<PAGE> 1
FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended July 31, 1995
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 0-9202
THE FUTURE FUND
(Exact name of registrant as specified in its charter)
Illinois # 36-3033727
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
c/o Heinold Asset Management, Inc.
One Financial Place
440 S. LaSalle - 20th Floor
Chicago, Illinois
(Address of principal executive offices)
60605
(Zip Code)
(312) 663-7900
(Registrant's telephone number, including area code)
Same
(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
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<PAGE> 2
PART I. FINANCIAL INFORMATION
ITEM I. FINANCIAL STATEMENTS
THE FUTURE FUND
(An Illinois Limited Partnership)
STATEMENTS OF FINANCIAL CONDITION
<TABLE>
<CAPTION>
JULY 31, 1995 OCTOBER 31,
ASSETS: (UNAUDITED) 1994
--------------- ---------------
<S> <C> <C>
CASH $ 0 $ 21,307
EQUITY IN FUTURES TRADING ACCOUNTS:
UNITED STATES TREASURY SECURITIES, AT
COST PLUS ACCRUED INTEREST WHICH
APPROXIMATES MARKET 14,736,681 15,491,824
NET UNREALIZED APPRECIATION ON OPEN
FUTURES CONTRACTS 188,959 1,084,916
AMOUNT DUE FROM (TO) BROKER 1,208,888 1,068,789
--------------- ---------------
16,134,528 17,645,529
--------------- ---------------
$ 16,134,528 $ 17,666,836
=============== ===============
LIABILITIES & PARTNERS' CAPITAL:
ACCRUED BROKERAGE COMMISSIONS $ $
PAYABLE 94,094 103,055
ACCRUED MANAGEMENT FEE 53,768 58,889
ACCRUED PROFIT SHARE 0 5,813
REDEMPTIONS PAYABLE 166,270 226,375
OTHER ACCRUED EXPENSES 4,100 6,147
--------------- ---------------
318,232 400,279
--------------- ---------------
PARTNERS' CAPITAL:
GENERAL PARTNER, 220 UNIT
EQUIVALENTS OUTSTANDING AT JULY 31, 1995 191,866 181,861
AND OCTOBER 31, 1994 RESPECTIVELY
LIMITED PARTNERS, 17,915 AND 20,668 UNITS
EQUIVALENTS OUTSTANDING AT JULY 31, 1995
AND OCTOBER 31, 1994 RESPECTIVELY 15,624,430 17,084,696
--------------- ---------------
TOTAL PARTNERS' CAPITAL 15,816,296 17,266,557
--------------- ---------------
$ 16,134,528 $ 17,666,836
=============== ===============
NET ASSET VALUE PER OUTSTANDING UNIT OF
PARTNERSHIP INTEREST $ 872.12 $ 826.64
=============== ===============
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL
PART OF THE FINANCIAL STATEMENTS.
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<PAGE> 3
THE FUTURE FUND
(An Illinois Limited Partnership)
STATEMENTS OF PARTNERS' CAPITAL
FOR THE NINE MONTHS ENDED JULY 31, 1995 (UNAUDITED)
<TABLE>
<CAPTION>
LIMITED GENERAL
PARTNERS PARTNERS TOTAL
-------------- -------------- --------------
<S> <C> <C> <C>
FUND EQUITY AT OCTOBER 31, 1994 $ 17,084,696 $ 181,861 $ 17,266,557
(20,668 LIMITED PARTNERSHIP UNITS)
REDEMPTION OF 2,753 LIMITED
PARTNERSHIP UNITS (2,393,791) (2,393,791)
NET GAIN IN FUND EQUITY
FROM OPERATIONS 933,525 10,005 943,530
-------------- -------------- --------------
FUND EQUITY AT JULY 31, 1995 $ 15,624,430 $ 191,866 $ 15,816,296
(17,915 LIMITED PARTNERSHIP UNITS) ============== ============== ==============
NET ASSET VALUE PER UNIT AT
JULY 31, 1995: $ 872.12
==============
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL
PART OF THE FINANCIAL STATEMENTS.
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<PAGE> 4
THE FUTURE FUND
(An Illinois Limited Partnership)
STATEMENTS OF OPERATIONS
FOR THE NINE MONTHS ENDED JULY 31, 1995 AND 1994 (UNAUDITED)
<TABLE>
<CAPTION>
1995 1994
REVENUES: --------------- ---------------
<S> <C> <C>
NET REALIZED TRADING GAINS (LOSSES) ON CLOSED
FUTURES AND FORWARD CONTRACTS $ 3,152,837 $ (236,074)
INCREASE (DECREASE) IN NET UNREALIZED APPRECIATION
ON OPEN FUTURES AND FORWARD CONTRACTS (895,955) (227,539)
INTEREST INCOME 642,921 426,120
--------------- ---------------
2,899,803 (37,493)
--------------- ---------------
EXPENSES:
BROKERAGE COMMISSIONS 932,650 1,011,320
MANAGEMENT FEE 519,764 561,665
PROFIT SHARE 452,604 130,978
OTHER ADMINISTRATIVE EXPENSES 51,255 36,234
--------------- ---------------
1,956,273 1,740,197
--------------- ---------------
NET INCOME (LOSS) $ 943,530 $ (1,777,690)
=============== ===============
NET GAIN ALLOCATED TO
GENERAL PARTNER $ 10,005 $ (26,637)
=============== ===============
NET GAIN ALLOCATED TO
LIMITED PARTNERS $ 933,525 $ (1,751,053)
=============== ===============
INCREASE (DECREASE) IN NET ASSET VALUE FOR
A UNIT OUTSTANDING THROUGHOUT EACH PERIOD $ 45.48 $ (80.47)
=============== ===============
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL
PART OF THE FINANCIAL STATEMENTS
- 4 -
<PAGE> 5
THE FUTURE FUND
(An Illinois Limited Partnership)
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JULY 31, 1995 AND 1994 (UNAUDITED)
<TABLE>
<CAPTION>
REVENUES: 1995 1994
--------------- ---------------
<S> <C> <C>
NET REALIZED TRADING GAINS (LOSSES) ON CLOSED
FUTURES AND FORWARD CONTRACTS $ 326,730 $ 1,083,646
INCREASE (DECREASE) IN NET UNREALIZED APPRECIATION
ON OPEN FUTURES AND FORWARD CONTRACTS (291,306) (689,404)
INTEREST INCOME 233,136 156,637
--------------- ---------------
268,560 550,879
--------------- ---------------
EXPENSES:
BROKERAGE COMMISSIONS 298,623 332,597
MANAGEMENT FEE 169,440 180,456
PROFIT SHARE 40,947 64,295
OTHER ADMINISTRATIVE EXPENSES 21,455 6,600
--------------- ---------------
530,465 583,948
--------------- ---------------
NET INCOME (LOSS) $ (261,905) $ (33,069)
=============== ===============
NET GAIN (LOSS) ALLOCATED TO
GENERAL PARTNER $ (3,214) $ (531)
=============== ===============
NET GAIN (LOSS) ALLOCATED TO
LIMITED PARTNERS $ (258,691) $ (32,538)
=============== ===============
INCREASE (DECREASE) IN NET ASSET VALUE FOR A
UNIT OUTSTANDING THROUGHOUT EACH PERIOD $ (14.61) $ (1.61)
=============== ===============
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL
PART OF THE FINANCIAL STATEMENTS.
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<PAGE> 6
THE FUTURE FUND
(An Illinois Limited Partnership)
STATEMENTS OF CASH FLOWS
FOR THE NINE MONTHS ENDED JULY 31, 1995 AND 1994 (UNAUDITED)
<TABLE>
<CAPTION>
1995 1994
--------------- ---------------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
NET INCOME (LOSS) $ 943,530 $ (1,777,690)
ADJUSTMENTS TO RECONCILE NET INCOME (LOSS) TO
NET CASH PROVIDED BY OPERATING ACTIVITIES:
(INCREASE) DECREASE IN EQUITY IN
FUTURES TRADING ACCOUNTS 1,511,001 2,484,836
INCREASE (DECREASE) IN ACCRUED EXPENSES (82,047) (27,778)
--------------- ---------------
NET CASH PROVIDED BY OPERATING ACTIVITIES 2,372,484 679,368
CASH FLOWS FROM FINANCING ACTIVITIES:
REDEMPTION OF LIMITED PARTNERSHIP UNITS 2,393,791 679,368
--------------- ---------------
NET CHANGE IN CASH (21,307) 0
CASH - BEGINNING OF YEAR 21,307 21,307
--------------- ---------------
CASH - END OF YEAR $ 0 $ 21,307
=============== ===============
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL
PART OF THE FINANCIAL STATEMENNTS.
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<PAGE> 7
THE FUTURE FUND
(An Illinois Limited Partnership)
NOTES TO FORM 10-Q FINANCIAL STATEMENTS
1. The financial information included herein, other than the condensed
Statement of Financial Condition as of October 31, 1994, has been prepared by
management without audit by Independent Certified Public Accountants. The
condensed Statement of Financial Condition as of July 31, 1995 has been derived
from the audited financial statements as of October 31, 1994. The interim
financial statements do not include all the disclosures contained in the annual
financial statements. The information furnished includes all adjustments which
are, in the opinion of management, necessary for a fair statement of results
for the interim periods. The results of operations as presented, however,
should not be considered indicative of the results to be expected for the
entire year.
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<PAGE> 8
THE FUTURE FUND
(An Illinois Limited Partnership)
NOTES TO FINANCIAL STATEMENTS, Continued
ITEM 2, Management's Discussion and Analysis of Financial
Condition and Operating Results for the nine months
ended July 31, 1995.
<TABLE>
<CAPTION>
July 31, 1995 October 31, 1994
<S> <C> <C>
Ending Equity (Note A) $15,816,296 $17,266,557
</TABLE>
NOTE A:
Ending equity at July 31, 1995 is lower than ending equity at October 31,
1994 due to the redemption of limited partnership units.
<TABLE>
<CAPTION>
Nine months ended Nine months ended
July 31, 1995 July 31, 1994
<S> <C> <C>
Net realized trading
gains (losses) on closed
futures and forward
contracts (Note B) $3,152,837 $(236,074)
</TABLE>
NOTE B:
Net realized trading gains (losses) on closed futures and forward
contracts for the nine months ended July 31, 1995 is higher than net realized
trading gains (losses) on closed futures and forward contracts for the nine
months ended July 31, 1994 due to more profitable trading during the period.
<TABLE>
<CAPTION>
Three months ended Three months ended
July 31, 1995 July 31, 1994
<S> <C> <C>
Net realized trading
gains (losses) on closed
futures and forward
contracts (Note C) $326,730 $1,083,646
</TABLE>
Net realized trading gains (losses) on closed futures and forward
contracts for the three months ended July 31, 1995 is lower than net realized
trading gains (losses) on closed futures and forward contracts for the three
months ended July 31, 1994 due to less profitable trading during the period.
-8-
<PAGE> 9
EXHIBITS
None
PART II
None
SIGNATURES
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.
THE FUTURE FUND
(Registrant)
By Heinold Asset Management, Inc.
(General Partner)
By
Robert Ledvora
Executive Vice President
and Chief Financial Officer
-9-
<TABLE> <S> <C>
<ARTICLE> BD
<CURRENCY> U.S. DOLLARS
<S> <C> <C>
<PERIOD-TYPE> 9-MOS 9-MOS
<FISCAL-YEAR-END> OCT-31-1994 OCT-31-1993
<PERIOD-START> OCT-31-1994 OCT-31-1993
<PERIOD-END> JUL-31-1995 JUL-31-1994
<EXCHANGE-RATE> 1 1
<CASH> 1,208,888 2,126,098
<RECEIVABLES> 188,959 344,800
<SECURITIES-RESALE> 0 0
<SECURITIES-BORROWED> 0 0
<INSTRUMENTS-OWNED> 14,736,681 15,246,112
<PP&E> 0 0
<TOTAL-ASSETS> 16,134,528 17,717,010
<SHORT-TERM> 0 0
<PAYABLES> 318,232 292,798
<REPOS-SOLD> 0 0
<SECURITIES-LOANED> 0 0
<INSTRUMENTS-SOLD> 0 0
<LONG-TERM> 0 0
<COMMON> 15,816,296 17,424,212
0 0
0 0
<OTHER-SE> 0 0
<TOTAL-LIABILITY-AND-EQUITY> 16,134,528 17,717,010
<TRADING-REVENUE> 2,256,882 (463,613)
<INTEREST-DIVIDENDS> 642,921 426,120
<COMMISSIONS> (932,650) (1,011,320)
<INVESTMENT-BANKING-REVENUES> 0 0
<FEE-REVENUE> 0 0
<INTEREST-EXPENSE> 0 0
<COMPENSATION> (1,023,623) (728,877)
<INCOME-PRETAX> 943,530 (1,777,690)
<INCOME-PRE-EXTRAORDINARY> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 943,530 (1,777,690)
<EPS-PRIMARY> 0 0
<EPS-DILUTED> 0 0
</TABLE>
