total Advisory Fees Paid
|
$1,902,099
|
Weighted Average Maturity
|
44 Days
|
Weighted Average Life of Investments
|
44 Days
|
Portfolio Holdings Presented by Maturity
|
%Footnote Reference*
|
1 - 30 Days
|
55.6%
|
61 - 90 Days
|
34.8%
|
91 - 180 Days
|
9.6%
|
Total
|
100.0%
|
Footnote | Description |
Footnote*
|
Represents percent of total investments. |
There were no material fund changes during the period.
For additional information about the Fund, including its Prospectus, Statement of Additional Information, financial statements, holdings and proxy information, please visit lordabbett.com/FundDocuments.
Householding
The Fund has adopted a policy that allows it to send only one copy of the Fund's prospectus, proxy material, annual report and semiannual report (or related notice of internet availability of annual report and semiannual report) to certain shareholders residing at the same "household." This reduces Fund expenses, which benefits you and other shareholders.If you need additional copies or do not want your mailings to be "householded," please call Lord Abbett at 888-522-2388.
TSR-A-15-A
08/25
Annual Shareholder Report
June 30, 2025
lordabbett.com/FundDocuments
This annual shareholder report contains important information about the Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund for the period of July 1, 2024 to June 30, 2025. You can find additional information about the Fund at lordabbett.com/FundDocuments. You can also request this information by contacting us at 888-522-2388.
Class Name
|
Costs of a $10,000 investment
|
Costs paid as a percentage of a $10,000 investment
|
Class C
|
$28
|
0.27%
|
(as of June 30, 2025)
(as of June 30, 2025)
Total Net Assets
|
$1,443,403,937
|
# of Portfolio Holdings
|
15
|
Total Advisory Fees Paid
|
$1,902,099
|
Weighted Average Maturity
|
44 Days
|
Weighted Average Life of Investments
|
44 Days
|
Portfolio Holdings Presented by Maturity
|
%Footnote Reference*
|
1 - 30 Days
|
55.6%
|
61 - 90 Days
|
34.8%
|
91 - 180 Days
|
9.6%
|
Total
|
100.0%
|
Footnote | Description |
Footnote*
|
Represents percent of total investments. |
There were no material fund changes during the period.
For additional information about the Fund, including its Prospectus, Statement of Additional Information, financial statements, holdings and proxy information, please visit lordabbett.com/FundDocuments.
Householding
The Fund has adopted a policy that allows it to send only one copy of the Fund's prospectus, proxy material, annual report and semiannual report (or related notice of internet availability of annual report and semiannual report) to certain shareholders residing at the same "household." This reduces Fund expenses, which benefits you and other shareholders.If you need additional copies or do not want your mailings to be "householded," please call Lord Abbett at 888-522-2388.
TSR-A-240-C
08/25
Annual Shareholder Report
June 30, 2025
lordabbett.com/FundDocuments
This annual shareholder report contains important information about the Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund for the period of July 1, 2024 to June 30, 2025. You can find additional information about the Fund at lordabbett.com/FundDocuments. You can also request this information by contacting us at 888-522-2388.
Class Name
|
Costs of a $10,000 investment
|
Costs paid as a percentage of a $10,000 investment
|
Class I
|
$28
|
0.27%
|
(as of June 30, 2025)
(as of June 30, 2025)
Total Net Assets
|
$1,443,403,937
|
# of Portfolio Holdings
|
15
|
Total Advisory Fees Paid
|
$1,902,099
|
Weighted Average Maturity
|
44 Days
|
Weighted Average Life of Investments
|
44 Days
|
Portfolio Holdings Presented by Maturity
|
%Footnote Reference*
|
1 - 30 Days
|
55.6%
|
61 - 90 Days
|
34.8%
|
91 - 180 Days
|
9.6%
|
Total
|
100.0%
|
Footnote | Description |
Footnote*
|
Represents percent of total investments. |
There were no material fund changes during the period.
For additional information about the Fund, including its Prospectus, Statement of Additional Information, financial statements, holdings and proxy information, please visit lordabbett.com/FundDocuments.
Householding
The Fund has adopted a policy that allows it to send only one copy of the Fund's prospectus, proxy material, annual report and semiannual report (or related notice of internet availability of annual report and semiannual report) to certain shareholders residing at the same "household." This reduces Fund expenses, which benefits you and other shareholders.If you need additional copies or do not want your mailings to be "householded," please call Lord Abbett at 888-522-2388.
TSR-A-1426-I
08/25
Item 1(b): Not applicable.
Item 2: | Code of Ethics. |
(a) | In accordance with applicable requirements, the Registrant adopted a Sarbanes-Oxley Code of Ethics on June 19, 2003 that applies to the principal executive officer and senior financial officers of the Registrant ("Code of Ethics"). The Code of Ethics was in effect during the fiscal year ended June 30, 2025 (the "Period"). |
(b) | Not applicable. |
(c) | The Registrant has not amended the Code of Ethics as described in Form N-CSR during the Period. |
(d) | The Registrant has not granted any waiver, including an implicit waiver, from a provision of the Code of Ethics as described in Form N-CSR during the Period. |
(e) | Not applicable. |
(f) | See Item 19(a)(1) concerning the filing of the Code of Ethics. |
Item 3: | Audit Committee Financial Expert. |
The Registrant's board of directors has determined that each of the following independent directors who are members of the audit committee is an audit committee financial expert: Evelyn E. Guernsey, Karla M. Rabusch, and Peter J. McNamara. Each of these persons is independent within the meaning of the Form N-CSR.
Item 4: | Principal Accountant Fees and Services. |
In response to sections (a), (b), (c) and (d) of Item 4, the aggregate fees billed to the Registrant for the fiscal years ended June 30, 2025 and 2024 by the Registrant's principal accounting firm, Deloitte & Touche LLP, the member firms of Deloitte Touche Tohmatsu and their respective affiliates (collectively, "Deloitte") were as follows:
Fiscal year ended: | ||||
2025 | 2024 | |||
Audit Fees {a} | $33,000 | $33,000 | ||
Audit-Related Fees | - 0 - | - 0 - | ||
Total audit and audit-related fees | $33,000 | $33,000 | ||
Tax Fees | - 0 - | - 0 - | ||
All Other Fees {b}2025 | - 0 - | - 0 - | ||
Total Fees | $33,000 | $33,000 |
{a} Consists of fees for audits of the Registrant's annual financial statements.
{b} Fees for the fiscal year ended June 30, 2025 and 2024 consist of fees for services related to the recovery of excess dividend withholding taxes in certain jurisdictions.
(e) (1) Pursuant to Rule 2-01(c) (7) of Regulation S-X, the Registrant's Audit Committee has adopted pre-approval policies and procedures. Such policies and procedures generally provide that the Audit Committee must pre-approve:
· | any audit, audit-related, tax, and other services to be provided to the Lord Abbett Funds, including the Registrant, and |
· | any audit-related, tax, and other services to be provided to the Registrant's investment adviser and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to one or more Funds comprising the Registrant if the engagement relates directly to operations and financial reporting of a Fund, by the independent auditor to assure that the provision of such services does not impair the auditor's independence. |
The Audit Committee has delegated pre-approval authority to its Chair, subject to a fee limit of $10,000 per event, and not to exceed $25,000 annually. The Chair will report any pre-approval decisions to the Audit Committee at its next scheduled meeting. Unless a type of service to be provided by the independent auditor has received general pre-approval, it must be pre-approved by the Audit Committee. Any proposed services exceeding pre-approved cost levels will require specific pre-approval by the Audit Committee.
(e) (2) The Registrant's Audit Committee has approved 100% of the services described in paragraphs (b) through (d) of this Item 4, no amount was approved by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) Not applicable.
(g) The aggregate non-audit fees billed by Deloitte for services rendered to the Registrant are shown above in the response to Item 4 (a), (b), (c) and (d) as "All Other Fees".
The aggregate non-audit fees billed by Deloitte for services rendered to the Registrant's investment adviser, Lord, Abbett & Co. LLC ("Lord Abbett"), for the fiscal years ended June 30, 2025 and 2024 were:
Fiscal year ended: | ||||
2025 | 2024 | |||
All Other Fees {a} | $260,000 | $250,000 |
{a} Consist of fees for Independent Services Auditors' Report on Controls Placed in Operation and Tests of Operating Effectiveness related to Lord Abbett's Asset Management Services ("SOC-1 Report").
The aggregate non-audit fees billed by Deloitte for services rendered to entities under the common control of Lord Abbett for the fiscal years ended June 30, 2025 and 2024 were:
Fiscal year ended: | ||||
2025 | 2024 | |||
All Other Fees | $ - 0 - | $ - 0 - |
(h) The Registrant's Audit Committee has considered the provision of non-audit services that were rendered to the Registrant's investment adviser, and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Registrant, that were not pre-approved pursuant to Rule 2-01 (c)(7)(ii) of Regulation S-X and has determined that the provision of such services is compatible with maintaining Deloitte's independence.
(i) Not Applicable.
(j) Not Applicable.
Item 5: | Audit Committee of Listed Registrants. |
Not applicable.
Item 6: | Investments. |
The Registrant's "Schedule I - Investments in securities of unaffiliated issuers" as of the close of the reporting period is included under Item 7 of this Form N-CSR.
Item 7: | Financial Statements and Financial Highlights for Open-End Management Investment Companies. |
Item 8: | Changes in and Disagreements with Accountants for Open-End Management Investment Companies. |
Item 9: | Proxy Disclosures for Open-End Management Investment Companies. |
Item 10: | Remuneration Paid to Directors, Officers, and Others for Open-End Management Investment Companies. |
Item 11: | Statement Regarding Basis for Approval of Investment Advisory Contract. |
LORD ABBETT
FINANCIAL STATEMENTS
AND OTHER IMPORTANT
INFORMATION
Lord Abbett
U.S. Government & Government Sponsored
Enterprises Money Market Fund
For the fiscal year ended June 30, 2025
Table of Contents
1 | Schedule of Investments (Item 7) | |
3 | Statement of Assets and Liabilities (Item 7) | |
4 | Statement of Operations (Item 7) | |
5 | Statements of Changes in Net Assets (Item 7) | |
6 | Financial Highlights (Item 7) | |
8 | Notes to Financial Statements (Item 7) | |
16 | Report of Independent Registered Public Accounting Firm (Item 7) | |
17 | Changes in and Disagreements with Accountants (Item 8) | |
17 | Proxy Disclosures (Item 9) | |
17 | Remuneration Paid to Directors, Officers, and Others (Item 10) | |
17 | Statement Regarding Basis for Approval of Investment Advisory Contract (Item 11) |
Schedule of Investments
June 30, 2025
Investments | Yield(a) |
Maturity Date |
Principal Amount |
Fair Value |
||||||||
GOVERNMENT SPONSORED ENTERPRISES SECURITIES 24.24% | ||||||||||||
Federal Home Loan Bank Discount Notes | 4.29% | 7/23/2025 | $ | 150,000,000 | $ | 149,612,525 | ||||||
Federal Home Loan Bank Discount Notes | 4.28% | 9/17/2025 | 200,000,000 | 198,170,033 | ||||||||
Federal National Mortgage Association Discount Notes | 4.21% | 7/1/2025 | 2,100,000 | 2,100,000 | ||||||||
Total Government Sponsored Enterprises Securities(cost $349,882,558) | 349,882,558 | |||||||||||
U.S. TREASURY OBLIGATIONS 50.71% | ||||||||||||
U.S. Treasury Bills | 4.28% | 7/10/2025 | 160,000,000 | 159,830,980 | ||||||||
U.S. Treasury Bills | 4.26% | 7/29/2025 | 130,000,000 | 129,574,727 | ||||||||
U.S. Treasury Bills | 4.32% | 9/9/2025 | 160,000,000 | 158,674,044 | ||||||||
U.S. Treasury Bills | 4.27% | 9/23/2025 | 147,000,000 | 145,555,970 | ||||||||
U.S. Treasury Bills | 4.18% | 10/16/2025 | 140,000,000 | 138,283,542 | ||||||||
Total U.S. Treasury Obligations(cost $731,919,263) | 731,919,263 | |||||||||||
Total Investments in Securities(cost $1,081,801,821) | 1,081,801,821 | |||||||||||
REPURCHASE AGREEMENTS 25.12% | ||||||||||||
Repurchase Agreement dated 6/30/2025, 4.370% due 7/1/2025 with Barclays Capital, Inc. collateralized by $72,623,600 of U.S. Treasury Note at 4.000% due 4/30/2032; value: $73,086,735; proceeds: $71,633,694 (cost $71,625,000) |
71,625,000 | 71,625,000 | ||||||||||
Repurchase Agreement dated 6/27/2025, 4.270% due 7/1/2025 with JPMorgan Securities LLC collateralized by $98,401,000 of U.S. Treasury Note at 4.625% due 4/30/2029; value: $102,040,816; proceeds: $100,047,444 (cost $100,000,000) |
100,000,000 | 100,000,000 | ||||||||||
Repurchase Agreement dated 6/30/2025, 4.390% due 7/1/2025 with TD Securities (USA) LLC collateralized by $22,285,400 of U.S. Treasury Bond at 3.000% due 8/15/2052; value: $16,259,184; proceeds: $15,935,943 (cost $15,934,000) |
15,934,000 | 15,934,000 | ||||||||||
Repurchase Agreement dated 6/30/2025, 4.390% due 7/1/2025 with TD Securities (USA) LLC collateralized by $64,059,400 of U.S. Treasury Bond at 1.375% due 11/15/2040; value: $40,772,449; proceeds: $39,961,873 (cost $39,957,000) |
39,957,000 | 39,957,000 | ||||||||||
Repurchase Agreement dated 6/30/2025, 4.300% due 7/1/2025 with TD Securities (USA) LLC collateralized by $80,572,500 of U.S. Treasury Note at 4.000% due 12/15/2027; value: $81,291,837; proceeds: $79,675,516 (cost $79,666,000) |
79,666,000 | 79,666,000 |
See Notes to Financial Statements. | 1 |
Schedule of Investments (concluded)
June 30, 2025
Investments |
Principal Amount |
Fair Value |
||||||||||
REPURCHASE AGREEMENTS (continued) | ||||||||||||
Repurchase Agreement dated 6/30/2025, 4.300% due 7/1/2025 with TD Securities (USA) LLC collateralized by $47,005,000 of U.S. Treasury Note at 1.875% due 2/15/2032; value: $41,548,980; proceeds: $40,722,864 (cost $40,718,000) |
$ | 40,718,000 | $ | 40,718,000 | ||||||||
Repurchase Agreement dated 6/30/2025, 4.000% due 7/1/2025 with Fixed Income Clearing Corp. collateralized by $14,986,300 of U.S. Treasury Note at 3.750% due 6/30/2027; value: $14,987,505; proceeds: $14,695,198 (cost $14,693,565) |
14,693,565 | 14,693,565 | ||||||||||
Total Repurchase Agreements(cost $362,593,565) | 362,593,565 | |||||||||||
Total Investments in Securities and Repurchase Agreements 100.07% (cost $1,444,395,386)(b) | 1,444,395,386 | |||||||||||
Other Assets and Liabilities - Net (0.07%) | (991,449 | ) | ||||||||||
Net Assets 100.00% | $ | 1,443,403,937 |
(a) | Represents annualized yield at date of purchase for discount securities, and coupon for coupon-bearing securities. | |
(b) | Cost for Federal income tax purposes is $1,444,395,386. Weighted average maturity and life of investments are: 44 days and 44 days, respectively. |
The following is a summary of the inputs used as of June 30, 2025 in valuing the Fund's investments carried at fair value(1):
Investment Type(2) | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Government Sponsored Enterprises Securities | $ | - | $ | 349,882,558 | $ | - | $ | 349,882,558 | ||||||||
U.S. Treasury Obligations | - | 731,919,263 | - | 731,919,263 | ||||||||||||
Repurchase Agreements | - | 362,593,565 | - | 362,593,565 | ||||||||||||
Total | $ | - | $ | 1,444,395,386 | $ | - | $ | 1,444,395,386 |
(1) | Refer to Note 2(a) for a description of fair value measurements and the three-tier hierarchy of inputs. | |
(2) | See Schedule of Investments for fair values in each industry. The table above is presented by Investment Type. Industries are presented within an Investment Type should such Investment Type include securities classified as two or more levels within the three-tier fair value hierarchy. When applicable, each Level 3 security is identified on the Schedule of Investments along with the valuation technique utilized. |
A reconciliation of Level 3 investments is presented when the Fund has a material amount of Level 3 investments at the beginning or end of the year in relation to the Fund's net assets.
2 | See Notes to Financial Statements. |
Statement of Assets and Liabilities
June 30, 2025
ASSETS: | ||||
Investments in securities, at cost | $ | 1,081,801,821 | ||
Investments in securities, at fair value | $ | 1,081,801,821 | ||
Investments in repurchase agreements, at cost and fair value | 362,593,565 | |||
Cash | 8 | |||
Receivables: | ||||
Capital shares sold | 7,630,861 | |||
Interest | 78,966 | |||
Prepaid expenses | 46,410 | |||
Total assets | 1,452,151,631 | |||
LIABILITIES: | ||||
Payables: | ||||
Capital shares reacquired | 3,296,665 | |||
Management fee | 176,795 | |||
Directors' fees | 145,908 | |||
Fund administration | 47,145 | |||
12b-1 distribution plan | 498 | |||
Distributions payable | 4,767,284 | |||
Accrued expenses | 313,399 | |||
Total liabilities | 8,747,694 | |||
Commitments and contingent liabilities | - | |||
NET ASSETS | $ | 1,443,403,937 | ||
COMPOSITION OF NET ASSETS: | ||||
Paid-in capital | $ | 1,443,883,929 | ||
Total distributable earnings (loss) | (479,992 | ) | ||
Net Assets | $ | 1,443,403,937 | ||
Net assets by class: | ||||
Class A Shares | $ | 1,421,451,863 | ||
Class C Shares | $ | 19,859,398 | ||
Class I Shares | $ | 2,092,676 | ||
Outstanding shares by class: | ||||
Class A Shares (2.8 billion shares of common stock authorized, $.001 par value) | 1,421,862,446 | |||
Class C Shares (500 million shares of common stock authorized, $.001 par value) | 19,868,536 | |||
Class I Shares (437.5 million shares of common stock authorized, $.001 par value) | 2,093,274 | |||
Net asset value, offering and redemption price per share (Net assets divided by outstanding shares): | ||||
Class A Shares-Net asset value | $1.00 | |||
Class C Shares-Net asset value | $1.00 | |||
Class I Shares-Net asset value | $1.00 |
See Notes to Financial Statements. | 3 |
Statement of Operations
For the Year Ended June 30, 2025
Investment income: | ||||
Interest and other | $ | 58,775,573 | ||
Expenses: | ||||
Management fee | 1,902,099 | |||
Fund administration | 507,226 | |||
Shareholder servicing | 454,099 | |||
Registration | 162,037 | |||
Professional | 107,942 | |||
Reports to shareholders | 58,961 | |||
Directors' fees | 56,861 | |||
Custody | 13,006 | |||
Other | 133,562 | |||
Gross expenses | 3,395,793 | |||
Fees waived and expenses reimbursed (See Note 3) | (13,006 | ) | ||
Net expenses | 3,382,787 | |||
Net investment income | 55,392,786 | |||
Net realized gain/(loss) on investments | 840 | |||
Net Increase in Net Assets Resulting From Operations | $ | 55,393,626 |
4 | See Notes to Financial Statements. |
Statements of Changes in Net Assets
INCREASE IN NET ASSETS |
For the Year Ended June 30, 2025 |
For the Year Ended June 30, 2024 |
||||||
Operations: | ||||||||
Net investment income | $ | 55,392,786 | $ | 47,061,922 | ||||
Net realized gain/(loss) | 840 | 32,629 | ||||||
Net increase in net assets resulting from operations | 55,393,626 | 47,094,551 | ||||||
Distributions to Shareholders | ||||||||
Class A | (54,393,529 | ) | (45,516,574 | ) | ||||
Class C | (863,506 | ) | (1,141,406 | ) | ||||
Class I | (135,751 | ) | (403,943 | ) | ||||
Total distribution to shareholders | (55,392,786 | ) | (47,061,923 | ) | ||||
Capital share transactions (See Note 11): | ||||||||
Net proceeds from sales of shares | 1,531,636,807 | 1,129,531,033 | ||||||
Reinvestment of distributions | 54,346,339 | 45,622,759 | ||||||
Cost of shares reacquired | (1,234,158,439 | ) | (893,871,769 | ) | ||||
Net increase in net assets resulting from capital share transactions | 351,824,707 | 281,282,023 | ||||||
Net increase in net assets | 351,825,547 | 281,314,651 | ||||||
NET ASSETS: | ||||||||
Beginning of year | $ | 1,091,578,390 | $ | 810,263,739 | ||||
End of year | $ | 1,443,403,937 | $ | 1,091,578,390 |
See Notes to Financial Statements. | 5 |
Financial Highlights
Per Share Operating Performance: |
||||||||||||||||||||
Investment Operations: |
Distributions to shareholders from: |
|||||||||||||||||||
Net asset value, beginning of period |
Net investment income (loss)(a) |
Total from investment operations |
Net investment income |
Net asset value, end of period |
||||||||||||||||
Class A | ||||||||||||||||||||
6/30/2025 | $1.00 | $0.04 | $0.04 | $ | (0.04 | ) | $1.00 | |||||||||||||
6/30/2024 | 1.00 | 0.05 | 0.05 | (0.05 | ) | 1.00 | ||||||||||||||
6/30/2023 | 1.00 | 0.03 | 0.03 | (0.03 | ) | 1.00 | ||||||||||||||
6/30/2022 | 1.00 | - | (c)(d) | - | (d) | - | (d)(e) | 1.00 | ||||||||||||
6/30/2021 | 1.00 | - | (d) | - | (d) | - | (d) | 1.00 | ||||||||||||
Class C | ||||||||||||||||||||
6/30/2025 | 1.00 | 0.04 | 0.04 | (0.04 | ) | 1.00 | ||||||||||||||
6/30/2024 | 1.00 | 0.05 | 0.05 | (0.05 | ) | 1.00 | ||||||||||||||
6/30/2023 | 1.00 | 0.03 | 0.03 | (0.03 | ) | 1.00 | ||||||||||||||
6/30/2022 | 1.00 | - | (c)(d) | - | (d) | - | (d)(e) | 1.00 | ||||||||||||
6/30/2021 | 1.00 | - | (d) | - | (d) | - | (d) | 1.00 | ||||||||||||
Class I | ||||||||||||||||||||
6/30/2025 | 1.00 | 0.04 | 0.04 | (0.04 | ) | 1.00 | ||||||||||||||
6/30/2024 | 1.00 | 0.05 | 0.05 | (0.05 | ) | 1.00 | ||||||||||||||
6/30/2023 | 1.00 | 0.03 | 0.03 | (0.03 | ) | 1.00 | ||||||||||||||
6/30/2022 | 1.00 | - | (c)(d) | - | (d) | - | (d)(e) | 1.00 | ||||||||||||
6/30/2021 | 1.00 | - | (d) | - | (d) | - | (d) | 1.00 |
(a) | Calculated using average shares outstanding during the period. | |
(b) | Total return for classes A and C does not consider the effects of sales loads and assumes the reinvestment of all distributions. Total return for all other classes assumes the reinvestment of all distributions. | |
(c) | Includes net realized gain (loss) on investments. | |
(d) | Amount less than $0.01. | |
(e) | Includes capital gain distribution. |
6 | See Notes to Financial Statements. |
Ratios to Average Net Assets: |
Supplemental Data: |
|||||||||||||||
Total return(b) (%) |
Total expenses after waivers and/or reimburse- ments (%) |
Total expenses (%) |
Net investment income (loss) (%) |
Net assets, end of period (000) |
||||||||||||
4.49 | 0.27 | 0.27 | 4.36 | $ | 1,421,452 | |||||||||||
5.17 | 0.28 | 0.28 | 5.05 | 1,063,957 | ||||||||||||
3.49 | 0.28 | 0.29 | 3.50 | 775,869 | ||||||||||||
0.15 | 0.12 | 0.28 | 0.13 | 721,193 | ||||||||||||
0.01 | 0.07 | 0.31 | 0.01 | 569,289 | ||||||||||||
4.49 | 0.27 | 0.27 | 4.40 | 19,859 | ||||||||||||
5.17 | 0.28 | 0.28 | 5.05 | 19,976 | ||||||||||||
3.48 | 0.28 | 0.29 | 3.29 | 25,742 | ||||||||||||
0.15 | 0.12 | 0.28 | 0.14 | 39,078 | ||||||||||||
0.01 | 0.07 | 0.31 | 0.01 | 24,664 | ||||||||||||
4.49 | 0.27 | 0.27 | 4.58 | 2,093 | ||||||||||||
5.17 | 0.28 | 0.28 | 5.05 | 7,646 | ||||||||||||
3.47 | 0.28 | 0.29 | 3.45 | 8,652 | ||||||||||||
0.15 | 0.11 | 0.28 | 0.11 | 8,323 | ||||||||||||
0.01 | 0.07 | 0.31 | 0.01 | 5,802 |
See Notes to Financial Statements. | 7 |
Notes to Financial Statements
1. | ORGANIZATION |
Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund, Inc. (the "Fund") is registered under the Investment Company Act of 1940, as amended (the "Act"), as a diversified, open-end management investment company. The Fund was incorporated under Maryland law on May 9, 1979.
The investment objective of the Fund is to seek high current income and preservation of capital through investments in high quality, short-term, liquid securities. These securities are commonly known as money market instruments.
The Fund operates as a government money market fund under Rule 2a-7 under the Act.
The Fund has three active share classes: Classes A, C and I. There are no front-end sales charges on shares of each class, although there may be a contingent deferred sales charge ("CDSC") applied to a class of shares as follows: certain redemptions of Class A or Class C shares acquired through an exchange. Class C shares automatically convert to Class A shares on the 25th day of the month (or, if the 25th day is not a business day, the next business day thereafter) following the eighth anniversary of the month on which the purchase order was accepted, provided that the Fund or financial intermediary through which a shareholder purchased Class C shares has records verifying that the C shares have been held at least eight years.
Basis of Preparation
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board ("FASB") Accounting Standards Codification Topic 946 Financial Services - Investment Companies. The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP") requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.
Segment Reporting
The Fund adopted FASB Accounting Standards Update ("ASU") 2023-07, Segment Reporting ("Topic 280") - Improvements to Reportable Segment Disclosures ("ASU 2023-07"). Adoption of the new standard resulted in new financial statement disclosures and did not affect the Fund's financial position or its results of operations. An operating segment is defined in Topic 280 as a component of a public entity that engages in business activities from which it may recognize revenues and incur expenses, has operating results that are regularly reviewed by the public entity's chief operating decision maker ("CODM") to make decisions about resources to be allocated to the segment and assess its performance, and has discrete financial information available.
The CODM for the Fund is Lord Abbett through its Management, Investment and Operating Committees, which are responsible for assessing performance and making decisions about resource allocation. The CODM has determined that the Fund has a single operating segment based on the fact that the CODM monitors the operating results of the Fund as a whole and that the Fund's long-term strategic asset allocation is pre-determined in accordance with the terms of its prospectus, based on a defined investment strategy which is executed by the Fund's portfolio managers as a team. The financial information provided to and reviewed by the CODM is consistent with that presented within the Fund's Schedule of Investments, Statement of Assets and Liabilities, Statement of Operations, Statements of Changes in Net Assets and Financial Highlights.
8
Notes to Financial Statements (continued)
2. | SIGNIFICANT ACCOUNTING POLICIES |
(a) | Investment Valuation-Under procedures approved by the Fund's Board of Directors (the "Board"), the Board has designated the determination of fair value of the Fund's portfolio investments to Lord, Abbett & Co. LLC ("Lord Abbett") as its valuation designee. Accordingly, Lord Abbett is responsible for, among other things, assessing and managing valuation risks, establishing, applying and testing fair value methodologies, and evaluating pricing services. Lord Abbett has formed a Pricing Committee that performs these responsibilities on behalf of Lord Abbett, administers the pricing and valuation of portfolio investments and ensures that prices utilized reasonably reflect fair value. Among other things, these procedures allow Lord Abbett, subject to Board oversight, to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value. |
The Fund values securities utilizing the amortized cost method, which approximates fair value in accordance with Rule 2a-7 under the Act. Under the amortized cost method, all investments purchased at a discount or premium are valued by amortizing the difference between the original purchase price and maturity value of the issue over the period to maturity. Securities purchased at face value are valued at amortized cost, which approximates fair value due to the short duration of the issue.
Fair Value Measurements-Fair value is defined as the price that the Fund would receive upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market of the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk - for example, the risk inherent in a particular valuation technique used to measure fair value (such as a pricing model) and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The three-tier hierarchy classification is determined based on the lowest level of inputs that is significant to the fair value measurement, and is summarized in the three broad Levels listed below:
• | Level 1 - | unadjusted quoted prices in active markets for identical investments; |
• | Level 2 - | other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.); and |
• | Level 3 - | significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments). |
A summary of inputs used in valuing the Fund's investments as of June 30, 2025 and, if applicable, Level 3 rollforwards for the fiscal year then ended is included in the Fund's Schedule of Investments.
Changes in valuation techniques may result in transfers into or out of an assigned level within the three-tier hierarchy. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
9
Notes to Financial Statements (continued)
(b) | Expenses-Expenses, excluding class-specific expenses, are allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day. |
(c) | Income Taxes-It is the policy of the Fund to meet the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all taxable income and capital gains to its shareholders. Therefore, no income tax provision is required. |
Management has reviewed the Fund's tax positions for all open tax years and has determined that as of June 30, 2025, no liability for Federal Income tax is required in the Fund's financial statements for net unrecognized tax benefits. However, management's conclusions may be subject to future review based on changes in, or the interpretation of, the accounting standards or tax laws and regulations. The Fund files U.S. federal and various state and local tax returns. No income tax returns are currently under examination. The Fund's Federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service. The statutes of limitations on the Fund's state and local tax returns may remain open for an additional year depending upon the Fund's jurisdiction. | |
(d) | Investment Income-Dividend income is recorded on the ex-dividend date. Interest income is recorded on the accrual basis as earned. Discounts are accreted and premiums are amortized using the effective interest method and are included in Interest and other, if applicable, in the Statement of Operations. Investment income is allocated to each class of shares based upon the relative proportion of net assets at the beginning of the day. |
(e) | Repurchase Agreements-The Fund may enter into repurchase agreements with respect to securities. A repurchase agreement is a transaction in which a fund acquires a security and simultaneously commits to resell that security to the seller (a bank or securities dealer) at an agreed-upon price on an agreed-upon date. The Fund requires at all times that the repurchase agreement be collateralized by cash, or by securities of the U.S. Government, its agencies, its instrumentalities, or U.S. Government sponsored enterprises having a value equal to, or in excess of, the value of the repurchase agreement (including accrued interest). If the seller of the agreement defaults on its obligation to repurchase the underlying securities at a time when the fair value of these securities has declined, the Fund may incur a loss upon disposition of the securities. |
Due to the absence of a master netting agreement related to the Fund's participation in repurchase agreements, no additional offsetting disclosures have been made on behalf of the Fund. |
(f) | Security Transactions-Security transactions are recorded as of the date that the securities are purchased or sold (trade date). Realized gains and losses on sales of portfolio securities are calculated using the identified- cost method. |
3. | MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES |
Management Fee
The Fund has a management agreement with Lord Abbett, pursuant to which Lord Abbett provides the Fund with investment management services and executive and other personnel, provides office space and pays for ordinary and necessary office and clerical expenses relating to research and statistical work and supervision of the Fund's investment portfolio. The management fee is accrued daily and payable monthly.
The management fee is 0.15% of the Fund's daily average net assets.
10
Notes to Financial Statements (continued)
In addition, Lord Abbett provides certain administrative services to the Fund pursuant to an Administrative Services Agreement in return for a fee at an annual rate of 0.04% of the Fund's average daily net assets. The fund administration fee is accrued daily and payable monthly. Lord Abbett voluntarily waived $13,006 of fund administration fees for the fiscal year ended June 30, 2025.
12b-1 Distribution Plan
The Fund has adopted a distribution plan with respect to Class A and Class C shares pursuant to Rule 12b-1 under the Act, which provides for the payment of ongoing distribution and service fees to Lord Abbett Distributor LLC (the "Distributor"), an affiliate of Lord Abbett. The Board has not authorized any fees to date pursuant to the plan.
Class I shares do not have a distribution plan.
One Director and certain of the Fund's officers have an interest in Lord Abbett.
4. | DISTRIBUTIONS AND TAX INFORMATION |
Dividends are paid from net investment income, if any. Capital gain distributions are paid from taxable net realized gains from investment transactions, reduced by allowable capital loss carryforwards, if any. The capital loss carryforward amount, if any, is available to offset future net capital gains. Dividends and distributions to shareholders are recorded on the ex-dividend date. The amounts 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. GAAP. 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 components of net assets based on their federal tax basis treatment; temporary differences do not require reclassification. Dividends and distributions, which exceed earnings and profits for tax purposes, are reported as a tax return of capital.
The tax character of distributions paid during the fiscal year ended June 30, 2025 was as follows:
Fund |
Ordinary Income |
Net Long-Term Capital Gains |
Return of Capital |
Total Distributions Paid |
||||||||||||
U.S. Government & Government Sponsored Enterprises Money Market Fund | $ | 55,392,786 | $ | - | $ | - | $ | 55,392,786 |
The tax character of distributions paid during the fiscal year ended June 30, 2024 was as follows:
Fund |
Ordinary Income |
Net Long-Term Capital Gains |
Return of Capital |
Total Distributions Paid |
||||||||||||
U.S. Government & Government Sponsored Enterprises Money Market Fund | $ | 47,061,923 | $ | - | $ | - | $ | 47,061,923 |
As of June 30, 2025, the components of distributable earnings (loss) on a tax basis were as follows:
Fund |
Undistributed Ordinary Income |
Undistributed Net Long-Term Capital Gains |
Accumulated Capital and Other Losses |
Unrealized Appreciation/ (Depreciation) |
Temporary Differences |
Total Distributable Earnings (Loss) |
||||||||||||||||||
U.S. Government & Government Sponsored Enterprises Money Market Fund | $ | 4,793,594 | $ | - | $ | (360,394 | ) | $ | - | $ | (4,913,192 | ) | $ | (479,992 | ) |
11
Notes to Financial Statements (continued)
Net capital losses recognized by the Fund may be carried forward indefinitely and retain their character as short-term and/or long-term losses. Capital losses incurred that will be carried forward are as follows:
Fund |
Short-Term Losses |
Long-Term Losses |
Net Capital Losses |
|||||||||
U.S. Government & Government Sponsored Enterprises Money Market Fund | $ | (360,394 | ) | $ | - | $ | (360,394 | ) |
As of June 30, 2025, the tax cost of investments and the breakdown of unrealized appreciation/(depreciation) for the Fund are shown below.
Fund |
Tax Cost of Investments |
Gross Unrealized Appreciation |
Gross Unrealized Depreciation |
Net Unrealized Appreciation/ (Depreciation) |
||||||||||||
U.S. Government & Government Sponsored Enterprises Money Market Fund | $ | 1,444,395,386 | $ | - | $ | - | $ | - |
5. | DIRECTORS' REMUNERATION |
The Fund's officers and one Director, who are associated with Lord Abbett, do not receive any compensation from the Fund for serving in such capacities. Independent Directors' fees are allocated among all Lord Abbett-sponsored funds primarily based on the relative net assets of each fund. There is an equity-based plan available to all Independent Directors under which Independent Directors may elect to defer receipt of a portion of Directors' fees. The deferred amounts are treated as though equivalent dollar amounts had been invested in the Fund. Such amounts and earnings accrued thereon are included in Directors' fees in the Statement of Operations and in Directors' fees payable in the Statement of Assets and Liabilities and are not deductible for U.S. federal income tax purposes until such amounts are paid.
6. | LINE OF CREDIT |
For the period ended June 5, 2025, the Fund and certain other funds managed by Lord Abbett (collectively, the "Participating Funds") were party to a syndicated line of credit facility with various lenders for $ 1.6 billion (the "Syndicated Facility") under which State Street Bank and Trust Company ("SSB") participated as a lender and as agent for the lenders. The Participating Funds were subject to graduated borrowing limits of the lesser of either one-third or one-fifth of unencumbered fund net assets and $250 million, $700 million or $1 billion, in each case based on past borrowings and likelihood of future borrowings, among other factors.
Effective June 6, 2025, the Participating Funds renewed the Syndicated Facility for $1.675 billion. The Participating Funds are subject to graduated borrowing limits of the lesser of either one-third or one-fifth of unencumbered fund net assets and $250 million, $300 million, $700 million or $1 billion, in each case based on past borrowings and likelihood of future borrowings, among other factors.
For the period ended June 5, 2025, the Participating Funds were also party to an additional uncommitted line of credit facility with SSB for $330 million (the "Bilateral Facility"). Under the Bilateral Facility, the Participating Funds were subject to graduated borrowing limits of the lesser of either one-third or one-fifth of unencumbered fund net assets and $250 million based on past borrowings and likelihood of future borrowings, among other factors.
12
Notes to Financial Statements (continued)
Effective June 6, 2025, the Participating Funds renewed the Bilateral Facility in the same amount. The Participating Funds remain subject to the same borrowing limits as were in place prior to the renewal.
These credit facilities are to be used for short-term working capital purposes as additional sources of liquidity to satisfy redemptions.
For the year ended June 30, 2025, the Fund did not utilize the Syndicated Facility or Bilateral Facility.
7. | INTERFUND LENDING PROGRAM |
Pursuant to an exemptive order issued by the U.S. Securities and Exchange Commission ("SEC exemptive order") certain registered open-end management investment companies managed by Lord Abbett, including the Fund, participate in a joint lending and borrowing program (the "Interfund Lending Program"). The SEC exemptive order allows the funds that participate in the Interfund Lending Program to borrow money from and lend money to each other for temporary or emergency purposes subject to the limitations and conditions.
During the fiscal year ended June 30, 2025, the Fund did not participate as a borrower or lender in the Interfund Lending Program.
8. | CUSTODIAN AND ACCOUNTING AGENT |
SSB is the Fund's custodian and accounting agent. SSB performs custodial, accounting and recordkeeping functions relating to portfolio transactions and calculating the Fund's net asset value.
9. | SECURITIES LENDING AGREEMENT |
The Fund has established a securities lending agreement with Citibank, N.A. for the lending of securities to qualified brokers in exchange for securities or cash collateral equal to at least the market value of securities loaned, plus interest, if applicable. Cash collateral is invested in an approved money market fund. In accordance with the Fund's securities lending agreement, the market value of securities on loan is determined each day at the close of business and any additional collateral required to cover the value of securities on loan is delivered to the Fund on the next business day. As with other extensions of credit, the Fund may experience a delay in the recovery of its securities or incur a loss should the borrower of the securities breach its agreement with the Fund or the borrower becomes insolvent at a time when the collateral is insufficient to cover the cost of repurchasing securities on loan. Any income earned from securities lending is included in Securities lending net income in the Fund's Statement of Operations.
The initial collateral received by the Fund is required to have a value equal to at least 100% of the market value of the securities loaned. The collateral must be marked-to-market daily to cover increases in the market value of the securities loaned (or potentially a decline in the value of the collateral). In general, the risk of borrower default will be borne by Citibank, N.A.; the Fund will bear the risk of loss with respect to the investment of the cash collateral. The advantage of such loans is that the Fund continues to receive income on loaned securities while receiving a portion of any securities lending fees and earning returns on the cash amounts which may be reinvested for the purchase of investments in securities.
As of June 30, 2025, the Fund did not have any securities on loan.
13
Notes to Financial Statements (continued)
10. | INVESTMENT RISKS |
The Fund's yield may vary in response to changes in interest rates and other market factors.
The Fund generally invests a substantial portion of its assets in money market securities issued by the U.S. Government and by various government-sponsored enterprises such as Federal Home Loan Mortgage Corporation, the Federal Home Loan Banks and Federal National Mortgage Association. Such securities are not guaranteed by the U.S. Government, but are supported only by the credit of the particular government-sponsored enterprises involved, and the discretionary authority of the U.S. Treasury to purchase the enterprise's obligations. There is no assurance that the U.S. Government will provide financial support to enterprises that are not supported by the full faith and credit of the U.S. Government. The Fund also may invest in repurchase agreements involving the securities described herein.
An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of an investment at $1.00 per share, it is possible to lose money by investing in the Fund.
Geopolitical and other events, such as war, acts of terrorism, tariffs and other restrictions on trade, natural disasters, the spread of infectious illnesses, epidemics and pandemics, environmental and other public health issues, supply chain disruptions, inflation, recessions or other events, and governments' reactions to such events, may lead to increased market volatility and instability in world economies and markets generally and may have adverse effects on the performance of the Fund and its investments.
A widespread health crisis, such as a global pandemic, could cause substantial market volatility, impact the ability to complete redemptions, and adversely impact Fund performance. For example, the effects to public health, business and market conditions resulting from the COVID-19 pandemic have had, and may in the future have, a significant negative impact on the performance of the Fund's investments, including exacerbating other pre-existing political, social and economic risks. In addition, the increasing interconnectedness of markets around the world may result in many markets being affected by events or conditions in a single country or region or events affecting a single or small number of issuers.
It is difficult to accurately predict or foresee when events or conditions affecting the U.S. or global financial markets, economies, and issuers may occur, the effects of such events or conditions, potential escalations or expansions of these events, possible retaliations in response to sanctions or similar actions and the duration or ultimate impact of those events. The foregoing could disrupt the operations of the Fund and its service providers, adversely affect the value and liquidity of the Fund's investments and negatively impact the Fund's performance and your investment in the Fund.
14
Notes to Financial Statements (concluded)
11. | SUMMARY OF CAPITAL TRANSACTIONS |
Transactions in shares of capital stock were as follows:
Year Ended June 30, 2025 |
Year Ended June 30, 2024 |
|||||||||||||||
Class A Shares | Shares | Amount | Shares | Amount | ||||||||||||
Shares sold | 1,519,253,822 | $ | 1,519,254,447 | 1,107,153,481 | $ | 1,107,153,481 | ||||||||||
Reinvestment of distributions | 53,457,243 | 53,457,243 | 44,236,018 | 44,236,018 | ||||||||||||
Shares reacquired | (1,215,214,716 | ) | (1,215,214,716 | ) | (863,327,810 | ) | (863,327,810 | ) | ||||||||
Increase | 357,496,349 | $ | 357,496,974 | 288,061,689 | $ | 288,061,689 | ||||||||||
Class C Shares | ||||||||||||||||
Shares sold | 10,056,538 | $ | 10,056,537 | 8,170,094 | $ | 8,170,094 | ||||||||||
Reinvestment of distributions | 850,437 | 850,437 | 1,099,349 | 1,099,349 | ||||||||||||
Shares reacquired | (11,023,356 | ) | (11,023,356 | ) | (15,041,590 | ) | (15,041,590 | ) | ||||||||
Decrease | (116,381 | ) | $ | (116,382 | ) | (5,772,147 | ) | $ | (5,772,147 | ) | ||||||
Class I Shares | ||||||||||||||||
Shares sold | 2,325,822 | $ | 2,325,823 | 14,207,458 | $ | 14,207,458 | ||||||||||
Reinvestment of distributions | 38,659 | 38,659 | 287,392 | 287,392 | ||||||||||||
Shares reacquired | (7,920,367 | ) | (7,920,367 | ) | (15,502,369 | ) | (15,502,369 | ) | ||||||||
Decrease | (5,555,886 | ) | $ | (5,555,885 | ) | (1,007,519 | ) | $ | (1,007,519 | ) |
15
Report of Independent Registered Public Accounting Firm
To the shareholders and the Board of Directors of Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund, Inc.:
Opinion on the Financial Statements and Financial Highlights
We have audited the accompanying statement of assets and liabilities of Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund, Inc. (the "Fund"), including the schedule of investments, as of June 30, 2025, the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, financial highlights for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of June 30, 2025, and the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended in conformity with accounting principles generally accepted in the United States of America.
Basis for Opinion
These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on the Fund's financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund's internal control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of June 30, 2025, by correspondence with the custodian and counterparties; when replies were not received from counterparties, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
/s/ Deloitte & Touche LLP
New York, New York
August 27, 2025
We have served as the auditor of one or more Lord Abbett Family of Funds' investment companies since 1932.
16
Changes in and Disagreements with Accountants
There were no changes in or disagreements with accountants during the period.
Proxy Disclosures
There were no matters submitted to a vote of shareholders during the period.
Remuneration Paid to Directors, Officers, and Others
Remuneration paid to directors, officers, and others is included in "Directors' Remuneration" under Item 7 of this Form N-CSR.
Statement Regarding Basis for Approval of Investment Advisory Contract
The Board, including all of the Directors who are not "interested persons" of the Fund or of Lord Abbett, as defined in the Investment Company Act of 1940, as amended (the "Independent Directors"), annually considers whether to approve the continuation of the existing management agreement between the Fund and Lord Abbett (the "Agreement"). In connection with its most recent approval, the Board reviewed materials relating specifically to the Agreement, as well as numerous materials received throughout the course of the year. Before making its decision as to the Fund, the Board had the opportunity to ask questions and request further information, taking into account its knowledge of Lord Abbett gained through its meetings and discussions. The Independent Directors also met with their independent legal counsel in various private sessions at which no representatives of management were present.
The materials received by the Board included, but were not limited to: (1) information provided by Broadridge Financial Solutions ("Broadridge") regarding the investment performance of the Fund compared to the investment performance of certain funds with similar investment styles as determined by Broadridge, based, in part, on the Fund's Morningstar category (the "performance peer group"), and the investment performance of a benchmark average of comparable funds; (2) information provided by Broadridge regarding the expense ratios, contractual and actual management fee rates, and other expense components for the Fund and certain funds in the same Morningstar category, with generally the same or similar share classes and operational characteristics, including asset size (the "expense peer group"); (3) certain supplemental investment performance information provided by Lord Abbett; (4) information provided by Lord Abbett on the expense ratios, management fee rates, and other expense components for the Fund; (5) sales and redemption information for the Fund; (6) information regarding Lord Abbett's financial condition; (7) an analysis of the relative profitability to Lord Abbett of providing management and administrative services to the Fund; and (8) information regarding the personnel and other resources devoted by Lord Abbett to managing the Fund.
Investment Management and Related Services Generally. The Board considered the services provided by Lord Abbett to the Fund, including investment research, portfolio management and trading, and Lord Abbett's commitment to compliance with all applicable legal requirements and recent investments undertaken to enhance its compliance oversight. The Board also observed that Lord Abbett was solely engaged in the investment management business and accordingly did not experience the conflicts of interest that may result from being engaged in other lines of business, although the Board was mindful that other conflicts of interest may exist. The Board considered the investment advisory services provided by Lord Abbett to other clients, the fees charged for the
17
Statement Regarding Basis for Approval of Investment Advisory Contract (continued)
services, and the differences in the nature of the services provided to the Fund and other Lord Abbett Funds, on the one hand, and the services provided to other clients, on the other. The Board observed that differences in fee rates between these clients and the Lord Abbett Funds are not uniform when examined on a fund-by-fund basis, suggesting that differences in the pricing of investment management services to these clients may reflect a variety of factors, including historical competitive forces operating in separate marketplaces. The Board considered the fact that in many instances, fee rates are higher on average for mutual fund clients than for other clients. The Board did not rely on these comparisons to any significant extent in reaching their decision. After reviewing these and related factors, the Board concluded that the Fund was likely to continue to benefit from the nature, extent and quality of the investment services provided by Lord Abbett under the Agreement.
Investment Performance. The Board reviewed the Fund's investment performance in relation to that of the performance peer group and a benchmark average of comparable funds as of various periods ended June 30, 2024. The Board observed that the Fund's investment performance was below the median of the performance peer group for the one-, three-, five- and ten-year periods. The Board considered the nature of the Fund and its peer funds resulted in a peer universe with relatively limited performance dispersion. The Board also considered Lord Abbett's explanation of the Fund's performance. The Board further considered Lord Abbett's performance and reputation generally, the performance of other Lord Abbett-managed funds overseen by the Board, and the willingness of Lord Abbett to take steps intended to improve performance when appropriate. After reviewing these and other factors, including those described below, the Board concluded that the Fund's Agreement should be continued.
Lord Abbett's Personnel and Methods. The Board considered the qualifications of the personnel providing investment management services to the Fund, in light of its investment objective and discipline, and other services provided to the Fund by Lord Abbett. Among other things, the Board considered the size, experience, and turnover of Lord Abbett's staff, the resources made available to them, Lord Abbett's investment methodologies and philosophy, and Lord Abbett's approach to recruiting, training, and retaining personnel.
Nature and Quality of Other Services. The Board considered the nature, quality, and extent of compliance, administrative, and other services performed by Lord Abbett and the nature and extent of Lord Abbett's supervision of third-party service providers, including the Fund's transfer agent and custodian.
Expenses. The Board considered the expense level of the Fund, including the contractual and actual management fee rates, and the expense levels of the Fund's expense peer group. It also considered how each of the expense level and the actual management fee rates of the Fund related to those of the expense peer group and the amount and nature of the fees paid by shareholders. The Board observed that the net total expense ratio and the actual management fee of the Fund were both below the median of the expense peer group. After reviewing these and related factors, the Board concluded, within the context of its overall approval of the Agreement, that the management fee schedule in place for the Fund was reasonable in light of all of the factors it considered, including the nature, quality and extent of services provided by Lord Abbett.
Profitability. The Board considered the level of Lord Abbett's operating margin in managing the Fund, including a review of Lord Abbett's methodology for allocating its costs to its management of the Fund. It considered whether the Fund was profitable to Lord Abbett in connection with the
18
Statement Regarding Basis for Approval of Investment Advisory Contract (concluded)
Fund's operation, including the fee that Lord Abbett receives from the Fund for providing administrative services to the Fund. The Board considered Lord Abbett's profit margins, excluding Lord Abbett's marketing and distribution expenses. The Board also considered Lord Abbett's profit margins without those exclusions in comparison with available industry data and how those profit margins could affect Lord Abbett's ability to recruit and retain personnel. The Board recognized that Lord Abbett's overall profitability was a factor in enabling it to attract and retain qualified personnel to provide services to the Fund. After reviewing these and related factors, the Board concluded, within the context of its overall approval of the Agreement, that Lord Abbett's profitability with respect to the Fund was not excessive.
Economies of Scale. The Board considered the extent to which there had been economies of scale in managing the Fund, whether the Fund's shareholders had appropriately benefited from such economies of scale, and whether there was potential for realization of any further economies of scale. The Board also considered information provided by Lord Abbett regarding how it shares any potential economies of scale through its investments in its businesses supporting the Funds. The Board also considered the Fund's existing management fee schedule. Based on these considerations, the Board concluded that economies of scale were adequately addressed in respect of each Fund.
Other Benefits to Lord Abbett. The Board considered the amount and nature of the fees paid by the Fund and the Fund's shareholders to Lord Abbett for services other than investment advisory services, such as the fee that Lord Abbett receives from the Fund for providing administrative services to the Fund. The Board also considered the revenues and profitability of Lord Abbett's investment advisory business apart from its mutual fund business, and the intangible benefits enjoyed by Lord Abbett from sponsoring an affiliated money market fund. The Board observed that the Distributor receives 12b-1 fees from certain of the Lord Abbett Funds as to shares held in accounts for which there is no other broker of record, that the Distributor may retain a portion of the 12b-1 fees it receives, and the Distributor receives a portion of the sales charges on sales and redemptions of some classes of shares of the Lord Abbett Funds. In addition, the Board observed that Lord Abbett accrues certain benefits for its business of providing investment advice to clients other than the Lord Abbett Funds, but that business also benefits the Funds. The Board also noted that Lord Abbett, as disclosed in the prospectus of the Fund, has entered into revenue sharing arrangements with certain entities that distribute shares of the Lord Abbett Funds. The Board also took into consideration the investment research that Lord Abbett receives as a result of client brokerage transactions.
Alternative Arrangements. The Board considered whether, instead of approving continuation of the Agreement, it might be in the best interests of the Fund to implement one or more alternative arrangements, such as continuing to employ Lord Abbett, but on different terms. After considering all of the relevant factors, the Board unanimously found that continuation of the Agreement was in the best interests of the Fund and its shareholders and voted unanimously to approve the continuation of the Agreement. In considering whether to approve the continuation of the Agreement, the Board did not identify any single factor as paramount or controlling. Individual Directors may have evaluated the information presented differently from one another, giving different weights to various factors. This summary does not discuss in detail all matters considered.
19
Tax Information (unaudited)
For foreign shareholders, the percentages below reflect the portion of net investment income distributions that represent interest-related dividends:
Fund Name |
Interest-related dividends |
U.S. Government & Government Sponsored Enterprises Money Market Fund | 100% |
20
This report, when not used for the general information of shareholders of the Fund, is to be distributed only if preceded or accompanied by a current fund prospectus. |
||||
Lord Abbett mutual fund shares are distributed by LORD ABBETT DISTRIBUTOR LLC. |
Lord Abbett U.S. Government & Government Sponsored Enterprises Money Market Fund, Inc. |
LAMM-2 (08/25) |
Item 12: | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. |
Not applicable.
Item 13: | Portfolio Managers of Closed-End Management Investment Companies. |
Not applicable.
Item 14: | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. |
Not applicable.
Item 15: | Submission of Matters to a Vote of Security Holders. |
Not applicable.
Item 16: | Controls and Procedures. |
(a) | The principal executive officer and principal financial & accounting officer have concluded as of a date within 90 days of the filing date of this report, based on their evaluation of the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940), that the design of such procedures is effective to provide reasonable assurance that material information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the time periods specified in the Commission's rules and forms. |
(b) | There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting. |
Item 17: | Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. |
Not applicable.
Item 18: | Recovery of Erroneously Awarded Compensation. |
Not applicable.
Item 19: | Exhibits. |
(a)(1) | The Lord Abbett Family of Funds Sarbanes-Oxley Code of Ethics for the Principal Executive Officer and Senior Financial Officers is attached hereto as part of EX-99.CODEETH. |
(a)(2) | Not applicable. |
(a)(3) | Certification of each principal executive officer and principal financial officer of the Registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940 is attached hereto as a part of EX-99.CERT. |
(a)(4) | Not applicable. |
(a)(5) | There was no change in the registrant's independent public accountant for the period covered by this report. |
(b) | Certification of each principal executive officer and principal financial officer of the Registrant as required by Rule 30a-2(b) under the Investment Company Act of 1940 is provided as a part of EX-99.906CERT. |
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.
LORD ABBETT U.S. GOVERNMENT & GOVERNMENT SPONSORED ENTERPRISES MONEY MARKET FUND, INC. | |||
By: | /s/Douglas B. Sieg | ||
Douglas B. Sieg | |||
President and Chief Executive Officer | |||
(Principal Executive Officer) |
Date: September 11, 2025
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/Douglas B. Sieg | |
Douglas B. Sieg | ||
President and Chief Executive Officer | ||
(Principal Executive Officer) |
Date: September 11, 2025
By: | /s/Michael J. Hebert | |
Michael J. Hebert | ||
Chief Financial Officer and Treasurer | ||
(Principal Financial Officer) |
Date: September 11, 2025