MADL 10-K & 10-Q changes, risk factors and insider trading

Tariffs and “Trade Wars”. The imposition of substantial tariffs by the United States on other nations, along with retaliatory measures by such other nations, has created a period of increased economic volatility. The future of the trading relationships between the United States and such other nations is uncertain, and the failure of those countries to resolve their current disputes could have materially adverse effects on the global economy. This, and/or future downturns in the global economy, significant introductions of barriers to trade or even bilateral trade frictions between the United States and its trading partners or countries representing key export markets could adversely affect the financial performance of the Partnership.

General Economic and Market Conditions. The success of the Partnership’s activities will be affected by general economic and market conditions, such as interest rates, availability of credit, inflation rates, economic uncertainty, market disruptions and recessionary concerns. These factors may affect the level and volatility of the prices and liquidity of the Partnership’s investments. Volatility or illiquidity could impair the Partnership’s profitability or result in losses. The Partnership may maintain substantial trading positions that can be adversely affected by the level of volatility in the financial markets; the larger the positions, the greater the potential for loss. It is important to understand that the Partnership can incur material losses even if it reacts quickly to difficult market conditions and there can be no assurance that the Partnership will not suffer material adverse effects from broad and rapid changes in market conditions.

Partner’s capital decreased $ 13,578,923 for the year ended December 31, 2025. This decrease was attributable to subscriptions in the amount of $ 62,121, redemptions in the amount of $ 15,576,466 and net gain from operations of $ 1,935,422.

For the year ended December 31, 2025, the Partnership accrued or paid total expenses of $ 3,655,083, including $ 627,335 in servicing fees, $ 1,876,839 in General Partner administrative fees and Trading Advisor management fees, and $ 1,150,909 in other expenses. Interest of $ 2,399,641 was earned or accrued on the Partnership’s share of the Trading Company’s cash and cash equivalents and broker balances.

The Net Asset Value of a Class A-1 Unit increased by $ 265.17 to $ 5,134.05. The Net Asset Value of a Class B-1 Unit increased by $ 265.16 to $ 5,133.83. The Net Asset Value of Class A-2 Unit increased by $ 401.96 to $ 6,333.74.

In January, the Partnership’s equities trading was positive. A long position in the FTSE Taiwan Index caused minor losses on the month overall, but there were significant gains from long positions in European indices such as Germany’s DAX Index and FTSE Italia All Share Index. In February, the Partnership’s equities trading was positive. Trading in risk assets finished the month in the black, but there was considerable dispersion. Technology stocks experienced another month of volatility, leading to losses from the Partnership’s longs in both the S&P 500 and Nasdaq 100 indices. Europe’s equities proved far more resilient, where the Partnership’s long position in the FTSE Italia All-Share Index performed positively. In March, the Partnership’s equities trading was negative. The Partnership’s equity positions, many of which had transitioned from long to short by the end of the month, posted losses. Within indices, the worst performers were Sweden’s OMX Stockholm 30 and India’s Nifty, while long positions in South Africa’s All Share and the Hang Seng generated offsetting gains. In April, the Partnership’s equities trading was negative. The Partnership’s positions in the Swiss Market Index and the Hang Seng indices produced losses, while a short position in the Russell 2000 Index generated a small offsetting gain. In May, the Partnership’s equities trading was positive. In a similar vein to earlier in the year, longs across Europe led gains, notably in FTSE Italia and DAX indices. In June, the Partnership’s equities trading was positive. June saw risk assets advance with both the S&P 500 and Korean KOPSI indices hitting all-time highs leading to gains in long Korean KOPSI. Gains in stocks were led by long KOPSI. The Partnership’s long positions in MSCI EM and U.S. indices extended gains. In July, the Partnership’s equities trading was positive. Long exposure to stock indices generated gains. Positions in the FTSE and Asian indices led contributions, boosted by U.S. indices amid major trade announcements. Decreases in a long position in the Euro STOXX index coincided with investors uncertain on the value of the U.S.-European trade deal. In August, the Partnership’s equities trading was positive. Gains were geographically diversified, led by long positions in the FTSE China A50 and Canada’s S&P/TSX 60 indices. Positions in the S&P/ASX 200 and TOPIX indices also generated gains. In September, the Partnership’s equities trading was positive. Equities drove performance as broad-based long positioning benefited the Partnership. A long position in the MSCI Emerging Markets index led the way, closely followed by Asia-Pacific indices. Positions in the Korean KOPSI, FTSE Taiwan and Hang Seng indices generated gains. In October, equities trading was positive, driven by long positioning in the Asia-Pacific markets. The top performer was a long KOSPI position, coinciding with the index hitting record highs to become the best-performing global equity benchmark year-to-date. Long Nikkei and FTSE Taiwan indices positions also added. In November, equities trading was negative amid intra-month volatility. Long Nasdaq and Nikkei positions led declines. Long positions in the Swiss Market Index and S&P/TSX 60 Index provided small offsetting gains. In December, a broad-based long position across global equity markets generated gains, particularly in European and Asian-Pacific regions. Long Swiss Market Index and Swedish OMX Stockholm 30 indices led gains in Europe, while long KOSPI and FTSE Taiwan indices positions drove gains in Asia-Pacific. Gains more than offset minor losses from a long position in the Nasdaq Index.

In January, the Partnership’s credit trading was positive. The Partnership’s gains were made primarily in European investment-grade and high-yield indices. In February, the Partnership’s credit trading was positive. The Partnership had a loss from a long credit position in U.S. high yield which was more than offset by a gain from similar positioning in European high yield. In March, the Partnership’s credit trading was negative. In April, the Partnership’s credit trading was also negative. Long credit positions generated losses. In May, the Partnership’s credit trading turned positive. The Partnership’s net long positioning was profitable. In June, the Partnership’s credit trading was positive. Gains were compounded by high yield credit exposure in both the U.S. and Europe. In August, the Partnership’s credit trading was muted, as marginal gains from long U.S. credit risk were largely offset by European exposure. In October, credit trading was flat. In November, credit trading was marginally positive, with short (long credit risk) positions in European and U.S. investment grade and high yield credit default swap indices adding small gains. In December, long credit risk (short credit default swap) exposure in European high-yield and investment grade credit default swap indices generated gains.

In January, the Partnership’s commodities trading was positive. Within commodities, agricultural were profitable while returns from trading metals and energies were more muted. The Partnership’s long positions in coffee and live cattle were profitable. Within metals, gains from long gold positions were offset by losses trading copper. Energies trading was also flat overall, with profits from long positions in European Union Allowance Carbon Emissions offset by losses from trading crude oil. In February, the Partnership experienced losses across all three commodity sub-sectors. The Partnership’s long position in cocoa fell amid softening prices, reversing recent trends. The Partnership’s long positions in U.S. natural gas generated gains, but its metals trading generated losses, mainly resulting from longs in platinum and silver. In March, the Partnership’s commodities trading was positive, driven by metals where gold had its largest quarterly rise since 1986 and a long silver position was also a top performer for the Partnership. Comparatively, the Partnership experienced some losses as oil prices continued to fluctuate, though a long U.S. natural gas was also a top performer for the Partnership. Long positions in live and feeder cattle, however, helped generate gains for the Partnership’s agricultural trading, coinciding with new price highs. In April, the Partnership’s commodities trading was negative. Within commodities, the main driver of negative performance was in metals, but there was dispersion. A long gold position was profitable. A long silver position on the other hand, was unprofitable. Within energies, U.S. natural gas generated a loss, and in agricultural, profits from trading wheat were offset by losses from soybeans. In May, the Partnership’s commodities trading was negative. Commodities trading proved challenging as all sleeves ended in the red, and energies led losses. Long coffee drove agricultural to losses. Gains from longs in livestock were only able to partially offset. Metals compounded losses, with long precious the primary detractors. In June, the Partnership’s commodities trading was positive. Commodities were mixed, with gains from agricultural and metals trading offsetting losses from energies. Shorts in sugar and corn proved profitable, with sugar prices falling. Long platinum and silver pushed metals into the black but were countered by losses from long exposure across the oil complex. In July, the Partnership’s commodities trading was positive, as gains in energies and agricultural outweighed metal losses. In energies, a short U.S. natural gas position and long positions across the oil complex were profitable. Long cattle positions gained as prices rose amid sustained demand and reduced supply. The primary detractor was a long copper position, during a period when copper was excluded from tariffs and the price premium on U.S. futures decreased. In August, the Partnership’s commodities trading was positive. Commodities were bifurcated, with gains from metals and agricultural offsetting losses in energies. Long exposure across the precious metals complex gained, led by silver and gold. In agricultural, gains from long cattle contracts were offset by coffee, where the Partnership changed its positioning from short to long. In energies, gains from short U.S. natural gas positions were offset by longs across the oil complex. In September, the Partnership’s commodities trading was positive. Gains were driven by metals, primarily long precious metals exposure, amid U.S. rate cut expectations, a potential government shutdown, and geopolitical tensions. In commodities, gold led the performance charts. Trading in agricultural also proved accretive, led by a short position in wheat. Gains were partially offset, however, by detractors in energies, namely a short European energy position. In October, commodity performance was mixed, as profits from precious metals were offset by losses in energies and agricultural. A long gold position led gains. In energies, a short U.S. natural gas position declined as prices increased. In agricultural, short soymeal and wheat positions drove losses, which were partially offset by a short sugar position. In November commodities, metals and energies trading added to gains, with agricultural trading mostly flat. In metals, long positions across the precious complex drove profits. In energies, long European carbon emissions and short Dutch and United Kingdom natural gas led gains. Agricultural were muted as a profitable short cocoa position was offset by a short sugar position. In December, commodities gained as profits from metals trading offset losses from agricultural and energies. Long precious metals exposure drove gains, with platinum and silver leading the way, and copper further adding gains. Trading in long coffee and short U.S. natural gas positions proved challenging.

In January, the Partnership’s currencies trading was negative. A long U.S. dollar position stumbled mid-month amid underlying tariff uncertainties, and crosses against the Brazilian real and Japanese yen were the worst affected. A long U.S. dollar position against the Canadian dollar, however, benefited the Partnership over the course of the month. In February, the Partnership’s currencies trading was negative. The Partnership experienced losses in currency pairs such as the Swedish krona and Chilean peso, but the greatest loss was seen for the Japanese yen, which rose against the U.S. dollar, coinciding with strong economic data. However, the Partnership generated a gain from a short position in the New Taiwanese dollar. In March, the Partnership’s FX trading was negative. The Partnership’s short positions against the U.S. dollar, such as the Indian rupee and Swiss franc, experienced losses, while offsetting gains were seen in the Partnership’s positions in the Polish zloty and Brazilian real that were long or moved to long against the U.S. dollar early in the month. In April, the Partnership’s currencies trading was negative. The U.S. dollar trade-weighted index fell. Emerging market currencies fell relative to the U.S. dollar. Losses were incurred in the South African rand and Brazilian real. U.S. dollar positions against the Swedish krona and Indian rupee generated small offsetting gains. In May, the Partnership’s FX trading was negative. In June, the Partnership’s FX trading was positive. The Partnership’s broad-based short U.S. dollar exposure contributed to gains as well as a host of Latin American-U.S. dollar crosses, in particular the Brazilian Real and Mexican Peso against the U.S. dollar. Long Euro further added, along with gains from other emerging market and developed market U.S. dollar crosses. In July, the Partnership’s FX trading was negative. A broad-based short U.S. dollar position generated losses. As the U.S. dollar strengthened against most developed and emerging market currencies, long positions in the Great British pound, the Singapore dollar, and the Euro led declines, compounded by losses in Latin American-U.S. dollar crosses. A short Japanese yen position, however, generated gains. In September, the Partnership’s FX trading was positive. The Partnership’s short positioning against the U.S. dollar was beneficial, particularly in Latin American-U.S. dollar crosses. Amid policy uncertainty, long positions in the Brazilian real and Mexican peso led gains. Short exposure to the Indian rupee and Japanese yen against the dollar further added to gains. In October, FX trading was positive and benefited from exposure to Asian-Pacific regions, notably a short position in the Japanese yen versus the U.S. dollar. A short position in the New Taiwan dollar further contributed; however, these gains were partially offset by long positions in the Mexican dollar and Norwegian krone as the U.S. dollar rebounded. In November, currencies trading was positive as the Partnership built a net long U.S. dollar position. The top performer was a short Japanese yen position, which depreciated against the U.S. dollar. A short New Taiwanese dollar position further added to the gains. Long exposure in Latin American currencies remained profitable, notably in Mexican dollar, Brazilian real and Columbian peso. In December, FX trading gained as the Partnership built back into its net short U.S. dollar positioning having briefly moved net long the month prior. Long positions in the South African rand, Mexican peso and Chilean peso topped performance charts. Short positions in the Japanese yen and Indian rupee were further accretive.

In January, trading in fixed income generated losses for the Partnership as prices fluctuated with mixed news on inflation. The Partnership’s short positions in both the Sterling Overnight Index Average (SONIA) and Euro Interbank Offered Rate (Euribor) were worst affected, although most positions generated losses. However, a short position in Japanese bonds benefited the Partnership. In February, the Partnership experienced losses in fixed income trading from short positions in U.S. Treasuries across the maturity spectrum. However, a short position in Japanese bonds provided some marginal offsetting gains. In March, the Partnership’s fixed income trading was mostly flat, but there was dispersion in individual positions. Losses were seen in the Partnership’s position on European short-term rates, while offsetting gains were seen in the Partnership’s long position in German bonds. In April, the Partnership’s fixed income trading finished the month in the black, with gains from long positions in short-term rates almost offset by losses from mixed positioning in longer duration trades in the U.S. and Germany. In May, the Partnership’s fixed income trading was negative. Long SONIA and Euribor suffered. Further out the curve, long Korean index positions added to losses. In June, the Partnership’s trading was slightly negative, as long-end exposures contributed to offsetting gains from rates trading. Long Euribor led declines, while shorts in U.S. Treasuries compounded losses. Profits from a long SONIA position provided some relief. In July, the Partnership’s fixed income trading was negative. Long Euribor and SONIA positions led declines in rates trading, while long Swedish swaps and Italian government bonds (BTPs) also detracted. In August, the Partnership’s fixed income trading was positive, as mixed positioning across the curve proved beneficial. At the short end, a position in Secured Overnight Financing Rate (SOFR) led gains amid investors appearing to position for more immediate U.S. rate cuts. At the longer end, German government bonds and U.S. mortgage-backed securities (MBS) generated gains. Long SONIA and Australian inflation-linked government bonds detracted from performance. In September, the Partnership’s fixed income trading was negative. Losses were led by a long SOFR position. Elsewhere, losses were muted but broad-based as mixed positioning struggled. Long Australian bonds detracted alongside short positions in Gilts. In October, fixed income positions across the yield curve generated losses. At the shorter end, long Euribor and SOFR positions decreased, adding to losses from a long position in SONIA. Further out, a short Bunds position decreased amid a decline in German interest rates, while long Australian and U.S. bonds also contributed to declines. In November, fixed income trading was positive as short fixed income positions further out the maturity curve drove profits, led by 3-year Korean and Australian bonds. Short 10-year Japanese bonds further added as yields hit levels last seen in 2008. Rates trading was more muted as a long SOFR position offset losses from a short Euribor position. In December, intertest rates trading was bifurcated with losses from shorter tenors outweighing marginal gains further out the curve. A short SOFR position proved challenging alongside a long SONIA position, although short Japanese bonds helped offset losses as yields hit their highest level since 1999.

Six months ended June 30, 2026:

Net assets increased $ 1,719,112 for the six months ended June 30, 2026. This increase was attributable to subscriptions in the amount of $ 0, redemptions in the amount of $ 5,643,666 and a net gain from operations of $ 7,362,778.

Management Fees of $ 1,003,773 and servicing fees of $ 335,583 were paid or accrued, and interest of $ 1,178,451 was earned or accrued on the Partnership’s share of the Trading Company’s cash and cash equivalent investments and broker balances, for the six months ended June 30, 2026.

The Partnership’s other expenses paid or accrued for the six months ended June 30, 2026 were $ 556,284.

Three months ended June 30, 2026:

Net assets decreased $ 853,887 for the three months ended June 30, 2026. This decrease was attributable to subscriptions in the amount of $ 0, redemptions in the amount of $ 2,948,274 and a net gain from operations of $ 2,094,387.

Management Fees of $ 493,211 and servicing fees of $ 164,888 were paid or accrued, and interest of $ 584,695 was earned or accrued on the Partnership’s share of the Trading Company’s cash and cash equivalent investments and broker balances, for the three months ended June 30, 2026.

The Partnership’s other expenses paid or accrued for the three months ended June 30, 2026 were $ 263,393.

The Partnership ended April with positive returns, with gains from currencies, commodities, stocks, and fixed income trading partially offset by credit trading. Stocks generated the largest gains as long exposure across Asia-Pacific indices appreciated. The top performer was a long position in FTSE Taiwan Index. Long positions in the Korean Kospi, Nikkei and MSCI Emerging Markets indices also contributed to gains, whereas a short position in the Nifty 50 Index detracted from performance. Credit trading detracted from performance; positioning rotated from short to long credit risk through short credit default swaps positions as European iTraxx and U.S. CDX index spreads compressed. Currency trading generated gains. A long position in Brazilian real was profitable, with long positions in Israeli shekel and Norwegian krone also adding to performance. The Partnership reduced its net long dollar exposure as Asian currencies recovered against the U.S. dollar, and short positions in Japanese yen, Taiwanese dollar and Korean won detracted from performance. Commodities trading was also positive, though results were mixed. Energies led in performance, as a short position in U.S. natural gas was profitable in addition to a long position in RBOB gasoline. The Partnership marginally reduced long energy exposure as the month progressed. Agricultural detracted from performance. Metals were flat as gains in nickel offset a decrease in precious metals. Fixed income trading contributed to gains, led by short ten-year Japanese Government Bond positions. Short two-year U.S. bond positions and short three-year Australian bond positions were also profitable, and a short SOFR position was the top contributor in rates.

The Partnership ended May with positive returns, with gains from stocks, credit and currency trading offset by commodities and fixed income trading. Stocks generated profits, with long positions in the Korean Kospi, FTSE Taiwan and NASDAQ indices leading gains. Credit trading was also profitable, led by short positions in the European high-yield and investment-grade credit default swap indices. Currencies trading was positive overall, with profits generated from short positions that captured gains as the Japanese yen and South Korean won depreciated against the U.S. dollar. Losses from long exposures to the Colombian peso and Brazilian real partially offset gains. Commodities trading generated losses, primarily driven by positions across the energy complex, lead by a short position in U.S. natural gas. Long positions in middle distillates, including gas, oil and RBOB gasoline, also resulted in losses. These losses offset gains in the metals sector from long positions in copper and aluminum. In agricultural, a long position in corn and a short position in cocoa resulted in losses, which were partially offset by small gains from a short position in sugar. Fixed income trading finished negative for the month. Short positions in Australian bonds and Euro-Schatz futures generated losses. Short positions in European and U.K. short-term rates, via Euribor and SONIA, also detracted.

In June, performance was negative for the month, with gains in currencies, stocks and credit trading outweighed by losses in commodities and fixed income trading. Commodities trading resulted in the most losses. Metals performed worst, with long positions in aluminum, gold, nickel and silver generating losses, while a short position in lead provided partially offsetting gains. Agricultural also contributed to losses, with short positions in cocoa and coffee detracting from performance the most. Long positions in soybean oil and soybeans also generated losses. In energies, a long position in crude oil resulted in losses, with only a short U.S. natural gas position generating profits. Currencies trading produced the most gains, although results were mixed. A short position in the Japanese yen resulted in positive returns as the currency depreciated against the U.S. dollar, and short positions in the Canadian dollar and Singapore dollar and a long position in the Colombian peso also generated gains. Long positions in the Norwegian krone, Israeli shekel and Australian dollar also resulted in losses. Stocks trading partially offset losses for the month. A long position in the Swiss Market Index led gains, with a short Hang Seng China Enterprises Index position and a long Russell 2000 Index position also resulting in profits. A long position in the S&P 500 Index and a short position in the Nifty 50 Index detracted from performance. Credit trading produced gains, with a long position in credit risk through short protection across European iTraxx indices contributing to performance. Fixed income trading was negative, with losses resulting from positions in longer-dated maturities. Gains derived from short positions in two-year U.S. Treasury bonds were outweighed by short positions in Euro-Bund Long-Term Futures (BUXL) bonds and Korean bonds. Rates trading produced gains with a short position in SOFR that was partly offset by short Euribor and SONIA positions.

Six months ended June 30, 2025:

Net assets decreased $17,146,310 for the six months ended June 30, 2025. This decrease was attributable to subscriptions in the amount of $ 0, redemptions in the amount of $ 6,408,223 and a net loss from operations of $ 10,738,087.

Management Fees of $ 968,472 and servicing fees of $ 323,660 were paid or accrued, and interest of $ 1,323,746 was earned or accrued on the Partnership’s share of the Trading Company’s cash and cash equivalent investments and broker balances, for the six months ended June 30, 2025.

The Partnership’s other expenses paid or accrued for the six months ended June 30, 2025 were $ 527,981.

Three months ended June 30, 2025:

Net assets decreased $ 5,906,701 for the three months ended June 30, 2025. This decrease was attributable to subscriptions in the amount of $ 0, redemptions in the amount of $ 2,028,810 and a net loss from operations of $ 3,877,891.

Management Fees of $ 440,098 and servicing fees of $ 147,092 were paid or accrued, and interest of $ 614,605 was earned or accrued on the Partnership’s share of the Trading Company’s cash and cash equivalent investments and broker balances, for the three months ended June 30, 2025.

The Partnership’s other expenses paid or accrued for the three months ended June 30, 2025 were $ 237,337 In April, the Partnership returned a negative return with losses in FX, credit, commodities, and stocks outweighing gains from fixed income. The Partnership's positions in Switzerland's SMI and the Hang Seng produced losses, while a short position in the Russell 2000 Index generated a small offsetting gain. Long credit positions also generated losses. The US dollar trade-weighted index fell. Emerging Market currencies fell relative to the US dollar. Losses were incurred in the South African rand, and Brazilian real. US dollar positions against the Swedish krona and Indian rupee generated small offsetting gains. Within commodities, the main driver of negative performance was in metals, but there was far from a uniform story. A long gold position was profitable. A long silver, position on the other hand, was unprofitable . Within energies, US natural gas generated a loss, and in agricultural, profits from trading wheat were offset by losses from soybeans. Fixed income trading finished the month in the black, with gains from long positions in short-term rates almost offset by losses from mixed positioning in longer duration trades in the US and Germany.

In May, the Partnership’s performance was negative with losses in FX, commodities, and bonds outweighing gains from equities and credit. Long SONIA and Euribor suffered. Further out the curve, long Korean index positions added to losses. Commodities trading proved challenging as all sleeves ended in the red and Energies led losses. Long coffee drove agricultural to losses. Gains from longs in livestock were only able to partially offset. Metals compounded losses, with long precious the primary culprits. Currencies also were negative. The Partnership’s net long positioning in Credit was profitable. In a similar vein to earlier in the year, longs across Europe led gains, notably in FTSE Italia and DAX.

In June the performance of the Partnership was positive with gains in stocks, FX, credit and commodities offsetting minor losses in fixed income. June saw risk assets advance with both the S&P 500 and Korean Kospi hitting all-time highs leading to gains in long Korean Kospi. The Partnership’s broad-based short dollar exposure contributed to gains as well as a host of Latin American-dollar crosses, in particular the Brazilian Real and Mexican Peso against the US dollar. Long Euro further added, complemented by gains from other emerging market and developed market dollar crosses. Gains in stocks were led by long Kospi. The Partnership's long positions in MSCI EM and US indices extended gains which were further compounded by high yield credit exposure in both the US and Europe. Commodities were mixed, with gains from agricultural and metals trading offsetting losses from energies. Shorts in sugar and corn proved profitable, with sugar prices falling. Long platinum and silver pushed metals into the black but were countered by losses from long exposure across the oil complex. In fixed income, long-end exposures contributed to offsetting gains from rates trading. Long Euribor led declines, while shorts in US treasuries compounded losses. Profits from long SONIA provided some relief.