SunAmerica to close the Municipal Money Market Fund to new investments

By Tali David

Minneapolis, Dec. 5 -SunAmerica Money Market Funds, Inc. announced that the SunAmerica Municipal Money Market Fund will close to new investments and will no longer accept orders to buy fund shares from new investors or existing shareholders effective Jan. 13, according to a press release.

The fund will, continue to accept reinvestments of dividends and capital gain distributions from existing shareholders after Jan. 13.

SunAmerica said that the announcement of the closing of the fund to new investments is expected to result in a significant redemption of fund shares, since about 98% of the fund's total outstanding shares as of Nov.16 were held by brokerage accounts as cash sweep vehicles.

This is the first step toward the ultimate liquidation of the fund, and the fund's investment adviser anticipates proposing the liquidation of the fund to the company's board of directors following the redemption by the sweep accounts. Liquidation of the fund is also subject to approval by the fund's shareholders, according to the release.

SunAmerica is based in Kansas City, Mo.

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