Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 29, 2016 | Jun. 30, 2015 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | CK0001037189 | ||
Entity Registrant Name | WESTPORT FUTURES FUND L.P. | ||
Entity Central Index Key | 1,037,189 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 17,850.6517 | ||
Entity Public Float | $ 22,644,230 |
Statements of Financial Conditi
Statements of Financial Condition - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Assets: | ||
Investment in Master, at fair value (Note 1) | $ 19,181,327 | $ 26,474,464 |
Cash (Note 3c) | 110,752 | 5,730 |
Total assets | 19,292,079 | 26,480,194 |
Accrued expenses: | ||
Ongoing selling agent fees (Note 3c) | 32,153 | 44,135 |
Management fees (Note 3b) | 31,895 | 43,974 |
General Partner fees (Note 3a) | 15,948 | 21,987 |
Professional fees | 122,669 | 51,692 |
Redemptions payable to Limited Partners (Note 6) | 935,814 | 253,766 |
Total liabilities | 1,138,479 | 415,554 |
Partners' Capital: (Notes 1 and 6) | ||
General Partner, 248.2379 Redeemable Units outstanding at December 31, 2015 and 2014, respectively | 238,732 | 290,694 |
Limited Partners, 18,628.2377 and 22,009.6377 Redeemable Units outstanding at December 31, 2015 and 2014, respectively | 17,914,868 | 25,773,946 |
Total partners' capital | 18,153,600 | 26,064,640 |
Total liabilities and partners' capital | $ 19,292,079 | $ 26,480,194 |
Net asset value per Redeemable Unit | $ 961.71 | $ 1,171.03 |
Statements of Financial Condit3
Statements of Financial Condition (Parenthetical) - shares | Dec. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
General Partner, Redeemable Units outstanding | 248.2379 | 248.2379 |
Limited Partners, Redeemable Units outstanding | 18,628.2377 | 22,009.6377 |
Statements of Income and Expens
Statements of Income and Expenses - USD ($) | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Investment Income: | ||||
Interest income allocated from Master (Note 3c) | $ 1,235 | $ 3,888 | $ 8,290 | |
Expenses: | ||||
Expenses allocated from Master | 207,345 | 300,988 | 277,876 | |
Ongoing selling agent fees (Note 3c) | 468,257 | 876,455 | 1,497,239 | |
Management fees (Note 3b) | 465,347 | 528,019 | 566,606 | |
General Partner fees (Note 3a) | 232,673 | 66,677 | ||
Professional fees | 254,480 | 280,680 | 232,801 | |
Total expenses | 1,628,102 | 2,052,819 | 2,574,522 | |
Net investment income (loss) | (1,626,867) | (2,048,931) | (2,566,232) | |
Net gains (losses) on investment in Master: | ||||
Net realized gains (losses) on closed contracts | 2,156 | |||
Net realized gains (losses) on closed contracts allocated from Master | (1,912,058) | 6,291,570 | 70,162 | |
Net change in unrealized gains (losses) on open contracts | (2,156) | |||
Net change in unrealized gains (losses) on open contracts allocated from Master | (865,572) | (265,941) | 338,196 | |
Total trading results | (2,777,630) | 6,025,629 | 408,358 | |
Net income (loss) | $ (4,404,497) | $ 3,976,698 | $ (2,157,874) | |
Net income (loss) per Redeemable Unit (Note 7) | [1] | $ (209.32) | $ 163.01 | $ (77.42) |
Weighted average Redeemable Units outstanding | 21,294.5404 | 24,469.8346 | 27,174.0682 | |
[1] | Represents the change in net asset value per Redeemable Unit. |
Statements of Changes in Partne
Statements of Changes in Partners' Capital - USD ($) | Total | Limited Partner [Member] | General Partner [Member] |
Net asset value per Redeemable Unit | $ 1,085.44 | ||
Beginning balance, Partners' Capital at Dec. 31, 2012 | $ 30,317,094 | $ 29,882,823 | $ 434,271 |
Net income (loss) | (2,157,874) | (2,133,282) | (24,592) |
Subscriptions of 2,997.5130 Redeemable Units for 2013, 2,365.5570 Redeemable Units for 2014, 1,907.1760 Redeemable Units for 2015 | 3,130,122 | 3,130,122 | |
Redemptions of 5,517.5370 Redeemable Units and 93.0000 General Partner Redeemable Units for 2013, 5,366.5700 Redeemable Units and 58.8500 General Partner Redeemable Units for 2014, 5,288.5760 Redeemable Units | (5,768,533) | (5,668,405) | (100,128) |
Ending balance, Partners' Capital at Dec. 31, 2013 | $ 25,520,809 | $ 25,211,258 | 309,551 |
Net asset value per Redeemable Unit | $ 1,008.02 | $ 1,008.02 | |
Net income (loss) | $ 3,976,698 | $ 3,929,855 | 46,843 |
Subscriptions of 2,997.5130 Redeemable Units for 2013, 2,365.5570 Redeemable Units for 2014, 1,907.1760 Redeemable Units for 2015 | 2,518,092 | 2,518,092 | |
Redemptions of 5,517.5370 Redeemable Units and 93.0000 General Partner Redeemable Units for 2013, 5,366.5700 Redeemable Units and 58.8500 General Partner Redeemable Units for 2014, 5,288.5760 Redeemable Units | (5,950,959) | (5,885,259) | (65,700) |
Ending balance, Partners' Capital at Dec. 31, 2014 | $ 26,064,640 | $ 25,773,946 | 290,694 |
Net asset value per Redeemable Unit | $ 1,171.03 | $ 1,171.03 | |
Net income (loss) | $ (4,404,497) | $ (4,352,535) | (51,962) |
Subscriptions of 2,997.5130 Redeemable Units for 2013, 2,365.5570 Redeemable Units for 2014, 1,907.1760 Redeemable Units for 2015 | 2,123,330 | 2,123,330 | |
Redemptions of 5,517.5370 Redeemable Units and 93.0000 General Partner Redeemable Units for 2013, 5,366.5700 Redeemable Units and 58.8500 General Partner Redeemable Units for 2014, 5,288.5760 Redeemable Units | (5,629,873) | (5,629,873) | |
Ending balance, Partners' Capital at Dec. 31, 2015 | $ 18,153,600 | $ 17,914,868 | $ 238,732 |
Net asset value per Redeemable Unit | $ 961.71 | $ 961.71 |
Statements of Changes in Partn6
Statements of Changes in Partners' Capital (Parenthetical) - shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Limited Partner [Member] | |||
Subscriptions of Redeemable Units | 1,907.1760 | 2,365.5570 | 2,997.5130 |
Redemptions-Partners' Capital Account, Units | 5,288.5760 | 5,366.5700 | 5,517.5370 |
General Partner [Member] | |||
Redemptions-Partners' Capital Account, Units | 58.8500 | 93 |
Partnership Organization
Partnership Organization | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Partnership Organization | 1. Partnership Organization: Westport Futures Fund L.P. (the “Partnership”) is a limited partnership organized under the partnership laws of the State of New York on March 21, 1997, to engage, directly or indirectly, in the speculative trading of a diversified portfolio of commodity interests, including futures, forward, option on forward contracts. The sectors traded include currencies, energy, grains, indices, U.S. and non-U.S. interest rates, livestock, metals and softs. The commodity interests that are traded by the Partnership, through its investment in Rabar Master Fund L.P. (the “Master”), are volatile and involve a high degree of market risk. The General Partner (defined below) may also determine to invest up to all of the Partnership’s assets (directly or indirectly through its investment in the Master) in United States (“U.S.”) Treasury bills and/or money market mutual funds, including money market mutual funds managed by Morgan Stanley or its affiliates. The Partnership privately and continuously offers redeemable units of limited partnership interest (“Redeemable Units”) to qualified investors. There is no maximum number of Redeemable Units that may be sold by the Partnership. Ceres Managed Futures LLC, a Delaware limited liability company, acts as the general partner (the “General Partner”) and commodity pool operator of the Partnership. The General Partner is wholly owned by Morgan Stanley Smith Barney Holdings LLC (“MSSB Holdings”). MSSB Holdings is ultimately owned by Morgan Stanley. Morgan Stanley is a publicly held company whose shares are listed on the New York Stock Exchange. Morgan Stanley is engaged in various financial services and other businesses. Prior to June 28, 2013, Morgan Stanley indirectly owned a majority equity interest in MSSB Holdings and Citigroup Inc. indirectly owned a minority equity interest in MSSB Holdings. Prior to July 31, 2009, the date as of which MSSB Holdings became its owner, the General Partner was wholly owned by Citigroup Financial Products Inc., a wholly owned subsidiary of Citigroup Global Markets Holdings Inc., the sole owner of which is Citigroup Inc. All trading decisions for the Partnership are made by Rabar Market Research Inc. (“Rabar” or the “Advisor”). During the years ended December 31, 2015 and 2014, the Partnership’s and the Master’s commodity broker was Morgan Stanley & Co, LLC (“MS&Co.”), a registered futures commission merchant. During a prior period included in this report, Citigroup Global Markets Inc. (“CGM”) also served as a commodity broker. On December 1, 2012, the Partnership allocated substantially all of its capital to the Master, a limited liability partnership organized under the partnership laws of the State of Delaware. The Partnership purchased an interest in the Master with cash equal to $31,143,887. The Master permits accounts managed now and in the future by the Advisor using the Diversified Program, a proprietary and systematic trading system, to invest together in one trading vehicle. The General Partner is also the general partner of the Master. The Master’s commodity broker is MS&Co. Individual and pooled accounts currently managed by the Advisor, including the Partnership, are permitted to be limited partners of the Master. The General Partner and the Advisor believe that trading through this master-feeder structure promotes efficiency and economy in the trading process. Expenses to investors as a result of the investment in the Master are approximately the same and redemption rights are not affected. Generally, a limited partner in the Master withdraws all or part of its capital contribution and undistributed profits, if any, from the Master as of the end of any month (the “Redemption Date”) after a request has been made to the General Partner at least three days in advance of the Redemption Date. Such withdrawals are classified as a liability when the limited partner in the Master elects to redeem and informs the Master. However, a limited partner in the Master may request a withdrawal as of the end of any day if such request is received by the General Partner at least three days in advance of the proposed withdrawal day. The financial statements of the Master, including the Condensed Schedules of Investments are contained elsewhere in this report and should be read together with the Partnership’s financial statements. As of December 31, 2015 and 2014, the Partnership owned approximately 100% of the Master. The Partnership intends to continue to invest substantially all of its assets in the Master. The performance of the Partnership is directly affected by the performance of the Master. The General Partner and each limited partner of the Partnership share in the profits and losses of the Partnership in proportion to the amount of Partnership interest owned by each, except that no limited partner is liable for obligations of the Partnership in excess of its capital contributions and profits, if any, net of distributions or redemptions and losses, if any. The Partnership will be liquidated upon the first to occur of the following: December 31, 2047; the net asset value per Redeemable Unit decreases to less than $400 per Redeemable Unit as of the close of any business day; or under certain other circumstances as defined in the Limited Partnership Agreement of the Partnership (the “Limited Partnership Agreement”). In July 2015, the General Partner delegated certain administrative functions to SS&C Technologies, Inc., a Delaware corporation, currently doing business as SS&C GlobeOp (the “Administrator”). Pursuant to a master services agreement, the Administrator furnishes certain administrative, accounting, regulatory, reporting, tax and other services as agreed from time to time. In addition, the Administrator maintains certain books and records of the Partnership. The costs of retaining the Administrator will be allocated among the pools operated by the General Partner, including the Partnership. |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | 2. Basis of Presentation and Summary of Significant Accounting Policies: a. Use of Estimates b. Statement of Cash Flows c. Partnership’s Investment Master’s Investments d. Income Taxes e. Investment Company Status Financial Services—Investment Companies (Topic 946): Amendments to the Scope, Measurement and Disclosure Requirements f. Net Income (Loss) per Redeemable Unit g. Recent Accounting Pronouncement Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities.” h. Reclassification In the financial highlights table, ongoing selling agent fees and clearing fees allocated from the Master which were previously included in net realized and unrealized gains (losses) per Redeemable Unit and excluded from expenses per Redeemable Unit are now excluded from net realized and unrealized gains (losses) per Redeemable Unit and included in net investment loss per Redeemable Unit. Interest income per Redeemable Unit and expenses per Redeemable Unit previously presented separately are now combined into net investment loss per Redeemable Unit. i. Subsequent Events |
Agreements
Agreements | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Agreements | 3. Agreements: a. Limited Partnership Agreement: The General Partner administers the business and affairs of the Partnership, including selecting one or more advisors to make trading decisions for the Partnership. The General Partner has agreed to make capital contributions so that its general partnership interest will be equal to the greater of (1) an amount that will entitle the General Partner to an interest of at least 1% in each material item of the Partnership income, gain, loss, deduction or credit and (2) the greater of (i) 1% of the partners’ contributions or (ii) $25,000. Effective October 1, 2014, the Partnership pays the General Partner a monthly fee (formerly, the administrative fee) in return for its services to the Partnership equal to 1/12 of 1% (1% per year) of adjusted month-end net assets. b. Management Agreement: The General Partner has entered into a management agreement with Rabar, a registered commodity trading advisor (the “Management Agreement”). The Advisor is not affiliated with the General Partner or MS&Co. and CGM and is not responsible for the organization or operation of the Partnership. The Partnership pays the Advisor a monthly management fee equal to 1/6 of 1% (2% per year) of month-end Net Assets allocated to the Advisor and an incentive fee payable quarterly equal to 20% of the New Trading Profits, as defined in the Management Agreement, earned by the Advisor for the Partnership. The Advisor will not be paid incentive fees until the Advisor recovers the net loss incurred and earns additional new trading profits for the Partnership. Month-end Net Assets, for the purpose of calculating management fees are Net Assets, as defined in the Limited Partnership Agreement, prior to the reduction of the current month’s incentive fee accrual, the monthly management fee, the General Partner fee and any redemptions or distributions as of the end of such month. The Management Agreement may be terminated upon 30 days’ notice by either party. In allocating the assets of the Partnership to the Advisor, the General Partner considers, among other factors, the Advisor’s past performance, trading style, volatility of markets traded and fee requirements. The General Partner may modify or terminate the allocation of assets to the Advisor at any time. c. Customer Agreement/Selling Agent Agreement: Prior to and during part of the third quarter of 2013, the Partnership was party to a Customer Agreement with CGM (the “CGM Customer Agreement”). During the third quarter of 2013, the Partnership entered into a Customer Agreement with MS&Co. (the “MS&Co. Customer Agreement”) and, during the fourth quarter of 2013, a Selling Agent Agreement with Morgan Stanley Smith Barney LLC, doing business as Morgan Stanley Wealth Management (“Morgan Stanley Wealth Management”) (the “Selling Agreement”). The Partnership has terminated the CGM Customer Agreement. Under the CGM Customer Agreement, the Partnership paid CGM a monthly brokerage fee equal to 11/24 or 1% (5.5% per year) of month-end Net Assets, in lieu of brokerage fees on a per trade basis. Effective February 1, 2011, the Partnership reduced the monthly brokerage fee paid to CGM to 1/12 of 5.25% (5.25% per year) of Month-end Net Assets. Month-end Net Assets, for the purpose of calculating brokerage fees, were Net Assets, as defined in the Limited Partnership Agreement, prior to the reduction of the current month’s brokerage fees, incentive fee accrual, the monthly management fee and other expenses and any redemptions or distributions as of the end of such month. The Partnership paid for exchange, service, clearing, user, give-up, floor brokerage and National Futures Association (“NFA”) fees (collectively the “CGM clearing fees”) directly and through its investment in the Master. CGM clearing fees were allocated to the Partnership based on its proportional share of the Master. During the term of the CGM Customer Agreement, all of the Partnership’s assets that were not held in the Master’s accounts at CGM were deposited in the Partnership’s account at CGM. The Partnership’s cash was deposited by CGM in segregated bank accounts to the extent required by Commodity Futures Trading Commission (“CFTC”) regulations. CGM paid the Partnership interest on 80% of the average daily equity maintained in cash in the Partnership’s (or the Partnership’s allocable portion of the Master’s) brokerage account at a 30 day U.S. Treasury bill rate determined weekly by CGM based on the average non-competitive yield on 3-month U.S. Treasury bills maturing in 30 days from the date on which such weekly rate is determined. Under the MS&Co. Customer Agreement and the foreign exchange brokerage account agreement (described in Note 4, “Trading Activities”), the Partnership will pay trading fees for the clearing and, where applicable, the execution of transactions, as well as exchange, clearing, user, give-up, floor brokerage and NFA fees (collectively the “MS&Co. clearing fees” and together with the CGM clearing fees, the “clearing fees”) through its investment in the Master. MS&Co. clearing fees are allocated to the Partnership based on its proportionate share of the Master. Clearing fees will be paid for the life of the Partnership, although the rate at which such fees are paid may be changed. All of the Partnership’s assets not held in the Master’s accounts at MS&Co. are deposited in the Partnership’s account at MS&Co. The Partnership’s cash is deposited by MS&Co. in segregated bank accounts to the extent required by CFTC regulations. MS&Co. has agreed to pay the Partnership interest on 80% of the average daily equity maintained in cash in the Partnership’s (or the Partnership’s allocable portion of the Master’s) brokerage account at the rate equal to the monthly average of the 4-week U.S. Treasury bill discount rate. The MS&Co. Customer Agreement may generally be terminated upon notice by either party. Under the Selling Agreement with Morgan Stanley Wealth Management, the Partnership pays Morgan Stanley Wealth Management a monthly ongoing selling agent fee. Prior to April 1, 2014, the monthly ongoing selling agent fee was paid at a rate equal to 5.25% per year of the month-end Net Assets of the Partnership. Effective April 1, 2014, the monthly ongoing selling agent fee was reduced to 3.0% per year of the month-end Net Assets of the Partnership. Effective October 1, 2014, the monthly ongoing selling agent fee was reduced to 2.0% per year of the month-end Net Assets. Morgan Stanley Wealth Management will pay a portion of its ongoing selling agent fees to other properly registered or exempted financial advisors who have sold Redeemable Units. Month-end Net Assets, for the purpose of calculating ongoing selling agent fees are Net Assets, as defined in the Limited Partnership Agreement, prior to the reduction of the current month’s ongoing selling agent fee, management fee, the General Partner fee, the incentive fee accrued, other expenses and any redemptions or distributions as of the end of such month. |
Trading Activities
Trading Activities | 12 Months Ended |
Dec. 31, 2015 | |
Brokers and Dealers [Abstract] | |
Trading Activities | 4. Trading Activities: The Partnership was formed for the purpose of trading contracts in a variety of commodity interests, including derivative financial instruments and derivative commodity interests. The Partnership invests substantially all of its assets through a “master/feeder” structure. The results of the Partnership’s pro-rata share of the results of the Master’s trading activities are shown in the Statements of Income and Expenses. During the second quarter of 2013, the Master entered into a futures brokerage account agreement and a foreign exchange brokerage account agreement with MS&Co. The Master commenced foreign exchange trading through an account at MS&Co. on or about April 12, 2013 and futures trading through an account at MS&Co. on or about June 24, 2013. The MS&Co. Customer Agreement gives, and the CGM Customer Agreement gave, the Partnership and the Master the legal right to net unrealized gains and losses on open futures and forward contracts. The Partnership and the Master nets, for financial reporting purposes, the unrealized gains and losses on open futures and open forward contracts in the Statements of Financial Condition as the criteria under Accounting Standards Codification 210-20, “ Balance Sheet Brokerage fees were calculated as a percentage of the Partnership’s adjusted net asset value on the last day of each month and were affected by trading performance, subscriptions and redemptions. Trading and transaction fees are based on the number of trades executed by the Advisor and the Partnership’s ownership of the Master. Professional fees and other expenses are borne by the Master and allocated to the Partnership, and also directly charged at the Partnership level. All other fees are charged at the Partnership level. For disclosures regarding the Master’s trading activities, see Note 4, “Trading Activities,” on the attached Master’s financial statements. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 5. Fair Value Measurements: See Notes 2 and 5 of the Master’s financial statements for the determination of the fair value of the Master’s investments and related disclosures, including the fair value hierarchy, pursuant to ASC 820, “ Fair Value Measurement |
Subscriptions, Distributions an
Subscriptions, Distributions and Redemptions | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Subscriptions, Distributions and Redemptions | 6. Subscriptions, Distributions and Redemptions: Subscriptions are accepted monthly from investors who become limited partners on the first day of the month after their subscription is processed. Distributions of profits, if any, will be made at the sole discretion of the General Partner and at such times as the General Partner may decide. A limited partner may require the Partnership to redeem its Redeemable Units at their net asset value per Redeemable Unit as of the end of each month on three business days’ notice to the General Partner. There is no fee charged to limited partners in connection with redemptions. |
Financial Highlights
Financial Highlights | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Financial Highlights | 7. Financial Highlights: Financial highlights for the limited partner class as a whole for the years ended December 31, 2015, 2014 and 2013 were as follows: 2015 2014 2013 Net realized and unrealized gains (losses) $ (133.14 ) $ 246.78 $ 16.95 Net investment loss (76.18 ) (83.77 ) (94.37 ) Increase (decrease) for the year (209.32 ) 163.01 (77.42 ) Net asset value per Redeemable Unit, beginning of year 1,171.03 1,008.02 1,085.44 Net asset value per Redeemable Unit, end of year $ 961.71 $ 1,171.03 $ 1,008.02 2015 2014 2013 Ratio to average net assets: Net investment loss* (7.1 ) % (7.9 ) % (9.2 ) % Operating expenses 7.1 % 8.0 % 9.2 % Incentive fees - % - % - % Total expenses 7.1 % 8.0 % 9.2 % Total return: Total return before incentive fees (17.9 ) % 16.2 % (7.1 ) % Incentive fees - % - % - % Total return after incentive fees (17.9 ) % 16.2 % (7.1 ) % * Interest income allocated from Master less total expenses. The above ratios and total return may vary for individual investors based on the timing of capital transactions during the year. Additionally, these ratios are calculated for the limited partner class using the limited partners’ share of income, expenses and average net assets of the Partnership and includes the income and expenses allocated from the Master. |
Financial Instrument Risks
Financial Instrument Risks | 12 Months Ended |
Dec. 31, 2015 | |
Investments, All Other Investments [Abstract] | |
Financial Instrument Risks | 8. Financial Instrument Risks: In the normal course of business, the Partnership, through its investment in the Master, is party to financial instruments with off-balance sheet risk, including derivative financial instruments and derivative commodity instruments. These financial instruments may include forwards, futures, options and swaps, whose values are based upon an underlying asset, index, or reference rate, and generally represent future commitments to exchange currencies or cash balances, to purchase or sell other financial instruments at specific terms at specified future dates, or, in the case of derivative commodity instruments, to have a reasonable possibility to be settled in cash, through physical delivery or with another financial instrument. These instruments may be traded on an exchange, a swap execution facility or over-the-counter (“OTC”). Exchange-traded instruments include futures and certain standardized forward, swap and option contracts. Certain swap contracts may also be traded on a swap execution facility or OTC. OTC contracts are negotiated between contracting parties and also include certain forward and option contracts. Each of these instruments is subject to various risks similar to those related to the underlying financial instruments, including market and credit risk. In general, the risks associated with OTC contracts are greater than those associated with exchange-traded instruments because of the greater risk of default by the counterparty to an OTC contract. The General Partner estimates that at any given time approximately 5.9% to 24.1% of the Master’s contracts are traded OTC. Market risk is the potential for changes in the value of the financial instruments traded by the Master due to market changes, including interest and foreign exchange rate movements and fluctuations in commodity or security prices. Market risk is directly impacted by the volatility and liquidity in the markets in which the related underlying assets are traded. The Master is exposed to a market risk equal to the value of futures and forward contracts purchased and unlimited liability on such contracts sold short. See Note 8, Financial Instrument Risks, of the attached Master’s financial statements for risks relating to financial instruments and derivatives that are traded by the Master. Credit risk is the possibility that a loss may occur due to the failure of a counterparty to perform according to the terms of a contract. The Partnership’s/Master’s risk of loss in the event of a counterparty default is typically limited to the amounts recognized in the Statements of Financial Condition and is not represented by the contract or notional amounts of the instruments. The Partnership’s/Master’s risk of loss is reduced through the use of legally enforceable master netting agreements with counterparties that permit the Partnership/Master to offset unrealized gains and losses and other assets and liabilities with such counterparties upon the occurrence of certain events. The Partnership/Master had credit risk and concentration risk during the reporting period as MS&Co. and/or CGM or their affiliates are the sole counterparties or brokers with respect to the Partnership’s/Master’s assets. Credit risk with respect to exchange-traded instruments was reduced to the extent that, through MS&Co. and/or CGM, the Partnership’s/Master’s counterparty was an exchange or clearing organization. The Partnership/Master continue to be subject to such risks with respect to MS&Co. The General Partner monitors and attempts to control the Partnership’s/Master’s risk exposure on a daily basis through financial, credit and risk management monitoring systems, and accordingly, believes that it has effective procedures for evaluating and limiting the credit and market risks to which the Partnership/Master may be subject. These monitoring systems generally allow the General Partner to statistically analyze actual trading results with risk-adjusted performance indicators and correlation statistics. In addition, online monitoring systems provide account analysis of futures, forward and option contracts by sector, margin requirements, gain and loss transactions and collateral positions. The risk to the limited partners that have purchased Redeemable Units is limited to the amount of their share of the Partnership’s net assets and undistributed profits. This limited liability is a result of the organization of the Partnership as a limited partnership under New York law. The majority of these instruments mature within one year of the inception date. However, due to the nature of the Partnership’s/Master’s business, these instruments may not be held to maturity. |
Basis of Presentation and Sum15
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Use of Estimates | a. Use of Estimates |
Statement of Cash Flows | b. Statement of Cash Flows |
Partnership's Investment | c. Partnership’s Investment |
Master's Investments | Master’s Investments |
Income Taxes | d. Income Taxes |
Investment Company Status | e. Investment Company Status Financial Services—Investment Companies (Topic 946): Amendments to the Scope, Measurement and Disclosure Requirements |
Net Income (Loss) per Redeemable Unit | f. Net Income (Loss) per Redeemable Unit |
Recent Accounting Pronouncement | g. Recent Accounting Pronouncement Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities.” |
Reclassification | h. Reclassification In the financial highlights table, ongoing selling agent fees and clearing fees allocated from the Master which were previously included in net realized and unrealized gains (losses) per Redeemable Unit and excluded from expenses per Redeemable Unit are now excluded from net realized and unrealized gains (losses) per Redeemable Unit and included in net investment loss per Redeemable Unit. Interest income per Redeemable Unit and expenses per Redeemable Unit previously presented separately are now combined into net investment loss per Redeemable Unit. |
Subsequent Events | i. Subsequent Events |
Financial Highlights (Tables)
Financial Highlights (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Financial Highlights for Limited Partner Class | Financial highlights for the limited partner class as a whole for the years ended December 31, 2015, 2014 and 2013 were as follows: 2015 2014 2013 Net realized and unrealized gains (losses) $ (133.14 ) $ 246.78 $ 16.95 Net investment loss (76.18 ) (83.77 ) (94.37 ) Increase (decrease) for the year (209.32 ) 163.01 (77.42 ) Net asset value per Redeemable Unit, beginning of year 1,171.03 1,008.02 1,085.44 Net asset value per Redeemable Unit, end of year $ 961.71 $ 1,171.03 $ 1,008.02 2015 2014 2013 Ratio to average net assets: Net investment loss* (7.1 ) % (7.9 ) % (9.2 ) % Operating expenses 7.1 % 8.0 % 9.2 % Incentive fees - % - % - % Total expenses 7.1 % 8.0 % 9.2 % Total return: Total return before incentive fees (17.9 ) % 16.2 % (7.1 ) % Incentive fees - % - % - % Total return after incentive fees (17.9 ) % 16.2 % (7.1 ) % * Interest income allocated from Master less total expenses. |
Partnership Organization - Addi
Partnership Organization - Additional Information (Detail) - USD ($) | Dec. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2014 |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Maximum number of units sold by Limited Partnership | 0 | 0 | |
Rabar Master Fund L.P. [Member] | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Partnership purchased in cash | $ 31,143,887 | ||
Percent of partnership | 100.00% | 100.00% | 100.00% |
Minimum [Member] | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Partnership liquidation date circumstance | Dec. 31, 2047 | ||
Net asset value per unit liquidation circumstance | $ 400 | $ 400 |
Basis of Presentation and Sum18
Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Provision for income tax | $ 0 |
Agreements - Additional Informa
Agreements - Additional Information (Detail) - USD ($) | Feb. 01, 2011 | Mar. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2015 | Dec. 31, 2015 |
Investment [Line Items] | |||||
Percentage of interest on partners' capital | 1.00% | ||||
Partners capital account contributions | $ 25,000 | ||||
Percentage of partners' contribution | 1.00% | 1.00% | |||
Percentage of General Partner fee | 1.00% | ||||
Percentage of monthly General Partner fee | 0.0833% | ||||
Percentage of monthly management fee | 0.167% | ||||
Percentage of management fee | 2.00% | ||||
Incentive fee, percent | 20.00% | ||||
Percentage of allocable shares | 80.00% | ||||
Treasury bills maturity period | 30 days | ||||
Citigroup Global Markets Inc. [Member] | Customer Agreement [Member] | |||||
Investment [Line Items] | |||||
Percentage of brokerage fees on net assets | 5.50% | ||||
Percentage of monthly brokerage fees on net assets | 0.4583% | ||||
CGM brokerage commission | 5.25% | ||||
CGM monthly brokerage commission | 0.4375% | ||||
Customer agreement fee description | Under the CGM Customer Agreement, the Partnership paid CGM a monthly brokerage fee equal to 11/24 or 1% (5.5% per year) of month-end Net Assets, in lieu of brokerage fees on a per trade basis. | ||||
MS&Co. [Member] | |||||
Investment [Line Items] | |||||
Percentage of allocable shares | 80.00% | ||||
Morgan Stanley Wealth Management [Member] | |||||
Investment [Line Items] | |||||
Ongoing selling agent fee | 5.25% | 3.00% | 2.00% |
Subscriptions, Distributions 20
Subscriptions, Distributions and Redemptions - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Statement of Partners' Capital [Abstract] | |
Fee charged to limited partners | $ 0 |
Financial Highlights - Financia
Financial Highlights - Financial Highlights for Limited Partner Class (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Changes in the net asset value per unit: | |||
Net asset value per Redeemable Unit, beginning of year | $ 1,171.03 | $ 1,008.02 | |
Net asset value per Redeemable Unit, end of year | 961.71 | 1,171.03 | $ 1,008.02 |
Limited Partner [Member] | |||
Changes in the net asset value per unit: | |||
Net realized and unrealized gains (losses) | (133.14) | 246.78 | 16.95 |
Net investment loss | (76.18) | (83.77) | (94.37) |
Increase (decrease) for the year | (209.32) | 163.01 | (77.42) |
Net asset value per Redeemable Unit, beginning of year | 1,171.03 | 1,008.02 | 1,085.44 |
Net asset value per Redeemable Unit, end of year | $ 961.71 | $ 1,171.03 | $ 1,008.02 |
Ratio to average net assets: | |||
Net investment loss | (7.10%) | (7.90%) | (9.20%) |
Operating expenses | 7.10% | 8.00% | 9.20% |
Incentive fees | 0.00% | 0.00% | 0.00% |
Total expenses | 7.10% | 8.00% | 9.20% |
Total return: | |||
Total return before incentive fees | (17.90%) | 16.20% | (7.10%) |
Incentive fees | (0.00%) | (0.00%) | (0.00%) |
Total return after incentive fees | (17.90%) | 16.20% | (7.10%) |
Financial Instrument Risks - Ad
Financial Instrument Risks - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Measurements Disclosure [Line Items] | |
Financial instruments maturity period | 1 year |
Credit Concentration Risk [Member] | Over the Counter [Member] | Minimum [Member] | |
Fair Value Measurements Disclosure [Line Items] | |
Concentration risk percentage | 5.90% |
Credit Concentration Risk [Member] | Over the Counter [Member] | Maximum [Member] | |
Fair Value Measurements Disclosure [Line Items] | |
Concentration risk percentage | 24.10% |