Common use of Allocation of Profit and Loss for Federal Income Tax Purposes Clause in Contracts

Allocation of Profit and Loss for Federal Income Tax Purposes. As of the end of each fiscal year, the Trust’s profits or losses shall be allocated pro rata among the Unitholders for net short-term capital gain or loss, net long-term capital gain or loss, and net operating income or loss realized by the Trust as follows: (1) Net realized profits shall be allocated to each Unitholder who has redeemed Units during the year to the extent that the amount the Unitholder received on redemption exceeds the amount paid for the redeemed Units; (2) Net realized profits remaining after the allocation in Section 7(c)(1) shall be allocated among all Unitholders in the ratio that each Unitholder’s capital account bears to all Unitholders’ capital accounts; (3) Net realized loss shall be allocated first to each Unitholder who has redeemed Units during the year to the extent that the amount the Unitholder paid for the redeemed Units (as defined in Section 7(c)(5)) exceeds the amount the Unitholder received on redemption; (4) Net realized loss remaining after the allocation in Section 7(c)(3) shall be allocated among all Unitholders in the ratio that each Unitholder’s capital account bears to all Unitholders’ capital accounts; (5) For the purpose of the allocations of realized profits and losses in Sections 7(c)(1) and 7(c)(3), the amount each Unitholder paid for each of its Units shall be deemed to have increased by the amount of realized profit allocated to it for such year and all prior years with respect to such Unit pursuant to Section 7(c)(2); decreased by the amount of any loss allocated to him for such year and all prior years with respect to such Unit pursuant to Section 7(c)(4); and decreased by the amount of any distributions to it for such year and all prior years with respect to such Unit pursuant to Section 7(h); and (6) Any gains or losses required to be taken into account in accordance with Section 1256(a)(1) of the Code shall be considered a realized profit or loss for purposes of this Section 7(c).

Allocation of Profit and Loss for Federal Income Tax Purposes. As (i) Each Series’ income and expense and capital gain or loss from its investment and trading operations shall be allocated among the Members pursuant to the following subparagraphs for federal income tax purposes. Allocations shall be pro rata from (i) short-term gain or loss, (ii) long-term capital gain or loss and (iii) operating income or loss realized and recognized by such Series. If a Series has issued Interests in multiple classes or series, allocations shall be made separately with respect to each such class or series of Interests and the end Members holding Interests of each fiscal yearsuch class or series. (1) Items of income gain, the Trust’s profits or losses loss, deduction and expense shall be allocated pro rata among the Unitholders for net short-term Members based on their respective capital gain accounts as of the last day of each month or lossof the fiscal year, net long-term capital gain or lossas the case may be, in which such items accrue, after taking into account the allocation of Management Fees, Support Services Fees and net operating income or loss realized by the Trust as follows: Servicing Fees (1if any) Net realized profits shall be allocated attributable to each Unitholder who has redeemed Units during the year to the extent that the amount the Unitholder received on redemption exceeds the amount paid for the redeemed Units;such Member. (2) Net realized profits remaining after the allocation in Section 7(c)(1) shall be allocated among all Unitholders in the ratio that each Unitholder’s capital account bears to all Unitholders’ capital accounts; (3) Net realized Any gain or loss shall be allocated first to each Unitholder who has redeemed Units during the year to the extent that the amount the Unitholder paid for the redeemed Units (as defined in Section 7(c)(5)) exceeds the amount the Unitholder received on redemption; (4) Net realized loss remaining after the allocation in Section 7(c)(3) shall be allocated among all Unitholders in the ratio that each Unitholder’s capital account bears to all Unitholders’ capital accounts; (5) For the purpose of the allocations of realized profits and losses in Sections 7(c)(1) and 7(c)(3), the amount each Unitholder paid for each of its Units shall be deemed to have increased by the amount of realized profit allocated to it for such year and all prior years with respect to such Unit pursuant to Section 7(c)(2); decreased by the amount of any loss allocated to him for such year and all prior years with respect to such Unit pursuant to Section 7(c)(4); and decreased by the amount of any distributions to it for such year and all prior years with respect to such Unit pursuant to Section 7(h); and (6) Any gains or losses required to be taken into account in accordance with Section 1256(a)(1) 1256 of the Code shall be considered a realized profit gain or loss for purposes of this Section 7(c). (3) In the event that an Interest has been assigned, the allocations prescribed by this Section 7(c) shall be made with respect to such Interest without regard to the assignment, except that in the year of assignment the allocations prescribed by this Section 7(c) shall be divided between the assignor and the assignee based on the number of months each held the assigned Interest. (4) The allocations set forth in this Section 7(c) are intended to allocate taxable profit and loss among Members generally in the ratio and to the extent that net profit and net loss are allocated under Section 7(b) so as to eliminate, to the extent possible, any disparity between a Member’s capital account and his tax basis account with respect to each Interest then outstanding, consistent with the principles set forth in Section 704(b) of the Code and the Treasury Regulations promulgated thereunder. (5) Notwithstanding anything herein to the contrary, in the event that at the end of any taxable year, any Member’s tax basis is adjusted for, or such Member is allocated, or there is distributed to such Member, any item described in Treasury Regulation Section 1.704-(b)(2)(ii)(d)(4), (5) or (6) in an amount not reasonably expected at the end of such year, and such treatment creates a deficit balance in such Member’s tax basis, then such Member shall be allocated all items of income and gain of a Series for such year and for all subsequent taxable years of such Series until such deficit balance has been eliminated. In the event that any such unexpected adjustments, allocations or distributions create a deficit balance in the tax basis accounts of more than one Member in any taxable year, all items of income and gain of a Series for such taxable year and all subsequent taxable years shall be allocated among all such Members in proportion to their respective deficit balances until such deficit balances have been eliminated. Upon the dissolution and termination of a Series, the Managing Member must contribute to a Series an amount equal to any deficit balance in its tax basis account. This paragraph is intended to constitute a “qualified income offset” within the meaning of Treasury Regulation Section 1.704-1(b)(2)(ii)(d) and shall be interpreted in a manner consistent therewith. Under no circumstances shall any Member be obligated to a Series to restore any deficit balance in his tax basis account.

Allocation of Profit and Loss for Federal Income Tax Purposes. As of At the end of each fiscal taxable year, the Trust’s profits each item of Partnership taxable income, gain, loss, deduction, or losses shall credit will be allocated pro rata among the Unitholders for net short-term capital gain or loss, net long-term capital gain or loss, and net operating income or loss realized by Partners in accordance with the Trust as followsfollowing provisions: (1) Net realized profits Capital gain shall be allocated first to each Unitholder Partner who has redeemed Units (General Partnership Units in the case of the General Partner) during the year to the extent that the amount the Unitholder Partner received on redemption exceeds the amount paid for the redeemed UnitsUnits (as set forth in subparagraph (5)); (2) Net realized profits Capital gain remaining after the allocation in Section 7(c)(1subparagraph (1) shall be allocated among all Unitholders Partners in the ratio that each UnitholderPartner’s capital account bears to all Unitholders’ Partner’s capital accounts; (3) Net realized loss Capital losses shall be allocated first to each Unitholder Partner who has redeemed Units (General Partnership Units in the case of the General Partner) during the year to the extent that the amount the Unitholder Partner paid for the redeemed Units (as defined set forth in Section 7(c)(5subparagraph (5)) exceeds the amount the Unitholder Partner received on redemption; (4) Net realized loss Capital losses remaining after the allocation in Section 7(c)(3subparagraph (3) shall be allocated among all Unitholders Partners in the ratio that each UnitholderPartner’s capital account bears to all UnitholdersPartners’ capital accounts; (5) For the purpose of the allocations of realized profits capital gain and losses loss in Sections 7(c)(1subparagraphs (1) and 7(c)(3(3), the amount each Unitholder Partner paid for each of its his Units shall be deemed to have increased by the amount of realized profit capital gain allocated to it for such year and all prior years him with respect to such Unit pursuant to Section 7(c)(2subparagraph (2) or ordinary income pursuant to subparagraph (6); decreased by the amount of any capital loss allocated to him for such year and all prior years with respect to such Unit pursuant to Section 7(c)(4subparagraph (4) or ordinary expense pursuant to subparagraph (6); and decreased by the amount of any distributions to it for such year and all prior years him with respect to such Unit pursuant to Section 7(h); andArticle 7.8; (6) Any gains Items of ordinary income and expense will be allocated pro rata among the Partners based upon their respective capital accounts as of the end of each month in which the items of ordinary income or losses expense accrue; provided that any performance fee paid to the General Partner shall be allocated among the Units outstanding at any time during the fiscal year based upon the ratio that each such Unit’s net performance fee (the excess, if any, of the aggregate of all performance fees allocated to the capital account relating to such Unit over the aggregate of all reversals of performance fees allocated to such Unit) bears to the net performance fee of all Units; (7) Notwithstanding subparagraphs (4) and (6), if the allocation of such loss would cause a Limited Partner to have a capital account deficit, then such loss shall be allocated to the General Partner, according to its capital account, to the extent of such losses; (8) For purposes of this Paragraph 7.3, “capital gain” and “capital loss” shall mean gain or loss characterized as gain or loss from the sale or exchange of a capital asset by the Internal Revenue Code of 1986, as amended (the “Code”), including but not limited to gain or loss required to be taken into account in accordance with pursuant to Section 1256(a)(1) 1256 thereof and any income, gain or loss determined under Section 988 of the Code shall be considered a realized profit or loss for purposes of this Section 7(c).Code; and

Allocation of Profit and Loss for Federal Income Tax Purposes. As of At the end of each fiscal taxable year, the Trust’s profits each item of Partnership taxable income, gain, loss, deduction, or losses shall credit will be allocated pro rata among the Unitholders for net short-term capital gain or loss, net long-term capital gain or loss, and net operating income or loss realized by Partners in accordance with the Trust as followsfollowing provisions: (1) Net realized profits Capital gain shall be allocated first to each Unitholder Partner who has redeemed Units (Units of General Partnership Interest in the case of the General Partner) during the year to the extent that the amount the Unitholder Partner received on redemption exceeds the amount paid for the redeemed UnitsUnits (as set forth in subparagraph (5)); (2) Net realized profits Capital gain remaining after the allocation in Section 7(c)(1subparagraph (1) shall be allocated among all Unitholders Partners in the ratio that each UnitholderPartner’s capital account bears to all Unitholders’ Partner’s capital accounts; (3) Net realized loss Capital losses shall be allocated first to each Unitholder Partner who has redeemed Units (Units of General Partnership Interest in the case of the General Partner) during the year to the extent that the amount the Unitholder Partner paid for the redeemed Units (as defined set forth in Section 7(c)(5subparagraph (5)) exceeds the amount the Unitholder Partner received on redemption; (4) Net realized loss Capital losses remaining after the allocation in Section 7(c)(3subparagraph (3) shall be allocated among all Unitholders Partners in the ratio that each UnitholderPartner’s capital account bears to all UnitholdersPartners’ capital accounts; (5) For the purpose of the allocations of realized profits capital gain and losses loss in Sections 7(c)(1subparagraphs (1) and 7(c)(3(3), the amount each Unitholder Partner paid for each of its his Units shall be deemed to have increased by the amount of realized profit capital gain allocated to it for such year and all prior years him with respect to such Unit pursuant to Section 7(c)(2subparagraph (2) or ordinary income pursuant to subparagraph (6); decreased by the amount of any capital loss allocated to him for such year and all prior years with respect to such Unit pursuant to Section 7(c)(4subparagraph (4) or ordinary expense pursuant to subparagraph (6); and decreased by the amount of any distributions to it for such year and all prior years him with respect to such Unit pursuant to Section 7(h); andArticle 7.8; (6) Any gains Items of ordinary income and expense will be allocated pro rata among the Partners based upon their respective capital accounts as of the end of each month in which the items of ordinary income or losses expense accrue; provided that any performance fee paid to the General Partner shall be allocated among the Units outstanding at any time during the fiscal year based upon the ratio that each such Unit’s net performance fee (the excess, if any, of the aggregate of all performance fees allocated to the capital account relating to such Unit over the aggregate of all reversals of performance fees allocated to such Unit) bears to the net performance fee of all Units; (7) Notwithstanding subparagraphs (4) and (6), if the allocation of such loss would cause a Limited Partner to have a capital account deficit, then such loss shall be allocated to the General Partner, according to its capital account, to the extent of such losses; (8) For purposes of this Paragraph 7.3, “capital gain” and “capital loss” shall mean gain or loss characterized as gain or loss from the sale or exchange of a capital asset by the Internal Revenue Code of 1986, as amended (the “Code”), including but not limited to gain or loss required to be taken into account in accordance with pursuant to Section 1256(a)(1) 1256 thereof and any income, gain or loss determined under Section 988 of the Code shall be considered a realized profit or loss for purposes of this Section 7(c).Code; and

Allocation of Profit and Loss for Federal Income Tax Purposes. As (i) Each Series’ income and expense and capital gain or loss from its investment and trading operations shall be allocated among the Members pursuant to the following subparagraphs for federal income tax purposes. Allocations shall be pro rata from (i) short-term gain or loss, (ii) long-term capital gain or loss and (iii) operating income or loss realized and recognized by such Series. (1) Items of the end of each fiscal yearincome gain, the Trust’s profits or losses loss, deduction and expense shall be allocated pro rata among the Unitholders for net short-term Members based on their respective capital gain accounts as of the last day of each month or lossof the fiscal year, net long-term capital gain or lossas the case may be, in which such items accrue, after taking into account the allocation of Management Fees and net operating income or loss realized by the Trust as follows: Servicing Fees (1if any) Net realized profits shall be allocated attributable to each Unitholder who has redeemed Units during the year to the extent that the amount the Unitholder received on redemption exceeds the amount paid for the redeemed Units;such Member. (2) Net realized profits remaining after the allocation in Section 7(c)(1) shall be allocated among all Unitholders in the ratio that each Unitholder’s capital account bears to all Unitholders’ capital accounts; (3) Net realized Any gain or loss shall be allocated first to each Unitholder who has redeemed Units during the year to the extent that the amount the Unitholder paid for the redeemed Units (as defined in Section 7(c)(5)) exceeds the amount the Unitholder received on redemption; (4) Net realized loss remaining after the allocation in Section 7(c)(3) shall be allocated among all Unitholders in the ratio that each Unitholder’s capital account bears to all Unitholders’ capital accounts; (5) For the purpose of the allocations of realized profits and losses in Sections 7(c)(1) and 7(c)(3), the amount each Unitholder paid for each of its Units shall be deemed to have increased by the amount of realized profit allocated to it for such year and all prior years with respect to such Unit pursuant to Section 7(c)(2); decreased by the amount of any loss allocated to him for such year and all prior years with respect to such Unit pursuant to Section 7(c)(4); and decreased by the amount of any distributions to it for such year and all prior years with respect to such Unit pursuant to Section 7(h); and (6) Any gains or losses required to be taken into account in accordance with Section 1256(a)(1) 1256 of the Code shall be considered a realized profit gain or loss for purposes of this Section 7(c). (3) In the event that an Interest has been assigned, the allocations prescribed by this Section 7(c) shall be made with respect to such Interest without regard to the assignment, except that in the year of assignment the allocations prescribed by this Section 7(c) shall be divided between the assignor and the assignee based on the number of months each held the assigned Interest. (4) The allocations set forth in this Section 7(c) are intended to allocate taxable profit and loss among Members generally in the ratio and to the extent that net profit and net loss are allocated under Section 7(b) so as to eliminate, to the extent possible, any disparity between a Member’s capital account and his tax basis account with respect to each Interest then outstanding, consistent with the principles set forth in Section 704(b) of the Code and the Treasury Regulations promulgated thereunder. (5) Notwithstanding anything herein to the contrary, in the event that at the end of any taxable year, any Member’s tax basis is adjusted for, or such Member is allocated, or there is distributed to such Member, any item described in Treasury Regulation Section 1.704-(b)(2)(ii)(d)(4), (5) or (6) in an amount not reasonably expected at the end of such year, and such treatment creates a deficit balance in such Member’s tax basis, then such Member shall be allocated all items of income and gain of a Series for such year and for all subsequent taxable years of such Series until such deficit balance has been eliminated. In the event that any such unexpected adjustments, allocations or distributions create a deficit balance in the tax basis accounts of more than one Member in any taxable year, all items of income and gain of a Series for such taxable year and all subsequent taxable years shall be allocated among all such Members in proportion to their respective deficit balances until such deficit balances have been eliminated. Upon the dissolution and termination of a Series, the Managing Member must contribute to a Series an amount equal to any deficit balance in its tax basis account. This paragraph is intended to constitute a “qualified income offset” within the meaning of Treasury Regulation Section 1.704-1(b)(2)(ii)(d) and shall be interpreted in a manner consistent therewith. Under no circumstances shall any Member be obligated to a Series to restore any deficit balance in his tax basis account.