10-Q 1 c71747e10vq.txt FORM 10-Q FOR QUARTER ENDING JUNE 30, 2002 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, 2002 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 0-9202 THE FUTURE FUND (Exact name of registrant as specified in its charter) State of jurisdiction or incorporation (Illinois) IRS EMPLOYER ID NO. #36-3033727 C/O HEINOLD ASSET MANAGEMENT INC. ONE FINANCIAL PLACE 440 S. LASALLE ST-21 FLOOR CHICAGO ILLINOIS 60605 PHONE NUMBER 663-7500 SAME (Former name, former address and former fiscal year, if changed) 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 shortened 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 PART I. FINANCIAL INFORMATION ITEM I. FINANCIAL STATEMENTS THE FUTURE FUND (An Illinois Limited Partnership) STATEMENTS OF FINANCIAL CONDITION

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. -2- THE FUTURE FUND (An Illinois Limited Partnership) STATEMENTS OF OPERATIONS FOR THE THREE MONTHS ENDED JULY 31, 2002 and 2001 (UNAUDITED)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. -3- THE FUTURE FUND (An Illinois Limited Partnership) STATEMENTS OF OPERATIONS FOR THE NINE MONTHS ENDED JULY 31, 2002 and 2001 (UNAUDITED)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. -3A- THE FUTURE FUND (An Illinois Limited Partnership) STATEMENTS OF CHANGES IN PARTNERS' CAPITAL FOR THE NINE MONTHS ENDED JULY 31, 2002 (UNAUDITED)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. -4- THE FUTURE FUND (An Illinois Limited Partnership) STATEMENTS OF CASH FLOWS FOR THE NINE MONTHS ENDED JULY 31, 2002 AND 2001 (UNAUDITED)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS -5- THE FUTURE FUND (AN ILLINOIS LIMITED PARTNERSHIP) NOTES TO FORM 10-Q FINANCIAL STATEMENTS The unaudited interim condensed consolidated financial statements of the Future Fund ("the Fund) included herein have been prepared in conformity with accounting principles generally accepted in the United States for interim financial information and rule 10-01 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, the unaudited interim condensed financial statements reflect all adjustments, which are of a normal recurring nature, necessary for fair presentation of financial position, results of operations and cash flows of the Funds for the interim periods presented and are not necessarily indicative of a full year's results. In preparing the unaudited interim condensed financials statements, management is required to make estimates and assumptions that affect the amounts reported in the financial statements. Actual results could differ from those estimates. These financial statements should be read in conjunction with the Fund audited financial statements included in the Fund audited financial statements for the year ended October 31,2001., from which the accompanying Statement of Financial Condition was derived. 6 The Future Fund (An Illinois Limited Partnership) Notes to Form 10-Q Financial Statements, Continued Item 2, Management's discussion and analysis of financial condition, and operating results for the nine months ended July 31, 2002

NOTE A: Ending capital at July 31,2002 is lower than ending capital at October 31, 2002 due to unprofitable trading and redemptions during the period. For the nine month period ending July 31,2002, the Partnership's Net Asset Value per Unit decreased from $1,199.83 at October 31, 2001 to $1,137.99 at July 31, 2002. The majority of the losses occurred from trading activities in November where the NAV decreased by 8.49%. These losses were offset by profitable trading activities for the quarter end July 31, 2002 were the NAV increased by 14.65% NOTE B:

Net realized and unrealized trading gains (losses) on Futures and Forward Contracts for the nine months ended 7/30/2002 is less than net realized and unrealized trading gains (losses) on futures and forward contracts for the nine months ended 7/30/2001 due to less profitable trading during the period. Interest income is earned on the Partnership's investment in U.S. Treasury bills and varies monthly according to interest rates, as well as the effect of trading performance and redemptions on the level of interest-bearing funds. Interest income from U.S. Treasury bills decreased by $201,518 for the nine months ended July 31,2002 as compared to corresponding period in 2001. Additionally, interest income decreased from lower overall investment in U.S. Treasury bills due to the effect of redemptions and unfavorable trading performance during the nine months ended July 31, 2002. NOTE C:

Net realized and unrealized trading gains (Losses) on Futures and Forward Contracts for the three months ended 7/31/2002 is greater than net realized and unrealized trading gains (losses) on futures and forward contracts for the three months ended 7/31/2001 due to more profitable trading during the period. SIGNATURES Pursuant to the requirements of Section 13 or 15(d) 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 on the 11th day of September, 2002. THE FUTURE FUND By HEINOLD ASSET MANAGEMENT, INC. General Partner By /s/ Thomas M. Harte --------------------------- Thomas M. Harte President and Chief Executive Officer By /s/ Ira Polk --------------------------- Ira Polk Chief Financial Officer CERTIFICATION PURSUANT TO 18 U.S.C.SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 In connection with the Quarterly Report of The Future Fund (the "Company") on Form 10-Q for the period ending June 30, 2002 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Thomas M. Harte, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. ss. 1350, as adopted pursuant to ss. 906 of the Sarbanes-Oxley Act of 2002, that: 1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and 2) The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company. /s/ Thomas M. Harte Thomas M. Harte Chief Executive Officer September 11, 2002 CERTIFICATION PURSUANT TO 18 U.S.C.SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 In connection with the Quarterly Report of The Future Fund (the "Company") on Form 10-Q for the period ending June 30, 2002 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Ira Polk, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. ss. 1350, as adopted pursuant to ss. 906 of the Sarbanes-Oxley Act of 2002, that: 3) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and 4) The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company. /s/ Ira Polk Ira Polk Chief Financial Officer September 11, 2002

FUTURE FUND 10-Q