Common use of FUTURES TRADING Clause in Contracts

FUTURES TRADING. Order Execution Service · The MSC Futures Desk can provide the CTA with order execution facilities. The CTA should contact the Futures Desk for information on trade execution procedures. “Give-Up” Order Execution · The CTA shall ensure that a “give-up” execution agreement is in place prior to the execution of any trade through a floor broker in accordance with this Agreement or as otherwise provided in writing to the CTA by the General Partner. · On exchanges allowing “give-up” execution, the CTA may have orders executed away from MSC and give-up trades to MSC for clearing. The CTA should contact MSC Futures Operations for information on trade “give-up” procedures. The CTA should ensure that executing brokers give trades up on a timely basis. The CTA should ensure that executing brokers make timely payment on price adjustments, when applicable. For futures trades at exchanges where give-up execution is not allowed, the CTA must use the execution facilities provided by the Clearing Commodity Broker. “Give-Up” Agreements · The three party FIA/FOA uniform “give-up” agreement is the acceptable form for futures “give-ups”. The trader version FIA/FOA EFP agreement is the acceptable form for EFP “give-ups”. The CTA should initiate all give-ups on EGUS or contact MSC Futures Operations for assistance. “Give-Up” Execution Payment · Give-Up Fee Bills in amounts specified in fully approved give-up agreements, or in the absence of such an agreement, in amounts up to the Execution Allowance, will be processed by MSC Futures Operations, with notice provided to the CTA. To the extent that such bills will be greater than the Execution Allowance, the CTA will obtain the prior written consent of the General Partner. · The CTA shall provide that information which may reasonably be requested by the General Partner to verify the Give-Up Fees processed by MSC Futures Operations.

FUTURES TRADING. Order Execution Service · The MSC Futures Desk can provide the CTA with order execution facilities. The CTA should contact the Futures Desk for information on trade execution procedures. “Give-Up” Order Execution · The CTA shall ensure that a “give-up” execution agreement is in place prior to the execution of any trade through a floor broker in accordance with this Agreement or as otherwise provided in writing to the CTA by the General Partner. · On exchanges allowing “give-up” execution, the CTA may have orders executed away from MSC and give-up trades to MSC for clearing. The CTA should contact MSC Futures Operations for information on trade “give-up” procedures. The CTA should ensure that executing brokers give trades up on a timely basis. The CTA should ensure that executing brokers make timely payment on price adjustments, when applicable. For futures trades at exchanges where give-up execution is not allowed, the CTA must use the execution facilities provided by the Clearing Commodity Broker. “Give-Up” Agreements A-2 · The three party FIA/FOA uniform “give-up” agreement is the acceptable form for futures “give-ups”. The trader version FIA/FOA EFP agreement is the acceptable form for EFP “give-ups”. The CTA should initiate all give-ups on EGUS or contact MSC Futures Operations for assistance. “Give-Up” Execution Payment · Give-Up Fee Bills in amounts specified in fully approved give-up agreements, or in the absence of such an agreement, in amounts up to the Execution Allowance, will be processed by MSC Futures Operations, with notice provided to the CTA. To the extent that such bills will be greater than the Execution Allowance, the CTA will obtain the prior written consent of the General Partner. · The CTA shall provide that information which may reasonably be requested by the General Partner to verify the Give-Up Fees processed by MSC Futures Operations. ACCOUNT MAINTENANCE: Trade Allocations · The CTA is responsible for determining the trade allocation procedure for Fund trading accounts, in accordance with CFTC regulations. The CTA should ensure that the procedure was followed correctly, and that trades are booked accordingly in Fund accounts. Trade Reporting; (Futures) · The CTA is responsible for reporting all trades to MSC Futures Operations on a timely basis to facilitate clearing and reduce operational risk. The CTA should contact MSC Futures Operations for additional information. Daily Trade Checkout · The CTA is responsible for daily, end of trading day, checkout of all trades (including currency conversion trades) with MSC Futures and MSC FX Operations. The CTA should contact MSC Futures and MSC FX Operations to determine specific checkout procedures. Daily Statement Reconciliation · The CTA is responsible for daily statement trade activity and position balancing with MSC FX and MSC Futures Operations. The CTA should contact MSC FX and MSC Futures Operations to determine specific balancing procedures. · The CTA should notify MSC Futures and MSC FX Operations of any trade breaks on a daily basis. · The CTA should notify MSC Futures and MSC FX Operations of any incorrect settlement prices it becomes aware of with regard to the MSC account statements of a Fund.

FUTURES TRADING. Order Execution Service · The MSC Futures Desk can provide the CTA with order execution facilities. The CTA should contact the Futures Desk for information on trade execution procedures. “Give-"Give Up” " Order Execution · The CTA shall ensure that a “"give-up” " execution agreement is in place prior to the execution of any trade through a floor broker outside of MSC's execution facilities in accordance with this Agreement or as otherwise provided in writing to the CTA by the General Partner. · On exchanges allowing “give-"give up” " execution, the CTA may have orders executed away from MSC and give-give up trades to MSC for clearing. The CTA should contact MSC Futures Operations Ops for information on trade “give-"give up” " procedures. The CTA should ensure that executing brokers give trades up on a timely basis. The CTA should ensure that executing brokers make timely payment on price adjustments, when applicable. For futures trades at exchanges where give-give up execution is not allowed, the CTA must use the execution facilities provided by the Clearing Commodity Broker. “Give-"Give Up” " Agreements · The three four party FIA/FOA uniform “give-"give up” " agreement is the acceptable form for futures “give-"give ups”". The trader version FIA/FOA EFP agreement is the acceptable form for EFP “give-"give ups”". The CTA should initiate all give-ups on send agreements that have been signed by both the CTA and executing broker to MF Ops, attention Lxxxx Xxxxx , Mxxxxx Sxxxxxx, Managed Futures, 500 Xxxxx Xxxxxx, 00xx Xxxxx, Xxx Xxxx, XX 00000 or through EGUS or contact MSC Futures Operations for assistance(FIA Electronic Give Up System). “Give-"Give Up” " Execution Payment · Give-Up Fee Bills in amounts specified in fully approved give-up agreementsFor Chicago Markets (CBT, or in the absence of such an agreementCME and affiliated exchange divisions), in amounts up to the Execution Allowance, payment for floor brokerage will be processed by MSC Futures Operations, with notice provided to handled via the CTAATOM system at its standard rate. To the extent that such bills Payment of an execution service fee ("Give Up Fee") will be greater than handled exclusively through the Execution Allowance, GAINS system at a rate not to exceed the CTA will obtain the prior written consent of the General Partner. · The CTA shall provide that information which may reasonably be requested amount permitted by the General Partner from time to verify time (the Give-"Execution Allowance"). The "Execution Allowance" shall be based on the General Partner's assessment for prevailing competitive rates for "Give Up Fees processed Fees". · For New York Markets (NYBOT, NYMEX, NYFE and affiliated exchange divisions), payment of "Give Up Fees" will be handled exclusively through the ATOM system at a rate not to exceed the "Execution Allowance". · For all other markets, MSC or its carrying broker, when utilized by MSC, will handle payment of "Give Up Fees" to the party from whom it directly receives the trade at a rate not to exceed the "Execution Allowance". Bills for "Give Up Fees" should be sent directly to MSC or its applicable carrying broker. · Futures OperationsOps will handle payment of "Give Up Fees".

FUTURES TRADING. Order Execution Service · * The MSC Futures Desk can provide the CTA with order execution facilities. The CTA should contact the Futures Desk for information on trade execution procedures. “Give-?Give Up” ? Order Execution · * The CTA shall ensure that a “?give-up” ? execution agreement is in place prior to the execution of any trade through a floor broker in accordance with this Agreement or as otherwise provided in writing to the CTA by the General PartnerTrading Manager. · * On exchanges allowing “give-?give up” ? execution, the CTA may have orders executed away from MSC and give-give up trades to MSC for clearing. The CTA should contact MSC Futures Operations Ops for information on trade “give-?give up” ? procedures. The CTA should ensure that executing brokers give trades up on a timely basis. The CTA should ensure that executing brokers make timely payment on price adjustments, when applicable. For futures trades at exchanges where give-up execution is not allowed, the CTA must use the execution facilities provided by the Clearing Commodity Broker. “?Give Up? Agreements * The CTA may authorize payment of an execution service fee (?Give-Up” Agreements · Up Fee?) only to the executing clearing firm or the floor broker (the ?Executing Broker?) that directly gives the futures trade to the Clearing Commodity Broker for such clearance, and in an amount not greater than the amount permitted by the Trading Manager from time to time (the ?Execution Allowance?). The three Execution Allowance shall be based on the Trading Manager?s assessment for prevailing competitive rates for Give-Up Fees. * The four party FIA/FOA uniform “give-?give up” ? agreement is the acceptable form for futures “give-?give ups”?. The ?Xxxxxx Xxxxxxx Managed Futures Give Up Policy and Billing Procedures? and ?Xxxxxx Xxxxxxx Managed Futures Execution Allowance? schedule will be made part of each ?give up? agreement. The trader version FIA/FOA EFP agreement is the acceptable form for EFP “give-?give ups”?. The CTA should initiate all give-ups on EGUS or contact MSC Futures Operations for assistancesend agreements that have been signed by both the CTA and executing broker to MF Ops, attention Xxxxx Xxxxx, Xxxxxx Xxxxxxx, Managed Futures, 000 Xxxxx Xxxxxx, 00xx Xxxxx, Xxx Xxxx, XX 00000. “Give-?Give Up” ? Execution Payment · Give-* Give Up Fee Bills in amounts specified in fully approved give-up agreements, or in the absence of such an agreement, in amounts up to the Execution Allowance, Allowance will be processed by MSC Futures OperationsOps, with notice provided to the CTA. To the extent that such bills will be greater than the Execution Allowance, the CTA will obtain the prior written consent of the General PartnerTrading Manager. · Refer to the ?Xxxxxx Xxxxxxx Managed Futures Give Up Policy and Billing Procedures? for specific information. * The CTA shall provide that information which may reasonably be requested by the General Partner Trading Manager to verify the Give-Up Fees processed by Futures Ops. ACCOUNT MAINTENANCE: Trade Allocations * The CTA is responsible for determining the trade allocation procedure for Fund trading accounts, in accordance with CFTC regulations. The CTA should ensure that the procedure was followed correctly, and that trades are booked accordingly in Fund accounts. Trade Reporting; (Futures) * The CTA is responsible for reporting all trades to Futures Ops on a timely basis to facilitate clearing and reduce operational risk. The CTA should contact Futures Ops for additional information. Daily Trade Checkout * The CTA is responsible for daily, end of trading day, checkout of all trades (including currency conversion trades) with Futures and FX Ops. The CTA should contact Futures and FX Ops to determine specific checkout procedures. Daily Statement Reconciliation * The CTA is responsible for daily statement trade activity and position balancing with FX and Futures Operations. The CTA should contact FX and Futures Ops to determine specific balancing procedures. * The CTA should provide a daily, trade reconciliation for each Fund account to MF Ops, by 10:00 a.m. EST/EDT. Reconciliation reports can be emailed to xx.xxx@xxxxxxxxxxxxx.xxx and should specify trades to be added or canceled in each account, with a valuation versus the current settlement price of the product, and any pending cash adjustments due from executing brokers or for bookkeeping corrections. (MF Ops provides MF Accounting/the Administrator with adjusting information for the calculation of NAV.) Please contact MF Ops if you have any questions regarding this procedure. * The CTA should notify MF Ops of any incorrect settlement prices it becomes aware of with regard to the MSC account statements of a Fund. Monitoring of Delivery Periods and Option Expirations * The CTA is responsible for monitoring delivery periods (first notice dates and last trade dates), option expirations (option expiration and last trade dates), and forward settlement and/or maturity dates. * The CTA should take appropriate actions to ensure that futures contracts do not result in delivery. * The CTA should ensure that their intentions regarding any open option positions, at the time of expiration, have been communicated appropriately to the Futures or FX Ops areas. Contact Futures and FX Ops for specific communication procedures. Margin Maintenance and Cash Transaction (Journal) Reconciliation * MF Ops is responsible for balancing of all journal entries in all Fund accounts and for ensuring the requisite corrective action is taken for each reconciling item. * MF Ops is responsible for the authorization of Fund margin transfers between MSC and MS&Co accounts for the purpose of maintaining equity (and/or collateral) in amounts sufficient to meet Fund margin requirements in the MSC Futures Operationsaccounts and the FX custody accounts. TRADING LEVEL NOTIFICATION: * For new trading allocations, MF Prod Org will provide notification to the CTA of trading authorization and the trading commencement date, along with notification of the initial trading level. * Thereafter, notification of estimated monthly net additions/withdrawals will be distributed by MF Strat Plan. On the third to last Business Day of each month a preliminary estimate will be provided. On the first Business Day of each month a final estimate will be given. Any material adjustment (1% of account equity) from the final estimate to the actual will be provided. Notification will be made via fax or email and the CTA will be asked to acknowledge receipt via fax or email. Questions regarding this procedure can be directed to MF Strat Plan. * Subsequent to a Fund?s monthly closing, actual additions and withdrawals will be processed by MF Accounting/the Administrator via journal entry in the Fund ?excess? account at MS&Co. * Any other trading level/asset allocation changes will be communicated in writing from MF Prod Org or MF Strat Plan.