AMENDMENT TO THE ADVISORY AGREEMENT

 

This AMENDMENT dated as of March 1, 2012 to the ADVISORY AGREEMENT made as of the 30th day of April, 2007, among CERES MANAGED FUTURES LLC (formerly Demeter Management Corporation), a Delaware limited liability company (the “Trading Manager”), MORGAN STANLEY SMITH BARNEY KAISER I, LLC (formerly Morgan Stanley Managed Futures Kaiser I, LLC), a Delaware limited liability company (the “Trading Company”) and KAISER TRADING GROUP PTY. LTD., a private company organized under the laws of Australia (the “Trading Advisor”).

 

W I T N E S S E T H:

 

WHEREAS, the Trading Manager, the Trading Company and the Trading Advisor wish to amend the Advisory Agreement dated as of April 30, 2007 to reflect certain changes in the futures interests traded by the Trading Advisor.

 

NOW, therefore, the parties agree as follows:

 

1. The first sentence of Section 5(a)(i) shall be deleted and replaced by the following:

 

The Trading Company shall pay the Trading Advisor a monthly management fee equal to 1/12 of 1.5% (a 1.5% annual rate) of the Net Assets (as defined in Section 5(c) hereof) as of the first day of each month (the “Management Fee”).

 

2. Exhibit C to the Agreement shall be deleted and replaced by the following:

 

Market Exchange

Treasury Notes (5 Year) CBOT

Treasury Notes (10 Year) CBOT

BOBL EUREX

Bunds EUREX

Long Gilt LIFFE

Treasury Bonds (30 Year) CBOT

Japanese Govt Bonds (10 Year) TSE

Energies

Crude Oil NYMEX & ACCESS

Natural Gas NYMEX

Heating OilNYMEX

Foreign Exchange (Cash)

USD/AUD N/A - OTC

USD/GBP N/A - OTC

EUR/USD N/A - OTC

USD/CAD N/A - OTC

USD/JPY N/A - OTC

USD/CHF N/A – OTC

NZD/USDN/A – OTC

USD/MXNN/A – OTC

USD/ZARN/A - OTC

Share Indexes

Hang Seng HKFE

FTSE 100 LIFFE

Dax EUREX

CAC 40 Index EURONEXT

Nikkei 225 Index (Osaka) OSE

E-Mini Nasdaq CME

DJ Euro 50 Index EUREX

E-Mini S&P CME

Mini Dow Jones (Day) CBOT

Amsterdam Index AEXEOE

Soft & Agricultural Commodities

Wheat CBOT & ACCESS

Corn CBOT & ACCESS

Soybeans CBOT

CoffeeICE-NYBOT

CottonICE-NYBOT

Soybean MealCBOT

Soybean OilCBOT

SugarICE-NYBOT

Lean HogsCME

Live CattleCME

Metals

GoldCOMEX

CopperCOMEX

 

3. In all other respects the Advisory Agreement remains unchanged and of full force and effect.

IN WITNESS WHEREOF, this Amendment has been executed for and on behalf of the undersigned as of the day and year first above written.

 

CERES MANAGED FUTURES LLC

By                                                                        

Walter Davis

President

MORGAN STANLEY SMITH BARNEY KAISER I, LLC 

By:  Ceres Managed Futures LLC

(Trading Manager)

By                                                                        

Walter Davis

President

KAISER TRADING GROUP PTY. LTD.

By                                                                           

Karl O’Shaughnessy

Director