Derivatives and Hedging

12 Months Ended

Dec. 31, 2012

Derivatives and Hedging [Abstract]

Derivatives and Hedging

6.  Derivatives and Hedging

The Partnerships' objective is to profit from speculative trading in Futures Interests. Therefore, the Trading Advisor for each Partnership will take speculative positions in Futures Interests where it feels the best profit opportunities exist for its trading strategy. As such, the average number of contracts outstanding in absolute quantity (the total of the open long and open short positions) has been presented as a part of the volume disclosure, as position direction is not an indicative factor in such volume disclosures. With regard to foreign currency forward trades, each notional quantity amount has been converted to an equivalent contract based upon an industry convention.

The following tables summarize the valuation of each Partnership's investments as of December 31, 2012 and 2011.

Charter Campbell

The Effect of Trading Activities on the Statements of Financial Condition as of December 31, 2012 and 2011:

December 31, 2012

Futures and Forward Contracts	Long Unrealized Gain		Long Unrealized Loss			Short Unrealized Gain		Short Unrealized Loss			Net Unrealized Gain/(Loss)			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
	$		$			$		$			$
Commodity		101,521		(62,923	)		147,045		(47,790	)		137,853			531
Equity		378,456		(157,913	)		–		(12,055	)		208,488			464
Foreign currency		142,465		(206,669	)		1,037,514		(68,152	)		905,158			4,815
Interest rate		172,068		(66,131	)		115		(73,372	)		32,680			2,003
Total		794,510		(493,636	)		1,184,674		(201,369	)		1,284,179
Unrealized currency loss												(2,389,680	)
Total net unrealized loss on open contracts												(1,105,501	)

December 31, 2011

Futures and Forward Contracts	Long Unrealized Gain		Long Unrealized Loss			Short Unrealized Gain		Short Unrealized Loss			Net Unrealized Gain/(Loss)			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
	$		$			$		$			$
Commodity		27,760		(35,100	)		554,382		(553,530	)		(6,488	)		530
Equity		153,472		(2,078	)		75,465		(5,440	)		221,419			383
Foreign currency		183,838		(32,663	)		1,202,671		(23,414	)		1,330,432			7,864
Interest rate		1,031,489		(86,417	)		13,978		(21,713	)		937,337			2,111
Total		1,396,559		(156,258	)		1,846,496		(604,097	)		2,482,700
Unrealized currency loss												(2,392,751	)
Total net unrealized gain on open contracts												89,949

			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
Option Contracts at Fair Value
	$
Options purchased		–		2
Options written		–		1

Charter Aspect

The Effect of Trading Activities on the Statements of Financial Condition as of December 31, 2012 and 2011:

December 31, 2012

Futures and Forward Contracts	Long Unrealized Gain		Long Unrealized Loss			Short Unrealized Gain		Short Unrealized Loss			Net Unrealized Gain/(Loss)			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
	$		$			$		$			$
Commodity		146,738		(309,360	)		497,636		(366,534	)		(31,520	)		858
Equity		731,889		(35,125	)		–		(7,075	)		689,689			592
Foreign currency		215,614		(357,045	)		448,109		(187,096	)		119,582			936
Interest rate		410,678		(367,000	)		1,320		(8,248	)		36,750			2,731
Total		1,504,919		(1,068,530	)		947,065		(568,953	)		814,501
Unrealized currency gain												802,973
Total net unrealized gain on open contracts												1,617,474

December 31, 2011

Futures and Forward Contracts	Long Unrealized Gain		Long Unrealized Loss			Short Unrealized Gain		Short Unrealized Loss			Net Unrealized Gain		Average Number of Contracts Outstanding for the Year (Absolute Quantity)
	$		$			$		$			$
Commodity		85,884		(342,624	)		976,621		(401,199	)		318,682		673
Equity		59,202		(15,408	)		183,235		(23,702	)		203,327		407
Foreign currency		59,707		(3,322	)		175,112		(141,973	)		89,524		974
Interest rate		1,708,363		(185,840	)		–		(6,585	)		1,515,938		3,152
Total		1,913,156		(547,194	)		1,334,968		(573,459	)		2,127,471
Unrealized currency gain												848,606
Total net unrealized gain on open contracts												2,976,077

Charter WNT

The Effect of Trading Activities on the Statements of Financial Condition as of December 31, 2012 and 2011:

December 31, 2012

Futures and Forward Contracts	Long Unrealized Gain		Long Unrealized Loss			Short Unrealized Gain		Short Unrealized Loss			Net Unrealized Gain/(Loss)			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
			$			$		$			$
Commodity		31,952		(333,393	)		76,513		(259,084	)		(484,012	)		523
Equity		428,624		(226,638	)		–		(1,063	)		200,923			445
Foreign currency		260,280		(213,183	)		821,252		(41,892	)		826,457			736
Interest rate		359,182		(166,099	)		100		(5,648	)		187,535			2,409
Total		1,080,038		(939,313	)		897,865		(307,687	)		730,903
Unrealized currency loss												(43,191	)
Total net unrealized gain on open contracts												687,712

			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
Option Contracts at Fair Value
	$
Options purchased		–		7
Options written		–		7

December 31, 2011

Futures and Forward Contracts	Long Unrealized Gain		Long Unrealized Loss			Short Unrealized Gain		Short Unrealized Loss			Net Unrealized Gain/(Loss)			Average Number of Contracts Outstanding for the Year (Absolute Quantity)
	$		$			$		$			$
Commodity		53,417		(311,649	)		393,065		(290,803	)		(155,970	)		382
Equity		66,968		(853	)		24,716		(23,666	)		67,165			221
Foreign currency		207,275		(4,171	)		595,829		(37,164	)		761,769			405
Interest rate		908,073		(52,740	)		4,925		(6,788	)		853,470			1,128
Total		1,235,733		(369,413	)		1,018,535		(358,421	)		1,526,434
Unrealized currency loss												(49,877	)
Total net unrealized gain on open contracts												1,476,557

				Average Number of Contracts Outstanding for the Year (Absolute Quantity)
Option Contracts at Fair Value
	$
Options purchased		1,720			6
Options written		(3,973	)		6

The following tables summarize the net trading results of each Partnership for the years ended December 31, 2012, 2011, and 2010, respectively.

Charter Campbell

The Effect of Trading Activities on the Statements of Income and Expenses for the years ended December 31, 2012, 2011, and 2010, included in Total Trading Results:

	December 31,
	2012			2011			2010
Type of Instrument	$			$			$
Commodity		(78,186	)		(4,324,493	)		2,623,618
Equity		1,698,887			(5,133,663	)		(2,142,624	)
Foreign currency		588,805			(2,468,048	)		2,490,889
Interest rate		2,058,201			12,229,439			9,927,453
Unrealized currency gain (loss)		3,072			(24,198	)		(74,383	)
Proceeds from Litigation		–			80			6,177
Total		4,270,779			279,117			12,831,130

Line Items on the Statements of Income and Expenses for the years ended December 31, 2012, 2011, and 2010:

	December 31,
	2012			2011			2010
Trading Results	$			$			$
Net realized		5,466,229			320,492			9,247,401
Net change in unrealized		(1,195,450	)		(41,455	)		3,577,552
Proceeds from Litigation		–			80			6,177
Total Trading Results		4,270,779			279,117			12,831,130

Charter Aspect

The Effect of Trading Activities on the Statements of Income and Expenses for the years ended December 31, 2012, 2011, and 2010, included in Total Trading Results:

	December 31,
	2012			2011			2010
Type of Instrument	$			$			$
Commodity		(4,929,264	)		(2,318,060	)		1,170,080
Equity		(2,163,493	)		(2,222,271	)		(2,549,288	)
Foreign currency		(1,694,971	)		(280,415	)		4,924,389
Interest rate		3,085,699			13,845,290			15,903,498
Unrealized currency gain (loss)		(45,631	)		139,004			67,332
Proceeds from Litigation		–			–			40,052
Total		(5,747,660	)		9,163,548			19,556,063

Line Items on the Statements of Income and Expenses for the years ended December 31, 2012, 2011, and 2010:

	December 31,
	2012			2011			2010
Trading Results	$			$			$
Net realized		(4,389,057	)		12,254,509			13,688,766
Net change in unrealized		(1,358,603	)		(3,090,961	)		5,827,245
Proceeds from Litigation		–			–			40,052
Total Trading Results		(5,747,660	)		9,163,548			19,556,063

Charter WNT

The Effect of Trading Activities on the Statements of Income and Expenses for the years ended December 31, 2012, 2011, and 2010, included in Total Trading Results:

	December 31,
	2012			2011			2010
Type of Instrument	$			$			$
Commodity		(4,329,868	)		1,377,994			2,629,176
Equity		465,473			(1,384,478	)		(745,185	)
Foreign currency		(2,691,759	)		167,453			3,756,154
Interest rate		4,629,105			6,968,653			8,508,553
Unrealized currency gain (loss)		6,686			(37,121	)		1,756
Proceeds from Litigation		–			–			40,150
Total		(1,920,363	)		7,092,501			14,190,604

Line Items on the Statements of Income and Expenses for the years ended December 31, 2012, 2011, and 2010:

	December 31,
	2012			2011			2010
Trading Results	$			$			$
Net realized		(1,128,261	)		8,058,605			12,177,274
Net change in unrealized		(792,102	)		(966,104	)		1,973,180
Proceeds from Litigation		–			–			40,150
Total Trading Results		(1,920,363	)		7,092,501			14,190,604