UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

(Mark One)
/X/ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2005

/ / TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the transition period from ______________________________________ to _____________________________________________

Commission File No. Name of Registrant or Co-Registrant in Charter IRS Employer Number
- ------------------- ---------------------------------------------- -------------------

333-119612 WORLD MONITOR TRUST III 20-1697966 (Series G)
(Name of Registrant) 20-1698042 (Series H)
20-1698147 (Series I)
20-2446281 (Series J)

333-119612-01 WMT III SERIES I/J TRADING VEHICLE LLC 20-2469479
(Name of Rule 140 Co-Registrant No. 1)

333-119612-02 WMT III SERIES H/J TRADING VEHICLE LLC 20-2469200
(Name of Rule 140 Co-Registrant No. 2)

333-119612-03 WMT III SERIES G/J TRADING VEHICLE LLC 20-2469369
(Name of Rule 140 Co-Registrant No. 3)

Delaware
- ---------------------------------------------------------------------------------------------------------------------------
(State or other Jurisdiction of Incorporation or organization of Registrant and Co-Registrants)

51 Weaver Street, Building 1 South, 2nd Floor, Greenwich, Connecticut 06831
- ---------------------------------------------------------------------------------------------------------------------------
(Address of principal executive offices of Registrant and Co-Registrants) (Zip Code)

Registrant's and Co-Registrants' telephone number, including area code: (203)
861-1000

Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
Registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days. Yes / / No /X/

Indicate by check mark whether the Registrant is an accelerated filer (as
defined in Rule 12b-2 of the Securities Exchange Act of 1934). Yes / / No /X/

WORLD MONITOR TRUST III
QUARTER ENDED JUNE 30, 2005
TABLE OF CONTENTS
----------------------

Page

PART I. FINANCIAL INFORMATION........................................................................................1

ITEM 1. FINANCIAL STATEMENTS.......................................................................1-7
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS..............................................................8-9
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK..................................10
ITEM 4. CONTROLS AND PROCEDURES.....................................................................10

PART II. OTHER INFORMATION...........................................................................................11

ITEM 1. LEGAL PROCEEDINGS ..........................................................................11
ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.................................11
ITEM 3. DEFAULTS UPON SENIOR SECURITIES.............................................................11
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.........................................11
ITEM 5. OTHER INFORMATION...........................................................................11
ITEM 6. EXHIBITS....................................................................................11

SIGNATURES .........................................................................................12-13

EXHIBIT INDEX ...........................................................................................E-1

Exhibit 31.1 Certification of Kenneth A. Shewer.........................................................E-2
Exhibit 31.2 Certification of Maureen D. Howley.........................................................E-3
Exhibit 32.1 Certification of Kenneth A. Shewer.........................................................E-4
Exhibit 32.2 Certification of Maureen D. Howley.........................................................E-5

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

WORLD MONITOR TRUST III
STATEMENT OF FINANCIAL CONDITION
June 30, 2005
(Unaudited)
---------------

Series G Series H Series I Series J
-------- -------- -------- --------

ASSETS
Cash $ 1,000 $ 1,000 $ 1,000 $ 1,000
Cash in escrow 35,000 10,000 35,000 2,228,800
--------- --------- --------- ----------

Total assets $ 36,000 $ 11,000 $ 36,000 $2,229,800
========= ========= ========= ==========

LIABILITIES
Subscriptions received in advance $ 35,000 $ 10,000 $ 35,000 $2,228,800
--------- --------- --------- ----------

UNITHOLDERS' CAPITAL
General Units - 10 General Units of
each Series outstanding $ 1,000 $ 1,000 $ 1,000 $ 1,000
--------- --------- --------- ----------

Total liabilities and
unitholders' capital $ 36,000 $ 11,000 $ 36,000 $2,229,800
========= ========= ========= ==========

See accompanying notes.

-1-

WORLD MONITOR TRUST III
STATEMENT OF FINANCIAL CONDITION
December 31, 2004
(Audited)
---------------

Series G Series H Series I
-------- -------- --------
ASSETS
Cash $1,000 $1,000 $1,000
====== ====== ======

UNITHOLDERS' CAPITAL
General Units - 10 General Units of
each Series outstanding $1,000 $1,000 $1,000
====== ====== =======

See accompanying notes.

-2-

WORLD MONITOR TRUST III
NOTES TO STATEMENT OF FINANCIAL CONDITION
(Unaudited)
---------------

Note 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
-----------------------------------------------------------

A. General Description of the Fund

World Monitor Trust III (the Trust) is a Delaware business
trust organized on September 28, 2004, which has not yet
commenced operations. The Trust intends to engage in the
speculative trading of futures contracts, forward contracts and
other derivative instruments. The Trust consists of four
separate and distinct series ("Series"): Series G, H, I and J.
The assets of each Series will be segregated from the other
Series and separately valued.

Series G, H and I will invest in a trading vehicle which, in
turn, will enter into a managed account agreement with its own
independent commodity trading advisor that will manage such
Series' assets; Series J will invest in each of the three
trading vehicles in which Series G, H and I will invest. Series
J will initially allocate its assets equally among each trading
vehicle and will rebalance its exposure quarterly to maintain
an equal exposure to each advisor.

Each Series is initially divided into two classes: General
Units and Limited Units. The Limited Units will initially be
divided into two sub-classes: the Class I Units and the Class
II Units. The Class I and Class II Units are identical except
for the applicable service fee charged to each Class.

The capital contributions to the Trust as of June 30, 2005,
total $1,000 per Series and were contributed by the Managing
Owner. As June 30, 2005, Series G, H, I and J have received
$35,000, $10,000, $35,000 and $2,228,800, respectively, from
potential investors which are held in escrow and will be held
there until the funds are either released for trading purposes
or returned to the payors of such funds.

B. Proposed Public Offering of Units of Beneficial Interest

The Trust filed a registration statement with the Securities
and Exchange Commission offering to sell up to $500,000,000 of
Units of Beneficial Interest. Units will be sold at $100 per
Unit during the initial offering period and at the net asset
value per Unit during the continuing offering period.

C. Regulation

As a registrant with the Securities and Exchange Commission,
the Trust is subject to the regulatory requirements under the
Securities Act of 1933 and the Securities Exchange Act of 1934.
As a commodity investment pool, the Trust will be subject to
the regulations of the Commodity Futures Trading Commission, an
agency of the United States (U.S.) government which regulates
most aspects of the commodity futures industry; rules of the
National Futures Association, an industry self-regulatory
organization; and the requirements of the various commodity
exchanges where the Trust will execute transactions.
Additionally, the Trust will be subject to the requirements of
futures commission merchants (brokers) and interbank market
makers through which the Trust will trade.

D. Method of Reporting

The Trust's statement of financial condition is presented in
accordance with accounting principles generally accepted in the
United States of America, which require the use of certain
estimates made by the Trust's management. Actual results could
differ from these estimates.

-3-

WORLD MONITOR TRUST III
NOTES TO STATEMENT OF FINANCIAL CONDITION (CONTINUED)
(Unaudited)
---------------

Note 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
-----------------------------------------------------------
(CONTINUED)

E. Investments in Trading Vehicles

Each Series' investment in its respective trading vehicle(s)
will be reported at its net asset value. Each Series will
record its proportionate share of the income or loss from the
trading vehicle(s) in its statement of operations.

Once the Trust commences trading, the trading vehicles will
account for investment transactions on the trade date. Gains or
losses will be realized when contracts are liquidated. Net
unrealized gain or loss on open contracts (the difference
between contract trade price and market price) will be
reflected in the statement of financial condition of each
trading vehicle in accordance with Financial Accounting
Standards Board Interpretation No. 39 - "Offsetting of Amounts
Related to Certain Contracts." Any change in net unrealized
gain or loss will be reported in the statement of operations of
each trading vehicle. Brokerage commissions will include other
trading fees and will be charged to expense when contracts are
opened.

F. Income Taxes

The Trust will prepare calendar year U.S. and applicable state
information tax returns and report to the unitholders their
allocable shares of the Trust's income, expenses and trading
gains or losses.

G. Organization and Offering Costs

Organization and initial offering costs (exclusive of the
initial selling fee), estimated to total approximately
$1,500,000, will be advanced by the Managing Owner. Such
organizational and initial offering expenses will be reimbursed
by each Series, without interest, in 36 monthly payments during
each of the first 36 months of the Continuous Offering Period.
In no event shall the Managing Owner be entitled to
reimbursement for such expenses in an aggregate amount in
excess of 2.5% of the aggregate amount of all subscriptions
accepted by the Trust during the Initial Offering Period and
the first 36 months of the Continuous Offering Period. The
Managing Owner also will pay all offering expenses incurred
after the Initial Offering Period ("ongoing offering costs").
Such expenses will be allocated among the Series as the
Managing Owner determines to be fair and equitable and, each
Series will reimburse the Managing Owner, without interest, in
up to 36 monthly payments during each of the first 36 months
following the month in which such expenses were paid by the
Managing Owner. In no event shall the amount of any payment in
any month for reimbursement of organization and initial
offering costs and ongoing offering costs exceed 0.50% per
annum of the Net Asset Value of the Trust as of the beginning
of such month.

Each Series will only be liable for payment of organization,
initial offering and ongoing offering costs on a monthly basis.
If a Series terminates prior to completion of payment of such
amounts to the Managing Owner, the Managing Owner will not be
entitled to any additional payments, and the Series will have
no further obligation to the Managing Owner.

-4-

WORLD MONITOR TRUST III
NOTES TO STATEMENT OF FINANCIAL CONDITION (CONTINUED)
(Unaudited)
---------------

Note 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
-----------------------------------------------------------
(CONTINUED)

H. Allocations

Income or loss from each Series will be allocated pro rata to
each unitholder in the Series. Each unitholder within each
Class of the Series will be charged its applicable service fee.

Note 2. MANAGING OWNER
--------------

The Managing Owner of the Trust is Preferred Investment Solutions
Corp., which conducts and manages the business of the Trust. The
Declaration of Trust and Trust Agreement requires the Managing Owner
to maintain a capital account equal to 1% of the total capital
accounts of the Series (subject to a $100,000 minimum per Series).

The Managing Owner will be paid a monthly management fee of 1/12 of
0.5% (0.5% annually) of each Series' net asset value at the
beginning of the month.

Note 3. COMMODITY TRADING ADVISORS
--------------------------

Each series invests in one or more trading vehicle(s), which in turn
has entered into an advisory agreement with its own trading advisor.
WMT III Series G/J Trading Vehicle LLC (of which Series G and Series
J are the sole members) has entered into an advisory agreement with
Graham Capital Management, L.P., pursuant to which such trading
vehicle will pay a monthly management fee equal to 1/12 of 2.5%
(2.5% annually) of such trading vehicle's Net Asset Value. WMT III
Series H/J Trading Vehicle LLC (of which Series H and Series J are
the sole members) has entered into an advisory agreement with
Bridgewater Associates, Inc., pursuant to which such trading vehicle
will pay a monthly management fee equal to 1/12 of 3% (3% annually)
of such trading vehicle's Net Asset Value. WMT III Series I/J
Trading Vehicle LLC (of which Series I and Series J are the sole
members) has entered into an advisory agreement with Eagle Trading
Systems Inc. pursuant to which such trading vehicle will pay a
monthly management fee equal to 1/12 of 2% (2% annually) of such
trading vehicle's Net Asset Value.

Each trading vehicle will also pay the commodity trading advisors an
incentive fee of 20% of New High Net Trading Profits (as defined in
the applicable advisory agreement) generated by such trading
vehicle.

Note 4. SERVICE FEES AND SALES COMMISSIONS
----------------------------------

The Trust will pay a service fee with respect to Class I units,
monthly in arrears, equal to 1/12 of 2% ( 2% per annum) of the Net
Asset Value per unit of the outstanding Class I units as of the
beginning of the month. The service fee will be paid directly by the
Trust to the Selling Agent, Kenmar Securities, Inc., an affiliate of
the Managing Owner. The Selling Agent will be responsible for paying
all commissions owing to the correspondent selling agents, who will
be entitled to receive from the Selling Agent an initial commission
equal to 2% of the initial Net Asset Value per Unit of each Class I
unit sold by them, payable on the date such Class I units are
purchased and, commencing with the 13th month after the purchase of
a Class I unit, an ongoing monthly commission equal to 1/12th of 2%
(2% per annum) of the Net Asset Value per unit as of the beginning
of the month of the Class I units sold by them.

Class II unitholders will not be assessed service fees.

-5-

WORLD MONITOR TRUST III
NOTES TO STATEMENT OF FINANCIAL CONDITION (CONTINUED)
(Unaudited)
---------------

Note 4. SERVICE FEES AND SALES COMMISSIONS (CONTINUED)
----------------------------------------------

All unitholders will also pay Kenmar Securities, Inc. a monthly
sales commission equal to 1/12 of 1% (1% annually) of the Net Asset
Value of the outstanding units as of the beginning of each month.

Note 5. TRUSTEE
-------

The trustee of the Trust is Wilmington Trust Company, a Delaware
banking company. The trustee has delegated to the Managing Owner the
duty and authority to manage the business and affairs of the Trust
and has only nominal duties and liabilities with respect to the
Trust.

Note 6. OPERATING EXPENSES
------------------

Operating expenses of the Trust will be paid for by the Trust.

Note 7. SUBSCRIPTIONS, DISTRIBUTIONS AND REDEMPTIONS
--------------------------------------------

Investments in the Trust will be made by subscription agreement,
subject to acceptance by the Managing Owner.

The Trust is not required to make distributions, but may do so at
the sole discretion of the Managing Owner. A unitholder may request
and receive redemption of Units owned, subject to restrictions in
the Declaration of Trust and Trust Agreement.

Class I unitholders who redeem all or a portion of their units of
any Series on or prior to the first anniversary of their purchase
will be subject to a redemption charge of up to 2% of the purchase
price of such units to reimburse Kenmar Securities, Inc. for the
unreimbursed amount of the initial service fee in respect of such
redeemed units which was previously advanced by Kenmar Securities,
Inc. There is no redemption charge associated with the Class II
units.

Note 8. TRADING ACTIVITIES AND RELATED RISKS
------------------------------------

The Trust intends to engage in the speculative trading of futures
contracts, options on futures contracts and forward contracts
(collectively, "derivatives") through the trading vehicles. The
Trust will be exposed to both market risk, the risk arising from
changes in the market value of the contracts, and credit risk, the
risk of failure by another party to perform according to the terms
of a contract.

Purchases and sales of futures and options on futures contracts
require margin deposits with the brokers. Additional deposits may be
necessary for any loss of contract value. The Commodity Exchange Act
requires a broker to segregate all customer transactions and assets
from such broker's proprietary activities. A customer's cash and
other property (for example, U.S. Treasury bills) deposited with a
broker are considered commingled with all other customer funds
subject to the broker's segregation requirements. In the event of a
broker's insolvency, recovery may be limited to a pro rata share of
segregated funds available. It is possible that the recovered amount
could be less than total cash and other property deposited.

-6-

WORLD MONITOR TRUST III
NOTES TO STATEMENT OF FINANCIAL CONDITION (CONTINUED)
(Unaudited)
---------------

Note 8. TRADING ACTIVITIES AND RELATED RISKS (CONTINUED)
------------------------------------------------

The Trust has cash on deposit with financial institutions and will
have cash and cash equivalents on deposit with interbank market
makers in connection with its trading of forward contracts and its
cash management activities. In the event of a financial
institution's insolvency, recovery of Trust assets on deposit may be
limited to account insurance or other protection afforded such
deposits. Since forward contracts are traded in unregulated markets
between principals, the Trust will also assume the risk of loss from
counterparty nonperformance.

For derivatives, risks arise from changes in the market value of the
contracts. Theoretically, the Trust will be exposed to a market risk
equal to the notional contract value of futures and forward
contracts purchased and unlimited liability on such contracts sold
short. As both a buyer and seller of options, the Trust will pay or
receive a premium at the outset and then bear the risk of
unfavorable changes in the price of the contract underlying the
option. Written options will expose the Trust to potentially
unlimited liability, and purchased options will expose the Trust to
a risk of loss limited to the premiums paid.

The Managing Owner has established procedures to actively monitor
market risk and minimize credit risk, although there can be no
assurance that it will, in fact, succeed in doing so. The
Unitholders will bear the risk of loss only to the extent of the
market value of their respective investments and, in certain
specific circumstances, distributions and redemptions received.

Note 9. GUARANTEES
----------

In the normal course of business, the Trust enters into contracts
and agreements that contain a variety of representations and
warranties and which provide general indemnifications. The Trust's
maximum exposure under these arrangements is unknown, as this would
involve future claims that may be made against the Trust that have
not yet occurred. The Trust expects the risk of any future
obligation under these indemnifications to be remote.

Note 10. INTERIM FINANCIAL STATEMENTS
----------------------------

The statement of financial condition as of June 30, 2005 is
unaudited. In the opinion of management, such financial statement
reflects all adjustments, which were of a normal and recurring
nature, necessary for a fair presentation of financial position as
of June 30, 2005.

-7-

WORLD MONITOR TRUST III
(a Delaware Business Trust)

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS

This Report includes forward-looking statements that reflect the Managing
Owner's current expectations about the future results, performance, prospects
and opportunities of the Trust. The Managing Owner has tried to identify these
forward-looking statements by using words such as "may," "will," "expect,"
"anticipate," "believe," "intend," "should," "estimate" or the negative of
those terms or similar expressions. These forward-looking statements are based
on information currently available to the Managing Owner and are subject to a
number of risks, uncertainties and other factors, both known, such as those
described in this Report, and unknown, that could cause the Trust's actual
results (upon commencement of trading), performance, prospects or
opportunities to differ materially from those expressed in, or implied by,
these forward-looking statements.

You should not place undue reliance on any forward-looking statements. Except
as expressly required by the Federal securities laws, the Managing Owner
undertakes no obligation to publicly update or revise any forward-looking
statements or the risks, uncertainties or other factors described in this
Report, as a result of new information, future events or changed circumstances
or for any other reason after the date of this Report.

Introduction

World Monitor Trust III, or the Trust, was formed as a Delaware statutory
trust on September 28, 2004, with separate series, or each, a Series, of units
of beneficial interest, or the Units. Its term will expire on December 31,
2054 (unless terminated earlier in certain circumstances).

The Trust's Units will initially be offered in four (4) separate and distinct
Series: Series G, Series H, Series I, and Series J. The Trust may issue future
Series of Units. The Units of each Series will be separated into two classes,
or each, a Class, of Units. The Trust, with respect to each Series, will:

o engage in the speculative trading of a diversified portfolio of
futures, forward (including interbank foreign currencies) and
options contracts and other derivative instruments and may, from
time to time, engage in cash and spot transactions;
o invest in a trading vehicle which, in turn, will enter into a
managed account agreement with its own independent commodity trading
advisor, or each, an Advisor, that will manage such Series' assets
and make the trading decisions in respect of the assets of such
Series, except that Series J will invest in each of the three
trading vehicles in which Series G, Series H and Series I will
invest;
o segregate its assets from the assets of any other Series and
maintain separate, distinct records from each other Series, and
account for its assets separately from each other Series;
o calculate its net assets and the Net Asset Value of its Units
separately from each other Series;
o have an investment objective of increasing the value of its Units
over the long term (capital appreciation), while controlling risk
and volatility; and
o offer Units in two Classes--Class I and Class II.

Class I Units and Class II Units:

o The Trust will pay a Service Fee in respect of the Class I Units,
monthly in arrears, equal to 1/12th of 2.00% (2.00% per annum) of
the Net Asset Value per Unit of the outstanding Class I Units as of
the beginning of the month. The Service Fee will be paid directly by
the Trust to the Selling Agent. The Selling Agent will then be
responsible for paying all service fees owing to the Correspondent
Selling Agents. The Correspondent Selling Agents are entitled to
receive from the Selling Agent an initial service fee equal to 2.00%
of the initial Net Asset Value per Unit of each Class I Unit sold by
them, payable on the date such Class I Units are purchased and,
commencing with the thirteenth month after the purchase of a Class I
Unit, an ongoing monthly commission equal to 1/12th of 2.00% (2.00%
per annum) of the Net Asset Value per Unit as of the beginning of
the month of the Class I Units sold by them. In addition to the
above Service Fee, the Trust will pay to the Selling Agent a Sales
Commission, monthly in arrears, equal to 1/12th of 1.00% (1.00% per
annum) of the Net Asset Value per Unit of the outstanding Class I
Units as of the beginning of the month.

o Class II Units may only be offered to investors who are represented
by approved Correspondent Selling Agents who are directly
compensated by the investor for services rendered in connection with
an investment in the Trust (such arrangements commonly referred to
as "wrap-accounts"). Investors who purchase Class II Units of any
Series will not be charged any Service Fee. However, the Trust will
pay to the Selling Agent a Sales Commission, monthly in arrears,
equal to 1/12th of 1.00% (1.00% per annum) of the Net Asset Value
per Unit of the outstanding Class II Units as of the beginning of
the month.

Units of each Series will initially be offered for a period ending July 1,
2005 unless (i) the subscription minimum for such Series is reached before
that date or (ii) such date is extended by Preferred Investment Solutions
Corp., the Managing Owner, for up to an additional ninety (90) days. The
Managing Owner has extended the initial offering period until September 29,
2005.

After trading commences, Units in each Series will be offered as of the
beginning of each month and will be offered continuously until all of each
Series' Units which are registered are sold. The Managing Owner may terminate
the Continuous Offering Period at any time.

Critical Accounting Policies

Preparation of the financial statements and related disclosures in compliance
with accounting principles generally accepted in the United States of America
requires the application of appropriate accounting rules and guidance, as well
as the use of estimates. The Trust's application of these policies involves
judgments and actual results may differ from the estimates used.

The Managing Owner has evaluated the nature and types of estimates that it
will make in preparing the Trust's financial statements and related
disclosures once the Trust begins trading operations and has determined that
the valuation of its investments which are not traded on a United States or
internationally recognized futures exchange involves a critical accounting
policy. While not currently applicable given the fact that the Trust is not
currently involved in trading activities, the values which will be used by the
Trust for its open forward positions will be provided by its commodity broker
who will use market prices when available, while over-the-counter derivative
financial instruments, principally forwards, options and swaps will be valued
based on the present value of estimated future cash flows that would be
received from or paid to a third party in settlement of these derivative
contracts prior to their delivery date.

Liquidity and Capital Resources

As of June 30, 2005, the Trust has not begun trading activities. Once the
Trust begins trading activities, it is anticipated that all of its total net
assets will be allocated to commodities trading through the trading vehicles.
A significant portion of the net asset value is likely to be held in U.S.
Treasury bills and cash, which will be used as margin for the Trust's trading
in commodities. The percentage that U.S. Treasury bills will bear to the total
net assets will vary from period to period as the market values of commodity
interests change. The balance of the net assets will be held by the Trust in
the trading vehicles' commodity trading accounts. Interest earned on
interest-bearing funds will be paid to the Trust.

The Trust's commodity contracts will be subject to periods of illiquidity
because of market conditions, regulatory considerations and other reasons. For
example, commodity exchanges limit fluctuations in certain commodity futures
contract prices during a single day by regulations referred to as "daily
limits." During a single day, no trades may be executed at prices beyond the
daily limit. Once the price of a futures contract for a particular commodity
has increased or decreased by an amount equal to the daily limit, positions in
the commodity can neither be taken nor liquidated unless the traders are
willing to effect trades at or within the limit. Commodity futures prices have
occasionally moved the daily limit for several consecutive days with little or
no trading. Such market conditions could prevent the Trust from promptly
liquidating its commodity futures positions.

Since the Trust will trade futures and forward contracts through the trading
vehicles, its capital will be at risk due to changes in the value of these
contracts (market risk) or the inability of counterparties to perform under
the terms of the contracts (credit risk).

The Trust does not have, nor does it expect to have, any capital assets.

Off-Balance Sheet Arrangements and Contractual Obligations

As of June 30, 2005, the Trust has not utilized, nor does it expect to utilize
in the future, special purpose entities to facilitate off-balance sheet
financing arrangements and has no loan guarantee arrangements or off-balance
sheet arrangements of any kind other than agreements entered into in the
normal course of business, which may include indemnification provisions
related to certain risks service providers undertake in performing services
which are in the best interests of the Trust. While the Trust's exposure under
such indemnification provisions cannot be estimated, these general business
indemnifications are not expected to have a material impact on the Trust's
financial position.

The Trust's contractual obligations are with the Managing Owner; the trading
vehicles' contractual obligations are with the Advisors and its commodity
brokers. Payments made under the trading vehicle's agreements with the
Advisors are a fixed rate, calculated as a percentage of each trading
vehicle's "New High Net Trading Profits." In addition, Management Fee payments
to the Advisors are calculated as a fixed percentage of each trading vehicle's
Net Asset Value. Fees paid to the Managing Owner are calculated as a fixed
percentage of each Series' Net Asset Value. As such, the Managing Owner cannot
anticipate the amount of payments that will be required under these
arrangements for future periods as Net Asset Values are not known until a
future date. Commission payments to the commodity broker are based on a cost
per executed trade and, as such, the Managing Owner cannot anticipate the
amount of such payments that will be required under the brokerage agreement
for future periods as the level of executed trades are not known until a
future date. These agreements are effective for one year terms, renewable
automatically for additional one year terms unless terminated. Additionally,
these agreements may be terminated by either party for various reasons.

Results of Operations

Through June 30, 2005, the Trust has not yet commenced operations.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Information regarding quantitative and qualitative disclosures about market
risk is not required pursuant to Item 305(e) of Regulation S-K.

ITEM 4. CONTROLS AND PROCEDURES

As of the end of the period covered by this report, the Managing Owner carried
out an evaluation, under the supervision and with the participation of the
officers of the Managing Owner, including the Managing Owner's co-chief
executive officer and chief financial officer, of the effectiveness of the
design and operation of the Trust's disclosure controls and procedures. Based
upon that evaluation, the Managing Owner's co-chief executive officer and
chief financial officer concluded that the Trust's disclosure controls and
procedures are effective.

In designing and evaluating the Trust's disclosure controls and procedures (as
defined in Rules 13a-15(e) or 15d-15(e) of the Exchange Act), the Managing
Owner recognized that any controls and procedures, no matter how well designed
and operated, can provide only reasonable assurances of achieving the desired
control objectives, as ours are designed to do, and the Managing Owner
necessarily was required to apply its judgment in evaluating the cost-benefit
relationship of possible controls and procedures. We believe that our
disclosure controls and procedures provide such reasonable assurance.

There have not been any changes in our internal controls over financial
reporting (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities
Exchange Act of 1934, as amended) during the fiscal quarter to which this
report relates that have materially affected, or are reasonably likely to
materially affect, our internal controls over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings - There are no material legal proceedings pending
by or against the Registrant or the Managing Owner or for which the
Registrant or the Managing Owner was a party during the period
covered by this report.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds - None

Item 3. Defaults Upon Senior Securities - None

Item 4. Submission of Matters to a Vote of Security Holders - None

Item 5. Other Information - None

Item 6. Exhibits:

1.1 Form of Selling Agreement (incorporated by reference to Exhibit
1.1 to the Trust's Pre-Effective Amendment No. 2 on S-1
Registration Statement, File No. 333-119612, filed with the
Commission on March 14, 2005)

4.1 Amended and Restated Declaration of Trust and Trust Agreement
of the Registrant (annexed to the Prospectus as Exhibit A and
incorporated by reference to Exhibit 4.1 to the Trust's
Pre-Effective Amendment No. 3 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 29,
2005)

4.2 Subscription Requirements (annexed to the Prospectus as Exhibit
B and incorporated by reference to Exhibit 4.2 to the Trust's
Pre-Effective Amendment No. 3 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 29,
2005)

4.3 Subscription Instructions, Form of Subscription Agreement and
Power of Attorney (annexed to the Prospectus as Exhibit C and
incorporated by reference to Exhibit 4.3 to the Trust's
Pre-Effective Amendment No. 3 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 29,
2005)

4.4 Form of Privacy Notice (annexed to the Prospectus as Exhibit D
and incorporated by reference to Exhibit 4.4 to the Trust's
Pre-Effective Amendment No. 3 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 29,
2005)

10.1 Form of Subscription Escrow Agreement (incorporated by
reference to Exhibit 10.1 to the Trust's Pre-Effective
Amendment No. 2 on S-1 Registration Statement, File No.
333-119612, filed with the Commission on March 14, 2005)

10.2 Form of Advisory Agreement among WMT III Series G/J Trading
Vehicle LLC, Preferred Investment Solutions Corp. (the
"Managing Owner") and Graham Capital Management, L.P.
(incorporated by reference to Exhibit 10.2 to the Trust's
Pre-Effective Amendment No. 2 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 14,
2005)

10.3 Form of Advisory Agreement among WMT III Series H/J Trading
Vehicle LLC, the Managing Owner and Bridgewater Associates,
Inc. (incorporated by reference to Exhibit 10.3 to the Trust's
Pre-Effective Amendment No. 2 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 14,
2005)

10.4 Form of Advisory Agreement among WMT III Series I/J Trading
Vehicle LLC, the Managing Owner and Eagle Trading Systems Inc.
(incorporated by reference to Exhibit 10.4 to the Trust's
Pre-Effective Amendment No. 2 on S-1 Registration Statement,
File No. 333-119612, filed with the Commission on March 14,
2005)

10.5 Form of Customer Agreement between the World Monitor Trust III
and UBS Securities LLC (incorporated by reference to Exhibit
10.5 to the Trust's Pre-Effective Amendment No. 2 on S-1
Registration Statement, File No. 333-119612, filed with the
Commission on March 14, 2005)

31.1 Certification pursuant to Exchange Act Rules 13a-14 and 15d-14
(filed herewith)

31.2 Certification pursuant to Exchange Act Rules 13a-14 and 15d-14
(filed herewith)

32.1 Certification pursuant to 18 U.S.C. Section 1350 as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
(furnished herewith)

32.2 Certification pursuant to 18 U.S.C. Section 1350 as adopted
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
(furnished herewith)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

WORLD MONITOR TRUST III

By: Preferred Investment Solutions Corp.
Managing Owner

By: /s/ Kenneth A. Shewer Date: August 12, 2005
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Kenneth A. Shewer
Co-Chief Executive Officer

WORLD MONITOR TRUST III

By: Preferred Investment Solutions Corp.
Managing Owner

By: /s/ Maureen D. Howley Date: August 12, 2005
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Maureen D. Howley
Senior Vice President and Chief Financial Officer

WMT III SERIES G/J TRADING VEHICLE LLC

By: World Monitor Trust III - Series G, a member
By: Preferred Investment Solutions Corp.
Managing Owner