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

FORM 10-Q

[X] Quarterly report pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarterly period ended June 30, 2004 or

[ ] Transition report pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the transition period from to__________________

Commission File Number 0-25603

MORGAN STANLEY CHARTER GRAHAM L.P.

(Exact name of registrant as specified in its charter)

Delaware 13-4018068
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)

Demeter Management Corporation
825 Third Avenue, 9th Floor
New York, NY 10022
(Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code (212) 310-6444

(Former name, former address, and former fiscal year, if changed
since last report)

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 X No___________

Indicate by check-mark whether the registrant is an accelerated
filer (as defined in Rule 12b-2 of the Exchange Act).

Yes No X

<page> <table>
MORGAN STANLEY CHARTER GRAHAM L.P.

INDEX TO QUARTERLY REPORT ON FORM 10-Q

June 30, 2004

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements
<s> <c>
Statements of Financial Condition as of June 30, 2004
(Unaudited) and December 31, 2003..........................2

Statements of Operations for the Quarters Ended
June 30, 2004 and 2003 (Unaudited).........................3

Statements of Operations for the Six Months
Ended June 30, 2004 and 2003 (Unaudited)...................4

Statements of Changes in Partners' Capital for the
Six Months Ended June 30, 2004 and 2003 (Unaudited)........5

Statements of Cash Flows for the Six Months Ended
June 30, 2004 and 2003 (Unaudited).........................6

Notes to Financial Statements (Unaudited)...............7-11

Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations.......12-22

Item 3. Quantitative and Qualitative Disclosures about
Market Risk.........................................23-35

Item 4. Controls and Procedures................................36

PART II. OTHER INFORMATION

Item 2. Changes in Securities and Use of Proceeds...........37-38

Item 5. Other Information...................................38-40

Item 6. Exhibits and Reports on Form 8-K....................41-43
</table>

<page> <table> PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

MORGAN STANLEY CHARTER GRAHAM L.P.
STATEMENTS OF FINANCIAL CONDITION
<caption>
June 30, December 31,
2004 2003
$ $
(Unaudited)
ASSETS
<s> <c> <c>
Equity in futures interests trading accounts:
Cash 349,507,113 245,088,422

Net unrealized gain (loss) on open contracts (MSIL) (1,397,699) 6,934,499
Net unrealized gain (loss) on open contracts (MS&Co.) (6,687,736) 9,532,167

Total net unrealized gain (loss) on open contracts (8,085,435) 16,466,666

Total Trading Equity 341,421,678 261,555,088

Subscriptions receivable 19,215,283 14,005,999
Interest receivable (Morgan Stanley DW) 283,353 196,094

Total Assets 360,920,314 275,757,181

LIABILITIES AND PARTNERS' CAPITAL

Liabilities

Accrued brokerage fees (Morgan Stanley DW) 1,857,285 1,270,243
Redemptions payable 1,471,530 3,370,668
Accrued management fees 594,331 406,478

Total Liabilities 3,923,146 5,047,389

Partners' Capital

Limited Partners (18,104,808.783 and
12,239,934.203 Units, respectively) 353,070,327 267,851,230
General Partner (201,361.316 and
130,627.064 Units, respectively) 3,926,841 2,858,562

Total Partners' Capital 356,997,168 270,709,792

Total Liabilities and Partners' Capital 360,920,314 275,757,181

NET ASSET VALUE PER UNIT 19.50 21.88
<fn>

The accompanying notes are an integral part
of these financial statements.
</table>

<page> <table> MORGAN STANLEY CHARTER GRAHAM L.P.
STATEMENTS OF OPERATIONS
(Unaudited)

For the Quarters Ended June 30,

2004 2003
$ $
REVENUES
<s> <c> <c>
Trading profit (loss):
Realized (33,779,499) 12,500,507
Net change in unrealized (27,858,070) (6,959,089)

Total Trading Results (61,637,569) 5,541,418

Interest income (Morgan Stanley DW) 772,620 468,216

Total (60,864,949) 6,009,634

EXPENSES
Brokerage fees (Morgan Stanley DW) 5,569,874 2,871,122
Management fees 1,782,360 850,703

Total 7,352,234 3,721,825

NET INCOME (LOSS) (68,217,183) 2,287,809

NET INCOME (LOSS) ALLOCATION

Limited Partners (67,465,988) 2,269,348
General Partner (751,195) 18,461

NET INCOME (LOSS) PER UNIT

Limited Partners (4.27) 0.38
General Partner (4.27) 0.38

<fn>

The accompanying notes are an integral part
of these financial statements.
</table>

<page> <table> MORGAN STANLEY CHARTER GRAHAM L.P.
STATEMENTS OF OPERATIONS
(Unaudited)

For the Six Months Ended June 30,

2004 2003
$ $
REVENUES
<s> <c> <c>
Trading profit (loss):
Realized (1,832,515) 35,058,203
Net change in unrealized (24,552,101) (16,226,169)

Total Trading Results (26,384,616) 18,832,034

Interest income (Morgan Stanley DW) 1,453,357 880,787

Total (24,931,259) 19,712,821

EXPENSES
Brokerage fees (Morgan Stanley DW) 10,261,024 5,177,919
Incentive fees 5,135,381 4,657,891
Management fees 3,283,527 1,534,198

Total 18,679,932 11,370,008

NET INCOME (LOSS) (43,611,191) 8,342,813

NET INCOME (LOSS) ALLOCATION

Limited Partners (43,129,470) 8,261,456
General Partner (481,721) 81,357

NET INCOME (LOSS) PER UNIT

Limited Partners (2.38) 1.58
General Partner (2.38) 1.58

<fn>

The accompanying notes are an integral part
of these financial statements.
</table>

<page> <table> MORGAN STANLEY CHARTER GRAHAM L.P.
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
For the Six Months Ended June 30, 2004 and 2003
(Unaudited)

Units of
Partnership Limited General
Interest Partners Partner Total
$ $ $

<s> <c> <c> <c> <c>
Partners' Capital,
December 31, 2002 6,177,658.232 115,164,948 1,231,272 116,396,220

Offering of Units 3,536,468.033 72,976,598 800,000 73,776,598

Net Income - 8,261,456 81,357 8,342,813

Redemptions (337,034.186) (7,022,531) - (7,022,531)

Partners' Capital,
June 30, 2003 9,377,092.079 189,380,471 2,112,629 191,493,100

Partners' Capital,
December 31, 2003 12,370,561.267 267,851,230 2,858,562 270,709,792

Offering of Units 6,341,192.110 137,095,802 1,550,000 138,645,802

Net Loss - (43,129,470) (481,721) (43,611,191)

Redemptions (405,583.278) (8,747,235) - (8,747,235)

Partners' Capital,
June 30, 2004 18,306,170.099 353,070,327 3,926,841 356,997,168

<fn>

The accompanying notes are an integral part
of these financial statements.

</table>
<page> <table> MORGAN STANLEY CHARTER GRAHAM L.P.
STATEMENTS OF CASH FLOWS
(Unaudited)

For the Six Months Ended June 30,

2004 2003
$ $

CASH FLOWS FROM OPERATING ACTIVITIES
<s> <c> <c>
Net income (loss) (43,611,191) 8,342,813
Noncash item included in net income (loss):
Net change in unrealized 24,552,101 16,226,169

Increase in operating assets:
Interest receivable (Morgan Stanley DW) (87,259) (46,670)

Increase in operating liabilities:
Accrued brokerage fees (Morgan Stanley DW) 587,042 498,901
Accrued management fees 187,853 147,822

Net cash provided by (used for) operating activities (18,371,454) 25,169,035

CASH FLOWS FROM FINANCING ACTIVITIES

Offering of Units 138,645,802 73,776,598
Increase in subscriptions receivable (5,209,284) (10,354,334)
Increase (decrease) in redemptions payable (1,899,138) 613,875
Redemptions of Units (8,747,235) (7,022,531)

Net cash provided by financing activities 122,790,145 57,013,608

Net increase in cash 104,418,691 82,182,643

Balance at beginning of period 245,088,422 104,510,473

Balance at end of period 349,507,113 186,693,116

<fn>

The accompanying notes are an integral part
</table> of these financial statements.

<page> MORGAN STANLEY CHARTER GRAHAM L.P.
NOTES TO FINANCIAL STATEMENTS

June 30, 2004
(Unaudited)

The unaudited financial statements contained herein include, in
the opinion of management, all adjustments necessary for a fair
presentation of the results of operations and financial condition
of Morgan Stanley Charter Graham L.P. (the "Partnership"). The
financial statements and condensed notes herein should be read in
conjunction with the Partnership's December 31, 2003 Annual Report
on Form 10-K.

1. Organization
Morgan Stanley Charter Graham L.P. is a Delaware limited
partnership organized to engage primarily in the speculative
trading of futures contracts, options on futures contracts, and
forward contracts on physical commodities and other commodity
interests, including, but not limited to, foreign currencies,
financial instruments, metals, energy, and agricultural products.
The Partnership is one of the Morgan Stanley Charter series of
funds, comprised of the Partnership, Morgan Stanley Charter
Campbell L.P., Morgan Stanley Charter Millburn L.P., and Morgan
Stanley Charter MSFCM L.P.

The Partnership's general partner is Demeter Management
Corporation ("Demeter"). The non-clearing commodity broker is
<page> MORGAN STANLEY CHARTER GRAHAM L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

Morgan Stanley DW Inc. ("Morgan Stanley DW"). The clearing
commodity brokers are Morgan Stanley & Co. Incorporated ("MS &
Co.") and Morgan Stanley & Co. International Limited ("MSIL").
Demeter, Morgan Stanley DW, MS & Co. and MSIL are wholly-owned
subsidiaries of Morgan Stanley. Graham Capital Management, L.P.
(the "Trading Advisor") is the trading advisor to the Partnership.

2. Related Party Transactions
The Partnership's cash is on deposit with Morgan Stanley DW, MS &
Co. and MSIL in futures, forwards, and options trading accounts to
meet margin requirements as needed. Morgan Stanley DW pays
interest on these funds based on a rate equal to that earned by
Morgan Stanley DW on its U.S. Treasury bill investments. In
addition, Morgan Stanley DW pays interest received from MS & Co.
and MSIL with respect to such Partnership's assets deposited as
margin. The Partnership pays brokerage fees to Morgan Stanley DW.

3. Financial Instruments
The Partnership trades futures contracts, options on futures
contracts, and forward contracts on physical commodities and other
commodity interests, including, but not limited to, foreign
currencies, financial instruments, metals, energy, and
agricultural products. Futures and forwards represent contracts
for delayed delivery of an instrument at a specified date and
<page> MORGAN STANLEY CHARTER GRAHAM L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

price. Risk arises from changes in the value of these contracts
and the potential inability of counterparties to perform under the
terms of the contracts. There are numerous factors which may
significantly influence the market value of these contracts,
including interest rate volatility.

The market value of contracts is based on closing prices quoted by
the exchange, bank or clearing firm through which the contracts
are traded.

The Partnership's contracts are accounted for on a trade-date
basis and marked to market on a daily basis. The Partnership
accounts for its derivative investments in accordance with the
provisions of Statement of Financial Accounting Standards No. 133,
"Accounting for Derivative Instruments and Hedging Activities"
("SFAS No. 133"). SFAS No. 133 defines a derivative as a
financial instrument or other contract that has all three of the
following characteristics:

1) One or more underlying notional amounts or payment
provisions;
2) Requires no initial net investment or a smaller initial net
investment than would be required relative to changes in
market factors;
3) Terms require or permit net settlement.

<page> MORGAN STANLEY CHARTER GRAHAM L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

Generally, derivatives include futures, forward, swaps or options
contracts and other financial instruments with similar
characteristics such as caps, floors, and collars.

The net unrealized gains (losses) on open contracts, reported as a
component of "Equity in futures interests trading accounts" on the
statements of financial condition, and their longest contract
maturities were as follows:
Net Unrealized Gains (Losses)
on Open Contracts Longest Maturities

Exchange- Off-Exchange- Exchange- Off-Exchange-
Date Traded Traded Total Traded Traded
$ $ $

Jun. 30, 2004 (8,126,385) 40,950 (8,085,435) Dec. 2005 Sep. 2004
Dec. 31, 2003 17,018,386 (551,720) 16,466,666 Jun. 2005 Mar. 2004

The Partnership has credit risk associated with counterparty non-
performance. The credit risk associated with the instruments in
which the Partnership is involved is limited to the amounts
reflected in the Partnership's statements of financial condition.

The Partnership also has credit risk because Morgan Stanley DW, MS
& Co. and MSIL act as the futures commission merchants or the
counterparties, with respect to most of the Partnership's assets.
Exchange-traded futures, forward, and futures-styled options

<page> MORGAN STANLEY CHARTER GRAHAM L.P.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)

contracts are marked to market on a daily basis, with variations
in value settled on a daily basis. Morgan Stanley DW, MS & Co.,
and MSIL, each as a futures commission merchant for the
Partnership's exchange-traded futures, forward, and futures-styled
options contracts, are required, pursuant to regulations of the
Commodity Futures Trading Commission ("CFTC"), to segregate from
their own assets, and for the sole benefit of their commodity
customers, all funds held by them with respect to exchange-traded
futures, forward, and futures-styled options contracts, including
an amount equal to the net unrealized gains (losses) on all open
futures, forward, and futures-styled options contracts, which
funds, in the aggregate, totaled $341,380,728 and $262,106,808 at
June 30, 2004 and December 31, 2003, respectively. With respect to
the Partnership's off-exchange-traded forward currency contracts,
there are no daily exchange- required settlements of variations in
value nor is there any requirement that an amount equal to the net
unrealized gains (losses) on open forward contracts be segregated,
however, MS & Co. and Morgan Stanley DW will make daily
settlements of losses as needed. With respect to those off-
exchange-traded forward currency contracts, the Partnership is at
risk to the ability of MS & Co., the sole counterparty on all such
contracts, to perform. The Partnership has a netting agreement
with MS & Co. This agreement, which seeks to reduce both the
Partnership's and MS & Co.'s exposure on off-exchange-traded
forward currency contracts, should materially decrease the
<page> MORGAN STANLEY CHARTER GRAHAM L.P.
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)

Partnership's credit risk in the event of MS & Co.'s bankruptcy or
insolvency.

<page> Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS

Liquidity. The Partnership deposits its assets with Morgan
Stanley DW as non-clearing broker, and MS & Co. and MSIL as
clearing brokers in separate futures, forwards, and options
trading accounts established for the Trading Advisor, which assets
are used as margin to engage in trading and may be used as margin
solely for the Partnership's trading. The assets are held in
either non-interest bearing bank accounts or in securities and
instruments permitted by the CFTC for investment of customer
segregated or secured funds. Since the Partnership's sole purpose
is to trade in futures, forwards, and options, it is expected that
the Partnership will continue to own such liquid assets for margin
purposes.

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

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

There are no known material trends, demands, commitments, events
or uncertainties at the present time that will result in, or that
are reasonably likely to result in, the Partnership's liquidity
increasing or decreasing in any material way.

Capital Resources. The Partnership does not have, nor expect to
have, any capital assets. Redemptions, exchanges and sales of
additional units of limited partnership interest ("Unit(s)") in
the future will affect the amount of funds available for
investment in futures, forwards, and options in subsequent <page>
periods. It is not possible to estimate the amount, and therefore
the impact, of future redemptions of Units.

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

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

Results of Operations
General. The Partnership's results depend on the Trading Advisor
and the ability of the Trading Advisor's trading programs to take
advantage of price movements in the futures, forwards and options
markets. The following presents a summary of the Partnership's
operations for the three and six month periods ended June 30, 2004
and 2003 and a general discussion of its trading activities during
each period. It is important to note, however, that the Trading
Advisor trades in various markets at different times and that
prior activity in a particular market does not mean that such
market will be actively traded by the Trading Advisor or will be
profitable in the future. Consequently, the results of operations
of the Partnership are difficult to discuss other than in the
<page> context of the Trading Advisor's trading activities on
behalf of the Partnership during the period in question. Past
performance is no guarantee of future results.

The Partnership's results of operations set forth in the
financial statements on pages 2 through 11 of this report were
prepared in accordance with accounting principles generally
accepted in the United States of America, which require the use
of certain accounting policies that affect the amounts reported
in these financial statements, including the following: The
contracts the Partnership trades are accounted for on a trade-
date basis and marked to market on a daily basis. The difference
between their cost and market value is recorded on the Statements
of Operations as "Net change in unrealized trading profit/loss"
for open (unrealized) contracts, and recorded as "Realized
trading profit/loss" when open positions are closed out, and the
sum of these amounts constitutes the Partnership's trading
results. The market value of a futures contract is the
settlement price on the exchange on which that futures contract
is traded on a particular day. The value of foreign currency
forward contracts is based on the spot rate as of the close of
business, New York City time, on a given day. Interest income
revenue, as well as management fees, incentive fees and brokerage
fees expenses of the Partnership are recorded on an accrual
basis.
<page> Demeter believes that, based on the nature of the
operations of the Partnership, no assumptions relating to the
application of critical accounting policies other than those
presently used could reasonably affect reported amounts.

For the Quarter and Six Months Ended June 30, 2004
The Partnership recorded losses net of interest income totaling
$60,864,949 and expenses totaling $7,352,234, resulting in a net
loss of $68,217,183 for the quarter ended June 30, 2004. The
Partnership's net asset value per Unit decreased from $23.77 at
March 31, 2004 to $19.50 at June 30, 2004.

The most significant trading losses of approximately 9.5% were
generated in the global interest rate futures markets primarily
during April from long U.S. and European interest rate futures
positions as prices tumbled following the release of stronger
than expected U.S. jobs data. Additional losses were incurred
during June from short positions in these markets as prices
reversed higher on weaker than expected U.S. economic reports and
the likelihood that the U.S. Federal Reserve would move slowly in
raising interest rates. In the currency markets, losses of
approximately 3.6% were experienced from positions in the
Japanese yen versus the U.S. dollar and the euro. These losses
were experienced throughout the quarter from both long and short
positions in the Japanese yen relative to both currencies as the
value of the yen experienced significant short-term price <page>
volatility due to conflicting economic data regarding a Japanese
economic recovery, uncertainty regarding a currency market
intervention by the Bank of Japan, geopolitical concerns stemming
from terror warnings and instability in Iraq, and uncertainty
regarding the direction of U.S. and Japanese interest rates.
Elsewhere in the currency markets, losses were recorded from
short positions in the Canadian dollar against the U.S. dollar
and the euro during June as the Canadian dollar rose on
expectations that the Bank of Canada would follow the U.S.
Federal Reserve in raising interest rates. Further losses of
approximately 2.9% were generated in the global stock indices.
During April and early May, long positions in Pacific Rim equity
index futures resulted in losses as global equity prices declined
in response to geopolitical factors relating to Iraq, expanding
energy prices and concerns of higher interest rates. In the
metals markets, losses of approximately 0.8% were experienced
from short positions in nickel futures during May as base metals
prices strengthened due to a weak U.S. dollar, fears of potential
terrorist attacks, and news of strong demand continuing from
Asia. Smaller losses in the metals markets were recorded during
April from long futures positions in gold as precious metals
prices weakened due to strength in the U.S. dollar.

The Partnership recorded losses net of interest income totaling
$24,931,259 and expenses totaling $18,679,932, resulting in a net
loss of $43,611,191 for the six months ended June 30, 2004. The
<page> Partnership's net asset value per Unit decreased from
$21.88 at December 31, 2003 to $19.50 at June 30, 2004.

The most significant trading losses of approximately 5.9% were
experienced in the currency markets from positions in the
Japanese yen versus the U.S. dollar and the euro. These losses
were experienced throughout the year from both long and short
positions in the Japanese yen relative to both currencies as the
value of the yen experienced significant short-term price
volatility due to conflicting economic data regarding a Japanese
economic recovery, uncertainty regarding a currency market
intervention by the Bank of Japan, geopolitical concerns stemming
from terror warnings and instability in Iraq, and uncertainty
regarding the direction of U.S. and Japanese interest rates.
During June, losses were recorded from short positions in the
Canadian dollar against the U.S. dollar as the Canadian dollar
rose on expectations that the Bank of Canada would follow the
U.S. Federal Reserve in raising interest rates. Additional
losses were incurred from positions in the euro and South African
rand relative to the U.S. dollar as these currencies moved
without consistent direction throughout a majority of the year.
Additional losses of approximately 2.2% were generated in the
global interest rate futures markets primarily during April from
long U.S. and European interest rate futures positions as prices
tumbled following the release of stronger than expected U.S. jobs
data. Additional losses were incurred during June from short
<page> positions in these markets as prices reversed higher on
weaker than expected U.S. economic reports and the likelihood
that the U.S. Federal Reserve would move slowly in raising
interest rates. Within the global stock index futures markets,
losses of approximately 1.3% were generated during April and
early May, from long positions in Pacific Rim equity index
futures as prices declined in response to geopolitical factors
relating to Iraq, expanding energy prices and concerns of higher
interest rates. Additional losses were incurred during March
from long positions in European and Pacific Rim stock indices as
prices dropped due to terror attacks in Madrid, worse than
expected German industrial production and weak business
confidence data. A portion of the Partnership's overall losses
was offset by gains of approximately 2.1% in the energy markets
during February, April and May from long positions in crude oil
futures as prices trended higher amid fears of potential
terrorist attacks against Saudi Arabian oil facilities and
disruptions in Iraqi oil production, falling inventory levels,
and uncertainty regarding production levels from OPEC.
Additional gains of approximately 1.0% were experienced during
the first quarter from long futures positions in copper as
industrial metals prices trended higher in response to greater
demand from Asia driven by a declining U.S. dollar. Smaller
gains of approximately 0.7% were recorded in the agricultural
markets from long futures positions in corn as growing U.S.
exports and strong demand pushed prices higher during the first
<page> quarter. Additional gains were experienced in June from
short positions in cotton futures as prices decreased amid
technically-based selling, increased supply and light demand.

For the Quarter and Six Months Ended June 30, 2003
The Partnership recorded revenues including interest income
totaling $6,009,634 and expenses totaling $3,721,825, resulting
in net income of $2,287,809 for the quarter ended June 30, 2003.
The Partnership's net asset value per Unit increased from $20.04
at March 31, 2003 to $20.42 at June 30, 2003.

The most significant trading gains of approximately 6.5% were
recorded in the currency markets, primarily during April and May,
from long positions in the euro versus the Japanese yen as the
value of the euro continued to trend higher following the decision
by the European Central Bank to leave interest rates unchanged.
Additional gains were provided from long positions in the
Australian dollar versus the U.S. dollar as the value of the
Australian currency strengthened amid significant interest rate
differentials between the two countries. Gains of approximately
5.4% were recorded in the global interest rate markets during May
from long positions in U.S. and European interest rate futures as
prices trended higher amid speculation of an interest rate cut by
the Federal Reserve and lingering doubts concerning a global
economic recovery. A portion of the Partnership's overall gains
for the quarter was offset by losses of approximately 2.3% in the
<page> global stock index markets from short positions in European
stock index futures as global equity prices rallied during April
in response to positive earnings announcements and the conclusion
of the war in Iraq. In the agricultural markets, losses of
approximately 2.2% resulted from short positions in wheat and corn
futures during May as prices moved higher early in the month amid
concerns of weather related crop damage in the U.S. midwest.
Smaller losses of approximately 1.7% were recorded in the metals
markets, primarily during June, from long positions in nickel
futures as prices declined amid easing supply concerns.

The Partnership recorded revenues including interest income
totaling $19,712,821 and expenses totaling $11,370,008, resulting
in net income of $8,342,813 for the six months ended June 30,
2003. The Partnership's net asset value per Unit increased from
$18.84 at December 31, 2002 to $20.42 at June 30, 2003.

The most significant trading gains of approximately 11.5% were
experienced in the currency markets from long positions in the
euro versus the Japanese yen as the value of the euro continued
to trend higher following the decision by the European Central
Bank to leave interest rates unchanged. Gains were also recorded
from long positions in the Canadian dollar, Australian dollar and
South African rand versus the U.S. dollar amid rising gold prices
early in the year, as well as interest rate differentials between
<page> the respective countries and the U.S. Additional gains of
approximately 7.5% were established in the global interest rate
markets from long positions in U.S. and European interest rate
futures during February, as prices moved higher amid investor
demand for fixed income investments due to uncertainty in global
equity markets. Gains were also recorded in this sector during
June as prices trended higher amid speculation of an interest
rate cut by the U.S. Federal Reserve and lingering doubts
concerning a global economic recovery. Additional gains of
approximately 4.7% were recorded in the energy markets from long
positions in natural gas futures as prices trended higher during
January and February in response to prolonged frigid temperatures
in the northeastern and midwestern United States. Elsewhere in
the energy markets, gains resulted from long positions in crude
oil futures as prices rallied during the first two months of the
year amid the looming threat of military action against Iraq and
an overall decline in inventories. A portion of the
Partnership's overall gains was offset by losses of approximately
2.8% in the metals markets from long positions in copper, nickel,
and aluminum futures as prices fell during March amid muted
industrial demand. Additional losses of approximately 2.0% in
the global stock index markets resulted from short positions in
European stock index futures as global equity prices rallied
during April in response to positive earnings announcements and
the conclusion of the war in Iraq.
<page> Item 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT
MARKET RISK
Introduction
The Partnership is a commodity pool engaged primarily in the
speculative trading of futures, forwards, and options. The
market-sensitive instruments held by the Partnership are acquired
for speculative trading purposes only and, as a result, all or
substantially all of the Partnership's assets are at risk of
trading loss. Unlike an operating company, the risk of market-
sensitive instruments is inherent to the primary business
activity of the Partnership.

The futures, forwards, and options traded by the Partnership
involve varying degrees of related market risk. Market risk is
often dependent upon changes in the level or volatility of
interest rates, exchange rates, and prices of financial
instruments and commodities, factors that result in frequent
changes in the fair value of the Partnership's open positions,
and consequently in its earnings, whether realized or unrealized,
and cash flow. Gains and losses on open positions of exchange-
traded futures, forwards and options are settled daily through
variation margin. Gains/losses on off-exchange-traded forward
currency contracts are settled at the termination of the contract
or more frequently, as agreed upon with each counterparty.

<page> The Partnership's total market risk may increase or
decrease as it is influenced by a wide variety of factors,
including, but not limited to, the diversification among the
Partnership's open positions, the volatility present within the
markets, and the liquidity of the markets.

The Partnership's past performance is no guarantee of its future
results. Any attempt to numerically quantify the Partnership's
market risk is limited by the uncertainty of its speculative
trading. The Partnership's speculative trading may cause future
losses and volatility (i.e., "risk of ruin") that far exceed the
Partnership's experience to date or any reasonable expectations
based upon historical changes in market value.

Limited partners will not be liable for losses exceeding the
current net asset value of their investment.

Quantifying the Partnership's Trading Value at Risk
The following quantitative disclosures regarding the Partnership's
market risk exposures contain "forward-looking statements" within
the meaning of the safe harbor from civil liability provided for
such statements by the Private Securities Litigation Reform Act of
1995 (set forth in Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934). All
quantitative disclosures in this section are deemed to be forward-
<page> looking statements for purposes of the safe harbor, except
for statements of historical fact.

The Partnership accounts for open positions on the basis of mark
to market accounting principles. Any loss in the market value of
the Partnership's open positions is directly reflected in the
Partnership's earnings and cash flow.

The Partnership's risk exposure in the market sectors traded by
the Trading Advisor is estimated below in terms of Value at Risk
("VaR"). The Partnership estimates VaR using a model based upon
historical simulation (with a confidence level of 99%) which
involves constructing a distribution of hypothetical daily
changes in the value of a trading portfolio. The VaR model takes
into account linear exposures to risks including equity and
commodity prices, interest rates, foreign exchange rates, and
correlation among these variables. The hypothetical changes in
portfolio value are based on daily percentage changes observed in
key market indices or other market factors ("market risk
factors") to which the portfolio is sensitive. The one-day 99%
confidence level of the Partnership's VaR corresponds to the
negative change in portfolio value that, based on observed market
risk factors, would have been exceeded once in 100 trading days,
or one day in 100. VaR typically does not represent the worst
case outcome. Demeter uses approximately four years of daily
<page> market data (1,000 observations) and revalues its
portfolio (using delta-gamma approximations) for each of the
historical market moves that occurred over this time period.
This generates a probability distribution of daily "simulated
profit and loss" outcomes. The VaR is the appropriate percentile
of this distribution. For example, the 99% one-day VaR would
represent the 10th worst outcome from Demeter's simulated profit
and loss series.

The Partnership's VaR computations are based on the risk
representation of the underlying benchmark for each instrument or
contract and do not distinguish between exchange and non-exchange
dealer-based instruments. They are also not based on exchange
and/or dealer-based maintenance margin requirements.

VaR models, including the Partnership's, are continually evolving
as trading portfolios become more diverse and modeling techniques
and systems capabilities improve. Please note that the VaR model
is used to numerically quantify market risk for historic
reporting purposes only and is not utilized by either Demeter or
the Trading Advisor in their daily risk management activities.
Please further note that VaR as described above may not be
comparable to similarly titled measures used by other entities.

<page> The Partnership's Value at Risk in Different Market Sectors
The following table indicates the VaR associated with the
Partnership's open positions as a percentage of total net assets
by primary market risk category at June 30, 2004 and 2003. At
June 30, 2004 and 2003, the Partnership's total capitalization
was approximately $357 million and $191 million, respectively.

Primary Market June 30, 2004 June 30, 2003
Risk Category Value at Risk Value at Risk

Interest Rate (1.58)% (2.74)%
Currency (0.68) (1.07)
Equity (0.62) (2.50)
Commodity (0.34) (1.12)
Aggregate Value at Risk (1.92)% (3.88)%

The VaR for a market category represents the one-day downside risk
for the aggregate exposures associated with this market category.
The Aggregate Value at Risk listed above represents the VaR of the
Partnership's open positions across all the market categories, and
is less than the sum of the VaRs for all such market categories
due to the diversification benefit across asset classes.

Because the business of the Partnership is the speculative
trading of futures, forwards and options, the composition of its
trading portfolio can change significantly over any given time
period, or even within a single trading day, which could <page>
positively or negatively materially impact market risk as
measured by VaR.

The table below supplements the quarter-end VaR set forth above
by presenting the Partnership's high, low and average VaR, as a
percentage of total net assets for the four quarter-end reporting
periods from July 1, 2003 through June 30, 2004.

Primary Market Risk Category High Low Average
Interest Rate (2.88)% (0.33)% (1.34)%

Currency (2.06) (0.23) (1.23)

Equity (3.12) (0.62) (1.75)

Commodity (1.44) (0.34) (0.92)

Aggregate Value at Risk (3.61)% (1.92)% (2.98)%

Limitations on Value at Risk as an Assessment of Market Risk
The face value of the market sector instruments held by the
Partnership is typically many times the applicable margin
requirements. Margin requirements generally range between 2% and
15% of contract face value. Additionally, the use of leverage
causes the face value of the market sector instruments held by the
Partnership to typically be many times the total capitalization of
the Partnership. The value of the Partnership's open positions
thus creates a "risk of ruin" not typically found in other
investments. The relative size of the positions held may cause
the Partnership to incur losses greatly in excess of VaR within a
<page> short period of time, given the effects of the leverage
employed and market volatility. The VaR tables above, as well as
the past performance of the Partnership, give no indication of
such "risk of ruin". In addition, VaR risk measures should be
viewed in light of the methodology's limitations, which include
the following:
? past changes in market risk factors will not always result in
accurate predictions of the distributions and correlations of
future market movements;
? changes in portfolio value caused by market movements may
differ from those of the VaR model;
? VaR results reflect past market fluctuations applied to current
trading positions while future risk depends on future
positions;
? VaR using a one-day time horizon does not fully capture the
market risk of positions that cannot be liquidated or hedged
within one day; and
? the historical market risk factor data used for VaR estimation
may provide only limited insight into losses that could be
incurred under certain unusual market movements.

The VaR tables provided present the results of the Partnership's
VaR for each of the Partnership's market risk exposures and on an
aggregate basis at June 30, 2004 and 2003, and for the four
quarter-end reporting periods from July 1, 2003 through June 30,
2004. VaR is not necessarily representative of the Partnership's
<page> historic risk, nor should it be used to predict the
Partnership's future financial performance or its ability to
manage or monitor risk. There can be no assurance that the
Partnership's actual losses on a particular day will not exceed
the VaR amounts indicated above or that such losses will not occur
more than once in 100 trading days.
Non-Trading Risk
The Partnership has non-trading market risk on its foreign cash
balances not needed for margin. These balances and any market
risk they may represent are immaterial.

The Partnership also maintains a substantial portion
(approximately 87% as of June 30, 2004) of its available assets in
cash at Morgan Stanley DW. A decline in short-term interest rates
would result in a decline in the Partnership's cash management
income. This cash flow risk is not considered to be material.

Materiality, as used throughout this section, is based on an
assessment of reasonably possible market movements and any
associated potential losses, taking into account the leverage,
optionality and multiplier features of the Partnership's market-
sensitive instruments, in relation to the Partnership's net
assets.

Qualitative Disclosures Regarding Primary Trading Risk Exposures
<page> The following qualitative disclosures regarding the
Partnership's market risk exposures - except for (A) those
disclosures that are statements of historical fact and (B) the
descriptions of how the Partnership manages its primary market
risk exposures - constitute forward-looking statements within the
meaning of Section 27A of the Securities Act and Section 21E of
the Securities Exchange Act. The Partnership's primary market risk
exposures, as well as the strategies used and to be used by
Demeter and the Trading Advisor for managing such exposures, are
subject to numerous uncertainties, contingencies and risks, any
one of which could cause the actual results of the Partnership's
risk controls to differ materially from the objectives of such
strategies. Government interventions, defaults and expropriations,
illiquid markets, the emergence of dominant fundamental factors,
political upheavals, changes in historical price relationships, an
influx of new market participants, increased regulation and many
other factors could result in material losses, as well as in
material changes to the risk exposures and the risk management
strategies of the Partnership. Investors must be prepared to lose
all or substantially all of their investment in the Partnership.

The following were the primary trading risk exposures of the
Partnership at June 30, 2004, by market sector. It may be
anticipated, however, that these market exposures will vary
materially over time.

<apge> Interest Rate. The primary market exposure of the
Partnership at June 30, 2004 was to the global interest rate
sector. Exposure was primarily spread across the U.S., European,
and Japanese interest rate sectors. Interest rate movements
directly affect the price of the sovereign bond futures positions
held by the Partnership and indirectly affect the value of its
stock index and currency positions. Interest rate movements in
one country, as well as relative interest rate movements between
countries, materially impact the Partnership's profitability. The
Partnership's interest rate exposure is generally to interest
rate fluctuations in the U.S. and the other G-7 countries. The
G-7 countries consist of France, the U.S., Britain, Germany,
Japan, Italy, and Canada. However, the Partnership also takes
futures positions in the government debt of smaller nations -
e.g., Australia. Demeter anticipates that the G-7 countries and
Australian interest rates will remain the primary interest rate
exposure of the Partnership for the foreseeable future. The
speculative futures positions held by the Partnership may range
from short to long-term instruments. Consequently, changes in
short, medium, or long-term interest rates may have an effect on
the Partnership.

Currency. The second largest market exposure of the Partnership
at June 30, 2004 was to the currency sector. The Partnership's
currency exposure is to exchange rate fluctuations, primarily
fluctuations which disrupt the historical pricing relationships
<page> between different currencies and currency pairs. Interest
rate changes, as well as political and general economic
conditions influence these fluctuations. The Partnership trades
a large number of currencies, including cross-rates - i.e.,
positions between two currencies other than the U.S. dollar. At
June 30, 2004, the Partnership's major exposures were to the
euro, Australian dollar, Canadian dollar, Japanese yen, and
British pound currency crosses, as well as to outright U.S.
dollar positions. Outright positions consist of the U.S. dollar
vs. other currencies. These other currencies include major and
minor currencies. Demeter does not anticipate that the risk
profile of the Partnership's currency sector will change
significantly in the future.

Equity. The third largest market exposure of the Partnership at
June 30, 2004 was to the global stock index sector, primarily to
equity price risk in the G-7 countries. The stock index futures
traded by the Partnership are by law limited to futures on
broadly-based indices. At June 30, 2004, the Partnership's
primary exposures were to the CAC 40 (France), DAX (Germany),
NASDAQ (U.S.), TOPIX (Japan), and IBEX 35 (Spain) stock indices.
The Partnership is exposed to the risk of adverse price trends or
static markets in the U.S., European and Japanese stock indices.
Static markets would not cause major market changes, but would
make it difficult for the Partnership to avoid trendless price
movements, resulting in numerous small losses.
<page>
Commodity.
Soft Commodities and Agriculturals. At June 30, 2004, the
Partnership had exposure to the markets that comprise these
sectors. Most of the exposure was to the cotton and wheat
markets. Supply and demand inequalities, severe weather
disruptions, and market expectations affect price movements
in these markets.

Energy. At June 30, 2004, the Partnership's energy exposure
was primarily to futures contracts in crude oil and natural
gas. Price movements in these markets result from
geopolitical developments, particularly in the Middle East,
as well as weather patterns and other economic fundamentals.
Significant profits and losses, which have been experienced
in the past, are expected to continue to be experienced in
the future. Natural gas has exhibited volatility in prices
resulting from weather patterns and supply and demand
factors and will likely continue in this choppy pattern.

Metals. The Partnership's metals exposure at June 30, 2004
was to fluctuations in the price of base metals, such as
copper and zinc. Economic forces, supply and demand
inequalities, geopolitical factors and market expectations
influence price movements in these markets. The Trading
Advisor, from time to time, takes positions when market
<page> opportunities develop, and Demeter anticipates that
the Partnership will continue to do so.

Qualitative Disclosures Regarding Non-Trading Risk Exposure
The following was the only non-trading risk exposure of the
Partnership at June 30, 2004:
Foreign Currency Balances. The Partnership's primary foreign
currency balances at June 30, 2004 were in euros, Japanese
yen, Hong Kong dollars, and British pounds. The Partnership
controls the non-trading risk of foreign currency balances
by regularly converting them back into U.S. dollars upon
liquidation of their respective positions.

Qualitative Disclosures Regarding Means of Managing Risk Exposure
The Partnership and the Trading Advisor, separately, attempt to
manage the risk of the Partnership's open positions in essentially
the same manner in all market categories traded. Demeter attempts
to manage market exposure by diversifying the Partnership's assets
among different market sectors and trading approaches, and by
monitoring the performance of the Trading Advisor daily. In
addition, the Trading Advisor establishes diversification
guidelines, often set in terms of the maximum margin to be
committed to positions in any one market sector or market-
sensitive instrument.

<page> Demeter monitors and controls the risk of the
Partnership's non-trading instrument, cash. Cash is the only
Partnership investment directed by Demeter, rather than the
Trading Advisor.

Item 4. CONTROLS AND PROCEDURES
(a) As of the end of the period covered by this quarterly
report, the President and Chief Financial Officer of
Demeter, the general partner of the Partnership, have
evaluated the effectiveness of the Partnership's
disclosure controls and procedures (as defined in Rules
13a-15(e) and 15d-15(e) of the Exchange Act), and have
judged such controls and procedures to be effective.

(b) There have been no significant changes during the
period covered by this quarterly report in the
Partnership's internal controls or in other factors
that could significantly affect these controls
subsequent to the date of their evaluation.

<page> PART II. OTHER INFORMATION

Item 2. CHANGES IN SECURITIES AND USE OF PROCEEDS
The Partnership initially registered 3,000,000 Units pursuant to a
Registration Statement on Form S-1, which became effective on
November 6, 1998 (SEC File Number 333-60115).

The Partnership registered an additional 6,000,000 Units pursuant
to a new Registration Statement on Form S-1, which became
effective on March 27, 2000 (SEC File Number 333-91563).

The Partnership registered an additional 2,000,000 Units pursuant
to another Registration Statement on Form S-1, which became
effective on July 29, 2002 (SEC File Number 333-85076).

The Partnership registered an additional 9,000,000 Units pursuant
to a Registration Statement on Form S-1, which became effective on
February 26, 2003 (SEC File Number 333-103166).

The Partnership registered an additional 30,000,000 Units pursuant
to a Registration Statement on Form S-1, which became effective on
April 28, 2004 (SEC File Number 333-113876).

The managing underwriter for the Partnership is Morgan Stanley DW.

<page> Units are continuously sold at monthly closings at a
purchase price equal to 100% of the net asset value per Unit as of
the close of business on the last day of each month.

Through June 30, 2004, 20,835,515.340 Units were sold, leaving
29,164,484.660 Units unsold. The aggregate price of the Units
sold through June 30, 2004 was $380,732,999.

Since no expenses are chargeable against the proceeds, 100% of the
proceeds of the offering have been applied to the working capital
of the Partnership for use in accordance with the "Use of
Proceeds" section of the prospectus included as part of the above
referenced Registration Statements.

Item 5. OTHER INFORMATION
Management. Effective June 21, 2004, the following changes have
been made to the Board of Directors and Officers of Demeter:

Mr. Jeffrey D. Hahn resigned the position of Chief Financial
Officer and Director of Demeter.

Mr. Todd Taylor, age 41, is a Director of Demeter. Mr. Taylor
began his career with Morgan Stanley in June 1987 as a Financial
Advisor in the Dallas office. In 1995, he joined the Management
Training Program in New York and was appointed Branch Manager in
St. Louis in 1997. Three years later, in 2000, Mr. Taylor was
<page> appointed to a newly created position, Director of
Individual Investor Group ("IIG") Learning and Development,
before becoming the Director of IIG Strategy in 2002. Most
recently, Mr. Taylor has taken on a new role as the High Net
Worth Segment Director. Currently a member of the firm's E-
Learning Council, Mr. Taylor is also a current member of the
Securities Industry/Regulatory Council on Continuing Education.
Mr. Taylor graduated from Texas Tech University with a B.B.A. in
Finance.

Mr. William D. Seugling, age 34, will become a Director of
Demeter once he has registered with the National Futures
Association ("NFA") as a principal, which registration is
currently pending. Mr. Seugling is an Executive Director at
Morgan Stanley and currently serves as Director of Client
Solutions for US Private Wealth Management. Mr. Seugling joined
Morgan Stanley in June 1993 as an Associate in Equity Structured
Products having previously worked in research and consulting for
Greenwich Associates from October 1991 to June 1993. Since 1994,
he has focused broadly on analysis and solutions for wealthy
individuals and families culminating in his current role within
the division. He was named Vice President in 1996 and an
Executive Director in 1999. Mr. Seugling graduated cum laude
from Bucknell University with a B.S. in Management and a
concentration in Chemistry.
<page>
Mr. Kevin Perry, age 35, is the Chief Financial Officer of
Demeter. His registration with the NFA as a principal is
currently pending. He currently serves as an Executive Director
and Controller of Client Solutions at Morgan Stanley. Mr. Perry
joined Morgan Stanley in October 2000 and is also Chief Financial
Officer of Morgan Stanley Trust National Association, Van Kampen
Funds Inc. and Morgan Stanley Distribution, Inc. Prior to
joining Morgan Stanley, Mr. Perry worked as an auditor and
consultant in the financial services practice of Ernst & Young
from October 1991 to October 2000. Mr. Perry received a B.S.
degree in Accounting from the University of Notre Dame in 1991
and is a Certified Public Accountant.

<page>
Item 6. EXHIBITS AND REPORTS ON FORM 8-K

(A) Exhibits

3.01 Form of Amended and Restated Limited Partnership
Agreement of the Partnership, is incorporated by
reference to Exhibit A of the Partnership's Prospectus,
dated April 28, 2004, filed with the Securities and
Exchange Commission pursuant to Rule 424(b)(3) under the
Securities Act of 1933, as amended, on May 4, 2004.
3.02 Certificate of Limited Partnership, dated July 15, 1998,
is incorporated by reference to Exhibit 3.02 of the
Partnership's Registration Statement on Form S-1 (File
No. 333-60115) filed with the Securities and Exchange
Commission on July 29, 1998.
3.03 Certificate of Amendment of Certificate of Limited
Partnership, dated November 1, 2001 (changing its name
from Morgan Stanley Dean Witter Charter Graham L.P.), is
incorporated by reference to Exhibit 3.01 of the
Partnership's Form 8-K (File No. 0-25603) filed with the
Securities and Exchange Commission on November 6, 2001.
10.01 Management Agreement, dated as of November 6, 1998, among
the Partnership, Demeter and Graham Capital Management,
L.P. is incorporated by reference to Exhibit 10.01 of the
Partnership's Quarterly Report on Form 10-Q (File No. 0-
25603) filed with the Securities and Exchange Commission
on May 17, 1999.
10.02 Form of Subscription and Exchange Agreement and Power of
Attorney to be executed by each purchaser of Units is
incorporated by reference to Exhibit B of the
Partnership's Prospectus, dated April 28, 2004, filed
with the Securities and Exchange Commission pursuant to
Rule 424(b)(3) under the Securities Act of 1933, as
amended, on May 4, 2004.
10.03 Amended and Restated Escrow Agreement, dated as of August
31, 2002, among the Partnership, Morgan Stanley Charter
Millburn L.P., Morgan Stanley Charter Welton L.P., Morgan
Stanley Charter MSFCM L.P., Morgan Stanley DW, and JP
Morgan Chase Bank is incorporated by reference to Exhibit
10.04 of the Partnership's Registration Statement on Form
S-1 (File No. 333-103166) filed with the Securities and
Exchange Commission on February 13, 2003.

<page>
10.04 Amended and Restated Customer Agreement between the
Partnership and Morgan Stanley DW, dated as of November
13, 2000, is incorporated by reference to Exhibit 10.01
of the Partnership's Form 8-K (File No. 0-25603) filed
with the Securities and Exchange Commission on November
6, 2001.
10.05 Commodity Futures Customer Agreement between MS & Co. and
the Partnership, and acknowledged and agreed to by Morgan
Stanley DW, dated as of November 6, 2000, is incorporated
by reference to Exhibit 10.02 of the Partnership's Form
8-K (File No. 0-25603) filed with the Securities and
Exchange Commission on November 6, 2001.
10.06 Customer Agreement between the Partnership and MSIL,
dated as of November 6, 2000, is incorporated by
reference to Exhibit 10.04 of the Partnership's Form 8-K
(File No. 0-25603) filed with the Securities and Exchange
Commission on November 6, 2001.
10.07 Foreign Exchange and Options Master Agreement between MS
& Co. and the Partnership, dated as of August 30, 1999,
is incorporated by reference to Exhibit 10.05 of the
Partnership's Form 8-K (File No. 0-25603) filed with the
Securities and Exchange Commission on November 6, 2001.
10.08 Form of Subscription Agreement Update Form is
incorporated by reference to Exhibit C of the
Partnership's Prospectus, dated April 28, 2004, filed
with the Securities and Exchange Commission pursuant to
Rule 424(b)(3) under the Securities Act of 1933, as
amended, on May 4, 2004.
10.09 Securities Account Control Agreement among the
Partnership, MS & Co., and Morgan Stanley DW, dated as of
May 1, 2000, is incorporated by reference to Exhibit
10.03 of the Partnership's Form 8-K (File No. 0-25603)
filed with the Securities and Exchange Commission on
November 6, 2001.
31.01 Certification of President of Demeter Management
Corporation, the general partner of the Partnership,
pursuant to rules 13a-15(e) and 15d-15(e), as adopted
pursuant to Section 302 of the Sarbanes-Oxley Act of
2002.
31.02 Certification of Chief Financial Officer of Demeter
Management Corporation, the general partner of the
Partnership, pursuant to rules 13a-15(e) and 15d-15(e),
<page> as adopted pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002.
32.01 Certification of President of Demeter Management
Corporation, the general partner of the Partnership,
pursuant to 18 U.S.C. Section 1350, as adopted pursuant
to Section 906 of the Sarbanes-Oxley Act of 2002.
32.02 Certification of Chief Financial Officer of Demeter
Management Corporation, the general partner of the
Partnership, pursuant to 18 U.S.C. Section 1350, as
adopted pursuant to Section 906 of the Sarbanes-Oxley Act
of 2002.

(B) Reports on Form 8-K - None.

<page>

SIGNATURE

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.

Morgan Stanley Charter Graham L.P.
(Registrant)

By: Demeter Management Corporation
(General Partner)

August 16, 2004 By: /s/ Kevin Perry
Kevin Perry
Chief Financial Officer

The General Partner which signed the above is the only party
authorized to act for the Registrant. The Registrant has no
principal executive officer, principal financial officer,
controller, or principal accounting officer and has no Board of
Directors.

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