Quarterly Report for Quarter Ending June 30, 2026 (Form 10-Q)

Management's Discussion and Analysis of Financial Condition and Results of Operations.

Liquidity and Capital Resources

The Partnership does not have, nor does it expect to have, any capital assets. The Partnership does not engage in sales of goods or services. Its assets are its (i) equity in trading account, consisting of restricted and unrestricted cash, foreign cash, net unrealized appreciation on open futures contracts and net unrealized appreciation on open forward contracts, as applicable, and (ii) interest receivable. Because of the low margin deposits normally required in commodity futures trading, relatively small price movements may result in substantial losses to the Partnership, through its direct investments. While substantial losses could lead to a material decrease in liquidity, no such illiquidity occurred in the second quarter of 2026.

The Partnership's/Trading Company's investment in Futures Interests may, from time to time, be illiquid. Most U.S. futures exchanges limit fluctuations in prices during a single day by regulations referred to as "daily price fluctuation limits" or "daily limits." Trades may not be executed at prices beyond the daily limit. If the price for a particular futures or option contract has increased or decreased by an amount equal to the daily limit, positions in that futures or option contract can neither be taken nor liquidated unless traders are willing to effect trades at or within the limit. Futures prices have occasionally moved the daily limit for several consecutive days with little or no trading. These market conditions could prevent the Partnership/Trading Company from promptly liquidating its futures or option contracts and result in restrictions on redemptions.

There is no limitation on daily price movements in trading forward contracts on foreign currencies. The markets for some world currencies have low trading volume and are illiquid, which may prevent the Partnership/Trading Company from trading in potentially profitable markets or prevent the Partnership/Trading Company from promptly liquidating unfavorable positions in such markets, subjecting it to substantial losses. Either of these market conditions could result in restrictions on redemptions. For the periods covered by this report, illiquidity has not materially affected the Partnership's/Trading Company's assets.

Other than the risks inherent in commodity futures, forwards, options, swaps and other derivatives trading and U.S. Treasury bills and money market mutual fund securities, the General Partner knows of no trends, demands, commitments, events or uncertainties at the present time that are reasonably likely to result in the Partnership's/Trading Company's liquidity increasing or decreasing in any material way.

The Partnership's capital consists of the capital contributions of the partners as increased or decreased by net realized and/or unrealized gains or losses on trading and by expenses, interest income, subscriptions and redemptions of Units. The

Partnership's primary need for capital resources is for Futures Interests trading.

For the six months ended June 30, 2026, the Partnership's capital increased 4.8% from $127,035,763 to $133,077,353. This increase was attributable to a net income of $15,245,429 which was partially offset by redemptions of 279,227.925 Class A limited partner Units totaling $9,078,839 and redemptions of 8,729.050 Class Z General Partner Units totaling $125,000. Future redemptions could impact the amount of funds available for investments in commodity contract positions in subsequent periods.

Other than as discussed above, there are no known material trends, favorable or unfavorable, that would affect, nor any expected material changes to, the Partnership's capital resource arrangements at the present time.

Off-Balance Sheet Arrangements and Contractual Obligations

The Partnership does not have any off-balance sheet arrangements, nor does it have contractual obligations or commercial commitments to make future payments, that would affect its liquidity or capital resources.

Critical Accounting Policies

The preparation of financial statements in conformity with GAAP requires the General Partner to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expense during the reporting periods. The General Partner believes that the estimates utilized in preparing the financial statements are reasonable. Actual results could differ from those estimates. The Partnership's significant accounting policies are described in detail in Note 2, "Basis of Presentation and Summary of Significant Accounting Policies," of the Financial Statements.

The Partnership/Trading Company records all investments at fair value in their financial statements, with changes in fair value reported as a component of trading results or net realized gains (losses) on closed contracts and net change in unrealized gains (losses) on open contracts in the Consolidated Statements of Income and Expenses.

Results of Operations

During the Partnership's second quarter of 2026, the net asset value per Unit for Class A increased 1.0% from $32.21 to $32.52 as compared to a decrease of 6.6% during the second quarter of 2025. During the Partnership's second quarter of 2026, the net asset value per Unit for Class Z increased 1.1% from $14.16 to $14.32 as compared to a decrease of 6.4% during the second quarter of 2025. The Partnership experienced a net trading gain before fees and expenses in the second quarter of 2026 of $1,550,163. Gains were primarily attributable to the Partnership's trading of Futures Interests in currencies, indices and livestock and were partially offset by losses in energy, grains, U.S. and non-U.S. interest rates, metals and softs. The Partnership experienced a net trading loss before fees and expenses in the second quarter of 2025 of $9,374,674. Losses were primarily attributable to the Partnership's trading of Futures Interests in currencies, energy, U.S. and non-U.S. interest rates, metals and softs and were partially offset by gains in grains, indices and livestock.

During the second quarter, the Partnership's strongest gains came from the global stock index sector in April and May from long positions in U.S. and Asian equity index futures and, to a lesser extent, from long positions in European equity index futures, as prices advanced amid optimism for easing hostilities in the Middle East and demand for artificial intelligence-related stocks. Further gains were recorded in the currency markets during June from short positions in the Canadian dollar, Japanese yen, and the euro against the U.S. dollar, as the U.S. dollar strengthened on elevated U.S. Treasury yields and expectations for a more hawkish Federal Reserve. A portion of the Partnership's overall gains for the second quarter was offset by losses incurred within the metals markets during June from long positions in gold and silver futures, as precious metal prices were pressured by a stronger U.S. dollar. In the agricultural markets, losses were experienced throughout the quarter from short positions in cocoa futures as prices moved higher. In the global fixed income sector, losses were recorded during May and June from short positions in Australian fixed income futures, after weaker employment data boosted bond prices and prompted investors to reassess the Reserve Bank of Australia's near-term monetary policy outlook. Smaller fixed income losses were recorded in European and Japanese government bond futures. In the energy sector, losses were incurred during May from long futures positions in crude oil and refined products, as prices declined largely due to improving prospects for U.S.-Iran de-escalation.

During the Partnership's six months ended June 30, 2026, the net asset value per Unit for Class A increased 12.0% from $29.04 to $32.52 as compared to a decrease of 6.6% during the six months ended June 30, 2025. During the Partnership's six months ended June 30, 2026, the net asset value per Unit for Class Z increased 12.4% from $12.74 to $14.32 as compared to a decrease of 6.3% during the six months ended June 30, 2025. The Partnership experienced a net trading gain before fees and expenses in the six months ended June 30, 2026 of $15,654,029. Gains were primarily attributable to the Partnership's trading of Futures Interests in currencies, energy, indices, livestock and metals and were partially offset by losses in grains, U.S. and non-U.S. interest rates and softs. The Partnership experienced a net trading loss before fees and expenses in the six months ended June 30, 2025 of $9,411,910. Losses were primarily attributable to the Partnership's trading of Futures Interests in currencies, energy, grains, U.S. and non-U.S. interest rates and softs and were partially offset by gains in indices, livestock and metals.

During the first six months of the year, the Partnership's largest gains for the period were generated in the energy sector primarily during March, with smaller gains in February and April, from long positions in gasoil, Brent crude oil, unleaded gasoline, and heating oil futures, as geopolitical turmoil and hostilities in the Middle East threatened global energy supplies. In global stock index markets, gains were recorded during April and May from long positions in U.S. and Asian equity index futures as prices advanced amid optimism over easing hostilities in the Middle East and demand for artificial intelligence-related stocks. Further gains were recorded in the currency markets during June from short positions in the Canadian dollar, Japanese yen, and euro against the U.S. dollar, as the U.S. dollar strengthened on elevated U.S. Treasury yields and expectations for a more hawkish Federal Reserve. Gains in the metals markets were recorded during January from long positions in gold and silver futures, as heightened investor demand for precious metals pushed prices to record highs. Additional metals gains were generated during the same period from long positions in copper futures. A portion of the Partnership's overall trading gains during the first six months of the year was offset by losses in the global fixed income futures sector. During March, losses were recorded from long positions in European fixed income futures, as geopolitical turmoil increased volatility in bond markets. Additional losses were incurred during May and June from short positions in Australian fixed income futures. In the agricultural markets, losses were recorded during May and June from short positions in the grains sector, as concerns about adverse weather conditions affecting crops in the U.S. Midwest supported higher prices.

Commodity markets are highly volatile. Broad price fluctuations and rapid inflation increase not only the risk involved in commodity trading, but also the possibility of profit. The profitability of the Partnership depends on the existence of major price trends and the ability of the Trading Advisor to correctly identify those price trends. Price trends are influenced by, among other things, changing supply and demand relationships, weather, governmental, agricultural, commercial and trade programs and policies, national and international political and economic events and changes in interest rates. To the extent that market trends exist and the Trading Advisor is able to identify them, the Partnership expects to increase capital through operations.

The Partnership receives monthly interest on 100% of the average daily equity maintained in cash in the Partnership's account during each month at a rate equal to 100% of the monthly average of the 4-week U.S. Treasury bill discount rate. For the avoidance of doubt, the Partnership will not receive interest on amounts in the futures brokerage account that are committed to margin. Any interest earned on the Partnership's cash account in excess of the amounts described above, if any, will be retained by MS&Co. and/or shared with the General Partner. All interest earned on U.S. Treasury bills and money market fund securities will be retained by the Partnership, as applicable. Interest income for the three and six months ended June 30, 2026 decreased by $161,830 and $448,724, respectively, as compared to the corresponding periods in 2025. The decrease in interest income was primarily due to lower interest rates and lower average daily equity during the three and six months ended June 30, 2026 as compared to the corresponding periods in 2025. Interest earned by the Partnership will increase the net asset value of the Partnership. The amount of interest income earned by the Partnership depends on (1) the average daily equity maintained in cash in the Partnership's accounts, (2) the amount of U.S. Treasury bills and/or money market mutual fund securities held by the Partnership and (3) interest rates over which none of the Partnership or MS&Co. has control.

Certain clearing fees are based on the number of trades executed by the Trading Advisors for the Partnership. Accordingly, they must be compared in relation to the number of trades executed during the period. Clearing fees for the three and six months ended June 30, 2026 decreased by $13,996 and $819, respectively, as compared to the corresponding periods in 2025. The decrease in clearing fees was primarily due to a decrease in the number of trades made by the Partnership during the three and six months ended June 30, 2026 as compared to the corresponding periods in 2025.

Ongoing placement agent fees are calculated as a percentage of the Partnership's Class A adjusted net assets on the first day of each month and are affected by trading performance, subscriptions, and redemptions. Accordingly, they must be compared in relation to the fluctuations in the monthly net asset values. Ongoing placement agent fees for the three and six months ended June 30, 2026 increased by $8,497 and decreased by $16,292, respectively, as compared to the corresponding periods in 2025. The increase was primarily due to an increase in Class A adjusted net assets during the three months ended June 30, 2026 as compared to the corresponding period in 2025. The decrease was primarily due to a decrease in Class A adjusted net assets during the six months ended June 30, 2026 as compared to the corresponding period in 2025.

Administrative and General Partner fees are paid to the General Partner for administering the business and affairs of the Partnership. The Administrative and General Partner's fees are calculated as a percentage of the Partnership's adjusted net asset value as of the beginning of each month and are affected by trading performance and redemptions. Accordingly, they must be compared in relation to the fluctuations in the monthly net asset values. Administrative and General Partner's fees for the three and six months ended June 30, 2026 increased by $8,683 and decreased by $16,303, respectively, as compared to the corresponding periods in 2025. The increase was primarily due to an increase in average net assets during the three months ended June 30, 2026 as compared to the corresponding period in 2025. The decrease was primarily due to a decrease in average net assets during the six months ended June 30, 2026 as compared to the corresponding period in 2025.

Management fees are calculated as a percentage of the Partnership's adjusted net asset value as of the beginning of each month and are affected by trading performance and redemptions. Accordingly, they must be compared in relation to the fluctuations in the monthly net asset values. Management fees for the three and six months ended June 30, 2026 increased by $28,344 and decreased by $26,722, respectively, as compared to the corresponding periods in 2025. The increase was primarily due to an increase in average net assets during the three months ended June 30, 2026 as compared to the corresponding period in 2025. The decrease was primarily due to a decrease in average net assets during the six months ended June 30, 2026 as compared to the corresponding period in 2025.

Incentive fees are based on the new trading profits generated by the Trading Advisors at the end of the year as defined in the management agreement among the Partnership, the General Partner and the relevant Trading Advisor. Trading performance for the three and six months ended June 30, 2026 resulted in incentive fees of $0 and $138,805, respectively. Trading performance for the three and six months ended June 30, 2025 resulted in incentive fees of $0 and $0, respectively. To the extent that a Trading Advisor incurs a loss for the Partnership, the Trading Advisor will not be paid incentive fees until such Trading Advisor recovers any net loss incurred and earns additional new trading profits for the Partnership.

In allocating substantially all of the assets of the Partnership among the Trading Advisors, the General Partner considers, among other factors, the Trading Advisors' past performance, trading style, volatility of markets traded and fee requirements.

The General Partner may modify or terminate the allocation of assets to the Trading Advisors and allocate assets to additional advisors at any time.

As of June 30, 2026 and March 31, 2026, the Partnership's Net Assets were allocated among the Trading Advisors in the following approximate percentages: