A system and method for virtually eliminating a potential security risk inherent with the caching of network content. Random subdirectory names are generated for cache directories, while continuing to generate user-friendly file names. Security is achieved since malicious sites cannot guess the cache location, which if guessed along with the filename, could cause a user connected to the site to inadvertently execute malicious content downloaded by the site to the cache. In addition to generating random subdirectory names, the system and method provide enhanced performance by balancing the number of files among the cache directories, and by limiting the number of files in any cache directory by creating additional cache directories as needed.